Howard Schultz talks to USA Today about Starbucks' last 40 years

Some excerpts from the interview:
* "I can't answer why people are so emotionally linked to what we do or why they like or don't like us so much. I do like the fact that they're talking about us."
* "Over the past 18 months, we've become more relevant to our core customer and younger audience. The maturation of the company has enabled this. These are the best of times for Starbucks."
* "I think the quality of our food has gotten significantly better over the years. Sales of food as a percentage of our revenue is the highest it's been in our history." || Read "Starbucks at 40: An interview with CEO Howard Schultz"

Comments

[Jim Romenesko]

I love how Schultz says he's "intrigued" by health and wellness, then promotes Starbucks' new "cakes served on sticks" and Whoopie Pies. Hmmm. healthy!!

[Jazzhands]

But, but, they ARE healthy! Each has less than 200 calories. Forget the fact that those calories are entirely from sugar and fat, that's less than a whole grain bagel.

They are delicious, though, and I expect they'll be big sellers. Most people like "cute food," which these definitely are.

[frapatte]

Frankly, I applaud Starbucks for being able to fit so many calories into so little "food". Let's get some deep-fried Spam-on-a-Stick going as the next pastry.

[Bart]

Is Howard sipping a hot Starbucks beverage out of a straw? Starbucks doesn't have straws for hot beverages and the cold beverage straws clearly state on the wrapper that they are not intended for use with hot beverages.

[Red cup]

Low in calorie does not mean healthy if they are empty calories.

[drive]

@Bart, I don't think that is a straw. I think it is the little plastic thing for plugging the sip hole in the lid.

[drive]

From USA Today:

Q: What's been the biggest flop?
A: Sorbetto, a frozen beverage we tested in L.A.

Did he forget about CHANTICO? That flopped nationwide, not just in one city.

[Jim Romenesko]

He's probably erased CHANTICO from his memory. Total no-recall.

[usorthem3]

I'm still waiting for the announcement of the Starbucks 2012 London Games jet ski to go one sell. Grow, grow, grow, 100 stores a year. We closed 900 but hey not to fear, if these all fail we'll just close these too. China money has gotten everyone "GOLD FEVER" hearts. Are they not smart enought to know that 3/4 of China's 1 billion people don't have jobs other than what they can scratch out for food from the Earth? Don't think they are really looking for a Iced Cappucinno in Lhasa, (former Tibet) I thought the one opened in the "Forbidden City" was highly disrespectful of the local culture. It just shows that greed will make you do the most unthinkable things.

[Bart]

If that's not a straw then Howard is striking a ridiculous pose next to the cup... hahahahah

[Melody]

First off, the main image that in this blog post doesn't really coincide with the interview here - It's a stock Howard Schultz photos.

It appears to me that he is drinking a the Starbucks product called "Starbucks Discoveries" which does come packaged like that with a funny little straw. It's not sold in North America, but I believe it is popular in Japan.You can tell he's drinking the Latte flavored pre-packaged Starbucks Discoveries (which comes with a short green straw on the side) because of the art work around the bottom of the cup. That's my guess. Nothing odd going on at all in that photo. Probably was taken in Japan or some place like that where Discoveries are a hit.

[j-man]

I was just in London a couple of weeks ago and saw those little drinks all over grocery stores and Sbux, its along the lines of our bottle frappuccinos and double shots. They call it "Seattle Latte" flavor, theres also a mocha and caramel...

http://starbucks.co.uk/menu/drinks

[Mike]

As a business owner, my goal is to bring the same enthusiasm to my work as Howard Schultz brings to his company. His positive attitude is infectious. I have a ton of respect and admiration for his success. Someday I'd like to meet him. If you read this blog and are ever in the Philly area, shoot me an email at templecpa2002@yahoo.com. I'd love to chat.

[sbuxgirl]

chantico was a definate flop however the cost that went in to sorbetto was by far much more of a loss than sorbeto.

[ncsm]

Who cares what Schultz thinks? He's nothing more than a straight-faced liar. I can't believe that there are still people who believe his bullshit!

[drive]

He was in the WSJ today, too.

http://online.wsj.com/article/SB10001424052748704076804576180313111969984.html

[BAYAREABUX]

Howard got the idea for Sorbetto when he famously returned to Milan in March 2008 as part of his re-inspiration tour. I'm not sure that the resulting beverage was Italianate, but it sure was yummy. I'd definitely put Chantico and Akeela ahead of Sorbetto on the FAIL LIST any day.... in fact, there's even a better one, introducing an incredibly crappy coffee called PIKE PLACE ROAST and then making it the only coffee being served. DOH!

[LDe]

Is Tribute blend available as a partner mark out? Was told by my manager that we are not allowed to mark it out, but may use our 30% discount to purchase it.

[mnmsr4me]

If you compare the cost of putting chantico in every store to the cost of putting sorbetto machines in a few stores in the greater Los Angeles Area, sorbetto comes out the winner as being more expensive. At least there was a return on investment in Chantico. If you make a profit I don't count it as a flop.

[slaw275]

I'm pretty sure Howard wasn't with the company when Chantico was around. So perhaps the "total no-recall" is due to the fact he wasn't around for it. Also, even though it isn't my personal preference, I definitely wouldn't call Pike a flop... at least at my store, it is the only whole bean we have to order every single week to keep up with the customer demand. Most other coffees come in an order about once a month.

[Jim Romenesko]

Howard Schultz "was around" for that fiasco -- he just wasn't CEO; he was chairman.

[Kelly]

What does everyone think about the new petites flavor?

[Waltie]

"Is Tribute blend available as a partner mark out? Was told by my manager that we are not allowed to mark it out, but may use our 30% discount to purchase it. "

It worked when I got it as my markout. The computer allows it.

[The more you know]

@Mike

The Howard you see on TV or read about in books is nothing what he is like in real life. Used to work for SBUX and actually worked with Howard on some projects and did some store tours with him as well. In store he's as nice as can be. Outside of that he's as mean as they come and could care less about you unless you are a Senior Vice President or higher, thankfully I was at that rank. In his personal life he does not live by the values that he preaches at work. Wolf in sheep's clothing.

[Lifer]

I worked at a store that had sorbetto, and
I was also around for chantico..I'd take chantico back over sorbetto ANYDAY. They were both shit products, but the labor and product spending on sorbetto was out of this world. The machine itself was AWFUL to clean and took an hour to do (with detailed instructions), you had to get on a ladder and stir the yogurt mixture every damn hour because of the live cultures..AWFUL. So glad that one flopped.

[Blackberry Bean No More]

Teeth Whitner equals coffee thru a straw

[@StarbucksSaving]

This interview was so informative! As young adults in our early twenties, Starbucks is considered our second home. With college midterms, projects, and finals, we could not live without Starbucks coffee! From this interview, we learned about Starbucks past and its future. When reading your responses, there were a couple of comments that stuck out. The first comment stated, “We have to recognize that our customers feel as if this store is their store.” In a sense, Starbucks is our home away from home. Because we are college students, when we hear the word Starbucks, we instantly think of sweats or pajamas, Grande coffees, laptops, books, or anything else that makes our experience comfortable and enjoyable.

Your second comment that grabbed our attention stated, “We certainly had challenging moments. But there was not one single moment when I thought we couldn’t overcome the challenges.” This comment not only showed your passion to your business, but it showed your passion to us and the rest of your Starbucks consumers. We certainly cannot speak for everyone, but we keep Starbucks close to our hearts and our stomachs! Starbucks is a place that we want to keep on our route to class and work! Thank you so much for your hard work and sharing this interview!

[@StarbucksSaving]

This interview was so informative! As young adults in our early twenties, Starbucks is considered our second home. With college midterms, projects, and finals, we could not live without Starbucks coffee! When reading your responses, there were a couple of comments that stuck out. The first comment stated, “We have to recognize that our customers feel as if this store is their store.” In a sense, Starbucks is our home away from home. Because we are college students, when we hear the word Starbucks, we instantly think of sweats or pajamas, Grande coffees, laptops, books, or anything else that makes our experience comfortable and enjoyable. Your second comment that grabbed our attention stated, “We certainly had challenging moments. But there was not one single moment when I thought we couldn’t overcome the challenges.” This comment not only showed your passion to your business, but it showed your passion to us and the rest of your Starbucks consumers. We certainly cannot speak for everyone, but we keep Starbucks close to our hearts and our stomachs! Starbucks is a place that we want to keep on our route to class and work! Thank you so much for your hard work and sharing this interview!

[michael t]

@themoreyouknow - Ur pathetic. coming on here and souring Mr. Schultz's name. you probably got canned for good reason and are now just hating for no reason. howard turned the company around, he built it, he made the stock what it is. he is a genius, and everyone n the world except the people on here don't recognize that. get a life and grow up. i'd feel bad for you but ur not even worth it.

[I <3 music]

@michael t

The more you know was speaking from their experience. You don't get to where Howie is by being nice.

You are assuming. You are saying hateful things. You may have a different view.

[Doug]

Is is just me or does Howie look like Christian Bale in this pic?

[Mike]

On the job review site Glassdoor.com, Howard has a 70% approval rating which is pretty high. I'm sure he's not perfect but I'm sure he's not lying when he goes on and on about his vision for Starbucks whether it's on TV or his books. I'm more interested in his vision. I don't know what your situation was but he probably busy and maybe tries to prioritize his time so he may not have time to chat it up with people all the time.

[James thomas]

@

[james franklin]

@music - what r u talking about. do u even have a clue?

[the manager who became a barista]

BOTOX ! cannot move ... lips .. anymore ..