Claim: Starbucks will make millions off its $1 reusable cups

Here's how that will happen, according to a Forbes writer:

"The cups cost $1. When customers lose them, accidentally sit on and crush them, or forget to bring them back, that’s another $1. When they wear out — reports are they’re good for maybe a month if you don’t run them through the dishwasher — that’s another $1."

There are 233 million Americans old enough to drink coffee, so that’s about $65 million dollars if each of those consumers only buys a reusable cup once."

One of the Starbucks stores I frequent has been out of the cups for days. I asked the manager if they'll be restocked. He said yes -- and added that the reusable cup program will be "expanded."

Does anyone know what that means? Different styles of reusable cups? Sizes?

* How Starbucks will make millions off its new, reusable cups

Comments

[Danib62]

I don't know if they'll make "millions". All it takes is 10 uses and the customer has made their $1 back (though starbucks saves on not using disposable cups, lids, and sleeves).

[Sbux kid]

Not always on sleeves and lids. Baristas are supposted to replace lids if lost or destroyed for free and many hot beverages are still supposted to be sleeved if put into the cup.

[Ben]

that story/claim is a little rich. They're certainly selling well (but with so many stores keeping them behind the counter--it won't sell THAT much).

And no matter what they told YouGov 28% of the country is not going to buy one of these...what % of people even go to Starbucks on a regular basis (Easy to live in a cocoon and think everyone frequents Starbucks daily if you live in Manhattan or Seattle)...and color me skeptical that this will drive/increase customer loyalty more than, say, the January Tumbler.

[Herman]

I must have missed the part where Starbucks was going to lose money on reusable cups.

The single goal of private enterprise is delivering goods or services that please their customers. If they can't do that at a profit, hello bankruptcy.

[GINA]

Again, I want to point out the health issues with using the 'boiling' water. At the SBUX in denver---yes right near the hospital---one with over 180 reported cases of the FLU.

Anyway-putting a little water in and flushing the cup does not clean it. You need to BOIL the cup for over a minute.

At this store it was 'rinsed' for about 20 seconds with water.

[john]

Silly cups, I only use stainless steel cups. I had them for over 8 years now, the investment was $20 or so for them. $1 cup is not a good idea.

[ManagerMatt]

I haven't heard anything about the cups being "expanded" but it would certainly be a smart move for Starbucks. I could see summertime plastic cups coming out for frappuccinos, and maybe red cups for holiday. Maybe even "themed" cups for certain holidays. Would be neat.

[GHE]

In reading the Forbes piece, I think the writer was trying to strike a humorous tone. At least I hope so. Otherwise, it's easy to make that leap for any product: There are nearly 200 million U.S. residents 21 and older, so cigarette and alcohol manufacturers and retailers should be raking in the bucks! There are about 4 million babies born each year in the U.S., so Baby Gap should be soaring!

[David]

So what about the people who came up with this idea at mystarbucksidea.com? Do they get any profit from their ideas? NOPE.

[spence]

Some people write drivel. First of all, Starbucks isn't making a lot of profit off a $1 cup since they have to manufacture it, ship it and then sell it. Second, as previously mentioned, everytime a customer uses it, they save a dime. I've already washed my cup more than 10 times in the dishwasher and it still looks new.
Starbucks has done a good deed! (And I really like drinking out the cup with it's comfortable lid vs the paper cups with cheap plastic lids.

[Mike6545]

Probably means it will be expanded to the licensed stores? Currently it's online in company operated stores

[Robert]

Does anyone know what happens to the cup when it "wears out"? Does it develop holes? Melt? Shred? Disintegrate? Catch on fire and burn?

[GINA]

The graphic will be the first thing to go.....(I assume from my experience with other reusable cups).

[SarahB]

"So what about the people who came up with this idea at mystarbucksidea.com? Do they get any profit from their ideas? NOPE. "

Why would they? Why should they?

You know what... somebody should invent a time machine.

So now if somebody invents a time machine, should I get a piece of the profits just because I suggested it on a website somewhere?

[Ian]

When it begins to warp, that's when it's worn out. It kind of warps towards the bottom, like a dent, and up at the rim, it becomes less of a circle (and more of an oval).

[Nunya]

Sounds like propaganda. People aren't replacing the cups if they damage or lose them, and Starbucks isn't making loot on them. Pretty far reach.

[latteteadah]

I had mine all of one day. Left it on my kitchen counter for the next use and a family member who was on a cleaning frenzy tossed it away thinking it was a paper cup. Haven't been able to re-purchase one since.

[Mike R]

LOL... SarahB that gave me a good chuckle. :)