ForumsStarting a Business

Dear DomainDiva

Thanks for your suggestion, But may i ask you what attracts you and everyone else to Starbucks, besides being Starbucks, and if you were to go to another coffee house what would you like to see different that could and would make you go back.

Sincerely
Outlaw

This is not a reply to the original question, but rather the reply you requested from me to your follow-up question, "Why do so many people go to Starbucks?" Some of the reasons include:

Location: When friends or business associates say, "Let's meet for coffee," SB is an easy choice - everyone knows where it is. In suburban areas, the shops are close to main thoroughfares and have lots of parking. In cities they are usually near large offices and mass transit.

Timing: The neighborhood bar used to be the place where working folks gathered at breaks, lunch, and after work to connect. You could write a dissertation on how and why that changed, but for the average person today, social and professional networking opportunities generally come earlier in the day, and happen at a faster pace. Coffee is a natural for that, and SB was in the right places at the right time with the right type of operation to grab an emerging new market.

Image: When an SB first opens in a new community, there seems to be a weird sort of "status" associated with walking into work with one of their cups. (Personally, I'd be more impressed if you showed up at my office with a box of KrispyKreme, but that's just me.) The point is, when people think of Starbucks, they often see "upscale and hip" -- and therefore feel a little more upscale and hip themselves. The product may be overpriced for what it is, but it's a relatively cheap and guilt-free indulgence in that respect.

Consistency: SB has put a LOT of money into training people up front, monitoring their performance, and correcting problems quickly. Customers know what to expect from SB, and whether you think the product is good or not, SB delivers it consistently. If your niche is to "eclectic," then consistency may not matter. If you want customer volume, however, it does. Most independent shop owners (in any business) have expert knowledge and boundless passion for the business itself, but many of these owners (not you, necessarily) know almost nothing about how to properly train employees and monitor their performance. There is a right way to do it, and it can be learned -- yet most owners don't recognize how vitally important it is to their success. Here's an example. Only yesterday, a friend of mine convinced a group of us to meet for lunch after church at an independently-owned sandwich shop that opened only two weeks ago. She raved about it and we had high expectations. The server was rude, he delivered the wrong items to our table, and he failed to correct any of the problems. None of us will ever return. So instead of having seven enthusiastic new customers who'd each bring in more new customers, there are seven of us telling people not to bother (and we'll probably go to Quiznos the next time we want sandwiches). By my estimate, the owner lost up to $15,600 of future revenue from just one transaction yesterday because of a poorly trained/managed employee. Struggling businesses allow that to happen, often without even knowing it. Successful businesses don't.