Starbucks Stirs Pot Causing Coffee Conflagration

In the movie Risky Business, Joe Pantoliano’s character, a pimp called Guido, said:Riskybusiness1983joepantolianotom_3

"Let me give you a little advice so you know. In times of economic uncertainty, never ever f**k with another man’s livelihood…" (thanks, IMDB).

Well, there must be some kind of corollary about not messing with America’s number one energy source during tough times.  No,  not the $4.00 a gallon variety, but the $2.50/Grande rocket fuel that we pour down our gullets to increase productivity.

Starbucks did not heed this, according to an article in the WSJ yesterday.  which wrote that some customers are in an uprising because the company has changed the default brew in its stores to the watered down, much hyped Pike Place recently.

A backlash is brewing against Starbucks
Corp. over its Pike Place Roast coffee, which has perked up the
company’s sales by attracting new business, but has alienated a small
yet vocal group of longtime patrons.

Now I have some credibility here because I drink tons of coffee and once had part ownership in a gourmet coffee company.  Indeed, people who know me and read this blog must be amazed that I have not blogged about coffee until now. 

In general, I have loved Starbucks (my wife and I have a Starbucks/Dunkin’ Donuts relationship, as she favors the coffee of the latter).   I had heard  about the new Pike Place flavor and Starbucks’ desire to appeal to the masses with a gentler blend, which seemed to me at the time to be a watered down strategy, if you don’t mind the pun.   Not too long afterwards I realized that, son of a  gun, this is what they are now serving up .  I  noticed the coffee was weak, and the barista confirmed that it was Pike’s.  So I have taken to asking for extra bold dark roast when I order coffee there.

As a PR person and marketer, though, I am amazed at the ineptness of Starbucks in ignoring some basic marketing tenets. And this, from a company that has been brilliant in building a brand and an international power house.   Don’t they know that a brand can’t occupy two different positions in the consumer’s  mind at the same time?  Didn’t they heed the experience of Coke when that company made the mistake of changing its formula back in the day?

The latest headlines say that Starbucks is closing 600 stores, so perhaps some strong medicine is needed but this is not the answer.   I am sure an economic downturn comes into play, and all those money advice talking heads advising $5/day savings by skipping the latte could be having an effect, but in general you do not want to mess with your secret sauce and you don’t want to alienate your most loyal customers.  So for Pike’s sake please bring back the original brew.

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