Audience Development Group 

Midweek Motivator

What Can We Learn From Starbucks?                      May 5, 2010
Tim Moore
Tim Moore 
Managing Partner
Audience Development Group
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Look around: how many "cult brands" can you name? Once past Apple, Nike, Harley Davidson, ESPN, and Starbucks, it's a stretch. Perhaps reality lies in the fact that dictates, to do something incredibly well, one simply can't do it for everyone. It should be a bold-type mantra posted in every company's situation room, since it's the ethos that drives these unique, internationally envied corporate icons.
 
Recently having had the opportunity to probe inside the mind of Starbucks, the company's inner sanctum seems a balance of wizardry merged with common sense. Consider that across the country on a given day at any Starbucks location, people are lining up to pay $3.89 for an exotic coffee or tea configuration. Particularly intriguing is the observation that suggests these willing customers appear even more eager to buy, than Starbucks is to sell. How can this be in the unforgiving, instant-gratification, price-is-king, hurry-up world within which untold numbers of businesses put their business mark on the line daily?  Starbucks says, "We want to be your third place. Translated, standing behind family and place of work, we want to be part of your typical day."
 
To understand Starbucks means that one must understand their culture. Two glaring principles rise to consciousness. First, Starbucks' partners (which is their term for what most of us refer to as "the help") are cultured into the principle that says, "There is no customer request under our coffee umbrella we can't or at the very least, attempt to fulfill." Note to self: "Okay...the customer really does come first."
 
Secondarily, Starbucks unabashedly promises its "partners" regardless of pedigree, time-in-rank or unique individual characteristics, "You are the company, you areimportant, and we will never promote someone from the outside, before we promote you." Next note to self: "So, it's our people that really are our company."
 
And with these two principles inextricably embedded within their ranks, Starbucks is only getting warmed up. Each employee-partner gets a 401K, medical and dental plan, intra-company transfer requests in or out of a region, and ongoing training very few Fortune 500 organizations have the patience or commitment to consistently practice and perfect.
 
The end result of Starbucks' magical molecular structure is a ubiquitous legion of eager customers within airports, conventional retail venues, and in least-expected locations such as the company's floating coffee-tender servicing boaters navigating Seattle's harbor.
 
Employee turnover is minimized. The average employee partner is happier and far more productive than most marginally disenchanted American workers. Within this cult brand where winning is never ending, life is truly good to the last drop.
Sincerely,
 
Tim Moore     
Tim Moore
Managing Partner
Audience Development Group
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