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Topic: $1 cup at *sucks (26 msgs / 558 lines)
1) From: JoAnne Phillips
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This was in the free Elliott Wave International newsletter tonight -  
does this mean the American coffee drinkers are waking up?
The ongoing saga now known as “Star-sucks,” in which the former  
coffee giant finds itself in more hot water than the early morning  
coffee pots at its stores: a smear campaign in 2006 that held the  
company accountable for the growing obesity epidemic among America’s  =
teenagers and young adults; slowing traffic, growing competition,  
plans to shutdown stores, the firing of its long-standing chief  
executive, and a 50% plunge in SBUX stock from a year ago.
This just in: According to a January 23 Wall Street Journal,  
Starbucks is now testing a “$1 cup of coffee and Free-Refill” policy =
 
in Seattle stores in an effort to combat “pressures on consumer  
spending.”
JoAnne in Tucson=
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This was in the free =
Elliott Wave International newsletter tonight - does this mean the =
American coffee drinkers are waking up?The ongoing saga now known as “Star-sucks,” in which the =
former coffee giant finds itself in more hot water than the early =
morning coffee pots at its stores: a smear campaign in 2006 that held =
the company accountable for the growing obesity epidemic among America’s=
 teenagers and young adults; slowing traffic, growing competition, plans =
to shutdown stores, the firing of its long-standing chief executive, and =
a 50% plunge in SBUX stock from a year =
ago.
This just in: According to a January 23 Wall Street Journal, =
Starbucks is now testing a “$1 cup of coffee and Free-Refill” policy =
in Seattle stores in an effort to combat “pressures on consumer =
spending.”
JoAnne in = Tucson = --Apple-Mail-6-100795255--

2) From: Joseph Robertson
JoAnne,
This last year I took a business course at the Seattle Coffee Fest. The one
point that all the presenters stressed was do not under any circumstance
devalue you product by offering deals like you describe. In fact I'm very
surprised they are doing that. Very bad business strategy. In fact from what
I learned it not a strategy at all. More like floating around in the ocean
in a life raft and cutting off your fingers and toes for fishing bait to
stay alive. On the bright side this new year is looking good for Specialty
Coffee small business start ups.
JoeR
On Jan 30, 2008 6:24 PM, JoAnne Phillips  wrote:
<Snip>

3) From: Lynne
Maybe it just means people are flat broke...
JoAnne Phillips said:
This was in the free Elliott Wave International newsletter tonight - does
<Snip>
Lynne

4) From: Joseph Robertson
I was unclear if this was coffee drinks or just plain ole cup of Joe. It
sounds like just a plain cup, nothing special.
JoeR
On Jan 30, 2008 6:48 PM, Lynne  wrote:
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5) From: Joseph Robertson
JoAnne,
I guess I have never thought of *$'s as a place of just a "plain cup of
coffee".
Time to tap the market any way you can. I still think it is a move of
desperation on *$'s part. Time to sell stock before it's too late.
JoeR
On Jan 30, 2008 6:48 PM, Lynne  wrote:
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6) From: JoAnne Phillips
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There was a time I've been told when a cup of Joe at *$s cost the  
average white collar worker $4!!!
JoAnne
On Jan 30, 2008, at 8:00 PM, Joseph Robertson wrote:
JoAnne,
I guess I have never thought of *$'s as a place of just a "plain cup  
of coffee".
Time to tap the market any way you can. I still think it is a move of  
desperation on *$'s part. Time to sell stock before it's too late.
JoeR
On Jan 30, 2008 6:48 PM, Lynne  wrote:
Maybe it just means people are flat broke...
JoAnne Phillips said:
This was in the free Elliott Wave International newsletter tonight -  
does this mean the American coffee drinkers are waking up?
This just in: According to a January 23 Wall Street Journal,  
Starbucks is now testing a "$1 cup of coffee and Free-Refill" policy  
in Seattle stores in an effort to combat "pressures on consumer  
spending."
Lynne
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There was a time I've been told when a cup of Joe at *$s cost the =
average white collar worker =
$4!!!JoAnne
On Jan 30, 2008, at 8:00 PM, =
Joseph Robertson wrote:
JoAnne, I guess I have never = thought of *$'s as a place of just a "plain cup of coffee". Time to = tap the market any way you can. I still think it is a move of = desperation on *$'s part. Time to sell stock before it's too late. = JoeR On Jan 30, 2008 6:48 PM, Lynne = <lynnebiz> = wrote: Maybe it just means people are flat broke... JoAnne Phillips said: This = was in the free Elliott Wave International newsletter tonight - does = this mean the American coffee drinkers are waking up? This just in: According to a January 23 Wall = Street Journal, Starbucks is now testing a "$1 cup of coffee and = Free-Refill" policy in Seattle stores in an effort to combat "pressures = on consumer spending." = Lynne   = = --Apple-Mail-7-105384395--

7) From: Brett Mason
I think it only means that Starbucks is adding a new coffee offering to
their menu...
Good for them!
No doubt there are some people flat broke...  But I am not sure if that is
what this story means...
OK so my two cents only,
Brett
On Wed, Jan 30, 2008 at 8:48 PM, Lynne  wrote:
<Snip>
-- 
Cheers,
Bretthttp://homeroast.freeservers.com

8) From: Brett Mason
I don't think that's right Joanne.  My standard cup at Starbicks, for years,
was a venti drip.  About $1.85 - largest black coffee.  Of all the coffee I
had found to that point, Starbucks was my daily favorite - for years....
Now, $4 for a coffee sugar milky froofroo, well to that I do agree.  Just
hated all the syrupy stuff myself....
B
On Wed, Jan 30, 2008 at 9:41 PM, JoAnne Phillips 
wrote:
<Snip>
-- 
Cheers,
Bretthttp://homeroast.freeservers.com

9) From: Lynne
Sounds to me like Starbucks is the that's trying to keep from being flat
broke:http://tinyurl.com/yvp6pjOn Wed, Jan 30, 2008 at 10:50 PM, Brett Mason  wrote:
<Snip>

10) From: Brett Mason
I hear you, but from a business perspective, Starbucks is incredibly
successful.  They certainly know their product and know their customer.
They understand where a new outlet will make money, and exactly how to do
that.  And above this, they have highly loyal customers...  They get it
right!
But regarding specialty coffee, they are way off.  I suppose the problem is
that we keep thinking that they care about the kind of roast and taste that
we care about.  Not So!  Their interest is to successfully market their
coffee, to people who gladly exchange money for their beverage...
Brett
On Wed, Jan 30, 2008 at 10:04 PM, Lynne  wrote:
<Snip>
-- 
Cheers,
Bretthttp://homeroast.freeservers.com

11) From: Sheila Quinn
Maybe they're really trying to do the ol' Bait 'n' Switch. They get you 
into the store by luring you with the one dollar coffee, then sucker you 
into buying something more expensive.
Sheila

12) From: Joseph Robertson
Sheila,
Right on,
I'm sure this is a stock strategy with many businesses. They bank on it.
JoeR
On Jan 30, 2008 8:44 PM, Sheila Quinn  wrote:
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13) From: Brentley Beerline
Or maybe they are just competing with McDonalds and Dunkin donuts for the casual coffee drinker?
Or they are expecting and hoping for a greater sale whent the customer has a $2 pastry with their $1 coffee.
so they are looking to make more money.  :-)  But they are a business and a public company.
----- Original Message ----
From: Sheila Quinn 
To: homeroast
Sent: Wednesday, January 30, 2008 8:44:05 PM
Subject: Re: +$1 cup at *sucks
Maybe they're really trying to do the ol' Bait 'n' Switch. They get you 
into the store by luring you with the one dollar coffee, then sucker you 
into buying something more expensive.
Sheila

14) From: Brett Mason
They sell things.  Now they are proposing to sell more things.  Doesn't seem
all that sinister or evil.
unless there's a black helicopter Blend coming soon...
  Rufus
On Wed, Jan 30, 2008 at 11:02 PM, Brentley Beerline <
brentley_beerline> wrote:
<Snip>
-- 
Cheers,
Bretthttp://homeroast.freeservers.com

15) From: Aaron
Or. Maybe it means that people are finally seeing through all the hype 
and BS and pulling their heads out of their asses and realizing 
that,hmm. a cup of coffee.. $5  just so I can be rude to the person 
making it....naah,  not worth that much..
When you really stop and think about it,  most the restaraunts, 
McDogmeats, BugerFling, DunkinDoorknobs, and now even many of hodgies 
stop and robs are offering their own brand of 'gourmet coffee'...  When 
compared side to side, these coffee's are not very much different than 
what starboys coffee is, only several dollars cheaper per paper cup worth.
Most of what starbucks advertised and boasted to begin with was 'image' 
anyways.... Imagine the envy of your friends when you hold a glass of 
*our* product. bla bla....  and not necessarily product quality.  Image 
is like a mirage, first sandstorm and it's all over... as they are 
finding out.
Aaron

16) From: Floyd Lozano
I think their performance has less to do with how people like their
coffee and more to do with the economy on the whole.  People start
trimming their budget by cutting out the 'fat' as it were, so luxury
items like this suffer.  They drink office coffee instead and save $30
a week (to buy gas instead).  SBUX still earned $0.26 a share, and
that misses analyst estimates by a penny (or 3%, however you want to
look at it).  Estimates of traffic are down 3% and sales 1%, which is
in line with an economic slowdown, not the meltdown that Krispy Kreme
faced when the world turned on high-carb offerings and killed the
donut business.  Starbucks is also at least giving the appearance of
caring about their coffee as they starting to pull the junk like
breakfast sandwiches off the menu and concentrate on their 'core
competency', which is allegedly roasting specialty coffee (at least,
more specialty than Maxwell House).
Of course, none of that will likely get anyone on this list inside a
Starbucks unless it's to use the restroom ;)
-F
On Jan 31, 2008 6:05 AM, Aaron  wrote:
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17) From: Rich
*$ sells the sizzle.  Some people are starting to catch on to the fact 
that you can buy the steak down the street at Casey's Quick Trip cheaper 
and it still tastes th same, like the environmentally acceptable 
biodegradable paper cup.  And Casey's ells gas also.
Aaron wrote:
<Snip>

18) From: Joseph Robertson
Nice overview Aaron,
Marketing is a huge part of this all. Businesses are bringing in the pros,
market specialists  that get paid big bucks to come up with ideas like our
own brand / label / cup of coffee. I get most of the coffee industry mags,
it's fun to watch the evolution of the coffee trade. For any one serious
about getting into the biz it's a must. Sheri's restaurants went into
partnership with Royal coffee and came up with their own special roast and
brand and very point on training for their employees. Nice business move.
Some of you may have tried it "Arosta" They offer two roasts a light and a
dark. I tried the dark. A nice cup if your half awake in the morning. The
target market was already there for them. Those folks that perfer not to
spend 5 bucks a coffee. Can't expect too much from ground coffee. Specialty
coffee of sorts for the next tier food stops above truck stops and fast
food.
JoeR
On Jan 31, 2008 3:05 AM, Aaron  wrote:
<Snip>

19) From: kevin creason
<Snip>
Not really, for a big corporation that can take a hit for a while. Remember
the other article about how Starbucks actually ends up being beneficial to
small mom/pop coffee houses? This $1 coffee may reverse that trend so that
Starbucks once again dominates on those particular street corners. Notice
how they aren't doing it in all stores yet-- just in certain neighborhoods
to test the waters. Or is to drown the competition in certain neighborhoods?
hmm...
are those black helicopters on the horizon?
-Kevin

20) From: Joseph Robertson
Good point. Starbucks of all Corps has the marketing power to try anything
they want any way they want. You can bet they think it out.
JoeR
On Jan 31, 2008 7:17 AM, kevin creason  wrote:
<Snip>

21) From: Tom Ulmer
Still $2 for a double espresso...

22) From: Dave Kvindlog
So your two cents, and ninty-eight more will getcha a cup 'o that new
joe...if you can choke it down...
Dave
iHomeroast
On 1/30/08, Brett Mason  wrote:
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23) From: Sandra Andina
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Well, here's a confession---I go to *$ on the road, either at tollway  
"oases" when I and my bandmates need caffeination or to use the wi-fi.  
I pay for the T-Mobile account (good at Borders too), but I do nurse a  
coffee drink (a breve or espresso macchiato) as I check my e-mail.
Sandy Andina
www.myspace.com/sandyandina
On Jan 31, 2008, at 6:20 AM, Floyd Lozano wrote:
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Well, here's a confession---I =
go to *$ on the road, either at tollway "oases" when I and my bandmates =
need caffeination or to use the wi-fi. I pay for the T-Mobile account =
(good at Borders too), but I do nurse a coffee drink (a breve or =
espresso macchiato) as I check my e-mail.
 Sandy Andinawww.myspace.com/sandyandina 
On Jan 31, =
2008, at 6:20 AM, Floyd Lozano wrote:
Of = course, none of that will likely get anyone on this list inside = a Starbucks unless it's to use the restroom = ;) -F = --Apple-Mail-8-166057889--

24) From: seth Grandeau
But what is Starbucks main product?  Is it the small (tall) cup of coffee-o=
f-the-day?  Or is it the specialty coffee drink that rings up for $4 or $5?=
  This may be like casinos giving you $10 hotel rooms, so you'll come lose =
$100s or $1000s in the casino...
From: theotherjo: homeroast: Re: +=
$1 cup at *sucksDate: Thu, 31 Jan 2008 08:29:07 -0800Good point. Starbucks =
of all Corps has the marketing power to try anything they want any way they=
 want. You can bet they think it out. JoeR
On Jan 31, 2008 7:17 AM, kevin creason  wrote:
This last year I took a business course at the Seattle Coffee Fest. The one=
 point that all the presenters stressed was do not under any circumstance d=
evalue you product by offering deals like you describe. In fact I'm very su=
rprised they are doing that. Very bad business strategy.Not really, for a b=
ig corporation that can take a hit for a while. Remember the other article =
about how Starbucks actually ends up being beneficial to small mom/pop coff=
ee houses? This $1 coffee may reverse that trend so that Starbucks once aga=
in dominates on those particular street corners. Notice how they aren't doi=
ng it in all stores yet-- just in certain neighborhoods to test the waters.=
 Or is to drown the competition in certain neighborhoods?hmm...are those bl=
ack helicopters on the horizon?-Kevin
Helping your favorite cause is as easy as instant messaging. You IM, we g=
ive.http://im.live.com/Messenger/IM/Home/?source=text_hotmail_join=

25) From: Aaron
but when you look at the towns where they are doing this at, and the 
general mentality of the people there... nuff said.
Aaron

26) From: raymanowen
I remember a Donald Duck comic strip- the price of coffee had gone from 5
cents per cup to 10 cents/ cup!
Uncle Scrooge McDuck asked, "If I bring my own cup, can I still get coffee
for a nickel?"
"Yes..."
So next day, he shows up with a coffee cup the size of a soup bowl...
Cheers, Mabuhay -RayO, aka Opa!
It's just business...
On Jan 31, 2008 5:48 PM, Aaron  wrote:
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