Blog

Starbucks Closes 7,100 US Outlets

Jim Riley

27th February 2008

...for a few hours, to train all the staff. An amazing decision taken by the new boss of Starbucks in the US to kick-start his recovery strategy for the poorly-performing coffee chain.

Google News was full of references to Starbucks this morning, as the US and International Press absorbed news of the decision by Starbucks to close all their stores on Tuesday 26/2/08.

According to The Guardian, new Chairman Howard Schultz ordered the unprecedented three-hour afternoon closure as part of an effort to improve coffee quality and revive the chain’s flagging fortunes.

It prompted frenzied action by competitors hoping to snatch Starbucks customers. Dunkin’ Donuts declared Tuesday a cut-price coffee day with prices slashed to 99 cents (50p) so that “no coffee lover is denied a delicious espresso-based beverage”.

I love the slightly “catty” response by a local specialist coffee shop owner to news of the large-scale “on-the-job” training programme:

“I’m not sure why it’s going to take them three hours to learn how to press a button,” said Coffee Klatch’s owner, Mike Perry, who described his own beverages as “expertly crafted” in contrast with Starbucks’ machines.

Jim Riley

Jim co-founded tutor2u alongside his twin brother Geoff! Jim is a well-known Business writer and presenter as well as being one of the UK's leading educational technology entrepreneurs.

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