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Called the "Siren Craft System," it overhauls the workflow at some 10,000 of its coffeehouses in an effort to reduce inefficiency, speed up orders, and boost customer satisfaction. Every fast-food outlet, Starbucks cafés included, is a little factory. The new system instructs baristas to push cold drinks down in the queue in favor of hot ones. But the fact is, the cold drinks also take longer to make. The higher-grossing cold drinks take so long to make, in fact, that they're actually pretty low-margin.
Persons: you've, overachievers, Siren Craft, cranking, Michelle Eisen, baristas, they're, Craft, it's, They'll, It's, Eisen, Adam Rogers Organizations: , Dutch Bros, Starbucks, Boeing, Google, Business Locations: America, Wells Fargo
In Japan, Turning the Tables on Rude Customers
  + stars: | 2024-07-26 | by ( Motoko Rich | Hisako Ueno | ) www.nytimes.com   time to read: +1 min
The guests arrived 30 minutes before check-in time at a traditional hot springs inn a couple of hours north of Tokyo. When they saw a sign asking that customers wait in their cars, they demanded to know why they could not get their room key early. The exchange, captured on a security camera, quickly exploded into angry shouting. Eventually it ended on the pavement out front — with the inn’s managing director down on his knees, bowing deeply and apologizing. The tradition of hospitality is such that retail clerks in upscale stores bow to customers on their way out the door, and waiters, baristas and hotel clerks use honorific Japanese when serving.
Persons: , Locations: Tokyo, Japan
Employees who brewed and served Starbucks coffee, whom Starbucks called baristas, handwrote customers’ names on their drink orders. But Starbucks’ business has transformed, and it has struggled to maintain its identity as that third place along the way. In some stores, customers complained online that Starbucks pulled out comfortable chairs and replaced them with hard wooden stools. Mobile ordering was another major step in Starbucks’ road to becoming primarily a take-away business. Starbucks also is opening 2,000 new stores, including traditional Starbucks locations, pick-up stores, delivery-only stores and drive thru-only locations.
Persons: Howard Schultz, ” Schultz, , Stephen Brashear, Michelle Eisen, , ” Eisen, Laxman Narasimhan, — it’s, Schultz, Tim Boyle, Wall, Tom Cook, Casey, “ It’s, Cook, ” ‘, Michael Casey, Alex Wong, Joe Pine, Eisen Organizations: New, New York CNN, Starbucks ., Starbucks, Employees, Getty, Starbucks Workers, LinkedIn, Mobile, Horizons, Harvard Business Locations: New York, America, Buffalo , New York, United States, North America, U.S, Newsmakers, Buffalo
He needs to execute better," Jim Cramer stressed, referring to Starbucks CEO Laxman Narasimhan, during the Investing Club's June Monthly Meeting . Then in mid-June, Starbucks launched its limited-time "Pairings Menu," which includes a $5 coffee-and-croissant combo and a $6 coffee-and-breakfast-sandwich deal. Order up Jefferies' Barish also raised questions about Starbucks' menu innovations, arguing its updated drink options are not driving sales as much as hoped. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust's portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade.
Persons: it's, Jim Cramer, Laxman Narasimhan, Jim, Rachel Ruggeri, Burger King, Jefferies, Andy Barish, Barish, TD Cowen, Cowen, Edward Lewis, Lewis, they're, Narasimhan, Ruggeri, Berry, Long, We've, Jim Cramer's, Spencer Platt Organizations: Starbucks, Taco Bell, Street, CNBC, Getty Locations: North America, Israel, Gaza, China, Burger, Manhattan, New York City
Inside Starbucks' plans to improve stores
  + stars: | 2024-07-01 | by ( ) www.cnbc.com   time to read: 1 min
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailInside Starbucks' plans to improve storesCNBC's Kate Rogers with an exclusive look at changes being implemented in Starbucks stores to improve the experience for baristas and customers as the company's app opens up to non-Rewards members in a bid to increase traffic.
Persons: Kate Rogers
At the heart of the plan is Starbucks' "Siren Craft System," a series of processes that aim to make baristas' jobs easier and speed up service times for customers. Starbucks said more than 10% of its 10,000 stores have already implemented the system, which includes changing the production order for hot and cold drinks. Starbucks reported rates of incomplete mobile app orders in the mid-teens and said occasional customers came in less. Losing customers because of slow orders and other store frustrations could cost Starbucks at a particularly vulnerable time. The company plans to train existing workers for the role or potentially add new baristas, if needed.
Persons: Beata Zawrzel, Laxman Narasimhan, Katie Young, Peter Saleh, Young, Howard Schultz, Narasimhan, Schultz, Macoy McGlaughlin, Walker, we're, McGlaughlin, Baristas Organizations: Starbucks, Nurphoto, Getty, CNBC, Workers Locations: Krakow, Poland, North America
Read previewI worked as a Starbucks barista for nearly a year, and I became extremely familiar with just how expensive the popular coffee chain is. As a stingy spender, I made several mental notes on ways customers would unnecessarily waste their money during my shifts. If I find irresistible merchandise, I'll take advantage of the Starbucks rewards program. If you're looking for a caffeine fix, stop wasting your money on hot venti lattesGrande and venti lattes have the same amount of espresso. Stop paying for bottled waterI've always been baffled by people who insist on buying bottled water from Starbucks.
Persons: , spender, Nadir Keklik, Michael Probst, It's, they're, Ramin Talaie Organizations: Service, Business, AP, Americano, Getty, Starbucks
The fruity energy drink debuts less than two months after bakery-cafe chain Panera Bread announced it was discontinuing its controversial Charged Lemonade, a beverage that lawsuits blamed for two deaths and referred to as a "dangerous energy drink." The Iced Energy comes in three flavors, including its most caffeinated flavor, Tropical Citrus, which has 205 milligrams of caffeine, according to Starbucks' website. Panera started phasing out the Charged Lemonade on May 7, and it has denied any wrongdoing, saying it removed the beverage as part of a broader menu transformation. Except for its Frozen Tropical Citrus Iced Energy with Strawberry Puree, Iced Energy is sugar-free, containing artificial sweeteners. Charged Lemonade and Iced Energy are part of a growing category called "functional beverages" that chains big and small are eager to jump into, according to experts.
Persons: Brian Warrener, Panera, Dunkin, Bull Organizations: Starbucks, Energy, Center for Beverage Education, Innovation, Johnson & Wales University, Consumers, Drug Administration, American Academy of Pediatrics Locations: Providence , Rhode Island, Chicago, Russia, U.S, Coke
Many Americans are not willing to leave a tip all the time, and they're becoming less likely to do so. The 2024 survey of US adults conducted from April 29 to May 1 found that 67% percent of those who go to sit-down restaurants always give tips to servers. Thirty-five percent of adults said "tipping culture has gotten out of control," per the Bankrate post. Still, the survey found 78% of Gen Xers and 86% of baby boomers who go to sit-down restaurants always give a tip. AdvertisementAnd younger Americans are less likely to tip at sit-down restaurants.
Persons: Bankrate, Ted Rossman, it's, Xers, culture's, Gen Xers, Gen Zers, millennials, Rossman, that's Organizations: Service, Business, Pew Research Center
"So if you're not tipping in those scenarios, you're really taking money out of the server's pocket." Still, etiquette experts say there are situations where you may feel pressured to tip but are by no means required to. To be clear, the etiquette experts aren't saying to avoid tipping at the counter — merely that it's at your discretion. "It's a nice gesture to offer a tip to a worker who goes above and beyond the service," Swann says. "From an etiquette standpoint, we still tip the servers who are bringing us our food," he says.
Persons: It's, Ted Rossman, There's, Thomas Farley, Mister Manners, Elaine Swann, Swann, they've, Farley Organizations: Newark Airport, Swann School of Protocol . Service Locations: Bankrate, Denver
Spencer Platt | Getty ImagesWhen Starbucks and its baristas union resume contract bargaining this week, workers may have renewed momentum at their backs — courtesy of the company's own CEO. Narasimhan, in prepared remarks to Wall Street analysts, cited some of the challenges that union workers have been highlighting in their bid for better working conditions. For Workers United, the union behind the Starbucks organizing, his admission that more could be done was promising. Starbucks and the union are meeting to continue working on the framework that will inform every single-store contract moving ahead. There has been another call for change at Starbucks stores that may carry weight at the negotiating table.
Persons: Spencer Platt, Laxman Narasimhan, we're, Narasimhan, CNBC's, Kevin Johnson, baristas, Michelle Eisen, Eisen, we've, Howard Schultz, Schultz, Howard Organizations: Getty, Starbucks, Wall Street, U.S, Workers United, Staffing, CNBC Locations: New, Buffalo , New York, Buffalo
When a company performs well and I interview its CEO on CNBC, I consider the stock's performance before fashioning my questions. Maybe the company had been poorly run and the guest is a new CEO who is turning it around. Once Wood picks a stock, that company can do no wrong, which is code for she can do no wrong. And take it from me, an old Mexican restaurant veteran, it travels better than any other restaurant chain. We should have just bought Dutch Bros. (See here for a full list of the stocks in Jim Cramer's Charitable Trust.)
Persons: Albert Manifold, Rather, That's, Chris Gibson, Jensen Huang, Huang, Gibson, Cathie Wood, Wood, that's, Brinker, Chipotle, Chipotle execs, Taco Bell, isn't, Yum, McDonald's, Laxman Narasimhan, Howard Schultz, let's, Narasimhan, Joe, Locker, Jim Cramer's, Jim Cramer, Jim, Al Drago Organizations: CNBC, Pharmaceuticals, Nvidia, ARK, Gallup, Darden, Diageo, Brands, KFC, Taco, Taco Bell, Texas, Starbucks, Management, Bros, Dutch Bros, Jim Cramer's Charitable, Starbucks Corp, Health, Education, Labor, Bloomberg, Getty Locations: United States, U.S, Dublin, Ireland, Europe, Texas, Olive, East, Israel, Washington , DC
The difficult road ahead for Club holding Starbucks took a dramatic, unexpected turn this weekend — one that Jim Cramer said he's not seen before in his four decades on Wall Street. "I think he's coming from the point of view just sadness about where the franchise is," Jim said. Narasimhan said Starbucks is working on a plan to speed up customer service and improve its supply chain. As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Former Starbucks CEO Howard Schultz testifies about the company's labor and union practices during a Senate Committee on Health, Education, Labor and Pensions hearing on Capitol Hill in Washington, DC, March 29, 2023.
Persons: Jim Cramer, he's, Howard Schultz, Schultz, I've, Jim, Laxman Narasimhan, Kevin Johnson, SBUX, Narasimhan, Howard, Jim Cramer's, Saul Loeb Organizations: Club, Starbucks, CNBC, LinkedIn, Health, Education, Labor, Capitol, AFP, Getty Locations: U.S, North America, China, Washington , DC
Longtime Starbucks CEO Howard Schultz has some thoughts on Starbucks' poor sales. He said the chain needs to listen to baristas, fix its app, and focus on the customer experience. download the app Email address Sign up By clicking “Sign Up”, you accept our Terms of Service and Privacy Policy . AdvertisementHoward Schultz says Starbucks needs to fix its stores and mobile app to reverse its "fall from grace." "The company's fix needs to begin at home: US operations are the primary reason for the company's fall from grace," Schultz wrote.
Persons: Howard Schultz, , Schultz Organizations: Starbucks, Service, Business Locations: North America, China
Starbucks is set to roll out its own version of boba in May, CEO Laxman Narasimhan said Tuesday. "We are launching our first texture innovation, Pearls," he said. Some Starbucks baristas have posted TikTok videos making drinks with "raspberry-popping pearls." AdvertisementStarbucks is set to roll out its own version of boba at its stores this summer, more than two years after it first confirmed that it was testing drinks with pearls. "For summer, we are launching our first texture innovation, Pearls," CEO Laxman Narasimhan told analysts at the company's earnings call Tuesday.
Persons: boba, Laxman Narasimhan, Organizations: Starbucks, Service, Business
A Starbucks worker boards the Starbucks union bus after Starbucks workers stood on the picket line with striking SAG-AFTRA and Writers Guild of America (WGA) members in solidarity outside Netflix studios on July 28, 2023 in Los Angeles, California. Starbucks and Workers United, which represents roughly 500 of its cafes, said Friday in a joint release that they made "significant progress" in their contract talks this week. The two-day session marked the first time in nearly a year that Starbucks and Workers United came to the bargaining table. Workers United has broadly pushed for higher wages and more consistent scheduling, among a range of other priorities. After a year, workers who lose faith in the union can petition to decertify, putting a ticking clock on negotiations.
Persons: there's Organizations: SAG, Guild of America, Netflix, Starbucks, Workers United, Service Employees International Union, SEIU . Workers United Locations: Los Angeles , California, Atlanta
Store agreements will be negotiated and ratified separately, but the union might make proposals that could affect all of the Starbucks workers it represents. Workers United has broadly pushed for higher wages and more consistent scheduling, among a range of other priorities. Citing unfair labor practices by Starbucks, the labor board has denied 18 other petitions to decertify. Starbucks argued that other agencies seeking injunctions have a higher threshold to receive one than the labor board does. Starbucks could share more about the union negotiations during its quarterly earnings call.
Organizations: Starbucks, Workers United, National Labor Relations Board, Service Employees International Union, NLRB, International Brotherhood of Teamsters Locations: U.S, Pittsburgh, Memphis
Starbucks is giving its plastic cups a makeover
  + stars: | 2024-04-18 | by ( Jordan Valinsky | ) edition.cnn.com   time to read: +3 min
The chain announced Thursday that the plastic cups for all sizes of its cold drinks have undergone an environmentally friendly redesign that uses up to 20% less plastic compared to the current version. The new cups were developed internally at Starbucks as part of its ongoing sustainability efforts to reduce its waste and carbon output in half by 2030. In addition to using less plastic for the cups themselves — Starbucks projects the new cups will save more than 13.5 million pounds of plastic going to landfills annually — it is “projected to reduce emissions and conserve water in the production process,” the chain said. Starbucks said it conducted tests with baristas and customers to ensure the changeover doesn’t reduce the cups’ sturdiness or ability to keep drinks cold. Priestland suggests that Starbucks develop reusable and returnable on-the-go cups to help them fully achieve their sustainability goals.
Persons: there’s, Connor Surdi, Emma Priestland, Priestland Organizations: New, New York CNN, Starbucks, CNN Locations: New York, Canada, Seattle, Japan, Singapore, United Kingdom
Witnesses to the stabbings at a mall in a Sydney, Australia, on Saturday described a scene of terror as shoppers fled from the knife-wielding man or huddled in stores as panic spread through the shopping center. Others ran out, screaming as they passed by bodies on the floor. When Gavin Lockhart, 37, saw people running as he sat inside a coffee shop at the mall, there was a moment of confusion. Then, Mr. Dunkley recounted, he saw a police officer attempt to stop the assailant. When the officer told the man to put his knife down, he lunged toward her with his weapon, the cafe owner said.
Persons: blared, Gavin Lockhart, , “ He’s, Michael Dunkley, Dunkley, , Mr Locations: Sydney, Australia
At Starbucks, where each store is corporately owned, increased prices took effect as soon as the new law did, BI found. AdvertisementA roughly 15% price increaseBI found prices on Starbucks menu items increased from $0.50 to as much as $1.00 by comparing previous receipts to current prices. Others lamented that their typical order increased by a dollar or more. Baristas bear the brunt"As if we don't get harassed enough," a Starbucks barista posted on Reddit along with pictures of new signage reflecting the higher menu costs. Representatives for Starbucks United, which represents unionized Starbucks employees, did not immediately respond to a request for comment from Business Insider.
Persons: , Gavin Newsom, they're, hasn't, They're Organizations: Service, Gov, Food, Business, Starbucks, Starbucks United, California Starbucks Locations: California, North America
The Shanghai-based premium EV company was co-founded in 2014 by its CEO, William Li. William Li, also known as Bin Li, has been dubbed the "Elon Musk of China" for his push to develop self-driving EVs and his loyal fan base. He co-founded his first major company in his mid-twentiesBitauto, a car comparison website, was co-founded by Li in 2000. AdvertisementAnyone who purchases a Nio car can access "Nio Houses" equipped with meeting rooms, lounges, baristas, and supervised kids' play areas. To Li's dismay, Nio cars are not yet available for sale in the USLi has expressed dissatisfaction with the US tariffs on Chinese-made EVs.
Persons: William Li, Li, , Bin Li, Elon, EVs, he's, Tesla, Zoey Zhang Li, Nio, Li livestreamed, HECTOR RETAMAL, ET7, ALY, Elon Musk Organizations: Service, REUTERS, Peking University, New York Stock Exchange, NYSE, CNBC, Reuters Locations: China, Shanghai, Anhui, Nio, Europe, Xiamen, Mexico
Why Are Pants So Big (Again)?
  + stars: | 2024-03-03 | by ( Jonah Weiner | ) www.nytimes.com   time to read: +1 min
My pants had been slim for some 15 years, since so-called skinny jeans first hit the market in earnest, around 2005. Narrow silhouettes quickly spread, until they felt less like a trend and more like a structural fact of existence: A decade after their ascendance, slim-fit pants remained common currency across generations, demographics and body types. BTS, at the time the biggest pop group in the world, wore them. And then, in a rupture whose center I place within the broader pandemic-era upheavals of 2020, the “right” pants began to lurch away from the leg at scale. Jeans, a kind of Patient Zero for pants trends, showed symptoms of acute-onset elephantiasis.
Persons: we’d, Paul O’Neill, Levi’s, ” He’d Locations: Chicago, Hollywood, Greenwich
As someone who worked as a Starbucks barista for over a year, here are some of the biggest red flags to look out for. It's not always wise to mobile-order a drink with cold foam or shaken espressoCold foam won't last that long on top of a drink. Mary Meisenzahl/InsiderCold-foam cold brews have boomed in popularity over the past few years — pumpkin cold foam, Irish-cream cold foam, almond milk-honey cold foam, the list goes on. A little mixing can taste nice, but you lose the texture of the cold foam, which is a delight in itself. The same principle applies to any shaken espresso drink.
Persons: Baristas, , aren't, Mary Meisenzahl, barista, I'm, It's, Ramin Talaie, Getty, it's, that's, Sarah Jackson, I've Organizations: Starbucks, Service
A Starbucks logo is seen as members and supporters of Starbucks Workers United protest outside of a Starbucks store in Dupont Circle, Washington, D.C., on Nov. 16, 2023. The wage increases are a sign of good faith from Starbucks toward Workers United, an affiliate of the Service Employees International Union that has organized more than 300 company-owned Starbucks locations. Starbucks and Workers United said they have agreed to start discussions "on a foundational framework" on how to reach collective bargaining agreements for stores. The announcement marks the most noticeable thawing in the two parties' relationship since the first Starbucks location unionized in December 2021. Starbucks also said Tuesday that it would provide unionized cafes with credit card tipping, a benefit that has been available in nonunion stores for more than a year.
Persons: Howard Schultz, Laxman Narasimhan Organizations: Starbucks Workers, D.C, Workers United, Service Employees International Union, Workers, Starbucks, CNBC PRO Locations: Dupont Circle, Washington
The coalition is pushing to replace three current Starbucks board members with its own nominees. The SOC proxy presentation claims the company's board has backed what it calls an "unnecessarily confrontational" strategy with the union. Starbucks said it has not only a new CEO, but with these additions, it has added five new board members in the past year. The proxy presentation targets three current Starbucks board members: Ritch Allison, Andy Campion and Jørgen Vig Knudstorp. Allison, Campion and Knudstorp, specifically, provide "continuity and highly-valuable unique perspectives," the Starbucks presentation said.
Persons: Baristas, Nielsen, Maria Echaveste, Joshua Gotbaum, Wilma Liebman, Daniel Servitje, Neal Mohan, Mike Sievert, Ritch Allison, Andy Campion, Jørgen Vig Knudstorp, Allison, Campion, Knudstorp, Wendy's, Narasimhan Organizations: Starbucks, CNBC, Organizing Center, U.S . Securities, Exchange Commission, National Labor Relations Board, NLRB, Starbucks Corporation, Siren Retail, Service Employees International Union, Starbucks Workers United, Communications Workers of America, United Farm Workers of America, Chipotle, Darden, Restaurant Brands, Yum Brands, White House, Hawaiian Airlines, White, Grupo Bimbo, YouTube, Mobile, SEC Locations: Buffalo, Arlington , Virginia, China, U.S
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