Thursday, November 15, 2007

Starbucked - some facts about Starbucks

Fast Company has some snippets from Taylor Clark's new book Starbucked: A Double Tall Tale of Caffeine, Commerce, and Culture:
  • Starbucks's closest competitor in the coffeehouse market, Caribou Coffee, is just one-twenty-fifth its size. Every 10 weeks, Starbucks opens as many stores as the total number of Caribou outlets.

  • Starbucks has had 14 straight years with at least 5% same-store sales growth.

  • Contrary to popular opinion, Starbucks increases sales at rival nearby coffeehouses. For example, when it blitzed Omaha with six stores, coffee sales at local joints went up as much as 25%, and more new ones opened shop.

  • According to Starbucks, the company pays more for insurance for its employees ($200 million) than it does for coffee beans, yet only 42% of its 125,000-plus workforce has company health insurance--a lower percentage than Wal-Mart (46%).

  • The average customer spends $4.05 per visit for coffee; the average fast-food-restaurant visitor spends $4.34 for an entire meal.

  • For a cup that costs $3.40, at least 40 cents is profit. When Starbucks bumped the 8-ounce cup off the menu, the 10-ounce "tall" (the new small) increased profits by 25 cents per cup for only 2 cents of added product.
  • More people would give up sex before they'd give up coffee.

1 comment:

Christopher Mark Van Allsburg said...

Yes. I would give up sex for coffee. But it has to be good coffee though. None of this Folger's crap.