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Don's Monthly Newsletter: "Do People Go to Starbucks for The Coffee or The Experience?" - September 2021 (AUDIO)

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According to www.businessinsider.com, it costs between sixteen cents and eighteen cents to make a cup of coffee at home.

According to the blog Fast Food Price, the absolute cheapest drink on the Starbucks menu is an organic apple juice box for $1.75. At my local Starbucks, a Pike Place Roast cup of coffee costs $2.07. This Fall I’ll be able to buy a Pumpkin Spice Latte Venti for $5.25.

Despite these staggering prices, Starbucks is thriving. Even during the lockdown, people needed their Starbucks fix. Cars were lined up at the take-out window.

If you are a reader of this newsletter, you know that I encourage you to not succumb to the commoditization that is roiling our industry. Starbucks turned a commoditized industry upside down. Be that $5.25 specialty drink. Provide a unique experience, great solutions and five-star service. Don’t be average, don’t be generic and don’t apologize for your fees. Be like Starbucks.



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