I recently discovered (maybe the better word is "re-discovered" from my childhood) the convenience and ease of ordering books from the local public library! I am sure that the stock price of Amazon will now likely fall, as I have been, or I would like to believe that I have been, their number one customer the last few years! No more - it's just as easy to borrow a book from our library. They even have some of the older books that have been on my "books to read" list for quite some time. Two of these books were written by Howard Schultz, the former CEO (but still Executive Chairman) of the Starbucks Corporation. The first, "Pour Your Heart Into It: How Starbucks Built a Company One Cup at a Time" tells how Schultz first got started in the coffee business and how he built Starbucks into the internationally recognized brand that it is today. The second, "Onward: How Starbucks Fought for Its Life without Losing Its Soul" was written after Schultz had left Starbucks and how he returned to rescue the company during the economic recession in 2008. They are both really good books, and I highly recommend both. I added several comments, quotes, and stories from both to my commonplace book.
The point that Howard Schultz makes, again and again, in both books is that Starbucks is more than just coffee. In fact, I would suggest that in large measure, Starbucks became successful because it was "not about the coffee." Schultz writes (this time, in "Pour Your Heart Into It"), "We never set out to build a brand. Our goal was to build a great company, one that stood for something, one that valued the authenticity of its product and the passion of its people." He explains further (in "Onward"), "Starbucks is not a coffee company that serves people. It is a people company that serves coffee."
Think about it for a moment. Before Starbucks ever became as ubiquitous as it is now (you can purchase the coffee online and at the grocery store, anyone and everyone with a Keurig can make you a cup, most airlines now serve Starbucks, many restaurants serve Starbucks - even our hospital serves Starbucks!), what impressed you the most about Starbucks? Did you really go to your local Starbucks and spend the extra money (you could always purchase a much cheaper cup of coffee at your local McDonalds, the gas station, Dunkin Donuts, etc) for just the coffee? I am the first to admit that the coffee is pretty darn good, and yes, nowadays I would rather pay a little extra to drink Starbucks as opposed to a cup of coffee from the local gas station. But back then, when the only place you could go to get a Starbucks was at one of their coffee shops, was the coffee really worth the extra time, hassle, and money? I would suggest no. What probably impressed you most was the whole "Starbucks Experience." It was walking into a shop that had the look and feel of a "mom and pop" store. It was the music playing in the background. It was the fact that the entire store smelled so good - you could breathe deep the aura of coffee. It was the fact that the individuals working behind the counters were called something special and different ("Barista"). It was the fact that if you were a regular customer, the Barista would know your name and would be able to fix your favorite cup of coffee to your exact specifications without even asking. It was the fact that when your coffee was ready, the Barista would call out your name, hand you the cup of coffee, and tell you to have a great day.
Schultz talks (in both books) about wanting to create what he called a "third place" - a place that wasn't work and wasn't home, where you could go and relax. Read the newspaper. Gather with some friends. Surf the Internet. Drink a cup of coffee.
A few years ago, my sister and her family happened to be visiting London (one of my nephews was finishing up a "study abroad" semester and the entire family had gone to pick him up and do some sightseeing) - I just happened to be speaking at a conference at the same time. We had planned to spend an afternoon and evening together doing some sightseeing and going to dinner. We set up a time and place to meet. While riding in the London Underground (the subway system), my sister's family was trying to catch the next train at the last minute. They were running late. She pushed one of my nephews (he was in high school at the time) on the train and the doors closed before the rest of the family got on. Off my nephew went. Separated from his family in a large city in a foreign country without cell phone or WiFi! What did he do? He got off at the next station, walked into a Starbucks (with free WiFi), and e-mailed his parents to tell them he was fine and arrange for a place to meet. Apparently, Starbucks is more than just a "third place", it's a landmark and safe haven too!
I guess that what I am trying to say is that Starbucks, as Howard Schultz intended from the start, is not selling you a cup of coffee - they are selling you an experience. There is a lesson to be learned here for sure. Leadership is not just about managing people. Leadership is creating and setting a vision that the rest of the team/organization/company can rally around in the pursuit of excellence and perfection. Howard Schultz was a visionary leader. He made a compelling case for what he wanted Starbucks, as an organization, to become. He got others to buy into that vision. And he built Starbucks into a world class organization that does a heck of a lot more than just sell coffee.
There are so many more lessons to be learned in these two books. I will definitely have more to say about Howard Schultz and Starbucks in the future. I would like to leave you with one last quote - it's one that I think sums up perfectly why Starbucks has been so successful (and how I think other organizations can find that same level of success). He says, "Success is not sustainable if it is defined by how big you become or by growth for growth's sake. Success is very shallow if it doesn't have emotional meaning." Schultz signs off with the same word in every memo, every letter, every company blog post, every speech - and I will do so here. "Onward."
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