Wednesday, August 28, 2013

Starbucks’ Exploiting Omni-Channel Retail for Continued Success

Consumers are dynamic not static and Starbucks understands that better than most food retailers today.  Forty Two years ago Starbucks sold nothing but coffee and for 25 years CEO Howard Schultz repeated we will never sell food.  Schultz however has a keen eye on the consumer and when the consumer evolves Starbucks evolves.

The evolution continues this September, Starbucks will debut its Evolution Harvest snack platform, which will feature nutrition bars, trail mixes and fruit snacks. Evolution Harvest bars will be available in most Starbucks stores in all major metropolitan markets throughout the United States.  Then a line of freeze-dried fruit snacks will debut at the end of September, and Evolution Harvest trail mixes will be introduced sometime in October. It does not stop there.

In an Omni-Channel world which we operate Starbucks is rolling out 14 Evolution Fresh juices and three Evolution Harvest snack bars at Whole Foods Market stores nationwide. If success leaves clues, here is one for those of you Starbucks after 42+ years in business same store sales (SSS) year over year are 9+ %.  What are your SSS numbers? Not 9+ %. The clue is follow the leader.  Starbucks is the leader succeeding in an Omni-channel retail world. What are you selling and where are you selling it?

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