Workers Strike Starbucks

Yesterday, Starbucks Workers United organized a one-day strike at over 110 unionized stores across 25 states around the country. According to a statement from the union, the strikes were said to be in retaliation for Starbucks’ anti-union activities, their previous efforts to defeat the unionizing efforts, and delays in scheduling bargaining sessions. Company spokespeople have…

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Competitor News

Caribou Coffee has entered the domestic franchise world with the opening just yesterday of its first domestic franchised location in Wooster, Ohio. The company, which has largely used non-traditional (licensed) operations for its business model with 325 company-owned units across the country. Another newer company in the coffee space, Hawaii-based Bad Ass Coffee, announced the…

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Starbucks

Starbucks reported an acceptable earnings picture for Q4 to Wall Street Thursday: strong US sales, weaker margins due to cost inflation and their partner and equipment upgrades; negative but sequentially better results in China due to COVID restrictions, and strong results in other international markets. Of the results that matter most to us, US comps…

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McDonald’s

The Golden Arches showed its continuing global strength last week with the release of almost perfect Q3 earnings.  Global same-store sales were up 9.5%, with US SSS up 6.1%. The average ticket was largely responsible for driving much of the gain, but customer traffic was positive as well. In the U.S., the power of targeted…

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Competitor News

Strange bedfellows indeed! This week, McDonalds announced a partnership with Krispy Kreme for a limited time where the burger giant will be serving Krispy Kreme donuts in a select number of stores. The trial partnership is centered on Louisville, Kentucky, where beginning Tuesday of next week, nine stores will offer three varieties of Krispy Kreme…

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Starbucks Readies Union Negotiations

Starbucks announced last week that it had sent letters to 234 unionized stores offering a three-week window for members of the union bargaining teams to come to the negotiating table. To date, only three of the 234 Starbucks stores that have unionized have begun contract negotiations. None are reported to be close to agreeing to…

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Competitor News

Tim Horton’s has been in the news over the past several weeks for a number of reasons. First, the Canadian coffee chain announced a few weeks ago that it was introducing flatbread pizzas as a new limited time offer at about 20 locations in the Toronto market. They followed that up by announcing the brand’s…

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Starbucks

Starbucks yesterday announced that Laxman Narasimhan will become the next Chief Executive Officer of the company beginning next month on October 1, 2022. Narasimhan will work closely with founder and current interim CEO Howard Schultz for the next six months after which time, he will fully assume the CEO role and join the Starbucks Board…

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Competitor News

Major executive changes continue at Starbucks as COO John Culver announced he will be leaving the Seattle firm effective October 3. His departure comes in the wake of CEO Kevin Johnson retiring in April, General Counsel Rachel Gonzalez leaving in May and North American President Rossann Williams leaving in June. Culver has been with Starbucks…

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Starbucks

With record sales numbers, Starbucks reported a good 3rd Quarter, beating expected revenues and earnings, primarily on the strength of US and North American sales. US same-store-sales were up plus 9 percent, with average ticket up plus 8 percent and transactions up 1 percent. Interim CEO Howard Schultz announced increased Rewards memberships (now 27.4 million…

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