Miscellaneous

Rising labor costs (48%), employee turnover (44%) and insufficient training (39%) ran 1, 2 & 3 as barriers to improved restaurant operations according to a recent Zenput and Technomic survey. The survey of 295 restaurant operators also found 27% of operators are using technology “to a great extent” to automate aspects of their operation. Last…

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Miscellaneous

Starbucks recently reached a $176,000 three-year settlement agreement with New York City for violating NYC employment laws by requiring employees to find their own substitutes when they took sick leave. Announcing the settlement, NYC Mayor Bill De Blasio and other city officials said the chain must also prominently post education posters explaining the city sick…

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Price of Political Correctness

A little over 18 months ago, in the wake of poor judgement by a manager of one of its Philadelphia stores, Starbucks buckled in the face of public backlash and changed its restroom policy of paying customers only. Subsequently, Starbucks restrooms were opened to the general public, customer or not, and predictably, the homeless and…

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More Restroom Issues at Starbucks (Ally’s Law)

A story in the Boston Globe earlier this year was brought to our attention by one of our members with some questions on bathroom access requirements and we believe those questions warrant some further cautionary reporting. The Globe story was on the dilemma of an attorney in Massachusetts stricken with Crohn’s Disease, which at times…

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Competitor News

Krispy Kreme walked back its earlier decision to bring the hammer down on enterprising college student Jayson Gonzalez. The college senior was driving 8 hours one way to Iowa to purchase dozens of Krispy Kreme donuts weekly. He would then drive back to his college in Minnesota where there are no stores and resell the…

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Starbucks

Starbucks reported exceedingly strong Q4 earnings this week with comparable sales up 6% in the US and Rewards Membership increasing 15% year over year to a current enrollment of 17.6 million! In other recent news, Starbucks announced last week that it was investing $10 million in four community lenders to drive economic opportunity in some…

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Competitor News

Starbucks made news this week on both the domestic as well as international fronts. First, the company announced this week that it was expanding its happy hour buy one get one free deal to include all hand-crafted beverages in grande size or larger. The expanded menu includes some of their priciest items such as the…

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Starbucks

The company saw its stock take a 3.5% hit earlier this week after the Wall Street Journal reported that the SEC is looking at how the company is recognizing revenue. Specifically, the SEC was reported to have concerns about how the company treated its gift card revenue as well as an upfront payment of $7B…

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Starbucks

CFO Pat Grismer presented to the Goldman Sachs conference earlier this week and gave a brief look at US operational developments with Starbucks’. Interestingly, he made some of the very same points that Dunkin Brands did in 2017 and 2018 when the Dunkin Blueprint was implemented. Starbucks acknowledged they would stay beverage focused to drive…

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Competitor News

Although they haven’t taken or scheduled any formal actions yet, unionized workers at a supply distributor that services about 900 Starbucks formally authorized a strike last week. The workers, approximately 300 drivers and warehousemen, and members of the Teamsters Union Local 710, are employed at 4 DPI Specialty Foods Inc. facilities in Chicago, Indianapolis, Minneapolis…

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