3/14/2015

The Starbucks Experience by Joseph A. Michelli

Virtual book club.

The book was written in 2007 and many things have happened with Starbucks, but I feel the 5 Principles for Turning Ordinary into Extraordinary are still valid.  If you own a retail store, this book is for you.

In the introduction they say “How do you inspire a coffee drinker to give up her regular routine while also getting her to pay six to eight times more for rich exotic coffee blends when “ordinary” is all she’s ever known?”

The fact that Starbucks is the regular routine of many now is proof of their success.  The old regular routine was buying Maxwell regular coffee and making and drinking it at home for pennies on the dollar.

“A vision and a plan executed to perfection are what characterize great businesses.” p. 5

So what did Starbucks do?  “…partners are given  extensive training in product knowledge, guiding principles of success, personal empowerment, and the importance of creating a warm customer experience.”

They spend more money on training that advertising.

I would like you to read each chapter and while you read them, try to image how your store handles each situation.

Principle I – “Make it Your Own”

At the end of each chapter there are “Ideas to Sip In”

Besides making the business your own, if you look at your business as an investment, you must nurture and take care of your investment.

“Be welcoming”  This is one of those things that sounds simple but is difficult to do.  Many retail stores have other projects that sales must do when they are not busy. They start doing their misc. projects at the store like pricing new inventory, and a customer comes in and interrupts their project.  Do they stop and smile at the customer? Or do they keep doing their project?

Are you aware and sensitive to the unique needs of the community you serve? Once you have decided on a location for your store, walk around the neighborhood see if you can order special products that your neighbors need.

The employees have a little book with Starbuck’s customer policies called the “Green Apron Book”.  Managers keep this in their apron to refer to it if they need it.  I believe this is similar to Ritz Carlton that has a business card that employees carry that have the mission of the company on it.

Do your employees understand what your business is all about?  After training the new employee how to use the cash register, do you train them how to treat the customer.  Telling them to watch you may not be enough.  They need to know what was your dream for the store.  How can they help make that dream come true?

Next Post: March 21, 2015