Everything Howard Schultz said on any show that made the record, most notable first. Each card names its show and opens the statement there.
Schultz: Coffee in Italy is no longer as good as it once was
“The by and large coffee in Italy is not as good as it once was. There are certain coffee companies that have maintained the standard, but by and large, the coffee is not as good.”
Schultz: An Il Giornale investor tried to hijack the 1987 Starbucks acquisition
“Jerry gave me about, I think he gave me 90 days to raise 3.8 million dollars. Around the second month, he just came to me and said, where are you with all this? And I think I had about half of it raised. I might have fibbed a bit and said I had a little bit mo…”
Schultz: Mobile Order & Pay is Starbucks' biggest Achilles' heel
“It is the biggest Achilles heel for Starbucks. And it's not even a close second.”
Schultz: Starbucks developed hubris and shifted to playing defense over time
“The worst thing that could happen to a company is believing that you are incapable of doing anything but succeeding, and you deserve the success. But if you start playing defense and don't have the offensive mind, it's not going to go well. And I think over ti…”
Schultz: No desire or intent to return as Starbucks CEO
“The first thing I want to say is I've made it clear to the Starbucks board, Howard Schultz, and I've made it clear to Loxman, Howard Schultz has no desire or intent to return as CEO of Starbucks.”
Schultz: Starbucks introduced the caffè latte to America without trademarking it
“The other thing I didn't do is we introduced cafe latte to the, to America. We didn't trademark it. You know, we trademarked Frappuccino later on, but we didn't trademark cafe latte.”
Schultz: Starbucks Pricing Has Become a Problem Amid Recent Inflation
“There certainly was a fair amount of discussion all the time about the sensitivity of the price points, and I think in later years, maybe in the last couple years, given the consumer inflationary time, I think it's become a bit of a problem.”
Schultz: Starbucks was seven months from insolvency in 2008
“I went up there, and I laid it out. Chapter and verse. I think we have seven months left. We are going to be insolvent.”
Schultz: Previous Starbucks leadership diluted coffee quality to maximize yield
“Because the previous administration had done things that diluted the integrity of coffee to maximize yield.”
Schultz: Starbucks Asia delivers higher brand experience than US stores
“The interesting thing to me today is that the Asian business is operating at a much higher level
Of the soft side of Starbucks than we are in the U S”
Schultz: Starbucks Replaced Entire Executive Team Except General Counsel
“He was right, except for one, the general counsel. They were all gone.”
Schultz: Starbucks should not have launched 24/7 on-demand mobile ordering
“I don't think I would have allowed the mobile app to be on demand, 24 hours a day. I would have slow rolled the availability of it, and then understood how it was being used, and whether or not it was going to disrupt the experience.”
Schultz: Starbucks would not have succeeded under a franchise model
“I never believed that we could build, maintain, and elevate the culture of the company, which I viewed as the thing in a franchise system, where we had individual franchisees who had their own subculture. And so even though there was pressure early on because …”
Schultz: Starbucks underestimated the public groundswell for unionization after COVID missteps
“And I think the company made some early mistakes. Some of which were COVID related. Again, no textbook had to deal with COVID issues, health issues, safety issues. And then I think underestimated the groundswell of public sentiment for this movement in America…”
Schultz: Straight espresso is Starbucks' number one selling beverage in Italy
“Two, three years later, what do you think the number one beverage is? It's espresso. For Starbucks. Straight espresso. Espresso is the number one beverage.”
Schultz: Post-founder companies lose entrepreneurial DNA and play defense out of fear
“Founder leaves, I'm not talking about me, it's you, historically, and companies lose not only the extent of the entrepreneurial DNA, but they lose the ability to be on offense. And the worst thing that a company can do, like a sports team, is start playing def…”
Schultz: Starbucks had about seven months until insolvency in 2008
“I knew that we had about seven months left, if we continued on this track, where we would be insolvable.”
Schultz: Faema and Lavazza both rejected investing in Il Giornale
“One is the espresso company, Faima. And one is the large Italian coffee company Lavazza. And I asked them both to invest in my idea. And both of them turned me down.”
Schultz: Selling in Costco Directly Increased Starbucks Retail Store Sales
“In fact, putting Starbucks in Costco, we were able to measure directly
The increase in volume in the stores on the east side as a result of the proximity to the Costco store.”
Schultz: Coca-Cola dismissed Starbucks ready-to-drink pitch in under 30 minutes
“The Coke meeting was a meeting lasted less than 30 minutes. I can't remember who I met with. They dismissed me didn't view Starbucks or, didn't understand what I was trying to do and didn't give me much time to even explain it.”
Schultz: Starbucks suspended buybacks to invest over $2B into partners
“The day I came back, and I knew what the market would do, is I announced that we were suspending the stock buybacks, and stock went down. I expected it, and I announced that we were going to take basically the money we were using to stock buybacks for the year…”
Schultz: Bill Gates Sr. forced rival bidder to withdraw Starbucks offer
“And all I remember him saying is, you should be ashamed of yourself. That you're gonna steal this kid's dream. It's not gonna happen. You and I both know this is not gonna happen. And within 10 minutes, he told them to stand down, we're walking out of this off…”
Schultz: Needing consultants means a company does not know its business
“If we have to hire a consultant, it means that we don't really know our business.”
Schultz: Legacy Coffee Giants Were Too Arrogant to See Retail Coffee Opportunity
“I think the large companies just never believed that you could build a national company and brand around selling coffee in the cup. I don't, I just think they were naive, maybe arrogant, and they gave us a lot of runway.”