Starbucks chief operating officer Kevin Johnson has communicated forward organisation plans to ‘partners’, outlining some of the initiatives and aspirations which will continue to drive Starbucks forward globally.
The many new activities already in progress include the rollout of Mobile Order and Pay, piloting new delivery services in Seattle and New York City, and enabling the new streaming music capability through the partnership with Spotify. Now, Starbucks is making a number of management changes to enable the progress of the initiatives below.
The Starbucks Roastery
The Starbucks Roastery and Reserve Tasting Room in Seattle has gained international attention and has ‘elevated the coffee experience and the Starbucks Reserve brand to new levels’.
Starbucks plans to export the Starbucks Roastery experience to major cities around the world, expanding the number of Starbucks Roasteries globally, quickly and elegantly scaling the experience begun in Seattle. In addition, Starbucks will leverage several of the design elements and the experience with the Roastery to lead creative and development efforts for a new format of Starbucks Reserve Stores.
Tea and Teavana
Tea is a $125 billion market and the second most consumed beverage in the world, next to water, and represents a compelling strategic opportunity for Starbucks around the world. Already, Starbucks is well on the way to executing the plan to increase their tea business to $3 billion over the next five years. With the integration of Teavana into Starbucks retail stores in the U.S. and Canada now complete, Starbucks has ‘up-leveled our in-store tea platform, offering our tea fans new beverages and loose-leaf teas of world-class quality’.
The plan is to expand Teavana offerings within Starbucks stores globally, create global awareness of the Teavana brand and elevate the innovation and merchandising of Teavana in Starbucks retail stores. There will be selective expansion of Teavana retail stores in key global markets.
Customer Loyalty
Effective September 1, Annie Young-Scrivner will take a new role and lead the efforts to develop the customer loyalty strategy, My Starbucks Rewards, globally. This includes how Starbucks aligns and implements customer loyalty programs in all company owned markets. There will be a focus on expanding to key markets including China, UK and Japan while Aimee Johnson will remain focused on growth of the program in the U.S. and Canada.
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