things you didn’t know about Starbucks …
December 23, 2007They are just everywhere! Seems that some coffee snobs will usually thumb their noses at Starbucks, but I think secretly everyone enjoys Starbucks. Retails sales are down, we are in a housing slump, but doesn’t matter. Everyone still wants their $5 cup of Joe. Love em or hate em, here are a few things you may not know about your friendly, ubiquitous coffee house.
On average, two new Starbucks have opened every day since 1987
Starbucks has been around since 1971, but it wasn’t aggressive about expansion until 1987, when the company came under the ownership of its current chairman, Howard Schulz. At that time, there were only nine Starbucks stores.
Today, there are about 14,396 (give or take a few). Divide that number by 20 years, or 7,300 days and, after rounding up, you get an average of 2 stores per day opening every day for the last 20 years. Naturally, this figure does not include the few stores that, for whatever reason, were shut down.
Its name comes from Moby Dick
Confirmed by the company’s current fact sheet, Starbucks was named for the first mate of the Pequod in Melville’s Moby Dick. The question is, why? After all, the company seems more like Captain Ahab than Starbuck. In the famous novel, Starbuck and Ahab are at opposite ends of the philosophical spectrum: the first mate is superstitious and conservative, Ahab is narcissistic and monomaniacal. Starbuck is practical, opposing Ahab’s desire to commit the Pequod to circling the world’s oceans in search of the white whale in favor of a commitment to harpooning whales they can sell on the Nantucket Market. Ahab is single-minded, bent on not only killing the white whale, but also on relieving mankind of the source of its evil. Swap out a few of the right words above with terms like “market domination” and “its competition,” and you have Ahab’s, the world’s biggest coffee peddler.
Its founders sold Starbucks in 1987 to build Peet’s Coffee & Tea
Here’s the condensed company time line:
- 1966: Alfred Peet opens Peet’s Coffee & Tea in Berkeley, California.
- 1971: Jerry Baldwin and two other friends of Alfred Peet open the first Starbucks in Seattle.
- 1982: Howard Schultz joins Starbucks.
- 1984: Baldwin et al buy out Peet’s.
- 1987: Baldwin et al sells Starbucks to Schultz to focus on building Peet’s.
Schultz left Starbucks to launch a line of specialty coffee stores in Seattle. He was able to raise enough money to buy Starbucks in 1987.
Part-time employees are entitled to full benefits
Starbucks seems to have a perennial spot on Forbes’ list of the “100 Best Companies to Work For,” and it has little to do with the weekly coffee or tea each “partner” takes home.
For starters, Starbucks takes a page from Warren Buffett’s playbook and calls its employees “partners,” even though they hardly qualify as such in a true business sense. The use of such a loaded word goes a long way in breeding company loyalty.
More importantly, they offer an enviable benefits package, one inspired by the childhood of Chairman Howard Schultz. As a boy, he watched his father work low-paying jobs and retire with little to show for his life, and Schultz wanted something different for employees of his company. The result is a benefits package given to employees who work a minimum of 20 hours per week that includes health, medical, dental and vision plans, a 401k, and access into Bean Stalk, the company’s employee stock option plan.
Starbucks doesn’t franchise its stores
As a rule, Starbucks stores are not franchised to private individuals, and the company has no intention to begin doing so. The mentality has a lot to do with maintaining high company standards from store to store; standards that would be difficult to enforce if they were franchised.
The one exception regards their willingness to enter into certain licensing agreements with companies who hold, or have access to, locations Starbucks regards as desirable. To quote from the FAQs on their home page, these sites include “airport locations, national grocery chains, major food services corporations, college and university campuses, and hospitals.” These licensed locations represent over one-third (36%) of all Starbucks stores operating in the U.S.
The Evolution of the Starbucks Siren
Click the link above for a full description and narrative. I’m too tired to paraphrase and Starbucks is closed right now.



Try $13.76 with tax. Luckily, this guy had a coupon for a free cup. So he decides to order the most expensive thing he can get. That’s like going out on a date, knowing that your date is going to pick up the tab and ordering the lobster. Click here to see the link to the story and a copy of the receipt.
Posted by Seth
I see a huge growing problem. In one day, both my wife’s cell phone and my kids are starting to get a number of text messages, from spammers! While a new problem for us, apparently in Japan this costs consumers over the pond many Yen per year. The problem is two fold. One, you can’t reply to the message and ask them to stop, your message will just bounce back. Two, these messages cost money! This is like giving them the ability to charge something to your bill without your authority and you have nothing to say about it. This got me thinking. Which companies do the best job in shutting down text spamming. The easy way out is to just shut off text messaging entirely, which many of you resort to. In an age in which texting is becoming the norm (especially with one teenager and a preteen in the house), turning off text would be like taking away cable TV. The key though, is that will your provider let you turn off texting. Here’s your answer …




