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Starbucks

Starbucks Corporation is an American multinational chain of


coffeehouses and roastery reserves headquartered in Seattle, Starbucks Corporation
Washington. It is the world's largest coffeehouse chain.

As of November 2021, the company had 33,833 stores in 80


countries, 15,444 of which were located in the United States.
Out of Starbucks' U.S.-based stores, over 8,900 are company-
operated, while the remainder are licensed.[3]

In 2021–2022, votes to join Starbucks unions were successful Logo since 2011
at multiple Starbucks locations, including in cities such as
Seattle, Buffalo, Rochester, Ithaca, Kansas City and
Manhattan.[4][5][6]

The rise of the second wave of coffee culture is generally


attributed to Starbucks, which introduced a wider variety of
coffee experiences. Starbucks serves hot and cold drinks,
whole-bean coffee, micro-ground instant coffee, espresso, caffe
latte, full and loose-leaf teas, juices, Frappuccino beverages,
pastries, and snacks. Some offerings are seasonal, or specific to Headquarters at Starbucks Center in
the locality of the store. Depending on the country, most Seattle, Washington
locations provide free Wi-Fi internet access.
Type Public
Traded as Nasdaq: SBUX (http
s://www.nasdaq.com/s
Contents ymbol/sbux)
Company overview Nasdaq-100
component
History
S&P 100 component
20th century
1970s S&P 500 component
1980s Industry Coffee shop
1990s Founded March 30, 1971
21st century Pike Place Market,
2000s Elliott Bay, Seattle,
2010s Washington, U.S.
2020s Founders Jerry Baldwin
American unionization efforts Zev Siegl
Economic summary Gordon Bowker

Products Headquarters 2401 Utah Avenue


Coffee cup sizes South, Seattle,
Washington, United
Low calorie and sugar-free products
States
Non-dairy milk offerings
33,833 (2021)
Ethos water
Instant coffee and coffee capsules Number of
Coffee makers and single-use capsules locations

Alcoholic drinks Area served 84 countries


Fruit juices, fruit beverages, and sodas Key people Howard Schultz,
Energy drinks interim CEO
Seasonal cups Mellody Hobson,
Barrel-aged coffee Chairperson
Starbucks card and loyalty program Kevin Johnson,
Electricity and Wi-Fi President & ex-CEO

Locations Products Coffee beverages ·


International expansion Smoothies · Tea ·
Baked goods ·
Europe
Sandwiches
Asia
Revenue US$29.06
Americas
billion (2021)
Oceania
Operating US$4.87
Africa income billion (2021)
At sea
Net income US$4.20
Licensed and franchise operations billion (2021)
Automation
Total assets US$31.39
Unbranded stores billion (2021)
Teavana Total equity -US$5.32
Corporate governance and identity billion (2021)
Board of directors Number of 383,000 partners
Logo employees (2021)

Environmental and social policies Subsidiaries Starbucks Coffee ·


Environmental practices Ethos Water ·
Evolution Fresh · Hear
Recycling
Music · La Boulange
Plastic straw ban Bakery · Seattle's Best
Reusable cups Coffee · Teavana ·
Farmer equity practices Torrefazione Italia ·
Fair trade Tata Starbucks (India)
Food bank donations Website Starbucks.com (http
Cage-free eggs s://www.starbucks.co
m/)
Music, film, and television
Footnotes / references

Hear Music [1][2]


Upstanders
Partnerships
Aeroplan
Apple Inc.
MSNBC
Kraft Foods
Arizona State University
PepsiCo
Spotify
Disney
Uber Eats
Lyra Health Inc.
Reviews and reception
Parodies and trademark infringements
United States
During 1990s and 2000s
During the 2010s Interior of the Pike Place Market
International cases location in 1977
North America
Europe
East Asia
South Asia
West Asia
Criticisms and controversies
Racial controversies
See also
Howard Schultz served as chief
References executive from 1986 to 2000, and
Further reading again from 2008 to 2017.
External links

Company overview
Starbucks was founded in 1971 by Jerry Baldwin, Zev Siegl, and Gordon Bowker at Seattle's Pike Place
Market. During the early 1980s, they sold the company to Howard Schultz who – after a business trip to
Milan, Italy – decided to convert the coffee bean store into a coffee shop serving espresso-based drinks. As
chief executive officer from 1986 to 2000, Schultz's first tenure led to an aggressive expansion of the
franchise, first in Seattle, then across the West Coast of the United States. Schultz was succeeded by Orin
Smith who ran the company for five years and positioned Starbucks as a large player in fair trade coffee,
increasing sales to $5 billion. Jim Donald served as chief executive officer from 2005 to 2008, orchestrating
a large-scale earnings expansion. Schultz returned as CEO during the financial crisis of 2007–08 and spent
the succeeding decade growing the company's market share, expanding its offerings, and reorienting the
brand around corporate social responsibility. Kevin Johnson, the current CEO, succeeded Schultz in 2017.
In March 2022, Starbucks announced that Schultz would return as CEO in April 2022.[7]

In addition to drinks and food, many stores carry Starbucks' official merchandise, such as mugs, tumblers,
scoops, and coffee presses. There are also several select "Starbucks Evenings" locations that offer beer,
wine, and appetizers. Starbucks-brand coffee, ice cream, and bottled cold coffee drinks are sold at grocery
stores in the United States and other countries. In 2010, the company began its Starbucks Reserve program
for single-origin coffees and high-end coffee shops. It planned to open 1,000 Reserve coffee shops by the
end of 2017.[8] Starbucks operates six roasteries with tasting rooms and 43 coffee bars as part of the
program. The latest roastery location opened on Chicago's Magnificent Mile in November 2019, and is the
world's largest Starbucks location. The company has been subject to multiple controversies related to its
business practices. Conversely, its franchise has commanded substantial brand loyalty, market share, and
company value.
The company is ranked 114th on the Fortune 500[9] and 288th on the Forbes Global 2000.[10]

History

20th century

1970s

Starbucks originally opened in Seattle, Washington, on March 30, 1971.[11] It was founded by business
partners Jerry Baldwin, Zev Siegl and Gordon Bowker who first met as students at the University of San
Francisco:[12] The trio were inspired to sell high-quality coffee beans and equipment by coffee roasting
entrepreneur Alfred Peet.[13] Bowker recalls that a business partner of his, Terry Heckler, thought words
beginning with the letters "st" were powerful, leading the founders to create a list of words beginning with
"st," hoping to find a brand name. They chose "Starbo," a mining town in the Cascade Range and from
there, the group remembered "Starbuck," the name of the chief mate in the book Moby-Dick.[14] Bowker
said, "Moby-Dick didn't have anything to do with Starbucks directly; it was only coincidental that the sound
seemed to make sense."[14][15]

The first Starbucks store was located in Seattle at 2000 Western Avenue from 1971 to 1976. They later
moved the café to 1912 Pike Place.[16] During this time, Starbucks stores sold just coffee beans and not
drinks.[17] In its first two years of operation, Starbucks purchased green coffee beans from Peet's Coffee &
Tea,.[18] In 1973, Alfred Peet stopped supplying Starbucks and helped train their new Roastmaster, Jim
Reynolds.[18]

1980s

In 1984, the original owners of Starbucks, led by Jerry Baldwin, purchased Peet's Coffee.[19] By 1986, the
company operated six stores in Seattle[20] and had only just begun to sell espresso coffee.[21] In 1987, the
original owners sold the Starbucks chain to former director of marketing Howard Schultz, who rebranded
his Il Giornale coffee outlets as Starbucks and quickly began to expand the company.[22][23] Also in 1987,
Starbucks opened its first locations outside of Seattle in Waterfront Station in Vancouver, British Columbia,
and Chicago, Illinois.[24] By 1989, 46 Starbucks stores existed across the Pacific Northwest and Midwest,
and the company was roasting more than 2,000,000 pounds (907,185 kg) of coffee annually.

1990s

In June 1992, at the time of its initial public offering, Starbucks had 140 outlets, with revenue of US$73.5
million, up from US$1.3 million in 1987. The company's market value was US$271 million by this
time.[25] The 12% portion of the company that was sold raised around US$25 million for the company,
which enabled it to double its number of stores over the next two years.[26] By September 1992, Starbucks'
share price had risen by 70%.

In 1994, Starbucks acquired The Coffee Connection, gaining the rights to use, make, market, and sell the
"Frappuccino" beverage.[27] The beverage was introduced under the Starbucks name in 1995 and by 2012,
Starbucks had annual Frappuccino sales of over $2 billion.[27]
In 1999, Starbucks experimented with eateries in the San Francisco Bay Area through a restaurant chain
called Circadia.[28] After people learned that these restaurants were owned by Starbucks, Starbucks
converted the restaurants to Starbucks cafés.[28]

21st century

2000s

In April 2003, Starbucks acquired Seattle's Best Coffee and Torrefazione Italia from AFC Enterprises for
$72 million. The deal only gained 150 stores for Starbucks, but according to the Seattle Post-Intelligencer,
the wholesale business was more significant.[29]

From 2005 to 2007, Howard Behar served as President of Starbucks North America.[30]

In September 2006, rival Diedrich Coffee announced that it would sell most of its company-owned retail
stores to Starbucks, including most locations of Oregon-based Coffee People, escalating regional coffee
wars. Starbucks converted the Diedrich Coffee and Coffee People locations to Starbucks. The Coffee
People locations at Portland International Airport were excluded from the sale.[31]

In early 2008, Starbucks started a community website, My Starbucks Idea, designed to collect suggestions
and feedback from customers. Other users could comment and vote on suggestions. Journalist Jack
Schofield noted that "My Starbucks seems to be all sweetness and light at the moment, which I don't think
is possible without quite a lot of censorship."[32]

In March 2008, Starbucks acquired Coffee Equipment Company, which was the manufacturer of the
Clover Brewing System. It began testing the "fresh-pressed" coffee system at several Starbucks locations in
Seattle, California, New York, and Boston.[33]

In July 2008, during the Great Recession, Starbucks announced it was closing 600 underperforming
company-owned stores and cutting U.S. expansion plans amid growing economic uncertainty.[34][35] On
July 29, 2008, Starbucks also cut almost 1,000 non-retail jobs as part of its bid to re-energize the brand and
boost its profit. Of the new cuts, 550 of the positions were layoffs and the rest were unfilled jobs.[36]

Additionally in July 2008, Starbucks announced that it would close 61 of its 84 stores in Australia in the
following month.[37] Nick Wailes, an expert in strategic management of the University of Sydney,
commented that "Starbucks failed to truly understand Australia's café culture."[38]

In January 2009, Starbucks announced the closure of an additional 300 underperforming stores and the
elimination of 7,000 positions. CEO Howard Schultz also announced that he had received board approval
to reduce his salary.[39] Altogether, from February 2008 to January 2009, Starbucks terminated an
estimated 18,400 U.S. jobs and began closing 977 stores worldwide.[40]

In August 2009, Ahold announced closures and rebranding for 43 of its licensed store Starbucks kiosks for
their US-based Stop & Shop and Giant supermarkets.[41][42]

2010s

In August 2012, the largest Starbucks in the US opened at the University of Alabama's Ferguson
Centre.[43]
On June 25, 2013, Starbucks began to post calorie counts on menus for drinks and pastries in all of its U.S.
stores.[44]

In July 2013, more than 10% of in-store purchases were made on customers' mobile devices via the
Starbucks app.[45]

The company once again utilized the mobile platform when it launched the "Tweet-a-Coffee" promotion in
October 2013. On this occasion, the promotion also involved Twitter and customers were able to purchase
a US$5 gift card for a friend by entering both "@tweetacoffee" and the friend's handle in a tweet. Research
firm Keyhole monitored the progress of the campaign; a December 2013 media article reported that 27,000
people had participated and US$180,000 of purchases had been made to date.[46][47]

In January 2014, as part of a change in compact direction, Starbucks management transitioned from a
singular brand worldwide to focusing on locally relevant design for each store.[48]

In May 2014, Starbucks announced ongoing losses in the Australian market, which resulted in all
remaining stores being sold to the Withers Group.[49]

In July 2017, Starbucks acquired the remaining 50% stake in its Chinese venture from long-term joint
venture partners Uni-President Enterprises Corporation (UPEC) and President Chain Store Corporation
(PCSC) for $1.3 billion.[50][51]

On March 21, 2018, Starbucks announced that it was considering the use of blockchain technology with an
idea to connect coffee drinkers with coffee farmers who eventually can take advantage of new financial
opportunities. The pilot program was planned to start with farmers in Costa Rica, Colombia, and Rwanda
in order to develop a new way to track the bean to cup journey.[52] In 2019, at the Microsoft Build
conference, the coffee company formally announced its "bean to cup" program using the Microsoft's
Azure-based blockchain service.[53]

Two men were arrested in a Philadelphia Starbucks location after a manager claimed the two were
trespassing on April 12, 2018.[54] The arrests led to protests due to their apparently racially-motivated
nature. CEO Kevin Johnson later apologized for the incident, and the company declined to press
charges.[55] During the company's second quarter earnings call on April 26, Johnson indicated that the
company had not seen a drop in sales as a result of the event and subsequent coverage.[56] The company
reiterated its guidance for full year earnings,[57] and beat consensus expectations of 1.8 percent same-store
sales growth, with 2 percent growth.

Johnson announced that the company would close some 8000 locations on May 29 for a seminar about
racial bias in order to prevent future events similar to those that occurred in Philadelphia.[58]

On June 19, 2018, Starbucks announced the closing of 150 locations in 2019; three times the number the
corporation typically closes in a single year. The closings were to happen in urban areas that already have
dense clusters of stores.[59]

In July 2019, Starbucks announced that it would no longer be selling newspapers in its cafés. It was also
announced that kiosks for grab-and-go snacks and bags of whole-bean coffee would be removed from
stores beginning in September 2019.[60]

In November 2019, Starbucks opened its largest store ever on Michigan Avenue, Chicago, with 200
employees.[61]

2020s
On March 20, 2020, due to the COVID-19 pandemic, Starbucks closed all the café-only stores in the
United States for two weeks. During that time, only drive-thru and delivery-only services were to function.
According to the company representatives, all workers were to be paid for the next 30 days whether they
went to work or stayed home.[62] COVID-19 lockdowns caused Starbucks to suffer a general 10% sales
decrease, and a 50% decrease in China where quarantine measures were especially strict.[63]

In May 2020, the company asked for reduced rent from landlords due to the decrease in sales.[64][65][66]

In June 2020, during the COVID-19 pandemic in the United States, the company announced that it would
close 400 of its locations in the US/Canada region over the subsequent 18 months as it moves from the
coffee house concept to what it calls "convenience-led" formats with drive-through and curbside pickup.
Starbucks announced that it planned to open 300 stores that will primarily focus on carryout and pickup
orders.[67][68] The new stores will work with the Starbucks mobile app for prepayment by the customer
before arrival to pick up the order. The layout of some stores will also be modified with a separate counter
for picking up mobile orders.

In December 2020, Starbucks announced that it is planning to increase its store count to about 55,000 by
2030, up from roughly 33,000.[69]

Bloomberg reported in July 2022 that the company was, through investment bank Houlihan Lokey,
exploring selling its stores in the United Kingdom.[70]

American unionization efforts

Three of the company's stores in Buffalo, New York began an


attempt to unionize in August 2021.[71] Using Twitter, the workers
announced they had formed an organizing committee, Starbucks
Workers United, to form a union affiliated with Workers United.[72]
Two more stores joined the effort in September, however these
petitions were later withdrawn to ensure a speedy process for the
original three locations.[73][74][75] On November 9 Workers United
filed three more petitions for elections to represent workers at
additional Buffalo area stores.[76] On November 10 the National
Starbucks workers protesting in
Labor Relations Board mailed out votes for the elections at the
Seattle
original three locations.[77] Votes for the original three stores were
counted on December 9.[78] Days before the vote count, the NLRB
rejected arguments by Starbucks to halt the election.

Inspired by their colleagues in Buffalo, workers at a Starbucks store in Mesa, Arizona petitioned the NLRB
for a union election on November 18, 2021, to be represented by Workers United. The organizing at the
Mesa location stemmed from, in part, a well-liked manager at the location being terminated after whistle-
blowing on Starbucks' anti-union plan.[79]

Starbucks temporarily closed two of the stores participating in the union drive in October for renovations.
The company claimed these closures were unrelated to the unionization efforts.[80] Starbucks began
working with Littler Mendelson, a self-described "union-busting firm", in October.[81][82][83] Starbucks
requested that the National Labor Relations Board include all Buffalo Starbucks locations in the union vote,
however, the NLRB rejected this argument and declared store by store elections.[84][77] Finally, on
December 9, 2021, the workers at the Elmwood Avenue store became the first unionized Starbucks
workers at a Starbucks owned location in the United States with a 19–8 vote.The Camp Road location
voted 12–8 to not be in the union.[71] Starbucks does have unionized locations in other countries.[71]
On December 13, workers at two Boston area locations petitioned the NLRB for union elections to be
unionize with Workers United. The workers cited the win in Buffalo as inspiration for organizing. Workers
in at least one location had a majority of cards signed within a day.[85]

In February 2022, Starbucks fired seven workers in Memphis who had been leading the unionization effort
there, and temporarily closed the store.[86]

Economic summary

Development since 2005[87]


Net Total Average

Revenue
income
Assets Price per
Year in mil. Employees
in mil. in mil. Share

US$
US$ US$ in US$
2005 6,369 494 3,514 13.40 115,000
2006 7,787 564 4,429 17.62 145,800
Graph showing the growth in the
2007 9,412 673 5,344 14.12 172,000
number of Starbucks stores between
2008 10,383 316 5,673 7.61 176,000 1971 and 2011[24]
2009 9,775 391 5,577 7.87 142,000
2010 10,707 946 6,386 13.07 137,000
2011 11,700 1,246 7,360 18.92 149,000
2012 13,277 1,384 8,219 25.63 160,000
2013 14,867 8 11,517 33.71 182,000
2014 16,448 2,068 10,753 37.78 191,000
2015 19,163 2,757 12,416 53.25 238,000
2016 21,316 2,818 14,313 56.59 254,000
2017 22,387 2,885 14,366 57.27 277,000
2018 24,720 4,518 24,156 57.50 291,000
2019 26,509 3,599 19,220 81.44 346,000
2020 23,518 928 29,375 82.33 349,000
2021 29,061 4,199 31,393 112.05 383,000

Products

Coffee cup sizes

Starbucks' caffe lattes


Name Measurement Notes
Short 8 US fl oz (240 ml) Smaller of the two original sizes
Tall 12 US fl oz (350 ml) Larger of the two original sizes
Grande 16 US fl oz (470 ml) Italian for "large"
20 US fl oz (590 ml) - Hot
Venti Italian for "twenty"
26 US fl oz (770 mL) - Iced
Trenta 30 US fl oz (890 ml) Italian for "thirty"

Low calorie and sugar-free products

In January 2008, Starbucks began a "skinny" line of drinks, offering lower-calorie and sugar-free versions
of the company's offered drinks that use skim milk, and can be sweetened by a choice of natural sweeteners
(such as raw sugar, agave syrup, or honey), artificial sweeteners (such as Sweet'N Low, Splenda, Equal),
or one of the company's sugar-free syrup flavors.[88][89]

Non-dairy milk offerings

In 1997, Starbucks first offered non-dairy milk at its U.S. stores with the introduction of soy milk.[90]

In 2007, Starbucks stopped using milk originating from rBGH-treated cows. In June 2009, the company
began to sell salads and baked goods without high fructose corn syrup or artificial ingredients. This move
was expected to attract health- and cost-conscious consumers and prices.[91]

In 2015, Starbucks began serving coconut milk.[92] In 2016, it began serving almond milk.[93] In January
2020, oat milk became available nationally.[94][95] The company also offers non-dairy creamers at retail in
partnership with Nestle SA.[95]

CEO Kevin Johnson said in a 2020 interview that, milk substitutes will be a big part of reducing carbon
emissions.[96] That effort has prompted vegans, environmentalists, people with lactose intolerance and
others to urge the company to eliminate the upcharge for drinks made with dairy-free milk. PETA
encouraged sit-ins at Starbucks locations and purchased Starbucks stock to draw attention to what they
believe is an unfair charge.[97] A Starbucks Canada spokesperson told ET Canada that customizations such
as added flavours, non-dairy beverages or an additional shot of espresso, will incur an additional charge.[98]

In December 2020, Starbucks announced it will offer Oatly oat milk in all US stores starting in Spring
2021.[99]

Ethos water

Ethos water, a brand of bottled water acquired by Starbucks in 2003, is sold at locations throughout North
America. Ethos bottles feature prominent labeling stating "helping children get clean water," referring to the
fact that US$0.05 from each US$1.80 bottle sold (US$0.10 per bottle in Canada) is used to fund clean
water projects in underdeveloped areas. Although sales of Ethos water have raised over US$6.2 million for
clean water efforts, the brand is not incorporated as a charity. Critics have argued that the claim on the label
misleads consumers into thinking that Ethos is primarily a charitable organization when it is actually a for-
profit brand and only 5 cents per bottle supports clean-water projects.[100][101] The founders of Ethos have
stated that the brand is intended to raise awareness of third-world clean water issues and provide socially
responsible consumers with an opportunity to support the cause by choosing Ethos over other brands.[102]
Starbucks has since redesigned the American version of the Ethos water bottles, stating the amount of
money donated per bottle in the description.[103]

Instant coffee and coffee capsules

In March 2009, Starbucks introduced a line of instant coffee packets, called VIA "Ready Brew".[104] It
was first unveiled in New York City with subsequent testing of the product also in Seattle, Chicago, and
London. The first two VIA flavors include Italian Roast and Colombia, which were then rolled out in
October 2009, across the U.S. and Canada with Starbucks stores promoting the product with a blind "taste
challenge" of the instant versus fresh roast, in which many people could not tell the difference between the
instant and freshly brewed coffee. Financial analysts speculated that by introducing instant coffee,
Starbucks would devalue its own brand.[105]

Coffee makers and single-use capsules

In September 2012, Starbucks announced plans to introduce the Verismo, a consumer-grade single-serve
coffee machine that uses sealed plastic cups of coffee grounds, and a "milk pod" for lattes.[106]

In November 2012, Starbucks Verismo became publicly available, consisting of a line of coffee makers that
brew espresso and regular chocolate from coffee capsules, a type of pre-apportioned single-use container of
ground coffee and flavourings utilizing the K-Fee pod system.[107]

In a brief review of the 580 model, Consumer Reports described the results of a comparative test of the
Verismo 580 against two competitive brands:

Because you have to conduct a rinse cycle between each cup, the Verismo wasn't among the
most convenient of single-serve machines in our coffeemaker tests. Other machines we've
tested have more flexibility in adjusting brew-strength—the Verismo has buttons for coffee,
espresso, and latte with no strength variation for any type. And since Starbucks has limited its
coffee selection to its own brand, there are only eight varieties so far plus a milk pod for the
latte.[108]

Alcoholic drinks

In 2010, Starbucks began selling alcoholic beverages at some stores in the United States.[109] In August
2014, Starbucks opened its first store in Williamsburg, Brooklyn which by then was among 30 locations
serving beer and wine.[110]

In 2016, three locations within Toronto, Ontario also announced they were going to serve alcohol,
including up-scale appetizers like bacon-wrapped dates and truffle mac and cheese.[111]

Starbucks ensures that the selected locations that serve alcohol are able to accommodate the community, as
well as have the space for extra seating and storage.[111]

Fruit juices, fruit beverages, and sodas


On November 10, 2011, Starbucks acquired juice company Evolution Fresh for $30 million in cash and
planned to start a chain of juice bars starting in around the middle of 2012, venturing into territory staked
out by Jamba Inc. Its first store released in San Bernardino, California and plans for a store in San
Francisco were to be launched in early 2013.[112]

In March 2012, Starbucks began selling a line of iced Starbucks Refresher beverages that contain a green
coffee extract. The beverages are fruit flavored and contain caffeine but advertised as having no coffee
flavor. Starbucks's green coffee extraction process involves soaking the beans in water.[113]

In June 2014, Starbucks began trialing its own line of carbonated sodas, dubbed "Fizzio." The drinks
required a special machine to make.[114]

Energy drinks

In January 2022, Starbucks launched a line of canned energy drinks, called "Baya." The drink contains
caffeine from the coffee fruit.[115][116]

Seasonal cups

Each year between November–January, Starbucks releases new holiday merchandise, including new paper
cups with various festive designs.[117]

Barrel-aged coffee

In March 2017, Starbucks announced the launch of two new limited-edition specialty drinks made from
beans aged in whiskey barrels at its Seattle roastery.[118] Starbucks's barrel-aged coffee will be sold with a
small batch of unroasted Starbucks Reserve Sulawesi beans, which are then hand-scooped into whiskey
barrels from Washington state.[119]

Starbucks card and loyalty program

In May 2008, a loyalty program was introduced for registered users of the Starbucks Card (previously
simply a gift card) offering perks such as free Wi-Fi Internet access, no charge for soy milk and flavored
syrups, and free refills on brewed drip coffee, iced coffee, or tea.[120] Each time a customer purchases a
drink, they will earn stars if they present their rewards card or scan their card from the mobile app.[121]
Eventually, these stars accumulate to allow customers to redeem for perks such as free drinks, free add-ins,
free bakery items or selected merchandise.[121]

In 2009, Starbucks began beta testing its mobile app for the Starbucks card, a stored value system in which
consumers access pre-paid funds to purchase products at Starbucks.[122] Starbucks released its complete
mobile platform in January 2011.[123][124] By December 2011, the number of mobile transactions exceeded
26 million.[125]

Electricity and Wi-Fi

In August 2002, Starbucks provided free Wi-Fi in the United Kingdom, although in the past, a Starbucks
rewards card was required.[126][127]
On July 1, 2010, Starbucks offered free Wi-Fi in all of its stores in the U.S. and Canada.[128][129][130] In
August 2010, Starbucks began offering free Wi-Fi in Germany via BT Openzone.[131]

In October 2012, Starbucks and Duracell Powermat announced a pilot program to install Powermat
charging surfaces in the tabletops in selected Starbucks stores in the Boston area.[132] Furthermore,
Starbucks announced its support in the Power Matters Alliance (PMA) and its membership in the PMA
board, along with Google and AT&T, in an effort to create "a real-world ecosystem of wireless power"
through a universal wireless charging standard that customers could use to recharge smartphones.[133]

In 2013, it switched providers in the U.S. from AT&T to Google.[134]

In August 2016, startup company FluxPort introduced Qi inductive charging pads at select locations in
Germany.[135]

Locations
The company's headquarters is in Seattle,
Washington, United States, where 3,501 people
worked as of January 2015.[136] The main
building in the Starbucks complex was previously
a Sears distribution center.

As of September  2020, Starbucks had 32,660


locations spanning 79 countries and territories on
six continents:[137] Countries with Starbucks locations as of March 2022

Africa Europe North America

South Africa: 54[138] United Kingdom: 884 United States: 15,041[143]


Egypt: 32[139] Germany: 161 Canada: 2,359
Morocco: 9 France: 121 Mexico: 531
Tunisia: 1[140] Russia: 112 (suspended) The Bahamas: 12
Spain: 107 Costa Rica: 12
Asia Poland: 72 El Salvador: 11
Ireland: 67 Trinidad and Tobago: 11
China: 5,000
Switzerland: 63 Guatemala: 7
Japan: 1,415
Netherlands: 59 Jamaica: 7
South Korea: 1,080
Romania: 48 Panama: 5
Turkey: 562
Greece: 31 Aruba: 3
Taiwan: 430
Czech Republic: 26 Curaçao: 3
Thailand: 410
Denmark: 21 Barbados: 1
Malaysia: 327[141]
Austria: 20 Cayman Islands: 1
Philippines: 300
Belgium: 19 Dominican Republic: 1
India: 270[142] Norway: 17
Indonesia: 249 Sweden: 17 Oceania
Hong Kong: 147 Hungary: 16
Australia: 59
United Arab Emirates: 138 Bulgaria: 14
New Zealand: 22
Singapore: 125
Saudi Arabia: 92 Italy: 13 South America
Kuwait: 89 Portugal: 11
Brazil: 122
Vietnam: 64 Finland: 9
Argentina: 100
Lebanon: 41 Slovakia: 8
Chile: 91
Kazakhstan: 30 Luxembourg: 4
Peru: 81
Cambodia: 21 Malta: 4
Colombia: 24
Bahrain: 19 Serbia: 3
Uruguay: 9
Qatar: 18 Andorra: 1
Bolivia: 4
Jordan: 14 Monaco: 1
Cyprus: 11
Oman: 11
Azerbaijan: 4
Brunei: 4

International expansion

Europe

In 1998, Starbucks entered the United Kingdom market with the


US$83 million acquisition of the then 56-outlet, UK-based Seattle
Coffee Company, re-branding all those stores as Starbucks.[144]

In October 2002, Starbucks established a coffee trading company


in Lausanne, Switzerland to handle purchases of green coffee.[145]
All other coffee-related business continued to be managed from
Seattle.[145]
Starbucks in Frankfurt, Germany,
In September 2007, the company opened its first store in Russia,
2004
ten years after first registering a trademark there.[146] After the
Russian invasion of Ukraine, on 21 May 2022, Starbucks
announced closure of all outlets in Russia,[147] and in July it was revealed that a local restaurant manager,
Anton Pinsky, is going to acquire Starbucks' Russian operating company OOO Starbucks and all its 130
stores.[148]

In 2008, Starbucks opened in Belgium, Bulgaria, the Czech Republic, and Portugal.[24]

In April 2009, Starbucks opened in Poland.[149]

In February 2010, Starbucks opened in Arlanda Airport outside


Stockholm, its first location in Sweden.[150]

In June 2010, Starbucks opened its first store in Budapest,


Hungary.[151]

In February 2011, Starbucks started selling its coffee in Norway by


supplying Norwegian food shops with their roasts. The first
Starbucks Cafe in Warsaw, Poland,
Starbucks-branded Norwegian shop opened in February 2012, at
2014
Oslo Airport, Gardermoen.[152]
In May 2012, Starbucks opened its first coffeehouse in Finland,
with the location being Helsinki-Vantaa Airport in Vantaa.[153]

In August 2013, the first Starbucks inside Dansk Supermarked


opened in the department stores Salling in Aalborg and Aarhus in
Denmark.[154]
Starbucks at Helsinki Airport in
In April 2014, Starbucks announced a store in Azerbaijan, in the Vantaa, Finland, 2018
Port Baku Mall.[155]

In November 2014, Starbucks announced its first Channel Island store, in the primary business area of St
Peter Port in Guernsey.[156]

On April 21, 2015, Kesko, the second largest retailer in Finland, announced its partnership with Starbucks,
with stores opened next to K-Citymarket hypermarkets.[157] As of June 2017, 3 stores had been opened
next to K-Citymarkets: In Sello in Espoo and in Myyrmanni and Jumbo in Vantaa.

In February 2016, Howard Schultz announced the opening of stores in Italy. The first Italian Starbucks
store was inaugurated in Milan on September 6, 2018, at which point Starbucks already had locations in 78
countries.[158][159][160][161][162]

In May 2016, the first Starbucks store in Slovakia opened in Aupark in Bratislava.[163][164]

In June 2018, Starbucks announced the opening of stores in Serbia.[165] The first store was opened in April
2019 at Rajiceva Mall.

On June 1, 2019, Starbucks opened its first coffee store in Malta at Valletta, the 80th country that will have
a Starbucks outlet.[166]

Asia

In July 1996, the first Starbucks location opened outside of North


America: a store in Tokyo, Japan.[167]

On December 4, 1997, the Philippines became the third market to


open outside of North America.[168][169]

In 2000, Starbucks opened its location in the Forbidden City in Starbucks Drive-Thru at Seremban 2,
Beijing, however, in July 2007, this location was closed after years Negeri Sembilan, Malaysia in 2021
of controversy since its opening in 2000 with protesters objecting
that the presence of the American chain in this location "was
trampling on Chinese culture."[170][171]

Between 2001 and 2003, Starbucks opened six (of 80 planned) locations in Israel[172] and having struggled
with fierce local competition, Starbucks, along with its partner Delek,[173][174] however, in April 2003,
after losing $6 million Starbucks Israel closed all six of its locations in Israel, citing "on-going operational
challenges" and a "difficult business environment."[175][176]

In January 2011, Starbucks and Tata Coffee, Asia's largest coffee plantation company, announced plans for
a strategic alliance to bring Starbucks to India and also to source and roast coffee beans at Tata Coffee's
Kodagu facility.[177][178]
In January 2011, Starbucks introduced its largest cup size, the Trenta, which can
hold 31 US fluid ounces (920 ml).[179]
In October 2011, Starbucks opened another location in Beijing,
China, at the Beijing Capital International Airport's Terminal 3,
international departures hall; making the company's 500th store in
China. The store is the 7th location at the airport.[180]

In January 2012, despite a false start in 2007,[181][182] Starbucks


created a 50:50 joint venture with Tata Global Beverages called
Tata Starbucks. Tata Starbucks owned and operated Starbucks
outlets in India as Starbucks Coffee "A Tata Alliance."[183] Starbucks at the Forbidden City,
Starbucks opened its first store in India in Mumbai on October 19, Beijing, China, 2005; closed in 2007
2012.[184][185][186]

On February 1, 2013, Starbucks opened its first store in Ho Chi Minh City, Vietnam,[187][188][189] and its
first location in Hanoi in July 2014.[190]

In May 2014, the Starbucks operations in South Korea launched a


mobile ordering system named Siren Order, accessible through a
local version of Starbucks smartphone application.[191][192] In
December 2014, Starbucks launched a similar system named
Mobile Order & Pay, in Portland, Oregon.[193] The expanded
nationwide in 2015, and in late March 2018, the company opened
the system, previously available to Starbucks Rewards members
only, to all customers.[194][195]
A Starbucks in Seoul, South Korea,
In September 2014, Starbucks announced the acquisition of the 2020
remaining 60.5% stake in Starbucks Coffee Japan that it did not
already own, for $913.5 million.[196]

In August 2015, Starbucks announced plans to open in Phnom Penh, Cambodia, its 16th market in the
China/Asia Pacific region by the end of 2015.[197]

On December 18, 2015, Starbucks opened in Almaty, Kazakhstan. On the next day, one more coffee shop
was opened.[198]

In December 2017, the Starbucks Reserve Roastery opened at HKRI Taikoo Hui in Shanghai, China, the
only such location of its kind outside of Seattle.[199]

In November 2020, Starbucks announced that it plans to open an outlet in Laos.[200]

Americas

In September 2002, Starbucks opened its first store in Latin America, in Mexico City.[201] By 2016, there
were more than 500 locations in Mexico.[202]

In August 2003, Starbucks opened its first store in South America in Lima, Peru.[203]

In 2008, Starbucks opened in Argentina and Brazil.[24]

In November 2010, the company opened the first Central American store in El Salvador's capital, San
Salvador.[151]
In June 2012, Starbucks opened a store in San Jose, Costa
Rica.[204] In October 2012, Starbucks announced plans to open
1,000 stores in the United States in the next five years.[205]

In August 2013, Starbucks's CEO Howard Schultz personally


announced the opening of Starbucks stores in Colombia. The first
café was set to open in 2014 in Bogotá and add 50 more stores
throughout Colombia's main cities in a 5-year limit. Schultz also
stated that Starbucks will work with both the Colombian
Government and USAID to continue "empowering local coffee A Starbucks food truck in a rest area
growers and sharing the value, heritage and tradition of its coffee on the New Jersey Turnpike, 2018
with the world." Starbucks noted that the aggressive expansion into
Colombia was a joint venture with Starbucks's Latin partners,
Alsea and Colombia's Grupo Nutresa that has previously worked with Starbucks by providing coffee
through Colcafe. This announcement came after Starbucks's Farmer Support Center was established in
Manizales, Colombia the previous year making Colombia an already established country by the
corporation.[206]

In late August 2013, Starbucks announced its first store in Colombia at a press conference in Bogota,
where the company's CEO explained, "Starbucks has always admired and respected Colombia's
distinguished coffee tradition."[207]

In May 2014, Starbucks announced its first café in Bolivia would open in 2014 in Santa Cruz de la Sierra
and the first in Panama in 2015.[208]

In November 2017, Starbucks commenced operations in Jamaica, where the first store opened in the resort
city of Montego Bay[209] on the shores of the world-famous Doctor's Cave Beach Club, offering views of
the Caribbean Sea.[210] The company also reaffirmed its commitment to working with local coffee farmers
to "implement systems to increase productivity and yields, while also increasing compliance to international
standards."[211] Starbucks Jamaica opened its first store on November 21, 2017, with plans to open 15
locations island-wide over a 5-year period.[209] Starbucks Jamaica opened stores at the Sangster
International Airport in Montego Bay and at the Historic Falmouth Pier, in Falmouth, Jamaica. Starbucks
Jamaica announced its intention to open 2 stores in Kingston, Jamaica in 2018, with plans for up to 6 stores
by 2019.[212] The first of the Kingston, Jamaica stores opened on June 21, 2018. The second store is in
Kingston's central business district, New Kingston. Starbucks opened its first in-store location in the
flagship location for Jamaica's largest Pharmacy chain, Fontana Pharmacy, also located in Kingston;
making it Starbucks's third location.[213]

In August 2019, a franchised location opened in the Cayman Islands.[214]

In October 2019, a franchised location opened in the Turks and Caicos Islands.[215]

Oceania

In July 2000, the first location in Australia opened in Sydney.[216] After a massive downturn in 2008, the
remaining Australian Starbucks stores were sold to the Withers family in 2014, with the company planning
a more restrained expansion.[217][218] Starbucks also operates several locations in New Zealand.[219]

Africa
In May 2010, Southern Sun Hotels South Africa signed an agreement with Starbucks to brew Starbucks
coffees in select Southern Sun and Tsonga Sun hotels in South Africa. The agreement was partially reached
so Starbucks coffees could be served in the country in time for the 2010 FIFA World Cup hosted by South
Africa.[220][221]

In April 2016, after TASTE Holdings acquired outlet licensing for


South African stores, Starbucks opened its first stores in South
Africa in Rosebank, Gauteng, Johannesburg and the Mall of
Africa.[222][223]

At sea

In December 2010, Starbucks debuted their first-ever Starbucks at


sea. In partnership with Royal Caribbean International, Starbucks
opened a shop aboard Allure of the Seas, Royal Caribbean's Starbucks inside Fourways Mall,
South Africa
second-largest ship and the second-largest ship in the world.[224]

Licensed and franchise operations

Stores that independently operate locations include Ahold


Delhaize, Barnes & Noble, Target Corporation, Albertsons and,
more recently, Publix stores. In the EMEA (Europe, Middle East,
and Africa) markets, Starbucks operates a franchising program.
Different from the licensing program in which existing corporations
may apply to operate a Starbucks kiosk within an existing store,
franchises can enable new, freestanding stores.

A typical retail area, this one in


Automation Bangalore, India, showing a display
of food and the beverage preparation
Starbucks has automation systems in some areas. These machines
area
have 280 possible drink combinations to choose from. They have
touchscreens, and customers can play games while they wait for
their order.[225]

Vending machines are said to possibly be able to replace baristas.[226] Starbucks has said it does not want
to replace baristas with robots, but use them as a complementary tool.[227]

Unbranded stores

In 2009, at least three stores in Seattle were de-branded to remove the logo and brand name, and remodel
the stores as local coffee houses "inspired by Starbucks."[228][229] CEO Howard Schultz called the
unbranded stores a "laboratory for Starbucks".[230] The first, 15th Avenue Coffee and Tea, opened in July
2009 on Capitol Hill. It served wine and beer and hosted live music and poetry readings.[231] It has since
been remodeled and reopened as a Starbucks-branded store. Another is Roy Street Coffee and Tea at 700
Broadway E., also on Capitol Hill. Although the stores have been called "stealth Starbucks"[228][232] and
criticized as "local-washing,"[233] Schultz says that "It wasn't so much that we were trying to hide the
brand, but trying to do things in those stores that we did not feel were appropriate for Starbucks."[230]
Teavana

Starbucks entered the tea business in 1999 when it acquired the


Tazo brand for US$8,100,000.[234][235] In December 2012,
Starbucks paid US$620 million to buy Teavana.[236]
[237]
[238]
[239] Starbucks did not market Teavana products in its stores,
though the acquisition allowed the expansion of Teavana beyond
shopping malls.[235] In January 2015, Starbucks began to roll out
Roy Street Coffee & Tea in Seattle,
Teavana teas into Starbucks stores, both in to-go beverage and
an example of a stealth Starbucks,
retail formats.[240] Starbucks shut down Teavana in early
2016
2018.[241][242]

Corporate governance and identity


Kevin Johnson, who served as president and chief operating officer from 2015 to 2018, has been the chief
executive of Starbucks since April 2017.[243] Myron E. Ullman became the firm's chairman in June
2018.[244] Both Johnson and Ullman succeeded Howard Schultz, who served in both capacities from 2008
to 2017.[245] Orin C. Smith was president and CEO of Starbucks from 2001 to 2005, after which Jim
Donald took over as CEO until 2008.[246] Since 2018, Schultz has served as the firm's first Chairman
emeritus.[247]

Analysts have long believed that the firm's corporate governance must determine how to contend with
higher materials prices and enhanced competition from lower-priced fast-food chains, including
McDonald's and Dunkin' Donuts. In October 2015, Starbucks hired its first chief technology officer, Gerri
Martin-Flickinger, to lead its technology team.[248] Starbucks maintains control of production processes by
communicating with farmers to secure beans, roasting its own beans, and managing distribution to all retail
locations. Additionally, Starbucks's Coffee and Farmer Equity Practices require suppliers to inform
Starbucks what portion of wholesale prices paid reaches farmers.[249][250]

Board of directors

As of May 2022:[251]

Howard Schultz, president and interim CEO


Mellody Hobson, chair of Starbucks, president and co-CEO of Ariel Investments
Richard Allison, CEO of Domino's Pizza
Andrew Campion, COO of Nike, Inc.
Mary Dillon, chair and former CEO of Ulta
Isabel Ge Mahe, executive at Apple Inc.
Jørgen Vig Knudstorp, executive chairman of LEGO Group
Satya Nadella, CEO of Microsoft
Joshua Cooper Ramo, vice chairman and co-CEO of Kissinger Associates
Clara Shih, CEO of Salesforce's Service Cloud business
Javier Teruel, former vice-chairman of Colgate-Palmolive

Logo
In 2006, Valerie O'Neil, a Starbucks spokeswoman, said that the logo is an image
of a "twin-tailed mermaid, or siren as she's known in Greek mythology."[252] The
logo has been significantly streamlined over the years. In the first version,[253] the
Starbucks siren was topless and had a fully visible double fish tail.[254] The image
also had a rough visual texture and has been likened to Melusine.[255] The image
is said by Starbucks to be based on a 16th-century "Norse" woodcut, although
other scholars note that it is apparently based on a 15th-century woodcut in Juan
Eduardo Cirlot's Dictionary of Symbols.[256][257] In the second version, which 1971–1987
was used from 1987 to 1992, her breasts were covered by her flowing hair, but
her navel was still visible.[258] The fish tail was cropped slightly, and the primary
color was changed from brown to green, a nod to the Alma Mater of the three
founders, the University of San Francisco.[259][260] In the third version, used
between 1992 and 2011, her navel and breasts are not visible at all, and only
vestiges remain of the fish tails. The original "woodcut" logo has been moved to
the Starbucks's Headquarters in Seattle.

At the beginning of September 2006, and then again in early 2008, Starbucks 1987–1992
temporarily reintroduced its original brown logo on paper hot-drink cups.
Starbucks has stated that this was done to show the company's heritage from the
Pacific Northwest and to celebrate 35 years of business. The vintage logo sparked
some controversy due in part to the siren's bare breasts,[261] but the temporary
switch garnered little attention from the media. Starbucks had drawn similar
criticism when it reintroduced the vintage logo in 2006.[262] The logo was altered
when Starbucks entered the Saudi Arabian market in 2000 to remove the siren,
leaving only her crown,[263] as reported in a Pulitzer Prize-winning column by
Colbert I. King in The Washington Post in 2002. The company announced three 1992–2011
months later that it would be using the international logo in Saudi Arabia.[264] In
January 2011, Starbucks announced that it would make small changes to the
company's logo, removing the Starbucks wordmark around the siren, enlarging
the siren image, and making it green.[1][265]

Environmental and social policies

2011–present
Environmental practices

In 1999, Starbucks started "Grounds for your Garden" to make their business
environmentally friendlier. This gives leftover coffee grounds to anyone
requesting it for composting. Although not all stores and regions participate, customers can request and
lobby their local store to begin the practice. In October 2008, The Guardian newspaper reported that
Starbucks was wasting 6.2  million U.S. gallons (23.4  million liters) of water a day by leaving a tap
constantly running for rinsing utensils in a 'dipper well' in each of its stores, but this is often required by
governmental food safety codes.[266]

In June 2009, in response to concerns over its excessive water consumption, Starbucks re-evaluated its use
of the dipper well system. In September 2009, company-operated Starbucks stores in Canada and the
United States successfully implemented a new water saving solution that meets government health
standards. Different types of milk are given a dedicated spoon that remains in the pitcher and the dipper
wells were replaced with push button metered faucets for rinsing. This will reportedly save up to 150 U.S.
gallons (570 liters) of water per day in every store.[267]
Recycling

Starbucks began using 10% recycled paper in its beverage cups in 2006—the company claimed that the
initiative was the first time that recycled material had been used in a product that came into direct contact
with a food or beverage.[268] Allen Hershkowitz of the Natural Resources Defense Council called the 10%
content "minuscule,"[268] but Starbucks received the National Recycling Coalition Recycling Works
Award in 2005 for the initiative.[269] In a 2008 media article, Starbucks's vice president of corporate social
responsibility acknowledged that the company continued to struggle with environmental responsibility, as
none of its cups were recyclable and stores did not have recycling bins. At the time that the article was
published, Starbucks gave customers who brought in their own reusable cup a 10-cent discount, in addition
to using corrugated cup sleeves made from 85% post-consumer recycled fiber, which is 34% less paper
than the original. During the same period, Starbucks entered into a partnership with Conservation
International—pledging US$7.5 million over three years—to help protect the natural environment of
coffee-growing communities in Mexico and Indonesia.[270]

Plastic straw ban

On July 9, 2018, Starbucks President and CEO Kevin Johnson announced that Starbucks will ban the
single-use plastic straws by January 1, 2020, on all cold drinks from all locations worldwide due to climate
change concerns, pollution, and sea turtle endangerment as the single-use plastic straws failed to be
designed for recycling when they were invented. Frappucinos will get straws made from a different
material that is sustainable and environmentally friendly such as paper or compostable plastic, while other
cold drinks will get straw-less lids. These new modified lids contain 9% less plastic than Starbucks'
previous flat lid.[271] The Starbucks locations in Europe, China, Taiwan, Japan, Thailand, Vietnam, India,
Canada, Hawaii, Alaska, Washington D.C., New Mexico, California, New York, Washington State, New
Jersey, Oregon, Maryland, Delaware, Vermont, Massachusetts, Connecticut, and Rhode Island already
eliminated single-use plastic straws by the end of 2018.[272][273] South Korea is the first country to
introduce paper straws to all stores among 78 countries in the world that Starbucks has entered.[274]

Reusable cups

Starbucks has publicly committed to reducing waste by 50% by 2030.[275] After successfully completing
the campaign to provide the Reusable Cup in Vietnam in 2020, it held the same event in Korea in 2021.
Along with a picture of throwing away a cleanly washed recycled PET bottle on Instagram, a hashtag
designated by Starbucks was written and uploaded, and a reusable cup was provided instead of a
disposable cup.

In April 2013, Starbucks introduced reusable cups where customers would be able to bring their cup into
any location and receive a small discount on their drink.[276] When the COVID-19 pandemic first began in
2019, the company halted the use of personal cups due to concerns with the transferring of germs.[277]

Starbucks is phasing out disposable cups in Korea entirely by 2025.[278][279]

Farmer equity practices

Starbucks began drafting plans for corporate social responsibility in 1994.[280] Since Starbucks has
partnered with Conservation International (CI) to draft plans and audit its coffee and farmer equity
(C.A.F.E.) program,[281] Starbucks's C.A.F.E. practices are based on a rating system of 249 indicators.
Farmers who earn high overall scores receive higher prices than those who achieve lower scores. Ratings
categories include economic accountability, social responsibility, environmental leadership in coffee
growing and processing. Indicators for social responsibility have evolved and now include 'zero tolerance'
indicators that require workers to be paid in cash, check, or direct deposit, ensure that all workers are paid
the established minimum wage, that workplaces are free of harassment and abuse, that workplaces are
nondiscriminatory and do not employ persons under the age of 14, and several more.[282] Starbucks has
moved 90% of its coffee purchases to preferred C.A.F.E. certified providers, and the company is
approaching its stated goal to purchase 100% of its coffee through C.A.F.E. or other 'ethically sourced'
certification systems.[281]

Washington State University Assistant Professor Daniel Jaffee argues that Starbucks's C.A.F.E. practices
merely 'green wash' "to burnish their corporate image."[283] Additionally, Professor Marie-Christine
Renard of Rural Sociology of Chapingo University in Mexico wrote a case study of Starbucks's,
Conservation International's, and Agro-industries United of Mexico (AMSA)'s joint conservation effort in
Chiapas, Mexico in which she concluded that "[w]hile the CI-Starbucks-AMSA Alliance paid better prices,
it did not allow the producers to appropriate the knowledge that was necessary for the organizations to
improve the quality of their coffee."[284]

Fair trade

In 2000, the company introduced a line of fair trade


products.[285][286] Of the approximately 300 million pounds (136
million kilograms) of coffee Starbucks purchased in 2006, about
18  million pounds (8.2  million kilograms) or 6% was certified as
fair trade.[287] All espresso roast sold in the United Kingdom and
Ireland is Fairtrade.[288] Groups such as Global Exchange called
for Starbucks to further increase its sales of fair trade coffees.[289]

After a long-running dispute between Starbucks and Ethiopia, Fair trade coffee beans, pictured
Starbucks agreed to support and promote Ethiopian coffees. An here being sorted in 2007, have
article in BBC News,[290] states that Ethiopian ownership of made up the majority of Starbucks'
popular coffee designations such as Harrar and Sidamo is imports from coffee-producing
acknowledged, even if they are not registered. Ethiopia fought hard countries.
for this acknowledgement mainly to help give its poverty-stricken
farmers a chance to make more money. In 2006, Starbucks said it
paid $1.42 per pound ($3.1/kg) for its coffee, more than 33% higher than the commodity price at the time.
However, the coffee Starbucks bought for $1.42 per pound ($3.1/kg), had a selling price—after
transportation, processing, marketing, store rentals, taxes, and staff salary and benefits—of $10.99 per
pound ($24.2/kg).[291][292] As of 2013, the Starbucks website sells only one Ethiopian coffee.[293][294] In
addition, Starbucks is an active member of the World Cocoa Foundation.[295]

Food bank donations

Since 2010, Starbucks has been donating leftover pastries in the United States to local food banks through a
food collection service named Food Donation Connection.[296] In March 2016, Starbucks unveiled a five-
year plan to donate 100 percent of unsold food from its 7,600 company-operated stores in the U.S. to local
food banks and pantries.[297] Perishable food will be transported in refrigerated trucks to area food banks
through the company's partnerships with the Food Donation Connection and Feeding America. This
program, called FoodShare, is expected to provide up to 50 million meals over the next five years.[298] As
of 2017, the program was in 10 different markets, including New York City.[299] In New York, Starbucks
works with Feeding America and City Harvest, both non-profits, to donate food from 45 locations. It plans
to expand the program to all 305 Manhattan stores. In September 2019, 60% of Starbucks stores are
participating in FoodShare. This level of participation contributed to 20 million meals served to those in
need.[300]

Cage-free eggs

In 2008, Starbucks announced a comprehensive new animal welfare policy banning many inhumane
farming practices, including the caging of hens. In 2009, they established a buying preference in North
America to use industry best practices for animal husbandry and processing, including egg production.[301]

In 2015, Starbucks made a public announcement that they will switch to 100% cage-free eggs by
2020.[302][303][304][305] However, later, the company altered its commitment to just company-owned
locations, excluding around 40% of its licensed restaurants.[306]

In 2018, Starbucks committed to reaching the goal of using 100% cage-free eggs and egg products in
company-operated stores globally by 2020, including Starbucks branded products and those supplied to
licensed partners in the North America. They stated their goal to be for all their products to meet high
quality and ethical standards, with a commitment to social responsibility standards with animal welfare as a
primary focus[307]

Organizations such as World Animal Protection and Compassion in World Farming have stated that
Starbucks has not shown any demonstrable improvement in animal welfare since 2012.[308] According to
the Humane Society of the United States, Starbucks no longer qualifies as having an actual cage-free
commitment.[309]

Music, film, and television

Hear Music

Hear Music began as a music catalog company in 1990, adding a


few retail locations in the San Francisco Bay Area. Hear Music
was purchased by Starbucks in 1999.[310] In 2002, it produced a
Starbucks opera album, featuring artists such as Luciano Pavarotti,
followed in March 2007 by the hit CD Memory Almost Full by
Paul McCartney, making McCartney the first artist signed to the
new Hear Music label sold in Starbucks outlets.[311] In 2006, the
company created Starbucks Entertainment, one of the producers of
the 2006 film Akeelah and the Bee. Starbucks stores advertised the
film before its release and sold the DVD.[312][313]
Starbucks's Hear Music Coffeehouse
Starbucks has become the subject of a protest song, "A Rock Star in downtown San Antonio, Texas,
2006
Bucks a Coffee Shop" by Neil Young and his band, Promise of the
Real. This single from the album The Monsanto Years criticized
both Starbucks's alleged use of genetically modified food and the
GMO company Monsanto.[314][315]

Upstanders
In September 2016, Starbucks announced a debut of its first-ever original content series called
"Upstanders," which aimed to inspire Americans with stories of compassion, citizenship, and civility.[316]
The series featured podcasts, written word, and video, and was distributed via the Starbucks mobile app,
online, and through the company's in-store digital network.[316]

Partnerships

Aeroplan

In Canada, Starbucks has partnered with Aeroplan to award Aeroplan points to customers who link their
Aeroplan and Starbucks accounts. Aeroplan members receive points for loading money into their Starbucks
account.[317]

Apple Inc.

Starbucks has partnered with Apple Inc. to collaborate on selling music as part of the "coffeehouse
experience." In October 2006, Apple added a Starbucks Entertainment area to the iTunes Store, selling
music similar to that played in Starbucks stores. In September 2007, Apple announced that customers
would be able to browse the iTunes Store at Starbucks via Wi-Fi in the US—with no requirement to log
into the Wi-Fi network—targeted at iPhone, iPod Touch, iPad, and MacBook users. The iTunes Store
automatically detects recent songs playing in a Starbucks and offer users the opportunity to download the
tracks. Some stores feature LCD screens with the artist name, song, and album information of the current
song playing. This feature was rolled out in Seattle, New York City, and the San Francisco Bay Area, and
was offered in limited markets during 2007–2008.[318] During the fall of 2007, Starbucks also began to sell
digital downloads of certain albums through iTunes. Starbucks gave away 37 different songs for free
download through iTunes as part of the "Song of the Day" promotion in 2007, and a free "Pick of the
Week" download is available from the App Store.[319][320]

MSNBC

Starting on June 1, 2009, the MSNBC morning news program Morning Joe has been presented as "brewed
by Starbucks" and the show's logo changed to include the company logo. Although the hosts have
previously consumed Starbucks coffee on air "for free" in the words of MSNBC president Phil Griffin, it
was not paid placement at that time.[321] The move was met with mixed reactions from rival news
organizations, viewed as both a clever partnership in an economic downturn and a compromise of
journalistic standards.[322] The endorsement deal ended in August 2013.[323]

Kraft Foods

Starbucks and Kraft Foods entered into a partnership in 1998 to sell Starbucks products in the Mondelez
grocery stores owned by the latter. Starbucks claimed that Kraft did not sufficiently promote its products
and offered Kraft US$750 million to terminate the agreement; however, Kraft declined the offer, but
Starbucks proceeded with the termination anyway. Starbucks wanted to terminate the agreement because at
the time, single coffee packs were beginning to become popular. In their agreement, Starbucks was
confined to selling packs that only worked in Kraft's Tassimo machines. Starbucks did not want to fall
behind in the market opportunities for K-Cups.[324] In mid-November 2013, an arbitrator ordered
Starbucks to pay a fine of US$2.8 billion to Mondelez International, a corporate spin-off of Kraft, for its
premature unilateral termination of the agreement.[325][326][327]

Arizona State University

In June 2014, Starbucks announced a partnership with Arizona State University (ASU) that would allow
Starbucks employees in their Junior and Senior years of college to complete four years of college at
Arizona State University's online program for only around $23,000. Starbucks employees admitted into the
program will receive a scholarship from the college,[328] that will cover 44% of their tuition. The remaining
balance and all other expenses would be paid by the student or through traditional financial aid. In April
2015, Starbucks and ASU announced an expansion of the College Achievement Program. The program
would now allow all eligible part-time and full-time employees working in a U.S. Starbucks to enroll in the
program for full-tuition reimbursement.[329] After the completion of each semester, Starbucks reimburses
the student their portion of the tuition. The student can then use the reimbursement to pay any loans or debt
incurred during the semester.[330]

PepsiCo

In 2015, Starbucks signed a deal with PepsiCo to market and distribute Starbucks products in several Latin
American countries.[331]

Spotify

In May 2015, Starbucks entered a partnership with music streaming service Spotify. The partnership
entailed giving U.S.-based employees a Spotify premium subscription and to help influence the music
played in store via playlists made using Spotify. Starbucks was also given its own curated Spotify playlist to
be featured on Spotify's mobile app.[332]

Disney

On June 19, 2015, a Starbucks opened at Disney's Animal Kingdom on Discovery Island. Since the park
does not allow plastic straws due to the animals, this location features special green eco-friendly straws with
their cold drinks.[333] This was the sixth Starbucks to open in Walt Disney World, following locations in
the Magic Kingdom (Main Street, U.S.A.), Epcot (Future World), Disney's Hollywood Studios
(Hollywood Boulevard),[334] and two in Disney Springs (Marketplace and West Side). In addition to these
six, there are locations in Disneyland (Main Street, U.S.A.), Disney California Adventure (Buena Vista
Street), Anaheim's Downtown Disney, and Disney Village at Disneyland Paris. The Downtown Disney
and Disney Springs locations are Starbucks-operated, while the locations inside of the theme parks are
Disney-operated.[335]

Uber Eats

In December 2018, Starbucks expanded its partnership with Uber Eats to bring its beverages to U.S.
customers' doorsteps, as it had already done for some time in China.[336][337]
Lyra Health Inc.

In March 2020, Starbucks announced that starting from April 6, all U.S. employees and their eligible family
members could use up to 20 free mental health therapy or coaching sessions per year.[338] They can meet
with a counselor face-to-face or video call and will also have unlimited access to self-care apps through
Lyra Health Inc.[339]

PayPal/Bakkt
Through partnerships with financial technology company PayPal and digital asset manager Bakkt,
Starbucks customers can reload their Starbucks cards with cryptocurrencies such as Bitcoin and
Ether.[340][341]

Reviews and reception


Kevin Knox, who was in charge of doughnuts food quality at Starbucks from 1987 to 1993, recalled on his
blog in 2010 how George Howell, coffee veteran and founder of the Cup of Excellence, had been appalled
at the dark roasted beans that Starbucks was selling in 1990.[33][342] Talking to The New York Times in
2008, Howell stated his opinion that the dark roast used by Starbucks does not deepen the flavor of coffee,
but instead can destroy purported nuances of flavor.[33]

The March 2007 issue of Consumer Reports compared American fast-food chain coffees and ranked
Starbucks behind McDonald's Premium Roast in the middle of a coffee war. The magazine called
Starbucks coffee "strong, but burnt and bitter enough to make your eyes water instead of open."[343]

As reported by Time in 2010, third wave coffee proponents generally criticize Starbucks for over-roasting
beans.[344] As a result, Starbucks retrained its baristas and changed its roasting methods in 2010 in order to
"standardize quality over quantity."[345] The Atlantic reported that this push for higher-quality coffee
slowed down orders, but stated "[they] move their product pretty quickly, and with surprising
accuracy."[345] Forbes corroborated this trade off between efficiency and quality at Starbucks.[346]

In 2018, Business Insider conducted a test of Starbucks coffee judged by 100 coffee experts.[347] It
concluded that although staples of the menu were "too sugary", coffee quality materially improved with
particularly strong showings in the firm's iced coffee and nitro cold brew coffee offerings.[347] Insider
experts, however, did note that the coffee quality in Starbucks Reserves far surpassed that of the typical
retail store.[347]

Parodies and trademark infringements


Starbucks has been a target of parodies and imitations of its logo,
particularly the 1992 version, and has used legal action against
those it perceives to be infringing its intellectual property.

United States

During 1990s and 2000s A line outside "Dumb Starbucks" on


February 9, 2014
In 1999, a New York store selling stickers and T-shirts using the
Starbucks logo with the phrase "Fuck Off" was sued by the
company.[348][349]

In 2000, San Francisco cartoonist Kieron Dwyer was sued by


Starbucks for copyright and trademark infringement after creating a
parody of its siren logo and putting it on the cover of one of his
comics, later placing it on coffee mugs, T-shirts, and stickers that he
sold on his website and at comic book conventions. Dwyer felt that
since his work was a parody it was protected by his right to free
speech under U.S. law. The case was eventually settled out of
court, as Dwyer claimed he did not have the financial ability to
endure a trial case with Starbucks. The judge agreed that Dwyer's
work was a parody and thus enjoyed constitutional protection;
however, he was forbidden from financially "profiting" from using
a "confusingly similar" image of the Starbucks siren logo. Dwyer
was allowed to display the image as an expression of free speech,
but he can no longer sell it.[350]

Starbucks did not open any stores after first registering its Cartoonist Kieron Dwyer's first LCD
trademark in Russia in 1997, and in 2002 a Russian lawyer issue, 2000
successfully filed a request to cancel the trademark. He then
registered the name with a Moscow-based company and asked for
$600,000 to sell the trademark to Starbucks, but was ruled against in November 2005.[146]

In Austin Powers: The Spy Who Shagged Me, Dr. Evil made his hideout in a Starbucks-branded tower from
which he traveled back to the past.

In the 2004 DreamWorks Animation film Shrek 2, Starbucks is parodied as Farbucks in the kingdom of Far
Far Away, which in turn, is a parody of a medieval version of Hollywood, California.

In December 2005, Sam Buck Lundberg, who owns a coffee store in Oregon, was prohibited from using
"Sambuck's Coffee" on the shop front.[351]

A bar owner in Galveston, Texas, USA won the right to sell "Star Bock Beer" after a lawsuit by Starbucks
in 2003 after he registered the name, but the 2005 federal court ruling also stated that the sale of the beer
must be restricted to Galveston, a ruling upheld by the Supreme Court in 2007.[352][353]

In September 2007, Christian bookstores and websites in the United States sold a T-shirt featuring a logo
with the siren replaced by Jesus and the words "Sacrificed for me" around the edge.[354]

In April 2008, Starbucks claimed that Seattle's Rat City Rollergirls logo by a Washington artist was too
similar to its own. Starbucks requested an extension to further examine the issue and possibly issue a
complaint, which was granted by the Trademark Office. The case was terminated.[355][356]

During the 2010s

In November 2013, Starbucks lost a case against a small, family-owned roaster in New Hampshire that
sells coffee known as Charbucks.[357]
In 2014, Nathan Fielder, a Canadian comedian behind Nathan for You, opened a store called "Dumb
Starbucks Coffee" in Los Feliz, Los Angeles. The store resembled a typical Starbucks with one exception:
everything was preceded by the word "dumb." For example, the drinks he carried included Dumb Skinny
Vanilla Lattes and Dumb Frappuccinos.[358] The store carried music titled "Dumb Jazz Standards" and
"Dumb Norah Jones Duets."[359] He thought he could bypass infringement and copyright claims through
the "Parody Law," referring to the parody aspect of Fair Use laws (that protect parodists such as "Weird
Al" Yankovic and SNL). No lawsuits were filed though because the store was short-lived. The Los
Angeles Health Department shut it down after 4 days because Fielder lacked the proper permits.[360][361]

In October 2016, the company prevailed in a trademark infringement case against bongs that look like
Frappuccinos, winning over $500,000 after the pipe designer did not show up to court.[362][363][364]

In May 2017, a coffee shop in Brooklyn sued Starbucks for $10 million, claiming that its "Unicorn
Frappuccino" overshadows the shop's "Unicorn Latte". The case was settled in September 2017.[365]

International cases

North America

In 2003, Starbucks sent a cease-and-desist letter to "HaidaBucks Coffee House" in Masset, British
Columbia, Canada. The store was owned by a group of young Haida men, who claimed that the name was
a coincidence, due to "buck" being a Haida word for "young man" (a claim that cannot be substantiated).
After facing criticism, Starbucks dropped its demand after HaidaBucks dropped "coffee house" from its
name.[366]

Europe

In 2005, an anti-Starbucks website, starbuckscoffee.co.uk, which encouraged people to deface the


Starbucks logo[367] was transferred to Starbucks,[368] but has since resurfaced at
www.starbuckscoffee.org.uk.

East Asia

In January 2006, Starbucks won a case against the Xingbake chain in Shanghai, China for trademark
infringement, because the chain used a green-and-white circular logo with a name that sounded
phonetically similar to the Chinese for Starbucks.[369][370]

In January 2007, Starbucks lost a trademark infringement case against a smaller coffee vendor in South
Korea that operates coffee stations under the name Starpreya. The company, Elpreya, says Starpreya is
named after the Norse goddess, Freja, with the letters of that name changed to ease pronunciation by
Koreans. The court rejected Starbucks's claim that the logo of Starpreya is too similar to their own
logo.[371]

In November 2017, the company lost a trademark infringement dispute against Morinaga Milk Industry,
which used a black-and-white circular logo, with Mount Rainier branding. The case was thrown out by the
Intellectual Property Office of Singapore.[372]

South Asia
In March 2007, Starbucks launched action against an Indian cosmetics business run by Shahnaz Husain,
after she applied to register the name Starstruck for coffee and related products. She said she aimed to open
a chain of stores that would sell coffee and chocolate-based cosmetics.[373]

Businesses that used the Starbucks logo unaltered and without permission, include a café in Pakistan[374]
and a cafe in Cambodia in 2009, the owner saying that "whatever we have done we have done within the
law."[375]

West Asia

In 2009, a cafe in Al-Manara Square, Ramallah, Palestinian Territories, opened with the name "Stars and
Bucks" and a logo using a similar green circle and block lettering. Like Starbucks, the Stars and Bucks
serves cappuccinos in ceramic cups, and offers free Wifi. According to speculation cited in the Seattle Post
Intelligencer, the cafe's name and imitation Starbucks style may be a political satire of American
consumerism. Starbucks is not known to have taken action against this business.[376][377][378]

Criticisms and controversies


Following the 2022 Russian invasion of Ukraine, a number of companies have faced growing pressure to
halt operations in Russia, but have not yet done so. This includes Starbucks. On March 4, Starbucks CEO
Kevin Johnson stated that the company has no business operations in Ukraine, but does have 130 licensed
Starbucks locations in Russia that are wholly owned by a “licensed partner”. While Johnson did not
comment on their future, he condemned the Russian invasion and did say that the company “will donate
any royalties we receive from our business operations in Russia to humanitarian relief efforts for Ukraine.”
[379][380][381][382]

Racial controversies

Starbucks has been accused of racial bias and discrimination on several occasions.

In 1994, Starbucks settled a lawsuit after two employees were fired because of their race, age, and sex. A
black woman filed a suit after her direct supervisor, a regional vice president, said he would like to call her
Toby, a slave name which was given to African Kunta Kinte in a TV mini-series “Roots”. Her co-worker
spoke on her behalf, after which she was fired.[383]

In 2008, a former African American Starbucks engineer sued the company for discrimination after his
supervisor failed to address racist bullying he was experiencing at the workplace, instead giving him extra
work due to his complaining. Starbucks settled in 2009.[384]

In 2014, a Milwaukee Starbucks employee called the police when they noticed a black man sleeping in a
park, which resulted in the police officer killing the man by shooting him 14 times, prompting protests.[385]

The 2015 Starbucks “Race Together” campaign, when baristas were instructed to write the phrase “Race
Together” on customer's cups with the aim to start a national dialogue about race, was heavily criticized and
received backlash.[386][387]

In 2018, two black men were arrested and escorted out of a Philadelphia Starbucks after the staff called the
police because they refused to leave. The video of the incident quickly became viral and sparked
widespread outrage.[388]
In another 2018 incident, a black man was denied the code for the restroom for not being a customer, even
though at the same time a white man was given that code before ordering anything.[389]

In 2020, Starbucks employees were prohibited from wearing “Black Lives Matter” symbols or phrases on
their clothing or accessories.[390]

In 2021, a Starbucks in Ireland was fined €12,000 after a customer received her order with a racist drawing
on the cup.[391]

The Equal Employment Opportunity Commission has raised allegations against Starbucks for racial bias in
its promotions, allegedly based on workforce data from 2007 to 2011 that showed that minority retail
partners in the United States received fewer promotions than statistically expected.[392]

See also
Coffee culture
Coffee wars
Coffee substitute
Criticism of Starbucks
List of coffee companies
List of coffeehouse chains
List of companies based in Seattle
Multinational corporation

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Further reading
Behar, Howard with Janet Goldstein. (2007). It's Not About the Coffee: Leadership Principles
from a Life at Starbucks, 208 pages. ISBN 1-59184-192-5.
Clark, Taylor. (2007). Starbucked: A Double Tall Tale of Caffeine, Commerce and Culture.
336 pages. ISBN 0-316-01348-X.
Michelli, Joseph A. (2006). The Starbucks experience: 5 principles for turning ordinary into
extraordinary, 208 pages. ISBN 0-07-147784-5.
Pendergrast, Mark (2001) [1999]. Uncommon Grounds: The History of Coffee and How It
Transformed Our World. London: Texere. ISBN 1-58799-088-1.
Schultz, Howard. and Dori Jones Yang. (1997). Pour Your Heart Into It: How Starbucks Built
a Company One Cup at a Time, 350 pages. ISBN 0-7868-6315-3.
Simon, Bryant. (2009). Everything but the Coffee: Learning about America from Starbucks.
320 pages. ISBN 0-520-26106-2.

Media

Archived at Ghostarchive (https://ghostarchive.org/varchive/youtube/20211211/XUBeH7VQ


aFY) and the Wayback Machine (https://web.archive.org/web/20190413125058/https://www.
youtube.com/watch?v=XUBeH7VQaFY): "How Starbucks Became An $80B Business" (http
s://www.youtube.com/watch?v=XUBeH7VQaFY). CNBC. January 10, 2019.
Archived at Ghostarchive (https://ghostarchive.org/varchive/youtube/20211211/_FGUkxn5kZ
Q) and the Wayback Machine (https://web.archive.org/web/20180727121651/https://www.yo
utube.com/watch?v=_FGUkxn5kZQ&gl=US&hl=en): "Why Starbucks Failed In Australia" (htt
ps://www.youtube.com/watch?v=_FGUkxn5kZQ). CNBC. June 26, 2018.
Archived at Ghostarchive (https://ghostarchive.org/varchive/youtube/20211211/sdHKw0Ve--
8) and the Wayback Machine (https://web.archive.org/web/20191102015901/https://www.yo
utube.com/watch?v=sdHKw0Ve--8&gl=US&hl=en): "Why Starbucks Is Struggling In South
Africa" (https://www.youtube.com/watch?v=sdHKw0Ve--8). CNBC. October 23, 2019.

External links
Official website (https://www.starbucks.com)
Business data for Starbucks: Bloomberg (https://www.bloomberg.com/quote/SBUX:US) ·
Google (https://www.google.com/finance?q=SBUX:NASDAQ) · Reuters (https://www.reuters.
com/markets/companies/SBUX.O) · SEC filings (https://www.sec.gov/cgi-bin/browse-edgar?
action=getcompany&CIK=829224) · Yahoo! (https://finance.yahoo.com/quote/SBUX)

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