World's leading chain of coffee shops.
Headquarters: 2401 Utah Avenue South
Seattle, WA 98134
CEO: Kevin Johnson
Stock Symbol: SBUX
Starbucks operates the world's leading coffee chain with over 33,800 stores in 80 countries. Of this total,16,826 stores are located in North America.
Starbucks stores are a great place for people to relax, meet others and surf the Internet.
Starbucks sells more than 30 blends and single-origin coffees in its stores and through a specialty sales group and supermarkets. Additionally, Starbucks produces and sells bottled Frappuccino coffee drink and a line of premium ice creams through its joint venture partnerships. Seattle's Best Coffee is also owned by the company.
In fiscal 2021, the company reported record revenues of $29.06 billion, up 24% from the previous year, and net income of $4.19 billion. Global store sales increased 20% and average ticket up 10%.
Starbucks has been trying to promote digital orders, drive thrus and pickups of orders.
By January 2022, Starbucks said employees with two or more years of service will see up to a 5-10% increase in their pay, and in Summer 2022, all hourly retail workers in the U.S. will make an average of nearly $17/ hr. with barista hourly rates ranging from $15 to $23/ hr. across the country.
The company plans to open 2,000 net new stores in fiscal 2022.
Starbucks opened its first location in Seattle's Pike Place Market in 1971. Now Chairman Howard Schultz joined Starbucks in 1982 as Director of Marketing. Schultz visited Italy and noticed the popularity of espresso bars there. He thought this would be a great idea in the Seattle area and convinced Starbucks to open a coffee shop in downtown. Schultz founded his own coffee company and acquired Starbucks' name and assets from its founders in 1987. The company had just 17 stores but would soon grow quickly and went public in 1992 at $17 per share.
Starbucks' popularity soared as it opened coffee shops within Barnes and Noble bookstores. It also provided coffee for United Airlines and shops in Starwood hotels. The company's focus on quality and commitment to social causes and the community have made it one of the world's most admired businesses.
Starbucks stopped selling breakfast sandwiches in 2008 to focus on coffee. In April 2008, Starbucks introduced new line of regular coffee called Pike's Place Roast.
In January 2008, Starbucks founder Howard Schultz returned to take over the CEO position that he previously held in 2000. Overexpansion and the weak economy have hurt sales. The company closed 600 underperforming stores in 2008 and an additional 300 stores in 2009.
Starbucks changed its logo in 2011 in honor of its 40th anniversary. The new logo no longer mentions Starbucks or coffee.
In 2012, Starbucks acquired LaBoulange Bakery based in San Francisco for $100 million. The bakery is known for making French pastries and breads from scratch.
Starbucks acquired tea company Teavana in 2012 for about $620 million. In 2017, Starbucks closed all Teavana retail locations and some were converted into Starbucks stores.
Starbucks sold its Tazo Tea brand in 2017.
Starbucks has ranked among the Best Companies to Work for according to Fortune Magazine. Employees receive health insurance for working just 20 hours per week.
The company announced it would offer workers free college tuition for two years at Arizona State University's online program but this applies only to workers at company-owned stores.
Other benefits employees are offered include:
- 30% in-store and online discounts
- Progressive Compensation Package
- Healthcare Benefits (Medical, Prescription Drugs, Dental and Vision)
- Retirement Savings Plan
- Stock Options and Discounted Stock Purchase Plan
- Income Protection Plan (Life and Disability Coverage)
- Management Bonus Plan
- Adoption Assistance Plan
- Domestic partner benefits
- Referral programs and support resources for child and eldercare
- Discounted Starbucks merchandise
All employees receive a free pound of coffee each week.
Updated November 1, 2021