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The Power of Loyalty. Roger Brooks B.Читать онлайн книгу.

The Power of Loyalty - Roger Brooks B.


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       Preface

      I CAN REACH BACK AND REMEMBER each detail. It was my first Starbucks experience. The year was 1990, and I had recently moved to Portland, Oregon, from upstate New York to attend Portland State University. I was a 20-year-old junior college transfer trying to walk on to the Division I Portland State University Vikings baseball team led by Coach Jack Dunn.

      I made some friends within the first couple days of tryouts, and after the third day a few of the guys asked if I wanted to join them to “grab a coffee.” I’ll admit, I thought the request was some sort of code name to go out and “grab a beer.” I accepted, and five of us walked down the city park blocks, just past Nordstom, and went into a small standalone building called Starbucks Coffee. Each of my teammates stood in line and in some sort of coffee cult-like language placed an order. I remember looking at the large display menu behind the counter, but I wasn’t sure what I was reading. There were foreign words displayed on the menu such as “Cappuccino,” “Latte,” and “Mocha.”

      Three of my teammates quickly ordered in foreign tongues, and I recall feeling nervous as the time came closer for me to order. “I’ll have a tall, nonfat, no-whip mocha,” the teammate in front of me ordered. “I’ll have the same,” I said (although I had no idea what I just ordered). This was the first cup of coffee I had ordered in my entire life. The closest thing I’d had to a cup of coffee was the coffee-flavored hard candy my mother bought when we were kids (routinely the last type of candy left in our house).

      After waiting a few minutes for my $3 “tall, nonfat, no-whip mocha,” I joined my teammates who were sitting on bar stools at a tall table near the window facing S.W. Broadway.

      I remember looking around thinking, “This is really different but this is very neat.” It was a whole new experience; and the atmosphere, the aroma, and my first Starbucks coffee are things I will never forget. That was my introduction to coffee, it was my introduction to Starbucks, and what I wouldn’t realize until years later—my introduction to customer loyalty.

      I did find the experience somewhat odd for 20-something college baseball players. But I took notice. At least in Portland, Oregon, in 1990 I was witnessing and living a culture change. I was exposed to the coffee revolution firsthand, and I knew it would have an impact not only in Portland but also much further beyond. I knew I couldn’t wait to go back to Starbucks again.

      Little did I know that I would visit hundreds of Starbucks in dozens of cities throughout North America in the years to come; and little did I know that my first Starbucks experience would be replicated, almost identically, each and every visit.

      A few weeks later, Coach Dunn sat me down in his office to give me the bad news. For the first time in my life I had to admit to myself that I wouldn’t play baseball at the highest collegiate level. I also had to admit that I wouldn’t come close to playing baseball as a career. All the hard work and all of my childhood dreams came to an end that day—until Coach Dunn shared some advice that I would remember and cherish forever.

      “I’ve been coaching baseball for more than 35 years,” he said. “In all my years of coaching and the hundreds of talented kids that went through the system, there were only three players I coached who made it to the big leagues—Jeff Lahti, Steve Olin, and Dale Murphy. Roger, we all have talents. Find your special talent and you will find happiness. Be loyal, and loyalty will be returned to you tenfold. It’s a law of life.”

      That was the last day I put on a glove and threw a ball playing organized baseball, but my coach’s words would resonate in my mind for years to come. The experience at Starbucks and my separation from baseball were the foundation, my introduction to loyalty. I’m very grateful for that.

       “Be loyal, and loyalty will be returned to you tenfold. It’s a law of life.”

      —Coach Jack Dunn, Portland State University, Vikings Baseball

      I’m sure you can remember the first time you walked into a Starbucks Coffee. The reason you remember it is because the braintrust at Starbucks planned it that way. They wanted to make certain there would be a lasting impact from your first visit, and wanted to make sure you had a memorable first impression so you couldn’t wait to come back again to buy. And it worked. You went back again, and again, and again. And you told your friends, and they told their friends.

      Each time you went back, chances are you had a good experience. You enjoyed the coffee, you enjoyed the aroma, you enjoyed the atmosphere, and you enjoyed the music. Most likely, and most importantly, you were satisfied with the level of service you received from the barista preparing your coffee behind the counter. The barista was funny, friendly, and uplifting in a manner that you were not used to seeing or being treated by any other “everyday” establishment. More than likely, you were satisfied with the overall experience.

      The more you frequent Starbucks the more you realize that the barista doesn’t only treat you the way she did, rather she treats each and every customer the same way. That consistency is a key ingredient that contributes to Starbucks’ success. The loyal customer base Starbucks has built over the years is one of the most successful in the history of modern food service. Starbucks literally gets people hooked.

      So just how does Starbucks do it and why don’t others follow? Answer: because it’s not easily replicated. The Starbucks experience cannot be replicated without a strong financial commitment and a major change in corporate culture. It wasn’t by chance that all the pieces came together on your first, fifth, and fiftieth visit to Starbucks.

      It was an extremely well-thought-out strategy to persuade customers to be loyal to Starbucks and to the brand from the very first time they set foot in one of its coffee houses. Starbucks aims to connect to multiple senses of each customer—in such a way that the customer craves to repeat the experience. Of course, Starbucks has mastered its main product, its coffee, yet it has also mastered the experience. It is the added perks you receive that give you a consumer thirst to want to go back again and again. As much as coffee is addictive, the experience becomes equally addictive.

      If you haven’t read it already, I recommend The Starbucks Experience by Joseph A. Michelli, Ph.D. You will learn every detail of why Starbucks is the number-one coffee retailer in the world. You will learn why it is an expert in food service retailing and how it has been able to continue to prosper year after year. It has an exclusive approach to everything it does from how it trains and treats its employees to how it selects the coffee beans it brews.

      In July 2008, Starbucks closed approximately 600 underperforming stores in an effort to ease its financial woes. It has been reported that the reasons it closed nearly 10 percent of its shops in the U.S. were the weakening economy, fierce competition, and cannibalization from its own stores.

      As much as coffee is addictive, the experience becomes equally addictive.

      More recently, Starbucks initiated a customer loyalty program, My Starbucks Rewards, and the timing couldn’t have been better. The rewards program will be a key driver to fighting competing businesses such as Dunkin’ Donuts and McDonald’s, as well as emerging competition from hometown coffee houses. The program strategy for My Starbucks Rewards will be one of the most important decisions Starbucks has made for its company’s future. Due to the size and scale of the program, Starbucks must find a way to wow its customers with an exciting program offering attractive benefits.

      Currently,


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