Starbucks take alcohol off the menu
When you think of Starbucks, your mind is immediately cast to images of hot drinks in tall white and green branded cups that have become a symbol of western culture. However, for a few years, certain Starbucks outlets have also offered alcoholic drinks to their customers but this is soon to come to an end.
The idea to include beer, wine and small plates of comfort foods like pizza and mac and cheese was brought in at the company’s Seattle home in 2010 and quickly spread to over 400 stores across America. The company wanted to create a place where customers could have meeting space in the evenings, as well as causal food and drinks. This was clearly an effort to bring more customers towards their stores later in the day when the need for morning caffeine diminishes.
Starbucks pushed hard to make the idea work, hosting free wine tasting events, table-side service and a range of promotional and publicity creating evenings and in theory the idea makes sense.
Starbucks share price over the last three months
As of 12 January 2017: 58.25
SOURCE: Yahoo Finance
However, a decision has been made by the coffee giants to bring the initiative to an end as of 10 January. News of the decision to bring the evenings concept to an end was broken by The Seattle Times. According to their reports, however, it will just be the evening concept that is pulled and that certain special Starbucks Roastery stores will still feature some alcoholic beverages.
A Starbucks spokesperson said in a statement: "As a strategic priority, Starbucks focuses on innovation, meeting our customers where they are throughout their day. The Starbucks Evenings Program is an example of that innovation priority.
“We have been learning a lot along the way but as you heard us share at our Investor Day Conference in December, with the addition of Roasteries, Reserve stores and Starbucks Reserve Bars there is an even greater opportunity to align this daypart to our premium, Reserve experience. As a result, we are going to pause the formal rollout of this program in U.S. Starbucks stores effective January 10, remove it from our current locations and integrate beer, wine and spirits into our new retail formats.”
Dominion holds Starbucks in its Global Trends Managed Fund.
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