Why did Starbucks REALLY become so popular?

☕ Welcome to the story of Starbucks! - This Starbucks documentary looks at the past, present and future of the coffee behemoth, Starbucks - from its humble beginnings selling coffee beans in Seattle, to its global domination of most of the world. This MagnatesMedia mini-movie looks at the business success of Starbucks & Howard Schultz, and how Starbucks took over the world.

For every single one of us, there are a handful of defining moments in your life. For Howard Schultz, the mastermind behind Starbucks’ empire, one of those moments came at just 7 years old. His father had just been fired from his delivery job after falling on ice and breaking his hip and ankle. The family had no medical insurance, no savings, and in that moment, no hope.

Flash forward to today, and Howard Schultz is a multi billionaire, and is responsible not just for transforming the coffee industry, but several other industries most people might not realise. But, to understand how a simple coffee store can become a global empire, we need to look at the 4 stages of Starbucks.

It begins with Howard Schultz being intrigued by the amount of orders a little coffee company was making (Starbucks), so Howard went to one of their Seattle stores to check Starbucks out for himself. He tried their coffee, and was immediately hooked. So much so, that he decided he wanted to be a part of Starbucks, and reached out to 3 guys who’d founded the company, to see if they’d hire him. But, the only person who thought Howard Schultz joining Starbucks was a good idea, was Howard himself. Despite this, Howard was persistent. He was unfulfilled in his current job, and could see huge potential for Starbucks. So, he kept writing to the Starbucks founders, and after over a year of convincing, Howard joined the Starbucks team. Little did anyone know, that decision, would change everything... #BusinessStories #MagnatesMediaMovies #Business #Starbucks #Entrepreneurship

(Thanks to Polymatter's 'Why Starbucks is actually a bank' documentary for inspiring the last part of this Starbucks story).

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⌛ Chapters:
00:00 Starbucks Documentary Prologue
00:52 How Starbucks Started
03:42 The Story of Howard Schultz & Starbucks
11:13 Starbucks' World Domination
15:52 The Future of Starbucks

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[ShockzInAMinute]

Glad to see you at one million subscribers, bro... You deserve it

[nicholasvaldez]

Starbucks stepped back from having a comfortable laid back experience. The one in my town used to have comfortable leather chairs arranged in a corner. It was cozy. They’ve since removed those and placed cheap contemporary tables.

[jpnl]

congrats on 1M magnatesmedia, well deserved especially after all you've gone through :)

[RonDLite]

Fun fact: Starbucks sells more milk than coffee

[toregister]

I have a funny story about Starbucks. My friend's dad was visiting from Sicily. My friend asked me to take him out while he was at work one day, to shoot some pool, as his dad loves the game. Anyhow, long story short, he asked me to take him for a coffee afterwards. Guess where we went? That's right, Starbucks, and I hate to say it, but he said it was the worst espresso he had ever had. My biggest beef with Starbucks, personally, is their outrageous prices.
Great story, btw! Thumbs up!

[Fred-ursr]

MM is just unstoppable i just addicted to his voice and narration

[herpderpy]

This was a really good video. It's too bad to Starbucks went from providing good wages and benefits to employees even if they were part-time to union busting now. Also let's be honest that most of their " coffee drinks" are really just dessert in a cup.

[ElyWaves.]

Imo another huge key to their success (just like their rewards app program) is their ability to retain customers. They’ve done a spectacular job at this. And sure you can say it’s the experience, but in reality I think it’s the convenience, the quality, and how they incentivize you to come back. Daily coffee drinkers if they buy a Starbucks mug can go in and get cheaper refills. Perfect for work everyday, then you’re also marketing them everywhere. You get good rewards, you keep coming back. Then you go to the store and can buy the same coffee to brew at home. They’ve done insanely well with customer retention

[LikaLaruku]

Every tiny independently owned coffee shack in American & Canada I've pulled up to in the past 20 years has had better coffee than Starbucks.
& I'm reminded this every time I cave in & get a Starbucks at a grocery store in any town or state.

They're losing business in the suburbs to a newer chain called Dutch Brothers.

[IanHobday]

I can tell you why I still go to Starbucks and it's because here in Japan they came into the market as a non-smoking chain when everywhere else was either entirely smoking or had a "non-smoking section" that had zero separation from the smoking area. Starbucks broke that model and as it became more popular, other chains had to follow suit. They were the one that created that trend here and I'll always be grateful to them for it.

[maou]

Your documentaries are so addictive! I watch them on my breaks at work

[BobHutton]

I'm happy to report that in my home city of Melbourne, Starbucks failed badly. They did badly in Australia anyway, but did especially bad in Melbourne (which has a large Italian population).

These days, you're only likely to find a Starbucks in areas that cater primarily to tourists.

[ducksdog]

Magnates is criminally underrated <3

[lilytea]

0:07: ☕ Howard Schultz's journey from a difficult childhood to building a global coffee empire.
4:56: ☕ Howard Schultz is captivated by the Italian coffee bar experience and wants to transform it into the American society.
8:36: 👥 Howard Schultz meets with Bill Gates Senior and receives support to raise funds for Starbucks.
12:56: 📉 Starbucks faced financial trouble and customer dissatisfaction due to rapid expansion and the financial crisis.
17:09: 📍 Starbucks' success is largely attributed to their strategic location choices and ability to gentrify areas.
Recap by Tammy AI

[movieman]

I've just seen the magnetesMedia logo in my notification i felt a real joy. Like when i'm watching a chris nolan movie 🤓

[ObiWineKenobi]

I was a Barista at Starbucks while in college. It was in downtown vancouver on robson street in the early 2000’s. At the time it was the busiest, highest revenue generating starbucks in North America. We made some great tips!

[theartofbiz]

An important point not covered in this video but noteworthy is how Starbucks's rapid growth in China in the past has helped them with their "world domination". They've opened their 6000+ stores in China already, which represent over 16% of all of their stores globally. However, their growth in China has slowed significantly due to a cocktail of factors including facing stiff competition from players such as Luckin Coffee. There's a video I made explaining Starbucks' downfall and Luckin's rise in China due to differences in business strategy, China's zero covid policy and contrasting approaches to product innovation and marketing, might be helpful to your viewers.

[DexMaar]

I worked for Dutch Bros for quite some time. And I got to see them go public, and I feel like this video is a warning to them. They're forgetting their roots and that Dutch Bro is an experience not just a cup of coffee. It was never meant for skeleton crews and not having the opportunity to hang out with the customer. The number of customers we used to have come by just to hang out, and by the time I left we barely knew anyone because we barely had time to say hello here's your order

[bran]

Cant wait for the future video where u show the fall of starbucks. They coffee gets more and more expensive, workers are always in a bad mood (i would be too if i was underpaid and overworked), and there is almost no experience left unless u enjoy waiting in the drive thru for 30 minutes. Covid may have had a major impact on this im not sure, love their coffee but cant afford it and would never chat with strangers in starbucks.

[christinejalandoni]

I can tell you in the Philippines the reason Starbucks got big here is because of the Organizer giveaway during Christmas. Also the best selling drinks are frappes so more milk and sugar than coffee.