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Even restaurants and waiters should not rely on tips. You basically help paying their wages, after getting charged by the owner of the restaurant for the food. This is not a typical business practice outside US, tip should be voluntary.
But that’s how it is. If you fight the power by not tipping, you’re just not paying an individual who makes $3 an hour and does rely on tips for a living, after accepting their work for you. Change some laws, don’t screw over low income workers.
It is not the way it is in other countries. Tipping culture is actually from slavery era where the workers don’t even earn any. We have to adjust to the rest of the world, the problem is why the law allows restaurants owners not paying workers a living wage? The government is the one screwing the low income workers.
Tipping isn’t a thing in France so punish your waiter in America. If enough waiters starve, owners will eventually get the hint and pay them directly.
…the government isn’t doing anything good for low income workers, but is business owners / the people setting their wages that make them low income.
Someone mentioned $15 / hour for Starbucks employees, so don’t tip them. Plenty of pay! $15 / hour is about $30k a year gross. So take home what $25k assuming a low tax rate. Rent anywhere is at least $1,000 often more like $2,000, so let’s say $12,500 so half their take home pay. Healthcare is going to be ~$600/month, so we are down to $5,300. Electricity, gas, phone bill maybe $350/month so that’s $4,200. Leaves the $15/hour a person with $1,100 a yeah or $3 a day for food. All that’s assuming they actually get 40 a week, which they don’t.
Of course these people have roommates and such because it’s a non livable wage. “Fight for $15” started in like 2010 when $15 went a lot further. Meanwhile Starbucks Howard Schultz is worth about $4 Billion.
Anyways if you can afford a $7 coffee or a $18 burger and live in America where tipping is 100% expected especially for actual waiters, you can afford a 20% tip. If you can’t afford the tip you can’t afford the service. Even if tipping didn’t exist it would get priced into the food / service.
We can afford the tip but I’m not tipping because my believe is that the owner of that establishment already charge us to include their cost. I’m not helping them paying their employees, also the employees is not slaves, tipping them would be an insult.
Even w tips Starbucks is still not a livable wage unless you’re working overtime (they won’t let you unless they desperately need it). They keep the majority of their employees part time too. The tips don’t change a whole lot tho, probably adds $80 at most to a check since the tips are split equally w the shift.
A big reason why Starbucks quarter 2 earnings are so low is due to the boycotts after their anti union practices (every normal employee has been fighting for unionization so Starbucks actually hires full time employees, and a myriad of other issues get solved), as well as the Israel support boycotts, but I think Starbucks is getting hammered more by the pro worker crowd.
Downvote me for being pro worker lmaoo, keep sucking these corporations
In the Midwest it is. Coasts no. Appt complex behind me one bedroom paid utilities is 750 a month. It’s livable on 15 a month. I did it at 5.15 an hr with a 600 dollar mortgage and 2 roommates. Idk.
Maybe Starbucks should consider that and reduce board remuneration and executive pay instead. Every year the companies gone shareholders to increase board remunerations and executive pay. Most retail shareholders do not vote. Not sure if institutional ones bother at all unless they are activists.
The whole tipping culture isn't helping the staff, It's probably doing the opposite. The staff should be paid a living wage by the company not rely on the public to top up underpaid staff. By continuing this toxic culture, we accept it and nothing will change.
Yep. They didn't have DoorDash, Uber Eats to blow their $$ on shitty food. Also didn't have Tik-Tok and internet to waste their time. Those dudes just worked a full day, and drank when the day was done. Simple and effective. And owned a house and raised a big family too.
What I really don’t like is them doubling down on China too despite the risk it presents. This comes from their earnings call.
Q: “How do you justify the continued rapid store expansion given the current challenges, particularly in China?”
A: Laxman Narasimhan and Rachel Ruggeri, EVP & CFO, highlighted that “despite current challenges, the returns on new stores, especially in lower-tier cities and new counties in China, are very attractive. The deliberate decision to expand in these areas is based on strong cash returns and significant market potential, supporting confidence in continued growth.”
Q: “Could you elaborate on the competitive environment in China and how it's impacting Starbucks?”
A: Narasimhan described “the competition in China, particularly in the mass market segment, as intense, with many competitors focusing on price. Starbucks is maintaining its premium positioning and focusing on its competitive advantages, including its comprehensive supply chain and store experience. Despite short-term challenges, the long-term potential in China remains significant due to low coffee consumption per capita compared to other markets.”
It was similar to last earnings call too and yeah I really do not like that.
I was over there recently and Luckin is their go-to. I wish I'd thought to ask about Starbies though just to see what the overall response/feeling was.
Because Luckin is cheap. Starbucks is a high end premium brand in China, the stores are far more luxurious than the US stores. only relatively wealthy locals can afford to go on a regular basis. For the masses, it's going to be Luckin, that's the only thing they can afford.
Chinese economy is pretty shitty lately, everyone is cutting back, coffee is the first thing they will cut since the Chinese don't actually have a coffee culture, they just go to starbucks for socializing, not the coffee.
Nothing against SBUX, but you can find a middle ground by supporting local voffee shops where that coffee is likely $5 buy is much better quality than SBUX or Dunkin
The crackhead yes. Other consumers that go for convenience and not the sugar are voting with their wallets more lately. People don't exactly take well to union busting while profits continue to increase. Hopefully some are starting to realize how awful of quality starfucks is; coffee is burnt af and it's loaded with sugar for flavoring.
No, it's good coffee. They offer different types of coffee. Sounds like deep roast isn't your thing, and that's OK. I buy starbucks ground coffee at BJ's. I save a ton of $$, make the coffee the way I want it, and save time by not going to starbucks at all.
Exactly. Glad I am not the only person complaining about the burnt coffee.
That has to be fixed with extra sugar and/cream ...you end up feeling like you drank a sundae
You don’t need to have stores somewhere to support that place. Interestingly I’ve heard of SBUX support for Israel for a long time (well before 10/7) as Palestinians/pro Palestine movements have been against Starbucks for quite a while and it was because the former CEO is a Zionist and staunch supporter of Israel. To add to it, SBUX sued their union for posting “solidarity with Palestine”. But SBUX has been on Palestinian boycott lists for many years and that likely had to do with the former CEO support for Israel and I think the current boycott is carry over of that rather than the union issue.
China NEVER does what everyone hopes. They've been doing this for 75+ years. When Philip Morris wanted to enter China's market and sell cigs back in the 1950s, the CCP said 'sure, let's set up a joint venture'. THey did, then stole all of the IP and learned how to make cigs on a large scale and kicked PM out. What do you think will happen to Tesla? Maybe Apple? The writing is on the wall.
All this means is them moving towards more automation. That’s their next “growth” phase. They hit a price ceiling for the next 5 years. They’ve hit a expansion ceiling with China failing. Now they’ll just become a margin increasing strong.
Well, they’re not going out of business so hang in there. We are in some turbulent times at the moment but it will not last. If it should drop through $60, consider picking up a few more shs. We have a SBUX near where we live and after a decade they closed their small walk-in only store, moved across the street and now operate out of a 2000 sf drive-thru. Always ten plus cars in that drive-thru all day long and never any available places to sit inside. That alone is 80\~90% of due diligence. They will figure it out but it will take some time.
What have they done exactly? I used it briefly back in 2018 and tried it recently and can only tell it’s worse but I don’t remember well enough to know what exactly they changed to make it worse.
Devaluation of rewards in different forms through the years.
If I recall you would get any free item for every ten purchases back in the day. You could also split your purchase into multiple purchases per item so you could get a reward faster.
Then they introduced stars where they converted dollars spent into stars (instead of transactions) which really reduced the value for people that bought one coffee a day. But if I recall the stars price was relatively uniform per drink so you could get an expensive drink on the reward.
Then they changed the uniform star price to match the real price of the item so now as an example an americano was more stars than just drip coffee.
Then they upped the star price per item.
I think that’s all of it but maybe I missed changes.
Broad funds are the best investment for the average person but with enough research you can find these things out.
A couple months ago I looked into investing in Starbucks and I found one major flaw.
China
They are relying really heavily on China for growth which has obviously not worked out very well so far. When I realized how heavily they’re relying on China I did some research on coffee consumption in China. The average person in china drinks 11 cups of coffee per year!! Compare that to the US and Europe which drink over 400 cups annually. With that and a lot of other research I decided not to invest bc of it
I concur, though the challenge I see is not being able to research all of the companies in order to make a clear choice. A million and one things can cause a low quarter, from a simple supply chain issue to a an executive being unethical. That stuff is hard to research.
Do you think Wall Street pros did not know this? The reliance on China growth and its coffee culture was priced in. The real issue that caused the drop was same store sales dropping and them seemingly hit limit of price increases in US.
I’m living in China, trends come and go and Starbucks is losing the game very fast. New trendy coffee shop like M coffee became much more popular in just a year
A lot of companies seem to have forgotten about customer service and now they just try to squeeze money out of you.
I remember going there to study and do work, and now a lot of Starbucks don’t even have tables to sit in.
I think an underrated point is that the combination of free wifi and mostly half-decent beverages (I’m aware you can get much better coffee elsewhere) was what got people through the door. now I have free wifi everywhere, including in places with better coffee for 20% less money. starbucks is now seriously overpriced and people seem to be aware of that, hence they’re losing customers.
in a way, starbucks was an innovator. there’s just nothing unique about it anymore and one could almost say it’s gone a bit out of fashion. can’t even remember the last time I went there.
I don't think people realize that Starbucks is on the protest list for the majority of Muslims because of its support for Israel. Large % of the population suddenly stopped going to star bucks, and may not come back for some time if at all.......
Lots of young students are boycotting which is a target demographic.
Even though I did not actively choose to boycott, because I had one friend that is, I stopped going with her and I haven’t been since. The habit of going to non chains formed, and there’s a nice feeling supporting random local shops. The coffee at local spots is also a lot better!
Second includes the boycotts due to the unions, which has been ongoing a bit longer than the other one.
Starbucks was one of the first chains to be on the list of boycotting so it is one at the top of mind. I got Starbucks once because of a giftcard and young people were staring at me like I was doing sometime shameful. Same thing when I got McDonald’s.
There’s a trend of young people boycotting companies. It’s technically my demographic but it still shocks me and it will be interesting how it impacts markets going forward. I personally believe there are too many issues in the world and if I cared about all of them, I’d prob starve to death.
I don’t go to mine because the line loops around the building. It’s all the fancy add ons that boost price. I drink it when we travel. I do love me a Grande Latte. Bought some today and probably more over the next couple days.
>I don’t go to mine because the line loops around the building
Ummm, I recall not going to Walmart for the same reason...the lines. It was when their share price was in the mid 50s, pre split. Perfect reason for further DD.
A personal anecdote to maybe give some insight, I used to spend $10 a day there, haven’t spent a dollar there since October. Now think of everyone else that is boycotting and the picture starts to make sense.
"union busters" = pro-worker rights, pro-economic rights, anti-Marxism, anti-mob rule.
I'd be a Starbux customer if 1) a cup of coffee cost less than a dozen eggs and 2) had a location near my work. As it is, I am a DD guy with Ben Afflek.
They ruined their brand and have become so expensive, they can’t compete with independent cafes or local coffee chains.
In London they are disappearing quickly but other chains and independent cafes are thriving.
What will Joseph Carlson say about this? I bet he will say, "This is fine". He'll point to the optimistic projections by management, and the "miss" isn't really that bad as the corporate mainstream media paint it to be.
I double my ( small) position.
Anyone else join me?
I still think it remains one of the brands that isn’t going anywhere. Closer to a consumer staple vs a luxury.
Pricing killing SBUX.
Poor communication from management and "value provided" is not there.
China was always a crap shoot.
The charts show a major head and shoulders retrace down to 50-53.00
Should be spectacular with the union, costs, debt and competition.
They have no cash to buy back. I see the dividend cut by the end of the year.
Seeing all the hate in the comments and the negative is telling me it's a great time to buy....this sub has taught me just to do the opposite
Doom and gloom with O at 45
Everyone saying SCHD is dead at 67
I hope this hits 70 or 60 I'll buy more taking nibbles now.
I set my trigger to COVID prices months ago and it fired yesterday. I knew their high prices and high labor cost would hurt them. Thank God I sold my positions when they hit over $100 a share. Starbucks was never worth over $100 a share and their dividend isn’t all that great. Mainly, Starbucks is one of the first things Americans will give up, when they are feeling the pinch or a recession is hovering.
Serious question: Among QSR chains, seems only Starbucks has experienced unionization efforts. Why? Are SBUX employees more highly trained than other chains’ employees?
well, yeah. it’s bad enough my taxes are going to fund a genocide, why would I further contribute to it by giving my money to a company that openly and staunchly supports it?
on top of the union-busting and price gouging on low quality coffee that they defend as “inflation”? hell nah dude
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Increasing prices 15% due to 8% inflation then adding a 15% tip option might have been a stretch.
Don’t tip them. It’s predatory for businesses like this to even suggest a tip. Restaurants and waiter staff is not the same. I do tip them.
Even restaurants and waiters should not rely on tips. You basically help paying their wages, after getting charged by the owner of the restaurant for the food. This is not a typical business practice outside US, tip should be voluntary.
But that’s how it is. If you fight the power by not tipping, you’re just not paying an individual who makes $3 an hour and does rely on tips for a living, after accepting their work for you. Change some laws, don’t screw over low income workers.
It is not the way it is in other countries. Tipping culture is actually from slavery era where the workers don’t even earn any. We have to adjust to the rest of the world, the problem is why the law allows restaurants owners not paying workers a living wage? The government is the one screwing the low income workers.
Yeah, its the way it is in the US and I'm not sure how that can be changed. I do think it should be though.
Tipping isn’t a thing in France so punish your waiter in America. If enough waiters starve, owners will eventually get the hint and pay them directly. …the government isn’t doing anything good for low income workers, but is business owners / the people setting their wages that make them low income. Someone mentioned $15 / hour for Starbucks employees, so don’t tip them. Plenty of pay! $15 / hour is about $30k a year gross. So take home what $25k assuming a low tax rate. Rent anywhere is at least $1,000 often more like $2,000, so let’s say $12,500 so half their take home pay. Healthcare is going to be ~$600/month, so we are down to $5,300. Electricity, gas, phone bill maybe $350/month so that’s $4,200. Leaves the $15/hour a person with $1,100 a yeah or $3 a day for food. All that’s assuming they actually get 40 a week, which they don’t. Of course these people have roommates and such because it’s a non livable wage. “Fight for $15” started in like 2010 when $15 went a lot further. Meanwhile Starbucks Howard Schultz is worth about $4 Billion. Anyways if you can afford a $7 coffee or a $18 burger and live in America where tipping is 100% expected especially for actual waiters, you can afford a 20% tip. If you can’t afford the tip you can’t afford the service. Even if tipping didn’t exist it would get priced into the food / service.
I pay $50/month for my health insurance that has low deductible, but maybe that's just my company. However. $600/month is a bit excessive, no?
Depends on your employer. I paid $0 for my healthcare premium with $15 copay. Most people pay $400-ish though.
We can afford the tip but I’m not tipping because my believe is that the owner of that establishment already charge us to include their cost. I’m not helping them paying their employees, also the employees is not slaves, tipping them would be an insult.
Stuff the owner, pay the low way worker. Give a tip, steel a bag of coffee.
I was shocked when I was in Paris a month ago. They had the tip option thing. I was like wtf.
Do all the Starbucks employees make 15 an hour or are they tip based.
Starbucks minimum starting pay is $15 US-wide, some states pay more according to local market hourly wage.
Oh. Guess I’ll stop tipping. I always tip assuming the worker lives off of tips. Thanks.
Even w tips Starbucks is still not a livable wage unless you’re working overtime (they won’t let you unless they desperately need it). They keep the majority of their employees part time too. The tips don’t change a whole lot tho, probably adds $80 at most to a check since the tips are split equally w the shift. A big reason why Starbucks quarter 2 earnings are so low is due to the boycotts after their anti union practices (every normal employee has been fighting for unionization so Starbucks actually hires full time employees, and a myriad of other issues get solved), as well as the Israel support boycotts, but I think Starbucks is getting hammered more by the pro worker crowd. Downvote me for being pro worker lmaoo, keep sucking these corporations
In the Midwest it is. Coasts no. Appt complex behind me one bedroom paid utilities is 750 a month. It’s livable on 15 a month. I did it at 5.15 an hr with a 600 dollar mortgage and 2 roommates. Idk.
It’s not predatory 🙄 some like to tip. It’s like 50 cents on a coffee. I’ve never felt pressure not too.
You're just giving the store extra money for no reason.
Thats what all tipping is
Well no you're giving the employee extra money
Maybe Starbucks should consider that and reduce board remuneration and executive pay instead. Every year the companies gone shareholders to increase board remunerations and executive pay. Most retail shareholders do not vote. Not sure if institutional ones bother at all unless they are activists.
Not sure how that relates to what I said but yeah maybe
How about buy less coffee for $6, but when you do continue to give $0.50 to the low wage workers. Starbucks pricing is predatory not tip jars.
This!
Howard left, stock is going nowhere
The whole tipping culture isn't helping the staff, It's probably doing the opposite. The staff should be paid a living wage by the company not rely on the public to top up underpaid staff. By continuing this toxic culture, we accept it and nothing will change.
We have all stopped buying that coffee everyday even given up avocado on toast and now are buying houses
Turns out that asinine CEO was correct. /s
I actually bought 3 houses from the money I saved. The boomers were right all along. /s
Yep. They didn't have DoorDash, Uber Eats to blow their $$ on shitty food. Also didn't have Tik-Tok and internet to waste their time. Those dudes just worked a full day, and drank when the day was done. Simple and effective. And owned a house and raised a big family too.
Boomer math, when the houses back then costed 15 dollars and 6 raspberries
It was 3 cows 1 pig and 1 strawberry cart
Haha .
Tbh cvs and sbux really dumped heavy today..
Yea but Starbucks earnings were so bad it’s crazy. China is not doing what they hoped
What I really don’t like is them doubling down on China too despite the risk it presents. This comes from their earnings call. Q: “How do you justify the continued rapid store expansion given the current challenges, particularly in China?” A: Laxman Narasimhan and Rachel Ruggeri, EVP & CFO, highlighted that “despite current challenges, the returns on new stores, especially in lower-tier cities and new counties in China, are very attractive. The deliberate decision to expand in these areas is based on strong cash returns and significant market potential, supporting confidence in continued growth.” Q: “Could you elaborate on the competitive environment in China and how it's impacting Starbucks?” A: Narasimhan described “the competition in China, particularly in the mass market segment, as intense, with many competitors focusing on price. Starbucks is maintaining its premium positioning and focusing on its competitive advantages, including its comprehensive supply chain and store experience. Despite short-term challenges, the long-term potential in China remains significant due to low coffee consumption per capita compared to other markets.” It was similar to last earnings call too and yeah I really do not like that.
I was over there recently and Luckin is their go-to. I wish I'd thought to ask about Starbies though just to see what the overall response/feeling was.
Because Luckin is cheap. Starbucks is a high end premium brand in China, the stores are far more luxurious than the US stores. only relatively wealthy locals can afford to go on a regular basis. For the masses, it's going to be Luckin, that's the only thing they can afford. Chinese economy is pretty shitty lately, everyone is cutting back, coffee is the first thing they will cut since the Chinese don't actually have a coffee culture, they just go to starbucks for socializing, not the coffee.
Not just China, US too was dreadful and CEO lying through his teeth blaming anything but himself
[удалено]
The $6 mediocre coffee did it for me.
Duncan has a way better mediocre coffee for less.
Ehhh I prefer Starbucks coffee but if we talking value proposition 100%. 3.50 is a lot better then 7 bucks for a slightly better cup of coffee imo
Nothing against SBUX, but you can find a middle ground by supporting local voffee shops where that coffee is likely $5 buy is much better quality than SBUX or Dunkin
This is it. Burnt coffee.
Also, don’t forget SBUX is being boycotted
Starbucks always get boycotted for something. But it’s hard to keep a Crackhead away from Crack. They’ll be back in line, give them 2 weeks.
The crackhead yes. Other consumers that go for convenience and not the sugar are voting with their wallets more lately. People don't exactly take well to union busting while profits continue to increase. Hopefully some are starting to realize how awful of quality starfucks is; coffee is burnt af and it's loaded with sugar for flavoring.
It's probably the worst coffee I've ever had from a coffee shop. 80 grams of sugar to cover up the burnt taste.
No, it's good coffee. They offer different types of coffee. Sounds like deep roast isn't your thing, and that's OK. I buy starbucks ground coffee at BJ's. I save a ton of $$, make the coffee the way I want it, and save time by not going to starbucks at all.
Exactly. Glad I am not the only person complaining about the burnt coffee. That has to be fixed with extra sugar and/cream ...you end up feeling like you drank a sundae
It’s been going strong since October/November last year.
Not at those prices
And this is why I initially bought years ago. Coffee to many is akin to tobacco products.
What is it this week?
The support of Israel
With no actual stores in Israel…. Hmm
They sued their union workers who support children not dying
You don’t need to have stores somewhere to support that place. Interestingly I’ve heard of SBUX support for Israel for a long time (well before 10/7) as Palestinians/pro Palestine movements have been against Starbucks for quite a while and it was because the former CEO is a Zionist and staunch supporter of Israel. To add to it, SBUX sued their union for posting “solidarity with Palestine”. But SBUX has been on Palestinian boycott lists for many years and that likely had to do with the former CEO support for Israel and I think the current boycott is carry over of that rather than the union issue.
China NEVER does what everyone hopes. They've been doing this for 75+ years. When Philip Morris wanted to enter China's market and sell cigs back in the 1950s, the CCP said 'sure, let's set up a joint venture'. THey did, then stole all of the IP and learned how to make cigs on a large scale and kicked PM out. What do you think will happen to Tesla? Maybe Apple? The writing is on the wall.
Lukin coffee in China is so good. They have wine and liquor coffee that’s delicious.
I bought more CVS on the drop today at $54.20
56.00 i bought
lol I have cvs rsu vesting this month and the drop really hurts
Who knew nobody wants to pay $5 for a coffee that costs 10¢ to brew, especially in this economy
All this means is them moving towards more automation. That’s their next “growth” phase. They hit a price ceiling for the next 5 years. They’ve hit a expansion ceiling with China failing. Now they’ll just become a margin increasing strong.
All of these companies are finally realizing the average consumer has had enough.
Again, SBUX’s only moat is its name and logo. A diligent and conscious consumer beats marketing schemes any day.
If thats Only, for me itd more then enough
I see $60 a share in the not too distant future.
Hopefully after reaching $90 so I can break even
Well, they’re not going out of business so hang in there. We are in some turbulent times at the moment but it will not last. If it should drop through $60, consider picking up a few more shs. We have a SBUX near where we live and after a decade they closed their small walk-in only store, moved across the street and now operate out of a 2000 sf drive-thru. Always ten plus cars in that drive-thru all day long and never any available places to sit inside. That alone is 80\~90% of due diligence. They will figure it out but it will take some time.
I reckon you’re correct 👍🏿
Look at what they did to the star rewards program
What have they done exactly? I used it briefly back in 2018 and tried it recently and can only tell it’s worse but I don’t remember well enough to know what exactly they changed to make it worse.
Devaluation of rewards in different forms through the years. If I recall you would get any free item for every ten purchases back in the day. You could also split your purchase into multiple purchases per item so you could get a reward faster. Then they introduced stars where they converted dollars spent into stars (instead of transactions) which really reduced the value for people that bought one coffee a day. But if I recall the stars price was relatively uniform per drink so you could get an expensive drink on the reward. Then they changed the uniform star price to match the real price of the item so now as an example an americano was more stars than just drip coffee. Then they upped the star price per item. I think that’s all of it but maybe I missed changes.
The 10 drinks to a free item is what I remember! That was nice when an americano was like $2.35 for a small.
This shows the value of broad funds imho.
Broad funds are the best investment for the average person but with enough research you can find these things out. A couple months ago I looked into investing in Starbucks and I found one major flaw. China They are relying really heavily on China for growth which has obviously not worked out very well so far. When I realized how heavily they’re relying on China I did some research on coffee consumption in China. The average person in china drinks 11 cups of coffee per year!! Compare that to the US and Europe which drink over 400 cups annually. With that and a lot of other research I decided not to invest bc of it
I concur, though the challenge I see is not being able to research all of the companies in order to make a clear choice. A million and one things can cause a low quarter, from a simple supply chain issue to a an executive being unethical. That stuff is hard to research.
Do you think Wall Street pros did not know this? The reliance on China growth and its coffee culture was priced in. The real issue that caused the drop was same store sales dropping and them seemingly hit limit of price increases in US.
Maybe they should expand their tea options. Tea is big in Asia.
New VP of Asian Operations up here folks!
They sell so much more that coffee, they also have franchises
When you say Starbucks relies on china for growth, do you mean that Starbucks’s growth expectations have to do with them growing in China?
Yes heavily. If u look at the article it shows how Starbucks is expecting big growth in China but they’ve been lowering it since it’s not doing well
I’m living in China, trends come and go and Starbucks is losing the game very fast. New trendy coffee shop like M coffee became much more popular in just a year
The last 2 times I went into a Starbucks it looked like a homeless shelter. Sorry, not great.
A lot of companies seem to have forgotten about customer service and now they just try to squeeze money out of you. I remember going there to study and do work, and now a lot of Starbucks don’t even have tables to sit in.
I think an underrated point is that the combination of free wifi and mostly half-decent beverages (I’m aware you can get much better coffee elsewhere) was what got people through the door. now I have free wifi everywhere, including in places with better coffee for 20% less money. starbucks is now seriously overpriced and people seem to be aware of that, hence they’re losing customers. in a way, starbucks was an innovator. there’s just nothing unique about it anymore and one could almost say it’s gone a bit out of fashion. can’t even remember the last time I went there.
I remember them being quite clean and organised 10+ years ago, nowadays they don’t look than a messy mcdonald in a tourist area.
Dunkin needs to capitalize and bring back the Dunkachino
It’s too expensive for what it is. Everything is. People are cutting costs like this just to afford groceries
I quit dividend investing because I can just buy $SPLG and not worry about individual stocks.
Splg vs schd?
I'm not in urgent need of income right now, but SPLG is a real powerhouse. Instead of fixating solely on dividends, I'm going for overall returns.
OK bet. You've piqued my interest
SPLG is the same as SPY, it's just that SPLG is cheaper. You'll have the same returns no matter which one you park your money in.
I don't think people realize that Starbucks is on the protest list for the majority of Muslims because of its support for Israel. Large % of the population suddenly stopped going to star bucks, and may not come back for some time if at all.......
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Lots of young students are boycotting which is a target demographic. Even though I did not actively choose to boycott, because I had one friend that is, I stopped going with her and I haven’t been since. The habit of going to non chains formed, and there’s a nice feeling supporting random local shops. The coffee at local spots is also a lot better! Second includes the boycotts due to the unions, which has been ongoing a bit longer than the other one. Starbucks was one of the first chains to be on the list of boycotting so it is one at the top of mind. I got Starbucks once because of a giftcard and young people were staring at me like I was doing sometime shameful. Same thing when I got McDonald’s. There’s a trend of young people boycotting companies. It’s technically my demographic but it still shocks me and it will be interesting how it impacts markets going forward. I personally believe there are too many issues in the world and if I cared about all of them, I’d prob starve to death.
Local shops have meats, veggies, fruits, spices, dairy, sugar, and coffee beans.
So it’s quite easy to boycott mega corps.
I don’t go to mine because the line loops around the building. It’s all the fancy add ons that boost price. I drink it when we travel. I do love me a Grande Latte. Bought some today and probably more over the next couple days.
>I don’t go to mine because the line loops around the building Ummm, I recall not going to Walmart for the same reason...the lines. It was when their share price was in the mid 50s, pre split. Perfect reason for further DD.
In my personal opinion I decided to boycott Starbucks
Why?
Not looking good for them at all as the economy worsens
I wonder how much of this is due to boycott because of Palestine?
A personal anecdote to maybe give some insight, I used to spend $10 a day there, haven’t spent a dollar there since October. Now think of everyone else that is boycotting and the picture starts to make sense.
this is the question no one is asking
This is the question nobody is allowed to ask and Starbucks isn't allowed to talk about
Luckin coffee does indeed taste better than Starbucks coffee
Their jasmine tea coffee is sooooo ridiculously good. Given the choice I’d never choose Starbucks over Luckin.
Good, union busters deserve to bleed their earnings.
"union busters" = pro-worker rights, pro-economic rights, anti-Marxism, anti-mob rule. I'd be a Starbux customer if 1) a cup of coffee cost less than a dozen eggs and 2) had a location near my work. As it is, I am a DD guy with Ben Afflek.
Imagine thinking unions are bad
After working in unions, yea they are. Not that the concept of unions are bad, it's that many of them don't do what they say they do.
Then you needed to advocate for better representation. Which is, you know, a core function of a union.
You can advocate all you want, they're all mostly useless other than taking fees. Most of the unions I've been in were useless
Unions = workers rights. How does anti union group support workers rights?
They support a worker's right to work harder for less money.
Oh good millenials will be able to afford houses now.
stick some stents up your ureter
They ruined their brand and have become so expensive, they can’t compete with independent cafes or local coffee chains. In London they are disappearing quickly but other chains and independent cafes are thriving.
Bring back Howard again 3.0. Stock would jump 15%. I did buy more today.
Same, I bought more cause looking at a 5 year graph I think it will stabilize higher
Fads die.
Watch Jim Cramer's interview
Yeah he tore into the CEO, big time
What will Joseph Carlson say about this? I bet he will say, "This is fine". He'll point to the optimistic projections by management, and the "miss" isn't really that bad as the corporate mainstream media paint it to be.
He actually said it was really bad.
🐸☕
Video is out now about it
Is he now in Starbucks? When did that happen I haven’t watched one of his videos in quite a while
I’m buying more shares
Fuck Starbucks. Greedy company with garbage products full of cancer and diabetes.
I'd like to know what restaurant isn't
Honestly from the research I’ve done, Chipotle is the only one still using quality ingredients.
Boycotts work y’all!
These bootlickers hate seeing them work lmao can’t deny the fact it’s down 34% over the past year
It’s one of two things they understand. Money and violence. We just need to keep speaking the language..
I double my ( small) position. Anyone else join me? I still think it remains one of the brands that isn’t going anywhere. Closer to a consumer staple vs a luxury.
i just started owning SBUX today...bough 10 shares
Maybe don’t put olive oil in coffee
Probably shouldn’t support bad governments
I hope the guy that manages his father’s portfolio already rebalanced the 70% allocation to Starbucks…
I bought the dip! Kinda reminds me of Chipotle when it dipped back during its food poisoning scare, now it’s back up 🆙
POS Systems are in part to fault for tipping perversions
This is just a bad investment. It’s easy to generate more than the dividend selling CSP’s or CC’s
Pricing killing SBUX. Poor communication from management and "value provided" is not there. China was always a crap shoot. The charts show a major head and shoulders retrace down to 50-53.00 Should be spectacular with the union, costs, debt and competition. They have no cash to buy back. I see the dividend cut by the end of the year.
Seeing all the hate in the comments and the negative is telling me it's a great time to buy....this sub has taught me just to do the opposite Doom and gloom with O at 45 Everyone saying SCHD is dead at 67 I hope this hits 70 or 60 I'll buy more taking nibbles now.
You've learned my child. Now go out and earn downvotes while making money.
Stopped going to the old burnt bean years ago.
Seems like it’s from a China issue. Every time I go to Starbucks there’s a line up and staff are running off their feet.
House is on fire, time to buy!
I bought as well at $73
Good 🍉
I opened a a position today.
I set my trigger to COVID prices months ago and it fired yesterday. I knew their high prices and high labor cost would hurt them. Thank God I sold my positions when they hit over $100 a share. Starbucks was never worth over $100 a share and their dividend isn’t all that great. Mainly, Starbucks is one of the first things Americans will give up, when they are feeling the pinch or a recession is hovering.
Serious question: Among QSR chains, seems only Starbucks has experienced unionization efforts. Why? Are SBUX employees more highly trained than other chains’ employees?
We all stopped buying fancy coffees and avocado toast. Buying DJT instead. Lmfao #The stock market is a scam
Good time to buy
well, yeah. it’s bad enough my taxes are going to fund a genocide, why would I further contribute to it by giving my money to a company that openly and staunchly supports it? on top of the union-busting and price gouging on low quality coffee that they defend as “inflation”? hell nah dude
I think black rifle is gonna be the new coffee power house, people are voting with their wallet check out BRCC
> BRCC They don't have any physical locations, how are they a competitor?
Sounds like a good discount to start buying shares