‘Fired Up’ Schultz Gives Peek At Starbucks Turnaround Plan

Advertising Age:

Howard Schultz wants to make one thing clear: Starbucks isn’t responding to McDonald’s.

The dynamic coffee CEO opened an earnings call with investors today by addressing recent media coverage that has suggested the coffee chain is vulnerable to the Golden Arches. ‘That’s not the issue,’ he said, noting that Starbucks has to improve the store experience for its own sake. Mr. Schultz also took pains to respond to reports that the coffee maker is testing an 8-ounce coffee for the McDonald’s-style bargain price of $1. ‘This is just a test,’ he emphasized.

Yet the remarks weren’t defensive, said William Blair analyst Sharon Zackfia. ‘That’s just Howard being Howard,’ he said. ‘If anything, he sounded fired up.’ Continue reading…