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Starbucks, Feeling Desperate, Introduces Value Meal Combos
By
John Del Signore
Published Feb 9, 2009
Modified Feb 9, 2009
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By
John Del Signore
Published Feb 9, 2009
Modified Feb 9, 2009
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In March, Starbucks CEO Howard Schultz will wipe the flop sweat off his brow and try to forestall doom by jumping on the value-meal bandwagon. He's is also firing back at a billboard put up by McDonald's in Seattle which reads, "Four bucks is dumb," referring to Starbucks's reputation as the home of the $4 cup of coffee. Baristas will now be doing double duty as brewers of corporate propaganda, instructed to inform customers that the average price of a Starbucks beverage is less than $3, and that 90% of Starbucks drinks cost under $4.
"There have been others that have been propagating the myth of the $4 latte, and that is not true," Starbucks marketing exec Michelle Gass tells the Wall Street Journal, adding that the average price of a Starbucks latte is $3.25. "We have got to correct the misperceptions that are out there." Thing is, the reporter whose perceptions she tried to correct knows full well that the cost of a 16 oz. latte in New York is actually $4.06, including tax.
But it is true that some sizes and varieties of Starbucks are actually cheaper than Dunkin' Donuts coffee, once size differences are factored in. And the gap between Starbucks prices and that of its competitors, including McDonald's, has narrowed since 2007, when the retailer's death spiral began. With profits continuing to drop—sales fell 10 percent overall at Starbucks nationwide—Schultz is banking on the value meals, which will include a tall brewed coffee with a breakfast sandwich for $3.95. The AP has more on the upcoming discounts.
Tagged
combos
cost
deal
four dollar
starbucks
value meal
John Del Signore
Originally from the Albany area, John Del Signore has called NYC home since 1995. In addition to his thousands of meticulously-crafted bespoke blog posts for Gothamist, his writing has also been published in The Awl, Deadspin, The Nervous Breakdown, and performed at The Brick Theater in Brooklyn.
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Gothamist is funded by sponsors and member donations
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