Tuesday, November 28, 2006
I hear that Starbucks is coming to India. Apparently, they have been discussing this for over 5 years now. Howard Schultz was in India a couple of years ago to check out the competition. But they have not yet opened any stores. I just figured out why this is such a challenge for this coffee giant that has over 10,000 stores all over the world.
It is not the supply of coffee beans or acquisition of real estate. In order to compete with Barista and Cafe Coffee Day or the local street vendor, Starbucks will have to change it's service delivery model. Having a couple of polite and pleasant staff members behind a counter is not going to cut it. Self-service? Not a chance. They will need to have an army of people in the stores ready to create a highly customized concoction for you, add the right amount of sugar, stir your coffee and serve it to you just the way you like it and deliver it to you in your office!
This is not fantasy. Trust me. I just had my cup of Cappucino served to me in my office as I was sitting here and thinking about my next blog post.