the nme digital story

Starbucks had established itself as the best global coffeehouse brand. They were expanding not only their product offerings and locations but were also venturing into a new music business. Yes, Starbucks created its own recording company which successfully won eight Grammy’s in two years. In fact, they also built their own ‘entertainment’ office in Los Angeles. However, by 2008, partially due to the financial crisis as well, Starbucks was in a complete free-fall stage with its stock prices shriveling drastically. They had to close down 977 stores and even lay off 18,000 people.

In 2009, Starbucks decided to get things back on track and do what they do best – make coffee! They teamed up with acclaimed advertising agency  to launch the multi-million dollar ‘Coffee Value & Values’ campaign – the largest marketing campaign in Starbucks’s history. In fact, the regained focus was very evident when they decided to retrain their baristas. They changed their branding strategies, but not their focus.
As a result, Starbucks not only saved their business but also reinvigorated their brand. In 2014, the company reported more than $16 billion in annual revenue.