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Starbucks is Re-Imagining the business…again

22 Friday Oct 2010

Posted by Paul Kiser in Branding, Business, Communication, Customer Relations, Customer Service, Information Technology, Internet, Management Practices, Passionate People, Print Media, Public Relations, Re-Imagine!, Relationships, Rotary, Social Interactive Media (SIM), Social Media Relations, Tom Peters, Traditional Media, Travel, Website, Women

≈ 2 Comments

Tags

alcoholic drinks, Bars, Beer, Blogging, Blogs, Coffee, Customer Loyalty, Digital Starbucks, Executive Management, Free Internet, Free WiFi, Internet, Management Practices, Nevada, New Business World, New York Times, Newspapers, NYT, Public Image, Public Relations, Re-Imagine!, Selling, Social Media, Social Networking, Starbucks, tea, The Wall Street Journal, Tom Peters, USA Today, Value-added, wine, WSJ

by Paul Kiser
USA PDT  [Twitter: ] [Facebook] [LinkedIn] [Skype:kiserrotary or 775.624.5679]

Paul Kiser

This week Starbucks continued to add value to its stores and more Re-Imagining seems to be in the forecast. A few months ago Starbucks did the smart move of offering free WiFi for everyone (see article below) and on Wednesday they took it one step farther with a Digital Starbucks that features free web content if you sign on to their WiFi service while you’re in the store.

(Free WiFi at Starbucks)

Now when you use the free WiFi service in any Starbucks you can also read a digital version of the day’s Wall Street Journal, New York Times, or the USA Today. The New York Times requires software download of a reader, but the USA Today loads up its own reader and retains the exact look of the paper copy. The site also includes Yahoo! news and GOOD content.


In addition to news, the Digital Starbucks offers access to a selection of entertainment, wellness, business/career, and local online resources. There is also a page to access most of the functions found on the Starbucks website. It seems apparent that Starbucks has teamed with AT&T, the WSJ, NYT, USA Today, and several others to offer this value-added service. Recently all Starbucks stores received new labeled newspaper stands with the New York Times, Wall Street Journal, and USA Today in the top three shelves with the local paper given the bottom shelf. In my October tour of stores in Houston, Boston, Denver, and Reno I have seen more papers sold out than I have ever seen at a Starbucks store. Obviously the collaboration is a win-win.

A screen shot of the DG Wellness page

While some information has been sent out regarding the new online features most people have not caught on to the major remake of the log-in page and the new free media resources. That will change over time and I expect Starbucks will see a positive increase in store traffic as customers become aware of what they can access for free at their local store. I have already noticed high occupancy of the key ‘power’ tables (tables next to a power outlet) in almost every store I’ve visited since the free WiFi service started on July 1st.

Starbucks After Hours
The value-added virtual Starbucks is small change compared to what may be coming to some Starbucks locations. As reported in this Monday’s USA Today, the company has been testing wine and beer service at a Seattle location. The three-month remodel of a standard store resulted in a cafe-type look and feel, moving away from the glorified fast food feel of most coffee houses. The move is designed to generate more late day revenue when coffee sales die down. There is little doubt that local bars may find a Starbucks too much to compete with as it creates a middle ground for those like getting out in the evening, but seek a relaxed atmosphere free of loud music and single men on the hunt.

While I remained concerned that Starbucks is allowing accountants have too much say in store operations, I have to congratulate them on bringing value-added service and innovative ideas into the forefront. The winner is the customer … the only person that matters.

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Selling Watered-Down Beer: The best spin campaign in advertising

10 Friday Sep 2010

Posted by Paul Kiser in Branding, Business, Communication, Customer Relations, Customer Service, Ethics, Management Practices, Passionate People, Public Relations, Random, Rotary, The Tipping Point, Traditional Media

≈ 3 Comments

Tags

advertising, Beer, Blogging, Customer Loyalty, Executive Management, light beer, lite beer, Management Practices, Marketing, New Business World, Public Image, Public Relations, Publicity, Re-Imagine!, Selling, Value-added

by Paul Kiser
USA PDT  [Twitter: ] [Facebook] [LinkedIn] [Skype:kiserrotary or 775.624.5679]

Paul Kiser

It is one of the best spin campaigns ever sold in the age of advertising. Few people would ask for diluted beer, but mega brewers have managed to make the ‘light’ in light…or lite beer seem like a health drink instead of one of the most clever advertising sell jobs in history.

Have you ever wondered what makes light beer, light? It’s a question most people don’t ask, but they should. Don’t get me wrong, making light beer usually is a different brewing process than brewing regular beer. Different enzymes are used to breakdown the carbohydrates, which helps reduce the calories; however, in the end the prime ingredient in most light beer is….water. Light beer is, at least in part, water-down beer. Of course, mega-brewers don’t put it that way. In fact, they go out of their way to avoid the subject, but to achieve any significant reduction in calories, some water must be added. One brewer’s motto is, “It’s the water, and a lot more,” but with their light beer the motto should be, “It’s the water, and more of it.”

One ad campaign that amuses me is the brewer that touts ‘only 64 calories’ with their light beer. I’m not an expert, but from my research, the only way you can get down to 64 calories is to add as much water as possible while retaining a beer flavor. That demonstrates the power of advertising. To create a product that people pay more to get less. Never underestimate how advertising can disguise the reality of a product and create an impression that the product has more value added by giving you less.

Lets not tell wineries about this.  We don’t need light wine.

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Nevada’s oldest brewpub opens new Reno brewery

25 Sunday Jul 2010

Posted by Paul Kiser in About Reno, Branding, Business, Customer Relations, Information Technology, Passionate People, Public Relations, Rotary, Social Interactive Media (SIM), Social Media Relations

≈ 3 Comments

Tags

Beer, Blogging, Blogs, Brewery, Brewing, Brewpub, Craft Beer, Customer Loyalty, Employment, Food, Grain, Great Basin, Hops, Management Practices, Micorbrewery, Nevada, New Business World, Public Image, Public Relations, Publicity, Restaurant, Rotarians, Rotary, Rotary Club, Rotary District 5190, Specialty Beer, The Great Basin Brewing Company, Value-added

by Paul Kiser
USA PDT  [Twitter: ] [Facebook] [LinkedIn] [Skype:kiserrotary or 775.624.5679]

Paul Kiser

No one could legally brew beer in Nevada until the early 1990’s. That was changed, in part, by the efforts of Tom and Bonda Young and a few other brewing entrepreneurs who worked to change antiquated State laws. Once the law was changed Tom and a business partner established the first brew pub in northern Nevada, the Great Basin Brewing Company in 1993. Today, Great Basin Brewing is the oldest brewpub in Nevada and this week it will open a new top shelf brewery/restaurant in Reno.

Great Basin Brewery might have started out in Reno, except that the law that allowed brewpubs to operate in Nevada initially required the location to be in an area designated as a redevelopment zone and Sparks stepped forward to welcome the venture in the Victorian Avenue redevelopment plan. For 17 years it has been a significant part of downtown Sparks.

South side of the New Great Basin Brewing Company in Reno, NV, USA

Brewpubs are no longer restricted to redevelopment zones and last November Tom and Bonda took the leap to expand by remodeling a former Mexican chain restaurant into a showcase brewery serving some of Nevada’s most honored craft (specialty) beers. The new Reno location will significantly increase the production of the local brewpub that already is among the top 35 among over 1600 in the United States. The Sparks location can currently produce 7 barrels of beer at a time, but the new brewery will increase the combined production to 32 barrels.

Eli and Ryan working the brewing room

In addition to increased beer production, the new Reno Great Basin Brewery location will serve the same menu as its Sparks sister facility with the addition of hot baked pizza from their new brick pizza oven. The expansion of Nevada’s home-grown brewery has also created new jobs with the increased staff, along with the construction workers involved in the remodel. Tom also worked with local suppliers as demonstrated by using a local carpenter to build all the table tops in the facility.

Several members of the brewery staff have taken on significant responsibilities during the remodel and ramp up phases of the project including Jazz Aldrich, Eli Brightburg-Smith, Paul Ganzer, Dave Miller, Ryan Quinlan, and Dondo. This week has been spent taking the final step to make the new facility’s restaurant operational for the public opening on Monday (July 26).

Signs show which craft beers are currently on tap.

While watching beer brew can be as exciting as watching grass grow, it is intriguing to be able to see the large stainless steel containers that ferment grain products into a wide variety of craft beers that have landed the most awards of any Nevada brewpub. The new facility includes a silo on the southwest side of the building for the grain used by the brewery, which is a reminder that this is a real brewery with a brewpub and restaurant, and not just a restaurant that has a small brewery function to qualify as a brewpub.

I’m a big fan of the Young’s and the Great Basin Brewing Company. Tom Young has been a long-time member of the Rotary Club of Sparks and has donated many kegs of beer at cost or less for many fundraisers in the Reno/Sparks area. He and Bonda have also hosted Rotary Youth Exchange students and been active participants in club activities. It is exciting to see local business people who have given back so much to the community expand their operations and bring a quality brewery into Reno proper. If you have a chance to stop by this week I highly recommend stopping in to see the facility and have a beer..or two. Cheers!

(The Great Basin website)

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