Here are some notes from Pour Your Heart Into It, Howard Shultz’s first book about Starbucks.  I read it a few years ago, and recently reviewed these notes.

It may be a weakness, but I’ll always wonder what I’ll do next.  Starbucks resonates with people because of it’s ties to the past.  Founded for one reason – they loved coffee and tea and wanted Seattle to have access to the best.  They were filling their need for own quality coffee.  Quality was the whole point.

1. Every company must stand for something.  Dark roasting made it different.
2. You don’t just give customers what they ask for.  If you have a great product, you can educate your customers to like it. Assume intelligence .

“Whenever you see a successful business, someone once made a courageous decision.” – Peter Drucker

Bad luck may come out of the blue, but good luck comes to those who plan for it.

Early coffee shops became gathering places.  They visited over 500 espresso bars in Milan and Verona, observed local habits, menus, décor, techniques.

“We judge ourselves by what we feel capable of doing, while others judge us by what we have already done.” – Longfellow, 1849.

Passion is, and will always be, a necessary ingredient.  Even the world’s best business plan won’t produce any return if it is not backed with passion and integrity.  In the first year trying to raise money for the business, he spoke to 242 people, 217 said no.

They would take something old and tired and common – coffee – and weave a sense of romance and community around it.  Rediscover the mystique and charm.

The single most important thing you do at work each day is communicate your values to others.

Find that colleague you trust, who shares passion, values and goals.

Who wants a dream that’s near-fetched.

The Great Good Place (1989) by Ray Oldenburg – people need that third place outside of their work and homes.  People come in for the atmosphere and camaraderie.

“I wanted to be the employer of choice, the company everybody wanted to work for.  By paying more than the going wage in restaurants and retail stores, and by offering benefits that weren’t available elsewhere, I hoped that Starbucks would attract people who were well-educated and eager to communicate our passion for coffee.”

Treat people like family and they will be loyal and give their all.  Stand by people and they will stand by you.  They gave avenue for every employee to question any decision that did not line up with the mission statement.  Mission Review Team.  Gave stock options to all employees, and health benefits to those who worked part time.

Things are going to take a lot longer and cost more money than you expect.  It’s a lot wiser to bring in experts before you need them than to stumble ahead with green, untested people who are prone to making avoidable mistakes.

Once you’ve figured out what you want to do, find someone who has done it before.  You can’t possibly have the resources and skills to make every idea actually happen.  Strong, creative people are a lot more stimulating to be around than yes-men.  What can you learn from those who learn less than you?

Take heroic measures, if necessary, to meet customer demand.

They refuse to mess with the real stuff in a way that values integrity – remain respectful to their core product. “If we were not obsessed with control, our business would be a lot easier.  But the coffee wouldn’t be as good.”

“The difference between great and average or lousy in any job, is, mostly, having the imagination and zeal to re-create yourself daily.”  Insisted on company owned stores to maintain quality.

1996, Frappuccino introduced because of a southern California store idea…$52 million that they would have not made if they hadn’t listened to a partner.  The best mistake he never made.

Starbucks spends more money per pound on coffee than almost any company in the world, even though probably fewer than 10 percent of their customers can tell the difference.  Why?  Because wecan tell the difference.

Secret to the power of the brand:  personal attachment our partners feel and the connection they make with the customers.

They set out to educate their customers about the romance of coffee drinking.  Average sale is $3.50, average customer comes back 18 times each month!

“Starbucks success proves that a multimillion-dollar advertising program isn’t a prerequisite for building a national brand – nor are the deep pockets of a big corporation.  You can do it one customer at a time, one store at a time, one market at a time.”

Our product is not just great coffee but also “The starbucks experience” – an inviting, enriching environment in our stores that is comfortable and accessible yet also stylish and elegant.

“Everything matters.”  Everything here is best of class.  “Will it strengthen or dilute our brand?”

“If you examine a butterfly according to the laws of aerodynamics, it shouldn’t be able to fly.  But the butterfly doesn’t know that, so it flies.” – Vincent Eades

Nothing truly great can ever be achieved without taking risks.