Howard Schultz

Principles are our summary of their public statements.

• Hire ahead of the growth curve

  Hiring

  Build the infrastructure and leadership team for the future scale you want to reach, not just for the size you are today.

  Source Starbucks IPO with Dan Levitan | Acquired, 2017  (opens in a new tab)

• Tech as a revenue driver

  Strategy

  Shift the view of technology from a cost center to a core part of the product that drives revenue and loyalty.

  Source Starbucks IPO with Dan Levitan | Acquired, 2017  (opens in a new tab)

• Obsess over individual customer experiences

  Customers

  Maintain a culture where even a single customer's frustration is treated as a priority by the highest levels of leadership.

  Source Starbucks IPO with Dan Levitan | Acquired, 2017  (opens in a new tab)

• Follow the data to customers

  Sales

  Schultz discovered Starbucks because he noticed a small company in Seattle was buying an unusually high volume of coffee makers from his employer.

  Source Starbucks (with Howard Schultz) | Acquired, 2024  (opens in a new tab)

• Build Brand Equity Early

  Brand

  A company's reputation and brand perception can and should be larger than its actual physical footprint or revenue.

  Source Starbucks (with Howard Schultz) | Acquired, 2024  (opens in a new tab)

• Listen to frontline partners

  Management

  Valuable operational improvements and customer service innovations often come from the employees who interact with customers daily.

  Source Starbucks (with Howard Schultz) | Acquired, 2024  (opens in a new tab)

• Use strategic billboards for ubiquity

  Marketing

  Place products in high-traffic, unexpected locations like airlines or wholesale clubs to build brand awareness without traditional advertising spend.

  Source Starbucks (with Howard Schultz) | Acquired, 2024  (opens in a new tab)

• Define your own category

  Strategy

  Avoid being compared to existing business models that don't fit; insist on being viewed as a unique hybrid to protect the brand's identity.

  Source Starbucks (with Howard Schultz) | Acquired, 2024  (opens in a new tab)

• Balance Deposits and Withdrawals

  Strategy

  Every business decision either adds to or takes away from the brand's reservoir of trust and quality. Constant extraction without reinvestment in the core values will eventually lead to failure.

  Source Starbucks (with Howard Schultz) | Acquired, 2024  (opens in a new tab)

• Stay on the Offense

  Strategy

  Companies must maintain an entrepreneurial spirit and avoid playing defense out of fear of failure.

  Source Starbucks (with Howard Schultz) | Acquired, 2024  (opens in a new tab)