The deteriorating world economy will slam Starbucks Corp. next year, company officials warned in a filing with the Securities and Exchange Commission.
“The company will face an extremely challenging fiscal 2009 because Starbucks customers may have less money for discretionary purchases as a result of job losses, foreclosures, bankruptcies, reduced access to credit and sharply falling home prices. Any resulting decreases in customer traffic or average value per transaction will negatively impact the company’s financial performance,” officials at the Seattle coffee giant said.
I smell fresh coffee at a “2-fer” price level coming on soon.
Star$$ will have to dig out of the doldrums, and a good place to start is in lowering prices and upping their uppity sales clerks’ attitudes.
The days of Coffee-Snobbing are gone.
Wake up and smell the coffee, Bucks!!
Yep, when I was laid off a few months ago, the first thing that went was my Starbucks habit. I cut back from going nearly every day, to going maybe once a week (if that). I now have another job, but still don’t get Starbucks very often. It’s a treat now, not a necessity.
But Starbucks always seems to be pretty crowded…it doesn’t appear that they’ve been too hard hit by the economy.