When Business Process Improvement Leads to Dilution of Brand Experience

A semi-controversial memo from Starbuck's chairman Howard Schultz to Starbuck's CEO Jim Donald is circulating though the Internet's bustling tubes.

In said memo, Schultz outlines how business decisions - specifically, the replacement of traditional espresso machines with automatic ones and the move to flavor-locked packaging for coffee beans - while improving operational efficiency have degraded the consumer experience of Starbucks. As he points out, the new machines, while shortening the production time of individual beverages, has made it difficult for customers to observe the baristas at work and interact with them. Likewise, the new packaging, while ensuring the freshness of the roasted beans, has removed their pungent and evocative aroma from the store. The result is a generic purchasing experience which erodes brand loyalty and opens the door to competitors.

For those who are so inclined, you can visit John Moore's Brand Autopsy blog and submit ideas on what Starbucks can do to reconnect with its customers.

The rest of us can reflect on the critical role that marketers can play in assessing the implications and long-term impact of decisions that, at first blush, seem entirely operational in nature. In fact, this case seems to imply that separating operations from marketing is not only wrong conceptually, but in fact, misguided operationally.

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