Starbucks Mission Statement, Values, Principles, & Sustainability Goals (2022) (2022)

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Last updated: Jan 23, 2022

  • Company: Starbucks
  • CEO: Kevin Johnson
  • Year founded: 1971
  • Headquarter: Seattle, USA
  • Number of Employees: 383,000
  • Type: Public
  • Ticker Symbol: SBUX
  • Market Cap (Jan 2021): $ 112 Billion
  • Annual Revenue (FY 2021): $29 Billion
  • Profit (Net income) (FY 2021): $4.2 Billion
  • Products & Services: Coffee | Handcrafted Beverages | Fresh food | Non-food items | Packaged goods | Mugs and accessories | Gifts |
  • Competitors: Costa Coffee | McDonald’s McCafe | Dunkin Donuts | Café Coffee Day | Tim Hortons | Panera Bread

Did you know? There are 87,000 possible drink combinations at Starbucks.

(Video) The 4 Core Values at STARBUCKS via Howard Schultz

Founded in 1971, Starbucks has grown gradually to become the world’s largest coffeehouse chain with 33,833 stores worldwide and expects to reach 55,000 stores by 2030. It has 15,000 locations in the US and nearly 6,000 stores in China, which is its second market.

Starbucks’ annual revenue for 2021 is $29 billion and profit is $4.2 billion.

To understand why Starbucks so successful, here is an in-depth analysis of its mission statement, values, principles, and sustainability goals:

Starbucks’ Mission Statement

“To inspire and nurture the human spirit – one person, one cup, and one neighborhood at a time.”

Here is our analysis of Starbucks’ mission statement

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Starbucks’ mission statement highlights how the company is operating to meet the demands of its customers, employees, suppliers, and stakeholders. The statement consists of four elements:

  • Inspire Change with Quality Coffee. Starbucks is committed to improving the lives of customers and coffee farmers. The company buys 3% of the world’s coffee from more than 400,000 farmers in 30 countries. Starbucks adopted Coffee and Farmer Equity (C.A.F.E.) Practices to ensure that 99% of its coffee is ethically sourced. It roasts and brews only high-quality coffee beans to ensure that customer is fully satisfied with each cup.
  • Excellent Customer Service: Starbucks is dedicated to delivering memorable experiences for each customer. It personalizes customer experiences by putting their first names on their coffee cups. Each coffeehouse delivers warmth, laughter, and human interactions. In 2020, Starbucks launched curbside delivery and also expanded its rewards program after the program’s active membership dropped by 5% year over year to 16.3 million in Q3. The rewards program was expanded to include debit and credit cards, cash, and mobile wallets to make it more accessible.
  • Empowering Partners: To uplift the lives of customers, Starbucks promotes diversity, equity, respect, and dignity in the workplace. It is focused on increasing the number of blacks, indigenous, or people of color to 30% of corporate employees and 40% of retail workers by 2025. Employees can also use their first or last names on tags to promote their individuality.
  • Growth and Expansion: To deliver success that rewards its shareholders, Starbucks plans to grow the business locally and globally. Outside the US, China is Starbucks’ fastest-growing market and its second-largest market overall. As of December 2019, Starbucks had 4,292 coffeehouses in China representing a 16% rise from 2018.

Starbucks’ Values

Starbucks lives by four values that have differentiated the company from the competition and guaranteed its success.

  1. Creating a culture of inclusion. Starbucks values inclusion, diversity, and equity. It is nurturing a culture of warmth and belonging throughout the company to ensure everyone is welcome. The company has adopted several policies and initiatives to create a culture of inclusion. The Starbucks Foundation has expanded its Neighborhood Grants program with an additional $1.5 million for community-based NGOs that serve disadvantaged communities.
  2. Acting with courage. One thing Starbucks is known for is finding new ways to grow. The company always seeks to challenge the status quo. While most Western food companies have struggled to capture the Chinese market, Starbucks is expanding rapidly in China. Its soon-to-be-completed Starbucks China Coffee Innovation Park in Jiangsu Province will provide new technologies for roasting coffee beans that can reduce carbon emissions by more than 30%.
  3. Being present. Whether it is transparency, social dignity, or environmental issues, Starbucks is always present and ready to help in the search for solutions. The company has one of the most ambitious sustainability targets for 2030 and will officially begin in 2021 to coincide with its 50th anniversary. “Our eyes are wide open knowing that we do not have all the answers or fully understand all the complexities and potential consequences,CEO Johnson said. “Now, it’s time to create new ways of working, investment of resources, and urgent action.
  4. Delivering our very best. Starbucks is always innovating and looking for new technologies and ways to improve its coffee, customer experiences, and services. The company recently adopted Microsoft’s blockchain-based technology that can take customers on a thrilling journey to the source of their coffee and where their beans were roasted. It brings the customer closer to their beloved drink.

Starbucks’ Principles

Since 1971, Starbucks has set out to be different and has relied on its Mission and Values to stay focused. The company adopted three principles to promote inclusivity and transform its stores into a “third place” where everyone is welcome.

  • Everyone is welcomed. Starbucks’ first principle dictates that every person who visits any of its coffeehouses should feel welcomed and treated as a customer regardless of whether they make a purchase or not. The company welcomes the LGBT community and supports them by asking its employees to wear PRIDE T-shirts on Pride Day.
  • Shared Responsibility. The second principle recognizes that the existence of a welcoming third place is a shared responsibility. In June 2020, Starbucks pledged $1 million after the death of George Floyd to support organizations that promote racial equity and inclusivity. It also made 250,000 shirts with designs like “Black Lives Matter” and “No Justice, No Peace” for its employees.
  • Eliminate Discrimination. Starbucks is guided by the principle that discrimination is inconsistent with its Mission and Values. In 2018, Starbucks reaffirmed its commitment to the ‘Third Place Ideal’ by closing its 8,000 coffee shops in the US for a day of unconscious bias training. This decision came after one of its employees was accused of racial discrimination against two African American me.

Starbucks’ Sustainability Goals

  • In January 2020, Starbucks announced its sustainability goals to be met by 2030. Here are its four main sustainability goals:
  • Halve carbon emissions and waste. One of Starbucks’ sustainability goals is to halve its carbon emissions and waste by 2030. This is ambitious based on the fact that Starbucks emitted 16 million tons of greenhouse gases in 2018, which is nearly on par with giants like Microsoft. Starbucks also created 868 kilotons of waste in 2018. Slashing both its green gas emissions and waste by 50% within 10 years is an uphill task.
  • Get greener. The company unveiled its long-term strategy to get greener, which includes putting more plant-based products on its menu and switching to reusable packaging. The specifics and deadline for these initiatives will be provided in 2021.
  • Eco-friendly operations and initiatives. The company identified several key areas that can make big impacts by 2030, including water conservation practices. Starbucks will also increase its investment in innovative agricultural and reforestation practices.
  • Build on Yesterday’s Groundwork. Starbucks has invested in several sustainable practices over the years. Its sustainability goals from 2010 to 2020 invested in the Starbucks FoodShare program and C.A.F.E. (Coffee and Farmer Equity) Practices. Now, it seeks to build on these investments and scale up existing programs, green initiatives, and partnerships to meet the challenges of the future.

References

  1. Starbucks (2020, Dec 9). Top things to know from Starbucks (virtual) Investor Day. Starbucks
  2. Starbucks (2020, Feb 28). C.A.F.E. Practices: Starbucks Approach to Ethically Sourcing Coffee. Starbucks Stories and News
  3. Digital Payments (2020, Sep 15). Starbucks’ Big Payments Pivot To Boost Customer Loyalty. PYMNTS
  4. Tyko, K. (2020, Oct 14). Starbucks to tie executive pay to diversity goals as it announces the mentorship program, anti-bias training requirements. USA TODAY
  5. Bajpai, P. (2020, Jan 29). Three Ways Starbucks (SBUX) Is Looking To Its Future. NASDAQ
  6. Starbucks Staff (2020, Oct 14). Our commitment to Inclusion, Diversity, and Equity at Starbucks. Starbucks Stories and News
  7. Huaxia (2020, Nov 16). Starbucks innovation park construction begins in China. Xinhua
  8. Warnick, J. (2020, Jan 21). 5 things to know about Starbucks’ new environmental sustainability commitment. Starbucks Stories and News
  9. Matyszczyk, C. (2020, Aug 29). Starbucks just made a startling change to your coffee experience. ZDNet
  10. Stempel, J. (2020, Nov 25). Starbucks Barista Who Declined to Wear Gay Pride T-Shirt Sues Over Firing. Insurance Journal
  11. Lucas, A. (2020, June 12). Starbucks to allow baristas to wear Black Lives Matter attire and accessories after social media backlash. CNBC
  12. Gino, F., and Katherine Coffman (2020, July 21). Starbucks: Reaffirming Commitment to the Third Place Ideal. Harvard Business Review
  13. Lucas, A. (2020, Jan 21). Starbucks aims to become ‘resource positive’ in climate push. CNBC
  14. Calma, J. (2020, Jan 21). Starbucks sets new sustainability goals for the decade. The Verge
  15. Pinon, N. (2020, Jan 21). Starbucks unveils new sustainability goals, including plans for more plant-based options. Mashable
  16. Maynard, M. (2020, Jan 21). Starbucks Lays Out Its Green Targets For 2030 As Pressure Grows For Faster Steps. Forbes
  17. Featured Image byVictor Ko

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FAQs

What is the Starbucks culture and mission statement? ›

We make sure everything we do is through the lens of humanity—from our commitment to the highest-quality coffee in the world, to the way we engage with our customers and communities to do business responsibly. To inspire and nurture the human spirit - one person, one cup and one neighborhood at a time.

What is Starbucks current mission statement? ›

In everything we do, we are always dedicated to Our Mission: to inspire and nurture the human spirit – one person, one cup, and one neighborhood at a time.

What is Starbucks vision and mission statement? ›

Starbucks highlights its mission as “to inspire and nurture the human spirit – one person, one cup and one neighborhood at a time.” And its vision is to “treat people like family, and they will be loyal and give their all.”

Can you describe the values Starbucks is trying to offer to its customers? ›

With our partners, our coffee and our customers at our core, we live these values: Creating a culture of warmth and belonging, where everyone is welcome. Acting with courage, challenging the status quo and finding new ways to grow our company and each other.

Why did Starbucks change their mission statement? ›

Recognize that profitability is essential to our future success. Starbucks has since changed its mission statement so that it no longer says anything about its core product being coffee: To inspire and nurture the human spirit, one person, one cup and one neighborhood at a time.

Why is Starbucks mission statement important? ›

From its website, Starbucks' mission is "to inspire and nurture the human spirit - one person, one cup, and one neighborhood at a time." This statement shows what the company does to keep running the business. Based on the statement, it is very evident that the brand gives utmost emphasis to its customers.

How many Starbucks are there in the world in 2022? ›

Starbucks keeps growing its store count, and it's outpacing the only chains larger than the coffee giant: McDonald's and Subway. As of January 2, 2022, Starbucks had 34,317 open stores across the world, just under 17,000 in the US.

What is mission and vision? ›

What are mission and vision statements? A mission statement defines the organization's business, its objectives, and how it will reach these objectives. A vision statement details where the organization aspires to go. Why does your company exist? What do you hope to accomplish in the next several years?

Does Starbucks live up to its mission statement? ›

Starbucks is considered one of the world's most ethical companies. It lives out its mission statement through its commitment to ethical sourcing of coffee and supporting employees with quality healthcare and fair wages. Starbucks has also invested heavily in environmental stewardship.

What is Starbucks brand promise? ›

Starbucks - Starbucks positions itself as a company that brings more to the world than a great cup of coffee. It sees itself as a lifestyle brand and the promise it makes to consumers backs that up: “To inspire and nurture the human spirit—one person, one cup, and one neighborhood at a time.”

What is the secret of Starbucks success? ›

The key to the Starbucks juggernaut is the company's success in making people want to come back for the beverages and food in its cafés. To encourage customers to return, Starbucks runs stylish cafés in key locations where people are free to hang around.

What are Starbucks core competencies? ›

Starbucks core competencies can be defined as high quality coffee and products at accessible locations and affordable prices, a community to share in the coffee drinking experience, and a variety of choices. Starbucks also values ethics and good business practices.

What should I wear to my Starbucks interview? ›

If you're interviewing for a position at Starbucks, you should dress in business casual attire. Consider khakis and a button-down shirt instead of a suit and tie or a dress and heels. While you should avoid extremely formal attire (there is no reason to wear a three-piece suit), do not confuse "relaxed" with sloppy.

What are four main areas Starbucks is focused on in their CSR efforts? ›

With its 2016 Global Social Impact Report, Starbucks is sharing its vision for 2020 and beyond in the areas of coffee sustainability, greener retail and community engagement. Its comprehensive set of goals includes the company's recent hiring commitments, planting trees, renewable energy and food rescue.

How do Starbucks add value? ›

Value is added to the beans through Starbucks' proprietary roasting and packaging, which helps to increase their selling value. The beans are then sent to distribution centers, a few of which are company-owned and some of which are operated by other logistic companies.

What type of strategy does Starbucks have? ›

Starbucks business strategy can be classified as product differentiation. Accordingly, the coffee chain giant focuses on the quality of its products and customers pay premium prices for high quality.

What is Starbucks stance on diversity? ›

In October 2020, Starbucks said it would aim for Black people, indigenous people and other people of color to hold at least 30% of U.S. corporate jobs and 40% of U.S. retail and manufacturing jobs by 2025, and tie executive pay to its diversity efforts.

What is Starbucks competitive advantage? ›

Product differentiation is the core of Starbucks' strategy to gain a sustained competitive advantage. Starbucks offers such differentiation through an excellent customer experience and quality coffee The “Starbucks Experience” is achieved through its well-designed stores with good ambiance and well-trained staff.

Who is Starbucks target? ›

The target audience of Starbucks is middle to upper-class men and women. It's the percentage of the general public who can afford their higher priced cups of coffee on a regular or daily basis. And this is who their marketing is targeted to reach. Starbucks' marketing focuses on creating the perfect “third place”.

How Starbucks treat their employees? ›

Compensation is an important aspect of employee happiness and at Starbucks, 61% of employees feel they are paid fairly, 79% are satisfied with their benefits, and 74% are satisfied with their stock/equity. 82% of Starbucks employees feel their work environment is positive meaning Starbucks is a happy place to work.

When was Starbucks mission statement created? ›

1990. We create our first mission statement.

How do I bring a mission statement to life? ›

How To Bring The Mission Statement To Life
  1. Involvement In The Mission's Development. ...
  2. Stating The Mission In A Memorable Way. ...
  3. Making the Mission Concrete. ...
  4. Providing Consistency. ...
  5. Enticing Features That Foster Love. ...
  6. Enticing through Sensory Appeals. ...
  7. Enticing through Heartwarming Appeals. ...
  8. Enriching Features That Foster Respect.
11 Dec 2017

What is Starbucks innovation strategy? ›

Delivering Growth at Scale

Strong customer demand for Starbucks driven by focus and discipline in elevating customer experiences, relevant beverage innovation and expanding digital customer relationships. Plans to expand to approximately 55,000 company-operated and licensed stores across 100 markets by 2030.

Which country has most Starbucks? ›

Countries with most Starbucks locations globally as of October 2021. The United States and China came top in the ranking of countries with the largest number of Starbucks stores worldwide as of October 2021. The famous U.S. coffeehouse chain had the most stores in its home country accounting for over 15 thousand stores ...

What countries is Starbucks not in? ›

There are Starbucks everywhere in the world (even in tea drinking country such as China), but there is one country, you would not find one single Starbucks -Italy! It was said that Italy is the birthplace of Starbucks.

What is mission vision and values? ›

The mission statement communicates the purpose of the organization. The vision statement provides insight into what the company hopes to achieve or become in the future. The values statement reflects the organization's core principles and ethics.

What are the 3 parts of a mission statement? ›

What are the Three Parts of a Mission Statement?
  • The Key Market – Who is your target audience? ...
  • Your Contribution – The next component to a successful mission statement is outlining your contribution. ...
  • Distinction – The next component to a highly effective mission statement is distinction.

What is mission vision and core values? ›

Mission and vision statements define where you're going, but core values are all about what you are. What are the defining features of your company and how you operate? These values support your vision and shape your company culture.

What is Starbucks motto? ›

Here's how U.S. coffeehouse chain Starbucks outlines its mission and purpose statements: Mission statement: "To inspire and nurture the human spirit — one person, one cup and one neighborhood at a time."

What is mission and vision? ›

What are mission and vision statements? A mission statement defines the organization's business, its objectives, and how it will reach these objectives. A vision statement details where the organization aspires to go. Why does your company exist? What do you hope to accomplish in the next several years?

What is meant by the term mission statement? ›

A mission statement is a concise explanation of the organization's reason for existence. It describes the organization's purpose and its overall intention. The mission statement supports the vision and serves to communicate purpose and direction to employees, customers, vendors and other stakeholders.

What is Starbucks stance on diversity? ›

In October 2020, Starbucks said it would aim for Black people, indigenous people and other people of color to hold at least 30% of U.S. corporate jobs and 40% of U.S. retail and manufacturing jobs by 2025, and tie executive pay to its diversity efforts.

What is the secret of Starbucks success? ›

The key to the Starbucks juggernaut is the company's success in making people want to come back for the beverages and food in its cafés. To encourage customers to return, Starbucks runs stylish cafés in key locations where people are free to hang around.

What are Starbucks core competencies? ›

Starbucks core competencies can be defined as high quality coffee and products at accessible locations and affordable prices, a community to share in the coffee drinking experience, and a variety of choices. Starbucks also values ethics and good business practices.

What type of strategy does Starbucks have? ›

Starbucks business strategy can be classified as product differentiation. Accordingly, the coffee chain giant focuses on the quality of its products and customers pay premium prices for high quality.

What is mission vision and values? ›

The mission statement communicates the purpose of the organization. The vision statement provides insight into what the company hopes to achieve or become in the future. The values statement reflects the organization's core principles and ethics.

What are the 3 parts of a mission statement? ›

What are the Three Parts of a Mission Statement?
  • The Key Market – Who is your target audience? ...
  • Your Contribution – The next component to a successful mission statement is outlining your contribution. ...
  • Distinction – The next component to a highly effective mission statement is distinction.

What is mission vision and core values? ›

Mission and vision statements define where you're going, but core values are all about what you are. What are the defining features of your company and how you operate? These values support your vision and shape your company culture.

What are the 3 key things a mission statement should have? ›

Typically, a mission statement includes a basic description of the company, its purpose, and its goals.

What is the primary purpose of mission statement? ›

A mission statement is used by a company to explain, in simple and concise terms, its purpose(s) for being. It is usually one sentence or a short paragraph, explaining a company's culture, values, and ethics.

What is an example of a mission statement? ›

Best Mission Statement Examples. Life is Good: To spread the power of optimism. Sweetgreen: To inspire healthier communities by connecting people to real food. Patagonia: We're in business to save our home planet.

How Starbucks treat their employees? ›

Compensation is an important aspect of employee happiness and at Starbucks, 61% of employees feel they are paid fairly, 79% are satisfied with their benefits, and 74% are satisfied with their stock/equity. 82% of Starbucks employees feel their work environment is positive meaning Starbucks is a happy place to work.

Is Starbucks an inclusive company? ›

Starbucks invited Rhimes to be part of its Third Place Development Series, the company's commitment to creating a more welcoming and inclusive experience for partners and customers. Starbucks is recognized as a Best Place to Work for Disability Inclusion by scoring 100 on the Disability Equality Index (DEI).

Who is suing Starbucks? ›

New York City files lawsuit against Starbucks over firing of employee Austin Locke, who started a union. NEW YORK -- New York City has filed a lawsuit against Starbucks over the firing of an employee who started a union.

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