Starbucks’ tall, grande and venti mean marketing
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Ever wonder why Starbucks went all Eurotrash on coffee lovers, who place orders in sizes ‘tall’ (12 ounces), ‘grande’ (16 ounces) and ‘venti’ (20 or 24 ounces, depending on the drink)?
For years, Starbucks customers -- and stand-up comics short on material -- have pondered the matter. If you were in Beverly Hills today at the Milken Institute Global Conference listening to Starbucks executive Michelle Gass explain it, you’d still be wondering.
One audience member braved the question: Why the tall, grande and venti?
“Well, is it interesting . . . ?” Gass responded cryptically of the standard designations of “small,” “medium” and “large.”
Gass, Starbucks executive vice president of marketing and category, spoke to an audience of about 150 at a panel on effective marketing and persuading skittish consumers to spend. As her fellow speakers advised humility and consumer-centric practices, Gass urged businesses to connect with customers on a personal level and to battle the recession by taking risks.
“Don’t be afraid,” she said. “If you make mistakes, you can pick yourself right back up.”
Same goes for consumers, she said. “Amid all the doom and gloom out there, one can feel guilty about getting a haircut or a Starbucks,” she said. But it’s $1.60. It’s not $5,000.”
Meanwhile, 960 miles to the north in Seattle, Starbucks announced that net income for the quarter ended March 31, declined 77% to $25 million, or 3 cents a share as consumers pulled back on spending.
-- Tiffany Hsu
