Zeev's Turnips Patch-No Politics (ZEEV)

[marketmaven]

SBUX having comps probs,losses at Starbucks Entertainment

Procter & Gamble's Folgers moving into upscale coffee-NY Times
Folgers, a brand owned by Procter & Gamble (PG), is hoping new packaging, exotic flavors and a $20M advertising campaign will help convert traditional coffee drinkers to gourmet coffee. The company is not aiming for diehard Starbucks (SBUX) fans, but rather people that drink cheaper coffee at home every morning. (yeah, P&G bloggers say they can cannabalize SBUX addicts)

Starbucks is getting into the bookselling business-Chicago Tribune-21 Aug 06 (no link-sorry)
While Starbucks (SBUX) has sold books at its stores before, the new program the company is "bound to have a much larger impact." Starbucks will begin featuring in-store displays of books recommended by the coffee chain for one month each.

More Details Emerge on Starbucks Music Agenda
Date: may, 2006 (60506)
http://www.digitalmusicnews.com/results?title=Starbucks

Starbucks is reportedly pulling back on its CD-burning media bars, but that still leaves room for incoming kiosk provider MOD Systems. Hewlett-Packard helped Starbucks kick-start its media bar rollout, though several reports from Seattle now point to a transition from HP to MOD. And that could be part of a larger music evolution for Starbucks, which is angling to offer support for portable MP3 players like the iPod, and other music-related services. MOD, a start-up involving entrepreneurs Anthony Bay and Mark Phillips, is maneuvering to intelligently conquer the in-store media kiosk concept.

For Starbucks, the deal is probably part of a more broad-based music strategy, which includes a bit of trial-and-error. For most consumers, CD-burning is an easy at-home activity, making the Starbucks play a bit redundant. But a large percentage of Starbucks clients are toting iPods, creating a different opportunity for the chain. Earlier, Starbucks Entertainment president Ken Lombard noted that his company was approaching the portable MP3 player issue, though detailed plans were not discussed. MOD has hinted at portable MP3 player support, though angling into the iPod is tricky business. Other in-store MOD services include background music and ringtone sales. Meanwhile, Starbucks announced that entertainment attorney and artist manager Alan Mintz will assume the reigns of vice president of Content Development, replacing Don MacKinnon.

Story by news analyst Alexandra Osorio.