Is Starbucks spying?
May 31, 2011 1:55 PM Subscribe
Is my corporate competition be scoping out my business or am I just being paranoid?
I run a coffee shop. Starbucks has just acquired a property less than 100 feet away from my business and announced that it will open 3 months from now. Prior to this, I have had 3 people ask to take photographs of the interior and exterior of my business.
The most recent encounter involved a man who said he was looking for a photo shoot location for an advertisement for Lexus. When I asked for a business card, he told me he left it in his card but he was quickly take some photos for his clients to see the atmosphere of the cafe. I asked him a second time for some sort of credentials and he said he would go to his car and get them. He left and I went to the back. I came out to find him snapping photos of my pastry case. I asked him again for his card, and he ignored me, walked out the door and took one final shot of the exterior of my building. The other two encounters were similar.
I will be the first to say my cafe is not that nice to look at, and we truly pose no threat to any national chain. Am I being paranoid in thinking that Starbucks cares enough to send people to take photographs of their neighbors? How should I react when shady people take photos without permission?
I run a coffee shop. Starbucks has just acquired a property less than 100 feet away from my business and announced that it will open 3 months from now. Prior to this, I have had 3 people ask to take photographs of the interior and exterior of my business.
The most recent encounter involved a man who said he was looking for a photo shoot location for an advertisement for Lexus. When I asked for a business card, he told me he left it in his card but he was quickly take some photos for his clients to see the atmosphere of the cafe. I asked him a second time for some sort of credentials and he said he would go to his car and get them. He left and I went to the back. I came out to find him snapping photos of my pastry case. I asked him again for his card, and he ignored me, walked out the door and took one final shot of the exterior of my building. The other two encounters were similar.
I will be the first to say my cafe is not that nice to look at, and we truly pose no threat to any national chain. Am I being paranoid in thinking that Starbucks cares enough to send people to take photographs of their neighbors? How should I react when shady people take photos without permission?
You can always say, "sorry, we disallow photography in here." Maybe even have a small sign (somewhere unobtrusive) that you can point to. You can choose to ignore the "rule" most of the time, and only bust it out for people who look sketchy. It's your business and your prerogative. I've had shop owners tell me not to take photos before, and it's not a big deal. Don't be afraid to assert yourself.
That said, Blazecock Pileon's link does not bode well.
posted by phunniemee at 2:06 PM on May 31, 2011
That said, Blazecock Pileon's link does not bode well.
posted by phunniemee at 2:06 PM on May 31, 2011
I have heard that Starbucks does this. Not some the same link above, but somewhere else... I remember reading a different story saying something similar.
I have also heard that the opening of a Starbucks can actually provide a boost in business to nearby independent competitors; see here.
You may pose no threat to a national chain, but you pose a direct threat to the local outlet they are planning to open. I would take it seriously. You can't really stop them from poking around, but you can just say no when they ask to take photos.
posted by PercussivePaul at 2:07 PM on May 31, 2011
I have also heard that the opening of a Starbucks can actually provide a boost in business to nearby independent competitors; see here.
You may pose no threat to a national chain, but you pose a direct threat to the local outlet they are planning to open. I would take it seriously. You can't really stop them from poking around, but you can just say no when they ask to take photos.
posted by PercussivePaul at 2:07 PM on May 31, 2011
Oh, yeah. They also do (or did) "cluster-bombing."
1) Identify your intersection and price structure.
2) Open Starbucks locations north, south, east, and west of your location.
3) Drop their prices to below yours, taking losses.
4) You fold.
5) They close three stores, leaving one.
6) Build a small UFO under your store so they can fly out of Antarctica and assimilate the rest of the world.
Okay, that last one was from The Thing, but the rest of the approach is known.
I would suggest getting a digital camera for under the counter. Take photos of the shady people and of their license plates.
posted by adipocere at 2:08 PM on May 31, 2011 [3 favorites]
1) Identify your intersection and price structure.
2) Open Starbucks locations north, south, east, and west of your location.
3) Drop their prices to below yours, taking losses.
4) You fold.
5) They close three stores, leaving one.
6) Build a small UFO under your store so they can fly out of Antarctica and assimilate the rest of the world.
Okay, that last one was from The Thing, but the rest of the approach is known.
I would suggest getting a digital camera for under the counter. Take photos of the shady people and of their license plates.
posted by adipocere at 2:08 PM on May 31, 2011 [3 favorites]
From what I have heard, this is really common and is part of how "certain" chain(s) expand into the market.
posted by acoutu at 2:08 PM on May 31, 2011
posted by acoutu at 2:08 PM on May 31, 2011
Looking at it charitably, Starbucks is just looking at what the people in the neighborhood seem to prefer.
Taking interior photos is a little shady, and I sort of half doubt it is corporately sanctioned. More likely, it is lazy or "ambitious" district manager types who are being ruthless and shady.
The key to surviving in a competitive marketplace, which I assume coffee is, is to do what you do well the best you can. Figure out what THEY do that you can do too.
posted by gjc at 2:10 PM on May 31, 2011
Taking interior photos is a little shady, and I sort of half doubt it is corporately sanctioned. More likely, it is lazy or "ambitious" district manager types who are being ruthless and shady.
The key to surviving in a competitive marketplace, which I assume coffee is, is to do what you do well the best you can. Figure out what THEY do that you can do too.
posted by gjc at 2:10 PM on May 31, 2011
Easy answer: next time someone wants to take photos, only allow it if you can take a photo of them and their car.
posted by gjc at 2:11 PM on May 31, 2011
posted by gjc at 2:11 PM on May 31, 2011
The upside of the link I posted is that there is an indie coffee shop (Victrola) about a half-block away, which does great business.
Every time I have walked past the remodeled Starbucks, it looks dead. But Victrola is often packed.
So while Starbucks experiments with imitations of local haunts, if your product is good, if the total experience is good, your business can still thrive from repeat business by loyal locals.
posted by Blazecock Pileon at 2:13 PM on May 31, 2011
Every time I have walked past the remodeled Starbucks, it looks dead. But Victrola is often packed.
So while Starbucks experiments with imitations of local haunts, if your product is good, if the total experience is good, your business can still thrive from repeat business by loyal locals.
posted by Blazecock Pileon at 2:13 PM on May 31, 2011
I think almost any business would do this if they had the budget and the means to borrow some inspiration from your shop, so it's not surprising.
Have you thought about your own forms of competition? I'll bet if your best customers saw this AskMe question you could count on them for some grassroots marketing. Flyers, chalkboard announcements, all linked up to your blog...that could really help you out.
In addition, there are some great ideas for diversification out there too.
posted by circular at 2:16 PM on May 31, 2011
Have you thought about your own forms of competition? I'll bet if your best customers saw this AskMe question you could count on them for some grassroots marketing. Flyers, chalkboard announcements, all linked up to your blog...that could really help you out.
In addition, there are some great ideas for diversification out there too.
posted by circular at 2:16 PM on May 31, 2011
I've heard of this from Starbucks before, as others have said. Definitely try to document it if anyone comes by again, but it will probably be hard to "prove" what's been going on. It would be good to try to get some press out of this like in the link BP posted above. I know I'd make a point of walking an extra block to help the local guy whose look is being stolen by Starbucks. Get the word out, and you may find you get a lot of support.
Incidentally, something similar happened just the other day where some small etsy person's line of jewelry was lifted by Urban Outfitters (or maybe not... there's some follow up coverage on consumerist). She made a few posts about it, it swept FB, and she's been inundated with orders from people rejecting the big corporate behemoth.
People like underdogs.
posted by Admiral Haddock at 2:22 PM on May 31, 2011
Incidentally, something similar happened just the other day where some small etsy person's line of jewelry was lifted by Urban Outfitters (or maybe not... there's some follow up coverage on consumerist). She made a few posts about it, it swept FB, and she's been inundated with orders from people rejecting the big corporate behemoth.
People like underdogs.
posted by Admiral Haddock at 2:22 PM on May 31, 2011
My favourite coffeeshop put in a washer/dryer in the back corner.
posted by infini at 2:56 PM on May 31, 2011 [2 favorites]
posted by infini at 2:56 PM on May 31, 2011 [2 favorites]
If you don't own your space, think about extending your lease so no one can come in and pull it out from under you.
posted by jamjam at 3:15 PM on May 31, 2011 [3 favorites]
posted by jamjam at 3:15 PM on May 31, 2011 [3 favorites]
Based on our neighbourhood's experience, Starbucks may not be your problem (though, agreed, as it's been said -if you have something worth copying, it's a moot point). As my neighbour covered in his post, customers will be customers - but the gentrification may be your real issue. PercussivePaul's link has it right on the second page - a Starbucks can actually improve other coffee shops' businesses in the 'hood, for the reasons given and it does indeed send real estate prices up, drawing people who may drink your fine product as well. Five years since our nearest Starbucks moved in, the nearest place has not only survived, but thrived. The forerunner, which was never really close enough to be affected, is still there, and other places have moved and are doing well. In fact, the only real danger in this area is from possibly being mowed down by a new mom texting while pushing an eight hundred dollar stroller while drinking a six dollar coffee on her way to play at the coffee shop that caters to moms and little kids. I use all of our neighbourhood coffee shops for various reaasons, and they all, even Starbucks, do things that benefit our school and contribute to the community. Sometimes I want edgy music, hipsters and a giant organic ginger cookie - and sometimes I want some of that bread that tastes like creamsicles and a four thousand calorie icy thing and service with a smile.
But, as jamjam posted while I was writing this novel, it may not be a Starbucks secret agent taking the pictures - it may be a real estate agent or another small business owner. As your neighbourhood shows signs of gentrification, other businesses will want to get in on the ground floor, and will be scoping out locations, and they may approach your landlord. Whether or not being within a hundred feet of a Starbucks is good for a coffee shop is beneficial may be up for debate - but it does catch the attention of landlords and real estate agents (and the media and the locals and so you're wise to be wary, and should both make a contingency plan while you keep on doing what you do best.
I ran a small store for someone in the neighbourhood for about five years, and as the area gentrified, the frequency of photographs and reviews for the purposes of blog posts and press (both local and otherwise) increased - as did people asking for the scoop on any nearby locations that may come up for rent, and wanting dibs on our place when it did. What eventually killed our business was changing foot traffic in the neighbourhood; higher rents in general - though ours was great, we lost complementary businesses that made our strip a destination shopping spot; an emerging house-poor demographic; and people spending more money on consumables like coffee, and less on tchotchkes. Starbucks might not be your problem, though the changing demographic they're sniffing around may be. I wish you only the best - it's hard out there!
posted by peagood at 4:08 PM on May 31, 2011 [3 favorites]
But, as jamjam posted while I was writing this novel, it may not be a Starbucks secret agent taking the pictures - it may be a real estate agent or another small business owner. As your neighbourhood shows signs of gentrification, other businesses will want to get in on the ground floor, and will be scoping out locations, and they may approach your landlord. Whether or not being within a hundred feet of a Starbucks is good for a coffee shop is beneficial may be up for debate - but it does catch the attention of landlords and real estate agents (and the media and the locals and so you're wise to be wary, and should both make a contingency plan while you keep on doing what you do best.
I ran a small store for someone in the neighbourhood for about five years, and as the area gentrified, the frequency of photographs and reviews for the purposes of blog posts and press (both local and otherwise) increased - as did people asking for the scoop on any nearby locations that may come up for rent, and wanting dibs on our place when it did. What eventually killed our business was changing foot traffic in the neighbourhood; higher rents in general - though ours was great, we lost complementary businesses that made our strip a destination shopping spot; an emerging house-poor demographic; and people spending more money on consumables like coffee, and less on tchotchkes. Starbucks might not be your problem, though the changing demographic they're sniffing around may be. I wish you only the best - it's hard out there!
posted by peagood at 4:08 PM on May 31, 2011 [3 favorites]
One small point: Starbucks doesn't sell direct-trade coffee. Direct-trade coffee can be very popular (as I'm sure you know; ask anyone from Portland who drinks coffee; they'll tell you about Stumptown). There is definitely a demand for ethical coffee, and Starbucks, last I checked, only sells fair-trade coffee by the pound (not the cup). So that is one thing to consider as an option if you don't already do it. And if you do, you're probably going to be fine.
posted by aniola at 10:18 PM on May 31, 2011
posted by aniola at 10:18 PM on May 31, 2011
This is totally typical corporate scoping behavior; you're not crazy.
posted by desuetude at 12:06 AM on June 1, 2011
posted by desuetude at 12:06 AM on June 1, 2011
This thread is closed to new comments.
posted by Blazecock Pileon at 2:00 PM on May 31, 2011 [1 favorite]