Starbucks® Scores “F,” Stifling Innovation, Says Entrepreneur

Stepping back from our regular Tales from the World of Photo Scanning updates and profiles on the photo imaging industry, as well-known entrepreneurs and photo industry leaders, our success at has been based on innovation and stirring up new ways to reinvent our business, ever since we were founded in 1990.

This is why the recent nationwide Starbucks Coffee Company ad campaign raises such interest. “It’s Not Just Coffee. It’s Starbucks” ad campaign indirectly and precipitously assaults another American institution, McDonald’s Corporation. The poorly conceived ad campaign by Starbucks warrants a response, especially from entrepreneurs.

The copy editors who wrote this ad have a short memory. While they explain that Starbuck’s products are not “a hobby or a potential new ‘revenue stream,'” they conveniently forgot about its prior head-to-head battle against McDonald’s for quick, hot breakfast sandwiches to compete against McDonald’s McMuffins.

Mitch Goldstone, president and CEO of, and a longtime consumer advocate said “the Starbucks campaign is stifling competition and thwarting innovation and entrepreneurial inventiveness. Today, more than ever, smart businesses are incessantly reinventing themselves. That is exactly what McDonald’s is doing with it’s investment with its McCafe brand. However, by assaulting competition, Starbucks, the global coffee purveyor, is instead cheapening its brand.” salutes McDonald’s and its drive to heighten its product categories. They are employing thousands of people and supporting many new businesses that are connected with this new product launch. That is a good thing. However, this campaign which is frightening consumers and warning them, without directly mentioning McDonald’s that “their coffee may appear less expensive. But, buyer beware. It’s the hidden costs that will get you in the end,” is anticompetitive and wrong. Besides, according to the ad, about 66% of all Starbucks beverages cost more than $2.00.

The result, from our prospective is that the new campaign undermines and compromises Starbucks integrity.

Good bye Starbucks, hello McCafe!


News item: McDonald’s® McCafé® Perks up Coffee Lovers Coast-to-Coast

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