Starbucks CEO Howard Schultz recently told investors that they could expect some exciting new “breakfast pairings” at “attractive” prices… which sounds a lot like nice way to say “value meal” to us.
Starbucks is looking to rebound from dismal sales in the U.S. as more consumers cut back on spending in the deepening recession. In its fiscal first quarter report last week, same-store sales — a key indicator of a retailer’s performance — dropped 10 percent. That’s worse than the 8 percent decline in the fiscal fourth quarter.
Meanwhile, McDonald’s has been touting its “recession resistance.”
“While we clearly prefer a more robust environment, today’s market conditions play to our strengths,” Chief Executive Jim Skinner said on a conference call, adding that its customers “are feeling the pinch almost everywhere else.”
Are you into this idea?
Value meal at Starbucks, coming up. But will it tempt enough recession-weary drinkers? [Chicago Tribune]