Schultz said "this new evolution of the logo does two things that are very important; it embraces and respects our heritage and at the same time evolves us to a point where we feel it's more suitable to the future." The CEO pointed out that the original Starbucks logo was brown, but was changed to green in 1987. It has gone through two other small changes since then. But now "the world has changed and Starbucks has changed," he said. "The new interpretation of the logo at its core is the exact same essence of the Starbucks experience. And that is the love we have for our coffee, the relationship we have with our partners and the connection we build with our customers. What I think we've done is we've allowed her to come out of the circle in a way that I think gives us the freedom and flexibility to think beyond coffee. But make no mistake. We have been, we will continue to be, and we always will be the world's leading purveyor of the highest quality coffee." Removing the word coffee from its logo is "an important step," Michael A. Yoshikami, president and chief investment strategist at YCMNET Advisors, told TheStreet.
Gregory said the nameless logo is likely to hurt Starbucks the most in terms of the products it sells in supermarkets and other retail locations. "There you're dealing with people who aren't enthusiasts. You're looking at something that's almost generic, and it's not shouting out as something that is Starbucks."
Starbucks said its brand is so ubiquitous it no longer needs to display its name around the logo in order for customers to recognize it, calling to mind other easily recognizable brand logos like those of Nike ( NKE) and Apple ( AAPL). A logo without words also reflects
Recently, with no fanfare or press release to go along with it, Target, which already had a rounded logo, removed the words from its iconic bulls eye. Fashion blog Styleite seems to be the first to have noticed after watching an episode of television game show Million Dollar Money Drop in which a contestant was asked to identify how many red rings surround the bull's-eye in Target's logo. (The answer is one.) Mittal and his co-authors also found that negative consumer reaction to logo changes are strongest among a brand's most committed customers. "It is important for companies to refresh their logos, but the process of doing so must be carefully managed," Mittal said. "Our research shows that companies need to carefully consult customers -- whether through Internet sites or chat rooms -- to ensure that customers feel they have been heard in the redesign and repositioning process. That will ensure that highly committed customers -- who are also often the heaviest consumers of the brand -- feel connected to the brand." The professor said that while some loyal U.S. customers may feel alienated, Starbucks' new logo could drive new loyalties in strong emerging markets like China, India, Taiwan and Singapore.
Under the terms of the deal the pair will collaborate on sourcing and roasting green coffee beans in Tata Coffee's Coorg, India-based facility, as well as jointly exploring "the development of Starbucks retail stores in associated retail outlets and hotels." "This
|The Gap's old logo is at left; the logo it adopted and abandoned in the face of massive scorn is at right.|
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