Does a Brand Have a Soul? Does Starbucks?

Starbucks Founder Howard Schultz wrote a letter to Board about preserving the “soul” of the brand. Students can analyze his letter and discuss whether a company or a brand has a soul. Does Starbucks?

The context of Starbucks’ unionization efforts likely drove Schultz’s thinking. (All three Starbucks in Ithaca, NY, have come and gone because of unionization efforts, the company’s response, and local backlash. Costco may be a better role model for accepting and negotiating with unions. A useful project for students would be to analyze the effects of unions in the past several decades.)

Schultz writes that this definition of soul is from Webster, but it doesn’t match what I see in the dictionary listing, which is worth comparing. Here’s his list:

a) the moral and emotional nature of human beings
b) the quality that arouses emotion and sentiment
c) spiritual or moral force

Schultz then writes, “Webster did not anticipate the necessity to define soul in business terms for the very reason I am addressing it. It rarely exists, and it’s almost impossible to define.” Or, perhaps a business or brand cannot have a soul. Perhaps his view is an overreach, reflecting the exact arrogance for which Starbucks is criticized. After all, the company sells coffee. This is a cynical view, and students may believe, or feel, otherwise.

Also worth analyzing is the purpose of the letter. What are Schultz’s communication objectives? In addition to the Board audience, he forwarded the letter in an email to those of us on his former Schultz-for-president distribution list. After reading the letter, will the Board feel inspired, and if so, to do what, exactly?

Image source.