i have been thinking about this sitting in front of starbucks: why do so many people go to places like starbucks, chipotle .. especially young people ...
if someone was opening a similar business, what would make it successful?
several reasons:
1) there is NOTHING to do and it's boring. what is the most common young people's problem? finding something to do. these places give you something to do. they not only sell food, they are a destination for young people looking to "hang out". you get your food and "chill" around it there.
2) they give you an experience. at chipotle, you watch them make the food for you. it's like entertainment. same thing with starbucks. everything is out in the open, it's like a mini-ride at disneyland.
3) they strive to be "upscale". although aimed at the working class, they give the working class a small taste of the good life, that's especially true for starbucks.
4) prime real estate - they always occupy prime, expensive real estate. in the end, it does pay off for starbucks. you rarely find coffee bean, peet's at prime real estate places, but starbucks is always there.
i think if anyone follows those two mini-principles, they can run a successful consumer/retail business.
