How Starbucks Makes Money — It's Not the Coffee ☕

How Starbucks Makes Money — It's Not the Coffee ☕ Starbucks pulls in $36.18 billion a year — but the coffee is the smallest part of the story. In this episode of Profit Playbook, we break down the real money machine: why Starbucks owns its stores instead of franchising like McDonald's, how 48% licensed stores in airports and hotels print royalties, the 33.8 million-member Rewards program that turned gift cards into an interest-free bank, and the Nestlé alliance putting Starbucks on every grocery shelf on earth. Then the stumble: a 2% drop in comparable sales in FY2024 — and Brian Niccol's "Back to Starbucks" turnaround plan. Chapters: 0:00 — The Coffee Empire 0:56 — They Own the Stores 1:55 — The Licensed Army 2:47 — The Rewards Machine 3:30 — The Money Machine 5:07 — The Stumble 5:56 — The Takeaway All figures from Starbucks' official FY2024 annual report. Photos licensed via Wikimedia Commons — full credits in the video's end card. New here? Profit Playbook breaks down how the world's biggest businesses really make their money. Subscribe for the next one. #Starbucks #BusinessDocumentary #ProfitPlaybook how starbucks makes money, starbucks business model, starbucks explained, starbucks revenue breakdown, starbucks rewards program, starbucks vs mcdonalds, coffee business, how companies make money, business documentary, profit playbook, brian niccol, starbucks stock analysis, starbucks licensed stores, nestle starbucks partnership, starbucks fy2024