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Howard Schultz on Starbucks and the Milan idea: interview summary

Howard Schultz | In Depth w/ Graham Bensinger
- The idea came from watching espresso bars in Milan.
- Starbucks then sold coffee for the home, and he saw the store as the real opportunity.
- He grew up in public housing in Brooklyn and had a hard relationship with his father.
- Coming back in 2008, he learned that success is fragile and isn't an entitlement.
- He's now trying to step back so Starbucks isn't on his mind 24 hours a day.
Where did Howard Schultz get the idea for the Starbucks we know?
In Milan. He watched the ritual and community of Italian espresso bars and realized the opportunity wasn't selling coffee for the home, which is what Starbucks did then. It was the experience in the store. He says he raced home with the idea.
Actionable
- Visit a business in another country or city and note the rituals around it.
- Ask what experience surrounds your product, beyond the product itself.
- Write down one thing you'd fix if your business were in crisis tomorrow.
- Set one boundary between your work and your family time.
Lessons
- Great ideas can come from watching how people behave.
- The experience can matter more than the product.
- Success is fragile and needs constant care.
- Childhood pain can drive empathy and ambition.
Quick answer
Howard Schultz sat down with Graham Bensinger for this interview, published Sep 11, 2023. Here's our summary in our own words: a verdict, the answer to the big question, 5 takeaways, Actionable and Lessons tabs, then the stories, frameworks and how to use them.
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Watch on YouTube: Howard Schultz | In Depth w/ Graham Bensinger
Channel: Graham Bensinger. Published Sep 11, 2023. About 65 minutes.
Who is Howard Schultz?
Howard Schultz joined Starbucks in the early 1980s, bought it in 1987 and built it into a global chain. He served as CEO three times.
Graham Bensinger interviewed him at length in 2023.
Key stories from the interview
- He remembers going to Yankee Stadium with his father in 1961.
- He describes the Milan trip that changed Starbucks.
- He talks about a neck injury from his teens that led to many spine surgeries.
- He recalls sweating through a meeting where Mr. Gates asked if everything he'd said was true.
Frameworks and ideas
- The 'third place' between home and work.
- Success isn't an entitlement.
- Lead with empathy.
In their words (paraphrased)
- The opportunity was not coffee for the home, it was the experience in the store.
- Success in business is not an entitlement and it's very fragile.
- He's trying to be the best version of himself for his family now.
How to apply this
- Map the experience a customer has before, during and after buying.
- Write down your company's values and check one decision against them.
- Plan time off where work stays off.
Read the biography
Want the longer story? Read our Pour Your Heart Into It summary.
A note on this summary
This page reports what was said in the interview, in our own words. Lines under 'In their words' are paraphrased from the transcript, so check the video for exact wording.
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FAQ: questions people ask
Where did Howard Schultz get the Starbucks idea?
From Italian espresso bars in Milan, where he saw the community and ritual around coffee.
Why did Schultz return to Starbucks in 2008?
Starbucks faced big challenges during the recession, and he came back to turn it around.
Is this Howard Schultz interview worth watching?
Good value given. It's personal and full of lessons.
Related guides
- Billionaire and Founder Interview Summaries
- Entrepreneur Biography Summaries: Founder Lessons
- YouTube Video Summaries by Topic and Format
- Every 125x guide
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