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Built for Growth: Expanding Your Business Around the Corner or Across the Globe, by Arthur Rubinfeld, Collins Hemingway
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If there's one thing that's consistent in today's business world, it's rapid change. So how do you not only stay steady but actually grow'and quickly enough to stay safely ahead of your competitors? Built for Growth delivers specific solutions to create a brand and presence that generates true customer passion, as you lay a solid foundation for long-term success. Author Arthur Rubinfeld was a major driver in Starbucks' unprecedented retail expansion from 100 stores to more than 4000-- and its transformation into one of the world's most recognized brands. Here he draws on his singular expertise to present a proven, holistic approach to conceiving, designing, and executing your business plan: creating exciting concepts, growing them to fruition in local markets, expanding rapidly, and keeping your brand fresh and relevant as it matures. His revolutionary approach to business strategy embodies strong personal values, promotes exceptional creativity, leverages scientific methodology in finance and market analysis, and brings it all together with 'old-time' customer service.
- Sales Rank: #669475 in Books
- Published on: 2005-03-17
- Original language: English
- Number of items: 1
- Dimensions: 9.10" h x 1.30" w x 6.10" l, 1.24 pounds
- Binding: Hardcover
- 368 pages
From Publishers Weekly
Starred Review. Ever walk into a Starbucks and wonder: why didn't I think of this? But, honestly, do you really understand the merchandising mechanics of getting a million people to line up for a tall vanilla latte, or of matching up a dark green mug and a Norah Jones CD with a drink order? Rubinfeld, Starbucks's former executive vice president of store development and an advisor to other well-known brands, has given it all quite a bit of thought, and with a writing assist from Hemingway-who also co-authored Bill Gates's book Business @ the Speed of Thought-he painstakingly shares his blueprint for creating financial and cultural retailing success. This is by no means a relaxing corporate history on the rise of a global coffeehouse. It's an intense examination of what goes into conceptualizing a viable retail plan. Whether it involves serving sushi on a conveyor belt or selling sunglasses, he explains how to grow a franchise into a powerful marketing presence. From the initial "ideation" and differentiation of the concept, to choosing the right location for the first store, making the design and merchandising decisions, and attracting venture capital-Rubinfeld walks anyone who wants, or needs, to understand retailing through the thought process at every decision-making opportunity. He does so while continuously drawing examples from the local mall, explaining concepts in terms of what retailers like Oakley, Chico, Potbelly Sandwiches and, of course, Starbucks have done right. He also shares his insights on what others, like the bankrupt candle company Illuminations, did wrong. Rubinfeld sidesteps jargon and avoids cute or memorable phrases... save one: "retail is detail." The phrase aptly summarizes the contents of this book-which in its latter chapters even delves into the minutia of real estate management. This is an intricately detailed game plan for becoming the retailing world's next Starbucks.
Copyright � Reed Business Information, a division of Reed Elsevier Inc. All rights reserved.
From Booklist
Online sales and the big-box stores have knocked down prices for consumer goods, essentially squeezing out the "general retailer"--everybody else. So is it crazy to open a bricks-and-mortar retail store now? Rubinfeld, who helped transform Starbucks into one of the world's most recognized retail brands, and Hemingway, best known as the coauthor with Bill Gates on the number-one best-seller Business @ the Speed of Thought (1999), present solid concepts for keeping a brand fresh and innovative. Their book is based on four fundamental principles of retail strategy but built on a holistic, integrative approach to designing and implementing a retail business plan. All national brands, they tell us, started out as small, family-owned enterprises. Borrowing from the football phrase "go long," they talk about how to plan big and prepare to expand quickly. The specifics they provide--such as merchandising, licensing, and actual site plans--are valuable tools to both existing retailers and start-ups. David Siegfried
Copyright � American Library Association. All rights reserved
Review
From Kirkus Reports, February 10, 2005� Volume 2, Issue 1
Built for Growth: Expanding Your Business Around the Corner or Across the Globe
By: Arthur Rubinfeld and Collins Hemingway
Publisher: Wharton School Publishing
Pub Date: March 2005
With a first section titled “Make No Little Plans,” Rubinfeld makes clear his philosophy of viable business expansion. As the man instrumental in taking Starbucks to the nearest corner, he knows from expansion. He also knows about the mainstays of any successful business: functional design, staying on budget, maximizing profits, and customized customer service (each of which is treated in its own section). From this strong foundation, the business person can begin to think big, or “Go Long,” in Rubinfeld’s parlance. The first step is to create a business plan, which the author explicates in detail. After assuring that the economic plan is rock-solid, then make sure that employees will remain motivated. Rubinfeld also has plenty of ideas on how to maximize revenue with a minimum investment: a pizza chain can market its sauce, a crafts store can offer lessons to shoppers for a premium, and so on. Although the sections on real estate and “locationing” are particularly valuable given the author’s experience, nearly every page has a concrete idea, suggestion, or caution. Rubinfeld delivers serious value for money here, and small business owners and managers would do well to take advantage of it.
�
Financial Times
March 28 2005
Book review: Blend that brought the world StarbucksBy Jonathan Birchall
BooksBUILT FOR GROWTH
Expanding your business around the corner or across the globe
By Arthur Rubinfeld and Collins Hemmingway
Wharton School Publishing $25.95
Ever wondered what happened to the glass and metal storage bins full of coffee beans that used to stand around in Starbucks' coffee shops? The design team, apparently, thought they would give customers a subliminal connection to old-world in-store coffee roasters, but without that old-world fire risk.
But the company's operations people never liked the idea. The staff didn't use them. The storage bins became just a store decoration. And then they were slowly phased out.
The hand-made pendant lampshades over the curved wooden platform used to present drinks to the customer, on the other hand, are still around - spotlighting each beverage as if it were something more than, well, just a coffee.
After 10 years leading Starbucks' store development programme, during which time the company expanded from 150 stores to more than 4,000, Arthur Rubinfeld has an eye for that kind of detail.
Trained as an architect, his early career included working as construction manager on a hotel building in Manhattan; he moved on to directing workers on the building site of one of the most successful retail brands in recent business history.
So, appropriately for a man whose made his name in bricks and mortar, or at least in terracotta tile and modular countertops, he has written a very hands-on manual for the would-be entrepreneurial retail brand builder. Strangely, for a book that celebrates original thinking, Wharton Publishing (an imprint of Pearson, owner of the Financial Times) opted for a title that echoes Jim Collins' best selling Built to Last. But this is a far more wildly discursive production, ranging from tips on signing a good lease, to the importance of a unified concept of design, to plain old-fashioned business street smarts.
Trying to get a grip on the economic demographics of a potential location for a new store or restaurant? Check out the clothes hanging in a local dry cleaners (too many shirts is bad news). Or assess the range of ethnic foods available in a local supermarket - greater variety in an up-market supermarket means more adventurous shoppers.
But it is the anecdotes from Starbucks' evolution, and from Rubinfeld's subsequent career as a brand development consultant, that drive the book forward. From store design and location to "high touch" customer service, the brand's expansion provides the paradigm for the value of combining imaginative planning with hard-nosed execution.
The author describes, for instance, how a design team came up with the concept of using design "touchstones" of earth, fire, water and air that were supposed to evoke the development of the coffee bean (growth, roasting, brewing and aroma). Sounds zany, perhaps, but it inspired the palette of colours used and the organic feel of the stores, and in turn shaped other decisions, such as the choice of round, rather than square tables, aimed at creating a less formal mood that made customers more relaxed.
Taken all together, the design concept worked in a way that the company's rivals found impossible to emulate with attempts�to mimic any individual element such as the wallpaper, or the lighting.
The process also resulted in a kit-of-parts approach, where 80 per cent of every new store could be fitted with a selection of mass produced standard components, with local designers then given leeway to customise the remaining 20 per cent to meet the conceptual requirement of individuality. The stores in turn were being directed to areas selected by both economic and educational demographics, with the exact location of each initial bridgehead outlet individually chosen for its high-profile impact.
Sometimes the authors' principles seem self-evident, such as seeking staff who are prepared to make eye contact with the customers. But there are also enough failures around the world's shopping zones to suggest there's a pretty big market for instruction, and he tells his stories with the enthusiasm of a man who clearly loves the detail of retail.
You can feel his pain over the foolishness of a cashier at the head of a long check-out line asking customers whether they had found everything they wanted. Or his discomfort over dirty tables in an ice-cream parlour, or chefs cooking out front in an Italian restaurant wearing tatty sneakers and scruffy beards.
This is the nitty-gritty of the competitive retail war being waged across the US, and elsewhere too, in the battle to persuade customers to differentiate. At its heart, he argues, is the struggle between two visions of the retail future - "the death spiral of commoditisation and price wars or the life spiral of creativity, quality and differentiation".
The big brands are increasingly seeking to personalise the impersonal - Wal-Mart already has its greeters at the door whose job is to make customers feel wanted.
For Rubinfeld, the smaller retailer will only survive in what he calls the "New Age of Retail" by defining a defensible lifestyle or speciality niche. And once there, they need to secure a position with "high touch and human engagement". After all, that's how Starbucks persuaded people to spend all that money on what is, well, just a cup of coffee.
�Review in Library Journal, May 1 2005
RUBINFELD, ARTHUR & COLLINS HEMINGWAY. Built for Growth: Expanding Your Business Around the Corner or Across the Globe. Wharton. 2005. c.256p. index. ISBN 0-13-146574-0. $26.95. BUS
Creating and developing a retail brand can be challenging, but as businessman Rubinfeld and coauthor Hemingway maintain, it must be done properly. Rubinfeld knows whereof he speaks, having played a role in Starbucks's retail expansion and worked on Oakley, Gateway, Adidas, and Washington Mutual brand-building campaigns. The authors intend the book to
be "a valuable primer on all aspects of retail: brand, location, people, finance, property management, expansion strategy and long-term thinking." To that end, they advocate a three-step approach-ideate, create, and execute-which, in a nutshell, translates into formulating ideas for a business, creating viable business solutions, and then successfully
following through. While the importance of "location, location, location," high-quality retail design, and optimal customer service may seem obvious, the authors stress that these are in fact vital and often overlooked retail
building blocks. An informative read for both beginners and seasoned retailers, this outstanding book abounds with insightful case studies and expert advice that should enhance the success of any retail brand.
Recommended for public libraries and all business collections.
- Richard Drezen, Washington Post/New York City Bureau
�
Most helpful customer reviews
12 of 12 people found the following review helpful.
Great Overall book
By L. Crim
I am only half way through this book and have more than gotten my money worth. I am not a retailer but a service business owner and would still consider this a must read. If you like Good to Great, you will like this as well...
15 of 15 people found the following review helpful.
Built for Growth - The Starbucks Way
By Tom Ewalds
Built for Growth was an extremely thought provoking and eye opening read. Rubinfeld and Hemingway asked themselves a crucial question: 'What makes the growth of truly exceptional companies different from the other companies?' - by answering which, the authors have discovered timeless principles that distinguish growth strategies of outstanding companies.
Of all books on business strategy, this one packs a rare combination of academic rigor, practicality and insight.
As a current business student with a summer internship in a "Built for Growth company," I was amazed as their careful analysis rang true. This is one book I can highly recommend to any student, professional, or business educator looking for those not-so-subtle traits that characterize a truly "Built for Growth" company!!
14 of 14 people found the following review helpful.
Add This to Your Buisness Bookshelf
By Thomas E. Hanrahan
Rubinfeld and Hemingway identify their audience by asking a simple question, "Who doesn't want to run his own business?" Then they segment the audience between the young who "think about it from time to time" and the old who "wish [they] had opened that little shop before the kids came." I fall in the latter category. Still this book offered me much to consider.
The chapter most directly relevant to me described how to create, train and motivate an effective organization. It was written in the context of hiring a retail team, but the authors' advice carries over well to creating organizations in general. In the hiring process, dig beyond the resumes. A person's values and abilities are the characteristics that make them succeed, not their pedigree. Get past the formal questions quickly and ask less formal ones, ones the interviewee can't anticipate and prepare for in advance and ones that reveal their core values. Look for "utility players," people who can adapt their experiences to different situations. Don't rush the hiring process. Make sure you find the right person and once you do, immerse him or her into the culture of your company as quickly and completely as possible. To get the best you need to be able to tell a compelling story for why that person should want to work for you. You, the hiring manager, need to prepare as much as the interviewee.
Throughout the book, Rubinfeld and Hemingway stress the importance of articulating your core values when you define your retail business and suggest an exercise: Create a mantra of three words that captures your values, then in a sentence or phrase, explain how each word reflects your values. The examples they give for the companies Il Fornaio Cafe and Bakery, Omaha Steaks and Gateway Computers are instructive for retail purposes, but it occurred to me that this was a valuable exercise even for my own personal values and I took the time to work through my own mantra.
The strength of the book is definitely Rubinfelds' experiences working with companies either as an employee or a consultant. The authors use those experiences effectively to support their views about what it takes to create first-class retail businesses. The stories of Starbucks, Blue C Sushi, Potbelly Sandwiches and others are each interesting in their own right and they are told over the course of the book in an interesting fashion.
"Built for Growth" is a book worth reading and keeping on your bookshelf next to other classic business books like Jim Collins's books "Build to Last" and "Good to Great" both of which are referenced by Rubinfeld and Hemingway. If you found the Collins books interesting, you'll enjoy "Build for Growth."
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