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Starbucks Card
Posted Wed August 6, 2008 1:53 pm, by Paul L. written to Starbucks
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I am truly upset with several recent trips to different Starbucks locations, in which my Starbucks Card could not be used because the "machine was down" or they "don't accept the card".
This happened to me in Newark Airport, Las Vegas Airport, several hotels in Vegas and San Francisco; and on several separate occasions over a one month span.
The main reason for the card is to limit the hassle of having change or breaking bills in an airport (and let's face it $3.25 for an Ice Tea boarders on obscene). To prevent me from using the card is akin to a holding my money hostage. To me this is as unthinkable; it is no different than not being able to get my money out from a bank. While Starbuck Accounting Dept has already posted my card balance to your "books" as a profit, no actual inventory has been released for it. It's a win-win for you, boarding on a scam.
If you are having problems with your machines, than you should have a manual way to do the purchase or the beverage should be free.
Please contact me so that I may further discuss this issue with a representative.
If you are having problems with your machines, than you should have a manual way to do the purchase or the beverage should be free.
If the store has the name Starbucks, they should take the card, you would turn a cash sale down cause the cashier cant count.
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by Floyd4456 Posted Fri August 8, 2008 @ 9:33 PM
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Actually, its not considered a profit until the money is redeemed for merchandise. That's the way it works in my restaurant (a gift card sale does not count as actual sales), and I am pretty sure it works the same elsewhere.
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I always prefer to use cash, less hassle, and widely accepted!
Good Day
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Wow...at least this wasn't in Washington State! Whew!
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by Alex DeLarge Posted Wed August 6, 2008 @ 4:34 PM
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>> While Starbuck Accounting Dept has already posted my card balance to your "books" as a profit, no actual inventory has been released for it. It's a win-win for you, boarding on a scam.
This is not true. A gift card, by law, needs to be recorded as a liability. The cash that they receive may not be fulled "booked" until the card is used. A public company may not, for example, sell $100,000,000 in gift cards and call it $10M in revenue and (nearly) $10M in profit until the card is actually used. Take a look at Sarbannes-Oxley as well as certain elements of GAAP (Generally Accepted Accounting Principals). Also, since Starbucks is a public company, there are bound by additional SEC rules.
So, while I sympathize that there are Starbucks locations (I travel often and know what you mean by airports) don't accept these gift cards, don't base your argument on an incorrect understanding of accounting or the law. I also sympathize about machines being down, but as a frequent Starbucks customer, I know that if I have to pay cash today, I can always use my gift card another day. No big deal.
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by Donno Posted Wed August 6, 2008 @ 2:14 PM
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Oops - looks like you missed this in your Starbucks Card agreement. The critical word is 'participating'.
"If you are having problems with your machines, than you should have a manual way to do the purchase or the beverage should be free."
Interesting policy. Maybe you should apply for a job at Starbucks corporate, and bring up this idea during the interview.
I have had cards for several establishments, and many of these places have at one time or another not been able to process the card. You have lumped together oranges and apples, so there is no way to determine the % of times this was caused by a computer problem.
You have a Starbucks card and you are complaining about the prices? Those two seem incompatible. I just assumed anyone who went in there had far more money than they needed.
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Perhaps their "machines being down" is somehow (?) related to the company's current financial woes? I don't know. But I sure would be aggravated, as you seem to be, if this kept happening to me. I find it to be rather suspicious that this problem is spread out over such a wide area.
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