Case Studies


Urban Coffee Opportunities (UCO) represents the only partnership Starbucks has entered into in the United States. This innovative venture combines the retail strength of Starbucks with Johnson Development Corporation’s knowledge of underserved communities in key metropolitan cities. Each store implements specific interior designs, color palates, wall murals, plaques, community boards and venue music that reflect the host neighborhoods. UCO stores cater to their diverse clientele by encouraging favorite pastimes such as chess and creating unique programs such as the java lounge that speak to the community. The stores also utilize a grassroots approach by supporting local activities and fostering key relationships with local government officials, community leaders, and nonprofit organizations. These relationships are instrumental in helping UCO stores serve as an economic stimulus by creating new jobs, hiring local suppliers, supporting community-based organizations, and attracting other retailers to the area.

Partner: Starbucks
Locations: 100+
Strategy:

  • Target urban focus
  • Strategic design, branding and events
  • Community outreach and relationships

Economic Impact that UCO Stores Generated in Fiscal 2006 Included:

  1. Providing more than 2,100 jobs
  2. Paying an estimated $29.8 million in salaries/wages and benefits to UCO partners
  3. Providing healthcare benefits to eligible and participating part-and full-time store partners, their spouses, domestic partners and eligible dependent children

24 Hour Fitness joined forces with Magic Johnson Enterprises to introduce Magic-Sport 24 Hour Fitness Clubs. With an emphasis on community and the common vision to make fitness a way of life -- Magic's integral involvement distinguishes these facilities from other 24 Hour Fitness locations and drives high customer sales. Customers are attracted to the state-of-the-art facilities, bilingual staff, Kid’s Club, basketball courts, music selection, events, price points and membership promotions that speak to the community. Magic-Sport locations utilize grassroots marketing techniques to effectively reach their target demographic and inform customers about promotions, discounted initiation fees, low monthly fees and upcoming events. The Fitness Clubs also utilize Magic Johnson Enterprises’ unique cross-marketing channels to provide free passes and encourage fitness by visiting a local club. Additional benefits include basketball tournaments, student/senior discounts, membership sales / guest passes online and periodic visits from Mr. Johnson.

Partner: 24 Hour Fitness Magic-Sport Clubs
Locations: 13
Strategy:

  • Target urban focus
  • Community outreach
  • Awareness and education
  • Incentives and promotion

Membership Results:

  • Magic-Sport fitness clubs active membership exceeds that of the non-Magic brand by 24%
  • Record pre-opening membership sales, within the entire 24 HF system, at all Magic-Sport locations