From Pit Stop to Third Space: Why Focusing on Experience Will Transform Your F&B

The Starbucks vs. McDonalds Lesson for Golf Clubs: Why Experience Beats Price

Back in the 1990s, McDonald's launched McCafe in a bid to win over coffee drinkers from Starbucks. Their strategy? Sell coffee cheaper. Simple eh?

But Starbucks wasn’t winning because of price. And they certainly weren’t winning because of better coffee.

They won because they understood something deeper: people weren’t just buying a drink, they were buying a place. A third place.

Not home (first), not work (second), but a place to relax, feel welcome, and spend time.

McDonald’s, on the other hand, treated coffee like a commodity. They installed espresso machines, sent a 10-page training manual to their staff, and hoped price would do the heavy lifting.

It didn’t.

Fast-forward 30 years, Starbucks is still thriving, not because of their flat whites, but because of the feeling they create. Comfy seats, free Wi-Fi, baristas who know your name. It’s a ritual, a moment in the day people look forward to. It’s much deeper than a name on a cup…

And this is the part worth reflecting on for your club.

Many golf clubs unintentionally fall into the same trap as McCafe: focusing on price, speed, and convenience, without considering how to create a place members want to stay in.

I’ll be honest: I’ve made this mistake myself.

Running restaurants, I’ve chased price thinking it would drive volume. But what I found is it doesn’t attract more guests — it attracts different guests. Often, it pulls you into a new space, with new expectations, and the inevitable race to the bottom.

Ultimately, the question is simple:

What do your members want and need; and how can you meet — or exceed — their expectations?

Starbucks figured that out early. Their product isn’t coffee; their product is the Third Space (I’m unpacking this idea in a few weeks). A home away from home. A place for community, connection, conversation; whatever the guest wants it to be.

McDonald's, to their credit, have since adapted brilliantly. Breakfast is a key part of their global success today. But in the 90s, with McCafe, they focused on the wrong thing at the wrong time. They chased price, but Starbucks stayed in their lane, listened deeply to their guests, and built a global phenomenon.

Golf clubs face the same choice.

Chasing price can feel like the right move in the short term. But long term, it’s dangerous. When you slow down, tune into your members’ true expectations and needs, and create your own version of that third space — everything else starts to fall into place.

Because in hospitality, it’s never just about the product.

It’s about the place you create, and the people you create it for.

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Quick one — if you’ve not done this yet, my scorecard helps you spot gaps across guest experience, costs, and day-to-day ops. Takes a few minutes and you’ll get a proper report at the end.