Gloria Jean’s Coffees
Gloria Jean’s Coffees is a franchised specialty
coffeehouse company that has opened more than 1,000
coffee houses across 39 markets worldwide, including
over 460 in Australia. In 2014 Gloria Jeans was purchased by the Retail Food Group for $163.5 million.
holds the right to franchise Gloria Jean’s Coffees in Australia, and purchased the rights to the Gloria Jean’s Coffees brand for all other countries from Diedrich Coffee,
Inc, with the exceptions of the USA and Puerto Rico.
In late 1996, Jireh International Pty Ltd opened the first
Gloria Jean’s coffee house in Miranda, Sydney, and two
weeks later another in Eastgardens, also in Sydney. These
coffee house were set up to test the concept in the Australian market.
[2]
In early 1998, Gloria Jean’s Coffees Australia franchised
its first store and within six years had opened 185 stores
owned and operated by more than 100 franchisees. In
2003, a franchise opened in Darwin; this meant that
the brand was now established in every Australian state,
the ACT and NT.[5] Jireh International Pty Ltd formed
a North American Affiliate, Praise International North
America, Inc.[6] and as of 14 June 2009, which also operates It’s A Grind Coffee House in 13 states.[7] the North
American rights were sold by Diedrich Coffee to the
American Affiliate of the Australian holding company.[8]
In 2013, Gloria Jean’s was set to be purchased by the publicly listed Singaporean company, Yellow Pages Singapore, for $35.6 million. [9] Yellow Pages Singapore later
pulled out of the purchase, and Gloria Jeans was bought
by the Australian Retail Food Group [10]
2 Products
Gloria Jeans sells their own version of the Caffitaly system
capsule coffee machine as well as their brand of capsules.
The Gloria Jeans Caffitaly Capsules are also available at
Woolworths.
Iced Chocolate Chiller served in Harbour Town, Perth.
Gloria Jean’s Coffees recently purchased through auction
an allocation of the whole coffee bean that came fifth
in Brazil’s Cup of Excellence awards, the Lot#5 Norival
Gloria Jean’s Coffees was founded by Gloria Jean Kvetko Favaro – Sao Marcos.
in 1979 in Chicago, USA. Gloria Jean’s Coffees began as
a small coffee and gift shop in Chicago USA which now
has over 110 locations throughout the US. In 1995, Nabi
Saleh and Peter Irvine,[3] former managing director of ad- 3 Corporate governance
vertising agency DDB Needham, visited the United States
to sample the Gloria Jean’s Coffees brand. Saleh and The Gloria Jean’s Coffees business model is a franchising
Irvine identified the opportunity for this brand in Aus- system similar to many fast-food chains. Franchise owntralia, purchasing the international licensing rights from ers have to pay franchise fees and royalties on their sales
Diedrich Coffee, Inc.
as well as operating costs.[11] The organisation’s board
1
History
Saleh and Irvine established Jireh International Pty Ltd consists of chairman Nabi Selah, and directors John
(trading as Gloria Jeans Coffees[4] ), the company that Dwight, Peter Irvine and Andrew Tyndale.
1
2
4
5 CONTROVERSIES
Philanthropy
In Australia, Gloria Jean’s Coffees is one of the longest
supporters of Jeans for Genes[12] and since 2002 has
raised more than $630,000 for the cause.[12] Gloria Jean’s
Coffees also supports a range of other charities including
the Variety, the Children’s Charity, R U OK?, and Salvation Army. In addition to their funding of charities,
they have also funded other Christian organisations such
as Family First, Australian Christian Lobby, Mercy Ministries, Jesus Racing and Hope 103.2 Christian radio. All
franchise partners are also encouraged to support other
local charities or causes in their local communities.
In mid-2009, Gloria Jean’s Coffees International formed
a charity, the GJCI “With Heart” Foundation, to support
various international charities, including Compassion and
Opportunity International.[13] Through their partnership
with Compassion, Gloria Jean’s Coffees supports more
than 300 children from the coffee-producing regions of
Brazil providing them with improved health and education opportunities.
4.1
Environmental certification
Gloria Jean’s Coffees pays a fee to work in partnership
with the global not-for-profit organisation, the Rainforest
Alliance, whose stated purpose is to protect ecosystems
and support the people and wildlife that depend on them.
Gloria Jean’s Coffees was recognised in May 2008 with
the Rainforest Alliance Corporate Green Globe Award,
which recognised the company’s work in supporting
global sustainability in agriculture, forestry and tourism.
Gloria Jean’s Coffees was the first Australian company
to receive the award which is only awarded to companies
affiliated with the organisation. In the 2008–2009 financial year, its signature espresso blend became Rainforest
Alliance Certified and is now available throughout its international network of coffee houses. The company also
previously launched a Rainforest Alliance Certified Single Origin Nicaraguan whole bean coffee that won a Silver Medal at the 2007 Sydney Royal Easter Show. Gloria
Jean’s Coffee products can be labelled 'rainforest alliance
certified' with only 30% of content sourced from sustainable sources.[14]
5
5.1
Controversies
customers.[15] Gloria Jeans now provide nutrition and ingredient information.[16]
5.2 Coffee supply
In April 2010, Gloria Jean’s parent company, Jireh International, was accused of breaking a joint venture agreement with a small US-based coffee supplier, Western Export Services.[17] The matter was resolved in the High
Court, in October 2011, with Western Export Services’
appeal being dismissed.[18]
5.3 Financial support for the Australian
Christian Lobby
In November 2010, in the lead up to the Australian
Federal Election, Gloria Jean’s donated $30,000 to
the Australian Christian Lobby (ACL). ACL were at
this time lobbying[19] for the retention of the Marriage
Amendment Act 2004 which defines marriage in Australia as a 'union of a man and a woman to the exclusion of all others’. It also clarifies that same-sex marriages entered into under the law of another country
will not be recognised in Australia.[20] Whilst, “the Australian Christian Lobby supported the 2008 legislation
to remove discrimination in a whole range of Commonwealth Acts for people in same-sex relationships”,[21] due
to their vocal opposition of same sex marriage, gay adoption, gay access to IVF and the equating of Gay marriage
campaigners to Nazis by their managing director Jim
Wallace,[22][23] they have been categorised as anti-gay by
journalists activists and other members of the Christian
community.[24] This Gloria Jean’s donation and the close
links to the evangelical Hillsong Church have led to an
active national boycott of all Gloria Jean’s stores. Social
media campaigns in support of the boycott on Facebook
(titled “boycott Gloria Jean’s” amongst others) and a petition on Change.org have already notched up thousands of
supporters.[25] As a direct result of this donation, national
youth mental health foundation Headspace pulled out as
a partner of the suicide awareness campaign RU OK, of
which Gloria Jean’s was a major sponsor.[26] Although
this $30,000 donation is listed on official Australian Government records as a political donation, (where donations
can include 'advertising'),[27] and Gloria Jean’s released a
statement on 11 June 2012 stating “this was a once off
donation”[28] both Gloria Jean’s and the ACL now claim
that the monies were provided as advertising.[29][30]
Sugar and fat content
In 2009, Gloria Jean’s were criticized for the sugar and fat
content of some of their products. Analysis of a regular
'Gloria Jeans Mocha Chiller Coco Loco' revealed it contained 95.5 g of sugar, which is 106 percent of an adult’s
recommended daily intake. They have also been criticised for failing to provide nutritional information to their
5.4 Underpayment of Wages
In February 2014, a Gloria Jean’s franchise in the Melbourne suburb of Caulfield was fined $110,000 for under
paying staff following an investigation by the Fair Work
Ombudsman which found that 22 workers were paid as
3
little as $8 per hour (or around half the minimum wage). [18] Western Export Services Inc v Jireh International Pty Ltd
[31]
6
[2011] HCA 45 (28 October 2011), High Court, retrieved
3 August 2012
See also
• List of coffeehouse chains
• List of restaurant chains in Australia
7
References
[1] eurl=http://www.gloriajeanscoffees.com
[2] “Retail Food Group acquires Gloria Jean’s to create monster coffee company”. Sydney Morning Herald. 24 October 2014. Retrieved 26 October 2014.
[3] “Gloria Jean’s Coffees celebrates BRW magazine “Fast
Franchise” ranking”. Franchise Council of Australia. 29
November 2011. Retrieved 3 August 2012.
[4] “Jireh International Pty. Ltd.: Private Company Information – Businessweek”. Investing.businessweek.com. Retrieved 2012-08-11.
[5] Gloria Jean’s Australia – Our Story.
[6]
[19] “Submission 4512 to the Legal and Constitutional Affairs
Legislation Committee, Concerning the Marriage Equality Amendment Bill 2010”. APH Senate Legal and Constitutional Affairs Legislation Committee. 4 May 2012.
Retrieved 11 August 2012.
[20] “Marriage_Act_1961_(Australia)#Marriage_Amendment_Act_2004”.
APH. 16 August 2004. Retrieved 11 August 2012.
[21] “Same-sex marriage”. 10 February 2012. Retrieved 15
August 2012.
[22] “ACL backs gay Nazi claim | Star Online”. Starobserver.com.au. 15 July 2011. Retrieved 2012-11-07.
[23] Gray, Stephen. “Australian Christian Lobby director
likens equal marriage campaign to Nazi propaganda”.
PinkNews.co.uk. Retrieved 2012-11-07.
[24] “Gloria Jeans boycott “despicable” says ACL on”. Samesame.com.au. Retrieved 2012-08-11.
[25] “Gloria Jean’s leaves bitter taste | Star Online”. Starobserver.com.au. 12 June 2012. Retrieved 2012-08-11.
[26] “Headspace withdraws support for RU OK? Day | Star
Online”. Starobserver.com.au. 15 June 2012. Retrieved
2012-08-11.
[7] “It’s a Grind Coffee House – Wikipedia, the free encyclopedia”. En.wikipedia.org. Retrieved 2012-08-11.
[27] “Australian Electoral Commission Financial Disclosure
Guide for Donors to Political Parties – page 6” (PDF).
AEC. Retrieved 11 August 2012.
[8] “Diedrich Coffee Completes Sale of Gloria Jean’s Coffees Domestic Franchise Operations”. Istockanalyst.com.
Retrieved 2012-08-11.
[11] Franchise FAQ.
[12] “10 years of Jeans for Genes!". Gloriajeanscoffees.com.
Retrieved 2012-08-11.
[13] With Heart
[14] Sean McAllister (25 November 2004). “Fairtrade Foundation or Rainforest Alliance. Who is the fairest? | Life
and style”. London: The Guardian. Retrieved 2012-1107.
[15] Rolfe, John (21 October 2009). “Gloria Jeans, Starbucks
coffee concoctions packed with sugar, fat”. The Daily
Telegraph.
[16] “Gloria Jeans: Drink Menu Nutrition and Ingredient Information”. Gloria Jeans. Jan 2012. Retrieved 2 August
2012.
[17] Pollard, Ruth (19 April 2010). “Coffee giant embroiled
in bitter battle over beans”. The Sydney Morning Herald.
[31] Drill, Stephen (2 February 2014). “Gloria Jean’s outlet
fined for paying workers $8 an hour when company was
not making a profit”. News.com.au=.
8 External links
• Gloria Jean’s
• Gloria Jean’s Australia
• “God’s Millionaires” BRW, May 26 – June 1, 2005
• Gloria Jean’s website
4
9 TEXT AND IMAGE SOURCES, CONTRIBUTORS, AND LICENSES
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Text and image sources, contributors, and licenses
• File:Emblem-relax.svg Source: http://upload.wikimedia.org/wikipedia/commons/0/05/Emblem-relax.svg License: LGPL Contributors:
http://ftp.gnome.org/pub/GNOME/sources/gnome-themes-extras/0.9/gnome-themes-extras-0.9.0.tar.gz Original artist: David Vignoni
• File:Gloria_Jean’{}s_Coffee.JPG Source: http://upload.wikimedia.org/wikipedia/en/0/0a/Gloria_Jean%27s_Coffee.JPG License: PD
Contributors: ? Original artist: ?
• File:Gloria_Jeans_logo.svg Source: http://upload.wikimedia.org/wikipedia/en/2/27/Gloria_Jeans_logo.svg License: Fair use Contributors:
The logo is from the http://www.gloriajeans.com/ website. Original artist: ?