Danny Evans: Why Starbucks Doesn’t Connect With Gen Z Anymore | DSH #1711

Summary

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Podcast Summary:

Digital Social Hour — Episode #1711: Danny Evans: Why Starbucks Doesn’t Connect With Gen Z Anymore
Host: Sean Kelly
Guest: Danny Evans (CEO, 27 Club Coffee)
Date: December 27, 2025

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Overview

This episode features Danny Evans, the CEO of 27 Club Coffee, discussing the rapid evolution of coffee culture among younger generations and how major chains like Starbucks are losing touch with Gen Z. The conversation covers innovation in the coffee space, the integration of culture and streetwear into beverage brands, consumer health trends, and how 27 Club Coffee (founded by Machine Gun Kelly) is positioning itself both as a product and as a cultural hub.

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Key Discussion Points & Insights

1. Trends in Beverage Consumption and Gen Z Preferences

• Shift Away from Alcohol:
  Evans highlights how younger generations are drinking less alcohol and searching for fun, meaningful connections with non-alcoholic beverages, particularly coffee.
  • Quote (Danny Evans @00:00):
    "There's so many kids out there now. Like, the world's evolved and kids want something different. Like they're looking for a void in the coffee space... the youth is drinking less and less alcohol. They're looking towards other beverages that can kind of still provide them with a fun lifestyle and a connection to the product."

2. The 27 Club Coffee Story and Approach

• Brand Origins & Unique Angle:
  • 27 Club Coffee was started by Machine Gun Kelly; Evans now runs the business.
  • The company incorporates streetwear and music culture into its branding, blending the "cool" factor of apparel with high-quality coffee.
  • Quote (Danny Evans @00:53):
    "I have a history in the apparel business, which... works well with what we're trying to do at 27 Club. Just with, like, blending a little bit more of... the streetwear style, the streetwear culture into coffee. Making coffee fun, doing cool collaborations..."
• Standing Out in a Crowded Market:
  • Focus on product quality and visual appeal draws in younger, culturally engaged consumers.

3. Sustainability and Health Movements in Coffee

• Innovative K-cup Pods:
  • Launching soon: natural, compostable K-cup pods—an alternative to plastic-heavy competitors.
  • Quote (Danny Evans @01:20):
    "We’ve got coffee pods... no plastic, all natural, compostable... they stand out from the other pods that are on the shelf."
• Health-Conscious Menu:
  • The Cleveland cafe offers a menu catering from health-forward vegan options to indulgent treats.
  • Quote (Danny Evans @05:08):
    "We have a full vegan menu in Cleveland and we've got something for people who are super, super health conscious. And then we have stuff that's a little more, you know, sugar based and want to have something that just tastes delicious..."

4. Physical Presence & Expansion Plans

• Cleveland as Flagship:
  • The only current physical location is in Cleveland, chosen for MGK’s hometown connection.
  • Plans for further expansion in other cities slated for 2026 and beyond.
  • The cafe features a full menu and bar, striving to be a vibrant community space rather than just another coffee shop.
  • Quote (Danny Evans @02:38):
    "It's a really vibe out. Awesome location. So anybody's ever in Cleveland, like, they should really go and try and check."

5. Why Starbucks Doesn’t Connect with Gen Z

• Cultural Disconnect:
  • Evans notes Starbucks and legacy brands are missing the mark with younger consumers, who crave authenticity, innovation, and cultural connection.
  • Quote (Danny Evans @03:14):
    "You have people that... live and die by Starbucks. But there's so many kids out there now... kids want something different. Like they're looking for a void in the coffee space."

6. Influence of Celebrity & Leadership

• Machine Gun Kelly's Involvement:
  • MGK is highly involved beyond branding, investing creatively and operationally.
  • Evans stresses MGK’s commitment to vision and detail, avoiding superficial, purely financial celebrity endorsements.
  • Quote (Danny Evans @05:38):
    "He won't get involved with a product or a brand, you know, just because they're writing him a check or for financial reasons... we have a vision for what success looks like and, you know, we want to stick with that with the coffee company."

7. Retail, Merch, and Collaborations

• Sales & Distribution:
  • 27 Club Coffee products are sold online and recently partnered with Kroger in the Midwest; expansion of both retail and merchandise is ongoing.
  • Cross-overs with music and fashion (streetwear merch/collaborations) attract culturally engaged fans.

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Memorable Quotes

• On Gen Z & Coffee:
  "Kids want something different. Like they're looking for a void in the coffee space."
  — Danny Evans (@00:00, @03:14)

• On 27 Club Coffee's Unique Vibe:
  "Making coffee fun, doing cool collaborations, making it as much about... the quality of the product and also visually..."
  — Danny Evans (@00:53)

• On Sustainability:
  "No plastic, all natural, compostable... those are, you know, they stand out from the other pods that are on the shelf."
  — Danny Evans (@01:20)

• On MGK’s Leadership:
  "He won't get involved with a product or a brand... just for financial reasons... we have a vision for what success looks like and... we want to stick with that..."
  — Danny Evans (@05:38)

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Timestamps for Major Segments

• 00:00–01:14 | Gen Z beverage preferences & origin story of 27 Club Coffee
• 01:14–02:24 | Differentiators: Quality, sustainability, and cultural branding
• 02:24–03:11 | Location, physical presence, and experience at 27 Club Coffee Cleveland
• 03:11–03:43 | Starbucks vs new generation — Why legacy chains are falling behind
• 05:05–06:22 | Menu offerings, health focus, and working with Machine Gun Kelly
• 06:22–06:53 | Sales channels, merch, expansion, and community involvement

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Episode in a Nutshell

Danny Evans explains the cultural, environmental, and product-driven strategies that set 27 Club Coffee apart in a saturated industry. By turning coffee consumption into a lifestyle anchored in music, art, and sustainability—and by deliberately addressing the needs and desires of Gen Z and health-conscious consumers—27 Club Coffee positions itself as a viable and vibrant alternative to old-guard brands like Starbucks. Machine Gun Kelly’s deep involvement reinforces the authenticity and vision behind the brand.

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Transcript

[A]

There's so many kids out there now. Like, the world's evolved and kids want something different. Like they're looking for a void in the coffee space. And especially now, you look at the statistics and the youth is drinking less and less alcohol. They're looking towards other beverages that can kind of still provide them with a fun lifestyle and a connection to the product. So, yeah, it's an exciting time, I think, for us.

[B]

It is interesting. When I was younger, I never drank coffee, never even craved it, but now I love it and I don't like alcohol anymore. Foreign guys, first episode of Complex Con. We got Danny Evans. Of course, we got to get some coffee. It's nice and early. Right? 27 Coffee is your company, right?

[A]

Yeah, 27 Club, started by machine Gun Kelly. I'm running the business for him now. It's been exciting. Lots of stuff happening. We're excited to be here at Complex Con. We've done the Family Food Fest in LA last year, but this is our first time at Complex Con.

[B]

Nice. Quite the transition from apparel, right? From Ethica.

[A]

Yeah. So I have a history in the apparel business, which I think works. Works well with what we're trying to do at 27 Club. Just with, like, blending a little bit more of, you know, the streetwear style, the streetwear culture into coffee. Making coffee fun, doing cool collaborations, making it as much about, you know, the quality of the product and also visually and stuff like that. So Complex Hotel, I think it's the perfect blend.

[B]

Yeah, absolutely. I'd imagine it's a pretty competitive industry, I guess. How do you stand out from all the other coffee companies?

[A]

Yeah. So, I mean, at the top of the list is just quality, Right? Like, you want to make sure you have a quality product and that's what's going to come. Keep people coming back to be repeat customers. So we focus on, like, we've got coffee pods, these K Cup pods, launching in a couple weeks. That is. We're really proud of this product. Like, no plastic, all natural, compostable, like. And so those are, you know, they stand out from the other pods that are on the shelf. And then on the aesthetic side, we try to create something that appeals to kids that just care a little bit more about culture and music and fashion and just want something that that's just not as, you know, bland and boring as maybe some of the traditional coffee breaks.

[B]

Yeah, that's a good point, man. I actually stopped using my Keurig because I found out about the pods, how they have plastics and metals. Right. Yeah.

[A]

Most of them are not good for you.

[B]

Crazy.

[A]

Yeah.

[B]

So convenient. But at the same time, you got to value your health.

[A]

Yeah. So that's something that we're super excited about to be able to launch that product here in a couple of weeks.

[B]

Yeah, that's. There's a big movement against plastic right now, it seems like, Right?

[A]

Yeah, yeah.

[B]

Even in apparel, I noticed some brands are kind of stepping up.

[A]

Yeah. If you can avoid it, like, why not? You know? So.

[B]

So you guys got one physical location, right?

[A]

Yeah, the first. The first location's in Cleveland. The first and only location. Right now we have another location. We haven't announced where it has. It. It is yet, but we're going to open that probably Q2 of 2026.

[B]

Nice.

[A]

And then we're looking at a number of other cities. So we're going to have some pretty rapid expansion here in the next couple years with the physical locations. But the Cleveland location is awesome. Kelly's from there. He puts on for that city really, really hard. It's a full cafe, so we have a menu with some amazing food items. Breakfast, brunch, a full bar with cocktails. And it's just, it's a really vibe out. Awesome location. So anybody's ever in Cleveland, like, they should really go and try and check.

[B]

I'll definitely stop by. Man, sounds better than Starbucks.

[A]

Yeah, absolutely. It'll be a place you want to spend some more time in and hang out.

[B]

There's so many Starbucks. There's got to be thousands of them, right?

[A]

Yeah, exactly.

[B]

I mean, they've grown. Like, same with Dunkin. Duncan's a big one. Yeah.

[A]

And it's, you know, you have people that love by Starbucks, Live and die by Starbucks. But there's. There's so many kids out there now. Like, the world's evolved and kids want something different. Like they're looking for a void in the coffee space. And, you know, especially now, you look at the statistics and the youth is drinking less and less alcohol. Like, they're. They're looking towards other beverages that can kind of still provide them with a fun lifestyle and a connection to the product. So, yeah, it's an exciting time. I think for us.

[B]

It is interesting. When I was younger, I never drank coffee, never even craved it, but now I love it and I. I don't like alcohol anymore.

[A]

Yeah. You know, I mean, especially as you start getting older, you're like, oh, this doesn't really make me feel as good. Yeah.

[B]

No, these days it's all about health. I've had some guests on the show talk about how there's some mold in certain coffees.

[C]

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[B]

So for me, good quality coffee is super important.

[A]

Yeah, no, I, I completely agree. Like, we take that into, into thought every time we come out with a new roast, a new product and just kind of our menu as a whole. I mean, we have a full vegan menu in Cleveland and we've got something for people who are super, super health conscious. And then we have stuff that's a little more, you know, sugar based and want to have something that just tastes delicious as a cheat meal or something. Right. So we cover the full spectrum.

[B]

What's it like working with mgk? Because sometimes celebrity brands don't work out. But is he pretty involved?

[A]

Yeah, I mean, he's as involved as you could be. Right. Like, it's really inspiring. The reason that I came on board with him, I've known him for quite some time and his vision and his attention to detail and how much he cares about something. He won't get involved with a product or a brand, you know, just because they're, they're writing him a check or for financial reasons. So, yeah, I think that someone who, you know, has a vision for himself and is, is willing to stick to that no matter what, despite what the media or the mainstream or what other, you know, in our case, what other brands are doing or what trends are out there, it's like, no, we, we have a vision for what success looks like and, you know, we, we want to stick with that with the coffee company, and. And he's such a great leader and owner because that's how he's kind of built his whole career. I love it.

[B]

Where can people watching this buy it and support you guys?

[A]

So we sell online27clubcoffee.com. We sell our roast. We're launching the pods online. We have some really cool merch, which also ties back to kind of the whole streetwear vibe. We're constantly doing, like, collaborations with coffee. With merch. We just have a part. We just launched a partnership with Kroger in the Midwest. So the coffee beans are now available in Kroger. The pods will be there soon. And then in Cleveland, man, come. Come to the. Come to the cafe. Come to the spot. Check it out.

[B]

Yes, sir. If I'm in Cleveland, I'll hit you up, man.

[A]

Yeah. Thank you, Sean. Yeah.

[B]

Thanks for coming.

[A]

Peace.

[C]

I hope you guys are enjoying the show. Please don't forget to like and subscribe. It helps the show a lot with the algorithm. Thank you.