The big plan to turn Starbucks around in South Africa

Toxic T

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Their prices need to be more competitive and their menu needs a revamp. The last time I went in, they did not have all the different types of coffee or drinks that they make clearly visible.
 

neoprema

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I love Starbucks, don't understand why they not doing well here. I often go sit there and work with my coffee and a snack.

They must just being Nitro Brew for summer! :love:
 

ToxicBunny

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From my point of view, the only way Starbucks has a hope of being successful in SA is if it follows the Seattle model and gets locations in Garages... We don't have a very pedestrianised culture in this country
 

Corelli

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That Xpresso R10 shop really annihilates everyone else. A donut, coffee or cake slice for R10. Let alone Quiches etc.

And then you goto starbucks and pay upto 6x more? Some places are pricing them out of the market. Dunkin started to do that and failed. Cassis is another and Melissa did too.

The idea is to keep it affordable yet delicious then you will sell due to your popularity. Hike up the prices and people will go elsewhere instead.
 

backstreetboy

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Daylight robbery that's why. I can make a great coffee at home with my trusty DeLonghi for about R4.
 

Corelli

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And follow the Mcdonalds plan. Own your property. Maybe think of tourist routes. Ie a Starbucks on the way to Hermanus or a popular route.
 

neoprema

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From my point of view, the only way Starbucks has a hope of being successful in SA is if it follows the Seattle model and gets locations in Garages... We don't have a very pedestrianised culture in this country
I think Bunny's onto something here!
 

satanboy

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Cape Town is one of those markets that we going to have to earn our customers - one cup at a time

— Carlo Gonzaga, CEO of Taste Holdings
30 May 2017
There is no Starbucks in the country's fashionable tourist hub of Cape Town, despite Taste announcing plans to open there as far back as November 2017.
www.businesslive.co.za
26 December 2018
Has this changed?
 

bwana

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They're going to need a lot more than the 12 stores they currently have.

They need drive through Starbucks - something like a shipping container size would be ideal. Scatter them all over the place.
In response, the stores have been using a milder blonde roast, which has already proven to be more popular and is expected to continue to help draw in customers.
At least they're making allowances for the weaker SA palate.
 

ToxicBunny

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They're going to need a lot more than the 12 stores they currently have.

They need drive through Starbucks - something like a shipping container size would be ideal. Scatter them all over the place.At least they're making allowances for the weaker SA palate.
Precisely this... they need hundreds of small locations rather than bigger footprint stores.
 

eg2505

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honestly, Starbucks is famous overseas, but locally there are better/cheaper ways of getting a cup of coffee

they need to compete with those locally stores.
 

TheFriendlyGhost

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They should at least make their coffee according to the same standards as they do around the globe. Their coffee/caps here in SA are terrible
 

paul5186

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In CPT there is over 5 coffee places 100m away from my work. No need for another.
 

LCBXX

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Average-bad coffee at US$-ZAR converted prices. I can't understand why they're failing?
 

Cius

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Jan 20, 2009
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The market for overpriced on the go coffee is saturated. Here in Sandton there are like a 10 places to chose from in a 2 min walk. Starbucks is just not competitive with local providers in terms of price and quality and hence they will fail. The days of "I'm an american company hence you have to love me!" are over. McDonalds rode that wave but lets face it, they also came in with decent value for their meals. You pay way less for McD meals in SA than in America, where for starbucks they seem to think they can charge US prices:

 
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