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Starbucks ‘Stupid’ in This Place, Residents Don’t Buy It

Jakarta

In Indonesia, Starbucks coffee chain outlets are quite easy to find, especially in big cities. Although the price of coffee is relatively expensive, Starbucks still has a lot of fans.

Therefore, it is very rare for Starbucks outlets to be empty without visitors. But it turns out that Starbucks success does not apply in Australia. In this Kangaroo Country, Starbucks business is difficult to develop and only has a few outlets.

Even though Australians are known to have a deep enough love for coffee. So what is the cause of Starbucks not selling well in Australia?

Launching from CNBC, Starbucks first entered the Australian coffee market in 2000 and has grown rapidly in that country. In fact, in 2008 this coffee chain had opened almost 90 outlets in various locations.

But instead of profit, the investment of this United States company actually ended. It turned out that Starbucks was considered moving too fast, and growing faster than its popularity.

“When they launched, they launched too soon and they didn’t give Australian consumers a chance to really develop a taste for the Starbucks brand,” said Thomas O’Connor, principal research analyst specializing in the consumer industry at Gartner.

In addition, the coffee culture in Australia that has developed has also proven to be a challenge for this American coffee brand. This is evident from how the coffee chain is unable to compete with local coffee shops.

Investigate a calibaration, the coffee offered by Starbucks was not suitable for Australian tastes. The company serves a sweeter selection of coffee than Australians prefer, all at a higher price than local coffee shops.

Because of that in its first seven years in Australia, Starbucks accumulated a loss of US$105 million, forcing the company to close 61 locations. It’s just that until now Starbucks has not given up on Australia. Since closing in 2008, the company has slowly begun to open more outlets in the land of kangaroos.

(fdl / fdl)

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