Here we will see about the Why is Starbucks so expensive?
Coffee tops most consumed beverages in the whole world. 166.63 million 60 kilogram coffee bags were guzzled in the year 2020-21.
Worldwide Starbucks leads coffee enterprises globally.If coffee snaps your head Starbucks’ name pops up! It is considered one of the most sprightly growing chains too. In past years it has hyped like anything.Every day, when one thinks of going to work in the morning, having a great coffee will top our list, to kick start our day.
However, millions of people prefer Starbucks over any other place to get their coffee from, it has been criticized for its overpriced food and beverages. One must wonder why Starbucks is so expensive, and difficult to afford as our everyday go-to place. If you are wondering the same, here are a few reasons to understand;
Maintaining prime location costs a fortune to Starbucks:
Luxurious coffee brand, Starbucks is. And to open a store in the locality they go through a whole marketing analysis to understand whether that place is embellished enough to afford a Starbucks store or not, Starbucks is a well-known face of the coffee industry it had to have a totally amazing place to lean upon, lending such prime locations cost the company a fortune, and Starbucks has this evident prime location thing since forever. Maintaining the same requires capital.
Staff and services costs and their health insurance:
We aren’t unaware of the fact that to run a business it is most important to have a well-functioning staff who can offer absolutely tremendous service to customers and satisfaction being a topmost priority, Starbucks hires qualified graduates, paying off their salaries requires some good cash too. Additionally, Starbucks covers its employees with health insurance benefits too. They make it all through the coffee and food business only.
Training of staff members and covering up their drops:
We know how trained and managed Starbucks is. That all requires good training for the employees to run it smoothly, even at rush hours. The staff is trained not just to make and serve food and beverages but also to deal with the crowd. Specifically, mornings till 10 is considered as peak time, as that’s the most common office hours. Extra staff is appointed for mornings and evenings peak time. They won’t scream no matter what.
Interior and infrastructure require capital:
Another thing famous about Starbucks is their infrastructure and interior, which have some standards to be maintained, they created an aura for coffee lovers. Now maintaining the same too will ask for the capital run.
Overhead expenses:
Starbucks is based on superior customer service, convenience, and impeccable digital experience and adds on safe, clean, and well-maintained stores that mirror the personalities of the communities for whom they work. By that means building a high degree of customer loyalty. expenses like electricity, equipment, supplies and yes how can we forget marketing and advertising. There is a whole tribe working behind the curtain. Their company runs on concrete executors who plan everything, they too need to pay off their bills!
Keeping a check on a variety of products and covering its debt:
Starbucks has a lot to offer to its customers, whether it is about coffee blends or concentration, or food menu scrolls. Starbucks has added a lot to its menu since it came up in 1971. And has to do the same to keep a check with the globalized world. Additionally, they have to store extra supplies in case of raised demand and if it isn’t used, they have to cover its loss too.
These specifically are the reason for Starbucks’ expensive coffee and beverages.
There are 33833 stores in 80 countries, out of which 15444 are located in the UNITED STATES itself, as per November 2021. Consistency and quality would be a lot of labor and capital consuming.
Frequently Asked Questions
- How to afford Starbucks coffee at a lesser price?
The easiest way to save one’s money at Starbucks is by getting the Starbucks Rewards program. One can have access to free food-drinks, several discounts, absolutely free refills, treats on birthday ,exclusive offers, paying with the mobile app by moving ahead in the queue, and a personalized gold card for you that will add more benefits.Starbucks Rewards program, provides you a free birthday treat one can redeem using the Starbucks app.
- What are the best coffee options at Starbucks?
- Caffè mocha, vanilla latte, venti coffee tops the list.
- What are the most preferred things to eat in Starbucks?
- Double smoked bacon cheddar and egg sandwich
- Lemon loaf
- Chicken artichoke on ancient grain flatbread.
- Protein bistro box.
- Peanut butter cup cookie.
- Where can I get a Starbucks card and what it is?
- Physical Starbucks cards are available in all Starbucks stores, one can download the Starbucks app and add their card there. Starbucks Card is a prepaid card that can be used for payment at any Starbucks store.
