Starbucks Cuts Prices in China Amidst Stiff Local Competition
Creatrip Team
a year ago
Starbucks, the world's largest coffee franchise, is reducing prices on its non-coffee menu items in China amidst stiff competition from local brands. From November 10, items like Frappuccinos and tea lattes will be discounted by an average of 5 yuan (approximately 94 cents USD). The move aims to attract more afternoon customers by promoting the non-coffee beverages, as the Chinese coffee market growth stagnates while the milk tea (bubble tea) market continues to grow. Despite being China's largest market outside the US, Starbucks has struggled with reduced same-store sales and fierce competition from emerging local brands offering affordable options.
