• Jacob Ng

Why aren't there many Starbucks in Australia?

So, the other day, I was walking down the Bourke Street Mall and I saw a Starbucks. Now, to all you foreigners, this may not mean much, but this is probably one of the only Starbucks in Australia that I had seen. As I kept thinking about this, I decided to do some research.

In most cities around the world, you can find a Starbucks at virtually any corner. Actually, at one point, Starbucks had nearly a hundred stores in Australia. This may not seem like a lot compared to the USA, which has over a thousand, but this small number of 100 is already more than triple the amount in Australia now.

Australia and Australians are known for their love of (good) coffee. The problem with this is that most Aussies won't just settle for your average blend. They would much rather go to a local coffee store which they trust. The bar is raised so high that even Starbucks couldn't crack it. They accumulated over $100 million in losses and were forced to close most of their stores.

In 2014, Starbucks Australia was sold to The Withers Group, the family who owns 7-Eleven. Their change of plans incorporated trying to ease back into the competition and trying to adapt more to the Australian coffee culture.

Starbucks is now targeted more at tourists who want a sense of familiarity. According to a wise man, the coffee there is not very good and even Macca's McCafé is better. Other chains such as Gloria Jean's and McDonald's have successfully penetrated the Australian market, but can Starbucks do the Same?

#food #coffee

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