Why There Is No Starbucks In Australia You Know Why?
Australia is the largest coffee market in the world. This could be a surprise for you that the largest coffee chain Starbucks is nearly unavailable in Australia.
Starbucks is a world-leading chain of a coffeehouse. It is one of the most successful chains. It has branches almost in every corner of the world. But you know Starbucks failed to make an impact in Australia.
Starbucks got a loss of 105 million dollars (htt) and forced to close its 61 stores across the country. Starbucks failed miserably in Australia.
There could be many reasons for this. The coffee king chain which is successful almost every part of the world failed in Australia.
First of all, they thought that their business model needs no modifications. It didn’t fit to Australian’s taste. Every region has its own specifications and taste buds but Starbucks failed to recognize Australian taste buds.
As we see Macdonald’s expansion in India. Macdonald focused on its veg-products because most of the Indian population is vegetarian.
Australians have many options. There were brands like Gloria Jeans and Michel’s Patisserie. These brands fulfilling the need for Australians. They were making amazing western coffee and Australian were in love with them. Today Gloria jeans hold the most coffee industry share in Australia. It covers most of the market.
One more reason that Starbucks focused on expansion. They didn’t wait for customers. Within no time Starbucks was everywhere in Australia. They did not penetrate into the market slowly. In 2008 Starbucks announced to shutdown 61 stores across the country.
But you know although Starbucks failed to create an impression on Australians, across the globe it is very successful. Starbucks grow last year by 7.5%. Last year Starbucks generated a revenue of 26 billion dollars. It has 30,626 retail branches all over the world.