Starbucks Expands its "Experience" Layout to Sell a Different Consumer Feeling

In October, Starbucks, which already has 12,000 stores worldwide, announced that it will increase the number of its branches worldwide to 40,000, which will exceed the existing scale of the chain giant McDonald's. In its ambitious plan, China, Russia, Brazil, India and Egypt will become the focus of overseas markets.

It is worth noting that Starbucks has also strengthened the power of the company's music business and is working with Apple Inc. to create a Starbucks-branded music shop within Apple’s flagship online music store, iTunes. This coffee shop, founded in the early 1970s by three coffee-loving college students, is selling a new lifestyle by selling coffee.

Slightly aggressive expansion plan

Starbucks has just opened four stores in the ten years since Seattle was born. After Schultz bought Starbucks in 1987, this coffee shop, which had no reputation at the time, began its expansion in the United States and even in the world.

However, the plans announced by Starbucks on October 5 are still slightly more aggressive than ever. Previously, Starbucks set goals for its next 3 to 5 years of development: to open 15,000 stores in both local and overseas markets, increase annual revenue by 20%, and increase annual profit growth between 20% and 25%. . The new plan will raise the target to 20,000 each.

Starbucks will face many new markets. It is reported that the company will set foot on the African continent for the first time by collaborating with MH Alshaya (a well-known retailer in the Middle East) and set up its first store in Cairo at the end of this year. It will also join forces with MH Alshaya to enter the Russian market; Starbucks in Brazil will be in 2007. Open stores in Sao Paulo; in India, the company is looking for partners, industry forecasts, New Delhi and Mumbai will be the first stop for Starbucks to enter India.

Starbucks plans to open stores in 40 countries around the world in 2007. By 2011, the company's overseas markets outside the United States will reach 54 countries and regions.

In these markets, China will become the focus of development. Starbucks coffee business international president Martin Coles said: "The number of Chinese stores should have thousands, not hundreds." Wang Chaolong, president of Midea Starbucks, also stated that China will become Starbucks' largest outside North America in the next few years. .

Starbucks in tea world

Starbucks' ability to develop new markets has always been respected by the chain industry. In fact, Starbucks entered China far later than Nestlé. Until the 1990s, most Chinese consumers had only the concept of "refreshing" about coffee. In a tea country like China, drinking coffee was once regarded as a kind of "false foreign devil" behavior, and the coffee shop once had some embarrassing colors. However, after entering the Chinese market in 1999, Starbucks has achieved very good results.

In China, the total number of Starbucks stores has increased to more than 200, and new self-owned stores have also been opened in second-tier cities such as Qingdao, Dalian and Chengdu. Schultz, the company's president, and Starbucks executives declined to disclose specific sales figures in China, but said sales were generally higher than company expectations.

Schultz said, "China is the most important market for companies seeking new growth. Regardless of current or long-term considerations, China has become the company's strategic focus. The opportunities we have in China are unparalleled."

Schulz does not have any worries about a society where Chinese tea culture is dominant. In his view, young people in the city have become the mainstream people who come to Starbucks for consumption. Such consumption habits will be passed on quickly. Moreover, in Japan, which is also a country of tea, Starbucks has 600 stores, and China obviously has more potential.

The appetite for consumption in the second-tier cities in China and the gradual formation of Western-style catering habits are currently valued most by Starbucks, and the opening of new stores in second-tier cities is also wholly owned by Starbucks, and there is no dispute over equity and cooperation.