Secrets Starbucks Doesn’t Want You to Know
by Michael Koretzky
Thursday, September 23, 2010Starbucks announced Wednesday that they’d be raising prices soon, apparently due to higher bean costs.
“Over the last six months a highly speculative green coffee market and dramatically increased commodity costs have completely altered the economic and financial picture of many players in the coffee industry,” said Howard Schultz, the chairman, president and CEO of Starbucks (Nasdaq: SBUX – News). “And while many, if not most, coffee roasters and retailers began raising prices months ago, we have thus far chosen to absorb the price increases ourselves and not pass them on to our customers. But the extreme nature of the cost increases has made it untenable for us to continue to do so and we have been forced to take the steps we announced today,” Schultz added.
Guess I picked the right time to stop drinking coffee. Are we going to see the 5,000 Won regular coffee soon in Korea? They mention a $1.50 tall in the States, I would have loved that here. I’m pretty sure the tall is 3,300 here in Korea, isn’t it?
Let’s also not forget that Starbucks coffee is not really that good. So, what was I paying those prices for? A second office. Now, I just go to my real office and enjoy better Internet and a comfy chair.