InvBanker81

Poll Shows 73% Americans Think Starbucks is Overpriced

The picture painted in this article would seem to describe a chain that has a very low brand value, yet it would seem the very opposite is true. The customer service at my local Starbucks is excellent. The majority of the baristas know my drink as well as many others that come in. The value proposition is not simply the coffee, though their lattes and cappuccinos do greatly surpass that of my local McDonalds, which serve powder mix cappuccinos. McDonald's quarterly numbers show that their McCafe's are performing very poorly. There were an overlap of Starbucks in many major metropolitan areas, yet many of those were very full as well i.e. Chicago, New York. I think it is an easy critique to make when someone does't frequent coffee shops. But what I have found is that the independent coffee shops I visit cannot compete in flavor consistency and are oftentimes higher priced.