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Starbucks is not just a coffee brand nowadays but it is also recognized as an empire. Everywhere you go, you will stumble upon a green and white mermaid rising up high on a rooftop. That logo is Starbucks Coffee.
The success of Starbucks was attributed to the tastiness and employee services that were compressed into each cup of coffee. But could this be the only reason why Starbucks coffee is so expensive?
If you haven’t noticed, Starbucks has one of the expensive prices on the market. Nevertheless, their fans still love them. And Starbucks is still standing strong and firm today.
But what exactly are the real reasons behind these expensive cups of Stories? Is gold being put into the drink? Or is the president making the coffee to drive the price higher? Let’s find out together!
1. Employees Training
Starbucks is famously known for its services. All of the employees who work at Starbucks are not randomly being selected from anywhere. There are proper steps and regulations to become a Starbucks barista.
The employees must learn how to deal with rush hours and long-listed orders that are waiting in line.
On top of learning how to make good coffee with extreme attention and carefulness, Starbucks employees must learn how to control the coffee machines and be professionals in front of coffee-hungry customers who hadn’t had their morning coffee yet. Starbucks employees are trained.
That’s why Starbucks is praised by many people for its customer service.
But this comes with a cost. All of the employee’s training costs money and the duration could last up to months. Therefore the maintenance cost and training fee would accumulate throughout time. So, this training subsequently will affect the price of the coffee.
Have you ever noticed that all of the Starbucks branches are always at the prime location? It must be at the corner of a crowded intersection, area, or at mall. This is one of Starbucks’ marketing strategies to increase its sales.
They wanted to attract as many customers as possible to generate higher revenue.
But these prime spots will eventually drain a huge sum of money from the company. It will have to charge the customers for every cup of coffee. So, in each cup of coffee, you are paying for the quality, services, coffee, and the rental fee that Starbucks is paying for.
Starbucks is also known for its drive-through technique which allows the customers to be at ease if they refuse to get out of their car or wait in line. A drive-through is also perfect for rush hours, moms and dads, or rushing employees that are preparing to go to the office.
They do not have to wait in line which can delay their work, instead, they can place an order and receive their coffee at the drive-through station.
The equipment set up is expensive and costly. This is why Starbucks is charging an extra fee for that cup of coffee that you are ordering.
4. Overhead Costs
Big companies like Starbucks have all sorts of employees working for them ranging from baristas to professionals. They are spending more on tactics and strategies in order to establish a long-lasting empire in the future.
The overhead costs cover expenses such as marketing or ads that are being placed. So on top of the daily expenditure such as water, coffee, material, employees salary, and electricity. Starbucks has to pay a group of professionals to establish a strong roadmap for the company.
Starbucks has a strict standard when it comes to its products. Quality is the first priority. They will use high-end products such as the best quality milk, the best of the best coffee beans, and expensive ingredients for your drink.
This alone explains one of the reasons why Starbucks coffee is expensive because they aim to provide the best quality products for their customers. And their customers are not hesitant to pay an extra cost to receive quality goods.
If you are ever worried or suspect Starbucks’ quality, rest assured at this point. They make the effort to monitor that everything is up to standard and requirements for their customers.
Starbucks is a famous coffee brand that nearly everyone knows of. And the fact that it is a part of luxurious and costly coffee is both expected and unexpected. Given the effort that Starbucks has put into their brands and coffee such as quality control, overhead costs, convenience, locations, and best customer service, it is explainable why their coffee is expensive.