Starbucks, the largest coffee company, has decided to implement a price hike on its coffee products. The maximum increase of the popular drinks will reach $0.20 in Canada affecting one-tenth of its beverages beginning yesterday.
Different locations will have various price escalations as what Carly Suppa, the company spokesperson, tells through The Star. An amount of $0.20 will be added for each Grande or Venti Latte with respect to store location.
For almost three years or less, Suppa states that no price hike for these energy boosters was done so far. Starbucks franchise shops in the U.S. were also pushed to follow the move, $0.10 to the original price of each coffee regardless of the cup size, except for the Frappuccino, Grande Brewed Coffee and the rest of the well-known drinks.
The new price of Venti coffee in U.S. would then be $2.45. The percentage of customers who will be affected by the new policy is 20 percent, which seems not alarming to the remaining customer base. This would mean an incline of 1 percent on the average price.
Due to raw coffee beans' price, U.S. Starbucks stores were not the only ones which came up with this decision. A similar move was also made by other coffee sellers across the country.
Brazil, the top country in exporting coffee, experienced drought in the previous year which eventually affected the prices of the coffee chain's products.
However, Lisa Passe of Starbucks says that such change in price will exclude packed coffee and other items available in the store. The coffee company will exercise "market-by-market and product-by-product" hikes.
With the large number coffee-dependent individuals, Starbucks and other coffee shops will not fail to see consumers who will still order to satisfy their caffeine cravings, despite the change in cost.
