Starbucks: Is trouble brewing at the coffee giant?
How did Starbucks' global sales perform at the start of 2024 compared to the previous year?
Starbucks' global sales slumped by 1.8% year-on-year at the start of 2024. This decline was driven by a variety of factors, including inflation-weary customers, unionisation fights, and protests against the company. In the US, which is the firm's biggest market, sales at stores open at least a year dropped by 3%, marking the biggest fall in years outside of the pandemic and Great Recession.
What reasons did former Starbucks customer David White cite for reducing his purchases from the company?
Former Starbucks customer David White cited two main reasons for reducing his purchases from the company. First, he was outraged by the price hikes, which made him feel like the company was trying to squeeze its customers too much. Second, he was unhappy with the company's actions regarding unionization efforts by its employees. White felt that Starbucks had become too focused on profits and was not treating its employees fairly. These factors led him to stop nearly all of his purchases with Starbucks in recent months.
What specific price increase led Andrew Buckley to stop purchasing his daily venti mocha from Starbucks?
Andrew Buckley, a long-time Starbucks customer, decided to stop buying his daily venti mocha from the coffee chain when the price of his drink increased and crossed the $6 mark1. The increase in price was the final straw for him, given the wider context of inflation and other company decisions, such as the crackdown on workers seeking to unionize, which also influenced his decision.