Coffee chains such as Luckin Coffee and Tim Hortons have raised prices for their beverages in China, and US giant Starbucks blames “several factors” such as higher operating costs.
Networks, one of China’s largest coffee producers, raised prices by 1-3 yuan ($ 0.16-0.47), according to a mobile app menu and media reports, and the topic went viral on Chinese social media on Thursday.
Although China is a nation of tea drinkers, China is one of the fastest growing coffee markets in the world: by April, according to Deloitte consultants, large cities will appear almost 110,000 stores as young people manage consumption, which, however, lags behind the United States and Europe.
Starbucks said it on Wednesday adjusted prices for some goods after a “full assessment and consideration of many factors” such as operating costs, for the first time since 2018.
Starbucks Americano is worth 30 yuan after a price increase of 28 yuan.
However, packaged coffee beans and goods such as mugs were not affected, the company said in a statement.
Chinese company Luckin Coffee has raised the price of some beverages by about 3 yuan, taking into account operating costs such as rent, labor and raw materials, according to the state-sponsored Shanghai Securities Journal.
Starbucks raised menu prices in October and January and plans further increases this year, said CEO Kevin Johnson, in part to offset rising labor and commodity costs, but he did not specify individual products.
Official data shows that the coffee market in China grew at an annual rate of 15% in 2018 against a global average of 2%.
https://www.retailnews.asia/coffee-chains-starbucks-luckin-raise-prices-in-china/?utm_source=rss&utm_medium=rss&utm_campaign=coffee-chains-starbucks-luckin-raise-prices-in-china Starbucks and Luckin coffee shops are raising prices in China