In the United States, the lucrative business offast food chains it has been suffering from the onslaught of inflation lately. During the last year, milk and coffee prices hit a boost of 27% and 25% respectively on the other side of the pond.
We do not know if rising inflation is the cause of this or not, but the truth is that the relative costs of Starbucks products are the highest in the universe of fast food chains in the United States, according to data compiled by Nicole Regan, analyst at the financial institution Piper jaffray, which publishes Quartz.
The point is that Starbucks It has recently put the turbo on its already high prices and has done so without causing too much turmoil among its clientele.
According to Regan, Starbucks can perfectly manage to step on the accelerator in the price of its products without it being noticed in its sales thanks to its exceptional leadership as a brand and its menu, which has always been used to high prices.
The conclusion? Than the thirst of Starbucks customers for famous coffeechain of coffee shops it's so insatiable that they don't really mind scratching their pockets to get the drink of their love into their veins.
As much as those who are not so fans of Starbucks their prices seem exceptionally high, the truth is that the brand can boast of having one of the most loyal customers in the world. Not surprisingly, according to Millward Brown, the Starbucks brand equity jumped off the 44% over the past year to $ 26 billion.
The stronger a brand, the greater its ability to raise the price of its products without angering the consumer. The billionaire already said it in his day Warren buffett: "If you have the power to raise prices without losing market share compared to your rivals, you have a very good business."
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