Although Starbucks is seeing profits grow in other markets, it is having difficulties meeting the needs of European consumers, which is evident in its lower sales over other markets.
In response, Starbucks has many plans for the European market to revitalise its stores. Soon we may see Starbucks products on planes, trains and vending machines. The brand will also open 300 new stores in the UK alone over the next five years. But what is most impressive, is Starbucks recognition of the importance of brand localisation. According to Louise Lucas in her recent FT article (5 Feb 2012), offerings will include “a lighter espresso in France, cheaper cappuccino in Greece and a double shot of espresso in lattes for the UK.”
Poppy Trowbridge from Bloomberg Television also recently reported on Starbuck’s plans for “European domination” as they try to bring the Starbucks experience to European consumers.
But Starbucks isn’t the only one who is increasing efforts to localize product offerings in the European market. McDonalds will be offering a McBaguette starting this April in France. According to Daily Mail’s Jill Reilly, the Fast Food Brand is trying to “appeal to more upscale diners by mixing their famous beef burgers with French-made Emmental cheese and mustard.”