Starbucks' Rapid expansion Model remains to be tested: it is doubtful whether third-and fourth-tier cities can accept it.

At present, domestic consumers' concept of coffee consumption is taking shape, and some people in the industry believe that the coffee market is also expected to exceed 1 billion yuan. At the same time, consumers' concept of coffee consumption is changing from instant coffee to store consumption or instant coffee consumption. therefore, chain coffee stores and ready-to-drink coffee beverages or the mainstream areas of the domestic coffee market in the future, these two areas are also the focus of investors, especially chain coffee stores.

As far as chain coffee is concerned, it is almost the same as the development model and competitive elements of chain catering brands, that is, the number of stores is the forerunner. The number of stores is directly related to the ability of the brand to capture consumers, but also the publicity carrier of the brand, with both sales and marketing functions. It also makes sense for Starbucks to choose to increase its stores to cope with the increasing competition in the industry. However, Starbucks is not alone in choosing to increase its store strategy. McCoffee, Caffebene and Pacific all have plans to expand their stores.

It is undeniable that Starbucks has an advantage in the brand influence and market base of the domestic coffee market, but due to the increase in the number of entrants, Starbucks needs further action to maintain its position.

In this regard, Starbucks China has publicly stated that Starbucks is ready for supply chain, quality control, service and other aspects. At the same time, Starbucks can not compete for the market plan on the expansion of stores, improve brand culture and other soft service capabilities are also on the agenda.

Starbucks Asia Pacific CEO John Cluver pointed out that in the process of entering more cities in China, a lot of efforts will be made to make local consumers feel that the Starbucks brand is positive. "although we are expanding rapidly, we are very cautious in every step we take, and we will do a lot of work to ensure our services, such as spending more time on staff development."

At the same time, because domestic consumers' cognitive ability of coffee is constantly improving, they not only need a cup of delicious coffee, but also need a high-recognition coffee brand, comfortable store environment and good service ability. It is reported that the expansion of stores is only part of Starbucks' expanded layout, and its products and models are constantly innovating. In addition to entering the online field, it also plans to bring its Teavana tea brand to China.

Mode to be tested

Although the Chinese market is full of confidence in the future, there are still worries about its rapid expansion.

An industry insider who has long watched Starbucks said that although considerable achievements have been made in capturing consumer psychology through high-end consumption in first-and second-tier cities, as Starbucks sinks to the development of third-and fourth-tier cities, this expansion way of relying on consumer psychology may lay hidden dangers for future development.

There is no denying that Starbucks' business model has advantages-its distinctive American cultural experience to consumers is also attractive, and internal and external control management is in place, which is undoubtedly the key to its success in the Chinese market. However, while this model is acceptable to consumers in first-and second-tier cities, with Starbucks' rapid expansion, it is also a big question whether third-and fourth-tier cities can accept it.