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Starbucks to expand retail network in Germany

RBR Staff Writer Published 14 November 2013

International coffee retailer Starbucks plans to expand its German presence by opening new outlets with a special focus on big cities.

Starbucks

The chain, which presently has 160 stores in 40 towns, noted that it will mainly focus on big cities like Berlin, Munich and Duesseldorf.

Stores will be opened in train stations, motorway service stations and Corner Cafes, which are self-service areas within offices.

Starbucks Europe, Middle East and Africa (EMEA) division head Kris Engskov Europe told Reuters that the expansion is part of their plan to expand brand presence and strengthen across Europe.

Over the last five quarters, the coffee chain has been reviewing its stores in Europe and closed 72 stores. Although, Starbucks said last month that it plans to open 150 new ones in the EMEA region in its new fiscal year.

Starbucks currently has 100 Corner Cafes in four countries, including Switzerland.

"We want to open Corner Cafes in 10 countries and Germany has priority," Engskov said.

The group is also looking to open outlets through franchise route. It has just started franchising in Britain and plans to award a first license in France in 2013.

"We will also examine whether this makes sense in Germany."

"I am certain that our new strategy will lead to long-term profitability in Germany, France and Britain," Engskov noted.

Image: Starbucks to strengthen European presence. Photo: Courtesy of Adam Smith.