The World's Largest Starbucks Just Opened In China

06 December, 2017, 01:02 | Author: Chad Mckenzie
  • Reserve Roastery in Shanghai China

Take a look at the photos showing the state-of-the-art roastery, Starbucks will be boasting about for a long time.

The firm held a 54.8 percent share of China's 25.2 billion yuan ($3.81 billion) specialist coffee shop market a year ago, far ahead of rivals like McDonald's Corp's McCafe and Whitbread Plc's Costa Coffee, Euromonitor data show.

In addition, Starbucks has included an augmented reality or AR experience for people who visit Shanghai's Roastery.

Joshua Trujillo  Starbucks
Joshua Trujillo Starbucks

Chinese are usually less hooked on coffee than their American counterparts, but for the growing middle class, Starbucks is still viewed as an attractive aspirational brand.

In the run up to the opening, the Starbucks publicity machine has been in overdrive, hitting social media sites and chat rooms with news and details of he launch.

Starbucks waited three years since it opened its first USA based Roastery to finally test the concept in China, where it has over 3,000 stores. (SBUX) said it will open its biggest location ever on Wednesday in the Chinese city of Shanghai. The location has gourmet drinks - like nitrogen-infused teas - and an 88-foot-long, hand-crafted coffee bar. Tea products are a struggling subsidiary that Starbucks is eager to revive.

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Starbucks increased its China investment during July, when plans were announced to buy out its joint venture partners. It also sold Tazo, another tea brand, to Unilever in November.

Simply point a smartphone or tablet at key features around the Roastery to "bring to life information about the Starbucks bean-to-cup story", according to the company.

In 2012, Starbucks China has operated the China Starbucks Farmer Support Center in Pu'er in the Yunnan Province, supplying agronomists to work in concert with government representatives and local farmers to improve quality and production through the region. In the third quarter ending October 1, China's comparable store sales grew 8 percent, compared to a 2 percent global growth and 2 percent growth in the US market.

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The company is riding that wave and expanding aggressively in China, opening a new Starbucks store every 15 hours on average.

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