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06 December 2017, 12:39 | Lionel James
Starbucks Is Opening Its Largest Starbucks Ever – And You Have to See Inside
Executive chairman Howard Schultz, speaking at the launch of Starbucks' first overseas "Reserve Roastery" - an opulent flagship store with gourmet coffees and a bakery - said China was on track to be "bigger, more powerful and more significant" than the firm's USA business.
Starbucks' same-store sales in China rose 8 per cent during the most recent quarter, beating its global 2 per cent growth.
"China is our second-largest and fastest-growing market".
The company is riding that wave and expanding aggressively in China, opening a new Starbucks store every 15 hours on average.
China is critical for Starbucks.
As Silvia Antonioli reports, the opulent flagship store with gourmet coffees and a bakery and will be open to the public on Wednesday - one of the 10,000 outlets that Starbucks is planning to operate in China within a decade.
The experience also extends to Alibaba's online marketplace, Tmall, allowing customers to purchase Shanghai Roastery and Reserve branded merchandise and whole bean coffee for delivery directly to their homes, or to register for specially-curated coffee tasting experiences that can be enjoyed at the Starbucks Roastery in Shanghai. Last quarter, China posted an 8 percent increase, compared with a 3 percent gain in the US, excluding impacts from Hurricanes Harvey and Irma.
"Having mobile ordering where you can either do a mobile order for pickup in the store or a mobile order to be delivered to you is the next frontier for us", he said.
Ma said, for himself, "I don't like coffee, but I like Starbucks". That's up from 5.5 percent five years earlier.
But despite all of Shanghai Roastery's features, it's still a coffee shop at heart.
"Right now we notice an increasing number of small brands and independent coffee shops".
It's part of a new line of upscale shops the company is rolling out around the world.
On offer will be around 80 new coffee and tea products that are unique to the new Roastery.
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