Starbucks steams up with price hike, now costlier than Thailand’s minimum wage
Starbucks, one of Thailand’s most popular coffee chains, announced that the prices of its beverages will be increased by 5 baht at all of its stores across the country from today. One cup of coffee from Starbucks is now more expensive than Thailand’s national minimum wage.
The corporation says the reason for the price hike is due to the current economic situation, which, according to an official Starbucks statement, has caused the cost of operation and management to increase its prices.
Starbucks Thailand apologised for the inconvenience to all brand loyalists, stating that the company had tried to maintain the price to avoid impacting customers.
The price increase will apply to beverage items only. Other products, including desserts, coffee beans, ready-to-order soft drinks and drinkware, as well as add-on toppings such as syrups and whipped cream, will be offered at the same prices. Drink prices for orders placed through online platforms will also increase.
Some Starbucks fans took to the store’s official Facebook page to express their disappointment. In response, the page administrator clarified the company’s attempt to maintain the original price and pointed out the rising cost issue to customers.
Starbucks Thailand is operated by Thailand’s largest beverage company, Thai Beverage, also known as ThaiBev, which is owned by the well-known businessman Charoen Sirivadhanabhakdi. Bangkokbiznews reported that ThaiBev plans to increase the number of Starbucks stores in Thailand to 800 by 2030, up from 456 last year.
The coffee shop is seen as targeting customers with high purchasing power, as a cup of coffee offered by the shop is well above the minimum wage of 302 to 316 baht.
Starbucks Thailand is the first coffee shop to officially raise the price of its beverages this year. If the brand can prove that the new price does not have a major negative impact on its sales, other coffee shop chains are likely to follow suit.
Some Thai news agencies reported that the price of some snacks and desserts will also increase by 5 to 10 baht, but the brand has not yet officially mentioned this.
