Why Starbucks is not present in Italy? (2024)

18 Marzo 2014

Why Starbucks is not present in Italy?

Why Starbucks is not present in Italy? (1)

Why Starbucks is not present in Italy? (2)

Why Starbucks is not present in Italy? (3)

When Howard Schultz became the President and CEO of the Starbucks Corporation in 1987 the company was selling basically whole-bean coffees, and it counted dozens of stores across the United States. Less than 20 years later Starbucks is one of the most popular brands in America. It has more than 12,000 stores around the world, 140,000 full-time employees and a market capitalization of $27 billion. Considering such a huge success and the fact that Starbucks is entering most of the international markets (including western Europe, China, Russia, Brazil, among others) one can not help but question: “Why Starbucks is not present in Italy?”.

The Italian espresso culture

The big turning point for Starbucks occurred when Howard Schultz visited Italy on the mid 1980s. He was marveled at the atmosphere he encountered within the espresso bars. People talking to each other like close friends, the barista pulling shots of espresso coffee with a smile stamped on his face and the clerk joking around and calling the clientele by their names. More than a bar those places were active community spaces. Schultz compared the experience to being inside of a “great theater”, and he was absolutely sure that he would have success if he managed to export it to United States.

The evolution of Starbucks certainly absorbed some of the Italian coffee tradition, but it was structured around the American society. Despite being inspired on the Italian culture, therefore, it is probable that the Starbucks model would not fly in Italy.

The coffee experience for Italians is much more personal and intimate than what any Starbucks store would be able to offer. It is about “slow food” as opposed to the American “fast food”. Just think about the plastic cups, for instance, Italians do not like them. Why? Because they do not even consider the possibility of taking the coffee outside of the bar and drinking it while walking or driving.

Should Starbucks risk its image?

If Italy was all about “slow food” McDonald’s or Burger King would not be selling there right? Starbucks could try to enter the Italian market and use a clever marketing strategy to change the customer perception about its product offering, proving to everyone else that its espresso coffees are good even for Italians!

There is one simple reason why they are reluctant to do so. The benefits of trying and succeeding at the Italian market are by far smaller than the losses of trying and failing. Should they win the bet they would increase their international revenues, Italy drinks a lot of coffee after all. Should they lose the bet, however, they would lose not only money but they would be damaging the corporate image.

The whole Starbucks deal was inspired by the Italian coffee tradition. Starbucks is tremendously successful because it is not selling coffee but rather a charming experience. When you order a Cappuccino inside a Starbucks store you will not just get some espresso coffee topped with steamed milk, hell no! What you will get instead is a bit of Florence, a bit of Rome… and the experience will recruit all your senses, making you feel unique and sophisticated.

Now, should people start reading on the newspapers that Starbucks is having trouble to sell its coffee in Italy it is very likely that the whole glamorous experience just described would get shattered.

Conclusion

Starbucks’ decision to not enter the Italian market could be strategically correct. The Italian people would be reluctant to abandon their traditions, and the risks of an eventual failure out weight by far the possible rewards of succeeding. The image about the espresso experience is a corner stone of Starbucks’ business model, and they are not risking to damage it.
Article link: http://innovationzen.com/blog/2007/01/15/why-starbucks-is-not-present-in-italy/

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Why Starbucks is not present in Italy? (2024)

FAQs

Why Italy does not have Starbucks? ›

Despite being inspired on the Italian culture, therefore, it is probable that the Starbucks model would not fly in Italy. The coffee experience for Italians is much more personal and intimate than what any Starbucks store would be able to offer. It is about “slow food” as opposed to the American “fast food”.

Is there no Starbucks in Italy? ›

With twenty stores across Northern and Central Italy, Starbucks is committed to embracing Italian culture and coffee heritage. Italy is the country that brought espresso to the world and inspired the concept for what Starbucks has become today.

Why did Starbucks fail in Europe? ›

After eight years spent setting up 63 French Starbucks stores, the company has never turned a profit in France. And even in the parts of Europe where the company does make money, sales and profit growth lag far behind results in the Americas and Asia. Europe's debt crisis and sluggish economy are a factor.

How is Starbucks doing in Italy? ›

Despite being inspired by Italian coffeehouse culture, the American chain faced resistance when entering the country. Since then, the company has opened a total of 20 stores in Italy and plans to open five more before the end of 2022. Will the country that invented espresso embrace the world's largest coffee chain?

Which country Starbucks failed? ›

FUTURE IN AUSTRALIA

In short, they failed because they didn't prioritize strategic growth. In 2008, the company was forced to close “more than two-thirds of its stores on the continent.” Today, Starbucks still has some remaining locations, but primarily targets internationals, like students, living in Australia.

Why is there no chicken on pizza in Italy? ›

Italians do eat chicken, just not on their pizza. The thought of putting chicken on a pizza might be almost as sacrilegious to Italians as adding pineapple. You will find some meats as pizza toppings in Italy, but many of these tend to be preserved meats that come from pork, such as salami and prosciutto.

Are there Chick Fil as in Italy? ›

CHICK-FIL-A, Rome - 726 Mount Berry Sq NE - Menu, Prices & Restaurant Reviews - Tripadvisor.

Did Starbucks leave Italy? ›

Starbucks has closed all its shops in Italy and warned it may take similar measures in the US due to the coronavirus outbreak.

How is Starbucks different in Italy Why? ›

Italians take their coffee culture very seriously — it's filled with traditions, customs and rituals. It's common to order an espresso, quickly drink it at the counter while chatting with your barista, and leave — contrary to Starbucks shops, where customers may sit for a while to work on their laptops.

Did Starbucks do well in Italy? ›

At first, Starbucks' plan to expand its presence in Italy, the home of espresso, sounded like a recipe for failure. However, Starbucks has managed to succeed within the country in a way other American brands could not. The secret to that success lies in a surprisingly straightforward business strategy.

Why did Starbucks fail internationally? ›

This could be explained due to three reasons: advanced local coffee culture, the pace of expansion, and lack of effort to adapt (like they did in China). When Starbucks entered Australia, they expanded at an extremely fast pace and by 2008 they had opened 90 stores.

What is Starbucks main problem? ›

Shortages of ingredients and by extension menu items have also been plaguing Starbucks for much of 2021.

Is Starbucks big in Italy? ›

Starbucks Roastery, is the largest Starbucks in Europe, 2,400 m2, in Milan's Piazza Cordusio, you really can't miss it if you're on your way to the Duomo.

Are there no Starbucks in Rome? ›

The home of real cappuccinos and espressos has finally fallen: Starbucks, the high-street coffee giant with 34,000 outlets worldwide, has opened its first branch in Rome.

Why does espresso taste different in Italy? ›

In summary, Italian espresso tastes better because it is always made from a fresh roast, which is never more than eight days old. In America, it is hard to find a fresh roasted coffee because there are not enough small-scale, local roasters and there are not enough coffee shops.

Why did Starbucks fail in Greece? ›

In 2014, Starbucks raised its prices in the U.S., however the company was forced to drop its prices in Greece, claiming that the reason behind it was a VAT decrease.

Why is Starbucks not in Israel? ›

We decided to dissolve our partnership in Israel in 2003 due to the on-going operational challenges that we experienced in that market. After many months of discussion with our partner we came to this amicable decision.

Which country has the best coffee culture? ›

Ethiopia, the birthplace of coffee

To a lot of people, Ethiopia would be where the best coffee in the world comes from. Because of the history of coffee production, location in the world and equality of opportunity, Ethiopia has everything many people believe makes for the best coffee in the world.

What happens if you ask for pineapple on pizza in Italy? ›

The State of Italy has also unilaterally announced that putting pineapple on pizza under any circ*mstances is tantamount to an Act of War under International Law. This understanding has gained acceptance following the International Law Commission's (ILC) Draft Articles on Properly Preparing a Pizza (1996).

Why is pineapple not allowed on pizza? ›

Another argument against pineapple on pizza is that, unlike other sweet and savory combinations, many people feel that pineapple has a strong sweet flavor. They, therefore, feel that it is not the best combination with the savory taste of other toppings on a pizza.

What happens if you break pasta in Italy? ›

No, worry not, you won't go to jail if you break pasta in Italy, but still, it's something that we don't do. Breaking pasta in Italy is something you do with small kids when they are learning how to eat on their own.

Do they have Burger King in Italy? ›

Burger King restaurant units in Italy 2021, by region

Fast food chain Burger King, based in the United States, accounted for 225 restaurants in Italy in 2021.

Does KFC exist in Italy? ›

Fast food chain Kentucky Fried Chicken (KFC), based in the United States, accounted for 49 restaurants in Italy in 2021.

Is there chicken pizza in Italy? ›

Pizza topped with chicken is pretty popular in the US. Meats on pizza are pretty rare in Italy. Definitely, you will never find chicken pizza. On the other hand, cured meats such as prosciutto crudo, speck, prosciutto cotto, salami, mortadella, etc.

How many Starbucks are in Italy 2022? ›

As of the third quarter of 2022, Starbucks had 2,554 stores in Europe. The European country with the most Starbucks stores was the United Kingdom with 842 Starbucks stores. This was followed by Turkey with 589 stores and France with 205 Starbucks stores. Comparatively, there were only 18 Starbucks stores in Italy.

Where is Europe's biggest Starbucks? ›

It is located in 1 Via Cordusio, 20123 Milano, and is open daily from 0730-2200, a minute walk from Cordusio metro station ( Line 1 ).

Is Starbucks in Florence Italy? ›

Florence, Italy

Home to Renaissance art and architecture, sticking with Italy, head to this stunning store located within a shopping mall on the outskirts of Florence, the first Starbucks to open in picturesque Tuscany.

What is Italy's favorite coffee brand? ›

Best Overall

Luigi Lavazza began selling coffee from his bottega in Torino in 1895, and one of Italy's first coffee companies is still a family business. Exporting almost half of its production, it is Italy's most well-known and beloved coffee brand.

What is Italy's favorite coffee? ›

The most popular coffee drink in Italy is a cappuccino. Of course, espresso is still the base of this coffee but with a creamy and mild taste due to the added equal amounts of milk and foam. Caffè cappuccino is best consumed at home or as you linger at the coffee bar.

What is Italy's Favourite coffee? ›

Cappuccino

The cappuccino is arguably the most popular type of coffee drink in Italy that includes milk, made with equal parts Italian espresso, steamed milk, and milk foam. Since cappuccinos have quite a bit of milk, Italians only drink this particular type of coffee in the morning.

Is Starbucks different in Italy? ›

For starters, in Italy most people drink espresso coffee therefore offering super-sized drinks prepared with lots of milk would most likely not work in Italy. Therefore, Starbucks in Italy mostly focuses on local market preferences like espresso, and drinks like Frappuccino are not on the menu.

What is the number one coffee in Italy? ›

Cappuccino is probably Italy's most famous coffee. After all, while there's no such thing as a grande anything when it comes to types of Italian coffee, a cappuccino is a cappuccino the world over.

Why does Italian coffee taste different? ›

This is because Italians generally roast their coffee fairly dark. This produces a darker flavour profile such as roasty and bitter notes. Italian coffee is also typically served as an espresso which is a short concentrated shot of coffee.

Which country is Starbucks most successful in? ›

As of September 2020, the US and China are the top-ranking countries with the largest number of company-operated Starbucks stores worldwide (Starbucks, 2020), which is not surprising at all considering the size of these countries.

What country is Starbucks most popular? ›

Countries with most Starbucks locations globally as of October 2022. The United States and China came top in the ranking of countries with the largest number of Starbucks stores worldwide as of October 2021. The famous U.S. coffeehouse chain had the most stores in its home country accounting for over 15 thousand stores ...

Is Starbucks successful in Europe? ›

As of the third quarter of 2022, Starbucks had 2,554 stores in Europe. The European country with the most Starbucks stores was the United Kingdom with 842 Starbucks stores. This was followed by Turkey with 589 stores and France with 205 Starbucks stores.

When can you not order coffee in Italy? ›

To blend in: Don't order these drinks after 11 a.m. Italians only enjoy milky coffee in the morning – never in the afternoon, and especially not after a meal! 2. PRENDIAMO UN CAFFÈ! “Let's get a coffee!” Appropriate anytime, a caffè (or caffè normale) is simply an espresso, a small but strong shot of black coffee.

Is there no iced coffee in Italy? ›

Iced Coffee: To all my Dunkin' lovers on the East Coast, YES Italians do have iced coffee, but you won't find any cup larger than the (tall/small) we find in the states.

Where is the Starbucks in Italy? ›

The American multinational coffee chain Starbucks opened its first outlet in the greater Rome area, at the Castel Romano shopping mall to the south of the Italian capital.

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