Adam Simpson new WCE coach (now to end of 2019)

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starbucks tried Australia but we don't like crap coffee

It took longer than I thought for the obligatory "we're too good for that coffee" post ...

It's a bullshit answer but it's a typically Aussie one ... Well done

(By the way, there are Starbucks stores in Oz, just only in the proper cities :p )


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It took longer than I thought for the obligatory "we're too good for that coffee" post ...

It's a bullshit answer but it's a typically Aussie one ... Well done

(By the way, there are Starbucks stores in Oz, just only in the proper cities :p )


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Australia has a pretty serious coffee culture, and starbucks coffee doesn't align with our tastes, so to Australians and the coffee educated starbucks does suck. They had over 80 stores when they came in and now there are about 20 left and im pretty sure starbucks sold them off. Starbucks inability to comprehend Australia's coffee culture is the reason they failed so miserably here. Its such an iconic failure that its now a typical case study at uni on emphasising the importance of market research etc.
 
Australia has a pretty serious coffee culture, and starbucks coffee doesn't align with our tastes, so to Australians and the coffee educated starbucks does suck. They had over 80 stores when they came in and now there are about 20 left and im pretty sure starbucks sold them off. Starbucks inability to comprehend Australia's coffee culture is the reason they failed so miserably here. Its such an iconic failure that its now a typical case study at uni on emphasising the importance of market research etc.

Yes, the coffee culture in Australia ... certainly compared to ummm ....

Mate we are involved in expanding another multinational into Asia and I was previously involved in expanding Dome into SE Asia. If you reckon that Starbucks fell over because of Australia's unique coffee culture you're struggling ... if anyone is running with that (as a core reason) in a uni course, well .. actually that doesn't surprise me given the low standard of most Aussie university business courses ...

But, you're kidding yourself :)


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Yes, the coffee culture in Australia ... certainly compared to ummm ....

Mate we are involved in expanding another multinational into Asia and I was previously involved in expanding Dome into SE Asia. If you reckon that Starbucks fell over because of Australia's unique coffee culture you're struggling ... if anyone is running with that (as a core reason) in a uni course, well .. actually that doesn't surprise me given the low standard of most Aussie university business courses ...

But, you're kidding yourself :)


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Since when do Asians drink coffee?
Oh btw can I borrow some money?
 
Since when to Asians drink coffee?
Oh btw can I borrow some money?

I'm assuming your first question is either you trying to be cute again or a further display of your apparently bottomless ignorance.

On the cash, sure. Short term on a max 55% LVR secured on residential Aussie CBD property, max term 12-18 months. You pay our $20k fee for setting it up and we'll do a rate about 15% per annum.

How much you want?


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Yes, the coffee culture in Australia ... certainly compared to ummm ....

Mate we are involved in expanding another multinational into Asia and I was previously involved in expanding Dome into SE Asia. If you reckon that Starbucks fell over because of Australia's unique coffee culture you're struggling ... if anyone is running with that (as a core reason) in a uni course, well .. actually that doesn't surprise me given the low standard of most Aussie university business courses ...

But, you're kidding yourself :)


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Care to explain your rationale for why Starbucks did so poorly in Australia?
 

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I'm assuming your first question is either you trying to be cute again or a further display of your apparently bottomless ignorance.

On the cash, sure. Short term on a max 55% LVR secured on residential Aussie CBD property, max term 12-18 months. You pay our $20k fee for setting it up and we'll do a rate about 15% per annum.

How much you want?


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I must admit I am not a coffee expert nor do I know much about multi-national deals hence my question to you. So yep you got me.
How much does a good Thai lady boy cost per night?
 
I'm assuming your first question is either you trying to be cute again or a further display of your apparently bottomless ignorance.

On the cash, sure. Short term on a max 55% LVR secured on residential Aussie CBD property, max term 12-18 months. You pay our $20k fee for setting it up and we'll do a rate about 15% per annum.

How much you want?


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As a generalisation he's right though. Most asians live in Asia, and all the top coffee consuming per capita countries aren't in Asia. I could probably even find you a map. Doesn't mean nobody in Asia drinks coffee but its more a niche market there than it is here.
 
Care to explain your rationale for why Starbucks did so poorly in Australia?

It's been widely reported that they times their set up badly arriving into a crowded market with established chains.

They then chose their sites poorly having way too many low traffic sites.

They also priced themselves incorrectly - above prevailing market prices.

Then they chronically under budgeted for and underspent on advertising.

All of these factors suggest a lack of proper planning on the roll out in Oz and really really poor RE advice on locations was the worst of them. No doubt they thought, as with most of nearby SE Asia, that they'd just roll in and the brand would sell itself - regardless of price and location.

They royally cocked up.

From memory (and I haven't checked in a couple of years) McCafe is the largest brand coffee chain in Oz ... They apologised for their poor coffee and got votes best coffee in Australia (of the brands) in the same quarter back in about 2012...

They also tweaked their blends around that time ...

I think it misses the point to blame Starbucks demise on Australian palates


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As a generalisation he's right though. Most asians live in Asia, and all the top coffee consuming per capita countries aren't in Asia. I could probably even find you a map. Doesn't mean nobody in Asia drinks coffee but its more a niche market there than it is here.

Well yes & no.

That's more reflective of the spending power of most Asians.

If you wander around the downtown areas of any Asian city there are more coffee shops than just about anywhere. Where I currently am in Bangkok there's 4 Starbucks (just as an example) within 400m of each other ... The difference here is most coffee shops are chains - there's very little in the way of cool coffee houses with independent baristas - it's emerging but slowly ...

Growth in coffee consumption and the culture around coffee in the more affluent parts of cities is immense though. And there are a lot of cities with a lot of affluence...

In addition, arguing there's not much coffee consumption in places like Vietnam is humorous - it's everywhere ... but hardly any of it would show up in reports anywhere because it's Vietnamese coffee in Vietnamese coffee shops - misses the normal reporting channels ...

But yes, use the "gross stats" Priddis approach and miss what's happening on the ground :)

Aussies ignorance of even SE Asia is remarkable given it's proximity :)


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Well you're just an inane dick. Patron is at least trying :)

Oh please come now, I am enjoying your insights.

I have one question though, its something I have been thinking about in a while maybe you can help, what are your opinions on why Python has became the language of choice among the scientific community and more specifically big data groups in astronomy applications?

Edit: Oh sorry one last thing what is your take on FPGA correlators versus GPU solutions for radio astronomy interferometers?
 
Oh please come now, I am enjoying your insights.

I have one question though, its something I have been thinking about in a while maybe you can help, what are your opinions on why Python has became the language of choice among the scientific community and more specifically big data groups in astronomy applications?

Yawn ...


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It's been widely reported that they times their set up badly arriving into a crowded market with established chains.

They then chose their sites poorly having way too many low traffic sites.

They also priced themselves incorrectly - above prevailing market prices.

Then they chronically under budgeted for and underspent on advertising.

All of these factors suggest a lack of proper planning on the roll out in Oz and really really poor RE advice on locations was the worst of them. No doubt they thought, as with most of nearby SE Asia, that they'd just roll in and the brand would sell itself - regardless of price and location.

They royally cocked up.

From memory (and I haven't checked in a couple of years) McCafe is the largest brand coffee chain in Oz ... They apologised for their poor coffee and got votes best coffee in Australia (of the brands) in the same quarter back in about 2012...

They also tweaked their blends around that time ...

I think it misses the point to blame Starbucks demise on Australian palates


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Pretty much all the above points are valid contributors, but i would argue the main issue was a lack of understanding of Australian consumer preferences.
The advertising is a bit of a stretch, who knows what effect increased marketing would have had, could have just been more money down the drain, trying to sell a product Australians would never be interested in.
As you mentioned they charged premium prices for coffee that Australians found to be inferior to what local cafes etc where offering at the same or lower price. At the end of the day aussies weren't willing to pay premium prices for starbucks coffee because Australian consumers preferences are different to what starbucks was expecting. We prefer stronger, less sweet, less watered down and milky coffee.
If Australian consumer preferences were different we would have been more likely to accept their premium pricing. We just don't like sugar water.
 

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