Starbucks tests $1 coffee with free refills
Starbucks is reportedly testing a $1 coffee with free refills according to The Wall Street Journal. The company usually charges between $1.50 and $4.00 for a coffee depending on its size and has been the target of several fast food chains who are planning to open coffee chains and compete directly with Starbucks. McDonalds and Dunkin’ Donuts are both opening coffee chains and Starbucks is aiming its $1 coffee at a price that is lower than both these companies. The $1 coffee will be sold as a “short” in Seattle area stores.
Starbucks has been making lots of changes in the company and brought back its founder Howard Schultz as the CEO to make the company popular once again. Share prices of the company have been dropping as well. Starbucks will be closing down its under performing stores in the US and will focus on expansion in the overseas arena. Currently, it has 15,000 stores in total of which 10,000 are in the US.