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McDonald\'s more successful than Starbucks on German café market

- Handelsblatt - Starbucks, the US chain of coffee houses, has been less successful than anticipated on the German market. When the company entered the mar


- Handelsblatt -

Starbucks, the US chain of coffee houses, has been less successful than anticipated on the German market. When the company entered the market in Germany in May 2002, it said that it expected to open 180 cafes within five years; only half as many as this have so far been opened.

Starbucks, the US chain of coffee houses, has been less successful than anticipated on the German market. When the company entered the market in Germany in May 2002, it said that it expected to open 180 cafes within five years; only half as many as this have so far been opened, however. In contrast, US fast food chain McDonald's has been considerably more successful with its 'McCafe' concept in Germany. Having opened its first McCafe outlet in Germany four years ago, McDonald's now has 254 of these outlets in Germany.

McDonald's has an advantage in that it generally opens McCafes within its existing restaurants, which has led to an increase of 10 to 15 per cent in turnover in restaurants that have been converted. Starbucks has had to pay high rental costs, particularly as it has chosen prestigious locations for many of its restaurants. The group has also faced competition from new companies that have imitated its business plan, such as Meyerbeers and Balzac Coffee.

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