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Starbucks to ‘Race’ Against Local Coffee Shops in Indonesia

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For the past several years, Starbucks is having a tough competition against local coffee shops in Indonesia. Director of Starbucks Indonesia, Anthony Cottan, does not worry about the tight race.

Instead of worrying, Anthony sees another perspective that the rapid emergence of numerous local coffee shops marks that the coffee business still has much to explore. Despite having no special countermeasure, he is confident enough that brand alone will be the ultimate weapon.

“Indonesians love brands,” he said. “Yes, our brand is our selling point, that’s why many people are willing to pay extra.”

Also, he added that coffee is not the only weapon that the company has. Another strength that makes them robustly persevere is the cozy hangout space.

“Coffee is not the only reason we sustain. We can go through because we also provide a place for communities. We have more than a cup of coffee,” he added.

Also Read: Kopi Kenangan, Another Coffee Challenger in Indonesia

What Starbucks Indonesia Has in Mind for the Competition

Starbucks Indonesia has envisioned future development to expand its reach throughout the country. Currently having 440 stores, the company plans to double it during the next five years.

To achieve the ambitious goal, Anthony will establish another 60 stores this year. In his defense, he believes that the plan is already well-calculated.

“We have an ambition to open 60 more coffee shops this year. For the last two months, we have opened approximately 10 stores. In the next five years, we believe we can double our 440 stores,” he explained.

Regarding the opening of its new stores, Starbucks Indonesia also begins to innovate. The company is opening its first, brand-new community store in the country.

What makes the community store special is that, for every cup of coffee sold, the company will donate portions of the sales to the two partnering NGOs. They are Yayasan Sahabat Anak and the Indonesian Street Children Organization (ISCO) respectively.

Also, the community store will also give accommodations in the forms of place for workshops and alternative classrooms for learning activities. They believe that people will prefer the brand more if they give back to the people as well.

Also Read: Fore Coffee is Bringing Coffee Along with Nature

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