Tuesday, 20 May 2014
Can Oldtown Survive In Australia?
Yesterday, Oldtown (White Coffee) has just announced its venture into Australia market.
Nevertheless, I read a local newspaper article recently saying that Starbucks has failed quite miserably in Australia.
From what I understand, coffee is extremely popular among Australians, especially in Melbourne.
Starbucks came into Australia since year 2000 and have 87 chain stores at its climax. However, it has been reduced to only 22 in 2012 until now.
It seems like Starbucks do not fit into the "local coffee culture" of Australia. It was even described as "selling ice to Eskimos".
I think Oldtown should have done a careful market study before making a decision to venture into Australia. What are the strategies it has in order to compete with local coffee chain stores?
I'm not a coffee lover. Any brands of coffee will taste the same for me.
However, I'm aware that most of my friends who look like "coffee experts" will not go to Old Town White Coffee.
Perhaps Oldtown can provide a totally different type of coffee experience to Australian?
Can Oldtown do better than Starbucks in Australia?