By Martin Blanc*
In line with its announcement last year, Starbucks Corporation is all set to grow business roots in South Africa by opening its first-ever store. Since 2015, the company has intended to enter African markets.
Taste Holdings Ltd.—the coffee giant’s local licensee—stated that Starbucks’ first store will be located in Rosebank—the upmarket Johannesburg suburb. Moreover, the specialty coffee retail store chain also plans to open another second store in the Mall of Africa in late April. This area is nearly 25 kilometers north of downtown Johannesburg.
According to Taste Holdings CEO Carlo Gonzaga, who spoke to Reuters, the company intends to open 12-15 outlets by the end of calendar year 2018 (CY18). He added that he believes the African market has the capacity for approximately 150 stores at this point; however, there’s no hurry to do so, and thus the expansion shall be done in a gradual manner.
The franchisee has a strong position in Africa. Other than Starbucks, Taste Holdings also owns franchise right for Domino’s Pizza in the region.
