Why Starbucks Failed In Australia

  • Published on Jul 26, 2018
  • Starbucks can be found all over the world, from Shanghai to Guantanamo Bay. But there is one continent that was uninterested in the coffee giant. Australians largely rejected Starbucks' attempted takeover, which led to an embarrassing retreat for the brand.
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    Why Starbucks Failed In Australia | CNBC

Comments • 16 047

  • ivanella zuhdi
    ivanella zuhdi 2 hours ago

    My lecturer in gold cost also said the price of starbucks coffee is reaalllly expensive. Some others stated that starbucks coffee is made from mixed coffee beans from any area but it makes the taste is not authentic anymore..my opinion is australian needs coffee as a relaxation and as a friend for meeting someone and have a light chit chat each other in a simple cafe. Not something to show a prestigious thing to their lifestyle. Plus..i think real coffee from village area without modernization effect will be chosen by them.

  • Balian Ibrahimovic Ankara

    why people must loved starbucks? the coffe just standart but expensive. coffe for lifestyle? no, coffe its for energy.

  • Eliza Blackworth
    Eliza Blackworth 7 hours ago

    The funniest thing is that so many American fast food chains open up in Australia and fail. Like I’ll be in the city and see a new chain pop up and like a month later it’ll be gone.

  • cdgh99
    cdgh99 12 hours ago

    @ 3:00 the aussie guy sure takes the inflection of going up at the end of your sentences to a new level.

  • S C
    S C 14 hours ago

    When you buy an iced tea and find that it's plain and you have to pay extra for the syrup, it sucks!

  • NukaPooka
    NukaPooka 22 hours ago

    Because out coffee shops are 1005 better.
    We dont need starbucks, we have one or two stores.
    Though starbucks doesn't do that great due to how much sugar is in their coffee, but our local stores are so much more nicer.
    We like out coffee and if we dont like it.. we will tell you.

  • Folke
    Folke Day ago

    But the continent is missing on SB's incredibly delicious and tragically overpriced chocolate chip cookies!
    Cool personal Starbucks anecdote: I made a habit of bringing in my backpack a small plastic box with snappable cover in case I buy food, bring restaurant leftovers, etc., just to reduce waste with bags, styrofoam, etc, ecological sheet, you know?
    Anyway, I order one of their chocolate chip cookie and ask to the clerk to put it in my container instead of putting in their small wasteful paper bag. She was so surprised by that request that she gave one extra free of charge! I swear 100% true.
    Of course, It only happened once, total fluke, the other SB employees I went before and after never gave me a freebie just because I brought my own box. Nevertheless, I was happy.
    This ends my cool personal Starbucks anecdote.

  • Vladislav Gichev

    It seems that Australians like coffee, not a syrupy or over-sugary drink with a resemblance of coffee.

  • Anthony Jason
    Anthony Jason Day ago

    Because Australian's actually have a taste for quality coffee that's affordable.

    • Q W
      Q W Day ago

      Anthony Jason nah mate, not affordable. Buying coffee out in general is hella expensive

  • Sekshy THICC Tae

    Am I the only one here who genuinely likes Starbucks coffee ;-;
    Like no its not cause of the craze its just I really ;--;

    • Sekshy THICC Tae
      Sekshy THICC Tae Day ago

      +Q W no like here we actually have coffee in it
      And they don't add like a full bag of sugar like I've seen in other countries

    • Q W
      Q W Day ago

      Sekshy THICC Tae not really coffee. A vanillia milk shake with a bit of coffee mixed in

  • Harry Pooter
    Harry Pooter Day ago

    oh well at least we've got goncha, chatime, coco, tea bags, happy cup and gloria jeans.

  • Dustin Ducote
    Dustin Ducote 2 days ago

    stirring the cream in counter-clockwise completely RUINS the coffee-drinking experience!!!!!!

  • Emiliyan Yankov
    Emiliyan Yankov 2 days ago

    A high quality coffee is great as is, no additives. And meeting new people every day in the local coffee shop is so much fun :) Too bad my spot is closing down at the end of this month :`(

  • chasys world
    chasys world 2 days ago

    cause starbucks sucks, and local coffee shops are better.. and everyone in Melbourne knows this.. ( best coffee is in Melbourne, enough said.)

  • May Sandioriva
    May Sandioriva 2 days ago

    Not everybody like fat sugar milk with little bit coffee like obese american does.. THAT'S THE ANSWER !

  • Ancario
    Ancario 2 days ago

    Here’s why, there was a lack of white blonds

  • Rommel Barrida
    Rommel Barrida 2 days ago

    I love Gloria Jeans. Hope they expand more branches here in the Philippines

  • Rick Shinoda
    Rick Shinoda 2 days ago

    Sturbucks is to expensive LoL

  • H. Mark
    H. Mark 3 days ago

    Australia flat white tastes the best, i like starbucks coffee there, it tasted different and better overall

  • CiCi S
    CiCi S 3 days ago

    People! Buy yourself a coffee machine and a thermos and MAKE YOUR OWN COFFEE AT HOME. You will save sooo much money

  • Isabel & Phoebe
    Isabel & Phoebe 3 days ago +1

    Gloria jeans gang?

  • Steven Ung
    Steven Ung 3 days ago

    lol, Gloria jeans stores are struggling like there is no tomorrow. The company which owns It (RFG) are closed to going into administration. The franchisees are taking them to court.
    Big coffee brands don’t work here, we always support the little guy because of their passion and because they provide a better product.
    Try a coffee from a Sydney or Melbourne local cafe and then try one in Starbucks or Gloria Jeans. You will know what I mean.

  • Ten Minute Tokyo 2
    Ten Minute Tokyo 2 3 days ago

    Because like Americans they are tired of having their jobs robbed by foreign workers.

  • c rave
    c rave 3 days ago

    don't come back...

  • The joker
    The joker 3 days ago

    And it has no branches in Sri Lanka😂😂

  • Ragdoll Bunny
    Ragdoll Bunny 3 days ago

    I only go to starbucks for the snacks & tea. The coffee is really hot and kind of plain :/

  • LudakrisLamey
    LudakrisLamey 4 days ago

    The reason that it has failed is because we have some of the best coffee and baristas in the world and the chain stores taste like crap.

    GEJE STUDIO 4 days ago

    Better buying at warkop, u can have 40 glass of coffe at warkop for 1 glass at starbucks.

  • Fun&Positivity Girl
    Fun&Positivity Girl 4 days ago

    Personally I have had coffee from multiple different chains and I what I have gathered is it is not the chain or company - it is the barista!!! I have had horrendous coffee from Costa, Starbucks, small owned cafes but also really good coffee there too. High quality ingredients can only do so much after that it's in the barista's hands

  • Jessica Gray
    Jessica Gray 4 days ago

    because Zaraffas is waaaaaay better

  • beauty in simplicity

    But Australia isn’t a continent...

    • Abz abz
      Abz abz Day ago

      Lol. It is in fact the smallest continent.

    • Brad Chapman
      Brad Chapman 3 days ago


    • Thander Lin
      Thander Lin 3 days ago

      Australia is a continent, country and island all at once. But different schools and nations teach it differently I think.

  • Ella Harris
    Ella Harris 4 days ago

    Australians LOVE their coffee. I’ve never been anywhere in the world (besides italy) where people are so intense about having good coffee. Of course Starbucks couldn’t survive in Aus, their coffee is overpriced and either tastes like dirty dishwater or a milkshake

  • Aiza Adnan
    Aiza Adnan 5 days ago

    It is becauce 7-Eleven coffee only cost AUD1...

  • mark carey
    mark carey 5 days ago

    When any global corporation treats a market with "humility and respect" the sky will be darkened by flying pigs.

  • Theodore Bennett
    Theodore Bennett 5 days ago


  • I'm bossy since baby so,

    Most people in Australia are actually able to made their own coffee and it's better than those overpriced hot water. 😂

  • philippines jaime
    philippines jaime 5 days ago

    Who cares about this starbeurk

  • ᅡᅳᅦKMP
    ᅡᅳᅦKMP 5 days ago

    Maybe because, it is so hot in Australia.

  • Arahantius Detache
    Arahantius Detache 5 days ago


  • Jennie Pleasant
    Jennie Pleasant 6 days ago

    Im not an avid coffee drinker, But I do enjoy a good cup every now and then. However, i feel Starbucks is overrated and literally taste like dirt to me. I get better coffee from a small coffee shop or even Dunkin (that French vanilla is my weakness)

  • Guru Sandirasegaram
    Guru Sandirasegaram 6 days ago

    F that Starbucks coffee. Very strong coffee.
    Most countries are closing down.

    TAE IS GUCCI 6 days ago

    Because the whole world aren’t a load of sheep. Don’t get upset about it

  • RandomGuy5574
    RandomGuy5574 6 days ago

    If they ever open Starbucks in Bosnia and Herzegovina they would make a lot of money.

  • David Hargreaves
    David Hargreaves 6 days ago

    Ive only ever been in ONE Starbucks...never again.

  • Mr Dee
    Mr Dee 6 days ago

    Went to the States and I couldn't get a decent coffee ANYWHERE!

  • David Warner
    David Warner 6 days ago

    Why Starbucks when you have Vietnamese Iced Coffee? 😏

  • spot steinberger
    spot steinberger 6 days ago

    McDonald’s does better coffee

  • Megha
    Megha 6 days ago

    it's bc australia doesn't exist

    NIKHIL IYER 6 days ago

    Australia has di Bella

  • Nath Paris
    Nath Paris 6 days ago +1


    • Thander Lin
      Thander Lin 3 days ago +1

      Aus is a country, continent and island all at once. The only place in the world where it's all three things. ^^

    • ThatAussieGirl
      ThatAussieGirl 5 days ago +1

      Oceania is a geopolitical region, its not a landmass. If you didnt know that Oz ia both a country and its own continent, your school failed you hard.

  • telly diana dayondon

    In philippines starbucks is failing too.😏

  • Dennis R
    Dennis R 7 days ago

    Aussies didn’t want $7 toilet coffee?

  • Dreadog
    Dreadog 7 days ago

    STARBUCKS IS GARBAGE , Hence they will fail countries that have a real pallet for food and drink. This is the same reason they are successful in america. Over load it with sugar and we are good, and fat, and diabetic, and phony.

  • Darkshaflodi
    Darkshaflodi 7 days ago

    Didn´t know Australia was a continent. Guess my sister lied to us when she said she was moving to New Zaeland

    • Thander Lin
      Thander Lin 3 days ago

      I think some countries teach it differently. But yeah, Aus is a continent, country and island all at once. NZ doesn't belong to it though. It's a bit confusing.

  • Falhaind Rubin
    Falhaind Rubin 7 days ago

    Its simple. Overprice.

  • Rohan Schwartz
    Rohan Schwartz 7 days ago

    Australia isn't a "continent", @cnbc. Australia is a country. That and coffee is far better in major cities in Australia than that which Starbucks can deliver. And Gloria Jean's coffee generally sucks too. Have a great day! 🤭

    • Abz abz
      Abz abz Day ago

      Lol. Australia is a continent in fact, it is the smallest continent.

    • Thander Lin
      Thander Lin 3 days ago

      Australia is a continent, country and island all at once. Although for the sake of the video, I think that narrator should've called it a country - just to keep it simple. And at the end of the day, I drink neither tea nor coffee. Milo all the way. =D

  • Paul Pantoja
    Paul Pantoja 7 days ago


  • Poppy Lawrence
    Poppy Lawrence 7 days ago

    Ummm what about zarraffas 😂😂

  • Liv Emmett
    Liv Emmett 7 days ago

    Australia isn't a continent?

    • Abz abz
      Abz abz Day ago

      +Liv Emmett Oceania isnt a continent. Australia is a continent and in fact, the smallest continent.

    • Liv Emmett
      Liv Emmett 3 days ago

      +Thander Lin Then whats oceania? I'm not arguing, just genuinely curious

    • Thander Lin
      Thander Lin 3 days ago

      Australia is a continent, country and island all at once.
      Although I think the writers should've referred to it as a country, just to keep it simple. ^^

  • ankhenaten2
    ankhenaten2 7 days ago

    *star bucks coffee: hot milkshake with caramel drizzle over 5 centimeters of whipped cream and 3 drops of coffee in it*

  • Andy Bray
    Andy Bray 7 days ago

    Welcome to globalisation

  • Febi Ariaty Dethan
    Febi Ariaty Dethan 7 days ago

    why ? this is recommended

  • bops
    bops 7 days ago

    We don't want diabetes

  • 멋진워니
    멋진워니 7 days ago

    There were 2 and 3 Starbucks coffee shops in Brisbane CBD in 2008 when I was there. hmm..

  • Tristan Tang
    Tristan Tang 7 days ago

    Here in the philippines. Starbucks will determine if you're rich or a poor citizen. And if you are on a middle class, you cannot post a picture of it on social media because they'll label you as a social climber

  • Rotua Frans Manalu
    Rotua Frans Manalu 7 days ago

    one thing i learn from this video
    'its hard to be a billioner and a bussinesman'
    im happy with my average live now

  • Random Dudette
    Random Dudette 8 days ago

    I make coffee at home that tastes better than anything on the Starbucks menu. It’s a shop for rich people who like to show off, and it’s ridiculous.

  • 2ndTim32
    2ndTim32 8 days ago

    playing identity politics will do that to you.

  • 木戸DJ-Cody
    木戸DJ-Cody 8 days ago

    McCafe 👍

  • nuri lee
    nuri lee 8 days ago +1

    This only because we have way better coffee shops that sell real coffee and we have an italian chain of them, even a suburb is named after italian coffee

  • Tina Bimmel
    Tina Bimmel 8 days ago

    same reason it would fail in Italy - 100s of years of superb espressos and cappuccinos way better than Star$. The only reason it worked in the US is they only had instant and drip coffee there for ages.

  • martin corderoy
    martin corderoy 8 days ago

    Civilised people drink tea

  • Gym Jamie Monster Bodybuilding

    It’s because it’s too expensive seven dollars for an iced coffee get staffed that’s a rip off

  • Anthony M
    Anthony M 8 days ago

    I love his uptalk lol

  • HighwayRamos
    HighwayRamos 8 days ago

    Give it up Starbucks, your coffee is ratshit.

  • Iwan Santoso
    Iwan Santoso 8 days ago

    Why democracy failed in islamic nations....

  • rachel s
    rachel s 8 days ago

    Just like masters in Australia it failed.

  • Ceeka Peeka
    Ceeka Peeka 8 days ago

    I have saw Starbucks in Australia a week ago

  • D4NY BOY
    D4NY BOY 8 days ago

    Why no mention of Mc Cafe?

  • Mr Gunslinger
    Mr Gunslinger 8 days ago

    "Australians spoiled with coffee choice" - read: they know what GOOD coffee taste like and won't touch that garbage. Go to Italy and look for a starbucks. No sane person would drink that overpriced pisswater when you got proper coffee on every corner. USA needs to try out what real coffee taste like.

  • Faizal Abdillah
    Faizal Abdillah 8 days ago

    it's a dumb strategy to open massive chain store wth is starbucks thinking?

  • Aquila Eagle
    Aquila Eagle 8 days ago

    Selling American coffee to Italians, lol, good luck with that.

  • Terrmitt and Josh
    Terrmitt and Josh 8 days ago +2

    The coffee from the Aussie
    Is the best

  • Raphael Phua
    Raphael Phua 8 days ago

    Just because the coffee keeps falling out of the cup.

  • Morimoto
    Morimoto 8 days ago

    It's not even a coffee

  • Qualia Music
    Qualia Music 8 days ago

    becuase we're not shitcunts?

  • flip side
    flip side 9 days ago

    AuStraLiA iS a cOntEnT. Good one 👍

  • Nicholas Rafanan
    Nicholas Rafanan 9 days ago

    Booo this vid is telling a lie

  • Nicholas Rafanan
    Nicholas Rafanan 9 days ago

    Hey there are still Starbucks in Brisbane. Your telling a lie

  • Merlin
    Merlin 9 days ago

    Australia's have good sense.

  • Ruby Golani
    Ruby Golani 9 days ago +9

    because we are coffee snobs

  • Summerfish
    Summerfish 9 days ago

    Because if you have a mininum taste for coffee you don't drink that expensive garbage

  • Benjamin Desso
    Benjamin Desso 9 days ago

    Australia is not a continent

    • Benjamin Desso
      Benjamin Desso 3 days ago

      Thander Lin what about Oceania then?

    • Thander Lin
      Thander Lin 3 days ago

      Australia is a continent, country and island all at once.

  • John Smith
    John Smith 9 days ago +2

    Because Australians know the taste of a really good coffee!

  • AwkwrdW1llCmdy
    AwkwrdW1llCmdy 9 days ago

    Can they just fail everywhere. Starbucks is so overrated and having one on every corner is very annoying.

  • ZeBoy 19
    ZeBoy 19 9 days ago

    4:30 What about the territories ? North Territory and ACT

  • Jose Parcenary
    Jose Parcenary 9 days ago

    2:52 Australian's really have to stop talking like this if they ever want to be taken seriously.

  • how does my name matter

    We have only one or two Starbucks here in Kolkata

  • Cameron Luxfero
    Cameron Luxfero 9 days ago +1

    Australia doesn't drink coffee, coffee drinks them.

  • Gary Faulkner
    Gary Faulkner 10 days ago

    Over priced and better coffee can be found in a moccona jar !!