Where is Starbucks in the Coffee Franchise Industry?

Author: nathan@canamfranchise.com

Date: JUL 18th, 2012

Topic: Industry Experts

starbucks coffee franchise

Credit: marcopako via Flickr

It goes without saying that Starbucks is a powerhouse when it comes to getting coffee in the hands of people all over the world. A very common question we receive at BeTheBoss.ca is “How do I buy into a Starbucks Franchise?” And quiet honestly it was one of the very first questions I asked when entering the franchising industry as well. The unfortunate answer was a resounding, “You’re out of luck.“ Each Starbucks location is company-owned and operated with the exception of licensed agreements at airports, grocery stores and now a funeral home(?).

Our advice is to not let this stop you from operating a successful coffee franchise alternative; there is a very large (ever-growing) untapped piece of this coffee cake. In Canada, coffee is the most popular hot drink totaling 14 billion cups consumed annually. Second only to Italy, Canada has the highest percentage of total cup of joes consumed outside of the home with 64% of Canadians drinking coffee each day. If it’s hard numbers you want; in 2010, Canadians consumed 1.5 billion cups of coffee from quick service establishments totaling an estimated $3 billion.

If not Starbucks, what would be your best available alternatives?

Presse Café – Characterized by their European atmosphere and exclusive specialty coffees. Presse Café also is known for their traditional and imaginative full menu ranging from breakfast to dinner, even touching on light snacks and desserts.

Second Cup - Founded in 1975, Second Cup® is Canada’s largest specialty coffee franchisor, with over 350 cafés across the country. Making sure their customers taste the fullest flavor they roast all their fairly traded beans in small batches and test them 112 times before brewing.

Good Earth Coffeehouse - Exceptional (ethically traded) coffee, wholesome food, and a down-to-earth attitude has defined Good Earth Coffeehouses since 1991. Their Baristas are well trained in the art and science of serving great coffee and espresso drinks. Knowledge, passion and excellence are all hallmarks of their hand-crafted drink program.

Country Style – Founded in 1963, Country Style has grown to become Canada’s second largest coffee/donut chain with 500 locations across Canada. Offering customers quality products that include, fresh ground coffee, baked goods still made on site, a unique lunch offering and a service level like no other.

Statistical Sources: Agriculture and Agri-Food Canada