The Metro Vancouver Retail Thread

[jollyburger]

Originally Posted by dreambrother808

Some, yes, but if you think that’s all there is then you’re saying that you don’t go to Starbucks often and don’t hold a valid opinion of their customer base. Teenagers are not the prime demographic. Frappuccinos are probably less popular than they used to be.

As a percentage of sales, cold drinks here are likely around a third but obviously that varies seasonally. Category-wise, it showed the highest growth over a number of years though, as per public statements.

Overall, Starbucks is just as healthy business-wise as it has always been, other than the rising costs of doing business that are impacting everyone. Anyone saying otherwise is just pulling opinions out of their ass.

Please explain how cold drink sales are a 1/3 and Starbucks says it's over 75%?

[NewfBC]

Originally Posted by dreambrother808

Some, yes, but if you think that’s all there is then you’re saying that you don’t go to Starbucks often and don’t hold a valid opinion of their customer base. Teenagers are not the prime demographic. Frappuccinos are probably less popular than they used to be.

As a percentage of sales, cold drinks here are likely around a third but obviously that varies seasonally. Category-wise, it showed the highest growth over a number of years though, as per public statements.

Overall, Starbucks is just as healthy business-wise as it has always been, other than the rising costs of doing business that are impacting everyone. Anyone saying otherwise is just pulling opinions out of their ass.

Cold drinks are now the anchor of Starbucks' business.
https://www.businessinsider.com/starbuck...ut,faster%20and%20easier%20on%20baristas.

Ron.

[officedweller]

Originally Posted by dreambrother808

Some, yes, but if you think that’s all there is then you’re saying that you don’t go to Starbucks often and don’t hold a valid opinion of their customer base. Teenagers are not the prime demographic. Frappuccinos are probably less popular than they used to be.

As a percentage of sales, cold drinks here are likely around a third but obviously that varies seasonally. Category-wise, it showed the highest growth over a number of years though, as per public statements.

Overall, Starbucks is just as healthy business-wise as it has always been, other than the rising costs of doing business that are impacting everyone. Anyone saying otherwise is just pulling opinions out of their ass.

I wasn't commenting on the health of the business, just that Starbucks probably isn't going after the same market (coffee aficionados) that the local boutique coffee shops are going after.

[SpongeG]

i guess part of my point is out in the suburbs, I spend of my time in Langley these days, the only coffee place is Starbucks, Vancouver and to an extent, Burnaby have more options, JJ Bean, Blendz, Trees etc. And the ones in Langley are usually 75% people under 20 or 15. Back in my day, we teens hung out at McDonalds.

Artigiano is opening a store in Langley on 200th.

And yes cold drinks and add-ins are huge business for Starbucks now.

Starbucks beverage modifiers become a $1B business
Younger consumers are ordering more cold beverages that they customize with flavorings and syrups that generate some surprising revenue.

Starbucks charges extra for those modifiers, so a pump of caramel sauce could cost customers an extra 80 cents, for instance. That profitable pump of flavorings has soared in popularity among younger consumers, driving more revenue for the coffee chain.

And last quarter, the company added a new Pumpkin Cream Cold Foam modifier that proved popular for customers, helping drive those sales even further.

“There is no other coffee company anywhere in the world that has our ability to respond instantaneously to a customer’s request about customization,” Interim CEO Howard Schultz told investors. “Nor is there a coffee company that has our ability behind the counter in terms of flavors, syrups, modifiers, foam, et cetera, to provide the customer what they want.”

The shift from hot beverages to cold beverages has been swift and, even for a company as big and sophisticated as Starbucks, unexpected.

“Cold has certainly surprised us all at Starbucks,” Schultz said.

It is also giving the company a key demographic it wants badly: younger consumers. “We’ve never wanted to see our customer base get generationally older,” Schultz said. “We want to see it get younger.”

source

[supercanuck]

Anecdotally speaking, my 10 year old and her friends all think it is the coolest thing in the world to be seen with a Starbuck Frap or other colorful, cold drinks. I feel like a weirdo when I order by tall, black Pike.

[bluefox]

Originally Posted by supercanuck

Anecdotally speaking, my 10 year old and her friends all think it is the coolest thing in the world to be seen with a Starbuck Frap or other colorful, cold drinks. I feel like a weirdo when I order by tall, black Pike.

The more things change...

Anyway, agree with that Insider article. Starbucks is DEFINITELY making a killing off upcharges, and it's probably easier to get people to add in things that add up to profit on cold beverages since those are more often customized than hot beverages with standard recipes.

Even something as simple as an americano with a flavouring in it and/or a splash of non-dairy milk can run you up to $8, even $9 now. That's a reflection both of rising costs and the markups they're building into their pricing model. The question is, when will most consumers reach a breaking point and we see a rebound effect into brew at home. Or is coffee inflation-proof?

[officedweller]

Starbucks has those commercial about customization and there's a tiny disclaimer near the end that it's for cost / additional fee.
The ads come across like the Burger King "have it your way" ads, but this time there's a cost!

[connect2source]

Swatch taking the ground level of the former Milestone's space on the 1100 Block Robson. Wasn't there a Swatch store just a few shops to the east in the 80s?

[dreambrother808]

Originally Posted by jollyburger

Please explain how cold drink sales are a 1/3 and Starbucks says it's over 75%?

In Canada, where it’s cold half the year? No. That article is in reference to their overall business, of which Canada is a small fraction.

I don’t think any of you realize how many construction workers get a coffee at Starbucks every day, for example, or how many office workers, students, bus drivers, or moms, etc. The demographic is highly diversified and varies greatly by neighbourhood as well.

[SpongeG]

Swatch used to be where Virgin + is now, in the same old building as Starbucks.

[dreambrother808]

Originally Posted by officedweller

I wasn't commenting on the health of the business, just that Starbucks probably isn't going after the same market (coffee aficionados) that the local boutique coffee shops are going after.

Well there aren’t just two demographics: teenagers or coffee snobs.

[officedweller]

Originally Posted by dreambrother808

Well there aren’t just two demographics: teenagers or coffee snobs.

I didn't really say that either.

Originally Posted by officedweller

I wasn't commenting on the health of the business, just that Starbucks probably isn't going after the same market (coffee aficionados) that the local boutique coffee shops are going after.

Here's the thread - and I just realized I said the same thing that SpongeG said - but my comment was from a co-worker's comment about his kids.

[memememe76]

There is a middle ground between coffee chains and coffee boutiques. If I were still young, I’d find Starbucks and the like a PITA to study. There is that segment that you see in the bigger cities, catering to that university student. In Vancouver specifically, they tend to be Asian owned.

[theKB]

Stumbled across some a bunch of job postings for Ralph Lauren retail store in “greater Vancouver”. With the announcement of their North American retail director that they are opening a full store in Toronto, I’m wondering if there is a full line store in the works for Vancouver. Doesn’t seem like a posting for their “factory” store in Richmond.

They have expansion plans slated for North America and wondering if anyone has heard anything for our city. Would love to see a Ralph’s Coffee as part of a retail store here!

[connect2source]

Originally Posted by theKB

Stumbled across some a bunch of job postings for Ralph Lauren retail store in “greater Vancouver”. With the announcement of their North American retail director that they are opening a full store in Toronto, I’m wondering if there is a full line store in the works for Vancouver. Doesn’t seem like a posting for their “factory” store in Richmond.

They have expansion plans slated for North America and wondering if anyone has heard anything for our city. Would love to see a Ralph’s Coffee as part of a retail store here!

We had two over the years in Vancouver. The first where Muji is now on Robson which opened in 1985, I believe, then moved to The Landing in Gastown. I recall at the time The Landing was going to include a Ralph Lauren hotel concept on the upper floors.

[SpongeG]

I remedmber both the stores, I think retail insider a while back mentioned Polo was looking to open a Vancouver store. I wonder where, I wonder if that big space in Metrotown which has just been hoarded up could be a potential spot.

[theKB]

Originally Posted by connect2source

We had two over the years in Vancouver. The first where Muji is now on Robson which opened in 1985, I believe, then moved to The Landing in Gastown. I recall at the time The Landing was going to include a Ralph Lauren hotel concept on the upper floors.

Vancouver just had a vibe in the 70's and 80's... A ralph lauren hotel at the landing would have been pretty interesting haha!

Originally Posted by SpongeG

I remedmber both the stores, I think retail insider a while back mentioned Polo was looking to open a Vancouver store. I wonder where, I wonder if that big space in Metrotown which has just been hoarded up could be a potential spot.

I would think if they did a full store in Vancouver it would have to be in the sphere of the luxury retail district. A polo only store would fit metrotown but if it is to showcase the full collection (Double RL, Ralph Lauren Purple etc) they are in a complete different sphere of retail and more close to Loro Piana and Brunello Cucinelli price points. Most of the stores house the mass market stuff on the main floor (polo shirts, logo stuff) and then have multiple floors of the different sub brands including custom suits, high end womans wear etc. The chicago flagship is four (going off memory) floors and has a Ralph Lauren Restaurant along with Ralph's Coffee. NYC - similar setup with Polo bar which is a hotbed for celebrities and well to do (we clearly wouldn't get that here however maybe the Ralph's Coffee)

Harry Rosen hosted a Ralph Lauren Purple Lable trunk sale a few weeks ago. They do stock the collection in Toronto/Montreal (just not here).

I would hedge to suggest 710 Thurlow (ex escada/gucci temp store) could be a candidate. If Brooks Brothers were to vacate Alberni, that could also work given the available space above. With that said the job postings, I would think that 710 Thurlow would be the closest to completion for hiring and training staff while completing the site. This is all just speculation based on the job postings although I am sure there are people lurking on here that would have real info. Would be a nice addition to the shopping sphere here.

One other curiosity with Alberni - I would assume Monte Cristo is no longer proceeding with the Alberni (ex italian kitchen) location as there seems to be nothing going on there for years now.

[s211]

Originally Posted by theKB

Vancouver just had a vibe in the 70's and 80's... A ralph lauren hotel at the landing would have been pretty interesting haha!

I remember seeing the Landing Hotel's model suite. It was fitted up with RL kit but I don't recall if it was supposed to be an RL-branded hotel.

[C3YVR]

710 Thurlow could be a possibility for RL as part of the renovations look to increase its size, but I think Balenciaga is the more likely option. (The renovations also look to be a way off still.) btw Alo is taking the old PC Apple space.

[SpongeG]

what is Alo?