bodyType

customContents

entityId

entityUuid

articlePageQuery

filter

article

articleBaseAdvertisingInfoArticle

articleListArticle

articleSeoArticle

helpersCheckIsPostiesArticle

hooksArticleAcknowledgementGateOverlayArticle

hooksTrackPageViewArticle

hooksContentInterestArticle

articleLinkingDataContent

articleSchemaContent

liveArticle

advertZone

sentiment

contentLock

topics

types

sections

moreOnThisArticles

urlAlias

commentCount

sponsorType

authorLocations

authors

paywallTypes

corrections

displaySlideShow

multimediaEmbed

printHeadline

seriesContainer

socialHeadline

headline

flag

firstTopic

glossary

flattenTypeIds

publishedDate

additionalInfoBoxes

images

image

relatedLinks

relatedNewsletters

__typename

createdDate

sponsor

factSheets

series

disableOffPlatformContent

published

updatedDate

summary

subHeadline

body

keywords

copyrighted

customTimezone

liveContents

Clara Li

Hong Kong's discerning coffee lovers will soon be able to enjoy a shot of Starbucks Coffee, one of the most successfully marketed coffee shop chains in the world. Local fast-food chain Maxim Caterers last week teamed up with the Seattle-based chain to open Starbucks coffee shops in the SAR later this year.

 The news hardly created a stir as Starbucks has long eyed the Hong Kong market because of its affluent population and appetite for Western brands and products.

 Starbucks Corp, started by Howard Schultz, has 2,600 stores around the world, with most in the United States.

 It also has opened coffee shops throughout Asia, including the mainland, Taiwan, Thailand, South Korea and Singapore.

 Now, with the strategic partnership with Maxim Caterers - which operates more than 300 outlets in Hong Kong, including Chinese, Western and Japanese restaurants, fast-food outlets and cake shops in central - the road seems to be paved with success for Starbucks.

 'We are very excited about the partnership with Maxim, which has the local expertise to make Starbucks a success,' said Petro Man, president for Starbucks Asia Pacific.

 Even though some eyebrows have been raised about the business philosophy of the two companies, both see themselves as a perfect match, pointing to their 'common commitment toward quality, service, building a reputable brand and emphasis on the people aspect of the business'.

 Moreover, the alliance is regarded as one step further for Maxim, which intends to move beyond its core business of being just a fast-food chain.

 'Although our core business, including Chinese restaurants, fast-food places and cake shops, caters to the masses, in the past few years we have expanded into more upscale and trendy restaurant concepts,' managing director of Maxim's Caterers Michael Wu said.

 The upmarket restaurants he mentioned include Mezz in Prince's Building, Thai Basil Cafe in Pacific Place and Eating Plus at IFC in Central.

 Maxim's other new-look restaurants include theme restaurants such as the Hello Kitty Cafe and Ultraman.

 Mr Wu said Starbucks coffee would not be offered through Maxim's 300-plus outlets in Hong Kong.

 'It will be Starbucks stores, with similar decoration and ambience of other stores around the world,' he said.

 'But the food might be more in line with local tastes.'  Maxim's role as a strategic partner would be to handle the operations, including securing outlets which were 'large, visible and situated at strategic locations'.

 The first store is scheduled to open by the third quarter of this year.

  'In most Asian cities we have opened 20 to 30 stores,' Mr Wu said, adding that in Hong Kong, 'we can easily achieve that.'  The arrival of the coffee giant from the US seems to have put local coffee king Pacific Coffee on the defensive.

 'This is nothing new, we have been competing for the past seven years and we will continue to compete,' said Tom Neir, owner and general manager of the company.

 Pacific Coffee, established in 1993, has enjoyed tremendous success in Hong Kong, with 18 outlets and another 12 on the way.

 'We have been providing world-class coffee and service,' Mr Neir said.

 'The entrance of Starbucks is not going to force us to make any changes.

 'We are happy with what we do and will continue to do what we do well.'  The new competition may not necessarily bring down the price of a cuppa, which is expensive compared with other cities around the world.

 'You can only do so much. They [Starbucks] need to pay rent, too,' Mr Neir said.

 'I think now there is a lot of hype about Starbucks. I will give it 12 to 18 months and it will wear off. And people will be able to make their own choices.'  Mr Wu of Starbucks said: 'I think the arrival of Starbucks will only enhance and invigorate the existing coffee culture in the territory.

 'Hong Kong appreciates a good cup of coffee. There is enough room for new players.' Clara Li 



Starbucks on the boil