Show Hide image

Starbucks enters South Africa

The US based coffee chain will be offered in select hotels and casinos.

Starbucks, the international coffee chain from the US, has granted rights to Tsogo Sun Gaming and Southern Sun Hotel, through South African marketing agency Emperica Marketing, to offer its products at their select casino and hotel locations in South Africa, reported BusinessDay.

The coffee company said that its product line will be initially available at SunSquare Montecasino Hotel in Johannesburg, Southern Sun Cullinan Hotel in Cape Town, InterContinental Johannesburg Sandton Towers, Southern Sun Elangeni Hotel in Durban, and also Montecasino in Fourways. The brand will then be launched at other hotels across the country.

Through a foodservice agreement that allows agencies to offer Starbucks coffee to business-to-business set ups such as foodservice and office coffee operators, Emperica Marketing now has the rights to sell Starbucks products in the country. However, the agreement restricts Emperica to open a retail presence.

BusinessDay quoted Carole Pucik, spokeswoman of Starbucks, as saying: "This is in line with the Starbucks's strategy of entering new markets. This is just one of the ways we develop new markets. However, we have no plans as yet to open a retail presence in South Africa."