Starbucks lowers prices in China as rivals brew up discount war
China will lower the prices of some of its iced drinks by an average of 5 yuan (USD 0.70) across the country, the company announced on Monday, as competition intensifies and consumers become more cautious about spending.
In a post on its Weixin social media account, the U.S. coffee chain said it would offer more "accessible" prices on dozens of its drinks, including non-coffee drinks and the Frappuccino, from Tuesday.
While China is Starbucks' second-largest market after the U.S., the coffee market is highly competitive and consumers have become more cautious about spending because of the slowing economy and concerns about job security.
The new approach means some of Starbucks' drinks will be priced as low as 23 yuan, the post said.
Domestic rivals such as
Luckin Coffee
and Cotti have priced their drinks as low as 9.9 or even 8.8 yuan, while deep-pocketed internet companies JD.com and Alibaba Group have entered the food delivery market, adding to the competition. With offers and vouchers, Chinese coffee consumers can buy themselves a drink for as little as 2.9 yuan.
A person close to Starbucks, said the company was not reducing prices in response to intense price competition, but looking to attract more customers in the afternoon.
The individual requested anonymity as they were not in a role that allowed them to comment to the media.
"Starbucks likely has a longer-term strategy, which is to focus on the demand for non-coffee items in the afternoon among consumers," the source said.
Starbucks had said previously that it would not engage in a price war. However, it has also introduced smaller-sized drinks and issued coupons which have lowered prices for customers
The U.S. giant has also been looking to revive its business in China via selling stakes in the business.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Time of India
an hour ago
- Time of India
Humanoid robot roams NYC, tries on sneakers, grabs hot dogs, and amazes New Yorkers
In July 2025, KraneShares introduced KOID, a $100,000 humanoid robot, in Midtown NYC to promote their Global Humanoid and Embodied Intelligence Index ETF. The stunt involved KOID walking down Fifth Avenue, interacting with people, and even trying on sneakers at a Hoka store, generating mixed reactions from amazement to fear. People in Midtown, New York City (NYC), were left amazed and flabbergasted after the humanoid marched through Midtown. Tired of too many ads? Remove Ads Content creator Ben Sweeney orchestrated full scene Tired of too many ads? Remove Ads Some onlookers were hopeful People in Midtown, New York City (NYC), were left amazed and flabbergasted after the humanoid marched through Midtown. While strolling on roads, the humanoid was seen grabbing hot dogs, trying on sneakers, and catching attention in a wild promo stunt. The KOID-branded bot, priced around $100,000, was rolled out last week by global asset management firm KraneShares to promote its Global Humanoid and Embodied Intelligence Index ETF, which launched in June after the bot rang the Nasdaq opening a global asset management firm, introduced the KOID-branded bot in July 2025 for about $100,000. It was launched to promote their Global Humanoid and Embodied Intelligence Index ETF, which started in June, 2025 after the bot rang the Nasdaq opening Dube, head of marketing at KraneShares, said, 'I feel like I was witnessing firsthand . . . the first lightbulb or the first car,' as quoted by the New York Post. 'People were amazed. Some people were terrified. It was a major mixed bag of reactions,' he added. During the stunt, the bot walked down Fifth Avenue, stopped for selfies, and strolled into a Hoka store, where surprised staff even helped it try on creator Ben Sweeney set up the entire scene, filming for the @NewYorkers social account and chatting with people on the street. The videos went viral online, with some getting over 100,000 likes.'To mess with humanity . . . y'all gotta stop. Satan, I rebuke you to hell,' one man on the street shouted, according to New York Post. 'How much am I getting paid, and how much is the robot getting paid?' another asked. 'It's going to happen,' a woman said when asked about a potential robot takeover.A blind man called the tech 'wonderful,' noting it could help people who can't have guide dogs due to allergies or other limitations. 'I mean, I would love for it to clean my house,' another passerby said. KOID, developed by Chinese robotics company Unitree and distributed by RoboStore in Long Island, is powered by Stanford's OpenMind bot was controlled remotely during its Fifth Avenue walk, but according to Dube, it's fully programmable and already in use in research labs and universities. Since launch, KraneShares says the ETF has drawn in $28 million. According to the NY Post, the Morgan Stanley Global Humanoid Model projects that there could be 1 billion humanoids and $5 trillion in annual revenue by 2050.
Mint
2 hours ago
- Mint
HCLTech CEO C Vijayakumar earns $10.85 mn in FY25; more than TCS, Infosys heads
New Delhi, Aug 2 (PTI) HCLTech CEO C Vijayakumar earned USD 10.85 million (about ₹ 94.6 crore) in the financial year 2024-25, making him one of the highest-paid executives in the Indian IT sector and surpassing the earnings of chiefs at larger rivals TCS and Infosys. The company's board has also approved an over 71 per cent increase in his current remuneration to USD 18.6 million (about ₹ 154 crore) for the next financial year, according to the company's annual report. Vijayakumar's FY25 compensation places him ahead of his peers at India's top two IT firms. For the same period, TCS CEO K Krithivasan's remuneration was ₹ 26.52 crore, while Infosys CEO Salil Parekh earned ₹ 80.62 crore. Vijayakumar's earnings also topped those of Wipro CEO Srinivas Pallia (USD 6.2 million or about ₹ 53.64 crore) and Tech Mahindra CEO Mohit Joshi ( ₹ 53.9 crore). According to HCLTech's annual report, Vijayakumar's total remuneration in the fiscal year ended March 31, 2025, comprised a base salary of USD 1.96 million and a performance-linked bonus of USD 1.73 million. The largest portion of his earnings came from long-term incentives, with exercised Restricted Stock Units (RSUs) valued at USD 6.96 million. An additional USD 0.20 million was provided in benefits and perquisites. Vijayakumar, who took over as the CEO in 2016, is based in the US and draws his remuneration from HCL America Inc., the firm's wholly-owned US subsidiary. "Under C. Vijayakumar's leadership, HCLTech's market capitalisation has increased from ₹ 1,15,000 crore on March 31, 2016, to ₹ 4,32,000 crore on March 31, 2025, reflecting a growth of 3.8 times since FY16. Over the same period, the market capitalisation of the other four leading Indian listed IT services firms among the top five has grown by approximately 2.5 times," the company said. The company's board has approved a revised remuneration package for Vijayakumar, effective April 1, 2025. The proposed annual salary is set at USD 18.6 million, marking a 71 per cent increase from his FY25 earnings. The proposed structure significantly increases both fixed and performance-linked components. "The revised compensation acknowledges C Vijayakumar's successful and long-tenured leadership as CEO, recognising his significant contributions to the company's growth and sustained performance over the years," the report said. HCL Technologies posted a 9.7 per cent drop to ₹ 3,843 crore in consolidated net profit for the June quarter, hurt by higher expenses and one-time impact of a client bankruptcy, but raised the lower end of revenue growth outlook for the full fiscal to 3-5 per cent (from 2-5 per cent earlier) on booking expectations in coming quarters. Shares of HCLTech settled 0.98 per cent lower at ₹ 1,452.95 apiece on the BSE on Friday.
News18
2 hours ago
- News18
HCLTech CEO C Vijayakumar earns $10.85 mn in FY25; more than TCS, Infosys heads
Agency: New Delhi, Aug 2 (PTI) HCLTech CEO C Vijayakumar earned USD 10.85 million (about Rs 94.6 crore) in the financial year 2024-25, making him one of the highest-paid executives in the Indian IT sector and surpassing the earnings of chiefs at larger rivals TCS and Infosys. The company's board has also approved an over 71 per cent increase in his current remuneration to USD 18.6 million (about Rs 154 crore) for the next financial year, according to the company's annual report. Vijayakumar's FY25 compensation places him ahead of his peers at India's top two IT firms. For the same period, TCS CEO K Krithivasan's remuneration was Rs 26.52 crore, while Infosys CEO Salil Parekh earned Rs 80.62 crore. Vijayakumar's earnings also topped those of Wipro CEO Srinivas Pallia (USD 6.2 million or about Rs 53.64 crore) and Tech Mahindra CEO Mohit Joshi (Rs 53.9 crore). According to HCLTech's annual report, Vijayakumar's total remuneration in the fiscal year ended March 31, 2025, comprised a base salary of USD 1.96 million and a performance-linked bonus of USD 1.73 million. The largest portion of his earnings came from long-term incentives, with exercised Restricted Stock Units (RSUs) valued at USD 6.96 million. An additional USD 0.20 million was provided in benefits and perquisites. Vijayakumar, who took over as the CEO in 2016, is based in the US and draws his remuneration from HCL America Inc., the firm's wholly-owned US subsidiary. 'Under C. Vijayakumar's leadership, HCLTech's market capitalisation has increased from Rs 1,15,000 crore on March 31, 2016, to Rs 4,32,000 crore on March 31, 2025, reflecting a growth of 3.8 times since FY16. Over the same period, the market capitalisation of the other four leading Indian listed IT services firms among the top five has grown by approximately 2.5 times," the company said. The company's board has approved a revised remuneration package for Vijayakumar, effective April 1, 2025. The proposed annual salary is set at USD 18.6 million, marking a 71 per cent increase from his FY25 earnings. The proposed structure significantly increases both fixed and performance-linked components. 'The revised compensation acknowledges C Vijayakumar's successful and long-tenured leadership as CEO, recognising his significant contributions to the company's growth and sustained performance over the years," the report said. HCL Technologies posted a 9.7 per cent drop to Rs 3,843 crore in consolidated net profit for the June quarter, hurt by higher expenses and one-time impact of a client bankruptcy, but raised the lower end of revenue growth outlook for the full fiscal to 3-5 per cent (from 2-5 per cent earlier) on booking expectations in coming quarters. Shares of HCLTech settled 0.98 per cent lower at Rs 1,452.95 apiece on the BSE on Friday. PTI ANK RHL RHL view comments First Published: August 03, 2025, 01:15 IST Disclaimer: Comments reflect users' views, not News18's. Please keep discussions respectful and constructive. Abusive, defamatory, or illegal comments will be removed. News18 may disable any comment at its discretion. By posting, you agree to our Terms of Use and Privacy Policy.
