Latest / Pricing Power Podcast with Fexingo: How Businesses Set Prices, Raise Margins, and Win Customers
How Starbucks Raised Prices Without Losing Customers
In episode 20 of Pricing Power Podcast, Lucas and Luna examine Starbucks's 2025-2026 pricing strategy: how the coffee giant raised prices 8% across most of its US menu while same-store sales actually grew 2% in the most recent quarter. They break down the three specific moves behind that outcome — the mobile order algorithm that nudges customers to add items, the tiered rewards system that made the hikes stick for regulars, and the selective rollback of upcharges for non-dairy milk that blunted backlash. The episode also explores the risk of brand erosion when a premium chain's…
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