However, Starbucks stated the price hikes will affect fewer than 20 percent of their customers.
The coffee brewer faces rising costs to open new stores globally, provide employee health care and fund its new tuition reimbursement program.
The company will be offering cold brew iced coffee to all 12,223 locations in the USA and Canada after a successful test run at more than 2,000 stores.
For those who frequent Starbucks, the price isn’t really the issue, it’s about the good coffee.
Other coffee sellers like J.M. Smucker Co. have announced they will cut prices to consumers because of declines in future prices for unroasted coffee beans. In an emailed statement Monday, Starbucks Corp. said coffee costs are only part of its expenses, which also include rent, labor, marketing and equipment.
The company did not specify which drinks would be impacted but indicated the price hike would hit most hot beverages. Starbucks has been trying to get more customers to buy food items like sandwiches in hopes of driving sales.