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 prices cross the $7 threshold for a cold drink. Listeners get a concrete framework for thinking about when a price increase signals confidence and when it signals something else. #Starbucks #PricingPower #Business #FexingoBusiness #BusinessPodcast #PricingStrategy #CoffeeIndustry #MobileOrdering #RewardsProgram #NonDairyMilk #Inflation #ConsumerBehavior #BrandEquity #SameStoreSales #ValuePricing #PremiumBrand #PriceElasticity #MenuPricing Keep every episode free: buymeacoffee.com/fexingo