Starbucks Vietnam to shutter only upscale store in Ho Chi Minh City
Starbucks Vietnam to shutter only upscale store in Ho Chi Minh City
Starbucks Vietnam has announced the closure of its only Starbucks Reserve store in Ho Chi Minh City, effective from August 26.
An announcement on the shutdown of the Starbucks Reserve store on Han Thuyen Street in District 1, Ho Chi Minh City is posted on Facebook. Photo: Starbucks Vietnam |
This store, known for its more premium and immersive coffee experience compared to regular Starbucks stores, has been operating on Han Thuyen Street in District 1 for seven years.
Starbucks Reserve Han Thuyen is the U.S. coffee chain’s first and only Reserve store in the city, which introduces high-grade coffee served by coffee masters.
The announcement on the shutdown of the location quickly drew attention from its customers as the store is associated with many of its loyal clients.
It came as a shock to many, as the shop is always bustling with customers.
However, the coffee chain also revealed that a Starbucks Reserve store will soon open at a new location.
In 2021, Starbucks Vietnam closed a store which stood on a prime location near Nguyen Hue Pedestrian Street in Ho Chi Minh City.
Once the Starbucks Reserve store in the southern metropolis closes, only one Starbucks Reserve store will remain in Vietnam, located on Nha Tho Street in Hanoi.
As of May this year, the renowned coffee chain has operated 108 stores across Vietnam, marking 11 years since its entry into the Vietnamese market.
Last year, Starbucks Vietnam named Ho Mai Ho as its first Vietnamese CEO, who replaced Patricia Marques after she retired.
During her tenure, Marques affirmed that a hike in prices aimed at making up for land rents was not the coffee chain’s strategy.
Vietnam is home to some 500,000 coffee stores, according to statistics recently released by Mibrand Vietnam Joint Stock Company, a market research and brand consultancy.
The high demand for coffee consumption in Vietnam is evident from the numbers.
Coffee in Vietnam is more than just a beverage; it is a lifestyle, a means of networking, and a way to relax.
By the end of 2023, the Vietnamese coffee market was dominated by five major brands, Highlands Coffee, Trung Nguyen E-Coffee, The Coffee House, Phuc Long, and Katinat, together commanding around 42.5 percent of the market share.
The coffee chain model boomed in Vietnam between 2017 and 2019.
Since the end of the COVID-19 pandemic, several new coffee chains have thrived in Vietnam, although The Coffee House has had to close a series of stores in some areas.
