JOHN CURLEY

Starbucks cafes now exceed McDonald’s, but are there too many?

Jun 8, 2018, 3:00 PM

Starbucks peta...

(File, Associated Press)

(File, Associated Press)

In the great coffee wars, Starbucks is now outpacing McDonald’s. After opening 2,000 new cafes nationwide in the last three years, they currently number is 14,300 U.S. locations according to The Wall Street Journal. That’s just a few hundred higher than McDonald’s, in case anyone is keeping count.

“What I found shocking is that this now just became news,” said KIRO Radio’s Tom Tangney. “Because I would have guessed that they crested a number of years ago. It seemed then that there were three on every corner, and now it feels like there are only two on every corner.”

RELATED: Is Starbucks’ new bathroom policy unfair to paying customers?

While it may be surprising to hear that you’re more likely to spot Starbucks’ nautical siren logo than the Golden Arches, both are still far outnumbered by Subway. They sling sandwiches at approximately 25,800 U.S. locations, nearly as much as McDonald’s and Starbucks combined. Not that many people buy coffee at Subway.

The news comes on the heels of an eventful few months for the coffee behemoth. They recently closed all their locations for racial bias training after a controversial incident involving two customers. Starbucks has opened all their bathrooms to non-paying customers, meaning there are now about 14,300 public bathrooms. And the company also announced that CEO Howard Schultz is stepping down.

And this week, the company said it’s raising the price of regular drip coffee by about 10 to 20 cents. Prices for more elaborate drinks like iced coffees and lattes will remain the same.

Starbucks may be experiencing slowed growth due to over-saturation

Since the country is by no means lacking in places to get coffee, this may be a sign of over-saturation. Starbucks shares declined 8 percent in the past year, and numerous analysts have argued that the company isn’t necessarily reaching new customers, but potentially causing individual locations to draw traffic away from each other, and ultimately cannibalizing their own sales.

“The question is: have they reached a saturation point?” Tangney said. “One of the people who was mostly aggressively pushing opening new stores was none other than Howard Schultz. The fact that he’s stepping down may indicate that they may be retrenching a bit.”

John Curley on KIRO Newsradio 97.3 FM
  • listen to tom and curleyTune in to KIRO Newsradio weekdays at 3pm for The John Curley Show.

John Curley

John Curley

wdfw commissioners...

John Curley Show

‘This is improper’: Tom Nelson on WDFW commissioners found to have violated open meetings law

An independent investigation commissioned by Gov. Bob Ferguson found that WDFW commissioners violated the state's Open Public Meetings Act and, in some cases, the Public Records Act.

2 days ago

Katie Wilson gun violence plan seattle - budget...

John Curley Show

‘Her budget reads like somebody that is not part of the DSA’: Curley gives Wilson’s spending plan a rare nod

KIRO host John Curley said he was surprised by Seattle Mayor Katie Wilson's new budget — and not in the way he expected.

3 days ago

tipping washington...

John Curley Show

Washington ranked second-worst tipping state in the country, new data shows

Washington ranked as the second-worst tipping state in the country, according to data from restaurant payments platform Toast.

4 days ago

landlord...

John Curley Show

‘Where’s the emergency for the landlord?’: Curley questions Spokane’s new rent ordinance after fire

KIRO host John Curley had a question after the Spokane City Council passed a new tenant protection ordinance. What about the landlords?

5 days ago

wa teacher student pronouns...

John Curley Show

‘I will lie for you’: WA teacher details how schools are offering to hide students’ pronouns from parents

A WA teacher discusses how schools hide students' pronouns from parents to protect their identity in a revealing interview on "The John Curley Show."

6 days ago

income tax I-645...

John Curley Show

‘They seem to think they know better’: WA Policy Center blasts Supreme Court for tossing voter-approved natural gas initiative

Washington voters approved I-2066 to protect access to natural gas. The state Supreme Court threw it out.

7 days ago

Starbucks cafes now exceed McDonald’s, but are there too many?