"Giving Up a Daily Cup of Seubuk Coffee"... Surviving High Inflation in the US

Customer Visits Down 7.8% at Starbucks, 4.1% at Dunkin YoY
June US Consumer Price Index Hits 9.1%
Highest in 41 Years Since February 1981

Last month, customer visit rates at Starbucks and Dunkin in the United States dropped sharply. [Image source=Pixabay]

[Asia Economy Reporter Kim Jung-wan] Americans are giving up even their daily cup of coffee amid 'record-high inflation.'

According to the U.S. economic portal Yahoo Finance, visits to Starbucks in the U.S. dropped 7.8% in June compared to the same month last year. During the same period, Dunkin visits decreased by 4.1%.

According to the U.S. location big data analytics company Placer.ai, as inflation accelerated, the number of consumers visiting leading American coffee chains Starbucks and Dunkin significantly declined. In particular, Starbucks saw a 6.6% decrease in customer visits compared to June 2019.

Coffee chains such as Starbucks and Dunkin enjoyed a boom for about two years from July 2020 to last May, surpassing delivery-only chains every month without economic damage from the COVID-19 pandemic. However, as food ingredient prices soared due to the current inflation, Starbucks and Dunkin, which recently raised prices, have seen fewer customers.

The U.S. Bureau of Labor Statistics recently announced that the Consumer Price Index (CPI) for last month recorded 9.1%, the highest in 41 years since February 1981. Grocery store prices within food rose 1% compared to the previous month in June. Prices for cereal, bread, and chicken increased by 2.5%, 1.6%, and 1.5% respectively in June, marking year-over-year increases of 14.2%, 10.8%, and 17.3%. Earlier, Starbucks raised prices on various coffee types three times since last October, and Dunkin is reported to have recently increased prices by 8%.

As prices rose beyond what ordinary citizens can bear, the White House has taken steps to lower overall consumer prices.

Brian Deese, Director of the National Economic Council at the White House, stated in an interview with Yahoo Finance that President Biden is taking measures to reduce overall consumer prices. He also explained that legislation is being pursued to provide renewable energy incentives and lower prescription drug prices to reduce overall utility costs.

This content was produced with the assistance of AI translation services.