Starbucks sales were down in first quarter. Starbucks sales were down in first quarter.

Starbucks takes a hit from Trump boycott

First-quarter decline in sales attributed to anti-Trump sentiment in January

A 9% decline in sales at Starbucks in Mexico has been attributed by one analyst to a reaction against Donald Trump’s election as United States president.

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There were calls on social media for a boycott of Starbucks and other U.S. brands, including Ford Motor Company, Coca-Cola, McDonald’s and Costco, after Trump took office in January.

The #AdiósStarbucks hashtag trended on Twitter, triggering a response by multi-brand restaurant operator Alsea, which said in a statement that the Starbucks brand in Mexico is its own property and that the company itself is 100% Mexican-owned.

The decline in sales was calculated by Banorte-Ixe analyst Valentín Mendoza Balderas based on conversations with Alsea staff and his own estimates. Alsea doesn’t break down its sales figures by brand.

It was Intercam analyst Fernanda Padilla who claimed the results were due to the boycott.

“It was indeed the effect of that boycott,” she said, but added that there is no hard or official data from Alsea on the level of its effect.

The company acknowledged the fallout in an email yesterday.

“For a few days we saw an impact on Starbucks’ sales in Mexico due to the context,” said spokesman Mario Paez. “It was quickly offset by the company providing information on the link it has to our country, its relationship with Alsea, which is a 100% Mexican-owned company, and its connection to the community.”

Source: El Financiero (sp)

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  • Farmer_Girl

    Good. I love to see Starbuck’s taking a financial hit. Starbuck’s is a liberal owned company that I celebrate every time they lose money. Hope Mexicans continue to boycott this company.

    • SickofLiberalbs9999

      Starbucks Mexico is 100% Mexican owned.
      Mexicans boycott the stores – and hurt fellow Mexicans.
      Starbucks corporate HQ could care less about a 9% revenue decline.
      Mexican Starbucks workers need their jobs to support their families.
      Another failed “protest” without common sense applied.

      • Jungle Cat

        They aren’t known for being to brilliant.

        • Hailey Mannering

          The article alludes to the fact that the boycott ended when people in Mexico found out Starbucks in Mexico is Mexican owned.

          • Jungle Cat

            Mexican owned is most likely true.. But Starbucks is a franchise and the Mexican owned stores are paying the Starbucks Corp. a Franchise fee if not also a fairly good percentage of the profits… But this is only my opinion..

          • SickofLiberalbs9999

            You’re right about the franchise fee. I don’t know about paying part of the profits.
            But the boycott hurts Mexicans – the goal of the boycott was to hurt Trump.
            So they are simply foolish to call for a boycott of a Mexican business with Mexican workers.
            Imagine being a Mexican employee of Starbucks, watching your fellow citizens ruin your employment in a failed effort to somehow “hurt” the US President.

          • Jungle Cat

            Don’t now about the franchise fee or monetary percentage ether, was an in correct statement. Maybe stating they are paying a national advertising fee and buying all Star Buck products from the mother company, thus I am sure they are tied to and attached to the American Corporation..

          • SickofLiberalbs9999

            Boycott ended? When was that announcement made by the “organizers”?
            For millions of Mexicans, the boycott will never end, no matter how pointless it is proven to be.
            My point it that “organizers” of such boycotts need to get it right the first time.
            This idea turned out to be harmful to the very people it’s trying to help.
            The vast majority of Mexicans are unaware that Starbucks Mexico is a MEXICAN company.
            So they will blissfully continue to harm their own countrymen, trying to hurt Donald Trump.

        • Diogeron

          Uh, I think you need to buy a vowel. LOL

        • I think you mean “too brilliant.”

      • A number of businesses in Mexican with Gringo chain names are entirely, primarily or, in part, Mexican-owned. Sears, Costco, etc.

        • SickofLiberalbs9999

          Exactly – so organizers of boycotts need to do their homework, or shut up.
          This boycott hurts Mexicans.
          And the vast majority of Mexican “boycotters” will never even know it.

          • Hailey Mannering

            I have never even heard of an organized Mexican boycott of US goods and services. Has anyone else?

          • csb4546

            Do you read MND? Never heard of the Starbucks boycott?

    • Diogeron

      Starbucks is not a MX company, first of all. See this https://en.m.wikipedia.org/wiki/Starbucks

      Moreover, it is a shareholder owned, publically traded company with tens of thousands of owners. Yes, they give health care benefits to even part time workers, pay for college for employees, hire refugees (LEGAL) and treat their employees and customers with respect. If that makes them a “liberal company” to you, look in the mirror and ask yourself why you don’t like what they do for the people who make money for the company and their shareholders.

  • WestCoastHwy

    Free advertisement! “It was Intercam analyst Fernanda Padilla who claimed the results were due to the boycott” Intercam, Starbucks Mexican advertisement proxy! Mr. Howard Schultz is so much like Moses it’s scary.

    But then again, Howard Schultz, Larry Page, Sergey Brin, and Mark Zuckerberg, all control our daily lives and Moses would be proud of them.

    .

  • Stylez

    Not a fan of Starbucks,, but, Why are the citizens of Mexico worried about the Pres of the US ?? Mexico is plagued with a corrupt government from the top to bottom.

  • Jose Yates

    For generations Americans were ridiculed with whiners chanting Yankee Go Home. I can’t for the life of me understand criminal trespassers being deported from a country they illegally live in causing so much commotion. Overly emotional Mexicans and other thinned skinned Latinos don’t handle rejection well.

  • Hailey Mannering

    Not all anti-Trump people are pro-“illegals”. Trump has insulted Mexico and Mexicans. He´s violated the spirit of NAFTA by discouraging industries from building plants here. Many, many Trump supporters post terrible things about Mexico without knowing the facts. Why should we not try to support Mexican businesses now?

    • SickofLiberalbs9999

      Good, support Mexican business – but NOT boycotting the Mexican company called Starbucks.
      How does taking jobs and revenue from Mexican owners and workers hurt Donald Trump?
      Pay attention – Starbucks Mexico is not a “foreign” company.
      And if you want to hurt Donald Trump – find a way that doesn’t hurt Mexicans.

      • Hailey Mannering

        Why are telling ME not to boycott Starbucks ? My post is in response to why Mexicans are put off by Trump. I don´t boycott Starbucks.

  • K. Chris C.

    More this puppet-that-puppet propaganda.

    “See the strings, Luke!”

    An American citizen, not US subject.

  • Lots of reasons to dodge Starbucks, but Trump ain’t one of them. A good one is because Starbucks in the U.S. proudly proclaimed in PC style that it would give foreigners priority in hiring.

    Aside from that, how silly it is that Mexicans have their panties in a twist due to Trump’s wall issue. Mexicans, even apparently educated ones, feel it is their God-given right to enter the U.S. sans visa any ole time they wish. This arrogant criminality does not bother them.

    • Commander Barkfeather

      I know of no Mexicans who are upset with “Trump’s wall issue.” They understandably are demurred with Trump’s demand that Mexico pay for it. The US may build a wall. For the matter, they can build a bike path next to the wall–so long as they pay for it.

  • Commander Barkfeather

    These boycotts may or may not be misguided, but that does not change the fact that Donald Trump started all this with provocative rhetoric before and during the presidential campaign. Labelling an entire population as drug dealers, murderers, and rapists is not likely to endear that population to the US. So much for statecraft. I can recall other actions implemented against the Dixie Chicks and french (Freedom) fries. Many consumer crusades end up just being silly. It is the responsibility of the US to prevent undocumented immigrants from crossing the border. Mexico has no obligation to rein in its citizens or cooperate with US security forces.

  • alance

    The peso has been falling and inflation has been rising in many sectors of the Mexican economy. Luxury products like overpriced café americano have suffered.

    • Every Starbucks I have seen in Mexico – I have recently been to several Starbucks in Tijuana, Mexico City and Guadalajara and they are all full of people.

  • Mexican workers grow some of the best coffee in the world, with its center in Veracruz. Mexico doesn’t need to export green coffee beans just so that they can be over-roasted by Starbucks and reimported and sold in overpriced cups. Opposing Starbucks need not require a boycott; all it needs is to support the great local coffee that is already here in Mexico. Go local! Enjoy coffee grown in Mexico and brewed at home or in local cafeterías.

  • ace

    Excellent news, whether American or Mexican owned. Supporting the Starbucks name means supporting Planned Parenthood which is blood money from killing babies in the womb.

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