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Cannonball looking forward to Starbucks competition
Business
BY KARENA BENNETT Business reporter bennettk@jamaicaobserver.com  
May 11, 2017

Cannonball looking forward to Starbucks competition

US chain seeks island-wide locations

Less than a week after announcing its franchise operation in Jamaica, international coffee chain Starbucks is already seeking locations across the island to expand its footprint.

Last Friday the coffee giant announced that it entered into an agreement with Caribbean Coffee Traders Ltd to open its first café in Montego Bay, Jamaica.Under the agreement, Caribbean Coffee Traders Ltd, which is a consortium led by the Margaritaville Caribbean Group, will have exclusive rights to own and operate stores on the island. The company said it is now in the process of determining where in Montego Bay it will set up shop and the slated opening date for the café.Senior marketing manager at Margaritaville, Capin Alexander, told the

Jamaica Observer that the franchise operation is looking at a number of locations across the island, “but is still early in the process and will have additional details to share soon”.According to Starbuck’s website, the operation will be a joint venture between CEO of Margaritaville Caribbean Group Ian Dear and deputy chairman and CEO of Sandals Resorts International, Adam Stewart.Jamaica will be the 17th market in the Latin American and Caribbean region in which Starbucks will operate. The move is not only expected to shake up the existing local coffee shop market, but should also bring employment to Jamaica.Tourism Minister Edmund Bartlett also believes that the establishment of Starbucks operations in Jamaica will serve to strengthen the country’s appeal to international visitors.Laura Chandley, part-owner of local coffee shop chain Cannonball Cafe, told the

Caribbean Business Report that she welcomes Starbucks operation in Jamaica. She noted that while the coffee chain’s presence in Jamaica will increase competition locally, Starbucks will help to raise the profile of the coffee culture in Jamaica, which should prove beneficial to all the players in the industry.“Hopefully, it’s going to be a win-win situation for everybody…We also have to remember that Cannonball has been in operation for 14 years and we’ve seen the market change over that time. Even though we’ve only taken it over since last year, we’ve watched how players enter and exit the market and how the profile has developed.“We are also really lucky that over the 14 years Cannonball has established some very loyal customers, and we know that Starbucks is also going to help raise Jamaica’s profile for coffee,” she said.Starbucks noted that while conversations are in the early phase, both the company and Caribbean Coffee Traders share a commitment to creating meaningful opportunities for new hires.“Our goal in Jamaica, as with every Starbucks licensed market, is to ensure the experience for partners (Starbucks employees) remains consistent. The introduction of Starbucks to Jamaica will certainly mean local job creation, ongoing training programmes, and numerous other exciting benefits,” Alexander stated in an emailed response to the

Caribbean

Business Report queries.She added that while Caribbean Coffee Traders is committed to growing and developing the Starbucks brand in Jamaica, the details about its specific long-term investment plans are not available at this time.Starbucks, which started in Seattle, Washington, offers classic coffee-blended sips, including caramel frappuccino, mocha frappuccino and coffee frappuccino. 

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