Starbucks Prices Going Up

By CNN

Published 06/23 2014 01:37PM

Updated 06/23 2014 01:41PM

You may be paying more for your latte.

Starbucks announced its raising prices for some of its drinks starting tomorrow.

You'll pay anywhere from 5 to 20 cents more per drink.

Not all drinks will be affected.

For example, a tall or venti latte will go up about 20 cents.

But a tall brewed coffee and frappucinos will cost the same.

Starbucks insists the hike will affect less than 20% of its customers' orders.

And boost most total receipts by less than 1%.

Starbucks is just the latest coffemaker to raise prices --Folgers, Dunkin Donuts and Maxwell House did so earlier this month.

The price of coffee has been rising worldwide, hitting a two-year high in April.

Increased global demand coupled with a drought in Brazil -- which produces  about a third of the world's coffee -- shot prices up about 59% this year.

But the company says the price hike is because of its overall cost structure instead of skyrocketing coffee prices.

Starbucks buys its beans in advance, and has enough for at least the rest of the year.

Copyright 2015 Nexstar Broadcasting, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.


Featured Business