- Mercedes-Benz is installing fast EV charging stations at 100 Starbucks locations across the nation.
- The partnership will help reduce range anxiety and could drive more Starbucks sales.
Mercedes-Benz is bringing its fast electric-vehicle charging stations to 100 Starbucks locations. The move is a win for both EV owners and Starbucks, which is likely hoping to persuade drivers to stop in for a coffee or bite to eat while they charge up.
The new 400 kW stations — with fast-charging capabilities that can juice up compatible EVs to about 80% in about 30 minutes — are set to be installed in stores around the nation, including across Interstate 5, a critical West Coast route from Canada to Mexico. The charging stations will be accessible to all EV owners.
The new charging stations will help reduce "range anxiety" among EV owners, giving them an easily accessible and well-known place to stop when their batteries run low.
Range anxiety is the worry that an EV will run out of charge on a trip. Owners of gas-powered vehicles don't have to worry about this issue because they're usually near a gas station. But for EVs, it's a major roadblock to widespread adoption. In a June McKinsey survey, 46% of US EV owners polled said they were likely to switch back to a gas-powered vehicle, citing range anxiety as a major issue.
It's worth noting that EV companies have come a long way — fully battery-powered cars used to be able to drive only about 100 miles on a full charge in ideal weather conditions. Today, that number has just about tripled.
However, inconsistent charging hubs still present a significant hurdle in wide-scale EV adoption, especially for drivers who embark on road trips or travel through remote areas. Lawmakers have tried to bridge the gap with EV tax breaks.
And given the industrywide effort to increase charging accessibility, it isn't uncommon for EV makers to partner with other companies to create charging hubs.
Mercedes-Benz previously partnered with Buc-ee's and Simon Property to install its high-power charging hubs across the US. A spokesperson for the company told Business Insider it focused on regions where EV drivers were already prevalent to accelerate adoption. It also aims to cover gaps in charging coverage, like on popular travel routes, the spokesperson added.
They said it planned to expand to other locations, with a goal to eliminate the guesswork for the driver and create a seamless charging experience.
While EV chargers won't affect Starbucks' ambitions to reduce its carbon emissions by 50% by 2030, the partnership enhances Starbucks' sustainability efforts and could help it combat a recent decline in comparable North American sales, which dropped 3% in the second quarter.
A company spokesperson told BI that by 2030, it hoped to lead the retail industry in decarbonization solutions. The spokesperson said that expanding EV networks was "good for business and good for our planet."
"Partnering with Mercedes is the next step in expanding our EV charging network so our customers can refuel sustainably while they enjoy Starbucks," Michael Kobori, Starbucks' chief sustainability officer, said in the joint statement.
Starbucks also partnered with Volvo in 2022 to place charging stations at 15 Starbucks stores in a 1,350-mile span from Denver to Seattle. The company said in its announcement it had 1,000 company-operated and licensed stores with nearby access to EV charging.
The Starbucks spokesperson told BI that the company was not paying for the installation costs but would provide the space for stalls and other equipment. The number of chargers available at each Starbucks store will vary, but there should be a minimum of four at each location, the spokesperson added.
The spokesperson said the coffee giant was continuing to learn how its customers interact with EV stations and exploring partnerships and areas that would benefit from similar routes.
Mercedes-Benz opened its first high-power-charging site in November as part of an initial $1 billion investment to construct "the most desirable charging network." Since then, it's opened a dozen locations with 400 kW chargers across the country and plans to expand to half the US in the next 18 months.