Prepared Foods logo
search
cart
facebook twitter linkedin youtube
  • Sign In
  • Create Account
  • Sign Out
  • My Account
Prepared Foods logo
  • TRENDS
    • Prepared Foods The Year Ahead
    • Innovation Month
    • *Sustainability*
  • PRODUCTS
    • Bakery
    • Beverages
    • Breakfast, Cereals & Bars
    • Candy
    • Cannabis
    • Dairy
    • Meals & Sides
    • Meat, Poultry & Seafood
    • Sauces & Marinades
    • Snacks & Appetizers
    • Soups
  • INGREDIENTS
    • Antioxidants & Nutritionals
    • Colorings
    • Dietary Fiber
    • Emulsifiers, Fat & Oils
    • Flavors, Seasonings, Spices
    • Flours, Grains, & Pasta
    • Fruits, Vegetables and Nuts
    • Gums & Starches
    • Phosphates & Acidulants
    • *Proteins*
    • Sweeteners
  • FORMULATION
    • Allergens & Intolerance
    • Authentic & Ethnic
    • Cost Reduction
    • Fat Reduction
    • Gluten Free
    • *Immunity*
    • *Natural / Organic*
    • *Plant Based & Vegetarian*
    • R&D Lab Tech / QA-QC / Food Safety
    • Shelf Stability
    • *Sugar Reduction*
  • BETTER FOR YOU
    • Functional New Products
    • Functional Ingredients
    • Functional Benefits
  • FOOD MASTER
  • MEDIA
    • Podcasts
    • Videos
    • Infographics
    • Play With Your Food Game
    • Webinars
  • EVENTS
    • Spirit of Innovation Awards
    • Industry Events
  • MORE
    • Favorite Products Poll
    • First Person Q&A
    • Sponsor Insights
    • Store
  • EMAG
    • eMagazine
    • Archive Issues
    • Advertise
  • SIGN UP!
Breaking NewsBeverages

Starbucks’ Ambitious Grocery Plans

September 21, 2011
September 20/Seattle/MSN -- Starbucks is itching to expand into grocery aisles.

"In the next 12-18 months, we will be unveiling new products and entirely new categories," chief executive Howard Schultz told the German magazine Der Spiegel. "We're going to build a major multibillion-dollar business in the grocery industry for Starbucks, both domestically and around the world."

Clearly, Starbucks is not content to just stay in the beverage world. Prepare for some surprises, Schultz added. "I think people are going to be quite surprised over the next few years at what Starbucks is capable of doing," he said.

So, will there be Starbucks-branded chicken tenders or potato chips? The company offered no specifics, but it has said it wants to build a portfolio of billion-dollar brands inside and outside its stores. It spent $9 million last year researching new food, drinks and equipment.

So far, Starbucks has focused on its Via instant coffee, its Frappuccino beverages and the Tazo tea brand. Where else could Starbucks go in the U.S.? It has pretty much tapped out the opportunities for new cafes. The company made some bad real-estate decisions in the past, and is slowly opening more stores, but the real growth is in international expansion. Within the U.S., the growth will be in key partnerships and licensed deals.

Last year, Starbucks brought in nearly $9 billion on its coffee shops and retail business. However, the global consumer packaged-goods business had only $707 million in sales -- paltry by comparison, so that is where Schultz has focused. He has told shareholders that the grocery business will one day rival the success of the coffee shop segment.

One important partnership is Starbucks' deal with Green Mountain Coffee Roasters, which makes the Keurig line of one-cup brewing systems. Starbucks coffee is headed to the Keurig K-Cup packs in November. Green Mountain sold 2.9 billion of those K-Cups last year, a 75% increase from the year before.

Starbucks thinks the deal with Green Mountain will generate around $1 billion.

Starbucks is having the strongest financial year in its history, Schultz told Der Spiegel. In an ironic twist, the foundering economy is contributing to its success. "In the last few years, our stores have in many ways become a respite for people seeking refuge, especially during bad times," he said. "In this sense, we've created something of an affordable luxury."

 

From the September 21, 2011, Prepared Foods' Daily News. 

KEYWORDS: Coffee

Share This Story

Looking for a reprint of this article?
From high-res PDFs to custom plaques, order your copy today!

Recommended Content

JOIN TODAY
to unlock your recommendations.

Already have an account? Sign In

  • Women in beverge isle

    Ingredient Demonization May Not Drive Consumer Behavior

    While tracking cultural conversations around demonized...
    Ingredients
    By: Prepared Foods Editorial Staff
  • Bubs Candy Packages

    Sweden’s Viral Candy Brand BUBS Lands in US Retail Nationwide

    TikTok videos of BUB's unique chewy-meets-marshmallow...
    Products
    By: Prepared Foods Editorial Staff
  • Innovation Month Logo Orange

    Introducing Innovation Month: A Deep Dive into the Future of Food & Beverage

    The next wave of food innovation is here. Dive into the...
    Breaking News
    By: Prepared Foods Editorial Staff
Manage My Account
  • eMagazine Subscription
  • Newsletters
  • Manage My Preferences
  • Online Registration
  • Subscription Customer Service

More Videos

Sponsored Content

Sponsored Content is a special paid section where industry companies provide high quality, objective, non-commercial content around topics of interest to the Prepared Foods audience. All Sponsored Content is supplied by the advertising company and any opinions expressed in this article are those of the author and not necessarily reflect the views of Prepared Foods or its parent company, BNP Media. Interested in participating in our Sponsored Content section? Contact your local rep!

close
  •  A close-up of a fruit branch on a cherry tree.
    Sponsored byU.S. Tart Cherries

    When Provenance Meets Performance: The Case for U.S.-Grown Montmorency Tart Cherries

Popular Stories

Buckwalter OceanSpray CEO

Ocean Spray Names Abigail Buckwalter CEO

Bimbo Bakeries USA  logo

Bimbo Bakeries USA Sets Timeline for Clean Label Reformulation

A column chart made of sugar cubes with a blue background.

Sugar, Salt Reduction Drives New Formulation Strategies

PF Webinar sponsored by FoodChain: Signals to Shelf: Turning Consumer Insight into Executable Innovation

Events

June 18, 2025

Master the Art of Plant-Based Dairy

ON DEMAND: Whether you're in R&D, formulation, or innovation, this session will provide enzyme-driven insights to improve your plant-based dairy portfolio.

July 22, 2025

Boost Flavour and Functionality in Plant-Based Beverages With Bio-Based Solutions

ON DEMAND: Demand for plant-based beverages is rising, driven by health, environmental, and dietary trends. Yet, challenges around taste, texture, stability, and nutrition remain.

View All Submit An Event

Products

Recent Advances in Ready-to-Eat Food Technology

Recent Advances in Ready-to-Eat Food Technology

See More Products

CHECK OUT OUR NEW POWER TRENDS

Immunity Logo
Natural & Organic Logo
Plant Based Logo
Protein Logo
Sugar Reduction Logo Sustainability Logo

Related Articles

  • Starbucks Looks to Grocery for Growth

    See More
  • Starbucks Plans to Add Alcohol

    See More
  • Starbucks' Recovery Plans

    See More

Related Products

See More Products
  • Ready-to-Eat Foods: Microbial Concerns and Control Measures

  • GlobalData_logo_blue_header.png

    New Mealtime Priorities: COVID-19 Case Study

  • GlobalData_logo_blue_header.png

    Cooked Meats - Counter (Meat) Market in the United States of America - Outlook to 2024...

See More Products
×

Unlock the Future of Food and Beverage Innovation

Are you a leader in research & development? Stay ahead of the curve with Prepared Foods, the premier source of information and insights for today's trend leaders and taste-makers in food and beverage manufacturing.

JOIN TODAY
  • Resources
    • Advertise
    • Contact Us
    • Food Master
    • Store
    • Join
  • Sign Up Today
    • Create Account
    • eMagazine
    • Newsletters
    • Customer Service
    • Manage Preferences
  • Services
    • Marketing Services
    • Reprints
    • Market Research
    • List Rental
    • Survey/Respondent Access
  • Stay Connected
    • LinkedIn
    • Facebook
    • Instagram
    • YouTube
    • X (Twitter)
  • PRIVACY
    • PRIVACY POLICY
    • TERMS & CONDITIONS
    • DO NOT SELL MY PERSONAL INFORMATION
    • PRIVACY REQUEST
    • ACCESSIBILITY

Copyright ©2026. All Rights Reserved BNP Media, Inc. and BNP Media II, LLC.

Design, CMS, Hosting & Web Development :: ePublishing