Starbucks: K-Cups will hit US stores in November
The company reached a licensing agreement with Green Mountain Coffee Roasters back in March.
By Michael Baron, TheStreet
Starbucks (SBUX) said Tuesday that K-Cup portion packs of its coffees for the Keurig brewing system manufactured by Green Mountain Coffee Roasters (GMCR) will be available for retail sale in the United States in November.
Starbucks and Green Mountain Coffee Roasters reached a licensing agreement back in March for Starbucks to be the "exclusive licensed super-premium coffee brand" for Keurig system.
"We are excited to expand our presence in the multibillion-dollar single-cup coffee category with the introduction of Starbucks coffee K-Cup Portion Packs, which offer a convenient at-home brewing solution utilizing the popular Keurig Brewer," said Jeff Hansberry, the president of Starbucks Global Consumer Products Group.
Starbucks varieties to be sold in K-Cup portion packs will include Breakfast Blend, Pike Place Roast, House Blend, Sumatra, and French Roast, as well as two selections of Tazo tea. The packs will be available in 10-count, 16-count, and 54-count packs.
"We plan to build Starbucks systemwide sales of K-Cup into a $1 billion business over time," added Hansberry, who noted system-wide sales of the company's own VIA Ready Brew brand surpassed $200 million in its first year.
Starbucks said it expects to begin selling the K-Cup portion packs in Canada in March 2012 with availability in its own retail store locations in those countries coming later in 2012.
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The solid report comes a month after the retailer closed all of its Canadian operations.
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