Industry News | January 26, 2009

Coffee Energy Drink Shows No Sign of Slowing

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Starbucks Doubleshot Energy+Coffee beverages have become top performers in the ready-to-drink (RTD) energy coffee subcategory since launching in June 2008. The line represents three of the segment’s five best-selling SKUs and is expanding with the launch of a new flavor.

Building upon this early success, the North American Coffee Partnership (NACP), a joint venture between Starbucks Coffee Company (NASDAQ:SBUX - News) and PepsiCo, Inc. (NYSE:PEP - News), last week announced consumers will soon be able to enjoy the great-tasting invigoration of Starbucks Doubleshot Energy+Coffee in a new flavor: Cinnamon Dulce.

Created by NACP culinary experts, food scientists and product designers who explored beverage trends and drew inspiration from popular Latin flavors, Cinnamon Dulce combines the subtly spicy taste of cinnamon and vanilla with a supercharged blend of Starbucks coffee, B-vitamins, guarana, and ginseng. Cinnamon Dulce will begin rolling into grocery and convenience channels alongside existing Coffee, Mocha and Vanilla flavors in early February 2009.

“The strong performance of Energy+Coffee over the past eight months is a testament to the versatility of the premium coffee experience,” says Greg Price, vice president, Starbucks Consumer Products Group. “We look forward to continued innovation and expansion in the RTD coffee category in the future.”

The NACP entered the RTD coffee market in 1994 with the launch of Starbucks bottled Frappuccino beverages. Since that time, the joint venture has introduced a variety of Starbucks Doubleshot products, and has become a leader in the RTD coffee category, which topped the $1.3 billion mark in the U.S.

Starbucks Doubleshot Energy+Coffee is available in a 15 fl. oz. can for $2.59 (SRP) at convenience, grocery, mass, and drug stores nationwide.