What's New with the Starbucks Brand?

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Vanilla lattes and caramel frappes might the first thing to come to mind when you think of Starbucks, but this global franchise is looking to move beyond coffee.

The coffee giant recently announced that it would begin serving handcrafted carbonated beverages known as "Fizzios" in 3,000 stores across the U.S. and in global markets, such Singapore, South Korea, and China, by the end of year.

Starbucks began testing these handcrafted sodas in Atlanta, Georgia, and Austin, Texas, late last year. Currently, the chain offers three soda flavors, Golden Ginger Ale, Spiced Root Beer, and Lemon Ale.

Starbucks also reportedly plans to add additional, locally relevant flavors this summer. The sodas are made by staff and are carbonated immediately after customers order.

In order to bring these handcrafted carbonated beverages to customers, it looks like Starbucks is eyeing a deal with well-known carbonated beverage machine company SodaStream. Israeli business news website Globes reports that Starbucks is in advanced talks to take a 10 percent stake in the company, something that could result in a $1.1 billion deal.

All in all, these new carbonated drink offerings are just one part of Starbucks' multifaceted expansion plans.

Earlier this year, Starbucks announced that certain shops would begin selling selected wines and beers in the evenings. In an attempt to bolster its foods offerings, the franchise has also been increasingly emphasizing lunch menu items.

Just last year, the brand rolled out of a variety of La Boulange pastry items, and the company has reportedly been testing a number of new items. 

Ultimately, whatever Starbucks is doing, it appears to be working. This year there are plans to open another 1,500 locations, including 600 in the Americas. The company continually reports healthy gains in sales in spite of the fact that many food franchises are continually lagging. 

Same-store sales rose 6 percent in the U.S. in the second quarter, and the company earned $427 million, up from $390.4 million a year ago.






Article by Jason Duncan, CEO/Founder of ManagerComplete.com.

ManagerComplete is an online software application that helps multi-unit franchises manage operations effectively.

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1 Comment

Starbucks is well on its way to becoming the ultimate beverage emporium.

Coffee, tea, blended drinks, soda jerk sodas, beer and wine.

Can't wait for the SBUX Bourbon Tasting Menu.

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This page contains a single entry by Jason Duncan published on May 6, 2014 9:45 PM.

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