Nestlé and Starbucks have agreed a deal that will allow Nestlé to market Starbucks products outside of the company’s chain of coffee shops.
The two companies will work closely together to develop the existing line-up of Starbucks roast and ground coffee, whole beans, instant and portioned coffee; all of which are part of the Starbucks Packaged Goods and Foodservice range.
The agreement also covers Starbucks coffee and tea brands including; Starbucks, Seattle’s Best Coffee, Teavana, Starbucks VIA Instant, Torrefazione Italia and Starbucks-branded K-Cup pods. It excludes ready-to-drink lines and sales of any product made within Starbucks coffee shops.
Commenting on the deal, Mark Schneider, ceo of Nestlé, said: “This partnership demonstrates our growth agenda in action, giving Nestlé an unparalleled position in the coffee business with a full suite of innovative brands.
“With Starbucks, Nescafé and Nespresso we bring together the world’s most iconic coffee brands.The outstanding collaboration between the two teams resulted in a swift completion of this agreement, which will pave the way to capture further growth opportunities.”
Kevin Johnson, president and ceo of Starbucks, added: “This global coffee alliance with Nestlé is a significant strategic milestone for the growth of Starbucks. Bringing together the world’s leading coffee retailer, the world’s largest food and beverage company, and the world’s largest and fast-growing installed base of at-home and single-serve coffee machines helps us amplify the Starbucks brand around the world while delivering long-term value creation for our shareholders.”