Starbucks Coffee Introduced Plant-Based Product Lines

Realizing that more and more customers are avoiding sugary drinks, Starbucks coffee is also doing some adjustments in its products. Now, the company is introducing plant-based options in the line of its products. Indeed, carbonated soft drinks are still the largest beverage category in the United States, particularly in terms of volume. Therefore, the business is still very promising, but the company feels it necessary to get it line with the current lifestyle.

Why Starbucks Coffee Introduces Plant-Based Variants

Besides the fact that more and more people are having healthier lifestyle, Starbucks coffee also sees the fact that Big Soda’s sale has been declining in the last few years. Actually, the demand for healthier lifestyle has been coming into almost other segments of food and beverage industry. It affects all aspects, from consumer package goods into restaurant space and coffee shop.

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Starbuck admitted that its Frappuccino’s sale also declined in the third quarter earning reports. In May this year, Frappuccino’s sale declined by 3%. This is of course not anticipated when the product line was introduced into the market. In 2015, it even became a bright spot in the company, as it grew by almost 17% during the fiscal year. The rapid change in the customer trend is responsible for the rapid change in the sales.

Starbucks Coffee

Kevin Johnson, Starbuck’s SEO’ admitted that people now begin to abandon high-calorie, high-sugar foods and beverages. They are looking for healthier choices that are good for body. He said that Starbuck Coffee is responding to the trend by introducing plant-based options.

Plant-Based Options from Starbucks Coffee

The new options include Teavana Shaken Iced Tea, Blonde Espresso, and Nitro Cold Brew. Last week, it just introduced the newest variants of protein blended cold brews made of almond and cacao. Besides shifting to plant-based options, the company also seems to shift to cold beverages. A representative of the company reported that cold beverages now make up almost 50% of their business.

In contrast to the trend in Frappuccino sale, the cold beverages, tea, refreshers, and plant-based variants are showing increasing trend. Last year, the demand grew by 37%, while this year, it is growing by almost 50%. The latter categories seem to fit the lifestyle of millennial consumers, particularly men. The company seems to optimistic and comfortable with the new beverage lineup, as there is innovation and consumer-driven strategies behind them.

Actually, the plant-based protein brew has been introduced last year, when the demand grew by 6%. Starbucks Coffee also added protein blend into its Protein Boxes, which have been growing by 20% during the last two years.  The company representative said that drivers of the demand are young people, particularly male millennial.

The plant-based choices come in 10 different variations. The company tested them individually to ensure the quality and flavors. It took the team 12 months to develop the new variants and get feedback from the customers and employees. Now, they are ready for orders with prices of about $5.95 for 16-ounce serving. Are these plant-based variants going to be the next bright stars in the business? Time will prove it.

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