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Starbucks and Danone to Develop Line of Dairy Products

July 24, 2013
KEYWORDS danone / Starbucks / yogurt
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Starbucks Coffee Company and Danone are entering an agreement to offer a jointly created line of new, healthy specialty yogurt products. The move is expected to advance Starbucks health and wellness offerings for its customers under the company’s Evolution Fresh brand.

The ready-to-eat Parfait Greek yogurt products will be branded Evolution Fresh, Inspired by Dannon. U.S. Starbucks will offer the products through its stores in spring 2014, and Danone in grocery channels in 2015. Distribution is planned to be extended to include targeted markets around the world in a second phase that builds upon the success of the U.S. initiative.

"The products won’t necessarily be coffee flavored (we haven’t announced specific flavors), as this is more about Starbucks expanded selection of delicious and healthy yogurt parfaits in its stores and in grocery channels," Linda Mills, sr. manager, global brand PR, Starbucks, told PLBuyer. "Currently, Starbucks offers several different yogurt parfait products (Greek Yogurt with Honey Parfait; Peach Raspberry Yogurt Parfait; Strawberry Blueberry Yogurt Parfait) that vary in availability depending on the market. These products will transition as a result of this agreement."

Beyond this initiative, Starbucks and Danone will seek additional ways to leverage joint opportunities across other products and markets in the months to come.

“Starbucks is committed to evolving and enhancing our customer experience with innovative and wholesome food offerings. Today’s announcement underscores this commitment through the transformation of our existing yogurt offerings and our multi-year agreement with Danone,” said Howard Schultz, Starbucks chairman, president and CEO, in a press release. “We are energized by the strong customer response to Evolution Fresh offerings, and believe a strategic agreement with Danone, the world leader in fresh dairy products, affords us the perfect opportunity to grow - and elevate - the Evolution Fresh brand both in our stores and in CPG channels.”

“With a fast-growing but still low penetration of the yogurt category, the U.S. remains a key growth opportunity for Danone,” said Danone CEO Franck Riboud. 

The financial terms of the agreement were not disclosed.

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