The Washington Times-Herald

Community News Network

June 24, 2014

Starbucks tests Greek yogurt smoothies in California, Missouri

CHICAGO — Starbucks Corp., which started selling handmade sodas in the southern United States Tuesday, is now testing three flavors of Greek-yogurt smoothies as it continues trying to broaden its appeal beyond coffee.

The sweet greens, mango carrot and strawberry drinks will be sold in about 170 locations in San Jose, California, and St. Louis, the company said in a statement. A medium-sized smoothie has 170 calories to 230 calories, depending on the flavor, and customers can add kale or extra Greek yogurt. While prices will vary by market, a 16-ounce smoothie is $5.95 in San Jose.

The push into Greek yogurt gives Seattle-based Starbucks something different than rivals, including Dunkin' Brands Group Inc. and McDonald's Corp., as well as more to sell in the grocery aisle. The based chain is expanding beyond coffee and looking to boost revenue by offering more fare during the afternoon that can also be sold in supermarkets.

Greek yogurt, with sales of about $1.22 billion last year, accounts for 29 percent of the U.S. yogurt industry, according to a September report from researcher IBISWorld Inc. The popularity of Greek yogurt has been the primary reason for the industry's rise in sales, which have grown 3 percent a year, on average, from 2008 to 2013.

Along with the "Evolution Fresh Inspired by Dannon" smoothies, Starbucks plans to introduce a line of packaged goods under the same name to grocery stores next year. Today, Starbucks sells Evolution Fresh juices and Evolution Harvest granola bars in supermarkets.

Starbucks gets about 10 percent of revenue from its channel-development segment, which includes sales at grocery and mass retailers. It sells Starbucks and Seattle's Best brand coffees, pods for Keurig brand single-serving brewers, Via instant coffee as well as cold-bottled drinks in supermarkets.

About a year ago, Starbucks said it was in a pact with Paris-based Danone to sell Greek yogurt in its cafes. It has since changed its parfaits to have nonfat Dannon-brand Greek yogurt in its company-operated U.S. locations. The chain has sold smoothies since 2009 in its cafes - a 16-ounce strawberry one made with 2 percent milk has 300 calories.

Starting Tuesday, Starbucks began selling sodas under the name Fizzio, in flavors including spiced root beer, in about 3,500 of its 11,600 U.S. cafes. They are made behind the counter with syrup and a carbonation machine, and the plan is to have them in all domestic locations in about a year, said Cliff Burrows, president of the Americas region.

Starbucks shares rose 0.9 percent to $77.43 at the close in New York. It has lost 1.2 percent this year, while the Standard & Poor's 500 Index has gained 5.5 percent.

 

1
Text Only
Community News Network
  • sleepchart.jpg America’s sleep-deprived cities

    Americans might run on sleep, but those living in the country's largest cities don't appear to run on much.

    August 20, 2014 1 Photo

  • Who should pay for your kids ACT?

    Thirteen states paid for 11th-grade students in all public high schools to take the ACT college admission test this year, with several more planning to join them in 2015.

    August 20, 2014

  • Pets.jpg Why do people look like their pets?

    As much as we might quibble over the virtues and vices of Canis domesticus, however, and over whether human nature is any better or worse than dog nature, even dog fanciers don't usually want to look like a dog.

    August 20, 2014 1 Photo

  • Ice bucket challenge trending up

    Internet trends are a dime a dozen these days. Everything from Tebowing to planking to the cinnamon challenge can cause a wave of social media activity that can last for weeks before fizzling out.

    August 19, 2014

  • Africa goes medieval in its fight against Ebola

    As the Ebola epidemic claims new victims at an ever-increasing rate, African governments in Sierra Leone, Guinea and Liberia have instituted a "cordon sanitaire," deploying troops to forcibly isolate the inhabitants in an area containing most of the cases.

    August 18, 2014

  • Democrat? Republican? There's an app for that

    If you're a Republican, you might want to think twice before buying Lipton Iced Tea, and forget about Starbucks coffee. If you're a Democrat, put down that Reese's Peanut Butter Cup, and throw away the cylinder of Quaker Oats in your pantry.

    August 18, 2014

  • Five myths about presidential vacations

    In the nuclear age, presidents may have only minutes to make a decision that could affect the entire world. They don't so much leave the White House as they take a miniature version of it with them wherever they go.

    August 15, 2014

  • Can 6 seconds launch a career? A generation of Vine stars sure hopes so.

    A year ago, Shawn Mendes filmed himself singing a tentative acoustic cover of the Justin Bieber song "As Long as You Love Me" and put the results on Vine. He wasn't expecting much response. "I didn't really want anything to happen; I just kind of wanted to see what people would think," says Mendes, 16. "I posted that first Vine and woke up the next morning with 10,000 followers. That was pretty cool."

    August 14, 2014

  • Freshman.jpg 8 crucial tips for college freshmen

    With school starting back up around the country, no one has a bigger deer-in-the-headlights look than college freshmen.

    August 14, 2014 1 Photo

  • A night in Ferguson

    For the past week in Ferguson, reporters have been using the McDonald's a few blocks from the scene of Michael Brown's shooting as a staging area. Demonstrations have blown up each night nearby.

    August 14, 2014