Starbucks to launch first line of flavored coffee, Natural Fusions to hit grocers in June

By Ashley M. Heher, AP
Sunday, May 16, 2010

Starbucks to launch flavored coffee line

CHICAGO — Starbucks is planning a new line of ground flavored coffee that will eventually sell at hundreds of thousands of grocers.

The announcement is the company’s first foray into the $265 million premium flavored coffee market where brands such as Folgers and Maxwell House dominate store shelves.

The addition of vanilla, caramel and cinnamon coffee comes as the coffee chain is turning its business around after closing hundreds of cafes and lay off thousands of workers.

Now its sights are set on building its consumer products segment that sells everything from Starbucks ice cream to canned energy drinks.

Natural Fusions will have a $8.99 suggested price for 11-ounce bags.

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