Nestle is reportedly planning, in a partnership with Starbucks, to bring the global coffee chain’s products to the retail market outside cafes. Nestle has a global coffee partnership with Starbucks that allows both the companies to bring out a wide range of products. Nestle holds the global rights to market Starbucks consumer and foodservice products outside the company’s coffee shops under a 2018 agreement. The Swiss giant already sells Starbucks capsules for Nespresso and Nescafe Dolce Gusto coffee machines, as well as whole bean, roast and ground, and premium instant Starbucks coffees, including K-Cup pods.
The two companies said that they are extending their partnership to launch ready-to-drink coffee beverages in markets across Southeast Asia, Oceania and Latin America, under which they would roll out products like Frappuccinos and Doubleshots.
Touzet said that Nestle has the right to distribute Starbucks ready-to-drink coffees as FMCG products, and they are keen on exploring India as it is one of the fastest markets for Nescafe. Even though India is a tea-drinking market, there is tremendous potential for coffee, he said.
They are jointly developing a range of products including wholebean, roast, ground and premium instant Starbucks coffees, capsules, Nespresso pods and creamers.
Starbucks had entered India in October 2012 through a 50:50 joint venture with Tata Consumer Products. The joint venture operates more than 470 stores. The arrangement with Nestle is exclusive of Starbucks’s joint venture with Tata Consumer Products, the report added.
