Starbucks to Sell Single-Serve Coffee Pods in US and Canada
If you’ve ever wondered when Starbucks would jump into the single-serve coffee market — the fast-growing, pod-based segment already worth nearly $2 billion — the answer is coming soon. This isn’t about a new machine, but rather how you’ll be able to brew Starbucks coffee at home using one you may already own.
Starbucks confirmed it will start selling single-serve coffee pods compatible with Green Mountain Coffee Roasters’ (GMCR) single-cup brewing systems in the U.S. in November 2011. The pods will be available in food stores and specialty retailers. Sales will expand to Canada in March 2012 and through Starbucks’ own website starting in August 2012. Later in 2012, the pods will also be sold in physical Starbucks retail stores across the U.S. and Canada.
What Are These Single-Serve Coffee Pods?
The coffee pods in question are designed for use with Green Mountain’s popular single-cup brewing systems — widely known under the Keurig brand. These are not Starbucks-branded machines; instead, they are third-party brewers that use individually sealed coffee pods, a format that has taken off in the North American market. Starbucks is adapting its coffee for this existing system rather than launching its own hardware.
Why Is Starbucks Doing This Now?
The move allows Starbucks to tap into the booming single-serve coffee market, which was approaching a $2 billion scale at the time. By offering its coffee in a format that millions of consumers already use at home, Starbucks can grow its at-home presence without the R&D and marketing costs of developing a proprietary machine. Importantly, this decision also puts an end — for now — to speculation that Starbucks was planning to release its own single-cup coffee machine.
When and Where Can You Buy Them?
Here’s the timeline: U.S. consumers will see the Starbucks pods in stores starting November 2011. Canadian availability begins in March 2012, initially through retail channels. From August 2012, you’ll also be able to buy them directly from Starbucks via its online store. By late 2012, the pods will also be sold in Starbucks retail outlets across both the United States and Canada.
Does This Mean a Starbucks Coffee Machine Is Coming?
Not yet. While the company is not ruling out the possibility of launching its own single-cup coffee machine in the future, there are currently no plans to do so. For now, Starbucks is focusing on making its coffee available through the existing Green Mountain platform, which already has a large installed user base.
Frequently Asked Questions
When will Starbucks single-serve coffee pods be available in the US?
Starbucks single-serve coffee pods for Green Mountain machines will go on sale in the U.S. in November 2011. They will be available in food stores and specialty retail locations.
Will the pods work with my Keurig machine?
Yes, the pods are designed for Green Mountain’s single-cup brewing systems, which include those sold under the Keurig brand. If you own a Keurig machine that uses these standard pods, the Starbucks pods will be compatible.
When will they be available in Canada?
Starbucks single-serve pods will launch in Canada in March 2012, initially sold through retail stores. They will not be sold in Canadian Starbucks shops until later in 2012.
Can I buy the pods online?
Yes, Starbucks will begin selling the single-serve coffee pods through its official website starting in August 2012. They will also be available in physical Starbucks stores across the U.S. and Canada by late 2012.
Is Starbucks making its own single-cup coffee machine?
No, Starbucks has not announced any plans to release its own single-cup coffee machine. The company has confirmed it is not pursuing that path for now, though it hasn’t entirely ruled out a future launch.
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