It has finally been revealed that Dunkin Donuts will be offering bottled coffee-to-go drinks that were, until now, exclusive to the Starbucks brand.
Remember when we told you that Coca-Cola was considering expansion into the bottled coffee market due to drops in soda sales? Well, now we know how they’re planning it. Fortune reports that the soda giant is going to team up with Dunkin’ to go head-to-head with Starbucks, who partners with Pepsi to sell their own drinks.
The new line of cold coffee beverages is set to launch in early 2017, and the Dunkin’ brand will be manufactured, distributed and sold by Coke. They’ll be on shelves at grocery and convenient stores everywhere, much like our beloved Starbucks bottled coffees are now.
The Wall Street Journal reports this as Dunkin’s latest attempt to brand itself as more of a coffee shop than a doughnut shop. Coffee, in all of its forms, already makes up about half of Dunkin’ Donuts’ sales. While Dunkin’ did acknowledge that selling these new bottled coffee drinks in-store might drive down sales for the made to order coffee drinks they already sell, they feel it will stop people from going elsewhere to buy bottled coffee later in the day.
Dunkin’ Chief Executive Nigel Travis said in an interview that the company would like to stop this from happening. If bottled coffee drinks are available to-go, customers might grab them there instead of going somewhere else later.
Coke will make the coffee using Arabica beans and through U.S. milk-making facilities through its Fairlife dairy joint venture.
Dunkin’ has already been working to expand its coffee market for a few years now, releasing packaged coffees and K-cups which, funny enough, sit on grocery store shelves right next to the Starbucks coffee brands. Dunkin’ Donuts believes that by the end of one year of selling bottled coffee, it will have sold 2.4 billion cups, and that’s in addition to the 2 billion it already sells in the coffee shops.
Looks like Starbucks has their work cut out for them in trying to stay one step ahead of the competition.