News

Starbucks' VIA hits $100 million mark

August 2, 2010

Ten months after its debut, Starbucks reports that its Starbucks VIA Ready Brew has reached the $100 million mark in global sales.

According to SymphonyIRI Group, U.S. products that generate in excess of $50 million in first-year sales are recognized with a "mega hit" benchmark status. Starbucks VIA is among the top 3 percent of all new products with sales well in excess of the $50 million threshold as defined by SymphonyIRI.

According to company research, 55 percent of Starbucks VIA customers surveyed are drinking it at home; 25 percent at work; and the remaining 20 percent while on the go. Additionally, nearly 40 percent of those surveyed said VIA is an additive to beverages they are currently drinking, rather than a replacement to existing Starbucks coffee.

"We are extremely pleased with customer enthusiasm and adoption of Starbucks VIA Ready Brew," said Howard Schultz, Starbucks chairman, president and CEO. "Hitting $100 million in global sales in less than a year is a terrific accomplishment. In comparison, it took our Frappuccino blended beverage business about three years to reach this level of sales."

VIA is available in approximately 37,000 points of distribution in the U.S., which includes about 25,000 food, drug and mass merchandiser stores, with the remaining 12,000 coming from Starbucks stores, foodservice accounts and e-commerce. By the end of fiscal year 2011, Starbucks anticipates the number of non-Starbucks stores carrying VIA will increase by approximately 3,000 as well as grow in Starbucks Foodservice accounts.

The company also is expected to announce new VIA product innovation in the next few weeks along with new international markets.

Starbucks VIA Ready Brew Decaffeinated Italian Roast, launched last November, and Starbucks VIA Ready Brew Iced Coffee was launched in late June.