Starbucks launches new foodservice subsidiary

Nation's Restaurant News, Feb 2, 2004

SEATTLE -- Starbucks Coffee Co., the roaster and marketer of specialty coffee with more than 7,000 retail outlets around the world, launched a new subsidiary that will cater to foodservice.

In addition to developing a foodservice team that will address operators' needs, the company also will offer an expanded portfolio of coffee and tea products.

Starbucks is targeting growth in the industry, with a focus on colleges and universities, hotels and motels, business and industry foodservice, restaurants, office coffee service and gourmet coffeehouses.

John Culver, vice president and general manager of Starbucks Foodservice division, said the company had "taken major steps to create an organization attuned to building and enhancing our customers' businesses. We have retooled our team to increase the frequency and quality of our customers' interactions.

"Today we can respond to customers' needs faster and offer solutions to meet their customized business requirements."

As a part of Starbucks' new focus on operator sales, it is offering Guatemala Casi Cielo exclusively to fine-dining restaurateurs. The coffee is raised by four farms located in the Antigua Valley of Guatemala. Casi Cielo, which is Spanish for "almost heaven," is a medium-bodied coffee, and currently it is served at Canlis Restaurant in Seattle.

Starbucks' recent acquisition of Seattle Coffee Co. enables the coffee company to offer operators a variety of brands, including the Starbucks Coffee "We Proudly Brew Program"; Seattle's Best Coffee; Torrefazione Italia coffee; and Tazo teas.

Starbucks also signed a broad-line distribution agreement with Sysco earlier this year in an effort to make nationwide access more convenient, the company said.