2014 Brandcameo Product Placement Awards

sip on this

Starbucks, Krispy Kreme Get Even More Caffeinated

Posted by Dale Buss on March 23, 2012 10:01 AM

If there's one thing America needs more of, it's CAFFEINE IN THE MORNING!!!! OR ANY TIME!! At least, that's the thinking at Starbucks and Krispy Kreme, two brands that have just upped their investments in beverage caffeination. Starbucks plans to launch its first line of energy drinks, called Refreshers, while Krispy Kreme executives said they plan to triple the volume of coffee they sell along with the brand's delicious doughnuts.

U.S. sales of energy drinks increased by more than 14 percent last year, according to a new report by Beverage Marketing Corp., making it the most-growing volume segment in the American beverage business. What was No. 2? Ready-to-drink coffee, up more than 9 percent. Beverage sales as a whole edged up less than 1 percent last year.

Meanwhile, fully 43 percent of morning eating and drinking occasions already consist of beverages only, among Americans two years old and up, said a new NPD Group report. Coffee accounts for 30 percent of all instances of morning-beverage consumption.

Such numbers point out why Krispy Kreme also is doubling — actually, tripling — down on caffeine. CEO Jim Morgan told investors this week that the company plans to boost its coffee sales over the next three years to 12 percent of its total sales at stores from 4 percent now. The company launched its own line of coffee last August, selling it by the cup and the bag, and plans to push more iced coffee and tea sales.

"If you walk by my office," Morgan told investors on Tuesday, according to MarketWatch, "you'll see a sign on the door that says 'coffee coffee coffee.' We are very focused on this."

And why not? Caffeination, more and more, is the American way of getting through the day.

Comments

Dan T. United States says:

Now if only Krispy Kreme could triple the amount of sugar in each doughnut I would never need to sleep.

March 26, 2012 05:18 PM #

Comments are closed

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