Mumbai, February 4: Is India ready for Starbucks’ ready-to-drink coffee products? As the demand for coffee grows in the country, Nestle is exploring the possibility of introducing Starbucks-branded ready-to-drink (RTD) coffee products. With a long-standing global partnership, Nestle has already made significant inroads in the Indian market, but now it is looking to expand its reach. The potential move comes as coffee consumption is rising, particularly in urban areas, despite India's strong tea-drinking culture.
As per a Business Standard report, Nestle’s exploration into launching Starbucks-branded RTD coffee products in India is part of its larger strategy to tap into the growing demand for coffee. Axel Touzet, head of Nestle’s Coffee Strategic Business Unit, highlighted that the company is eager to target diverse coffee consumption moments, given the shifting preferences among consumers in urban areas. With Starbucks already making a significant impact through its joint venture with Tata Consumer Products, Nestle sees further opportunities to reach coffee enthusiasts outside of cafes. Starbucks Layoffs: Cafe Chain’s CEO Brian Niccol Confirms Job Cuts in March 2025, Says ‘In-Store Teams Won’t Be Affected’.
Nestle’s 2018 global deal with Starbucks, which granted the Swiss giant rights to market Starbucks’ packaged coffee and food service products outside the company’s cafes, is set to be extended. Following success in Southeast Asia, Oceania, and Latin America, the RTD coffee venture could offer Frappuccinos, Doubleshots, and other Starbucks beverages in India. While India remains a predominantly tea-drinking country, the rise in coffee consumption in cities presents an opportunity for Nestlé to capture a larger market share. Elon Musk-Run X Sues Nestle, Lego, Shell and Other Companies Over Advertising ‘Boycott’ From Platform: Report.
The potential move is in line with Nestle’s broader vision of expanding its coffee portfolio in India, as the country has become a key market for its brands, including Nescafe. As per the Business Standard report, Nestle is already seeing strong growth in the retail coffee segment, with its powdered and liquid beverages contributing to the company’s success.
(The above story first appeared on LatestLY on Feb 04, 2025 07:33 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).