Starbucks is getting into the bread business.
The Seattle-based coffee chain announced plans Monday to buy San Francisco-based Bay Bread and its La Boulange bakery brand for $100 million.
"This is an investment in our core business," said Howard Schultz, Starbucks chief executive, in a conference call with financial analysts. "After more than 40 years, we will be able to say that we are bakers too."
Schultz said one-third of Starbucks transactions include the purchase of a food item. Food now accounts for $1.5 billion in sales at U.S. company-operated Starbucks stores and has grown sharply in recent years, he added.
Starbucks will create a "new methodology" to produce fresh baked items, Schultz said without elaborating.
Read - Starbucks: 'We are bakers too'
I think this is great. If only they would move in more in Europe. I say this, but I'm also one of the people who travels around, sees Starbucks, and goes to the corner coffee shop with the most locals in or the kookiest deco. It's just in moments when my friends decide to meet at Starbucks and chat that I really want to choose the large selection of treats they have in the States.
However, I have to applaud them for their traditional baked goods from Peru in the Starbucks' located there. Including the Algarrobina Frapuccino. Makes me happy to know they are including flavours of the country
fyi everyone complaining abuot starbucks' pastries is only proving that this is a great move for sbux
Wow, a "new methodology." Does that producing items that are fresh and don't taste like cardboard?
Cool, I own a small bakery, this will give me more business as Starbuck's ruin the bread industry! I already get plenty from their sad excuse for pastry.
We were visiting Hilton Head SC & we were very disappointed you did not have a Starbuck Hilton Head coffee cup. We really feel this would be a very hot item because of the many people that come to Hilton Head. When we asked the cashier she said they were told the company did not feel it was enough traffic area! Boy someone from corporate needs to visit Hilton Head.
Thanks for listening.
I can't find a job so I can move out of my parent's basement = Hey, I'll become a BARISTA!
Hey you get free drinks while you're working :)
Well, let's see... Starbucks sells baked goods already that taste like cardboard, so the bread business should be equally successful to serve their customers with absolutely no real taste.
I'm glad I'm not the only one who thinks their "baked goods" take like cardboard... WTF makes that crap?!?
It is about time! If Starbucks currently believes that "they aer bakers too", then my advice would be that they need to find a new career!! The difference between how their current baked goods look (Outstanding!) and how they taste (Tasteless!) is simply mind-boggling! Maybe their "new methodology" and bakery acquisition will finally result in their having much-improved line of products to go with their outstanding coffee!
Reblogged this on sail2windotorg.
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