Starbucks’ $30 Million Juice Company Acquisition
Since its inception back in 1971, Starbucks has changed the retail coffee landscape with over 17,000 aesthetically similar and comfortable locations worldwide. With its recent $30 million acquisition of juice maker Evolution Fresh Inc., it’s fair to assume that the retail coffee giant plans to take what they’ve learned from grinding beans and attribute it to next-level juice making.
Starbucks CEO Howard Schultz is quoted saying:
We are not just acquiring a juice company. We are using this acquisition to position ourselves, in a broad way, to build a muti billion health and wellness business over time.
It was just last month that the first solid inklings of Starbucks’ hopeful juice expansion would be coming to fruition. Evolution fruit and vegetable juices are currently sold at Whole Foods, Safeway, Costco and other retailers on the West Coast, a company that prides their juice on absolutely no preservatives and unparalleled freshness.
The Evolution company not only deals in a wide array of fresh juices, but also in the sale/distribution of fresh fruits and veggies. Started by the founder of Naked Juice, Evolution seems to pair well with Starbucks’ goals of adding a healthy line of juices to its portfolio of products.
While its unclear at the moment what direction the entire acquisition will take, it seems that initial steps include fleshing out new stores starting with the West Coast of the United States that will further brand the Evolution Fresh name. Schultz assured investors that the company would not be following in the footsteps of chains like Jamba Juice, who seem to be fumbling with sales as of late.
The Evolution Fresh retail concepts are planned for early-to-mid calendar year 2012, and will share Starbucks mission and values, and led by Starbucks partners (their term for “employees”) and according to the company’s description, “will further redefine the super-premium juice category and experience for consumers unlike any prior existing juice retail.”
Damn, Starbucks for juice? A juice store with an ambiance inviting lingering, free WiFi and homeless people writing screenplays? I’m excited to see how this pans out.
