Starbucks Adds Nitro Cold Brew and Other Summer Drinks

By Austen Hufford 

Starbucks Corp. said Tuesday that it was adding new cold coffee offerings, including Nitrogen-infused coffee in major U.S. cities, as the coffee maker tries to increase its summer-weather drinks and compete with specialty shops.

The company's "Nitro Cold Brew," which infuses nitrogen into its slow-steeped, cold-brewed coffee, imparts a "smooth and creamy sweetness, " the company said. Similar offerings, which are typically delivered from a beer-like tap, have been rolled out in recent years at specialty coffee shops like Stumptown Coffee Roasters.

Starbuck's take will be available at seven U.S. cities this summer, including San Francisco, New York and Los Angeles. Starbucks said the Nitrogen-infused cold brew was the second-highest selling item at its Reserve Roastery and Tasting Room, a 15,000 square-foot Seattle location targeting coffee enthusiasts.

In recent years Starbucks has introduced and promoted single-origin and cold brewed coffees to lure coffee drinkers from niche gourmet stores, which cater to the so-called Third Wave of coffee culture, drinking brews made from single-location beans grown on one farm, often prepared using unique methods.

Cold brewed coffees are made by steeping ground coffee beans in cold water for many hours before serving and are different from iced-coffee, which is typically brewed hot coffee that is poured over ice.

In the fourth quarter of 2015, Starbucks reported a 20% increase in its iced portfolio driven by the introduction of Cold Brew nationwide.

Write to Austen Hufford at [e-mail]

(END) Dow Jones Newswires

May 31, 2016 07:41 ET (11:41 GMT)

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