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Coca-Cola: Costa is not going ‘head to head' with Starbucks

28/11/2018
Coca-Cola: Costa is not going ‘head to head'  with Starbucks

Coca-Cola ceo and president James Quincey has said the acquisition of Costa will not see it go “head to head” with Starbucks.

In an interview with US TV station CNBC he said that while coffee shops exist, the “biggest piece” is the rest.

“The coffee shops are there and they build the experience but what we see whether you want to call it food service or partnering with customers to get stores on, the express is like the top-end vending machine for coffee that gets a barista experience, whether it's in a petrol station, a convenience store, at work.

He also said that there is a “massive opportunity” to partner with customers to sell more “high-quality barista coffee, in someone else's store."

The £3.9 billion deal, which is expected to conclude in the first half of 2019, will see the soft drinks giant move into the hot beverage sector taking over the 4,000-strong international coffee chain, which has sites in the United Kingdom, China and other markets across Europe, Asia Pacific, the Middle East and Africa.

At the time the deal was announced according to the drinks giant, retail was only one of Costa’s capabilities as the company’s portfolio includes a coffee vending business, at-home coffee solutions and a new roaster in Essex.

 

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