Starbucks Concentrated Beverage Makes Its Japan Debut; Differentiates Itself with “A Café Customization Experience at Home,” Betting on the Rise in Young People Drinking Coffee Iced

Nestlé Japan launched, for the first time in Japan under the Starbucks brand, a concentrated beverage called “Starbucks Coffee Craft” on March 1.

Aiming at the expanding concentrated beverage market, the company seeks to differentiate itself by emphasizing that consumers can experience a Starbucks store (café) at home.

It sees strong potential in the expanding demand for iced beverages due to the prolonged summer season, as well as in the tendency for young people who visit Starbucks stores in particular to drink coffee iced.

In development, the company used carefully selected 100% Arabica coffee beans and pursued the taste of iced menu items customized and served at Starbucks stores.

The lineup consists of two products, “Unsweetened” and “Caramel,” and among them, “Caramel” was developed with particular care in order to come close to the caramel macchiato served at cafés.

Cathy Xiu of the Starbucks CPG Business Department in the Beverage Business Division
Cathy Xiu of the Starbucks CPG Business Department in the Beverage Business Division

On February 19, Cathy Xiu of the Starbucks CPG Business Department in the Beverage Business Division, who announced the product, said, “After repeated trial and error, we made it into a flavor that can only be enjoyed at Starbucks stores. We want to deliver it with confidence.”

The company will also communicate that both products can be arranged to suit mood and preference.

The basic arrangements recommended by the company are four menu items: iced Americano, iced latte, iced caramel macchiato, and espresso tonic. Recipes and how to make them will be published on the official website when sales begin.

In addition to a campaign on social media calling for customization recipes devised by consumers, the company will also appeal through setting up experiential venues.

Arrangement drinks (bottom row) and customization card (lower left in the middle row)
Arrangement drinks (bottom row) and customization card (lower left in the middle row)

These experiential venues will be created by, for example, placing coffee trucks in high-traffic areas. At such times, the company will use customization cards with sections for base flavor, mixer, and arrangement (syrup/sauce) to convey the appeal of customization.

It will also promote the product in Starbucks stores. “We will display product POP at the place where store staff serve drinks to let people know that Starbucks iced coffee can also be enjoyed at home,” Cathy Xiu explained.

The contents are 260 ml. Because it is small, it is suitable for refrigerators that do not have much space; she also says, “Because it is easy to hold, you can take it, for example, to the office and enjoy the Starbucks experience there.”

The recommended dilution ratio is 6 times, and the suggested amount is eight cups. The package is marked with measurements for one cup at a time. The suggested retail price is 430 yen including tax.