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Juiced-Up Java Brands

Starbucks Evolution Fresh Purchase Aims to Expand Health Offerings

— November 12, 2011 — Lifestyle
In attempt to expand on its healthy offerings, Starbucks has acquired juice brand Evolution Fresh, Inc. in a $30 million deal.

The Starbucks Evolution Fresh purchase will make it a bigger player in the juice market as well as help the coffee brand expand to other establishments outside of its java chain -- the brand plans to distribute the juice to more external grocery retailers (in addition to those that already carry Evolution juice, such as Whole Foods). In addition, Starbucks plans to open juice bars next year that will sell the Evolution Fresh brand as well as health foods, says WSJ.com.

Starbucks CEO Howard Schultz commented that the Starbucks Evolution Fresh initiative will help the chain build a "national Health & Wellness brand," and that they chose Evolution Fresh -- which was launched by Naked Juice founder Jimmy Rosenberg -- because it is unparalleled in quality and nutrition.
Trend Themes
1. Health and Wellness Expansion - Starbucks acquisition of Evolution Fresh to expand healthy offerings and create a national health and wellness brand.
2. Juice Market Growth - Starbucks Evolution Fresh purchase to make it a bigger player in the juice market and increase distribution to external grocery retailers.
3. Juice Bar Boom - Starbucks plans to open juice bars next year that will sell the Evolution Fresh brand and health foods.
Industry Implications
1. Food and Beverage - Health and wellness trend presents disruptive innovation opportunities in the food and beverage industry.
2. Retail - Juice market growth presents disruptive innovation opportunities for retail industry players seeking to introduce higher quality and nutrition products.
3. Hospitality - Juice bar boom presents disruptive innovation opportunities in the hospitality industry for establishments looking to expand their beverage offerings with healthy options.
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