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GMCR issues comment on Starbucks’ single-serve machine

by Staff Writer
March 13, 2012
in News
Reading Time: 2 mins read
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Green Mountain Coffee Roasters (GMCR) released a statement on 9 March regarding Starbucks’ announcement of the launch of their own single-serve system, the Verismo. GMCR saw their stocks plummet by around 10 cents on the day following Starbucks' announcement, with a near five-fold increase in the number of shares sold versus the monthly average. In the statement, the company made a point to distinguish the difference between the espresso single-serve system Starbucks is releasing and their own filter-based Keurig system, which can be used with Stabucks coffee capsules. “The Keurig Single Cup Brewing system has been designed to deliver a premium, filtered-coffee taste profile directly in line with the sweet spot of the majority of North American coffee consumers,” the statement read. “Our Keurig K-Cup system and new Vue Single Cup brewers use low pressure to extract maximum flavor and taste from ground and filtered specialty Arabica coffee, producing an excellent cup of fresh-brewed coffee at the push of a button in a matter of seconds. Espresso systems generally use high pressure and high temperature to produce a more intense taste profile, frequently used for mixing with milk in North America.” “We believe Starbucks to be a very satisfied participant in the Keurig K-Cup system, having frequently communicated its ongoing support of the Keurig K-Cup platform,” said Lawrence J. Blanford, GMCR’s President and CEO. “The two companies continue to collaborate with each other in the low-pressure Keurig Single Cup Brewing system in North America. As a leader and one of the few long-time participants in single-cup premium coffee brewing, we agree that there also is opportunity for complementary high-pressure espresso-based systems, as evident by our joint development work with Luigi Lavazza S.p.A. on a high-pressure capsule-based espresso system targeting North American consumers.”   With more than 25 brands and over 200 varieties of coffee, tea, hot cocoa, iced, fruit-based and frothy café style beverages, GMCR noted that the Keurig Single Cup Brewing system continues to transform how North Americans brew and enjoy their coffee and other beverages at home and in the workplace.  “We look forward to continuing to grow the single-serve filtered-coffee opportunity in North America with our Keurig system partners, including Starbucks,” the statement read.   

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