Daily Trends Now
Daily Trends Now


Starbucks posts disappointing sales figure, will sell Tazo

"With our growth strategy for premium tea exclusively focused on Teavana, we are pleased to transition our Tazo business to Unilever", said Kevin Johnson, president and CEO, Starbucks. It is sold primarily in grocery, mass and convenience channels, available in packaged teas, K-Cup pods, and bottled ready-to-drink teas.

In addition to Tazo, Unilever owns beverage brands Lipton and Brisk, both of which make tea products.

Seattle-based Starbucks recently announced plans to close all of Teavna's 379 retail locations and will instead sell Teavana teas inside its approximate 27 thousand coffee shops.

Under the asset purchase agreement, Unilever will acquire the Tazo brand and all related intellectual property, signature recipes and inventory for $384 million.

"With its strong appeal to millennials, Tazo is a flawless strategic fit for our U.S. portfolio that includes exciting new brands such as Seventh Generation, Dollar Shave Club and Sir Kensington's", said Kees Kruythoff, president of Unilever North America.




On the company's quarterly call, Starbucks said it would launch a co-branded Chase Visa credit card this winter.

The coffee giant cut back its profit forecast on the heels of disappointing fourth quarter sales, which were impacted in part by two back-to-back hurricanes. In the same period a year ago, the company reported EPS of $0.56 on revenues of $5.71 billion. Starbucks said same-store sales would have increased 3 percent without the impact of hurricanes Harvey and Irma. The company also reported narrower operating margins and earnings per share of 54 cents. Its earnings were 55 cents per share, on the nose with analyst projections. Wall Street analysts expected Starbucks to have about $5.81 billion in revenue.

Global comparable sales growth, a key industry metric, came in at 2 percent, driven by a 2 percent gain in the average amount customers were spending and a 1 percent increase in the number of their transactions.

Starbucks also adjusted its long-term annual global same-store sales growth target to 3% to 5%, compared with its previous target of mid-single digit growth.

follow

editors' picks

November 04, 2017
Blizzard Announces New Healer and Map for Overwatch, Premier Next Animated Short
For Overwatch players who have also played many of Blizzard's other games, the Blizzard World map is an absolute dream come true. In accordance with BlizzCon , Blizzard updated its official site with more information on the upcoming Overwatch hero .

November 03, 2017
Warrant issued for ousted Catalan leader
Before appearing in court today (November 2), the prosecution had requested that eight of the former regional government ministers were jailed.

November 02, 2017
Police scour for details leading up to Utah student slaying
The Deseret News reports that the university sent an alert at 9 pm to students and staff to take shelter and remain inside campus. After discovering the pickup truck he was driving was stolen, Utah police asked for a welfare check on the owner.

October 30, 2017
Houston Texans owner Bob McNair attempts to explain 'inmates' comment
However they decide to protest, the plan will be revealed Sunday, the source said . McNair, you need to do more than apologize", said Congressman Al Green.

October 28, 2017
Khloe Kardashian and Kylie Jenner Joke About Having "So Many Babies"
However, the writer clarifies two paragraphs later: "She reassures me she's joking after an uncomfortably long pause". At the time, Khloe was said to be three months pregnant after conceiving naturally.

October 28, 2017
Howe praises 'passionate' Conte ahead of Chelsea clash
A lack of firepower is a problem for Eddie Howe's side-they have managed just six goals in nine games, and only bottom side Crystal Palace have scored less.

October 27, 2017
Photographer Terry Richardson Dropped By Conde Nast Over Sexual Harassment Allegations
The piece also showed Richardson arm-in-arm with British Vogue editor Edward Enninful at NY fashion week last month. Adored by many stars, he has also been accused several times by models of sexual assault.

October 25, 2017
London's new £10 T-Charge launches today
Shaun Bailey, Conservative London Assembly member and menber of the Environment Committee, says NO. . Find out everything you need to know about the new T-Charge here.

October 23, 2017
Hardik Patel's close aides join BJP
" Rahul Gandhi would be coming to our rally on October 23, and I will join the Congress party", Alpesh told reporters here. The state will go to polls later this year.

October 23, 2017
'Missing' Pak journalist Zeenat Shahzadi recovered after 2 years
In March 2016, Zeenat Shahzadi's heart-broken brother Saddam also committed suicide at the abduction of her sister. Ansari is still waiting for the release of Hamid. "Zeenat had been an angel to me ever since she contacted me".