Search
The Caterer

Comfort-food breakfasts help drive profits at Starbucks

29 July 2011 by
Comfort-food breakfasts help drive profits at Starbucks

The introduction of new product lines such as comfort-food favourite the bacon buttie have seen Starbucks UK's business go from strength to strength, despite continued tough trading conditions.

The coffee chain has outperformed the rest of the high street, seeing growth for the eighth consecutive quarter. Profits were driven by a new breakfast range - including a bacon buttie - which saw extra morning sales up almost 50% in June. Other successes include the bottled and customisable frappuccino ranges.

Darcy Willson-Rymer, Starbucks UK & Ireland managing director, said: "We are very encouraged by continuing sales growth and how well customers have received our new breakfast range, despite trading conditions in the UK remaining tough, especially with increasing fuel and food bills."

Other factors included a drive for cost efficiencies that has seen road deliveries cut by around 250,000 and the expansion into new outlets including Welcome Break motorway services, which served more than seven million drinks over the past year.

Willson-Rymer added: "We're focused on finding ways to drive efficiencies across the business to protect our customers from rising prices as much as possible. This includes cutting deliveries to our stores by taking around 250,000 truck movements off the roads."

The UK's business results were released as part of the company's global third-quarter results from April to June 2011, which saw total net revenues increase 12% to $2.9b (£1.8b).

Starbucks Third Quarter Global results in full >>

Starbucks to introduce contactless payment >>

Soft drinks sales weather the financial squeeze in 2010 >>

By Emily Manson

E-mail your comments to Caterer News here.

Tabletalk
Tabletalk
If you have something to say on this story or anything else join the debate at Table Talk - Caterer's new networking forum. Go to www.caterersearch.com/tabletalk

Caterersearch.com jobs

Looking for a new job? Find your next job here with Caterersearch.com jobs

Blogs on Caterersearch.com ](http://www.caterersearch.com/blogs) Catch up with more news and gossip on all Caterer's blogs
[E-newsletters](http://www.caterersearch.com/email-newsletters.htm)[ For the latest hospitality news, sign up for our E-newsletters
The Caterer Breakfast Briefing Email

Start the working day with The Caterer’s free breakfast briefing email

Sign Up and manage your preferences below

Thank you

You have successfully signed up for the Caterer Breakfast Briefing Email and will hear from us soon!

Jacobs Media Group is honoured to be the recipient of the 2020 Queen's Award for Enterprise.

The highest official awards for UK businesses since being established by royal warrant in 1965. Read more.