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JDE Peet’s Expands Partnership With Costa Coffee

JDE Peet’s has announced that it will manufacture, distribute, and sell Costa Coffee branded aluminium coffee capsules in Britain from September.

The deal marks a significant expansion of the partnership between the two companies, with JDE Peet’s having offered Costa Coffee-branded single-serve coffee pods for the Tassimo brewer system since 2012.

JDE Peet’s, which owns brands such as Douwe Egberts and Kenco, recently launched the L’OR Barista coffee brewer system in the UK, which is capable of accommodating a wide range of coffee drinks. With the new Costa collaboration, JDE Peet’s will be able to offer consumers a wider range of choices through an extended brand portfolio.

The manufacture, distribution, and sale of other coffee products in the Costa Coffee portfolio, such as instant coffee, whole beans, and roast and ground, will remain with Costa Coffee and will not be covered by the new partnership.

Fabien Simon, CEO of JDE Peet’s, commented: “We are excited to expand our collaboration with Costa Coffee. By extending the range of products offered under the L’OR Barista aluminium capsule system, we can offer coffee enthusiasts in Great Britain a wider selection of high-quality, single-serve choices at home. This important collaboration underscores our commitment to premiumisation through our unique coffee brewer technology as we serve more cups globally.”

Philippe Schaillee, CEO of Costa Coffee, added: “We’re delighted to be growing our collaboration with JDE Peet’s. Our ambition is to lead the coffee sector by innovating and creating new experiences for consumers, whether that’s in a Costa Coffee store, away-from-home through our Costa Express and Proud to Serve coffee solutions, or at-home through our fantastic range of capsules, instant coffee, whole beans, and roast and ground. We’re confident that we’ll be able to unlock further growth and more people will be able to enjoy their favourite Costa coffee both on-the-go and at home.”

NAM Implications:
  • For JDE Peets, a bigger footprint and some incremental revenue.
  • For Costa, a two-way means of driving OOH custom to home consumption…
  • …and vice versa.