Report: Nestle to expand coffee business
VEVEY, Switzerland — Nestle is looking to boost its coffee business.
The company, which recently reported that its soluble coffee was a key growth driver during 2010 across all regions, said the combined performances of single-serve coffee brands Nespresso and Nescafé Dolce Gusto strengthened its leadership in the dynamic portioned coffee market. Nestle added that its Nespresso brand reached $3.24 billion in annual sales for the first time.
“We are true believers in our own growth,” Nestle CEO Paul Bulcke said. “That has always been, if you see it over time, the biggest part of our growth base.”
Nestle, however, isn't the only business that is setting its sights on expanding its java game. In January, Sara Lee unveiled its plans to boost its coffee business with a five-year sustainable commodity initiative. Another competitor, Kraft, which currently is at battle with Starbucks, said its 12-year strategic partnership with the coffee giant strengthened the retail coffee business growth to about $500 million in revenues.