In September 1998, Starbucks company and Kraft Foods announced that they were making a long-term licencing agreement to allow growth of Starbucks in grocery channel across U.S.
In the same year Starbucks brought to groceries several coffees : House Blend, Decaf House Blend, Colombia Espresso Roast and French Roast. "We've employed state-of-the-art technology to guarantee that our uncompromising quality standards are maintained in this new effort", said Mary Williams, Starbucks senior vice president during that period.
In April 1998, Starbucks started to offer whole bean and ground coffee in supermarkets. Six selections of roasted coffee became available in supermarkets in 12-ounces Flavor Lock bags.
"Thanks to Kraft, we are now in a position to provide Starbucks coffee through grocery stores much quicker than we would have been able to do it ourselves" said the CEO, Howard Schultz. this agreement was a step farther for Starbucks expansion national wide and worldwide.
Nowadays, Starbucks has around 16,000 retailers in over 50 countries. The company's expansion is a proof of a intelligent way of doing business and a willingness of taking risks. Starbucks is an example of a company that is ready to face the competition and to bring innovation and great experience to its customers.
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