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Vahe Habeshian
Vahe Habeshian   BIO
07.23.07

Hershey Partners with Starbucks for Coffee-flavored Treats


MediaBuyerPlanner: Hershey, which has been struggling to boost lackluster sales, has inked a deal with Starbucks, in which the coffee retailer will offer Starbucks-branded, coffee-flavored chocolate products.
Both companies say the deal comes at a time when customers are increasingly demanding premium chocolate products, writes the Associated Press (via the Los Angeles Times).
The two companies said that “expert chocolatiers” are working with Starbucks to develop the new line of products, but wouldn’t disclose specifically what those products will be beyond saying they are likely to include chocolate bars, truffles and chocolate-covered coffee beans.
Starbucks’ last foray into the realm of chocolate did not go well. In 2005, the company pulled a Chantico “drinkable” chocolate from its menu, following customer complaints that the drink tasted like melted chocolate bars.
Hershey’s Q2 profits plummeted 96 percent due to heavy spending the company hopes will transform its production lines and improve sales. Dark and premium chocolate sales were strong, but the company’s other product sales were sluggish.
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