The Wall Street Journal-20080116-Starbucks Less Organic
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Starbucks Less Organic
Starbucks Corp. plans to stop selling organic milk at its stores next month.
The Seattle coffee giant has stocked organic milk at U.S. shops since 2001. Starbucks spokesman Brandon Borrman said the original reason for offering it was to cater to customers who wanted milk from cows that weren't given recombinant bovine growth hormone.
Earlier this month, Starbucks completed the switch to serving milk only from cows that weren't given the artificial growth hormone, which helps cows produce more milk.
For its turnaround effort, Starbucks has said it plans to reduce the number of offerings at its stores while adding more-exciting products. The company said this change is unrelated to the turnaround plan. Organic milk is scheduled to come off the menu Feb. 26. Starbucks has charged extra for drinks made with it.
Drinks with organic milk account for less than 1% of Starbucks' beverage sales, said Michelle Gass, the company's senior vice president of global strategy. "Far and away, the No. 1 reason people are purchasing organic milk is because [it lacks] the growth hormone," she said.
In 2006, sales of organic dairy products in the U.S. grew 25% to $2.67 billion, making it the second fastest-growing organic food category behind meat, according to the Organic Trade Association. Some quick-service restaurants, including Chipotle Mexican Grill Inc., have been adding organic ingredients to their menus.
Organic products are grown without synthetic pesticides and fertilizers, as well as without hormones and antibiotics, according to the Agriculture Department.
