A Starbucks Drink That Doesn’t Taste ‘burnt’

Starbucks (NASDAQ: SBUX) has added yet another specialty drink to its already long list of menu offerings this week. This time, they were really thinking outside the box when they brewed up the idea of a fruit and coffee-based hybrid drink designed to quench your thirst on a hot summer day.

This unexplored flavor combination is known as the �Refresher.� So what makes this particular beverage so unique? Well first off, Starbucks has made a conscious effort to address the primary complaint of many customers � the fact that its coffee is bitter or �tastes burnt� to millions of Americans. The trick was to use green, unroasted beans.

It�s an interesting strategy to broaden Starbucks� appeal to consumers who had written it off. But will it work?

The new �Refresher� drinks are just interesting enough to work. The icy summer concoction is made of powdered, unroasted green coffee beans and low calorie fruit flavors. The coffee-based coolers come in lime and berry flavors and represent a bold venture by SBUX to attract consumers who dislike the taste of coffee into their stores. The powdered coffee base for the drink is said to be flavorless and the drink will pack a much more subdued caffeine punch than a normal cup of Joe.

“It’s coffee that doesn’t taste like coffee,” Starbucks’ vice president of global beverage Julie Felss Masino told Reuters.

For Starbucks, Refreshers represent the newest push to position itself atop the global specialty beverage market and reclaim some ground it has lost to industry competitors. The company hopes to recreate the success that followed its original Frappuccino with this new unique cooler. The debut of the new SBUX drink comes at a time when McDonald�s (NYSE: MCD) �McCafe� beverage line has managed to establish itself as a viable opponent to Starbucks by replicating its at a lower price.

But after wandering in the wilderness for a while, Starbucks has come roaring back as of late. SBUX stock has dramatically outperformed MCD stock over the past 12 months, up +36% from this time last year and doubling the gains tallied by the broader market. The chain just announced recently that it�s newly launched Via line of instant coffee has tallied over $100 million in sales since its October 2009 launch, and appears ready to fight to regain dominance of the specialty beverage market.

The Refresher is an integral part of the Starbucks strategy. The drink debuted at 113 selected test locations in San Diego to gauge success before nationwide rollout, so investors should watch closely to see if this is another homerun for the comeback coffee company.

The initial run of the product is priced between $2.50 and $2.95 � a bit pricey, but perhaps worth a taste.

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