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Wednesday, October 1, 2003
In a first for both, Amazon now is serving Starbucks online
Amazon.com quietly began selling Starbucks coffee online last month, marking the first time that the two well-known Seattle companies have done business together.
The addition of the products -- whole beans, ground coffee and tea -- comes as Amazon tries to expand its selection of food on the site, said Glenn Cunningham, director of home and garden.
He declined to comment on the possibility of Amazon's starting an online gourmet food store. But several local food companies said earlier this year that they had signed agreements with Amazon to sell their goods in such a store.
Starbucks decided to offer its products though Amazon after it stopped selling its coffees on its own Web site, spokeswoman Audrey Lincoff said.
The company started direct sales during the late 1980s when it operated fewer than 100 stores; customers who did not live near a Starbucks but wanted the company's coffee could order it by catalog and later the Internet.
Starbucks now operates more than 7,000 stores worldwide and sells its coffees in major grocery stores, reducing the need for direct sales. Its Web site, which ended online sales earlier this spring, now points customers to Amazon for online orders.
Amazon is buying the coffee directly from Starbucks and fulfilling orders made on the site, Cunningham said.
It offers 12 Starbucks whole bean and ground coffees, which are sold in bulk packs of six bags and start at $39.99. The site also offers Tazo Tea and Starbucks stainless-steel tumblers. The products were introduced online about two weeks ago.
The coffee company will evaluate its online sales through Amazon before expanding its offering or adding coffees from recently acquired Seattle's Best Coffee and Torrefazione Italia Coffee, Lincoff said.
Amazon hopes to increase its selection of Starbucks coffee and add products from similar merchants, Cunningham said.
In recent months, Amazon has expanded its selection of goods beyond its core offering of books, music and DVDs, most recently starting an online sporting goods store last month.
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