Coca-Cola, Illy Launch Ready-To-Drink Coffee Illy Issimo
07 Aprile 2009 - 7:39PM
Dow Jones News
Coca-Cola Co. (KO) and Italian coffee company Illy are launching
a ready-to-drink coffee called Illy Issimo across the United States
and key European countries in the coming days, the head of a joint
venture formed by the two companies said Tuesday.
"The ready-to-drink coffee business is worth $17 billion and
it's expanding 10% every year, excluding Japan, which now accounts
for 75% of global sales," said Vinay Kapoor, chief executive of
Ilko, the Coca-Cola-Illy joint venture formed in October 2007.
Illy Issimo is a "mass luxury product," said Kapoor, adding it
was aimed at the top end of the ready-to-drink coffee market.
Large retailers will be avoided, preferring selected outlets and
university stores, he said.
The Italian-American canned coffee was test-launched in New York
and Los Angeles in recent days, competing with Starbucks Iced
Coffee, a Pepsi-Starbucks joint venture product.
Ilko aims to reach 30% of the premium ready-to-drink coffee
market by 2012, and plans to enter the Japanese market later in
2009.
-By Luca Casiraghi, Dow Jones Newswires, +39 02 5821 9907;
luca.casiraghi@dowjones.com