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Starbucks Corporation has recently launched Starbucks Blonde Espresso in a bid to profit from on the rising demand for espresso beverages. The new mild version espresso is the first basic espresso alternative to be introduced to the United States in beyond 40 years of span.

With the new alternative, consumers will now have two espresso variations to choose from.  The signature, as the original espresso of the café, is basically dark and rich whereas the Blonde espresso has hints of citrus and is mild in nature.

Since 2013, several espresso varieties have already been present in some of its international branches, with Canada being the latest one as it launched such last year. With the international success of the alternative introduction method, Starbucks has officially included it in its primary espresso menu in the United States and will become a permanent addition generally.

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Starbucks has recently launched blondie -  a citrusy and mild version of its usual variety.

As part of the lighter roast offering which was launched in 2012 as a whole bean packaged coffee and brewed options, the Blonde Espresso will likewise be available in Verismo System of Starbucks.

Starbucks has been pushing its menu innovation in beverages and core food offerings recently. Over the past years, Beverages of the internationally renowned café has been a major factor to its comparable sales.

However, the company’s performance in the United States has weakened which made the menu innovation quite relevant in terms of increasing its comps. The said segment is accountable for 70% of the total revenue of the company and has only posted a 3% growth in the fiscal year of 2017. This is clearly a decline from the preceding year’s data of 6% in growth.

As for the transactions, the numbers were reported to be unchanged if to compare in a year over year basis whereas the ticket data was seen having 4% rise only. These data were believed to be declines since a 5% growth was posted in 2016 and ticket had 1% surge in fiscal 2016.

The demand for espresso beverages saw a 25% increase of past-day daily coffee drinkers choosing espresso in 2017, the National Coffee Association stated. Starbucks is expecting to profit with the addition of Blonde espresso to its menu, especially in these times where the demand for such is high.  

Fiscal Report Announcement

Starbucks Corporation has recently announced its plans to release its first quarter fiscal year 2018. The financial results will be reported live after the market close on Thursday, January 25, 2018 with a conference call after the release.

Trading Performance

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The trading performance of Starbucks has been seen bullish over the past periods. With a 1.08% increase and a Coppock curve indication at 2.15, the café stock may remain bullish in its coming sessions. With that being said, a recommended buy would be advised for the coffee company.

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