Starbucks abandons the olive oil coffee that was the brainchild of its former CEO
By Jordan Valinsky, CNN
New York (CNN) — Starbucks is eliminating its controversial olive oil-infused drinks from the menu, less than a year after they made their nationwide debut.
The lineup of “Oleato” drinks will be eliminated from Starbucks’ menus in the US and Canada beginning in early November, part of the chain’s broader plans to simplify a menu that newly installed CEO Brian Niccol recently called “overly complex,” according to a source familiar with the company’s plans. However, the decision to nix the drinks was made before Niccol arrived, the source added.
The reversal comes after a bombastic launch for the drinks. “It is one of the biggest launches we’ve had in decades,” Brady Brewer, Starbucks’ former chief marketing officer, told CNN in February 2023. “Rather than a flavor or a product, it’s really a platform.”
Oleato was the brainchild of former CEO Howard Schultz, who got the idea after meeting with an olive oil producer who introduced him to the practice of consuming a tablespoon of olive oil each day. Schultz picked up the habit himself and wondered if he could combine it with his daily coffee routine. He then asked Starbucks’ beverage team to see if they could pull it off.
What resulted was a beverage lineup that was met with largely negative responses from media and consumers.
A pair of reviewers posted a video titled “We Tried Starbucks Olive Oil Coffee Drinks and Seriously Regret It.” Others had mixed feelings but concluded that the drinks seem more like a stunt — something worth trying but not necessarily worth coming back for.
Meanwhile, some people even complained that the drinks triggered painful stomach issues.
The drinks debuted in Italy in early 2023 before migrating to more US cities a few months later. A US and Canada launch occurred in January 2024. The Oleato menu consists of two drinks: an oat milk latte infused with the extra virgin olive oil; and a toffee nut iced shaken espresso with golden foam, which is vanilla sweet cream infused with extra virgin olive oil into a cold foam.
Schultz was effusive about the launch, and it was one of his most high-profile projects before leaving his position. Former CEO Laxman Narasimhan claimed the drinks were “highly successful” and called it “one of the top five product launches in the last five years in terms of brand awareness and excitement.”
Narasimhan was let go in August and replaced with Niccol, who has been vocal about his plans to simplify Starbucks’ menu amid lagging sales.
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