What Is Starbucks Olive Oil Coffee Oleato?

Starbucks launched its Oleato line in Italy on February 22, blending Partanna extra virgin olive oil into coffee drinks. The series debuted in 24 Italian stores and includes an Oleato Latte, Iced Shaken Espresso, Cold Brew, plus a Deconstructed Coffee and Coffee Martini at the Milan Roastery. The idea came from Howard Schultz seeing Sicilians drink olive oil daily.

The company plans to roll the line out to the U.S., U.K., Middle East, and Japan. Beyond flavor, the launch leans on the reported cardiovascular benefits of extra virgin olive oil taken directly. For coffee knowledge, the move is a case of real product differentiation rather than another flavor swap on an existing template.

The coffee industry never stops innovating, but truly unconventional products are few and far between. Starbucks recently announced the launch of the Oleato series in Italy, blending Partanna extra virgin olive oil with coffee—a bold move inspired by Howard Schultz's trip to Italy. The new lineup includes lattes, iced shaken espressos, cold brew, and more, with plans to expand to the U.S., U.K., Japan, and other markets. Adding olive oil to coffee not only subverts traditional taste but also draws attention for the potential cardiovascular benefits of drinking extra virgin olive oil directly. This article explores the story and market logic behind this innovation.

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Recently, product differentiation has become a hot topic in the beverage industry. Although creative coffee products keep emerging, many don't hold up to scrutiny. A lot of them simply swap flavors within the same template, so after a wave of hype, novelty-seeking consumers quickly lose interest.

Product differentiation means making something different from others. For example, a shop creates something other shops wouldn't even dare to imagine—like Starbucks announcing today that they're adding Partanna extra virgin olive oil to coffee!!!

According to Starbucks' official website, starting February 22, the "Oleato" (meaning "with oil") olive oil coffee series will launch in 24 stores across Italy. It includes Oleato Latte, Oleato Iced Shaken Espresso, Oleato Cold Brew, and at the Milan Roastery, Oleato Deconstructed Coffee and Oleato Coffee Martini.

In a media interview, Howard said that during a trip to Italy last summer, he saw Sicilians drinking olive oil every day. So he also began drinking olive oil alongside his daily coffee and decided Starbucks should try mixing the two together.

This is also why the new product launch was held in Italy rather than the U.S. However, the product will gradually roll out to other regions, including the U.S., U.K., the Middle East, and Japan.

With this bold innovation, Howard said the decision made him look back on his 40 years at Starbucks. In 1983, when he was Starbucks' marketing director, Howard brought espresso back to the U.S. after his first trip to Italy.

But the Starbucks CEO opposed the idea. So Howard founded his own coffee chain, Il Giornale, and eventually acquired Starbucks, merging the two chains and growing the company into today's giant.

This way of adding olive oil to coffee is something no one had thought of before, and it marks another reform for Starbucks 40 years later. Howard also said the launch of this new product could disrupt the entire coffee industry. He is optimistic about this innovation and continues to be bullish on future sales of olive oil coffee.

Starbucks' current chief marketing officer, Brewer, said that regarding the use of Partanna olive oil in coffee, many people consider it quite a luxury, but many customers still want to customize it to change the texture of their coffee.

Currently, Starbucks' best-selling products are cold coffee, especially the Cold Brew series and Iced Shaken Espresso series, which are Starbucks' largest category and fastest-growing segment. This is why they first launched Cold Brew and Iced Shaken Espresso with olive oil.

Brewer also said that Oleato beverages can appeal to health-conscious consumers. Research shows that consuming olive oil can reduce inflammation and support heart health—and more and more extra virgin olive oil companies now market their products specifically for drinking rather than cooking.

Image source: Internet

The above content is compiled by CoffeeHunters, a coffee news website.