Starbucks Tests Coconut Drinks and Agave for Healthier Menu Shift

Starbucks is pivoting to healthier beverages by testing coconut-infused drinks and agave-based sweeteners in select U.S. markets, responding to consumer demand for lower-sugar, plant-based options amid sluggish sales. This initiative, inspired by wellness trends, aims to revamp the menu and boost growth.
Starbucks Tests Coconut Drinks and Agave for Healthier Menu Shift
Written by Jill Joy

Starbucks Corp. is embarking on a significant pivot toward healthier beverage options, signaling a strategic response to evolving consumer preferences for lower-sugar and plant-based alternatives. As of July 30, 2025, the coffee giant has begun testing new coconut-infused drinks and agave-based sweeteners in select markets, aiming to refresh its menu amid sluggish U.S. sales. This move comes as the company grapples with a post-pandemic shift where health-conscious drinkers are ditching overly sweet concoctions for more nutritious fare.

The initiative draws inspiration from broader wellness trends, including the so-called MAHA era—shorthand for “Make America Healthy Again”—popularized by figures like Robert F. Kennedy Jr. According to a report from Yahoo Finance, Starbucks is experimenting with matcha lattes sweetened with agave syrup and coconut water-based beverages that promise lower calorie counts without sacrificing flavor. These tests are part of a larger effort to revamp the menu, including the removal of artificial sweeteners from some powders and the introduction of sugar-free energy drinks earlier this year.

Exploring Natural Sweeteners and Plant-Based Innovations

Agave syrup, derived from the agave plant, is positioned as a lower-glycemic alternative to traditional sugars, appealing to diabetics and those monitoring blood sugar levels. Bloomberg’s coverage highlights how Starbucks is “actively working on” syrups from natural sources like agave, dates, and coconut, integrating them into prototypes for iced teas and cold brews. This isn’t entirely new; as far back as 2013, Wholesome Sweeteners supplied organic blue agave for Starbucks’ oatmeal, per a Business Wire announcement, but the current push scales it up for beverages.

Coconut drinks, meanwhile, leverage the tropical fruit’s popularity in vegan and dairy-free circles. Drawing from past successes like the 2020 launch of Iced Guava Drinks with coconut milk, reported by LiveKindly, the new iterations incorporate coconut water for hydration benefits and a lighter texture. Financial Post notes that these beverages are being tested alongside protein-infused cold foams, targeting fitness enthusiasts who frequent coffee shops for post-workout boosts.

Market Testing and Consumer Feedback Loops

Testing is underway in key U.S. cities, with Starbucks monitoring sales data and customer reactions to refine recipes before a potential 2025 rollout. Posts on X (formerly Twitter) from users and the official Starbucks account reveal mixed sentiment; some praise the nondairy innovations, echoing 2020 promotions of almond milk foams, while others lament the phasing out of sugary favorites. A recent X post from Starbucks emphasized menu evolution based on feedback, underscoring how social media influences product decisions.

Industry analysts see this as a bid to counteract a 3% dip in U.S. same-store sales, as detailed in a Halifax CityNews article from July 29, 2025. By incorporating agave and coconut, Starbucks aims to capture the growing $10 billion alternative sweetener market, where competitors like Dunkin’ have already introduced stevia-sweetened options. Toronto Sun reports that the company is also eyeing improved baked goods to complement these drinks, creating a holistic healthier ecosystem.

Strategic Implications for the Coffee Giant’s Future

This healthier menu overhaul could redefine Starbucks’ brand identity, moving beyond its candy-colored Frappuccinos that once defined its appeal. Epicurious, in a 2017 piece, compared coconut nectar to agave as a “superfood sweetener,” a narrative Starbucks is now amplifying. Yet challenges remain: ensuring these products maintain the indulgent taste that loyalists crave while appealing to new demographics.

Looking ahead, success in these tests could bolster Starbucks’ global expansion, particularly in health-focused markets like Asia and Europe. With earnings reports looming, as mentioned in the Yahoo Finance article, investors are watching closely. If executed well, this could mark a turning point, blending innovation with sustainability—Starbucks has touted ethically sourced agave and coconut in its Odyssey Blend coffee promotions on X. Ultimately, it’s a calculated bet on wellness driving long-term growth in an increasingly discerning consumer base.

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