Starbucks to cut list price for packaged coffee

Starbucks is knocking down the suggested retail price for its packaged grounds.

The discounts, set to begin May 10, will cover the Seattle coffee giant’s packaged coffee in U.S. grocery stores and other retailers, but not at its ever-present coffee shops, said company spokesman Zack Hutson. The price drop also covers the company’s Seattle’s Best brand.

Prices will drop an average of 10%, he said.

For example, the price for a 12-ounce bag of Starbucks coffee -- ground or whole-bean -- will drop to $8.99 from $9.99, while a 12-ounce bag of Seattle’s Best will also drop a dollar, to $6.99.

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The price cut comes after other companies have made similar moves as coffee bean prices have steadily declined.

Starbucks only suggests the retail price to grocery stores and other retailers. Retailers can either pocket the additional profit or pass on the savings to customers.

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