Keurig Dr Pepper, Nestlé USA Renew Starbucks K-Cup Pod Manufacturing and Distribution Deal
Keurig Dr Pepper and Nestlé USA extended their strategic partnership for manufacturing and distributing Starbucks K-Cup pods across the U.S. and Canada. The agreement builds on their 2020 collaboration and targets expanded distribution channels and co-innovation to boost the Starbucks at-home coffee portfolio within the Keurig brewing system.
1. Extended Partnership
On April 21, 2026, Keurig Dr Pepper and Nestlé USA signed an extension of their existing 2020 agreement to manufacture and distribute Starbucks K-Cup pods in North America. The renewal covers the U.S. and Canada and solidifies Nestlé's role in Starbucks at-home coffee channels outside Starbucks cafes.
2. Program Initiatives
New initiatives include expanded grocery and retail distribution networks and joint innovation efforts to develop premium Arabica K-Cup blends, roasts, and flavored options for hot and iced beverages. The partnership will leverage Keurig's brewing platform and Nestlé's distribution expertise to drive product adoption.
3. Strategic Impact
Keurig Dr Pepper views this renewal as a driver for long-term value creation in its coffee business by deepening brand partnerships and enhancing consumer offerings. The deal underscores KDP's manufacturing and commercial strengths and supports its goal to grow market share in the single-serve coffee segment.