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Starbucks Leans on Cold Drinks as Gen Z Shifts Away From Traditional Coffee

ByJolyen

Aug 31, 2026

Starbucks Leans on Cold Drinks as Gen Z Shifts Away From Traditional Coffee

Starbucks is increasingly relying on cold beverages as younger customers favor customizable drinks over traditional hot coffee. Cold drinks now account for the majority of Starbucks beverage sales, while products such as Refreshers, Frappuccinos, protein drinks, and other customizable options have become especially popular with Gen Z customers.

Starbucks said earlier this year that roughly two-thirds of beverages sold at its U.S. company-operated stores were cold, while cold drinks accounted for about 60% of international beverage sales. The company described the shift in an official update on its beverage business.

Younger Consumers Favor Customization

Euromonitor International analyst Tristan Höver said younger customers increasingly treat beverages as products they can customize for a particular mood or need. Gen Z shoppers remain price-sensitive, but may be willing to spend more when a drink feels larger, more distinctive, or offers additional functions.

Cold drinks lend themselves to that behavior through different sizes, layers, flavors, foams, and visual combinations.

Kelly Goldsmith, a marketing professor at Vanderbilt University, said some of Starbucks’ pricing power also comes from the brand attached to the cup rather than only the ingredients inside it.

Social media can further increase demand for visually distinctive products. Starbucks’ Unicorn Frappuccino returned for a limited period in August, with its bright pink, blue, and purple appearance designed for a highly visual experience.

Placer.ai said Starbucks visits on the launch Saturday were 44.3% above the chain’s 2026 daily average and 28.5% above a typical Saturday.

Other Chains Are Expanding Cold Drink Menus

Dunkin’ has also been adding customizable cold beverages and protein options, including limited-time celebrity collaborations aimed at younger customers.

McDonald’s, Chick-fil-A, and Taco Bell have similarly introduced fruit-based refreshers, coffee alternatives, and other cold beverages.

The pattern is also visible outside the U.S. Worldpanel by Numerator data cited in the original report showed that U.K. consumers under 25 make more than 60% of their out-of-home drink purchases in cold formats, compared with about 30% among consumers aged 55 and older.

More than 70% of consumers buy cold drinks throughout the year, while the figure rises above 80% during summer.

Tirtha Dhar, a marketing professor at the University of Guelph, said customizable cold beverages can also carry attractive margins because additions such as foams, flavors, and protein can raise prices without proportionally increasing costs.

Cold beverages have become increasingly important to Starbucks as the company works to improve sales and store traffic. The category now represents a central part of its product development and broader beverage strategy.


Featured image credits: Magnific.com

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Jolyen

As a news editor, I bring stories to life through clear, impactful, and authentic writing. I believe every brand has something worth sharing. My job is to make sure it’s heard. With an eye for detail and a heart for storytelling, I shape messages that truly connect.

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