The firm's retail director Philip Lay told last week's Pub Retail Summit the move was prompted by the purchase of its own coffee chain Coffee#1.
Lay said: “Coffee #1 is our only truly pure brand and I fight to keep that pure by trying to maintain everything that the guy that set it up sold us. This is a real business of integrity.
"Everyone asks why am I not putting that into the pubs. I can’t guarantee that service and standard and delivery of the product. And coffee is the key at Coffee #1.
"But we have used the skills, knowledge and the supply chain to create a new brand Great Little Coffee. And we have replaced Costa in our business with Great Little Coffee in 95 sites."
He also said there was a “theoretical margin increase” of 3% on the coffee. Overall Lay said coffee was a “very major part of income across the business”.