Cofee War
Brand Management | Coffee Wars Exercise
MELISA CARRASCO
TABLE OF CONTENTS
COFFEE WARS INTRODUCTION
“May I please have a medium hot coffee with two sugars and skim milk?” This is a typical order one might overhear when standing in a coffee shop. However what is coffee exactly? Coffee, by standard definition is a beverage made by the percolation, infusion, or decoction from the roasted ground seeds of a coffee plant. Simple, when thinking of the complicated processes other beverages undergo. Yet coffee for many individual has much more different implications and significances. For some, coffee is a typical morning routine, the “daily pick me up” the morning fuel to get the day started. Others regard coffee as a tasty beverage to enjoy with friends over light conversation. For numerous college students, coffee is the energy fuel that keeps them awake throughout a long night of studying or the “cool” beverage high school students sip through their morning classes. Coffee plays a different and unique role for each individual, for some it may be significant while other individuals view coffee as frivolous. The question now is where does each of these unique individuals purchase their coffee? Consumers have a myriad of brands at their disposable from which they can purchase their coffee beverages from. Moreover, preference varies among cultures, countries and individuals. Americans tend to value more efficiency and convenience, while Europeans look for high quality coffee. A coffee war has been brewing between three competitors McDonald’s, Starbucks and Dunkin’ Donuts who are in the race for the lead position in the coffee industry.
In order to demonstrate how each brand wins in their niche market I will use Brand Management tools – Brand Identity, Perceptual Map, and Brand Equity – which will allow me to perform a thorough analysis. As a brand manager I will show how Starbucks focuses on the gourmet retail coffee market,
MELISA CARRASCO
TABLE OF CONTENTS
COFFEE WARS INTRODUCTION
“May I please have a medium hot coffee with two sugars and skim milk?” This is a typical order one might overhear when standing in a coffee shop. However what is coffee exactly? Coffee, by standard definition is a beverage made by the percolation, infusion, or decoction from the roasted ground seeds of a coffee plant. Simple, when thinking of the complicated processes other beverages undergo. Yet coffee for many individual has much more different implications and significances. For some, coffee is a typical morning routine, the “daily pick me up” the morning fuel to get the day started. Others regard coffee as a tasty beverage to enjoy with friends over light conversation. For numerous college students, coffee is the energy fuel that keeps them awake throughout a long night of studying or the “cool” beverage high school students sip through their morning classes. Coffee plays a different and unique role for each individual, for some it may be significant while other individuals view coffee as frivolous. The question now is where does each of these unique individuals purchase their coffee? Consumers have a myriad of brands at their disposable from which they can purchase their coffee beverages from. Moreover, preference varies among cultures, countries and individuals. Americans tend to value more efficiency and convenience, while Europeans look for high quality coffee. A coffee war has been brewing between three competitors McDonald’s, Starbucks and Dunkin’ Donuts who are in the race for the lead position in the coffee industry.
In order to demonstrate how each brand wins in their niche market I will use Brand Management tools – Brand Identity, Perceptual Map, and Brand Equity – which will allow me to perform a thorough analysis. As a brand manager I will show how Starbucks focuses on the gourmet retail coffee market,