Tim Hortons Case

Discussion Question #4 How well does Tim Hortons perform on “The Brand Report Card?” 1. The brand excels at delivering the benefits customers truly desire 2. The brand stays relevant The benefits that Tim Hortons customers desire is that of valued quality. Tim Hortons consumers are looking for a quality product at a decent price, they want this because most customers frequent on a 1-2x per day basis. Their brand does this, the customer knows that wherever in Canada and the world that they get their coffee, it will be the same tasting. This is because Tim Hortons has spent a lot of money ensuring that the brand they sell is consistent wherever you get it. Tim Hortons advertising has made many switches over the years from portraying good quality
ads to now portraying good feelings. They do this to stay on the leading edge. They want to be associated with the good times in peoples lives. Most Canadians have tried Tim Hortons coffee and know it’s quality, Tim Hortons is attempting now to be a part of Canadians lives through the good times and the bad through their feel good commercials. They also add products to their line like healthy wraps to stay on top of trends.
Tim Hortons has managed to find a price to which consumers can perceive value. They now adjust yearly for inflation. There is never crazy hikes in prices because they know they have found the happy medium, where quality meets price. Tim Hortons create their points of parity with consumers but have strong points of difference. Their points of parity are their product offerings, which mirror many coffee shops. The key points of difference are their speed, price and quality. If you can picture those three as overlapping circles Tims would be in the middle. Many Tim’s customers are looking for a quick in and out and of course good quality and low price. Tim Hortons sells all the machinery to all the franchises to ensure that the temperature is consistent wherever you go, they even have a cream dispenser to ensure that you get the same amount of cream whether you are in Newfoundland or Vancouver. All of Tim Hortons products center on coffee shop quick service items. Donuts, coffee/tea, sandwiches etc. can all be served in the under 2 mins Tim Horton requirement. They complement each other and do not create
bottlenecks. Tim Hortons uses a wide marketing repertoire, from the feel good ads, to Timbits sports programs to Camp Days, they want consumers to associate Tim Hortons with all that is good in Canada. They do a good job at being wherever you are. From sports, to road trips Tim Hortons seems to be wherever you look and not only in traditional form but also in new ways like on the back of a kid playing hockey or on sponsorship of charity events.

3. The pricing strategy is based on consumers’ perceptions of value 4. The brand is properly positioned

5. The brand is consistent 6. The brand portfolio and hierarchy make sense 7. The brand makes use of an coordinates full repertoire of marketing activities to build equity

How does Tim Hortons measure up to Kotler, Keller and Cunningham’s brand defense criteria?
Transferable Tim Hortons is constantly updating products and adding new ones. They have new donuts, new healthy items and constantly new soup flavors. They create new seasonal products and even had some commemorating the Olympics. It is clear that they can add new products and it is obvious that there is a wide range of products at their disposal to add. One of Tim Hortons goals for the near future is to move into emerging markets such as India and China. They are in the process of updating their menu to be compatible with those areas of the world. Adaptable It is clear that Tim Hortons logo can be adaptable. They have changed their logo many times over the years. The element that stays the same is the cursive writing and they change details around that to match the times. They have moved now to a more simple logo in one oval with “Always Fresh” on the top and “Coffee and Baked Goods” on the bottom with the same cursive in the middle from the past where they had the Tim Hortons cursive on top and in a separate oval “Always Fresh.” In the USA they have sleeves on their cups to protect from the hot of the coffee and in Canada they double cup. This shows adaptability to environment and updatability. Protectible Tim Hortons has registered their trademark in all markets that they operate. This means it is legally protected. Due to their size and retained knowledge, others do not easily
copy their practices. It is very difficult for another to copy their price, quality and speed, which has ultimately led to their strong brand awareness and equity.

How well does Tim Hortons perform on “The Brand Report Card?”