Keurigs Competitive Advantage
The purpose of the Keurig case is to give you the opportunity to recognize the concepts from Chapter 1 in a specific industry and organizational context. Our case discussion should begin to make the concept of competitive advantage more tangible. Also, you should start to get a sense of the kinds of data that are useful in internal and external analysis and how it can inform a firm’s strategy. Case Discussion:
The question is: Keurig’s competitive advantage?
Be prepared to discuss your assessment, and provide illustrative data to support your view
With the Keurig brewing technology, GMCR has a unique product and changed the way Americans brew coffee at home and in the office.
GMCR maintained strategic relationships with coffee brands such as Caribou, Dunkin Donuts, Folgers, Newman’s Own Organics, and Starbucks to attract new consumers.
Though patents have expired, GMCR depends on consumer loyalty and their ability to meet and exceed expectations.
Keurig had a competitive advantage by delivering a product that mimics the coffeehouse experience because before this product, home brewing had been inferior.
Keurig has speed and ease in producing high-quality cups of coffee, making it appealing to American consumers.
The “away from home” strategy focused on offices and hotels.
Growth Strategy for Keurig
New Brewer Technology (Cold Brewing)
New Beverage Categories (tea, fruit beverages)
New Brands (Snapple, Tazo, Celestial)
New Channels
K-Cup allowed consumers to use own coffee in machine, which reduced the trash created.
GMCR formed new strategic relationships with brands such as Snapple, Tazo, Celestial
Competitive advantage in comparison to Nespresso, which only has one brand to choose from and only brews espresso
The business model of Keurig combines retail Beverage Company with an appliance company.
It offers a wide variety of brand and caters to different consumers differ needs.
The question is: Keurig’s competitive advantage?
Be prepared to discuss your assessment, and provide illustrative data to support your view
With the Keurig brewing technology, GMCR has a unique product and changed the way Americans brew coffee at home and in the office.
GMCR maintained strategic relationships with coffee brands such as Caribou, Dunkin Donuts, Folgers, Newman’s Own Organics, and Starbucks to attract new consumers.
Though patents have expired, GMCR depends on consumer loyalty and their ability to meet and exceed expectations.
Keurig had a competitive advantage by delivering a product that mimics the coffeehouse experience because before this product, home brewing had been inferior.
Keurig has speed and ease in producing high-quality cups of coffee, making it appealing to American consumers.
The “away from home” strategy focused on offices and hotels.
Growth Strategy for Keurig
New Brewer Technology (Cold Brewing)
New Beverage Categories (tea, fruit beverages)
New Brands (Snapple, Tazo, Celestial)
New Channels
K-Cup allowed consumers to use own coffee in machine, which reduced the trash created.
GMCR formed new strategic relationships with brands such as Snapple, Tazo, Celestial
Competitive advantage in comparison to Nespresso, which only has one brand to choose from and only brews espresso
The business model of Keurig combines retail Beverage Company with an appliance company.
It offers a wide variety of brand and caters to different consumers differ needs.