Skip to content

Starbucks Single Serve Coffee Makers Put The Brand On Your Kitchen Counter

03/24/2011

Starbucks the world’s leading coffee chain announced a partnership with Green Mountain Coffee Roasters – makers of the Keurig single-serve coffee machines.

There are an estimated twelve million Green Mountain single-serve machines in use (under the Keurig brand which is owned by Green Mountain). At the same time only about twenty percent of Starbucks customers own a single-serve machine. Plenty of up-side there for Starbucks.

This is a logical move for America’s coffee retailer. Starbucks has already generated more than $200 million from its relatively new VIA instant coffee product which is sold not only at Starbucks cafe’s but also at 30,000 other locations worldwide. Some industry analysts say the Via product sales could increase five-fold by 2015.

The United States’ single-cup coffee market is estimated at about $4 billion annually and growing. The deal with Green Mountain allows Starbucks to be the exclusive licensed “super-premium brand” for the Keurig brewing systems.

But the bigger end-game for Starbucks may be in brand penetration into new markets – such as the household appliance departments of Target and other retailers. Not to mention the presence of the Starbucks brand on millions of kitchen counters everywhere. The ever-present Mermaid icon in the home, store, grocery, and coffee shops serves to remind of us of how much we enjoy paying $3 for a $.50 cup of coffee.

Advertisements
No comments yet

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: