The Keurig Green Mountain Coffee Company is a leader in specialty coffee, coffee maker, teas and other beverages. They have provided the means for brewing a single cup of coffee from the comfort of your home or workplace. The Keurig green Mountain Coffee Company focuses on the consumer and improving their coffee experience. As a company, they are emphasizing the importance of social responsibility. They claim that 85% of the waste from coffee is diverted from landfills and that their company has provided 57k total hours of volunteering. They currently offer 14 appliances for brewing beverages, over 500 varieties of beverages, and use 75 Brands in the Keurig system. In 2014 they had $4.7 Billion in net sales totaling $596 Million in net income. In 2014 the company began entering the global market. In less than one year they were able to penetrate the UK and Canada markets. (Keurig Green Mountain, 2015) …show more content…
The supporting product of the Keurig brewers are called K-cups; which are small plastic cups, lined with filters, and contain coffee grounds. A seal is then placed on the cup. Keurig also offers reusable K-Cup. A handle is located on the front top side of the brewer, once lifting the handle the K-Cup are placed in their designated location. When closing the brewer, it punctures a hole in the K-Cup. Hot water is then heated and pushed through the k cup into the cup placed under the brewer. Keurig has an array of brewing systems from single cup brews to brewers with reserves to hold more water. They even offer an espresso Keurig specializing in steamed milk. Keurig’s suggested retail price varies from $90 to $200 USD. The company has sold over 45 Million Brewers globally as of September 2014. These brewing systems offer a quick way to brew a fresh cup of coffee every time. (Keurig Green Mountain,
The larger serving size of Great Cups of Coffee is perhaps the most apparent gage that will improve appeal for the company’s customers. Receiving extra of a proportionately quality product for a comparable price obviously works as an enticement for customers to prefer Great Cups more than the opposition. While customers identify with a better quality and superior taste with fresher coffee, Great Cups supports its effective model of serving coffee that has been roasted no more 72 hours ago and that is blended and ground right at the store. Great Cups also provides as an unintended marketing method community bulletin boards and assists with book club gatherings as well as
Keurig Inc. founded in 1992, manufactures and designs single-cup brewing systems for use in commercial offices, food service, medical offices, and home environments (Keurig Inc., 2014). In June of 2006, Keurig Inc. began operating as a subsidiary of Green Mountain Coffee Roasters Inc. (Keurig Inc., 2014). The company also produces gourmet coffee, hot cocoa, ice beverages, and tea in different K-Cup portion brand packs. The company uses a network of national and local retailers as well as grocery stores ...
The Rahr and Sons Brewing Company based in Fort Worth, Texas in USA was established in 2004 by Fredrick Rahr. Rahr studied brewing in Texas Christian University and later worked with a railroad company after which he built his own brewing company with the help of his family and friends. Rahr’s wife Erin was a great influence to Rahr’s decision to carry on with beer brewing which was a family tradition.
The three-in-one Keurig roasting, grinding, and brewing machine will be a great addition to the company. It’s innovated design and improved brewing process distinguishes this coffee machine from their competitors. This machine will be one of a kind for the Keurig company and with its reduced price, it will encourage their customers to try something new. It is intended for this product to be a shopping product that the consumers value and make careful decisions upon purchasing the
3-1. What global issues do you see here? What ethical/social responsibility issues do you see here?
Coffee, one of the world’s most known beverages. Seen being drinking at work places, colleges, or in the convenience of your own home. There are a variety of companies that provide us the people with coffee. It can be your local market, bakeries, or even fast food places. 3 places that stand out and our known very well for supplying Americans with coffee is Starbucks, Dunkin Donuts, and McDonald’s. From their strategic advertising, deals, and even straight down to the design of their cups, they meet the definition of marketing. We will be examining these 3 companies using the marketing mix which consist of product, price, place, promotion and also cover value based marketing and see how these companies meet these definitions and how they satisfy their customers as well.
Green Mountain Coffee Roasters initially got started in 1981 as a small café in Waitsfield Vermont and united with Keurig later in 2006. The company produces specialty coffee as well as coffee makers with the help of Keurig whom produces single-cup coffee and tea makers; it is now among their product list. The company roasts 100% Arabica type of coffee transforming it into more than a hundred different coffee products available for selection. Green Mountain Coffee Roasters and Keurig coffee no longer retains ownership of the original café. However, the company still has its headquarters situated in Waitsfield Vermont on a vase land of about 90,000 square feet. (8,400 square meters). The company also prides on having other regional centers which are located in various cities including: Upstate New York, Washington, Maine, Massachusetts and Connecticut. According to the case study, “Exhibit 6 shows the net sales and growth in reference to the year 2008, 2009 and 2010” (C36 in the book, [Dess et al, 2012]). From that data, we can see how the company has developed. The rest of the 2010 annual report also helps in examining the performance of the company which can be seen in Exhibits 3, 4 and 5.
In 2003, Starbucks was listed as one of the Fortune 500. Despite the ongoing recession, the company had managed a 31% increase in net revenues for the year. This was reasonable, considering they only spent about 1% of total sales on marketing. All of this, coupled with the fact that they were popular with customers and employees, was a sure recipe for success.
Bruss (2001) argues that the company hopes as well to make new investments in new coffee types. Starbucks has recently developed a new type of coffee called green-coffee. These strategies are created with the objective of support Starbucks’ commitment to buy coffee that has grown and processed by suppliers. They meet certain conditions of social, economic and quality standards. In addition to that, the company is paying additional premiums to those vendors who meet the specific requirements that the company wants.
Nescafe’s instant coffee is then vacuumed sucked from the vats and into a packaging machine. The packaging machines are set to ensure the correct serving of coffee is placed in each. The grinded coffee is then sealed into sterile, airtight glass containers where a lid is then sealed on top ensuring minimal air inside. The filled glasses then rotate down through a series of machines that place any necessary labels such as nutritional information and company information on the jars.
Global Markets: Starbucking the System Throughout the global marketplace, countless examples of success and failure exist, but rarely can one turn to a single entity that demonstrates not only success and failure, but also a phoenix-like return to greatness from the ashes of its own demise. Starbucks offers the world that precise opportunity, an examination which reveals the guiding principles that formed the basis of the company’s high and low points over the last several decades. The clear contrast between those principles offers a compelling tale that clearly illustrates Starbuck’s success is the direct result of its organizational culture, effective management decisions, a key core-competency of its managers, and perhaps most importantly, the impact of the company’s chief executive officer, Howard Schultz (Ostdick, 2011). Building an Organizational Culture that Contributes to Global Success As with most organizations, the culture in which the employees operate forms the basis of the behavior generally exhibited by the overall workforce. For Starbucks, creating a culture that inspires its workforce to focus on customer satisfaction differentiates itself from merely a coffee house offering a product to a service-based shop in which the customers’ satisfaction is based on far more than the quality of the product itself.
The improvements to coffee brewers and the innovation of Keurig has allowed for Starbucks to repackage their products and distribute it as a home product. Many of the flavors consumers could only get from the Starbucks espresso machine in the store can now be duplicated in the home. The opportunity for continued expansion is present. Coffee is quickly being consumed in almost every country in the world, Starbucks has a legitimate opportunity to influence those countries without the Starbucks brand to open their doors.
Coffee is a worldwide cash crop of which demand has exponentially increased over the years. “Coffee is (after oil) the world’s second most important traded commodity” (Cleaver 61). Competing coffee brewing companies wage war on offering the freshest, best tasting coffee the market has to offer. With such stiff competition there must be enough coffee beans deemed to be good enough in quality to supply the increasing demand. Starbucks can be considered one of today’s top competitors if not thee top coffee manufacturer presently in business. This successful company has had a huge impact on the coffee industry as well as the world. They have gone through great length to provide consumers with an excellent product as well as create a legacy that shows how to best go about running a massive corporation while keeping the environment clean and healthy.
Starbucks is currently the industry leader in specialty coffee. They purchased more high quality coffee beans than anyone else in the world and keep in good standings with the producers to ensure they get the best beans. Getting the best beans is only the first part, Starbucks also has a “closed loop system” that protects the beans from oxygen immediately after roasting to the time of packaging. They did this through their invention of a one-way valve which let the natural gasses escape but keeping oxygen out. This gave them the unique ability to ensure freshness and extended the shelf life to 26 weeks. Starbucks isn’t only about the coffee, it’s also about a place where people can escape to enjoy music, reflect, read, or just chat. It is a total coffee experience. The retail outlet has been responsible for much of Starbucks growth and has contributed substantially to their brand equity.
Starbucks is a worldwide company, known for is delicious brews of coffee and seasonal varieties of tasty drinks for any occasion. Starbucks opened with two main goals, sharing great coffee with friends and to help make the world a little better. It originated in the historic Pike Place Market of Seattle, Washington in 1971 by Jerry Baldwin, Zev Siegl and Gordon Bowker. The creation of Starbucks’ name came from the seafaring tradition of early coffee traders and the romance evoked from Moby Dick. At the time, this individual shop specialized in the towering quality of coffee over competitors and other brewing services enabling its growth to becoming the largest coffee chain in Washington with numerous locations. In the early 1980s, the current CEO Schultz saw an opportunity for growth in the niche market. After a trip to Italy he brought back the idea of a café style environment of leisure and social meetings to the United States we now see in Starbucks locations today. Schultz ultimately left Starbucks to open his own coffee shop, Il Giornale which turned out to be a tremendous success. Fast forward a year later, Schultz got wind that Starbucks was going to sell all their components of Starbucks including their stores and factories, he immediately acquired the funds to buy Starbucks and linked both operations. Within five years he was able to open more than 125 stores starting in New England, Boston, Chicago, and gradually entered California. He wanted Starbucks to be a franchise system based on the mission of telling the truth and emphasize the quality,