Starbucks is launching an instant coffee, Via.
Some say this move is the “ultimate act of watering down a brand” and others are raving that ”the move might actually be the smartest the company has made recently”.
The way I see it, Starbucks is going after additional sources of revenue where there is demand and alignment with their core competency–a smart business move.
I do not believe this product line expansion into instant coffee will tarnish Starbuck’s brand in itself. However, the quality of the instant coffee, its positioning, packaging and distribution channels might be damaging if not properly executed.
As an espresso lover I personally hate instant coffee and would not give even Via a try, but Starbucks has already reached 2.5 million java aficionados to try it out!
What about you-will you give Via a try? Will Via affect your perception of the Starbucks’ brand negatively?
20. March 2009 at 06:47
well, Starbuck’s instant coffee should have high-end or very natural look and feel packaging. Their brand still has a good market share over others - like Peets, etc, - however the coffee they serve is low quality. When they come out with the instant version, if it’s not positioned well, and is low quality, they may loose their fans to the better quality already established instant brands. Although I love my espresso and pretty picky about coffee in general, Nescafe’s instant is one of the best in the category.