single

cup coffee&

brewers

• Peter Dragone, John Sylvan, 1990

• Keurig = Dutch for Excellence

• Fresh Coffee – every time

• Bought by Green Mountain Coffee Roasters Inc. in 2006

COMPANYthe

• Single-cup brewing system of gourmet coffee, under 1 minute

• Many models (household & commercial use)

PRODUCTthe

Teas, Coffees,

Hot Chocolate

K-CUP SYSTEMthe

Over 200 varieties

VUE V700 theNew Product Affluent Market

“Brew Stronger. Brew Bigger. Brew Hotter.”

PRODUCTthelife cycle

• Target Market and Segmentation– 54% Americans drink coffee– Middle to Upper Class– Home User vs. Office User

• Customer Suggestions– Bigger Cup Size– Environmentally Friendly– More varieties

CUSTOMER the

• Customer Concerns– Durable Goods– 1-year Warranty– Defective Quality– Replacement Brewer– Lose Consumer Confidence

• Recommendation– Better quality brewer

CUSTOMER the

KEURIG

COMPETITION the

VS

• Single cup / day drinkers vs. multiple cup / day

• Surveys given to participants who have experienced the B100 (original Keurig Coffee Brewer)

• Modern price increase is reflected upon inflation, competition, and increased consumption

PRICEthe

• Historically sold only through KADs (Keurig Authorized Dealers)

• Expanded to online retailers for the K-Cup

• Outsourced K-Cup and Brewer to national and local retailers

• OCS (Office Coffee Service) remains with KADs

PLACEthe

PROMOTIONthe

STRENGTHS- “Technology Company in the

Coffee Industry” - Reputation

- Ethics, Social and Environmental responsibility

- Customer Service- Accessible Webpage

WEAKNESSES

- Product Quality

OPPORTUNITIES

-Affluent Market-Hotel Partnerships

THREATS

- Starbucks Verrismo- Espresso Market

brewingexcellenceone cup

at a time

KEURIG Thank you!