Coffee Mate Case Study

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1. What are the main benefits of Coffee-Mate and what is limiting its sales?

First of all, Coffee-Mate´s main benefit is its ability to replace cream or real milk. Furthermore, it can be stored for a much longer time than milk or cream making it a good substitute. People who cannot drink coffee without milk don’t need to carry around or look for milk since coffee mate will do the same job. In addition it is made of health promoting ingredients such as dried glucose and vegetable fat. However it cannot be legally defined as non-diary since it also contains milk derivatives. This can be considered a benefit to Coffee-Mate when it comes to customers who like the flavour and thus also makes them use less sugar for sure. Another competitive
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This may be the one and only risk to concern from this group. Coffee-Mate contains many chemicals to imitate milk and extend its shelf life. This will require good advertising that persuades the potential customers enough on other aspects of the product, or try to make the product more healthy. However, considering the characteristics of this segment I believe that it would be the most lucrative of them all.

4. Evaluate the proposed ad for target market and benefits promoted. Will the ad help propel Coffee-Mate’s further growth? Create an alternative ad for your chosen target market.

The ad brings into view the benefits that when you run out of cream you can use Coffee-Mate as an alternative. In addition, another aspect is that the guest might like it even better than ordinary cream. Depending on the accuracy of the target market analysis and how the ad might appeal to potential customers I think it will spread the curiosity to try Coffee Mate out and thus boost the sale.

My chosen market is Group 3. The proposed TV ad is directed towards the same age segment. However, If Group 3 was to be considered then it is important to take into account the potential mediums to reach them. They lack media awareness and they are traditional in that area. Therefore one possible suggestion would be to use the same script from the proposed ad to use on a radio ad. I would add the thoughts of both

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