Essay on Green Mountain Coffee Roasters

4188 Words Apr 21st, 2011 17 Pages
Running Head: FUTURE OF GREEN MOUNTAIN COFFEE

Future of Green Mountain Coffee
Aaron Copeland, Richard Thompson, Katie Ensign, Sara Bullock
Central Washington University
Future of Brewing When a small sign was hung on a little cafe in Waitsfield, Vermont in 1981, nobody would have imagined that Green Mountain Coffee Roasters [GMCR] would become one of the world's leading specialty coffee makers. Through hard work, "Demand quickly grew beyond the walls of the café," and many other local companies requested GMCR coffee to offer their customers (GMCR, Company Overview, 2009, p. 1). Today, GMCR "is recognized as a leader in the specialty coffee industry for its award-winning coffees, innovative brewing technology and socially
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By vertically integrating, GMCR will be able to reduce costs and move closer to the "more for less" category of the Possible Value Propositions matrix. Despite this higher price, "over 90% [of buyers] give positive satisfaction ratings for their Keurig Brewer" (GMCR, Annual Report, 2009, p.10). This rating of consumer satisfaction shows that GMCR's focus on convenience and consistency in their marketing is very effective. GMCR has achieved this success by initially marketing its Keurig office brewers to business and hotel targets. Since then, GMCR has created at home and travel Keurig brewers at lower prices along with a new vending program that allows them to target commercial and manufacturing environments (GMCR, Annual Report, 2009). With its transition into the growth stage, GMCR has promoted its products primarily by expanding into new retail stores such as Walmart, Target, Macy's, and Bed Bath & Beyond; holding massive sampling events; and expanding its television advertising to include QVC, ABC, CBS, NBC, and the Food Network (GMCR, Annual Report, 2009). This intensive distribution will provide GMCR with the ability to reach new segments while supplying the huge demand accompanying the growth stage. The past,