Marketing Strategy For Single Serve Coffee Products, Keurig Holds Strong Recognition

We evaluated our company’s position in the industry, and found ourselves in an excellent starting position to further develop our products and match them to the industry’s needs. Our market share is adequate and we can advance further with our strategy improve and reposition our products in the coming years. We have underutilized capacity, which we intend to improve, while increasing automation to reduce costs. We have plans to improve our promotion to improve product awareness and with the appropriate product lines we will increase price to improve margins and better align our high-end product image. Our current financial position is optimistic, showing our leverage (Assets/Equity) at 2.0, when our goal is to maintain 1.5-2.0 overall. By utilizing the analysis tools we are learning what elements are driving demand, how to effectively tailor our products through R&D, how best to adjust our marketing and pricing, while lowering input costs, in order to improve margins and to ensure our stakeholders are all satisfied.

Due to the growing competition and diminishing market share, companies are opting for different strategies to achieve their survival objectives as well as growth. Companies are thus executing grand strategies to provide their businesses with a clear direction for its strategic actions. These strategies, therefore, aim at both short term and long term sustainability and growth, and they include innovation, market development, product development, and concentration.

Discuss the strategic decisions that firms in this sector may be facing. What future strategies can firms pursue to try to secure their competitive advantage and long term survival?

In recent months many new single-serve coffee brewers have come to market in the United States. These new competitors are offering consumers many new choices and variations of a single-serve coffee brewers. In turn, this is stepping up pressure Keurig to keep up with its competitors and the markets demand. The three competitors that pose the biggest threat to Keurig are Bunn’s MyCafé unit, Starbucks’ Verismo unit, and the Esio beverage system which is backed by Wal-Mart.

Companies such as Medsense creates threats for our marketing objective. Another major threat that affects us due to using advanced technology. The use of technology plays a major role in many industries. The computer industry, for instance, spends a great deal of time and money searching for more effective and cost efficient ways to bridge the gap between humans and computers. Computer companies that create a "better" and easier approach to computing will undoubtedly experience success. For businesses within an industry where technology is a key success factor, it's crucial to continuously search for ways to become more technologically advanced?("Business

It is known for its energy boost which is great for the non stop working society in today's culture. I picked a Keurig specifically because it represents the effortless culture we are living in. The Keurig resembles how people put less energy into something that will give them more energy. Keurig is in the top ten stocks of the 21st century (Petruno). As of 2014, they made $4.7 billion in sales and $597 million in profit. Keurig Green Mountain company is taking over the coffee business. The Keurig takes away the hassle of cleaning, measuring the water and coffee grounds and wait for a pot to brew. The Keurig is an easy three-step process which is convenient for today's fast pace

With the expiration of Keurig’s patents coming to a near, it is crucial that Keurig be on the defensive end for a while and prepare themselves for any major market moves. In order to prepare themselves, Keurig must also have some tricks up their sleeve to keep their market share and diversification high because of the relatively low barriers to entry.

The Green Mountain Coffee was good with their prestige, channels, manpower and marketing experience, Keurig came into an agreement with them in 1997. Keurig kept the licensing for K-cup that gave them four to five cents per cup almost pure profit. This plan gave Keurig good profits, cash flows but lower sales.

Keurig was acquired by JAB Holding Company in December 2015 (WSJ, 2015). JAB Holding Company is looking to expand into the global coffee market to compete with Nestle which is the leader of the global coffee market. The expansion of K-cups and brewing machines to Kuwait will provide an opportunity for Keurig Green Mountain to recover from declining sales in the U.S. market and for JAB Holding Co to gain a competitive position in the global coffee market. The focus of the Keurig expansion to Kuwait is to enter the K-cup and coffee machine sales market to provide the country of Kuwait with a variety of specialty coffee selections to meet consumer demand in the region. This means that it is imperative for Keurig to develop strong business relationships with coffee distributors, suppliers, local

Keurig introduced the concept of good, better, best product line to target appropriate audience by providing wide price-range. By partnering with companies like Dunkin Donuts and Starbucks, Keurig provided a wide range of flavors in K-cups satisfying larger masses of coffee enthusiasts. Keurig’s smart marketing strategy helped them increase sales. They used the customer curiosity by showcasing demos in store, the source of curiosity was from infomercials by competitors. Also, Keurig vigorously defended its patents to cover its

Strengths: Dunkin’ Donuts is very popular in its industry and has established a powerful brand and image through its efficient operations, low prices and the wide range of high quality products it offers. Moreover, the company experiences economies of scale as it has many operations worldwide. In addition they have significant bargaining power against their suppliers due to the experience they obtained and the support they acquire from Allied Domecq, one of the strongest companies in the market.

One of the biggest barriers from GMCR’s standpoint is that they realize they can possible build up sales and marketing for the Keurig system once they start producing and endorsing the product. They are capable of doing so because of the position that GMCR is in as an emerging

Issues: our main issue is competition and this is why we should increase our marketing strategies to keep our brand image and to drive away

The agenda of almost every firm that has been established is to be at the top of the ladder. To attain that level they enter into the market with either an invention which facilitates in completing a certain task or an innovative outlook on an existing idea which makes it more attractive and useful to its consumers. Once the firm has entered into the market, they need to earn the confidence of its consumers. As soon as that is complete and they have a concrete position in the market, the next thing they target is to earn the competitive advantage in the market over its rivals. Although, the strategies adapted by them to be innovative and to stand out from the other may differ.

Key competitors and analysis of strengths and weaknesses compared to the competition, including in terms of (a) the product quality and service, (b) prices, (c) market share, and (d) threats and opportunities in the foreseeable future. This