Thanks to Jolene for finding this and posting it on her blog site. I hope she doesn't mind this co-post, as this intriguing article - click on the orange link below to read it - should be published just about everywhere.
A few quick notes... I disagree with the columnist's conclusion here; I do believe that $100 million in advertising by the Golden Arches will hurt the Bucks. Also, I think they should have called their new shops McCoffee.
I further feel it's worth mentioning that Starbucks was once far ahead of its second and third-tier competitors - like Peets and Sacramento-based Java City - but it has now been caught and surpassed in terms of the "total customer experience." (That experience should include excellent service.) Perhaps more importantly, these competitors are now providing what many see as a better product, a better cup of bold coffee.
Note that Peets, for example, does not compete with the Bucks on price. A small cup of Peets coffee costs 15 cents more than it does at S-B. For those serious coffee drinkers who think they're getting a better brew for just three nickels, its a very small price to pay.
Selling coffee becomes diacritical for McDonald's - Los Angeles Times
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Photo: flickr (turtlemom4bacon)
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