Expresso Espresso

1281 words 6 pages
Expresso Espresso case analysis
Analyze and record the current situation a- The Environment
The specialty coffee industry had seen steady growth for years and the trend was expected to continue until at least 2015. Of the various segments within the specialty coffee industry, most of the growth was attributable to beverage retailers “Coffee and kiosks”. In 1979 there were approximately 250 specialty coffee retailers. The number quadrupled by 1989 to approx 1000 outlets, and it exploded to roughly 15000 by 2002. Nationally, specialty coffee sales totaled over $ 10 billion in 2005.
For specialty coffee beverage services, including coffee, espresso, tea, chai and granite the leading drinks in 2004 were espresso-based beverages with
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Of the various segments within the specialty coffee industry, most of the growth was attributable to beverage retailers “Coffee and kiosks”. In 1979 there were approximately 250 specialty coffee retailers. The number quadrupled by 1989 to approx 1000 outlets, and it exploded to roughly 15000 by 2002. Nationally, specialty coffee sales totaled over $ 10 billion in 2005.
For specialty coffee beverage services, including coffee, espresso, tea, chai and granite the leading drinks in 2004 were espresso-based beverages with average with an average of $50395/store. The second best selling drinks were drip-brewed coffee beverages at $ 333336 / Store, and the third were cold and iced coffee beverages with an average of $22061 / Store. d- The marketing strategy

1- Product
Todd tried to remain the purist in developing his product. He preferred to make fresh drinks from Espresso instead of drip-brewed coffee although it is less cost. Expresso menu offered traditional European style which is half caramel and half chocolate.
Todd was following starbucks new product developments since people use to come and ask him for the same. i.e.; green tea cappuccino, iced tea, spiced cappuccino, pumpkin cappuccino and eggnog cappuccino.
In addition to traditional coffee drinks, the shop also sold teas, smoothies and muffins, lemon bars, cookies and brownies.
Todd did not present sandwiches or soups.
Also he presented

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