CANADA - The Coca Cola company has launched a new range of products aimed at the up-market discerning consumer and with it Coke is launching a new business model which it hopes will lure consumers away from the ‘specialty’ outlets, like Statrbucks.
In September Coke launched its premium brewed beverages in Toronto, Canada, to be known as Far Coast which, according to Coke, will feature a range of “coffees, teas and other exotic brews and infusions that are inspired by different cultural “adventures’ in music, art, and legends from around the world”.
However, Coke’s strategy for these brews involves a totally new retail and distribution structure and supplier relationships to “empower its retail customers - premium restaurants, entertainment venues and other high-end outlets - to offer a variety of freshly brewed espressos, chai teas, cappuccinos and lattes with a high degree of operational ease.” Clearly targeting the Starbucks-crowd.
According to Udaiyan Jatar, head of Coca-Cola’s Global Premium Brewed Beverage business, “Consumers are looking for quality and variety and are increasingly curious about the world around them. Far Coast was created to provide them with a window into different cultures through our range of delicious brews and infusions.”
To help build awareness and trial of the Far Coast brand, the company gone so far as to open its own Far Coast Concept Store in Toronto.
The Concept Store is intended to “provide a venue for consumers to taste and explore the wide range of premium Far Coast blends and experience the magic of the brand”.
In addition Coke will be able use the outlet as a test market platform to learn about this new market and gather consumer feedback quickly on new products to provide proven products to its restaurant trade customers.
“The Concept Store is a powerful and innovative marketing device to build an authentic relationship between the Far Coast brand and consumers, and ultimately, help drive consumers to our retail customers,” said Jatar.
Following the opening of the Toronto Concept Store on Bloor Street, Coca-Cola will rollout Far Coast only through its retail customers will be closely followed by Oslo and Singapore,
According to the Coca-Cola Company it has developed a proprietary pod-based brewing technology, which provides customers with an operationally easy system to offer barista quality brewed beverages while ensuring each beverage is consistently of superior quality and freshly made for each individual consumer.
This innovation is designed to help the Company’s retail customers overcome operational complexities such as complex, unreliable machines and high labor turnoverm considered a barrier when opening a new franchise to compete with brash young upstarts in the beverage game, like Starbucks..
Through this technology, retail customers can quickly and conveniently tap into the fast growing specialty coffee and tea market while receiving marketing and technical support from The Coca-Cola Company.