Friday, May 8, 2009

Apparently, You're an Idiot For Not Buying More Expensive Coffee

Starbucks Coffee, who has watched many customers flock towards cheaper coffee which is almost as good if not as good, has gone on the offensive. In new ads, Starbucks takes thinly veiled shot at up-and-coming coffee seller McDonald's with ads with clever taglines such as: "Beware of a cheaper cup of coffee... it comes with a price," and that "compromise leaves a really bad aftertaste." The marketing campaign will "focus more on value and the quality of the Starbucks experience."

Granted, I'm not a devout Starbucks drinker even though I like their caramel macchiatos, but this completely reeks of an ad campaign that insults the customer's intelligence. It's the flip-side of my concerns around the Microsoft "our product might stink, but how about that bang for the buck?" ad campaign I had referenced in an earlier post.

So the point, Mr. Schultz, is that I should be willing to pay 75 to 150% more on a comparable cup of coffee because it's much better to order my coffee from someone with a green apron who hands it off to someone who will stick it on a round side table while calling out my order as opposed to getting it from a red-uniformed McDonald's cashier? Or maybe I'm paying for the leather seat and rug within the Starbucks that I never get to use because it's jammed packed, or the absence of kids which would plague a McDonald's.

I'm not quite understanding the value proposition.

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