Friday, June 5, 2009

Via killed the coffee star ... oh-ah-oh

Starbucks has closed approximately 600 stores since last July and reported that sales at U.S. stores fell 8 percent in 2008. It's no wonder why.

First, Dunkin Donuts emerged with Dunkin Deals, which bundle a bagel or sandwich for 99 cents with a cofffee purchase. Then, McDonalds launched a $100 million marketing campaign focusing on its line of McCafe specialty drinks. Metro Detroiters have probably seen the billboards proclaiming "90210 Taste, 48503 Budget." Yes, that's a little on the offensive side, but we get it.

The question now is whether Starbucks can make a comeback. I'm not so sure it will happen.

Starbucks, in its attempt to regain some ground in the coffee wars (no pun intended), recently launched Via, the single-serve INSTANT!!! - not instant - coffee packets. They dissolve in hot or cold water, sell at $2.95 for a three-pack, and impressively, taste like the real thing. In the beginning it sounded like a great idea: one more way for coffee lovers to enjoy their Starbucks.

Then, along came Nescafe, with its own single-serve version of "INSTANT!!!". As the original inventors of instant coffee, Nescafe felt the need to reassert itself in the java market. The brand's new Trader's Choice packets come in six flavors and will be available in most grocery and convenience stores by the end of 2009, retailing at about 17 cents per packet.

Enter new Nescafe billboard: "Dear Starbucks/Imitation Is Flattery/ Charging 400% More/ Not So Much"

Now that's what I call free-market capitalism.

But don't run out and stock up on Nescafe just yet. While it's definitely cheaper, there are some downfalls. For one, a packet of Nescafe will only make about 6 ounces of coffee, whereas one Via makes 8 ounces. In fact, I used a packet of Via in a tall (12-ounce) cup, and it tasted great.

Secondly, if you are on the go and have access to a Starbucks, you can show the barista your packet of Via, ask for a cup of hot or iced water, and help yourself to the condiments. (I've done this, and it's totally acceptable). I suppose you could try this with Nescafe, but I wouldn't recommend it.

Finally, if you are a Starbucks lover, remember why you began drinking the stuff in the first place - it ain't no Folgers. Nescafe has nowhere near the body and flavor that Via has.

But don't believe everything I say; see for yourself. Click this link and Nescafe will send you a free six-pack: http://smartchoice.tasterschoice.com/#/Try_It_On_Us/