Starbucks instant coffee: breakthrough innovation or brand suicide?
Barely two years ago, Starbucks CEO Howard Schultz admitted in a leaked memo that the chain had lost its passion for coffee, admitting that its ambitious growth had seriously damaged the brand experience. Last week he announced that Starbucks is moving into instant coffee.
Creating a genuinely superior instant coffee offers Starbucks a platform for huge growth, particularly among those consumers who do not currently visit its stores. However, there is inherent risk in Starbucks associating its core brand with the instant coffee category.