PEOPLE & COFFEE
Nowadays, coffee drinking is one of the most pervasive habits in the world, people from all cultures and origins enjoy a good cup of caffeine, to the extent that coffee has become the second most traded commodity, just after oil. And it is said that it represents a third of the total tap water consumption. So what are the reasons behind this phenomenal level of consumption?
First of all, it’s chemical. Caffeine contained in coffee triggers a number of reactions in the brain, the most noticeable one is the fact that caffeine molecules attach to adenosine receptors in the brain, and this simulates an emergency situation, that tricks something called the “pituitary gland” to think that there is something really important going on, and it declares emergency situation in the whole body, which explains the alertness people feel after drinking coffee. This effect is magnified by the anchoring effect that makes the body simulate the alertness just after smelling coffee. Which explains the strength of the coffee-drinking ritual.
Second, this state of mental alertness is not the only reason behind it, coffee drinking has multiple moments of consumption: people drink coffee at work, at home or in cafés and restaurants. So seeking alertness is clearly not the sole driver, indulgence is also an important one, people do enjoy a good cup of coffee, and nowadays, brands are going beyond the functional part of the product, the real margin for differentiation remains in overall experience, brands are trying to create an emotional bond with the customer.
Maxwell house, promises constant coffee quality, its everlasting slogan has always been “good to the last drop”, at first claimed originated from frank Roosevelt himself, it builds advertisement around the idea of good unchanged coffee, which makes it different from other instant coffee brands, that promise ease of use but they generally compromise on quality. Nescafé moves away from the product itself, and communicates on emotions such as happiness, optimism and energy, and targets especially younger demographics.
Moving away from instant coffee, what Starbucks has done in terms of consumption experience is truly phenomenal. They offer a large variety of recipes, and a smooth and chill environment, with a strong brand identity that has created a community around it, meeting people holding Starbucks cups and asking them about the nearest Starbucks shop is always a pleasurable moment for the fans. And through this experience Starbucks has gotten away with high prices. Critics say that the actual coffee they offer quite average, but consumers in this case are looking for more than coffee, they are looking for an experience and a sense of community. Although McDonalds coffee called very predictably the “McCafé” has taken a swing on Starbucks with the campaign “four bucks is dumb” criticizing Starbucks’ pricing.
And last but not least, Nespresso is one of the most famous success stories. They offer Nespresso machines as well as Nespresso capsules that come in different colors and flavors. They created the packaged portions segment, which has since became the fastest growing segment in the coffee market. They also had a very successful ad campaign “what’s next?” featuring a number of well-known actors, and especially George Clooney, the face of the brand world-wide.
To conclude, there is more to coffee that just drinks, it has evolved to become an experience, weather during a break in the office, during breakfast at home, or in restaurants and cafés, coffee has become a way of life, and a way for people to indulge themselves, or have a calm and relaxed conversation.