Burger King and McDonald's aim at Starbucks to participate in the Coffee War

Burger King Shanghai stores know that currently ground coffee includes lattes, cappuccinos, French caramel lattes, American coffee, etc., with prices ranging from 15 to 19 yuan. McDonald's McCafe has more kinds of freshly ground coffee, according to the waiter, there are cappuccino, latte, mocha, dilution, American style, extra strong and so on. The price of small hot coffee is between 13 and 19 yuan. KFC has three kinds of freshly ground coffee: American style, latte and cappuccino, the price is between 13 and 17 yuan. The lowest price of Starbucks coffee is 24 yuan. It can be seen that the price of freshly ground coffee of fast food brands is relatively similar, which is consistent with the price level of their main fast food products in the industry, and the performance-to-price ratio is relatively high.

In addition, public data show that the concept of boutique put forward by Burger King was first put forward by Erna Knustsen, the founder of the American Fine Coffee Association, which refers to coffee beans with regional flavor grown in the most favorable weather and soil and water conditions. A reporter from the Beijing Business Daily interviewed a number of consumers randomly, and most of them agreed with the boutique coffee. A consumer who regularly patronizes McCafe and KFC freshly ground coffee products says he prefers the former because it has professional equipment and operating staff, the operation process is visible, feels more professional, and is cheaper than Starbucks in price.

A consumer who is more accustomed to spending at Starbucks also admitted that he would consider trying McCafe, also because the consumer environment makes people feel relatively professional. There are also consumers who give reasons for choosing foreign fast food coffee in terms of convenience. "KFC stores spread more, and it is convenient to bring a cup of coffee back to work after dinner." Trefis also mentioned in the report that the combination of McDonald's and McCafe can attract many family consumers.

Trefis also said in the report that focusing on coffee can also ease the pressure on food and beverage sales, and the price advantage can attract consumers. From the perspective of investment, this kind of coffee brand living in stores is relatively low in terms of promotion and development. Industry insiders say frankly that relying on stores, this kind of coffee business no longer needs location and store layout, at the same time, mature stores have a stable passenger flow, and the consumers of western-style fast food also adapt to the consumers of coffee. Not only accurate marketing can also effectively reduce marketing costs.

Foreign fast food can be used in a group.

In the coffee market, Starbucks, Pacific, Costa and other brands, style and price are quite different from the coffee business of the above-mentioned foreign fast food. Zhu Danpeng, a Chinese food industry commentator, points out that although foreign fast food is trying to separate its coffee brand from the impression left on consumers by major fast food products, the effect is actually limited. Foreign fast food coffee is used as a profit channel to make up for rich menus and product lines, because there are more stores, can be more convenient and rapid layout of the market, Chinese coffee consumer groups are also growing, coffee demand has enough market. For brands such as Starbucks, coffee is the main product, while tea and snacks in stores are the side line. There are some differences in the function of coffee between the two cases.

Brands such as Starbucks have accumulated a certain category representative image in the industry, and Trefis pointed out in the report that given the growing competitiveness of coffee giants such as Starbucks, it is difficult for McDonald's to make coffee a major source of revenue in the short term. Industry insiders pointed out that under such circumstances, Burger King's King Coffee entry may be a good thing, and the coffee market is still an incremental market, while the coffee market of foreign fast food groups can actually achieve the effect of building momentum together.

What is also noteworthy is that Zhu Danpeng analyzed that in the development of the entire coffee market, there will definitely be a price war in the future, especially with the addition of fast food, aiming at boutique coffee conceptually to catch up with Starbucks, Pacific and other coffee brands that started with coffee culture, but the price is relatively low, which may undoubtedly attract some price-sensitive people. "therefore, Starbucks' recent strategy to increase the middle and high end of the market is also, to a certain extent, thinking? Find a way out. "