Starbucks VIA

The image above is of the new VIA- instant coffee from Starbucks. I had of recent read an article on Brandchannel on the release of VIA where the concern was expressed as to whether or not the release of Starbucks instant coffee would cannibalize its coffee shop business. The add is quite an interesting one where a community gathering is shown where men try out Starbucks coffee & VIA and some of them jerk out of their seats shouting that there is no difference in their taste. What makes you take a second look at the add is its crispiness & the weirdness reflected in the frustrated voices of the men as they shout that it's the same. In an unsuccessful attempt to search for the video of the same to upload on my blog I came across many a comment by people, most of them voicing out out the move is going to cost Starbucks dearly & as to why would one want to go to a SB outlet when you can get it in your very own drawing room at a lower cost.

Well, I really cant accept this take. Instant coffee is no new player in the market & there are other competent brands existing the market amidst whom VIA has made an entry. Despite them, there have been a section of the coffee lovers who were Starbucks customers or more broadly speaking, those who liked hanging out at a coffee shop for their daily stimulant. After all, is it only for coffee that a SB customer looks for; is not the entire experience of being served with a steaming cup, hang out with your colleagues or buddy & share thoughts, ideas or just relax over coffee. The experience counts as much as the coffee which can not be recreated aptly in your drawing room. So wherein lies the threat?

Its highly unlikely that regular coffee goers would resort to the comforts of their homes for a SB coffee, just like the vise versa doesn't also seem as an outcome of VIA. The move in fact seems well directed with SB trying to convert the instant coffee customer segment into SB customers while still serving the cafe goers. It can also be a way to satisfy their existing clientèle by allowing them to carry these trim packs of instant coffee so that they can create the SB flavor on flights or on job when a cafe may not be in sight- a win-win situation on either sides of the coin. I have heard that VIA stands out amongst the existing brands for its distinct taste owing to the 100%Arabic beans flavor which is an important competitive edge so that you don't end up as another me to product.

Well, its too early to judge as to whether or not VIA would transcend into a cash cow for Starbucks & I'll try to keep a tab on it.