Introduction
Keurig is an international company that manufactures coffee makers in Unites States and was founded in 1992. Indeed, the company has been operating in the market with Excellency in its products and services. It first entered into the office segment in the market to attract the Corporate companies, offices to purchase the coffee maker for office use that could make single coffee at one time in 60-90 seconds.
Similarly, the company’ expanded to home segment since these products aimed at attracting households in the market. But, the products specification almost were same, but they differed in design, price as well. So, it can be determined that the company has been offering variety of coffees makers with different flavors.
Indeed, the company offered around four category of products in the market with seventy-five options with the variety of products in the market. On the other hand, the company has successfully licensed its coffee makers with a variety of coffee roasters in the market. Similarly, it made a relationship with many coffee sellers in the market such as Dunkin’ Donuts.
However, it was important for the company to understand the dynamics of the market, and develop strategies for facing the increased competition in the market due to the new entrants, and changing customer preferences and tastes as well. Meanwhile, it was also important for the Keurig to understand the impact of the environmental of the K-cup on the growth of the company, and how should the company leverage its relationship with Starbucks and Dunkin’ Donuts.
Situational Analysis
General Environmental Analysis
Technological Trends
Technology has become very dynamic for the companies that operate in the consumer appliance industry. However, competition in the market has increased the complications and complexities in the market. Meanwhile, the changing consumer preferences and demands has increased the competition in the market and has emphasized over the new innovated and technology oriented product in the markets. Similarly, the technology has become a dominant factor in every industry due to the increased demand of customers for technology oriented products.
Demographic Trends
The demographic trends refers to the specific population of consumers with different characteristics such as the age, gender, profession, and race or ethnicity. However, as far as the coffee maker appliance is concerned then it can be determined that the first consumers of the coffee makers are the companies, organizations either be governmental or non-governmental. Therefore, the first consumer of the coffee makers are white collar men in the offices, and other employees.
Meanwhile, the almost each employee is given coffee each day either once or twice. Meanwhile, these peoples are the first consumers. However, in this segment single officers are not target population, but the whole company or the organization is the target population for the company. On the other hand, the target population of the company are the households, individuals, and couples that are working class population as well.
Economic Trends
The target population of the company is the white collar employees, companies, organizations, individuals, and households. But, among them the purchasing power segment is very important. Because, the economic trend refers to the purchasing power of the target population. Similarly, it can be determined that the purchasing power, and affordability is very important in every segment. However, the market trends indicates that home uses of the home appliance is increasing in the market. Because, the number of working class is also increasing, and also raises potential growth in the market.........................
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