McDonald's Corp. Launches Specialty Coffee Stores In Central Ohio

Posted: August 21st, 2008 12:23 PM GMT-05:00

McDonald's Corp. recently launched its McCafe Coffees in central Ohio, which focuses on specialty java brews, according to Convenience Store News.

COMPETITIVE WATCH: McDonald's Launches McCafe Coffees

COLUMBUS, Ohio -- With Americans consuming upwards of 400 million cups of coffee each day, retailers continuously scramble to secure market share. While convenience store operators have a built-in share, the industry faces new competition from McDonald’s, which launched a new campaign called McCafe Coffees in central Ohio, which focuses on specialty java brews.

"McDonald’s continues to engage customers by extending premium coffee choices during breakfast and throughout the day," Jeff Newman, president, McDonald’s Central Ohio Marketing Cooperative, said in a released statement. "Our customers can now enjoy a variety of new McCafe Coffees at a great value."

The Co-op for McDonald’s is one of the first markets in the country and the first in Ohio to offer the McCafe product line, featuring lattes, mochas, espresso shots and cappuccinos in a variety of options and flavors including Iced, Hazelnut, Caramel and Vanilla (regular and sugar free), and Premium Roast Coffee and Hot Chocolate. Most are available in small (12 ounces), medium (16 ounces) and large (20 ounces) sizes. Prices generally start at $1.99, and customers can select whole or non-fat milk.

Editor's Insight: McDonald's has not been dissuaded from pursing the specialty coffee market, despite a slower than expected customer response to its specialty coffee offerings in Michigan and Kansas City, Mo., as reported back on 05-12-08.

The coffee bars are an extension of the specialty coffee initiative, which is a bold effort to cash in on the specialty coffee business.

VendingMarketWatch has observed that the coffee bar expansion carries the risk of changing the company's identity. The initiative has been further challenged by recent changes in the U.S. economy; namely, consumers' new emphasis on bargains.

Nevertheless, specialty coffee sales remain strong overall. Vending and coffee service operators need to continue to offer consumers what they want. 08-21-08 by Elliot Maras

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