How can I gain sustainable competitive advantage?
Challenge
A fast-growing start up coffee company was at a critical juncture. In addition to daunting competition from local and regional roasters, its success had placed it on the radar of the industry’s behemoth. Its USP was becoming co-opted. Distributors were under intense exclusivity pressure. It lacked resources to increase incentive programs or pursue an aggressive retail location strategy.
Solution
A 360° strategy to build and protect sustainable competitive advantage. A plan to turn small size and underdog position from liabilities into competitive assets.
- A rigorous segmentation study that uncovered a lucrative audience - college and university food service customers - underserved by industry giants.
- A product strategy built on a 100% commitment to fair-trade, organic and sustainable coffee.
- A value proposition marrying rational and emotional benefits key to establishing strong target loyalty.
- Brand architecture and framework to support the “leader in sustainable coffee” position.
- Partnership strategies with leading food management companies that insulated them from exclusivity pressures.
- Seamless follow-through with synchronized brand, sales, promotion and communication strategies
Results
Company growth in excess of 300% since strategic redirection, leading to 2007 sales of more than $5MM. Secured strategic partnership with the world’s largest food management company as the preferred provider of “sustainable and ethical” coffee to 10,000 commercial accounts nationwide.
