Friday, 4 November 2011

Christmas coffee cup effect

On the face of it, it seems like a win win for Costa. If Starbucks benefit from Christmas sales hike by changing the colour of their cup, then why don’t we do the same thing?

To mark the Holiday season, Starbucks cups change from white to a festive red colour. It’s long been muted that the colour change provides a sales hike. In reality, it’s the festive season itself that does that. More social shopping taking place, gifting purchases, colder weather, seeing more of friends and family all contribute to a significant sales spike. In fact Starbucks generates almost 25% of its yearly sales during the six-week long Holiday shopping season with many Starbucks stores doubling their average weekly sales during these six weeks.

After 4 years of ‘conditioning’ in the UK, the red cup now acts as a trigger for that ‘Christmas spirit’ feeling, allowing Starbucks to extend this lucrative period into early November while also continuing to strengthen consumer affinity with the brand year on year.

Which brings us back to Costa – a limited edition Christmas cup could no doubt have a similar effect on their November trading, but unfortunately the execution just doesn’t feel premium enough. Rather than a warm fuzzy Christmas feeling, you’re left holding a cup that looks like a NASA canteen reject from the late 60s.




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