Sunday, October 11, 2015

Coffee fanatics are now even more wired

The coffee industry is probably one of the largest industries in the world, and many people feel very strongly about their coffee. A recent acquisition by Peet's Coffee & Tea of Stumptown Coffee Roasters is causing a lot of unease going forward for faithful Stumptown goers. They worry that the original and unique taste of the much smaller chain is going to be compromised by Peet's. Peet's is claiming that it has no interest in changing the style of Stumptown coffee because its reputation is what attracts customers. They simply plan on providing Stumptown with more cash in order to produce more coffee, specifically the bottled iced coffee that it is known for. Coffee connoisseurs are not convinced, and worry that the taste will change with mass production. To be determined if this acquisition will actually increase sales for both Peet's and Stumptown. Mostly likely the increase in production will result in an increase in sales, and Stumptown will go from a more local chain to a nationwide name.

3 comments:

Unknown said...

Hopefully the quality of the product does not change due to the dramatic increase in production. If the taste does change, then they will definietly see a drop 8in sales over time. It would be a mistake to change the quality in my opinion.

Unknown said...

It will be interesting to see how the combination of the two will be able to compete in the global marketplace. Although this acquisition makes the two combined much larger, there are still a lot of players in the market. With coffee prices being so volatile in recent times, we could see even more M&A activity in the market.

Tyler Jenkins said...

I think there is reason to hope for the small roasters out there. America seems to enjoy the craft/artesianal/small batch vibe at the moment. Things like craft beer's popularity and technology that allows unique people to connect with unique roasters points towards reason to keep the niche companies around.