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Coffee pods are about to invade the US

Home & Garden

Philips will soon roll-out its Senseo coffee making system in the US, already incredibly popular in Europe. Competition in the coffeehouse-style coffee at home.

Three years ago, Philips and Sara Lee successfully introduced Senseo, a home concept for coffee, including a special machine (which works not unlike an espresso machine) and special coffee pods. Now, after selling more than 5 million Senseo machines in Europe, Philips is about to enter the US market, hoping to sell 2 million machines annually, at a retail price of USD 69.99. A multi-million dollar advertising campaign is in the works, and there’s an exclusive pre-sales section on the amazon.com site (a trend in itself!). But competition in the coffeehouse-style coffee at home arena is brewing: Procter & Gamble recently announced its new Home Cafe product line, which involves its Folgers and Millstone coffee brands partnering with appliance makers Black & Decker, Krups, Mr. Coffee and Hamilton Beach. Like the Senseo, the competitors machines will allow people to brew single servings of cafe-style coffee from specially designed packets. Which means better quality, less brewing time, and, as the pods come in various flavors, more choice for individuals and entire households. And as if this market isn’t going to be crowded enough, Kraft just announced its own on-demand, roast coffee system called Tassimo, combining its Carte Noire coffees with a dedicated appliance by espresso machine manufacturer Saeco. Tassimo will first be rolled out in France, avoiding the oncoming P&G vs Sara Lee bloodbath in the US. Setting it apart from its competitors is a liquid milk disc that creates froth without the use of a steam wand. Yes, innovation lives. 😉

Opportunities

Yet another industry that is completely reinventing itself. So who’s next? New niche companies selling competing coffee pods with even more gourmet flavors? What about a new breed of superior tea kettles? Will Starbucks finally start selling mini-Starbucks coffeehouses for the home? Oh, wait, they’ve just started doing that with… Saeco (yes, the same folks that developed the Tassimo with Kraft). Getting crowded!Still, you don’t have to be in food and drink to see the power of BRANDED BRANDS like the BeerTender, Senseo or Tassimo: for cross-industry inspiration, please check out the ever-growing list of co-branded innovations at TRENDWATCHING.COM’s BRANDED BRANDS page!

Website: prod.springwise.pro.pugpig.com/newbusinessideas/2003/01/coffee_for_two.html

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