We'll track the pricing war phenomenon as it evolves. It recently rose coffee prices by 10 cents per cup, and this week it announced new icy-blended beverages to cool your summer. Rhumba Frappuccino is available now through September 30. All other summer beverages will be in the coffeehouses on May 12. Meanwhile, we continue to wait with bated breath for Starbucks new online business to be officially announced and launched.
Coffee is merely one aspect of the brand's equation.
Ice cream, bottled frappuccino, chocolate, music collections and other ventures have succeeded at Starbucks partially due to the fact that if a company pleases its customers, customers are willing to trust the company with new ventures, too. Growing a business by expanding the scope of its brand is probably one of the least expensive ways to grow. It needn't take millions in advertising to present a new pitch to the mass market. It merely takes, often, word of mouth among existing customers. Starbucks is achieving brand expansion in a way that rivals any other company.