Double Trouble

Tim Hortons is often regarded as part of the retail fabric of Canada, a coffee shop that no longer just sells coffee. Tim Hortons has never wanted to remain stagnant, defined only by coffee and doughnuts; instead, it has chosen to grow and evolve... even if there are bumps along the way.

Since opening its first location in 1964 in Hamilton, Ontario, Tim Hortons has been a piece of Canadiana, no matter what food or drink it has offered. In 1976, the now-popular Timbits first appeared on the menu, and in the mid-1980s, soup and chili added some savoury flavour. In 1993, sandwiches were introduced, and a few years later, bagels were offered to hungry Tims customers.

In the 21st century, Tim Hortons continues to add to its offerings, with the menu beginning to rival what you might see in a fast-food restaurant. But, there have been challenges for Tim Hortons along the way, as it has grown well beyond its humble beginnings in a small Hamilton store more than 50 years ago.

For a real sense of Tim Hortons' product approach moving forward, look no further than the grocery aisle. Along with fellow coffee retailer Starbucks, Tim Hortons has tried to make a dent in the home coffee market by introducing a number of coffee products to grocery shoppers, hoping that customers will want the same Tim Hortons experience at home as they do while waiting in long lineups at a drive thru near them.

Whereas instant coffee made for the retail environment makes a lot of sense, Tim Hortons has also tried to focus on different ways in which their signature beverage can be prepared. Iced coffees and iced cappuccino beverages were offered in 2019 as a way to address heavy competition in the drink market, which began to see indirect competition not only from teas but from energy drinks and other frozen beverages like Slurpees and Big Gulps at unassuming competitors like 7-11.

At the time its new coffee products were introduced to the retail market, a Tim Hortons representative noted, "We know that it's just as important to [our customers] to be able to enjoy our coffee beverages from the comfort of home or when they are on the go." Much of what was offered in the 2019 retail release focused on what Tim Hortons did well: coffee and branding. There were light, medium, and dark roasts for instant coffee, and an ice coffee that uses the famous "double double" term to describe the copious amounts of cream and sugar used by customers in their coffee.

Nowhere is the use of branding more acute than in the introduction of a product that is not directly related to coffee: the Double Double Coffee Bar. The product competes with chocolate bars, even though it contains no chocolate. The company took months between developing the idea and having it available on store shelves.

But, it seems that every company comes to a point where its new products might go a step too far. For Tim Hortons, that product could be one they introduced in early 2020: Timbits breakfast cereal. The idea behind this new product is to try to attract a younger market segment that might enjoy breakfasting on a product they often see in Tims stores, at sporting events, and at birthday parties. But, for some, breakfast cereal takes Tim Hortons too far away from what it's meant to be. Tim Hortons has tried to deflect criticism by stating that Post Foods was behind the product introduction. But, most people know nothing can be done with the Tims brand without its approval.

So, your task is to use the product concepts from your text to either defend or criticize this new product introduction. You will have to use course material to make your point; simply liking or disliking it is not enough in this case. Your analysis should be done right now, on the double double!

Through the course of developing new products, whether they be in Tim Hortons stores or on retail shelves, it is clear that the company is trying to increase the number of product lines that it offers. Which product concept does its actions best portray?

a. product mix attrition

b. product development

c. market product growth

d. product mix width

When Tim Hortons introduced Timbits cereal, many observers noted that they were trying to appeal to a younger demographic. The cereal is an attempt to change the perception that people have of the Tim Hortons brand, which tends to attract an older demographic group than other competitors like Starbucks. What is this attempt called?

a. refocus

b. redevelopment

c. repositioning

d. redistribution

e. none of the above

When Tim Hortons introduced Timbits cereal, many observers noted that they were trying to appeal to a younger demographic. The cereal is an attempt to change the perception that people have of the Tim Hortons brand, which tends to attract an older demographic group than other competitors like Starbucks. What is this attempt called?

a. refocus

b. redevelopment

c. repositioning

d. redistribution

e. none of the above

When Tim Hortons introduced Timbits cereal, many observers noted that they were trying to appeal to a younger demographic. The cereal is an attempt to change the perception that people have of the Tim Hortons brand, which tends to attract an older demographic group than other competitors like Starbucks. What is this attempt called?

a. refocus

b. redevelopment

c. repositioning

d. redistribution

e. none of the above

How should all of Tim Hortons' offerings in the grocery store market be classified?

a. shopping

b. heuristic

c. convenience

d. specialty

e. consume

By attaching itself to products far from its origins, Tim Hortons is risking reducing the value attached to the Tim Hortons name. The strong favourable thoughts that consumers have for companies and their products is what is at stake here. What is this favourable view called?

a. customer loyalty

b. brand loyalty

c. brand equity

d. customer support

e. customer appreciation