Tuesday, October 21, 2008

Taste-Test Wars

Today's AAAA Smart Brief had an article about the latest taste-test war (http://seattlepi.nwsource.com/business/384156_dunkin21.html). This one was between Dunkin Donuts and Starbucks, with bragging rights for the best tasting coffee at stake. Dunkin Donuts commissioned the research/competition and won 54% to Starbucks' 39%.

We all know the blind taste-test isn't a new idea (Pepsi vs. Coke anyone?). But here's the question: are these kind of head-to-head taste tests compelling to consumers? Beyond that, are they smart strategically?

Shamrock Farms (our awesome "Real. Fresh. Ideas." local dairy) has danced around the idea of taking on Daisy (the big, bad, national brand), but always gets a little gun shy when it comes to attacking such a mammoth brand (and mammoth media buy). It's always the underdog who seems to commission these things. Does coming out on top give your brand street cred? Or does it reinforce that you're not #1?

4 comments:

Brian Stout said...

I was discussing this with my Wawa client the other day. Interestingly, Dunkin's test was a test of coffee you brew at home. Now technically the in-store and home brews are identical, but those of us who are coffee experts (or who work on a brand that competes in the coffee arena) know that so much more goes into the taste of coffee- water, the kind of filter that is used, the equipment, and not to mention all the fixings for those who don't drink their coffee black.

In our sensory groups for Wawa, we always let consumers prepare coffee the way they usually drink it. So if you like cream and sugar, you make it that way. Do we lose some control due to this? Yes, but we think research should replicate real world circumstances, and from what we've seen about the details of how this research was conducted, we're unimpressed. Besides, who's to say Dunkin' didn't conduct 10 or 20 tests like this before publishing the results of the one with the best turnout for them? After all, since it's their research, they can do this.

Lots to wonder here, but strategically, I think this will be a huge win for Dunkin', though I hate to see Starbucks take such a hit when it's already down.

Amy said...

Brian, I think you bring up some of the key issues with taste-tests.

As planners, we're automatically going to question the methodology, but I think consumers do too. We live in such a skeptical society, people always want details.

And the point you make about everything else that goes into coffee-making (the water, equipment, milk, etc.) is something we encountered with Shamrock Farms too. How do you get a true test of sour cream? If you put it on a cracker, the type of cracker you choose could influence which sour cream tastes better with that particular cracker. On the other hand, if you have consumers taste it plain (and thus not adding an unknown variable) you're having them react to the product out of context (who eats sour cream plain?).

The way you all handled it (letting consumers prepare it as they would under normal circumstances) makes sense. Yes, you lose some control, but ultimately you get more "real" results.

Thanks for the post!

Warren said...

http://www.consumerreports.org/cro/food/beverages/coffee-tea/coffee-taste-test-3-07/overview/0307_coffee_ov_1.htm

This consumer report from March 2007 shows McDonald's as the "true taste test winner."

I agree with Brian in that there is probably some research manipulation being applied.

Even in the famous Pepsi Challenge people were choosing Pepsi because it's sweeter and much more appealing when you only take a sip, but when you're drinking the whole can, Coke is better.

I definitely think it's important to consider real world circumstances when conducting these tests because in the real world I'm drinking the whole can.

Addie said...

As a food writer and an eager consumer of coffee, I find this blind taste very interesting.

However, for your purposes, I would consider the difference between a blind tasting of national products that most people are familiar with (Coke v. Pespi is one of these, too) and a blind tasting between a well-known and an obscure product (Daisy v. Shamrock Farm).

You have more to lose and more to gain going up against the big guy, but what do you *really* have to lose? Your customers are going to be loyal regardless, that is if the company is holding up its end of the deal by putting out a high quality product.

In a big nationwide market with two well-known brands, we're only talking about the survey having a few percentage points impact. Those few points, however, could be make or break in some cases, but not Starbucks v. Dunkin.

I say, go for it! (And be sure to put it on camera to send out on YouTube when you're done. We already know how well milk mustaches go over...)

Addie
http://austin360.com/relishaustin