FAQS

GORILLA COFFEE RTD

LAUNCHING A SHELF-STABLE COLD BREW COFFEE IN A NASCENT MARKET

Ā 

In 2012, as the owner of Gorilla Coffee, a brand I had started in 2002, I launched a shelf-stable cold brew product as the ready-to-drink (RTD) coffee market was beginning to emerge. This launch coincided with similar moves by competitors like Stumptown and Chameleon Cold Brew, marking the start of a new trend in the coffee industry.

CHALLENGE

Launching an RTD coffee product presented several challenges:

  1. Entering a nascent market with limited consumer awareness

  2. Competing with large coffee brands also entering the space

  3. Managing complex logistics and production processes

SOLUTION

We decided to leverage our brand strength and innovate with a shelf-stable cold brew product. To establish our presence in the new RTD coffee segment, we focused on securing local distribution and generating press attention.

KEYĀ COMPONENTS OF THE LAUNCH

  • Product Innovation: Developed a shelf-stable cold brew product, allowing for attractive floor displays in stores and promotions.

  • Distribution Strategy: Secured placement in Northeast Whole Foods stores before production began, ensuring immediate market presence.

  • Production Process: Established a production chain involving multiple locations: roasting, brewing, and bottling.

RESULTS

The launch yielded mixed results:

Successes:

  • Successfully secured distribution in key retail locations
  • Generated significant press attention, raising brand awareness
  • Capitalized on the growing trend of RTD coffee products

Challenges:

  • High operational costs due to complex logistics (roasting in Brooklyn, brewing in New Orleans, packaging in Michigan)
  • Strain on company resources, as the launch demanded attention alongside existing wholesale and retail operations

KEY TAKEAWAYS

  1. Market Timing is Crucial: Entering the RTD coffee market early allowed for significant opportunities but also presented unique challenges.

  2. Distribution is Key: Securing retail placement before production was a strategic move that ensured immediate market presence.

  3. PR Can Drive Initial Success: Strong press attention at launch helped raise awareness in a new product category.

  4. Market Evolution: Today's RTD coffee market offers more co-packing and supplier options, reducing some financial barriers to entry.

  5. Consumer Trends: Gen Z's preference for cold coffee drinks continues to drive market growth, presenting ongoing opportunities in the RTD coffee segment.

TAYLOR LANE