Mar 03 2011

Tim Hortons Introduces Smoothies

Published by at 8:57 pm under Uncategorized

Starting Monday March 7th 2011, Tim Hortons will begin serving smoothies in its stores in Canada. The company has already introduced the product in the States but has been testing the product in Canada for five years. According to Dave McKay, the marketing director for beverages at Tim Hortons, “Canadians are snacking more and they are looking for healthier snacks, so it’s a big business opportunity to launch smoothies in Canada” (Canadian Press, 2011).

As soon as I read this article, it immediately got me thinking about Tim Horton’s STP outline. Through research about lifestyle trends towards healthy alternatives and what its competitors were offering, Tim Hortons realized that they could segment their market into those who want regular coffee beverages and those who want healthy drinks like smoothies.

By segmenting the market into these two groups, Tim Hortons can target those who want to have a healthy drink. The Tim Horton’s 10-ounce smoothie will cost $1.99 and have 130 calories, zero grams of fat, and a full serving of fruit. In a fast-paced generation where convenience is valued, this product will also benefit those customers who don’t have time to eat their portion of fruits for the day.

As a positioning statement for Tim Hortons, the company can claim that they are a reasonably priced coffeehouse company that also provides healthy alternatives. This gives the company a jump on some of its competitors and allows them to secure another portion of the market besides coffee beverages.

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