Seeking Alpha

Starbucks (SBUX +0.6%) drops the price of its Verismo brewer by up to $100 on its website in...

Starbucks (SBUX +0.6%) drops the price of its Verismo brewer by up to $100 on its website in what could either be a limited holiday deal or a response to consumer reaction to the initial prices on the single-serve coffee maker. It's the kind of news which Green Mountain Coffee Roasters (GMCR +0.8%) investors can spin either way depending upon their long/short frame of mind.
Comments (8)
  • CharlieTav
    , contributor
    Comments (73) | Send Message
     
    This proves Starbucks is desperate.

     

    K-cup is going the to be the standard format and the Verismo will fail.

     

    The patent expiration of the K-cup creating competition will cement the K-cup as the universal coffee pod; other formats will not survive

     

    Reducing the price of the Verismo is an act of desperation by Starbucks

     

    Long GMCR / MCD / KKD / FARM
    13 Dec 2012, 10:35 AM Reply Like
  • josefbaikal
    , contributor
    Comments (37) | Send Message
     
    like i said before, verissimo is junk.
    13 Dec 2012, 10:41 AM Reply Like
  • GDW1
    , contributor
    Comments (50) | Send Message
     
    GMCR bears said the $50 credit for various Keurigs was a sign of desperation. Watch and see these same folks say that Starbucks more dramatic price reduction is completely normal for holiday time and means the exact opposite.
    13 Dec 2012, 10:50 AM Reply Like
  • intech
    , contributor
    Comments (52) | Send Message
     
    Not surprised!!! Should I say "I told you so"
    13 Dec 2012, 10:50 AM Reply Like
  • blacktiecats
    , contributor
    Comments (2) | Send Message
     
    I feel all K cup devices are overpriced. I LOVE my experience at Starbucks. Love my Starbucks stock too! Tevana has wonderful tea. I'll take my iPad and go to my Starbucks store and get my fancy coffee and snack there while visiting and chatting with friends that go with me. They don't need Verissmo. Schultz is a smart CEO. Get a Rewards card!
    13 Dec 2012, 11:05 AM Reply Like
  • Lordfraudmountain
    , contributor
    Comments (97) | Send Message
     
    Another nail in the coffin to GMCR
    13 Dec 2012, 11:08 AM Reply Like
  • Chickster
    , contributor
    Comments (7) | Send Message
     
    Starbucks ought to stay with areas in which they can compete. Their coffee shops are great and are today's answer to yesteryear's neighborhood bars. That social aspect is what has made them great. If they try to become just another retailer offering metal and plastic devices, they're bound to just spend money with no real return.
    13 Dec 2012, 02:41 PM Reply Like
  • coffeehousedallas
    , contributor
    Comment (1) | Send Message
     
    I love Starbucks coffee, but very disappointed in their business tactics. I bought a Tassimo a few years ago when Starbucks was available in that format. The combination made a great full size cup of coffee. They stopped allowing their coffee in that format. The Tassimo Pod is about 3x the size of the Verissmo. The Verissmo makes a small, expensive and inferior cup of coffee. Starbucks, stop trying to maximize profit and give customer satisfaction a chance. Go back to selling your coffee to the makers of the Tassimo pods.
    18 Dec 2012, 01:37 AM Reply Like
DJIA (DIA) S&P 500 (SPY)
ETF Tools
Find the right ETFs for your portfolio:
Seeking Alpha's new ETF Hub
ETF Investment Guide:
Table of Contents | One Page Summary
Read about different ETF Asset Classes:
ETF Selector

Next headline on your portfolio:

|