Today’s New York Times reports that Folgers is planning a $20 million advertising campaign on a new line of “gourmet” Folgers: Tempting the Traditional Coffee Drinker to Move Up – New York Times.
It seems that even Proctor & Gamble can no longer ignore the McDonald’s effect. However, what’s not clear is if consumers will need to pay more for these commodity coffees because of better quality beans or because of a worldwide spike in robusta prices. Given that Folgers is simultaneously getting out of the whole bean coffee market, it’s pretty clear that quality isn’t really the main driver for change at P&G.
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