Swiss Retailer Offers Price Competitive Coffee Capsules
The Swiss supermarket chain owned by Migros, Denner SA, has started to offer coffee capsules that can reportedly be used in the machines of a leading brand owner in Switzerland.
The capsules are already available for an equivalent retail price of 25 centimes apiece (or US$0.26). This price will be rising to 33 centimes as of January, according to the retailer, but they still offer a price competitive, own label alternative to branded items.
The world’s largest food company, owner of the coffee machines in question, has already faced pressure from competitors whose capsules are compatible with its machines, firstly from Sara Lee Corporation and also from Ethical Coffee SA.
Single-serve coffee capsules machines have become an increasingly attractive option within the world of coffee consumption, be it in the domestic environment or indeed the business set-up. Given the nature of the convenience element of just using and disposing of a single capsule and not having as many cleaning requirements, coffee capsules have emerged as a most expensive way of achieving a good cup of coffee. However, with increasing competition and the rise of private label alternatives to make the per unit price more appealing, such machines could see a further boost in popularity.
Looking outside Switzerland and at other markets, Australia is said to be one of the key growth markets for the leading portioned espresso machine maker. With Australians very exacting in terms of taste requirements, however, this has proven a boon as opposed to a hindrance, according to the operator.