Egbert Douwes opened his first coffee shop in Joure, Netherlands, in 1753 with his wife Akke. Together they laid the foundations for what was to become a powerful global mega-brand. Their mission was simple: to sell products that could deliver ‘the pleasure of daily living’. As a result, the coffee they produced was very popular and the business continued to grow. The brand’s strength was built around the taste and functionality of the coffee.

The firm was always keen to adapt to the changing needs of its coffee-drinking customers. For example, in 1954, Douwe Egberts instant coffee was introduced and, later, instant cappuccino. Then Douwe Egberts started to notice changes in coffee drinking habits; it found brewed coffee needed to provide customers with a more personalized, individual and luxury feel. So it worked with Dutch technology firm Philips to produce a coffee machine that could be used with their coffee to make an espresso like foamy coffee in an instant. In 2001, the launch of the Senseo was a revolution in coffee drinking and provided a way for individual customers to have freshly brewed coffee. The Senseo received a positive reaction and was bought by millions of customers around the world.  

Despite being a major player in the global coffee market, in 2010 Douwe Egberts was in danger of falling behind its competitors. As a result, it set about refreshing its identity, drawing on the heritage of the brand, and using its 250 years of history and craftsmanship to reinforce the brand’s position and be perceived positively by its customers. This action significantly boosted the brand’s popularity and sales, enabling further growth. Recently, the firm joined forces with Mondelèz International in a megamerger, bringing it together with the US group’s Carte Noire, Kenco and Tassimo brands. This move meant the newly named Jacobs Douwe Egberts held a marketleading position in many countries.......

Questions: 

1. Explain how Douwe Egberts has extended its brand and how this has enabled the brand to reach more customers. 

2. Discuss the extent to which this firm has built customer-based brand equity for its brand. 

3. From a branding perspective, suggest why Douwe Egberts developed the ‘Something to Share’ ad campaign. 

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