Mercedes Benz New York Fashion Week Fall 2009 is the first major fashion event in the big apple to be evidently hit by the current recession. No longer are they serving fine champagne at all the designer after parties—a BYOB event followed post-Proenza Schouler show this week, and the tents at Bryant Park served McDonald’s coffee!
Of course, stars like the Olsen twins and fashion queens like Vogue’s editor-in-chief, Anna Wintour, aren’t will to skimp on Starbucks just because the McD’s coffee is free (apparently the greasy food chain is the official coffee of fashion week as part of a $1 billion campaign).
Still, those who can afford it and are loyal to Starbucks will continue to go there… and will probably be interested to know that Starbucks is starting their own promotion to hype that they’re really not over-priced, offering 12-oz. lattes (yes, not drip coffee, but an espresso specialty drink!) with oatmeal for the health conscious, or coffee cake for those with a sweet tooth. Alternatively, they can get a 12-oz. drip coffee with a breakfast sandwich.
Good for Starbucks for keeping with the times and dropping prices (although I have yet to see this deal in Canada). Although some would argue it’s still overpriced, there are still millions of people with a loyalty to their Starbucks lattes that the credit crunch has yet to affect.
Credit Crunch Coffee Couture
New York Fashion Week Serves McD's Coffee, Parties are BYOB
Trend Themes
1. Recession Impact on Fashion Events - The current recession is causing major fashion events to cut costs and serve more affordable products, creating an opportunity for innovative event planning and budget-friendly partnerships.
2. Promotion and Price Drops in the Coffee Industry - Starbucks' promotion of lower-priced lattes and breakfast options reflects a trend in the coffee industry towards offering more affordable choices, presenting an opportunity for disruption through innovative pricing strategies.
3. Consumer Loyalty in the Coffee Market - Despite the credit crunch, there remains a loyal customer base for Starbucks and other premium coffee brands, suggesting an opportunity for disruptive innovations that can tap into this loyalty and offer unique experiences.
Industry Implications
1. Fashion Events - The current recession's impact on fashion events presents an opportunity for event planning companies and fashion brands to adapt to budget constraints and offer more affordable experiences.
2. Coffee - The promotion and price drops in the coffee industry, as well as the continued loyalty to premium coffee brands, create opportunities for coffee chains and startups to disrupt the market with innovative pricing and loyalty programs.
3. Food and Beverage - As consumers seek more affordable options during the credit crunch, there is an opportunity for food and beverage companies to develop budget-friendly products and experiences that cater to loyal customers.