People  are calling Starbucks new Via Instant Coffee a “down-market” drink. I think the drink and its rollout embody all that a company should in a time of recession – change and development. It may not be the same as a freshly brewed cup of Breakfast Blend, but it’s most certainly a step up from home- (or office-)brewed Folgers!

Those of you who know me, know that I preach renewal, change, adaptation, and perseverance during these hard times. Starbucks closed around 600 stores in 2008. They had to make changes to stay afloat. Tapping into a market that desires fast services for a smaller fee may help pull them through the recession.

The company hopes to tap into the huge market of instant coffee, while simultaneously boosting the not-so-popular beverage’s image. Their new product boasts a delicious cup of Joe for less than the cost of buying a brewed cup in-store. Buyers have been reportedly using the powder to bake with (I’d like to try this, as coffee greatly enhances the flavor of chocolate), as well as using it for its intended purpose – a fast cup of coffee during a busy work day.

I think they have a real shot at boosting sales and grabbing their share of the market. They’re providing a quality product that people can afford. I can’t wait to taste it!

Think they can pull this one off? I do. After all, they are the ‘Bucks!

Please share your thoughts on this!

In a press release on March 16, 2009, Wal-Mart explains how the downturn in the economy led them to redesign their brand to appeal to a wider market. More and more Americans are pinching pennies and looking for ways to save. Walmart hopes these people will turn to Great Value.

Not only did the outdated logo get a new look, but the products and packaging also underwent dramatic changes. Products were submitted to rigorous market testing, while packaging was reduced when possible to maintain the company’s sustainability commitments.

Walmart isn’t the only major retailer that saw an opportunity for growth during tough times. Target has also revamped its store brand to maintain consistency and recognition throughout the entire store. Target’s marketing campaign for Up & Up boasts that they carry over 600 products for under five bucks.

Did Target do the right thing by rebranding? Check out this blog post for an interesting take on the matter.

Personally, I think the brand change by both companies was a smart move. Both logos were outdated and inconsistent. Now both are clean, crisp and recognizable.

In my opinion, this was a great time to spend the budget on a revamp. People are saving more and spending less, and store brands are key to many a household budget.

If you’re thinking about rebranding to appeal to an audience that might use your product now when they never have before, follow these two giants’ lead and jump into the waters of change!