Douwe Egberts
On Demand Coffee Systems
Liquid Coffee
Liquid Coffee
Fact
Feature
Benefit
Customers demand
convenience.
DE One Touch provides coffee
and specialty drinks at the touch of
a button.
Self-serve or wait staff =
immediate beverage service.
Customers demand quality.
DE One Touch Coffee System is
the market leader with over 40
years of innovation.
Confidence in the product,
service and equipment.
Customers demand variety
of coffee offerings.
DE One Touch offers 4 varieties
of coffee in two convenient sizes
with specialty coffee offerings.
Customers want state of the
art equipment.
DE One Touch offers multiple
dispensers to suit every venue and
volume situation.
Front of the House, banquets,
specialty locations and kiosks
with one source of coffee.
DE One Touch provides exact
portion control for premium,
traditional and specialty coffee
blends.
Fine Dining, restaurants,
banquets and coffee shops
benefit with One Touch
convenience and portion
control.
Customers want value.
Once source for all coffee
needs including specialty
drinks.
The Liquid Coffee Value Proposition
Due to the high case price of liquid coffee, the
value proposition usually depends upon solving
an operators operational challenges:
Does operator pour out a lot of unused coffee?
Does operator have trouble keeping up with coffee
demand (long lines, customers waiting for coffee)
Does the operator experience labor issues due to
the amount of time spent brewing R&G coffee?
Does the operator experience R&G pilferage?
3
Douwe Egberts Customer Profitability
Labor, waste & pilferage are a big part of total R&G costs!
Roast & Ground
Ingredients 16%
Equipment 3%
Wasted
Coffee/Pilferage
24%
Direct labor 56%
One Touch
Ingredients 64%
Equipment 23%
Direct labor 13%
Possible Percentage of Total Cost
4
How do we Identify Good Accounts?
General Things to look for:
Does the establishment serve at least 100 cups of coffee a day?
Is the establishment open for breakfast w/seating?
Does the establishment have a Cup to Go business already
established?
Does the facility have employee feeding?
What venues benefit most
from DE One-Touch?
Casino / Gaming
Healthcare
B&I
C-Store
Hospitality
Yes it is..
Product
Handling
Equipment Options, Placement and Training
Increasing Volume
C600
C60
Traditional
Specialty
Coffee
C700
&
C60
C110
C300
C600
C110
C300
HV2
C700
Traditional
Coffee Only
HV2
R/G Throw
DE Ratio Setting
% Solubles
2.0 ounce
35:1
.67
2.25 ounce
33:1
.76
2.50 ounce
30:1
.85
2.75 ounce
27:1
.94
3.0 ounce
25:1
1.03
3.25 ounce
23:1
1.13
3.5 ounce
20:1
1.23
Espresso
9:1
2.75
Liquid Coffee in the US
Liquid coffee has been marketed in the United States since 1977.
Our liquid coffee is manufactured in two plants worldwide:
Joure, Netherlands
Suffolk, VA
Joure, Netherlands
Suffolk, VA
Foodservice Liquid Coffee
Who are the players?
Whats happening with
Liquid?
Explosive growth!
DE Liquid Coffee Net Sales Growth
+16%
+28%
FY05
FY06
+13%
+13%
FY07
FY08 LE FY09 LE
Sara Lee / Douwe Egberts developed the first liquid coffee concentrate and
continues to dominate the category. Continuous improvement of the offering has
fueled significant growth over the past four years, as operators have increasingly
recognized the quality and value of the DE One-Touch system.
Product Package and Contents
Flexible bag in the box (BIB) packaging.
2/2liter boxes per case and 2/1.25 liter boxes
Contains concentrated coffee extract - 27.5% coffee based dry matter and 72.5%
water.
Concentrated coffee is frozen to preserve the quality, flavor & aroma.
No preservatives or additives are used.
What are the advantages of the BIB
with doser?
Hygiene (closed, no cross contamination, tamper safe, new
doser with every new pack)
Convenience (high speed, button operated, portion
controlled, easy storage, disposable)
Constant & high quality (product, dosing, fresh taste)
Cost control (low labor, no spill, no pilferage)
10
Product Handling
Coffee Shelf Life:
Frozen: 1 year (at 0 degrees)
Thawed, refrigerated: 3 weeks (at 41 degrees)
NOTE: Allow 3-5 days for a case of coffee to thaw under refrigeration
Thawing Procedure
The product should be defrosted in a refrigerator no warmer than 41 F.
The coffee thaws quicker when boxes are separated; allow 3-5 days.
In an emergency, product may be thawed in cold water.
DO NOT use hot water to thaw product!
DO NOT use a microwave oven to thaw product!
DO NOT refreeze thawed product!
11
Product Handling
Usage of Thawed Product
Before placing product in the brewer, it is necessary to homogenize the concentrate
by shaking the container back and forth approximately 10 times..
If the thawed product is not shaken, varying dosages and different cup qualities
may occur.
Because of the thaw time and 21 day shelf life, it is important for you and your
customer to anticipate demand and usage.
Packaging and Production
Each package has a sticker with the production date, the batch letter and the best
before date.
Reference samples are kept by Douwe Egberts for one year in the unlikely event
there is a problem with the product.
Douwe Egberts guarantees the quality of its product for the duration of the shelf life
12
as long as proper storage and handling procedures have been adhered to.
Equipment
13
Douwe Egberts Equipment Overview
A Douwe Egberts brewer for every customer need
Increasing Volume
C60
C600
C700
C110
C300
HV2
Traditional &
Specialty
Coffee
Traditional
Coffee Only
14
Competitive
15
Douwe Egberts
Equipment
Javo
Six brewers manufactured exclusively for
DE. Three are also capable of producing
specialty beverages.
Product fits coffee/juice
dispensers from multiple
manufacturers
Computerized dosing & disposable
dosers = consistency & quality
Decent quality but peristaltic
pump dosing can be inconsistent
Brewers are easy to load & easy to clean
Brewers are far harder to clean
daily and clean during periodic
preventative maintenance
Product
Shelf Stable 2-Liter BIB
( although refrigeration is recommended)
9 Blends that range in quality
Offer a Fair Trade Blend & Organic Blend
Competitive Intelligence
Premium positioning with pricing justified by best in class
quality and operational ease of equipment usage
and reliability
They sell on price, not quality
Continued and solid financial commitment to product &
equipment improvements
Target DE customers with comparison to price of their
House Blend Colombian to our 100% Colombian
Target channels are Healthcare and C-Store
Douwe Egberts
Equipment
Six brewers manufactured
exclusively for DE with three
capable of specialty beverages
Computerized dosing & disposable
dosers = consistency & quality
Brewers are easy to load
& easy to clean
Product
Kraft
Six brewers from three different
Manufacturers.
Decent quality but peristaltic
pump dosing can be
inconsistent.
Brewers are far harder to clean
daily and clean during periodic
preventative maintenance than
DE manufactured equipment.
Frozen Liquid in 4-1Liter metal cans - (5 blends)
Shelf Stable Liquid in 2-2 Liter BIBs - (2 blends)
Instant 8-8oz pouches - (5 blends)
Frozen Liquid product blends range in quality
and product degradation is significant after can is opened
Competitive Intelligence
Premium positioning
They sell using brand name , not quality claims
Continued and solid financial commitment to product &
equipment improvements
Target DE customers for conversion based on premise
that lower price equals acceptable lower quality
Pricing is at a premium within the category, justified by
best in class quality and operational ease of
equipment usage and reliability
Specialty beverages not available within portfolio offering
Brewer Cleaning: Douwe Egberts = Easy
No sanitizer needed, saving a lot of time each week.
Daily cleaning takes only a couple minutes simply
rinse a few parts in the sink, wipe out the cooler, and
snap back in place.1
1)
Cleaning instructions & comments refer to the C60 brewer.
18
Douwe Egberts
Equipment
Six brewers manufactured
exclusively for DE and three
produce specialty beverages
Nestle
Scanomat mimics roast & ground machine with its design
Etna Liquid Machine offers both hot & cold beverages
Computerized dosing & disposable
dosers = consistency & quality
Brewers are easy to load & easy to
clean
Product
Banquet 2
Liquid
Java Giant
Instant
Scanomat
Instant
Etna
Liquid
Instant coffee is Nestles lead volume offer
Liquid Offer :LiquiFresh which is a shelf stable Bag-In-Box
(Sulfites as preservatives)
Currently only a 2 blend selection
Competitive Intelligence
Premium positioning
Continued and solid financial commitment to product &
equipment improvements
Pricing is at a premium within the category, justified by
best in class quality and operational ease of
equipment usage and reliability
Nestle has high brand awareness but is known for instant
coffee not great quality coffee
Key target segment- Military and VA hospitals
Douwe Egberts
Equipment
Six brewers manufactured
exclusively for DE and three
produce specialty beverages
Computerized dosing & disposable
dosers = consistency & quality
Vitality / Lykes
Proprietary equipment designed around Vitality
plastic product container
Rubber dosing system isnt as exact or
consistent as DE
Brewers are easy to load & easy to
clean
Product
Frozen concentrate ( 8 blends)
Weaker concentration makes fewer cups
( soluble solids 22.5% vs DE 27.5%)
3-1.75 Liter plastic bottles
Quality reported to be poor
Competitive Intelligence
Premium positioning
Leader in prison coffee market
Targeting some Military feeding accounts
Continued and solid financial commitment to product &
equipment improvements
Pack Syscos liquid private label under Citavo brand
Pricing is at a premium within the category, justified by
best in class quality and operational ease of
equipment usage and reliability
Have been in the liquid business longer than
most of the other competitors with relatively little
gain in share
Douwe Egberts
Equipment
Other Liquid Competitors
Product fits Bunn coffee LCR-2
which is their key brewer
Six brewers manufactured exclusively
for DE . Three are also capable of
producing specialty beverages.
Computerized dosing & disposable
dosers = consistency & quality
Various
Distributor
Private Labels
Brewers are far harder to clean
daily and clean during periodic
preventative maintenance
Brewers are easy to load & easy to
clean
Product
Decent quality but peristaltic
pump dosing can be inconsistent
XCaf is a large private-label supplier of shelf stable
liquid coffee (3-blends + various private label)
Juan Valdez is Coca-Colas shelf stable BIB produced in
Colombia marketed as CafREALE. Quality reported to be poor.
Competitive Intelligence
Premium positioning
Continued and solid financial commitment to product &
equipment improvements
Pricing is at a premium within the category, justified by
best in class quality and operational ease of
equipment usage and reliability
Sell on price, not quality
Customer and channel focus is varied and are both
distributor and operator driven
X-Caf is a regional not a national brand
Coke has the opportunity to target current soda
customers for conversion
