Case Study in Action: A Complete Analysis of the "FreshPress Coffee" Dilemma

In our last post, "Anatomy of a Case Study," we introduced the 8-step framework for turning a complex business problem into a clear, actionable solution.

This post is putting that framework to the test. Follow along to see how the theory works in practice and learn how to build a compelling, evidence-based recommendation from scratch.

Step 1: Deconstruct the Case

First, we identify the key facts and constraints. This involves extracting the critical pieces of information that will form the basis of our analysis.

• Company: FreshPress Coffee, a 3-location chain with a premium brand identity.
• Core Strengths: High-quality beans, expert staff, and a unique in-store "coffee tasting" experience.
• The Opportunity: A lucrative deal to sell packaged beans in 20 regional ShopRite grocery stores.
• The Risks: Requires significant capital, offers lower profit margins, and threatens brand dilution by moving from "craft" to "mass-market".
• Key Data Point: 90% of loyal customers value the in-store experience above all else.

Step 2: Identify the Core Problem

The symptom is the decision itself: "Should Alex accept the deal?" However, the core strategic problem is deeper:

How can FreshPress Coffee scale its business and increase revenue without sacrificing its core brand identity and premium customer experience, which are its primary competitive advantages?

This framing moves beyond a simple "yes/no" and forces us to find a solution that achieves growth while protecting the brand.

Step 3: Conduct Your Analysis (SWOT)

A SWOT analysis is the perfect tool to organize the facts from the case and reveal the strategic tensions at play.

The SWOT analysis clearly shows the central conflict: a massive opportunity (reach) versus a significant threat (brand dilution).

SWOT Summary:

• Strengths: Strong Brand, Unique Customer Experience, Loyal Customers.
• Weaknesses: Limited Scale, Lack of Mass-Market Experience.
• Opportunities: Massive Market Expansion, Increased Brand Awareness.
• Threats: Brand Dilution, Alienation of Core Customers, Execution Risk.

Step 4 & 5: Brainstorm & Evaluate Solutions

Based on our analysis, we can define and evaluate three distinct strategic alternatives.

Criteria	Option A: The Purist (Reject Deal)	Option B: Growth-at-all-Costs (Accept As-Is)	Option C: The Strategic Partnership (Hybrid)
Revenue Potential	Low & Slow	High & Fast	Moderate-to-High & Scalable
Brand Risk	Very Low	Very High	Low-to-Moderate (Mitigated)
Capital Investment	Moderate (one cafe)	High (full-scale machinery)	Moderate & Phased
Long-Term Viability	Viable but slow	Risky; could destroy brand's foundation	High; builds a resilient business

Selection: The table clearly shows that Option C, the Strategic Partnership, is the superior choice. It is the only option that leverages the opportunity for growth while actively mitigating the primary threat of brand dilution.

Step 6: Formulate the Recommendation

My recommendation is for FreshPress Coffee to pursue a strategic, phased partnership with ShopRite that positions the grocery product as a marketing tool to drive traffic back to its high-margin cafes.

Justification (Why this is the best solution):

1. It Mitigates Brand Dilution: By controlling the packaging, FreshPress can tell its story on the shelf, distinguishing itself from mass-market brands.
2. It Creates a Customer Acquisition Funnel: This is the key. Every bag sold at ShopRite should include a QR code for a "Free Coffee Tasting Experience." This turns the lower-margin product into a marketing expense that acquires high-value cafe customers.
3. It Allows for a Phased Rollout: Alex can propose a 3-to-5 store pilot program. This reduces initial capital investment and allows FreshPress to test the market and measure results before a full commitment.

Step 7: Draft an Implementation Plan

A great recommendation is useless without a plan. A phased approach is crucial for success.

Phase 1: Negotiation & Pilot Design (Months 1-3)

• Action: Negotiate a contract with ShopRite for a 3-store pilot, securing control over packaging and in-store marketing.
• KPI: Signed pilot program contract.

Phase 2: Pilot Launch & Measurement (Months 4-9)

• Action: Launch in pilot stores and implement a system to track QR code redemptions at cafes.
• KPIs: Sales volume, redemption rate, new customer acquisition cost.

Phase 3: Evaluate & Decide (Months 10-12)

• Action: Analyze the data. Is the partnership a profitable customer acquisition channel?
• Decision: If successful, create a plan to scale to all 20 stores. If not, exit the partnership with minimal losses.

Step 8: The Conclusion

FreshPress Coffee faces a classic dilemma between protecting its premium brand and seizing a massive growth opportunity. By reframing the problem, we found a third way. The recommended phased, strategic partnership transforms the grocery deal from a potential brand-killer into a powerful marketing engine. This approach mitigates risk, protects the core business, and creates a scalable model for brand-enhancing growth.

About the Author: Karthikeyan Anadan

Karthikeyan Anandan is a business strategy consultant and writer with over a decade of experience helping organizations navigate complex market challenges. He is passionate about making business education accessible and actionable for students and professionals alike.