Starbucks goes to the liquor store?

I know we recently talked about this brand extension in class, but as an employee of the LCBO, I find it hard not to want to talk more about booze.

I've known about the Starbucks liqueurs since I first started at the LCBO back last summer, so I wasn't surprised when the picture appeared on the Powerpoint.  I was surprised however, about the amount of people who found the extension confusing.  

Kahula and Bailey's are no question the leaders in the cream/coffee liqueur category, but that does not mean there isn't room for more.  There are many other lesser known brands (Caroline's, O'Darby's, Tia Maria) that are very similar to these head honchos, but get little to no recognition (you will also find them on the bottom of the shelf, making them much harder to notice).

Starbucks, on the other hand, is already a leader in over-priced coffee, so why shouldn't a brand extension into a different, yet related, category be accepted?

I have never tried the Starbucks liqueurs, but I can tell you that the packaging is very eye-catching and the price is comparable to Kahula and Bailey's; but for some reason, people don't buy it.  

Maybe people are content with the brands they already know, why try another when both Kahula and Bailey's have introduced another 2 new flavours onto the existing brand?  You would think that those that like coffee flavoured liqueurs, would probably like fancy coffee (like Starbucks), so in turn, would be willing to try.  I have seen little of this.

Not that I really notice when certain products are sold as there are so many that you see go into a bag each day, but I can honestly say the Starbucks liqueurs never get past the shelves that I have seen.

In fact, we are discontinuing to sell the cream liqueur version at the College Square LCBO location, most likely due to poor sales.  Its a smaller store, so there's not nearly enough room to carry a product that is taking up space and not selling.

I don't know what went wrong with the Starbucks liqueurs as they seem like an interesting way for an existhing product to make their way into a completely different market.  Its possible that maybe they just can't compete with the veterans, or my store isn't home to people whom are interested in coffee flavoured liqueur (a likely story).  I would think that if Bailey's or Kahula got into the coffee/hot beverage business, it would be a great success, though I am starting to think that it may not work as well as imagined.

I definitely think that the Starbucks liqueur extension was a really interesting and good idea, but for some reason just hasn't made it.  I think more advertising would have helped their cause along the way, as I have seen little of it (except in past Food and Drink magazines, which I can't remember).  Perhaps promoting the extension in Starbucks across North America with coupons for the beverage would have helped, or at least an information tag informing consumers that it is out there.

Whatever the reason, the liqueurs aren't doing nearly as well as one would think, and its a real shame.  However, now that they are discontinuing to carry the product at my store, I get a chance to buy it under (LCBO) cost and finally try it for myself!  

You've got every corner in New York City, Starbucks, I guess thats enough!