1. Nestlé & Starbucks Form a “Global Coffee Alliance”
Nestlé and Starbucks are uniting for the love of coffee. Nestlé has agreed to pay Starbucks $7.15B for the right to sell Starbucks products around the world, including the Starbucks capsules that work in Nestlé’s coffee machines. This arranged marriage sounds like a win-win. Starbucks will be marrying into Nestlé’s international distribution network while allowing Nestlé to tap into the U.S. market. “Nestlé needed a big brand, and they needed one fast,” said Alain Oberhuber, an analyst at MainFirst Bank in Zurich. “Starbucks is the only strong brand in roast-and-ground. It’s a rather defensive move — a bit late — but nevertheless, a strategically absolutely vital step.”
(Source: AdAge, Bloomberg & Business Insider)
2. McDonald’s Gets Fresh
McDonald’s is listening to its consumers by trying a new concept called “fresh.” It all starts with their Quarter Pounders, which will be cooked-to-order and made with 100% fresh beef, meaning no preservatives, fillers, or additives. The test markets started in Dallas and Tulsa, finding a 90% customer satisfaction rate from those who ordered the burger and a 90% intent to repurchase. 3,500 select restaurants are currently starting the rollout. Apparently, customers are McLovin’ it.
(Source: AdAge & McDonald’s)
3. YouTube Stars Paid to Endorse Cheating
YouTube has removed hundreds of YouTube channels that have allowed essay writing service site ads onto their videos. Last week, BBC published an investigation which found more than 250 channels promoting EduBirdie, a Ukrainian site that sells essays to students. Essay writing services are not illegal, but students can face severe penalties for submitting work they have paid someone else to do. Popular YouTubers, some as young as 12, are being paid to personally endorse the service. In some of the videos, YouTubers say EduBirdie has a “super smart nerd” who will do all of the work for you.
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