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“They were late,” said Middleton. “And competitors move so fast nowadays and you don’t necessarily have to be the first out, but if you’re going to be behind them then you better have a better value proposition …. (and) there was nothing different about their late response so they had the worst of both worlds.”

“The market has changed so dramatically,” said Carter. “It doesn’t make sense for them to focus on the Canadiana and the hockey rink, even though it’s popular. Over the next seven years, our population is going to be one million due to immigration, there’s a changing demographic.”

That also includes catering to the younger generation of millennials and Gen Z. The current strategy “doesn’t go that far,” he adds. “There’s opportunity for it to be more aggressive … is it going to take the company into the next generation?”

Photo by Brent Lewin/Bloomberg

According to Patricia McQuillian, Canadian branding consultant, millennials and Gen Z “are more discerning in their product affiliation.” “What the product stands for and how it threads through their organization,” she said. “Tim’s has that ability but they need to get it out there.”

Competitors such as McDonalds and Starbucks are already ahead in the game. “They’re at least building on childhood memories and appealing to younger kids, with their happy meals and fast service,” she said. “Tim’s is more of a stodgy brand.”

She believes the answer lies in product innovation. “There seemed to be a shift when they moved into coffee beverages but they didn’t seem to keep going on with product development. And the challenge here is how do you take the strength of the Tim Hortons and their product offerings beyond diversifying their specialty coffee.”

A good example, she suggests, is doughnuts. “Monster Doughnuts, a shop in Hamilton, is an example that caters to millennials,” she said. “Matcha latte doughnuts, lavender doughnuts, vegan doughnuts, apple fritters that will blow your mind.”

As Starbucks, for instance, was successful with their specialty lattes, so Tim’s has the same opportunity with their doughnuts. “Go beyond the birthday sprinkle doughnut and offer funkier options,” she said.