The Marketing Strategy Of Nestle

Nestle founded in 1866 by Henri Nestle is a Swiss company . Henri used his name, which means ‘little nest’, in both the company name and the logotype. Since it began over 130 years ago, the nest which symbolizes security, family and nourishment, still plays a central role in Nestle’s profile. Henri Nestle who was a life saving chemist also an innovative marketer. He used his scientific knowledge to develop products that met consumer wants and needs. He developed a baby formula that saved a child’s life. His product become a success, and it created a demand throughout Europe. Since then, Nestle have expanded around the world and developed a range of products that come out to suit every taste, need and cultural preference.

The individual tastes of coffee drinkers around the world are different, Nescafe manufacture in multi-select the type of coffee product to cater those tastes. It starts with the coffee plant and the coffee beans.

Starbucks is an organization that is known for being one of the largest coffee chain stores in the United States. They focus on serving delicious coffee to the customers at affordable prices while giving them an amazing experience at their store. Recently the CEO of Starbucks has announced that he will be implementing a new strategic planning initiative to his company to ensure that the customers and employees are getting the full experience of Starbucks Coffee. In his annual report he mentioned these strategies, “A proprietary and revolutionary in-store Clover® brewing system that delivers the best cup of brewed coffee available anywhere; A complete reinvention of brewed coffee in-store, that will be brought to life by baristas across the U.S., who will scoop and grind a new unique coffee blend, connecting customers to the early days of Starbucks; The introduction of a new state-of-the-art espresso system that provides the perfect

The authors elaborate on a second factor to blame for the coffee crisis which entailed the growing technical skills possessed by the five major roasters- Phillip Morris, Nestle, Sara Lee, Proctor and Gamble, and Tchibo. These companies accounted for 69 percent of the roasting and instant coffee manufacturing capacity.

When it comes to capsule coffee machines, the top two competitors of Nespresso are Keurig and Starbucks Verismo. As reported by A National Coffee Association, “the number of American households that own single-serve coffee machines has gone up”; since they provide many great benefits such as ease of use, time -saving, low maintenances, or automatic turn-off after use (Shah, 2015). As a result, various companies start entering into this fast-growing coffee market by offering many machines different in designs and quality features to target this trend’s consumers.

Keurig Inc has been founded on an amazing idea that coffee making systems that uses individual portion packs of freshly roasted and ground coffee with unique coffee maker designed to brew perfect cup of coffee at a time. At that time there are already established gourmet coffee houses like Starbucks, which is making coffee consumers to spend more money with an average of $ 1.50 or more for a cup of gourmet coffee. This change is consumer behavior created opportunity to Keurig to offer gourmet coffees by a single-cup in offices in 1998. Within a span of four years (1996-2000), Keurig have noticed sales increased by 40% in US at home coffee market. With these facts Keurig´s management got convinced, to develop an at home one-cup coffee brewer especially for gourmet coffee lovers.

It is difficult trying to confine the type of industry Starbucks operates in. The company is a vertically integrated company which imports its own green coffee beans, roasts the beans to perfection, distributes it to its chain coffee houses, and then puts it into the hands of the

Coffee has been a subject of research in recent times given the evolving number of alternative beverages that are there in the market today. As history suggest, coffee was first discovered in Africa as a hot beverage in the 11th century and since then it has become the preferred beverage of choice for many. As such, it has become a global industry that provides massive employment to millions of people worldwide. In fact, if the recent statistics of more than 400 billion cups being consumed globally are anything to go by, then coffee can be rated among the most popular beverages globally (Simon 2009). It is because of this demand that saw the formation of a major corporation in the coffee industry. Such corporations are inclusive of

Nespresso, as a line product of NESTLE, not just developed a different way to sell coffee, also created a new business model difficult to copy for the competition and a good approach to the market of R&D coffee.

In 1977, it acquired Alcon Laboratories, manufacturer of pharmaceutical and ophthalmic products. Nestlé was the first company to develop with obeying World Health Organization Code and apply throughout the whole operating systems. In 1986, another new product was launched, Nespresso. This product was begun with a simple idea: anyone was able to create a perfect espresso coffee.

Starbucks can be categorized as one of the biggest and famous coffee company in the world. In 1971, Starbucks start its first business in Seattle. Nowadays, it owns a large amount of retailer stores which is more than 17,000 stores in 30 different countries (Scribd, 2016). The main product sold in Starbucks is coffee. Starbucks aims to provide their customers with high quality whole bean coffee and best coffee experience. Furthermore, it is more focus on two level of customers which are high end and upper middle class customers (Slideshare, 2016). The goal of Starbucks is to become the most recognized and well-known brand in the world ( Personal, 2010).

Instant coffee is a household staple, with 73% of UK consumers drinking it daily. Nestle’s Nescaffe dominates the market with 43% market share and the majority of volume sold. In seeking out new ways to expand coffee drinking in the home, Nestle developed Nespresso. Nespresso is every bit as convenient as Nescaffe but uses fresh ground coffee individually packaged in pods to brew consistent single serve espresso. To use the pods, a special Nespresso coffee machine is necessary. Upon purchasing a machine, the consumer becomes part of the Nespresso club. Pods are then sold to club members either through high-end Nespresso boutiques or online. This premiumisation of convenient coffee is a growing market, in fact between 2010 and 2012 it was

The world without coffee is such a tasteless world. Nowadays, coffee is more than popular since it is ubiquitous. Coffee is consumed all over the world, and it is also one of the most crucial produce in world trade. Coffee not only helps people relieve stress, but also makes them feel happier. Many customers, including officers, workers, and students get attracted to coffee due to its unique taste. As a result, more coffee shops are opened every day in this country. There are a lot of well-known coffee shops in America namely, Dunkin Pumpkin, Cafe Du Monde, Four Barrel Coffee, and so forth. Among them, Starbucks is the largest coffeehouse company not only in America, but also in the world. Why is it so successful? Starbucks has applied some rules to its enormous success, and each rule gets it one step closer to becoming the world’s biggest coffee shop.

Nestle S.A, originating from Vevey, Switzerland is a well-known company for the creation of popular brands such as; Allen’s, Maggie, Uncle Tobies and Milo just to name a few. Nestle S.A covers the product market of baby foods, bottled water, cereals, chocolate and confectionery, coffee, culinary, chilled and frozen foods, dairy products, drinks, food service, healthcare nutrition products, ice creams, pet care products, and weight management service. (MarketLine Company Profile, Nestle S. A, October 2015). Nestle sells products in 197 countries around the world including Australasia/ Oceania, Europe, America and Africa. The company also employs around 339 000 people over 442 factories located in 86 different countries. (December, 2014). Nestle was established in1866 as a baby food company with alternatives for babies that cannot be breastfed. Their first product was called ‘Farine Lactee Henri Nestle’ this was followed by chocolate manufacturing, bringing the product ‘Milo’ to the markets. Afterwards they moved to instant coffee with the brand name ‘Nescafe’ then followed by ‘Nestea’ and from there they moved into foods such as Maggi ‘2 minute noodles’ and canned soup. They continued to build from there as health conscious foods became more popular the ‘Jenny Craig weight loss business’ was initiated. Nestle has also invented such things as instant coffee machines and sports drinks. There latest initiative was the Ice Cream brands based around popular confectionary such as

is a Swiss multinational dietary and wellbeing related shopper products organization headquartered in Vevey, Switzerland. It is the biggest nourishment organization on the planet measured by incomes. Nestlé's items incorporate infant nourishment, filtered water, breakfast oats, espresso, confectionary, dairy items, frozen yogurt, pet sustenance’s and snacks. Nestlé utilize around 330,000 individuals in more than 150 nations and have 461 manufacturing plants or operations in 86 nations. Nestlé deals for 2011 were nearly CHF 83.7 billion. It is one of the primary shareholders of L’Oréal, the world's biggest beautifying agent’s organization. Nestlé history starts in 1866, when the main European consolidated drain industrial facility was opened in Cham, Switzerland, by the Anglo-Swiss Condensed Milk Company. In Vevey, Switzerland, Nestlé organizer by Henri Nestlé, a German drug specialist, propelled his Farine lactee, a blend of dairy animals' drain, wheat flour and sugar, sparing the life of a neighbour’s youngster. Nourishment has been the foundation of the organization from that point onward. In 1905, The Anglo-Swiss Condensed Milk Company, established by Americans Charles and George Page, converged with Nestlé following a few decades as wild contenders to frame the Nestlé and Anglo-Swiss Milk Company. The organization became essentially amid the First World War and again taking after the Second World War, growing its offerings past its initial dense drain and