Marketing Strategy of Nescafe – Nescafe Marketing Strategy: Since its inception in 1938, Nescafe began its journey 1938 and has been able to establish itself as a key participant in the market that handles more than 5000 kinds of beans for coffee. The most renowned cup of the coffee brand is sold in over 182 countries around the world.
Nescafe At A Glance – Marketing Strategy of Nescafe
Company: Nestle AG
CEO: Ulf Mark Schneider
Founder: Henri Nestlé
Year founded: 1 April 1938
Headquarters: Vevey, Switzerland
Annual Revenue: Swiss Francs16.9 billion
Profit | Net income: Swiss Francs2.4 billion
Number of employees: 30,000
Products & Services: Coffee | Coffee Machine
Competitors: Folgers | Starbucks | Maxwell House | Peet’s | Farmer Brothers | The Coffee Bean | Tea Leaf | Bru Coffee | Tata Coffee
Nescafe Fun Facts: Nescafe is the first coffee to have reached the moon, after it accompanied the crew on the Apollo 11.
Marketing Strategy of Nescafe
Nescafe’s Marketing Strategy covers various aspects of the business right from segmentation and targeting to the overall mission and vision of the company and the various parameters which the company executes to become the top brand that it has in the market. So what is the Marketing Strategy of Nescafe? Let us discuss.
Segmentation, Targeting, Positioning – Nescafe Marketing Strategy
A mixture of geographical, demographic, and psychographic segmentation strategies are employed by Nescafe to make a particular type of coffee beans accessible in different parts of the world, and to revolutionize the world of coffee.
Nescafe utilizes both differentiated and mass targeted methods to ensure that it is available to the retail customer there are various options that are available to different types of customers. Additionally, for corporate customers, there’s the standard cafe vending machine.
Nescafe has built its brand on the value of its products and its usage strategy.
Nescafe Mission Statement
“Responsibly & continuously work to make coffee available to those who love drinking it and help those who earn their bread & butter by producing it.
Nescafe Vision Statement
“It all starts with a Nescafe”
Competitive Advantage – Marketing Strategy of Nescafe
Strong Parent Company: Nestle is the parent company of the Nescafe coffee company. Nescafe. With a wealth of experience in the FMCG business and an extensive reach across the globe is helping the company to be solid financially and product-wise.
A vast selection of coffees: Nescafe is one the oldest brands of coffee and offers nearly 500 varieties of coffee beans, even in tiny sachets (also known as SKUs) (stock holding units).
High TOMA: Being among the well-known coffee brands, it has the largest share of the market has been present in over 180 countries, and has prominent visibility and high recognition.
BCG Matrix – Nescafe Marketing Strategy
No matter what the 5000 different varieties of coffee beans in various SKUs, or the coffee vending machine that they operate, Nescafe’s coffee industry Nestle under the brand Nescafe are a major player in the BCG matrix.
Distribution Strategy – Marketing Strategy of Nescafe
Nescafe offers its products by using a different set of channels to various customers indifferent. For retail customers, it uses wholesalers/distributors channel to make the different SKU’s (stock keeping unit) / sachet available to the end consumer, e-commerce sites and for corporate customers, it sells coffee vending machines through the company’s own sales network.
Brand equity – Nescafe Marketing Strategy
one of the most well-known coffee brands with a high profile all over the world is redefining the smaller gatherings or gatherings of family members’ endless discussions that people engage in and the way people interact. it all begins with Nescafe. brand equity’s Most Trusted Brands Report for 2015 places it as the 6th hot beverage brand.
Competitive Analysis – Nescafe Marketing Strategy
The development of the market as a result of the entry of international companies like Starbucks as well as Dunkin Donuts into developing nations, and the changing habits of consumers is changing the demand structure of the market. Nescafe is in competition with other companies such as Starbucks, Bru, Tata coffee, alternative products such as coffee-flavored drinks, and various coffee chains.
Market Analysis – Marketing Strategy of Nescafe
The coffee market is highly competitive, with an array of local, national, and international players targeting various strata of consumers. Costs of labor are rising, as do changes in the climate, changing farming techniques, the influx of coffee-growing and farming areas to cities, increasing cost of raw materials i.e. coffee beans, and the changing way of life are just a few of the variables impacting the coffee business.
Customer Analysis – Nescafe Marketing Strategy
Nescafe is a company that serves both retail and corporate customers. Customers who shop at the retail store are in the 20-35 age bracket years old. The segments of customers consist primarily of college students and young professionals.
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