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Nespresso Strategic Marketing Group 7
Transcript of Nespresso Strategic Marketing Group 7
Brand Segmentation Strategy
Main Differentiation Attributes
Position within Nestlé
Lucía Ruiz Hernández
Casper von der Ahé
A brand is the
a product, service or even entire company.
– Robert T. Blanchard
A Club Member of Nespresso
is always someone exceptional
Nespresso is not just a coffee. It is a sensorial experience. It is a lifestyle that is simple yet refined, offering timeless elegance.
more than 10 million in 2012
190 boutiques worldwide in 2009
almost 300 boutiques in 2012
Nespresso was founded in 1986
It is a company wholly owned by Nestlé SA.
The Nespresso story began with a simple but revolutionary idea;
‘The perfect cup of coffee, time after time and cup after cup’
Nespresso pioneered the concept of premium-portioned coffee, designed for maximum convenience.
Nespresso sells its products in over 35 countries directly to customers
Operates more than 45 boutique sites in major cities around the world.
Growth in the early stage was entirely consumer driven
The member club supplies Nespresso with information about its customers .
About their habits, and what they like.
Hence, Nespresso is able to act market oriented, and meet its customers needs and desires.
$3.7 B in 2012
Highest quality coffee
innovative stylish machines
luxury coffe market
$670 M in 2011
"great varites, no mess, no fuss"
most consumed instant
- Become the icon of the perfect coffee worldwide
- Establish Nespresso as a premium brand
- Creating highest quality coffee
- Creating long term consumer relationships
“Coffee is at the heart of all we do. Yet consumer pleasure is why we do it.”
How Nespresso discovers and meets the needs and desires of its customers through its product mix
Growth & Market share
Co-branding/ joint ventures
reach a larger target group
Price premium strategy
disrupted the coffee industry
New machines, colors, designs
Nespresso's Market Orientation
MO vs. CO:
Nespresso created a new market and demand
Continue adding new features to the concept
Adapt to customer needs and desires
Diversify product portfolio
Nespresso is the global leader in premium encapsulated coffee market
Various types of different flavours, profiles and content.
Color is differentiating the types of capsules.
Biannual rare coffee varieties are offered to customers for limited periods
The Nespresso system and business model are constantly refined to continually enhance the consumers’ coffee experience.
The Nespresso concept is a “trilogy” consisting of
Grand Cru capsules dosed with a wide variety coffees,
coffee preparation intelligent devices
The wide variety of coffee blends allows customers
to choose what best suits their personal taste.
strategy : concentrated
Other capsule systems
Other coffee machines
around 50 compatible capsules on the market
only caters to the luxury coffee segment
no change in distribution strategy
7 million Club members in 2009
How a firm structures and names the brands inside its portfolio.
Nespresso and other Nestle sub-brands are linked to the corporate brand
Nestlé S.A. is a Swiss multinational food and beverage company headquartered in Switzerland. It is the largest food company in the world measured by revenues
Caring, cooperative and appreciates quality of life.
Warm, comfortable and cozy areas where you can truly relax.
The specialist are there to offer personalized advice and provide guidance.
The perfect personification of the understated elegance and authenticity that make Nespresso what it is today
long-lasting consumer relationships
The direct marketing make between Nespresso and the customers:Nespresso makes a one to one relationship with every customer which is member of the club Nespresso.