Profile of the company. The origins of NESCAFE harks back to the year 1930, when Brazil had a substantial surplus of coffee, and needed help preserving it. Upon the request of the Brazilian government, Nestle began brewing! With the simple idea of adding water to make a delicious cup of coffee, an entire coffee history was born. Branding and Marketing Nescafe is a brand within Nestle. Nescafe can be traced back to the 1930s.
In the US, the Nescafe name was used on its products up until the 1960s, Later, Nestle (owners of the Nescafe brand) introduced a new brand in the United States called Taster’s Choice, which supplanted Nescafe for many years. Taster’s Choice was also introduced into Canada at the same time, and continues to be sold as a separate product, that is branded as superior to Nescafe, and is higher priced. In the United Kingdom, a television advertisement campaign starring Anthony Head and Sharon Maughan ran in 12 installments between 1987 and 1993.
The first 11 episodes were released as a promotional compilation video called Love over Gold in 1993. A novelization of the same name written by Susan Moody (under the pseudonym Susannah James) was released in the same year. In 2003, the company reintroduced the Nescafe brand in the US, and the product is now known as Nescafe Taster’s Choice. It is sold in US supermarkets such as Safeway in both glass and plastic packaging. While the Nescafe brand was created for soluble coffee, it has subsequently been used as an umbrella brand on a number of instant coffee products, including, in the UK, Gold Blend and Blend 37 freeze-dried coffees.
In 2006, Nescafe launched the new coffee machine system “Dolce Gusto” (“sweet taste” in Italian). The system allows consumers to make various styles of coffees themselves (Cappuccino, Latte Macchiato, Espresso, Lungo, etc. ). Additionally, hot chocolate and cold drinks can be prepared with the machine. The machines are now sold in more than 15 countries worldwide. Unlike other Nescafe products, most Dolce Gusto beverages use roasted and ground coffee, instead of instant coffee.
Other marketing activity included Experiential Marketing/Relationship Marketing, which led Nescafe to become the headline sponsor of Good Food show 2008 at Birmingham NEC as part of their campaign to drive awareness of the increased Nescafe collection. 95% of consumers at this popular event rated the Nescafe Collection stand the best at the show. Nescafe used advanced 3D technology to engage their consumers, led by ID Experiential. In the UK in August 2009, Nescafe unveiled a ? 3m ad campaign for Nescafe, focusing on the purity of its coffee and featuring the strapline “Coffee at its brightest” 1. What is the case all about? The case is all about the market segmentation of Nescafe as well as the information regarding about Nescafe. 2. How did Nescafe identify their market segmentation? 3. What are the benefits of market segmentation using SWOT analysis? 4. What is the future of Nescafe? 5. What is the positioning of Nescafe in the market? 6. What concept in the marketing concept is used in this case? 7. Conclusion 8. Recommendation