Positioning Strategies and Brand management of nescafe

Business ProfileNestle is world largest food manufacturer with around 480 factories in 87 countries and a portfolio that range from baby food to pet care, from chocolate to mineral water.

With more than 3,000 cups consumed every second. Nescafe is by far the world's leading coffee brand

The coffee with life in it. Made in just 5 seconds. Thats how Nescafe announced its entry into India, in 1963. Before the ad campaign hit bill-boards across the country, Indian coffee lovers were stuck with the idea that coffee is something that takes minute attention to prepare and cannot be instant.

Nescafe Semiotics TriangleNescafe Instant coffee

Nescafe Red Mug

Person enjoying coffee

Object ProductSign ImageInterpretmeaning

Geographically NESCAFE has divided the country mainly into four i.e. southern, northern, eastern and western. Of the four southern region is the area where coffee is consumed the most .In this part hard (roasted) coffee is consumed in a huge amount. In the northern parts NESCAFE instant coffee is consumed a lot. Demographically NESCAFE has tried to reach or cover the every age group , families , working people , male /female ,educated or illiterate ,and of different socio-economic classes .

SegmentationTargetingTarget Audiences:1. Working Adults (Primary)2. Students-University, Academy, High School (Secondary)3. Senior Citizens (Third party)

Point of purchaseNescafe products are mainly sold in the following points. Nescafe Classic being the most commonly used Nescafe coffee line extension.Kirana Store : The most common and the most widespread form of sales point in India.Modern Retail: Present mostly in cities are increasingly becoming the most important points of purchase. Visibility: Whether the product is at eye-level or not impacts the number of SKUs sold.Accessibility: Where the SKU stack is located in comparison to the entrance of the mall matters as most of the SKUs sold today are impulsive purchases, so if the SKU stack is located near the entrance and is visible, it will impact the sales'.Vending Machines: Nescafe has its own vending machines installed at various locations namely College canteens, Offices, restaurants etc. This is a very efficient form of OOH marketing too.

Positioning strategiesPositioning strategy based on Use or Application Lets understand this with the help of an example like Nescafe Coffee for many years positioned it self as a winter product and advertised mainly in winter but the introduction of cold coffee has developed a positioning strategy for the summer months also.

Business Mantra

More on Positioning Strategies used....Uses product differentiation and image differentiation to gain competitive advantages to build a positionEmphasizes on product, quality level and satisfaction of customers

Value Proposition

MORE FOR THE SAME

Selling its products at same market price but offers better quality and higher satisfaction levels

Positioning StatementTo people who are inspired and outgoing, cool and trendyIn the need of starting each morning with an enjoyable taste and original smell of coffeeNescafand its Classic gives the best taste and quality

Brand PositioningNescafe --- the taste that gets you goingNescafe Classic 100% pure instant coffeeNescafe Cappucino A true cafe

Brand ManagementThe intangible added value that a brand provides to a company beyond its physical net assets

Nescafe has a high image of Television Commercials

Nescafe wants to maintain its image of cool and trendy

1 coffee cup 1 good feeling with Nescafe- Emotional branding

"Nescafe mug" red cup was popular- USP

The two ads are well crafted, and project a sense of simplicity, of happiness being present in the simplest things in life. It introduces a new tagline Bring out the best in you. It also reemphasizes the TG of the brand, which is the youth

Commercials focus on Sharing Happiness

YearTheme2005Wake up the spirit with Nescafe Red Cup2006Your day doesnt really start until you have your Nescafe Red Cup2007 Your cup your way, Your day your way

2008Better coffee with better morning

2009Coffee at its best

2010Switch on the best in you

Steps of gaining brand loyaltyNestl + caf = NESCAFEEasy to pronounceBrand consistencyHigh reputation of the NestleCreation of Brand awarenessMedia mix TVC, radio, magazine, cinema, packaging, event sponsorship, sales promotionCreation of TrustConsistent imageConsistent quality of productBrand loyalty