2. Strength
Innovation
• Birth of instant coffee.
• Coffee vending machine.
• “Our Look beyond the cup” initiative.
• Coffee blending
Ability to penetrate tea loving market like India.
• Entered India with a promotional line that says “Coffee with
life in it, ready in just 5 sec”.
Availability
• With strong distribution channels it was made available at
very ground level.
• Targeted different segments & occasions.
3.
4. Strength
Varieties
• Nescafe classic, Nescafe original, Nescafe gold blend, Nescafe green blend
etc (~10 products).
• Strong brand name.
Wide price range of products which suits the budget of
different sections of society.
Promotions –
• Nescafe logo , Red mug and jingle <Pa para ra pa ra ra> adds to the Brand
value and the Unique identity of its products.
• Effective promotions campaign through Advertisement, Movies, Print and
Online.
• Deepika Padukone,Karan Johar, Purab Kohli and Vir Das as the Brand
Ambassadors for Nescafe.
5. Weakness
Health conscious people avoid coffee
Segmentation :- Students, professionals, Upper and middle class.
Nescafe is known to be the choice of common man and those pose
attractive to the sophisticated palate
Usage rate low in tea loving country like India.
Health benefits of coffee not highlighted
Promotions do not clearly showcase the different products of
Nescafe and only target Nescafe as a sole brand.
6. Weakness
Promotions through coffee outlet chain.
90 % of India total domestic coffee consumption is by 3 Southern states.
7. Opportunities
Highlight health benefits of Coffee as a part of Marketing campaigns to gain
more trust and loyalty in the brand.
Target Rural markets with Ad Campaigns, Radio and Print ads which would
work as a catalyst to increase market share.
Increase and improvise the distribution channels in Rural areas.
Target Housewives and Old- Aged segments
in Promotional campaigns as they have a lot of
potential to
contribute to the market share and brand equity.
8. Opportunities
Launch premium coffee products in India which cater to the
taste of Indian preference E.g. Nescafe Gold, Decaf Coffee.
Increase the ‘ Cafe Nescafe ‘Coffee Shop outlets to meet the
growing lifestyle demand, of drinking coffee at a ‘coffee shop’
like competitors – Bru Café, Café Coffee Day,
Costa Coffee, Starbucks.
9. Threats
Bru’s marketing and expansion strategies pose a threat to the market holding of
Nescafe in India
Competitors may reach the rural Indian market which is still untapped before
Nescafe does.
Competition from beyond hot drinks – the expansion and diversification of soft
drinks, which are effectively targeting trends towards health and convenience,
pose a notable threat to Nestlé's hot drinks products.
10. Threats
Bru’s marketing and expansion strategies pose a threat to the market holding of
Nescafe in India
Competitors may reach the rural Indian market which is still untapped before
Nescafe does.
Competition from beyond hot drinks – the expansion and diversification of soft
drinks, which are effectively targeting trends towards health and convenience,
pose a notable threat to Nestlé's hot drinks products.