Nescafes Global Strategy

Nescafes cosmeawide StrategyAbout NescafeNestle, the largest confectionary, nutrition and Food Company in the world. Nescafe is adept of its renowned brands in the business of traditional hot and cutting stimulate solubles like coffee and is ready(prenominal) almost in every fortune of the world in diametric forms and variants. It was named as one of the top gradation Celsius brands of the world by Bloomberg business week (Top 100 Brands of 2008, 2008). Today, its offerings are available in 32 countries including France, China, Canada, Pakistan, India, UK, USA and others(Nescaf, 2010). Nescafes Global StrategyNescafe has build a strong brand equity through the handling of aggressive trade strategies world(prenominal)ly. to each one country/regions Nescafe forms its own strategy to effectively fundament its consultation and generate sales accordingly for the profitability and growth of the company. It is for this reason that more or less variants are designed and mar keted to cater to the needs of that particular segment of the market.It has been storied that Nescafe as a brand is in a intermediary s markecoach from being an exclusive utilitarian comsuption growth when it use to be estimable an instant coffee to becoming more of a product with voluptuous consumption when it started to create and sell antithetic blends in polar markets. Each variant has its own specific feature and personality to add determine to the brand under the same name.The company aims at providing products to consumers wherever, whenever and however is required. Nescafe porees on the coffee tradition and its historical value. Nescafes global brand personality muckle be sincere, down-to-earth, warm and honest and excitement related to friendly, youth and vital force however it atomic number 50 be just one of the two mentioned preceding(prenominal) or a mix of some(prenominal) depending upon the target market and the variation. set Market, Promotion Strategies and MediaNescafe has different target market for its different variants. In the UK, the target market is young adult consumers age between 20-35 of middle and upper berth class who wear lived with consumption soft drinks and energy drinks like redbull. To generate that market, Nescafe along with its advertising agency decided on building consumer organized religion and develop work showing lenghts that Nescafe users go away go to stay outdoor(a) from other substitute goods. A 360 degree motility was designed which was launched with a TVC, billboards, radio ads, posters, mags, news paper and umpteen other medias.In India, with its different variants, is leveraging to vast consumer base and cateting to all segments of the market. The market has been divided on the basis of geographic regions like North, South, East and West, psychographics and demographics. The strategy however has been to focus on values and low-key market penetration using 360 degree promotion campaign.Th e Greek market was consuming the traditional Greek coffee which was served in a tiny cup and with a glass of cold water intended to be drunk first. Nescafe captured this opportunity to grab the market share by introducing its Nescafe Frappe in the Greek Market that transport habit of the Greek coffee drinkers. It has been heavily marketed to the target audience hoary between 17-30 using clever visuals to show a trendy world of partying and dancing including a stylish living for the younger generation. (Butler, 1988)With a mete out with MTV to launch a style campaign for the new generation of consumers aged between 16-24 years old, Nescafe has decided to relaunch the brand with a $30 one million million million global campaign. Nescafe has been working on targeting its market through the use of synergetic youth oriented websites Nescafe Live where consumer will exchange ideas and information regarding images and videos aimed at 16-24 years old consumers of the global market. In Australia, the marketing mix is aimed at targeting diverse market segments of all age groups. For the young adult caf assimilation segment, they offer their range of latte with a sponsoring campaigns like Nescafe Short fritter away Awards Win the Nescafe Latte Lounge of which teaser and TVCs were created. Also, a website was created for information regarding products, competitions and events. merchandise Communication AgenciesNescafes lead global agencies are McCann Erickson Publicis Mojo while also have MindShare as their global media creative Agency (Jain, 2007). These global agencies have all affliations with local agencies in different countries or have their own subsidaries. Thus, the affliated agencies or the subsidaries become the local agencies of their clients and work with their global partner to create a universal image, perception and equity of the brand. Like the local agency in Sweden for Nescafe is Storakers McCann which is affliated with McCann Erikson while in Pakistan its Orient McErikson. In France, it is Publicis Conseil which has affliation with Publicis Mojo. Importance of advertising for NescafeAdvertising for Nescafe is important to create positive feeling and attitude of consumers towards the brand which will eventually lead to purchase. Advertising plays a vital part in communicating a rivalrous advantage and to make consumers feel that the product suits their requirements and has the same personality as theirs. Due to factors like culture and differences in attitudes and behaviors in each country/region that has its own beverage used as stimulant or energizers. Like in some regions its maneuver and in others its green tea or coffee. Thus, to capture the non-coffee drinking markets, it is crucial to aggresively advertise the energizing and stimulating effects of coffee. The red color of the scrape is used to emphasize the energy of the drink while red suits to cast that state of mind. Nescafe has a very diversified base of consumers belonging to different personalities which have different cultures and tradition and coffee just might not be a part of any of it. It is through advertising that they can create value for customers. For the same reason, Nescafe with the help of local agencies creates offerings based on consumers attitudes, personalities, and behavior and the culture and tradition of that country/region while guardianship a broader global brand image, conviction and positioning. If Nescafe just had a global agency responsible for creating and designing products and brands and market them to the global market at large, it would fail to effectively communicate with the customers or to create a competitive advantage in the markets due to the diversified consumer base as needs, attitudes, culture, behaviours and many other factors of consumers choice and preference differ from region to region and coutnry to country. Thus, a balance has to be maintained between the local market post and th e global outlook as well for the success of the brand and company(Amanda, n.d.). recommendationTo be able to capture and grab the market share of different markets, Nescafe should be associated with the current agencies in order to create offerings using both global and local perspective. However, their promotional strategy should not completely be diverted towards the coffee drinkers of future and should carry out activities for the adults and old-age consumers as well. The use of 360 degree marketing campaigns is a very effective way of arrive at out to the target consumers which should be carried on further.ReferenceAmanda, (n.d.) The Marketing mess up How two companies use it to target the Australian Instant Coffee Market, Retrieved on May 19, 2010, from Monash University http//www.monash.edu.au/lls/llonline/writing/business-economics/marketing/3.2.2.xmlButler, R. (1988). How Nescafe frappe swept the Greek market. tea Coffee trade Journal .Jain, A. (2007). Nescafe V/S Bru M arkeketing . India www.slideshare.net.Nescafe Tags(10),Retrieved May 19, 2010, from Popsop.com http//popsop.com/tag/nescafeNescaf. (2010).Coffee People, Retrieved on May 19, 2010 from www.nescafe.com, NescafeCamera CafChina (2010).Retrieved May 19, 2010, from Media Asia.com http//www.media.asia/newsarticle/2010_01/NescafeCamera-CafeChina/38482?src=mostpopNestle India circumscribed. (2003). Retrieved May 19, 2010, from India Brand Equity Foundation http//www.ibef.org/download/Nestle.pdfOReilly, D. (2001), Nescafes new campaign is full of beans, Retrieved on May 19, 2010, from The Post.IE http//archives.tcm.ie/businesspost/2001/09/09/story958990928.aspSaunderson, L, (2001), Nescafe Interactive Beans, Retrieved on May 19, 2010, from Boards http//www.boardsmag.com/articles/magazine/20010801/nescafe.htmlTop 100 Brands of 2008. (2008). Retrieved May 19, 2010, from Bloomberg Business Week http//images.businessweek.com/ss/08/09/0918_best_brands/29.htm