2. Promotional strategy of Nescafe
• Nescafe brand is owned by Nestlé and it is worth around 13 billion dollars.
Each year approximately 94 billion Nescafe cups are sold around the word,
which is around 3,000 cups every second.
3. Q. Which segments are being targeted and strategies used to
influence the target segment?
Coffee is the largest beverage that is consumed worldwide. Nescafe is very
popular brand all over the world. Nescafe basically try to target:
Youth: Coffee is very popular among youth. They have tried to associate
NESCAFE with youthfulness. So mostly in their advertisement they show
young boy or girl having coffee in RED NESCAFE MUG.
The Common man: The Nescafe targets common man who is just looking
for a cup of coffee to get them through the day. Coffee is a beverage that
can revitalize them
Working executive: Coffee is a beverage that is said to have some
properties that can Energise a person easily.So they are targeting working
executives who are working very hard. This beverage can be a reenergiser
for them.
4. To promote the product and to reach the market NESCAFE has
used the following strategies:
Availability of NESCAFE enhanced through an expansion of
the vending machine network.
New consumption opportunities for chocolates and
confectionaries were identified and developed in areas like
railways, platforms, college canteens.
Nescafe has set up 'Café Nescafe' and 'Coffee Corners' across
metros and mini metros.
5. Different promotional tools used and the strategy behind
using these tools are as follows:
Promotion tool refer to using different tools to support marketing goals.
The various tools being used are:
• Television: Nescafe extensively advertise them on television. Television is
above the line marketing tool. Television these days have a wide coverage
and are a superb tool to promote ones product.
• Newspapers and Print media: Nescafe whenever introduces a new flavor
it publicizes itself through print media. Print media at times tell all sorts of
benefits. The consumer can meticulously go through and decide.
6. • Public relation activity: Nescafe can be brought into limelight by
associating itself with some activity like sponsoring a tournament etc.
Through this it has a good scope of being the cynosure of consumer's eyes.
This can be said to be a below the line marketing strategy. The only
problem here is it does not have a huge coverage areas.
• Direct selling: Nescafe has its own coffee corner where they sell coffee
along with other nestle product. So this can be called as a good promotion
tool to attract consumer and here they can have a first hand experience.
Different promotional tools used and the strategy behind
using these tools are as follows:
7. Q.Which strategy out of Pull or Push is used and
why?
• A "pull" selling strategy one that requires high spending on advertising and
consumer promotion to build up consumer demand for a product.
• If the strategy is successful, consumers will ask their retailers for the
product, the retailers will ask the wholesalers, and the wholesalers will ask
the producers. Nescafe is into Pull strategy as it advertises itself pretty
good.
• If we see the television advertisement they are youthful and try to strike an
emotional chord with the audience.
8. • This may attract lots of consumer toward the product and they
do like to give it a try.
• As coffee and cold drinks are the substitute for coffee they
always have to keep themselves alive in the memory of
consumer because product category competition is very high.