INTRODUCTION
Nestle company is founded by the Henri Nestle in 1866 on a particular product which was
produced
to protect the life of the child of neighbor. From that time straight on the essential plan & strategy
of
the Nestle Company has been to produce the importance and value for society, by organizing that
produces the value for investors. Consequently, the strategy assists the Nestle Company to
develop a
minor business to a Worlds greatest and leading Food, Health and wellness [Link],
creating the communal values for the people as well as the shareholders means going successful
beyond the benefit of the consumer.
VISION
To be a leading, competitive, Nutrition, Health and Wellness
Company delivering improved shareholder value by being a
preferred corporate citizen, preferred employer, preferred
supplier selling preferred products.
MISSION
“Positively influence the social environment in which we
operate as responsible corporate citizens, with due regard
for those environmental standards and societal aspirations
which improve quality of life.”
SWOT OF NESTLE
SWOT OF INDUSTRY
4 P’S OF NESTLE
PRODUCT
Nestle is the world's largest food company.
Variety – Around 8000 brands
Branding – With the brand name of Maggi. Nestle expanded the Maggi brand to
create umbrella of different products.
Packaging – yellow and red colour packing of Maggi products.
PRICE
Quality of product- the price is dependent on the market of individual product and its quality.
Different size and packaging.
Discount offers
Competitive pricing – priced similar to Cadbury products in the chocolate segment
PLACE
Level 3 product with intensive distribution
Strong coverage in urban areas , developing in rural areas
Stored in cold storage
New regional sales offices to increase width and penetration and focus in rural areas
PROMOTION
Nestle takes up very innovative and extensive marketing technique to promote its product.
For e.g.- Nescafe focuses on value and the good thing in life and Maggi focuses on moments you had with your
Maggi
“Meri Maggi campaign”
Promotion for other products like for KitKat it is “ Take a break and have a KitKat”
MARKET SEGMENTATION
MARKET SEGMENTATION
Market segmentation means dividing a market into smaller group with distinct needs,
characteristics, or behavior who might require separate products or marketing mixes.
At its most basic level, the term “market segmentation” refers to subdividing a
market along some commonality, similarity, or kinship.
TARGETING
A target market is the set of customers sharing
common needs and wants that business decides to
target
UNDIFFERENTIATED
Nescafe 3 in 1, Maggie noodles , kit Kat.
DIFFERENTIATED
Koko krunch, Nesquik : chocolate milk who want to get taste of chocolate .
Nescafe ice : cold coffee for the people for hot weather.
CONCENTRATED
Nestle specializes in producing baby food.
BRAND POSITIONING
POSITIONING STRATEGY
• Product Differentiation
• Image Differentiation
• Service and People Differentiation
BRAND RESONANCE MODEL
POLITICAL FACTOR
• Why did Nestle move its production from Britain to Poland?
• Reducing supply chain efficiency in UK industry
• ISO 9002 and HACCP ( Hazard Analysis Critical Control Point)
ECONOMIC FACTORS
• Forex Swings in 2016
• Profit has changed from $ 7.6 billion to $ 10 billion.
• In 2017 company faced decrease in customer demand in US and Brazil, but CEO Mark Scheneider
had faith.
SOCIAL FACTOR
• Public obsession with healthy products
• Spent 2% of their average profit on CSR
• E.g. Project serve safe food, Nestle Healthy Kids Programme.
• Cultural differences has been kept in mind.
TECHNOLOGICAL FACTOR
• Nestle PTC ( Product Technology Centre ) in Germany
• Nestle Digital Strategy
• Fourth Industrial revolution yet to come.
LEGAL FACTORS
• New Sugar tax levied by UK government to reduce content sugary drink by 20% 2020.
• New rules of banning high fat, salt, sugar
• Issue of use of lead in Maggi
ENVIRONMENTAL FACTORS
• Environmental Sustainability
• Packaging and the environment
• World’s first free mobile application to help recycle waste packaging correctly.
THANK YOU ….
