CONSUMER PREFERENCE TOWARDS NESCAFE COFFEE

2nd YEAR BBA HONS.

PRACHI GUPTA

COLLEGE ROLL NO.- 06

CU REGISTRATION NO. –

034-1211-0586-17

CU ROLL NO.-

034-BBA18F-0040

YEAR- 2018-19
 PREFACE

TOPIC:

CONSUMER PREFERENCE TOWARDS NESCAFE COFFEE

The following project is based on one of the most renowned brand in the market of coffee, the
Nescafe. The project is on the consumer association with the Nescafe brand. To find this out we
conducted primary surveys through questionnaires to find out the position Nescafe has created in
people’s minds. We also collected secondary data from Nescafe’s official website and other
renowned websites. The primary objective is to study consumer perceptions towards Nescafe
Coffee.

Although there are many coffee brands in the market, Nescafe serves exceptional refreshment for
which it created a distinguished position in the minds of consumers. It offers not only
exceptional value to consumers, but, it is the most consumed beverage by people of all ages.
Nescafe has also segmented its coffee market on the basis of the tastes and preferences of its
consumers and has created a reputable position in the market. Nescafe is known as the most
popular and widely sold coffee brand in the world.
 CONTENTS

SERIAL NAME OF TOPICS PAGE

NO. NO.
1. PREFACE
2. CHAPTER 1 – Introduction
1.1 Background of the project 1
1.2 Literature Survey 2
3. CHAPTER 2 – Conceptual Framework 3–6
4. CHAPTER 3 – Analysis and Findings
3.1 Objectives 7
3.2 Methodology 7
3.3 Analysis 8 – 30
5. CHAPTER 4
4.1 Summary of Observations 31 – 32
4.2 Conclusion and Recommendations 33
4.3 Limitations 33
6. REFERENCES
7. ANNEXURE
 CHAPTER 1

INTRODUCTION

1.1 Background:

Coffee, popularly referred as “brown gold,” is one of the important agricultural commodities
grown in India. The coffee industry of India is the sixth largest producer of coffee in the world
accounting for over four percent of world coffee production, with the bulk of all production
taking place in its Southern states. There are basically two types of coffee consumed most
commonly worldwide - Arabica and Robusta - that grow from the two main species of coffee
plants: Coffee Arabica and Coffee Robusta respectively. It is believed that coffee has been
cultivated in India longer than anywhere outside of the Arabian Peninsula.

Whether you’re cradling a travel mug on your way to work or dashing out after spin class to
refuel with a skinny latte, it’s hard to imagine a day without coffee. The caffeine perks you up,
and there’s something incredibly soothing about sipping a steaming cup of coffee.

Although there are various coffee brands in the market, Nescafe has created reputable position in
the minds of the consumers. With its target market being the youth and the working adults,
Nescafe has the biggest market share in instant coffee market with the features of its products,
quality levels, and the satisfaction that it gives to customer as perceived value.

Instant coffee had never been as inexpensive as the Nescafe. That being said, it’s important to
note down that not only does it cost less upfront, but also in the long run as it requires only 6
ounces of coffee powder to fix a cup. Being budget-friendly, however, doesn’t make Nescafe
anything less than great in the taste department. The first thing that’ll hint you how good it’s
going to be is the aroma.

If both the taste and cost concerns you then Nescafe is the ideal choice. Chances are you might
even consider ditching the tedious process of brewing for life.

1
1.2 Literature Survey

 Chapatwala Mihir (2018)-‘Nescafe’: “Nescafe has created a reputable position in the

mind of its consumers by offering various kinds of products that suit the needs of the
people at large. It is currently estimated that, on average, 4000 cups of Nescafe coffee are
drunk every second. The Nescafe coffee brand has a presence in over a hundred
countries.”

 Kiruba Evangeline (2015) – ‘A study of consumer perception’: “The customer

satisfaction depends on the features of the product. The business objectives can be
achieved by only retaining customers and gaining new one by continually meeting and
exceeding their changing needs and expectations. So, continuous customer satisfaction
measurement is essential.”

 Kumar Sumit (2016) - ‘Report on Nescafe’: “Nescafe provides good taste, aromatic

smells of coffee to people, providing “1 Nescafe with 1 unique moment “so that people
can create memories that last forever. Wherever you are, you will be able to
find Nescafe around, whether in shopping complexes, supermarkets/hypermarkets or
even grocery stalls.”

 Rahman Mustafizur (2017) –‘Consumer Research- Nescafe’: “In a competitive market,

Nescafe has been running its business successfully. Nescafe holds its position by
capturing young generation more significantly and by providing different variants to
satisfy its customers. Nescafe is a leading brand that is successfully spreading its
reputation worldwide responding to the needs of people in a creative way.”

 Vats Pallavi (2015) –‘Marketing Management on Nescafe’ : “NESCAFE is consumed by

people of all ages, for some it's the best Substitute for tea while for some it's a way of
getting charged whenever they are low on energy. Every packet of NESCAFE has
information about the ingredients used, nutrition facts, mailing & emailing addresses
asking for feedback, phone number, packaging date etc.”

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 CHAPTER 2

CONCEPTUAL FRAMEWORK

Consumer preferences are defined as the subjective (individual) tastes, as measured by utility, of
various bundles of goods. They permit the consumer to rank these bundles of goods according to
the levels of utility they give the consumer. When a brand has loyal customers, it gains positive
word-of mouth marketing, which is both free and highly effective." Therefore, it is essential for
business as to effectively manage customer perception.

The basic concept of this project is to find out customer’s preference towards Nescafe with
respect to other brands of coffee available in the market. Nescafe not only brews a great cup of
coffee but is inexpensive and has a strong shelf-life. With Nescafe you’re in for the best quality
instant coffee every time, because it all starts with NESCAFE.

COMPANY PROFILE:

Nescafe is a brand of coffee made by Nestle. It comes in many different forms. The name is
a portmanteau of the words "Nestlé" and "café". Nestlé first introduced their flagship coffee
brand in Switzerland on 1 April 1938. Nestlé began developing a coffee brand in 1930, at the
initiative of the Brazilian government, to help to preserve the substantial surplus of the annual
Brazilian coffee harvest. Max Morgenthaler led the development project.

Nestlé introduced the new product under the brand name "Nescafe" on 1 April 1938. Nescafe is
a soluble powdered coffee that became an American staple during World War II. One of the
world’s most loved coffee brands- Nescafe has made itself known to as many as six generations!
It is a product as old as George biro’s ball point and pre dates the pocket calculator, the remote
control, the personal computer and the mobile phone. It has lived through a world war and a cold
war and even been sent to the moon.

Over the past 75 years, Nescafe has grown on the commitment to a promise- to maximize the
enjoyment and ease of preparing a cup of coffee. Backed by a pipeline full of breakthrough
innovation and a strong commitment towards enhancing the coffee experience of our consumers,
Nescafe has become one of the most popular global brands. Its longevity has been built on
connecting with new customers and on earning and retaining their trust. 1

Nescafe is here to help coffee lovers everywhere so they made the NESCAFE plan. It is a way to
help coffee farmers make a better living; support living communities; inspire the next generation

3
of farmers; and do so without damaging our planet. Nescafe is creating a culture of having coffee
day by day.

Added a new red accent to their brand name is a bright red iconic mug and their new slogan is,
“IT ALL STARTS WITH NESCAFE”. Whether over a stimulating morning coffee, a late
afternoon latte or an after dinner espresso Nescafe creates real connections that lead to new
starts, new ideas or simply great chats. As the needs and wants of modern coffee drinkers change
Nescafe is always ready to offer new and outstanding varieties of coffee. Nescafe’s product
portfolio currently includes flavored coffee mixes and a range of instant products.

MARKETING MIX OF NESCAFE:

No matter how effective the packaging and promotion of a product, the company will find it very
challenging to market a product that doesn’t satisfy a consumer need. Nescafe owes much of its
success to a strong marketing mix. Nescafe is a brand of instant coffee made by Nestle. The
Nescafe marketing mix shows that Nescafe is a strong product with global appeal. Here are the
4P’s of Nescafe:

Product Mix:

Nestle is the parent company of Nescafe and it is one of the most successful companies in the
world and is well known for offering a variety of products, one of them being Nescafe. Nescafe
has developed a lot over the years and is touted as the market leader in the instant coffee
industry. The various variants offered by Nescafe are:

 Nescafe Original
 Nescafe Classic
 Nescafe Gold Blend Half Caff
 Nescafe Gold Blend Decaf
 Nescafe Alta Rica Decaff
 Nescafe Black Gold
 Nescafe Classico
 Nescafe Espresso

Promotion Mix:

Nestle has used a number of advertising strategies throughout the years to make the product
Nescafe appealing. In particular, it has used persuasive advertising, with an emotional aspect, to
make it an instant success. The continuous advertising with smart promotions has given Nescafe

4
a strong position in the instant coffee industry. Nescafe also focuses on producing high quality
products and experiments with a lot of variants.

A significant portion of Nescafe’s promotion strategy involves the use of:

 Advertising Campaigns
 Newspapers
 Internet
 Television
 Public relation activity

Price Mix:

Nestle has adopted the strategy of non-price competition. It ensures that traders don’t take
advantage and hike prices by maintaining uniform pricing for all its products, including Nescafe.
It offers generous discounts to its distributors. Different Nescafe brands come with different
prices depending on how they are made. However, being one of the premium brands it enjoys a
high stature and acceptability at a relatively high cost than its nearest competitors.

Place / Distribution Mix:

Nescafe follows the FMCG strategy of distribution. This is quite effective because it involves
breaking the bulk in a typical distribution channel. Nescafe enjoys a stronger distribution
network and sales network than most because of the pull from the market. In order to encourage
sales, Nescafe frequently offers bulk buyers trade discounts to keep the sales high. The only
challenge for Nescafe is that it faces competition from other chocolate companies
like BRU and Cadbury.

SEGMENTATION, TARGETING, POSITIONING IN THE MARKETING STRATEGY

OF NESCAFE –

A mix of Geographic, demographic and psychographic segmentation strategies are used by

Nescafe in order to make one type of coffee beans available in another part of the globe and
revolutionize the coffee culture.

5
Nescafe uses both differentiated/mass targeting strategies so that for retail customers there are
different offerings available for different segments of customers and for corporate customers,
there is a standard coffee vending machine.

Nescafe has positioned itself based on usage-based and value-based positioning strategies.

SWOT ANALYSIS OF NESCAFE:

Strengths:

 Presence of well established distribution networks both in rural and urban areas.
 Products are diversified into various categories and segmented accordingly.
 Presence of well known brands.
 Low operational costs

Weaknesses:

 Many people avoid caffeine related products.

 Adopted a pricing strategy higher than the competitors.
 Low export levels.

Opportunities:

 Increasing purchasing power of consumers.

 Export potentials.
 Untapped rural market.

Threats:

 Slowdown in rural demand.

 Tax and regulatory structure.
 High competition in the global market.

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 CHAPTER 3

ANALYSIS AND FINDINGS

3.1 Objectives:

 To analyze customer preference towards Nescafe coffee.

 To identify satisfaction of consumers with Nescafe coffee.

3.2 Research Methodology:

 Primary data was used in the form of questionnaires for our analysis
 Secondary data was also collected from the company’s website and other reputed
websites.
 Number of respondents- 120 people
 Types of tools used- Various kinds of statistical tools like pie charts and graphs were
used.
 Time taken – 1 week.

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3.3 Analysis

Analysis of the questionnaire conducted:

1. What is your gender?

Percentag
Gender e
Male 39%
Female 61%
TOTAL 100%

Male
39%

Female
61%

The survey included 120 respondents in total of which 61% of the respondents were females and
39% were males. Thus majority of the respondents were females.

8
 2. What is your age?

Age Percentage
Below 18 4.00%
18-25 67.00%
26-35 17.00%
36-45 8.00%
46 and
above 4.00%
Total 100.00%

70.00%
Percentage
60.00%

50.00%

40.00%
67.00%
30.00%

20.00%

17.00%
10.00%
8.00%
4.00% 4.00%
0.00%
Below 18 18-25 26-35 36-45 46 and above
AGE

The responses were given by different people belonging to different age groups. The survey
showed that most people belonged to the age group of 18 – 25 years i.e., 67%. 4% were below
18 years of age, 17% were in the age group of 26 – 35 years, 8% belonged to the age group of
36 – 45 years and 4% people were either or above the age of 46 years.

3. What is your educational qualification?

9
Educational Percentag
Qualification e
Below Secondary 3%
Secondary 4%
Higher Secondary 40%
Graduate 41%
Post Graduate 5%
Professional Degree 4%
Other 3%
TOTAL 100%

45%
40%
35%
30%
25%
20%
15%
10%
Percentage
5%
0%

Qualification

The survey included 120 respondents, out of which 3% were below secondary level, 4% were of
secondary level, 40% were of higher secondary level, 41% were graduates, 5% were post
graduate and 4% of the people had a professional degree. The remaining 3% did not fall into the
above categories.

4. What is your occupation?

10
 Percentag
Occupation e
Student 67%
Unemployed 3%
Self Employed 9%
Private
Employee 8%
Public
Employee 8%
Others 5%
TOTAL 100%

80%

70%

60%

50%

40%

30%

20%

10%

0%
Student Unemployed Self Employed Private Employee Public Employee Others

The survey was conducted on various segments of people. The respondents who are students
were more in number i.e., 67%. There were 3% of people who were unemployed, 9% self
employed, 8% private employees, 8% public employees and 5% people who do not fall under
any of these categories.

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 5. What is your annual income?

Annual Percentag
Income e
Not yet earning 67%
50000-100000 21%
100000-300000 8%
300000 and
above 4%
TOTAL 100%

300000 and above

100000-300000 4%
8%

50000-100000
21%

Not yet earning

67%

The survey showed that out of the 120 respondents, 67% are not yet earning. 21% people have
their annual income in the range of Rs 50000 – 100000. 8% people have their annual income in
the range of Rs 100000 – 300000 whereas, 4% people have their annual income above Rs
300000.

12
 6. Do you drink coffee?

Percentag
Do you drink coffee? e
Yes 90%
No 10%
TOTAL 100%

Yes No

10%

90%

The survey indicates that out of the 120 respondents, 90% respondents drink coffee as compared
to the 10% respondents who do not drink coffee. Thus our total number of respondents at this
stage gets reduced to 108 people for further analysis.

7. Which type of coffee do you prefer?

13
 Type Percentage
Hot 21%
Cold 24%
Both 55%
TOTA
L 100%

Hot Cold Both

21%

55%

24%

The number of respondents for this stage has reduced to 108 people. Out of the 100 people, 55%
prefer both hot and cold coffee while 21% prefer hot coffee. The remaining 24% prefer cold
coffee.

14
 8. Which coffee brand do you prefer?

Percentag
Brand e
Nescafe 83%
Bru 5%
Café Coffee
Day 10%
Others 2%
TOTAL 100%

90%

80%

70%

60%

50%

40%

30%

20%

10%

0%
Nescafe Bru Café Coffee Day Others

Percentage

The survey shows out of the 108 respondents only 100 people (83%) prefer Nescafe. 5% of the
people prefer Bru coffee while 10% prefer coffee offered by Cafe Coffee Day. The remaining
2% prefer other brands. Thus for further analysis, the total respondents gets reduced to 100
people.

15
 9. Do you like Nescafe coffee?

Answe
r Percentage
Yes 95%
No 3%
Maybe 2%
TOTA
L 100%

Yes No Maybe

3% 2%

95%

Out of the 100 respondents, 95% respondents like Nescafe coffee. 3% respondents do not like
Nescafe while the remaining 2% are not sure about it.

The number of respondents gets reduced to 95 people for further analysis.

16
 10. Which kind of Nescafe coffee do you prefer?

Percentag
Type e
Nescafe Gold 30%
Nescafe Classic 63%
Nescafe Mixes 4%
Nescafe Azera
Americano 3%
TOTAL 100%

Percentage

Nescafe Azera Americano 3%

Nescafe Mixes 4%

Nescafe Classic 63%

Nescafe Gold 30%

Out of the 95 respondents, 63% people prefer Nescafe Classic, 30% prefer Nescafe Gold, 4%
prefer Nescafe mixes, while the remaining 3% prefer Nescafe Azera Americano.

17
 11. Where did you come to know about Nescafe coffee?

Percentag
Source e
Advertisement
s 74%
Friends/
family 21%
Others 5%
TOTAL 100%

Percentage

Others 5%

Friends/ family 21%

Advertisements 74%

According to the survey 74% of the 95 respondents came to know about Nescafe coffee through
advertisements, 21% came to know about Nescafe coffee through friends/ family. The remaining
5% of the respondents got to know about Nescafe coffee through other sources.

18
 12. Why do you prefer Nescafe coffee over other brands?

Percentag
Reasons e
Quality 47%
Price 11%
Brand Name 5%
Taste 32%
Discounts and Offers 3%
Quantity 2%
I don't prefer Nescafe 0%
TOTAL 100%

50%
45%
40%
35%
30%
25%
20%
15%
10%
5%
0%

The survey indicates that 47% of the people prefer Nescafe coffee because of its quality. 11%
people prefer Nescafe for its price, 5% prefer it for its brand name, 32% prefer it for its taste, and

19
3% prefer it for the discounts offered by Nescafe. The remaining 2% prefer it for the quantity
offered by Nescafe.

13. How frequently do you buy Nescafe coffee?

Percenta
Time ge
Daily 7%
Weekl
y 16%
15
days 24%
Monthl
y 53%
TOTA
L 100%

Percentage

53%

24%
16%
7%

Daily Weekly 15 days Monthly

20
Among the respondents 7% of the people purchase Nescafe coffee daily. 16% buy Nescafe
coffee on a weekly basis. 24% people purchase Nescafe coffee within a gap of 15 days, whereas
53% people purchase it on a monthly basis.

14. How much quantity do you prefer to buy?

Percentag
Quantity e
5 gm 7%
50 gm 13%
100 gm 38%
More than 100
gm 42%
TOTAL 100%

Percentage

42%
38%

13%
7%

5 gm 50 gm 100 gm More than 100 gm

Quantity

21
The survey shows that 7% of the people prefer a quantity of 5 gram while purchasing Nescafe,
13% prefer a quantity of 50 gram while purchasing Nescafe coffee, and 38% of the people prefer
a quantity of 100gm, while 42% of the people prefer to buy more than 100 grams of Nescafe
coffee.

15. The brand personality of Nescafe coffee is 'friendship'. Do you think it is

appropriate for Nescafe coffee? 

Percentag
Answer e
Yes, it is perfectly
matched 68%
No, doesn't make any
sense 31%
Neutral, I don't know 1%
TOTAL 100%

Yes, it is perfectly matched No, doesn't make any sense Neutral, I don't know
1%
31%

68%

22
The survey indicates that 68% of the people think that the brand personality of Nescafe coffee
i.e., ‘friendship’ is appropriate for Nescafe, while 31% think that it doesn’t make any sense. The
remaining 1% of the respondents had a neutral opinion about it.

16. How much do you think the brand personality of Nescafe helps in the selling of
coffee?

Percentag
Answer e
It runs on its
personality 67%
A little bit 30%
Nothing at all 3%
TOTAL 100%

It runs on its personality A little bit Nothing at all

3%
30%

67%

23
Out of the 95 respondents, 67% of the people think that the brand personality of Nescafe helps in
the selling of coffee. 30% of the people think that the brand personality of Nescafe helps a little
bit in the selling of coffee, while 3% of people think that the brand personality of Nescafe does
not affect the selling of coffee.

17. When you see the red mug do you remember Nescafe?

Percentag
Answer e
Yes 74%
No 10%
Maybe 16%
TOTAL 100%

Yes No Maybe

16%

10%

74%

24
74% of the respondents associate or remember Nescafe when they see the red mug that is
provided by Nescafe. 10% of the respondents do not remember Nescafe on seeing the red mug,
whereas 16% are not sure about it.

18. Do you think that shakers provided by Nescafe are beneficial to consumers?

Percentag
Answer e
Yes 72%
No 21%
Maybe 7%
TOTAL 100%

Maybe
No 7%
21%

Yes
72%

25
The survey indicates that 72% of the people think that the free shakers provided by Nescafe are
beneficial to consumers, while 21% think that the shakers are not beneficial to consumers. The
remaining 7% are not sure about it.

19. How satisfied are you with Nescafe coffee?

Percentag
Responses e
Highly Satisfied 42%
Satisfied 52%
Neutral 5%
Dissatisfied 0%
Highly
Dissatisfied 1%
TOTAL 100%

26
 Percentage

1%
Highly Dissatisfied

0%
Dissatisfied

5%
Neutral

52%
Satisfied

42%
Highly Satisfied

Out of the 95 respondents, 42% of the people are highly satisfied with Nescafe coffee, while
52% are satisfied with it. 1% of the respondents are highly dissatisfied with Nescafe coffee,
whereas 5% have a neutral opinion.

20. Do you think Nescafe should improve their quality?

Responses Percentage
Yes 23%
No 33%
Maybe 44%
TOTAL 100%

27
 Yes
23%

Maybe
44%

No
33%

According to the survey, 23% of the people think that Nescafe should improve its quality, while
33% think that Nescafe should keep its quality intact. The remaining 44% are not sure about it.

21. Do you think Nescafe coffee is a bit expensive compared to other brands?

Percentag
Responses e
Yes, it washes out people's pockets 11%
No, it's within people's purchasing
power 89%
TOTAL 100%

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 Yes, it washes out people's pockets No, it's within people's purchasing power

11%

89%

The survey indicates that 89% of people think that the price of Nescafe coffee is within the
purchasing power of people, while 11% of the people think that Nescafe coffee is expensive and
it washes out people’s pockets, i.e., not within their purchasing power.

22. Would you still purchase Nescafe coffee if there was an increase in price?

Percentag
Responses e
Yes 58%
No 32%
Maybe 10%
TOTAL 100%

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 Yes No Maybe
10%

32%

58%

This survey showed that 58% of the people would still purchase Nescafe coffee if there was an
increase in its price. 32% of the people are unlikely to purchase Nescafe coffee if there was an
increase in its price, whereas 10% of the people are not sure about it.

23. Would you still purchase Nescafe coffee if there was an increase in price?

Responses Percentage
Yes 92%
No 1%
Maybe 7%
TOTAL 100%

30
 Yes No Maybe

1% 7%

92%

According to the survey, 92% of the people are likely to recommend Nescafe coffee to others,
while 7% wouldn’t recommend it to other people. On the other hand 1% of the respondents are
not sure about it.

CHAPTER 4

4.1 Summary of observations:

 The survey included 39% males and 61% females.

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 The survey included 4% of people who were below 18 years of age, 67% in the age group
of 18 – 25, 17% in the range of 26 – 35, 8% in the range of 36- 45 and 4% who were of
46 years or above 46years of age
 The survey included 3% of people who fall under the category of below secondary level,
4% under the secondary level, 40% under higher secondary level, 41% who were
graduates, and 5% who were post graduates. 4% of people had a professional degree and
3% of people belonged to the ‘others’ category.
 The survey showed that 67% of people are students, 3% are unemployed, 9% of people
are self employed, 8% are private employees, and 8% are public employees, while 5% of
the respondents did not belong to any of the above category.
 The survey included 67% respondents who are not yet earning, 21% respondents who are
earning in the slab of 50000 – 100000, 8% earning in the slab of 100000 – 300000, 4% of
the respondents earning Rs 300000 and above.
 The survey showed that 90% of the respondents drink coffee, whereas 10% of the
respondents do not drink coffee. Hence the number of respondents henceforth gets
reduced to 108 people.
 The survey indicates that 55% of the respondents prefer both hot and cold coffee,
whereas 21% prefer hot coffee and 24% prefer to have cold coffee.
 83% of the respondents prefer Nescafe coffee, while 5% prefer Bru, 10% prefer Café
Coffee Day and 2% prefer other brands of coffee. Thus the number of respondents again
gets reduced to 100 people.
 The survey shows that 95% respondents like Nescafe coffee, 3% do not like it. The
remaining 2% of respondents are not sure about it. Thus number of respondents gets
reduced to 95 people.
 The survey indicates that 30% of the respondents prefer Nescafe Gold, 63% prefer
Nescafe Classic, 4% prefer Nescafe Mixes and the remaining 3% prefer to have Nescafe
Azera Americano.
 According to the survey, 74% of the respondents have come to know about Nescafe
coffee through advertisements, 21% have come to know about Nescafe coffee through
friends/ family, while the remaining 5% have come to know about it through other
sources.
 The survey shows that 47% of the respondents prefer Nescafe coffee over other brands
because of its quality, 11% prefer it for its pricing strategy, 5% prefer it for its brand
name, 32% prefer it for its taste, 3% prefer it for its discounts and offers and 2 % prefer
Nescafe coffee because of the quantity offered by it.
 7% of the respondents purchase Nescafe coffee daily, 16% purchase it in the span of a
week’s time, 24% purchase it after every 15 days and 53% respondents purchase it on a
monthly basis.

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  The survey indicates that 7% of the respondents prefer to buy a quantity of 5 grams, 13%
prefer to buy a quantity of 50 grams, 38% prefer to buy a quantity of 100 grams and 42%
of respondents prefer to buy more than 100 grams of coffee.
 68% of the respondents thinks that the brand personality of Nescafe coffee i.e.,
friendship, is perfectly matched to it while 31% of respondents think that this brand
personality doesn’t make any sense. The remaining 1% is not sure about it.
 According to the survey, 67% of the respondents think that the brand personality of
Nescafe helps in the selling of coffee, 30% think that it depends a little bit on its brand
personality. The remaining 3% think that the selling of coffee does not depend on the
personality of Nescafe.
 74% of the people associate or remember Nescafe when they see the red mug that is
provided by Nescafe. 10% of the people do not remember Nescafe on seeing the red mug,
whereas 16% are not sure about it.
 72% of the people think that the free shakers provided by Nescafe are beneficial to
consumers, while 21% think that the shakers are not beneficial to consumers. The
remaining 7% are not sure about it.
 42% of the people are highly satisfied with Nescafe coffee, while 52% are satisfied with
it. 1% of the respondents are highly dissatisfied with Nescafe coffee, whereas 5% have a
neutral opinion.
 23% of the people think that Nescafe should improve its quality, while 33% think that
Nescafe should keep its quality intact. The remaining 44% are not sure about it.
 89% of people think that the price of Nescafe coffee is within the purchasing power of
people, while 11% of the people think that Nescafe coffee is expensive and it washes out
people’s pockets, i.e., not within their purchasing power.
 58% of the people would still purchase Nescafe coffee if there was an increase in its
price. 32% of the people are unlikely to purchase Nescafe coffee if there was an increase
in its price, whereas 10% of the people are not sure about it.
 According to the survey, 92% of the people are likely to recommend Nescafe coffee to
others, while 7% wouldn’t recommend it to other people. On the other hand 1% of the
respondents are not sure about it.

4.2 CONCLUSION AND RECOMMENDATIONS:

Conclusion:

Today Nescafe is the world’s leading coffee brand with more than 4,000 cups of Nescafe
enjoyed every second throughout the world. Nescafe is a popular global brand not just because of
its price factor, but also because of its taste, quality and other attributes that make Nescafe coffee

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the best. Although there is a lot of completion in the market, Nescafe has created a reputable
position in the minds of its consumers.

Recommendations:
 Nescafe should come up with more innovative products to satisfy the needs of the people
at large.
 In this competitive environment, Nescafe should come up with better promotional and
marketing strategies to increase their sales.
 Nescafe should offer more discounts and offers to customers.

4.3 LIMITATIONS:

 The number of respondents was limited so accurate results may not have been obtained.
 The survey was limited to particular area so it was difficult to conduct the survey.
 Time constraint.

REFERENCES

Books:

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  Kotler, Philips – Principles of Management (2013) – (12th Edition)

Articles:

 Chapatwala Mihir (2018) - Nescafe.

 Kiruba Evangeline (2015) - A study of Consumer Perception.
 Kumar Sumit (2016) - Report on Nescafe.
 Rahman Mustafizur (2017) – Consumer Research – Nescafe.
 Vats Pallavi (2015) – Marketing Management on Nescafe.

Websites:

 https://www.academia.edu/25472070/Consumer_Research-Nescafe
 https://en.wikipedia.org/wiki/Nescafe
 https://www.nestle.in/
 https://www.nescafe.com/
 https://dokumen.tips/documents/project-of-marketing-management-on-nescafe.html
 http://www.assignmentpoint.com/business/report-on-nescafe.html
 https://www.scribd.com/document/209575937/Nescafe

ANNEXURE

BLANK QUESTIONNAIRE:

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CONSUMER ANALYSIS

ANALYTICAL STUDY OF CONSUMER PREFERENCE TOWARDS NESCAFE COFFEE.

Name:

Email:

Gender:
o Male
o Female
o Prefer not to say
o Other

Age:
o Below 18
o 18 - 25
o 26 - 35
o 36 - 45
o 46 and above

Educational Qualification 
o Below Secondary
o Secondary
o Higher Secondary
o Graduate
o Post Graduate
o Professional Degree
o Other

Occupation 
o Student
o Unemployed
o Self- employed
o Private employee

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 o Public employee
o Other

Annual Income 
o Not yet earning
o 50000 - 100000
o 100000 - 300000
o 300000 and above

Do you drink coffee? 

o Yes
o No
o Maybe

Which type of coffee do you prefer? 

o Hot
o Cold
o Both

Which coffee brand do you prefer? 

o Nescafe
o Bru
o Cafe Coffee Day
o Others

Do you like Nescafe Coffee? 

o Yes
o No
o Maybe

Which kind of Nescafe Coffee do you prefer? 

o Nescafe Gold
o Nescafe Classic
o Nescafe mixes

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 o Nescafe Azera Americano

Where did you come to know about Nescafe coffee? 

o Advertisement
o Friends/ Family
o Others

Why do you prefer Nescafe coffee over other brands? 

o Quality
o Price
o Brand Name
o Taste
o Discount and offers
o Quantity
o I don't prefer Nescafe coffee

How frequently do you buy Nescafe coffee? 

o Daily
o Weekly
o 15 days
o Monthly

How much quantity do you prefer to buy? 

o 5 gm
o 50 gm
o 100 gm
o More than 100 gm

The brand personality of Nescafe coffee is 'friendship'. Do you think it is appropriate for Nescafe
coffee? 
o Yes, it is perfectly matched.
o No, doesn't make any sense.

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 o Neutral, I don't know.

How much do you think the brand personality of Nescafe helps in the selling of coffee? 
o It runs on its personality.
o A little bit.
o Nothing at all.

When you see the red mug, do you remember Nescafe? 

o Yes
o No
o Maybe

Do you think that shakers provided by Nescafe are beneficial to consumers? 

o Yes
o No
o Maybe

How satisfied are you with Nescafe coffee? 

o Highly satisfied
o Satisfied
o Neutral
o Dissatisfied
o Highly dissatisfied

Do you think Nescafe should improve their quality? 

o Yes
o No
o Maybe

Do you think Nescafe coffee is a bit expensive compared to other brands? 

o Yes, it washes out people's pockets.
o No, it's within people's purchasing power.

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Would you still purchase Nescafe coffee if there was an increase in price? 
o Yes
o No
o Maybe

Would you recommend Nescafe coffee to others? 

o Yes
o No
o Maybe

CONCLUSIONS AND RECOMMENDATIONS i Nescafe is not used extensively in the United States. I
Though it is a very well known brand, many do not consume I it. Moreover, instant coffee itself is not
liked by a lot of people in the United States. In the coffee segment it seems jthat Folgers is the most
popular and is liked by more people followed by Starbucks. Nescafe needs to revise its advertising
campaign to appeal to its target audience and build brand awareness as unaided recall is very low
compared to its primary competitors, Folgers and Starbucks. i Nescafe should initiate a brand equity
research to understand consumer perceptions of the brand. Nescafe needs to extend its product line
because i consumer preference for regular coffee is much higher than instant coffee. One of the reasons
Folgers and Starbucks are more preferred brands than Nescafe is because they offer.1 regular coffee and
limited versions of instant I1 coffee

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