Professional Documents
Culture Documents
Nestle
Nestle
What is Nestlé ?
• | Business Objectives |
Staying ahead
of competition
A detailed picture of a steps you plan to tak
in order
to achieve a started aim.
Monitor Focusing on
progress long-term
profits
Corporate
Social
Responsibility
(CSR)
MARKETING MIX : -
The marketing mix refers to the set of actions, or tactics, that a company uses to
promote its brand.
Nestles Products
• NESTLE is well know for quality and taste of its product nestle believes that “success is built
on quality
• For quality control NQMS ARE taken which compose of 3 elements
1. The quality standards:
2. A continual improvement management cycle
3. process based management system
FEATUR
ES
• NESTLE have put so
much effort to make all
products having some
special feature EXAMPLE
NESVITA they have
included the milk with
extra calcium n minerals
to benefit women
BCG MATRIX OF OCTOBER 2019
High growth
Question mark
Stars
Nestle breakfast
Nestle beverages
cereals
Low growth
Nestle product life cycle:
VS
COMPATITAORS
Vs
• Both Unilever and Nestle use the strategy of buying already established
brands.
• Unilever bought both Ben & Jerry’s and Breyers Ice Cream to extend its
product portfolio.
• Nestle responded by buying both Movenpick and Haagen-Dazs to compete
with Unilever.
• In the year 2017 Haagen-Dazs global sales were at US $461.3 million compared
to Ben & Jerry’s at US $132 million.
PRICE :-
THE ONE WHICH CREATES
SALES REVENUE-ALL OTHER PARTS
OF MARKETING MIX ARE COST.
• PRICE PENETRATION
• Price Skimming:
• Competitive base pricing
• Price Discrimination
• Price Flexibility with Discount
PLACE
• Nestle products have their main business area in Europe from where
they get almost 90 percent of the sales and revenues.
• Nestle is running globally, its setup being run in 86 countries. So, the
sales are also done globally and are impulsive ones.
• The products are not directly thrown into the market, rather a full
procedure is followed including all the essentials from Manufacturer,
Distributor, Wholesaler, Retailer and finally to Consumer.
• Nestle products are available in all its variety at the maximum outlets,
as the company is always looking forward to expand its outlets.
Promotion
Promotion is to communicate with actual customers to increase awareness about products
and create positive goodwill with product personalities so that customers can identify it.
Nestle use variety to promotions like
- Use of digital channels for creating awareness
- Heavily use below the line promotions by providing short term incentives.
- Sales promotion is done to fulfill customer relation management objective like special offers
of BOGOF, money-off coupons , customer loyalty card and etc.
- They have put outdoor campaign in North Zone for creating awareness.
- For promoting their product range they use CSR to attract customers and to increase their
customer base like water saving schemes.
- Personal selling is used as their team wore t-shirts, caps and jackets; they sold bottles to
travelling customers for interaction purpose.
Promotion by Advertisement
Above the line promotion is used by nestle where promotion is directly
paid like the following
- Billboards
- Shop boards
- Cross road signs
- Stands
- Banners
- Pan flexes
- Wall painting
• Nestle promote themselves through public relations as they publish
annual reports to deliberately use free publicity approach – aids to
achieve understanding with stakeholder and customers.
• For public relation they use newspaper, TV , social media and etc.
• Promotion is done by packaging of products as they re-launch milk pack
with new packaging designs to target new with existing segments.
• Nestle invites new innovation recipes like contracting with Maggi to
involve house wives.
• They organize contest, games , industrial visits for students and etc to
promote its products.
Process
THE SYSTEM & PROCESS THAT DELIVERS PRODUCT AND
RECIVES FEEDBACK FROM A CUSTOMER.
Customer
Manufacturing Process
Service
• Nestle’s main head quarters is located in Vevey
and Vaud in Switzerland. Nestle has been
operating in pakistan since (1988)
• Organizational environment :-
1. Job satisfaction
2. Job Enrichment
3. Job empowerment
4. On job , Off job training ( Workshops )
HIERARCHICAL STRUCTURE OF NESTLE
Communicating Types
1. Vertical
Dividing 2. Horizontal
Grouping
Coordinating
PHYSICAL EVIDENCE/ PACKAGING
• The form of packaging and promotional tools will be used to
support the development of the growth strategy employed.
1. Product liability
2. Visual packaging & intangible product
NESTLE PHYSICAL EVIDENCE
• Nestle introduce nutrition labels to Cerelac to give physical
hints.
• The packaging of Cerelac consists infant formula to make the
right choice
• The logo give the reassurance and brand loyalty
CONCLUSION
• Nestle has been earning really well for itself and for the country for over two
decades.
• one of the most famous and advantageous multinational.
• providing gigantic taxes and jobs to the government and people.
• It has been giving ample returns to the society as a whole.
• still growing and spreading its product portfolio like no other competitor.
CRITICAL ANALYSIS
•Child labor
•Unethical promotions (death of babies)
•Crashing local businesses (price fixing)
•Mislabeling pollution
RACOMANDATION
• Analyze how far the company is benefiting them rather than the loss.
• Provides for millions of households ( Brand Image )
• Use biodegradable packaging