MARKETING 8P'S OF NESTLE
The Marketing mix of Nestle discusses the 8P’s of one of the
strong FMCG companies of the globe. The Nestle marketing mix shows Nestle has a
solid product line which boosts its marketing mix. Below are the products,
price, placement and promotions of Nestle.
Products
Nestle provides a wide range of
products with their line extensions in the market. They have been providing
variety with quality to the consumers. Some of the Nestle’s top brands are
Maggie, Nestea, Nescafe, Kit Kat, and etc.
Price
The cost is dependent on the market of each single product. For
example, Nescafe and Maggi being the clear leaders are priced with higher gross
profits for the company as compared to the competitor. This is because the
product quality is good enough and a act of skimming price will not induce the
client to change brands.
The intensity level of pricing for Nestle comes from its
packaging or consumption based pricing. For Nescafe as well as Maggi, Nestle
offers a bunch of sizes and package options. In supermarkets, you can even find
a 16 packet Maggi whereas in small retail shops, you can find 5 Rs Maggi.Thus,
with the variety available, customer can make his own choice based on his
consumption. In other products like Kitkat and Munch, due to tough competition
from other companies, Nestle offers competitive pricing. You will find that
nestle will be similar priced to many of Cadbury’s Products in the chocolate
segment.
Place
Nestle has been displaying its product
in the supermarkets and the malls. It has been managing its own sales
and distribution network all over the Indian market to supply their
product. It has been also placing it products in hospitals, canteens of
colleges & companies and public places.
Promotions
One of the most widely known tunes is the Nescafe
tune. It was one of the best advertising campaigns and was launched at least 2
decades back. However, that campaign brought Nescafe strongly in the market.
On the other hand, Nestle’s brand was pushed by
the excellent product quality of Maggi and the witty and innovative campaigns
of Maggi. Where Nescafe focuses on value and the good things in life, Maggi
focuses on the moments you had with your Maggi. The recent campaign
was completely focused on your magic story, where people had to come out
with various innovative ways that they had their magic.
Promotions for other products too is done
smartly. Kitkat focuses on “Take a break” and has done some good marketing for
the same. Kitkats website too is very innovative and shows nothing but asks the
visitor to take a break and have a Kitkat. The major push expected of an FMCG
company is in sales promotions at the ground level. This is where Nestle really
rocks. Nestle focuses on its strength which is Maggi, Nescafe and Kitkat which
are the most
Promoted brands in the market on ground level.
Promoted brands in the market on ground level.
Besides this, Nestle regularly uses TVC’s and ATL
marketing. It is also present online through some smart creative. Overall,
Nestle is a brand which has strong products as well as strong marketing, and
hence the brand has a very high brand recall value.
We hope that Nestle keeps bringing in good
products and keeps maintaining the quality of the products it already has.
People
Nestle India has been recruiting lakhs
of people to join their company. They have been training their employees
to handle the queries of their customers and also provide better
customer service. Various campaigns are organized by their employees for
the purpose of the sales promotion in different states of India.
Process
The company has been manufacturing the
products by processing it using better technology. The way Nestle has
been using its vending machine to serve the customers easily shows that
they have understood the requirements of the consumers in India.
Physical Evidence
Nestle has been creating a better
evidence connectivity by setting up the coffee corners with their logo
of Nescafe in vending machines
LEVERAGINIG
By leveraging the Nesquik identity which from the beginning was a product brand (chocolate powder to mix with milk) to a range brand (many different products) the brand has grown tremendously and is no doubt one of Nestlé’s most successful and profitable brands although all of the above products can easily be copied and have indeed!
We can here see the importance of strong brand
identity as Quicky the rabbit is trademarked and well protected and thus
impossible to be copied!
The lesson to be learned is the following: Never
ever leverage (or if you so wish stretch) a brand outside its core
positioning. You will, in the long run, weaken it as consumers only pay
the right price (i.e. the one which makes you earn money) for a product
which has either a very special taste or feature, or a strong, iconic
brand.
We can here see the importance of strong brand identity as Quicky the
rabbit is trademarked and well protected and thus impossible to be
copied!The lesson to be learned is the following: Never ever leverage
(or if you so wish stretch) a brand outside its core positioning. You
will, in the long run, weaken it as consumers only pay the right price
(i.e. the one which makes you earn money) for a product which has either
a very special taste or feature, or a strong, iconic brand.
