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Good Food, Good Life.
Nestle, headquartered in Vevey, Switzerland, is a
global food and beverage corporation renowned for
its extensive product range. Employing over
308,000 individuals, Nestle operates in 190
Chairman and Managing Director
countries and has a strong commitment to Mr. Suresh Narayanan
promoting good nutrition through innovative
product offerings. Executive Director – Finance & Control and CFO
Ms. Svetlana Boldina
For more than a century and a half, Nestle has been
a key player in the food and beverage industry.
Despite facing intensifying competition, the
company has maintained its position as a leader by
consistently prioritizing the nutritional needs of its
diverse customer base worldwide. In recent years,
Nestle has expanded its product line and achieved
significant financial growth.
Marketing Mix of Nestle (4Ps)
Nestle's marketing mix encompasses the four essential elements that underpin the success of
one of the world's foremost Fast-Moving Consumer Goods (FMCG) companies. These elements
—product, price, place, and promotion—are integral to Nestle's marketing strategy.
PRODUCT PRICE PLACE PROMOTIONAL
MIX MIX MIX MIX
Powdered and liquid beverages
Milk products and ice cream Waters
Prepared dishes and cooking aids
Nutrition and Health Science
Confectionery
Product Mix
Pricing strategy beneficial to both:
Price Mix Environment Consumers
Each product's pricing is determined by market dynamics.
Nestle enjoys price flexibility due to its focus on:
Consumption-based pricing Packaging
Nestle offers a range of sizes and packaging options, catering to
various customer needs
Nescafe and Maggi carry slightly higher price tags, reflecting their product
quality without compromising brand loyalty
Competitive pricing strategies are employed for products like KitKat
and Munch to remain on par with rival offerings in the chocolate
market
Place Mix
Nestle prides itself on a robust distribution network comprising intermediaries that ensure products reach end consumers efficiently
Global workforce of 308,000
Key Strategies:
Operations spanning 187 countries A commitment to achieving waste-free
operations.
Effective engagement with customers.
Guarantee food safety and regulatory compliance. Strategic acquisitions to reduce risks & access
suppliers of acquired entities.
Responsible sourcing practices.
Promotes a zero-waste, zero-defect philosophy
Promotional Mix
Nestle employs two primary sales promotion techniques
Trade Consumer
Promotion promotion
Maggi's association with two-minute
Such Iconic
campaigns snacks has resonated with both children and
have successfully mothers
encouraged
consumer purchases
KitKat, "Have a Break, Have a KitKat," has become
synonymous with the brand
Nestle's unwavering
commitment to product Nestle's dedication to innovation, quality, and
quality and nutritional value customer engagement continues to drive its
has been evident in the
success of such brands
success in the global market.
Consumer Persona and Segments
Lifestyle : In India, Nestle consumers are increasingly seeking healthier, brand-conscious, and quality-conscious food and beverage
options, with a growing preference for e-commerce shopping. For example: Acti Plus Probiotic, A+ Slim Milk, etc.
Behavior: Typically brand-loyal, Nestle consumers in India trust the company's products and often rely on advertising and social media for
purchase decisions. For example: Nescafe advertisements, Kit Kat tagline, etc
Psycho-graphics: Busy and health-conscious, Nestle consumers in India seek convenient, nutritious, and quick meal options for their
families. For example: Nescafe Instant Coffee
Competitors and Competetive Advantage
PepsiCo is an American multinational food, snack, and beverage corporation headquartered in Purchase, New
York.
PepsiCo's food and beverage brands include Pepsi, Lay's, Doritos, and Quaker Oats.
Unilever is a British-Dutch multinational consumer goods company that produces a wide range of food and
beverage products, as well as personal care and home care products.
Unilever's brands include Dove, Knorr, Lipton, and Hellmann's.
Mondelez International is an American multinational snack food and beverage company headquartered in
Deerfield, Illinois.
Mondelez International's brands include Oreo, Cadbury, and Milka.
Nestlé's competitive advantage comes from its strong brand recognition, its wide range of products, and its global reach. Nestlé is also known
for its innovation and its ability to adapt to changing consumer trends, promotional tactics and robust distribution channel.
Sales figures and forecast
The following forecast is based on the following assumptions:
Global economic growth will continue in FY 2023-24 similar to FY 2022-2023.
Nestlé will continue to innovate and launch new products that meet the needs of consumers.
Nestlé will continue to invest in marketing and advertising to promote its brands.
Source:
1. https://www.moneycontrol.com/news/business/earnings/nestle-standalone-june-2023-net-sales-at-rs-4658-53-
crore-up-15-41-y-o-y-11052531.html
2. https://www.moneycontrol.com/financials/nestleindia/results/yearly/NI
Nestle Sales (in
Year Growth %(Y-O-Y)
crores)
2022 4,036.57 14.72%
2023 4658.53 15.41%
2024 5409.02 16.11%
Strategic Marketing Plan
INNOVATION BRAND DISTRIBUTION DIGITAL
MARKETING MARKETING
Strategic Marketing Plan
To achieve its demand/sales forecast, Nestlé should focus on the following strategic marketing initiatives:
Product innovation: Invest in innovation to develop new products that meet the needs of consumers. For example,
Nestlé could develop more plant-based and sustainable food options.
Brand marketing: Continue to invest in brand marketing to promote its brands and build customer loyalty. Nestlé
could focus on marketing messages that emphasize its commitment to quality, taste, convenience, sustainability,
and social responsibility.
Distribution: It should ensure that its products are widely available to consumers. This could involve expanding its
distribution network to new markets and retail channels.
Digital marketing: It should invest in digital marketing to reach consumers where they are spending their time. This
could involve developing engaging content for social media and creating targeted ads for digital platforms.
ADVERTISING CAMPAIGNS
Q&A
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