Nestle Italy Study Analysis Essay

Words: 940
Pages: 4

Nestle Case Study Analysis: 1. What is the structure of the Italian coffee market?  About 750 national or regional coffee rosters, and coffee roster coffee-houses. They bought coffee directly from growers or through agents or importers.  National Coffee Roasters normally bought beans from growers and sold their products to wholesalers on cash and carry basis; food channels such as supermarket, small stores or street vendors, coffee houses, restaurants, hotels, and coin operated machines  Regional Coffee Roasters bought beans from importers or agents and sold their products to end-consumers through food channels  Local Coffee Roasters bought beans from importers and sold to …show more content…
44% of people had tried Nescafe in 1988, which was 10% higher than 10 years ago. Users who rated themselves heavy users increased 7% from 10 years ago.

3. How do Italian consumers buy coffee?  Italian consumers bought coffee from  Food Channels: supermarkets, small stores, and street vendors.  Coffee houses, restaurants, hotels, and vending machines.  Coffee roster coffee-house.  By 1988, 4 million Italian households made coffee at home with espresso machines.  People believed that the coffee made in coffee house was better than that made at home. Why do they buy Nescafe?  Nescafe was easier to prepare than normal coffee.  Nescafe has less caffeine than normal coffee.  They like Nescafe’s less aggressive image.

4. What strategic options could grow the Nescafe brand in Italy?  Focus on older consumers.  Extend product line to milk modifier to fit in the healthy trends.  Target younger generation and position Nescafe as an international coffee beverage.  Make more marketing efforts on CHR segment.

5. Nescafe is positioned as a new