CAP TASK 2

A) Map out the Company-Category-Brand portfolio for the chosen company 1

B) 3 favourite brands from the company, and why 1.5
C) Why would you like to join that company 1
D) CSR initiatives taken by the company 1
E) STP 4P analysis for 3 brands from the chosen company 1.5
F) Company vision basis most recent top leadership interviews (Chairman, MD, CEO etc.)

Nestle India
A)
Category-Brand Portfolio
Beverages

• Nescafe
• Nestea
Chocolates and Confectionary

• Barboun
• Kit-Kat
• Milky Bar
• Munch
• Barone
• Alpino
• Polo
Breakfast Cereals

• Nesplus
Prepared Dishes and Cooking Aids

• Maggi
Milk products and Nutrition

• Everyday
• Milo
B)
NesCafe - It is because of the variety in the coffee segment that the Nestle has come up with
and the vibrancy and freshness that they put forward as their value proposition. It relates to
me as I believe in uniqueness of everyone.

KitKat - Due to its appeal to youthfulness and someone who believes that breaks are
important in hectic life as conveyed by its tagline-“Have a Break”. Being young always is what
appeals to me.

Maggi- Due to its readily availability and healthy stance as conveyed through its value
proposition. I give importance to health and anything that saves time and easily is a preferred
product for me.

C)
Nestle has been on the forefront of companies in food and beverages industries with products
ranging from chocolates and instant noodles to baby products. It has been the pioneer in
innovations in the sector has an enormous brand recall for its brands. Working in the company
will provide diverse exposure in the sector in terms of geographical presence, customer
segments, market research, marketing strategies refined over the years, huge customer
behaviour data, state of art production facilities and extensive network of distributors and
suppliers. Besides flexible working hours and supportive culture of nestle will give impetus to
my career progression as well along with the experience.

D)

CSR Initiatives

1.Nestle India in collaboration with Food and Drugs Administration (FDA), Maharashtra and
NASVI launched Project Serve Safe Food, a program that will provide training to street food
vendors in Maharashtra through a mobile van on important and critical issues such as health.
Hygiene, safe food handling, waste disposal and entrepreneurship with the support of the
FDA Maharashtra. Along with food security, the goal is to help improve the livelihoods of
street food vendors throughout the state.

2. Nestle India, in collaboration with the government of Rajasthan, has installed drinking
water facilities in Badnagar where 12 water purification units have been opened in 12 villages
from 2017, as part of the Nestlé India clean drinking water project in the main health centres
of rural Rajasthan.
3.Nestle India and NASVI have organized training courses for 500 street food vendors in New
Delhi for raising awareness about the food quality and safety.

E)
1. NesCafe
Product
NESCAFE‘s primary target market are coffee drinkers, specifically those whom are looking for
a quick solution to quality coffee. People that want to enjoy their coffee without any
hassle/ready in a jiffy, all in the comfort of their own home.
USP- Instant pure coffee with distinctive taste and rewarding experience
Nescafe caters to the taste buds of each and every coffee lover. Nescafe introduced various
types of coffee, which is their product mix strategy. Taste preferences and demographic
needs of customers are also kept into consideration. The company provides various blends
like Nescafe Original Blend, Gold Blend, Gold Blend Decafe, etc. The Cappuccino has various
flavours like unsweetened, Decaffeinated etc. There are espresso, green blend, Latte, Latte
with various blends, Vanilla, Mocha, Irish Cream, etc.
Price
Different Nescafe brands come with different prices depending on cost inputs. Nescafe has
considered economic pricing by mass producing in order to reduce the price and increase
affordability in India. Being one of the premium brands it enjoys a high brand value and
acceptability at a comparatively high cost than its competitors like Bru etc.

Promotion
Advertising
Nestle has mainly used persuasive advertising, with an emotional aspect, to make the brand
a success. Nestle runs a number of advertisements and TV commercials with Deepika
Padukon as brand ambassador, and Karan Johar.
Place
Nestle company follows the following two channels which are mix of direct and indirect
channel of distribution.
Manufacturing→ Agent→Distributors→Retailers
Manufacturing→Bulk buyers→Consumers
Nestle enjoys a stronger distribution and sales network and frequently offers bulk buyers
trade discounts to maintain the sales at high. It offers generous discounts to its distributors.
The company also uses other famous products like Maggi and KitKat to push sales. Example,
when a merchant purchases one product, he might get a discount for purchasing an
additional product. This is intensive distribution as due competition from other brands Nestle
wants its products to be widely available so that chances of being chosen over other brands
increases in case of not so selective buyers.

KitKat
KitKat target group:

• Across all ages mainly from 5-25,

• Mainly focusing on teens, and college going students

Product
Regardless of the effectiveness of the promotion and packaging, a company will find it very
difficult to market a product that does not meet the needs of a consumer. Kit Kat owes much
of its success to a unique double attraction: like a four-finger chocolate bar (known in the
confectionery sector as a counting line), which is sold in corner shops and kiosks, but also as
a cookie two-finger sold in supermarkets. . It is a product that has survived thanks to its wide
appeal in all age groups and for both sexes. KITKAT is sold in bars of 11g, 17g and 35g.KITKAT
Chunky is available in the 46 g bar.
For Kit Kat, these intrinsic elements of the product include:
• Chocolate fingers
• Aluminum foil and band coating, which ios unique in the line and sight market as an
important feature that encourages consumer participation and exchange.
Pricing
A key advantage in maintaining a strong brand image in a competitive market is a degree of
flexibility in pricing strategy. A common feature of imperfectly competitive markets is that
manufacturers focus on non-price competition. Looking at Kit Kat's pricing strategy, the data
shows that the real price has remained remarkably stable in recent years. And it starts only
from RS 5.
Placing strategy:
Nestlé has developed distribution channels that guarantee the availability of Kit Kat to buy
where and when the consumer wants to buy it. Candy sales depend largely on their availability
and market studies show that over 60 of all purchases are made on impulse. As a result, Nestlé
seeks to provide as many retail outlets as possible, both through wholesale and retail
channels.
Point-of-sale marketing is also important when consumers make quick and immediate
decisions on a wide range of products in sight. The immediately recognizable packaging also
helps tempt customers.

Promotional strategy:
Nestlé has used a wide range of promotional tactics with Kit Kat. The promotional offers
included free bars in multi-bar family packages and an instant win agreement with Mc Donald.
This promotional strategy has left a big impact on consumers because many of them have
never tried the kat kit and, thanks to this strategy, the company has won many customers. Kit
Kat's advertising is focused on the following medium:
• Television commercials
• Posters and billboards where the powerful colors of the pack and product are used to
dramatize the message.
• Magazines & Newspapers.

F) Vision of Company in India

Nestle has invested $500 million, due to the trust and confidence it has in the potential of the
country. It is going to open R&D centre which will drive innovation linked to local dimensions
and local raw materials. India is the market leader in experience and business. And, therefore,
Nestlé will adopt the concept called PPP, or correctly positioned products, which will have
engineering and all the elements of the marketing mix, such as product distribution and
communication around an offer for a part of the company, ie the new middle class or the
emerging consumer. Indian consumers have traditional needs, specific purchasing patterns
and they can be connected with in another type of language.

CEO Interview
Nestle will maintain price points significantly in India because of daily buying behaviour of
Indian customer. Nestlé’s research and development will increase this (PPP). Not only in India,
but throughout the region.
Nestle has a large product portfolio and it believes that Maggi is very important here. But it
has Nescafe, it has milk. It is expanding milk intake in this country. It has been connected to
the moga milk district in Punjab, but Nestle is also looking for milk in the south. It has drinks
and a line of sweets. Dairy products are very, very Indian, like Munch, a chocolate-coated
biscuit that actually extends to many countries.
There are many platforms on which Nestle is building its presence. Now Nestle has eight
factories, two or three are multi-category factories. Eight factories for this continent are in
India. Thus Nestle see a promising future in India with growth of GDP and rural upliftment.