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10 STEP
Marketing Plan for Nescafe

     Maneka B. Malibago
       October 2011




   manekamalibago.blogspot.com   1
Summary headline of your
     PTM and market
1.   Nescafe PTM are working individuals
2.   Who needs stimulation for every new day
3.   Can choose San Mig Coffee & Jimm’s
4.   Provide quality coffee without
     compromising taste
5.   The market size is P 23 billion, Nescafe
     niche 20 billion
            manekamalibago.blogspot.com
Summary headline of the
      marketing mix & strategy

6.    Nescafe is a brand of quality instant
      coffee
7.    Priced higher than its competitors
8.    Uses prints, TV & radios, events and
      experiences
9.    Is distributed nationwide
10.   Uses niche approach to win

             manekamalibago.blogspot.com
1. Catering the working group

   20-30 years old, social class B and C,
    single and married
   Working individuals
   Drinks coffee twice a day; morning to
    awaken weary body and afternoon to
    revive spirit


         manekamalibago.blogspot.com
1. Workers pay for alertness

Through the years NESCAFE target market:
2005 ----- Spirit Seekers
2006 ----- Life Seekers
2007 ----- Ambition Flirters
2008 ----- Young Cosmopolitans
2009 To present ---------- working individuals



           manekamalibago.blogspot.com
PTM needs to belong in a
       group…
                                        Self-Actualization
                                              Needs
 I am happy when I have an             (Self-Development
                                         & Realization)
important and worthwhile job
                                       Esteem Needs
                                       (Recognition,
                                          Status)


    I want to belong              Social Needs (sense of
                                     belonging, love)



                            Safety Needs (security, protection)




                         Physiological needs (food, water, shelter)


                             Reference: Maslow’s Hierarcy of Needs Marketing Management, 11th ed, Philip Kotler

                                                                                                            6
                       manekamalibago.blogspot.com
2. Workers have unique
 needs, wants, & demands
Working individuals need to belong, to be loved, gain
 self-esteem, and achieve self-actualization.

Working individuals choose Nescafe over other brands
 of coffee because of Taste, Quality, Convenience to
 make, credibility & awareness of company, brand
 promise is keep people active through out the
 day.

Working individuals demand quality & tasty coffee
 which are convenient to make, maintain alertness
 all day.


           manekamalibago.blogspot.com
3a. Nescafe has increasing
competitors
   Direct: San Mig, Jimm’s, Café Puro,
    Kopiko, Great Taste, Kraft Maxwell
   Indirect: Teas, Softdrinks, Energy Drinks,
    Chocolates Drinks
   Variables: Quality, Price, Packaging,
    Variants/Flavors, Taste, Convenience of
    Use, Availability, Occasion of use


          manekamalibago.blogspot.com
3. NESCAFE ranks #1 with its
   various packaging and high price
                                                               as of 2011
                                                Price vs. Packaging Matrix
Packaging/     Jars           Pouch            Sachet                Sticks
   Price
  Matrix

High price
             Nescafe                                                Nescafe
                           Nescafe             Nescafe
                                                        Jimm’s
                                     San Mig        San Mig             San Mig
                                                                 Great Taste
Low Price              Great Taste             Great Taste




              manekamalibago.blogspot.com
3. NESCAFE has the same                                                                                as of 2011
  attributes with most coffee
  brands
                                               Benefit Positioning vs. Brand Matrix
                                                                                                Great
                                   Decaffei                       San Mig   San Mig    Great     Taste
                         Classic    nated     Healthy   San Mig     Pro-     Sugar-    Taste    Coffee    Jimm's
    Functional Benefit   Coffee     Coffee    Coffee    Regular    health     free    Regular     Mis
Mental Alertness
Improve Cognitive
Performance
Improve Physical
Performance
Antioxidants
Incease Metabolism
Energy Boost
Increase Immunity
Healing Management
Lower Blood Sugar
Lessen Symptoms of
Menopause &PMS
Saves money




                         manekamalibago.blogspot.com
4. NESCAFE is a brand of instant
coffee made by *NESTLE




*Nestle ranks no. 8 in the Top 1000 Corporation in the Philippines.
(business World 2010)

            manekamalibago.blogspot.com
4. The NESCAFÉ Brand

It gained Brand Loyalty thru:
                                Media Mix (TV
Brand Awareness                  commercials, radio,
                                 newspaper,
                                 sponsorship, etc.
                                  (emotional appeal)

Created Trust                   Consistent image &
                                  quality of products



             manekamalibago.blogspot.com
4. Nescafe positions strongly in
    the supply and distribution
    leverage.

Unlike its competing brands, NESCAFE is
  available almost in every corner of the
  country.
In groceries, large portion in the coffee
  section displays the different variants of
  NESCAFE.



            manekamalibago.blogspot.com
4. Prospects that will lead to
 increase in coffee demand

PROSPECTS
 longer working hours and busier lifestyles for

  Filipinos
 desire to streamline operations amongst

  foodservice establishments




          manekamalibago.blogspot.com
4. Nescafe may have to consider
  opportunities.

In the Philippines, annual coffee growth rate is at
  8%.
Opportunities:
  Inform the public product health benefits
  Tie up with companies/offices
  Take advantage of internet and different media
  that encourages new trends


           manekamalibago.blogspot.com
5a. Based on a coffee market
study, coffee market size is 20
million
   Total volume sales of coffee achieve 8%
    growth in 2010
   Instant coffee mixes continue to gain
    popularity in both off-trade & on-trade
    channels
   Instant coffee records the strongest total
    sales volume at 8% in 2010



          manekamalibago.blogspot.com
5a. Total volume sales of coffee
are expected to reach a 6%
*CAGR over the forecasted period




   *CAGR = compounded annual growth rate

       manekamalibago.blogspot.com
5a. Based on a coffee market
study, coffee market size is 20
million.
   Globally, NESCAFÉ coffee is consumed at a rate of
    about 4,600 cups every second!

2010 : Nescafe Philippines continues to dominate
  with 81% share of off-trade volume sales & 89%
  share of off-trade value sales

Its well-diversified product portfolio captured broad
   range of consumers
(from low-income Filipinos to health conscious coffee
   drinkers
           manekamalibago.blogspot.com
5b. Based on Nestle Phils. Sales
date in 2010, 22% of its sales is
from Nescafe.
Nescafe sales data for 2010:
   P 20 billion, a relatively high percentage
   attributable to Nescafe

RIG in 2010 is 8.8% while OG is 12%

The total coffee market size is P 23 Billion of
   off-trade value sales

         manekamalibago.blogspot.com
5b. NESCAFE continues to
dominate the market




      manekamalibago.blogspot.com
5b. There are only few players in
the market




      manekamalibago.blogspot.com
5c. Consumer data indicates
a size of P 36.5 billion

Filipinos consume 65,000 metric tons (MT) of
     coffee annually.

20 million of 102 million Filipinos drink an
   average of 2 cups of coffee everyday which
   costs around P2 .50 per cup

20 million X P 2.5 X 365 x 2 =P 36.5 billion

        manekamalibago.blogspot.com
5. Concluded that coffee
market is P 23 billion

Company Data = P 23 Billion

Customer Data = P 36.5 Billion




       manekamalibago.blogspot.com
6a. NESCAFE PRODUCTS




 Think globally, Act locally

       manekamalibago.blogspot.com
6a. NESCAFE Variants

Classic Coffee                    NESCAFE Flavored Mixes
NESCAFE Classic                     Choco Fudge
NESCAFE Classic First Pick          Hazelnutz
                                  Decaffeinated Coffee
Coffee Mixes                        NESCAFE Decaf

NESCAFE 3n1                         NESCAFE 3n1 Decaf
  Original
  Brown ’N Creamy
  Strong ‘N Rich
   Sweet ‘N Mild


                    manekamalibago.blogspot.com
6a. NESCAFE Variants

Healthy Coffee
                                       Premium Coffee
  NESCAFE Body Partner
                                       NESCAFE Gold
   Protect
   Fit
                                       Ready-to-Drink Coffee
   Relax
                                       NESCAFE Mocha
   Lingzhi
                                       NESCAFE Latte
 NESCAFE 3n1 Sugar Free




                   manekamalibago.blogspot.com
6a. NESCAFE own a superior
display of its products on shelf

                   San Mig Coffee




                                 Lipton Tea

                   Nescafe at
                   supermarket shelf


      manekamalibago.blogspot.com
6b. NESCAFE Coffee
   coffee's flavor is a delicate balance of characteristics, working
    together to create a perfect cup :
    Acidity, aroma and body are all components of flavor.

   The following are some of the more typical flavor
    characteristics:

    Richness: refers to body and fullness
    Complexity: the perception of multiple flavors
    Balance: the satisfying presence of all the basic taste
    characteristics where no one element overwhelms another



               manekamalibago.blogspot.com
6b. NESCAFE Products
Some products have 3x more antioxidants than green tea.
  So every cup is deliciously healthy!

Sweetened with sugar substitute and contains TEAVIGO
  that gives a guilt-free coffee experience

Soothing decaffeinated coffee mix with Chamomile

Lingzhi, also know as Ganoderma or Reishi mushrooms,
   has been revered by the Chinese for thousands of years

           manekamalibago.blogspot.com
6b. NESCAFE packages its
product in different sizes


                                           Sachet
   Jars




Doy pack /                                 Sticks
  pouch



             manekamalibago.blogspot.com
7. Coffee prices vary
according to product sizes
                              NESCAFE                                             SAN MIG COFFEE
       Size                       Item             Price         Size                     Item                       Price
15 g x5       Nescafe Banoffee Blast           Php34.50    13 g x5      San Mig Coffee 3 in 1 Pro-Fiber          Php47.50
32.5 g        Nescafe Body Partner Fit         Php41.50
                                                           13 g x5      San Mig Coffee 3 in 1 Pro-Fiber          Php48.75
70 g          Nescafe Body Partner Lingzhi     Php51.50
25 g x10      Nescafe Brown & Creamy 3 in 1    Php52.00    14 g x6      San Mig Coffee Classic Orig              Php26.50
25 g x30      Nescafe Brown & Creamy 3 in 1    Php152.75   4 g x10      San Mig Coffee Classic Orig              Php39.50
15 g x5       Nescafe Chocofudge               Php34.50    14 g x10     San Mig Coffee Extra Strong              Php46.75
25 g          Nescafe Classic                  Php17.00
50 g          Nescafe Classic                  Php56.50
                                                           14 g x6      San Mig Coffee Mild                      Php31.50
100 g pouch   Nescafe Classic                  Php69.10    14 g x10     San Mig Coffee Mild                      Php49.50
12 g x12      Nescafe Classic                  Php111.85   4 g x10      San Mig Coffee Mild Strong               Php46.75
2 g x84       Nescafe Classic                  Php153.50
                                                           13 g x6      an Mig Coffee Mild Strong                Php30.50
200 g jar     Nescafe Classic                  Php216.65
210 g         Nescafe Classic                  Php220.00   14 g x10     an Mig Coffee Orig                       Php41.00
50 g          Nescafe Classic Jar              Php55.00    12 g x10     San Mig Coffee SF Extra Strong           Php70.25
25 g pouch    Nescafe Classic Refill           Php17.60    14 g x10     San Mig Coffee Strong                    Php49.50
50 g          Nescafe Classic Stand Up Pouch   Php34.60
                                                           12 g x10     San Mig Coffee Sugar Free Extra Strong   Php73.50
2 g x84       Nescafe Classic Stick            Php144.50
2 g x20       Nescafe Decaf                    Php48.50    7 g x10      San Mig Coffee Sugar Free Mild           Php60.00
80 g pouch    Nescafe Decaf                    Php76.50    7 g x20      San Mig Coffee Sugar Free Orig           Php97.50
200 g jar     Nescafe Decaf                    Php254.50   9 g x10      San Mig Coffee Sugar Free Strong         Php60.00
14 g x10      Nescafe Decaf 3 in 1             Php64.50
15 g x5       Nescafe Hazelnutz                Php34.50
                                                           9 g x20      San Mig Coffee Sugar Free Strong         Php121.50
16.5 g x10    Nescafe Original 3 in 1          Php42.50    12 g x12     San Mig Grandeur 3 in 1 Hazelnut         Php162.50
16.5 g x36    Nescafe Original 3 in 1          Php144.50   12 g x12     San Mig Grandeur 3 in 1 Mocha            Php162.50
16.5 x36      Nescafe Original 3 in 1          Php145.00
                                                           12 g x20     San Mig Grandeur Flavor Collection       Php269.50
100 g         Nescafe Protect                  Php134.50




                              manekamalibago.blogspot.com
7. Coffee prices vary
according to product sizes
                         Great Taste                        Nescafe price ranges from
  25 g
      Size                 Item
             Great Taste Premium
                                                   Price
                                                Php15.50
                                                            P17 to P254
  25 g
  pouch      Great Taste Premium                Php16.65
  100 g
  12
             Great Taste Premium                Php61.00
                                                            San Mig Coffee price ranges
  g x12
  6 g x6
             Great Taste Premium
             Great Taste Sugar Free
                                                Php99.50
                                                Php27.50
                                                            from P30.50 to P269.70
  20
  g x36      Great Taste Trio 3 in 1 Original   Php122.50

     Size
                           Jimm's
                            Item                   Price
                                                            Great Taste price ranges
  21
  g x12      Jimms 4 in 1                       Php86.50
                                                            from P15.50 to P122.50
  21
  g x12      Jimms 5 in 1                       Php132.50
  21
  g x20      Jimms 5 in 1 Sugar Free            Php259.50
                                                            Jimm’s price ranges from
  21
  g x12      Jimms 7 in 1                       Php144.50
                                                            P86.50 to P259.50
*Prices of products were based on Pure Gold and SM Supermarkets
                     manekamalibago.blogspot.com
7. Coffee prices vary
according to product sizes

     Brand          3 n 1 SACHET         Average Price per
                    original flavor           Sachet
Jimm’s           21 g X 12 @ 86.50              4.11
NESCAFE          16.5g X 10 @ 42.50             4.25
SAN MIG          14 g X 10 @ 41.50              4.15
Great Taste      20 g X 36 @ 122.50             3.40


 •Since not all brands have the same packaging sizes, for price
 comparison purposes, average price per sachet was used.
 •Prices were based on SM grocery price.


              manekamalibago.blogspot.com
7. NESCAFE is priced 25% higher
to the least priced brand.

     Brand          3 n 1 SACHET          Average Price per
                    original flavor            Sachet
Jimm’s           21 g X 12 @ 86.50              4.11
NESCAFE          16.5g X 10 @ 42.50             4.25
SAN MIG          14 g X 10 @ 41.50              4.15
Great Taste      20 g X 36 @ 122.50             3.40

     4.25-3.40/3.40 = 25%

     *Base price is that of great taste

    Based on the data above, NESCAFE has the highest price in
    3n1/4n1 original flavor sachet.

              manekamalibago.blogspot.com
8a. NESCAFE uses TV ads,
events, and songs




     manekamalibago.blogspot.com
8a. NESCAFE invests heavily in
promotion compared to its
competitors
Billboards, newspaper, magazine, TV commercials,
   and in the internet (online games & social
   networks)

Although the leading brand for instant coffee,
   NESCAFE spends much on TV commercials
   compared to its competitor

It uses celebrities in its TV commercials from Ramon
   Bautista & Francis M, Sarah Geronimo, Parokya ni
   Edgar, Coco Martin, etc.

          manekamalibago.blogspot.com
8a. NESCAFE commercials
have emotional appeal
 2011

                      Bakit ka nagtitimpla?




        manekamalibago.blogspot.com
8a. NESCAFE commercials
have emotional appeal
Para kanina ka bumabangon?

Para sa anak. Para sa kaibigan. O sa di mo
  kakilala.Para sa bata. O sa isip bata. Para
  sa marami. Para sa sarili




        manekamalibago.blogspot.com
8a. NESCAFE commercials
have emotional appeal

Parokya ni Edgar – One moment One
  Nescafe




       manekamalibago.blogspot.com
8a. NESCAFE commercials
have emotional appeal

Bamboo Sunshine– One good day coming
  up!
            Day of Adventure




       manekamalibago.blogspot.com
8a. NESCAFE commercials
have emotional appeal

Palistuhan Challenge Francis M. vs Ramon
  Bautista (2008) – Message Nescafe will
  make a person alert!!!




        manekamalibago.blogspot.com
8b. Great Taste by Universal
Robina

 Side Lucero ---- Great Taste Coffee




       manekamalibago.blogspot.com
8b. San Mig Coffee by San Miguel
PureFoods




      manekamalibago.blogspot.com
8b. Jimm’s




    manekamalibago.blogspot.com
8b. Other forms of
NESCAFE promotion

Samples




      manekamalibago.blogspot.com
9. NESCAFE is distributed
nationwide using Nestle
distribution network
     Hypermarkets, supermarkets, sari-sari
      stores, convenience stores, offices and
      schools
     Nationwide
     Pick-up by customers
     Cash and credit transaction




         manekamalibago.blogspot.com
10. Nescafe is a niche leader

     Nescafe’s main strategy is to dominate the niche
      market of working individuals between ages 20 to
      30
     It benefits from the distribution leverage of Nestle.
     Has a relatively high price compared to its
      competitor, however because of brand loyalty it
      still dominates
     Distributed nationwide



          manekamalibago.blogspot.com
SUMMARY




manekamalibago.blogspot.com   48
Summary headline of your
     PTM and market
1.   Nescafe PTM are working individuals
2.   Who needs stimulation for every new day
3.   Can choose San Mig Coffee & Jimm’s
4.   Provide quality coffee without
     compromising taste
5.   The market size is P 23 billion, Nescafe
     niche 20 billion
            manekamalibago.blogspot.com
Summary headline of the
      marketing mix & strategy

6.    Nescafe is a brand of quality instant
      coffee
7.    Priced higher than its competitors
8.    Uses prints, TV & radios, events and
      experiences
9.    Is distributed nationwide
10.   Uses niche strategy to win

             manekamalibago.blogspot.com

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10 step marketing_plan

  • 1. 10 STEP Marketing Plan for Nescafe Maneka B. Malibago October 2011 manekamalibago.blogspot.com 1
  • 2. Summary headline of your PTM and market 1. Nescafe PTM are working individuals 2. Who needs stimulation for every new day 3. Can choose San Mig Coffee & Jimm’s 4. Provide quality coffee without compromising taste 5. The market size is P 23 billion, Nescafe niche 20 billion manekamalibago.blogspot.com
  • 3. Summary headline of the marketing mix & strategy 6. Nescafe is a brand of quality instant coffee 7. Priced higher than its competitors 8. Uses prints, TV & radios, events and experiences 9. Is distributed nationwide 10. Uses niche approach to win manekamalibago.blogspot.com
  • 4. 1. Catering the working group  20-30 years old, social class B and C, single and married  Working individuals  Drinks coffee twice a day; morning to awaken weary body and afternoon to revive spirit manekamalibago.blogspot.com
  • 5. 1. Workers pay for alertness Through the years NESCAFE target market: 2005 ----- Spirit Seekers 2006 ----- Life Seekers 2007 ----- Ambition Flirters 2008 ----- Young Cosmopolitans 2009 To present ---------- working individuals manekamalibago.blogspot.com
  • 6. PTM needs to belong in a group… Self-Actualization Needs I am happy when I have an (Self-Development & Realization) important and worthwhile job Esteem Needs (Recognition, Status) I want to belong Social Needs (sense of belonging, love) Safety Needs (security, protection) Physiological needs (food, water, shelter) Reference: Maslow’s Hierarcy of Needs Marketing Management, 11th ed, Philip Kotler 6 manekamalibago.blogspot.com
  • 7. 2. Workers have unique needs, wants, & demands Working individuals need to belong, to be loved, gain self-esteem, and achieve self-actualization. Working individuals choose Nescafe over other brands of coffee because of Taste, Quality, Convenience to make, credibility & awareness of company, brand promise is keep people active through out the day. Working individuals demand quality & tasty coffee which are convenient to make, maintain alertness all day. manekamalibago.blogspot.com
  • 8. 3a. Nescafe has increasing competitors  Direct: San Mig, Jimm’s, Café Puro, Kopiko, Great Taste, Kraft Maxwell  Indirect: Teas, Softdrinks, Energy Drinks, Chocolates Drinks  Variables: Quality, Price, Packaging, Variants/Flavors, Taste, Convenience of Use, Availability, Occasion of use manekamalibago.blogspot.com
  • 9. 3. NESCAFE ranks #1 with its various packaging and high price as of 2011 Price vs. Packaging Matrix Packaging/ Jars Pouch Sachet Sticks Price Matrix High price Nescafe Nescafe Nescafe Nescafe Jimm’s San Mig San Mig San Mig Great Taste Low Price Great Taste Great Taste manekamalibago.blogspot.com
  • 10. 3. NESCAFE has the same as of 2011 attributes with most coffee brands Benefit Positioning vs. Brand Matrix Great Decaffei San Mig San Mig Great Taste Classic nated Healthy San Mig Pro- Sugar- Taste Coffee Jimm's Functional Benefit Coffee Coffee Coffee Regular health free Regular Mis Mental Alertness Improve Cognitive Performance Improve Physical Performance Antioxidants Incease Metabolism Energy Boost Increase Immunity Healing Management Lower Blood Sugar Lessen Symptoms of Menopause &PMS Saves money manekamalibago.blogspot.com
  • 11. 4. NESCAFE is a brand of instant coffee made by *NESTLE *Nestle ranks no. 8 in the Top 1000 Corporation in the Philippines. (business World 2010) manekamalibago.blogspot.com
  • 12. 4. The NESCAFÉ Brand It gained Brand Loyalty thru: Media Mix (TV Brand Awareness commercials, radio, newspaper, sponsorship, etc. (emotional appeal) Created Trust Consistent image & quality of products manekamalibago.blogspot.com
  • 13. 4. Nescafe positions strongly in the supply and distribution leverage. Unlike its competing brands, NESCAFE is available almost in every corner of the country. In groceries, large portion in the coffee section displays the different variants of NESCAFE. manekamalibago.blogspot.com
  • 14. 4. Prospects that will lead to increase in coffee demand PROSPECTS  longer working hours and busier lifestyles for Filipinos  desire to streamline operations amongst foodservice establishments manekamalibago.blogspot.com
  • 15. 4. Nescafe may have to consider opportunities. In the Philippines, annual coffee growth rate is at 8%. Opportunities: Inform the public product health benefits Tie up with companies/offices Take advantage of internet and different media that encourages new trends manekamalibago.blogspot.com
  • 16. 5a. Based on a coffee market study, coffee market size is 20 million  Total volume sales of coffee achieve 8% growth in 2010  Instant coffee mixes continue to gain popularity in both off-trade & on-trade channels  Instant coffee records the strongest total sales volume at 8% in 2010 manekamalibago.blogspot.com
  • 17. 5a. Total volume sales of coffee are expected to reach a 6% *CAGR over the forecasted period *CAGR = compounded annual growth rate manekamalibago.blogspot.com
  • 18. 5a. Based on a coffee market study, coffee market size is 20 million.  Globally, NESCAFÉ coffee is consumed at a rate of about 4,600 cups every second! 2010 : Nescafe Philippines continues to dominate with 81% share of off-trade volume sales & 89% share of off-trade value sales Its well-diversified product portfolio captured broad range of consumers (from low-income Filipinos to health conscious coffee drinkers manekamalibago.blogspot.com
  • 19. 5b. Based on Nestle Phils. Sales date in 2010, 22% of its sales is from Nescafe. Nescafe sales data for 2010: P 20 billion, a relatively high percentage attributable to Nescafe RIG in 2010 is 8.8% while OG is 12% The total coffee market size is P 23 Billion of off-trade value sales manekamalibago.blogspot.com
  • 20. 5b. NESCAFE continues to dominate the market manekamalibago.blogspot.com
  • 21. 5b. There are only few players in the market manekamalibago.blogspot.com
  • 22. 5c. Consumer data indicates a size of P 36.5 billion Filipinos consume 65,000 metric tons (MT) of coffee annually. 20 million of 102 million Filipinos drink an average of 2 cups of coffee everyday which costs around P2 .50 per cup 20 million X P 2.5 X 365 x 2 =P 36.5 billion manekamalibago.blogspot.com
  • 23. 5. Concluded that coffee market is P 23 billion Company Data = P 23 Billion Customer Data = P 36.5 Billion manekamalibago.blogspot.com
  • 24. 6a. NESCAFE PRODUCTS Think globally, Act locally manekamalibago.blogspot.com
  • 25. 6a. NESCAFE Variants Classic Coffee NESCAFE Flavored Mixes NESCAFE Classic Choco Fudge NESCAFE Classic First Pick Hazelnutz Decaffeinated Coffee Coffee Mixes NESCAFE Decaf NESCAFE 3n1 NESCAFE 3n1 Decaf Original Brown ’N Creamy Strong ‘N Rich Sweet ‘N Mild manekamalibago.blogspot.com
  • 26. 6a. NESCAFE Variants Healthy Coffee Premium Coffee NESCAFE Body Partner NESCAFE Gold Protect Fit Ready-to-Drink Coffee Relax NESCAFE Mocha Lingzhi NESCAFE Latte NESCAFE 3n1 Sugar Free manekamalibago.blogspot.com
  • 27. 6a. NESCAFE own a superior display of its products on shelf San Mig Coffee Lipton Tea Nescafe at supermarket shelf manekamalibago.blogspot.com
  • 28. 6b. NESCAFE Coffee  coffee's flavor is a delicate balance of characteristics, working together to create a perfect cup : Acidity, aroma and body are all components of flavor.  The following are some of the more typical flavor characteristics: Richness: refers to body and fullness Complexity: the perception of multiple flavors Balance: the satisfying presence of all the basic taste characteristics where no one element overwhelms another manekamalibago.blogspot.com
  • 29. 6b. NESCAFE Products Some products have 3x more antioxidants than green tea. So every cup is deliciously healthy! Sweetened with sugar substitute and contains TEAVIGO that gives a guilt-free coffee experience Soothing decaffeinated coffee mix with Chamomile Lingzhi, also know as Ganoderma or Reishi mushrooms, has been revered by the Chinese for thousands of years manekamalibago.blogspot.com
  • 30. 6b. NESCAFE packages its product in different sizes Sachet Jars Doy pack / Sticks pouch manekamalibago.blogspot.com
  • 31. 7. Coffee prices vary according to product sizes NESCAFE SAN MIG COFFEE Size Item Price Size Item Price 15 g x5 Nescafe Banoffee Blast Php34.50 13 g x5 San Mig Coffee 3 in 1 Pro-Fiber Php47.50 32.5 g Nescafe Body Partner Fit Php41.50 13 g x5 San Mig Coffee 3 in 1 Pro-Fiber Php48.75 70 g Nescafe Body Partner Lingzhi Php51.50 25 g x10 Nescafe Brown & Creamy 3 in 1 Php52.00 14 g x6 San Mig Coffee Classic Orig Php26.50 25 g x30 Nescafe Brown & Creamy 3 in 1 Php152.75 4 g x10 San Mig Coffee Classic Orig Php39.50 15 g x5 Nescafe Chocofudge Php34.50 14 g x10 San Mig Coffee Extra Strong Php46.75 25 g Nescafe Classic Php17.00 50 g Nescafe Classic Php56.50 14 g x6 San Mig Coffee Mild Php31.50 100 g pouch Nescafe Classic Php69.10 14 g x10 San Mig Coffee Mild Php49.50 12 g x12 Nescafe Classic Php111.85 4 g x10 San Mig Coffee Mild Strong Php46.75 2 g x84 Nescafe Classic Php153.50 13 g x6 an Mig Coffee Mild Strong Php30.50 200 g jar Nescafe Classic Php216.65 210 g Nescafe Classic Php220.00 14 g x10 an Mig Coffee Orig Php41.00 50 g Nescafe Classic Jar Php55.00 12 g x10 San Mig Coffee SF Extra Strong Php70.25 25 g pouch Nescafe Classic Refill Php17.60 14 g x10 San Mig Coffee Strong Php49.50 50 g Nescafe Classic Stand Up Pouch Php34.60 12 g x10 San Mig Coffee Sugar Free Extra Strong Php73.50 2 g x84 Nescafe Classic Stick Php144.50 2 g x20 Nescafe Decaf Php48.50 7 g x10 San Mig Coffee Sugar Free Mild Php60.00 80 g pouch Nescafe Decaf Php76.50 7 g x20 San Mig Coffee Sugar Free Orig Php97.50 200 g jar Nescafe Decaf Php254.50 9 g x10 San Mig Coffee Sugar Free Strong Php60.00 14 g x10 Nescafe Decaf 3 in 1 Php64.50 15 g x5 Nescafe Hazelnutz Php34.50 9 g x20 San Mig Coffee Sugar Free Strong Php121.50 16.5 g x10 Nescafe Original 3 in 1 Php42.50 12 g x12 San Mig Grandeur 3 in 1 Hazelnut Php162.50 16.5 g x36 Nescafe Original 3 in 1 Php144.50 12 g x12 San Mig Grandeur 3 in 1 Mocha Php162.50 16.5 x36 Nescafe Original 3 in 1 Php145.00 12 g x20 San Mig Grandeur Flavor Collection Php269.50 100 g Nescafe Protect Php134.50 manekamalibago.blogspot.com
  • 32. 7. Coffee prices vary according to product sizes Great Taste Nescafe price ranges from 25 g Size Item Great Taste Premium Price Php15.50 P17 to P254 25 g pouch Great Taste Premium Php16.65 100 g 12 Great Taste Premium Php61.00 San Mig Coffee price ranges g x12 6 g x6 Great Taste Premium Great Taste Sugar Free Php99.50 Php27.50 from P30.50 to P269.70 20 g x36 Great Taste Trio 3 in 1 Original Php122.50 Size Jimm's Item Price Great Taste price ranges 21 g x12 Jimms 4 in 1 Php86.50 from P15.50 to P122.50 21 g x12 Jimms 5 in 1 Php132.50 21 g x20 Jimms 5 in 1 Sugar Free Php259.50 Jimm’s price ranges from 21 g x12 Jimms 7 in 1 Php144.50 P86.50 to P259.50 *Prices of products were based on Pure Gold and SM Supermarkets manekamalibago.blogspot.com
  • 33. 7. Coffee prices vary according to product sizes Brand 3 n 1 SACHET Average Price per original flavor Sachet Jimm’s 21 g X 12 @ 86.50 4.11 NESCAFE 16.5g X 10 @ 42.50 4.25 SAN MIG 14 g X 10 @ 41.50 4.15 Great Taste 20 g X 36 @ 122.50 3.40 •Since not all brands have the same packaging sizes, for price comparison purposes, average price per sachet was used. •Prices were based on SM grocery price. manekamalibago.blogspot.com
  • 34. 7. NESCAFE is priced 25% higher to the least priced brand. Brand 3 n 1 SACHET Average Price per original flavor Sachet Jimm’s 21 g X 12 @ 86.50 4.11 NESCAFE 16.5g X 10 @ 42.50 4.25 SAN MIG 14 g X 10 @ 41.50 4.15 Great Taste 20 g X 36 @ 122.50 3.40 4.25-3.40/3.40 = 25% *Base price is that of great taste Based on the data above, NESCAFE has the highest price in 3n1/4n1 original flavor sachet. manekamalibago.blogspot.com
  • 35. 8a. NESCAFE uses TV ads, events, and songs manekamalibago.blogspot.com
  • 36. 8a. NESCAFE invests heavily in promotion compared to its competitors Billboards, newspaper, magazine, TV commercials, and in the internet (online games & social networks) Although the leading brand for instant coffee, NESCAFE spends much on TV commercials compared to its competitor It uses celebrities in its TV commercials from Ramon Bautista & Francis M, Sarah Geronimo, Parokya ni Edgar, Coco Martin, etc. manekamalibago.blogspot.com
  • 37. 8a. NESCAFE commercials have emotional appeal 2011 Bakit ka nagtitimpla? manekamalibago.blogspot.com
  • 38. 8a. NESCAFE commercials have emotional appeal Para kanina ka bumabangon? Para sa anak. Para sa kaibigan. O sa di mo kakilala.Para sa bata. O sa isip bata. Para sa marami. Para sa sarili manekamalibago.blogspot.com
  • 39. 8a. NESCAFE commercials have emotional appeal Parokya ni Edgar – One moment One Nescafe manekamalibago.blogspot.com
  • 40. 8a. NESCAFE commercials have emotional appeal Bamboo Sunshine– One good day coming up! Day of Adventure manekamalibago.blogspot.com
  • 41. 8a. NESCAFE commercials have emotional appeal Palistuhan Challenge Francis M. vs Ramon Bautista (2008) – Message Nescafe will make a person alert!!! manekamalibago.blogspot.com
  • 42. 8b. Great Taste by Universal Robina Side Lucero ---- Great Taste Coffee manekamalibago.blogspot.com
  • 43. 8b. San Mig Coffee by San Miguel PureFoods manekamalibago.blogspot.com
  • 44. 8b. Jimm’s manekamalibago.blogspot.com
  • 45. 8b. Other forms of NESCAFE promotion Samples manekamalibago.blogspot.com
  • 46. 9. NESCAFE is distributed nationwide using Nestle distribution network  Hypermarkets, supermarkets, sari-sari stores, convenience stores, offices and schools  Nationwide  Pick-up by customers  Cash and credit transaction manekamalibago.blogspot.com
  • 47. 10. Nescafe is a niche leader  Nescafe’s main strategy is to dominate the niche market of working individuals between ages 20 to 30  It benefits from the distribution leverage of Nestle.  Has a relatively high price compared to its competitor, however because of brand loyalty it still dominates  Distributed nationwide manekamalibago.blogspot.com
  • 49. Summary headline of your PTM and market 1. Nescafe PTM are working individuals 2. Who needs stimulation for every new day 3. Can choose San Mig Coffee & Jimm’s 4. Provide quality coffee without compromising taste 5. The market size is P 23 billion, Nescafe niche 20 billion manekamalibago.blogspot.com
  • 50. Summary headline of the marketing mix & strategy 6. Nescafe is a brand of quality instant coffee 7. Priced higher than its competitors 8. Uses prints, TV & radios, events and experiences 9. Is distributed nationwide 10. Uses niche strategy to win manekamalibago.blogspot.com