Nescafe and Bru are two major coffee brands in India. Nescafe leads the instant coffee market with a 55.3% market share. It has a wide range of instant coffee products. Bru is a filter coffee brand that is the market leader in that segment, with a market share 3 times larger than Nescafe's share of the instant coffee market. Both companies utilize various marketing strategies like promotions, pricing, and distribution channels to grow their business.

1. PRESENTATION BY: ANIKA 06 SHRUTI 59 SONIA 60 TARVINDER 64 PRESENTATION BY: ANKIT 08 MAUSAM 32 MEGHNA 34 VIKAS 67 CORPORATE HEAD: ANSHUL JAIN 09

2. NESTLE Nestle had setup its first plant in 1961in MOGA (PUNJAB) The company is acknowledged as one of the leading companies in the FMCG sector with “ Top rated wealth creators of India” It is progressively evolving into food,beverage,nutriton,health, wellness and touching lives of people. Nestle India has strong brands like Maggi, Nescafe, Cerelac, Lactogen, kit Kat polo, Milo and Polo. It has set up “café nescafe” and “coffee corners” in mini metros. Nestle is leveraging the vast consumer base in India. There has been continuous focus on values.

3. NESCAFE In Hebrew, the word ‘NES” means MIRACLE & ‘CAFÉ’ means COFFEE So, together it’s a miracle with coffee. Nescafe leads the market of instant coffee with Rs.361 crore. Nescafe believes in innovation, improvement, thrust on value for money. The company’s beverage products generate 22% of the company’s total revenue. Nescafe has pushed into more diverse media. Global Coffee market is segregated into three segments : Instant coffee roast and ground coffee chicory

4. Marketing strategies Nescafe FMCG giants wants to be a “preferred client”. Strike a balance between tapping into local knowledge of markets and disseminating global practice. Communication efforts are directed effectively and with maximum return on investment. To work with the limited number of agencies so that they really know the business. Encourage its agencies and employees by making changes in remuneration. Nescafe has even in the past, resorted to low-key market penetration strategies.

5. Distribution channel Mc cann and publicis mojo is the lead global agency of Nescafe. 2. Products are sold throughout India and also are exported to russia,hungary and several other countries. 3. Visibility and availability of product had been supported by smaller stock keeping units.

6. NESCAFÉ coffee mate 3 in 1- 50g, 100g, 200g NESCAFÉ Blend 43 - 50g, 100g, 150g, 250g, 300g, 500g, 1kg NESCAFÉ Espresso - 50g, 150g, 250g, 300g NESCAFÉ Cafe Menu Frothy Coffee - Box of 10 sachets (Caramel & Vanilla, Mocha & Latte, Cappuccino, Hazelnut & Cinnamon) NESCAFÉ Cafe Menu Iced Frappe - Box of 10 sachets (Latte, Mocha, Caramel) Nescafe instant coffee classic Best Product: instant coffee Nescafe has a wide range of products (Espresso, Cappuccino, frappe etc.) Nescafe launched a new product -Nescafe 3in1 which is a blend of coffee, dairy creamer & sugar. Product

7. Place Available: Nescafe coffee corners, Nestle consumption zone, vending machines - in offices, colleges , Departmental stores and places where footfalls are higher. Nescafe 3in1a milder version of coffee was firstly launched in Delhi and now being introduced to northern and western markets also.

8. Price Promotion Nescafe is playing a price game in coffee Weight: price: classic 300gms Rs.315 200gms Rs.230 50gms(mostly consumed) Rs.65 13gms Rs.10 sunrise 50 gm Rs.33.50 choco café 50gms Rs.19 Nescafe has been doing 360 degree promotional activities like Crm, pop, vending machine network etc. The top companies markets spend 40% of their budget on TV

9. SWOT S W O T Great leap forward in Media,Crm,Pop. Domination in instant coffee market by 55.3% share Sustained improvement in customer service levels. Agencies, spent all their time fighting each other. Adopted a pricing strategy higher than competitors Nescafe sunrise has no distinct identity Amalgamated Bean Coffee Trading Company coming up with R&G coffee chains India’s growing market non-traditional coffee distribution channels by Rs.1900 crore. Non-trading retailing coffee channel by the sale of Rs.600 crore.

10. Hindustan uni lever HUL formed in 1933 and earlier known as lever brothers India ltd. HUL’s distribution network is recognized as one of its key strength. HUL mission is to “ add vitality to life” It touch consumers with three way convergence- Product availability Brand communication High level of brand experience

11. BRU the coffee brand from the HUL stable and was launched in 1969 . Bru green label, the largest brand in filter coffee gives you original taste of filter coffee. The patrons of this 40 yrs old brand would say its “the aroma to come home". It gives the real taste of coffee. Growth through power brands – bru is one of them. At forefront it has innovated instant coffee category- coffee chicory blends, refill packaging , vending operations and low price unit packs etc. Introduction “ Happiness begins with Bru”

12. PRODUCT PLACE Varieties of coffee: Bru frothy coffee, bru iced frappe, bru instant coffee and bru Malabar roast and ground coffee. HUL has just came up with a premium brand of R&G coffee, Bru Malabar (Blend of 90% coffee & 10% chicory). Bru is available in leading general stores, & in any HUL’s exclusive Shoppe etc. The roasted & ground coffee is mostly consumed in southern India hence BRU has a big market over there. Bru Malabar is also targeting southern market, Tamilnadu & Karnataka

13. PRICE PROMOTION Price leaders being low cost products. BRU malabar200gms is available for Rs.38 which is Rs.9 less than its own brand green label. Instant coffee: Weight Price promotion by the mean of live holdings . Print media, electronic media, internet & many other promotional activities like kiosk, free samples in shopping malls & public places.

14. S W O T SWOT Bru is a Leader of filter coffee whose market share is 3 times over the instant coffee market . Lower prices offered of the product than Nescafe . Strong distribution channel being a product of HUL Despite of capturing 2.6% market share of Nescafe in R&G coffee sector bru is still the no 2. Coffee outlets and vending machines are missing from the market unlike Nescafe. Less number or variety of products The market of roasted and ground coffee is for Rs.511 crore so bru can still do a lot with this market . Now HLL is HUL hence bru can expand globally In this competitive era bru reduced its prices to an extend which might reduce its profits as well.

15. COMPARITIVE ANALYSIS