Kendal Duncan | Pauline Lander | Hannah Lee | Nika Witczak
Nespresso. What else?
OVERVIEW OF
NESPRESSO
Nespresso
• Part of the Nestle Group
• 1986: “Anyone can be their own Barista”
• Swiss household market
• In house R&D - 39 Models
• Price Point: $200-$600
An International Reference Brand
• Coffee, Machines, Services
• Strong Customer Focus (Nespresso Club)
• Early on, desired to be the ultimate coffee experience
• Closing in on US Coffee Drinker Market
PRODUCT DESIGN
BRAND ANALYSIS
BRAND NARRATIVE
A “Love Affair” with Nespresso
• Smooth, Sensual Experience
• Flirty, Sexual, and Suspenseful ads
• European elegance available to everyone
Conflict
People wanted a luxury, quality coffee in the comfort of their home
Hero
Nespresso allows for an attainable luxury
Cater to the Customer: On call personal shoppers, Boutiques, and Cubes
BRAND MANAGERS
IDEAL
“To refined, international, coffee enthusiasts, Nespresso
provides an elevated coffee experience beyond any other cafe,
or in-home espresso machine because they use the highest
quality coffee beans, implement innovative and sophisticated
design, and supply luxurious amenities to every client,
worldwide. The rich sensation of Nespresso is unmatched;
there is elegance in every cup.”
CUSTOMER JOURNEY
Awareness Interest Intent to Buy
CUSTOMER JOURNEY
Purchase Product Post Purchase Experience
PRIMARY RESEARCH
ZMET RESULTS
Male, 23 Female, 22 Female, 21Female, 57
EXPERIENCE AUDIT
1 2 3 4
Overall: We felt a little out of place, but staff was friendly and attentive when needed.
SECONDARY RESEARCH
SECONDARY RESEARCH
CUSTOMER INSIGHTS
“I am completely ignored and the many sales people rush to the other
customers (many of whom are tourists and have no intention of buying
anything, whereas I buy a large selection of pods every time). “
“It's like the Chanel of coffees!!”
“This place really put Starbucks to shame.”
“A great store, such arrogance behind the counter.”
EMPLOYEE INSIGHTS
"Excellent pay and awesome perks
(free machine, free coffee)."
"Great staff, professional
management, great benefits."
“Difficult work life balance and too
many silos.”
"Terrible middle and upper
management."
COMPETITIVE REVIEW
COMPETITIVE REVIEW
TEAVANA
Gourmet alternative | Experience-focused
In-store personalization | Branded accessories
What Teavana Does Well:
• Encourages sampling
• Warm, welcoming aesthetic
• Seasonally decorated
• More accessible to non-loyal consumers
• Self-service option
• Change store layouts/designs
• Seasonally decorated and promoted
RECOMMENDATION
Cultural and age
differences in
Europe vs.
America
Inconsistent
customer
service
experience
Depends on
loyalty
Educate on
benefits
Recommendation
1. Standardized in-store interaction
2. Value sets for new customers
3. Expand presence
• boutiques
• target consumers “favorite” places
4. Co-branding with other luxury brands
5. Sustainability advocating
GAP ANALYSIS &
RECOMMENDATION
Thank You..
Any Questions?

Nespresso

  • 1.
    Kendal Duncan |Pauline Lander | Hannah Lee | Nika Witczak
  • 2.
  • 3.
    OVERVIEW OF NESPRESSO Nespresso • Partof the Nestle Group • 1986: “Anyone can be their own Barista” • Swiss household market • In house R&D - 39 Models • Price Point: $200-$600 An International Reference Brand • Coffee, Machines, Services • Strong Customer Focus (Nespresso Club) • Early on, desired to be the ultimate coffee experience • Closing in on US Coffee Drinker Market
  • 4.
  • 5.
  • 6.
    BRAND NARRATIVE A “LoveAffair” with Nespresso • Smooth, Sensual Experience • Flirty, Sexual, and Suspenseful ads • European elegance available to everyone Conflict People wanted a luxury, quality coffee in the comfort of their home Hero Nespresso allows for an attainable luxury Cater to the Customer: On call personal shoppers, Boutiques, and Cubes
  • 7.
    BRAND MANAGERS IDEAL “To refined,international, coffee enthusiasts, Nespresso provides an elevated coffee experience beyond any other cafe, or in-home espresso machine because they use the highest quality coffee beans, implement innovative and sophisticated design, and supply luxurious amenities to every client, worldwide. The rich sensation of Nespresso is unmatched; there is elegance in every cup.”
  • 8.
  • 9.
    CUSTOMER JOURNEY Purchase ProductPost Purchase Experience
  • 10.
  • 11.
    ZMET RESULTS Male, 23Female, 22 Female, 21Female, 57
  • 12.
    EXPERIENCE AUDIT 1 23 4 Overall: We felt a little out of place, but staff was friendly and attentive when needed.
  • 13.
  • 14.
    CUSTOMER INSIGHTS “I amcompletely ignored and the many sales people rush to the other customers (many of whom are tourists and have no intention of buying anything, whereas I buy a large selection of pods every time). “ “It's like the Chanel of coffees!!” “This place really put Starbucks to shame.” “A great store, such arrogance behind the counter.”
  • 15.
    EMPLOYEE INSIGHTS "Excellent payand awesome perks (free machine, free coffee)." "Great staff, professional management, great benefits." “Difficult work life balance and too many silos.” "Terrible middle and upper management."
  • 16.
  • 17.
    TEAVANA Gourmet alternative |Experience-focused In-store personalization | Branded accessories What Teavana Does Well: • Encourages sampling • Warm, welcoming aesthetic • Seasonally decorated • More accessible to non-loyal consumers • Self-service option • Change store layouts/designs • Seasonally decorated and promoted
  • 18.
  • 19.
    Cultural and age differencesin Europe vs. America Inconsistent customer service experience Depends on loyalty Educate on benefits Recommendation 1. Standardized in-store interaction 2. Value sets for new customers 3. Expand presence • boutiques • target consumers “favorite” places 4. Co-branding with other luxury brands 5. Sustainability advocating GAP ANALYSIS & RECOMMENDATION
  • 20.

Editor's Notes

  • #7 Where does this idea come from? Does the experience enhance the likelihood of buying?
  • #8 Map customer experience online and offline… and articulate experience through the brand narrative… where is the story transferred? Is the relationship consistent or does it play different role in different places? Journey from first hearing about it versus what they experience in store.. Control the whole supply chain to assure highest level of quality… value chain
  • #12 Danielle- she look like she need some coffee. Shes a mother on the go, she probably has a high end coffee maker in her high end kitchen Sasha- fancy, high end jewelry. When I think of Nespresso, I think of chocolate and brown. Erich- The one girl looks like she’s ready to work somewhere fancy and before work you have a cup of coffee. I guess a fancy cup of coffee. Jenny- He looks like a hunky, suave European guy and that reminds me of the Nespresso commercials.
  • #15 Does the experience enhance the likelihood of buying? What does machine placement mean for the experience? Awareness of machine being in certain places? Not just a product
  • #18 Keurig is one of their largest competitors in terms of the product, but Nespresso is a more experiential brand, similar and comparable to Nespresso
  • #20 Use competition to help inform recommendations