Nescafé is able to capture and grab the
market share of different markets which should be associated with the current agencies in
order to create offerings using both global and local perspectives. However, their promotional
strategy should not completely be diverted towards the coffee drinkers of future and should
carry out activities for adults and old-age consumers as well. Nescafé could more focus on
more specific target groups such as young people. Advertisements have most importance but
should be appropriate compared to the cultural factor of each country. Creativity is important
in advertising; it is strength and stands out from the clutter and has an emotional appeal rather
than reason.
Facing the threat of substitute products such as fresh coffee especially capsule and pad
machines, Nescafé has to react improving their product and should underline the advantages
of instant coffee.
The idea of creating service with franchising stores selling instant coffee based drinks sounds
very good. And as innovative as it happened in Greece, with the “Frappe Nescafé”, which
changed the way people enjoy coffee, the company can come up with something completely
new, which can drive Nescafé to another direction, maintain its brand leadership and success.
But Nescafé should focus on its core products. As we see, Nescafé’s product line is
enormous. The customers as well as the company might lose the overview and rather release
new flavors instead of develop the established ones.