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Nescafe Integrated Marketing Communication Plan
1.
2. Instant coffee market is only Rs. 300 crores
Penetration: Coffee – 15%; Tea – 96%
Branded Coffee sector – Rs. 2000 crore.
Instant Coffee sector, - Rs. 300 crore
90% of coffee consumption is by three states of
Southern India.
Market Share in terms of volume
Nescafe – 51.9% to 47.9%
Bru – 47.9% to 51.1%
INDIAN
COFFEE
MARKET
EXPORT MARKET
MAIN STREAM
COFFEE
DIFFERENTIATED
COFFEE
DOMESTIC
MARKET
HOME
CONSUMPTION
FILTER
COFFEE
INSTANT
COFFEE
OUT OF HOME
CONSUMPTION
RESTAURANTS,
TEA STALLS,
CANTEENS ETC.
COFFEE BARS/
CAFES
Role and success factors of coffee:
- Image change towards a youthful and trendy beverage
- Growth of coffee category in visibility, interest and popularity
- India’s development as an emerging country with higher incomes
- Increased urbanization
In domestic consumption, 80% of coffee is consumed at home, out of which
35% is filter coffee and 65% is instant coffee.
3. Nescafe has been a very salient brand but limited by the small
category size
Owned by Swiss food processing unit Nestle
Nescafe as a brand was launched in the 1930s
Came into India in 1963
Revenue:
Nestle India revenue in 2012 : 8.3 Billion
Nescafe : 13% contribution
Nescafe faulted on its India strategy with the country
contributing 1.5% to global sales specially during times when
coffee consumption is on the rise in India
Current tagline: “Switch on your mornings”
“Switch on the best in you”
TVC:
Morning band TVC with Deepika , purab and Shankar
Ehsaan Loy reinventing the paparappa pa ra ra jingle
Presenting sponsor for Koffee with Karan
Google+: Valentine’s day campaign with Deepika on Google
Hangout asking her questions about her previous dates ,
coffee dates and coffee specific questions
Events: On going event sponsorships at college fests running
campaigns around jingle creation
.
History that worked well for them: 1999: Taste that gets you
started
As the company experts quote -
“We basically focused on driving the mass market (in India), and we really ignored a little bit the emerging affluent segment”
Distressed distributors, low returns on investment and no visibility on new launches
Lack of innovation as Nestle’s biggest problem
4. Past Campaigns
Past campaigns:
Know your neighbour
Using Karan Johar,Deepika Padukone, Vir Das and Purab Kohli
Effective insight:
Fresh and well ideated campaign with well liked advertisements
Led to volume jump though coupled with price increase
Downside: Failed to stay in the mind of the consumers at the point
of purchase
Positioning : Something Special in our
everyday moments
5. High engagement on Social Media
Facebook page: 1,52,26,512 likes with 2,80,142 people
talking about it
“So irresistible “
“Switch on your mornings campaign”
High engagement rate
Presence of a lot of fake fans
No emotional connect with the brand in terms of
engagement
Lack of content that holds “Share value”
Lack on campaigns infusing people to participate
Spammy: Too many posts around “like it , hit it , tag
your friends”
Contest : They asked users to share the link of their
jingle and tag friends with luck deciding the winner.
6. Contests on Social Media to engage with users
Current Content
Our target :
• Targetting Influencers
• Targetting people already talking about our product , related emotions
7. Bru a strong competitor
Even though Nescafe was the first one to enter the instant coffee market and had been a market leader for decades, HUL’s Bru has grown onto
become its single biggest competitor in the recent past.
Tata Coffee, though a very late entrant in this market, is also making strides.
Analysis of Nescafe’s biggest competitor – BRU
Seen as strong alternative to filter coffee
Adapted well to consumer lifestyles
Created lifestyle associations by linking brand, category and consumer habits
Strong presence in Southern India, where consumption of coffee is higher
Coffee powder available in a lot of variants and price is marginally cheaper than Nescafe
Influential television campaigns with Shahid Kapoor and Priyanka Chopra in the past.
Current brand ambassadors are Imran Khan and Anushka Sharma.
Bru has recently opened Bru World Café’s in Mumbai as an entry into coffee retailing.
Brand Challenges
Losing brand loyalty to Bru
Gaining new potential customers
Recall value
Volume Growth
Market share despite premium pricing in their segment
Reviving the long lost glory of the Brand
Target Market
Our TG comprises of teenagers and college goers (16-24 years), who have newly
acquired the taste of coffee and consume around 2 glasses of cold coffee each day.
Adults i.e. Our already existing customers, the aim is to promote brand loyalty amongst
them.
The avid coffee drinkers or coffee lovers.
The office goers or the corporates who have less time in hand and work under
stressful environments .
MBA students or the late nighters who stay up at odd hours in the night
People who do not wish indulge in the time consuming process of making coffee and
rely on easy options such as an instant mix.
9. Big Campaign Idea
#NescafeMoments
Get stories from users on social forums
to talk about their coffee memories -
how they won their first coffee date or
how they cracked an interview over a
coffee conversation or how they bonded
with their better half over a good cup of
morning coffee or how they bonded with
their best friends over long gossip
sessions with coffee.
10. Big Campaign Idea
#NescafeMoments
“Aditi was stuck on “we are just good friends”.
School never gave us an opportunity to have
a conversation in isolation .
One day she missed her bus and we went to
nearby Nescafe store to share a cup of coffee
and that was the beginning of a trail of
conversations .
Its been decade that we’ve been together but
the memory of 9th September still remains
intact”
11. Big Campaign Idea
#NescafeMoments
“I was preparing for CAT with
three of my friends and we used
to spend nights solving mocks.
We used to get up in the morning
and rush to our IT hub for our
daily jobs.
The Nescafe dispenser at work
was the only thing that kept the
same moments of randomness
alive each morning.”
12. Nationwide Event
Nescafe Basement
To promote young musical talent.
Central theme of ‘My Nescafe Moments’ and ‘Nescafe Basement’.
Auditions would take place in major metros (Delhi, Mumbai,
Bangalore, Chennai, Kolkata) where we would pick 20 young and
talented students having passion for music.
Auditions form would have a ‘My Musical Nescafe Moment’ section
keeping in mind our central theme. Top 20 people selected would be
mentored by Shankar-Ehsaan-Loy, keeping in mind their association
with them.
We plan to launch this show on Channel V to go with the youth-oriented
image of the show.
Also, we plan potential tie-ups with a radio station to promote the
budding artists and the show.
13. Social Media – Leverage #Nescafemoments
Reward:
Nescafe wants to make a day special for the best entries
that we receive from “My Nescafe moments”
The idea is to bring back the nostalgia in the form of
something tangible for someone you love.
All of the entries received will later be compiled in the form
of a coffee table book under the tag My Nescafe Memories
that would be sent across to the winners and chosen
contributors from the Brand’s end
Facebook:
The stories collected from our influencers will be used to invite
entries across social forums.5 of the best entries of every day
would make it as pictures with the content on it for the next
day.
Twitter: The twitter campaign will be similar to the Facebook
one centered around #nescafemoments .
Instagram: In the age of #instamoments we would invite
entries about #nescafememories via hashtags on Instagram ,
the best selected pictures out of the hashtags will later find
space in that week’s Nescafe Basement . The show would
have a marquee of these pictures during the first and the last
10 minutes.
14. Appendix
Creative Brief
Why are we advertising?
We are advertising to create recall value for our brand while making the purchase. The purpose is for the consumer to remember the
emotion attached with our communication while buying coffee powder or taking a cup of coffee at home, work or elsewhere. Currently the
brand is suffering volume growth against its competitor Bru and with Tata coffee entering the league; their challenge is expected to increase.
Our goal is to increase our
Engagement and Brand Interaction
Sales
Who are we talking to (and what do we know about them)?
We are talking to young coffee drinkers (teenagers and young adults) because this is more of a habitual thing and our brand objective is to
capture their taste buds at the earliest to ensure brand loyalty. Also we are talking to young people working in corporates who go for regular
coffee breaks. This segment is the right TG for instant coffee as they are packed with time and look for easy solutions in the morning.
Traits visible that match our brand personality:
Conversational in nature
Look for variations in taste / products and advertising
Cold coffee drinkers
Get habitual of coffee over a period of time and look for cool hangout zones to share that cup of coffee
Look for easy solutions
A major chunk of our TG is shifting the trend towards working at night
15. Appendix
Creative Brief
What do we want them to think or do?
Our purpose is create that nostalgia in the mind of the viewers and contributors to build on the campaign “My Nescafe Moments”.
Main message is for a kirana store; Nescafe store; a Nescafe vending machine or us to sustain this emotion in the mind of the viewers when
they go and make a purchase at a departmental store. The happiness associated with a coffee moment; the love or bond that we share with
a friend, a lover or a family member remains to be our focus.
The implicit purpose is for them to share their moment via Social Media Platforms and increase engagement
What should the advertising say?
The advertising needs to put forth the concept of the “My Nescafe Moments” campaign. It should focus on happy, emotional moments linked
with a cup of coffee that people have experienced in real time. This linkage and the nostalgia associated with it should help people in
experiencing positive emotions when they have a Nescafe cup of coffee.
Why should anyone believe it?
The concept of this campaign is based on real life people sharing real life moments. People can connect in a much more effective manner
when they see people from similar walks of life talking about their happy moments. The connect with these advertisements would be more
than a celebrity endorsement as it would be more relatable.
What is the desired tone and manner of the advertising?
The desired tone and manner of the advertising will focus on appealing to the positive emotions of the target audience.
and conversations about the brand.
Hinweis der Redaktion
Nestle has posted single-digit volume growth for five consecutive quarters now, after consistently clocking more than 20 per cent growth till just three years ago.
TVC: You remember Deepika and the other two endorsing the brand but you do not relate it to your coffee purchase. An effective campaign like Tata Tea Jaago Re and Cadbury’s Shubh Aarambh was able to evoke that brand connection.
Previously the Karan Johar campaign used by them depicted usage of the product in three different forms , Mocha , latte and Cappuchino which was an innovative and effective take on the existing café’s surrounding the market. It pitched the idea of variations in coffee making in the mind of the consumers and the fact that fancy coffee tags can easily be prepared at home. For instance, it shows that Latte is your general coffee preparation at home, Mocha is merely adding some chocolate powder to it and so on. The tagline: One Nescafe, Many Coffees tops it up nicely
But like Nescafe Café’s these are very small in number and doesn’t compare with coffee retailing giants in Café Coffee Day, Barista Lavazza etc. as of now
The focus is to attract new customers, to increase our already existing base. For this our TG comprises of teenagers and college goers (16-24 years), who have newly acquired the taste of coffee and consume around 2 glasses of cold coffee each day.
The focus is to attract new customers, to increase our already existing base. For this our TG comprises of teenagers and college goers (16-24 years), who have newly acquired the taste of coffee and consume around 2 glasses of cold coffee each day.
The focus is to attract new customers, to increase our already existing base. For this our TG comprises of teenagers and college goers (16-24 years), who have newly acquired the taste of coffee and consume around 2 glasses of cold coffee each day.