Project On Sales Promotion of Nestle (FMCG Company) .: by Professor. Dibyendu Chottoraj Complied By: SIMA CHOPRA

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PROJECT ON SALES PROMOTION OF NESTLE (FMCG

COMPANY).

By PROFESSOR. DIBYENDU CHOTTORAJ

Complied by: SIMA CHOPRA

BBA-3B

Roll: 94
INTRODUCTION

 The company was founded in1866 by Henri Nestle in Vevey, Switzerland,


where their headquarters are still located today.
 They employ around 2,80,000 people and have factories or operations in
almost every country in the world.
 Nestle is the world’s leading Nutrition, Health and Wellness company.
 Their mission of “Good Food, Good Life” is to provide consumers with the
best tasting, most nutritious choice in a wide range of food and beverages
categories and eating occasions, from morning to night.
 Nestle relationship with India dates back to 1912, when it began trading as
The Nestle Anglo-Swiss condensed Milk Company (Export) Limited,
importing and selling finished products in the Indian market.
 Nestle set up its first factory in 1961 at Moga, Punjab, where the
Government wanted Nestle to develop the Milk economy.
 Nestle has been a partner in India’s growth for over a century now and has
built a very special relationship of trust and commitment with the people of
India.
 Nestle India manufactures products of truly international quality under
internationally famous brand names such as NESCAFE, MAGGI,
MILKYBAR, KIT KAT, BAR-ONE, MILKMAID AND NESTEA and in
recent years the Company has also introduced products of daily consumption
and use such as NESTLE Milk, NESTLE SLIM Milk, NESTLE Dahi and
NESTLE Jeera Raita.
MARKETING MIX OF NESTLE-4P’s

PRODUCTS- Beverages, Milk & Milk products, Prepared dishes and cooking
aides, Chocolates.

PRICE- The price is dependent on the market of each individual product. The
strength of pricing for Nestle comes from its packaging or consumption based
pricing.

PLACE- Nestle follows the FMCG strategy of distribution which involves


breaking the bulk. The Nestle channel is known to be strong with a good marketing
and sales network for channel distribution.

PROMOTIONS

 One of the most widely known tunes is the Nescafe tune. It was one of the
best advertising campaigns and was launched at least 2 decades back.
However, that campaign brought Nescafe strongly in the market.
 Nestlé’s brand was pushed by the excellent product quality of Maggi and the
witty and innovative campaign of Maggi.
 Where Nescafe focuses on value and the good things in life, Maggi focuses
on moments you had with your Maggi. The recent campaign was completely
focused on your Maggi story, where people had to come out with various
innovative ways that they had their Maggi.
 Promotion for other products too is done smartly. Kit Kat focuses on “Take
a break” and had done some good marketing for the same.
 The major push expected of a FMCG company is in sales promotions at the
ground level. Nestle focuses on its strength which is Maggi, Nescafe and Kit
Kat which are the most promoted brands in the market on ground level.
 Nestle regularly uses TVC’s and ATL marketing. It is also present online
through some smart creative.
 Nestle is a brand which has strong products as well as strong marketing, and
hence the brand has a very high brand recall value.

TRADE PROMOTION

 Nestle regularly introduces trade discounts and various tactics to keep the
channel motivate. The major challenge is in the distribution of Maggi which
is the most in-demand product in the market as well. Thus, on purchase of
one weak product, the distributer might get a discount on the stronger
product or vice-versa.
 The challenge for Nestle is in the chocolate segment where it faces stiff
competition from Cadbury and hence selling the chocolates become
difficult. Kit Kat might have its own brand positioning, but it is not better
than Dairy Milk. Thus, converting retailers to sell Nestle instead of Cadbury
is the toughest task for Nestle. This is converted mainly through promotion
i.e. by providing traders better discount or gifts on target sales.

CONSUMER PROMOTION

 Nestle regularly uses TVC’s and ATL marketing. It is also present online
through some smart creative.
 Consumers get benefits from attractive bonus packs and premium itmes with
purchase as well as price discounts.

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