NESCAFE

Branding and Own Label: Nescafe

Branding and Own Label: Nescafé

Introduction

Importance of Branding

Branding is a concept prevalent in all markets around the world. The United Kingdom is a vast market with changing trends and preferences. Branding is an essential concept of marketing that has been adopted by businesses like Tesco and Nescafé. Branding is one of the hottest topics in boardrooms around the world. The reason for this is that a strong brand means greater value for shareholders. The brand under discussion is Nescafé and the paper will determine the success of the Nescafé brand, in the country.

A reputable brand is known to deliver its message clearly, confirm its credibility, connect with its target market (on an emotional level), motivate its customer base and build a strong user loyalty. These are the most important, rather required, objectives of any brand in question. If a company is looking to succeed in its branding strategies, it must comprehend the needs and wants of their existing and prospective customers. The brand is required to exist in the hearts and minds of its existing and prospective customers, as well as its other stakeholders. The stakeholders include employees, customers, shareholders and all those involved in the supply chain and distribution channel. The success of a brand is measured by its brand equity, as well as the perception the market keeps of the brand. The perception is based on experience and word of mouth.

Discussion

Overview of Performance of Nescafé

Currently, Nescafé is doing well in terms of profits. Nestle holds a huge chunk of the hot beverages market of the UK. The company made billions in profit last year, and is forecasted to do better by the end of this year. Nestlé has claimed that three thousand cups of Nescafé are drunk every second. In UK, Nescafé unveiled an advertising campaign worth £43 million in 2009. The message of the campaign was 'coffee at its brightest'. The financial outlook of the company is bright, and the brand is also forecasted to do well.

Success of Nescafé's Brand

Nescafé is a brand that comes under the umbrella of Nestlé. Nescafé has its origins in Brazil and has been around for about eighty years (Nestlé, 2011). Since then it has become one of the most popular coffee brands of the world. The products range from the Nescafé Classic to the newer Nescafé Greenblend. After being launched in Switzerland in the late 1930s, the excellent ...