How does Nespresso maintain market leadership

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To kick off your day in a better manner, coffee can always be the best option. You can take some “me time” from your day to take coffee. If we see 30 years back, Nespresso allowed people to make coffee at home without getting help from any expert barista. 

This step was taken to enable everyone to create coffee for himself instantly just like a professional. In addition, this strategy was quite beneficial for millions of people.

The business model was also designed to get a strong relationship with the customers. Luckily, this idea was quite helpful for the company.

The story behind Nespresso dominance

Nespresso changed the dynamics of the coffee industry with its revolutionised plans. This was the main reason behind their success.

It was not an overnight victory. Instead, it took a lot of time for the company to build the interest of the customers and convince them to buy their product.

In the early 90s, Starbucks was a famous coffee shop because of its multiple flavours but it was not easy for everyone to stand in the queue and wait for their turn.

Here, Nespresso came forward and allowed people to make barista-style coffee at their homes. This brave innovative step was the main step that helped, in turn, a huge volume of customers toward this company.

If you want further detailed information on the organisation’s marketing strategies, you need to read the Nespresso case study here.

You can get an idea about the innovation and renovation of Nespresso and all about the micro-environmental factors that the company targetted to grab the attention of the audience.

Moreover, you can retrieve ideas about the Nestle corporate culture from the case study and get to know what role it played in productisation.

However, this article is all about the strategies of leadership maintenance, so here we are going to talk about those plans and their implementation. Let us start.

Innovation of new flavours

The most important thing about Nespresso is that it continued to launch new flavours for the customers to keep them interested in the coffee brand.

If you get a beverage of the same flavour for years, you may get bored of it at some stage. Though you may be addicted to that particular flavour, you will also demand something new.

It’s human nature to get innovation in every element and see it from a different angle. Nespresso always remembers this human psyche and tries to introduce something new to people.

These new flavours mostly run in the seasonal batch so customers can get some different tastes. This interesting innovation lets the company keep an eye on the demand of consumers.

Quality of the product

You may have noticed that the products of Nestle are a little more expensive than the other brands. But they ensure you provide quality material. 

Similarly, Nespresso never compromises on the quality of the brew. It offers the best taste to the customers that can give them a return for their money.

Although the prices of the coffee pods of this company are more, the quality is also insured here.

It is a premium brand in the coffee industry and maintains its worth by focussing on the excellence of the beverages. This element always helps the company lead the market.

So, the thing is that if you are going to pay a little more for Nespresso, there is a surety that you will get its return in the form of taste.

Value their customers

Giving value to the customers and making them feel special is the most important part of the marketing strategy that increases the number of loyal customers.

Nespresso always keeps this element forward and thinks about the customer’s choice first. This helps in maintaining the interest of the consumers.

Let us take the example of coffee machines, Nespresso made it too easy for the customers to purchase the machine even at a low price. This step was taken to build the interest of the audience for coffee machines.

Not only is this, but the process of reordering the pods is also very simple so the customers are not stuck while repurchasing the coffee.

Attention-grabbing tagline

Using taglines for the brand is a famous technique that can seek the attention of the audience and convince them to purchase the product.

Nespresso also applied this formula and used an attractive tagline “Experience a cup above”. This is the most relevant and attractive slogan that can force people to give it a try.

The main theme behind this line is to tell the customers that the taste they can get in this coffee is much more different and pleasant than other brands.

As the tagline is the game of words, Nespresso chose the words very wisely that could be interesting to read. This is also one of the key elements for Nespresso of increasing the volume of customers.

Provide guidance to every customer

There are over 15 different types of machines and 70+ pods that Nespresso has introduced now. Even an experienced person can get confused while using the machine or choosing the flavour for the first time.

Nespresso has a staff that can solve the problems of the customers and guides them in every aspect anywhere in the world. There is also a tasting café where people can check the flavour before purchasing it.

With the help of these options, it becomes easy for the customers to make the decision and go for the best flavour.

Final verdict

The story of Nespresso started 30 years ago and the theme was quite simple: people can create coffee for themselves in every flavour by staying at home.

For it, they took an innovative step by introducing coffee machines for the home. Also, the number of coffee flavours increased with time.

This renovation grabbed the attention of a lot of customers and allowed them to get a quality brew at their homes and easily reorder them.

So, this is the overall planning of Nespresso that led it to success and helped it remain the giant in the market.

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