Nestlé by Audrey Tan

General Information & Strengths World's largest food manufacturer and sells its products in more than 140 countries1, creating a leading market position14 1.2 billion people buy its products daily and 28 of its brands bring in about $870 million each year.1 Spends at least $2 billion on research and development, constantly refreshing existing brands.1 Number 1 spot on Fortune's World's Most Admired Companies list.1 Strong brand equity.14 Refreshing brands -  (Example, Aero's "feel the bubbles"6) Since 1998, except one year, Nestle always had number 1 spot on Fortune's World's Most Admired Companies list.1 Brand Equity:  Having a lot of various leading brands to address to almost all key consumer segments, developing a large and loyal customer base with its strong portfolio

Weaknesses Recovering from great financial losses. 10 Between 2003-2005, Nestlé lost 18% of overall sales when trying to expand new flavors using their Kit Kat brand in Great Britain

Threats Increased cocoa prices.2, 13 Negative publicity because of a claim about unethical business activities. 14 Cocoa prices have been on the rise and have more than doubled this year alone2. Due to the price increases for raw materials because of the rising oil prices and weather conditions. The company received warnings against child labor since it sourced cocoa from farms in the Ivory Coast. With that, it also included the trafficking and torture of children, leading to negative publicity and may impact customer loyalty as well as the company’s image. 14

Place Nestle has many different branches and locations worldwide. 14 such as Europe, the Americas, Asia and Africa.

Promotion Marketing partner with Fox.3 Licensed with Disney.4  (known for The Simpsons TV show). Enabling opportunities to promote commercials for Butterfingers with Simpsons

Promotion Cont’d… Joint loyalty program with the NBA.7  Collecting Nestle chocolate bar wrappers and trading it in for authentic NBA merchandise (i.e. basketballs, jackets, t-shirts, etc. with the logos of the Raptors, Bulls, etc.)

Product Increasing health awareness5 Many different products such as: Kit Kat8 Aero9 Butterfinger3 After Eight5 Crunch11 Coffee Crisp12 Smarties12 A promotion of a wider variety with dark chocolate because of the widely popular research on the fact that dark chocolates are high in antioxidants -- opportunity to expand.