Nespresso

Nespresso proposes accessories linked to the espresso machines and the
capsules. The customer can buy several objects such as coffee sets, trays,
storage racks for capsules and more sophisticated accessories. The
espresso machines are even delivered with a set of cups especially
designed for Nespresso.
Buying an espresso machine and capsules, the customer enters in a club
which permits himto enjoy Nespresso services. The Nespresso Club offers
advices about the coffee, the maintenance of the machines and permits
the customers to order coffee machines and capsules. The customers can
enjoy these services in Nespresso shops, on Internet and by phone.
Place:
There are four different channels of distribution.
First, the espresso machines are distributed in electrical goods shops.The
potential customers can only buy a coffee machine in this kind of shops,
the capsules and the accessories are not distributed in these shops.
The customers can also buy espresso machines, capsules and accessories
in the 15 Nespresso shops in France (42 around the world). These shops
are the base of the experiential marketing strategy developed by
Nespresso. All has been designed so thatthe customers make themselves
comfortable: the atmosphere is warm, there are chairs… The potential
customers can taste the different flavours of coffee, try the espresso
machines and listen to the advices of specialised salesmen. The aim is
that the customers see the purchase as a pleasant experience which will
make them want to come back in the shop and buy other Nespresso
products. Theseshops are a real show window for the brand, to show to
the customers the “Nespresso’s drinker way of living”.
The coffee machines, the capsules and the accessories are also available
on Internet and by phone thanks to the Nespresso services. However,
these services are reserved to the members of the Nespresso club. Thus,
the customers have to register trough the website and/or buy anespresso
machine to enjoy Nespresso services and order capsules. Indeed, buying
an espresso machines, the customer enters in the club which permits him
to order capsules by phone and on Internet (the capsules are only
distributed to the members of Nespresso club).
Price :
The capsule’s coffee proposed by Nespresso is a luxury product. So the
price of the capsule is very high (0,31 Euros) : we canindeed notice that
the price of the product is the higher of the market, three times higher
than the retailer’s brands that are invading the coffee’s market. But
Nespresso is also widely more expensive than some famous brand like
Jacques Vabre for example whose capsule are sold at 0,13 Euros.











The Nespresso’s products are voluntarily more expensive because of theimage of the product. Nespresso wants to give a luxury and upscale image
to his products and play on the design and on the quality to justify the
price. The Nespresso’s products are products which are bought by wealthy
customers. The customers are ready to pay a higher price to have a
different and high quality product, but also for a very good customer’
services (with the club) and a verypersonalized relation with the firm.
Promotion :

The last advertising campaign on Nespresso was a real success. The
advertisement shows the actor George Clooney in different situation and
saying the slogan which is now famous: “Nespresso, What Else? “. The
communication was huge for this campaign and the results are impressive:
according to surveys, this campaign has a 66% of knowing and 85%of
appreciating of the coffee’s customers. This was really memorable for the
customers and the popularity of the product knows an incredible increase.
George Clooney is a very adapted for the product: his image and his style
are very close to the product and Nespresso’s customers. And he is a
consumer of this famous coffee. This is the first all-public advertising’s
campaign of Nespresso...