In their daily life coffee is mostly indispensable for people nowadays. Already in the 1980’s in the UK coffee was very popular and well known, even though the English preferred drinking tea. As coffee consumption increased the demand for complementary products like coffee creamers increased also. As coffee creamers gained popularity in the UK Coffee-Mate, Nestlé’s brand of coffee creamer, was faced with the problem that its market was still relatively small with a variety of competitors manufacturing substitutes, e.g. cream and other brands of coffee whitener. Being confronted with this and a decreasing advertising budget the managers of Coffee-Mate were forced to look for new consumers in an attempt to increase sales.
As a first step, they did a survey, to get to know their potential customers better and to have a better general overview of the target market. Because the competition in the coffee creamer sector is relatively strong, it was essential that Coffee-Mate created a strategy with the aim of strengthening their position in the coffee creamer market in Great Britain and surpass their competitors.
To clarify the next steps for the company, it is the aim of this Case Study to investigate and evaluate the segments of the Coffee-Mate in terms of finding a proper recommendation for an effective strategy that Coffee-Mate could use.
Inhaltsverzeichnis (Table of Contents)
- Introduction
- Coffee-Mate Profile
- Segmentation, Targeting and Profiling
- Coffee-Mate's Potential Segments and their Evaluation
- Conclusion
Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)
The objective of this case study is to examine and evaluate the segments of the Coffee-Mate market, in order to determine the most effective strategy for increasing sales. This involves analyzing the brand's current position, understanding targeting strategies, and evaluating potential market segments.
- Market analysis of coffee creamers in Great Britain
- Brand positioning and differentiation of Coffee-Mate
- Segmentation and targeting strategies
- Evaluation of potential market segments
- Recommendation for a strategic approach to increase sales
Zusammenfassung der Kapitel (Chapter Summaries)
- Introduction: This chapter introduces the case study and its objective: to help Coffee-Mate increase its sales in the British market. It highlights the challenges the brand faces, including competition and a limited advertising budget.
- Coffee-Mate Profile: This chapter provides an overview of the Coffee-Mate brand, its history in the UK, and its market position. It analyzes the size of the coffee creamer market, Coffee-Mate's market share, and the brand's competition.
- Segmentation, Targeting and Profiling: This chapter explains the concept of market segmentation and targeting, emphasizing the importance of understanding and reaching specific customer groups. It discusses different profiling methods and characteristics used to identify target audiences.
- Coffee-Mate's Potential Segments and their Evaluation: This chapter presents five distinct market segments for coffee creamers identified through market research. The chapter analyzes the size and growth potential of each segment, their structural attractiveness, and whether they align with Coffee-Mate's resources and objectives.
Schlüsselwörter (Keywords)
The key focus of this case study is on market segmentation, targeting, and market analysis within the context of the coffee creamer market in Great Britain. The primary concepts and themes include market analysis, brand positioning, competition, segmentation, targeting, and profitability evaluation.
Frequently Asked Questions
What is the main goal of the Coffee-Mate case study?
The goal is to investigate and evaluate market segments to find an effective strategy for increasing Coffee-Mate sales in Great Britain despite a limited advertising budget.
Why did Nestlé need a new strategy for Coffee-Mate in the UK?
Coffee-Mate faced a relatively small market with strong competition from substitutes like cream and other brands of coffee whitener.
What role does market segmentation play in this study?
Segmentation helps identify specific customer groups and potential new consumers, allowing for more targeted and efficient marketing efforts.
How many potential segments were identified for Coffee-Mate?
The study analyzes five distinct market segments based on growth potential, structural attractiveness, and alignment with company resources.
What historical context is provided for coffee consumption in the UK?
Coffee became increasingly popular in the UK during the 1980s, even though tea was the traditionally preferred beverage, leading to higher demand for creamers.
- Quote paper
- Anonym (Author), 2017, The contribution of segmentation, profiling and targeting to the successful marketing of Coffee-Mate in Great Britain, Munich, GRIN Verlag, https://www.grin.com/document/438046
