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Consumer Behaviour - Assignment Example

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Consumer Behaviour

87) the market situation analysis of Nestle shows: Sales- It holds the first position in selling foods. It makes major profits from the sales of food products alone, this year sales rose to 67.6 billion swiss francs which were only 60.9 billion francs last year. Also it’s the world leader in manufacturing coffee. The first three months of 2013 shows that the company’s sales rose to 21.9 billion Swiss francs from the last year but it failed to meet the expected sales which are 22.5 billion Swiss francs. Competitors-Nestle give good competition to most of the fmcg brands like Kraft Foods Inc., Unilever plc. , P & G, PepsiCo, Coca-Cola, Heinz etc. Its huge range of diversified products makes it a strong contender in the fmcg & food sector (Express, 2012). Market Share- It’s the market leader in the coffee & mineral water segment. The table below displays the sales & market shares in the year 1992, of different companies- (Source: Pagell and Halperin 1999, p. 195) Product Range- The product range includes bottled waters, chocolates, cereals, dairy, coffee, drinks, food, ice-creams purina pet care etc. It puts more emphasis on the taste & nutrition content of the product & therefore it ends up fixing slightly higher prices than its competitors. Creating pet foods makes it a unique brand which not only cares for humans but also it shows significant care to the pets. Its delicious range of hot chocolate & sausage makes it the number one brand in the food & drink sector. Also the beverage systems offered by the company is used widely throughout the world. (Gilbert, 2013) Markets- It has its presence in the continents of Africa, America, Asia, Australia & Europe, in almost over 80 countries. It customizes its product according to the place where it’s being sold. More or less every household contains a product of this brand. 2. Target Market Customer base of Nestle ranges from middle income groups to higher income groups, from kids to adults, from the health conscious to the junk food eaters because Nestle’s products serve various day to day needs of a person. 3. Social Influences on Buying Behaviour PERSONAL FACTORS Age serves as an important factor for the products and services of the firm. Nestle’s consumer range includes adults, aged people, teenagers as well as kids below 12 years. Due to the brands all over presence across the world, its customer base includes people from various race, religion and ethnicity. These things affect the consumer’s food habit to a great extent. The climate, food habits, language, religion, dressing style, income status, etc. falls basically within the wide gamut of geography. For example let’s think about the approach adapted by McDonalds. The well-known fast food chain has got diverse menu for diverse sites across the world. When the firm was asked to state the cause behind the broad range of menus, the firm replied, “We try to adapt our menu to reflect different tastes and local traditions for every country in which we have restaurants. We're keen to respect cultural differences and so every country has its own policy of developing menu items”. Moreover consumer behavior depends to a large extent on the education and knowledge of the people, for instance people who are well educated are more concerned about the adverse effects of calorie consumption and thus they would prefer to choose the sugar free chocolate prepared by ...Show more


1. Situation Analysis Nestle can be considered as a high to medium involvement brand since its product range comprises mainly of food products. The chocolate and milk products are high involvement products since it serves majorly the children and it also produces pet foods which are considered by the consumers as medium involvement purchase…
Author : mittiekling
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