Nespresso Eco-CapsulesBy: Lei Hookano, Zachary Lynch, Lucy Parkin, and

Brooke Francis

Introduction1. Description2. Target Market3. Pricing Strategy4. Distribution5. S.W.O.T. Analysis6. Marketing Objectives7. Marketing Implementation8. AD9. Media

10. Press Release

“68 million Americans drink three cups of coffee every single day; 3 of 4 regular caffeine users are actually addicted” (healthresearchfunding.org).

“From 1990-2010 20 billion Nespresso capsules were sold”

Description Presenting Nespresso Eco Capsules, made with 100 percent biodegradable plastics. The Eco Capsules are a substitute line of Nespresso’s premium coffee and espresso beverages. The Eco-Capsules come in all available flavors, and reach the trending green market.

Target Market Definition: “specific group of customers whom an organization focuses its marketing efforts”.

The Target Market:

● High-moderate earning people and couples around the ages 25-55 who live an eco friendly lifestyle

● Willing to spend more money on coffee and coffee products for the quality and aesthetic of a coffee brand

The Target Area:

● Along the East and West coast of the United States, where the green trend has a strong presence

Pricing Strategy

89¢

72¢

$1.87

$1.10

75¢

$1.90 (coffee)

$1.00 (espresso)

Espresso Pod

Coffee Pod

Biodegradable Pod

Espresso Pod

Coffee Pod

Biodegradable Pod

DistributionDefinition- “the decisions and activities that make products available to customers when and where they want to purchase them”.

Distribution

● Nespresso Boutiques ● Current retailers such as Sur La Table,

Target, premium grocery stores, and Sears

● Online markets such as Nespresso's website, Amazon, and the retailers listed above

● New distribution methods to green retailers online and in stores

SWOT Analysis Strengths: One hundred percent Eco Friendly, reaching the green consumers which is around 53% of consumers

Weaknesses: The look won’t be as premium with the new material, the cost is going to go up, the recycling jobs will be eliminated, and the brand currently lacks social media presence

Opportunities: Nespresso will be the first in the market to create a completely eco friendly capsule for a premium coffee. It will lessen carbon footprint, and it will also quiet their critics

Threats: The markup could discourage customers, now entering a green market filled with rules and regulations, plenty of competitors,ECC, only reaches target market of high class coffee drinkers therefore not reaching the younger, greener generation

Marketing Objectives ● Capitalize on the growing ‘green market’ ● Become an industry leader● Beat ECC to the market

Marketing Implementation ● Meta message: Sustainability ● Launch product through bi-coastal flagship store events

○ Soho NY, Beverly Hills CA ○ Branded to reflect Nespresso Eco-Capsule ○ Endorsers present

● “Nifty 60” promotion ● Digital and physical media

Promotional AdvertisementAdvertisement Circulation:

● Key Media Partners

○ Gourmet Magazine

○ The Daily Skimm

○ Dwell Magazine

○ Design Milk Weekly

Digest

○ New York Times

○ Los Angeles Times

● Billboards in key cities

● Especially targeted in NY and

LA to promote launch event

Design AdvertisementCirculated to key media outlets as well as key cities that Nespresso has a strong sales presence in such as Los Angeles

and New York.

Social Media Example: Instagram

Caption: “Wake up to a more luxurious future with

@Leonardodicaprio and our new biodegradable Eco-Capsule available

online and in Nespresso boutiques.”

Using celebrity ambassadors like Leonardo DiCaprio and George Clooney

to try to promote buzz around the launch events and launch of the product

altogether.

Press Release

● Notifying about 2 launch events

● 1 free cup of Nespresso + Guest Speaker

○ 1)SoHo, NY with Leonardo DiCaprio

○ 2) Beverly Hills, CA with George Clooney

Q&A?