A bit of history

A little bit ugly. Here is about what looks like the first Nespresso. We are in 1988 and this austere machine does not create a lot of enthusiasm. Nestlé does not believe in it and wants to abandon this product, but the new chief executive Jean-Paul Gaillard asked for one year of reprieve and a marketing budget of 1.6 millions euros. He only obtained half, there was no choice, explains Jean-Paul Gaillard, and the less expensive entrance on the market was the luxury.

The idea is a success. With its elitist percolator, the brand convinced consumers to pay out 25 euros by kilo of coffee. A real gold mine for Nestlé, it seems the margin can be compared with cigarette.It is not possible to find capsules to somewhere else that in a Nestlé shop . For a so common product, the brand managed to create a real enthusiasm. They have convinced that its product is better than others: a goof justification of the price.

Hi everybody!

I’m Arnaud and I created this Blog for my marketing class project.

The aim of this Blog is to speak about Nespresso advertising campaign. So, every week I would present you how Nestle managed to create a luxury item with a percolator.

Enjoy