Analyze the nestles business model

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Case study :

Nestlé: Integrating Marketing Communication into Daily Operations Nestlé is a company that is over 150 years old. Today's world is fast paced. Digital marketing plays a big part in the ever-changing nature of consumer needs and values. In this context, we examine the initiatives and efforts made by Nestlé to communicate customer value using both traditional and digital forms of marketing and various promotion mix tools. The importance of integrated marketing communications (IMC) is explained by stating its role in maximizing the impact on the consumer while minimizing promotion costs. Nestlé has transformed itself to keep up with the digital era.

This report also covers the development of the Digital Acceleration Team (DAT) and how the implementation of the DAT is opening doors for Nestlé in the digital era. The linking of all communications and messages is essential for ensuring the effectiveness of promotional tools. Other things that are outlined are KitKat's IMC strategy, which uses the five major tools of advertising (sales promotion, personal selling, PR, and direct and digital marketing). Furthermore, factors that influence budgeting are also outlined.

1. What steps did Nestlé undertake to design KitKat's IMC and promotion program?

2. Analyse Nestles business model relative to the different forms of digital and online marketing tools.

Case study 2: Sustainability at Unilever: creating a better future every day A few years ago, and despite its stable of star-studded brands, Unilever had experienced a decade of stagnant sales and profits. New CEO Paul Polman decided the company needed renewed energy and purpose and to answer the question, 'why are we here?' Looking beyond the usual profit-driven corporate goals, Polman asserted that Unilever existed 'for consumers, not shareholders' saying that 'if we are in sync with consumer needs and the environment in which we operate, and take responsibility for our [societal impact], then the shareholder will also be rewarded'. Unilever's Sustainable Living Plan was launched in late 2010. This aggressive plan went further than any previous sustainability programme had and underpinned Polman's belief that long-term commercial success depends on how well a company manages the social and environmental impact of its actions.

The Plan goes far beyond simply creating more responsible supply and distribution chains. Approximately per cent of the total greenhouse has a footprint by Unilever's products and 50 per cent of the water footprint occur during consumer use, so Unilever is also working with customers to improve the environmental impact of its products in use. Given that around 2 billion people in 190 markets use a Unilever product on any given day, that's huge potential to reduce any negative impact. The quest for sustainability saves money by reducing energy use and minimising waste. It fuels innovation, resulting in new products and new consumer benefits.

And it creates new market opportunities; more than half of Unilever's sales are from developing countries, the very places that face the greatest sustainability challenges. Polman claims the sustainability plan is not just the right thing to do for people and the environment, it's also right for Unilever; profits continue to grow despite volatility in its global markets.

1. Are Unilever's sustainability initiatives truly practising enlightened marketing, or are these 'green' policies no more than vested self-interest and a marketing policy? Give as many examples as you can to justify your answer.

2. Analyse Unilever's policies and strategies according to the environmental sustainability grid.

Reference no: EM133224041

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