[Institution affiliation]
Introduction
The company nestle has a wide range of products that it produces under their brand name. The product that I found interesting and liked was the Nestle Coffee-mate 32 OZ French Vanilla Sugar free brand.
Most companies have enrooted to supply at least one product from their wide variety that will be sugar free and help those health freaks that would die not to become obese. It is a good path and Nestle has not been left behind in the production of the same. The new product Nestle Coffee-mate sugar free tells it all. It has received a good reception in the market, and this paper will be out there to discuss the product from a research point of view. This research project was done for six weeks in the real world. Images of the product have been posted below.
This paper will attempt to discuss this product in the market. It will also discuss the changes that are anticipated to take place for the same product in a six weeks period that the product is expected to be in the business. The pricing of the products that have been mentioned below will also be of keen interest in the research. Of course, the advertising of the product and the competition that the product faces will form part of the body of the paper.
Discussion
The Nestle Coffee-mate 32 OZ French Vanilla sugar free has now become very essential component that the nestle decided to add to its stock. The idea of producing sugar free beverages is now an important point to consider whether it is coffee, soda, or juice. Its introduction to the market happens to be years before this research was conducted on the product. For the six weeks period that I have been conducting research on the product, I can call it an opportunistic move that was taken by the producers of the same. All this owes to the vulnerability that is brought about by the doctors for ruling out that a lot of sugar causes excess calories that would make one vulnerable to being obese. The Nestle Coffee-mate 32 OZ French Vanilla sugar free, during the six weeks, portrayed a very interesting behavior as far as the business, and the response to a new product to the market are concerned.
During the first two weeks of the inception of the product in the market, the response was not so high. The products were not being sold as the suppliers had expected. This can be attributed to the perception that people had about the Nestle Coffee-mate 32 OZ French Vanilla sugar free. Most people thought that this was a product for the rich and it is only the rich that could protect themselves from accumulating excess calories from the sugar-flavored drinks that were being sold.
Later on there was proper advertisement of the Nestle Coffee-mate 32 OZ French Vanilla sugar free that took place. This was done through television commercials, social media campaigns, and offers that were rewarded to people in a bid to popularize the product (McDowell, 2010). The marketing strategy that worked most was the provision of a soft drink in a case coffee that was sold by other beverages vendors in the business. Through social media campaigns and erecting billboards on the streets to market the product, the Nestle Coffee-mate 32 OZ French Vanilla sugar free soon gained popularity as the perception people had about the product only being available to the rich changed.
On the third week, the store manager confirmed that the sales of the product started shooting. To be more specific, the store manager confirmed that the shop has sold double the amount they had sold the product in the previous week.
This called for some economics’ matrix to be played by the shop owner. A shop owner in the fourth week increased his quantity in terms of the orders that he makes for the sugar free beverage. He actually doubled the supply. The fact that the need of the product was on the rise, he increased the price of his product by 10% to create a state of balance between demand and supply. This huge market was attributed to the good advertisement that made the Nestle Coffee-mate 32 OZ French Vanilla sugar frees hot even in the rural areas.
This industry proved to be lucrative and as usual, from the research it was confirmed that other players had joined the market almost the same time as Nestle with their own products that had the same functionality. They include Coca Cola and Pepsi. The only difference was that they were selling soda while Nestle had coffee in mind.
The price of the Nestle sugar free product was affected at the shop where I was conducting my research due to the change in tides that were witnessed in the fifth week. The availability of supplementary products in the market for the same functionality stirred up some “conflict” between the consumers and our shop the producers. The store manager and the shop attendant had no option but to call for the reduction in the prices of the coffee bottle. Nestle Coffee-mate 32 OZ French Vanilla sugar free bottle that originally costs 10 dollars was reduced to 7 dollars in the fifth week.
Sales in the shop still went up after this move by the store management. This also called for offers by the shop to its customers. The customers were being given a free Nestle sugar free drink for every two bottles that one bought. This advertisement strategy attracted customers. In addition, the leveling of the prices made the customers attracted more.
In the sixth week, the sales showed an interesting trend by reducing first and then remaining constant there afterwards. We owe this to the fact that the product was now familiar in the market and that the consumers had many options whenever they wanted to purchase sugar free drinks.
However, there was competition that was witnessed at the same time. Some people opted to buy the sugar free drinks in the form of soda. This caused another wave of competition that came from other independent companies that came up with their own product that for one reason or the other tried to beat the products of the store I was carrying out my research at. This called for more changes in the product. Somebody somewhere had to think of something creative that was going to differentiate and give benefits of taking coffee as a sugar free drink to soda. Despite all the producers selling, the sugar free drinks slightly lower that, the initial prices that it came to market with, the fact that there were substitute goods called for dangerous competition (Debelak, 2005).
Conclusion
For any product relevant product in the market to survive for long and remain relevant to the consumers, there has to be good marketing strategies and risks that are taken to promote the product and make it a success in the future (Burrow, 2009).
The Nestle Coffee-mate 32 OZ French Vanilla sugar free utilized the opportunity provided to them by the medical doctor’s reports and started to make a living out of it. It was not a saturated market when it started but with time, more players were drawn in the market and competition to dominate the industry came up. This affected the prices and to an extent. However, it was a win- win situation for both the producer and the consumer. The consumer benefited on the price while producers benefited on the demand that came with the product.
References
Burrow, J., & Bosiljevac, J. (2009). Marketing. Mason, OH: South-Western Cengage Learning.
Debelak, D. (2005). Bringing Your Product to Market In Less Than a Year: Fast-Track Approaches to Cashing in on Your Great Idea. Hoboken: John Wiley & Sons.
McDowell, D. L. (2010). Integrated design of multiscale, multifunctional materials and products. Oxford: Butterworth-Heinemann.
