25 February, 2011

Nestea: Nestle's New Flagship to the Beverage Market

(Pierre Trouilhat, Head of Nestlé Equatorial African Region, Natasha Metto, Reigning Miss World Kenya, Guenter Spiess, Business Executive Manager-Coffee and Beverages and Terry Mungai, Ashleys Hair and Beauty Salon,  hold cups of Nestea)
I am just from a Launch of Nestle new product "Nestea®" at the Norfolk Hotel Nairobi : a beverage sold in powder form in sachets that will retail at Kenya Shillings Five per sachet .The Nestea brand which is making its debut in Kenya has a market presence in over 60 Countries . It is popular in countries such as United States, Canada, Australia, Taiwan, Italy, Spain, Switzerland, Germany and China. The flavored drink made from Tea and other fruit flavors is easy to prepare and requires to be only mixed with hot or cold water and is ready for the taking. 
(Natasha Metto and Pierre Trouilhat share a light moment)

Considering the price and the size of the sachets i had an interesting conversation with Nestle Equatorial African region business executive manager Guenter Spiess about environmental concerns on the packaging and he clarified:

  • Since the sachets are small and affordable to aid in collection and recycling Nestle will be launching competitions whereby users will be encouraged to retain the used sachets for redemption of a Nestea Pitcher Mug or entry into a raffle. I find that pretty cool.
  • The materials used are biodegradable hence there will be the least damage to the environment in instances where disposal is not effected in a proper manner.
Nestle's new product is set to rival the beverage market as the product is quality and can be taken as a soft drink. I am certain the biggest market share holder Coca Cola will not take this foray into its territory lying down. 

I am also certain Coca Cola could hardly come up with a product of this caliber at that price for the mass market but i stand to be corrected. Kudos to Nestle for the quick thinking after all we all love Tea and it is one of our main cash crops and export product. Nestea is made from 100% Kenyan Tea which is a plus for the local Tea producers and farmers.Should the product grow to be popular Kenya will be the main beneficiary.

Here is excerpts from the Official Press Release:

NESTEA® enters Kenya with a bang!
NESTEA® announces sponsorship of NESTEA® Miss World Kenya 2011
Nairobi, February 25, 2011: NESTEA®, a ready-mix iced tea brand, has partnered with Miss World Kenya 2011 beauty pageant to promote consumption of tea in Kenya. Elaborating on the tie up Guenter Spiess, Business Executive Manager - Coffee & Beverages for Nestlé Equatorial African Region said, “Through NESTEA® we are promoting a beautiful and healthy lifestyle, NESTEA® Miss World Kenya 2011 is an opportunity for us to realize dreams of a lucky few young girls.”

In addition to the NESTEA® Miss World Kenya 2011 sponsorship, Mr Spiess also announced, “Once in a life time opportunity for a girl from less privileged background, who meets the criterion, to change her destiny by participating in Miss NESTEA® Kenya 2011, a contest which will be held during the ongoing NESTEA® Roadshow’s and the winner of which will get direct entry into the NESTEA® Miss World Kenya 2011. All they need to qualify for participation is five sachets of NESTEA® to enter this competition  and NESTEA® will take care of the rest. At Nestlé we are always looking to connect with our consumers and for NESTEA® we know this will be a great opportunity to connect at the grassroots level.” 

Apart from the lemon and tropical flavors, NESTEA® has also added the apple variant to its range. The brand has introduced smaller single serve packs, now retailing at Ksh 5 which are readily available at all dukas and shopping malls. Speaking after the launch of NESTEA® Miss World Kenya 2011, Regional Head of Nestlé Equatorial Africa Region Pierre Trouilhat said, “This introduction of single serve packs are part of our overall strategy to reinforce Nestlé’s presence in emerging markets, with particular focus on the lower income consumer segments while always taking care of the nutrition element. NESTEA® is a family drink, where 2 glasses deliver an adults daily Vitamin C requirement for just Ksh 10 and I know it will appeal to all age groups.”

The trend currently in the most markets is that people tend to consume tea in the morning. NESTEA® aims to make consumption of tea ‘fashionable’ at any time of the day. NESTEA® ready-mix provides consumers with different flavours that can be enjoyed across the day as a refreshing and nutritious drink. Mr. Spiess elaborated and said even though tea consumption still tops the beverage markets there was need to diversify the product and make it an all-time drink.
The organiser of Miss World Kenya 2011 Mrs. Terry Mungai said the competition presented an equal opportunity for Kenyan girls from all backgrounds to make a difference and urged them to participate.
She said: “I would like to urge all Kenyan girls between the age group of 17-24 years and fulfilling the other criteria to come forward and participate in the NESTEA Miss World Kenya 2011.”

The Miss NESTEA® search will run between March and May 2011 and will be followed by the crowning of Miss NESTEA® Kenya.  The lucky winner will have a chance to enter into the NESTEA® Miss World Kenya semi finals with the full sponsorship of NESTEA® in terms of her attire and grooming. 

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