Marketing Essentials: Nestle vs Unilever - A Comparison of Marketing Mix

This report compares the marketing mix of Nestle and Unilever, evaluates their product, price, place, promotion, people, process, and physical evidence strategies. It also includes a basic marketing plan for Nestle.

Marketing Essentials

Table of Contents
INTRODUCTION...........................................................................................................................1
Task 1...............................................................................................................................................1
Covered in PPT.......................................................................................................................1
Task 2...............................................................................................................................................1
P3. Differentiate between of two companies in context of marketing mix............................1
Task 3...............................................................................................................................................5
P4. Evaluate and design a basic marketing plan for an organisation.....................................5
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
A Marketing is the process of procuring, assessing, manufacturing, selling and
distributing along with promotional activities product and services for fulfil the customer needs
and wants as well as to promote their brand in competitive marketplace (Baker and Magnini.,
2016). The objective of marketing of basically scrutinize for attracting the large number of
customer at the market place in order to develop the sales of respective company. It is very
essential for building or making better relationship between customer. As in context to business
the marketing is utilised for preparation short or long term profitability by investing incurred in
product and services that generates the outcomes in terms of Goodwill, High market share,
customer retention etc.
In this report the company is considered as Nestle is a Swiss Multinational food and
beverages processing of conglomerate corporation which it operated from the headquarter in
Vevey, Vaud, Switzerland. In this report the topic are commence to covered key roles and
responsibilities of marketing as well as in organisation. It require to compare with other venture
through marketing mix and evaluate the marketing plan for organisation perspective (Baker and
Saren, 2016).
Task 1.
Covered in PPT
Task 2.
P3. Differentiate between of two companies in context of marketing mix.
The background of marketing mix is consists about the set of actions or strategies which
is usually assorted by a company to promotes its brand or product in the market. It involves the
7Ps combination of marketing mix such as Product, price, process, place, people, promotion and
physical evidence etc. In this section, the comparison between two companies as Nestle and
Unilever ventures of their marketing mix to measure better planning process to accomplish the
objectives (Proctor, 2020).
Basic Nestle Company Unilever company
Product The products of Nestle is The Unilever venture having
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having wider scope in
worldwide, as they
manufactured quality of food
and beverages items (Rancati,
Gordini and Capatina, 2016).
Their customer are very loyal
in nature as products are
having promising traits that
stats about all regulation that
helps to meets all high
standard of quality. The
offering of product by Nestle
venture is food and health,
nutrition product that meets
the customer needs and wants
such as baby foods, Mineral
water, health and soft drinks
and ice cream etc.
their own product strategy as
well as product mix. They
segregated their product
combination into different
category such as Food,
beverages, refreshments,
health care, personal care and
Water purifier etc (Rudden,
2016). They have overall 300-
400 brands which can be
measured through in marketing
mix and Unilever comes under
FMCG segmentation where
types of product brand procure
are Dove, Axe, Rexona, Rama,
Lipton, Lux and Knorr etc.
Price The terms price is describe
about the value of particular
product and which creates the
sales revenue. The intensity
level of Nestle's pricing is
construct through its
packaging as well as raw
material based. To implement
price is decides on the basis of
product type, nature, quantity
and quality. As if the quality is
in high standard then the price
is implies expensive in nature
By utilising the pricing tactics
through Unilever as in
penetration manner in terms of
high, low or quality of price.
To implements the price in any
form of product it is must to
analyse the competitor firm
pricing strategy in FMGC
market in worldwide. Unilever
follows the competitive pricing
and enhance the immense
competition of market
research. As Unilever product
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while if there is low quality
incurred it will reflect
economic range of the product.
are measured in wide range
that analyse through all cost
segmentation from high to low
range of price.
Place Nestle's product presence is
confront in the super market
and malls overall worldwide.
They are controlled its own
sales and distribution network
to the other market products.
Unilever enhance their product
availability in hospitals by
facilitates all health care
related products and canteens
where public can easily
approach (Wirtz, and
Lovelock, 2016).
The Unilever is usually
operates in more than 190
countries. The distribution
strategy of Unilever is
commenced as they have more
than thousand distributors
where they have millions of
retailer existed in international.
There is effective advantages
of global manufacturing in
market Unilever garb the
opportunity and they reduces
their costs. The Unilever has a
huge distribution network that
includes retail as well as direct
outlets.
Promotion Nestle company having
effective promotion activity as
well as they known for their
best advertising campaigns.
They usually promotes their
product in social media and
offline platform along with
they opted some attractive
quote to advertise their product
for example Kit Kat is
There is optimum promotional
strategy of Unilever marketing
procedure where it is one of
the largest deliverables of
product in marketing to invest
of about 8 billions pounds on a
basis of year. By utilisation of
digital media and e-commerce
platform has rapidly increased
the growth of Unilever product
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chocolate brand of Nestle as its
captured the market through
the quote which driven “take a
break lets have kit kat” . As kit
Kat is very innovative and
most perfected product by
Nestle apart from it many
product which increases the
company promotion strategy
such as Maggie, Nests cafe etc.
in competitive market
worldwide. Many health care
products of Unilever are
promoted and it provide
positive impacts to the
company productivity. Some
of advertising sources are print
media, street holding,
discounts and free samples.
People As Nestle company is having
wider presence in worldwide
and the number of employees
are currently working as
3,52,000 workforce are in
overall branches company.
The Nestle's top level of
managers are holding their
position as they play important
role and responsibility to
making decisions related with
business aspects.
Unilever company having
number of employees 1,55,000
are actively present and
contribute their work
attribution in overall company
location existence. Their large
number of employees work as
per the HR department
formulate policy which helps
to their employees to save their
rights and they provide
effective services to customer.
Process The company has been
producing the products by
utilising the better advanced
technologies. Nestle have
adapts their best advanced
machinery where they easily
served to their customers.
The process of Unilever
products are commenced
through their production as
well as their distribution
channels (Zolkifly and
Baharom, 2016). Through
which they highly optimised
and effectively scrutinize to
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make available the products to
the customer in every location
where Unilever served
services.
Physical evidence As Nestle company is innovate
effective and optimum
products and they have setting
their connectivity through their
logo of Netscafe in vending
machinery.
Unilever company is planning
to manufactured their products
into new concept and new
design with different colour
specification. This makes it
easier for customer to
approach the Unilever product
in retail stores.
Above comparison of two organisation of marketing mix of Nestle and Unilever product
through marketing mix of 7ps. As the product of Nestle is only focuses towards food and
beverages on other hand Unilever is determined food, beverages, personal care product and extra
product items. The prices are very reasonable for Nestle products but the range of Unilever
products can approach by customer very easily as some are little expensive. The promotional
strategy of Nestle is far effective in terms of advertising in offline and online platform while,
Unilever makes their promotional strategies through countries to countries as well as they have
huge capital budgeting. Nestle product are existed in global market and local street stores of food
shops as Unilever is also enhance medical product and their availability of product is street
shops, malls and medical vendor shops. By having Number of people are working in Nestle is
around 3,00,000 workforce in globally. And in other hand The present number of workforce is
lying around 1,55,000 where they contribute their work attribution in overall local company
existence. The company is producing the product by utilising the optimum advancement of
technology availability and As Unilever has approached advanced resources in their production
department where their service is to be know for fastest deliverables of product in the market.
There is better accomplishment of goodwill that innovates through optimum product
manufactured by Nestle in global competitive market as in other hand Unilever is having their
brand value which is effective in FMGC sector as they provided valuable product in the market.
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Task 3.
P4. Evaluate and design a basic marketing plan for an organisation.
A description of marketing plan is stats that, it is very important activity which support to
requires the optimum overall business plans as well as it provide the essential guidance related
with setting of marketing goals and objectives to accomplish through forming a effective
strategies. By preparing the marketing plan for the Nestle company is considered some sort of
actions which should be taken for achieving the targets that improves the company growth and
helps to retain existing and attract new customers (Larson and Draper, 2018). Marketing plans
helps to provide a new platform for pursuing business by implements different marketing
activities. For Nestle the marketing plan is constructed below:
About company descriptions:
A Nestle is the Swiss multinational food and beverages product as they deal with the over
worldwide customer and it operated the headquarters Vevey, Switzerland. It is one of the largest
venture in the world measured by the revenue and other metrics, they have total revenue of 10.46
billion along with 3,52,000 workforce are actively working all over the branches. Their products
are comprises in Health care, personal care and mineral water, coffee and many others. The
founder of Nestle venture is Henri Nestle who founded this company at the year of 1866. As
Nestle having many high competitors like Heinz, Unilever, Hersely which they optimised and
controlled in overall boundaries. As company having around 3,50,000 above employees who are
working globally and contributes their efficiency and effectiveness to making Nestle productive
with high capitalisation. Nestle is planning to introduce their new product concept by evaluating
new marketing plan.
Mission:
The Nestle's Mission statement stats “ By positive influence from social environment in
which they are operate with assurance of corporate citizens, with due regards for those
environment standard and societal aspiration that will improve the people standard of living”.
Vision:
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Nestle's vision statement- Having a aim to become most competitive company in health
and nutrition segmentation as they want to deliver better and optimum product which suitable for
the citizen and perfered suppliers who selling productive products.
Objectives:
The company having objective to focus new concept of product introduce in the market
to creates some dynamic changes (Pike, 2016). As they can plan to introduced new baby product
which comprise about the baby's health food and health care product name Nestle Care.
According to this new product the marketing STP could help to determine Nestle product market
segmentation, targeted customers and positioning in competitive market place.
Swot Analysation:
STRENGTH WEAKNESS
 Nestle is having excellence source of
Research and Development which is
unbeatable.
 Their existence in many location across
globally where they have captured the
high level of geographical market.
 They have less competitor for their
product as well as their brand portfolio.
 Some of effective and valuable product
of Nestle like Kitkat, Maggie has
overtake the competitor market.
 Nestle is having highly effective
marketing promotional activity.
 They need to faces the criticism of high
water usage, selling contaminated food
items and unethical way of other
products.
 Some of the product of Nestle faces
challenges in the market for quality
point of view for example: Maggie, it is
product where it creates an negative
impact when research found lead in it.
OPPORTUNITIES THREATS
 By clearing of proper labelling of
product could make reflect towards
harmful product.
 The advantages of raising the small
Silicon Valley which are related with
 As they have poor quality and scarcity
of water.
 The increasing the competition of
beverages product in competitive
market.
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start up food.  The prices of coffee beans could
significantly rise due to major weather
disaster.
Pestle Analysis According to this framework of macro environment factors is been used in
environmental aspect to s measure or analyse the component of external market environment.
Political: According to this factor is determines the corporate and government policies
create an influence to the organisation. Nestle operates across 190 countries and various political
factor that affect the day to day operations in the organisation. The policies which makes changes
formulated in Nestle which relate with import, export and other corporate regulation.
Economical: Through this factor, it derives about the specific country economic like
market growth, inflation, recession and other that create directly impact on business. The cost of
raw material which consumed changes due to political and environmental factor where they
provide quality of food to bring major challenge. As they need trying to expand their business in
United Kingdom, but the Brexit market is big challenge for Nestle to attain the competitive
advantages of their business.
Social: To determine the social environment of the specific market is matter to their
cultural trend, demographic, population analytics etc. Nestle has focuses towards the market
trend of UK where different type of people's having their distinct level of taste and preferences
that ability to anticipate the requirement of customer and bale to offer high quality price.
Technological: In this factor it describes the innovation in technology create an impact
towards the industry and market. As Nestle is considered towards the digital solution and
services of internal and external market. The scope of technology is having in good in United
kingdom.
Environmental: The factor includes overall influence or are determined by surrounding
in the presence of current environment. To making assure that Nestle makes convince towards
their product manufacturing which create an Zero environmental via its operation. The group
efforts to reduces which is assorting the plastic in their product and their aim to accomplish the
target to producing eco friendly type of product which creates positive impact towards the
society.
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Legal: According to this factor is emphasis the legislation system is propounded to be
analysed and construct for not allowing the unethical product traits in as per the pattern. The
product of Nestle is predicts as surety as they would not be manufacture any unethical product as
well as raw material consumption that creates any kind of negative influence.
Marketing STP
The procedure of marketing STP is describes about the connection between overall
market and the specific company who determines to compete with their product in that particular
market. As it refers to the process of segmentation, targeting and positioning where these three
factor plays different and important role by providing the optimum information related to the
product scope, customers and competitive market opportunities (Rancati, Gordini and Capatina,
2016). The objective of market STP is to guide the organisation to the development and
implement as per the appropriate manner in company perspective. In below there is STP of
Nestle company for their new baby product “Care”.
Segmentation: This is the factor which dividing the market into smaller groups of buyers
and sellers as per the distinctive needs, characteristics and behaviour of particular selective
market. In perspective of Nestle company, their new product “Care” can approach the market in
urban and rural areas where they can easily segregate the market in smaller group, age, gender
etc. By making a proper advertisement with assurance of product specification benefits for baby's
health, food and personal care context along with implement the costing as per the market
research and their targeted customer buying capabilities.
Targeting: According to this marketing factor, it helps to evaluate each market segments
point of view to attract the customer or target the customer at the time of new product
introducing in the competitive market (Rudden, 2016). By target the people for new product of
Nestle's “Care” as it derives the health care and baby product. So, the company can easily target
to small babies.
Positioning: By arranging the product to occupy a position to holding a desirable places
that relative to compete with the products in the minds of customer which targeted by particular
company. As Nestle's product is having an effective approach where the customers are actively
approach the products. Thus, new product of Nestle “Care” can be positioned on the basis of
their target customer's attributes.
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Monitoring and Controlling:
The concept of monitoring and controlling having process overseas all objectives and
necessary are essentials to ensure that they approve the authentic project as per the availability of
scope, on time and on budget that proceeds to eliminates the risks. For Nestle company's “Care”
product could be measured through incurring the cost and other expenses, promotions and raw
material cost are factors which company needs to monitor as well as they have to measure from
their previous data performances (Piñeiro-Otero and Martínez-Rolán, 2016). They have to
control their expenses by analysation of their profit margin and market share ratio as it will
support to manage their budget in terms of investment in their product expenses incurred.
Evaluation
The raising of new product by Nestle is very effective as company has invested their
vision and mission in new product specification in health care sector. As the brand value of
Nestle is covered overall market as well as customers having trust to Nestle product quality.
They initially started this vision by introducing the baby health care product. The target customer
would be Nestle existing clients in the market and they have plan to design effective promotional
strategy to attract new customers for generating the high form of revenue. The pricing range
would be decides on the basis of economic scale as well as the quality of product.
Through analysation of Nestle “Care” with marketing mix which will provide an idea as well as
details will generates on the basis of 7ps for new product of Nestle:
Marketing Mix(7Ps) Information related with new product of
Nestle's “Care”
Product The product description is baby health and
personal care product which is consists
different traits of lotion, creams and food
related items.
Price By targeting rural and urban areas customers
along with Nestle need to implies their cost on
the basis of new and existing customer buying
capacity (Zolkifly and Baharom, 2016).
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Nestle's “Care” is derives its prices as in
economic range where people can easily
approach.
Place As it is a health care product so, the availability
of Nestle's “Care” will be in rural and urban
countries, Malls and hospital centres where
customers can approach and buy the product as
per their convenience.
Promotion The promotional strategy of Nestle's “Care”
will promote through social media platform,
street banners, digital marketing sources
approach to making the product awareness
effectively.
People Company decides to hire new candidates from
science and biological background to making
their product successful achievement where it
generates positive outcomes.
Process By adapting of new technologies and optimum
quality of raw material procure by Nestle
company to effective manufacture of Nestle's
“Care” product
Physical evidence The presence of physical evidence of Nestle
company having better goodwill in the world
wide market as the company logo is creates a
value in the competitive market. The customer
are very loyal towards Nestle products (Wirtz
and Lovelock, 2016).
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CONCLUSION
From above report of Marketing Essentials as it comes to conclude as by explaining of
different roles and responsibility of marketing as well as in organisation perspective that shows
about how a company can boost their brand or product value in market through effective
marketing. By discussing the marketing mix to applying 7ps of marketing to compare between
two companies who belongs from the same business industry which generates the information
and accomplish business related objectives. At last, to framing a better and effective marketing
plan that provides the guidance to the company about their new product related opportunity and
challenges information. The making of STP in the context of new product as choosing of
market , target customer and compete with other brand product to retain the productive position
in the competitive market. Apart from it by accessing the cost and expenses forecast and new
marketing mix of new product of company for better marketing plan.
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