Nestle SWOT Analysis, Competitors, Segmentation, Target Market, Positioning & USP

Published by MBA Skool Team, Last Updated: April 29, 2020

SWOT analysis of Nestle analyses the brand/company with its strengths, weaknesses, opportunities & threats. In Nestle SWOT Analysis, the strengths and weaknesses are the internal factors whereas opportunities and threats are the external factors.

SWOT Analysis is a proven management framework which enables a brand like Nestle to benchmark its business & performance as compared to the competitors and industry. As of 2020, Nestle is one of the leading brands in the food & beverages sector.

The table below lists the SWOT (Strengths, Weaknesses, Opportunities, Threats), top Nestle competitors and includes Nestle target market, segmentation, positioning & Unique Selling Proposition (USP).

Nestle SWOT Analysis, Competitors, Segmentation, Target Market, Positioning, USP & Brand Analysis Table
Nestle Brand Analysis
Parent Company

Nestle Ltd

Category

Food Products

Sector

Food & Beverages

Tagline/ Slogan

Good Food, Good Life

USP

Nestle is one of the biggest food processing, health and wellness brand in the world

Nestle STP
Nestle Segmentation

People looking for good quality, branded products like foods, dairy products, baby food, pet food, confectioneries, etc.

Nestle Target Market

Urban middle and upper middle class

Nestle Positioning

Nestle is a world class company providing good quality, healthy and tasty food and beverages

Nestle Product Portfolio
Brands

1. Nestle Milkybar

2. Nestle MilkMaid

3. Nestle Everyday Dairy Whitener

4. Nescafe

5. Maggi

6. Nestle Kitkat

7. Nestle Bar One

8. Nestle Polo

The above mentioned brands are the prominent products under the Nestle product portfolio.

Nestle SWOT Analysis
Nestle Strengths

Below are the Strengths in the SWOT Analysis of Nestle:

1. Nestle has an experience of more than 140 years in the industry
2. Nestle is one the world's biggest brand and is consistently in the Fortune 500 list
3. The company has a global reach with presence in over 86 countries
4. Employee strength of around 330,000 people worldwide

5. Nestle offers a wide product range including baby food, pet food, dairy products, confectioneries, pharmaceuticals, beverages, etc.

6. Popular brands owned like Maggi, Haagen-Dazs, Boost, Kit Kat, Nescafe, etc.

7. Largest R&D network facilitating continuous innovation

8. Nestle has a very strong supply chain network and products are available through groceries, supermarkets and even online worldwide

9. C.S.R. activities for rural development, environment protection, water conservation,, etc.

10. Mergers and acquisitions and joint ventures have strengthened Nestle's market position

11. Strong marketing and advertising through TVCs, print media, online ads, OOH and sponsoships

12. Brand loyalty and brand recall of Nestle is extremely high for the brand

Nestle Weaknesses

Here are the weaknesses in the Nestle SWOT Analysis:

1.Being a big global brand, numerous controversies in different countries of operation cause issues
2.Strong competition by other brands means limited market share growth for Nestle

Nestle Opportunities

Following are the Opportunities in Nestle SWOT Analysis:

1.Introduce more health based food products to tap the health consciousness amongst consumers
2.Expanding focus on developing economies can boost business for Nestle 
3.Continue with acquisitions and joint ventures to increase its market share

4.Try to capture the rural markets

5. Tie-ups with leading hotel chains, restaurants, schools, government institutes etc can help Nestle maintain its market dominance

Nestle Threats

The threats in the SWOT Analysis of Nestle are as mentioned:

1.Failure of the complex supply chain at low levels can affect the business
2.Economic instability and recession in countries can adversely affect Nestle because it is a global player
3.Events like Eurozone crisis, as most of its revenue comes from Europe

4.Increase in cost of raw materials can affect profit margins

5.Stiff competition in all product segments

Nestle Competition
Competitors

Below are the top 7 Nestle competitors:

1.Unilever
2.Kraft Foods
3.Sara Lee

4.Danone

5.Mars Incorporated

6.Hershey’s
7. Parle Products Ltd


This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.

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