Outside In continues studying Nestle’s Digital Initiatives this week, with coverage on China Nescafe’s Gaming efforts to better connect with Gen Z. Without much ado, we jump right in…
Identifying the Challenge and Fixing the Direction of ‘Play’
Nescafe Tin Can was in decline and losing relevancy in the RTD (Ready to Drink) coffee category and especially with the Gen Z consumer
Gaming Culture was considered synonymous with young consumer’s lives:
Gaming population of 509 million, of which 60% where Gen Z
Esports conversations: 5000+ million
56% players drank (a beverage) while Playing
So, that is the proposition Nestle decided to focus on:
Reaching Gen Z, who were rejecting traditional channels
RTD (Consumption) is Versatile, so it was important to define the ‘right occasion’
Competitors were losing their shares as well, so a revaluation of their real competitive set was much needed
Nestle Game Plan
Establish Gaming as THE Nescafe Tin Can consumption occasion, communicating “stimulation and self-confidence” via seamless and valuable integration into Gen Z’s virtual and physical worlds
Success Criteria to Win:
Recruit 18-25 year olds – Drive Growth
Coffee and Gaming – Build Authority through Owning Consumption Occasion
Be Relevant – Drive Consideration and Trial
Engage with Strong Consistent Consumer Base
Go Big or Game Over
a) Creating a Mix of Virtual as well as Real Worlds
b) Game Changing POS Creative
c) Hyperlocal Out of Home (OOH) Strategy when AFK (Away from Keyboard)
d) Integrated with Online TV Show – Honor of Kings
Being part of the action – Driving relevance through Integration – leading to 925 million video views
e) eSports Contest: Compete with your Heroes
f) Livestream Sessions & Matches
g) All Star Player integration at Every Touchpoint in the Ecosystem
Results – Success Criteria to Win:
Recruit 18-25 year olds – Drive Growth – 24.3% YoY
Coffee and Gaming – Build Authority through Owning Consumption Occasion – Most related words with Nescafe Tin Can include “Gaming” and “IP”
Be Relevant – Drive Consideration and Trial – Consideration: +11%, QR Code Scan: 2X YoY
In Conclusion
Play to Win with a Gaming Strategy
Value Exchange
Consistency and Commitment
Integration
References & Sources:
1) My Notes from the Nestle Nestlevel 2022 Event: https://nestlevel.vfairs.com/en/#agenda