Expert view

“Instant coffee enjoys one of the highest solus purchase levels in the grocery market; about two-thirds of households use only one brand at any one time, and brand loyalty is also very high. Variants like Blend 37 or decaffeinated do appear in conjunction with other brands, as they tend to be drunk by one individual as a personal taste.

“Green” coffee bean prices have almost trebled in the past 15 months, and consumer prices have risen by 40 per cent. This increase would explain the finding about the importance of comparative cheapness, and also explains whwdaey the own label share has crept up.

People are also influenced by price when they are choosing their brand in store; on-shelf offers are often based on price competitiveness, as manufacturers and supermarkets promote through multi-buys and price-cutting.

Consistency is the key word in coffee marketing: consistency of communication and consistency of product quality. The strength of Nescafé is based on high brand loyalty, which in turn is founded on reliable product quality.

This experience of product quality is reinforced by advertising. Both Nescafé and Gold Blend have very long-running advertising campaigns in which the executions have changed but the strategies remain constant. The Gold Blend “soap opera” started in the mid Eighties and is now into its second series, but the strategy of “sophisticated coffee for sophisticated people” on which it is founded is as relevant as ever.