Case Study

Innovation and renovation: The Nespresso story (Revised)

24 pages
February 2000
Reference: IMD-5-0543

The case traces the development of the Nespresso System in a 100%-owned affiliate deliberately placed outside of Nestlé’s main organisational structure. It highlights the team’s successes and challenges in creating a new, small, niche segment in the mature coffee market and its prospects for growing the business from Sfr 150 million to Sfr 1 billion within the next decade. A radical departure from most Nestlé lines of businesses targeted to the mass market, the Nespresso story offers provocative lessons about innovation in large, highly structured organisations.

Keywords
New Product Development, Direct Marketing, Coffee, Nespresso (Brand)
Settings
Global, Switzerland
Nestlé, Nespresso, Consumer Goods, Coffee
Autumn 1999
Type
Field Research
Copyright
© 2000
Available Languages
English, Japanese, Spanish, Chinese, Portuguese
Related material
Teaching note, Video
Case clearing houses
IMD case studies are distributed through case clearing houses. In order to browse the collection and purchase copies please visit the links below.

The Case Centre

Cranfield University

Wharley End Beds MK43 0JR, UK
Tel +44 (0)1234 750903
Email [email protected]

Harvard Business School Publishing

60 Harvard Way, Boston MA 02163, USA
Tel (800) 545-7685 Tel (617)-783-7600
Fax (617) 783-7666
Email [email protected]

Asia Pacific Case Center

NUCB Business School

1-3-1 Nishiki Naka
Nagoya Aichi, Japan 460-0003
Tel +81 52 20 38 111
Email [email protected]

Contact

Research Information & Knowledge Hub for additional information on IMD publications

2003 EFMD AWARD WINNER (Marketing)
Best-selling Case Study
Looking for something specific?
IMD's faculty and research teams publish articles, case studies, books and reports on a wide range of topics