Sales Management
NESTLE
Group Members
M.Arslan Jan
BBA-02103-143
INTRODUCTION OF NESTLE
In the 1860s Henri Nestl, a pharmacist, developed a food for infants.
In early 1900s, the company was operating factories in the United States,
Britain, Germany and Spain.
In 1905 Nestl merged with the Anglo-Swiss Condensed Milk Company.
Six worldwide corporate brands, Nestl, Nescafe, Nestea, Maggi, Buitoni
and Friskies
INTRODUCTION OF NESTLE PAKISTAN
In 1981 nestle opened his first production unit of UHT in sheikhupura.
1988, it had expanded its operation and was also producing butter, cream, desighee all under the brand name of MILKPAK and juice drinks under the brand name FROST.
Now nestle is running successfully in Pakistan and giving the job opportunities more
than any multinational organization.
Selection of products
We have selected two major products among the diverse product line of
nestle.
Nestle pure life (mineral water)
Milk Pack
In Lahore, Nestle Pure Life has 69% shares, Aquafina has 13% and Cool
water have 11% and remaining 7% are kept by other companies. 55%
of Nestle Milk Pack in LHR total market As in Milk industry Haleeb got
20%,olpers 20% and 5% others.
Yearly Base Sales Strategies
Organization Structure
Recruitment
Training and motivation
Compensation
Organizational Structure
Recruitment
Competencies are check while hiring applicants.
Job specifications are mentioned to the applicants, applicants are selected on the bases
of their job skills.
Nestle uses the medium of temp recruiting agencies on the contract bases.
At the time of interview the panel is set by the HR department of nestle which took
interviews of the short listed applicants.
Training
Literacy training-to upgrades essential literacy skills, especially for workers
who operate new equipment
Nestle apprenticeship programs are also provided to employees to
enhance their working skills.
Training Programs-on issues ranging from technical, leadership, and
communication and business economics.
Motivational Techniques
The Company operates a recognized provident fund for all its regular employees,
excluding expatriates.
Nestle implement the SH&E (Safety Health and Environment Policy) Management
System at all workplaces and incorporate all applicable SH&E Standards.
A list of other benefits working as motivation factors
among the employees of Nestle Pakistan:
Higher salary
Job Security
Gratuity
Bonuses
Old age benefits
Residence facilities
Transportation
Health and safety
Rewards in Nestle:
Performance Driven
Competitive
Inclusive
Flexible
Benefits at Nestle
Leave-Personal & Medical (fixed no. per year)-
Children Education Assistance Scheme-
Provident fund-
Retirement Gratuity Scheme.
Group Insurance & Accidental Insurance Scheme.
Conveyance Reimbursement Scheme.
Group Insurance & Accidental Insurance Scheme.
Conveyance Reimbursement Scheme.
Long Run Strategies
Logistics:
Distribution Network
Sales Forecasting
Distribution Network
Vertical Distribution Channel (Pull Strategy):
Conventional Distribution Channel
(Push Strategy)
Sale Forecasting
Nestle prefer the quantitative technique as well as the qualitative technique based on
conditions (newly launched products for qualitative and existing product for
quantitative techniques) for the sales forecasting because it is dependent on the
historical data of sales.
Day to Day Strategies
Techniques
Personal Selling
Direct Marketing
Sales Promotion
KAM
IT
Exhibitions
Personal selling
A direct Vendor Selling Activity was coordinated and carried out during the summer
months of June, July, and August 1999 in Lahore. A team of vendors, clad in branded Tshirts, caps and jackets, sold chilled 0.5 liter bottles to traveling customers on all major
intersections. The brand got great mileage out of this innovative idea of personal selling
in terms of brand awareness, paid trial, image as well as real sales.
Direct Marketing
At nestle distribution of products, information and promotional benefits
to target the consumers through interactive communication in a way
which allows response to be measured
Posters
Billboards
Broachers
Recreational campaign (in different universities colleges, stalls at malls)
Sales Promotion
Trade Promotion:
They achieve widespread distribution of new brand.
Nestle display the excess stocks on retailers shelves.
Nestle achieve required display levels of product.
They encourage greater overall stockholding of a product.
Nestle also encourage support for overall promotional strategy.
Personal Promotion
Personal Promotion:
Extension in new product line.
Encourage the retained customers to buy the slow selling products.
Nestle develop the new options for sales people and KAM customers.
Develop new sales skills to the sales persons by giving them up to date training and by
giving them compensations
Key Account Management
Key account management is an approach to build sustainable business by
first looking from the lens of the customer.
Following are the nestle KAM status holders:
HYPERSTAR
MAKRO
METRO
Pot Puri
Alfateh
HKB
Victoria
Influence of IT in Nestle
Now a days IT is very beneficial for the success of business in modern era. Nestle use IT in the
following areas:
KAM is listed by software
Inventory system
All the salesman are inter connected to the main server (they are centralized).
Nestle also use IT in sales forecasting
It also uses IT in recruiting process
Nestle also uses IT in Office work (all the employee daily task is uploaded in main head
quarter server from any region.
Exhibition
Nestle Business expos:
Various stalls for new product are exhibited at
Pearl Continental (Lahore)
Marriot (Islamabad, Karachi )
Royal Palm (Lahore)
According to the segments which nestle have divided.
Nestle aware customer about the social responsibility, and the
environmental responsibility. Nestle pursue the existing customers to have
a status of KAM customers. Acquire new customers .
Conclusion
Problems according to the group analysis
The company should make huge expenses on advertisement in rural areas
of Pakistan to create awareness in the mind of local area's people. The
company should held seminars and meeting for the promotion of Nestle
Pure Life.
Strategies Recommended For
Rectifying Problems
They should increase their product quality as now a day they are facing
problem of impurity of their products.
they have to do more, making their strong position in market because
when you lose your image in customers eye then it is difficult to renew
their image.
Any Questions ?
Questions / Answers
Thank you !
