Several popular brands are owned by Nestlé, including Kit-Kat, Carnation, Nescafe, Stouffers, and Nestle-water. Over $1 billion was earned by thirty of the company’s brands throughout the year 2010. The corporation is now a key player in the worldwide beverage and food markets. One of the food and beverage industry’s most regionally diversified corporations, the company has a decisive advantage over its rivals because of its 42% North American sales. The U.S. and European markets account for a sizable portion of its market share. Nestlé’s main competitors are Unilever and Danone, which are food and beverage industry heavyweights like Nestlé (Best 2011). Food and beverage sales, notably frozen food, ice cream, tea-based beverages, and cookery items, boosted Unilever’s yearly earnings by 26% in 2010. As a result of increasing share prices, Danone reported a 38% rise in profits. Yoghurt sales enhanced the company’s profitability as well. However, a new accounting system adopted by Nestle allowed it to lower its cost of sales and position itself in the market. Allowances, discounts, and promotions for retailers were also included in the company’s sales revenues rather than the marketing line. Nestlé’s sales were down this year, but it managed to keep up with its competitors, making it one of the world’s most popular brands. Nestlé, the world’s largest food producer, has a fierce rivalry with Unilever, the world’s second-largest food maker. More than 230,000 people work at Unilever, based in London for food and Rotterdam for home and personal care products. With a market share of 8.6 per cent, the firm has overtaken Nestle as the second-largest player in the Western European ready meals industry, 0.3 points behind the market leader. Exhibit 1 shows the two major players in Western Europe’s ready-meal business. Unilever has a market share of 7.7 per cent in the dairy industry, with Nestlé and Danone in second and third place, respectively.
Despite this, Nestle manages to remain at the top by adapting its goods to local tastes, resulting in low production costs and many local customers. As a result, the corporation has more than 253,000 workers and operates in 19 countries, giving it an advantage over its rivals in several sectors. With e-marketing, Nestlé has lower supplier costs and reached a broader consumer base than its competitors. As part of its marketing strategy, the company seeks to attract more customers by highlighting the nutritional advantages of its products. As a result, Nestlé has broadened its brand marketing to include a greater focus on nutrition and wellness. To stay ahead of the competition, Nestlé is constantly improving the quality of its goods via the development of food. One of the company’s strategies is to combine science with customer advantages to meet worldwide technological advancements in this way.