History of creating the Nestle brand

In today's world, it is difficult to find a person who would not be familiar with the products of the company Nestle and drew would focus on its logo ? nest on a branch with bird, brought food for two chicks, stretched toward her little kljuviki.

But few people know that the history of this company has 150 years and the first production, which she released was children's blend for infant ? substitute of breast milk.

Now Nestle ? a huge Corporation for the production of food, feed, pet cosmetics and medicines with the head office in the Swiss city of Vevey.

The origins of

Founder of Swiss entrepreneur Henry ? (Henry) Nestle, who trained as a pharmacist, lent money from rich relatives, bought a small production and engaged in the manufacture of liqueurs, absentov, vinegar, oil for lamps, etc. Marriage and the birth of the child encouraged him to believe experiment with creating child nutrition through different combinations of cow's milk, sugar, and wheat flour.

His efforts were rewarded: children's mixture of saved the lives of neighbouring newborn, whose body did not take either parent, neither cow nor goat's milk. This was the motivation to continue working in this direction, all the more so in that time ? during the second half of the 19 century ? many infants died due to insufficient or improper nutrition.

So in 1866,. innovative product was created Farine Lactee Henri Nestle Milk or flour, Henri Nestl? and then its production company, named after the creator of baby food. The unique formula provided the body of the newborn with all necessary vitamins and microelements. As a trade mark, which is now familiar to everybody, was chosen by the family crest ? nest with birds ("Nestle" in Swiss German dialect means "little nest").

Within a few years, Nestle infant formula literally conquered Europe, saving kids or simply facilitating the lives of their mothers.

The first merger of two companies

At the same time two brothers ? Americans Charles and George Paige founded a company called the Anglo-Swiss condensed milk company and opened in the Swiss town of Sham first factory: Switzerland is famous for its mountain pastures where cows graze, giving the famous Swiss milk. Your product under the brand name Milkmaid brothers began to supply European shops. They have positioned it as a great alternative to fresh milk, so much so that the condensed milk was of great advantage ? a long shelf life.

In Nestle embraced the company as its competitors and not to lose their positions in the market, took the return move ? marketed condensed milk under their brand name.

These two companies are starting to compete with each other in the manufacture of infant formula and evaporated milk, increasing production and sales. Competitors Nestle went on the U.S. market, but one of the brothers died, and the latter decides to team up with Nestle, which happened in the year 1905. The new company became known as Nestle and Anglo-Swiss Milk Company ("Nestl? and Anglo-Swiss milk company).

New markets and war

But before that Nestle had occurred several important event for her. In 1875,. Henri Nestl? sold the company three business ? this step allowed us to hire more skilled workers and increase sales. In the same year friend Henry Nestle ? Daniel Peter developed milk chocolate recipe by mixing cocoa powder with evaporated milk, which he delivered to Henry, and founded the company Peter & Kohler. Nestle same acquired the right to export its chocolate products, which conquered the world market. Later Peter & Kohler also will be part of Nestle.

At the beginning of the 20 century factory Nestle opened in Great Britain, Germany, Italy, Spain and the United States, and in 1907 d. ? in Australia. To ensure its products the Asian market, Nestle is building warehouses, Bombay, Hong Kong and Singapore.

The first world war made significant amendments to the plans of the company, whose main production facilities located in Europe. Because the needs of the population in dry and condensed milk during the war grew and, in addition, large amounts of government orders, began to arrive in Europe came the shortage of fresh milk. To remedy the situation, the leadership decides to buy a few factories in America.

By the end of the war in Nestle had 40 factories, and sales doubled.

Crisis and expansion of assortment

The war was over, and the company began an economic crisis ? it became liable. The market is no longer needed in such quantity of condensed and powdered milk. In addition, commodity prices rose, and the exchange rate fell sharply.

To exit the difficult situation the leadership invited a well-known banking expert Luis Daplesa, who taxied the situation. One of his solutions was to expand the range of products: in the 20-ies it was chocolate, which has become as popular as the condensed milk and baby food, Nestle, and in 1934 g. the company started to produce special drink with malt under the brand name Milo, powder paste for children and milk with malt.

In 1938,. Nestle has developed the product edition that was a truly revolutionary, "the world's first instant coffee Nescafe.

His background is as follows: in the 30-ies of the 19 century Institute of coffee in Brazil, tried to solve the problem of creating new products from surplus stocks of coffee and asked for help from Nestle. For eight years the company employees were working on a formula for instant coffee and developed the technology of its production, resulting in the famous drink appears, quickly gained popularity. A considerable role in this played and what drink is simple to prepare only enough to dissolve it ? even in hot, even in cold water. It has a long shelf life and for making it no need to purchase nor coffee grinder, no coffee, no.

Back to war.

At the end of the 30-ies in Europe again busted times ? begins the second world war. Like many other companies, Nestle again incurs losses: one only 39th year of its profit decreases by more than three times from 20 to 6 ? million dollars. Its leadership is taking the same steps to salvage the business that and during the first world war ? opens new factories in developing countries. And again, as condensed milk, instant coffee saves ? its purchase in large quantities for the American army, thereby increasing production volumes and sales, and the company becomes the leader of the world coffee business.

New strategies

The post-war years are marked by rapid development of the company. This contributes to a significant expansion of its product range, including through consolidation with other companies. For example, in 1947 g. ? with Alimentana S.A. company, which produces dry soups and food seasonings Maggi. In 1950-m Nestle acquires British company producing canned food Grosse & Blackwell, 1963-m ? company Findus in the production and sale of frozen foods, 1971-m ? company Libby for the production and sale of fruit juices, in 1973-m ? buys a controlling stake in the company, which produces and sells Stouffer frozen foods.

Earlier, in 1948,. Nestle began to produce bottled ice tea Nestea. And in 1966,. its employees have developed technology of low temperature drying coffee beans and started to produce instant coffee under the brand Taster's Choice.

Thus, the policy of diversification of products from Nestle contributed to its sales in 1974,. increased in 4 times.

But Nestle is not going to rest on their laurels: it decides to develop other markets and buys shares of L'Oreal ? the market leader in cosmetics.

However, despite the success of domestic policy, the economic situation is worsening. Nestle This is affected by the price of oil and falling currencies vis-?-vis the Swiss franc. The leadership of Nestle responds promptly to new conditions and goes on risk, increasing sales in the markets of China, Central and Eastern Europe and in developing countries, where at that time was quite unstable political and economic situation. In addition, Nestle acquires a controlling stake in the U.S. company Alcon Laboratories, Inc. ? producer of pharmaceutical and ophthalmic products.

The company's strategy in 1980-1984 Gg. was mainly getting rid of unprofitable businesses, and when its economic situation has stabilized, it has become strategically advantageous. So, in 1985 g. the purchase agreement was signed for 3 billion dollars the largest u.s. food manufacturing company and its trademark Carnation Friskies.

In 1988. bought the British company Rowntree Mackintosh, specializing in confectionery products. In the 97-m ? Italian company producing mineral water San Pellegrino, 98-m ? British producing feeds for pets Spiller Petfoods and the American Ralston Purina, also engaged in the manufacture of animal feed. Trading the same mark in 1999, Findus. was sold. At the same time, Nestle closes a number of plants for the production of ground coffee in the United States, and is focused on the production of elite rulers Nescafe.

Thanks to buying in 2005 g. Greek company Delta Ice Cream, and in 2006 g. ? American Dreyer's Nestle is becoming a world leader in the production of ice cream, controlling nearly 20% of the market for this product.

The following year the company buys from transnational pharmaceutical company Novartis Internationalpodrazdelenie for the manufacture of products for artificial feeding Medical Nutricia, and in 2007 г. ? Gerber, making baby food.

The company today

To date, Nestle Corporation products won 1.5% of the world market. In its assortment ? more than 2000 trademarks. It is dairy products and baby foods, instant coffee and chocolate, broths, mineral water and animal feed, pharmaceuticals and cosmetics. One can hardly find a person who would once have not bought any product under the brand name Nesquik, Maggi, KitKat, Nescafe, etc., owned by Nestle.

The company has more than 400 factories almost 100 countries and annual sales, 2014. more than 90 billion Swiss francs. Capitalization company ? 230 billion Swiss francs, and net profit ? almost 15 billion. The number of staff is nearing 350 thousands.

The Russian market was released in 1995, Nestle, and, in addition to inter-ethnic, it is represented by local brands: chocolate "Golden brand", "Russia ? generous soul" kashas "bistrov" ice cream "48 kopeks," water "Holy spring", etc.

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Автор статьи: Максим Миллер - о авторе.
Бизнесмен, инвестор, финансовый консультант Facebook
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