INTRODUCTION TO BRAND FOR FYP

1.1 Introduction

Nestea is a brand of iced tea manufactured by Nestle and distributed by Nestle Company’s beverage department in the United States and by Beverage Partners Worldwide (BPW), a joint venture between The Coca-Cola Company and Nestle, in the rest of the world. It competes with Unilever/PepsiCo's Lipton Iced Tea.

However, there is just Nestea Ice Tea Lemon Flavor available in Malaysia. It is a powdered concentrate of premium tea with lemon flavor that dissolves easily in cold water. It is refrigeratable and ready-to-drink bottles dispensed by vendor or vending machine. It is a healthier option as it contains all the refreshing goodness of tea, with a nutritional boost of vitamin C and 31% less sugar than other ice tea lemon tea brands.

Nestea's biggest markets are the United States, Canada, Australia, Taiwan, Italy, Spain, Switzerland, Germany and Vietnam. In Sri Lanka Nestea is a very different product, producing a hot, sweet milky tea on mixing with hot water. The product is manufactured and distributed by Nestlé Lanka (Pvt) Ltd.

Israel, Canada, Mexico and United States are the only countries that market diet Nestea flavors. Another instant hot tea product called Nestea (without sugar and milk) was marketed by Nestlé in the UK for a few years in the 1970s. However, it was not a success and was subsequently withdrawn.

1.2 Problem Statement and Issues

Nestea is not really well known yet as it just launched two years ago in Malaysia. It has tough competition from other existing brands such as Lipton which affect its sales. Peoples prefer ready products rather than instant powder which need to prepare themselves. Some of them even mixed up Nestea with other brands especially Justea. Besides, another issue has shown which is hard to find the Nestea products in the mini market or grocery store. Peoples have to go to the bigger supermarket to purchase their product. Even though, the products of Nestea has placed at a store rack that are not eye-catching enough which make people unknowingly ignore the products. In addition, the packaging design of Nestea is quite similar to design of Seasons Iced Tea. The similar characteristics between these two products are their colours which are orange and blue that makes people confused between both of them. Most importantly, they did not get a best way to advertise their product. Moreover, there is no information about Nestea products at their official website. Peoples cannot get to know Nestea even from their website. This is one of the reasons which made Nestea not really well known in public.

1.3 Objectives and Aims

The objectives of the analysis are: 

• To do a situational study on the market of tea beverages in Malaysia to determine the consumer opinions toward tea beverages.
• To learn and understand the consumer behaviours, demographics and psycho graphics in details.
• To help stand out the brand identity of Nestea in the view of brand image and design.
• To make Nestea stands in the same market place as its tight competitors such as Lipton.

The aims to be achieved are:

• To study about the industry, the company, the brand, and their products.
• To analyse the competition in comparison to Nestea.
• To organize more outdoor events such as mini game contest, give away free gift in co-operate with other sponsors as to promote Nestea.