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Café Nescafe looks at institutions for growth

Our Bureau


Mr Carlo Donati, Chairman and Managing Director, Nestle India, inaugurating a Cafe Nescafe outlet in Gurgaon, near New Delhi, on Thursday. — Ramesh Sharma

New Delhi , May 6

NESTLE India is looking at the institutional segment as a key thrust area for its Café Nescafe outlets.

The company follows a flexible model with regards to the Café Nescafe outlets and the choice of module is adapted to cater to consumer needs in that location.

Though not giving any future targets as far as outlets in the institutional segment are concerned, Mr Carlo Donati, Chairman and Managing Director, Nestle India, said a place such as Gurgaon which has a fairly high concentration of corporate offices, particularly BPO firms, has potential of at least half-a-dozen outlets, while Delhi alone can see a few dozen outlets come up. "It is a good place to sit down, have coffee and take a break from work," Mr Donati said.

Nestle on Thursday inaugurated a new Café Nescafe at an office complex in Gurgaon.

The concept of Café Nescafe was piloted in India in 2000, and since then, over 350 outlets have been opened in metros, mini-metros and major cities. During the year 2003, more than 40 million cups of beverages were sold from these outlets. Meanwhile, depending on the location, a Café Nescafe can offer a wide variety of speciality products and a complete coffee ambience or a simpler Coffee Corner. Beverages offered at the outlets include hot and cold coffee, badam milk, ice tea, hot tea, Maggi soup and Nesquik.

Talking about Nestle India's current product offerings, Mr Donati said the brand Milo is currently under review though no decision has been taken on the brand. The company's recent annual report had mentioned that Milo's performance "continues to be impacted in an extremely competitive market environment and the product is under review to enhance competitiveness."

Mr Donati added that the company may also commence manufacturing of Nesquik in India, once the volumes justify such a move. At present, Nesquik is being imported.

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