NESTLÉ is giving its instant coffee brand Nescafé and its Nespresso single-serve coffee a shot in the arm as fast-growing rivals with lean cost structures chip away at its global dominance. It was thanks to innovation that Nestlé became the world’s biggest coffee seller, by introducing the first instant coffee in 1938 and launching the first capsule machines in 1986.While its two mega-brands still control nearly 23% of the $77bn retail coffee market, the breakneck rise of JAB Holdings — which has bought nine rivals in four years to grab a 16% share — is pushing Nestlé to innovate once more.At the higher end of the market, Nespresso VertuoLine is now being rolled out in France, with other countries to follow in due course. The single-serve machine was launched in North America in 2014 to make cups of coffee bigger than the original Nespresso machines.At the lower end, Nestlé’s instant coffee is getting a boost from a high-profile global campaign to promote its Nescafé Dolce Gusto sin...
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