Global Business Strategy
Nestle’s Kit Kat aspires to be a leading global confectionery brand. Nowadays, Kit Kat is produced within 21 countries by Nestle, including Germany, UAE, Egypt, Indonesia, Venezuela, and Japan. In USA, Kit Kat is produced by The Hershey Company, due to a prior licensing agreement with Rowntree Corporation.
Kit Kat owes much of its success to its unique appeal and common availability, as two- and four-finger biscuits sold in convenience stores, corner shops, and supermarkets. The brand has thrived in global market for the past 75 years because of its attraction across different age ranges and both genders.
Kit Kat’s unique selling points are implemented through the following global brand strategies:
- Different Varieties & Limited Editions – flavour, forms, and shapes
- Making it widely available
- Well known tagline: ‘Have a Break, Have a Kit Kat’
Kit Kat owes much of its success to its unique appeal and common availability, as two- and four-finger biscuits sold in convenience stores, corner shops, and supermarkets. The brand has thrived in global market for the past 75 years because of its attraction across different age ranges and both genders.
Kit Kat’s unique selling points are implemented through the following global brand strategies:
- Different Varieties & Limited Editions – flavour, forms, and shapes
- Making it widely available
- Well known tagline: ‘Have a Break, Have a Kit Kat’
Different Variants & Limited Edition
For the last couple of years, Nestle has been producing numerous limited editions for Kit Kat, such as Kit Kat Chunky Peanut Butter and Kit Kat Green Tea Chocolate. Different variants in the traditional chocolate bar first appeared in 1996 when Kit Kat Orange was introduced in United Kingdom. Its success was followed by several varieties including caramel.
In Japan, there are more than 40 different flavours available, including Wasabi, Strawberry Cheesecake, Lemon Vinegar, and Cucumber. In China, it is sold in plastic bag due to the humid weather in the region.
Limited editions are used to attract consumers. Market research has shown that loyal consumers prefer special editions to be available for a limited time only. Consumers are likely to purchase the original Kit Kat at the same time or shortly after. Therefore, this strategy is a good way to test a new market as well as prolong Kit Kat's product life cycle. The Kit Kat Chunky Bar has proved so popular that the product is now permanently available in the global market.
In Japan, there are more than 40 different flavours available, including Wasabi, Strawberry Cheesecake, Lemon Vinegar, and Cucumber. In China, it is sold in plastic bag due to the humid weather in the region.
Limited editions are used to attract consumers. Market research has shown that loyal consumers prefer special editions to be available for a limited time only. Consumers are likely to purchase the original Kit Kat at the same time or shortly after. Therefore, this strategy is a good way to test a new market as well as prolong Kit Kat's product life cycle. The Kit Kat Chunky Bar has proved so popular that the product is now permanently available in the global market.
Common Availabilities
Nestle's global Kit Kat team has developed distribution channels which ensure the availability of Kit Kat wherever and whenever the consumer wishes to purchase it. As a matter of fact, sales of confectionery products depend heavily on its availability, with market research showing that more than 60 percent of purchases are made on impulse. Therefore, Nestle tries to supply Kit Kat products to as many outlets as possible, both wholesalers and retailers channels.
Internationally, Kit Kat is available in more than 100 countries throughout the world.
Internationally, Kit Kat is available in more than 100 countries throughout the world.
'Have a Break, Have a Kit Kat'
The first use of tagline 'Have a Break, Have a Kit Kat', written by Donald Gilles' agency, can be traced back into May 1957. A year later, it was used on the very first television advertising by the brand and ever since has been a staple of the campaign for the chocolate bar.
Today, the tagline is one of the most important communication tools for the brand. Its incorporated inside its product packaging and is featured in the media advertisements and marketing campaigns. For instance, in the Singapore's TV advertisement, it depicts a supermarket cashier taking a break with a Kit Kat. This tagline also incorporates the youthful and fun nature of the brand.
Today, the tagline is one of the most important communication tools for the brand. Its incorporated inside its product packaging and is featured in the media advertisements and marketing campaigns. For instance, in the Singapore's TV advertisement, it depicts a supermarket cashier taking a break with a Kit Kat. This tagline also incorporates the youthful and fun nature of the brand.