Professional Documents
Culture Documents
Kitkat is one brand amongst many operated by the Nestle company. The Brand manager is
given significant scope to manage the brand within the agreed marketing strategy. The
Brand is traditional and has done well but has several European competitors, mainly on
price and national image (eg Norway). There are some cost pressures too – the size has
been slightly reduced – although in a same-size pack – and this has received adverse media
attention. Also some retailers feel it is a tired brand with tired advertising and only older
customers buy it. The cutting of staff budgets mean a loss of one person in the current
team.
Within the firm – there are tensions between marketing (brands) and production facilities
about allocation of costs and required brand profitability ( the production dept within Nestle
are suffering increasing world cocoa prices). This has recently been reset by an ambitious
new marketing director from Switzerland, Mme Cecile Emery. Their advertising agency
(which is large and successful) has kept fees low for 2 yrs and wants to renegotiate the
contract now.
Key accountabilities;
1. To ensure that yearly targets for sales revenue and profits are met as set out in the
Category Plan. (UK targets are same as last year £88m rev, and £30m profit.)
6. To manage within the allocated spend on the Brand and staff budgets to achieve all
the above.
Q. Discuss in groups – what is difficult about this job and why? What tensions exist within
and between the 6 accountabilities? How sure do you feel that you could meet this years
targets. It will help if you draw a stakeholder diagram for the Brand Manager.