India is a massive growth opportunity for premium coffee: Nespresso Global CEO – CNBC TV18

Nestlé Nespresso is betting huge on India’s espresso market, calling it a “large opportunity” because it opens its first boutique within the nation.

Chatting with CNBC-TV18, Global CEO Philipp Navratil stated India’s younger, curious shopper base and rising curiosity in premium experiences make it a key growth market for the model.

“It’s nonetheless a tea market, however the opportunity right here is family penetration. It’s about making the espresso enterprise pie larger in India. And the potential is massive,” he stated.

Globally, espresso is present process a shift in the way it’s consumed and perceived. Espresso is now not simply a morning choose-me-up however one thing folks drink for pleasure. “Truly, for the primary time, we see that espresso for stimulation functions… has been changed by what we name cups for pleasure,” Navratil stated.
This evolution is being pushed by a youthful, extra experimental group of shoppers who’re embracing chilly brews, milk-based mostly and flavoured coffees. Alongside this is the rise of premiumisation, with folks desirous to know not simply how their espresso tastes however the place it comes from, the way it’s grown, and the way sustainable the method is.

“There’s a huge pattern in folks desirous to grow to be espresso specialists. It’s actually like wine,” Navratil stated, noting that social media and low outlets have helped gasoline this tradition. “You wish to have a good machine at dwelling. It speaks to who you might be and what you want.”

As espresso turns into extra of a cultural and social expertise, Nespresso is trying to deepen its direct-to-shopper technique, investing in digital engagement and personalisation. “We wish to grow to be higher, extra partaking with regards to actual personalisation,” he stated.

Sustainability, Navratil harassed, stays on the core of Nespresso’s enterprise. “We consider we will solely supply the very best quality espresso if it is grown sustainably. And rising sustainable espresso means figuring out your farmers by title,” he stated.

With India, the corporate hopes to faucet into each the rising curiosity in premium espresso and the curiosity round espresso origins — together with Indian-grown beans. “Bringing this premium expertise to India for the primary time is a large step in the suitable path for us,” Navratil added. “This is the primary of extra to return, for positive.”

Watch accompanying video for whole dialog.