Now this is interesting. BusinessWeek just reported that Swiss coffee giant Nespresso is making a play for the US market. The BusinessWeek article states valid reasons for this move. You can see the article here BusinessWeek Nespresso Article
Nespresso is HUGE here in Austria. The stores are glitz and glamour. They have tasting bars so you can decide which of the 10 flavors you want to buy. The extremely expensive machines are on display like artwork. The catalogs are slick and a marketer’s dream. George Clooney is the spokesperson for Nespresso and you see the commercials all the time on TV. My husband’s 75 year old grandmother has even stated, ‘That coffee guy, he sure is good looking.’
Nespresso is a machine over here. No pun intended.
It makes sense in Austria where coffee is such a big part of the culture. Check out my blog post concerning how big coffee really is Coffee Post
I have to confess. I have a Nespresso coffee machine at home. I buy the capsules. I drink the coffee. It’s good coffee. I mean really good. So good that I won’t drink the American coffee and I sure in hell won’t drink the Starbucks coffee. It tastes burnt to me. My little Nespresso machine chosen in a color to match my kitchen produces smooth, rich, flavorful coffee. Not watery, not burnt tasting. I look forward to my cup every morning. And hey, I don’t have to stand in line for it either!
I’ve invited a lot of people over to my place on a Sunday afternoon to have a cup of coffee and chat. Everyone says the coffee is good. Aunts, cousins, my father, uncle, and friends. That’s a lot of happy, satisfied, impressed people. My cousin actually called me two days ago out of the blue to ask me a few questions. He asked if I was really happy with it and I said yes. He then said that he was going to buy one for his office. And he didn’t mind that he was going to have to order the capsules online.
Keeping the Nespresso machine clean is easy. I wipe it down once in awhile. I put the plastic parts in the dishwasher. Due to the capsules, there is no fumbling with the coffee grinds which usually go everywhere. I just drop the capsule of my choice into the machine, and done. Coffee.
There is one draw back that I really don’t like. The machine only makes one cup of coffee at a time. When I have guests, I make one cup, then run to my first guest and give it to that person, then run back to deliver the second when it is done. I don’t want anyone to drink cold coffee. Also, the coffee could be a little bit hotter. What I do to make up for that though is heat up the milk in the microwave. For those that don’t take milk, I put their cup in the microwave to heat up the porcelain.
I think Nespresso has a shot in the United States. People don’t want to spend the money that they have been at Starbucks anymore. People are pulling back from gathering at restaurants to socialize. What’s left is inviting people to your home to entertain. Entertaining goes well when you have good coffee to serve.
Also Nespresso is a marketing machine. They know how to push their product. As a marketing manager myself, I wouldn’t mind working for Nespresso. It would be fun.
This was kind of amusing to read. It’s pretty clear that the BusinessWeek article left you with the impression, being overseas, that Nespresso did not yet exist here in the U.S., when in fact it has been around for many years.
For example, two years ago I reviewed my experiences with the C180 Le Cube (I run a pretty extensive online database of espresso reviews):
http://theshot.coffeeratings.com/2007/05/nespresso-c180-review/
There you’ll notice store shelves stocked with various Nespresso and competitor machines.
Unfortunately, I find Nespresso one step forward in convenience but two backwards in coffee quality. Perhaps the turnover time from roast-to-use is much shorter in nearby Austria. But here in the U.S. it is quite poor, producing very sickly pale crema as in the photo in the above link.
Most American consumers don’t have the standards I have for home espresso, though. Even so, I think you need to realize that Nespresso has been aggressively pursuing the American market for many years now.
Hi Greg,
I’m a born and raised American and just left LA a year and a half ago. You are right. I had heard of Nespresso, but the brand was very weak in my mind. Nothing I would have considered purchasing.
When I came to Austria, I was shocked at how big it was over here. I thought, you have to be kidding me that this is considered a luxury brand. As I settled in Vienna and went to visit friends, they had Nespresso machines and I received a cup of coffee. In my opinion (as it’s just that and I am no expert as you appear to be from your blog) it’s good stuff.
I think I should have been more clear in my blog post. Nespresso is coming to the US with a new angle. They are going to hit the US market the way they have hit the European market. From a marketing stand point, this is going to be one interesting show.
Don’t think it exist in Canada either…
My friends have a machine though, but mostly because they are French and hate American coffee (you know, these huge cups of brownish hot water).
I don’t know if people would be willing to give up Starbucks (or Timmies in Canada) for home café. I think Starbucks etc. fill another niche, like working people… North Americans don’t really drink coffee at home, do they?
Hi Zhu,
Hmmm… Starbucks filling the working people niche. You have a point.
Hi there. I saw your comment on the Business Week article web page and thought I’d take a look at your article. I also wrote an article on my blog in response to the Business Week article (http://beveragegeek.blogspot.com/), so I thought I’d forward the link to that article as a way of continuing the discussion. I also have a Nespresso machine and am a big fan. I believe that Nespresso does have a shot to catch on in the U.S., but with U.S. taste preferences falling much more on the side of coffee rather than espresso, it will not be easy. Would love to hear any thoughts in response to my article as well. Thanks.