About company. Nestle success story

Brand: Nestle

Tagline: Product quality. Quality of life (English Good food, good life)

Industry: food production

Products: Food

Owner company: Nestlé S.A.

Year of foundation: 1866

Headquarters: Switzerland

In the mid-60s of the XIX century, an experienced pharmacist Henry Nestle began to experiment with various combinations milk, wheat flour and sugar in an attempt to create an alternative food source for infants who could not be breastfed. Its main goal was to help solve the problem of child mortality caused by insufficient and malnutrition. New Product was named Farine Lacte Henry Nestle (Nestlé Milk Flour).

After the new breast milk replacer formula Nestle saved a life premature baby, whose body did not perceive either mother's milk or its substitutes that existed at that time, this product received well-deserved recognition, and after a few years Farine Lactee Nestle was actively sold in most European countries.

The Anglo-Swiss Condensed Milk Company, founded in 1866 by the Americans Charles and George Page, became the company's main competitor. Nestle, expanded its range to include cheese and breast milk substitutes in the mid-1970s. Company Nestle, which Henry Nestle sold to Jules Monner in 1874, responded by launching its own brand of condensed milk on the market.

In 1875, Daniel Peter, a resident of the city of Vevey (Switzerland), came up with a method for obtaining milk chocolate by combining milk and cocoa powder. Peter, a friend and neighbor of Henry Nestle, founded a company that quickly became the world leader in chocolate production and later became part of the corporation. Nestle.

This time, the LifeHacking website introduces our readers to the history of the creation of Nestle!

1. Swiss pharmacist Henry

Swiss pharmacist Henry Nestle puzzled by the question baby food. Henry decided to create a product that was exactly like mother's milk. Soon the pharmacist creates such a product called Farine Lactee Henry Nestle(milk flour Henry Nestle). Powdered milk consisted of the most natural ingredients of the time: milk, sugar and wheat flour. Artificial milk turned out no worse than natural mother's milk. Then Henry decides to create his own milk production company.

Already in 1867 a pharmacist we know creates a company called Nestle(very selfish). The main goal of the company was to create a quality product for kids. First main consumers of products Nestle became a baby who could not tolerate mother's and regular milk. He started allergic reaction. The doctor could do nothing to help the baby. Then Henry offered to give him milk of his own preparation, and it did not cause allergies. Thus, dry flour from Nestle saved the life of a baby. In the future, this case aroused general interest, and Nestle products quickly gained popularity throughout Europe. Along with the popularity, Henry's wallet gained thickness, because the product brought a good income for the Nestle family.

In 1886 year Anglo-Swiss Milk Company created by two brothers Charles and George Page began to produce milk for babies. Initially, the American company produced condensed milk. Upon learning of this, Nestle company in response, it launched the production of condensed milk. What a twist! The Pages were shocked by Henry's cheeky response!

2. Family coat of arms

A nest with birds is the family coat of arms of the Nestle family, translated from German Nestle means "small nest". When Henry Nestlé was asked to change the logo to a Swiss cross, he said:

“Unfortunately, I cannot accept your idea of ​​replacing the socket with a Swiss cross, since I cannot have different trademarks for each country. Anyone can use the cross, but no one else can use my family crest."

In 1905, two competing companies merged and then a new one appeared. Nestle and Anglo-Swiss Milk Company. At that time, Nestle already owned several factories in the US, Britain, Spain and Germany. Already in 1907, the company began to capture the Australian market in order to increase sales.

At the beginning of the First World War, the company's business went worse, because the delivery of raw materials slowed down. Delivery routes were cut off, there was not enough raw material, then the company squandered all its stocks of fresh milk. However, there were also positive aspects: the US Army needed condensed milk and powdered milk. Nestle avoided its end thanks to a government order for the army. Military dry rations included condensed milk and powdered milk. And at the front, soldiers loved condensed milk. The company did not have enough factories, so they bought a few more factories in America. By the end of the war, sales had doubled from the best sales before the war. Nestle at that time had 40 factories.

3. First chocolate and Nescafe

In 1921 In 2008, the company suffered its first losses, the reason for this was: the rise in prices for raw materials, the fall in the exchange rate, a complete lull in the economy. Then a Swiss banking expert, Louis Daples, appeared in the company. Having carried out a number of reforms in the work of the company, he managed to normalize production.

also in early 20th century the first chocolate appeared, which became as in demand as condensed milk during the war years. In parallel, the company began to produce an instant chocolate drink, pasta for children and the familiar coffee. Nescafe!

During the Second World War Nestle again increased sales volume. All products of the company were in demand: instant coffee, condensed milk, chocolate, pasta. In 1943 year, the company's annual income was 100 million dollars, and late 1945 almost 245 million dollars. Instant coffee brought the most revenue to the company Nescafe!

After the war years affected the company the best way. It was during these periods that the company expanded itself and expanded its product range. After World War II, the company merged with companies Alimentana S.A. that produced soups fast food, and Maggie, thus forming a new holding Nestle Alimentana Company.

4. Entering a larger market

Nestle did not stop at companies Alimentana S.A. and maggie, the next step in the development of the company was the acquisition of a holding producing canned food, Crosse & Blackwell. Then in 1963 year, the company is already releasing new products of frozen and canned food under the brand name Findus.

Over the next eight years, the company actively bought out other companies, holdings and brands. Thus, in 1971 year Nestle acquires Libby- company producing natural nectars and juices. Further, the brand is included in the composition Stouffer. Nestle becomes the largest industry of its time.

Further actions of the company bring the company large earnings. Sales Nestle increased by more than 4 times! In 1966 the company created new technology making coffee. The technology was a low-temperature drying process! Thus, Nestle release new brand coffee - Taster's Choice.

In 1974 year the company buys the holding L'oreal producing cosmetics. Nestle goes beyond the food industry!

5. Nestle in our time

AT 1990 year began the liquidation of a company engaged in the food industry. This situation was at hand Nestle. It was during this period that the company began even more vigorous activity. Competitors' products were quickly replaced by the company's products. New markets are emerging in China, allowing Nestle to increase its sales.

Nowadays it is difficult to imagine a product that would not have been manufactured by the company Nestle. After all, Nestle is baby food, culinary products, coffee, chocolate, pasta, ready-made breakfasts, hygiene products and much more. The company owns large quantity factories around the world. Products Nestle in demand in more than 60 countries of the world!

The first children's products were made Henry Nestle, the rest of the food was developed by the company itself. Children's natural juices are very popular in our time, as the best for children. But people don’t even think that the company had to buy out a whole holding and a bunch of rights for its production.

Thanks to the site life hacking, you can now show off your knowledge of Nestle in front of friends.

Nestle is the world's largest food, pet food and cosmetics company. The motto of the company is "Quality Products, Quality Life". Nestlé invites consumers to lead healthy lifestyle life, acquiring only high-quality and proven products. How did the history of the most famous brand to this day begin?

A pharmacist from Switzerland named Henri Nestlé in late XIX century was puzzled by the creation of a formula for baby food, which would exactly repeat the mother's milk. His wife Clementine, the daughter of a doctor, moves him to research. She often helped her father and saw many children's deaths. Clementine knew that eating problems were one of the common causes death of babies. She asks her husband to help. And he succeeds! Henri launches the "Farine Lactee Henry Nestle" which is made from milk, flour and sugar.

Encouraged by his success, the pharmacist decides to open his own small company, which would be engaged in the production of milk. He manages to do this already in 1867. Henri Nestle transfers the family coat of arms (nest with three chicks) to the company logo.

One sales agent suggested that the pharmacist change the sign to a cross on the Swiss flag, but he firmly refused. In 1988, the coat of arms undergoes a change - instead of three chicks, it has two. This is a simple association with the families of that time. Europeans and Americans of the late 20th century most often had two children.

First client. The first client of the company was a baby allergic to breast milk. The poor baby couldn't bear it and cow's milk. The doctors threw up their hands. Henri Nestle offered the baby dry formula own production, and she did not cause allergies! The child was saved thanks to Nestle. The case caused a stir in the country and the pharmacist's mixtures began to quickly sell out not only in Switzerland, but throughout Europe. Henri's pocket gradually grew fatter.

Competitors Charles and George Pagedi also did not sit idly by. Their factory for the production of condensed milk from the 70s of the XIX century begins to produce formula for baby food. The Nestle plant could not stand it and launched the production of condensed milk in response. Until 1905, the two companies were fierce competitors in the dairy market. At this time, Nestlé had already opened factories in Spain, Germany, the USA and the UK. In 1905, the two companies merge to form Nestle and Anglo-Swiss Milk Company. Since that time, the owners have begun active work to expand the sales market, starting to capture Australia.

Useful video: corporate film about history.

What did the World Wars bring with them?

First World War brought with her serious problems. All the power of the company's production was located in the territory of the "Old World", but the path there was practically closed. Almost all stocks of fresh milk came to an end. But the people needed a large number of dry and condensed milk - this saved the company in difficult times. Thanks to a government order for the army, Nestle is confidently afloat in the remaining war time. The company even buys several plants in the US. By the time the war ends, Nestle has nearly 40 factories, double the number it had in 1914.

Interesting fact. Many people associate the company with chocolate, but it makes up only three percent of total sales.

The post-war period hits production hard enough. Raw materials are becoming more expensive, the exchange rate is falling ... The economy has calmed down. At this difficult time, Louis Daples appears - a banking expert who saved the company from collapse. Having reformed production, he establishes trade again. At the same time, Nestle is expanding its product range. Chocolate, milk with malt, children's powder paste and the well-known Nescafe coffee, which made a splash, are on sale!

During World War II, Nestle again expands sales. Coffee, condensed milk and chocolate are literally flying off the shelves. If in 1943 the income was equal to 100 million dollars, then by 1945 it was 245 million, and precisely Nescafe brings this success to the company.

New mergers

AT post-war years Nestle is actively replenishing its production and expanding its range. The merger with Alimentana S.A and Maggi makes it possible to sell instant soups and condiments. Crosse & Blackwell joined Nestlé in 1950 and Findus joined in 1963. The company is now selling canned soups and frozen foods. In 1971, after a merger with the Libby brand, Nestlé established the production and sale of fruit juices. By 1974, the company's sales soar by 50%.

Beginning changes

In 1974, Nestlé expands beyond the food trade and acquires shares in the well-known cosmetics brand L'Oreal. This is done to maintain balance. After all, prices for cocoa beans are doubling, and for coffee - three times. For the same purpose, the company buys shares in the pharmaceutical company Alcon Laboratories Inc. Nestlé remains afloat and, starting in the 1990s, has been eliminating trade barriers. New European and Chinese markets are opening…

Work in the 90s of the last century

In 1997, the Board of Directors decided to purchase the Italian brand drinking water San Pellegrino. In the same year, the company is headed by Peter Brabek-Letman, who preferred to invest in the most profitable areas of the market. A little later, the brand was bought Spiller Petfoods. But the biggest deal of the company was the merger with the company carnation. Her brand Friskies, which Nestlé acquired for $3 billion, brings the company an unprecedented income and firmly establishes itself in the pet food market. Brabeck is considered one of the most active directors of the company, who almost completely rebuilt it.

Nestle today

Today it is difficult to meet a person who has not heard about Nestle and has not tried its products. In any store you can find baby food, coffee, quick breakfasts and other Nestle products. The company owns a huge number of factories around the world, including in Russia. More than 60 countries of the world love and respect this brand!

It is interesting. Nestlé owns 461 factories around the world, 83 countries and 330 thousand workers are engaged in the production of goods.

Nestle in Russia

Nestle start their business relationship with Russia in the distant 19th century. Alexander Wenzel signs a contract for the supply of dairy products to our lands, thereby opening up cooperation with the brand for many years to come.
A new round of relations occurs only in the 20th century. In the 90s, a distribution network was actively developing, offering the population mainly coffee. Already in 1996, Nestlé became a full-fledged company in Russia, having established a sales and import system. In 2007, the company receives a new name on the territory of our country "Nestlé-Russia".

Competitors. The main competitors of the company are PepsiCo, Mars, Unilever.

Today, Nestle is the world's largest food and beverage company. Long-term success is not a simple coincidence. This is the result of hard work, diligence of the Board of Directors, which did not give up in the most difficult times. Active promotion of brands, constant mergers with smaller companies, endless expansion of the sales market - all this led Nestle to a resounding success!

Useful video: corporate film about activities in Russia.

The site reviewer studied the history of Nestle, the world's largest food manufacturer, which controls Nescafe, Nesquik, Aero, KitKat and many other brands.

Creation of Nestle. Merging with Anglo-Swiss and going international

The history of the company begins with a pharmacist named Henri Nestle. He was born in 1814 in Frankfurt in the family of a glazier. His name was Heinrich, but after training as a pharmacist and moving to Switzerland, he changed his name to Henri.

Little is known about the life of the Nestle founder. It is difficult to say exactly when and why he left his homeland. Sources usually cite financial motives and point to Nestlé's involvement in liberal movements, including his opposition to press restrictions.

The next thing that is known about Nestle's life is that in 1839 in Lausanne he successfully passed the exam for the position of an assistant pharmacist and received official permission to conduct chemical experiments. A little later, he ended up in the city of Vevey, where he began working under the supervision of the pharmacist Marc Nicollier.

Cooperation between Nestlé and Nicolier did not last long. According to the popular version, in 1843 Nestle borrowed money from his aunt and opened his own business. His company was engaged in the processing of rapeseed, produced mustard, lemonade, liquor, vinegar, fertilizers and kerosene.

Henri Nestlé, 1867

In 1860, Henri Nestle married Clementine Eman, and this changed his life dramatically. Eman was the daughter of a doctor - helping her father, she had seen enough of children's deaths. Clementine knew that one of the causes of infant mortality was a nutritional problem, and convinced her husband to start research in this area.

Nestlé was also influenced by his friendship with Marc Nicollier, who, along with his teacher Liebig, also researched nutrition. It was Liebig who in 1860 created the recipe for the first powder formula for feeding children. True, this did not bring him any special dividends, and in the end he lost the competition to Nestle.

According to another version, Nestlé engaged in research to make the business more profitable. Many sources interpret this moment in the company's history in different ways. One way or another, in 1867 a mixture of milk, flour and sugar was created, called "Nestlé Milk Flour". The main thing in this development was the removal of starch from the product, which was not suitable for children. Initially, it was positioned simply as complementary foods for infants - but, as the legend goes, once Nestle products saved the life of a premature baby.

Word of mouth started working, and almost the whole country learned about the pharmacist's mixture. In 1868, Nestlé chose for its products the original logo in the form of a nest with birds, which supposedly was its family coat of arms.

In 1866 in America, brothers Charles and George Page formed the Anglo-Swiss Milk Company. Then she began to produce more and baby food. She quickly conquered the European market, but in the mid-1870s she collided with Nestle.

The company at that time also sold milk chocolate, which was invented by Daniel Peter in 1875. He created a small firm that later became part of Nestle. In the same year, Henri Nestle sold his company to three partners for five million francs - the founder could no longer influence the development of the brand. Fifteen years later, in 1890, he died of a heart attack.

The buyers turned Nestle into a joint-stock partnership and fought with might and main with the Anglo-Swiss Company. Both companies have successfully integrated into the European market. Several times there were rumors that the companies would merge, but they became true only in 1905. There is evidence that George Page did not want to merge with Nestle, but in 1899 he died and no one interfered with the negotiations.

The combined company was named Nestle & Anglo-Swiss. It has become one of the largest manufacturers of baby food and sweets in the world, with almost 20 factories in different parts Europe. Today's Nestle respects the legacy of the Page brothers, and therefore its official history starts from the founding date of Anglo-Swiss.

Arrival of milk cans at the factory, 1890

In 1906, Nestle went public. Before the outbreak of the First World War, it developed quite rapidly, strengthening its position in the market. The outbreak of war also should not have affected Nestle, which was located in neutral Switzerland. In addition, the company often began to receive orders for the army. The problem was in raw materials, namely the lack of milk, which went for the needs of the front and for sale in nearby towns and villages.

However, supplies from South America, and the company even increased its turnover, despite the difficult economic situation in Switzerland and in Europe in general. In 1918, when half of the civilized world was beginning to recover from the war, Nestle already owned 40 factories.

In 1921, the company experienced the first crisis in its history. The shareholders, trying to save the hitherto successful Nestle, hired banker and experienced executive Louis Dapples. He carried out personnel changes, appointing talented managers to senior positions. By his will, the Nestle research laboratory appeared in Switzerland, which was supposed to create advanced developments.

The company gradually became profitable again and increased its turnover, having made several acquisitions, among which was the chocolate manufacturer Peter-Cailler-Kohler. The successful period in the life of the company will continue until the end of the 1920s, until almost all entrepreneurs start to have problems due to the Great Depression.

In the early 1930s, there was a surplus of coffee beans in Brazil, to the point that they were used instead of coal on trains. In 1929, the bank where Depples used to work offered Nestle a deal. Due to the crisis, the bank had a large stock of Brazilian coffee, and the company was asked to start processing it into instant coffee for further sale. The proposal needed a good implementation, and it was not so easy.

The first instant coffee appeared in 1890, but the technology was not yet perfect. Dr. Max Morgenthaler was brought in to create the new approach at Nestle. Research took eight years, and in 1938 Nescafe instant coffee appeared.

Looking ahead, it should be noted that Nestle did not stop there, and in the 1940s was created by everyone famous drink Nestea. Prior to this, in 1934, the company had launched the Milo chocolate drink. Initially, it appeared on the Australian market, and after quickly gaining popularity, sales began in other regions of the world.

In the 1930s, the company actively competed in the chocolate market. In Switzerland, and indeed in the world as a whole, there was no shortage of confectionery companies, and it was not easy to maintain leadership. So Nestle has two new chocolate brands: White chocolate Galak and Rayon bubble chocolate. In addition, the company launched Pelargon baby food powder and several other new products, including vitamin supplements.

When World War II broke out, Switzerland remained neutral, but there was a risk of its occupation. It was decided to open an office in the USA, in the city of Stamford. In Europe, the company continued to work actively, selling products, including to the armies. True, this business was quickly covered up due to total defeats.

Meanwhile, the American branch of Nestle, cut off from Europe by the war, began to actively integrate into the South American market, which significantly strengthened the brand's position. In addition, an agreement was concluded with the US government, and the company began to supply goods to the American army.

Nestle's success was underlined by various advertising posters, which claimed that the company's products were everywhere along with the soldiers. They also liked Nescafe, although they didn't see particularly high sales. Bought it mainly because of the low price.

Apparently, instant coffee has become much more popular already in postwar period when it was supplied as humanitarian aid the same Japanese. During the war, Nestle was making great money from government contracts in the US, while Europe was largely in ruins.

After the end of the war, trade gradually began to bounce back. Nestle was almost unaffected and even increased its market share, so it continued to release new products and make acquisitions.