Nespresso expands boutique network in Asia with a new flagship in Tokyo

08.05.2013

New boutiques in Asia reflect growing consumer demand

 

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When Nespresso opened the doors of its new flagship boutique in Tokyo this April, the company took another step in strengthening its commitment to a rapidly growing customer base not only in Japan but in the region as a whole.

East Asian culture is traditionally infused with tea, but coffee has become an increasingly popular beverage throughout Asia as countries see increased prosperity and strong growth in consumers’ affinity for lifestyle brands.

“With over 30 Nespresso boutiques throughout our Asian markets, we are dedicated to nurturing the growing coffee culture there, enabling consumers to embrace the brand and the Nespresso experience,” said Roland Tschanz, Regional Business Head Zone AOA at Nestlé Nespresso SA. “A key to this is the importance of understanding local coffee drinking habits while preserving brand essence and quality.”

 

Tokyo flagship enhances brand experience in a strong market

In Japan, the new flagship in Tokyo underlines a commitment to an established market that has experienced major upswing in recent years. “In fact, Japan, has a deeply rooted coffee culture since the 19th century. Recently, the portioned coffee category has experienced rapid growth as Japanese consumers increasingly look to upgrade their in-home coffee solution. Nespresso is leading the way with the investments it has made in this sector since it first came to Japan in 1986,” explained Loïc Réthoré, Market Director of Nespresso Japan.

Nespresso currently has 19 boutiques in Japan, including a new flagship in Tokyo opened on 4th April and a standalone boutique in Osaka that opened in 2011. Similar to other Asian markets, the Japanese market boutique network has developed through the Nespresso Boutique-In-Shop concept. In the last few years, Nespresso has increased brand presence in response to growing consumer demand.

"With over 30 Nespresso boutiques throughout our Asian markets, we are dedicated to nurturing the growing coffee culture there, enabling consumers to embrace the brand and the Nespresso experience."

Roland Tschanz
Regional Business Head Zone AOA, Nestlé Nespresso SA

“Tokyo is one of the most epicurean cities worldwide, and enjoys a unique mix between the European and Japanese tradition in food and beverage culture. Coffee is no exception. With our new flagship boutique located on Omotesando, the “Champs-Elysees” of Tokyo, we look forward to offering coffee lovers the one-of-a-kind experiences that define our brand,” Réthoré said.

Unique Nespresso Coffee Experiential Centres

A highlight of the boutiques at Tokyo Omotesando and Osaka is the new Nespresso Coffee Experiential Centre (NCEC). This unique Nespresso initiative offers Club Members exclusive opportunities to explore the rich universe of Nespresso Grand Cru coffees. A dedicated NCEC was opened in Tokyo in 2011. Due to its success, the format was integrated into the Osaka boutique and now the Tokyo flagship boutique.

“The NCEC corresponds strongly to our Club Members’ search for the story behind our Grand Cru coffees and a stronger bond to the brand,” Réthoré continued. “In Japan, gourmet coffee is going through a renaissance much like Champagne did 15 years ago. Back then, people didn’t know much about Champagne, now people are very discerning about the quality and flavour notes of the Champagne they drink; we’re seeing the same thing happen with coffee today.”

 

Building long-term relationships throughout Asia

Elsewhere in Asia, consumers continue to express their enthusiasm for Nespresso, which has responded by increasing brand accessibility in a variety of ways. “With the exception of Japan, other markets have shorter histories ranging from one to seven years,” said Roland Tschanz. “In this time we have grown rapidly, leading the way in premium portioned coffee culture that was practically non-existent before Nespresso arrived on the scene. Throughout Asia, Nespresso is equated with the perfect choice for perfect quality coffee for discerning consumers at home and at high-end restaurants, top-tier hotels and luxury resorts.”

In Singapore, Nespresso is Presenting Partner and Official Coffee of SAVOUR, an annual gastronomy festival garnering international attention as world famous chefs showcase their culinary skills, delighting gourmet aficionados in the island city with coffee appreciation workshops and guest chef collaborations.

Coffee culture has gained strength with the proliferation of coffee shops across other key Asian cities of Beijing, Hong Kong, Taipei, Seoul, Shanghai and Singapore and provides a base to develop the gourmet portioned coffee market. Mark Leenders, Market Director for Southeast Asia, Greater China and Korea explained, “We know that Asian consumers are more discerning, well-travelled and want to drink the best coffee in the comfort of their own homes, which is why they appreciate the ease and quality of Nespresso Grand Cru coffees.”

The Nespresso flagship in Seoul, Korea is another beacon for the brand in Asia. Opened in December 2012, it invites coffee lovers to experience Nespresso with all their senses and also includes a Coffee Experiential Centre. This first standalone boutique in South Korea joined 8 Nespresso Boutiques-in-Shop throughout the country.

“Many coffee lovers are eager to turn their passion into expertise, which is why we have set up a Nespresso Coffee Experiential Centre in our new flagship boutique in Seoul,” said George Garrop, Country Manager of Nespresso South Korea.

The past few years have seen Nespresso open standalone boutiques in Shanghai and Beijing, with the newest boutique opening in Taipei in 2012. Hong Kong has 2 boutiques and Singapore sees 1 boutique and 1 boutique-in-store.

“Entering the Chinese market marked a significant milestone for Nespresso in growing our global brand community of coffee lovers. It is an incredibly diverse market that continues to evolve and we are excited by the opportunities we have in engaging with coffee lovers in the country,” said Mark Leenders, Market Director South East Asia, Greater China and Korea.

 

Offering solutions that appeal to differing preferences

“As we grow in the region, we are also focused on offering solutions that appeal to differing preferences. This includes the 24/7 Customer Relationship Centre and expanding online boutique services. In addition, the Lattissima+ one-touch coffee-and-milk solution responds to the preference for milk-based coffee recipes in many Asian markets,” said Roland Tschanz.

In Hong Kong, where soymilk is highly popular, Nespresso enlisted top chefs and mixologists to develop soymilk-based coffee recipes. Appealing to the epicurean tastes of Club Members in Hong Kong, Nespresso holds coffee education workshops and recently collaborated with renowned Hong Kong chefs to develop the highly popular “My Nespresso Coffee Cuisine”, a limited edition cookbook featuring food recipes using Nespresso Grands Crus as a key ingredient.

“Consumers in Asia are very interested in new ideas and eager to learn. Overall, we see growth in the portioned coffee category throughout Asia, linked with an increasing appreciation for high quality coffee and espresso and espresso-based coffee beverages. By building on the integrity of our quality, innovation and service, Nespresso has become the reference in portioned coffee and is proud to have helped shape the evolving coffee culture in these markets,” concluded Roland Tschanz.

 

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