Nespresso: Loyalty marketing through recycling and exclusivity

Roger Staeheli, country manager for Hong Kong and Macau, Nespresso shares how the brand conducts loyalty marketing through its Nespresso Club.

"We see coffee as much a lifestyle beverage as it is a functional one and that is how we position the Nespresso brand," Staeheli said.

"The growth in popularity of global coffee chains in Hong Kong suggests that the Hong Kong market is more appreciative of social coffee drinking, expanding on the traditional social tea drinking culture. While they appreciate high-quality coffee, they are also seeking a complete and ultimate coffee experience – they want to have an ‘exclusive’, indulgent and personal experience."

Running with this market need, Nespresso gives exclusive offers to members through the club such as members-only events such as product launches and coffee classes. Instead of opening up more boutiques outside of the two stores it currently operates in Central and West Kowloon, it offers a delivery service within 24 hours of ordering.

Building a green brand image to retain environmentally conscious members

The two Nespresso boutiques in Hong Kong serve as capsule collection points where customers can return their used capsules for recycling.

The brand also set up the option of allowing delivery staff to collect used capsules from homes and offices of customers while delivering new capsules to customers, providing an extra incentive for environmentally conscious customers to repeat purchases.

Members-only coffee-drinking accessories

Cups, capsules, dispensers and cocktail shakers are some of the goodies offered by the brand to get new and existing customers to join the Nespresso Club.

It also offers limited edition accessories to further boost awareness of new launches of limited edition coffee capsules to members who may be accustomed to buying particular flavours of coffee capsules.

Limited edition recipes

As a way to keep the feel of the brand fresh in the minds of members, the brand created a recipe book in 2012 where nine Hong Kong chefs share how the brand's coffee can be used to create dishes. A second volume of the recipe book will launch later this year.