Chilling out: Nestle develops new espresso range to cater to growing APAC demand for customisation and cold brews

By Pearly Neo

- Last updated on GMT

Nestle believes that a growing demand in the Asia Pacific for customisation, convenience and colder coffee options make this region the optimal launchpad for its new espresso concentrates. ©Nescafe
Nestle believes that a growing demand in the Asia Pacific for customisation, convenience and colder coffee options make this region the optimal launchpad for its new espresso concentrates. ©Nescafe

Related tags Nestlé Nescafe Espresso Coffee

Nestle believes that a growing demand in the Asia Pacific for customisation, convenience and colder coffee options make this region the optimal launchpad for its new espresso concentrates.

Nestle Vietnam was the first to make an in-depth foray into this category with the launch of its ready-to-serve coffee concentrate sticks​ late last year, but with very distinctive variants catering to local Vietnamese consumer tastes.

The company appears to now be looking to broaden this category in general by developing concentrates made of espresso coffee, a much more well-recognised coffee variant across the APAC region.

“The aim of the Nescafe Espresso Concentrate is to [capitalise on the growing] cold coffee trend, which has grown significantly out-of-home and we now want to bring it in-home [for consumers] in a convenient and customisable way,”​ Nestle Coffee Strategic Business Unit Head Philipp Navratil told FoodNavigator-Asia​.

“This premium liquid coffee concentrate range has been designed to capture the out-of-home cold coffee experience [and] bring barista-style personalised iced coffees to consumers at home.

“[One of the main factors here] is customisability - consumers can add a shot of the concentrate to milk to make an iced latte, to water to make an Americano, or even mix it with a lemonade or juice for a more refreshing coffee beverage.

“[The convenience factor is clear] as this is uncomplicated to use and no special equipment or barista skills are needed to get that quality coffee experience.”

The Nescafe Espresso Concentrate will be launched in May 2024 in Australia and China, but in different formats and platforms in both markets. Two flavours - Sweet Vanilla and Espresso Black - are expected for the launch

“In Australia, this will be in selected retailers and in bottle format, whereas in China this will be via e-commerce platforms in a single-serve pod format,”​ the firm said.

“The cold coffee segment is one of the fastest growing in the coffee industry, with a 15% consumption increase in the past four years [and] younger generations in particular having embraced this trend [so] this range is set to expand to more markets worldwide over the coming years.”

China’s coffee creations

In China, the Nescafe Espresso Concentrate will be just one of several new coffee products launched in the market to capture coffee consumers, but it will be the major one targeting a more premium crowd.

“This range is targeted more at the high-end white-collar crowd, and has been developed as a 15-times more concentrated liquid [than normal coffee] to ensure the flavour will be restored no matter how it is used,”​ Nestle Greater China Coffee Business Unit SVP Alfonso Troisi added.

“China has a highly dynamic coffee market and growth, and tends to form its own unique and constantly-evolving coffee consumption trends.

“Based on insights into the local coffee market, we have rearranged our product lines based on consumption scenarios and target groups to ensure better and more targeted product innovation based on consumer needs.”

Other new coffee products developed based on this strategy include orange-based coffee products i.e. Orange C Americano and Citrus Oolong Lattes with real orange juice; an Oatmeal Latte and Iced Coconut Americano as part of its plant-based offerings; and a new upcycled cascara-based beverage line.

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