Nestea entered the Chinese market in 2020, bringing their global strategy of “taste the refreshing goodness of Nestea.” Competition in the Chinese tea market is extremely fierce, and competitors spend upwards of a hundred million on marketing each year, so how can a new brand achieve a sales target of 500 million RMB in the first year? The key lies in attracting young consumers in Generation Z.
To gain insight into Gen Z, we conducted in depth qualitative research to decode their life values. We found that in a rapidly changing society, working with a flexible, entrepreneurial spirit is ideal. Gen Z has witnessed not only the opportunity of fast growth, but also the dangers of quick crashes. As Gen Z grew up during China’s rapid economic development, they are intelligent, competitive, and set high personal expectations. However, upon leaving University and entering the real world, many feel that their idealistic expectations do not match with today’s reality, bringing confusion and anxiety to these young citizens. We define the key tension for this generation as: The gap between “what I want to be” VS “what I can do”.
Nestea wants to empower Gen Z to jump headfirst into society, without fears or hesitations.
Nestea’s unique flavoring "smoothly blended ingredients, each distinctively delicious" advocates a new brand attitude to empower these young creators, explorers, and innovators: Dare to challenge, dare to stand out.
On the creative side, we need to not only create a branding language that respects Nestea’s brand assets, but also appeals to the “coolness” of the new generation. We wrote a rap and a short film showcasing young talents "daring to challenge" in street dance, basketball, and hip-hop; Nestle also became a top sponsor of China’s coolest reality show “Street Dance of China,” to ignite our brand in the summer of 2020.
China’s ready-to-drink tea market is saturated and competition is fierce between established brands. However new tea products are gaining momentum.
Consumers in the 18-24 age bracket are getting more and more difficult to please. The emergence of small niche brands has effected a change in consumer tastes, and cross-platform marketing, product innovation, and new entertainment channels give young consumers a plethora of choices.
8 years after leaving China’s ready-to-drink tea market, Nestea’s comeback begins without an established market share.
In order to reach new customers in the 18-24 age bracket, we face these challenges:
With many tea brands having a long history in the mainland China market, how can Nestea win the hearts and wallets of young consumers?
As a latecomer, how can Nestea distinguish itself from competing brands and find its niche in the market? How can Nestea position its own brand?
How can Nestea innovate youthful, hip, and localized advertising to appeal to young consumers?
After careful analysis, sophisticated insight, and accurate positioning, we established a brand strategy to creatively output our new brand attitude.
A rap song and a short film: Featuring hip-hop, street dance, basketball, and other trendy activities, our TV commercial, produced with creative CG techniques and dynamic sound effects, will leave a lasting imprint in consumers minds?
A slogan with attitude: Gen Z lives life with a distinct attitude: they dare to challenge the world and defy society. Nestea lays the foundation for its brand model to be based on these young creators, explorers, and innovators with the slogan “Dare to challenge, Dare to stand out.”
We also sponsored this summer’s most popular reality show “Street Dance of China,” as Nestea’s “Dare to Challenge, Dare to stand out” attitude is the exact same attitude shown by the contestants. Thanks to this craze, Nestea has become Gen Z’s go-to hip and trendy drink.
Halfway through the summer, Nestea sales are approaching 300 million RMB.