Nestle aims to double out-of-home market share

Nestle aims to double out-of-home market share
By Zaidi Isham Ismail
Published: 2009/10/14


FOOD and beverage (F&B) maker Nestle (Malaysia) Bhd (4707)aims to double its share of Malaysia's out-of-home market worth RM11.2 billion to 70 per cent in the next five years.

Out-of-home business refers to F&B-related businesses that take place out of the home such as buying fast food, teh tarik, coffee and snacks at supermarkets, mamak stalls or five-star hotels.

Nestle executive director Zainun Nur Abdul Rauf said the goal is achievable, in line with an increasing affluence of Malaysians.

"Malaysians spend 35 per cent of their income for in home business such as buying instant noodles and 65 per cent outside of the home on food and drinks.

"The 65 per cent ratio is likely to increase in the future as more and more Malaysians become affluent and eat out," Zainun told reporters at the launch of its Nescafe Professional branding initiative in Kuala Lumpur yesterday.

Zainun said for the past 15 months, consumer trend has been eating at home due to the global economic slowdown, but this is likely to change in the near future, in line with a recovering economy.

"We will also work closer with our food partners such as hotels and mamak stalls by providing new innovative coffee concoctions, Milo and Maggi," said Zainun.

Nestle Malaysia is part of Swiss group Nestle, which is the world's largest food company, marketing more than 8,000 brands and 30,000 products with 500 factories spread over 80 countries and employing 250,000 people.

http://www.btimes.com.my/Current_News/BTIMES/articles/NESDOU/Article/