One day in Switzerland, a pharmacist named Henry Nestlé decided to conduct some research in order to create a good mother's milk substitute for feeding infants. Such research formed the basis for the creation of such a production, which after some time grew into a fairly large corporation, Nestle.

From the ingredients used: milk, wheat flour and sugar, Henry Nestle was able to develop a product that was later called Farine Lactee Henry Nestle. Translated it meant: “Henry Nestlé milk flour.” In 1867, Henry decided to produce and subsequently sell infant formula.

His main goal was to create the highest quality product (replacing breast milk) for newborns. The very first person to use the new product was a premature baby in the womb.

The baby’s body did not accept either mother’s milk or its substitutes that existed in those days. And the doctors could not help him.

Thanks to this product, the baby's life was saved. Within a couple of years, the successful corporation was recognized almost throughout Europe, and infant formula began to be sold with great success.

Competing company for the production of condensed milk

In 1886, the Anglo-Swiss Company for the Production and Sale of Condensed Milk, founded by two Americans - Charles and George Pages, significantly expanded its entire range and already in the 70s of the 19th century produced a breast milk substitute .

After Nestlé found out about this, it responded by producing and marketing its own brand of condensed milk.

These two companies were the main competitors in the dairy products market until they merged in 1905.

After the merger of two companies in 1905, vying for leadership in the production of dairy products, one was formed, which was called the Nestle and Anglo-Swiss Milk Company. By the beginning of the 20th century, several factories in Spain, the United States, Germany and Britain were under its management. And already in 1907, the company gradually began to conquer the entire Australian market, this allowed it to double its entire production volume.

Production logo

The logo was based on the family coat of arms, which depicted a nest with birds. When transferring from German language, the corporation's name means "little nest."

At that time, one of the sales agents suggested that Henry change the nest to a simple white cross found on the flag of the country of Switzerland, Henry refused with the words: “Unfortunately, I will not be able to accept this idea, since I cannot have different trademarks for each country. Anyone can use the cross, but no one can use my family crest.”

After the First World War, in order to satisfy all the needs of the population, factories needed to sell off almost all their supplies of fresh milk.

But there was also a positive side for the company, the war began and great demand for powdered and condensed milk due to the fact that the government ordered more and more of it.

In order to provide the entire government with the required amount of products, production was forced to purchase factories in the United States of America. By the end of the war, in comparison with 1914, the total production volume had doubled, there were already 40 factories.

Post-war time

The post-war crisis also affected the corporation. The entire government stopped making large orders as before. And people who had become accustomed to condensed and powdered milk during the war refused fresh milk.

In 1921, Nestlé suffered losses for the first time ever. The lull in the economy after the war, the depreciation of all currencies, as well as rising prices for necessary raw materials worsened the situation. Management had to respond as quickly as possible to this situation— Swiss banking expert Louis Duples was invited to reorganize them.

After bringing the general level of production and sales into line,

At the same time, having significantly reduced the resulting debt, he was able to take the situation into his own hands, and then establish excellent production operations.

In the twenties, chocolate production began, which later became the second most important activity. A little later, the assortment included such products as: powdered paste for children, instant drink “Milo”, Nescafe product, milk with malt.

This instant powder was able to create a worldwide sensation, successfully gaining unprecedented popularity among all coffee lovers.

Time of World War II

At the time when the second one began world war, its consequences could not but affect production activities. In 1938, all profits were able to decline sharply from twenty to six million dollars. Switzerland, being a neutral country, was increasingly isolated from Europe, and production had to be moved to Stanford, Connecticut most of their employees.

At a time when all the soldiers and officers from the US Army entered the war, the Nescafe product became their main drink. And by the beginning of 1943, its sales volume had reached more than a million packages.

Implementation successes

But by 1974, sales volumes of all products almost quadrupled. In the same year, all production positions began to undergo some changes. From the beginning of 1920, with the slowdown in the growth rates of the economies of industrialized countries and the increase in prices for “black gold”, the fall in exchange rates in relation to Swiss money (francs), the economic situation of the corporation began to deteriorate.

As a result, from 75 to 77 of the twentieth century, prices for cocoa beans increased three times, and for coffee four times.

To maintain balance, I had to buy controlling interest shares that have nothing to do with the food industry - the company Alcon Laboratories Inc., which was engaged in the production and sale of ophthalmic and pharmaceutical products.

Products in the modern world

Today it is difficult to imagine a product in the production of which this production would not participate - this is coffee, baby food, chocolate, culinary products and many other consumer products.

The world's first infant formula was created by Henry back in 1867, and since then, on the basis of fundamental and applied research, a large range of baby food has been developed in its research centers.

Video: The history of the world's largest food company

A distinctive feature of the corporation's development at present is the development and creation of vehicles of the third millennium based on the use of environmentally friendly technologies and the use of engines with increased fuel efficiency.

The Ford Motors Company Corporation celebrated the 200th anniversary of its creation in 2003.

HISTORY OF NESTLE COMPANY

ORIGIN OF THE COMPANY
The basis for the emergence of the enterprise, which subsequently grew into well-known company Nestlé, began the research of the Swiss pharmacist Henry Nestlé, who was trying to create a breast milk substitute for feeding infants. Using milk, wheat flour and sugar, Henry Nestlé developed a product called Farine Lactee Henry Nestlé - "Henry Nestlé Dairy Flour". The company producing and selling this product was established in 1867.
His goal was to create nutrition for infants who, for one reason or another, could not be fed with mother's milk, thereby partially solving the problem of infant mortality from insufficient or improper nutrition.
The first consumer of the new product was a premature baby, whose body did not accept either mother's milk or existing substitutes, and doctors were powerless to help the baby. After a child’s life was actually saved thanks to the new product, Nestlé Milk Flour received wide recognition and within a few years was successfully sold in most European countries.
Meanwhile, the Anglo-Swiss Condensed Milk Company, founded in 1886 by Americans Charles and George Page, expanded its product range and began producing breast milk substitutes in the mid-1970s. The Nestlé company, owned by Jules Monner since 1874, took a retaliatory step and launched own brand condensed milk. The companies remained major competitors in this area until they merged in 1905.

HISTORY OF THE LOGO
Henry Nestlé decided to use his family coat of arms - a nest with birds - as a trademark. In the Swiss dialect of German, Nestlé means "little nest". One of the sales agents suggested replacing the socket with the white cross of the Swiss flag, but Nestlé refused the idea: “I'm sorry, but I can't afford to replace the socket with the Swiss cross, I can't have different brands for each country - anyone can use the cross, but no one can use my family coat of arms.”

ENTERING THE WORLD MARKET
In 1905, a merger took place to form a company called the Nestlé and Anglo-Swiss Milk Company. Already at the beginning of the 20th century, the company owned factories in the United States, Britain, Germany and Spain.
In 1907, the company began to conquer the Australian market, which allowed it to double its production volume. At the same time, warehouses were opened in Singapore, Hong Kong and Bombay to meet the needs of the rapidly growing Asian market.
However, the main production capacity were still located in Europe, and the outbreak of the First World War dealt a serious blow to the company's activities. It became increasingly difficult to obtain raw materials and distribute finished products. A shortage of fresh milk across Europe has forced factories to sell off virtually all supplies to meet the population's needs.
But despite the difficulties, the war created unprecedented demand for powdered and condensed milk, mainly due to government orders. To cope with them, Nestlé acquired several factories in the United States. By the end of the war, the company owned 40 factories, and production volume had almost doubled compared to 1914.

THE APPEARANCE OF NESCAFE
The post-war period brought with it a crisis for Nestlé. Government orders stopped coming in, and people, accustomed to powdered and condensed milk during the war, preferred to return to fresh milk as soon as it became available again. In 1921, the company suffered losses for the first time. Rising prices for raw materials, the post-war lull in the global economy and falling exchange rates exacerbated the situation.
Nestlé management quickly responded to the current situation and invited Swiss banking expert Louis Duples to reorganize the company. By aligning the level of production and sales, as well as reducing outstanding debts, he adjusted the company's operations.
In the twenties, Nestlé for the first time expanded beyond its traditional range. Chocolate production has become the company's second most important activity. New products appeared: malted milk, Milo instant drink, powdered buttermilk for children and, in 1938, Nescafé. This instant powder revolutionized coffee consumption worldwide and quickly gained popularity.

GLOBAL DISTURBANCE
The outbreak of World War II had a negative impact on Nestlé's activities. The company's profits fell from US$20 million in 1938 to US$6 million in 1939. Neutral Switzerland became increasingly isolated from war-torn Europe, and the company moved a large portion of its employees to Stamford, Connecticut.
Ironically, World War II helped accelerate progress newest product company - Nescafé. After the United States entered the war, Nescafé became the staple drink of American soldiers and officers serving in Europe and Asia. By 1943, annual production reached a million boxes.
As during the First World War, the level of production and sales in the war economy increased significantly: total sales jumped from $100 million in 1938 to $225 million in 1945. By the end of the war, Nestlé executives suddenly found themselves heading a concern that was leading the global coffee business, as well as in other traditional Nestlé production areas.

PRODUCTION GROWTH AND RANGE OF RANGE
The post-war years became the most dynamic phase in Nestlé's history. During this period, the company's growth was based on expanding the range of food products produced by the company. Alimentana S.A. has joined Nestlé. - manufacturer of Maggi soups and seasonings. The name was changed to Nestlé Alimentana Company. This was followed by the acquisition of Crosse & Blackwell, a British canned food manufacturer, in 1950, as well as Findus in 1963 (frozen foods), Libby in 1971 (fruit juices) and Stouffer in 1973 (frozen foods).
Meanwhile, Nescafé's popularity continued to rise. From 1950 to 1959, sales of instant coffee nearly tripled, and from 1960 to 1974 they quadrupled. The company's sales have quadrupled in the 15 years since the end of World War II. Development new technology low-temperature drying led to the appearance in 1966 of a new brand of instant coffee - Taster’s Choice.
Finally, Nestlé management decided to expand beyond the food industry for the first time. In 1974, the company became the largest shareholder of the world leader in the production of cosmetics - L'Oreal.

CHANGE OF POSITIONS
In 1974, Nestlé's position began to change. For the first time since 1920, the company's economic situation worsened due to rising oil prices and slowing economic growth in industrialized countries. In addition, world currencies fell against the Swiss franc. As a result, between 1975 and 1977, coffee prices quadrupled and cocoa prices tripled. As in 1921, the company had to quickly respond to a radically changed market situation.
Increased sales in developing countries partially mitigated the impact of the decline in Nestlé's traditional markets, but at the same time carried risks associated with the unstable political and economic situation in these countries. To maintain balance, Nestlé acquired Alcon Laboratories, Inc., a non-food industry American manufacturer of pharmaceutical and ophthalmic products.

NESTLÉ TODAY AND TOMORROW
The first half of the nineties was a favorable period for Nestlé: trade barriers were eliminated, and integration processes continued in the world market. Opening of the Central and Eastern Europe, as well as China, provided Nestlé with new ways to market its products.
Nestlé began the 20th century by merging with the Anglo-Swiss Condensed Milk Company to increase its product range and expand its geographic reach. The company enters the new millennium as a strong leader in the food industry, with more than 500 factories in 70 countries and annual sales of more than CHF 71 billion.
Since 1996, consolidation processes have been reflected in the acquisition of the Italian mineral water concern San Pellegrino (in 1997), the purchase of the English company Spiller Petfoods (in 1998), as well as the decision to sell trademark Findus (in 1999) to focus on more profitable frozen food products. The acquisition of Spiller Petfoods strengthens Nestlé's position in Europe in the pet food market, which the company entered back in 1985 with the acquisition of Carnation and its Friskies brand. Carnation was acquired at auction for US$3 billion. At that time, it had a lot of weight among American food manufacturing companies. The merger was one of the largest in the history of the food industry.
Nestlé's recent decision to close its US ground coffee operations (Hill Bros, MJB, Chase & Sanborn) will allow the company to focus on its new luxury line, Nescafé, which began production in September 1999.
Maintaining a leading position in a changing market requires sufficient mobility from the company. The existing product range is being supplemented, the geography of activity is expanding

Brand: Nestle

Slogan: Product quality. Quality of life (eng. Good food, good life)

Industry: food production

Products: food

Owning company: Nestlé S.A.

Year founded: 1866

Headquarters: Switzerland

In the mid-1960s, experienced pharmacist Henry Nestlé began experimenting with various combinations of milk, wheat flour and sugar, trying to create alternative source food for babies who could not be fed with mother's milk. Its main goal was to help solve the problem of child mortality caused by insufficient and unhealthy nutrition. The new product was called Farine Lacte Henry Nestle (Nestlé Milk Flour).

After the new breast milk replacer formula Nestle saved the life of a premature baby, whose body did not accept either mother’s milk or its substitutes that existed at that time, this product received well-deserved recognition, and within a few years, Nestle’s Farine Lactee was actively sold in most European countries.

"Anglo-Swiss Condensed Milk Company", founded in 1866 by Americans Charles and George Page and becoming the company's main competitor Nestle, expanded its range to include cheese and breast milk substitutes in the mid-1970s. Company Nestle, which Henry Nestlé sold to Jules Monner in 1874, responded by launching its own brand of condensed milk.

In 1875, Daniel Peter, a resident of Vevey (Switzerland), came up with a way to produce milk chocolate by combining milk and cocoa powder. Peter, a friend and neighbor of Henry Nestlé, founded the company, which quickly became a world leader in chocolate production and later became part of the corporation Nestle.

Julia Vern 11 126 1

The progenitor of the famous NESTLE company was a successful pharmacist from Switzerland, Henry Nestlé, who became interested in creating a product for artificial feeding of children. He officially founded his brainchild in 1867, probably not even implying that his brand several decades later would become synonymous with quality and the best traditions in the field of production food products. The familiar company logo in the form of birds sitting in a nest is nothing more than the family coat of arms of Nestlé, which he did not even want to change to a trademark in the form of a white cross, which is present on the flag of his homeland.

Henry Nestlé began conducting research on infant feeding back in the 60s of the 19th century, when there was a high infant mortality rate due to malnutrition. In search of an ideal alternative to breastfeeding, he experimented with milk, sugar and wheat flour, eventually developing a new product called Henry Nestlé Milk Flour. The resulting mixture was a real breakthrough and, thanks to its unique characteristics, immediately won the trust of consumers. A premature baby, whose body rejected mother’s milk and all products that replaced it, helped to verify the quality and nutritional value of the product. When even the help of doctors was ineffective, NESTLE milk formula performed a miracle and saved the baby’s life, after which it gained enormous trust in society and a few years later became in demand in most European countries.

How to stay ahead thanks to competitors?

In the mid-70s of the 19th century, Nestle, led by its new owner Jules Monner, began producing condensed milk under its own brand. This decision was provoked by the desire of the Anglo-Swiss Condensed Milk Company to expand its range of breast milk substitutes. Meanwhile, new products are appearing on the food market interesting solutions, one of which was milk chocolate, invented by Daniel Peter. Later he created own company, which became a leading player in the chocolate industry and later became part of the NESTLE corporation.

At the beginning of the 20th century, these two competing companies merged under the name “Nestle and the Anglo-Swiss Condensed Milk Company,” and after some time the new corporation owned factories in the United States and some European countries. In 1907, thanks to large-scale production in Australia, production volumes doubled. At the same time, warehouses were built in Singapore, Bombay and other Asian countries.

How to increase sales despite difficult times?

During the First World War, which created disastrous conditions for the company's production and marketing activities, NESTLE sold almost all of its stocks to fill the shortage of fresh milk in European countries. However, in the meantime, government orders are being received for the production of powdered and condensed milk. To meet this demand, Nestle acquires several more factories in the United States and thereby doubles production volumes.

The post-war period brought with it a deep crisis associated with rising prices for raw materials and a falling currency; all these consequences did not spare the Nestle company. At this time, management makes a radical decision to reorganize and begins to expand the scope of its traditional activities with the release of new products, for example, malted milk, instant drinks and baby buttermilk powder. A revolutionary creation and one of NESTLE's main discoveries was NESCAFE instant powder, which appeared in 1938 and continues to be in demand among coffee lovers to this day. And even during the Second World War, which affected NESTLE with a significant reduction in profits, the unique drink enjoyed incredible popularity and was appreciated by American soldiers and officers. Thanks to this trend, NESCAFE sales volumes reached a million boxes by 1943, making NESTLE the leader in the coffee business, and the company's profit by the end of World War II amounted to more than two hundred and twenty million dollars, which is double more profit 1938.

The post-war period was marked for NESTLE by a period of diversification and a new alliance with Alimentana S.A. and Maggi and Company, which was largest enterprise for the production of instant soups, seasonings and bouillon cubes. The result of the merger was the creation of the NESTLE Alimentana Company holding, which already in 1950 was supplemented by the British canned food manufacturer Crosse & Blackwell, and a little later by Findus, a manufacturer of frozen fish products. From the mid-60s to the early 70s, the companies Libby and Stouffer were added to the holding, producing fruit juices and frozen foods, respectively.

During all this time, the popularity of NESCAFE instant coffee was steadily gaining momentum, and low-temperature vacuum drying technology was developed, thanks to which a new brand of coffee called TASTER’S CHOICE appeared.

Get out of your usual zone to stay afloat

In the mid-70s, due to the deterioration of the economic situation caused by high prices for “black gold” and the fall in exchange rates around the world, prices for coffee and cocoa have increased significantly. NESTLE is forced to adapt to changing realities and is moving beyond its usual activities in the field of food. In 1974, the company acquired shares of L'Oreal, and a little later became the owner of Alcon Laboratories, Inc., engaged in ophthalmic and pharmaceutical production.

A confident path to the podium

In the 90s came favorable conditions for the development of NESTLE, barriers to trade were removed, new sales lines were opened in China, Central and Eastern Europe. Since 1996, the company's management has decided to sell some brands, such as Findus, and buy new ones, such as San Pellegrino and Spillers Petfoods.

Throughout the 20th century, NESTLE changed the directions of its activities, expanded the geographical boundaries of its activities, and surprised people with new inventions and developments in the food industry. We can confidently say that NESTLE has come to the new 21st century as the undisputed leader in the field of food production, the company has about five hundred operating factories, and annual sales income exceeds 90 billion Swiss francs.

The year 2007 was marked for the company with a symbolic return to its roots thanks to the purchase of the Gerber brand, known throughout the world as a leading manufacturer of children's nutrition. Thus, NESTLE has the opportunity to fully continue the work of its founder, as well as develop the concept of proper and healthy nutrition.

How did Nestlé come to Russia?

A merchant from St. Petersburg, Alexander Wenzel and Henry Nestlé, signed an agreement at the end of the 19th century to supply milk products to the Russian Empire, and from that very moment the development of NESTLE’s partnership with Russia began.

In the 90s, Nestlé created a Russian distribution network, developing large-scale sales of its most popular products, such as Nescafe and Nesquik. After which he opened a representative office, which in 1996 became an independent company called Nestle Food LLC, which ten years later, as a result of mergers, was renamed Nestle Russia.

Popular representatives of Nestlé, such as Nescafe, Russia-Generous Soul, Maggi, Nats, have been repeatedly awarded with various awards in the field of national recognition, which is an indisputable fact of Russian consumers’ love for the company’s products.

Favorite coffee from NESTLE

From 1938 to the present day, the NESCAFE brand is perhaps the most popular among all Nestlé products, at the moment it has seven produced lines of coffee. Let's talk in more detail about each of them.

NESCAFE "Classic". Granulated instant coffee, produced in soft packaging and glass jar, has a tart classic coffee taste and rich aroma. This drink will be appreciated by fans of the morning traditions of drinking coffee, which energizes you with vivacity and energy.

NESCAFE "Gold". Freeze-dried instant coffee, which incorporates different types of roasted coffee beans, balanced and harmoniously combined in one drink. In the Nescafe Gold line, you can choose soft, strong, rich coffee, or made from roasted and unroasted green beans. Supplied in a glass jar or soft packaging with a zipper.
NESCAFE "Montego". Freeze-dried instant coffee beans of medium roasting. Thanks to specially selected varieties, a unique blend of drink is created that has an original, refined taste.
NESCAFE "Gold Barista". The so-called trend in coffee production, based on the innovative development of creating ground coffee into instant coffee, and in no way inferior to a drink from a coffee shop. This effect is achieved by adding Arabica beans to ground coffee before crystallization. During the brewing of the product, all the shades and flavors of superfine ground beans are released.

NESCAFE "Espresso". Premium instant coffee, when brewed, an airy foam appears on the surface. To create a delicate blend filled with fruity notes, Arabica varieties are carefully selected and dark roasted.
NESCAFE "Dolce Gusto". Capsules for a coffee machine that allow you to prepare high-quality and tasty drinks at home, just like in a coffee shop, while the choice of flavors in this line is striking in its diversity:

  • classic black coffee;
  • hot chocolate;
  • espresso;
  • cappuccino and latte;
  • cocoa, etc.

NESCAFE "3 in 1". A small stick - a lifesaver for those who want to get a boost of energy immediately; it perfectly combines the taste of coffee and cream. Available in various variations: strong, soft, classic and caramel flavored.

Coffee is an indispensable drink for people leading a busy lifestyle; it is rich in antioxidants, which actively prevent the aging process and many diseases of the nervous system. The variety of NESCAFE lines allows you to choose a life-giving drink to suit the liking and taste of even the most sophisticated coffee connoisseur.

Miracle drink Nesquik

The Nesquik instant chocolate drink was developed in 1948 and was then called Nestle Quik, the second part of the name translated from English means “fast”, thereby the manufacturers symbolized the speed of dissolution of cocoa powder in milk. In 1999, the brand received its current more sonorous name. Throughout its existence, the mascot of the trademark has been and remains the rabbit Kwiki, who, along with the name of the product, sometimes changed his image.

Tasty and aromatic Nesquik cocoa is ideal for a growing body; it contains a lot of vitamins and microelements necessary for the child’s skeletal system and brain activity. This amazing drink is available in a classic version and with strawberry flavor.

Chocolates from Nestlé - pleasure for all occasions

Chocolate bar "NUTS". Ideal for those cases when you need to quickly stimulate brain activity, and, as you know, hazelnuts in combination with chocolate cope with this task perfectly. In addition, the bar contains caramel and nougat.

Nesquik bar. Mini chocolate, available in different variations: with crispy wafer or with puffed rice, nougat and milk filling. This delicacy is especially popular among children.

"KIT KAT." A bar based on crispy wafer and milk chocolate perfectly satisfies the feeling of hunger and keeps you feeling full for a long time. This chocolate bar first appeared in 1935 in London; since then the name and design of the wrapper have changed several times, but the quality and originality of taste have remained at the same level.

Chocolate bars “Russia - Generous Soul”. NESTLE is a worthy representative in the chocolate bar category; it is available in a variety of variations, each of which has an original composition that combines only the highest quality ingredients: dark and milk chocolate, marmalade, cookies, nuts and raisins.

Leading baby food manufacturers

Henry Nestlé began the development of his activities, taking as a basis the goal - to find a unique formula recipe that would be a complete analogue of breast milk and would help solve the problem of shortage and incorrectness of baby food. Having achieved his goal, the founder of NESTLE by example proved that you can achieve a lot in your endeavors if you have a strong desire to benefit people.

The Swiss pharmacist's business has been successfully going on for more than 140 years. The company produces baby formulas, purees, cereals and other baby food products of famous brands, which are rightfully highly valued all over the world due to the unsurpassed quality of their products.

NESTLE products are designed to provide a proper and healthy diet, bring maximum benefit to the baby, improve digestion, normalize microflora, reduce the risk of intestinal infections and strengthen the immune system. All formulas intended for infants are as close as possible in their characteristics to natural mother's milk.

NESTLE concept: both in life and in profession

The main principle of Nestlé's activities is the desire to create common values ​​and attitudes in both corporate and privacy. Executive Director of Nestlé S.A. Paul Bulke believes that the key to the success of any company is the desire to have a beneficial impact on society, that is, a corporate social responsibility for the people.

The Nestlé company, by producing high-quality and healthy food products, pursues the goal of stimulating in society the desire for a healthy lifestyle, proper and wholesome nutrition, and also to minimize negative influence on the environmental situation.

As part of its concept, Nestlé has successfully implemented several activities:

  • Improving product quality standards. Since 2010, the Nestlé Cocoa Plan program has been implemented, aimed at achieving ideal parameters for the quality and taste of the products produced. The essence of the program is to respect environment, in which cocoa trees grow, as well as to the people who grow them. To achieve this, Nestlé is participating in the development farms, improving the social conditions of farmers and maintaining the quality of the natural environment. In Russia, the Cocoa Plan program began with the introduction of new KIT ​​KAT bars, made in accordance with new standards.
  • Creation of innovative divisions within the company, the primary task of which is to develop unique food products, with the help of which the prevention and treatment of certain diseases is carried out.
  • Creation of partnerships with the Free Labor Association, which allows timely suppression of cases of illegal exploitation of child labor.
  • Acquisition of Pamlab, a medical nutrition company.

The basis for the emergence of the enterprise, which later grew into a well-known company, was the research of the Swiss pharmacist Henry Nestlé, who was trying to create a breast milk substitute for feeding infants. Using milk, wheat flour and sugar, Henry Nestle developed a product called Farine Lactee Henry Nestle - “Henry Nestle's Milk Flour”.

The company producing and selling this product was established in 1867. His goal was to create nutrition for infants who, for one reason or another, could not be fed with mother's milk, thereby partially solving the problem of infant mortality from insufficient or improper nutrition.

The first consumer of the new product was a premature baby, whose body did not accept either mother's milk or existing substitutes, and doctors were powerless to help the baby. After a child’s life was actually saved thanks to the new product, Nestlé Milk Flour received wide recognition and within a few years was successfully sold in most European countries.

Meanwhile, the Anglo-Swiss Condensed Milk Company, founded in 1886 by Americans Charles and George Page, expanded its product range and began producing breast milk substitutes in the mid-1970s. The Nestle company, owned by Jules Monner since 1874, took a retaliatory step and launched its own brand of condensed milk on the market. The companies remained major competitors in this area until they merged in 1905.

The history of the logo.

Henry Nestlé decided to use his family coat of arms - a nest with birds - as a trademark. In the Swiss dialect of German, Nestlé means "little nest". One of the sales agents suggested replacing the nest with the white cross of the Swiss flag, but Nestlé refused this idea: “ I'm sorry, but I can't afford to replace the socket with a Swiss cross, I can't have different trademarks for each country - anyone can use the cross, but no one can use my family coat of arms».

Entering the world market.

In 1905, a merger took place to form a company called the Nestle and Anglo-Swiss Milk Company. Already at the beginning of the 20th century, the company owned factories in the United States, Britain, Germany and Spain.

In 1907, the company began to conquer the Australian market, which allowed it to double its production volume. At the same time, warehouses were opened in Singapore, Hong Kong and Bombay to meet the needs of the rapidly growing Asian market.

However, the main production facilities were still located in Europe, and the outbreak of the First World War dealt a serious blow to the company's activities. It became increasingly difficult to obtain raw materials and distribute finished products. A shortage of fresh milk across Europe has forced factories to sell off virtually all supplies to meet the population's needs.

But despite the difficulties, the war created unprecedented demand for powdered and condensed milk, mainly due to government orders. To cope with them, Nestlé acquired several factories in the United States. By the end of the war, the company owned 40 factories, and production volume had almost doubled compared to 1914.

The emergence of Nescafe.

The post-war period brought with it a crisis for Nestle. Government orders stopped coming in, and people, accustomed to powdered and condensed milk during the war, preferred to return to fresh milk as soon as it became available again. In 1921, the company suffered losses for the first time. Rising prices for raw materials, the post-war lull in the global economy and falling exchange rates exacerbated the situation.

Nestle management quickly responded to the current situation and invited Swiss banking expert Louis Duples to reorganize the company. By aligning the level of production and sales, as well as reducing outstanding debts, he adjusted the company's operations.

In the twenties, Nestlé for the first time expanded beyond its traditional range. Chocolate production has become the company's second most important activity. New products appeared: malted milk, Milo instant drink, powdered buttermilk for children and, in 1938, Nescafe. This instant powder revolutionized coffee consumption worldwide and quickly gained popularity.

Global turmoil.

The outbreak of World War II had a negative impact on Nestle's activities. The company's profits fell from US$20 million in 1938 to US$6 million in 1939. Neutral Switzerland became increasingly isolated from war-torn Europe, and the company moved a large portion of its employees to Stamford, Connecticut.

Ironically, World War II helped accelerate the promotion of the company's newest product, Nescafe. After the United States entered the war, Nescafe became the staple drink of American soldiers and officers serving in Europe and Asia. By 1943, annual production reached a million boxes.

As during the First World War, the level of production and sales in the war economy increased significantly: total sales jumped from $100 million in 1938 to $225 million in 1945. By the end of the war, Nestle executives suddenly found themselves heading a concern that was leading the the global coffee business, as well as in other traditional Nestle production areas.

Growth in production and expansion of assortment.

The post-war years became the most dynamic phase in the history of Nestlé. During this period, the company's growth was based on expanding the range of food products produced by the company. Alimentana S.A. has joined Nestle. - manufacturer of Maggi soups and seasonings. The name was changed to Nestle Alimentana Company. This was followed by the acquisition of Crosse & Blackwell, a British canned food manufacturer, in 1950, as well as Findus in 1963 (frozen foods), Libby in 1971 (fruit juices) and Stouffer in 1973 (frozen foods).

Meanwhile, Nescafe's popularity continued to rise. From 1950 to 1959, sales of instant coffee nearly tripled, and from 1960 to 1974 they quadrupled. The company's sales have quadrupled in the 15 years since the end of World War II. The development of new low-temperature drying technology led to the appearance in 1966 of a new brand of instant coffee - Taster’s Choice.

Finally, Nestlé management decided to expand beyond the food industry for the first time. In 1974, the company became the largest shareholder of the world leader in the production of cosmetics - L'Oreal.

Changing positions.


In 1974, Nestlé's position began to change. For the first time since 1920, the company's economic situation worsened due to rising oil prices and slowing economic growth in industrialized countries. In addition, world currencies fell against the Swiss franc. As a result, between 1975 and 1977, coffee prices quadrupled and cocoa prices tripled. As in 1921, the company had to quickly respond to a radically changed market situation.

Increased sales in developing countries partially mitigated the impact of the decline in Nestlé's traditional markets, but at the same time carried risks associated with the unstable political and economic situation in these countries. To maintain balance, Nestlé acquired Alcon Laboratories, Inc., a non-food industry American manufacturer of pharmaceutical and ophthalmic products.

Nestlé today and tomorrow.

The first half of the nineties was a favorable period for Nestlé: trade barriers were eliminated, and integration processes continued in the world market. The opening up of Central and Eastern Europe, as well as China, provided Nestlé with new ways to market its products.

Nestlé began the 20th century by merging with the Anglo-Swiss Condensed Milk Company to increase its product range and expand its geographic reach. The company enters the new millennium as a strong leader in the food industry, with more than 500 factories in 70 countries and annual sales of more than CHF 71 billion.

Since 1996, consolidation processes have been reflected in the acquisition of the Italian mineral water concern San Pellegrino (in 1997), the purchase of the English company Spiller Petfoods (in 1998), as well as in the decision to sell the Findus trademark (in 1999) in order to concentrate efforts to produce more profitable frozen foods. The acquisition of Spiller Petfoods strengthens Nestlé's position in Europe in the pet food market, which the company entered back in 1985 with the acquisition of Carnation and its Friskies brand. Carnation was acquired at auction for US$3 billion. At that time, it had a lot of weight among American food manufacturing companies. The merger was one of the largest in the history of the food industry.

Nestlé's recent decision to close its US ground coffee operations (Hill Bros, MJB, Chase & Sanborn) will allow the company to focus on its new luxury line, Nescafé, which began production in September 1999.

Maintaining a leading position in a changing market requires sufficient mobility from the company. The existing range of products is being supplemented, the geography of activity is expanding.