Nespresso Capsule Machine System Increase In Future

- Jan 08, 2018 -

The one-part system for roasted coffee, originally invented by illy in 1975 and called the ESE pouch, is a single serving of pre-packaged and compacted coffee powder for direct use on specialty semi-automatic espresso machines and household espresso machines Espresso is still widely used in Europe. The inventor of the coffee capsule system is Nespresso, which fully automatic mechanized coffee production, and in the form of household appliances to achieve high popularity. In addition, Nespresso relies on the Nestle Group's channels, branding, product design and commercial operation capabilities, in the coffee capsule system market stand out, especially in the European market.

Since Nespresso's capsule system was a closed system at the beginning of its design, that is to say it only works with Nespresso's own capsules, there is already a European coffee capsule manufacturer such as the Ethical Coffee Company under patent expiration date SA, Mondelez International Inc., has produced a capsule last year for Nespresso capsule coffee machines. In view of the coffee machine itself is a one-time consumption, and as household appliances category profit margins are not prominent, and early research and development costs are high, the product life cycle is short, but the coffee capsules are long-term consumption, production R & D variable costs relative Small, relatively easy-to-consume products, Nespresso tried every means to apply for an extension of an exclusive patent, but the European court rejected their application. The European Patent Office of the European Patent Office (EPO) did not explain the reason for the rejection of the patent claim, which granted the Nespresso capsule coffee system an exclusive patent in 2010. In April of this year, a court judge in London ruled that Nespresso coffee customers have the right to buy coffee capsules from any manufacturer of their choice. Just months earlier, courts in Germany and Switzerland also refused to ban compatible coffee capsules from the patented Nespresso coffee machine. It is noteworthy that Nespresso brand capsules are about three times the price of the competitor's brand.
Although the recent unfavorable factors have not affected Nespresso Coffee Nestle's earnings forecasts, the negative impact of the periphery has been generated. Some investment banks estimate that Nespresso coffee sales growth has slowed to 16% in 2012, up from 28% three years ago.

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