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The purpose of this paper is to propose a research approach to investigate brand alignment by exploiting textual data from online brand communities in the coffee industry. Specifically, consumer brand associations from user-generated content (UGC) and company brand associations from firm-generated content (FGC) are explored to measure the alignment between brand identity and brand image. The selected context of research is the beverage industry wherein companies are called on to develop appropriate digital websites and brand communication strategies to enhance the consumers' brand experience.

The authors introduce a research approach that integrates netnography with text mining analysis. Since brand associations were the basis of the study’s analysis, the authors focused on text mining procedures, providing data (co-occurrences) corresponding to brand associations that consumers perceive and that the company communicates. Data were used to develop the measurements of brand alignment.

The main findings of this research highlight the importance for both scholars and practitioners of determining brand alignment of beverage products in online communities. Knowing the alignment between the way a company communicates its brand identity and how this is perceived by consumers allows for effectively reviewing brand communication.

Although the combined analysis of the alignment between brand image and brand identification has received attention in marketing literature, most scholars have neglected how to measure brand alignment. This is a need for many marketing managers in the coffee industry who are now moving in digital environments where the role of consumers is not that of receivers of brand communication but rather that of cocreators of brand value.

The purpose of this paper is to describe how Nespresso achieved competitive advantage through innovation by changing the rules of the game in its industry.

Nespresso was analyzed based on public available secondary data, in combination with related academic concepts on innovation and competitive advantage.

The company succeeded by the thorough application of a strategy that, through perfect alignment, allowed the company to reach a unique market position. However, as described in the case, it took a relatively long time and the company came close to failure several times. Before the current situation of the company, it remains challenging in the future as well. Hence, the Nespresso story provides interesting space for discussion and learning about what innovation is, how innovation emerges, and under which circumstances innovation can serve as a source for competitive advantage.

Especially given the current market situation, the case offers different starting points for discussion about innovation and long-term company success.

Especially before the current market situation, the case offers different starting points for discussion about innovation and the success of a company on the long term. The case is designed to give practitioners a better understanding on what an innovation as, and how competitive advantages can be linked to innovation.

This case of Nespresso is a unique combination of the concepts of innovation and competitive advantage. It serves as an example of an innovation, which was not successful from the scratch, but evolved over time and is still developing. As many innovations went through such a non-linear process, this case offers interesting lessons learned for academics as well as for practitioners.

This article aims to examine the concept of business model innovation and to discuss the design of the key elements. Based on a detailed case study of Nespresso, it seeks to outline how business model innovation can be implemented successfully.

Based on a theoretical conceptualization of a business model, the authors conduct an in‐depth case study to draw conclusions for a successful implementation of a business model innovation.

A business model innovation comprises five components: an innovative, unique positioning, a consistent product and service logic, an appropriate value creation architecture, an effective sales and marketing logic and a profit formula that works. Success is based upon a unique, innovative and coherent design of the business model's components.

Based on Nespresso's business model, this paper illustrates what a business model innovation is, what its components are and how they should be designed to create and capture value.

Within the context of a sustainable supply chain, the purpose of this paper is to report on empirical longitudinal research on supply chain network evolution and dynamics of governance in a multi‐stakeholder supply chain sustainability initiative led by Nespresso, the speciality coffee division of Nestlé.

The paper proposes a framework to study the creation and evolution of governance mechanisms over a five‐year period. Data from 48 semi‐structured interviews and 15 recent and historic documents were also analysed. The interviews were conducted among current and past representatives of all the organisations concerned including coffee traders, NGOs and farmers.

In contrast with literature on the subject, governance mechanisms initially relied mostly on informal mechanisms. Formal governance mechanisms were incorporated into the relationships to enable the supply chain network to grow and to provide clarity to all actors. Relational quality processes that increased trust were critical elements in the early phase, and were explicitly built into a second phase of development.

Being a single case study, some caution needs to be applied to generalise findings beyond the specific context studied. An additional methodological limitation is the limited number of actors involved in the overall supply chain network.

The paper shows the importance of treating governance mechanisms within the supply chain not as a fixed variable to be determined once and for all in the beginning of a relationship, but rather to adapt the coordination mechanisms of the relationships.

The evolution of relationships over time has been “often called for but rarely chosen”. The case highlights the potential benefits of this type of research to develop an understanding of the evolution of relationships in a supply chain network.

The food industry and its associated agricultural production have very significant global environmental and social impacts. The purpose of this study is to apply and evaluate the use of institutional theory and extended resource-based view (ERBV) to sustainability in food manufacturing and its supply chains. This will provide an understanding of the pressures that facilitate sustainability responses in food manufacturers and their supply chains.

An investigation of the Nespresso company and a multinational confectionery company were used to highlight the pressures that an organisation can face with respect to sustainability and demonstrate its responses using institutional theory and ERBV.

Based on ERBV and institutional theory, the authors developed an integrated conceptual framework that is readily applicable to food manufacturers and their supply chains and improves our understanding of how they react.

To the best of the authors’ knowledge, this is the first time that both ERBV and institutional theory have been used to evaluate sustainability in food manufacturers and their supply chains. It is also the first time that the sustainability responses of the Nespresso company and another food manufacturer have been evaluated using these combined theories and this should improve our understanding of how these theories interact.

Notwithstanding the importance innovation scholars have accredited to design-driven innovation (DDI), no attempts have been made so far to systematically study whether and how this innovation strategy can be used in the retail context in order to gain and nurture competitive advantage. The purpose of this paper is to make a first step towards closing this gap, and therefore understand whether and how companies involved in retail service can create competitive advantage by the adoption of a strategy based on innovation of meanings.

Due to the complex ecosystem of variables that inevitably influence the problem, the case study approach represents the best option to grasp the different aspects highlighted by the research objectives. The analysis undertook a thorough and systematic comparison with the use of an ad hoc “paired comparison method”, in which common systemic characteristics have been intended as a controlled variable in order to minimise the variance and quantity of factors that can have an impact on the selected case studies; intersystemic differences have been understood as explanatory variables to decree the contribution in terms of novelty in relation to the current paradigm.

The paper provides empirical insights about how radical innovation in meanings can be a very important lever on which retail firms can act to gain and nurture their competitive advantage.

Of course the study has several limitations, which represent however opportunities for future research. The authors say that the findings, given the exploratory nature of the study, cannot be generalised to any population of firms or markets, rather they should be used as a basis to develop theoretical understanding of a complex phenomenon and draw research propositions and hypotheses to be tested in subsequent deductive empirical research.

This paper highlights the importance to think, beyond shopping experience, at the role of new meanings when designing service innovation in retail firms. Although the findings do not have statistical relevance, given the exploratory nature of the study, they suggest that DDI can be a viable option for retail firm managers to improve their firms’ competitiveness.

The study presented in this paper has merit to broaden the generalisability of the DDI model to other industries, different from those where it was initially studied and applied. This is an important step toward conceptualising DDI as a novel management paradigm.

The purpose of this paper is to analyze consumer behavior based on the structures of attributes, consequences, and values identified by consumers of beverages obtained from capsules. Consumers of the brands Nescafé Dolce Gusto and Nespresso capsule-based beverages were selected, and comparatively analyzed to understand the possible differences perceived by the consumers of each brand.

Based on a soft laddering technique, 27 in-depth interviews were carried out among the users of Nespresso and Dolce Gusto. This technique allowed differentiating the attributes of each brand, as well as defining common/cumulative elements.

Individual values of achievement and personal pleasure, mainly reached through better living standards, were dominant for all consumers. Dominant chain analysis results showed the perceptions of consumers were different for each brand. Generally, both brands’ consumers seek quality and practicality. However, Dolce Gusto delivers a product perceived as having more functional benefits, thus serving consumers seeking more variety when it comes to different types of beverages. On the other hand, Nespresso serves a more selective niche market, whose consumers rather value brand quality and reliability.

The characteristics and product specifications show similarities with food consumption trends, which justify the growth of this market in recent years. Therefore, strategies and the consumers’ demand for the capsule market show a promising trend on the coffee and drinks market in Brazil, deserving special attention from both companies and producers.

The purpose of this paper is to explore consumers’ preference for responsible labels in the specific case of well-known brands. The research examines the propensity of consumers to consider self-declarations carried out by the company itself in comparison with independent certifications organised by an external third party.

An empirical study involving 134 French consumers by means of a conjoint analysis method was conducted, and the case of Nespresso coffee was tested.

The results show that self-declaration (Nespresso AAA Sustainable Quality) positively influences consumer preference. Moreover, this positive effect is equivalent to that of independent certification (Fair Trade Max Havelaar).

This study’s contribution gives a better insight into the consumers’ response to eco-labelling. It suggests the existence of an interaction effect between the brand and the responsible label. But, a future research needs to be conducted to gain better understanding of this interaction effect.

The results suggest that a strategy of promoting a well-known branded product based on self-declaration would be effective. They offer additional insights to managers on the eco-labels’ efficiency.

Contrary to the literature which suggests the superiority of the effect of certifications organised by a third party, this research shows that this finding is not valuable in the case of a well-known brand. Self-declaration may be preferred by consumers in the same way as independent certification. This research is one of the rare research to stress the need to consider brand when exploring eco-labelling issue.

Gillette’s historically successful “razor and blade” business model (RBM) has been a promising benchmark for multiple businesses across diverse industries worldwide in the past several decades. The extant literature deals with very few nuances of this business model notwithstanding the fact that there are several variants of this business model being put to practical use by firms in diverse industries in grossly metaphorically equivalent situations.

This study adopts the 2 × 2 truth table framework from the domains of mathematical logic and combinatorics in fleshing out all possible (four logical possibilities) variants of the razor and blade business model for further analysis. This application presents four mutually exclusive yet collectively exhaustive possibilities on any chosen dimension. Two major dimensions (viz., provision of subsidy and intra- or extra-firm involvement in the making of razors or blades or both) form part of the discussion in this paper. In addition, this study synthesizes and streamlines entrepreneurial wisdom from multiple intra-industry and inter-industry benchmarks in terms of real-time firms explicitly or implicitly adopting several variants of the RBM that suit their unique context and idiosyncratic trajectory of evolution in situations that are grossly reflective of the metaphorically equivalent scenario of razor and recurrent blades. Inductive method of research is carried out with real-time cases from diverse industries with a pivotally common pattern of razor and blade model in some form or the other.

Several new variants of the razor and blade model (much beyond what the extant literature explicitly projects) have been discovered from the multiple metaphorically equivalent cases of RBM across industries. All of these expand the portfolio of options that relevant entrepreneurial firms can explore and exploit the best possible option chosen from them, given their unique context and idiosyncratic trajectory of growth.

This study has enriched the literature by presenting and analyzing a more inclusive or perhaps comprehensive palette of explicit choices in the form of several variants of the RBM for the relevant entrepreneurial firms to choose from. Future research can undertake the task of comparing these variants of RBM with those of upcoming servitization business models such as guaranteed availability, subscription and performance-based contracting and exploring the prospects of diverse combinations.

Smart entrepreneurial firms identify and adopt inspiring benchmarks (like razor and blade model whenever appropriate) duly tweaked and blended into a gestalt benchmark for optimal profits and attractive market shares. They target diverse market segments for tied-goods with different variants or combinations of the relevant benchmarks in the form of variegated customer value propositions (CVPs) that have unique and enticing appeal to the respective market segments.

Value-sensitive customers on the rise globally choose the option that best suits them from among multiple alternatives offered by competing firms in the market. As long as the ratio of utility to price of such an offer is among the highest, even a no-frills CVP may be most appealing to one market segment while a plush CVP may be tempting to yet another market segment simultaneously. While professional business firms embrace resource leverage practices consciously, amateur customers do so subconsciously. Each party subliminally desires to have the maximum bang-to-buck ratio as the optimal return on investment, given their priorities ceteris paribus.

Prior studies on the RBM have explicitly captured only a few variants of the razor and blade model. This study is perhaps the first of its kind that ferrets out many other variants (more than ten) of the razor and blade model with due simplification and exemplification, justification and demystification.