The Illy Case Study Prof A Sinatra a
- Slides: 5
The Illy Case Study Prof. A. Sinatra a. a. 2011/2012
Main aspects you have to identify: THE KEY ACTORS and what’s their contribution to the Illy success PRODUCT STRATEGY: define the work behind the Illy’s production ILLY’S STRATEGY: describe the strategy the company followed
THE KEY ACTORS 1933: FRANCESCO ILLY He invented the expresso machine and the pressurization technique Focus on the perfect cup of coffee and the complete production process Trieste - High skilled workers - Multilingual city - Large city 1956: ERNESTO ILLY Chemical degree “Cocktail of science and business” Research & Development Branding Strong ethical values 1977: RICCARDO ILLY and, from 1993, ANDREA ILLY Internationalization Process innovation Top consistent quality Cafe’s culture Diversification - International minded people - Large companies - Vibrant life with coffee shops
PRODUCT STRATEGY illy Caffè Single brand UNIQUE, PERFECT BLEND Consistent taste year after year Sales increased 15 times Top consistent Quality ARABICA Quality of coffee, from 9 regions, from Brazil, to Africa to the Central America Scientific /Technological innovation that lead to the definition of a portfolio of patents Internal R&D laboratories University Network Multi disciplinary Focus Testing each bag Fast shipping to the central warehouse in Trieste Special containers for shipping Selection of each bean (50 in a cup) Air treatment after the toasting process
ILLY’S STRATEGY WORLD NICHE LEADER very large competitors CONTINUOUS INNOVATIONS & PATENTS large proprietary portfolio FIT WITH THE LOCAL CULTURE EU Vs USA EXTENDED Ho. Re. Ca NETWORK Customer experience DRIVEN BY CUSTOMERS’ NEEDS LONG RANGE PLANS Avoid shortcuts
