What is Nespresso's history?
The idea began with Nestlé worker Eric Favre.
The concept behind Nespresso, a company wholly owned by Nestlé SA, was developed by Nestlé worker Eric Favre.
Although the Nespresso SA was formally founded in 1986, the idea struck Favre in 1975 when he was searching Italy for the best espresso, according to Nestlé.
Turns out, he did just that. Favre was drawn to one particular coffee bar in Rome where he watched how the barista made the coffee. Soon after, he tried to replicate the barista's method at home, Nestlé said.
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He began working on his project behind closed doors and eventually convinced Nestle to let him test out his product with consumers. It was a hit.
By 1986, Nespresso, described as a "revolutionary system of portioned, encapsulated coffee and dedicated machines that interact to deliver perfect coffee" was first launched in Japan, Italy and Switzerland, according to the company.
However, at the time, Nestlé noted that the machines were priced too high, which deterred many consumers, creating concern for the company's future.
Although, "gradually the quality and exclusivity of the product, sold through the members-only Nespresso Club, won over coffee lovers," the company recalled.
By 1991, the product made its way into France and the United States, marking its first major expansion.
Today, the company sells about two dozen machines ranging in price from $149.00 to nearly $600. The capsules are recyclable and come in a wide variety of blends.
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Nestle noted that the company's marketing tactics in which it depicted Nespresso "as the ultimate coffee experience" helped develop the brand.
By 2010, the company had moved its international headquarters to Lausanne, Switzerland, and its revenue surpassed 3 billion Swiss francs ($3.19 billion).
The brand is available in more than 60 countries and is endorsed by celebrities such as George Clooney and Jack Black, who have fronted ad campaigns.