Federer's soulmate

If you do something, do it properly. Otherwise you shouldn't do it at all. And because you can't do everything right - i.e. excellently - you have to focus, says Emanuel Probst. "A decathlete can never reach such a high level in the individual disciplines as Roger Federer." The CEO of Jura Elektroapparate AG likes to compare his company to a top athlete. You choose the sport, develop a strategy and then it's all about training, training, training. This is how the second career of the traditional household appliance company began in 1992. At that time, 34-year-old HSG graduate Probst sat down in the executive chair of this very company. A company that was in debt to nine banks to the tune of 15 million francs. A company that had to cover the wage costs of 380 employees with 18,000 francs cash on hand and equity of 5 million francs. At that time, the management decided to abandon the decathlon and put all its energy into a single discipline. Away from the generalist, towards the specialist. The ambitious goal of the reorientation: the world championship title in the discipline of premium fully automatic coffee machines. And this at a time when there was effectively only a corresponding market in Switzerland. "Only the Swiss customer was crazy enough to spend 1,000 francs on a coffee machine," says Meinrad Kofmel, Head of Communications at Jura. Nevertheless, the company believed in the new direction because the coffee culture was also undergoing a major upheaval at the time.

Innovation as a driver of success

Today, Jura is number one in the premium segment worldwide. In terms of unit sales, the company is behind its main competitor De'Longhi with a market share of 17 percent. Just ten years ago, Jura shared the market with Saeco and Krups. Today there are so many players that he can't even list them all, says Probst. His recipe for continuing to develop in a highly competitive market: focus, mercilessly and without apology. Whether the market becomes more difficult or easier, you have to concentrate accordingly and focus on innovation. A core competence in which Jura reinvests heavily. In 2011, the company launched two completely new product platforms: The "GIGA 5" (see picture) and the "ENA Micro 9 One Touch". The first model "delivers barista quality at home" and is positioned in the super-premium segment. In contrast, there is the entry-level machine from the 'ENA' series, which is marketed as the 'smallest one-touch fully automatic cappuccino machine in the world'. Both machines have only been on the market since this fall, but their successors have already been launched.

Controlling know-how instead of delegating it

Another key to success is distribution. The company is present at over 11,000 points of sale worldwide. However, a company whose business model is based on a differentiation strategy in the niche sector cannot be satisfied with a mere presence. Whether in Taiwan, America or Switzerland, customers must be advised with absolute competence. Jura is also prepared to pay for this: at its headquarters in Niederbuchsiten, the company has set up its own training room with a tasting counter and model park. The "Coffee Academy" familiarizes new employees, distributors and trainers from various countries as well as Swiss specialist retail partners with the Jura philosophy and appliances.

In addition to providing expertise, Jura also manages global marketing activities from its headquarters. Meinrad Kofmel: "Our in-house agency adapts all formats and languages so that the means of communication come across the way we want them to." In its media mix, the company has long focused on print advertising. In marketing the "ENA Micro 9 One Touch", Jura is once again using TV as a medium. There is no question that Roger Federer plays a leading role in the commercial alongside the fully automatic coffee machine. Five years ago, Jura pulled off a major coup by bringing the then world number one in tennis onto the team as a brand ambassador. "There are very few companies that can work with the most trustworthy person in the world," says Emanuel Probst proudly. Federer acts as a door opener, especially in international markets, and he makes the Jura brand bigger than it is, the CEO continues. "Many people believe that we are a major global brand because we work with a megastar like him."

But size alone is not everything. It is more important to bring the brand values to life for the various target groups and to be authentic. Jura can also count on Federer's help in this area: He makes the shared values such as Swiss origin, hard work, precision, elegance and the pursuit of perfection visible to everyone. On the other hand, the "Jura World of Coffee" - a complex with an exhibition, store, Roger Federer Walk of Fame, bistro and seminar room - is dedicated to the raw material coffee in a stylish ambience and detailed themed worlds, making the Jura brand not only tangible but also accessible.

The company has undergone a paradigm shift in the service area. The aim is to turn a negative repair case into a positive experience for the customer. The service factory, which is also located in Niederbuchsiten, was specially designed by an interior architect. From the elegant reception area, customers can look through a pane of glass into the repair workshop. A huge hospital just for fully automatic machines. "Our model in this area is Formula 1. A team only has two cars. They are identical and the entire structure is geared towards this," says Emanuel Probst. No one else can refuel a car and change the tires in ten seconds. Jura wants to work at the same high level. It does take a little longer than ten seconds to repair a fully automatic machine. However, the company offers a two-hour service. Anyone who wants to drop off or collect their machine outside of working hours can do so via a locker system.

The crisis as an opportunity

At the beginning of the 1990s, the question was whether it was worth the effort to develop multilingual displays, but from today's perspective, entering the international market was the only way to go. On the one hand, the company was able to grow organically, as the Swiss market had long been saturated. On the other hand, global support in the markets helps the company to stay on course in the current difficult currency environment. Although the euro exchange rate and purchasing power parity are currently diverging greatly, Jura remains largely loyal to Switzerland as a production location. "We don't want to make any hasty decisions, as we believe that parity with purchasing power will return," says the CEO. But that's the way it is. You can't always move forward at the same speed. Roger Federer also had to work hard for ten months to win his title at the Swiss Indoors.

Although Probst believes that he and his crew should measure themselves against the years 2001/2002 - the 1990s are almost prehistoric - he attaches historical significance to the latter: "Thanks to the bank debt and the yield, which was none, we had the chance to do something completely new in the first place." And Emanuel Probst would not be Emanuel Probst if he did not immediately follow up his words with a comparison - for once not from top-class sport. "Let's take the successor to Steve Jobs. Tim Cook can only do worse. For us, the shambles back then was a fantastic starting point." Conclusion: Focused innovation, absolute expertise at the point of sale, targeted communication and a world-class service infrastructure - these are the key success factors of Jura Elektroapparate AG. That and a large portion of passion for coffee.
Simone Fankhauser