Coffee Futures: The Economic and Environmental Drivers Behind Rising Prices

January 27, 2025 by Camille KELLER

In this article, Camille Keller (ESSEC Business School, Bachelor in Business Administration (BBA), 2020-2024) explores the economic and environmental factors influencing rising coffee prices, shedding light on global futures markets and sustainability efforts.

Environmental Factors: Climate Change and Coffee Production

It’s no secret that coffee is deeply tied to the environment. Arabica coffee, cherished for its smooth flavor, accounts for about 60% of global coffee production—but it’s also notoriously sensitive to climate change. Reardon-Smith et al. (2019) highlight how rising temperatures and unpredictable weather patterns are shrinking suitable growing areas and reducing yields. The regions best known for coffee cultivation, including Brazil and Vietnam, are among the hardest hit.

A study by Tavares et al. (2018) paints a stark picture for Southeast Brazil, a vital hub for Arabica production. Projections indicate that suitable cultivation areas could drop by as much as 60% by the end of the century, with yields potentially falling by 25% under high greenhouse gas scenarios. These environmental hurdles are compounded by deforestation and soil degradation, leaving farmers with limited options to sustain production.

Adding to the pressure, Trading Economics (2025) reports that persistent below-normal rainfall in key Brazilian regions has exacerbated supply constraints. Brazil’s 2024 coffee harvest was estimated at 54.2 million 60-kg bags, down 1.6% from the previous year. Such trends not only strain global supply but also drive prices higher as demand outpaces production.

The ICO Composite Indicator Price (I-CIP)

Source: ICO Report 2024.

Economic Factors: Supply Chain Disruptions and Consumer Trends

Beyond environmental woes, economic forces play a crucial role in the coffee market. In recent years, global supply chain disruptions have caused delays and driven up transportation costs, creating additional upward pressure on coffee prices. The COVID-19 pandemic underscored the fragility of global logistics, making it harder to get coffee beans from farms to consumers.

Consumer behavior also holds significant sway. According to Capps et al. (2023), coffee demand in the United States is highly price-sensitive, with a price elasticity of -1.93. This means that as prices rise, many consumers cut back on their purchases. Yet, wealthier households tend to continue buying coffee regardless of price increases, reflecting the complex dynamics of socioeconomic factors in shaping demand.

Meanwhile, the International Coffee Organization (ICO, 2024) notes that global coffee prices rose by 40% in 2024, with the ICO Composite Indicator Price averaging 299.61 US cents/lb in December. This surge has been driven by a combination of tight supply and robust demand, particularly for Arabica coffee. Additionally, logistical challenges, such as container shortages and prolonged shipping times to European markets, have amplified cost pressures throughout the supply chain.

Certified Stocks of Arabica and Robusta Coffee

Source: ICO Report 2024.

EU Regulations and Market Dynamics

Adding to these challenges are new European Union regulations aimed at combating deforestation. Savage (2024) reports that coffee futures hit a 47-year high in November 2024, partly due to fears surrounding these laws. The regulations require companies to ensure their supply chains are free of deforestation, significantly increasing compliance costs for producers. While these measures promote sustainability, they have also added uncertainty and volatility to the market, pushing prices further upward.

Moreover, the ICO (2024) highlights the volatility of coffee prices, with Arabica and Robusta exhibiting sharp fluctuations. Certified stocks of Robusta coffee increased by 13.3% from November to December 2024, while Arabica stocks grew by 7.8%. Despite these increases, the imbalance between supply and demand continues to fuel price volatility, as traders and roasters navigate a challenging market landscape.

Conclusion: Future Outlook of a Volatile Market

The interplay of environmental and economic factors makes it clear: coffee prices are unlikely to stabilize anytime soon. Climate change will continue to constrain supply, while evolving consumer preferences and regulatory changes shape demand. This complex web of factors requires innovative solutions from policymakers, industry leaders, and consumers alike.

For consumers, this may mean accepting higher prices as the new norm. However, increased awareness of the environmental and social costs of coffee production could drive more sustainable consumption patterns. Initiatives such as fair trade certification and carbon-neutral labeling are gaining momentum, offering a pathway to a more equitable and resilient coffee industry.

Why Should I Be Interested in This Post?

This post provides ESSEC students and global business enthusiasts with valuable insights into how environmental changes, economic challenges, and regulatory dynamics are shaping one of the world’s most consumed commodities.

Useful Resources

International Coffee Organization (ICO) Coffee Market Report 2024

Trading Economics Arabica Coffee Futures

Financial Times Coffee Futures Hit 47-Year High

Yen Pham, Kathryn Reardon-Smith, Shahbaz Mushtaq & Geoff Cockfield (2019) The impact of climate change and variability on coffee production: a systematic review Climatic Change Journal, 156, 609-630

About the Author

The article was written in January 2025 by Camille Keller (ESSEC Business School, Bachelor in Business Administration (BBA), 2020-2024).

Global Coffee Habits: Understanding Consumption Trends Across the World

January 27, 2025January 24, 2025 by Camille KELLER

In this article, Camille Keller (ESSEC Business School, Bachelor in Business Administration (BBA), 2020-2024) explores coffee’s global consumption trends, examining regional habits, cultural significance, and emerging preferences.

Coffee: A Universal Obsession

Coffee holds the distinction of being the second most consumed beverage in the world after water. With an estimated 10 billion kilograms consumed annually in 2023, according to the International Coffee Organization’s latest global report, coffee plays a central role in daily life for millions. While its appeal began in regions like the Middle East and Europe, its reach has extended to every corner of the globe. In traditionally tea-drinking nations like China and India, coffee is steadily gaining popularity, driven by urbanization and an expanding middle class.

The cultural significance of coffee is evident in how it is integrated into the lifestyles of various regions. In Italy, espresso is more than just a drink; it is a tradition, often consumed while standing at the bar. In the United States, coffee fuels the on-the-go culture, with chains like Starbucks shaping global perceptions of coffee consumption. Meanwhile, in Scandinavian countries, coffee consumption is a communal affair, often paired with “fika,” a Swedish custom of taking a break with coffee and pastries. Across regions, coffee’s versatility allows it to adapt to local customs, cementing its place in daily routines worldwide.

Espresso bar in Italy

Source: Shutterstock.

Regional Consumption Patterns: Who Drinks the Most?

The world’s coffee consumption reveals fascinating disparities across regions. Europe remains the leader, with Northern European countries like the Netherlands, Finland, and Denmark topping the per capita consumption charts. According to Statista in 2023, the Netherlands leads with an impressive 8.11 kilograms per person annually, followed closely by Finland at 7.99 kilograms. These figures underscore a deeply ingrained coffee culture in these regions, where coffee is not just a beverage but a social ritual.

Meanwhile, the United States, the largest single market for coffee, ranks significantly lower in per capita consumption, averaging around 4 kilograms per person annually. This contrast highlights a distinct cultural difference: as noted by Jacobsen (2024), Americans predominantly favor convenience and mass-market coffee, which aligns with the rise of chain brands and ready-to-drink formats. This reflects a broader trend in the U.S., where coffee consumption habits are driven by practicality rather than the artisanal focus seen in Europe.

Per Capita Coffee Consumption in 2023

Source: Statista.

Asia, once dominated by tea, has emerged as a growing market for coffee. Countries like Japan and South Korea have embraced coffee culture, with specialty cafes and innovations like canned coffee becoming mainstream. China’s coffee market, although nascent, is expanding rapidly, driven by a young, urban demographic eager to adopt global trends. Latin America, home to many coffee-producing countries, is seeing a shift from exporting to cultivating local appreciation, with Brazil and Colombia leading domestic consumption in the region.

Urbanization and changing lifestyles play a significant role in driving coffee consumption. As more people move to cities, the demand for convenient and premium beverages increases. Younger generations, in particular, are drawn to coffee not only for its energizing properties but also for its social and aesthetic appeal, as showcased on platforms like Instagram.

Transforming Habits: Sustainability and Evolving Preferences

The coffee industry is undergoing a profound transformation, driven by shifting consumer values and evolving preferences. Sustainability now plays a pivotal role in purchasing decisions, particularly among younger consumers. Research by Robichaud and Yu (2022) highlights that Generation Z (aged 15–24) places increasing importance on ethical and sustainable consumption, with certifications like Fair Trade and Rainforest Alliance acting as key motivators. These certifications ensure that coffee production aligns with ethical labor practices, environmental conservation, and fair wages for farmers, reflecting the growing demand for transparency and social responsibility.

In parallel, the rise of connoisseur consumers—those who seek high-quality specialty coffee—has emphasized the importance of sustainability in production. As noted by Bartoloni et al. (2022), this segment values not only the taste and uniqueness of coffee but also its environmental and ethical footprint. For these discerning drinkers, coffee consumption is as much about supporting sustainable practices as it is about enjoying a premium product.

Evolving preferences are also shaping the industry. The increasing popularity of plant-based diets has led to the widespread adoption of non-dairy alternatives like almond, oat, and soy milk in cafés worldwide. Cold brew, once considered niche, has become a mainstream favorite, particularly among millennials and Gen Z consumers, who gravitate towards innovative and convenient formats. The growth of ready-to-drink coffee beverages reflects this trend, offering busy consumers a blend of convenience, variety, and sustainability in packaging and sourcing.

Health-conscious consumers further influence the market by demanding options such as low-caffeine, organic, and functional coffee infused with superfoods like turmeric and collagen. These preferences align with broader wellness movements and reflect a shift in how coffee is perceived—not just as a beverage but as a lifestyle choice. Together, these changes signal a new era in the coffee industry, where sustainability and innovation go hand in hand.

Why Should I Be Interested in This Post?

Global coffee consumption reflects broader trends in sustainability, wellness, and innovation. For ESSEC students interested in understanding global markets or sustainable trade practices, this article highlights important insights into consumer behavior and industry dynamics.

Useful Resources

International Coffee Organization (ICO)

Specialty Coffee Association (SCA)

Fair Trade Organization

Rainforest Alliance

Statista

About the Author

The article was written in January 2025 by Camille Keller (ESSEC Business School, Bachelor in Business Administration (BBA), 2020-2024).

From bean to brew: understanding coffee as a global commodity

January 27, 2025January 24, 2025 by Camille KELLER

In this article, Camille KELLER (ESSEC Business School, Bachelor in Business Administration (BBA), 2020-2024) explores coffee as a commodity and cultural staple.

Coffee is more than just a beverage; it is a universal ritual, an economic cornerstone, and a cultural staple. As one of the most traded commodities in the world, coffee fuels not only mornings but also economies. In this post, we will explore the many faces of coffee, the countries that produce it, and the industry’s global composition, setting the stage for a deeper understanding of its role in global markets.

The different types and varieties of coffee

Two primary species dominate the coffee market: Arabica and Robusta. Arabica constitutes approximately 60-70% of global coffee production as of 2023, according to the International Coffee Organization. Known for its mild and nuanced flavors, Arabica thrives in high-altitude regions with cooler climates. In contrast, Robusta, which is hardier and more resistant to pests, grows at lower altitudes and features a bolder, more bitter flavor, with nearly double the caffeine content of Arabica. Lesser-known species such as Liberica and Excelsa contribute unique flavor profiles. Liberica is renowned for its smoky and floral notes, while Excelsa delivers tart, fruity nuances, though both occupy a niche share of the global market.

Coffee’s quality and flavor depend not only on its species but also on how it is processed. Washed or wet processing produces clean, vibrant flavors and is favored for specialty-grade coffee. Natural or dry processing offers fruity, full-bodied profiles as beans dry inside the coffee cherry. The honey process, a hybrid method, balances sweetness and acidity. Specialty coffee, graded on a scale of 100 points by organizations like the Specialty Coffee Association, stands apart from commodity coffee due to its superior flavor, sustainability practices, and traceability.

Coffee mug

Source: Shutterstock

Mapping the world of coffee: key producing countries

The global coffee market relies heavily on a few key players. Brazil is the world’s largest coffee producer, accounting for 39% of global output. Its diverse climate supports both Arabica and Robusta cultivation, with highly mechanized farming methods. Vietnam, the second-largest producer, specializes in Robusta and contributes around 16% of global production. Known for its efficient, high-yield practices, Vietnam is one of the main players in the coffee industry. Colombia, renowned for its high-quality Arabica beans, benefits from mountainous terrain and ideal climate conditions that produce coffee with bright acidity and rich aroma. Indonesia offers coffee with distinct earthy and spicy notes, thanks to unique wet-hulling processes. Ethiopia, often called the birthplace of coffee, produces some of the world’s most sought-after Arabica beans, featuring floral and fruity profiles.

Emerging players like Rwanda, Guatemala, and Honduras are carving out a reputation for high-quality specialty coffee. These countries are gaining recognition in global markets for their unique flavor profiles and commitment to sustainable practices. The global coffee industry thrives on this diverse production landscape, where each region’s distinct climate, soil, and methods contribute to the variety of coffee available to consumers.

Source: The Coffee Belt Map

Source: melacoffee.com

The industry landscape: big players and composition

Coffee’s journey from farm to cup involves a complex supply chain. Smallholder farmers account for over 70% of global coffee production, often working within cooperatives to improve their market access and bargaining power. Exporters act as intermediaries, facilitating the sale of raw coffee to international buyers. Roasters then transform green coffee beans into the aromatic, roasted coffee that consumers recognize, while retailers, including cafes, supermarkets, and e-commerce platforms, serve as the final link between coffee and the end consumer. Certification organizations like Fair Trade and Rainforest Alliance play a critical role in promoting sustainable and ethical practices across the supply chain, ensuring that the industry’s growth does not come at the expense of its workers or the environment.

A few multinational corporations wield significant influence over the coffee market. Nestlé, with its Nescafé and Nespresso brands, dominates the instant coffee and capsule markets. JDE Peet’s, home to brands like Jacobs, Douwe Egberts, and Peet’s Coffee, is a key player in retail coffee. Starbucks, known for its premium offerings, sets global trends and boasts a vast retail footprint. These corporations drive innovation, shape consumer preferences, and impact coffee prices through their purchasing power and marketing strategies. The industry’s composition reflects a delicate balance between the efforts of small-scale farmers and the strategies of large-scale corporations, each playing a vital role in coffee’s global narrative.

Why should I be interested in this post?

Coffee’s journey from farm to cup involves a complex supply chain. For students of ESSEC interested in global economics, commodities, or sustainable trade, understanding the coffee industry offers key insights into market dynamics, sustainability, and global commerce.

Useful resources

International Coffee Organization (ICO)

Specialty Coffee Association (SCA)

Fair Trade Organization

Rainforest Alliance

Statista

About the author

The article was written in January 2025 by Camille KELLER (ESSEC Business School, Bachelor in Business Administration (BBA), 2020-2024).

Treasury Bonds: The Backbone of U.S. Government Financing

December 3, 2024December 3, 2024 by Camille KELLER

Treasury Bonds: The Backbone of U.S. Government Financing

In this article, Camille KELLER (ESSEC Business School, Bachelor in Business Administration (BBA), 2020-2024) explains the purpose, significance, and global role of U.S. Treasury bonds.

Introduction

Treasury bonds (T-bonds) are long-term debt securities issued by the U.S. Department of the Treasury, fundamental to funding government operations and shaping economic policies. Backed by the “full faith and credit” of the U.S. government, they are regarded globally as benchmarks of stability and reliability.

These bonds play a dual role: domestically, they underpin the financial system and provide risk-free investment options, while globally, they influence capital flows and pricing in international markets. With their long maturities and predictable returns (if hold until maturity), Treasury bonds are a secure haven for investors in times of uncertainty.

This article explores the structure of Treasury bonds, their critical role in monetary policy, and their global significance in maintaining financial stability.

What Are Treasury Bonds and How Do They Work?

Treasury bonds are issued by the U.S. government to finance national projects and repay debt. They have maturities of 10 to 30 years and offer fixed semiannual interest payments, returning the principal amount at maturity.

Figure 1 below gives the evolution of the interest rate of Treasury bonds (30 years of maturity) over the period March 1977 – December 2024 (data from Federal Reserve Bank of St. Louis). You can download the Excel file for the historical data used to build the figure.

Figure 1. Evolution of the US Treasury bonds interest rate.

Source: Federal Reserve Bank of St. Louis.

These bonds are sold through public auctions, where competitive bidders specify desired yields, and non-competitive bidders accept the auction’s determined rate. This transparent process ensures fair pricing and liquidity, making T-bonds accessible to a wide range of investors.

Treasury bonds are considered among the safest investments globally, given the U.S. government’s ability to generate revenue through taxation and currency issuance. This security makes them a key component of institutional portfolios, particularly for pension funds and central banks looking for low-risk, reliable returns.

In financial markets, T-bonds serve as a benchmark for long-term interest rates. Their yields influence borrowing costs for mortgages, corporate bonds, and loans, directly affecting economic activity. During financial uncertainty, their reputation as safe-haven assets attracts significant demand, reaffirming their stability and importance in global markets.

The Role of Treasury Bonds in Monetary Policy

Treasury bonds are integral to U.S. monetary policy, serving as tools for the Federal Reserve to manage money supply and interest rates. Through open market operations, the Federal Reserve buys or sells Treasury bonds to inject or withdraw liquidity from the financial system. These actions influence borrowing costs and economic activity.

When the Federal Reserve purchases T-bonds, it lowers interest rates, encouraging borrowing and investment. Conversely, selling bonds tightens liquidity and increases rates, curbing inflation and slowing economic growth.

T-bonds are also key indicators of inflation expectations. Fixed coupon payments lose value in inflationary periods, prompting investors to demand higher yields as compensation. Their role as a measure of market sentiment makes them critical in assessing economic conditions.

The yield curve—a graph of yields on Treasury securities of varying maturities—offers further insight. An inverted yield curve, where short-term yields exceed long-term yields, is often a precursor to economic recessions, signaling investor concerns about future growth.

Through these mechanisms, Treasury bonds enable the Federal Reserve to balance economic growth, inflation, and employment, making them indispensable to monetary policy.

Treasury Bonds as a Global Benchmark

Treasury bonds extend their influence far beyond U.S. borders, forming the bedrock of the global financial system. Their stability, liquidity, and dollar-denominated nature make them indispensable to central banks, institutional investors, and sovereign wealth funds worldwide.

Central banks, particularly those in countries like China and Japan, hold large reserves of T-bonds to stabilize exchange rates, manage currency reserves, and hedge against market volatility. Their status as a low-risk investment ensures enduring demand, reinforcing the U.S. dollar’s dominance in global finance.

T-bonds also serve as a benchmark for pricing other financial instruments. Their yields represent the risk-free rate used in valuation models for equities, corporate bonds, and derivatives, shaping investment decisions across markets.

In times of crisis, Treasury bonds attract capital as investors seek security, lowering yields and providing stability to global markets. However, this reliance also introduces vulnerabilities; events like U.S. debt ceiling debates or credit rating downgrades can disrupt global confidence in Treasury securities.

Despite these challenges, the unwavering demand for Treasury bonds highlights their critical role in ensuring liquidity and stability in the international financial system.

Why Should I Be Interested in This Post?

This post is a valuable resource for students and professionals interested in understanding the mechanics of Treasury bonds and their broader implications. It highlights the intersection of government finance, monetary policy, and global markets, offering insights into how these instruments shape economies worldwide.

Useful Resources

U.S. Department of the Treasury

Federal Reserve Economic Data (FRED)

Federal Reserve

About the Author

The article was written in December 2024 by Camille KELLER (ESSEC Business School, Bachelor in Business Administration (BBA), 2020-2024).

OAT: France’s Answer to Sovereign Bonds

December 3, 2024December 3, 2024 by Camille KELLER

OAT: France’s Answer to Sovereign Bonds

In this article, Camille KELLER (ESSEC Business School, Bachelor in Business Administration (BBA), 2020-2024) explains the role, structure, and significance of French government bonds known as Obligations Assimilables du Trésor (OATs).

Introduction

Obligations Assimilables du Trésor (OATs) are the backbone of France’s government debt strategy, providing a reliable means to finance public expenditures. These long-term debt securities are issued by the French Treasury and are central to the stability of France’s financial system.

OATs not only ensure the funding of state operations but also serve as a benchmark for the European financial markets. Their appeal lies in their fixed and predictable returns (if hold until maturity), making them a popular choice for institutional investors seeking stability in a historically low-risk asset.

This article dives into the structure and purpose of OATs, their relevance in monetary policy, and their role in the broader European and global financial system.

What Are OATs and How Do They Work?

OATs are long-term debt securities issued by the French Treasury to meet the government’s borrowing needs. The maturities of OATs ranges from 2 to 50 years. Investors receive fixed annual interest payments and the principal amount at maturity.

Figure 1 below gives the evolution of the OAT interest rate (10 year of maturity) over the period January 1986 – December 2024 (date from investing / Banque de France). You can download the Excel file for the historical data used to build the figure.

Evolution of the OAT interest rate.

Source: investing / Banque de France.

OATs are issued through public auctions managed by Agence France Trésor (AFT), the French government agency responsible for debt issuance and management. These auctions allow competitive and non-competitive bidding, ensuring a transparent and efficient process.

The reliability of OATs is grounded in the French government’s creditworthiness, supported by a robust and diversified economy. This low-risk profile attracts a wide range of investors, including pension funds, insurance companies, and foreign governments, making OATs a staple of institutional portfolios.

In financial markets, OATs play a vital role as benchmarks for euro-denominated securities. They influence pricing for corporate bonds, mortgages, and other fixed-income instruments within the Eurozone. Their stability and liquidity make them a key asset class in European financial systems.

The Role of OATs in Monetary Policy

OATs are an integral part of monetary policy in the Eurozone, serving as tools for the European Central Bank (ECB) and other institutions to influence financial conditions. As sovereign bonds, they are used in the ECB’s open market operations, including quantitative easing programs aimed at stabilizing the economy.

Through these programs, the ECB purchases OATs and other Eurozone bonds to inject liquidity into the financial system. This lowers interest rates, supports borrowing, and stimulates economic growth during periods of economic stagnation or crisis.

The yield on OATs is also a key indicator of France’s economic health and investor sentiment. Rising yields suggest increased borrowing costs for the government and heightened risk perceptions, while lower yields signal strong investor confidence and stability.

Additionally, OATs contribute to the overall functioning of the Eurozone’s financial architecture by providing a risk-free benchmark for pricing other securities. Their role in monetary policy extends beyond France, influencing financial markets across the European Union.

OATs as a Global Benchmark

OATs hold significance beyond France, serving as a critical component of global financial systems. Their euro-denominated nature positions them as an attractive option for central banks and institutional investors seeking diversification in foreign reserves.

Global investors often compare OATs with other sovereign bonds, such as U.S. Treasury bonds and German Bunds, to evaluate risk and return profiles. This competition reinforces OATs’ status as a key player in international capital markets.

In times of financial uncertainty, OATs provide a safe haven for investors looking to preserve capital. Their high liquidity and the French government’s strong credit ratings ensure consistent demand, particularly during economic turbulence.

However, OATs’ global importance also comes with challenges. Economic or political instability in France can impact investor confidence, affecting the broader European financial system. Despite these risks, their resilience and reliability continue to cement their role in global markets.

Why Should I Be Interested in This Post?

This post is a valuable resource for students and professionals interested in understanding OATs as a key financial instrument. It highlights their significance in government financing, monetary policy, and global markets, making them essential knowledge for those exploring careers in finance or economics.

Useful Resources

Agence France Trésor (AFT)

European Central Bank

Organisation for Economic Co-operation and Development (OECD)

About the Author

The article was written in December 2024 by Camille KELLER (ESSEC Business School, Bachelor in Business Administration (BBA), 2020-2024).

My Apprenticeship Experience as Digital Strategy Officer at Gan Assurances

December 25, 2024November 28, 2024 by Camille KELLER

My Apprenticeship Experience as Digital Strategy Officer at Gan Assurances

Camille Keller Digital Strategy Officer at Gan Assurances

In this article, Camille KELLER (ESSEC Business School, Bachelor in Business Administration (BBA), 2020-2024) shares her two-year experience as a Digital Strategy Officer at Gan Assurances, a subsidiary of Groupama, in the Marketing and Communication department.

About Gan Assurances

Gan Assurances, a subsidiary of the Groupama group, is a major player in the French insurance market. Specializing in comprehensive coverage for individuals and businesses, the company offers a wide range of insurance solutions, including property, health, and life insurance. Gan Assurances prides itself on a customer-centric approach and a robust network of general agents spread across the country.

Logo of the company.
Logo of Gan_Assurances
Source: the company.

The Marketing and Communication department plays a pivotal role in enhancing the visibility of Gan Assurances through innovative campaigns and strategic digital initiatives. The team focuses on optimizing customer engagement, driving brand awareness, and supporting agents with tools and strategies tailored to their communication needs.

My Apprenticeship

From 2022 to 2024, I completed a two-year apprenticeship as a Digital Strategy Officer at Gan Assurances. I worked in the Marketing and Communication department, where I contributed to digital communication strategies and optimized the company’s online presence. My role involved a combination of strategic analysis and hands-on creative work, enhancing the effectiveness of digital campaigns.

My Missions

During my apprenticeship, I was responsible for analyzing and interpreting key performance indicators (KPIs) to evaluate the effectiveness of digital communication campaigns. Based on the results, I adjusted strategies to optimize engagement and return on investment (ROI).

In addition, I managed the editorial calendar and created engaging content for platforms like LinkedIn and Facebook. This required combining creativity with strategic messaging to align with the brand’s goals.

Another major aspect of my role was mentoring eight cohorts of general agents, equipping them with best practices in digital communication. This involved conducting training sessions and providing them with the tools needed to amplify their online presence effectively.

Lastly, I developed data-driven communication strategies, using performance insights to recommend digital investment channels and enhance campaign effectiveness.

Required Skills and Knowledge

To succeed in this role, I needed strong analytical and creative skills. My ability to interpret performance data was crucial for adjusting campaign strategies in real time. I also needed proficiency in digital marketing tools and content creation software, such as Canva and Adobe, to design engaging visuals. Strong communication skills were vital for mentoring agents and creating compelling content. Additionally, a solid understanding of social media platforms and their algorithms helped me tailor content to the target audience.

What I Learned

This apprenticeship greatly expanded my skill set. I gained a deep understanding of digital communication strategies, from content creation to performance analysis. The experience enhanced my ability to interpret data and adjust strategies to optimize campaign performance. I also honed my leadership and mentoring skills by guiding agents through best practices in digital communication. One of the most valuable lessons was learning how to balance creative content with data-driven decisions to achieve optimal engagement and brand visibility.

Financial Concepts Related to My Apprenticeship

Return on Investment (ROI)

One of the essential financial concepts in my role was Return on Investment or ROI. By analyzing the ROI of digital communication campaigns, I assessed their profitability and efficiency. This involved calculating the ratio of the campaign’s net profit to its cost, allowing us to prioritize strategies that delivered the highest value for the budget spent. Understanding ROI helped guide decisions on where to allocate resources to maximize impact.

Budget Allocation

Managing the budget for digital investments required a strong grasp of allocation principles. I worked on distributing funds across different channels and campaigns to achieve optimal reach and engagement. This required balancing costs with expected outcomes, ensuring every euro spent contributed to measurable results. Monitoring these allocations also enabled the team to make data-driven adjustments during campaigns to improve performance.

Key Performance Indicators (KPIs)

Tracking and interpreting KPIs was central to my work. Metrics such as click-through rates, engagement rates, and conversion rates provided insights into campaign success. For instance, I used KPIs to identify underperforming areas and adjusted strategies accordingly. These metrics served as a financial health check for campaigns, ensuring that resources were spent effectively and objectives were met.

Why Should You Be Interested in This Post?

This post is a valuable read for students interested in combining creative and analytical skills within the marketing and communication fields. It demonstrates how financial principles such as ROI, budget allocation, and KPIs are integral to optimizing marketing strategies. This experience can inspire ESSEC students to explore roles where strategy meets creativity, providing real-world business impact.

Useful resources

Gan

About the Author

The article was written in November 2024 by Camille KELLER (ESSEC Business School, Bachelor in Business Administration (BBA), 2020-2024).

Environmental Factors: Climate Change and Coffee Production

Economic Factors: Supply Chain Disruptions and Consumer Trends

EU Regulations and Market Dynamics

Conclusion: Future Outlook of a Volatile Market

Why Should I Be Interested in This Post?

Related Posts on the SimTrade Blog

Useful Resources

About the Author

Coffee: A Universal Obsession

Regional Consumption Patterns: Who Drinks the Most?

Transforming Habits: Sustainability and Evolving Preferences

Why Should I Be Interested in This Post?

Related Posts on the SimTrade Blog

Useful Resources

About the Author

The different types and varieties of coffee

Mapping the world of coffee: key producing countries

The industry landscape: big players and composition

Why should I be interested in this post?

Related posts on the SimTrade blog

Useful resources

About the author

Treasury Bonds: The Backbone of U.S. Government Financing

Introduction

What Are Treasury Bonds and How Do They Work?

The Role of Treasury Bonds in Monetary Policy

Treasury Bonds as a Global Benchmark

Why Should I Be Interested in This Post?

Related Posts on the SimTrade Blog

Useful Resources

About the Author

OAT: France’s Answer to Sovereign Bonds

Introduction

What Are OATs and How Do They Work?

The Role of OATs in Monetary Policy

OATs as a Global Benchmark

Why Should I Be Interested in This Post?

Related Posts on the SimTrade Blog

Useful Resources

About the Author

My Apprenticeship Experience as Digital Strategy Officer at Gan Assurances

About Gan Assurances

My Apprenticeship

My Missions

Required Skills and Knowledge

What I Learned

Financial Concepts Related to My Apprenticeship

Return on Investment (ROI)

Budget Allocation

Key Performance Indicators (KPIs)

Why Should You Be Interested in This Post?

Related Posts on the SimTrade Blog

Useful resources

About the Author