Académique Documents
Professionnel Documents
Culture Documents
Taste Bhi
Health Bhi !!!
MAGGI
Noodles
Nestle India
Company set up in 1866 by Henri Nestlé to provide an
infant food product.
Nestlé S.A. is a multinational packaged food company
Founded and headquartered in Vevey, Switzerland
Turnover of over 87 billion Swiss francs
The world's #1 food company in terms of sales
!!! Maggi !!!
Julius Maggi created a vegetable food product that would be
quick to prepare and easy to digest in 1863.
He came up with two instant pea soups & a bean soup.
Maggi was launched in India in 1983 by Nestle.
It was positioned as a hygienic home-made snack but dint
work.
Maggi then decided to target children.
Captured the kids segment with various tools of sales
promotion like pencils, fun books, Maggi clubs.
They made it an easy to cook snack that could be prepared in
just two minutes.
The word ‘noodles’ was registered in the year 1984 by NIL.
Product line of Maggi
Noodles S a u ce s H e a lth y Sanjeevni Nutri - Cooking
Healthy Cup licious Aids
Soups Soup Pazzta
Maggi 2-min Rich Tomato Home Style Amla and tomato Masala Penne MAGGI Magic
noodle Ketchup Cubes
Dal Atta Hot & Sweet Chinese Spinach and Cheese Macaroni MAGGI Bhuna
Noodles Sauce Style tomato Masala
Vegetable Atta Oriental Chef Style Dal and tomato MAGGI Coconut
noodles Chili Garlic Milk Powder
sauce
Maggi Cuppa
mania
Market penetration
strategies
Faced a lot of hurdles in its journey in India.
It was positioned to target working women but
sales didn’t pick despite heavy advertising.
After the market research it found out that brand
was much popular among kids.
Shifted its focus from working women and targeted
children and their mothers
The tagline, ‘Fast to cook, Good to eat’ was also in
keeping with its positioning.
They distributed free samples and gifts on return of
empty packets, etc.
Market Development Strategies
by Maggi
Top Ramen entered the Indian instant noodles
market in 1991. So the market share of the magi
saw a decline during 1990’s.
Changed the formulation from fried base to air
dried base but failed.
In 1999, Maggi reintroduced the old formula and
the sales revived.
During 2000s, transformed itself into a healthy and
wellness company.
In 2005, launched the Maggi Vegetable Atta
Noodles.
In May 2006, Maggi launched Dal Atta Noodles.
Competition
Entry of GSK and HUL into the market with
their offerings under their successful brands
Horlicks and Knorr respectively, created a
threat for Maggi.
This is reflected by the loss in market share of
Maggi by 4 percentage points in 6 months.
Following are a few players in the market
Top Ramen
Horlicks Foodles
Knorr soupy noodles
Wai Wai
Current Scenario
Maggi right now is a leading brand in
India.
A noodle brand that can be made in 2
minutes and can be cooked very easily.
Reasonable competitive price gives it
another advantage.
Packs of every size and pack are
available in the market.
Direct and continuous contact with
customers is maintained at
www.maggi-club.in
Keeps on adding nutritional value to
it.
Market share has dropped down to 86.5%
Many new competitors in the market.
But still it leads the market and keeps
people interested in it.
STP Analysis
Segmentation Targeting Positioning
Health
Conscious
People
SWOT Analysis
Strengths Weakness Opportunities Threats
Market Leader Heavy Unexploited Strong presence
dependance on rural market of regional
one product competitors
Brand Loyalty Minor Increasing Competitive
distribution number of prices of
problem working youths competitors
Distribution Health related Increasing Increasing number
Channel issues affinity to of competitors in
Chinese food this sector
Innovative
Flavor
Advertising
Strategies
BCG Matrix
Relative Market Share
Ma HIGH LOW
rke
t HIG
Gr H Masala noodles Vegetable atta noodles
owt Cuppa mania
h
Rat LO
e W Rice mania
Dal atta noodles
Loosing Market Share
Reasons for the loss
New entrants
§Foodles
§Knorr soupy noodles
Retail outlet have come up
with their own
brands
§Tasty treats ( Big
Bazaar )
§
Recommendations
Come up with a mascot to represent the brand
Conduct a survey to see if entering the rural
market is feasible.
To open outlets of Maggi with Nescafe near
Malls and colleges. This takes advantage of
the already present Nescafe outlets.
Counter the new entrant by releasing a soup
and noodles variant.