Research Project
On
“A Detailed Study on Maggie”
by
Simran Gupta
UID: A24BCC3148
Submitted to
Dr. Alka Tripathi Shukla
[Department of Commerce]
P.P.N. (PG) College, Kanpur
affliated to C.S.J.M University
Accademic Session: 2024-25
Acknowledgement
I have been taken efforts in this project. However it
would have not possible without the kind support of
my family and friends. I would like to extend my
sincere thanks to all of them.
I am highly indebted to my subject teacher for her
guidance and constant super vision as well as for
providing necessary information regarding the
project.
I would like to express my gratitude towards my
parents for their kind co-operation ad
encouragement which helps me in completing of
this project.
Simran Gupta
Declaration
I hereby declared that the project with title “A
Detalied Study on Maggie” has been
completed by me in partial fulfilment of
BACHELORS OF COMMERCE degree
examination has prescribed by Submited to
P.P.N (P.G) College, Kanpur Affiliated to
C.S.J.M. University,Kanpur and this has not
been submitted for any other examination
and does not form the part of any other
course undertaken by me.
Simran Gupta
TABLE OF CONTENTS
1. Introduction to the report
2. Objectives of the project
3. Industry Profile
4. History of Maggi in India
5. Company description
6. Importance
7. Significance
8.Maggi India
9. Maggi today
10.Marketing mix
11)Products of Maggi:
Noodles:
1. Maggi 2- Minute Noodles
2. Maggi vegetable Aata noodles
3.Maggi Cuppa Maina
12)Soups:
1.Sanjeeni Maggi Healthy cup
2. Maggi healthy Soups
13) Sauces:
1.Maggi Sauces
2. Maggi pichkoo
14)Pasta:
1.Maggi Pazzita
15)Cooking Aids:
1. Maggi Magic Cubes
2.Maggi Bhuna Masala
3. Maggi coconut Milk Product
4.Maggi Pizza Mazza
5.Maggi Masala-AE-Maggi
16) Price of Maggi
17) Place of Distribution
18) Promotion of Maggi
19) Marketing & Promotional
Strategies
20) Objectives
21) Limitation of Report
22) STP Analysis
23) SWOT Analysis
24)Financial Projection
25) Product Strategy
26) Price Strategy
27) Competitors
28) Management Team
29) Risk Analysis
30) Market Analysis
31) Conclusion &
Recommendations
32) Appendix
33) Bibliography
Executive Summary
The project aims at understanding the
Marketing strategies of Maggi. Research has
concluded that it is costly to win a new
customer than to maintain an existing one.
The focus of my research was the
measurement of customer satisfaction
provided by Maggi. There can be no better
opportunity to interact with the external and
the internal customers of an
organization. Finally results of the research
verify the fact that keeping customer satisfied
is the best strategy to not only retain existing
customers but also to expand the business to
new horizons.
FMCG have a short shelf life. Some FMCGs
such as meat, fruits & vegetables , dairy
products & baked goods are highly
perishable.
INTRODUCTION TO THE REPORT
The Project entitled “ANALYSIS OF MARKETING &
PROMOTIONAL STRATEGIESOF MAGGI” deals with
the study of Maggi Brand was launched in India
the year 1983, by Nestle India Limited, which
became synonymous with noodles. Mainly, this
project studies Marketing & Promotional
strategies adopted by Nestle India Limited Maggi
over the years. Also to know about market
position of Maggi as Brand, how they survived in
past, what all strategies they adopted to become
well known & well established brand.
OBJECTIVES OF THE PROJECT
1.To Understand the Marketing & Promotional
Strategies adopted by Nestle Maggi.
2.To understand the brand performance of
Maggie product.
3.To understand Brand Imagery, Brand Quality
perceived customers, Brand Credibility,
consideration, superiority.
4.Brand extension Maggi in terms of product
diversity.
INDUSTRY PROFILE
Fast Moving Consumer Goods (FMCG) goods are
popularly named consumer packaged goods. Items
in category include all consumables (other than
groceries/pulses) people buy regular intervals. The
most common list are toilet soaps, detergents,
shampoos, toothpaste, shaving products, shoe
polish, packaged foodstuff, & household
accessories and extends to certain electronic
goods. These items meant for daily frequent
consumption & have high return.
A rapid urbanization, increase in demands,
presence of large number of young population, a
large number of opportunities available in the
FMCG sector. The Finance Minister has proposed
to introduce an integrated Goods and Service Tax
by April 2010.This is an exceptionally good move
because the growth of consumption, production,
& employment is directly proportionate to
reduction in indirect taxes which constitute no less
than 35% of the total cost of consumer products -
the highest in Asia . The bottom line is that Indian
market is changing rapidly and showing
unprecedented consumer business opportunity.
Introduction
HISTORY OF MAGGI in INDIA:
NIL, the Indian subsidiary of the global FMCG
major, Nestlé SA, introduced the Maggi brand in
India in 1982, with its launch of Maggi 2 Minute
Noodles, instant noodles product.
With the launch of Maggi noodles, NIL created
entirely new food category – instant noodles - in
Indian packaged food market. Because its first-
mover advantage, NIL successfully managed to
retain its leadership in instant noodles category
even until the early 2000s.
NIL offered variety of culinary products such as
instant noodles, soups, sauces &ketchups, cooking
aids (seasonings), etc., under Maggi brand (Refer
to Exhibit II for Maggi's product portfolio as of
mid-2006). Of these, instant noodles had been
NIL's main product category culinary segment
since launch of Maggi 2 Minute Noodles (Maggi
noodles) in 1982. Over years, Maggi noodles
became popular snack food product in India.
During 1990s, the sales of Maggi noodles declined,
this was attributed partly to the growing
popularity of Top Ramen , another instant noodles
product. In order improve sales & attract more
consumers, NIL changed the formulation of Maggi
noodles in 1997. However, this proved be a
mistake, as consumers did not like taste of new
noodles.
In March 1999, NIL reintroduced the old
formulation noodles after which sales revived.
Over years NIL also introduced several other
products like soups & cooking aids under the
Maggi brand.
However, these products were not as successful
as instant noodles. In early2000s, Maggi leader
branded instant noodles segment, & the
company faced little serious competition in this
segment. In the early 2000s, NIL started
introducing new 'healthy' products in accordance
with the Nestlé Group's global strategy
transform itself into health and wellness
company.
However, these products were as successful
as instant noodles. In the early 2000s, Maggi
was the leader in branded instant noodles
segment, and the company faced little serious
competition in this segment.
In July 2001, Maggi replaced Nescafé (NIL's
coffee products brand) company score brand.
Nescafé been NIL's core brand since 1998.
In March 2005, Maggi brand took the health
route with the launch of Vegetable Atta
Noodles. Nil made group of the group’s
extensive research and development facilities
in developing this new healthy product.
Company Description
Nestlé S.A. is among largest consumer
packaged goods companies in the world,
founded and headquartered in Vevey,
Switzerland. Nestlé originated a1905 merger
of the Anglo-Swiss Milk Company, which was
established in 1866 by brothers George Page
and Charles Page, & the Farine Lactée Henri
Nestlé Company, which was founded 1866 by
Henri Nestlé, whose name meant "Little
Nest". The company grew significantly during
First World War & following Second World
War, eventually expanding its offerings
beyond its early condensed milk and infant
formula products. Today, the company
operates 86 countries around the world and
employs nearly 283,000 people.
IMPORTANCE
• Business Performance: Understanding
customer satisfaction crucial for business
success. Satisfied customers more likely
repurchase products, recommend them to
others, & develop brand loyalty. By assessing
customer satisfaction, companies can
identify areas of improvement, optimize
their offerings, and ultimately enhance
business performance.
• Competitive Advantage: In today's
competitive market, customer satisfaction
plays a vital role in gaining a competitive
edge. By evaluating customer preferences &
satisfaction levels, companies can
differentiate themselves from competitors.
Positive customer experiences and high
satisfaction levels can attract new customers
and retain existing ones, fostering long-term
success.
• Product Development and Innovation:
Customer feedback and satisfaction data
provide valuable insights for product
development and innovation
• Brand Reputation: Customer satisfaction
significantly impacts brand reputation.
Satisfied customers are more likely to
speak positively about brand, both
online and offline, contributing to a
positive brand image. A study on
customer satisfaction towards Maggi
Noodles helps the brand understand its
strengths and weaknesses, enabling
them to address any concerns promptly
and maintain a positive reputation
among consumers.
• Customer Retention & Loyalty:
Customer satisfaction is close link to
customer retention and loyalty. Satisfied
customers more likely to remain loyal to
a brand, making repeat purchases &
becoming brand advocates. By studying
customer satisfaction towards Maggi
Noodles, the brand can identify
strategies to enhance customer loyalty,
such as personalized offerings, improved
customer service, or loyalty programs.
• Continuous Improvement: Customer
satisfaction research provides valuable
feedback for continuous improvement. It
highlights areas where the brand excels and
areas that require attention. By actively
addressing customer concerns &
suggestions, companies can demonstrate
their commitment to customer-centricity
and maintain a culture of continuous
improvement.
• Strategic Decision Making: Customer
satisfaction data helps in making informed
and strategic business decisions. It provides
insights into customer preferences, market
trends, & areas of opportunity. By leveraging
this information, companies can make data-
driven decisions related to marketing
strategies, product positioning, pricing &
customer experience management.
SIGNIFICANCE
• Continuous Improvement: Customer
satisfaction research provides valuable
feedback for continuous improvement. It
highlights areas where the brand excels and
areas that require attention. By actively
addressing customer concerns and
suggestions, companies can demonstrate
their commitment to customer-centricity &
maintain a culture of continuous
improvement.
• Strategic Decision Making: Customer
satisfaction data helps in making informed &
strategic business decisions. It provides
insights into customer preferences, market
trends, & areas of opportunity. By leveraging
this information, companies can make data-
driven decisions related to marketing
strategies, product positioning, pricing, &
customer experience management.
• Consumer Preferences: Understanding
customer satisfaction towards Maggi
Noodles enables the brand to align its
offerings with consumer preferences. It
provides valuable data on taste preferences,
flavors, packaging, & convenience factors,
allowing the brand to tailor its products to
better meet consumer demands. This
information helps in creating a positive
customer experience and maintaining a
competitive edge in the market.
• Product Development and Innovation: The
study aids in identifying opportunities for
product development & innovation. By
analyzing customer feedback, the brand can
introduce new flavors, improve nutritional
value, & address health concerns, aligning
their products with changing consumer
needs and preferences. This helps to stay
ahead of competitors and maintain market
relevance.
• Reputation Management: Customer
satisfaction plays a vital role in shaping the
reputation of a brand. Positive feedback
from customers strengthens the brand's
reputation and fosters brand loyalty.
Conversely, negative feedback can highlight
areas that need improvement and provide
an opportunity for the brand to address
customer concerns promptly. By proactively
managing customer satisfaction, Maggi
Noodles can protect and enhance its brand
image.
MAGGIE- INDIA
Nestle India Limited market leader in Indian
Noodle Market with its Maggi Brand of Noodles
which was pioneer brand launched in 1983 in
packaged food market of India. It took challenge
and established Maggi in Indian market
considered to be conservative and typical about
food consumption. It appropriate realization
target segment, effective positioning & effective
promotion & sales made Maggi to Noodles in
India as Xerox it is to be photocopier. NIL had
introduced sauces, ketchups and soups under
Maggi brand to keap benefit of brand popularity
and image & contribute to financial gains by
1990.Maggi also become successful in sauces,
ketchups and soups Market in India. Though NIL
tried extend to other ready to eat products like
pickles, cooking aids & paste, It was
unsuccessful so dumped those products. Maggi
Brand many products recession in 2000 and
2001 in India by introduction economy packets.
To fulfil novelty needs of customers &revitalize
Maggi Noodles Brand NIL made many attempts
by introduction new formulation to new one
but customers resis change & Maggi had to
reintroduce Maggi Noodles in same taste.
Maggi Noodle had till 2005 five product line
noodles four variant in Maggi 2 Minutes
Noodle. Nil soup market & soup market under
Maggie to catch new segment and fulfil
expectations of customer.
MAGGIE TODAY
The year 2003 saw India leading in worldwide
Maggie sales. The brand has grown to
estimated value of Rs 160-170 crore
&contributes at least 89% to Nestle India‘s top
line. All same, same FMCG analysts feel that
brand has not done much to expand the
noodles category. Even after 20 years of its
launch, the size of instant noodles market is
quite small at Rs 200 crore. Carlo Donati told a
leading newspaper is that he wants to sell two
& half times of what he is sells today, in the
next 10 years
Of course, being first-mover or market
dominator counts for nothing if marketers let
their guard down. Maggi noodles, which built
itself on the taste-&-convenience platform
through 80s &early 90s, started facing heat
from Indo Nissin‘s Top Ramen brand around
1995. The latter began pushing forward
aggressively a combination of taste variants,
smart audience segmentation and Shahrukh
Khan‘s brand endorsement.
MARKETING MIX
PRODUCTS OF MAGGIE:
NOODLES:
1.MAGGI 2- MINUTE NOODLES:
MAGGI 2-Minute Noodles is one of largest and
most loved food brands that defined. Instant
Noodles in India. Continue to spread joy has done
for last 25 years, your favorite MAGGI Noodles is
tasty ever & even provides essential nutrients all
stage of your life. With the goodness of Protein &
Calcium, MAGGI Noodles available in 4 delectable
flavors- Masala, Chicken, Tomato & Curry.
2. MAGGGI VEGETABLE AATA NOODLES:
An offering that tells “Taste Bhi Health Bhi”, MAGGI
Vegetable Atta Noodles tasty because it is loaded
with everyone favourite MAGGI “Masala” &
healthy as it is now has more real vegetables and is
packed with the power of the fibre.
3. MAGGIE CUPPA MAINA:
Each offering of MAGGI Noodles has
develope keeping in mind Indian Palate and what
you like. Since in today’s fast –paced busy life,
multitasking in a reality, you need something that
fits with your rushed lifestyle a product which is
tasty and healthy, is convenient to prepare & eat
and also satisfies our hunger .
MAGGI Cuppa Mania is combination of all above! In
an easy to carry on the go Cup format, MAGGI
Cuppa Mania comes in 2 mouth watering variants
Masala Yo! & Chilly Chow Yo! Packed with real
vegetables & goodness of calcium, “just add garam
paani” to noodles & voila! A cupful of delicious
Maggie Cuppa Mania is ready for you to carry on
jaani!
Soups:
1.SANJEENI MAGGI HEALTHY CUP:
Traditionally recipes for good health, made with
ingredients time tested for their goodness like
Aamla, Spinach, Dal & tomato. Available in an easy
to use cup- just add hot water and treat yourself to
a cup full of good life.
2. MAGGI HEALTHY SOUPS:
MAGGI was pioneer of Instant Soups in India. The
new MAGGI Healthy Soups had carefully prepared
through Research & Development efforts of Nestlé
Group and even more delicious, quick to prepare ,
convenient & healthy. Taste Bhi , Health Bhi!.
MAGGI Healthy Soups contain real vegetables, are
low fat, low cholesterol & free from colours & added
MSG. These superior healthy soups now available in
enhanced range of 12 delicious variants:
• Healthy Style
Rich Tomato
Mixed Vegetable
Creamy Chicken
Masala Noodles
Chinese Style
Hot & Sour Vegetables
Sweet Corn Vegetable
Sweet Corn Chicken
Oriental Thai Noodles
Chef Style
Cream of Mushroom
Tangy Tomato Vegetable
Sweet & Sour Tomato Noodles
Palak Corn
Sauces
1.MAGGI SAUCES:
MAGGI Sauces have been an integral part of Indian
consumers‘ household for decades. To cater to
diverse Indian palate, MAGGI has host variants like
-
The quintessential Rich Tomato Ketchup and Rich
Tomato Sauce.
- The unique Hot & Sweet Tomato Chilli Sauce &
Oriental Chilli Garlic sauce.
-The Indian style tomato Chatpat Sauce.
its slogan is - It’s different!
2. MAGGI PICHKOO:
Pichkoo is a small day pack which
makes MAGGI Tomato ketchup affordable host of
new consumers. Now, MAGGI makes delight
"Bigger' by introducing Bada Pichkoo. A large
Tomato Ketchup pack which ensures that fun goes
on and on.
It's endearing name, packaging & great taste evoke
resounding reaction.
New Maggi Pichkoo – “It’s different”
Pasta
1.MAGGI PAZZTA:
• To further delight consumer, MAGGI now
launches another range of products for tasty
&healthy eating NUTRI-LICIOUS PAZZTA. This
quick cooking pasta can conveniently prepared
just 5 minutes, at any time of day that you want
tasty and healthy light meal. MAGGINUTRI-
LICIOUS PAZZTA is made from 100% Suji, and is
source of Protein and Fibre. It has being launched
in 2 delicious flavours Masala Penne & Cheese
Macaroni.
COOKING AIDS:
1.MAGGI MAGIC CUBES:
MAGGI Magic Cubes enhance taste of your
everyday dish, making it special for entire family.
Available in 2 variants Vegetarian Masala &
Chicken –MAGGI Magic Cubes are ideal seasoning
for variety of dishes such as Veg Biryani, Chicken
Biryani, Chicken Curry etc. And it‘s so easy to use!
2. MAGGI BHUNA MASALA:
• MAGGI is revolutionizing Indian kitchen with it
latest offering MAGGI Bhuna Masala. It is any
mother ally for conveniently cooking great
tasting, wholesome food for family
everyday. Based on intensive research & in-
depth understanding of Indian food habits and
cooking practices, MAGGI Bhuna Masala allows
housewife to prepare large variety of tasty dishes
without the hassle of chopping and frying. Dishes
retain that special touch housewife as she adds
her own spices Standing strong on promise of
―Taste Bhi, Health Bhi, Maggi Bhuna masala
comes with “no added preservatives”, “contains
only 1 tbsp. of oil” & “tastes homemade”.
Gives you perfect dish in three simple steps:
• Open the pack & pour contents the pan
• Add vegetables/paneer/chicken/rajma etc
• Add spices and cook
MAGGI Kitchen Bhuna Masala comes in two
variants:-
Bhuna Masala for Gravy Dishes-
a ready- mix of Onion, Tomato, Ginger & Garlic fried
in refined oil. (Use to make tasty dishes like
Zaikedaar Chicken, Rajma, Kolhapuri Mutton, Aloo
Potol etc.)
Bhuna Masala for Vegetables and Dal-a ready- mix
Onion & Tomato in fried oil.(Use to make tasty
dishes like Palak Corn, Dal Tadhka , Bhindi Masala &
Urlai Roast etc.)
3. MAGGI COCONUT MILK PRODUCT:
With MAGGI Coconut Milk Powder you make rich
coconut milk quickly & conveniently by simply
adding warm water. It is manufactured from best
Sri Lankan coconuts. Easy to use & ideal for curries,
rice preparations, cakes, cookies & blender drinks.
MAGGI Coconut Milk Powder gives you the taste of
real coconuts & had no added preservatives.
4. MAGGI PIZZA MAAZA
Now you do not need order pizzas from outside &
wait for 30 minutes. With MAGGI Pizza Mazza can
prepare delicious pizzas within minutes. You can
also have mazza of pizza on other items like naans,
footlongs & of course the most easily available of
them all bread slices. Available in 300 gm jar, each
bottle is good for 5 pizza bases.
5. MAGGI MASALA-AE-MAGGI:
The first ever fortified taste enhancer that can be
used across different cuisines in India. It not simple
masala, but is unique that it efficiently enhances
taste inherent the food ingredients already present.
It is specifically fortified with Iron, Vitamin A &
Iodine that are known to widespread deficiencies in
India. Everyday food becomes delicious & healthier
in 2 simple steps:
• Cook Dish as you normally do
• Add 1 sachet 2-3 minutes before taking off flame
and stir well.
PRICE OF MAGGI
• Considering the price points the market for
Maggi, it should continue position itself the
―snack‖ category itself, since few would be
willing to accept it as a meal.
• The company is taking no chances & is extending
its distribution reach to smaller towns and cities.
Maggi happens to be Nestlé‘s most widely
distributed brand the country. Through
independent channels, reaches those villages
where company has no presence, according to
Hegde. This is also the time that Maggi‘s value -
for-money pack priced at Rs 5 is expected to come
handy. (The regular pack comes for Rs 10.)
• Affordable for all income groups.
PLACE DISTRIBUTION
• The distribution network is well spread.
• Easily available in all retail stores.
• Distribution channel–PRODUCER - DISTRIBUTOR -
RETAILER- CONSUMER
PROMOTION OF MAGGI
• They promote their product very effectively
through television.
• They have applied the strategy brand extension.
• They also sponsor various cookery shows to
promote alternate usage products.
• They also use strategy free product samples to
promote it.
• Celebrity endorsements. Eg. Javed Jafferi
PROMOTION
• Less promoted as compared to maggi.
• No particular celebrity endorsement.
• The utter confusion regarding the long-term
strategy for Kissan brand was visible through the
experiments that were conducted this brand by
HII.
Maggi has faced lot hurdles its journey in India.
The basic problem the brand faced the Indian
Psyche. Indian Palate not too adventurous in terms
trying new tastes. That may be the reason why are
still stuck with Dal. So a new product with new
taste that from a different culture will have
difficulty in appealing to Indian market.
MARKETING & PROMOTIONAL
SRTATEGIES
PRODUCT LIFE CYCLE OF MAGGI:
Introduction
• The Product launched keeping mind the working
women and children.
• It was the pioneer in instant noodle market.
• Distribution Stage PRODUCER–DISTRIBUTORS–
RETAILERS– CONSUMERS.
• PRICING: The initial pricing strategy low pricing
strategy to make product affordable.
• PROMOTION
-Promoted with tag line ―BAS 2 MINUTE.
-Promotion done by giving gift on empty packs.
-Promotion in school.
GROWTH
• Increased number of sales.
• Accept
• ted as ready to eat food.
• Enjoyed 50% market share valued at 250 crores.
• Profits begin to rise.
• MAGGI become the number 1 brand in instant
noodles market.
• PRICING: Prices were kept normal.
• PRODUCT: No new changes.
• PROMOTION: Promoted with the tagline “Good to
eat fast to cook.”
MATURITY
• Declining sales growth.
• Saturated market.
• Extending Product line.
• Large Promotional offers.
DECLINE
• Sales saw a decline in 1990‘s –Formulation
changed from fried base air dried base.
• New product had launched, but failed- Dal atta
noodles sambar flavor
• Tough competition from Top Ramen.
• Soups, Cooking aids etc are failure of products.
OBJECTIVES
Qualitative method will be used in the study.
Qualitative method strive understanding data
through giving emphasis on determining people
words & actions.
This project titled as mentioned involves the study
of Marketing &promotional strategy of Nestle
Maggi completed by collecting data from the
below mentioned two sources-
SOURCES OF DATA COLLECTION
Primary Source
• The primary data used in this report include the
information in which the consumer & customer
data collected regarding their views towards
nestle maggi.
Secondary source
This includes data collection from many other
websites & books. It also included data from
company & other referral sites and sources.
LIMITATION OF THE REPORT
Every attempt will be taken to obtain the error free
& meaningful result but as nothing in this world is
100% perfect I believe that there will still the
chance for error on account of following
limitations-
(1)Respondent‘s unavailability
(2) Time pressure & fatigue on the part of
respondents & interviewer.
(3) Courtesy bias.
(4) The project undertaken needs lot of secondary
data so & availability and precision this data forms
& major limitation as the biasness should be
minimized.
(5) The results & conclusions of the project cannot
generalized in all area of an organization
6) There was shortage of time & resources for
functioning the operation.
(7) The data this study is maximum taken from the
primary sources .so, these data is not fully exact.
(8) There was a hurdle in the collection of data
from primary sources i.e. risky as well as
incomplete.
STP ANALYSIS
SEGMENTATION
Market Segmentation divides heterogeneous
market into homogenous groups of customers who
share similar set of needs/wants & could be
satisfied specific products. Maggi brand had
segmented market on basis of lifestyle & habits of
URBAN FAMILIES.
TARGET
Market Targeting refers to evaluating & deciding
from amongst various alternatives, which segment
can be satisfied best by company. The Maggi Brand
have mainly targeted the Kids, Youth, Office Goers
& Working Woman which falls category of
convenience savvy time Misers who would like to
get something instant and be over with it quickly.
POSITIONING
• Maggi have developed its brand image of instant
food products with positioning statements such
as―2 minutes noodles & ―Easy to cook, good to
eat.
SWOT ANALYSIS
STRENGTH:
• Established Family Brand.
• Strong Global Corporate Brand(NIL).
• Specialization in food processing category
marketing & distribution in urban market.
• Presence of other product segments food
category: dairy product, chocolate, infant foods.
• Pioneer & leader so mover advantage in Noodles,
Sauces, Ketchups & Soup market.
• Nestle symbolization of warm, family & shelter.
• Research & development division in India.
WEAKNESS:
• Generic brand to Noodles in India.
• Low rural market presences constraints.
• Uniform brand for all food category.
• Brand proliferation
OPPORTUNITIES:
• Growing package & canned food market in India
by15% annually.
• Brand awareness of Indian consumers are high.
Other product category like Biscuits, Chips &
ready eat market still unexplored.
• Opportunities are substitute to other snacks
category of food products.
THREATS:
• Competitors with long history in product
category Internationally like, Heinz sauce &
Ketchups of Heinz Indian, Top Ramen in Noodles
& Knorr soups.
• Single product are focusing competitors like
Heinz sauce & Wai Wai Noodles.
• Less entry barriers in market segment product
category.
• ITC‘s strong base in Indian market.
• Substitute product to product segment.
Financial Projections
Financial projections for Maggi, as a part of
nestle India, generally point towards
continued growth, though with some
variations. Analysts expect revenue growth to
be moderate, with potential impacts from
urban demand and commodity prices seen in
an article by the financial expenses.
Cost structure:
Fixed Costs: There are expenses remain
constant regardless of production levels, such
as rent for manufacturing plant, salaries for
personnel, & advertising expenses.
Variable costs: These costs fluctutate based
on production volume, including raw
materials (noodles, spices etc). Packaging
,&transportation costs.
Total Costs: The sum of fixed &variable costs
determines the overall costs of producing &
distributing Maggi noodles.
• Revenue Projections:
• Sales Volume :Estimating how many packs of
maggi will be sold the market is crucial. This
depends on factors like consumer demand,
promotional activities, & competitive
landscape.
• Pricing strategy: The selling price of maggi
packs influences revenue. Factors like
competitor pricing, cost of production
,&target market prefrences will affect pricing
decisions.
• Market share: A higher market share
translates more sales & revenue. Maggis
market share depends on competitive
position, marketing efforts, &consumer
perception.
PRODUCT STRATEGY
• Maggi is one of leading food brands under
the umbrella of Nestle. Maggi has wide
variety of products has variety of ranges for
each country. Its products are majorly
categorized into Maggi instant noodles,
Sauce, Maggi soups, & Seasonings.
• The instant noodles category has vast variety
is very popular all across globe. The major
products this category are 2-minute
Noodles, Vegetable Multigrain Noodles,
Chicken Noodles, Cuppa Mania, Oats
Noodles, Hot Head Noodles, & Atta Noodles.
These variants are the backbone of product
strategy in the Maggi Marketing Mix. The
Maggi Soups category has vast variety of
dehydrated soup mixes & products offered
vary with countries. In India, it available
Tomato Margherita, Corn with pepper,
Green pea with coriander, etc. Maggi is
present all across world where it runs.
PRICE STRATEGY
• Maggi uses a Cost-based Pricing Strategy
tap into different markets in the world.
• The competitive prices are repaid with high
volume of products. This shows that cost &
competition are major factors in the
marketing mix price strategy of MAGGI.
• Because of rising prices in different
countries, MAGGI has smart started
decreasing quantity to keep price
unchanged. Nestle strives to capture high
market share with minimum prices and
maximum quality standards. As Maggi is
trying to tap in to all segments of income
factors, it keeps differential prices depending
on locations across countries. Also, offering
is available in broad variety of packages so
that people buy according to their needs.
Digital Marketing Strategy of
Maggi
• Maggi is one famous brand of Nestle & has a
major focus developing & executing digital
& social media strategies. The brand adopts
a sharp engagement strategy across it’s
social media presence, holding upon the
strengths of each platform to deliver its
brand message & manage consumer
engagement. The brand engaging actively
in social media platforms & is building a
powerful digital presence to strengthen
brand MAGGI. Along with TV, the company
engaging with consumers via Twitter &
Facebook. Digital & Social Media are central
focus of their brand-building process.
“WE MISS YOU TOO”. It has also set up 24×7
toll free customer services address customer
concerns. Maggi had tie-up with one of top
famous e-commerce platforms ‘Snapdeal’ &
came up with Maggi welcome kit idea.
COMPETITORS
• As we all know, Maggi has certainly been
topmost leading brand in the noodle
industry for decades but there are many
other brands well which have given close
competition to MAGGI the past well as in
the present.
• Below are the top 3 Maggi competitors
• RAMEN- The Ramen is second top brand of
Noodles in India & has been trying hard for
the last 18 years to beat Maggi. It is global
brand from Nissin, which was launched in
1991.
• Top Ramen then was heavy advertiser in the
media. Another factor was the promotion
strategy & its interesting distribution
strategy. Top Ramen could not offer any
serious differential to Maggi either in terms
of brand or product.
• However, Maggi was able gain back the lost
position because it was the pioneer brand
that built category.
• YIPPEE- Sunfeast Yippee is the recently
launched noodles brand in India, which has
been dominated Maggi for many years.
Recently, this product has seen lot of
activity with the launch of many new brands
like Knorr from HUL, Ching’s Secret by
Capital Foods, etc.
• KNORR – Knorr was established in the year
1838 & has since then expanded its product
line to include variety of cuisines from
around the world. With Influencers like
Karan Johar and Raveena Tandon starring in
its short & quirky ads, Knorr has managed to
make place in India.
MANAGEMENT TEAM
Maggi, a popular brand of instant noodles
owned by Nestlé, has a management team that
operates within the broader Nestlé
organization. As of recent years, the leadership
and management roles in the company are
typically held by individuals in Nestlé's broader
executive & regional teams. However, the
direct management team for the Maggi brand
may not be specifically listed separately but
would generally managed under the
leadership of the Nestlé leadership team
responsible for the Food Division.
The Former Chairman: Suresh Narayanan
Head of Business & Category Head : Rajat Jain
RISK ANALYSIS
• In 2015, Maggi noodles faced a major crisis in
India due to concerns about high levels of
lead and MSG, leading to ban and significant
reputational damage for Nestle.
• This risk analysis will explore the key factors
contributing to the crisis, its impact, & lessons.
Key Risks & Faliures
Food Safety Concerns:
Samples of Maggi noodles in India were found
to contain excessive levels lead and MSG,
exceeding permissible limits.
Misleading Labeling
The packaging of Maggi Noodles stated “No
added MSG” which was misleading as MSG
present in the product , albeit naturally
occurring.
SAMPLE DESIGN
• The sample design provides the basic plan &
methodology for selecting the sample.
NATURE OF POPULATION
• A population is complete set group of
individuals, whether group comprises a
nation or a group of people with a common
characteristic. A population is the number of
living people live together the same place.
The nature of population is infinite.
Population in this study includes people
from rooma locality.
SAMPLE UNIT
• Sample units are the members of
population from which measurements are
taken during sampling. Sample units distinct
& non-overlapping entities, such as quadrats
or transects, individual plants, branches
within plant, etc. In this study, selected
people of rooma are the sample units.
METHOD OF SAMPLING
• A sampling method is procedure for
selecting sample members. The sampling
method used select the respondents was
simple random sampling. Simple random
sampling is a subset has an equal probability
being chosen.
SIZE OF SAMPLES
• Sample size means the number of individual
samples measured or observations used in
survey or experiment. Sample size of 50
respondents comparing both male & female
from rooma locality.
TOOLS FOR ANALYSIS
• Statistical tools used the study including
percentage analysis. Pie diagram &
questionnaire are used for presentation of
data.
MARKET ANALYSIS
• Data analysis is defined as process of
cleaning, transforming, & modeling data
discover useful information for business
decision-making. The purpose of Data
Analysis to extract useful information from
data& taking the decision based upon the
data analysis.
• Data analysis is process of
inspecting, cleansing, transforming,
& modeling data with the goal of discovering
useful information, informing conclusions, &
supporting decision-making. Data analysis
has multiple facets & approaches,
encompassing diverse techniques under
variety of names, and is used in different
business, science, & social science domains.
• Data analysis is process of collecting,
modeling, & analyzing data using various
statistical and logical methods & techniques.
• Data had been collected using
questionnaire. Questionnaire had been
distributed people of rooma locality. Sample
had been collected using simple random
sampling technique . All the 50 respondents
selected at random.
TABLE
Table showing Gender-wise classification
Gender Number of Percentage of
respondents respondents
Male 18 64
Female 32 36
Total 50 100
Chart showing Gender-wise
classification
TABLE
Table showing Age-wise classification
Number of Percentage of
Age respondents Respondents
10-20 17 34
20-30 31 62
30-40 0 0
Above 40 2 4
Total 50 100
Chart showing Age-wise classification
TABLE
Table showing category-wise classification
category Number of Percentage of
respondents Respondents
Child 2 4
Teenager 23 46
Adult 25 50
Total 50 100
Chart showing category-wise classification
TABLE
Table showing consumers came to know
about maggi from:
know maggi from Number of Percentage of
respondents Respondents
Newspaper 0 0
Radio 00 0
T. V 34 68
Friends 16 32
Total 50 100
Chart showing consumers came to know
about maggi from:
TABLE
Table showing consumer perceive maggi as a
healthy product
Perceive maggi Number of Percentage of
as healthy respondents Respondents
product
Yes 10 20
No 40 80
Total 50 100
Chart showing consumer perceive maggi as a
healthy product
TABLE
Table showing facing of any quality-related issues
with Maggi noodles
Quality related Number of Percentage of
issue respondents Respondents
Yes 12 24
No 26 52
May be 12 24
Total 50 100
Chart showing facing of any quality-related issues
with Maggi noodles
Conclusion & Recommendations
The food processing business in India is at
nascent stage. Currently, only about 10% of
the output is processed and consumed
packaged form thus highlighting huge
potential for expansion and
growth. Traditionally, Indians believe
consuming fresh stuff rather than packaged or
frozen, but the trend changing & the new fast
food generation is slowly changing.
Riding the success of noodles, Nestle India,
tried make extensions of the Maggi brand to
a number of products like, sauces, ketchups,
pickles, soups, tastemakers & macaroni the
mid-1990s. Unfortunately, the macaroni &
pickles didn‘t pick up as expected.
Also, Maggi‘s competitor “Top Ramen” took
advantage , situation & started a Parallel
aggressive campaign to eat into Maggi‘s
market share. But the company quickly
realized & went back making the original
formula coupled with agree sampling
campaign. This helped Maggi to win back its
lost consumers & pushed up its sales volumes
again!
RECOMMENDATIONS
• Foray the other food products like chips,
chocolates etc. under sole brand name
Maggi as Maggi a brand in itself which has
been well recognized the masses.
• Maggi should focus on creating a product
that do not any cooking.
• It should conduct promotional campaigns at
schools & small towns with population not
more than 1000
• It should strengthen the distribution channel
of rural areas within 100km of the metros.
• It should launch new advertisement
campaign (TV, radio, print media
commercials) brand ambassador or mascot
Appendix – Maggie Businessman
This appendix contains supplementary data,
research and resources referenced
throughout the business plan. These matches
provide additional context and validation for
the strategies , projections and insights
presented n previous sections.
1. Market Research Data
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Bibliography
1. Maggie Company Official Report :
https://www.maggi.in/en/
2. https://en.wikipedia.org/wiki/Maggi
3. MyNestle