Download - Maggi Product Branding By-Amit Singh
NESTLE
THE BRAND MAGGI
BY:-
MANU SHARMA
ROLL NO-20
Outline of the Presentation
Nestle Company Profile and basic Product
Category
Maggi Noodles-
Market Share, Initial Strategies
Product Protection
PLC, SWOT & STPD Analysis
Market penetration Strategies & hurdles faced
Current Scenario & suggestive Promotional
suggestions
New campaign launched celebrating 25 years
ABOUT NESTLE
The company dates to 1967 when 2
separates Swiss enterprise were founded
that would later form the core of nestle
Basically the company started to meet the
need of the milk in world war one
Henri Nestle developed a milk based
baby food and soon began marketing it
was the 1st product of nestle
Nestle and it works
• Nestle and the international red cross have
announced a partnership deal for interventions in the
HIV crisis in Africa
• Nestle continues to violate the world health assembly
marketing requirements for baby foods in a
systematic and institutionalized manner
• Nestle encourages the use of dangerous whole milks,
such as its nido and ninho brands by permitting them
to be displayed in pharmacies and supermarkets in
the baby feeding section in some countries
Nestle Product List
Nestle Milkmaid
Ice cream
Syrups
Jams
Honey
Candies
Berries
Nestle Natural Dahi
Nestle Slim Milk
Nestle Munch
Nescafe Sunrise
Smart Plus
Nestle Milo
Nestle Iced tea
Nescafe Cappucinni
Maggi Pichkoo
Maggi Pizza Mazza
Maggi Sauces
Type Public
Founded Switzerland 1866
Founders Henri Nestle
Head quarters Vevey
Area served World Wide
Key people Peter Brabeck Letmathe (Germany) and Paul
Bulcke (CEO)
Industry Food Processing
Products
Revenue CHF 109.9 Billion(2008)
Operating Income CHF 15.68 Billion (2008)
Profit CHF 18.04 Billion (2008)
Total Asset CHF 106.2 Billion (2008)
Total Equity CHF 54.92 Billion (2008)
What is brand name that comes to your mind when I
say the word Noodles?
Introduction to Maggi 2 Minute
Noodles
• It‟s a brand name of instant noodle made by Nestle India Ltd.
• It was found by the Maggi family in Switzerland in the 19th century
• Nestle launched Maggi for the 1st time in India in the year 1984
• The brand is popular in India, Malaysia, New Zealand, Singapore, South Africa, Australia
• Nestle wanted to explore the potential for such an instant food among the Indian market
• It took several years and lot of money for nestle to establish its noodles brand in India
• Now it enjoys around 94% market share in this segment
• Over the years maggi has launched several products under its brand name
94%
4%2%
MAGGI TOP RAMEN OTHERS
Market Share
Initial Strategies of Maggi
• It has faced lot of hurdles in its journey in India
• The basic problem the brand faced is the Indian
psyche
• Initially nestle tried to position the noodles in the
platform of convenience targeting the working
women
• However the sale of maggi was not picking up
despite of heavy media advertising
• To overcome this NIL conducted
a research
Cont………….
• NIL promotions positioned the noodles as
convenience product for mothers and as a fun for
children
• The noodles tagline “fast to cook, good to eat” was
also in keeping with this positioning
• They promoted the product further by distributing
free samples giving gifts on return of empty
packets
Effective tagline communication
Product Protection in Market
The word “noodles” has been registered in the year
1984 by nestle India.
Maggi is the trademark for the noodles category
products from the year 1984.
PLC of Maggi
1983 1997
1999
2004
Loss/profit
Time
Gro
wth
Sales
Progression of product “life” stages (growth & time)
B
A
C
D
SWOT Analysis
Strengths Weakness Opportunities Threats
Market leader Heavily
dependent on
one flavor
Unexploited
rural markets
Strong
presence of
regional
competitors
Brand loyalty Minor
distribute
problems
Increasing no.
of working
youth
Competitive
pricing(top
ramen)
Distribution
channels
Health related
issues
Affinity of
Indians to
Chinese food
Innovative
flavors for
Indian taste
buds
Advertising
strategy
STPD Analysis
Segmentation-Based on Lifestyle and Habits of Urban Families
Targeting-Kids, Office Goers
Positioning-with statements such as 2 Minute Noodles and easy to cook and good to eat
Differentiation-Taste, Flavor, Packaging
STPD Analysis
Segmentation Targeting Positioning Differentiation
Age Kids Easy to cook, good to
eat
Taste
Eating habits Youth 2-minute noodles Flavors
Lifestyle of urban
families
Office goers Taste bhi health bhi Packaging
Working women
Health conscious
people
Michael Porters Five Forces Model
INDUSTRIAL RIVALRY- TOP
RAMEN, CHOWMEEN
NEW ENTRANTS-NO POTENTIAL
THREAT OF NEW ENTRANTS FOR
MAGGI NOODLES
BUYERS-CUSTOMER, MIND SET,
BRAND IMAGE
SUBSTITUTE-CHOWMEEN, FAST FOOD
SUPPLIERS-DISTRIBUTION, R/M SUPPLIERS,
PACKAGING
Market Penetration Strategies
Promotional campaigns in school
Advertising straight-focusing on kids
New product innovation according to the need of
consumers-veg atta noodles, dal atta noodles,
cuppa mania
Availability in different packages-
50,100,200gms,400gms-family packs
Conducting regular market research
Hurdles Faced
• Sales saw decline in 1990-formulation changed
from fried base to air dried base
• Competition increased in noodle segment-top ramen
• New product launched in market but failed-dal atta
noodles sambhar flavor
• Maggi launched some new products in their brand
but these products not successful-ketchups-soups-
tastemakers etc
Current Scenario of Maggi
Leading brand in India as well as world
Reasonable competitive price
Creative interaction blogs for customers-
www.maggi-club.in
Focus mainly on health benefits
Suggestive Promotional
Suggestions
• Focus on creating distinctive image, based on twin
benefits of instant and healthy with emphasis on
health conscious and rural market
• Conduct promotional campaigns at schools in small
towns with population not more than 1000
• Strengthen the distribution channel of the rural
areas within 100km of all the metros
Some More……
Launch new advertisement campaign(tv, radio,print
media commercials) with the brand ambassador
Conduct market research to find out the market
penetration of the product in the rural area covered
Maggi turns 25, Nestle to unveil new
campaign
Nestle India is set to roll out a new marketing drive to mark the 25th anniversary this week of its instant noodles brand, Maggi Called „Me & Meri Maggi‟, the campaign is supposed to celebrate the consumers‟ bond with brand Maggi. The company plans “360 degree activation” across television, print and the internet, beside on-ground activities.
Nestle has launched an interactive website for the consumers, www.meandmeri.in
Maggi turns 25, Nestle to unveil new
campaign
The packaging has been tweaked to accommodate
the pictures of consumers whose entries the
company chooses. “If a consumer has a story to tell
about Maggi, we can put him or her on the
packaging, TV or print,”
In 2008, two brand extensions — Maggi Bhuna
Masala and Maggi Cuppa Mania Instant Noodles
THANKS…………