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A Project Report on Retail Mapping of Top Ramen

at
Bhubanswar

For The Purpose of Business Research in


BRMIMIT

Guided By:
Prof S.K. Jena

Submitted By:
Ardhendu Mishra
(II)

PREFACE
The research provides an opportunity to a student to demonstrate
application of his/her knowledge, skill and competencies required
during the technical session. Research also helps the student to devote
his/her skill to analyze the problem to suggest alternative solutions, to
evaluate them and to provide feasible recommendations on the
provided data.

The research is on the topic of :

Retail Mapping of Top Ramen at


Bhubaneswar

Although we had tried our level best to prepare this report an


error free report every effort has been made to offer the most
authenticate position with accuracy.
(III)

ACKNOWLEDGEMENT

This report is an outcome of mutual support and


guidance of many persons towards whom we
indebted. My special thanks to Prof. S.K.Jena (HOD
of Marketing Department) to provide various facility
in the Research by which I can make my project in the
easy way.
(IV)

Executive summary
Research objectives:

✔ To find out the market penetration


✔ Present Sales of Top Ramen
✔ Study of Consumer Behavior
✔ Competitor analysis

Scope:
✔ To Know about Market Situation of Top
Ramen
✔ Different Method’s of Doing the Research

Suggestions

✔ Promotional Campaigns in School


✔ Advertising Strategies Should be improve
✔ More Credit Period
✔ Continues Product Innovation
✔ Introduction a Fictitious Character who can

connect with kids for better brand recall


✔ Invite Housewife to send new innovative
recipes
Table of Content’s
PPP
Sl.No. Particular’s Page
No.
1 Cover Page I , II
2 Preface III
3 Acknowledgement IV
4 Executive summary V
5 Table of Content’s 1
6 Company Profile 2
7 Top Ramen different 3
flavors
8 Sales Promotion 3
activities
9 How Maggi beat Top
Ramen
10 Research 8
methodology

11 Data Analysis 9-12

12 Limitation, Finding 13
13 Conclusion 13
14 Appendix, Bibliography 14
(1)
COMPANY PROFILE:

Don't be a noodle, be a Smoodle


Top Ramen is the second largest Noodles brand in India trying hard for
the past 18 years to beat Maggi Noodles. Top Ramen is a global brand
from Nissin. Launched in 1991, Top Ramen has been trying all possible
marketing tool to dethrone Maggi.
'Don't be a noodle, be a Smoodle,' was the ad that brought the Top
Ramen brand into limelight when it was launched in '91.

Now, in a bid to refurbish its image and hike its market share in the Rs
200-crore Indian noodle market, Indo Nissin Foods has relaunched its
Top Ramen Noodles and Cup Noodles in a new bright international
packaging.

It has also offered price-off schemes, launched new advertising


campaigns and hiked its advertising budget in the process.

“The Indian noodle market is growing at 12% per annum. The


potential for expanding sales is outstanding. Indo-Nissin is
concentrating resources on core brands and fine-tuning marketing to
accelerate market share growth. We hope to grow our market share by
10% over the next one year,” said T Kimura, vice-president (sales and
marketing), Indo Nissin Foods. Apart from the new packaging, the
relaunched Top Ramen has been fortified with calcium and vitamins to
give value-addition to the client, he added.

Top Ramen is currently available in a variety of flavors such Macho


Masala, Funky Chicken, Oye Tomato, Curry Smoodles. The
company has launched smaller packets in 50 gm and 400 gms. Earlier,
it was available in 100gm and 300 gm pillow packets.

“Priced at Rs 4, the small packets are more affordable,” Mr Kimura


said. A pillow packet of 100 gm costs Rs 10 and the 400 gm packet
costs Rs 34. Cup Noodles costs Rs 20 per 80 gm. Marico Industries
handles the distribution of Indo-Nissin products.
(2
)
While Nestle has the first mover advantage in the instant noodles
segment with its Maggi brand holding a 70% market share, Indo
Nissin’s Top Ramen currently holds a 26% market share. The
company’s second offering in India — Cup Noodles, is a ready-to-eat
product — has the advantage of being the only one of its kind in the
country.

Unlike instant noodles, which require cooking, Cup Noodles can be


eaten by just adding hot water to the cup. They are available in two
variants - Spicy Vegetable and Tangy Chicken.

To keep its first entry advantage in cup noodles’ segment, Indo-Nissin


has launched Mug Noodles. Explains R V K James, general manger
(sales and marketing), “Unlike cup noodles where the cup is given,
these noodles are available in packets and one has to put them in the
container of their choice, pour hot water, keep for three minutes and
then eat. Priced at Rs 6.50 for 50 gms, these are more economical
than cup noodles and ideal for educational institutes. However, they
are available only in schools and colleges.”

While the company’s production facilities are in Bangalore and


Haryana, Indo Nissin products are distributed through over 1,35,000
retail outlets across the country.

Indo Nissin Foods, established in 1988, is the Indian subsidiary of the


$3 bn Nissin Foods Products, Japan, the pioneer in instant noodles.
Globally, the company’s network encompasses 24 factories in nine
countries with 57 offices and four R&D centers.
(3)
Top Ramen different flavors:

Beef Chicken Shrimp

Oriental

Sales Promotion activities


1 - TOP RAMEN Quiz

Top Ramen quiz has been successfully completed in 78 schools. The


activity had participants from the 5th, 6th & 7th standard students of
various schools in Bangalore. #DCD7C7 this activity started on the
26th of June in Christ school, Koramangala. & has since then covered
the targeted 78 schools. Some of the schools that participated in the
quiz as per the attachment. The Quiz programmed begins with written
examination to qualify for the oral quiz round. Four participants each
are selected from class 5, 6 & 7 based on the marks secured in the
written round. The selected 12 students are then clubbed 2per team to
form 6 teams comprising of Class 7paired with class 5 & class 6
students paired with class 6students. The oral round consists of
questions from Science,History, Geography, Inventions & general
Knowledge, has 6 rounds, 10 points are awarded if the question is
answered directly & 5 points if the question is passed on. The team
that completes in the first, Second & third place gets gift hampers
consisting of Top Ramen noodles & Educative books published by Tata
info media. How ever all the participants who qualified for the oral quiz
were awarded Top Ramen certificates.
(4)

2 - JUSTICE LEAGUE Adventures....


This is one of the most popular children’s magazines in India. Top
Ramen had the center page contest with over 3000 Prizes to be
won. All you had to do is the following:

• Complete the slogan given in the ad in not more than 10


words.
• Cut out one more coupon available with purchase of top
ramen
• Send both coupons (from 2 comics) to the address given
there.

3 - Top Ramen participation in children’s magazine


“Fun Time”
Fun times Edutainmement (P) Ltd, a cost effective advertising medium
to reach the target audience directly across India, To reach 450000
readership in the 7to 12 year age group across all important cities in
India. This magazine is distributed free of cost to children in the said
age group in leading English medium schools across 13 cities. The
magazine has 4 colors offset print. Comes

(5)
in 8 pages per issue. The magazine also consists of an advertorial
section for children. The Magazine has been getting very good
response. Top Ramen has been advertised in the June/July 02 issue,
Sept /Oct 02 issue, Nov 02 issue, Jan
03 issue. The June July 2003 issue is titled as ~Back to school special’
the magazine, which had 307 schools covering 2, 25,450 children will
have 451 schools covering 335950 children by Mar 2004.

How maggi beat top ramen( a customer


perspective)

As a hardcore Noodles fan, I remember trying out this brands on


two occasions. First occasion was when the brand was launched.
The brand quickly went into limelight with its famous positioning
as Smoodles. I guess that Smoodles means Smooth Noodles . But
after the initial trying, I went back to Maggi noodles. The next
occasion was when Maggi changed the taste. That was an
occasion where, as a brand loyalist, I dumped Maggi . For a while I
bought Top Ramen. Then when Maggi reversed the taste, I
switched back.... Top Ramen at that point of time was one of the
heavy advertisers in the media. And since the taste was also
comparable, many
Maggi users may have switched to this brand. But it could not
retain the customers like me. One factor is the price. Top Ramen
was always perceived as a premium brand compared to the
affordable Maggi. (It’s my perception since I don't exactly
remember the price difference). The high price may have
prompted many Maggi users to switch back . Another factor was
the promotion. Top Ramen could not sustain the share of mind it
generated during the formative years. Maggi was able to bring in
lot of noise because it had become an umbrella brand and was
advertising for various other products. Top Ramen had an
interesting distribution strategy. For the past 10 years, the brand
has been distributed by Marico. It is a case of marketing alliance
where Top Ramen was utilizing the distribution
strength of Marico. In 2008, the alliance was mutually called-off.
Now Nissin is building its own distribution network. It is puzzling
to see that a global brand with lot of support from its parent could
not put up a big fight with Maggi .The major issue faced by Top
Ramen was the differentiation. Top Ramen could not offer any
serious differentiation to Maggi either in terms of the product or
brand. Since there was no serious differentiation,
Maggi was able to gain back the lost ground because it was the
pioneer brand who built the category. Top Ramen also lost out when
Maggi repositioned itself in the health platform.

(6
)

Having said that, Top Ramen had its share of innovations. This brand
is credited with innovating a new category of cup-noodles in Indian
market. The difference between cup noodles and instant noodles is
that cup-noodles need not be cooked; it is ready to eat just after
adding hot water into it. Top Ramen currently holds more than 90 %
share in the cup noodles market. Maggi has recently entered the
cup-noodles market with its brand Cuppa- Mania. It is expected that
the entry of new players will expand the category. Unlike instant
noodles where the brands are targeting kids, Cup- Noodles is
targeting adults. The segment aimed by Top-Ramen is 16-35. Top
Ramen is also credited with the launch of curry-noodles in India.
While ordinary noodles are dry, curry noodles have both gravy. Top
Ramen to me is heavily associated with Curry Noodles. and that is
one of the reasons why I did not buy the brand ( I hated the curry
variant).

Directors
Abraham J. Tharakan Chairman
Tomokazu Yasuda Managing Director
Ken Sasahara
Ken Okubo
Hiraki Fukuda
Shigeharu Tanaka
Corporate Executives
Yoshiki Kobayashi Vice President - Technical

Toru Kimura Vice President - Sales & Marketing


(7)
Research methodology
1. Primary Data:

➢ Through the distributer, runners & Student’s

2. Secondary Data:

➢ Through online, various official websites of the


companies.
➢ Journals and magazines.
➢ Research Methodology Book (C.R.Kothari)
(8)

Data Analysis:

Company Sale’s in Bhubaneswar:


Sales % Of Sale's
Top Top Magg
Ramen Maggi T Ramen i
Place otal
Samantarapur, Ravi Talkies & Garage
Chhak 15216 17415 32631 46.63 53.37
Saheed Nagar,Vaniviar 26945 32065 59010 45.66 54.34
Acharya Bihar,IRC Village,Jayadev vihar
& Damana 17312 21394 38706 44.73 55.27
Rasulgara,Bomikhal,Laxmisagar &
Jharapara 15662 15812 31474 49.76 50.24

Total 75135 38809 46.69 53.31

(9)
Total Sales In Bhubanwar
35000

30000

25000 Top
Ramen
Quantity

20000

15000 Maggi

10000

5000

0
Samantarapur, Acharya Bihar,IRC Rasulgara,Bomikh
Saheed
Ravi Talkies & Village,Jayadev al,Laxmisagar &
Nagar,Vaniviar
Garage Chhak vihar & Damana Jharapara
Top Ramen 15216 26945 17312 15662
Maggi 17415 32065 Sales 21394 15812

(10)
Different Sale’s in Different Area is
Bhubaneswar:
Total Sales Sheed Nagar & others

55

Percentage of Sale 50
Top Ramen
Maggi
45

40
1
Top Ramen 45.66
Maggi 54.34
Sale's of Saheed Nagar

Total Sales in Samatrapur & Others

54
Percentage in sale's

52
50
Top Ramen
48
Maggi
46
44
42
1
Top Ramen 46.63
Maggi 53.37
Sales in Samantarapur & Others

(11)
Total sales in Acharya vihar

60
50
% in sales 40
Top Ramen
30
Maggi
20
10
0
1
Top Ramen 44.73
Maggi 55.27
Sales in Acharya vihar

Total sales in Rasulgara&others

50.4

50.2
% in sales

50 Top Ramen
49.8 Maggi

49.6

49.4
1
Top Ramen 49.76
Maggi 50.24
Sales in Rasulgara

(12)
Limitations :
➢Heavily Depend on one
➢Minor Distribution Problem
➢Health Related Issue
➢Credit Period Availability
➢Increase in Profit Margin
➢Proper Advertisements

Findings:
➢ Unexploited Rural Market

➢Increasing number of working youth


➢Affinity of Indians to Chinese Food
➢ Increase in Different Strategies

Conclusions:
The Conclusions is that
• Introducing a Fictitious character
who can connect with kids for
better brand recall
• Invite house wives to send new
innovative recipes
• New product innovation’s
• Promotional Campaigns in School’s

(13)

Appendix :
Copies of Questioner Submitted

Statistical tables
Bar Table
Pie Chart’s
Bibliography:

➢ The Various Website


www.topramenindia.com
www.scribd.com
www.aarviencon.com
www.mouthshut.com
➢ Research Methodology Book (C.R.Kothari)

(14)

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