Marketing Management STP on Maggi

Prepared by-

Introduction of Maggi 2-minutes Noodles

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Its a Brand 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 first time in India in the year 1982. The Brand is popular in: - Australia - India - Malaysia - New Zealand - Singapore - South Africa.

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 90% market share in this segment.

Over the years Maggi has launched several products under its Brand Name.

Initial Strategies of Maggi

Maggi 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 sales of Maggi was not picking up despite of heavy Media Advertising. To overcome this NIL conducted a research. NIL's promotions positioned the noodles as a 'convenience product', for mothers & as a 'fun' product 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, etc. Effective Tagline Communication.

STPD Analysis
Segmentation
Age

Targeting
Kids

Positioning
Fast to cook good to eat

Differentiation
Taste

Eating Habits

Youth

2-minute noodles Taste bhi health bhi

Flavours

Lifestyle of Office goers urban families

Packaging

Working Women Health conscious people

STPD Analysis
Segmentation to Differentiation: Classic Noodles 5 10 yrs. Veg. Atta Noodles Health Conscious. Rice Mania Teenage Cuppa Mania Office goers, Working women.

Hurdles Faced

Sales saw a decline in 1990s: - Formulation changed from Fried base to Air dried base. Competition increased in noodle segment: - Top Ramen - Indo Nissin (Japanese co.) New product launched in market but failed: - Dal Atta Noodles Sambhar flavour. Maggi launched some new products under their brand, but these products were not successful.: - Ketchups, Soups, Tastemakers,etc.

Market Penetration Strategies

Promotional campaigns in school. Advertising strategies: 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 gms. 100 gms. 200 gms. family packs (400gms.). Conducting regular market research

SWOT Analysis
Strengt Weaknes Opportuni Threats hs s ties
Market Leader. Heavily dependent Unexploited rural on one product market Strong presence of regional competitors Competitive pricing (Top Ramen)

Brand Loyalty

Minor distribution Increasing number problems of working youth Health related issue Affinity of Indians to chinese food

Distribution Channels. Innovative flavours for Indian taste buds. Advertising Strategy.

Current Scenario of Maggi

Leading Brand in India as well as World. Current Sales: Approx. 90000 boxes Rs. 4,79,49,000 in Mumbai 10,00,000 boxes 55 cr. in India Reasonable competitive pricing. Creative interaction blogs for customers:

Suggestive Promotional Strategies

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 more than 10,000. Strengthen the distribution channel of the rural areas within 100 KM of all the metros. Launch new advertisement campaign (T.V., Radio and print media commercials) with the brand ambassador. Conduct Market Research to find out the market penetration of the product in the rural areas covered.

Thank- You !!