Table of Content Introduction Product Profile Product Mix Consumer Decision Making Model Consumer Research (Methodology) Questionnaire

Analysis and Interpretation Conclusion and Suggestion Bibliography

Introduction
NIL introduced the Maggi brand to Indian consumers when it launched Maggi 2 Minute Noodles, an instant food product, in 1982 (Refer to Exhibit III for the history of the Maggi brand). At that time, Indian consumers were rather conservative in their food habits, preferring to eat traditional Indian dishes rather than canned or packaged food. In fact, NIL was trying to create an entirely new food category, instant noodles, in India. Initially, the company targeted working women on the premise that Maggi noodles were fast to cook and hence offered convenience. However, this approach failed as was evident from the fact that the sales of Maggi noodles were not picking up despite heavy media advertising. To get to the root of the problem, NIL conducted a research, which revealed that it was children who liked the taste of Maggi noodles and who were the largest consumers of the product. After this, NIL shifted its focus from working women and targeted children and their mothers through its marketing. NIL's promotions positioned the noodles as a 'convenience product', for mothers and as a 'fun' product for children. The noodles' tagline, 'Fast to Cook Good to Eat' was also in keeping with this positioning. NIL aggressively promoted Maggi noodles through several schemes like distributing free samples, giving gifts on the return of empty packs, etc. NIL's advertising too played a great role in communicating the benefits of the product to target consumers. Through its ads, NIL positioned Maggi as a 'fun' food for kids which mothers could prepare easily. Taglines like 'Mummy, bhookh lagi hai' (Mom, I'm hungry), 'Bas 2-Minute,' (Only 2 minutes) and 'Fast to Cook Good to Eat' effectively communicated the product's benefits to target consumers. These ads had become so popular that the tagline 'Bas 2-Minute' immediately reminded Indian consumers of Maggi noodles even several years after the ads were taken off the TV. Maggi's first product extension was Maggi instant soups launched in 1988. With the launch of Maggi soups, NIL had become a pioneer in the organized packaged soup market in India.

Product Profile

Type: Noodles Industry: Food Founded: 1890 Headquarter: Cham, Switzerland

About Nestle Nestle is a multinational packaged food company founded and head quartered in Vevey, Switzerland It was set up in 1866 NIL is the Indian Subsidiary of Nestle

Nestle Product Range Candy and Chocolates Pet Food Maggi Seasoning Ice cream Beverages Frozen Foods Specialty Items Maggi Taste of Asia Baking Bottle of water

The Maggi brand originates from Switzerland where in 1863 Julius Maggi created the beginning of the Maggi brand In 1947 Nestl acquired the Maggi brand. The brand is popular in Australia, India, South Africa, Brazil, New Zealand, Brunei, Malaysia, Singapore, Sri Lanka, Bangladesh, Fiji and the Philippines Maggi has launched different flavors in India: Maida, Atta, rice, multi grain, tomato, and chicken. Maggi noodles is recognized as a genre for instant noodles product category.

Maggi Product Extension Maggi Ketchup Maggi Bhuna Masala Soups: Soups and Instant Noodles 2 Minutes Noodles: Masala, Chicken, Rice, Atta, Multigrain

Maggis Mantras Promise of Quality, health and nutrition, easy to cook and tasty.

Brand Element Slogan: me and meri Maggi. Jingle: http://www.youtube.com/watch?v=5ZIDu9J3oz8 Packaging: Yellow and Red pack URL: http://www.maggi.in/

Pre Requisite for Maggi Transferability: Maggi ketchup, Maggi soup, Maggi bhuna masala Adaptability: packaging has been changed over the period of time Memorable: 2 minute noodles Meaningful: name Maggi noodles can be easily related to the instant noodles product category Likeability: most favorite snack, whole family snack Protected: sign could be found on the packets of Maggi noodles

Evaluation of Print Ads and TV Ads Fast to cook, good to eat: focused on educating customers about nutritional value of Maggi, convenient in cooking, healthy product. Maggi 2 minute noodle: change in target market Taste bhi, health bhi: Maida isn't consider good for health, hence they came with Atta and rice variant. Me and meri Maggi: emotional bondage with the customer. Earlier sharing Maggi moments on the packet and now Big B narrates them on TV. (hostel, lakhan, rakhis wedding) http://www.youtube.com/watch?v=qhqubxGq7t4

Type of Appeal Emotions- Maggi ads also has emotional appeal as it shows a hungry child comes from outside and says that he is hungry and his mother says 2 minutes and prepares Maggi. Mr. Amitabh Bachchan narrating the stories of different consumers on television.

Interactive marketing/Social media Facebook: meri maggi fan page 1.83 million likes

Sales and Consumer Promotion activities Different pack sizes: Rs5 (chotu maggi), Rs 2 Maggi (specially for rural areas) Different variants: Atta, multi grain, rice, tomato, chicken Sharing magi moments

Market Segmentation of Maggi Noodles Demographic, Behavioral, Psychographic Region and Usage Rate: Urban : Heavy users Semi urban: Medium Users Rural: Light Occupation: House wives and kids Working Professionals Students Social Class : Middle and upwards Family Life cycle : Young, Married , and married with children Life style : Hard press of time

Positioning Fast to cook-Good to eat 2 minutes noodles

Target Market Primary Target: Children (>16 years) Others : Family Health conscious people: Maggi Vegetable Atta Noodles Young professionals: Maggi Cuppa Mania*

(*) Cuppa Mania is a trend ally of todays multitasking generation

Consumer Decision Making Process: Maggi

Consumer Decision Making Process, this basic psychological process plays an important role in understanding how consumers actually make their buying decision. Marketers must understand every facet of consumer behaviour in terms of who, what, when, where, how and why. Smart companies like MAGGI try to fully understand the consumers buying decision process all their experiences in learning, choosing and using of the product. Maggi has always considered the following steps: 1 Problem Recognition This is the first stage of the Buying Decision where the buyer recognizes a problem or need. The need can be triggered by internal or external stimuli which a marketer must identify by gathering information from number of consumers. They can then develop marketing strategies that trigger consumer interest. Nestle after carefully analysing the market, identified the need for a quick snack in India. They adopted the first mover strategy and launched Maggi in India in the year 1982 as an instant fast food. Thereafter, Nestle recognized the consumers need for Maggi in different sizes and introduced the 50gms, Double Pack and Super Saver Pack (s). Later on in the years 2005 and then 2006, consumers need for a healthy instant food was catered by launching Maggi Atta Noodles and Maggi Dal Noodles. These again emerged as successful products and were widely accepted by masses. Further to suffice the need for different taste, Maggi Rice Mania was brought in the market in Shahi Pulao, Chilli Chao and Lemon Masala flavors. 2 Information Search An aroused customer will be inclined to search for more information. At this level, a person simply becomes more receptive to information about a product. There are four major information sources which are of key interest to the marketer. These are the personal sources (family, friends, and acquaintances), commercial sources (advertising, websites, packaging and displays), public sources (mass media, consumer rating organizations) and experiential sources (handling, examining and using the product). MAGGI has over the years well established itself in the market and has now become a household name. This has helped the brand gain popularity through word of mouth. Maggis Mass Advertising Campaigns targeted consumers of all ages. Their adverti sements have highlighted that Maggi is a good alternative available with the consumers when it comes to having a quick snack.

3 Evaluation of Alternative Once all the consumers gather all the information he then evaluates the various option available to him. When evaluating the potential alternatives, consumer uses two types of information the first is the list of brands from which they plan to make their selection and the second is the criteria from which they plan to make their decision. Beliefs and Attitude: Evaluations often reflects beliefs and attitudes. And these are acquired by experiences and learnings. MAGGI has always provided its consumers with something new from time to time which has developed a good belief in the brand and thus has helped them to choose them from their other alternatives. Their competitors like top ramen always find it difficult on the evaluation front with magi because of strong association of consumers with it. Awareness set is
Maggi Tom Ramen Wai Wai Cup of Noodles Chings

So out of the above awareness set the consumers decides to choose Maggi because after analyzing the different parameters of the brand Maggi was chosen as the best alternative among the rest leading to its maximum market share. 4 Purchase Decision In the evaluation stage the consumer forms preferences among the brands in the choice set, the consumer may also form an intention to buy the most preferred brand .In executing a preferred intention the consumer takes up five sub decisions
Brand Dealer Quantity Timing Payment Method

In some cases consumer may decide not to formerly evaluate each and every brand; in other cases intervening factors may affect the final decision. Because of the strong consumer awareness about the brand MAGGI, consumer generally prefer Maggi out of all the available brands , due to the mass distribution strategy adopted by Maggi, any consumer can easily purchase it from their local grocery store without wasting much of his/her time in searching for the product , Maggi comes in various sizes like single , double and

the supersaver packs so depending upon each individuals need Maggi is catering each and every segment of the society not to mention that as the size increase the saving on each pack increases. 5 Post Purchase After the purchase the consumer might experience dissonance that stems from noticing certain disquieting features or hearing favorable things about other brands and will be alert to information that supports his/her decision. Marketer must monitor
Post Purchase Satisfaction Post Purchase Action Post Purchase Product Uses

6 Post Purchase Satisfaction Satisfaction is a function of the closeness between expectations and the products perceived performance, if performance falls short of expectations the consumer is disappointed and if it meets the expectation the consumer is satisfied and if it exceeds the expectations then the consumer is delighted. 7 Post Purchase Actions Satisfaction or dissatisfaction with the product will influence subsequent behavior if the consumer is satisfied he will exhibit a higher probability of purchasing the product again. The satisfied customer will also tends to say good things about the brand to others, marketers says our best advertisement is the satisfied customer. Post Purchase Use Marketer should also monitor how buyers use and dispose of the product. A key driver of sales frequency is product consumption rate the more quickly buyers consume a product the sooner they may be back in the market to repurchase it.

TITLE OF THE PROJECT A study on acceptability and consumption pattern of Maggi Noodles in South Delhi Region.

OBJECTIVE To understand the stimulus of Maggi Noodles as a brand on consumer mind set. To understand the customer satisfaction of Maggi Noodles. To understand the effectiveness of advertisement of Maggi Noodles To understand the perception of the people about Maggi Also to identifying the outliers causing decline in the customer satisfaction

Research Design In this project we will use descriptive research design

Research Methodology Primary data collection via questionnaire let alone online survey. Secondary data collection via internet Target population :- people in the age group of 18-50 years residing in south Delhi Sample size: - 50 people (approx.)

In this project with the help of advance descriptive statistics as well as with the help of sig sigma i.e. defect analysis we will understand the consumption pattern of Maggi noodles in south Delhi. This report will also help as to find out the outliers as well as non-value adding activities leading to decline in demand of the product and acceptance of competitors by consumer

Limitation of the research Sample size of 50 respondents has been taken which is too small to generalize the trend. Study is limited only to south Delhi region. Research time was limited so in depth analysis could not be done.

Research Analysis Ques1). Do you Buy Maggi Noodles Response: Out of 50 Response we find that acceptability of Maggi Noodles in South Delhi is 100% Variable Yes No Total Frequency 50 0 50 Percentage 100% 0%

How Many people buy Maggi

No 0%
Yes No

Yes 100%

Ques2). Have you tried different variant of Maggi? Response: Out of 50 respondents only 28 respondents tried other variants of Maggi Noodles Have you tried Different Variants of Maggi Yes No Total Response Percentage 28 56% 22 44% 50

Have you tried Different Variants of Maggi

44% 56%

Yes No

Ques3). Consumer of Maggi age group wise Response: in this research we found that consumption of Maggi noodles is highest in 18-25 years age group, than 26-30 years age group Age Group 18-25 Years 26-30 years 31-40 Years 41-50 years Total Percentage 46% 36% 14% 4%

23 18 7 2 50

Age group Wise wise: How many people prefer to buy maggi
41-50 years 4% 31-40 Years 14% 18-25 Years 18-25 Years 46% 26-30 years 36% 26-30 years 31-40 Years 41-50 years

Ques4). Consumption of Maggi occupation wise. Response: Out of 50 respondent we found that consumption of Maggi noodle is very high in Working men and women that is 58% ( 29 respondent) Occupation Students Parents Working Men/Women Total Response 15 6 29 50 Percentage 30% 12% 58%

Occupation wise: How many people prefer to buy maggi

Students 30% Working Men/Women 58% Parents 12%

Students Parents Working Men/Women

Ques5). Which Factor motivates you to buy this product? Response: In this analysis we found that consumer is 100% satisfied with Taste, Price, Ease to Make and out of 50 respondents 36 respondents are saying Maggi noodles are not god for health (C-sat: 28%). Motivational factors Taste Price Ease to make Reliability Quality Assurance Loyalty Good For Health Total Yes 50 50 50 46 43 35 14 288 No 0 0 0 4 7 15 36 62 Customer Satisfaction % 100% 100% 100% 92% 86% 70% 28% 82%

Motivational Factor
Good For Health Taste 5% Loyality 18% 12%

Taste Price Ease to make

Quality Assurance 15%

Price 17%

Reliability Quality Assurance Loyality

Reliability 16%

Ease to make 17%

Good For Health

Ques6). Which of the following brand would you like buy if price is not taken into consideration? Response: In this analysis we found that if price is not taken into consideration 46% respondent will buy Maggi noodles and nearby competitor is Wai-Wai noodles that is 24 % (12 out of 50 Respondents). Brand you would like to buy ( when price in not a concern) Maggi Yippi Top Raman Wai-Wai Knor Total Result 23 1 9 12 5 50 Percentage 46% 2% 18% 24% 10%

BRAND YOU WOULD LIKE TO BUY

Knor 10%

Wai-Wai 24%

Maggi 46%

Top Raman 18%

Yippi 2%

Ques7). On the basis of past experience would you like to buy the product again and also suggest to you family and dear ones? Response: Out of 50 respondents 31 respondents would like to buy and refer this product to their family and dear ones, let alone customer satisfaction level of this product is 62% Yes No Total Satisfaction level 31 19 50 62%

would you like to buy the product again

No 38% Yes No Yes 62%

Ques8). What comes first in your mind when you hear the word Maggi? Response: Here we tried to check the perception of consumer towards the product and we found that out of 50 respondents for 41 respondents Maggi is just Noodles and for rest of the 9 respondents Maggi is a Snacks. Maggi is a (Perception) Noodles Fast food Snacks None of these Total Percentage 82% 0% 18% 0%

41 0 9 0 50

Perception : Maggi is ?
None of these 0% Snacks 18% Fast food 0% Noodles Fast food Snacks None of these Noodles 82%

Ques 9). Which of the following Maggi variants do you relish? Response: Out of 50 Respondents we found 48 respondents (96%) relish on Maggi 2 minutes noodles Maggi variants do you relish? 2 minutes-Masala Maggi Atta noodles Vegetable multi grain noodles Cuppa mania Total Percentage 96% 2% 2% 0%

48 1 1 0 50

Maggi variants do you relish?

Atta noodles Vegetable 2% multi grain Cuppa mania noodles 0% 2%

2 minutes-Masala Maggi Atta noodles Vegetable multi grain noodles Cuppa mania

2 minutes-Masala Maggi 96%

Categorization of Maggi noodles On the basis of age group Age group wise overall Category 18-25 Years 26-30 years 31-40 Years 41-50 years Total Outstanding Good 9 11 6 8 1 6 1 1 17 26 Average 2 3 0 0 5 Caution Alarming 1 0 1 0 0 0 0 0 2 0

Out of 50 respondent, 17 respondents thinks Maggi is Outstanding, for 26 respondents it is Good for 5 respondents it is Average product. On the basis of Motivation: Motivation wise Outstanding Good Average Alarming

30 17 3 0

Out of 50 respondents , motivation level of 30 respondents are Outstanding, for 17 it is Good, and for 3 it is Average.

MOTIVATION WISE
30

17

3 0
OUTSTANDING GOOD AVERAGE ALARMING

On the basis of Motivation and Perception Motivation and Perception Wise Outstanding Good Average Alarming Response 22 19 9 0

Out of 50 respondents, motivation and perception level of 22 respondents are Outstanding, for 19 it is Good, and for 9 it is Average.

MOTIVATION AND PERCEPTION WISE

22 19

0
OUTSTANDING GOOD AVERAGE ALARMING

On the basis of Attitude Attitude Wise Good Average Bad 28 22 0 50

Here we found out of 50 respondents, 28 respondents have Good, 22 respondent have Average attitude towards the product

ATTITUDE WISE
28 22

0
GOOD AVERAGE BAD

Questionnaire: Acceptance and consumption pattern of Maggi Noodles Part A 1. Name of the Customer/ Wholesaler/Retailer : ___________________________________ 2. Contact Detail : ____________________________________________________________ 3. Age Group 18-25 years 26-30 years 31-40 years 41 to 50 years

4. To which category do you belong to? Part B 5. Do you Buy Maggi Noodles Yes No Yes No Student Parent Working men/ women

6. Have you tried various different variants of the product

7. Are you satisfied with the below mentioned features

Variable
Taste (Good or not) Price (pocket friendly) Ease to make Reliability Quality Assurance Loyalty Good For Health

Yes

No

8. Which of the following Maggi variants do you relish? 2 minutes-Masala Maggi Atta noodles Vegetable multi grain noodles Cuppa mania

9. Which of the following brand would you like buy if price is not taken into consideration Maggi Yippi Top Raman Wai-Wai Knor

10. On the basis of past experience would you like to buy the product again and also suggest to you family and dear ones Yes No Noodles Fast food Snacks None of these

11. What comes first in your mind when you hear the word Maggi

Findings 100% people buy Maggi noodles. There is high brand awareness about Maggi noodles, People have been able to differentiate Maggi noodles from other products available in the market and have positive perception. Maggi noodles have a tough competition from Wai-Wai noodles and Top Raman. Maggi noodles have a strong distribution channel. It is easily available in the shops. Advertisement of Maggi noodles is very attractive to buy the product. Packaging of Maggi noodles influence the consumers to make a buy decision. People are very satisfied with the price of the Maggi noodles.

People buy Maggi noodles because they see some nutritional value in the product. Maggi noodles contain calcium & iron which is god for health. This product has not appealed to health conscious people because there are other substitutes (health supplements) available in the market.

Recommendations: Effectiveness of promotional activities should be increased. Nutritional value should be improved like fat content should be reduced and other minerals should be added in the product. Establish Nestles own flagship outlet. Educate Consumer through campaign Use the package to describe the nutritious benefits Do more market research to improve the product

Reference www.nestle.com http://www.maggi.in/ www.facebook.com Marketing Management: Philip Kotler