Demand Analysis on maggi

Maggi-Unternehmungen AG
Type Aktiengesellschaft; subsidiary of Nestl

Industry

Food

Founded

1890

Founder(s)

Julius Maggi

Headquarters

Cham, Switzerland

Key people

Alain Pedersen

Website

maggi.ch

About
Maggi noodles is a brand of instant noodles manufactured by Nestl. The brand is popular in Australia, India, South Africa, Brazil, Nepal,New Zealand, Brunei, Malaysia, Singapore, Sri Lanka, Bangladesh, Pakistan, and the Philippines. In several countries, it is also known as "maggi mee" (mee is Indonesian/Malay/Hokkien for noodles). Maggi noodles are part of the Maggi family, a Nestl brand of instant soups, stocks, and noodles. Nestl India Ltd (NIL) offered a variety of culinary products such as instant noodles, soups, sauces and ketchups, cooking aids (seasonings), etc., under the 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 in the culinary segment since the launch of Maggi 2 Minute Noodles (Maggi noodles) in 1982. Over the years, Maggi noodles became a popular snack food product in India.

Wednesday, August 26, 2009

History of Maggi Noodles

History of Maggi Noodles Maggi is a Nestle brand of instant noodles, soups stocks, bullion, sauces a and seasoning. The original company came into existence in 1872 in Switzerland, when Julius Maggi took over his fathers mill. At that time during industrial revolution in Switzerland created factory jobs for women, who were therefore left with very little time to prepare meals. Due to this growing problem Swiss Public Welfare Society asked Julius Maggi to create a vegetable food product that would be quick to prepare and easy to digest. It was the first to bring protein rich legume meal to the market, which was followed by ready made soup based on legume meal in 1886. In 1863, Julius Maggi developed a formula to add taste to meals, which later paved the way for Maggi and other easy to make food products. Apart from two minute noodles Maggi also offers a range of product. However in India it was launched in 1980s by Nestle group of companies. Maggie had merged with Nestle family in 1947. Today, Maggi is particularly well known in India, New Zealand, Australia, Malaysia, Pakistan, Nigeria, the Philippine and Singapore for its instant Maggi noodles. (Maggi mee). History of Maggi Noodles

Brand: Maggi Current agency: Pubicis India Bus do minute is all it still takes to put a hot, steaming bowl of Maggi on the table 25 years after the instant noodle brand from Nestles stable made its way into Indian kitchens. Maggi has managed to create a category for itself in the food and snacks market in the country, wonderfully fitting into the breakfast-lunch-dinner-in-between snacking slot. When Nestle launched its instant noodles brand in the Indian market in the early 1980s, it wanted to explore the potential for such an instant food among the Indian market. As of now it enjoys around 50 per cent market share in this segment, which is valued at around Rs 250 crore. Along the way it has managed to hold off quite a few me-too entrants. Brand Journey A Testimony in Itself For Emmanuel Upputuru, National Creative Director, Publicis India, the transformation of the brand in the last 25 years is a testimony in itself. He explained, Recently I met someone in Singapore, and when we shared how big a brand Maggie Noodles is in India, the gentleman exclaimed, Noodles in India! That, to me, was a testimony to the success of the brand Maggie Noodles in India. Initially, Nestle tried to position the noodles brand on the platform of convenience, targeting working women. But it found that sales were not picking up despite heavy promotion. Research then showed that kids were the largest consumers of the brand. Realising this, Nestle repositioned the brand towards kids using sales promotions and smart advertising. However, the fact lies that even if the TG is kids, a survey would reveal that a considerable slice of Maggi noodles consumers are single men and women. The pricing and the variety in tastes are the added advantages. In 2005, Nestle made a smart move. It knew that although kids love noodles, the parents were bothered about the health aspect of the noodles, which was made of maida (refined flour). Hence, Maggi launched Maggi Atta Noodles with the baseline Taste bhi, health bhi.

Law of demand
Demand for a commodity increase when its price decreases and fall when its price rises ,other things remaining constant

Factors affecting the demand

Determinants of demand Price of the commodity Income of the consumer Price of related goods Tastes and preferences Advertisements Quality and price QTY 50g 100g 10rs 200g 20rs 400g 40rs 600g 59rs

PRICES 5rs

The price and the quality is affordable to every middle class, lower class and high class people .

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MARKETING ARTICLES

Mar 14, 2011 admin 1 Comment

Is Maggi too have a competition?

Maggi is one of the largest & most lovely snack food brand among Indians which made a create presence in the mind of Indians into the categories of the Istant Noodles. Earlier maggi was considered into account as an evening snack but due to rapidly changing in the tasMaggi is one of the largest & most lovely snack food brand among Indians which made a create presence in the mind of Indians into the categories of the Istant Noodles. Earlier maggi was considered into account as an evening snack but due to rapidly changing in the taste and preference of consumer; Maggi has moved form being 7 P.M snack to being a part of breakfast, lunch, evening snack and dinner in life of average household. As per its positioning 2 minutes noodles it is easy to make by any one even for those who does not know one word about cooking. Few months back, the only competition Maggi had with the Japan-based Nissin Groups Top Ramen, and the Nepal based CG Foods Wai-Wai Noodles. Wai-Wai was restricted itself to the eastern market of West Bengal and Sikkim till now, where it controlled 70 per cent of the market. Its strategy was to first build-up the distribution network, which it successfully did the brand was available on the shelves of super stores, as much as in the local Kirana stores. It was then that they started building the brand. Top Ramen, on the other hand, was aggressive in its marketing it even roped in Shah Rukh Khan as the brand ambassador, but failed to get its distribution network in place. The brand had entered into a distribution tie-up with Marico, the owners of Saffola and Parachute. However, the year 2010 saw a sudden spurt in this category Wai-Wai is now working towards a national presence. Earlier the company had its manufacturing units in Assam and Sikkim, recently set up a new plant in Rudrapur, in Uttaranchal, and is also looking at acquiring a FMCG company in the South/ West. Top Ramen also has moved to set up its own distribution network, besides hiring a new agency Dentsu, to give it a fresh marketing push. The brand plans to launch itself with a new look and a new taste. Two another major players of FMCG, GSK and ITC, decided to venture into the Instant Noodle Marketto try their luck while Maggi is still to continue with innovate itself to add more products

into its existing line, with the aim of this Maggi recently added two new flavor likes-: Thrillin Curry & Tricky Tomato Noodles. With the slogan of Taste Bhi Health Bhi its now available in 5 delicious flavor (Masala, Chicken, Tricky Tomato, Thrillin Curry and Romantic Capsica) GSK launched Foodles, while ITC launched Sunfeast Yippee. Unilever, too, tried to create some competition with Knorr Soupy Noodles which is tried to make its presence with being 7 P.M snack so that mummy and tummy of child both become happy. But other brands like GSK and ITC stated that we all very thankful to Nestle, which has done the great job in establishment of instant noodles in FMCG Market and marked a created presence into the Indian consumers mind. GSK came into the Istant Noodles category with the name of Horlicks Foodles. As Horlick has a strong positioning in the Tamil Nadu. That is why they endorsed the brand Horlicks for its new product as part of positioning strategy. Hence, the new players still stand in a long queue. Maggi will soon come up with new innovation in theTaste Bhi Health Bhi segment.

Maggi products

Noodles: Maggi vegetable multigrain noodles Maggi 2 mins noodles Maggi veg atta noodles Maggi cuppa mania Sauces:

Maggi sauces Maggi pichkoo

Pasta:

Maggi pasta Cooking aids :

Maggi magic cubes Maggi bhuna masala Maggi coconut milk power Maggi pizza mazza Adversiments

Tv adds
Flavours
Maggi Noodles are available in a large assortment of different flavours. They are: Original Flavour Chicken Curry (a healthier alternative is also sold in supermarkets) Kari Letup ("Explosive" Curry) in Malaysia Laksa Lemak (discontinued) Tom yam Chicken & Corn Beef Oriental Masala Prawn Dal Sambar (whole wheat noodles) Dal Atta noodles Asam Laksa Cheese Chatpata Tomato Stronger Chicken Crispy Chicken Vegetable Atta Noodles (whole wheat noodles) Shahi Pulao (rice noodles) Chilly Chow (rice noodles) Lemon Masala (rice noodles) Mi Goreng Pluz Asli Capsica

Maggi noodles also produces instant noodles known as "Hot Bowl" noodles named "Cuppa Mania" in India. New drinkable Maggi noodle soups are also available.

Logistics details

Market research
Market share

Objective: To find out the market penetration of Maggi noodles To understand the influences of maggi as a brand on consumers mind set. To understand the brand performance of maggi products Sources of brand equity of maggi like brand awareness,brand image ,brand association,brand recall. Research methodology: (i) Target Area: Andheri, Dadar, Parel (ii) Shopkeeper Sample Selection: Mall, General Store, Medical Store, Bakery, Paan-Bidi

Shop (iii) Customer Sample Selection: School Kids, House Wives, Office Goers (iv) Shopkeeper Sample Size: 30

Stpd analysis .segmentation:based on lifestyle and habits of urban families .targeting;kids ,offices goers .positioning ;with statements such as 2 minute noodles and easy to cook god to eat .differentiation:taste,flaours,packaging
SWOT Analysis of Maggi as Brand
Strengths Established Family Brand Strong Global Corporate Brand ( NIL ) Specialization in food processing category marketing and distribution in Urban market Presence of other product segments of food category : Dairy Products, Chocolate, Infant foods Pioneer and Leader so 1st mover advantage in Noodles, Sauce, Ketchups and Soup market. Nestle symbolization of warm, family & shelter. Research and Development Division in India New Noodles Plant in Uttarnchal Weakness Generic Brand to Noodles in India Low rural market presence constraints

 Uniform Brand for all food category Brand Proliferation Opportunities Growing package and canned food market in India by 15% annually. High brand awareness of Indian consumer Other product category like Biscuits, Chips and Ready to Eat Market still unexplored. Opportunity to be substitute to other snacks category of food products. Threats Competitors with long history in product category Internationally like, Heinz Sauce and ketchups of Heinz Indian, Top Ramen in Noodle and Knorr Soups. Single product focused competitors like Heinz sauce and Wai Wai Noodles. Less Entry Barriers in the Market segment for product category ITCs strong base in Indian Market. Substitute Product to Product Segment.

Comparison of Data sales Maggi top ramen per day sales

Suppy change

Conclusions .maggi has achieved a great position in market and this position is least affected by its competitors {top ramen ,wai wai,etc.} Law of demand lower the price higher the quantity demanded and vice versa works completely in case of maggi noodles Maggi for last 25 years had manage to remain unbeaten in the market because it has always gives more preference to the taste of people

Maggi: From two minutes to 25 years

By Khushboo Tanna, afaqs!, Mumbai, April 23, 2009 Section: News Category: Advertising

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On its 25th anniversary, Nestls Maggi has launched a campaign, inviting consumers to share their Maggi Moments
From a midnight snack to a lonesome bachelors emergency meal, Nestls Maggi has, over time, been a part of nearly everyones life. The instant noodle snack brand -- which is also one of the instant packaged food products that Indian consumers were exposed to -- is celebrating its 25th anniversary this year. To make consumers part of the brands journey, its latest communication talks about various memories people associate with Maggi. The ad has been conceptualised by Publicis India. It gives you a feeling of nostalgia, and works on the basic truth that everyone has at least one Maggi story to tell, says Emmanuel Upputuru, national creative director, Publicis India. Hemant Mishra, president and chief operating officer, Publicis India, goes a step further and declares that the ad is a co-creation of the brand and the consumer. Whenever there is mention of Maggi, a consumer will immediately start talking about his favourite style to cook/consume it, he says, while sharing an incident that happened with his own children. While they were on a family vacation to Leh, they came across Maggi that was cooked in local spices, which became an instant hit with his children. The new campaign is inspired by such truths, he explains. Maggi is born: The product journey

Back in 1984, instant noodles were an entirely new category. Maggi was then available in four variants -Masala, Chicken, Sweet and Sour and Capsicum. It is now available in Chicken, Masala, Tomato and Curry variants. In 2005, Nestl introduced Maggi Atta instant noodles and then Maggi Rice Mania as well. Both of these, apparently, couldnt match the original Maggi. Other products from the Maggi stable include Maggi Cuppa Mania, Maggi Sauces, Maggi Bhuna Masala, Maggi Healthy Soups and Maggi Magic Cubes.

Elements that have stayed constant in any Maggi film include the jingle -- Maggi, Maggi, Maggi in a singsong voice, the family setting, and the two minutes promise, which started off as a USP, but took a backseat eventually. Maggi has generally stayed away from taking the celebrity endorsement route. The only exception was roping in actor, Preity Zinta for a brief period, to promote the Rs 5 Chotu Maggi and the Maggi family packs. According to Mishra, all ads for the brand usually focus on the mother-child relationship; therefore, the brand has deliberately stayed away from celebrity endorsements. The mother and child are the celebrities for Maggi, he states.