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PRODUCT LIFE CYCLE OF

MAGGI AND YIPPEE NOODLES
Presented by: Group 3
Submitted to: Prof. Maulik Shah
Group Members
Names Enrollment No.
Gupta Kanhaiya 168360592020
Jadeja Khyati 168360592024
Rangwani Mamta 168360592049
Shah Ankita 168360592050
Sharma Harshal 168360592052
Sorathia Jignesh 168360592054

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Product Life Cycle
A concept that provides a way to trace the
stages of a product’s acceptance, from its
introduction(birth) to its decline(death).

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Overview of Maggi
• Its brand of instant noodles made by Nestle India Ltd.
• It was found by Maggi family in Switzerland in 19th
century.
• Nestle launched Maggi for first time in India in 1982.
• The brand is popular in Australia, India, Malaysia, New
Zealand, Singapore.
• Nestle wanted to explore the potential for instant food
in Indian market.
• It took several years and lot of money for Nestle to
establish its Noodles brand in India.
• Now it enjoys around 80% market share in this segment.

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Introductory Stage
• High failure rates
• No competition
• High marketing and production cost
• Nestle India Limited an Indian subsidiary of
the global FMCG major, Nestle introduced
the Maggi brand in India with its Maggi 2
minute noodles.

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Market Penetration
• Promotional campaign in school
• Advertising strategies: focus on young
children
• New product inventions according to the
need of customers : Vegetable Atta noodles,
Oats noodles.
• Different packaging: 50grms, 100grms packs.

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Growth Stage
• Increasing rates of sales
• Entrance of competitors
• Initial healthy profits
• Development cost are recovered
• In 1990 the demand for Maggi noodles started to fall due
to launch of Top Ramen, another instant noodles product.
• So in order to increase sales Nestle formulated the flavour
of Maggi noodles which was not accepted by the
customers.
• In 1999 Nestle re-launched the old version of Maggi
noodles, after which the sales revived

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Maturity Stage
• Declining sales growth
• Saturated market
• Extending product lines
• Heavy promotions to dealers and customers
• Price and profit falls

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Decline Stage
• Long drop in sales
• Large inventories of unsold items
• Eliminations of all non-essential marketing
expenses

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 Overview of Yippee
• In 2010, ITC launched its noodles brand named Sunfeast
Yippee.
• Sunfeast (ITC) is a worthy player to take on the might of
Maggi. ITC is a company that is not averse to taking risk and
have a huge cash reserve to fight a marketing war with
Nestle.
• ITC product portfolio has been further expanded with
Sunfeast Yippee Instant noodles.
• Wheat is also a key ingredient of the noodles.
• At present, Sunfeast Yippee is available in three variants
Chinese Masala, Classic Masala and Magic Masala.
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Introductory Stage
• Yippee was introduced in the market in 2010 to
compete against the market leader NIL Maggi.
• Yippee till 2015 before Maggi crisis was growing
at an moderate rate.
• As Maggi has gained it's market share by
positioning themselves, Yippee attempted to
position themselves in some different ways and
coming up with solutions of problem which were
faced by Maggi user's.

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Market Penetration
• Promotional campaign through various
attractive advertisements.
• Mainly targeting children and grab their
attention.
• New product development by offering non-
sticky noodles which differentiate it from
Maggi.
• Different packaging: 70grms, 140grms,
240grms
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Growth Stage
• Before Maggi crisis ITC Yippee was growing
at around 40% every year.
• During the period of Maggi ban it growth
jumped to 80% doubled up the market share
of yippee in 2016.
• As the result, Yippee gained around 40%
market share and stood 2nd position while
the first was still the Maggi.

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Thank You

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