Market Saturation of Maggi Noodles and

Way Forward
Submitted By:
Sujal Vulli (F-133)
Rubeena M.K (F-202)
Neeraj Kumar (F-101)
Contents
1 Executive Summary................................................................................................ 3
2 Background & Motivation....................................................................................... 4
3 Objectives...............................................................................................................
4 !esearc" Met"odo#ogy............................................................................................ $
%ntroduction............................................................................................................. &
$ 'na#ysis o( )ey Brands............................................................................................ *
$.1 Maggi................................................................................................................ *
$.1.1 +istory........................................................................................................ *
$.1.2 Marketing Strategy................................................................................... 1,
$.1.3 Marketing Mix........................................................................................... 1,
$.2 -o. !amen...................................................................................................... 12
$.2.1 +istory...................................................................................................... 12
$.2.2 Marketing Strategy................................................................................... 13
$.2.3 Marketing Mix........................................................................................... 14
$.3 /i..ee............................................................................................................. 1
$.3.1 +istory...................................................................................................... 1
$.3.2 Marketing Strategy................................................................................... 1$
$.3.3 Marketing Mix........................................................................................... 1&
& 0rimary Market !esearc" (rom 1onsumers............................................................1*
2 !ecommendations................................................................................................. 23
* '..endix 3Survey 4orm5........................................................................................ 24
1, Bib#iogra."y....................................................................................................... 2$
1 Executive Summary
Indian noodle market i !urrentl" #alued at ($1300) !rore i %ro&in% annuall" at a rate o' 1()-
20). Netle India *imited+ &it, t,e laun!, o' Ma%%i in 1-.2+ &a t,e 'irt to introdu!e t,e !on!e/t
o' intant noodle to t,e Indian !onumer. 0nd in!e t,en Ma%%i ,a enjo"ed ,u%e market ,are
nearin% -0). 1o&e#er in t,e /at !ou/le o' "ear t,e market ,a een multi/le bi% /la"er like t,e
Niin+ I23+ 14*+ 5SK et!. 2,e ale #olume o' Ma%%i ,a in!reaed but t,ee ot,er /la"er ,a#e
eaten into t,e ,are o' Ma%%i (!urrentl" at 6.0)).
7e+ a a %rou/+ anal"8ed t,e !onumer be,a#ior and /re'eren!e and alo tudied t,e major
!om/etitor o' Ma%%i in t,e Indian market. 7e !olle!ted data 'rom t,e "out, e!tion 'rom #ariou
/art o' India and t,en anal"8ed 'or #aluable ober#ation &it, di''erent table and %ra/,. 2,e
!olle!ted &a data aut,enti!ated 'rom t,e broader national /er!enta%e 'i%ure. 9n t,e bai o' t,i
&ork &e ,a#e made re!ommendation o' /oible &a" to im/ro#e t,e Ma%%i ,are and alo to
kee/ u/ &it, t,e !om/etition in t,e market.
It &a ober#ed t,at Ma%%i i mot /re'erred 'or it tate and !on#enien!e &,ile 'la#or #ariet"+
,ealt, and /a!ka%in% are not in#itin% !onumer to t,e /rodu!t. 0lo+ Ma%%i &a onl" been
/er!ei#ed a an e#enin% na!k and ,en!e &e e$/lored t,e /oibilit" o' #enturin% into t,e
break'at e%ment. 0dditional /oiti#e 'a!tor i t,at t,e Indian !onumer ,a#e o/ened u/ to
intant 'ood !ate%or" and alo demand !,oi!e due to e#eral reaon like t,e demo%ra/,i!+
urbani8ation+ !,an%in% 'ood ,abit+ time !ontraint et!.
Ke" 9ber#ation:
Ma%%i i a 'a#orite amon% !onumer 'or it tate and !on#enien!e; &,ile it !om/etitor
are alo bankin% on #ariet" o' 'la#or and /a!ka%in%.
Mot !onumer ,a#e t,eir /re'erred intant noodle brand on!e a &eek.
3onumer are &illin% to tr" ne& 'la#or in t,e !ontinental or re%ional market
Ma%%i i /er!ei#ed a an e#enin% na!k and i not een a a break'at o/tion
2 Background & Motivation
Intant noodle are dried or /re!ooked noodle and are o'ten old &it, /a!ket o' 'la#orin%
in!ludin% eaonin% oil. <ried noodle are uuall" eaten a'ter bein% !ooked or oaked in
boilin% &ater+ &,ile /re!ooked noodle !an be re,eated or eaten trai%,t 'rom t,e /a!ket.
Intant noodle ,a#e been around 'or o#er ,al' a !entur" on t,e %lobal menu !ard. 2,e" are
belie#ed to ,a#e been in#ented b" Momo'uku 0ndo+ t,e 'ounder o' Niin Food =rodu!t in
1-(. in >a/an.
In 1.?3+ >uliu Ma%%i de#elo/ed a 'ormula to add tate to meal+ &,i!, later /a#ed t,e &a"
'or Ma%%i and ot,er ea" to make 'ood /rodu!t. Ma%%i brand !ame into e$iten!e in 1.@2 in
S&it8erland+ &,en >uliu Ma%%i took o#er ,i 'at,erA mill. 0t t,at time durin% indutrial
re#olution in S&it8erland !reated 'a!tor" job 'or &omen+ &,o &ere t,ere'ore le't &it, #er" little
time to /re/are meal. <ue to t,i %ro&in% /roblem S&i =ubli! 7el'are So!iet" aked >uliu
Ma%%i to !reate a #e%etable 'ood /rodu!t t,at &ould be Bui!k to /re/are and ea" to di%et. It
&a t,e 'irt to brin% /rotein ri!, le%ume meal to t,e market+ &,i!, &a 'ollo&ed b" read"made
ou/ baed on le%ume meal in 1..?. Ma%%ie ,ad mer%ed &it, Netle 'amil" in 1-C@.
2oda"+ Ma%%i i an international brand kno&n 'or intant noodle+ ou/+ to!k+ bullion+
au!e and eaonin%. Ma%%i i /arti!ularl" &ell kno&n in India+ Ne& Dealand+ 0utralia+
Mala"ia+ =akitan+ Ni%eria+ t,e =,ili//ine and Sin%a/ore 'or it intant Ma%%i noodle. (Ma%%i
mee).
7e &ere moti#ated to /i!k t,i /roje!t be!aue:
1.) Ma%%i i a 'a#orite brand amon%t all t,e a%e %rou/ a 'ar a noodle are !on!erned. Ma%%i
enjo" e$!e/tional brand lo"alt". 7e &ant to tud" ,o& Ma%%i mana%ed to mono/oli8e t,e
market and enjo"in% t,i e$!e/tional brand lo"alt".
2.) 2,ere are a lot o' brand e/e!iall" in de#elo/ed !ountrie &,i!, 'a!e t,e !,allen%e o'
aturation. 7e &anted to tud" a aturated market and undertand t,e &a" to di#eri'" or
e$/lore ne& o//ortunitie.
3 Objectives
2o tud" t,e e#olution and /rodu!t li'e !"!le o' EMa%%iE noodle in India
2o tud" t,e !om/etiti#e land!a/e o' noodle market indutr" in India.
2o anal"8e t,e /oitionin% o' EMa%%iE in t,e market.
2o !ondu!t a market ur#e" to undertand t,e !onumer /er/e!ti#e o' Ma%%i noodle
2o identi'" t,e !o/e 'or line or !ate%or" e$tenion in Ma%%i
2o u%%et /oible &a" to mo#e 'rom aturation ta%e to %ro&t, /,ae o' =*3.
4 esearc! Met!odo"ogy
2,e rele#ant data i !olle!ted 'rom bot, e!ondar" our!e i.e. Internet and t,rou%, /rimar"
our!e i.e. 3onumer Sur#e". 2,e data !ol l e!t ed &oul d ,el/ in anal"8in% t,e !om/etiti#e
land!a/e o' t,e noodle indutr" in India. It &ould 'urt,er ,el/ in undertandin% t,e Ma%%i
/oitionin%+ e#olution and /oitionin% o' #ariou brand in t,e market and &,at marketin%
trate%ie !om/etitor are 'ollo&in% to !a/ture t,e market ,are in u!, a !om/etiti#e market
&,ere Ma%%i i dominatin%. It &ould 'urt,er ,el/ u in re!ommendin% 'uture trate%ie &,i!, !an
,el/ Ma%%i to e$tend t,eir /rodu!t li'e !"!le and en,an!e t,eir ale
0lo+ our /rimar" reear!, ,el/ u to 'ind t,e /er!e/tion and /re'eren!e in t,e mind o'
!onumer 'or di''erent noodle brand. It ,el/ u anal"8in% ,o& !onumer t,ink o' Ma%%i
and it !om/etitor. 0lo+ &e tried to !olle!t !onumer /re'eren!e 'or #ariou line e$tenion o'
Ma%%i. 9ur 0nal"i and re!ommendation are baed on bot, e!ondar" and /rimar" reear!, data.
# $ntroduction
Noodle are a !ommodit" &,i!, i !onumed b" e#er"one+ ri%,t 'rom kid and teena%er to
retiree. In 'a!t+ India !onume a little le t,an -0+000 ton o' noodle e#er" "ear. 0 de!ade a%o
t,e &ord FnoodleA &a "non"mou &it, NetlGA FMa%%iA. 2&o-and-a-,al' de!ade in!e it
laun!,+ F2 minute Ma%%i NoodleA i t,e number one brand in t,e Indian market. Ma%%i noodle
till rule t,e market &it, more t,an t,ree-'ourt, o' t,e H 2+(00 !rore market in t,e ba%+ a o'
Se/tember 2012. Iut+ Ma%%i i loin% market ,are on a mont,l" bai to ne&er entrant u!, a
5la$oSmit,KlineJ (5SK) 1orli!k Foodle+ Sun'eat Ki//ee+ 1indutan 4nile#erJ (14*) Knorr
Sou/" noodle+ Ii% Ia8aarJ 2at" 2reat+ 2o/ Ramen and e#eral ot,er maller /la"er+ a!!ordin%
to data b" market reear!, 'irm Nielen. Ki//ee ,a done &ell to %rab a double-di%it ,are. 2o/
Ramen 'rom Niin Food o' >a/an+ &,i!, entered t,e !ountr" &a" ba!k in 1-..+ ,a a C.3) li!e
o' t,e /ie. 0!!ordin% to S,ub,ajit Sen+ e$e!uti#e #i!e /reident 'or marketin% at 5la$oSmit,Kline
(5SK)+ 5SK de!ided to enter t,e e%ment be!aue E!onumer &ere lookin% 'or a !,oi!e in intant
noodle. Foodle !ome &it, t,e /un!, line o' ENoodle &it,out t,e JNoJE. 0#ailable onl" in t,e
multi-%rain and &,eat #ariant+ t,e /rodu!t i bein% /romoted a ,a#in% ,i%,er nutritional #alue
!om/ared to ot,er /o/ular brand. 2,e #ariou Indian !urr" tate maker 'urt,er added onto t,e
%lor" o' Foodle. 2,e main uniBue ellin% /ro/oition (4S=) o' Foodle i t,e #itamin-/a!ked
,ealt,-maker a!,et t,at !ome &it, t,e /a!k. 2,e initial re/one to Foodle i mu!, ,i%,er t,an
5SKJ e$/e!tation. Ma%%i brou%,t in t,e !ounter/artJ multi%rain /e!ialt" &,i!, &a a !om/lete
!atatro/,e. 2,e noodle &ere ti!k"+ mall L t,e tate maker de'initel" didnJt mat!, to t,e
'ormer. Matter &orened &,en I23 introdu!ed t,e Sun'eat "i//ee round &,eat noodle in t&o
'la#or. 0n in!redible tate maker &it, e$traordinaril" lon% noodle t,at blended &ell &it, t,e
#e%etable+ makin% it a /er'e!t ,ealt," na!k. It ure ,a %i#en Ma%%i a run 'or it mone". *ike
5SK+ 1indutan 4nile#er (14*) i uin% t,e tren%t, o' it Knorr brand -- alread" /o/ular 'or it
ou/ ran%e -- to mu!le it &a" into t,e intant noodle !ate%or".
Market etimate /ut t,e intant noodle e!tor in t,e !ountr" !urrentl" at around R. 1+300 !rore
(4SM2.. million) and %ro&in% at around 1() to 20) annuall". 0!!ordin% to ne& re/ort Buotin%
market reear!, 'irm Nielen+ on an all-India bai a!ro urban market+ Ma%%i ,a been teadil"
loin% market ,are to t,e ne& entrant. From a -0.@) market ,are in <e!ember 200-+ Ma%%i
li//ed to .?.() in >ul" 2010. 2,e indutr" &at!,er like 1arminder Sa,ni+ mana%in% dire!tor o'
7a8ir 3onultant+ a 'irm t,at 'o!ue on brand and t,e retail /a!e+ a" t,at it i likel" t,at
Ma%%iJ ,are &ould ,a#e 'allen 'urt,er in t,e re!ent mont,.
% &na"ysis o' (ey Brands
In t,e !urrent market+ 'ollo&in% are t,e major brand a#ailable in t,e intant noodle
market and anal"i o' all o' t,em i done:
Ma%%i
2o/ Ramen
Sun'eat Ki//ee
6.1 Maggi
In India+ t,e brand EMa%%iE &a made /o/ular b" Netle+ &,i!, introdu!ed t,e /rodu!t ,ere under
in 1-.C.
%)1)1 *istory
Ma%%i Noodle !ame &it, a tantali8in% /romie N read" to eat
in jut t&o minute. 2,e !ombination o' !on#enien!e and tate
/ro#ed to be /otent. 9#er t,e "ear+ ot,er brand like 2o/
Ramen 'rom Indo Niin+ 3,in%J Se!ret 'rom 3a/ital Food
and 7ai 7ai 'rom 35 Food alo &ooed t,e /a!e. Iut all o'
t,em /la"ed a ditant 'iddle to Ma%%i and !ould not make a
dent in it o#er&,elmin% -0)-/lu market ,are. It took
e#eral "ear and lot o' mone" 'or Netle to etabli, - it Noodle brand in India be!aue o' Indian
/"!,e.
Ma%%i ,a 'a!ed a lot o' ,urdle in it journe" in India. Netle India *imited introdu!ed t,e
Ema%%iE brand to Indian market a 2 minute noodle+ an intant 'ood /rodu!t. 2,e Indian
!oner#ati#e !utomer did not embra!e t,e /rodu!t initiall" due to traditional Indian 'ood ,abit.
Initiall" t,e !om/an" tar%eted &orkin% &omen on t,e /remie t,at Ma%%i noodle &a 'at to !ook
and ,en!e o''ered !on#enien!e. Sin!e t,i a//roa!, 'ailed+ Netle India *imited ,a re/oitioned
t,e /rodu!t a !on#enient to !ook 'or mot,er and 'un to eat 'or !,ildren. 2,rou%, it ad+ NI*
/oitioned Ma%%i a a J'unJ 'ood 'or kid &,i!, mot,er !ould /re/are eail". 2a%line like
JMumm"+ b,ook, la%i ,aiJ (Mom+ IJm ,un%r")+ JIa 2-Minute+J (9nl" 2 minute) and JFat to 3ook
5ood to OatJ e''e!ti#el" !ommuni!ated t,e /rodu!tJ bene'it to tar%et !onumer.
<urin% t,e introdu!tor" /,ae+ t,ere &a no !om/etition+ and t,e ale &ere lo&. 0'ter t,e
re/oitionin% o' brand and ue o' a%%rei#e /romotion trate%ie+ ma%%i entered t,e %ro&t, /,ae
and tarted reali8in% /ro'it and %ainin% market ,are. It &a t,e no.1 brand in t,e intant noodle
market. Ma%%iJ 'irt /rodu!t e$tenion &a Ma%%i intant ou/ laun!,ed in 1-... In t,e earl"
2000+ t,e NetlG 5rou/ ,ad been takin% meaure to tran'orm itel' into a J,ealt, and &ellneJ
!om/an". In Mar!, 200(+ t,e Ma%%i brand too took to t,e ,ealt, route &it, t,e laun!, o' Ve%etable
0tta Noodle and !,an%ed ta%line to P2ate I,i 1ealt, I,iQ. Ma%%ie ,a laun!,ed man" ot,er
#ariant in!e 200(. Follo&in% are t,e #ariant a#ailable 'or Ma%%i noodle:
Ma%%i Ve%etable Multi%rain8 Noodle
Ma%%i 2-Minute Noodle
Ma%%i 3,i!ken Noodle
Ma%%i Ve%etable 0tta Noodle
Ma%%i 3u//a Mania
Ma%%i Maala Ma%i!
%)1)2 Marketing Strategy
Ma%%i em/lo" belo& mentioned marketin% trate%" 'or /romotin% it /rodu!t:
1.) 2V 0d#ertiement: Mainl" 'o!uin% on !,ildren. 1o&e#er+ re!entl" laun!,ed PMe and Meri
Ma%%iQ &a not 'o!ued on an" %rou/.
2.) =romotional !am/ai%n in !,ool i one o' t,eir ke" /romotional a!ti#itie
3.) <i''erent =a!k: Ma%%i i a#ailable in #ariet" o' /a!k. Smaller /a!k !otin% R. ( i
tar%eted to lo&er in!ome %rou/.
C.) Ma%%i !am/ai%n P2ate I,i 1ealt, I,iQ i meant 'or ,ealt, !autiou /eo/le. 2,i i to
diao!iate ma%%i &it, taboo o' bein% un,ealt,"
%)1)3 Marketing Mix
%)1)3)1 +roduct
Maggi "as #ots o( variants avai#ab#e to cater t"e demands o( variety o( segments. Som
e o( t"ese .roducts 6ere immense "it7 e.g. Maggi 'tta 8ood#es and some 6ere
immediate 9o.7 e.g. Samb"ar 9avor nood#es.
Follo&in% are t,e #ariant a#ailable 'or Ma%%i noodle:
Ma%%i Ve%etable Multi%rain8 Noodle
Ma%%i 2-Minute Noodle
Ma%%i 3,i!ken Noodle
Ma%%i Ve%etable 0tta Noodle
Ma%%i 3u//a Mania
Ma%%i Maala Ma%i!
%)1)3)2 +ackaging
Maggi is .acked in t"e ye##o6 .ackets. -"e ti. o( t"e .acket is :i..ed so t"at
t"e contents can easi#y be s.i##ed 6it"out 6asting it. %t "as so#ved t"e .rob#em
o( storage.
%)1)3)3 +"ace
Netle Ma%%i noodle ,a bein% tarted b" netle in India. Netle Ma%%i noodle i 'amou not onl"
in urban area but alo in rural area. It i ri%,tl" a#ailable at number o' retail ,o/ and mall o
t,at !onumer !an eail" /ur!,ae t,e /rodu!t &it,out mu!, e''ort.
%)1)3)4 +romotion
9#er t,e "ear ma%%i be!ame a inte%ral /art o' t,e Indian ,oue,old like ot,er 'm!% like !oke or
/e/i. 2V !ommer!ial /la"ed an im/ortant /art in it.
Olement t,at ,a#e ta"ed !ontant in an" Ma%%i 'ilm in!lude t,e jin%le -- FMa%%i+ Ma%%i+ Ma%%iA
in a in%-on% #oi!e+ t,e 'amil" ettin%+ and t,e Ft&o minuteA /romie+ &,i!, tarted o'' a a 4S=+
but took a ba!keat e#entuall".
Ma%%i ,a %enerall" ta"ed a&a" 'rom takin% t,e !elebrit" endorement route. 0!!ordin% to
Mi,ra+ all ad 'or t,e brand uuall" 'o!u on t,e mot,er-!,ild relation,i/. P2,e mot,er and !,ild
are t,e !elebritie 'or Ma%%i+Q.
9t,er inno#ati#e ad like t,e ma%%i #oi!eo#er !am/ai%n &,i!, i a !olle!tion o' ,ort #i%nette+
,o&!ain% !onumerA memorie o' Ma%%i jut brou%,t ma%%i !loer to t,e ,eart o' India.
0 a /art o' it /romotional dri#e+ Ma%%i ,a laun!,ed a &ebite+ meandmeri.in+ &,ere !onumer
!an u/load t,eir Ma%%i moment and ubmit t,eir 'a#orite Ma%%i re!i/e. 3onumer+ &,oe torie
or re!i/e are a ,it &it, t,e !om/an"+ &ill %et a !,an!e to be 'eatured on Ma%%i /a!k or ad.
0/art 'rom t,e 2V !ommer!ial t,e" /romoted t,e /rodu!t b"
1. <itributin% 'ree am/le.
2. 5i#in% %i't on return o' em/t" /a!ket.
3. <r" am/lin%-ditributin% Ma%%i /a!ket
C. 7et am/lin% - ditributin% !ooked Ma%%i.
(.0#ailabilit" in di''erent /a!ka%e (0%m+100%m+200%m+et!.. and
?. O''e!ti#e 2a%line 3ommuni!ation.
6.2 Top Ramen
>a/anee brand- Niin
2,e 2o/ Raman+ intant noodle /rodu!t o' Niin ,old @) market ,are in t,e R.1+300 !rore
market; &,ile NetlGA Ma%%i ,a an .0) ,are. 9t,er !om/etitor are 5SKA Foodle+ 14*A
Knorr Sou/" Noodle and I23 Sun'eat Ki//ee &it, 2.()+ 2.() and () market ,are
re/e!ti#el"
%)2)1 *istory
In 1-(.+ Niin Food =rodu!t 3o+ *td in >a/an introdu!ed a 3,i!ken Ramen+ t,e &orldA 'irt
intant noodle /rodu!t. In 1-@0+ !om/an" tarted it 'irt o#erea o/eration in 4S0. 2,e /rodu!t
line introdu!ed in 4S &a !utomi8ed to t,e /e!i'i! need and tate o' t,e re%ion.
In 1--1+ Niin made it debut &it, >a/anee t"le ou/" noodle &it, o"a 'la#or+ old in /illo&
/a!k but 'ailed to make a mark in t,e Indian !onumer market. Iut later on t,e lo!al 'la#or &ere
made a#ailable like t,e maala noodle+ /i!" noodle+ =ani =uri et!
Su/er Noodle N Maala+ 2omato+ !,i!ken
0tta noodle
3u/ noodle N Mat maala+ /i!" #e%etable+ tan%" !,i!ken+
Mini !u/ noodle N Man!,urian+ 2omato+ /ani /uri
Mu% noodle -- Mat maala+ /i!" #e%etable+ !,i!ken ramen
9at Noodle N Kumm" maala+ 2an%" tomato+ 3ream" !,eee+ (*atet laun!, !ate%or")
Firt re-laun!, -1--2 a an ea" to /re/are na!k 'ood. 0lo added 'e& 'la#or and !,an%ed t,e
te$ture o' t,e /rodu!t to di''erentiate it. It ne& lo%an - + F<onAt be a noodle+ be a moodleA 'ailed
to make a !onne!t &it, !onumer.
*ater 2o/ Ramen !,an%ed it /oitionin% on!e a%ain to Fmoot, noodleA and /la"ed emotionall"
&it, t,e !onumer e%ment N Indian kid b" dra&in% a /arallel &it, Mo&%li+ t,e 'i!tional !,ara!ter
'rom Rud"ard Ki/lin%A ,ort torie. 2,e" &ent on to !on#e" t,e mea%e t,rou%, ad#ertiin% t,at
'eatured a bo" lot in t,e jun%le+ &,oe mot,er /re/are 2o/ Ramen noodle a a &a" to 'ind ,im.
2,e bo" rea//ear+ dra&n b" t,e aroma o' t,e noodle+ and 2o/ Ramen+ in t,e /ro!e+ unite t,e
'amil".
%)2)2 Marketing Strategy
2,e !om/an" no& &ant to 'o!u on it ,ealt, bene'it. 2,e re#am/ in!lude !,an%e in t,e lo%o to
make it louder+ bolder and a lot more modern. Furt,ermore+ t,e !olor o' t,e 'ont ,a been !,an%ed
'rom bla!k to red. 3reated a ma!ot+ 2o/ Io"+ and introdu!ed a ne& ta%line+ JIe t,e !,am/ionJ.
2,i !ome at a time &,en mot 'ood brand ,a#e !ottoned on to F,ealt,A a a di''erentiator. Ma%%i
,a a ,ealt," atta #ariant and ,a re!entl" laun!,ed it 'our-%rain noodle. 5SKA Foodle i bettin%
on t,e ,erita%e o' it /arent !om/an" to /oition it noodle on t,e ,ealt, /lank.
2,e brandA 'o!u on F,ealt,A in %eneral and Fener%"A in /arti!ular i a//arent 'rom t,e brandA
!,oi!e o' Saina Ne,&al a ambaador. Iut mot,er /la" a ke" role in /ur!,ain% de!iion. 2o
addre t,e t&o tar%et e%ment+ t,e tele#iion !ommer!ial &ill air on !,ildrenA and 1indi %eneral
entertainment !,annel. 2,e re/oitionin% e$er!ie &ill alo mani'et itel' t,rou%, it ne&
/a!ka%in%+ online initiati#e and on-%round a!ti#ation.
In India+ t,e brand !urrentl" rea!,e 3 lak, outlet. 3om/are t,at to NetlGA Ma%%i+ &,i!, rea!,e
20 lak, outlet. 2,e !om/an" i enurin% t,e brandJ tron% /reen!e inide retail outlet+ and at
/oint o' /ur!,ae+ to in'luen!e /ur!,ae de!iion.
Indo Niin i t,e leader in !u/ noodle+ unlike /illo& /a!k noodle+ &it, ?( /er !ent ,are o' t,e
R 3?-!rore market. Niin &a t,e 'irt to introdu!e t,e read" to eat !u/ noodle &,i!, &a more
!on#enient t,an t,e /illo& /a!k one needin% !ookin%.
7," Niin N 2o/ Ramen did not rea!, u/ to t,e ta%e o' Ma%%iR
Ma%%i i a /ioneer brand laun!,ed in 1-.2 and 2o/ ramen laun!,ed almot 10 "ear later
Ma%%i reali8ed t,e to/ !onumer a kid N t,ere'ore !ame &it, ta%line like P2&o Minute
noodleQ+ P<o Minute K,u,i"an (,a//ine)Q. Iut Niin made t,e blunder &it, t,eir ta%
line P<onAt be a noodle+ be a Smoodle.
2o di''erentiate+ it !ould build 2o/ Ramen a a brand t,at i a F'riendA+ a o//oed to t,e ima%e o'
Ma%%i+ &,i!, i more like t,e Fmot,erA.
%)2)3 Marketing Mix
%)2)3)1 +roduct
It i a /rodu!t t,at i di''erent in term o' noodleA ,a/e. It i di''erent 'rom ot,er like Ma%%i or
Ki//ee. I /i!ier t,an ot,er intant noodle a#ailable in t,e Indian market and ,a a ditin!t aroma.
0#ailable in attra!ti#e /a!ka%in% t,at i red in !olour and !at!,"
%)2)3)2 +rice
2o/ ramen !urr" 320 %m N R ?2 2o/ ramen maala 300 %m N R C0. 2o/ roman !urr" @( % N 1?
ru/ee 2o/ Ramen maala N R 10. 3om/etiti#e &it, t,e market /ri!e
%)2)3)3 +"ace
2o/ Ramen initiall" tied u/ &it, Mari!o 'or ditribution. In 200.+ t,e allian!e &a mutuall" !alled
o'' and Niin built it o&n ditribution net&ork.
%)2)3)4 +romotion
2,e e%ment aimed b" 2o/-Ramen i 1?-3(. Inno#ati#e. *aun!,ed t,e %ra#" ,ea#" N !u/ noodle
and till ,old -0) o' t,e market ,are in t,at. O$!e/t 'or t,e 'irt /,ae o' brand /romotion+ 2o/
Ramen did not ,a#e an" &ort,&,ile !am/ai%n in it 1. "ear o' e$iten!e.
6.3 Yippee
Sun'eat Ki//ee i a brand o&ned b"
I23 (Indian 2oba!!o 3om/an").
2,e" &ere laun!,ed dire!tl" in !om/etition
to Ma%%ie and ,a#e been able to !a/ture a i%ni'i!ant ,are (around ()) in t,e intant noodle
market in India.
%)3)1 *istory
Sun'eat+ t,e re/uted bi!uit brand laun!,ed in 2003+ &it,in a /an o' @ "ear+ ,ad e$/anded it
/reen!e in !ate%orie like bi!uit+ /ata in noodle. Sun'eat made it 'irt brand e$tenion in
200( &,en it laun!,ed Sun'eat =ata 2reat and !reated t,e /ata !ate%or" in t,e Indian market. In
Se/tember 2010 + t,e brand laun!,ed it noodle brand e$tenion- Sun'eat Ki//ee.
Sun'eat ( I23) i a &ort," /la"er to take on t,e mi%,t o' Ma%%i.. 2,e brand alo o!!u/ied %ood
,el' /a!e in mot o' t,e lar%e retail 'ormat a it ,a built u/ it ima%e in bi!uit buine &it, it
,i%, /ro'ile !am/ai%n 'eaturin% S,a, Ruk, K,an . Sin!e Sun'eat i alread" in 'ood buine+ it
make e!onomi! ene to laun!, noodle under t,i brand. In t,e brandin% o' noodle+ Sun'eat ,a
ado/ted an endorin% tru!ture &,ere Sun'eat brand &ill endore t,e Noodle brand EKi//ee E .
2,e look o' t,e brand a" t,at it i %oin% to be /oitioned a a ,a//"+ #ibrant+ 'un lo#in% brand.
2,e /rodu!t ,a 2 intrini! !om/onent- t,e noodle blo!k and t,e maala mi$. 2,e ke" in%redient
o' t,e noodle blo!k i &,eat. 2,e our!in% and blendin% e$/ertie t,at made 0,ir#aad IndiaJ No.1
brand ,a been le#era%ed to make a rul" deli%,t'ul noodle blo!k
%)3)2 Marketing Strategy
STP Analysis of Yippee:
Segment Target
<emo%ra/,i! 0%e: 3,ildren and "oun%ter o' a%e (-2( "r
In!ome: Middle !la and abo#e
9!!u/ation : 4rban 'amilie &it, !,ool %oin%
!,ildren+ !olle%e %oin% tudent+ &orkin%
/ro'eional
5eo%ra/,i! 4rban+ emi urban
="!,o%ra/,i! Fat 'ood lo#er
1ealt, !on!iou /eo/le
Ie,a#ioral 3utomer eekin% bene'it like : ,ealt,"+ non-
ti!k" and ea" to !ook noodle 'or
!onum/tion
Positioning:
Sun'eat Ki//ee ued bene'it /oitionin% !on!e/t in &,i!, t,e" tried to /oition t,e /rodu!t a a
better alternati#e to Ma%%i on t,e bai o' 'ollo&in% t,ree di''erentiatin% !riteria :-
2,e 'irt /oint ued b" Ki//ee to /oition itel' a a better alternati#e o#er Ma%%i i t,at it
tell t,e !utomer t,at t,e" ,ould ,a#e t,e !,oi!e o' #ariet" o' maala &it, t&o #ariant in
t,eir /rodu!t /ort'olio N 3lai! and Ma%i!. 2,e tre &a made u/on t,e /oint t,at &e &ant
!,oi!e in ea!, and e#er"t,in% in li'e o &," not ,a#e a !,oi!e &,ile ,a#in% intant noodle.
2,e e!ond /oint 'o!ued on t,e ,a/e o' t,e !ontent &it,in t,e /a!k. 2,e !ontent in ot,er
o/tion a#ailable are in re!tan%ular ,a/e &,i!, ,a#e to be broken &,i!, lead to ,ort
/ie!e o' noodle+ &,ere a in Ki//ee noodle /a!k t,e !ake i in round ,a/e &,i!, kee/ t,e
noodle inta!t and lon% and moot,.
2,en t,ird t,in% t,at it 'o!ue u/on i t,e 'a!t t,at Ma%%i mut be ,ad immediatel" a'ter it i
!ooked a a'ter ometime t,e tate deteriorate and "ou !annot ,a#e it+ &,ere a Ki//ee
noodle /romie t,at t,e" !an e#en be ,ad a'ter ome time.
2,u it ,a tried to %i#e itel' a totall" di''erent /oitionin% 'rom t,e ot,er !om/etitor /reent in
t,e market and it i t,e onl" !om/etitor to Ma%%i &,i!, ,a de!ided to take it ,ead on &,ile
!om/etin% &it, it. 2,e ta% line o' Ki//ee i E2,e better noodleE.
2,e bi%%et ad#anta%e a#ailable &it, t,e Sun'eat Ki//ee noodle brand are a 'ollo&:
2,e dee/er /enetration /ro#ided b" t,e alread" &ell-etabli,ed and /enetrati#e ditribution
!,annel /ro#ided to I23 b" it !,annel member in t,e toba!!o buine &,i!, /ro#ide it
t,e mot /enetrati#e ditribution net&ork bot, in rural and urban India.
2,en it ued t,e Sun'eat brand+ t,ereb" uin% t,e 4mbrella brandin% trate%"+ &,i!, ,ad
alread" be!ome a &ell-kno&n name in t,e Indian ,oue,old be!aue o' t,e eBuit" t,at t,e
brand ,ad %ained in t,e mind o' t,e !onumer.
2,e 'inan!ial mu!le o' t,e I23 !on%lomerate to ba!k t,e !om/an" to ta!kle all t,e
!om/etiti#e mo#e in an e''i!ient manner.
%)3)3 Marketing Mix
%)3)3)1 +roduct
It i a /rodu!t t,at i di''erent in term o'
Package: red and "ello& !ontent
Contents: round !ake intead o' t,e re!tan%ular !ake a ued b" ot,er brand. It ,a
#e%etable in it maala+ &,i!, i /er!ei#ed a ,a#in% ,ealt, bene'it in t,e mind o'
!onumer.
Labeling : -0 %ram /a!k+ &,ere a t,e bi%%et !om/etitor Ma%%i i o''erin% .( %m /a!k
&it, t&o #ariant a#ailable and man" more lined u/ 'or laun!, in t,e !omin% mont,.
%)3)3)2 +rice
0#ailable at t,e /ri!e ta% o' R. 10 to mat!, t,e !om/etiti#e /ri!e t,at t,e ot,er !om/etitor are
o''erin%. 2,e #e%etable o/tion in Ma%%i i in Ma%%i 0tta noodle and it i /ri!ed at R.1(
%)3)3)3 +"ace
2,e ditribution rea!, i t,e bi%%et aet t,at I23 ,a %ot and Ki//ee i alo uin% t,i bi%%et
ad#anta%e o' I23 to /enetrate e/e!iall" into t,e rural market+ and ,el/ it rea!, e#er" nook and
!orner o' India at a ra/id /a!e.
%)3)3)4 +romotion
2,e !om/an" i 'o!uin% #er" ,ea#il" on t,e bene'it /oitionin% !on!e/t in t,eir ad 'o!uin% on
t,e bene'it or t,e ad#anta%e it ,a o#er Ma%%i a a !om/etitor.
, +rimary Market esearc! 'rom Consumers
2,i reear!, i done t,rou%, a ur#e" &,i!, &a 'loated online. 7e ,a#e tar%eted mainl"
tudentS"oun% /eo/le (0%e 1--30). Iaed on more t,an 100 re/one+ t,e !om/lete 'indin% and
anal"i o' t,e ur#e" i done belo&.
ata An al ys is a nd ! nter pre t atio n a nd Fi nd ing s :
"# W$at is your fa%orite brand of noodles& And w$at is spe'ial about your fa%orite brand&
(bser%ations of t$e 'onsumption pattern:
Ma%%i # 2o/ Ramen # Ki//ee:
1. 2,e /er!enta%e o' Ma%%i !onumer i t,e ,i%,et+ 'ollo&ed b" 2o/ Ramen and Ki//ee.
2. Major reaon o' !onum/tion are tate+ it i Bui!k to !ook and /ri!e+ &,ile in !ae o' Ki//ee+
t,e 'la#or + tate and ,ealt, 'a!tor ,a#e been t,e major reaon.
3. 3utomer do not /er!ei#e ,ealt, and #ariet" o' 'la#or a dri#in% 'a!tor in !onum/tion o'
Ma%%i
C. =a!ka%in% o' Ki//ee ,a been one o' t,e dri#in% 'a!tor 'or it !utomer.
"): W$i'$ Maggi pa'ket do you buy t$e most&
(bser%ations: Majorit" o' !utomer bu" /a!k o' R.10+ 'ollo&ed b" 'amil" /a!k and double
/a!k. 9ne o' t,e reaon 'or t,e ame i+ &,en Ma%%i doubleS'amil" /a!k i o/ened+ and i not
!ooked at on!e+ /eo/le 'a!e a /roblem i tora%e o' le't o#er noodle.
"*+ ,ow fre-uently do you 'onsume Maggi and w$at o''asions do you prefer to $a%e Maggi&
W$at do you prefer in your breakfast&
(bser%ations :
FreBuen!" o' majorit" o' !onumer i on!e a &eek. 0round 30) !onume Ma%%i on!e in
a mont, or le.
=eo/le do not #ie& Ma%%i a a break'at o/tion. It i #ie&ed more a a na!k item.
=rodu!t !onumed b" t,e majorit" are 9at 'ollo&ed b" Indian break'at+ noodle and
#ermi!elli.
".+ o you prefer to $a%e /$inese0!talian fla%ors1 region spe'ifi' fla%ors & W$at ot$er fla%ors
do you like to $a%e in Maggi&
Observations;
'round &,< o( customers 6ou#d #ike to "ave internationa# 9avors #ike 1"inese
and %ta#ian 9avors7 and a#so region s.eci=c 9avors #ike +yderabadi7 0unjabi7
>e#"i 7 etc.7
4#avors t"at consumers .re(er to "ave ; 1"eese7 c"i##i7 s.icy c"at7 .aneer
- ecommendations
Iaed on t,e /rimar" reear!, 'indin% %i#en abo#e+ &e !an make 'ollo&in% re!ommendation:
1. Ma%%i !an 'o!u on ,ealt, 'a!tor and introdu!e #ariant in it /rodu!t a!!ordin%l". 2,i
!an ,el/ Ma%%i %ain t,e ,ealt, !on!iou !utomer e%ment.
2. Ma%%i !an introdu!e di''erent ,a/e in t,e Ma%%i blo!k &,i!, attra!t !,ildren. For
e$am/le: In t,e ,a/e o' ball+ tar+ trian%le+ et!. and alo t,e !o#er ued 'or /a!ka%in%
,ould bear a imilar ,a/e+ o t,at !,ildren !an ,a#e a tou!, and 'eel o' t,e ,a/e.
3. In t,e doubleS'amil" /a!k+ a e/arate /a!kin% 'or ea!, indi#idual blo!k !an be introdu!ed+
o t,at t,e /roblem o' tora%e o' remainin% blo!k doe not o!!ur.
C. Ma%%i ne& re!i/e !an be ditributed &it, /ur!,ae o' doubleS'amil" /a!k+ &,i!, er#e
a a moti#atin% 'a!tor in /ur!,ain% bi%%er /a!k. Sin!e !utomer are una&are o' di''erent
kind o' Ma%%i re!i/e+ t,i !an er#e a a /lat'orm to ,are re!i/e.
(. FreBuen!" o' !onum/tion !an be in!reaed to a ,u%e e$tent i'+ Ma%%i enter into break'at
e%ment.
?. Ireak'at #ariant Ma%%i !an introdu!e: 9at noodle+ #ermi!elli t,at !an be !onumed &it,
milk and &it,out milk.
@. 2,e oat noodle #ariant !an be introdu!ed &it, #e%etable in t,e maala a it mut be
/oitioned e$!lui#el" a a ,ealt," /rodu!t and !an be !onumed 'or break'at.
.. Ne& #ariant in 3,inee and Italian noodle !an be introdu!ed. For e$am/le: S/a%,etti+
3,inee Man!,urian 'la#or+ et!. It !an be introdu!ed at a maller !ale in ele!t re%ion and
in re%ular R.10 /a!k. It !an be e$tended to lar%er !utomer bae+ de/endin% on t,e
re/one.
-. 2,ere i a ,u%e !o/e o' introdu!in% #ariant in t,e Indian 'la#or+ like 3,illi ,ot+ !,ee"
deli%,t+ /i!" !,at+ tan%" tomato+ /aneer+ et!.+
From t,e tud" and reear!, re#ie&+ t,e 'ollo&in% u%%etion !an be in!or/orated:
1. Sin!e+ t,e 4S= o' Ki//ee i t,at it doe not ti!k e#en i' !onumed ometime a'ter !ookin%.
Similar attribute ,a to be introdu!ed in Ma%%i a it ,el/ lo"al !utomer bae o' Ma%%i
ti!k to it. Some mi%,t &ant to ,i't to Ki//ee jut be!aue o' t,at 'a!tor.
3ri/" noodle ,a not introdu!ed o 'ar in t,e branded noodle e%ment. Ma%%i !an ,a#e a 'irt
mo#er ad#anta%e i' it !ome &it, u!, /rodu!t.
. &//endix 0Survey 1orm2
13 Bib"iogra/!y
Sour'es:
"tt.;??666.maggi.in?
"tt.;??666.nissin(oods.com?to.ramen?
"tt.;??666.sun(eastyi..ee.com?
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,tt/:SSarti!le.e!onomi!time.indiatime.!omS2003-01-0?Sne&S2@(?0CC-T1Tintant-noodle-indo-
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