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FMCG industry, alternatively called as CPG (Consumer packaged goods) industry primarily deals with the production, distribution i i hn. he vis Consumer Goods (FMCG) are those consumables which are normally consumed by the consumers at a regular interval. Come of the prime activities of FMCG industry are selling, marketing, financing, purchasing, etc. The industry alco engaged in operations, supply chain, production and general management. Examples include non-durable goods such as personal care, househ ve the consumables. Though the profit margin made on FMCG producte _ig_relatively mall they are generally sold in large quantities. The Fast Moving Consumer Goode (FMCG) inductry in India ig on of the largest sectors in the country and over the yearc has “been growing at a very steady pace. The Indian FMCG industry is largely classified as organized and unorganized Thic sector i¢ : i : ed industry ic alco marked by a strong distribution network coupled with increasing influx of MNCs across the entire value chain. Thie_sector continues to remain highly Fragmented. INTRODUCTION OF NESTLE COMPANY Nestlé_i¢ the world's leading nutrition, health and Wellness _Compary. Their mission of ‘Good Food, Good Life” i¢_to provide consumers with the best tasting, most nutritious choiceg in a wi VE inn ion from morning to night. The Nestlé Corporate Businese Principles are at the basic of their company's culture, developed over 140 _years, which reflects the ideas of fairnece, honesty and_long- term thinking. Nestlé can trace ite origine back to 1866, when __the first European condensed milk factory was opened in Cham, Gwitzerland, by the Anglo-Swice Condensed Milk Company. One Ati g, jn he is A BY the world's first prepared infant cereale Faring lactée’ in Vevey __ Switzerland. ‘Good Food, Good Life” i¢ the promice they commit to everyday, everywhere - to enhance lives, throughout life, with good food and beverages. Business of the Nestle Nestle _It_ig_the largest food company in the world. It _i¢ precent in all five continents, has an annual turnover of 74.2? billion Swiss h ie ning it A having 231,000 employs Company Mission At_Nestle, they believe that research can help them to make __better food, co that people live a better life. Good food i¢ the primary source of good health, so they are trying to make good food. To provide frech and pure products to the customers, they introduced (SHE) Safety, Health and environment policy to protect health of their employs and _ kee; clean their currounding environment. Company Vision Vision of Nestle Milkpak Company i¢ to expand business in thei ins i As_per_ their company vision in 2020 production capacity of all plants working in Pakistan i¢ being increased. So extension of _Kabirwola Plant ig the example of their company vision. _Ever_since ite launch in India_in 1783, thie brand has become synonymous with noodles. The bright red and yellow coloure of. the packet with the brilliant blue “2-minute oodles” printed on A Hn itehen. Ove th has grown oc a brand and positioned itself ac a “Fast to cook! Good to Eat!” Food product. The hictory of thie brand. traces bock to the 17th century when industrial revolution in Switzerland created factory jobe for women, who were therefore _left_with very little time to prepare meal. Due to thie growing roblem Swiee Public Welfare Society asked a miller named Juliuc foagi : ki J, : __to prepare and easy to digest. Juliuc, the con of an Italian immigrant come up with a formula to bring added taste to meale in 1863. Soon after he was commicsioned by the Cwige Public Welfare Society, he came up with two ingtant pea soups _& a bean soup- the first launch of Maggi brand of instant ‘oods in _1882-83.Jowards the end of the century, Maggi pany we ie a je we ul ubes, sauces and other flavourings. H owever_in India (the largest consumer of Maggi noodles in the world!) it was launched in 1980 by Nestle group of companies. Maggie had merged with Nectle fasmily in 174?. When launched it other competitor the co called home made snacks which are till today considered healthy and hygienic. Hence to capture the market it was positioned as a hygienic homemade snack, a smart move. But still thic didnt work as wm wi the wrong he workin: women. After conducting an extensive research, the firm found that the children were the biggect consumers of Maggi noodles. Quickly a strategy was developed to capture the kide cegment with various tools of alee promotion like pencils, fun books, Maggi clube which worked wonders for it. No doubt the ade of Moggi have chown a hungry kid soying “Mummy bhookh lagi hai” which his on ies “¢ inute!” he is happily eating Maggie noodles. Further the MAGGI 2-MINVTE Noodles hac been renovated to provide 20% of the RDAI of Coleium and Protein for the core target group building on th nutrition proposition “Taste bhi health bhi” The company could. have easily positioned the product ag a meal, but did not, ac a study had chown that Indian mentality did not accept anything h hh ic i meal. Th gnack that could be prepared in just two minutes. The formula clicked well and Maggi became a brand name. MARKET SEGMENTATION. TARGETING AND POSTTIONING OF _MAGCCL ig the process of grouping people or organizations within _a market according to similar needs, characteristics, or behaviours. h ion A wan serve the target market i¢ the group of people or organizations whoce neede a product ic specifically designed to caticfy i¢ the uce of marketing to enable people to form a mental image of your product in their _minde (relative to other vroducto) bh 7 £ Moggi foggi M_inute Instant Noodlec it already associated with convenience and taste and i¢ currently occepted ac a valid filling snack between meale. Moggi will continue to leverage ite brand equity and target the following cegmente for thie product. Children and Teenagers: Thie_ic a large segment _and_i¢ Maggie stronghold. The age __group between and 14 years has largely similar tastes and i¢_ traditionally targeted by Maggi. These segments perceive Maggi instant noodles _as_a_weleome change _in_taste from the regular Indian fare and they are fascinated by the curly shaped noodles. For these segments innovative products also have novelty value, however, certain . : : ey a focus from the lady of the house to the end consumer i.e. children themselves e nding up ac the market leader of thi instant noodles cegment. Early buy in of thio cegment will help Maggi_to_sell_in other segmente in future. The studying age segment though not traditionally targeted specifically hac been devouring Maggi 2 minute noodles. The proposition of convenience of cooking ac weil ac_that of a tasty filling cnack attracts thie cegment which due_to erratic schedules keeps missing their regular meals. The Company alco targeted hi hi hy the one who refrechment time to time becauce of hectic cchedule and with would take their minimal time. So by keeping thio aspect into consideration, the company introduce the Cuppa mania, which ic a_type of noodle which takec lece time to cook and saticfy th hunger _as_well he p ing_on the heath aspect. They introduce Veg atta noodle for health sei 7 hy nich th Awaren ign to educate consumers about the benefits of health food. They health ich health i awareness among the masses. 7 ini wil ntin: with it | positioning of convenience and as a “fast to cook, good to eat” thie working we M_0ggi_ 2M inute Noodles will continue with ite current positioning of convenience and ac _a ‘fast to cook, good to eat” snack as thie seems to be working well. veh nth in market share some product innovation is required as otherwise Maggi _moy get stereotyped ag an unexciting product. Top Ramen _is following a cost differentiation technique. To_deal with thig Moggi hag to position itself ac a differentiated product. The market i¢ very sensitive to taste and. rejects any flavour it dislikes with Maggi having learnt it the he we he hh A ifferentic with on basic of taste. _On_the other hand Maggi has to deal with the negative perception of Maggi hac of being unhealthy in an increasingly health _conscioug market, a major threat _in the current scenario. Both thece probleme can be tackled by positioning Maggi ac a snack with nutritional value. The recent launch of “Veg Atta aes ne ; nutritional value ventures in thig area. The Company ig alco focusing om the heath hey in hn health conscious people. So they alco launch Health Awareness campaign the health he Hi health ich hh in| ion MAGGI_2_- MINUTE NOODLES: MAGGI 2-Minute Noodles is one of the largest and most loved. he hs in_India. Contin __to_spread joy ac it has done for the last 25 years, your __favorite MAGGI Noodles ic ac tasty ac ever and even provides ntiol _nutrien ife. With th on of Protein and Calcium MAGGI Noodles _i¢ available _in ors — hicken, Tom. ey ——-MAGCI VEGETABLE ATTA NOODLES: _MAGGT CUPPA_MANTA Maggi Oats Noodle(New). Rich Tomato ———————————— Cream of Mushroom Hot _& Sour Vegetable Sweet Corn Vegetable Creamy Spinach AGGI HEALTHY SOUPS. he _quintecsential Rich Tomi he ich _(No_Onion No Garlic) eae ee hl The tangy and “chatkaaredar” Iimli Pichkoo ther delight the con: now launch a range of products for tasty and healthy eating MUTRI-LICIOUS PAZZIA. This quick cooking pasta can be conveniently prepared in_just_5 minutes, atany time of the day that you want a healthy lighi r in ‘rom ji i rotein i _It_has being launched in two delicious flavours ‘Masala Penne’ nd “Che ni _MAGCT BHUNA MASALA. nsidering the pric ints in the me i,_it sh continue to position itself in the “cnack” category itself, since be_Nestlé's most widely digtributed brand in the country. independent channels, it hy vil where_th company hac no presence, according to Hegde. Thic ic alco the hi ie ve expected to come handy. (The regular pack comes for Re 10.) ion network ic _w ad. asily available in all retail stores. Distribution channel - PRODUCER - DISTRIBUTOR RET, R - CONSUMER They promote their product very effectively through televicion. They have applied the strategy of brand extension. They alco sponsor various cookery shows to promote alternate er They also use strategy of free product samples to promote it. Celebrity endorsements. €9. Javed Jofferi, Madhuri Dixit. Less promoted ac compared to maggi. No particular celebrity endorsement. Maggi has faced lot of hurdles in ite journey in India. The h A i¢_the_ Indian he. Tndie Palate _i¢ mot too adventurous in terme of trying new tastes. That may be the reason why we are still stuck with Dal So anew product with a new taste that too from a different culture will have difficulty in appealing to Indian market. Initially Nestle tried to position the Noodles in the platform of convenience targeting the working women. But it found that the ny ickin ite_heav ic then showed that Kido were the largest consumers of the brand. Realizing thie, Nestle repositioned the brand towards the kids using sales promotions and smart advertising. Now Indians are the largest eaters of Maggi Noodles in the world. Maggi Noodles ig a marketing success story. During 177? Maggi changed ite formulation. It wag during that time that Indo Nisin - a Jopanece company launched ite Noodlec brand _'To Ramen” with lot_of promotion and with ORK endorsing the and. gai i n it he oh in_taste of Maggi was a mistake. The consumers rejected the new taste of Maggi. And_in 1797 Maggi relaunched Noodles with the original taste. Nestle was ready to accept the consumerc verdict and it paid off handsomely. Top Ramen could not sustain the growth it had for long. Maggi's campaigns were revolved around ite ‘convenience to make and good to eat” oe - ce eo well_received by the market. In 2005 Nestle made a very smart move. It knew that although kide love noodles, the parente were bothered about the health aspect of Nocdlec which was made of Maida._Hence Maggi launched Maggi Atta Noodles with the baseline” taste bhi health bhi”. Reporte cuggect that after 10 months of the launch, the product hac been well received by indi Qh . jn i¢_an ind _th knows the customer and willing to learn from the mistakes. STRENGTHS in then Anytime hn Maggi_as_noodles. It has a huge brand loyalty. _It_has_ developed the huge distribution channel! network over __thousands of distributors, retailers etc. Hence Maggi ic available in_ev hop righ mn _th tos i in Tnnovative products for Indian taste bude such ag Maggi, Maggi ing hicken magi, tom vor which he them is more market as customer needs variety and they loved thoce flavors aswell. The_adverticing strategy for Maggi was a super hit ac their __tagline itself was very effective and grabbed the consumer's mind. sac A071, a Generic Brand to Noodles in India Cow rural market. presence constraints Uniform Brand for all food category Brand Proliferation M_aggi_realiced that one of the reasons for a low market share in Gujarat wag that most of. gujaratic do not eat garlic and Onions co for Gujarat Maggi has_come up with a special product which ig devoid of onions i ican it is i. This_h gain a completely unconquered market of Jain Noodle eaters. Nestle Tndia_i¢_out with a new marketing drive to mark the 25th anniversary thie year of ite inetant Noodlee brand, Maggi Called Me _& Meri Maggi, the campaign ic celebrating the consumer's aE a a oe acrose television, print and the internet, beside on-ground. activities. Nestle has alco launched an interactive website for the “consumers, www.meandmeri.in. The packaging has been tweaked to accommodate the picturec of concumere whose entrieg the Company chooses. “Tf a consumer has a story to tell about Maggi_will_ put him or her on the Packaging, [Vor print”. “Tt i¢ no longer _an aspirational product for any socio-economic category of consumers,” cays Hegde. That was alco the time when Nestlé was repositioning itself worldwide ac a health and wellness company. At the 7 ‘i oe other such events connected to mental and physical wellbeing. Thic_positioning gave Nestlé the platform to launch more products _under_the Maggi brand. It already had Maggi coups, sauces and coconut milk in the market, but given the strong equity of the brand, Nestlé could now extend it to newer categories. Thus, it recently came out with fried masala paste. nm wi SiOWS — i Bhun Moggi Cuppa Mania Instant Noodles . The company i¢ taking no chances and i¢_extending ite dictribution reach to cmaller towns and cities. Maggi happens to be Nestlé's most widely distributed brand in the country. Through independent channels,it reaches thos vil where thi hag_n in Thie_i¢ alco the time that Maggi’s value-for-money pack priced. at Re 5 ic expected to come handy. (The regular pack comes for Re 10.) They promote their product very effectively through televicion. They have applied the strategy of brand extension. They alco sponsor various cookery shows to promote alternate er They also use strategy of free product samples to promote it. Celebrity endorsements. €9. Javed Jofferi, Madhuri Dixit. Less promoted ac compared to maggi. No particular celebrity endorsement. Maggi has faced lot of hurdles in ite journey in India. The h A i¢_the_ Indian he. Tndie Palate _i¢ mot too adventurous in terme of trying new tastes. That may be the reason why we are still stuck with Dal So anew product with a new taste that too from a different culture will have difficulty in appealing to Indian market. Initially Nestle tried to position the Noodles in the platform of convenience targeting the working women. But it found that the ny ickin ite_heav ic then showed that Kido were the largest consumers of the brand. Realizing thie, Nestle repositioned the brand towards the kids using sales promotions and smart advertising. Now Indians are the largest eaters of Maggi Noodles in the world. Maggi Noodles ig a marketing success story. During 177? Maggi changed ite formulation. It wag during that time that Indo Nisin - a Jopanece company launched ite Noodlec brand _'To Ramen” with lot_of promotion and with ORK endorsing the and. gai i n it he oh in_taste of Maggi was a mistake. The consumers rejected the new taste of Maggi. And_in 1797 Maggi relaunched Noodles with the original taste. Nestle was ready to accept the consumerc verdict and it paid off handsomely. Top Ramen could not sustain the growth it had for long. Maggi's campaigns were revolved around ite ‘convenience to make and good to eat” oe - ce eo well_received by the market. In 2005 Nestle made a very smart move. It knew that although kide love noodles, the parente were bothered about the health aspect of Nocdlec which was made of Maida._Hence Maggi launched Maggi Atta Noodles with the baseline” taste bhi health bhi”. Reporte cuggect that after 10 months of the launch, the product hac been well received by indi Qh . jn i¢_an ind _th knows the customer and willing to learn from the mistakes. The campaign designed by Nestlé for _Moggi's silver jubilee hopes to work on the brand's strong consumer connect through televicion, the Internet and print. The India’s largest food products company, hac decided not to litter __the chy with hoardings on the occasion. Instead, the ade will play om nostalgia. Concumers who first sampled the brand as campaign ceeke to strengthen the kide now trun households. Th invited to chare their “Maggi association. Thus, customers will be moments” with the company. If the company likes the way you new website called www.meandmerimaggicom ic alco in the works. Convenience was the unique selling proposition of Maggi when it was launched 25 years ago. For the first time, consumers got something that was_hygienically packed and convenient to prepare. It was alco ‘adi hn in hn ic imeni Tnstant noodles was _an entirely new category in the country, but it was given an Indian twist. Maggi came in four varianteMasala, chicken, cweet & sour and. capsicum Of these, only two have survived masala_and chicken which in_ths natin the flagship flavour. In the days that followed, it experimented with more variante, like a garlic-and onion free one for Gujarat. Some of thece still exict, others were discontinued. The turning point came in 2005, when Nestlé came out with Maggi atta _(ubole-wheat flour) inctant noodles. All_over the country, atta _is_ considered healthier than maida_or refined flour which the wi i a high hy the health platform though Nectlé General Manager(food business) __Shivani Hegde insists that the product _never_ran the danger of being clascified junk food. It wae then that it added the tagline, health bhi, taste bhi (health as well ac taste). — 2 —————————————————————— The greatest opportunity for the product Maggi is their Unexploited rural markets as co far they have mainly targeted. cities and developed areas. Number_of youths working nowadays are increasing rapidly, co he new branch hy increase production and their by salec and profits by targeting rural markets. __Thereased affinity of Indiang towards chinese cuicine createc new opportunity for Maggi to improve ite tacte further and capture large market _chare. THREAT Presence of regional competitor's e9 Top Raman, Ching’s noodles. Price war strategies adopted by other brande like Top Raman. Competitors with long hictory in product category Internationally like, Heinz Sauce and ketchups of Heinz Indian, Top Ramen in Noodle and Knorr Soups. Noodles. less Entry Barriers in the Market segment for product category. ITC: strong base in Indian Market. --Substitute Product to Product Segment. though h h iferentiate it ‘rom _oth Noodles, Maggi Being taken as generic to Noodles _i¢ hampering hy hi z itore have high __to_capture the market differentiating then from being Maggi. It mokes_othere possible product category vulnerable if lunched inder ie i rolit ion Ke jatre new products to capture opportunities in other cnacke and ready 1 As inl new in strategy. By doing so, MIC could avoid the draw backs i with thy i ition new in competition with other competitor's brand where there i¢ no _fit_of product with the Maggi brand. though h h iferentiate it ‘rom _oth Noodles, Maggi Being taken as generic to Noodles _i¢ hampering hy hi z itore have high __to_capture the market differentiating then from being Maggi. It mokes_othere possible product category vulnerable if lunched inder ie i rolit ion Ke jatre new products to capture opportunities in other cnacke and ready 1 As inl new in strategy. By doing so, MIC could avoid the draw backs i with thy i ition new in competition with other competitor's brand where there i¢ no _fit_of product with the Maggi brand. http:[/wuw.nestle.in[bran Attp://virtualaceuracy.com/2007?/10/definition-of-marketing-mix- a Attp://www.managementstudyguide.com/ marketing -mix.htin Attp://www.maggi.in/maggi_multigrainz noodlec.acpr Attp://www.maggi.in[two_minutec_maggi_noodles.asp» Attp://www.maggi.in/vegetablec_atta_noodlec.aspx Attp:/[www.maggi.in/euppaimania.aspx www.maggi.in/maggi_multigrainz noodles.asp: Attp:/[wuw.maggi.inlran Attp://www.nestleprofescional.com/ unitedctates/en/BrandcAndProducts/P ages/defoult.as Attp://www.maggi.i imultigrain2 ni Attp://www.maggi.in/two_ minutes maggi_noodlec.as| http://en.wikipedia.org/wiki/Fast-moving concumer_goods

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