Description
PROJECT ON NESTLE MAGGI
MARKETING PLAN: NESTLE MAGGI
GROUP 5
Debjani Barua Tara Kiran Redkar Deepinder Singh Nash Ian Rodricks Sagar Bhisham Darira Sudipto Halder Advait autam Bhobe Suman !rakash
1
INDEX
1. Executive Summary Tara Redkar
1
2. Situation Analysis 2.1 Customers Tara Redkar
1 1
2.2 Competitors Sagar Darira
1
2.3 Company Tara Redkar
2
2. Context Tara Redkar
2
3. !arketing "pportunities and #ssues . "%&ectives 'as( #an Rodricks Sudipto $alder
3
). !arketing Strategy Deepinder Sing( )
*. Target !arkets Deepinder Sing(
+. ,ositioning De%&ani -arua
*
.. !arketing !ix
*
2
-
Advait -(o%e .
/. Revie0 and Control De%&ani -arua
11. !arketing "rgani2ation Sagar Darira
/
11. Contingency ,lan Suman ,rakas(
11
12. Re3erences
11
!arketing ,lan4 'estle !aggi5 #ndia
1. Executive Summary4 Nestlé India is a subsidiary of Nestlé S.A. of Switzerland headed by Peter BrabeckLetmathe ! h a i r m a n . Nestlé India is an effer"escent !om#any that #ro"ides consumers with #roducts of $lobal standards and is committed to lon$-term sustainable $rowth and shareholder satisfaction. %he com#any is known for its brands in the &ilk Products ' Nutrition Pre#ared (ishes !ookin$ Aids and !hocolates ' !onfectionery se$ments. Nestlé leads the "alue sales of noodles in India with a market share of )*+. ,"idence to Nestlé-s domination of sales of #lain noodles is the fact that India accounts for the hi$hest sales for the com#any for its instant noodles brand &a$$i amon$ all its $lobal offices. .ith se"en factories and a lar$e number of co-#ackers it has $rown into India/s lar$est food com#any. %he bi$$est brand in Nestle/s #ortfolio is &a$$i 0it o"ertook Nescafe about ten years a$o1. %his marketin$ #lan analyses the current marketin$ mi2 of &a$$i Noodles and studies the #o#ularity of brand 3&a$$i4 in India.
2. Situation Analysis
3
.e are analysin$ the situation usin$ 5! framework6 customers com#etitors com#any and conte2t 2.1 Customers India is the lar$est consumers of &a$$i noodles in the world. It was launched in 7)8* by Nestle $rou# of com#anies. Initially when it was launched in India it was tar$eted towards wron$ tar$et $rou#6 workin$ women. After conductin$ research they found out the bi$$est consumer se$ment was the kids. %hey shifted their focus to this se$ment by "arious tools of sales #romotion like #encils fun books etc also the ads of &a$$i showcased a hun$ry kid sayin$ 3Mummy bhook lagi4 to which the mother re#lies 3Bas do minute4. %he tar$et $rou# later on increased and included youth office $oers and health conscious #eo#le with income more than a lakh #er annum. %his $rou# usually comes under middle class and u#wards residin$ in urban semiurban and also rural areas. 2.2 Competitors ,"en thou$h it has been nearly three decades the brand has not faced any serious com#etition. Instead in all these years &a$$i has $rown e2#onentially to become a $eneric brand and has sin$le-handedly taken the instant noodles cate$ory from bein$ almost non-e2istent to a 9s 7 :** cr. one of which it currently has as #er industry estimates a )* #er cent share a##ro2imately. %he com#etitors of &a$$i are the ;a#an-based Nissin norr Sou#y Noodles Bi$ bazaar tasty treat and ?orlicks =oodles. &ain com#etitors are %o# 9amen and Sunfeast Pasta noodles. • Top Ramen Smoodles4 -(on-t be a noodle be a Smoodle- was the ad"ertisement that brou$ht the %o# 9amen brand into limeli$ht when it was launched in 7))7. 6arieties4 Packet Noodles6 &acho &asala =unky !hicken @ye %omato !urry Smoodles and !u# Noodles6 S#icy Ae$etable %an$y !hicken. Distri%utor4 &arico Industries 7S,4 -(on-t be a noodle be a Smoodle. • #TC Sun3east ,asta4 I%! launched India-s first instant #asta snack Sunfeast Pasta %reat in :**B. &ade from hi$h #rotein (urum wheat Sunfeast Pasta %reat is not fried and does not contain maida makin$ it a nutritious snack. %his ready to cook #asta comes with a sauce maker inside the #ack. 6arieties4 It is currently a"ailable in four e2citin$ fla"ors6 &asala %omato and !heese Sour !ream @nion and !heese. Distri%utor4 I%! Limited
4
7S,4 Sunfeast is made from durum wheat and is #romoted as a healthy alternati"e to instant noodles made from the less healthy maida 0a ty#e of wheat flour that is sli$htly lower in Cuality 2.3 Company Nestle was founded in 78DD by ?enri Nestle. Nestle markets its #roducts in 7E* countries ' sells o"er a billion #roducts each day. %he main consideration of Nestle is at. =or the full year :*77 Nestle India recorded net sales of 9s7 EB7.8 crores. Nestle has been a #artner in India-s $rowth for the #ast 7** years and has built a "ery s#ecial relationshi# of trust and commitment with the #eo#le of India. Nestle started the Brand &a$$i in India around :B years a$o in 7)8E with the launch of its traditional masala fla"our followed by chicken and tomato fla"ours and curry fla"our some years later.
2. Context Nestlé/s &a$$i noodles is the to# brand in the instant noodles se$ment of India which has $rown to an estimated 9s:** crore ' contributes to around 7*+ of Nestle India/s to# line. &a$$i has been the #ioneer in this se$ment of market and hence $ot first mo"er/s ad"anta$e o"er other brands. %here was a need for a #roduct that would #ro"ide Cuality food and also was easy to cook. Nestle reco$nized this and introduced &a$$i a #roduct which would take less time and to cook and consumer uses it to $et fast relief from hun$er. &a$$i has re$ularly come u# with new fla"ours and "arieties to attract e"ery se$ment of audience. It holds its #osition stron$ as a 3$ood to eat fast to cook4 anytime snack. %he Indian #alate is not too ad"enturous in terms of tryin$ out new fla"ours. In reality &a$$i has settled at standard fla"ours such as curry masala tomato and chicken. Peo#le #refer to ha"e it easily a"ailable and affordable.
3. !arket "pportunity and #ssues India bein$ a country with hu$e #o#ulation #ro"ides a hu$e market for any com#any. &a$$i is no e2ce#tion. Aarious o##ortunities that &a$$i has in India can be summarized into the followin$ #oints.
5
Rural #ndia4 %ill "ery recent &a$$i had concentrated only on the urban India. %hey ne"er tried to e2#loit the rural India which co"ers a maFor #art of Indian #o#ulation. 9ecently they introduced 3!hhota &a$$i4 #riced at 9s.B for lower income $rou#. 6ariety in taste4 %heir main drawback is that they rely hea"ily on one fla"our only. Althou$h they tried to #roduce #roducts with different fla"our they failed as Indians ha"e settled for traditional fla"ours. But ha"in$ 8B + of the market share they can still easily take the risk and try on "arious fla"ours but kee#in$ the current fla"ours in market. $ealt(4 %heir star #roduct has no nutritional "alues and since children are the maFor tar$et of their #roduct they should come u# with #roducts that ha"e nutrients. %hey ha"e come u# with &a$$i Ae$etable Atta noodles but more #roducts should be launched. ,opulation4 India/s hu$e #lus #oint is its #o#ulation. &aFor #art of the #o#ulation is youth. &a$$i can use the unem#loyed youth of India to increase their #roduction which they can sell in rural India. Sc(ools4 Aarious colle$es ha"e stalls where they sell &a$$i. So schools should be their maFor tar$et where they can sell their #roduct as &a$$i bein$ already #o#ular amon$ the kids of India. %his will sol"e the a$e old #roblem of the #arents of #re#arin$ tiffin for the school $oin$ kids.
. "%&ectives Mission: To be considered as the number one snacking option of India combining the values of convenience, taste and health. Nestle &a$$i had the obFecti"e to raise their market share 0!urrent market share is almost )*+1 #romotin$ &a$$i and #ositionin$ themsel"es as healthy fast foods and as #er the consumer feedback make chan$es in the #roduct re$ardin$ #acka$in$ in$redients and s#ecial additi"es. Also launch new "ariants in the market. &a$$i introduced 3Pazzta4 which comes in : fla"ours red and white sauce #asta also launched Ae$etable &ulti$rain noodles. %he com#any continuously focuses its efforts to better understand the chan$in$ lifestyles and of modern India and antici#ate consumer needs in order to #ro"ide con"enience taste nutrition and wellness throu$h its #roducts. ). !arketing Strategy • !onductin$ #romotional cam#ai$ns in schools is one of their main marketin$ acti"ities.
6
• •
Ad"ertisin$ strate$ies6 %he focus of the ad"ertisements is on the children as they are their maFor consumers. A"ailability in different #ack sizes6 Packin$ is the bi$$est #lus #oint of &a$$i market #enetration. %hey ha"e the #roduct a"ailable in all sizes to ta# the cate$ories of consumers. %here is a $ood inno"ation #resent in the #roducts. &a$$i : minutes noodles !u#-o&a$$i Atta noodles etc. are the different forms of the same #roduct a"ailable in market.
•
-C8 !atrix
STARS Maggi Veg Atta Noo !e" Maggi Pa"ta Maggi Sa#$e"
%&ESTI'N MARK Maggi ()i$*e+
(AS, ('Maggi Ma"a!a .!a/o#0 -
D'G Maggi To1ato2 (#003 .!a/o#0"
!ic(ael ,orter9s :ive
rces !odel
4
*. Target !arkets As #er a market research it was concluded to tar$et #rimarily the children as they liked the taste of &a$$i noodles and were the lar$est consumers of the #roduct. %he market has been di"ided accordin$ to the followin$ considerations6 Demograp(ics4 7. Region4 Grban semi-urban rural 0recent1 :. "ccupation4 .orkin$ #rofessionals self-em#loyed students E. Social class4 &iddle class and u#wards
-e(avioural4 7. "ccasions4 9e$ular and e"eryday user H Grban. (e#endin$ on the tem#oral as#ects of consumer/s life0time of day week month and year1 H 9ural
5
:. 7sage rate4 ?ea"y user-urban li$ht-rural medium-semi-urban +. ,ositioning Initially Nestle tried to #osition &a$$i in the #latform of con"enience tar$etin$ the workin$ women. But it found that sales were not #ickin$ u# des#ite of hea"y #romotions. 9esearch then showed that kids were the lar$est consumers of this brand. 9ealisin$ this Nestle then re#ositioned this brand towards kids usin$ sales #romotions and smart ad"ertisin$. &a$$i has always #ositioned itself as healthy noodles H 3%aste bhi health bhi4 %hrou$h its ads. Nestle India Ltd. 0NIL1 #ositioned &a$$i as a -fun- food for kids which mothers could #re#are easily. %a$lines like -&ummy bhookh la$i hai- 0&om I-m hun$ry1 -Bas :-&inute and -=ast to !ook
PROJECT ON NESTLE MAGGI
MARKETING PLAN: NESTLE MAGGI
GROUP 5
Debjani Barua Tara Kiran Redkar Deepinder Singh Nash Ian Rodricks Sagar Bhisham Darira Sudipto Halder Advait autam Bhobe Suman !rakash
1
INDEX
1. Executive Summary Tara Redkar
1
2. Situation Analysis 2.1 Customers Tara Redkar
1 1
2.2 Competitors Sagar Darira
1
2.3 Company Tara Redkar
2
2. Context Tara Redkar
2
3. !arketing "pportunities and #ssues . "%&ectives 'as( #an Rodricks Sudipto $alder
3
). !arketing Strategy Deepinder Sing( )
*. Target !arkets Deepinder Sing(
+. ,ositioning De%&ani -arua
*
.. !arketing !ix
*
2
-
Advait -(o%e .
/. Revie0 and Control De%&ani -arua
11. !arketing "rgani2ation Sagar Darira
/
11. Contingency ,lan Suman ,rakas(
11
12. Re3erences
11
!arketing ,lan4 'estle !aggi5 #ndia
1. Executive Summary4 Nestlé India is a subsidiary of Nestlé S.A. of Switzerland headed by Peter BrabeckLetmathe ! h a i r m a n . Nestlé India is an effer"escent !om#any that #ro"ides consumers with #roducts of $lobal standards and is committed to lon$-term sustainable $rowth and shareholder satisfaction. %he com#any is known for its brands in the &ilk Products ' Nutrition Pre#ared (ishes !ookin$ Aids and !hocolates ' !onfectionery se$ments. Nestlé leads the "alue sales of noodles in India with a market share of )*+. ,"idence to Nestlé-s domination of sales of #lain noodles is the fact that India accounts for the hi$hest sales for the com#any for its instant noodles brand &a$$i amon$ all its $lobal offices. .ith se"en factories and a lar$e number of co-#ackers it has $rown into India/s lar$est food com#any. %he bi$$est brand in Nestle/s #ortfolio is &a$$i 0it o"ertook Nescafe about ten years a$o1. %his marketin$ #lan analyses the current marketin$ mi2 of &a$$i Noodles and studies the #o#ularity of brand 3&a$$i4 in India.
2. Situation Analysis
3
.e are analysin$ the situation usin$ 5! framework6 customers com#etitors com#any and conte2t 2.1 Customers India is the lar$est consumers of &a$$i noodles in the world. It was launched in 7)8* by Nestle $rou# of com#anies. Initially when it was launched in India it was tar$eted towards wron$ tar$et $rou#6 workin$ women. After conductin$ research they found out the bi$$est consumer se$ment was the kids. %hey shifted their focus to this se$ment by "arious tools of sales #romotion like #encils fun books etc also the ads of &a$$i showcased a hun$ry kid sayin$ 3Mummy bhook lagi4 to which the mother re#lies 3Bas do minute4. %he tar$et $rou# later on increased and included youth office $oers and health conscious #eo#le with income more than a lakh #er annum. %his $rou# usually comes under middle class and u#wards residin$ in urban semiurban and also rural areas. 2.2 Competitors ,"en thou$h it has been nearly three decades the brand has not faced any serious com#etition. Instead in all these years &a$$i has $rown e2#onentially to become a $eneric brand and has sin$le-handedly taken the instant noodles cate$ory from bein$ almost non-e2istent to a 9s 7 :** cr. one of which it currently has as #er industry estimates a )* #er cent share a##ro2imately. %he com#etitors of &a$$i are the ;a#an-based Nissin norr Sou#y Noodles Bi$ bazaar tasty treat and ?orlicks =oodles. &ain com#etitors are %o# 9amen and Sunfeast Pasta noodles. • Top Ramen Smoodles4 -(on-t be a noodle be a Smoodle- was the ad"ertisement that brou$ht the %o# 9amen brand into limeli$ht when it was launched in 7))7. 6arieties4 Packet Noodles6 &acho &asala =unky !hicken @ye %omato !urry Smoodles and !u# Noodles6 S#icy Ae$etable %an$y !hicken. Distri%utor4 &arico Industries 7S,4 -(on-t be a noodle be a Smoodle. • #TC Sun3east ,asta4 I%! launched India-s first instant #asta snack Sunfeast Pasta %reat in :**B. &ade from hi$h #rotein (urum wheat Sunfeast Pasta %reat is not fried and does not contain maida makin$ it a nutritious snack. %his ready to cook #asta comes with a sauce maker inside the #ack. 6arieties4 It is currently a"ailable in four e2citin$ fla"ors6 &asala %omato and !heese Sour !ream @nion and !heese. Distri%utor4 I%! Limited
4
7S,4 Sunfeast is made from durum wheat and is #romoted as a healthy alternati"e to instant noodles made from the less healthy maida 0a ty#e of wheat flour that is sli$htly lower in Cuality 2.3 Company Nestle was founded in 78DD by ?enri Nestle. Nestle markets its #roducts in 7E* countries ' sells o"er a billion #roducts each day. %he main consideration of Nestle is at. =or the full year :*77 Nestle India recorded net sales of 9s7 EB7.8 crores. Nestle has been a #artner in India-s $rowth for the #ast 7** years and has built a "ery s#ecial relationshi# of trust and commitment with the #eo#le of India. Nestle started the Brand &a$$i in India around :B years a$o in 7)8E with the launch of its traditional masala fla"our followed by chicken and tomato fla"ours and curry fla"our some years later.
2. Context Nestlé/s &a$$i noodles is the to# brand in the instant noodles se$ment of India which has $rown to an estimated 9s:** crore ' contributes to around 7*+ of Nestle India/s to# line. &a$$i has been the #ioneer in this se$ment of market and hence $ot first mo"er/s ad"anta$e o"er other brands. %here was a need for a #roduct that would #ro"ide Cuality food and also was easy to cook. Nestle reco$nized this and introduced &a$$i a #roduct which would take less time and to cook and consumer uses it to $et fast relief from hun$er. &a$$i has re$ularly come u# with new fla"ours and "arieties to attract e"ery se$ment of audience. It holds its #osition stron$ as a 3$ood to eat fast to cook4 anytime snack. %he Indian #alate is not too ad"enturous in terms of tryin$ out new fla"ours. In reality &a$$i has settled at standard fla"ours such as curry masala tomato and chicken. Peo#le #refer to ha"e it easily a"ailable and affordable.
3. !arket "pportunity and #ssues India bein$ a country with hu$e #o#ulation #ro"ides a hu$e market for any com#any. &a$$i is no e2ce#tion. Aarious o##ortunities that &a$$i has in India can be summarized into the followin$ #oints.
5
Rural #ndia4 %ill "ery recent &a$$i had concentrated only on the urban India. %hey ne"er tried to e2#loit the rural India which co"ers a maFor #art of Indian #o#ulation. 9ecently they introduced 3!hhota &a$$i4 #riced at 9s.B for lower income $rou#. 6ariety in taste4 %heir main drawback is that they rely hea"ily on one fla"our only. Althou$h they tried to #roduce #roducts with different fla"our they failed as Indians ha"e settled for traditional fla"ours. But ha"in$ 8B + of the market share they can still easily take the risk and try on "arious fla"ours but kee#in$ the current fla"ours in market. $ealt(4 %heir star #roduct has no nutritional "alues and since children are the maFor tar$et of their #roduct they should come u# with #roducts that ha"e nutrients. %hey ha"e come u# with &a$$i Ae$etable Atta noodles but more #roducts should be launched. ,opulation4 India/s hu$e #lus #oint is its #o#ulation. &aFor #art of the #o#ulation is youth. &a$$i can use the unem#loyed youth of India to increase their #roduction which they can sell in rural India. Sc(ools4 Aarious colle$es ha"e stalls where they sell &a$$i. So schools should be their maFor tar$et where they can sell their #roduct as &a$$i bein$ already #o#ular amon$ the kids of India. %his will sol"e the a$e old #roblem of the #arents of #re#arin$ tiffin for the school $oin$ kids.
. "%&ectives Mission: To be considered as the number one snacking option of India combining the values of convenience, taste and health. Nestle &a$$i had the obFecti"e to raise their market share 0!urrent market share is almost )*+1 #romotin$ &a$$i and #ositionin$ themsel"es as healthy fast foods and as #er the consumer feedback make chan$es in the #roduct re$ardin$ #acka$in$ in$redients and s#ecial additi"es. Also launch new "ariants in the market. &a$$i introduced 3Pazzta4 which comes in : fla"ours red and white sauce #asta also launched Ae$etable &ulti$rain noodles. %he com#any continuously focuses its efforts to better understand the chan$in$ lifestyles and of modern India and antici#ate consumer needs in order to #ro"ide con"enience taste nutrition and wellness throu$h its #roducts. ). !arketing Strategy • !onductin$ #romotional cam#ai$ns in schools is one of their main marketin$ acti"ities.
6
• •
Ad"ertisin$ strate$ies6 %he focus of the ad"ertisements is on the children as they are their maFor consumers. A"ailability in different #ack sizes6 Packin$ is the bi$$est #lus #oint of &a$$i market #enetration. %hey ha"e the #roduct a"ailable in all sizes to ta# the cate$ories of consumers. %here is a $ood inno"ation #resent in the #roducts. &a$$i : minutes noodles !u#-o&a$$i Atta noodles etc. are the different forms of the same #roduct a"ailable in market.
•
-C8 !atrix
STARS Maggi Veg Atta Noo !e" Maggi Pa"ta Maggi Sa#$e"
%&ESTI'N MARK Maggi ()i$*e+
(AS, ('Maggi Ma"a!a .!a/o#0 -
D'G Maggi To1ato2 (#003 .!a/o#0"
!ic(ael ,orter9s :ive
rces !odel4
*. Target !arkets As #er a market research it was concluded to tar$et #rimarily the children as they liked the taste of &a$$i noodles and were the lar$est consumers of the #roduct. %he market has been di"ided accordin$ to the followin$ considerations6 Demograp(ics4 7. Region4 Grban semi-urban rural 0recent1 :. "ccupation4 .orkin$ #rofessionals self-em#loyed students E. Social class4 &iddle class and u#wards
-e(avioural4 7. "ccasions4 9e$ular and e"eryday user H Grban. (e#endin$ on the tem#oral as#ects of consumer/s life0time of day week month and year1 H 9ural
5
:. 7sage rate4 ?ea"y user-urban li$ht-rural medium-semi-urban +. ,ositioning Initially Nestle tried to #osition &a$$i in the #latform of con"enience tar$etin$ the workin$ women. But it found that sales were not #ickin$ u# des#ite of hea"y #romotions. 9esearch then showed that kids were the lar$est consumers of this brand. 9ealisin$ this Nestle then re#ositioned this brand towards kids usin$ sales #romotions and smart ad"ertisin$. &a$$i has always #ositioned itself as healthy noodles H 3%aste bhi health bhi4 %hrou$h its ads. Nestle India Ltd. 0NIL1 #ositioned &a$$i as a -fun- food for kids which mothers could #re#are easily. %a$lines like -&ummy bhookh la$i hai- 0&om I-m hun$ry1 -Bas :-&inute and -=ast to !ook