Market Penetration Of Maggie Noodels(2)

MARKET PENETRATION STRATEGY OF MAGGI NOODLES

Introduction

d

b

G ro w th

• A brand of Nestle • Launched in the year 1983 • Initially targeted at Working Women • Then repositioned itself to target Kids • Market Driver in the Instant Noodles Category • Currently enjoys a market share of about 80%

a : I n tr o d u c tio n a -b : G r o w th b -c : R e d u c tio n in s a le s c : R e -L a u n c h c -d : M a r k e t r e -c a p tu r e d : I n tr o d u c tio n o f n e w v a r ia n ts

c

a 1983

1997

1999

T im e

2004

Market Research • Objective: • To find out the market penetration of Maggi noodles • 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

Research Findings

SWOT Analysis Strengths Weakness Opportunitie Threats es s Market Heavily Unexploited Strong presence leader dependent rural markets of regional on One competitors flavour Brand Minor Increasing Competitive loyalty

distribution number of pricing (Top problems working youth Ramen)

Distributio n channels

Health related issues

Innovative flavours for Indian taste buds Advertising strategy

Affinity of Indians to Chinese food

STPD Analysis • Segmentation: Based on lifestyle and habits of urban families • Targeting: Kids, Office goers • Positioning: With statements such as “2 minute noodles” and “Easy to cook, good to eat” • Differentiation: Taste, Flavours, Packaging

BCG Matrix

Michael Porter’s Five Forces Model N e w E n tra n ts N o p o te n tia l th re a t o f n e w e n tra n ts fo r m a g g i n o o d le s

S u p p li e r s D is t r ib u t o r s

I n d u s t r ia l

R a w m a te ria l s u p p lie rs , P a c k a g in g

T o p R am en , C h o w m e e n e tc .

R iv a lr y

S u b s t it u t e s C how m een, F a s t fo o d , P a s ta

B u y ers C u s to m e r M in d s e t, B ra n d Im a g e

Market Penetration Strategies Of Maggi Noodles

• Promotional campaigns in schools • Advertising Strategies • Power of 5 • Availability in different pack sizes • New product innovations

Brand Recall and Future Trends • Introducing a fictitious character who can connect with kids for better brand recall • Organizing contests , games and industrial visits for school kids to further strengthen the brand image • Invite Housewives to send new innovative recipes made from Maggi and introduce rewards for the same • Foray into the Chinese food segment by introducing branded products for chowmeen, schezwan and hakka noodles