MARKET PENETRATION

STRATEGY OF MAGGI NOODLES

 Introduction
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
b
d d : I n tr o d u c tio n o f n e w v a r ia n t s

G ro w th
c

• 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 a
• Currently enjoys a market share of
1983 1997 1999 2004
about 80%

T im e
 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
• (v) Customer Sample Size: 50
Research Findings
 SWOT Analysis
Strengths Weaknesses Opportunities Threats
Market leader Heavily Unexploited rural Strong presence of
dependent on markets regional
One flavour competitors
Brand loyalty Minor Increasing Competitive pricing
distribution number of (Top Ramen)
problems working youth
Distribution Health Affinity of Indians
channels related issues to Chinese food

Innovative
flavours for
Indian taste
buds
Advertising
strategy
 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 lie r s I n d u s t r ia l
D is t r ib u t o r s B u y ers
R a w m a te ria l R iv a lr y C u s to m e r
s u p p lie rs , T o p R am en , M in d s e t,
C h o w m e e n e tc .
P a c k a g in g B r a n d Im a g e

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
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