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Marketing Strategy of Maggi A Case Study
Marketing Strategy of Maggi A Case Study
STRATEGIES OF MAGGI
A CASE STUDY
PROJECT REPORT
ON
SUBMITTED TO
DEPARTMENT OF COMMERCE
KOTI, HYDERABAD
B.COM. (HONOURS)
H.T.NO. 2014-1801
PROJECT SUPERVISOR
ASST.PROF.G. SARITA
FACULTY MEMBER
DEPARTMENT OF COMMERCE
I am thankful to my friends and lecturers for their unconditional help and support I
wish to place on record my sincere thanks toPROF.B. SANDHYA RANIhead
Department of commerce, Osmania University College for women, koti,
Hyderabad for her constant inspiration.
Year2013-2016
Date:10-3-2016
CERTIFICATE BY THE GUIDE
Date: 10-3-2016
DECLARTATION
CHAPTER-1
INTRODUCTION
OBJECTIVES OF THE STUDY
RESEARCH METHODOLOGY
LIMITATIONS OF STUDY
CHAPTER-2
CHAPTER-3
COMPANY PROFILE
MAGGI BRAND IN INDIA
PRODUCT LIFE CYCLE OF MAGGI
MAGGI BANNED IN INDIA
RELAUNCH IN INDIA
MARKETING STRATEGIES OF MAGGI TO RELAUNCH IN INDIA
SOCIAL MEDIA SUPPORT TOWARDS MAGGI
TWITTER RESPONSE TOWARDS MAGGI
CHAPTER-4
CHAPTER-5
BIBLIOGRAPHY
ANNEXURE
INTRODUCTION
Marketing strategies explain how the marketing functions fits in with the overall
strategy for a business
Once the strategy has been identified, then the business must develop
an action to turn the strategy into reality. The starting point for this plan is setting
of marketing objectives. Marketing objectives are the specific targets for
marketing set by the business to achieve their corporate objectives
OBJECTIVESOFSTUDY
To present the swot analysis of Maggi
To understand the marketing and promotional strategies
adopted by nestle Maggi
To analyze the perceptions of consumers towards Maggi
Secondary data
The secondary data has been collected from various websites and books. It also
includes data from company and other referral sites and sources.
LIMITATIONS OF STUDY
There are many companies offering ready to eat products in the market but
the study is limited only to Nestle Maggi and also further it is confined only
to Maggi noodles.
The sample size is only 30 respondents so the result may not be
appropriate.
INTRODUCTION TO MARKETING STRATEGIES
A strategy consists of a well thought out series of tactics to make a marketing plan
more effective. Marketing strategies serve as the fundamental underpinning of
marketing plans designed to fill market needs and reach marketing objectives.
Plans and objectives are generally tested for measurable results.
Objectives
You may set marketing objectives such as achieving a percentage of market
shares, maximizing cash flow or maintaining profitability through market
expansion. As you create a marketing strategy to achieve any of these objectives,
you must remain aware of one potential disadvantage: You may have chosen the
wrong objective. An effective marketing strategy aimed at the wrong objective
can take you in a harmful direction. For example, if you seek to maintain
profitability by expanding your markets, you may find that you would be better
off improving customer service to your existing markets so that you can improve
your reputation.
Costs
Each marketing strategy has costs you must evaluate in terms of how effectively
you spend your money. An e-mail campaign may be relatively cheap, but it could
waste your marketing message by getting lost in your customers’ spam filters.
Magazine advertising, on the other hand, may cost more than you can afford.
Direct mail can be cheaper than print ads, but your product or service may not be
well-suited to this kind of campaign, so you could be wasting your money. You
must constantly weigh costs vs. benefits for any marketing strategy, so that you
use your marketing dollars wisely.
Branding
Your marketing strategy creates an impression of your company. If the strategy
for a specific product or service is ineffective, you can give your customers the
impression that you are not a viable company. You must decide how much of your
marketing strategy should focus on promoting your brand and now much of it
should tout the specific benefits of a particular product. One way to handle this
dilemma is to divide your marketing into two phases. In the first phase, focus your
marketing on the product. Once it gains acceptance, tie your brand to that
product. Because consumers already have a favorable impression of the product,
they will be likely to transfer that favorable impression to your brand. This
strategy minimizes the disadvantage of harming your brand when the public does
not like a product.
Effectiveness
Any marketing strategy that does not allow you to measure effectiveness puts
you at a disadvantage. You can continue an ineffective marketing strategy
indefinitely if you don’t have some way to measure how well it works. A
marketing strategy that contains measurable objectives offers you the advantage
of continuing plans that work. You can build effectiveness into your marketing
strategy by expressing your objectives in terms of numbers. For example, “we will
increase sales by 20 percent” is effective; “we will increase sales” is not.
DIFFERENT TYPES OF MARKETING
STRATEGIES
The needs that the product is trying to address are very explicit. It is a tasty snack
This satisfies hunger and takes very less time and efforts for preparation.
Peoplefeel like eating Maggi because it satisfies hunger and tastes superb.
Strengths
Established Family Brand
Strong Global Corporate Brand (NIL)
Specialization in food processing category marketing and distribution in
Urban
Market leader
Pioneer and Leader so 1st mover advantage in Noodles, Sauce, Ketchups
and Soup market
Weakness
Generic Brand to Noodles in India
Low rural market presence constraints
Uniform Brand for all food category. Heavily dependent on one flavor
Opportunities
Growing package and canned food market in India by 15% annually.
High brand awareness of Indian consumer
Opportunity to be substitute to other snacks category of food products.
Unexploited rural market
Increasing number of working youth
Affinity of Indians to Chinese food Health related issues
Threats
Competitors with long history in product category internationally like, Heinz
Sauce and ketchups of Heinz Indian, Top Ramen in Noodle and Knorr Soups.
Single product focused competitors like Heinz sauce and Wai Wai Noodles.
Les Entry Barriers in the Market segment for product category
ITC’s strong base in Indian Market.
Substitute Product to Product Segment
Competitive pricing
Strong presence of regional competitors
MARKETING STRATEGY- CHOOSING VALUE
STPDANALYSIS
A marketing strategy is based on expected customer behavior in a certain market.
In order to know the customers and their expected buying behavior, a process
of segmenting and positioning is used. These processes are chronological steps
which are dependent on each other.
SEGMENTATION
Market segmentation divides the heterogeneous market into homogenous groups
of customers who share a similar set of needs/wants and could be satisfied by
specific products. Maggi brand has segmented the market on the basis of age, life
style, and habits of urban families.
Children
Children play a significant role in decision making and purchase choices of just
about anything ranging from food items to beverages to chocolates. As
consumers, children know exactly what they want and do not experiment too
much with flavor or color.
Teenagers
On the brink of adulthood, teenagers like to emphasize and express themselves in
a manner that catches attention. They have experimental with their food with
preference towards innovative offerings but form strong opinions which they
carry forward in life. They are also predisposed towards snack items as they tend
to feel hungry between traditional meals. They have a lot of say about the food
that they want to consume with limited parental control.
College Students
A rise in the number of colleges and institutions of higher learning bothgovernme
nt owned and privately financed has enabled a larger number of youth to
graduate from their portals. This population grew since 2000 but is set to stagnate
in the forecast period with couples actually postponing the child bearing decision
and some even rejecting the idea of having on eat all. This age group has taken up
to snacking as a way of life as they keep missing regular meals due to erratic schedules.
They have longer waking hours and due to this the traditional three meals do not
suffice with the need for filling snacks.
Middle Aged Adults
These middle aged men have strict preferences over food and they generally stick
to their choices. They experiment less and go for products that will enhance their
social status. The women in this age group are ones who the primarily buy food
items for the entire household though their choices are shaped by the
preferences of the household members. The women in this segment play an
important role as most of the choices of food items have to pass their scrutiny
before it is consumed in the household
TARGETING
Market Targeting refers to evaluating and deciding from amongst the
variousalternatives, which segment can be satisfied best by the company. The
Maggi Brandhas mainly targeted the Kids, Youth, Office Goers and Working Men
& Woman. Which falls into the category of convenience- savvy time misers‖ who
would like to get something instant and be over with it quickly?
POSITIONING
Market Positioning is the act of designing the company’s offerings and image to
Occupy a distinctive place in the minds of the target market. The goal of
positioningis to locate the brand in the minds of consumers to maximize the
potential benefit tothe firm. Maggi has positioned itself in the SNACKS (Between
two meals) categoryand not in the meal category since Indians do not consider
noodles as a proper fooditem.
Therefore, Maggi have developed Its brand image of instant food products with
positioning statements such as ―2 minutes’ noodles ―and ―Easy to cook, good
to eat.
DIFFERENTIATION
Points-of-difference (PODS) are attributes or benefits consumers strongly
associate with a brand, positively evaluate and believe they could not find to the
same extent with a competitive brand. The Maggi Brand has also differentiated its
brand image from its competitors in terms of taste, flavors and packaging. Maggi
have launched wide varieties of products in different flavors which can attract
larger set of customers. Maggi products are also available in different sizes
catering to different customer needs.
MARKETING STRATEGY-CREATING, DELIVERING,
COMMUNICATING AND CAPTURING VALUE
4PS EVALUATION
Place
Wide distribution network.
Limited penetration in rural areas.
The company has a complex supply chain process.
Target hawkers/roadside eating joints
The distribution network is well spread
Easily available in all kirana stores, retail store etc.
Sales territories, Warehousing system
Product: -
Quality
Models and sizes
Packing
Brands
Service
Promotion: -
Nestle also followed up these launches with ‘It’s different’ ad campaigns.
Nestle was focusing their ads based on children’s taste and health.
In addition to promotional activities, Maggi associated itself with
mainstream television programme and advertised heavily on kids
programme and channels.
Maggi is now targeting it products at the entire family and not only kids.
Maggi has recently launched “MAIN AUR MERI MAGGI” campaign in
commensuration of 25 years of Maggi in India.
C
MARKET PENETRATION STRATEGIES
Maggi started with promotional campaigns in the school to see the reaction of
Children after eating Maggi.
Though Maggi has been successful every time, there were times when it faces.
Challenges. Some of these are:
Sales saw decline in 1990: The Company saw a decline the sales in 1990.
When the company tried to find out what the reason was, they came to
know that there was something wrong with the formula that spoiled the
taste. So the formula was changed from fried base to oiled dried base
New product launched in market but fail – Nestle decided to expand its
offerings by offering DaalAtta noodles & Sambhar flavor noodles. But these
products were not welcomed by the people the very special taste of Maggi
was still ruling the consumer.
Maggi launched some new products: Ketchups, Soups, Taste makers etc.
but they were not successful.
INTRODUCTION TO COMPANY PROFILE
His philosophy is ‘bottom line dictating top line’ based on delegation and
decentralization. It resulted from a merger in 1905 between the Anglo-Swiss Milk
Company for milk products established in 1866 by the Page Brothers in Cham,
Switzerland and the Farine Loot, Henri Nestle Company set up in 1867 by Henri
Nestle to provide an infant food product. Nestle India’s business objective and
that of its management and employees is to manufacture and market the
Company’s products in such a way as to create value that can be sustained over
the long term for consumers, shareholders, employees, business partners.
The product mix of Nestle India consists of milk products and baby products
(42.5%), beverages (29.3 %), processed foods (14.4 %), chocolate and
confectionary (13.8 %).nestle India plans to expand business into similar and
diversified product categories. With an Employee strength of over 3000 and
turnover a US$ 497 million in 2003, Nestle. India is one of the leading companies
in the FMCG space in India. The company is acknowledged among India’s most
respected companies and among the top Wealth Creators of India.
Year 1886– Several women were factory workers, thus the time available for
housework a. the preparation of meals was considerably reduced, a. working class
families suffered from poor nutrition. In view 46 161 states of affairs, the doctor
Schuler recommended the wide use of dried vegetables: pea’s a. beans, given
11616 466 nutritive values. Julius Maggi produced appliances for roasting and
grinding these vegetables, to make flour from peas, beans, lentils etc., and
enabling housewives to make a quick nourishing soup.
Year 1900– At the Universal Exhibition, Maggi won several medals and grand
prizes. Jules Magi set up home in Paris. The French head office was on the Place
de l’Opera, and the factory on the Boulevard Arago. Maggi now had depositories
in Paris, Berlin, Singen (Germany), Vienna and Bregenz (Austria). A number of
advertising texts written by Franck Wedekind had strong military undertones:
Year 1948– Sopad took over from Nestle to handle production and marketing for
Nestle and Maggi products in France. Maggi now had eleven factories throughout
the world.
Year 1982–Nettle India Ltd. Introduced Maggi to the Indian consumers with the
launch of Maggi 2 Minute Noodles, an instant food product, in 1982. With the
launch of Maggi noodles, Nestle India Ltd. Created an entirely new food category
– instant noodles – in the Indian packaged food market.
Year 1984–Eating habits changed, and Maggi adjusted their products, with low fat
Bouillons, Bouquet Garni (“a little extra to add taste and give your dishes a festive
look l”), and “Soupes Moulinees”, a new line to add to their “Soup Time” range.
The ad announcing the new “Maggi 37abelin mix” had two sections: on the
“BEFORE” page, a man disguised as an oriental wise man levitates a magnificent
souff12, on the “AFTER” page, the same man holds the Maggi sachet in his hands
‘The magic formula to a successful 37abelin!”
Brand — MAGGI
Maggi is an over 100-year-old Nestle band of instant soups, stocks, bouillons,
ketchups, sauces, seasonings and instant noodles. It quickly became a pioneer of
industrial food production, aiming the improvement of the nutrition of worker
families.
Over time the scope of MAGGI has been extended from a predominantly
dehydrated cooking aid brand towards a general savory food brand including
many types of ready meals and also frown food. This is in line with the fact that
people all over the world are cooking less and less from scratch.
The second competition came from the homemade snacks like pakoras or
sandwiches. So than were no specific buy and make snack! Moreover, both
competitors had certain drawbacks in comparison. Snacks like samosas are
usually bought out, and outside food is generally considered unhygienic and
unhealthy. The other competitor, ‘homemade’ snacks overcame both that
problems but had the disadvantage of extendedpreparation time at home. Maggi
was positioned as the only hygienic homemade snack! Despite this, Nestle faced
difficulties with their sales after the initial phase.
The sole reason being, the positioning of the product with the wrong target
group. Nestle had position. Maggi as a convenience food product aimed at the
target group a working woman who hardly found any time for cooking.
Unfortunately, this could not hold the product for very long. In the course of
many market researches a. surveys, the firm found that children were the biggest
consumers of Maggi noodles. Quickly they repositioned it towards the kids
segment with various tools of sales promotion like color pencils, sketch pens, fun
books, Maggi clubs which worked wonders for the brand.
PRODUCT LIFE CYCLE OF MAGGI
The product life cycle is the period of time over which an item is developed,
brought to market and eventually removed from the market. First, the idea for a
product undergoes research and development. If the idea is determined to be
feasible and potentially profitable, the product will be produced, marketed and
rolled out. Assuming the product becomes successful; its production will grow
until the product becomes widely available. Eventually, demand for the product
will decline and it will become obsolete.
INTRODUCTORY STAGE
Nestle launched Maggi in India in the year 1982 with its 2 minutes’ instant
noodles. When Nestle launched this product there were a lot of ups and downs,
with high failure rates. Maggi then had no competition and incurred high
production cost. A lot of research was also done in this stage which caused
frequent modifications.
GROWTH STAGE
Around 1985, the demand for Maggi had increased tremendously in India. The
entire development cost was recovered and moreover its sale rates had also
increased. In 1990 the demand for Maggi had dropped a little because of an
introduction of a new brand named Top Ramen. So in order to increase its sales
Nestle formulated a new flavor which wasn’t well accepted by its consumers.
Thus in 1999, Nestle re-launched the old flavor of Maggi, which in turn increased
its sales.
MATURITY STAGE
During its maturity stage, Maggi’s sales were at peak, production costs were low
and profits were high.
DECLINE STAGE
As we all know that Maggi is now banned in India due to its high lead content.
Thus it is going through its declining stage now. Nestle is conducting a lot of
research and if they come up with something new and better, then Maggi might
be selling its products in the future, or else after the declining stage, this brand
would become history in India.
MAGGI BANNEDININDIA
The Bombay High Court on Thursday set aside the countrywide ban on nine
variants of Nestlé’s Maggi instant noodles, saying the national food regulator had
acted in an “arbitrary” manner and not followed the “principles of natural justice”
while banning the product.
The court, however, ordered Nestle India to conduct fresh safety tests on the
product before relaunching it.
The Indian unit of Nestle had challenged a June 5 order of the Food Safety and
Standards Authority of India (FSSAI) and a similar order by the Maharashtra Food
and Drug Authority (FDA) directing it to withdraw all variants of the noodles,
citing the presence of excessive lead.
While setting aside the ban, Justices V M Kanade and B P Colabawalla clarified
that Nestle India has to send five samples of the noodles in its possession for
fresh tests before bringing it back to the market.
]
The court said it was still concerned about “public health and public interest”.
“Even though it is two-minute noodles, it took us a lot of time,” the court said,
minutes after setting aside the ban.
The tests will be carried out within six weeks at three centers accredited and
recognized by the National Accreditation Board for Testing and Calibration
Laboratories (NABL): Vimta Labs, Hyderabad; Punjab Biotechnology Incubator,
Mohali; and CEG Test House and Research Centre Pvt Ltd, Jaipur.
Reacting to the order, Nestle welcomed the decision and said it would undertake
fresh tests of Maggi noodles.
Referring to the ban, the high court observed: “(The) principles of natural justice
have not been followed before passing the impugned order and on that ground
alone impugned orders are liable to be set aside, particularly when the petitioner
(Nestle India), one day prior to the impugned order, had given a press release that
it had recalled the product till the authorities were satisfied about the safety of
the product.”
The court also said that the food labs engaged by the FSSAI, which found
excessive lead in Maggi noodles, were not “authorized” under the FSS Act and
Regulations. Therefore, the results could not be relied upon, it said.
Besides, the mandatory procedure of giving a notice under the provision of
sampling and analysis was not followed, the court said.
During the arguments, FSSAI had alleged that Nestle India could not claim any
relief as it had suppressed facts and attempted to destroy evidence. The High
Court, however, negated this line.
Another question was whether FSSAI could impose a ban on Maggi noodles on
the grounds that the lead found in tests was in excess of what the company had
represented on its product approval application —- it was below the maximum
permissible limit. The answer to this was also negative, the court said.
As to the question of whether the FSSAI had “unfettered” discretion to decide on
standards to be maintained by companies such as Nestle India which
manufactures proprietary food or non-standardized food, the court’s response
was again ‘no’.
The court also observed that lab reports obtained by the company from its labs
and other accredited labs could not be considered.
Soon after the High Court passed its order, the FSSAI and the FDA sought a stay.
The court, however, observed that Nestle India had already said that it was not
going to either manufacture or sell Maggi noodles and refused to oblige the two
agencies. The court also allowed the company to seek approval for its tenth
variant, Maggi Oats Masala Noodles.
The company had earlier argued that the CEO of FSSAI, while passing the order,
had acted in an “emergent, drastic and arbitrary” fashion while raising doubts
over his jurisdiction.
Nestle also argued that the food regulator had not served any notice before
ordering a ban. Nestle claimed it has been operating in India for 30 years and had
a global footprint.
The government has also filed a class action suit against Nestle India seeking, Rs
640 crore in damages for alleged unfair trade practices, false 45 labeling and
misleading advertisements.
In a special rollout, Nestlé, apart from re-launching Maggi noodles back into the
market, also tied up with online portal Snap deal to register requests for home
delivery of Maggi noodles starting Tuesday. “We will start taking orders from
Tuesday. But delivery will be made after Diwali,” a Nestlé spokesperson told
Gayeri added that he had been receiving queries from regular customers
frequently about the anticipated relaunch date of Maggi. “While we did manage
to sell other brands when Maggi was banned, our sales dropped significantly,” he
said.
At his store, the maximum packets were purchased by kids on Monday.
At Society Stores, Lokhandwala, three cartons of Maggi noodles were ordered
(288 packets). By 8.00 pm, less than a dozen were left. “We realized that people
have been tracking the launch date of Maggi. Everyone who visited the store
purchased a packet today,” said Manan Gade, who sits at the counter.
The store had made special arrangements to launch the noodles. “We had
decorated the shelf with stickers. Posters with “We are back” were put
everywhere,” Gade added.
While some shops managed to procure the product on the first day of its
relaunch, several stores were asked to wait due to high demand. At departmental
chains such as Big Bazaar and Star Bazaar the product was yet to hit the shelves.
“We placed an order for all our stores in Mumbai. But the delivery will come on
November 16,” said Suresh, from Great Home stores, Ahendri West. According to
him, several small shops in his area are waiting for Maggi’s delivery. “A lot of
people have inquired about the noodles in the last few days,” Suresh admit
Maggi noodles is presently being manufactured at three locations — Nanjangud
(Karnataka), Moga (Punjab) and Bicholim (Goa). For the other two locations at
Tahliwal and Pantnagar, Nestlé is engaging with authorities to obtain permissions to
initiate manufacture.
“We will make our best endeavor to reach the product to our consumers at the
earliest. We are in touch with our channel partners and distributors to achieve this,”
a release from the company said.
“The return of Maggi Noodles on the auspicious occasion of Deepawali and on the
day of Dhanteras is a moment of celebration for all of us… On behalf of over 7,000
Nestlé India employees, I would like to thank all our suppliers, distributors, retailers,
and millions of consumers from every corner of India and overseas for their
support,” said Suresh Narayanan, Chairman and Managing Director, Nestlé India.
Meanwhile, the Food and Drug Administration (FDA) is set to routinely test samples
of Maggi noodles once they hit the entire market in a few days.
“We will continue the routine procedure of testing packaged food items to check for
any contravention as per Food Safety and Standards, Act. In this case, if any norm is
flouted, we can send another notice to Maggi,” said Dr Harshdeep Kamble, FDA
commissioner.
Last month, Nestlé received clearance from three laboratories, as per the Bombay
High Court’s directive, for safety of its noodles. The laboratory test was conducted to
check whether excessive lead was still present in its noodles. The product was
banned earlier this year after excessive lead and monosodium glutamate, a flavor
enhancer, was found in it.
MARKETING STRATEGIES OF MAGGI TO RELAUCH IN
INDIA
Nestle India has increased its marketing of Maggi as it prepares to present results
of the re-test conducted on samples of the instant noodles brand to the Bombay
High Court.
The court had on August 13 order directed the company to complete the tests in
six weeks. Nestle has tied up with smartphone apps to create a buzz around the
year-end re-launch. Users of apps like Haaptik, an online directory, are receiving
mailers that the service will alert them when Maggi arrives in stores.
The company has been uploading videos for its Miss-You Maggi advertising
campaign unveiled a month ago. The advertisements speak of how Maggi was a
crucial snack at any time.
Nestle India Managing Director Suresh Narayanan recently said the company
would ensure Maggi’s relaunch was a memorable experience. Many of these
initiatives would be digital, Narayanan said, to address “24 by 7” audiences.
It is unclear whether Nestle will appoint brand ambassadors for Maggi. Narayanan
admitted the company had not thought about it. During the Maggi recall, the
brand’s past and present endorsers, including actors Madhuri Dixit, Amitabh
Bachchan and Priety Zinta, were served notices by the Uttarakhand Food and
Drug Administration for making false claims.
SOCIAL MEDIA SUPPORT TOWARDS MAGGI
When the Maggi ban was first heard of, social media went buzzing with hilarious
memes as well as genuine queries from consumers. According to an analysis done
by Simplify360, it was found that the general tone of the posts on the social
media sites, tend to suggest a high degree of disbelief and hurt that a trusted
brand would stray from the path. Topics like #Maggiban, #MaggiInasoup kept on
trending for weeks. On June 5th, the global head of Nestle decided to withdraw all
the variants of Maggi from India, citing that the current scenario is not conducive
for the brand.
Commenting on whether Maggi has taken the right social media strategy, Vinish
Kathuria, Chief Operating Officer, Digital Quotient said, “There is no right and
wrong thing in this case. Being a global brand, there must be few guidelines which
they have to adhere to like- Don’t speak much in moments of crisis. The reason
being, sometimes over communication can infact magnify the initial problem and
they may face some legal consequences because of it. But from my point of view,
right now the communication route which Maggi has taken is quite passive, which
loyalists might not appreciate. It is very important to keep these followers on your
side; a certain appreciation for the fans is not a bad idea. Don’t be aggressive, but
a non-product consumer centric strategy is recommended.”
Vipin Dhyani, Founder & Chief Creative Director, Thought shop Advertising & Film
Productions feels the only reason why the brand should continue with its social
media communication is because, if you keep mum, then things have a tendency
to blow out of proportion. “So whatever the situation might be, whether positive
or negative, the brand needs to communicate in a polite and a positive way.
Even if, they don’t have any backup plan, they should assure people that they are
working towards it. Maggi has played a vital role in everyone’s life and has been
like their best friend in moments of crisis. It is now very difficult for people to
accept, that their favorite brand which boasts of several varieties is not there,” he
cited.
He further added, “Every brand works towards 100% efficiency and this
controversy has left a huge dent in terms of the loss for the company. People are
aware, that this must be one of the cases and obviously the R&D would love to
save the product. They should infact, do something similar to what Cadbury and
Coke did, when they were faced with crisis. The brands used their celebrity
endorsers in the campaigns, and showed them in some R&D factory, telling the
viewers that their products are absolutely safe for consumption.”
TWITTER RESPONSE TOWARDS MAGGI
QUESTIONNAIRE ANALYSIS
1. Do you purchase ready to eat products available in the market?
NUMBER OF RESPONDENTS
YES
DATA INTERPRETATION:
From the above table it can be inferred that100% of the respondents prefer
ready to eat products available in the market.
2. Are you a consumer of Maggi?
25
20
15
NO
10
YES
5
0
YES NO
DATA INTERPRETATION:
As per the studyit is clearthat 95% of the respondents are consumers of
Maggi and rest 5% do not prefer Maggi.
3. If yes, which Maggi products in noodles category do you regularly buy?
NUMBER OF RESPONDENTS
MAGGI MASALA
MAGGI VEG AATA NOODLES
MAGGI CUPPA MANIA
OTHERS
DATA INTERPRETATION:
From the above pie chart, it can be concluded that 93% of the respondents
regularly buy Maggi masala noodles, 2% of therespondents buy Maggi veg
aata noodles, 3% buy Maggi cuppa mania and 1% buys others. it can have
interpreted that Maggi masala noodles are frequently consumed by the
respondents.
4. How long have you been buying noodles?
DATA INTERPRETATION:
As per the questionnaire circulated it is seen that 93% of the respondents
are buying Maggi noodles from their childhood and rest of them are buying
since 10 years, 5years and 2years respectively.
5. According to you which age group prefers Maggi most?
20
15 4-- 12
10 13-26
27-40
5 41-above
27-40 41-above
0 13-26
4-- 12 4-- 12
13-26
27-40
41-above
DATA INTERPRETATION:
From the study it can be concluded that 4-12 age groups prefer Maggi
most.
6. What is the frequency (by family) of its consumption in your routine?
25
20
15 once a day
10 twice a week
once in two days
5
once in 2 or 4 days
0
once in week
occasionally
DATA INTERPRETATION:
According to the current survey, the frequency of buying Maggi noodles has
come down i.e. 92% of the respondents buy Maggi noodles occasionally
and rest buy Maggi noodles once a day, 2% of therespondents buy once in
a week and so on.
7. Your comment on prices of Maggi product?
30
25
20 affordable
15
high
10
low low
5
high
0
affordable
affordable
high
low
DATA INTERPRETATION:
As per the study it can be inferred that 97% of the respondents are satisfied
about price of Maggi noodles. 1% of the respondents feel that price of
Maggi is high and 2% ofthe respondents feel that price of Maggi is low and
remaining feels that it is high.
8. How do you perceive Maggi products?
18
16
14
12
10 good for health
8 ready to eat
6
junk food
4
tasty/fun eating
2
0
good for health ready to eat junk food tasty/fun
eating
DATA INTERPRETATION:
From the above bar diagram, it can be highlighted that 87% of the
respondents perceive Maggi products as ready to eat product.
9. You came to know about Maggi from?
NUMBER OF RESPONDENTS
newspaper
radio
television
friends
others
DATA INTERPRETATION:
As per the study it is shows that 95% of the respondents know aboutMaggi
through television, 2% of the respondents know through newspaper, other 2% of
the respondents know through friends and remaining 1% of the respondents
know through radio.
10. Does the celebrity endorsement prompt you to purchase Maggi?
100%
90%
80%
70%
60%
50% Series 2
40%
Series 1
30%
20%
10%
0%
yes
no
DATA INTERPRETATION:
According to current survey it can be concluded that 93% of the respondents
are not influenced by celebrity endorsement, only 9% of them are attracted
due to celebrity endorsement.
11. Which advertisement of Maggi influenced you to purchase Maggi after its
ban?
20
18
16
welcome back maggi
14
12
10 khusiyon ki reciepe mom's
8 maggi
6
I miss you maggi come back
4
soon
2
0 meri maggi
welcome khusiyon ki I miss you meri maggi
back maggi reciepe maggi
mom's come back
maggi soon
DATA INTERPRETATION:
As per the questionnaire circulated it is clear that 88% of the respondents get
influenced by the advertisement Khusiyon ki recipe mom’s Maggi,7% of the
respondents by Meri Maggi,3% of the respondents by welcome back Maggi and
2% of therespondents I miss you Maggi come back soon.
12. Do you think attractive advertisement help Maggi to increase the sales?
30
25
20 no
yes
15
10
0
yes no
DATA INTERPRETATION:
From the study it can be inferred that 96% of the respondents think attractive
advertisement helps Maggi to increase its sale, 4% of the respondents think that
attractive advertisement does not help Maggi to increase its sale.
13. Do you think Maggi is a healthy product after its ban?
25
20
15
no
10 yes
0
yes no
DATA INTERPRETATION:
As per the research conducted it can be concluded that 91% of the respondents
do not think that Maggi is a healthy product after its ban only 9% of the
respondents still think that it is a healthy product after its ban.
14. Do you prefer to purchase Maggi after its ban?
25
20
15 yes
no
10
0
yes no
DATA INTEPRETATION:
The above bar diagram clearly indicates that 91% of the respondents do not
prefer to purchase Maggi after its ban and 9% do prefer to purchase it.
15. Does the Maggi ban effects your daily routine?
NUMBER OF RESPONDENTS
YES
NO
DATA INTERPRETATION:
According to current survey it can be concluded that 97% of the respondents said
that Maggi ban do not affect their daily routine only 3% of the respondents said
that it affects their daily routine.
16. Do you think fame of the Nestle Company has come down after Maggi ban?
25
20
15 no
yes
10
0
yes no
DATA INTERPRETATION:
It is found from the above bar diagram that 95% of the respondents think that
fame of the Nestle company has come down after Maggi ban and 5% of the
respondents think that Nestle company also have other products which are in
huge demand which keep Nestle’s reputation always high.
17. What strategies Maggi is using after its ban?
NUMBER OF RESPONDENTS
DATA INTERPRETATION:
From the above pie chart it can be concluded that 89% of the respondents feel
that Maggi is mostly targeting on emotional attachments of people.
18. Do you still have an emotional attachment towards Maggi?
30
25
20
15 yes
no
10
0
yes no
DATA INTERPRETATION:
The study highlights that 97% of the respondents are still having an emotional
attachment towards Maggi and remaining 3% of the respondents do not have an
emotional attachment towards Maggi.
19. Do you think Maggi is regaining its position with the help of online
advertising?
30
25
20
15 yes
no
10
5 no
0
yes
yes
no
DATA INTERPRETATION:
Through the researchit is found that 17% of the respondents think Maggi is
regaining its position with the help of online advertising.
20. Rate the satisfaction level considering all aspects of Maggi noodles?
20
18
16
14
poor
12
below average
10
fair
8 good
6 very good
0
very good good fair below average poor
DATA INTERPRETATION:
According to the study it can be concluded that 87% of the respondents arehighly
satisfied,6% of them rated it as fair and remaining 3% rated it as very good and
poor respectively.
21. Any suggestions and other improvement would like to suggest?
NUMBER OF RESPONDENTS
DATA INTERPRETATION:
As per the suggestions given by the respondents it is found that 88% of the
respondents have suggested to sell healthy and tasty Maggi, 5% suggested to sell
Maggi without lead ,5% suggested that Maggi should be good in advertising its
products and 2% suggested that it should be banned again by the government.
Most of the respondents prefer ready to eat product available in the
market.
From the study it is found that 93% of respondents buy Maggi masala
noodles regularly because consumers feel that Maggi masala noodles is
tastier than other variants of Maggi noodles.
Through the research analysis it is found that 93% of the respondents buy
Maggi noodles since their childhood.
Maggi noodles are mostly preferred by kids, college students and adults.
Frequency of consumption of Maggi noodles has come down due to the
health issues.
Consumers are comfortable with the price of the Maggi noodles as it is
affordable.
95%of the consumers came to know about Maggi noodles
From television
It is found that attractive advertisements help Maggi to increase its sales.
Nestle is targeting mainly on emotional attachments of consumers to
relaunch Maggi noodles in the market.
95%of the consumers think that fame of nestle company has come down
after Maggi ban.
Focus on creating distinctive image, based on twin benefits of “INSTANT”
and “HEALTHY” with emphasis on health conscious.
Conduct promotional campaigns at schools in small towns with population
more than 10,000 to regain position in market.
Strengthen the distribution channel of the rural areas within 100 km of all
the metros
Company should concentrate more on television for advertisement, as
mostly people get attracted through television only.
The company should advertise its products by depicting attributes related
to health like nutrition values, % of vitamins, proteins, etc. this would help
customers in perceiving the product as healthy.
To gain maximum leverage in terms of profit the company should pay
emphasis on segments with age groups 25-35 and above. Targeting these
segments will not only enhance the company’s profit margin but also it wills
leverage the brand image of Maggi.
Conclusion Nestlé’s wise decision of merger with Maggi, made it pioneer in the
packaged food industry, specifically in India. Ease of preparing yummy dishes
instantly made it the first choice and preference for all the kids and their
mummas as well. Maggi’s consistent quality, continued innovations, skill to
identify the needs of society have allowed it to grab 90% of market share today, in
instant food products LOB. Maggi has continuously been expanding its product
line, which leaves behind the image of so called “One product concentrated
Brand” and hence less fear of being thrown out over night. Maggi has won the
King Position by its highly focused
ANNEXURE
1. Name ___________
2. Gender ___________
3. Age ___________
4. Occupation___________
5. Income ___________
6. Do you purchase ready to eat product available in the market?
a) Yes
b) No
7. Are you a consumer of Maggi?
a) Yes
b) No
17. Do you think attractive advertisement helped Maggi to increase the sales?
a) Yes
b) No
18. Do you think Maggi is a healthy product after its ban?
a) Yes
b) No
19. Do you prefer to purchase Maggi after its Maggi?
a) Yes
b) No
20. Does the Maggi ban affect you daily routine?
a) Yes
b) No
21. Do you think fame of the Nestle Company has come down after Maggi ban?
a) Yes
b) No
22. What strategies Maggi is using to bounce back in the market?
a) Targeting the mothers
b) Targeting the emotional attachments of people towards Maggi
c) Targeting the youth
d) Targeting the working women
23. Do you still have a emotional attachment towards Maggi noodles?
a) Yes
b) No
24. Do you think Maggi is regaining its position with the help of online
advertising?
a) Yes
b) No
25. Rate the satisfaction level considering all aspects of Maggi noodles?
Very good
Good
Fair
Below average
Poor