Demand and Supply Analysis

of a MAGGI
Submitted to : Hansa Jain

Submitted by: TejashNayak

Section-A
Roll No:21
 MAGGI

 M - MISAL ( Marathi word) , Relatively cheap and good nutritional value

made for breakfast
 A - ALLEGRO ,musical tempo meaning Quick in time
 G - GASTRONOMY ,the art and practice of cooking and easily good
food
 G - GLAMOROUS attractive and exciting

PRODUCT HISTORY
 Nestle is a Swiss company
 Founded in 1866 by Henri Nestle
 Nestle market its products in 130 Countries across the world
 It was founded by the Maggi family in Switzerland in the 19th century
 Maggi has been Nestlé's flagship culinary brand not only in India but
globally as well

WELCOME TO “THE WORLD OF NESTLE MAGGI”

 A brand of Nestle

 Launched in the year 1983 in India

 Initially targeted at Working Women

 Then repositioned itself to target kids

 Market Driver in the Instant Noodles category

 Currently enjoys a market share of about70%

 BRAND JOURNEY
WHAT XEROX IS TO PHOTOCOPIER AND, COLGATE TO TOOTHPASTE MAGGI IS
TO “NOODLES IN INDIA

Maggi has been a mainstay in Indian market for a long time now. Maggi
and Noodles are synonymous.’

India has emerged as the largest consumer of Maggi noodles across Nestle
operation in the world, Carlo Donalti Nestle Chairman and Director told to ET
Nestle unleashed Brand Maggi in India almost 25 years ago in 1983 With the launch
of its traditional ‘2-minutenoodles’

When Nestle India launched Maggi in the country, it used the tagline, ‘Fast to cook and
good to eat’, to not only promote the product, but also to educate the ever
growing aspirant consumer about the advantages of using it.

LAW OF DEMAND

“Demand for a commodity increases when its price decreases and falls when
its prices rises, other things remaining constant.”
 FACTORS AFFECTING THE DEMAND
Determinants of Demand,

Price of the commodity,

Income of the consumer,

Prices of related goods,

Taste and Preferences

Advertisement

PRICE OF RELATED GOODS:

MAGGI
QUANTITY PRICE
YIPPEE
QUANTITY PRICE

Difference in the Price of “MAGGI” and “YIPPEE” :

P R I C E S O F C O M P L E M E N T A R Y C O M M O D I T ES :

C O M P L E M E N T A R Y PRODUCTS:

KETCHUPS, MAGGI,

KISSKISSAN,

HEINZ,

VEGETABLES

ADVERTISEMENTS:

Revolutionary Tagline,

“Bus Do Minute”
“Jab bhook sataye… toh maggi ho jaaye”Taste Bhi Health Bhi".

“Just add garam paani …Carry on jaani”

Flavour sandVarieties

Original Flavour ,Chicken, Masala, Dal Atta,Vegetable Atta Noodles"

Cuppa Mania"Tomato,Chatpata, Shahi Pulao,Chilly Chow, Lemon
Masala

SUPPLY CHAIN
NESTLE / MAGGI BRAND PRODUCTS AVAILABLE IN MARKET:
Sunfeast Yippee Noodle: Targeting Maggie with Benefit
Positioning:

Top Roman failed and so did Foodles. This time Maggi with 80% market share in India is
again being targeted by ITC’s sunfeast Yippie noodles with a slight different and a well
thought out stratgey

The below commercials of Sunfeast Yippee noodles are based on clear benefit positioning
over Maggie. Lets have a look at them one by one

1. The above advert attacks the largest selling variant of Maggie, Maggie Masala, and
gives consumers the choice of two masala “Magic” and “Classic”. The
advert emphasizes that since we use choices in everything why should we settle with
only one choice with maggie masala.
2. The advert focuses on advantage of Yippee noodles on Maggie. Usually Maggie
comes in rectangular shape and while cooking it is broken into two pieces. It results into
short pieces of noodles. On the contrary Yippee comes in round shape and can easily fits
into vessel with no breaking which results in long noodles.3. the biggest problem with
cooked Maggie is that it is ti be eaten when freshly cooked. If you keep it for some time
its noodle get sticky becomes inedible.this advert exposes the same disadvantage with
Maggie and promises that Yippee noodles can be eaten after some time.
3. The biggest advantage for brands like Maggie is its taste and first mover advantage
in the instant noodle market.the brand Maggie is now become generic for the category
and mere advertising is not going to do any harm to Maggie.
4. But the key to success for Yippe will be taste and targeted promotional activities and
good distribution.some where deep down also believe that most the noodles brands
target children only. Since the noodles in india is vastly in india is vastly consumed by
population by young population also, then why not target this group and segment the
market, “divide and Conquer”

CONCLUSION:
 Maggi has achieved a great position in market and this position is least
affected by its c o m p e t i t ors
 Law of Demand “
 Lower the price higher the quantity demanded and vice versa "works
 Completely in case of maggi noodles.
 MAGGI for last 25 years had managed to remain
unbeaten in the market because it has always given more preference to
the taste of people.