PRODUCT LIFE CYCLE

BRAND PRODUCT
PLC GRAPH

Maggi has not gone through

the normal PLC because of
constant, flavour
innovation and variety.

It changed its formulation

in 1997. Which proved to be
a mistake. Mid 1999 it
reintroduced its old
flavour.
 MARKET PENETRATION STRATEGIES

1. Promotional campaigns on Social Media Platforms.

2. Advertising strategies: focusing on kids nutrition
3. New product innovation to capture Indian Market
Amritsari Achari Masala Noodles
Mumbaiya Chatak Masala Noodles
Bengali Jhal Masala Noodles
Super Chennai Masala Noodles
4. Availability in different packages: – 50 gms. 100 gms. , 200 gms. , family packs
(400gms.). Conducting regular market research
 INTRODUCTION STAGE
First-mover advantage in instant noodles
Targeted children and their mothers
Yellow Packaging, Added Vegetables - Health Factor, Nestle brand - Hygiene
factor
Sponsored 'Hum Log' - Soap opera; 5 minute break
No Competitors
The initial pricing strategy was low pricing strategy to make product affordable
Promoted with the tagline "BAS 2 MINUTE" , "You and Maggi make tastier
meals"
Promotion focuses on awareness and information.
 GROWTH STAGE
Increasing rate of sales
Entrance of competitors
Initial healthy profits
Promotion emphasizes brand ads
Prices normally fall
Development costs are recovered
It enjoyed around 50% market share in this segment which was valued at
around 250 crores
In March 1999, NIL reintroduced the old formulation of the noodles, after which
the sales revived. Over the years, NIL also introduced several other products
like soups and cooking aids under the Maggi brand
Offered in more sizes, flavors, options
 MATURITY STAGE
Entry of ITC, Sunfest brand.
Slow Down In Sales.
Fall in market share, new entrants.
PROMOTION: Taste bhi Health bhi - Me and Meri Maggi
PRODUCT: Maggi introduced wide variety of products like Dal atta noodles,
Chicken maggi, Maggi cuppa mania.
PRICE: Maggi still comes in very affordable prices starting from Rs. 5, they
reduced the quantity instead of increasing price.
 DECLINE STAGE

New product launched but failed

- Dal Atta noodles of sambhar flavour
Many Competitors entered into the market
Long-run drop in sales
Market share declined. (Still remains dominant in instant noodles category)
Formulation Changed
In April 2015, a government referral laboratory in Kolkata, following up on an
initial report from Barabanki in Uttar Pradesh, reported excess lead in samples
of Maggi, Nestle’s instant noodles brand that then commanded 63 per cent share
of India’s Rs 5,000 crore noodle market.
Following a public outcry, the product was pulled from the market and banned
by the Indian government in June 2015.
Maggi regained its lost market share and is trying to increase its share by way of
effective communication and expanding capacity.
Maggi launched unique variants to further strengthen its presencein the Indian
market Regional Flavours: Amritsari Achari, Bengali Jhal, Mumbaiya Chatak and
Super Chennai - May 2017
Nutri-licious - Nov 2017
Special Masala - Sep 2018
Fusian - Aug 2019