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Project Report on

A Brand Audit of Maggi - Nestle


Submitted by
APO Group 7
Amogh Misra (210201012)
Manoj Gupta (210201059)
Padmabati Roy Choudhury (210201070)
Sarthak Natvarlal Kheni (210201086)
Vasu Jain (210201112)

POST GRADUATE DIPLOMA IN MANAGEMENT, 2021-23

TERM 3

Product Brand Management


Dr. Shawn Mathew

AT

INSTITUTE OF MANAGEMENT TECHNOLOGY, GHAZIABAD


March 2022
Table of Contents

1. History of Nestle

2. Brand Inventory – Product Portfolio

3. Product Hierarchy

4. Leading Brands of Nestle

5. History of Maggi

6. Product Hierarchy of Maggi

7. Marketing Mix of Maggi

8. Marketing and Advertisement Evolution

9. Stakeholder Management of Maggi

10. Brand Equity of Maggi

11. Primary Research on Consumer Responses to Maggi

12. Recommendations
Nestle
History of Nestle
They do use their knowledge in Diet, Fitness, and Well-being to help individuals, communities, and
animals enjoy better, healthy lifestyles for over three centuries. But what is excellent now probably isn't
good later. Therefore, they are always looking for new ways to investigate and stretch the frontiers of
what is achievable with meals, drinks, and adequate healthy solutions alternatives. They use the
potential of nourishment to make life better for all, now and in the future. They strive to increase
satisfaction and delight, help enhance vitality, create a special diet readily available to
everybody, enable prepping meals easier and more conveniently, conserve and improve nature.
It is a food and beverage manufacturing firm based in Switzerland. It has become the planet's largest
publicly traded food brand based on income as well as other measures.
It had been founded in the year 1905 by the union of the "Anglo-Swiss Milk Company,” and the "Farine
Lactée Henri Nestlé". Through WWI and during WWII, the firm expanded its product line well beyond
cold milk and baby formula commodities.

Brand Inventory – Product Portfolio

S. Categories Brands USP Product Picture


No

1. Baby Foods Gerber Among the most reliable brands in infant feeding and new born care. They are
dedicated to encouraging appropriate nutrients and dietary habits in
youngsters.

NaturNes 100% natural ingredients. The correct balance of Macronutrients. Modern and
convenient packaging with reduced environmental impact.

Cerelac From 6 months forwards, it is appropriate as a supplemental diet for babies


when breastfeeding alone no longer covers the child's rising dietary needs.

Nido Commodities include instantaneous dried whole dairy enriched with vitamins
A and D. It contains potassium, which aids in the establishment and
improvement of bone strength in youngsters.

2. Bottled Pure Life It was established to assist address the worldwide demand for clean water with
Water a pleasing flavour that is also reasonably priced.

Perrier It is drawn from a stream with a particular blend of ions and gentle
youthfulness, creating a notably refreshing, crisp flavour. This combination of
sparkles and nutrients has propelled the brand to the top of the bubbly spring
water market.

S. Pellegrino It is a unique blend of extremely clean water and nutrients. This has a
particular refined flavour that has helped it be the bubbling spring water of
choice for premier hotels all over the universe.

3. Cereals Fitness Fitness cereals give a healthy, tasty beginning to everything. Shavings are
produced from whole grains and essential nutrients.

Nesquik The first and only morning cereals that have the deliciousness of cocoa
throughout all munches. Whole wheat, vitamins, protein, and potassium are
included.
Cheerios Cheerios are delicious breakfasts produced with five healthy grains and no
colouring agents or tastes.

Lion Cereals One-of-a-kind cocoa and caramelized mix developed to satisfy the crazy
appetite.

4. Chocolate & KitKat KitKat Chocolatery portrays the ideal KitKat Break Encounter, featuring
Confectione goods that are customized and tailored, as well as instantly shared.
ry

La Latelier Flavourful treats for anybody who appreciates the healthy richness of the
environment, as well as reduced selections.

Toll House It has always provided pleasant and joyful occasions for households
throughout countries by always offering great standards.

Milky bar It has undergone several variety expansions and a range of special offers
throughout the generations, while constantly reinforcing its lactose base. It is
free from unnecessary colors, flavors, and allergens.

Smarties Constant advancements, such as the elimination of synthetic colors and


flavors, guarantee that the business stays a popular suggestion for both
youngsters.

Quality They manufacture the exquisite ganache which wraps the treats in a variety
Street from green cacao beans. There are no synthetic colors, flavors, or
contaminants.

Aero The company's success is due to its distinct bubble appearance. The manner
the bubbles burst and afterward dissolve on your palate produces a delectably
silky chocolatey feeling.

Garoto With a characteristic delicious taste that people from Brazil like, all of these
goods convey joy, joy, nostalgia, and household enjoyment.

Orion Nestlé purchase enhanced its market share much further. Ever since, this firm,
which is recognized for its workmanship, excellence, and locality, has risen in
importance consumers.

Cailler The combination of fresh milk from the area and 100 percent certified
sustainable West African cocoa continues to be an important mystery behind
the products.

5. Coffee Nescafe There seems to be a variant for all tastes and different occasions.

Nespresso Including over lakh collecting stations, they simplify it for customers to reuse
their cartridges. They also welcome similar prepacked espresso manufacturers
to join them in composting.

Nescafe This brand provides the diversity of a coffeehouse selection as well as the
Dolce Gusto option to create individual drinks according to one's liking.

Starbucks It allows one to experience a steaming cup of hundred percent Arabica beans
Coffee at while being driven by distinctive Starbucks coffee products and drinks offered
Home in cafes throughout the planet.

Blue Bottle They get their coffees via verifiable distribution networks, frequently from
Coffee suppliers with those they have collaborated with for 5 years or over average.
For each coffee, they develop a bespoke roast tailored to the finest
representation of that taste profile, as well as a rating system to ensure they
achieve the point.

6. Culinary, Maggi The renowned company is on a quest to showcase the deliciousness of


chilled & domestic cuisine by refreshing its worldwide line of products with components
frozen food that consumers are acquainted with, such as those found in their cabinet.

Hot Pockets Many types have no trans-fat, 7 vital micronutrients, and are packed with
genuine cheddar.

Stouffer’s Their simple, convection items make any food business function more
smoothly and effectively. Quality, flavor, and nutrient benefits are all
preserved in this frozen version.

Thomy The first company to package dijon in a bottle. The chilled condiments elevate
everyday meals to spectacular heights.

Jack’s Jack began his pizza business in the house basement and delivered pizzas in
the family vehicle, a 1949 Plymouth including one child seat.

Tombstone It is a frozen food brand from the United States that delivers dependably
excellent, identifiable flavor with nothing but the perfect amount of marinara,
parmesan, dough, and daily extras.

Herta The greatest resources are used and they strive to make tasty, healthy goods
that one can enjoy as part of a healthy, active lifestyle.

Buitoni The brand is derived from the old Italian variety of food and is committed to
utilizing the finest ingredients to produce tasty kinds of pasta and condiments.

Digiorno It provides fresh-baked flavor in comfort and privacy, without the bother or
expense of take-away or shipping. There seems to be a variant for everyone.

Lean There are no crash diets or miraculous solutions with this brand - only a healthy
Cuisine protein base, pleasant taste, clarification, and smart counsel from qualified
registered dietitians.

7. Dairy Carnation It guarantees the achievement of all the meals, refreshments, and confectionery
with its distinct flavor, richness, range of options, as well as one's own unique
style.

Coffee-Mate A lactose and cholesterol-free nondairy creamer that enhances the coffee and
makes it richer, finer, and gives it a creamy texture. It enhances the flavor of
the coffee.

La Laitiere Flavourful treats for anybody who appreciates the healthy richness of the
environment, as well as reduced selections.

8. Drinks Nesquik This company provides convenient and simple methods to supplement the
micronutrients of dairy while creating incredibly tasty beverages which
toddlers will demand for again and again.

Nestea A pleasant assortment of quick, dissolved tea blends in sweet and bitter
variations is offered in a variety of flavors.

Milo It contains critical essential nutrients that ensure that children’s bodies and
brains satisfy their nutritional and energetic needs. Considered as an energy
drink closely connected with athletics and wellness.

9. Food Maggi Rapid and simple solutions, such as juices, soups, and spices, to assist cooks
Service and industrial chefs in bringing out the flavor and nutrients of genuine food
items.
Chef The collection provides "made from scratch" craftsmanship, as well as
simplicity and variety. They assist cooks in achieving great dishes and
distinctive flavors for people.

Stouffer’s A diverse selection of elevated, affordable refrigerated entrées and veggie trays
in different flavors to suit every palate.

Chef-mate To assure the greatest flavor, the "heat and serve" products employ just the
highest quality ingredients. Merchandise can be provided "as is" or with a
personal touch from each cook.

Sjora A luxury, pleasant cocktail comprised of dairy and fruit drinks - a nutritious
item that is a better solution to carbonated beverages.

Minor’s The products assist expert cooks by providing great, artisanal flavors that may
be used as basis or cornerstones for superb condiments and broths.

Lean Every item is a unique blend of delectable flavors and healthier components.
Cuisine The items contribute to the enjoyment of consuming well.

10. Healthcare Boost They provide adequate nourishment to keep one going, including 26
nutrition micronutrients, phytonutrients, and protein. It also serves as a perfect meal
replacement while you're on the move.

Peptamen Major dietary formulae created primarily to increase eating compliance while
meeting recommended intake in diseased people and individuals with
compromised intestinal microbiota.

Resource A variety of dietary remedies that have been specially created to offer
appropriate nourishment, stamina, and endurance whenever the body requires
it the most.

Nutren In medicine, it is utilized for complete or supplemental nourishment for kids


Junior who have yet to meet their micronutrient intake through conventional meals.

Optifast The method integrates doctor, certified dietitian, and cognitive


counselor expertise with an elevated, carb and sugar dietary formulation.

11. Ice Cream Dreyer’s Gelato and frozen desserts of the highest quality. Grand, Slow Churned, Dibs,
and Fruit Bars are recognized, excellent products for the dear ones.

Movenpick Each flavor is genuine, and without any synthetic flavors or colors - a nuanced
and exquisite piece of gastronomic creativity which will thrill even the most
discriminating connoisseurs.

Haagen- The company's concept is easy: discover the country's cleanest and freshest
Dazs components and create those into the greatest items.

Nestle Ice The wonderful flavor and feeling, along with healthful organic substances like
Cream dairy, strawberries, nutty, make it the ideal element of a planned, joyful
lifestyle.

Extreme A handy and tasty cone that is accessible in a variety of flavors and through a
wide variety of markets. A pleasing combination of taste and color, with the
bonus of a cocoa tip.

12. Petcare Purina Devoted to uplifting the livelihoods of animals all around the globe with our
acclaimed animal food labels and guidance for animal owners

Purina One Pet diets are available in a variety of creative formulae to satisfy one's
companion's evolving and specific dietary requirements.
Purina Alpo It's well-known for its delicious meaty flavor and nutritional quality. It has a
meaty flavor that dogs love. The entire collection of delectable wet food, crispy
dry food, and tempting snacks is prepared especially for canines.

Purina Felix Offered in a variety of tantalizing flavors, thicknesses, and forms. From babies
to elderly cats, there is plenty for everyone, including tantalizing snacks and
milk.

Purina Pro The spectrum was created by specialists and includes a potent blend of critical
Plan vitamins that have been optimized to assist one's animal's important defence
techniques.

Purina Cat It is committed to assisting kittens and those who care for them. It provides a
Chow plethora of valuable materials and formulations for a cat's good health.

Purina It is an opulent collection of mono culinary dishes with hundreds of delectable


Fancy Feast flavours in a range of intriguing flavours. It provides all of the cat's nutritional
requirements with the sophisticated flavour she craves.

Purina With a tantalizing variety of distinct flavours, cuisines, and sensations - all
Gourmet made to the finest cat gourmet norms and offered in handy solitary amounts.
Gourmet is a label for cats that appreciate the luxuries.

Purina It is made with raw meat and nourishing crunchy dog biscuits and comes in a
Bakers multitude of flavours for each phase of a dog's existence.

Purina It provides your cat with just about everything she desires: fine taste,
Friskies nourishment, and an incredible variety of flavours.

Purina Dog They offer full and appropriate nourishment for canines at all phases of
Chow development. The specially picked, top-quality contents offer 100 percent of
the necessary nutrients a dog requires to carry on living, healthy life.

Purina It is available in several formulations and forms and is the right choice for dog
Beneful owners who desire high nourishment for their pet sans compromising flavour.
To give ample nourishment, each type incorporates healthful ingredients.
Product Hierarchy

Baby Gerber, NaturNes, Cerelac, Nido


Foods

Bottled Pure Life, Perrier, S. Pellegrino


Water

Cereals Fitness, Nesquik, Cheerio’s, Lion Cereals

Coffee Nescafe, Nespresso, Nescafe Dolce Gusto, Starbucks Coffee at Home, Blue Bottle Coffee

Dairy Carnation, Coffee-mate, La Laitiere

Drinks Nesquik, Nestea, Milo


Nestle

Food Maggi, Chef, Stouffer’s, Chef-mate, Sjora, Minor’s, Lean Cuisine


Service

Boost, Peptamen, Resource, Nutren Junior, Optifast


Healthcare

Ice Dreyer’s, Movenpick, Haagen Dazs, Nestle Ice Cream, Extreme


Cream

KitKat, La Latiere, Toll House, Milky bar, Smarties, Quality Street, Aero, Garoto,
Chocolates
Orion, Cailer

Frozen
Maggi, Hot Pockets, Stouffer’s, Thomy, Jack’s, Tombstone, Herta, Buitoni, Digiorno, Lean Cuisine
foods

Purina, Purina One, Purina Alpo, Purina Felix, Purina Pro Plan, Purina Cat Chow, Purina Fancy
Petcare Feast, Purina Gourmet, Purina Bakers, Purina Friskies, Purina Dog Chow, Purina Beneful
Leading Brands of Nestle

1. Maggi
It is among the most famous firms around the globe, eastern Mediterranean and Asian countries, and
really has blended through into the routine lives of individuals from all strata of society in third world
countries. It is a Swiss company that produces spices, stews, and kinds of pasta. Julius Maggi
established the company in 1897. Nestle bought the company in 1947 and hasn't turned back
thereafter.
2. Nescafe
It is a combination of the phrases Nestle and café, which is an additional renowned trademark. It is a
coffee shop chain that is available in both powdered and ready-to-drink forms. To consume the
granules, which are available in a variety of flavours, combine them in hot water. The
company launched this brand in 1938, even though the company began creating the brand name in
1930, because of the request of the authority of Brazil, needed to aid conserve the significant overflow
of the yearly harvest of coffee.
3. Milo
It is a famous chocolaty malted beverage that is hugely common in South-East Asia. It is typically
offered as a powder in a greenish can with numerous sports activities shown, but it is also offered as a
blended drink in certain nations and has now evolved together into a snacking item and morning meal.
4. Nestea
It is a firm that originated in Switzerland and offers iced tea and cold drinks that are made by
Coke and widely installed by the drinks division. It is a Coke plus Nestlé partnership that is rivals
with Lipton.
5. KitKat
A well-known flagship brand, distinguished by its characteristic red wrapping and the ability to detach
individual pieces or digits from the candy. Rowntree invented the product, and Nestle purchased it in
the year 1988, providing worldwide ownership over the product.

Maggi

History of Maggi

Maggi was started in 1886 in Switzerland by a pioneer in mixing spices to provide convenience and
nutrition named Julius Maggi. He created mixes of spices to make food consumption more tasteful and
food preparation simpler. Their main products were high protein legume-based meals including ready-
made soups and several nutritious seasonings. Fridoline Schuler, his physician buddy, was quite helpful,
as was Maggi, who was made in two minutes and was very fond of it. Maggi had moved to the United
States and France by 1912. Julius Maggie, on the other hand, died this year.
In 1947 this famous brand which offered jus, bouillons, soups and seasoning was acquired by Nestle.
This marked the beginning of the Maggi brand under Nestle as we know it. Over the years Maggi has
built trust among professional kitchens and families alike regarding the high quality and convenient
nutrition provided by them through their various products. This renowned brand is on a quest to provide
the deliciousness of home cooking by refreshing its worldwide product line with ingredients that
consumers are acquainted with, such as those found in their kitchen cabinets.
That means more veggies and unique flavours derived from vegetables, herbs & spices, cereals, and
other nutrient-dense nutrients. Their motto being ”Simply good” showcases Nestlé's commitment to
enabling healthier and happier lives is reflected in this campaign to inspire and offer tastier and healthier
options. Nestle India spends approximately Rs 100 crore on advertising, with Maggi accounting for the
lion's share. Maggi, one of India's most valuable brands, is technically an associate brand of Nestle, a
well-known Swiss corporation, although most people see Nestle as the original brand.
The brand was valuated around 93.3 Billion INR in 2017 and has a CAGR of around 5.6% with 60%
market share projection.
Product Hierarchy of Maggi

Maggi

Noodles Ready-to-Eat Pazzta Sauces


Cooking Aids

2 – Minute Masala Cuppa, Cheesy Tomato Hot & Sweet Tomato


Noodles, Special Chicken Cuppa, Masala-ae-Magic, Twist, Mushroom Chilli Sauce, Rich
Masala Noodles, Chilly Chow Masala-vin-Magic, Penne, Masala Tomato Ketchup, Rich
Veggie Masala Cuppa, Upma, Masala-ae-Magic Shahi Penne, Cheese Tomato Sauce-No garlic
Noodles, Poha Masala, Coconut Milk Macaroni No onion, Pichkoo Hot
Vegetable Spinach Powder, Magic Cubes
& Sweet Tomato Chilli
Atta Noodles, Vegetarian Masala,
Sauce, Pichkoo Rich
Chicken Noodles, Fried Rice Chilli Garlic
Tomato Ketchup,
No Onion No Spice Mix, Fried Rice
Pichkoo Imli, Hot &
Garlic Noodles, Classic Veg Spice Mix,
Sweet Extra Hot
Nutri-licious Atta Paneer-ae-Magic
Tomato Chilli Sauce,
Masala Noodles, Kadhai Paneer Masala,
Hot & Sweet Sriracha
Nutri-licious Oats Paneer-ae-Magic Shahi
Style Tangy Tomato
Masala Noodles Paneer, Magic Cubes
Chilli Sauce
Chicken

Marketing Mix of Maggi

● Product Strategy:
Maggi is one of the highest-grossing food brands under Nestle. It has a myriad of products in
its catalogue, though its product line differs from country to country, depending on the demand
and the customer preferences. These products are exclusively customer friendly in terms of
prices with an exception of the Hot Head noodles and are widely available in countries like
India, Pakistan and Bangladesh.
○ The product line consists of 7 to 8 varieties of their instant noodles, including their base
flavour with Chicken and Jain options even Oat based noodles for their health-
conscious customers.
○ They also have 3 flavours of cup noodles and a few other ready to eat products like
poha and upma.
○ Consisting of around 10 cooking aids ranging from their special ‘Masala-e-magic’ to
coconut milk and even chicken cubes.
○ And a separate line of sauces and ketchup with around 7 products.
○ They also boast 4 separate pasta related products namely Pazzta.
Maggi introduced their pocket-friendly offer of a multi-pack, it has 2 options of 2 in one and 4
in one. And these offers work exceptionally well with the ever-expanding online market, there
was a clear observation regarding the rise of sales of these multi-packs during the lockdown.
● Price Strategy:
Maggi implements cost-based pricing, as the prices are made up by the volume of their sales.
Due to the rising prices in many nations, Maggi has wisely begun limiting the amount in order
to maintain the very same rates. Nestle aims for maximum market share by sustaining low
prices and high-quality products. Although Maggi aims to reach out to all economic levels, it
maintains varying pricing in different regions and across nations. Its solutions are also offered
in a number of bundles, allowing customers to purchase based on their specific requirements.
Maggi has recently introduced new items such as the cup line and Hot Heads noodles, which
are aimed at middle and upper economic groups and hence cost accordingly.
Pricing plan for current product versions based on the goal of "Maximizing Market Share."
These versions are reasonably priced. Because it is particularly price-sensitive, each change in
price prompts an immediate price check reaction from the rival. Nestlé attempted to survive in
the face of fierce competition. They attempted to cover variable expenditures as well as certain
fixed costs in order to continue in the sector.
● Place and Distribution:
Because of Nestlé's dominance in the market, Maggi's goods are readily available. It
maintains the distribution system chain from Distributor to Retailer to Consumer to make sure
the project is supplied appropriately.
○ Decentralised Production Process: Here each plant is responsible for their share of
production.
○ Distribution: There is a two-fold distribution plan which they follow
■ First, they make sure that the product is available to every local store
■ Secondly, they make sure to stock up the super-markets and shopping malls.
The company offers the distributors a 6% margin, in this scheme, they pay the
company in advance but provide the products to the credit of the retailers
○ Retailers: In turn, the store receives a 15% margin on promotional items and a 10%
margin on regular products.
● Promotion
To raise awareness, Maggi has employed advertising as its primary promotional technique. It is first
targeted at children and working mothers who have limited time to prepare meals. The commercials
were primarily broadcast on children's networks and included a variety of catchy taglines.
Maggi has also leveraged the taglines from the "Miss You Maggi" ad campaign to reclaim lost
customers in India following the Maggi ban. It has attached many free goods to its products as sales
methods over the years, such as amusing books, toys, and free samples. Scratch n Win Schemes
and discounts were also available from Maggi. Many celebrities, including Madhuri Dixit, were
used as brand ambassadors.
Maggi is a well-known Nestle brand that places a strong emphasis on creating and implementing
digital and social media efforts. The company uses a smart engagement approach across all of its
social media platforms, relying on the strengths of each platform to deliver its message and manage
consumer involvement. To strengthen the brand MAGGI, the company is actively participating in
social media platforms and developing a strong digital presence. In addition to television, the
corporation communicates with customers via Twitter and Facebook. Their brand-building method
places a strong emphasis on digital and social media.

Competitors of Maggi

Maggi owns 60% of the market share in India and was also considered to be a monopoly at one point.
But in recent years, there have been new competitors in the market and are giving tough competition to
Maggi. Some of the Brands are listed below-
1. Sunfeast Yippee Noodles
● This brand has been around since 2010, although it has only recently gained popularity.
Sunfeast Yippee's USP, according to their official website, is that the noodle cake is
circular, which means you'll receive incredibly long and slurpy noodle strands. The
best aspect is that even after 30 minutes, they don't become soggy.
2. Wai Wai Noodles
● This company was founded in Nepal in 1972. Since then, it's made its way into nearly
32 countries' kitchens. The nicest part about these noodles is that, in addition to eating
them as soupy or ordinary instant noodles, you can eat them right out of the package
— simply add the powdered sauces, stir well, and you're ready to go. Even cooking it
is simple: just add boiling water, cover, and set aside for 4-5 minutes (you don't have
to stir it) to enjoy your steaming bowl of noodles.
3. Top Ramen Curry
● Nissin's Top Ramen Curry is the crown prince of instant noodles, only surpassed by
Maggi's dominance. And it's probably the only brand that takes less than 2-3 minutes
to prepare, fulfilling the entire goal of instant noodles. The flat long noodles are spicier
than their Asian counterparts (but not as spicy as Korean Ramyun) and come in a
variety of flavours like masala, curry, shrimp, chicken, and more. They're also available
in cup noodles, making them a convenient option for everyone on the go.
4. Knorr Soupy Noodles
● A filling lunch that combines the health of soup with the convenience of instant
noodles. You'll know what we're talking about if you remember their jingle. Knorr
instant noodles come in a variety of flavours, including Chinese noodles, masala
Chaska Desi noodles, and Italian cheese and herb noodles.
5. Ching’s Super Noodles
● Although the concept of "desi Chinese" is not new in India, the brand sponsored by
Ranveer Singh took full advantage of it and capitalized on it like no other. Ching's
Secret instant noodles, manufactured by Capital Foods, are progressively gaining
popularity.
6. Patanjali Atta Noodles
● The prohibition on Maggi opened doors for a number of brands, including Baba
Ramdev's Patanjali, which entered the FMCG market with Patanjali Atta Noodles.
Because other quick noodles are prepared with maida, the brand promoted their noodles
as a healthier alternative to Maggi and other instant noodles.

Marketing and Advertisement Evolution of Maggi

Maggi has always been a special meal that people have loved and enjoyed, especially the kids. They
have usually been seen as an incentive for the kinds upon completing a task. Maggi's campaign team
deserves all of the credit for hitting all of the right buttons and ensuring its presence in every home.
When it comes to television commercials or even stills, their method is so effective that we can not only
feel but also smell the hot masala-filled noodles detangling in our tongues.
Maggi may have been purchased by Nestle in 1947, but it continues to dominate the market on its own,
unofficially. As is typical of viral news, it suffered a major setback when above-acceptable MSG levels
were revealed in June 2015, prompting additional testing in Kolkata. Following this, Maggi was pulled
from the counters of every store, supermarket, and 'thela shop' in the country, much to the
disappointment of millions of people. People were compelled to shift to other, less popular noodles as
the internet burst with Maggi-smuggling memes, only to have some of them taken away for testing as
well.
After five gloomy months, the people of India were awakened to the news that Maggi was making a
comeback into respectable society, and everyone was ready to fight it out for the first few packets.
Maggi has nearly regained its pre-ban customer proportion and remains at the top of the packaged food
chain.
To attract people, Maggi has long used family-oriented ads. The majority of the commercials feature
mothers surprising their children with their favourite two-minute noodles, with a plot including the child
having a hard day at school or the child growing up and using the mother's secret Maggi recipe to remind
her that she still needs her. In either case, the narrative revolving around the mother-child combination
(in most advertising) strikes a connection with customers, who subsequently begin to unconsciously
notice the product's family value. Naturally, the first ad following the Maggi relaunch featured a mother
reminiscing about her child's first encounter with his favourite noodles, adding to the emotional value
of the customers right there.
According to various data estimates, after the catastrophe of the Maggi ban, Nestle chose to raise its
expenditure on television ads, resulting in a 96 per cent rise in ad volume by September 2015 — two
months before the return of the iconic noodles. "Your Maggi is safe, has always been," stated the first
print advertisement accompanying the relaunch announcement. Maggi was persistent in its promotion
of the impending relaunch on social media, in addition to increasing spending on television ad space.
Using the full weight of its long-standing presence on social media sites such as Facebook and Twitter
Consumers, like everyone else, crave the sensation of possessing a product or service "exclusively."
Maggi played its cards well when it opted to take this into consideration by striking an agreement with
Snapdeal, which became the sole platform where Maggi packets could be purchased prior to its formal
return to shop shelves. Customers were trying to outbid each other for ownership of the packets,
sometimes even paying more before they ran out of stock as a result of this. As a result, the corporation
laid the stage for Maggi's official return to the market.

Stakeholder Management of Maggi

Maggi's global stakeholder network is extensive, ranging from people we interact with on a regular
basis as part of our operations to public officials that have an impact on our operations. Some of the
Activities Maggi indulged itself to manage its stakeholders are listed below -
● Maggi recently collaborated with the University of California at Davis on a study that looked
into the effects of drinking water on memory and attention in children aged 9 to 12.
● Since 2009, Maggi has been collaborating with community stakeholders in the Mossel Bay
region of South Africa to help alleviate the consequences of drought. Maggi provided water to
dairy farmers and began to address the water quality in a nearby lagoon thanks to their holistic
approach to water management. In 2017, their plant in the area will likewise become a zero-
water facility.
● Nestlé created the Alliance for Youth project, which has attracted 200 firms to help 62 000
young Europeans find work or training possibilities.
● Maggi has begun working with merchants and food service providers to create surroundings
that encourage people to eat healthier and live healthier lifestyles. Long-term cooperation with
strategic partners might include messages encouraging better choices in stores and online,
healthier options at checkouts, and ethical marketing communications to parents and caregivers.
● 'Nestlé and I,' their global employee satisfaction survey, has six questions to determine how our
employees believe they are treated. To assist drive quality throughout our business, we recently
combined our Culture of Quality Survey, which previously reached roughly 62,000 people, into
this company-wide employee survey.

Brand Equity of Maggi

Maggi belongs to the parent company, Nestle and has Maggi presence across the globe and owns a
variety of products. Maggi have a lot of products under their brand name and has developed a strong
Brand Equity because of the following factors -
● Brand Awareness
○ Brand awareness that Maggi owns has helped them expand their brand across various
countries. Maggi has now become an essential of every household showing the extent
of the presence of their brand awareness in the minds of the people. People even use
the name ‘Maggi’ for the instant noodle products in the kitchen.
● Brand Loyalty
○ Maggi has been present in the market for a really long time and has become a part of
their diets for generations. This shows the kind of loyalty customers carry with this
brand. Maggi is constantly improving their brand and is introducing new products,
changing their branding and their loyal customers have been evolving and adapting
with them constantly. Maggi was to grab the attention of their target market because
they correctly identified the needs of their target customers and their demands. Since
the customers were looking for instant food, they got instant noodles, and they were
able to quickly adapt to the product which has become a part of their lifestyles for years
now.
● Brand Image
○ Instant noodles that can be cooked and be ready in 2 mins in the image that the brand
has been trying to portray for many years now. The delicious image of their food
conveyed by the brand is stuck in the customer’s mind and has grabbed their attention
efficiently. Most of consumers remember the brand that gives them noodles that can be
prepared in 2 minutes, showing their strong brand image.
● Brand Assets and Elements
○ The huge, diverse range of product portfolios that Maggi owns, manufactures and sells
is their biggest asset after their strong brand name. They have a strong distribution
channel that is present in more than 100 countries, which is also their important brand
asset.
○ The colour of their brand is very well known and easily identified by everyone. So is
their packaging is easily identified by most consumers which adds to their strong brand
equity. Their logo contains their brand name, hence it makes it easier for the consumers
to identify their brands as well as their logo.

Primary Research on Consumer’s Response to Maggi

Preference to eat Instant Noodles-


Q1. - What is your preference to eat Instant Noodles?
1 - Prefer to eat 5 - Do not prefer to eat

Sum of What is preference for Column


Instant Noodles? Labels

Row Labels 1 2 3 4 Grand


Total

15-25 26.32% 21.05% 31.58% 21.05% 100.00%

25-35 16.67% 83.33% 0.00% 0.00% 100.00%

Grand Total 20.93% 55.81% 13.95% 9.30% 100.00%

As per the data, we see 76% of people in the age group of 15-35 have a liking for instant noodles and
prefer to eat them. None of participant mentioned that they do not eat Instant Noodles.
Q2. Choose the brand of Instant Noodles you prefer -
1. Maggi
2. Patanjali
3. Sunfeast
4. Instant Ramen noodles

Sum of What is Column Labels


your preference
for Instant
Noodles?

Row Labels Maggi Grand Total

1 100.00% 100.00%

2 100.00% 100.00%

3 100.00% 100.00%

4 100.00% 100.00%

Grand Total 100.00% 100.00%

Here the people whether they prefer to eat or have less preference for Instant noodles, all opted for
Maggi to be their preferred choice of instant noodles. Brand Loyalty is high for Maggi.

Q3. Which brand resonates with the following features -


● Taste
● Size
● Availability
● Value for money
● Overall
Here as well, Maggi is clear winner among all the other brands. Maggi, as mentioned earlier, owns a
good brand image. Consumers identify Maggi with the important qualities they expect from an Instant
Noodle supplier. Value for money justifies their pricing strategy. Availability justifies their Distribution
channel is strong and the product is easily available for anyone to consume.

Q4. If Maggi instant noodles are easily available to you, how frequently will you
consume/purchase Maggi noodles?

Count of If Maggi Instant Noodles Column


were easily available near you, Labels
how frequently would you
consume/Purchase in a month ?

Row Labels < 7 days 7 - 15 days Everyday Grand Total

Maggi 54.17% 29.17% 16.67% 100.00%


It can be seen that repeat purchase and consumption of Maggi is high. With the distribution channel
being strong, the customers tend to stick to Maggi instant noodles, and have a high brand loyalty.

Q5. What products of Maggi are you familiar with?


● Sauces
● Seasoning
● Pasta
● Instant Noodles

Customers are familiar with the products Maggi offers apart from their instant noodles business. This
ads on to prove that, the Brand Assets owned by the Maggi is high and their people identify all of their
products very well. Maggi enjoys a good brand awareness about their products in the minds of their
consumers.
Q6. Which of the following words will you use to describe Maggi as a Brand?

The brand image Maggi carries is good in the minds of the consumers. They lack in providing variety
but compensate well with what they offer through other factors like convenience, value for money, easy
availability and Good taste.

Recommendations
• Due to the pandemic there was a
disruption in the supply chain and brands
tried their best to keep up with the rising
demand for FMCG products being bought in
bulk. One of the top-performing brands in
terms of reaching households was the brand
in question, Maggi. Almost tied for the 3rd
place with an essential product as Lifebuoy
with over a reach of 3 Billion households
according to Kantar (Statista). The strategy
which they put in place was simple and it
worked wonders. They concentrated on the
convenience and accessibility aspects.
Maggi is often used interchangeably with
instant noodles in India - it is among the
oldest and most widely used brands of
instant noodles in the country. This image
helped Nestle in posting one of the strongest
quarter in 2020FY Q1. Hence, we can
strongly conclude that their current
strategies are working wonders from the
above secondary data along with the primary
research which we conducted.

• Sales of most of the ready-to-eat and


ready-to-cook foods went up by 80% during
the pandemic and frozen foods sales became
more than five times in comparison to
previous years. And in order to capitalise on
this spike Maggi and nestle made sure that
their brand perception maps always lie
where it is convenient and easily available. In a study conducted by Dr. Hvovi Bhagwagar, a
Mumbai-based psychotherapist concluded that there were three times as many appointment
requests since the epidemic began, and noted that food is an accessible source of consolation
during these trying times. As this brand offers products which are very flexible in terms of
preparation and are the first cooking endeavours of many young ones in the Indian households.
On top of this there is a nostalgia element for the 90s and 80s kids who are able to cook and
look for various variations of the basic recipe, this led to an increase in google searches of the
brand by 160%. Hence these brand images need no shift because they capture many major
demographics of instant noodle consumers from millennials to older Gen Z. Although Maggi’s
market share dropped from 90% in early 2000s to just above 50%, this number saw an increase
due to the pandemic and has been growing ever since.

• Since Maggi is heavily perceived to be in the snacks segment, they position themselves as “2
minutes noodles” and “easy to cook, healthy to eat”. They can capitalise on this image of ease
and convenience in order to extend the brand into the meals segment, like the MTR ready to
eat lines and its own paneer products by the use their popularity of Magic Masala to entice
consumers. This will help to expand their consumer base. As their original consumer base
grows older and grows out of instant noodles, in order to retain them, this idea of extension can
help them expand.

• Maggi is strongly associated to savoury and spicy products and currently no product in their
portfolio is an exception which is not a cooking aid. This means that with their current
positioning and brand image, it will be counter intuitive to add any dessert or chocolate-based
product, as its strong association to noodles and sauces will hinder the new products growth.

• The food processing industry in India is in its infancy. Only around 10% of the product is now
processed and eaten in packaged form, indicating enormous potential for development and
growth. Traditionally, Indians prefer to eat fresh foods rather than packaged or frozen foods,
but the tendency is changing, and the new fast food generation is gradually changing. Hence to
benefit off of it, Nestle and Maggi can introduce new products like chips, even frozen products
like fries and potato wedges etc under Maggi’s name.

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