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YIPEE’S COMPETITOR’S DISTRIBUTION STRATEGY

1) MAGGI: Due to Nestlé's significant market share, Maggi's goods are widely accessible. To ensure
that the product is distributed appropriately, it operates the chain of distribution systems from
Distributor to Retailer to Consumer.

Nestlé has decentralized its manufacturing system such that each factory oversees its own output. It
distributes via a two-fold path. In the first, the item is available at every neighborhood store, while in
the second, every mall and shopping center has the supply.

Distributor - The firm provides a 6% margin that is unambiguous to its distributors. In this plan, the
distributor pays the business upfront but provides the goods to the merchants' credit.

Distribution is the main element of its marketing strategy. Maggi products are obtained straight from
the factory, which is run independently by carrying and forwarding companies. These companies then
maintain enormous warehouses there and distribute Maggi products to wholesalers in accordance with
their demand for quantity. Hypermarkets and other small enterprises then distribute these volumes to
merchants or the final consumer. Retailers include neighborhood supermarkets or convenience stores.

As a result, it has won the top spot in both urban and rural markets. Even an unexpected alley can
yield it. Distribution has been the key to the success of many products.

2) KNORR SOUPY NOODLES: The company first entered the Indian market in 1996 with its
enticing soups and drinks. The brand had only 10 flavors when it first started, but it has now expanded
to 20 tastes, utilizing only 100% natural vegetables and no preservatives. Cook-up soups are available
in a variety of varieties, the most popular of which are thick tomato and mixed vegetable.
International delicacies like Mexican Tomato Corn and Italian Mushroom have also been added to the
soup.

Following the acquisition by Unilever, Knorr is now available in 78 different nations all over the
world. The business uses the current distribution route to distribute and deliver Knorr products under
the vast aegis of Unilever's FMCG division. In India, Hindustan Unilever is in charge of Knorr. This
company has a vast network of redistribution stockiest that further distribute the product to about 6.3
million retail locations. The company's positioning approach is to connect with every market sector,
including the urban, rural, and semi-urban segments of society. The company has made its products
available online grocery stores including Big Basket, Amazon.in, Nature's Basket, and even Flipkart
in addition to physical distribution
3) Patanjali-Patanjali follows a combination of strategies like low prices, ‘natural and pure’ and
ethnocentrism. These are some of the key factors that have led to the growth of Patanjali.

So, talking about the low-cost distribution system, it was extremely efficient in getting the acceptance
of its products when compared to its costly competitors. What this strategy did was it led to an
increase in country wise sales for Patanjali. New distributors and channel partners started taking
interest in this new brand.

Another interesting aspect to note was its acceptance as a ‘Swadeshi’ band. Across India people love
the brand because the see the brand as manufactured by one of their own. Therefore, people in rural as
well as urban areas started to accept this brand easily. People stated to related with this brand as it
became part of their life within few years of time from its inception.

Another important strategy that Patanjali implemented was promoting Guru Ramdev as the face of the
company, which automatically projects that the brand is Ayurvedic & natural. Therefore, many people
switched to Patanjali from others brand because of this aspect.

4) Top Ramen-This brand comes from the house of Nissin Foods, which is one of the big Japanese
FMCG’s. Till 2008 its whole distribution was taken care of by Marico in India, this was an alliance
which was there for almost 10 years. After 2008 Nissin decided to build its own distribution network
across India.

One of the big issues that Top-Ramen faced when compared to the likes of Maggi was the fact that the
distributors did not push the products to the retailer’s shelves especially daily kirana stores, therefore
many at times it was not available in the market. This resulted in the brand losing out on its potential
market across India.

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