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/2010.

~
CASE
STUDY

rp~

~ f..AD<h.0.

~

.

.

Cooking
UpMaggi oodles*
N
MaggiNoodles
was launched 1982by NestleIndia
in
Limitedas Maggi2-MinuteInstantNoodlesunderthe
prepared
dishescategory. estleis a Swisscompany,
N
whose
linkwithIndia
goesbackto 1912, henit waswell
w
known
as'Nestle
Anglo-Swiss
Condensed ilkCompany
M
(Export) imited', ince
L
S
then,Nestle
hasstooditsground

firmlyin India,bysettingits foundation s a well-known
a
brand, ffering
o
solutions customers'
to
wantsin different
segments.
Thebrand
stillcommandsnenvious
a
market
shareof morethan 90 per centand has successfully
launchedauces, astas,
s
p
andsoups
(Chamikutty
2010a).
MaggiNoodles oneof thosebrandnames whom
is
for

Ma.tf-

T

tIJ

Sl

al
el
81

ar
m
th

b

s
in
w

01
ta
*Amit Bhargava (Management Executive - Marketing, Global Agrisystem Pvt. Ltd) and Akansha Lamba (Management Executive - Consultancy
and Projects. Global Agrisystem Pvt. Ltd).

'g
<AND
MANAGEM~NT

Source: http://www.nissinfoods.com/topramen/.

Image1.5 Flavours ffered
o
byTopRamen
Noodles
being
'healthier' 'tastier'.
.and
Thisproposition
didwonders
forthemandwithina year,it wentbackto becoming
the
marketeader.ndo-Nissinadbecome
l
I
h
complacent
and
wastakenbysurprise thiscomeback.
at
Magginotonly
recovered
lostgtound, utalsowiped
b
outthecompetition.
Therecallpower f Maggi
o
wassostrong
thateliminating
thecompetitionecame
b
easyfor Maggi(Sharma
2010).
'In July2001,Maggireplaced
Nescafe
(Nestle's
coffee
brand)
asthecompany'sorebrand.Nescafe
c
hadbeen
NIL's
corebrand
since1998.'

attanoodles)
madeofwhole
wheat lourandvegetables,
f
whichis healthier omparedo the refined
c
t
flourvariety.
MaggiDalAttaNoodles
wasalsolaunched
(c.ontaining
wholewheat lourandpulses), hichhadto bephased
f
w
outagainasit didnotgodownwellwiththeconsumers'
palate. hiswasfollowed ricenoodles
T
by
andtherange
consisted fshahipulao,emon
o
l
masala,
andchilly
chow.
The traditional angewas enrichedwith calciumand
r
protein, othatthechildren
s
(their
targetmarket) otupto
g
20percentoftherequired
intake
fromMaggi Das
(
2007).

Thehealthplank

Bonding with consumers

Theturn of the century
sawNestleshifting 'healthy'
to
products.
Consumers
toowerebecoming
greatlyhealth
conscious.
Thus,Maggirepositioned
itselfonthe health
platform
with its tagline'Taste
bhi.Healthbhi'(i.e.,it is
bothtastyand healthy).n 2005,it launched number
I
a
of 'healthy'productsto attractthe healthconscious
consumers.
There
wastheMaggi
AttaNoodlesvegetable
(

Maggi
haslaunched any
m commercial
campaigns
inorder
to connecttselfwiththe Indiancustomers,
i
andinstead
of usingbig Bollywoodtars,they haveusedcommon
s
people usedmodels
or
whoappeal o thecommon
t
man
(seeImage IthadusedPreity
1.7).
Zinta
tobuild
awaieness
aboutits~5pack, ndshehasthedistinctionfbeing
a
o
the
onlycelebrity
toendorse
thisiconic
brand.
"

BRAND MANAGEMENT

Source: ttp://www.maggi.in/merimaggistories.aspx.
h

Image
1.8 MeandMeriMaggi
Theuseof thecommon
manin thecommercials
led
to a relevantinkagebetween customer ndMaggi
l
the
a
Noodles.
Pradeep
Kumar,
CA,says,'Whenever! issed
m
mymother rgharvVala
o
khana, always
i
usedtoeatMaggi.'
A consumer
ofMaggi elates it strongly
r
to
andit generally
goesinthemonthly
buying
listofa household.
Shaili atnaik,
P
another
consumer,
states
thatMaggi
has
becomeuchanintegral ofherlifethatwhile
s
part
travelling
abroad, hetendsto carrypackets Maggidepending
s
of
on.thetime-frame f herjourney,ryingdifferent
o
t
recipes
andflavours
asadd-ons,
ending
uphaving different
a
yet
similar omfortingxperience.
c
e
Thishighlights
thefactthat
thereexistsa strongintegration foundation the
and
of
brand
intheminds
oftheconsumers.

Oncompleting
25years
intheIndian
market
andhaving
a wholegenerationf conSlJmers
o
whohadgrownupon
Maggi,t madesurethatit didsomethingpecial. eople
i
s
P
whohadfirsttasted
thebrand kidswerenowrunning
as
households.
Seeking
tostrengthen
thisassociation,
Maggi
initiatedthe 'Me and MeriMaggi'campaign
(Bhandari
2009).(SeeImage
1.8.)
Thecampaign asanattempt
w
to
highlight
thehappy
occasions
theconsumers
hadhadwith
thebrand
andrelive
theirbestexperiences-theirMaggi
'
Moments'. he chosenentrieswere enactedin a TV
T
commercial,
printed Maggi's
on
packsor in newspapers,
and also postedon the Internet.Maggihad people
participating
fromall overIndia,illustratinghefactthat
t
Maggi
wasnotjusta snack
forthem,buthadbecome
their

.Jo
--

INTRODUCTION
TOBRANDI: Iii. 31
'G

companionndsoulmate.Theidentity thebrand
a
of
was
stillverystrong thecompany nderstood
an.d
u
thisafterthe
response received
it
inrelation
tothiscampaign.
ManayaGargfrom Delhisays Maggihas heldan
essential
place
inherlife.Fromherchildhoodays, oher
d
t
school,college, ffice,andmarriage,
o
Maggihasalways
beentherefor her.Consumers Paremal tatethat
like
s

khao,hodapiyo'andthesoupy
t
partaddsva' mak;1g
it
healthy ndadding
a
funatthesame
tirle. Foo('IAs the
used
nutrition lank
p
todifferentiate
themselves
ar, :rr a'Jle
to
capture
5percentofthemarket hare
s
with 'ef. 'lonths
of theirlaunch theSouth. hough ')1
in
T
a
~,ayers
are entering market, jay Gupta,vfC )j ipltal
the
A
Foods
believeshatwitha CAGR 20cJE';e,t thereis
t
of
roomfor everyone.
However, is Maggi l' :,;redited
it
withteaching
theunwilling ndunadventurous
a
consumers
of the1980s eatinstant oodles
to
n
outot thepack.Ina
country India,wherelanguage
like
changes
everyfour
kilometres ndfoodhabitschange
a
every200kilometres
(Chamikutty
2010a), aggihassuccessfullyroKen
M
b
thfs
barrier ndis a brandto reckon
a
with.Its'>uccess
lies,r'
its ability refresh brandportfolio regularItelVCJi",
to
its
at
I
of timeaccording the tastesand preferenc(3s the.
to
0f
consumer
andmaintain
theever-important
('nrmection
witr
theconsumers.
Thus,Maggiasa brandis resilient,
ana
overtheagesmanages beyoung
to
fortheconsumers.

everytimethe Indiancricketteamwinsa match,they
celebrate
itwitha hotbowlof Maggi. aggisnotjustan
M
i
integral artof Indian
p
consumers,
butalsoof theIndians
livingindifferent
parts
oftheworld. eelam
N
Sean, native
a
of Canada, tatesthat it wassplendid
s
seeingMaggiin
Canada,
andalsothatit istheonlysnack
thather9-yearoldcancook;hence
ithasmade
aspecial
place herlife.
in
Consumersonnect iththe brandandthe relationship
c
w
theyhavedeveloped iththebrandovertheyearshas
w
resultedin a high brandequitythat is unrivalled.ts
I
reliability,
convenience,
andhealthplatform
hasresulted
in it beinga partof theIndiankitchen
withhighrecallin Discussion
Questions
.
anytime
snacking
category.
1. HowdidMaggi limb
c
theladder fsuccessthrougl
o
ibbranding ctivities
a
initsinitial ears?
y
Conclusion
2. Child: 'MummyBhuk Lagi Hai', Mummy:'Bas 2'
A market izeof~1000crore, long
s
a
witha CAGR
ofmore
Minutes'.This becamea householdph€nQmenon
than20 percent,hasattracted number players
a
of
to
instantly. was
What themajoreason
r
forMaggi
fopicK
the Indian market.Unilever'sKnorr Soupy Noodles,
upanIndian forbranding
line
itself?
- GSK'sFoodles,
WaiWai,Top
Ramen, igBazaar's asty 3. Comment
B
T
onthebranding
strategies
ofMaggi (he-'
oVer
Treat, tc.,aresomeofthebrands
e
thatarevyingfortheir
years. further
What
recommendations suggf*;t
Ca,1l
YOlr
toMaaai enhance
to
itsbrand
equity?
.
shareofthepie.KnorrhasKajoleXDlainina kids'thoda
to

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Maggi case study 1

  • 1. /2010. ~ CASE STUDY rp~ ~ f..AD<h.0. ~ . . Cooking UpMaggi oodles* N MaggiNoodles was launched 1982by NestleIndia in Limitedas Maggi2-MinuteInstantNoodlesunderthe prepared dishescategory. estleis a Swisscompany, N whose linkwithIndia goesbackto 1912, henit waswell w known as'Nestle Anglo-Swiss Condensed ilkCompany M (Export) imited', ince L S then,Nestle hasstooditsground firmlyin India,bysettingits foundation s a well-known a brand, ffering o solutions customers' to wantsin different segments. Thebrand stillcommandsnenvious a market shareof morethan 90 per centand has successfully launchedauces, astas, s p andsoups (Chamikutty 2010a). MaggiNoodles oneof thosebrandnames whom is for Ma.tf- T tIJ Sl al el 81 ar m th b s in w 01 ta *Amit Bhargava (Management Executive - Marketing, Global Agrisystem Pvt. Ltd) and Akansha Lamba (Management Executive - Consultancy and Projects. Global Agrisystem Pvt. Ltd). 'g
  • 2. <AND MANAGEM~NT Source: http://www.nissinfoods.com/topramen/. Image1.5 Flavours ffered o byTopRamen Noodles being 'healthier' 'tastier'. .and Thisproposition didwonders forthemandwithina year,it wentbackto becoming the marketeader.ndo-Nissinadbecome l I h complacent and wastakenbysurprise thiscomeback. at Magginotonly recovered lostgtound, utalsowiped b outthecompetition. Therecallpower f Maggi o wassostrong thateliminating thecompetitionecame b easyfor Maggi(Sharma 2010). 'In July2001,Maggireplaced Nescafe (Nestle's coffee brand) asthecompany'sorebrand.Nescafe c hadbeen NIL's corebrand since1998.' attanoodles) madeofwhole wheat lourandvegetables, f whichis healthier omparedo the refined c t flourvariety. MaggiDalAttaNoodles wasalsolaunched (c.ontaining wholewheat lourandpulses), hichhadto bephased f w outagainasit didnotgodownwellwiththeconsumers' palate. hiswasfollowed ricenoodles T by andtherange consisted fshahipulao,emon o l masala, andchilly chow. The traditional angewas enrichedwith calciumand r protein, othatthechildren s (their targetmarket) otupto g 20percentoftherequired intake fromMaggi Das ( 2007). Thehealthplank Bonding with consumers Theturn of the century sawNestleshifting 'healthy' to products. Consumers toowerebecoming greatlyhealth conscious. Thus,Maggirepositioned itselfonthe health platform with its tagline'Taste bhi.Healthbhi'(i.e.,it is bothtastyand healthy).n 2005,it launched number I a of 'healthy'productsto attractthe healthconscious consumers. There wastheMaggi AttaNoodlesvegetable ( Maggi haslaunched any m commercial campaigns inorder to connecttselfwiththe Indiancustomers, i andinstead of usingbig Bollywoodtars,they haveusedcommon s people usedmodels or whoappeal o thecommon t man (seeImage IthadusedPreity 1.7). Zinta tobuild awaieness aboutits~5pack, ndshehasthedistinctionfbeing a o the onlycelebrity toendorse thisiconic brand.
  • 3. " BRAND MANAGEMENT Source: ttp://www.maggi.in/merimaggistories.aspx. h Image 1.8 MeandMeriMaggi Theuseof thecommon manin thecommercials led to a relevantinkagebetween customer ndMaggi l the a Noodles. Pradeep Kumar, CA,says,'Whenever! issed m mymother rgharvVala o khana, always i usedtoeatMaggi.' A consumer ofMaggi elates it strongly r to andit generally goesinthemonthly buying listofa household. Shaili atnaik, P another consumer, states thatMaggi has becomeuchanintegral ofherlifethatwhile s part travelling abroad, hetendsto carrypackets Maggidepending s of on.thetime-frame f herjourney,ryingdifferent o t recipes andflavours asadd-ons, ending uphaving different a yet similar omfortingxperience. c e Thishighlights thefactthat thereexistsa strongintegration foundation the and of brand intheminds oftheconsumers. Oncompleting 25years intheIndian market andhaving a wholegenerationf conSlJmers o whohadgrownupon Maggi,t madesurethatit didsomethingpecial. eople i s P whohadfirsttasted thebrand kidswerenowrunning as households. Seeking tostrengthen thisassociation, Maggi initiatedthe 'Me and MeriMaggi'campaign (Bhandari 2009).(SeeImage 1.8.) Thecampaign asanattempt w to highlight thehappy occasions theconsumers hadhadwith thebrand andrelive theirbestexperiences-theirMaggi ' Moments'. he chosenentrieswere enactedin a TV T commercial, printed Maggi's on packsor in newspapers, and also postedon the Internet.Maggihad people participating fromall overIndia,illustratinghefactthat t Maggi wasnotjusta snack forthem,buthadbecome their .Jo
  • 4. -- INTRODUCTION TOBRANDI: Iii. 31 'G companionndsoulmate.Theidentity thebrand a of was stillverystrong thecompany nderstood an.d u thisafterthe response received it inrelation tothiscampaign. ManayaGargfrom Delhisays Maggihas heldan essential place inherlife.Fromherchildhoodays, oher d t school,college, ffice,andmarriage, o Maggihasalways beentherefor her.Consumers Paremal tatethat like s khao,hodapiyo'andthesoupy t partaddsva' mak;1g it healthy ndadding a funatthesame tirle. Foo('IAs the used nutrition lank p todifferentiate themselves ar, :rr a'Jle to capture 5percentofthemarket hare s with 'ef. 'lonths of theirlaunch theSouth. hough ')1 in T a ~,ayers are entering market, jay Gupta,vfC )j ipltal the A Foods believeshatwitha CAGR 20cJE';e,t thereis t of roomfor everyone. However, is Maggi l' :,;redited it withteaching theunwilling ndunadventurous a consumers of the1980s eatinstant oodles to n outot thepack.Ina country India,wherelanguage like changes everyfour kilometres ndfoodhabitschange a every200kilometres (Chamikutty 2010a), aggihassuccessfullyroKen M b thfs barrier ndis a brandto reckon a with.Its'>uccess lies,r' its ability refresh brandportfolio regularItelVCJi", to its at I of timeaccording the tastesand preferenc(3s the. to 0f consumer andmaintain theever-important ('nrmection witr theconsumers. Thus,Maggiasa brandis resilient, ana overtheagesmanages beyoung to fortheconsumers. everytimethe Indiancricketteamwinsa match,they celebrate itwitha hotbowlof Maggi. aggisnotjustan M i integral artof Indian p consumers, butalsoof theIndians livingindifferent parts oftheworld. eelam N Sean, native a of Canada, tatesthat it wassplendid s seeingMaggiin Canada, andalsothatit istheonlysnack thather9-yearoldcancook;hence ithasmade aspecial place herlife. in Consumersonnect iththe brandandthe relationship c w theyhavedeveloped iththebrandovertheyearshas w resultedin a high brandequitythat is unrivalled.ts I reliability, convenience, andhealthplatform hasresulted in it beinga partof theIndiankitchen withhighrecallin Discussion Questions . anytime snacking category. 1. HowdidMaggi limb c theladder fsuccessthrougl o ibbranding ctivities a initsinitial ears? y Conclusion 2. Child: 'MummyBhuk Lagi Hai', Mummy:'Bas 2' A market izeof~1000crore, long s a witha CAGR ofmore Minutes'.This becamea householdph€nQmenon than20 percent,hasattracted number players a of to instantly. was What themajoreason r forMaggi fopicK the Indian market.Unilever'sKnorr Soupy Noodles, upanIndian forbranding line itself? - GSK'sFoodles, WaiWai,Top Ramen, igBazaar's asty 3. Comment B T onthebranding strategies ofMaggi (he-' oVer Treat, tc.,aresomeofthebrands e thatarevyingfortheir years. further What recommendations suggf*;t Ca,1l YOlr toMaaai enhance to itsbrand equity? . shareofthepie.KnorrhasKajoleXDlainina kids'thoda to