Nestlé India Limited launched Maggi noodles in 1982, targeting working women, and successfully repositioned the brand through aggressive marketing and product extensions, leading to Maggi's dominance in the instant noodles market with an 80% share. The brand responded to health trends by introducing healthier options like 'veg atta noodles' in 2005, supported by substantial advertising efforts. Despite facing intense competition and the need to diversify, Maggi remains a market leader in India, benefitting from changing lifestyle trends and an increasing focus on convenience foods.

1. “What Xerox is to photocopier
and Colgate to toothpaste, Maggi
is to noodles in India”
-The Economic Times, in India-
2003

2. THE MAGGI BRAND IN INDIA:
Brand Extension and
Repositioning

3. A Brief Profile Of Nestle India Limited
Nestle India Limited is a wholly owned subsidiary of Nestle SA, a Vevey,
Switzerland based FMCG Company.
*Started in 1959
*Initially sold imported condensed milk and infant food in India.
*In 1962- NIL setup its first manufacturing unit in Moga, Punjab in order to
produce condensed milk products sold under the Milkmaid Brand
PRODUCT SEGMENT BRANDS
Milk Products and Nutrition Ceremeal , Everyday, Milkmaid
Nestle-Fresh ‘n’ natural dahi, Jeera
Rita, Milk and Slim Milk
Beverages Nescafe-Classic, Sunrise, 3 in
1,Milo
Prepared dishes and cooking aids Maggi
Chocolates and Confectionary Kitkat, Munch, Milkybar, Bar-one,
Polo, Eclairs, Acti-V, and Nestle
Milk Chocolate

4. Background
 Launched in India in 1982 as Maggi 2 Minutes Noodles, an instant food
product
 Initially targeted working women
 Initial failure-Research conducted-focus shifted- “Convenience to fun”
 NIL aggressively promoted Maggi noodles
 Famous taglines- Mummy Bhook Lagi Hai
Bas 2-minute
Fast To Cook Good To Eat
 Sales pickedup, gain acceptance
 Brand extensions
 Product extensions
 Market share increased
 Maggi sauces advertising were getting popular- It’s Different
 Competition increased

5. Maggi after the Relaunch

6. In July 2001, Maggi replaced Nescafe, which
has been the core brand since 1998.
During recession phase 2001-02
Introduction of smaller packs at lower price
points.
50gm pack prices 5 Rs.
NIL Improvised existing distribution channel
In the 1st quarter of 2002, NIL launched Maggi
chinese noodles.
In December 2002, NIL extended soups brand
to maggi hot cup.(Tomato & Chicken)

7. Market penetration Strategy
• Promotional stratergy in school
• Advertising straight focus on kids
• Innovative new products – veg atta
noodles,dal atta noodles,cuppa mania
• Availability of diff packages-
50,100,200gms,400gms-family pack
• Conducting regular market survey

8. One of the key strategy to improve sales:

9. During 2003, NIL test-marketed ready to
cook recipe mixes:
Paneer-tikka, chicken biryani & chicken-tikka.
By 2003, India became the largest consumer
of maggi noodles in the world.
Market share of Maggi v/s Top Ramen
Maggi 80%
Top Ramen
19%

10. SWOT ANALYSIS
Strength
• Market leader
• Brand loyally
• Distribution channels
• Innovative flavors
Weakness
• Heavily dept on one flavor
• Health related issues
Opportunities
• Unexploited rural market
• Increasing no. of working
youths
• Affinity of Indians to Chinese
food
Threats
• Strong presence of regional
competitors
• Competitive pricing (top
Ramen)

11. The Health Angle
In 2000’s NIL took measures to transform into
Health and wellness co.
In 2004 introduced Healthier products.
In march 2005,Maggi Brand took health route
launched ‘Veg atta noodles’.
Nutritional Value.

12. Ad. Campaign of Veg Atta Noodles
Tagline “Taste bhi Health bhi”.
NIL Spend heavily on Advertisement
Atta Noodles – 50% spendings.
New Ad showed maggi for all family.
Mother-(Easy to cook healthy food)
kids -(Saying Good to Taste)
It was accepted by Indian public.
Launched 4 varients-
Masala,Tamato,Curry&Chicken.

13. In Nov 2005,repositioned soups as “Maggi
Healthy Soups”
Tagline “Taste bhi Health bhi”.
In Dec 2005,Enviornment became competitive
Dabur, Heinz, Hindustan Lever Ltd.
Focused on Ad on sauces & ketchup
“ Its different”.
Market share-Sauces & ketchups
Maggi-37%,Kissan-29%

14. Outlook…..
 According to FICCI, FOOD AND BEVERAGE SURVEY
published in Feb’2006 shown rapid rising segments- health
foods, health foods supplements, convenience foods and
branded foods
 Changing life style and eating habits and increasing
purchasing power
 Increase in competition for Maggi
 Major competitor –ITC’s Sunfeast