This document discusses Maggi Sauces, a brand extension of Maggi noodles launched in the 1980s in India. It provides background on Maggi's history in India and positioning as a convenience food. The document outlines Maggi Sauces' product portfolio and compares it to competitors in the sauces/ketchup category in India. It also analyzes Maggi's target segment, competitive landscape, and brand positioning versus alternatives like Heinz.

1. MAGGI SAUCES
TANVI TANEJA (PGP 30398)
Tanvi.Taneja@Hotmail.com
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BRAND MANAGEMENT (SECTION B)

2. Maggi
Sauce
BRAND EXTENSION

3. Maggi Sauce
• Launched in the mid-1980s
• Associated with category re-
defining innovations from the
very beginning, starting with the
launch of the MAGGI Hot &
Sweet and “It’s different”
commercials featuring Jaaved
Jaaferi and Pankaj Kapoor
• Nestle introduced the brand
in 1982, with Maggi noodles
• Recently, facing a lot of
controversy around lead being
present in Maggi noodles
• Positioned as a convenience
food product
• Manufacturer of dairy products,
confectionery, dried processed
food, noodles, oils and fats, pasta,
sauces, dressings and condiments,
soup and beverages
• Nestle India- subsidiary of
Nestle SA

4. Maggi Sauces
Quintessential
Rich Tomato
Ketchup & Sauce
Hot & Sweet
Tomato Chilli
Sauce
Tangy and
“chatkaaredar”
Imli Pichkoo

5. PRODUCT CATEGORY-
COOKING AID/
CONDIMENTS• A Condiment is a spice, sauce or other food preparation that is
added to food to impart a particular flavor, to enhance its flavor or
to complement the dish
• Within this category, Maggi Sauces fall in the subcategory of
“Sauces and Ketchups”
• Sauces, dressings and condiments grows by 18% to reach INR93
billion in 2014
• Ketchup is the most popular table sauce in India and it demonstrated
strong value growth of 17% in 2014.
• Ketchup in India is not only consumed with fast food such as burgers
and pizzas, but is also an alternative to wet chutneys which is
usually served with dosa, chapatis, parathas and samosas. Ketchups is
also used to make normal food tastier thus gaining popularity among
children

6. MAGGI- MARKET POSITION(2014), PREPARED
DISHES & COOKING AIDS
•No. 1 in Instant Noodles
No. 1 Sauces
•No. 1 Pasta
•No. 2 in Soups

7. SAUCE BRANDS - INDIA
• Heinz
• Kissan
• Maggi
• Fun Foods
• Cremica
• Tops
Standard
• Mamamaria
• Arabbiata Sauce
• Ong’s of Bachun Food
Industries
Premium

8. NESTLE- PAST PERFORMANCE
9,806.27
9,061.90
8,302.26
Dec'14 Dec'13 Dec'12
Sales(in Rs.Cr.)
18%

9. SAUCE AND KETCHUP MARKET- 2005
37%
29%
34%
2005
Maggi Heinz Others

10. NESTLÉ INDIA LTD: COMPETITIVE
POSITION 2014
Product type Retail value share Rank
Packaged food market 4.3% 2
Noodles 63.1% 1
Dried processed food 15.5% 1
Baby food 68.7% 1
Soup 19.3% 2
Confectionery 11.8% 3
Pasta 2.1% 5
Sauces, dressings and
condiments
4.1% 6
Dairy 1.8% 13

11. Product Price
PromotionPlace
• Maggi Sauce - Rich
Tomato(No Onion Garlic),
500 gm Bottle is priced at
Rs. 94, more or less at par
with competitor
• Penetration pricing strategy
• Primarily taste enhancer
• Product Line Tomato
ketchup, Hot & Sweet,
Tomato Sauce
• Less thickness as compared
to Kissan ketchups
• Distribution network - well
spread, easily available in all
kirana stores, retail store etc.
• Distribution channel of Nestle
to Distributor to Retailer to
Consumer, as a chain system
is helpful in proper distribution
of the product
• Television advertisement,
hoardings, print ads are
used to position the brand
as “different”
• The tagline of the brand is
“It’s different”
• Javed

12. SEGMENTATION
• The brand
extension
wanted to
capture the
brand equity of
“Maggi”
• It tries to enter
various
segments
through
different means
and basis
Maggi is an international brand and tries to capture
both national as well as international market
Maggi primarily caters to the segment which
prefers slightly sweet taste of sauce
Usually the “fast-food eating” segment prefers
Maggi

13. TARGET SEGMENT
• It targets the Middle income and
high income groups, the women,
as they shop for this product, for
the family
• The target segment is primarily of
people who consume fast food
• Unlike Heinz, it does not position
itself as a “healthy” sauce
• The promotion strategy is centred
around the idea that “it’s
different”. Thus, consumers like to
opt for it, who are not loyal to a
particular condiment brand

14. COMPETITION
Maggi faces competition from national level
players as well as local brands

15. CONSIDERATION SET
Consumer considers Heinz, Del Monte, Kissan, Tops and Maggi while making a choice for the
ketchup

16. FRAME OF REFERENCE AND POP & POD
POP
•Tomato Ketchup
•Price more or less similar to other brands in the consideration set
•Can be eaten with all sorts of fast food
•Red in color
POD
•Less thicker than other ketchups
•Least sugar content amongst all brands, Sugar (100gm) 13.5gm
•Smooth and creamy with a sweet finish

17. REFERENCED
• http://food.ndtv.com/reviews/cremica-heinz-del-monte-and-other-
favourites-which-ketchup-tastes-the-best-777783
• http://consumeraffairs.nic.in/consumer/writereaddata/ketchup_13.pdf
• http://business.mapsofindia.com/top-brands-india/top-ketchup-brands-in-
india.html
• https://www.nestle.in/
• https://www.nestle.in/investors