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MOHANRAJ 3510940110

 

Worldwide leader in flavor and meal enhancement. Internationally as the trusted brand in consumer and professional kitchens. Almost 89 percent of chefs in Hong Kong-the center of Chinese culinary excellence-use Maggi products in their meal creations. The market leader in People's Republic of China, Philippines, India, Vietnam, Malaysia and Thailand.

Maggi- Health bhi, Taste bhi

 What is the brand that comes to your mind when one says the word noodles? - I guess Maggi, isn t it? Ever since its launch in India in 1983, this brand has become synonymous with noodles.  The bright red and yellow colors of the packet with the brilliant blue 2-minute Noodles printed on it has found a place on every kitchen Over the years, Maggi has grown as a brand and positioned itself as a Fast to cook! Good to Eat! food product.  India (the largest consumer of Maggi noodles in the world!) it was launched in 1980 s by Nestle group of companies. Maggie had merged with Nestle family in 1947.

When launched it had to face a stiff competition from the ready to eat snack segments like biscuits, wafers etc. Also it had other competitor the so called home made snacks which are till today considered healthy and hygienic.


 Hence to capture the market it was positioned as a hygienic homemade snack, a smart move.  But still this didn t work, as it was targeted towards the wrong target group, the working women. Although the product was developed for this particular purpose. The company could have easily positioned the product as a meal, but did not, as a study had shown that Indian mentality did not accept anything other than rice or roti as meal. They made it an easy to cook snack that could be prepared in just two minutes

The different approaches used by MAGGI to measure Brand Equity

Product Level: The classic product level brand measurement example is to compare the price of a no-name or private label product to an "equivalent" branded product.  The difference in price, assuming all things equal, is due to the brand. For Maggi it compares it price with Top Ramens and Chings, both of which are priced low in comparison to Maggi. Maggi has a niche position in the market so it does not need to imitate this products to be successful it has to be other way round.

Consumer Level: This approach seeks to map the mind of the consumer to find out what associations with the brand that the consumer has.
 This approach seeks to measure the awareness (recall and recognition) and brand image (the overall associations that the brand has) Free association tests and projective techniques are commonly used to uncover the tangible and intangible attributes, attitudes, and intentions about a brand Brands with high levels of awareness and strong, favorable and unique associations are high equity brands Maggi even applies this technique and the answers are quite common quality, 2 minutes noodles, Health and taste.

WELL BLENDED COMMUNICATION

INTERNAL MARKETING

REPOSITIONING

CREDIBILITY

POSITIONING

QUALITY

LONG TERM PERSPECTIVE

Quality
Quality is a vital ingredient of a good brand. Maggi has been able to do well mainly because of its quality health and taste. Once Maggi even tried to change its taste and had to suffer from declining sales.  Then onwards Maggi came up with different flavors keeping the older ones still alive.

Positioning
Positioning is about the position a brand occupies in a market in the minds of consumers. Strong brands have a clear, often unique position in the target market.  For Maggi, it s positioning as a healthy tasty and quickly made product. which is achieved through several means, including brand name, image, service standards, product guarantees, packaging and the way in which it is delivered. In fact, successful positioning usually requires a combination of these things.

Repositioning
Repositioning occurs when a brand tries to change its market position to reflect a change in consumer s tastes. As said earlier Maggi also tried to change its taste but failed miserably.

Long-term perspective
This leads onto another important factor in brand-building: the need to invest in the brand over the long-term.for Maggi Building customer awareness, communicating the brand s message and creating customer loyalty is already done whose benefits it s reaping till date.

Internal marketing
 management should ensure that the brand is marketed internally as well as externally  By this we mean that the whole business should understand the brand values and positioning

Communications
Communications also play a key role in building a successful brand. We suggested that brand positioning is essentially about customer perception.  All elements of the promotional mix like TVC, hoardings, print media and digital media are used to develop and sustain customer perceptions.  It has build awareness and developed the brand personality and reinforces the perception.

First-mover advantage
Business strategists often talk about first-mover advantage. Even Maggi had it. After a decade top ramen was introduced. In terms of brand development, by first-mover they mean that it is possible for the first successful brand in a market to create a clear positioning in the minds of target customers before the competition enters the market.  There is plenty of evidence to support this. Competitors drawn to the high growth and profit potential demonstrated by the market-mover will enter the market and copy the best elements of the leader s brand.

Brand building process

Identify Your Customers
 Know your target market and design your product accordingly. That s what Maggi did and today it comes under one of the most successful brands in India. It took the utmost advantage of the first mover advantage. It provided to its customers the taste that they wanted.

Clarify what is important to these customers

 Since a brand is based on perceived value and the only perception that matters is the customer's and the potential customer's, then the starting point is to find out what is of value to these people that can be health, taste, quality and time involved.

Narrow the list to their top four priority outcomes

Success of Maggi requires courage, focus and commitment. After interviewing a significant number of customers and/or prospects, it studied the trends of these people and identified what they want, the next step was to narrow the focus to the three or four outcomes that matter the most them. Involve loyal as well as first time users. This gives a clear and real view.

Gear every decision and activity toward delivering these top four priority outcomes The outcomes of the previous steps like quality taste health and quickness are to be focused on as the consumer s gives priority to them. Being good at these fronts guarantees you success up to a greater extent. Stay boringly consistent and thoroughly innovative That s what Maggi did. It is very much consistent in the quality and taste of the product it came up with initially, but side by side in the same segment it is even coming up with other variants in terms of taste. Market to resonate The key to branding is reminding the customer of what you want them to remember about your brand. Like for Maggi, the company wants the consumer to remember its name, quality, taste health. and quickness factor.

Advantages to the NESTLE being a strong Brand

A strong brand offers many advantages for marketers including: Brands provide multiple sensory stimuli to enhance customer recognition. For example, a Maggi can be visually recognizable from its packaging, logo, shape, etc. It can also be recognizable via sound, such as hearing the name on a radio advertisement or talking with someone who mentions the product. Customers who are frequent and enthusiastic purchasers of a Maggi brand are likely to become Brand Loyal. Cultivating brand loyalty among customers is the ultimate reward for successful marketers since these customers are far less likely to be enticed to switch to other brands compared to non-loyal customers and this can be one of the reason for magi being market leader

Firms like nestle that establish a successful brand like Maggi can extend the brand by adding new products like Maggi soup, ketchups, cubes, etc. under the same family brand.  Such branding may allow companies to introduce new products more easily since the brand is already recognized within the market. Strong brands can lead to financial advantages through the concept of Brand Equity in which the brand itself becomes valuable.  Such gains can be realized through the out-right sale of a brand or through licensing arrangements

Strategies adopted Establishing a new product by Maggi In the early 2000s, the Nestl Group had been taking measures to transform itself into a 'health and wellness' company. The company had also set up new research and development facilities with a view to improving the attributes of the existing Nestl products to make them healthier, and to develop new health and wellness products. In March 2005, the Maggi brand too took to the health route with the launch of Vegetable Atta Noodles. NIL made use of the group's extensive research and development facilities in developing this new 'healthy' product. According to NIL, Vegetable Atta Noodles were healthier as they were made of whole wheat flour instead of Maida (refined wheat) and also because they contained real vegetables.

 Strategies adopted by Nestle  Nestle were able to successfully use the umbrella branding for Maggi. They introduced many variants under the brand name of Maggi. By doing so, they were successful in making the product popular Advantage of using umbrella branding: Acceptance level is high. Less time taken to be accepted. Advertising and promotional budgets is low. Give strength to the establish brand name and increase the overall brand equity.

Strategies adopted by Nestle for Maggi noodles Maggi was also successfully able to position its noodles in the minds of the consumer as the fast food items and they can be take them as breakfast during the time of evening.
On the other hand they also introduced some categories which are having the complete diet in the form of noodles.  They said that these contain some protein and calorie level which is must for the children. By doing the emotional marketing they were successfully able to promote the fallowing products.

MAGGI Vegetable Atta Noodles MAGGI Dal Atta Noodles MAGGI Rice Noodles Mania MAGGI Healthy Soups MAGGI Healthy Soup- Sanjeevni

Measures were undertaken in sustaining the image of a popular brand (Maggi noodles) and the brand extension of the same.

Measuring the Maggi brand

Since we all know that Maggi is well reputed brand and it is doing very well in many countries. So, when the Maggi s sales start declining, the company has to think over certain issues what to do with it.

Company thinks over the following issues and then came to decision
Increasing competitions in the noodles category.  Maggi still attached with the emotionally with the consumer. Brand equity is high

Need of change in taste or positioning. Need of brand extension due to the increasing competition. Need of increasing the product category. Brand requires to be revitalizing over the period of time so measuring it is very important.

Repositioning- Wrong positioning has been done in the minds of consumer which. Consumer think Maggi only as the fast food items while Maggi wants to create the image of complete food. So this is the reason it introduced the health related variant.  Maggi also know that it has to increase its presence into other category to increase the visibility of the brand Maggi and also make these product popular so, it introduced the sauces category under the brand name of Maggi

Noodles Pasta(Masala Penne, Cheese Macaroni) Tomato Sauce Pickles Bhuna Masala Cuppa Mania Soups

Noodles : 1. Top Ramen 2. Wai Wai 3. Del Monte

Sauces : 1. Kissan 2. Del

1. 2. 3.

Soups : Knorr Top Ramen Kissan

Pasta: 1. Sun Feast

Target audience
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Kids Youth Working women

It helps mothers with the promise of fast to cook and good to eat snacks. convenience savvy time misers

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Maggi belongs to brand Nestle It never uses Nestle name in its advertisements. It has become a brand in its own name Dominates Nestle brand

Tag Lines
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Taglines like 'Mummy, bhookh lagi hai' (Mom, I'm hungry) 'Bas 2-Minute,' (Only 2 minutes) 'Fast to Cook Good to Eat' effectively communicated the product's benefits to target consumers

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