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Ad Quotient: Maggi Masala Oat

Noodles
Confluence 2014
Team: Juggernaut

Introduction
According to Nielsen survey 2014 oats as a healthy food option has grown
into a Rs 3 Billion market.
Oats a healthy It has grown 38% in last one year and has market share of 26% in breakfast
cereal segment.
alternative

Instant noodles is a Rs 22 Billion category with a CAGR of 15% .


Maggi instant noodles is the market leader in this category, the market is
mature and Maggi is facing a tough competition and is in later maturity
Instant noodles
stage of Product Life Cycle.

Nestle has launched its Maggi masala oat noodles as an instant and
healthier breakfast option.
Nestles unique It has a potential to grow into a Rs 4 Billion brand segment and acquire a
market share of 10% over the next five year (Ref: Philips Capital )
offering

Positioning: Good Food Good Life


Price strategy
1. Priced Rs 25 for 73 (grams), 2.5times
costlier than ordinary Maggi
2. More than1.5 times costlier than Maggi
Atta noodles.

Product strategy
1.It has 40% oat flour, 37% wheat flour, corn
flour, salt and taste maker
2.Tastes better than bland taste of oats.

3. Has the same fiber content of one bowl of


oats and vegetables

An Instant, Tasty & Healthy


breakfast option for kids
and adults

Distribution strategy

Promotion strategy

Through existing channels of distribution

Advertisement featuring Madhuri dixit aired


first in digital media followed by mass media
and print media

SWOT Analysis
Strengths
-Strong brand name
-Easy and less time consuming
to cook
-Tasty & healthy breakfast
option

Weakness
-Instant noodles is perceived by

consumers as a snack and not as a


breakfast option
-Low Customer Awareness

-One of the few major instant


noodles brand to have this
product variant

Opportunities
-Oats as a healthy food option is
becoming a popular
-Time constraint customers who
want instant breakfast

Threats
- Competitors having oat product
as main USP

Competitor Analysis
Product form competition (Instant
oat based breakfast)
Top ramen oat noodles
Saffola masala oats
Quaker masala oats/ ordinary oats
MTR masala oats idly

Product category competition (Instant


breakfast )
Kellogg's range of instant food & cornflakes
MTR ready made(Idly, Upma)
Britannia ready to eat (Upma, poha,
Porridge)

Generic competition(breakfast)
Regional dishes.
Bread toast/ Omelets.
Fruit juices

Perception Mapping
Price V/s Health

Health V/s Taste


4
3.5
Price

2.5
2

1.5
1
0.5

0
1.8

1.9

2.1

2.2

2.3

0.5

1.5

2.5

3.5

Health

2.4

Taste

Price V/s Taste

LEGENDS
Top Ramen
Horlicks
Maggi
Quaker

Saffola

Price

Health

2.5
2.45
2.4
2.35
2.3
2.25
2.2
2.15
2.1
2.05

2.5
2.45
2.4
2.35
2.3
2.25
2.2
2.15
2.1
2.05
1.8

1.9

2.1
Taste

2.2

2.3

2.4

Impact of the Ad campaign and brand


awareness.
Awareness about Maggi
masala oats noodles

Awareness about New


advertisement featuring Madhuri
Dixit

41%
59%

seen

Not seen

31%
Aware of

Not aware of

69%

Findings

Maggi masala oat noodles is priced at 2.5 times the ordinary instant noodles
and 1.5 times Maggi atta noodles it is positioned for a entirely different segment
and it is not going to cannibalize the sales of these products it is rather a
product development.

The level of awareness for Maggi oats noodles among the customers is
moderate (59 v/s 41) and the advertisement recall is quite low (31 v/s 69).

Maggi is perceived as a snack and not as a breakfast option by most of the


customers. Customers perceive Quaker and Saffola masala oats healthier than

Maggi and in taste dimension Quaker is tastier followed by Maggi oat noodles
and saffola oats.

Recommendations

Pricing: Need not be changed

Product repositioning and usage: Indian consumers expect variety in their

breakfast. Maggi masala oat noodles can be repositioned as an any time healthy
and tasty instant food option

Better brand endorsement: Maggi is positioned as a product for time constraint


fitness freaks so an endorser like Mary Kom (Perceived as a Mother & Health

conscious Personality) would have been a much better choice

Using integrated marketing communication: Using an efficient mix of mass,


digital, Print Media and Social Networking Sites.

Public Relation activities: Conducting sports events for school kids, Sponsoring

marathons.
Launch fit India movement across the country to encourage people to switch to
healthier food habits.

Promotion through Distribution: Get more shelf space/ Visibility by increasing the

trade promotion given to retailers.

Advertisement Campaign

Target segments and budget allocation


Creating awareness

Knowledge of
attributes

Single
working
professionals

Brand
attitude

Industrial
Sales to
advertising
percentage

(22-32)

Trial
purchase

Projected
sales
Rs 60 Cr

10%

Working
mothers

(32-45)

Health
conscious
time
constraint
customer

Students
(15-22)

The estimated budget for


advertising is Rs 6 Crores.

Integrated media mix


Social
networking
sites

Television
media
75%

Public
relations
5%

Conventional
media

65%

Print
15%

45%

Radio

You tube

5%

23%

Digital
media

Nestle
fitness app

35%

10%

Google
keyword
search
22%

Online presence of consumers


How they spend their time

55+
3%

Services
45-54
6%

21%

33%

15-24

Entertainme
nt

36%

23%

25-34
39%
35-44
16%

Based on Age

3%

10%

Social
networking

10%

Retail
News &
information
All other

Digital media.
You Tube

Facebook

Twitter

Google ads

In search, In slate, In
display, In stream

CPM and CPC

Promoted tweets,
Promoted accounts and
Promoted trending

CPM and CPC


Keyword Tasty & healthy,
oats, breakfast, obesity,
cholesterol, fitness

Keywords: fitness program,


tasty & healthy, instant
food,, fitness video,
obesity, cholesterol.

Maggi fitness app


Customers will get a pack of Maggi
oat noodles if they download the
app

Target 1 Million download

Conventional media
-Star plus

Television

Print

-NDTV

-The Times Of India


-Zee Marathi

-Sun TV

-Maa TV

-Asianet

-Udaya

Public relation

- The Hindu
-The Economic times

Conventional
media
Radio

Get fit India Campaign

-Radio Mirchi

=Sponsoring sporting events in schools


and colleges.

-Red FM

-Sponsoring marathons and health


related events.

-Radio Indigo
-Big FM

Advertisements
Print Ad
Objective

To create awareness about new Maggi Oat Noodles


Promoting Mobile App
Creating awareness of Oat as healthy food option

TV AD-1
Objective

To create awareness of new oat Maggi as healthy food option for students
and working professional who are single
Creating awareness of Oat as healthy food option

TV AD-2
Objective

To create awareness about new Maggi Oat Noodles


Creating an image of Maggi as healthy breakfast in working womens mind
Creating awareness of Oat as healthy food option

THANK YOU
XIME, Bangalore