management ppt for comparision of maggi and the new foodles from GSk

1. Submitted by:
Nirpeksh Joshi(65), S S KARTHIK VIGNESH(86), SUMEET SUMAN(106),
SWAPNIL S BHURE(109), VIVEK TIWARI(117),SANJAY KUMAR JENA(120)
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3. Noodles Market in India
• In 1863, Julius Maggi developed a formula to add taste to
meals as Maggi
• Maggi as the first noodle entered into market in 1982 by
Nestle India Ltd.
• Top raman in India was introduced by Nissan in 1991
• In 2000 maggi faced market recession by introducing
economy packets in India
• Maggi Noodle was Market leader with around 80% market
share in in 2005 in Indian Market.
• In 2005 Maggi brand worth was 3.7 billion
• Maggi was the highest spender in Promotions
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6. Some other players in this market include
– Capital Foods (Ching’s Secret and Smith & Jones),
– Future Group (Tasty Treat)
– CG Foods (Wai Wai)
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7. Market share in Dec. 2009 Market share in June 2010
Foodles Others
6% 7%
Others
Foodles 2%
3%
Maggi Maggi
91% 87%
Player Maggi Foodles Others Player Maggi Foodles Others
Market share Market share
in Dec. 2009 91% 3% 6% in June 2010 87% 6% 7%
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10. Strength weakness
•Market Leader •Heavily dependant on one product
•Brand Loyalty •Minor distribution problems
•Distribution Chaneel •Health related issue
•Innovative flavours for Indian taste buds
•Advertising strategy
opportunity Threat
•Unexploited rural market •Strong presence of regional competitors
•Increasing number of working youth
•Competitive pricing
•Affinity of Indians to chinese food
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11. STRENGTH WEAKNESS
Brand recognization The price is high as compared
Smaller p to the competitors
Getting the advantage of
having healthcare background.
Innovative packaginging
OPPORTUNITY THREART
Hitting the rural areas.  Targeting the rural market
and maggi is the top player in
the segment.
New in the market.
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12. Market Penetration Strategy of Maggi
Promotional campaigns in school
Advertising strategies:
focusing on kids
New product innovation according to the need of consumers:
Veg. Atta Noodles., Dal Atta Noodles, Cuppa Mania
Availability in different packages: –
50 gm, 100 gm.,200 gm, family packs 400gms.
Conducting regular market research
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18. • They launched the campaign, “taste bhi health bhi” now its
because synonymous with maggi
• They changed the jingle of maggi instant noodles campaign , it
was pretty catchy and went down well with the target audience
children.
• Nil started offering a healthy product to its consumers because
they know very well that , if they have to tap the Indian consumer
they have to focused mainly on the health benefits.
• The company focused on wellness and nutrition factor to establish
a new product category.
• The company moved away from the ‘not –so –healthy’ Maida to
make its noodles and launched the maggi veg Atta noodles
followed by the dal atta noodles and finally the very recent rice
noodles variants
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19. Pricing strategy
Maggi Foodles
• Maggi has different packets • with only single-pack sizes
according to variety in and larger family packs of
eight and four strips will rolle
demand out nearly
• They have considered Urban
• They have considered both market only
rural and Urban markets • Its multigrain variant costs Rs
15 for 80 gm
• Maggi’s 80 gm is available • it reaches 600,000 retail
for Rs 10 . outlets directly and another 1
million through distributors
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20. Star indicates High groth rate and high
market share
Use large amount of cash and are
leaders in business
Generate large amount of cash
Require investment to maintain their
lead
If successful it will become cash cow
when industry matures 20

21. Products with low market share
Operate in higher growth markets
Require substantial investment in
order to grow market share
Company can invest to increase market share
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