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CASESTUDY~ ~

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81CookingUpMaggiNoodles*

MaggiNoodleswas launchedin 1982by NestleIndiaLimitedas Maggi2-MinuteInstantNoodlesundertheprepareddishescategory.Nestleis a Swisscompany,whoselinkwithIndiagoesbackto1912,whenitwaswellknownas'NestleAnglo-SwissCondensedMilkCompany(Export)Limited',Sincethen,Nestlehasstooditsground

firmlyin India,bysettingits foundationas a well-knownbrand,offeringsolutionsto customers'wantsindifferentsegments.Thebrandstillcommandsanenviousmarketshareof morethan90 percentand has successfullylaunchedsauces,pastas,andsoups(Chamikutty2010a).MaggiNoodlesis oneof thosebrandnamesforwhom

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'g*Amit Bhargava (Management Executive - Marketing, Global Agrisystem Pvt. Ltd) and Akansha Lamba (Management Executive - Consultancyand Projects. Global Agrisystem Pvt. Ltd).

<ANDMANAGEM~NT

Source: http://www.nissinfoods.com/topramen/.

Image1.5 FlavoursofferedbyTopRamenNoodles

being'healthier'.and'tastier'.Thispropositiondidwondersforthemandwithinayear,itwentbacktobecomingthemarketleader.Indo-Nissinhadbecomecomplacentandwastakenbysurpriseat thiscomeback.Magginotonlyrecoveredlostgtound,butalsowipedoutthecompetition.Therecallpowerof MaggiwassostrongthateliminatingthecompetitionbecameeasyforMaggi(Sharma2010).'In July2001,MaggireplacedNescafe(Nestle'scoffeebrand)asthecompany'scorebrand.NescafehadbeenNIL'scorebrandsince1998.'

Thehealthplank

Theturnof the centurysawNestleshiftingto 'healthy'products.Consumerstoowerebecominggreatlyhealthconscious.Thus,Maggirepositioneditselfonthe health

platformwith its tagline'Tastebhi.Healthbhi'(i.e.,it isbothtastyandhealthy).In 2005,it launcheda numberof 'healthy'productsto attractthe healthconsciousconsumers.TherewastheMaggiAttaNoodles(vegetable

attanoodles)madeofwholewheatflourandvegetables,whichis healthiercomparedto the refinedflourvariety.MaggiDalAttaNoodleswasalsolaunched(c.ontainingwholewheatflourandpulses),whichhadto bephasedoutagainasit didnotgodownwellwiththeconsumers'palate.Thiswasfollowedby ricenoodlesandtherangeconsistedofshahipulao,lemonmasala,andchillychow.The traditionalrangewas enrichedwith calciumandprotein,sothatthechildren(theirtargetmarket)gotupto20percentoftherequiredintakefromMaggi(Das2007).

Bonding with consumers

Maggihaslaunchedmanycommercialcampaignsinorderto connectitselfwiththe Indiancustomers,andinsteadof usingbig Bollywoodstars,theyhaveusedcommonpeopleor usedmodelswhoappealto thecommonman(seeImage1.7).IthadusedPreityZintatobuildawaienessaboutits~5pack,andshehasthedistinctionofbeingtheonlycelebritytoendorsethisiconicbrand.

" BRANDMANAGEMENT

Source:http://www.maggi.in/merimaggistories.aspx.

Image1.8 MeandMeriMaggi

Theuseof thecommonmanin thecommercialsled

to a relevantlinkagebetweenthe customerandMaggiNoodles.PradeepKumar,CA,says,'Whenever!missedmymotherorgharvValakhana,i alwaysusedtoeatMaggi.'AconsumerofMaggirelatesto it stronglyanditgenerallygoesinthemonthlybuyinglistofa household.

ShailiPatnaik,anotherconsumer,statesthatMaggihasbecomesuchanintegralpartofherlifethatwhiletravellingabroad,shetendsto carrypacketsof Maggidepending

on.thetime-frameof herjourney,tryingdifferentrecipesandflavoursasadd-ons,endinguphavingadifferentyetsimilarcomfortingexperience.Thishighlightsthefactthatthereexistsa strongintegrationandfoundationof thebrandinthemindsoftheconsumers.

Oncompleting25yearsintheIndianmarketandhavinga wholegenerationof conSlJmerswhohadgrownuponMaggi,it madesurethatitdidsomethingspecial.Peoplewhohadfirsttastedthebrandas kidswerenowrunninghouseholds.Seekingtostrengthenthisassociation,Maggiinitiatedthe 'Me and MeriMaggi'campaign(Bhandari2009).(SeeImage1.8.)Thecampaignwasanattempttohighlightthehappyoccasionstheconsumershadhadwiththebrandandrelivetheirbestexperiences-their'MaggiMoments'.The chosenentrieswereenactedin a TV

commercial,printedonMaggi'spacksor innewspapers,and also postedon the Internet.Maggihad peopleparticipatingfromall overIndia,illustratingthefactthatMaggiwasnotjustasnackforthem,buthadbecometheir

.Jo.

companionandsoulmate.Theidentityof thebrandwasstillverystrongan.dthecompanyunderstoodthisaftertheresponseit receivedinrelationtothiscampaign.

ManayaGargfrom DelhisaysMaggihas heldanessentialplaceinherlife.Fromherchildhooddays,toherschool,college,office,andmarriage,Maggihasalwaysbeentherefor her.Consumerslike Paremalstatethat

everytimethe Indiancricketteamwinsa match,theycelebrateitwitha hotbowlofMaggi.Maggiisnotjustanintegralpartof Indianconsumers,butalsoof theIndianslivingindifferentpartsoftheworld.NeelamSean,anativeof Canada,statesthat it wassplendidseeingMaggiinCanada,andalsothatit istheonlysnackthather9-year-oldcancook;henceithasmadeaspecialplaceinherlife.Consumersconnectwiththe brandandthe relationshiptheyhavedevelopedwiththebrandovertheyearshasresultedin a high brandequitythat is unrivalled.Itsreliability,convenience,andhealthplatformhasresultedin it beinga partof theIndiankitchenwithhighrecallinanytimesnackingcategory.

Conclusion

Amarketsizeof~1000crore,alongwitha CAGRofmorethan20 percent,hasattracteda numberof playerstothe Indianmarket.Unilever'sKnorr Soupy Noodles,GSK'sFoodles,WaiWai,TopRamen,BigBazaar'sTastyTreat,etc.,aresomeofthebrandsthatarevyingfortheirshareofthepie.KnorrhasKajoleXDlaininatokids'thoda

INTRODUCTIONTOBRANDI:'G Iii. 31--khao,thodapiyo'andthesoupypartaddsva' mak;1githealthyandaddingfunatthesametirle.Foo('IAsusedthenutritionplanktodifferentiatethemselvesar, :rr a'Jletocapture5percentofthemarketsharewith 'ef. 'lonthsof theirlaunchin theSouth.Thougha ')1 ~,ayersare enteringthe market,Ajay Gupta,vfC )j ipltalFoodsbelievesthatwitha CAGRof 20cJE';e,t thereisroomforeveryone.However,it is Maggi l' :,;reditedwithteachingtheunwillingandunadventurousconsumersof the1980sto eatinstantnoodlesoutot thepack.Inacountrylike India,wherelanguagechangeseveryfourkilometresandfoodhabitschangeevery200kilometres(Chamikutty2010a),MaggihassuccessfullybroKenthfsbarrierandis a brandto reckonwith.Its '>uccesslies,r'itsabilityto refreshitsbrandportfolioat regularIItelVCJi",of timeaccordingto the tastesandpreferenc(3s0f the.consumerandmaintaintheever-important('nrmectionwitrtheconsumers.Thus,Maggiasa brandis resilient,anaovertheagesmanagestobeyoungfortheconsumers.

DiscussionQuestions .1. HowdidMaggiclimbtheladderofsuccessthrouglib-

brandingactivitiesinitsinitialyears?2. Child: 'MummyBhuk Lagi Hai', Mummy:'Bas 2'

Minutes'.This becamea household-ph€nQmenoninstantly.WhatwasthemajorreasonforMaggifopicK-upanIndianlineforbrandingitself? - -

3. CommentonthebrandingstrategiesofMaggioVer(he-'

years.WhatfurtherrecommendationsCa,1lYOlrsuggf*;ttoMaaaitoenhanceitsbrandequity? .