Nestle – Maggi Brand

History and origin of Nestle The company was founded in 1867 on the shore of Geneva vevey in Switzerland and its first product was “Farine Lactee Nestle” which is an infant cereal formulated by Henri Nestle to provide improved infant networks. Nestle has spread worldwide through various acquisitions and mergers from the year 1905-2007. It bears the name of a real man Henri Nestle. The company trademark is a bird in the nest derived from his personal cost of arms.

This symbol invokes value upon which the company was build. The values are security, maternity and affectionate nature and nourishment, family and tradition. It is one of the leading branded processed food companies in the country with a large market share in products like instant coffee, milk products etc. It also has a significant share in the chocolates and other semi-processed food market. One of its most successful brands in India is that of Maggi. Nestle product list -

Nestle India manufactures products of truly international quality under internationally famous brand names such as NESCAFE, MAGGI, MILKYBAR, KIT KAT, BAR-ONE, MILKMAID and NESTEA its products range from syrups, Nestle milkmaid, ice-cream, jams, honey, candies, Nestle fresh and natural dahi, , Nestle slim milk, Maggi sauces, Maggi pizza mazza, Maggi pichkoo, Nescafe cappuccino, Nescafe sunrise, Nescafe Munch, Nestle milo smart plus, Nestle iced tea with green tea etc The Brand - Maggi origins

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Maggi is a Nestle brand of instant soups, stocks, bouillon cubes, ketchups, sauces, seasonings and instant noodles. The original company came into existence in 1872 in Switzerland, when Julius Maggi took over his father's mill. It quickly became a pioneer of industrial food production, aiming at improving the nutritional intake of worker families. It was the first to bring protein-rich legume meal to the market, which was followed by ready-made soup based on legume meal in 1886. In 1897, Julius Maggi founded the company Maggi GmbH in the German town of Singen where it is still established today.

In 1947, following several changes in ownership and corporate structure, Maggi's holding company merged with the Nestle company to form Nestle-Alimentana S. A. , currently known in its francophone homebase as Nestle S. A.. Today, Maggi is particularly well known in the Baltic states for its dry soups. In Bangladesh, India, Pakistan, Nigeria, Australia, New Zealand, Brazil, Mexico and the Philippines, for its seasonings, such as Maggi sauce, which is a household product. And in Malaysia, Indonesia, India and Singapore for its instant Maggi noodles .

In West Africa, and parts of the Middle East, Maggi cubes are used as part of the local cuisine. Throughout Latin America, Maggi products, especially bouillon cubes, are widely sold with some repackaging to reflect local terminology. In the German, Dutch and Danish languages, lovage has come to be known as "Maggi herb”, because it tastes similar to Maggi sauce, although, paradoxically, lovage is one of the few herbs not present in the sauce. In Indonesia, Thailand and Vietnam Maggi seasoning sauce is a popular condiment used in flavouring meals, and the bottles are familiar sights on restaurant tables.

Maggi in India- Maggi in India is best known for its flagship product of instant noodles with its various desi sub-segments such as the traditional dal atta, veg atta and rice noodles along with their various variants, Curry, Masala, Tomato, Chicken in the traditional and shahi pulao, lemon Masala and Chilly Chow in the rice noodle segments. Nestle unleashes brand maggi in India almost 25 years ago in 1983 with the launch of its traditional ‘2-minute noodles’ in its masala, tomato, chicken flavours, followed by its curry flavor some years down the line.

Various products under Maggi – Noodles - MAGGI Vegetable Multigrainz Noodles, MAGGI 2-Minute Noodles, MAGGI Vegetable Atta Noodles, MAGGI Cuppa Mania Sauces - MAGGI Sauces, MAGGI Pichkoo, Tomato, Chilli garlic, Chilli, Extra hot chilli. MAGGI PASTA- MAGGI Pazzta Cooking Aids - MAGGI Magic Cubes, MAGGI Bhuna Masala, MAGGI Coconut Milk, Powder MAGGI Pizza Mazza, MAGGI Masala-ae-Magic, White rice seasoning, chicken stock, chicken stock less salt, beefand vegetable stock. Soups – Cook-up soups and instant soups, MAGGI Healthy Soups, Sanjeevani MAGGI Healthy Cup

Maggi Noodles Brand Ambassador – Nestle’s Maggi Noodles has recently introduced a new range of ‘devilled’ noodles which is expected to ignite the taste buds of local youth. Coming under three categories – devilled chicken, devilled kottu and devilled chilli chicken – the range has been created to suit the local palate, which often craves hot and spicy food. Taking the new range forward, the company also introduced its Brand Ambassador for the devilled noodles, Sri Lankan-born Bollywood actress Jacqueline Fernandez.

Maggi Devilled Noodles are extremely youth centric with dynamic, vibrant, fun and hot brand personalities. Jacqueline Fernandez was choosen as Brand Ambassador as she fits very well with this youth-centric range. As a young, dynamic and vibrant youth icon of international fame with a strong Sri Lankan identity, she had blended with the essence of the Maggi Devilled Noodles. Strategies Adopted by Nestle’ for the Maggi brand Nestle’ managed to create new product categories under the brand name of Maggi.

They adopted the following strategies : Maggi introduced the Maggi sauces category and promoted it under the brand name of Maggi. Since it is always easier to promote a product under the brand name of the established brand as the expenditure and people recognition time is less. More than it both are similar product category as sauces and noodles are interrelated to each other. Nestle’ also introduced the pizza variant by which one can be able to create the pizzas at home. It was also promoted under the brand name of Maggi.

Nestle’ also used the cultural base marketing in India as knowing the fact that indian people like rice, they introduced Maggi rice noodle mania. Also Nestle’ was 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, there was a greater acceptance for the product, they required a relatively lesser time to be accepted, they did not need to spend so much on advertising and promotional activities, and also it gave strength to the Brand name and ncreased brand equity. Maggi was successfully able to postion its noodles in the minds of the consumers as fast food items that can be eaten for breakfast or even lunch. They introduced new categorieshaving a coompelete diet of protein, calorie level, which is a must for the children. By doing this emotional marketing they were successfully able to market this product. And now it has successfully enjoys a 90%percent market share in this segment Diversification strategies -

The strategies of diversification can include internal development of new products or markets, acquisition of a firm, alliance with a complementary company, licensing of new technologies, and distributing or importing a products line manufactured by another firm. Generally, the final strategy involves a combination of these options. This combination is determined in function of available opportunities and consistency with the objectives and the resources of the company.

For the brand Maggi development of new products or perhaps even increasing brand extension , focusing on health as well as even a wide variety of flavours like cheese etc could help maggi diversify. Target Market of Nestle for the Maggi brand At the initial stage Nestle targeted the working women, however soon it realized that in order to boost sales its target market should be the children and teenagers. So they changed their positioning and came up with two minute noodles as it could be easily made by teenagers within a short p of time.

Nestle also has recently targeted housewives as by introducing the health noodles they can be consumed as the complete food which gives necessary calories to meet all health requirements. For these variants they introduced th new positioning “Taste bhi, health bhi”. Reasons for brand extensions- Maggi brand was extended to a variety of culinary products like soups, sauces, ketchups, and various cooking aids . they wanted to offer heathy products under the Maggi brand, in a bid to attract health conscious consmers. They were various health issue relating to the ingredient used that led to brand extensions.

They also wanted a strong brand recall, since maggi was doin gvery well in the market they wanted to use this as a positive point and went for a brand extension. Maggi’s competitors- Maggi main competitors were that of ‘Top Ramen’and that of ‘Hakka Noodles’and ‘Chowmeen’ due to which it had witnessed a decline in sales however with the new strategies adopted and new promotional activites it was a]ble to get back on top. Various Tag lines of Maggi- Through its adds maggi has been positioned as a ‘fun’ food for kids which mothers could prepare easily.

Some of the Tag lines used by Maggi for various add’s are- •‘Mummy,bhook lagi hai’(Mom I’m hungry) •‘Bas 2-minute’(only 2 minutes) •‘Fast to Cook Good to Eat’ •‘Taste bhi, Health bhi’ Suggest a new product- Future plans of Maggi - The company continuously focuses its efforts to better understand the changing lifestyle of modern India and anticipate consumer needs inorder to provide convenience, taste, nutrition, and wellness through its products. The company will focus on changing lifestyles and innovate and renovate to create delight in everyday meals.

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