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1. Report on
Marketing Mix and Segmentation
of
Submitted to: Submitted By:
Mr. Prashant Raman Shweta Bhargava
Sonal Gupta
Sonali Srivastava
Supriya Sharma
Surbhi Chaudhary
Surbhi Gupta 3
Surbhi Suman

2. INTRODUCTION OF NESTLE COMPANY
Nestlé is the world's leading nutrition, health and Wellness Company. Their mission of "Good
Food, Good Life" is to provide consumers with the best tasting, most nutritious choices in a wide
range of food and beverage categories and eating occasions, from morning to night.
They believe that leadership is about behaviour, and they recognise that trust is earned over a
long period of time by consistently delivering on their promises. Nestlé believes that it is only
possible to create long-term sustainable value for their shareholders if their behaviour, strategies
and operations also create value for the communities where they operate, for their business
partners and of course, for their consumers. They call this ‘creating shared value.’ The Nestlé
Corporate Business Principles are at the basis of their company’s culture, developed over 140
years, which reflects the ideas of fairness, honesty and long-term thinking.
"Good Food, Good Life" is the promise they commit to everyday, everywhere – to enhance
lives, throughout life, with good food and beverages..
Company Mission
 At Nestle, they believe that research can help them to make better food, so that people
live a better life.
 Good food is the primary source of good health, so they are trying to make good food. To
provide fresh and pure products to the customers, they introduced (SHE) Safety, Health
and environment policy to protect health of their employs and keep clean
their surrounding environment.
Company Vision
 Vision of Nestle Milkpack Company is to expand business according to the increasing
demand of market.
 As per their company vision in 2020 production capacity of all plants working in Pakistan
is being increased. So extension of Kabirwala Plant is the example of their company
vision.

3. INTRODUCTION TO MAGGI NOODLES
Ever since its launch in India in 1983, this brand has become synonymous with noodles. The
bright red and yellow colours 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.
When industrial revolution in Switzerland created factory jobs for women ,then women were
left with very little time to prepare meals. Due to this growing problem Swiss Public Welfare
Society asked a miller named Julius Maggi to create a vegetable food product that would be
quick to prepare and easy to digest. Julius, the son of an Italian immigrant came up with a
formula to bring added taste to meals in 1863. Soon after he was commissioned by the Swiss
Public Welfare Society, he came up with two instant pea soups & a bean soup- the first
launch of Maggi brand of instant foods in 1882-83.Towards the end of the century, Maggi
company was producing not just powdered soups, but bouillon cubes, sauces and other
flavourings.
However in India (the largest consumer of Maggi noodles in the world!) it was launched in
1980 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
home made snack, a smart move. But still this didn’t work, as it was targeted towards the
wrong target group, the working women. After conducting an extensive research, the firm
found that the children were the biggest consumers of Maggi noodles. No doubt the ads of
Maggi have shown a hungry kid saying “Mummy bhookh lagi hai” to which his mom
replies “Bas do minute!” and soon he is happily eating Maggie noodles.

4. MAGGI’S TAGLINE AND JINGLES
Maggi had faced a lot of hurdles in its journey in India. The basic problem the brand faced is the
Indian Psyche. So a new product with a new taste that too from a different culture had a great
deal of difficulty in appealing to Indian market. Research showed that kids were the largest
consumers of the product. Realizing this, nestle repositioned the brand towards the kids using
sales promotion and smart advertising. Now maggi is the number one brand in the field of
noodles.
Maggi was positioned as ‘2 minute noodles’ with a punch line that said ‘Fast to cook
Good to eat’. The jingle “Mummy bhook lagi, bas do minute, Maggi Maggi Maggi” quickly
grasped the attention of consumers all over India. This gave the implied understanding to the
consumer that it was a ‘between meals’ snack. The company could have easily positioned the
product as a meal, either lunch or dinner. But it chose not to do so, because the Indian consumer
mindset did not accept anything other than roti or rice as a meal. Hence, trying to substitute it
with noodles would have been futile. The firm did not position it as a ‘ready to eat’ meal either,
as the housewife prefers to ‘make’ a meal for her kids rather than buy it for them. And if she can
make it in two minute with very kimit effort, then obviously it’s a hit with her. The kids also
loved the taste, thus the ‘2 minute’ fundacoupled with the ‘yummy taste’ worked.
The tagline such as “Fast to Cook Good to Eat”, “2 minute noodles” and “Taste bhi,
Health bhi” are the strong brand elements of Maggi, which have helped in building brand equity.

5. PRODUCT OFFERED BY MAGGI
 MAGGI Vegetable Multigrain Noodles
 MAGGI 2-Minute Noodles
 MAGGI Vegetable Atta Noodles
 MAGGI Cuppa Mania
 MAGGI Healthy Soups
 Sanjeevni MAGGI Healthy Cup Soup
 MAGGI Sauces
 MAGGI Pichkoo
 MAGGI MAGIC Cubes
 MAGGI Bhuna Masala
 MAGGI Coconut Milk Powder
 MAGGI Pizza Mazza
 MAGGI Masala-ae-Magic

6. MARKET SEGMENTATION, TARGETING AND POSITIONING
 Segmentation is the process of grouping people or organizations within a market
according to similar needs, characteristics, or behaviours.
 Targeting is the actual selection of the segment you want to serve the target market is the
group of people or organizations whose needs a product is specifically designed to satisfy
 Positioning is the use of marketing to enable people to form a mental image of your
product in their minds (relative to other products)

7. BASES FOR SEGMENTING CONSUMER MARKETS
Geographic Segmentation:
Division of the market into different geographical units such as nations, cities, states, regions,
neighbourhoods etc.
 Region: South India, Western Region, North, East
 City: Class
 Rural, urban, semi urban areas
Demographic Segmentation:
The market is divided on the basis of variables such as age, family size, family life cycle, gender,
income, occupation, education, religion etc. Demographic variables are easy to measure and are
directly associated with customer.
Psychographic Segmentation:
Here buyers are divided into different groups on the basis of psychological/personality traits,
lifestyles or values.
 Lifestyle: Culture-oriented, sports oriented, outdoor oriented. Classification is done on
three parameters: AIO Activities, lifestyles or values.
 Personality: Compulsive, gregarious, authoritarian, ambitious
Behavioural segmentation:
Buyers are divided on the basis of their knowledge of attitude toward, use of, or response to a
product. The behavioural variables are as follows:
 Usage rate: Light, Medium, Heavy
 Loyalty status: None, medium, strong, absolute
 Readiness stage: Unaware, aware, informed, desirous, intending to buy
 Attitude toward product: Enthusiastic, positive, indifferent, negative, hostile

8. EVALUATING AND SELECTING MARKET SEGMENTS
Five patterns of target market selection that can be followed are:
 Single Segment Concentration: Concentrated Marketing where the firms gain a can
strong knowledge of segments needs and acquires a strong market presence.
 Selective Specialization: A firm selects a number of segments. Each objectively
attractive and appropriate, there may be little or no synergy between the segment.
 Product Specialization: The firm makes a certain product that it sells to several different
market segments.
 Market Specialization: The firm concentrates on serving many needs of a particular
customer.
 Full Market Coverage: The firm attempts to serve all customer groups with all products
they may need.
TARGET SEGMENT OF MAGGI NOODLES
Maggi 2 Minute Instant Noodles is already associated with convenience and taste and is
currently accepted as a valid filling snack between meals. Maggi will continue to leverage its
brand equity and target the following segments for this product.
 Children and Teenagers’: This is a large segment and is Maggi’s stronghold. The
age group between 4 and 14 years has largely similar tastes and is traditionally
targeted by Maggi. These segments perceive Maggi instant noodles as a welcome
change in taste from the regular Indian fare and they are fascinated by the curly
shaped noodles. For these segments innovative products also have novelty value,
however, certain dominant preferences emerge. Realizing this early, Maggi shifted
focus from the lady of the house to the end consumer i.e. children themselves ending
up as the market leader of the instant noodles segment. Early buy in of this segment
will help Maggi to sell in other segments in future.
 Studying Age: The studying age segment though not traditionally targeted
specifically has been devouring Maggi 2 minute noodles. The proposition of
convenience of cooking as well as that of a tasty filling snack attracts this segment
which due to erratic schedules keeps missing their regular meals.

9.  Office Going and working women: The Company also targeted this segment people
because they were the one who needs refreshment time to time because of hectic
schedule and with would take their minimal time. So by keeping this aspect into
consideration, the company introduce the Cuppa mania, which is a type of noodle
which takes less time to cook and satisfy the hunger as well.
 Health Conscious People: The Company is also focusing on the heath aspect. They
introduce Veg atta noodle for health conscious people. So they also launch Health
Awareness campaign to educate consumers about the benefits of health food. They
also sponsor health camps, publish health information and build awareness among the
masses.
POSITIONS OF MAGGI
Maggi 2 Minute Noodles will continue with its current positioning of convenience and as a “fast
to cook, good to eat” snack as this seems to be working well.
To prevent Top Ramen, the main competitor, from eating into its market share some product
innovation is required as otherwise Maggi may get stereotyped as an unexciting product. Top
Ramen is following a cost differentiation technique.
To deal with this Maggi has to position itself as a differentiated product. The market is very
sensitive to taste and rejects any flavour it dislikes with Maggi having learnt it the hard way, thus
the product cannot be greatly differentiated with on basis of taste.
On the other hand Maggi has to deal with the negative perception of Maggi has of being
unhealthy in an increasingly health conscious market, a major threat in the current scenario.
Both these problems can be tackled by positioning Maggi as a snack with nutritional value. The
recent launch of “Veg Atta Noodles” and “Dal Atta Noodles” with the promise of good
nutritional value ventures in this area.

10. FOUR P’s OF MARKETING MIX
Marketing Mix
A mixture of several ideas and plans followed by a marketing representative to promote a
particular product or brand is called marketing mix.
The marketer’s task is to device marketing activities and assembles fully integrated marketing
programs to create, communicate, and deliver value for consumers. Marketing activities come in
all forms. McCarthy classified these activities as marketing mix tools of four broad kinds, which
he called the four Ps of marketing; product, price, place and promotion.
Elements of Marketing Mix

11. PRODUCT
Definition:
A product is anything that can be offered to the market to satisfy a want or need, including
physical goods, services, experiences, events, persons, places, properties, organizations,
information and ideas.
Maggi noodles Products In India:
Nestle unleashed brand maggi in India Almost 25 years ago in 1983 with launch of its traditional
2 minutes noodles in its masala, tomato and chicken flavours, followed by its curry flavour some
years down the line.
Maggi was launched in India at the time when instant noodle was not that well known a
category.
When nestle India launched maggi in country, it used the tagline, ‘fast to cook and good to eat’,
to not only promote the product’ but also to educate the ever growing aspirant consumer about
the advantages of using it.
Products of Maggi Noodles:
A. MAGGI-2 minute noodles
B. MAGGI Vegetable atta Noodles
C. MAGGI Cuppa Mania
D. MAGGI Vegetable Multigrainz Noodle
MAGGI 2-MINUTE Noodles is one of the largest & most loved snack food brands that define
the Instant Noodles category in India. We’ve recently launched two new flavors in the short
space of two months – Thrillin Curry & Tricky Tomato Noodles. Blending Emotions with
ingredients, the two new flavors deliver strongly on “Taste Bhi Health Bhi”. It is now available
in 5 delectable flavours: Masala, Chicken, Tricky Tomato, Thrillin Curry & Romantic
Capsica.

12. An offering that exemplifies ‘taste bhi health bhi’, MAGGI vegetable atta noodles is tasty
because it is loaded with everyone’s favourites MAGGI ‘masala’ and healthy because it now has
more real vegetables and is packed with the power of fibre.
MAGGI, the pioneer and creator of ‘Taste Bhi Health BHi’ has introduced another great testing
and healthy variant in its popular range of MAGGI Noodles.
MAGGI Vegetable Multigrainz Noodle is made with Ragi, Corn, Jowar and Wheat. It offers the
consumer multi-‘gun’ as it is a source of Protein, Calcium and Fibre and has added vegetables. It
also provides the spicy test to their customers.
Since in today’s fast-paced busy life, multitasking is a reality, you need something that fits with
your rushed lifestyle – a product which is tasty and healthy, is convenient to prepare and eat and
also satiates your hunger.
Maggi cuppa mania is a combination of all the above. In an easy to carry on-the-go cup format,
MAGGI cuppa mania comes in two mouth watering variants – masala yo! And chilly chow yo!

13. PRICE
Introduction:
Price of the company’s product is considered as one of the 4 p’s of marketing. It is the most
important aspect for any company in terms of decision making as it directly affects the sales and
profit of the company.
These are the prices which are set by the company for the different flavours of MAGGI Noodles.
MAGGI 2 Minute
Noodles
Pack Size (gm) Price (Rs)
Masala 50 5
Masala 100 10
Masala 200 20
Masala 400 38
Masala 600 54
Masala 800 72
Chicken 100 10
Curry 100 10
Tomato 100 10
Vegetable Atta Noodles 100 13
Vegetable Atta Noodles 400 50
As we talk about maggi, it is very popular now a day in all over the world and its main customers
are children and youngsters. As we know that MAGGI Noodles price is not very high, but there
are so many competitors in the market so company can not set price different from their
competitors. Currently company is having the tough competition with Sun feast Yuppie Noodles
and Foodles. One advantage of the company is that noodle’s packets are available in different
size comparing it with the brand called Top Ramen.
PLACE
Place refers to the location where the products are available and can be sold or purchased.
Buyers can purchase products either from physical markets or from virtual markets. In a physical
market, buyers and sellers can physically meet and interact with each other whereas in a virtual

14. market buyers and sellers meet through internet. Thus with the ease and options through which
you make your product or service available to your customers will have an effect on your sales
volumes.
Physical Distribution of Maggi noodles:
To keep up with the growing trends in the Noodles sector, an intensive dealer-distributor
network is desired. Maggi has a well established distribution network.
Maggi Distribution Network -
Maggi Factory
Factory Warehouse
Agent
Distributors
Wholesalers
Direct Retailers
End Consumers
Thus from the chart it can be said that the distribution network is well spread almost everywhere
in India, as it is easily available in all local stores, retail store etc.

15. PROMOTION
Promotion refers to the various strategies and ideas implemented by the marketers to make the
end - users aware of their brand. Promotion includes various techniques employed to promote
and make a brand popular amongst the masses.
Promotion can be through any of the following ways:
 Advertising
Print media, Television, radio are effective ways to entice customers and make them aware of
the brand’s existence.
Billboards, hoardings, banners installed intelligently at strategic locations like heavy traffic
areas, crossings, railway stations, bus stands attract the passing individuals towards a
particular brand.
Taglines also increase the recall value of the brand amongst the customers.
 Word of mouth
One satisfied customer brings ten more customers along with him whereas one dissatisfied
customer takes away ten more customers. That’s the importance of word of mouth. Positive
word of mouth goes a long way in promoting brands amongst the customers.
Initial Strategies of Maggi
Maggi has faced lot of hurdles in its journey in India. The basic problem the brand faced is the
Indian Psyche. Initially Nestle tried to position the Noodles in the platform of convenience
targeting the working women. However, the sales of Maggi was not picking up despite of heavy
Media Advertising.
To overcome this NIL conducted a research. NIL's promotions positioned the noodles as a
'convenience product', for mothers & as a 'fun' product for children. The noodles' tagline, 'Fast to
Cook Good to Eat' was also in keeping with this positioning.
 Print Ads
Maggi does not focus heavily on print media during its launch since its initial target audience
was mothers and kids. But later on some advertisements in the print media were used to highlight
the convenience factor of Maggi.

16. SWOT ANALYSIS OF MAGGI BRAND
The SWOT analysis of Maggi brand clearly indicates the strengths of Maggi as a Brand in Indian
market. The Brand was found to be a leader in its category of Noodles, with strong customer
loyalty. Intensive distribution of Maggi as a Brand was seen in urban areas of the country. The
major threats of the brand indicates that Maggi has made several attempts to revamp itself as a
“Healthy Product” but till date its perseverance towards the tag line is low by the consumers. The
brand is in the growth stage of product life cycle with a strong inclination towards the maturity
stage.
Strengths
- Maggi have now become the market leader as anytime anyone prefers Maggi as noodles.
- Brand loyalty is at the highest point of the consumers..
- Innovative flavors for Indian taste buds are being introduced regularly such as Maggi, Maggi
masala, chicken maggi, tomato flavour which helped them grabbing more market as customer needs
variety and they loved those flavors as well.
- The advertising strategy for Maggi was a super hit as their tagline itself was very effective and
grabbed the consumer’s mind.
- It enjoys strong brand loyal consumer base.
- It has developed the huge distribution channel network over thousands of distributors, retailers etc. and
so maggi is available in every shop right from the supermarket till food malls.
- Product is being launched according to the need of indian consumer. The product is also
innovative in nature.
- It’s a well established family brand
- Specialization in food processing category marketing and distribution in urban market.
Weakness
- Not so much presence in rural market.
- Heavily dependent on one flavor which consumers get bored after a time and stops buying the

17. product which hits the market sales of the product .
- Health related issues as it contains Maida, so there are some health related issues for this product
such as constipation and it does not give sufficient required proteins and vitamins to children.
- Minor distribute problems
Opportunities
- Growing package and canned food market in India by 15% annually·
- The greatest opportunity for the product Maggi is their unexploited rural markets as so far they have
mainly targeted cities and developed areas.
- Number of youths working nowadays are increasing rapidly, so they can open new branches and
employ these people and increase production and their by sales and profits by targeting rural markets.
- Increased affinity of Indians towards chinese cuisine creates new opportunity for Maggi to improve
its taste further and capture large market share.
Threat
- Presence of regional competitor’s e.g Top Raman, Ching’s noodles.
- Price war strategies adopted by other brands like Top Raman.

18. CONCLUSION
Maggi though has been able to differentiate itself from other Noodles, Maggi
Being taken as generic to Noodles is hampering other extended product category. Competitors
have high grounds to capture the market differentiating then from being Maggi. It makes others
possible product category vulnerable if lunched under Maggi. So to avoid proliferation of brand
and introduce new products to capture opportunities in other snacks and ready to eat product
category NIL has to introduce new branding strategy. By doing so, NIL could avoid the draw
backs associated with the Maggi brand. It could position new brand in competition with other
competitor’s brand where there is no fit of product with the Maggi brand.