Key Takeaways
- Have you eaten Maggi Noodles yet?
- We conducted a Maggi noodles case study to understand how a Swiss brand became an Indian household item!
- Read our Nestle Maggi case study, or shall we call it Maggi crisis management case study (2015), to know the secret marketing strategy of Maggi Noodles.
Maggi Noodles, the brand that coincides with quick and tasty meals in India, has made itself a household name across generations and economic strata!
- Did you know Maggi is a Swiss Brand that came to India in 1983?
- How could a foreign brand feel so Indian to us?
This case study dwells into Maggi’s journey from 1983 to 2024, showcasing their immensely powerful marketing campaigns, audience targeting, and brand messaging!
They also used digital marketing channels when the general public came online.
If you are a business owner, an FMCG manufacturer, a marketer, a product manager, or a Maggi Noodles lover, this case study will make you fall in love with Maggi Noodles, once again!
Business Overview
The late Mr. Julius Maggi founded Maggi Noodles in Switzerland in 1884 with the aim of catering ready-made food that is affordable and nutritious.
For your information, cuppa noodles or Instant Ramen Noodles were invented in Japan (1950s) after food shortage created by the World War II. Although they used to cost thrice as must as ramen noodles but they became a huge hit in Japan.
Nestle acquired Maggi Noodles in 1947, and since then they are spearheading Maggi into our homes.
When Maggi Noodles were introduced in India i.e. 1983, Indians were unawareto the instant noodle concept and thus they had to create the need in the market and make their users aware and deliver top quality to ensure loyal customer base!
Maggi provides,
- Instant Noodles,
- Sauces,
- Pasta,
- Masalas,
- Soups and much more in India.
There was a time in 2015 when Maggi Noodles was banned in Delhi for 15 days, but that did not deter their resolve and they came back on top in 2017.
Maggi Noodles had sold 6 billion packets to generate a revenue of Rs. 24,275 crores by March 31st 2024.
Problem Statement
There were many problems that Maggi Noodles faced in India, and they were,
- No consumption of Instant Noodles in India before 1983.
- Maggi Noodles is a dry cake of noodles, while the Indian palette is much more refined and exquisite with various flavours & spices.
- Indians did not believe in instant food, and the Indian fast food used to take 10-20 minutes to be made!
- They had to compete with Instant Ramen Noodle, Yippee, Wai Wai, and more.
- In 2015, the Delhi Government found traces of Lead and MSG (monosodium glutamate). Lead can cause Brain & nervous system damage, while MSG can cause headaches & more.
- They were off the shelf for 5 months due to the 2015 found.
- This dropped their market share from 75% to 0 in 15 days of ban!
They had a lot of challenges, and they couldn’t just give up.
Solutions
When Maggi was planning to enter global markets, it had two options: Japan and India.
Japan was the top consumer of Instant Ramen Noodles and its market share was 50% monopolized by the Nissin company.
New Market
So instead of going after a monopoly, they chose a new market altogether, i.e., India.
Target audience
Even though the Maggi Indian Noodles, which can be eaten by a kid of age 5 and an adult of age 45, had a wide target base, they used segmentation targeting and positioning to focus on Customers and Consumers.
- Customers for them were the Indian moms, both working and homemakers.
- Consumers were their kids who get hungry even after 3 daily meals!
The problem they wanted to solve was this untimely hunger that plagued the kids and forced mothers to cook untimely meals.
Brand Messaging
As conveyed earlier, Indian fast foods were not that fast and used to take at least 10 to 20 minutes to make.
Thus, Indians could do with a snack that could be cooked in 2-5 minutes.
So, they solved the problem of their customers and consumers by,
- Offering 2-minute Maggi Noodles.
- They were easy to cook.
- It can be made anywhere.
Their message and its benefits resonated as an emotion, far and wide.
Marketing Channels
They knew that they had to reach out to their consumers, so they used the Maggi marketing strategy to target kids and their mothers via the top-notch advertising strategy of Maggi to advertise on cartoon networks and in school competitions along with free sampling.
Brand Reputation Management
When the Maggi underwent their 2015 crisis, Indian people were deeply hurt!
The Indian moms used to trust Maggi for their children, and finding harmful chemicals in it just robbed Indians of their favorite delicacy.
Indian kids were saying that they will never eat Maggi again, while its competitors were ready to make their moves and capture the market.
Maggi had to make up for all the lost emotions and disappearance from the shelf for 5 months!
Are you ready to know the results of all this hard and smart work done by Maggi Noodles?
Results
Here are the results of amazing marketing strategies by Maggi Noodles, both on traditional and digital marketing channels:
- Double Digit growth rate
- 75% Market share before 2015.
- 60% Market share was regained in 2017.
- More than 60% Market share in 2024.
- Maggi Masala became an alternative to Indian spice boxes as it was easy to carry, store, and use!
- Maggi Pasta, Maggi Soups, Maggi Sauces and more also helped capture other FMCG markets in India related to pasta, soups and sauces.
- Tier 3 and Tier 4 cities monopolization
- Customers & Consumers do not know the product, i.e., Instant noodles, but they recognize it by the brand, i.e., Maggi Noodles!
Maggi Noodles will reign supreme in the Instant Noodles market in India!
Conclusion
Here are the reasons why Maggi reigns supreme in India:
According to Nestle’s annual report, Business Standard wrote that India is the largest market for Nestle’s Maggi, with six billion servings in the financial year 2023-24, Nestle India reported sales of ₹24,275 crore for 15 months ending on March 31, 2024, according to the article.
- 25 years Supply Chain Innovation
- Tier 3 and Tier 4 cities domination
- Creating their Own market
- Focussing on a target audience since they had a generic product
- Finding Consumers and Customer for their offerings
- Solving their Pain points while tending to their Interests
- Selling an Emotion, i.e., a Mother’s wish to feed her Children tasty and healthy snack that is affordable!
And because of these many reasons, they have become a household name in India when it comes to fast food!
It depicts how an effective marketing strategy and timely correction & optimization can help ensure the top 1% spot in the market for instant noodles in India.
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