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Nestle was founded in 1867 in Geneva, Switzerland by Henri Nestle. Nestls first product was "Farine Lactee

Nestle", an infant cereal. In 1905, Nestle acquired the Anglo-Swiss Condensed Milk Company. Nestls

relationship with India started 1912, when it began trading as The Nestle Anglo-Swiss Condensed Milk

Company (Export) Limited, importing and selling finished products in the Indian market.

After independence, in response to the then economic policies, which emphasized local production, Nestle

formed a company in India, namely Nestle India Ltd.

Today, Nestle is the world's largest and most diversified food company. It has around 2,50,000 employees

worldwide, operated 500 factories in approximately 100 countries and offers over 8,000 products to millions of

consumers universally.

NESTLE PRODUCTS:

A) MILK Product and Nutrition

-Nestle Milk

-Nestle Milkmaid

-Nestle Dahi

-Nestle EVERYDAY dairy whitener

-Nestle EVERYDAY Ghee

B) Beverages

-Nescafe Classic

-Nescafe Milo

C) Prepared Dishes & Cooking Aids

-MAGGI 2-Minute Noodles

-MAGGI vegetable Atta Noodles

-MAGGI Dal Atta Noodles

-MAGGI Rice Noodles Mania

-MAGGI Cuppa Mania

-MAGGI Sauces

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-MAGGI Pichkoo

-MAGGI Pizza Mazza

-MAGGI Bhuna Masala

-MAGGI Magic Cubes

-MAGGI Healthy Soups

-MAGGI Healthy Soup Sanjeevni

D) Chocolates and Confectionery:

-Nestle KIT KAT

-Nestle Munch

-Nestle Milky Bar

-Polo

-Nestle Bar one

-Nestle Eclairs

Marketing Communication Objective:

Short term-To increase the frequency of buying and to sustain the preference. To motivate those customers to

buy who dont eat noodles.

Long term- To change the perception and induce trial for all other variants.

Marketing Media Objective:

To increase the frequency of exposures as objective is to increase the consumption rate and change the attitude.

Different Communication Media used by NIL:

Advertisements: To educate about health contents and intensify usage

Initially Maggi was targeted at the working woman and later the upper middle class kids.

Maggi was a sponsor for Hum Log, a popular television show on Doordarshan, Indias sole channel in 1984.

Maggi is now targeting its products at the entire family and not only kids.

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Advertisement Campaigns:

Maggi had launched MAIN AUR MERI MAGGI campaign in commensuration of 25 years of Maggi in India.

Print Advertisements:

Maggi did not focus heavily on print media during its launch since its initial target audience was mothers and

kids.

Some advertisements in the print media were used to highlight the convenience factor of Maggi.

Maggi introduced this form of advertisement in various magazines in 2003 to celebrate 20 years of its product in

India.

Maggi came out with advertisements in some weekly magazines for its atta noodles and rice noodles variants.

Maggis expenditure on print media is much lower compared to other media.

Sales Promotion: To induce trials for Maggi Dal Atta and Rice Mania noodles

Maggi was distributed free in schools and offices to promote trial.

Return gifts on empty packs.

Maggi fun book and stickers with funky animal facts.

Organized retails Sales Promotion

7% discounts on 6 piece pack (56 MRP), 5 rupee discount on 8 piece pack( 78 MRP). These are promotional

schemes given by retailer itself not by NIL.

Company came up with schemes like giving one soup pack with 8 piece pack.

In the past, the company had promotional schemes like 4 piece pack for Rs 36 instead of Rs 40

Public Relation: Deliver credibility message about the product being healthy to be consumed

repeatedly.

The Maggi Club - the children under 14 were invited by press advertisements and distribution of leaflets to

become a member of maggi club by sending logos cut from 5 empty maggi wrappers. Maggi projected it as

maggi clubbers are fun lovers and intended to use it as reference group.

Benefits offered to maggi-clubbers are various games like Snap safari game, Cap and mask sets, travel India

game, Disney today comic. To obtain each gift the member has to send 5 wrappers as purchase proof.

Some special privileges were given to regular members time to time like, discounted tickets of theme parks.

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Organized Maggi school quizzes and sketching

Results of PR activity:

Getting closer to regular customer.

Boosted the sales.

Making valuable direct marketing

Recently, again, they have started Maggi fan club. This time it is operating online and they are providing user

name and password.

Interactive marketing:

Interactive marketing isthe ability to address the customer, remember what the customer says and address the

customer again in a way that illustrates that we remember what the customer has told us. (Deighton 1996).

Interactive Marketing refers to the evolving trend in marketing whereby marketing has moved from a

transaction-based effort to a conversation.

The Consumer interacts with the online sellers, eg, requiring more information, by sending an e-mail or clicking

a link and answering a questionnaire.

Other tools:

Sponsoring School Sports event (higher secondary students)

Organizing Maggi painting competition, for school children till standard 7th

Introducing Maggi news letter for teenagers every month. (consists of general knowledge, diet essentials,

puzzles, jokes, brain games and many other interesting things)

Moving Van, painted about maggi, near colleges and shopping places, which would provide cooked maggi for

Rs. 5

Organizing Maggi Happy Healthy Family day, as a freak out place with parents (just like in fairs, filled with

games, eatables and awareness about the heath contents in maggi noodles)

Maggi Noodle Messages:

MAGGI 2-MINUTE Noodle

"Taste Bhi Health Bhi

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Chaska Taste ka, Health Rice ka

MAGGI RICE NOODLE MANIA comes as another unique TASTE BHI HEALTH BHI offering from the

house of MAGGI.

MAGGI Vegetable Atta Noodles, an offering that exemplifies "Taste Bhi Health Bhi".

Just add garam paani Carry on jaani

MARKETING

Sales and Marketing are amongst the main strengths of Nestle

It is the hierarchy, which has strengthened the foundation of Nestles

marketing force, is as in fig 1:

Managing director

Vice President

(Marketing)

The efficacy of this hierarchical structure is seen in Nestle's

performance over past few years of various products.

By 1989 the company had achieved a sales figure of approximately

Rs. 258 crores. 1989 was the year of launches. Seven new product

lines were launched in this year. This was also the year in which the

Nanjagud factory was set up. By the year 1992, this sales figure was

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touching Rs. 500 crores. In the 1990's the pace of launches

quickened and since the construction of the factory at Samalakha, 20

new products have been introduced. By 1996, Nestle had about 76

different products in its portfolio with various new products in the

pipeline as well. The sales figure now touched Rs. 1214 crores. Thus

sales grew by 450% over a period of one and a half decades.

MARKETING STRATEGY

Nest le has adopted a four pronged growth st rategy:

1. Gunning the market with new products and brand extensions.

2. Expansion of the distribution network to small towns for extensive availability

3. Reduce prices and introduce smaller packages for products to make them more

affordable (a tool to enter price sensitive markets).

4. Focus on employ training and develop a positive attitude through enhanced

manpower development.

5. By year 2000 it expects chocolate and confectionery to account for one in every

third rupee in sale.

In the late 1996 fear of breading complacency by not having a continuous

improvement, gave birth to an international sales and marketing improvement

teams (SMIT).

SMIT maps the latest in helping towards the target of year 2000. The SMIT

exercise is a major global initiative of Nestle to enhance sales and marketing

productivi ty. Linked with the al read y exist ing BECA project, which in turn

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emphasizes on excellence by improving the distribution set up, this gave rise to the

following growth objectives for the year 2000:

Ensure direct coverage of all urban towns in India.

Expand distribution to reach I million retail outlet on a regular basis.

Work in partnership with the distributor for the achievement of these

objectives.

Provide sustainable solution to optimize our secondary sales from distributor to

retailer.