Sapporo Ichiban

Maggi What Xerox is to photocopier and Colgate to toothpaste, Maggi is to noodles in India – Economic times, May 21st 2003 1 Introduction Nestlé India, the Indian subsidiary of Nestlé SA, introduced the Maggi brand in India in 1982, with launch of instant noodles - Maggi 2 Minute Noodles. Nestle India created a new category in the packaged food segment. Nestle India’s first-mover advantage helped to establish and retain its position as a leader in its category. Over the years, Nestle India extended the Maggi brand line to a range of products like Pasta, Masala, soups, sauces and ketchups. However, other product extensions of the brand were not as successful as the instant noodles. In 2005, Nestle India introduced a range of new 'healthy' products. One such product with the promise of dietary fibre equal to 3 rotis in 80 grams of Maggi Vegetable Atta Noodles. This case looks at the various stages in the recent crisis of Maggi noodles in India. It talks about the response in the social media and various measures taken by Nestle India to maintain the trust of the customers of the Maggi brand. It further discusses the measures taken by NIL to reposition Maggi as a 'health product'. The case ends with a discussion whether NIL would be successful in sustaining this new image for Maggi in the market. 2 Maggi’s Early Years The original entity Maggi was established in 1875 in Switzerland, when Julius Maggi took over his father’s mill. Aimed at improving the nutritional…