Submitted by:Asmita, PGP30304Brand Management, Section BIIM Lucknow

Submitted to:Sameer MathurPh.D. (Carnegie Mellon University)Marketing Professor (IIM Lucknow)

Knorr Soupy Noodles• HUL entered the noodles category in 2010 with its brand

Knorr Soupy Noodles

• Unique positioning: A combination of taste and health (as against the usual instant noodles)

• Targeted on kids with Kajol as Brand Ambassador

• Soupy noodles is not entirely an innovation since a similar version called Curry Noodles exists in the market

The Manufacturer: HUL

• India's largest FMCG Company with a heritage of over 80 years

•  Over 35 brands spanning 20 distinct categories such as soaps, detergents, shampoos, skin care, toothpastes, deodorants, cosmetics, tea, coffee, packaged foods, ice cream, and water purifiers

• An annual turnover of INR 30,170 crores (financial year 2014 – 15)

• Subsidiary of Unilever, one of the world’s leading suppliers of fast moving consumer goods with strong local roots in more than 100 countries across the globe with annual sales of €48.4 billion in 2014

Product Category

Packaged Soup:• Total value sales rise by 20% in 2014 to reach INR3 billion• Most notable category: Dehydrated Soup (fastest growing)

Noodles:• Noodles in India saw value growth of 19% in 2014, taking

sales to Rs52.8 billion• Manufacturers are targeting rural consumers with smaller

pack variants and also the urban consumers with health and wellness offerings such as wholegrain, atta (wheat flour), real vegetables and recent one like oat noodles

Market Share: In Soup Market

Brand Company 2011 2012 2013 2014 (% Value) (%) (%) (%) (%)

Knorr Hindustan Unilever Ltd 64.79 64.81 63.96 62.33

Maggi Nestlé India Ltd 20.89 20.89 21.3 19.29

Ching's Secret Capital Foods Ltd 2.9 3.58 4.84 10.99

Bambino Bambino Agro Industries Ltd 1.82 1.94 2.05 2.72

MTR MTR Foods Ltd 0.77 0.66 0.57 0.49

Campbell's

Weikfield Products Co (India) Pvt Ltd 0.23 0.18 0.15 0.11

Others 8.6 7.94 7.13 4.07

Total Total 100 100 100 100

Source: Euromonitor International

#1st !!!

Market Share: In Noodles Market

Market Share in Indian Packaged Soup Market (by volume; in %)

Brand 2011 2012 2013 2014 (% Value) (%) (%) (%) (%)

Nestlé India Ltd 60.58 59.67 61.64 63.11

ITC Ltd 3.4 5.3 8.31 10.81

Bambino Agro Industries Ltd 6.43 5.84 5.43 5.1

Indo Nissin Foods Ltd 5.29 4.44 3.87 3

Capital Foods Ltd 1.73 1.68 1.7 1.84

MTR Foods Ltd 1.59 1.47 1.35 1.31

Hindustan Unilever Ltd 2.49 2.08 1.79 0.83

Others 18.49 19.52 15.91 14

Total 100 100 100 100

Source: Euromonitor International

Category Growth In Recent Past:

Source: Euromonitor International

Source: Euromonitor International

Growth of Manufacturer in the Category

Healthy Snacking optionAvailable in 4 variants:• Mast Masala•Tomato Chatpata•Chinese Chow•Yummy Chicken

It is packed in easy to use plastic packets with:• ‘Living green’ template• Fresh ingredient window• Strong skew towards

desire for consumption• Active & dynamic back-

of-pack

The well-established Knorr brand

Avalaible in diiferent sizes with MRPs of: Rs.

15,Rs. 30, Rs. 60, 90

Initially promoted by selling at discounts.

Currently, discounts are offered by modern

retailers

Initially bundled with the market leading soups by Knorr, to promote sales

Sales through traditional and

modern retailers

Same logistics that are required by other Knorr

products; savings of cost on establishing new supply chains

Benefited through existing HUL’s well

penetrated distribution system

Received a lot of media attention as it created a new

Brand Category: Soupy Noodles.

Media projected its launch as a war between HUL a& Nestle

Sold at all modern and traditional retailers

“Green- themed” advertising targeted

children, with household favourite Kajol as brand

ambassador

Targeted promotions for children including free school

goodies, Chhota Bheem merchandise etc.;

Partnership with POGO channel

Product Positioning

It’s not Soup

It’s not the two-minute Noodles

It’s Soupy Noodles!!!

Knorr says:“This magical mix contains the all time favourite masala noodles with the goodness of vegetables in a hearty soup. Spicy and slurpy, this noodle soup is a meal in itself!”

For the first time in India

Knorr started a new Brand Category of Soupy Noodles in India, to give tough competition to the market leader Maggi. It received a lot of media coverage for it.

Healthy:

All Knorr products are projected as healthy, completely preservative free & low on sodium & cholesterol content.

It comes with 100% real vegetables & carries the ‘Healthy Choice' Stamp

The ‘Live Green’ Template

To emphasize 100% real vegetables and its health benefits, the packaging and advertising are given a green theme.

Targeted Promotions on Kids

It is loved by the kids & provides mothers a tasty healthy afternoon snacking option for their children

“Children love this easy to make soupy noodles”

Thank You!