how ITC's distribution helped Yippee to grow and compete with Maggi

1. Submitted to:
Prof. Durba Roy
By:
Ajay Raghuvanshi
Ankit chandra Prakash
My name
My position, Shuklainformation
Dhairya contact Presentation Title
or project description
Jaidev Purkayastha
Mayank Gakher

2. HISTORY
• ITC was incorporated on August24,1910 under the name Imperial
Tobacco Company of India Limited later it changed its name as
India Tobacco Company Limited in1970.
• It first introduced 'Kitchens of India' in August 2001 to enter in the food
market.
• In 2002, IT Centred the confectionery and staples segments with the
launch of the brands mint-o and Candyman confectionery and Aashirvaad
Atta(wheat flour).
• 2003 witnessed the introduction of Sunfeast as the Company entered the
biscuits segment, 2007 it entered the branded snacks category
with Bingo!

3. INTRODUCTION
• ITC has launched noodles brand Sunfeast Yippee in the
Indian market in 2010.
• Indian noodles segment has now become a huge market worth
Rs1200crore.
Product Attributes:-
• Wheat is key ingredient.
• No lumping even 30mins after cooking.
• Available in round cake.
• Available in two variants:
Classic & Magic Masala

4. Segment &Target
Segment
• Segmented for youngsters mainly.
Target
• Mainly targeted towards working individuals.
• Mothers as they purchase and wants healthy food for their
children.

5. Positioning
• It attacks the largest selling variant of Maggie, Maggie
Masala, and gives consumers the choice of two masala
“Magic” and “Classic”.
• Maggie comes in rectangular shape and while cooking it is
broken into two pieces. On the contrary Yippee comes in
round shape and can easily fits into round vessel with no
breaking .
• The biggest problem with cooked Maggie is that it is to be
eaten when freshly cooked. Get sticky becomes inedible.
Yippee promises that Yippee noodles can be eaten even after
some time.

6. Market Research & Share
• Indian noodle market.
• Increasing competition.
• New product launches and extensive
marketing.
• Stress on health and wellness.
• Traditional flavours still dominate.
• Addressing rural market.
•Health and wellness theme.
•Huge Rural market

7. Product Development
• New Product introduced in the already
Existing Noodles market by ITC.
• Yippee now has to slowly climb the market share
and give a tuff competition to Maggie.
• The prevailing distribution channel of ITC will
act as a catalyst.

8. Marketing Mix
Promotion
• Advantages
over maggi as
competitor.
• Ads mostly
shown on
particular
channels & time.

9. Consumer Behaviour
• The competitive scenario in this industry is getting more
intense as the customers habits are changing and they now
want more options in anything and everything that they
consume.
• The entry of these variants has provided the customers with a
lot of options.
• It now needs to be seen how Sunfeast Yippee Noodles from
ITC is able to make a dent in stronghold of Maggie and how it
is able to come out on top in this battle of FMCG giants.

10. Conclusion
• Lot to be done for Yippee.
• The biggest advantage for Maggie is its taste and first mover advantage in the
instant noodle market.
• Become generic and mere advertising is not going to do any harm to Maggie.
• Key to success for Yippee will be the taste and targeted promotional activities and
good distribution channel with ITC’s reach.
• Top Roman and Foodles failed. Maggie with 80% market share is being targeted by
ITC’s Yippee noodles with a slight different and a well thought out strategy and
with a huge cash reserve to fight a marketing war with Nestle.
• Noodle brands mainly target children only. India is vastly consumed by Young
population also, then why not target this group and segment the market. ”Divide
and Conquer”.