1. Indo Nissin Food Ltd

2. Agenda Industry Background Company Profile MDS Analysis
Conjoint Analysis
Managerial Implications

3. Industry Background

4. Instant Noodles Market in India
Rs.1300 crore industry
Impressive growth of 15% annually
Major Players in the market
Nestle India Ltd.
Indo Nissin Foods Ltd.
Capital Foods Ltd.
CG Foods India Pvt. Ltd.

5. Market Share of Prominent Players

6. New Entrants into the Market
GlaxoSmithKline’s (GSK) Horlicks Foodles
Hindustan Unilever’s (HUL) Knorr Soupy noodles
Big Bazaar’s Tasty Treat
Many local brands

7. Market Trends Increasing urbanization
Rising demand for convenient food
Pouch instant noodles were the fastest growing category during 2009
ITC is speculated to launch its own instant noodles under the Sunfeast brand.
Manufacturers are now targeting the adult consumers
Health and wellness wave in the market
Increasing their reach in the rural markets

8. Indo Nissin Foods Ltd.

9. Company Profile
Principal Subsidiary of Nissin Food Products Company Ltd, world's leading producer of instant ramen noodles.
Incorporated in 1988

10. Products Offered TOP RAMEN TOP RAMEN CURRY SMOODLES CUP NOODLES
MUG SMOODLES

11. Positioning Strategies
1991 : It’s not noodles its smoodles
2002: Shifted positioning from ‘smoother noodle’ to ‘healthier noodle’
2003 : hot, fast and easy
2008 : little strands of happiness

12. Target Segments For Top Ramen smoodles and Top ramen curry smoodles :
Children (when they started off)
For Cup noodles and mug smoodles :
Adults in the age group of yrs who are on go.

13. TOP RAMEN CURRY SMOODLES
BCG Matrix
STAR
TOP RAMEN SMOODLES
QUESTION MARK
MUG SMOODLES
TOP RAMEN CURRY SMOODLES
CASH COW
CUP NOODLES
DOG

14. Methodology SECONDARY DATA ANALYSIS BRAINSTORMING FOCUS GROUP
MULTI DIMENSIONAL SCALING
CONJOINT ANALYSIS

15. Brainstorming & Focus Group Discussion
Attribute selection:
Final Attributes and Levels selected
Attribute
Levels
Flavor
Make
Package
Spicy Tarka
Atta
Packet
Tangy Tomato
Rice
CUP
Cheese Onion
Maida
Microwave

16. MDS Output and Analysis

17. Multi Dimensional Scaling
Multidimensional scaling is to find a representation of the objects in a low-dimensional space.
Used in information visualization for exploring similarities or dissimilarities in data.
Starts with a matrix of item–item similarities
Finally, assigns a location to each item in N-dimensional space

18. MDS study Objective of the study: Methodology used:
To spot objects in Instant Noodles industry.
Establish position of all players in the Instant Noodles market.
To identify areas that Top Ramen can tap to increase its market share.
Methodology used:
Identified 13 attributes for the study (using brain storming & Focus Group Discussion)
Questionnaire to establish similarities among the attributes
Sample size:30

19. MDS Output

20. Observations Strong association of Top Ramen with Tomato flavor.
Respondents Associated Top Ramen instant Noodles with Masala, Hot garlic flavor.
Strong association of Top Ramen with Tomato flavor.
Strong association of Maggi with Atta make, Maida make and Masala flavor.
Associated Top Ramen more with Cup Noodles than Pouch Packets.
Association of all brands weak with Rice make and nutrition.

21. Inferences
Top Ramen to focus more in Health and nutrition category.
It may also venture into noodles that are ‘Rice make’ since no player is distinctly established herein.
Tap the Atta make segment particularly in Health category.
Can bring more variations in tomato flavor for stronger association.

22. Conjoint Analysis

23. Study Design Sample Selection Data Collection Study Results
19 card
12 card
Sample Selection
80 Respondents
Data Collection
Arranging Cards as per preference
Students & Research Scholars
Study Results
Data Validation & Further Analysis

24. Data Validation
Initial Correlation less than 0.5
11 respondents violation more than 66.66% and maximum of it violating 100%
Violation removal
Respondent set decreased to 69
Average Correlation increased to 0.7
Average percentage of pairs violated went down to 17.4%.

25. Distribution of Violation
Distribution of Violations
Score
Percent
0-5
73.9%
6-10
15.9%
11-15
2.9%
16-20
4.3%
21-25
26-30
0.0%

26. Attribute Importance & Utility Functions Performance
Flavor 36.48%
Tangy Tomato
Cheese Onion
Spicy Tarka
-6.109
-0.047
6.156
<18.650>
<18.099>
<20.187>
Make 37.59%
Rice
Atta
Maida
-6.59
6.049
0.541
<13.230>
<13.856>
<16.938>
Package 25.92%
Microwave noodle
Cup Noodle
Packet Noodle
-5.114
1.514
3.6
<14.599>
<14.198>
<14.777>

27. Make : Analysis

28. Flavor : Analysis

29. Packaging : Analysis

30. Segmentation : No. of Segments

31. Benefit Segments Cluster 1 (We want Nutrition but should be tasty)
Cluster 1
(We want Nutrition but should be tasty)
Cluster 2
(We want nutritional noodles)
Cluster 3
(We want good taste and convenience)
Size of cluster (%)
36.23%
34.78%
28.99%
Factors
Relative importance (%)
Flavor
29.8
21.64
45.23
Make
47.85
57.08
15.52
Package
22.35
21.28
39.25

32. Simulation : Case 1 (Real Market Bases)
MAGGI
CHINGS
TOP RAMEN
Flavor
Spicy Tarka
Tangy Tomato
Make
Maida
Atta
Package
Packet Noodle
Market Share
24.64%
26.09%
49.28%

33. Simulation : Case 2 (Cup Noodles Segment)
Profile 1
Maggi
CHINGS
TOP RAMEN
Flavor
Tangy Tomato
Make
Maida
Atta
Package
Cup Noodles
Market Share
19.81%
60.19%

34. Simulation : Case 2 (Cup Noodles Segment)
Profile 2
Maggi
CHINGS
TOP RAMEN
Flavor
Tangy Tomato
Cheese Onion
Make
Maida
Package
Cup Noodles
Market Share
19.51%
60.87%

35. Simulation : Case 2 (Cup Noodles Segment)
Profile 3
Maggi
CHINGS
TOP RAMEN
Flavor
Spicy Tarka
Make
Maida
Atta
Package
Cup Noodles
Market Share
19.81%
60.39%

36. Simulation : Case 2 (Cup Noodles Segment)
Profile 4
Maggi
CHINGS
TOP RAMEN
Flavor
Spicy Tarka
Tangy Tomato
Make
Maida
Package
Cup Noodles
Market Share
31.8%
36.23%

37. Simulation : Case 2 (Cup Noodles Segment)
Profile 5
Maggi
CHINGS
TOP RAMEN
Flavor
Spicy Tarka
Make
Maida
Rice
Package
Cup Noodles
Market Share
48.79%
34.3%
16.91%

38. Simulation : Case 3 (Packet Noodles Segment)
Profile 1
Maggi
CHINGS
TOP RAMEN
Flavor
Tangy Tomato
Make
Maida
Atta
Package
Packet Noodles
Market Share
19.81%
60.39%

39. Simulation : Case 3 (Packet Noodles Segment)
Profile 2
Maggi
CHINGS
TOP RAMEN
Flavor
Tangy Tomato
Make
Maida
Rice
Package
Packet Noodles
Market Share
31.16%
37.68%

40. Simulation : Case 3 (Packet Noodles Segment)
Profile 3
Maggi
CHINGS
TOP RAMEN
Flavor
Spicy Tarka
Make
Maida
Rice
Package
Packet Noodles
Market Share
31.16%
37.68%

41. Simulation : Case 3 (Packet Noodles Segment)
Profile 4
Maggi
CHINGS
TOP RAMEN
Flavor
Spicy Tarka
Make
Maida
Atta
Package
Packet Noodles
Market Share
19.81%
60.39%

42. Simulation : Case 3 (Packet Noodles Segment)
Profile 5
Maggi
CHINGS
TOP RAMEN
Flavor
Spicy Tarka
Cheese Onion
Make
Maida
Package
Packet Noodles
Market Share
30.68%
38.65%

43. Simulation : Case 3 (Microwave Segment)
Profile 1
Maggi
CHINGS
TOP RAMEN
Flavor
Spicy Tarka
Make
Maida
Package
Packet Noodles
Microwave Noodles
Market Share
29.23%
41.55%

44. Simulation : Case 3 (Microwave Segment)
Profile 2
Maggi
CHINGS
TOP RAMEN
Flavor
Spicy Tarka
Make
Maida
Package
Cup Noodles
Microwave Noodles
Market Share
28.99%
42.03%

45. SUGGESTIONS : For Cup Packaging
Flavor
Make
Package
Tangy Tomato
Atta
CUP
Cheese Onion
Maida
Spicy Tarka
Cup

46. SUGGESTIONS : For Packet Noodles
Flavor
Make
Package
Tangy Tomato
Atta
Packet Noodle
Spicy Tarka

47. SUGGESTIONS : For Microwave Noodles
Flavor
Make
Package
Against
Spicy Tarka
Maida
Microwave Noodle
Cup-Noodles
Packet Noodles

48. Thank You