SWOT Analysis Of Maggi: A Detailed Analysis
Task: Provide a relevant and thorough SWOT analysis of Maggi in Singapore.
Maggi is a renowned product that is marketed under the group of Nestle which sells products under the category of sauces, bullion, and soups. In the local market of Singapore, the soups and noodles of Maggi are in very great demand and exigency. It was from the year 1975 that the Nestle Maggi has started marketing its noodles. The company has its own strengths and weaknesses though it possesses high customer faith and has a position of the biggest brand in the local market of Singapore (Prasad, 2015). In this report on SWOT Analysis of Maggi, a detailed analysis of the weakness and strength of the company is conducted.
The working class in the global society was in need of fast and convenient food products for consumption which was sufficed by the products of Maggi. The motto of Maggi, Fast to cook and good to eat gives a clear idea regarding the genre of products marketed by it.
As mentioned in the previous section of this report, a plethora of food products are being marketed by Maggi in the local market of Singapore. The variety introduced in its noodle section itself is well accepted by the consumer community of Singapore. The below conducted SWOT analysis would help you in understanding how the company has acquired such a prominent position in the national food market.
Maggi constitutes to be one of the reputable divisions of the Nestle brand. The high reputation of Nestle itself is the biggest strength of Maggi products. Even though we are talking just about the local food market of Singapore, Maggi products have proven their dominance in the international food market, and the same fact of being recognized as an international brand provides a highly authentic reputation to it in the local market. The fact that it could be prepared in just minutes and could be consumed effortlessly makes it a very appropriate food for the busy and dynamic population of Singapore.
Below are mentioned the major strengths of the Maggi brand in the food market of Singapore.
- The company has adopted a very innovative advertisement campaign by using some catchy tag lines which have been a trend among the youngsters of Singapore. The tagline like Fast to cook well to eat has well permeated into the minds of the Singaporean customers.
- The fact that the Maggi noodles are very easy to prepare makes it a preferable food item among the bachelors and working professionals.
- If considered the market for instant noodles, the local market of Singapore is the most suited one for it in the world because of its high demand and consumption. When analyzed by the parameter of brand loyalty, Maggi is placed at the top of the noodle brand marketers in Singapore (Johannesson et al., 2015).
- Various other brands are being marketed by Maggi, which are multipurpose in nature and are very convenient for household women to prepare food. Such products majorly comprise of the items like Maggi oyster sauce, Maggi cubes, Maggi liquid for chicken stocks, Maggi chilli sauce, etc.
- The accessibility of the products of the Maggi brand is very high throughout the whole nation.
There is no prominent weakness for the products of Maggi because of its association with the humungous brand of Nestle. The mere brand of Nestle ensures the quality delivery of products from Maggi. Below are mentioned some of the mere weaknesses that exist in Maggi.
- Some health hoaxes are created regarding the products created by social media.
- The noodles provided by the Maggi have their own flavour and taste, and it is quite different from the traditional noodles available in Singapore. The specific taste of Maggi is not preferred by some sections of customer demography.
- The Maggi brand has generally introduced a spicy version of noodles in the Singaporean market since the local palate highly prefers it. However, the same food items are not suitable for children.
The years of operation in Singapore have revealed that the products of Maggi have the potential to suffice the needs of the population for an elongated period. The company should identify various hidden opportunities to acquire further heights in the local food market of Singapore.
- Exploring new flavours for the Maggi products would be extremely helpful for expanding the sales of the company. Finding a flavour that would be acceptable both for locals and foreigners would be quite helpful for expanding the business.
- Apart from just concentrating on the sales of noodles, the company should extend the sales of other food varieties.
- Devise out a product with a delicious and particular taste that would be acceptable for the customers from any age group.
- Various new entrants are arriving into the food market of Singapore because of its high potential. The market share is being aggressively acquired by the new entrants like Nissan, and Koka is extremely affecting the overall turnover of the company.
- The major challenge posed to the business of Maggi is by the propaganda circulated by the media against it. The fake news spread throughout social media about the ill effects because of its consumption has caused a very negative impact on the reputation of the brand. There was even an instance when the government of Singapore had banned the sales of Maggi products in the local market (Blaschke, Kelly & Merschdorf, 2015).
If taken the instance of Singapore, the population of it is comprised of people from different nationalities and ethnicities. Instead of being known as Maggi as in other countries, it is known as Maggi noodles in the Singaporean consumer community. The customers of Singapore has developed a particular taste and culture of consuming Maggi products. Though in the recent period, the company has gone through its lowest phase, various opportunities could be utilized by it to reach a higher stage of business. As can be seen in the present paper on the SWOT analysis of Maggi, the company needs to convince the consumers that there is no negative impact on health after its consumption.
Blaschke, T., Kelly, M., & Merschdorf, H. (2015). Object-based image analysis: Evolution, history, state of the art, and future vision. eScholarship, SWOT analysis of the Maggi University of California.
Johannesson, P., Lee, M. V., Liddle, S. W., Opdahl, A. L., & López, Ó. P. (Eds.). (2015). Conceptual Modeling: 35th International Conference, ER 2015, Stockholm, Sweden, October 19-22, 2015, Proceedings (Vol. 9381). SWOT analysis of Maggi Springer.
Prasad, S. (2015). Remotely sensed data characterization, classification, and accuracies, SWOT analysis of Maggi (Vol. 1, pp. 277-293).