Marketing Audit

Of
NESTLE

Product Mix Width
Milk & Milk Products
Everyday Dairy Whitener
Everyday Ghee
Nestle Milk
Fresh n Natural Dahi
Fresh n Natural Slim Dahi
Milkmaid


Beverages
Nescafe Classic
Nescafe Sunrise premium/Special
Cappuccino
Nestea Iced Tea
Nestea Iced Tea with Green Tea
Premix



Health & Nutrition
Maggi Soups
Cerelac
Lactogen

Product Analysis

Milkmaid is the market leader holding
more than 55% share in the organized
condensed milk market.

Cerelac again leader with 89% market
share.

Market share of powdered milk is only
7%

Everyday is one of the major player in
this category.

Nescafe Classic is preferred everywhere
in India except southern Parts.


Milo a health drink is withdrawn
temporarily from market as R&D is going
on to develop its taste in accordance with
the Indian audience.

MSG a substance which causes obesity is
not present in Maggi soups which makes
them healthier.


Distribution Channel Analysis


Nestle has three types of distributors:

The one who distributes only liquid milk and
dahi.

The second one distributing to big retailer
outlets.

The last one to normal retailers.



Margin : 9 12 %

Replacement Policy : Only on expired
products.

Credit Cycle: Nestle does not provide
stock on credit rather they take advance
from the distributors before supplying with
the stock.
Salesman who interacts deals with the
retailers are on the payroll of distributors
but are trained by the sales executives of
the company.

Visits.

Retailers get 2% commission on display of
products.


Issues / Problems
Consumer Related Issues
Nestea requires more concentrate to make
it taste sweeter.

Sunrise Premium & Special are not
preferred in South India because of the
taste of Chikory

The coffee bottles are expensive and face
a problem of breakage.


Also the mouth of the bottle is small .

Sachet coffee faces a threat of becoming
dry.

Dahi has a late delivery.

Carton Milk is expensive.




Retailers Related problems
Small Retailers have little margins.

Agents are not friendly as compared to
other companies.

No Credit Policy


Recommendations
Air Zip packs for coffee in sachet packs.

Coffee jars can be replaced by plastic
containers.

Company should conduct a blind test on
Sunrise premium , Sunrise special and
BRU in South India.




To increase the sales of Maggi Soups consumer
must be made aware of the MSG substance
which is absent in their soups.

They should offer Nestea in sachets.

Nestle Paneer which has been launched in
some countries should also be launched in
India.



Promise of incentive should be given to
small retailers so as to motivate them and
increase sales from their counter.

Small plastic spoon should be offered
along with the coffee bottle.

Kartik
Khushal
Mohit Sinha
Mohit Raj
Shilpa
Srishti
Vibhu