7 Learning from Real Life Example for SMBs from Nestle's Maggi

This article is based on the real-life example I experienced today, I am writing this article in the form of story conversation I had with my wife.

At the end of the article I have also shared 7 important learning which every business should implement in their Business.

Today Afternoon I asked my wife Shruti to cook Maggi for me.

Shruti Replied: ok will do that but please go and get it from market and I will cook it for you.

Me: Ok

Then I went to the market and searched for the Maggi in at least 5-6 shops near my location including D-mart, Big Bazaar but did not find it in any of the shop.

Mentioning below conversation I had with one of the outlet.

Vishal: Bhaiya Maggi hai?

Shopkeeper: Nahi

Vishal: Kya yaar Bhaiya, it is not their in any of the nearby shop, aap batao kahan milegi.

Shopkeeper: You will not get that in any of the store

Vishal: Why?

Shopkeeper: Kya bataye bhaiya, Corona ki wajah se maal hi nahi aa raha hai, order kab se kiya hua hai, everything is stopped just some brands are doing delivery.

Learning 1: Supply Chain is the Most Important aspect for any Business. More strong supply chain one business has the more that business will grow.

Then while coming out of the store I saw that one side shelf was full of Ching Noodles, previously this space was full of Maggi.

Learning 2: Brands should always be active and ready with their plan to reach out to the consumers and fulfil their demand when their competitors are lagging behind, the way Ching Noodles took benefit of Maggi.

I decided to buy Ching Noodles saying that “ AAj isse hi kaam Chala lete hain, naam toh iska bhi sunna hai” and I bought 4 packets of Ching Noodles.

Now when I am back to my home below is the conversation I had with my wife

Shruti: Vishal, Maggi kahan hai.

Vishal: Didn’t got the Maggi, lets try Ching Noodles today.

Shruti: Mujhe kya, you only have to eat it, mein toh nahi khane wali aapki Ching Noodles.

Vishal: Ok please cook it for me, the cooking process is similar to the Maggi.

Shruti: Ok

Now I was just standing beside my wife in the kitchen when she was opening the

Ching Noodles Packet and when noodles came out of the packet and the moment i see that I realize that noodles are similar to the noodles of the Maggi and then see below is the conversation I had with my wife.

Vishal: Shruti, wait, do we have Maggi Masala.

Shruti: Yes, but now you will eat only Maggi masala.

Vishal: No, but understand we have noodles and we have Maggi Masala.

Shruti: Ohh yess, so you are saying that I should use noodles of Ching and masala of Maggi

Vishal: Yes

Shruti: Perfect, now I will also eat. Me and Meri Maggi

Learning(1-7):

1.    Maggi product is not noodles it is Maggi Masala and because of that Masala Nestle’s Maggi is one of

the biggest, most demanded and single largest revenue earner brand.

2.    Maggi’s Competitive Advantage is Maggi Masala not Maggi Noodles

3.    Maggi’s Core Competency is the formula to make the Maggi masala which they have patented.

4.    Supply Chain is the Most Important aspect for any Business. More strong supply chain one business has

the more that business will grow.

5.    Maggi’s Consistency in maintaining their quality, smell, flavor and taste.

6.    Maggi’s Sustainable Competitive Advantage.

7.    Brands should always be active and ready with their plan to reach out to the consumers and fulfil their

demand when their competitors are lagging behind, the way Ching Noodles took benefit of Maggi.

Answer below questions and take your business to the next level.

1.    Is Your Competitive Advantage Valuable in the Market?

2.    Is Your Competitive Advantage Unique?

3.    Is your Competitive Advantage hard to Imitate?

4.    Is your competitive advantage use, organised and implemented in your business?

If answer to all the 4 questions is Yes, then your Competitive Advantage is Sustainable Competitive Advantage similar to Maggi or else find the one for your business.

Good Luck