Knorr Marketing Strategy & Marketing Mix (4Ps)

Published in Products category by MBA Skool Team

Here is the marketing strategy of Knorr which analyzes the brand with the marketing mix framework which covers the 4Ps (Product, Price, Place, Promotion).

Knorr Product Strategy:

The product strategy and mix in Knorr marketing strategy can be explained as follows:

Knorr is a leading packaged food & beverage brand based out of Germany. Knorr offers a huge variety of products in its marketing mix in the ready to cook and frozen food segment, the major categories being- soups, noodles and other ready-to-cook frozen products like rolls fillings, broth cubes etc. Knorr soups are made of 100% natural vegetables with no added preservatives and available in 18 different flavours which are further divided into 2 categories- classic flavours and international flavours. Classic flavours include Thick Tomato, Hot & Sour Vegetable, Sweet Corn Vegetable, Mixed Vegetable, Sweet Corn Chicken and Chicken Delite, while international flavours consist of Thai Vegetable, Italian Mushroom, Shanghai Hot & Sour Chicken, Hong Kong Manchow Noodle and Mexican Tomato Corn. All these soups are also available in cup-a-soup packaging. In noodles category, the varieties offered by Knorr include Schezwan noodles, Hot and Spicy noodles and Soupy noodles which is a mix of soup and noodles.

Apart from this, Knorr also tries to come up with localised taste as a part of its product strategy. For example, in India, it has ventured into spices segment with its Knorr Masala offerings. The company has launched 8 masalas including Sambhar Masala, Chicken Masala, Chana Masala, Pav Bhaji Masala and Biryani Masala. Knorr has also launched ready-to-cook local cuisines like Dal Makhni, Punjabi Chicken Curry etc. along with wrap and roll fillings such as Tawa Chatpata, Chinese Chow and Chicken Masaledar.

Image: company website

Knorr Price/Pricing Strategy:

Below is the pricing strategy in Knorr marketing strategy:

Knorr’s products are priced a little bit lower than the competitors as it follows a penetration pricing strategy. The company has huge competition with existing food brands such as the Nestle owned Maggi especially in Asian markets like India, Pakistan, Malaysia and Indonesia where it holds more than 50% of market share.

Many local players such as Maggi, Patanjali, Yippie etc also undercut Knorr’s already secondary market share in these countries. These considerations keep Knorr to keep its price lower and provide a differentiating factor to the customers by providing value for money products. The Knorr instant noodles come in 70 gm packs of Rs.15 each in India. For ready to cook category, it charges Rs.50 per pack. The same amount is charges for Rolls mixes. The soup packets which have 4 people comes for Rs.60 per each, while the small cup-a-soup instant soups offer just 1 serving and cost around Rs.10. As compared to the competitors in the country, Knorr’s prices are comparable and even lesser in some categories.

Read more about Knorr

Knorr Place & Distribution Strategy:

Following is the distribution strategy in the Knorr marketing mix:

Knorr is sold in over 78 countries around the world. It uses the existing channel of Unilever in each country for distribution and delivery as it is a sub brand under the FMCG giant’s umbrella. In India, Knorr is a subsidiary of Hindustan Unilever and has a network of 4000 redistribution stockists which reach approximately 6.3 million retail stores. Knorr products are available in almost all retail stores- both organised and unorganised. Knorr’s strategy involves being present at all possible sale points. It is present in almost all the urban outlets and about 250 million rural customers as well. It is also present on the online grocery stores, again taking an Indian example of Big basket, which sells all the products manufactured under the Knorr brand. Knorr as a brand is very active on social media as well with more than 21 million likes on its Facebook page.

It even has localised versions of the page for on the basis of countries it is present in.

Knorr Promotion & Advertising Strategy:

The promotional and advertising strategy in the Knorr marketing strategy is as follows:

Knorr follows aggressive marketing and promotion strategy in its marketing mix for its products. Most of its advertisements are still via the television commercial channel. Each new product launch is followed by heavily promoted ad campaigns on TV and local newspapers. It also does celebrity endorsements for its products, be it the famous Indian movie actress Kajol in India or Omotola Jalade Ekeinde in Africa. Most of its advertisements are focused on the bonds between a mother and her child. For promoting its Knorr Masala product line or other ready to cook products, it uses famous chefs to endorse them and increase credibility factor. Knorr also involves in point of sale promotions with attractive store layouts for its products and separate shelves in super markets. The point of purchase promotions helps it to get involved directly with the buyers at touch points and is a big motivator for sales. In recent years Knorr has also been very active on social media with live pages, launching new products through Facebook and YouTube videos and creating a lot of buzz via its #LoveAtFirstTaste campaign. Hence this completes the Knorr marketing mix.

About Knorr:

A German food and beverage brand Knorr, was established in 1838 by Carl Heinrich Theodore Knorr. The founder was an expert in food drying techniques and used them to make ready to eat soups, vegetables and his Knorr’s famous Buillon while maintaining their taste and keeping the nutrition value intact. Knorr was acquired in 2000 by the FMCG giant Unilever, and has been operating as a subsidiary brand under Unilever umbrella since then internationally, except Japan. In Japan it has a licensing agreement with Ajinomoto, a food and chemical corporation. Today Knorr is one of the world’s largest food brands and is still keeping alive its founder’s passion for good food and different tastes from all around the world.

They are known to source 100% of their raw materials sustainably. Knorr also aim to teach cooking nutritiously to more than 1 billion by 2020 to improve their health and well-being.

This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.

Browse marketing strategy and 4Ps analysis of more brands similar to Knorr. The Marketing Strategy & Mix section covers 4Ps and 7Ps of more than 800 brands in 2 categories.

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The names and other brand information used in the Marketing Strategy & Mix section are properties of their respective companies. The companies are not associated with MBA Skool in any way.

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