Marketing Mix of MTR Foods and 4Ps (Updated 2023)

The Marketing mix of MTR Foods analyses the 4Ps of MTR Foods, which includes the Product, Price, Place, and Promotion of MTR Foods. MTR Foods is associated with the beverage and food processing industry and offers packaged food and beverage items. It is of Indian origin and is a subsidiary of its parent company, Orkla, a conglomerate of Norwegian origin. MTR Foods started from a small restaurant, stepped in as a packaged food manufacturer, and returned to its roots as a franchised chain of quick-eating joints. Some of its competitors are as follows-

• ITC
• Kohinoor Foods
• MDH Masala
• Everest
• Tasty Bite Eatables Limited
• Hindustan Lever Limited
• Nestle S.A.

About MTR Foods

• Type: Food products company
• Industry: Food and beverage
• Founded: 1924
• Founders: Yagnanarayana Maiya
• Headquarters: Bengaluru, India
• Area served: Worldwide
• Current CEO: Sanjay Sharma
• Number of employees: 2,000+
• Major Products: Ready-to-eat meals, snacks, breakfast mixes, masalas, and spices

MTR Foods Product Strategy

MTR Foods is a packaged food and product company offering a diversified range of packaged food products. It uses authentic recipes, high-quality oil, and the best ingredients to retain and ensure homemade aroma, taste, and flavor. Products are prepared in a strict hygienic atmosphere so that packs retain crispiness and freshness. It includes items for breakfast, meals, and in-between meals like-

Frozen Foods

• Vada with Sambhar and Chutney
• Idli with Sambhar and Chutney
• Mysore Masala Dosa with Sambhar and Chutney

Pickles

• Lime Pickle
• Mango Sliced Pickle

Sweets

• Gulab Jamun
• Rasagolla

Masala Pastes

• Biryani Paste
• Lemon Rice Paste
• Pulliogare Paste

Meal Mixes

• Sambhar Mix
• Rasam Mix

Snack Mixes

• Muruku
• Bajji and Bonda
• Gobi Manchurian

Pure Spices

• Haldi Powder
• Chilli Powder
• Jeera Powder

Vermicelli

• Seviyan Vermicelli
• Beetroot Vermicelli
• Carrot Vermicelli

Ready-to-Cook

• Methi Matar
• Chana Masala
• Veg Kadhai

Drinks

• Chocolate Drink
• Badam Drink

Single Serves

• Rasogolla
• Basundi
• Rasamalai

Ready-to-Eat

• Sambhar Rice
• Dal Makhani
• Palak Paneer

Breakfast Mixes

• Khaman Dhokla
• Spinach Idli
• Poha

Sweet Mixes

• Mango Kulfi
• Gulab Jamun
• Basundi/Rabri

Masala Powders

• Curry Powder
• Rasam Powder
• Sambhar Powder

MTR SnackUp

• Pepper Banana Chips
• Spicy Banana Chips
• Huli Thengols

Beverages

• Badam Drink Mix

The product mix of MTR Foods in 2023 is as follows (Source)

1. Ready-to-Eat Meals: These are convenient options for quick meals and include a variety of Indian dishes such as Palak Paneer, Rajma Masala, and Chana Masala.
2. Instant Mixes: MTR is famous for its range of instant mixes, which make it easy to prepare traditional Indian dishes at home. This category includes dosa, idli, vada, and rasam mixes.
3. Spices and Masalas: MTR offers a selection of spices and blended masalas essential for Indian cooking. This includes garam masala, sambar powder, and rasam powder.
4. Vermicelli and Noodles: They provide various vermicelli products used in sweet and savory dishes and a range of instant noodles with different flavors.
5. Breakfast Mixes: This includes a variety of mixes specifically for making traditional Indian breakfast items such as upma, poha, and Rava idli.
6. Snacks and Sweets: MTR also produces a range of snacks like bhujia and murukku and sweets like gulab jamun and Kesari halwa.
7. Beverages: They offer a range of traditional Indian beverages like Badam Drink Mix and Masala Chai Mix.
8. Frozen Foods: This category is newer, including frozen versions of popular Indian dishes and snacks.
9. Culinary Pastes and Sauces: These include ginger garlic paste, tomato puree, and a variety of cooking sauces.
10. Dairy Products: Some regions may have MTR offering dairy products like paneer or ghee.

MTR Foods Place Strategy

MTR Foods has spread its domestic presence to most parts of India and has its headquarters at Bengaluru in Karnataka. Its fast food restaurants and products are exported to several countries in the world market, like Singapore, Malaysia, Mauritius, Japan, the Middle East, New Zealand, Australia, Germany, the United Kingdom, Canada, and the United States. MTR has also opened its fast-food restaurants on a franchisee concept called MTR Super Shops, located in most cities and towns in India.

MTR Foods has seven facilities to conduct the manufacturing process. It has a solid and extensive distribution network that includes the services of distributors and retailers. Its products include services readily available to consumers through its stores and in supermarkets, hypermarkets, discount stores, convenience stores, and grocery stores. MTR Foods has launched its e-commerce platform from Bengaluru as a venture to move with changing times.

The place strategy of MTR foods is as follows:

1. Wide Distribution Network: MTR Foods has established a comprehensive distribution network across India, ensuring its products are available in urban and rural areas, including supermarkets, small retail shops, and online platforms.
2. Global Presence: MTR Foods has expanded its reach to international markets, mainly focusing on regions with a significant Indian diaspora, such as the United States, Canada, the United Kingdom, and parts of the Middle East and Southeast Asia.
3. E-Commerce Integration: Recognizing the growing trend of online shopping, MTR Foods has integrated its products with major e-commerce platforms, allowing for easy access and home delivery, especially in urban areas.
4. Strategic Retail Partnerships: MTR Foods collaborates with large retail chains and supermarkets, ensuring prominent shelf placement and visibility, which helps attract a diverse range of customers.
5. Localized Product Offerings: In international markets, MTR Foods tailors its product range to suit local tastes and dietary preferences, which aids in capturing a wider audience and ensuring customer satisfaction in different cultural settings.

MTR Foods Pricing Strategy

MTR Foods is estimated to be a rupees 700 crore company with a growth rate of 18% CAGR. Its exports account for nearly 20%, and sales in Southern states for 60% of its total revenues. MTR Foods has adopted a market penetration pricing policy, and its manufacturing process has implemented reasonable rates for its products.

Pocket-friendly and affordable rates will help the company reach further markets. MTR Foods has launched its own stores and web portal as a much-needed initiative to garner more enormous profits as it will be able to cut down on its distribution costs. It has also implemented promotional policies and offers incentives like 20% extra product with the original.

MTR Foods employs a strategic pricing approach that balances market competitiveness with brand value, creating a perception of premium quality at reasonable prices. Here’s an overview of their pricing strategy:

1. Competitive Pricing: MTR Foods sets competitive prices within the packaged food industry. By closely monitoring the market, they ensure their products are affordable, particularly in comparison to other premium brands, to attract a broad customer base.
2. Product Line Pricing: MTR Foods employs product line pricing in its diverse product mix, setting different price points for various product categories. This approach allows them to cater to different market segments, from budget-conscious consumers to those seeking premium options.
3. Promotional Pricing: Regular promotional offers and discounts, especially during festive seasons or through digital platforms, help boost sales and brand visibility. This strategy attracts price-sensitive customers and encourages trial among new customers.
4. Value-Based Pricing: MTR Foods emphasizes its products’ high quality and authenticity, which justifies a slightly premium price point compared to basic alternatives. This value-based pricing reinforces the brand’s image as a provider of high-quality, authentic Indian cuisine.
5. Dynamic Pricing in E-commerce: Leveraging digital platforms, MTR Foods sometimes adopts dynamic pricing strategies to adjust prices based on demand, competition, and customer behavior analytics. This flexible pricing on e-commerce platforms helps maximize profit margins while staying competitive.

MTR Foods Promotion Strategy

MTR Foods is pursuing an aggressive and intensive regional, national, and international marketing strategy. It has used grocery stores, organized sampling activities at popular places, and launched several ad campaigns via television, magazines, newspapers, and social media platforms to garner maximum coverage.

It has collaborated with Jiggs Kalra, a celebrity chef, to increase its brand visibility. In 2002, the company MTR Foods was awarded ISO 9002 certification as it successfully met the food hygiene and safety standards in the international arena. It was the first company in India to receive an award for Technology Absorption from the Prime Minister.

MTR Foods employs an effective promotion strategy that includes the following marketing strategies:

1. Digital Marketing: Leveraging social media, online advertising, and content marketing to engage with a diverse and digitally savvy audience, enhancing brand visibility and consumer engagement.
2. Traditional Advertising and Sponsorships: Utilizing TV commercials, print media, and event sponsorships to reach a wide demographic, reinforcing brand presence in key markets.
3. In-Store Promotions and Sampling: Conducting in-store promotions, product sampling, and point-of-sale displays to encourage trial and repeat purchases, particularly in supermarkets and retail outlets.

Some Recent Video ads and Print ads of MTR Foods are:

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