04/09/2312-29-2009 Nestle flavored milk

Nestle Flavored Milk

04/09/2312-29-2009

Group Members

Jabran UmerMuhammad Abdul RehmanMuhammad Faisal Ashraf

Syed Uzair AminMuhammad Adil

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NESTLE FLAVORED MILK

IntroductionSince Henri Nestlé developed the first milk

food for infants in 1867, and saved the life of a neighbor’s child, the Nestlé Company has aimed to build a business as the world's leading nutrition, health and wellness company based on sound human values and principles.

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Situation Analysis

Current state The milk market in Pakistan is efficient. Milk is considered a good and essential part of food in our culture; especially for children who are in growing and grooming stage.

StrategyWe have a brand name and a good distribution channel, both of these will be helpful in launching our new product we will enter in the market of flavored milk with a target class and advertise our product in order to bring awareness in the consumers mind. Target Market

Our target market is the Pakistani market and we will launch it in all major cities of Pakistan

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Industry Analysis

Pakistan ranks 7th among milk producing countries, with an estimated 21 billion liters of milk produced annually.

Presently in Pakistan only about 3 percent of milk produced is processed, about 57.5 percent is supplied to urban areas in raw form in most unhygienic conditions causing real health hazards

Currently dairy companies are offering different categories of milk like processed milk, powdered milk and flavored milk.

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The main distribution channel is

Supplier

Manufacturers(Milk processing companies)

Distributors

Wholesalers

Retailers Customer

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Promotion and advertisement

1) Electronic Media

• Television• Radio• Internet

2) Print Media

• News paper• Banner Advertisements

3) Direct Marketing• Door to door marketing campaign; To introduce and create awareness among the mothers about our new product• Arranging special programs at Schools and public parks. The children are our main focus so to inform and attract them

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Major competitors

1)Shakarganj Food Products Limited (Oolala flavored milk)

2)Nurpur Foods

3)YaaZoo (Imported)

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Substitute Products and Competing Products

Substitute • Soft Drinks

• Energy Drinks• Juices

Competing• Oolala!

• Nurpur Flavored Milk• Yaazoo!

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S.W.O.T Analysis

Strength Strength that Nestle has is that they are low cost operators. This allows them to not only beat the competition by producing low cost products, but by also edging ahead with low operating costs. Another strength is that they have is their brand recognition. WeaknessesDue to foreign origin company some religious extremist avoid to buy the NESTLE products.

Threats Product is known to customers. Our competitors have already offered this product into the market and have captured good market share.Opportunities:

One opportunity that Nestle has is that health-based products are becoming more popular in the world, including in the Pakistan. Consumers are becoming more health conscious, and realize that living longer isn’t only by luck and genetics.

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Target Market Analysis

Target ClassUpper and middle class

ConsumerChildren

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Analysis of marketing mix variable

PriceCompetitive price

Market penetration

Product Desired product for our customers

Well known brand name

Awareness Strong advertisement to get the attention of the consumer

DistributionStrong distribution channel

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Five year marketing plan

Category

2009 2010 2011 2012 2013

Advertisement

High advertisement

Persuading Reminder Reminder Reminder

Promotion

Organizing and sponsoring different

events

Special offers

Value addition

- Promote in all areas of Pakistan

Placement

Place in five different cities with strong distribution

Bringing more areas under coverage

Same as previous year

- Targeting Urban and rural areas

Product

Introducing new flavor

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Thank you