Professional Documents
Culture Documents
HALEEB
MARKETING PLAN
T
Marketing Plan
NUST BUSINESS
SCHOOL
MARKETING FINAL
PROJECT
SUBMITTED TO: MA’AM ZEENAT
JABBAR
SUBMITTED BY: AEISHAH ARSHAD
Marketing Plan
WAJEEHA RIAZ
ZAHRA SAJID IQBAL JADOON
BBA 2K7 (B)
ACKNOWLEDGEMENTS
First of all, we would like to thank Almighty Allah who gave us the strength to
complete this report to the best of our abilities.
We would also like to thank our beloved parents and friends because without
their incessant support, we could not have completed this project.
Last but not the least we would like to thank Ma’am Zeenat Jabbar and all
our teachers for helping us out at numerous occasions and solving all our
queries related to this project.
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DEDICATION
This report is dedicated to Prophet Muhammad (PBUH) who brought the
world out of the darkness of ignorance. We would also like to dedicate this
report to all those people who do not get the kind of opportunities that we
do and are living a life of misery.
This report is also dedicated to our loving parents because whatever we are
today, it is because of them.
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EXECUTIVE SUMMARY:
The report focuses on formulating a marketing strategy for Haleeb in the
coming year. The report starts with a brief introduction of the company and
an overview of Haleeb’s main competitors in the packaged milk industry.
The four Ps are perhaps the most important part of a firm’s marketing
strategy. We have analyzed the Product, Promotion, Price and Placement in
detail and then given our recommendations.
The report also highlights our sales expectations for the coming years as a
result of our marketing strategies and developed a marketing budget for
both above the line and below the line promotion of Haleeb.
This marketing plan emphasizes that Haleeb as a brand enjoys brand loyalty
and has a number of strengths but to retain its customer base and survive
the fierce competition in the packaged ilk industry, it has to work a lot on its
marketing strategy and change its image in order to adapt to the changing
environment.
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COMPANY
INTRODUCTION
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Haleeb Foods was established in 1986 and its first product was Haleeb milk.
Haleeb Foods is one of the fastest growing packaged food companies in
Pakistan. Recently, Haleeb Foods has built yet another plant in Rahim Yar
Khan whose purpose is to provide Haleeb’s quality products to maximum
number of consumers. It has a very strong portfolio, consisting of leading
national and international brands – Haleeb, Candia, Dairy Queen, Tea Max,
Skimz, Tropico and Good Day. Apart from its extensive nationwide
distribution networks, Haleeb Foods is also serving several export markets
including South Korea, Bangladesh, Afghanistan and the Central Asian
states.
CORE VALUES:
• Build branded food business to improve quality of life by offering tasty,
sage, hygienically processed, affordable, highly nutritional food
products through environment friendly processes to our customers
while maximizing stake holders' value.
COMPETITOR
ANALYSIS
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Haleeb introduced distinctively blue tetra packs to the market in 1986. Its
first real competition came in the form of uniquely colored triangular and
rectangular packs of MilkPak which was already there in the market since
1981.
Milk Pak, however, further promoted itself and increased its market share in
Pakistan when Nestle took over it. By 2006, the dairy milk category was
growing at 20 percent annually, and Milk Pak and Haleeb were well known
brands with distinctive colors and brand promises of providing high quality,
natural and healthy milk. Milk Pak was identified by its green and white
packaging—the colors of the country—and offered a brand backed with the
strong support of Nestle, coupled with its own traditional heritage. Haleeb
was recognized as the blue brand, and perceived to have the "naturally
thickest" milk. With the market dominated by two strong, familiar, and
widely respected brands, the marketplace appeared completely resistant to
newcomers.
Evidently, when Olper’s came in the market the battle between the
packaged milk products became more intense. Haleeb implemented a
response. Despite declining market share, Haleeb increased its marketing in
the media and commitment to promoting its brand. Also, newcomers such as
the generically-named Good Milk and Pakola Milk have tried penetrate the
market, but without much success.
2005: The market for Dairy food in Pakistan increased from 2000-2005,
growing at an average annual rate of 3.5%. The leading companies in the
market in 2005 were
➢ Nestle S.A.
Following are the current market shares for some of the packaged milk
producers in Pakistan.
➢ Haleeb Milk 19
➢ Others 19
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SWOT ANALYSIS
Strengths:
Brand Recognition among Masses:
Haleeb milk is a product of Haleeb Foods Limited. Consumers can easily
relate to it because of the colossal brand awareness that Haleeb has created
over the years. As it is regarded one of the pioneer brands in the milk
industry, customers have an association with Haleeb and see it as a
premium quality brand.
Exports:
Apart from its popularity in Pakistan, it has gained worldwide recognition by
its exports to other countries. It can further distribute the brand through
better channels abroad because of its long term relationships with its trading
countries.
Product Innovation:
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Haleeb milk is in focus for many years in innovating and improving its milk
products by introducing flavored milk and other new products in this
category. Other than Candy Up flavored milk, Haleeb has introduced types of
milk products that cater to the needs of different people. Their products
range from Haleeb Milk, Haleeb bottle etc.
Weaknesses:
Supply chain:
The company has a complex supply chain and the main issue for Haleeb is
traceability. The food industry requires high standards of hygiene, quality of
edible inputs and personnel. The fragmented nature of the Pakistani market
complicates things more.
Local Distribution:
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The local distribution (within Pakistan) for Haleeb is not very strong. The
reason may be the small number of distributors for the firm in the country.
Therefore it needs to improve its network of distribution in the country.
Because of the lack of local distribution Haleeb milk is not easily available
everywhere. Customer experience shows that Haleeb is not available as
readily as Olpers and Milk Pak, at least these days.
Packaging:
Haleeb is completely dependent on Tetra Pak for its packaging of milk as well
as other dairy products. Because of its monopoly in the packaging sector,
Haleeb has to increase its budget in order to accommodate its packaging
cost.
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Opportunities:
Increased funding by Government:
Government has increased farmer’s funding in its new budget plan. This is
an opportunity for Haleeb foods because previously due to any catastrophic
situation, it had been difficult to store milk for longer periods of time.
Secondly not enough fodder was available to feed to the cattle in order to
milk them.
Change in Lifestyle:
Because of the change in the lifestyle, most people are turning more
towards the packaged products; therefore the sales of packaged products
are on the rise. This can be one of the great opportunities for Haleeb to
increase its market share.
Awareness:
Because of the awareness among the masses about the hygiene issues, the
trend is more towards the packaged milk. This is an opportunity for Haleeb
as more and more customers are turning towards packaged milk from loose
milk and these are the customers that Haleeb should be targeting along with
retaining the customers that it already has.
Threats:
Competition:
Despite many of the advantages over others, Haleeb milk has to face fierce
competition from its rivals in the milk industry. Many newcomers in the
market have taken the industry by storm but still there is room for
improvement. Competition seems to be getting tougher as a result of new
players like Olpers and Good milk entering the packaged milk industry.
Future Uncertainties:
Regarding the prevailing economic condition of the country there are future
uncertainties regarding the milk industry. Many businesses have become the
target of the current situation and have failed miserably in the initial year of
their start; therefore Haleeb has to be careful while making the future
marketing strategy.
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PEST ANALYSIS
Asia, political stability and favorable tax and tariff policies, environmental
regulations are necessary to support the efficient working of the dairy
industry in Pakistan.
Around 96.5% of the milk in Pakistan is coming from the informal channel,
that is the local milkman and only 3.5% of it is processed. The informal
markets lack vertical integration. The current government is setting up
livestock business advisory centers providing animal health and artificial
insemination services which presents a good investment opportunity.
Specialized milk collection units can enhance vertical integration in the
sector.
To help increase milk collection and improve milk quality in rural areas of
Pakistan, the government has abolished duties on milk chillers of less than
3,000 liters capacity.
Economic Factors:
The recent hike in the inflation rate and global recession has greatly affected
the purchasing power of the consumers. Many of them have lowered the
consumption to cope with the rising pressure on income. UHT tetra pack milk
is considered expensive by the Pakistani masses and the rising inflation has
further increased the trend towards loose milk. Some customers have
switched away from the packaged milk while others have decreased their
consumption. Because of all these factors, there is immense pressure on the
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margins of packaged milk producers and they are forced to keep their prices
stable.
The rising interest rates set by the State Bank of Pakistan has affected the
expansion projects of the packaged milk producers as well.
Other than this, the competition in the packaged milk industry is increasing
day by day, especially since the introduction of Olpers by Engro foods. The
brands already there in the market are repositioning themselves to cater to
the growing market. Many of them are planning expansion and the
competition in the market is growing tremendously.
Technological Factors:
Demonstrable experience in the field has shown that the milk yields per
animal in Pakistan can be doubled within two years through scientific
feeding, breeding, and marketing. An Institutional framework should be
established for training the farmers in scientific feeding and breeding.
Together with this, if the logistics could be set up to collect milk from the
farm door by means of refrigerated transport, milk output in Pakistan could
be doubled. Cold storages at airports could facilitate milk exports to the milk
deficit countries in West Asia, Central Asia and South East Asia.
take the task of establishment of cold storage facilities on itself and take an
initiative.
Socio-cultural factors:
Milk consumption in Pakistan is very important (the highest in Asia). Pakistan
is the fifth largest milk producer in the world and its contribution to GDP
surpasses all major crops with about 50 percent of the value added in the
agriculture sector supported by livestock.
According to a recent Consumer Preference Survey (CPS) conducted,
simultaneously, by students of the leading business schools in Karachi and
Lahore, 80 per cent of people surveyed confirmed that they drink milk
regularly. The survey sample included a cross section of socio economic
groups. Milk is considered one of the prime sources of nutrition in rural and
urban areas and is a very important part of diet in all circles. But the
majority in Pakistan prefers loose milk over packaged milk due to a number
of reasons.
In order to penetrate the Pakistani market the packaged milk providers have
to work on changing the perceptions of the masses about milk. In Pakistan,
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the norm is to get up in the morning and get the fresh milk (straight from the
cow) from the ‘doodh wala’. It is a general perception that only loose milk is
fresh and free from preservatives and thus healthy. For substantial
penetration of the market, packaged milk providers have to overcome all
such perceptions and generate awareness about the safety and healthiness
of packaged milk. This will however require a lot of time and patience
because most of the people are not willing to spend additional amount of
money on packaged milk when they are convinced that it has a lot of
preservatives and is unhealthy. This culture however is changing now with
the advent of skimmed and flavored milks and there use in tea, deserts and
other beverages.
One of the factors that hinder the growth of various packaged milk brands in
Pakistan is the Price. The loose milk from dairy farms and milkmen are way
too cheap as compared to the packaged milk which is expensive. So for the
penetration of the market, the packaged milk providers need to improve
their prices too and work on cost effective treatment methods for milk.
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SEGMENTATION
ON THE BASIS
OF AIOD
FRAMEWORK
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Market Positioning:
The potential market for Haleeb Milk is the customers who use milk for
different purposes. They range from housewives to children of different
ages, taste-conscious people working at different places and by some of the
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➢ Olpers
➢ Nestle Milk Pak
➢ Nurpur
➢ Good Milk
➢ Others
Following are some of the attributes for Haleeb milk and its competitors that
can also be mapped at different perceptual positions.
PRICE VS PROMOTION:
The prices for Haleeb and its competitors are more or less the same. Therefore
Haleeb has no added advantage over others in prices. As the whole industry has
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the same market rates, therefore no one company has an advantage over the
other. Haleeb throughout its marketing strategy has positioned itself with the
rates that appeal their target customers.Haleeb milk producers are not working
very well on the promotion side. Their ad campaigns had been very few in the
past and most of the ads used to be on-aired in Ramazan only. On the other
hand many of its competitors had positioned them better by launching a series of
ad campaigns that could be suited to any big event like Eid, Ramazan etc.
PACKAGING VS DISTRIBUTION:
Packaging of Haleeb milk in blue color is quite different and distinctive from the
typical red and green packing used by other competitors. The packaging of
Haleeb became more distinct and was readily recognized by its customers when
other new comers entered the market and launched the product with the color
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different from Haleeb milk. The distribution strategy of Haleeb milk is not as
strong as its other competitors’. The reason is that there are very few distributors
for Haleeb milk as the competitors have taken larger shares for this in the
market.
THE FOUR Ps
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Product:
Haleeb milk is one of the products under the umbrella of Haleeb foods. It is
pasteurized, homogenized and standardized UHT milk with 3.5 % fats and
8.9% solid non-fats. Haleeb is packed in easy to open, 6-layered Tetra Pack
Brick Aseptic packaging and it comes with a three months shelf life.
Milk is collected from approved dairy farms ensuring quality standards. The
milk passes through 8 different tests before it is approved.
Over the years, Haleeb has positioned itself as the best milk for tea with the
taglines “Chaye banayay doodh Haleeb, sub se gaarha doodh haleeb”
and “gaarha jo hai”. Haleeb identified a basic need of the customers and
then worked on it because of which Haleeb proved to be an instant success.
In the light of product life cycle it can be seen that the milk industry in
general is in between growth and maturity whereas Haleeb milk in particular
is at early maturity. So at this stage there is maximum brand awareness
about our product. So there is a lot of potential in this product and if
marketed in an effective way this could be a real success for us
All these sizes are the same as that of its competitors. The main aim of
packaging milk in these three sizes is to make it more convenient for the
different segments of customers.
The corporate color of Haleeb is blue and Haleeb had tried to own the color
over the years but recently Haleeb has added green color as well to add a
Pakistani touch to the packaging because Milk Pak uses green and white
packaging which has established it as a true Pakistani brand.
In order to make our customers feel more affiliated we can also adopt the
packaging strategy of havingdifferent Packages for different festivals. We
can have special packages for different occasions Eid, Ramzan etc.
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Price:
The packaged milk market in Pakistan is becoming highly competitive day by
day and in order to effectively deal with this competition, Haleeb uses
competitive pricing. At present there is cut throat competition between
Haleeb, Milk Pak and Olpers. The main reason for such a degree of
competition is that the product in this case is the same. Secondly most of
the customers are price sensitive so any increase or decrease in the prices
of Haleeb would directly affect its sales.
Discounts:
Haleeb can start with special discounts because with all the major brands
offering equal prices, even a small reduction in price can produce a
considerable effect. These discounts should be mainly cash discounts.
Different discounts should be given on different sizes. These discounts
should then be highlighted profusely in the print ads and TVCs. Here the
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By giving this discount Haleeb would lead its competitors. Eventually its
competitors would also respond by lowering their prices but by the time they
do so it would be too late. Secondly this would help Haleeb improve its
image in the mind of its both present and potential customers.
Other than this, Haleeb can show its affiliation with the Pakistani society by
giving special discounts on important occasions like Ramzan and Eid.
Bundling:
This is another option for Haleeb Foods. They can make special
bundle packs of milk paired with Haleeb cream, butter or yogurt other than
the ordinary milk packages. This will not only increase the demand of Haleeb
milk but also the other products which are being bundled with milk.
In this case its competitors might also respond in the similar way. Milk Pak is
owned by Nestle which has multiple product lines, so bundling would be
easier for Nestle .However in the case of Olpers bundling would be a little
difficult because of their limited product line.
Promotion:
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Haleeb is involved in large scale export of its products but it needs to realize
that it has to focus on the Pakistani market first. At the moment, Haleeb is
not focusing much on its promotion and there is a dearth of new TVCs and
print ads. So in order to regain the customer attention, Haleeb has to come
up with an extensive promotional campaign including both above the line
(APL) and below the line (BPL).
The TVCs should use the thickness of Haleeb and the added features such as
more vitamins, calcium etc as its USP (unique selling proposition). The TVCs
should also show blue as Haleeb’s corporate color. This advertisement
should use a slice of life as the executional frame work. Health and
convenience appeal should be use.
We also propose that Haleeb should have new TVCs on different occasions
including both religious and national ones so that the customers should
know that Haleeb is a part of their lives.
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Print:
It should also go for newspaper advertising. In this case it can go for a series
of newspaper adverts. This series should be started before starting the TVC
and then these print ads should be complementing the TVCs.
If Haleeb uses any new strategies like bundling or discounts, they should be
highlighted extensively using the print ads and TVCs
Bill Boards :
Haleeb should do outdoor advertising using different mediums. It can get
some billboards at key locations in the major cities of Pakistan. These
billboards would help Haleeb grab audience attention. Both Olpers and
Nestle Milk Pak are using this medium very extensively and Haleeb should
also pursue aggressive advertisements on billboards and tall walls to
register itself.
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Free Samples:
We can make special packets of Haleeb and distribute it as free samples to
the masses. This would motivate our potential customers to try our product
and make it a part of their life style. One of our competitors Olpers has
already used this technique..
Haleeb can also start giving Haleeb refrigerators to different small retail
shops. They should also provide their own shelves which would be
distinguishable from other brands. This would further improve Haleeb’s
below the line promotion.
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Placement:
Haleeb uses an indirect channel of distribution. The main reason for using
this indirect channel is that Haleeb is a consumer product and its customers
are spread throughout many geographic locations in Pakistan. At present its
placement and distribution strategy is not at its best and can be improved.
So we plan to improve our relationship with all the intermediaries involved in
the distribution channel of Haleeb. Haleeb should try to build more personal
and strong relationship with wholesalers and large scale retailers who are its
direct customers.
Haleeb should try to increase the profit margins of the wholesalers and
retailers. This would encourage them to stock Haleeb. Secondly we want
that Haleeb should maintain sufficient stock levels with its wholesalers and
retailers.
In order to improve its relationship with the wholesalers and retailers Haleeb
can also go for certain schemes with them, such as providing them with
Haleeb refrigerator and displays shelves at point of sale. This would make
Haleeb more visible to the customer and might eventually drive them to
make a purchase.
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Haleeb should also to go for extensive distribution this would ensure that
Haleeb is within the reach of its customers. We should try to ensure that
Haleeb is equally available in urban and rural areas. This intensive
distribution would help Haleeb become every ones’ milk.
Both Nestle and Olpers also have a strong distribution channel and in the
future also they will try to improve their relationship with wholesalers and
retailers, as otherwise they would not be able to survive in the market.
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MARKETING
GOALS AND
BUDGET
SALES FORECAST:
On the basis of Haleeb’s past sales and the marketing strategies that we
have now developed, we have forecasted Haleeb’s sale for the coming year.
We have also kept in mind the seasonal effect because in summers, the
sales of milk increase massively due to its increased usage in deserts, ice
creams and different beverages.
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MARKETING BUDGET:
We have developed the following marketing budget for Haleeb for the first
quarter of the next year. The budget for the next year should then be
developed on the basis of the audience’s response to the ad campaign.
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economic-stabilisation-with-a-human-face/1
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• www.smeda.com
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• www.haleebfoods.com
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