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Presentation on

OLPERS
Presented to:

Mam.Ammara

Acknowledgements
Firstly we would thank Allah for giving us the

opportunity and the resources to be able to do something productive with our lives
Then our sincere thanks to Mam.Ammara

Akram for helping us throughout this report.


Lastly we would like to thank our families

for their incessant support and approval.

Group Members
Beenish Jahangir Jamilla bb Tayyaba Jahangir Kiran Shakoor Uzma Noreen Nudrat Rehman BsIT-4th semester

BsIT-07-04 BsIT-07-48 BsIT-07-33 BsIT-07-05 BsIT-07-08 BsIT-07-47

Contents Introduction Segmenting Targrting and

positioning SWOT Analysis PEST Analysis 4Ps in Marketing Customer Based Brand Equity

Beenish Jahangir BsIT-07-04 Introduction

Abstract
This report is about the marketing of

Olpers from the time when ENGRO foods came up with the idea of adding a new product line. Brief history about Olpers and how it came into existence. The corporate structure and organizational hierarchy of ENGRO Fertilizers, its mission statement and the vision. How they have segmented its target market and positioned the product in the minds of the consumers.

The SWOT analysis in which we talk

about the strengths, weaknesses, opportunities, and threats the organization is facing since its product was launched. The PEST analysis, about how the external factors affect the growth and stability of the product. Promoting the product and making consumers aware of Olpers, using the 4 Ps Conclude the report by discussing the social responsibilities in which ENGRO Fertilizers is involved and the future plans of the organization for Olpers.

Engro Foods History


Engro Foods (Pvt.) Limited (EFL) has

been established in 2005

The plant located at Sukkur on 23 acre

land, has the raw milk reception capability of 300,000 liters per day and UHT milk capacity of 200,000 liters per day
The plant has been established at a cost

of Rs. 1 billion which provides direct employment to 750 people

Vision
"Our vision is to become a fast expanding mega foods company.

Core Values
1. Leadership 2. Innovation 3. Diversity and International focus 4. Quality and continuous Improvement 5. Candid and open communications 6. Individual growth and development 7. Enthusiastic pursuit of profit 8. Ethics and integrity 9. Safety, Health and Environment

Departments
1.Administration 2. Finance and Accounts 3. Human Resource 4. Marketing 5. Milk Procurement 6. MIS 7. Production 8. Quality Assurance 9. Supply and Distribution

Jamilla bb BsIT-07-48
Segmenting and targeting the market for olpers

Segmenting and targeting the market for olpers


Olpers segments the market

keeping some basic things in mind like milk to be white, carefully processed,and good for health and bones.

Demographic segmentation
Olpers products are not bounded to any particular age, gender or lifecycle stage, the brand is meant for all the users in higher upper or middle class families.

Psychographic segmentation
On the basis of psychographics,

factors such as personality traits, lifecycles and values the marketers at olpers have segmented the market.

Behavioral segmentation
Products have been segmented on

the basis of benefits that consumers seek in the milk.

Positioning the brand


Olpers positioned the brand by

taking a number of following steps:


Packaging of olpers milk and

olwell in red color and Olpers cream in purple color . By selling proposition for olpers is: jo dil khol kay jeetay hain unheen k lye ha olpers.

Tayyaba Jahangir BsIT-07-33 SWOT Analysis


Strengths Weaknesses Threats Opportunities

Strengths
1. Engros Back
Olpers is a brand of ENGRO foods. ENGRO foods can easily afford research and development. ENGRO can distribute the brand through better channel

2. PR with farmers

ENGRO has a strong bond and long term relationship with the farmers who are willing to supply milk to the company.

3. Positive response from customers


In first year, EFL crossed 1.4 billion sales figure which shows customers satisfaction upon EFLs products. 4. Its taste, quality proposition and world-class quality proposition system.

4. Strong consumer & product research

AC Nielsen, Mindshare, JWT Asiatic and MARS marketing and advertising agencies.

5. Third-Generation Plant
third-generation UHT milk plant in

the country. Bactofuge technology plant in Central Punjab (Sahiwal) with an investment of Rs. 2 billion (US $ 33 million).

Weaknesses
1. Olwell TVC
Olwell ad which is based on Western life style. Failed to analyze in Pakistan, where practicing Muslims reside, Ignoring the ethics, religious beliefs and cultural values.

2. Owning Red Color .

There is no color association attached to Olpers.

3. Milk collection & distribution costs

EFLs 34 out of 40 milk-collection

centers are located in Punjab, 1Sukkhur (Sindh). It increases in collection & distribution costs. increases the chances of milk getting spoiled because of increased travelling time.

4. Narrow brand portfolio

EFLs brand portfolio still consists of just 3 products i.e. Olpers Milk, Olwell Milk and Olpers Cream.

Opportunities
1. Increased funding by
Government has decided to increase farmers funding.

Government

2. Increased consumption of
Each competitor in the milk industry wants to increase penetration of processed liquid milk.

PLM

3. Awareness

Growing dissatisfaction with loose milk and increasing awareness about health and hygiene issues have led to increased processed milk consumption.

4. Third largest producer of milk

Pakistan with 32 billion liter of milk a year, 3 billion litres in the next few years. This is quite an opportunity for ENGRO foods as there is lot of growth in this part of the Sector.

Threats
1 Perceptions and Price Differentials Consumers perceptions and price differentials can cause a threat for the company. It is important that Olpers comes up to the expectations of the customers For example, lose milk is still cheaper than packaged milk and that is also one factor that people still prefer to buy lose milk. 2 Competition For Olpers it might be difficult to penetrate in a market where the loyalties exist for such brands as Nestle and Haleeb.

Kiran Shakoor BsIT-07-05 PEST Analysis

Political factors
There are no specific government rules and regulation but because of unstable political conditions strikes and road blocking is creating problems for delivery on time

Economical factors
Inflation rate of Pakistan for the current fiscal year has grown to 7 percent. This thing is really hurting the purchasing power of Pakistani consumers. packaged milk industry which is already considered as more costly compared to open milk is becoming out of reach of general public. As a result, there is an increased pressure on these companies to either decrease their prices or at least keep prices stable.

Social factors
In Pakistan 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

Technological factors
milk yields per animal have been

increased through scientific feeding & breeding our project is to establish forms. First 14 farms in Okara, Punjab have been formally established as model farms. . Currently, most equipment for storage and processing is being imported from Western countries

Uzma Noreen BsIT-07-08

4Ps

PRODUCT
Olpers Milk Launched on March 20,2006. Olpers milk is EFLs standardized

and homogenized pure UHT (Ultra heat treated) milk with 3.5 % fat and 8.9 % solid non-fats.

It is EFLs premier brand, and the

choice of quality-conscious consumers who only go for the best.


layered Tetra Pak Brick Aseptic red packaging and comes with a 3 months shelf life.

It is available in easy-to-open, 6-

Shipping Units
1 Litre (1000 ml ) : 12 packs per

carton Litre (500 ml) : 12 packs per shrink-wrapped tray Litre (250 ml) : 27 packs per shrink-wrapped tray

Olpers Cream
The premium cream processed

hygienically from pure fresh milk, Olpers Cream is luxuriously rich in its thickness & nutritional value. It promises the richest & scrumptious assortment of tempting toppings, delicious desserts and creamiest coffee with its unique taste, also great for eating with bread etc.

It was launched on September,

2006. and comes in 6-layered Tetra Pak Brick aseptic purple color packaging with 6 months shelf life.

Shipping Units
Litre (250 ml) : 27 packs per

shrink-wrapped tray

Olwell Hi-Cal Lo-Fat (HCFL) Milk


Launched on December 15, 2006,

Olwell is a low-fat, high-calcium milk with the richness of pure milk. It is an ideal choice for weightwatchers and heart patients. It is also high in calcium content, which prevents osteoporosis.

Packed in 6-layered Tetra Pak

Brick Aseptic red packaging with easy-to-open plastic cap, it comes with a 3 months shelf life.

Shipping Units 1 Litre (1000 ml ) : 12 packs per carton Litre (500 ml) : 12 packs per shrink-wrapped tray

Placement & Distribution


According to Mr. Ali Akbar,

Director Marketing EFL, In order to succeed, you should ALWAYS capitalize on your STRENGHTS and NEVER on your COMPETITORS WEAKNESS! Engro Foods did exactly that.

They used their decades of PR with

farmers and used it to provide world-class supply-chain management for delivering the ultimate quality milk in Pakistan. 20 cities across Pakistan.

Having kicked off simultaneously in


The launch has been ambitious and

currently Olpers is available in 80 cities across Pakistan.

It reflects the companys intention

to become a big player in the industry, both on a ational and international level. distribution network.

Engro FoodsLimited has its own EFL has divided Pakistan into five

regions for milk distribution namely: Karachi, Lahore, Islamabad, Peshawar and Multan.

Promotion & Advertising

Olpers launch was, perhaps one of

the most aggressive as far as processed liquid milk (PLM) is concerned, with TV Cs, print ads, radio commercials, billboards and activities including direct consumer and shop branding activities.

Olpers Milk

Media mix for Olpers milk includes

TV, print, outdoor, radio & BTL activities. Olpers

Due to an appealing color scheme,

which stands out in the clutter and thanks to the EFLs strong relationship building and special discounts to retail outlets, placement in the presence of competitors like Nestle and Haleeb .

Olpers has gained a proper shelf

Price
EFL IS pursuing the competitive

pricing strategy for its products. of the product is determined considering the price of major competitors like Nestle, Haleeb etc.

In competitive pricing the price

PRICE (milk)
Size (ml) Olpers Nestle Milkpak Haleeb Haleeb Dairy Queen 32 18 10

1000 500 250

38 22 12

38 22 12

38 22 12

???????..

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