Easy Whip

WHIP UR DREAMY
DESSERTS `N CAKES
 “Easy Whip
by Nestlé

Launched in October, 2004

”

Project Report

(Marketing Fundamentals)

Presented To:
Ms. ONAIZA ZUBAIR

Prepared By:
Muhammad Amir Latif 021227
Rizwan Munir Bhati 021221
Anwar Ahmad Moon 021236
Muhammad Ayyaz Tanveer 021216

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 Table of Contents

Topic Page Number

1. Nestle History 5
o Nestle Group 2004 6
o Nestle in Pakistan 7
o Production 7

2. History of Easy Whip 9

3. Strength 10
o Image of the Company 10
o No similar Product 10

4. Weakness 10

5. Opportunities 11

6. Threats 11

7. Product Line
o Product Line 12
o Products By Nestle Internationally 13

8. Easy Whip 15
o Product Portfolio 16
o Ingredients 16

9. Product 18
o Branding 18
o Packaging 18
o Labeling 18

10.Price
o Pricing Objective 20
o Pricing Strategy 20

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11.Placement 21

12.Promotion 22
o Promotion Objective 22
o Awareness and Knowledge 22
o Linking 23
o Preference 23
o Purchase 23

13.Re-Launching 24
o Product 24
o Pricing 24
o Promotion 25

17.Graph 26

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 Food is a core element of our daily lives. It enables us to survive as
well as a balance and good quality food also help to ensure a better
standard of living.

HENRI NESTLÉ (The Founder of Nestlé) said:

“They thought that my invention could

save the lives of so many children.
Counted enormously, the financial gain
was not the prime motivation.”

Nestlé was founded in 1866 and its goal was:

• A constant process of change

• Implementing new scientific findings in tasty foods
• High infant mortality rates and lack of suitable foods for babies
• The lack pure fresh milk in European cities

In 1905 the two companies Nestlé and the Anglo-Swiss Condensed

Milk Co. merged. They not only unite their worldwide distribution and
production network but also their milk-processing expertise. If we talk
about taste and pleasure, many customers think 1st and foremost of the
range of chocolate products that has belonged to Nestlé since1905 and
was expanded significantly in 1929 with the taste over of Swiss chocolate
makers Peter, Cailler and Kohler the acquisition of Rowntree (Kit Kat,
Smarties).
The expansion of their activities into the area of performance nutrition
with the take over of Power Bar in 2000 follows this trend. With the
expansion of food services division and takeover of Chef America in
2002, Nestlé acknowledgment the growing trend for eating out-of –
home.
With the acquisition of carnation in 1985, they entered the pet food
business becoming a joint world leader via mergers with Spiller (1985)
and Purview (2001).
Since 1947, Nestlé has also held an indirect participation in L’Oreal.
Following the 1989 joint venture, Gal derma, in dermatology, the 2002
joint ventures, “Laboratories Inneov” combine the competencies of Nestlé

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in nutrition research with those of L’Oreal in cosmetics. This creates
access to a further dimension of nutrition, that of promoting beauty and
wellness via specific nutritional supplements.
The success of the 1977 move into the pharmaceutical companies
with the takeover of Alcon was highlighted with the partial IPO (around
25%) in 2002.

“With over the hundred years of

experience, we know that the trust of
our consumer is based on the quality
and safety of our products. We also
know that we must continue to deserve
this trust”.

Nestlé Group 2004

Company profile
World’s leading food company
Switzerland’s largest industrial company
World headquarters: Vevey (S.witzerland)
500 factories; 247 000 employees

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Nestlé in Pakistan:
Nestlé has a unique ability to provide a complete range of food
products, services and well-known brands to meet the need of customers
around the world.
Nestlé milk pack operates in many ways but people, products and
brands are the main flag bearer of the company’s image.
Nestlé’ Milk Pack Ltd. is a food processing company which is
registered in Karachi and Lahore stock exchanges.
The headquarter of Nestlé is in Lahore; the company is operating its
five production facilities. Two of its facilities in Sheikhpura and Kabirwala
one multi product factories, while another one at Karachi is ready for
production. One factory in Islamabad and two in Karachi produced bottled
water.

Production:-
The production facilities under the name of Milkpak Ltd. at
Sheikhupura commenced operations in 1981 as a producer of UHT milk.
By 1988 it has expanded as its operations to produce butter, cream, desi
ghee all under the band of Milkpack and first fruit drink under the brand
name FROST
After Nestlé’s S.A, Switzerland, took a major participating in
MilkPak in 1988, the Milkpak factory at sheikhupura became a part of
the joint venture under the name of Nestlé Milkpak Ltd. Soon afterwards
in 1990 the milk powder plant was established to produce powder Milk
(NIDO). This was followed in subsequent year by the installation of
production liner of infant cereals (CERELAC) infant formula
(LACTOGENs), tea whitener (EVERYDAY), chocolate drink powder
(MILO), growing up milk (NESLAC), ready to drink chocolate drink
(MILO RTD), sugar confectionery (POLO Mint), fruit drinks (FROST),
juices (ORANGES, APPLE, PINE APPLE MANGO), coffee (NESCAFE),
flexible confectionery line (TOFFO and SOOTHERS), bottled water
(NESTLÉ PURE LIFE), plain and fruit yogurt, specialized infant formulae
(NAN1&2).
During these years a variety of variants in different products were
also introduced as a part in expansion of products portfolio.
A MAGGI NOODLES plant was installed in 1992, followed by Gloria
whose capacity was subsequently increased several times. A dry mix
line was installed for tea whitener.
To meet the needs of safe storage for the ever expanding product
range and their increasing volumes, a National Distribution center (NDC)

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was constructed in 2000. Spread over 6614 square meters, it can store
up to 8300 pallets, approximately 8000 tons.

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 History of “EASY WHIP”
Many consumers used imported brands and most of the people didn’t
know about that product. Nestlé realize this market opportunity that they
can produce that product locally cost efficiently and can offer relatively
good price as compare to imported brands after retaining this reasonable
product. So they realize that there is an adequate demand of that product
at a reasonable price. The company didn’t face any problem as financing
point of view and they were hopeful about this market because there was
no local competition and they would be able to capture the complete
market and able to made the reasonable profits. It also compatible with
the environmental standard as it is in tetra pack and is made in purely
hygienic condition considering in mind the health of the people also the
organizational structure of Nestlé support the production of this product,
so as the EASY WHIP meet all the criteria for new product as a
producer.
In the criteria of middlemen, middlemen can take this product as
Nestlé has good market repute and well-known brand name. As we know
it is a new and unique product in local brand and there is no competitor,
so it is compatible with its distribution policies also it is due to the only
4% premium so it also meets the middlemen’s criteria for the brand new
product.
After thinking about the product and keeping all this things in their
mind, they hopefully moving towards manufacturing the product. They
hire some professionals and starts manufacturing product.
Initially they test their product in their testing department
“Department of Consumer Services” as in house testing and they also
sent some free samples to bakeries and to some shafts and they received
a very good response, which is how they test their product. After
completion of their test they hopefully launch their product “EASY
WHIP” in October 2004. That was really a unique product whipping
cream in local brand.

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 STRENGHT
Image of the Company:
Nestlé is one of the largest, good reputed organizations having
some financial back and large market share in Pakistan. People are well
aware of its brand name that is why any thing introduced by Nestlé has a
general perception that it will be of good quality. Easy Whip have no need
to introduce his producer but need more spending to be promoted and
capture customers attention the company image, its goodwill help easy
whip a lot to grow and capture market but unfortunately the product
besides of a good reputed organization back cannot achieve its desired
targets in terms of sales, market share etc. When it is launched the
quality of product was not as accurate as required. The expiry was also a
problem. Although the idea was good but the weaknesses are more
powerful than the strengths, which lead loss of opportunity.

WEAKNESS

Although Nestlé is one of the largest brands in Pakistan, yet it made some
mistakes.
The product shorts placement. It was only on few places like super stores
and departmental stores. And it was launched only in Lahore, Karachi and
Islamabad
The other weakness is that it failed to maintain international quality
standards
It also focus only upper class
Most important is that they didn’t make any TV Commercial

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 OPPORTUNITIES

No Similar Product:
Nestlé Easy Whip has no competitor in Pakistan, as there is no
brand which is offering any Whipping cream.
It is easy to whip and it has relatively low price

THREATS

It has no threat as there was no local competitor at that time. So this

product could be a leading one.

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 Products by Nestlé internationally

Culinary products

Bouillons, soups, seasonings, pasta, sauces:

Maggi, Buitoni, Thomy, Winiary
Frozen foods (prepared dishes, pizzas):
Stouffer’s, Lean Cuisine, Hot Pockets, Buitoni, Maggi
Refrigerated products (cold meat products, dough, pasta,
pizzas, sauces): Nestlé, Buitoni, Herta, Toll House
Chocolate, confectionery and biscuits
Nestlé, Crunch, Cailler, Galak/Milkybar, Kit Kat, Smarties,
Baci, Butterfinger, Aero, Polo
FoodServices and professional products
Chef, Davigel, Minor’s, Santa Rica

Pet Care
Purina Friskies, Fancy Feast, Alpo, Gourmet, Mon Petit,
Felix, Dog Chow, Cat Chow, Pro Plan, Purina ONE, Beneful,
Tidy Cats

Pharmaceutical company

Alcon
Pharmaceutical and cosmetic joint ventures
Galderma, Laboratoires innéov
Associated company
L’Oréal (equity interest)

Nestlé – the main brands

Beverages:

Coffee: Nescafé, Taster’s Choice, Ricoré, Ricoffy,

Nespresso, Bonka, Zoégas, Loumidis
Water: Nestlé Pure Life, Nestlé Aquarel, Perrier, Vittel,

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Contrex, S.Pellegrino, Acqua Panna, Levissima, Nestlé Vera,
Arrowhead, Poland Spring, Deer Park, Al Manhal, Ozarka,
Hépar, Ice Mountain, Zephyrhills, San Bernardo, Quézac

Other:

Nestea, Nesquik, Nescau, Milo, Carnation,

Libby’s, Caro
Milk products
Shelf stable: Nestlé, Nido, Nespray, Ninho, Carnation,
Milkmaid, La Lechera, Moça, Klim, Gloria, Svelty, Molico,
Nestlé Omega Plus, Bear Brand, Coffee-Mate
Chilled: Nestlé, Sveltesse, La Laitière, La Lechera, Ski,
Yoco, Svelty, Molico, LC1, Chiquitín
Ice cream
Antica Gelateria del Corso, Drumstick/Extrême,
La Cremeria, Maxibon/Tandem, Mega, Mövenpick,
Sin Parar/Sem Parar/Non Stop

Nutrition:

Infant:
Nestlé, Nan, Lactogen, Beba, Nestogen, Cerelac,
Neslac, Guigoz, Good Start
Performan ce: PowerBar, Pria

HealthCare:
Nutren, Clinutren, Peptamen, Modulen
The brands in italics are registered trademarks of the Nestlé Group

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 PRODUCT PORTFOLIO
NAME:
EASY WHIP

SLOGAN:
WHIP UR DREAMY
DESSERTS `N CAKES

SIZES:
200 ML
1000 ML

PRICES:
Rs 25 FOR 200 ML
Rs 100 FOR 1000 ML

TARGET MARKET:
YOUNG URBAN FEMALES

PACKING:
TETRA PAK

PLACING:
LAHORE
ISLAMABAD
KARACHI

ADVERTISMENT:
MAJOR ENGLISH NEWS PAPER
STEAMERS
BILL BOARDS
SPECIAL GONDARES STAND

PROMOTION:
FREE SAMPLES TO:
BAKERY
PROFESSIONAL CHIEFF

PREMIUM:
4% TO RETAILER

USED IN:
DESSERTS
CAKES
FRUIT TRIFFEL

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INGREDIENTS:

Milk Fat,
Hydrogenated Palm Kernel Oil,
Milk,
Glucose Syrup,
Emulsifiers,
Stabilizers,
Sodium Poly phosphates,
Sodium Chloride,
Calcium Chloride.

For Best Result:

Refrigerate For 12 Hours before Whipping

Store at Normal Fridge Temperature
Do Not Freeze

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 Product
Branding
Branding is very important for a product. Because a brand name gives
identity to the product and differentiate the products form competing
products. There are certain strategies adopt by the producer to choose a
good brand name.

The Company Name Combine with Product

Name:
Nestlé combine company name with product name while choosing the
brand name for Nestlé Easy Whip. That is, why the complete name for
Nestlé Easy Whip is “Nestlé Easy Whip”.
They use company name with product name because Nestlé has a very
good image in the minds of consumers. So it was easy to position the
Nestlé Easy Whip as a good product in the minds of consumers. The
promotion could be automatically done due to the good image of the
company.
In the country like Pakistan, where people prefer foreign brands, it was
difficult for a local brand to compete with it. So they use company name
to promote their product.

Packaging
Nestlé use various packaging for its products like polythene packs, steel
jars, plastic packs and Tetra Pak etc. They use Tetra Pak for packaging of
Nestlé Easy Whip in edge shape, because it is safer.
As whipping cream is a sensitive product and its expiry date is very short
so it was safe to pack Nestlé Easy Whip in Tetra Pak.
Another reason for using this packaging is that Tetra Pak is recyclable and
it is environment friendly. So to make a good position it is also a tool.

Labeling
Nestlé use a simple packaging with red and white combination to attract
the consumers. It also use a very simple brand name Nestlé Easy Whip

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because it is easy to pronounce and understandable. As whipping cream
is introduction stage, so Nestlé choose its name related to product.
Nestlé Nestlé Easy Whip is in Tetra Pak as their other brands like juices
and milk. Nestlé Easy Whip is in special packaging of 250ml Tetra Pak.
As Nestlé Easy Whip is a new product, so Nestlé did it’s labeling in such a
way that it showed cakes and desserts on the pack and wrote “ENJOY
THE ALLURING ART OF CREATING DESSERTS”.
Nestlé also show the way of whipping on the pack. They show electric
beater while whipping the cream and they also wrote the complete way of
its usage in the following steps:
For best results:
• Refrigerate for 12 hours before whipping
• Store at normal fridge temperature
• Do not freeze

To attract their brand loyal customers, Nestlé wrote its company name
with its brand name and also the complete address of company as:

“NESTLÉ CONSUMER SERVIES

308 UPPER MALL LAHORE 54000, PAKISTAN
Reg. TRADE MARK of Societe des produits Nestlé S.A.”

Nestlé also wrote expiry date, quantity and ingredients for the
convenience of their customers.

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 Price

Pricing Strategy
A Nestlé launch Easy Whip, it charge one price from all of its customers
in the consumer market. Nestlé charge a single price of Rs. 25 by
adopting the single pricing strategy.
Nestlé did relatively low pricing as compare to foreign brands available in
the local market. Nestlé focused on A-class and did low pricing, because
Nestlé want to attract the existing customers of imported brand and
potential customers with the help of their low pricing.

Pricing Objective
The objective of this pricing was to increase the sales and maintain the
market share. So Nestlé set low price to increase its sales, as the sales
increase the market share should be improve.

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 Placement

They adopted selective distributive channel and so it was available only

on super stores and departmental stores.
They launched in Lahore, Karachi and Islamabad only.

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 Promotion
Determining the Promotional Methods
There are various promotional methods like personal selling, advertising,
sales promotions, public relations etc. but the method adopted by Nestlé
for introducing Nestlé Easy Whip was advertising. Nestlé used outdoor
printed media for advertising like hording boards, new papers, posters
etc.
Nestlé attracted the existing customer of the imported brands and
potentials customers through its advertising campaign. As whipping
cream is in introductory stage in Pakistan, there are various tools to
perform the essential promotion rules- informing persuading and
reminding target audience. So Nestlé stared introducing to their potential
customers about their product. In every advertising campaign, Nestlé
wrote “A WHIPPING CREAM” at the bottom. This is how; Nestlé tells the
consumers that the whipping cream is available in local brand.
Nestlé use the slogan
“WHIP UP YOUR DREAMS, DESSERTS N’ CAKES”
for promotions. By using these words in their campaign, they can say that
consumer may feel joy and happiness while making their cakes and trifles
at their homes.

In their campaign, Nestlé showed a beautiful charming girl of upper class

who was designed a trifle with whipping cream that portion of their
campaign fantasy n great happy pleasant feelings.
To remind the consumers about the product, Nestlé also made some
special racks for retailers and put them on their outlets.

Promotion Objectives

Following are the main promotion objective of Nestlé Easy Whip:

Awareness and Knowledge

The most important objective of Nestlé was too aware the use of
whipping cream and gave knowledge about the Nestlé Easy Whip. The
product name Nestlé Easy Whip and they sentence “A WHIPPING CREAM”
helped them a lot to introduce their product into the consumer market.

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Suppose, if a person doesn’t know the meaning and usage of whipping
cream, it can learn form the word, “WHIP UP YOUR DREAMS, DESSERTS
N’ CAKES”.

Linking
Nestlé wrote its company name with the product name as “NESTLÉ EASY
WHP”, which is how Nestlé linked its name with the brand name because
Nestlé has a good market reputation. So Nestlé attracted its brand loyal
customers as well.

Preference
Nestlé gave preference to its product in such a way that it is easy to use
and not much costly as compare to imported brands.

Purchase
Without purchase, the promotion objective can not be achieved. Nestlé
did advertisement to provide information for the decision makers and
persuade their potential customer towards their product to purchase,
that’s why Nestlé received a very good response on its initial launch.

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 RE – LAUNCHING
After thoroughly analyzing the reasons of failure, Nestlé has to re-
launch “Easy Whip” in such a way that it becomes a marketing success.
Nestlé has to change or reform its marketing mix in the following ways:

PRODUCT:

Nestlé has to improve its product’s formula in such a way that

its expiry period will be long.

Nestlé has to change its machinery for new launch.

On its pack there is written that;

“For best result refrigerate it for 12 hours before

whipping”

This duration is also very long for a consumer who wants to

make anything immediate with “Easy Whip”. Also change product’s formula
by keeping this fact in mind.

On the other side its labeling, colures, brand, design and shape of
pack are all good so keep them continue in re-lunching.

PRICING:

Nestlé launch “Easy whip” with a nominal price in market of

Rs.25 only. The price issue is not the cause of its failure so Nestlé re-
launch this product with the same price for consumers.

PLACING:

If Nestlé re-launch this product than it will have to focus on its

supply. Because supply is the major issue of its failure on its initial launch.

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Due to some quality or production issue the supply was shorter and “Easy
Whip” is disappeared from shelves.

Easy Whip is a unique product of Nestlé which is very sensitive

and has a less expiry period. So by weekly basis this problem can control,
proper stands with proper placing are also introduced as before.

At the initial launch Nestlé focused only on A-class. To increase

its market share or become a marketing success Nestlé has to increase its
target market and focus on upper lower.

If Nestlé increase its target market than it has to increase its

placement channels and distribute “Easy Whip” on large scale except
limited scale as before.

At initial launch Nestlé distributed “Easy Whip” on specific

large retail outlets but now it has to distribute it on many outlets wits
proper and attractive placement.

PROMOTION:

Promotion activities plays an important role in re-launching

any product.

Increase in target market is possible by personal selling. It

includes persons in retail stores telling the benefits to potential customers
about “Easy Whip”.

Awareness plays the most important role. They should taste

house wives on different places.

TV commercials and Bill Boards should be planned to advertise

properly

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 Graph

F a c o rt B u y in g a W h ip p in g C re a m

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