INTRODUCTION

Mezan was established in the year 1951-1952 with the corporate name of “Paracha Textile Mills
Limited”. The foundation stone was laid by the Excellency of Khawaja Nazimuddin, the
Governor General of Pakistan.
In 1983, the current management took over the Company and the Board of Directors carried the
same vision forward, delivering quality edible oil in a fairly new developing market in Pakistan.
Over the last few years, Mezan has proven to be admired across Pakistan due to its wide variety
of products, constant innovation, highly attractive packaging formats, suitable prices for every
consumer segment and memorable advertising.
The “Mezan” brand was nationally launched in 2008 through the most iconic media advertising
campaign of the category titled:

“HAR CHEEZ MEZAN MEIN ACHI LAGTI HAI!”

PORTFOLIO OF THE COMPANY

The portfolios of the company are including Mezan Banaspati, Mezan cooking oil, Olivola,
Mezan tea.
The Ghee Unit Batch refinery was established and started manufacturing different brands of
Ghee and Cooking Oil, which include Mezan Canola Oil, Mezan Cooking Oil, Mezan Sunflower
Oil.
Mezan Banaspati is the only granular Banaspati that provides the unforgettable taste while
preserving the superior cooking traditions of Pakistan. Dil Dil Banaspati and Cooking Oil,
Paracha Banaspati and Cooking Oil, Awaz Banaspati and Cooking Oil and Mezan Perfect Fry
etc. This product is fully processed, therefore, it is hygienic and enriched with such ingredients
which can make your cooked meal delicious and aromatic.
Olivola is the brand that combines the premium properties of cold press Canola the healthy
richness of Olive oil.
Mezan Chai is manufactured for the purpose of bringing families together to enjoy a warm cup
of tea, the same warmth that radiates from a family’s love. We not only boost togetherness but
have taken strict precautions producing all products of Mezan Chai – to ensure every cup of tea
made with Mezan Chai is not only rich with taste but invigorates your health as well.

MARKETING CHANNEL
A marketing channel is the concept and activities necessary to transfer goods from production to
consumption. It is the way products get to the end-user, the consumer; and is also known as
a distribution channel.
 Supplier --- Manufacturer --- Distributor --- Retailer --- Consumer.

8-Universal flows of the company

Physical Possession:
Mezan product delivery cost is bear by the company at 50% of the total cost. Products are stored
in warehouses as well as supplied to Distributors, or retailers.
Ownership:
Company supplied its products to distributors which provide them to final consumers. So, all
channel members faces inventory carrying cost until product is given to consumers.
Promotion:
Mezan while selling its products in market bearing personal selling expenses through company’s
promoters. The total cost on products selling is collected from channel members also. Company
also faces the expense on advertising, public relations cost through its channel members.
Negotiation:
In case of Mezan time and legal cost is bear by the company or its channel members at 50% of
the total costs of the products. It will be necessary that products delivery is made on time by the
channel members of the company.
Financing:
If a company selling its product to consumers received a payment from their side by its channel
members. The company produced products on time and through distributors it will be reached to
end consumers. After receiving the products payment is made by the consumers. So, there is no
difficulty in making payment from customer’s side.
Risking:
If there is any risk involved while delivering product to final customers by the Distributors of the
company cost of this risk is bear by the company’s distributors or retailers also by the company.
Company if reduces its risk factor, made its product availability in a safe mode.
Ordering:
Mezan the company followed Build-to-Order strategy. Company manufactured its products
while customers’ ordered. This order is fulfilled on time and the delivery of products is done by
the channel members of the company to final customers. In case, any default occur ordering cost
is bear by the all channel members or also by the company.
Payment:
Mezan products availability to final consumers is made on time and the customers made
payments after receiving their desired products. If there is any situation arises where there will be
return of the product the cost is bear by all the channel members and also by the company.
Framework- Channel Analysis
Segmentation strategy of the company
Segmenting and targeting the market for Mezan products: The Ghee, Oil, and Tea sector shows a
market that has homogeneous preferences that are the consumers have similar preferences. Their
products are carefully processed, and good for health therefore people wanted. Keeping these
things in mind Mezan products market has been segmented. So far the company has introduced
their products into Mezan Banaspati, Mezan cooking oil, Olivola, Mezan tea.
Demographic Segmentation:

Mezan is currently targeting house wives and people of all ages. Mezan products are not
bounded to any particular age, Gender or lifecycle stage. The brand is meant for all the users in
higher, upper and middle class families.

Psychographic Segmentation:

On the basis of psychographics, factors such as personality traits, lifestyles and values, the
marketers of Mezan products have segmented the market more towards achievers who are goal
oriented and focused on their careers, and experiences those who are seeking variety in the
Banaspati, Cooking oil and Tea sector.

Behavioral Segmentation:

Mezan products have been segmented on the basis of benefits that consumer’s seeks. In case
people, look for a brand that can be used for all purposes from drinking to tea whiteners as well
to feed the animals. For this purpose marketer needs loyalty in their products through ads.

Channel Structure

Channel of distribution Mezan product. Mezan uses indirect distribution method for the
distribution of their product all over Pakistan , the hierarchy of distribution is as follows

Manufacturer --- Distributor --- Retailer --- Consumer.

The distribution strategy pursued by the Mezan is intensive. It means that the product
distribution is covering wide market.

Intensity of Channel

Mezan group having an intensive distribution network for its product in the Market. This product
is available in all areas across Pakistan. In terms of distribution, company covering wide market
simultaneously in 20 cities across Pakistan, Mezan group having its distributors all across
Pakistan. There are regional headquarters of the company in all the big cities of the country.
There is a distributor in each big city. In order to reach remote areas, a distributor engages a sub-
distributor for a small area. The company is directly linked with the main distributor and the sub-
distributor has no such direct contact with the company. The company provides the inventory to
the main distributor that is further dispatched to retailers and sub-distributors who are engaged to
provide products to ultimate end users.

Gap Analysis (Demand and Supply side gaps)

Gap analysis Of Mezan group is not zero based organization and gap analyses of this
organization are discuss here two types of gap are given below

 Demand side gap

 Supply side gap

Demand Side Gap Analysis:

Bulk Breaking:

 It’s available in small quantity which customers need or desired.

 Available in each small pack because if customers needs Tea, Oil and Ghee in small packs the
company provides them, so SOS=SOD

Spatial Convenience:

 It reduces the customer transportation cost and searches cost of this product.
 Easily available at different stores and shopping centers. The company provides spatial
convenience of its products Mezan to its customers from where they ordered? This product is
available at any place where the customers required on time. SOS=SOD

Assortment variety:

 Different categories of this product are available. It is available for every class of people
 Different product lines are available Company provides products variety to its customers at any
place or anytime. So SOS=SOD like;
 Mezan Banaspati
 Mezan Chai
 Mezan Canola Oil
 Mezan Cooking Oil

Customer service:

 Sales and profit is high.

 Customer can easily purchase but Customers claims are not done on time so, customer services
are not good. SOS<SOD

Information System:

 Product characteristics are available.

 Usage capabilities also available.
Company provides information to its customers if required also provides purchase service,
SOS=SOD

Supply Side Gap Analysis:

 The total cost of all channel flows jointly is too high

 Company supplied its products to distributors which provide them to final consumers. So,
all channel members faces inventory carrying cost until product is given to consumers.
To reduce this factor this is necessary that product is supplied to end consumer on time
and company also manufactured products on time.