You are on page 1of 17

c 

|

|

Chaudhry Dairies limited was incorporated in 1984 as a Public limited Company. The
head office is situated at 135 Ferozepur Road; Lahore while the plant is situated at 62 km
Lahore-Multan Road, Bhai Pharu. Commercial production started in 1986 & the
company reached its breakeven in the year 1992. In the 1993 milk powder was
introduced in the market in the bulk form.

Haleeb Foods is well known for it ³first mover´ initiatives in product & packaging
innovations. The company believes in using leading edge processing & packaging
technologies to meet consumer¶s expectation of hygienic & high quality food products.
Haleeb Foods employs the broadest range of packaging formats; Tetra Brick, Fino,
Classic & Foods grade plastic bottles for the convenience of consumer. The company has

It was incorporated on 9th April 1984. one of the largest nationwide distribution networks with the help of 1100 distributors/ dealers delivering high quality products even in remote areas of Pakistan. UHT milk. Within a short span of just 2 decades. |  G. Powdered milk & Butter oil. the company is operating in 5 businesses segments. Afghanistan & the central Asian states. Skimz & Tropico. it has tapped opportunities in export markets including Korea. Haleeb Foods has achieved undisputed leadership in the liquid packaged milk category with a market share of more then 56%. Dairy Queen. while it¶s started its commercial production in July 1987. Moreover.2 Billion. G G || | | | Haleeb Foods Limited is one of the fastest growing packaged food companies in Pakistan with an annual turn over rate of 7. N¶rish. Candia. Hong Kong. The company has a very strong portfolio consisting of leading National / International Brands. Bangladesh. Juices. Haleeb. Cream.

| | .

1986 o| Commercial Production May 21. | o| Plant Distance from Lahore 62 KM o| Company Established 1984 o| Plant Installation 1985 o| Plant Trials May. 1986 o| Affiliation with CCF-Holland 1989-91 o| Power Plant Installation 1992 o| Breakeven Point Achieved 1994 o| TQM System Established 1994 o| Achieved #1 Position in UHT milk 1996 .

000 Sqr.Mtr. o| ISO-9002 Certification 1997 o| ISO-9001: 2000 Certification March 2003 o| HACCP June 2003 o| ISO-14001 (Certification Recommendation) August 2004 o| Bottling Plant Installation 1998-99 o| Total Land 81.Mtr G G |   | "Build Branded food business to improve quality of life by offering tasty.Mtr. o| Plant Covered Area 12.Mtr.000 Sqr.600 Sqr. o| Colony Covered Area 19. affordable and highly nutritional products to our consumers while maximizing stake holders' value"  | . o| Admin Block Covered Area 600 Sqr.

 | | o| Accountability o| Team Work o| Enterprise o| Empowerment o| Trust G G |   | | " Most innovative & fastest growing food company offering products enjoyed in ³every home every day". .

   .

|  .

employees and shareholders. Haleeb is also producing the wide range of the products including milk based products. juices. o| Promoting mutual trust with customers. The products can be divided into following ways: ©   . o| Providing a safe and healthy environment to our community. o| Enhancing our reputation for quality in all our operations. | | | Haleeb Foods Limited is producing the quality products as per the standards of ISO & HACCP. powder etc. Along with the quality products. suppliers.G ||||G G | o| Providing nutritious and hygienically processed food products to our customers at competitive prices.

    .

 .

  .

  .

 .

Consumer products are sold under following brand names: | . |  Products. which are branded and are sold to the end consumer through a distribution chain in the packaged from as produced by the company.

| .

|.

Haleeb Good Day Pure Juices (Mango.Asli Desi Ghee ix. Mix. Pineapple.Haleeb Fun Day Juice Drinks x.Haleeb UHT Cream iii. | i.N¶rish (Instant Full Cream Powder Milk) viii.Haleeb Laban (Saltish & sweetened) xi. Orange.Haleeb Gold vi.Haleeb UHT Milk ii.Haleeb Tea Mix (Plain & Cardamom) | . Red grape) vii. Apple.Haleeb Yogurt iv.Dairy Queen v.

||||||| ||||||||.

.

Mix) | G  G .Candia UHT Milk (Brick)  | ||||||| i.Candia Candy Up Flavored Milk (Brick) ii.| i. Apple.Candia Liquid Skimz iv.Candia Bottles iii.Tropico Fruit Drink (Mango.

Excess milk fat is sold unprocessed to makers of butter. it is also sold as bulk products. Afghanistan and china. ice cream and sweeteners. United Kingdom.| | Haleeb Skimmed milk Powder (SMP) was introduced in 1992. Instant Full Cream Milk Powder (IFCMP) was introduced in 1996. Both products are sold in 25 kg bags. Apart from internal use.  | CDL started exporting its products in 1999 and has done business with customers in Korea. or at request is turned into ghee. | |||.

.| ›| To be an innovative marketing and research oriented company. ›| To develop product with market potential through means of indigenous technology and research and development.

›| To deliver consistent quality to our customers using pure ingredients and best available technology. ›| To target new emerging segments of milk market. ›| Dedicate to continuous improvement through active alliance with other companies in technology and packaging department. | . ›| To deliver a fair return to our valued investors and shareholders annually in line with industry norms and economic conditions.

| .

demographic. They are serving their product to everyone. planning. characteristics or behaviors and who might require separate products or marketing programs. the company watches and adapts to the actors and forces in the marketing environment. To find the best marketing strategy. So Haleeb is focusing on a big market which is not . then divides it into smaller segments. psychographic and behavioral factors. The marketer has to determine which segment offers the best opportunities. The goal is to create value for customers and build profitable customer relationships. needs and wants. Marketing strategy means the marketing logic by which the company hopes to create value for their customers and achieve profitable customer relationships. Milk is a product which generally does not need to be segmented because it is required in every household. selects the most profitable segment and focuses on serving and satisfying the customers in these segments. Consumers stand in centre. the company engages in marketing analysis. products. The process of dividing a market into distinct groups of buyers who have different needs. Haleeb is currently serving its product to mass market that means that they have not segmented their market. The market consists of many types of customers. The company decides which customers it will serve which includes segmentation and targeting and how will it serve which includes differentiation and positioning. implementation and control. It identifies the total market. Through these activities.| The strategic plan defines the company¶s overall mission and objectives. Consumers can be grouped and served in many ways based on geographic.

distinctive and desirable place relative to competing products in the minds of target customers. The company is targeting females and people of mature age for Haleeb milk as they are mainly interested in the purchase of Haleeb milk but in case of Candia they are targeting children as they are providing freedom to them to make choices of their own. In case of Haleeb. They have positioned their product as hygienic. . their milk comes straight from the farms. It¶s not only Haleeb which is targeting mass marketing but other competitor like Milk Pak and Olpers are also focusing on mass marketing. They claim that their milk is pure from germs and is thick than other competing brands.segmented so they can achieve higher profits. They believe that their product has natural enrichments. They have positioned their product in minds of customers as a quality product. their marketing strategy is to create market positioning which means arranging for a product to occupy a clear.

Marketing mix is the set of controllable tactical marketing tools such as product. product. place and promotion that the firm blends to produce the response it wants in the target market. place and promotion. The marketing mix consists of everything the firm can do to influence the demand for its product. the company designs integrated marketing mix made up of factors under its control. price. . price. Marketing mix include four Ps.|| Guided by marketing strategy.

half and liter packs. It should design a new colorful packaging so consumers can be attracted to its packaging. quarter. It gives the body the strength it requires. The packaging list all the ingredients used in the product which are in line with the legal requirements. In order to increase its sales Haleeb has to change its packaging. The packaging is not so much attractive but it is easy to handle by the consumers. It is a common trend in manufacturing businesses to change the packaging of the product which gives it a new feel and it do affect the sales and the profitability of the company. Haleeb contain all the necessary vitamins and proteins required by a human body. {  {  {    {    | Product means the goods and services combination the company offers to its target market. .e. The taste of the milk is so delicious that you won¶t drink it as milk but as a refreshing drink. Currently Haleeb is available in three sizes i.

Consumers everywhere know that only Haleeb Milk makes the best tea ever because of its thickness. it comes with a 3 months shelf life. and the choice of quality-conscious consumers who only go for the best. It may include the following: G | | ||  . homogenized. It is Haleeb Foods premier brand. A system in which HFL purchases and preserves raw milk that meets its quality standards through their staff members are known as self-collection. Packed in easy to open.5% fats and 8.9% solid non fa ts. 6- layered Tetra Pak Brick Aseptic packaging. Haleeb is pasteurized. and standardized pure UHT milk of the highest standard with 3.

| | ||   Village Milk Collection Centre (VMCC) is a place where the farmers of an area come and give milk and a person appointed by the company collects milk after testing it. At VMCC the agent keeps the record of all the farmers who supply milk at VMCC and takes samples from the milk. G || | . The samples are tested and receipt is given to the farmer and a copy is kept at the VMCC for record.

| | The collection vehicle. so they supply milk directly to the people in the vehicle. They are aware of the timings of the collection vehicle. when goes to an area for the milk collection. there are some farmers who don¶t supply milk at the VMCC. G || .

| | Progressive farmers are those farmers those who deliver the milk in a large quantities and supple directly to the collection vehicle .

. Many companies in this century are doing what is called >alue Pricing.| Market Skimming Pricing Strategy 2. Globalization is also encouraging firms to decrease their prices in order to survive and make profits. There is not a lot of difference in the prices of its competitors because Haleeb has to cover all of its expenses. 1. Value pricing depends on the combination of all the elements of marketing mix in order to maximize benefits in relation to cost and price. Haleeb can introduce Quantity Discount. Value pricing can be achieved by placing a product with distinctive features priced above the market rate. selecting a relatively low price for a new product is termed as market penetration pricing strategy. Price effects the firm competitive position by net profits because it is the price that brings money into the organization. So in order to survive this phase Haleeb is focusing on penetration pricing.| | A products price is the major determinant of the market demand for it. Haleeb is using market penetration pricing strategy for their product since it is not performing well now days. Pricing Strategy There are actually two main types of pricing strategies. It is seeing the worst phase of its life cycle. Value pricing is the price competition which aims to enhance the products quality.| Market Penetration Pricing Strategy Selecting a high initial price for a new product is referred to as market skimming pricing. In order to survive this period of product life cycle Haleeb can carry number of steps so its product can get back where it was previously. Whereas. On the other hand many firms are also focusing on low prices for its products because now days the competition has increased and grown.

They are not giving any advertisements. GG | G  | The objectives of Haleeb foods for pricing Haleeb milk are as follows: 1. 4. 2.| To maximize profit. They should do advertisements on electronic media like televisions.  |.| Stabilize prices to meet competition. 3. They are not doing other type of promotional activities like displaying their product in an attractive manner in big stores.| To achieve a target return. This discount is based on the size of purchase either in rupees or in units.| Product Quality Leadership  Promotion means activities that communicate the merits of the product and persuade target customers to buy it. Haleeb should concentrate more on promotion in order to increase its sales. They can also give discount to their customers.| Market share Leadership 5. Currently Haleeb is doing promotion equal to zero. While its competitors Milk Pak and Olpers are doing all kinds of promotional activities.It is actually the deduction from sellers list price intended to encourage the customers to buy in larger amounts.

The second medium that helps both of them is through Tetra Pak advertising that is highlighting the effects on doodh that is provided by the normal means.| | |. | T.V commercial is the main medium that is most actively being utilized by Milk Pack and Haleeb Milk.

| .

| .

Billboards are purchased for some time period but after the promotion is known to everyone the billboard were not used anymore. But this strategy is used in big shopping malls only because nestle enforce the retailers through other products so that Haleeb can¶t enforce small retailers.  . Posters and billboards are also affectively used for the promotion purposes but they are not focusing on it as heavily as they are focusing on advertising. Posters are pasted at the small shops to enforce the impulse buying and Haleeb gives a lot of weight-age to the shelf space that they get.

. Haleeb is currently available in the market but it is not available in every store or shop. it is a problem with their distribution. Haleeb cannot be easily found. The product is not distributed everywhere. Haleeb has to improve its distribution channel so the consumers can buy it from everywhere. Channel of distribution which Haleeb is following is Producer Distributors Retailers Consumers This diagram shows that Haleeb is passing through producers to their distributors that will distribute Haleeb to different retailers and markets then the consumers will buy Haleeb from retailers.| Place include activities that make the product available to target customers. The distribution is not good.

Haleeb milk is question mark. Haleeb food has no star and cash cow in their product range. | | | . Dog is a product which has low market share and low market growth. Haleeb yogurt is a dog because market for packed yogurt has low growth and Nestle¶s yogurt is selling in the market. Cow is a product which has low market growth but high market share. BCG Matrix Star is a product which has high market share and high market growth. They need to divest this product. Question mark is a product which has high market growth and low market share.

| Many organizations perform SWOT assessment in this activity a firm identifies and evaluates its most significant Strengths. Weakness. Opportunities and Threats. To fulfill .

›| Quality improvement ›| Pioneer of flavoured milk . its mission an organization needs to capitalize on its key strengths overcome weakness avoid threats and take advantages of the opportunities.| ›| It is the thickest milk in the market which is also its unique selling point.| ›| It has good tetra pack packaging which sustains quality.| ›| It is Hygienic which is good for human health. | ›| It includes Natural Enrichments which are healthy for human body.

| | . m| Weak distribution networks as compared to their competitors. Middle East. Afghanistan.| m| The Distribution Channel of Haleeb is not good. | ›| The company can distribute Haleeb everywhere and in new markets like rural areas so it can increase its market share.| ›| Getting international contracts with England. m| They are doing Less Promotions which is helping Haleeb to fall down. m| Communication gap. m| Slow promotional activities. as compared to their competitors. and Holland. Its product is not distributed everywhere.

.

Good Milk and some imported brands.| ›| A large number of consumers are brand loyal to Milk Pak and Olpers so it is hard to break brand loyalty.| ›| There is a fierce competition because the advertisement campaigns of different competitors are very good. Olpers. | |  |. ›| New entrants. Nurpur.| ›| There are large number of competitors present in the market like Milk Pak.

|.

The reason why Haleeb¶s market share has decreased is because new competitors have entered into the market like Olpers. They have done extensive promotional activities and attracted consumers to buy their product. Haleeb¶s distribution channels are also not good and their product is not delivered at every store and shop.| There are number of problems present for Haleeb. | . Nurpur and Good Milk. It needs to make new and effective market strategy in order to gain its market share back. So ultimately their profits are also affected. They are not able to design effective marketing strategies which have also played a role in the downfall of Haleeb in the market. The competition has grown bigger and tougher so it is very tough and difficult for Haleeb to survive in this cut throat competition. They are not doing any promotional activity which is also affecting their sales. The most important problem for them is that their market share is decreasing fast.

| | | .