Marketing Plan

for MILO
Ma. Annellie Laynes
Yu Moraño
 I. Statement of Marketing Goal
Milo is not showing up with its marketing activities and
marketing strategies in the market of Lahore. These days
many people are unaware of what is Milo? There is
stagnant growth in sales of Milo showing less awareness
about the product and low variety available to customers.
Following are main objectives to launch Milo,
•Create awareness in the people about the product
•To differentiate Milo from other energy drinks
through proper advertisement and promotion
•To use sales promotions and other pricing tactics
to cater customers to enhance customer volume.
•To provide wide variety to the customers that they
use it in their daily life in many forms
II. Current Marketing Situation
A. Milo is a niche leader
• Milo’s strategy is to capture and
dominate the niche market of 3-13 yrs old
future champions.
• It benefits from the huge distribution
leverage of Nestle.
• Has an excellent, premium priced,
excellent product distributed nationwide.
• Has an active and excellent campaign
towards sports that entices the youth.
III. Target Market Segments
A. MILO primary target market
(PTM) are the ‘future champions”
1. Demographics (3 – 13 years old, M/F,
ABC, single)
2. Lifestyle (study, plays sports, into
competitions, interested in an active
lifestyle)
3. Behavior (20g, at least once a day,
daily, strong, healthy)
 B. Why Selected?
Future champions…
1. Need to get nutritious drinks, to belong (social),
Self-Esteem, Self actualization
2. Choose Milo over other chocolate drink because
of its… brand, taste, packaging, nutritional facts,
credibility & awareness of company, promos,
endorsers
3. Expect these when they use Milo
healthier mind and body, active lifestyle, become
future champions,
 I am complete when I have
succeeded and become a
champion in my life

I am proud when I
accomplish things

I need to belong

I need a nutritious drink

IV. SWOT Analysis
1. Strengths :
• Brand itself
• Product Quality • It is available in
• Focusing only on different sizes, shapes
chocolate energy food and type.
drink • Value for money
• Unique selling point. • Widely available
• Big sales in other • Strong association with
countries. children and sports
• Part of Nestle
(reputation) funds
available for re-launch.
 IV. SWOT Analysis
3. Opportunities :
• Increased media available (Mobiles/internet)
• Increased fitness industry
• Increase awareness of health and fitness
• Sponsorship (through sporting events)
• Increase more market share
• Is distributed nationwide by Nestle
• Pick-up by customers
• Cash and credit transaction
IV. SWOT Analysis
2. Weaknesses :

• Not enough diversity in flavors

• Not enough investment in Milo
• Packaging (design of tin +
labeling)
 IV. SWOT Analysis
4. Threats :Milo has many formidable competitors
• Direct: Ovaltine, Chocquick, Rich-O 3-in-1,
Sustagen Chocolate
• Indirect: Ready-To-Drink chocolate, milk (powdered
& fresh), energy drinks
• Competitors (hot chocolate, energy drinks)
• Well known successful brands as competitors
• Competitors could use aggressive marketing tactics
cut prices/increase promotion
• Competitors bring out similar products
• Competitors have diversity in packaging (bottles,
pouches, cans, etc
V. A. Objectives
Milo is the only chocolate drink product
that…
- actively supports sports events
- encourages an active and
competitive lifestyle
- promotes excellence, competition,
camaraderie and social awareness to the
youth
Others merely focus on providing
nutritional chocolate drink to the youth.
VI. Marketing Strategies
Milo’s Product Design
 Milo’s Product Description
• Milo is a powdered chocolate drink that
is made from malted barley combined
with other ingredients to provide a
source of energy for active bodies.
• 2 Variants – Milo and Milo 3-in-1
• Only comes in chocolate flavor
• It is available in 6 sizes – 20g, 26g, 200g,
300g, 600g, and 1,000g
 Milo’s Product Features
Right balance in nutrition
• Milo provides energy (calories). These calories come from the
differentIngredients of Milo, mainly malt extract, skimmed milk,
palm oil and sugar
• If consumed moderately, as part of a balanced diet, Milo
provides the energy required for an active lifestyle and will not
be fattening.
• Milo powder is nutritionally balanced providing the right ratio
of protein,carbohydrates and fats.
• The 6 basic classes of nutrients in food are: carbohydrate, fats,
protein, vitamins, minerals and water! A mug of Milo of drink
contains these nutrients.
• Protein is one of the macronutrients (along with carbohydrate
and fats) that is important to build and repair body tissue.
 Milo’s Market Penetration
Price – Milo is 13% premium price
Milo 20g (12pcs) – P52.65 (~P4.39/pc)
Milo 26g – P7.80
Milo 200g – P43.30
Milo 300g – P62.00
Milo 600g – P121.00
Milo 1,000g – P195.80
Milo’s price is almost at par with Ovaltine’s
and is about 28% higher than Chocquick
and 11% higher than Rich-O.
VII. Monitoring
Techniques/Action Programs
One of Milo’s Programs are their
Promos. They also uses TV, radio, prints,
internet/social networks and events.
Through this Programs they can
monitor their popularity of their product.
For example If they have events like fun
run if a lot of people join they can say
that they have their patronizers.
Promos, Events, TVC’s, Online Advertising
IX. Budget
Powder chocolate drink consumption
1. As of 2009, estimated population is
92,226,600 --- 35.2% are 0-14 years old
2. Assuming 1/4 of them will drink 1
glass a day (20g/day w/c costs P4.3875)
3. (92,226,600/4) x 35.2% x 4.3875 =35
Billion
 B. Controls
According to research, the powdered
chocolate drink market is about P6 Billion
IX. Recommendations:
• Since Milo is has the biggest part of the
market share, it should continue it’s
strong marketing campaign.
• They could expand their market by
offering a new flavor to cater it’s
market’s different taste/preference.
• They should continue taking advantage
of the events and social networking sites
that help them promote their product.