Marketing Final Project Presentation

Professor Madiha Munawar

Group Members
Usman Manzoor (0083)
Maryam Hussain (0078)
Zunaira Shakeel (0085)
Umm-e-Rubab (166)

Engro Corporation

Introduction

Engro Corporation Limited (formerly known as .Engro

Chemical Pakistan Limited.) is one of the largest
industrial corporations in Pakistan.
It operates in various sectors

Fertilizer
Food
Energy
Chemical

Business Automation Solutions

Business Type

Fertilizer
Food
Beverages
Chemicals
Polymers
Power Generation
Petrochemical

Engro Foods Ltd

Introduction

Engro Foods Limited was formed as a wholly owned

subsidiary of Engro Corporation in 2005.
It start its operation in 2006 and become major player
in Food industry.
It launches multiple products

o
o

Ice Cream
Flavored Milk
Fruit Juices
Milk Powders

Vision & Mission Statement

Vision Statement

To be the premier Pakistani enterprise with a global reach, passionately

pursuing value creation for all stakeholders
Mission Statement

Our mission is twofold, to help farmers maximize their farm produce by

providing quality plant nutrients and technical services upon which they
can depend. To create wealth by building new businesses based on
company and country strengths in petrochemicals, information
technology, infrastructure, food and other agriculture sectors.

Objectives and goals:

Engro Foods main objectives are to supply
everyone their favorite Olpers Milk and to
satisfy the consumer need and wants.
EngoFoods second objective is to increase the
value for the stakeholders and company value.
We want to be the major player in the food
industry.

Introduction to Leaders
Mr. Hussain Dawood
(Chairman)
Mr. Asad Umer
(Ex. President & CEO)
Mr. Ali-u-din Ansari
(President & CEO)

Quick Facts & Figures

12

Brands

1,243
45%

Employees

Market Share of Dairy Products

Market

Share in
310 Cities in Pakistan
18 states in USA
4 Provinces in Canada

18th

Largest Customer of Tetra Pak World Wide

2nd

Largest Company of Chilled Milk Collection of

Pakistan

900

Milk Collection Centers

35,000

farmers directly linked with EFL

Products Portfolio

Competitors

Business Level Strategy:

Engro Foods wants to achieve more market share
than other competitors. In order to achieve the
more competitive advantage company uses the
differential strategy by differentiate its products
from other competitors. Engro Foods
differentiate itself in the form of taste, quality
and availability of their product in the market.

Market Segmentation:

Demographic Segmentation
Psychographic Segmentation
Behavioral Segmentation

Demographic Segmentation
Engro foods are not particularly bound with any age pr any lifecycle stage.
The brands of Engro Foods are made for all level and middle and low
level classes of Pakistan

Psychographic Segmentation
On the basis of psychographic, factors such as personal traits, brand loyalty,
personal satisfaction, values, lifestyles Engro Marketers segment market
according to these particular factors to get more and more sales and
company goodwill and fame

Behavioral Segmentation
Engro product have been segmented into the behaviors and perceptional
factors that consumers get benefits and values for Engro's products by
using their Milk and Other brands that loyally fulfill their level of
satisfaction and other factors that directly target to their behaviors
towards the brands and the company

Engro Foods Marketing Mix Strategies

Product
Product Variety: A wide range of dairy ice creams and frozen deserts.
Quality: Premium ice cream rich in calcium and which is fresh every
time.
Design: Includes ice pop, Choc bar, dairy ice cream and pop sticks.
Features: Made from fresh milk and ice cream and high nutrition
Product Names: Olpers, Olfrute, Omore Omung Lassi, Dairy Omung
Olwell, Frozen ice pops
Packaging: High quality and eye catching packing, Packing color
ranges red, blue, yellow, orange and green. Packaging is colorful
Sizes: Sizes includes 1ltr. And half ltr. For dairy milk, chic bars serve ice
cream are of different sizes.
Service: Satisfying customers with warranty and money back
guarantee
Returns: Only in case when products are expired

Price
Cups
Rs 20
Soft Serve ice cream
Rs 10-50
1Ltr. Ice cream Tub
Rs 150
2 Ltr. Ice cream Tub
Rs 275
Cones
Rs 30
Ice pop
Rs 10
Olpers per Ltr.
Rs 105
Olwell Cream
Rs 80

The prices of its competitor (WALLS) more or less the same and
price of liter ice cream is less then Walls which is great strategy

Omore offers a 16% margin to retail traders and shop keepers

which are slightly lower than Walls, who offer a margin of 20% to
shopkeepers. They are new in the market and do not have the
same relationship with retailers like Walls

Place
Channels: Sells directly to the end user through retailers and
shopkeepers. This is trend in Pakistan followed by many
FMCGs.
Coverage: Engro Products for the time being is only available in
limited areas on Punjab and available throughout Pakistan. The
company started off its operation in Punjab because it has the
largest population.
Transport: Engro products are transported to retailers and
shopkeepers through private transportation firms and also
through few trucks owned by company
Locations: Available at large/medium and small sized bakeries,
grocery stores and pharmacies in Pakistan-Sell their products
directly to consumers using cycles and their own personnel. This
strategy has been in practice for many years and is being used
by Walls and Hico.

Promotion
Advertising: Vehicle Advertising, Outdoor billboards, Point of
sale Displays and Ads on televisions. Advertisements are
mostly colorful reminiscent to their ice cream packaging.
When Engro foods was initially launched they adopt a
unique way of advertising.
Message: Linked Engro foods with joy and happiness so their
tagline/ slogans is ART OF HAPINESS linked with
consumers and got review of different product using various
medium social communications e.g. Facebook and Orkut
linked their ice cream with other brand names like Olpers
and Olwell. This promoted their other brands as well which
are also relatively new in the market.

SWOT Analysis

Strength

Quality products
Suitable Brand Names
Good Packaging
Motivational Slogans
Best Marketing Campaign
Strong Relationship with Farmers
Strong back by Engro Corporation
Good Consumer Response
Strong Research & Development

Weaknesses

Depend on Tetra Pack

No Powder Milk Production Ability
Engro Foods have 40 milk collection
center in Pakistan which are not enough
for increased demands
Have only one Dairy farm which is not
enough provide required quantity of Milk

Opportunity

Increase in consumption of processed milk by

the consumer
Population growth
High migration rate of people to Cities
Flexible Government policy for food industry
Improvement in Literacy Rate
Have enough funds to expand their Operations

Threats

High Inflation Rate

Law and Order Situation
Low purchasing power of the People
Giant Competitor in the Market
New Companies Arrival

Recommendations/ Suggestions

Engro Foods should have much diversified bi-product line of dairy

products like Nestle & Haleeb.

They should introduce new promotions to get customers attention

EFL should expand its dairy farms so that they can get competitive
advantage.

EFL should focus on Market Penetration, Market Development and

Product Development strategies with more efforts to be the market
leader.

They

should go expand its capacity to enter into in international market

like Nestle.

Engro

Foods can be into Co-branding with other brands like Olpers with

Lipton teabags, Olpers with different biscuits etc. to increase their

sales
They

can also move towards other foods products like Nestle launch Kit
Kat Chocolate, Meggi Noodles, Sweets Candies etc.

Conclusion

Engro is going to be a market leader due to different reason like its financial
position, product quality, R & D, market share, sales growth etc. Its price is
more or less equal to its competitors, it matches its quality with its
competitors and capturing its competitors share from market. Engro is using
its brand name and its packaging is good to promote its products and EFL is
becoming very popular as compared to its competitors.

Company has planned to make Omore world class premier quality brand like
existing brands of Engro Foods. Company is also working on cereals in
coming years. They has planned to move other dairy products as are offering
by its competitors Nestle like yogurt, flavoured yogurt (raita), cereal for babies
etc. Foods competitors Nestle and Haleeb are biggest threat. There are
opportunities and doors for new players are open who can be the future
competitors.

Consumer is aware now, there is need to maintain the quality of products.

Consumers perceptions and price differentials can cause threat for the
company, Consumers preferences changes timely and prices might create
certain barriers in terms of the profit margins for ENGRO FOODS.

In short Engro Foods should grow and maintain its position. That is why EFL is
increasing Market Penetration, Market Development & Product Development
strategies.

THANK YOU

Questions &
Answers