Marketing Management

Report on Shaan Foods

·0 Arma Sheikh (31679)

·1 Nimra (39022)

·2 Asjadha Munaf (33819)

·3 Nabeel Arif (33902)

·4 Avinash (32692)

·5 Instructor: Sir. Waqas Rana

Date:

Acknowledgment
Firstly, I would like to Thank to our Sir. Waqas Rana who helped us and give his expert

advice and encouragement. Throughout the semester. This Report would have not been

possible without the brilliance support of our Teacher. He helped us to be our self in

every manner & helped us to think out of the Box. He made this Critical and difficult

Course so easy so we can Understand it well. Without his Efforts, Time, Hard work &

Understanding this project would have not been Possible.

Table of Contents
 S.No TOPICS Pg.
No
1 Industrial Analysis 1-11
2 Company Description 11-14
3 SWOT Analysis 14-17
4 Ansoff Matrix 17-19
5 Brand portfolio collection 19-25
6 BCG matrix 25-28
7 Conclusion 28

Industrial Analysis

Introduction

In 1981 in Karachi Shaan food Industries was founded as cottage Industry by Sikandar

Sultan founder and Chairman of Shaan. Shaan is Pakistani manufacturer of Packed spices

uses in Pakistani, Indian and South-Asian cuisine. Shaan is the Pakistan's largest exporter

of packed Food, spices and Rice’s mixes. Shaan assures that their products are not just
easy to prepare or advantageous but also deliver the traditional taste, flavor and odor that

costumers love and appreciate.

1) Company

The environmental forces of Shaan Foods (Pvt ltd) are

·6 Micro environment

·7 Macro environment

Micro Environment

·8 Company

The Management of Shaan Foods embrace people who follow Decentralized method and

democratic style of management which includes the participation of employees from all

dept. which helps the organization to effectively have new Innovative ideas which help

them to grow more in market.

·9 Customers

Shaan foods focus on those ladies age. Shaan cook food comparatively in less time with

the traditional taste flavor and aroma. It can be used for household cooking or just trying

out new things.

·10 Competitors

As Shaan foods leading the market with its products there are number of competitors that

Shaan face. The stiff competition that shaan face is with National foods limited because

they have better distribution work which put Shaan in worries.

 ·11 Supplier

Shaan Foods doesn't own any Farms like other Companies. They emphasize on the

enlargement of raw materials for their (Pickles) such as Chilies, Garlic, Mangoes,

Lemons etc. located on Northern side of Punjab and for their Hyderabadi Achar mix they

consume Chilies and Mix spices from Hyderabad as they have master quality production

of this Achar spices.

·12 Public

Somehow, each classification has an immediate impact on the Brand position however

Media plays a vital role in it. Shaan publicized their advertisements through stories of

people such as (Housewife, Pilot, Comedian) who lives far from their homeland. which

shows the Brand accessibility & popularity. They also advertise their Brand by outdoor

branding at S.M.C.H.S in Karachi with the name of "OOH Campaign".

·13 Intermediaries

Shan Supplies its spices to retailers, wholesalers and distributors. With aim to put their

whole products range out in the market and stores such as: Imtiaz, Chase up, Agha's,

Naheed's, CSD store and general stores. Items that are frequently available on stores

for example Bar-B-Q range and Biryani masala range are kept by retailer where as

wholesaler kept the stock of Dessert and mix spices as they are more swiftly

expanded.

2) Customer

·14 Target Market

Shan foods target the ladies ranging age from 18-45 years old it doesn't matter she

belongs to socio-economic class, middle-class or above.

·15 Understanding needs of customer

The aim or goal of an Organization is to satisfy their customer from their products as

much as they can Shan foods main concern is to maintain the taste of their products

for their customers. Shan foods elect a team of culinary scientists and experts they

directly in contact with Board of Directors they work tirelessly to deliver alluring,

tempting flavors and revolutionary food under supervision of Board of directors.

·16 Customer needs and wants met

In the technological and day to day changing era Shan foods are always aware about

the need and wants of their customer as they have launched massive range of products

for their customer to choose according to their want. They are persistently find

solution how they can keep strong bond relation to their customers

·17 Competition

After the time of Independence Jodia Bazar was the only wholesale and retail

market till 1970's in Pakistani spices until companies like National food, Shan food

and other traders entered in market. And start delivering the spices right to the shops

where as 40% market is directive by brand spices and 60% controlled by Jodia bazar.

The prime players of spices are

·18 Shan Foods

·19 National Foods

Other players such as

·20 Zaiqa foods

·21 Mehran Foods

·22 Kitchen's Chef

·23 Habib Foods

·24 Ahmed foods

Shan foods established in1981 and National foods begin in 1970. Both the

organization give cooking a new trend they make cooking more tasteful, effortless and

rationalize how Pakistanis cook their food, Shan and National both are the biggest

integrant and have strong hold on spices it places both the companies in consideration

that which one have stronger customer retention.

· National Foods

National Foods limited started its Journey in 1970. A. Majid the chairman an intuitive

Business man who started National as a spice company now it’s one of the Pakistan

leading Spices and food brand. In 1988 it converted from Public to private company

the same year it became certified merchant by McCormick, United states. National

food holds the range over 250 products in 10 extensive cities and now became notable

companies of Pakistan.

In 2017, NFL extending its roots and effectiveness around the world. In Canadian
company NFL procure a controlling interest the company is comparatively owned by

Amjad pervaiz Canadian Based-Pakistani business man.

·25 Comparative Analysis

In this Era where food taste and hygiene matters most Shan and National foods bear

40% Market share. Shan foods are on mountain top compared to National foods. Shan

holds amazing top ranking position locally and Internationally. In plain flavors Shan

holds 8% market share and 41% share in mixed spices both local and universally.

Where as in the Punjab area NFLhave bound over with other dealers. National Foods

also have a repetitive position in Pakistan although it doesn't overseas their product

globally.

In plain spices National Foods holds 10-12% and 49% market share in mixed spices.

The other competitor is doing well to compete in this market yet deserving one to be

said is Mehran foods.

·26 Product Lines

Shan offers a Humongous variation of products which cover Daily basic spices,

Recipes Masala, Pickles, Salt, Pastes, Accompaniment, Desserts, Instant Noodles,

Maa.

Whereas National competes with Shan with its substantial variety of products which

covers Basic spices, Recipes Masala, Ketchup, Pickles, Jams and Marmalade, Juices,

Salan, Chat masala, Rice, Chutney, sauces and Snacks

However, both the company offers Recipe mixes and basic spices similarly.
 ·27 Target Market

The products of both the Organization relates to cooking so their target market is same

"LADIES” however Shan target the ladies age over 18-45 socio-economic, middle

class. Shan rest safely as they restricted themselves to Karachi and metropolitan areas

that are close by state

However, National target the ladies age of 16-45 in the middle of local areas of

Pakistan with working class.

·28 Packaging

Both Organizations go Hand -In-Hand in matter of Packaging. They have spent

enough for the safe and hygienic packaging. Shan packaging for Pakistani products

are different from the International products on Pakistani products its clearly written

on that they are not compliant for Export. NFL started earlier than Shan in 2004 to

repackage its products whereas, Shan started the repackaging in 2014.

· MACRO ENVOIRMENT

·29 Demographics

As the population of Pakistan is 200,813,818 and increasing Shan food have no worries

because their target market is women and young ladies so they are in comfort sector from

age side. Demographics play an amazing role in growth of product as it shows that you've

segmented and targeted your factors in correct mannerist clearly shown that number of
women’s are invading in labor-force is a significant sign of establishment of organization

is complete.

·30 Technology Factor

Technological factor has positive favors for organization as it decreases the labor skill

and errors in work progress. As Shan food use crygenic technology apart from it. the

major expenditure they are maintaining is on ERP system. They are also looking forward

in future for the implementation of SAP system through ARM technology. They are using

High-class technical machines although they give training to their employees and trainees

to deal with their software’s and systems.

·31 Political factors

As the time of establishment Shan foods never faced any political fairs or legal condition.

As company ordinance pass in i984 all the existing and new companies should follow the

policies. there is no such political or government limitations in entering into the Industry.

Although when it comes to the packaging for export it requires the legal process and the

quality of elements used for making the product as it vary from one to another country.

·32 Economic factors

As the economy of country gets meltdown and repeatedly facing crisis and the economic

conditions are powerless to recover. But the inflation doesn't impact the growth of

company its position is steady in the high rate of food inflation in Pakistan. The worst

economic conditions would not allow the company to achiever their desired ROI level.

·33 Socio and cultural factors

Pakistan is the symbol of an Islamic state its values, cultural and Norms are changing

rapidly but still the older norms and cultures holds mesmerizing values. Shan keeps

changing their products and spices according to the demand and traditional way of

consumer use the spices. The product has no negative signs or against the culture they are

providing range of products for Desi foods as well as continental food.

·34 COMPANY DESCRIPTION

Shan food was founded as Cottage Industry in 1881, before that it started its functions

from a single room the form the house of its current owner Sikandar Sultan (CEO). The

preliminary customers of Shaan mostly working women. Teenagers, Family members,

Co-relatives and Friends. The main purpose of Shan is to maintain the essence of food

which Pakistani lives for. That fragrant of traditional Masalas that we're following from

our fore father.

As time pass from different places unknown people come for Shan Masala that's the time

to make Shan a Brand. The journey from one room to a multinational company see many

phases up's down's the process was slow but remarkable. It took 37 years to Shan foods

what they are today. The company enters into Market in 1983 after two years of its

foundation. In I984 they took further step and start exporting their Items which went

successful.

Company covers 100,000sp. ft. area they have an expensively equipped laboratories and

testing centers. Shan Foods offer 70 different mixed types of spices and 70 different type

of spices from starting to end of product they go through 9 different departments.

The Company holds 374 distributors now on their webpage they offer you to become
their distributor by filling up form and further process. They have 60 distributors over 45

countries.

·35 Core Values

The main Aim of the establishment of the company is to give people Clean and Hygienic

and modern lifestyle of food which makes cooking moderately helpful less time

consuming and easy. Every company have a Vision to achieve Shan holds a vision to be

challenging and people centric in Market. From begging till now they have seen

numerous challenge and stay strong in it. Company purpose is to keep satisfying the

needs and wants of their customer and facilitate them what they want from them as the

owner of Shan is a Philanthropist too. Organization take cares of other values Legally,

Culturally, ethically from their publicizing through Ads they always keep their Homeland

on upper hand. Company ensures that every person is part of product they Carries "WE"

attitude in their company.

· Vision and Mission Statement

Establish Shan as the leading culinary brand, offering authentic traditional recipes &

home food solutions, with relentless focus on excellence in all we do, ensuring a

wholesome experience for our consumers around the world.

 ·36 Founder's Philosophy

The philosophy of Shan foods follows is to divine their customers with happiness on

daily basis. Sikander Sultan CEO of Shan said that "Hopelessness is not allowed in the

Religion". As the developer of Mix spices they make sure that their products are not only

easily accessible to cook but it gives you the right taste to assure your satisfaction level of

food. They level their best that they’re packaging are safe attractive and hygienic to

customer. The delegate staff of Shan helps time to time innovation in their product range.

Which keeps motivated their employees after achieving vulnerable position in Market

company aims to be Recognizable overseas and around the world.

·37 Marketing Campaign

Shan foods are not very much effective and efficient in marketing campaign although

there two advertisements make a quit stir after its Release They have done a campaign

"Ooh campaign" at S.M.C.H.S Karachi where they have set a huge Pot and showing it as

pot of Hallem. Their Eid campaign in 2015 TVC which is incredibly and emotionally

written and showcase the feeling of those who spent their Eid's far from their homeland

& loved ones. Shan another 2017 TVC which records 3,3 million views in 3 days in this

they're showing the bound of love from across the borders how you can express it with

Food. This campaign is for those who are the forgeries in Pakistan.

·38 Awards and Honors

Shan have numerous certifications and Awards for their amazing hard work.
 ·39 In Brussels capital of Belgium, Shan was honored by Global taste award 2010.

·40 Shan is the first organization from Pakistan to win "Superior Taste award from

ITQI in a row for three years.

·41 Recently Shan receive an international award at Effie awards.

·42 In 2013, Shan shoop noodles receives best Advertising award.

SWOT ANALYSIS

SWOT analysis is a study that done by Organization to know about their internal and

external factors and how to overcome of it. Strength and weakness cover the Internal area

as well opportunities and Threat are part of external environment for running a successful

company knowledge about SWOT analysis should be undertaken well.

WEAKNESSES STRENGTHS
·47 Shaan Salan Range ·43 Varieties of Product line

·44 Strong reputation in Market

·45 Powerfull Distribution Channel

·46 Extensive Trade Coverage

THREATS OPPORTUNITIES
·50 National Foods ·48 Expansion of Business in Foreign

Countries
·51 Biggest competator in market

·49 In process of Launching new product

line Ready-To-Eat

·52 Strength

The most powerful element Shan foods have right now is there product line. It includes

almost all Mixed spices for all recipes and Achar products too. The availability of their

products is found all over the Pakistan. Even most of the outer living Pakistani families

prefer Shan for their Pakistani home cook food and for daily basis Masala. From very

begging Shan play smartly through his Advertisement it always pursuing message to it

consumers Share happiness and Bound of family. There R&D department and the V-lock

technology that only Shan is consuming for its products is their strength.

·53 Weakness

Shan food is actually 100% equity fair company due to it Shan foods face certain hurdles

for larger expansion as it’s a Sharia based company so they are not in favor for taking

Loans and Interests from Bank.

Shan Foods have a strong distribution which covers most of the Pakistan but it’s too weak

on the Punjab side through which they face loss of major population

Shan is not very much involved in marketing Strategies, they have no such big campaigns

or communication, They're few ads become popular they've very narrow approach for

new experimentation through marketing.

·54 Opportunity

Shan foods have been the opportunities from the very beginning two years after its

establishment they start exporting their products. The Bar-B-Q range of Shan is the most

powerful from their other product range due to its taste. Shan produced not only Mixed

masala recipes but also the paste of that Product which grabs the attention of consumers.

·55 Threats

National foods are the leading Threat of Shan as they are covering the Punjab side due to

this The growth of Shan products are less there. Shan have very minute advertising

strategy and they never been part of any promotional activity or in Sponsorship.

· ANSOFF MATRIX
 · Market Penetration (Current Market, Current Product)
Market penetration means expansion of market. This strategy involves to extend those

current products that are existing in current market. According to this strategy its main

purpose is to attract the customer through promotions and discounts to increase their

volume of sales. Shaan Foods and National are biggest competitor of each other from the

very begging of times they both offer mostly the similar products in market. Some

notable Current products of Shaan foods are commend below that are leading in current

market.

· Bar-B-Q range
 · Biryani Masala Range

· Pickles

· Product Development (Current Market, New Product)

In product development approach the Product is new but market is already present. before

launching a product marketers do a healthy research to understand the needs and demand

of their customer and after that process the development of a product starts which satisfy

and fulfill the needs of consumers. Shan launched its Product "SHOOP NOODLES" In

2013 it not only become famous in their target market which is kids but also in Youngers

because of their eye-catching tag-line "Mita do Bhook" and easy to make process. They

offer variety of flavors and most demanded flavors are "Bar-B-Q" and "Chatpata". The

product is tasty as well as healthy too.

· Market Development (New Market, Current Product)

In market development approach the product is existing but market is new, this occurs

when marketers identify the need of their product in new market either the product is

demanding or declining. They choose this strategy when the Organization is on the

expansion process of its products. Shaan Recipes Mixes and Plain Spices are those

products which are existing but market is new. They launched it in USA, Canada and

other countries on international levels because high demand of it. Pakistani’s living out

their want the same aroma quality and taste of their foods which they easily avail in

Pakistan.

· Diversification (New Market, New Product)

In diversification approach the product is new as well as market. The company goes for

this approach when their Market penetration approach is declining or on fall stage.

Company also launch new product in new market to attract and gain more customers and

become player of it. Shaan is about to launch is Ready to Eat line in which they are

Offering the food is already cooked all you have to do is just to heat-it-up in this line it

Includes (Chicken Tikka, Chicken Kabab, Malai Boti, Gola Kabab, Chicken Boti etc.).

· Brands Portfolio Collection

By the excellence performance Shan has won hearts globally and domestically, their

products are the necessary products of festivals. By their V-tech technology their Masalas

are able to use after months of opening. Internationally the most recognizable and

purchased Pakistani-based products in Masala is Shan.

· Recipe Mixes

Shan always been a player in serving uncountable ranges of Mixes Masala. They know

well the Pakistani's love for food. As they are offering mix Recipes in which they’re

offering 11 Ranges of Mix recipes which are divided into sub-categories. Consumers
have a vast range to choose the product of Shan of their own choice. On international

level the Recipes of Shan have different spices in taste a less spicy as in Pakistan they are

bit spicier because of the demand.

· Fish

Shan have only two different products for Fish Fried Fish, Lahori Fish.

Oriental

In product range of Oriental it have 5 different products

Chinese egg fried rice, Chinese Beef, Sweet and Sour, Chicken Chow Mein, Chicken

Manchurian

· Curry
In curry range they are offering 11 products Kunna, Korma, Kofta, Curry powder,

Chicken white korma, Chicken Masala, Paya Masala, Nihari, Murgh Cholay, Meat

Masala (Beef), Meat Masala (Mutton).

· Rice

In category of Rice they are offering 7 products Pulao Biryani, Sindhi Biryani, Memoni

Biryani, Biryani, Fish Biryani, Punjabi Yakhni Pulao, Bombay Biryani

Stir Fried Range

In Stir fried range it includes 7 products Chicken white Karhai, Karhai/ Fry gosht,

Chicken Handi, Butter Chicken, Chicken Jalferzi, Achar Gosht, Chicken ginger.

· Fried
In Fried there are 6 products Dahi Bara Mix, Chicken Broast, Shami Kabab, Chapli

Kabab, Pakora/ Bhaji mix, Hunter beef.

· BBQ

BBQ is the strongest and most highlighted product it gives you the perfect combination

of all Masalas you need. It includes 5 products Chicken Tikka, Tikka, Sekh kabab, Bihari

Kabab, Tandoori Masala.

· Vegetarian

For vegetarian product line, Shan foods provide those masalas which give subtle taste to

your most daily eatery foods it includes 3 products Chana Masala, Daal Masala,

Vegetable Masala.

· Meat Tenderizer

Shan care for their products they launch a Meat Tenderizer which helps to tender the

Meat/ Beef in less time. So it can be cook quickly.

· Haleem

Shan gives perfect match to recipes of Haleem by their Masala. It includes 3 products in

there

product line. Shahi Haleem, Easy Cook Halem, Haleem Masala.

· Plain Spices

The quality of Shan plain spices makes them chief in market, it enhances the aroma, taste

in tour daily cooking foods. Their key element of spices makes them the first choice of

customers for their healthy and Hygienic food.

There Plain spices range include total 8 products Qasuri Methi Leaves, Tekhi Kali Mirch

Powder, Kushbudar Lehsan Powder, Khalis Haldee Powder, Zafrani Garam Masala

Powder, Tez Lal Mirch Powder, Zaiqaydar Adrak Powder, Taaza Dhania Powder.

After, MixRecipies and Plain recipes Shan also offers categories in Salt it includes

Himalayan Pink Salt, Refined Salt, Iodized Salt.

For the easiness of their Customers Shan also provide three major types of paste which

are the most basic ingredients for all foods to cook it only includes Garlic paste, Ginger

Garlic Paste, Ginger paste.

· Accompaniment

In this Range it includes two products Chaat Masala and prickle range, In Prickle range

they are offering Mango pickle, Mixed Pickle, Hyderabadi Mixed Pickle.
Shan not only have Amazing spicy range but it also grabs amazing product line of

sweetness for all their sweet-tooth consumers it includes 5 major dessert products. Sheer

Khurma Mix, Gulab Jamun, Lauki Halwa, Special kheer Mix, Gajar Halwa, Badam

Kheer Mix.

Shan enters in this category few years earlier, they are excelling in this but slowly and

gradually right now they are offering only two products Masala Noodles, Chicken

Noodles, Chatpatta Noodles

 BCG MATRIX of Shaan Foods

BCG Matrix have two aspects market growth and market share; Market share means the

sales of product in specific time. Market growth means how much the demand of product

is increasing. The chart was designed by Bruce D. Henderson in 1970 for Boston

consulting group of company. The chart helps the organization to manage the records

evaluate, interpret of their product lines.

· Star

Star include those products which have High market share and High market growth. They

are the main player in Business also operate larger amount of cash.

· Shan Bar-B-Q range

· Shan Biryani Masala range

These two products of Shan hold High market share and High market growth.

· Question Mark

Question Mark include those products which have High growth market but low market

share. These products require enough amount of Investment to push them in Star

category. Products include in Question Mark category have chances that they might fall

in Dog category. Shan Foods products which fall in Question Mark are:

· Vegetarian Range

· Oriental Range

· Fried Range

· COW

In this quadrant the product High market share and low growth market. These products

have high profits but the Investments are low. In Cow quadrant the products are well

established. Shan Foods which are part of Cow Quadrant are:

· Curry range

· Haleem Range

· DOG

In the Dog category include those products which have low market share and low market

growth. The company should liquidate the product after some time if they are not giving

any kind of profit or market share. the product which Shan Offers and it Fall in Dog

Quadrant are:

· Meat Tenderizer
 · Chapli Kabab

· Shami Kabab

· Pakora/ Bhaji Mix

· Hunter beef

· Conclusion

Shaan Foods started its journey as Cottage Industry in 1981 from just one room from then

till now by their continuous hard work, Commitment and Work dedication not only in

Pakistan but they have achieved remarkable status on International levels too. Shaan not

only leads in Business it also gives healthy competition to its Competitors. Shaan also

encourages the Innovation and betterment for their products which makes them exclusive

in market for innovation and creativity they always open their doors for youth and

younger people. Shaan carries a vision which helps them work tirelessly. Their first

priority is the health of their customers than to be recognize on International level by

keeping alive the Taste, quality and Aroma through their foods.