Marketing Plan of Tarang

Table of content

1.Company profile
2.Vision& Mission
3.Tarang Introduction
4.Current Marketing Mix
5.SWOT Analysis
6.Market Segmentation
7.Positioning
8.Targeting
 Marketing Plan of Tarang

Company profile

Engro Foods Limited is subsidiary of Engro Chemical Pakistan LTD. Which is one
of the most reputed enterprises in Pakistan with more than 40 years of diversified
business operations in the areas of fertilizer and chemicals?Engro foods started its
business operations in March n2006 and with the successful launch of Olpers Milk,
Tarang, Olwell, and Olpers cream, low-fat milk Olper’s lite, Omung dobala,
Olfrute, Tarrka, Omore, Omung Lassi, it has established itself as a major player in
the foods business. With the ever expanding milk collection network and
processing facilities, the Supply Chain has geared them for the growing sales of
their products. Engro Food, a wholly owned subsidiary had its first full years of
operations in 2007. The company continued expanding with additions to brand
portfolio, milk production and distribution capacities.
They believe that their recent successes will take them to their goals. To be one of
the biggest players in the food business. Engro’s aim is to dominate the food
business and to achieve this they will settle for nothing less than the cream.
 Marketing Plan of Tarang

VISION
“To be the Premier Pakistani Enterprise with a global reach,
passionately pursuing value creation for all stake holders”

MISSION
(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 b y b uild ing new b us ines s es b as ed o n
c o mp any and c o untry s trengths in Petrochemicals, Information
Technology, Infrastructure and other Agricultural sectors. In pursuing the
mission we shall at all time be guided in our conduct and decision making
by our Core Values.”
 Marketing Plan of Tarang

TARANG
 Marketing Plan of Tarang

Introduction

Tarang is a tea-whitener, it’s available in both liquid and powder format that
appeals everyone’s taste. Tarang Liquid was launched in 2007 and Tarang Powder
was launched in 2010. Tarang’s easy to use packaging and dedicated approach to
enhancing the enjoyment of tea has won over the Pakistani palette with the taste
that touches the heart and price that fits the pocket.

In Pakistan social classes A+ and A, milk powder was used in the milk. This
enabled convenience in usageand there is no storage hassles. Similarly, workplace
where tea consumption is high used powder milkwhere convenient of usage is
required. Milk powder used was Millac (an all purpose milk powder) andNido (a
milk powder designed for children). At that time, this was a huge market Niche
which was beingcatered by products not made for this Niche. Nestle came up with
the milk powder brand “Everyday” to cater the Niche and currently considered the
leader in this category. However, “Everyday” is mostly targeting the original
market with SEC class A+, A and B
Engro entered into this market and targeted lower middle class and lower class
through its milk whitener Tarang to replace all purpose milk used specially in rural
areas of Pakistan. Now Engro has launched Tarang milk powder tea whitener to
cater need of middle and upper lower class and workplace tea industry. Tarang
Milk whitener launched in August, 2007.
 Marketing Plan of Tarang

Current Market Mix

The market is the combination of element that the frame the market strategy for a
company in relation to their product and services, in order to help them achieve
their market objective. Traditional, the market mix has focused on four elements.

Price:

# of Pack in
SKUs 1 Pack Price Carton Price
Carton

Tarang Liquid

125 ML 12 24 270

200 ML 18 24 420

250 ML 22 27 590
500 ML 48 12 570

Tarang Powder

20 GM 10 432 4320
25 GM 10 288 2880
125 GM 50 48 2400
400 GM 160 24 3840
FSD
1000 GM 370 12 4440
 Marketing Plan of Tarang

This product is cheaper than the others like nestle. So people will prefer tarang
milk because our half of population is under poverty so they will get attraction
tarang milk.

Product:

No matter how effective the promotion and packing, a firm will find it very
difficult to market a product with fails to satisfy a consumer need.
In new product we will change the taste and odor of milk and we will reduce fats
and increase proteins. And we will make categories of tarang milk.

Promotion:
Promotion involves disseminating information about a product, product line,
brand, or company. It is one of the four key aspects of the marketing mix.
Channels adoption for promotion: TV, News Papers, Magazines.
 Marketing Plan of Tarang

Advertisement budget:
It will be planned from the start of financial year. It will keep secret. We will
invest 5% of our budget on advertisement.
 Marketing Plan of Tarang

Place:
Marketing Mix is Place. Place is also known as chinned, distribution, or
intermediary. It is the mechanism through which goods and/or services are moved
from the manufacturer/service provider to the user consumer.

Outlets of product:
These will locate all lovers in Pakistan regardless of big and small cities.

SWOT Analysis

In order to create an effective strategy for getting competitive advantage, the

management must perform the competitive analysis. This involves both assessing
the internal environment and the external environment effecting the organization
ability to compete effectively. SWOT analysis is one of the tools to analyze these
environments.
 Marketing Plan of Tarang

Strengths:
 Strong professional management of Engro Foods Limited. Engro Foods has
successfully launched top brands like Olpers, Owsum, Omore. They have
the expertise in launched similar dairy products.
 Engro has invested heavily in milk processing and milk collection
infrastructure. They have the strong suppliers support.
 Engro has inherited management practices and principles from Exxon
Chemicals USA, after the management buyout.

Weakness:
 They don’t produce enough to supply to the distributor and retailers
 Because of their poor packing, milk will not remain fresh for a long time. So
consumer must consume the milk in a short time.0

Opportunity:
 Opportunity to fut hur expand its category like introducing a tea.
 Tarang ads can attract people is the semi urban areas.
 It is a way of making people shift from open milk to tea whitener(because of
its affordable price) Tarang Milk Powder.
 Marketing Plan of Tarang

Threats:
1. Competition:
Competition may pose a threat because the company will have to maintain its
Leadership in an expanding market so that it doesn’t lose its market share to its
competitors. For Tarang milk it might be difficult to penetrate in a market where
the loyalties exist for such brands as Nestle and Haleeb. These brands have been
inthe milk industry far too long and have left a mark in the minds of customers in
terms of quality. Competition seems to be getting tougher as a result of new
players entering the dairy markets .

2. Perceptions and Price Differentials

Consumer’s perceptions and price differentials can cause a threat for the
company. It is important that Tarang milk comes up to the expectations of
customers and fulfils its conformance quality that is the company meets its
promised specifications. Consumer’s preferences change with time and prices
might create certain barriers in terms of the profit margins for Tarang milk. For
example, lose/organic milk is still cheaper than packaged milk and that is also one
factor that people still prefer to buy lose/organic milk.
 Marketing Plan of Tarang

Market Segmentation:

It is very tricky for any company to engage in mass production, mass distribution
and mass promotion for its product. Therefore, companies segment the market to
that they can target the group of customers who share similar needs and wants.
Tarang milk should make a segment for the market so that it will achieve the health
conscious young and a bit tasteful so that everyone follow the Trang milk the
company should make an ad to attracts young generation no to appeal to all the
masses. It is for the young experiences to get attracted by this ad and go for Tarang
milk.

Demographic Segmentation:
Tarang milk should focus towards the youth, teenagers and young adults. The
brand is meant for all the users in higher upper or middle class families being
positioned as a brand for high income earners.
 Marketing Plan of Tarang

Psychographic Segmentation:
On the basis of psychographics, factors such as personality traits, lifestyles and
values, the marketers of Tarang Milk should have segmented the market more
towards healthy conscious trendy youngsters, experiences who are ready to try out
something new. For example the ads for Tarangmostly show for the tea purpose so
that Tarang ad should be targeted on above factors and they should show
something new. Once this segment of customers was indentified for Tarang the
brand was positioned in the minds of customers through various promotional
strategies.

Behavioral segmentation:
Tarang products should have been segmented on the basis of benefits that
consumers seek in the milk. In this case, people look for a brand that canbe used
for all purposes from drinking to tea whiteners as well to feed the animals. The ads
also shows that customers should increase their milk consumption for example
with every tea they should use Tarang Milk, every morning they should drink
Tarang milk and everyday they should feed their pets with Tarang milk. There may
be some hard core loyal in the milk sector. Loyalty maybe towards such
established brands as Nestle and Haleeb. There might even be switches and
shifting loyal in the milk sectors that are either price sensitive or want variety. As a
result, the marketers need to find ways to make the hard core loyal attracted to the
Tarang brand and shifting loyal and switchers to convert into hard core loyal as
well.
 Marketing Plan of Tarang

Positioning

Positioning involves designing the products and image that will occupy a
distinctive place in the minds of the target market. As can be seen, nestle milkpak
and Haleeb have the largest profit margins and market share in the milk industry.
Thus the marketers at Tarang milk have decided to create its own unique image
and then strengthen the position in the customer minds. They should have done this
by taking a number of following steps:
Packaging of Tarang milk in red color is quite different and distinctive from the
typical green and blue packing used by other competitors.

Tarang milk is positioned as good for a distinctive use or application. In this case
Tarang milk can be used for all purpose like drinking, tea etc. it can be said that all
the different stages have been performed by the marketers with extreme care and
research.
 Marketing Plan of Tarang

Targeting

Tarang is targeting the lower and middle class families and low income. The target
groups of Tarang are children, teen age, old age people in the market.

Old Age:
For old age people they should add low fat/calories because it may create heart
diseases. Now in this era people are aware of fat/calories because of advance
technology.

Children:
Children with low body stores of vitamins A who have measles may be require
vitamins A supplementation. So they can add Vitamin A properties and other
properties which are related or beneficial for the kids and they should properly
advertise these benefits.

Teen Age:

For teen agers they should add high calcium, proteins and vitamins so it should be
a thirst quencher, it is hydrating and it is refreshing.