Marketing Plan Of

Nestle
Cerelac
Group Members:
Abdullah Khan
Syed waqar hussain
Muhammad faizan arif
Faculty: Sir Kashif Hafeez
Course: Marketing Management
(K.U.B.S)

1.0 ACKNOWLEDGEMENT
Writing this report appeared to be a
great experience to us. It added a lot
to our knowledge.
This report is one of our memorable
experiences in student life. Though
words are inadequate in offering
thanks to our teacher
Sir Kashif
Hafeez
For stimulating our creative abilities by
assigning this project to us and for his
able guidance and useful suggestions,
which helped us in completing the
project work, in time.Whatever we
have learnt from him and this project
report has put indelible impression on
our minds.

2.0 EXECUTIVE SUMMARY

This is a semester project regarding a
baby food product name Nestl
Cerelac. It starts with an introduction
about Nestl Company. It gives a
briefing about all the brands of the
Nestl Company.
Nestle has been serving worldwide
with its excellence in product safety,
quality and value. It provides many
products which include dairy
products, beverages, water, and
infant dietetic and confectionary.
We have taken NESTLE Cerelac for
our Marketing plan. Their aim is to
provide customer with best infant
food on suitable prices make the
product as convenient as possible.
According to their claim that they
provide the best food through out
the world.

Nestl expands across many

different markets including
beverages, ice cream, baby
foods/formulas, soups, frozen foods,
snacks, pet care and of course
candy.In line with Nestls global
philosophy.
Nestl Pakistan is proud of its
commitment to excellence in
product safety and quality and to
providing value and aims to be the
leading Nutrition, Health and
Wellness Company.
Nestl factories are operating in the
regions:
Africa
America
Asia
Europe
Oceania

Vision:
Nestls global vision is to be the
recognized leading Nutrition, Health
and Wellness Company.
Nestl Pakistan subscribes fully to this
vision of being the number one
Nutrition, Health, and
Wellness Company in Pakistan.

Mission:
To positively enhance the quality of life
of the people of world by all that we do
through our
people, our brands and products.

3.0 Situational Analysis

3.1 Market Summary
The Nestle Cerelac consumers are
spread all over the world one of the
reasons behind is the lower prices
offered by Nestl and its easy
availability every where.
Nestl Cerelac is that much
available that people hardly find any
other Cerelac in market with an
ease.

Target Market
The consumers are the infants of
course but the customers are the
parents and they select the best
quality material for their children
and thats Nestl Cerelac.

3.1.1 Market
Demographics
To occupy a clear distinctive and
desirable place related to competing
baby foods in the minds of target
customers Nestl Cerelac segments its
market on following bases:

Geographic Segmentation
Demographic Segmentation
Psychographic Segmentation
Behavioral Segmentation

 Geographic Segmentation:
Cerelac segments its market
geographically on divisional basis.
They wil divide each division in
different zones and every distributer
is restricted to sale its products only
in his own zone.

Demographic
Segmentation:
Age:
Nestle have segmented the market
from early age infants to 5 years
children and have launched
different flavors and kinds of Cerelac
according to their requirements.
On the other hand Nestl Cerelac
has made this product for infants
but has actually targeted the

Income Level:
People belonging to lower income
groups cannot afford to buy
readymade baby foods so Nestl will
target that segment whose income
puts them in the upper middle and
higher income groups.
Social Stratification:
Buyers are divided into different
groups based on social class and life
style.
Upper upper class
lower upper class
Upper middle class

 Psychographic
Segmentation:
Class consciousness:
Nestl has also segmented the
specific class of mothers who dont
want to give breast feed to their
children so Cerelac is the most
preferable and best nourishing food
for infants.
Level of Education:
Nestl makes promotional strategies
keeping in view the customer level
of education. If the % of education is
high in a country then through ads
people can be made well aware of

 Behavioral Segmentation:
Benefits:
Buyers are classified according to
the benefits they seek. Nestl
Cerelac has launched different
flavors and types of Cerelac
according to benefits that are
required by the children of different
stages of early life.

3.1.2 Market needs

Due to rapidly increasing the
population and increase birth rate in
pakistan there is increased in the
needs of healthy foods which
nourishes the infants.
Good nutrition is essential for the
growth and development of infants
first year of life. They required
appropriate food.

3.1.3 Market trends

With more women working outside
of the home, demand for convenient
on-the-go family food is rising.
In an uncertain world, people are
turning to brands they can trust.
And theyre becoming increasingly
aware of the corporate behavior of
the companies they buy from.
People want balance in their diets
and in their lifestyles Theyll choose
healthy options for their children's.

3.1.4 Market Growth

Nestle, sees a healthy growth
potential for its food products
meeting specific dietary needs of
changing demands of the
consumers that normal diets fail to
do.

3.2 SWOT Analysis:

STRENGTHS -----------------TO BUILD
ON
WEAKNESESS ----------------------TO COVER
ON
OPPORTUNITIES -------------------TO
CAPTURE
THREATS -----------------------------TO
DEFEND ON

3.2.1 STRENGHTS
Nestle includes a culture that is team
focused and an open door policy
which encourages employees to work
hard.
People all over the world trust and
recognizes Nestle as a big brand
name. It looks at achieving higher
volumes by renovating existing
products and innovating new

3.2.2 WEAKNESESS
One major weakness of Nestle is
that it is entering into
markets that are already mature
and can give a tough
competition to new entrants.
Nestle Plain Yogurt has proved to be
a Nestle weakness because it has
been unable to make its market
place in USA. Nestle by analyzing
the sensitive areas can overcome its
weaknesses.

3.2.3 OPPORTUNITIES
Nestle in Pakistan has a great
opportunity for expanding its
markets because in Pakistan there is
a large market of food and
beverages.
It also has opportunities largely in

3.2.4 THREATS
Nestle is facing the threats by
worldwide community
Many conferences and campaigns
have been held
against Nestl in this regard which can
damage the name and trust of its
customers.
Another threat is due to the
increasing popularity of its
competitor OLPERS in local and
international markets.

3.2 Competition
Nestle competes with other packaged
foods companies as well as store
brands from retailers
Nestls major competitors are:
Engro Foods

3.2.1 Competitive Advantage

Cerelac is the only popular and

quality baby food in Pakistan. Its
unique `stay fresh seal and a long
lasting shelf life gives the brand a
formidable competitive advantage.
it is easy to make and also it is
completely made considering the
digest system and requirement for
infants on
different stages of age.
The factors that make Cerelac
successful is quality and superior
nutritional value.

3.3 Product Offerings

Cerelac Offered in:
Cerelac come in a range of seven
varieties of baby food products which
are as follows:
Cerelac Rice
Cerelac Wheat
Cerelac Wheat - apple
Cerelac Wheat - honey
Cerelac Wheat - banana
Cerelac Wheat - 3- fruits
Cerelac Wheat - 4 Vegetables

4.0 Marketing Strategy

4.1 Marketing Objectives
Marketing objectives are compatible
with the overall corporate objectives of
nestle.
Companys objective is to be the
worlds largest and best branded
food manufacturer while insuring
that nestle name is synonymous
with the products of the highest
quality.

4.2 Target Market

Geographic
dispersion
Family life cycle
Social Stratification
Age segments
Income level

Urban, suburban
Full nest, single parent
Upper upper class,
lower upper class,
upper middle class
Infants(0-5), mothers
(18-45)
Average income,
above average

4.3 Differentiation Of
Nestle Cerelac
1. Nestl Cerelac has strong brand
image on the basis of quality.
2. Nestl Cerelac always segments the
exact customers.
3. No any single Nestl competitors
are successful to compete on the basis
of quality.
4. Nestl Cerelac has positioned
among people as health provider
brand for infants.

4.4 Brand Positioning

Nestle communicates itself as 'Good
food, good life'. Cerelac is a name of
quality and best food for babies and
the positioning statement of Cerelac
also tells the same as, 'best start to
a healthier future'
Nestl does positioning on several
bases:
1) On product attributes
2) On needs / benefits
3) On Usage occasion
4) For Classes of users
5) Against competition

4.5 Marketing Mix Of

Nestle
Cerelac
4.5.1 Product:
Sizes
It is available in 3
sizes; 350g and
175 g box
packaging and a
25g sachet for
customer
convenience.
Shape & Color
The shape and
color are very
attractive for the
customers.
Labeling and
packaging
The labeling and
packaging
includes Nestl
brand and logo.
The packaging

4.5.2 Price:
Nestle Cerelac
banana
Price Rs.135
Nestle Cerelac
wheat
Price Rs.135
Nestle
strawberry &
apple Cerelac
Price Rs.135

4.5.3 Promotions:
Nestle has adopted the channels for
promotion through TV, News papers,
magazines Doctors and hoardings etc.

Advertisement budget of
the company
Nestle has preplanned to start the
financial year but it is kept secret by
the company.

Share of promotion
Share of promotion in over all projects
varies every year. Usually it is 40% of
the product.

Nature of marketing

4.5.4 Placement:
Outlets for Product Located
Nestl Cerelac is available all over in
Pakistan regardless of big and small
cities.

Direct Sales
It is not sold directly to the customers
because of the extensive consumer
groups. It is the reason they sale the
product through distributers for
easiness of the company.

Warehousing Facilities
Nestl Cerelac has its own warehouses
for the storage of products as well as it
also has hired some warehouses.

Transportation Modes
Usually Nestl mode of transportation

4.5.5 Product Life Cycle Of

NESTLE
Cerelac
Nestle Cerelac is the market pioneer in
baby foods and and there is huge
market of baby products in pakistan.
To retain the market share of cerelac
due to to extreme competition, the
nestle will continue to bring changes in
product life cycle by effective
promotion and by formulating new
price strategies etc. so it will have a
long maturity period.

5.0 Financials

6.0 Controls
This is the mainand last elementof
the marketing planning byusing this
we cancheck product standard if
there is any problem arrive in
marketing plan the n it must be
corrected.

6.1 Return on Investment:

standard marketing performance
measures, such as brand awareness
and sales or market shares of the
Nestle Cerelac.
Nestle will use customer-centered
measures of marketing, such as
customer acquisition, customer
retention and customer lifetime
value that will produce returns in
the form of more profitable
customer relationships.
the marketing investments could

6.2 Market
Implementation

During the manufacturing of the

product we would go for its
advertising.
We would distribute broachers to
create awareness.
we would hire some sign board in
different major cities of Pakistan.
And at the same time we would go
for TV and radio commercials.
In all this process our main focus
would be on TV commercials and
sign boards because now a day
these are the most popular things
among the consumers.

7.0 Biblography

www.nestle.com
wikipedia.org/wiki/Nestl
www.foodanddrinkeurope.com
www.foodnavigator.com
www.Google.com
www.shareinfoline.com
www.Ask.comsharekhan-firststep.com
http://www.nestleea.com/en/aboutus/OurMarkets/DRC/P
ages
http://www.scribd.com/doc/29582425/
Nestle
http://www.docstoc.com/docs/6285111
4/nestle
http://www.oppapers.com/subjects/nes
tle-cerelac-page1.html
http://www.oppapers.com/subjects/cer
elac-page2.html
http://www.scribd.com/doc/36009148/
Marketing
http://www.docstoc.com/docs/7708817