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Marketing plan of Tarang

Apr 16, 2017



Marketing Plan of Tarang

Marketing Plan of Tarang

Table of content

1. Company profile 2. Vision& Mission3. Tarang Introduction4. Current Marketing Mix5. SWOT Analysis6. Market Segmentation7. Positioning8. Targeting

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 Olpers 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. Engros aim is to dominate the food business and to achieve this they will settle for nothing less than the cream.


To be the Premier Pakistani Enterprise with a global reach, passionatelypursuing 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 wealthby building new businesses based on company and country strengths 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. TARANG


Tarang is a tea-whitener, its available in both liquid and powder format that appeals everyones taste. Tarang Liquid was launched in 2007 and Tarang Powder was launched in 2010. Tarangs 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 BEngro 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. 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:

SKUs 1 Pack Price # of Pack in Carton Carton Price

Tarang Liquid

125 ML 1224 270

200 ML 1824 420

250 ML 22 27 590

500 ML 48 12 570

Tarang Powder

20 GM10 432 4320

25 GM10 288 2880

125 GM 50 48 2400

400 GM 160 24 3840


1000 GM 370 12 4440

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.


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.

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.

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.

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 fromExxon Chemicals USA, after the management buyout.Weakness: They dont 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.0Opportunity: 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.

Threats:1. Competition:Competition may pose a threat because the company will have to maintain its Leadership in an expanding market so that it doesnt 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

Consumers 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. Consumers 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.

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.

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