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Individual Assignment MKT 558

Dutch Lady Milk Industries Berhad (DLMI) is a leading dairy company in Malaysia that markets products under the Friso brand. DLMI segments the market geographically, demographically, and behaviorally to target various customer groups. Technologically, DLMI promotes products through digital platforms and social media to reach younger consumers, and introduces new products annually. Environmentally, DLMI implements sustainable waste management practices like recycling and reducing plastic use to comply with government guidelines. Politically, DLMI remains committed to producing only halal-certified products to meet regulatory requirements.

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0% found this document useful (0 votes)
842 views11 pages

Individual Assignment MKT 558

Dutch Lady Milk Industries Berhad (DLMI) is a leading dairy company in Malaysia that markets products under the Friso brand. DLMI segments the market geographically, demographically, and behaviorally to target various customer groups. Technologically, DLMI promotes products through digital platforms and social media to reach younger consumers, and introduces new products annually. Environmentally, DLMI implements sustainable waste management practices like recycling and reducing plastic use to comply with government guidelines. Politically, DLMI remains committed to producing only halal-certified products to meet regulatory requirements.

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Zureen Sofea
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FACULTY OF APPLIED SCIENCES

BACHELOR OF SCIENCE (HONS.) BIOLOGY


CAWANGAN NEGERI SEMBILAN KAMPUS KUALA PILAH

MKT558 DIGITAL MARKETING


INDIVIDUAL ASSIGNMENT

PROGRAMME AS2014A1

PREPARED BY ZUREEN SOFEA NATASHA BINTI MOHD ZAZELI

STUDENT ID 2021106629

SUPERVISED BY DR. NORDAYANA ZULKIFLI


TABLE CONTENT

1.0 INTRODUCTION ................................................................................................................

2.0 ONLINE CONSUMER VARIABLES ................................................................................

Geographic..............................................................................................................................

Demographic ..........................................................................................................................

Physiographic .........................................................................................................................

Behavioral...............................................................................................................................

3.0 IMPACT OF MACRO-ENVIRONMENT .........................................................................

Technological .........................................................................................................................

Environmental ........................................................................................................................

Political ...................................................................................................................................

Economic ................................................................................................................................

4.0 CONCLUSION .....................................................................................................................

REFERENCES
1.0 INTRODUCTION

Marketing, in its broadest sense, is the process of determining and meeting customer needs.
In the business context, this task is especially crucial because effective marketing initiatives can
generate inbound leads and draw in sizable customer bases. An analysis of the business
environment, product mix, and market orientation is part of the conventional marketing cycle.
Digital marketing is a relatively new practice, despite the fact that marketing has long roots in
business history and culture. Businesses started experimenting with new marketing strategies as a
result of the explosion of digital technology, including the pervasive and widespread use of
computers and smartphones. Digital marketing was thus established.

With a history of Dutch dairy products serving consumers for more than 140 years, the top
dairy company in Malaysia, Dutch Lady Malaysia, has been making a significant impact for more
than 50 years. Royal Friesland Campina N.V. is a significant dairy cooperative with its
headquarters in the Netherlands. The top local dairy company, Dutch Lady Malaysia, has been
working to maintain its position. RFC, the organization's ultimate holding company, is so named
for this rationale. Dutch Lady Malaysia, based in Petaling Jaya, Selangor, is the nation's first milk
company to list on the Kuala Lumpur Stock Exchange. It is able to maintain its local focus thanks
to the size and scope of its membership as a global multinational organization. Dutch Lady Milk
advertises its Friso brand products using a variety of promotional strategies. The company employs
a wide range of television commercials to inform customers about the advantages of its various
dairy products. On the other hand, the company uses social media, like Facebook, to connect with
its sizable customer base. The company regularly posts information about Friso or any events they
want to host for the customers. Additionally, in order to solidify their product's position in the
market, the company frequently solicits customer feedback so that any necessary adjustments can
be made to the manufacturing process. In addition, the company prioritizes high-quality, low-fat
products to maintain an advantage over its competitors.
2.0 ONLINE CONSUMER VARIABLES

Geographic

According to the Facebook platform, Dutch Lady Milk divides the global market into various
geographic units; its main operations are in Malaysia, and some of its products are exported to
Singapore and Pakistan. It has changed the business landscape not only in Malaysia's Food
Processing industry, but also in other existing markets. Dutch Lady Milk's ability to lead
change has enabled it to enter new markets, reach out to new customers, and and provide
different value propositions to different customers in international markets.
Demographic

Dutch Lady Milk Industries Berhad segments their market by categorizing different customers
into groups with similar needs. The company primarily targets demographic segmentation in
order to reach customers with their product Friso. Dutch Lady's target market includes people
of all ages, including children, families, and the aged people (Dutch Lady Milk Industries
Berhad, 2019).

• The company tagets age group from children to adults.


• The Dutch Milk has different dairy product brands for children
Age and adults.
• For children that fall under the age of 1-3 and 4-9 company offers
Friso Gold 3 and Friso Gold 4 (Gebauer, 2008)

• The company provides milk products to both male and female so


that they can use milk product for their purpose.
Gender • For the requirements of mummy's, the company supplies
Frisomum Gold for the breastfeeding and pregnant mums
(Ylimaki, 2014)

• The Dutch Lady Friso Gold 4 is highly priced at RM 61.59 per


900g packets which are easily available by the people having
higher income.
Income
• For targeting low income group customer, company provides
Dutch Lady Friso Mum Gold is offered at price of RM 50.99 for
900g (Becker et al. 2009)

Psychographic

DLMI believes that every child’s growth and development is influenced heavily by nutrition
and physical activity. As such, our Drink. Move. BeStrong (“DMBS”) campaign, launched in
2014, provides an ideal platform for the Company to encourage living an active and healthy
lifestyle amongst Malaysian youths. At the same time promoting the goodness of milk in aiding
physical growth and development in young children. This was done through our initiative in
partnership with the Ministry of Education, supported by nutritional talks and exercise
programmes (Dutch Lady Milk Industries Berhad, 2019) .
Behavioral

The digital transformation journey for Dutch Lady Milk includes varying goals based on
market maturity, customer technology acceptance, and organisational culture. Dutch Lady
Milk has successfully integrated the four key components of digital transformation: digital
integration in processes, digital integration in marketing and customer relationship
management, digital integration in the value chain, and using technology to investigate new
products and market opportunities.
3.0 THE IMPACT OF MACRO ENVIRONMENT

Technological Factors
Media outlets are essential for swaying public opinion in Malaysia. This trend can help
Dutch Lady Milk market and position its products more effectively (Resources, 2022). In 2019,
the marketing efforts of Dutch Lady Milk Industries Berhad were focused on product
innovation, which resulted in the introduction of new products; Ramadhan limited edition
flavours (Kurma & Ros Bandung), Rakyat Pack (the Dutch Lady Mini) and the Juicy Milk
range (Dutch Lady Milk Industries Berhad, 2019). In order to promote milk consumption
among both the younger and older generation, they concentrated on reaching the consumers
through in-store activations and by increasing the use of digital platforms to build social media
presence and expand our e-commerce business (Dutch Lady Milk Industries Berhad, 2019).
With the expanding middle class and growing knowledge of the advantages of milk and milk-
based products, they see opportunities to increase the volume of product consumption in the
market segments in which we are active.

Environmental Factors

Waste management, particularly for units near urban areas, has become increasingly
important for performers such as Dutch Lady Milk. The Malaysian government has established
stringent guidelines for waste management in urban areas (EMBA Pro, 2022). In 2019, DLMI
recycled 87% of our waste and reduced our landfill waste by an average of 3% following the
launch of 3R (Reduce, Reuse & Recycle) programme (Dutch Lady Milk Industries Berhad,
2019). DLMI also started recycling office waste (such as printed paper, shred paper, and non-
food waste from the office pantry) and reduced the use of single-use plastics (such as mineral
water packing lunch boxes and disposable utensils). Furthermore, DLMI employs bio-
organism technology in our Waste Water Treatment Plant, which generated 543 tonnes of bio-
sludge for fertiliser in 2019.
Political Factors

DLMI remains committed to providing Halal products


to our customers by implementing Halal systems that outline
our commitment to adhering to the requirements of Jabatan
Kemajuan Islam Malaysia ("JAKIM") and Jabatan Agama
Islam Selangor ("JAIS") (Dutch Lady Milk Industries
Berhad, 2019). This includes the highest standards of
hygiene, quality, and safety conditions from raw material
procurement to product distribution. Indeed, DLMI's Internal Halal Committee (IHC) was
formed to take collective responsibility for ensuring the Company's adherence to the Halal
Policy in accordance with both JAKIM and JAIS requirements (Dutch Lady Milk
Industries Berhad, 2019). JAKIM recognises DLMI's dedication and efforts to improving
Halal compliance and practises in Malaysia. DLMI was named to the Halal White List in
2017, and it was also named to the JAIS White List in 2019. These accomplishments
demonstrate that DLMI's Halal system and practises are well in place, assisting in the
preservation of Halal integrity throughout the supply chain in order to serve and cater to
the needs of Malaysian consumers (Dutch Lady Milk Industries Berhad, 2019).

Economic factors

Economic factors are often related to the level and nature of the interference local and
national governments have with the business and economic environment. In 1968, Dutch
Lady Malaysia was the first milk company to be listed on the Bursa Malaysia, and in 1988,
it was the first to introduce Growing-Up Milk in Malaysia (Nor, 2014). Today, Dutch Lady
Malaysia manufactures and sells a diverse range of high-quality dairy products for both the
domestic and international markets, with all products enjoying a loyal following under
brands such as Dutch Lady and Friso Gold. In 2009, DLMI launched the South East Asian
Nutrition Survey (SEANUTS) study, a unique collaboration between Friesland Campina
and four international research teams/universities, involving four countries: Malaysia,
Indonesia, Vietnam, and Thailand.
4.0 CONCLUSION

With advances in technology, a new philosophy and business practice known as "digital
marketing" has emerged. Today, the internet can be used to market products, services, ideas, and
even information and ideas. Although it still exists, traditional marketing may gradually fade away
for the majority of the market over the next few decades. The use of digital marketing facilitates
consumer shopping. Knowing what a seller's target market wants makes marketing so much
simpler. Exactly in this way does digital marketing assist. You can evaluate what worked where,
for whom, and to what extent. so that they can choose a more focused audience the following time.
REFERENCES

(2019). Dutch Lady Milk Industries Berhad. Retrieved from https://www.dutchlady.com.my/wp-


content/uploads/2020/pdf/reports/DL-AR19_WEBSITE.pdf

EMBA Pro. (2022). Retrieved from Dutch Lady Milk (Malaysia) Marketing Segmentation, Targeting,
Differentiation, Positioning Solution:
https://embapro.com/frontpage/marketingstpcoanalysis/20340-dutch-lady-milk

Nor, D. M. (2014). Issued by Dutch Lady Milk Industries Berhad. FrieslandCampina, 3-4.

Resources, E. M. (2022). EMBA Pro. Retrieved from Dutch Lady Milk (Malaysia) PESTEL / PEST / STEP
Analysis: https://embapro.com/frontpage/pestelcoanalysis/20340-dutch-lady-milk

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