Dairy Omung Lassi (RELAUNCH) Report

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Report on Relaunch for

Omung Product
Lassi
(A Drink for Everyone)

 Submitted to: Syed Murad Ali Rizvi GROUP MEMBERS:


 Class: Marketing for Managers  MUHAMMAD AQIB AQEEL
 SAQIB RAFIQUE
 JAVERIA ASGHAR
Table of Contents
Vision and Mission Statement:………………………….………………………………………………………………………….... 3
Company Introduction:………………………………………………………………………………………………………….. 4

 What is a Lassi:……………………………………………………………..……………………………………………. 5
 Variations:…………………………………………………………….………………………….………………………… 5

Product Background:……………………………………………………………………………………………………………… 6
Reason for Failure:………………………………………………………………………………………………….……………... 7
Relaunch Strategy:……………………………………………………………………………………………………………….… 8

 Inclusive Strategy For Promotion:…………………………………………….………………………………... 9

Consumer Buying Behavior:…………………………………………….......................................................... 9

 Marketing Mix for Omung Lassi (4 Ps):…………………………………………..…………..……………… 10

Market Segmentation For Omung Lassi:……………………………………………...................................... 11

 Consumer Market Segmentation:……………………………………………………..…………………….... 12

Competitors Analysis:……………………………………………................................................................... 13

 SWOTs Analysis of Omung Lassi:……………………………………………………….……………………..... 13

Position of Omung Lassi in the market:………………………………………………………….….…………........... 14


Unique Promotion and Marketing Strategies:……………………………………………….…..................…… 15

 Cultural Marketing:………………………………………………………….……………..…….…………………… 16
 Creating Lassi Centers for Brand Awareness:………………………….……….…………………………. 17

Pricing Strategies and Objective:…………………………………………….................................................. 18

 New Packaging Concept:……………………………………………………………………………………………. 19

Conclusion:……………………………………………................................................................................... 20
Vision and Mission Statement
Vision:
To positively enhance the quality of our product and make sure that it is recognized by the
people of Pakistan as the go to drink whenever they think of drinking a Lassi.

Mission Statement:
Our Mission is to ensure that our Lassi is recognized as the product for everyone, belonging to
any background, culture and geographic location.
Company Introduction
Engro Foods:
It was launched in 2004, it is one of the leading Food brands of Pakistan, and they took dairy as
first step into the food business. It has invested heavily to produce good quality and hygienic
food items. The product line of Engro foods includes Omore, Tarang, Owsum, Omung and
Olpers. The product which we have chosen for the relaunch is Omung lassi.
Engro Corporation is Pakistan’s leading business Company which deals in number of things. Its
subsidiaries include

 Engro Foods limited


 Engro fertilizers limited
 Engro powergen limited
 Engro polymers and chemicals limited
 Engro vopac limited

Dairy Omung caters to the economy segment of Pakistani households in their quest for an
unadulterated and hygienic offering for their families.
Dairy Omung is an innovative and economical substitute for loose milk. Sourced from pure milk
base, Dairy Omung is a wholesome drinking dairy which offers the strength and optimism to
strive harder in life and welcome each day with a smile. Dairy Omung is a dairy drink that can
be used in a multitude of consumption occasions ranging from plain drinking to tea-creaming
and dessert-making.
Dairy Omung is considered to be light on the stomach, heek free & 100% dairy. It is a value-for-
money brand that can be enjoyed for drinking by children, so mothers have to make no
compromise on adulteration-free nutrition.
What is a Lassi
Pakistan is as diverse as its people. Among the drinks or beverages consumed in Pakistan,
Lassi, is quite popular. It is a traditional Pakistani dairy beverage, originally from Punjab, made
by blending yoghurt with water, salt, and spices (depending on the type of Lassi) until the drink
becomes frothy and assumes its iconic and recognizable look. It is consumed by over one billion
Asians throughout the world. With its smooth, cool and refreshing taste, it is the perfect
accompaniment to the hot and spicy flavors that epitome Pakistani cuisine. This traditional
drink is economical and plentiful in Pakistan, where cows and buffalo provide an overflow of
dairy based recipes.
Traditional Lassi has seen to find some variations in it throughout the years sometimes flavored
with ground roasted cumin, fruits flavored or can be chocolate flavored. In Punjab Lassi
sometimes uses a little milk and is topped with a thin layer of malai, clotted cream. Lassi is
enjoyed chilled as a hot-weather refreshment. With a little turmeric powder mixed in, it is also
used as a folk remedy for gastroenteritis.

Variations
There are many types of Lassi that are now available. Sweet Lassi is a more recent invention,
and has become immensely popular. Rose water is a common ingredient for sweet Lassi and
adds a sweet, perfumed aroma. Sweet Lassi can be flavored with any fruit of choice like mango,
pineapple, banana, lychee, strawberry, etc.
The traditional Lassi is a salty yoghurt drink which has a thicker consistency as compared to
butter milk. It can be savored with various spices and ingredients, but it almost always includes
ground cumin powder.
Salty Lassi is not only extremely easy and quick to make but also very refreshing and cooling to
beat the heat of summer.
Product Background
It was introduced by Engro foods in 2012 with the slogan of “Guru hoja shuru”. Engro was the
first one to launch Tetra packed Lassi in Pakistan. Engro introduced their Lassi in two flavors.
• Meethi masti
• Namkeen Taskeen
with the price tag of just Rs.20/- , it was little high due to no competitor in market and taking
advantage of first mover, but unfortunately it could not survive in the market due to different
reasons.
Omung Lassi as it was released with a lot of hope and a vision of bringing one of the favorite
drink of the people in a way they have not seen before.
Reason for Failure
Lack of market research: Without understanding the target market and their preferences, it can
be difficult to position and market the product effectively.
Poor product positioning: If the product was positioned in a way that did not align with the
target market's needs or preferences, it may not have resonated with potential customers.
Poor quality: If the product did not meet customer's expectations in terms of taste, ingredients
or packaging it could have lead to poor reviews and lack of repeat customers.
Poor distribution: If the product was not available in the right places, such as supermarkets or
convenience stores, it may not have been easily accessible to potential customers.
Lack of promotion: Without effective promotion, it can be difficult to generate awareness and
interest in the product.
Lack of differentiation: If the product was not differentiated enough from its competitors, it
may have been seen as interchangeable and not worth purchasing.
Pricing strategy: If the price of the product was not competitive or not aligned with the target
market's willingness to pay, it may not have been able to generate enough sales.
Branding and packaging: If the branding and packaging of the product was not appealing or not
aligned with the target market, it may have had a negative impact on sales.

 Flawed Tag Line


 Shallow Advertisement
 Wrong Target Audience Selection
 Wrong Target Market Selection
 Taste
 Packaging

One of the major reason for this products failure was its wrong target market and trying to
create an impression regarding this cool soothing drink that it is a ‘sexy’ drink, only aimed for
young men and women and it is definitely not (Pyar ka naya ilaaj).
As the marketing campaign was so flawed that they used the tag line (Guru Hoja Shuru), what’s
the point behind (Guru Hoja Shuru)? Who is the Guru? Is it the man dressed in the hideous
blue jacket, dancing away with women as advertised consistently at that time and trying to
create reminiscent of nakeem and meethi lassi-cum-love?
The people were not really feeling connected to this whole marketing campaign as How can
lassi be compared to love and also be the remedy for love at the same time? And tried to give it
the wrong characteristics entirely. They’re targeting the age group whose prime objective in life
(according to the proposed strategy) is to find perfection in love. It’s not liqueur or an energy
drink for the youth that they can choose a specific target audience or even try to change the
characteristics of the product when it already has a deep-rooted image.

Relaunch Strategy
Lassi, a tangy concoction made from yogurt and water, is possibly Pakistan’s most popular drink
year-round but especially during the torment of summer. The cooling drink is usually made with
sugar but those willing to experiment can use salt instead. Some mix in malai, or cream, while
others spice it up with cardamom, top it with crushed pistachios, or prefer a concoction of
yogurt and mango pulp. Whatever the ingredients. Mostly consumed from the loose lassi
retailers.
Lassi has been an integral part of the culture of sub-continent and there is no doubt lassi has
stood the test of time.

Inclusive Strategy for Promotion


 Value propositions that are targeted by the customer segment
 Establishing uncontested market space
 Conveying key messaging that leverages USPs and differentiators
 Creating advertising with emotive calls to action
 Executing campaigns that are aligned with your customers’ journey.
 Creating exceptional content that appeals visually and stimulates engagement
 Developing integrated campaigns that are aligned in all aspects from your corporate
identity to every interaction

Before moving forward we have to understand consumer behavior first,

Consumer Buying Behavior


Consumer behavior is the study of individual, groups, or organizations and all the activities
associated with the purchase, use and disposal of goods and services. Consumer behavior
consists of how the consumer's emotions, attitudes, and preferences affect their buying
behavior towards a certain product or services. It is referred to the actions taken (both on and
offline) by consumers before buying a product or service. This process may include consulting
search engines, engaging with social media posts, or a variety of other actions.
It is dependent on how well the consumer is connected to a certain product like what is their
affiliation with it, how they look this product or service in their daily life, how this product is
affecting their daily lives and how impactful this will prove to them.
Following are a few factors which prove to be influential for consumer when buying a certain
product and show their buying behavior:
 Psychological Factors.
 Social Factors.
 Cultural Factors.
 Economic Factors.
 Personal Factors.
And can be further simplified into these 4 factors Product, Price, Place and Promotion. These 4
factors or marketing mix are infamously know to be the 4ps.

Marketing Mix for Omung Lassi (4 Ps)


1.Product
It is a fresh hygienic lassi made from the UHT technology treated milk, white in color and
packed in plastic glasses available in two sizes. It is a complete food supplement which is good
for health and vitality.

2.Price
Engro Foods should use cost plus pricing since they do not have any competitor in the market it
is beneficial for them to avail this opportunity they should initially sell their product at lower
price and when this products gets the interest of the consumers they can increase price a little
bit.

3.Place
Availability of Lassi in every part of city is major because in its many potential customer go for
other form of soft drinks. Omung can fill this gap by providing its Lassi in every part of Lassi and
can capture this market.
Absence of organized players in this market will be helpful for Omung as it will have first mover
advantage in this segment as the other players have a very limited access.
Consumers are not satisfied with the quality (Health & Hygiene) of Loose Lassi retailers, Omung
can count on it as it has a good brand image and people have faith in the quality of Engro Food
products.

4.Promotion
Cultural Marketing, keeping in view of our target audience and their needs we will create Lassi
Centers in the urban areas of the Big cities. Where families can visit and enjoy the drink of
Pakistan.
It available almost everywhere they should promote it via social networking sites and
applications. Electronic media is another source of the promotion of the product.
Engro have a multiple choices to promote their products they can promote it in universities,
colleges, schools, events, malls, stations etc.
Also host some public events this will promote their product in a wide range in the country as
well as outside the country. They can also make a famous public figure as the brand
ambassador for their product as this will increase the interest of the consumers to buy the
product.
Get customers reviews by providing them for free at shopping malls, gas stations and railway
stations etc.
Market Segmentation for Omung Lassi
The market is a group of consumers (People or Organization) for whom a seller designs a
particular marketing mix. The primary market for which we are going to launch our product is
specifically urban sector. Targeting all age groups.

Consumer Market Segmentation:

1.Geographic Segmentation
Urban areas: Consumers in major cities such as Lahore, Karachi, and Islamabad where there is a
higher concentration of young adults and middle-class consumers.
Limited Rural areas: Consumers in rural areas of Pakistan where traditional food and drinks are
more popular.

2.Demographic Segmentation
In Terms of demographic segmentation, we are dividing the market on the basis of income,
family size and style.
Age: Particularly, Young adults and middle-aged people who are looking for a healthier
alternative to sugary drinks, but it's a drink for all age groups.
Gender: Both men and women, as lassi is a popular drink among both genders in Pakistan.
Income: Middle to upper-middle-class consumers who are willing to pay a premium for a high-
quality, traditional product.
3.Behavioral Segmentation
In terms of behavioral segmentation, we have divided the market on the basis of benefit desires
from the product and its usage rate.
Occasions: Ramadan, Eid, Weddings, and other traditional events where lassi is a popular drink.
Benefits sought: Consumers who are looking for a natural and healthy alternative to sugary
drinks.
User status: Regular users of lassi and those who are interested in trying traditional Pakistani
food and drinks.

4.Psychographic Segmentation
Lifestyle: Consumers who are health-conscious and interested in traditional foods and drinks.
Personality: Consumers who are adventurous and open to trying new products.
Values: Consumers who appreciate and value traditional food and drinks
Competitors Analysis
Lassi market is highly dominated by Loose Lassi retailers. They enjoy a 100% market share.
Most of these Loose Lassi retailers are seasonal. They operate mainly during summer, Rainy
season. Some of the Loose Lassi retailers operate throughout the year. Loose Lassi retailers
being an unorganized sector does not have any promotion strategy apart from mouth publicity.
Loose Lassi retailers have their shops mainly in market places, near bus stands and near Railway
station. Movement of consumers is very frequent at these places which help them in having a
good business.
And after the introduction of our product Omung Lassi another launched their own Lassi to
counter our product and they used those strategies which was a little different than ours
however were proving to be more effective.

SWOT’s Analysis of Omung Lassi:

Strengths
 Omung lassi is a popular traditional Pakistani drink made from yogurt and spices
 Unique and authentic taste which is liked by many people
 Made from natural ingredients, which is considered healthier than other options
 It has a long shelf life which makes it a viable option for distribution and export

Weakness
 Limited market outside of Pakistan Dependence on traditional distribution channels
 Limited marketing and advertising resources Limited brand recognition outside of
Pakistan.

Opportunities
 Growing demand for natural and healthy food products Increased interest in ethnic and
traditional food products Opportunities for export and distribution in international
markets
 Potential for new flavors and variations of the product

Threats
 Competition from other lassi and yogurt-based products Economic instability in Pakistan
 Political instability in Pakistan Limited access to modern distribution channels and
technology.

Position of Omung Lassi in Pakistani


Market
Positioning is the process of creating a unique image and identity for a product in the minds of
consumers. It involves differentiating the product from its competitors and highlighting its
unique features and benefits. Here are a few strategies for positioning Omung lassi in the
Pakistani market:
Quality positioning: Highlighting the high-quality ingredients and the unique taste of Omung
lassi can be a way to differentiate it from other lassi brands and appeal to consumers who are
looking for a premium product.
Health positioning: Emphasizing the health benefits of Omung lassi such as its natural
ingredients, probiotics or low sugar content can be a way to appeal to health-conscious
consumers.
Heritage positioning: Highlighting the traditional recipe or the heritage of the brand can be a
way to appeal to consumers who are looking for a authentic taste of lassi.
Innovative positioning: Positioning the product as a new and innovative lassi which can be
made with different flavors or ingredients can be a way to appeal to consumers who are looking
for something new and different.
Price positioning: Positioning Omung lassi as a low-priced option compared to other premium
lassi brands can be a way to appeal to price-sensitive consumers.
It's important to choose a positioning strategy that aligns with the target market and the overall
marketing mix, and that can be consistently communicated through branding and advertising.
Conducting market research and focus groups can help in understanding consumer preferences
and positioning the product accordingly.
Unique Promotion Strategy for
Marketing Omung Lassi
Promotion is an important aspect of marketing and it can help to build awareness, generate
interest and drive sales for a product like Omung lassi. Here are a few unique promotion
strategies that you could consider for Omung lassi:
Influencer marketing: Partnering with popular food bloggers, chefs or other influencers in the
Pakistani market to feature Omung lassi in their content and social media posts can help to
build credibility and generate interest among their followers.
Event marketing: Organizing or participating in food fairs, festivals or other events that align
with the positioning and target market of Omung lassi can be a way to generate buzz and
connect with potential customers in person.
Sampling: Offering free samples of Omung lassi in key locations such as supermarkets, gyms or
health food stores can help to generate interest and build a positive reputation among
potential customers.
Coupons and discounts: Offering discounts or coupons on Omung lassi can be a way to drive
sales and attract new customers.
Social media campaigns: Launching social media campaigns such as flash sales, contests or
giveaways can help to build engagement and attract new customers through social media
platforms.
Public Relations: Leveraging the media to create a positive image of the brand and product, by
highlighting its unique features, benefits, or any other newsworthy aspect can help to build
credibility and awareness among potential customers.
It's important to choose a promotion strategy that aligns with the target market and positioning
of Omung lassi, as well as the overall marketing mix.
It's also important to evaluate the effectiveness of the promotion strategy and make necessary
adjustments.

Cultural Marketing for Omung Lassi


Cultural marketing is a strategy that involves tailoring a product's marketing efforts to specific
cultural groups or communities. Here are a few ways that you could incorporate cultural
marketing into your efforts to market Omung lassi in Pakistan:
Language: Creating marketing materials in the local languages spoken in Pakistan, such as Urdu,
can help to connect with potential customers and build trust.
Festivals and traditions: Leveraging the cultural festivals or traditions that are popular in
Pakistan, such as Eid or Ramazan, can help to make Omung lassi more relevant and appealing to
potential customers.
Local influencers: Partnering with local influencers, such as chefs, food bloggers, or celebrities,
who can speak to the cultural significance of lassi and how Omung lassi fits into that tradition
can help to build credibility and generate interest.
Community events: Hosting or participating in community events, such as charity events or
food festivals, can help to build a positive reputation and connect with potential customers in a
cultural context.
Authenticity: Highlighting the traditional recipe and authenticity of Omung lassi can help to
appeal to customers who are looking for an authentic taste of lassi.
It's important to understand and respect the cultural values of the target market and tailor the
marketing efforts accordingly. Cultural marketing can help to build a deeper connection with
the target market and establish brand loyalty.
It's also important to conduct market research to understand the cultural context and
preferences of the target market, this can help to tailor the marketing efforts in a more
effective way.
Creating Lassi Centers for Brand
Awareness
Creating lassi centers, also known as brand experience centers, is one way to promote Omung
lassi and increase brand awareness. These centers can serve as a physical space where
potential customers can learn about the product, taste it, and experience the brand in a cultural
context. Here are a few ways that lassi centers could be used to promote Omung lassi:
Tasting events: Hosting tasting events at the lassi centers where potential customers can try
Omung lassi and learn about the unique features and benefits of the product.
Cultural education: Creating a space where customers can learn about the cultural significance
of lassi in Pakistan, and how Omung lassi fits into that tradition.
Cooking classes: Offering cooking classes that teach customers how to make traditional lassi
recipes or incorporate Omung lassi into their own recipes.
Brand storytelling: Creating a brand experience that tells the story of Omung lassi and its
cultural roots through interactive exhibits, videos, and other immersive elements.
Community events: Hosting or participating in community events, such as charity events or
food festivals, can help to build a positive reputation and connect with potential customers in a
cultural context.
It's important to choose a location for the lassi center that is easily accessible and visible to the
target market. It's also important to create an experience that is engaging and memorable for
the customers, this can help to increase brand awareness and drive sales.
It's also important to have a clear and consistent message that aligns with the overall marketing
efforts and positioning of the brand.
It's also important to have a clear and consistent message that aligns with the overall marketing
efforts and positioning of the brand, this can help to create a deeper connection with the target
market.

Pricing Strategies and Objective


The pricing objective which selected for Omung Lassi is purely “profit oriented”. And the
rationale is to achieve the target return. The target return could be away specified percentage
return on the sales
When setting the price for a product like Omung lassi, it's important to consider a number of
factors, such as the cost of production, the target market, and the competition.
Here are a few strategies for pricing Omung lassi:
Cost-plus pricing: This strategy involves adding a markup to the cost of production to determine
the final price. This can be a simple way to set a price, but it may not take into account market
conditions or the competition.
Value-based pricing: This strategy involves setting a price based on the perceived value of the
product to the customer. This can be a good approach if Omung lassi has unique features or
benefits that set it apart from competitors.
Penetration pricing: This strategy involves setting a lower price initially in order to attract
customers and gain market share. This can be a good approach if the market for lassi is highly
competitive and you want to build a customer base.
Skimming pricing: This strategy involves setting a high price initially and then gradually lowering
it over time. This can be a good approach if Omung lassi has a high perceived value and you
want to maximize profits.
It is important to take into account the target market and their willingness to pay, cost of
production, and competition while choosing the price strategy.
It is also important to consider how the price will affect the overall marketing mix and how it
supports the overall positioning and branding strategy.
It is also important to conduct market research to find out consumer perceptions of the product
and the price point they would be willing to pay for the product.

New Packaging Concept


Sustainability has been taken into consideration for Packaging design. The drinking opening
is integrated in the aluminum closure of the product and becomes visible as soon as the
customer removes the circuit board. The new packaging has two advantages: it is more
sustainable thanks to less plastic waste and the drinking opening is completely airtight and
sterile before the customer opens it.
Conclusion
As regards the geographic pricing strategy is concerned, we are following a “Uniformed
Delivered Pricing” strategy, which is to charge same price to all retailers around the country.
Moreover “One Pricing Strategy” is also being adopted which enables consumers to purchase
Lassi at one price, no matter how much quantity he / she buys.
As concerned to the basic price setting approach, we are adopting “Customer Base Pricing”
which means that the price of Candia is according to the purchasing power of customer. Since
the target market belong to higher income group, so it means that price is higher than other
brands.
Thank you.

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