Marry Gold Bread Report of “Marketing” Sajjad ahmad INTRODUCTION Marry Gold is the Second largest bread company of Pakistan. Mohammad Azam is the owner of the company. Salman saeed is the Managing director. This company has been working since 1983. They started their working from Lahore and have a main manufacturing factory in Lahore at kott lakhpatt. They started their business from a single flavor bread and now they have lots of other flavor and also some other different products. The main raw material which is required in these types of products is flour, sugar, oil.
Marry gold have business only in Punjab. They have different departments like Accounts department, Management department . This Company does not listed in stock exchange. MARKETING 4 P’S Develop the right Product sell it at the right Price Distribute it in the right Place and inform and persuade your customer about it with Promotion. PRODUCT PLANNING Product includes services as well as physical things. Customers are really interested in what the product will do for them. In this sense, all Products are services because they do something, i. e. provide services to the customer.
So to truly define your product, you have to consider all the elements which combined and satisfy your customer needs – Better than your competitor can satisfy them. This will include such things as Packaging as well as how the customer perceives you and the product-“brand” and “image”. PRODUCTS Marry Gold deals in different types and variety of products like: •Diet Bread •Brown Bread •Sandwiched Bread •Milky Bread •Bun •Sheer Mall Rusk •Biscuits •Cake Rusk •Baqar Khani •Burger Role •Plane Cake •Fruit cake PRODUCT WARRANTY Now a day in business every customer is looking for the warranty of the products. If a product has a warranty then people should prefer that product. Marry Gold have a warranty of his product but because company is dealing in a product which has to make fresh and should sold in the market very soon. So, if products remain expired due to fungus then company have a policy to replace that product. UNIQUE THING
The Unique thing which company has is the taste and also the quality of bread and other products as compared to other brands. COMPETITIORS Every company has a close eye on their competitiors which is very crucial for the working of the company. Competitors of Marry Gold are: •Dawn Bread •Bunny Bread •Morgan Bread BRAND NAME Brand name is the major factor in the company running process. The company work very hard to make or create a brand. Every company has its own brand name. The customer purchase the item from the recognized brand name ADVANTAGES OF BRANDING Customers recognise the product or business & can easily distinguish it from that of competitors •It promotes customer loyalty & increased sales & profits •It is easier to launch a new product on the market if it has a brand name •The customer is assured that the branded product is of good quality LABELING Marry Gold already have label on the product and toll free number also on bottom of the product. The labeling of the Bread also includes directions of how to make the products and what are the active ingredients in it.
In this way consumer is satisfied with what he or she is having. In our recommendation the label should be more graphical which would make the product more attractive to the consumer RESEARCH & DEVELOPMENT This area is the most important to capture the customer intention. So mostly the big companies have this department to create new things and also search new things. Marry gold have also this department and make a good investment. Marry gold have some experience employees regarding this department. Recently they produced a new product of his cake •Liche Cake Strawberry Cake PACKAGING Marry Gold already exists in the primary packaging: Our recommendations are regarding the secondary packaging which is more protective from germs and sun rays. This is an essential element in the marketing mix for any consumer product. •It keeps the product safe •It preserves the quality of the product until it is ready to be used •It provides information about the contents •Packaging helps to market the product by making it attractive to buy PRICE PLANNING
Pricing is the manual or automatic process of applying prices to purchase and sales orders, based on factors such as: a fixed amount, quantity break, promotion or sales campaign, specific vendor quote, price prevailing on entry, shipment or invoice date, combination of multiple orders or lines, and many others. Automated systems require more setup and maintenance but may prevent pricing errors. Price lining is the use of a limited number of prices for all your product offerings. This is a tradition started in the old five and dime stores in which everything cost either 5 or 10 cents.
Its underlying rationale is that these amounts are seen as suitable price points for a whole range of products by prospective customers. It has the advantage of ease of administering, but the disadvantage of inflexibility, particularly in times of inflation or unstable prices Demand-based pricing is any pricing method that uses consumer demand – based on perceived value – as the central element. These include : price skimming, price discrimination and yield management, price points, psychological pricing, bundle pricing, penetration pricing, price lining, value-based pricing, geo and premium pricing.
We have analyzed their price determination system and concluded that their price is mutually determined by their breads union named as PBA (Pakistan Bread Association) Under the rules of this union no member is able to determine its own price for their product. Their major saleable product is BREAD which comes under different sizes and baking methology having prices Rs 27 and Rs 16 which is for plain bread, secondly they have sandwich bread having price Rs for large and Rs for small, other categories among their bread is Diet (brown) bread which is for Rs for small and Rs for large.
As their prices are determined under PBA due to this reason they are unable to determine their own prices of their product for the market. They are not making That much profit because there is very less difference in cost and sales price and this is due to the reason that the daily prices of flour which is fluctuating and they Can’t increase their prices unless PBA allows them that are why their customers are standing neck to neck. What a price should do A well chosen price should do three things: achieve the financial goals of the firm (e. g. profitability) In the case of Marry Gold they are only able to earn low amount of profit due to the reason of bearing higher costs because of daily fluctuating rates of flour. •fit the realities of the marketplace (will customers buy at that price? ) As reported by Marry Gold that their customers are standing neck to neck because of the factor of hiring of prices due to uncontrollable factors so they are unable to reduce the prices and costs are getting higher. support a product’s positioning and be consistent with the other variables in the marketing mix •price is influenced by the type of distribution channel used, the type of promotions used, and the quality of the product •price will usually need to be relatively high if manufacturing is expensive, distribution is exclusive, and the product is supported by extensive advertising and promotional campaigns •a low price can be a iable substitute for product quality, effective promotions, or an energetic selling effort by distributors Marry Gold is supporting their product positioning up to the best of their abilities but as the manufacturing costs are increasing which is the direct factor for increasing of prices and thus customers are getting aware of this thing. They cannot set their prices less due to the two majored factors one is the PBA which controls the prices second factor is their competitors.
From the marketer’s point of view, an efficient price is a price that is very close to the maximum that customers are prepared to pay. In economic terms, it is a price that shifts most of the consumer surplus to the producer. PROMOTION PLANNING Marry Gold has its distribution covering most of the area of Punjab and they are making efforts to promote their products nationwide soon. Following figure shows the area that Marry Gold is covering to fulfill its mass selling concept. ADVERTISING AND PUBLICITY Marry gold is advertising mainly through, Billboards in the potential areas •Newspapers. •Signboards of the shops DISTRIBUTION SYSTEM In collaboration with the above Marry gold is promoting its product with the help of their distinctive taste and quality with the help of their salesman, which are covering most of the area of Punjab with the help of their effective distribution system. Their major target market is Lahore. •Further promotion is done with the help of different schemes like offering butter as a free item on purchasing bread etc. SALES PROMOTION
Marry Gold is going to promote their brand name soon with the help of a campaign starting in different schools in order to promote their upcoming biscuits and chocolate cake and for this purpose they will held drawing contest in major cities of Punjab. The aim is to build skills in children’s and to make them their major target customers by concentrating on them with these types of healthy activities. THE AIDA CONCEPT Marry Gold is making various efforts to attract new buyers and build customer loyalty. For this purpose they are heading a scheme on their bread i. . on buying bread the customer will get a pen cake of Rs5 absolutely free. PRODUCT PROTECTION For the purpose of the protection of product a specific airtight technique is used to pack the product in order to make it distinct from other products of the same race of different brands. Further precautions are printed on the wrappers regarding the protection of product and to make it use long lastly and in case any Spoiled product the company provides the facility of replacement even if there is a fault at the end of user for preserving its product like bread.
PRODUCT QUALITY In order to maintain the quality of bread and other products the proper quality check is maintained while production. E. g. the whiteness level of the bread and the inner texture is checked and wholes in the texture are checked and if there are any of the problems like that, that piece of product is rejected for sale. That s why its bread is one of the major selling brands in MACRO and Marry Gold is taking off among its competitors. Sales Marry Gold is achieving 90% of its targeted sales annually. DISTRIBUTION PLANNING
You can choose to make direct sales to your final consumer, or to sell your product through middle man (wholesalers, retailers, distributors and agent). Marry gold pvt limited is a daily consumed product company which use place planning or distribution planning of middleman through retailer, they do not use wholesaler for the distribution process . DISTRIBUTION CHANNELS It use the distribution channels where from it sales the product, mostly distribution channels existed within Punjab. Cities of the Punjab for distribution channels are •Lahore Rawalpindi •Islamabad •Faisalabad •Okara •Sahiwal •Multan •Kasur Above cities are related to the company placement focus. ALLOCATION OF GOODS These goods are perishable nature so, product like bread, cake, rus mostly targeted to allocate under the shaded placement. The reason is that under sunshine this product s evaporates and become cause of sporangium. TRANSPORTATION: The company for the sack of transportation allocates resources on the carriage. Carriage includes carriage vans, pick ups Marry gold company engaged in own rent carriages.
This carriage used to provide supplies of products to all the target market within the Punjab territory. WAREHOUSES Most capacitance warehouses of this company are located in the territory of •Sahiwal •Okara •Kasur •Lahore (Shalamar bagh) Company competes with in large competitors. So to full fill their sales requirement s and quick approach towards retailers, it is necessary for it to store the product in it. •Target market: •Specific retailers •General retailers Company effort to highlight the general retailers such as street shop keepers, home retailer, provisional stores, etc. oncentration on that public visiting stores give the opportunity to marry gold to increase their sale or revenue structure. Specific retailer on the contrary not specially in the region of target market for the marry gold because they are the competitors at some level and not use product because of their own special retailers for the company are Kashmir bakery, cakes and bakes, gourmet, shazan bakery. SWOT ANALYSIS SWOT analysis explains the Strengths, Weaknesses, Opportunities and Threats of the company.
The SWOT analysis also shows Company’s internal strengths such as their experienced management team, a competitive product line, the continuous efforts regarding R activities to research trends in the industry and to be creative in exploiting those trends, although this company does not possess proper department regarding R activities, but still there are huge activities process by the management which shows their commitments towards innovation. STRENGTHS: •Marry Gold packaging is one of its foremost strengths. Its customers can easily recognize it, when placed in “Macro” as well as in super markets. Marry Gold stands number two in the Lahore. Its increasing popularity is one of its major strengths. •All the Directors and managers of marry gold are highly qualified and equipped with latest technology of production and baking. One of the Directors of marry gold has a degree from American Institute of baking (AIB). •The personnel of the marry gold are specialist in their respective fields and also a variety of their jobs such as Zonal Managers, Assistant Zonal Managers, Senior sales Officers, Sales Officers etc, and their competitors do not have the same. Its quality is excellent. •Its durability is very evident from its storage for two, three or more days at either room temperature or when refrigerated. •Kinds of transportation, they use is simply marvelous. •It is available in almost all retail store, even in small towns and villages like Kolas no (name of village in Kasoor District. •The storage facilities are superb. They have their own warehouses. •Marry Gold has been changing its slogans since 1983. This indicates the changing cultural patterns of people with the passage of time. Marry gold has changed the needs of its customers into their wants. This is the reason why marry gold Sales continued to grow inspire of the fact that they had been increasing their price with the passage of time. The customers are willing to buy it even if the price is increased. •Their emphasis on sales promotion is one of their biggest strengths. WEAKNESSES: •The major disadvantages regarding the competitive structure of the market lies in the fact that there are so many other competitors and large number of Bakeries (such as Gourmet Bakers, Rahat Bakers) to compete for the same consumer. •Most of the goods are perishable in nature. Due to this Company has to produce according to the demand of the consumer. •It is a Bit costly because most of the producer (bakeries) produces the same with low price. OPPORTUNITIES: •Marry gold has recently fulfill the burning desire of his customer to produce the Diet Bread (Brown Bread). •By increasing the number of vehicles used for transportation purposes, Marry gold can avail the opportunity of enhancing its sales. • Some possible opportunities noted are the growing markets for specialized ethnic foods & healthier food products, because mostly consumers are health conscious now days. THREATS: •Customers have become habitual to it. If they fail in continuing their promotions, it can become their weakness. •Its limited transport facilities pose a threat to Marry Gold. RECOMMENDATIONS/COMMENTS: •Marry gold Company must stay aware of are the ease of reliability of its product line, and the quickness of technological advances causing existing products to be no longer the most advanced. Marry gold should try to capture brand awareness among younger generation. • •Marry gold should work hard to capture brand awareness and loyalty of customers in Pakistan. •Marry gold should try to enhance its transportation facilities. . •Marry gold should target kids and middle aged people along with young generation. •It should explore the places like parlors, flower shops, etc. •It can make its slogan keeping in view the kids. •If it increases its price, it may lose its customers to a great extent so it should reduce prices