Omoré STUDENTS OF LAHORE SCHOOL OF ECONOMICS BSC ECONOMICS AND FINANCE
History of Engro Engro stands for “energy for growth”. Incorporated in 1965 as ‘Esso Pakistan Fertilizer Company’ Name later changed to Exxon limited Exit of Exxon (75% stake) in 1991, the company underwent an employee led buyout Finally as Engro
Establishment of Engro Foods Limited (EFL) Engro Foods Limited was launched in May 2004. Has two manufacturing sites, one in Sukkur and the other in Sahiwal. Ice cream factory located at Sahiwal. The ice cream factory’s average operating capacity is 50,000 liters per day.
Omore’ Omoré was launched in March and formally launched on April 6, 2009 The ice cream was launched in eight cities and towns The brand had started with 24 different formats and flavors. Lack of cold storage facilities and proximity of factory were reason for slow start
Key Figures Regarding the Growth of Engro and Omoré Engro has had its gross profit increase from 6917 million rupees in 2008 to 6931 million rupees in 2009 In just a few weeks, Omoré had made sales of Rs10 million on volumes of 76,000 liters. Ice Cream now has 39 SKUs launched and boasts sales of over 6 million liters. Ice cream turnover in 2009 was Rs.751 million. Market share 11% , while losses at 461 million.
Other Products of Engro Foods Olwell. Olpers. Tarang. Tarka. Owsum.
Lines of Businesses of the Company Engro VopakTerminal Limited (EVTL) EngroEximpLimited (EXIMP) Engro PowerGenLimited (EPGL) Engro Energy Limited (EEL) Engro Polymer & Chemicals Limited (EPCL) Avanceon Limited (EIAL)
Target Market Differentiated Marketing Strategy Families Individuals (youth and adults) Children
Market Positioning Concerned with Perception which consumers have about products Various bases to categorize the products Positioned as “More for Less” Major challenge in bringing change in the market Creativity is the core of its marketing strategy Promoted themselves as full of Happiness and Art Offered 24 different packs and flavors 3 of which not offered by any one
Promoted their Quality Major edge over competitors in terms of ingredients Used Olpers logo on packing to assure Quality Set new trends in the market Colors depicts Happiness which is present in Omore ice cream Achieved major brand positioning within three months
Product Core Product Ice Cream- convenience product! Actual Product The brand- Omoré 27 flavors of ice cream in different shapes and quantities. The product line Frooze range of cheap ice creams for children. a range of family packs range targeted towards teenagers as well as adults.
Product The packaging style attractive and colorful available in various designs: cones, cups, tubs and bar sticks. High quality level Meets hygienic and nutritious standards. Augmented Product: provides ingredients and nutrition information on the packaging contact information for comments and queries
Price Product line pricing Marketpenetrationpricing Three different classifications Frooze (5- 10- 12- 15) Rupees Range of family packs (150- 120- 105) Rupees Range of individual ice creams (10-15-20-30) Rupees
Place Indirectdistributionchannel intermediaries before the final product reaches to the customer Mobile sellers, aka: Sale Point Dealers (SPDs) increase sales of ice creams increase brand awareness Available only in 8 cities Due to limited cold storage and production in the beginning Small distribution network
Promotion High marketing expenditure Advertisement TVCs Introductory ad, Frooze and Family Packs TV Bloopers Sponsoring of TV shows Madison an Vine technique Streamers, Decoration of Lahore, Dropping pamphlets from planes Print ads
Promotion Sales Promotion Free samples at launch Refrigerators to retailers Banners and decoration in shops Public Relations OmoreBasant Event, Lahore Concerts