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Dalda
1. DALDA
Synopsis:
Dalda is the product of Lever brothers Pakistan which has
recently changed its ownership to Unilever (Pakistan) Ltd.
The pricing of the pricing of the product is in the range of
middle class but also is liked by upper income strata group.
The product has a long standing of 30 years and has
completed with products like Tallo, Kashmirs Gul etc.
Promotion strategy of Dalda aims at mothers and children
and the punch line goes, “Jehan Mamta Wahan Dalda”,
or where there is motherhood there is Dalda.
The physical distribution of the product is widespread and
it is available to the interested buyer in 2-5 kg or 5 kg tins or
1 Kg plastic bags. It targets multiple segments but these
segments include middle and above middle income
groups.
2. (2)
ASSIGNMENT:
Dalda is produced by Lever Brothers Pakistan
Limited (Tel111-787-787). There are various environmental
forces that influence the marketing activities of Lever
brothers. External forces which are largely uncontrollable
by the producers and internal forces within the Lever
Brothers that are generally controllable by management.
Dalda’s producer’s manages its marketing system within
this external and internal environment. To start with
management of Lever Brothers have set up a system for
environmental monitoring the process of gathering and
evaluating environmental information. Six broad variables
constitute the external environment that generally can not
be controlled by Lever Brothers. It includes Demographic
conditions, economic conditions such as business cycle,
inflation, and interests rates. Lever Management is aware
3. of these macro influences. They are having intimate
knowledge of the var5ious types of competition I
(3)
competitive structures, social and cultural forces I cultural
changes, Political and legal forces and technology. The
external environmental factors comprise of suppliers,
marketing intermediaries and market itself. It is vote worthy
that these elements of the producers of Dalda’s marketing
system are being controlled to an extent. Simultaneously
the non marketing resources within Lever Brothers such as
production facilities, personnel, finances, location,
research and development, and the image as a company
are influencing the marketing system of Dalda. The
aforementioned various are generally controllable by the
management of the Lever Brothers Pakistan Limited.
The Management process of Lever Bothers
comprises of planning, implementation and evaluation.
4. Planning is carries out through strategic company
planning, strategic marking, Planning and annual
marketing planning. The strategic company planning
(4)
encompasses planning in different functional areas of
Lever Bothers and especially the marketing. The strategic
marketing planning consists of conducting situation
analysis, developing of objectives, positioning differential
advantage, selection of target markets; measuring
marketing demand; designing a marketing mix and finally
yearly marketing plans for Dalda. The marketing plan is
bases on the accurate forecast of demand for Dalda. The
forecasting is carried out through market factor analysis,
survey of buyers intention, test marketing, past sales, trend
analysis, sales force composite and executive judgment.
The secret is use of appropriate technique in a given
situation to precisely forecast. The Management
information system of Lever Brothers is the set of
5. procedures designed to generate, analyze disseminate,
store and retrieve information for use in marketing decision.
The marketing research is conducted through gathering of
primary data, a survey, observation, or experiment may be
(5)
undertaken. The decision support system is the interaction
of management with the data for determining the
effective satisfaction of customer.
The total market of Dalda is divided into two
broad segments ultimate users and business users. It is on
the bases of type of customer, size of customer and type
of buying situation. The selection of the target market has
been carried out through market aggregation since it
involves one marketing mix to reach masses. The buying
behaviour of ultimate consumer has been examined
through the buying decision process, information, social
and group forces, psychological forces and situation
6. factors. The business market in case of Dalda is the noted
industry specifically the Restaurants. The buying process of
business users takes place through direct purchases
excluding the middle man. Continuous supply is the key to
Dalda success. The first commandment of marketing to
(6)
know the customer and to know they product is practiced
in case of Dalda. The Dalda producers have a cutting
edge being a long standing successful company to which
a number of qualitative products are attributed. It may be
easily described as a product line. The scarcity of the
natural resources of the natural resources used in Dalda
and a growing concern for health issues creates a crucial
aspect of Daldas invention. The Lever Bothers have full
understanding of its product. It is simply the customers
buying satisfaction. Dalda has gone through the process of
adequate demand, felting with in company’s marketing,
production and financial resources. Management at Lever
7. Bothers have a clear understanding of the diffusion
aspect. Strong support from top management is clearly
visible in the case of Dalda. The company has selected
appropriate product mix in terms of positioning, additions
to a line, design alternative and packaging. The
executives of Lever Bothers understand very clearly
product life cycle
(7)
reflecting the total sales volume of Dalda. The promotion
of Dalda is well managed through brand, package,
Labeling design and quality. Warranty and postal service
are not precisely applicable to Dalda in its rigid meaning.
The responsibility of brand ownership in terms of
maintaining a consistent level of quality. The brand is
protected to an extend from becoming generic. The
brand Dalda is an asset to the lever brothers since its brand
equity is well established. Its trade mark is protected. Sizes
of various weight and packing are available such as 1 Kg
8. plastic, 2.5 Kg Tin and 5 Kg Tin. Labeling is in detail with the
ingredient alongwith address and telephone number on
the product packing. The good design of Dalda is a factor
in its successful marketing with projection of quality image.
The product quality has eliminated the differential
disadvantage and it is the other way that is Dalda has
been giving (rather) a differential advantage over its
competitors which are virtually non existent at the level of
(8)
Dalda production and sales. The amount of money or
other items with utility needed to acquire a product is
referred to as price. The major pricing goals to earn target
return on investment or net sales, maximizing profit,
increasing sales, holding target marketing share, stable
pricing and meeting competition prices are all practiced
in case of Dalda. The demand for product, competitive
reaction, strategies for marketing mix elements and costs
of the product are being successfully achieved in case of
9. Dalda. The determination of base price of Dalda through
cost plus pricing, marginal analysis and setting the price in
relation only to market have been coordinated at a level
that enable Dalda to have its desired level of share in the
target market. The Dalda is above the levels of primary
competition in terms of pricing.
Strategies for discounts and allowances are
implied from time to time for compatibility with rest of
(9)
marketing mix. The manufacturers of Dalda are not
directing it through price competition in strict meaning. The
Company is concerned with resale price maintenance
with in legal framework. The methodology of the Dalda
producers is a stable pricing with thrust on differential
advantage through other aspects of marketing mix i.e.
offering destructive appealing product promotion.
10. The product Dalda of Lever Bothers is effectively
getting distributed. The essential function of flowing of
Dalda to its consumers is well established. The distribution
channels including producer, final customer and the
middleman participates efficiently in case of Dalda. The
delineating role of distribution with in the marketing mix,
selection of proper distribution channel, determination of
the appropriate intensity of distribution and choosing of
specific channel members have been very well
maintained and carved over a period of time by Dalda.
(10)
Multiple channels are applied by Dalda. The corporate,
contractual and administered distribution all have been
practiced by producers by Dalda and an effective
physical distribution of the product is evident from the
ground realties. The nature of market, middle man and the
Company itself has been well considered in selection of
distribution channels. The Company views its channels as
11. partners with a good degree of coordination and
distribution. The retailers of Dalda are serving as purchase
agents for its consumers and as sale specialists for the
Lever Bothers and Dalda wholesalers. The management is
attentive about the physical distribution system of Dalda in
terms of inventory location and warehousing, materials
handling, inventory control, order processing and
transportation. These five activities mentioned are being
effectively managed with complete understanding of
centres of distribution, economic order, and quantity, in
time processes and inter modal transportation. The Dalda
(11)
manufacturers have a promotion campaign as a
coordinated series of efforts built around a single theme
and designed to reach a predetermined goal of success.
Careful planning is exercised in coordinating advertising,
sales promotion, public relationing and publicity. The
budget of promotion is set as a percentage of past and or
anticipated sales. It is astonishing that Dalda has
effectively stayed in the market for decades and has
12. competed with Kashmir, Tullo and Gul in the past. Presently
Shama, Gulab, Khyber and many other products in the
market are competing Dalda. The issues pertaining to
health have effected the market and cooking oil with low
cholesterol has become a fashion. Even Dalda’s producers
with the name of planta are producing oil for cooking. The
Dalda’s share in the market has increased and it is in if the
cooking oil are considered separately. The price,
promotion, physical distribution and product planning
have been well established and maintain its effectiveness
interns of revenue for the Liver Brothers.