Igloo Report

IGLOO Submitted To: SOBIA SHAUKAT Submitted By: (2125) (2195)

RAFIA NASEER SALIK ASHRAFI Submission Date: JANUARY 12, 2004

ACKNOWLEDGEMENT 1st We would like to thank miss SOBIA SHAUKAT for being a wonderful teacher with a difference. Also for her understanding individual students and motivating them to achieve understanding of a course we all thought fairly difficult to say the least. Thank you ma’am, we apologize for any mistakes in the following report. We have given it our best shot. 2nd WE would also like to thank all the staff of the company who helped us in compiling the answers required for this report. Special thanks to HATIM SHAIKH FAKHRUDDIN (BRAND MANAGER), he was really helpful and really cooperated with us. Even though we went to him at a very short notice. We would also like to thank MOHSIN TELI (owner of Pakistan dairy products (pvt) ltd) And last but not the least we would like to thank our family and friends who arranged for us to go to the company and meet people concerned with our report. With their help and criticism our report would not have turned out to be so polished. Sincerely, RAFIA NASEER SALIK ASHRAFI

LETTER OF TRANSMITTAL Miss SOBIA SHAUKAT Instructress CBM, korangi creek, Karachi. 12TH January 2004. Dear Madam, We are pleased to inform you that the marketing report you assigned for 12TH January 2004 has been completed. We have chosen IGLOOS COOKIES N CREAM as topic for the report. This report as per your instruction has covered all the authentic areas of concern and contains all the relevant information about the companies MARKETING environment, marketing mix in detail, competitor’s analysis, etc. We would dearly like to thank you for the faith you showed in our capabilities & the encouragement you gave us when assigning us the report. In this report you will experience concise idea about this report in the executive summary attached. We have tried our best to gather as much information as possible. All rules and regulations for the preparation of the formal & marketing report have been taken into consideration. If there is anything else you wish to know. We will be glad to assist. Thank you; RAF IA NASEER

(2125) SAL IK ASHRAFI (2195)

LETTER OF AUTHORIZATION Dear reader 12TH January 2004. The report prepared on IGLOO: COOKIES N CREAM was assigned by miss Sobia Shaukat faculty member at the institute of business management as the requirement of the course, principles of marketing and submitted on 12TH January 2004. We were required to select a product for the term report, which should contain the following topics: introduction to company, mission statement, marketing environment, target market, market positioning, marketing mix, product mix, competitor’s analysis. The overall discussion that took place is mentioned and explained in detail in this report, which has formatted in accordance with the format given to us. We have acquired great knowledge while conducting the research and preparing this report for which once again we are obliged to you. RAFIA NASEER (21 25) SALIK ASHRAFI

(21 95)

TABLE OF CONTENTS Title Fly.................................….. I Title Page...............................…. II Letter of Transmittal.............…...III Letter of authorization…………..….IV Acknowledgement...............……...V Executive Summary..............…....VI Table of Contents...................….VII 1.0.0 introduction to IGLOO 1.1 company background ………………………………….2 1.2 mission statement …………………………………………………….3 1.3 objectives of IGLOO………………………………………………………3 2.0.0 environmental factors affecting IGLOO 2.1 demographic 2.2 psychograhic 2.3 economic 2.4 technological 2.5 social-cultural 2.6 political 3.0.0 target market 4.0.0 market positioning statement 4.1 competitions: head on 5.0.0 market share 6.0.0 SWOT analysis

6.1 strengths 6.2 Weakness 6.3 opportunities 6.4 threats

7.0.0 current marketing mix of cookies n cream 7.1 products  Levels of product  Bcg (Boston Consulting Group) matrix  Classification of product  Ansoff matrix  Product lifecycle  Perceptual map of cookies n cream  Product mix 7.2 prices  Pricing approaches  Pricing strategies 7.3 places  Distribution network 7.4 promotions 8.0.0 competitor’s analysis 8.1 competitors of cookies n cream  Walls  Other competition 9.0.0 recommendation n conclusions  Product  New positioning statement

10.0.0 references………………………………………..………………………… 16

TABLE OF ILLUSTRATION

1. 2. 3. 4. 5. 6. 7. 8.

Objective of igloo company Target market chart Competition head on chart Market share pie chart Swot analysis chart Bcg matrix Ansoff matrix Perceptual map

9. Product mix chart 10. Distribution network

INTRODUCTION Ice cream signifies merriment, joy and happiness and is cherished by people of all age groups all over the globe. Consumers relish this immensely popular year round product with a demand spreading over various social segments throughout the seasons. Ice cream is a source of great merriment and delight with a rich and creamy taste, complemented by the nutritional nature of its ingredients like milk and butter. Keeping a health perspective in prime focus, only a few companies are dedicating their efforts to produce ice cream loaded with fun and nutrition. Companies have been trying to find new and better ways to market and make their products available to the consumers. Similarly Pakistan Dairy Products is a pioneer in introducing ice cream. Amongst these companies, IGLOO stands out as an unparallel provider of value through its enticing array of ice cream flavors in a sumptuous assortment to appeal diversified consumer tastes. All along, it has hallmarks a gigantic market presence as a household celebrated brand.

COMPANY BACKGROUND Operating under the aegis of Pakistan dairy products since 1976, IGLOO ice cream is the pioneer ice cream manufacturer in Pakistan. As a nation wide premium ice cream manufacturer, their emphasis has always been on providing consumers with quality ice cream with a vast variety that guarantees consumer satisfaction. The company operates from Karachi; however its distribution network covers a vast area of Sindh and balochistan. IGLOO stepped into the new millennium with a renewed vigor and commitment to provide value and quality to consumers as well as its dealers. IGLOO uses the choicest ingredients with imported milk and butter offering different variations to suit the consumer’s tastes and demands. The constant stream of new products

and promotion schemes launched since last two years can complement this. Specially designed tricycles that go from door to door, playing the famous IGLOO jingle, while selling the delicious products. IGLOO boosts a cosmic network of outlets located inside and outside Karachi that offers quality, taste, value and affordability all the time.

Keeping abreast with the changing trends, IGLOO has recently established ice cream parlours in various localities, under the name of ‘DIP SHOP”, that offer ice cream in a variety of flavours along with decorative toppings and very reasonable prices. IGLOO is a supplier of superior quality ice cream to many renowned restaurants and hotels of Pakistan. This is yet another reflection of Igloo’s determination and commitment to provide quality and taste to all. On the whole, IGLOO has the strongest and most delicious ice cream portfolio among its competitors, comprising 28 different products and packs with more than 28 flavours under the IGLOO brand name. The company’s focus is directed towards the packaging as well as the pricing of the products, making all its products easily affordable for the masses. Igloo’s strategy is highly consumer-orientated and it eaves no stone unturned to fulfill its promise of being the “Ice Cream Full Of Fun” Igloo’s product portfolio is continuously expanding and promises to provide consumers with unmatched flavours and product innovations. IGLOO emphasizes on providing consumers with quality and a vast variety of ice cream assortments for maximum enjoyment. One of the most successful ranges from IGLOO is the supreme range which has several unique flavours, like strawberries n cream, blue berries n cream, butter scotch n cream, coffee, chocolate crispy, strawberry cheese cake, Coffee Toffee COOKIES n CREAM, etc. these packs are available in exclusively produced reusable plastic bowls. The supreme range has become a major household favourite all over Pakistan. Besides IGLOO also offers other variety of exclusive products for all kinds of generations to enjoy. With ever-expanding range of products and flavours, and innovate sales techniques, IGLOO now stands at par with the best in the country.

MISSION STATEMENT

“ TO PROVIDE QUALITY ICE CREAM FULL OF NUTRITION, FUN & BEST QUALITY BACKED BY A LARGE VARIETY” From the biggest city to the smallest, most remote village, you will find our ice cream that have made successful. Look in any home and you will find our ice cream being enjoyed. THE PRODUCT RANGE Out of largely consumed range of scrumptious products, the supreme ice cream range is a market winner with its multitude of exceptional and unmatched flavors such as COOKIES N CREAM, available in the one litres category with reusable plastic bowls. The brand enjoys a continuous consumer drive towards its offerings due to its strategic approach and strong market impact in terms of differential variety and quality products. On the whole, IGLOO has the strongest and most delicious ice cream portfolio amongst its competitors! “Our aim is for our brand

OBJECTIVES OF THE IGLOO COMPANY

To capture a large share of the mass market. To provide maximum customer satisfaction. To meet the highest international standards of quality. Commitment to having a highest level of quality.

MARKETING ENVIRONMENTAL FACTORS AFFECTING IGLOO The company’s macro and micro factors encircle a vital role in shaping the opportunities & aiding the company to act accordingly. These are the aspects, which are beyond control of any business and must be taken into account. It can be taken as a trend-watcher in the demographic, economic, natural, technological, social-cultural, political-legal areas. All these environments need to be dealt separately before launching or manipulating any variable in the business. Taking our product in account these macro economic factors influence our product as follows:

DEMOGRAPHIC ENVIRONMENT: After analyzing the market IGLOO saw that consumers wanted some extraordinary flavor, different from what all the companies were making. So IGLOO thought of COOKIES N CREAM. This is a very much demanded products category. Ice cream is like by anyone and anyone. For our product we plan to capture both young and old market. Cookies n cream is portrays family love.

PSYCOGRAPHIC ENVIRONMENT: After thinking of this product the major concern was of WHICH COOKIE was to be used in the ice cream. Imported Oreo or local rite. So it was decided that Oreo would be used because it already has its own market. Apart from that it’s a premium cookie, well known for its quality and taste. From psychographic point of view, consumer’s perception of a premium cookie was taken into consideration. People

are very status conscious so by using Oreo in cookies n cream we have provided them the status and quality both.

ECONOMIC FACTORS: By creating cookies n cream, we are targeting the upper & upper middle class. It’s basically a product, which is worth Rs 115/-.

TECHNOLOGICAL FACTORS: Usage of a good & new technology for better quality, day by day technology advances and to keep up with this, the company has to be at its best to compete with its competitors. Igloo has ordered new machinery from abroad to reduce the time it takes to make the ice cream. With the use of new technology the ice cream will be even made in less cost.

SOCIAL-CULTURAL FACTORS: This being a general commodity doesn’t hold any major cultural barriers. Almost every individual desires ice cream. The ingredients would have caused problems if they weren’t halal. Due to good exposure through advertising and other promotions nothing has affected this product.

POLITICAL FACTORS: As businesses are strongly affected by political & legal environment, which encircles changes in laws, government agencies, pressure groups. After the September 11th events, it is hard to receive loans from banks as they are restricting their cash outflows, but due to the company’s goodwill this matter is not a major threat for us. The milk and cookies are imported from abroad, but due to war on Iraq and Afghanistan there is a treat of restrictions on imports. This would cause problems for IGLOO. Although the positive features are that the government is laying a lot of emphasis on locally produced items. Thus Igloo Company has and

overhand on this factor. They produce locally, except for that they use imported ingredients!

TARGET MARKET People living in urban dwells of Pakistan belonging to middle and upper class who shop in categories A & B retail outlets. Our target market is mostly young and energetic people and oldies as well who are fun loving, family loving and extrovert. This group is both male & female, aged 16-50. Members of this group purchase ice cream for different occasions, they want that type of ice cream that give them enough opportunity to indulge their feelings and emotions in an unusual and special way.

MARKET SEGMENTATION Personal Characteristics Age Gender Education

• • •

Marital status Social class Occupation

• • •

Psychographics Interest Opinions

• •

Personality

•

Behavioral Occasions Benefits

• •

Usage Rate

•

16-50years. Male, Female. Going to or went through High school and college education. Single, Married. Upper middles, & upper class. Students, professionals, career people.

Family Having fun, friends and good time. Under western influence, considers top of the line products friendlier and want unique things. Independent, extrovert, friendly, expressive, fun loving, INNOVATORS.

Eids, Birthdays, Anniversaries, Special days. Convenience, positive feelings, creation of bond, relationships. Light to medium Users.

Attitude Towards product Readiness Toward Product Geographical Region City Density Climate

• •

Enthusiastic, Positive. Interested, Intending to buy.

• • • •

All. Concentrated in Hyderabad and Karachi. Urban. Southern (moderate).

MARKET POSITIONING STATEMENT

Our brand will be positioned as most convenient ice cream because it offers the best selection. There is a sense of reliability, comfort, and confidence in knowing that “ ICE CREAM FULL OF FUN ” will always be there to cheer you up, and provide you the best taste.

COMPETITION: HEAD ON

IGLOO ICE CREAM

WALLS ICE CREAM

Innovators of COOKIES n CREAM.

Followers of COOKIES N CREAM.

Pioneers in plastic packaging.

No plastic packaging.

Poor financial backing (private).

Strong financial backing (MNC).

Concentrated in only hyderabad & Overall market presence. Karachi. Distributors are Very large Very few distributors. number.

MARKET SHARE

in

Ice Cream Category Market Shares

13% 15%

72%

Walls Igloo Others

The ‘SWOT’ Analysis We have prepared the following SWOT Analysis for igloo.

STRENGTHS: • • • • • • • • • •

Brand Image. Brand recall is high. Quality is one of the best in the market Large variety. IGLOO has always had a much-focused strategy. They entered the Pakistani market with an aim to capture all segments with this novel ice cream. Igloo’s distribution network is extremely strong among the other ice-cream brand brands available in the market. Another major strength of igloo emerges from the fact that it has the maximum of the market share in Pakistan concerning cookies n cream. Igloo is not new to the quality ice-cream market. Before it launched other ice cream flavours in the same category” supreme”, the company had an existing range of ice cream catering to different international markets. It is perceived by the consumers to be a brand that focuses on family values, on care and most importantly quality. It has developed a name for itself in the food market of providing premium, high quality and safe products.

• OPPORTUNITIES: • • • • • • •

Westernization of Pakistani Society Relatively good growth of market A major opportunity for igloo exists in the ice cream industry. It could position itself as a strong alternative to ice cream parlours by providing the same range of flavours and variety. Igloo could introduce a variant of its existing product such as sugar free and low calory ice cream. Igloo could still improve its distribution network. Presently igloo mainly caters to Karachi and Hyderabad outlets. Igloo should help broaden the consumer base for the product and develop new markets. An open avenue for igloo exists in the area of event sponsorships. A very important opportunity for improving igloos image could come from social cause marketing.

WEAKNESSES: • • • •

Lack of focus due to multiple brands. Unhealthy competition in the corporate culture. DIRECT competition from Walls and Yummy. Igloo must concentrate on heavy promotional advertising in order to maintain its market share. More enthusiastic efforts need to be carried out.

THREATS: • • •

Threat of bigger competition in the next two years, new entrants of course poses a forever-occurring threat. Instability of Pakistan’s Political system. Keeping in view the current world affairs specially the Afghan war, Iraq war and the extent of international involvement it could be a possibility that imports into the country are stopped. This would mean that raw material supply of OREO cookies for igloo would be interrupted.

*--------------------------------------------------------------------------------------------------------*

CURRENT MARKETING MIX of

COOKIES N CREAM A.

PRODUCT:

IGLOO SUPREME ICE CREAM (SPECIAL

EDITION). A mouth-watering combination of Oreo cookies & rich ice cream! Real Oreo cookies, stabilizers, emulsifiers, food colors and flavours. Made with pure milk & butter. Company price Rs 98.50/-, retail price Rs 100/-, sales tax Rs 15/-, and consumer price Rs 115/-.

LEVELS OF PRODUCT: 1. CORE PRODUCT: ice cream 2. ACTUAL PRODUCT: the brand name COOKIES N CREAM, imported OREO COOKIES, vanilla ice cream, the unique and eye-catching packaging. 3. AUGMENTED PRODUCT: guaranteed satisfaction, and the customer services center, to call if consumers are dissatisfied or have questions. *--------------------------------------------------------------------------------------------------------*  BCG MATRIX: Igloo ice cream product line:

RELATIVE MARKET SHARE

High

Low

COOKIES N CREAM

Low

MARKET GROWTH RATE

High

 CLASSIFICATION OF PRODUCT: The product can be classified as a convenience product but some consumers may also take it as a shopping product. It is a convenience

product because little planning is done and there is little comparison and low shopping effort involved. The reason it may also be called a shopping product is that it is not so frequently purchased and the consumer may be double-minded to purchase some other brands available. Also the price is higher as compared to other FLAVOURS in the SAME brand. *--------------------------------------------------------------------------------------------------------*

 ANSOFF MATRIX (STRATEGY EMPLOYED): Igloo has adopted a strategy for company growth by offering a new product to its current market segment.

EXISTING

EXISTING

NEW PRODUCTS

PRODUCTS Market Penetration

Product

MARKETS

Development:

NEW MARKETS

COOKIES N CREAM Diversification

Market Development

*-------------------------------------------------------------------------------------------------------*

PRODUCT LIFE CYCLE: Basically Ice Creams after being manufactured remain in the same good premium quality till a period of 20-25 days. After the time elapses the quality starts detoriating and the taste never remains the same. So the companies have to make sure that in order to maintain the same quality They change the product that has neared its due date and replace it with the new ones so as to satisfy customer. If one looks at a category, the product life cycle seems to be an important determinant for all sorts of decisions. These may involve

pricing, promotion, marketing etc. Generally a product should be kept in the growth stage as long as possible. If we look at our product COOKIES N CREAM, it is in the GROWTH stage. However we feel that due to the amount of awareness in the market, and the sales figures crossing targets, the product can be seen in the MATURITY stage. This assumption is very important, as all the strategies would be affected by this decision. In the market, growth is also associated with increase in sales. This leads to the market becoming more attractive. *--------------------------------------------------------------------------------------------*

PERCEPTUAL MAP OF THE PRODUCT (COOKIES n CREAM) HIGH QUALITY

IGLOO (COOKIES n CREAM)

LOW QUALITY *-----------------------------------------------------------------------------------------------------*

PRODUCT MIX

RANGE

SIZE FLAVOURS (LITRE)/RS .

1) CLASSIQUE

1 LITRE RS65/½ LITRE RS35/1 LITRE RS 100-115/-

2) SUPREME

3) FUNDAE CUP 4) SLICES

RS 20/-

5) LOVE, DESIRE, BANANA REPUBLIC. 6) TEMPTATIO NS

1 LITRE RS 65/-

7) IGLOO

-------------

1 LITRE RS8O/½ LITRE RS50/10 LITRE --------------

8) LARGE CUP 9) MINI CUP 10) CONES

RS 15/

11) DIET IGLOOS 12) OTHERS INCLUDE

RS 22/-

13) CAKE 14) FAMILY DELIGHT

RS 160/RS 110/-

RS 10/RS 15-20/-

RS 5-10/-

Peach, White vanilla, Shahi kulfa, Pistachio, Chocolate, Orange, Pineapple, Mango, Pine Cool, Strawberry, Tutti fruti. Strawberries n cream, vanilla n chocolate fudge, chocolate & chocolate chip, choc o mint, pinacolada, caramel crunch, pista nut, mango n cream, dates n almonds, blue berries n cream, butter scotch n cream, coffee, chocolate crispy, strawberry cheese cake, Coffee Toffee COOKIES n CREAM. Chocolate, strawberry, pineapple. Vanilla, Shahi kulfa, Pistachio, Chocolate, Mango, Strawberry. Strawberry n vanilla, chocolate n vanilla, banana n toffee. Shahi kulfa, chocolate chip, mango.

ALL scoops available in 10-litre packing. (An average of 100 scoops in each packing) Vanilla, chocolate, mango, Tutti fruti, Shahi kulfa. Vanilla, orange, strawberry, pistachio. King cone, Royal Butterscotch Cone & royal cone. Vanilla & strawberry. CREAM POP (vanilla), MAMAMIA, TROPICA, KOOL KULFI, SIGNAL POP, REAL FALSa BAR, CHECKER, TURTLE, CHOC ICE, CHOC BAR. -------------------------------------------The Real Ice Cream Cake

B. PRICE The COOKIES n CREAM ice cream pack is available for rs.115. It is a very reasonable price charged by igloo because of the imported milk and cookies used in it. This price is set after giving a discount/ allowance of 17% to the retailers.

 PRICING APPROACH INVOLVED: The pricing approach involved is VALUE BASED. COOKIES N CREAM has set price based on the consumers’ perceptions. In other words they are offering just the right combination of quality and a good product at a fair price.

 PRICING STRATEGY INVOLVED: The pricing strategy involved is PRODUCT LINE PRICING. IGLOO has a range of ice creams available in the market and so it has set the price steps between various products in its product line of ice cream. This strategy has been employed because of the cost differences between the products, customer evaluations of different features; and competitors’ prices. The various products in the product line are of 100rs whereas for cookies n cream they are charging 115rs;this is due to the fact that they are using premium cookies (imported cookies: Oreo). *----------------------------------------------------------------------------------------------------*

C. PLACE Ice-Cream industry comprises of wrapped impulse and multi pack family markets. Both are equally potential markets having many competitors from local to multinational firms. Sellers try to develop differentiated offers for the different customer segments and for this purpose it would be hard to find a premium ice cream like COOKIES N CREAM in a small general store in old city or Malir since quality tends to deteoriate. Therefore adequate distribution is necessary so that the target market tends to get COOKIES N CREAM suppliers from the COOKIES N CREAM is distributed directly by IGLOO and no external distributors are used.

Many Ice-Cream firms give free deep freezers to the retailers so as to promote sales and usage of their product. IGLOO did this very extensively Having 2000 deep freezers in over all Sindh and 3000 deep freezers In Karachi. The retailers are forbidden to put the products of their competitors in these freezers. A sticker showing all the product line of the firm is present on almost sides of the freezer so that customers know which are the other flavors and other new Ice-Creams introduced by the company. Credit policy is given under various circumstances and policies are made lenient during low sales seasons. Discounts and allowances are also common and special promotional prices are also given to stores having high daily sales and goodwill. The price prevailing of the competitor’s products in the Ice-Cream industry helps a great deal as to promotional and pricing strategies to adopt. DISTRIBUTION CHANNELS: The strong channels also play an eminent role in the brand building along with a consistent positioning that supplements the company’s efforts in giving the market what they want most- premium quality ice cream range. At present, IGLOO is providing its range of ice cream to the valuable consumer segments through numerous channels, which are as follows:  TRIKES: these being the specially designes tricycles that indulge in door-to-door sales activities, playing the famous IGLOO jingle, while providing delicious IGLOO products to households of all and sundry at their doorstep.  RETAIL OUTLETS: IGLOO boasts strengthening a vast network of strategic outlets located in various cities and towns of Pakistan. While offering premium quality, taste and expressive value for money every time, all the time, these outlets are an instrumental link between IGLOO lovers and the company.  ICE CREAM PARLOURS: keeping abreast with the changing trends, IGLOO has recently established ice cream parlors at various ideal locations in Karachi that are adding to the attraction of ice cream in a variety of flavors along with decorative toppings, all conveniently and enjoyably.  INSTITUTIONS: IGLOO is the supplier of premium quality ice cream to many renowned restaurants and hotels of Pakistan. This is a revelation too igloo’s uplifting determination and promising commitment to provide products f superior quality and taste to all.

DISTRIBUTION NETWORK OF COOKIES N CREAM

IGLOO (PRODUCER)

IGLOO own Distribution system

Retailers (COOKIES N CREAM)

FIANL CONSUMERS

D. PROMOTION We consider this to be the key element in the marketing mix for our product. Our consumer is not highly price conscious. As far as the advertising is concerned, the company did advertise on TV not only on local channels but also on Indian channels example STAR PLUS. There were a few reasons for that. First and foremost, how much of the target market would be reached by TV advertising for this brand was high. The reason being that the target market of COOKIES N CREAM would mostly be engaged in watching satellite TV families watching news would see the ad on GEO NEWS, WOMEN watching PLAYS would watch the ad on STAR PLUS and old people watching Pakistani channels would also get the message.

Just after 2months the product was to be launched, Yummy and walls resorted to making the same flavor of ice cream. IGLOO has also promoted COOKIES N CREAM on print media, radio, hoardings and magazines. The final goal of the advertising was to introduce trial amongst the target market. However now there is good awareness of the brand in the market. The next ad would focus on motivation for the consumer to buy a COOKIES N CREAM. Benefits of the product or any promotion could be included. This ad will have to blend in the life style of the consumer and thus will reflect a few things the people in the target market actually do. The point to remember and emphasize on is that COOKIES N CREAM is about family love. IGLOO also actively participate in all the important events and occasions of the calendar year which includes: Eid Basant Valentines Day Mothers Day *--------------------------------------------------------------------------------------------------*

COMPETITOR ANALYSIS “By knowing our Competitors we may be able to predict their next moves, exploit their weaknesses and undermine their strengths.” Marketing should include competitor analysis. And while doing this, the following questions should be answered: Who are your competitors? What customer needs and preferences is you competing to meet? What are the similarities and differences between their products/services and yours? What are the strengths and weaknesses of each of their products and services? How do their prices compare to yours? How are they doing overall? How do you plan to compete? Offer better quality services? Lower prices? More support?

Easier access to services? How are you uniquely suited to compete with them?

Competitors of COOKIES N CREAM: In order to define the correct set of competition for our product, we need to take into consideration a few things. First and foremost the kind of competition we will focus on. Competitors for IGLOO in general are many; in fact they include all the ice cream providers. However for COOKIES N CREAM we would like to define our competition strictly in terms of the target market. In this definition we would consider the product category level. In general the list of competitors would include the following.  WALLS cookies n cream  Moven Pick Ice cream  Snoopy Ice cream parlor  Gelato Affairs Ice cream parlor  Imported Ice creams like Haagen Daaz, Dove, and galaxy available at places like Aghas In this list we consider WALLS cookies n cream to be our main competitor due to similar attributes of the product and a very similar target market. For the purpose of analysis we will group the competitors into two. First we would discuss our main competitor i.e. WALLS cookies n cream and then the rest in one group.

WALLS: COOKIES N CREAM. General Information About WALLS This is a product of lever brothers Pakistan limited (makers of walls Ice cream) and have positioned themselves as the main competitors of igloo COOKIES N CREAM. At the time of launch of WALLS COOKIES N CREAM. The main aim was to counter the growing market share of the ice cream market by IGLOO. The core business of WALLS is that of take home liter packs, imported premium ice cream bar, MAGNUM, lollies, etc.

Product Walls cookies n cream is very similar to igloo cookies n cream. When it comes to product attributes. It is the same cookie and vanilla flavor. However, igloo claims that it has one particular advantage over walls in terms of product attributes. Also they emphasize that the quality of igloo is much better than walls.

Price Consumers prefer to buy a igloo’s cookies rather than an walls cookies n cream. Even if they do have to pay a little extra than the remaining range. As per now we forecast Igloo to continue with its current strategy in terms of price. Frankly there isn’t much walls can do here with this marketing mix variable of price.

Promotion Even though walls have spent a lot of bundle on advertising, still it has not been able to gain igloos market share for this particular product.

Place In terms of price walls followed the same strategy as igloo. The distribution was limited and it was only made available at selected places.

Other Competition As mentioned earlier in our list of competitors we consider foreign chains and ice cream parlors to be some source of competition for us. These parlors or products basically provide choice to the consumer for satisfying their need for ice cream. We mentioned earlier that these competitors have to be monitored in terms of market entry distribution etc. For Example: Moven pick has an Ice Cream parlor at park Towers. This needs to be analyzed as to its impact on the sales of igloo cookies n cream. Also small packs of Moven Pick are available at few locations with the smallest pack costing Rs 55. Even though this product is priced above cookies n cream, it can pose to be a serious threat. Other competitors as mentioned include ice cream parlors like Gelato Affairs, Snoopy etc. The problem with these companies is that they cannot

create awareness like igloo. People will only come there if they know about it. Amongst the ones mentioned snoopy is the oldest and has the greatest no of outlets. The advantage these parlors have is that of the atmosphere. They provide not only ice cream but also a place to sit. No company selling an OTC product can offer that. One other small source of competition is the foreign ice creams available at places like Aghas. These are priced very high and this makes them a source of very little competition for our product. *--------------------------------------------------------------------------------------------------------*

RECOMMENDATIONS & CONCLUSIONS

The major point that we consider is that igloo should become an ISD, so that they can import their ice cream on a broader scale.

Product More emphasis has to be placed on promoting the product and increasing brand awareness and brand recall rather than trying to modify a product that is already doing quite well as per expectations, objectives and targets set by the company. Long-term suggestions are such that we feel igloo should look into more flavors as are available abroad.

New Positioning Statement: We have come up with two new positioning statements for COOKIES N CRTEAM: 1) “Great for your heart.” 2) “The ice cream with more taste.” Igloo Pakistan is a giant in the market. In general we would like to present the following suggestions if COOKIES N CRTEAM is to stay in the market  Igloo needs to concentrate a bit on its distribution strategy and increase the availability at unique places like clubs.  The consumers received the concept of Brand Experience but still if the new users are to be motivated, the ad campaign should be made more attractive.  If no motivation is provided to the consumers, they will not buy any more COOKIES N CRTEAM.  The company will have to consider television advertising as a long run strategy. However this should be done after there is no chance amongst the consumers. *------------------------------------------------------------------------------------------------------*