Needs to write assignment

BU 504 PROJECT COVER SHEET

STUDENT NAME: RAUSHAN IBRAYEVA

Name of your selected product: Nestle Milo

Real product / Fictional product

WORKSHEET ONE: FULL PRODUCT	WORKSHEET TWO: (2) TARGET MARKET	WORKSHEET THREE: FULL
DESCRIPTION, MAIN COMPETITORS,	PROFILES, CHOSEN ADVERTISING/MEDIA	CREATIVE BRIEF, DESIGN
FORMER MKTG, FULL 4P ASSESSMENT	PREFERENCES OF EACH GROUP & WHY	STRATEGY—PROJECT ADS

NESTLE MILO 1

NESTLE MILO 3

What interests you in this product and what is your experience with it?

BU 504 COURSE PROJECT: WORKSHEET 1

STUDENT NAME: RAUSHAN IBRAYEVA

Name of your selected product: Nestle Milo

What interests you in this product, and what is your experience with it?

One of the most interesting things about Nestle Milo it’s the great aroma and unique taste that makes one to want more. With or without sugar added into it, the drink is very delicious and can also be mixed with either hot or warm water depending with the preference of the consumer. Secondly, it is a beverage suitable and recommendable to all members of the society. Life is by itself very challenging and daily activities leaves one weary, exhausted, and even fatigued. Nestle Milo is a legendary beverage that has been used for generations to provide the body with the much-needed vitamins, minerals, and energy. Taking a single cup of Nestle Milo leaves one rejuvenated and happy about life and the entire body is ready to handle the challenging tasks. The more reason is that the energy obtained from Nestle Mile is supplied to the brain and the nervous system.

FULL PRODUCT DESCRIPTION

Nestle Milo is a beverage manufactured and packed by Nestle Company. The company was founded in 1934 by Thomas Mayne who was an Australian industrial chemist and inventor. Thomas developed milo and it was launched during the Sydney Royal Easter Show (Stevens, 2010). Production and packaging of milo for sale to the general public was commented in one of the company’s plants located in Smithtown near Kempsey located in the North Coast of the New South Wales. The name was derived from an ancient athlete by the name Milo of Croton due to his great strength. Nestle Milo is a mixture of chocolate and malt powder and the mixture is mixed with hot or warm water or milk to produce the aromatic beverage. The product is popular in different parts of the world for instance; South America, Australia, Southeast Asia, Africa, and Oceania (Stevens, 2010). The beverage made from the product can be used for breakfast or in the course of the day. The Milo powder is normally packed in a green tin with the outside depicting different sporting activities.

Nestle Milo have the following benefits:

1. Contains Calcium to Promote Strong Bones

2. Milo Is Packed with Iron

3. Excellent Source of Energy

4. Supports Immunity System

5. Supports Children’s Development

6. Contains Carbohydrate

7. Helps Optimizing the Nutrients Absorption

8. Nourished Drink for Healthy Diet

9. Excellent Snack Ideas

10. Tasty and Healthy Breakfast Option

MAIN MARKET COMPETITORS AND WHY

The beverage industry is highly competitive and milo has the following brands as direct competitors; chocolate, tea, cocoa, coffee, Nesquik, Ovaltine, Horlick, Boost, Viva, Trumoo and also Australian Milo. The above listed products have similar ingredients as Nestle Milo something that makes them serve the same purpose (Ngetich, 2010). It is easy for clients to use any of the products and have the same needs met. However, Nestle Milo is aware of this reality and hence has applied another tactic to gain a competitive advantage which is pricing structure. To start with, all the competing brands though from different companies have a similar packaging with the smallest being a 50gm sachet and the biggest being 1kg tin. Nestle Milo has embraced a unique pricing structure where the higher the quantity the lower the price as this helps in encouraging clients to buy bigger packages. In other companies, there is a specific price for a specific amount for instance 1kg of Nesquik (Ngetich, 2010). For instance, if 1kg of Nesquik costs $150, the lesser amounts have their prices obtained from the specific amount which means at whether a company buys the products in large quantities or not, the pricing remains the same.

DESCRIPTION OF MOST NOTABLE HISTORICAL MARKETING CAMPAIGNS OF COMPETITORS AND YOUR SELECTED PRODUCT:

Nestle Milo has had a series of noticeable historical marketing campaigns that have helped in creating the right brand image in the market. One of the historical campaigns was 1936 and it entailed a father, mother, and their young son during winter as they are covering themselves with an umbrella. They are hurrying home and slightly beneath the family is strategically located a tin of Nestle Milo with the following remarks “increase your resistance to winter ills” (Ngetich, 2010). Also, in 1945, the company designed another marketing campaign that have become historical as it captured volley ballers engaging in a sporting with enthusiasm after enjoying a cup of Milo. The competitors like Nesquik have had different historical marketing campaigns like use of children in their adverts as they target children.

IN EACH OF THE 4P SECTIONS BELOW, USE YOUR PROJECT RESEARCH TO PROVIDE YOUR ANALYSIS OF THE FOLLOWING:

PRODUCT:

Nestle Milo is a product that is used by consumers as breakfast or a snack in the course of the day that would help in relaxing the brain and the nerves and at the same time add energy to the body. The Nestle Company has addressed the product aspect of the 4Ps of marketing. The more reason is that the product is of highest quality, the design and branding of the packing tins and sachet is unique and uses an easy to detect color “green” with slight of brown which is the color of milo. The product is conveniently available and it is easy to use since one needs hot or warm water or milk and mix the two together until a desired texture is obtained. One can add sugar or consume it without sugar.

PRICE:

Price is one of the most used marketing strategies that the Nestle Company prefers to apply. When introducing the product to new market, the company uses penetration strategy in order to attract a high number of clients and at the same time penetrate deep in the market. According to De Toni, et al., (2017); also psychological pricing strategy is applied to create the desired emotions and attitude on clients.

PLACE:

Nestle Milo is available in almost all retail outlets in respective regions that the company has penetrated. The products are sold in retail to clients and wholesale to people in business for instance wholesalers and retailers.

PROMOTION:

Different strategies are used to promote the Nestle Milo product. These strategies include; discount offers, free gifts whenever a large quantity package is purchased, and special offers. Advertisements are done for instance road shows, television adverts, website and social media adverts, and also publications. The company also sponsors international and local sports to create brand awareness.

BU 504 COURSE PROJECT: WORKSHEET 2

STUDENT NAME: RAUSHAN IBRAYEVA_

Name of your selected product: Nestle Milo

CHARACTERISTICS	PRIMARY TARGET MARKET	SECONDARY TARGET MARKET
DEMOGRAPHIC
M/F/Gender complex? Ethnicity? Religion? Income? Education?	Females and males between the ages of 15-55 All All Middle and high income earners College and University education	Females and males between the ages of 1-14 and over 56 years Nil Nil Low income earners Non educated and those educated up to high school level of learning
LIFE STAGE
Age (range)? Living situation? Health/Health Issues? Life Experience?	15-55 years Independent, single, independent/coupled, independent w/dependents Healthy and those with mild health issues Best for people with or without a life experience	1-14 years and over 55 years Living with parents and also those away from parents but still receive support from parents With complex health issues Those who does not have a good experience with beverages

CHARACTERISTICS	PRIMARY TARGET MARKET	SECONDARY TARGET MARKET
GEOGRAPHIC
Where do they live? (Local, regional, national, global description)	In different parts of the developed world for instance; Australia, US, Canada, Europe, and Germany.	Developing countries like African countries and Asian countries
PSYCHOGRAPHIC
Lifestyle? Social Class? Influences and Social perceptions? Life Experience?	Corporate and adventures who believe in good health and being happy Middle – high Attitudes, values, opinions, lifestyle Good	Those who do not grant their happiness and good health a priority Middle – low Motivated by expectation, aspiration, inspiration, membership, lifestyle No experience
BEHAVIORAL
Typical Usage Patterns? Typical Loyalty Patterns? Risk/Avoidance Patterns?	Daily usage for loyal clients Reliable The product has no risks since it does not pose a threat on the life of the consumer	Used together with other competing brand. For instance, a client can consume tea in the morning and Nestle Milo as ten o’clock tea Some clients are not loyal

CHARACTERISTICS	PRIMARY TARGET MARKET	SECONDARY TARGET MARKET
NEEDS / DRIVES
Motivated by problem resolutions? Motivated by improved benefits?	Health benefits involved	Refreshment and relaxation
MOST EFFECTIVE MARKETING MEDIUMS AND REASONING	PRIMARY TARGET MARKET	SECONDARY TARGET MARKET
Specify TWO most relevant media preferences for each target market and explain.	Social media and company website	Television adverts and bill boards

The Nestle Milo has targeted the best and reliable target markets that are classified as primary and secondary targets. It is a good thing that the company grants the right attention and investment to the specific target market segment and reliable marketing strategies and Medias are used to reach out to the target market (Vander Schee, et al., 2011). It is also a good thing that the company has been using technology to upgrade marketing techniques something that keeps the marketing strategies aligned with changes in market demands and lifestyles. However, it is evident that the products are available and marketed to only a small segment of the global market which means that the company is yet to explore available opportunities in the market.

BU 504 COURSE PROJECT: WORKSHEET 3

STUDENT NAME: RAUSHAN IBRAYEVA

Name of your selected product: Nestle Milo

CREATIVE BRIEF / DESIGN STRATEGY / PROJECT ADS

PRODUCT:	Nestle Milo
I.M.C. OBJECTIVES: (Proposition/Selling Idea)	Ensure that the message being delivered is clearly communicated in a precise manner.
TARGET AUDIENCE:	Both males and females regardless of their age, gender, culture, educational background, social background and religion
BACKGROUND INFORMATION: (Consumer insights/Support)	The health of a person is the most important thing that every member of society should be concerned about and focused on taking care of. Nestle Milo is one of the best and high quality products that have the right nutrients and minerals that grants the body energy and vital nutrients to excellence performance.
MESSAGE THEME: (Creative Direction)	Improved health and lifestyle
CONSTRAINTS: (Brand Imperatives/Media Imperatives)	Company logo, selected brand color which is green, and action of sporting activity.

ADVERTISING DESIGN STRATEGY

Comfortable life	Inner peace	Self-fulfillment
Equality	Mature love	Self-Respect
Exitement	Security	Sense of belonging
Freedom	Pleasure	Social acceptance
Fun, exciting life Happiness	Salvation Personal accomplishment	Wisdom

Also, what type of advertising appeals or approaches is effective for your target customer?

Fear Humor Sex

Music Rationality Emotions Scarcity

Two different types of adverts have been prepared that captures a series of factors as highlighted above. One of the adverts was posted on social media and it entailed a family enjoying a happy moment as they share a cup of hot Nestle Milo. The advert demonstrates inner peace, fun, exciting life, happiness and self-fulfillment. The second advert is a video recording of musicians having a mega performance and after a while they look tired and worn out. Some opts to take cold beverages to cam their nerves and two of them requests for a cup of Nestle Milo. The good aroma makes the others taking cold beverage to stare at the drink. During the second round of performance, the two that took a cup of Nestle Milo outsmarts all others as they have the energy to keep the performance live and active all through the night as the others get tired and stressed out. The advert demonstrate music and freedom from anxiety and fatigue

BU 504 COURSE PROJECT: SOURCES

STUDENT NAME: RAUSHAN IBRAYEVA

REFERENCES

De Toni, D., Milan, G. S., Saciloto, E. B., & Larentis, F. (2017). Pricing strategies and levels and their impact on corporate profitability. Revista de Administração (São Paulo), 52(2), 120-133.

Ngetich, L. S. (2010). Strategic Responses to Competitive Environmental Conditions in the Beverage Industry in Kenya: A Case Study of Nestle (K) Ltd. Unpublished MBA Research Project.

Stevens, S. K. (2010). Nestlé Milo. Australasian Accounting Business and Finance Journal, 3(3), 4.

Vander Schee, B. A., Aurand, T. W., Pickens, T., Ma, M., & Girap, A. R. (2011). NESTLÉ: BRAND ALLIANCES IN DEVELOPING MARKETS. Journal for Advancement of Marketing Education, 18(1).