NORTH SOUTH UNIVERSITY NSU

Final Report Consumer Behavior MKT - 344

Report on Aarong Milk

Submitte To! Far"ana Chou hur# $F"#% Lecturer Department of Marketing School of Business Submitte B#! Group Number # 5 Group Name: Optimus Section: 6 &' Faia" Ahme ,' M ' Assa Al Mamun 3' -a"neen-upur ()! &*&*+***3* ()! &*&*4*3*3* ()! &*,**33*3*

Submission Date:

!th "pril# $% $

Table of Contents
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1.0 Introduction:
Milk is defined as the lacteal secretion obtained by the complete milking of one or more mammalian animals. Although in other parts of the world a variety of animals are used as sources for milk, in the United States almost all commercially available milk comes from cows. Milk is valued because it is an important source of many of the nutrients essential for the proper development and maintenance of the human body. It is a complete health drink and contains almost all nutrients except for iron and vitamin . It is a good source of energy as it has milk sugar lactose. !he fat in milk harbors the fat soluble vitamins like "itamin A and #. "itamin A is very important for the immune system and therefore helps prevent poor vision and blindness. $ones benefit a lot from milk as it provides calcium, vitamin # for healthier bones. alcium and phosphate in milk works together for the mineral complex which give structure and strength to the bones. It helps to prevent the bone loss that occurs during middle ages. !he calcium present also prevents migraine and eases pre%menstrual syndrome. Milk also contains riboflavin and vitamin $&' which help in energy production and proper nerve functioning. "itamin $ also prevents anemia and helps in the production of red blood cells. (iboflavin content helps in cardiovascular benefits. !he potassium content in milk protects the heart and helps to maintain blood pressure and also for proper nerve transmission. )ence milk is heart friendly. It is also said to cut down the risk of cancers such as breast cancer and colon cancer. Among many products we have selected milk as our ore product. And we select Aarong as our ompany. Aarong is a sister concern of $(A which is a renowned *+, in the world. -e are interested in this product because, Aarong is a sub line of a multinational *+,. And we are producing a food product and that.s why we think it will be a profitable business. Aarong milk is also pure milk so after consuming our product the consumers of our will be satisfied and thus we will gain customer satisfaction easily.

1.1 Scope of study:

,ur respectable instructor and faculty member /ar0ana houdhury instructed us to gather information about our product, targeted customers and the market. She guided us to prepare a short report based on this our product, 1Aarong Milk. and its target customer.s behavior towards it. She explained to us every part very clearly about this report in our diary sessions. -e also gathered knowledge from our book and Internet. -e went to several universities in different part of #haka city. -e went to *orth South University, International University of $angladesh, 2asy -est University, $(A University, #haka University, 3ahangir *agar University and other places too. -e observed those people whose age group is &4 to '5 years. /irst we observed their activity and tried to guess about their activity during free times, their likes, unlike, hobby etc. !hen we conducted a survey. -e 6uestioned to &7 people. -e tried to know about their back ground, their tastes, their knowledge about the product, and their activities by asking some 6uestions. -e also wanted to know what they like to do most8 we also wanted to know the thoughts about milk. $asically we wanted to know their perception towards milk.

1.2 Limitation of study:

2verything has some limitations like that, our study has some limitation, and our limitation was the age group of our customers. !his age group does not like to drink milk much8 moreover, they do not buy milk by themselves. -e were unable to go to every part of $angladesh8 even we were unable to go to every part of #haka city so this survey is not that much valid. Some did not take us seriously. !hey denied giving information even we also found some people very conservative. !hey didn.t like to talk to us. Some showed as if we bothered them. /or this reason we could not communicate with them properly. Also we could not cover up all type of people of that age group. -e could only collect data on similar type of people of some reputed university around us. /or these reasons or limitation we reali0ed that we have not enriched enough knowledge about the sub9ect. 2ven we face a time problem as well.

'.: Company:
Aarong is a sister concern of $(A , a well known Multinational *+,. BRAC, based in $angladesh, is ;as of May ':&:< the world=s largest non%governmental development organi0ation 2stablished by Sir /a0le )asan Abed in &4>' soon after the independence of $angladesh, $(A is present in all ?5 districts of $angladesh, with over > million microfinance group members, @>,7:: non%formal primary schools and more than >:,::: health volunteers. $(A is the largest *+, by number of staff employing over &':,::: people, the ma9ority of whom are women. $(A operates programs such as those in microfinance and education in nine countries across Asia and Africa, reaching more than &&: million people. !he organi0ation is A:B self%funded through a number of commercial enterprises that include a dairy and food pro9ect and a chain of retail handicraft stores called 1Aarong.. $(A maintains offices in &5 countries throughout the world, including $(A USA and $(A UC. $(A is a few years into their initiative to operate in ten African countries in the next ten years.

2.1 Aarong Companys ac!ground:

Aarong is a chain of retail outlet located in ma9or cities in $angladesh an enterprise of $(A . It established in &4>A, Aarong is a fair trade organi0ation dedicated to bring about positive changes in the lives of disadvantages ascertains and underprivileged rural woman by reviving and promoting their skills and craft. (eaching out to weavers, potters, brass workers, 9ewellary, 9ute workers, basket weavers, wood carvers, leather workers and more, Aarong, to embraces and nurtures a diverse representation of ?7::: artisans work with the collaboration of Ayesha Abed /oundation ;AA/<, A7B of whom are women. !oday, Aarong has become the foundation upon which independent cooperative groups and family based artisans market their craft, in an effort to position the nation.s handicraft industry on a world platform of appreciation and acknowledgement.

2.2 Aarong mil!:

Aarong Milk was first marketed in &44A by the dairy social enterprise of development organi0ation $(A , to help poor rural dairy farmers protect and grow their dairy enterprises and improve their family=s income by facilitating access to urban markets. Inspired by this purpose, Aarong Milk has worked to build a brand that is as true to its urban consumers as it is to its rural suppliers, providing dairy products of impeccable 6uality that drive its vision of a healthy and strong $angladesh.

Market Aarong Milk is a well known, highly respected and trusted brand among urban $angladeshis. !his trust is based on Aarong Milk=s meticulous attention to 6uality control in all aspects of the production process. onsumers have come to rely on the high 6uality and value of its products. )aving entered $angladesh=s dairy market only &' years ago, Aarong Milk has achieved enormous success with its biggest selling product, li6uid milk, and capturing @'B market share % second only to a long%standing national competitor. Aarong Milk is a market leader in other productsD in flavored milk, it captured 7AB of the market in 9ust &: years while its curd product dominates nearly >:B of the curd market and ghee leads with a @5B market share. Achievements Aarong Milk offers a range of dairy products alongside li6uid milk and competes with well established global brands in the $angladeshi powdered milk market. Its greatest achievement has been in winning the confidence of the consumers in a short period of time. !his is reflected in the rapid increase in market share % Aarong Milk gained &@B market share during the last 5 years, from &4B in '::? to @'B in ':&:. !he brand has a dedicated consumer base of around 7::,::: people who regularly purchase its products. Aarong Milk is also playing a ma9or role in the development of the country=s dairy industry infrastructure and technology, through its network of chilling centers collecting milk from the remotest rural areas, the use of state%of%the%art processing e6uipment and research into and promotion of improved livestock breeding, rearing and caring techni6ues. Aarong Milk is currently supporting over 5:,::: farmers, helping develop rural entrepreneurship through loans providing access to improved breeds through $(A =s Artificial Insemination programmed, high 6uality feed produced by $(A =s feed enterprise and veterinary services through its extension networks.

3.0 Customer:
As our product is Aarong milk and we have targeted a customer group. ,ur targeted customer group is &4 to '5 years aged people. $y conducting a survey we gathered some information about our customers and their thoughts. -e also observed them at different places. ,ur customers are mainly students of different university and college.

". 1 ac!ground:
,ur targeted customers are mainly university students. Some of them are college students too. !heir classification and main criteria are,

Age: ,ur targeted customer.s age group is &4 to '5 years. So they are mainly teens. Status: -e targeted middle class to upper class people as our targeted customers. So they are
solvent.

Occupation: ,ur targeted customers are mainly students. !hey are university students. EducationD !hey might have come from $angla .medium or 2nglish medium background. !hus
they have passed their SSc, )Sc or A levels or , levels

Demographic Background: -e are mainly targeting urban people8 we want to sell our product
in every division of $angladesh.

i!e st"#e: our targeted customers like to lead free life because of their age. #uring their free time they hangout with friends, gossips, play games, smokes, read books, pass times with peers and sometimes do rest. !hey are passing their bachelorhood.

#.0 T$eory
#.1 %roduct:
In general, the product is defined as a thing produced by labor or effort or the result of an act or a process. In marketing, a product is anything that can be offered to a market for attention, ac6uisition, use, or consumption that might satisfy a want or need. Eroduct can be classified as tangible or intangible. A tangible product is a physical ob9ect that can be perceived by touch such as a house, automobile, computer, pencil. An intangible product is a product that can only be perceived indirectly such as an insurance policy.

#.2 ST%
#.2.1 Segmentation

Market segmentation is the process of dividing a market into distinct subsets of consumers with common needs or characteristics and selecting one or more segments to target. !he purpose for segmenting a market is to allow marketing program to focus on the subset of prospects that are Fmost likelyF to purchase the offering. If market segmentation is done properly, this will help to insure the highest return for your marketing or sales expenditure. Marketers use many variables in segmenting consumer markets. !he ma9or variables are geographic, demographic, psychographic and behavioral. $.%.% &argeting Market targeting is the selection of one or more of the segments identified for the company to pursue. Marketers have outlined four basic strategies to satisfy target marketsD undifferentiated marketing or mass marketing, differentiated marketing, concentrated ;niche< marketing, micromarketing. Using an undifferentiated marketing strategy, marketers might decide to ignore market segment differences and target the whole market with one offer. In differentiated marketing, marketers target several segments using marketing mixes and in concentrated marketing, marketers target 9ust one segment with a uni6ue marketing mix. Micromarketing is the practice of tailoring products and marketing programs to the needs and wants of specific individuals and local customer groups% include local marketing and individual marketing. $.%.3 'ositioning Eositioning is the process by which marketers create an impression about a product in the customers mind. It involves to create an image that will differentiate the offering from competing one and the particular product can fulfill the customers need better than competing brands. $.3 Motivation Motivation is the driving force within individual that impulse them to action this driving force is produced by a state of tension which exists as the result of an unfulfilled need.

Eositive MotivationD Motivation that drives an individual towards an ob9ective is called positive motivation.

#.# %ersonality:
Eersonality defines by those psychological characteristics that both determine and reflect how a person responds to his or her environment.

#.& 'mbrella brand

Umbrella brand is an overarching brand used across multiple related products. It is also known as family branding.

&.0 Analysis
-e have done our survey in quantitative research method. -e divide the whole $angladesh into > parts. -e conduct our survey only in #haka city but we select every division.s city as our market segmentation. -e select middle class to upper class &4%'5 aged people as our target customer and most of them are university students. Aarong ompany has its own dairy firm and they collect the raw milk from their own dairy firm. It ensures the 6uality of milk than other competitors. milk. So we can say that Aarong milk is real pure milk. In our advertisement we use the character of &4%'5 aged people so they are same as our target customer. !hey show the same activities that our target customers do. $y watching our advertisement our target customers will imagine themselves as the character of the advertisement and they will be influenced to consume our product. ,ur customers will be motivated in a positive way. If our customers drink our product, they will become more active in their activities and they will do their activities in an energetic way. As our existing product is established in current market so our new customers will have positive impression about our new product. )opefully they will show positive response due to brand recognition. )ere we are approaching umbrella branding.

&.1 sur(ey analysis

,ur product is Aarong Milk. !o know the activity and thoughts of our targeted customer group ;&4%'5years< we conducted our survey on &7 people at different part of #haka. All of them were university students. Among those &7 people, @ of them do not drink milk. ' of them do not drink milk because of smell and one person 9ust hates it.

Among those who drink milk, we found some different but thoughtful results. Among &' people, eight people drink milk daily, two people drink milk twice a day, one people drink weekly and one person drink milk monthly.

/ive persons drink milk because of the health purpose. !hree person drinks it because of their parents force to drink milk. !wo persons like the taste that.s why they drink milk. ,ne person likes the smell and another person drinks milk to obtain energy.

Ma9ority of our sample ;A people< thinks that milk is essential for good health. ,ne person said that milk is not essential. !hree persons said they don.t know and others said that may be milk is essential for health.

2ight persons knew that we get minerals, protein, fat, carbohydrate and vitamins from milk. ,ne person said we obtain them from eggs, one said from rice and one said we obtain them from soft drinks.

/rom our sample, nine persons said that they drink milk before bedtime. !wo persons said that they drink milk during illness and one said she drinks milk in the morning.

Again, seven persons buy milk in li6uid form. ,ne person buys powder milk8 three persons buy milk from milk seller. Another one person buys milk in bottle.

-e found that four persons like to drink pure milk. !wo persons like drinking milk with chocolate. /our persons like to drink milk as milk shake and two persons like to drink milk with horlicks or ovaltine or boost.

-e also have found that most of the people ;&: persons in our sample< like to drink milk at home. ,ne person likes to drink milk at a restaurant and another person likes to drink milk at teaGcoffee shop.

,nly eight persons from fifteen people know that 1(eady )ocche $angladesh 1is the slogan of Aarong Milk. ,ne said that it is the slogan of Hux. !hree persons said that it is the slogan of )orlicks and three said that it is the slogan of Eersona.

-e get some interesting findings when we asked them about the price of one liter milk. !wo said the price is @:tk. ,ne said the price is 57tk, two persons said that the price is >:tk and two persons said &::tk. ,nly eight persons were able to say the price correctly as they said & liter milk costs 77tk.

So we have found different types of information from our survey.

).0 *ecommendation:
-e would like to recommend something to Aarong milk. !he first thing we found as their weakness is their !ag line or the slogan. !hey are using I(eady )ocche $angladeshJ as their slogan. $ut after conducting the survey we found that this slogan is not effective. Some people do not even know the slogan is theirs. So they need to change the slogan to reduce the confusion. Another recommendation is they should change the packet of their current product. !hey need to come up with new and innovative advertisement to attract the customers. Another -ay they can be profitable is they can launch new flavors so that customers can try different things.

+.0 Conclusion:
Aarong milk is one of the top companies in their sector. !hey have a strong background. -ith the help of $(A s reputation and brand image they easily got a place in the market. !heir customers brand loyalty is strength for them. $ut as the competitors are also getting better so they also need to improve their position in the market. After conducting a survey and analy0ing the customers, we have suggested some recommendation to them for the betterment of their product. -e conducted a 6uantitative survey and analy0ed the targeted customers. -e gather some information and on the basis of our survey report we prepared the report and as well as a poster as the advertisement.