A Strategic situational analysis

Pakistan ‘s comestible oil industry has a sum installed capacity of 2.7 million metric dozenss. Several of the smaller units are non-operational owing to overcapacity and deficiency of funding. Approximately 1.4 million metric dozenss is produced as Banaspati, and the balance, or 0.35 million metric dozenss, is produced as cookery oils. While there are no exports of comestible oils from Pakistan, an estimated 200,000 – 300,000 metric dozenss are smuggled into neighbouring Afghanistan each twelvemonth. Imports meet about 70 % of domestic demand. A chronic deficit of comestible oils has existed in the state over the last three decennaries due to low outputs of Pakistan ‘s oil seed harvests which are chiefly cotton, colza and mustard, an absence of organized dairy farming a quickly turning population and prevalent monetary value constructions. In the last 2 decennaries, soyabean oil was the major comestible oil import. During the mid-1980s, Malayan thenar oil replaced soyabean oil. Imports of soybean oil now range between 150,000 to 180,000 metric dozenss each twelvemonth.

In the financial twelvemonth of 2001 the estimations were 180,000 metric dozenss. Imports were expected to turn to 200,000 metric dozenss the undermentioned twelvemonth. Current imports of all comestible oils are of about US $ one billion yearly. The mean one-year growing rate for comestible oil imports has been approx. 12.5 % per annum for several old ages. The demand for Banaspati is estimated to be turning at an one-year rate of 10 % , while that of cooking oil is estimated to be turning at 5 % yearly. The growing rate may be somewhat depressed due to a diminution in the consumer ‘s buying power.

Pakistan ‘s industry produces cooking oil and Banaspati, based on either individual oil or on a blend of two or more oils. Banaspati, which accounts for about 75-80 % of the local ingestion of comestible oils, is the more popular comestible oil, where palm oil is blended with locally produced oils such as cottonseed and sunflower oils.

The exclusive joint venture in this industry sector is a joint venture entitled Evian Fats and Oils, located in Karachi. This is 800 metric dozenss per twenty-four hours, individual displacement works, established as a joint venture ( funding and proficient know-how ) between Australia, Malaysia and Indonesia. Price and recognition are major factors in finding market portion.

Edible oil was supplied to purchasers at 3 % rate of involvement on delayed payment of missive of recognition. This trade good recognition was available to any purchaser in Pakistan for 180 yearss. The handiness of this recognition solved the job of working capital, which Pakistani Bankss were supplying at non less than 20 per centum. This is the scheme, which was used by Malaysia to accomplish higher exports. As a consequence of this scheme, palm oil trade between Pakistan and Malaysia grew from 99 metric dozenss in 1970 to 1.2 million metric dozenss in 1994.

Pakistan is the universe ‘s 4th largest consumer of vegetable oils with a domestic demand of 2.5 million tones, 90 per centum of which is covered by imports, largely of Malayan RBD thenar oil and olein.

Harmonizing to the authorities ‘s informations, Pakistan spent $ 421 million on the import of 965,478 tones of vegetable oil in the first seven months of the financial 2005-06, whereas the state bought 844,627 tones for $ 417 million in the same period last twelvemonth. Officials estimated one-year imports of 1.6 million tones of Palm oil from Malaysia, bulk of which will be refined palm olein. Expected imports of comestible oil is estimated to increase by seven per centum yearly because of population growing, rapid urbanisation and lifting per capita income in Pakistan.

( Beginning: Daily Times March 19,2006 )

The Challenges

Dalda has been turning exponentially of all time since it divested from its former principal. Their Information technology demands have besides been turning exponentially which in budgetary restraints. Emergen Consulting offered Dalda Foods to migrate wholly to open beginning solutions to for good turn to issues associating to expandability, hardiness and security. The full migration was devised in a manner that during the first stage, Dalda ‘s complete communicating substructure would be revamped utilizing unfastened beginning engineerings, peculiarly an IP based PBX ; Asterisk. This will be followed by a complete substructure degree migrations including all information centre services and desktops to open beginning package. Now we are accepting the challenge by presenting new packaging.


Company Analysis


Unilever ‘s Goal is to add Vitality to life. We meet mundane demands for nutrition, hygiene and personal attention with trade names that help people experience good, look good and acquire more out of life. BUT This clip present new packing with fictile bottle


The uniliver Pakistan is supplying the legion merchandises. This includes.







Our deep roots in local civilizations and markets around the universe give us our strong relationship with consumers and are the foundation for our future growing. We will convey our wealth of cognition and international expertness to the service of local consumers – a genuinely multi-local multinational.


Unilever is the transnational organisation

It deals extremely diffrentiatnal merchandises

Always provides advanced merchandise

Strong client relationship


Its less focal point on reshape merchandise

Customer Analysis


In the financial twelvemonth of 2001 the estimations were 180,000 metric dozenss. Imports were expected to turn to 200,000 metric dozenss the undermentioned twelvemonth. Current imports of all comestible oils are of about US $ one billion yearly. The mean one-year growing rate for comestible oil imports has been approx. 12.5 % per annum for several old ages. The demand for Banaspati is estimated to be turning at an one-year rate of 10 % , while that of cooking oil is estimated to be turning at 5 % yearly. The growing rate may be somewhat depressed due to a diminution in the consumer ‘s buying power.


Unilever Pakistan trades in

Home consumer




Value drivers

We supplying best packing option by the undermentioned mode

Plastic bottle with cap

Steal coded seal

Convince to utilize

Decision procedure

The determination procedure is really simple so because of

Simple determination

Daily usage merchandise

More often purchase

Rival Analysis

Market place


Second largest oil trade name

Asli ghee odor


Less advanced

Less gross revenues

Market Share

The respondents on assorted properties besides favor habib- a strong rival of Dalda. 13.3 % purchase Habib for its monetary value, 20 % for its quality, 30 % for its nutrition 13.3 % purchase it due to Dalda ‘s inaccessibility whereas 23.3 % purchase it for its packaging.


Political factor

Democracies are under force per unit area to demo they can protect the wellness of their population.

Global society is under force per unit area to show it can mobilise resources to efficaciously undertake planetary societal jobs.

Undertaking wellness jobs requires long-run thought, complex partnerships, & A ; advanced signifiers of organisation.

Health suffers terrible effects in wars & A ; other complex exigencies.

Economic factor

Wealth creates wellness, & A ; wellness creates wealth – virtuous & A ; barbarous spirals are possible. However, this is an country where market failures are common & amp ; permeant.

The value of a healthy, knowing population is increasing as the technological edification of the universe economic system grows.

Ill wellness has the most detrimental effects on the economic chances of the poorest – but the wellness jobs of the hapless are frequently inexpensive to undertake.

Many chronic wellness jobs are progressively expensive to handle, while “ new ” wellness jobs ( i.e. a new infective disease or a drug immune strain ) have the possible to enforce tremendous costs in a short period of clip.

Rising monetary values of thenar oil

Social Factors

Health is of import to people – and is systematically regarded as a high precedence by rich & A ; hapless.

The ability to mobilise in the face of wellness menaces is a trial of a community/society, while the act of mobilising creates societal coherence & A ; powerful societal constructions.

There is a complex interaction between the rights of an person to good wellness ; his or her duties to protect his or her ain wellness ; the rights of a community to protect itself against wellness menaces ; & A ; its duty to supply for the wellness of its members.

Health protection requires action across society, professions, organisations etc. – public wellness besides relies on public support for its “ licence to run ” & amp ; its ability to alter behaviour

Technological factors

Health jobs are ever dynamic – & A ; sometimes this alteration is unpredictable ( i.e. a new menace emerges or an old one mutates ) . Health intercessions can themselves take to new wellness jobs.

Without cognition about wellness, there can be no response to wellness menaces.

Technology is ill distributed in countries where people are unable to make demand for it efficaciously.

New engineerings are the consequence of progressively sophisticated procedures – & A ; presently seem to be of diminishing cost effectivity.

New engineerings pose poorly-understood hazards, every bit good as offering hard-to-quantify benefits.

Information engineering has the possible to revolutionise the airing of cognition about wellness.


Market Cleavage



Females between the ages of ( 25-35 ) year.

Mothers playing an influential function in the decision-making.

A family of four or moreTarget personality includes low income section every bit good ( loose & amp ; Mid-price )

Percentage of sale

The packaging format of the Banaspati market is besides altering, dramatically, the Sns captured about 53 % of the entire market, but growing rate of this packaging format is -4 % which reflects its future market diminution, and about within the following 10 old ages people would exchange to bottles and pouches. Whereas the loose section comprises of 23 % but its growing rate is -13 % , which shows that the loose section is meeting towards mid, monetary value pouches or premium packaging.

Whereas, the pouches shows a enormous growing i.e. , 38 % with 24 % as its current market portion, which shows high demand for the Dalda premium quality which people tend to purchase in comparatively inexpensive packaging formats.

What They Want

Consumers demand for a “ High quality ” refined Banaspati.

Consumers identify with the olfactory property and gustatory sensation of “ Asli ” ghee, and hence demand the same from hydrogenised Banaspati.

Heart diseases & A ; other chronic diseases are increasing twenty-four hours by twenty-four hours ; a big section has shifted to cholesterol free oils. Therefore, consumers have a similar demand from Banaspati.

Knowing consumers besides value the nutritionary content of the comestible oils, which has become the primary demand of many.

Consumers in the premium section are non monetary value sensitive but are wellness witting hence ; their demand differs from that of the loose and mid-price section who wants best quality at a lower monetary value. Therefore consumer monetary value sensitiveness besides is of critical importance.

Consumers demand the same trade name quality but at low-cost monetary values. Therefore, merchandise in assorted sizes is the demand of the market.

How they use merchandise

The client can utilize this by following ways

Cocking in house

In eating house

Food mills


Support Requirements

The support demand can be

Grocery store



Any thing prick


The client can purchase the merchandise by following manner

Grocery shop

General shop

Whole marketer mercantile establishment


Due to alter in packaging there is no any alteration arises in monetary value so this elements of monetary value will stay the same. Customer is fewer monetary values sensitive in this instance.

ALTERNATIVE Selling Scheme

We have a program to utilize alternate Marketing Strategy if the current thought can non successful the undermentioned scheme will be followed,

Mobile Avant-gardes with large silent persons merchandise

SELECTED Selling Scheme

Selling Research

A market study was conducted to detect consumer ‘s perceptual experience about Dalda Banaspati in peculiar ( as it comprises of 70 % of the entire comestible oil market ) & A ; degree of acquisition, attitudes and behaviour towards the market in general.

A sample of size of 30 was taken, consisting strictly of females between the ages of 20-40 year. as they are considered to be the determination shapers in the family trade good purchases. The cardinal properties in the questionnaire were their instruction, monthly income, comparative factors, trade name precedence, monthly use, and trade name consciousness medium.


The graph indicates that the largest portion of the sample i.e. about 36.7 % comprises of females between the age of 31 to 35, who are either populating individually ( non in joint household system ) or are influential on the decision-making.

The results indicate that the current sample holds more respondents belonging to a higher income class runing from 20,000 to 25000 and supra.

Do you desire to see the alteration of dalda wadding?





Dalda cocking oil


Dalda is supplying first-class quality followed by ISO

The endeavor operates under the quality control system in conformity with the international criterion demands of quality direction system ISO 9001.





Dalda ‘s has captured 60-65 % of the premium section, an estimation of -+ 250,000-tones/ annum, the remainder comprises of popular section i.e. 600,000 tones/annum and loose section with a entire sale of 900,000 tones/ annum.

Edible oil concern in Pakistan involves viing in the trade good market influenced by trade good monetary values, heavy gross revenues publicity, and small chance for trade name distinction and flexibleness in pricing. Therefore, the company has successfully curved its topographic point by playing with the above factors and has gained supplanting growing with the current growing rate of 25 % and is taking to turn by 30 % in assorted market section and merchandise classs.


Newly introduces fictile bottle

Monetary value


We are offering competitory introductory monetary value which is mentioned below.

750 for 5 litter cane


We are offering price reduction 10 RS each cane in order to capture maximal purpose of our mark market


Not available


Not available

Topographic point


Distribution channels includes whole Sellerss food market shops public-service corporation shops


All Over Pakistan


Provides calling service to put the Merchandise.


Ad Plan

Dalda has a program to publicize its freshly packaging alteration merchandise by following manner

Print media

Electronic media

Radio frequency modulation


Dalda survived over a period of clip by making out to its consumers through assorted manners and methods.

Superior Selling

Advanced Communication

Advanced Radio Program

Effective Press Use


Along with this Dalda has besides introduced Dalda ‘s consultative service 0800-DALDA ( 32532 ) for making out to its consumers by supplying them valuable advices and suggestions and besides turn toing their merchandise related jobs.

Dalda ‘s Cook Books ( Vol 1, 2 )

Dalda Ka Dastarkhawan.

Dalda ‘s Food Show

Dalda ‘s Cooking Competition

Dalda ‘s Family Magazine

Free Sampling


We Introduce Dalda Cooking Oil in a Plastic Bottle which facilitates the consumer as we mentioned. Overall Dalda is capturing big market portion as comparison its rival and supply hygienic oil. The Segmentation includes house clasp females. We are advancing the merchandise by electronic media for illustration establishing the plan Dalda Ka Dastarkhuwan. In SWOT analysis Dalda has strength of new thought of packing and menaces shift in the value.