How to Develop Strategic Marketing of Milk Vita
Subject: Marketing | Topics:

How to Develop Strategic Marketing of Milk Vita?

Strategic Marketing Activities:

Marketing has got no alternatives and based on this concept marketing approach with pragmatic strategy are designed by Milk Vita with appropriate monitoring progress and supports from Promotional and Public Relations activities. Milk Vita products are mainly marketed in major cities of the country through established marketing network with includes Rikshaw Van Co-operative Societies in additional to the retail agencies and wholesaling distributors.

At the outset of production, DhakaCity was ear-marked as the target market. Gradually the marketing activities have been increased and expansion has been made to big city areas like Chittagong, Comilla, Feni, Rangpur,Brahman Baria, Sreemangal, Moulvi Bazar and diversification of product rage as per market demand. The major product of Milk Vita includes:

  •                   Pasteurized Liquid Milk;
  •                   Flavored Milk;
  •                   Butter;
  •                   Full Cream Powder;
  •                   Skimmed Milk Powder;
  •                   Ice-Cream
  •                   Ghee;
  •                   Sweet Curd;
  •                   Cream;
  •                   Lollies;
  •                   Rasa malai (sweet meet) etc.

Milk Vita authority pays due attention in maintaining overall quality and hygienic conditions. Most of the “Milk Vita” products are certify by the Bangladesh Standard and Testing Institute (BSTI), the government authority for maintaining the standards and quality of products in Bangladesh.

Product and Product Line:

The following chart we can see the different types of product and price of Milk Vita. They have three stages for price that is price for distributors, price for retailers and price for consumers. Some time they have to maintain direct marketing for the purpose of Institutional request, here they create price for institution under the consideration of location, distance and transportation etc.




Name of the product


Price Tk.


Price Tk.


Price Tk.


Date Tk.


Liquid Milk

160ltr. Pkt.

½ ltr. Pkt.

¼ ltr. Pkt.

Bulk in ltr.

Flavoured Milk

Flavoured Milk (glass)



























2 kg tin

1 kg tin

1 kg pouch pkt.

500 gm pouch pkt.

1 kg paper box

400 gm paper box

Per M.T. (25 kg paper bag)



































Per T.M (25 kg paper bag)











900 gm tin

450 gm tin

200 gm tin

Bilk (per kg)
























400 gm tin

200 gm tin

100 mg pkt

Bulk (per kg)






















2  ltr. Box

1  ltr. Box

½ ltr. Box


Chocober (65ml)

Chocober (48ml)

Lollies      (65ml)

Lollies      (48ml)


2      ltr. Cake Ice-Cream

1 ½  ltr. Cake Ice-Cream

Ripple 2   ltr. Box

Ripple 1   ltr. Box

Ripple ½  ltr. Box
















































ltr. Box

½  ltr. Box















ltr. Box

½   ltr. Box










CREAM (per kg)






    ********** From Milk vita Office.

Products of Milk Vita with price.

Development of Marketing Mix:

The American Marketing Association (AMA), which represents marketing professionals in the United States and Canada, defines:

“Marketing is the process of planning and executing the conception, pricing, promotion, and distribution of ideas, goals and services to create exchange that satisfy individual and organizational objectives”.

The AMA definition recognizes that exchange is a central concept in marketing. For exchange to occur there must be two or more parties with something of value to one another, a desire and ability to give up that something of the other party, and way to communicate with each other.

After the target market has been selected, the next steps to determine the marketing mix. The marketing Mix is the set of marketing tools that a firm uses to pursue its marketing objectives on the target market.

The tools are:

  •       Product
  •       Price
  •       Promotion and
  •       Place (distribution)

These marketing elements must be blended appropriately to achieve the maximum response from the target market. The marketing mix is controllable because firms usually have a high degree of freedom in marketing product, distribution, promotion and price decisions.

Strategies Development according to Product, Price, Place and Promotion:

Strategic Brand/Product analysis:

A product is a bundle of tangible attributes that a seller offers the potential buyers and that satisfies the buyers need and wants.

Accompany may have a single product, a product line, or a portfolio of product lines. In our discussion of managing existing products, we assume that product/brand strategy decisions are being made for a strategic business unit (SBU). Product of the company-consumer goods, Milk vita always tries to maintain their product quality and can best because they are the market leader of liquid milk production. They can collect the milk from the rote level they have to need dust/germ free from that primary production. They heated it over 60°C for injurious bacteria have been killed because it is harmful for human body, they do another thing that extra cream need to be separate because it is also not good for health, and cold it 04°C heat. Because some kinds of bacteria which are injurious for human body is need to be destroy.

They 9 (nine) major types of products especially they capture the market. Moreover they will introduce recently some kinds of product and product line that are following:

  •       Condense Milk
  •       U H T
  •       Fresh Milk
  •       Mineral water
  •       Candy
  •       Flower Milk

Pricing Strategies:

A price is something of value that is exchanged for something else. In that organization pricing strategy is relatively same form other similar company. They took some strategy in two times that one, introducing new product and two, any expands of the product line. They are considering some feature to establishing the both types of products that are following:

  •       Society
  •       Purchasing power
  •       Total economy
  •       Weight of the predicts

In addition I can say that another type of prices is introduced by them under the commission basis that are:

  •       Price for consumer
  •       Price for retailer
  •       Price for distributor

Price list has shown before. Against the price of the products and services, customers cost is considered. Product is designed and priced in such a way that the target market can afford it. Present market price is also considered in pricing the product and services.

A high price may be set to recover investment in a new product. This practice is typical in the pricing of new prescription drugs. A low price may be used to gain market position, discourage new competition or attract new buyers.

Milk Vita takes some appropriate strategies in different situation like crises period that increases their product price i.e. in Ramadan. As a market leader they can play with product pricing strategy in the market to gain an abnormal profit. But they all ready can capture the market share also loyalty to the consumer’s.

Selecting the Pricing Strategy:

Analysis of the Milk Vita’s Pricing situation provides essential information for selecting strategy. Using this information management needs to (1) determine extent of pricing flexibility; and (2) decide how to position price relative to costs and how visible to make the price of the product. The pricing strategy needs to be a coordinated with the development of the entire marketing program since in most, if mot all, instances there are other important marketing program component influences on buyers’ purchasing behavior.

Promotion, Advertising & Sales Promotion Strategies:

It pays an important role in the exchange process by information consumers of an organization’s product or services and convincing them of its ability to satisfy their needs or wants. It being defining as:

“Promotion is any of communication used by a firm to inform, persuade or remind people about its products, services or impact on society”.

Promotional Strategies of Milk Vita:

It is a systematic decision making pertaining to all aspects of the development and managerial of a firm’s management effort.

Promotion strategy consists of a group of interrelated communication activities. It combines advertising, personal selling, sales promotion, direct marketing, interactive/ internet marketing and public relations unto an integrated program for communicating with buyers and others who influence purchase. Promotion strategy covers the planning, implementation, and controlling and organization’s communications to its customers and other target audience. The purpose of promotion in the marketing program is to achieve management’s desired communications objectives with each audience.

Integrated Marketing Communication:

During the 1980s, many companies came to see the need for more of a strategic integration of their promotional tools. These firms began moving toward the process of Integrated Marketing Communication (IMC), which involves coordinating the various promotional elements and other marketing activities that communicate with a firm’s customers.

A task force from the American Association of Advertising Agencies (the 4As) developed one of the first definitions of integrated marketing communication:

“Integrated Marketing Communication concept of marketing communications planning that recognizes the added value of a comprehensive plan that evaluate the strategic roles of a variety of communication disciplines – for example, general advertising, direct response, sales promotion and public relation – and combine these discipline to provide clarity, consistency and maximum communication impact”.

An important marketing responsibilities is planning and coordinating the integrated communication i.e. promotion strategy and selecting the specific strategies for the promotion components viz. Advertising, Personal Selling, Sales Promotion, Direct Marketing, Interactive/Internet Communication Marketing and Public Relation.

Advertising Strategies of Milk Vita:

Advertising consists of any form of non-personal communication concerning an organization, product, or idea that is paid for by a specific sponsor. The sponsor makes the payment for the communication via one or more forms of audio, video and audio-visual Medias:

  •                   Radio
  •                   Magazine
  •                   Newspapers
  •                   Television (4 Channel)
  •                   Billboards
  •                    Polycarbonate etc.

Among the advantages of using advertising to communicate with buyers of the low cost per exposure, the variety of media (newspapers, magazines, television, radio, internet, direct mail and out door advertising) control of exposure, consistent message content, and the opportunity for creative message design. In addition, the appeal and message can be adjusted when communications objectives change. Cable television enables advertisers to target their communications to specific buyers with more focus than is possible with the large networks.

Sales Promotion Strategies:

Sales Promotion expenditures are increasing more rapidly than advertising in many companies. Milk Vita’s expenditures for sales promotion are estimated to be as high as 75 percent of total spent on the two promotion components. Both advertising and sales promotions are receiving major attention by Milk Vita in their attempts to boost productivity and sales promotion.

(1) Personal selling:

Personal selling consists of verbal communication between a salesperson or selling term and one or more prospective purchasers with the objective of making or influencing a sale. Annually expenditures on personal selling are much larger than those for advertising, perhaps twice as high. However, both promotion components share some common features, including creating awareness of the products, transmitting information, and persuading people to buy.

(2) Sales Promotion:

Sales promotion consists of various promotional activities, including trade shows, contests, sample, point-of-purchase displays, trade incentives, and coupons. Sales promotion expenditures substantially greater than the amount spent on advertising. This array of special communications techniques and incentives offers several advantages: Promotional can be used to buyers, respond to special occasions, and create an incentive for purchase. One of the mote successful sales promotion initiatives is the frequent flier incentive program.

A variety of short-term incentives to encourage trial or purchase of a product or services, and sales promotion of BMPCUL’s includes:

  •             Discount on price for a period
  •             Fairs and Trade shows
  •             Entertainment programs
  •             Arrangement credit facilities for different level.

Direct Marketing Strategies:

Direct marketing includes the various communications channels that enable companies to make direct contract with individual buyers. Examples are catalogs, direct mail, telemarketing, television selling, radio/ magazine/ newspaper selling, electronic shopping, and kiosk shopping (e.g. purchase of flight insurance in airports). The distinguishing feature of direct marketing is the opportunity for the marketer to gain direct access to the buyers. Direct marketing expenditures account for a large proportion of promotion expenditures.

Interactive/ Internet Strategies:

Included in this promotion component are the internet, CD-ROMs, and Interactive Television. Interactive media enable buyers and sellers to interact. The internet performs an important and rapidly escalating role in promotion strategy. In addition to providing a direct sales channel, the internet may be used to identify sales leads, conduct Web-based surveys, provide product information, and display advertisement.

Public Relations:

Public Relation is a planned effort by an organization to influence some group’s without and opinion towards that organization”. Public relations for a company and its products consist of communications placed in the commercial media but mot paid for directly by the sponsor. For example, a news release on a new product may be published in a public relations unit is to encourage relevant media to include company-released information in media communication.

It’s a variety of programs designed to promote or product a company’s image or its individual product. The BMPCUL in this respects cover the following activities:

  • Publishing annual report and up to date company group profile of BMPCUL.
  • Sponsorship of events by BMPCUL.
  • Charitable donation by the BMPCUL’s Chairmen’s.
  • Community relation.
  • Lobbing.

However, these components are to be used in a planned manner. The basic model of Integrated Marketing Communication Planning is shown below:

Place of Working:

Place includes various activities the co-operative union undertakes to make the product accessible and available to target customers. Actually, it refers to channel functions. Marketing channel performs the work of moving goods from producers. It overcomes the time, place and possession gapes that separate goods and services from those who need or want them.

BMPCUL uses own sales force to communicate to target market/ prospective buyers. Different marketing technique and efforts are made to sales the ‘product’ to the buyers. Sometime some brokers or retailers or sales agents are employed to persuade potential buyers and sale the ‘product’ through them and in return they get commission (usually 0.75%– 2.50% of the price). Members of the BMPCUL’s marketing and sales section perform following key functions:

  • Gathering information about potential buyers and current customers, competitors and other actors and force of the marketing environments.
  • Developing and disseminating persuasive communications to stimulate purchasing.
  • Working with prices and other terms, fixed by the authority, for effecting transfer of ownership or possession.

Distribution System of Milk Vita

Distribution Decisions:

It is the most important part of any company as well as Milk Vita. Distribution of any company is very much effective, Milk vita knows that and takes the proper strategies to distribute their milk and milk product to the market.

Companies are legally free to develop strong channel arrangements which will suit them. In fact, the laws affecting channels seek to prevent the exclusionary traffics of some companies that might keep another company from using a desired channel. Most channel law deals with the mutual rights and duties of the channel members once they have formed a relationship.

Many distributor and wholesalers like to develop exclusive channels for their product that are:

  •                  Exclusive Distribution
  •                  Exclusive Dealings
  •                  Exclusive Territorial Managements

Producers are free to select dealers, but their right to terminate dealers is somewhat restricted.

Value-Chin Strategies:

It involves entire supply chain management—meaning upstream and downstream value-added flows of materials, final goods and related information among suppliers, the company, resellers and final consumers.

Milk Vita today is placing grater emphasis on logistic for several reasons. First, company can gain a powerful competitive advantage by using improved logistics to give customers better service of lower price. Second, improved logistics can yield tremendous cost savings to both the company and its customers. Third, the explosion in product variety has created a need for improved logistics manage. Finally, improvements in information technology have created opportunities for major gains in distribution efficiency. Using sophisticated supply chain management software, web-based logistics system, point of sales scanners, uniform product codes, satellite tracing, and electronic transfer of order and payment data, companies can quickly and efficiency manage the flow of goods, information and finances through the supply chain.

Number of Channel Level:

Channel Level:

The universe levels of channel are follows the businesses all over the world which we found from David W. Cravens and Nigel F. Piercy’s Strategic Marketing Text. For that reason, Milk Vita follows that system but they use it own way.

Milk Vita can design their distribution channels to make products and services available to customers in different ways. Each layer of marketing intermediaries that performs some work in bringing the product and its ownership closer to the final buyer is a channel level. The number of intermediary levels indicates the length of a channel.

Selecting the Channel Strategy:

(i). Direct Marketing Channel:

Direct marketing channel is a marketing channel that has no intermediary levels. Milk Vita also has direct marketing channel. They maintain that their own people for the request of any charitable purpose, Business people, institutional buyers or institutional users. However now we can show the Channel A direct distribution channel as follows:

(ii). Indirect Marketing Channel:

Indirect marketing channel is a marketing channel that containing one or more intermediary levels. That follows the Milk Vita by using Channel B & Channel C.

They have to way to distribution, one, by Milk Vita Co-operative Society and other is Privet distributors. Another system is co-operative distribution that means around the Dhaka city and out side the Dhaka 20-50 poor people together distribute their product. For the scope of that system many poor people can change their life style because that type of job and earning money from it.

In the Dhaka city and around it they have 5 distribution societies which is their own; Dhaka city-3, Savar-1 and Gazipur-1. On the other hand, 13 Privet distributors are working abreast Milk Vita.

Channel Relationship of Milk Vita:

They maintain a good relationship between the channel members. Some time conflict to the Milk Vita and the different level of channels then the takes some proper strategies that Milk Vita analyzes the problem & give them some facilities for short time i.e. sales commission.

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