Contents PLEASE COMPLETE AND ATTACH THIS FORM AS THE TOP SHEET OF YOUR ASSESSMENT TASK .................................................................... Error! Bookmark not defined. Marking Criteria .......................................................................... Error! Bookmark not defined. Total Marks ............................................................................. Error! Bookmark not defined. CHAPTER ONE ............................................................................. Error! Bookmark not defined. 1.0 Executive Summary .................................................................................................................... 2 1.1 Mission and Vision Statement ..................................................................................................... 2 1.2 Keys to Success ........................................................................................................................... 3 1.3 Critical Issues .............................................................................................................................. 3 1.4 Marketing Objectives .................................................................................................................. 3 1.5 Financial Objectives .................................................................................................................... 4 CHAPTER TWO ............................................................................ Error! Bookmark not defined. 2.0 The Company ............................................................................ Error! Bookmark not defined. 2.1 Company Ownership ................................................................. Error! Bookmark not defined. CHAPTER THREE ......................................................................... Error! Bookmark not defined. 3.0 Product Offering ......................................................................................................................... 5 CHAPTER FOUR ........................................................................... Error! Bookmark not defined. 4.0 The Market .................................................................................................................................. 6 4.1 Market Summary......................................................................................................................... 6 4.2 Market Needs .............................................................................................................................. 0 4.3 Market Trends ............................................................................................................................. 8 4.4 Market Segmentation .................................................................................................................. 8 4.5 Market Growth ............................................................................................................................ 9 CHAPTER FIVE ............................................................................ Error! Bookmark not defined. 5.0 Industry Analysis and Distribution ............................................................................................ 11 5.1 SWOT Analysis ......................................................................................................................... 11 5.3 Competition ............................................................................................................................... 12 CHAPTER SIX ............................................................................... Error! Bookmark not defined. 6.0 Marketing Strategy .................................................................................................................... 12 6.1 Target Markets .......................................................................................................................... 13 6.2 Positioning ................................................................................................................................ 13 6.3 Strategies ................................................................................................................................... 13 1 6.4 Marketing Mix .......................................................................................................................... 14 6.5 Marketing Research .................................................................................................................. 14 6.5 Marketing Budget ..................................................................................................................... 15 2 1.0 Executive Summary Camel Milk Victoria is anexisting business thatspecializes in producing and selling camel milk and also many other products obtained from camel.With high quality techniques and inventive packaging of milk,Camel Milk victoria will invade milk industry. The companyalready has established distribution routes within Australia. Camel Milk Victoria also plan to participate in the $13 billion Australian dairy industry by supplying high-quality milk and other dairy products using aesthetically innovative packaging.Camel milk victoria expects to increase their revenues by onestrategic alliance with a brand name offering vending lines. Camel Milk Victoria is an Australian Company dedicated to providing superior quality dairy products to dairy products distributors. The company pride itself in sourcing products that customers can use with confidence and trust. Camel Milk Victoria' agenda is to lead in introducinginnovative, quality camel milk that is delieverd to market.Camel milk Victoria will make their customers happy through good relationships and with good contact with customer. 1.1 Mission and Vision Statement Our Mission • To become theworld leader in introducinginnovative, quality camel milk and camel milk derivatives to all food service and retailing stores. • To meet consumers’ needs at all times through close customer contactand excellent relationships • Maintain finance growth and sustain stability of the growth through efficient management. • Addvalue to the community by maintaining a friendly, familialwork environment. 3 Our Vision • The company aims to meet customers’ needs whenever and wherever. 1.2 Keys to Success As anexisting company, Camel Milk Victtoria is already equipped with a broad knowledge of customer behavior in the Australian dairy industry and will leverage all the information in further meeting the demands and trends. There will be the introduction of new products, For making a good reputation and recognition in market,Camel Milk Victoria must be hard workingSuccess is a collective of: 1. All the factors such as quality,service amd recognition in marketplace depends on the relationships,CAMEL MILK VICTORIA is able to maintain. 2. Expansion Or Enlargement of market depends on the innovation and also on the quality of products. 3. Constant Growth of market. 1.3 Critical Issues Camel Milk Victoria is an existing organization. The most common issues to be faced are as: • Sales revenue will also be higher than the growth that tells about the payroll expenditure. • Constant growth is important but ensuring the customers satisfaction and satisfaction is more important. 1.4 Marketing Objectives • A constant growth after every month should be maintained. • Prepare for marketing the products in 3 months’ time • Market sales should be increased after every quarter. 4 1.5 Financial Objectives • Purchase costs of customer will be decreased by 1%. • Once the efficiency of product is increased,costs will be decreased accordingly. • Percentage of margins in profit will increased per quarter. 5 2.0 Product Offering Innovative products and many services will be offered by Camel Milk Victoria which are planned to pursue what the company does excellent. Large inventory levels that allow us to complete line of the camel milk and it’s products are maintained by the Company. This product is to be marketed in the local market to the export market so all the production part will be done in Australia. Services and Products of the Company are as follows: 1. Natural camel milk–Camel Milk Victoria’s camel are feeded with mixture of fresh grass and lucerne with some cereal hay and these camels milked daily.The milk which is yielded by these camels is totally natural and the milk is not boiled as it is pasteurised which helps to keep the milk safe and the consumer will also stay healthy and fit. 2. Soap – The Soap is handmade, with specially selected ingredients for the most sensitive skin types.It's is extremely moisturizing with no aroma for irritations seeing many great results. 3. Sales of Camel - Camel Milk Victoria have all types of camels for sale at different time of the year. • Male and Female • Age between 5-9 months old • Halter and rope trained 4. Camel Dairy - Camel Milk Victoria are now buying camel milk direct from farmers. 6 3.0 The Market Camel milk have inter alias antidiabetic and anti-hypertensive effects whereas cow milk doesn’t show these effects and it has been repeatedly repoted .Proteins, lysozymes, lactoferrin, and lacto peroxidase and many other insulins are in large amount in this milk.In 2005,epidemiological studies has revealed that the person who consumes about 500ml of camel milk regularly has helped them in decreasing their insulin requirements of their body and also it leads to the reduction in blood glucose level. (Agrawal RP 2005). Camels Milk,meat that is used in transporation and in tourism is the main economic value of them .According to a survey it has been proved that the production of camel milk is about 5 times the production of camel meat which means that the milk is the most significant product yield by camels and it has been shown below in Table2.2. (Musinga M. et al 2008) 3.1 Market Summary In the last five years the industry revenue has been affected because the Dairy Farming has faced a lot of variation in Demand and prices and also global market shifts and externalities and in last two years because of the crash in global dairy prices,industry’s performance has been seriously affected.and also it is expected that company’s revenue 7 will fall about 0.4% over the five years through 2016-17 , to $4.0 billion. Furthermore, the national dairy herd is expected to decline during 2016-17, which is likely to reduce national milk production. These trends, coupled with subdued farmgate prices for raw milk due to low global dairy products prices, are projected to depress industry revenue by 4.3% in 2016-17. Industry of dairy farming are around the borders of New South Wales And Victoria and also in Queensland and these industries are also in the areas with heavy rainfall such as Tasmania and at the south-west corner of Western Australia which shows that rain is a very important factor for pasture growth,because of this pasture based farming,on the pasture year round cows can be grazed. Victoria and New South Wales are very well known and leading states in this industry. The rich soils and temperature climate,Victoria is the most leading state. (IBISWorld 2016) Megan and Chris Williams (An Australian couple) were so inspired by the articles on the camels and their health benefits and also they did research on this camel milk products and they find that camel milk has more amount of protein and lesser lactose than any other dairy milk, So the camel milk is definitely better than cow’s milk and people who are not satisfied by cow’s milk can surely consume camel milk . (Griffin L., 2015) CAMEL MILK VICTORIA knows how to target customers and also have gathered a lot of knowledge about the market and this knowledge or information will help the CAMEL MILK VICTORIA to better understand their customer needs. 3.2 Market Needs Camel Milk Victoria is providing its customers with wide varietiesof Camel Milk. Many of the products have first to marketfeatures and not found on competitors’.Camel Milk Victoria seeksto accomplish the following benefits: 8 Innovative features–With numerous milk suppliers Camel Milk has a customer demand innovation as a competitive edge. Camel milk is far superior to the common cow milk which most of our competitors offer. The percentage of fat and lactose present in camel milk is way more less than what is found in cow milk. Also, the natural antibiotic helps the camel milk last longer. Moreover, camel milk with only 2% of fat becomes a healthy and easy to digest. High quality food products- CAMEL MILK VICTORIA will ensure that only high quality products will be offered to customers so as to create an identity of integrity. 3.3 Market Trends A large segment of the Australian market and the global market at large is turning towards more healthy food. The growing public concern about health potentially has a positive effect on the demand for Camel Milk Victoria. Camel Milk has been known as a tool to fight bacteria and infections and hence improving the immune system and also aiding those who suffering from diseases such as diabetes, tuberculosis,autism,stomach ulcers, cancer and more. All the pathogens found in the milk are extinguishedwhen the milk is pasteurised. Moreover, this also improves the quality of the milk and helps it get through longer periods of time without spoiling. According to market research organizationIBIS World, the trends driving milk production revenue in Australia are: increased health consciousness, increasing export markets and changing plates. 3.4 Market Segmentation Camel Milk Victoria has two distinct customer groups which they concentrate on: • Household and Hotels 9 • Export market MARKET ANALYSIS YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5 Potential Customers Growth CAGR Households and Hotels 8% 250 273 295 319 342 8.05% Export Market 7% 60 75 88 92 113 6.99% Total 7.65% 300 348 383 411 455 7.65% 3.5Market Growth The past five years have been full of volatile externalities for the dairy industry. Industry revenue has constantly been affected by global market shifts, demand fluctuations and fluctuating farm gate prices. Furthermore, the industry’s performance is also affected over the past two years. It is also forecasted that the industry revenue would fall at an annualized 0.4%, to $4.0 billion. Furthermore, the national dairy herd is expected to decline during 2016-17, which is likely to reduce national milk production. These 0 50 100 150 200 250 300 Households and Hotels Export Market Market Analysis Households and Hotels Export Market 10 trends, coupled with subdued farmgate prices for raw milk due to low global dairy products prices, are projected to depress industry revenue by 4.3% in 2016-17. 11 4.0 Industry Analysis and Distribution Australian dairy industry is one of Australia’s leading rural industries with a net worth of around $13 billion, with $4 billion generated alone from the farm gate. Also, this industry enriches regional Australian communities and also generating a large number of economic activities in the region. Furthermore, over around 9.7 billion litres of milk is produced by 6000 dairy farmers in a year. Nearly 40,000 Australians are employed under this industry on farms and in factories and also with more than 100,000 Australians indirectly employed by the service industries related to the dairy industry (Walsh, 2009). 4.1SWOT Analysis Strengths • Strong relationship between the company and the manufactures. • Exceptional product line. • A well-qualified and well-trained management team. Weaknesses • Camel Milk Victoria being a startup lacks brand recognition. • Lack of visibility as a product in the Australia market. • Dominancy of low yielding animals in many parts of the country. Opportunities • Taking part in a market with a capacity to grow and also with a significant percentage of potential consumers that are not aware of the company and its products. • Food being the basic necessity gives an immune market. • A robust distributor network. 12 Threats . • Increasing capital costs. • Competition from other companies. 4.3 Competition There are a few other camel milk companies in Australia such as QCamel, Camel Mllk Ausralia and Muswellbrook Camel Milk. However, the major competition will come from cow milk companies. Substituting cow’s milk for camel milk does not sound that appealing but when we look at the health benefits suddenly camel milk becomes the new member of the family. Camel milk has always been popular in North Africa, The Middle East and Asia as a health tonic(Nagy & Juhasz, 2016). In 2006 The United Nations Food and Agriculture Organization (FAO) also said that the future of camel milk is very bright. “To devotees, camel milk is pure nectar. While slightly saltier than cow milk, it is very good for you. It is three times as rich in vitamin C as cow’s milk. Aside from vitamin C, it is known to be rich in iron, unsaturated fatty acids and B vitamins(Valle, 2016).” These many advantages will be used in marketing Camel Milk Victoria products. Already there is anincreasing awareness for camel milk in Australia however the company will sensitize the general public about the health benefits in an aggressive social media campaign. 5.0 Marketing Strategy Both the strengths of the company and the product would be emphasized by the use of marketing strategies. Camel Milk Victoria will positionthemselves as an advancing and innovative company thatsupplies high-quality dairy products. Camel Milk Victoriawill make themselves a part in the trade shows, within industrypublications, and also the 13 Internet, to invigorate this marketingstrategy. Further reinforcement would be done by the use of letterheads, brochures and much more.Camel Milk Victoriaalso recognized that attracting a customer requires six times of the resources needed to maintain one.Therefore, the company would operate under the fact that having exceedingly satisfied customers becomes the best marketing technique. 5.1 Target Market Strategy Camel Milk Victoria will market to two distinctmarket segments: 1. End Users–These are the users that use the company’s products directly.This includeslarge institutional food service companies,housewives andlocal restaurants. 2. Distributors - Companies that supply Camel Milk Victoriaproducts in bulk withmachines and supplies for their operations. 5.2 Positioning Camel Milk Victoria will position themselves as a brand that supplies the best Camel Milk and milk products such as soap. Leveraging their competitive edge will help Camel Milk Victoria to achieve this positioning. Also, it will experience the benefits of being the first company in the market. This would eventually be used as a tool to establish and invigorating the brand in the market(Chitty, et al., 2015). As anemergingcompany, Camel Milk Victoria will be attentiveand flexible in meeting the consumer’s demands.For other products of the company, they have design features such as an aesthetic packaging thatwill make them very competitive. In addition to these designfeatures, Camel Milk Victoriawill also be price competent. 5.3 Advertising Strategies The most important objective for the company is to see itself as a leader in the camel milk industry in Australia.The company will strive toaggressively deepen their roots in the market. The marketing strategy would comprise of educating the customers about the product i.e. customer awareness, then developing the customer base and finally 14 working to build customer loyalty. Several methods by which the company could deliver its message to the masses and ensuring brand awareness and consumer fondness are: first, participation intrade shows.Second being,acting a major distributor at open houses. Third isthe development and use of Camel Milk Victoria'swebsite. And the last being, the method of communication used in advertisements in trade publication and social media marketing by the company. 5.4 Marketing Mix Camel Milk Victoria’s marketing mix is a collective of the followingapproaches to advertising andpromotion, pricing, distributionand customer service. Pricing- Camel Milk Victoria has designed their pricing scheme in a way that it is competitiveand at simultaneouslyprovidesthe distributer (whenapplicable)and the company with a fair margin. Distribution- Distribution of the products will be seen in Australia and also overseas. Advertising and Promotion- Camel Milk Victoriawill employseveral different methods for their advertising andpromotion campaign. An aggressive social marketing will be employed. Customer Service- For any business to be successful excellent customer service is a must and same is the case here. It becomes necessary for camel milk victoria to have an exceptional customer service. 5.5 Marketing Research Camel Milk Victoriain its initial stages of the marketing plan development willwork through different focus groups with potentialcustomers. Development of such focus groups would be based on the interactions made at various events. The basic goal of the focus groups is to obtain significantamount of information from potential customers.For results to be as valid as possible the company would have to look into the facilitation of the groups very carefully.These groups are normally comprised of seven to nine people. Thegroups will bevideotaped to allow the 15 companytoreview them more carefully. Because, the focusgroups will provide Camel Milk Victoriawith a ton of information that isinstrumental in launching and growing thebusiness. (www.dairyaustralia.com.au ) 5.5 Marketing Budget Camel Milk Victoria will incur the following costs in the next fiscal years. Operating Expenses Year 1 Year 2 Year 3 Payroll 50,000 55,000 55,000 Rent 2,000 2,000 2,000 Marketing 1,000 1,000 1,000 Leased Equipment 2,000 2,000 2,000 Utilities 500 500 500 Insurance 250 250 250 Benefits 12,000 12,000 12,000 Depreciation 10,000 10,000 10,000 Interest 1,200 1,200 1,200 Other 0 0 0 Total 78,950 83,950 83,950 6.0 Media and Budget Due the unawareness of a large portion of population in Australia extensive advertising and promoting strategies would be used by the company. AUD $ 110 million would be required for the purpose. However, the media vehicles that company could utilize to gain popularity include: Television: in Australia around 1.43 million people watch television on a daily basis. Therefore, ads could be generated and which act as a valuable resource. For this, AUD $40 million could be allocated (Viscolani, 2009). Radio: Radio is also very popular in Australia and could have a good influence on the people leaving here. Another $30 million would be required for this. 16 Social media has now become a huge platform and almost everyone uses one or the other platform. Therefore, regular updates on such platform can actually help the company a lot. $ 15 million could be allocated to advertising through social media(Anderson, et al., 2012). Rest could be used for creating brand awareness and invigorating the brand name. 7.0 Conclusion Therefore to sum up, it can be said that Camel Milk Victoria has a bright future as a company and its products could dominate the market. But, this could only be achieved with the proper use of information gathered and the proper use of strategies discussed above. Therefore, all the strategies and analysis will help the company to grow. 17 REFERENCES Agrawal, R.P., Benrwal D.K., Kochar P.C., Tuteja S.A., Sharma S. (2005) Camel milk as an adjunct to insulin therapy improves long-term glycemic control and reduction in doses of insulin patients with type-1 diabetes: A 1 year randomized controlled trial. Diabetes resClin.Pract 68: 176-177. Agrawal, R.P., Budania S, Sharma P., Gupta R., Kochar D.K., et al. (2007) Zero prevalence of diabetes in camel milk consuming Raica community of north-west Rajasthan, India. Diabetes Res ClinPract 76: 290-296. Chitty, W., Luck, E., Barker, N., Valos, M., & Shimp, T. A. (2015). Integrated marketing communications. South Melbourne, Victoria Cengage Learning Australia, [2015]. Dairy Australia (2016) About the Australian dairy Industry (2016) Retrieved from www.dairyaustralia.com.au/About-the-industry/about-the-australian-dairyindustry.aspx 1:55 pm, 10 September, 2016. Doukas, A. J., Guo, J., Lam, H. T., & Xiao, S. 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