Aptamil Profutura 2 Milk Launch Analysis

This assignment analyzes the launch strategy of Aptamil Profutura 2, a new toddler milk formula for the Australian market. The analysis considers economic factors, social trends, competitive landscape, and Aptamil's pricing strategy. It explores how these elements contribute to the success of this new product launch.

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Marketing
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MARKETING
Table of Contents
Introduction......................................................................................................................................2
Environment Analysis:....................................................................................................................2
Microenvironment.......................................................................................................................2
Macro environment......................................................................................................................3
Identification of a Target Market.....................................................................................................4
Description of Target Market......................................................................................................5
Positioning.......................................................................................................................................6
Conclusion.......................................................................................................................................8
Reference.........................................................................................................................................9
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Introduction
The purpose of the essay is to analyze the market for Baby Formula Aptamil in the
Australian market. The market is analyzed using the marketing environment in which the product
is manufactured and marketed. Further, the target market and the potential customers of the
product are analyzed using a well-designed pricing strategy.
Aptamil Profutura is a well-designed alternative for breast milk by some of the best
nutrition experts. It has been designed for the baby toddlers that could give the same amount of
nutrition required as the breast milk. The experts of the company are dedicated in manufacturing
milk for the infant toddlers with an experience of 30 years (Aptamil Profutura 2, 2017).
Aptamil Profutura is offering a new type of product for the infant toddlers named by
Aptamil Profutura. It has been designed by the best experts of the brand and is one of their
premium products. It is the most advanced formula designed by featuring a unique blend of
ingredients (Aptamil Profutura 2, 2017).
Environment Analysis:
Microenvironment
Competitors
Competitors play a major role while planning and analyzing the market for a product.
Brands for dairy products are growing in the FMCG companies in Australia. Aptamil Profutura
faces competitions in Australia from companies like Bellamy’s Australia Limited, A2 Milk and
others. The company offers similar products like Aptamil Profutura. In such a competitive
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situation, it is necessary that the company maintain a unique marketing strategy for itself in order
to capture the market (Aptamil Profutura 2, 2017).
Customers
Aptamil Profutura manufactures it products to serve different kind of customers such as
mothers having infant baby, for gifting purpose and for the internal customer base. The
customers also include some business customers that purchase for sale in their stores. The
business customers are like supermarkets, grocery stores that take the milk product from the
company. Thus, the customer base are spread for the company such as household, for gift
purpose, by doctors and business person.
Macro environment
Economic
Economic factor is crucial for the company to get a picture of the economic region they
operate. It helps them to decide the level of profit that they expect from the region and the
investment they will put on it. There are various economic factors that a company faces and that
affect the buying behavior of the consumers. For the milk product that Aptamil Profutura is
offering, it is important to know the living standard and style of the people, the growth of
Australia over the years (Gupta, 2013).
The Australian economy is a well-developed economy in which the people maintain a
modern and advanced lifestyle. The average earning of the people in Australia has been
$1556.30 in the year 2015, which was an increase of 2.1 percent compared to previous years
(Tradingeconomics, 2017). The GDP of the country according to Bureau of statistics, in the year
2017 has grown by the rate 1.8 percent compared to previous years. The economy also
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experienced an increase in the household consumption by 0.7 percent. The reproduction rate in
Australia is also increasing with a rate of 0.86 percent per 1000 (ABC News, 2017). This serves
as a driving force for the company to increase its sale from household consumers. moreover, the
company offers its products through online channels as well that is widely used channel in
Australia.
Social
Another aspect of macro-environment that will affect the growth of Aptamil Profutura in
Australia is the social and cultural aspect of the country. The social aspect that affects the
company is the living style of people, the traditional values and the modern lifestyle they
maintain. This is because a society believing in maintaining their traditions and old belief and
offer their child the homemade nutrition will not prefer such milk (Choez, et al., 2015).
Australia is a developed economy with most of the people preferring modern way of life.
Most of the people in Australia are working and thus they prefer such convenient nutritious food
for their children. Moreover, most of the people of Australia are health conscious and love to get
the best nutritious foods for their baby. Moreover, the advanced society of the economy would
love the advanced formula featuring the product (Geoba.se, 2017).
Identification of a Target Market
Depending on the content, benefit and usefulness of the product that Aptamil Profutura, it
is important to design a target market for the company. The main target market for the company
would be termed as the modern middle-income level households.
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Description of Target Market
The defined target market for the product that is the modern medium income level
customers is segmented under various categories such as geographic segmentation, demographic
segmentation and psychographic segmentation (Solomon, 2014). These categories of
segmentation portray different target market for the company. As the infant mil product acts as a
supplement for the breast milk and other homemade nutritious foods for the baby, it is necessary
that the mindset of the family is supportive for readymade milk. This is because a family with
strong traditional believes will never accept this product. Moreover, the company will also target
the household with more number of infant children as the product is only for the children.
Children with the age range of 6 to 12 months are the main target market for the company
(Aptamil Profutura 2, 2017). Moreover, the company also targets the middle-income customers
for the product, as the pricing strategy that they maintain is competitive pricing. Moreover, the
company will target the regions having the highest birth rate in Australia and supply the products
in the stores of those areas. As the milk is presented as the readymade food for the infant
children, it suits the fast life of people of Australia. Through online website, the company targets
the mothers that are office goers and love to shop for the baby through online. This is the type of
psychographic segmentation the company has formed for is customers.
Thus, segmenting the market proves to e beneficial for the economy, as it is the best way
the company can streamline its customers and their need. By segmenting the market, Aptamil
Profutura is able to offer the product to the potential customers. This will help the company to
target the best customers of the product.
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Positioning
The market for the milk that the company is offering can be positioned based on various
aspects such as advantages of the product, the nutrition content, formulation of the product and
others. Positioning is the type of name or image the brand is occupying in the market based on
the product it is offering. The positioning helps in differentiating the product of a brand from
other similar brands. Positioning is done according to the type of market the company is
targeting. However, there are different types of positioning that the company can use such as
price-quality approach and product-user approach. The company chooses the price-quality
approach because it tries to put itself as one of the most featured and advanced quality product
(Schlegelmilch, 2016). This is the reason it has designed the milk with some of the most
advanced formula and nutrients. On the other hand it is seen that the company uses product-user
approach in which it portrays its product as the most useful and healthy food for the babies. It
offers the some of the most needful nutrients to the baby such as energy, carbohydrates, fat and
protein in right amount. It is has positioned itself as a useful and affordable baby food brand in
Australian and international market.
According to (), a brand design a positioning for itself through a positioning map that helps them
to formulate the perception that the consumers will hold for their brand. The positioning map
shown below represents the position of Aptamil Profutura compared to its competitors in the
FMCG industry of Australia.
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Price (high)
Higher Value
Less Value
Price (low)
MARKETING
From the above positioning map, it is seen that the company has positioned itself better
than its competitors have. It is seen that A2 Milk of Australia has positioned itself as one of the
most valuable as well as high priced brand. It offers healthy and nutritious milk for the infants at
a higher price and targets the rich customers. However, another competitor has positioned itself
as high priced milk and trying to move itself from low valued to high valued milk as per its price.
However, it is seen that Aptamil Profutura has positioned its new product at low priced product
and is of high value to the customers. This is due to its advanced featured formula that it has used
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in the product. This has helped the company to gain a competitive advantage over its
competitors.
Conclusion
From the above analysis, it can be concluded that Aptamil Profutura is inventing new
formula 2 milk for toddler from age group 6 to 12 months. It has been seen that for the product
the company is deciding to offer it at a competitive price and target the household customers of
Australia. Moreover, it is seen that the economic and social condition of Australia supports the
demand for such milk, which offers as a substitute for breast milk. This is because most of the
mothers in Australia are working and prefer to offer nutritious food to their toddlers.
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Reference
ABC News. (2017). Australia's economic growth jumps, but is it sustainable?. Retrieved 18
November 2017, from http://www.abc.net.au/news/2017-09-06/gdp-economic-growth-
abs-data-june-quarter-2017/8877618
Aptamil Profutura 2. (2017). aptanutrition.com. Retrieved 18 November 2017, from
ehttps://www.aptanutrition.com.au/our-products/follow-on-formula/aptamil-profutura-2-
premium-follow-on-formula.aspx
Choez, W. O., Cortázar, M. Q., Cruz, S. H., & Carvache, K. R. (2015). A framework for PEST
analysis based on neutrosophic cognitive map: case study in a vertical farming
initiative. Neutrosophic Sets and Systems, vol. 17/2017: A Quarterly International
Journal in Information Science and Engineering, 2(4), 57.
Geoba.se. (2017). Geoba.se. : Gazetteer - Australia - 2017 - Statistics and Rankings Retrieved 18
November 2017, from http://www.geoba.se/country.php?cc=AU
Gupta, A. (2013). Environmental and pest analysis: An approach to external business
environment. Merit Research Journal of Art, Social Science and Humanities, 1(2), 13-17.
Schlegelmilch, B. B. (2016). Segmenting Targeting and Positioning in Global Markets.
In Global Marketing Strategy(pp. 63-82). Springer International Publishing.
Solomon, M. R. (2014). Consumer behavior: Buying, having, and being (Vol. 10). Upper Saddle
River, NJ: Prentice Hall.
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Tradingeconomics.com. (2017). Australia GDP Growth Rate | 1959-2017 | Data | Chart |
Calendar | Forecast. Retrieved 18 November 2017, from
https://tradingeconomics.com/australia/gdp-growth
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