Marketing Report: Bulla Dairy's 3-Year Strategic Plan

This report provides an in-depth analysis of Bulla Dairy's marketing strategies, focusing on the launch of their new 'Exotic natural ice cream'. It applies various marketing models like PLC/BCG matrix, SWOT, PESTLE, Ansoff matrix, and perceptual mapping to evaluate the company's current market position. The report justifies three marketing objectives for the next three years, including expanding market share in the Asia Pacific region, achieving specific profit margins, and offering affordable exotic ice cream. It also develops a comprehensive marketing plan incorporating market research, competitive analysis, and marketing mix elements (7 Ps, STP process, Porter's generic strategies). Furthermore, the report details a marketing communication plan and includes a Gantt chart for project management. The report concludes with a discussion of the company's strategic objectives and recommendations for future marketing efforts.

INDIVIDUAL REPORT

EXECUTIVE SUMMARY
For any business marketing is very important for enhancing their business. This has to be
done very carefully by the Bulla Dairy Firms in order to achieve their target and goals in time.
This report is explaining about the marketing models and concepts which is being used by the
company. Plc/bcg matrix, SWOT analysis, PESTLE analysis, Ansoff matrix, perceptual mapping
all these models are studied in this report. Justifying 3 Marketing objectives that firm should
pursue for next 3 years, for example, aim for 2 % share in Asia Pacific market for enhancing
sales and profitability position, net profit of 10 % in financial year and then increment of 12 % in
second year and 18 % followed in next year, provide Exotic natural ice cream at affordable
prices by which firm may be able to attain desired sales and maximizing satisfaction level.
Developing an effective marketing plan which is including elements, like market research,
competitive analysis, market strategy which includes 7 P's of marketing mix, STP process, porter
generic strategies, etc. and producing Gantt chart is also explained in this report. Discussing
marketing communication plan for company. It is prepared for how to communicate messages
made in marketing plan to the target audience. In marketing communication plan, advertising
media will be used so that company may be able to communicate messages in the best possible
manner.

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
Applying marketing models and concepts and critically examining the current market position
................................................................................................................................................1
TASK 2............................................................................................................................................5
Justifying 3 Marketing objectives that firm should pursue for next 3 years..........................5
TASK 3............................................................................................................................................7
Evaluating marketing plan for forthcoming period................................................................7
TASK 4..........................................................................................................................................10
Critical discussion of Marketing Communication Plan for achieving strategic objectives..10
TASK 5..........................................................................................................................................11
Producing GANTT CHART for the sourced data................................................................11
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................14

ILLUSTRATION INDEX
Illustration 1: Product Life Cycle Portfolio.....................................................................................2
Illustration 2: Perceptual Map..........................................................................................................5
Illustration 3: Porter's generic Strategy Model................................................................................9

INTRODUCTION
Marketing is a crucial business function which has to be performed in that manner by
which stated strategic objectives could be achieved within stipulated time. Present report deals
with Bulla Dairy Firms engaged in milk and dairy products manufactured and exported in the
market. It is planning to launch new product named as 'Exotic natural ice cream' and marketing
plan is prepared which will be achieved in a period of 3 years. Moreover, marketing models and
concepts are devised for examining current market position. SWOT analysis, Ansoff Matrix,
Environmental analysis, Perceptual mappings, Barksdale and Harris combined PLC/BCG matrix
are prepared. Marketing communication plan is made which is required for communicating
messages to target audiences. Moreover, Gantt chart is prepared for nearly 4 – 5 weeks covering
activities done for accomplishing project.
TASK 1
Applying marketing models and concepts and critically examining the current market position
The current market position of company can be effectively accomplished by applying
various models of marketing. Bulla Dairy Foods which is a 100 % Australian family owned
company engaged in dairy products has been performing well in the market and accomplishing
profits. Marketing models have been applied for clarifying current positioning of company.
Barksdale and Harris combined plc/bcg matrix-
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Illustration 1: Product Life Cycle Portfolio
Source: (The product life cycle portfolio matrix Marketing Management, 2016)
SWOT Analysis-
Strengths (S)-
One of the main strength of Bulla Dairy Foods is that it is engaged in dairy business since
1921 and is an award-winning Australian brand. It has variety of dairy products sold such as ice
cream, table cream, yoghurt, cottage cheese and many other commodities which is manufactured
and exported to nearby markets and earning profits quite effectually. Another strength is that it is
bestselling ice cream brand in supermarkets and further organisation has been carrying business
over five generations which speaks clearly about its strengths (Lovelock and Patterson, 2015).
Weaknesses (W)-
Bulla Dairy Foods has been purely engaged in milk and dairy products for garnering
income. In simple words, it is highly dependent on same segment which is the main weakness of
it. It needs to diversify range of products for attaining more market share and profits. Next is that
firm has major presence in Australian industry but is not a market leader in Asia Pacific. It
requires overcoming its weaknesses to increase share and maintain its brand name.
Opportunities (O)-
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There are many opportunities which can be useful for organisation in order to effectively
increase its market share and position in the best possible manner. Expansion will be useful to
Bulla Dairy Foods particularly in ice cream segment because its major competitor Peters and
Streets has faced downfall in market share as it is fallen down by nearly 30 % which can be
fruitful for expansion by company. Moreover, to expand in Asia Pacific to maximise customer
base for enhanced profits. Hence, by effectively expanding in ice cream products and also in
regions, sales and income can be maximised (Armstrong and et.al., 2015).
Threats (T)-
One of the major threat to business which might harm its earnings is epidemics and
diseases among cattle leading to downfall of operations up to a major extent. Another threat is
that since dairy and milk products are highly perishable, main challenge is to preserve the same
from getting spoiled. Timely process of items is required by which threat can be overcome.
Failure of maintaining and storing commodities could result into losses. Increment in fuel costs
is another threat to business.
ENVIRONMENTAL Analysis (SWOT)-
External environment
Political (P)-
There are various political factors which can cause firm's operations up to a high extent.
Since, Bulla Dairy Foods manufactures and exports its products, it has to face trade custom tax,
export duty and related taxes for uninterrupted operations. Hence, political factors affect
business.
Economical (E)-
Economic factors such as increasing inflation rate in Australia and other markets in
which exports are made affects company. Along with it, interest rate, disposable income of
customers are major factors. Increasing fuel costs also adds to the same (Baker, 2016).
Social (S)-
Social mind-set of different people is different along with cultural and social
implications. It is expected that customers should prefer their Exotic natural ice cream which will
be very fruitful for increasing their sales.
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Technological (T)-
Modern techniques are important for manufacturing in quick manner. This is essentially
required for accelerating pace of production. Bulla Dairy Foods deploys techniques so that
products can be produced quite quickly.
Legal (L)-
Legal factors such as product regulations, industry rules and regulations needs to be
followed by organisation so that it may be able to continue operations with ease. Bulla Dairy
Foods should effectively comply with legal obligations.
Environmental (E)-
Wastage of resources should be minimised and organisation should produce keeping in
mind the same. Disposal of waste must be done according to the environmental laws of Australia
and as such, company must comply with it (Fill and Turnbull, 2016).
Internal environment-
The internal environment as discussed in SWOT analysis shows that company need to
focus on accomplishing new product to expand its reach and positively influence exports.
Company markets will be impacted because it will have to focus on new product. Exotic natural
ice cream is one such product which would add on to firm's ice cream items (West, Ford and
Ibrahim, 2015). This is required as people have become health conscious and will be helpful for
company in reaching to Asia Pacific market. Customer Relationship Management (CRM)
strategy will be implemented by organisation in the future as it is an established brand and
focusing on maintaining stronger relationships with customers will be required and thus, CRM
would be beneficial for company. Need of change will be made in according to the market
segmentation. Timing and resourcing should be done in order to do effective marketing and more
labour will be needed by firm to achieve profits quite effectually.
Perceptual Mapping- It is a diagrammatic illustration of customers’ perception for certain
products which can be very useful for marketers to understand and make improvement in their
products and service.
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From the above map it can be interpreted that, company should focus on low cost and
high quality for their product range as this will help them in increasing their business as well as
customer rate. It would be very useful if they implement this strategy in the introduction of their
new product range of 'Exotic natural Ice creams'.
TASK 2
Justifying 3 Marketing objectives that firm should pursue for next 3 years
Marketing is a vital task undertaken by the management and organisation should focus on
achieving objectives formulated. Three-year marketing objectives of Bulla Dairy Foods are listed
below-
 To aim for 2 % share in Asia Pacific market for enhancing sales and profitability
position.
 To accomplish net profit of 10 % in financial year and then increment of 12 % in second
year and 18 % followed in next year.
 To provide Exotic natural ice cream at affordable prices by which firm may be able to
attain desired sales and maximising satisfaction level.
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Illustration 2: Perceptual Map
Source: (Perceptual Mapping Positioning, 2018)

The justification of 2 % share in other region which is Asia Pacific would be attained by
Bulla Dairy Foods in order to expand its reach to more markets. This objective is justified
because firm needs expansion for generating sales and has potential to attain same which is
cleared by its dominance in Australian market. The profit margin will be achieved in following
years by employing more efficient employees for maximisation of net earnings. The same price
will be implemented for Exotic natural ice cream. Hence, company will attain profits in
accordance to stated marketing objectives.
Ansoff Matrix
Market Penetration-
Bulla Dairy Foods is required to penetrate in existing market to attain more consumers in
best possible way by deploying strategies. It is essentially needed for growth in current market
and penetrating same for earning more would be required by which organisation could
effectively accomplish strategic objectives in effectual manner. In this manner, organisation
would easily achieve growth in existing market aiming for dominating Australian market and
enhance existing share. It will be fruitful for company for increasing sales and thus, desired
profit would be attained. Good reputation will be achieved by selling more in the existing market
(Ashley and Tuten, 2015).
Market Development-
Business tries to expand its reach to more markets by selling existing products. In simple
words, new segments are explored by company which is required for gaining market share with
much ease. Bulla Dairy Foods would attain growth in new segments such as Asia Pacific region
and other geographical areas by which sales would be met. New regions will be helpful in
attaining share in the market and hence, industry development could be achieved in timely
manner. Moreover, for ensuring maximum sales, firm would also focus on providing competitive
pricing to attain market quite comfortably.
Product Development-
The products are made by organisation are mainly ice cream items for selling to
customers and exports are done as well. To ensure that domestic consumers are benefited in
effective way, new product will be made in order to attain sales. Exotic natural ice cream will be
beneficial for organisation for maximising sales accordingly. In the same manner, firm would
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attain income quite effectually and thus, product development will be made and targeted to its
existing segments mainly in domestic market. Thus, organisation would attain profits in good
quantum and new item will be successfully placed in market (Erevelles, Fukawa and Swayne,
2016).
Diversification-
There are various reasons for which company initiates for developing new business and
market segments accordingly. Bulla Dairy Foods which is engaged in milk commodities could
diversify its market and operational activities by starting new business. In other words, company
aims to effectively diversify its product range in order to attain profits and thus, organisation
would accomplish market share by providing completely new products in the best possible
manner.
TASK 3
Evaluating marketing plan for forthcoming period
Marketing plan is a type of document which is made to outline company's marketing
strategy and advertisement for future years which will be used by them in expanding their
business in industry. This will include all the activities which will be achieved in specific time
period to get effective results from it. A good marketing plan will include company's current
position in market, on the basis of which it will be planned accordingly for future strategies
(Paley, 2017). There are various steps which has to be followed by Bulla Dairy Firms in order to
get effective results, such as,
Market Research: This is the initial step to build an effective business plan. This process
will include collection of all the data and information which can be useful for company,
such as, studying marketing dynamics in which they are operating, customer's behaviour,
sales value, etc. which can have a direct impact on their business.
Competitive Analysis: It is very important for Bulla Dairy Firms to analze their
competitors and what are the products and services they are providing to their customers.
It will help them to improve their services and products (Paley, 2017).
Market Plan Strategy: This process helps in establishing effective marketing strategies
which will be used by Bulla Dairy Firms. This will include various methods, such as, 7
P's of marketing mix, Porter’s generic analysis, market segmentation.
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7 P's of Marketing Mix
Product This will include all the products of Bulla dairy firms which they offer to
their customers, such as milk products. It has to be of good quality which
can increase their sales.
Price It is very important component of a marketing plan as it will determine
firm’s profit and survival in the market. Prices of their product should be
affordable which can be easily bearable by their customers. Too high
price can affect their business. They can implement pricing strategies,
like, market penetration pricing, skimming pricing, etc.
Place Distribution of their products is very important for Bulla dairy firm. It is
crucial that their products should be easily accessible by their customers
in market. There are so many distribution strategies which can be used by
them, such as, franchising, selective distribution, etc.
Promotion Without proper promotional activity it is impossible to increase the sales
of company. It has to be effective and can be achieved through various
measures, like, making public relationships, advertising, etc. (Byrd-
Bredbenner and et.al., 2017).
People This includes their employees, management of work culture and customer
service which has to be maintained properly to satisfy their consumers.
Process This step includes all the processes which is being used in production of
their products. It has to be neat and clean and hygienic.
Physical Evidence It is the final outcome of their products which is available in market for
customers. It has to be attractive.
Porter's Generic Strategy
1. Cost Leadership 2. Differentiation
In this process, a firm sets out to become the
low cost producer in its industry which can be
In this process, company has to bring some
uniqueness in their products which can make
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