ACKNOWLEDGEMENT

We have the pearl of our eyes to admire blessing of the compassionate and omnipotent
because the words are bound, knowledge is limited and time is short to express His
dignity. It is one of the infinite blessings of almighty ALLAH that He bestowed us with
potential and ability to complete the present training and make a material contribution
towards the deep oceans of knowledge.

First we avail this opportunity to bow our head before ALLAH almighty in humility who
given us the wisdom and perseverance for completing this piece of six weeks internship.

We invoke peace for Holy Prophet Muhammad (P.B.U.H) who is forever torch. We feel
highly privilege to ascribe the most and ever burning flame of my gratitude and deep
scene of devotion to the Prof. Shahzad Alam who taught us “Fundamentals of
Marketing” with heart and also gave a guideline to this report. It would be an honor for
us to thank Mr. Rehan, marketing manager of Haleeb Foods Limited and Muammar
Hayat Khan Khakwani assistant brand manager of Haleeb milk for their nice and
cooperative behavior.

1
 Table Of Contents
Serial No. Topics Pages
1 History 3
2 Profile Of Haleeb 4
3 Introduction 5
4 Mission and Vision Statement 5
5 Product Range 6
6 Mile Stones Achieved 8
7 Marketing Mix 9
8 Product: 10
Milk Collection 11
Processing Of Milk 14
Packaging 16
Labeling 16
9 Price: 17
Price Control 17
Price Strategy 17
Price Objective 19
10 Promotion: 20
Advertisement 20
Personal selling 21
Sales Promotion 22
Publicity 22
11 Placement: 23
Benefit to Retailers 24
Target MARKET 24
12 SWOT Analysis 26
13 Recommendations 27

HISTORY
Chaudhry Dairies limited was incorporated in 1984 as a Public limited Company.
The head office is situated at 135 Ferozepur Road; Lahore while the plant is situated at 62
km Lahore-Multan Road, Bhai Pharu. Commercial production started in 1986 & the
company reached its breakeven in the year 1992. In the 1993 milk powder was
introduced in the market in the bulk form.

Haleeb Foods is well known for it “first mover” initiatives in product &
packaging innovations. The company believes in using leading edge processing &
packaging technologies to meet consumer’s expectation of hygienic & high quality food
products. Haleeb Foods employs the broadest range of packaging formats; Tetra Brick,

2
Fino, Classic & Foods grade plastic bottles for the convenience of consumer. The
company has one of the largest nationwide distribution networks with the help of 1100
distributors/ dealers delivering high quality products even in remote areas of Pakistan.
Moreover, it has tapped opportunities in export markets including Korea, Hong Kong,
Bangladesh, Afghanistan & the central Asian states.

PROFILE OF HALEEB

 Plant Distance from Lahore 62 KM

 Company Established 1984
 Plant Installation 1985
 Plant Trials May, 1986
 Commercial Production May 21, 1986
 Affiliation with CCF-Holland 1989-91
 Power Plant Installation 1992
 Breakeven Point Achieved 1994
 TQM System Established 1994
 Achieved #1 Position in UHT milk 1996
 ISO-9002 Certification 1997
 ISO-9001: 2000 Certification March 2003

3
  HACCP June 2003
 ISO-14001 (Certification Recommendation) August 2004
 Bottling Plant Installation 1998-99
 Total Land 81,000 Sqr.Mtr.
 Plant Covered Area 12,000 Sqr.Mtr.
 Colony Covered Area 19,600 Sqr.Mtr.
 Admin Block Covered Area 600 Sqr.Mtr

INTRODUCTION - THE COMPANY

Haleeb Foods Limited is one of the fastest growing packaged food companies in
Pakistan with an annual turn over rate of 7.2 Billion. It was incorporated on 9th April
1984, while it’s started its commercial production in July 1987. Within a short span of
just 2 decades, the company is operating in 5 businesses segments; UHT milk, Cream,
Juices, Powdered milk & Butter oil. Haleeb Foods has achieved undisputed leadership in
the liquid packaged milk category with a market share of more then 56%. The company
has a very strong portfolio consisting of leading National / International Brands; Haleeb,
Candia, Dairy Queen, N’rish, Skimz & Tropico.

MISSION STATEMENT

"Build Branded food business to improve quality

of life by offering tasty, affordable and highly

4
 nutritional products to our consumers while
maximizing stake holders' value"

COMPANY VALUES

 Accountability
 Team Work
 Enterprise
 Empowerment
 Trust

VISION STATEMENT
" Most innovative & fastest growing food
company offering products enjoyed in “every
home every day".

TOTAL QUALITY - OUR CORE MISSION:

 Providing nutritious and hygienically processed food products to our customers at

competitive prices.
 Enhancing our reputation for quality in all our operations.
 Promoting mutual trust with customers, suppliers, employees and shareholders.
 Providing a safe and healthy environment to our community.

PRODUCT RANGE

Haleeb Foods Limited is producing the quality products as per the standards of ISO &
HACCP. Along with the quality products, Haleeb is also producing the wide range of the
products including milk based products, juices, powder etc.

The products can be divided into following ways:

5
 Types Of
products

Consumer Industrial
Exports
products Products

CONSUMER PRODUCTS:

Products, which are branded and are sold to the end consumer through a distribution
chain in the packaged from as produced by the company. Consumer products are sold
under following brand names:

1) Haleeb (Umbrella brand):

i. Haleeb UHT Milk
ii. Haleeb UHT Cream
iii. Haleeb Yogurt
iv. Dairy Queen
v. Haleeb Gold
vi. Haleeb Good Day Pure Juices (Mango, Orange, Apple, Mix, Pineapple,
Red grape)
vii. N’rish (Instant Full Cream Powder Milk)
viii. Asli Desi Ghee
ix. Haleeb Fun Day Juice Drinks
x. Haleeb Laban (Saltish & sweetened)

6
xi. Haleeb Tea Mix (Plain & Cardamom)

7
 2) Candia:
i. Candia Candy Up Flavored Milk (Brick)
ii. Candia Bottles
iii. Candia Liquid Skimz
iv. Candia UHT Milk (Brick)

3) Tropico:
i. Tropico Fruit Drink (Mango, Apple, Mix)

INDUSTRIAL PRODUCTS:
Haleeb Skimmed milk Powder (SMP) was introduced in 1992. Apart from internal use, it
is also sold as bulk products. Instant Full Cream Milk Powder (IFCMP) was introduced
in 1996. Both products are sold in 25 kg bags.

Excess milk fat is sold unprocessed to makers of butter, ice cream and sweeteners, or at
request is turned into ghee.
EXPORTS:
CDL started exporting its products in 1999 and has done business with customers in
Korea, Afghanistan and china, United Kingdom.

MILESTONES ACHIEVED BY HALEEB FOODS

LIMITED (CDL)
 HACCP (in process controls for safer products)
 ISO 9002 (better quality for greater customer satisfaction)
 ISO 14000 (environment-friendly operations)

TOTAL QUALITY MANAGEMENT:

Haleeb Foods limited has established TQM system in 1994. Today's business
world is all about TQM and HFL has done it 12 years before.

8
 "MARKETING MIX"

"Marketing Mix is the set of controllable tactical marketing tools that are product,
price, placement and promotion. The firm blends these tools to produce the response it
needs from the target market."
Haleeb Foods believe in 5 P's rather than 4 P's. According to them, Nowadays
Packaging is a separate 'P' but we are discussing 4P's in this report.

PRODUCT PRICE

PLACEMENT PROMO TION

9
 PRODUCT

WHAT IS "PRODUCT"?
"Anything that can be offered to a market for attention, acquisition, use or
consumption that might satisfy a want or a need is a product. It includes physical objects,
services, persons, places, organizations and ideas."

HALEEB MILK:
Consumers everywhere know that only Haleeb
Milk makes the best tea ever because of its thickness.
Haleeb is pasteurized, homogenized, and standardized
pure UHT milk of the highest standard with 3.5% fats

b
and 8.9% solid non fa ts. It is Haleeb Foods premier

e
brand, and the choice of quality-conscious consumers

l e
who only go for the best. Packed in easy to open, 6-

a
layered Tetra Pak Brick Aseptic packaging, it comes

H
with a 3 months shelf life.

STAR PRODUCT:
Standard size that is ¼ Litre pack is most popular. It is the most profitable
package of Haleeb Foods. It was introduced because consumers prefer Haleeb Milk for
tea and through research the company comes to know that consumers are demanding
small packs. 250 ml pack is Haleeb Foods star product. Because it has high market share
and still market has great potential to grow in future. It is also a convenience product.
People plan little to buy it. So it is an impulse product.

10
 Haleeb is promoting 1 Litre more, to increase its sales as Candia is failed to
capture the desired market and they want Haleeb Milk to capture that market. In product

"life cycle" 250 ml and 500 ml packs are still on the growth stage and they have
the potential to grow more for about next 10 to 20 years but still to avoid any problems
they come up with Haleeb Chota that makes tea only for two persons.

Shipping Units:
1500ml 8 packs/carton
1000ml 12 packs/carton
500ml 12 packs/shrink-wrapped tray
250ml 27 packs/shrink-wrapped tray
65ml 24 packs/dispenser

Milk collection:

There are two types of milk collection systems adopted by HFL namely self-
collection and contract collection.

MILK COLLECTION
SYSTEMS

CONTRACT
SELF-COLLECTION
COLLECTION

SELF-COLLECTION:
A system in which HFL purchases and preserves raw milk that meets its quality
standards through their staff members are known as self-collection. It may include the
following:
I) Milk Collection Through Village Milk Collection Centre (VMCC)

11
Village Milk Collection Centre (VMCC) is a place where the farmers of an area come
and give milk and a person appointed by the company collects milk after testing it. At
VMCC the agent keeps the record of all the farmers who supply milk at VMCC and takes
samples from the milk. The samples are tested and receipt is given to the farmer and a
copy is kept at the VMCC for record.
Ii) Direct From Farmers (Df)
The collection vehicle, when goes to an area for the milk collection, there are some
farmers who don’t supply milk at the VMCC. They are aware of the timings of the
collection vehicle, so they supply milk directly to the people in the vehicle.

Iii) Progressive Farmers (Pf)

Progressive farmers are those farmers those who deliver the milk in a large quantities and
supple directly to the collection vehicle.

CONTRACT COLLECTION:
It is the system in which HFL deals with the different private milk collecting persons and
enters into a contract with them to provide milk to the company. They may include the
following:

I) Mini Contractors
Mini contractors are those who provide milk about 1000 liter of milk per day. They
collect milk on their own.

Ii) Sub-Contractors
Sub Contractors are almost the same as that of mini contractors but the main difference is
that milk is collected from the mini contractor’s place but sub contractor has to transport
milk to the HFL.

12
 FARMER

DODHIES VILLAGE MINI

MILK CONTRACTO
COLLECTOR R

SUB CENTER

MAIN BIG SUPPLIER

CENTER

HALEEB
FOODS
LTD

13
PROCESS OF HALEEB MILK

PASTEURIZATION:
The founder of this process is Louis Pasteur; in which heat treatment is given to the milk
in order to inactivate the enzymes and destroy the pathogenic microorganism and it also
produce whitening in the milk. The shelf life of the milk is increased up to 7 – 8 days
after pasteurization.

There are three main processes take place in it:

 Heat Treatment
 It has three parts:
 Regeneration No.1
 Regeneration No.2
 Heating And Cooling Section
 Separation.
 Homogenization

The following steps take place in the process of pasteurization:

1) Heat Treatment:

Regeneration No.1
From balance tank milk goes to regeneration no.1, where the temperature of the milk is
raised from 35 – 40 c by regeneration method. In regeneration no.1 the milk and the hot
milk coming after pasteurization has counter flow.

14
Regeneration No.2
Then the milk goes to regeneration no.2. It is also part of plate heat exchange (PHE) in
which milk is heated to 55 – 65c.

2) Separator:
From regeneration no.2 milk goes to separator that will separate the extra butterfat from
the milk in the form of cream. Separator work at 6000 – 7000 rpm and it has porous
stacked plates.

Due to centrifugal force, fat particles having less density are separated from the milk.
Impurities are also separated through the centrifugal action, as they down at the bottom,
from where these are dispose off.

3) Homogenizer:
From deodorizer milk goes to homogenizer in which milk is passed through nozzle at
high pressure of 100 – 150 bar.

UHT PROCESS
(Ultra Heat Treatment)
In pasteurization only vegetative forms of bacteria are killed while spore farming
microbes, the most pathogenic microorganism still exists. Ultra Heat Treatment (UHT) is
done in order to kill these microbes and to increase the shelf life of the milk. After
pasteurization milk is stored at 6 – 8 c.

15
PACKAGING:
All products of Haleeb Foods, including Haleeb Milk, have the contract with
Tetra Pack. The packaging of Haleeb Milk is 100% computerized. It is highly technical
and hygienic because Haleeb Milk is a food product so it is necessary to save it from
germs to maintain its parish ability.

Totally hygienic packing means, Aseptic packing which protects the milk from Bacteria,
light and extreme temperatures and provides a longer shelf life for its ultimate consumers
and customers.

The pack of Haleeb Milk includes Blue color which represents the thickness of the milk
and at the same time they mention purity and thickness. Their packaging is very
consistent with their overall idea or concept that they want to communicate to the
consumer.

LABELING:

Brand Name:
Haleeb,which is the Arabic name of Milk. It is also the name of CDL’s
cream.

BRAND SIGN
Daisy Flower

Front side: Brand Name in English (Haleeb Milk)

Back Side: Brand Name in Urdu (Haleeb Milk)
Left Side: Company's profile in Urdu
Right Side: Company's Address for any Queries
Prominent colour : Blue

16
 PRICE

WHAT IS "PRICE"?
Price is the value placed on goods and services. Price is the amount of
money and /or goods needed to acquire some combination of an other and its
accompanying services.

PRICING STRATEGY:
Company is introducing their products including Haleeb milk at comparative
prices. Now the competition is in quality of the milk.

Cost procedure:

The Haleeb Foods Limited is paying Rs. 14 - 22 according to quality of milk per
litre to the farmers and the commission agent who collects milk on the behalf of the HFL
is paid Rs. 1 per litre. The company packed UHT milk is being sold in the market at Rs.
38 per litre. Now the differential paid by the consumer as compared to what accrues to
farmers is Rs 12 - 22. Not all of this goes to the HFL. The company is paying Rs. 1 per
litre to the collection agents and Rs. 7 per Km for transportation from the collection
centre to a Hilux Van owner and Rs. 11 to Mazda Van owner which has comparatively
more capacity that a Hilux Van. The company is paying Rs. 16 per Km to big vehicle
owners to transport milk from PHE to the processing plant as transportation cost.

PRICE CONTROL:

There are no price controls and this has happened after the introduction of local
government system under the devolution plan. Companies are given free hand in
charging enormously high prices for processed milk. They procure milk at 6.5% fat
content and supply milk to the consumers at 3.5% fat content.  Moreover, the companies
also produce different by products by way of which they earn extra profits.

OVERALL DISTRIBUTOR OR WHOLE SELLER MARGIN 3%

RETAILOR’S MARGIN 3.5%

17
 Shipping Unit Price
1500ml 58
1000ml 42
500ml 22
250ml 12
65ml 4
Market share:
As far as market share is concern according to “Digest of Industrial Secters in
Pakistan” in a UHT packed milk category MILK PACK is dominated by other brand
having more then 3000 collection centers and get market share more then Haleeb FOODS
LIMITED that was 44%, and as Engro Chemicals also steps in the diary industry and
launches a milk name “OLPERS” and in less then a year they declare a notice on
September 13, 2006, as per the notice they able to captured 9% of market share and
utilizing their 70% capacity of their production unit is going to set another milk
processing plant in Punjab.

And rest of 2% comes under NIRALA, GOOD MILK, and NURPUR.

Market share of tetra pack milk is just 10% in the whole milk industry.

Processed/Raw Type of Milk Market Sale/Price

Share in Rs./Litre
Volume
Processed Milk UHT Tetra Pack 4.98% 42
UHT Poly Pack 0.02% 32
Open pasteurized milk sold at milk 3.76% 20-22
shops
Pasteurized pouch 0.24% 26
Raw/Unprocessed Open milk sold at milk shops 0.98% 24
Open gawala milk 90% 30-32
Milk
Direct to home 0.02% 24-25

PRICING OBJECTIVES:

The objectives of Haleeb foods for pricing Haleeb milk are as follows:

1. To achieve a target return.

2. To maximize profit.

18
 3. Stabilize prices to meet competition.

4. Market share Leadership

5. Product Quality Leadership

PROMOTION
What is "promotion"?
Promotion is the element in an organization marketing mix that serves to inform
persuade and remind the market of the organizations and / or its products. Promotion is
the most important factor in the marketing mix.

19
 Company is using every type of promotion but is not investing heavily in
advertising. The company has moderate investment in advertising. The objective of
promotions is to increase the market share of the product and company. Haleeb Foods is
using all Medias in promoting their product. The product Haleeb Milk is for tea drinkers
and Candia for drinking purpose.

TOOLS OF MARKETING:
ADVERTISING:
TV Commercial:
T.V commercial is the main medium that is most actively being utilized by Milk
Pack and Haleeb Milk. The second medium that helps both of them is through Tetra Pak
advertising that is highlighting the effects on doodh that is provided by the normal means.

Posters and billboards:

Posters and billboards are also affectively used for the promotion purposes but
they are not focusing on it as heavily as they are focusing on advertising. Billboards are
purchased for some time period but after the promotion is known to everyone the
billboard were not used anymore.

Posters are pasted at the small shops to enforce the impulse buying and Haleeb
gives a lot of weight-age to the shelf space that they get. But this strategy is used in big
shopping malls only because nestle enforce the retailers through other products so that
Haleeb can’t enforce small retailers.

Advertising Rate:
Few Rates of expensive channels are:

TV Channels Timings Rate Per Min

Geo 20.00 pm to 21.00 pm 80,290
PTV 19.40 pm to 21.00 pm 230,704
Ary Digital 20.00 pm to 22.00 pm 45,325

Advertising Strategy:

20
 The strategy is very simple, they know that we have a perception that the milk is
of good quality when it is thick. If we are talking about tea users then it becomes obvious
that the milk should be thicker because only then it can make more cups of tea. So their
slogan always focuses on thickness and purity.

The decision to choose the right advertising media is very important and it becomes more
important to identify that at what time the people watch TV and specially their target
market that is females.
Celebrities:
Sadia Imam is used as their brand ambassador. They have also used other celebrities
which are Sajid Hasan and other famous celebrities.

Through research we would come to know that females watch TV after 10 am to 11.30
am and again they watch TV at night at 7pm to 11 pm. The most wanted channels are
PTV and Geo News that are running on cable.

PERSONAL SELLING:
Direct marketing is also used but in a little bit different manner. They are using
direct marketing at retailers and training them as well. Whenever they come with a new
promotion teams are created which helps in communicating with end user and try to solve
their ambiguity.

SALES PROMOTION:
For the achievement of high performance in business activities and to raise the market
share of Haleeb milk, following these techniques:

AIDA PLAN:
A: Attention
I: Interest
D: Desire
A: Action

21
SMART:
S: Specific
M: Measurable
A: Achievable
R: Realistic
T: Time Related

PUBLICITY:
The company is not able to gain publicity from the consumers. The biggest
strength of the company is causing problems. Consumers perceive that they are using
powdered milk in order to make their milk thicker. Which refrain them to give them to
their children?

PLACEMENT

The distribution network includes the distributor then the wholesaler and in the end the
retailer. Again benefits are provided on the achievement of the sales targets and timely

22
delivery of products. In some cases products are provided to big retailers by the
distributor itself but mostly it is being purchased by the retailer from the wholesaler.

Whole

seller Consumer
&
Retailers

Market Segment:
Haleeb milk is targeting the mass market that means they have to work hard to
make it available at each outlet and to make sure that the product is available with out
ease. They have divided regions according to consumption patterns. The consumption is
calculated on the basis of buying behaviors of all packed milk. The regions like Defense,
Model Town, Faisal Town, Cantt. They are trying to deliver their products in their own
vans which are considered to be a better means of influencing the target market.
Low Buying Regions:
The regions where buying percentage is low, they provide the product with the help of a
proper distribution network. But in both cases they make sure that the product is available
and it is provided on the standardized price.

Benefits to Retailers:

The company gives discounts only to their premium and loyal customers. The most
commonly used incentive is giving more milk but at the end of the year a proper appraisal
function takes place to appraise distributors and retailers.

23
Target Market:

The company is targeting females and people of mature age for Haleeb milk as they are
mainly interested in the purchase of Haleeb milk but in case of Candia they are targeting
children as they are providing freedom to them to make choices of their own.

HALEEB OFFICES:

Registered Head Office

135 Ferozepur Road,

Lahore, Pakistan.

Phone(s): +92 (42) 111 135 135 E-mail: [email protected]

Fax. +92 (42) 759 0376

Factory

62-KM Multan Road,

Bhaipheru

Phone(s): +92 (42) 751 1636  

  +92 (4943) 510 874 & 5
  +92 (4951) 38 822 & 3
Fax. +92 (4943) 51 0844

Regional Sales Office (Lahore)

135 Ferozepur Road,

Lahore, Pakistan.

Phone(s): +92 (42) 111 135 135 E-mail: [email protected]

Fax. +92 (42) 759 0376

Regional Sales Office (Karachi)

24
Office No. 8,
2nd Floor Farzana Building,
Plot No. E/3,
Block 7&8,
K.H.C.S.
Commercial Area,
Shahhed-E-Millat Road,
Karachi, Pakistan.

Phone(s): +92 (320) 4315778 E-mail: [email protected]

Fax. +92 (21) 4315779

Regional Sales Office (Rawalpindi)

Suit # 8,
3rd Floor,
Hong Kong Plaza,
5th Road,
Satellite Town,
Rawalpindi, Pakistan.

Phone(s): +92 (51) 4426502 Email: [email protected]

Fax. +92 (51) 4426503

SWOT ANAYSIS
STRENGTHS:
1."Haleeb" is a National brand.
2. Technology potential

25
 3. Haleeb is the best natural source of Vitamins A & D.
4. Quality improvement
5. High Market Share of Haleeb milk.
6. Effective relationship with supplier
7. Company seeks continuous improvement in every department.
8. Pioneer of flavored milk
9. Haleeb Foods has wide product range.
10. Distinctive from others
11. Haleeb is getting international contracts.
12. A processed form of raw food also carries a good aroma, which is pleasurable to
the senses.
13. Skillful employee.

WEAKNESSES:
1. Limited Distribution
2. Communication gap.
3. Weak distribution networks as compared to their competitors.
4. Slow promotional activities, as compared to their competitors.
5. Preservation and storage cost since the item is very quick in losing freshness.

OPPORTUNITIES:
1. Range of coming Haleeb Products (Haleeb condensed milk, Haleeb
evaporated milk, Haleeb cheese).
2. Marketing via internet
3. Getting international contracts with England, Middle East, and Holland,
Afghanistan.

26
 4. More market share in liquid form milk category (56%).
5. New technology
6. In all other parts of Pakistan butter is widely consumed.

THREATS:
1. New entrants.
2. Resignations of their well-experienced staff due to good package
competitor are offering.
3. Not caring their existing SBU rather focusing more on their up-coming
Products.
4. GOVT. POLICIES

RECOMMENDATIONS:
They just want to target individuals who want to use packed milk for tea purpose
but here there is a problem. They are always confusing the consumer that what is a
product. If it is for tea then they should come up with only tea. They have committed
such type of mistakes in the past.
In order to solve a problem they should come up with a new brand name, they
came up with Candia but they are not able to communicate the right message that means
they were focusing on children rather than focusing drinking purpose.
The company should advertise more and try to advertise on cable as well.

27