Table of Contents

An Introduction to the Parent Company,

LBPL………………………2
Mission
Statement…………………………………………………...3
An Introduction to
Walls……………………………………………4
Our Product, Magnum…………………………………………...
…..5
Nature of the Product……………………………………………..
…5
Marketing
Objectives………………………………………………...6
Product Marketing
Mix……………………………………………....7
- Product………………………………………………………7
- Price…………………………………………………………7
- Place…………………………………………………………8
- Promotion………………………………………………….... 8
Market
Segmenting…………………………………………………..9
Market Targeting……………………………………………………
9
Market
Positioning………………………………………………….10
Buyers’ Decision
Behaviour…………………………………………...10
Stage in Product
Lifecycle……………………………………………11
Competitors
Scope…………………………………………………...11
- Igloo
Quanta………………………………………………….12
- Other Competition……………………………………………
14
Distribution
Channels………………………………………………...15
Advertising…………………………………………………………..1
5
Consumer
Analysis…………………………………………………...16
SWOT
Analysis……………………………………………………..17
Marketing
Strategies………………………………………………….18
Recommendations…………………………………………………
…19
Conclusion………………………………………………….
………..24

Lever Brothers Pakistan Ltd.

The holding company of Lever Brothers is Unilever, which is

a member of ICC (International Chamber of Commerce).
Unilever was formed in 1930. Today it has five hundred
operating employees in over eighty countries and
employees about three hundred thousand people
worldwide. Unilever Company markets over a thousand
strong and successful brands. Pakistani business now ranks
top among the leaders in Unilever.
2
Lever Brothers is the foremost Consumer Product Company
in Pakistan. It is competitive and innovative, with market
leader ship in the diverse business of branded foods like
oils, dairy fats, ice creams, beverages, home care, fabric
wash, personal wash and personal care.
The history of Lever Brothers’ fifty years in Pakistan runs
parallel to the tale of how an industrial base was built up in
what was an over whelming rural country.
In Pakistan Lever Brothers contribution to economic
development cannot be under estimated. The company
contributes a significant portion to country’s taxes. It
employs a large number of local managers and workers. It
provides a pool of well-trained and highly motivated
manpower to other segments of industry and commerce.
The company has raised local standards of quality, safety,
hygiene, marketing, distribution, labor, relations and
environmental protection. Through out its history it has
inducted new and innovative technologies and products
into the country.

Mission Statement

Lever brothers will be the foremost consumers Product

Company in Pakistan. We will be competitive and

3
innovative, with market leadership in the Unilever core
business of foods, cleaning and personal care.
Our strength comes from our people and from combining
the best of our international as well as Pakistani origins.
Our commitment is to continually care for needs of our
customers, consumers, employees, suppliers, shareholders
and the community in which we live.

Walls

4
The idea of setting up an ice cream plant in Pakistan was
floated in 1993. It was first suggested that Lever should
acquire an already existing plant, which could be upgraded,
but what existed did not make the grade. Shah Nawaz
Khan, one of the mangers, who played a key role in
bringing Walls to Pakistan, was given the assignment of
investigating the potential of marketing ice cream. It was
not an obvious choice because of frequent power cuts. But
he managed to convince Unilever on basis that, Pakistan
had favorable demographics, the right climate and the ice
cream market was much below potential. The product line
consists from lollies to ice creams. This includes Cornetto,
Big Three, Max, Kulfis, Top Ten chocbars, Feast, Milky Way
and etc.
At present there are some 20,000 Walls freezers in Pakistan
spread over some 14,000 outlets
Unilever committed its own resources to acquire 'Polka' and
consolidate the ice cream market for Lever Brothers
Pakistan. Low gearing and reputation as a multinational
blue chip give Lever ready access to capital at good terms
to fund growth. Moreover Lever's ice cream business is
registering more than 20% annual growth, and is expected
to start contributing to profits in about 18 months. This,
together with synergies from the BB merger, is expected to
enhance margins. There is ideally speaking no reason why
Levers should not be making money at a steadily
increasing rate.

5
 Magnum

Walls introduced “Magnum” to the market on the 15th June

2001 all over Pakistan. Wall's recognized that leading
communications with Outdoor would allow Magnum a long
and very visible campaign. Magnum was an instant success
and became widely popular and exceeded its sales target.
Nature

The Ice Cream industry of Pakistan is basically dominated

by multinational Ice-Cream brands and various Ice-Cream
parlors popular among the Ice-Cream lovers. The Ice-Cream
brands include Igloo Ice-Creams, Yummy Ice-Creams, Move
pick Ice-Creams and Walls Ice-Creams (Lever Brothers
Pakistan Limited). The various Ice-Cream parlors include
Snoopy Ice-Cream parlor, Gelato Affairs Ice-Cream parlor,
Dip-Shop to mention a few. Also the Ice Cream served by
fast food restaurants and five star Hotels is also equally
popular in the niche class. Walls holds 72% of the market
share of the ice-cream industry.
Demand and supply conditions in the market are very
good. The companies maintain good stocks. Even if
ingredients or even entire products are imported there is
always good amount of buffer stock to keep the market
running.
The ice cream market is particularly influenced by the
weather and Wall uses a weather index to gauge conditions
for sales. So in winter demand for Ice Cream is low and in
summers the demand for Ice Cream is obviously high. So as
to increase sales many companies reduce the price of their
products. Also during peak seasons

6
like Eids, New Year and Independence Day demand is high
and prices are lowered so as to compete with the other
rivals prevailing in the industry.

Marketing Objectives

“In general the objective is always

profit, except in special cases
where presence or awareness may
supersede profit. However our
main aim is profit and creating
magnum maniacs in the market.”

Mrs Ayesha Ansari, Brand Manager,

Walls.

7
 Product Marketing Mix

Product
Magnum is made of Belgian chocolate and is the Europe’s
No.1 brand Ice Cream.

Ingredients:
Skimmed milk, milk chocolate (contains emulsifier: lecithin
& flavoring), sugar, butter, cream, dried egg yolk,
emulsifier (E471), stabilizers (carob gum, carrageenan),
natural flavoring, color (beta carotene), minimum 23%
Belgian chocolate.

Nutrition:
Energy: 289k Cal / 1207kJ
8
Protein: 3.9g Carbohydrates: 25.6g
Fat: 19.7g

Price
The price set for magnum is Rs. 30. We asked the Brand
Manager why the price has been set this high. In reply she
said:

“There are many reasons for this.

First of all, the target market of
Magnum is quite different from
other ice creams and the price of
thirty rupees seems fine for it.
Secondly, we see that the rather
ambitious targets, which we set for
the sales of Magnum, were easily
achieved

and well surpassed and thus, taking

these factors into consideration.
We feel that it would be unwise to
tamper with an equation that has
been working so well to date.”

Place
Presently, magnum is available at only selected vendors
across Pakistan and has a home in approximately 6000
Walls freezers. The vendors have been chosen to cater
specifically to their upper income level target market:
people who would not think too much of spending thirty
rupees on an impulse buy item like the magnum choc bar.

9
Promotion
As far as the advertising is concerned, the company did not
find it feasible to advertise on TV. There were a few reasons
for that. First and foremost, how much of the target market
would be reached by TV advertising for this brand was not
completely understood. The reason being that the target
market of Magnum would
mostly be engaged in watching satellite TV. Here the
consumers would be confused as to where the product is
actually launched. Also this product targets a small
segment of a big market. Thus using TV advertising would
have disabled the company from using other sources of
media due to budget constraints.
Thus the company started on out door media. A teaser
campaign was launched and this continued for some time.
It started of with just a “Me”. Then “& My “ was introduced
and finally it was completed with the tagline “Me and My
Magnum”.

Market Segmentation
Today, marketers are trying to identify markets they can
serve best, as one company cannot cope with the needs of
the whole market with one product.

10
For Magnum, Walls has segmented the market on the basis
of

Age (Under 8, 8-12, 12-18, 18-24, 24-30, Above 30)

Social Class (Lower lowers, upper lowers, working class,
middle class, upper middles, lower uppers, upper uppers)

Market Targeting

In Market Targeting, a firm decides which market segments

to enter. While doing that, it must look at three factors:
1. Segment size and growth
2. Segment structural attractiveness
3. Company Objectives.

After evaluating the three factors, the firm selects the

segments to enter.
Walls, for Magnum, has selected:
Age: 18-24 and 24 and 30.
Social Class: upper upper.

Market Positioning
A product’s position is the way the product is defined by
consumers on important attributes. Magnum is a premium
choc bar, which is positioned towards the human attitude
11
or nature of self-indulgence. It focuses on the selfish
aspects of human nature. No one likes to admit it but we all
have a selfish individual inside of us. This need develops in
people in the form of need for self-esteem, which usually is
found in people of the upper class. Magnum is not about
sharing; it’s about pleasure for ones own self. No other
product tries to send this image in this market. So, Magnum
has rightly positioned the right product for the right people.

Buyers’ Decision Behavior

Buying Behavior is the decision processes and acts of
people involved in buying and using products.
The need to understand the buying behavior of people is to
know:

 Why consumers make the purchases that they make?

 What factors influence consumer purchases?
 The changing factors in our society.

Many categories experience inter year variation in demand,

ice cream is one of them. Magnum is characterized as an
Impulse Buying Product. When the product stands in this
category, it needs to run advertisements frequently keep
reminding the buyers about the product. The purchase is
not planned; the buyer may buy the product whenever
he/she feels like.

12
 Stage in Product Life Cycle

After a product is launched, it passes through several

stages during its life.
Our product Magnum, is in the growth stage. As it was
recently launched, it should be in the introduction stage,
but due to the amount of awareness in the market, and the
sales figures crossing targets, the product can be seen in
the growth stage. This assumption is very important, as all
the strategies would be affected by this decision. On the
PLC, market growth is also associated with increase in
sales. This leads to the market becoming more attractive.

Competitors’ Scope

Business competitors are:

Other organizations offering the same product or service
now.
Other organizations offering similar products or services
now.
Organizations that could offer the same or similar products
or services in the future.
Organizations that could remove the need for a product or
service.

First, we look at the competitors of Walls. The competitors

for Walls will include all the ice-cream makers. The
competitors for Magnum are:

 Igloo Quanta
 MovenPick Ice cream
 Snoopy Ice cream parlor
 Gelato Affairs Ice cream parlor
 Igloo Dip Shop
13
  Imported Ice creams like Hagen Dazz, Dove, and
galaxy available at places like Aghas

In this list we consider Igloo Quanta to be our main

competitor due to similar attributes of the product and a
very similar target market.
For the purpose of analysis we will group the competitors
into two. First we would discuss our main competitor i.e.
Igloo Quanta and then the rest in one group.

Igloo Quanta
Quanta is a product of Pakistan Dairy Products (makers of
Igloo Ice cream) and have positioned themselves as the
main competitors of Walls Magnum. This
product is completely imported from U.A.E and is
distributed here. At the time of launch of Quanta the main
aim was to counter the growing market share of the ice
cream market by walls. The core business of Igloo is that of
take home liter packs, and quanta was just imported to
counter a future predicted launch of magnum by walls. In
an article in a local magazine the sales manager claimed
that Quanta was
doing very well even before the advertising of he product
began. According to him 40% of Pakistan’s “Ice cream
Consuming” market can be a target for quanta. We believe
that this claim is highly over stated or over optimistic. An
ice cream bar that costs Rs. 30 cannot target such a huge
segment of the population of this country. In short Igloo
when after they launched quanta believed that it is a
product which has a strong opportunity in a very small
market segment. The company despite fewer sales than
walls claims to be achieving targets.

14
Assessing Objectives of Igloo Quanta

If one closely examines the way igloo is going about in the

market with quanta, one can see that its aim is to restrict
walls from capturing more market share. Igloo started
above the line advertising when Magnum was launched. It
seems that Quanta was being pushed for market share.
This is very evident from the way the pricing and promotion
scenarios had changed for quanta. In short the company
wanted the brand to grow and to capture market share.
However now it seems that the company just wants to be
there to pose as competition for Walls MAGNUM. The
reason being that Igloo’s sales are falling rapidly. Some
retailers even claim that Magnum outsells Quanta in a ratio
of 2:1. According to the brand manager at Walls, Igloo’s
imports have declined by 22% overall.

It seems that Igloo is concentrating more on its core

business i.e. take home ice creams rather than over the
counter or impulse items.

Marketing Strategies for Igloo Quanta

Igloo Quanta has a similar market to Walls Magnum. We

look at Quanta’s Marketing Strategies in terms of Product,
Price, Place and Promotion.

Product:
Quanta is very similar to Magnum when it comes to product
attributes. It is the same big choc bar with a thick layer of
special chocolate (not Belgian chocolate). However, Walls
claims that it has one particular advantage over Quanta in
terms of product attributes. This is the thick layer of
Belgian chocolate and the ice cream inside. Walls claims
that if a Quanta would melt in 5 minutes then a Magnum
would take at least 12-15 minutes to melt. Also they

15
emphasize that the quality of Magnum is much better than
Quanta. One thing which is very essential to note is that
Quanta is a completely imported product and the margins
on Quanta are less
as compared to Magnum. Thus if a time comes to actually
push the brand, Magnum has a much better chance of
doing so than Quanta. Also there is a need
to analyze the product concept. Magnum is about Self-
indulgence and Quanta is just any other choc bar which you
can have. It does not trigger or focus on the same aspect of
human nature as Magnum.
As per now Quanta is available in 2 variants.

Price
At the time of launch of Magnum, Igloo tried to counter the
launch with a significant decrease in price. The price of
Quanta was slashed by 5 Rs to Rs 25. To Igloo this was a
strategy to stop magnum from gaining market share.
However this did not work, the perception of the target
market which is the same for both companies was better
towards Walls as a Brand than Igloo any day. Consumers
prefer to buy a Walls Magnum rather than an Igloo Quanta
even if they do have to pay a little extra.
In terms of price we believe that if Igloo had launched its
second variant at the time of launch of Magnum with a
label of an introductory price, they might have been more
successful. This price cut did not do the company that
good. The reason being that the product is not highly
elastic as it is targeted to an upper segment of the market,
which is not so reactive to price changes in such products.
As per now we forecast Igloo to continue with its current
strategy in terms of price.

Place

16
In terms of price Igloo followed the same strategy as walls.
The distribution was limited and it was only made available
at selected places.
In terms of the future we forecast that Igloo will maintain
the same strategy just as walls but on the other hand will
have to expand its list of customers of stay in the market.

Promotion
At the time of launch of Quanta, Igloo as per company
policy only advertised through eye-catching print material.
They believed that this would create good awareness in the
market and would induce trial of the product. We however
believe that this launch was not good enough. Consumer
awareness was not effectively created. People did not know
a lot about the product.
As soon as Magnum was launched, Igloo resorted to
following walls. First we saw stickers of “Me & My Magnum”
and then “Want a Quanta”. Also the company moved
towards product advertising and that too to counter
Magnum.
In our opinion if the company resorted to product based
advertising earlier they would have been in a much better
position in the market. As per now Igloo seems to be least
interested in the promotion of Quanta. It could be that it is
like before waiting for Walls to begin its new campaign and
then counter it.

Other Competition
As mentioned earlier in our list of competitors we consider
foreign chains and ice cream parlors to be some source of
competition for us. These parlors or products basically
provide choice to the consumer for satisfying his/her need
for ice cream. We mentioned earlier that these competitors
have to be monitored in terms of market entry distribution
etc. For Example: MovenPick has an Ice Cream parlor at
17
Park Towers. This needs to be analyzed as to its impact on
the sales of Magnum. Also small packs of MovenPick are
available at few locations with the smallest pack costing Rs
55. Even though this product is priced above Magnum, it
can pose to be a serious threat.
Other competitors as mentioned include ice cream parlors
like Gelato Affair, Snoopy etc. The problem with these
companies is that they cannot create awareness like
Magnum. People will only come there if they know about it.
Amongst the ones mentioned snoopy is the oldest and has
the greatest no. of outlets.
The advantage these parlors have is that of the
atmosphere. They provide not only ice cream but also a
place to sit and have ice cream i.e. the atmosphere.
One other small source of competition is the foreign ice
creams available at places like Aghas. These are priced
very high and this makes them a source of very little
competition for our product. People only eat them once in a
blue moon just for the prestige.

Distribution Channels

Ice-Cream industry compromises of wrapped impulse and

multi pack family markets. Both are equally potential
markets having many competitors from local to
multinational firms. Sellers try to develop differentiated
offers for the different customer segments and for this
purpose it would be hard to find a prestigious Ice-Cream
like Magnum or Quanta in a small general store in old city
or Malir since
quality tends to deteriorate and the taste doesn’t seems to
be the same. Therefore adequate distribution is necessary
so that the target market tends to get Magnum and other
Ice Cream and there is enough supply of the Ice Creams in
the retailer’s freezers. For this purpose many firms have
their own suppliers from the firms so that not only
18
adequate supply is available in the market to the target
customer and also so as to measure the sales and compare
it with the sales forecasts.
Our Product Magnum is distributed directly by Unilever and
no external distributors are used.

Advertising

In Pakistan, Ice-Cream industry competition may be healthy

but there are very few brands to name. So companies have
to fight for their market share and use various strategies
from price to promotional, which could make them leader in
the market. They try to compete on the basis of quality,
uniqueness and brand name. But beside these tactics they
also need to create awareness among the general public
about their products in their target markets. For this
purpose non-personal communication channels are mostly
used in the Ice-Cream industry. These include major media
(print media, broadcast media and display media),
atmospheres creating or reinforcing the buyer’s leanings
towards the purchase of the product and events that
communicate messages to the target audience. The most
commonly used are the major media that includes
billboards and posters in the display media, radio and
television in the broadcast media and newspaper and
magazines in the print media. Using the mass media often
affects buyers indirectly by causing more personal
communication. Communication first flow from the
television, magazines and other mass medias to opinion
leaders and then from these opinion leaders to others.
Thus, opinion leaders step between the mass media and
their audiences and carry messages to people who are less
exposed to the media.
Also word of mouth plays a vital role in the Ice-Cream
industry and the taste and prestige quality are praised if
19
the customer gets satisfied but in case of unsatisfied or
averagely satisfied customer the negative consequences
also prevail in which the unsatisfied customer could tell
about his/her bad experience to other people and result
negatively for the firm and its products.
For Magnum, Walls has only used print media for
advertising. According to the Brand Manager, advertising
on television wont reach the target market, as those people
are found, mostly, watching satellite television.

Consumer Analysis

Consumers don’t buy features but benefits. Consumers

want an ice cream stick that doesn’t melt easily and that
can be enjoyed till the last bite and that is what MAGNUM
gives them.
We went to supermarkets and asked people what they
thought of Magnum.
The response was 90% positive.
The 20 people asked were mainly ladies in late 20s’. Some
were girls of age 18-20.
18 out of 20 people gave MAGNUM a positive rating. The
rest commented on it being too sweet.

S W O T Analysis

Strengths:

 Brand Image
20
  Brand recall is high
 Quality is one of the best in the market

Weaknesses:

 Multiple Brands therefore lack of focus

 Unhealthy competition in the corporate culture

Opportunities:
Westernization of Pakistani Society
 No DIRECT competition except Quanta
 Relatively good growth of market

Threats:
 Threat of bigger competition in the next two years
 Instability of Pakistani Political system
 More and more people becoming health conscious
 Competitors, like, Gellatto Affair, offering fat-free ice-
cream

Marketing Strategies
When walls were going to initially launch magnum, they
started with a teaser campaign which focused on the line
“Me and My…” The company made use of billboards,
bumper stickers and various other print media. They stayed
away from television promotion and concentrated on just
21
the print media. The ads on billboards show a girl taking a
bite out of a magnum. The focus was more on the emotions
that a bite of a magnum would induce in a person as well
as the core product attributes and characteristics, which
focused on self-indulgence. Also as mentioned several
times this was a shift from brand advertising to brand
experience. This is the basic reason we see why there was
emphasis on the bite.

Popular belief, however, has it that this campaign failed

miserably. The teaser campaign was apparently used by
the “Yummy” ice cream company when they launched their
choc bar three days before the magnum launch with the
tag line “Me and my Yummy…” Contrary to this belief, is
the fact that the campaign was, in actuality a resounding
success. Magnum has a target market which is very income
oriented because it is, after all, an expensive choc bar and
the campaign, which was very focused and specific,
catered perfectly to the mindset of the well off. Walls had
its objectives and targets stated clearly and specifically and
when interviewing the brand manager for magnum, we
learned that these very not only met but significantly
overtaken as well.

Presently, magnum is available at only selected vendors

across Pakistan and has a home in approximately 6000
Walls freezers. The vendors have been chosen to cater
specifically to their upper income level target market:
people who would not think too much of spending thirty
rupees on an impulse buy item like the magnum choc bar.

Magnum posters are put up at select locations and the

freezers (most of them) have a magnum motif on the top.

Thus, the present marketing campaign of Walls for Magnum

can be summarized as follows:

22
  No use of television media for promotional purposes
 Only print media is being used
 Available at only select locations
 Priced at RS. 30 to cater to higher income groups
 Posters are used to promote and increase brand recall
at select locations
 Positioned as a premium product with attributes such
as self indulgence

Recommendations
Keeping this basic strategy in mind, we think that even
though Walls does not want to expand the Magnum market
just yet, there are better ways of promoting the product. In
addition, we feel that increasing sales not only from
existing customers, but also, in the process, creating a
greater impulse to buy from non-targeted consumers is
very possible.

Price

When first starting this marketing plan, we thought that we

would decrease price to at least match that of our
immediate competitor – Quanta so that we may become
more competitive in the market, increase sales and market
share as well.

We thought the reason that sales of magnum were not as

high as other ice creams was because of the price issue.
But, after talking with the brand manager, we discovered
that reducing the price of magnum would be a course of
action not entirely desirable at this point in time. There are
many reasons for this. First of all, the target market of
Magnum is quite different from other ice creams and the
price of thirty rupees seems fine for it. Secondly, we see
23
that the rather ambitious targets which were set by Walls
for the sales of Magnum were easily achieved and well
surpassed and thus, taking these factors into consideration.
We feel that it would be unwise to tamper with an equation
that has been working so well to date. Also, the Magnum
bar has been positioned such that we feel that there would
be a negative impact on the brand equity of the ice cream
and could affect sales of the
product badly. People belonging to the target market might
just see it as not as exclusive after the price cut and thus
be dissuaded from buying it.

Advertising/Promotion
Media ads
All the Magnum ads we see are copy ads. Its is only the
print media that has been used by the company and they
feel that this is the only way to go when dealing with a
product like Magnum. Their target market is not too big as
compared with other ice cream bars and thus, when the
cost-benefit analysis is done; they feel that it would be too
much of a cost to have something like T.V advertising with
too little a return. They say that they may spend lacks of
rupees on a television commercial but at the end of the
day, they are not too optimistic about the increase in sales
because of that. There are a few factors to consider when
trying to understand this argument. They say that even if
they do make a television commercial, they will have to
make it in congruence with the mindset of their target
market. Secondly, they would only be airing the ad on
select channels more popular with the target market. These
would generally include satellite channels. This in itself is a
problem. There could be confusion amongst the consumers
as to where the product is being targeted or positioned.
Their argument then is that if they are getting through to
24
their target market without spending all this money, then
why not?

We feel that on the long run if the company were to

promote Magnum with the use of commercials, the benefits
would far outweigh the costs. If the ad were shown in
certain slots, view age would be high and brand recall
would be increased. This would, in our opinion, not only
boost sales from the existing customer base, but would also
introduce other segments to the brand. With media
advertising and the right kind of commercial, people will
want to buy the product just because they can relate to it
and to the people featured. Right now, even the print ads
have only a girl taking a bite out of a Magnum. There’s not
much with which the consumers can relate.
In a nutshell, we propose for the company to have a
regional add if possible thereby reducing the costs and also
increasing the probability of the add achieving its desired
objectives i.e. increase brand recall, sales etc.

Copy Ads
The company’s ads to date have been of a girl taking a bite
out of a Magnum. There was a tagline which was attached
which was “Me and My…’
This did go a long way to arousing the curiosity of the
masses but did not give the people anyone or anything with
which they can relate to. The people who could relate,
however, were the lucky few who were good looking
females around the age of 20; and they wouldn’t want to
eat too many Magnums because they wouldn’t want to gain
weight. Thus, we feel that the Magnum print campaign can
also be made a lot more effective. The consumers have to
be given an incentive to buy. It has to play on emotions and
it must be something that not only the target market but
people outside the target market can relate to. There
should not be only one ad, there should be maybe two or

25
three, and each aimed at different aspects of being a child,
a young graduate or a young mother. People have to be
able to see something of themselves in an ad be it a
commercial on TV or an ad on paper, if they are to buy a
product again and again, however due to budget
constraints this can be viewed as a long run strategy for
the company. Right now, we feel, people are buying the
Magnum more because it is good and not because of the
promotion. Granted, it is a very good choc bar, but we must
make use of the tool of print media to make them buy
more, even when they might not be in the mood for one.
Our ad is focused on creating the want, even if it is not
immediately there.

Trade Versus Consumer Promotion

This is another aspect of promoting the Magnum that we
wish to capitalize on. When the Magnum was first launched,
the company made some good use of this tool to promote
their product. First, they started by setting up little stalls at
various multi-national companies to sell the new product.
This went a long way in creating brand awareness within
their target market. Then, the company also had a Magnum
Party at the Pearl Continental Hotel to celebrate their
launch. It was around this time that they also took the
Yummy Ice Cream Company to court for their unethical
practices. The party was attended by many prominent
personalities and was well covered by the press, thus
giving Walls the publicity they needed for the launch of
Magnum. These were all very smart moves but it hasn’t
been a sustained effort on the part of Walls to keep this
kind of consumer promotion going. In fact, presently, they
have NO consumer or trade promotions in the pipeline.
Since we feel that this is a lost opportunity for Magnum, we
have brought it upon ourselves to put forth some
suggestions for this as well. We did not want

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to offer any trade promotions because Magnum is being
offered at only select locations and this is for a reason.
Exclusivity. Thus, we did not want to go down that road till
we had seen the results of our consumer promotions; after
which, if needed, trade promotions could also be worked
on. One consumer promotion, which we had in mind, was a
“Magnum Club”. This would be a club joined with the
purchase of a Magnum. Membership would assure that you
could avail certain benefits anywhere in Pakistan. These
would be things like special seasonal offers like for
Ramadan or even Summer Packages where you could buy
Magnum for a discounted special price. Then, on the more
regular basis, you could have the benefit of availing a
discount with the purchase of a pre-determined number of
bars. Also, you could also have “Magnum Points”. A
magnum membership card could be allowed. This would be
done y giving few big shop keepers the right to have forms
filled out from any one who would buy a particular no of
magnums. Also points would be assigned to every time a
magnum is purchased. There would be a catalogue of gifts
to choose from which you could purchase with the
“Magnum Points”. The gifts should be such that they fit
with the target market. Offering things like magnum caps
T-shirts could work, but having gifts of more value like
discounts at the Nike store, or Nike accessories would really
motivate the consumer.

Sales/Distribution
The sales/distribution network of Walls is on the whole quite
extensive. They have freezers for their products in almost
all general stores across the country. Right now, they are
operating with approximately 15000 freezers across
Pakistan. For Magnum, however, they are utilizing about
6000 of them are estimated to have Magnum across
Karachi, Lahore, Islamabad. Other than these freezers, they
have people on Walls bicycles that roam the city selling ice
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cream from these mobile freezers as well. These ice cream
men have the Walls theme song blaring from speakers.
Even though this can get annoying at times, this tune has
helped instill the Walls brand in the minds of the masses
and it is strategies such as this that have helped the Walls
brand recall to become one of the highest in the market
today. Even when you call their offices and are put on hold,
you can hear the Walls theme song playing in the
background. Even though their strategies on the whole
have been a huge success, there are some improvements
that we would like to suggest to the company for their sales
and distribution for Magnum. We can understand that the
distribution of Magnum is not so intensive as the rest of the
ice creams because of the way it has been positioned (as a
premium brand) but we
fail to understand why a lot of the target market has been
ignored. First of all we would like to suggest that Magnum
be marketed in places like Faisalabad. The reason being
that Faisalabad is the third largest city of Pakistan and it
has a lot of people with the target market of Magnum.
However this has to be done with great care. We propose
an extensive research or test marketing in the city first.
This is because magnum is not only about having money, it
is about having that desire for self-indulgence and the
willingness to spend Rs 30 on just a Choc Bar. Even though
there is popular belief that due to the presence of many
textile mill owners, Faisalabad has a good potential for
luxury product but that’s not all that’s required. Do the
people of Faisalabad have the capability to understand the
Magnum concept? This Question requires thorough
research. Another question that should be addressed
should be that even if they do understand the magnum
concept, how many of such people exist?
Other than the cities, we feel that other avenues should
also be explored. Like private clubs such as Sind Club (with
about 1100 members), Karachi Gymkhana (with about
7000 members), Karachi Club (with about 5000 members)

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and Creek Club (with about 4000 members). As we can see,
these private clubs are a huge untapped market for Walls.
Sind Club, even though it sells other Walls ice creams, does
not stock Magnums. Gymkhana is another huge market
because of all the member traffic per day. This traffic is
almost doubled during the weekend and during concerts,
there are anywhere from 10000 to 20000 people there at
one time.
Thus, keeping these factors in mind, we feel that first of all,
different cities should be considered for the distribution
channels, and distribution should be expanded within not
only Karachi but also in Lahore and Islamabad where you
have associate clubs as well. This is a huge untapped
market perfect for Magnum.

Product
The product, as per now, we feel, is more or less perfect. It
is in the growth stage and thus more emphasis has to be
placed on promoting the product and increasing brand
awareness and brand recall rather than trying to modify a
product that is already doing quite well as per
expectations, objectives and targets set by the company.
Long-term suggestions are such that we feel Walls should
look into more flavors as are available abroad. Along with
that, now that people are becoming health conscious, a diet
Magnum, would surely bring interest into the health
conscious upper niche people.

Conclusion

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