3. Introduction of Shan Foods
Came into existence in 1981
Started exporting after a few years
Repositioned as food brand
Deals in
--recipe mixes, plain spices,
dessert mixes, basmati rice, pickles
and salts
Presence in 60 countries
4. Shan foodsâ Vision
To be a global leader in food products
and social responsible company that
attains its quality standards so that
Shan stands for tradition, trust and
good taste.
5. Shan foodsâ Mission
To continuously develop and produce
quality products that meet the
customers and markets demands,
compatible with applicable regulatory
requirements.
7. S.No. COMMODITIES
2008-2009 V
(US $ )
1 Rice 1210.9
2 Fish and Fish Preparations 165.9
3 Fruits 127.3
4 Spices 21.5
5 Meat & Meat Preparations 41.2
Major Food Exports of Pakistan
8. Overview of Spice industry
of Pakistan
ï 7000 spices and salt grinding units
ï Tremendous growth in last decade
ï Factors behind increased demand
ï¶ -- changing lifestyle
ï¶ -- sub-continental style of cooking (good spices
means good food)
9. Major Industry Players
Shan foods
National foods
Others
Chefâs Pride
Mehran foods
Ahmed foods
Habib foods
Zaiqa Foods
Kitchen Secrets
26. Strengths
Shan food has a very strong heritage and legacy behind it
which has given it a strong goodwill in households.
Shan foods enjoys an approximately 50% market share in
the recipes mixes category.
Shan foods is a leading exporter of food items from
Pakistan providing it an opportunity to tap the large global
market which helps it to expand at a rapid pace.
Shan has a wide range of products and SKUâs available
consolidating its presence in various niches and keeping its
customers loyal to the brand.
27. Weaknesses
Shan is not present in Jams and marmalades,
Ketchups categories like National foods thereby
loosing an opportunity market. Many loyal
Shan customers purchase National products in
these categories which is causing loss of
potential sales.
Shan has a low market share outside Karachi
in the Punjab market where National enjoys
market leadership. This is due to weak
distribution of Shan products in Punjab market
which is causing loss of potential sales.
28. Opportunities
Shan can vertically integrate to produce its
own raw materials which will not only reduce
costs but will also provide it more control over
the quality of input.
Shan currently has a very low advertising
spend in the FMCG industry. It can deploy
brand activations and other innovative
campaigns to switch customers from the loose/
unbranded segment to Shan products.
Shan can also horizontally expand its scope
like national foods and enter the other related
food categories where it can tap its loyal
customers with minimal extra efforts.
29. Threats
The biggest threat to Shan is the high inflation
in Pakistan coupled by a global recession which
is putting pressure on the profits and sales.
The prevalence of counterfeit products is also
threat to Shan causing loss in goodwill and
potential sales.
The emergence of newer brand with deep
pockets can also damage Shanâs market share
due to heavy advertisement while keeping the
product quality close to that of Shan.
30. Quality control since 1981
Quality assurance system since 2000
Food safety management system since of
2007
Total quality management target if 2010
Third party lab certification target of 2012
ISO 22000, the ISO version of HACCP
(Hazard Analysis And Critical Control Point)
What Shan foods has
achieved and future targets
31. Demographic Factors:
-- Females 18+
-- Middle lower class and above
Geographic Factors:
-- 500+ distributors all over Pakistan
-- Regional preferences of different brands
Behavioral factors
-- True Pakistani taste
-- Catering to changing lifestyles
-- Purchase pattern varies according to seasons
Strategic & Marketing Analysis
32. ï Products introduced only after testing
ï Portfolio comprises 6 broad categories like
recipe mixes, plain spices, dessert mixes,
basmati rice, pickles and salts.
ï Offering for Every occasion and every type
of taste
ï Top of the mind and top if the heart brand
for Recipe mixes spice Mix category
Analysis of the product
portfolio
33. Distribution plans
Presence in 60 countries
Focus on International Modern trade and
Local Modern Trade
Area wise policy of distribution
500 + distributors in pakistan alone
Focusing on retail, wholesale, hypermarkets
and international chains.
34. modern factory covering an estimated area
of 100,000 sq. feet, equipped with lates in
house lab facilities
estimated investment of Rs.100 crores
almost 1000 employees working diligently
Recipient of many national and
international awards
More than 50% growth rate with sales of
Rs. 2 Billion
Success story in terms of figures
35. ï± Product Strategy
-- Market Development Strategy
Product Line to new customers
-- Product Development Strategy
Product Lines (Spices, Pickles, etc)
Vegetable mixes for country like India
Meat Mixes for Pakistan
-- Penetration Strategies
Cater the Untapped markets
Genuine flavors in spice mixes
Niches like Diet conscious people
Strategies
36. Conclusion
Shan Foods is a very progressive
organization which understand the
customer needs and wants.
And through quality, customer
satisfaction and good marketing the
company is able to establish a brand
name.