An

Assignment
“Marketing Activities of Za ‘n Zee Brand of Kazi
Food Industries Ltd.”
Executive Summary
Around 200 BC a frozen mixture of milk and rice was used in China and a combination of snow and
saltpeter was used to lower the mixtures' freezing point to below zero and that's how ice cream was
invented. Ice cream globally ranks among the top 10 snacks enjoyed by people of all ages in all seasons,
even winter. In Bangladesh, the ice cream industry dates back to the 1950s and is currently estimated at
BDT 700-800 crores. The ice cream industry comprises the following major brands: Igloo, Polar,
Kwality,Bellissimo, Savoy and Bellisimo.Za n Zee is a brand of Kazi Food Industries which is a sister
concern of Kazi Farms Group.
Za ‘n Zee ingredients are imported from Australia, New Zealand, China and Italy. The main function of
the distribution unit of Za “n Zee is to create a sequence of effective network so that a strategic edge over
competing channels is created and ensure a continuous flow of its products to its target market. The
distribution channel starts from their factory at Beron, Ashulia in Dhaka and ends at the retail outlets
stretched all over the country with a long fleet of refrigerated vans.

Za ‘n Zee wanted to position their brand as a regularmarket,that produces natural quality products from
their inception.Za ‘n Zee has priced their products at a regular price than their competitors.

The company has decided to launch the 9 popular flavors of their retail market. They have developed a
growth strategy to target the existing market with new products.Za ‘n Zee plans to launch for everybody
as a large percentage of the demographics are very familiar with these. So day by day they are very
popular in regular retail stores.

Za ‘n Zee will make the best use of social media to reach their potential customers.Za ‘n Zee will work
their way in their customers' heart by knowing about them in the most creative way possible.To maintain
a healthy relationship with all its suppliers, Za ‘n Zee plans to have smooth and direct communication
with the local and foreign suppliers on a regular basis.The value proposition of Za ‘n Zee is more for
more. Their comparative regular price is justified by the super natural quality of the product.

The IMC activities will engage potential and existing customers. Awareness will be created regarding the
new products as well as for the brand. People need to know why Za ‘n Zee is more popular then another
local ice cream brand. Consumer awareness regarding the brand will help Za ‘n Zee to justify its
regularprices to consumers.Za ‘n Zee will engage its customers in fun activities to enhance interaction
with them and build customer relationships.Differentiation is one of the strongest points of Za ‘n Zee. The
content of the product, the designs and aesthetics in communication, the packaging-everything is unlike
any other current brand in Bangladesh. And hence, Za ‘n Zee is readily differentiated by customers.
Introduction
The recent trend towards maintaining a solid platform by adding novelty imposes a challenge for majority
ice cream companies in particular those, which are trying to conform their services to international
standards in an erratic business environment. Za ‘n Zee, believes in ensuring long-term existence by being
profitable, successful and sustainable. They very keenly take on customers’ advice, try and amend as well
as add new dimension to their business in order to ensure survival in this highly competitive industry.

Ice cream globally ranks among the for 10 snacks enjoyed by people of all ages in all seasons, even
winter. In Bangladesh, die ice cream industry dates back to the 1950s and is currently estimated at BDT
700-800 crores. Increasing income and consequently living standards, along with prolonged exposure to
global influences have fueled growth and developed a huge consumer base. This has also ted to an
emergence of a lot of market players who continue to offer competitive product offerings and engage in
marketing efforts. The industry has experienced massive growth in the last 5-7 year with the market size
being around 250-300 crores in 2009. Za ‘n Zee Ice Cream was launched in 2014 as an industry
disruption. Za ‘n Zee ice cream in regular servings was previously unheard of in Bangladesh and as a
result, the company engaged heavily in distinct marketing efforts and campaigns. Yet still, it maintains a
fragile brand equity as the ice cream industry is yet to fully adapt to a regular offering for regular
customers. However, Za ‘n Zee entrance also caused retaliation among other industry players with Igloo
launching its own regular range, Mi Amore this shows that Za ‘n Zee has a competitive market offering.
The Bangladesh ice cream industry can be divided into two segments- the retail segment and the boutique
segment.

Background of Bangladesh Ice Cream Industry

Around 200 BC a frozen mixture of milk and rice was used in China and a combination of snow and
saltpeter was used to lower the mixtures freezing point to below zero. In the sixteenth century, the
Mughal emperors used relays of horsemen to bring ice from the Hindu Kush to Delhi, where it was used
in fruit sorbets, hi the Asian sub-continent, the oldest reference to ice cream and cold treats (particularly
kulfi and milk based ice cream) can be ascribed to "Baby Ice cream". Fall-fledged operations ' were
incepted by West Pakistan based K, Rahman & Company, which acquired business licenses for the I
Coca-Cola brand and the development of Igloo Ice Cream, Soon after, the company started operations in
East Pakistan (currently Bangladesh). Both the factories of Coca-Cola and Igloo Ice Cream were located
in Chittagong. In 1973, post-independence the newly formed government of Bangladesh
In 1982, Abdul Menem Ltd won the government tender as the highest bidder and subsequently acquired
Igloo Ice Cream.

Igloo came out ahead in the competition and Polar started experiencing a significant drop in market share.
In 2004, the brand Polar was pulled out of the market and new players like kwality emerged. But Igloo
remained dominant and grew tremendously. Other brands like kwality, Savoy etc. were present in the
market but had been able to capture a very insignificant amount of market share. Only the market for
Igloo significantly expanded. In 2009, the 'Polar' reemerged under the umbrella of Urban Development.
Alongside, some multinational ice cream brands like Movenpick, Baskin Rabbins and Cream & Fudge
introduced ice cream parlors in Bangladesh. With this, a new dimension in the local ice cream industry
was created called Boutique ice cream shops. These ice cream parlors targeted the upper-middle class and
tried to cater to the emotional appeal of the consumers who up until then could not find any foreign ice
cream brands in Bangladesh.

In January 2014, another new player named Za ‘n Zee Ice cream emerged in this already-competitive
industry. Za ‘n Zee Premium Ice Cream is a concern of Kazi Food Industries Ltd It is the first brand to
produce premium quality ice cream in Bangladesh and was first launched at the Dhaka International
Trade Fair (DFTF) 2014.

In the current year, the industry has seen a few new players like Golden Harvest (Bloop) and Cold Stone
Creamery. Needless to say, the industry has been growing and has been estimated at BDT 700-800 crores
in the fiscal year 2015-16. Given the product line diversification, the emergence of more players and stiff
competition, it is only projected to grow further.

Overview of Kazi Farms

Kazi Farms Limited was established in 1996 as a hatchery for imported eggs; the following year it started
its own parent farms. In 2004 production started in our grand-parent (GP) farms. which was responsible
for Bangladesh's first exports of hatching eggs and day-old chicks in 2004. In that year, our Managing
Director, Kazi Zahedul Hasan, was named Businessperson of the Year by the Daily Star/DHL Business
Awards.
Management Structure of Marketing Department of Za n’ Zee Brand

Zakaria
Hossain
(DGM)
Ashik Hasan
(AGM)
Rajib Saha
(Deputy Manager)
Saimun Jahan
(Assistant Manager)
Moshior Rahman
(Senior Executive)
Santonur Rahman
(Senior Executive)
Rifat Ahmed
Managment Trainnee
Naim Hossain
(Managment Trainnee )
Award and Achievements

Pic: Management and communication Award in 2018

Mission & Vision

 Mission
To be the leading ice cream brand in Bangladesh

 Vision
To provide international quality ice cream products to the consumers with a wide range of new and
exciting flavors.

Objectives of Za ‘n Zee Brand

 Core Values
The core values of the Za’ n Zee brand are:

 To provide the customers with international standard ice cream products coming in
various flavors
  To maintain the international standard of ice cream products by using 10% or more milk
fat and high-quality natural ingredients,
 To resonate the brand value as a preiniotn ice ereatn among the customer group.

Core Objectives

 Provide customers with high-quality premium product and -become the leading local ice-
cream brand
 Create brand awareness and top of the mind recall
 Maintain premium positioning of the brand through communications & activities

Our Product: Za ‘n Zee

Za ‘n Zee contain natural milk fat. Also the 9 flavors Za ‘n Zee has chosen to launch are quite
extraordinary:

Za 'n Zee is introducing 9 categories of ice creams-

 Cup -100 ml
 Tub- 500 ml
 Tub- 1 liter
 Bar
 lolly
 Cone
 Malai
 Ice cream Sandwich
 Rock 'n Roll
 Triple Rocker (Ice cream cake)
What is Marketing

Marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and
exchanging offerings that have value for customers, clients, partners, and society at large.

Marketing is the management process responsible for identifying, anticipating and satisfying customer
requirements profitability. Marketing is a widely used term to describe the communication between a
company and the consumer audience that aims to increase the value of the company or its merchandise or,
at its simplest, raises the profile of the company and its products in the public mind. The purpose of
marketing is to induce behavioral change in the receptive audience

Marketing Mix

3.2.1 Product Mix( 4ps’)

Product

The target market for Za ‘n Zee is young, adventurous and indulgent.It is a regular product containing
naturalmilk fat, is made from exclusive farm fresh strawberries, finest vanilla extracts and real cocoa
These products also have breweie pieces and chunks of Oreo cookies in them. The innovative flavors and
ingredients, coupled with the premium quality will help
Za’ n Zee to compete with the players in the boutique
format ice cream and tubs and lifer boxes of the foreign
brands.

Price

Za’ n Zee uses the value added pricing for all its'
products as they believe there's more to a product than price alone and it is quality. Za’ n Zee does not
aim at cutting prices to match competitors, but attach features to differentiate their products from
competitors* offers. Creations will food the same strategy as they add several fresh features to their
products and thereby add customer value. In return they will charge more for the value-added product.
The selection of strategy is ideal but Za’ n Zee needs to focus on communicating the rationale behind
using this strategy to their target market. Otherwise the customers are left thinking Za’ n Zee is just a
fancy product that charges more due to its brand name. When theproper message is communicated
customers will be willing to spend the additional price they willknow that they are getting more value.Za
‘n Zee invoice price is BDT J50 and its market retail price is BDT 180

ITEMS PRICE
Triple Rocker-Ice Cream cake 280/-
Tub-500 ml 100/-
(vanilla,chocolate,sataberry,mango)
Tub-1 liter (vanilla,chocolate,straberry) 190/-
Cone -Vanilla & Chocolate 45/-
Cone-Vanilla & Straberry 45/-
Zaa n Zee Bar 25/-
Ice Cream Sandwich:
Vanilla Biscuit&Vanilla ice cream 30/-
Chocolate Biscuit&Vanilla ice cream 30/-
Zaa n Zee Malai 16/-
Lolly:
Umbrella Shape-Orange,Lemon,Mango 16/-
Rocket Shape-Orange,Lemon,Mango 16/-
Leaf Shape-Mango.Lemon 10 16/-
Heart Shape-Orange,Lemon 16/-
Rock n roll- Vanilla & Mango 18/-
Rock n roll-Vanilla & straberry 18/-
Cup-100 ml 20/-
(vanila,chocolate,sataberry,mango)

Cost breakdown for I unit of Za’ n Zee

Place

The regular flavors are currently available in supper shop. Initially upon launching the 250 ml tubs,
Creations will be available in,A category stores, chain shops and superstores. Since these are not regular,
traditional flavors Creations will not be very popular retail stores as soon as they come out. After the end
of the first financial year, as the Creations product gain popularity and start to make a name for them. Za
‘n Zee will make these available in regular retail stores.Za ‘n Zee will also partner up with mid to high
end restaurants where the Creations' will be available as scoops.

- Residential Are

-Shops (Infornt of school & collage)

Promotion

Za ‘n Zee will promote Creations through radio advertisements, social media, ad placements in
newspapers like Prothom Alo Daily Star, ad placements in life style magazines and newspaper
supplements, POS materials, and sponsorship events. Since the use of billboards will soon be banned by
the government of Bangladesh, Za ‘n Zee will not include billboards in their promotional activities. A
detailed IMC plan is given in section 9.0.

 Sponsor
 BP
 Activation in events
 TVC
 Radio
 Degital media(Facebook,wed site)

3.2.3 Service (3ps’)

People

Za’ n Zee will host sessions with selected students from different universities and followers of their social
media page The Creations flavors will be offered for tasting and these sessions will be carried out in a fun
and interactive manna-.
The staff at The Creations scooping stations located in malls and restaurants will be trained to be friendly
and patient in dealing with customers and organized and clean under pressure during peak hours. They
will be ready to juggle requests for samples, cones, cups, and more and be consistent regarding the
serving size. Because no matter how good the ice cream is, good customer service is required to get
customers coming back.

Process

To escalate the sale of Creations and to assist customers Za’ n Zee will hire Assistant Buyers who will be
stationed beside the Za’ n Zee freezers. Since the Creations flavors are new in the market, the assistant
buyers can answer customer queries regarding the products. The customers can also request samples to
taste the flavor before making a decision.

The sales department of Za ‘n Zee will ensure stocks at all times through relationship building and close
cooperation with the distributers and retailers. Although this might be a costly philosophy in terms of
inventory holdings, an integrated approach wilt increase profitability in the future.

Physical Evidence

Every time Za‘n Zee has launched a new product or flavor, they've drowned all communication channels
with their promotions which create positive vibe and intrigue. Za ‘n Zee achive huge success at engaging
the customers in their product development and promotional activities. They will continue to interact with
consumers through digital media to get to know their taste and preferences. Employees interacting with
consumers, through digital media, shall remain highly active online and will be given further training to
cope with changing trends.
Marketing Strategy

Value Proposition

The value proposition of Za’ n Zee Creations is more for more. Their comparative high price is justified
by the super natural quality of the product.Za ‘n Zee' target comprises ofpeople that are indulgent,
enthusiastic about showcasing and are willing to pay a little more to have a superior quality product.

Objectives and Strategies

For a success, Za ‘n Zee needs to focus on.

Generation of awareness among people about the introduction of three new flavors in retail

 Launch successful product trial to create and increase customers

 Consistently provide superior quality product turn customers info regular consumers

Porter's Five Forces Model

1.Threat of New Entrants: High

The ice-cream industry of Bangladesh is a rapidly growing one due to increasing consumer demands
Foreign brand like Cold Stone Creamery are entering the market with the offer of unique flavors and the
product customization.

2.Threat of Substitute Products: High

• Ice cream products by local and foreign companies

• Ice cream and desserts offered in parlors, cafes and restaurants.
• Since Za ‘n Zee is priced at a higher level than most local brands, they lose consumers in
retail shop, ice cream vans.
3.Power of Bayers: Strong

 Ice cream is a seasonal product, it is not a regular purchase and weather influences ice
cream consumption.
 Consumers often hesitate to pay a high price for ice cream at a retail store.

4. Power of Suppliers: Medium

 Raw materials are imported and the company finds dealing with their foreign suppliers
easy since they abide by the detail mentioned in the contracts.
 One of Za ‘n Zee' top differentiating points is the quality of their product and thus the
quality of their raw materials. The suppliers input are fairly critical for them since they
want the best possible material along with cost advantage.

5. Rivalry among Competitors: Medium

 Igloo and Polar are Za ‘n Zee' top competitors and both these brands have a lower price.
 In competition with family packs of foreign brands in superstores.Za ‘n Zee product sale
is higher than any other local or foreign brands in superstores.
 Za ‘n Zee is the local leader in product innovation in terms of both product variation and
flavors.
Competitor Analysis:

i. Price, Product and Selection:

The ice-cream industry of Bangladesh is growing significantly. Change people's income level and
lifestyle has encouraged many local and foreign firms to join this industry. The local brands like Igloo,
Polar, Kwality etc. are offering traditional ice creams to the customers.

ii. Quality:

According to international standards, ice-cream must contain 10% or more milk fat. Hence, its superior
quality is one of Za’ n Zee's biggest strengths. The flavors of regular contain 15% milk fat which makes
the product even more delicious and creamy.

iii. Distribution

Igloo has a widespread distribution channel in Bangladesh. The distribution channel of polar is a bit
narrow

iv. Promotion

Igloo mainly focuses on the outdoor media wlrich includes banners, papered posters, danglers, painted
displays, billboards, neon signs as its creative channels to convey its message to its target markets. Polar
has recently started to relate itself with festivities like Pohela Boishakh and Ramadan and focused orr
launching new products. Both Igloo and Polar uses TV commercial to attract its upper income segments.

v. Packaging

Since ice creams are impulse buys to a certain extent, catching the eye of the consumer is often half the
battle won. All the brands nowadays use the color yellow, red and green predominantly in their
packaging. Igloo and Polar both useeolorfei packaging.
vi. Analysis and recommendation:

It is interesting to note that while Polar offers almost the same quality of ice creams like Igloo at a similar
or a lower price. Igloo still has a higher market share (51%) than Polar (26%). We can conclude the
market is not sensitive to price-quantity ratio and rather depends on taste, quality assurance and brand
name. Thus, Za’ n Zee should offer the three new flavors of natural in a price which justifies the quality
of the ice cream.
Performance Highlights:
2008 2009 2010 2011 2012 2013
Short term Ratio
Current Ratio 0.133 0.280 0.306 0.157 0.179 0.223
Cash Ratio 0.007 0.074 0.059 0.060 0.088 0.076
Long Term Ratio
Total Debt Ratio 95.0% 93.2% 93.7% 91.1% 92.3% 88.8%
Debt Equity 19.08 13.74 14.96 10.24 12.02 7.97
Equity Multiplier 20.08 14.74 15.96 11.24 13.02 8.97
Long term Debt 0.94 0.92 0.93 0.89 0.91 0.87
Ratio
Profitability Ratio
Return of Assets 0.03% 0.06% 0.07% 1.07% 1.17% 1.29%
Return of Equity 6% 9% 10.8% 12.1% 15.2% 11.5%
Price Earning 31.59 28.79 12.49 16.74 28.09 15.23
Ratio-time
Earning per share 9.85 17.60 17.20 18.39 2.14 1.81
Growth Strategy of Za ‘n Zee Brand
Za ‘n Zee lonch 2014 in international trade fair.In 2014-2016 tne growth stage of Za ‘n Zee brand are
given below;

Figure: Growth Stage of Za’ n Zee

PESTLE Analysis:

 Political: Laws, government agencies and pressure groups influence and limit various
organizations and individuals in a given society. The political situation in Bangladesh is very
unpredictable. In Za’ n Zees' initial years Bangladesh was unda" heavy political duress; during
road blockades and strikes it was difficult to deliver ice creams at retell and superstores. These
uncertainties can cause a lot since the products that are taken out the factory for delivery,
deteriorate in quality if they stay run the moving trucks for long.
 Economical: These include the factors that affect consumer purchasing power and spending
patterns. The economic forces are crucial to all businesses, Za’ n Zee takes into account the
economic factors like the rate of inflation and the level of income so that the pricing strategy can
be determined and Jives of demand, sales, profits, etc. can be forecasted. Za’ n Zee also needs to
 take into account the exchange rate as they import raw materials. It can have a significant effect
on the cost of production
 Social: It is the study of human populations in terms of size, density, location, age, gender, race,
occupation and other statistics. The population growth rate in Bangladesh is 1.19% (Bangladesh
Population 2016-WorIdometers). If is of importance to Za’ n Zee because if it shows an increase
in the number of young adults between 18-35 years it will have to increase its production
capacity, as they are Za’ n Zees' main consumers. Currently the median age in Bangladesh is 26
years. If there is a genera! increase in the propulsion size or increase in migration from rural to
urban areas there will be an increase in demand as well. 34.2 % of the population is urban and the
percentage is growing and since Za’ n Zee mainly serves urban consumers this information is
vital for them.

 Customers now are more aware than ever about the quality and origin of the products they
consume. They are health-conscious. They are concerned about the environment and are
interested in critical information like the carbon footprint left by the originations they are
associated with. This might be beneficial for Za’ n Zee as they have portrayed active interest in
protecting the environment by introducing eco-friendly packaging.
 Technological: It refers to the forces that create new technologies, creating new product and
market opportunities. Technology greatly influences Za’ n Zees' marketing strategies. Most of the
work in the factory is done by machines rather than manpower. Often mere is heavy load
shedding that hampers production. To meet the market demand the machines are frequently
operated overtime. Special storage systems and transports with freezing compartments are
required to prevent the ice creams from going bad. Ice cream requires a temperature of -20°C to
be maintained inside die freezers. Though the power supply of Bangladesh is quite poor, rt has
been improving over the last 3-4 years and for this reason, retailers are being able to host more
than one freezer in their shops. This has led to an increase in supply of ice cream nr the market:
 Legal: Laws such as health and safely legislation regulates the legal environment of the ice cream
industry. According To Bangladesh Standards and Testing Institutions the ice cream companies
must follow BOS 1083:2006 standard. Za’ n Zee is BOS 1083:2006 certified at the moment and
so are its competitors.
 Environmental: It comprises of the physical environment and the natural resources that are
needed as inputs by marketers or that are affected by marketing activities. Since all the raw
materials are imported, natural disasters in Bangladesh does not disrupt Za’ n Zees' production.
Bat following^ massive natural disasters, sate may fall Bangladesh is a tropical country and
temperatures can go up to as high at over 40°C in summer. The temperature combined with a
very high percentage of humidity creates m uncomfortable weather. This naturally generates the
sales of not only ice cream, but various other thirst quenching products that give some relief in
scorching heat like carbonated drinks, juice, mineral water, etc.
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