A Brand Study Project

by Hüsamettin Albahan

The Brand is (Ülker) Teremyağ.

The information is going to be presented about this brand in a

succinct, persuasive and enthusiastic manner.

ÜLKER (Information about the company)

• History of the company:• The company began to produce biscuits in 1944 with a small oven and 3 workers.

During the first years, 200 kilograms of biscuit was manufactured in a day with only a few ovens and 3 workers and annual production was 75 tons. 4 years later, the

production was moved into the biscuit factory in Topkapı, and the production capacity was tripled. By 1950s, the increasing demand for Ülker biscuits provided some

arrangements for product distribution. The goods were delivered to trades at factory prices, without transportation costs. In 1960, Ülker diversified its products, and

products are produced by machines which are brought from Germany. The growth of Ülker continued in 1970s. Anadolu Gıda was established in Ankara as a public

company, doubled the biscuit production capacity. In 1974, the first export of 200 thousand dollars was made to Kuwait. A Research and Development department was

founded in 1974 in order to compete with international companies in the export market. In 1974, the second factory founded in Istanbul began producing chocolate.

Beginning from 1980s, the production range was enriched, and manufacturing of some of the production machines within its own body started. With the expansion of

investment areas, the efforts for institutionalization began and group companies were gathered under Yıldız Holding. In 1990s, Yıldız Holding made investments in other

fields of the food sector. By 1992, Ülker brand made investments in margarine, vegetable oil and industrial oil sectors. In 1993, Pendik Nişasta was founded in

cooperation with Cerestar, the largest starch producer of Europe.

ÜLKER (Information about the company)

• History of the company (continue)

• The year 2000 was a big turn in the history of Ülker. Sabri Ülker, founder of Ülker brand, transferred active management to the next generation and Murat Ülker was brought in as Chairman of the Board of Directors. Ülker’s approach for establishing

partnerships with the world’s leading brands continued during 2000s. Factories were founded in foreign countries in order to expand in the international market and to meet the needs of the particular region. Ülker founded a factory in Romania and

Yıldız Holding entered in the European Community. Ülker entered the instant coffee market with Café Crown brand in 2005. Another partnership established with the world’s giant companies was the association founded with Kellogg’s in breakfast

cereals area in 2006. In 2007, İçim Smartt met with little consumers. At the end of 2007, Yıldız Holding acquiried Godiva, world’s leading premium chocolate and

chocolate products brand. The Holding also incorporated Uno, Doğa Çay, Oba Çay and Kerevitaş brands in the large Yıldız Holding family in 2008.

Teremyağ (History of Brand)

• In 1992, Ülker brand made investments in margarine, vegetable oil and industrial oil sectors. After “Bizim Yağ”, “Teremyağ” is

produced by Ülker. The first advertisement of Teremyağ appeared in 1999. Şevval

Sam acted in this ad.

Mission and Vision of the Company

• Vision: We believe in that “Everybody has the right to live a happy childhood, no matter where in the world”. Yıldız Holding was formed 65 years ago around this idea.

• Mission: The satisfaction of customers’ come first for Yıldız Holding. We know the needs of our society. We produce goods, which meet the needs of customers, by using last technology in terms of quality and hygiene to provide customers’ satisfaction.

The Main Long Run Marketing Objectives

• Turkish consumers prefer to use margarine instead of butter because of

their economic conditions. This means a big market for producers over the long

term. As a market challenger Ülker tried to expand its market share with product

diversities like Bizim Yağ. Ülker plans on being market leader and expanding the

market of margarine for breakfast.

The Main Short Run Marketing Objectives

• Ülker has the biggest market share at packed margarine in the market. And in the market its market share is %32. As a

short run marketing objective Ülker will try to get the biggest market share at cup

margarine in the market. Expected market share is over %32.

SWOT Factors

• Strengths: Ülker has more than one brand in the margarine market. So it addresses more customers.

• Weaknesses: Ülker is new in the market. The first margarine in Turkey is produced in 1950s. For example Sana is produced in 1953 by Unilever.

• Opportunities: In 2008, Ülker Teremyağ was begun to produce with honey in it. This development gave action to the market and searches began for new tastes. Ülker’s leadership is important in this search.

• Threats: Long-established firms exists in the market. The margarine was called as “Sana” for along time in Turkey. Ülker should do its best.

Positioning

• There are seven approaches to use in positioning strategy. One of these approaches is product

class approach.• Product class approach says that a brand can be

positioned with respect to a product class or can be positioned with respect to a competitor. With

using this approach, Teremyağ brand is positioned with respect to butter. Butter is a dominant product class and a competitor for

Teremyağ in some areas like breakfast, cooking.

Product’s Primary Benefit to the Consumer Segments

• As a big benefit, product’s price can be said. Margarine is used by Turkish

consumers to a large extent. Margarine prices determines this consumption.

• Teremyağ is not butter but with its positioning and taste, it helps to consumer segments who want to get butter taste in

their meals, food and cookies.

Important Product Attributes

• With its successful positioning strategy, Teremyağ is perceived as butter so its

usage is high.

• In 2008, Teremyağ produced Ballı Teremyağ which was like a revolution on

bread. Teremyağ became a strong alternative for breakfasts. This was a thing about Teremyağ that can help differentiate

it from the competition.

What about the Competitors’ Brands?

• With the adding of margarine to functional foods, Unilever, Ülker and Marsa began to

look for new tastes. As a rival for Teremyağ, Unilever produced Sana and

Marsa produced Luna. After adding honey to margarine, competing gained speed.

Overall Marketing Communications Goals

• The marketing communications of Teremyağ is addressed to the attitude change of its

customers because of its positioning. With getting awareness, increasing actual purchase is

another marketing communications goal. • As an integrated marketing communication tool,

the company use advertising on TV for Teremyağ to communicate with customers.

References: • http://www.ulker.com.tr/tarihce.aspx• http://www.ulker.com.tr/donum_noktalari.aspx• http://www.ulker.com.tr/tv_reklamlar_icerik.aspx?listitemid=2289• http://www.ulker.com.tr/vizyon_misyon.aspx• www.agid.org.tr • www.borsadiyalog.com • www.modernmargarin.com • www.unilever.com.tr• http://www.radikal.com.tr/haber.php?haberno=176259 • http://www.kalder.org.tr/%5CGenel%5Cdownload%5C11%20Ulusal%20Kalite%20Kongresi/1C_muge

%20elden_sunum.pps• http://www.sutdunyasi.com/s18/yeni_urunler.html• http://hurarsiv.hurriyet.com.tr/goster/haber.aspx?id=12376249&yazarid=18