8/16/2019 SMM Final Report

1/18

StrategicMarketingManagement

Project: Milano Pizza

Department:Department: FMSFMS

 MBA 1.5 MarketingMBA 1.5 Marketing

Submitted to:Sir Imran M. Qureshi

Submitted by:Usman Afridi711

 A!dul "asee!I#!al71$%

8/16/2019 SMM Final Report

2/18

Introduction

•

&om'an( Profile• Produ)ts and Ser*i)es

PEST

• Fore)ast and trend

BCG• B&+ matri,

SWOT• Strengths- eakness- /''ortunities- 0hreats

Strategy Seection• S/0 !ased Strateg(

SCO!PIO Tec"ni#ue

• 7 )om'onents

International Islamic University Islamabad, Fall 2015

8/16/2019 SMM Final Report

3/18

$ame

0he name of our 'roe)t is Milano Pizza. 0he o2ner of the Pizza sho' is Mr.

Muhammad Ikram 3halid. It is Italian 'izza !rand no2 ser*ing (ou intelle)t 'izza *ariet(-

in 2hi)h (ou )an sele)t )ustom ingredients a))ording to (our taste.

%rea

It is situated in Fatima Plaza near Utilit( Store- I41 Markaz Islama!ad.

&i'tory

0he o2ner of the Milano Pizza is a soft2are engineer and run a !usiness along

2ith their o!. But there 2ere t2o 'ro!lem- high risk and mone( for in*esting. 0he

'ro!lem of mone( for in*estment 2as sol*ed !( getting mone( from his Brother in 6a2

and for risk he !elie*es that it )ould !e o*er)ome !( his good Qualit(. So e*entuall( he

started this !usiness in anuar( %1$ and sin)e then he is su))essfull( running it.

&ierarc"y

Muhammad Ikram 3halid is onl( the o2ner of the Milano Pizza and there are 5 2orkers

in his Sho'. 02o 2orkers 2ork in 3it)hen and one of them takes the order and ser*ethem and one 2orks as )leaner and one is for deli*ers 'izza and other Fast food.

Milano Pizza has also one another !ran)h in 6ahore that manages !( his Brother in

6a2.

Operation'

8/16/2019 SMM Final Report

4/18

Target Cu'tomer': /ur )ustomers are (oung generation and also that Peo'le 2ho like

and )onsume Fast food in high s)ale.

Product' and Ser(ice':

Product':

Pizza8 our main 'rodu)t is 'izza that is in man( fla*ors su)h as

&hi)ken 0ikka- &hi)ken Faita- Bar BQ- S'i)( "ot- 9ege 6o*er et)Burger8 Burgers 2e ser*e are:inger Burger :inger &om!o&hi)ken Burger ;ou!le ;e)ker&hi)ken 0ikka Burger FriesSand 2it)hes8 &hi)ken Sand 2it)h and &lu! Sand 2it)h

Pratha

8/16/2019 SMM Final Report

5/18

 All these o'eration are )ontrol !( the manager himself and the( kee' an e(e on e*er( matter-

sol*e 'ro!lem 2ith gi*ing great im'ortan)e to their 2ork .0he o2ner )laim that he 'ro*ide one of 

the good #ualit( food i.e. tast( and h(gieni) and also 'ro*ide one of the good ser*i)e.

PEST anay'i' +or Miano pi,,a '"op

PS0 anal(sis is a tool of e)onomi)s !( 2hi)h the !usiness en*ironment is e*aluated to

gage the suita!ilit( of su)h an en*ironment for setting u' strateg(.

 PS0 is an a)ron(m for 'oliti)al en*ironmental so)ial and te)hnolog(

Poitica +actor 

+o*ernment regulations regarding h(giene health and food- make food standard et) are

some of the fa)tors. )onomi) 'oli)ies of go*ernment regarding fast food industr( that in)lude

li)ense -ins'e)tion !( health and food ministr( de'artment et) effe)t the organization Fa)tors

su)h as la2s on !usiness em'lo(ment- 'ollution and ta,ation a''l( on the organization 2hi)h it

has to follo2 regarding the rules.

Trend'

0here 2ere not as mu)h la2 and order situation or ins'e)tion !( health and food

minister de'artment in 're*ious (ear thus fore)ast is that same situation 2ill )ontinue.

Economic +actor 

0here are some fa)tor that effe)t organization !ut not to a *er( large e,tent the( in)lude

In+ation

 A general in)rease in 'ri)e in an e)onom( and )onse#uent fall in 'ur)hasing *alue of

mone( is )alled inflation. So if the inflation rate is in)reased 'ur)hase *alue 2ill de)rease !utm( anal(sis sho2s it still donCt affe)t the sale of 'izza sho' !e)ause inflation rate 2as not that

mu)h high

Trend

year -an *ebruar  

y

marc

"

%pri

ma

y

-un

e

-u

y

augu'

t

Septembe

r 

./0

1

$.D

D

$.%@ %.@E %.11 $.1

$.1 1.D

1.7% 1.$%

8/16/2019 SMM Final Report

6/18

*oreca't

October $o(ember  

0234 %.@

GDP

If the )ount(?s e)onom( is !etter so the +;P of the )ountr( 2ill !e good- it is the initiati*e for

!usiness as the 'er )a'ita in)ome in)reases 'eo'le 2ill s'end more mone( and *i)e *ersa.

Trend

 *oreca't

For %15 the fore)ast 2ill !e 1.@@

Pri)e is also another fa)tor as fast food 'ri)e is high in Pakistan and lo2 in Ameri)a and uro'e.

0hus )onsum'tion rate is also lo2 in Pakistan.

Socia

  ating ha!its of the 'eo'le in (our )hosen !usiness en*ironment ma(- and )ertainl( 2ill-

affe)t (our marketing de)isions.

0hese ma( in)lude demogra'hi) as'e)ts like age distri!ution- 'o'ulation gro2th rate-

em'lo(ment and in)ome statisti)s- edu)ation and )areer trends- religious !eliefs and so)ial

stigmas- o*erall general attitude )onser*ati*e or li!eralG- et). 0hese fa)tors ma( ha*e a huge

im'a)t u'on the firm?s o'erations 2ithin the !usiness en*ironment as an( a)tion !( the firm

%ge

0he anal(sis sho2s that )hildren and (oung generation su)h as student *isit more offen

as )om'are the old 'eo'le so most of the re*enue 2as from !elo2 @ age 'o'ulation.

(ear %1 %11 %1% %1$ %1@

+;P 1. %.7 $.

5

@.@ 5.@

8/16/2019 SMM Final Report

7/18

Trend

Houng generation )onsumes the highest 'er)entage of fast food

from sho'.

&hildren 2ere se)ond to them/ld had a *er( small ratio of fast food )onsum'tion

Income

In)ome 2as one of the most effe)ting fa)tor the effe)t the sho' sale. In area su)h as I4E and I4

1 the in)ome of the most of the 'eo'le is not *er( high .

Trend

0he minimum in)ome of 'eo'le starts from to ma,imum. So for 'eo'le 2ho residein !et2een to % )anCt afford to !u( fast food on dail( or 2eekl( !asis.

Be)ause of the in)ome and of the 'ri)e of fast food 'eo'le use to *isit sho' on)e in a

t2o 2eek.

Buying +rom one pace

Trend

0here is a trend of 'eo'le !u(ing s2eet along 2ith fast food so a good )han)e for in)rease sale

as 2ell as dominating )om'etitors

*oreca't

 Peo'le 2ill 'refer to !u( from sho' 2here !oth 'rodu)t are a*iala!le

TEC&$O5OGIC%5 

0e)hnologi)al fa)tors ma( assume de)isi*e 'ro'ortions and ma( im'a)t the )ost- #ualit(

and s)o'e of inno*ation for a 'rodu)t- ser*i)e or )ommer)ial utilit(.

8/16/2019 SMM Final Report

8/18

  At the 'resent time- te)hnolog( is im'ro*ing- so as !aking and heating o*ens 2ill !e of

ne2 and effi)ient te)hnolog( and 2ill 'ro*ide effi)ient ser*i)e. ;ue to these inno*ati*e

te)hnolog( there are man( latest 2a(s of 'u!li)izing like2ise- through internet telemarketing

through 2hi)h organization )an ad*ertise their 'rodu)ts in mu)h more ra'idl( than e*er !efore.

Pubici,ing t"roug" internet

But Milano 'izza sho' is not doing as su)h 'u!li)izing on internet. So in future it ma(

affe)t the sho' as )om'etitor ma( take ad*antage of this o''ortunit(.

Trend

0here is trend for online fast food order in Islama!ad. 0he 'eo'le are finding it eas( to !u(

online as )om'are to 'ersonall( going to sho'.

*oreca't

So in future the trend for online !u(ing of 'izza 2ill in)rease.

BCG:

Per+ormance %nay'i':

Star )ue'tion Mark

Ca'" Co6' ;/+S

Market

8/16/2019 SMM Final Report

9/18

War"or'e' ;odos

  / !eati(e Market S"are

Market Growth & Market Share: 

8/16/2019 SMM Final Report

10/18

0otal 57.D 7.1 5E.@ 5. %.D 1 $.@

O(era Market Gro6t" ./04 7-uy8 to ./09 7-une8: 5E.@457.DJ57.DK%.7D

O(era Market Gro6t" ./09 7-an8 to ./09 7Dec8: 145E.@J5E.@K%.E

%(erage !eati(e Market S"are ./04 7-uy8 to ./09 7-une8: $.DJ@K .77

%(erage !eati(e Market S"are ./09 7-an8 to ./09 7Dec8: $.@J@K .7

BCG Matri:

 

7.5

3.3

2.78

1.3

-5 P&C

H

P

M

2013 (July)

to 20141.38 0.77 0.7

M

P

2014

(Jun) t2014P&CH

6.9

3.2

2.6

9

0.7

-5.2

8/16/2019 SMM Final Report

11/18

Interpretation

Pizzanoo is the market leader !e)ause it is older as )om'are to Milano. 0he !enefit of

their old )ustomer and lo2 'ri)e has made them allo2ed a good market share as 2ell

higher market gro2th. Milano has done 2ell as it 2as ne2 !ut still it 2as !etter than

hea*en foods and 'izza>)ottage !e)ause of their good #ualit( and lo)ation- la(out.

0here 2as little )hange in 2014 (Jun) to 2014 (Dec) as compare to 2013

(July) to 2014 (June). 0he de)rease 2as of the reason 'eo'le are going to2ards sa*ing

!e)ause of 'ri)e in)rease. Pizzaono again lead the market !e)ause of same reason as dis)uss

a!o*e.

SWOT Analysis

SWOT aa!"s#s #s a strate$#c too! %or ea!'at#o t(at (e!p 's ')ersta) t(e

#tera! stre$t( a) *ea+ess o% a or$a#,at#o 't a!so t(e etera!

t(reat a) opport'#t" t(at a 's#ess co%rots *#t(.

/o!!o*#$ are some o% t(e stre$t( & *ea+ess t(at (as (e!pe) M#!ao p#,,ato $a# a compet#t#e a)ata$e a) see Wea+ po#ts respect#e!"

Strenths!

1. ocat#o a) !a"o't $#es 's a compet#t#e a)ata$e eca'se o'r

s(op #s # ma# mar+a, a) er" c!ose to Sc(oo!s a) aca)em#es.

1.4 0.76

8/16/2019 SMM Final Report

12/18

2. M#!ao r's t*o rac(es ma# # s!amaa) a) ot(er # a(ore t(at

ma+es stro$ o'r 's#ess ac#a!!".3. se 'a!#t" c(#c+e o% &s a) ot(er ra* mater#a! *#t(

ma'%act'r#$ a) ep#r" )ate met#oe) %o!!o*e) " t(e (ea!t(

m##str" o% Pa+#sta.

4. T epert o*er a) s+#!!e) +#tc(e sta.

  Weakness!

1. :#;c'!t#es # ma#ta##$ a '#e) ra) #ma$e )'e to !o*

)#eret#at#o.

2. o a)ert#semet a) promot#oa! campa#$ eca'se t(#s #s a sma!!

's#ess a) ot aor) t(e epeses o% pr#t me)#a.

3. Pr#ces o% P#,,a a) CP?C ca #tro)'ce e*

mac(#er" t(at #s eec#a! %or eas" a+#$ a) (eat#$ ca'se to

re)'ce cost a) !ess e!ectr#c#t" cos'me.4. or)er to r#$ )#eret#at#o # o'r pro)'ct *e *#!! #tro)'ce e*

pro)'ct # %'t're e.$. P#,,a coe etc.

Threat

1. Hea!t( cosc#o's campa#$s are #crease) " (ea!t( )epartmet o%@oermet a) soc#a! me)#a a!so p!a" e'a! ro!e # #t. T(#s ca'se

ma" )rop o'r c'stomers # %'t're.2. tese compet#t#o occ'rs %rom p#,,a ('t a) ot(er m'!t#at#oa!

compa#es eca'se t(e" #crease t(e#r %rac(#ses a) rac(es

$!oa!!".

8/16/2019 SMM Final Report

13/18

3. A s!'mp # t(e ecoom" re)'c#$ c'stomerBs )#sposa!e #come

spet o eat#$ o'ts#)e.4. As t(e tre) o% o!#e #s #creas#$ as %orecaste) o'r !ac+ to a)opt

e* tec(o!o$" a) e* o!#e promot#o too!s t(at ma" e a)opt

" P#,,ao a) ot(er )ecrease o'r sa!e.

#ro$uct %i&e 'ycle!

Gro6t"

P#,,a o% M#!ao /oo)s s#ce spe)#$

oe "ear o% eort t(e" are # $ro*t(

sta$e *#t( some $oo) ac(#eemet

s#ce t(e" oercome t(e#r t*ocompet#tor # #mpro#$ mar+et s(are

a) mar+et $ro*t( 't st#!! !o$ *a" to

eat mar+et !ea)er.

Stage o+ competition

t(e mar+et t(e s#t'at#o %aor more

per%ect compet#t#o somet#mes ca!!e)

p're compet#t#oD as #t )escr#es mar+ets s'c( t(at o part#c#pats are !ar$e

eo'$( to (ae t(e mar+et po*er to set t(e pr#ce o% a (omo$eeo'sPro)'ct. o etr" a) e#t arr#er ma+es #t etreme!" eas" to eter or e#t a

per%ect!" compet#t#e mar+et.

Market 'ituation

Aa!"s#s o% mar+et s(o*s t(at t(ere #s !ot o% space aa#!a!e # *(#c( !ar$e 'mer

o% potet#a! c'stomer are aa#!a!e as %rom PC *e see t(at M#!ao #s # $ro*t(

sta$e so eort are re'#re) %or $ar#$ t(ose potet#a! c'stomer e.$. pr#ce co'!) e

a eect#e strate$". So *e epect *#t( t(e passa$e o% t#me *e *#!! e a!e to

#mproe o'r mar+et s(are a) mar+et $ro*t( as eca'se o% mar+et s#t'at#o %aors

's.

Stratey Selection

https://en.wikipedia.org/wiki/Market_powerhttps://en.wikipedia.org/wiki/Homogeneous_productshttps://en.wikipedia.org/wiki/Homogeneous_productshttps://en.wikipedia.org/wiki/Barriers_to_entryhttps://en.wikipedia.org/wiki/Barriers_to_exithttps://en.wikipedia.org/wiki/Homogeneous_productshttps://en.wikipedia.org/wiki/Homogeneous_productshttps://en.wikipedia.org/wiki/Barriers_to_entryhttps://en.wikipedia.org/wiki/Barriers_to_exithttps://en.wikipedia.org/wiki/Market_power

8/16/2019 SMM Final Report

14/18

SWOTase$

Strateies

  tera! Stre$t(s SD

. *T e+"ert o,ner an$skille$ kitchen sta-.

. %ocation an$ layout

i/es us aco"etiti/ea$/antae

. Milano runs t,oranches that i/esre/enue

. se uality chickeno& as co"are$ toco"etitors

  *nternal Weaknesses (W)

. Di5culties inaintainin auni6e$ ran$ iae

$ue to lo,$i-erentiation.. 7o a$/ertiseent. #rices o& #i88a an$

9urers are hih. #i88ano has lo,

"rice an$ &ree hoe$eli/ery co/ers hiharea.

?tera! Opport'#t#es OD

. Online &oo$ or$erin

syste.. %aunch ne, "ro$uct

cateory i.e. Milanos,eets an$ 9akers

. '#:' ,ill rin ne,achinery ; re$ucecosts

. *ntro$uce ne,"ro$uct in &uturethat is #i88a cone.

SO Strateies

:+"an$ usiness

online (S1;O1)

a'c( e*

pro)'ct

!#eS1>O4D

WO Strate$#es

/or (#$( )#eret#at#o amo$

compet#torsW1>O4D

A)opt#o o% e* mac(#er"

a!e 's to !o* pr#ce W3>O3D

  ?tera! T(reats TD

.

8/16/2019 SMM Final Report

15/18

'usto0er

*n$ustry or

Market=

Se0entation

#ositionin

O-erin

>etention

Or culture an$

"rocesses

Scorpio Tec"ni#ue:

Indu'try or Market:

In)ludes the industr( orientation 2here 2e follo2 the industr( leader > trends !( other

)om'anies and the market orientation are )ustomer orientation onl( see the 2ants and

needs of )ustomers.

 e sele)t the market orientation in 2hi)h 2e 'refer the )ustomer desires and needs !(

market resear)h. e manage an online ordering s(stem that is !est for (outh and

internet users. B( online s(stem 2e attra)t large num!er of )ustomers and the( also

ha*e o'tion eas( to a''roa)h us in their o2n 'la)e. e also laun)h a 'izza )one 2ith

our skilled staff that our S/ strateg( a!le us to make ne2 )on)e't of Pizza in fast food

market.

8/16/2019 SMM Final Report

16/18

T"e Cu'tomer:

Basi)all( our )ustomers are (outh and fast food lo*ers 2e also laun)h a ne2 'rodu)t

line to attra)t more )ustomers among )om'etitors. e satisf( their needs !( gi*ing

su'erior *alue. 3ee' e(e on strengths and o''ortunities 2e make )ustomers !( online

s(stem and lo(al to this Pizza !rand .&ustomer definition 2ill )hange as !( making a

ne2 'rodu)t 'izza )one 2e made a distin)t image in the mind of the )ustomer that 2e

)an differentiation as 2ell the online 'romotion and dealing 2ill hel' us gra! 'otential

)ustomer as 2ell.

Segmentation:

It de'ends on the 'osition of (our organization on the life )()le 2here it falls. /ur

!usiness falls in +ro2th so 2e 2ork for the maturit( stage. Be)ause of online and ne2

'rodu)t 'izza )one segmentation 2ill )hange !e)ause of 'otential )ustomer. B(

o!ser*ing the o''ortunit( of online selling is )a'a!le us to shift our ser*i)es from gro2th

to maturit(. /ur make segments on the !ase of need and 2ants and after a''l( these

strategies 2e e,'and our !usiness online and laun)h ne2 'rodu)t line so a))ording to

this 2e also segmented !( gi*ing !enefits.

 

Po'itioning:

B( made a ne2 'rodu)t 'izza )one 2e made a distin)t image in the mind of the

)ustomer that 2e )an sa( differentiation. e do ad*ertisements and also use online

'romotional tools to gra! the minds of the 'ros'e)ts. B( our strateg( 2e )an do this and

deli*er our !usiness message to 'u!li) in an effe)ti*e 2a(.

Cu'tomer !etention:

e )ontinuousl( add *alue in our food items and em'hasize in )ustomer dri*en

a)ti*ities that hel' us to retain our )urrent )ustomers and also gi*e ad*antage for

)on*ert the 'otential into a)tual )ustomers. /ur strateg( is also for those online order

8/16/2019 SMM Final Report

17/18

s(stem )urrent )ustomers that adds *alue and the ne2 'rodu)t line dri*e the ne2

)ustomers in our !usiness.

Organi,ation: Proce''e' and Cuture:

/ur skilled staff a!le to deli*er the ser*i)es that )ustomer ho'es from us. Make sure the

'romise !( kee' in mind the health fa)tor. e shift our 'ro)ess online to unite the staff and

)ustomer. 0his s(stem )hanges the 'ro)ess of a !usiness like dealing and 'a(ments

'ro)esses.

O++ering':

 A))ording to segmentation- 2e segment on 2ant and needs and also em'hasize on

!enefits. Firstl( our 'ur'ose is onl( formal 'rodu)t and no2 2e mo*e to2ards

augmented 'rodu)t. e gi*e deals of !u( 1 get 1 to offer *alue to our regular

)ustomers. Also moti*ating to2ards our ne2 'rodu)t 2e 2ill use 'enetration 'ri)e

strateg(.

8/16/2019 SMM Final Report

18/18