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Shan Foods

Shan Foods. 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. Shan foods’ Vision.

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Shan Foods

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  1. Shan Foods

  2. 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

  3. Shan foods’ 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.

  4. Shan foods’ Mission To continuously develop and produce quality products that meet the customers and markets demands, compatible with applicable regulatory requirements.

  5. Pakistan is the world’s ninth largest market with an estimated 150 million consumers. Pakistan Food Industry

  6. Major Food Exports of Pakistan

  7. Overview of Spice industry of Pakistan • 7000 spices and salt grinding units • Tremendous growth in last decade • Factors behind increased demand • -- changing lifestyle • -- sub-continental style of cooking (good spices means good food)

  8. Major Industry Players • Shan foods • National foods • Others • Chef’s Pride • Mehran foods • Ahmed foods • Habib foods • Zaiqa Foods • Kitchen Secrets

  9. Market share as competitor

  10. Region wise market share

  11. Growth Last 4 years

  12. Growth Future 4 Years

  13. Products of Shan Foods • Delectable Biryani • Vegetables • Authentic Curries • Stir Fries Foods • Lavish Fried Food • Sumptuous BBQ • Yummy Chaat

  14. Products of Shan Foods Biyani Mixes • Biryani Masala • Bombay Biryani • Fish Biryani • Karachi Beef Biryani • Malay Chicken Biryani • Memoni Mutton Biryani • Pullao Biryani • Punjabi Pullao • Sindhi Biryani

  15. Curry Spice Mixes • Kofta Spice Mix • Meat Masala Spice Mix • Chicken Masala • Roghan Josh • Achar Gosht • Korma Spice Mix • Muragh Chholay • Passanda Spice Mix • Stew/Dopiaza Spice Mix • Meat Vegetables

  16. Stir Fried Foods • Kat-a-Kat Spice Mix • Karahi/Fri Gosht Spice Mix • Keema Spice Mix • Liver Spice Mix

  17. Deep Fried Foods • Chappli Kabab Spice Mix • Chicken Broast Spice Mix • Lahori Chargha • Fish Spice Mix • Fried Chops/Steaks Spice Mix • Lahori Fish • Shami Kabab

  18. Barbeque • Bihari Kabab • Seekh Kabab • Tikka Boti • Chicken Tikka • Tandoori Masala • Tikka Seekh Kabab

  19. Shan Pickles • Mango Pickle • Lemon Pickle • Mixed Pickle • Garlic Pickle • Chilli Pickle

  20. Vegetarian Foods • Achar Masala • Daal Masala Spice Mix • Pani Puri • Chana Masala Spice Mix • Pav Bhaji • Vegetables Spice Mix • Aaloo ki Bhujia Spice Mix

  21. Instant Foods • Dahi Bara Mix • Easy Cook Haleem Mix • Pakora Mix • Shahi Haleem Mix • Khichra Mix 

  22. Dessert Mixes • Gajar Halwa • Lauki Halwa • Rasmalai Mix • Gulab Jaman • Sheer Khurma Mix • Special Pista Kheer Mix

  23. Break Fast • Hunter Beef Spice Mix • Egg Spice Mix • Paya Spice Mix • Nihari Spice Mix • Haleem Spice Mix

  24. SWOT Analysis • Strengths • Weaknesses • Opportunities • Threats

  25. 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 SKU’s available consolidating its presence in various niches and keeping its customers loyal to the brand.

  26. 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.

  27. 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.

  28. 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 Shan’s market share due to heavy advertisement while keeping the product quality close to that of Shan.

  29. What Shan foods has achieved and future targets • 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)

  30. Strategic & Marketing Analysis 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

  31. Analysis of the product portfolio • Products introduced only after testing • Portfolio comprises 6 broad categories like recipe mixes, plain spices, dessert mixes, basmati rice, pickles and salts. • Offering for Every occasion and every type of taste • Top of the mind and top if the heart brand for Recipe mixes spice Mix category

  32. 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.

  33. Success story in terms of figures • 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

  34. Strategies • 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

  35. 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.

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