NORTH SOUTH UNIVERSITY

Project Paper on

“TERM PAPER ON ACI SALT”

Submitted to,

Dr. Mohammad Baktiar Rana

Professor,
Department of Marketing & International Business
North South University

BUS625: Distribution Management

Section: 1, Summer-2019

Submitted by, Group- G

Md. Jahid Hassan Bhuiyan - 1735031060

Tasnufa Hossain – 1735032060

Date of Submission

21st August, 2019

1|Page
 Letter of Transmittal

21st August, 2019

Dr. Mohammad Baktiar Rana
Assistant Professor, Department of Marketing & International Business
School of Business and Economics
North South University
Subject: Submission of Term Paper.
Dear Dr. Rana,

We are glad to submit the term paper on “ACI SALT”. We would like to convey that this report
was extremely beneficial for us to gather some knowledge about the ins and outs of the product
line offered by ACI. We have tried our best to follow the guidelines that have been provided, in
every aspects of planning and preparing our paper. We have gathered, what we believe to be the
most important information to make our term paper as specific and coherent as possible.
In a nutshell, it was a wonderful opportunity for us to work under your supervision and we are
very thankful to you for providing us this opportunity.
Sincerely yours,

Md. Jahid Hassan Bhuiyan 1735031060

Tasnufa Hossain 1735032060

BUS625.01

Department of Marketing & International Business

School of Business and Economics (MBA Program)

North South University

2|Page
 Acknowledgement

At the outset, we would like to express our gratitude to Almighty Allah for giving us the strength
and knowledge to successfully complete this project within due time.

We are grateful to our Faculty Advisor Dr. Mohammad Baktiar Rana, Professor, Department of

Marketing & International Business, North South University, for his direction, constant and
spontaneous support, efficient supervision and constructive suggestions. It could be a grueling task
rather than being a reveling one if we hadn’t him by our side. We consider it as a great opportunity
to have a share of knowledge and experience in the distribution portion.

Acknowledgement must go to all the group members, whose persistent patience and amazing
capacity of creative work, and long hours made the project both possible and successful under the
pressure of knocking deadline.

NAME: SIGNATURE

Tasnufa Hossain ……………………….

Md. Jahid Hassan Bhuiyan ……………………….

3|Page
Executive Summary

4|Page
 TABLE OF CONTENTS

Particulars Page No.

1. Introduction & Value Offered by Saffola Active 6-8

2. Market Segmentation 8-10

3. Target Segment of Saffola Active 11

4. Competitive Positioning 11-12

5. Major Competitors of Safolla 12-13

5.1 Direct Competitors 12
5.2 Indirect Competitors 13
6. Major Marketing Challenges 14-17

7. Marketing Mix to Overcome the Challenges 17-22

7.1 Product 17-18
7.2 Price 18-19
7.3 Place 19
7.4 Promotion 20-22

12. Conclusion 22
16. References

5|Page
Introduction

ACI Salt Limited was incorporated as a private limited company on June 13, 2004 and it is a sister
concern of Advanced Chemical Industries (ACI). The objective is to provide 100% edible salt for
human consumption by using modern vacuum evaporation process technology. At the time of
launching there were established salt brands like Molla Salt, Confidence Salt was in market and
they were dominating the market share. However, for last many years the company is in a very
competitive position by serving the country with premium grade edible salt with impeccable
reputation of 100% purity.

6|Page
Target Segmentation of ACI Salt
Market segmentation is a process of separating the market of potential customers in to sub-group
of customers (known as segments) based on some type of shared characteristics. It helps to identify
the potential customer, based on groups according to their needs and wants. In marketing, market
segmentation plays a vital role in marketing strategy. Market segmentation helps to gain a
competitive advantage in the market by analyzing various customer groups. It is used to identify
the customer as clearly as possible in order to be able to market goods or services to those
customers most effectively. The Market can be segmented in to following categories-

 Demographic Segmentation
 Geographic Segmentation
 Behavioral Segmentation
 Psychographic Segmentation

Demographic Segmentation
Conferring to Kotler, demographic segmentation can be defined when a market is segmented into
groups based on age, gender, family, occupation, race, generation, income, education, social
class and nationality. (Kotler, Marketing Management 2003). ACI salt targets most of the classes
of the society but mostly middle class and upper middle-class people. The message they convey
is mostly favored by these people. The price of the salt is also competitive which works a bonus
point for this segment.

Geographic Segmentation

Geographic Segmentation is market segmentation when a product is segmented based on the

region. Chandrasekar, defined geographic segmentation as dividing the market into different
geographical region. For example, sates, nations, countries or even neighborhoods (Chandrasekar
2010). ACI Salt targets customers from all over Bangladesh. The people they target are the major
portion of the population of this country, which is why they have customers all over the country.

7|Page
Behavioral Segmentation
Behavioral segmentation is a marketing strategy based on actual consumer buying behavior
towards product. Some behavioristic variables include: Benefit Sought, Usage Rate, Brand
Loyalty, User status: potential, first time user, regular, etc. As a marketer it is very much important
to keep in mind that how customer will behave after purchasing the product and what will be there
behavior towards their product. The reaction can be either positive or negative which will have a
direct impact on their product (Reid and Bojanic 2009).

Psychographic Segmentation
Psychographic segmentation is the process of dividing your market into segments based on
different personality traits, values, attitudes, interests, and lifestyles of consumers. It is necessary
for a marketer to understand how consumers think and what are their values and attitudes (Ziff
1971). In the past, most of the consumers simply ask for salt and did not specify the brand. There
was no awareness among the people regarding the harmful effect of impurities present in salt.
But consumers nowadays are more health conscious. They know how iodine present in salt can
be vital for the mental growth of a child, as well as good for the entire human body. Moreover,
salt is something which we consume on a regular basis, so it is crucial for the salt to be free from
all kinds of impurities and loaded with iodine. And this is the major marketing notion that ACI
Salt stands for.

Their competitors are Fresh Premium Salt, Super Salt, Ifad Salt, Confidence Salt.

8|Page
The lack of trend in the market made it difficult for the current market players as well as ACI
Salt to come up with an unique strategy to compete in the market. But ACI Salt came up with a
strategy where they placed themselves as "100% Pure" and that clicked in the market almost
instantly. Within two years they became the dominant market player.

Conclusion

The salt industry of Bangladesh has always been in a primitive position offering the consumers
low quality edible salt with sand, dirt particle & adulterants that they use in everyday use. And the
consumers were not differentiating much among the brands available to choose this essential
nutrient of everyday life. This all started to change in 2005 as ACI Limited, one of the leading
conglomerates of the country, decided to offer the consumers a finest quality edible salt equivalent
to any international brand. With alliance of ACI’s mission, to improve the quality life of people,
ACI Salt Ltd. is always looking forward for the scope to serve the nation.

https://www.aci-bd.com/sub_salt.php
http://www.aci-bd.com/our-companies/aci-salt-ltd.html

9|Page