ASSIGNMENT

PRINCIPLES OF MARKETING
MARKETING PLAN FOR MILO

Sơn T. Nguyễn
Luân K. Nguyễn
Trung M. Vũ
Khang M. Nguyễn
Nghi G. Cổ
Ánh N. Trần
MKT101: Marketing Principles
Instructor: Nguyễn Minh Ngọc Quỳnh
March 18, 2023
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TABLE OF CONTENTS
Executive summary 3
1. Current position 3
2. Key issues 4
Corporate Strategy 4
1. Corporate mission/ objectives 4
2. Summary of overall position and corporate strategy 5
External and Internal Analysis 6
1. Overview of market 6
2. Competitor analysis 7
3. Future trends 7
4. SWOT 8
Marketing objectives 9
1. Financial objectives 9
2. Marketing objectives 10
Marketing strategy 11
1. Marketing strategy 11
2. Specific marketing programmes (products, place, promotion, price) 11
Products: 11
Price: 12
Place: 12
Promotion: 12
3. Market segmentation 14
4. Competitive advantage 14
Implementation 15
1. Schedule of key tasks 15
2. Resource allocation 15
3. Budgets 15
4. Contingency 16
Control and Forcasting 16
1. Assumptions made 16
2. Critical success factors 17
3. Financial Forecasts 18
REFERENCE LIST 19
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MARKETING PLAN
MILO

Executive summary

1. Current position
- Milo is a popular chocolate malt drink that has gained a strong foothold in
many countries around the world. Its delicious taste and unique nutritional
benefits have made it a beloved beverage for people of all ages, particularly
children who enjoy its rich, chocolatey flavor.
- With its global expansion, Milo has become one of the most popular drinks in
many countries. In Singapore, for example, Milo ranked among the top 10
most popular drinks in 2017, a testament to its widespread appeal. In other
countries such as India, Australia, and Vietnam, Milo has also gained a
significant following and ranks highly in terms of popularity.
- The success of Milo has been recognized by the industry, as the brand has
won the prestigious Apac Effie Awards two years in a row, a testament to its
marketing and branding excellence.
- In addition to its popularity and accolades, Milo has also earned the support
and trust of many customers, particularly children. The drink has been
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recognized for its ability to promote height and intelligence, making it a go-to
choice for parents looking to provide their children with a nutritious and tasty
drink.
Overall, Milo's expansion and success are a reflection of its appeal to people
of all ages and its ability to deliver on both taste and nutrition. Whether
enjoyed hot or cold, Milo is a drink that has won the hearts of millions of
people around the world.

2. Key issues
- Milo is a well-known nutritional supplement that is commonly recommended
for breakfast to provide energy for daily activities. Its unique combination of
chocolate and malt flavors, along with its high nutritional content, make it a
delicious and healthy option for those looking to start their day off on the right
foot.
- In addition to its use as a breakfast supplement, Milo is also known for
providing energy during sports competitions and playtime. The brand has
launched successful campaigns such as "Tiếp sức giờ ra chơi," which
encourages children to drink Milo before engaging in physical activities to
ensure they have the energy they need to perform at their best.

- Despite its popularity as a breakfast supplement and sports drink, the

after-school period has been overlooked as a key time to promote the use of
Milo. This time slot provides a great opportunity to convey messages about
the importance of providing energy to children after a long day of school and
extra-curricular activities. By effectively leveraging this time slot, Milo can
increase its sales, reach more customers, and solve their problems.
- To take advantage of this opportunity, marketers should focus on developing
creative and compelling campaigns that highlight the benefits of drinking Milo
during the after-school period. This could include showcasing how Milo can
help children stay focused during homework time, or providing tips on how to
make healthy and delicious after-school snacks using Milo as an ingredient.
- By effectively leveraging the after-school period, Milo can further cement its
position as a go-to nutritional supplement for children and parents alike. With
its delicious taste, high nutritional content, and proven track record for
providing energy, Milo is well-positioned to become an even more beloved
and trusted brand among its target audience.

Corporate Strategy

1. Corporate mission/ objectives

- Rashid Qureshi, the general manager of Nestle Vietnam, recently delivered a
speech highlighting Nestle MILO's mission to promote a nutritious lifestyle
and a passion for sports among children. In his speech, Qureshi emphasized
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the importance of instilling values such as respect and equality in children's

attitudes towards sports, which would contribute to their overall happiness
and health.
- Qureshi's speech underscored Nestle MILO's commitment to providing a
drink that not only supports a healthy diet but also encourages children to
lead an active lifestyle, promoting both physical and mental well-being. The
brand's focus on promoting sports and an active lifestyle is reflected in its
successful campaigns such as "Tiếp sức giờ ra chơi," which encourages
children to drink Milo before engaging in physical activities.
- By emphasizing the importance of instilling values such as respect and
equality in children's attitudes towards sports, Qureshi's speech reflects
Nestle MILO's dedication to promoting a holistic approach to health and
wellness for children in Vietnam. The brand's mission is not just about
providing a nutritious drink but also about helping children develop healthy
habits that will last a lifetime.
- In addition to promoting a healthy lifestyle, Nestle MILO has also been
actively involved in community initiatives aimed at promoting education and
social welfare. For example, the brand has launched campaigns aimed at
providing clean drinking water and basic education to underprivileged
communities in Vietnam.
To sum up, Rashid Qureshi's speech highlights Nestle MILO's commitment to
promoting health and wellness among children in Vietnam. By fostering a
passion for sports and promoting healthy habits, Nestle MILO is not just
providing a drink but also contributing to the development of a healthier and
happier generation.

2. Summary of overall position and corporate strategy

- Nestlé SA is a multinational food product manufacturer based in Vevey,
Switzerland, and operates factories in more than 80 countries. The company's
product line includes condensed and powdered milk, baby foods, chocolates,
candies, instant coffees and teas, soups, seasonings and condiments, frozen
foods, ice cream, and bottled water. In addition, Nestlé also produces
pharmaceuticals.
- Among Nestlé's many products, Milo is one of its most popular brands. Milo is
a chocolate malt beverage that can be prepared with hot or cold milk or water.
The brand is particularly popular in Asia, Africa, and Oceania and is a
"must-have" product for food service operators in these regions. Loved and
trusted by parents and kids alike, Milo products offer essential vitamins and
minerals.
- The brand is named after the legendary athlete Milo of Crotona, Italy, who
won six Olympic championships and was known for his miraculous powers.
Milo was first researched and produced by Thomas Mayne at the Royal
Easter Show in New South Wales, Australia in March 1934. Since then, Milo
has been available in more than 40 countries around the world.
- In 1994, Nestlé started importing Milo powder for children into Vietnam, and
after four years, the company inaugurated a Milo powder factory in Dong Nai
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to meet the increasing demand and taste of Vietnamese consumers. Nestle

Milo has been in the Vietnam market for more than 20 years and is a
prestigious brand that leads in quality and market share in the cocoa
beverage sector for children between 6-12 years old.
- Milo is committed to collaborating with parents in nurturing their children to
unlock their full potential. The brand recognizes that academic achievement
alone is not sufficient for a child to succeed and emphasizes the importance
of instilling life skills and values in children. By providing a nutritious and
delicious beverage, Milo aims to support parents in promoting a healthy and
active lifestyle for their children.
In conclusion, Nestlé SA's commitment to quality and innovation is reflected in
the success of its brands, including Milo. With a long history of providing
delicious and nutritious products, Nestlé has become a trusted household
name in many countries around the world.

External and Internal Analysis

1. Overview of market
- Milo's success in Vietnam can be attributed to a combination of factors,
including Nestle's marketing efforts, strong distribution network, commitment
to corporate social responsibility, versatility, and alignment with consumer
trends towards health and wellness.
- In addition to Nestle's marketing efforts, Milo's popularity in Vietnam can also
be attributed to its strong distribution network. Nestle has established
partnerships with various distributors and retailers across the country to
ensure that Milo is widely available in both urban and rural areas. This has
helped the brand to reach a wider consumer base and build brand
recognition.
- Another key factor that has contributed to Milo's success in Vietnam is the
brand's commitment to corporate social responsibility. Nestle has
implemented various initiatives to support the local community, including
providing nutritional education and promoting physical activity among
children. This has helped to build trust and loyalty among consumers who
appreciate the company's efforts to promote health and wellness.
- Moreover, Milo's popularity in Vietnam can also be attributed to its versatility.
The drink can be prepared with hot or cold milk or water, making it a
convenient and adaptable option for various occasions. This versatility has
made it a popular choice not only for children, but also for adults who enjoy
the drink as a quick and easy source of energy and nutrition.
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2. Competitor analysis
- In the highly competitive Vietnamese beverage market, Milo has managed to
maintain its position as a leading brand by focusing on innovation, marketing,
and distribution strategies. While there are many competitors in the market,
Milo has continued to offer unique products and flavours that cater to the
diverse preferences of Vietnamese consumers.
- One of Milo's key competitors is Ovaltine, which is also a popular chocolate
malt drink with high nutritional value. However, Milo has managed to
differentiate itself by introducing new flavours and packaging formats that
appeal to changing consumer preferences. Milo has also invested in
marketing and advertising campaigns to maintain brand awareness and
loyalty among its customers.
- Another competitor that Milo faces is Vinamilk, a long-standing brand trusted
by many families for their daily milk consumption. To stay ahead of the
competition, Milo has focused on providing quick energy and nutrition, which
is an area where Vinamilk is not as strong. By emphasizing its nutritional
value, Milo has positioned itself as a drink that not only tastes good but also
provides essential vitamins and minerals.
- TH True Milk is another strong competitor that has a high market share in
Vietnam. To compete with TH True Milk, Milo has focused on providing
environmentally friendly products, which is an area where TH True Milk has
not yet made significant investments. Milo's commitment to sustainability has
resonated with many Vietnamese consumers who are becoming increasingly
aware of the impact of their purchasing decisions on the environment.
- In addition to these competitors, Milo has faced challenges from local and
international beverage brands that offer similar products and flavours. To stay
ahead of the competition, Milo has focused on expanding its distribution
network to reach more consumers in different regions of Vietnam. The brand
has also leveraged customer data to better understand consumer preferences
and needs, which has helped it develop more effective marketing and
advertising campaigns.
- Milo has successfully navigated the competitive Vietnamese beverage market
by focusing on innovation, marketing, and distribution strategies. By offering
unique products and flavours, emphasizing its nutritional value and
sustainability, and expanding its distribution network, Milo has managed to
maintain its position as a leading brand in Vietnam.

3. Future trends
- In the future, Milo is likely to continue to focus on collecting and utilizing customer
data to better understand and cater to the preferences of its consumers. With the
increasing popularity of digital platforms, Milo may explore new ways to collect
customer data, such as through social media and mobile apps. By gathering more
detailed information about their customers, Milo can gain insights into their
preferences and tailor their products and marketing campaigns accordingly.
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- Another trend that Milo may prioritize is the shift towards more environmentally
friendly products. As sustainability becomes an increasingly important concern for
consumers, Milo may look for ways to reduce their environmental impact, such as
using more eco-friendly packaging materials or sourcing their ingredients from
sustainable and ethical sources. This can help to appeal to consumers who are
increasingly conscious of their environmental footprint and make Milo a more
attractive choice for those looking for more sustainable beverage options.
- Providing quick energy and nutrition is likely to remain a key priority for Milo in the
future. As busy lifestyles and on-the-go consumption continue to increase in
popularity, Milo may look for ways to make their products even more convenient and
accessible to consumers, such as through single-serve packaging or new product
formats. Additionally, Milo may continue to explore ways to enhance the nutritional
value of their products, such as by adding more vitamins and minerals or reducing
the sugar content. By staying ahead of these trends and continuing to innovate, Milo
can maintain its position as a popular and trusted brand in the Vietnamese market.

4. SWOT
- Strengths:
+ Milo has a high brand value and reputation: It has been in existence since
1934 and has been available in Vietnam for over 17 years. The brand has a
solid market position and has been popular among millions of children
globally for a long time. Milo's marketing strategies have also contributed
significantly to its brand creation and building customer trust, which increases
their confidence when using the product.
+ The product meets the quality standard: The products of this brand are
packaged and sold in many countries around the world. All of them have
undergone strict food quality checks and a closed production cycle to ensure
safety and quality for consumers.
+ Widespread distribution network: Milo is a global brand that has a
presence in many countries around the world. The strong distribution network
of the Nestlé brand makes it easier for consumers to access Milo products.
Additionally, Milo products are available through various online sales
channels, supermarkets, and retail stores, making them accessible to both
urban and rural customers.

- Weaknesses:
+ No change in packaging or design: Milo's packaging and labeling have
remained the same, while other beverage products constantly update and
introduce new and modern designs, which makes consumers feel bored.
+ No change in flavor: Milo's lack of significant changes in flavor is also one of
its weaknesses when analyzing the SWOT model of Milo. For many years,
since its establishment until now, Milo has only maintained a chocolate flavor
ingredient. Although the flavor has been improved and adjusted to meet the
needs of each country, they are not significantly different. This makes it
challenging for Milo to compete with other brands.
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+ No innovation and product development: The lack of innovation and

product development is another weakness that this brand faces. Although
Milo continuously seeks ways to develop and improve its products, it still
lacks innovation and the pace of product improvement is quite slow compared
to its competitors.

- Opportunities:
+ The fast-paced social growth leads to an increasing demand for nutritional
products. Milk is an essential food source for every Vietnamese citizen.
+ In recent times, in line with the trend of eco-friendly and environmentally
sustainable products, Milo has started to use effective and environmentally
safe packaging methods for its products. Currently, large companies that
focus on environmental sustainability and consumer health are attracting a
large customer base.
+ With abundant financial resources from its parent company Nestle, Milo can
heavily invest in major sports events that are broadcast globally, which helps
to enhance consumer awareness of the brand.
+ Moreover, the development of Internet technology creates opportunities for
Milo to easily market its products and brand to the global market.

- Threats:
Currently, there are many strong competitors vying for a share of the milk industry,
which is a major challenge for the Milo brand. With increasingly strong competitors,
Milo is forced to adopt bold strategies in order to remain competitive in the market.

Marketing objectives

1. Financial objectives
- Increase overall revenue: Increase sales revenue by 15% within the next fiscal
year by expanding distribution channels:
Launched new packaging, theme for the entire campaign "After School". "A great
solution for children in providing quick and convenient meal replacements. With the
necessary nutritional ingredients, the product will provide energy for their activities.
Not only that, the product is also designed with a beautiful design and suitable for
personality and their dynamism, creating a love of using the product."

- Boost profitability: Increase profit margins by 5% within the next two years by
reducing production costs.

- Raise market share: Increase market share by 7% by launching new promotional

offers and loyalty programs. For example:
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+Coordinate with amusement parks like Jump Arena to provide products as well as
have promotional programs help increase revenue, suitable for the benefits of both
parties.
+Sponsoring children's sports tournaments, children's events."

- Achieve a return on investment (ROI): of 15% for marketing campaigns within the
next 12 months by: Identify target audience:
+ Children: After a long period of stressful study at school, students often look
to sports activities such as football and basketball to relieve stress and relax.
However, because of the busy study schedule, they do not have enough time
to eat enough nutrients needed for sports activities. This makes their bodies
don't provide enough energy to play sports, causing fatigue and weakness.
+ Parents: For parents who have time to pick up their children, adequate
nutrition is also an issue they care about. They understand that a piece of
bread or a packet of sticky rice may not provide enough nutrients for their
next activities such as tutoring, attending gifted classes, sports, etc.
Therefore, these parents are always looking for a product that can meet the
needs of fully supplementing the nutrients necessary for the comprehensive
development of their children."

- Increase sales: Increase brand awareness by 15% within the target demographic
through improved advertising and social media campaigns. Implement the production
of TVCs, advertising templates, and organise events for the children after school.
Cooperating with primary and secondary schools to open stalls that prepare MILO
products at school's departure time.
For example: Mixing dishes such as Iced Cacao, Milo pickles, ...

2. Marketing objectives
- The company's sales are expected to grow by 20% due to the addition of a new
market segment consisting of children between the ages of 6 and 16, somehow as
well as parents with children in primary and secondary school by buying our products
for their children. These individuals tend to consume milk tea, soft drinks, and similar
beverages after school hours.
- We will be introducing new packaging for our products
- Setting up stalls at the schools.
- As an incentive, we will be giving out leaflets containing useful study tips to
customers who purchase at least 3 of our products.
- Raise brand awareness through various measures such as conducting promotional
stalls and increasing advertising efforts on our fanpage. One of the metrics we will
use to measure the success of these efforts will be the number of followers we have
on Facebook.
- Reposition Milo as an energetic beverage for students and encourage them to
consume Milo as an energy and nutrition drink. The strategy aims to target the
parents of students who are worried about their children's lack of energy after school
and encourage them to choose Milo as a solution to this problem
- Increase the brand's visibility and create a new trend in the market by collaborating
with primary and secondary schools, outdoor parks, and sponsoring sports
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competitions. The marketing mix of this strategy includes product, price, place, and
promotion, with a focus on new packaging, process drinks, low pricing, stands at
primary and secondary schools, and social media marketing. The promotional
activities of this strategy include hiring an agency to create TVCs.

Marketing strategy

1. Marketing strategy
- “After school” strategy is a strategy directed to students and their parents who
“suffer” from lack of energy after they finish their daily school time. Parents
who are concerned about the nutritional value of their children's meals and do
not have the time to prepare or purchase nutritious meals for their children?
And Milo is the solution for this problem.
- This strategy will take two years:
In the first year: we will divide it into two half-years for running this campaign:
+ First six months:
1. We will launch new packaging which is designed for this campaign only.
2. Advertising for this campaign (We will make it clear in the next part).
+ The next six months: We will collaborate with primary school, and secondary
school and establish some stands which prepare the beverage made from
Milo and sell it to students.

In the second year:

1. After school is not only for the time that students have just finished their
schooltime, but also the time they are free on weekends. Usually, students
are keen on playing online, use mobile devices and it is harmful, so this year
we try to improve their habit, encourage them to do more exercise.
2. Collaborating with outdoor parks such as Jump Arena to supply Milo as an
energetic beverage, also give promotion related to Physical movement.
3. Sponsor some sport competition.

2. Specific marketing programmes (products, place,

promotion, price)

Products:
a. First Look of Milo
- “Tasty and trusted, Milo brand is the world’s leading chocolate malt beverage that can
be prepared with hot or cold milk or water. It offers essential vitamins and minerals to
meet the nutrition and energy demands of young bodies and minds. Launched in
Australia in the early 1930s, the Milo brand takes kids' development seriously. It has
long been known as an energy beverage strongly associated with sports and good
health.”- Nestle
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- Milo can be considered as one of the most successful products produced by Nestle
since it was launched in 1934. Not only a success in Western, Milo also became one
of the favorite beverages in Vietnam. From 1994 to 2019 this Drink reached 10.5
billion goods bought in this ASIAN market.
- Milo has a variety of products both in depth, and length. For breakfast with many
packing, as well as less-sugar products…
- Milo is not a strange drink for Vietnamese people, we can easily buy this original
product or process food at café. And Milon becomes so ordinary, can be seen as a
saturated product. The development of the F & B industry, especially in desert drink,
and soft drink is a big threat to Nestle and Milo. That is why it needs a new plan to
make this popular again.
- Milo is an energetic beverage, with a sweet taste very suitable for children and
sugar-lovers, with a very significant taste that makes the unique point of Milo.

b. In campaign
- At the first part of this campaign, Milo is still a key product, but we will give them a
new packaging, and add more energy, also increase the volume.
- At the last part, we focus on process drinks. In our stands, we will sell a process Milo
with a secret formula, and many kinds of Milo.

Price:
- We remain at a recent price for packaging products.
- With process products we use low-pricing and support by some extra such as:
shaker, cap, toys.
- With a cup of Milo we give a standard price as 15.000VND, extra size will be 20.000,
add topping will cost 5.000 per one extra. With a different formula will cost form
25.000 to 30.000.

Place:
- In the first 6 months of this plan, we just focus on launching the campaign. Therefore,
we still use the recent channel, point of sale as we did before this campaign such as
supermarket, market, convenience store, online channel,....
- In the following 6 months, we will push this plan by put many stands at Primary
school, also Secondary school, with employee and uniforms, they also are bartender
and will proceed the Milo
- In the last year, As we mentioned in the previous part, we will collaborate with some
outdoor-park such as Jump Arena, also in many grand outdoor-activity such as
concerts of some artist such as: Son Tung MTP, My Tam,..., we also remain the
recent channels.

Promotion:
In the first 6 months: The born of new campaign
- This is a new-born period of the Campaign, we will want to put this campaign as a
strategic plan of Nestle. We will hire an agency company for helping us (brief behind)
- The advertisement would appear on broadcast channels, Press channels, especially
on Social media such as Facebook, Tiktok, Instagram, ….
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- The first of this campaign we want to focus on “LOVE OF PARENTS”, by

emphasizing the concern of them about the worry of lack of energy after school.
- We will hire the agency to create a TVC called “Don’t let your children hungry”, as a
short film, launching on Youtube and also on Tiktok,....
- Also confirming the effect of Milo can bring, “X3 energy”, “convenient to buy”, “easy to
bring”, “friendly”, and “on trend”
- We want to create the Scarcity Effect. By limiting the new product, we will also create
an annual concert called “Fun after school” on 1st June every year, in which
customers can get the ticket by collecting the stamps when they buy Milo. And if they
assemble 20 stamps which represent 20 energetic KOL, they can get one ticket to
enter the concert.
- Furthermore, we will create a trend on Tiktok for their parents that process the Milo,
and create a new formula of Milo, they can post on Tiktok, and we will collect and
prepare for the next piece of the campaign.

In 6 months after: Help you taking care of you children

- Launching the message that “We empathize with you”, Milo can help you to take care
of your children by adding stands at primary schools, and secondary schools, some
at high schools. In addition, those stands will supply Milo for children both in packing,
and as beverages with various formulas and at an acceptable price. As an incentive,
we will be giving out leaflets containing useful study tips to customers who purchase
at least 3 of our products.
- We increase money on endorsement, and use KOL such as Youtuber for kids, and
viral Tiktokers to impact our segment customers.
- Launching the effect of Milon on children, collaborate with Pasteur Institute to check
our quality to make belief.

First six months of next year

- Remaining stands, and add more food on beverage by collapsing with some bakery
like ABC, local restaurant,...
- Collapse with Jump-Arena and some outdoor-park to create out-door activities and a
small new campaign called “Prepare energy for your school time”. We put our stands
on our partners place, add posters, and billboards encourage students to do
exercise.
- Create a short film about the importance of doing exercise by hiring an agency for
making this. We want a musical short movie, with good actors, and launching on
Youtube.
- Use another fitness KOL on Youtube, and tiktok to guide children some poses that
they can practice at home, or at school.
- Create Tik Tok trend: “Show your poses”, that parent and their children will practice
exercise together and post their video on Tik Tok.
- Prepare for the annual concert on 1st June. And we will create some active games
for children and adults.

The last six months

- Focus on advertising our stands about the taste, convenience, and the quality.
- We run a small campaign called “create your energy by yourself”, which children can
make a beverage in their style, they can choose material, and mix it on their way.
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- Create a value for the society by hiring some low-income people as salesmen.

3. Market segmentation
- Students: This strategy is mainly targeted towards students who feel a lack of energy
after their school time.

- Parents: The "After School" strategy is also targeted towards parents who are
concerned about their children's nutrition and energy levels.

- General public: The strategy is also targeted towards the general public who are
interested in a healthy and energetic lifestyle.

- Children aged 6 to 16 who are active in physical activities and are not able to eat a
sufficient amount of food before or after school, leading to fatigue and reduced
learning efficiency.

- Parents who are concerned about the nutritional value of their children's meals and
do not have the time to prepare or purchase nutritious meals for their children.

4. Competitive advantage
- Brand Recognition and Loyalty: Milo is a well-known and trusted brand with a
strong presence in many countries. It has been around for over 80 years and has
built a loyal customer base.

- Nutritional Benefits: Milo is marketed as a nutritious drink that provides energy and
essential nutrients like calcium, iron, and vitamins. This has helped it appeal to
health-conscious consumers, athletes, and parents looking for a healthy beverage
option for their kids.

- Taste and Quality: Milo has a unique and distinct taste that sets it apart from other
chocolate drinks. It is also known for its high-quality ingredients and production
standards.

- Distribution Network: Nestlé has an extensive distribution network that helps

ensure that Milo is widely available in stores and supermarkets. This makes it
convenient for consumers to purchase and enjoy.

- Marketing and Advertising: Milo has been marketed and advertised effectively over
the years, helping to build brand awareness and customer loyalty. Its campaigns
have focused on promoting its nutritional benefits, taste, and association with sports
and active lifestyles.

- Diversified product portfolio: Milo has expanded its product range beyond just
powdered chocolate malt drinks to include cereal bars, ready-to-drink beverages, and
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other snack products. This diversification can help the brand appeal to a wider range
of consumers and reduce its dependence on a single product.

- Sustainable and ethical sourcing: Nestle has committed to sourcing its ingredients
in a sustainable and ethical manner, which can help appeal to consumers who
prioritize environmental and social responsibility. Milo can leverage this commitment
to differentiate itself from competitors who may not have the same level of
sustainability and ethical sourcing practices.

Implementation

1. Schedule of key tasks

First six months
- Advertising
+ On TV channels for children: HTV3, VTV7
+ On social networking platforms: Youtube, Facebook, Tiktok ... Expected 30k
interactions/1 post
+ Outdoor advertising: Billboard, on public transport
- Sales
+ Open a minimum of 100 milo stalls in front of elementary and middle schools
in Ho Chi Minh City
+ Sold 2,000,000 milo milk cartons in 6 months (5,000VND/1 box), expected
revenue of 10,000,000,000VND

Next six months

- Contracted with 150 elementary schools across the Southeast to bring milo to
students' meals, expected revenue of VND 45,000,000,000

In the second year

- Combined with 7 Jump Arena campuses across the country
- Milo and Jump Arena commercials

2. Resource allocation
- 1 design department, make promotional videos
- 1 public relationship department
- 300 employees standing opposite milo
- 50 trucks transporting milo nationwide

3. Budgets
- Objective: Increase market share for Nestle Milo more 10% in Viet Nam within the
next year.
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Launch a new ad campaign targeting young adults aged 18-35.

- Implementation budget:
+TV commercial production: $100,000
+Social media sponsored posts: $50,000
+Influencer partnerships: $20,000
+Print ads in national newspapers: $30,000
+Billboard ads in major cities: $40,000
+Trade show sponsorship: $10,000
+Sampling programs: $15,000
Total implementation budget: $265,000

4. Contingency
- If the new packaging and advertising campaign for Milo does not generate enough
interest from parents and students, the company may need to consider adjusting its
messaging or targeting a different audience. For example, they could focus on
promoting Milo as a healthy alternative to sugary drinks or energy drinks for athletes
and fitness enthusiasts.

- If the stands at primary and secondary schools are not successful in selling Milo, the
company may need to reevaluate the location or consider partnering with a different
type of venue. They could also consider adding more variety to the drinks available at
the stands or offering discounts or promotions to entice more customers.

- If the push to encourage more physical activity among students is not effective, the
company could consider partnering with fitness influencers or athletes to promote the
benefits of combining Milo with exercise. They could also offer discounts or
promotions to customers who purchase Milo in conjunction with gym memberships or
fitness equipment.

- If the scarcity effect promotion does not drive enough sales, the company may need
to reconsider its approach to promotions and incentives. They could offer loyalty
programs or rewards for repeat purchases, or partner with other brands to offer joint
promotions or discounts. They could also consider expanding the concert to include
more artists or adding additional perks to the event to make it more appealing.

Control and Forcasting

1. Assumptions made
In the first year : the stalls selling milo, the number of people coming and using the stall's
products increased, the quantity of powdered milk sold also increased rapidly. Brand
awareness is strengthened, if successful, the project will be continued and expanded. If it
fails:
 17

1. Product crisis: for example: a product batch is damaged and mouldy at the manufacturer
or at the stage of moving to the place of sale. We need to fix it immediately (choose the
nearest route to get to the place of sale soon, upgrade equipment to improve product quality)
2. Customers turned away from supporting the stall, they began to love the surrounding milk
tea shops. We need to offer promotions to entice customers to increase sales from the store

In the second year: the strategy of combining outdoor events with Jump arena, sponsoring
sports tournaments for schools in the city and suburban provinces. Brand awareness was
increased thanks to the participation of many sports events and increased revenue. In case
in year two our company has a financial crisis, while everyone spends thriftily. We need to be
flexible in business spending, we need to cut costs on marketing and on human resources

2. Critical success factors

- Benchmarks establish:
+Increase revenue by an additional 10% after 1 year.
+Increase revenue by an additional 20% after 2 years.
+Reach 1000 parents who do not use social media through on-campus booths within
1 year.
+Increase product appeal to young people by 10% through new packaging within 1
year.
+Increase campaign awareness and message retention during dismissal time by
20% within 1.5 years.
+Increase product selection for sports activities by 20% within 2 years.

- How measured:
+Increase revenue by an additional 10% after 1 year
=> With data from the sales team of the product
+Increase revenue by an additional 20% after 2 years
=> With data from the sales team of the product
+Reach 1000 parents who do not use social media through on-campus booths within
1 year
=> By conducting surveys at the point of sale to see if parents use social media or
not.
+Increase product appeal to young people by 10% through new packaging within 1
year
=> By measuring the amount of engagement and reach of posts and videos
featuring the new product design.
+Increase campaign awareness and message retention during dismissal time by
20% within 1.5 years
=> Track the engagement and reach of the related posts and videos on social media
and conduct surveys with teachers, parents, and students at the point of sale after
1.5 years to evaluate their awareness and attitudes towards the campaign and
message.
+Increase product selection for sports activities by 20% within 2 years
=> By surveying at sports activity points and examining the inventory data for sports
activity organizers.
 18

3. Financial Forecasts
- Based on market research and historical data, the company predicts it will sell 200
million units of the product in this year, with an average price of $0.59 per unit. This
would result in $118 million in revenue.
- Expense projections: The company expects to spend $265.000 on marketing
initiatives, including advertising, promotions, and sales materials. It projects 50
million dollars in production costs for the product.
- Profitability projections: Based on the revenue and expense estimates, the company
calculates a projected net income of $67,835,000 million in this year.
 19

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