Consumer Behavior Project Report

Competitor analysis
Competitor analysis in marketing and strategic management is an
assessment of the strengths and weaknesses of current and potential
competitors. This analysis provides both an offensive and defensive
strategic context through which to identify opportunities and threats.
Competitor profiling coalesces all of the relevant sources of competitor
analysis into one framework in the support of efficient and effective
strategy formulation, implementation, monitoring and adjustment.
Given that competitor analysis is an essential component of corporate
strategy, it is argued that most firms do not conduct this type of analysis
systematically enough. Instead, many enterprises operate on what is
called “informal impressions, conjectures, and intuition gained through
the tidbits of information about competitors every manager continually
receives.” As a result, traditional environmental scanning places many
firms at risk of dangerous competitive blind spots due to a lack of robust
competitor analysis.

Competitor array
An Overview and Historical background

Dawn Bread a name that has come to signify quality and freshness in bread
products. A success story that was written by a family that is committed to
honest to goodness enterprise and concerned with the prosperity of the country.
The enterprise, which made a humble beginning in late 1981, has, within a
decade, grown to capture 35% of the consolidated market share of all bread
products in the country, a fact that speaks volumes about the credibility of the
company and its products.

Prior to the establishment of Dawn Bread, the largest producer of bread

products was the public sector. However, this sector could not cope with the
demands of the consumer and this when, perceiving a change in the eating
habits of Pakistanis, Dawn Bread was envisioned.

Beginning with the plant in Karachi, commissioned in October 1981, Dawn

Bread built-up a reputation for freshness, quality and taste. Creating awareness
plus a demand for bread products, the second plant was commissioned in
Islamabad in January 1985. Nothing succeeds like success, so next came the
plant in Hyderabad in January 1987, a year that was to also witness the

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Consumer Behavior Project Report

establishment of another plant at Lahore, in November 1987. In 1989 we

established the plant at Multan. After consolidating this expansion, the sixth
plant was commissioned at Faisalabad in February 1992. Now our customers
can find Dawn’s quality and freshness from the southern tip of Pakistan to the
Northern city of Peshawar.

For purpose of standardization, the company associated itself with FMBRA of

United Kingdom in 1990 to bring itself in line with international standards of
production, technology, machinery and formulation Now, all the Dawn Bread
plants boast of the latest machinery used in the bread-making process. They are
managed by senior food technologists with decades of experience, while those
manning the machinery are provided on the job training in congenial working
conditions.

Taking a responsible place in society, the company is committed to the uplift

and development of the society as a whole, and participates in sports and social
welfare activities.

We hope to continue to develop and maintain this relation in the future.

COMPETITORS
Bake Palour bread a major competitor of DAWN, runs neck to neck
competition, its market share all over Pakistan is almost the same as
DAWN.The reason being their heritage, Bake Palour is in market since 1926
but Dawn stills has a dominant market share only because their share inSEC A+
is exorbitant.
BAKE PARLOUR in Karachi has a market
WONDER BREAD which is the 2nd most closest competitor of DAWN
BREAD has a market share of 12%, VITA which almost negligible has a
market share of 4%,
Different bread companies exercise different tools to boost up their sales,
DAWN for example employs a strategic alliance with UNILEVER
Pakistan, they together advertised their product i.e. Blue band and DAWN bread
showed together on different hoardings to capture
audiences attention towards consuming bread when they consume blur band.
That specific add was targeted at school kids.
The sales are greatly accelerated by seasonal promotions. School and college
students are the primary target market for the bread
companies. The sales in the following period increase at substantial amount.

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Consumer Behavior Project Report

Beginning August to December 15, and January 1 to May 25, sales increase by
15 to 20%. For instance Dawn’s seasonal sales
approximates to PAK RS120, 000,000 a day. Sales donor only increases, but
also decreases in off season by 25%. In RAMADAN the sales
goes down by 50%.
Bread business is a very volatile one, its very difficult to predict the right
demand. Sometimes by bread distribution, when not done properly, companies
can suffer a huge loss, because it is not only giving your bread a shelf space, but
it need to be sold, because retailers only pay or those which are sold, and the
rest are returned to the company. The average return in the industry is about 30
to 35%, which is a mere loss.
According to primary research conducted, it was revealed that in low category
there is very low brand loyalty, and consumer switch brand on
day to day basis.
How Consumers Make Decisions for Goods
and Services

Need Recognition
NEEDS

Dawn Bread is fulfilling two different types of needs of its consumers, with its wide variety
of hygiene packed products.

 Breakfast
 Snacks

BREAKFAST

For breakfast different people have different needs. Keeping in mind what consumers want,
Dawn is providing the following;

 Dawn Bread
 Dawn Buns
 Dawn Frozen Products (ready to eat)

SNACKS

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Consumer Behavior Project Report

During tea-time or any other time when you need refreshment, Dawn sweets and Dawn
RUSKS are the best choices.

WHOSE NEEDS

Dawn is offering products to almost every individual, whether they are young, adult or old,
everyone is important to the company. The target market is divided into two parts:

PRIMARY TARGET MARKET SECONDARY TARGET MARKET

Housewives who take the purchasing Indians, Bangladeshi, Sri Lankan and
decision on behalf of their families. Arabs
Expatriates. Those Pakistani living abroad. Other families in neighbors etc.
An individual who takes the purchasing
decision in the family.

Information Search

Products Local Market International Market

Breads Karachi, -
Buns Hyderabad, -
Sweets Lahore, -
Frozen Faisalabad, United States, Canada, UK, Norway,
Plain Paratha Rawalpindi Germany, Switzerland, Japan, Korea,
Potato Paratha Singapore, UAE, Saudi Arabia, Kuwait,
Qatar, Bahrain, South Africa
Onion Paratha -

PRODUCT
Dawn Bread is operation in four product
segment. They are Bread, Buns, Sweets and
Frozen
MULTIGRAIN BREAD
Dawn's Multigrain bread brings you
Nature's Best in a perfectly soft, grainy
and textured loaf. Baked from a
and eating habits.
choice available to suit their own life style
breads so that our customers have a wider
continues to innovate and introduce new
standards for others to follow, Dawn
freshest baked loafs everyday. Setting
ensure that our customers get nothing but
Our bakery operates 365 days a year to

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Consumer Behavior Project Report

Special combination of imported grain full of natural flavor & aroma, this premium bread is a
perfect companion to any meal, snack, and sandwich or just by itself.

BRAN BREAD

Add fiber to your life. Dawn's Bran Bread freshly baked for our health conscious customers.
This bread contributes towards the daily intake of fiber to help maintain the right balanced
diet.

MILKY BREAD

Made by the addition of milk, this oven fresh aromatic bread is made so that each slice
contains the richest of texture and gives that extra taste.

PLAIN WHITE BREAD

This freshly baked and nutritious bread was one of the first products to be introduced in the
Pakistani market by Dawn. Freshly baked and wholesome, this bread contributes to the
recommended daily intake of essential nutrients that form a major component of a healthy
and balanced diet. Made from the finest ingredients this multi purpose bread can be used for
breakfast, lunch, dinner, snacks or whenever, with whatever you like.

HOT DOGS BUNS

Hot Dog Buns are growing in popularity by the day.

Baked using the strictest of quality standards, our tasty
Through continued research product is made to be the freshest hot dog bun available
and development and with in the Pakistani market.
the commitment to provide
FRUITY BUNS
our customers with nothing
but the best, Dawn was the
An all time favorite breakfast alternative commonly
first bakery in Pakistan to go
known as Maska Bun, our Fruit bun still carries that
beyond the fruit bun concept
distinct taste perfected by Dawn. Served with a luxuriant
on such a scale. Our bun layer of butter or just by itself, the taste of this sweet treat
products are baked using will not let you down.
state of the art equipment
BURGER BUNS
and internationally
recognized recipes ensuring
that you get nothing but the
best bakery buns Page 5 of 16
Consumer Behavior Project Report

Our Oven fresh buns are a treat by themselves. Baked by using only the very finest of
ingredients, and perfected by years of experience in the baking field, these aromatic buns
make the perfect burgers. We also take pride in the fact that we are the official bakers in
Pakistan for the largest fast food chain in the world.

STRAWBERRY & VANILA CAKE

Cakes; the artistic

Our tasty cup cakes made with only the best of expressions of a baker.
ingredients. These little delights are simply a must Dawn's cakes come in
have, good things do come in small packages. many shapes, taste and
sizes, from our cup cakes
SHORT CAKE to our mouth watering
flavored loaf cakes, a
tasty treat indeed!

Our tasty cup cakes made with only the best of

ingredients. These little delights are simply a must have, good things do come in small
packages.

PINEAPPLE CAKE

Our tasty cup cakes made with only the best of ingredients. These little delights are simply a
must have, good things do come in small packages.

MANGO CAKE

Our tasty cup cakes made with only the best of ingredients. These little delights are simply a
must have, good things do come in small packages.

CUP CAKE

Our tasty cup cakes made with only the best of ingredients. These little delights are simply a
must have.

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Consumer Behavior Project Report

In line with Dawn's philosophy of

Whether it is Dawn's RUSKS or Cookies,
our baked products are guaranteed to
provide our customers with the Fresh and
Wholesome Goodness™ that they have
come to expect from Dawn through the
decades.
CHATPATA MIX VEGETABLE SAMOSA
continues innovation, we are
proud to be the first to introduce
Dawn’s PARATHA. Our Paratha
provides the best of both worlds,
giving the same home cooked
tasted while providing the most
convenient preparation method
possible.

Mix vegetable samosa is a traditional Pakistani savory pastry stuffed with spicy vegetables.
This aromatic appetizer is a perfect harmony of flavor and texture. Stuffed with Potatoes,
Peas, Cauliflower, Coriander and a wonderful mix of spices, these samosas are an exotic
finger food choice for any occasion.

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PLAIN PARATHA VEGETARIAN

Griddle-fried flat breads are called "Parathas" and are extremely versatile. Roll up stir-fried meat
or vegetables in them; quarter the breads and serve them with omelets. For a simple, rich
indulgence, top a freshly made hot Paratha with a dollop of whipped butter, break off bite-sized
pieces from the edge, and dip them in the melting butter.

ROGHNI KULCHA

The Kulcha is a traditional unleavened whole wheat bread baked in a clay tandoor (Oven). The
distinct smoky flavor of the Kulcha is the result of the moisture dripping onto the hot charcoal in
a traditional tandoor. The Naan is pressed against the sides of the pot with the use of a small
pillow and is cooked by conducted heat. Incidentally, the familiar tear shape of Naan bread
comes from the dough dripping down the sides of the tandoor. Good with any dish bring the
tandoor to your table today.

WHOLE WHEAT PARATHA

Regular consumption of fiber is associated with risk reduction of coronary heart disease. In
general, soluble fiber (of which oats are a good source) is the dietary fiber most linked to a
reduction of cholesterol levels. Dawn's Whole Wheat Paratha is prepared with the finest of whole
wheat flour, oat bran and margarine to give you the same great tasting Paratha, but better suited
to a healthy lifestyle.

CHAI PARATHA

Capture the spirit and essence of the Peshawari Chai Paratha as made by Pathan dhabas (cafés)
all over. This regional delicacy has been prepared as per the original recipe using only the very
finest of ingredients to give you an authentic mouthwatering experience. The original aroma and
taste! Takes only minutes to serve.

CHATPATA POTATO SAMOSA

Potato samosa is a traditional Pakistani savory pastry stuffed with spicy mashed potatoes. This
aromatic appetizer is a perfect harmony of flavor and texture. Stuffed with potatoes, Onions and
wonderful spices, these samosas are an exotic finger food choice for any occasion.
PURI

Puri is thin flat bread which after deep frying turns into a crispy golden brown bread. Puri can be
served with pickles, spicy potato and chickpea curry or any other meal of your choice.

SHEERMAL

Sheermal is sweet flat bread baked in clay ovens which gives it a unique aroma and texture. It
can be eaten plain or with any curry of your choice.

MARKET SHARE

MARKET SHARE OF DAWN AND COMPETITORS

MARKET DAWN BAKE WONDER HARRY'S OTHERS
SEGMENT BREAD PARLOR BREAD
(PRODUCT) 200 2005 200 2005 2002 2005 2002 200 200 2005
2 2 5 2

Breads 37% 39% 17% 19% 12% 15% 10% 12% 24% 15%
Buns 65% 67% 8% 11% 8% 9% 14% 10% 5% 3%
Sweets 30% 37% - - 10% 12% 12% 9% 48% 42%
Frozen 30 76% - 2% - 8% - 3% 70% 11%
%
Pre-purchase and Evaluation of Alternatives
DISTRIBUTION STRUCTURE

INDUSTRY DAWN
Channel 2002 2005 2010 2002 2005 2010
Turnover Turnover Turnover
Share Share Share

Retailers 50% 43% 45% 55% 45% 42%

General/Superstores 35% 35% 31% 30% 35% 30%
Panshops - 2% 2% 0.5% .5% 1%
Fast foods etc. 15% 18% 19% 14% 17 21%
Exporters - 2% 2% 0.5 2.5 5%
Bakery-café 1% 1%
 Outlet Coverage

No. of outlets covered by Dawn

Total outlets covered by Industry

Outlet Coverage
DAWN
BREAD
52.24

INDUSTRY
47.76

DAWN BREAD INDUSTRY

Market Reach
Channels No. of Dawn's Outlet Sale of Sale of
outlets Outlets coverage Dawn's Total
Outlets Outlets
(Rupees)
Retailers 16185 5771 36% 2885500 8092500
General/Superstores 21515 11833 55% 4733200 8606000
Pan Shops 480 177 37% 35400 96000
Fast-Food 9520 7140 75% 5712000 7616000
Total 47700 24921 52.24% 1336610 24410500
0

Retailers Rs.500/day
General/Superstore Rs.400/day
Pan shop Rs.200/day
Fast food Rs.800/day
 Average Shelf Share

INDUSTRY
DAWN BREAD
31% 69%

Market Share

Shelf Share * Outlet Coverage

36.04 63.9

DAWN BREAD
INDUSTRY
 Market Share
Sale of dawn’s products
Sale of all products

55 %
45 %

DAWN BREAD INDUSTRY

Purchase

CUSTOMER BUYING CRITERIA

Non price attributes Weight DAWN BAKE ASHRAFI FOODS

PARLOR

Product Related
Taste 35 34 30 23
Flavors 20 17 15 12
Packaging 10 8.5 7 6
Product Design 5 3.5 3 2.5
Ingredients 30 29 25 23
Customer rating 100 % 92 80 66.5
Performance gap 8 20 33.5
Total 100% 100% 100 100
Service Related
Freshness 35% 34.5 34 30
Advertising 10% 8.5 9 5
Availability 55 54 53 47
Customer rating 100% 97 96 82
Performance gap 3 4 18
Total 100% 100 100 100

Bread, Buns, Paratha, and Cakes which are consumed by al age groups. Companies are
committed to providing branded products which consistently offer value in terms of price
and quality.
The companies are subject to strict checks from the health inspectors as they come to
check the health and safety standards of the production facilities.

Consumers rate the product on the basis of availability, taste, advertising and the flavors
the companies are offering. DAWN BREAD is focusing more on new product
development so that they offer consumers with a wide variety of breads, buns, parathas
and cakes. DAWN BREAD has an edge over its competitor as it is differentiating itself
with more product segments in the market.

Consumption
Channel Policy

Objective per Channel:

RETAILERS: Some retailers sell any brand of bread based on their own choice to the
customer; Dawn should maintain strong relation with retailers so that they promote
Dawn’s product more then those of the competitors.

GENERAL/ SUPERSTORE: Dawn should cater more general and superstore. They
should increase their number of vans so that they can reach more superstores and make
their product available at every general/ superstore.

FAST FOOD: Currently Dawn is in contract with McDonalds for using their buns. Dawn
should build more contracts with other restaurants and capture the market.

EXPORTERS: Dawn can also enter into more international regions and introduce their
products where people are not aware of such kind of meals.

BAKERY-CAFÉ: Dawn can plan to open its own bakery-café, where people can enjoy the
environment along with the Dawn’s products that are oven fresh.

Channel Key Product

Retailers Bread, Buns
General/Superstores Bread, Buns, Cakes, Rusk, Paratha
Pan shops Bread
Fast-food Buns
Exporters Frozen Paratha
Bakery café Baked goods, sandwiches, soups, salads.
Consumption
Channel Policy

Objective per Channel:

RETAILERS: Some retailers sell any brand of bread based on their own choice to the
customer; Dawn should maintain strong relation with retailers so that they promote
Dawn’s product more then those of the competitors.

GENERAL/ SUPERSTORE: Dawn should cater more general and superstore. They
should increase their number of vans so that they can reach more superstores and make
their product available at every general/ superstore.

FAST FOOD: Currently Dawn is in contract with McDonalds for using their buns. Dawn
should build more contracts with other restaurants and capture the market.

EXPORTERS: Dawn can also enter into more international regions and introduce their
products where people are not aware of such kind of meals.

BAKERY-CAFÉ: Dawn can plan to open its own bakery-café, where people can enjoy the
environment along with the Dawn’s products that are oven fresh.

Channel Key Product

Retailers Bread, Buns
General/Superstores Bread, Buns, Cakes, Rusk, Paratha
Pan shops Bread
Fast-food Buns
Exporters Frozen Paratha
Bakery café Baked goods, sandwiches, soups, salads.

Divestment
Consumers may have several motives for divestitures.

First, a consumer may divest (sell) product that are not part of its core operations so that
it can focus on what it does best.

A second motive for divestitures is to obtain funds. Divestitures generate funds for the
consumer because it is selling one of its products in exchange for cash.
A third motive for divesting is that a product’s "break-up" value is sometimes believed to
be greater than the value of the product as a whole. In other words, the sum of a product's
individual asset liquidation values exceeds the market value of the product's combined
assets. This encourages firms to sell off what would be worth more when liquidated than
when retained.

A fourth motive to divest a part of a consumer may be to create stability.

A fifth motive for consumers to divest a part of the company is that a division is
underperforming or even failing.
WE HAVE UNDERTAKEN A SURVEY ON
COMPETITOR ANALYSIS OF DAWN BREAD
WITH OTHER BRANDS OF BREAD
S. Attributes Weight Dawn Bake Wonder others
no.
age bread parlour bread
1 Quality 0.25 4.2 3.0 1.5 1.30
2 Freshness 0.20 4.0 2.5 2.0 1.50
3 Softness 0.12 3.5 2.7 1.3 2.50
4 Taste 0.08 6.2 2.4 1.2 0.02
5 Customer 0.05 4.0 3.1 1.3 0.07
focus
6 Availability 0.08 4.5 3.2 2.0 0.03
7 Price 0.05 2 2.8 3.2 2.00
8 Variety of 0.08 4.8 3.2 1.8 0.02
product
9 Packaging 0.03 3.2 3.8 2.0 1.00
10 Hygiene 0.06 4.0 3.9 1.6 0.05
Total 1.00 40.4 30.6 17.9 8.49