The Daily Milk Market in Egypt

2) Explain the role of channel intermediaries in the product distribution process. Why is their role important?

In 1990, there were over 9300 dairy farms in Ontario housing almost 450,000 cows. The farm-gate value of milk produced exceeded 1.3 billion dollars. At the retail level, dairy product sales in Ontario exceeded 4 billion dollars. The number of dairy herds in Ontario on a milk-testing program had declined from about 7100 in 1985 to 6000 in 1990. Moreover, a continued decrease was projected.

Distribution channels are organized in several ways: conventional, vertical, horizontal and multichannel (Kern R. 2013). Some of these organizational methods are more structured than others. When a distribution channel deals with more than one independent producer, such as wholesalers and retailers, the channel is known as a conventional distribution channel. (Kern R. 2013) These channels are not normally known to be strong and typically don’t give the customer the quality of product that they deserve. In a vertical marketing system, the retailers, wholesalers and producers, join forces to create a unified front, promoting an individual product (Kern R. 2013). Vertical distribution channels are stronger than the conventional distribution channels because all of the companies involved carry some of the load of power. (Kern R. 2013) In a horizontal distribution channel, companies join up and combine all of their finances and resources, in order to take on more than one company or product (Kern R. 2013). A multichannel distribution channel is where a large corporation uses two or more marketing channels to better target their desired customer segments (Kern R.

products (Morin, 1990). In 1979, 6.9 million kilolitres of milk were sold in Canada. Thirty-

As mentioned in an earlier assignment, there are three main types of distribution channels. The first is the channel that goes from the producer, then to the wholesaler, then to the retailer or sells to the consumer. The second channel starts with the producer who sells straight to the retailer, who then sells to the consumer. The third channel goes directly from the producer to the consumer. Channels one and two are classed as indirect marketing channels, whereas channel three is a direct marketing channel as it goes straight from producer to consumer.

Present data on the trends in the sales of all milk to adults over the last 10 years, as this indicates the size of the adult milk market.

Throughout our lives we have been told that milk is good for our body and helps to toughen our bones. Drinking milk started when people domesticated animals for food, which happened around 7500 years ago in the central Balkans and central Europe. By that time consuming milk was not as common as it is today. It was only farmers in some specific regions that were using cow’s milk. Milk’s market grew the mass production of meat in the 15th century. Afterwards in the 17th century, the idea of eating out and going to restaurants was born and fast food industries, started using animal’s meat for producing their meals. The rate of milk users grew with the rate of meat users and milk’s market got bigger and bigger every day. Mothers

The company sells its products through two separate channels of distribution. Each is treated as a

Dairy Farmers was established in 1900 (Dairy Farmers, 2006a). It is one of Australia’s oldest food and beverage companies. It is presently headquartered in New South Wales (NSW), Australia. It is also the owner of the popular and award winning OAK brand name. According to company reports, it was originally assigned the responsibility of ensuring the freshness and quality of farmers’ produce when they reached city markets and consumers (Dairy Farmers, 2006a). However, it has grown over the years to become a major and dominant player in Australia, with a turnover of over 1.3 Australian dollars. The company obtains its milk from its own cooperative, made up of thousands of dairy farmers. These farmers are shareholders of the company. Dairy farmers also supplies both fresh and processed products the local as well as export markets. The company is reputed for its product excellence, having won a tall list of awards during its existence. In the words of the company it is “committed to using only the best and freshest ingredients, and to providing our customers with

Canada 's dairy sector operates under a supply management system based on planned domestic production, supervised pricing and strict controls on dairy product imports. The system was adopted for industrial milk in the early 1970s to address the unstable prices, uncertain supplies and fluctuating producers and processor revenues which were common in the 1950s and 1960s. By enforcing this system, farmers attempt to strike the most accurate balance between supply and demand of dairy products (Canadian Dairy Commission, 2010).

The company sells its products through two separate channels of distribution. Each is treated as a

Almarai’s infrastructure, systems and dedication to quality enables Almarai’s Saudi Holstein cows to each produce an average of more than 13,375 litres of milk every year – almost double the European figure and close to 3,000 litres more than their nearest international

To investigate the factors behind the continued decline of the sales for Top Choice Milk in New York market.

Second the Parallel Traders problems increase the demand of household items especially for baby milk powder that affects the local residents’ demand which caused the Hong Kong government enacted the limit of milk powder.

c. Furthermore, it targets people with high usage rate of milk as they buy their supplies each week and people who are loyal and profitable to the brand they buy, if they don’t find Juhayna Full Cream Milk they will look in an another place rather than buying another brand.