A2 Milk is an publicly traded company that offers a variety of milk products to its customers. It is located in Auckland in New Zealand and has affiliates in Australia, Canada, Britain, and the United States. The firm made $660 million in milk sales, and earned a $56 million net profit (Mirza, 2020). The A2 Milk Company was founded by Dr. Corran MacLachlan in 2001, following his scientific research on the effects milk has on people. It was established to help people who have an allergy to A1 protein in cow’s dairy milk. Its mission is to increase scientific understanding of A2 proteins so more people can enjoy the nutrition benefits of natural milk. It is only A2 milk that comes from cows who produce it, not A1 milk. A2 Milk is suitable because it can be easily digested, which lowers the risk of stomach pain. This firm gained popularity in America and was launched in the United States in 2015. It is now looking for additional growth opportunities.
Problem of major importance
For our first opportunity analysis on dairy milk we highlighted these possible issues for A2 Milk.
What can A2 Milk do to become more appealing and healthy for the target market? A2 milk is an alternative to A1 milk. It does not contain A1 protein (lactose syrups). This may lower the chance of developing eczema and other skin conditions such as acne, digestive problems, mental disorders, or eczema.
A2 Milk can compete against other brands of milk that only contain A2 beta-casein proteins. This is the key issue. A2 Milk Company must be differentiated from other milk companies in order to expand its reach beyond those who have lactose intolerance.
What is the best way for A2 to expand its U.S. business? It would be necessary for the corporation to inquire about increasing spending on marketing and e-commerce as well as retail expansion. Consumer convenience and brand access will be enhanced by the adoption of an ecommerce channel.