Milo 3 in 1 Substitute and Market Structure

Milo 3 in 1 is a normal product. It is a convenience product to the consumer which comes with low price and easy to consume. The product comes with high quality and safe to consume. Complements for Milo 3in1 are Milo sejuk(ice), Milo Powder and Milo Ready to Drink. Milo sejuk (ice) is an instant ice Milo which just adds cold water to the powder. The powder of Milo sejuk soluble easier with the cold water even without hot water which normally used for melting powder or make them become more soluble.
Milo Powder is an ordinary Milo powder with no extraordinary add-ons or plain Milo. Consumer needs to add sugar, condensed milk or creamer themselves with the powder. Normally, Milo powder is packaged in large Milo tin. Milo Ready to Drink is Milo in cans and small package. Consumer buys and consumes straightforward because the Milo inside it is ready to be drink. Substitutes for Milo 3 in 1 are Horlicks, Ovaltine, Vi-Co, Nescafe. Horlicks and Ovaltine is a malted milk hot drink. It is made from malted barley and wheat flour.
It comes with different taste and smell compared with Milo which is made from chocolate. It served as a beverage same with Milo and fortified with vitamins and minerals. Vi-Co is commonly known as the straight competitor to Milo. It serves the same hot chocolate milk as Milo. Nescafe serves different kinds of coffee. They start with coffee powder like Nescafe Classic, Gold and 3in1. They also serve a variety of coffee in cans like latte, mocha and cappuccino. Moreover, they have localized product like Nescafe Ipoh White Coffee.

Milo 3in1 belongs to monopolistic competition market. It comes as one of the product differentiation by Milo. There are other products such as Milo sejuk, Milo powder and Milo Ready to Drink. It has many sellers in Malaysia and buyers who prefer Milo 3in1 compare to other complements and substitutes. It is the price makers for the same kind of product in the market since the it sells the most compared to others. It also spent a lot of money on advertisements such as Milo – Fields of Barley TVC and Milo TV: Malaysia Boleh.

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