PurePastures Dairy Business Plan — Marketing, Brand & Sales

Section 6 · 7 of 16

Marketing, Brand & Sales

PurePastures’ go-to-market strategy is built on brand pull, channel depth and disciplined trade execution. In a category where retailers hold significant power, a differentiated brand that consumers actively request is the most durable source of shelf space and pricing power.

6.1 Channel strategy

  • National retail: Listings and category partnerships with Checkers, Woolworths and Pick n Pay, anchored in the premium and health-food aisles rather than commodity milk.
  • Food service: Recurring supply contracts to hotels, restaurants, schools and hospitals, providing base-load volume and predictable cash flow.
  • Private label: Selective manufacturing for supermarket-owned brands, monetising spare capacity and deepening retailer relationships.
  • Direct & specialty: Premium delis, health stores and e-commerce for the artisanal and functional ranges, building brand equity at higher margin.

6.2 Brand positioning

The brand is positioned around three consumer promises, provenance (pasture-raised, traceable), health (functional, high-protein, lactose-free) and sustainability (solar-powered, recyclable packaging). Premium positioning is concentrated first in Gauteng and the Western Cape, where the target consumer density and modern-retail penetration are highest, before broader national rollout.

6.3 Pricing strategy

PurePastures prices at a deliberate premium to mainstream FMCG dairy, justified by quality, traceability and functional benefits. Pricing is set to protect gross margin through input-cost cycles, with the value-added and export mix providing a natural offset when domestic retail pricing is under pressure. The Company avoids competing on price with private label; where a retailer requires an entry price point, that demand is met through the private-label manufacturing stream rather than by discounting the core brand.

Analyst flagBrand-building costs are real and front-loaded

Premium positioning requires sustained marketing investment, particularly around the FY2026–27 national campaign in Gauteng and the Western Cape. These costs are embedded in the operating-expense base that reconciles to EBITDA. A challenger brand cannot under-invest in marketing and simultaneously expect premium pricing, the plan funds both, but execution risk is genuine and is reflected in the downside scenario.