Amul Kool & Other BrandsNEW

7/23/2019 Amul Kool & Other BrandsNEW

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A

DISSERTATION REPORT

ON

MARKET STRATEGY OF MILK WITH SPECIAL

REFERENCE TO AMUL KOOL AND OTHERS

BRANDS

SUBMITTED BY:

SYED SALMAN ALI

MBA IV SEMESTER (2009-10)

UPTU ENROLMENT- 0839970028

ACME INSTITUTE OF MANAGEMENT AND

TECHNOLOGY, BARIELLY


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ACKNOWLEDGEMENT

Any project report is not outcome of alone person.It is teamwork

and I take this opportunity to thanks all those persons who have

continuously guided me.

I wish to express my deep gratitude to Mr Rakesh Prohit who

helped me in different ways at the time of my Research Project

Report.

I express my profound sense of gratitude to my chairman Mr Gagan

Bedi who provided me such type of opportunities for getting

interacted to all the practical aspects of the marketing in such type

of big Organization.

Finally, I am indebted to my parents and my family

members who extended to help me in every aspect.


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CONTENTS

1. ACKNOWLEDGEMENT

2. CERTIFICATE

3. DECLARATION

4. EXECUTIVE SUMMARY

5. OBJECTIVE OF THE REEARCH

6. PROFILE OF MILK INDUSTRY

7. PROFILE OF GCMMF

8. FINDINGS,DATA COLLECTIONAND ANALYSIS

9. CONCLUSIONS

10. SUGGESTION

11. LIMITATIONS OF PROJECT

12. BIBLIOGRAPHY


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SUMMARY OF THE PROJECT

The topic of my project is MARKETING STRATEGY OF AMUL

MILK WITH OTHERS IN THE CURRENT MARKET SCENERIO in

Barielly.

Objectives of research:

Understanding the 4 Ps of marketing in relation to Amul Kool

(flavored milk).

Packaged flavoured milk market in Ghaziabad against the self

made milk shake.

Brands available in the market and their average daily sales.

The most effective media of promotion.

Market for Amul Kool.

Factors influencing the consumer buying behaviour.

Factors which made consumers switch from one brand toanother.

Expectations of consumer from flavoured milk.


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Response of the consumer regarding Amul Kool.

Suggestion of consumers for a winning brand of flavoured milk.

Emerging trends in the flavoured milk market.

Ascertain the awareness level of Amul Kool and its distinct

image.

What do retailers look before keeping branded flavoured milk in

their shop?

Ascertain growth opportunities as well as threats.


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MARKET RESEARCH

THE NATURE AND SCOPE OF MARKETING RESEARCH

The whole approach of marketing pivots around the tenet of meeting

the consumers wants. It is essential to understand what the

consumer wants , how he/she perceives the product(service) ,what

exactly(ideally) does he/she wants to derive out of the

product(service), how does he/she make the brand choice decision,

what are the sources of information and influence processes?

In order to take the decisions further any marketer would constantly

monitor such information and obtain a continuous feedback of the

trends in the market. As such, marketing research is an effective tool

for measuring the consumers aspirations, trade channel behaviour,

competitive actions etc. It provides a linkage between the corporate

environment and the marketing organisation. Marketing research,

thus, may be viewed as an important tool used as an aid for the

tackling problems in marketing.


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MARKETING RESEARCH DEFINITION

Marketing research is defined as the objective and formal process

of systematically obtaining, analyzing and interpreting data foractionable decision in marketing. This decision lays stress on two

aspects, namely, objectivity and systematic process in the collection

and analysis of data. In fact, marketing research should not be

allowed to be influenced by personal views and considerations.

COMMON USES OF RESEARCH IN MARKETING

DECISION MAKING

The following paragraph highlights some of the marketing decision

areas where marketing research is commonly used.

Sales management

Market Boundary

Buyer Concentration

Demand Projections

Supply

Consumer Behaviour Analysis

Market Segmentation

New Product Launch and Product Positioning

Research in Sales Methods and Policies

Advertising and Sales Promotion Research

Marketing Audit of Company Performance

Environment Trends


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RESEARCH METHODOLOGY

According to Clifford Woody research comprises defining and

redefining the problems , formulating hypothesis or suggested

solutions, collecting , organisations and evaluating data, making

deductions making deductions and reaching conclusion and at last

carefully testing the conclusions whether they fit the formulating

hypothesis.

Research methodology is a procedure designed to the extent to

which it is planned and evaluated before conducting the inquiry and

the extent to which the method for making decisions is evaluated

before conducting the inquiry and the extent to which the method for

making decisions is evaluated. The research methodology if

scientifically developed enables the research to establish with highdegree of confidence, cause and effect relationship between the

research between the research activities and observed outcomes.


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METHOD

To achieve the objective we make by use of filed research method.

Filed research methods:

Mass observation through questionnaire.

Personal interview

RESEARCH DESIGN

A research design is the overall plan on programme of research. It

includes an outline of what the investigator will do from writing the

hypothesis and their operational implications to the final analysis of

data.

Market research projects are designed as either (exploratory

research or conclusive research) depending upon the objective of

study.

The objective of the exploratory research is to seek new ideas and to

discover new relationship between different set factors in a way that

will permit of specific hypothesis.

To find out there hypothesis, study of secondary sources of

information, survey of knowledge persons on case studies are

conducted.


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Conclusive research provides information which helps in decision

making; such research requires identifying cause and effecting

relationships. This can be done by case study and experimentation.

The present marketing research is more less an exploratory research

as its objectives are aimed to find new ideas also the information

required was obtained through methods of exploratory research. The

information has been gathered from the survey of milk consumers,

retailers, confectionary shops, dairy shops, general stores.

Overall the research which was used as a prototype for his market

research analysis is:-

i. Define research problem.

ii. Review concepts and theories.

iii. Formulate hypothesis.

iv. Design research.

v. Collection of data .

vi. Analysis of data.

vii. Interpret and reports.

SAMPLE DESIGN

It is definite plan for obtaining a sample from a population dealing

with any type of flavoured milk. The type of sampling used is random

sampling used is random sampling design (RSI). The respondent in

the sample include flavoured milk consumers and retailers.


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PREPARING THE RESEARCH DESIGN

The research problem having been formulated in clear terms, the

researcher will be required to prepare a research design, i.e. he will

have state the conceptual structure within which research would be

conducted. The preparation of such design facilities research to be as

efficient as possible yielding maximum information. In other words,

the function of research design is to provide for the collection of

evidence with minimal expenditure of effort, time and money. But how

all these can be achieved depends mainly on the research purpose.

Research purposes may be grouped into four categories, viz.,

i. Exploration

ii. Description

iii. Diagnosis, and

iv. Experimentation.

A fixable research design, which provides opportunity for the purpose

of the research study, is that of exploration. But when the purpose

happens to be an accurate description of a situation or of an

association between variables, the suitable design will be one that

minimizes bias and maximizes the reliability of the data collected and

analyzed.

There are several research designs, such as, experimental and non-

experimental hypothesis testing. Experimental designs can be either

informal designs (such as before-and-after without control, after only

with control, before-and-after with control) or formal designs (such as


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completely randomized block design, Latin square design, simple and

complex factorial designs), one of which the researcher must select

for his own project.


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DETERMINING THE SAMPLE DESIGN

All the items under consideration in any field of inquiry constitute a

universe or population. A cockpit enumeration of all the items in

population is known as a census inquiry when all the items are

covered no element of chance is left and highest accuracy is

obtained. But in practice this both may be true. Even the slightest

element of bias in such an inquiry will get larger and larger as the no.

of observation increases. Moreover, there is no way of checking the

element of bias or its extent except through a re-survey or use of

sample checks. Besides, this type of inquiry is not possible in practicein many circumstances. For instance, blood testing is done only on

sample basis. Hence, quite often we select only few items from the

universe for study purpose. The items so selected constitute what is

technically called a sample.

The researcher must decide the way of selecting a sample or what is

popularly known as the sample design. In other words, a sample

design is a definite plan determined before any data are actually for

obtaining a sample from a given population. Samples can either be

probability samples or non-probability samples. With probability

samples each element has a known probability of being included in

the sample but in non-probability sampling the researcher is not

allowed to determine this probability. Probability samples are those

based on simple random sampling, stratified, cluster/area sampling

whereas non-probability samples are those based on convenience

sampling, judgement sampling and quota sampling techniques. A

brief description of the sample designs is as follows:


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SIMPLE RANDOM SAMPLING

This type of sampling is also known as chance sampling or probability

sampling where each and every item in the population has an equal

chance of inclusion in the samples and each and every item in the

population has an equal chance of inclusion in the samples, in case

of finite universe, has the same probability of being selected. For

example, if we have to select a sample of 300 items from a universe

of 15,000 items, then we can put the name for numbers of all the

15,000 slips of paper and conduct a lottery. Using the randomnumbers tables is another method of random sampling. To select the

sample, each item is assigned a number from 1 to 15,000. Then, 300

five digits random numbers are selected from the table. To do this we

select random measurements, or the days, with the help of which

they examine the truth contained in the hypothesis.

But in the case of a survey, data can be collected by any one or more

of the following ways:

a. By observation: - This method implies the collection of

information by way of investigators own observation, without

interviewing the respondents. The information obtained relates

to what is currently happening and is not complicated by either

the past behaviour or future intentions or attitudes of

respondents. This method is no doubt an expensive method

and the information provided by this method is also very

limited. As such this method is not suitable in inquiries where

large samples are concerned.


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b. By mailing or questionnaires: - The researcher and

respondents do not come in contact with each other if this

method of survey is adopted. Questionnaires are mailed to the

respondents with a request to return after completing the

same. It is most extensively used in various economic and

business surveys. Before applying this method, usually a Pilot

Study for testing the questionnaire is conducted which reveals

the weaknesses? If any, of the questionnaire.

Questionnaire to be used must be prepared very carefully so that

may prove to be effective in collecting information.


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ANALYSIS OF DATA

After the data have been collected, the researcher turns to the task of

analyzing them. The analysis of data requires a number of closely

related operations such as establishment of categories, the

application of these categories to raw data through coding, tabulation

and then drawing statistical inferences. Coding operations usually

done at this stage through which these categories of data are

transformed into symbols that may be tabulated and counted. Editing

is the procedure that improves the quality of the data for coding. Withcoding the stage is ready for tabulation. Tabulation is a part of the

technical procedure that improves the quality of the data is put in the

form tables.

Analysis work after tabulation is generally based of the computation

of various percentages, coefficients, etc., by applying various well

defined statistical formulas. In the process of analysis, relationships

of differences supporting or conflicting with original or new hypothesis

should be subject to tests of significance to determine with validity

data can to include any conclusion(s).


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COLLECTION OF DATA THROUGH QUESTIONNAIRES

This method of data collection is quite popular, particularly incase of

big inquiries. It is being adopted private researchers, and workers,

and private and public organizations and even government. In this

method a questionnaire is sent (usually by post) to the persons

concerned with a request to answer the question and return the

questionnaire.

The method of collecting data wise mailing the questionnaires to

respondents is the most extensively employed in various economyand business surveys. The merits claimed on behalf of this method

are as follows:

1. There is low cost even when the universe is large and is

widely spread geographically.

2. It is free from the bias of the interviewer; answers are in

respondents own words.

3. Respondents have adequate time to give well thought out

answers.

4. Respondents, who are not easily approachable, can also be

reached conveniently.

5. Large samples can be made use of and thus the results can

be made more dependable and reliable

The main demerits of this system can be listed here:

1. Low rate of return of the duly filled in questionnaires; bias due

to no response is often indeterminate.

2. It can be used only when respondents are educated and

cooperating.


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3. The control over questionnaire may be lost once it is sent.

4. There is built in flexibility because of the difficulty of amending

the approach once questionnaires have been dispatched.

5. There is also possibility of ambiguous replies or omissions are

difficult.

6. It is difficult to know whether willing respondents are truly

representative.

7. This method is likely to be slowest of all.


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DATA COLLECTION

DATA COLLECTION INSTRUMENTS:-

The instruments used to collected are as follows:-

1. Questionnaire

2. Oral Discussion

DATA TYPE

Two types of data have been collected for analysis.

PRIMARY DATA

It has been collected with the helps of structured non-disguisedquestionnaire which were personally administered to respondent.

Both closed and open ended questions were used to get the

designed information. Questionnaires were designed for both

consumers and retailers. Important scales and ranking methods were

used for collecting the primary data.

SECONDARY DATA

It has been collected with the help of Internet and oral discussion. It is

used for a brief history of liquid milk industry.

SAMPLING DESIGN

It was a non-probability convenience sampling.


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THE INDIAN MILK INDUSTRY

INTODUCTION

The basic strength of the Indian economy is agriculture on which

seventy percent of the population depend for their livelihood. And a

part of it is the Indian dairy industry.

INDIAN DAIRY INDUSTRY IN 1940s

Inferior quality of locally marketed milk.

Heavy dependence on imports.

Unorganised production and processing.

The rich dairying heritage being eroded.

FORMATION OF NATIONAL DAIRY DEVELOPMENT

BOARD

The National Dairy Development Board was created to promote,

finance and support producer-owned and controlled organizations.

NDDB's programmes and activities seek to strengthen farmer

cooperatives and support national policies that are favourable to the

growth of such institutions. Fundamental to NDDB's efforts are

cooperative principles and the Anand Pattern of Cooperation.


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DAIRY COOPERATIVES

Dairy Cooperatives account for the major share of processed liquid

milk marketed in the country. Milk is processed and marketed by 170

Milk Producers' Cooperative Unions, which federate into 15 State

Cooperative Milk Marketing Federations. Liquid milk it accounts for 90

per cent of the revenue of cooperatives. The MNCs and private

players, which were earlier only into milk products, are now seriously

getting into the liquid milk sector. They realise that money is in liquid

milk. Whoever has access to cheap milk eventually wins the battle in

the products business. You can go and buy standard marketing,brand building expertise.

The challenge for cooperatives is not to be competitive to export but

to be competitive to expand their market (for liquid milk) which has a

limited purchasing power. Those that are buying milk today are not

going to be buying much more. Cooperatives have to bring the price

down for those who cannot afford it. And only if they do it will it

ensure that imports dont come in. The real challenge is how to bring

prices down, how to reduce costs at the village level, in areas like

transportation. Every paisa now counts.

At the heart of the Indian dairy revolution stands the Indian farmer

with two to five animals who produces some of the cheapest milk in

the world by feeding his animals mostly agricultural waste like straw.

If he expands his operations and herd and starts buying costly feed

he will lose his competitiveness. So how will milk production rise

without raising costs? By taking the cooperative dairy revolution to


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where it is still weak, the east and north-east of the country. This will

help fight poverty there, raise their own purchasing power for milk and

keep feeding the dairy sector with a rising supply of liquid milk at the

globally competitive Indian costs for another ten years. If you wish to

run your business professionally and competitively you have to first

benchmark your costs and stabilised quality at a very high level.

Thats the tough part. Then you hire a brand consultant, evolve a

brand strategy and get marketing experts to run the promotions and

do the selling. The key elements are an expanding supply of cheap

milk and attention to quality.

The Dairy Board's programmes and activities seek to strengthen the

functioning of Dairy Cooperatives, as producer-owned and controlled

organizations. NDDB supports the development of dairy cooperatives

by providing them financial assistance and technical expertise,

ensuring a better future for India's farmers.

Over the years, brands created by cooperatives have become

synonymous with quality and value. Brands like Amul (GCMMF),

Vijaya (AP), Verka (Punjab), Saras (Rajasthan). Nandini (Karnataka),

Milma (Kerala) and Gokul (Kolhapur) are among those that have

earned customer confidence.

Some of the major Dairy Cooperative Federations include:

Andhra Pradesh Dairy Development Cooperative Federation Ltd

(APDDCF)
http://www.nddb.org/partners/apddcf.htmlhttp://www.nddb.org/partners/apddcf.html


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Bihar State Cooperative Milk Producers Federation Ltd

(COMPFED)

Gujarat Cooperative Milk Marketing Federation Ltd (GCMMF)

Haryana Dairy Development Cooperative Federation Ltd.

(HDDCF)

Himachal Pradesh State Cooperative Milk Producers Federation

Ltd (HPSCMPF)

Karnataka Cooperative Milk Producers Federation Ltd (KMF)

Kerala State Cooperative Milk Marketing Federation Ltd (KCMMF)

Madhya Pradesh State Cooperative Dairy Federation Ltd

(MPCDF)

Maharashtra Rajya Sahakari Maryadit Dugdh Mahasangh

(Mahasangh)

Orissa State Cooperative Milk Producers Federation Ltd

(OMFED)

Pradeshik Cooperative Dairy Federation Ltd (UP) (PCDF)

Punjab State Cooperative Milk Producers Federation Ltd

(MILKFED)

Rajasthan Cooperative Dairy Federation Ltd (RCDF)

Tamilnadu Cooperative Milk Producers Federation Ltd (TCMPF)

West Bengal Cooperative Milk Producers Federation Ltd.

(WBCMPF)
http://www.nddb.org/partners/compfed.htmlhttp://www.nddb.org/partners/gcmmf.htmlhttp://www.nddb.org/partners/gcmmf.htmlhttp://www.nddb.org/partners/hddcf.htmlhttp://www.nddb.org/partners/hpscmpf.htmlhttp://www.nddb.org/partners/hpscmpf.htmlhttp://www.nddb.org/partners/hpscmpf.htmlhttp://www.nddb.org/partners/kmf.htmlhttp://www.nddb.org/partners/kcmmf.htmlhttp://www.nddb.org/partners/mpscbf.htmlhttp://www.nddb.org/partners/mahasangh.htmlhttp://www.nddb.org/partners/omfed.htmlhttp://www.nddb.org/partners/pcdf.htmlhttp://www.nddb.org/partners/milkfed.htmlhttp://www.nddb.org/partners/rcdf.htmlhttp://www.nddb.org/partners/tcmpf.htmlhttp://www.nddb.org/partners/wbcmpf.htmlhttp://www.nddb.org/partners/compfed.htmlhttp://www.nddb.org/partners/gcmmf.htmlhttp://www.nddb.org/partners/hddcf.htmlhttp://www.nddb.org/partners/hpscmpf.htmlhttp://www.nddb.org/partners/hpscmpf.htmlhttp://www.nddb.org/partners/kmf.htmlhttp://www.nddb.org/partners/kcmmf.htmlhttp://www.nddb.org/partners/mpscbf.htmlhttp://www.nddb.org/partners/mahasangh.htmlhttp://www.nddb.org/partners/omfed.htmlhttp://www.nddb.org/partners/pcdf.htmlhttp://www.nddb.org/partners/milkfed.htmlhttp://www.nddb.org/partners/rcdf.htmlhttp://www.nddb.org/partners/tcmpf.htmlhttp://www.nddb.org/partners/wbcmpf.html


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THE BIRTH OF AMUL

Linked to the freedom movement of India.

Founded in 1946 to stop the exploitation of milk producers at

the hands of middlemen.

A Co-operative movement member control on milk

production, processing and marketing.

A humble beginning with two village societies and 247 litres of

milk.

THE GROWTH OF AMUL

Co-operative movement spread like wild fire in the state.

Rapid increase in milk procurement.

Identification of Bombay liquid market.

Investing in manufacturing plants that produce milk powder,

butter, cheese and condensed milk.

Launch of Amul as a brand.

FORMATION OF GUJARAT COOPERATIVE MILK MARKETINGFEDERATION LTD [GCMMF]

Formed 1973

No. of Cooperative Unions 12

No. of Dairy plants 19


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Capacity 6,595 Thousand Litres per Day

It is Apex Marketing Federation of 12 District Milk Unions in Gujrat to

operate own marketing and distribution networks pan India and

abroad

Address:

Gujarat Cooperative Milk Marketing Federation Ltd., Amul Dairy Road

Anand, Gujarat, India 388 001, Tel: +91-2692-241621 & 23

Web : www.amul.com

COMPETITORS OF AMUL :

PARAS(VED RAM & SONS)

MADHUSUDAN

MOTHER DAIRY

AMRIT FOOD

GOPALJEE(G.K.DAIRY)

UMANG(J.K.DAIRY)

PARAM

RAMLAL

MADHUBAN

COMPETITORS OF AMUL KOOL:-
http://www.amul.com/http://www.amul.com/


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GAGAN FLAVOURED MILK ,THE PRODUCT OF

AMRIT FOOD (A DIVISION OF AMRIT VANASPATI CO.LTD.)

NESTLE PACKEDGED FLAVOURED MIlk

AMUL KOOL BUSINESS DETAILS

WHAT IS AMUL KOOL ?

Amul Kool is a high value food. It supplies body building Proteins,

bone forming Calcium, and health giving Vitamins and furnishes

energy giving Carbohyderate,Natural identical flavour giving a

AMUL KOOL

TOND MILKSUGAR

(15%)

FATSOLID NOT FAT

FAT

VITAMINS C

CARBOHYDERATE

CALCIUM

PROTEINS

IRON

LACTOSE


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natural taste and Milk Fat in an easily digestible and assimilable for

Health.

DIFFERENCE BETWEEN AMUL KOOL AND GAGAN

Constituents AMUL KOOL GAGANENERGY 184 Cal. 180 Cal.

COLOUR &FLAVOUR

NATURALIDENTICAL

FLAVOUR

SYNTHETIC FOOD

COLOURS & ADDED

FLAVOURS

MILK USED TOND MILK DOUBLE TOND

MILK

TYPES OF MILK USED:

Variation in different types of milk is due to the difference in their Fat

and SNF content.

TYPE OF MILK FAT % SNF %

DOUBLE TOND MILK 1.5 9.0


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TOND MILK 3.0 8.5

AMUL IN DELHI:

Delhi National Capital Region (NCR), among the biggest milk markets

in the country, is dominated by Mother Dairy currently. Amul and

NDDB's non-compete agreement has prevented the former fromlaunching its liquid milk in the Delhi market till 2003.

With the non-compete agreement having run out this year, Amul fresh

milk was launched in Delhi last month in two variants full cream

and toned priced at par with that of Mother Dairy at Rs 18 and Rs

14 per litre, respectively. Amul is bringing its milk into Delhi through

one of its district co-operative unions, the Gujarat-based Mehsana

Union. The milk will be packed at Kwality Dairy in Ballabgarh, leased

out to Amul for this purpose. Amul will use the same distribution

network as butter and cheese to retail Amul Milk in Delhi. According

to Mr R.S. Sodhi, Amuls marketing head; Amul will not use skimmed

milk powder in its milk.

GCMMF officials say the company's milk capacity has already

touched 80,000 litres per day (LPD) and have plans to take it to 3

LPD. Amul is now selling through 2,500 retail outlets and will increase


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this to 7,500 apart from covering outlets which are selling Amul

butter.

The Delhi market comprises 40 lakh litres currently and is dominated

by Mother Dairy, which sells 10 lakh LPD. The other organised sector

players are Paras Dairy, which sells 3 lakh LPD, state-owned Delhi

Milk Scheme (2.5 lakh LPD), Gopaljee (1-1.5 lakh LPD) and Britannia

30-40,000 LPD.

In just a fortnight, Amul milk has taken the Indian capital by storm,

rapidly eating into the market share of long time players like MotherDiary and Paras. Who cares if it was rivalry or business strategy that

made the Gujarat Cooperative Milk Marketing Federation (GCMMF)

enter the capital with Amul milk to take on state-owned Mother Dairy

in its home turf? From the response, Delhiites seem to be lapping up

Amuls pouches of full cream and toned milk in unimagined

quantities.

In just two weeks of entering the market, Amul is beginning threaten

the virtual monopoly of Mother Dairy and Paras. We did not expect

to reach 70,000 litres daily supply in little over two weeks, said R.S.

Khanna, a GCMMF official here.

We had expected to go up gradually and had made arrangements

for pasteurisation and packaging of just 60,000 litres per day at

Kwality Dairys unit in Faridabad, which we have leased, Khanna

said. But in less than one week, Amul notched the mark of 50,000

litres per day. GCMMF is bringing milk to Delhi through one of its


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district co-operative unions, located at Mehsana, around 700 km from

the capital.

The fresh milk is transported through insulated containers of between

12,000 to 20,000 litres capacity at two degree centigrade. After the 24

to 30 hours journey by road, the milk is processed and packaged at

Mehsana before being distributed in the Indian capital. The

packaged milk is being sold through 2,500 retail outlets, which we

hope to raise to 7,500 as we soon as we are able increase the

supplies to 100,000 litres.

In two months our target is to raise supplies to 200,000 litres per

day, he added. The official admitted that the idea of entering the

Delhi market had originated in August when the state and central

governments approached the GCMMF to help tide over an acute milk

shortage. Having helped to bridge the demand supply gap, we

decided to come in with fresh milk supply, which does not contain any

milk powder and is creamier and of richer quality compared to most

other milk supplied in the city because it has more fat and solid non-

fats like protein and minerals, said Khanna. At over five million litres

a day, Delhi is one of the biggest markets for milk in the country. Of

the supplies from the organised sector, Mother Dairy has been the

undisputed leader with 1.8 million litres daily sales through package

and vending machines. The other big names are Paras, Param,

Gopaljee and Umang. Now Amul milk has arrived to eat into the

share of other players in the market on the strength of its quality and

brand equity.


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PROFILE OF

GCMM

Gujarat Cooperative Milk Marketing Federation

GCMMF: An Overview

Gujarat Cooperative Milk Marketing Federation (GCMMF) is India's

largest food products marketing organisation. It is a state level apex

body of milk cooperatives in Gujarat which aims to provide

remunerative returns to the farmers and also serve the interest ofconsumers by providing quality products which are good value for

money.

Members: 12 district cooperative milk

producers' Union

No. of Producer Members: 2.36 million

No. of Village Societies: 11,333

Total Milk handling capacity: 6.9 million litres per day

Milk collection (Total - 2003-04): 1.81 billion litres


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Milk collection (Daily Average

2003-04):

4.97 million litres

Milk Drying Capacity: 511 metric Tons per day

Cattlefeed manufacturing

Capacity:

2340 Mts per day

Sales Turnover Rs (million) US $ (in million)

1994-95 11140 355

1995-96 13790 400

1996-97 15540 450

1997-98 18840 455

1998-99 22192 493

1999-00 22185 493

2000-01 22588 500

2001-02 23365 500

2002-03 27457 575

2003-04 28941 616

AMUL KOOL :


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Natures finest flavoured milk is here

GCMMF launched Amul Kool in Delhi and NCR in 2004 to cater the

demand of consumers and to fill in the gap between demand andsupply. It reaches consumers within hours of it being packed at the

right temperature to ensure that it retains all its natural goodness.

Treasure of Natural Goodness

Amul Kool is highly nutritious and contains proteins, minerals,

carbohydrates and vitamins i.e. SNF as it is commonly called. AmulKool also contains natural fat and natural SNF as it is from natural

source and does not contain milk powder.

Quality Standards

Amul Kool strictly conforms to quality standards of Prevention of

Foods & Adulteration Act (PFA). This means when one buy Amul

Kool he/she is sure to get:

Natures perfect food for the health of your family

Milk which has longer because of its superior bacteriological

quality and the state of the art processing technology.

The right quantity as mentioned on the packs

Consistent quality and ample quantity throughout the year even

during festive and lean session.

The accurate taste which is mentioned on the bottle or pack.


34/82

KOOL

List of Products Marketed:

Cheese Range:

Amul Pasteurized Processed Cheddar Cheese

Amul Processed Cheese Spread

Amul Pizza (Mozarella) Cheese

Amul Shredded Pizza Cheese

Amul Emmental Cheese

UHT Milk Range:

Amul Taaza 3% fat Milk

Amul Gold 4.5% fat Milk

FAT ENERGY QUANTITY MRP per

Amul Kool 9.7% 184 cal. 200ml. Rs. 10/-

Gagan 8.9% 180cal. 200ml. Rs. 10/-

NESTLE ----------- 200cal. 200ml. Rs.15/-
http://www.amul.com/cheese-cheddar.htmlhttp://www.amul.com/cheese-cheddar.htmlhttp://www.amul.com/cheese-spreads.htmlhttp://www.amul.com/cheese-spreads.htmlhttp://www.amul.com/cheese-mozzarella.htmlhttp://www.amul.com/cheese-mozzarella.htmlhttp://www.amul.com/cheese-emmental.htmlhttp://www.amul.com/cheese-emmental.htmlhttp://www.amul.com/fresh-tazza.htmlhttp://www.amul.com/fresh-tazza.htmlhttp://www.amul.com/fresh-gold.htmlhttp://www.amul.com/fresh-gold.htmlhttp://www.amul.com/cheese-cheddar.htmlhttp://www.amul.com/cheese-spreads.htmlhttp://www.amul.com/cheese-mozzarella.htmlhttp://www.amul.com/cheese-emmental.htmlhttp://www.amul.com/fresh-tazza.htmlhttp://www.amul.com/fresh-gold.html


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Amul Slim-n-Trim 0% fat milk

Amul Chocolate Milk

Amul Fresh Cream

Amul Snowcap Softy Mix

Amul Taaza Double Toned Milk

Infant Milk Range:

Amul Infant Milk Formula 1 (0-6 months)

Amul Infant Milk Formula 2 ( 6 months above)

Milk Powders:

Amul Full Cream Milk Powder

Amulya Dairy Whitener

Sagar Skimmed Milk Powder

Sagar Tea and Coffee Whitener

Sweetened Condensed Milk:

Amul Mithaimate Sweetened Condensed Milk

Fresh Milk:

Amul Taaza Toned Milk 3% fat

Amul Gold Full Cream Milk 6% fat

Amul Shakti Standardised Milk 3% fat

Amul Smart Double Toned Milk 1.5% fat
http://www.amul.com/fresh-slim.htmlhttp://www.amul.com/fresh-slim.htmlhttp://www.amul.com/fresh-chocolate.htmlhttp://www.amul.com/fresh-chocolate.htmlhttp://www.amul.com/fresh-cream.htmlhttp://www.amul.com/fresh-cream.htmlhttp://www.amul.com/powder-milkpowder.htmlhttp://www.amul.com/powder-milkpowder.htmlhttp://www.amul.com/powder-dairy.htmlhttp://www.amul.com/powder-dairy.htmlhttp://www.amul.com/powder-skimmilk.htmlhttp://www.amul.com/powder-skimmilk.htmlhttp://www.amul.com/powder-coffee.htmlhttp://www.amul.com/powder-coffee.htmlhttp://www.amul.com/cooking-mithai.htmlhttp://www.amul.com/cooking-mithai.htmlhttp://www.amul.com/fresh-tazza.htmlhttp://www.amul.com/fresh-gold.htmlhttp://www.amul.com/fresh-gold.htmlhttp://www.amul.com/fresh-slim.htmlhttp://www.amul.com/fresh-chocolate.htmlhttp://www.amul.com/fresh-cream.htmlhttp://www.amul.com/powder-milkpowder.htmlhttp://www.amul.com/powder-dairy.htmlhttp://www.amul.com/powder-skimmilk.htmlhttp://www.amul.com/powder-coffee.htmlhttp://www.amul.com/cooking-mithai.htmlhttp://www.amul.com/fresh-tazza.htmlhttp://www.amul.com/fresh-gold.html


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GCMMF BUSINESS PHILOSOPHY

To serve the interests of milk producers.

To provide quality products to consumers value for money.

INDUSTRY STANDING

Indias largest food products marketing organisation with an

annual turnover of over Rs. 2700 crores.

Markets popular brands Amul and Sagar.

Indias largest exporter of dairy products.

Indias largest cold chain network.

No.1 market share holder in India for Butter, Cheese, Ice-

cream, Dairy Whitener, Condensed Milk, UHT Milk, and Baby

Food.

Presently marketing pouch liquid milk in five states namely,

Gujrat, Maharashtra, Chattisgarh, Rajasthan, Delhi and Madhya

Pradesh.


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OUR VALUES

Customer Orientation.

Commitment to Producers.

Belongingness.

Co-operation.

Pride in Organisation.

Employee Satisfaction.

Integrity.

Excellence.

Leadership.

Quality..

MISSION STATEMENT

We, at GCMMF, endeavour to satisfy the taste and nutritional

requirements of the world, through excellence in marketing through

our committed team.

Trough co-operative network, we are committed to offering quality

products that provide best value for money.


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GCMMF JOURNEY 2005

GCMMF will be an outstanding marketing organisation with

specialization in marketing of food and dairy products, both fresh and

long life, with customer focus and information technology integration.

The network would consist of over 100 sales offices, 7500 stockists

covering atleast every taluka headquarter town, servicing nearly n1

million retail outlets with a sales turnover of Rs.10,000 crores (100

Billion), and serving several cooperatives.

GCMMF shall also create markets for its products in the neighbouring

countries.


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Facts on 30th Annual General Body Meeting

Adopted at their meeting held on 8th June, 2004 for presentation

at the 30th Annual General Body Meeting

As Amul was founded on a sound business model: providing

quality products to consumers at an affordable price. The Pundits

have described our model as "value for money" and it has been

adopted by a number of companies. While imitation may be

flattery, most other organisations fail to understand that "value for

money" is not just about low prices - it means offering the best

quality products at the most reasonable price. As a cooperative,

our faith requires that we safeguard the interest of both our major

stakeholders the farmers - and the consumers whose loyalty is

essential to our continued success.

MILK PROCUREMENT


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Total milk procurement by Member Unions averaged 51.13 lakh

kilograms per day, a marginal decline from 52.35 lakh kilograms

per day, achieved in 2002-2003. However, the good monsoons

experienced during last year and the better procurement prices on

offer are expected to encourage higher milk production and

procurement in the current year.

SALES

During the year, your Federation's sales registered a growth of 5

percent increase to reach Rs. 2,881.96 crores including consignment

sales of Rs.62.95 crores. The dairy line grew by about 18% despite

the loss of a sizable edible oil business. In 2004-05, the sale of Amul

Milk in pouches increased by 34 percent in value terms. A notable

development in the area of liquid milk in pouches has been the

successful launch of Amul Milk in the Delhi market during November

2003. Within under 60 days of launch, achieved sales of 1 lakh liters


41/82

per day. UHT Milk has grown in both value and volume terms by 60

percent, which shows that it has really come upon the high growth

stage. Despite intense competition, sales value of Amul Butter grew

by 19 percent and that of milk powders has firmed up further. The

sales of the Amul Cheese range increased by 13 percent. Products

like Flavoured Milk, Amul Fresh Cream, Paneer, Mithaimate, Softy

Mix, and fresh curd demonstrated their potential to become dominant

brands

DISTRIBUTION

During the year, the major development on the distribution front

was the development and alignment of four distribution highways-

those of Fresh Products, Chilled Products, Frozen Products and

Ambient Products. This is a significant achievement because it

allows us to develop synergies among all our product lines and to

leverage these highways to introduce and distribute new products

as per market demand. I take pleasure in declaring that no other

organization in India has been able to develop this kind of channel

synergy so far.


42/82

Another major initiative undertaken during the year was the Time-

based Military Technique (TMT) of distribution. This has been

deployed to effect a nationally synchronized mass distribution of

products with the objective of achieving total channel penetration

on a single day. Most of our products launched or re-launched

through this technique have seen significant gains in distribution

and availability.

After Distributor Salesmen in the previous year and Distributors in

the year before last, it was the turn of the top Retailers across the

country to participate in the Amul Yatra Programme. It is

conducted by your Federation to bring our channel partners face

to face with our cooperative institutions, activities, culture and

achievements through a guided tour in and around Anand. A total

of 114 Distributor Salesmen and 482 top retailers from across the

country participated in the Amul Yatra this year. With the opening

of several new milk markets and 3 separate Milk Sales Offices at

Mumbai, New Delhi and Boisar, the number of Milk Area Delivery

Agents has increased. 95 Milk Area Distribution Agents also

visited Anand for Amul Yatra. Distributors have further enhanced

their infrastructures in terms of installation of cold storage

arrangements, enhanced bank guarantee limits with Federation

and introduced good quality delivery vehicles. An objective

evaluation was done in the form of distributor renewal and

Performance appraisal.


43/82

INFORMATION TECHNOLOGY INTEGRATION

The Federation has further advanced our technological

leadership by implementing a Virtual Private Network (VPN) with

secured fiber optic connectivity which, with deployment of the

"Amul Online ERP" System, will facilitate electronic transactions

between member unions and the Federation offices, providing a

seamless and smooth flow of information that enhances

operational efficiency. The Federation now enjoys a significant

advantage in rapid reaction to changing business demands.

Your Federation is bolstering our brand identity as a farmers' co-

operative through the Internet based "amul.coop" URL and e-mail

addresses. This will continually remind the world's consumers that


44/82

we are a cooperative, and proud of it. This identity gives us a vital

business advantage and facilitates Amul brand penetration across

the world. It also strengthens our co-operatives by bringing our

members together and closer to consumers.

COOPERATIVE DEVELOPMENT PROGRAMME

During the last four years, Member Unions have implemented an

Internal Consultant Development (ICD) intervention focused on

developing leadership among member producers, helping them tobetter manage their dairy business.

During the year, Member Unions continued to implement the

module on Vision Mission Strategy (VMS) for primary milk

producer members and Village Dairy Cooperatives. Facilitated by

specially trained consultants, 1,073 Village Dairy Cooperative

Societies (VDCS) have conducted Vision Mission Strategy

Workshops, and have prepared Mission Statements and Business

Plans for the next five years. The VMS module has prompted milk

producers to initiate activities at villages that have far-reaching

effects on the milk business.


45/82

The success of the program has led to Member Unions focusing

on implementing this VMS module and developing Business

Plans for all VDCS, thus strengthening them to face the fierce

competition ahead.

With the objective of encouraging professional management by

Milk Producers and dairy cooperative societies, Member Unions

have initiated Members' Business Development Programme

(MBDP). During the last three years, 2,483 villages and 1,53,108

milk producers participated in the programme. This has resulted in

introduction of new scientific animal husbandry management

methods on a significant scale.

A Chairmen and Secretaries' Orientation Programme is being

conducted at Mother Dairy, Gandhinagar. Member Unions,

supported by your Federation, carry out this program to increase

awareness regarding the dairy industry scenario and to develop

leadership skills among Chairmen and Secretaries. During the

year, 5,797 chairmen and secretaries from 2,944 Village Dairy

Cooperative Societies participated in the program.

An ongoing emphasis of Member Unions has been to encourage

increased women milk producers' participation in their Dairy

Cooperative Societies. To develop and enhance leadership skillsand qualities, Member Unions organised three Self Managing

Leadership (SML) workshops at Prajapita Brahmakumaris, Mount

Abu which attracted the participation of 3,100 women resource

persons along with the Chairmen and Secretaries of 750 VDCS.


46/82

WHAT THE FUTURE HOLDS

As there is a steady increase in consumer expectations. Product

and service quality is rapidly becoming the minimum threshold for

consumer acceptance. To achieve and maintain competitive

advantage, innovation in product design and delivery are

increasingly essential. Innovation must now define us as an

organization.There must innovate at each stage in our value chain

- production, procurement, processing, marketing and branding.

Innovation cannot be mandated or forced out of people. It is

everywhere a function of the quality of people and environment.

Need to have enough skilled people working in a self-actuating

environment to produce innovation. In these times of increasing

market opportunities, to devise more effective ways of attracting

and retaining skilled human resources. It is to be realized that just

as the market is expanding for our products, so it is opening up

new opportunities for the skilled people that we need to tap the

market. Further, it does not suffice merely to retain skilled human

resources. It is also necessary to provide them an adequately


47/82

self-motivating work environment that draws out the best out of

them on a sustained basis.

From the year 1994, our unions have been engaged in the

practice of third party validation of its practices. Since then, we

have been awarded the ISO 9002:2000, the HACCP, the ISO

14001 and similar marks of our excellence in milk procurement

and processing. The importance of standardization of our village

society election processes lies in their instrumentality in throwing

up genuine and visionary leaders. It determines the future of the

cooperative movement.


48/82

FINDINGS,DATA COLLECTION AND

ANALYSIS

QUESTIONNAIRE FOR CONSUMER

Sample Size: 500 consumers

1. Which Flavoured milk do you buy?

A. Branded : 330

B. Loose : 130

C. Both : 40


49/82

BRAND NO. OF CONSUMERSAMUL KOOL 150

GAGAN 180

ANALYSIS

The area covered Ghaziabad is in the vicinity of New Delhi, the

capital of India; branded things and even fresh milk is in great

demand among literate consumers.

People are conscious of hygienic products and people of Rs.

10000+ income group have a general inclination for branded

packaged Flavoured milk because it is believed that loose milk

is generally not safe to consume.

We found that 66% of our respondents use branded milk and

26% people use loose milk.

Moreover 8% of respondents have indicated that they use both

branded and loose milk.

66%

26%

8%

1

2

3

BRANDED

LOOSE

BOTH


50/82

2.Do you know that Amul has launched its flavoured milk in

bottle & tetrapack?

Yes : 325

No : 175

If yes have you tried Amul Yes : 178(out of 325)

ANALYSIS

We found that people are aware of Amuls flavoured milk and

Amul has good reputation among the consumers. GCMMF Ltd.,

is considered to be one of the best companies in the dairy

products category in FMCG sector.

When GCMMF Ltd declared that it is going to launch flavoured

milk in Delhi the consumers accepted it in leaps and bound.

People perceive Amul as the triumph of indigenous technology.

People perceive Amuls dairy product as Natures perfect food

for the health of their family.

3.How do you come to know about Amul Kool?

A. T.V. : 125

B. BANNERS : 115

C. Radio : 25

YES, 65%

NO, 35%

1

2


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D. NEWSPAPER : 75

E. Friends : 115

F. P.O.P. : 45

It is very important for a company to know that medium of

promotion is most effective on the consumers and which is

reachable to the consumers. Regarding this 15% people says

that they came to know about Amul Kool through newspaper.

Those who got the information from Banners 23%, radio 5%,

t.v.25% , friends 23%, pop 9% .Advertisement has emerged as

the best way to reach way to reach into the customer mind.

Means in today era advertisement plays important role in

building image. The collected by us is also says that

advertisement is big factor for spreading the awareness of

consumers. The outcome is that a good spending in

advertisement generally pays in the long run.

4. What first come to your mind about Amul Kool?

BANNER

S 23%

T.V.ADD.

25%

Radio,

5%

NEWSPA

PER,

15%

Friends,

23%

P.O.P,

9%


52/82

A good brand.

Good in taste.

A leading brand in the Indian market.

Reliability.

Purity.

Trustworthiness.

Value for money.

Good for health and health conscious people.

Powder based milk.

Real taste and mazaa.

it is an old timetested brand on which one can rely.

Must be very good because its other products are

excellent and AMUL has its own identity.

5. What all flavours of Amul Kool do you know?

ELAICHI : 93

ROSE : 42

OTHER : 15


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62%

29%

9%

1

2

3

Throughout the survey it was found that people who consume

flavoured milk are more aware of flavours. 93 people out of 150

or 62% of respondents were aware of elachi and 42 people or

29% of respondents were aware of rose.

15 respondents (9%) said that are using other flavours. Many

consumers also purchased various kind of flavours according tothe requirements.

6. Please give the 1st rank to the following brand as per

your choice?

A. Amul : 170 , B. Gagan : 185

c.Nestle : 105, D. Other :40

ELACHI

OTHER

ROSE

Amul 170,

34%

Gagan 185,

37%

Nestle, 105,

21%

other40, 8%

1

2

3

4


54/82

Only rank cannot help to winning the market. While in winning the

market a Company needs to have good quality as well as availability

and the right price supported by proper advertisement support and

since Amul is fulfilling these requirements it is the best in dairy

products since 1946. Thats why after launch of flavoured milk in the

short period of time Amul is rising progressively to become the

market leader in the area covered those who tried Amul Kool once

they became the permanent customer of Amul Kool. 34% or 170

consumer says that Amul Kool is number 1 and there is good

amount who says that Amul Kool is number2 brand {140}. But till the

survey Gagan has the highest percentage 37% and Nestle is at third

place.

7. Please tell if you have switched from one brand to

another?

From Switch

over to

No. of

respondents

Reason

Gagan Amul 45 Gagan quality was declining

so tried Amul & liked it.Amul

Kool has good taste.


55/82

Amul Gagan 42 Easy availability.

Flavoured milk is daily consumable commodity and considered

to be a nutritious diet. So whenever customer found any

unacceptable degradation in quality as well as adulteration they

switch over to another brand.

An interesting point which we found during our survey is that

now people are not stable on any particular brand. If they do

not find good quality in there flavoured milk they can for anotherbrand where they find good quality and which is easily

available.

Because of it quite a no. of consumers of brands such as

Gagan and Local flavoured milk has switched over to Amul

Kool because Amul is providing good quality, easily available,

good taste purity than their rivals. Moreover Amul does not use

synthetic milk as well as harmful chemicals in its flavoured milk.

8. What do you look while buying flavoured milk? (I, II, III, IV,

V )

What factors do you consider before purchasing your

brand?

Availability : 160

Quality : 130

Taste : 95


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Price : 60

Purity : 55

We found that in the success of flavoured milk in market,

availability and quality plays an important role. Other factors like

taste, price, purity are although less significant. In the study

32% of the respondents said that for them availability is the

most important factor. They go to the confectionary store or

dairy shop of their colony and if the product is not available how

can they buy. 26% of the respondents

said that for them, quality is the main concern. Those who

preferred taste, price and purity were 19%, 12%, 11%

respectively. Consumers go the confectionery shop which is

nearest to their doorsteps so they generally compromise with

that one.

PURITY

AVAILIBILITY

PRICE

TASTE

QUALITY

32%

26%

19%

12%

11% 1

2

3

4

5


57/82

9. Who influences your buying decision?

A. Family : 200

B. Brand Name : 100

C. Advertisement : 100

D. Retailer : 50

E. Others : 50

When we ask to the consumer about their buying decision those who

said that their decision of purchase for a particular brand of milk is

influenced by members in the family were 40% and 20% said that

they are influenced by brand name.

Similarly 20% of our respondents said they were motivated by

advertisement and the claims made by companies.

Retailers influenced 10% and others factors 10%.

Family, 40%

Brand Name,

20%

Advertisement

, 20%

Retailers,10%

Others, 10%

12

3

4

5


58/82

Regarding family we found that usually mothers and wives usually

decide which brand to purchase according to their affinity for a

particular taste.

10.Where do you buy Flavoured milk?

A. Confectionary : 170

B. Home delivery : 140

C. Booths : 100

D. Dairy shops : 90

Confectionary stores usually keep a no. of other daily use eatables

and commodities and consumers think it to be very convenient to

purchase their daily bread as well as their brand of flavoured milk and

34% of our respondents said that they buy flavoured milk from their

colony or town confectionary stores.

Confection

ery, 34%

Home

Delivery,

28%

Booths,

20%

Dairy

Shop,

18% 1

2

3

4


59/82

In the urban areas of Ghaziabad a no. of vendors give home delivery

of flavoured milk and other products therefore the people who didnt

have time usually preferred home delivery.

11.Whether Amul Kool is available whenever you go to your

shop?

Yes No

Yes : 78

Cant say :25

that part we tried to know about availability of Amul Kool and

there was surprising answer. Amul kool has covered the area in

the short span of 10-12 months.

78%people say that they find the Amul Kool available from

where purchases the milk which means Amul distribution is

good.

But much work is yet to be done to penetrate even deeper into

the market and making new customers.

Yes, 76%

Cant say,

24%

1

2


60/82

The quantity of Amul kool consumed generally depended on the size

of a family and the frequency of intake and the various types of

usage. Students who lived in hostels and private flats used Amul Kool

regularly for energy .

13. When do you buy Amul Kool ?

Afternoon : 225

Evening : 185

Both

We found that 45% of our respondents went to purchase Amul Kool

in afternoon and 37% people went in evening. 18% went both in

afternoon and evening. We found that most people preferred going

to their milk or confectionary shop in the afternoon for drinking kool

and also the home delivery vendors mostly gave their services in the

afternoon.

Afternoon45%

Evening37%

Both18%

1

2

3


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14. What should be the feature in the winning brand according

to you?

easy availability near your home.

Quality.

scheme for consumers.

reasonable spending on promotion for creating brand

awareness.

should be in good in taste.

should never compromise in quality.

efficient distribution.

brand fulfilling the needs of the 3cs-challenges, competition

and

consumers.

making arrangement for home delivery to cater to the needs of

the

consumers who have scarcity of time

an effective brand ambassador.

packaging of international standard.

longer shelf life.

excellent brand equity.

15. Any other suggestion for Amul milk?

Increase publicity because awareness is low.

Open retail outlet should be open like other seller.


62/82

Always pay attention to quality to avoid any controversy like

that of CADBURY.

Add more vitamins to Amul Kool and make adds to propagate

this message.

Should keep regular check on taste because it is a key factor in

molding the buyers decision behavior.


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QUESTIONNAIRE FOR RETAILERS

Sample Size : 200 Retailers

1.For how long you are in this business?

0 5 yrs : 22 retailers

6 10 yrs : 6011 15 yrs : 70

16 20 yrs : 34

21 and more : 14

35

% of the retailers are doing business from 11 to 15 years.

And they formed the highest group of this category.

1 - 5 yrs,

11%

6 - 10 yrs,30%

11-15 yrs,

35%

16-20yrs,

17%

21yrs&

more, 7%1

2

34

5


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30

% of the retailers are doing business from 6 to 10 years.

17

% of the retailers are doing business from 16 20 years.

11

% of the retailers are doing business from 0 5 years.

7

% of the retailers are doing business from 21 years and more

.

2. Which brands you are selling?Amul Mother Dairy

Paras Gopaljee

Others

Amul Kool Yes 84 No-- 116

We found that 47% of the retailers kept Amul Kool.

3.If selling Amul, since how long you are selling Amul Kool?

Almost all the retailers who kept Amul Kool were keeping it

since its launch . They were satisfied with the growing demand

YES

42%

NO58%

1

2


65/82

of Amul Kool and said it showed a fair retention power among

consumers. Quite a good no. of consumers tried Amul Kool and

became loyal to Amul Kool.

4. Give average daily sales and distribution (1.Very good

2.Good 3.Fair) of these brands?

AmulAmrit food

Gopal ji Nestle other

From the survey of our respondents we found that Amul

had the largest sale at retailers visited by us. It stood at

the staggering figure of 41% of total sales.

Second place was occupied by Amrit food and stood at

20% market share.

Gopalji stood at 17%.

Nestle at 9% only.

Other brands occupied 13% of the sales.

Regarding distribution we came to know that Amrit food

distributors were giving the best service.

AMUL41%

AMRIT

FOOD

20%

GOPALJI

17%

NESTLE9%

Other

13%1

23

4

5


66/82

5.Does consumer approach you to keep Amul Kool?

Yes No

Yes: 24

No : 76

Most of the retailers didnt give satisfactory answer to thisquestion. Only 100 retailers said consumers approach them to

keep Amul Kool. But due to low demand and unavailability of

refrigerators they are unable to keep Amul Kool.

6. Are consumers switching over to Amul Kool ?

Yes No

Yes: 94 No : 106

94 retailers (47%) were of the opinion that consumers were

switching over to Amul Kool. They were satisfied with the

growing demand of Amul Kool and said it showed a fair

Yes

24%

No

76%

1

2

Yes

47%

No

53%

1

2


67/82

retention power among consumers. Quite a good no. of

consumers tried Amul and became loyal to Amul.

7. How is the response from the consumer? Give scaling for

Amul Kool.

Excellent to Poor

Note: only 90 retailers gave answer to this question.

Excellent: 05 V. Good: 19 Good: 27

Fair: 25 Poor: 14

6% or 5 retailers said that response from consumer was

excellent.

21% or 19 retailers said that response from consumer was v.

good.

31% or 27 retailers said that response was good.

Fair and poor ranking stood at 27% and 15% respectively.

Excellent

6%

V.Good

21%

Good

31%

Fair

27%

Poor

15% 1

2

3

4

5


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9. Which brand do you usually push to the consumer in case

he does not demand any specific brand and why?

A. Brand which has highest margin : 82

B. Old Stock : 22

C. Not specific : 96

41% of the retailers said that they push the brand which has the

highest margin. Retailers are chiefly considered with margin

and goods and commodities which can be sold.

11% of the retailers said that if any customer doesnt give any

specific choice of brand then they give the brand which is of the

old stock.

48% of the retailers said that this is not specific and they give

any brand.

10. If not selling Amul Kool, then will you like to keep them?

Yes : 92

No : 108

A. highest

margin

41%

B.Old

stock 11%

C.Not

specific

48%

1

2

3


69/82

No

54%

Yes

46% yes

no

Thus we see that 46% of the shopkeeper who were keeping not

keeping Amul Kool said they are interested in keeping Amul

Kool.

54% of the retailers said they are interested because of poor

demand and of non-availability of refrigerators and of the risk

involved in Amul Kool business because unsold stock is not

returnable.


70/82

11.What all you look while keeping Amul Kool on your shop

please rank? (I,II,III,IV,V)

A. Margin : 68

B. Service : 40

C. Behaviour of sales man : 08

D. Brand Name : 06

E. Trade scheme : 06

F. Consumer Demand : 72

Thus one can see that the main thing which the shopkeepers

are concerned is margin. 34% of the retailers said that for them

margin is the main concern and they look margin before

keeping any brand in their shop.

20% said that for them service of the distributor, his punctuality

in coming to the shop in morning and evening on time is the

topmost concern.

36% said that for them consumer demand for a particular

product or brand is the main concern and they keep anything

for which there is consumer demand.

34%

20%

4%

3%

3%

36%

Margin

Service

Sales Man

Brand Name

Trade Scheme

Consumer Demand


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Salesman behaviour, brand name, trade scheme stood at 4%,

3%, 3% respectively.

12. Any suggestions?

Increase margin and credit period.

Provide signboards and freezers.

Ensure punctuality in service of distributors.

GCMMF Ltd. should increase ad spending in electronic and

print media to back up sales.

Policy for the retailers should be flexible, and there should be

provision for return of unsold milk.

Trade scheme for traders should be launched at regular interval

of time.

GCMMF Ltd. should also investigate into the working of

distributors.

Provision for maintenance of freezers at the cost of GCMMFLtd. and mechanic when it needs repair.

Trade scheme for retailers should be not be discontinued.

For success distribution should be good supported by regular

ads and good margin to shopkeeper.

Ensure longer shelf life if possible without making any

compromise with quality and dont use harmful chemicals


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CONCLUSION

AND

RECOMMENDATIONS

Peter Drucker has observed that companys first task is to create

customers. Earlier GAGAN was the pioneer of the market. At

present condition, we cannot say GAGAN is the unchallengeable

market leader, and fully successful to create customers. Other

unorganized sector have made their potentially widely. They are able

to position successfully in the current by attracting potential.

Customers form an expectation of value and act on it. A buyers

delight is the function of the products perceived performance and the

customers expectation.

Recognizing that high satisfaction leads to high customer loyalty

quality value and service are totality of features and characteristics of

a product that bear on its ability to satisfy stated or implied needs.

Total quality is the key to value creation and customers delight.

Hence GCMMF LTD. should take necessary action to continue

bringing quality product. First, it should participate in formulating

strategies and policies designed to help the company win through

total quality excellence. Second, they must deliver marketing quality


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along side production quality and value. Each marketing activity

marketing research, advertising, customer service and so on must be

performed to high standards.


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RECOMMENDATIONS

GCMMF Ltd. and its Amul Kool are not doing as well in the

Ghaziabad market compared to Delhi market though they have a

good marketing strategy followed by strong marketing peoples. In this

period of 8 weeks I scanned the flavoured market of Ghaziabad.

I found that the brand awareness of Amul Kool is not to the point or

as expected to be in Ghaziabad.

So awareness level of the consumers about Amul Kool should

be improved by installing more canopies and hoarding and

ensure that every colony has a hoarding and a retailer selling

Amul Kool. Big banners and billboards should be installed on

main roads.

Amul must also come up with booths like that of Mother Dairy to

reduce costs and deliver quality and fresh Amul kool to

customers.

Amul must launch promotional schemes for customers as well

to increase sales as well as to be in news.


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SWOT ANALYSIS

Strength

Amul has well built image of excellence and innovation

supported of triumph of Indian dairy technology.

It has well logistic and channel network.

Well trained and educated marketing staff.

Quality of milk is good and it doesnt use powder in making

milk.

It ensures that only cow and buffalo milk is used by collecting

milk from milk cooperatives of Gujrat.

Demand is absolutely optimistic.

Abundant availability of raw material.

Weakness

Retailers say they are not satisfied by trade schemes.

Equal importance is not given by distributors to all retailers and

confectionary stores. They neglect some retailers.

All is not well with distribution in Ghaziabad.

With so many companies in this industry, competition is

becoming tougher day by day. But then competition has to be

faced as a ground reality. The market is large enough for manyto carve out their niche.

Amul is not able to replace its expired items but the competitors

are doing so.


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Opportunities

Failure is never final, and success never ending. Dr. Kurien bears

out this statement perfectly. He entered the industry when there ere

only threats. He met failure head-on, and now he clearly is an

example of never ending success! If dairy entrepreneurs are looking

for opportunities in India, the following areas must be tapped:

Value Addition: There is a phenomenal scope for innovations in

product development, packaging and presentation. Steps can

be taken to introduce Amul Kool with addition of essential extraelements for health conscious people.

By increasing the margin to the retailer Amul Kool can reach to

the more retailers as well as consumers.

By solving the replacement problem it can maximize the

attention of retailers about selling the product.

Threats

Entry of MNCs is a serious threat to Amul Kool and other

Indian companies.

Modifying the distribution channels is a challenge for Amul

Kool.

To acess in the tribal area and grow the demand in this area is

also a threat for the Amul.

The Indian dairy industry, following its delicensing, has been

attracting a large of entrepreneurs. Their success in dairy depends on

factors such as efficient yet economical procurement network,


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hygienic and cost-effective processing facilities and innovativeness in

the market place. All the needs to be done is : to innovate, convert

products into commercially exploitable ideas. All the time keep

reminding yourself: Benjamin Franklin discovered electricity, but it

was the man who invented the meter that really made the money!


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SUGGESTIONS FOR IMPROVING THE

MARKET SHARE OF AMUL KOOL

I have found that the market share of amul kool is not as well as

other competitors.due to some ignorance it is not doing well as

it should be in the current market secnerio.

It should adopt some trend which I have feeled in the market which

can increase the sale of amul as well as amul kool,are as follows:-

at first,it should modify it distribution channels which are not doing as

it should be.

1. Advertisement & sales promotion should be conducted by the

company so that the consumers can be more attentive to the

product.If it is possible than sales can be increased.

2. The area of distributor should be defined clearly so that they

can work in their area with more potential.

3. The salesman should be qualified and very much responsible

for their work because if they cannot have attractive

personality how can they convince about the features of the

products effectively and efficiently.

4. Amul should allot some more distributor because the market

has more potential but due to lack of distribution facility some

retailers are not satisfied by the supply of the product.


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5. The company should make direct communication with the

retailers so that retailers can give the feedback to the

company about the marketto the company.Andon the basis

of that company can take the effective decision in time.

6. The should conduct the regular survey of the particular

product so that they can know the taste and desires of the

consumers and the strategy of the competitors.

7. The company should cover the retailers who are far from the

main road or market place,now a it is not covered by the

salesman or the staffs.It can grow up the market share,

because the competitors cover it very well.

8. The company should give the credit facility to the retailers so

that the small retailers can easily get the product.And they

can pay without stress.the competitors are providing this

facility

9. If it is possible to replace the products which are of no use the

co.should replace it easily.the competitors is ahead of Amul

about providing this facility.

10.The company should give advertisement on radio,as well as

in newspapers regularly as reminder for the consumers.

11. The company should organize AMUL DAY to educate the

potential customers as well as retailers


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LIMITATIONS OF RESEARCH

Every research is conducted under some boundations and

thisresearch is not an exception. Limitations of this project are-

The sample size of 500 consumers are too small to project the

opinion of consumer regarding a particular brand and also degree of

success of a particular brand.

There might have been tendencies among the respondents to amplify

or filter their responses under the testing conditions.

Since the study involved sampling method, Drop in or Go througherror might have crept in.

Since the results have been drawn on the basis of the information

provided by the respondents, chances of error might have crept in.


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BIBLIOGRAPHY

MAGAZINES:

Business Today

Business World

NEWSPAPER:

Economic Times

Business Standard

The Financial Express

BOOKS:

Research Methodology by C.R. Kothari

Consumer Behaviour by Gupta and Pal

Marketing Management by Philip Kotler,

WEBSITES:

www.amul.com

www.parasdairy.com

www.motherdairy.com

www.rediff.com/money

www.ask.com

www.google.com

www.domain-b.com
http://www.amul.com/http://www.amul.com/http://www.parasdairy.com/http://www.parasdairy.com/http://www.motherdairy.com/http://www.motherdairy.com/http://www.rediff.com/moneyhttp://www.rediff.com/moneyhttp://www.ask.com/http://www.ask.com/http://www.google.com/http://www.google.com/http://www.domain-b.com/http://www.domain-b.com/http://www.amul.com/http://www.parasdairy.com/http://www.motherdairy.com/http://www.rediff.com/moneyhttp://www.ask.com/http://www.google.com/http://www.domain-b.com/


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DECLARATION

I , Syed Salman Ali a student of MBA IV semester of Acme Institute of

Management and Technology, Barielly, 2009-10 bearing UPTU enlorment

no.0839970028 hereby declare that the Research Project Report titled To

study the marketing strategy of Amul milk and others in current

marketscenario is the outcome of my work and the same has not been

submitted by any university/ Institute for the award of any degree or any

Professional diploma.

Date:

----------------------------

(Syed Salman Ali)

Date post:	17-Feb-2018
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