Marketing Mix Heritage Theory Due

INTRODUCTION

Milk -one of greatest gift that god has bestowed on human being yes, when

for the first time a child descends from the womb of mother on to this earth what

else could quench the thirst / hunger of the baby –the first diet, the multination, is

milk…

So I concluded to undergo my summer training program in the dairy industry.

I went to Heritage dairy for the industrial training for a period of 45 days.

This industrial training makes the management students undergo partially which they

know theoretically .M.B.A student can be image in the problems with the theoretical

knowledge he has , but he can only solved it when he has practical experience or

knowledge.

So, ti is a compulsion for all MBA students to undergo months practical training in

their concernced subjects in any industry or company. After that we are required to

submit a project report on the practical experience we have acquired.

So I have undergone to the practical training in one of the leading diaries in Andhra

Pradesh i.e. Heritage dairy, which is situated on APIIC Growth Centre, BOBBILI.

SRI SATHYA SAI PG COLLEGE,PALIVELA 1 ANDHRA UNIVERSITY

NEED OF THE STUDY

To meet the cutthroat competition existing in the modern world this

emphasizes on purposeful learning experiences under natural condition.

To give lot of practical exposure and the real working environment.

To recognize the practical implementation of everything learned.

To get a vivid knowledge of management theories and practices.

To satisfy customer / consumer all the ingredients marketing mix viz.,

Price, place & promotion must be mixed properly


OBJECTIVES OF THE STUDY

This study was contact I with an objective of getting an insight of present

market share achieved and steps taken to maintain it in vizianagaram and in adjacent

areas. These study enterprises on the marketing strategy developed in order to meet

the developing in the market. Another important objective of this study conducted is

to know and understand the penetration of Heritage co operative dairy in

vizianagaram and the suburbs as compared to others.

The main objective of the study can be more clearly enumerated as:

1. To know the market share of Heritage.

2. To find out the quality of the heritage products in the market.

3. To know the interaction with customers.

4. To find out whether supply meets demand.

5. To know the promotional activities of heritage products.


METHODOLOGY

A good research study is necessary as it minimizes the dangers of haphazard

collection of information. Research design is a framework or plan for the study guide,

the collection and analysis of the data. Considering the objectices of the study

different types of research , plans have been done. The study tends to the conclusive

in nature . an fine effort reflecting on the conclusive result . basing on the conclusive

result helped a lot in taking a rational decision

SOURCES OF DATA:

Towards the accomplishment of the mentioned objective, information would

be obtained from primary as well as secondary data sources;

After the objectives has been stated clearly, the next task was to collect

relevant data regarding the research study . the data the Indian and international dairy

scenario were collected from the internet. Primary data will be generated by meeting

different executives in the company. Although, there was some data from newspaper

and magazines but the major portion was given by the company i.e. the officials of

the respective departments. Most of the data and figures were collected from the

records of the company, in fact the above collected data was not enough so there was

need or primary source of data so, the primary data involves data collected from few

retailers and from few consumers.

Secondary data is concerned with the Information Pertaining to

Interactive Marketing organized over a period which will be obtained by referring to

record of the statistical departments. In-house magazines, journals, newspapers and

other published materials will be used for reference and collection of necessary data.


DATA COLLECTION INSTRUMENTS:

The basic instrument used in collecting the data in this survey is the

questionnaire. Apart from that we had also gone through the records of the company.

The data collected from the above includes.

1. Data regarding Heritage dairy

2. Data regarding the highest selling product

3. Data regarding total sales and market shares of Heritage dairy

4. Data regarding effect of promotional activities undertaken by Heritage dairy

5. Data regarding the consumers perceptions about quality of milk availability of the

products and price of the products.

6. Data about Heritage dairy and competitors share in the market i.e. vizianagaram

and suburbs.

The questions was prepared by us under the guidelines of the sr. manager

(marketing), Heritage dairy, although most of the questionnaires were useful but

some of the questions were not answered properly by the responds. Some questions

like high recall rate and questions regarding promotional activity were not answered

properly, perhaps the consumers had never thought with that concern and interest.


LIMITATIONS OF THE STUDY

Inspire of honest and sincere efforts by the researchers there are bound to be certain

discrepancies and inconsistencies. Again there were several limitations both statistical

and non-statistical within which the research has been carried out.

Some of the limitations felt and faced are:

1. The whole research study was carried out in some part of vizianagaram only.

Therefore, the result may not same in zonal basis.

2. It is very difficult to generalize the main findings, as the sample size is very small.

3. Some of the findings have been taken in this research are based on opinion,

attitudes feelings and perceptions of few respondents.

4. The major limitation in this research study is lack of co-operative from few

department heads due to probably lack of time.

5. Most of the heads of departments were reluctant to receive at first sight.the

researchers had to visit number of times to obtain required data.

6. Another greatest limitation of the research study was lack of time.


MILK INDUSTRY PROFILE

INDIAN SCENARIO OF DAIRY INDUSTRY:

The main stay of Indian farmers has been agriculture and allied occupations, farm ,

animals, especially catties have been an integral part of rural India for thousands of

years. During the year 1920 military farms were established to supply adequate raw

milk to the stations. these were well maintained and improved hence forth.

In 1940 the first farmers integrated dairy co –operative was established in kaira

district “ anand” , which later came to be kmown as “AMUL” . Amul and greater

Mumbai milk scheme set together a faster pace of dairy , developed with emphasis on

developed techniques of precessing and marketing under Indian consitions. In India

the state with highest production is milk is Gujarat.

INSTITUTIONAL SUPPORT TO CO-OPERATIVE DAIRYING INDIAN

DAIRY CORPORATION:

The Indian dairy corporation was set up under company act on 13th February 1970 .it

is a government of India under taking .the immediate need to set up IDC was to

handle the properly known as “operation flood “.

India has emerged as the world’s top dairy nation with milk production crossing

75 million tons in 1997 -98. India is placed second in milk production when

compared to USA.

The Indian dairy industry production is estimated to have risen from the low of 20

million tons to 75 million tons .though our country accounts 25% of the total

agricultural animals, yet the production of milk is only 65% of the world production.


India is the second largest populated country and consumption of milk is also high .in

order to meet the requirements of the people the government started the program

“operation flood .” and developed subsequently .in every five year plan emphasis is

given on agriculture ,which also indicates dairying and farming .

It is estimated that per capita consumption of every Indian is 118 grams .but

the minimum requirement of good healthy is 210 grams per day .it is also estimated

that consumption of milk for this year would be 64.40 million tons this

year .therefore, it is necessary to develop dairy farming in India .

HERITAGE DAIRY:

The Heritage Group, founded in 1992 by Sri Nara Chandra Babu

Naidu, is one of the fastest growing Private Sector Enterprises in India, with four-

business divisions viz., Dairy, Retail, Agri, and Bakery under its flagship Company

Heritage Foods (India) Limited (HFIL), one subsidiary - SKIL RAIGAM POWER

Limited. The annual turnover of Heritage Foods crossed Rs.900 crores in 2010-11

and is aiming for Rs.1100 crores during2011-12.

Presently Heritage’s milk products have market presence in Andhra

Pradesh, Karnataka, Kerala, Tamil Nadu, Maharastra and Orissa and its retail stores

across Bangalore, Chennai and Hyderabad. Integrated agri operations are in Chittoor

and Medak Districts and these are backbone to retail operations. The state of art

Bakery division at Uppal, Hyderabad, AndhraPradesh.


VISAKHA DAIRY:

Sri Vijaya Visakha Milk Producers Company Limited., [Visakha Dairy],

Visakhapatnam in Andhra Pradesh, is having their procurement operations in Costal

Andhra districts, viz, Srikakulam, Vizianagaram and Visakhapatnam & in East

Godavari and Sales operations across India.

The Government after considering dairying as one of the instruments for

bringing socio economic development in the rural areas, To overcome this object, the

Dairy was started in the year 1973 with handling capacity of 10000 liters per day in

Visakhapatnam under cooperative act with milk procurement operations in 50

villages. Now the Dairy is procuring the milk from 2744 villages in Costal Andhra

areas by serving 2,07,925 milk producers.

The Dairy was converted to Mutually Aided Cooperative Act-1995 in the

year 1999 as ‘Srivijayavisakha District Milk Producers Mutually Aided Cooperative

Union' and the Dairy was converted to Company Act-1956 with effect from

06.01.2006 as ‘SriVijayaVisakha Milk Producers Company Limited’. The

Procurement and Production graph growth is increasing year after year with more

participation of the rural farmers.

TIRUMALA MILK PRODUCTS (P) Ltd:

Tirumala Milk Products Private Limited is a professionally managed

company engaged in the manufacture of a wide range of Dairy Products which

include Milk in Sachets, Sweets, Flavored Milk, Curd in Cups and Sachets, Milk

Powder, Butter, Ghee and Butter Oil both in bulk as well as in consumer packs.

Established in 1998, Tirumala Milk Products (P) Ltd. is one of the fastest

growing Private Sector Enterprises in India with a team of dedicated professionals.

The company has one of the most modern and versatile plants in the Indian Dairy

Industry with state-of-the-art technology. Tirumala Milk Products (P) Ltd. products

meet stringent quality control tests and cater to the premium segment of the market

for Dairy Products. Tirumala Milk Products (P) Ltd. is presently implementing an

expansion programme and proposes to launch new products in the near future.


Presently our market presence is in Andhra Pradesh, Karnataka and Tamil

Nadu. We handle 7 Lakh liters of milk per day in our packing stations and dairy

plant, which is the single largest plant in the state of Andhra Pradesh. Our Registered

Office is located at Narasarao Pet, Gutur Dist and Corporate Office is located at

Ameerpet, Hyderabad.

VIJAY DAIRY:

In the year of 1974, Mr. Jagjivandas Patel, founder of Vijay Dairy and

Sweets, has started selling milk in a small pot in small town of Surat. After that his

four sons have developed the business from one pot to three big outlets in Surat city.

In 1981, the group has opened its first such outlet on busy road of Adajan

Patiya of Surat City. Local people appreciated quality of all products sold by the

outlet and asked for establishment of more outlets in other areas.

After that word-of-mouth was the only advertisement tool for gaining

popularity in across the city. In the year 1990, the group opened its second outlet for

taste lover citizens of Surat at Palanpur Patiya area of the city. Revenue from this

outlet has soon crossed revenue earned by the first outlet.

In the year 1997, the group stated its third selling point at Vishal

Nagar,New Sardar Bridge. With time, the company has changed its strategy, and

started innovations in preparing sweets and dairy products. Today at Vijay Dairy and

Sweets, you will find traditional sweets of all regions of India.

NRI customer base is also increasing day-by-day. For them we serve our milk

and milk products in the best packaging material so that the product maintains its

original taste and quality for longer period. The promoters are used to travel across

India and bring product of that region under the roof of Vijay Dairy and Sweets


MOTHER DAIRY:

Mother Dairy markets & sells dairy products under the Mother Dairy brand,

Dhara range of edible oils and the Safal range of fresh fruits & vegetables, frozen

vegetables and fruit juices at a national level through its sales and distribution

networks for marketing food items.

Mother Dairy is an IS/ ISO-9002, IS-15000 HACCP and IS-14001 EMS

certified organization. Moreover, its Quality Assurance Laboratory is certified by

National Accreditation Board for Testing and Calibration Laboratory (NABL)-

Department of Science and Technology, Government of India.

Mother Dairy markets approximately 2.8 million liters of milk daily in the

markets of Delhi, Mumbai, Saurashtra and Hyderabad. Mother Dairy Milk has a

market share of 66% in the branded sector in Delhi where it sells 2.3 million liters of

milk daily and undertakes its marketing operations through around 14,000 retail

outlets and 845 exclusive outlets of Mother Dairy.


DAIRY INDUSTRY AT A GLANCE

INERNATIONAL SCENERIO OF DAIRY INDUSTRY

THE LIQUID MARKET:

Average of 14 billion of milk were produced every year in uk, 73 billion tons in USA

and India’s production is around 75 million tons, half of the total production of the

milk is used for manufacturing other products. In u.k the liquid milk sales has been a

decline since the last decade.

Since 1980 more than 90% of milk was purchased form the milkman, by 1980 this

declined to 89% , in 1985 to 81.9% , in 1990 to 68.3% , and by 1995 doorstep

delivery accounted for 44.5% of all milk purchased . sales in supermarkets and small

shops increased in relation to the decline in doorstep share.

CONTAINERS:

About 86% of all the household milk sold in England, Scotland and Wales is

sold glass bottles, while plastic containers claiming 50% of the market and cartons

occupies the remaining 19% . Virtually, all milk sold in glass bottles is sold in

doorstep delivery while disposable packaging accounts for almost all shop sales

Major types of milks available internationally are:

whole milk : energy value 38 calories and fat content is 3.5% .

semi skimmed milk: energy value is194 calories and tat content 0.1%

homogenized milk: all the fat are spread uniformaly , no cream layer is found.


COMPANY PROFILECOMPANY PROFILE

HERITAGE AT A GLANCE:

The Heritage Group, founded in 1992 by Sri Nara Chandra Babu

Naidu, is one of the fastest growing Private Sector Enterprises in India, with three-

business divisions viz., Dairy, Retail and Agri under its flagship Company Heritage

Foods (India) Limited (HFIL), one infrastructure subsidiary - Heritage Infra

Developers Limited and other associate Companies viz., Heritage Finlease Limited,

Heritage International Limited and Heritage Agro Merine Private Limited. The

annual turnover of Heritage Foods crossed Rs.347 crores in 2006-07 and is aiming for

Rs.700 crores during 2007-08.

Presently Heritage’s milk products have market presence in Andhra Pradesh,

Karnataka, Kerala, Tamil Nadu and Maharashtra and its retail stores across

Bangalore, Chennai and Hyderabad. Integrated agri operations are in Chittoor and

Medak Districts and these are backbone to retail operations.

In the year 1994, HFIL went to Public Issue to raise resources, which

was oversubscribed 54 times and its shares are listed under B1 Category on BSE

(Stock Code: 519552) and NSE (Stock Code: HERITGFOOD)

ABOUT THE FOUNDER:

Sri Chandra Babu Naidu is one of the greatest Dynamic, Pragmatic,

Progressive and Visionary Leaders of the 21st Century. With an objective of bringing

prosperity in to the rural families through co-operative efforts, he along with his

relatives, friends and associates promoted Heritage Foods in the year 1992 taking

opportunity from the Industrial Policy, 1991 of the Government of India and he has

been successful in his endeavor.


At present, Heritage has market presence in all the states of South India. More

than three thousand villages and five lakh farmers are being benefited in these states.

On the other side, Heritage is serving more than 6 lakh customers needs, employing

more than 700 employees and generating indirectly employment opportunity to more

than 5000 people. Beginning with a humble annual turnover of just Rs.4.38 crores in

1993-94, the sales turnover has reached close to Rs.300 crores during the financial

year 2005-2006.

Sri Naidu held various coveted and honorable positions including

Chief Minister of Andhra Pradesh, Minister for Finance & Revenue, Minister for

Archives & Cinematography, Member of the A.P. Legislative Assembly, Director of

A.P. Small Industries Development Corporation, and Chairman of Karshaka Parishad.

Sri Naidu has won numerous awards including " Member of the World

Economic Forum's Dream Cabinet" (Time Asia ), "South Asian of the Year " (Time

Asia ), " Business Person of the Year " (Economic Times), and " IT Indian of the

Millennium " (India Today).

Sri Naidu was chosen as one of 50 leaders at the forefront of change in

the year 2000 by the Business Week magazine for being an unflinching proponent of

technology and for his drive to transform the State of Andhra Pradesh.

FORWARD LOOKING STATEMENTS:

“We have grown, and intended to grow, focusing on harnessing our

willingness to experiment and innovate our ability to transform our drive towards

excellence in quality, our people first attitude and our strategic direction.

MISSION:

Bringing prosperity into rural families of India through co-operative

efforts and providing customers with hygienic, affordable and convenient supply of "

Fresh and Healthy " food products.


VISION:

To be a progressive billion dollar organization with a pan India foot

print by 2012.To achieve this by delighting customers with "Fresh and Healthy" food

products, those are a benchmark for quality in the industry.

We are committed to enhanced prosperity and the empowerment of the

farming community through our unique "Relationship Farming" Model.

To be a preferred employer by nurturing entrepreneurship, managing

career aspirations and providing innovative avenues for enhanced employee

prosperity.

HERITAGE SLOGAN:

When you are healthy, we are healthy

When you are happy, we are happy

We live for your "HEALTH & HAPPINESS"

QUALITY POLICY OF HFIL:

We are committed to achieve customer satisfaction through hygienically

processed and packed Milk and Milk Products. We strive to continually improve the

quality of our products and services through up gradation of technologies and

systems.

Heritage's soul has always been imbibed with an unwritten perpetual

commitment to itself, to always produce and provide quality products with

continuous efforts to improve the process and environment.


Adhering to its moral commitment and its continuous drive to achieve

excellence in quality of Milk, Milk products & Systems, Heritage has always been

laying emphasis on not only reviewing & re-defining quality standards, but also in

implementing them successfully. All activities of Processing, Quality control,

Purchase, Stores, Marketing and Training have been documented with detailed

quality plans in each of the departments.

Today Heritage feels that the ISO certificate is not only an epitome of

achieved targets, but also a scale to identify & reckon, what is yet to be achieved on a

continuous basis. Though, it is a beginning, Heritage has initiated the process of

standardizing and adopting similar quality systems at most of its other plants.

COMMITMENTS:

MILK PRODUCERS:

Change in life styles of rural families in terms of:

Regular high income through co-operative efforts.

Women participation in income generation.

Saved from price exploitation by un-organized sector.

Remunerative prices for milk.

Increase of milk productivity through input and extension activities

Shift from risky agriculture to dairy farming

Heritage

Financial support for purchase of cattle; insuring cattle

Establishment of Cattle Health Care Centers

Supplying high quality Cattle feed


Organizing "Rythu Sadasu" and Video programmes for educating the farmers

in dairy farming


CUSTOMERS:

Timely Supply of Quality & Healthy Products

Supply high quality milk and milk products at affordable prices

Focused on Nutritional Foods

More than 4 lakh happy customers

High customer satisfaction

24 hours help lines ( <10 complaints a day)

EMPLOYEES:

Enhancing the Technical and Managerial skills of Employees through

continuous training and development

Best appraisal systems to motivate employees

Incentive, bonus and reward systems to encourage employees

Heritage forges ahead with a motto "add value to everything you do"


SHAREHOLDERS:

RETURNS:

Consistent Dividend Payment since Public Issue (January 1995)

SERVICE:

Highest impotence to investor service; no notice from any regulatory authority

since 2001 in respect of investor service

Very transparent disclosures

SUPPLIERS:

DOEHLAR: Technical collaboration in Milk drinks, yogurts drinks and fruit

flavored drinks Alfa-Laval: supplier of high-end machinery and technical support

Focusing on Tetra pack association for products package.

SOCIETY:

Potential Employment Generation

more than 3500 employees are working with heritage

more than 9500 procurement agents got self employment in rural areas

more than 5000 sales agents associated with the company

Employment for the youth by providing financial and animal husbandry

support for establishing MINI DAIRIES

Producing highly health conscious products for the society


QUALITIES OF MANAGEMENT PRINCIPLES:

1. Customer focus to understand and meet the changing needs and expectations

of customers.

2. People involvement to promote team work and tap the potential of people.

3. Leadership to set constancy of purpose and promote quality culture trough out

the organization.

4. Process approach to assess the efficiency and effectiveness of each process.

5. Systems approach to understand the sequence and interaction of process.

6. Factual approach to decision making to ensure its accuracy.

7. Continual improvement processes for improved business results.

8. Development of suppliers to get right product and services in right time at

right place.

PRODUCT/MARKET WISE PERFORMANCE:

The total turnover is Rs 341 Crores during the financial year 2006-07

against the turnover of 292.02 Crores. Today Heritage distributes quality milk & milk

products in the states of A.P, Karnataka, Kerala & Tamil nadu.

During the year 2006-07 liquid milk sales was Rs.28329.79 lakhs

against Rs.24525.23 lakhs in the previous year. The sales of miik products including

bulk sales of cream, ghee and butter were recorded Rs 5781.59 lakhs against Rs

4677.21 lakhs.

MILK SALES:

23% growth was recorded in AP 2.38 lakhs litres per day(LLPD) in 2006-07

against 1.93 LLPD in 2005-06. 13% growth was recorded in Tamilnadu-1.53 LLPD


in 2006-07 against 1.35 LLPD in 2005-06. Over all growth of 6% was recorded- 5.49

LLPD in 2006-07 against 5.16 LLPD. Flavoured milk sales recorded a growth rate of

77% over 2005-06. Butter milk sales have gone up by 45% over 2005-06.

OUTLOOK:

Considering the growth potential in the liquid milk market, the

company has drawn plans to increase its market share in the existing markets and to

enter into new markets there by doubling revenues in dairy business in the next 3

years. To achieve this object, company is undertaking major expansion in dairy

business by inverting over Rs20 crores during 2006-07 and over Rs10 crores during

the current year to strengthen the milk procurement.

BRANCHES OF HFIL:

HFIL has 3 wings. They are

1. Dairy

2. Retail

3. Agribusiness

1. DAIRY:

It is the major wing among all. The dairy products manufactured by HFIL are

Milk, curd, butter, ghee, flavoured milk, paneer, doodhpeda, ice cream.

2. RETAIL:

In the retail sector HFIL has outlets namely “Fresh@”. In those stores the

products sold are vegetables, milk& milk products, grocery, pulses, fruits etc.


In Hyderabad 19 retail shops are there. In Bangalore& Chennai, 3&4

respectively are there. Totally there are 26 retail shops are there.

Fresh@ is a unique chain of retail stores, designed to meet the needs of

the modern Indian consumer. The store rediscovers the taste of nature every day

making grocery shopping a never before experience.

The unique& distinctive feature of Fresh@ is that it offers the widest

range of fresh fruits and vegetables which are directly hand picked from the farms.

Freshness lies in their merchandise and the customers are always welcomed with

fresh fruits and vegetables no matter what what time they walk in.

3. AGRI BUSINESS:

In this business HFIL employees will go to farmers and have a deal

with them. Those farmers will sell their goods like vegetables, pulses to HFIL only.

And HFIL will transport the goods to retail outlets.

The agricultural professors will examine which area isThe agricultural professors will examine which area is

suitable to import vegetables from and also examine the vegetables,suitable to import vegetables from and also examine the vegetables,

pulses and fruits in the lab. And finally they report to the Head-pulses and fruits in the lab. And finally they report to the Head-

Agribusiness. Representatives as per the instructions given by theAgribusiness. Representatives as per the instructions given by the

agri professors will approach the farmers directly and make a dealagri professors will approach the farmers directly and make a deal

with them. It is the process of registering the farmers.with them. It is the process of registering the farmers.

BOARDOFDIRECTORS:

Sri D. Seetharamiah, Chairman, aged 83 years, a commerce graduate from the

Andhra University and a member of the Institute of Chartered Accountants of India,

is the senior partner of Brahmayya & Co., a leading Chartered Accountants firm. He

has been in practice for the last four decades. He had occupied several coveted

positions, which include, Membership of the Southern Regional Board of Reserve

Bank of India, Federation of Andhra Pradesh Chamber of Commerce and Industry,


Chairmanship of Tirumala Tirupati Devasthanams Trust Board etc. He is also on

Board, of severaI Companies.

Sri K. Kannan, Additional Director, aged 70 years, is an F.C.A and

I.C.W.A and Honorary Member of the Indian Institute of Bankers. He started his

career as a direct recruited officer in 1965 in Bank of Baroda and worked in various

capacities in the same Bank upto 1992. Thereafter he was appointed as its Chairman

and Managing Director and served between 1995 to 1999. He had the occasion to

render its services overseas as Vice-President between 1982-84 at New York and

General Manager of U.K Operations of Bank of Baroda. Apart from this he was also

the Chairman of IBU “international Finance Limited, honking, Chairman BOB Cards

Ltd. He had held the position as Director in several companies like discount and

finance house of India, Visa International Pacific, Agricultural Finance Corporation,

New India fire and General Assurance Co.Ltd, Andhra Pradesh State Financial

Corporation. Apart from this he is also on the Board of directors of several Limited

Companies. He had the core banking experience for over 30 years and handled

successfully several cases of reviving, rehabilitating and reconstruction of the sick

industries.

Dr. A. Appa Rao, Director, aged 83 years, a B.Sc.(Agri), Ph.D. in Agriculture

(Madras University), completed his post doctoral work at Kansas State University as

TCM-USA Scholar, retired as the Vice Chancellor of the Andhra Pradesh

Agricultural University. He is an author of around 40 papers published in the fields of

Plant Pathology and Agricultural Research & Education. Being associated with the

IDRC financed Agricultural Research Management (Asia) Project, was instrumental

in implementing SEARCA, Philippines for over 5 years. He is also a Director in

several Companies and a member of several committees including the ICAR.


Dr. V. Nagaraja Naidu, Director, aged 62 years, an M. Com, M. Litt and a PhD.

(Financial Management), starting from Administrative Staff College of India,

Hyderabad in 1972 held various positions in reputed Universities, Viz., Professor,

Dean Director etc., and taught in the fields of Finance and Business Economics at

Post graduate and Doctorate levels for about 25 years. He had been the Registrar

(Administrative head) of the Dr B R Ambedkar Open University for about 10 years.

He has been associated with the Company since inception and has been able to utilize

his intimate understanding of the rural socio economic scenario to strengthen the milk

procurement systems and strategies of Heritage, which contributed to the current

status of Heritage as a leading player in South India.

Dr. N. R Sivaswamy, Director, aged 73 years, a LL.B, M.A. (Economic), M.A.

(Public Administration), Ph.D. in Economics (University of Wisconsin, U.S.A) and a

Fellowship holder of the Ford Foundation, U.S.A, is a leading Advocate and Tax

consultant and author of a book titled "Employment potential of the Indian Industrial

Sector" and several other articles and Journals. He retired as the Chairman of the

Central Board of Direct Taxe

Sri N. P Ramakrishna, Director, aged 63 years, who has substantial experience in

the transport business, has a thorough understanding of the systems of milk

procurement and transportation and has enabled Heritage to strengthen its main milk

procurement base at Chittoor, Bangalore and nearby areas. He is also the Managing

Director of Hotel Ramakrishna Private Limited situated at Chittoor and was

Chairman of the Chittoor Co-operative Sugar Factory.


Smt N. Bhuvaneswari, Vice-Chairman & Managing Director, aged 47 years, a B.A,

is a dynamic leader who has extensive experience in business and has been

successfully steering Heritage towards growth and better prospects. She is also a

Director in several other Companies.

Sri Lokesh Nara, Executive Director, aged 27 years, completed his Master’s Degree in

Business Administration from Stanford University and graduated with a Bachelor of Science

degree in Management Information Systems from Carnegie Mellon University. Before

joining the Board of Heritage Foods, he was associated with the Company as a Vice-

President of the Retail division. Before joining Heritage Foods, he worked with the World

Bank as a Junior Professional Associate where he completed various projects including an e-

Governance Capacity Building program for the government of Ethiopia, and e- Governance

Capacity Building program for the governments of South Sudan and Kenya. He has over

three and half years of experience in the areas of strategic business and information

technology.

PRODUCTS:


Milk (Poly Pack)

UHT Milk

Curd


http://www.heritagefoods.co.in/dairy/curd.html

http://www.heritagefoods.co.in/dairy/uhtmilk.html

http://www.heritagefoods.co.in/dairy/milk.html

http://www.heritagefoods.co.in/dairy/milk.html

http://www.heritagefoods.co.in/dairy/uhtmilk.html

http://www.heritagefoods.co.in/dairy/curd.html

http://www.heritagefoods.co.in/dairy/buttermilk.html

Butter Milk

Flavoured Milk

Ghee

Doodh Peda


http://www.heritagefoods.co.in/dairy/products.html

http://www.heritagefoods.co.in/dairy/ghee.html

http://www.heritagefoods.co.in/dairy/flavouredmilk.html

http://www.heritagefoods.co.in/dairy/buttermilk.html

http://www.heritagefoods.co.in/dairy/flavouredmilk.html

http://www.heritagefoods.co.in/dairy/ghee.html

Paneer

Ice Cream

Cooking Butter





Lassi

Fresh Cream


http://www.heritagefoods.co.in/dairy/cream.html


http://www.heritagefoods.co.in/dairy/cream.html

The concept of marketing mix is an important development in the field of marketing.

The determination of marketing mix is the basis of sound marketing programme.

During the marketing programme process, the marketing strategy is adopted by a firm

are spell out. Marketing strategy drawn up by the management of firm explain as to

how the firm is achieve its objectives. Marketing strategy is the marketing logic

which the business firm expected to achieve its marketing objectives. It consisting of

marketing decisions on the businesses marketing expenditures, marketing mix and

marketing allocations in relation to expected environmental and competitive

conditions. Thus marketing mix is an important element of marketing strategy.

Milk & milk products play a vital role in countries agriculture

economy. Milk has 1st among all agriculture produce in India dairying provide source

of income to million of farmers. It create lively hood to about 75 % population of the

country. Majority of them are low income groups of rural areas.

The dairy unit all over India under five year plane were taken up with

dual objective of increasing the national level of milk consumption and ensuring

better return to the primary milk producers.

Moderate world is competitive and consumers occupy a pivotal

position. All baseness activities are directed towards him in such a manner that

consumer satisfaction can be achieved in the modern world products is produced and

services are rendered as per the taste, requirement and needs of the target consumers.


MARKETING MIX WITH SPECIAL REFERENCE TO HERITAGE

DAIRY

Every organization, which ishaving production of goods and sales in the markets,

should have a well-prepared mix strategy. The marketing mix of the organization

should be planned in such a way that it should suit the competitors marketing

strategies, economic conditions of the people etc.

Heritage dairy is completely a milk-oriented dairy. It deals with milk and milk

products. Milk is very delicate food, which can get spoiled very easily with a little

carelessness. Hence much care should be taken by the organization starting from

procurement to distribution channel is though not a larger one yet for this particular

organization the present channel is sufficient.

Heritage dairy is having many products. It is having a wide product mix ad product

line. Earlier Heritage dairy was declined by a very little extent. The competition in the

market lead to increase in the promotional activities of the organization. Though the

competitors came into existence yet there exists brand loyalty among many-

consumers.

PRODUCT:

Heritage Dairy is an organization, which is completely involved in providing services

to the customers and the farmers from whom milk, is being procured.

Though it is a profit oriented firm yet it is charging only reasonable amount from the

customers for their products being sold. Heritage dairy is improving and increasing

many product varieties day by day. They are conduction researches and producing

products, which are useful to public at large. The basic definition of the product is

“anything that can be offered to a market to satisfy a want or need”.


FIVE-PRODUCT LEVELS OF HERITAGE DAIRY ARE:

CORE BENEFIT:

The fundamental benefit, which the customer is really buying, is the energy. Milk has

good content of vitamins, proteins and fats.

BASIC PRODUCT:

It is the product, which offers services or satisfies the needs of the consumers in case

of Heritage dairy the basic products are milk, buttermilk, flavored milk, ghee,

pannier, sweets etc.

EXPECTED PRODUCT:

A set of attributes, which the consumers normally agree and expect when they

purchase the product. In case of Heritage dairy naturally the expected attributes are

good quality and the hygienists. The consumers expect certain amount of attributes,

which the organization has promised in its product and naturally the customers of

Heritage dairy too expects the same.

AUGMENTED PRODUCT: The products, which meet the customer’s

expectations of the product beyond their desires, are augmented product. Heritage

dairy is always trying to go beyond the expectations of the customers. They are

improving their products according to the tastes and preferences of the customers.


POTENTIAL PRODUCT:

These products encompass all the augmentations and transformations that the product

might ultimately undergo in the future. Heritage dairy is producing tetra packs.

PRODUCT PROFILE OF THE ORGANISATION

The products of Heritage dairy are numerous. They are producing all possible

products, which can be made out of milk. The basic products of Heritage dairy are

milk ghee, flavored milk, butter milk, pannier etc.

MILK:

WHOLE MILK/ FULL CREAM MILK:

1. Fat content of the milk is 60%

2. Solids not fat percentage of milk is 9%

3. Bacteria free and hygienic.

4. Total sales per day is 23000 liters

Toned milk:

Fat content of the milk is 3%.

Solids not fat percentage of milk is 8.5%.

Total sales per day are 13000 liters.

Double toned milk:

Fat content of the milk is 1.5%.

Solids not fat percentage of milk is 9%.

total sales per day is 25000 litres

For naval only.

Tetra packs milk (U.H.T. processed milk):

fat content of the milk is 1.5%,3%,4.5%

solids not fat percentage of milk is 9%,8.5%

Bacteria free and hygienic (it can be stored up to 2 months).

Ready for consumption.


GHEE:

Complete fat content (99.6%).

Granular and white in color.

DOODTH PEDA:

The mouth lickering, the delicious doodth peda. This is one of the best products

produced by Heritage dairy, which is an pure milk extract with a very good state and

quality.Milk cake, mysore pak, badam burfi. Even sweets are prepared with milk,

pure ghee and milk powder. All these products are good sources of energy.

PLACE/DISTRIBUTION OF CHANNEL:

Distribution channel plays a vital role in the successful marketing of

most products, especially consumer products. A marketing channel performs work of

moving goods and services from producer to consumer. Depending upon the product

type the distribution channel is decided. The length of the channel depends upon the

number of intermediaries.

Distribution is the process, which starts when the product is ready for the

consumption. This process may include middleman also. Heritage dairy distributors

milk packets to the commission agents, direct to the consumers through vans. These

vans will be sent in time in time to the required places.

Customers will be satisfied only when they get product without pain. In order to

maintain customer satisfaction the products are being distributed on time by arranging

effective transport system.


Channel 1:

In this channel the milk is being distributed to the consumers through the

commission agents. These commission agents are playing vital role in the sales of

Heritage dairy milk.

This channel is the most important channel maximum of sales is being achieved

through this channel. This is the easiest channel through which consumers can

acquire the milk. These commission agents in turn appoint delivery boys for supply to

customers. This is the easiest channel where goods will be delivered directly to the

consumer at the doorsteps through the commission agents. Milk will be supplied to

agents through dairy vans in morning times. This facility makes commission agents

comfortable and motivated. Even cash is collected at the sale points itself.

PLANT

COMMISSION AGENTS

DELIVERY BOYS

CONSUMER


Channel II:

This channel includes retailers where the milk products like

buttermilk, doodh peda, flavoured milk, ghee, etc, which are being sold by Heritage

dairy.

PLANT

RETAILER

CUSTOMER

A retailer is a person who sells goods to the ultimate customers. In

case of Heritage dairy at some of the areas from where every customer can busy dairy

products. It has given retailer shop o the outsiders. In these retail outlets customers

can get milk products other than milk like ghee, flavoured milk, doodh peda, etc

Channel III:

In fact this cannot be considered as a channel because there are no

intermediaries between the organization and the customer. Here the customers are in

direct contact with the dairy. They give orders for the special occasions to dairy, these

orders will be met on time by the Heritage dairy personnel. The customer can book

orders directly to the organization or they can even book through their booth agents.

The hotels, restaurants and other sweet merchants use even this

channel. There will be direct contact between the customer and the Heritage dairy.

The transactions will be only through marketing department.


This channel can also be considered as the zero level channels where

the manufacturer is directly selling to the consumer. This is also a kin of direct

marketing channel. To the products like milk etc. this type of channel is very useful

where the consumer can directly be in contact with the producers.

PLANT

CUSTOMER

Channel IV:

Heritage dairy has recently gone for this channel of distribution. Those

channel consists of stockiest who are equivalent to the dealer. Designing of channel is

not a day to day task in channel management. It is the administration of the dealer

network that constitutes and every day task in channel HERITAGE DAIRY

management . These stockiest were invited by the organization through, the

newspaper ads.

At present Heritage dairy is having four stockiest among various parts of

Vizianagaram. The stockiest of Heritage dairy are:

STOCKIST NAME AREA

Akshay enterprises Kota junction

A.S.Naidu P.B. road

Somaraj milk parlor Parvathipuram

Sathish Vuda colony


HERITAGE DAIRY

STOCKISTS

RETAILER

CONSUMER

PROMOTIONAL ACTIVITIES:

With the development of the technology and heavy competition alone with

production organizations are adopting the promotional activities. They just can not

avoid this. This is the newly coming product in the market of Vizianagaram. So, in

order to acieve the marker share among no.of competitors it has taken the following

activities.It has adopted promotional mix and is spending sizeable amounts on them.

The market share of Heritage dairy is very low when compared to competitors.

In order to increase the market share of Heritage dairy has to spend a

lot on the promotional activities. Since promotion mix is the only media through

which the customers can be made aware of the various milk products, which are

prepared in the dairy. Many of the customers do not know products other than milk

produced by Heritage dairy.


PROMOTIONAL ACTIVITIES ADOPTED BY HERITAGE DAIRY:

Heritage dairy has adopted promotional mix to promote its products. It is advertising

its products both through print media and audio/ visual media.

Section of media of advertising depends upon the product type, range of the media,

depending upon the category on which it being concentrated. There Heritage dairy

has also considered all these factors while approaching for promotional activities.

Heritage dairy products are consumer’s oriented products, which are used by every

class of people. Therefore it has to concentrate on media, which covers all the classes

of people. For the purpose of sales promotion Heritage dairy allots some amounts of

money as any other organization do.

VARIOUS MEDIA OF ADVERTISING OF HERITAGE DAIRY:

AUDIO/ VISUAL MEDIA:

This audio/visual media includes cinema TV, radio, And out door. Heritage dairy is

using all these media effectively. It is promoting its products in all these media.

HOARDINGS:

Dairy had its hoardings at every important place where there is much of scope for the

movement of people in the city. The hoarding sites are studied with much care

because there should be maximum reach and the display of the hoarding should be

prominent. These displays usually consist of the product.


PAINTING:

Heritage dairy is painting its products ads on the buses and auto rickshaws &

on its own vehicles. This is one of the important modes of across these ads even

unintentionally.

If these ads are impressive then they will definitely drags the attention of the people.

Since the vehicles moves to of this advertising is, it is cost effective since these autos

charge very nominal amounts for these advertisements.

SHOP IDENTIFIERS:

The dairy is painting on the shops of the booth agents its logo and captain not free of

cost. These painting are done in such a manner that they should attract the attention of

the people nearby. These paintings are done in colors green and red. This is catchy.

The booth number and agent’s details are also painted on the walls of the booth along

with the contact number of dairy inviting complaints if any.

ADVERTISING THROUGH CABLE NETWORK:

The audio/ visual media will have a very good impact on the viewers of the

advertisements. Heritage dairy is also using this media effectively. The cable network

is reaching wide area of he people hence dairy has booked three-20 seconds spots

during the prime time for its advertisements which mainly concentrates on the brand

loyalty and positive aspects of the dairy milk and its attributes. The ads are mainly

shown in the local cable networks.

CINEMA:

Heritage dairy is also promoting its product through the film media. In

Vizianagaram. People are much entertainment oriented, they spend their leisure time

by watching movies in the theatres. Heritage dairy has been in slide shows at around

20 most widely accepted theatres.


PRINT MEDIA:

Heritage dairy is using print media also. Heritage dairy is giving its ads in

newspapers regularly. Pamphlets on importance of using Heritage dairy milk and

precautions to be taken in summer season are being distributed. They also contain

The disadvantages of not maintaining hygiene property by the outside milk vendors.

According to the market intelligence reports they quality of the milk supplied by

some of the private people do not confirm to the PFA standards.

SALES PROMOTION:

Sales promotion is the key ingredient in marketing campaigns. it can be defined as

“sales promotion consists of a diverse collection of incentive tools, mostly short term,

designed to stimulate quicker or purchase of particular products / services by

consumers or the trade.”

Heritage dairy has adopted the sales promotion activities ,which includes, prize

rewards, discounts,etc.,

Ice boxes supplied to booths at 50%subsidy. Deep refrigerators are supplied

free of cost to important localities agent .

. Heritage dairy is also maintaining good public relations. There is regular

check up at the milk booths to know whether the public is facing any problem with

the booth agents.

PRICING:

Pricing of any product should be done with great care. There are various methods

in pricing and every organization will follow a definite pricing method. Pricing of

product will depend upon the external environment, competitors pricing method,etc.

Heritage dairy also have a particular pricing method. The committee of members

consisting of the following people determines price of any new product. They are

managing director, marketing manager and finance manager.


The pricing varies from place to place. For example about 80% of the total ghee is

exported to out of state and remaining 20% is sold within the state.

As there is more demand for ghee in northern region pricing of the product is also

made by considering the local market of the product, no of competitors etc.

Heritage dairy can be considered as a service sector rather than profit oriented sector.

The system followed by it in pricing a product is

COST BASED PRICING:

In cost based pricing the dairy follow absorption cost pricing . this absorption cost

pricing is also known as full cost pricing. In this pricing technique the unit cost of

product is estimated at the normal level of production and sales.

The method uses standards costing techniques and works out the variable and fixed

costs involved in producing, selling and administering the product.The prices being

charged on each and every product line context of the subject. Therefore it is evident

that the organization is more service oriented rather then the profit oriented when

compared with the amount which should be actually given to the producers of milk.

Depending upon the quality of milk they produce the organization pays them.

100 members from the various categories were contacted during the survey to get

feed back on the sales promotional activities of the Heritage dairy. The maximum

members are the pan shop owners.


Type of respondents No of respondents

Dealers 12

Sweet shops 05

House holders 10

Backery 15

Pan shops 45

Tea shops 08

Juice shops 05


1. Opinion regarding milk products you use.

S. No ProductNo of

respondents

Percentage of

consumers

1 Curd 45 45

2 Butter Milk 39 39

3 Ice Cream 3 3

4 Badam Milk 13 13

Interpretation:

The total survey revealed that the people how they are using milk products. Each

product having different percentages respectively. These are curd consume 45

percent, butter milk consume 37 percent, ice cream consume 3 percent & badam milk

consume 13 percent. Hence from the above it is evident that the consumption of milk

products high in the district.


2.Opinion regarding products that you normally use.

S. No QuantityNumber of

consumers

Percentage of

consumers

1 visakha dairy 45 45

2 Heritage 25 25

3 Others 30 30


Interpretation:

The total revealed that the people were using different brand milk products.

In that the people using visakha dairy45%, heritage dairy 25% Others 30% .hence

from the above it is avident that the consumption of visakha dairy milk is high in the

district.


3.Opinion regarding factors considered to buy milk products.

Interpretation:

The total survey revealed that the people views to buy milk products.

According to consumers taste and preferences they consider different factors. these

are the price 20%,quality 50%, timely availability 20%,and pack size 10%. hence

from the above it is evident that the most successful factor is quality.


S. No Factor

No of

respondents Percentage

1 Price 20 20

2 Quality 50 50

3 Timely Available 20 20

4 Pack size 10 10

4.Opinion regarding quality of Heritage Products.

Interpretation:

The total survey revealed that the quality of heritage products are mostly average

while compare with other products in the market. The results are it has good quality

45%, average quality 50%, poor quality 5%. In overall the quality of the products are

good.

5.Opinion regarding factors influences you to buy Heritage dairy products.


S.NO. FACTOR No of the respondentsPercentage of

respondents

1 Good 45 45

2 Average 50 50

3 Poor 5 5

Interpretation:

The total survey revealed that the people are influenced by above factors

to buy Heritage dairy products. These are good quality 30 %, attractive packing 25%,

timely availability 25% and brand name20%. Hence from the above it is clear that

good quality and timely availability these two factors are influencing on consumers to

buy Heritage dairy products.


S. No Factor

No of

respondents

Percentage of

respondents

1 Good Quality 30 30

2 Attractive Packing 25 25

3 Timely Available 25 25

4 Brand Name 20 20

6. Opinion regarding whether the supply meet demand or not.

Interpretation:

The total survey revealed that the supply of these products are not good even

there is lot of demand for the products the supply chain in vizianagarm isn’t working

properly. So they have to increase the supply in order to meet demand of the product.


S. No Factor No of respondents Percentage

1 Yes 45 45

2 No 55 55

7.Opinion regarding risk involved in selling these products.

Interpretation:

The total survey revealed that there is no risk involved in selling these

goods. Based on time like in winter there is less sale when compare to the summer.

No risk is 70%, rarely risk that is in summer it gets damage are 20% and based on

time are 10%. Hence from the above it is clear that there is no risk involved in buying

these products.


s.no Factor Number of

respondents

Percentage of Respondents

1 Based on

time

10 10

2 Rarely 20 20

3 No risk 70 70

8.Opinion regarding the following sales promotions.

Interpretation:

The total survey revealed that there should be take the following measures

to increase sales in the market. The increase in advertising is 30% , recruite sales

persons is 25% and increase the commission is 45% .

Hence it is clear that by increasing the commission we can easily increase

the sales of the product in the market.

9.

Opinion regarding leakages in these heritage products.


S. No Opinion

No.of

respondents

Percentage of

Respondents

1 Increase advertising 30 30

2 Promote sales persons 25 25

3 Increase commission 45 45

S. No Opinion

No of

respondents

Percentage of

Respondents

1 Yes 0 0

2 No 97 97

3 Rarely 3 3

Interpretation:

The total survey revealed that the following opinions about leakage problems

in heritage products. 97% told that there is no leakage, only 3% told that rarely

leakage due to transportation. Hence from the above it is clear that there is no leakage

in heritage dairy products.


10.Opinion regarding service of heritage milk products in market.

Interpretation:

The total survey revealed that the service of heritage products is average when

compare to the rivals. 45% of the respondents told that the service is good,55% of

respondents told that the service is average and 5% told that the service is not good.

Hence from the above it is evident that the service of heritage products is

good in the market.


S. No Opinion

No.of

respondents

Percentage of

Respondents

1 Good 40 40

2 Average 55 55

3 Not good 5 5

11. Opinion regarding whether you satisfy with given commission or not?

Interpretation:

The total survey revealed that they are not satisfied with the commission

given by the heritage dairy. 40% are satisfied with commission and 60% are not

satisfied with commission.

Hence from the above it is clear that the respondents are not satisfied

with commission.


S. No

No. Of

respondents

No.of

respondents

Percentage of

respondents

1 Satisfied 40 40

2 Not satisfied 60 60

12. Opinion regarding the sources you are aware of heritage products.

Interpretation:

The total survey revealed that the all the customers aware about the heritage

products in the market. Most of them are aware by news papers and sign boards both

of 30% , 25% are aware by television, 15% are by other advertisements.

Hence from the above it is clear that the respondents are aware of heritage and we

have to increase the advertise.


S. No Factors

No.of

respondents

Percentage Of

Respodents

1 News papers 30 30

2 Television 25 25

3 Sign boards 30 30

4 Others 15 15

13. Opinion regarding quantity of milk that you purchase every day.

Interpretation:

The total survey revealed that the most of the respondents are willing to

buy 5lt & above milk and others are willing to buy according to their capacity of

selling the outlets.


S. No Quantity

No.of

respondents

Percentage of

Respondents

1 2lt & above 25 25

2 5lt & above 40 40

3 8lt & above 20 20

4 10lt & above 15 15

14. Opinion regarding whether you need any changes for the products.

Interpretation:

The total survey revealed that there should be change in the delivery of the

products.30% of the respondents want change in delivery , 23% want change in

quality , 20% want change in quantity,18% want change in price of the product and

remaining are of other changes in the product.

Hence from the above it is clear that there should be change in delivery

of the products.


S. No

Changes

needed

No.of

respondents Percentage

1 In delivery 30 30

2 Quality 23 23

3 Quantity 20 20

4 Price 18 18

5 Others 09 9

15. Opinion regarding whether you recommend these heritage products top your

friends or not.

Interpretation:

The total survey revealed that the 60% of the respondents recommend the

product to their friends and 40% of the respondents don’t recommend the product to

their friends.

Hence from the above it is evident that most of the people recommend heritage

dairy products to their friends.


S.NO. Opinion No.of respondents Percentage of

respondents

1 Yes 60 60

2 No 40 40

16. Opinion regarding the price of the product.

Interpretation:

The total survey revealed that the price of the heritage products is reasonable by

40%, 30% are told that it is high.

Hence from the above it is evident that most of the respondents are satisfied with

the price of the heritage products.


S. No OpinionNo. Of

respondents

Percentage of

Respondents

1 High 30 30

2 Reasonable 40 40

3 Low 05 5

4 None 25 25

FINDINGS

1. Market share of the organization is less especially in vizianagaram market. It

has to increase the market share.

2. Heritage dairy is having good brand loyalty.

3. When compared with the competitors dairy is having more varieties of milk

products.

4. Milk is provided to the booth agents on time. The services of the dairy are

satisfactory regarding the distribution channel.

5. Market share is divided into parts by the existing and newly entering

competitors.

6. Advertisements of the organization are not the expected impact on the

customers. Advertisement awareness is very less.

7. Less amount of commission is paid to the agents.

8. It could not make people aware of the different products produced by it the

different products produced by it.

9. Heritage dairy can improve its market share by making people aware of all the

products beings produced by it.

10. Heritage dairy is producing good number of products when compared to the

competitors. This is an added advantage to the organization.

11. Since milk producers are getting many benefits from the organization they

will by loyal to the organization.

12. By improving the advertising strategy the organization can reach all sorts or

people in the city and every place wherever its products are sold.

13. The commission paid to the booth agents is less when compared with the

competitors. This may lead to shifting of the agents to the competitors.


SUGGESTIONS

Brand loyalty in the customers should be increased to prevent them from

shifting to the competitors. This can be achieved by satisfying the customer

mentally through heritage dairy products laying greater emphasis on physical

benefits of the products.

The product mix of heritage dairy is not known to many of the customers.

Therefore customers should be made aware of the heritage dairy products.

Advertising is not having expected impact on the customers. Advertising

pattern should be changed. Since the company is concerned with milk and is

used by women for ever purpose of the house, women should make aware of

the products and their usage benefits.

Heritage dairy should conduct cooking competitions to women by using milk

products dairy. This is very effective way of advertising the company’s own

product in the market.

Advertisements should be designed in such a way that they should have

unique colours, and shape when compared to the surrounding advertisements.

This will definitely eye catchy and will retain in the minds of the viewers for

longer time.

Announcing innovative schemes will motive the customers.

Heritage dairy should be very careful in deciding the media of advertising.

The hoardings of the advertisements should have a positive impact on the

customers’ brain


Customers should be provided with pamphlets of Heritage dairy containing

information regarding the various products of Heritage dairy, their price and

availability. This can done through the booth agents. Booth agents can supply

then to the customers along with the milk packet.

They have to provide the mobile vans in morning times and other strategies

are timely door deliver of the product.

They have to provide a minimum one parlor to the two or three streets.

They have to provide a good supply of the products when compare with the

competitors. Whenever their supply is down we have to fulfill the total

demand of both competitors and ours.


SUMMARY

Inspire of all the above inadequacies, which are highlighted in the suggestions the

heritage dairy has a good brand image and brand loyalty among the customers. All

the employees are target-oriented in their respective fields. They created a congenial

working environment and working with co-ordination to achieve the ultimate targets

of the heritage dairy.

The organization should motivate its commission agent to the utmost possible extent

to it. It has to develop its promotional activities. New methods of advertising i.e.

using the media of advertising more efficiently and innovatively should be done.

Customers should be made aware of the product mix of heritage dairy and other

products, which they are selling.


CONCLUSION:

The study concludes that the marketing techniques in HERITAGE FOODS (INDIA)

Ltd are following new techniques but had to change some of them which are not so

effective. The sales personnel should change the pattern of marketing procedures to

promote the sales of the milk products in order to raise the market share in

vizianagaram.

Due to the good will of the Visakha dairy products in vizianagaram market the sales

of the Heritage products are less. In order to raise the sales the management has to

concentrate on the market and grab the loyal customers towards their products.


BIBLIOGRAPHY:

Marketing Management : Philip Kotler

Services marketing : K.Rama mohanarao

Marketing Management : Ramaswamy &Namakumari

Advertising Management : P.K. Agarwal

A brief note on VCD : Internal Records of the dairy

Indian consumer : Subash Mehata

Journals : Business World.

Information gathered through interest web sites are:

www.discvermilk.com

www.heritagefoods.co.in

www.google.com

www.milk.com


http://www.milk.com/

http://www.google.com/

http://www.heritagefoods.co.in/

http://www.discvermilk.com/

QUESTIONNAIRE

1). Which milk products are you using ?

1) Curd 2) badam milk 3) butter milk 4) ice cream

2) which company products do you prefer in general?

1) Visakha dairy 2) Heritage 3) Others

3). which factor do you consider to buy milk product?

1) Price 2) Quality 3) Timely Available 4) Pack size

4) How is the quality of Heritage Products?

1) good 2)average 3)poor

5) Which factor influences you to buy Heritage dairy products?

1)Good Quality 2)Attractive Packing

3)Timely Available 4)Brand Name

6) Does the supply meet demand?

1) Yes 2) no

7) Is there any risk involved in selling these products?

1) Based on time 2) Rarely 3) No risk

8) Do you want any other benefits to increase sales like the following benefits?


1) Increase advertising 2)Promote sales persons 3)Increase commission

9) Is there any leakages in these heritage products?

1) Yes 2) no 3) rarely

10) How is the service of heritage milk products in market?

1) Good 2) average 3) not good

11) Have you satisfied with the commission given by the Heritage dairy?

1) Satisfied 2) not satisfied

12) What are the sources you are aware of Heritage products?

1) News paper 2) Television 3) Sign boards 4) Others

13) How much quantity of milk that you purchase every day?

1)2lt & above 2) 5lt & above 3) 8lt & above 4) 10lt & above

14) Do you need any changes for the products?

1) In delivery 2) Quality 3) Quantity 4) Price 5) Others


15) Would you recommend these heritage dairy products to a friend?

1) Yes 2) no

16) What is your opinion about the price of the product?

1) High 2) Reasonable 3) Low 4) None


Date post:	26-Jan-2016
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