Professional Documents
Culture Documents
AMUL is the largest co-operative in India. It is also known as GUJARAT CO-OPERATIVE MILK MARKETING REDERATION LTD (GCMMF LTD). Gujarat Co-operative Milk Marketing Limited produces a wide range of milk products like Butter, Lite Butter, Flavored milk, Skimmed milk, Masti Dahi, Paneer, and Ice Cream etc. And these entire products are available in the market with the brand name Amul. In the market Amul has also got nickname i.e. BUTTER-KING , which shows that Amul is the market leader in Butter is the only product which is also called as the backbone of Amul. Here the Subject of study is Ice Cream. After years of market research and analysis Amul found that there is a large for Ice cream in Indian market. And finally in year 2002 Amul launch it Ice-cream where the market leader like HLLs Quality Walls, Vadilal, were already playing in market with the some other local brand of respective area. But due to the brand image of Amul, it gets a platform for successful launch with a wide range of product. Presently, Amul claims to be the
Frontrunner in the ice cream business. It has been able to create large customer bases that will consume nothing but Amul when it comes to Ice cream. Amul means Priceless in Sanskrit, the brand name Amul from the Sanskrit Amoulya was suggested by a quality control export in Anand variants all meaning price less are found in several Indian languages Amul products have been in use in millions of homes since 1946, Amul Butter, Amul Milk Powder, Amul Ghee Amul spray, Amul Cheese 1
Amul Chocolates, Amul Shrikhand, Amul Ice-cream, Nutramul, Amul Milk and Amulya have made Amul a leading food brand in India (Turnover Rs. 29 billion in 2004). Today Amul is a symbol of Many Things of high quality products sales at reusable price of the genesis of a vast co operative network of the triumph of indigenous technology of the marketing survey of farmers organization and of proven model for dairy development. GUJARAT COOPRRATIVE MILK MARKETING FEDRTION GCMMF: An Overview Gujarat Cooperative Milk Marketing Federation (GCMMF) is an Indias largest food product marketing organization. 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 of consumers by providing quality products, which are good value for money.
Members:
No. of Producer Members: No. of Village Societies: Total Milk handling capacity: Milk collection (Total - 2003-04):
2.36 million 11,333 6.9 million liters per day 1.81 billion liters
HISTORY
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.
During the last four years, our Member Unions have implemented an Internal Consultant Development (ICD) intervention focused on developing leadership among member producers, helping them to better 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.
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.
Continuing the Cleanliness Drive at village level, Member Unions have trained 8,455 core groups of milk producers and VDCS management. On October 2nd, 2,970 VDCS celebrated Red Tag Day, an effort to raise Cleanliness awareness. The Unions also presented awards to the VDCS that raised cleanliness standards to the highest levels.
As a part of the Breeding Services Improvement Programmed, Member Unions have continued implementation of the second module of Improvement in Artificial Insemination Services. In the villages, 3,374 core groups have been trained and a decision has been taken to extend the program to include all the VDCS that offer breeding services. A mass de-worming campaign has been undertaken to fortify the breeding services. During the year, Member Unions implemented an Artificial Insemination Audit Competition that identified the best performing VDCS and Artificial Insemination Workers who received awards as a motivation for continued improvement.
With the objective of encouraging professional management by Milk Producers and dairy cooperative societies, Member Unions have initiated Members' Business Development Programmed (MBDP). During the last three years, 2,483 villages and 1,53,108 milk producers participated in the programmer. This has resulted in introduction of new scientific animal husbandry management methods on a significant scale.
A Chairmen and Secretaries' Orientation Programmed 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 our Member Unions has been to encourage increased women milk producers' participation in their Dairy Cooperative Societies. To develop and enhance leadership skills and qualities, Member Unions organized 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
OF MILK
GCMMF: An Overview
Gujarat Cooperative Milk Marketing Federation (GCMMF) is a Indias largest food product marketing organization. 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 of consumers by providing quality products, which are good value for money.
Formed No. of Cooperative Unions No. of Dairy plants Capacity No. of retail outlet Cities Covered
It is Apex Marketing Federation of 12 District Milk Unions in Gujarat to operate own marketing and distribution networks pan India and abroad.
Flavoured milk(AmulKool)
Malai Peda Shrikhand Pizza Cheese Gulabjamun
COMPETITORS OF AMUL :
PARAS (VED RAM & SONS) MADHUSUDAN MOTHER DAIRY AMRIT FOOD GOPALJEE (G.K.DAIRY) UMANG (J.K.DAIRY) PARAM RAMLAL MADHUBAN
AMUL IN DELHI:
Mother Dairy dominates Delhi National Capital Region (NCR), among the biggest milk markets in the country, currently. Amul and NDDB's non-compete agreement has prevented the former from launching 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 Quality 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.
Amul, to its delight, has seen the demand for its milk going up by leaps and bounds in the city and is now planning to enter into alliances with dairies located around Delhi such as Indian Potash and Modern Dairy to cater to the demand.
GCMMF officials say the company's milk capacity has already touched 80,000 liters per day (LPD) and have plans to take it to 3 LPD. Amul is now selling through 2,500 retail outlets and will increase this to 7,500 apart from covering outlets which are selling Amul butter.
The Delhi market comprises 40 lakh liters currently and is dominated by Mother Dairy, which sells 10 lakh LPD. The other organized sector players are Paras Dairy, which sells 3 lakh LPD, stateowned 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 Mother Diary 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, Delimits seem to be lapping up Amuls pouches of full cream and toned milk in unimagined quantities.
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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 Quality 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 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. Currently we are working at more than full capacity at Quality Dairy to meet demands, said Khanna. 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.
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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.
Delhi being the capital of India is also center for the organizational fight. Delhi has a population of over 10 million. Area covered is 15,000 sq. km. Delhis organized ice cream market consists of Quality Walls, Mother Dairy, CreamKa, Vadilal, Baskin Robbins, Fairy Dairy, Frolic, Dairy Fun, Freak on, Blue Bunny and Quality Walls International. Among them Mother Dairy and Quality Walls are the major players.
Delhis Summer Months of May and June being the hottest months temperatures can be as high as 46 C (114 F). The Winter Months October-end to February-end is cold and dry. Temperatures as low as 4C (39 F). With these fluctuating temperatures the main demand is in the month of May June. Retailers and distributors clearly stated that the demand in the off-season could go down to 25% of the peak season.
This forms a very critical point for any newcomer retailer. It has to enter just before the peak season so to tap the season crowd and demand and to keep reasonable resource to sail through off-season. For example many companies give off-season discounts to customer and also give special offers to retailers to encourage them to stock their product. So the new company also has to give these kinds of incentives to encourage the distributors. 12
SEGMENTATION
Ice creams are differentiated mainly by flavors. Vanilla is the most popular flavor, followed by chocolate, strawberry and butterscotch. Certain traditional flavors like Kesar-Pista, Kaju-Draksh, etc are also very popular. There are several other flavors available, such as fresh seasonal fruit flavors, combinations of 2-3 flavors, etc The market can also be segmented on the basis of consumers as follows:
RETAILERS: They account for major part of the total sales of ice cream. They not only provide efficient sales channel but also a place for efficient safe storage. Sales for the company takes place the moment the retailers take possession of the goods i.e. ice cream. Companies generally do not provide any replacement policy so this increases the cash circulation and also makes the calculation of overall sales easy.
PUSHCARTS: Pushcarts form a very important part of Delhis ice cream market. They form a cheap and farreaching way of distribution. Pushcarts can be found in every corner of the city. Generally consumers prefer to have ice cream at night but the retail shops are either closed or busy in providing other daily commodities. In this case pushcarts form a very convenient way of relief. They not only stay late at night but also cater to this particular demand. In some areas they are open whole night, like at AIIMS crossing the pushcarts stay open overnight and attract a lot of consumers. Another 13
important advantage is that they can be positioned at areas where either retailer are not there or retailers do not have ice cream. For example, at India Gate the ice cream sales are through pushcarts only as retailers are not there.
Another important advantage of these pushcarts is that they are seasonal in nature. They can be increased when the season arrives and reduced very conveniently when the season is over.
The industry consumes a big portion of ice cream production. Especially places like Delhi where many companies and factories are located. Though this has been targeted still this can be exploited more. For example in many big companies or factories where mess are set up for the workers lunch and dinner. In these meals ice creams are served. If an ice cream company gets the contract, then its sale will surely rise.
As the retail accounted for the largest share we concentrated on the sales through retail only. In Delhi another major segment has come up and that is through pushcart, which is increasingly becoming popular for its lower cost and greater flexibility.
The most popular are the cup of 100-150 ml sold in the Rs8-15 price range and the cones, which range between Rs8-17. These are the ice creams generally bought for immediate consumption. They are available everywhere from big super markets to the local pushcarts. Bars, sticks and cones represent another ready-to-eat market and are priced at Rs4-20. This is very popular with the kids and forms a major portion of the ice cream sales.
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Gallon. These are used for parties and restaurants. Though outside attractiveness is not very important but the size of the pack and handling comfort is important.
DISTRIBUTION
The ice-cream distribution chain typically consists of a distributor/ stockiest and the retailer. Most players have regional operations with production facilities located near the market as adequate cold chain Facilities for transportation over long distances are not available. Distribution of national brands is done through owned or leased cold storage facilities located in the major consumption centers from which supplies are sent to distributors or directly to retailers. The retail network for ice cream consists of Exclusive ice cream parlors, which may be company owned or Franchise outlets Other retail outlets like provision stores, hotels and restaurants; and Push carts, which are controlled through dealers. Retail margins are high, at around 15-21%.
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The market for organized sector is restricted to large metropolitan cities. In small towns and villages, there are thousands of small players who produce ice-creams/ kulfis in their home backyard and cater to the local market.
Delhi being a metropolitan has higher ice cream consumption. The major players are Amul, Quality Walls ,Vadilal and Mother Dairy. The awareness of Amul Ice cream is good enough. But there is even now enough work to be done by the company. many retailers even now asked that does the Amul manufacture the ice cream? . So the first strategy of Amul Ice cream should be to create brand awareness through advertising. Amul as a brand has its goodwill but its ice cream is not popular. When we inquired about Amul we got response from the retailer about the Amul butter.
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MAJOR PLAYERS
The Indian Ice cream market is dominated by a large number of small local manufacturers and regional players. In the organized segment, the significant brands are Quality Walls, Vadilal, Amul and Mother Dairy . MAJOR NATIONAL PLAYERS Hindustan Lever Vadilal International GCMMF/Other Milk Co-operatives Maharashtra Dairy Products BRANDS Kwality Walls, Dairy Classic, Max Vadilal, Dairy Fresh Amul, Mother Dairy Baskin Robbins
OTHER PLAYERS
Besides the main national brands there are other premium brands, which have carved a niche for themselves in their respective regional markets. These players have mostly concentrated on the large metro cities. These players sell through their exclusive parlors. The major national players sell through franchise parlors as well as through retail stores, groceries, restaurants, hotels, roadside stalls on highways, etc.
Ice Cream so that at the beginning of the year the selling of the Amul Ice-Cream was not as expected. But from the beginning of the year 2005 it is well known product in the AMUL ICE-
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CREAM was launched in Delhi and NCR 2004.That year was the birth of the Amul market and giving a tuff competition to the old brand VADILAL ICE-CREAM manufacturer.
Address:
Gujarat Anand, Cooperative Gujarat, Milk India Marketing 388001, Federation Tel: Ltd., Amul Dairy & Road 23
+91-2692-241621
Web: www.amul.co
2001-02
500
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The above Data Shows that the sales increasing since 1995 at great pace & this is reason that proves Amul as good Competitor in this modern world.
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AWARDS:
The Gujarat Co-operative Milk Marketing Federation Ltd. has emerged as the top scorer in the service category of the prestigious IMC Ramakrishna Bajaj National Quality Award - 2003. The Certificate of Merit was presented at a glittering ceremony held at Mumbai on March 11 by the Governor of the Reserve Bank of India, Dr. Y. V. Reddy.
According to Shri B. M. Vyas, Managing Director, GCMMF, this recognition has once again reiterated GCMMF's commitment to quality and excellence. The biggest strength of GCMMF is the 20
trust it has created in the minds of consumers regarding the quality of its products. GCMMF and its brand Amul stand for guaranteed purity for whatever products it produces, he added.
GCMMF has bagged this award for adopting noteworthy quality management practices for logistics and procurement. Over the years, it has established an efficient supply chain that penetrates even the remotest corners of the country. The information systems of the
Federation are comprehensive and include details on product quality, delivery performance, supplier quality, disaster recovery and all essential commercial areas, the citation reads. The Ramakrishna Bajaj National Quality Award is based on framework and principles almost similar to the Malcolm Baldrige Award that is given by the President of the United States to businesses - manufacturing and service, small and large - and to education and healthcare organizations that apply and are judged to be outstanding in seven areas: leadership, strategic planning, customer and market focus, information and analysis, human resource focus, process management, and business results.
Mr.
B.M.Vyas
receives
the
Qimpro
Gold
Standard
Award
Qimpro Platinum Standard, the highest individual honor, has in recent years been awarded to Chandra Mohan, Aditya Birla, Deepak Parekh, F C Kohli, Dr J J Irani, Azim Premji, and Kumar Mangalam Birla. The ASQ and the Institute of Quality Assurance, UK recognizes
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Quality Standards
Amul Ice-cream strictly conforms to quality standards of Prevention of Foods & Adulteration Act (PFA). This means when one buys Amul Ice-cream 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. And he or she does not fear of cheating in price because it is the brand on which you can confident for best quality at the lower price
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Amul Butter Amul Lite Low Fat Bread spread Amul Cooking Butter
Cheese Range:
Amul Pasteurized Processed Cheddar Cheese Amul Processed Cheese Spread Amul Pizza (Mozzarella) Cheese Amul Shredded Pizza Cheese Amul Emmental Cheese Amul Gouda Cheese Amul Malai Paneer (cottage cheese) Frozen and Tinned Utterly Delicious Pizza 24
Amul Shrikhand (Mango, Saffron, Almond Pistachio, Cardamom) Amul Amrakhand Amul Mithaee Gulabjamuns Amul Mithaee Gulabjamun Mix Amul Mithaee Kulfi Mix
Amul Taaza 3% fat Milk Amul Gold 4.5% fat Milk Amul Slim-n-Trim 0% fat milk Amul Chocolate Milk Amul Fresh Cream Amul Snowcap Softy Mix Amul Taaza Double Toned Milk
Pure Ghee:
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Amul Infant Milk Formula 1 (0-6 months) Amul Infant Milk Formula 2 ( 6 months above) Amulspray Infant Milk Food
Milk Powders:
Amul Full Cream Milk Powder Amulya Dairy Whitener Sagar Skimmed Milk Powder Sagar Tea and Coffee Whitener
Fresh Milk:
Amul Taaza Toned Milk 3% fat
Amul Gold Full Cream Milk 6% fat Amul Shakti Standardized Milk 3% fat Amul Smart Double Toned Milk 1.5% fat
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Curd Products:
Amul Masti Dahi (fresh curd) Amul Butter Milk Amul Lassee
Butterscotch, Tutti Frutti, Nut-o-Mania Range Kaju Drakshi, Kesar Pista, Roasted Almond,
Kesar Carnival, Badshahi Badam Kulfi, Shista Pista Kulfi, Utsav Range Anjir, 27
Roasted Almond,
Nature's Treat
Fresh Strawberry Black Currant Alphanso Mango Fresh Litchi Anjir
Sundae Range
Mango Black Currant Chocolate Strawberry
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Millennium Ice-cream
Cheese with Almonds Dates with Honey Strawberry
Milk Bars
Chocobar Mango Doll Raspberry Dolly Shahi Badam Kulfi Shahi Pista Kulfi Mawa Malai Kulfi Green Pista Kulfi Cool Candies Orange, Mango Cassata Tricone Cones
Butterscotch
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Frostik 3 layer chocolate Bar Fundoo Range exclusively for kids SlimScoop Fat Free Frozen Dessert Vanilla Banana Mango Pineapple Health : Isabcool
Amul Milk Chocolate Amul Fruit & Nut Chocolate Amul Eclairs
Brown Beverage:
Nutramul Malted Milk Food
ICE CREAM
Amul ice cream is made from milk and milk products, sugar stabilizers& emulsifiers.
COMPOSITION:
Milk fat 13.5% to 14.5% Total solids 40% to 41%
Packaging:
50 ml cup,100 ml cup, 500ml cup,1 litre pack, 4 litre pack,
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Special features
Various verities of ice cream can be made from the basic mix by addition
Of required amount of permissible colors and flavours nuts would be used for making premium verities of ice cream.
Product specification
Product meets BIS specification.
INDUSTRY STANDING
Indias largest food products marketing organization 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. 32
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
OUR VALUES
Customer Orientation. Commitment to Producers. Belongingness. Co-operation. Pride in Organization. Employee Satisfaction. Integrity. Excellence. Leadership. Quality. Innovation. Growth Orientation New Products.
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MISSION STATEMENT
We, at GCMMF, endeavor 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.
over 100 sales offices, 7500 stockiest covering at least every talk 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 neighboring countries.
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CHAIRMAN SPEECH
Chairman's Speech: 30th Annual General Body Meeting on 8th June 2004
Adopted at their meeting held on 8th June, 2004 for presentation at the 30th Annual General Body Meeting
Gentlemen,
I am happy to welcome all of you to this 30th Annual General Body Meeting of your Federation. Thirty years ago the milk producers of Gujarat had come together and decided to create their own organization to enhance the marketing capacity of the dairy cooperative movement. Looking back I think we can agree that they showed remarkable foresight in creating their own marketing organization. That is in no small part because this organization has delivered results - continuously beating competition of every type in the dairy business. This has been achieved at the least possible cost, ensuring the benefits reach both producers and consumers.
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As you all know, 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 organizations 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.
As I look forward, I foresee business opportunities expanding as never before. The Indian economy is growing at a very rapid pace. Disposable
Income in the hands of consumers has more than kept pace. The result is that our domestic market has been expanding at a pace that occasionally surprises even the optimist. We now need to challenge our distribution to reach remote markets with innovative products and services so that more and more consumers benefit from our wide and expanding range. Your Federation is taking steps both to deepen our market penetration as well as to accelerate its growth.
An expanding market inevitably attracts increasing competition. Today, every product category sees new entrants in our business. Competition may be from existing companies entering new categories or from new companies. Our experience and marketing prowess has enabled us to maintain a formidable distance between our competitors and us. However, there is no room for complacency. We must not only maintain our lead, we must increase it.
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In our business, the technological and financial barriers for new entrants are not high. We must therefore leverage our experience as well as our procurement, processing, distribution and branding advantages to establish high entry barriers, continually raising these by innovation in every area.
On the external front, neither the US nor the EU had shown any willingness to consider reducing their high subsidies on dairy exports. It is a matter of some satisfaction that the Indian government has stood by its farmers by withstanding international pressure to lower tariffs on dairy products. We are grateful for this support. We are also confident that the government will continue to safeguard the interests of the Indian farmer by continuing to resist international pressure and domestic lobbying from vested interests to lower our bulwarks against unfair trade in agricultural and dairy products. Recently, the EU has introduced some reductions in its dairy sector subsidies - especially on butter oil, Skimmed Milk Powder and white butter. This marginally reduces the fear of European players competing for our domestic market from a position of price advantage. It also opens for us the opportunity to compete with European producers on a level playing field in neighboring markets. With increased peace, cooperation and understanding among the SAARC nations, our regional market is expected to grow manifold across categories. But for us to gain a meaningful share in the emerging markets, our unions and marketing teams must meet the challenge of performing at levels that are the prerequisite for success.
You will be pleased to know that your Federation has grown substantially in both volume and value terms in the last year. That we have grown by
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Over Rs.430 crores in the dairy line highlights your Federation's versatility and robustness. The icing on the cake has been a more than 15 percent Increase in our farmers' returns.
I now am pleased to present to you your Federation's Annual Report and Audited Accounts for the year 2003-2004.
MILK PROCUREMENT
Total milk procurement by our 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. This year, 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, we had achieved sales of 1 lakh liters 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. Amul ice cream achieved a sales value growth of 11 percent, and has come out as the undisputed market leader. Amul and Sagar brand pure 38
ghee sales in value increased by 17 per cent over the previous year. 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 Flavored Milk, Amul Fresh Cream, Paneer, Mithaimate, Softy Mix, and fresh curd demonstrated their potential to become dominant brands in the coming few years.
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.
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 our products with the objective of achieving total channel penetration on a single day. I am pleased to declare that this initiative has proved to be very successful. 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 Programmed. As you are aware, the Amul Yatra Programmed is a unique experiment conducted by your 39
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.
For understanding the level of adherence to infrastructural and procedural norms laid out by Federation and compliance to the same by our Distributors, a pilot initiative of Distribution Audit was undertaken for 70 Wholesale Distributors. With one of the strongest cold chain distribution network in the country today, Federation today owns 13 state-of-the-art cold rooms at various depot locations.
EXPORTS
I know that you will be pleased to learn that we have posted more than 50% growth in the volume of consumer pack exports. This reflects strong and growing consumer faith in your Amul brand. As you are aware, during the year Northern India had faced a severe milk crisis. At the request of our government, we diverted milk powder stocks to Delhi thereby depriving our export market. As a result, Federation's overall export turnover has dropped by 40 percent. I am sure you will agree, however, that our first duty is to the Indian consumer.
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I am pleased to inform you that our Long Life milk has been very well accepted in the UAE and Singapore markets. We have launched UHT milk in Hong Kong and Sri Lanka market. We have also made a successful beginning in export of ghee to Australia.
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 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 cooperatives by bringing our members together and closer to consumers.
Your Federation's achievements have been honored at the International CIO 100 Symposium and Award ceremony in Colorado Springs, USA where we received the CIO 100 award for its excellence in positive business performance through resourceful IT management and best practices.
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During the last four years, our Member Unions have implemented an Internal Consultant Development (ICD) intervention focused on developing leadership among member producers, helping them to better 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. 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. Continuing the Cleanliness Drive at village level, Member Unions have trained 8,455 core groups of milk producers and VDCS management. On October 2nd, 2,970 VDCS celebrated Red Tag Day, an effort to raise Cleanliness awareness. The Unions also presented awards to the VDCS that raised cleanliness standards to the highest levels.
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As a part of the Breeding Services Improvement Programmed, Member Unions have continued implementation of the second module of Improvement in Artificial Insemination Services. In the villages, 3,374 core groups have been trained and a decision has been taken to extend the program to include all the VDCS that offer breeding services. A mass de-worming campaign has been undertaken to fortify the breeding services. During the year, Member Unions implemented an Artificial Insemination Audit Competition that identified the best performing VDCS and Artificial Insemination Workers who received awards as a motivation for continued improvement. With the objective of encouraging professional management by Milk Producers and dairy cooperative societies, Member Unions have initiated
Members' Business Development Programmed(MBDP). During the last three years, 2,483 villages and 1,53,108 milk producers participated in the programmed. This has resulted in introduction of new scientific animal husbandry management methods on a significant scale. A Chairmen and Secretaries' Orientation Programmed 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 our Member Unions has been to encourage increased women milk producers' participation in their Dairy Cooperative Societies. To develop and enhance leadership skills and qualities, Member Unions organized 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.
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self-motivating work environment that draws out the best out of them on a sustained basis. Therefore, our competitiveness must also encompass effective human resource management. To this end, we have to find new strategies. In the past, our illustrious leaders like the late Shri Tribhuvandas Patel, Bhurabhai Patel, Jaswantlal Shah - to name only a few - understood the importance of professionalism in the management of cooperatives. They always encouraged attitudes and activities geared towards a results orientation. Today's leaders have a duty and an obligation to carry forward that tradition of identifying and nurturing professionalism. You would recall that last year I had shared my feelings and reservations on NDDB's initiative of making joint ventures-and that too with majority holding of the Government. I am happy to inform you that most of the State Federations of India have declined to accept such 44
partnerships where the Government is in majority. Even where it was accepted, the cooperatives are now changing their minds and reverting to the pure cooperative movement. I am saying this not because I am happy per say about the failure of the joint ventures, but because the leaders of cooperatives have understood that they have a great responsibility towards farmers, consumers & the nation. And in honoring this responsibility they have to work hard with commitment and sincerity. They should ensure the highest level of professionalism at the cooperative level. They should give the professionals full freedom to perform instead of interfering in operational matters-thereby limiting the growth of the organization. I hope that you would appreciate my viewpoint and see to it that our leaders rise to this level of performance. 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. We have also been given a certificate of merit from IMC Ramakrishna Bajaj National Quality Award during last year. I would stress that we sought such certification not because the Federation needed endorsement from outside agencies regarding its best practices. Rather, achieving them serves the very important purpose of encouraging the standardization of our production and marketing related processes and the infusion of a self-sustaining momentum into these processes. I find that such certifications are also very necessary in our village dairy cooperative societies' election processes. 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. Standardization and transparency in our village society elections can come only through the continuous and impersonal adherence to a well-documented process that an ISO 9001 recognizes. The year 1994 was an important watershed for your Federation. It marked our bold foray into the brave new world of portfolio diversification and new product development. It was at this time when we took our first steps outside the security of our traditional products: powders, 45
butter among others. Since then, we have emerged as the food organization with what may well represent the most diversified product portfolio ranging from ice cream and dahi to Long Life and Flavored milk. We have learnt to be on the constant lookout for changing market requirements and to adapt to these changes proactively. Today, there is no doubt that we are a part of the world market. As everywhere else, the market trend in India is towards the growing importance of fresh products. The coming years will see increasing volumes being generated from fresh milk, Long Life Milk, curds and the like. Because our milk procurement and processing capacity is unparalleled in the country and the region and because we have a brand equity that is unsurpassed in the food business sector, your Federation is in a position to leverage these assets to effectively command the market leader's position in the emerging fresh dairy products market. However, here too we cannot be complacent. We must constantly create and update our competencies in these products so as lead, set and exceed market expectations. Your Federation has now developed competence in distributing fresh products on daily basis. This is equally true of long life products held at ambient temperature, products requiring deepfreezing during storage or transportation, and products that require zero degree temperature. This established competence is, and will continue to be, an essential element in building synergies among product lines - ultimately creating superior economies of scale. Based on the work done in the last decade, the changes that we have built in the Organization at all levels, and with the new portfolio of products we have developed, I feel confident of maintaining our market share growth. I also feel confident that your Federation will be able to increase its sales further by close to another Rs.500 crores in the current year.
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Your Federation has always tried to be a step ahead of the market. It has always been a model to which other cooperatives have looked up as an example and inspiration as well as one from which many have benefited. Those who had scoffed at the idea of cooperation as a business model are today trying to emulate it. Thankfully, we need not be remembered for any of the wrong reasons. Amul has always been and remains a movement that stands for the farmer. We have always espoused the values of social justice, integrity and growth with equity. If Amul deserves to be remembered for anything, first and foremost it is for the difference we have made and are making in the lives of millions of farmers. Against
COMPETITORS ANALYSIS
Quality
At Vadilal, commit ment to Quality is an Attitude. Vadilal Ice Creams contains only the best ingredients, be it cashew nuts, almonds, pistachio chocolate or fresh fruits. Great pains are taken to find the finest ingredients from around the globe. State-ofthe art-technology ensures that each scoop is dense, rich and filling, with no extra air or ice-flakes. Special care is taken during packaging, storing, transit and delivery so that consistency in quality is maintained. This is why when the end pro duct reaches the customer, he is convinced that quality shines through in everything the group does.
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DELICIOUS GROWTH
The ice cream market is set to sizzle this summer .At least 10 ice cream make rearmed with over 125 flavours will try to freeze the attention of the Indian consumer. The some what surprise winner of the cold war Amul is ready to launch over 20 new varieties this summer. Hindustan lever ltds (HLL) . Quality walls has already unveiled 10 new flavours
The company that has scooped a coup is Amul .In a market invaded by big companies and brands (HLL, BASKIN ROBBINS, MOVENPIC) and swarming with regional and local players. Amul has emerged as the largest selling brand in the organized sector.
Amul success is reflective of the fundamental changes taking place in the ice cream market. Till the small manufacturers dominated 2000 Rs. 1,000 Cr industry, with organized players accounted for just 25% of total. Today the market has grown to over 1,500 crore to which organized player contribute 40%.
But beneath this consolidation the big plan of deep pocketed MNCs like HLL, and Baskin Robbins sent to have melted as Co-operative like AMUL,MOTHER DIARY have tightened their hold on the market. The going has been particularly rough for HLL. Forced on the bacfoot by low price of co-operative cousins. The co. has skimmed his ambition two years ago and decided to be content with being a niche player focusing or only the six metroes .A large number of business was not commercially viable so we decided to cut down our portfolio and focus on profitability.
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Just as HLL was shrinking its presence to consolidate. AMUL was charting out a national footprint. Today its ice-cream are available at 25,000 outlet in 1,000 cities across India and the Co-operative has plans to add 5,000 more cities. Luckily many of its competitors were happy focusing on regional markets like Arun in the south. Mother dairy in the north and metro in the east By 2010 we will have a Rs.1000 crore ice cream business says B.M Vyas managing director
Gujarat cooperative milk marketing federation .Which markets the Amul brand .in 2003,its ice cream sales were Rs160 crore, almost three times the Rs 55 crore sales in 1998.
Amuls impressive growth is rooted in its savvy marketing The price warrior launched its ice cream in 1998 at price 40-70 per cent lower and pried open a market that was till then considered elite .The wide options over 70 flavours packaged in various size added punch to its low price strategy. The price sensitive Indian consumer has lapped it all up. Amul ice candies and lollies. Price at Rs. 3 upwards have managed to lure new customers from the unorganized sector .This has been buttressed by innovative products attractive packaging and unique flavours.
One of the reasons why Amul can afford to be a price warrior is because it is a dairy cooperative. With no middle men at any stage its costs are 8-10percent lower than that of an MNC It is now taking the battle into the MNC camp by launching premium range of ice cream clearly the cold war in the ice cream market is heating up.
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Success Recipe
Mantra in orange shaped container vanilla in plastic ball Attract extra buyers.
MAXIMUM FLAVOURS
Date with Honey Alpha so cappuccino, anjir and other Exotic flavours.
AGGRESSIVE LAUNCHES:
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GOOD REACH :
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Frozen Dessert
Frozen dessert are generally made from vegetable oils/fats The base of frozen dessert can be any sort of vegetable oils which is quite cheap. In frozen dessert milkj fat is replaced with vegetable oil hence they are unable to give the smooth taste and flavour which only icvecream made from fresh milk can give.
all odds, we have managed to replace a million furrows of hopelessness with at least a faint line of the smile of hope. That line makes a difference. That puts the real shine on the face of India.
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PART-2
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EXCECUTIVE SUMMARY
TOPIC: To critical study on secondary sales of Amul icecream.
OBJECTIVE:
1. To study and analysis of increase penetration of AMUL ICECREAM 2. To know the customer choice 3. To analyse the amul dominance over other company
I did my project on marketing research. My project objective was To know about the market potential & acceptability of Critical Study on Secondary Sale of Amul Ice-cream & also to find out the awareness level of this product using various parameters.
SAMPLING PLAN;
There is systematic sampling plan as such as the study involved in understanding the various processes and analyzing them. The study involved in the detailed analysis of primary data calculated from questionnaire and with the use of secondary data
SAMPLE SIZE:
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RESEARCH DESIGN;
This project is based on two researches Descriptive research design Exploratory research design
SOURCES OF DATA;
PRIMARY DATA:
Primary data is collected by the use of self efforts and by the use of prepared questionnaire. Data has been collected through literature survey and expert opinion. The part of data is collected from various primary sources and secondary Sources.
SECONDARY DATA;
E-paper Internet Induction guide
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MARKET RESEARCH
RETAIL OUTLET
AREA
PROBLEM FACED
DISTRICT CENTRE,RAJNAGAR
NO ANY SALES MAN VISITED HERE FOR SELLING AMUL ICE CREAM
OM SWEETS AND ARUN CHAT BHANDAR SEC.-10 RAJNAGAR IT IS NOT MORE DEMANDABLE ITEM
HINT HOUSE SEC.-10, RAJNAGAR LACK OF TAKING ORDER AND SUPPLY IN TIME
C-6,HINT HOUSE,SEC.10,RAJNAGAR
NO ANY SALES MAN HAS VISITED WITH ASHISH STORE SEC.10, RAJNAGAR SAMPLE
NATIONAL STORE
SEC.-10 RAJNAGAR
BEFORE HE WAS SELLING AMUL ICE CREAM MUSKAN STORE 0120-3093595 (SANJEEV) SEC.-10,RAJNAGAR BUT DUE TO UNFAVOURABLE BEHAVOUR OF JMD HE HAS REFUSED TO SALE AMUL ICECREAM
HE ALWAYS USED TO SALE SELF MADE MILK RAMESHWARS SEC.-10, RAJNAGAR SHAKE
SONU CONFECTIONERS & PROV.STORE SEC.-23 RAJNAGAR LACK OF DEMAND BY THE CONSUMERS
SEC.23, RAJNAGAR
UNCLE PESTRY
SEC.-23,SANJAY
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SHOP
NAGAR RAJNAGAR
PROMOTIONAL SCHEMES
SAPNA CONFECTIONERY
BABA BANWARI DASS RESTAURANT AMBEDKAR ROAD,GZB HE HAS KEPT COMPETITITOR BRAND
SHAGUN SWEETS
AMBEDKAR ROAD
MONEY PROBLEM
PASHUK ATTA CHAKKI AND KIRANA STORE RAKESH MARG KEPT COMPETITITOR BRAND
ALREADY HAS GOT FREEZE BUT NOT STORE DEV ARCADE RAKESH MARG AMUL ICECREAM
MADAN SWEETS
RAKESH MARG
MONEY PROBLEM
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CONFECTIONERS
SATKAR CORNER
RAKESH MARG
SPACE PROBLEM
POOJA STORE
GOVIND PURAM
SPACE PROBLEM
SHIV RESTAURANT
GOVIND PURAM
HIGH PRICE OF DF
ANKIT DIARY
GOVIND PURAM
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YELLOW POINT
SHASTRI NAGAR
MONEY PROBLEM
NEW CHOUDHARY
SHASTRI NAGAR
NOT INTERSTED
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CHIRAG SHOP
SHASTRI NAGAR
MONEY PROBLEM
SHYAM SWEET
SHASTRI NAGAR
TOPPERS CHOICE
SHASTRI NAGAR
NEW MADHURIMA
GHANTAGHAR
JAIN SHIKANGI
GHANTAGHAR
NOT INTERSTED
BALKISHAN
GHANTAGHAR
TULSI
GHANTAGHAR
MONEY PROBLEM
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CONFECTIONERS
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 organization. Marketing research, thus, may be viewed as an important tool used as an aid for the tackling problems in marketing.
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RESARCH METHADOLOGY
DEFINITION
Marketing research is defined as the objective and formal process of systematically obtaining, analyzing and interpreting data for actionable 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.
Environment Trends
RESEARCH DESIGN
A research design is the overall plan on programmed 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. Various uses of having a research design are as follows
It provides answers to various questions. It acts as a standard guidepost. It helps in carrying out research validity, objectively, accurately and economically.
Market research projects are designed as Descriptive research depending upon the objective of study.
The objective of the descriptive research is to seek new ideas and to discover new relationship between different set factors in a way that will permit of specific hypothesis.
The present marketing research is more less an descriptive research as its objectives are aimed to find new ideas also the information required was obtained through methods of exploratory research. 64
The information has been gathered from the survey of milk consumers, retailers, confectionary shops, dairy shops, and general stores.
Overall the research which was used as descriptive for his market research analysis is:i. ii. iii. iv. v. vi. vii. Define research problem. Review concepts and theories. Formulate hypothesis. Design research. Collection of data. Analysis of data. Interpret and reports.
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. ii. iii.
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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 completely randomized block design, Latin square design, simple and complex factorial designs), one of which the researcher must select for his own project. The preparation of the research design, appropriate for a particular research problem, involves usually the consideration of the following:
The means of obtaining the information. The availability and skills of the researcher and his staff (if any). Explanation of the way in which selected means of obtaining information will organize and the reasoning leading to the selection.
The cost factor relating to research, i.e. the finance for the available for the purpose.
AREA COVERED
PATEL NAGAR KAVI NAGAR RAJ NAGAR (ALT SECTOR) SHASTRI NAGAR NEHRU NAGAR GANDHI NAGAR MODEL TOWN KALKA GARHI LAJPAT NAGAR GHANTA GHAR ARYA NAGAR LOHIYA NAGAR NEW GANDHI NAGAR
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DATA ANALYSIS
The end result of filed work is complete questionnaire or similar record individual questionnaire are of little value or interest. What is required is aggregate data for the whole sample. Data analysis is the process of producing this aggregated data from the individual responses or raw data
REPORTING
After analysis of the filed work data the result of the research project need reporting stage is therefore concerned with effecting communication of the results to those, who are going to take some action on the basis of what they learn the research results
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24%
16%
Packaging
Price
Quality
29% 31%
Size
NOTE: 16percent people want change in packaging,24%wants change in size,31%in price and last 295people wants change in quality.
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NOTE:
Consumption of real ice cream is not so high, but in past few years it has increased. Awareness of product is there but motivation for the consumption is missing
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80
70
60 50 40 30 20
10
0 Hygiene Quality Price Packaging Availability
NOTE:
Perception of real ice cream in market is a hygienic consumption, which is true Soft drinks are far behind in this field.
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3. If you consume real ice cream once in a week, what is the frequency of other ice cream in a week?
80 70 60
50
40 30 20 10 0 One Two Three Other
NOTE:
Most people consume three pack of real ice cream that means straightly 300% more in case of other.
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70
60
50 40 30 20 10 0 Availability Taste Quality Any Other
NOTE:
70% Response showed that due to availability quality walls , cream bell is preferred.
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FINDINGS
Peter Drucker has observed that companys first task is to create customers. Earlier VADILAL was the pioneer of the market. At present condition, we cannot say VADILAL 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 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 ICECREAM are not doing 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 ice-cream market of Ghaziabad. I found that the brand awareness of Amul ice-cream is not to the point or as expected to be in Ghaziabad.
So awareness level of the consumers about Amul ice-cream should be improved by installing more canopies and hoarding and ensure that every colony has a hoarding and a retailer selling Amul ice-cream. Big banners and billboards should be installed on main roads.
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Amul must also come up with booths like that of Mother Dairy to reduce costs and deliver quality and fresh Amul icecream 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 Gujarat. Demand is absolutely optimistic. Abundant availability of raw material. High brand image of amul in market. Provide pure milk ice-cream rather than frozen dessert. Nationwide coverage of amul ice cream. Offering new product to customer continuously.
Weakness
Retailers say they are not satisfied by trade schemes and offerings. 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.
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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 many to carve out their niche. Amul is not able to replace its expired items but the competitors are doing so. Image of Amul is being diminished by not supplying the goods and services regularly. As far as deep freezer is concern, company has no plan to provide DF on installment or any other plan while the competitor is doing so. Advertisement policies are not good.
Opportunities
Failure is never final, and success never ending. Dr. Kurien bears out this statement perfectly. He entered the industry when there were only threats. He met failure head-on, and now he clearly is an example of never ending successes! 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 ice-cream with having less fat as additional essential extra elements for health conscious people. By increasing the margin to the retailer Amul Ice-cream 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. Can open retail outlet in posh residential colonies and various malls, cinema halls. 78
Threats
Cut throat competition in the market. No flexibility in strategy. Customers are not brand loyal in ice-cream industry.
Following its deli censing, has been attracting a large number of entrepreneurs. Their success in this business depends on factors such as efficient yet economical procurement network, hygienic and cost-effective processing facilities and innovativeness in the market place. All the needs to be done are: 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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The company should conduct advertisement & sales promotion so that the consumers can be more attentive to the product. If it is possible than sales can be increased.
1. The area of distributor should be defined clearly so that they can work in their area with more potential.
2. The company should make direct communication with the retailers so that retailers can give the feedback to the company about the market position to the company. And on the basis of that company can take the effective decision in time.
3. They 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.
4. 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.
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5. 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
6. The company should give advertisement on radio, as well as in newspapers regularly as reminder for the consumers.
7. The company should organize AMUL DAY to educate the potential customers as well as retailers.
8. Advertise for the brand awareness for ice cream towards the customer particularly in the rural area.
10. Position the product in the right way like that we are no. 1.
12. AMUL should have highlight its basic strength i.e. pure ice-cream product rather than that of competitors FROZEN DESERT
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13. Should open retail outlet in super malls, in posh residential colonies.
14. Should follow an advertisement campaign that could highlight difference between ICECREAM AND FROZEN DESERT
16. Try to make an direct relationship with retailers, not depend upon distributors feedback.
17. Conduct continuous R&D so that company can develop new product time to time to avoid competition.
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LIMITATIONS OF RESEARCH
Every research is conducted under some foundations and this research is not an exception. Limitations of this project are The sample sizes 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 through error 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:
NEWSPAPER:
Economic Times Business Standard The Financial Express
BOOKS:
Research Methodology Marketing Research Consumer Behaviors Marketing Management by C.R. Kothari by Ramanuj Majumdar by Gupta and Pal by Philip Kotler,
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WEBSITES:
www.amul.com www.parasdairy.com www.motherdairy.com www.nddb.org www.economictimes.com www.sify.com/finance www.business-standard.com www.rediff.com/money www.indiainfoquest.com www.ask.com www.google.com www.domain-b.com
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Annexure
QUESTIONNAIRE
Yes _______
No_______
Q .2a) If given a choice among following brands of ice cream, which one would you like to have (choose Only one):
1. Amul
_________
5. Dinshaw
_________
Q.2b) Please mark your reasons for the choice made in question 2a: 1.Brand Superiority_______ 2.Quality _______ 4.Packaging__________ 5.Profit margin________ 6.Product Range_______
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Q .3) Does different schemes that companies run for deep freezers also affect your decision for keeping ice-cream of that particular brand or company? ______Yes _______N
If yes, what type of scheme will attract you most? (In order of preference)
1.Hygine 3. price
2. Packaging 4.quality
Q.5 . why do you prefer quality walls, cream bell? 1. Availability 3. Taste 2.quality 4.Any other
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Q.8. If no, what is the problem (a) Quality problem (c) Supply problem (b) Price problem (d) Others
Q.9. Why you use this particular brand (a) Better quality (c) Easy availability (b) Low price (d) Better Scheme
Q.11.
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