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INTRODUCTION

The dairy industries companies run mainly on the factors such as availability, service Frequency, affordability, taste and marketing. Availability plays a vital role because purchasing power depends upon availability of that product, in case distributors and retailers service matter a lot. Marketing Mix is the combination of four basic elements (4Ps) under one head, i.e. Product, Price, Place, and Promotion. It is set of controllable marketing variables that firm blends to produce the response it wants in the target market.

The marketing mix will naturally be changing according to the changes in marketing conditions and also with changing environmental factors such as technical, social, economical and political affecting each market. 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. The marketing mix refers to the combination of marketing decision that are used to market specific products, to specific markets over specific time period.

Amul is the market leader in the India but it is in growing phase in Pune city with market leader Chitale. It was found that due to low consumption of milk, there is no more awareness of milk products here. It was the major cause to the low selling of Amul product.

Finally the whole study of the research work, the company needs the effective marketing mix including increase the quality of curd, price mix,

advertisement of the product in the local channel and print media for awareness of Amul in the Pune city.

have

done

my

summer

internship

training

in

_____________________________a FMCG Sector Company under the brand name AMUL. My project title is the To Study and develop Promotion strategies for AMUL curd in Pune city. Amul is the most popular food brand of India. The project basic objective is to study the 4 Ps of Amul milk and suggest the promotion strategies for Amul Curd.

Marketing mix is very useful tool for achieving marketing target. The Project is concern with to study the PLC of AMUL milk in Pune city, Ansoff matrix, BCG matrix, channel of distribution of Amul milk, promotional activities carried out by Amul.Research design followed is Descriptive Research and In this project the technique of sampling used is Judgment sampling. Judgment sampling involves the choice of subjects who are most advantageously placed or in the best position to provide the information required. Information is collected by personally contacting retailers through interviews. Types of data analysis techniques used in the project: - Tabular analysis. - Graphical analysis. - Percentage analysis

INDUSTRY PROFILE
Dairy is a place where handling of milk and milk products is done. And technology refers to the application of scientific knowledge for practical purposes. Dairy technology has been defined as that branch of dairy science, which deals with the processing of milk and the manufacture of milk products on an industrial scale. Dairy, one of the main contributors to the Indian food processing industry, is leading in terms of growth prospects among various sectors and India has now become one of the largest producers of milk and value-added milk products in the world. The total market size of the dairy industry was Rs. 1,98,000 crores in the year 2006-07 and is estimated to grow up to Rs. 3,66484 crores. by 2015. Dairy sector ranks first in terms of prossed food, with 37% of the produce being processed. The dairy sector has developed through co-operatives in many parts of the State. The organised sector of the dairy industry is growing faster than the unorganised sector. Most of the packed liquid milk segment is dominated by the cooperatives which contributes about 70% of the total revenues of the cooperatives. During 1997-98, the State had 60 milk processing plants with an aggregate processing capacity of 5.8 million litres per day. In addition to these processing plants, 123 Government and 33 co-operatives milk chilling centres operate in the State. Also India today is the lowest cost producer of per litre of milk in the world, at 27cents, compared with the U.S' 63 cents, and Japans $2.8 dollars. Also to take advantage of this lowest cost of milk production and increasing production in the country. Multinational companies are planning to expand their activities here. Some of these milk producers have already obtained quality standard

certificates from the authorities. This will help them in marketing their products in foreign countries in processed form. Milk Production from 1950 to 2020 1950 17 million tonnes 1996 70.8 million tonnes 1997 74.3 million tonnes 2006 99.9 million tonnes 2007 102.9 million tonnes 2008 _ 105.8 million tonnes 2009 108.8 million tonnes (Projected) 2020 240 million tonnes Expected to reach- 220 to 250 mt 2020 India contributes to world milk production rise from 12-15 % & it will increase up to 30-35% (year 2020)

Table No.1 Market size and composition of Dairy Products (value in Rs. 000 Crores) Years Market size Processed Non-processed Processed organised Processed unorganised 91 110 134 163 2002-03 169 116 53 25 2006-07 198 144 53 34 2010-11* 269 190 79 56 2014-15* 366 255 112 92

110 108 106 104 102 100 98 96 94 2006 2007 2008 2009 MT

Graph No.1 Milk and Milk products production in India

INTRODUCTION AND HISTORY OF COMPANY AMUL (Anand Milk Union Limited), formed in 1946, is a dairy cooperative movement in India. Headquartered in the small town of Anand, Gujarat, it is a brand name managed by an apex cooperative organization, Gujarat Cooperative Milk Marketing Federation (GCMMF). Specializing in dairy products, AMUL now takes pride in having built the largest food product business in the country. Being a part of the Gujarat Cooperative Milk Marketing Federation (GCMMF), AMUL is a sterling example of cooperative achievement in the developing world. AMUL survives and grows on the basis of cooperative culture, cooperative networking, market acumen and respect for both producer and the consumer. Presently, it is the most popular food brand of India.

It all began when milk became a symbol of protest Founded in 1946 to stop the exploitation by middlemen Inspired by the freedom movement The seeds of this unusual saga were sown more than 65 years back in Anand, a small town in the state of Gujarat in western India. The exploitative trade practices followed by the local trade cartel triggered off the cooperative movement. Angered by unfair and manipulative practices followed by the trade, the farmers of the district approached the great Indian patriot Sardar Vallabhbhai Patel for a solution. He advised them to get rid of middlemen and form their own co-operative, which would have procurement, processing and marketing under their control.

In 1946, the farmers of this area went on a milk strike refusing to be cowed down by the cartel. Under the inspiration of Sardar Patel, and the guidance of leaders like Morarji Desai and Tribhuvandas Patel, they formed their own cooperative in 1946.

This co-operative, the Kaira District Co-operative Milk Producers Union Ltd. began with just two village dairy co-operative societies and 247 litres of milk and is today better known as Amul Dairy. Amul grew from strength to strength thanks to the inspired leadership of Tribhuvandas Patel, the founder Chairman and the committed professionalism of Dr Verghese Kurien,who was entrusted the task of running the dairy from 1950. HISTORY The cooperative unions were forced at the village and district level to collect and sell milk on a cooperative basis, without the intervention of Government. Mr. Verghese Kurien showed main interest in establishing union who was supported by Shri Tribhuvandas Patel who lead the farmers in forming the Co-operative unions at the village level. The Kaira district milk producers union was thus established in ANAND and was registered formally on 14th December 1946. Since farmers sold all the milk in Anand through a co-operative union, it was commonly resolved to sell the milk under the brand name AMUL. The Union looks after policy formulation, processing and marketing of milk, provision of technical inputs to enhance milk yield of animals, the artificial insemination service, veterinary care, better feeds and the like - all through the village societies. Basically the union and cooperation of people brought Amul

into fame i.e. AMUL (ANAND MILK UNION LIMITED), a name which suggest THE TASTE OF INDIA.

GCMMF Overview: GCMMF is the Indias largest food products marketing organization. It is a state level apex body of milk co-operatives in Gujarat, which aims to provide remunerative returns to the farmers and also serves the interest of consumers by providing quality products, which are good value for money.

VISION The vision of AMUL is as follows: To serve the interests of the milk producers To provide quality products that offer the best value to consumers for money spent. SALES TURNOVER Table No. 2 Sales turnover of GCMMF Year 1994-95 1995-96 Rs. (in millions) 11,140 13,790 US $ (in millions) 355 400

1996-97 1997-98 1998-99 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11

15540 28,840 22,192 22,185 22,588 23,365 27,457 28,941 29,225 37,736 42,778 52,554 67,113 80,053 97,742

450 455 493 493 500 500 575 616 672 850 1,050 1,325 1,504 1,700 2,172

AREAS OF OPERATIONS Besides India, AMUL has entered overseas markets such as Mauritius, UAE, USA, Bangladesh, Australia, China, Singapore, Hong Kong and a few South African nations. Other potential markets being considered include SriLanka. SOME FACTS: Annual Revenues : $1.33 billion USD Members : 13 district cooperative milk producers` union No of Employees : 2.79 million No of village societies : 13,141 Total Milk handling capacity : 10.21 million liters per day Annual Milk Collection : 3.05 billion liters Daily Milk Collection : 8.4 million liters Milk Drying Capacity : 626 Mts. Per day Cattlefeed Manufacturing Capacity : 3090 Mts. Per day ACHIEVEMENTS AMUL has achieved the following landmarksAMUL is the largest food brand in India. AMUL is the worlds largest pouched milk product brand.

AMUL is the worlds largest vegetarian cheese brand. CRISIL has assigned its highest ratings of AAA to the various bank facilities of GCMMF.

Product Profile

The PFA act lays down standards of Fat and SNF for various types of milk, as follows: FAT 1. Toned milk (Amul Taaza) 2. Full Cream Milk (Amul Gold) SNF

3.0% Min 8.5% Min 6.0% Min 9.0% Min

Amul Milk is available in Pune and surrounding areas in Toned, Full cream and cow milk varieties. Amul Milk strictly confirms to PFA standards. Amul keep his standards higher so as to abundantly comply with the legal requirements and to provide wholesome nutritive food to his consumers. They are sure of getting milk, which has longer life because of superior bacteriological quality and state of art processing technology. The loose milk available from local vendors often does not confirm to PFA standards. It often has less Fat and less Solid Non Fat then required. Why Dahi?

Dahi or Curd plays a key role in the Indian diet and in preparation of delicious dishes like Dahi Wada, Dahi Batata Puri, Dahi Rice, Dahi Idli, Dahi Raita, Kadhi and Muglai Food.

It is ideal meal accompaniment and is delicious as well as nutritious by itself too. It is also used to marinate veg. and non veg. dishes.

Dahi is well known for its nutritive values. The answer to making great tasting dishes is fresh, creamy and good quality dahi Amul Masti Dahi.

Why AMUL MASTI Dahi???

Making fresh Dahi is cumbersome, time consuming chore and can cause great embarrassment to the house wife when it is not prepared properly.

Dahi prepared by local shop owners or at home varies in terms of quality & culture used.

Amul Dahi is prepared in controlled conditions i.e. maintaining proper temperatures to grow beneficial bacteria and to avoid growth of harmful bacteria.

It is difficult to maintain controlled conditions at Home or at local shop level.

Many times the quality of Dahi available from the local market is far from satisfactory and often found to be contaminated as the culture used do not contain 100% beneficial bacteria.

AMUL MASTI DAHI is a pasteurized product i.e. free from unwanted bacteria.

AMUL MASTI DAHI is prepared with selected culture having pro health bacteria. The culture is developed after in depth research.

Superiority of Amul Masti Dahi

Amul Masti Dahi is prepared from purest, freshest pasteurized milk and it is free from added sugar. Whats more, Amul Masti Dahi doesnt contain any preservatives. Amul Masti Dahi is prepared from certified and selected bacterial culture which gives excellent curd.

Amul Masti Dahi is hygienically processed and packed in a reusable plastic tub as well as convenient pouch and thus free from possible adulteration.

Amul Masti Dahi is high on nutrition and taste. Thick, creamy Amul Masti Dahi has a rich, glossy texture. Food tastes even more delicious at the snap of your fingers.

The live microflora in Amul Masti Dahi helps the digestive system and enhances the immune systems ability to fight harmful

organisms. It improves the bodys natural defenses and helps keep the body functioning at its best.

Amul Masti Dahi having a probiotic nature contains live bacterial culture which increases milk digestibility, quickens recovery from certain types of diarrhea, skin infections, enhances immune function of the body and encourages the body to function in the best possible and most natural way.

Amul Masti Dahi contains all goodness of milk such as proteins, carbohydrates, fats, calcium, phosphorous, magnesium, zinc, iodine and vitamins.

Lactic acid in Amul Masti Dahi is helpful in absorption and utilization of calcium. Amul Masti Dahi is a quality product from the house of Amul at affordable price which gives value for money.

Amul Masti Dahi is widely available in: Gujarat, Delhi & NCR, Western UP, Mumbai, Pune, Nagpur, Raipur, Udaipur, Jodhpur, Jaipur, Indore, Bhopal, Chennai, Banglore.

Price: MRP (Rs./Pack)

COMPETITORS CHITALE DAIRY Chitale Dairy bears

Pack

Cup

Pouch Rs 16 Rs 09

PROFILE

400gm Rs 29 200gm Rs 15

the quality tag of the

Chitale Group.The company manufactures and markets highly functional

products. These cutting edge products are manufactured using state-ofthe-art technology and find applications in day-to-day transactions. Chitale dairy annual turn over of over Rs. 500 crores. Having built a brand identity for itself through the sheer range and quality of food products over the past five decades & more, Chitale Bandhu Mithaiwale is today a household name associated with the eating habits of not just the residents of Pune but all over Maharashtra. By establishing and operating through various corporate and non-corporate entities, this business today is a major supplier of food products all over India and is also slowly but surely establishing itself as a major exporter of its products. Its present exports are to countries like the USA, Singapore and Israel. Today the business has grown into a multi-crore one and is ably handled through a solid distribution and franchisee network in Pune and across the country. Chitale Bandhu Mithaiwale acquires all its dairy supplies from the Sangli dairy unit. Besides this, it has three main manufacturing concerns with multiple units in and around Pune, where state-of-the-art machinery is in use for production of various types of sweet, salted and ready-to-eat food products. These manufacturing units are:

Katraj Dairy Katraj was incorporated in 1960 with an intension of providing an organized facility of milk collection for the village level farmers situated in Pune district. Katraj Dairy started with milk collection of about 0.30 lakh (30.000) litres in the first year of operation and today, has steadily grown to over 3.25 lakh (0.32million) litres per day and has a financial turnover of over Rs.150 crores (Rs.1500 million / US$ 33 million) against Amuls annual turnover of over Rs. 52554 million / US$ 1325 million. Katraj Dairy has acheived ISO 9001:2000 & HACCP certification from DNV in Oct. 2006 & maintained. In Oct. 2009 Dairy has acheived ISO 9001:2008 & HACCP 2006 Dutch Standard from Det Norskey Veritus. Katraj Dairy with its eight chilling plants and 12 BMC spread almost all over the district has an installed milk handling capacity of over 5 lakh (0.50 million) liters per day. The main plant of Katraj is equipped with modern Pasteurizer, homogenizer, Cream separator, Ghee processing, automatic packing of milk and milk products and other quality testing devices and well equipped labs. Katraj Dairy has an installed processing capacity of 2 lakh (0.2 million) liters per day. Katraj dairy manufactures / Distributes milk and milk products like Pasteurized/ Homogenized-Cow milk ,Tonned milk , Double tonned milk ,Standardized Milk, Full cream milk,Cow & Buffello Cream and Ghee, Shrikhand, Amrakhand, Malai Paneer, Dahi, Flavoured Milk, Lassi, Jeera Tak, Table Butter, Milk Powder, Softy Ice cream, pedha , Khoa and in the near future plans to introduce sterilized milk in 200ml bottle and hard icecream with different flavours in different pack sizes..

All these products are available at Katraj owned parlours at various locations in Pune City and through appointed distributors and retailing circuits. Very soon, Katraj plans to introduce an online ordering system for its distributors/ retailers and consumers. Katraj products have been in use in thousands of homes in Pune since 1961. Katraj Milk, Katraj Ghee, Katraj Shrikhand, Katraj

Amrakhand,Katraj Lassi,Katraj Jeera tak (buttermilk) , Katraj cream have made Katraj a leading food brand in Western Maharashtra.

Today Katraj is a symbol of high-quality milk products sold at reasonable prices, the genesis of a vast co-operative network triumph of indigenous technology, the marketing savvy of a farmers' organization

Warna Dairy The 'Warana Dairy', one of the successful' co-operative dairy, was established in 1968, with the noble purpose of providing an additional source of income to the farmers from the surrounding villages. This revolutionary movement has crossed the turnover of Rs. 400 crores per annum. The dairy has already acquired the ISO 9001-2000 & H.A.C.C.P. Food Safety Certificate. In addition to this, Warana Dairy houses a plant of milk processing with the capacity of 10 lac litres per day. It is one of the most hygienic plant. Along with Warana Shrikhand- an indigenous Indian sweet,' Warana Milk Powder, UHT Milk in Tetra Pak,Produced in a quantity of 65 metric tonnes per day, it is exported to gulf nations like Kuwait, Saudi Arabia and Sharjah, African Countries, Bangaladesh, China. Warana Shrikhand has set a record of highest selling in India. It's also one of the most popular products in Maharashtra. All this stands as a solid proof of the Warana's quality. Soon, these products will be exported

to European countries, US, UK, Russia, South Africa and Bahrain. The dairy produces various Milk & Milk products like UHT Tertra Pak Milk, Pasteurized Milk, Milk Powder, Shrikhand, Ghee, Butter, Cheese,Paneer, Chhass, Dahi, Lassi and many more. The Warana Dairy is now all set to enter the European market with its wide range of quality products. Mahanand Dairy MRSDMM is an Apex Federation of District / Taluka milk unions established to implement the Operation Flood programme in the state of Maharashtra. The main objectives of MRSDMM is to procure milk from the member milk unions at remunerative rates and distribute the same to the consumers at reasonable rates. MRSDMM is thus working as a vital link between the milk producers and consumers and working for the economic development and upliftment of the farmers in the rural areas. MRSDMM was established on 09th June, 1967.

At present MRSDMM have 103 member unions (25 District 59 Taluka + 19 Multi-state unions) with more than 24000 primary milk societies & 25 lacs which includes appx. 27000 women members. MAHANAND DAIRY is the unit run by the MRSDMM, Mahanand Dairy has made significant growth and progress in the field of productivity improvement, quality improvement, energy conservation, cost control etc. due to sincere and dedicated efforts put at all the levels. The details of significant growth, high lights and achievements of MRSDMM / MAHANAND DAIRY are as under :

ENHANCEMENT

IN

MILK

HANDLING

MAHANAND DAIRY was established on 18th Aug.1983 with a milk handling capacity of 4 LLPD and the capacity was expanded up to 6 LLPD during the year 1997-98. At present,Mahanand Dairy is distributing 4.20 Lacs litres milk per day in Mumbai with the help of one packing depot strategically located at NewMumbai (Capacity 3.00 LLPD) The total sale of milk under Mahanand Brand name in the state is 8.5 LLPD including the sale of milk in Konkan, Pune & Nagpur region. Mahanand Konkan Dairy plant has been established for giving special impetus for development of backward region. At present, we are selling about 30,000 ltrs. of milk per day from Konkan Dairy Project. Mahanand Pune Dairy Plant is established to supply Mahanand MIlk to the huge population in Pune city and surrounding area. At present, we are selling about 45,000 ltrs. of milk per day from Pune Dairy Project. Mahanad Nagur Dairy Plant is establish to provide special impetus to backward region of Vidarbh in general and Nagpur in particular. At present we are selling about 50,000 ltrs. of milk from Nagpur Dairy. Mahanand Dairy Latur : During the financial year 2002-03 the MRSDMM has taken over the Government Milk Scheme Latur (GOVERNMENT OF MAHARASHTRA) on long term lease basis (30 years). The Mahanand Latur Dairy Plant has been started to provide special support to develop dairy activity in Marathwada region. At present we are selling about 30,000 liters per day of milk from Latur Dairy Plant.

ORGANIZATION STRUCTURE Organization Structure is divided into two parts: External Organization Structure Internal Organization Structure External Organization Structure External Organization Structure is the organization structure that affects the organization from the outside.

State Level Marketing Federation

District Milk Product Union Ltd.

Village Milk Product Union Ltd.

Villagers

As we know, GCMMF is unit of Gujarat Milk Marketing Federation, which is a co-operative organization. The villagers of more than 10000 villages of Gujarat are the bases of this structure. They all make village milk producers union, district level milk producers union and then a state level marketing federation is established. The structure is line relationship, which provideseasy way to operation. It also provides better communication between two stages. Internal Organization Structure: The following is internal organization chart of Amul: Organization Structure Chart Chairman

Managing Director

General Manager Asst. General Manager

Finance Dept.

Production Marketing Dept. Dept.

Sales & Purchase Dept.

Personnel Dept.

A systematic & well-defined organizational structure plays a vital role & provides accurate information to the top-level management. An organization structure defines a clear-cut line of authorities & responsibilities among the employees of GCMMF. The Organization structure of Amul is well-arranged structure. At a glance a person can completely come to know about the organization structure. Amul is leaded by the director under him five branches viz. Factory, Marketing, Accounts, Purchase, Human Resources Department. Factory department has a separate general manager under him there are six braches viz. Production, Stores, Distribution, Cold Storage, Quality, and Deep-freezing. This department takes care of the factory work. Marketing department has regional senior marketing manager and under him there is a regional manager. This department takes care of the marketing aspects of Amul. Accounts department takes care regarding accounts i.e. day-today work. Under the accountant there is one clerk. Purchase department takes care regarding the purchase of raw materials and many other things.

OBJECTIVES AND THEOROTICAL CONCEPTSObjectiviesa.primary To study the 4 ps of AMUL Curd. To study product strategies for Growth To find the problems faced by retailers in selling Curd. To study the effect of marketing activities on Curd sale. b.secondary To study the penetration level of Amul Curd in Pune city. To collect the information about the competitors. To introduce new distributors for AMUL Curd and other products To organize sale promotional activities to improve curd sales. To generate and secure consumer awareness.

CONCEPTS USED IN THE STUDYIn order to study and attain above mentioned objectives, it is essential to study / revise following concepts in marketing in context of present study. Marketing mixThe term "marketing mix" was first used in 1953 when Neil Borden, in his American Marketing Association presidential address, took the recipe idea one step further and coined the term "marketing-mix". The marketing mix help us to define the marketing elements for successfully positioning our market offer. One of the best known models is the Four Ps, which helps us define our marketing options in terms of product, place, price and promotion. Use the model when we are planning a new venture, or evaluating an existing offer, to optimize the impact with our target market. Four PsElements of the marketing mix are often referred to as 'the four Ps':A prominent marketer, E. Jerome McCarthy, proposed a 4 P classification in 1960, which has seen wide use.

Product - A tangible object or an intangible service that is mass produced or manufactured on a large scale with a specific volume of units. Intangible products are service based like the tourism industry & the hotel industry or codes-based products like cellphone load and credits. Typical examples of a mass produced tangible object are the motor car and the disposable razor. A less obvious but ubiquitous mass produced service is a computer operating system. Packaging also needs to be taken into consideration.

Price The price is the amount a customer pays for the product. It is determined by a number of factors including market share, competition, material costs, product identity and the customer's perceived value of the product. The business may increase or decrease the price of product if other stores have the same product. Place Place represents the location where a product can be purchased. It is often referred to as the distribution channel. It can include any physical store as well as virtual stores on the Internet. Place is not exactly a physical store where it is available Place is nothing but how the product takes place or create image in the mind of customers.

Promotion represents all of the communications that a marketer may use in the marketplace. Promotion has four distinct elements: advertising, public relations, personal selling and sales promotion. A certain amount of crossover occurs when promotion uses the four principal elements together, which is common in film promotion. Advertising covers any communication that is paid for, from cinema commercials, radio and Internet adverts through print media and billboards. Public relations are where the

communication is not directly paid for and includes press releases, sponsorship deals, exhibitions, conferences, seminars or trade fairs and events. Word of mouth is any apparently informal communication about the product by ordinary individuals, satisfied customers or people specifically engaged to create word of mouth momentum. Sales staff often plays an important role in word of mouth and Public Relations.

MARKETING MIX-4P'S

PRODUCT

PRICE

PLACE

PROMOTION

Size Quality Shape Brand Colour Design

List price MRP Pricing policy Pricing strategy Trade discount Price discount

Area Location Coverage Transportation Warehousing Logistics

Advertising Sales promotion Publicity Personal selling Public relations Direct marketing

Variety

Cash discount

Material handling

Packaging

Quantity discount

Channels

Warranty Guarantee

Credit terms Mode payment

Distributor of Retailers

Accessories After

Penalty sale Installments

Agents Dealers

service

Product In marketing, a product is anything that can be offered to a market that might satisfy a want or need. LEVELS OF PRODUCT: The levels of product indicate the concept of value hierarchy of the product. This hierarchy helps the product manager to plane his offerings accordingly. 1.CORE PRODUCT-It is primary and most basic level of product also known as generic product. Curd is used as food diet . 2.FORMAL PRODUCT-In addition to the core product, a customer expects many things. One can satisfy this need with physical attributes, brand name, packaging, colour, style, and quality. This helps the seller to give a distinctive appeal to differentiate a formal a core product. 3.AUGMENTED PRODUCT-The intangible components of product along with the formal and core component is called an augmented product. The augmented product is nothing but the associated services like: Home Delivery, Installations, Customer education and training, customer care, Warranty and Guaranty, Financing, After sale service, Replacement policy etc. These intangible services help the product to deliver beyond the expectation level of the customer.

INTERPRETATIONS1. retailers were not satisfied with Amul replacement policy

2. Credit facility and free samples were not provided to single retailers.

4.POTENTIAL PRODUCT Nature of productAccording to type and classification of product curd is convenienceconsumer goods. Curd is perishable goods.

Product mix 1.Length-A category of product that includes different brands of the same category is called as the product line. Product line generally include closely related items either in terms of their functions or the benefits that they provided to the customers. Line of AmulMilk ,Ghee, Bread spread, health drink, Cheese, Ice-Creames, Milk powders, Melted milk food, Infant food, condensed milk. Length of amul productsAmul milk- TAZA , GOLD, SHAKTI, Amul Lite Slim and Trim Milk, Amul Calci+. 2.DepthDepth of product mix refers to the average number of items offered by the company under one brand within each product line. The depth is measured by assortment of variants, size, colours, shape, quality, models, price, tastes, fragrances etc. For example, Amul Curd in loose package and in tetra pack.

3.WidthWidth of product mix indicates total number of product lines of the company. 4.ConsistencyConsistency of product mix denotes relativity of closeness between various product lines of the product mix. Product lines may be consistent in terms of their: a. Production requirements b. Channels of distribution c. Consumer behaviour d. End-use and benefits of product e. Targeted segmented Product line appraisal-The four dimensions of length,width,depth and consistency have strong marketing implications on the product line and vice versa. INTERPRETATIONSAs Amul increases its product line length, it shows that it plans to enter deeper into each of the product market segment . As Amul increases the width of product mix, it shows that it plans to capitalised on its good reputation and marketing skills in the existing market by increasing its presence in other product categories. For example Ice-cream, Cheese etc.

1.line stretching-Line stretching is the process of lengthening the product line beyond its current range with an objective to serve a new market segment or customer group and also to create its presence in the industry,

serve a bigger size market. Line streatching may be carried out in three ways: a.Stretching Up -When a company add a high end product in terms of price and quality to its existing product.

INTERPRETATIONS-

Amul added high end products continuously in metropolitan city like Mumbai,Ahmedabad etc. This shows that companies try to attempt a new product comparatively of high prestige, to save the existing or new segment of market. For example Amul shakti and other Tetra pack milk. But in pune it has not been use yet. b. Stretching Down- When a company operating in the upper end market and wishes to cover the middle or lower end market by introducing a new product, comparatively of a lower price and prestige, then it is called as stretching down. c. Line Filling.

2.line pruning- The act of withdrawing a loss making brand from the product line is called as line pruning.

Product strategies for growthWith immense pressure to grow market share and profits, marketers are always on the lookout for ways to grow their businesses. Marketers have four variables to play with-

Existing market New market Existing product New product

Using these four variables, a company can have four strategies to pursue. They can increase their business by serving new products in their existing markets, existing products in the markets, new product in new markets, or existing product in the existing market.

Market Penetration M A R K E T S P R O D U C T S Market Development

Product Development

Diversification

Product Strategies: The Ansoff Matrix

RESEARCH METHODOLOGY
RESEARCH DESIGN FOLLOWED:Descriptive Research is the research method used because descriptive studies embrace a large proportion of market research. The purpose is to provide an accurate snapshot of some aspect of the market environment. Descriptive research is more rigid than exploratory research and seeks to describe users of a product, determine the proportion of the population that uses a product, or predict future demand for a product. As opposed to exploratory research, descriptive research should define questions, people surveyed, and the method of analysis prior to beginning data collection. In other words, who, what, where, when, why, and how aspects of the research should be defined. SAMPLING:SAMPLING TECHNIQUE USED In this project the technique of sampling used Judgment sampling. Judgment sampling involves the choice of subjects who are most advantageously placed or in the best position to provide the information required. SAMPLE UNIT In this project case sample were the retailers in Pune region & the aim was to know the penetration level of Amul Curd and the competitors present in the market. SAMPLE SIZE: 134 Retailers

DATA COLLECTION TECHNIQUES: In this project the technique of sampling used is Judgment sampling. Judgment sampling involves the choice of subjects who are most advantageously placed or in the best position to provide the information required. Information is collected by personally contacting retailers through interviews. Types of data analysis techniques used in the project: - Tabular analysis. - Graphical analysis. - Percentage analysis SOURCES OF DATA Internal sourceInformation is collected from a data of the company. External source1.PRIMARY DATA To collect primary data from Retailers Questionnaires are used. Questionnaire are prepared very carefully so that it may prove to be effective in collecting the right information. 2.SECONDARY DATA Secondary data collected from different website, Books, etc. This secondary data formed the conceptual background for the project. This secondary data was compared with the primary data collected in area.

RESEARCH INSTRUMENT The research instrument used in the project was Questionnaire to collect primary information, it provided flexibility by using more close ended and few open ended questions. METHOD OF DATA COLLECTION Information was collected by personally contacting retailers through interviews. ANALYSIS AND STATISTICAL TECHNIQUE USED Types of data analysis techniques used in the project: - Tabular analysis. - Graphical analysis. - Percentage analysis SCOPE OF PROJECT The study carried out in Pune city so its scope is mainly limited to Pune city. The product selected for a project is only Curd. Area for research work is allotted by our company project guide. Sample members are retailers only. It gives information about the services given by distributor to their retailer. It gives information about the competitors products. It provides suggestions to the company to improve their products sales. It gives information about the sales promotion activities to improve the curd sale.

DATA ANALYSIS AND INTERPRETATION

1) Number of retailers stocking Amul milk. Table No.5 Number of Amul Retailers

ANSWER NO.OF RESPONDENT YES NO 67 67

PERCENTAGE

50% 50%

Graph no.3

NO. OF AMUL RETAILERS


ANSWER 0% YES NO

50%

50%

INTERPRETATION: The above graph indicates that only half of the retailers are selling Amul curd or there is only 50% penetration level of Amul curd in retail outlets

of Punecity.It shows that Amul curd brand is not much popular among the retailers.

2) Reasons for Amul curd not stored by retailers. Table No.6 Reasons for non storing of Amul curd Answer Low margin No replacement for leakage No distribution No. Of respondents 89 42 23 Graph no.4

No. Of respondents

89

42 23 Low margin No replacement for leakage No distribution

INTERPRETATION:

with Amul replacement and margin policy.

complained about distribution network.

3) Preference of retailers to curd brand. Table No.7 BRANDS RESPONDENTS Amul Chitale Katraj Others 28 60 28 18 Graph no.5

PREFERENCE OF MILK BRAND


others BRANDS RESPONDENTS Katraj Chitale Amul Series2 Series1

10

20

30

40

50

60

INTERPRETATION:

all.

4) Consumers expectation from Amul curd.

Table No.8 ATTRIBUTE Good quality Availability Low price Graph no.6 RESPONDENTS 26 19 23

30 25 RESPONDENTS 20 15 10 5 0 1 2 ATTRIBUTE 3 Good quality Availability Low price

INTERPRETATION: curd is being sale, and tried to collect feedback of customers about Amul curd.

curd mainly of Amul masti dahi.

5)Ratings from retailers for attributes of Amul curd. Table No.9 Ratings for attributes of Amul curd ATTRIBUTE BRAND S RATINGS Very Good Good Average Bad Very bad Total 68 68 Graph no.7
100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0%

QUALITY

AVAILABILITY PACKAGING MARGIN

IMAGE 50 18 30 21 19 26 12 25 5 10 23 22 3 8 19 41 68 68 68

RATINGS

Very bad Bad Average Good Very Good

ATTRIBUTES

INTERPRETATION: From the above graph it can be concluded that

QUALITY: Retailers are satisfied with Amul milk quality. Some retailers are not satisfied with Amul Masti Dahi.

BRAND IMAGE: The graph shows that Amul is having good brand image.

AVAILABILITY: Most of the retailers were satisfied with the Amul curd distribution.

MARGIN: Most of retailers were not satisfied with the margin policy given by Amul.

6)Sources from where retailers get Amul curd

Table No.10 Source for retailers for Amul curd Answer No. Of Percentage

respondents Distributors Other suppliers 65 3 96% 4%

Graph no.8

No. Of respondents
Distributors 4% Other suppliers

96%

INTERPRETATION: curd from Amul distributors.

7)Retailers satisfaction with Amul distributor

Table No.11 Retailers satisfaction with distributor

ANSWER NO.OF RESPONDENT YES NO 48 20

PERCENTAGE

71% 29%

Graph no.9

SATISFACTION WITH DISTRIBUTOR


29% YES 71% NO

INTERPRETATION: curd from Amul distributors. Some retailers are not satisfied with distributors because of the frequent change in distributors in the area like kondhawa, sahakar-nagar., late delivery by the distributor etc.

8)

Awareness among retailers about different Sales Promotional

activities for Amul curd. Table No.12 Activities Price off Free samples Advertisement P-O-P Displays Coupons Aware 23 8 64 57 61 Graph no.10 Not aware 45 60 4 11 8

PROMOTIONAL ACTIVITIES AWARENESS


Aware Not aware

4 45 23 60 8 64

11 57

8 61

INTERPRETATION:

activity that Amul carried out, but some respondents were unaware about various activities.

scheme during festivals. dit facility and free samples are not provided to single retailers.

1.BCG matrixTable No.13 Market growth rate 15.89%

Relative shares Data of Amul curd in Pune city

9.50%

Graph no.11

% growth
45.00 40.00 35.00 30.00 25.00 20.00 15.00 10.00 5.00 0.00 1 2 3 4 5 % growth

Table No.15 Avg sale and Market share Brand Avg sale(LLPD) Mkt Share 1.66 25 1.39 21 0.63 9.5 0.46 7 0.47 7 Chirale Kartaj Amul Mahanand Gokul

High

STARS

? (AMUL MILK)

Low

CASH COWS High

DOGS Low

The BCG Growth Share Matrix

InterpretationFrom data and graph it clears that amul curd in pune city has market growth more than 10% and less than 10% relative market share. That means high market growth and less market share. According to BCG matrix Amul curd in pune city falls under problem child category. SuggestionsSBU(Amul curd in pune) should try to convert into STAR and then into CASH COWS. For that it needs to carry1) High promotional activities 2) Aggressive advertising 3) High dealer margin- It is prime important for amul curd. As most of retailers are dissatisfied with margin strategy of amul

2. PLC of the Amul curd in pune city Table No.15 PLC YEAR 2005 LPD 25878 2006 27217 2007 38614 2008 44902 2009 52038

Graph no.12
60000 50000 40000 30000 20000 10000 0 2005 2006 2007 2008 2009 LLPD

LPD

The salient features of the growth stage are: 1. Rapid climb in sales. 2. New competitors enter the market and introduce new product thereby expanding distribution. 3. Prices almost remain the same. 4. Promotional expenditures remain the same. 5. Decline in Promotion-sales ratio.

6.Profits increase because of promotion. 7.unit-manufacturing cost falls. InterpretationThe graph and data shows that Amul curd in pune city is in the growth phase. Growth rate is decreased in last 2 years. SuggestionsSustain rapid market growth through 1. Improves product quality- amul should have to increase better quality than market leader Chitale to increase the shares in the market. 2. Add new features- Amul curd already changes the packaging of TAZA 3. Enter new segments- To enter the new segments Amul should have to increase product line in pune city . like introduction of skimmed curd with tetrapack that already introduced in the metrocity like Ahmedabad, Mumbai etc. And should also have to introduce 200gm pouch curd mostly for lower class people, as the number of retailers demanded for that mostly in Balaji-nagar. 4. Increase distribution coverage. 5. Lower price to attract buyers.

3. DATA ANALYSIS FOR SALES PROMOTION ACTIVITY We carried sales promotion activity at two places of Pune city 1. Sukhsagar-nagar 2. Kondhawa.bk

Table No.16 Curd Sales in new Retail outlet SR.NO Retail O/L preactivity sale Date 1 Hanuman minimarket 2 3 4 5 6 Dangi super market Laxmi trading keshar super market Jai bhavani Dhanlaxmi supermarket Total 13 44 44 3 1 3 0 2 3 15 10 3 6 3 15 10 3 6 12-07-2010 4 20 7 21 7 Post activity sale

Graph showing change in sales of curd after promotional activity Graph no.13

MARKET PENETRATION
16 14 12 MILK(L) 10 8 6 4 2 0 1 2 3 4 5 6 Series1 Series3

Graph no.14

change in sales of milk by promotional activity


40 35 30 MILK(l) 25 20 15 10 5 0 1 Hanuman minimarket 2 Dangi super market 3 Laxmi trading 4 keshar super market 5 Jai bhavani 6 Dhanlaxmi supermarket

Table No.17 Total curd sale in new outlets

DAYS Preactivity Total curd 13 sale/Day Activity 120 1 2 3 4 5 6 7 8

66 58 61 48 43 43 44 44

Graph no.15

6 Total Curd sale/Day


140 120 100 80 60 40 20 0

INTERPRETATION: From the research I get same (trend) data and same response from the consumers for both areas. So I come out with following observation and results:

Most of the retail outlets are not interested in Amul curd selling, but after launching coupons scheme, not only sales shoot up by considerable amount initially but also remain constant for next days.This is a type of pulling method by which sells increases from 13 litres to 120 litres and remain constant to 44 litres after the scheme. This shows that some consumers are attracted to the scheme while others are willing to buy Amul curd after the scheme was over. Retailers were not willing to kept Amul curd after the scheme was over because of the low margin and frequency of changing the distributors. SuggestionsThere should be banners and hoarding in the new area where new distributor has to be launch and promotional activities has to be carried out. So that lot of people aware about present of Amul Curd and of scheme.

FINDINGS OF THE RESEARCH

but if company provides them such facility they will be sale Amul Curd. are not interested in Amul curd selling. pouch are no available to the retailers for selling. terested in selling of Amul curd, it is found they were not happy with margin, availability and replacement of leak pouches.

receive more margin from non popularized brand that they could not from well known brands. from company selected distributors.

because of frequent change in distributors and late delivery of milk. activities undertaken by Amul. But more of the activities were not communicated by distributors. So it shows that distributors are taking the advantage of such activities. ailers ratings towards Amul curd rating most of the respondents complaining about profit margin and packaging date.

SUGGESTIONS AND CONCLUSIONS

not able to fulfill the demand of outlet in the peak season when demand is very high. Here company should consider on the supply of product in the peak season.

the pocket roads and not just in the outlets which lie on the easily accessible routes. pouch should make available to retailers for selling.

retailers about who claimed that Amul curd is not available to them on time. As Amul curd in Pune city is in a growing phase thus there is one way for Amul to sustain their curd business in the market by delivering outstanding satisfaction to their retailers, so that they can take interest in selling of Amul curd products. This can be done byrs, this motivates them to promote companys milk and milk products.

goodwill in the market.

who act as a connecting link between company and retailers.

scrutiny should be follow to check the scheme get being communicated properly by distributors or sales person.

painting; provide companys stand boards, Posters which help to sell Amul curd.

CONCLUSIONSThe Amul milk has a strong brand name. It is in the growing phase of PLC in a Pune city. It falls under problem child of BCG matrix. Company should increase promotional activities to attract new customer and also use different growing strategies like market penetration method to increase the sales. Amul should changes the policies according to the change in the area like margin level, replacement policy etc.

LIMITATIONS OF THE RESEARCH

Understand the whole market.

covered.

Bibliography

1. Rajan Saxena; Marketing Management, published by The McGrawHill companies, 4th edition, Page No.232-234. 2. Late Dr. P.C.Pardeshi; Basics Of Marketing, published by Nirali prakashan, 3rd edition; July 2009, Page No.5.5.1 to 5.5.4. 3.Prosenjit Datta; The Marketing Whitebook, published by

Businessworld, 6th edition; Jan 2010, Page No.107-109. 4.Chetan G. Chaudhari; Marketing Management, published by Nirali prakashan, 3rd edition; Jan 2010, Page No. 1.1 to 1.10. 5.<http://money.howstuffworks.com/customer-service.htm> assessed on Monday 7th August 2009, 6:30p.m 6. www.amul.com 7. <http://www.amul.com/achievementsdairycoop.html> assessed on 12/07/2010, 5:35p.m.

ANNEXURE

QUESTIONNAIRE (Retailer Survey)


Name of the shop: __________________________________________________ Retailer Name: ____________________________________________________ Address: __________________________________________________________

1) Do you stock Amul Curd?

a) Yes

b) No

2) If yes, which type of packs do you store? a) Cup b) Pouch

3) If No, Why? a. Absence of packaging date

b. Low margin

c. No replacement for leakage

d. Low distribution

4) What size of Amul Curd packets do you prefer to store?

a) 200gm

b) 400 ml

5) Which type of Products of Amul Curd packets do you prefer to store?

a) Amul Masti Dahi

b) Amul Prolife Probiotic Curd

6) Which is the most preferable brand of packaged curd that you stock?

7) Which company makes better product packaging

8) According to you, which company makes good promotional offers?

9) From where do you get Amul Curd?

a) Distributors

b) Other suppliers

10) Are you satisfied with Amul distributor?

a) Yes

b) No

11) How much Amul Curd stock do you keep?

a. 0-50 units

b. 50-100 units

c. 100-200 units

d. 200 + units

12) Do you know which Sales promotional activities does the company undertake for Amul Curd?

a) Price off

d) Free samples

b) Coupons

c) Advertisement

f) P-O-P Displays

13) What is consumers expectation from Amul Curd?

a) Good quality

b) Packaging

c) Availability

14) Give your ratings to following attributes of Amul milk.

Very good

Good

Average

Bad

Very bad

a) Quality

b) Brand image

c) Availability

d) Margin

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