1.

SEGMENTATION TARGETING & POSITIONING OF AMUL

Targeting Positioning

Segmentation

Market segmentation,Targeting and positioning

It is the process in marketing of grouping a market (i.e. Customers) i n t o
smaller subgroups. These markets are often termed niche markets
o r s p e c i a l t y m a r k e t s . These segments are fairly homogeneous in their attitudes about
certain variables.
Because of this intra-group similarity, they are likely to respond somewhat
s i m i l a r l y t o a g i v e n m a r k e t i n g s t r a t e g y. T h a t i s , t h e y a r e l i k e l y t o
h a v e similar feeling and ideas about a marketing mix comprised of a
g i v e n product or service, s o l d a t a g i v e n p r i c e , d i s t r i b u t e s in a certain way,
and promoted in a certain way.
Amul's robust strategies regarding STP for the product Butter has helped it to be no.1
throughout India.

SEGMENTATION FOR AMUL

The purpose of segmentation for AMUL butter
i s t o i d e n t i f y a n d t a r g e t p r i m e c u s t o m e r groups (e.g. the 20% that
account for 80% of your sales) so that they get the maximum return from a
limited marketing budget.
Homogeneity within the segment
Heterogeneity between the segments
Segments are measurable and identifiable
Segments are accessible and actionable
It is large enough to be profitable

TARGETING FOR AMUL

After the most attractive segments are selected, a company should

not d i r e c t l y s t a r t t a r g e t i n g a l l t h e s e s e g m e n t s . T h e a t t r a c t i v e n
e s s o f t h e segments is also depending on other important factors. In the main activity o f
defining a target market, four sub activities are given which are
t h e bases for deciding which segments will actually be targeted on.

POSITIONING FOR AMUL

AMUL has carefully cultivated its family based image.
Brand Positioning Statement : "The taste of India"- It has created a value for evryone in the value
chain, be it a customer or the supply chain.
Positioning Components :
Emotional Components : through the campaigns like ______ and "Taste of india"
Functinal Attributes : Unique functional attributes of Amul are :1.

Value for money : The best Quality Butter (dairy product) at the reasonable price

2.

Product Availability : It has huge supply chain and distribution netwroks across India and
has strong link back to the sourcing farmers.

Descriptive factor :
The butter is now a family product and relates to its homely image.
Brand Consistency :
Amul butter comes under the biggest brand that has been a part of the Topical campaign for 4 decades
now,one of the longest running advertisements in the world.
Target market and segment :
It has positioned variety of products for different market segments.

Segmentation
Companiescannotconnectwithallthecustomersinlarge,broadordiversemarkets.Buttheycandividesuchmarkets
intogroupsofconsumersorsegmentswithdistinctneedsandwants.Acompanythenneedstoidentifywhichmarket
segmentsitcanserveeffectively.
Thus,AmulMilkhasidentifiedthevarioussegmentsthatitneedstocatertowherethereexistpeoplewhopreferto
consumelowfatmilk,milkwithfatandmilkwiththehighestcontentoffatwhichisservedbyAmulTaaza,Amul
GoldandAmulDiamondrespectively.

BasesforSegmentingConsumerMarkets

1) Geographic Segmentation
2) Demographic Segmentation
3) Psychographic Segmentation
4) Behavioral Segmentation
Amul is a segmented market as kids, women, youth, calorie conscious and health conscious segment is
present.We can define it as a customer based market segmentation where they have launched a slew of
product for each market segment.

Targeting
ThefoursubactivitiesperformedbyAmulwhiletargetingare:
1)Definingtheabilitiesoftheproductandresourcesneededtoenteramarket
2)Analyzingcompetitorsontheirresourcesandskills
3)Consideringthecompany'sabilitiescomparedtothecompetitors'
4)Decidingontheactualtargetmarkets.

Positioning
Itmeansoccupyingthemostdesirablemarketspaceinconsumers'minds,makingthebrandalmostimpregnable.

Amul has carefully cultivated the family based homely image.

Brand Positioning statement: "The Taste of India", it has created value for everyone in the value chain, be
it a customer or the supply chain.
Positioning Components:
1) Emotional Component: Through the campaigns like "Gift for someone you love" or "The Taste of India".
2) Functional Attributes: Unique functional attributes of Amul are:

Value for Money- The best quality dairy product at the reasonable price.

Product Availability- Amul has a huge supply chain and distribution networks across India and has a
strong link back to the sourcing farmers.

3) Descriptive Factor: Amul has become a family brand and it relates to the homely image.
Brand Consistency: Amul runs the topical campaign for last four decades. It is one of the longest running
advertisements in the world.

Market Segmentation- The segmentation of Amul is the mass population and

in general.
Different people of different age groups and demography consume Amul
products. This
is due to Amuls presence, not only in the Milk market but is also present in
products such as Ice
cream, Butter, Cheese and other milk related products. It uses the principle of
mass marketing.
This article states how the real target audience are the regular middle class
people for ice creams
as higher end customers have a lot of high end products as an alternative in
ice cream. This
article also states that for other products like Butter and cheese, both high
end and low end
customers are the target as there are few high end brands with no real
difference in taste and
quality.

Segmentation,Targeting and Positioning of Amul

When Amul was formed, consumers had limited purchasing power,
and modest consumption levels of milk and other dairy products.
Thus, Amul adopted a low-cost price strategy to make its products
affordable and attractive to consumers. This helped Amul Butter
create its brand image in the household sector of the society.
The Amul Business Model: Amul follows a unique business model,
which aims at providing value for money products to its consumers,
protecting the interests of milk-producing farmers who are its
suppliers as well as its owners. Amul has given multinationals a run
for their money.