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Amul - Evolution of Marketing Strategy



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Case Code : MKTA011 Case Length : 26 Pages Period : 2004 Pub Date : 2004 Teaching Note :Not Available Organization : Gujarat Co-operative Milk Marketing Federation (GCMMF) Industry : Food Countries : India

The cooperative model pioneered by Amul - a union of primary village dairy cooperatives- came to be known as the "Anand pattern" cooperative system. It was a three-tier structure that comprised village societies, district level dairy unions and a state level federation. Each tier was economically independent of the others and comprised representatives elected from the tier below it. The organizations at each level were governed by their own bylaws, and were managed by democratically elected boards...
Product Development

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Amul's product development was driven both by the spirit of the cooperative system and profitability. Being a cattle farmers' cooperative, Amul was committed to buying all the milk offered by the farmer. The perishable nature of milk made it imperative for Amul to process the surplus milk and enter new product categories as production increased... Butter Launched in 1955, butter was one of the first milk products offered by Amul. It was also the first time Amul successfully challenged the hegemony of an established brand. Amul's earliest competitor, Polson had been the monopoly milk supplier to the Bombay Milk Scheme. Amul displaced Polson to emerge as the undisputed leader in the butter market...

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Cheese GCMMF launched processed cheese in 1959 followed by cheese powder in the early 1970s. In the 1980s the popularity of cheese increased... Ghee, Skimmed milk powder and Baby food Amul launched ghee (clarified butter) and skimmed milk powder in 1955. Amul Ghee was an instant success... Milk and UHT Milk Amul was the market leader in the Gujarat whole milk market with a 90% market share in 2002. Apart from supplying milk to parts of Maharashtra and Rajasthan, GCMMF also sold milk to the NDDB owned Mother Dairy in Delhi... Excerpts Contd...>>
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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

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Amul - Evolution of Marketing Strategy



Case Details Case Intro 1 Case Intro 2 Excerpts

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ICMR HOME | Case Studies Collection

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Case Details:

Case Code : MKTA011 Case Length : 26 Pages Period : 2004 Pub Date : 2004 Teaching Note :Not Available Organization : Gujarat Co-operative Milk Marketing Federation (GCMMF) Industry : Food Countries : India

Amul's philosophy had all along been to deliver value for money to its customers. Despite being priced economically, Amul maintained its product quality...
Distribution

GCMMF's formidable distribution network comprised 300 stock keeping units, 46 sales offices, 3,000 distributors, 100,000 retailers with refrigerators, an 18,000-strong cold chain, and 500,000 nonrefrigerated retail outlets...
Advertising and Sales Promotion

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Over the years, Amul's advertising philosophy had been "to be simple, fresh and innovative". The clean, emotion-based ads refrained from using hi-tech special effects, and aimed at maintaining the perfect balance between the traditional and the modern...
Looking Ahead

The liberalization of the dairy industry in 1991 had seen a number of multinational players like Britannia, Le Bon, Dabon and Hi-Life enter the sector. Analysts wondered whether a cooperative with limited financial

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means could stand up to the might of these MNCs, and if its low pricing strategy would continue to stay relevant. MNCs like Pizza Hut, Domino's, Hindustan Lever Limited and Cadbury had also become competitors. Amul had proved its detractors wrong and firmed up ambitious growth plans...
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Exhibit I: Amul- Tapping Other Farmer Cooperatives Exhibit II: The Anand Cooperative Model Exhibit III: Gujarat Cooperative Milk Marketing Federation (GCMMF): An Overview Exhibit IV: GCMMF - Sales Turnover Exhibit V: Amul's Product Profile Exhibit VI: List of Products Marketed by Amul
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Please note:
Fundamentals of Marketing Management Workbook Workbooks Collection Case Studies in Marketing - Vol. II Case Study Volumes Collection Fundamentals of Marketing Management ICMR Textbooks Collection This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

Case Studies Links:- Case Studies, Short Case Studies, Simplified Case Studies. Other Case Studies:- Multimedia Case Studies, Cases in Other Languages. Business Reports Link:- Business Reports. Books:- Textbooks, Work Books, Case Study Volumes.

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