15652451 amul project by rohit

8/7/2019 15652451 Amul Project by Rohit

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A REPORT

ON

PRE LAUNCH SURVEY OF CURD IN JAIPUR

BY

ROHIT RANJAN THAKUR

GUJARAT COOPERATIVE MILK MARKETTING

FEDERATION


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A REPORT

ON

PRE LAUNCH SURVEY OF CURD IN JAIPUR

BY

ROHIT RANJAN THAKUR

GUJARAT COOPERATIVE MILK MARKETTING

FEDERATION

DATE OF SUBMISSION

15TH

May 2009


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AUTHORIZATION

This report is in the partial fulfillment of the requirement of MBA program ofICFAI BUSINESS

SCHOOL , JAIPUR .This is to be submitted to two places :

1] TO FACULTY GUIDE

Dr SUDHIR RAJGURU

FACULTY [ IBS , JAIPUR]

2] TO COMPANY GUIDE

Mr NARENDRA SINGH

ASST. MANAGER AMUL , JAIPUR

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ACKNOWLEDGEMENT

With immense pleasure, I would like to present this project report for Gujarat Cooperative MilkMarketing Federation Ltd., Anand (AMUL). It has been an enriching experience for me to

undergo my summer training at AMUL, which would not have possible without the goodwill

and support of the people around. As a student ofICFAI BUSINESS SCHOOL ,JAIPUR I would like

to express my sincere thanks too all those who helped me during my practical training program.

Words are insufficient to express my gratitude toward Mr. ASHOK MATHUR , the branch

manager AMUL, JAIPUR. I would like to give my heartily gratitude to the organization guide,

Mr. NARENDRA SINGH , Assistance Manager (Sales), Amul India Ltd., JAIPUR for having given

me the opportunity to do my project work in the organization. and lighted my way of progress

with his guidance .

My sincere and deepest thanks to Dr SUDHIR RAJ GURU Faculty Member, ICFAI BUSINESS

SCHOOL, JAIPUR for having spared his valuable time with me and for all the guidance given in

executing the project as per requirements

.

Last but not least, I would like to record my deepest sense of gratitude to RATAN ,BHAWAR and

PRAVEEN SIR [sales person] and my friends for their support and constant encouragement

However, I accept the sole responsibility for any possible error of omission and would be

extremely grateful to the readers of this project report if they bring such mistakes to my notice.

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EXECUTIVE SUMMARYIRohit Ranjan Thakur felt privileged to be a part of ICFAI business school , JAIPUR. I did my

summer internship training in Gujarat cooperative milk marketing federation a FMCG sector

company under the brand name AMUL MILK. My project title is the PRE LAUNCH SURVEY

OF CURD IN JAIPUR. The project basic objectives is to estimate demand of Amul curd before

its launch in Jaipur and promoting Amul milk in Jaipur at the same time.

In first part of the project I was propounded with the work of promoting Amul milk in three

areas of Jaipur namely Mahesh Nagar , Raja Park , Walled City . This promotion strategy was

further divided into four parts:

A) To change the existing Amul shops to Amul shopee under schemeB) To form new retailers accompanied with Amul shopee conversion work.C) To find dealer for Amul milk in the walled city area andD) To find out demand of Amul milk for the dealer in walled city .

It made me capable of communicating right words at the right time to the right person , which

is very important in marketing .

In the second part, I worked on my project ie; Pre launch Survey of Curd in Jaipur . Through

this project I estimated demand of Amul curd. As a methodology, I chose direct interview in the

form of questionnaires to know about consumers preferences. On the basis of these

preferences I drew out the factors effecting demand of curd, consumers nature of purchase

and how is it affected by their occupation or income .More over I estimated the demand on thebasis of competitors present demand ,which gave a fair idea of curd demand to Amul..

There were certain limitations of the project which are as follows:

y The field of study was very vast ,y Consumers socially desirable answers make a clear difference in what they say and

what actually they do.

Out of these two parts of my project I learnt two things:

y visibility is one of the area required for Amul milk to position into the peoples mindy Secondly, Amul should understand the expectations of people

If one wants to grow in FMCG sector one should keep the following factors in mind that the

products are easily available to the consumers, to improve the quality of products from time to


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time, thirdly, the price of the product should be low and last but not the least the visibility and

the promotional strategy should be such that it hits peoples mind.

TABLE OF CONTENTS

Authorization i Acknowledgement ii Executive Summary iii Industry profile 1 Introduction of organization 7

j History 9j

Company profile 13

j Company in Jaipur 38j Amul today 40

Introduction of project 42 Proposed methodology 43 Survey report 43

j Data collection 43


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j Limitations 46j Analysis 47j Demand estimation 68

Concepts 70 Activity done 74 Finding and suggestions 76 Conclusion 77


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INDUSTRY PROFILE

FOOD INDUSTRY

The food industry is the complex, global collective of diverse businesses that together supply

much of the food energy consumed by the world population. Only subsistence farmers, those

who survive on what they grow, can be considered outside of the scope of the modern food

industry.

The food industry includes:

Regulation: local, regional, national and international rules and regulations for food production

and sale, including food quality and food safety, and industry lobbying activities

Education: academic, vocational, consultancy

Research and development: food technology

Financial services: insurance, credit

Manufacturing: agrichemicals, seed, farm machinery and supplies, agricultural construction,

etc.

Agriculture: raising of crops and livestock, seafood

Food processing: preparation of fresh products for market, manufacture of prepared food

products


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Marketing: promotion of generic products (e.g. milk board), new products, public opinion,

through advertising, packaging, public relations, etc

Wholesale and distribution: warehousing, transportation, logistics

Retail: supermarket chains and independent food stores, direct-to-consumer, restaurant, foodservices

ADVANTAGE OF INDIA UNDER FOOD INDUSTRY:

India is one of the largest food producers in the world

India has diverse agro-climatic conditions and has a large and diverse raw material base suitable

for food processing companies

Investment requirement of around US$ 15 billion exists in the food processing sector India is looking for investment in infrastructure, packaging and marketing India has huge scientific and research talent pool A largely untapped domestic market of 1000 million consumers 300 million upper and middle class consume processed food 200 million more consumers expected to shift to processed food by 2010 Well developed infrastructure and distribution network Rapid urbanization, increased literacy, changing life style, increased number of women

in workforce, rising per capita income- leading to rapid growth and new opportunities in

food and beverages sector

50 per cent of household expenditure by Indians is on food items Strategic geographic location (proximity of India to markets in Europe and Far East,

South East and West Asia)

Under the food industry, Dairy product is very important part of food processing. Dairyprocessing is acting good role in India.

Dairy Processing


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India ranks first in the world in terms of milk production. Indian production stands at 91 million

tones growing at a CAGR of 4 per cent. This is primarily due to the initiatives taken by the

Operation flood programmes in organizing milk producers into cooperatives; building

infrastructure for milk procurement, processing and marketing and providing financial,

technical and management inputs by the Ministry of Agriculture and Ministry of FoodProcessing Industries to turn the dairy sector into viable self-sustaining organized sector. About

35% of milk produced in India is processed. The organized sector (large scale dairy plants)

processes about 13 million tones annually, while the unorganized sector processes about 22

million tones per annum. In the organized sector, there are 676 dairy plants in the Cooperative,

Private and Government sectors registered with the Government of India and the state

Government

FMCG

Products which have a quick turnover, and relatively low cost are known as Fast MovingConsumer Goods (FMCG). FMCG products are those that get replaced within a year. Examples

of FMCG generally include a wide range of frequently purchased consumer products such as

toiletries, soap, cosmetics, tooth cleaning products, shaving products and detergents, as well as

other non-durables such as glassware, bulbs, batteries, paper products, and plastic goods.

FMCG may also include pharmaceuticals, consumer electronics, packaged food products, soft

drinks, tissue paper, and chocolate bars.

A subset of FMCGs are Fast Moving Consumer Electronics which include innovative electronic

products such as mobile phones, MP3 players, digital cameras, GPS Systems and Laptops. These

are replaced more frequently than other electronic products.

White goods in FMCG refer to household electronic items such as Refrigerators, T.Vs, Music

Systems, etc.

Indian FMCG Sector

The Indian FMCG sector is the fourth largest in the economy and has a market size of US$13.1

billion. Well-established distribution networks, as well as intense competition between the

organized and unorganized segments are the characteristics of this sector. FMCG in India has astrong and competitive MNC presence across the entire value chain. It has been predicted that

the FMCG market will reach to US$ 33.4 billion in 2015 from US $ billion 11.6 in 2003. The

middle class and the rural segments of the Indian population are the most promising market for

FMCG, and give brand makers the opportunity to convert them to branded products. Most of


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the product categories like jams, toothpaste, skin care, shampoos, etc, in India, have low per

capita consumption as well as low penetration level, but the potential for growth is huge.

The Indian Economy is surging ahead by leaps and bounds, keeping pace with rapid

urbanization, increased literacy levels, and rising per capita income.

The big firms are growing bigger and small-time companies are catching up as well. According

to the study conducted by AC Nielsen, 62 of the top 100 brands are owned by MNCs, and the

balance by Indian companies. Fifteen companies own these 62 brands, and 27 of these are

owned by Hindustan Lever. Pepsi is at number three followed by Thums Up. Britannia takes the

fifth place, followed by Colgate (6), Nirma (7), Coca-Cola (8) and Parle (9). These are figures the

soft drink and cigarette companies have always shied away from revealing. Personal care,

cigarettes, and soft drinks are the three biggest categories in FMCG. Between them, they

account for 35 of the top 100 brands

THE TOP 10 COMPANIES IN FMCG SECTOR

S. NO. Companies

1. Hindustan Unilever Ltd.

2. ITC (Indian Tobacco Company)

3. Nestl India

4. GCMMF (AMUL)

5. Dabur India

6. Asian Paints (India)

7. Cadbury India


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8. Britannia Industries

9. Procter & Gamble Hygiene and Health Care

10. Marico Industries

The growth in rural income has been better than urban income since the minimum support

price for crops like wheat and paddy has been substantially hiked. Even prices of pulses, rice,

oilseeds and milk have increased dramatically over the last one year. The disposable income

with the farmer is higher now, said Rajesh Gupta, the president of DCM Shriram Consolidated-

promoted Hariyali Kisaan Bazaar.The firm runs 180 stores and is present in Uttar Pradesh,

Punjab, Haryana, Rajasthan and Maharashtra. These stores saw a 30 to 40 per cent growth inFMCG sales and a three-figure growth in grocery sales during the April-June quarter.

The FMCG growth at 25 per cent in the April-June quarter (over the corresponding period last

year) is higher than earlier years. Better prices for farm produce, the increased government

spending and remittances from workers in urban areas have contributed to higher income,

said S Sivakumar, chief executive (agri-business), ITC. It has 23 stores in Uttar Pradesh, Madhya

Pradesh and Maharashtra.

Sivakumar added that sales of agricultural inputs have done even better. With higher prices for

the produce providing the incentive, on the one hand, and shortage of labour spurring the useof inputs, on the other hand, there is an increase in sales of the farm input.

Rise in food prices is not the only reason. Large retail players like Reliance, Spencers and

Subhiksha procure farm commodities in bulk directly from the fields and this has cut out the

middle mans commission, which farmers used to pay.

Moreover, farm earnings do not attract income tax. The future is set to see a further

improvement in the disposable income from agriculture due to the Rs 71,000-crore farm-loan

waiver and increased government spending on raising the farm output through schemes.

When disposable income goes up, a part of it is spent on apparel, FMCG and education. I feelwe are going through this phase. At the same time, the farm-loan waiver and debt-relief

scheme, which became public about four months ago, has also been factored into by farmers,


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Gujarat Cooperative Milk Marketing Federation (GCMMF) is India's largest food products

marketing organisation. 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. AMUL is the brand under this

organization.

Amul's product range includes milk powders, milk, butter, ghee, cheese, curd, chocolate, ice

cream, cream, shrikhand, paneer, gulab jamuns, basundi, Nutramul brand and others. In

January 2006, Amul plans to launch India's first sports drink Stamina, which will be competing

with Coca Cola's Powerade and PepsiCo's Gatorade .

Amul is the largest food brand in India and world's Largest Pouched Milk Brand with an annual

turnover of US $1050 million (2006-07). Currently Amul has 2.6 million producer members with

milk collection average of 10.16 million litres per day. Besides India, Amul has entered overseas

markets such as Mauritius, UAE, USA, Bangladesh, Australia, China, Singapore, Hong Kong and a

few South African countries. Its bid to enter Japanese market in 1994 had not succeeded, but

now it has fresh plans of flooding the Japanese markets .Other potential markets being

considered include Sri Lanka.

Dr Verghese Kurien, former chairman of the GCMMF, is recognised as the man behind the

success of Amul. On 10 Aug 2006 Parthi G Bhatol, chairman of the Banaskantha Union, was

elected chairman of GCMMF.

CRISIL, India's leading Ratings, Research, Risk and Policy Advisory company, has

assigned its highest ratings of "AAA/Stable/P1+" to the various bank facilities of

GCMMF.

Members: 13 district cooperative milk producers'

Union

No. of Producer Members: 2.7 million

No. of Village Societies: 13,141

Total Milk handling capacity: 10.21 million litres per day

Milk collection (Total - 2007-08): 2.69 billion litres


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Milk collection (Daily Average 2007-

08):

7.4 million litres

Milk Drying Capacity: 626 Mts. per day

Cattlefeed manufacturing Capacity: 3090 Mts per day

Sales Turnover Rs (million) US $ (in million)

1994-95 11140 355

1995-96 13790 400

1996-97 15540 450

1997-98 18840 455

1998-99 22192 493

1999-00 22185 493

2000-01 22588 500

2001-02 23365 500

2002-03 27457 575

2003-04 28941 616

2004-05 29225 672

2005-06 37736 850

2006-07 42778 1050

2007-08 52554 1325

HISTORY

Amul was formally registered on December 14, 1946. The brand name Amul, sourced from the

Sanskrit word Amoolya, meanspriceless. It was suggested by a quality control expert in Anand and it

was chosen because it was a perfect acronym for Anand Milk Union Limited.

The Amul revolution was started as awareness among the farmers. It grew and matured into a

protest movement that was channeled towards economic prosperity

Over five decades ago, the life of an average farmer in Kheda District was very much like

that of his/her counterpart anywhere else in India. His/her income was derived almost entirely


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from seasonal crops. The income from milk buffaloes was undependable. Milk producers had

to travel long distances to deliver milk to the only dairy, the Polson Dairy in Anand often milk

went sour, especially in the summer season, as producers had to physically carry milk in

individual containers. Private traders and middlemen controlled the marketing and distribution

system for the milk. These middlemen decided the prices and the off-take from the farmers by

the season. As milk is perishable, farmers were compelled to sell it for whatever they wereoffered. Often, they had to sell cream and ghee at throw-away prices. In this situation, the

private trader made a killing. Moreover, the government at that time had given monopoly

rights to Polson Dairy, which was run by a person ofParsi descent, (around that time Polson

was the most well known butter brand in the country) to collect milk from Anand and supply to

Mumbai city in turn (about 400 kilometers away). Another problem farmers faced was that in

winter the milk output of buffaloes doubled which caused prices to fall down even further.

India ranked nowhere amongst milk producing countries in the world in 1946. Gradually, the

realization dawned on the farmers with inspiration from then nationalist leaders Sardar

Vallabhbhai Patel (who later became the first Home Minister of free India) and Morarji

Desai (who later become the Prime Minister of India) and local farmer, freedom fighter andsocial worker Tribhovandas Patel, that the exploitation by the trader could be checked only

if they marketed their milk themselves. Amul was the result of the realization that they could

pool up their milk and work as a cooperative

Setting up of Kaira District Co-operative Milk Producers' Union

In the early 40s, the main sources of earning for the farmers of Kaira district were

farming and selling of milk. That time there was high demand for milk in Bombay. The main

supplier of the milk was Polson dairy limited, which was a privately owned company and held

monopoly over the supply of milk at Bombay from the Kaira district. This system leads to

exploitation of poor and illiterates farmers by the private traders. The traders used to beside

the prices of milk and the farmers were forced to accept it without uttering a single word.

However, when the exploitation became intolerable, the farmers were frustrated. They

collectively appealed to Sardar Vallabhbhai Patel, who was a leading activist in the freedom

movement. Sardar Patel advised the farmers to sell the milk on their own by establishing a co-

operative union, Instead of supplying milk to private traders. Sardar Patel sent the farmers to

Shri Morarji Desai in order to gain his co-operation and help. Shri Desai held a meeting at

Samarkha village near Anand, on 4th

January 1946. He advised the farmers to form a society for

collection of the milk.


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These village societies would collect the milk themselves and would decide the prices at

which they can sell the milk. The district union was also form to collect the milk from such

village co-operative societies and to sell them. It was also resolved that the Government should

be asked to buy milk from the union.

However, the govt. did not seem to help farmers by any means. It gave the negative

response by turning down the demand for the milk. To respond to this action of govt., the

farmers ofKaira district went on a milk strike. For 15 whole days not a single drop of milk was

sold to the traders. As a result the Bombay milk scheme was severely affected. The milk

commissioner of Bombay then visited Anand to assess the situation. Having seemed the

condition, he decided to fulfill the farmers demand.Thus their 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.


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At the initial stage only 250 liters of milk was collected everyday. But with the growing

awareness of the benefits of the cooperativeness, the collection of milk increased. Today Amul

collect 11 lakhs liters of milk everyday. Since milk was a perishable commodity it becomes

difficult to preserve milk flora longer period. Besides when the milk was to be collected from

the far places, there was a fear of spoiling of milk. To overcome this problem the union thought

out to develop the chilling unit at various junctions, which would collect the milk and could chill

it, so as to preserve it for a longer period. Thus, today Amul has more than 150 chilling centers

in various villages. Milk is collected from almost 1073 societies. With the financial help from

UNICEF, assistance from the govt. of New Zealand under the Colombo plan, of Rs. 50 millions

for factory to manufacture milk powder and butter was planned.

Setting Up of Gujarat Cooperative Milk Marketing Federation

In 1954, Kaira District Co-operative Milk Producers Union built a plant to convert surplus milk

produced in the cold seasons into milk powder and butter. In 1958, a plant to manufacture

cheese and one to produce baby food were added. Subsequent years saw the addition of more

plants to produce different products. In 1973, the milk societies/district level unions decided to

set up a marketing agency to market their products. This agency was the Gujarat Cooperative

Milk Marketing Federation (GCMMF). It was registered as a co-operative society on 9 July 1973


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. Dr.RajendraPrasad, the president of India laid the foundation on November 15, 1954.

Shri Pandit Jawaharlal Nehru, the prime minister of India declared it open at Amul dairy on

November 20, 1955.

COMPANY PROFILE

THE TASTE OF INDIA,AMUL comes from the Sanskrit word Amoolya, means priceless. It wassuggested by a quality control expert in Anand and it was chosen because it was a perfect

acronym for Anand Milk Union Limited . AMUL was formed under the dairy cooperative

movement in India in 1946

The Amul Pattern has established itself as a uniquely appropriate model for rural development.

Amul has spurred the White Revolution of India, which has made India the largest producer of

milk and milk products in the world. It is also the world's biggest vegetarian cheese brand . The

system succeeded mainly because it provides an assured market at remunerative prices for

producers' milk besides acting as a channel to market the production enhancement package.

What's more, it does not disturb the agro-system of the farmers. It also enables the consumer

an access to high quality milk and milk products. Contrary to the traditional system, when the

profit of the business was cornered by the middlemen, the system ensured that the profit goes

to the participants for their socio-economic upliftment and common good.


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Looking back on the path traversed by Amul, the following features make it a pattern and

model for emulation elsewhere.

Amul has been able to:

Produce an appropriate blend of the policy makers farmers board of management andthe professionals: each group appreciating its rotes and limitations,

Bring at the command of the rural milk producers the best of the technology andharness its fruit for betterment.

Provide a support system to the milk producers without disturbing their agro-economicsystems,

Plough back the profits, by prudent use of men, material and machines, in the ruralsector for the common good and betterment of the member producers and

Even though, growing with time and on scale, it has remained with the smallestproducer members. In that sense. Amul is an example par excellence, of an intervention

for rural change.

Organisation structure

It all started in December 1946 with a group of farmers keen to free themselves from

intermediaries, gain access to markets and thereby ensure maximum returns for their efforts.

Based in the village of Anand, the Kaira District Milk Cooperative Union (better known as Amul)

expanded exponentially. It joined hands with other milk cooperatives, and the Gujarat network

now covers 2.12 million farmers, 10,411 village level milk collection centers and fourteen

district level plants (unions) under the overall supervision of GCMMF.

There are similar federations in other states. Right from the beginning, there was recognition

that this initiative would directly benefit and transform small farmers and contribute to the

development of society.

Markets, then and even today, are primitive and poor in infrastructure. Amul and GCMMF

acknowledged that development and growth could not be left to market forces and that

proactive intervention was required. Two key requirements were identified.


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The first, that sustained growth for the long term would depend on matching supply and

demand. It would need heavy investment in the simultaneous development of suppliers and

consumers.

Second, that effective management of the network and commercial viability would require

professional managers and technocrats. To implement their vision while retaining their focus

on farmers, a hierarchical network of cooperatives was developed, which today forms the

robust supply chain behind GCMMF's endeavors. The vast and complex supply chain stretches

from small suppliers to large fragmented markets.

Management of this network is made more complex by the fact that GCMMF is directly

responsible only for a small part of the chain, with a number of third party players (distributors,

retailers and logistics support providers) playing large roles.

Managing this supply chain efficiently is critical as GCMMF's competitive position is driven by

low consumer prices supported by a low cost system.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.

Type Cooperative

Founded 1946

Headquarters Anand, India

Key people

Chairman, Gujarat Co-operative

Milk Marketing Federation Ltd.

(GCMMF) B.M. VYAS

Industry Dairy

ProductsSee complete products

listing.


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List of Products Marketed:

Breadspreads:

y Amul Buttery

Amul Lite Low Fat Breadspready Amul Cooking Butter

Cheese Range:

y Amul Pasteurized Processed Cheddar Cheesey Amul Processed Cheese Spready Amul Pizza (Mozarella) Cheese

Revenue $1.33 billionUSD (in 2007-08)

Employees 2.41 million milk producers

Website www.amul.com


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y Amul Shredded Pizza Cheesey Amul Emmental Cheesey Amul Gouda Cheesey Amul Malai Paneer (cottage cheese)y Utterly Delicious Pizza

Mithaee Range (Ethnic sweets):

y Amul Shrikhand (Mango, Saffron, Almond Pistachio, Cardamom)y Amul Amrakhandy Amul Mithaee Gulabjamunsy Amul Mithaee Gulabjamun Mixy Amul Mithaee Kulfi Mixy Avsar Ladoos

UHT Milk Range:

y Amul Shakti 3% fat Milky Amul Taaza 1.5% fat Milky Amul Gold 4.5% fat Milky Amul Lite Slim-n-Trim Milk 0% fat milky Amul Shakti Toned Milky Amul Fresh Creamy Amul Snowcap Softy Mix

Pure Ghee:

y Amul Pure Gheey Sagar Pure Gheey Amul Cow Ghee

Infant Milk Range:

y Amul Infant Milk Formula 1 (0-6 months)y Amul Infant Milk Formula 2 ( 6 months above)y Amulspray Infant Milk Food

Milk Powders:


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y Amul Full Cream Milk Powdery Amulya Dairy Whitenery Sagar Skimmed Milk Powdery Sagar Tea and Coffee Whitener

Sweetened Condensed Milk:

y Amul Mithaimate Sweetened Condensed MilkFresh Milk:

y Amul Taaza Toned Milk 3% faty Amul Gold Full Cream Milk 6% faty Amul Shakti Standardised Milk 4.5% faty Amul Slim & Trim Double Toned Milk 1.5% faty Amul Saathi Skimmed Milk 0% faty Amul Cow Milk

Curd Products:

y Yogi Sweetened Flavoured Dahi (Dessert)y Amul Masti Dahi (fresh curd)y Amul Masti Spiced Butter Milky Amul Lassee

Amul Icecreams:

y Royal Treat Range (Butterscotch, Rajbhog, Malai Kulfi)y Nut-o-Mania Range (Kaju Draksh, Kesar Pista Royale, Fruit Bonanza, Roasted Almond)y Nature's Treat (Alphanso Mango, Fresh Litchi, Shahi Anjir, Fresh Strawberry, Black

Currant, Santra Mantra, Fresh Pineapple)

y Sundae Range (Mango, Black Currant, Sundae Magic, Double Sundae)y Assorted Treat (Chocobar, Dollies, Frostik, Ice Candies, Tricone, Chococrunch, Megabite,

Cassatta)

y Utterly Delicious (Vanila, Strawberry, Chocolate, Chocochips, Cake Magic)Chocolate & Confectionery:

y Amul Milk Chocolatey Amul Fruit & Nut Chocolate

Brown Beverage:

y Nutramul Malted Milk Food


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Milk Drink:

y Amul Kool Flavoured Milk (Mango, Strawberry, Saffron, Cardamom, Rose, Chocolate)y Amul Kool Cafe

Health Beverage:

y Amul Shakti White Milk Foodplease look at Annexure 5 for product details and view .

Amul

Commitment to Quality

Value for money

The generation of awareness The fostering of loyalty

Development of strong brand identity

Amul

1956


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Ice cream1996

Chocolates1973

Shrikhand1980

Fresh Milk1956

Milk

Power

1958

Cheese1962

Breadspread Ghee1956

Fat Free

Dessert

2002

Nutrauamul

1973

Gulabjamun

1997

UHT Range

1980/99

Amulspray

1968

Cheese

Spread

1986

Amul Butter

1956

Cow

Ghee

2002

Softy Mix

2001

Eclairs

2001

Gulabjamun

mix

1999

Condensed

Milk

1996

Amul WMP

1960

Paneer

1997

Amul Lite

1994

Amul Shakti

2003

Kulfi Mix

2001

Buttermilk

1998

Amulya

1987

pizza Cheese

1998

Margarine

2004

Chocozoo

2005

Laddoo

2004

fresh Curd

1999

Amul IMF

1&2

2001

Emmental

Cheese

1999

Basundi

2005

Flavoured

Milk

2001

Instant

FCMP

2002

Frozen Pizza

2002

Khoa

2006

Fresh Cream

2002

Gouda Cheese

2002

Kool Cafe

2005

AMUL PARLOUR


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Amul has recently entered into direct retailing through "Amul Utterly Delicious" parlours

created in major cities Ahmedabad, Bangalore, Baroda, Delhi, Mumbai, Hyderabad and Surat.

Amul has plans to create a large chain of such outlets to be managed by franchisees throughout

the country. We have created Amul Parlours at some prominent locations in the country, which

are run by the company or its wholesale dealers:

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"Amul Utterly Delicious" parlours are an excellent business opportunity for investors,

shopkeepers and organizations. In order to come closer to the customer, we have decided to

create a model for retail outlets, which would be known as "Amul Preferred Outlets"(APO).


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You can create your own Amul Parlour within your premises/ shop. All you have to do is e-mail

us at [email protected] or write to us at :

Retail Cell

Gujarat Co-operative Milk Marketing Federation Ltd.

Amul Dairy Road, Anand- 388001Ph: (02692) 258506,7,8&9

To have a better idea please go through the following:

1. The criteria for selection of APOs would be -a. Visibility - How prominent is the location of your shop?b. Shop area: 100 - 300 sq. ft.c. Good Business potentiald. Exclusive Amul outlet - no other productse. Willingness to sell the entire range of Amul Productsf. Creditworthiness and past business experience

2. On your inquiry - our Field force would visit your site. He/She would fill the APOproposal form with your passport size photograph. You would require:

i. Shops and Establishment licenseii. Layout of the shop and frontage - The layout of the shop designed by a local

architect/local contractor.

iii. 2 Passport size photographs

Renovation Work of the Shop to give it a standard look - would be done to meet the

design and specifications at your cost. The cost of renovation of a typical shop would normally

be between Rs. 60,000 to Rs. 1 lac.

Branding- The APOs would be branded as "Amul Utterly Delicious". The cost of the

signage fabrication and installation would be borne by GCMMF office operating in your region.

Equipment- You would require the following equipment:

. 1or 2 deep freezers can be purchased through Hamara Apna Deep FreezerScheme

a. 1 Refrigerator through Hamara Apna Refrigerator Schemeb. 1 pizza ovenc. 1 Chest Milk Cooler for Pouch Milk


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Security Deposit- You would be required to furnish an interest free refundable securitydeposit of Rs. 25,000 to us. An amount of Rs. 5000/- would be deducted towards refurbishing

the signage, in the event of closure of APO before 3-year of operation.

Supplies- The delivery of products would be done through our wholesale dealers

We feel that the shop has good potential, and needs support in the initial days, we canoffer additional margins upto maximum of 1% on dairy products and 2% on Ice cream. The

additional margin shall be target based and shall be given in kind. The support at best would be

given only for he first year of business.

Agreement- An agreement bringing us together would be signed.

CUSTOMER RELATIONSHIP MANAGEMENT

Under this head AMUL used to do lot of sponsorship shows they use lot of medium likeAdvertisements

Hoardings

News papers

T v shows

And many more to create awareness in the public and to make proper relation with customer

After product sell by taking feedbacks.

AMUL VIDYA SHREE AWARD

This is the award for topper in tenth class through this they use to make customer relation and

brand recognition .


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Amul takes immense pleasure in presenting The Amul Vidya Shree Award, Indias first of its

kind award that recognises and rewards Standard X toppers across India.

The awards are:

y Trophyy Citationy A Cash Award of Rs.1,000/-y The winner will be featured in one of Indias leading newspaper and will get national

recognition.

AMUL MASCOT

Since 1967 [8] Amul products' mascot has been the very recognisable "Amul baby" (a chubby

butter girl usually dressed in polka dotted dress) showing up on hoardings and product

wrappers with the equally recognisable tagline Utterly Butterly Delicious Amul.The mascot wasfirst used for Amul butter. But in recent years in a second wave of ad campaign for Amul

products, she has also been used for other product like ghee and milk.

Amul Butter Girl

Edited from an article by Mini Varma published in The Asian Age on March 3, 1996

The moppet who put Amul on India's breakfast table

50 years after it was first launched, Amul's sale figures have jumped from 1000

tonnes a year in 1966 to over 25,000 tonnes a year in 1997. No other brand comes even close to

it. All because a thumb-sized girl climbed on to the hoardings and put a spell on the masses.

Bombay: Summer of 1967. A Charni Road flat. Mrs. Sheela Mane, a 28-year-old housewife is

out in the balcony drying clothes. From her second floor flat she can see her neighbours on the

road. There are other people too. The crowd seems to be growing larger by the minute. Unable

to curb her curiosity Sheela Mane hurries down to see what all the commotion is about. She


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expects the worst but can see no signs of an accident. It is her four-year-old who draws her

attention to the hoarding that has come up overnight. "It was the first Amul hoarding that was

put up in Mumbai," recalls Sheela Mane. "People loved it. I remember it was our favourite topic

of discussion for the next one week! Everywhere we went somehow or the other the campaign

always seemed to crop up in our conversation."

Call her the Friday to Friday star. Round eyed, chubby cheeked, winking at you, from

strategically placed hoardings at many traffic lights. She is the Amul moppet everyone loves to

love (including prickly votaries of the Shiv Sena and BJP). How often have we stopped, looked,

chuckled at the Amul hoarding that casts her sometime as the coy, shy Madhuri, a bold

sensuous Urmila or simply as herself, dressed in her little polka dotted dress and a red and

white bow, holding out her favourite packet of butter.

For 30 odd years the Utterly Butterly girl has managed to keep her fan following intact. So much

so that the ads are now ready to enter the Guinness Book of World Records for being the

longest running

campaign ever. The ultimate compliment to the butter came when a British company launched

a butter and called it Utterly Butterly, last year.

It all began in 1966 when Sylvester daCunha, then the managing director of the advertising

agency, ASP, clinched the account for Amul butter. The butter, which had been launched in

1945, had a staid, boring image, primarily because the earlier advertising agency which was in

charge of the account preferred to stick to routine, corporate ads.

In India, food was something one couldn't afford to fool around with. It had been taken too

seriously, for too long. Sylvester daCunha decided it was time for a change of image.

The year Sylvester daCunha took over the account, the country saw the birth of a campaign

whose charm has endured fickle public opinion, gimmickry and all else.

The Amul girl who lends herself so completely to Amul butter, created as a rival to the Polson

butter girl. This one was sexy, village belle, clothed in a tantalising choliall but covering her

upper regions. "Eustace Fernandez (the art director) and I decided that we needed a girl who

would worm her way into a housewife's heart. And who better than a little girl?" says Sylvester

daCunha. And so it came about that the famous Amul Moppet was born.

That October, lamp kiosks and the bus sites of the city were splashed with the moppet on a

horse. The baseline simply said, Thoroughbread, Utterly Butterly Delicious Amul,. It was a

matter of just a few hours before the daCunha office was ringing with calls. Not just adults,

even children were calling up to say how much they had liked the ads. "The response was

phenomenal," recalls Sylvester daCunha. "We knew our campaign was going to be successful."


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For the first one year the ads made statements of some kind or the other but they had not yet

acquired the topical tone. In 1967, Sylvester decided that giving the ads a solid concept would

give them extra mileage, more dum, so to say. It was a decision that would stand the daCunhas

in good stead in the years to come.

In 1969, when the city first saw the beginning of the Hare Rama Hare Krishna movement,Sylvester daCunha, Mohammad Khan and Usha Bandarkar, then the creative team working on

the Amul account came up with a clincher -- 'Hurry Amul, Hurry Hurry'. Bombay reacted to the

ad with a fervour that was almost as devout as the Iskon fever.

That was the first of the many topical ads that were in the offing. From then on Amul began

playing the role of a social observer. Over the years the campaign acquired that all important

Amul touch.

India looked forward to Amul's evocative humour. If the Naxalite movement was the happening

thing in Calcutta, Amul would be up there on the hoardings saying, "Bread without Amul Butter,

cholbe na cholbe na (won't do, won't do). If there was an Indian Airlines strike Amul would be

there again saying, Indian Airlines Won't Fly Without Amul.

There are stories about the butter that people like to relate over cups of tea. "For over 10 years

I have been collecting Amul ads. I especially like the ads on the backs of the butter packets,

"says Mrs. Sumona Varma. What does she do with these ads? "I have made an album of them

to amuse my grandchildren," she laughs. "They are almost part of our culture, aren't they? My

grandchildren are already beginning to realise that these ads are not just a source of

amusement. They make them aware of what is happening around them."

Despite some of the negative reactions that the ads have got, DaCunhas have made it a policynot to play it safe. There are numerous ads that are risque in tone.

"We had the option of being sweet and playing it safe, or making an impact. A fine balance had

to be struck. We have a campaign that is strong enough to make a statement. I didn't want the

hoardings to be pleasant or tame. They have to say something," says Rahul daCunha.

"We ran a couple of ads that created quite a furore," says Sylvester daCunha. "The Indian

Airlines one really angered the authorities. They said if they didn't take down the ads they

would stop supplying Amul butter on the plane. So ultimately we discontinued the ad," he says

laughing. Then there was the time when the Amul girl was shown wearing the Gandhi cap. The

high command came down heavy on that one. The Gandhi cap was a symbol of independence,

they couldn't have anyone not taking that seriously. So despite their reluctance the hoardings

were wiped clean. "Then there was an ad during the Ganpati festival which said, Ganpati Bappa

More Ghya (Ganpati Bappa take more). The Shiv Sena people said that if we didn't do

something about removing the ad they would come and destroy our office. It is surprising how

vigilant the political forces are in this country. Even when the Enron ads (Enr On Or Off) were

running, Rebecca Mark wrote to us saying how much she liked them."


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There were other instances too. Heroine Addiction, Amul's little joke on Hussain had the artist

ringing the daCunhas up to request them for a blow up of the ad. "He said that he had seen the

hoarding while passing through a small district in UP. He said he had asked his assistant to take

a photograph of himself with the ad because he had found it so funny," says Rahul daCunha in

amused tones. Indians do have a sense of humour, afterall.

From the Sixties to the Nineties, the Amul ads have come a long way. While most people agree

that the Amul ads were at their peak in the Eighties they still maintain that the Amul ads

continue to tease a laughter out of them.

Where does Amul's magic actually lie? Many believe that the charm lies in the catchy lines. That

we laugh because the humour is what anybody would enjoy. They don't pander to your

nationality or certain sentiments. It is pure and simple, everyday fun.

Currently Amul is iin the Guinness Book Of World Records. Although there seems to be no

competition for this mascot, Amul Corporation is still doing further research to confirm their cla

CHRISTMAS CELEBRATIONS

Amul had set up its Virtual Parlour in Second Life (http://www.amul.com) and made live and on

line on 27th December 2007. The space is built on 1024 sq. M (approx. 1 Acre) of land on India

island in Second Life. It comprises a number of circular sub-areas, starting with the entrance

point, which is the common point of teleport for all users entering this space. There is a media

area, several product display areas, as well as a constantly rotating stream of AMUL topicals

ads, several displays, which are all also video enabled.

This Amul Virtual Parlour celebrated Xmas on 25th December, 08 by decorating the Parlour

and doing various activities. A large number of people visited this parlour on that day.


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Product Feedback:

Talk to us:

Head

Office

Gujarat Cooperative Milk

Marketing Federation,

PO Box 10, Amul Dairy Road,

Anand 388 001, Gujarat, India

Phone

nos

(+91) (2692) 258506, 258507,

258508, 258509

Fax no. (+91) (2692) 240208, 240185

Email: Corporate: [email protected]

Exports: [email protected]

Careers: [email protected]

Milk Powders:

[email protected]

Amulya:

[email protected]


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c) Computerized milk collection system with electronic scale and computerized accounting

system.

d)The first and only organization in world to get ISO 9000 standard for its farmers co-

operatives.

e)First to produce milk from powder from surplus milk.

Amul is the live example of how co-operation amongst the poor marginal farmers can provide

means for the socio-economic development of the under privileged marginal farmers.

AMUL RELIEF TRUST

A devastating earthquake (Richter scale 7.9) hit Gujarat on 26th January 2001. The epicenter

of the quake was located in Kutch district. It caused death of thousands of people, tens of

thousands were injured, hundreds of thousands were rendered homeless and damage of

billions of Rupees was done.

GCMMF formed a specific organization named Amul Relief Trust (ART) under the

Chairmanship of Dr. V. Kurien in 2001 with a donation of Rs. 50 Millions for reconstruction of

the school buildings damaged in the 2001 earthquake in the Kutch area.

The Trust reconstructed 6 schools damaged by the above earthquake at a cost of Rs. 41.1

millions in Kutch area. Four of these schools started re-functioning from the last two academic

sessions and the other two schools from the current session.


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A school reconstructed by Amul Relief Trust in the earthquake affected Ratadia Village in

Mundra Taluka of Gujarat

A school reconstructed by Amul Relief Trust in the earthquake affected Devpar Village in

Mandvi Taluka of Gujarat

COOPERATIVE DEVELOPMENT PROGRAMME

During the last eight years, our Member Unions are implementing Internal ConsultantDevelopment Programme for developing self leadership among member producers and thereby

enabling them to manage their dairy business efficiently, leading to their overall development.

During the year, Member Unions conducted workshops on Vision Mission Strategy for primary

milk producer members and Village Dairy Cooperatives. Facilitated by specially trained

consultants, 894 Village Dairy Cooperative Societies have conducted their Vision Mission

Strategy Workshops, prepared their Mission Statements and Business Plans for the next five

years. Till today total 5,322 village dairy societies have prepared their five year Business plans.

The programme has prompted milk producers to initiate activities at villages such as Clean Milk

Production, Water Management, Planned Animal Breeding, Animal Feed management,Improved Member Services Management, Information Technology, Integration and

Networking, which has very far-reaching and long-term effects on the milk business.

As a part of the Breeding Services Improvement Programme, during the year Member Unions

have continued implementation of the module of Improvement in Artificial Insemination

Services and imparted training to 226 Core groups at the village level. In order to increase an


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awareness about the dairy industry scenario and impart leadership skills to the Chairmen and

Secretaries of the Village Dairy Cooperatives, Member Unions in collaboration with Federation,

are conducting Chairmen and Secretaries Orientation Programme at Mother Dairy,

Gandhinagar. During the year 924 Village Dairy Cooperative Societies have been covered under

this programme involving 1,796 Chairmen and Secretaries of the Village Dairy Cooperatives.

During the year, our Member Unions continued to encourage increased participation of women

milk producers in the Dairy Cooperative Societies. To develop their skills and enhance

leadership qualities, Member Unions organized Self Managing Leadership Programme at

Prajapita Brahmakumaris, Mount Abu for 1,100 women resource persons along with Chairmen

and Secretaries of 250 village dairy societies.

In order to strengthen the knowledge and skill base of young girls and women of the villages

about milk production management and to motivate them to implement scientific milch animal

breeding, feeding and management methods for their animals, the Federation, with technicalcollaboration and resources of the Anand Agriculture University, has initiated an animal

husbandry programme for women resource persons of the Member Unions. During the year,

464 women resource persons have been trained under this programme.

As envisaged last year, our Member Unions have successfully initiated Fertility Improvement

Programme in their milkshed area, to improve fertility of milch animals. During the year

Member Unions have implemented this programme in 892 villages.

With a mission of planting one tree per member, our Member Unions celebrated the 60th year

of Independence on 15th August, 2007 in a unique way. Our 18 lakh members have planted onesapling each across 19 districts of Gujarat and demonstrated their commitment towards

preserving and contributing to the improvement of the environment.

Amul in abroad:

Amul is going places. Literally. After having established its presence in China, Mauritius and

Hong Kong, Gujarat Cooperative Milk Marketing Federation (GCMMF), Indias largest milk

cooperative, is waiting to flood the Japanese market.

Then, GCMMF is also looking at Sri Lanka as one of its next export destinations. Amul products

are already available on shelves across several countries, including the US, China, Australia,

West Asian countries and Africa.

GCMMF recorded a turnover of Rs 2,922 crore last fiscal. Its products include pouch milk, ultra

heat treated (UHT) milk, ice-cream, butter, cheese and buttermilk. It is India's largest exporter


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of Dairy Products. It has been accorded a "Trading House" status. GCMMF has received the

APEDA Award from Government of India for Excellence in Dairy Product Exports for the last 11

years.

Amul is available today in over 40 countries of the world. They are exporting a wide variety of

products. The major markets are the US, West Indies, countries in Africa, the Gulf region, andour Saarc neighbours, Singapore, Philippines, Thailand, Japan and China. They have

demonstrated that if a level playing field is granted, Indian dairy products are successful in the

global market. Growth in consumer pack exports has been creditable and they have

consolidated their exports.

The major export products are:

Consumer Packs

y Amul Pure Gheey Amul Buttery Amul Shrikhandy Amul Mithaee Gulabjamuny Nutramul Brown Beveragey Amul Cheesey Amul Malai Paneery Amul UHT Milk (Long Life)

y Amul Gold Milky Amul Taaza Double Toned Milky Amul Lite Slim and Trim Milk

y Amul Fresh CreamBulk Packs

y Amul Skimmed Milk Powdery Amul Full Cream Milk Powder

Many of our products are now available in the USA, Gulf Countries and Singapore.

Pricing strategy

At the time 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 by guaranteeing them

value for money.


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PLANTS

First plant is at ANAND,which engaged in the manufacturing of milk, butter, ghee, milk butter

etc


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Second plant is at MOGAR, which engaged in manufacturing chocolate, nutramul, Amul

Ganthia and Amul lite.

Third plant is at Kanjari, which produces cattelfeed.

Fourth plant is at Khatraj, which engaged in producing cheese.


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Today,

twelve

dairies are producing different products under the brand name Amul. Today Amul dairy is no. 1

dairy in Asia and no. 2 in the world, which is matter of proud for Gujarat and whole India.DISTRIBUTION CHANNEL

Amul products are available in over 500,000 PLUS retail outlets across India through its

network of over 3,500 distributors. There are 47 depots with dry and cold warehouses to bufferinventory of the entire range of products.

GCMMF transacts on an advance demand draft basis from its wholesale dealers instead of the

cheque system adopted by other major FMCG companies. This practice is consistent with

GCMMF's philosophy of maintaining cash transactions throughout the supply chain and it also

minimizes dumping.

Wholesale dealers carry inventory that is just adequate to take care of the transit time from the

branch warehouse to their premises. This just-in-time inventory strategy improves dealers'

return on investment (ROI). All GCMMF branches engage in route scheduling and havededicated vehicle operations

Establishing best practices

A key source of competitive advantage has been the enterprise's ability to continuously

implement best practices across all elements of the network: the federation, the unions, the

village societies and the distribution channel.


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In developing these practices, the federation and the unions have adapted successful models

from around the world. It could be the implementation of small group activities or quality

circles at the federation. Or a TQM program at the unions. Or housekeeping and good

accounting practices at the village society level.

More important, the network has been able to regularly roll out improvement programs across

to a large number of members and the implementation rate is consistently high.

For example, every Friday, without fail, between 10.00 a.m. and 11.00 a.m., all employees of

GCMMF meet at the closest office, be it a department or a branch or a depot to discuss their

various quality concerns.

Each meeting has its pre-set format in terms of Purpose, Agenda and Limit (PAL) with a process

check at the end to record how the meeting was conducted. Similar processes are in place at

the village societies, the unions and even at the wholesaler and C&F agent levels as well.

Examples of benefits from recent initiatives include reduction in transportation time from the

depots to the wholesale dealers, improvement in ROI of wholesale dealers, implementation of

Zero Stock Out through improved availability of products at depots and also the

implementation of Just-in-Time in finance to reduce the float.

Kaizens at the unions have helped improve the quality of milk in terms of acidity and sour milk.

(Undertaken by multi-disciplined teams, Kaizens are highly focussed projects, reliant on a

structured approach based on data gathering and analysis.) For example, Sabar Union's records

show a reduction from 2.0% to 0.5% in the amount of sour milk/curd received at the union.

The most impressive aspect of this large-scale roll out is that improvement processes are

turning the village societies into individual improvement centers

Technology and e-initiatives

GCMMF's technology strategy is characterized by four distinct components: new products,

process technology, and complementary assets to enhance milk production and e-commerce.

Few dairies of the world have the wide variety of products produced by the GCMMF network.Village societies are encouraged through subsidies to install chilling units. Automation in

processing and packaging areas is common, as is HACCP certification. Amul actively pursues

developments in embryo transfer and cattle breeding in order to improve cattle quality and

increases in milk yields.


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GCMMF was one of the first FMCG (fast-moving consumer goods) firms in India to employ

Internet technologies to implement B2C commerce.

Today customers can order a variety of products through the Internet and be assured of timely

delivery with cash payment upon receipt.

Another e-initiative underway is to provide farmers access to information relating to markets,

technology and best practices in the dairy industry through net enabled kiosks in the villages.

GCMMF has also implemented a Geographical Information System (GIS) at both ends of the

supply chain, i.e. milk collection as well as the marketing process.

COMPANY IN JAIPUR

As AMUL products are old and is available at almost every place in INDIA specially Butter but

Nov 27 2007 Gujarat Co-operative Milk Marketing Federation Ltd (GCMMF) has launched Amul

Fresh Milk in Jaipur. Which was another add up in the path of white revolution. They touched

several area of Jaipur though Saras was the leader of the market still this company never let

down . They are going to introduce curd which was a big failure when they earliar introduced it

in pouch . so ultimately they stopped the supply . Now in the summer curd is hot item to sell off

and people are asking for the stuff ,so now they will further introduce it. Amul in Jaipur is at

nascent stage so we can say that particularly milk and curd of AMUL is under cash stage of BCG

MATRIX

Under this BCG MATRIX If I will take two product performance in jaipur :-


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1] Amul curd

It is under nascent stage so it will be in question markstage which says that the product is atthe introduction stage of product life cycle .

2] Amul milk

It is under growth stage but with low market share so it will come under question markthough it is now two years of its launch but its taking time to come out of this stage because of

competitor Saras which is giving a good fight .


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food basket of the Indian household where and dairy product is involved. Our recent forays into

pizzas, paranthas is through our Amul parlours, which are one-stop shops for all our products.

We have plans for creating a large chain of such outlets to be managed mainly by franchisees

throughout the country. Currently, we have 1,500 parlours and plan to open 10,000 of them by

2010.

Amul liquid milk contributes as much as Rs 2,000 crore to GCMMF's sales. Apart from this,

direct sale by District Cooperative Milk Producers Unions accounts for another Rs 1,500 crore.

With the introduction of pouch milk in towns like Jaipur, Kanpur, Lucknow, Bhopal and Pune,

besides the metros of Delhi, Kolkata and Mumbai, Amul liquid milk has crossed the boundaries

of Gujarat.

During 2007, the 13-member unions of GCMMF took a revolutionary step forward by

integrating liquid milk marketing operations in all districts of Gujarat under the common brand

name of Amul. Consequently, Amul has now emerged as the largest milk brand in Asia.

Amul is an institution covering 13,000 villages benefiting 2.7 million farmers. "We would want

this coverage to expand further with more farmers to join the Amul umbrella nationally.

Coming to business, we would be handling more than twice the quantity of milk and our sales

turnover would be nearly Rs 20,000 crore in the next five years."

India is a developing country. Therefore, the focus is India. However, if there was a need to

export in order to attain equilibrium in the domestic market, it would be under Amul brand in

consumer packs only and that too to cater to the Taste of India.

India is the largest milk producer in the world and GMCCF is the largest food products

marketing organization in India. We are confident that Amul would emerge as the world's

largest food products organization in the not too distant future. It is now present in following

countries.

A

AfghanistanI

Iraq R Russia

Algeria

S

Saudi Arabia

Angola J Japan Sierra LeoneAustralia

KKorea Singapore

B

Bahrain Kuwait South Africa

Bangladesh L Laos Sri Lanka

Benin

M

Madagascar Sudan

Bhutan Malaysia Syria

Botswana Maldives T Taiwan


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Brunei Mauritius Tanzania

CCambodia Myanmar Thailand

China

N

Nepal

U

UAE

D Dubai New Zealand Uganda

E

Nigeria UAE

Ethiopia O Oman V Vietnam

F FijiP

Pakistan W West Indies

G Gambia Philippines Y Yemen

H Hong Kong Q Qatar Z Zanzibar

INTRODUCTION OF PROJECT

Marketing research plays an important role in the process of marketing. Starting with marketcomponent of the total marketing talks. It helps the firm to acquire a better understanding of

the consumers, the competition and the marketing environment

Marketing research is a systematic problem analysis, model building and fact finding for the

purpose of important decision making and control in the marketing of goods and services.

- Phillip Kotler.I am doing my project on the survey of curd before its launch .In this project I will do market

research rather a customer survey through questionnaire .Before making questionnaire I

searched for factors which may effect the launch of curd .curd is a item which is readily

perished so people who use it is in the habbit of using it fast more over how much they give

value to other brands in case of different attributes like texture,whiteness,taste,packaging ,

flavor etc. So by putting these things into the mind I proposed a questionnaire and ultimately I

filled those questionnaire by 15 respondents till now and on the basis of them I will analyze a

interim report that which way will the questionnaire further go .

After analyzing them I will try to proposed a way that how much demand will be their and

which competitor have greater value in which attributes and AMUL should follow that way tocapture the market .

In these questionnaire I mainly covered areas of Jaipur like wall city ,Shyam nagar ,malvia nagar

,vidyadhar nagar,vivek nagar,vaishali, Mahesh nagar, Raja park , Mansarovar .which is covering

almost all the sides like north ,south,east and west of jaipur .A map view is there in

annexure6


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In this questionnaire I have taken occupation of the persons so that in further analysis I can

check out for relevancy of curd consumption and occupation and many more .

After drawing questionnaire I first check the relevancy of question by doing pilot test .I took

some of the questionnaire and make it filled by people around to get proper feedback and

hange the questions ,options as required .As learning from change is a regular process so while

making questionnaire filled I use to check my mistakes further.

PROPOSED METHODOLOGY

Marketing starts with identifying customer needs and ends with satisfying them through a

coordinated set of activities that also allows a firm to achieve its own goals. When launching a

product one needs access to quick and insightful consumer based data to give the foray a

greater chance of success. Failure to grasp the specific needs of a new market can be costly,

both financially and in terms of damaged corporate image. In a volatile, ever-changing market,

mistakes can mean wasted costs in advertising, distribution and production expenses, as well as

damage to brand name and equity.

Under interim report I will use proposed methods of questionnaire survey after this I will

further use pie chart and histogram etc on the questionnaire get the relevant analytical

information .After filling of entire questionnaire I will further analyze it with factor analysis or

chi-square as required .

DATA COLLECTION

With the help of questionnaire consists of list of questions to be asked from the respondents

and the space provided to record the answer / responses. Questionnaire can be used for the

personal interviews, focus groups, mails and telephonic interviews. This becomes a medium of

data collection The choice among these alternatives is largely determined by the type ofinformation to be obtained and by the type of respondents from whom it is to be obtained.

The common factor in all varieties of the questionnaire method is this reliance on verbal

responses to question, written or oral.


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Questionnaire in the project consists of:

Multiple choice questions

Dicthomus

MULTIPLE CHOICE QUESTIONS:

Questions of this type offer the respondents an alternative to choose the right answer among

others. It is faster, time saving and less biased. It also simplifies the tabulating process

DICTHOMUS:

These are the questions which are Boolean in nature. These answers are straightforward and

respondents have to answer them in a straight way. That means the answer can only be either

Yes or No.

SAMPLING METHODS

Sample design is a definite plan of obtaining some items from the whole population. The

sample design used in this project is two state sampling i.e. cluster sampling and convenience

sampling.

CLUSTER SAMPLING

Here the whole area is divided into some geographical area and a definite number of

consumers were to be surveyed. Areas divided are shown in annexture 3.

CONVINIENCE SAMPLING

This type of sampling is chosen purely on the basis of convenience and according to

convenience. I have visited Raja Park, vivek vihar ,vidhyadhar nagar, shyam nagar, mansarovar,

wall city, janta colony, shastri nagar, vaishali , Mahesh nagar and few more.

SAMPLING


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Jaipur had a population of around 3,324,219 in the year 2007. I will take it in round figure of 40

lakhs in 2009.then I will do the survey research further. In this whole population 53% male and

47% is female as per the census report .

1] Sampling Technique : Non probability sampling

(A non probability sampling technique is

that in which each element in the

population does not have an equal

chance of getting selected)

2] Sample Unit : People who buy curd available

in retail outlets, superstores, etc

3] Sample size : 200 respondents

4] Method : Direct interview through questionnaire and Chi

square analysis, bar graph, pie chart, demand

estimation

5] Data analysis method : Graphical method.

6] Area of survey : JAIPUR

7] Timing of survey : 9.00 am to 12.30 pm and 5.00 pm to

8.00 pm

.LIMITATION OF STUDY

Basic limitations of my study are:


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y Respondent may not take it seriously and the questionnaire will remain half filly Respondents may become bias and may not give righteous informationy Sample chosen may not represent population properlyy People may not give time to fill the questionnaire and may think it as a wastey In this researcher has to fully depends on respondents ,self reporty Respondent may sometime give socially desirable answers which may not be able toclarify his/her true desire

y Sometimes there is gap between what people says and what they actually do.

Sample of Questionnaire is given there in the ANNEXURE 1

ANALYSIS


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On the basis of questionnaire I have analyze the response of 200 respondents and try to put

analysis in tabular form . In this I will deal with questions one by one .

1] DO YOU CONSUME MILK ?

YES 200 says

NO 0 says

[Graph:1]

So each one of the 200 respondent consume milk according to [Graph:1] that means maximum

people in Jaipur consume milk .

2] FROM WHERE DO YOU PURCHASE MILK ?

a)Milk Booth b) General store


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c) Milk Vendor d) self

under this question out of 200 respondent 137 goes for milk booth where as 21 goes for

general store . 30 goes for milk vendors and another 12 goes for self or purchase from mandi.

[Graph:2]

According to [Graph:2] that maximum people in Jaipur purchase milk from general store as it is

convenient to buy and rest buy it from milk booths this means that number of milk booth are

also in abundance

3] DO YOU PURCHASE MILK DAILY ?

YES

NO


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Out of 200 respondents all says that they purchase milk daily

[Graph:3]

According to [Graph:3] one can conclude that in Jaipur all most all people daily purchase milk

4] IF YES ,THEN WHAT IS YOUR DAILY PURCHASE ?

a) less than 1 ltr b) 1 to 2 ltr

c) 2 to 4 ltr d) more than 4 ltr

We can see that out of 200 respondent 63 purchase less than 1 ltr where as 82 purchase

between 1 to 2 ltr , 47 purchase between 2 to 4 ltr and 8 respondent purchase more than 4 ltrs


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[Graph:4]

From the given data we can say from [Graph:4] that maximum person in the Jaipur purchase at

least half liter milk daily so if we want to calculate the total monthly sales we can say that it can

be find out by putting percentage like in 200 respondent 63 are purchasing half liter and 82 are

purchasing 1 to 2 ltr where as 47 are purchasing 2 to 4 ltr and 8 are purchasing more than 4 ltrs.

5] WHAT IS YOUR USAGE PATTERN ?

USAGE PATTERN % VOLUME

a) DRINKINGb) TEA/ COFFEEc) CURD MAKINGd) SWEET MAKINGe) OTHERS


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[Graph:6]

This [Graph:6] says that maximum people in Jaipur consume curd .

7] IF YES, THEN WHICH KIND OF ?

a) Home Made

b) Outside

out of 200 respondent 147 says outside where as 7 says that they dont use curd and rest 46

says home made .


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[Graph:7]

According to [Graph:7] respondents response maximum people in Jaipur go for outside curd

and one fourth of population goes for home made curd.

8] IF OUTSIDE CURD THEN WHICH KIND OF CURD YOU PURCHASE ?

a) Packed

b) loose

[Graph:8]


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The [Graph:8] shows that out of 147 respondents who selected outside curd the 123 takes

packeted and 24 takes loose curd in Jaipur .

9] IF YOU USE PACKED CURD THEN WHICH ONE OF THE FOLLOWING ?

a) Nestle b) Mother Dairy

c) lotus d) Saras

out of 200 respondent 110 opted for Saras , 5 opted for nestle and 7 opted for mother dairy

and in rest 1 respondents opted for lotus ,where as rest 7 respondent dont consume curd .

84

1

Sales

packed loose


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[Graph:9]

So according to above [Graph:9] report on 123 respondent who are taking packeted curd 89%

that is maximum people in Jaipur prefer saras ,6% with mother dairy ,1% with lotus and 4% with

nestle we can say that Saras is most favorite curd of Jaipur people .

10] WHAT IS YOUR FREQUENCY OF PURCHASE OF CURD ?

a) Daily b) Twice a week

c) Thrice a week d) Once in two weeks

Out of 123 respondents , 24 respondents are daily purchasing curd where as 31 of them are

purchasing it twice a week and maximum people purchasing it thrice a week ie; 48 .

And 20 respondents purchasing it once in one or two week .


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[Graph:10]

From the above [Graph:10] response we can say that maximum of the people who is opting for

packed curd go for thrice and twice a week .

FREQUENCY OF PURCHASE OF LOOSE ARE :


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out of total 24 respondents of loose curd purchaser 9 purchases in once in one or two week

where as 7 purchases daily and 4 purchases twice and rest 4 purchases thrice a week .

IN TOTAL adding loose and packet curd data we get

146 respondents out of which

Daily purchase done by 31 people

Twice a week done by 35 people

Thrice a week done by 52 people

Once in two or one week 29 people

11] WHAT IS YOUR AVERAGE PURCHASE QUANTITY ?

a) 100 ml b) 200 ml

c) 400 ml d) 500ml or more


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Out of 146 respondents 71 are going for 200 ml curd pack 33 opted for 400ml and rest 42

opted for 500 ml plus curd.

[Graph:11]

So from above [Graph:11] I can find out approximate quantity of purchase of curd in Jaipur in a

week as 200 ml is daily purchased by 31 people out of 146 so we can find it in a table format

below

Table show the frequency of purchase and Quantity :

200 ml curd 400 ml curd 500 ml plus

DAILY 15 11 6

TWICE IN WEEK 14 13 9

THRICE IN WEEK 19 18 13

ONCE IN ONE OR

TWO WEEK

16 7 6


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[Alternate hypothesis] H1 : OCCUPATION EFFECTS NATURE OF PURCHASE

In this alternate hypothesis is my assumption I come to assume it with the help of two

information

1] occupation of people filling questionnaire

2] question no 11 which ask that how much curd on an average one purchase

So to get actual picture of the scene I thought of using chi square test. You can use 2 tests to

determine whether hypothesized results are verified by an experiment.

FOR CURD MARKET

200 ml 400 ml 500 ml plus COLUMN TOTAL

[CT]

student 27 8 9 44

service person 28 16 11 55

business man 8 4 13 25

RT 63 28 33 124

N = NUMBER OF SAMPLES

ARRAY 2 : CONTAINS EXPECTED FREQUENCY THAT IS REPRESENTED BY "FE"

FORMULA TO CALCULATE

FREQUENCY EXPECTED ie; FE = [CT *RT]/N

CT = COLUMN TOTAL OF ARRAY 1

RT = ROW TOTAL OF ARRAY 1

N= TOTAL NO OF SAMPLE TAKEN

FE is mentioned below

200ml [expected] 400ml [expected]

500ml plus

[expected]


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Student

22.35 9.94 11.71

Service person

27.94 12.42 14.64

Business man

12.7 5.65 6.65

CHI SQUARE 2SUMMATION OF [ (FO-FE)2

/FE]

Just to over come any problem in the equation due to positive and negative sign the square of

the difference between actual frequency and expected frequency is taken into consideration .

FO- FE S=(FO-FE)*(FO-FE) A= S/FE

4.64 21.52 0.96

-1.94 3.76 0.37-2.71 7.34 0.62

0.06 0.003 0.0001

3.58 12.82 1.03

-3.64 13.25 0.9

-4.7 22.09 1.73

-1.65 2.72 0.48

6.35 40.32 6.06

CALCULATED 2 12.1501

A TOTAL is nothing but calculated 2 [ chi square]

2

calculated = 12.15

Now we have to find 2tabulated for that we have to follow following steps


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y We will look for degree of freedom ie; df = (no of column-1)*(no. of rows -1) so no ofcolumn =3 and no of rows = 3 ,so df = (3-1)*(3-1) , df = 4.

y After getting df we will take average confidence level 95% that means significance levelwill be .05 ie; = .05

y Now with the help of and df we will look into chi square table and we will find thetabulated 2 value which will be 9.488

2 tabulated 9.488

After getting both 2

tabulated and 2

calculated we will have two options

12 calculated lies under tabulated

2 2

tabulated lies under calculated

From the given value of2

tabulated 9.488 and 2

calculated 12.51 we come to conclusion

that 2

tabulated lies under 2

calculated it is shown in the figure below .where red denote

0.05 significance level .

HENCE ALTERNATE HYPOTHESIS H1 THAT OCCUPATION EFFECTS NATURE OF PURCHASE IS

ACCEPTED AND TRUE AND NULL HYPOTHESIS THAT OCCUPATION DOESNOT EFFECTS THE

.Hrejectnotdo,488.9If

.Hreject,488.9If

o

2

Cal

o2

Cal

e

"

G

G


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NATURE OF PURCHASE IS REJECTED.THIS SHOWS THAT IF PRODUCT IS PLACED IN THE

QUATITY AS REQUIRED BY THE PEOPLE OF DIFFERENT OCCUPATION THEN THERE WILL BE

CHANCES OF MORE SALES OF THAT PRODUCT .

rain plays spoils sports

student 27 8 9

service person 28 16 11

business man 8 4 13

RT 63 28 33

22.35 9.94 11.71

27.94 12.42 14.64

12.7 5.65 6.65

FO- FE S=(FO-FE)*(FO-FE) A= S/FE

4.64 21.52 0.96

-1.94 3.76 0.37

-2.71 7.34 0.62

0.06 0.003 0.0001

3.58 12.82 1.03

-3.64 13.25 0.9

-4.7 22.09 1.73

-1.65 2.72 0.48

6.35 40.32 6.06

12.1501

12] PLEASE PUT YOUR PREFERENCE IN PECENTAGE BELOW OF CURD:


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SARAS LOTUS NESTLE MOTHER DAIRY

TEXTURE

FLAVOUR

WHITENESS

PACKING

TASTE

THICKNESS

According to above question Saras curd gets maximum marks where as lotus is the minimum.

And under packed curd nestle and mother dairy is having little say in 200 respondent

ATTRIBUTES

BRANDS


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[Graph:12]

From the above [Graph:12] one can conclude that which brand is best in curd regarding its

attribute in Jaipur and one should look for that touches which make that brand best regarding

all attribute.

13] IF YOUR PREFERED BRAND IS NOT AVAILABLE, WILL YOU PURCHASE OTHER BRANDS

YES

NO


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1: Branded curd : I have surveyed 40 booths of saras and found that average curd sale is

around 35 cup per day of 200ml .

There are about 3500 saras dairy booths in whole Jaipurso this means that

average sale of curd from Saras booths are around 24500 liter .

Then there are retail shops selling curd like nestle , mother dairy, lotus etc

so its average sale is around 25 cups and lets assume that total retail selling

branded curds is around 2000 then total selling of curd from them are

10000 liter . So an average sale of branded curd in Jaipur is 34500 ltr.

2: loose curd : loose curd market are more in the area like wall city ,Mahesh nagar backward

areas. They sell curd around 30 liter .I have surveyed 15 shops where loose

curd is sold out in wall city in open dairy and sweet shops in huge way.

Its difficult to count loose curd market so if I assume that its around 1000shops of loose curd in jaipur then sale will be around 30000 liter.

3: Homemade curd: As average consumption of milk in Jaipur is 10 lakhs liter and an average

2% of milk is used for making curd so total homemade curd will be 20,000

liter.

Hence total size of curd market will be branded curd + loose curd + homemade curd ie;

[1+2+3] 34500+30000+20000 = 84000 liter per day.

If I look up to demand estimation of AMUL curd I can say that from the branded curd marketthe demand of Saras booth curd and other retail curd will be the area for Amul curd then later

it can take over other areas of curd market .

According to me demand for Amul curd will be around 24500 to 34500 liter .Earlier it may take

some time to capture the branded curd market so it may not be getting around 20000kg but

market has potential.


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.

CONCEPTS

AMUL SHOPPEE CONCEPT: Under this concept of AMUL the retailer or the whole

seller who is in business with AMUL is converted in an exclusive shoppee for companys product

i.e. milk specifically. For which the proprietor has to make a security deposit with GCMMF Ltd.

and has to meet some basic requirements after fulfillment of which the shop is declared as an

exclusive AMUL SHOPPEE.

This concept is to provide additional margin to the proprietor (the whole seller or the retailer)

in order to increase AMULs annual sales volume, and to increase its market share.

Types of shoppees :


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Shoppee with a deposit of Rs.1100: Under this type the interested party has tomake a deposit of Rs.1100 with GCMMF Ltd. And after filling the application form the

shop is declared as AMUL SHOPPEE

COMPANY PROVIDES: 1) A hoarding in the name of AMUL.

2) A stand board in the name of AMUL.

3) A glow sign board in the name of AMUL.

4) Gets the shop painted.

Shoppee with a deposit of Rs.3000: Under this type the interested party has tomake a deposit of Rs.3000 instead of Rs.1100 with GCMMF Ltd. And after filling the

application form the shop is declared as AMUL SHOPPEE

COMPANY PROVIDES:1) A hoarding in the name of AMUL.

2) A stand board in the name of AMUL.

3) A glow sign board in the name of AMUL.

4) Gets the shop painted.

5) A storage box(CABINET) to store the milk crates worthRs2200.

The ownership of the box(CABINET) is transferred to the party after one year from the

conversion of the shop into AMUL SHOPPEE. Also company promises to change the box if it

results in breakage or damaged by itself.

Requirements for a Shoppee: 1) The shop should definitely be opened before 6 in

the morning.

2) The shop should give at least a business of 10

crates

In a day. i.e. a minimum of 10 crates should be sold

In a day from that particular shop.


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3) The shop should have a refrigerator or a deep

freezer.

Margin Structure: The Company provides same kind of margin to both

types of shoppee.

The company provides Rs.2.40/crate extra (additional margin) along with Rs.7.80/crate (fixed

margin). These margin given are on PER CRATE basis. And 1 crate consis

15652451 amul project by rohit

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