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PROJECT REPORT

ON

CONSUMER BEHAVIOUR TOWARDS AMUL BUTTER

PREPARED FOR AND PRESENTED TO

UNDER THE GUIDANCE OF

PANKAJ GADHAV

SR. EXECUTIVE (PURCHASE)

SUBMITTED IN FULFILLMENT FOR THE AWARD OF

MASTER OF INTERNATIONAL BUSINESS

(UNIVERSITY OF RAJASTHAN, JAIPUR)

BY

AGRAVAT ASHISH BAKULCHANDRA

MIB (2007-09)

M. K. M. INSTITUTE OF MANAGEMENT

JAIPUR


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ACKNOWLEDGEMENT

My heart full gratitude to B. L. MEHARDA, Director of

MKM Institute of Management, Jaipur for this topic and to

me guides whose guidance and support was the source of

encouragement for me.

Last but not least, thanks to my family members and

friends who has been a source of inspiration during my

study.


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PREFACE

This scheme is provided by the University of Rajasthan,

Jaipur to make a project report on the contemporary issue

on the basis of the management. Along though it is

necessary to the practical knowledge about the

management. In the class we got the theoretical knowledge

and if we want to apply the theoretical knowledge so we getthe practical knowledge about the management. It is

necessary to do project report.

As the India witnessing exponential growth in

management education then it is an exponential growth in

the Rajasthan management institute

The researcher under took the Project Report titled

CONSUMER BEHAVIOUR TOWARDS AMUL BUTTER

contents of this project are meant for knowing about

Consumer behaviour towards Amul Butter.


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CONTENT

INTRODUCTION

Introduction

The Amul Story

INDUSTRY & COMPANY PROFILE

Industry Background

Competitive Situation

Company Background

Organization Chart

Product Range

THE PROJECT PROFILE

Why this project was undertaken

Problem environment

The problems being faced

THE PROJECT BACKGROUND & METHODOLOGY

Research problem.

Information requirements in detail & source of information.

Choice of research design alternatives & choice.

Research instrument used details & why?

Sampling technique used & sample size why?

Limitations

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ANALYSIS

Sample profile

Primary data tabulation & interpretation

Interpretation & findings.

Conclusions.

Suggestions

BIBLIOGRAPHY

APPENDIX

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INTRODUCTIONSince the turn of 19th century, cooperatives have existed asdominant forms of organization in the dairy industry aroundthe world. Sometimes they have played the role ofdeveloping infant industry while at other times they have

been used to strengthen weak production bases in anenvironment where market failures tend to be higher formarginal producers. In some other cases, a network of smallproducers have organized themselves to better market theirproducts. Management of these cooperatives have also ledto some interesting managerial insights for managers inemerging as well as developed economies.

Large emerging economies, e.g., india and china, havecomplexities that range from development of markets (wherethe largest segment of population is the one which has lowpurchasing power) to integration of low cost suppliers whoare predominantly very small. For firms that aspire toconduct substantial business in such markets, suchcomplexities have to be recognized and then overcome. Thechallenge is to understand the linkages between markets

and the society. This would also require development of anew business model that helps a firm grow in suchenvironments. This paper is about one such successfulmodel. The kaira district milk cooperative union or amul inindia is an example of how to develop a network of firms inorder to overcome the complexities of a large yet fragmentedmarket like those in emerging economies by creating valuefor suppliers as well as the customers. Amul has led the milkdairy revolution in india that has now emerged as one of the

largest milk producers in the world.

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In this article we will describe the breakthrough visionthat led to the simultaneous development of the market andsupply side through a process of social development andeducation at amul. Clearly, implementation of this vision in acompetitive environment and maintaining sustained growth

and profitability requires development of competitiveness onseveral dimensions and operational effectiveness. Thisarticle provides insights into management of very largesupply chains by adapting and integrating a variety ofstrategies and techniques. This includes building networks,developing trust & values in the network, developing fairmechanisms for sharing benefits across the supply chain,coordination for operational effectiveness, innovation and

new technology for gaining competitiveness. It is noteworthythat these successes were achieved within the framework ofa network of cooperatives organized in a hierarchicalmanner. There are many lessons in amuls success not onlyfor the cooperative sector but also for firms who intend to dobusiness in emerging markets.

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THE AMUL STORYThe kaira district cooperative milk producers union limitedwas established on december 14, 1946 as a response toexploitation of marginal milk producers in the city of anand(in kaira district of the western state of gujarat in india) by

traders or agents of existing dairies. Producers had to travellong distances to deliver milk to the only dairy, the polsondairy in anand often milk went sour, especially in thesummer season, as producers had to physically carry milk inindividual containers. These agents decided the prices andthe off-take from the farmers by the season. Milk is acommodity that has to be collected twice a day from eachcow/buffalo. In winter, the producer was either left with

surplus unsold milk or had to sell it at very low prices.Moreover, the government at that time had given monopolyrights to polson dairy (around that time polson was the mostwell known butter brand in the country) to collect milk fromanand and supply to bombay city in turn (about 400kilometers away). India ranked nowhere amongst milkproducing countries in the world in 1946.

The producers of kaira district took advice of thenationalist leaders, sardar vallabhbhai patel (who laterbecame the first home minister of free india) and morarjidesai (who later become the prime minister of india). Theyadvised the farmers to form a cooperative and supplydirectly to the bombay milk scheme instead of selling it topolson (who did the same but gave low prices to theproducers). Thus the kaira district cooperative wasestablished to collect and process milk in the district of kaira.

Milk collection was also decentralized, as most producerswere marginal farmers who would deliver 1-2 litres of milkper day. Village level cooperatives were established toorganize the marginal milk producers in each of thesevillages. The first modern dairy of the kaira union wasestablished at anand (which popularly came to be known as

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amul dairy after its brand name). The new plant had thecapacity to pasteurise 300,000 pounds of milk per day,manufacture 10,000 pounds of butter per day, 12,500pounds of milk powder per day and 1,200 pounds of caseinper day. Indigenous r&d and technology development at the

cooperative had led to the successful production of skimmedmilk powder from buffalo milk the first time on acommercial scale anywhere in the world. The foundations ofa modern dairy industry in india had just been laid as indiahad one of the largest buffalo populations in the world.We move to year 2000. The dairy industry in india andparticularly in the state of gujarat looks very different. Indiahas emerged as the largest milk producing country in the

world (see table 1). Gujarat emerges as the most successfulstate in terms of milk and milk product production through itscooperative dairy movement.

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The Kaira District Milk Cooperative Producers unionlimited, anand becomes the focal point of dairy developmentin the entire region and amul emerges as one of the mostrecognized brands in india, ahead of many internationalbrands.

Starting with a single shared plant at anand and twovillage cooperative societies for milk procurement, the dairycooperative movement in the state of gujarat had evolvedinto a network of 2.12 million milk producers (called farmers)who are organized in 10,411 milk collection independentcooperatives (called village societies). These villagesocieties (vs) supply milk to thirteen independent dairy

cooperatives (called unions). Amul is one such union. Milkand milk products from these unions are marketed by acommon marketing organization (called federation). Figure 1gives the hierarchical structure of this extensive network ofcooperatives. Gujarat cooperative milk marketing federationor gcmmf is the marketing entity for products of all unions inthe state of gujarat2. Gcmmf has 42 regional distributioncenters in india, serves over 500,000 retail outlets and

exports to more than 15 countries. All these organizationsare independent legal entities yet loosely tied together with acommon destiny! (in a recent survey gcmmf was rankedamongst the top ten fmcg firms in the country while amulwas rated the second most recognized brand in indiaamongst all indian and mnc offerings). Interestingly, thegujarat movement spread all over india and a similarstructure was replicated (all are at different levels ofachievement but their trajectory appears to be quite similar).

Two national organizations, the national dairy developmentboard (nddb) and the national co-operative dairy federationof india (ncdfi) were established to coordinate the dairyactivities through cooperatives in all the states of thecountry. The former provides financing for developmentwhile the latter manages a national milk grid and coordinates

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the deficit and surplus milk and milk powder across thestates of india. In the early nineties, amul was asked by thegovernment of sri lanka to establish a dairy on similar lines insri lanka. Interestingly, while polson folded up sometimes in1960s, the cooperatives are faced with new competition in

liberalizing india from multi-national corporations (mncs)that brought in new and improved product portfolio,international network and immense financial support. Thecooperatives face new challenges that test the robustness oftheir approach and their commitment to the movement and anew style of management thinking.

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Today Amul is a symbol of many things. Of a promiseto member farmers who are assured a guaranteed purchaseof all the milk that they produce at predetermined prices. Ofhigh quality products sold at reasonable prices toconsumers. Of developing and coordinating a vast

cooperative network. Of making a strong businessproposition out of servicing a large number of small andMarginal suppliers. Of the triumph of indigenous technology.Of the marketing savvy of a farmers' organization. In theremaining part of the paper, we first review the role thatcooperatives have played in the development of dairyindustry globally and how is this sector adjusting to newglobal challenges. Next, we look at Amul within this context

and highlight their journey towards excellence. Specifically,we study how Amul achieved this exalted status, what werethe ingredients of its success, how did the belief incooperation transform the business environment and thelives of people, and what lessons does it hold for otherbusinesses.

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(A) INDUSTRY & COMPANY PROFILE

(1.) INDUSTRY BACKGROUND HISTORICAL PERSPECTIVE

India with a population of 103 crores is potentially is one of

the largest consumer market in the world. With urbanization

and development of economy tastes and interests of the

people changes according as advanced nations.

Marketing is about winning in the new environment. It is

about understanding what consumer wants and supplying it

more attractively than other competitors.

The consumer market can be identified as the market of

products and services that are purchased by individuals as

house- hold of their personal consumption and at times for

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institutional use. Butter is a typical consumer product

purchased by individual and institution for culinary use, .the

butter market is facing a cut throat competition and many

companies are floating the market with their products indifferent brand names In such a situation different factors

that influence the customer choice for butter are taste

quality, image, easy availability and products cost of

advertisement.

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Ah! Butter who can possibly not like that tastiest of all

treats

BUTTER

Most Indians prefer to use home made white butter for

reasons of taste and affordability. Most of the branded butter

is sold in the towns and cities .the major brands are Amul,

Vijaya, Sagar, Nandini and Aarey. Amul is the leading

national brand while the other players have great shares in

their local markets.

The latest entrant in the butter market has been Britannia.

Britannia has the advantage of a wide distribution reach and

a strong brand recall, priced at par with the Amul brand, it isexpected to give stiff competition to the existing player in

2004-05 the production is estimated at 5 lakhs mt of this only

45krnt is in the white form used for table purposes rest all is

in the yellow form Butter has a history as long as milk

production itself with records of its manufacture end uses

dating back thousands of years. Apart from its food uses,

ancient references point to a role for butter in medicine,

cosmetic and even sacrificial worship.

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Today, butter is available in many forms - unsalted, reduced

and low salt, cultured butter, ghee, dairy blends, reduced fat

dairy spreads and low fat dairy spreads. The different types

of butter accommodate all consumer needs. The word buttercomes from boo Tyron, which seems to mean, "cow cheese"

in Greek. Some scholars think, however, that the word was

borrowed from the language of the northern and

butterophagous Scythians, who herded cattle: Greeks lived

mostly from sheep and goats whose milk, which they

consumed mainly as cheese, was relatively low in butter (or

butyric) fat.

BACKGROUND

BRITANNIA

Britannia was incorporated in 1918 as Britannia Biscuits Co

Ltd in Calcutta. In 1924, Pea Frean UK acquired a controlling

stake, which later passed on to the Associated Biscuits

International (ABI) a UK based company. During the 50s

and' 80s. Britannia expanded operations to Mumbai. Delhi

and Chennai. Exports of seafoods started in the 70s. In

1987, Nabisco, a well-known European food company,

acquired ABI. In 1989, J M Pillai, a Singapore based NRI

businessman along with the Groupe Danone acquired Asian

operations of Nabisco, thus acquiring controlling stake in

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Britannia. Later, Groupe Danone and Nusli Wadia took over

Pillai's holdings.

In 1977, the Government reserved the industry for small-scale sector, which constrained Britannia's growth. Britannia

adopted a strategy of engaging contract packers (CP) in the

small-scale sector. This led to several inefficiencies at the

operating level. In April '97, the Government dereserved the

biscuit sector from small scale. Britannia has expanded

captive manufacturing facilities and has modernized and

upgraded its facilities in the last five years. It has also

forayed into the Dairy Business with the launch of Cheese.

Butter, Ghee, Dairy whitener and flavored milk products.

DAIRYIndia has emerged as the largest milk producing country in

the world manufacturing 91 mn tons of milk pa. Britannia's

dairy business has been growing at a fast pace on the low

base. Volume growth was 53% and value growth was 49%

in FY04. In value terms the Dairy business contributed to

10% of turnover in FY04. Prior to the entry of Britannia, the

organized market for dairy products like butter and cheese

was dominated by the regional milk cooperatives, such as

Amul, Vijaya, etc Imported brands are also freely available in

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the country today. In the organized domestic segment, Amul

remains the dominant player and will continue to be a stiff

competitor, given its sourcing advantage and market

sawiness

PARENT GROUP

Britannia's controlling stake is jointly with Groupe Danone

and Nusli Wadia Groupe Danone is one of the leading

players in the world in bakery products business. It acquired

interest in Britannia Industries in 1989 and acquired

controlling stake in 1993. Nusli Wadia group is one of the

leading industrial houses in the country, with interests mainly

in textiles and petrochemicals.

PLANT LOCATIONS

Britannia's plants are located in the 4 major metro cities -

Kolkata, Mumbai. Delhi and Chennai. A large part of

products are also outsourced from third party producers.

Dairy products are out sourced from three producers

-Dynamix Dairy based in Baramati, Maharashtra,Modern

Dairy at Karnal in Haryana) and Thacker Dairy Products at

Howrah in West Bengal.

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Paras proudly present itself as a premium brand in the

Indian dairy industry List of nutritious and premium quality

products include milk, pure ghee & skimmed milk powder in

bulk and consumer pack, dairy whitener. Table butter, whitebutter, Demineralised Whey Powder, caseinedibleand

industrial grade.

The taste, flavor and excellent quality of SMP-ISI & pure

ghee have made them as the brand leaders in the market.

The major objective of our business is to enhance the

profitable production of dairy products.

They are in the business of milk for more than 40 years milk

is entirely collected from village level collection centers that

are developed by them The quality of milk, regularity ofsupply and value of commitment has made the hallmark in

their sphere of operation. Today they are the second largest

distributors of milk in Delhi Metro.

The taste and flavour, low sodium level, low ash. Content

and low plate count of dairy products has fetched accolades

of their clients. Their products have found wide acceptance

with countless prestigious institutions. It includes Nestle

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India Limited, SmithKline Beecham, Hindustan Lever

Limited, Mother Dairy, Calcutta and countless others.

NESTLE INDIA LTD51% subsidiary of Nestle SA is among the leading branded

food player in the country. It has a broad based presence in

the foods sector with leading market shares in instant coffee,

infant foods, milk products and noodles. It has also

strengthened its presence in chocolates, confectioneries and

other semi processed food products during the last few

years. The company has launched Dairy Products like UHT

Milk, Butter and Curd and also ventured into the mineral

water segment in 2001. Nestle's leading brands include

Cerelac. Nestum, Nescafe. Maggie, Kit Kat, Munch and Pure

Life.

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(2.) COMPETITIVE SITUATION

Following are the major players of the dairy industry

Leading player: profiles Agro foods pvt. Ltd

Nestle ltd

Dynamix dairy industry ltd

Amul India

Britannia ltd

Also the local players are trying to give competition to these

major players. Following are the local market players

through out the country;

sumul dairy

Mother dairy

Paras dairy, etc

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(3.) COMPANY BACKGROUND

Gujarat Cooperative Milk Marketing Federation

GCMMF: AN OVERVIEW

Gujarat Cooperative Milk Marketing Federation (GCMMP) is

India's largest food products marketing organization. It is

state level apex body milk cooperative in Gujarat, which

aims to provide remunerative returns to the farmers and also

serve the interest of consumers by providing quality

products, which are good value for money.

Members: 12 district cooperative milk

producers'

Union

No. of Producer Members: 2.36 million

No. of Village Societies: 11,333

Total Milk handling capacity: 6.9 million litres per

day

Milk collection (Total - 2006-07); 1.91 billion litres

Milk collection (Daily Average 5.01 million litres

2006-07):

Milk Drying Capacity: 525 metric Tons per day

Cattle feed manufacturing 2346 Mts per day

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CAPACITY

Amul means priceless in Sanskrit. The brand name "Amul,"

from the Sanskrit "Amoolya." was suggested by a quality

control expert in Anand Variants, all meaning "priceless", are

found in several Indian languages. Amul products have been

in use in millions of homes since 1946 Amul Butter Amul Milk

Powder, Amul Ghee, Amulspray, Amul Cheese, Amul

Chocolates, Amul Shrikhand, Amul Ice cream; Nutramul,

Amul Milk and Amulya have made Amul a leading food

brand in India. (Turnover: Rs. 45 billion in 2005) Today Amul

is a symbol of many things. Of high-quality products sold at

reasonable prices. Of the genesis of a vast co-operative

network. Of the triumph of indigenous of tasteful Amul

delectable! Technology. Of the marketing savy of a farmers'

organization. And have a proven model for dairy

development.

AMUL: THE ORIGIN

The mighty Ganges at its origin is but a tiny stream in the

Gangotri ranges of the Himalayas. Similar is the story of

Amul, which inspired 'Operation Flood' and heralded the

'White Revolution' in India. It began with two village

cooperatives and 250 liters of milk per day, nothing but a

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trickle compared to the flood it has become today. Today

Amul collects processes and distributes over a million liters

of milk and milk products per day, during the peak, on behalf

of more than a thousand village cooperatives owned by halfa million farmer members. Further, as Ganga-ma carries the

aspirations of generations for moksha, Amul too has become

a symbol of the aspirations of millions of farmers. Creating a

pattern of liberation and self-reliance for every farmer to

follow.

PEOPLE POWER: AMUL'S SECRET OF SUCCESS

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.

Looking back on the path traversed by Amul, the following

features make it a pattern and model for emulation

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Amul has been able to:

Produce an appropriate blend of the policy makers

farmers board of management and the professionals:each group appreciating its rotes and limitations

Bring at the command of the rural milk producers the

best of the technology and harness its fruit for

betterment

Provide a support system to the milk producers without

disturbing their agro-economic systems

Plough back the profits, by prudent use of men,

material and machines, in the rural sector for the

common good and betterment of the member

producers and

Even though, growing with time and on scale, it has

remained with the smallest producer members. In that

sense. Amul is an example par excellence, of an

intervention for rural change.

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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.

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(4.) ORGANIZATION CHART

B.O.D

Chairman

Managing Director

General Manager

Assistant General Manager

Manager

Deputy Manager

Assistant Manager

Superintendent

Deputy Superintendent

Senior Officer

Officers Assistants

Junior Assistant

Workers

(A to G Grade Workers)

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(5.) PRODUCT RANGE-TYPE AND ATTRIBUTES

List of Products Marketed:

Bread Spreads:

Amul Butter

Amul Lite Low Fat Bread spread

Amul Cooking Butter

Cheese Range:

Amul Pasteurized Processed Cheddar Cheese

Amul Processed Cheese Spread

Amul Pizza (Mozarella) Cheese

Amul Shredded Pizza Cheese

Amul Emmental Cheese

Amul Gouda Cheese

Amul Malai Paneer (cottage cheese), Frozen,

Refrigerated and Tinned

Utterly Delicious Pizza

Mithai Range (Ethnic sweets):

Amul Shrikhand (Mango, Saffron, Almond Pistachio,

Cardamom)

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Amul Amrakhand

Amul Mithai Gulabjamuns

Amul Mithai Gulabjamun Mix

Amul Mithaee Kulfi Mix

Avsar Ladoos

UHT Milk Range:

Amul Shakti 3% fat milk

Amul Taaza 1.5% fat milk Amul Gold 4.5% fat milk

Amul Lite Slim-n-Trim Milk 0% fat milk

Amul Shakti Toned Milk

Amul Fresh Cream

Amul Showcap Softy Mix

Pure Ghee:

Amul Pure Ghee

Sagar Pure Ghee

Amul Cow Ghee

Infant Milk Range:

Amul Infant Milk Formula 1 (0-6 months)

Amul Infant Milk Formula 2 (6 months above)

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Amulspray Infant Milk Food

Milk Powders:

Amul Full Cream Milk Powder

Amulya Dairy Whitener

Sagar Skimmed Milk Powder

Sagar Tea and Coffee Whitener

Sweetened Condensed Milk:

Amul Mithaimate Sweetened Condensed Milk

Fresh Milk:

Amul Taaza Toned Milk 3% fat

Amul Gold Full Cream Milk 6% fat

Amul Shakti Standardised Milk 4.5% fat

Amul Slim & Trim Double Toned Milk 1.5% fat

Amul Saathi Skimmed Milk 0% fat

Amul Cow Milk

Curd Products:

Yogi Sweetened Flavoured Dahi (Dessert)

Amul Masti Dahi (fresh curd)

Amul Butter Milk

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Amul Lassi

Amul Ice Creams: Royal Treat Range (Rajbhog, Cappuchino,

Chocochips, Butterscotch, Tutti Frutti)

Nut-o-Mania Range (Kaju Draksh, Kesar Pista,

Roasted Almond, Kesar Carnival, Badshah Badam

Kulfi, Shista Pista Kulfi)

Utsav Range (Anjir, Roasted Almond)

Simply Delicious Range (Vanilla, Strawberry,

Pineapple, Rose, Chocolate)

Nature's Treat (Alphanso Mango, Fresh Litchi, Anjir,

Fresh Strawberry, Black Currant)

Sundae Range (Mango, Black Currant, Chocolate,Stawberry)

Millennium Ice cream (Cheese with Almonds, Dates

with Honey)

Milk Bars (Chocobar, Mango Dolly, Raspberry Dolly,

Shahi Badam Kulfi, Shahi Pista Kulfi, Mawa Malai Kulfi,

Green Pista Kulfi)

Cool Candies (Orange, Mango)

Cassatta

Tricone Cones (Butterscotch, Chocolate)

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Megabite Almond Cone

Frostik 3 layer chocolate Bar

Fundoo Range - exclusively for kids

Slim Scoop Fat Free Frozen Dessert (Vanilla,Banana, Mango, Pineapple)

Health: Isabcool

Chocolate & Confectionery:

Amul Milk Chocolate

Amul Fruit & Nut Chocolate

Amul Eclairs

Brown Beverage:

Nutramul Malted Milk Food

Milk Drink:

Amul Kool Flavoured Milk

Health Beverage:

Amul Shakti White Milk Food

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(B.)THE PROJECT PROFILE

Why this project was undertaken

Problem environment

The problems being faced

What does company expect to do by solving theproblem

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(1.) WHY THIS PROJECT WAS UNDERTAKEN

It is the customer world today, where customer is regarded

as the king of the market, there is a choice of at least 10

different brands and this is true for the Butteralso. Thus in

such a situation there was a need to find market share and

the usage pattern of the consumers in order to know the

potential users and their perception about the product. Thus

the research will let us know the existing competitors of

same segment, and we can also judge the satisfaction level

of existing consumers.

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(2.) PROBLEM ENVIRONMENT

As concept of the project was consumer behaviour towards

Amul Butter, we can make a brief study and analyze the

reasons for decline of sales and put the factors in order of

their probable importance. The research undertaken in such

a situation must have its objective & discovery of cause of

the sales decline.

This may not be easy, because sales decline may occur

from any number of factors, including

Declining market demand.

Tough competition from the Top brands like Nestle,

Britannia, Mother Dairy and other Local players.

The market targeting is not easy task especially in a

state where people are reluctant to use most available

and tasty product.

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The ineffective sales promotion techniques and

certain other factors.

(3.) THE PROBLEM BEING FACED

The non-cooperative approach of the respondents

baring a few, whom I am gratified to, was one of the

main problems. The psyche of consumers in India

needs considerable change so that it would help in the

progress of marketing of the industry.

Hesitation of the respondents to reveal their correct

taste preferences was one of the major problems faced.

There was a selective perception in the mindset of the

youngsters.

Rude and discourteous behavior of the respondents,

they think that somebody is going to tell them a story

which would not be of much importance to them.

Time was also a major constraint. The limited time

available for interviewing the clients was also a problem

that was being faced.

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The weather condition to a certain extent was also

responsible in creating certain problems in data

collection.

(C) THE PROJECT BACKGROUND & METHODOLOGY

Research problem.

Research objective & related sub objectives.

Information requirements in detail & source of

information.

Choice of research design alternatives & choice.

Research instrument used details & why?

Sampling technique used & sample size why?

Fieldwork method used for data collection.

Analytical tools used.

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(1.) RESEARCH PROBLEM

Increase the awareness level ofAMUL BUTTER.

Seek the general perception of consumer towardsAMUL BUTTER..

To find the performance ofAMUL BUTTER vis--visother Brands.

To know the consumer psyche and their behaviourtowards AMUL

BUTTER.

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(2.) INFORMATION REQUIREMENT

First, I had to know about all the competitors present in

the butter segment (Reputed and well established

brands as well as Local brands).

Before going for the survey I had to know the

comparative packs and prices of all the competitors

existing in the market.

Since butter is a product that is enjoyed by everyone

in the family hence I had to trace the market and

segment it, which mainly deals with people of various

age groups.

As Butter is different product, the main informationneeded is the various packs of Butter available inthe market, their calorific value and various otherfacts

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(3.) CHOICE OF RESEARCH DESIGN ALTERNATIVES

& CHOICE.

Despite the difficulty of establishing an entirely satisfactory

classification system, it is helpful to classify marketing

research on the basis of the fundamental objectives of the

research. Consideration of the different types, their

applicability, their strengths, and their weakness will help the

student to select the type best suited to a specific problem.

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Here I have used exploratory research where I have

found that the consumers are unaware about many

packs of Amul Butter. I have tried to collect and analyze

different packaging patterns of Amul Butter. The

research also shows that lack of advertising and

promotional activities also act as a barrier in the total

sales and changes in consumer psyche towards Amul

Butter.

(4.) RESEARCH INSTRUMENT USED - DETAILS & WHY?

A 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. The choice among these alternatives is largely

determined by the type of information 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 bank on verbal responses to question, written

or oral.42


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Questionnaire in the project consists of:

Dicthomus

Close ended as well as Open ended Questions.

Scaling the Answers on different variants.

OPEN END QUESTIONS:

In this type respondents are free to answer in their own

words and express the ideas they think are relevant, such

questions are good as first questions or opening questions.

They introduce the subject and obtain general reaction.

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.

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(5.) SAMPLING TECHNIQUE USED & SAMPLE SIZE -

WHY?

Sample design is a definite plan of obtaining some itemsfrom the whole population. The sample design used in this

project is two state sampling i.e. Cluster and convenience.

In the probability sampling methods, each items in the

sample is chosen one at a time from a complete list of

universe elements. In marketing research practice, it will

sometimes be more expedient to select clusters or groups

of universe elements, rather than to choose sample items

individually.

NON DISGUISED, STRUCTURED TECHNIQUES:

The non structured techniques for attitude measurementare primarily of value in exploratory studies, where the

researcher is looking for the salient attributes of given

products and the important factors surrounding purchase

decisions as seen by the consumer. Structured techniques

can provide a more objective measurement system, one

which is more comparable to a scale or a yardstick. The

term scaling has been applied to the efforts to measure

attitudes objectively, and a number of useful scales have

been developed.

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CONVINIENCE SAMPLING

This type of sampling is chosen purely on the basis of

convenience and according to convenience, I singled out

this technique as it will provide me with the potential users

of shaving cream with their usage pattern an consumption

level.

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SAMPLING

1. Sampling Technique : Non probabilitysampling

(A non probability samplingtechnique is that in whicheach element in thepopulation does not have anequal chance of gettingselected)

2. Sample Unit : People who buy Butter. in retailoutlets,superstores, etc

3. Sample size : 200 respondents (Age rangingbetween 15 yrs to 65 yrs)

4. Method : Direct interview through questionnaire.

5. Data analysis method : Graphical method.

6. Area of survey : Anand District.

7. Timing of survey : 9.00 am to 12.30 pm and5.30 pm to 8.00 pm

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(6.) LIMITATIONS

Limited time available for interviewing the respondents.

As a result of this it was not possible to gather full

information about the respondents.

The respondents were not very comfortable while giving

their address, no cause they may feel that they would

be called or visited again and again.

Non-cooperative approach and rude behavior of the

respondents.

If the respondents answer does not falls between

amongst the options given then it will turn up to be a

biased answer

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(D.) ANALYSIS

Sample profile

Primary data tabulation & interpretation

Interpretation & findings.

Conclusions.

Suggestions

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(1.) SAMPLE PROFILE

NAME AGE

1. RAM PRASAD SETH 22 YRS

2. NIMISH KHARE 23 YRS

3. NITIN 24 YRS

4. DIPALI KHARE 25 YRS

5. VAISHALI SHRIVASTAV 21 YRS

6. JAYSHREESHRIVASTAV

27 YRS

7. RUPAL SHAH 26 YRS

8. NEELAM NAIR 27 YRS

9. KEYURI PATEL 25 YRS

10. ABHIMANYU

SHRIVASTAV

18 YRS

11. ASHA SHRIVASTAV 49 YRS

12. MOHIT SHRIVASTAV 25 YRS

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13. KALPANASHRIVASTAV

50 YRS

14. RAJESH SINGH 42 YRS

15. GIRISH MAJMUDAR 52 YRS

16. SUBHASH KHER 32 YRS

17. RAMESH CHOKSI 58 YRS

18. SURUCHI THAKKAR 29 YRS

19. RAHUL JAIN 28 YRS

20. RADHIKA GAJJAR 21 YRS

21. AJAY PARIKH 37 YRS

22. ATUL THORAT 18 YRS

23. AMIRUDDINDABHOIWALA

22 YRS

24. AJAY DOSHI 26 YRS

25. MINAL DESAI 22 YRS

26. RITIKA MISTRY 32 YRS

27. BINA GHOSH 52 YRS

28. KHUSBOO MEHTA 17 YRS

29. VIMAL JOSHI 24 YRS

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30. HIREN PANDYA 38 YRS

31. SEEMA SHRIVASTAV 27 YRS

32. GORI SHRIVASTAV 24 YRS

33. AJIT KUMAR 37 YRS

34. MONA GAJJAR 23 YRS

35. PRACHI TRIVEDI 22 YRS

36. AMAN JAISWAL 23 YRS

37. SANDEEP 38 YRS

38. DEEPAK SAHU 34 YRS

39. VIJAY SONI 39 YRS

40. LATA SHRIVASTAV 37 YRS

41. ACHAL SHRIVASTAV 45 YRS

42. SONAL GANDHI 31 YRS

43. RAHUL SINGH 46 YRS

44. HEMANT PUROHIT 32 YRS

45. AJAY DAVE 38 YRS

46. UDAY PATIL 36 YRS

47. JAYANT DESAI 63 YRS

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48. YASMIN SHAIKH 39 YRS

49. SURABHI MATHUR 42 YRS

50. RUPALI SHAH 26 YRS

51. SUNIL SETH 48 YRS

52. IBRAHIM VORA 26 YRS

53. MEGHA PODDAR 22 YRS

54. RAVI AGARWAL 20 YRS

55. ASHA MITRA 42 YRS

56. RABI MALHOTRA 22 YRS

57. POOJA AGARWAL 18 YRS

58. CHIRAG PEER 15 YRS

59. CHAMELI DEVI 55 YRS

60. SALMA PATHAN 28 YRS

61. ASHISH KAPOOR 36YRS

62. MANISH SONI 23 YRS

63. JYOTIKA BHATT 58 YRS

64. RASHMI SHRIDAR 22 YRS

65. DEVIKABRAHAMBHATT

36 YRS

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66. RAHUL SETH 55 YRS

67. BRIJESH GANDHI 22 YRS

68. NAINA SHASTABUDHE 39 YRS

69. JIGNESH PANCHAL 17 YRS

70. TASNEEM SAIYED 38 YRS

71. MAHESH CHANDANI 43 YRS

72. JAYA GOSWAMI 19 YRS

73. NIMITA RAWAL 24 YRS

74. AMIT SHAH 24 YRS

75. RAHUL VYAS 38 YRS

76. MUZZAFAR SIDDHIKI 27 YRS

77. SUPRIYA BAROT 42 YRS

78. BIMAL ASTHANA 46 YRS

79. SUNIL BOSE 57 YRS

80. FATIMA VORA 63 YRS

81. VANDANA DIXIT 21 YRS

82. CHITRA DOSHI 42 YRS

83. GIRISH BHAVE 25 YRS53


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84. MANISHA JAIN 38 YRS

85. HITESH JAISWAL 41 YRS

86. MANOJ RAJPUT 47 YRS

87. L.M GHOSH 52 YRS

88. SUNITA PATEL 24 YRS

89. SHIV PARIKH 19 YRS

90. DIPALI THAKUR 48 YRS

91. RAJIV SINGH PAL 19 YRS

92. ANKITA SINGH 18 YRS

93. RADHIKA JALAN 38 YRS

94. KANTA DEVIMAHESHWARI

53 YRS

95. ASHOK YADAV 22 YRS

96. YUSUF SHAIKH 29 YRS

97. RUPESH DAVE 36 YRS

98. NITA PUROHIT 22 YRS

99. DIPESH DHOLAKIA 25 YRS

100. POONAM ARORA 55 YRS

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101. ANAND SUTHAR 31 YRS

102. HIRAL PATEL 21 YRS

103. VINNI KUKREJA 20 YRS

104. HEENA PATEL 29 YRS

105. XAVIER DSOUZA 42 YRS

106. BHAVIK PARIKH 18 YRS

107. PRIYAL SONI 17 YRS

108. KEYUR SHAH 26 YRS

109. MAYUR PATEL 32 YRS

110. HARSHIT GANDHI 48 YRS

111. RUTVI SHAH 20 YRS

112. RITI DALAL 17 YRS

113. SHRIDHAR VYAS 19 YRS

114. DITIKA PATEL 23 YRS

115. EKTA PATEL 17 YRS

116. ARCHANA PRAJAPATI 24 YRS

117. MEHUL SHAH 28 YRS

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118. MEGHA PATEL26 YRS

119. DISHA PATEL 16 YRS

120. MAHESH ZALA 35 YRS

121. BHUMIR SHAH 23 YRS

122. NIRMAL PATEL 16 YRS

123. SANDIP SHAH 52 YRS

124. UTSAV PATEL 21 YRS

125. JAYKISHANTOLARAMANI

16 YRS

126. BIRVA SHAH 16 YRS

127. ISHA SHAH 23 YRS

128. SEJAL KALARA 21 YRS

129. NILAM THAKKAR 17 YRS

130. ISHAN MODI 15 YRS

131. VISHAL PATEL 22 YRS

132. SHREYASH PATEL 21 YRS

133. CHIRAG PATEL 24 YRS

134. RAHUL PATEL 17 YRS

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135. KARAN PATEL 19 YRS

136. SMIT SHAH 21 YRS

137. JIGAR PATEL22 YRS

138. ROMIL PATEL 22 YRS

139. HIRAL SONI 24 YRS

140. NIMESH PAREKH 18 YRS

141. ZEEL PATEL 16 YRS

142. NIRAL PARIKH 16 YRS

143. LOKESH PATEL 22 YRS

144. SONAL GANDHI 25 YRS

145. DHAVAL PANDYA 23 YRS

146. AVANI PAREKH 26 YRS

147. HITESH VAIDYA 31 YRS

148. JALPESH PARMAR 18 YRS

149. TAMANNA KALVANI 19 YRS

150. NAISARG PATEL 21 YRS

151. CHIMANLAL ZALA 75 YRS

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152. HARSH PATEL 18 YRS

153. JAYESH PATEL 39 YRS

154. MEHUL PATEL 29 YRS

155. AMIT PATEL 24 YRS

156. HIMA CHAWALA23 YRS

157. ARPIT PATEL 16 YRS

158. RUSHI UKANI 26 YRS

159. RUSHABH PATEL 22 YRS

160. ALOK SHAH 23 YRS

161. R.S.PATEL 49 YRS

162. MITUL SHAH 23 YRS

163. SAGAR SHAH 31 YRS

164. VISHAL PANDYA 19 YRS

165. SHEETAL ZAVERI 23 YRS

166. MITALI SHAH 21 YRS

167. NIYATI PUJARA 29 YRS

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168. AMRITA SHAH 43 YRS

169. MAHESH PATEL 26 YRS

170. RAHUL GANDHI 24 YRS

171. RACHANA GANDHI 22 YRS

172. GOPALSINH SOLANKI 53 YRS

173. RAJU SHAH 36 YRS

174. BHAVIN UPADHYAY 29 YRS

175. ZALAK DESAI 34 YRS

176. DAXIL PATEL 23 YRS

177. NISARG SHAH 24 YRS

178. YATISH PATEL 15 YRS

179. ANAND SHARMA 19 YRS

180. ARPITA DESAI 21 YRS

181. RUPAL PARIKH 24 YRS

182. AMISHA PARIKH 20 YRS

183. RAHUL MEHRA 37 YRS

184. NIRAV ARORA 33 YRS

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185. MILAN PATEL 15 YRS

186. SAGAR TRIVEDI 25 YRS

187. BHAVIKA RAJPUT 28 YRS

188. BHAVANA KATARA 21 YRS

189. SHAHINA SAIYED 18 YRS

190. AMEE MODI 21 YRS

191. SUHANI SHAH 34 YRS

192. IMRAN JARDA 50 YRS

193. VRAJESH DAVE 19 YRS

194. JIGISHA DESAI27 YRS

195. ADITI SONI 42 YRS

196. KAMLESH SOLANKI 66 YRS

197. ASHA SHETH 16 YRS

198. KISHORSINH ZALA 41 YRS

199. BHARGAV SHAH 23 YRS

200. HEMIN SONI 26 YRS

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(2.) PRIMARY DATA TABULATION AND

INTERPRETATION

Q.1 Do you use Amul butter?

Yes(63%)

No(37%)

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INFERENCE

63% of respondents in the region of Anand use amul Butter

with the exception of 37%

Q.2 If no then why?

Any other reason(81%)

TasteProblem(13%)

PriceProblem(6%)

INFERENCE

81 % of respondents responded about a variety of reasons

such as:

1. They prefer Home made Butter i.e 12%

2. Butter contains more Fat i.e. 8%

3. They dont use Butter at all i.e. 14 %

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4. Users of Other Dairys Butter i.e. 66%

While the other chunk of respondents have Taste Problem

and Price Problem i.e. 13% and 6% respectively.

Q.3 What is the Frequency of purchasing amul butter ?

Daily(16%)

Occassionaly(49%)

Weekly(29%)

Fortnightly(6%)

INFERENCE

The frequency of purchasing amul butter differ a lot where

16% respondents buy it daily, 29% weekly, 6% fortnightly,

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and there is a Hugh chunk of people who buy butter

occasionally.

Q.4 What size of amul butter do you prefer most?

100gm(82%)

500gm(16%)

1kg(2%)

INFERENCE

Mostly the respondents favors 100gms packing i.e. 82%,

while 500gms is preferred 16% and 1 kg is preferred only by

2%.

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Q.5 What is the purpose of buying amul butter?

Cooking(11%)

Breakfast(79%)

Both ofThese(10%)

INFERENCE

Mostly the respondents use amul Butter for Breakfast

purpose i.e. 79% while 11% of the respondent uses it for

cooking purpose and a combination is seen with rest 10%

respondents.

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6. How do you scale your Amul butter?

0

10

20

30

40

50

60

70

80

Average Good Excellent

Softness

Packaging

Quality

Price

Taste

INFERENCE

Scaling on different parameters we get that Price was scaledon average view, packaging is preferred at a good scale,

Quality is also preferred by the respondents as they scale it

on the good side followed by Taste and Packaging.

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Q.7 In which type of packaging of amul butter you will prefer

most?

Stick(38%)

Slice(33%)

Pouch(10%)

Bottled(19%)

INFERENCE

During the survey it was found that people came out with

innovative ideas as they responded that butter must chip in

different forms such as Sticks 38%, Slice 33%, bottled 19%

and pouch 10%.

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(3.) INTERPRETATIONS AND FINDINGS

During the survey it was found that still there are 37%

people who dont use Amul butter.

Amul butter is mainly liked and consumed by people due

to its good quality, brand awareness and reasonable

price.

Mostly people like butter for its wonderful taste but it are

also preferred due to its softness and fat content.

It was found that still there is a chunk of people who do

not prefer to use butter; this can be old age people or

unaware families.

People who have tasted butter are least interested in

local brands.

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Generally the children are the major consumers of the

butter due to its nutritious value.

CONCLUSIONS

The survey was meant to estimate the market potentialand perception of consumers about butter as well as to

find out the frequency of consumption of butter, so the

company can detect their weak points of its quality,

taste preferences etc. and make efforts to rectify them

in the future.

The survey resulted into following conclusions:

Lower price as compared to the other brands is also

one of the prominent reasons why consumers want to

take Amul butter.

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Amul must come up with new promotional activities

such that people become aware about Amul butter.

Quality is the dominating aspect which influences

consumer to purchase Amul product, but prompt

availability of other Butter brands and comparative

price influences the consumer towards them and also

leads to increase sales.

As much of Butter is wasted while consuming soCompany must see the fact and come out with new

packaging that reduces the wastage and attracts more

consumers.

People are overall satisfied with the quality of butter,

but for the existence in the local market Amul must use

aggressive selling techniques.

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SUGGESTIONS

In order to maintain and increase the sales in the city, thefollowing recommendations regarding Amul Butter;particularly regarding are hereby suggested:

As wives are the influencer Amul must try to

grab the opportunity to attract them by providing them

with lucky draws and recipe booklet.

As scorching summers are coming the Butter

producing industries must provide with best packing in

order to attract non-potential consumers or low-income

level group, because they dont have storage facilities

such as refrigerator.

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Try and change the perception of the people

through word of mouth about Amul in advertisements,

because they are the best source to reach children and

housewives.

APPENDIX

1. Industry & Company Profile

2. The Project Profile

3. The Project Background & Methodology

4. Analysis

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BIBLIOGRAPHY

01. www.webexhibits.org

02. www.butterinstitute.org03. www.google.com

04. www.marketresearch.com

05. www.dairy.com

06. www.amul.com

07. www.butterisbest.com

08. Research Methodology.

09. Business today.

10. Business world.

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http://www.webexhibits.org/http://www.butterinstitute.org/http://www.google.com/http://www.marketresearch.com/http://www.dairy.com/http://www.amul.com/http://www.butterisbest.com/http://www.webexhibits.org/http://www.butterinstitute.org/http://www.google.com/http://www.marketresearch.com/http://www.dairy.com/http://www.amul.com/http://www.butterisbest.com/


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