A Research Project On AMUL India Pvt. LTD: Acknowledgement

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A

Research Project
On
AMUL India Pvt. Ltd

Submitted To- Submitted By-


Professor Prashant Ruhi Parveen
(Associate Professor) (MBA 2 SEMESTER)

Acknowledgement
1
First of all I would endow my regards and thanks to God and our
parents with whose grace and good wishes I am able to complete
this project work. This project would have not been completed
without the help and guidance of decided bond of people and
thus as a token of appreciation to their efforts in making this
project a success, I would like to express my gratitude and
thanks to their contributions.

It is my pleasant duty to offer my service acknowledgement to


those honorable personalities of the department who have been a
constant source of help and encouragement in carrying out this
project.

Then I wish to express my indebtness to Mr. Aman Gupta


(Owner/Distributor) Amul Pvt. LTD, Meerut ,for his valuable
suggestions and guidance in preparation of this report.

After the completion of this report I feel myself as a well aware


person about the Ice-cream Market, the most prospective arising
field of today’s world. This report enabled me to know
interesting facts about this field. And at last I am also grateful to
all those personalities who have helped me directly or indirectly
in bringing up this research report.
2
EXECUTIVE SUMMARY

3
The Project Report revolves around the Amul Products specially
Ice Cream which explores the various aspects of Ice cream
market. The certain objectives were predefined and the task was
to accomplish them. This report also provides the survey
analysis about the nature of retailer prescription, consumer
satisfaction, marketing strategy and the key factors over which a
company should have a strong hold to survive with a long-term
view.
The whole process during the entire report making program was
well planned and the data was initially collected about the
reputed Retailers & Distributors and the respective executives
of concerned areas. Finally it was a great experience at the
corporate level being interacted with different distributors and
consumers and it makes practically aware about the strategies
development process and their break up in goals and defining
policies to achieve them and handle different difficult situations.

List of Content

4
Serial No. Topic Page No.
1 Executive Summary 4
2 Introduction 6-15
Literature Review
Objective
Need of Study
3 Company Profile 16-29
4 Research Methodology 30-36
5 SWOT Analysis 37-40
6 Data Collection and 41-47
Interpretation
7 Findings 48
8 Conclusions 49
9 Bibliography 49

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INTRODUCTION

● LITERATURE REVIEW
● OBJECTIVE
● NEED OF STUDY

LITERATURE REVIEW

Milk is a translucent white liquid produced by the mammary


glands of mammals. It provides the primary source of nutrition
for young mammals before they are able to digest other types of
food. The early lactation milk is known as colostrum, and carries
the mother's antibodies to the baby. It can reduce the risk of
many diseases in the baby.

The exact components of raw milk vary by species, but it


contains significant amounts of fat, protein and calcium. In
addition to cattle, the milk of buffalo, goat, sheep and yak is
used in our country by humans for manufacture of dairy
products. In the Western world today, cow's milk is produced on
6
an industrial scale and is by far the most commonly consumed
form of milk. The largest producers of dairy products and milk
today are India followed by the United States, Germany, and
Pakistan (www.fao.org).
As the largest single dairy producing country, India's output
continues to grow strongly in the 3-4 percent range, largely in
response to internal demand growth and sustained by increasing
productivity (Gupta, 2010).

India accounts for over half the total milk output of Asia. India
is located amidst major milk deficit countries in Asia and Africa.
Major importers of milk and dairy products are Bangladesh,
China, Hong Kong, Singapore, Thailand, Malaysia, the
Philippines, Japan, UAE, Oman, and other gulf countries, all
located close to India.

There is vast potential for the export of dairy products, the cost
of milk production in India being the lowest. Given recent high
international

prices, India has started to enter certain export markets;


particularly for skimmed milk powder. Indian companies like
Nestle, Amul, Varshney Bhandu Pvt. Ltd., Harbansh Lal Foods,
Shree Vinayak Ingredients, etc. manufacture and export

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skimmed milk powder. The major factor influencing production
and export of milk products would be the newer uses that may
be developed through R&D support. Milk proteins are being
utilized increasingly replacing animal and vegetable proteins in
special bakery products and instant foods. Through the
application of membrane
process, milk proteins isolates are being produced. There is
scope for introducing
newer plants adopting newer processes by the dairy industry in
the country.

OBJECTIVE OF THE STUDY

1. To study the availability of the brand in the market.


2. To study the tastiest brand in the market of Ice cream.
3. To study the distribution channel of the Amul ice cream.
4. To study the promotion backup of brand.
5. To study the satisfaction level of brand.
6. To take suggestion from dealers which help in increasing
sale value.
7. To observe the buying behaviour of the customers.

8
NEED OF THE STUDY

This project is very important for the market point of view that
what is going on in current scenario. It can also be important
because it is in the

area of company’s market place.


Scope of this study is base on the customer of the Amul and
employee of the company, it may be present or past.

INTRODUCTION

Amul means “priceless” in Sanskrit. A quality control expert in


Anand suggested the brand name “Amul”. This Brand name
“Amul” comes from the Sanskrit word “Amoolya”.
Amul is basically a co-operated company operated from Anand
(Gujarat). Amul produces a large variety of product range
starting from Milk, Butter, Masti- Dahi, Monjrella Cheese, and
Ready to eat Pizza, Lassi, Paneer, and Ice-Cream etc. Amul has
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been market leader in butter for last 55 years. Amul has a large
distribution channel and surplus of milk. Therefore Amul
decided to enter in the ice-cream section. Amul launched its ice
cream in 2002 in Delhi and become the market leader in just two
years Now Amul has 27% market share in the Ice cream section.
The main competitors in the ice cream section are HLL, Vadilal
and Mother dairy.

INTRODUCTION TO ICE CREAM

MARKET SIZE AND GROWTH


Ice creams are available in various forms such as cone, cups, bar
(candy), party pack etc. Candy sticks account for about 25-30%
of volumes, whereas cups and other novelties contribute the rest.
Frozen desserts market in India is very small and refers to oil fat
(instead of milk fat) based ice creams. Besides, a wider range of
frozen desserts is also made in-house and served in 5 star hotels.
The market growth during the late '80s and in the early '90s was
very low at around 2-3% pa. Now the market has been
witnessing a much faster growth. Amul had 138% growth in last
year and 100% growth in this year. The growth rate could have
been even higher but due to poor

10
infrastructure the growth rate is not satisfactory. Market growth
historically was stunted by Government policies. Till 1997, ice
cream manufacture was reserved for small-scale has witnessed
the 138% growth in last year and 100% growth in this year. The
growth rate could have been even higher but due to poor
infrastructure the growth rate is not satisfactory. Market growth
historically was stunted by Government policies.
Till 1997, ice cream manufacture was reserved for small-scale
sector. The leading players were unable to invest adequately to
develop an infrastructure of ice cream for storage and
distribution. Erratic supply and shortage of power in most parts
of the country have been the major factors limiting growth of a
ice cream market.

As a result, there was a dearth of Ice Cream products in the


market and also lack of adequate infrastructure to distribute the
same. Cadbury had entered the market in 1992 with its Dollops
brand, but was unsuccessful in building up a significant presence
and withdrew two years later. In the absence of any competition
from MNCs, local players were able to build up a strong
franchise in respective local areas. Some of the players built up
their market through exclusive parlors. But in most cases parlor
network also could not extend beyond local limits.
At the beginning of first phase of liberalization, Hindustan Lever
(HLL) entered the market through frozen dessert route. Frozen

11
desserts (which use edible oil fat instead of milk fat) were
technically not reserved for small scale. Amul ice cream,
manufactured by the largest milk-producing co-operative was
introduced in Mumbai market in 1996, intensifying the
competition. In 1997, the sector was de-reserved from small
scale, based on the recommendations of the Abid Hussain
Committee report, on grounds of hygiene and technology.
Removal of licensing restrictions

and investment by new players in capacity and market


expansion, is expected to lead to rapid demand growth in the
sector. A 10-12% pa volume growth can be sustained for a very
long period, say 2-3 decades, due to the fact that current base of
consumption is extremely small.

DISTRIBUTION

The ice-cream distribution chain typically consists of a


distributor/ stockiest and the retailer. Most players have regional
operations with production facilities located near the market as
adequate cold chain facilities for transportation over long
distances is not available. Distribution of national brands is done
through owned or leased cold storage facilities located in the

12
major consumption centers from which supplies are sent to
distributors or directly to retailers.
The retail network for ice cream consists of Exclusive ice cream
parlors which may be company owned or Franchise outlets
Other retail outlets like provision stores, hotels and restaurants;
and Push carts, which are controlled through dealers. Retail
margins are high, at around 15-21%.

CONSUMER AWARENESS AND


PENETRATION

Low income, high prices (Ice cream is three times costlier in


India than in US), non availability of good quality products,
poor distribution infrastructure and low investment in marketing
have all resulted in one of the lowest per capita consumption of
ice cream in India at 100ml (equivalent to one scoop). Per capita
consumption of ice cream is higher even in Srilanka (300ml),
Pakistan (400ml) and much higher in other South-East Asian
countries.
The market for organized sector is restricted to large
metropolitan cities. In small towns and villages, there are
thousands of small players who produce ice-creams/ kulfis in
their home backyard and cater to the local market.

13
The awareness of Amul Ice cream is good enough. But there is
even now enough work to be done by the company.as many
retailers even now asked that does the amul manufacture the ice
cream? So the first strategy of Amul Ice cream should be to
create brand awareness through advertising. Amul as a brand has
its goodwill but its ice cream is not popular. When we inquired
about Amul Ice Cream we got response from the retailer about
the Amul Butter.

MAJOR PLAYERS

The Indian Ice cream market is dominated by a large


number of small local manufacturers and regional
players.
In the organized segment, the significant brands are
Kwality Walls, Vadilal, Amul and Mother Dairy.

OTHER PLAYERS

Besides the main national brands there are other premium


brands which have carved a niche for themselves in their
respective regional markets. These players have mostly
concentrated on the large metro cities. These players sell
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through their exclusive parlors. The major national players sell
through franchise parlors as well as through retail stores,
groceries, restaurants, hotels, roadside stalls on highways, etc.

HISTORY OF AMUL

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 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 half a 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.

The revolution started as awareness among the farmers that


grew and matured into a protest movement and the
determination to liberate themselves. Over four decades ago, the
life of a farmer in Kaira District was very much like that of his
counterpart anywhere else in India. His income was derived
almost entirely from seasonal crops. The income from milch
buffaloes was undependable. Private traders and middlemen
controlled the marketing and distribution system for the milk. As

15
milk is perishable, farmers were compelled to sell it for
whatever they were offered. Often, they had to sell cream and
ghee at throwaway prices. In this situation, the one who gained
was the private trader. Gradually, the realization dawned on the
farmers that the exploitation by the trader could be checked only
if marketed their milk themselves.

In order to do that they needed to form some sort of an


organization. This realization is what led to the establishment of
the Kaira District Cooperative Milk Producers' Union Limited
(popularly known as Amul) which was formally registered on
December 14, 1946.
The Kaira Union began pasteurizing milk for the Bombay Milk
Scheme in June 1948. An assured market proved a great
incentive to the milk producers of the district. By the end of
1948, more than 400 farmers joined in more village societies,
and the quantity of milk handled by one Union increased from
250 to 5,000 liters a day.

16
COMPANY PROFILE

AMUL INDIA

Gujarat Cooperative Milk Marketing Federation GCMMF

An Overview
Gujarat Cooperative Milk Marketing Federation (GCMMF) is
India's largest food products marketing organization. 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.
Members: 12 district cooperative milk producers'
No. of Producer Members: 2.28 million
No. of Village Societies: 11,132
Total Milk handling capacity: 6.7 million litres per day Milk
collection (Total - 10-11): 2.36 billion litres
Milk collection (Daily Average): 5.48 million litres
Milk Drying Capacity: 567 metric Tons per day Cattlefeed
manufacturing Capacity:1495 Mts per day

17
Annual Turnover 2019-20 was 38550 after growing 17%
compared to last years turnover

Sales Rs (million) US $ (in millions)


Turnover
1997-98 11140 355
1998-99 13790 400
1999-00 15540 450
2000-01 18840 455
2001-02 22192 493
2004-05 22185 493
2006-07 22588 500
2008-09 23365 500
2009-10 27457 575
2011-12 29507 656
2013-14 31060 776
2015-16 33185 830
20

COMPANY STRATEGY

MILK PROCUREMENT
Total milk procurement by our Member Unions averaged 51.13
lakh kilograms per day, a marginal decline from 52.35 lakh
kilograms per day, achieved in 2010-2011. However, the good
monsoons experienced during last year and the better
procurement prices on offer are expected to encourage higher
milk production and procurement in the current year.
18
SALES
During the year, your Federation's sales registered a growth of 5
percent increase to reach Rs. 2,881.96 crores including
consignment sales of sizable edible oil business. This year, the
sale of Amul Milk in pouches increased by 34 percent in value
terms. A notable development in the area of Rs.62.95 crores.
The dairy line grew by about 18% despite the loss of a liquid
milk in pouches has been the successful launch of Amul Milk in
the Delhi market during November 2003. Within under 60 days
of launch, we had achieved sales of 1 lakh liters per day. UHT
Milk has grown in both value and volume terms by 60 percent,
which shows that it has really come upon the high growth stage.
Amul ice cream achieved a sales value growth of 11 percent,
and has come out as the undisputed market leader. Amul and
Sagar brand pure ghee sales in value increased by 17 per cent
over the previous year. Despite intense competition, sales value
of Amul Butter grew by 19 percent and that of milk powders has
firmed up further. The sales of the Amul Cheese range increased
by 13 percent. Products like Flavoured Milk, Amul Fresh
Cream, Paneer, Mithaimate, Softy Mix, and fresh curd
demonstrated their potential to become dominant brands in the
coming few years.

DISTRIBUTION

19
During the year, the major development on the distribution front
was the development an alignment of four distribution
highways-those of Fresh Products, Chilled Products, Frozen
Products and Ambient Products.

This is a significant achievement because it allows us to develop


synergies among all our product lines and to leverage these
highways to introduce and distribute new products as per market
demand. I take pleasure in declaring that no other organization
in India has been able to develop this kind of channel synergy so
far.
Another major initiative undertaken during the year was the
Time-based Military Technique (TMT) of distribution. This has
been deployed to effect a nationally synchronized mass
distribution of our products with the objective of achieving total
channel penetration on a single day. I am pleased to declare that
this initiative has proved to be very successful. Most of our
products launched or re-launched through this technique have
seen significant gains in distribution and availability.
After Distributor Salesmen in the previous year and Distributors
in the year before last, it was the turn of the top Retailers across
the country to participate in the Amul Yatra Programme. As you
are aware, the Amul Yatra Programme is a unique experiment
conducted by your Federation to bring our channel partners face
to face with our During the year, the major development on the

20
distribution front was the development a alignment of four
distribution highways-those of Fresh Products, Chilled Products,
Frozen Products and Ambient Products. This is a significant
achievement because it allows us to develop synergies among all
our product lines and to leverage these highways to introduce
and distribute new products as per market demand. I take
pleasure in declaring that no other organization in India has been
able to develop this kind of channel

synergy so far.
Another major initiative undertaken during the year was the
Time-based Military Technique (TMT) of distribution. This has
been deployed to effect a nationally synchronized mass
distribution of our products with the objective of achieving total
channel penetration on a single day. I am pleased to declare that
this initiative has proved to be very successful. Most of our
products launched or re-launched through this technique have
seen significant gains in distribution and availability.

After Distributor Salesmen in the previous year and Distributors


in the year before last, it was the turn of the top Retailers across
the country to cooperative institutions, activities, culture and
achievements through a guided tour in and around Anand. A
total of 114 Distributor Salesmen and 482 top retailers from
across the country participated in the Amul Yatra this year. With

21
the opening of several new milk markets and 3 separate Milk
Sales Offices at Mumbai, New Delhi and Boisar, the number of
Milk Area Delivery Agents has increased. 95 Milk Area
Distribution Agents also visited Anand for Amul Yatra.
Distributors have further enhanced their infrastructures in terms
of installation of cold storage arrangements, enhanced bank
guarantee limits with Federation and introduced good quality
delivery vehicles. An objective evaluation was done in the form
of distributor renewal and Performance appraisal.
Federation and compliance to the same by our Distributors, a
pilot initiative of Distribution Audit was undertaken for 70
Wholesale Distributors. With one of the strongest cold chain
distribution network in the country today, Federation today
owns 13 state-of-the-art cold rooms at various depot locations.

THE MARKET PLACE

The Rs. 525 Crore organization Ice cream market today has a
numbers of the homegrown brands like vadilal, Cream bell,
Milk Food and Mother Dairy who have grabbed large share of
ice cream pie in their respective regions. Milk food is planning
to open 30 of its ‘café 100’ parlous in the state of Delhi, Punjab
and Haryana .HLL kwality walls a market leader in yesteryears
is already not too sure how to gain back its lost ground and cut

22
down its losses, there are many more who are seeking entry to
take and an early positioning in the market that is expected to
grow faster than any other milk products.
The Swiss company, Nestle SA, is already taking vadilal’s for
manufacturing and marketing Hagen dazs ice cream in India.
Managing branded coffee cafés chains may not be as difficult as

managing chain of ice cream parlous as supply chain mechanism


in case of ice cream is rather complex but nevertheless
increasing supplies of milk in pushing companies to develop the
market for milk products. Ice cream business in India, estimated
at Rs.1200 Crore, till very recently was drive by pushcarts
selling Hindustan Lever’s Kwality Walls or the local brands. Ice
cream parlors were few like in Narulas Ice cream parlous came
in vogue only after the arrival of multinationals like Baskin
Robins, McDonald’s, Blue Bunny and the most recent Move-n-
Pick, the largest being Baskin Robbins with 140 Franchisee
outlets. Parlous have an edge over the rest, at least in the urban
market, which contributes the lion’s share to the industry.
Baskin Robbins had a tough building up its cold chain, the
largest in India.

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Amul Product Range:-

Breadspreads:
1 Amul Butter
2 Amul Lite Low Fat Breadspread
3 Amul Cooking Butter

Cheese Range:
1 Amul Pasteurized Processed Cheddar Cheese
2 Amul Processed Cheese Spread
3 Amul Pizza (Mozarella) Cheese
4 Amul Shredded Pizza Cheese
5 Amul Emmental Cheese
6 Amul Gouda Cheese
7 Amul Malai Paneer (cottage cheese) Frozen and Tinned
8 Utterly Delicious Pizza

Mithaee Range (Ethnic sweets):

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1 Amul Shrikhand (Mango, Saffron, Almond Pistachio,
Cardamom)
2 Amul Amrakhand
3 Amul Mithaee Gulabjamuns
4 Amul Mithaee Gulabjamun Mix
5 Amul Mithaee Kulfi Mix

UHT Milk Range:


1 Amul Taaza 3% fat Milk
2 Amul Gold 4.5% fat Milk
3 Amul Slim-n-Trim 0% fat milk
4 Amul Chocolate Milk
5 Amul Fresh Cream
6 Amul Snowcap Softy Mix

Pure Ghee:
. Amul Pure Ghee Sagar Pure Ghee
. Amul Cow Ghee

25
Infant Milk Range:
1 Amul Infant Milk Formula 1 (0-6 months)
2 Amul Infant Milk Formula 2 ( 6 months above)
3 Amulspray Infant Milk Food

Milk Powders:
1 Amul Full Cream Milk Powder
2 Amulya Dairy Whitener
3 Sagar Skimmed Milk Powder
4 CondenseSagar Tea and Coffee Whitener

Sweetened Milk:
Amul Mithaimate Sweetened Condensed Milk
Fresh Milk:
1 Amul Taaza Toned Milk 3% fat
2 Amul Gold Full Cream Milk 6% fat
3 Amul Shakti Standardised Milk 3% fat
4 Amul Smart Double Toned Milk 1.5% fat

26
Curd Products:
1 Amul Masti Dahi (fresh curd)
2 Amul Butter Milk
3 Amul Lassee

Amul Ice creams:


1 Royal Treat Range (Rajbhog,Cappuchino,
Chocochips, Butterscotch, Tutti Frutti)
2 Nut-o-Mania Range (Kaju Drakshi, Kesar Pista, Roasted
Almond, Kesar Carnival, Badshahi Badam Kulfi, Shista Pista
Kulfi)
3 Utsav Range (Anjir, Roasted Almond)
4 Simply Delicious Range (Vanilla, Strawberry, Pineapple,
Rose, )
5 Nature's Treat (Alphanso Mango, Fresh
Litchi, Anjir, Fresh Strawberry, Black Currant)
6 Sundae Range (Mango, Black Currant, Chocolate,
Strawberry)

7 Millennium Icecream (Cheese with Almonds, Dates with


Honey)

27
8 Milk Bars (Chocobar, Mango Dolly, Raspberry Dolly,
Shahi Badam Kulfi, Shahi Pista Kulfi, Mawa Malai Kulfi,
Green Pista Kulfi)
9 Cool Candies (Orange, Mango) 10 Amul prolife sugar free
probiotic 10 Cassatta
11 Tricone Cones (Butterscotch, Chocolate)
12 Megabite Almond Cone
13 Frostik - 3 layer chocolate Bar
14 Fundoo Range - exclusively for kids
15 SlimScoop Fat Free Frozen Dessert (Vanilla, Banana,
Mango, Pineapple)
16 Health : Isabcool
17 Stamina candy

Chocolate & Confectionery:


1 Amul Milk Chocolate
2 Amul Fruit & Nut Chocolate
3 Amul Eclairs

28
Brown Beverage:
1 Nutramul Malted Milk Food

Milk Drink:
1 Amul Shakti Flavoured Milk

Ready to Serve Soups:


1 Masti Tomato Soup
2 Masti Hot & Sour Soup

29
RESEARCH METHODOLOGY

Research Methodology is a systematic way, which consists of


series of actions or steps necessary to effectively carry out
research and the desired sequencing of these steps. The
marketing research is a process of involves a number of inter-
related activities, which overlap and do rigidly follow a
particular sequence. It consists of the following steps

1. Objective of the study


2. Designing the methods of data collection
3. Selecting the sample plan
4. Collecting the data
5. Processing and analyzing the data
6. Reporting the findings

FORMULATION OF THE RESEARCH


PROBLEM

Two steps are involved in formulating the research problem:

30
1 Understanding the problem
2 Rephrasing the problem into meaningful terms from an
analytical point of view.

RESEARCH DESIGN
The research design is developed to collect the relevant
information with minimum of efforts, time and money.
Marketing Research Objectives:
1 To undertake a prior market study before doing owns
research to know who are the major distributors and retailers in
given area and also to know about the consumer behaviour today
Amul Products.
2 Type of Study: Descriptive.
3 Research Area: Meerut
4 Source of Information: Primary Data.
5 Data Collection Instrument: Questionnaires & Personal
Interview.

SAMPLING

31
SAMPLING DESIGN
A Sample Design is a definite plan for obtaining a sample from
a given population. It refers to the technique or the procedure
adopted in selecting items for the sample. The main constitution
of the sampling design is as below-
1. Sampling Unit
2. Sample Size
3. Sampling Procedure

SAMPLING UNIT
A sampling framework i.e. developed for the target population
that will be sampled i.e. who is to be surveyed.
● Distributors
● Consumers

SAMPLE SIZE

It is the substantial portion of the target population that are


sampled to achieve reliable results.
36 RESPONDENT (Consumers)
32
SAMPLING PROCEDURE

The procedure to choose the respondents to obtain a


representative sample, a non-probability sampling technique is
applied for the target – market.

Non-Probability Sampling
It is a purposive sampling which deliberately chooses the
particular units of the universe for constituting a sample on the
basis that the small mass that they so select out of a huge one
will be typical or representative of the whole.

Judgment sampling:
To select population members who are good prospects for
accurate information?

DATA COLLECTION

The data collection process is the predefined task that I have to


undergo. The data collection process starts right from the first

33
day till the final day on the field. During the whole period a list
of different distributors and consumers scattered around whole
of the Meerut gets visited on the regular basis. The main task is
to analyze the market potential, study of the market share of the
company and analyzing the consumer’s preferences.
The survey process is not complete without consulting the
Distributor & Consumers. The distributors are the key nodes that
make the chain moving effectively. So the response made by
them is also an essential criterion to involved and reaching for
certain decisions.
There are several ways of collecting appropriate data that differ
considerably in the context of money costs, time, and other
resources at the disposal of the researcher. The tools used for
data collection are as:

Primary Data
The primary data are those data, which are collected afresh and
for the first time. And happen to be original in character. The
primary data to be collected for the study are-
Questionnaire – A set of questionnaire is prepared for the cause
of collecting different information related to the pre-determined
objectives. The questionnaire had been prepared for the retailers.
The format of questionnaire was structured and non-disguised.

34
Direct Personal Interview – Under this method of collecting data
there is face-to-face context with the person from whom the
information is obtained. The data collected are from the
retailers.

Secondary Data
Secondary data means data that are already available i.e., they
refer the data, which have already been collected and analyzed
by someone else. When the researcher utilizes secondary data,
then he has to look into various sources from where he can
obtain them, IN this case he is certainly not confronted with the
problems that are usually associated with the collection of
original data. Secondary data may either be published data or
unpublished data. Usually published data are available in:
1 Various publications of the central, state and local
governments;
2 Various publications of foreign government or of
international bodies and their subsidiary organization;
3 Technical and trade journals:
4 Books, magazines and newspapers; Reports and
publications of various associations connected with business and
industry, banks, stock, exchanges etc.;

35
5 Reports prepared by research scholars, universities,
economists etc. In different fields, and
6 Public records and statistics, historical documents, and
other sources of published information. The sources of
unpublished data are many; they may be found in diaries, letters,
unpublished biographies and autobiographies and also may be
available with scholars and research .workers, trade associations,
labor bureaus and other public/private individuals and
organizations.

The data collected from the various efforts and sources are
presented tabular form and as shown distinctively from the next
page.

36
SWOT ANALYSIS

STRENGTHS

● Biggest sourcing base for milk and milk products in India.


● India’s best-known local Brand across all categories.
● 27% market share in the national Ice Cream market.
● Presence of a well-established distribution and delivery
network for dairy products.
● Penetration pricing strategy – Amul is the price warrior in
the Ice cream market and currently has a very wide range to
offer for all price points.
● Normally consumers in India prefer Dairy Ice cream rather
than frozen desserts and Amul has a wide portfolio in the dairy
ice cream segment.
● Kwality Walls, Amul’s main rival, has 8% market share,
the second largest share in the organized sector now is trying to
extend it’s cold chain in many cities and towns Whereas Amul
has presence in almost all towns because of it’s already existing
butter lines.

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● Customer is most comfortable buying Ice Cream in the
Value for Money segment and Amul is well present in this
segment.
● Amul has built up a formidable image as a brand in which
generations of consumers have placed their trust. This can be
used to its advantage while introduction of ice creams.

WEAKNESS

● Amul’s Advertising has low profile. Kwality Walls and cream


bell on the other hand is into heavy advertising and
consequently, is going to be popular.
● A major entry barrier with Amul is their some non flexible
policies. If amul makes their policies bit flexible than this will
be beneficial for them.
● Retailers want a credible Replacement policy of the ice
cream .They would be willing to make further investments only
for that brand which offers replacement facilities. Amul has no
replacement policy.

● Retailers now demand freezers without having to pay any


deposit. This is especially true of those retailers who already
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stock one or the other ice cream brands. But Amul gives the
deep freezer at lump sum amount.

OPPORTUNITIES

Retailers who are currently stocking more than two brands. This
is in Amul’s favor, as earlier it had to overcome this problem in
the Mumbai market.

● There is ample scope in the low priced segment as also in


other categories where consumers presently are dissatisfied with
the quantity being provided vis a vis the price being charged.
● Amul has the opportunity to capture the more evolved young
adults and children who are open to new products provided they
meet their expectations.

THREATS

● Amul might face threat from the local manufacturers in the


low end of the market like in the NCR.

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● Kwality Walls product differentiation strategy has been
very well received by the consumers and Mother Dairy is also
pushing up its advertising pitch.
● Cream bell is also planning to double the number of push
carts in Delhi NCR.

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PROBLEMS FACED BY AMUL COMPANY DUE
TO COVID-19

The Covid-19-induced lockdown disrupted many industries,


including the FMCG sector.
Gujarat Cooperative Milk Marketing Federation Limited
(GCMMF), the company that owns the Amul brand, also
experienced a massive imbalance in its supply chain. Amul saw
a surge in demand for its fresh dairy products while there was a
steep drop of frozen products arising from wariness about
spread of the virus.

This imbalance put its dairy supply chain under immense


pressure. So Amul fell back on technology and redeployed idle
resources in the frozen supply chain towards dairy products.
Thus, ensuring steady delivery of dairy products across India.

To gauge the complexity of Amul’s supply chain, consider this


- the co-operative has a total of:
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3.6 million farmers
18,700 societies
5,000 milk tankers that go to
200 chilling stations
750 SKUs
62 branches
10,000 distributors

How Technology helped Amul create supply


chain resilience during COVID-19

For Amul, the use of technology was critical to its survival as


one of India’s biggest FMCG companies. Every single aspect of
this complex supply chain was integrated through technology
enabling GCMMF to have visibility into each step. These
insights became crucial during the lockdown allowing the dairy
company to know, for instance, which village was not
contributing to the supply of milk, which tanker wasn’t
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operational, which of the 200 chilling stations were working at
optimal capacity, etc.

Transforming business through integrated IT infrastructure


This was possible because of Amul’s decision to embark on a
digital transformation journey way back on 2009 when it
partnered with IBM to reinvent its technological infrastructure.
The infrastructure pivoted around planning to have control
over the supply chain and introducing IT-based solutions across
all stages of production to better manage inventory. The key
objective was to ensure flexibility and scalability across the
complex chain.
This system has become integral to Amul’s functioning due to
its complicated supply chain which went beyond factories, to
the real source of milk production. IBM developed a
comprehensive IT roadmap that took all this into account to
create a highly responsive platform that provides real-time
insights and control over every stage. IBM developed a private
cloud with a data centre and a disaster recovery system that
has automatic back-ups in place. So, whenever there are issues
the disaster recovery kicks in, ensuring zero down time. This
was proven during the recent lockdown when Amul was able to
divert idle resources overnight and ensure steady supply of
dairy products.
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In the past decade Amul’s digital transformation has helped it
gain a 10x growth in business. By improving data accuracy and
integration with the distributor management system, processes
are seamless now. Coupled with mobile applications and
automations that efficiently manage applications, Amul not
only has better operations, but also gained much-needed
insight into the logistics-side of things.

Way forward
As the 10-year contract between Amul and IBM was due for a
renewal, so were the existing objectives and solutions. The
current focus revolves around enhancing technology in supply
chain to build greater resilience. Another key objective is to add
a layer of artificial intelligence and machine learning to make
the supply chain more cost effective and position Amul for
faster growth over the coming years.

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DATA COLLECTION & INTERPREATION

After data have been collected researcher turns to the task of


analysis them. The analysis of the task of closely related option
such as establishment of categories, the application of these
calories to raw data through coding tabulation and then
drawing.

Statistical inferences
1) Coding
2) Editing
3) Tabulation

Coding operation is usually done at this stage through which


the categories of data was transfer into symbols that may be
tabulated add counted

45
Editing was the procedure that improves the quality of data for
coding with the stage was ready for tabulation
Tabulation was a part of the technical procedure where in the
classified data are put in the form of tables.

Table of DATA collected through Primary


Source to know the consumer behaviour
towards AMUL

Rating 1- Product Preference Amul


10 Used Chocolat
e
Preferen
ce
9 Amul Butter No i prefer Yes
Amul
9 Amul Butter No i prefer Yes
Amul
46
8 Milk Mother Yes
dairy
10 Milk Parag Yes
7 Butter,chees Nestle Yes
e,
chocolates
10 Butter and I dont Yes
cheese prefer
anything
else
08 Icecream Vadilal Yes
9 Ice cream Mother Yes
dairy
8 Amul butter Haldiram Yes
7 Butter Mother No
dairy
9 Amul Bread Patanjali Yes
47
Spreads Ran
10 amul butter mother Yes
n chees dairy
5 Curd Mother No
dairy
9 Butter Mother Yes
dairy
7 Amul milk Dairy Milk No
for
chocolates
8 Milk Mother Yes
dairy
9 Milk Parag No
8 Butter Mother Yes
dairy
8 Amul ice- Mother Yes

48
cream dairy
10 Amul cool I like only Yes
Amul
products
  Dahi Nestle No
10 Milk Prag Yes
9 Milk Parag No
8 Amul dhai , Motherdai Yes
milk ry
10 Milk Parag No
8 Milk Mother Yes
Dairy
10 amul butter vadilal Yes
10 Milk Prag Yes
8 Milk Anchal Yes
8 Amul butter Homemad No
49
e
10 Amul butter Parag Yes
8 Amul butter Homemad No
e
9 Cheese Go cheese Yes
spread
8 Butter Mother No
dairy
08 Amul butter I don't Yes
prefer
anything
els
10 Chocolate Mother Yes
Cone dairy

50
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FINDINGS

1. Rating shows approx 83% consumers loves AMUL.


2. Most purchased products by my sample audience were
Milk and Butter.
3. 26 out of 36 people loves amul chocolates.
4. Even though the rating is good but people prefer Mother
Dairy over Amul in some product purchase.
5. Comeback of Shrikhand in the market after good
advertisement during Ramayana at the time of lockdown
due to Covid19.
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6. Advertising is low.
7. Never been in loss as compared to other companys because
Amul takes out it losses from its employees salary in case
of their fault.

CONCLUSION

Ice industry is very competitive industry and dominance of


Vadilal and Mother Dairy makes it tougher for other brands to
establish in this field. So in order to compete in this market
everything should be perfect with main focus on distribution.
The distribution must be proper and retailers must be the main
center of focus. They are the people who can make difference.

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BIBLIOGRAPHY

Websites:
http.//.www.amul.ice-cream.com
http.//.www.google.com

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