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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD

SUMMER TRAINING REPORT SUMMER TRAINING REPORT


ON ON
THE TASTE OF INDIA
Prepared By
Darshan Makwana
Student of
Master of BusinessAdministration
Batch (2007 - 2009)
Roll o! -"#
Submitted To
Saurashtra $ni%ersit&
Ra'kot
Guided By
(rof! )i'a& )&as
Institute
R!*! +olle,e of
-n,ineerin, and .echnolo,&
RA/*0.

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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
PREFACE
AM$1 is the 2ride not onl& of 3u'arat 4ut also of entire countr&! 5 ha%e
,reat 2leasure in 2re2arin, this 2ro'ect of such or,ani6ation! A 2erson as2irin, to
enter in mana,ement 2rofession must ha%e 2ractical knowled,e of the su4'ect!
.he o4'ecti%e of industrial trainin, is to de%elo2 2ractical knowled,e in student as a
su22lement to the theoretical stud& of mana,ement in ,eneral as well as industrial! 5t
2ro%ides foundation to students intendin, to 2ursue a career in this field!

.he industrial trainin, is the most e7citin, e72erience of the education!
-%er& 2erson needs some chan,es from the routine education! 8or this trainin,
industr& is selected 4& me and fetch information a4out different 2roducts of 9AM$1 :;
and its acti%ities! But 5 concentrated more on takin, information a4out Marketin, for
AM$1 +hocolates to 2romote AM$1 +hocolates!
As 5 am student of mana,ement and the future Mana,er the trainin, 2la&
%ital role in m& education! Because of the industrial trainin, 5 ha%e knowled,e of
industrial en%ironment and 5 felt hat this would 4e the 2art of m& life! 5 4ecome
conscious that 5 am the mana,er of future and 5 should also learn hoe to sol%e
mana,erial 2ro4lem and fulfill others re<uirement at the time!

5 ha%e tried m& 4est to re2resent all rele%ant data and information relatin, to
m& 2ro'ect work! 5 ho2e this re2ort will ser%e the 2ur2ose of the readers
Darshan Makwana
M!B!A


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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
ACKNOWLEGEMENT
.his is to acknowled,e to somethin, a4out those 2eo2le who ha%e coo2erated
me to reach at the ed,e of m& trainin, work! 5 wish to 2lace a close 2rofound inde4t
ness and dee2 sense of ,ratitude to (rof! )i'a& )&as ((ro'ect 3uide); Mrs! Aarti /oshi;
Mr! Al2esh ashid ((lacement Ad%isor); Miss )ishwa *asundra (8acult&) and all
2rofessors for 2ro%idin, and ,uidin, me to ,et trainin, in AM$1 industr&!
5 am ,rateful to res2ected Mr! D!.! Rawal (Branch Mana,er); Mr! a%al
(armar; Bhasman, Achar&a and Arun *arkera (Sales -7ecuti%e) of Ahmeda4ad and
)i%ek A,arwal (Assistant Mana,er) in +hocolate 2roduction de2artment!
5 am hi,hl& thankful to the Mana,ement committee for hel2in, me in m&
2ro'ect work 4& 2ro%idin, me all the information needed and ,uided me in makin, the
re2ort; directin, and hel2in, me which made the 2rocess %er& eas& and educational! 5
would also like to thank all those 2eo2le who ha%e knowin,l& and unknowin,l&
hel2ed me in m& re2ort makin,!

Darshan Makwana
M!B!A
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD

CONTENTS
Sr No. PARTICULAR Page No.
A 5D5A DA5R> 5D$S.R>? A (R0851- 5-6
B -@-+$.5)- S$MMAR> 7-11
C +0M(A> (R0851- 12-15
D (R0D$+.50 D-(AR.M-. 16-27
E MAR*-.53 S.RA.-35-S 28-51
F 85A+- D-(AR.M-. 52-55
G A$MA R-S0$RS- MAA3AM-. 56-63
H SB0. AA1>S5S 64-65
I +0+1$S50 66-66
1 R-8-R-+-S 67-67
K AM$1 DA5R> (R0D$+. 68-72
5!

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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
AMUL
INDIAN
DAIRY
INDUSYTRY
PROFILE


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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
INDIAN DAIRY
INDUSTRY- A PROFILE
5ndia:s modern dair& sector has e72anded ra2idl&! 5ndia is reco,ni6ed as a 4i,,est
and fastest ,rowin, market in the world for milk and milk 2roducts! 5ndiaEs dair&
market is multi-la&ered! 5tEs sha2ed like a 2&ramid with the 4ase made u2 of a %ast
market for +hocolate! .he 4ulk of the demand for +hocolate is amon, the Rural
areas whose re<uirement is lar,e!
5ndia:s dair& sector is e72ected to tri2le its 2roduction in the ne7t "0 &ears in %iew
of e72andin, 2otential for e72ort to -uro2e and the BestF so all the countries are
lookin, at 5ndian dair& industr& markets for e72orts! As 2er 3A.. a,reement the
e72ort su4sid& is reduced! Because of this 5ndia is e72ectin, ma'or chan,es in
dair& industr& of orth America; -uro2e and Australia! 5t ma& also ,et some
ad%anta,e in this situation! After reduction in su4sidies ,i%en 4& other countries
5ndia would 4e a4le to com2ete with their 2roducts efficientl& on 2rice in
international markets! At 2resent 5ndia has a ne,li,i4le e72ort to international
markets!
Both 2u4lic and 2ri%ate sector ha%e contri4uted to the dair& industr& ,rowth in
5ndia! 3o%ernment dair& distri4utes 90G of its milk in sachets or in containers
while remainin, "0G is marketed as 4utter; ,hee etc! 0n contrar&; 2ri%ate sector
onl& markets 20G of milk and remainin, #0G of milk is made into 2re2arations
suita4le for e72orts! Amul ha%e +hocolate as their main 2roduct!
.hou,h 5ndia is o! " in milk 2roduction; it is unfortunate that we are im2ortin,
milk 2roducts from other countries! Since we do not ha%e ,ood technolo,& for
2roduction of skim milk 2owder we are forced to im2ort them from -uro2e and
ew Healand!
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
EXECUTIVE SUMMARY
"! Student ame ? *iran !5shwarlal! /aiswal
2! 0r,ani6ation ? 3u'arat +oo2erati%e Milk Marketin, 8ederation
=! Re2ortin, 0fficers ? D!.! Rawal (Branch Mana,er)
a%al (armar (Sales -7ecuti%e)
C! (ro'ect .itle ? +hocolate Marketin, of 2otential Areas of
Mahesana ;
(atan ; (alan2ur and Deesa!
5. Objective
A) .o stud& the e7istin, market of Amul +hocolate in %arious areas 1ike
(atan ; (alan2ur; Deesa andMahesana !
B) .o increase the "0G market share of Amul +hocolates in Mahesana; (atan;
(alan2ur and Deesa
+) .o stud& the 2osition of Amul +hocolate in certain esta4lished market!
D) .o estimate the market 2otential for Amul +hocolate in ene72lored market!
-) .o identif& the 2ro4lem in %arious areas!
8) .o de%elo2 the strate,ies J 2ro%ide su,,estions to increase the sales of
)55) Methodology ?
.he area of work was in im2ortant rural and town areas (atan ; (alan2ur ; Deesa and
Mahesana ! Be had to de2end mainl& on 2rimar& data so as to ha%e to a first hand
knowled,e of the 2re%ailin, market 2osition of li<uid milk of %arious 4rands! .hus;
our actual stud& was conducted in = sta,es! 8irst we talked informall& on %arious
as2ects with our ,uidin, officers; certain consumers J retailer! e7t we 2re2ared our
<uestionnaires 4ased on the 2riors discussions ha%in, se2arate <uestionnaires for
esta4lished J une72lored markets! Both consumers J retailers were ,i%en se2arate
<uestionnaires!
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
8inal <uestionnaire was 2re2ared after %arious modifications to the 2re%ious
<uestionnaire!Both o2en ended J close ended <uestions were used! 5nformal
inter%iews were also conducted!
)555) Major findings ?
") Ma'orit& of the consumers assi,n eas& a%aila4ilit& and <ualit& as their main
2reference in 4u&in, +hocolate of a 2articular 4rand!
2) (er ca2ital consum2tion is around 2D0 ml!
=) 5n esta4lished market; 2eo2le 4u& amul chocolate mainl& 4ecause of its 4rand
2o2ularit&; ,ood <ualit& and eas& a%aila4ilit&!
C) (ri%ate 4rand ha%e 4een a4le to enter the market onl& on the 4asis of their low-
2ricin, strate,&!
D) Amul has the hi,est market share in li<uid milk market of Mahesana and
Deesa!
I) Brand awareness for amul chocolate is %e& 1ow!
7) .he main 2reference for sellin, amul chocolate 4& the retailers is the easier
a%aila4ilit& and fair commission!
#) .own or %illa,es where amul chocolate is less a%aila4le at 2resent; most
2eo2le 2refer centre and near4& local sho2s!
5@) Suggestions :
") (eo2le use milk for %arious 2ur2oses like makin, +urd; 1assi; 5ce-cream
4esides .ea and for drinkin, 2ur2ose! So a 2ositi%e 2erce2tion can 4e created
to make them think that amul milk is 4est suited for those 2ur2oses!
2) (ro'ector films ma& 4e shown to the %illa,ers em2hasi6in, on the <ualit& and
the h&,enit& of amul chocolate! .his would hel2 in con%incin, the 2eo2le J
creatin, a fa%oura4le attitude towards amul chocolate in 2ouches!
=) Arran,ement should 4e made to ensure re,ular su22l& of amul chocolate to
the consumers in new 2laces once the milk in introduced! 5f 2ossi4le
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
trans2ortation facilit& should also 4e arran,ed to make it con%enient for the
retailers!
C) Su,,estions J com2laints made 4& retailers J consumers should 4e ,i%en due
attention to 2ro%ide ma7imum satisfaction! .his could create and im2ression
that amul cares for them!
@) Limitation ?
") .he time for the 2ro'ect was short J 5 had to 4e com2leted on time!
2) 1an,ua,e 4arrier was also a 2ro4lem in one or two areas!
=) Retailers were not read& to furnish the detailed information! Some
consumers in the %illa,es were hesitant in ,i%in, res2onse which could
ha%e lead to some sort of 4iasedness!
TITLE OF THE PRO1ECT
" Project Activities ?
+hocolate market is one of the minor acti%it& of Amul milk unions! 5t is an acti%e
2ro2osition since amul sells chocolates 4ut could not make the 2roduct a mo%in,
2roduct like milk due to its less demand! .he to2ic has 4een selected with a %iew to
stud& the chocolate market scenario in %arious 2arts of district(Mahesana; (atan;
(alan2ur; and Deesa) and identif& wa&s and means to increase the e7istin, sales as
well as e72lore the 2ossi4ilities for introducin, new %arieties in chocolates and reduce
the 2rice to some e7tent in all areas! 8or the 2ur2ose of the stud&! .he market was
se,re,ated into esta4lished and une72lored markets! 8ollowin, 2laces ha%e 4een
studied!
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
"! Mahesana
2! (atan
=! (alan2ur
C! Deesa
-ach and e%er& town was studied indi%iduall& and 2ro2erl& anal&sed!
C Objectives ? -
8ollowin, are the ma'or o4'ecti%es ? -
"! .o stud& the chocolate market scenario in %arious area (atan ; (alan2ur; Deesa
andMahesana ! .he first and foremost o4'ecti%e of the 2ro'ect was 2erfect!
$nder this; the consum2tion 2attern; market share of %arious 4rands and
the factors influencin, the 4u&in, decisions of the consumers were
studied!
2! .o stud& the 2osition of amul chocolate in esta4lished market! .he nearest
com2etitor and the %arious 2ossi4ilities has 4een e72lored to minimi6e
their threats!
=! .o estimate the market 2otential for amul chocolate in une72lored market was
one of the ma'or o4'ecti%es! Aere the conditions were also studied under
which the consumer as well as the retailer would 4e willin, to 4u& amul
chocolate!
C! .o identif& the 2ro4lem areas for all the 2laces se2aratel&! Aere the
shortcomin,s of amul were studied which could 4e remo%ed after careful
understandin, J detailed anal&sis!
D! .o de%elo2 strate,ies and come out with su,,estions for increasin, the sales!
D Methodology ? -
.he research methodolo,& ado2ted is of descri2ti%e t&2e! .he ma'or
2ur2ose of this research was the descri2tion of the state of affairs as it e7ists at
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
2resent! -%en thou,h there was no control o%er the %aria4les! .he cause were
tried to 4e disco%ered! .he method of research utili6ed here was sur%e&
method! .he facts or information ,athered were anal&6ed to make a critical
e%aluation of the information!
D!" Research A22roach ? -
0ne had to de2end mainl& on 2rimar& data as first had knowled,e was
re<uired a4out market 2osition of %arious 4rands in the chocolate market! So
our actual stud& was conducted in = sta,es ? -
8irst we discussed with our ,uidin, officers on the %arious 2arameters of the
2ro'ect! Be also talked informall& with some consumers and retailers to ha%e
some 2reliminar& idea!
e7t <uestionnaire was 2re2ared 4ased on 2riori discussion! Se2arate
<uestionnaire was 2re2ared for esta4lished and une72lored markets!
1astl& the final <uestionnaire was 2re2ared with %arious modification to the
2re%ious <uestionnaire!
Se2arate <uestionnaires were 2re2ared for the consumers and retailers
D!2 Sam2lin, techni<ues ? -
.he stratified sam2lin, method was followed! .he 2o2ulation of all the
towns was not homo,eneous! .here e7ists 2eo2le of different occu2ation! So
stratified sam2lin, techni<ue had to 4e a22lied in order to o4tain a re2resentati%e
sam2le!
D!= Sam2le si6e ? -
.he sam2le si6e %aried form town to town for 4oth consumers and
retailers! 5n (atan ; (alan2ur; Deesa andMahesana the sam2le si6e taken was "00!
D0 retailer and D0 consumers res2ecti%el&! .he sam2le si6e of retailers %aried from
7 to 2D accordin, to the si6e of the market!
I Data Anal&sis ? -
.he data were anal&6ed se2aratel& for each town! .he findin,s resultin, of the
anal&sis %aried from town to town and the recommendations stated accordin,l&
arri%ed at after thorou,h anal&sis and recommendation stated accordin,l&!
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
COMPANY
PROFILE
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
HISTORY OF THE COMPANY
.he stor& of AM$1 ins2ired E02eration 8loodE and heralded the EBhite Re%olutionE in
5ndia! 5t 4e,an with two %illa,e coo2erati%es and 2D0 liters of milk 2er da&;
nothin, 4ut a trickle com2ared to the flood it has 4ecome toda&! .oda& Amul collects
2rocesses and distri4utes o%er a million liters of milk and milk 2roducts 2er da&;
durin, the 2eak; on 4ehalf of more than a thousand %illa,e coo2erati%es owned 4&
half a million farmer mem4ers! Amul has 4ecome a s&m4ol of the as2irations of
millions of farmersF creatin, a 2attern of li4eration and self-reliance for e%er& farmer
to follow!
.he 9AM$1 re%olution: started as awareness amon, the farmers ,rew and matured
into a 2rotest mo%ement! 0%er four decades a,o; the life of a farmer in *aira District
was %er& much like that of his counter2art an&where else in 5ndia! Ais income was
deri%ed almost entirel& from seasonal cro2s! .he income from milch 4uffaloes was
unde2enda4le! (ri%ate traders and middlemen controlled the marketin, and
distri4ution s&stem for the milk! As milk is 2erisha4le; farmers were com2elled to sell
it for whate%er the& were offered! 0ften; the& had to sell cream and ,hee at
throwawa& 2rices! 5n this situation; the one who ,ained was the 2ri%ate trader!
3raduall&; the reali6ation dawned on the farmers that the e72loitation 4& the trader
could 4e checked onl& if marketed their milk themsel%es!
5n order to do that the& needed to form some sort of an or,ani6ation! .his reali6ation
is what led to the esta4lishment of the *aira District +oo2erati%e Milk (roducersE
$nion 1imited (2o2ularl& known as Amul) which was formall& re,istered on
Decem4er "C; "9CI!
+urrentl& AM$1 has 2!2# million 2roducer mem4ers with milk collection a%era,e of
D!0# million litersKda&!
.oda& AM$1 is a s&m4ol of man& thin,s! (Ai,h-<ualit& 2roducts sold at reasona4le
2rices; ,enesis of a %ast co-o2erati%e network and a 2ro%en model for dair&
de%elo2ment)! .he *aira $nion 4e,an 2asteuri6in, milk for the Bom4a& Milk
Scheme in /une "9C#!
MA5 B$S5-SS
AM$1 is mainl& into the 4usiness of marketin,; trans2ortin, and distri4utin, the
milk and milk 2roducts manufactured 4& its owners! Besides creatin, ur4an
em2lo&ment in dair& 2lants; marketin,; trans2ortin, and distri4ution; it has hel2ed to
2ro%ide farmers with a sustaina4le rural em2lo&ment 2ro,ram! AM$1 has alwa&s
tried to 4e a ste2 ahead of the market! 5t has alwa&s 4een a model to which other
coo2erati%es ha%e looked u2 as an e7am2le and ins2iration as well as one from
which man& ha%e 4enefited! AM$1 was one of the first ma'or or,ani6ations
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
in 5ndia to ha%e a we4site! .his site has 4een used 4oth to de%elo2 an
intranet of AM$1 distri4utors as well as a c&4er-store for consumers ; one
of the first e7am2les of e-commerce acti%it& in 5ndia!
MISSION STATEMENT
LBe at GCMMF (3u'arat +o-o2erati%e milk Marketin, 8ederation) endea%or to
satisf& the taste and nutritional re<uirements of the customers of the world; throu,h
e7cellence in marketin, 4& our committed team!
.hrou,h co-o2erati%e networkin,; we are committed to offerin, <ualit& 2roducts that
2ro%ide 4est %alue for mone&!M
VALUES
AM$1 cherish followin, %alues?
+ustomer orientation
+ommitment to 2roducers
5nte,rit&
+o-o2eration
-7cellence
1eadershi2
Nualit&
5nno%ation
3rowth orientation
Belon,in,ness
(ride in the or,ani6ation
-m2lo&ee satisfaction
SALES TURNOVER
Gujarat Cooperative Milk Marketing Federation: An Overview
3u'arat +oo2erati%e Milk Marketin, 8ederation (3+MM8) is 5ndiaEs lar,est food
2roducts marketin, or,ani6ation! 5t is a state le%el a2e7 4od& of milk coo2erati%es in
3u'arat which aims to 2ro%ide remunerati%e returns to the farmers and also ser%e the
interest of consumers 4& 2ro%idin, <ualit& 2roducts which are ,ood %alue for mone&!
Members "2 district coo2erati%e milk 2roducersE
$nion
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
No. of Producer Members 2!D million
No. of Village Societies "";9I2
Total Milk handling capacity 9!9" million litres 2er da&
Milk collection (Total - 2007-08) 2!2# 4illion litres
Milk collection (Daily Average 2007-08) I!= million litres
Milk Drying Capacity D"" metric .ons 2er da&
Cattle feed manufacturing Capacity 2=C0 Mts 2er da&
.he annual sales turno%er of AM$1 in last 9 &ears is as follows; which itself is the
2roof of the hu,e turno%er and the success and 2rofita4ilit& of the com2an&!
Sales Turnover Rs (million) US $ (in million)
"99C-9D """C0 =DD
"99D-9I "=790 C00
"99I-97 "DDC0 CD0
"997-9# "##C0 CDD
"99#-99 22"92 C9=
"999-00 22"#D C9=
2000-0" 22D## D00
200"-02 2==ID D00
2002-0= 27CD7 D7D
200=-0C 2#9C" I"I
200C-0D 2922D I72
200D-0I =77=I #D0
200I-2007 C=2#0 97D
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD

PRODUCTION
DEPARTMENT
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
ABOUT PRODUCTS
AM$1 means O2ricelessO in Sanskrit! .he 4rand name OAmul;O from the
Sanskrit OAmool&a;O was su,,ested 4& a <ualit& control e72ert in Anand! )ariants; all
meanin, O2ricelessO; are found in se%eral 5ndian lan,ua,es! Amul 2roducts ha%e 4een
in use in millions of homes since "9CI! Amul Butter; Amul Milk (owder; Amul
3hee; Amuls2ra&; Amul +heese; Amul +hocolates; Amul Shrikhand; Amul 5ce
cream; utramul; Amul Milk and Amul&a ha%e made Amul a leadin, food 4rand in
5ndia! (.urno%er? Rs! =7!7C 4illion in 200D-0I)! .oda& Amul is a s&m4ol of man&
thin,s! 0f hi,h-<ualit& 2roducts sold at reasona4le 2rices! 0f the ,enesis of a %ast co-
o2erati%e network! 0f the trium2h of indi,enous technolo,&! 0f the marketin, sa%%&
of a farmersE or,anisation! And of a 2ro%en model for dair& de%elo2ment!
PRODUCTS
A. Bread Spred

AMUL BUTTER: $tterl& Butterl& Decision
AMUL LITE: 1ow fat; low +holesterol Bread S2read
Delicious Table Margine: .he Delicious wa& to eat health&

B. Powder Milk
Amul spray infant milk food: Still; mother milk is 4est for 4a4&!
Amul instant full cream milk powder: A dair& in &our home
Sagar skimmed milk powder: Bhich is es2eciall& useful for diet
2re2arations or for use 4& 2eo2le on low calorie and hi,h 2rotein diet!
Sagar tea coffee whitener
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
Amulya dairy whitener: .he Richest; (urest Dair& Bhitener
C. fresh milk
Amul fresh milk: .his is the most h&,ienic milk a%aila4le in the market!
(asteuri6ed in state-of-the-art 2rocessin, 2lants and 2ouch-2acked for con%enience
Amul Gold Milk:

Amul Tazza Double Milk:

Amul Lite slim and trim milk:
Amul fresh cream:
Amul cool chocolate milk
Amul cool flavoured botteled milk:
Amul cool flavoured Tetra pack:
Amul Shakti toned milk:
Amul masti spiced buttermilk: Amul introduces the Best .hirst Nuenchin,
Drink
D. Cheese
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
Amul pasteurized processed cheese: "00G )e,etarian +heese made from
micro4ial rennet
Amul cheese spreads: .ast& +heese S2reads in = ,reat fla%ours
Amul Emmental Cheese: .he 3reat Swiss +heese from Amul has a sweet-
dr& fla%our and ha6elnut aroma!
Amul Pizza Mozzarella Cheese: (i66a cheese!!!makes ,reat tastin, 2i66as
Guuda Cheese:
E. For cooking
Amul/Sagar Pure Ghee: Made from fresh cream! Aas t&2ical rich aroma and
,ranular te7ture! An ethnic 2roduct made 4& diaries with decades of e72erience!
Cooking Butter:
Amul Malai Paneer: Read& to cook 2aneer to make &our fa%ourite reci2es
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
Utterly Decisious Pizza:
Mithai Mate: Sweetened +ondensed Milk - 8ree flowin, and smooth te7ture!
Bhite to cream& color with a 2leasant taste!
Masti Dahi:
F. Desserts
Amul Ice Creams
(remium 5ce +ream made in %arious %arieties and fla%ours with dr& fruits and nuts!
Amul Shrikhand: A delicious treat; an&time
Amul Mithaee Gulab 1amuns: (ure *ho&a 3ula4 /amuns!!!4est ser%ed
2i2in, hot!
Gulab 1amuns Mix:
Amul Chocolates: .he 2erfect ,ift for someone &ou lo%e
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
Amul Lassee:
Amul Basundi:
G. Health Drink:
Nutramul: Malted Milk 8ood made from malt e7tract has the hi,hest 2rotein
content amon, all the 4rown 4e%era,e 2owders sold in 5ndia!
Amul Shakti Health Food Drink : A%aila4le in *esar-Almond and
+hocolate fla%ours!
RAW MATERIAL & PRODUCTION PROCESS
Introduction:
.his section recei%es milk from tankers onl& and is located in the new dair& 2remises!
Aere milk is tested and 2rocessed further automaticall& as 2er re<uirements of the
other de2artments! .he milk is also recei%ed from other states 4ut onl& in tankers!
Process flow chart:

Raw chilled milk rece2tion
Sam2le
3radin, and anal&sis ot 0!*!
0!*! Ai,h acid
+0B ne,ati%e
2"
GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
-m2t& tankers Raw milk released

+5( 4a& for cleanin, 0nline filter
+hiller
Raw milk 4uffer tank
Milk clarifier
Raw milk silo
Balance tank of the 2asteuri6er
"
st
re,eneration section of the 2asteuri6er
Se2arator Sur2lus cream
Skim milk Balance tank
0nline standardi6ation +ream 2asteuri6ation
(asteuri6e
(asteuri6ed standardi6ed
(asteuri6ed milk silo
a! 8-I0
4! .8D
c! AM$1 55
d! R0AD .A*-R
e! RA51 .A*-R
(acka,in, machine
(ouches
Manual 2lacin, in crates-each "0 lits
Stora,e in the cold store at
.em2erature less than D de,ress cent!
Dis2atch in the trucks!
Parts of this section ?
a! Rece2tion
4! Milk standardi6ation and 2rocessin,
c! +ream 2rocessin,
d! Dis2atch
22
GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
8or successful o2eration of these acti%ities; a control room has 4een 2ro%ided!
All the o2erations in the Dair& are (ro,ramma4le 1o,ic +ontroller controlled! A set
of lo,ical 2ro,rammes throu,h a 2ro,rammer is 2re2ared on the (+ and stored in the
memor& of the +($ of the (1+! .his is 2ossi4le due to the micro2rocessor
technolo,&! Bhene%er the o2erator 2erforms the o2eration these 2ro,rammes are
recalled and e7ecutes accordin,l& the commands and si,nals for acti%atin, or
deacti%atin, the solenoid %al%es and start and sto2 of the 2um2s are affected!
.here is one (1+ in the control room! All the 2arts of the (1+ are run on 2C
) D+ su22l& which is con%erted from 220 % A+ su22l& 4& the transformer in each
unit of (1+! 5ncase of 2ower 4reakdown the (1+ continues to ,et the 2ower su22l&
from the $(S s&stem!

.he control room has also information s&stem for u2dation of 2roduction data
of milk; cream; raw milk intake; centerwise milk rece2tion and dis2atch record;
in%entories; +5( 2ro,rammin, and its timin,; trend charts; consum2tion of steam;
electricit&; water and com2ressed air; etc!
Raw milk is recei%ed onl& in tankers at the = 4a&s of rece2tion dock of Amul-
= 2rocess section! -ach rece2tion line has?
"P +entrifu,al 2um2s of =0;000 1(A
2P Deaerator to remo%e air from the milk
=P Autosam2ler to take the uniform sam2le
CP (asilac +ontinous Mass Meter to measure the milk unloaded in

Kilograms. It has 5 modules such as
Q )orte7 ,enerator for uniform flow!
Q Densit& transmitter that has Americium (>-RA>S)!
Q 8low transmitter
Q on-return %al%e
Q Dis2la& unit
Q Du2le7 filters one for each line
Q (A- for each filter
Q Raw milk silos
All the incomin, milk is tested 4& the la4 in the control room for G fat; G snf;
G acidit& as lactic acid; tem2erature; MBR. and or,anole2tic e%aluation! 5f the
tem2erature of the milk is less than "0 de,! +enti! And its acidit& is less than 0!"=IG
1!A!; and the fat and S8 2ercent matches with the deli%er& challan sent 4& the center
then onl& the milk is unloaded!
Recentl&; Amul has 4een recei%in, milk from the outside states in order to
full& utili6e its ca2acit& of the 2owder 2lants! .he milk comes from Ra'asthan
($dai2ur; Bhilwada; Bhanswada; Raniwara) and Madh&a (radesh ($''ain)! Milk is
recei%ed from the followin, centres in tankers?- "P *hatra'
2P Balasinor
=P *ham4hat
CP *a2ad%an'
DP Anand
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
List of equipments :
Type

Make Capacity Description
"P Raw milk 4uffer
.ank
A18A
1A)A1
"D000 lit os!-2
2P +ream 4uffer
.ank
A18A
1A)A1
"D000 lit os!-2
=P Balance tank for
(asteuri6er
Al8A
1A)A1
=D0 lits os!-=
CP +ream 2asteuri6er
((A-)
A18A
1A)A1
"0000 lits o! 0f 2lates-222
os!-=
DP Milk (asteuri6er
((A-)
A18A
1A)A1
=0000 1(A o! 0f 2lates-C"2
os!-2
IP +ream se2arator
(Automatic self
Deslud,in,)
A18A
1A)A1
=00001(A o! 0f discs- 2ID
o!-2
7P Milk clarifier
(Automatic self
Deslud,in,)
A18A
1A)A1
=00001(A o! 0f discs-"DI
os!-=
#P Raw milk silos A18A
1A)A1
"!D 1A*A
15.S
os!-C
5nsulation2 cms thick
thermocol
9P (asteuri6ed milk
Silos
A18A
1A)A1
"!D 1A*A
15.S
os!-C
5nsulation is 2 cms thick
thermocol
"0P Silo A,itator -ach silo has 2 hori6ontal
inclined an,led aditators
""P Raw milk chiller A18A
1A)A1
=00001(A os!-=
"2P +5( tanks QBater tank-
#000 lits
QAcid tank-
"0000lits
Q1&e tank-
"0000lits
os! R -ach " tank and
their corres2ondin, 2um2s
"=P +5( tanks for .anker
cleanin,
S Bater
tank-#000
lits
l&e
#000 lits
os!- -ach " tank and
their corres2ondin, 2um2s
2C
GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
CHOCOLATE
.he 2lant is in%ol%ed in manufacturin, Milk +hocolate; 8ruit J nut; 8undoo;
Bindaa6; Almond Bar includin, (remium and +lassic +ookin, +hocolate of D00,
sla4s! +hocolate 2roduction is C!D M. 2er da&!
Procedure For Chocolate Manufacture:
Dr& cocoa 4eans dum2ed on Dum2in, Rack
Beans 2assed %ia a +leaner (Make? Swastik) for remo%al of dust and dirt
Beans 2assed throu,h Roaster at "I0T+ (Make? +arl J Montanari; 5tal&)
(ressure? D!" k, K cmU
Beans 2assed %ia Binnower; husks and ni4s ,et se2arated J ni4s ,rinded

+ocoa Mass Makin, Machine (Make? +arl J Montanari)
(ressure? 2D 4ars
+ocoa (ress
Make? +arl J Montanari; (ressure? 2C0 k, K cmU; total nos! 2
Min! 2ressure? I k, K cmU; (ressin,? 700 K "C00 r2m; tem2! 90T+

+ocoa cake 2re2ared and cocoa li<uor collected in a tank

+ocoa 4utter; cocoa li<uor; SM(; BM(; su,ar etc!

(assed %ia a Refiner
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
.here are = rollers %ia which well water circulated at =D - C0T+ J 2-= k, K cmU

+onche Machine (.otal = in no!)
Make? +arl J Montanari; tem2! IDT+; cocoa 4utter added at CDT+
+a2acit&? "
st
+onches "!D M.
2
nd
+onches? "!D M.
=
rd
+onches? =!0 M.

.ank (addition of fla%our)

.em2erin, Machine
.em2! C0-CDT+; coolin, to 2C-=0T+

(ower Mill (Make? +arl J Montanari)
Molten chocolate filled in Molds

)i4rator

+oolin, Bo7 (tem2! I-7T+)
+hocolate mold in%erted to remo%e chocolate on con%e&or

(ackin, Machine
VARIETIES OF AMUL CHOCOLATE
Almond4ar
Amul +hoco6oo Ae7a,on
Amul Milk +hocolate
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
Bindaa6 +hocolate
+hoco6oo Birthda&
+hocomini .u4
Amul Su,ar 8ree Mini
+hoco6oo Retu4
+hoco6oo +or2orate
+hoco6oo -le,ant 3ift
8undoo Milk
8undoo +hocolate
8ruit And ut
27
GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
2#
GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
MARKETING
STRATEGIES
DIVISION OF MARKETING DEPT
HEAD OFFICE

ZONAL OFFICE

DEPOT OFFICE

CARRYING & FORWARDING AGENTS (C & F)

WHOLESALE DEALERS

RETAILERS

CONSUMERS
29
GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
MAR*-. R-S-AR+A
Market research is a method of ,ettin, facts to 4e used 4& the e7ecuti%es in
formulatin, 2olicies and 2lans! 5t ena4les a manufacturer or 2roducer to know
what the customers want; at what time and what <uantit&! 5t is an or,ani6ed
attem2t to reduce market risk! Ae 2rinci2le task of marketin, research is to
widen the 4asis of facts u2on which 4usiness 2lans can 4e laid! Marketin,
research shows chan,es from time to time ; if an&!
AM$1 conducts 4asicall& two t&2es of market research! 0ne is for products and
another for the advertising conducted 4& the com2an&! .hese research results ser%e as
an in2ut in future decision makin,! .he com2an& 4asicall& collects feed4ack from the
customers; a4out the effecti%eness of its ad%ertisin, cam2ai,n and likin, of the
2roduct es2eciall& in case of new 2roducts launched! 5t tries to find out 4& conductin,
a sur%e& in a tar,et market whether or not the 2roduct is liked 4& the consumers and
ask for their su,,estions for im2ro%ement! Aowe%er AM$1 is not much into
conductin, research 4efore the launch of the 2roduct! Most of its research is done
onl& once when the 2roduct is alread& launched in the market! 5t doesn:t ha%e an&
se2arate de2artment for this 2ur2ose 4ut its sales a,ents themsel%es do the work of
research for the com2an&! >et the results are almost com2ara4le to those conducted
4& 2rofessionals!
NEW PRODUCT DEVELOPMENT

ew 2roduct de%elo2ment means de%elo2ment of ori,inal 2roduct or 2roduct
im2ro%ement or modification or new 4rands throu,h Research J De%elo2ment
efforts !ew 2roduct de%elo2ment has 4ecome more difficult with the 2assa,e
of time; due to shorta,e of new ideas; keen com2etition; ,o%ernment and
en%ironmental constraints !5t is an e72ensi%e affair which in%ol%es lot of crucial
decision makin,!
A num4er of decisions are taken 4& AM$1 with re,ards to launch 2lans and
strate,ies for the new 2roduct ; which are as under?
Decidin, the tar,et customers
Desi,nin, the 2romotional cam2ai,n
Decidin, the 2rice
Market anal&sis
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
Decidin, the sales force to 4e em2lo&ed
Decidin, the marketin, mi7
Decidin, whether to launch the 2roduct across the countr& or in the
selected area
A22ointin, distri4utors
+onductin, market research

PRODUCT LIFE CYCLE STAGES
A 2roduct 2asses throu,h distinct sta,es durin, its life in market; each 2osin,
different challen,es; o22ortunities and 2ro4lems !(rofits rise and fall at different
sta,es of the 2roduct life c&cle! .here are four different sta,es of 2roduct life c&cle;
namel&
"! 5.R0D$+.50 S.A3-
2! 3R0B.A S.A3-
=! MA.$R5.> S.A3-
C! D-+15- S.A3-
Different 2roducts of AM$1 are in different sta,es in the 2roduct life c&cle!
(roducts like milk; 4utter; chocolate and cheese are in the maturit& sta,e; while
ice-creams ; chocolates and shrikhand are still in the ,rowth sta,e! 0n the other
hand; 2roducts like milk 2owders; infant food; fro6en food items and mi7 are in
introduction sta,e!
.he com2an& ado2ts a,,ressi%e sellin, techni<ues for those 2roducts which
are in the introductor& sta,e; while %er& less 2romotional 2ro,rammes are carried
out for those 2roducts which are in the ,rowth or maturit& sta,e!

PRODUCT RANGE
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
A %ast %arieties of 2roducts are offered 4& AM$1 which are as follows?
BREADSPREADS
Amul Butter
Amul 1ite 1ow 8at Breads2read
Amul +ookin, Butter
CHEESE RANGE
Amul (asteuri6ed (rocessed +heddar +heese
Amul (rocessed +heese S2read
Amul (i66a (Mo6arella) +heese
Amul Shredded (i66a +heese
Amul -mmental +heese
Amul 3ouda +heese
Amul Malai (aneer (cotta,e cheese) 8ro6en and .inned
$tterl& Delicious (i66a
MITHAEE RANGE (ETHNIC SWEETS)
Amul Shrikhand (Man,o; Saffron; Almond (istachio; +ardamom)
Amul Amrakhand
Amul Mithaee 3ula4'amuns
Amul Mithaee 3ula4'amun Mi7
Amul Mithaee *ulfi Mi7
UHT MILK RANGE
Amul .aa6a =G fat Milk
Amul 3old C!DG fat Milk
Amul Slim-n-.rim 0G fat milk
Amul +hocolate Milk
Amul 8resh +ream
Amul Snowca2 Soft& Mi7
Amul .aa6a Dou4le .oned Milk
PURE GHEE
Amul (ure 3hee
Sa,ar (ure 3hee
Amul +ow 3hee
INFANT MILK RANGE
Amul 5nfant Milk 8ormula " (0-I months)
Amul 5nfant Milk 8ormula 2 ( I months a4o%e)
Amuls2ra& 5nfant Milk 8ood

MILK POWDERS
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
Amul 8ull +ream Milk (owder
Amul&a Dair& Bhitener
Sa,ar Skimmed Milk (owder
Sa,ar .ea and +offee Bhitener
SWEETENED CONDENSED MILK
Amul Mithaimate Sweetened +ondensed Milk
FRESH MILK
Amul .aa6a .oned Milk =G fat
Amul 3old 8ull +ream Milk IG fat
Amul Shakti Standardised Milk =G fat
Amul Smart Dou4le .oned Milk "!DG fat
CURD PRODUCTS
Amul Masti Dahi (fresh curd)
Amul Butter Milk
Amul 1assi
AMUL ICECREAMS
Royal Treat Range (Ra'4ho,; +a22uchino; +hocochi2s; Butterscotch; .utti
8rutti)
Nut-o-Mania Range (*a'u Drakshi; *esar (ista; Roasted Almond; *esar
+arni%al; Badshahi Badam *ulfi; Shista (ista *ulfi)
Utsav Range (An'ir; Roasted Almond)
Simply Delicious Range ()anilla; Straw4err&; (inea22le; Rose; +hocolate)
Nature's Treat (Al2hanso Man,o; 8resh 1itchi; An'ir; 8resh Straw4err&;
Black +urrant)
Sundae Range (Man,o; Black +urrant; +hocolate; Straw4err&)
Millennium Icecream (+heese with Almonds; Dates with Aone&)
Milk Bars (+hoco4ar; Man,o Doll&; Ras24err& Doll&; Shahi Badam *ulfi;
Shahi (ista *ulfi; Mawa Malai *ulfi; 3reen (ista *ulfi)
Cool Candies (0ran,e; Man,o)
Cassatta
Tricone Cones (Butterscotch; +hocolate)
Megabite Almond Cone
Frostik - = la&er chocolate Bar
Fundoo Range - e7clusi%el& for kids
SlimScoop Fat Free Frozen Dessert ()anilla; Banana; Man,o; (inea22le)
CHOCOLATE & CONFECTIONERY
Amul Milk +hocolate
Amul 8ruit J ut +hocolate
Amul -clairs
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
BROWN BEVERAGE
utramul Malted Milk 8ood
MILK DRINK
Amul Shakti 8la%oured Milk
PRODUCT LINE
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
AM$1 has 4asicall& C 2roduct lines which are milk and milk 2roducts; ice-cream;
chocolate; wet 2roduct line and dr& 2roduct line! .he com2an& is increasin, the
len,th of its 2roduct line 4& filling its line i!e! 4& addin, more 2roducts within the
e7istin, lines!
MILK ICE CREAM &
CHOCOLATE
WET PRODUCTS DRY PRODUCTS
AM$1 .AAHA AM$1 M51*
+A0+01A.-
AM$1 B$..-R AM$1 8$11 +R-AM
M51* (0BD-R
AM$1 301D AM$1 8R$5. AD
$. +A0+01A.-
AM$1 15.- 10B
8A. BR-AD S(R-AD
AM$1>A DA5R>
BA5.--R
AM$1 S15M AD
.R5M M51*
AM$1 -+1A5RS AM$1 +00*53
B$..-R
SA3AR S*5MM-D
M51* (0BD-R
AM$1 +A0+01A.-
M51*
AM$1 8$D00
+A0+01A.-
AM$1 (R0+-SS-D
+A--S- S(R-AD
SA3AR .-A J
+088-- BA5.--R
AM$1 8R-SA
+R-AM
AM$1 B5DAS
+A0+01A.-
AM$1 (5HHA
+A--S-
AM$1 M5.AA--
3$1AB/AM$ M5@
AM$1 S0B+A(
S08.> M5@
A1M0D BAR AM$1 SAR-D-D
(5HHA +A--S-
AM$1 M5.AA--
*$185 M5@
AM$1 .AAHA
D0$B1- .0-D
M51*
AM$1 +00*53
+A0+01A.-
AM$1 -MM-.A1
+A--S-
AM$1 58A. M51*
80RM$1A-5
AM$1 M5.AA5MA.-
SB--.--D
+0D-S-D M51*
R0>A1 .R-A.
RA3-
AM$1 3A$DA
+A--S-
AM$1 58A. M51*
80RM$1A-55
AM$1 .AAHA
.0-D M51*
$.-0-MA5A
RA3-
AM$1 MA1A5
(A--R
AM$1S(RA> 58A.
M51* 800D
AM$1 301D 8$11
+R-AM M51*
$.SA) RA3- $..-R1>
D-15+50$S (5HHA
$.RAM$1-MA1.-D
M51* 800D
AM$1 SAA*.5
S.ADARD5S-D
M51*
S5M(1> D-15+50$S
RA3-
AM$1 SAR5*AAD
AM$1 SMAR.
D0$B1- .0-D
M51*
A.$R-:S .R-A. AM$1 M5.AA--
3$1AB/AM$S
AM$1 +001 M51* S$DA- RA3- AM$1 ($R- 3A--
AM$1 SAA*.5
81A)0$R-D M51*
M511-5$M
5+-+R-AM
SA3AR ($R- 3A--
M51*BARS AM$1 +0B 3A--
+001 +AD5-S AM$1 MAS.5 DAA5
.R5+0- +0-S AM$1 B$..-RM51*
8$D00 RA3- AM$1 1ASS--
S15MS+00( 8A.
8R-- 8R0H-
D-S-R.
MAS.5 .0MA.0
S0$(
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
PRODUCT MIX
A 2roduct mi7 consists of all the 2roduct lines and items that a 2articular seller
offers for sale! A com2an&:s 2roduct mi7 has four im2ortant dimensions ? width;
len,th ;de2th and consistenc&!
(roduct mi7 width refers to how man& different 2roduct lines the com2an& carries!
AM$1 has C different 2roduct lines namel& milk and milk 2roducts; chocolate and
ice-cream; wet 2roducts and dr& 2roducts!
(roduct mi7 length refers to the total num4er of items in the mi7 ! 5n the milk
and milk 2roducts line there are "C different 2roducts; while in ice-cream and
chocolate ran,e there are 2" 2roducts and in wet and dr& 2roducts line there are 20
and "0 different 2roducts res2ecti%el&!
(roduct line depth refers to how man& %ariants are offered of each 2roduct in
the line !
(roduct line consistency refers to how closel& related the %arious 2roduct lines
are in the end use; 2roduction re<uirements; distri4ution channels or some other
wa&s ! Althou,h the 2roducts %ar& in man& wa&s there is still 2roduct line
consistenc& in AM$1! All the 2roducts of AM$1 are marketed throu,h same
channels of distri4ution!
MARKET SEGMENTATION
Market Se,mentation is the act of su4 di%idin, a market into distinct sets of customers
who merit attention! .ar,etin, these customers for marketin, 4& e%aluatin,; selectin,;
and concentratin, 4ecomes a corollar& to se,mentation! Market se,mentation assumes
im2ortance in the conte7t of intense com2etition market is 4om4arded with! A market
consists of 4u&ers; and 4u&ers differ in one or more wa&s! .he& ma& differ in their
wants; resources; locations; 2roducts re<uirements! .hese %aria4les ha%e to 4e
considered in the 2rocess of se,mentation!
.here are different le%els of market se,mentation! .he& are mass marketin,; se,ment
marketin,; niche marketin, and micro marketin,! Markets can 4e se,mented on the
,eo,ra2hical 4asis; demo,ra2hical 4asis; 2s&cholo,ical 4asis; 4eha%ioral 4asis and
lo&alt& status!
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD

AM$1 se,ments its market on the followin, 4asis?
1. GEOGRAPHICAL BASIS:
.his se,mentation is done on the 4asis of the lifest&le of 2eo2le in different re,ions
and their tastes and consum2tion 2atterns which are distinct accordin, to their
,eo,ra2hical situation! AM$1 has se,mented 5ndia ,eo,ra2hicall& into D 6ones!
2. DEMOGRAPHICAL BASIS:
.he& ha%e se,mented its market on the 4asis of the socio-economic status of the
customers! i!e! on the 4asis of their 2urchasin, 2ower and income le%el as follows?
GROUPA:
+onsumers fallin, in this ,rou2 are from hi,her social and economic class!
GROUPB:
+onsumers fallin, in this ,rou2 are from middle socio-economic class!
GROUPC:
+onsumers fallin, in this ,rou2 are from the lower middle class!
MARKET TARGETING
After se,mentin, the market; com2an& e%aluate the %arious se,ments and decides
how man& and which ones to tar,et!
3enerall& the market is tar,eted in three wa&s?-
UNDIFFERENTITED MR!ETING
DIFFERENTITED MR!ETING
C"NCENTRTED MR!ETING
AM$1 uses undifferentiated marketin, strate,& for tar,etin, its customers as far as
its milk and milk 2roduct line is concerned! Bhile the com2an& im2lements
differentiated marketin, strate,& for tar,etin, its customers for the other 2roduct lines
that are ice creams and chocolates; wet 2roducts and dr& 2roducts! Differentiated
marketin, means market co%era,e strate,& in which a firm decides to tar,et se%eral
market se,ments and desi,ns se2arate offers for each! AM$1 tar,ets its customers
accordin, to the se,ments like ,eo,ra2hic and demo,ra2hic!
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
PACKAGING
(ackin, includes the acti%ities of desi,nin, and 2roducin, the container for the
2roduct! (acka,in, has 4ecome the 2otent marketin, tool! Bell desi,ned 2acka,es
can create con%enience and 2romotional %alue! )arious factors contri4ute to
2acka,in, ,rowin, use as a marketin, tool?
S-18 S-R)5+-
+0S$M-R A881$-+-
+0M(A> AD BRAD 5MA3-
50)A.50 0((0R.$5.>
(acka,in, of the 2roducts of AM$1 %aries accordin, to the nature of the
2roduct! As most of the 2roducts are 2erisha4le in nature s2ecial care is taken
in 2ackin, them! MI#! ND MI#! $R"DUCT% are 2acked in 2lastic 4a,s or
containers; while ICE&CREM% ND C'"C#TE% are 2acked in card4oard
2ackin,! .he com2an& maintains the standards 2rescri4ed 4& B5S; with re,ards
to 2ackin,! .hese 2roducts are then 2acked in cartoons; for ,reater safet&
measures and for trans2ortin, them to the market!
LABELING
1a4elin, 2rinted information that a22ears on or with the 2acka,e; is also a 2art of
2acka,in,! 1a4els ma& ran,e from sim2les ta,s attached to 2roducts to com2le7
,ra2hics that are 2art of the 2acka,e! 1a4el identifies descri4es and 2romotes the
2roduct throu,h attracti%e ,ra2hics! .he la4el mi,ht carr& onl& the 4rand name or
,reat deal of information or 2ictures! -%en if the seller 2refers a sim2le la4el the law
ma& re<uire additional information!
.he la4els of the 2roducts of AM$1 are attracti%el& desi,ned! 5t contains all the
information as 2er statutor& re<uirements! 5nformation like name of 2roduct; 4rand
name; lo,o; date of 2ackin, J manufacturin,; e72ir& date; 2rice; code num4er;
in,redients; stora,e and usa,e instructions; wei,ht; manufacturer:s and marketer:s
name; lo,o showin, L ($R- )-3 M etc a22ears on the la4el of the 2roducts!
BRANDING
A 4rand is a name; term; si,n; s&m4ol or desi,n or a com4ination of these
used to identif& a 2roduct or com2an&! A trademark is a le,all& reco,ni6ed 4rand!
Brandin, has 4ecome so stron, that toda& hardl& an&thin, ,oes un4randed! .oda&
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
customers %iew a 4rand as an im2ortant 2art of the 2roduct and 4randin, adds value to
a 2roduct!
Brand names hel2 customers identif& 2roducts that mi,ht 4enefit them and also tells
the 4u&er somethin, a4out the 2roduct <ualit&! .o the sellers 4rand name and
trademark 2ro%ides le,al 2rotection for uni<ue 2roduct features that otherwise mi,ht
4e co2ied 4& the com2etitors and it also hel2s them to se,ment markets! A 4rand
name is selected kee2in, in %iew the 2roduct and its 4enefits; the tar,et market and
2ro2osed marketin, strate,ies!
Decisions a4out 4randin, are taken at the Aead 0ffice at Anand! AM$1 means
(priceless) in Sanskrit! .he 4rand name (MU#) from the Sanskrit (*oolya) was
su,,ested 4& a <ualit& control e72ert in Anand! )ariants; all meanin, (priceless)+ are
found in se%eral lan,ua,es of 5ndia! AM$1 manufactures and markets its 2roducts
under two 4rand names MU# and %GR Infor*ation .echnolo,& (5.) has
2la&ed a si,nificant role in de%elo2in, the Amul 4rand! .he installation of =000
Automatic Milk +ollection S&stem $nits (AM+$S) at )illa,e Societies to ca2ture
mem4er information; milk fat content; the %olume collected and amount 2a&a4le to
each mem4er has 2ro%ed in%alua4le in ensurin, fairness and trans2arenc& throu,hout
the whole Amul or,ani6ation!
UMBRELLA BRAND
.he network follows an um4rella 4randin, strate,&! Amul is the common 4rand for
most 2roduct cate,ories 2roduced 4& %arious unions? li<uid milk; milk 2owders;
4utter; ,hee; cheese; cocoa 2roducts; sweets; ice-cream and condensed milk!
AmulEs su4-4rands include %ariants such as Amuls2ra&; Amuls2ree; Amul&a and
utramul! .he edi4le oil 2roducts are ,rou2ed around Dhara and 1okdhara; mineral
water is sold under the /al Dhara 4rand while fruit drinks 4ear the Safal name!
B& insistin, on an um4rella 4rand; 3+MM8 not onl& skillfull& a%oided inter-union
conflicts 4ut also created an o22ortunit& for the union mem4ers to coo2erate in
de%elo2in, 2roducts!
BRAND EQUITY
Brand e<uit& refers to the %alue of a 4rand; 4ased on the e7tent to which it has 4rand
lo&alt&; 4rand name awareness; 2ercei%ed <ualit&; stron, 4rand associations; and the
other assets such as 2atents; trademarks and channel relationshi2!
5t is e%aluated on the 4asis of 4rand assets which are?
1. BRAND AWARENESS: Awareness ultimatel& enhances 4rand e<uit&!
AM$1 en'o&s %er& hi,h 4rand awareness amon, its customers! Accordin, to the
sur%e& done 4& the com2an&; 4rand awareness is as hi,h as almost 90G!
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
2. BRAND LOYALTY? Brand lo&alt& means the a4ilit& to retain the e7istin,
customers! AM$1 is 4lessed with hi,h 4rand lo&alt& amon, its customers! As it is
one of the 4i,,est market 2la&ers it has 2ro2ortionatel& lar,er ,rou2 of lo&al
customer; who are in turn a medium of marketin,K ad%ertisin,!
3. BRAND ASSOCIATIONS: +onsumers associate the 4rand with certain
tan,i4le and intan,i4le attri4utes! Most of these associations are deri%ed from 4rand
identit& and 4rand ima,e! +ustomers associate AM$1:s 4rand with hi,h <ualit&
standards and reasona4le 2rice!
4. BRAND IMAGE: Brand ima,e is the meanin, consumers ,i%e to a 2roduct
4ased on the 2ercei%ed %alues it deli%ers! AM$1 has created 4rand ima,e 4& offerin,
e7cellent <ualit& 2roducts at reasona4le 2rice! (erfect distri4ution channelF continuous
J effecti%e ad%ertisin,F use of different 2romotional toolsF wide lo&al market share;
has contri4uted to create an e7cellent ima,e in its trade o2erations!
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
INFORMATION
TECHNOLOGY
INTEGRATION
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
Amul is 4olsterin, its 4rand identit& as a farmersE co-o2erati%e throu,h the 5nternet
4ased Oamul!coo2O $R1 and e-mail addresses! .his will continuall& remind the
worldEs consumers that the& are a coo2erati%e; and 2roud of it! .his identit& ,i%es
Amul a %ital 4usiness ad%anta,e and facilitates Amul 4rand 2enetration across the
world! 5t also stren,thens their co-o2erati%es 4& 4rin,in, their mem4ers to,ether and
closer to consumers!
Technology and e-initiatives
3+MM8Es technolo,& strate,& is characteri6ed 4& four distinct com2onents? new
2roducts; 2rocess technolo,&; and com2lementar& assets to enhance milk 2roduction
and e-commerce!
8ew dairies of the world ha%e the wide %ariet& of 2roducts 2roduced 4& the 3+MM8
network! )illa,e societies are encoura,ed throu,h su4sidies to install chillin, units!
Automation in 2rocessin, and 2acka,in, areas is common; as is AA++( certification!
Amul acti%el& 2ursues de%elo2ments in em4r&o transfer and cattle 4reedin, in order
to im2ro%e cattle <ualit& and increases in milk &ields!
3+MM8 was one of the first 8M+3 (fast-mo%in, consumer ,oods) firms in 5ndia to
em2lo& 5nternet technolo,ies to im2lement B2+ commerce!
.oda& customers can order a %ariet& of 2roducts throu,h the 5nternet and 4e assured
of timel& deli%er& with cash 2a&ment u2on recei2t!
Another e-initiati%e underwa& is to 2ro%ide farmers access to information relatin, to
markets; technolo,& and 4est 2ractices in the dair& industr& throu,h net ena4led
kiosks in the %illa,es!
3+MM8 has also im2lemented a 3eo,ra2hical 5nformation S&stem (35S) at 4oth
ends of the su22l& chain; i!e! milk collection as well as the marketin, 2rocess!
8armers now ha%e 4etter access to information on the out2ut as well as su22ort
ser%ices while 2ro%idin, a 4etter 2lannin, tool to marketin, 2ersonnel!
MANAGING THE SUPPLY CHAIN
-%en thou,h the coo2erati%e was formed to 4rin, to,ether farmers; it was reco,ni6ed
that 2rofessional mana,ers and technocrats would 4e re<uired to mana,e the network
effecti%el& and make it commerciall& %ia4le!
Coordination
3i%en the lar,e num4er of or,ani6ations and entities in the su22l& chain and
decentrali6ed res2onsi4ilit& for %arious acti%ities; effecti%e coordination is critical for
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
efficienc& and cost control! 3+MM8 and the unions 2la& a ma'or role in this 2rocess
and 'ointl& achie%e the desired de,ree of control!
Bu&-in from the unions is assured as the 2lans are a22ro%ed 4& 3+MM8Es 4oard! .he
4oard is drawn from the heads of all the unions; and the 4oards of the unions com2rise
of farmers elected throu,h %illa,e societies; there4& creatin, a situation of
interlockin, control!
.he federation handles the distri4ution of end 2roducts and coordination with retailers
and the dealers! .he unions coordinate the su22l& side acti%ities!
.hese include monitorin, milk collection contractors; the su22l& of animal feed and
other su22lies; 2ro%ision of %eterinar& ser%ices; and educational acti%ities!
Managing third party service providers
8rom the 4e,innin,; it was reco,ni6ed that the unionsE core acti%it& la& in milk
2rocessin, and the 2roduction of dair& 2roducts! Accordin,l&; marketin, efforts
(includin, 4rand de%elo2ment) were assumed 4& 3+MM8! All other acti%ities were
entrusted to third 2arties! .hese include lo,istics of milk collection; distri4ution of
dair& 2roducts; sale of 2roducts throu,h dealers and retail stores; 2ro%ision of animal
feed; and %eterinar& ser%ices!
5t is worth notin, that a num4er of these third 2arties are not in the or,ani6ed sector;
and man& are not 2rofessionall& mana,ed with little re,ard for <ualit& and ser%ice!
.his is a 2articularl& critical issue in the lo,istics and trans2ort of a 2erisha4le
commodit& where there are alread& weaknesses in the 4asic infrastructure!
Establishing best practices
A ke& source of com2etiti%e ad%anta,e has 4een the enter2riseEs a4ilit& to
continuousl& im2lement 4est 2ractices across all elements of the network? the
federation; the unions; the %illa,e societies and the distri4ution channel!
5n de%elo2in, these 2ractices; the federation and the unions ha%e ada2ted successful
models from around the world! 5t could 4e the im2lementation of small ,rou2
acti%ities or <ualit& circles at the federation! 0r a .NM 2ro,ram at the unions! 0r
housekee2in, and ,ood accountin, 2ractices at the %illa,e societ& le%el!
More im2ortant; the network has 4een a4le to re,ularl& roll out im2ro%ement
2ro,rams across to a lar,e num4er of mem4ers and the im2lementation rate is
consistentl& hi,h!
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
8or e7am2le; e%er& 8rida&; without fail; 4etween "0!00 a!m! and ""!00 a!m!; all
em2lo&ees of 3+MM8 meet at the closest office; 4e it a de2artment or a 4ranch or a
de2ot to discuss their %arious <ualit& concerns!
-ach meetin, has its 2re-set format in terms of (ur2ose; A,enda and 1imit ((A1)
with a 2rocess check at the end to record how the meetin, was conducted! Similar
2rocesses are in 2lace at the %illa,e societies; the unions and e%en at the wholesaler
and +J8 a,ent le%els as well!
-7am2les of 4enefits from recent initiati%es include reduction in trans2ortation time
from the de2ots to the wholesale dealers; im2ro%ement in R05 of wholesale dealers;
im2lementation of Hero Stock 0ut throu,h im2ro%ed a%aila4ilit& of 2roducts at de2ots
and also the im2lementation of /ust-in-.ime in finance to reduce the float!
*ai6ens at the unions ha%e hel2ed im2ro%e the <ualit& of milk in terms of acidit& and
sour milk! ,Underta-en .y *ulti&disciplined tea*s+ !ai/ens are highly focused
pro0ects+ reliant on a structured approach .ased on data gathering and analysis12 8or
e7am2le; Sa4ar $nionEs records show a reduction from 2!0G to 0!DG in the amount of
sour milkKcurd recei%ed at the union!
.he most im2ressi%e as2ect of this lar,e-scale roll out is that im2ro%ement 2rocesses
are turnin, the %illa,e societies into indi%idual im2ro%ement centers!
PRICING
.he amount of mone& char,ed for a 2roduct or ser%ice or the sum of the %alues that
consumers e7chan,e for the 4enefit of ha%in, or usin, the 2roduct or ser%ice is called
its 2rice! A com2an&:s 2ricin, decisions are affected 4& 4oth internal factors like
com2an&:s o4'ecti%es; marketin, mi7 strate,&; cost and or,ani6ational considerations
and e7ternal factors like nature of the market and demand; com2etition and other
en%ironmental elements!
Bhile decidin, the 2rice of its 2roducts AM$1 takes into consideration all the 4elow
mentioned factors; this is true for all the 2roducts!
+ost of raw materials
+ost of la4our
(rofit mar,in of distri4utors
)arious administrati%e and manufacturin, o%erheads
(rices of the com2etitors
Demand and su22l& 2osition in market
8air return to the farmers
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
AM$1 4elie%es that the com2an& with lar,est market share will en'o& lowest cost
and hi,hest lon, run 2rofit to 4ecome the market leader! .he& set 2rices as low as
2ossi4le!
PRICING APPROACH
AM$1 em2lo&s different 2ricin, 2olicies for different 2roducts de2endin, u2on the
life c&cle sta,e of the 2roduct; market condition and the nature of 2roduct!
5n case if the 2roduct is newl& launched in the market the com2an& doesn:t em2hasi6e
on the 2rofit mar,in and kee2s its 2rices as low as 2ossi4le so as to 2enetrate in the
new market!
Aowe%er in case of the alread& esta4lished 2roducts the com2an& uses a mi7 of !ost
p"us p#i!in$ %pp#o%!& and !ompetito# '%se( p#i!in$ %pp#o%!& i!e! it sets its 2rices
kee2in, in %iew the cost of 2roduction; desired 2rofit mar,in and 2rices of
com2etitor:s 2roducts
DISTRIBUTION CHANNEL
A distri4ution channel is a set of interde2endent or,ani6ations in%ol%ed in the 2rocess
of makin, a 2roduct or ser%ice a%aila4le for the use of consum2tion 4& the consumer
or 4usiness user! 5n other words; the channel decision is one which takes the 2roduct
to the customer! .he channel selected affects e%er& other marketin, decision and has a
4earin, on the future! Marketin, channel decision is amon, the most decision that
mana,ement faces!
Before selectin, a 2articular channel; e%er& firm takes some factors into consideration
and then onl& decides a 2articular channel! Decisions taken 4& AM$1 are as under?
"! AA1>S53 +0S$M-R:S --DS
2! S-1-+.53 +AA-1 0B/-+.5)-S
=! .>(-S 08 5.-RM-D5AR5-S
C! $MB-R 08 5.-RM-D5AR5-S
D! -)A1$A.53 A1.-RA.5)-S
Distri4ution channel can 4e descri4ed 4& the num4er of channels le%els in%ol%ed!
+hannel le%el is the le%el of intermediaries that 2erforms some work in 4rin,in, the
2roduct and its ownershi2 closer to the final 4u&er! .he followin, are the different
t&2es of distri4ution channel that a firm ma& use?
(i) H-R0-1-)-1 +AA-1?
Manufacturer---------------+onsumer
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
(ii) 0--1-)-1 +AA-1?
Manufacturer---Retailer---+onsumer
(iii) .B0-1-)-1 +AA-1?
Manufacturer--Bholesaler--Retailer--+onsumer
(i%) .AR---1-)-1 +AA-1?
Manufacturer-Bholesaler-A,ents-Retailer-+onsumer
AM$1 has three-le%el distri4ution channel; i!e! it em2lo&s carr& forward a,ents;
wholesaler and retailers to carr& its 2roducts to the final consumers!
.ill toda&; the ma'or de%elo2ment on the distri4ution front is the de%elo2ment and
ali,nment of four distri4ution hi,hwa&s - those of 8resh (roducts; +hilled (roducts;
8ro6en (roducts and Am4ient (roducts! .his is a si,nificant achie%ement 4ecause it
allows AM$1 to de%elo2 s&ner,ies amon, all their 2roduct lines and to le%era,e
these hi,hwa&s to introduce and distri4ute new 2roducts as 2er market demand! o
other or,ani6ation in 5ndia has 4een a4le to de%elo2 this kind of channel s&ner,& so
far!
Another ma'or initiati%e undertaken is the Ti*e&.ased Military Techni3ue (.M.) of
distri4ution! .his has 4een de2lo&ed to effect a nationall& s&nchroni6ed mass
distri4ution of their 2roducts with the o4'ecti%e of achie%in, total channel 2enetration
on a sin,le da&!
After Distri4utor Salesmen in the 2re%ious &ear and Distri4utors in the &ear 4efore
last; it was the turn of the to2 Retailers across the countr& to 2artici2ate in the *ul
4atra $rogra**e which is a uni<ue e72eriment conducted 4& Amul to 4rin, their
channel 2artners face to face with their coo2erati%e institutions; acti%ities; culture and
achie%ements throu,h a ,uided tour in and around Anand! A total of ""C Distri4utor
Salesmen and C#2 to2 retailers from across the countr& 2artici2ated in the Amul >atra
this &ear! Bith the o2enin, of se%eral new milk markets and = se2arate Milk Sales
0ffices at Mum4ai; ew Delhi and Boisar; the num4er of Milk Area Deli%er& A,ents
has increased!
DECISION ABOUT THE CHANNEL
MEMBER
Decisions a4out selectin, a channel mem4er is taken 4& the head office!
Bholesalers are a22ointed 4& conductin, the market sur%e& ; findin, out the
num4er of distri4utors a%aila4le ;man2ower and financial ca2a4ilities of each of
them; market likelihood; infrastructural facilities etc! all this information is filled
in a form which is sent to the head office where it mo%es from Marketin,
Mana,er to the 3eneral Mana,er who finall& selects the one that suits the 4est
to the com2an&!
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
Distri4utors ha%e to ,i%e a 4ank ,uarantee or demand draft in a,ainst of the
%alue of ,oods the& want to 2urchase and ha%e to make a 2a&ment for the
same within four da&s of the dis2atch of the order! .he seller then forwards
the ,oods to the retailers for which 2rices and norms of deli%er& are fi7ed 4&
the head office! Both the retailers and wholesalers are re<uired to maintain
certain 4asic infrastructural facilities!
.he head office and all the de2ot offices ha%e their own authori6ed trans2orters
who carr& the order from the 2roduction 2lace to 2lace of order!
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
SALES FORCE MANAGEMENT
.he or,ani6ation of sales de2artment is as under?
H0A1 5+AAR3-

D-(0. 5+AAR3-

-@-+$.5)-S

8!S!R! (8ield Sales Re2resentati%e)

(SM ((ilot Sales man)


.he total staff at AM$1 is of nearl& 7D0 2eo2le! .he com2an& conducts intensi%e
trainin, 2ro,ramme for its em2lo&ees! .he com2an& sends an& of its em2lo&ees for
trainin, who will later train the other em2lo&ees! 5t:s not necessar& that the 2erson
sent for trainin, must 4e someone from the to2 or middle mana,ement; he can 4e an&
em2lo&ee! .he com2an& treats all its em2lo&ees e<uall&! )arious trainin,
2ro,rammes like .NM; Self mana,ement (ro,rammes; etc conducted so far! .he
turno%er and a4senteeism ratio is almost ne,li,i4le at AM$1 which is the 2roof of the
well functionin, of the Auman Resource Mana,ement! All the a,ents and sales force
is ,i%in, a 2ercenta,e of sales as commission!
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
INTEGRATED MARKETING
COMMUNICATIONS
ADVERTISING
Amul has had one of the most successful Ad cam2ai,ns in the countr&! 5nno%ati%e
and refreshin,; Maul:s Ads ha%e; throu,h the &ears; ca2tured the ima,ination of the
whole nation! +reated in "9II the to2ical; news-e%ent-oriented ads are re2ortedl&
read& to enter the 3uinness Book of Borld Records as the lon,est runnin, ad%ertisin,
cam2ai,n e%er!
.he reason for the un2recedented success of the Amul ads is 4ecause of their
sim2licit&! .hese Ads do not in%ol%e an& hi,h fl&in, or hi-tech s2ecial effects! .he&
are %er& sim2le and 4ank solel& on clean humor for their success! .he team; which
desi,ns all the Ad cam2ai,ns for Amul; has 4een %er& focused on this 2oint! As a
result &ou don:t see an& radical de%iations in their Ad cam2ai,ns and all the Ads are
4uilt alon, the same lines! And this too while maintainin, the freshness that was
2resent in the %er& first Ad D decades 4ack! Another main reason for their success is
the ran,e of to2ics the& co%er in their Ads! .he Ads alwa&s take a shot at the current
hot to2ics in the news! Such has 4een the 2o2ularit& of these cam2ai,ns that 2eo2le ,o
down to the nearest Amul hoardin, 'ust to see the latest Ad! (eo2le talk a4out it o%er
lunch; in 2arties! 5t is hard to ima,ine the amount of 4rand e<uit& the thum4 si6ed ,irl
2olka dotted dress has achie%ed e%er since she went u2 the Amul hoardin,!
All the ad cam2ai,ns of AM$1 are carried out 4& the two Bom4a& 4ased ad a,encies
namel& D CUN% and #U!+ which takes care of all its 2romotional cam2ai,ns!
.he com2an& 'ust 4riefs these a,encies a4out the 2roduct and the rest is done 4& them
i!e! creatin, messa,e; decidin, the media %ehicle and timin,; e7ecution; etc!
PUBLIC RELATION TOOLS AND
PROGRAMME
(u4lic relation is another ma'or mass 2romotion tool! 5t means 4uildin, ,ood relations
with the com2an&:s concern 2arties 4& o4tainin, fa%ora4le 2u4licit&; 4uildin, u2 a
,ood cor2orate ima,e and handlin, of unfa%ora4le rumors; stories and e%ents!
Amul maintains health& 2u4lic relations with all concern 2arties! 5t does not ha%e an&
de2artment for this 2ur2ose 4ut is carried out 4& cor2orate communication! 5t has also
a22ointed 8!S!R!s (8ield Sales Re2resentati%es) for this 2ur2ose who looks after the
com2laints of the wholesalers and the retailers; the& also contact the customers and tr&
to find out if the& ha%e an& com2laint re,ardin, the 2roduct and 2resents it
4efore the a22ro2riate authorit&! Aowe%er there is no formal 2rocedure to
contact the authorities and an& 2erson wantin, to communicate can directl&
a22roach the concerned 2erson! .he 2lant and the administrati%e office is ke2t
o2en for 2u4lic %isits for two hours e%er&da& !
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
SALES PROMOTION TOOLS AND
PROGRAMMES
Sales 2romotion consists of short term incenti%es to encoura,e the 2urchase or sale of
the 2roduct or ser%ice! 5t com2rises of a %ariet& of 2romotional tools as short term
incenti%es! .he 2ur2ose of sales 2romotion is to communicate a4out the 2roduct to the
customer to ena4le the 4u&in, decision! 5t is felt that sales 2romotion hel2s 4reak
4rand lo&alt& of consumers! (romotion with the hel2 of 2rice concessions is of short
duration to make them effecti%e!
AM$1 im2lements %arious sales 2romotion tools for wholesalers; retailers; sales
force and customers! .he& offer =G to =!DG 2rofit mar,in to stimulate its wholesaler
and retailers! .he sales 2ersons are ,i%en a commission on a fi7ed 2ercenta,e on their
sales! .he 2rofit of the com2an& reaches directl& to the owners i!e! the farmers in the
wa& of increase in 2rice of milk; other technical assistance and su4sidies! .he
com2an& also introduces %arious schemes for the customers like more <uantit& at less
2rice; free ,ifts and contests! .he com2an& had introduced a contest namel& MU#
M'RNI C"NTE%T in the 2re%ious &ear for 2romotin, its 2roducts!
INTERNATIONAL BUSINESS
AM$1 stands out a star 2erformer 4oth in the domestic and international market!
Bith the 2erfect mi7 of technical know how and 4usiness acumen the com2an& has
,rown into a ma'or of milk and milk 2roducts 2roducin, com2an&!
AM$1 is 5ndia:s lar,est e72orter of dair& 2roducts! 5t has 4een accorded a L.radin,
AouseM status! 5t has recei%ed the A(-DA Award from 3o%ernment of 5ndia for
e7cellence in dair& 2roduct e72orts for the last # &ears!
AM$1 has its market in almost 20 countries which include $SA; 5ra<; *uwait;
Russia; e2al; Natar; Muscat; Sin,a2ore; Saudi Ara4ia; Sri 1anka; Ban,ladesh;
3am4ia; $,anda; Mada,askar; .an6ania; $!A!-!; Bahrain! Ma'or e72ort 2roducts of
AM$1 are?
Consumer Packs
AM$1 ($R- 3A--
AM$1 B$..-R
AM$1 SAR5*AAD
AM$1 8$11 +R-AM (0BD-R
AM$1 M5.AA-- 3$1AB /AM$
AM$1 S*5MM-D M51* (0BD-R
$.RAM$1 BR0B B-)-RA3-
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
AM$1S(RA> 58A. M51* 800D
AM$1 +A--S-
AM$1 MA1A5 (A--R
AM$1 $A. M51* (103 158-)
AM$1 8R-SA +R-AM
Bulk Packs
AM$1 S*5MM-D M51* (0BD-R
AM$1 8$11 +R-AM M51* (0BD-R
INTERNATIONAL DISTRIBUTION
STRATEGIES
.he com2an& has a22ointed s2ecial carr& forward a,ents for distri4utin, its
2roducts in the international market !5t has rented cold stora,es in %arious
countries to store its 2roducts from where the& are distri4uted as 2er orders!
Althou,h the distri4ution network for international market is not so well
knitted as in case of domestic market; it has 4een successful in maintainin, a
satisfactor& network that ensures smooth functionin,!
INTERNATIONAL PRICING STRATEGIES
Bhile decidin, the 2rices for international market the com2an& takes into
consideration the 2rices of the com2etitors ; 2roduction cost ; distri4ution cost for
international market ; ta7es and duties to 4e 2aid ;etc! Aowe%er the com2an& tries
not to ha%e much difference in 2rices in ational and the 5nternational markets!
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
PRODUCT VARIATIONS
.here are no %ariations in the 4asic 2roducts that the com2an& offers in
ational and 5nternational markets; e7ce2t for the fact that the com2an& has to
maintain the <ualit& standards as 2er the re,ulations of the res2ecti%e countries!
ot all the 2roducts manufactured are &et a%aila4le in 5nternational market
4ecause of the difference in 2references and consum2tion 2attern of the 2eo2le
in %arious countries!
EXPORT POTENTIAL
5ndia has the 2otential to 4ecome one of the leadin, 2la&ers in milk and milk 2roduct
e72orts!
Location advantage: 5ndia is located amidst ma'or milk deficit countries in Asia and
Africa! Ma'or im2orters of milk and milk 2roducts are Ban,ladesh; +hina; Aon,
*on,; Sin,a2ore; .hailand; Mala&sia; (hili22ines; /a2an; $A-; 0man and other ,ulf
countries; all located close to 5ndia!
Low Cost of Production: Milk 2roduction is scale insensiti%e and la4or intensi%e!
Due to low la4or cost; cost of 2roduction of milk is si,nificantl& lower in 5ndia!
CONCERNS IN EXPORT COMPETITIVENESS ARE :
Quality: Si,nificant in%estment has to 4e made in milk 2rocurement; e<ui2ments;
chillin, and refri,eration facilities! Also; trainin, has to 4e im2arted to im2ro%e the
<ualit& to 4rin, it u2 to international standards!
Productivity: .o ha%e an e72orta4le sur2lus in the lon,-term and also to maintain
cost com2etiti%eness; it is im2erati%e to im2ro%e 2roducti%it& of 5ndian cattle!
.here is a %ast market for the e72ort of traditional milk 2roducts such as ,hee; 2aneer;
shrikhand; ras,olas and other ethnic sweets to the lar,e num4er of 5ndians scattered
all o%er the world
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
TOTAL QUALITY MANAGEMENT
5n "99C AM$1 had em4arked on the .otal Nualit& Mana,ement and in "999 recei%ed
the Ra'i% 3andhi ational Nualit& Award for the &ear "999; 5ndia:s 2remier
reco,nition for <ualit&! +ontinuin, to learn their em2lo&ees ha%e consistentl& stri%en
to maintain im2ro%ed 2roduct and ser%ice <ualit& at each sta,e of the %alue chain!
More than 2D000 !ai/ens5small im2ro%ements in work areas-were made 4&
em2lo&ees in different areas like cost cuttin,; time sa%in, and 2rocess im2ro%ement!
.o ensure minimum wasta,e and ma7imum 2roducti%it& and <ualit&; house kee2in,
initiati%es ha%e 4een 6ealousl& 2ursued at the 8ederation offices; Barehouses and
Distri4utor 2oints!
1earnin, from em2lo&in, .otal Nualit& Mana,ement 2rinci2les ha%e 4een cascaded
to 4oth the mem4er dairies as well as distri4ution channel mem4ers! Borksho2s on
Statistical Nualit& +ontrol ha%e 4een conducted across the mem4er dairies to achie%e
total <ualit& in the 2roduction 2rocess!
0n of AM$1:s most remarka4le achie%ements has 4een creation of more than 667
8uality Circles across the len,th and 4readth of the countr&! .he federation:s
wholesale dealers meet e%er& month in these <ualit& circles and discuss and resol%e
distri4ution 2ro4lems and im2ro%e their distri4ution 2rocess!
Amul continues its commitment on im2ro%in, the com2etenc& of its 2rofessional
mana,ers throu,h its Co*petency 9ased Training $rogra**es which 4uilds 4oth
,eneric and functional skills throu,h in-house; customi6ed trainin, 2ro,rammes!
Another uni<ue feature of the .NM 2ro,rammes at AM$1 is the '"%'IN !NRI1
.he word Aoshin is made u2 of two +hinese characters LA0M and LSA5M
which means a methodolo,& for strate,ic direction settin,! 5n Aoshin *anri; at
the strate,ic le%el the com2an& identifies certain strate,ic thrust areas and the
entire or,ani6ation; i!e! all em2lo&ees focus their attention and ener,& to
achie%e the ,oals deri%ed from these strate,ic thrust areas! At the same time;
howe%er; more routine and fundamental as2ects of the 4usiness are also co%ered
in Aoshin *anri in addition to the strate,ic ,oals!
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
FINANCE
DEPARTMENT
DC
GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
INTRODUCTION
An& or,ani6ation; whether it is small or lar,e scale; clears with financin,
e%er& 4usinessman kee2s se2arate records of financial matters! 8inance and account
de2artment of the 4usiness de2ends u2on the financial 2olic& of the firm!
8inancial mana,ement is mainl& concerned with findin, out rational 4asis
throu,h answerin, followin, three <uestions!
Bhat total %alue of funds should 4e in%ested in the 4usinessV
Bhat s2ecific assets should the 4usiness re<uireV
Aow should the re<uired funds 4e raisedV
.he sco2e of financial mana,ement com2rises traditional a22roach on
2rocurement of funds rather than its allocation and use! Bhile modern a22roach
co%ers not onl& ac<uisition 4ut also allocation and utili6ation of funds!
.he firm ma& ha%e an& o4'ecti%es 4ut financial mana,ement has the
o4'ecti%es of 2rofit ma7imi6ation or weather ma7imi6ation! *ee2in, in mind this
2articular o4'ecti%es onl& ma'or = decision are taken that are?
5n%estment Decision
8inancin, Decision
Di%idend (olic& Decision
)INANCIAL PLANNING
(lannin, is 2re-re<uisite for mana,in, an& little thin,s too! Bhen we think
a4out fund; financial 2lannin, comes at first! 8inancial 2lannin, answers the
followin, <uestions? -
Bhat should 4e funds re<uirementsV
Aow should 2rocure fundsV
8rom where to 2rocure the fundsV
Aow to utili6e the fund at ma7imum le%elV
Aead office deals with the arran,ement of raisin, the funds and 2ro%ides funds
re<uired 4& an& of four 2lants!
5n AM$1; the& make weekl& forecast of funds in which re<uirement of each
de2artment is mentioned! After that the 2ro2osal is sent to head office and ,ot
sanction from there!
So; financial 2lannin, has a si,nificant 2lace for makin, decision of
re<uirement and utili6ation of funds!
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
WOR*ING CAPITAL
Mana,ement of workin, ca2ital usuall& in%ol%e mana,ement or
administration of current assets namel& cash and marketa4le securities; account
recei%a4le and in%entories and also administration of current lia4ilities! .he <uantum
of workin, ca2ital in 4usiness is de2endent on %arious factors! Such as t&2e of
4usiness; turno%er of in%entories; term of 2urchase and sale; si6e of the 4usiness unit;
2rocess of manufacturin,; seasonal %ariations etc! the 2resent com2an& is en,a,ed in
manufacturin, of ca2ital ,oods! .herefore naturall& there is a hi,h amount of workin,
ca2ital re<uired!
CASH
.he cash is needed for %arious 2ur2oses in 4usiness! .he& ma& 4e s2eculati%e;
transiti%e and 2recautionar& moti%es! .he mana,ement of cash re<uires cash 2lannin,!
5t is a techni<ue to 2lan J control the use of the cash! +ash is the most li<uid current
asset! 8inance mana,er has to do cash 2lannin,! Mana,er the cash flows decide
o2timum 4alance of cash and in%est the sur2lus cash in marketa4le securities!
ACCOUNT RECEIVABLE
.rade credit is considered as an essential marketin, tool; actin, as a 4rid,e for
mo%ement of ,oods throu,h 2roduction and distri4ution sta,e to customer sta,e to
customers trade credit creates recei%a4les in%ol%es credit 2olic&; monitorin,
accountin, recei%a4les! A firm ma& follow a latent or a strai,ht credit 2olic&! Before
followin, esta4lishin, an& credit 2olic& finance mana,er has to e%aluate the effect of
2olic& in terms of cost and 4enefits!
IN+ENTORIES
5n%entories constitute the most si,nificant 2art of current assets of a lar,e
ma'orit& of com2anies! .he in%entories are in form of raw material; work in 2rocess
and finish ,oods! .he mana,ement of in%entories is necessar& to maintain a lar,e si6e
of in%entor& for efficient and smooth 2roduction and sales o2erations and to maintain
the minimum in%estment in in%entories is not desira4le! .he latest and modern
techni<ues like economic order <uantit& are used in the com2an& for mana,ement of
the in%entories!

RATIO ANAL,SIS
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
Ratio anal&sis is one of the techni<ues of financial anal&sis where ratios are
used as a &ardstick for e%aluatin, the financial condition and 2erformance of a firm!
Ratios ma& 4e classified accordin, to functions or tests as sol%enc&; li<uidit&;
or 2rofita4ilit& ratios and accordin, to nature as le%era,e ratios and acti%it& ratios!
Liquidity ratios:
A li<uidit& ratio is a ratio; which 2oints out whether there are sufficient li<uid
resources to meet the short-term lia4ilities! .he& are meant to measure the com2an&:s
financial stren,th to meet current o4li,ations!
e.g.: current ratio; <uick ratio etc!
Solvency ratios:
.hese are lon,-term ratios; a 2ointer to the future and lon,-term sol%enc& of
the com2an& in which creditors; 4ankers and financial institutions ha%e ,reat stake!
e.g.: (ro2rietar& Ratio; De4t--<uit& Ratio!
Profitability ratios:
Ratios that are meant to measure the 2rofit-earnin, ca2acit& of the firm in its
4usiness o2eration fall under this cate,or&!
e.g.: 3ross (rofit Ratio; et (rofit Ratio; Return on +a2ital -m2lo&ed!
Activity ratios:
.hese ratios esta4lish a relationshi2 4etween sales and %arious assets of the
firm; how well the assets are 4ein, made use of and the s2eed with which the& are
con%erted into sales!
e.g.: De4tors: .urno%er Ratio; +reditors .urno%er Ratio; and Stock
.urno%er Ratio!
Current ratio:
+urrent ratio is a si,nificant ratio; which esta4lishes a relationshi2 4etween
current assets and current lia4ilities of a firm durin, a ,i%en 2eriod of time! 5t is also
known as Lworkin, ca2italM ratio
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
HUMAN
RESOURCE
MANAGEMENT


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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
INTRODUCTION
.he dair& industr& is mo%in, forward 4& lea2s and 4ounds! Aided and
su22orted 4& e7tensi%e RJD; emer,ence of new state of the art Dair& 2lants; trainin,
2ro,rams conducted 4& DDB and <ualit& control measures that make sure the end
consumer ,ets o2timum %alue for mone&!



5n %itro maturation-in %itro fertili6ation work in 2ro,ress at the +entre for
Biotechnolo,&; Bom4a&

!
-ach new dair& 2lant is a ste2 forward! An added ad%anta,e to an industr&
lookin, towards the future!
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
.he ational Dair& De%elo2ment Board - the accolades for the 2ro,ress of the
dair& industr& rest s<uarel& on itEs collecti%e shoulders!

.he screw com2ressor room of the refri,eration 2lant at the =0 .(D (ower
2lant; Meerut; the first of itEs kind in the countr&
An em4r&o transfer la4orator& at Sa4armati Ashram 3aushala workin, to
im2lement the latest technolo,& so that small farmers ha%e access tot he 4est 4reeds in
the 4usiness!
LABOUR WEL)ARE SC-EME INPER)
> Facilities
MEDICAL ASSISTANCE SCHEME:

.he societ& has a com2rehensi%e medical 4enefit scheme for its em2lo&ees!
.he em2lo&ee and his de2endent famil& mem4ers are eli,i4le for reim4ursement of
medical e72enses in res2ect of an& ailment; disease; in'ur&; or disa4ilit& suffered 4&
them! 8or routine medical treatment the ceilin, is as under?
o! 0f famil& mem4ers +eilin, for routine Medical .reatment
(2er annum)
8or 2 famil& mem4ers Rs! 22D0
8or = famil& mem4ers Rs! CD00
5n case of chronic diseases; s2eciali6ed treatments; hos2itali6ation;
2atholo,ical and radiolo,ical tests s2ecial medical sanctions are ,i%en at actual!
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
Be ha%e full fled,ed dis2ensaries at our factories manned 4& doctors; nurses
and 2aramedical staff who 2ro%ide Medicare facilities to the em2lo&ees and their
de2endents! Besides this; most of the ,ood hos2itals and nursin, homes in the %icinit&
are on the a22ro%al 2anel of AM$1; where the em2lo&ees and their de2endent famil&
mem4ers can 4e referred for treatment; accordin, to re<uirement!

-m2lo&ees and their famil& mem4ers are 2eriodicall& e7amined and the
re2ort is ,i%en to them with doctor:s su,,estions for remedial action!

CANTEEN:
+anteens ha%e 4een 2ro%ided at our factories; which 2ro%ide lunch; tea and
snacks! +anteen mana,ement committees consistin, of the em2lo&ees also monitor
the menus; cleanliness; <ualit& of food! +anteen Su4sid& is 2aid W 7G of the 4asic
2a& to officers and W DG of 4asic 2a& to workmen!

TRANSPORT FACILITIES :

AM$1 is 2ro%idin, 4us facilit& to its em2lo&ees for comin, to their work2lace
at our factories!
SALES PROMOTION AND AD+ERTISEMENT
.here is no necessar& for direct ad%ertisement in the market 4ecause the
2roduct itself is the ad%ertisement for dair&! .here are se%eral 2art of AM$1 dair& so
it ad%ertised its 2roduct 4& the tele%ision and 2osters etc! .he 2roduct of LAmulM and
LMotherM s&m4ol has 4een a22ro%ed 4& the ,o%ernment it does not means that Amul
dair& can not do an&thin, increasin, sales! .he& take 2art in the industrial e7hi4ition
minimum two times 2er da&!
.he& also ad%ertised for the after the ser%ice of the dair& which are the 4est in
the dair& and a%aila4le %er& less and chea2er rate in other com2etitors! Dair& is
ad%ertised its 2roduct 4& autorikshow and c&cle! Dair& is 2romoted the worker to
increase the 2roducti%it& and moti%ation!

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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD

RESEARC-
AND
DE+ELOPMENT
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
.he Amul dair& is ha%in, inde2endent research J de%elo2ment de2artment! Dair& has
to maintenance the <ualit& of the 2roduct so 2erson ha%e to measure the fat;
2asteuri6ation and also <ualit&!
.he Amul dair& research its 2roduct at e%er& two hours dair& has a milk
rece2tion la4 it has a S8! +entral la4 for <ualit& assurance is found a <ualit& e%er&
two hours in a da& 4ecause the test of the 2roduct is de2ended on a <ualit& and milk is
a finish ,ood so it can not 4e maintained for the lon, time so Amul dair& research
e%er& hours to maintained the sweet test of the 2roduct!
TRAINING & DE+ELOPMENT CENTER
.he trainin, to the worker in necessar& 2art in e%er& lar,e or,ani6ation this
dair& has its L2ersonnel trainin, centerM and its 2ro%ide trainin, to its em2lo&ee the
trainin, is necessar& to o2erate and control the machiner& and o2erational
information; information a4out near and latest technolo,& and com2uteri6ed machine
are to near 2ro%ided thou,h technolo,&! .hus; dair& is takin, ste2s for trainin, and
de%elo2ment of the em2lo&ee!
DETERMINING STEP IN SELECTION A STRATEGIC
AND MRT-ODS )OR IN)ORMATION RE.URMENTS
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
"! 5dentif& those characteristics of the for elements in the de%elo2ment 2rocess the
affects uncertaint& in the determination of the information!
a! $tili6ation s&stem
4! 5nformation s&stem or a22lication
c! $sers
d! Anal&sts
2! -%aluate the effect of the characteristics if the four elements in the de%elo2ment in
the de%elo2ment 2rocess on three uncertainties!
a! -7istin, and a%ali4ilit& of a set of a re<uirements!
4! A%ali4it& of users to s2ecif& re<uirements!
c! A%ali4it& of anal&st to elicit and e%aluate re<uirements!
=! -%aluate com4ined effect of the 2rocess uncertaintities on o%erall re<uirements
uncertaint&!
C! Select a 2rimar& strate,& for re<uirements determination 4ased on o%erall
re<uirements uncertaint&!
D! Select one or more methods from the set of methods to im2lement the 2rimar&
strate,&!
MANAGERS AS IN)ORMATION PROCESSORS
.he 2osition held 4& indi%iduals in an or,ani6ation affects their 2erformance
as information 2rocessors! Aener& Mint64er,:s Stud& of mana,ers and their 'o4
characteristic re%eled that?
Most mana,ers: works at hectic 2ace! .he& alwa&s thinkin, a4out since
the& are res2onsi4le for a lot of im2ortant acti%ities!
.heir roles influence the characteristics of acti%it& like 4re%it&; %ariet& and
fra,mentation!
Mana,ers tend to concentrate on current issue rather than routine
acti%ities!
Mana,ers s2end as hi,h as #0G of their time in %er4al communication!
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
Mana,ers esta4lish a network of communication; and D0G of this network
is outside the or,ani6ation!
.he mana,er:s role in%ol%es a mi7 of authorit& and res2onsi4ilit&!
Mana,ers concentrate more on soft issues than factual information!
Mana,ers re<uested for more information than su4ordinates!
.he stud& re%eled that not onl& are mana,erial decisions unstructured; 4ut the
en%ironments in which these decisions are made are also unstructured! As a result; it
is a necessar& to consider the co,niti%e st&le of mana,ers when de%elo2in, a decision
su22ort s&stem! .o make the s&stem 2owerful; it should 4e com4ined with order
information ,atherin, and e%aluation techni<ues! .he 4usiness en%ironment is full of
interru2tion and mana,ers can hardl& e7ercise an& control o%er such distortions!
.he use of electronic communications s&stems can hel2 eliminate
interru2tions in %er4al communication! .he effect of summari6ed data on human
understandin, needs to 4e ,i%en due im2ortance! Mint64er, stud& re%ealed that use of
summari6ed data hel2s 4etter decision makin,; thou,ht the indi%idual ma& not 4e %er&
confident a4out their decisions!
CONTROL ROOM
+ontrol room is a one of the de2artment of the dair&! +ontrol room is called a
heart of the dair& 4ecause all the machine are handled 4& the control room there are
two 2erson who o2erate all the machine in the dair& Amul dair& is a full&
com2uteri6ed and machineries so there are a few workers are re<uire for increase for
increase the 2roducti%it&!


ORGANI/ATION C-ART

Dept.Mang.( C.F. Supri. Supri. Dept.
Supri.Operation) Quality Store (tech)

Control
Sr. Officer (10)
Asst. Officer (10)
ID
GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
1r. Asst. (12)
Workers


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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
SWOT ANALYSIS
.he stud& of this SWOT anal&sis shows that the 9stren,ths: and 9o22ortunities: far
outwei,h 9weaknesses: and 9threats:! .he stren,ths and o22ortunities are fundamental
and weaknesses and threats are transitor&!
STRENGTHS:
Demand profile: A4solutel& o2timistic!
Margins: Nuite reasona4le!
Flexibility of product mix: .remendous! Bith 4alancin, e<ui2ment; &ou can
kee2 on addin, to &our 2roduct line!
Availability of raw material: A4undant! (resentl&; more than #0 2er cent of
chocolate 2roduced is flowin, into the unor,ani6ed sector; which re<uires
2ro2er channeli6ation!
Technical manpower: (rofessionall&-trained; technical human resource 2ool;
4uilt o%er last =0 &ears!
WEAKNESSES:
Perishability: (asteuri6ation has o%ercome this weakness 2artiall&! Bhich
,i%es chocolate lon, life! Surel&; man& new 2rocesses will follow to im2ro%e
chocolate <ualit& and e7tend its shelf life!
Lack of control over yield: .heoreticall&; there is little control o%er chocolate
&ield! Aowe%er; increased awareness of de%elo2ments like em4r&o trans2lant;
artificial insemination and 2ro2erl& mana,ed animal hus4andr& 2ractices;
cou2led with hi,her income to rural milk 2roducers should automaticall& lead
to im2ro%ement in chocolate!
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
Logistics of procurement: Boes of 4ad roads and inade<uate trans2ortation
facilit& make milk 2rocurement 2ro4lematic! But with the o%erall economic
im2ro%ement in 5ndia; these 2ro4lems would also ,et sol%ed!
Problematic distribution: >es; all is not well with distri4ution! But then if
ice creams can 4e sold %irtuall& at e%er& nook and corner; wh& can:t we sell
other dair& 2roducts tooV Moreo%er; it is onl& a matter of time 4efore we see
the emer,ence of a cold chain linkin, the 2roducer to the refri,erator at the
consumer:s homeX
Competition: Bith so man& newcomers enterin, this industr&; com2etition is
4ecomin, tou,her da& 4& da&! But then com2etition has to 4e faced as a
,round realit&! .he market is lar,e enou,h for man& to car%e out their niche!
OPPORTUNITIES:
Value addition: .here is a 2henomenal sco2e for inno%ations in
2roduct de%elo2ment; 2acka,in, and 2resentation! 3i%en 4elow are 2otential areas of
%alue addition?
o Ste2s should 4e taken to introduce %alue-added 2roducts like
shri-hand; ice creams; paneer+ -hoa; fla%ored milk; dair& sweets;
chocolates etc! .his will lead to a ,reater 2resence and fle7i4ilit& in the
market 2lace alon, with o22ortunities in the field of 4rand 4uildin,!
o Addition of cultured 2roducts like &o,hurt and cheese lend further
stren,th - 4oth in terms of utili6ation of resources and 2resence in the
market 2lace!
o A lateral %iew o2ens u2 o22ortunities in milk 2roteins throu,h casein;
caseinates and other dietar& 2roteins; further o2enin, u2 e72ort
o22ortunities!
o >et another as2ect can 4e the addition of infant foods; ,eriatric foods
and nutritional!
Export potential: -fforts to e72loit e72ort 2otential are alread& on! Amul is
e72ortin, to Ban,ladesh; Sri 1anka; i,eria; and the Middle -ast! 8ollowin,
the new treat&; o22ortunities will increase tremendousl& for the e72ort of
a,ricultural 2roducts in ,eneral and dair& 2roducts in 2articular!
THREATS:
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
Milk vendors, the un-organized sector: .oda& chocolate %endors are occu2&in, the
2ride of 2lace in the industr&! 0r,ani6ed dissemination of information a4out the harm
that the& are doin, to 2roducers and consumers should see a stead& decline in their
im2ortance!
+0+1$S50
.his is the %ision of the future which the com2an& sees for itself?
99AM$1 will 4e an outstandin, marketin, or,ani6ation; with s2eciali6ation in
marketin, of food and dair& 2roducts; 4oth fresh and lon, life with customer focus
and information technolo,& inte,ration!
.he network would consist of o%er "00 offices; 7D00 stockists co%erin, at least e%er&
taluka head <uarter town; ser%icin, nearl& "0 lakh outlets with a turno%er of
Rs!"0;000 +rore; and ser%in, se%eral co-o2erati%es!
AM$1 shall also create a market for its 2roducts in the nei,h4orin, countries!M
POTENTIAL FOR FURTHER GROWTH
0f the three AEs of marketin, R availability, acceptability and affordability; 5ndian
dair&in, is alread& endowed with the first two! (eo2le in 5ndia lo%e to
drink milk and eat chocolate! Aence no efforts are needed to make it
accepta.le1 5ts a%aila4ilit& is not a limitation either; 4ecause of the am2le sco2e
for increasin, milk 2roduction! 5t lea%es the third %ital marketin, factor
afforda.ility! Aow to make milk and its 2roduct afforda4le for the lar,e ma'orit&
with limited 2urchasin, 2owerV .hat is essence of the challen,e! 0ne 2ractical
wa& is to 2ack chocolate in small <uantities of sachets! Alread&; the 4i,
chocolate has ,i%en wa& to sin,le - use sachets which are more economical!
Another %ia4le alternati%e is to sell small <uantities of chocolate in mini
- sachets; ade<uate for one or two 2erson!
I9
GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
REFERENCES
(rinci2les of Marketin, -- (hili2 *otler J 3ar& Armstron,; 2000!
Marketin, Mana,ement -- (hili2 *otler; 2000!
(roduct mana,ementYS!A!+hunawala; "999!
Research Methodolo,& - - +!R! *othari
www!amul!com
www!,cmmf!or,
www!indiandair&!com
www!ndd4!com
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
AMUL DAIRY
PRODUCT
Bread Spreads
Amul Butter
Utterly Butterly Delicious
Amul Lite
Low fat, low Cholesterol
Bread Spread
Delicious Table
Margarine
The Delicious way to eat
healthy
Milk Drinks
Amul Kool Amul Kool Cafe
Kool Koko
A delight to Chocolate Lovers.
Delicious Chocolate taste
Nutramul Energy Drink
A drink for ids ! provides
energy to suit the needs of
growing ids
Amul Kool Chocolate Milk Amul Kool Flavoured
Bottled Milk
7"
GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
Amul Kool Flavoured Tetra
Pack
Amul Masti Spiced
Buttermilk
A"ul introduces the Best
Thirst #uenching Drink
Amul Kool Thandai
Powder Milk
Amul Spray Infant Milk
Food
Still, $other%s $ilk is Best
for your &a&y
Amul Instant Full
Cream Milk Powder
A dairy in your ho"e
Sagar Skimmed Milk
Powder
'hich is especially useful
for diet preparations or
for use &y people on low
calorie and high protein
diet.
Sagar Tea Coffee
Whitener
Amulya Dairy Whitener
The (ichest, )urest Dairy
'hitener

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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
Cheese
Fresh Milk
Amul Fresh Milk
This is the "ost hygienic "ilk
availa&le in the "arket.
)asteurised in state!of!the!art
processing plants and pouch!
packed for convenience.
Amul Gold Milk
Amul Taaza Double Toned
Milk
Amul Lite Slim and Trim Milk
Amul Fresh Cream Amul Shakti Toned Milk
Amul Calci+
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
Amul Pasteurised Processed
Cheese
*++, -egetarian Cheese
"ade fro" "icro&ial rennet
Amul Cheese Spreads
Tasty Cheese Spreads in .
great flavours..
Amul Emmental Cheese
The /reat Swiss Cheese fro"
A"ul, has a sweet!dry flavour
and ha0elnut aro"a
Amul Pizza Mozzarella
Cheese
)i00a cheese..."akes great
tasting pi00as1
Gouda Cheese

For Cooking
Amul / Sagar Pure Ghee
$ade fro" fresh crea". 2as
typical rich aro"a and
granular te3ture. An ethnic
product "ade &y dairies with
decades of e3perience.
Cooking Butter
Amul Malai Paneer
(eady to cook paneer to "ake
your favourite recipes1
Utterly Delicious Pizza
Mithai Mate
Sweetened Condensed $ilk !
4ree flowing and s"ooth
te3ture. 'hite to crea"y color
with a pleasant taste.
Masti Dahi
Desserts
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
Amul Ice Creams
)re"iu" 5ce Crea" "ade in
various varieties and flavours
with dry fruits and nuts.
Amul Shrikhand
A delicious treat, anyti"e.
Amul Mithaee Gulab 1amuns
)ure hoya /ula&
6a"u"s...&est served piping
hot.
Amul Chocolates
The perfect gift for so"eone
you love.
Amul Lassee Amul Basundi
Health Drink
Nutramul
$alted $ilk 4ood "ade
fro" "alt e3tract has the
highest protein content
a"ong all the &rown
&everage powders sold in
5ndia.
Amul Shakti Health Food
Drink
Availa&le in esar!Al"ond
and Chocolate flavours.
7D
GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
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GU1ARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD
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