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PRODUCT MIX OF AMUL

PRODUCT:- Amul has a very wide range of products vast and ever-growing
Range of 'tasteful' Amul delectables

Bread Spreads :
Amul Butter
Amul lite
Delicious Table Margarine

Milk Drinks:-

Amul cool milk shake


Amul cool
Amul cool café
Kool coco
Nutramul Energy Drink
Amul cool chocolate milk
Amul Kool Flavoured Bottled Milk
Amul Kool Flavoured Tetra Pack
Amul Masti Spiced Buttermilk
Amul Lassee
Amul Kool Thandai

Powder milk :

Amul Spray Infant Milk Food


Amul Instant Full Cream Milk Powder
Sagar Skimmed Milk Powder
Sagar Tea Coffee Whitener
Amulya Dairy Whitener
Fresh milk

Amul fresh milk


Amul gold milk
Amul Taaza Double Toned Milk
Amul Lite Slim and Trim Milk
Amul Fresh Cream
Amul Shakti Toned Milk
Amul Calci+
Amul Buttermilk

Cheese

Amul Pasteurised Processed Cheese


Amul Cheese Spreads
Amul Emmental Cheese
Amul Pizza Mozzarella Cheese
Gouda Cheese

For cooking

Amul / Sagar Pure Ghee


Cooking Butter
Amul Malai Paneer
Utterly Delicious Pizza
Mithai Mate
Masti Dahi
Pro-biotic Dahi
Desserts

Amul Ice Creams


Amul Shrikhand
Amul Mithaee Gulab Jamuns
Amul Chocolates
Amul Basundi
Amul Yogi Yoghurt

Health Drink

Nutramul
Amul Shakti Health Food Drink

(2)Price

AMUL India has brought a whole new revolution when it comes to pricing
strategies, which is evident through the success of its AMUL
PARLOURS outlets.

• The main objective of Amul is to produce the low price and


profitable for the customers.
• Amul ’s product pricing reflects the affordability of the local
consumers.
3 c success of amul
COMPANY:
✔Largest milk brand in Asia. It is no. 1 in Asia and no. 2 in the
world

More than 30 dairy brands
✔Market leader in ghee and butter with 85% market share
✔Very strong supply chain
✔Enjoys fine reputation. Though the company has grown so big, it
never left its key players- the milk suppliers
✔Quality with affordability

COMPETITOR:
✔Amul has to defend against Mahananda, Vijaya, Milma, and
other cooperative milk brands
✔Aggressive moves against Britannia, Nestle, Mother Dairy,
Kwality
✔Amul has a competitive sustainable advantage. This lies in the
procurement part. Its ability to collect 7 million liters of milk from
2.6 million farmers and onvert it into Rs. 6 crore worth products
and distribute them to 5 lakhs retailers is a tough job.
✔Intelligent marketing

CUSTOMER

4PS PRODUCT

Using the BCG matrix for product analysis, we can know which of
these SBU’s is of utmost importance to the company or the brand
Amul
Bcg matrix
Diogramme from net

Looking at the matrix above, we may say that Amul needs to


perform product innovation if it wants to convert Amul chocolates,
masti dahi , Amul mithai mate, Amul lassi to star products. The
above matrix also indicates that, Amul may also choose to
disinvest in Nutramul and Amul shakti
Looking at the matrix above, we may say that Amul needs to
perform product innovation if it wants to convert Amul chocolates,
masti dahi , Amul mithai mate, Amul lassi to star products. The
above matrix also indicates that, Amul may also choose to
disinvest in Nutramul and Amul shakti

Category market shre market position


Butter 85% 1 in all
Milk powder 40%
Cheese 50%
Ice cream 24.75% 2
Sweet 50%
Chocolate drink 90%
Chocolate 10% 3

In ice cream, HUL is just above the market share i.e.,28.22 % ,


with Mother Dairy in the 3
rd
place with 8.66 %. In chocolates, Cadbury has the maximum share
of 70 % and Nestle has 20 % of the market share.AMUL, being a
co-operative union offers variety of services to the members of
village and district level co-operative societies. The main services
offered by AMUL are


STP


Segmentation
Segmentation is not so easy because of mixed audience and
various culinary applications of Amul products. Nevertheless, we
may do segmentation based on:

Consumer type:

For Kids- Amul kool, Amul chocolates, Nutramul, etc


For Women-Amul Calci +
For Youth-Utterly delicious pizza, cheese variants etc
For the calorie conciuos-Amul lite, Amul lite slim trim milk etc
For health conscious-Nutramul, Amul shakti etc

Industry type:

Milk- Ice cream manufacturer, restaurants, coffee shops


etcButter/Cheese/Ghee-Bakery, pizza retailers, snack retailers

Targeting

After segmentation, one has to decide where to find this market


segment and what should be the size of this segment. Example,
Amul has identified youth as one of its potential segments. Now it
has to decide where to find youth who will actually go get their
product and the number of youth that the company, i.e., Amul
requires. Amul has come up with Amul parlours for this reason

Positioning
✔A mass market player, no premium offerings
✔USP – Quality with affordability
✔“Amul” as “Taste of India” - creating value for everyone in the
value chain, both customers and farmers.
✔New offerings for health conscious and vibrant India in the form
of Probiotic wellness ice-cream, sugar free delights for the diabetic
patients and Amul kool café for the youth of today

PROMOTION
One of the most conservative FMCG entities — GCMMF —
spends a mere 1% of its turnover on promotions. Amul has written
and re- written the rules of the game. Amul butter girl is one of the
longest run ad campaigns in the country for 43 years!!

SET SOME ADD

The reason Amul topicals are so successful because, it doesn’t


plead the customer to go buy Amul intantly. Instead, Amul
captures latest news headlines and showcases them in such a way
that the moment we see it, we register it n our brains. The basic
aim here is to make butter synonymous to Amul. Next time we go
to buy butter, the first brand that will come to the mind is Amul.
Amul uses rotational promotion strategy to be in touch with
customers/ consumers throughout. After every 3-4 years, Amul
comes up with something new and a promotional campaign for the
same is placed

➢Amul Ice-cream 1996


➢ Category re-visited in 1999, in order to improve availability of
the product and make it affordable
➢ Amul Cheese in 2001
➢ Amul Masti Chaas in 2004-05
➢ Nutramul and Kool Kafe in 2006
➢ Amul Koko — cold chocolate drink in 2009

Amul promotes itself by conducting various contests such as:

•Chef of the year- in this, the participants are required to use as


many Amul products as possible
•Amul Maharani of the year – in this, the participants are required
to fill up questionnaires and then there is a lucky draw.

Add some

Amul promotes itself by sponsoring various movies, and tv shows.


For example

Add some

Sardar
Amul master chef
Amul voice of India etc

Amul publishes some books periodically. Basically they are related


to Amul or dairy industry as such

Milk man from anand dr kuroun- mv kamth


The amul story buy ruth haredia

Amul also gives away academic excellence awards for school


children every year. They are called Vidya Shree – for 10
thstd and Vidya Bhushan – for 12 th std students
PLACE:-

Amul’s success today is partly because of its strong supply chain


design. Below is the schematic diagram of Amul’s supply chain

DIO GRAMME FROM RED DIARY

Amul has franchisee plans in regards of the Amul parlours. This


might start pretty soon, since the talk are almost at the end.Now,
going back to the supply chain of Amul, Amul has gone the e-
commerce way. The 1st initiatives taken for an ERP system was in
’94. Tata Consultancy Services was hired to guide in its
implementation. The implementation project was named as
Enterprise- wise Integrated Application System (EIAS).
Automatic Milk Collection System units (AMCUS)
at village societiewere installed in the first phase to automate milk
producers logistics. Amul also connected its zonal offices, regional
offices and member’s dairies through
VSATs for seamless exchange of information. Amul is also using
Geographic Information Systems (GIS)

for business planning and optimization of collection processes.


Indian Institute of Management – Ahmedabad supplemented
Amul’s IT strategy by providing an application software – Dairy
Information System Kiosk(DISK) to facilitate data analysis and
decision support in improving milk collection. There are plans to
introduce features like Internet banking services and ATMs which
will enable the milk societies to credit payments directly to the
seller’s bank account. Distributors can place their orders on the
website www.amul2b.comespecially meant for accepting orders
from stockists and promoting Amul’s products via e-commerce
PRICING

Decided by the GCMMF by conducting market surveys to check


the validity and feasibility of prices in the market and accordingly
decides the prices of AMUL products.Price is inclusive of several
elements like,
✔Cost of milk.
✔ Labour cost.
✔ Processing cost.
✔ Packaging cost.
✔ Advertising cost.
✔ Transportation cost
Sales promotion
Taxes

TASTE OF COMPETATION

DIO GRAMME FROM RED DIARY

FINANCIAL MATTER

WORKING CAPITAL
In AMUL there is no credit with the federation. GCMMF is owned
by 11 union members and wholesale dealers. Requirement of
working capital in winter season is much higher and availability of
fund is lesser. To meet with this working capital requirement,
AMUL has got certain provision and short – term investments.
From the monthly sale, GCMMF gives returns to AMUL from
which it covers up its short – term expenses

7.3 SOURCES OF CAPITAL


Inflow:-
Source of capital of AMUL are:
 Federation gives them dairy amount decided by union

 Fix deposit of society is major source of finance.


Interest of fix deposit of bank like SBI, BOB, GEB Bond, and
Sardar Sarovar Bond etc. is one of the sources of finance.
 Share Capital of AMUL. Share of AMUL is not for public but
only for the society members.
 Net profit of AMUL during the year 2007 – 2008 is 451.51 lack

Bankers:-

U.T.I bank: - For the salary related Transaction.

Kaira District co – operative bank: - For the payment of society.

State Bank of India.

Bank of Baroda.

Bank of Maharastra.

State Bank of Saurastra.

Corporation Bank

CONCLUSION
WEAKNESSESS AND THREATS
Every entity in the world will have its weaknesses and will face
some or the other threat. The following are the weaknesses and
threats associated with Amul brand:
•Less control over milch yield
•Cannot accommodate transport delays (perishables)
•Dependence on poor infrastructure for supply (roads, electricity
etc)
•Increasing population , increasing requirement
•Adulteration
•Saturation point not far away

•Unorganized players
•Other dairy co-operative societies
•Competitors are companies, not bound by inherent obligations of
co-operatives

 Amul goes global

in spite of the above mentioned, Amul has been doing


exceptionally well in abroad too. The following are some facts:

U.S.A, Nepal, South Africa, Kenya, Bhutan, Bangladesh, Thailand,
Australia, and Gulf countries etc

Prospective markets- Russia, UAE, Japan, Sri Lanka

Agreement with Wal-mart : Wal-mart agreed to sell Amul products
on its shelves under brand Amul itself.

Agreement with Glaxo : Glaxo and Amul will get together to
produce baby food

Amul’s growth rate in international market : ~34%

 THE WAY AHEAD


Product improvisation -Amul basundi, gulab jamun, chocolates
etc., since they are not as popular as Amul butter or Amul ice
cream. There is a need to understand the cause through proper
MR.

Amul horadings are successful. But there is a need to advertise
by Cable channels, newspapers etc. to reach the rural areas etc

For a company where perishability of its products is very high,
strengthening of liquidity and working capital is a must

•Supply chain add-ons must be further strengthened

•Venture into processed fruits and vegetables, because the same


Anand pattern can be followed here, so strategizing won’t take
much of a time. And moreover, they give higher margins
•Try nullifying threats and weaknesses

Helped website


www.quickmba.com

www.nddb.org

www.indianexpres.com

www.thehindubusinessline.com

www.business-standard.com

www.icmrindia.org

www.blogger.com

www.wikipedia.com
work of student who did summer traing In GCMMF