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Amul was formally registered on December 14, 1946.

The brand name


Amul, sourced from the sanskrit word Amoolya, means priceless. It was
suggested by a quality control expert in Anand. Some cite the origin as an
acronym to (Anand Milk Union Limited).
The Amul revolution was started as awareness among the farmers. It grew
and matured into a protest movement that was channeled towards economic
prosperity. It is a dairy cooperative movement in India. It is a brand name
managed by an apex cooperative organisation, Gujarat Co-operative Milk
Marketing Federation Ltd. (GCMMF), which today is jointly owned by some 2.41
million milk producers in Gujarat, India[1]. It is based in Anand town of Gujarat
and has been a sterling example of a co-operative organization's success in the
long term. The Amul Pattern has established itself as a uniquely appropriate
model for rural development. Amul has spurred the White Revolution of India,
which has made India one of the largest milk producers in the world. It is also the
world's biggest vegetarian cheese brand [2].
Amul's product range includes milk powders, milk, butter, ghee, cheese,
chocolate, ice cream, cream, shrikhand, paneer, gulab jamuns, basundi,
Nutramul brand and others. In January 2006, Amul plans to launch India's first
sports drink Stamina, which will be competing with Coca Cola's Powerade and
PepsiCo's Gatorade [3].
Amul is the largest food brand in India with an annual turnover of US $868
million (2005-06) [4]. Currently Amul has 2.41 million producer members with
milk collection average of 5.08 million litres/day. Besides India, Amul has entered
overseas markets such as Mauritius, UAE, USA, Bangladesh, Australia, China,
Singapore, Hong Kong and a few South African countries. Its bid to enter
Japanese market in 1994 had not succeeded, but now it has fresh plans of flooding
the Japanese markets [5]. Other potential markets being considered include Sri
Lanka.

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Amul was formally registered on December 14, 1946. The brand name
Amul, sourced from the sanskrit word Amoolya, means priceless. It was
suggested by a quality control expert in Anand. Some cite the origin as an
acronym to (Anand Milk Union Limited).
Nagindas Khandwala college.
The Amul revolution was started as awareness among the farmers. It grew
and matured into a protest movement that was channeled towards economic
prosperity. It is a dairy cooperative movement in India. It is a brand name
managed by an apex cooperative organisation, Gujarat Co-operative Milk
Marketing Federation Ltd. (GCMMF), which today is jointly owned by some 2.41
million milk producers in Gujarat, India[1]. It is based in Anand town of Gujarat
and has been a sterling example of a co-operative organization's success in the
long term. The Amul Pattern has established itself as a uniquely appropriate
model for rural development. Amul has spurred the White Revolution of India,
which has made India one of the largest milk producers in the world. It is also the
world's biggest vegetarian cheese brand [2].
Amul's product range includes milk powders, milk, butter, ghee, cheese,
chocolate, ice cream, cream, shrikhand, paneer, gulab jamuns, basundi,
Nutramul brand and others. In January 2006, Amul plans to launch India's first
sports drink Stamina, which will be competing with Coca Cola's Powerade and
PepsiCo's Gatorade [3].
Amul is the largest food brand in India with an annual turnover of US $868
million (2005-06) [4]. Currently Amul has 2.41 million producer members with
milk collection average of 5.08 million litres/day. Besides India, Amul has entered
overseas markets such as Mauritius, UAE, USA, Bangladesh, Australia, China,
Singapore, Hong Kong and a few South African countries. Its bid to enter
Japanese market in 1994 had not succeeded, but now it has fresh plans of flooding
the Japanese markets [5]. Other potential markets being considered include Sri
Lanka.

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Composition:
Total fat 32%
Cholesterol 2%
Sodium 2%
Carbohydrate 7%
Dietary fiber 9%
Vitamin A 2%
Vitamin C 2%
Calcium 8%
Iron 4%

Market segmentation is the process in marketing of grouping a market (i.e.


customers) into smaller subgroups. These markets are often termed niche markets
or specialty markets. These segments are fairly homogeneous in their attitudes
about certain variables. Because of this intra-group similarity, they are likely to
respond somewhat similarly to a given marketing strategy. That is, they are likely
to have similar feeling and ideas about a marketing mix comprised of a given
product or service, sold at a given price, distributed in a certain way, and
promoted in a certain way.
The purpose of segmentation is to identify and target prime customer groups (eg
the 20% that account for 80% of your sales) so that you get the maximum return
from a limited marketing budget (the most bang for your buck).
Market Segmentation Of Amul CHOCO CRUNCH
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Homogeneity within the segment
Heterogeneity between segments
Segments are measurable and identifiable
Segments are accessible and actionable
Segment is large enough to be profitable.....
These criteria can be summarized by the word SADAM:
S Substantial: the segment has to be large and
profitable enough
A Accessible: it must be possible to reach it efficiently
D Differential: it must respond differently to a different
marketing mix
A Actionable: you must have a product for this segment
M Measurable: size and purchasing power can be
measured .

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The Process-Data Model Of Marketing Segmentation
Above given is a generic process-data model is given for the whole process
of segmenting and positioning as a basis of deciding on the most effective
marketing strategy and marketing mix.
This model consists of the three main activities: segmenting, targeting and
positioning. It shows the chronological dependency of the different activities. On
the right side of the model the concepts resulting from the activities are showed.
The arrows show that one concept results from one or more previous concepts; the
concept can not be made when the previous activities have not taken place. Below
the three main activities are shortly described as well as their role as a basis for
the next step or their dependency on the previous step.

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After the most attractive segments are selected, a company
should not directly start targeting all these segments. The
attractiveness of the segments is also depending on other
important factors. In the main activity of defining a target
market, four sub activities are given which are the bases for
deciding on which segments will actually be targeted.

AGE GROUP TARGETED

The four sub activities performed by Amul


while targeting are:-

Defining the abilities of the product and resources


needed to enter a market

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Analyzing competitors on their resources and skills

Considering the company’s abilities compared to the


competitors’

Deciding on the actual target markets.

The first three sub activities are described at the topic


competitor analysis. The last sub activity of deciding on the
actual target market is an analysis of the information made
available when comparing the companies abilities to the
competitors’.

This analysis leads to a list of segments which are most


attractive to target and have a good chance of leading to a
profitable market share.

Obviously, targeting can only be done when segments are


predefined; there have to be segments to analyze the

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competitors which are in this market. When the process of
targeting is ended, the markets to target are selected, but the
way to use marketing in these markets is not yet defined. To
decide on the actual marketing strategy, knowledge of the
differential advantages of each segment is needed. When
positioning a product, the segments are first analyzed, this
process is described next.

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The major marketing management decisions can be classified
in one of the following four categories:

PRODUCT
PRICE
PLACE
PROMOTION

These variables are known as the marketing mix or the 4 P's of


marketing. They are the variables that marketing managers can
control in order to best satisfy customers in the target market.
The marketing mix is portrayed in the following diagram:

The Marketing Mix

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The firm attempts to generate a positive response in the target market
by blending these four marketing mix variables in an optimal manner.

Now, lets see the marketing mix for new launch of AMUL’S CHOCO
CRUNH i.e., their products, price, place and promotion.

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Competition Based Pricing
Setting the price based upon prices of the similar competitor products.
Amul’s new launch Choco Crunch Pricing is based on three types:-
1) Product is lasting distinctiveness from competitor's product. here we can assume a)
The product has low price elasticity. b) The product has low cross elasticity. c) The
demand of the product will rise.
2) Products have parishable distinctiveness from competitor's product, assuming the
product features are medium distinctiveness.
3) Products have little distinctiveness from competitor's product. assuming that: a) The
product has high price elasticity. b) The product has some cross elasticity. c) No
expectation that demand of the product will rise.
Price is the factor that beats out all other choclates in the
competition. Such as Cadbury. If you have been you must have seen
that Amul and Cadbury frenchise are right next to each other. But if
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given the choice people would prefer Amul products and not Cadbury
as the prices of Amul product is quite cheap as compared to their
competitors like Cadbury and this has worked as an advantage for
Amul since most of the customers prefer amul product over cadbury’s
product, due to this price factor.
The prices for an average milk product ranges between Rs. 20 and Rs.
35.

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