You are on page 1of 66

SUMMER TRAINING PROJECT REPORT

Mother Dairy Fruit & Vegetable Pvt. Ltd.


ON
CONSUMER SATISFACTION AND MARKETING
STRATEGIES
WITH RESPECT TO MOTHER DAIRY

SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENT OF


BACHELOR OF BUSINESS ADMINISTRATION (BBA) GURU GOBIND
SINGH INDRAPRASTHA UNIVERSITY (2011-2014)
SUBMITTED BY
.
ANKIT GARG
BATCH BBA(G)5TH SEMESTER

MS.DEEPTI GAUR

ENROLLMENT NO: 0545601711

(FAULTY GUIDE)

SUPERVISED BY

NEW DELHI INSTITUTE OF MANAGEMENT


TUGHLAKABAD,NEW DELHI

ACKNOWLEDGEMENT

The project report of such magnitude cannot be accomplished without the assistance and
co-operation of several people. I therefore, would take this opportunity to express my
utmost gratitude and indebtedness to one & all who have contributed in some way or the
other and have been linked with the project from the day first.
Firstly, I would like to thank my project guide, MRS. DEEPTI GAUR who devoted her
precious time in contributing valuable information for my work. She had been constantly
guiding me throughout my endeavour for this project.
I would also like to thank him for constantly guiding me. I am also thankful to all those
respondents who spend their time in providing me with valuable information for my
work.

CERTIFICATE

This is to certify that AnkitGarg s/o Mr. Ravinder Garg has completed summer training
internship with marketing and sales department of MOTHER DIARY for the duration
of June- Aug 2013. His performance during the training period was satisfactory. Her
contribution was recognized and appreciated by the management.
Managers Sale
OFFICE

Plot NoSafal Fruit & Vegetable Unit, Mangol Puri Industrial Area, Phase-

i,MangolPuriIndustrialAreaNewDelhi,DL011 2792 1729

MS. DEEPTI GAUR


(project guide)

TABLE OF CONTENTS
S.NO.

CONTENTS

PAGE
NO.

1
2
Chapter 1
Chapter 2.
Chapter 3.

Chapter 4.

Chapter 5.
Chapter 6.

ACKNOWLEDGEMENT
CERTIFICATE
Introduction
Industry overview
2.1 Past ,present and future trends
2.2 Major players
Company profile
3.1 History
3.2 Mission ,vision and goals
3.3 Organizational structure
3.4 Products and services
3.5 Future plans
Job description
4.1 Job description statement
4.2 Detailed Job Profile
4.3 Area Assigned
4.4 Target Assigned
Findings and analysis
5.1 Findings based on questionnaire
Conclusion And Recommendations
Annexure

3
5
12
13
18
20
21
25
26
27
32
33
34
35
36
36
38
60
63
68
69

Questionnaire

CHAPTER 1
INTRODUCTION
AND NATURE OF
JOB ASSIGNED

EXECUTIVE SUMMARY

I did my summer training at Mother Dairy, patparganj of 6 weeks from 1 st july 2013 to 15th
august2013.
At the mother dairy the job assigned to me as a summer trainee was really challenging. It
was related to the analysis of customer satisfaction about the various products of mother
dairy and also to check the marketing strategies followed by mother dairy to promote their
products were satisfied or not.I really enjoyed this job and interaction with the customers

Understanding

the

needs

of

the

customer

is

critical.

A business relationship, just like any other relationship, relies on both people getting their
needs met. No matter what type of business you are in, all customers want the same thing.
They want to feel welcomed and appreciated by you and your staff. They don't want to get
the impression that they are just being used by you for money. Small interactions like
"Thank you" and a nice smile can go a long way toward customer satisfaction.

Make

sure

your

employees

operate

with

the

same

principles.

A big part of customer satisfaction is reliability. If customers come to expect a certain mode
of behavior from you and your employees, you should deliver it to them each and every
time. Customers want to be able to rely on you. They expect consistent delivery times (if
applicable) and support. By training your employees to treat all customers with the same
respect, your customers will all have the same experience with your company, which will
increase customer satisfaction.

Be

honest

when

you

don't

meet

expectations:

Customer satisfaction is at its most important when something goes wrong in the chain of
delivery. Whether a customer was double charged or didn't receive what she ordered, your
employees need to handle the situation with the utmost care. Your employee should
apologize and take steps to rectify the situation. The phrase "the customer is always right" is
at the core of a good customer satisfaction strategy. It doesn't matter whether or not the
customer misread the instructions or made the mistake; your employee should take steps to
make the customer happy.

Customer

satisfaction

is

the

foundation

of

good

business.

Satisfied customers will make a great foundation for return business, and they may also

bring in their friends and associates. Remember that customers are the heart of any business.
Keep them satisfied, and encourage them to tell their friends about their experiences with
your business

CHAPTER -2
INDUSTRY
OVERVIEW

2.1. OVERVIEW OF INDUSTRY AS A WHOLE


For centuries, Milk forms an integral part of the Indian foodThis growth has been possible to
achieve as there is an increase in the size of the

market for dairy products because of the

increase in the disposable income of the consumers. There is an increase in the demand for
dairy products as milk is considered to be a healthy intake in diet (like rice and wheat).
However, still a major w, and consists of Western-style dairy processing based on
pasteurization but it portion of the population cannot afford milk.
In India both the "organized" and "unorganized sectors co-exists

for

marketing of milk and dairy products. The organized or formal sector is relatively ne is also
adapted to the Indian market in terms of products. The dairy cooperatives comprise the
single largest formal organization in terms of market share, and its share in total milk
procurement has increased and is further expected to rise in the future. Presently, 1.13 lakh
village level co-operative societies spread over 265 districts in the country form part of the
national Milk Grid.

The base for Indian dairying is provided by millions of landless

agricultural laborers and marginal and small farmers, who maintain one or two milch
animals of low genetic potential for milk production, primarily fed on crop residues and
byproducts, and reared with the help of under-employed family members, mostly female
workers. The reasons which support the existence of a large informal dairy sector are-:

Firstly the consumers are not ready to pay the additional costs attached with the
formal sector like the pasteurization and packaging

Secondly, the consumers have the perception that milk and other dairy products
obtained from reliable vendors are of better quality then that obtained from the formal dairy
sector.

Figure: Relative shares of main milk marketing channels in formal and informal markets
in India

10

11

India is the lowest cost producer of per litre of milk in the world, at 27 cents, compared
with the U.S' 63 cents, and Japans $2.8 dollars. Besides this advantage,
the production of the milk is also increasing. These two advantages when combined give a
lot of attraction to the multinational companies to expand their activities in India. Some of
these milk producers have already obtained quality standard certificates from the authorities
which will help them in marketing their products in foreign countries in processed form.
Regional disparities in the production and consumption of milk and other dairy products is
also observed. This disparity is due to concentration of milk production in some pockets and

12

high cost of transportation. Besides this, the output of milk in cereal growing areas is much
higher than elsewhere which can be attributed to abundant availability of fodder, crop
residues, etc which have a high food value for milch animals.
Liquid milk comprises the largest single share of the dairy product consumption profile. The
share of fat-based products like ghee showed a declining share, and that of western products
like cheese and ice cream witnessed an increasing trend and is expected to increase further
due to changes in food habits, marketing strategies, income levels, changes in demographic
factors, etc. In India about 46 per cent of the total milk produced is consumed in liquid form
and 47 per cent is converted into traditional products like cottage butter, ghee, paneer,
khoya, curd, malai, etc. Only 7 per cent of the milk goes into the production of western
products like milk powders, processed butter and processed cheese. The remaining 54% is
utilized for conversion to milk products.
Several consumers in urban areas prefer to buy loose milk from vendors as they have a
strong perception that loose milk is fresh. Moreover, the current level of processing and
packaging capacity limits the availability of packaged milk. Presently only 12% of the milk
market is represented by packaged and branded pasteurized milk, valued at about Rs. 8,000
crores. On the other hand, the Quality of milk sold by unorganized sector is inconsistent and
the price across the season in local areas is also inconsistent. Sometimes these vendors add
water and caustic soda, which makes the milk unhygienic.
The urban market for milk products is expected to grow at an accelerated pace of around
33% per annum to around Rs.43,500 crores by the end of the year 2005. This growth will
result from the greater emphasis on the processed foods sector and also by increase in the
conversion of milk into milk products. By 2005, the value of Indian dairy produce is
expected to be Rs 10,00,000 million. Presently the market is valued at around Rs7,00,000mn
India's dairy market is multi-layered. It's shaped like a pyramid with the base made up of a
vast market for low-cost milk. The bulk of the demand for milk is among the poor in urban
areas whose individual requirement is small. But these small requirements when combined
together form a huge volume.

13

The milk farming in India is also evenly spread and accounts for nearly 40 per cent of
the overall farming household. Although, India has taken rapid strides in terms of production
but to sustain the growth process and to fulfill the vast potential, Indian milk products has to
prove themselves on the quality parameters. Unfortunately Indian dairy industry has
remained in the domain of the unorganized sector. Indian milk production is characterized
by millions of small and marginal farmers. It has been estimated that only 15-20 per cent of
the dairy activity is handled in an organized manner and nearly 80 per cent is in the domain
of informal/unorganized sector.

2.2PAST,PRESENT AND FUTURE TREND OF INDUSTRY DAIRY


PAST TREND
Milk producing animals have been domesticated for thousands of years. Initially, they
were part of the subsistence farming that nomads engaged in. As the community moved
about the country, their accompanied them. Protecting and feeding the animals were a big
part of the symbiotic relationship between
the animals and the herders.
In the more recent past, people in agricultural societies owned dairy animals that they
milked for domestic
and local (village) consumption, a typical example of a cottage industry. The animals might
serve multiple
purposes (for example, as a draught animal for pulling a plough as a youngster, and at the
end of its life as meat). In this case the animals were normally milked by hand and the herd
size was quite small, s that all of the animals could be milked in less than an hourabout 10
per milker. These tasks were performed by a dairymaid (dairywoman) or dairyman. The
word dairy harkens back to Middle English dayerie, deyerie, fromdey (female servant or
dairymaid) and further back to Old English dge (kneader of bread).
With industrialisation and urbanisation, the supply of milk became a commercial industry,
with specialised breeds of cattle being developed for dairy, as distinct from beef or draught
animals. Initially, more people were employed as milkers, but it soon turned to
mechanisation with machines designed to do the milking.
.
PRESENT TREND

14

Few of us are aware that India is the country that has the most cows (48 million) kept
for milk production purposes. The production of Indias cows is low (1,200 lbs per
year) but through improved husbandry there is great potential. Chinas rapid growth
as an importer of dry milk powders (whole and skimmed) is predicted to grow in 2013
by 12% and 18%. The USA in 2013 is exporting the equivalent of 15% of its annual
production where just a few years ago it was thought that USA milk prices were too
high for significant exportation to take place. USA cheese exports in 2013 will be
double the exports in 2008 and that will make it the largest single exporting country for
cheese. Cheese is the darling child of milk products when it comes to exports and EU
countries which export almost half of the cheese globally are looking for new
customers. To say the least, the world is hungry for dairy products. The demand for
dairy is expected to increase at a rate faster than the worlds population growth. (Read
more: Got Milk is becoming Got More and MILK MARKETING: How Got

FUTURE TREND

15

We have all seen the prediction that there will be 9 billion people by 2050. That is a
25% increase. If dairy is to fill more of the average global diet the world will need 30 to
35% more milk to be produced in 2050 than there is produced today. The rapidly
expanding middle classes in China and India will consume more milk products as will
consumers in Africa, SE Asia and Russia. At the processing industry level, expect new
products (including low lactose and ingredient enriched milk products) and more uses
for milk. At the farm level the rate of applying technology will be at an ever increasing
rate. But the dairy industry does not exist on a vacuum.

Over the past few years besides population growth and environmental concerns, the
major issue before all countries has been trade. (Read more: Why the Future of the
North American Dairy Industry Depends On Supply and Demand) Trade is important in
the EU which once had production quotas but where now farm prices are no longer
guaranteed and narrower on-farm margins are resulting in increased herd sizes in order
to efficiently apply technology and provide critical mass. In the future no country will be
an island onto itself when it comes to producing milk and trading in milk products.
Canadian dairy farmers are facing that matter after the Canada and the EU signed a
tentative trade agreement last week in which more EU cheese will have access to the
Canadian market. Read more: (Read more: Canada, EU close to sealing trade deal with
concessions on cheese, beef and Canadas dairy farmers angered and disappointed by
EU trade deal that would double cheese imports)

2.3MAJOR PLAYERS
Major Players
There are virtually 15 major Dairy Cooperative Federations in India, namely:
Andhra Pradesh Dairy Development Cooperative Federation Ltd (APDDCF)
Bihar State Cooperative Milk Producers' Federation Ltd (COMPFED)
Gujarat Cooperative Milk Marketing Federation Ltd (GCMMF)
Haryana Dairy Development Cooperative Federation Ltd. (HDDCF)
16

Himachal Pradesh State Cooperative Milk Producers' Federation Ltd (HPSCMPF)


Karnataka Cooperative Milk Producers' Federation Ltd (KMF)
Kerala State Cooperative Milk Marketing Federation Ltd (KCMMF)
Madhya Pradesh State Cooperative Dairy Federation Ltd (MPCDF)
Maharashtra Rajya Sahakari Maryadit Dugdh Mahasangh (Mahasangh)
Orissa State Cooperative Milk Producers' Federation Ltd (OMFED)
Pradeshik Cooperative Dairy Federation Ltd (UP) (PCDF)
Punjab State Cooperative Milk Producers' Federation Ltd (MILKFED)
Rajasthan Cooperative Dairy Federation Ltd (RCDF)
Tamilnadu Cooperative Milk Producers' Federation Ltd (TCMPF)
West Bengal Cooperative Milk Producers' Federation Ltd. (WBCMPF)
National Dairy Development Board (NDDB) is the central cooperative board of thecountry
and was created to promote, finance and support producer-owned andcontrolled
organizations mentioned above.
Two main players Amul of GCMMF and Mother Dairy of NDDB is the leading brand in
India. Our main focus s is to analyze the strategic move of NDDB for mother Dairy from top
to bottom. Thus we are going to concentrate on the progress of Mother Diary and NDDB for
their

17

CHAPTER-3
COMPANY
PROFILE

3.1COMPANY PROFILE
Mother Dairy is presently a leading marketer of the dairy products. Besides dairy products, it
also is a marketer of fruits and vegetables. Mother dairy (Delhi) was originally set up in

18

1974 under the Operation Flood Programme. But now it is a subsidiary of National Dairy
Development Board (NDDB). Some of the products that Mother Dairy deals in are:

Liquid milk

Ice creams

Flavoured milk and lassi

Dahi and Mishti Doi

Ghee, butter, cheese dairy whitener

UHT milk

Dhara range of edible oils

Safal range of fresh fruits and vegetables and fruit juices


It markets about 2.2 million litres of milk per day.
It sources its requirement of milk from the various dairy co operatives and its fruits and
vegetables requirement from the farmers association. Mother Dairy basically strives to
ensure that the milk producers and farmers regularly receive the market prices by offering
quality milk, milk products and other food products at competitive prices. Besides this, it
also has a share in contributing to the cause of oilseeds grower co operatives that
manufacture the Dhara range of edible oils.
Besides India, it is also involved in exporting its range of Dairy products to the various
international markets. Recently, products like the brands fruit pulp, pastes and purees have
collected immense positive demand in the international market. To prepare itself to cater to
the global market demands, the following steps have been undertaken by Mother Dairy:

Mother Dairy has set up a 100% export oriented unit with a capacity for processing
over 15000 metric tones of fresh produce annually.

A new state of the art plant with an installed capacity for processing 10 metric tones
of fruit per hour is being set up at Bangalore. The units are ISO 9001- 2000 and HACCP
certified.

It has established a marketing office in Rotterdam to ensure better satisfaction to its


international consumers.

19

Mother dairy has adapted process automation as far as processing of milk is


concerned so as to ensure high quality and reliability. It has been awarded the following
certifications:

ISO 9001:2000(Quality Management Systems)

HACCP 2002 RUA (Food Safety Management System)

ISO 14001:2004 (Environmental Management System)


Its Quality Assurance Laboratory is accredited as per ISO/IEC 17025:1999 by National
Accreditation Board for testing and calibration Laboratories, Department of Science and
Technology, Government of India.
Mother Dairy is able to command 40% market share in the organized sector in and around
Delhi because of the consistent quality and service which it is able to provide to its
consumers what ever be the situation like floods, transport strike, curfew etc. Mother Dairy,
Patparganj, Delhi, is presently manufacturing & selling around 8.5 lakh litres of tonned milk
through bulk vending shops.
After the success of Dairy industry, Fruit and Vegetable Project was established in Delhi in
1988 with Safal as its umbrella brand. NDDB merged Mother Dairy and the Fruit and
Vegetable project into a wholly owned company named Mother Dairy Fruit and Vegetable
Ltd(MDFVL) in April 2000 as its objective was to separate the commercial activities from
the developmental activities. This company became the holding company of Mother Dairy
India Ltd (MDIL) which was a marketing company and Mother Dairy Foods Processing Ltd
(MDFPL) which was a processing company.MDFPL is basically a multi unit company with
its units spread at various locations in India.
Mother Dairy has also adopted the concept of Total Productive Maintenance (TPM). The
results of the TPM efforts are

Quality improvement

Cost reduction

Reduction in accidents

Increase in MTBF

20

The process flow chart is given below:

(Source: Mother Diary Annual Report, 2006)


Figure: process flow chart of Mother Dairy
Mother Dairy aims to sustain the market leadership in the production and marketing of a
variety of milk products with assured quality and at an affordable price and ensuring
maximum coverage of the market segments.
"Positioning refers to how you want your brand thought about in connections with
competitors in its product category. It needs to be specific to your brand aimed at a
specific target audience." This definition clearly states the importance of Positioning for
the success of any brand. It is like that indispensable vitamin to the body without which
the body will collapse. So Positioning can make or break a brand. A clear Positioning
will always be one of the success factor. This is the place where Punch line comes into
act. If the brand needs to be positioned perfectly in the mind space of the customer, the
Punch line must be so accurate and appealing that it neither erases from the mind nor can
be replaced by any other competing brands Punch line, only then can it be considered
successful.
It really needs lots of strategies to build up an accurate and catchy Punch line to set the
Positioning of the brand in the mind space of the customer. The Punch line represents the
values of the company, benefits, attributes, features, quality, cost, special technology and
last but not the least the USP. Basically the Punch line is the voice of the brand, which
primarily gives out the minimum momentum, thrust or impetus to push the brand in the
mind of the customer.

21

Mother Dairy was set up in 1974 under the Operation Flood Programme. wned company of
the National Dairy Development Board (NDDB). Mother Dairy manufactures, markets &
sells milk and milk products under the Mother Dairy brand (Milk, Cultured Products, Ice,
Frozen Vegetables, Processed Fruit & Vegetable Products, Fruit Pulps & Concentrates in
bulk aseptic packaging and fruit juices at a national level through its sales and distribution
networks for marketing food items.

22

3.2 HISTORY OF MOTHER DIARY


Mother dairy was set up in 1974 under the operation flood programming. Itis know a wholly
owned company of the National Dairy Development Board(NDDB). Mother markets
and sells dairy products under the mother dairy brand like liquid milk, dahi, ice
cream, cheese and butter. It is one of the largest liquid plant in Asia.Completely
automate

all

function

of

the

milk

processing

area

highquality, reliability, and safety. Mother Dairy sources its entire requiremento f

ensures
liquid

m i l k f r o m d a i r y c o o p e r a t i v e s . S i m i l a r l y , M o t h e r D a i r y s o u r c e s fruits and
vegetables from farmers/growers associations.Mother Dairy markets approximately
2.8 million liters of milk daily in themarkets of Delhi, Mumbai, Saurashtra and
Hyderabad. Mother Dairy Milk has a market share of 66% in the branded sector
in Delhi where it sells 2.3million liters of milk daily and undertakes its marketing
operations througharound 14,000 retail outlets and 845 exclusive outlets of Mother Dairy

23

3.3 VISION, MISSION AND OBJECTIVE


VISION
Provide quality food and beverages to consumers at affordable prices while ensuring fair
returns to the producers.
MISSION
Mission - Mother Dairys heritage is intrinsically linked to the cooperative movement in
India. With determination & pride we will continue to serve our farmers, rural India & our
consumers. Our values reflect who we are & what we firmly believe in.

OBJECTIVES
We shall provide regular and timely supply of milk and milk products at
convenient distribution points under clean and hygienic conditions for different segments of
consumers. We shall provide remunerative returns to milk producers and other associates.
We shall promote innovations, continuous learning and improvement. Protecting the rural
marginal milk producing farmers from the exploitation of profit earning middlemen.
Helping them rear their cattle in hygienic conditions, thereby increasing production of milk.
To provide wholesome milk to the customers in Kolkata & Bengal at a reasonable price
throughout the year, right at their doorstep.

24

3.4PRODUCT AND SERVICE OFFERED


MILK

Token Milk

Premium Full Cream Milk


Full Cream Milk

Toned Milk

Standardized Milk

Skimmed Milk Cow Milk

Double Toned Milk

UHT Toned Milk

DAIRY PRODUCT

25

Plain Dahi

Probiotic Dahi

Mishti Doi

Sweet Lassi

Mango Lassi

Strawberry Lassi

Salted Lassi

Plain Chach

Tadka Chach

Mango

Strawberry

Chocolate

26

Kesar Eliachi

Coffee

Vanilla

Fresh Paneer

Butter

Cheese Slice

Cheese Cubes

Cheese Spread

Buffalo Ghee

Cow Ghee

Kathiawadi Ghee

Blueberry Yoghurt

27

FROOZEN FOOD

Frozen Peas

Frozen Corn

Frozen

Aloo

Frozen Mix Veg

Tikki

Corn Chatkara

GROSSERY PRODUCT

28

Gold Basmati Rice

Silver Basmati Rice Classic Rice

Parmal Rice

3.4 FUTURE PLAN


According to organisation's dairy division head Squashes, there will be a manufacturing
base in the south by the end of this year. However, it is yet to be decided whether the Rs
5,300-crore Mother Dairy will have its own production facility or have a tie-up with a
third party in this regard.
Basu told Business Standard that Mother Dairy was expanding its ice-cream market and
would be completing its national footprint in 2013-14. "Thereafter, in about two years'
time, we expect to occupy the top position in the estimated Rs 1,800-crore ice-cream and
frozen desserts market in the country."
At present, with an annual turnover of Rs 300 crore, Mother Dairy stands third in terms of
market share. Ice-cream accounts for over 40% of its Rs 700-crore dairy products
(excluding liquid milk) turnoverBasu said Mother Dairy, whichlauncheitsentire range of
ice-creams in Hyderabad on Friday, would be foraying into Chennai in a couple months
and subsequently to Patna and Ahmedabad. "We are focusing on the top 20 cities in the
country.
So
far,
we
have
reached
12-13
cities,"
he
said.
Mother Dairy is expecting to corner 10% of an estimate Rs 130 crore ice -cream market
in Andhra Pradesh over a period of one year. "With a growth rate of 80% a year, we are
the fastest growing brand in Mumbai," Basu said emphasising how Mother Dairy would
be able to secure one-tenth of the AP's ice-cream market in just one year.
Commissioned in December 1974, Mother Dairy today is a market leader in the branded
milk segment in Delhi where it sells close to 3 million litres a day. Besides dairy

29

products, it sells frozen foods and juices under the brand name 'Safal' and 'Dhara' brand
edible oil.

30

3.5 ORGANISATION STRUCTURE

Source: https://www.justpeaceint.org/

31

CHAPTER 4
JOB DESCRIPTION

32

4.1 JOB DESCRIPTION STATEMENT


Job Title Summer Trainee
Job location- Patparganj
Department - Marketing
Immediate supervisor MR. MUKESH ROY

Job Purpose - Analyzing consumer satisfaction andmarketing strstergy of Mother


diary.

Relation to other jobs The job is closely related to consumer & marketing
strategies of the Mother Dairy

Nature of Supervision Flexible but intensive and continues.

Working Environment The trainees were allowed to work from within the office
and to use the resources of the company. The working environment was very comfortable
and congenial.

Nature of supervision- intensive, close but flexible monitoring approach adopted for
the trainees and trainees must be treated with upmost patience.

33

4.2 JOB PROFILE


I worked in marketing department of Mother diary.I have done all these research
during my job
.Prepare reports of findings, illustrating data graphically and translating
complex findings into written text.
Devise and evaluate methods and procedures for collecting data (such as
surveys, opinion polls, or questionnaires), or arrange to obtain existing
data.
Measure and assess customer and employee satisfaction.
Collect and analyze data on customer demographics, preferences, needs,
and buying habits to identify potential markets and factors affecting
product demand.

34

4.3 WEEK TO WEEK EXPERIENCE


we were told to perform some on the job activities and contact more consumer.The job
involved assisting and coordinating with our potential customer in maintaining Collect
and analyze data on customer demographics, preferences, needs, and buying habits to
identify potential markets , Prepare reports of findings and as a part of summer training
we were also supposed to research by questioning the customers about their satisfaction
level pertaining towards the products and services.
WEEK 1
This was our first week in the organization as a employee and was named the orientation
week. In this week we were given an overview about the company and we were
introduced to its rules and regulation and we were also told about the job performed and
duties of different sections of the marketing department.
The experience of acquiring information about the various sections and the work done in
these sections of such a large and reputed company was a great experience.
WEEK 2 & 3
These weeks also played important roles in our summer training period as during these
weeks we were assigned the jobs to be done by us under the supervision of our supervisor
in which we were given the task of (Forecast and track marketing and sales trends,
analyzing collected data.). We were given the job to be done independently and were held
responsibilities.
WEEK 4
This week was even more enriching as we were told to conduct a research amongst 50
customers who are the customers of Mother diary in context with our summer training
report.
This was done with the help of a sample questionnaire having variety of questions
pertaining to different areas related to the satisfaction of customer related to the
companys product and services . This was a great experience as the knowledge gained by
talking to different people with different mindsets.

In the last weeks of summer training we were provided with the information and help to
complete our summer training report along with the knowledge of how the work is

35

conducted in the marketing department with special reference to customer satisfaction at


Mother diary product.

4.4 Target Assigned


During my Training Period, I had given the target of 100 customers and I have to find out
the satisfaction level of the customers about the marketing strategies and product of the
company.

4.5 Area Assigned


During Summer Training Period, I covered the areas of Laxmi Nagar, Karkardooma,
Pandav Nagar.

36

DATA ANALYSIS

37

Sampling:Sampling Unit:Respondents of EAST DELHI who Drink mother dairy milk


Employees for analyzing the marketing strategies

SAMPLE SIZE AND SAMPLING TECHNIQUE:The sample size of 100 respondents was taken for the current study. The sampling
technique used for the study was convenience sampling, wherein the population elements
are selected for inclusion in the sample based on the convenience of researcher

DATA COLLECTION:Primary data with the help of Questionnaires.

38

Q1. STORES ARE CONVENIENTLY LOCATED:-

Stores Are Conveniently Located


30
25
20

r
e
b
m
u
N

15
10
5
0
Strongly Agree

Agree

Disagree

Strongly
Disagree

Figure: stores are conveniently located

INTERPRETATION
The first question in the questionnaire was to know about the satisfaction level of the
consumers as regard to the convenience of location of the Mother Dairy outlets.
When asked about the location of the Mother Dairy stores, 14 people out of 55 sample
size had a view that the stores are conveniently located and they find it easy to reach the
stores. The next 27 people were equally happy with the store location. But 13 people out
of the sample size didnt agree that the stores are conveniently located and they find it
hard to get to the stores.

Q2. STORE HOURS ARE CONVENIENT FOR YOUR SHOPPING NEEDS

39

Store Hours
30
25
20

r
e
b
m
u
N

15
10
5
0
Strongly Agree

Agree

Disagree

Strongly
Disagree

Figure 9: Store hours

INTERPRETATION
The second question included in the survey was to gather information whether the store
hours were convenient for the consumers to shop or not. The Mother Dairy Store timings
are from 5 a.m. to 11 a.m. and than from 4 p.m. to 7 p.m.
When asked from the customers about the store timings, 14 people out of 55 strongly
believed that the store timings are absolutely fine. 26 had a view that store timings are
matching there needs. While 8 people out of the sample size were not happy and 7 were
strongly against the statement of the convenience of store timings.

40

Q3. STORE ATMOSPHERE AND DECOR ARE CLEAN AND HYGIENIC

Store Atmosphere & Decor


30
25
20

r
e
b
m
u
N

15
10
5
0
Strongly Agree

Agree

Disagree

Strongly
Disagree

Figure 10: Store atmosphere and decor

INTERPRETATION
The next question was framed to know about the consumers perception about the
cleanliness and hygienic atmosphere in the Mother Dairy outlet.
The store atmosphere and dcor which attracts the customers towards it is found strong in
case of mother dairy. 14 people out of 55 sample size strongly agree that the atmosphere
and dcor of the mother dairy stores are good. While 27 people agree that the atmosphere
and dcor attracts the people towards its stores. However 25% of the sample size didnt
agree on the cleanliness and hygienic condition of the store. They were not satisfied with
the store atmosphere and dcor.

41

Q4. A GOOD SELECTION OF DAIRY PRODUCTS IS ALWAYS PRESENT

Good Selection of Dairy Products


35
30
25

r
e
b
m
u
N

20
15
10
5
0
Strongly Agree

Agree

Disagree

Strongly Disagree

Figure 11: Good selection of Dairy products

INTERPRETATION
The respondents were asked to tell their opinion about the range of dairy products which
were offered in the store. This question would provide immense help in deciding whether
the company has appropriate product portfolio or not.
5 people strongly believed that there is always good selection of dairy products present in
the outlet. While 31 respondents had a good experience regarding the products present in
the store. However 19 consumers didnt find a good range of dairy products present in the
store and 9 consumers were not at all satisfied with the present product range available.
This showed that the company had to go a long way in increasing its products range so as
to have a larger market share.

42

Q5. THE MOTHER DAIRY BOOTH HAS THE LOWEST PRICES IN THE
AREA

Lowest Prices in the area


30
25
20

r
e
b
m
u
n

15
10
5
0
Strongly Agree

Agree

Disagree

Strongly Disagree

Figure 12: Lowest prices in the area

INTERPRETATION
This question was asked to the respondents to know about their perception about the
prices of the Mother Dairy products in relation to its competitors. The response was not
very good in terms that the satisfaction level of consumers as far as the prices were
concerned was not very satisfactory. Around 15 respondents believed that the prices of its
products were lowest in the area, but the majority of them had an opinion that its prices
were not the lowest.
6. DAIRY PRODUCTS SOLD WERE OF HIGHEST QUALITY

43

Highest Quality
35
30
25

r
e
b
m
u
N

20
15
10
5
0
Strongly Agree

Agree

Disagree

Strongly Disagree

Figure 13: Highest quality

INTERPRETATION
The sixth question was framed to know about the consumers perception about the quality
of the Mother Dairy products. Around 12 consumers were highly satisfied as far as the
quality of its products was concerned. 32 out of 55 sample size were of the opinion that
the quality of the products was good and acceptable. However 20% of the sample size
was not satisfied about the quality of the mother dairy products.

44

Q7. THE DAIRY PRODUCTS SOLD WERE OF GOOD VALUE FOR MONEY

Good Value for Money


30
25
20

r
e
b
m
u
N

15
10
5
0
Strongly Agree

Agree

Disagree

Strongly Disagree

Figure 14: Good value for money

INTERPRETATION
When the respondents were asked about whether they were considered the dairy products
sold in the Mother Dairy outlet as good value for money or not. 12 consumers were very
happy and considered it to be a good value for money. While 28 out of the sample size
were also satisfied. However 12 people were not considering it to be good value for
money, and 4 people were strongly against this statement.

45

Q8. THE DAIRY PRODUCTS DISPLAY IS ATTRACTIVE

Attractiveness
30
25
20

r
e
b
m
u
N

15
10
5
0
Strongly Agree

Agree

Disagree

Strongly Disagree

Figure 15: Attractiveness

INTERPRETATION
The response which was received when the respondents were asked about the
attractiveness of the Mother Dairy stores was disheartening. 21 people were bit satisfied
with the display of the products, but a majority of the people were not satisfied.

46

Q9. OVERALL SATISFACTION WITH THE MOTHER DAIRY

Overall Satisfaction
35
30
25

r
e
b
m
u
N

20
15
10
5
0
Strongly Agree

Agree

Disagree

Strongly Disagree

Figure 16: Overall satisfaction

INTERPRETATION
The respondents were then asked about their satisfaction about the overall aspects of
Mother Dairy outlet. The response which was found was in favour of Mother dairy.
Around 9 people were very happy and satisfied with the overall performance of Mother
dairy, while 29 respondents had the perception that the mother dairy provided them with
satisfactory aspects. However 11 respondents were not very happy with the mother dairy
aspects and 6 people were not at all satisfied with Mother Dairy.

47

10. THE DAIRY PRODUCTS COMES IN APPROPRIATE PACK SIZES

Figure 17: Appropriate packing size

INTERPRETATION
The respondents were asked whether they considered that the dairy products offered by
the Mother Dairy comes in appropriate pack sizes or not. This was asked to know about
how successful the strategies adopted by the company have been. 12 people considered
that the products come in appropriate pack sizes and 27 were also pretty satisfied about
the pack sizes. On the other hand 11 people out of the total sample size were not happy
about the pack sizes and 5 people were highly dissatisfied with the pack sizes in which
the products were offered.

48

Q11. WHERE DO YOU REGULARLY BUY MILK FROM?

Daily Milk Purchase


35
30
25

r
e
b
m
u
N

20
15
10
5
0
Mother Dairy

DMS booth

Polypacks from
grocer

Milkman

Figure 18: Daily milk purchase

INTERPRETATION
The respondents were then asked as to where from they used to buy milk regularly. They
were given four options to this question i.e. Mother Dairy, DMS booth, Polypacks from
grocer and milkman. This question would help in knowing as to which among the options
given were providing the maximum satisfaction to the consumers.
31 out of the total sample size preferred Mother Dairy over the other options. 17
of them preferred to buy milk from the polypacks from grocers and 7 people bought milk
from the milkman.

49

Q12. HOW OFTEN DO YOU VISIT YOUR NEARBY MOTHER DAIRY


OUTLET?

Visit to the Outlet


40
35
30
25

r
e
b
m
u
N

20
15
10
5
0
Once in a week

3-4 times in a week

Monthly

Figure 19: Visit to the outlet

INTERPRETATION
The respondents were then asked as to how frequently they visit the nearby Mother Dairy
outlet .the response showed that the consumers used to visit the outlet frequently as 37 of
them went 3 to 4 times in a week and 18 people visited it once in a week.

50

In the present globally competitive environment, a consumer has a lot many


alternatives available to choose from, for each of the product. This makes the consumers
position stronger. All the activities undertaken are consumer focused. Hence the
perception of the consumers about the brand is an important factor which needs to be
analyzed properly. Any gap between the expected level of consumer satisfaction and the
actual level of consumer satisfaction needs to be bridged. Hence appropriate and the most
suitable marketing strategies need to be adopted by the company to remain successful in
the long run.
This questionnaire was constructed to know about the current satisfaction level of the
consumers with regard to the Mother Dairy brand. A few important findings were found
which needs special mention.
When the respondents were asked whether the Mother Dairy outlet has the lowest prices
in the area or not, the majority of them were of the opinion that it was not offering the
lowest price. On the other hand, when the respondents were asked about the quality of the
Mother Dairy products, the majority of the response was in favour that the Mother Dairy
provided products with highest quality. Similarly, a majority of the respondents also
agreed upon the fact that the Mother Dairy products sold were of good value for money.
These responses when analyzed together explained that although the consumers were not
considering the products to be of lowest price, this perception didnt act as a barrier in
their decision to purchase the Mother Dairy products. In reality, the purchase decision
was based after analyzing the price, quality and determining the consumer perception
about the value for money spent on the product simultaneously.
The analysis of the responses also brought into light the fact that the dairy products
display was not found attractive by the consumers. Hence it order to restrain its existing
consumer from going to its competitors, the company should take up appropriate
strategies to improve on its display of the products.
It was found that the overall satisfaction of the consumers from the Mother Dairy
products was quite satisfactory. The satisfaction level of the consumers in respect of the
range of dairy products which Mother Dairy offered and the pack sizes of the products
were quite acceptable. This brought into light the fact that the marketing strategies
adopted by the brand have been quite successful in contributing towards the share in the
51

market. For instance the small pack size strategy adopted for Safal fruit juices has
resulted into increase in its share to contribution of the brand.
It has been found that the majority of the consumers from the sample size visit the outlet
at least 3 to 4 times in a week. This can be linked with the satisfaction of the consumers
as to the products offered by the Mother Dairy. This shows that the marketing strategy
adopted by it in order to the expansion of the product portfolio and brand extension has
resulted in fruitful results. For instance, the company entered the snacks segment by
launching its sub brand Hot Snax which included products like French fries and Aloo
Burger Patty.

52

FINDINGS OF THE MARKETING STRATEGIES


1. INTERVIEW WITH THE MOTHER DAIRY MARKETING EXECUTIVES
The brand managers of Mother Dairy are interacted with. This is done as these people
have a better insight and knowledge about the strategies and other operational workings
of Mother Dairy, and this could be of great help while doing the analysis. The interaction
was done on the following areas:
An insight over the Mother Dairy brand.
How do they position their brand?
What is the meaning of the Mother Dairy brand which they want the consumers to
understand?
The various strategies adopted by the Mother Dairy and an insight of these strategies.
The findings from the interaction done with the brand manager are explained below:

53

CHAPTER 5
FINDINGS &
RECOMMENDATIONS

54

FINDINGS
The project was carried out with the objective of having a clear understanding about the
marketing strategies in the Indian Dairy sector, by keeping the focus of the study in
respect of the Mother Dairy marketing strategies. It included the process of carrying out
both the primary and the secondary research activities. It can be said that all these
research has lead in finding a lot of important points in respect of the marketing strategies
adopted by Mother Dairy. A few recommendations have also been suggested in the
project.
The importance of the market value and the strategies adopted to enhance the brand value
has been well understood. It is seen that the philosophy behind the marketing strategy of
Mother Dairy has been to develop the brand so as to attract and retain the consumers. The
marketing strategies adopted have resulted in building a sustainable and differential
advantage over its competitors for the brand. The marketing strategies act as a tool to
develop and sustain the appeal of brands in the eyes of the consumers.
Throughout the process of analysis of the thesis, it is observed that the marketing strategy
of dairy sector has been focusing mainly on two aspects:

Focusing on the strong brands

Product mix expansion

Mother Dairy is supporting its aggressive brand expansion and strengthening plan with
various innovative marketing strategies.
This is done in the light of the fact that the marketing trends are showing a change. It is
shifting from generic products to packaged brands.
One important feature observed is that the dairy sector has adopted different marketing
strategies for each of the two i.e. organized and unorganized market of the Indian Dairy
sector. This has been done in order to suffice the requirements of all the potential
consumers of the dairy products. Such a strategy is very important as today the consumers
hold a stronger position.
The research also brought into notice the fact that the marketing strategies were more
successful whose benefits equaled the needs of the consumers. The success of the mass
Indian flavors in ice cream is one such strategy.

55

However, the company should not blindly follow the strategy of value additions and
expanding the product portfolio. It should first ensure that those new
products will have high acceptance among the consumers. It should be
involved in the product portfolio only after it passes the evaluation
process.

RECOMMENDATIONS
After having a look at the findings of the primary and secondary research conducted, it
was found that there are some opportunities which are still lying untapped. If these could
be taken care of, then Mother dairy brand will be benefited. These points are explained
below. The suggestions given below consist of two parts: one is for the overall dairy
sector in India and another for the Mother Dairy brand specifically. This is done as it was
considered that if the barriers present in the dairy sector were removed, it will in turn be
fruitful for the Mother Dairy brand.

56

57

CHAPTER-6
DIFFICULTIES FACED
AND MAJOR
LIMITATIONS

58

6.1 LIMITATIONS
The followings are the limitations faced by me during the entire task

Some customer was not willing to give proper response.

Due to very large size of population, only a selected number of customer could be
contacted.

Some of respondents were not co-operative they did not provide some of the
details.

Language barrier was also one of the main reasons.

As per company rule many of the information was not disclose as the manager was
busy in their daily schedule. It was not possible for us to spend more time in
interaction with them.

Personal biases might have come while answer the question.

59

CHAPTER-7
CONCLUSION AND
SUGGESTION

60

SUGGESTIONS FOR MOTHER DAIRY


1.

Before finalizing any new strategy and adopting it in the companys activities, it is

important to find out as to how the consumer will benefit. It has to be seen that it suffices
the needs of the consumers, and there remains no gap between what the consumers expect
and what the consumers are actually receiving. This would ensure that the efforts of the
company remain fruitful. For instance, we can consider the failure of the strategy of
coming out with the UHT milk. It was not very successful as in reality; it was not in terms
with the consumers perception.
2.

It has been analyzed that the company is taking adequate steps for its brand
expansion and is trying to come out with new value additions in its product
portfolio. For example, Mother Dairy entered the snacks category by establishing
its sub brand Hot Snax which had products like French fries and Aloo Burger
patty. This has been a good technique.
In order to further take advantage of this strategy, it needs to find out more such
untapped opportunities. One such area is Indian sweets category. It is generally
seen that people in all parts of India prefers to includes sweetdish in at least one of
their meals. Hence Mother Dairy should create a new umbrella brand which
includes a range of ethnic Indian sweets. Besides this, good scope also exists for
products like puddings, custards and sauces.

3.

The company should not hesitate in spending money on advertising and marketing
activities. It should be considered as an investment for the promotion of the brand.
This is so because it is through advertising and marketing activities that the brand
is exposed to the potential consumers.
While doing the primary research, it was found that few advertisements of the
brand had better outcomes than the others. Hence the ads which didnt receive the
desired response from the target audience should be revised and reframed so that
it gives fruitful results.

4.

Steps should also be taken to constantly review the appeal of the various sub
brands and the main brand of the company so that it remains relevant and fits the
requirements of the current environment.

61

5.

It was found that mother dairy is targeting to increase its exports baskets to worth
Rs 50 crore by this year. It has started exporting tropical fruits and frozen
vegetables to foreign countries. But, to increase its export baskets, Mother Dairy
needs to have better operational efficiencies. These would help in improving
yields, reducing wastes, thereby controlling the production costs. It should also
adopt better manufacturing practices so that the milk manufactured confirms to
the international standards and makes the export competitive.

6.

Another important opportunity which could benefit the company is the efforts to
increase the shelf life of the products. This could be done by adopting such latest
packaging technology that also leads to retaining the nutritive value of the
packaged product.

7.

The company should strive to increase its operation and try to cover a major par of
the country. It should arrange for better storage and transportation facilities.
Hence cold chain needs to be strengthened so that it becomes a competitive edge
for the brand.

8.

Since the company has been formed as a co operative and not a corporate, it
should also keep in mind that a majority of the population should be benefited.
For example, it is believed that pollution to the environment because of food chain
is a major concern for the country. Hence steps should be taken to protect the
environment and ensure maximum energy efficiency in the activities. For
instance, Mother Dairy plant in Gandhinagar is Indias first environmental dairy
plant. It should further take up on such efforts.

9.

It has been discovered that till now no dairy product company has come out with
the concept of home delivery of their products. The company should evaluate
the success of this opportunity and hence include it in its strategy so as to increase
its market share. This would also be helpful in increasing the brand awareness and
visibility among the target audience.

10.

It is found that the Dhara brand is looking at the strengthening the brand
presence. The company should take steps to promote it.
62

11.

While analyzing the facts of the primary research, it was discovered that Mother
Dairy has limited strategies for the organized sector and for it, the company
basically focus on aspects like the colour used in display, highlight, and shelf level
of the product. Another strategy which could be adopted is an aggressive
promotional campaign to make the brand presence stronger.

SUGGESTIONS FOR INDIAN DAIRY SECTOR


1.

The Indian dairy sector is facing trouble because of the distortions seen in the
dairy sector and the unsuitable government policies. For example, the developed
countries follow a policy of massive export subsidies and domestic production
incentives. On the other hand, Indian dairy sector enjoys no export subsidies or
domestic support. This results in making the developed nations to maximize
returns to their dairy farmers while insulating them from the global markets.
Hence the Indian dairy sector is affected adversely.
Hence steps should be taken by the government to frame such policies which
benefit the Indian farmers and strengthen the backbone of the Indian dairy
development.

2.

Steps should be taken to raise the quality of the dairy products so that it meets the
international standards in order to have a huge export basket. Another option
could be to enter into some kind of alliances with the other major dairy nations. It
will also help in bringing in new technologies which could result in increasing the
total market share.

3.

More scientific management of dairy animals is required in terms of breeding,


feeding, health care needs. There is need to restructure the livestock health
services.

4.

Better infrastructure needs to be created so that the inputs procurement and


marketing of production process is carried out smoothly.

63

ANNEXURES

64

QUESTIONNAIRE:

Name :

__________ _

Age :

____________

Contact no : ____________

The following questions evaluate your views of the Mother Dairy outlet you visited.
Please indicate your opinions about each of the following statements.
Strongly

Agree

Disagree

Agree

1. Stores are conveniently located.

Strongly
Disagree

2. Store hours are convenient for your


shopping needs.
3. Store atmosphere and decor are
Clean and hygienic.
4. A good selection of Dairy products is
always present.
5. The mother dairy booth has the lowest
prices in the area.
6. The dairy Products sold are of the highest
quality.

8. The Dairy Products displays are attractive.

9. Overall, I am very satisfied with the store.

7. The Dairy Products sold are a good value


for the money.

65

10. The dairy products comes in appropriate

Pack sizes.
11. Where

do you regularly buy milk from?

Mother Dairy

DMS booth

Polypacks from grocer

Milkman

Elsewhere

12. How often do you visit your nearby Mother Dairy outlet? (put a tick mark)
a. Once in a week
b. 3-4 times in a week

66