PREFACE

For management careers, it is very important to develop managerial skills .In order
to achieve positive and concrete results, along with theoretical concepts, the
exposure of real life situation existing in a corporate world is very much needed.
Therefore, it becomes necessary to undergo any project work. Practical supplement
the theoretical studies i.e; it covers what is left uncovered in classroom It exposes a
student to invaluable treasure of experience.

I underwent summer training in VERKA MILK PLANT, located in Bathinda . It

was my fortune to get training in a very healthy company. I got great opportunity
to view the overall working of the organization. In the forthcoming pages, I have
attempted to present a report covering different aspects of my training.
 EXECUTIVE SUMMARY

Customers today are more informed and more demanding than ever. They
know quality service when they get it and they aren’t afraid of taking their business
elsewhere if they don’t get it. Most manufacturers have taken this fact to heart
because a refusal to acknowledge this reality can spell - failure - rejection by the
one who holds the purse strings and the key to profits.

Satisfaction of customer needs, in fact, provides a rationale for the firm’s

existence. Therefore consumer behavior lies at the heart of modern marketing and
its knowledge is vital for a firm’s existence, growth and success. An understanding
of the motives underlying the consumer behavior helps a firm to seek better and
more effective ways to satisfy consumers.

Consumer behavior, however, is a complex system where there is an

interaction of various social, economic and psychological factors. All these factors
affect the purchase decision of the buyer and his perception about different
products. Buying decision process incorporates all the activities that individuals go
through in their role as consumers. It starts right from the time when there is a state
of deprivation (need arousal) and goes through a point when a means of need
satisfaction has been obtained. It ends at a juncture when the product has been used
for a sufficiently long period of time to judge the level of satisfaction (post -
purchase evaluation). Satisfaction is the key to generate repeat business. It ensures
customerloyalty and determines whether a customer would come to the company
again.
TABLE OF CONTENTS

Chapter No. Contents Page No.

1. Introduction 8-37

1.1 Industry profile (Milkfed) 8-14

1.4 Company Profile (Verka Bathinda )

15-37
2. Review of literature 38-41
3. Research Methodology 42-48
4. Data analysis & Interpretations 49-61

5. Conclusion 62-63
6. SWOT Analysis 64-66
7. Suggestions and recommendations 67-71
8. Bibliography 72-73
9. Annexure 74-78
 CHAPTER NO. 1

INTRODUCTION

1.1 MILKFED-PUNJAB
(Introduction)

The Punjab State Cooperative Milk Producers’ Federation Limited popularly

known as MILKFED Punjab, came into existence in 1973 with a twin objective of
providing remunerative milk market to the Milk Producers in the State by value
addition and marketing of produce on one hand and to provide technical inputs to
the milk producers for enhancement of milk production on the other hand.

Although the federation was registered much earlier, but it came to real self in the
year 1983 when all the milk plants of the Punjab Dairy Development Corporation
Limited were handed over to Cooperative sector and the entire State was covered
under Operation Flood to give the farmers a better deal and our valued customers
better products. Today, when we look back, we think we have fulfilled the promise
to some extent. The setup of the organization is a three tier system, Milk Producers
Cooperative Societies at the village level, Milk Unions at District level and
Federation as an Apex Body at State level. MILKFED Punjab has continuously
advanced towards its coveted objectives well defined in its byelaws.

First verka Milk Plant of the State was setup near the Amritsar.The brand
name of Milk and Milk Products was adopted as verka.Commissioning of the
Plant was done by Dairy DevelopmentCorporation in 1974.

OBJECTIVES OF MILKFED
1. To provide remunerative prices to milk producers by value addition and
marketing of produce.

2. To provide technical inputs for enhancement of milk production on the other

hand.

3. To carry out activities for promoting production, procurement processing and

marketing of milk and milk products for economic development of the farming
community.

4. To purchase and/or erect buildings, plants, machinery and other ancillary

equipment to carry out business.

5. To study problems of mutual interest related to production,  procurement and

marketing of dairy and allied products.

6. To establish research and quality control laboratories.

7. To make necessary arrangements for transfer of milk allied milk products and
commodities.

8. To market its products under its own trade name/brand name with its Member
Union’s trade mark/brand.

9. To promote the organization of primary societies and assist members in

organization of the Primary Societies.

ACHIEVEMENTS OF MILKFEED
On the basis of quality with efficient administration, MILKFED has not only
established new mile stone of providing services to Dairy farmers but scaled new
heights in delighting esteemed customers also.

1. MILKFED is providing technical input services like animal healthcare, supply

of quality cattlefeed, fodder seeds etc. at the door steps of the dairy farmers under
its Productivity Enhancement Programme.

2. For producing quality technical services MILKFED has established its own two
cattle feed plants having capacity of three hundred metric ton per day.

3. During the last 3 years, 8 Milk Plants and 2 Cattle Feed Factories of MILKFED,
Punjab were accedited with ISO9002 and IS-15000 (HACCP) Certification.

4. In view of today's interest of consumers in getting quality and safe products,

MILKFED is manufacturing quality milk and milk products as per International
Standards and also exploring the possibility of manufacturing milk products of
consumer's choice.

5. MILKFED has launched its own interactive Website on Internet for its
prospective customers which can be accessed by clicking http//www.milkfed.nic.in

6. MILKFED introduced liquid milk in new design packing with Mnemonic

Symbol of Co-operative Milk in all the District Milk Unions.
CRITICAL ANALYSIS OF MILKFEED

Corporate Focus

MILKFED is serving the cause of Milk producers of the state in collaboration with
National Dairy Development Board by increasing the number of functional MPCSs
from 4642 in 1990-91 to 6248 in 2000-01 and their membership rose by 90000
from 2.63lac in 1991 to 3.53lac during the same period. This has resulted in
increase of milk procurement from 1438lac in 1991 to 3371lac liter in 2000-01.
However, rehabilitation plan of sick Milk unions has yet to reach the
implementation stage.

Strength/Care Competency/Opportunities:

MILKFED earned a net profit of Rs.3.19crore in 2000-01. Its core competency in

marketing of Milk &Milk products by creating a marketing infrastructure is
serving a social purpose by providing income to land-less laborers small and
marginal farmers scheduled caste families and households headed by women
having just one or two cattle only as nearly 90% of the member of Milk producer’s
Cooperative Societies belong to these categories

(Annexure 20) “Operation Flood” programmed of dairy development is

implemented by it in the state.

MILK VISION 2004 to stabilize the gap between Milk procured during peak
seasons and lean season has been drawn by MILKFED to optimally utilize Milk
plants for reducing their losses. Moreover, Model diary farms in collaboration with
Technology information and Assessment Council (TIFAC) are being developed by
it at a capital outlay of Rs.2.00crore.
Restructuring/revival

Export Ropar and Ludhiana Milk unions the remaining 9 unions are incurring
losses. Their combined accumulated looses are Rs.76.33crore as on 31-03-2001.
This way, cooperative Milk union’s structure of MILKFED is losing its
commercial viability over the last two years by restricting itself to the sale of Milk
and Milk products only and not exploiting its well developed procurement sale and
supply distribution channels to market fresh vegetables and fruits along with
processing and procurement of oil seeds. To make these plants viable and socially
sustainable the introduction of latest technology in Milk; plants and full
exploitation of its marketing strength in procurement and marketing network is the
need of the hour. MILKFED is a vital mechanism for more them one reason in the
Punjab context. First and foremost it is engaged in raising the viability of
Agriculture of the small/marginal farmers. Landless labors, families with no male
earners and the scheduled castes. It is therefore of utmost importance that the
Government of Punjab make its due contribution for the purpose of leveraging
finances or the National Dairy Development Board and other cooperative
institutions. Infect, If necessary Government should get District Milk Union
Cooperative so that hitherto slow extension is intensified and the maximum
potential for cost reduction is achieved. The other important reason for
Government to support this activity even by subsides to induce a shift out of the
paddy- wheat rotation by encouraging the cultivation of better seeds vegetable,
Fruits and eventually oil seeds and meat products.

1.2 COMPANY PROFILE (VERKA BATHINDA )

GENERAL FEATURES OF MILK PLANT BATHINDA

NAME: Verka Milk Plant.

ADDRESS: Verka Milk Plant Bathinda Punjab

RAW MATERIAL: Milk.

PRODUCTS: Pasteurized milk, Special kheer, Ghee,

Curd, Cheese, Milk Cake, Sweet flavored milk,

WORKING HOURS: 24 hours (3 shifts).

TOTAL WORKERS: 163.

Capacity 1 Lakh Ltrs per day.

PROFILE OF THE UNIT

The elegant building situated on the National Highway No. 21 just before we enter
in Chandigarh from Punjab is that of Milk Plant owned by The Bathinda District
Co-operative Milk Producers Union Ltd. Its foundation stone was laid by India’s
Home Minister Mrs. Uma Shanker Dixit in 1973. It started its production in 1979.
Its name was registered as “The Bathinda Distt. Co-operative Milk Producers
Union Ltd. Bathinda ”. It has been registered under Punjab Co-operative Societies
Act 1961 on 24 March 1973. This union started its milk procurement from March
1974.

The union is working under the laws of act. In the beginning 13 societies became
its members. But this union started as milk procurement from 1974. Initially its
office was situated on the upper side of co-operative bank of Bathinda . At that
time Milk Plant was not properly made. Initially the societies of nearest circle were
started, after this it was expanded and centers were approved at other places. At
that time this union collects milk from other societies and to Horlicks. Before it,
except Horlicks there was no major buyer of milk and Horlicks was a private
concern giving low rates.

After that the union was strengthened and milk producers got benefited by this
union as they were getting reasonable rates for their from. A project report of Milk
Plant Bathinda was made at that time with shares from different societies were to
be collected and it includes Rs 100 share money and Rs 5 admission fees, 15 lack
Rs were to be collected and in this manner and the share of government was fixed
at Rs 40 lack.For the smooth running of the plant, the union had taken loan of
worth Rs 62 lack from Co-operative Development Corporation. By this loan a milk
plant was established. It started milk of 45000 liters per day in December 1979
further it was expanded with the help of National Diary Development Board at
ANAND under the “Operation Flood” programmed. After few years a drier was
installed with a capacity of 10 tones. For the purchase of this machinery 70% of
loan was taken from NDDB and 30% loan from government in the form of
subsidy. The total investment in the plant was 6.5 crores.

GEOGRAPHICAL LOCATION OF MILKPLANT

Milk Plant Bathinda is located in District Ropar of Punjab. It is located on
the National Highway No. 21 joining Chandigarh with Ropar, Jalandhar and
Amritsar. It is situated in Phase-VI of Industrial Area, Bathinda at a distance
of about 8 km. from Chandigarh.

Milk Plant and its surroundings is an Industrial Trade Centre. This plant is
situated next to “Raja Ram Com Products” and on opposite side of
“PUNWIRE”. There is a seasonal river in north-west side of the plant and in
west side is located a village Balongi. There is a great advantage as it is
directly connected with National Highway which is facilitating all
transportation and allied activities.

LOCATION AND LAYOUT

In the milk plant there are hard receiving departments: Production and
Engineering. The location of the stores department is carefully planned out and it is
housed in a position which is very near to production department so that
transportation charges are minimum. It is also easily accessible to all other
departments like engineering, boiling, refrigeration, powder plant and workshop.

The layouts of plants store is properly planned. There are shelves, racks, admirals
and handling devices for keeping the material and equipments properly. The store
is divided into racks which are further sub-divided into small spaces allocated.
Special attention is paid to storage of material which is liable to leakage or
evaporation and deterioration.

SELECTION OF ROUTES:

Routes are selected for the delivery of kheer through these societies. Shortest milk
routes are preferable so that kheer reach to target market in same condition,
otherwise kheer can become sour . The societies which are far away from milk
plant, the four milk chilling centers are established for them. Societies send milk
directly to milk plant or through chilling centers. These chilling centers chill milk
at 4 degree Celsius which keeps the milk in good condition for 24 hours. After
chilling the milk these centers send milkto the milk plant.

REGISTERATION OF THE SOCIETY AND THE MEMBERS:

When a society is fully formed for the collection of milk it is registered under the
registration act of societies. Its members are also registered and given members
pass books and share certificates. A copy of rules and regulations are also given to
them. Then the actual milk collection starts.

MILK PROCUREMENT IN LAST 7 YEARS:

Year saver age milk procurement per day (in liters) total milk handling.

2004- 85000 liters per/day

2005- 80000 liters per/day

2006- 70000 liters per/day

2007- 75000 liters per/day

2008- 70000 liters per/day

2009-65000 liters per/day

2010- 60000 liters per/day

2011- 62000 liters per day

MAIN CENTRES AND THEIR BRANCHES:

About 300 milk producing societies come under Milk Plant Bathinda which is
operating in the whole Bathinda district. All these are divided into six main
centers which are as under:

LOCAL BATHINDA 140

Mansa 50

Muktsar 30

Gidderbaha 30

Barnala 30

Talwandi Sabo 20
ACHIEVEMENTS

Milk Procurement: -

Milk Plant procured about 55,000 Lt. of milk per day through 19 Milk routes in the
Flush Season.

Animal Health Care & Other Technical Inputs: -

In addition to Organizing the remunerative Milk market system Through milk

producers cooperative societies, Milk Plant is also providing regular health
coverage by running 2 vet nary routes and 55 Artificial Insemination Service
Stations at Society level.

Supply of Balanced Cattle Feed: -

Special attention has been paid to the supply of balanced cattle feed to the milk
producers so as to enhance the milk production. Four types of cattle feeds are being
supplied i.e. ISI Type, High Energy, Bye Pass Protein Feed & Buffalo super feed
to meet the requirements of Milk Producers.

Supply of Improved Varieties of Fodder Seeds: -

Cows does not produce ample milk without ample fodder. Through research and
seed-farms, Milkfed has worked t provide the farmers high yielding forages at low
cost. Fodder Development activities initiated by Milkfed have created a good
demand for improved fodder seeds in Punjab. Milkfed established its own seed
processing unit in 1985, the unit is automated and has the capacity to grade 16
million tons of fodder seed per day.
Quality Assurance Program:

Quality Assurance Program (QAP) which is a part and parcel of Dairy Plant
Improvement Program (DPIP) was taken up in Ludhiana Milk Union with the
Technical guidance from NDDB. The main objective of the program is to improve
efficiency of Plants coupled with loss management to bring down the cost of
production, improve the quality of milk and milk products manufactured to
ameliorate the general hygienic and house keeping standards and above all to
enhance the profitability and financial viability of the Milk Plants to enable milk
producers to get better price for their produce.

MAIN PRODUCTS MANUFACTURED BY MILK PLANT

The main products which are manufactured by the milk plant BATHINDA are as
under:

1.Pasteurized Milk.

2. Milk Powder

3. KHEER.

4.Sweetened Flavoured Milk (PIO).

5.Milk Cake.

6.Cheese.

7.Curd.
MARKETING DEPARTMENT

According to Prof. Phillip Kotler”Marketing is the human activity directed as

satisfying need and wants through the exchange process”.

Marketing is the process through which producers and consumers of various goods
are brought together in an exchange relationship and the transfer of ownership
takes place. Marketing process starts even before the goods go into production. It
does not end with sale but continues till the satisfaction of consumer is obtained.

To carry out selling functions, it is important to have a qualified and expressed

sales force with leader who can plan, organize, direct and control the selling job
objectivity. The salesman is an extremely important link in the claim of
distribution. It is sometimes said that salesmanship is the other name of persuasion.

MARKETING STRATEGIES

Section of Milk Booths/Agencies Security Money Refundable Agency Rs. 5000

Full time booths Rs. 10000 Part time booths Rs. 3000 Institutions 45 days advance
payment

MARKETING MEASURES FOR DOMESTIC MARKET:

For domestic market following measures are taken up by marketing personnel:

A. Dealers” meeting is called once in every six months.

B. The plant has own distribution network for the sale of products.
C. Milk products are marketed to bring up country markets through out India
on consignment basis.

FOR INTERNATIONAL MARKET:

For Export following measures are taken into consideration:

A. Requirement is given by customers in the letter of credit.

B. Quality should be mentioned.

DOMESTIC MARKETING ACTIVITIES

The domestic marketing activities are performed on the basis of Demand and
Supply.

Demand for milk and milk products are received in two ways:

Through Telephone-

Any demand or change in demand is received between 9:30 am and 2:00 pm.

Through Supply-

Milk booths collect demand according to milk supplied to the agencies. About 70%
of milk is distributed in the morning and remaining 30% is distributed in the
evening.
PAYMENT AND BALANCE SYSTEM

Since agency is required to deposit one day advance payment separately for
morning and evening, if any cash balance remains with the union that is admitted
in the meant supply payment.

For institutions 45 days of advance payment against their demand is collected

union.

RETURN OF MILK

If milk is found leaked. It is taken back from dealers only at the time of delivery.
One entire tray is provided for replacement of leakage of every truck or other
vehicle through which milk is supplied to the dealers.

Marketing is a comprehensive term and it includes all resources and a set of

activities necessary to direct and facilitate the flow of goods and services from
producers to consumers in the process of distribution. Marketing is the process of
planning and executing the conception, pricing, promotion and distribution of
ideas, goods and services to exchange that satisfy individual and organizational
objectives.
ROLE OF MARKETING IN VERKA MILK PLANT

Head Office collects this information from all the plants and scrutinizes the
information that which plant has large stock of products and who is lacking in it.
Then it gives orders to plant which has large stock to supply products to other
plants so that stock can be absorbed quickly. The prices of all the products are
determined by the H.O. and their retail price through out India is same H.O.
charges 3% commission on sales made by milk plant, Bathinda .

For the local sale of milk and milk products, a milk bar is opened outside the main
gate of milk plant, Bathinda and its average sales are Rs 5 lakh per day. Some
milk products like liquid milk, Cheese, Milk cake, S.F.M., Ice-cream etc. are sold
through local dealers in the region.

ADVERTISEMENT AND SALES PROMOTION

The advertisement and sales promotion of every product is necessary. Without this,
nobody comes to know about the product. Every organization whether it is small,
medium or big has to do some type of advertisement. Verka milk plant has also
adopted some policies for the sale of its products. It has its own Vans, Trucks, and
Jeeps etc. for selling its products. There are also some benefits which are being
provided to the dealers. There is a facility of free training of testing milk to the
societies so as to make more customers. With the adoption of such policies sales
have increased in chandigarh and kharrar as well as in Bathinda . For doing
advertisement the shops of retailers have been painted showing various Verka
products and various types of banners are also given to them which are to be
displayed.

SALESMANSHIP GUIDE

Certain guidelines and motto are being told to the salesmen for meeting the
customers’ desires and wants. Various guidelines are as follows:

1. It is said "sell yourself before you sell the product". The above saying is
measuring to create one’s own confidence in the minds of customers so as to
ensure sales.

2. Your sincerity and capability in convincing is your performance for success.

3. Over convincing never pays single facts convince better.

4. Always remember that customer is more intelligent than you.

5. Don’t indulge in giving guarantees if wear and tear.

6. You should be pre-determined in your mind of items, size to be sold to the

customers after stock.

7. Your expertise is your success.

8. Don’t display all of your varieties because customers generally have the habit of
asking “more”.

SUPPLY CHAIN

MILKFED

COMPANY

WHOLESALER

RETAILER

CUSTOMER
PRODUCT’S OF VERKA

Milkfed has formulated company specifications for its milk & milk products to
provide standard and quality of products to  consumers.

PRODUCTS PACKING
GHEE TIN PACK 
500 gms., 1 Kg., 2 Kg., 5 Kg &15 Kg.
TABLE  BUTTER 
10 gms. 100 gms. & 500 gms.
200/400 gms. Cekatainer, 200 gms. Singles,
CHEESE 
400 gmsTin & 1 Kg. Brick
PIZZA CHEESE  200 gms. & 1 Kg. Pack
VERKA  VIGOUR  500 gms.  Jar, 500 gms. Refill & 1 Kg. Jar
DAIRY WHITENER  500 gms. Pkt. & 10 Kg. Tin
200 gms. & 500 gms. Bottle, 500 gms.
SKIMMED MILK POWDER  Cekatainer
1 Kg. Pkt. & 25 Kg. Bag
WHOLE MILK POWDER  500 gms. Tin, 1 Kg. Tin, 10 Kg. Tin
SWEETENED FLAVOURED MILK
200 ml. Bottle, 200 ml. Tetrapak
 
SWEET LASSI  200 ml. Tetrapak
MANGO RASEEELA 
200 ml. Tetrapak
PINE APPLE RASEEELA  200 ml. Tetrapak
MILK CAKE /PEDA 
200 gms Pkt.

1.Liquid Milk Pasteurized Pouch Packed Milk:-

It is pouch packed milk. It may be used as such or for milk based preparations. It
shall be kept under refrigerated conditions. It is packed in half ltr. Pouch. Its length
of shelf life is 48 hours under refrigerated conditions. It is sold in area around
Chandigarh,Bathinda ,kharar and ropar areas. Special distribution control is
needed, under refrigerated condition if transported to very long distance. Verka
Milk Plant is preparing three types of milk pouch :-
 Standardized Milk Toned Milk Double Toned Milk

2. Milk Powder:-

Dried Milk or Milk Powder is product obtained by the removal of water from milk
by heat or other suitable means to produce a solid containing 5% or less moisture.
Whole milk, defatted or skim" milk may be used for drying. It comes in packing of
200 gms, 500 gms. etc. It can be stored for 1 year before use.

3. Ghee:-

Ghee may be defined as clarified butter fat prepared chiefly from cow or buffalo
milk. The product can be used on roti/pranthas or can be used as

cooking other material for food. It is preserved at ambient temperature for one
year. It is packed on 500 gms, 2 Kgs., 5 Kgs. & 15 Kgs. bulk pack in tin. It is sold
anywhere in Punjab and abroad also. No special distribution control is needed.

4. Butter: - Butter may be defined as a fat concentrate which is obtaining by

churning cream, gathering the fat into a compact mass and then working it.

The product obtained from cow and buffalo milk or a combination thereof or from
cream or curd obtained from cow or buffalo milk or a combination thereof, with or
without the addition of common salt and colouring matter. It can be kept under
refrigeration for three months. This comes in packs of 10 gms. 100 gms. And 500
gms.
5. Lassi:-

Lassi, also called chhas refers to desi butter milk which is by product obtained
when churning curd led whole milk with curd indigenous devices for the
production of desi butter.

Verka Lassi is very popular, specially in Punjab and it is also liked by the people of
other states. It comes in the 200 ml. tetra pack.

6. SFM:-

It is known as Sweetened flavoured milk or bottle milk. The product used in the
form of drinking sweet milk. It is preserved at ambient temperature. It is packed in
200 ml. bottle, 200 ml. tetra packs. The length of shelf life of product can be held
far three months under ambient temperature. It is sold in and around Punjab and
upcountry market mainly Delhi.
7. Ice Cream:-

Ice Cream may be defined as a frozen dairy product made suitable blending and
processing of cream and other milk products, together with sugar and flavour, with
or without colour and with the incorporation of air during the freezing process.
There are mainly three types of Verka Kulfies i.e. Malai Kulfi, Choco bar and
Mango bar. Malai Kulfi made with milk, malai and

Crushed nuts. Choco bar contained chocolate and Mango bar kulfi contain mango
flavour.

8. Paneer:-

Paneer refers to the small sized soft cheese. The product can be consumed as such
or can be fried and consumed. It can also be used as an ingredient for making
Indian Sweets and paneer based dishes. It is preserved under refrigerated condition
for 20 days from the date of packing. The product is packed in poly film bags. The
pack size is 200 gms. For consumer pack and 5 Kg. Capacity in bulk pack as
agreed by contracted buyer.
9. Curd/Dahi:-

Dahi or curd is the product obtained from boiled milk by souring, natural or
otherwise, by a harmless lactic acid or other bacterial culture. It should have the
same percentage of fat and solids - not - fat as the milk for which it is prepared.

10. Raseela:-

Raseela is a very popular product of Verka which was launched in 1995. It comes
in two flavours - i) Mango Raseela and ii) Pine apple Raseela. Mango Raseela is
prepared from mango pulp and Pineapple Raseela from pineapple pulp. These are
coming in 200 ml. tetra pack.

11.KHEER

Kheer is something different which is made by boiling rice in milk and then serve
it after freezing it at very low temperature.
Organizational chart
 ORGANISATIONAL CHART

GENERAL MANAGER

Mgr. Mgr. Dy. Security Mgr. Mgr. Mgr. Store Mgr.

accountant (P&A) manager Incharge Engg. Q.C. Production officer Mktg.

purchase

Dy. Sr. Astt. Astt. Dy. Dy. Dy. A.S.O. Dy.

Mgr. Asstt. Sec. Mgr. Mgr. Mgr. manager

Accountant Asstt. clerk Security Foreman Chemist Packing Sr.Asstt Sup.

Man Sup.

Acctt. Clerk Operator Sr. lab. P.O. Salesman

Clerk Asstt.

Clerk Lab.Asstt. J.P.O

 CHAPTER NO. 2
OBJECTIVES OF THE STUDY
 To understand the supply and distribution for verka projects , marketing techniques
followed by verka and to gather insights into the competition of liquid milk market in
Bathinda city.
 To know about the channels like retails & wholesalers
 To study various aspects concerning Supply Chains of verka milk plant Bathinda
 CHAPTER-4

RESEARCH

METHODOLOGY
RESEARCH METHODOLOGY

INSIGHT MARKETING RESEARCH PROCESS AN OVERVIEW

The essence of research conducted by me is to analyze the present market position

of Verka products among its competitors and the problems which are being faced
by customers, wholesalers, retailers. The eventual objective is to suggest some
recommendations to the company so as to enable them to increase their market
share.

One in analyzing my samples follows no conventional method. The total analysis

is based on the internees from the question put on before my sample size. A
research of this can’t be done all once throughout large area in a limited time so
BATHINDA has been selected for research.

INTRODUCTION

According to Prof. Phillip Kotler,”Marketing research is the systematic, design,

collection, analysis and reporting of the data and finding relevant to specific
marketing situation facing the company”.

Marketing is restless, changing dynamic field. Since 1920 many important and
dramatic changes have taken place in marketing, thousands of new products
including those of entries of new industries such as automobiles, electronics and
computer, textile, walk product etc. have appeared in the market. The market
orientations have changed from production to market.
STEPS OF MARKETING RESEARCH PROCESS:-

DEFINING PROBLEM AND RESEARCH OBJECTIVES

DEVELOPING THE RESEARCH PLAN

COLLECTION OF DATA

PRESENTATION OF THE FINDINGS

The first step of marketing research is defining the problems and research
objectives. Following are the problems and objectives which are to be defined:

 To understand the supply and distribution for verka projects , marketing techniques
followed by verka and to gather insights into the competition of liquid milk market in
Bathinda city.
 To know about the channels like retails & wholesalers

 To study various aspects concerning distribution channels of verka milk plant Bathinda

DEVELOPING THE RESEARCH PLAN

The second step of marketing research process calls for developing the most
efficient plan for gathering the needed information. While designing a research
plan we have to take decisions regarding data sources, search approached, search
instruments, sampling etc. There are two plan contact methods which are as
follows:

1. DATA SOURCES

There are two types of data sources

a. primary data

b. Secondary data

a .Primary Data:-

Personal interviews are conducted which enable collection of oral verbal response.
This is fact to face contracted with structured or sometimes even unstructured
patterns. This helps in obtaining indent information.

b. Secondary Data:-

Secondary data can be obtained from different Milkfed magazines and annual
reports, financial documents referred.

2.

RESEARCH APPROACH

Survey Method :

- Survey are best suited for descriptive research companies which undertake
surveys to learn about peoples’ knowledge, beliefs, preferences, satisfaction etc. to
measure these magnitude in the general population. While observation and tours
are best suited for exploratory research which is not the case of our study.

3. RESEARCH INSTRUMENT

Questionnaire

A questionnaire is prepared and used to collect the information. The majority of

questions are close ended. Questionnaire is distributed to people to know about
their preferences, tastes, demands etc. This is one of the easiest methods of
collecting information.

4. SAMPLING PLAN

After deciding on the research approach and instrument, we must design a

sampling plan. This plan calls for three decisions:

a. Sampling Unit:-

Here we define what is to be surveyed i.e. the target population that will be
sampled. In our case the general public in cities and towns come under the
sampling unit.

b. Sample Size:-

Large samples give more reliable results. In our study 100 customers were
surveyed in Bathinda

c. Sampling Procedure:-
 Area sampling is using because it is not practically possible to visit all
places of India therefore Bathinda chosen for survey.

5. CONTACT METHOD:-

In this decision is taken that how the object should be contacted i.e. whether by
mail questionnaire, telephone, interviews. In our research personal interview is the
most convenient and reliable method.

6. COLLECTION OF THE INFORMATION:-

The data collection phase of the marketing research is the most expensive and most
error prone process. There can be error as some respondent can give biased or
dishonest answer for the collection of the information. The researchers personally
go to customers to collect the reliable data. Here all knowledge of the researcher
about that field comes to test the ingenuity of the research.

Here I got the experience of working professionally and independently on the road
which gives some taste of practical marketing. I also got a lot of exposure about
the market. The present study undertaken is descriptive in nature and in this study
questioning people with regular expertise in that are being used.
LIMITATIONS OF RESEARCH:-

1) Due to Bathinda being a large city, it was not possible to interact with people

from all over the city or even district.

2) Few consumers were reluctant to fill the questionnaire as they perceived us as

sale men and also shown reluctance in giving their contact numbers.

3) Time period for the project execution was less as ample time could not be given

to each customer and vice versa as they have to fulfill their other obligations also.

4) Interaction with dealers was also difficulty as they were busy with their

customers most of the time.

5) There is no measure to check out whether the information provided by the

consumers is correct or not.

 CHAPTER NO. 4

DATA ANALYSIS AND

INTERPRETATION

ANALYSIS & INTERPRETATION

1. Are you Aware about VERKA products?

Answer Percentage
Yes 95
No 5
 Percentage
Yes No

5%

95%
Figure 1

Interpretation:

The maximum no. of people in Bathinda region are aware about verka product’s
due to its good quality . Only 5% out of 200 people are not aware about verka
product’s..

Type of outlet

Type of out let

Valid Cumulative
Frequency Percent
Percent Percent

bakery 50 50.0 50.0 50.0

super bazaar 2 2.0 2.0 52.0
institution 22 22.0 22.0 74.0
cool drink shop 10 10.0 10.0 84.0
any other 16 16.0 16.0 100.0
Total 100 100.0 100.0
 Percen Valid
Place Frequency Cumulative Percent
t Percent
BATHIND
50 50.0 50.0 50.0
A
CHANDI
50 50.0 50.0 100.0
GARH
Total 100 100.0 100.0

Interpretation:
As per the above table in 100 retailers 50 in Bathinda & 50 in Muktsar, whom I met during
survey out of them
  In Bathinda bakery-31 institution-5
Cool drink shop-6 any other-8
 In Chandigarh bakery-19 institution-17
Super bazzar-2 cool drink shop-4
Any other -8

Deal with Verka

Deal with Verka

Frequen Valid Cumulative
Percent
cy Percent Percent
Yes 53 53.0 53.0 53.0
No 47 47.0 47.0 100.0
Total 100 100.0 100.0

54

53
53

52

51

50

49

48

47
Count

47
46
yes no

deal with amul beverages

Interpretation:

As per above table in 100 respondents

 53% of the retailers are dealing with Verka
 47% of the retailer are not dealing with Verka

Varity of Verka

Interpretation:
As per graph
 Milk is fast moving product in Verka
  2nd is the Verka Lassi
 3rd is the Verka Flavored milk
 4th is the Verka Butter

Placing the order

placing order
Valid Cumulative
Frequency Percent
Percent Percent
Not
47 47.0 47.0 47.0
applicant
once in
22 22.0 22.0 69.0
week
fortnightly 7 7.0 7.0 76.0
Monthly 1 1.0 1.0 77.0
when ever
23 23.0 23.0 100.0
required
Total 100 100.0 100.0
 50

47

40

30

23
20 22

10
Count

0
not applicant fortnightly w hen ever required
once in w eek monthly

placing order

Interpretation:
As per the above graph in 53 respondents
 23% of the retailer placing the order whenever they required
 22% of the retailer placing the order once in week
 7% of the retailer placing the order fortnightly
 1% of the retailer placing the order monthly
Order getting

order getting
Frequency Percent Valid Percent Cumulative Percent
not
47 47.0 47.0 47.0
applicant
next day
12 12.0 12.0 59.0
of order
after 2
25 25.0 25.0 84.0
days
more
than 2 16 16.0 16.0 100.0
days
Total 100 100.0 100.0
 50

47

40

30

25
20

16

10 12
Count

0
not applicant next day of order after 2 days more than 2 days

order getting

Interpretation:

As per above graph in 53 respondents

 25% of the retailer getting the order after 2days
 16% of the retailer getting the order more than 2 days
 12 % of the retailer getting the order next day of the order
Monthly sales of Verka (no of pack per month)

Type of out let Monthly sales(no of pack per

month)
Bakery 85
Super Bazaar 9
Institution 30
Cool drink shop 10
Any other 4

Interpretation:
As per above graph shows that
 Bakery is selling highest monthly 85 packs
 2nd is the institution 30 packs
 3rd is the cool drink shop 10 packs
 4th is the super bazaar 9 packs
 Last is the janaral stores, juice centre,sweet mart 4 packs
Discounts/schemes

Discounts/scheme
Valid
Frequency Percent Cumulative Percent
Percent
Not
47 47.0 47.0 47.0
applicant
Yes 3 3.0 3.0 50.0
No 50 50.0 50.0 100.0
Total 100 100.0 100.0

60

50
50
47

40

30

20

10
Count

0 3
not applicant yes no

discounts/scheme

Interpretation:
As per above graph in 53 respondents
 53 % of the retailers are not getting any discounts/shemes
 Only 3% of the retailer getting discounts/schemes

Influence factor
Influence factor
Valid
Frequency Percent Cumulative Percent
Percent
not
47 47.0 47.0 47.0
applicant
brand 4 4.0 4.0 51.0
quality 28 28.0 28.0 79.0
demand 20 20.0 20.0 99.0
Availabili
1 1.0 1.0 100.0
ty
Total 100 100.0 100.0

50

47

40

30
28

20
20

10
Count

4
0
not applicant brand quality demand availability

influence factor

Interpretation:
As per above graph in 53 respondents
 28 % of the retailers are selling because of quality
  20 % of the retailers are selling because of demand for the product
 4% of the retailer are selling because of brand image
 Only 1% of the retailer selling because of availability

Reason for not selling Verka in your shop

Reason for not selling Verka

 Valid
Frequency Percent Cumulative Percent
Percent
Not
53 53.0 53.0 53.0
applicant
Non
12 12.0 12.0 65.0
availability
low margin 5 5.0 5.0 70.0
no demand 7 7.0 7.0 77.0
No
discounts/sc 3 3.0 3.0 80.0
heme

60

50 53

40

30

20
20

10 12
Count

7
5
0 3
not applicant low margin no discounts/scheme
non availability no demand any other

reason for not selling amul beverages

Interpretation:
As per above graph in 47 %of the respondents
1. 20% retailers are not selling Verka because of distributor did not approach them
2. 12%of the retailers are not selling because of non availability of the product
3. 7%of the retailers are not selling because of no demand foe the product
4. 5% of the retailers are not selling because of no discounts/ schemes
5. 3% of the retailers are not selling because of low margin
 CHAPTER-5
FINDINGS

Findings:

1. In 100 respondents 50 are from Bathinda and 50 are from Muktsar in that
a. In Bathinda Bakery-31 Institution-5
Cool drink shop-6 Any other-8
b. In Chandigarh Bakery-19 Institution-17
 Super bazzar-2 Cool drink shop-4
Any other -8

2. 53% of the retailers are dealing with Verka and 47% of the retailers are not dealing with
Verka .

3. Milk is fast moving product in Verka , 2 nd is the Verka Lassi , 3rd is the Verka butter
milk, 4th is the Falavoured Milk,
4. In 53% of the respondents 23% of the retailers placing the order whenever they required,
22% of the retailers placing the order once in week , 7% of the retailer placing the order
fortnightly ,and 1% of the retailer placing the order monthly

5. In 53% of the respondents 25% of the retailer getting the order after 2days, 16% of the
retailer getting the order more than 2 days, 12% of the retailer getting the order next day
of the order it shows the there is delay in supply

6. Bakery’s are selling highest, monthly 85 pack, institution 30 packs, cool drink shop 10
packs, super bazaar 9 packs, and janaral stores, juice centre,sweet mart 4 packs per
month

7. Out of 100respondents, 53% of the retail respondents dealing with Verka , in that 50% of
the retailers are not getting any discounts/schemes, only 3% of the retailers told that they
were getting discounts/schemes

8. 53 % of the retail respondents dealing with Verka , in that 28 % of the retailers are selling
Verka because of quality , 20% of the retailers are selling because of demand for the
 product , 4 % of the retailer are selling because of brand image, only 1 % of the retailer
selling because of availability

9. According to view point of the retailers they consider the volume sold is in 6th position

10. In 47% of the respondents , 20% retailers are not selling Verka because of distributor
did not approach them, 12% of the retailers are not selling because of non availability of
the product, 7% of the retailers are not selling because of no demand for the product , 5 %
of the retailers are not selling because of no discounts/ schemes , 3 % of the retailers are
not selling because of low margin
 CHAPTER-6
RECOMMENDATIONS

Recommendations:
1. 47%of the retailers not dealing with Verka in that 12 %of the retailers complain delay in
supply; it delays in delivery of the product on time because of distributor. This should be
avoided. So company has to tell the distributor to increase the man power/vehicle or else
appoint other distributor.
2. 8% of the retailers are not dealing with the Verka because of schemes/discounts, so
company has to give schemes/discounts.
3. Company has to handle the retailer’s problem like replacement of the damaged product
because it becomes inevitable when competitors are doing the same without any hassles.
So it will help the company to build the strong relationship with the retailers.
4. 20% of the retailers are not dealing with the Verka because of distributors did not
approach them. But there is demand for the product so any company officials should see
to it that the distributor approach the retailer. and also company has to conduct market
survey for retail outlet.
CHAPTER NO .7

CONCLUSION
Conclusion

Working at Verka Milk Plant, BATHINDA gave me an opportunity to apply my

skills and knowledge, which I had gained previously.

After going through detailed study, I come to the conclusion that compared to the distribution
network of other brand of Verka , it has to improve their network properly and make product
available to the customer and also handle the customer problem if any. Company has to maintain
a good relationship with the retailers by giving better margin, schemes/discounts.

It was an amazing experience with learning all the way, which helped me to brush
up my knowledge and skills.
CHAPTER NO .8
BIBLOGRAPHY

BIBLOGRAPHY
Brochure/booklet/magazine Verka milk Plant, Bathinda

Kothari C R, “Research methodology” Second Revised Edition Publishers- New

Age International (P) Ltd., Year- 2008

Dr. Arvind Kumar Yadav and Mr Suman Yadav (2008) , Journal of IPM Meerut

Dr. N. Kathirvel and Dr. N Chandersekaran ( 2008) , Indian journal of marketing.

J.V Rangeswara Reddy (2009) , Indian journal of marketing.

Websites:-

www.milkfed.nic.in

www.milkfed.jp

www.milkfed.org
 CHAPTER NO .9

ANNEXURE

QUESTIONNAIRE
Dear Retailer
1) Type of outlet
  Bakery
 Super Bazaar
 Institution
 Cool drink shop
2) Do you deal with the Beverages?
a) Yes b) No
3) Which type of Beverages do you sell in your Shop?
a) Corbonate b) non-corbonate
c) Fruit juice d) All
4) What are the other major brands of Beverages you sell in your shop?
1 ……………………. 2…………………..
3 …………………… 4…………………..
5…………………… 6 …………………..
5) Are you dealing with Amul Beverages?(if no go to Qno 13)
a) Yes b) No
6) Which are the Verka Product you sell in your shop?
a) Verka Milk b) Verka Lassi

c) Butter d) Flavoured Milk

e) Verka Kheer

7) How frequently you place the order?

a) Once in week b) Fortnightly
c) Monthly d) Whenever required

8) When do you get order stock?

a) Next day of order b) After 2 days
c) More than 2 days d) Not at all
9) What is your monthly sales of Verka (no of pack per month)?…………
 10) Does the company give discounts/schemes?
a) Yes b) No
11) What factors influence you to sell the Verka ?
a) Brand Image b) Margin
c) Low price d) Retail schemes
e) Service f) Quality
g) Demand h) Availability
12) Rank your criteria for selling the Verka Products in your shop
Rank in the form of numbers, 1 to 8 (where 1 is highest and 8 is low)
Parameter Verka
Quality …………
Retail margin …………
Volume sold …………
Supply on time …………
Popular brand …………
Credit facility …………
Complaint handling ………..
Demand ………..
13) Please mention the reason why you are not selling Verka in your
Shop
a) Non availability b) Low Margin
c) Late delivery d) No demand for the product
e) No discount/scheme f) If any other reason ………………
14) Any suggestion …………………………………………………………………
………………………………………………………………………………………
………………………………………………………………………………………

Name: ……………………………………………………………………………………
Address:
………………………………………………………………………………………………………
………………………………………………………………………………………………………
……………………………………………………………………
Phno: …………………………
THANK YOU