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Consumer Behavior and Comparative Analysis of AMUL products

Thesis · July 2020


DOI: 10.13140/RG.2.2.34392.93445

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International Journal of Scientific Research in Engineering and Management (IJSREM)
Volume: 04 Issue: 07 | July -2020 ISSN: 2582-3930

Consumer Behavior and Comparative Analysis of AMUL products


Author 1 : Mr. Abhishek Singh | Master of Business Administration
Author 2 : Dr. Ajay Singh | Assistant Professor | Master of Business Administration
ABES Engineering College

Abstract planning, establish or become part of the


producer network ( i.e., cooperatives in this
This paper describes the case study of the
case) to achieve economies of scale,
dairy cooperative, AMUL, in western India,
concentrate on operational efficiency to
which has developed a successful business
achieve cost leadership in order to allow for
model in the large emerging economy. It
a low price strategy. In addition, a central
was primarily responsible, through its
focus is needed to bring together a diverse
innovative practices, for India to become the
element and a long-term approach. Different
world's largest producer of milk. The paper
industrial sectors may be at different stages
draws various insights from AMUL 's
of development in emerging economies. For
experience that can be useful to
certain industries, any of the environmental
cooperatives around the world as well as to
features alluded to above may not be
companies involved in doing business in
preserved. A subset of approaches adopted
broad emerging markets such as India and
by AMUL would still be very useful,
China. Most of these economies have
however. Therefore, companies that plan to
underdeveloped markets and fragmented
target large undeveloped markets or intend
supply bases. Market failures are high for
to take advantage of a broad but limited
many of these small producers. On the other
supplier base will still benefit.
hand, the size of both markets and suppliers
is very large. As a result, firms that identify Introduction
appropriate business strategies that take
In the year 1946 the primary milk
these characteristics into account are more
association was built up. This association
likely to succeed in these markets. The
was begun with 250 liters of milk for every
following is a key lesson from AMUL 's
day. In the year 1955 AMUL was built up.
success: companies in such environments
In the year 1946 the association was known
must simultaneously build markets and
as KAIRA DISTRICT CO-OPERATIVE
suppliers to synchronize demand and supply
MILK PRODUCERS' UNION. This

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International Journal of Scientific Research in Engineering and Management (IJSREM)
Volume: 04 Issue: 07 | July -2020 ISSN: 2582-3930

association chose the brand name AMUL in from such town co-usable social orders and
1955. The brand name Amul signifies to sell them. It was likewise settled that the
"AMULYA". This word got from the Government ought to be approached to
Sanskrit word "AMULYA" which signifies purchase milk from the association. In any
"Extremely valuable". A quality control case, the govt. didn't appear to help ranchers
master in Anand had proposed the brand using any and all means. It gave the negative
name "AMUL". Amul items have been reaction by turning down the interest for the
being used in a large number of homes since milk. To react to this activity of govt., the
1946. Amul Butter, Amul Milk Powder, ranchers of Kaira locale went on a milk
Amul Ghee, Amulspray, Amul Cheese, strike. For 15 entire days not a solitary drop
Amul Chocolates, AmulShrikhand, Amul of milk was offered to the dealers. Thus, the
Ice cream, Nutramul, Amul Milk and Bombay milk plot was seriously influenced.
Amulya have made Amul a main food brand The milk official of Bombay at that point
in India. (The absolute deal is Rs. 6 billion visited Anand to evaluate the circumstance.
out of 2005). Today, Amul is an image of Having appeared the condition, he chose to
numerous things like of the great items sold satisfy the ranchers request. In this way,
at sensible costs, of the beginning of a their agreeable associations were
tremendous co-employable system, of the constrained at the town and region level to
triumph of indigenous innovation, of the gather and sell milk on a helpful premise,
advertising wise of a ranchers' association. without the mediation of Government. Mr.
Furthermore, have a demonstrated model for VergheseKurien indicated primary
dairy advancement (Generally known as enthusiasm for building up association who
"ANAND PATTERN").MISSION : "We at was upheld by ShriTribhuvandas Patel who
GCMMF try to fulfill the taste and healthful lead the ranchers in framing the Co-
necessities of the client of the world through employable associations at the town level.
greatness in the advertising by our submitted The Kaira area milk maker's association was
group. Through agreeable systems hence settled in ANAND and was enlisted
administration, we are focused on offering officially on fourteenth December 1946.
quality item that gives best an incentive to Since ranchers sold all the milk in Anand
money ."The region association was through a helpful association, it was usually
additionally structure to gather the milk

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International Journal of Scientific Research in Engineering and Management (IJSREM)
Volume: 04 Issue: 07 | July -2020 ISSN: 2582-3930

set out to sell the milk under the brand name processing and marketing of milk, provision
AMUL. of technical inputs to enhance milk yield of
animals, the artificial insemination service,
At the underlying stage just 250
veterinary care, better feeds and the like - all
liters of milk was gathered each day. In any
through the village societies. Basically, the
case, with the developing consciousness of
union and cooperation of people brought
the advantages of the helpfulness, the
Amul into fame i.e. AMUL (ANAND MILK
assortment of milk expanded. Today Amul
UNION LIMITED), a name which suggest
gather 11 lakhs liters of milk each day.
“THE TASTE OF INDIA”.
Since milk was a transient item it gets hard
to save milk verdure longer period. Other Literature Review
than when the milk was to be gathered from
the far spots, there was a dread of ruining of Since the turn of nineteenth century,

milk. To conquer this issue the association Cooperatives have existed as predominant

thoroughly considered to build up the types of association in the dairy business

chilling unit at different intersections, which around the globe. At times they have

would gather the milk and could chill it, to assumed the job of creating newborn child

save it for a more drawn out period. Along industry while at different occasions they

these lines, today Amul has in excess of 150 have been utilized to reinforce frail creation

chilling communities in different towns. bases in a situation where showcase

Milk is gathered from right around 1073 disappointments will in general be higher for

social orders. With the money related minor producers. In some her cases, a

assistance from UNICEF, help from the system of little makers has sorted out

govt. of New Zealand under the Colombo themselves to all the more likely market

plan, of Rs. 50 million for plant to make their items. The executives of these

milk powder and spread was arranged. Dr. cooperatives have additionally prompted

Rajendra Prasad, the leader of India some intriguing administrative bits of

established the framework on November 15, knowledge for administrators with regards

1954. ShriPandit Jawaharlal Nehru, the to rising just as created economies.

executive of India announced it open at Enormous rising economies, e.g., India and

Amul dairy on November 20, 1955. The China, have complexities that extend from

Union looks after policy formulation, improvement of business sectors (where the

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International Journal of Scientific Research in Engineering and Management (IJSREM)
Volume: 04 Issue: 07 | July -2020 ISSN: 2582-3930

biggest fragment of populace is the one measurements and operational viability.


which has low buying capacity) to joining of This article gives bits of knowledge into the
minimal effort providers who are executives of enormous flexibly chains by
transcendently exceptionally little. For firms adjusting and coordinating an assortment of
that seek to direct considerable business in procedures and strategies. This incorporates
such markets, such complexities must be building systems, creating trust and qualities
perceived and afterward survive. The test is in the system, growing reasonable
to comprehend the linkages among business instruments for sharing advantages over the
sectors and the general public. This would gracefully chain, coordination for
likewise require advancement of another operational adequacy, development and new
plan of action that enables a firm to develop innovation for picking up intensity. It is
in such conditions. This paper is around one important that these victories were
such effective model. The Kaira District accomplished inside the system of a system
Milk Cooperative Union or AMUL in India of cooperatives sorted out in a various
is a case of how to build up a system of leveled way. There are numerous exercises
firms so as to beat the complexities of a in AMUL's prosperity for the agreeable
huge yet divided market like those in division as well as for firms who plan to
developing economies by making an work together in developing markets.
incentive for providers just as the clients.
Objective
AMUL has driven the milk dairy upheaval
in India that has now developed as one of ● To know consciousness of
the biggest milk makers on the planet. individuals towards Amul items.
● To know the inclination of Amul
In this article we will depict the
items with correlation with other
advancement vision that prompted the
serious brands.
synchronous improvement of the market and
● To know the variables which
flexibly side through a procedure of social
influences purchaser's purchasing
turn of events and training at AMUL.
conduct while buy milk.
Obviously, usage of this vision a serious
● Swot examination of Amul and its
situation and keeping up continued
rivals.
development and benefit requires
improvement of intensity on a few

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International Journal of Scientific Research in Engineering and Management (IJSREM)
Volume: 04 Issue: 07 | July -2020 ISSN: 2582-3930

● To examine different factors, for • To know the factors which affects


example, quality, value, consumer’s buying behavior to purchase
accessibility, inclination and so forth. milk.
● Thoughts regarding to expand the
Research Design : Descriptive research (A
offer of the "Amul"
Research design specifies the methods and
● Understanding AMUL Brand an
procedures for conducting a particular study.
incentive in the present and future
It is a map (or) blue print to which the
market.
research is to be conducted. Descriptive
ResearchMethodology research design has been considered as a
suitable methodology for present study and
The research methodology is the basic
for data analysis).
procedures or techniques used to classify,
select, process and evaluate information on Sampling Design : Convenience sampling

the subject. It includes following terms : (The sampling design used was
Convenience sampling, which is a non-
Research Problem :
probability sampling method. The
• Seek the general perception of consumer convenience factors were the availability
towards Amul Milk. and approachability of the respondents).

• To know the consumer psyche and their Population : A population is usually a


behavior towards AmulMilk . broad number of individuals or artifacts that
is the main subject of a scientific inquiry. In
• To know the relationship of sales with the
this research, population are those who uses
advertisement.
dairy products.
• To know awareness of people towards
Tools used : Pie and Bar-Graph Chart
Amul Milk.
Sampling size :50
• To know which advertisement tool is
mostly preferred by people. Method : Interview through questionnaire

• To know the preference of Amul Milk with Scale: Continuous and Likert scale.
comparison to Other competitive brands .
Data Analysis and Interpretation

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International Journal of Scientific Research in Engineering and Management (IJSREM)
Volume: 04 Issue: 07 | July -2020 ISSN: 2582-3930

The collected data were not easily


Rank on average
understandable, so I like to analyze the
Ist
collected data in a systematic manner and 16 IInd IIIrd
14 IVth
12
interpreted with simple method. The 10
8
analysis and interpretation of the data 6
4
2
involves the analyzing of the collected data 0
and interpretation it with pictorial
representation such as bar charts, pie charts
and others.
4. Do you get milk pouch at
1. Which dairy product do you
p _______________.

r Preference
Convenience
e
f 38% Packed Pouch
62% Loose 34%
e 0% Both
Doorstep
66%
r From Retailer

2. Are you satisfied with the dairy

product you are consuming? 5. What is total consumption of milk in

litre/day?
Satisfaction

Consumption 1
8%
[PERCENT
2
AGE]4%
Yes No 5%
18%
3
92%
7%
4

9% 5
16% 6

3. What do you like in these products 11% 7

8
most “Quality, Availability, Price or 15%
13% 9

10
Taste”?

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International Journal of Scientific Research in Engineering and Management (IJSREM)
Volume: 04 Issue: 07 | July -2020 ISSN: 2582-3930

6. What is your monthly expenditure on 8. AMUL tagline is

milk (in Rs.)? "......................................................."

Expenditure Tagline

8%
2%

22%
The Taste of
500-1000 India

20%
The Pride of
58% 1000-1500 90% India

1500 and above

9. Do you think the price of the product

7. In pouch milk which brand do you is low compared to competitor’s

prefer? product?

Comparision
Brand love

40
4% 6%
30 12%
20 Strongly Agree
10
34% Agree
0
Neutral
44% Disagree
Strongly Disagree

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International Journal of Scientific Research in Engineering and Management (IJSREM)
Volume: 04 Issue: 07 | July -2020 ISSN: 2582-3930

10. If you buy AMUL milk pouch which Results :


pack you purchase?
• Over 62% people chooses pouch
packets and total of 92% are satisfied
Amul Variety
with dairy products.
18%
0%

36%
Amul Slim & Trim
• Quality liked most, proceeded by
Amul Taaza
Amul Gold
taste , availability and price
46%

Amul Diamond respectively.

• Daily consumption of milk is upto 3


liters for over 65% of peoples.
11. Can you recall AMUL advertisement ?
• Amul is preferred most by 74% and
proceeded by Mother dairy (22%).
Ad recall

• 88% recalls the Amul tagline and


16%
over 84% recalls its advertisement.

Yes
• Amul Gold purchased by 34%
84% No
followed by AmulTaaza (46%).

• Over 82% liked the service of Amul


products.

12. Consumer’s opinion towards AMUL Limitations :


Products :
• Time frame required was not enough
to survey a greater number of outlets.
Brand Image
8%
0% Excellent • The Pandemic “Covid’19” drops the
42% Good quality of research.
50%
Fair
Poor • Lack of research experience.

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International Journal of Scientific Research in Engineering and Management (IJSREM)
Volume: 04 Issue: 07 | July -2020 ISSN: 2582-3930

• Convenience Sampling provides Management : Pearson, Noida : 2016


little-bit homogeneous results.
WEBLINKS : In finding Background of the
Conclusion and suggestions : company , reports and its product ,
following
• It is found that Amul has a strong
links had been used :
brand value in the market and it
increases rapidly through its i. Google, www.google.co.in ,
Introduction, literature and data analysis,
advertising. 04/2020

• Amul focus on Advertising , Quality ii. Google, www.wikipedia.com ,


Introduction and history, 04/2020
and customer service which makes it
a chief brand in dairy industry. iii. Google, www.amul.com, Company
details, 04/2020
• Competitors like mother dairy focus
iv. Google, www.marketresearch.com ,
on availability , thus they attracts Competitors analysis, 04/2020
only existing customers and
v. Google, www.dairy.com , Industry
narrowing their captured market. Profile, 04/2020

• Amul should provide doorstep vi. Google,


https://forms.gle/8HiRuZuBfLXRMeYw6 ,
facility which is preferred from Survey link, 04/2020
survey.

• The demand of Amul products is


higher than its supply which impose
customers to buy competitors’
products.

Reference :

There are following links which had been


used in preparing this report :

BOOK: Philip Kotler. Marketing

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