Team Members

Team Members Abhinav Dayal Karan Mehta Abhinav Kapoor Manmath Deshpande Ashutosh Shirwaikar Nikhil Joshi Dhwani Shah Niraj Dadhaniya Gauravi Patil Priyanka Pardeshi Huma Shaikh Shruthi Rao Jyotirmoy Mukherjee

Executive Summary
1
Aspire

TRANSFORMATION STAGES

Where do we want to go?

Strategic objectives Capability platform Portfolio of initiatives Delivery model Continuous improvement

Defining Objective Industry, Competitor & SWOT Analysis

2 3 4

Assess

How ready are we to go there?

Architect Act

What do we need to do to get there? How do we manage the journey?

DSTP & Marketing Mix

Implementation & Control Monitor & Improvise

Advance

How do we keep moving forward?

Executive Summary

Objectives To increase sales by 100 & Net profit by 50% in 3 years To increase market share in Mumbai to up to 45% in 3 years

Indian Ice-Cream Industry Overview

Industry Snapshot: Market Size is 2500 Crores Ice-Cream market is growing at around 15% Major players: Amul - Market Leader with market share of 36% HUL - Kwality Walls - 2nd biggest player with market share of 14% Mother Diary with market share of 9% Vadilal with market share of 7% Few Brands/ Target Consumers Youth Centric - Chillz Kids - Moo Teenagers - Cornetto Health Conscious - Amul Sugarfree & Pro-Life

Challenges
Consumption and Potential

Indian ice cream industry today is worth about Rs 2,500 crore registering a growth of 15-20% annually Per capita consumption of ice cream in India is just about 300 ml or one scoop less than 700 ml in Pakistan, 3 litres in Chennai & 22 countries in US The organised sector holds about 65% of the market share while the unorganised sector has the remaining 35% market share of this industry.
Challenges Lack of cold storage chains Irregular supply of electricity Poor infrastructure for storage and transportation State governments have imposed a high VAT (Value-Added Tax) on ice creams, additionally; a one% excise duty Large no. of unorganised players who offer cheaper products of very low quality

Indian cold storage logistics chain is very poor Ice cream is a highly perishable product Rising price of milk and allied products

Jamnalal Bajaj Institute of Management Studies Team 1

Opportunities
FDI
FDI trend in the retail industry, the next few decades should see global ice cream majors wanting to tap into this potential, and possibly a few new domestic entrants as well

Diversification

Diversifying from just ice creams to other markets such as dairy and fruit-based products, and frozen foods Manufacturers are looking to inculcate the habit of consuming ice cream as a dessert in Indian households The increased popularity of bulk ice cream at social functions and corporate occasions
Unbranded ice cream, which contributes a significant proportion of sales in semi-urban and rural India, is likely to have a reduced influence, as branded players will use local retailers to penetrate these areas

Dessert

Unbranded

Jamnalal Bajaj Institute of Management Studies Team 1

Amul India Portfolio

The Brand Amul is owned by The Gujarat Cooperative Milk Marketing Federation and was launched in India in 1996 A quality control expert in Anand suggested the brand name Amul, from the Sanskrit Amoolya, "priceless" in Sanskrit GCMMF is Largest Food Products Marketing organization of India, with a revenue of $1.5 Billion

It links 2.8 Million Village Milk producers and 13,141 Cooperative Societies across 13 Districts to milk and dairy consumers across India
Amul offers a selection of almost 220 products with flavors ranging from exotic Honey Banana to Kesar Pista along with Sugar Free & ProLife Probiotic Wellness Ice Cream which was a first in India for the health conscious individuals In 1997, Amul ice creams entered Mumbai followed by Chennai in 1998 and Kolkata and Delhi in 2002. Nationally it was rolled out across the country in 1999 and as of today it sells products around the world in 40 countries
7 7

Amul India Product Portfolio

D
Dairy Products Butter Cheese VHT Kool

I
Ice Cream

L
Liquid Milk

Frozen Paneer

Amul India Product Portfolio

Amul has a wide range of products:
Cheese Amul Pasteurised Processed Cheese Amul Cheese Spreads Amul Emmental Cheese Amul Pizza Mozzarella Cheese Gouda Cheese Powder Milk Amul Spray Infant Milk Food Amul Instant Full Cream Milk Powder Sagar Skimmed Milk Powder Sagar Tea Coffee Whitener Amulya Dairy Whitener Health Drinks Nutramul Amul Shakti Health Food Drink For Cooking Amul/Sagar Pure Ghee Cooking Butter Amul Malai Paneer Utterly Delicious Pizza Mithai Mate Masti Dahi Pro-Biotic Dahi

AMUL

Bread Spreads Amul Butter Amul Lite Delicious Table Margarine

Milk Drinks Amul Kool Milk Shaake Amul Kool Amul Kool Cafe Kool Koko Nutramul Energy Drink Amul Kool Chocolate Milk Amul Kool Flavoured Bottled Milk Amul Kool Flavoured Tetra Pack Amul Kool Masti Spiced Buttermilk Amul Lassee Amul Kool Thandai

Fresh Milk Amul Fresh Milk Amul Gold Milk Amul Taaza Double Toned Milk Amul Lite Slim & Trim Milk Amul Fresh Cream Amul Shakti Toned Milk Amul Calci+ Amul Buttermilk

Desserts Amul Ice Creams Amul Shrikhand Amul Mithaee Gulab Jamuns Amul Chocolates Amul Basundi Amul Yogi Yoghurt

Amul Ice-Creams
Launched on 10th March in Gujarat Entered Mumbai in 1997 First to introduce Sugar-Free & Pro-Life Probiotic Wellness Ice-Cream in India Indias no. 1 Ice-Cream Company Also runs many different types of stores Real Milk. Real Ice-Cream. Wins because of:
Price Differential Quality of Products Brand Name

Also, present widely through outlets like Kiosks, Railway stalls, Caf Amul QSR, Amul Scooping Parlours

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Amul Ice-Cream Portfolio

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Amul Ice-Cream Portfolio

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Quick Service Restaurant & Parlours

Amul Scooping parlours (simple ice-cream kiosks), Amul parlours without a kitchen (just sandwiches, ready to eat stuff & ice-creams etc.) and then Cafe Amul (with a hot kitchen serving fresh food and snacks) First two quick service restaurants at Ahmedabad and Bangalore QSR offers consumers recipes such as pizzas, burgers, sandwiches, dosa, pavbhaji, sundaes and milk shakes apart from the milk products that Amul manufactures Amul has Scooping Parlours across the country including Mumbai, Chennai, Delhi, Bangaluru, Thane, Pune, Kolkata, Nagpur, Ahmedabad and Coimbatore One can enjoy world class ice creams, Sundaes, shakes and other ice cream concoctions in a cosy and nice ambience at Amul Cafes & Parlours

Major Competitors in Mumbai

Strengths:
The major strength of the Mother Dairy is a
recognized BRAND name The increasing demand for these products 62% market share in Delhi NCR region

Weaknesses:
Scarce Mother Dairy Outlets Less Margin given to the Outlet owners to match the existing competitors

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 Strengths:

Major Competitors in Mumbai

Strong brand awareness Never-ending focus on fun combined with our commitment to innovation and a quality customer experience is important when you're considering investing in a business Baskin-Robbins has over 5,000 global locations in over 40 countries and we are continually opening new franchises. More than 1000 flavors of ice-cream in the library include low fat and no sugar ice-cream Provide several services for different age group Good support from the master franchisor

Weaknesses:
Not all branches offer the same products The customers might not be able to buy their favorite ice cream flavor at all branches in their area Quite expensive initial investment Some people might find it difficult to open their own Baskin-Robbins ice cream parlor
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Major Competitors in Mumbai

Strengths:
Natural Ice Cream does not use the traditional ice cream making- manual, slow & laborious, but it uses 3 steps- Boil milk in a kadai, make rabri and cool it and they call it TQT method- taste, quality and traditional method No stabilisers or artificial colours 15 fruit flavours in 3 months Combining traditional ice cream with fruit- super hit Instant hit- Sitafal, first sunday after launch- 300 scoops Extension- tender coconut, chikoo, jamun, musk-melon, papaya, apricot, water melon, melon, pineapple, jack fruit "We became popular purely by word of mouth 2009- 100 natural flavours, now combinations and Consistency in flavoursbiggest challenge

Weaknesses:
Targeting only premium segment crowd Higher price point

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Major Competitors in Mumbai

Strengths:
Good quality Good services and commission to the dealer Good brand image Customer satisfaction Verities Reasonable price

Weaknesses:
Improper delivery Improper packaging Replacement problem

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Major Competitors in Mumbai

Strengths:
Distinctive competency of providing unique ice creams will provide it a competitive advantage over its local competition As a first-mover in an untapped niche market, Gelato is faced with an exciting opportunity to establish a new market by introducing new products

Weaknesses:
Gelato major organizational weakness is its lack of experience in niche market like India. Legal and bureaucratic obstacles can be faced during the opening of the business Introduction of Indian flavors requires to hire local manpower and they need to be trained.
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SWOT Analysis

trengths
1. Good product range include various flavors, party packs, sticks, cones etc 2. Good quality and packaging, and good advertising 3. Amul is one of the most respected top-of-the-mind brands 4. Also launched probiotic and sugarfree icecreams 5. Offers over 200 products across India

eaknesses
1. Growing competition form international and other brands means limited market share 2. Limited international presence as compared to leading global brands 3. Family pack packaging

pportunities
1. High End ice-cream to tap the higher income group also 2. Tie-up with food chains, restaurants 3. Mobile vans for better visibility

T
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hreats
1. Kulfi in rural markets 2. Local ice creams and sweet dishes 3. Health conscious people refraining from sweets 4. Other competitor s like Kwality Walls, Baskin Robbins, Vadilal etc

Research & Analysis

Primary Research: 62 Respondents across varied age groups

Consumers of each brand

Others, 7 Kwality Wall's, 8 Baskin & Robbins, 8

Amul, 10

Vadilal, 7 Havmor, 6

Natural's, 11 Mother Dairy, 5

Research & Analysis

Feelings Attributes
4-20 yrs. 21-40 yrs.
7 5 4 2 8

Brand Recall
Aided 33 4 24 16 8 19 24 19 Unaided 43 8

41+ yrs.
7

6
4 1

Key Insights: The emphasis on Convenience to Buy & Freshness attributes increases towards older age groups who are the actual Decision Makers. Customization & Variety attributes catch the attention of Users & Influencers. Brand Recall is higher from Packaging & Tagline.

Research & Analysis

Retailers Preferences
80 70 60 50 40 30 20 10 0 Price Amul Kwality Wall's Mother Dairy Vadilal 65 45 51 70 Margin Quality Variety 60 52 48 72 71 61 68 66 69 72 56 64 Pack 66 70 69 58 Availabil Taste ity 62 67 71 74 59 69 67 63 Scheme Services s 71 62 61 68 55 60 70 65

Research & Analysis

Brand Attribute/Positioning Matrix
Amul Quality/Taste Value for Money Freshness Variety Kwality Walls Naturals Baskin & Robbins Vadilal Mother Dairy Havmor

Experience
Customization Convenience to buy

Research & Analysis

Key Findings:
Ice-cream brands of good taste & quality prosper in Mumbai A decent mix of both the Ice-cream Outlets & Products co-exist and flourish The success of Kwality Walls & Baskin & Robbins suggests that Value for Money has little say in this category The two key weak areas for Amul are Customization & Convenience to Buy Also, the overall Brand Experience is not strongly established The Variety of products although good, can be improved upon Retailers have a lower preference of Amul on account of Lower Margins, Poor Availability & Lack of Proper Service

Research & Analysis

Key Areas to be Worked Upon:
Leverage on the unique model of having take-home ice-creams & eat-in parlours

Redress distribution glitches

Improve service to the retailer Improvize on product offerings in both, the parlours as well as take-home Emphasize on the Experience & create an Emotional Connect Improve Visibility & Availability for the customer Increase Reach & Variety & Experience through No. of Outlets Expansion & Customization Options

Research & Analysis

Low Involvement Product

More Impulse Buy than Rational

Brand Recall & Availability should be high

Basis
HaagenDazs Narula Mother Dairy

100 80 60 40

Baskin Robbins Nestle

Brand Perceptual Map

Premium Flavour Pure Variety Consistent

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Vadilal's

Swensen 's

MacD

Naturals

Amul King's

Kwality Wall's

Source: CMIE Report

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Differentiation

The clear differentiation would be in terms of the addition of the customized segment into the portfolio In sync with Amuls red ocean strategy matching competition at every price points
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Differentiation

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Differentiation

30

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Basis
Middle-heavy buyer spread will continue to grow in that direction...
Population Growth
2000 1000 0
Under 1564 15 65+ Total
2000 2005 2010 2015 2020

Consumer Segments
5% 15% 25%
5-14 15-25 26-40 41-55 56+

20%
35%

Put together, Delhi and Gujarat consume about 30% of the total ice-cream in the country. The west region leads the total national consumption with 35% mark Demand for 500 ml and one-litre packets Ice Cream Consumption By has doubled in recent years Region Though the volumes come from South 20% traditional flavours (60% block), consumers West 35% East like experimenting 15% North International flavours, including 30% different varieties of chocolate, are going to be in this season
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Segmentation
The AMUL Shopp will be distributed as per the segment done based on major hawking zone shown to the right Separate trade license and DBA to be done

Further segments are to be done based on the amount of spending on ice cream per region this information will be available through the point of sales data
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Segmentation

Major consumer segments are divided into distinct age groups as per sales data The groups 15-25 is the most price sensitive group The group between 26-55 has the greatest purchasing power among all segments

Consumer Segments
5% 15% 25%
5-14 15-25 26-40

20%

41-55 56+

35%

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Targeting
The major focus should be on the groups 26-55 as the product is aspirational in nature and most of the time an impulse buy The age group 15-25 is the most price sensitive group, hence should be excluded from the premium dairy segment of products At the same time, Mumbai being a corporate hub, presents an opportunity for bulk corporate

Consumer Segments
5% 15% 25%
5-14 15-25 26-40

20%

41-55 56+

35%

deals
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Competitive Positioning
Referring back to the perceptual map, we can identify that, Amul lacks the premium dairy image in the consumers mindshare At the same time, Amul already has a brand perception of a pure product This is a complimentary attribute in position matrix which aptly fortifies the premium image as we equate pure quality with premium The positioning for customizable premium dairy is as shown to the right
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100 N M 50

H B N
Premium Flavour Pure Variety Consistent

0 K K

S
N

M A

Brand Image

Its not a brand image makeover but image extension

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Brand Positioning Bulls Eye

Core Proposition
Pure Milk & Quality Product Amul Milk & Distribution Network

Brand Position

Indigenous Manufacturing

Specially Designed Healthy Products

Substantiator

Market leader, quality manufacturer, wide variety

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Product
Prolife
500ml, 80ml

Probiotic
500ml, 80ml

Sundae
125 ml

Sticks and Cones

500ml, 120ml, 80ml

Block
500ml, 1.25l, 1.5l, 2.2l

Cups
100ml, 90ml, 40ml

Customized Dairy 125ml, 1l Gelato

Shahi Anjeer Vanilla With Choco Sauce

Shahi Anjeer Vanilla With Choco Sauce

Cheese-n Strawberry Double Sundae Black Current Sundae Magic

Frostik

Vanilla

Vanilla

Candy

Two-inOne

Strawberry

Gourmet

Tricone

Butterscotch

Butterscotch

Custom Made Sundae

Custom Made Cones

Butterscotch

Chocolate

Chocolate

Product Length, Width and Depth are indicated in the figure

Fundoo

Chococrun ch Kulfi

Fruit-n-Nut

Kaju

Balls

Alphonso Marvel

Alphonso

Pista 38 38

Product Suggestions
Amul should provide small pack

of milk Ice-cream
Amul should also start making wafer Ice-cream because sale of wafer Ice-cream of mother diary and nestle is very high in Mumbai region Improve the variety of ice-cream with competitive prices The custom made Gelato, gourmet, cone and sundae variants should be added to the portfolio To revamp Amul Tri-cone to compete with Cornetto
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Ice Cream Makers

Sample Baskin Robbins Ice Cream Maker

Changing the product ethos

From stereotype to ultimate customization.

Ice Cream MakersBenefits Total customization Revenue from selling the machines More purchase due to wastage On demand

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Service
Online / Telephone order Toll Free number Pilot customized variants Customers should be able to select Material / Waffle of the cone Base layer Middle layer Top crust & toppings Add ons such as fudge cakes, brownies or pretzels Online order tracking and time bound delivery Delivery charge would be levied above the billing amount
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Service
Sample online order tracker

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Suggested Packaging
Hamara Apna Deep Freezer has an opaque door - > Change it to transparent Inclusion of Amul Girl on the logo of Amul Ice Cream

SUGGESTED LOGO
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Pricing
Milk Raw material cost Major costs Transportation
Other costs Cocoa Dry fruits Waffle Freezers Packaging
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Sugar

Pricing
Wide range of products from low cost to premium Low cost Product Frostik Tricone (120ml) Amul Range (Rs.) 10-20 20/22 Kwality walls Range (Rs.) 20 30-40

Take away packs (405 g + 405 g) Premium

Product Exotica range (540 g)

120-180

185

Range (Rs.) 130-150

Range (Rs.)

Swirl (405 g)
Sugar Free (540 g)

80-100
120-140

180

Jamnalal Bajaj Institute of Management Studies Team 1

Pricing
Real milk Real ice-cream

Not competing with the likes of Baskin & Robins

Price sensitive audience

Therefore, We suggest not to alter with the current price points Issues: Current packaging of take away packs have to be improved, might raise the prices slightly Sugar price deregulation might add pressure on maintaining the same prices
46 46

Major source of Revenue

Amul has around 8000 amul scooping parlours around India
- Hindustan times Jan 2013

Margin earned from Amul scooping parlors Rs.75000/month

- Amul website

Amul Total revenue Revenue from Amul scooping parlors Revenue from retail shops

1120 cr. 720 cr. 400 cr.

Since major portion of the revenue is obtained from the scooping parlors, as seen later, our promotion strategy would be aimed more towards these parlors and improving their serviceability
Jamnalal Bajaj Institute of Management Studies Team 1

Current Suppliers

Mumbai Supplier
48 48

Amul Distribution Network

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Amul Supply Chain

Farmers 2.1m households VCs 11,000 MUs(12) 12000 employees

Out of the entire milk procured, approximately 40 per cent is sold as liquid milk and 60 per cent is converted to value added products.
Retailers Consumers 500,000 (17.5% on MRP)
GCMMF = Gujarat Co-operative Milk Marketing Federation; MUs = Member Unions; VCs = Village Co-operatives. Bracket figures indicate the margins.
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GCMMF

Distributors 3,666 (10% on billing)

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Amul Ice Cream Distribution

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Distribution Features
Partners 6828 distributors in India More small time distributors being added each year Distribution through Cyber Store Almost 5000 dealers across India Tie ups with deep refrigeration chains like Carrier, HADF, Voltas etc. Network Depots to buffer entire product range inventory Cash transactions maintained throughout the supply chain JIT strategy to improve dealers ROI Route scheduling strategies and dedicated vehicle operations

Assets Retailers being provided deep freezers through HADF 300 stock keeping units 18000 strong cold chain Decentralized facilities 47 depots with cold storage facilities

Unsold/Spoilt Goods Policy Retailer bears cost if product crosses shelf life In case of transportation errors or customer complaint, Amul bears cost Unsold goods returned to manufacturer No Reverse Logistics
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Distribution Analysis
Problems: Retailer mindset that deep freezers involve high initial investment Flawed replacement strategy Supply Unavailability Problems Deep Freezer servicing errors Increase in electricity bills of retailers Cases of non-delivery within stipulated time Recommended Solutions: Regular distributor visits Put in place schemes for rewarding good retailers Increase distribution man-power Meet customer complaints on time Put in place measures to provide prompt after sales service

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Amul Ice Cream Parlours

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Place Recommendations
Key Findings: Current Amul preferred outlets (APOs) 8000 Retail outlets - around 80000 Less presence in modern retail Traditional Presence challenged by competitors Less number of Brand Outlets Low Brand Recall Premium Facility Outlets to be opened at strategic locations Increased presence in key Modern Retail stores Creating robust distribution system by rectifying errors Recommendations: Atleast one more Contract Supplier or Manufacturer in Mumbai Expansion to places having good connectivity

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Place Expansion
Introduction of Caf Amul chains in Mumbai Amul Railway Parlors at all stations Amul Ice Cream Push Carts at major locations Tie ups with major retailers like Big Bazaar and D-Mart

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Future Amul Parlours: A Glimpse

APO for Tier II cities

APO for Urban Centers

APO for Rural Centers

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Promotions
Continue with 1+1 Free - Amul Double Supreme & Flavor of the Month schemes due to high success rate

AMUL should sponsor for the socio-cultural activities

organized in Mumbai like the Kala Ghoda & Bandra Carnival & have intensive sampling exercises In Mumbai, Amul can improve its market share by regular performance of promotional activities, they should adopt it by

attracting hoardings, banners and advertisement in magazines

and newspaper Fun Carnivals outside parks, offices, etc

Promotions

Shop Sign Boards & Supply Trucks Hoardings giving good visibility at low cost

Promotions
Amul Kiosks in major metro malls with special discount on

the custom and probiotic variants to increase trials

Happy Ice-Cream Hours to increase non-peak hours sales Deals with franchisee's like Subway to have an Amul IceCream counter Customized multi-flavoured "Happy Ice-Creams" for Birthday

Bulk Orders
The endearing Amul girl and pun at various issues to increase brand recall, but depicting Ice-creams as well Marketing strategy competitions for B-school students

Promotions
An Ad Campaign positioning Amul as a Family Ice cream & Family Outing Experience to hit the emotional cords of the target Market Lets go out for an Amul Ice-Cream

Promotions Social Media

Consumer interaction via forums & Users Facebook Page Activity Increase through puzzles, riddles, etc. Facebook Logout Ad Facebook Page should be exclusive to Amul Ice-creams Promotions & not other Amul Products Current website interaction like Your Recipe, Kids Recipe, etc. should also be included on the FB page

Link twitter feed to Facebook & Use hash tags such as #amulicecreams, #goout foramulicecream & #realmilkpersonalicecreams

Fans to share videos & upload them, generate views & shares. Winners will get gift hampers, special holiday packages, special gift coupons, etc.

Facebook Log-out Ad

Promotions
Consumers face problems for navigating in modern retail stores & also for an impulse buy product, it is important to remind the customer of your presence Also, Blue casting can be used at outlets as an innovative & interactive sales promotion technique

Promotions Spread-a-Smile Campaign

Aimed at increasing repurchase

To be implemented mainly at AMOs & Scooping Parlours &

Caf Amul
Visits Spread-a-Smile
A card will be given which will be stamped on every visit within a month

1
2

Visit again & Spread Smiles Thank you for your donation of Rs. 2

Every 2nd visit to the store, Rs.2 will be donated towards a Rural Education Program

3
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Get a 30% discount

Thank you for your donation of Rs. 2 Get a scoop for free

Every 3rd visit, you get a 30% discount

Every 5th visit, you get a free scoop of select flavours & Rs. 2 will again be donated for the Rural Education Program

Implementation Retailers Push More

Traditional Retailers: Push More

1 point for each SKU sold

100-199 points per month= Special Incentive Programs

200 + points per month = Star of the month & Special Incentives

SOS Stock Out SMS

Traditional Retailers: Service Improvement SOS or Stock Out SMS Scheme When inventory falls below a certain level: Place Order Information tracked by a central system
Jamnalal Bajaj Institute of Management Studies Team 1

Enhancing the Eco system

Branding across by Carts Customer Value hierarchy
Provide necessary nutrition Safety Issues
Basic

Expected Support raised for Metros in form of Umbrella carts for easy accessibility, better penetration and open visibility

Easy Availability Proper Packaging

Desired

Good Quality Products All lines of products at one stop

Unanticipated
Support for class 2 towns in form of cycle carts for easy accessibility, better penetration and cost effectiveness
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Promotional Offers Complementary gifts

Organization Aeroplane Model

Treat people as youd like to be treated. Produce the best for less. Measure, manage and share whats important. Think big and grow. Incentivize what you want to change. Set the bar high, train, never stop learning. Promote from within. We are not ordinary, we are exceptional.

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Issues and Controls

Issues at the Distributors end
Lack of knowledge at retailers end on the aspect of stocking in the refrigerator Employing less number of vehicles than required Lack of efficiency in handling the goods during transit as well as handover to retailers Lack of personnel efforts and will to push for maximizing orders from more and more outlets Stocking in the vehicles can be better in order to reduce damage
(Distributors under the scope -South Mumbai, Borivali, Airoli)

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Issues and Controls

Issues at the Retailer's end
The cardboard packaging for Family packs is poor Fridge maintenance is poor due to lack of frequent monitoring Dummy packs Empty sealed packets of candy bars Exchanging of damaged goods is tedious and claims are not given 1 or 2 pieces less Damage due to Electricity shortage Coverage norms not clear

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Issues and Controls

Issues at the Consumer's end
Products lacks freshness in appearance Family packs become soggy and pasty many a times due to constant melting and freezing occurring due to power-cut The Cones lose the crunch and the solidity due to improper stocking and liquidation of the Ice-cream in power-cuts The Ice-creams in the cones as well as the cups not cold enough Family packs cannot be consumed over a period of time and have to be consumed when the pack is opened

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Recommendations

Reduction in amount stocked leading to lesser damage due to prolonged pressurizing The norms for the maintenance of the fridge (between the refrigerator Companies and AMUL) must be made clear to levy off the responsibility Post the warranty period, the task can be outsourced and retailers can be encouraged with free AMC for a year or two

Train current sales force to report fridge-related issues and communicate the process for acquiring quality maintenance

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Recommendations
Empty packs/1 or 2 pieces less
Distributors argument: The packages are made as per weight prescribed and thus empty packets are Extra in number. The pieces are stolen during transit and delivery Retailers argument: Number of packets replaced with empty packets

This can be taken care by monitoring of the goods while they are being delivered

Exchanging of damaged goods is tedious and claims are not given

Norms and conditions for exchange of damaged goods should be clear and well communicated Preventive measures for reducing the damage should be communicated failure of compliance to which shall disqualify the argument for replacement of goods/ refund
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Control Monitoring & Advance

Allocating

Organizing

Monitoring

Interacting

Skills in Evaluating Results

Differentiating between poor strategy/good implementation and good strategy/poor implementation
Jamnalal Bajaj Institute of Management Studies Team 1

Control Monitoring & Advance

Outcomes of Branding Campaign

Customer Reach

Customer Engagement

Brand Loyalty

Increased Sales

EXPECTED IMPACT - AWARENESS x BUZZ x TRIALS x ASSOCIATIONS = BRAND LOYALTY Continuous Monitoring: Target vs. Actuals through SMART Metrics Specific, Measurable, Attainable, Resources, Time

Implementation Strategy & Timeline

Year 1 Q1 Q2
Implement the proposed changes in positioning & differentiation of the brand For first two quarters work on improving the distribution network, availability, accessibility & visibility Work on BTL promotions extensively during this time Start with retailers incentive schemes , sales promotions & sampling exercises at different places Maintain an ATL:BTL spend ratio of 20:80

Year 1 Q3 Q4

Work on the social media plan, increase advertising spends Implement the Family Experience & Happy Ice-Cream Hours scheme Work on expansion of outlets & product lines Flourish Customization options Maintain an ATL:BTL spend ratio of 40:60

Year 2 & 3

Implement Spread-a-Smile Campaigns in the second year SOS scheme for Retailers in the second year Implement BlueCasting in the third year Try & look into new supplier avenues for reducing pressure on single supplier Maintain an ATL:BTL spend ratio of 30:70

Jamnalal Bajaj Institute of Management Studies Team 1

P&L Glide Path

Particulars
Sales Raw materials consumed Selling and Distribution expense Advertisement Delivery Expense

Amount(`)
79,20,00,000 22,76,00,000 6,20,00,000 4,52,60,000 5,40,80,000

Packaging Cost
Employee cost Direct labour and Prime cost Other costs Depreciation Net income
77

3,88,00,000 77
7,72,00,000 6,45,60,000 5,89,60,000 3,38,40,000 12,97,60,000
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P&L Glide Path FY13

Particulars Amount
55,44,00,000 27,98,32,000

Sales
Raw materials consumed Selling and Distribution expense Advertisement Delivery Expense Packaging Cost Employee cost Direct labour and Prime cost Other costs Depreciation Net income

2,20,80,000
1,91,12,000 1,26,08,000 1,71,92,000 5,72,56,000 4,21,92,000 4,12,72,000

2,36,88,000
4,81,68,000

P&L Glide Path FY 14 Q1

Particulars Amount
18,97,00,000 8,16,10,000 79,46,400 69,66,900 42,02,000

Sales
Raw materials consumed Selling and Distribution expense Advertisement Delivery Expense Packaging Cost Employee cost Direct labour and Prime cost Other costs Depreciation Net income

57,09,900
1,50,64,000 1,54,60,500 1,41,13,700 76,72,000 3,09,54,600

P&L Glide Path FY 14 Q2

Particulars Amount
15,12,00,000
6,42,98,800

Sales
Raw materials consumed Selling and Distribution expense Advertisement Delivery Expense Packaging Cost Employee cost Direct labour and Prime cost Other costs Depreciation Net income

79,46,400
35,89,000 42,02,000 45,51,100 1,50,64,000 1,23,22,800 1,12,49,300

76,72,000
2,03,04,600

P&L Glide Path FY 14 Q3

Particulars Amount
23,41,50,000
11,81,75,500

Sales
Raw materials consumed Selling and Distribution expense Advertisement Delivery Expense Packaging Cost Employee cost Direct labour and Prime cost Other costs Depreciation Net income

40,93,600
69,67,000 42,02,000 70,47,900 1,50,64,000 1,90,83,200 1,74,20,700

76,72,000
3,46,24,100

P&L Glide Path FY 14 Q4

Particulars Amount
14,14,00,000
6,42,98,800

Sales
Raw materials consumed Selling and Distribution expense Advertisement Delivery Expense Packaging Cost Employee cost Direct labour and Prime cost Other costs Depreciation Net income

40,93,600
35,89,000 42,02,000 40,45,400 1,50,64,000 1,09,53,600 99,99,400

76,72,000
1,74,82,200

P&L Glide Path FY 15

Particulars Amount
90,10,00,000 45,47,34,700

Sales
Raw materials consumed Selling and Distribution expense Advertisement Delivery Expense Packaging Cost Employee cost Direct labour and Prime cost Other costs Depreciation Net income

3,20,67,200
2,22,20,000 2,50,18,000 2,79,31,000 6,65,43,100 6,69,85,000 5,11,77,300

3,38,40,000
12,04,83,700

P&L Glide Path FY 16

Particulars
Sales
Raw materials consumed Selling and Distribution expense

Amount
1,05,70,00,000 53,34,67,900 4,40,20,000 3,12,60,000 3,02,45,000

Advertisement
Delivery Expense Packaging Cost Employee cost Direct labour and Prime cost Other costs Depreciation Net income

3,27,67,000
6,80,80,000 7,57,32,000 5,11,77,300 3,38,40,000 16,64,10,800