Product Management of various

SKUs
Based on Location & Income
Mother Dairy
Summer Internship (13-15)
Vikas Rathore
MBA CI&SM

Company Profile

Set up in 1974 in Delhi under the Operation FloodProgramme.

Subsidiary of NATIONAL DAIRY DEVLOPMENT BOARD

Revenue:- 4000 cr

Employee:- 3000

Operational Regions:
Delhi-NCR, Uttar Pradesh, Haryana, Mumbai, Saurashtra, Andhra Pradesh

Objective
The intent of our study stresses upon the product management of various skus
and identification of their sales pattern based on location and income.

To study and analyze the current sale of various skus at allocated Mother Dairy
booth in Noida.

To understand the buying behaviors of consumers based on geographical

location and their income in Noida.

To rectify the demand forecasting data of allocated region existing with the
company.

To promote sales of slow moving skus by educating the booth operators.

Limitations

Study was restricted to allocated region in Noida only.

Analyzing the perception of people of Noida was little difficult as some

respondents didnt have much knowledge about the various SKUs and thus
faced difficulty in answering.

Convenience Sampling was done.

Product Management

Planning

Forecasting

Marketing
of Product of a company is Product Management

Objectives of product management

To design product strategies

To spot market opportunities

To develop strategies for each stage of product life cycle

To generate new product ideas

Product Life Cycle of various Skus

Full Cream
Cup
Corn Chatkara
Flav Lassi

Mix Veg
Toned
Tub
Lassi

Standardized
Peas
Stick

Token
Brick

Analysis

Understanding Income Segment

Sectorial income & Visit to other Frequency
Top Skus

Understanding income segment

Customers
75,001/- and above 16%

40

50

8,000-25,000/- 20%

50,001-75,000/- 24%
Rarely
Sometimes

25,001-50,000/- 40%

Occasionally
50,001-75,000/- 24%

60

25,001-50,000/- 40%

Often

75,001/- and above 16%

100
8,000-25,000/- 20%

10

15

20

25

30

35

40

Sectorial income & Visit to other Frequency

12

12

10

10

25,001-50,000/4

Sometime

8,000-25,000/-

Occasionally

50,001-75,000/-

Ofen

75,001/- and above4

Rarely

2
2
0
0
Noida Noida Noida Noida Noida Noida Noida Noida Noida Noida
Sec 19 Sec 20 Sec 25 Sec 26 Sec 17 Sec 16 Sec 21 Sec 24 Sec 11 Sec 15

Top Skus

Key Findings
Through this study it was observed that the sales of different SKUs depends upon the locality and income group.
Various conclusions drawn were:

We need to place the various SKUs like UHT (ultra high temperature) milk, Milk Cake, Cheese etc. based on location.

These products should be made available in sufficient quantity in the booths based in prime locations.

Company can organize its booths operators demands, which helps in understanding the pattern of sale of each Sku
geographically.

Company can implement a java enabled software by which the booth operators can notify the company about the
replenishment of stock which also helps in analyzing and signaling the company about the fast moving Skus of each
booth.

Company increase its profit by selling products(Popular/Fast moving Skus) with high revenue

Recommendations

Mother dairy loosing competition to Amul, due to weak supply chain

management of Mother dairy.

Thus Mother dairy must focuses on its supply chain management.

There is huge gap in rise in population and rise in milk industry, thus the
population is rising by 17% and rise in dairy Industry is 4%.

Mother dairy can utilized this in positive way to diversify itself in regard to
expansion as well as product differentiation.

Educate the customers about the slow moving skus of that booth and promote
products .

Contd

Educate and aware customers about the other available products as it was
concluded from research that some mother dairy customers were also
purchasing mother dairy products from other retailers which should be
converted.

Mother dairy after categorizing the booths based on location and income should
renovate and promote its booth ambience having more appeal added to it in
prime locations.

To develop a mobile enabled java software which the booth operators would
operate on their mobile phones and notify the company about the sales od
each skus on hourly basis and the company would be able to identify the exact
demand of its consumers residing in the proximity.