RESEARCH REPORT
ON
SALES & DISTRIBUTION
OF
PARAG MILK
SUBMITTED TO
SUBMIITED BY
MBA DEPTT.
IEC College of Engg. & Technology
RAJESH GOYAL
MBA-4th Sem
R.N.0709070057
PREFACE
The success of any business entity solely depends on how effectively does it utilizes
its optimum resources and how soon does it make arrangements for the removal of
the customers grievances. Moreover, the company should always be ready to make
necessary changes according to the requirement in order to attract more customers
so as to maintain a substantial growth in the market. The topic given to me was:
SALES & DISTRIBUTION OF PARAG MILK
I have tried to put my best efforts to complete this task on the basis of skill that I
have achieved during my studies in the institute.
I have tried to put my maximum effort to get the accurate statistical data. If there is
any error or any mistake in collecting the data, please ignore it.
ACKNOWLEDGEMENT
One of the most pleasant aspects of writing an acknowledgement is the opportunity to thank
all those who have contributed to it. Unfortunately, the list of expression of gratitude- no
matter how extensive is always incomplete and inadequate. This acknowledgement is no
exception.
First of all, I wish to express my sincere gratitude to Dr. Shailendra Verma Sir,Dr. R.N.Rai,
Dr. A.K.Shukla Sir,Dr. Himanshu Shekher,Dr. H.P.Pandey for giving me opportunity to
do research under her profound guidance. I would also like to thank Kapil Sir, Navneet Sir,
Miss Stuti Mam for their inspiring guidance, motivation, positive criticism, continuous
encouragement and untiring supervision this work could be brought to its present shape.
I would like to thank all of them who in one way or the other have helped me.
Abhivadan Upadhyay
CONTENTS
CHAPTER-1
1.1 Executive summary
1.2 Introduction
1.3 Introduction of Dairy Co-Operation
1.3 Hypothesis objective
1.4 company profile
1.5 Quality of Milk
1.5 Introduction of Technology and Process
1.5 Milk Testing
1.5 Trade profile
1.6 Introduction to problem
1.7 Scope of project
1.8 SWOT analysis
1.9 Limitation
CHAPTER- 2
2.1
2.2
2.3
2.4
2.5
Research methodology
Source of Information
Type of research
Data collection instrument
Field work procedure
CHAPTER- 3
3.1 Finding analysis & Recommendation
CHAPTER- 4
4.1
Summary/ Conclusion
CHAPTER- 5
5.1
5.2
Bibliography
Appendix
DECLARATION
I, Abhivadan Upadhyay, hereby declare that the Research report entitled
Sales and
Distribution of Parag Milk being submitted to Dr. Ram Manohar Lohia Avadh Uioversity
LUCKNOW for the fulfillment of the requirement for the degree of Bachelor of Business
Administration is my own endeavor and it has not been submitted any university or Institute
earlier for any degree.
Date:
Place:
(Abhivadan Upadhyay)
EXECUTIVE SUMMARY
Marketing is indeed an ancient art. It has been practiced in one form or other since the days
of Adam, and Eve. It emerges as a management discipline. However, is of relatively recent
origin. And within relatively this short Period, it has gained a great deal of importance. In
fact, today most Management thinkers and practitioners the world over, regard marketing as
the most important of all management function in any business.
Indian dairy is said to be emerging as sunrise industry. Milk industry became Indias number
one firm in terms of value of output since dairying in India is closely linked to agriculture,
Milk production is mostly based on the utilization of farm by product and crop- residues.
Because of this, the cost of milk production is much lower than any other industry.
Modern scientific processing technology and managerial innovation are opening up vast
opportunities in processing and marketing of various kinds of value added milk and milk
products like flavored milk, ice cream, and other delicacies. Thats why most of the
consumers are attracted toward milk product materials. Most of the consumers are attracting
packed milk because in this method there is no any adulteration comparison to loose milk.
Most of the consumers prefer full cream milk as very essential because in this milk, fat
percentage is very high. After that 2nd choice of consumers is DTM and the aged person and
patient type of consumers preferred skimmed milk .In this type of milk, fat is not present.
Most of the consumers purchase decision is based on quality of milk. Time availability
factor generally influence to the people for better services. In consumers opinion Mother
Dairy covers the maximum market share then comes PARAG dairy. Most of the dealers think
that if the quality of the milk is good then the sale will increase. Now Consumers are
attracted towards flavored milk.
The products marketing division is handling the marketing of Butter, Ghee, Skimmed milk,
Milk powder, Dairy whitener. Table butter is available in 100 gm &500 gm pack in the
market. Pure ghee is present in kg and 1 kg polypack in the market. Other than in U.P
and LUCKNOW Parag product are also distributed in other state.
After MOTHER DAIRY PARAG DAIRY acquires 2nd position in terms of Quality,
Availability.
PARAG DAIRY plant of LUCKNOW is the first vertical dairy of Asia. Thus it is also the
most modern and automated dairy in North INDIA, where quality of milk processed and
packed is second to none. Parag is widely accepted brand name of dairy product in India.
According to me Parag Dairy has got a good position in the market.
INTRODUCTION
Indias dairy industry generates an annual business of Rs. 53,000 cores and is expected to
touch Rs. 88,000 cores by the turn off century. Its highly skilled manpower pool is other
advantage.
The country has built up a strong base for education, research, extension and training in dairy
and veterinary science and manpower resources available here are much cheaper than other
countries.
Since dairying in India is closely linked to agriculture, milk production is mostly based on
the utilization of farm by products and crop residues.
Because of the cost of the milk production is much lower than the many developed countries,
modern scientific processing technology and managerial innovation are opening up vast
opportunities in processing and marketing of various kinds of value added milk product like
flavored milk, yogurt, ice-cream and other delicacies.
The emerging consumption patterns present new challenge for the dairy industry. The
strategy is now shifting from distribution to sales and marketing. Extreme perishability of
milk possibility of its contamination necessitates rapid movement of the product. The highly
decentralized natures of the production assets and lie then adequate development of physical
infrastructure make the desired speed of movement of milk difficult.
Indian dairy is multi layered shaped like a pyramid with the base Map of market for low cost
milk. The narrow tup at the top is small but there exists a
milk products.
Indian love to drink milk, hence no efforts are needed to make it acceptable its availability
is not a limitation either, because of simple production.
It leaves the vital marketing factor affordability. How to make milk affordable to the large
majority with limited purchasing power. This is essence of challenge.
B. Defense market:
It is growing market for quality of
C. Ingredient market:
A boom is forest in the market of dairy product based as raw material in
Pharmaceutical and allied industries India with their sizeable dairy industry groining rapidly
and on the path of modernization would have decades to come.
During the early 1920s military dairy farms were established for adequate supply of milk to
the army station.
Establishment of the imperial Indian council of agricultural research in 1929 and transfer of
the office if the imperial dairy expert and the institute at Bangalore to the central government
of India was on the right path of giving due importance to animal husbandry and dairying.
Subsequently N.C. Wright, Director, Dairy Research Institute Scotland, was invited to review
the progress of dairying in India.
His four-year stay (1936-1940) gave a remarkable impetus to dairy development. Even to
this day we realize the importance of D.R. Wright recommendation, which he made in his
report towards dairy development Imperial Dairy Research Institute (IDRI) in 1941.
Later on it was renamed as Indian Dairy Research Institute and regional stations subs
regional station equity as National Dairy Research Institute (NDRI) in 1955 with Regional
station.
Academic Training Programme and research in dairy technology and dairy husbandry were
accelerated under the director of dairy research, a top senior official position first held by
KOTHWALAOR THE DAIRY DEVELOPMENT advisor to the GOVERNMENT OF
INDIA in 1944.
10
The polson Dairy at ANAND bridged the gap between the market at Bombay and milk
products in Karia district by supplying pasteurized and chilled milk to Bombay milk scheme
and military cantonment in Bombay in 1943.
some of the points emphasized by him were:A. Lack of an organized milk industry in India and ready and
11
Toward the end of 1960 the lessons of the Gujarat dairy co-operative movement thus began
to gete incorporated in the officials policy towards dairy development.
The government of India entrusted the NATIONAL DAIRYDEVELOPMENT BOARD
(NDDB) with the task of implementing operation flood which involved creation of Anand
pattern or Amul type unions in it districts of the country.
12
14
MARKETING
The federation is marketing milk and milk products under a common brand name PARAG.
The total product range under the Parag Brand includes: - GHEE, Butter, SMP WMP Dairy
whitener, Flavored milk, Paneer, and Khoa.
15
The clientele include several prestigious institutions- U.P. and LUCKNOW besides the
Indian and the Fareast.
The turnover of the federation inclusive of the RMOs and Cattle feed plants union is Rs
545.08 cores.
The global market for Indian Milk product is likely to brighten further in view of the GATT
agreement and PCDF is poised to emerge as an active player in foreseeable future.
EXISTING MARKET STRENGTHS
The field stiff is contacting more than 25000 retails outlets every morning and evening.
PCDF is serving more than 2 million consumers ever day by providing them by top quality
fresh milk. The consumers have faith in PARAG products and PCDF believe that a satisfied
customer is their best advertisement.
16
OBJECTIVE
To find out the satisfaction of dealers with reference to delivery
and collection time of PARAG milk.
To find out the types of milk mostly preferred by the retail outlets.
To find out the users perception with reference to quality of milk supplied by
Parag dairy.
To find out the sources of information regarding the availability of Parag milk.
To find out the factors responsible for the growth in sales of branded milk in
lucknow region.
17
COMPANY PROFILE
Parag Dairy
Establishment:
Parag Dairy LUCKNOW is a project under the operation flood 111 scheme of the
Government of India. It has been executed by National dairy Development board (NDDB)
with a capital investment of Rs 50 cores, for Pradeshik co-operative dairy Federation
Limited, Lucknow.
Some Unique features of the dairy:Pradeshik co-operative Dairy Federation Ltd. is more than four decades old in the Indian
Dairy Industry. Aquasi government organization in the co-operative sector, it is the leading
organization in the dairy sector in the Northern India. PCDF- a cohesive body successfully
does away with the exploitative force of yester years, the eventual middlemen, fore going a
direct link noble aim, a three tier co-operative structure has been evolved comprising of
societies at the village level, milk union in the districts & finally the main focal
Apex Federationthe PCDF at the state level. World Bank aided operation program in the
state has been implemented by PCDF in three phases beginning 1997 to the year 1995.
Nearly all the potential milk belts of the state were gradually covered in the three phases of
operation Flood programme.
18
Last year, we marketed products worth US $ 20 million. Parag is a house hold name for the
quality and price- anchorage. Our clientele include several prestigious organization of
LUCKNOW besides the Indian Army and Indian Air Lines. Our sales network is spread
throughout Indian.
The global market for Indian milk products is likely to brighten further in view of the latest
GATT agreement. At present we are successfully exporting our product to neighboring
countries.
19
20
BACKGROUND
Parag is in the business of milk for more than 50 years. Parag milk is entirely collected
from village level collection centers that are developed by Parag. The quality of Parag
milk, regularity of supply and value of commitment has made Parag as the hallmark in
our sphere of operation. Today Parag is the second largest distributors of milk in
LUCKNOW & U.P.
The taste and flavor , low sodium level , low ash , content and low plate count of
Parag dairy products has fetched as accolades of clients . Products of Parag have found
wide acceptance with countless prestigious institutions. It includes Nestle India Limited,
Smithkline Beechman, Hindustan Lever Limited, Mother dairy & thers.
21
CONSUMER BEHAVIOUR
Consumer behavior consists of human behavior that goes in marketing purpose decision. In
case of basis necessary things of life (food, cloth and house) a person not takes any rise and
wants to purchase best brand available in the market.
A person do not experiment with food products, he only purchase known brand or pre-used
brand. He switches over only in the condition of suggestion of friends and relatives.
A general behavior of people is to select the best option available in the market. But option
means that brand which he knows and that brand is best quality at fewer prices. But in the
case of food product a person do not main emphasize on price of thing, his main emphasis is
on quality. So in this case people want only best milk brand which they knew.
22
QUALITY ASSURANCE
FROM PRODUCERS TO CONSUMER:
AN OVERVIEW
In the new millennium, the world is emerging as a new place with increasing challenges for
co-operative dairy industry to produce superior quality milk & milk products at a competitive
price. In this changed environment the testing of milk &milk products at a different stages of
handling, has become a necessity to ensure good quality & safe food for the consumers.
DEFINING QUALITY
Quality is an outcome of intelligent efforts and a strong will to produce superior and
safe food articles of internationally accepted standard
Customer satisfaction is at the focus of the latest international standards for quality
Quality as defined by the international organization for standardization is "the totality
of features and characteristics of a product and service that bears on its ability to satisfy
stated or implied needs.
23
QUALITY OF MILK
level.
Microbial quality, which is a function of general health of the cattle and milk handling
practices subsequent to milking
- The General hygiene of the farmers.
3. Sensory Quality
Off - flavour, smell/ flavour which consumer like/ dislikes.
24
The quality of an food materials including milk &milk products is influenced by the manner
in which the raw material, producer, transporter, processing, post production handling,
storage consumer and regulatory environment interact each other.
Good processing and handling can only help to prevent or inhibit further deterioration in
quality but can not off -set the harmful effects of the deterioration in terms of toxins and
acids which have already been produced due to increased Bacterial Activity in the raw milk.
Portable water and drainage, approach road and electricity in DCS villages
Awareness among the farmers resulting in poor hygiene, sanitation & environment
condition
25
TYPICAL OBSERVATIONS
Milking the animals in dirty surrounding with cow-dung & animal urine
Use of "Aluminum, plastic, GI Utensils" for making the animals and carrying the milk
to DCS
Use of plastic jerry cans at DCS level for transportation of raw milk
STRATEGY ADOPTED
- CMP awareness through village level meetings, booketlets, calendars & posters
- Organizing exhibitions/stalls at union/DCS level
- To provide technical support for hot water system, as vessels etc
- New technological supports
- Sanitization of cans at DCS level
- Introduction of BMC
26
Bactaslyde
-Quick testing and easy to use technology for total bacterial load and coliform load
- It helps in creating awareness about bacteria among farmers, DCS
27
PROCUREMENT PROCESS
In UP milk production is scattered with large-scale producers. A quick survey done in the
recent past reveals the fact that the average land holding is very small. The number of family
members is high as compared to the buffaloes that a family owns. The number of buffaloes is
less with 20%-50% dry or pregnant, thus the producer has to feed such animals that are not in
lactation.
The average milk yield per lactation of buffaloes is 300 days ranges between 900 kgs to
about 1500 kgs. Producers retain the 25% of the produced milk and rest of the 75% is
marketing surplus. Thus these quantity of surplus milk available with a producer ranges from
2 kgs-10 kgs per day. An adequate system of organizing milk procurement, quality control,
quick testing and chilling & transportation is required in most of the village.
Keeping this in view VRS Foods already organized about 500 village centers. Every center is
located in puce room owned by the company or hired locally and provided with a small
laboratory for conducting quick platform tests including fat%, SNF%, acidity test, COR, BR
and CNR on which payment is made. Company has also provided running water for the
cleaning of utensils, equipment and storage of milk.
During the flush season at each village 300 kg to 700 kg of milk is collected. As per the time
schedule, small size vans collect the milk and transport it quickly to the nearest chilling
center/dairy plant. In these plants milk is cooled to a temperature of less than 9 degree
centigrade
to
preserve
28
its
quality.
At certain centers facilities for the pre-cooling of milk is also available. It also avoids any
rise in acidity while storage and transportation.
||Ghee||
ParagMilkSpray ||
VRS Foods
Ghee || Parag
Table
InstantDairyMix ||Casein ||
Parag
Butter
29
Butter
||
White
MILK TESTING
1. ORGANOLEPTIC EVALUATION
Check colour , taste and flavour of milk.
2. COB TEST:Take 2ml of milk in a dry test tube. Boil milk on flame of spirit lamp .Formation of ppts. in
the test tube indicate COB test positive.
3. ALCOHOL TEST :Take 5 ml in a test tube . Add 5 ml (60% by volume) alcohol with constant shake. Formation
of ppts. indicates alcohol test positive
4. TITRABLE ACIDITY TEST:Take 10 ml milk in 100 ml conical flask add 10 ml distilled water and 1 ml phenolphthalein
solutions titrate with N/10 NAOH till fant pinkish colour appears.
%TA = 0.09 X ml. of NAOH used.
5. NEUTRALIZER TEST:-
30
Take 2 ml milk rosalic acid (0.05% in 60 % alcohol), add 2 ml of milk .Rose red colour
indicate neutralizer test positive.
6. UREA TEST :Take 2 ml milk in test tube , add 2 ml DMAB solution and mix the contents. Appearance of
yellow colours indicates the urea test positive.
7. SUGAR TEST :Take 3 ml milk in a test tube, add 5 ml dilute HCL (1.2) containing 0.1% resorcinol. Mix
well and keep test tube in boiling water for 5 minutes. Brick red colour formation indicates
sugar test positive.
8. STARCH TEST :Take 3 ml milk in a test tube , boil and cool under tap water and add 2 drops of 1 % Iodine
solution. Appearance of blue colour indicates starch test positive.
9.HYPOCHLORITE TEST :Take 5 ml milk in test tube, add 1.5 ml of 7% potassium Iodide. Appearance of yelloish
brown colour indicates hypochlorite test positive. If solution is clear add 4 ml dilute HCL
(1.2) and heat the test tube at 85 degree centigrade for 1 minute. Cool and add 0.5 ml starch
solution. Appearance of blue or red colour indicates presence of bleaching powder.
31
Take5 ml milk in a test, add 0.5 ml of 1 % ferric chloride solution. mix well and conc.
sulphuric acid slowly along the side of tube. Formation of violet ring at juncture of two liquid
confirms formalin test positive.
11. HYDROGEN PEROXIDE TEST :Take 5 ml milk in a test tube and add 2 drop of para phenyl diamine hydrochloride (1%).
Formationof blue colour indicates hydrogen peroxide test positive.
12. B. R. TEST (40 DEGREE CENTIGRADE):Centrifuse the milk, take out cream plug & make ghee. Add a drop of clear fat on
Butyrorafractometer prism maintained at 40 degree centigrade . Reading should be in range
of 40- 43.If B.R reading taken at temperature other than 40 degree centigrade , apply the
following formula:
R = R1 +0.55 (T1-40)
R= B.R. reading at 40 degree centigrade
R1= Observed reading at T1
T1= Temperature degree centigrade at which B.R reading taken.
13. MINERAL OIL TEST :Take 22 ml alcoholic KOH solution (0.5N) in a flask, add 1 ml of clear FAT sample. Saponify
the FAT sample and add 25 ml boiling water along with the sides of flask. Keep on shaking
the flask . Turbidity indicates the presence of mineral oil.
14. MBR TEST :Take 10 ml milk in a sterilized tube, add 1 ml MBR dye solution plug with a sterilized cork
32
and invert the tube to mix contents and incubate in a water bath at 37 degree centigrade.
Check the tube for decolourisation first after 10 minutes, next after 30 minutes and
subsequently after every hour. MBRT is counted deleting initial 30 minutes of incubation.
15.PHOSPHATASE TEST:Take 1 ml milk in a sterilized test tube, add 5 ml phosphatase dye . Incubate at 37 degree
centigrade in a water bath. Observe the colour after 10 minutes, 30 minutes and finally after 2
hours. Yellow colour indicates the test positive perform control test also for comparision by
boiling of milk sample.
16. SALT TEST :Take 1 ml milk in a test tube , add 2 drop of 10 5 potassium chromate solution . The whole
solution turns canary yellow in colour. Now add 5 ml N/100 Silver nitrate and mix well .The
persistance of canary yellow colour as such show the positive salt test.
33
TRADE PROFILE
The Federation is marketing milk and milk products under a common brand name PARAG.
The total product range under the PARAG brand includes Ghee, Butter, Mattha, Flavored
Milk, and Curd, besides all type of liquid milk.
The sales network is spread throughout Northern India, and the Far East. Besides these the
Federation is marketing the following industrial units.
Cattle feed pacing material
34
Retailers are the one of the most important member of the distribution channel. They are the
people who provides product to the final consumers. As they have the direct touch with the
consumers, so they can play a vital role for influencing the buyers decisions. The company
should try to provide services to the retailers in such a way that they can satisfy with them.
The basic objective of my study is to identify dealers need i.e. What types of milk is
generally they buy, Why are they buying different brands of
35
purchase decision of dealers, To find out whether the milk is supplied on time, Are they
satisfied with the delivery process of PARAG milk, How is the behaviors of the salesman,
Are there any shortcomings being faced by the drivers and the salesman in the delivery
process, Is there any defect in packaging etc.
SCOPE
The scope of study is to understand the problem faced by the company while increasing the
retail outlets. With the help of this project LUCKNOW Cooperative Milk Marketing
Federation Limited can increase their outlets by analyzing the feedback given by the
interviewer (including existing and non existing outlets). It can also analyze the pricing
strategy followed by the rivals. By this study company will get the information about current
competitive position of the parag milk in the market.
36
MANAGEMENT HIERARCHY
PCDF has 10 division every division has managers who are responsible of every division is
responsible to Managing Director.
The division heads of each division shall be responsible for the performance of their
respective division not only at the head office but also in the units- union in the field. These
officers are responsible for achieving fixed target and implementation of system for sorting
the problem of unions. All plans having ambition more than one year or those likely to have
an impact on other functional division well before approval implementation be routed
through management service division which will check the plan to see whether they are in
conformity with corporate objective.
The Managing of the organization is appointed by state Government. He/She is the IAS
officer. Earlier the posts of secretary, Managing Director of milk commissioner were
different, but these days M.D of the organization has the authority of all the three posts.
37
Through these offices marketing of PARAG have been monitored each of these office is
headed by Regional Manager (marketing) who has certain area of operation allocated to him
and has a warehouse located in that particular town. Product are transferred from the
manufacturing units under instruction from General Manager (Marketing) at the head office
to the respective ware house from where they are distributed either to stockiest or to the
clearing & forwarding agent. The regional manager is assisted in his marketing function by a
team of sale force. Entire marketing operation is monitored at the head office under the
supervision of the General Manager Marketing.
PERSONNEL
ADMINISTRATION
E.D.P
38
Besides this they also make service under the guidance of Managing Director. There service
rules are made under the co-operative act.
E.D.P
The Electronic data processing has 2 divisions:
1. Data processing
2. System Management
In-charge Publication
This division carries out a news paper monthly by a name Dughdha
detail information about various technical inputs given to the society members. This
newspaper is circulated through various milk unions in the district.
FINANCE
1. Financial Management
2. Audit
3. Accounts
MATERIAL DIVISION
1. Centralized purchase and inventory control.
2. Milk procurement technical inputs.
39
40
TYPE OF MILK
Parag Gold (full cream m
Milk)
and sportsmen
Medium fat,
Milk)
Reasonable price
Marketing communication and promotion too possess problems in rural markets. There are
many constraints in maintaining the profile of the audience and availability of the media.
The literacy rate among the rural consumers being low, in addition to the level of literacy, the
tradition bound nature of rural people. Their cultural barriers and taboos and their overall
economic backwardness add to the difficulty of communication task. It has been estimated
that all organized media put together can reach only 30% of the rural population of India; TV
is an ideal medium for communicating with the rural masses. But it reaches in the rural areas
are limited even today. As regards the print media the circulation is limited. It has been
estimated that 33% of the total cinema earnings in the country comes from the rural India.
Rural communication to be effective repeat exposure is a must and if the gap between the
exposures is long the message looses during this period.
41
In short the crux of marketing communication in the rural context is one of finding a media
mix that will deliver the required message in a cost effective manner to target an audience
that is predominantly illiterates.
TV
Cinema
Press
Direct mail
Radio
Outdoors
42
Music records
Study classes
Demonstration
43
STRENGTHS
ORGANIZATIONAL
PRODUCTION
Functional organization.
FINANCE
MARKETING
44
Reasonable in price
PERSONNEL
WEAKNESSES
Run and owned by govt.
Low brand awareness in national Capital region.
Less advertising and promotional expenditure.
Low brand equity.
Very average distribution.
45
THREATS
PARAG as a brand, being threatened by the major presence of Mother Dairy.
Less advertising and promotional expenditure are currently negatively affecting and
shall do more harm in long run to the profitability of company.
Lack of professionalism sucking the life blood of organization.
Lack of good distribution network threatens the very survival of company as well as the brand PARAG.
46
1. Some people dont give the remarkable answer, so the surveyor has to make his own
assumption
2. Since the survey has been conducted in LUCKNOW, being so big market it might not
give true picture.
3. The questionnaire was too long and many a times respondents used to refuse to fill the
questionnaire as they considered it to be time consuming.
4. The time period allotted for the study was limited as it had to be completed with this
stipulated period of time.
5. The number of respondent covered in the study is limited. Although all efforts has been
taken to make this study a representative of total market of LUCKNOW, the sample size is
too small so that data are not reliable. Most of the customer were busy in their work and
saying sorry I dont have time .So it was very difficult to access information from those
people.
6. The respondents were unable to read exact data spontaneously.
It is very difficult to catch the exact word of customers through questionnaire
47
METHODOIOGY
In marketing project the accuracy and authenticity of the obtained data depends upon the
partial skill which is exercised in preparing the project and selecting the most effective
technique of data collection.
TYPE OF RESEARCH DESIGN:
(1) Exploratory research
(2) Conclusive research
(3) Descriptive research
(4) Causal relationship
ANALYSIS & INTERPRETATION OF DATA
After collection of data, next task of research process is analysis and interpretation of data.
Questionnaire is processed and edited to make sure that all question are answered. He
resulting data should be logical and consistent. After editing, data are tabulated and analyzed.
Data analysis includes the statistical test which may be editing, coding, tabulation,
interpretation. Coding is the assignment of numbers to the observation so that data can be
analyzed, whereas tabulation refers to classification and cross classification of observed data.
The above things are common in all type of market research project. Statistical tests are
48
applied to certain such research where data are complex and casual relation is to be
established.
Statistical tests are useful to describe the data at hand, test hypothesis and make predictions
or estimates. Descriptive analysis is use to reduce data at hand to a smaller set of number of
summary measure represent information.
SAMPLING
According to a famous statistician YULE the objective of sampling is to get maximum
information about parent population with minimum effort.
Probability sampling
1. Simple random sampling
2. Systematic sampling
3. Stratified sampling
4. Area sampling
Non- Probability sampling
1. Convenience sampling
2. Quota sampling
3. Judgment sampling
4. Panel sampling
49
Sampling unit
Sampling unit 100 retails outlets.
SAMPLING PROCESS
Two generals classes of methods exist for selecting samples.
These are probability methods and non- probability methods
PROBABILITY SAMPLING METHODS:Probability sampling methods are those in which every item in the universe has a known
chance, or probability of being chosen for the sample. This implies that the selection of
samples items is independent the controlled objectively so that items will be chosen strictly
at random.
50
51
SOURCE OF INFORMATION:
Primary sources
Personal survey conducted with carports manager and other governments officials.
QUESTIONNAIRE METHODS
The greatest advantage of the questionnaire methods is its versatility. Almost every problem
in marketing research can be studied only questioning. Questioning is usually faster and
cheaper than observing. As a result, less time is typically wasted in questionnaire study.
STRUCTURED NON DIS GUISED QUESTIONNAIRE:Most questionnaire studies made in marketing research are of this type. A structure interview
of this type introduced more reliable result. The purpose of the question is clear and thus
undisguised. It is simple to administer and easy to tabulate and analyze. This questionnaire
has also got the provision of the analyses. This questionnaire has also got the provision of the
analyses. This questionnaire has also got the provision go the alternative responses, which
helps makes clear the question.
52
53
SOURCE OF INFORMATION
Major sources of information for this project are customer scattered various area of
LUCKNOW. It was very difficult to gather the information from some of them as they were
in hurry and not willing to give the information related with the topic and sometimes not
ready to fill the questionnaire. They thought it was not beneficial for them and was just
wastage of time. But I would try to my best and make ready to fill the questionnaire told
them that it is also profitable for them.
Maximum customers gave very good response in filling questionnaire also provide extra
information related to topic .So that I have prepared this report
IDEAL MARKETING STRATEGIES FOR COMPANIES
1. Decrease in price
2. Improvement in quality of product
3. Better technology
4. Emphasis on advertising
5. Proper after sale service
6. More distributors.
7. Delivery regularly
8. Delivery timely
9. Proper market research.
54
2.Regular packing:
500gms.,1kg.,2kg.,15kg
3.Usage:
4.Ingredients:
Milk fat
5.Composition:
6.Quality standards:
7.Special Features:
55
Table Butter:
Name of the product
Regular packing
Usage
Ingredient
Butter,salt,Annatocolour
Composition
Micro-bio Standards
Special features
Product Specifications
Shelf Life
Carton Size
20kgs. =305*305*286 mm
15 kgs. If 100 and 500 gms
56
Regular packing
Usage
Ingredient
Composition
Special features
Product specifications
11/2 Years
Shelf life
Cartoon size
200*90 = 18 kg.
57
DAIRY WHITENER
Name of the product
Regular packing
Usage
Ingredient
Composition
Special features
Product specifications
58
59
Milk powder
Pasteurized milk
Milk powder
Pasteurized
milk
8
80
12
60
Findings: It was found that most of the consumers prefer to buy Pasteurized
milk.
Parag
Mother dairy
Amul
Gopal Jee
Any Other
Table 2
Parag
20
Mother dairy
40
Amul
20
Gopal Jee
12
Any Other
8
20%
Parag
Mother dairy
Amul
Gopal jee
Any other
20%
40%
61
Yes
No
Table 3
Yes
60
No
40
40%
60%
62
Yes
No
Toned milk
Skimmed milk
Table 4
FCM
36
TM
24
DTM
28
SKM
12
35%
30%
25%
20%
35%
15%
30%
25%
10%
10%
5%
0%
FCM
TM
DTM
SKM
Findings: It was found that most of the customer preferred to buy full cream milk or
DTM
63
Price
Quality
Availability
Packaging
Consumer Awaraness
Brand Image
Table 4
Price
Quality
Availability
Packaging
Consumer
Brand
44
16
awaraness
8
Image
20
Price
On what basis you you choose milk
consumption?
Quality
20%
Availability
8%
Packaging
8%
4%
44%
16%
64
Consumar
awareness
Brand Image
Q. Do you get the proper quantity of milk from the dealer, when you need
(Timely)?
Yes
No
Table
Yes
80
No
20
65
Findings: Most of the consumers get milk from the dealer timely.
News paper
Friends
Any other
Table
Newspaper
28
Friends
Any other
12
shopkeeper
40
20
66
News paper
20%
28%
12%
40%
Friends
From the nearest
shopkeeper
Any other
Findings: It was found that the maximum number of consumers came to know about
Parag milk from the nearest shopkeepers.
Yes
No
Table 8
Yes
16
No
84
67
Findings: It was found that about 84% customers were not interested in taking milk in
loose.
Half liter
One liter
Table 9
Half liter
72
One liter
28
68
One litre
28%
Half litre
One litre
Half litre
72%
Findings: It was found that about 72% customers purchase half litre milk.
Yes
No
Table 10
Yes
84
No
16
69
Findings: It was found that about 84% of the regular customers were aware of the
pasteurized milk and its effectiveness.
Q. Do you know about quality control process used by different dairy firms?
Yes
No
Table 11
Yes
64
No
36
70
No
36%
Yes
64%
Yes
No
Findings: From the survey it was found that 64% of the customers were aware of the
Quality Control Process used by different dairy firms.
Q. DO you know that Parag milk is not only pasteurized but also clarified?
Yes
No
Table 12
Yes
60
No
40
71
No
40%
Yes
60%
Findings: From the survey it was found that 60% of the customers were aware that
Parag milk is not only pasteurized but also clarified.
Q. What is your option about the quality of Parag milk?
Excellent
Good
Average
Below Average
Table 13
72
Yes
No
Excellent
44
Good
24
Average
16
Below Average
16
12
10
8
Excellent
Good
Average
Below Average
6
4
2
0
Excellent
Average
Mother dairy
Parag
Amul
73
Gopal Jee
Paras
Any other
Table 13
Mother dairy
10
Parag
16
Amul
20
Gopal Jee
8
74
Paras
8
Any Other
4
Mother
dairy
Amul
Paras
Mother dairy
Parag
Amul
Gopal Jee
Paras
Any other
Findings: It was found that most of the retailers sold Mother dairy then Parag
Amul.
High demand
High profit
75
&
Good quality
High Demand
40
High Profit
20
Good Quality
24
High demand
High
demand
40%
High profit
Easily available
in time
Good quality
Findings: It was found that most of the retailers sold On the basis of high demand.
Q. What is the most important factor when purchasing milk from company
distributor/salesman?
Credit
Margin
Consumer scheme
Quality
Brand name
76
Credit
Consumer preference
Margin
16
Consumer Scheme
20
Quality
28
Brand Name
16
Consumer
Preference
12
What is the most important factor when purchasing milk from company
distributor/salesman?
Consumer
preference
12%
Credit
Credit
16%
Margin
Consumer
scheme
Brand name
16%
Margin
20%
Quality
28%
Consumer
scheme
8%
Quality
Brand name
Consumer
preference
Findings: : It was found that most of the retailers sold On the basis of Quality.
FCM
DTM
SKM
TM
Table 16
77
FCM
10
DTM
6
SKM
4
TM
5
FCM
DTM
SKM
TM
4
5
0
FCM
DTM
SKM
TM
Yes
No
Table 17
Yes
68
No
32
78
Yes
No
Yes
68%
Findings: It was found that most of the retailer get supply in proper time.
Good
Bad
Normal
Table 18
Good
11
Bad
8
Normal
6
79
5
0
Good
Bad
6
Normal
Q. Are there any short coming being face by the driver and the sales man in the delivery
process of parag milk?
Yes
No
Cant say
Table 19
Yes
56
No
24
Cant say
20
80
Are there any short comings being faced by the drivers and the
salesman in the delevery process of Parag milk?
56%
Yes
No
Can't say
24%
20%
Finding : Yes most people fullfill the shortage of parag milk by salesman.
Yes
No
Need to be improved
Table 20
Yes
22
No
73
Need to be improved
5
81
22%
73%
Yes
No
Need to improve
Finding : Yes the most people are saying regular defect of parag milk.
Toned milk
Skimmed milk
Table 21
Full cream milk
56
Toned milk
9
82
Skimmed milk
5
Toned milk
30%
56%
9%
Double toned
milk
Skimmed milk
OPINION SURVEY
Survey is the systematic gathering of data from the respondent through questionnaire. There
is various technique of survey, which can be employed. They are: Personal interviews
Telephonic interviews
Mail questionnaire.
In this project survey is personal interview type. In it the investigators question the
respondents face to face. The usual approach for the interview is to identify himself to the
83
potential respondent and attempt to secure the respondent co-operation in answering a list of
predetermined questions.
Advantage of survey:The advantage associated with the survey technique are:1. It takes relatively short period of time to complete.
2. Research can be produce many difficult type of information.
3. The amount of information procured on each aspect is larger.
Disadvantage of survey:
Major disadvantage associated with the survey technique are:1. The cost per completed interview is relatively highly as compared to
other method
2. The investigator may have to face relatively more difficulties in administrating the
interview schedule.
3. Time required is more as compared to other survey method.
Reasons of selection of survey technique:There are several factors, which need to be evaluated for selection of the most suitable
technique. These factor are:-
Cost
Time
Accuracy
Amount of data gathered
Response rate
Flexibility
84
Control
1. There are a number of organized points and no single dealer is found to control the
whole area therefore the burden totally falls on the driver and salesman.
2. The scheduled time of delivery of milk is between 11 and 12 p.m but the driver go to
sleep first and afterwards load the van. This indicates the lethargic attitude towards
work.
3. The delivery of the milk is totally unscheduled which results in the loose of market
share, which should be paid attention to with immediate effect.
85
4. The leakage of milk was found at various points of distribution because of which the
drivers and the salesman have to tolerate the rough behaviors of the dealers this
happens due to carelessness of production department and the dispatch personnel.
6. A focal point should be set up at Biswas Nagar so that the van does not have to make any
extra rounds to cater the demands of the dealers, and to facilitate the easy flow of milk
because that area is the major consumer of milk.
The condition of some delivery vans is miserable which should be improved so as to
enhance the efficiency of the salesman and the drivers.
7. PARAG booths have to be established at various points in LUCKNOW for easy and
overall distribution of milk.
After Mother Dairy, Parag milk was found to be the next best alternative choice of the
dealers because of its early delivery.
Most of the dealers are getting their supply as per the demand regularly but some times
variations occur.
Many a times the drivers and the salesman have to face the anger of the dealers
because of the leakage in the packets of the milk.
PARAG booths have to be established at various points in LUCKNOW for easy and
overall distribution of milk
Milk is not evenly distributed in the lucknow region as the delivery schedule is very
limited and there is not more than one van on this route.
As PARAG Dairy, LUCKNOW packs milk for Mother Dairy of more than 1.75 lack
liters of milk LUCKNOW does not face any problem for milk.
86
The Mother Dairy sells its milk at a cheaper rate in comparison to PARAG milk; hence
PARAG should also decrease its price in order to beat its competitors.
87
SUMMARY / CONCLUSION
Most of the customers are attracted towards packed milk because in this method there is no
rationalization in comparison to loose milk. Most of the customers preferred full cream milk
because in this fat percentage is very high and is highly in demand by the customer.
After that second choice comes DTM because in this fat % is low and the aged person and
patient prefer skimmed milk. Most of the customers purchase decision depends upon the
quality of the milk. Time availability also affects their purchasing decisions.
In customers opinion sales of Mother Dairy is more followed by PARAG Dairy. Customer is
fully satisfied with its distribution channel, time availability, and other facility.
88
BIBLIOGRAPHY
89
APPENDIX
Q. What type of milk you generally use?
Milk powder
Pasteurized milk
Non Pasteurized milk
Q. What brand do you prefer most?
Parag
Mother dairy
Amul
Gopal Jee
Any Other
Q. Are you satisfied with milk you consume?
Yes
No
Q. What type of milk you used?
Full cream milk
Toned milk
Double Toned milk
Skimmed milk
Q. On what basis you choose milk for consumption?
Price
Quality
Availability
Packaging
Consumer Awaraness
Brand Image
Q. Do you get the proper quantity of milk from the dealer, when you need
(Timely)?
Yes
No
90
Half liter
One liter
Yes
No
Q. DO you know that Parag milk is not only pasteurized but also clarified?
Yes
No
Q. What is your option about the quality of Parag milk?
Excellent
Good
Average
Below Average
91
Yes
No
TM
Toned milk
Double toned milk
Skimmed milk
93