MINOR PROJECT REPORT

ON

ANALYSIS OF CONSUMER BEHAVIOUR

SUBMITTED BY:

SUBMITTED TO

Sumit Pandey

PROJECT GUIDE:

B.B.A. (GENERAL)

Mrs. Shailza Dutt

3RD Semester 2ND Shift

(Assistant Professor)

Enrollment Number- 06821201711

Deptt. Of Business Administration

MAHARAJA SURAJMAL INSTITUTE

Affiliated to Guru Gobind Singh Indraprastha University
C-4, Janakpuri, New Delhi- 110058

CERTIFICATE

This is to certify that the project entitled A STUDY ON AMULS OPERATIONS IN INDIA
is an original work of SUMIT PANDEY, Roll No. 06821201711 and is being submitted in
partial fulfillment for the award of degree of Bachelor of Business Administration from Maharaja
Surajmal Institute, G.G.S.I.P University, Dwarka.
He was working under my supervision and successfully completed his project work.

Mrs. Shailza Dutt

DEPTT. OF BUSINESS ADMINISTRATION
MAHARAJA SURAJMAL INSTITUTE

ACKNOWLEDGEMENT

Project work is never the accomplishment of an individual rather it is an amalgamation of the

efforts, ideas and co-operation of a number of entities. This project report forms an integral part
of our curriculum.

I would like to thank GURU GOBIND SINGH INDRAPASTHA UNIVERSITY for giving
an opportunity to work on a valuable project.

The completion of the project study that follows, seemed to be a distant goal had it not
been for the contribution of Mrs. Shailza Dutt for allowing me to work on a very intrinsic
part on A STUDY ON AMULS OPERATIONS IN INDIA. I thank her for the ideas and basic
concepts she delivered and shared with me, as they helped me a lot in accomplishing this project
of mine.
Last but not the least; I am thankful to all my friends for their continuous encouragement.

Mrs. Shailza Dutt

(Assistant lecturer)
MAHARAJA SURAJMAL INSTITUTE

TABLE OF CONTENTS
S. No.
1.

CHAPTER NAME

PAGE NO.

INTRODUCTION

1.1 INTRODUCTION
1.2 RESEARCH OBJECTIVES
1.3 RESEARCH METHODOLOGY
1.4 LIMITATIONS

2
3
4
5

2.
PROFILE OF THE ORGANISATION

ANALYSIS AND INTERPRETATION OF DATA

28

CONCLUSIONS AND RECOMMENDATIONS

39

3.

4.

BIBLIOGRAPHY
ANNEXURE

Chapter 1

INTRODUCTION

THE INDIAN FMCG MARKET - AN OVERVIEW

The Indian FMCG sector is the fourth largest in the economy and has a market size of US$13.1
billion. Well-established distribution networks, as well as intense competition between the
organized and unorganized segments are the characteristics of this sector. FMCG in India has a
strong and competitive MNC presence across the entire value chain. It has been predicted that
the FMCG market will reach to US$ 33.4 billion in 2015 from US $ billion 11.6 in 2003. The
middle class and the rural segments of the Indian population are the most promising market for
FMCG, and give brand makers the opportunity to convert them to branded products. Most of the
product categories like jams, toothpaste, skin care, shampoos, etc, in India, have low per capita
consumption as well as low penetration level, but the potential for growth is huge. The Indian
Economy is surging ahead by leaps and bounds, keeping pace with rapid urbanization, increased
literacy levels, and rising per capita income.
The big firms are growing bigger and small-time companies are catching up as well. According
to the study conducted by AC Nielsen, 62 of the top 100 brands are owned by MNCs, and the
balance by Indian companies. Fifteen companies own these 62 brands, and 27 of these are owned
by Hindustan Lever. Pepsi is at number three followed by Thums Up. Britannia takes the fifth
place, followed by Colgate (6), Nirma (7), Coca-Cola (8) and Parle (9). These are figures the soft
drink and cigarette companies have always shied away from revealing. Personal care, cigarettes,
and soft drinks are the three biggest categories in FMCG. Between them, they account for 35 of
the top 100 brands.
THE TOP 10 COMPANIES IN FMCG SECTOR
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.

Hindustan Unilever Ltd.

ITC (Indian Tobacco Company)
Nestl India
GCMMF (AMUL)
Dabur India
Asian Paints (India)
Cadbury India
Britannia Industries
Procter & Gamble Hygiene and Health Care
Marico Industries

RESEARCH OBJECTIVES
The primary objective would be:

To acquire knowledge of understanding, analyzing and to demonstrate consumers behavior

towards Amuls products.

The

other

objectives

would

b..e:

To promote some of the newly launched products of the company among the Institutions.

To compare Amul with other companies operating in the dairy industry.

To study about the consumer taste and preference in the dairy items.

And also to find out the satisfaction level of consumer about their product.

RESEARCH METHODOLOGY

SAMPLING METHODOLOGY
Sampling Size - 50 respondents
Sampling Area - Delhi and N.C.R.
Sampling Technique - Random Sampling technique

RESEARCH DESIGN

Visited the customers across Delhi and NCR & gathered information required
as per the questionnaire.

The research design is probability research design and is descriptive research.

DATA COLLECTION

Primary data has been used by me in the form of Questionnaire & Observation, which are the two
basic methods of collecting primary data, which suffices all research objectives.

Secondary data sources like catalogue of the company, product range book of the company
&various internet sites such as www.amul.com & www.google.com have been used.

LIMITATIONS OF STUDY

Certain limitations are inherent with this project work.

100% response rate was not found from the respondents. Some extent of biasness was
found because of Brand loyalty while answering the questions.

Lack of interest of the respondent was one of the major problems.

The Geographical extent of this study was limited to Delhi and NCR market only.

The time duration of the project acted as another impediment and so the size of the survey was
limited to 50 respondents only.

Chapter 2

PROFILE
OF THE
ORGANISATION

DAIRY INDUSTRY
The dairy sector in the India has shown remarkable development in the past decade and India has
now become one of the largest producers of milk and value-added milk products in the world.
The dairy sector has developed through co-operatives in many parts of the State. During 199798, the State had 60 milk processing plants with an aggregate processing capacity of 5.8 million
litres per day. In addition to these processing plants, 123 Government and 33 co-operatives milk
chilling centres operate in the State.
Also India today is the lowest cost producer of per litre of milk in the world, at 27 cents,
compared with the U.S' 63 cents, and Japans $2.8 dollars. Also to take advantage of this lowest
cost of milk production and increasing production in the country multinational companies are
planning to expand their activities here. Some of these milk producers have already obtained
quality standard certificates from the authorities. This will help them in marketing their products
in foreign countries in processed form.
The urban market for milk products is expected to grow at an accelerated pace of around 33%
per annum to around Rs.43,500 crores by year 2005. This growth is going to come from the
greater emphasis on the processed foods sector and also by increase in the conversion of milk
into milk products. By 2005, the value of Indian dairy produce is expected to be Rs 10,00,000
million. Presently the market is valued at around Rs7,00,000 mn.

Milk Production from 1950 to 2020

1950 17 million tonnes

1996 70.8 million tonnes
1997 74.3 million tonnes
(Projected) 2020 240 million tonnes
Expected to reach- 220 to 250 mt 2020

India contributes to world milk production rise from 12-15 % & it will increase up to 30-35%
(year 2020).

AMULS HISTORY
The first Amul cooperative was the result of a farmers meeting in Samarkha (Kaira district,
Gujarat) on 4 January 1946, called by Morarji Desai under the advice from Sardar Vallabhbhai
Patel, to fight rapacious milk contractors. It was Sardars vision to organise farmers, to have
them gain control over production, procurement and marketing by entrusting the task of
managing these to qualified professionals, thereby eliminating the middle men, the bane in
farmers prosperity.
The decision was taken that day in January 1946: Milk producers cooperatives in villages,
federated into a district union, and should alone handle the sale of milk from Kaira to the
government-run Bombay Milk Scheme. This was the origin of the Anand pattern of cooperatives.
The colonial government refused to deal with the cooperative. The farmers called a milk strike.
After fifteen days the government capitulated. This was the beginning of Kaira District
Cooperative Milk Producers Union Ltd., Anand, registered on 14 th December 1946. Mr.
V.Kurien was the founder of this co-operative society. This society had been formed in a small
village of Gujarat named Anand Originally the Anand pattern included dairy cooperative
societies at the village level, and a processing unit called a union at the district level. Inspired
by the Kaira Union, similar milk unions came up in other districts too. In 1973, in order to
market their products more effectively and economically, they formed the Gujarat Cooperative
Milk Marketing Federation Limited (GCMMF Ltd.). GCMMF became the sole marketer of the
original range of Amul products including milk powder and butter. That range has since grown to
include ice cream, ghee, cheese, chocolates, shrikhand, paneer, and so on. These products have
made Amul a leading food brand in India.
The brand name AMUL, from the Sanskrit Amoolya, meaning priceless, was suggested by a
quality control expert in Anand. The first products with the Amul name were launched in 1955.
Today, 173 milk producers cooperative unions and 22 federations play a major role in meeting
the demand for packed milk and milk products. Quality packed milk is now available in more
than 1,000 cities throughout the length and breadth of India.

COMPANY PROFILE

GCMMF LTD: Amul

Formed in 1946, the milk producers of Gujarat had come together and decided to create their
own organization to enhance the marketing capacity of the dairy cooperative movement. They
created an organization named Gujarat Co-operative milk marketing federation Limited
(GCMMF). Mr. V.Kurien was the founder of this co-operative society and this society had been
formed in a small village of Gujarat named Anand.
Gujarat Cooperative Milk Marketing Federation (GCMMF) is India's largest food products
marketing organization. It is a state level apex body of milk cooperatives in Gujarat, which aims
to provide remunerative returns to the farmers and also serve the interest of consumers by
providing quality products, which are good value for money.
Gujarat Co-operative Milk Marketing Federation Ltd. (GCMMF), is jointly owned by some 2.2
million milk producers in Gujarat, India. Its products, including milk powders, liquid milk,
flavoured milk (Amul Kool), Sweetened Condensed Milk, butter, ghee, cheese, chocolate, ice
cream, pizza, paneer, shrikhand, Cream, Mithaee, Amul Masti, Dahi and the Amul shakti &
Nutramul brand of Health food drink are widely used throughout India and abroad and have
made Amul the largest food brand in India today with an annual turnover of some Rs. 30 Billion
($US 600 million) per annum.

The primary goal of Dr. V. Kurien, Chairman GCMMF, the "Milk Man of India", has been to
build a strong Indian society economically through an innovative cooperative network, to
provide quality service and products to end-consumers and good returns to the farmer members.
Dr. Kurien states, "We have traversed a path that few have dared to. We are continuing on a path
that still fewer have the courage to follow. We must pursue a path that even fewer can dream to
pursue. Yet, we must. We hold in trust the aims and aspirations of millions of our countrymen."
Information Technology (IT) has played a significant role in developing the Amul brand. The
logistics behind co-ordinating the collection of some 7 million liters of milk per day from 11,400
separate Village Cooperative Societies throughout Gujarat and then storing, processing and
producing milk products at the respective 12 District Dairy Unions, are awesome. The
installation of 4000 Automatic Milk Collection System Units (AMCUS) at Village Societies to
capture member information, milk fat content, the volume collected and amount payable to each
member has proved invaluable in ensuring fairness and transparency throughout the whole Amul
organization.
In 1996 Amul was one of the first major organizations in India to have a website. This site has
been used both to develop an intranet of Amul distributors as well as a cyber-store for
consumers, one of the first examples of e-commerce activity in India.

Innovation at the Grass Roots

One of the members of GCMMF, the Banas dairy, has started a unique initiative called the
Internet Sewa Project in their district called Banaskantha. This is a village-level effort at bridging
the Digital Divide by providing information kiosks at the Village Cooperative level. Each village
has one information kiosk, which is the single point of contact for Internet and other egovernance activities for the co-op. Official forms, Rural Jobs, Veterinary, Agriculture, and
Matrimonial details, educational applications and local market prices with buy & sell options are
provided at the information kiosk so that people do not have to travel all the way to the district
headquarters for these information.
Go

here

to see an actual site (http://www.banas.chiraag.com). To address poor connectivity at

some sites, the Banas dairy uses a wireless connection to the Internet. The wireless equipment is
10

cheap since there is only a one-time setup charge and less recurring charges. To improve the
farmer members' living standards and to facilitate affordable Internet access services including
VOIP Net telephony, the district union has also become a local Internet Service Provider (ISP)
using these Village Information Kiosks.
Today the services are subsidized but the goal is for the kiosks to become self-supporting.

Amul and .coop

The CEO of Amul, Mr. B M Vyas, recently said, "Amul is not a food company, it is an IT
company in the food business". He was recognizing that the most efficient way of building links
between milk producers and consumers so as to provide the best returns for both is through IT
innovation.
This is why Amul has embraced the ideas behind .coop with such enthusiasm. Not only will the
TLD enable consumers in India to recognize an established brand they can trust online, it will
enable Amul to begin trading competitively throughout the world, reaching markets which have
hitherto been inaccessible.
The CIO, Mr. Subbarao Hegde said, "Information Technology is the most effective tool we have
in communicating with our members and the millions of consumers who purchase Amul
products throughout India every day. .Coop not only reflects the cooperative values which shape
our own organization, it will also give us a vital business advantage as we seek to develop the
Amul brand throughout the world."
As a result of this alignment of business purpose and technology, GCMMF (Amul) was named
the winner of the prestigious international CIO 100 Award from IDG's CIO Magazine (USA) for
resourcefulness in the use of technology. The efforts of the entire cooperative were honored at
the CIO 100 symposium and award ceremony on August 19, 2003 in Colorado Springs, USA.
Mr. Subbarao Hegde, accepted the award on behalf of GCMMF. The complete coverage of CIO
100 award is featured in August 15, 2003 issue of CIO as well as in their website www.cio.com

11

THE THREE-TIER AMUL MODEL

The Amul Model is a three-tier cooperative structure. This structure consists of a Dairy
Cooperative Society at the village level affiliated to a Milk Union at the District level which in
turn is further federated into a Milk Federation at the State level. The above three-tier structure
was set up in order to delegate the various functions, milk collection is done at the Village Dairy
Society, Milk Procurement & Processing at the District Milk Union and Milk & Milk Products
Marketing at the State Milk Federation. This helps in eliminating not only internal competition
but also ensuring that economies of scale is achieved. As the above structure was first evolved at
Amul in Gujarat and thereafter replicated all over the country under the Operation Flood
Programme, it is known as the Amul Model or Anand Pattern of Dairy Cooperatives.

Responsible for Marketing of Milk & Milk Products

Responsible for Procurement & Processing of Milk

Responsible for Collection of Milk

Responsible for Milk Production

Village Dairy Cooperative Society (VDCS)

The main functions of the VDCS are as follows:

Collection of surplus milk from the milk producers of the village & payment based on
quality & quantity

Providing support services to the members like Veterinary First Aid, Artificial
Insemination services, cattle-feed sales, mineral mixture sales, fodder & fodder seed sales,
conducting training on Animal Husbandry & Dairying, etc.

Selling liquid milk for local consumers of the village

12

Supplying milk to the District Milk Union

Thus, the VDCS in an independent entity managed locally by the milk producers and assisted by
the District Milk Union.

District Cooperative Milk Producers Union (Dugdh Sangh)

The main functions of the Union are as follows:

Procurement of milk from the Village Dairy Societies of the District

Arranging transportation of raw milk from the VDCS to the Milk Union.

Providing input services to the producers like Veterinary Care, Artificial Insemination
services, cattle-feed sales, mineral mixture sales, fodder & fodder seed sales, etc.

Conducting training on Cooperative Development, Animal Husbandry & Dairying for

milk producers and conducting specialised skill development & Leadership Development
training for VDCS staff & Management Committee members.

Providing management support to the VDCS along with regular supervision of its
activities.

Establish Chilling Centres & Dairy Plants for processing the milk received from the
villages.

Selling liquid milk & milk products within the District

Process milk into various milk & milk products as per the requirement of State Marketing
Federation.

Decide on the prices of milk to be paid to milk producers as well on the prices of support
services provided to members.

13

State Cooperative Milk Federation (Federation)

The main functions of the Federation are as follows:

Marketing of milk & milk products processed / manufactured by Milk Unions.

Establish distribution network for marketing of milk & milk products.

Arranging transportation of milk & milk products from the Milk Unions to the market.

Creating & maintaining a brand for marketing of milk & milk products (brand building).

Providing support services to the Milk Unions & members like Technical Inputs,
management support & advisory services.

Pooling surplus milk from the Milk Unions and supplying it to deficit Milk Unions.

Establish feeder-balancing Dairy Plants for processing the surplus milk of the Milk
Unions.

Arranging for common purchase of raw materials used in manufacture / packaging of

milk products.

Decide on the prices of milk & milk products to be paid to Milk Unions.

Decide on the products to be manufactured at various Milk Unions (product-mix) and

capacity required for the same.

Conduct long-term Milk Production, Procurement & Processing as well as Marketing

Planning.

Arranging Finance for the Milk Unions and providing them technical know-how.

14

Designing & Providing training in Cooperative Development, Technical & Marketing

functions.

Conflict Resolution & keeping the entire structure intact.

Today, there are around 176 cooperative dairy Unions formed by 1.25 lakh dairy cooperative
societies, having a total membership of around 13 million farmers on the same pattern, who are
processing and marketing milk and milk products profitably, be it Amul in Gujarat or Verka in
Punjab, Vijaya in Andhra Pradesh, Milma in Kerala, Gokul in Maharashtra, Saras in Rajasthan or
a Nandini in Karnataka. This entire process has created more than 190 dairy processing plants
spread all over India with large investments by these farmers institutions. These cooperatives
today collect approximately 23 million kgs. of milk per day and pay an aggregate amount of
more than Rs.125 billion to the milk producers in a year.

15

Impact of the Amul Model

The effects of Operation Flood Programme are more appraised by the World Bank in its recent
evaluation report. It has been proved that an investment of Rs. 20 billion over 20 years under
Operation Flood Programme in 70s & 80s has contributed in increase of Indias milk production
by 40 Million Metric Tonne (MMT) i.e. from about 20 MMT in pre- Operation Flood period to
more than 60 MMT at the end of Operation flood Programme. Thus, an incremental return of Rs.
400 billion annually have been generated by an investment of Rs. 20 billion over a period of
20 years. This has been the most beneficial project funded by the World Bank anywhere in the
World. One can continue to see the effect of these efforts as Indias milk production continues to
increase and now stands at 90 MMT. Despite this fourfold increase in milk production, there has
not been drop in the prices of milk during the period and has continued to grow.
Due to this movement, the countrys milk production tripled between the years 1971 to 1996.
Similarly, the per capita milk consumption doubled from 111 gms per day in 1973 to 222 gms
per day in 2000. Thus, these cooperatives have not just been instrumental in economic
development of the rural society of India but it also has provided vital ingredient for improving
health & nutritional requirement of the Indian society. Very few industries of India have such
parallels of development encompassing such a large population.
These dairy cooperatives have been responsible in uplifting the social & economic status of the
women folk in particular as women are basically involved in dairying while the men are busy
with their agriculture. This has also provided a definite source of income to the women leading to
their economic emancipation.

16

COMPETITORS
Nestle

Nestl India is a subsidiary of Nestl S.A. of Switzerland. With seven factories and a large
number of co-packers, Nestl India is a vibrant Company that provides consumers in India with
products of global standards and is committed to long-term sustainable growth and shareholder
satisfaction.
The Company insists on honesty, integrity and fairness in all aspects of its business and expects
the same in its relationships. This has earned it the trust and respect of every strata of society that
it comes in contact with and is acknowledged amongst India's 'Most Respected Companies' and
amongst the 'Top Wealth Creators of India'.

Mother diary

Mother diary- Delhi was set up in 1974 under the operation Flood Programme. It is now a wholly
owned company of the National Dairy Development Board (NDDB).
Mother Dairy markets & sells dairy products under the Mother Dairy brand (like Liquid milk,
Dahi , Ice creams, cheese and Butter), Dhara range of edible oils and the safal range of fruits &

17

vegetables, frozen vegetables and fruit juices at a national level through its sales and distribution
networks for marketing food items.

Britannia

Britannia is an ancient term for

Latin,

Great Britain,

and also a personification of the island. The name is

and derives from the Greek form Prettanike or Brettaniai, which originally designated a

collection of islands with individual names, including Albion or Great Britain. However, by the
1st century BC Britannia came to be used for Great Britain specifically. In AD 43 the
Empire

began its conquest of the island, establishing a

to encompass the parts of the island south of

inhabitants of the province are known as the

province

Caledonia

Britons.

Roman

they called Britannia, which came

(roughly

Scotland).

The native

Celtic

In the 2nd century Roman Britannia came to

be personified as a goddess, armed with a spear and shield and wearing a centurion's helmet.
The Latin name Britannia long survived the Roman withdrawal from Britain in the 5th century, and
yielded the name for the island in most European and various other languages, including the
English Britain and the modern Welsh Prydain. After centuries of declining use, the Latin form was
revived during the English Renaissance as a rhetorical evocation of a British national identity.
Especially following the Acts of Union in 1707, which joined the Kingdoms of England and Scotland,
the personification of the martial Britannia was used as an emblem of British imperial power and
unity. She has appeared consistently on British coinage ever since.

18

M e m b e r U n io n ( P la n t )
D epot G odown
W h o le s a le D is t r ib u t o r
R e t a ile r s

I n s t it u t io n s

I n s t it u t io n s

F in a lC o n s u m e r s

DISTRIBU
TION CHANNEL OF AMUL

19

B O A R D

O F D IR E C T O R S

M A N A G IN G

D IR E C T O R

C H IE F G E N E R A L M A N A G E R
G E N E R A L M A N A G E R
A S S T .G E N E R A L M A N A G E R
M A N A G E R
D E P U T Y

M A N A G E R

A S S T . M A N A G E R
S E N IO R

E X E C U T IV E

S A L E S

J U N IO R

E X E C U T IV E

S A L E S

F IE L D

S A L E S

R E P R E S E N T A T IV E

ORGANIZATIONAL

CHART OF AMUL

20

COMPLETE LIST OF AMUL PRODUCTS

Bread spreads:

Amul Butter

Amul Lite Low Fat Bread spread

Delicious table margarine

Powdered milk:

Amul spray infant milk food.

Amul infant full cream milk powder

Sagar skimmed milk powder

Sagar tea coffee whitener

Amulya dairy whitener

Fresh Milk:

Amul fresh milk

Amul gold milk

Amul taaza double toned milk

Amul lite slim and trim milk

Amul fresh cream

Amul kool chocolate milk

Amul kool flavoured bottled milk

Amul kool flavoured tetra pack

21

Amul Shakti toned milk

Amul masti spiced butter milk

Cheese Range:

Amul Pasteurized Processed Cheddar Cheese

Amul Processed Cheese Spread

Amul Pizza (Mozzarella) Cheese

Amul Shredded Pizza Cheese

Amul Emmental Cheese

Amul Gouda Cheese

Curd Products:

Amul Masti Dahi (fresh curd)

Amul Butter Milk

For cooking:

Amul/Sagar pure Ghee

Cooking Butter

Amul malai paneer

Utterly delicious pizza

Mithai Mate

Milk Drink: Amul Kool Flavored Milk

Amul Kool Kesar

Amul Kool Coffee

Amul Kool Strawberry

22

Amul Kool Mango

Health Beverage:

Amul Shakti White Milk Food

Nutramul

Mithaee Range (Ethnic sweets):

Amul Shrikhand (Mango, Saffron, Almond Pistachio, Cardamom)

Amul Amrakhand

Amul Mithaee Gulabjamuns

Amul Mithaee Gulabjamun Mix

Amul Mithaee Kulfi Mix

UHT Milk Range:

Amul Shakti 3% fat Milk

Amul Taaza 1.5% fat Milk

Amul Lite Slim-n-Trim Milk 0% fat milk

Amul Shakti Toned Milk

Chocolate & Confectionery:

Amul Milk Chocolate

23

Unique Advertising
1) Mascot:- Amul Butter Girl
It was created by da Cunha Communications 33 years ago. It is about six months back
that the agency created the Amul Cheese Boy character to promote Amul's cheese range of
products. In effect, the company rolled out two television commercials for its cheese brand
"Amul Cheese Slice" with the base line -- Amul Cheese, Yes Please!

The search contest is in two stages. The first round is at the state level which is underway.
In this, a student has three tasks at hand: identifying10 visual clips, designing a calendar page
corresponding to the participant's birthday month and naming five objects that he/she would take
from India to settle on the moon. GCMMF plans to short-list the best 12entries for the calendar
page to compile its calendar for the year 2000.
The contest is conducted in three categories - standards 5, 6 and 7 being clubbed into two
groups while standard 9 is a standalone group. ``Each group will have two winners from each
state who will head for the finals to zero in on one Amul Cheese Boy and one Amul Butter Girl,''
adds Sodhi.
The grand finale is to be hosted in Anand (Gujarat) in a three-day affair where the All
India Amul Butter Girl and Cheese Boy will be selected through a wide range of activities testing
the overall abilities of the child. It will be conducted by Siddharth Kak, the host for Amul
Surabhi. While the winners at the state level could walk away with Amul gift hampers and prizes

24

like walkmans, calculators, certificates and medals, the final winners will each receive a state-ofthe-art Pentium computer.
For popularising the contest, the company has been going directly to more than 3,000
schools in the last four months across the country. The panel of judges have also taken help of
Amul dealers and distributors to reach the schools. Says Sodhi: ``We are targeting the students
only through their schools.''
The contest details have been uploaded on the Amul website (www.amul.com)too. Apart
from that the final contest will be telecast as a special Amul Surabhi show on Doordarshan. The
Amul Surabhi programme has already been listed in the Limca Book of Records for being the
longest running prime time television programme with the highest measured viewership (14.5
lakh letters) every week.
Its advertising has also started using tongue-in-cheek sketches starring the Amul baby
commenting jovially on the latest news or current events. The pun in her words has been popular.

2) Commenting jovially on the latest news or current events:-

25

Amul "Utterly Delicious" Parlours:

"Amul Preferred Outlets" (APO)
Amul has recently entered into direct retailing through "Amul Utterly Delicious" parlours created
in major cities Ahmedabad, Bangalore, Baroda, Delhi, Mumbai, Hyderabad and Surat. Amul has
plans to create a large chain of such outlets to be managed by franchisees throughout the country.

Amul has created Amul Parlours at some prominent locations in the country, which are run by
the company or its wholesale dealers:
1.

8. Surat Municipal Corporation

9. Delhi Police
10. Gujarat State Raod Transport

Delhi Metro Rail Corporation

2. The Somnath Temple

3. National Institute of Design
4. Infosys Technologies in

Corporation
11. Jubilee

Bangalore,

Mysore & Pune

5. Wipro campus in Bangalore
6. L.J. College, Ahmedabad
7. Ahmedabad Airport
i.

Mission Medical College, Trichur,

Kerala

12. Sanjay Gandhi Hospital Parlour, Amethi

13. Indian Institute of Management, Kolkata
14. Cafe Amul, MDG, Gandhinagar

"Amul Utterly Delicious" parlours are an excellent business opportunity for investors,
shopkeepers and organizations. In order to come closer to the customer, we have decided
to create a model for retail outlets, which would be known as "Amul Preferred
Outlets"(APO).

26

ii.
iii.

SWOT ANALYSIS

STRENGTHS:

Demand profile: Absolutely optimistic.

Margins: Quite reasonable.
Flexibility of product mix: Tremendous. With balancing equipment, you can keep on

adding to your product line.

Availability of raw material: Abundant. Presently, more than 80 per cent of chocolate

produced is flowing into the unorganized sector, which requires proper channelization.
Technical manpower: Professionally-trained, technical human resource pool, built over
last 30 years.

iv.
v.

WEAKNESSES:
Perishability: Pasteurization has overcome this weakness partially. Which gives
chocolate long life. Surely, many new processes will follow to improve chocolate quality

and extend its shelf life.

Lack of control over yield: Theoretically, there is little control over chocolate yield.
However, increased awareness of developments like embryo transplant, artificial
insemination and properly managed animal husbandry practices, coupled with higher

income to rural milk producers should automatically lead to improvement in chocolate.

Logistics of procurement: Woes of bad roads and inadequate transportation facility
make milk procurement problematic. But with the overall economic improvement in

India, these problems would also get solved.

Problematic distribution: Yes, all is not well with distribution. But then if ice creams
can be sold virtually at every nook and corner, why cant we sell other dairy products
too? Moreover, it is only a matter of time before we see the emergence of a cold chain

linking the producer to the refrigerator at the consumers home!

Competition: With so many newcomers entering this industry, competition is becoming
tougher day by day. But then competition has to be faced as a ground reality. The market
is large enough for many to carve out their niche.

vi.

vii.

OPPORTUNITIES:

Value addition: There is a phenomenal scope for innovations in product development,

packaging and presentation. Given below are potential areas of value addition:
o Steps should be taken to introduce value-added products like shrikhand, ice
creams, paneer, khoa, flavored milk, dairy sweets, chocolates etc. This will lead to
a greater presence and flexibility in the market place along with opportunities in
the field of brand building.
o Addition of cultured products like yoghurt and cheese lend further strength - both
in terms of utilization of resources and presence in the market place.
o A lateral view opens up opportunities in milk proteins through casein, caseinates
and other dietary proteins, further opening up export opportunities.
o Yet another aspect can be the addition of infant foods, geriatric foods and

nutritional.
Export potential: Efforts to exploit export potential are already on. Amul is exporting to
Bangladesh, Sri Lanka, Nigeria, and the Middle East. Following the new treaty,
opportunities will increase tremendously for the export of agricultural products in general
and dairy products in particular.

viii.
ix.

THREATS:

x.

Milk vendors, the un-organized sector: Today chocolate vendors are occupying the

xi.

pride of place in the industry. Organized dissemination of information about the harm

xii.

that they are doing to producers and consumers should see a steady decline in their

xiii.

importance.

xiv.
xv.
xvi. Chapter 3

xvii. ANALYSIS
xviii. AND
xix. INTERPRETATION
xx.

 Products Purchased Daily

xxi.
xxii.

PRODUCT

xxiii.

NO.

OF
xxiv.

PERCENTAGE%

RESPONDENT
xxv.

MILK

xxvi.

35

xxvii.

70%

BUTTER MILK

xxix.

10

xxx.

20%

GHEE

xxxii.

xxxiii.

6%

xxxiv.

SWEETS

xxxv.

xxxvi.

4%

xxxvii.

OTHER

xxxviii.

xxviii.
xxxi.

xxxix.

xl.
xli.

80%
70%

70%

60%
50%
40%
30%
20%

20%
10%

6%

4%

GHEE

SWEETS

0%
MILK

BUTTER MILK

RESPONDENTS

xlii.

0%
OTHER

xliii.

INTERPRETATION:

xliv.

According to my convenience method in Delhi I selected 50 consumers of dairy product,

in this I found that nearly about 70% customers use milk, 20% customers use butter milk,
6% customers use ghee, 4% customers use sweets ETC..

Purpose of purchase of a product

xlv.
xlvi.
xlvii.

Purpose

xlix.

SELF USE

li.
liii.

xlviii.

No. of Res.
l.

32

SELLING PURPOSE

lii.

11

MAKE A NEW PRODUCT

liv.

lv.

Making new product; 14%

Selling Purpose; 22%

Self Use; 64%

lvi.
lvii.

INTERPRETATION:

lviii.

From the above data collected graph it can be interpreted that 32% customers purchase
products for self use, 11% customers purchase for selling purpose and 7% customers
purchase for making a new product.

 Place of Purchase
lix.
lx.

lxi.

No. of Respondents

lxii.

PERCENTAGE%

lxiii.

Amul dairy

lxiv.

12

lxv.

24%

lxvi.

Dealer

lxvii.

lxviii.

12%

lxix.

Retailer

lxx.

32

lxxi.

64%

lxxii.
lxxiii.

lxxiv.

64%
70%
60%
50%
40%

24%

30%
12%

20%
10%
0%
Amul dairy

Dealer

Retailer

Respondent

lxxv.
lxxvi.

INTERPRETATION:
From the above data I conclude that nearly about 12% customers purchase the
products from dairy, 6% customers purchase from dealer and 32% customers purchase
from retailer.

 Dairy Product at Expected time or Not

lxxvii.

lxxviii.

NO.

OF lxxix.

PERCENTAGE%

RESPONDENT
lxxx.

Yes

lxxxi.

43

lxxxii.

86%

lxxxiii.

Not

lxxxiv.

07

lxxxv.

14%

lxxxvi.
lxxxvii.

Expected time
Yes

Not

14%

86%

lxxxviii.
lxxxix.

xc.
xci.

INTERPRETATION:

xcii.

The above data concludes that nearly about 43% customers get the products within
expected time, So these customers do not face any shortage problem of the products.

 Dairy Product in desired Quantity Yes or No

xciii.
xciv.

xcv.

No. of Res.

xcvi.

% of Res.

xcvii.

Yes

xcviii.

45

xcix.

90%

c.

No

ci.

05

cii.

10%

ciii.
civ.

90%
90%
80%
70%
60%
50%
40%
30%

10%

20%
10%
0%
1st Qtr
YES

NO

cv.
cvi.
cvii.
cviii.
cix.

INTERPRETATION:
From the above data we can interpret that 95% customers get the product in desired
quantity so customers are satisfied with their own demand of dairy products.

 Satisfied with the packing of Dairy Products or No

cx.

cxi.

No. of Res.

cxii.

% of Res.

cxiii.

Yes

cxiv.

40

cxv.

80%

cxvi.

No

cxvii.

10

cxviii.

20%

cxix.
cxx.

80%
80%
70%
60%
50%
40%
20%

30%
20%
10%
0%
YES

NO
PACKAGING

cxxi.
cxxii.
cxxiii.

INTERPRETATION:

cxxiv.

From the above graph we can interpret that most of the customers (80%) are satisfied
with the packing of the product due good packaging material customers do not face the
problems such as leakages and spoiling of the dairy product while 20% are not much
satisfied.

 Opinion about the Quality of Dairy Product

cxxv.

cxxvi.

No. of Res.

cxxvii.

% of Res.

cxxviii.

Satisfied

cxxix.

35

cxxx.

70%

cxxxi.

Medium

cxxxii.

14

cxxxiii.

28%

Dissatified

cxxxv.

01

cxxxvi.

2%

cxxxiv.
cxxxvii.

cxxxviii.

QUALITY

DISSATISFIED; 2%
MEDIUM; 28%

SATISFIED; 70%

cxxxix.

cxl.

INTERPRETATION:

cxli.

From the above graph about 70% of the respondents have a view that the quality of dairy
products is satisfied, 28% of the respondent said that the quality of dairy products is
medium and the remaining 2% of the respondent are somewhat dissatisfied.

 Which brands cheese do you use?

Which brands butter do you use?
Which brands ghee do you use?
cxlii.
cxliii.

Products

cxliv.

Le cxlv.

Amul cxlvi.

bo

Britan cxlvii.

Ha

nia

nd

ma
de

cxlviii.
cliii.

Butter

cxlix.

1%

cl.

45%

cli.

2%

clii.

2%

Ghee

cliv.

2%

clv.

38%

clvi.

8%

clvii.

12
%

clviii.

Cheese

clix.

5%

clx.

42%

clxi.

3%

clxii.

clxiii.
clxiv.

45%
45%
40%
35%
30%
25%
20%
15%
10%
5%
0%

42%
38%

12%
1% 2%
Lebon

8%

5%

2%
Amul
Butter

Britania
Ghee

Cheese

3%

2%
0%
Home Made

0%

clxv.
clxvi.

Interpretation:- According to the above analysis,

clxvii.

On the basis of Butter :- 1% respondents like Lebon, 45% like Amul, 2% like Britannia
and 2% respondents like handmade butter.

clxviii.

On the basis of Ghee :- 2% respondents like Lebon, 38% like amul, 8% like Britannia,
and 12% like housemade ghee.

clxix.

On the basis of Cheese :- 5% like Lebon, 42% like Amul, 3% like Britannia.

 Satisfied with the weight/Quantity of Amul dairy Products

clxx.
clxxi.

clxxii.

No. of Res.

clxxiii.

% of Res.

clxxiv.

Yes

clxxv.

44

clxxvi.

88%

clxxvii.

No

clxxviii.

06

clxxix.

12%

clxxx.
clxxxi.
clxxxii.

UTILITY

NO; 12%

YES; 88%

clxxxiii.

INTERPRETATION:

clxxxiv.

From the above graph we can say that nearly about 88% customers are satisfied with the
weight/quantity of Amuls products. Hence Amul should continue with the same quantity
as well as quality.

clxxxv.
Purchase place from your house
clxxxvi.

clxxxvii.

No. of Res.

clxxxix.

% of Res.

clxxxviii.
cxc.
cxciii.
cxcvi.

Near
Far away

cxci.

45

cxcii.

90%

cxciv.

05

cxcv.

10%

cxcvii.

90%

90%
80%
70%
60%
50%
40%
30%

10%

20%
10%
0%
Near

Far away
Place

cxcviii.
cxcix.
cc.

INTERPRETATION:
From the above graph we can interpret that the customers get the products easily, for
purchase of the product nearly about 90% customers get the products nearby their house.
It means Amul is having enough retailers for its products.

cci.
ccii.
cciii.

Chapter 4

cciv. CONCLUSION
ccv. AND
ccvi. RECOMMENDATIO
NS

ccvii.

CONCLUSION

ccviii.
ccix.

Amul is an established brand in the Institutions & enjoys a lot of brand image. It is a
market leader in Butter & Process Cheese. Most of the organizations prefer to use Amul
products as compared to the other companys products.

ccx.
ccxi.
ccxii.

The above survey resulted into following conclusions:

It is clearly evident from the above survey that Amuls products (milk, butter and process
cheese and other milk products) have got a potential market. Dairy milk has once against
emerged as the most sought after product in the product width of Amul.

ccxiii.

Amul has its advantage in the packing of the product , due to good packaging material
customers do not face the problems such as leakages and spoiling of the dairy product

ccxiv.

ccxv.
ccxvi.

ccxvii.

ccxviii.
ccxix.
ccxx.
ccxxi.

A m u l m u s t c o m e u p w i t h new promotional activities such that people become

aware about Amul Chocolates like Chocozoo, Bindaaz, and Fundoo. I n c o m p a r i s o n
t o Am u l C h o c o l a t e , t h e o t h e r p l a ye r s s u c h a s Cadbury, Nestle, a n d Perfetti
provide a better availability and give competition to the hilt.
Quality is the dominating aspect which influences consumer t o p u r c h a s e Am u l
p r o d u c t , b u t prompt availability o f o t h e r brands and aggressive promotional
activities by others influences the consumer towards them and also leads to increase
sales.
Although o v e r a l l i m p r e s s i o n o f Am u l i s m u c h s a t i s f a c t o r y , but for the
existence in the local market Amul must use aggressive selling techniques.

ccxxii.

RECOMMENDATIONS TO THE COMPANY

ccxxiii.

1. First and foremost Amul should take proper action in order to improve service, because
although being on a top slot in butter and milk supplies it does not get the sales in
chocolate, which it should get
ccxxiv.
2. There should be increased organizational commitment towards products which are still to
reach the masses.
ccxxv.
3. Company should use brand ambassador which attracts each age segment i.e.
Saniya Mirza, Shaktimaan, Amitabh Bacchan, Superman, Krrish, Jadoo etc.
ccxxvi.
4. Amul should give local advertisements apart from the advertisements given at the
national level. Local advertisement must mention the exclusive Amul shops of the city.
ccxxvii.
5. Try and change the perception of the people through word of mouth a b o u t
Amul in advertisement, because they are the best source to reach Children and families.
ccxxviii.
6. Though Amul chocolate advertisements are rarely shown on television yet many people
could recall it as per the data of research. It shows that there is only need to give
advertisement only to recognize customers because Amul is very strong brand name.
ccxxix.
7. Company should launch chocolate in new attractive packing to change image of
Amul chocolate in consumers mind.
ccxxx.
8 . C o m p a n y s h o u l d i n t r o d u c e s a l e s p r om o t i o n s c h em e s like free weight,
pranky, tattoo, contest, free gifts etc.

BIBLIOGRAPHY

 BIBLIOGRAPHY

Books:-

Kotler Philip, Keller K.L., Koshy Abraham, Jha Mithileshwar, Marketing Management,
13TH Edition (South Asian Perspective), Prentice Hall

Kothari CR, Research Methodology , 3 RD Edition 1997, Vikas Publishing House Pvt
Ltd, New Delhi

Websites:-

http://www.amul.com/m/gcmmf
http://www.scribd.com/doc/Amul-Sec-b
http://www.en.wikipedia.org/wiki/amul
www.google.com
www.yahoo.com
www.rediff.com

Other Sources:-

Annual Reports
Publicationss

ANNEXURE

 QUESTIONNAIRE
CONSUMER QUESTIONNAIRE

NAME:-________________________________________________AGE:-________

OCCUPATION:-_____________ EMAIL ID:- ______________________________

CONTACT NO:-_________________

1. Which dairy products do you purchase daily?

a. Milk
b. Butter Milk
c. Ghee
d. other

2. For whom do you purchases a product?

a. Self Use ( )
b. Selling Purpose ( )
c. For make a other Product ( )

3. From where do you Purchases a product?

a. Amul Dairy ( )
b. Dealer ( )
c. Retailer( )

4. Do you get the Dairy Product at Expected time?

a. Yes( )
b. No ( )
5. Do you get the Dairy Product in desired Quantity?
a. Yes ( )
b. No ( )

6. Which brands cheese do you use?

a. Lebon ( )
b. Amul ( )
c. Britannia ( )
d. Other ( )

7. 7). Which brands butter do you use?

a. Amul ( )
b. Parag ( )
c. Mother dairy
d. D. Britannia. ( )
e. Home Made ( )

8. Which brands ghee do you use?

a. Amul pure ghee ( )
b. Anik ( )
c. Everyday ( )
d. Mother dairy ( )
e. Parag ( )
f. Other, specify

9. Are you satisfied with the packing of Dairy Products?

a. Yes ( )
b. No ( )

10. Please give the opinion according to Quality of Dairy Product.

a. Satisfied ( )
b. Medium ( )
c. Dissatisfied ( )

11. Are you satisfied with the weight/Quantity of Amul dairy Products?
a. Yes ( )
b. No ( )

12. Are you satisfied with the price of Amul dairy Products compare to the other brand products?
a. Yes ( )

b. No ( )

13. How far a Purchase place from your house?

a. Near ( )
b. Far Away ( )

Date:-

Customers Sign.