AMUL means "priceless" in Sanskrit.

The brand name "Amul," from the Sanskrit

"Amoolya," was suggested by a quality control expert in Anand. It is a brand
name managed by an apex cooperative organisation, Gujarat Co-operative Milk
Marketing Federation Ltd. (GCMMF), which today is jointly owned by some 2.8 million
milk producers in Gujarat, India[2].
Gujarat Cooperative Milk Marketing Federation (GCMMF) is India's largest food
products marketing organisation. 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.

Members: 13 district cooperative milk producers'

Union

No. of Producer Members: 2.79 million

No. of Village Societies: 13,328

Total Milk handling capacity: 11.22 million litres per day

Milk collection (Total - 2008-09): 3.05 billion litres

Milk collection (Daily Average 2008- 8.4 million litres

09):

Milk Drying Capacity: 626 Mts. per day

Cattlefeed manufacturing Capacity: 3500 Mts per day

Amul is the largest food brand in India and world's Largest Pouched Milk Brand with an
annual turnover of US $1050 million (2006–07) [5]. Currently Unions making up
GCMMF have 2.8 million producer members with milk collection average of
10.16 million litres per day. Besides India, Amul has entered overseas markets such
as Mauritius, UAE, USA, Bangladesh, Australia,China, Singapore, Hong Kong and a few
South African countries. Its bid to enter Japanesemarket in 1994 did not succeed, but now
it has fresh plans entering the Japanese markets [6]. Other potential markets being
considered include Sri Lanka.

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.

PRODUCT
Amul's product range includes milk powders, milk, butter, ghee, cheese, Masti
Dahi, Yoghurt, Buttermilk chocolate, ice cream, cream,shrikhand, paneer, gulab jamuns,
flavoured milk, basundi, Nutramul brand and others. In January 2006, Amul plans to
launch India's firstsports drink Stamina, which will be competing with Coca
Cola's Powerade and PepsiCo's Gatorade [8].

In August 2007, Amul introduced Kool Koko, a chocolate milk brand extending its
product offering in the milk products segment. Other Amul brands are Amul Kool, a low
calorie thirst quenching drink; Masti Butter Milk; Kool Cafe, ready to drink coffee and
India's first sports drink Stamina.

Amul's sugar-free Pro-Biotic Ice-cream won The International Dairy Federation

Marketing Award for 2007.[cit

Umbrella brand
The network follows an umbrella branding strategy. Amul is the common brand for most
product categories produced by various unions: liquid milk, milk powders, butter, ghee,
cheese, cocoa products, sweets, ice-cream and condensed milk.

Amul's sub-brands include variants such as Amulspray, Amulspree, Amulya and

Nutramul. The edible oil products are grouped around Dhara and Lokdhara, mineral
water is sold under the Jal Dhara brand while fruit drinks bear the Safal name.

By insisting on an umbrella brand, GCMMF not only skillfully avoided inter-union

conflicts but also created an opportunity for the union members to cooperate in
developing products.

MASCOT
Since 1967[9] Amul products' mascot has been the very recognisable "Amul baby" (a
chubby butter girl usually dressed in polka dotteddress) showing up on hoardings and
product wrappers with the equally recognisable tagline Utterly Butterly Delicious
Amul.Managing the supply chain
Even though the cooperative was formed to bring together farmers, it was recognised that
professional managers and technocrats would be required to manage the network
effectively and make it commercially viable.

AWARDS

The Food Brand Amul has received various awards such as the Ramkrishna Bajaj
National Quality Award in 2003, Award International Cio 1000 for Resourcefulness, and
also the Rajiv Gandhi National Quality Award in 1999.

Developing demand
At the time Amul was formed, consumers had limited purchasing power, and modest
consumption levels of milk and other dairy products. Thus Amul adopted a low-cost price
strategy to make its products affordable and attractive to consumers by guaranteeing them
value for money.

Introducing higher value products

Beginning with liquid milk, GCMMF enhanced the product mix through the progressive
addition of higher value products while maintaining the desired growth in existing
products.

Despite competition in the high value dairy product segments from firms such as
Hindustan Lever , Nestle and Britannia, GCMMF ensures that the product mix and the
sequence in which Amul introduces its products is consistent with the core philosophy of
providing milk at a basic, affordable price.
NEW PROSPECTS

Amul being the people’s favourite dairy brand has the potential to capture the fast food
category including the coffee lovers. It will open its fast food joint in various
metropolitan cities. It will give Amul an advantage that everything will be freshly
prepared in Amul Butter, ghee, cheese, milk and ice creams.It will open up opportunity
for the amul to experiment with its product and use them as ingredients.

Joint Name: Delecious

(Amul)

OFFERINGS:

• Dil Pasand Arbi • Brain Cutlets

• Badshahi Baigan • Jumbo Chinese-Style Prawns
• Vegetable Biryani • Minced Meat/Vegetable Rolls
• Beetroot Parathas • Kofta Pulao
• Crisp Coconut Chops • Smokey Barbeque Pork Chops
• Papaya Parathas • Layered Party Bake
• Spinach-Nut Balls • Mutton Khicda
• Groundnut Sambar • Badsha Mango Sweet Pulao
• Golden Hearts • Pista-Badam Roll
• Savoury Corn Delight • Avalakki Kesari Bath
• Bread-Potato Dahi Bada • Stuffed Sweet Idlis
• Dal Dips in Sweet-Sour Gravy • Sweet Khoya
• Palak Ni Puri • Adai Rasam
• Baigan Pora (Roasted Brinjal) • Sweet `N' Salty Pancakes
• Rajma Pakodas • Golden Rasbadas
• Potatoes With a Difference • Exotic Ladoos
• Mushroom-Macaroni Hot Pot • Coconut Delight
• Pepper Chicken • Super Pumpkin Slices
• Mutton Methiwala • Carrot Gulab Jamuns
• Saucy Chicken in Hot Spices • Moong Kheer
• Saucy Chicken in Hot Spices • Groundnut Gulab Jamuns
• Fish & Prawn Fiesta • Almond Pie
• Methi Chicken • Papaya Creamy Pudding
• Irani Kofta Curry • Carrot Sweet Chapati
• Mushroom in Marrow • Quick Gulab Jamun
• Spicy Mutton and Almond Curry: Kashmiri Roghan • Golden Jam Samosas
Josh • Khaja
• Hot `N' Spicy Baked Pomfret • Mango Coconutty
• Spinach Chicken Special • Chocolate Barfi
• Fish Fiesta
 • Chicken Fry
• Baby Corn in Gravy
• Mutton Peas Curry
Cheese Recipes
Cheese Recipes
• Cheese Nutrition
• Tips on Cheese Cooking
Pizza Recipes
• Pizza base
• Pizza sauce
• Onion and Cheese Pizza
• Roasted Red pepper Pizza
• Cheesy Pepper and Mushroom Pizza
• Pizza Margherita
• Renaissance Pizza
• spicy Broccoli Aioli Pizza
• Rock Spring Pizza
• Mixed Pulse Pizza
• Farmhouse Pizza
• Amul Cheese Quick Pizza
• Deep Pan Chicago Style Pizza
• Shrimp and Scallop Pizza
• Ham, Pepper and Mushroom Pizza
• Bacon and Tomato Pizza
• Pizza and Siciliana
• Pizza Snack
• Mushroom-filled Rolls
Soups
• Chilled Salad Soup wth Cheese
• Tomato Soup
• Chicken Balls in Cheese Soup
Salads
• Apple Yoghourt Delight
• Amul Chesse Salad
• Amba Barfi
• Egg Diamond Cuts
• Malai Crispy
Meals Vegetarian
• Amul Cheese Potato Puris
• Amul Cheese Loaf
• Spiced Amul Cheese Meal
• Amul Cheese Dosas
• Kofta Lajawab
• Beetroot Parathas
• Badshahi Baigan
• Vegetable Biryani
• Dil pasand Arbi
Meals Non Vegetarian
• Pepper Chicken
• Amul Cheese Mince Pancakes
• Baked Cheese Prawns
• Hot `N' Spicy Baked Pomfret
• Mutton Methiwala
Desserts
• Quick Cheese Lemon Pie
• Amul Cheese Orange Floats
• Cheesy Sweet Jamuns
Snacks Vegetarian
• Amul Cheese Potato Tikkis
• Amul Cheese Mini Puri Sandwiches
• Golden hearts
• Garlic Bread
Paneer Recipes

• Pudina Paneer
• Handi Paneer
• Paneer Pineapple Chaat
• Embassy Paneer
• Paneer in Coriander Garlic Sauce
• Aachari Paneer
• Paneer Palak Bhujia
• Kesari Paneer
• Goan Paneer Pea Curry
• Kaaju Paneer Masala

• Mughlai Paneer

These are all the official recipies of the Amul which are available on its site. Hence it
gives Amul an advantage of specializing in cooking and serving as well. When people are
fond of keeping Amul products as ingredients then they will surely appreciate the new
dishes Freshly cooked by it.

BEVERAGES:

• COFFEE(25TYPES)
• TEA(20 TYPES)
• SOFT DRINKS
• MINERAL WATER
• AMUL DRINKS

Amul follows a unique business model, which aims at providing 'value for money'
products to its consumers. So, even in this new market it will aim at customer-value
creation.

Market Analysis:
Fast food is one of the world’s largest growing food type. India’s fast food industry is
growing by 40% a year and is expected to generate a billion dollars in sales by 2005.The
multinational segment of Indian fast food industry is up to Rs.6 billion, a figure expected
to zoom to Rs.70 billion by2005. By 2005, the value of Indian dairy products is expected
to be Rs.1,00,000 million. In last 6 years, foreign investment in this sector stood at
Rs.3600 million which is about one-fourth of total investment made in this sector.
Because of the availability of raw material for fast food, Global chains are flooding into
the country.

Globalization

In 2006, the global fast food market grew by 4.8% and reached a value of102.4 billion
and a volume of 80.3 billion transactions. In India alone the fast food industry is growing
by 40% a year. McDonald's is located in 120countries and on 6 continents and operates
over 31,000 restaurants worldwide.
KFC is located in 25 countries. Subway has 29,186 restaurants located in
86 countries, Pizza Hut is located in 26 countries, Taco Bell has 278
restaurants located in 12 countries besides the United States.

Health issue

Tran’s fats which are commonly found in fast food have been shown in
many tests to have a negative health effect on the body.
The fast food consumption has been shown to increase calorie in take, promote weight
gain, and elevate risk for diabetes.The Centers for Disease Control and Prevention ranked
obesity as the number one health threat for Americans in 2004. It is the second leading
cause of preventable death in the United States and results in 400,000 deaths each year.

FAST FOOD INDUSTRY IN INDIA

INDIA – EMERGING MARKET FOR GLOBAL PLAYERS

The percentage share held by foodservice of total consumer expenditure on food has
increased from a very low base to stand at 2.6% in 2001. Eating at home remains very
much ingrained in Indian culture and changes in eating habits are very slow moving with
barriers to eating out entrenched in certain sectors of Indian society.. The growth in
nuclear families, particularly in urban India, exposure to global media and Western
cuisine and an increasing number of women joining the workforce have had an impact on
eating out trends.

FACTS AND FIGURES

Fast food is one of the world’s largest growing food type. India’s fast food industry is
growing by 40% a year and is expected to generate a billion dollars in sales by 2005.The
multinational segment of Indian fast food industry is up to Rs.6 billion, a figure expected
to zoom to Rs.70 billion by2005. By 2005, the value of Indian dairy products is expected
to be Rs.1,00,000 million. In last 6 years, foreign investment in this sector stood at
Rs.3600 million which is about one-fourth of total investment made in this sector.
Because of the availability of raw material for fast food, Global chainsare flooding into
the country.
MARKET SIZE & MAJOR PLAYERS

a) Dominated by McDonalds having as many as 75 outlets.

b) Domino’s pizza is present in around 100 locations.
c) Pizza hut is also catching up and it has planned to establish 125 outlets at the end of
2005.
d) Subways have established around 40 outlets.
e) Nirulas is established at Delhi and Noida only. However, it claims to cater 50,000
guests every day.
Major players in fast food are:
• MCDONALDS
• KFC
• PIZZA HUT
• DOMINOS PIZZA.
• COFFEE DAY
• BARISTA.
The main reason behind the success of the multinational chains is their expertise in
product development, sourcing practices, quality standards, service levels and
standardized operating procedures in their restaurants, a strength that they have
developed over years of experience around the world. The home grown chains have in
the past few years of competition with the MCs, learnt a few things but there is still a lot
of scope for improvement.

REASON FOR EMERGENCE

Gender Roles: Gender roles are now changing. Females have started
working outside. So, they have no time for their home and cooking food. Fast
food is an easy way out because these can be prepared easily.

Customer Sophistication and Confidence: Consumers are becoming

more sophisticated now. They do not want to prepare food and spend their time and
energy in house hold works. They are building their confidence more on ‘ready to eat and
easy to serve’ kind of foods

Paucity of Time: People have no time for cooking. Because of emergence of

working women and also number of other entertainment items. Most of the
time either people work or want to enjoy with their family.

Double Income Group: Emergence of double income group leads to

increase in disposable income. Now people have more disposable income so
they can spend easily in fast food and other activities.

Working Women: Working women have no time for cooking, and if they
have then also they don’t want to cook.Because they want to come out of the traditionally
defined gender roles. They do not want to confine themselves to household work and
upbringing of children’s.
Large population: India being a second largest country in terms of population possesses
large potential market for all the products/services. This results into entry of large number
of fast food players in the country.

Relaxation in rules and regulations: with the economic liberalization of 1991, most of
the tariff and non tariff barriers from the Indian boundaries are either removed or
minimized. This helped significantly the MNC’s to enter in the country.

Menu diversification: Increase in consumption of pizzas, burgers and other type of fast
foods.

PROBLEMS OF THE INDUSTRY

Environmental friendly products cost high: Government is legislating laws in order to

keep check on the fast food industry and it is emphasizing more on the usage of bio-
degradable and environment friendly products. But associated with this issue is the
problem that fast food player faces - the cost associated with the environment friendly
product. They cost much higher than the normal products that companies uses for
packaging or wrapping their products.

Balance between societal expectation and companies economic objectives: To

balance a society’s expectation regarding environment with the economic burden of
protecting the environment. Thus, one can see that one side pushes for higher standards
and other side tries to beat the standard back, thereby making it a arm wrestling and mind
boggling exercise.

Health related issues: obesity: Studies have shown that a typical fast food has very high
density and food with high density causes people to eat more then they usually need.
Low calories food: Emphasis is now more on low calorie food. In this line McDonald has
a plan to introduce all white meat chicken Mc nuugget with less fat and fewer calories.

TRENDS IN INDIAN MARKET

• Marketing to children
• Low level customer commitment.
• Value added technology service
• Attracting different segments of the market

MARKET STRATEGIES

• Promotional and Advertisement Campaigns(Coupons and discounts)

• The promise of Delecious food with THE TASTE OF INDIA
• Use of Technology(Digital interactive Television, Internet on the PC, Mobile
telephony)
 • Mid level pricing strategy aiming at customer value creation.
• Distribution strategies of fast food chains in India.
• Opening of small joints near by colleges.
• Use of the Amul mascot in advertising and promotion.
• Providing VALUE MARKETING-Providing the product that works as claimed, is
accompanied by decent service, and is delivered on time.
• Commitment to the quality
• VALUE FOR MONEY

SWOT ANALYSIS

STRENGHTS: WEAKNESS:
• Wide range of offerings • Need to focus on youth
• Affordable price requirements keeping middle class
• Effective ad campaign in mind
• Diversification
• Aiming at customer value creation
• Brand image

OPPORTUNITY:
• Export segment fast food market
• Entry in retailing
• Packaged sweets market
• Sports drink new market
THREATS:
• Increasing population
• Increasing fast food avenues
• Taste preferences towards
Multinational food chains like
McD, Pizza hut

After the analysis it can be concluded that Amul’s DELECIOUS has great prospects in
the fast food industry. It has great potential to capture this segment of food lovers. But it
will have to be stringent about the customer service and experience to retain their
loyality. Also it should work on the same models and principles to blend the essence of
Amul Deliciously in all the aspects.