A SUMMER TRAINING REPORT ON

BRAND LOYALTY OF BARODA DAIRYS MILK PRODUCT

FOR

Baroda District Co-operative Milk Producers Union Ltd., Baroda Dairy AS PARTIAL FULFILLMENT FOR THE DEGREE OF MASTERS OF BUSINESS ADMINISTRATION JUNE-JULY, 2011

ANAND INSTITUTE OF MANAGEMENT

MBA PROGRAMME (AFFILIATED TO GUJARAT TECHNOLOGICAL UNIVERSITY) OPP. TOWN HALL, NEAR GRID, ANAND

Mr. Snehal Bhatt Lecturer Anand Institute of Management Submitted By

JALPESH R LAD ENROLLMENT NO: 107020592046 M.B.A- SEMESTER 2 1

Mr. A. P. Jagani Marketing Officer Baroda Dairy

CERTIFICATE

PREFACE

Summer project is an internal part of MBA program. This exercise enables the students to get practical exposure to realities of corporate world in action and practice. A great knowledge comes from better book education and a good experience. Thus we got a truly rewarding chance to get the best feel and experience of the real world economic environment in the best possible manner.

I was required to undertake a detailed study of the activities of Baroda Dairy as a whole and its Marketing Department etc. It helped me to apply theoretical knowledge into practical experience, working with all kinds of perishable commodities. Looking at Baroda Dairy it has one of the modern plants with latest equipments and the best personnel.

Having milk as a major product, it has various by-products, which also has a bigger share in the total production. People have total faith in the Baroda Dairy products and it has highest quality control norms, duly certified with ISO 9001:2000. Baroda Dairy products have become most popular and preferred by people.

The intent of my works is to provide a survey on Brand Loyalty of Baroda Dairys Milk Products. Due to the good guidelines and support of marketing department of Baroda Dairy, I could produce a useful survey from consumers. This survey covers 100 consumers of 3 different areas of Baroda city (i.e. Vasna, Gotri & Old Padra Road). Any successful primary research requires good response. Due to the same I am able to complete the project report, which is submitted as a part of two years course leading to Anand Institute Of Management.

ACKNOWLEDGEMENT

I have been able to prepare my report successfully and I acknowledge a special thanks to all those people without whose support it was impossible for me to make the project report. It has been an enriching experience for me to undergo my summer training at Baroda Dairy which would have not been possible without the goodwill and support of the people around.

I would hereby take this opportunity to show my gratitude towards all my mentors for what I have learnt during my training. A good response, feedback and co-operation given by whole staff helped me in gaining knowledge and solving my queries. I convey my sincere thanks to all the officials of Baroda Dairy.

I would like to thank to Mr. Ravindra Mathur (Managing Director) for giving me this opportunity to work at Baroda Dairy. I am also thankful to Mr. V.C.Patel Marketing Ma Mr. A. P. Jagani Officer

Mr. Alok Desai (Training Officer) for guiding me and supporting me in giving complete and comprehensive data required for my project work. Finally I am thankful to all Baroda Dairys Family.

I would like to thanks our honorable Director Dr. N. N. Patel who provided me the permission for the Industrial Training. I would also like to thank Mr. Snehal Bhatt for guiding me and other faculty members and staff of the institute who co-cordially helped me about morally and provided me all the academic and other information required for this industrial training.

DECLARATION
This project report entitled BRAND LOYALTY OF BARODA DAIRYS MILK PRODUCT has been submitted to, Anand Institute Of Management, Anand in partial fulfillment for the award of Degree of Post Graduation in Masters Of Business Administration . The undersigned hereby declare that this report has been completed by me under the guidance of Mr.Ashok Jagani (Sr officer Marketing) and Mr.Snehal Bhatt (Faculty Member, Anand Institute Of Management, Anand)

The report is entirely the result of my own efforts and has not been submitted either in part or whole to any other institute or university for any degree.

JALPESH R. LAD Date: Place:

EXECUTIVE SUMMARY
The report consists of the details on Baroda District Co-operative Milk Producers Union Ltd. It is a Co-operative society. The main aim of the welfare of the society by providing quality milk to its consumers at an affordable price.

It has various functional departments such as Production, human Resource, Finance, Marketing, Purchase and Stores, Quality Assurance, Dispatch and Logistics. A detail study of Marketing has been made so as to get a clear view of the working of each of them.

In addition to it a survey on the Measurement of Brand Loyalty of Baroda Dairy Milk Products has been done in the Baroda city. This survey is useful for the company to know that to what extent the customers are loyal towards the milk products of Baroda dairy. This will enable the company to take appropriate action as needed to increase as well as to retain its loyal customers in the market. The survey has been analyzed by presenting it in the form of charts and based on it the results and findings have been made. Lastly the conclusion as well as the recommendations necessary has been made.

INDEX
Topic
CERTIFICATE FROM THE ORGANISTION PREFACE ACKNOWLEDGEMENT DECLARATION EXECUTIVE SUMMARY GENERAL INFORMATION INTRODUCTION VISION AND MISSION STATEMENT ACHIEVEMENTS ENVIRONMENT POLICY COMPNAY INFORMATION GENERAL INFORMATION OF DEPARTMENTS PRODUCTION DEPARTMENT FINANCE DEPARTMENT HUMAN RESOURCES PURCHASE & STORE DEPATMENT QUALITY ASSURANCE DEPARTMENT DISPATCH & LOGISTIC DEPARTMENT MARKETING DEPARTMENT BRAND LOYALTY RESEARCH METHODOLOGY ANALYSIS FINDINGS & CONCLUTION RECOMMOMDETIONS & LIMITATIONS 8 9 9 10 11 12 18 19 23 27 33 36 39 41 51 53 57 68 71

Page No.

BIBLOGRAPHY ANNEXURE

General Information

INTRODUCTION

Traditionally Dairy was a subsidiary occupation of the farmer. However, the contribution of the farmers income was not prominent as it was from farming. But this attachment to dairy was keep as tradition handed down from one generation to the next. Baroda District lies in the centre of Gujarat, a state of Western India, well-known for cooperative dairying. Baroda District co-operative Milk Producers union Ltd Is the full name of Baroda dairy. As the name suggests that it is a co-operative union The Company is engaged in the production of milk, flavored milk, butter and ghee, butter milk. The company also produces a wide variety of ice-cream, shrikhand, and many sweets through Sugam unit, a subsidiary of Baroda dairy. The plant is situated in Makarpura area, in the center of the city. The plants of Baroda dairy are fully equipped with latest technology and modern facilities. Baroda dairy always work for welfare of society.

VISION AND MISSION STATEMENT

Baroda dairy is a co-operative society and it is not just a profit motive unit but to serve the society. The main mission of the Baroda dairy is to assure and safe guard the interest of the both nominal consumer of milk in city area and supplier of rural areas. And for this the Baroda dairy deals accordingly to provide the best quality products at a reasonable price to their customer.

ACHIEVEMENTS
SUGAM unit of Baroda dairy received Jamanalal Bajaj Award in the year 1994 for the best Mgt. In 1998, to remain as a Market Leader in this competitive World, Baroda dairy has acquired the ISO 22000:2005 & 9001:2008 certificate.

In 1998, vice president, Shri Krishna Kant Awarded Baroda dairy by presenting National Productivity Award for its production & development.

In 2001, Baroda productivity council organized Good Housekeeping Competition in which the Bodily Unit of Baroda dairy won the prize.

In 2002, Baroda dairy received certificate from Gujarat Safety Council for the various safety measures adopted at all the units.

In 2003, Baroda dairy received ISO 14001 certificate under its environmental policy.

Highly automated plan for manufacturing GULAB JAMUN, SHRIKHAND and PENDA unique in India Sugam brand

Second in horticulture Received 2nd prize for minimum accidents among drug, pharmaceutical, food and dairy industries.

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ENVIRONMENT POLICY
We are committed to protect and preserve natural Environment for social welfare and co-existence. Baroda Dairy, A leading co-operative organization is engaged in manufacturing and marketing of milk and milk products in India and abroad.

FOLLOWING ARE THE PRINCIPLES OF ENVIRONMENTAL POLICY Control our plant operations to prevent pollution. To conserve natural resources and energy. Comply with applicable environmental legislation and regulations. Applying greening of the earth within our premises. Continually improve our environmental performance. To minimize generation of waste and follow appropriate methods for its disposal Create awareness among employees on environmental issues and environmental management system. Keep our work environment clean and safe. This Environmental policy will be communicated to all employees, contractors and suppliers of Baroda Dairy.

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PRESENT PROFILE OF COMPANY

UNIT NAME:Baroda District Co-operative Milk Producers Baroda Dairy.

FORM OF ORGANIZATION
Co-operative Sector

ESTABLISHMENT YEAR
24th December 1957 Rg. No.:- D 4/57.

REGISTERD OFFICE
Baroda District Co-operative Milk Producers Union Ltd., Baroda Dairy.Opp. O.N.G.C. Regional office, Makarpura Road, Vadodara-390009. Phone: - 0265-2641066

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TOTAL UNITS
1. Baroda Dairy Baroda 2. Sugam Unit Baroda 3. Cattle Feed Factory Itola 4. Milk Chilling Center Bodeli 5. Veterinary Sub Unit Savli 6. Veterinary Sub Unit Dabhoi

SIZE OF THE UNIT

Large Scale Industry

BANKERS OF BARODA DAIRY

1. The Baroda Central Co-operative Bank Ltd. 2. The UCO Bank, Baroda 3. Bank of Baroda, Baroda 4. Punjab and Sindh Bank, Baroda 5. Bank of India 6. Central Bank of India, Baroda

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DIMENSIONS
1. Area in Sq.Km.77.94 2. No. of District: 12 3. Urban Land: 611300 Hectares 4. Irrigated land: 127900 Hectares

CHAIRMAN
Shree Narendrabhai Patel

VICE-CHAIRMAN
Shree Ajitsinh Thakor

MANAGING DIRECTOR
Shree Ravindra Mathur

AUDITOR:Shree N. A. Chauhan

INVESTMENT OF BARODA DAIRY

Particulars Amount (Rs.) Land Building 54, 98,752 3, 56, 68,046

Plant & Machinery 8, 08, 41,885 Furniture & Fixtures Vehicles Total 80, 89,866 43, 54,466 13, 53, 53,015

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PRESENT PRODUCTS MIX

Baroda Dairy is a unique place processing several products from the basic raw-material i.e. Milk, These products are as under and are immensely popular in and around city of Baroda.

Milk
1. Amul Gold 2. Amul Shakti 3. Amul Slim & Trim 4. Amul Cows Milk

Butter Milk Jeera Chhas Flavored Milk

1. Elaichi 2. Kesar 3. Mango

Butter
1. Table Butter 2. White Butter

Ghee
1. Surbhi 2. Amul

Cheese Masti Dahi

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PRODUCTS OF SUGAM UNIT Ice Cream 1. Vanilla

2. Mango Chocolate 3. Strawberry 4. Pineapple 5. Rose

Cones
1. Vanilla 2. Chocolate 3. Butter Scotch 4. Tri tiny chocobar

Shrikhand
1. Mango 2. Kesar 3. Badam 4. Pista 5. Elichi 6. Butter Scotch

Lassi
1. Rose 2. Mango

Sweets
1. Kaju katri 2. Mava 3. Kopra pak 4. Kesar peda 5. Gulabjamun 16

COMPETITIVE SCENARIO
Baroda dairy is offering the largest number of dairy product to the customer in Baroda district. So the dairy has largest market share in these types of products. The dairy enjoys the position of market share of more than 85 % in Baroda city. Its due to the policy of providing the best quality of product at reasonable price. Dairy faces competition from many big organizations for its sugam unit products. It has also loose vendors and small private dairies, as competitors for Baroda dairy unit products, mostly for milk.

ORGANIZATIONAL CULTURE
The organizational culture of Baroda dairy is the greatest factor for employee. All the departments are highly co-related and through which information reaches easily and especially to all levels.

All the employees work Co-operatively and also feel as family members. In the dairy, discipline is maintained so that employees at all levels have respect for each other. Any kind of nuisance is not seen in the dairy.

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GENERAL INFORMATION OF DEPARTMENT S

18

PRODUCTION DEPARTMENT

19

DEPARTMENTAL STRUCTURE

Production Manager Assistant Manager Shift Superintendent

RMRD Section

Process Section

Ghee Section

Butter Section

Pouch Packing Section SAewSection

Technical Officer Supervisor Operator Worker

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ACTIVITIES OF THE PRODUCTION DEPARTMENT

There are 1192 registered co operative societies, giving milk to Baroda dairy. Baroda dairy has set up a modern plant for the production process. It has established its plant in a modern high tech style which functions nearly 80% automatically.

1) Raw Material Receiving Dock It is a big open area, where milk is brought from various societies by way of tankers and canes. The cans are emptied in the milk tank with the help tankers and cranes. The cans are emptied in the milk tank by the way of belt conveyors system and then after the cans are washed in automatic washing machine. The average number of cans washed per minute are 5 to 6. Before distilling cans, the milk is graded and weighted. The samples from cans are taken and sent to the laboratory where they are graded in terms of fats and S.N.F. once the milk is collected in the tank, the net process will start to separate the fat and cash will be separately stored.

2) Pasteurization The term pasteurization means heating treatment and cooling to suitable temperature before distribution. After the separation of FAT and SNF, the milk is passed through the heat section of pasteurization and is the very first step of

pasteurization. The milk is boiled up to 74 c for 15 seconds in the machine and then very next second it is chilled at 4 to 6 c instantly. This will lead milk to be cream less that is pasteurized.

3) Standardization To reduce the FAT percentage of milk SMP or skimmed milk is added and to increase the FAT percentage, cream is added. Cost of pouch is worked out according to the stand of fat in the milk. 21

After standardization, milk is stored in silos. Sample is taken for analysis of FAT, SNF. Acidity MRP tests etc.If the result is o.k., it is sent to the storage tank. Milk sample from the same further subjected to analysis prior to packing.

4) Homogenization It is the process of mixing. Humanizer is used to homogenize milk, butter milk and flavored milk.

5) Pouch packing section There are 14 machines used for packing the milk pouches. The milk from pasteurization section is restored in the tanks and from there it is brought to the section by the help of pipelines. Here the machines are operated automatically giving the bags of 500 ml each. The number of bags to be filled with the milk can be derived through the regularity of machine. An average output number of bags per hour are 3000

pouches. The department also consists of the carats washing system and it is also fully automatic.

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FINANCE DEPARTMENT

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FINANCE DEPARTMENT
INTRODUCTION The first & foremost requirement of any business is finance. Finance is required in each & every stage of the business. Business is nothing but a process of making money through money. So to make money you need money. It can be acquired through various sources. After getting sufficient money the process of utilization of it starts. The finance dept. has to deal with not only the procurement of finance but also with the proper utilization of it. Finance is the basic requirement for purchase of assets, production of goods, marketing, selling, etc. The finance dept take the decision regarding financial matters. Thus, we can say that finance dept. is one of the most important dept.

FINANCIAL PLANNING Planning is one of the most important principles of Mgt. the success of the org. depends mainly on proper planning. The proper estimation of the requirement of funds, determination of sources from where the fund will be raised and its proper utilization can be termed as financial planning.

Financial planning includes the preparation of projected profit & loose account, fund flow statement & balance sheet. Estimation of growth in sales is very important because from that the need of funds is decided. As due to rise in sales there is need of more assets. As more investment has to be made for additional plant & machinery to raise its capacity to produce. Additional current assets are also required to products & sell more quantity.

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SOURCE OF FINANCE

Baroda dairy does not raise finance for short term as all the requirement for short-term finance are fulfilled by the internal sources (i.e. reserves & surplus). Mostly, finance is aisled from long-term sources of finance. All the requirement of finance is fulfilled either by issuing equity shares or by taking loan from National Dairy Development Board. The repayment of loan is done in equal installments, the amount is predefined. Generally, 6% interest is charged on the amount of loan.

CAPITAL STRUCTURE

Capital Structure of an organization refers to the makeup of its Capitalization. Capital structure includes all the long term source of finance. Thus capital structure of company shows the borrowed capital and their sources.

Baroda Dairy is co-operative society. So, its shares are not listed in stock exchange.

MANAGEMENT OF FIXED ASSETS

Assets of any organization can be classified into two parts: Fixed Assets Current Assets

Fixed Assets are those assets which remained beyond the accounting year. In other words, they are the assets which would be in used for more than one year investment. Fixed assets are vital decision in financial literature. The investment decision involving fixed assets is knows Capital Budgeting. 25

CAPITAL BUDGETING

In Baroda Dairy, there is a budget committed by managing director along with assistant managers. The budget committee considers the provision years, figure and every department received by comparing the actual performance, modernization and expansions. The decision is taken by the budget committee and the Project Report is also prepared by them.

The following points are considering in budgeting steps. 1. Allot money for preparation of budget. 2. The money is available as per the requirements with financial institutions. 3. Review with projected finance and its implementation.

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HUMAN RESOURCE DEPARTMENT

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DEPARTMENTAL STRUCTURE DEPARTMENTAL STRUCTURE

Managing Director

General Manager

Manager (Personnel)

Manager (Time Keeping)

Manager (Welfare)

Superintendent (Telephone)

Officer Jr.Officer Sr.Executive Sr.Assistant Jr.Assistant

Officer Jr.Officer Sr.Executive Time Keeper) Sr.Assistant (Time Keeper) Jr.Assistant

Officer Jr.Officer Sr.Executive Sr.Assistant Jr.Assistant

Sr.Officer

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HUMAN RESOURCE MANAGEMENT AT BARODA DAIRY Baroda Dairy is one of the leading Dairy It shares collaborative and friendly relationship with preferred partners, employees, consumers and other workers involved to it. It maintains a transparency in handling the above relations and stick to its standards.

The HRM function or Personnel department function in Baroda Dairy is indeed vast. All major activities since working of a worker from the time of his/her selection in to an organization until he/she resigns or get retired or leave job for any reason comes under the preview of HRM.

The HR planning in Dairy is very smooth and transparent. It made Baroda Dairy a HUGE BIG Family of approximately 1400 employees. In Baroda Dairy major attention is given on the welfare and Safety of employees. They are also given different kind of incentives to increase their production effectiveness.

Dairy also focuses on developing human value and potential through various bearing and development activities and provide favorable atmosphere. All these functions are performed by HR in Baroda Dairy.

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Human Resource Is Divided Into Different Parts

The HR in Baroda Dairy in mainly divided into four sections:

Personnel Department
Recruitment, selection, training, industrial relations, negotiation with Union etc.

Administration Department
Its handles canteen, security, welfare facilities, safety, Any theft or loss, Absenteeism , events, AGM meeting organizing, licensing work, hygiene of various dept, etc.

Time Keeping Department

It handles salary & wages, records of employees, provides benefit of statutory, ESS, Form fill up, punching System, provident fund, ESI etc.

Telephone Department & Computer Department

Maintains the connection of each department and provides facility of CUG to each employee to remain in contact while doing work. So that if any query or problem occur they can contact each other easily. Computer system handles the whole MIS in Baroda Dairy.

Trade Union in Dairy Trade unions are the voluntary collective group of employees or employers formed to promote and convey their interest through collective actions to the organization. At Baroda dairy, there are two unions. One for the workers & another for officers which are working for the following:-

1. BARODA DAIRY TRADE UNION:- ( FOR OFFICER) 2. RASTRIYA MAJDOOR UNION:- ( FOR WORKERS) 30

 To get adequate bonus Strive for better working condition. To secure better pay scale for employees in keeping with the prevailing standards of living in the country.

To work for welfare and development of workers educational facilities and group benefit scheme for them.

Recruitment

Recruitment is a process of searching for prospective employees & stimulating them to apply for the job in the org. Recruitment of an employee is done on the bases of Human Resource Planning carried by Baroda dairy Mgt. At Baroda dairy recruitment is done through both sources i.e. internal as well as external sources.

Internal Recruitment Recruiting employees internally like promotion, transfers, etc.

External Recruitment Recruiting employees form job portals, employment exchange, campus interview,

advertisements. Dairy uses External source of recruitment mostly.

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Selection
Selection procedure includes the selecting Right candidate, at Right time, for right job. It is as follows: Application form Bio-data analysis Short-listing. Interviews References/security screening Ability tests Aptitude, intelligence and personality Work experience/short term contracts Medical checkups. Placement/Appointment.

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Purchase and Stores Department

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Inventory Management System In Baroda dairy, the store department uses the FIFO method. I.e. First In First Out method of inventory management.

Purchase Procedure Baroda Dairys main raw material is milk. The purchase department has only to pick up just 10% of other raw material. The purchase procedure is as under: 1. First of all respective department heads find out their need and get it approve by the managing director. 2. Then they contact the stores department. 3. After this they send an indent to the purchase department. 4. The purchase department then asks for quotation from the suppliers. 5. After the quotations are received will then be selected. 6. The least cost giving suppler will then be selected. 7. Then take the approval and give the authority to the supplier who gets the quotation passed. 8. Then just let the finance department will make the payment the supplier after the delivery of goods.

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Types of Stores Cold Stores The cold stores are use for storing milk, chhas, flavored milk, dahi etc. and many other products. General Store 1 In this general store, the veterinary products, medicines, transportation instrument, buckets, flavors for milk and shrikhand are stored here. General Store 2 Here plastic of milk bags is store; tins of ghee, milk powder, fodder for cattles etc. are stored.

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Quality Assurance Department

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DEPARTMENTAL STRUCTURE
Managing Director

Quality Control Manager

Quality Control Officer

Senior Chemist

Junior Chemist

Sampler

Worker

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Activities Carried By People in Quality Control Lab

Superintendent The superintendent observes all the activities in the lab, packing and giving the guidance. Junior Officer Here the officer looks after all Agmarks related to ghee and butter in the lab.

Senior Officer Here the senior chemist looks after ISO 14000 and ISO 9000-20000 certificates.

Chemist The chemist looks after all the society milk, pasteurized milk and other milk products. Sampler The sampler takes the samples from the milk received from different cooperative societies. Micro Biologist (Milk Plant) The microbiologist cleans up all the tools and machines, which are used for milk, butter and buttermilk.

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Dispatch and Logistics Department

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Dispatch and Logistics All activities carried out under the supervision and order General Manager of Marketing head i.e. order of milk and milk products are dispatched as per the order of customers and retailer and all records of dispatch are kept in dispatch register and computer. In dispatch department the work is divided in 3 shifts 1. Morning 2. Afternoon 3. Evening

Sources of Mode of Transportation There are trucks, tempos, insulated vans, three wheeler tempos are used to deliver the milk and the milk products in all the three shifts.

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Marketing Department

41

INTRODUCTION

Every organization whether big or small needs to have a marketing department. Marketing department serves as an important part of an organization, which bring revenue in the business. It depends mostly on the marketing dept. as to how they sell the final products & creates demand for it. Baroda dairy is having a fully fledged marketing dept. where all the functions related to marketing are performed. As a part of marketing strategy Baroda Dairy has increased its Morning milk centers to1078, full time centers to 1322, and franchisee to 67 from 56.

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DEPARTMENTAL STRUCTURE

Marketing Manager

Marketing superintendent

Senior Supervisor

Senior Officer

Superintendent

Junior Officer

Junior Supervisor

Junior Officer

Junior Superintendent

Junior Inspector

Salesman

Senior Assistant

Junior Assistant

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PRODUCT PLANNING
At Baroda Dairy, the market division set up a team which surveys and researches into the need of the customers. When Baroda dairy launches any new product it questions consumers that what they require in their product. Baroda dairy also researches about its new introduced product

MARKETING RESEARCH
Marketing research may be defined as scientific & controlled process of gathering non-routine information regarding the product & its market condition. It helps the Mgt. to solve many problems. Marketing research concentrates on the study of products planning & development, pricing policies, effectiveness of personal selling, advertising & sales promotion, distribution system, marketing strategies, market competition, buying behavior & attitude of consumer.

Marketing research is carried out periodically with the help from the students who approach Baroda dairy for industrial training. Survey is conducted by the students doing post graduation in Masters In Business Administration under the guidance of marketing dept. At the end of the survey, the results are verified & conclusion is abstracted.

TARGET MARKET
The whole city of Baroda is the target market for Baroda dairy. Also the town of Baroda city is the target market for the Baroda dairy.

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MARKET SHARE
Baroda dairy has 80% market share. It is market leader. It is due to the quality and variety of milk & milk products which are sold at reasonable price.

PRODUCT PLAN
A product is a tangible thing that has capacity to satisfy human needs. The product forms an important part of marketing mix. If the product fails to satisfy consumer there will be no effect of additional cost incurred on marketing the products. Before launching any new product or before having change in product mix, a survey is carried on to know the view of consumer. E.g. during one survey it was found that the consumer were in a need of milk with more fats. So, after proper analysis by the marketing dept. and with the concerned from production dept. milk having more fats was made available to the consumer. It is sold under the brand name Amul gold.

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ADVERTISING
It can be defined as any paid form of non-personal presentation & promotion of ideas, goods & services by an identified sponsored. It is a means for mass communication and an impersonal salesmanship for mass selling. Advertising is a major promotional tool. It has following strengths as a promotional tool:1. It offers a planned & controlled message. 2. It can influence many people / prospects at a low cost. 3. It can reach to the prospects that cannot be approach easily by salesman. 4. It assists in the introduction of a new product in the market.

Baroda dairy does not have to advertise on a large scale for its products because most of the people are aware of the products produced by the dairy. In fact, the products are of daily used and they are so popular that there is little need for advertisement. The different media used for advertisement by the Baroda dairy are:- Road side hoardings, bottom line advertisement on television.

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SALES PROMOTION
Baroda dairy enjoys the position of market leader and it has satisfactory sells, so there is no major need of sales promotion but, whenever any new products is launched in the market it is sold at a introductory price. i.e. price less than the normal price. Baroda dairy does not give promotional schemes in its entire product. Dairy also gives cash discount in its entire product. Usually at time of festival days. Apart from above description the dairy provide incentives in form of Commission. It described as follow. 30 paisa commission as road side commission of milk/litter. 38 paisa is to fall time as their as their electricity is consumed for whole Day/litter. 2 rupees commission of flavored milk / 200ml. 50 paisa commission of jeera chhas / 100 ml.

Instead of all this is one scheme for masala chhas as it is in introduction stage. 10 packets free purchasing of 60 packets of masala chhas. Dairy give incentives on each pouch sold. This is another promotion effort done by dairy. By inviting school children, house wives and other focus group to dairy and conducting on effective awareness program by focusing on milk processing pasteurization, chilling clarification and homogenization. Now in a mall culture Baroda Dairys products are also available in mega malls like Spencers, Reliance fresh, More mega store etc.

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MARKET SEGMENTATION
At Baroda dairy the market segmentation is done in several ways for various products. But, for the plain milk there is no segmentation and it is marketed & sold all over Baroda. Whereas, for flavored milk & other products there is geographic and demographic segmentation. In geographic segmentation the flavored milk is distributed from the milk bars located at the famous and mostly crowded areas of the Baroda. For e.g. Kamati baug / sayagi baug, raopura, fatehgunj, outside the dairy, Kareli baug etc. But the most important place where there is highest demand for flavored milk is the Railway station. The demographic segmentation means dividing the consumer. Market in terms of age, sex, family, income, occupation, etc. At Baroda dairy, it is done by having milk bars near schools & collage, as the major consumers for dairy products are children any young people.

CHANNEL OF DISTRIBUTION
One level distribution system is managed at Baroda dairy for all the products excepted ghee. A one-level channel contains one selling intermediary, such as retailer. Products like milk, flavored milk, curd, chhas etc. One level system is maintained where there is only a retailer between the manufactured and the final consumer.

Manufacturer

Retailer

Consumer

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The durability of milk is only for 72 hrs. So the distribution has to be such that milk is delivered to the final consumer before it gets spoiled. Hence, there is only one mediator between the manufacturer & the final consumer. For the milk distribution there are morning & evening booths & the full time centers, which work as per the orders from Baroda dairy. The morning booth centers have a short span of working from 4:00am to about 7:00 am but they also have a major chunk of sales as compared to the full time centers. About 80% of the sales are through the morning booth and the rest 20% are by the evening booth s as well as full time centers. Now this retailers are stared the home delivery to boost up their sale. They have a coupon system where in the coupon are issued to the customers and milk is delivered against it. The distribution system at Baroda dairy is very systematic. The vans take their particular routs & deliver the crates to the morning centers. While returning, these vans deliver the milk to the FTC and collect the empty crates from the morning centers. There are about 1078 morning centers, & evening centers, 322 full time centers and 67 franchisee. In all there are about 114 routes for morning centers, 3 routes for evening centers & 20 routes for afternoon centers. Baroda Dairy also providing milk through mega malls such as more mega mall, Reliance fresh, Spencers.

PRICING POLICY

Price may be defined as the value of product expressed in the monetary terms which a consumer pay or expected to pay in exchange and anticipation of the expected or offered utility. Therefore, we can say price is a link between the consumer and organization. As the main objective of Baroda dairy is not profit maximization, so it sets Reasonable price for its products. It considers the interest both the parties. I.e. the suppliers of milk and the consumers currently, all over India the price of milk is fixed by the NDDB (National Dairy Development Board)

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EXPORT
The products produced at Baroda dairy are not exported to other countries. The products of SUGAM unit are Exports to countries USA SINGEAPORE JAPAN AUSTRALIA KUWAIT BATLERIN DUBAI ABUDHABI

WAREHOUSING & TRANSPORTATION WAREHOUSING

Baroda dairy does not have any warehouse but it has cold storage. Mostly, all the products are perishable in nature so there is a facility of cold storage and it is within the dairy premises.

TRANSPORTATION
There is use of private vehicles i.e. tempo & trucks which are hired to transport milk. The transportation cost is low as it is within Baroda district.

LIST OF COMPETITORS
Small loser milk Retailers.

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BRAND LOYALTY

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INTRODUCTION

A general term used to describe the extent to which consumers buy or use a brand in preference to other brands. In practice consumers often buy or use several brands, therefore brand loyalty is a relative measure.

Brand loyalty, in marketing, consists of a consumer's commitment to repurchase or otherwise continue using the brand and can be demonstrated by repeated buying of a product or service or other positive behaviours such as word of mouth advocacy.

Brand loyalty of current clients is a critical asset that must be managed carefully. This loyalty is a major barrier to competition. Countless new business has succeeded because companies neglected existing customers.

Strength of preference for one brand compared to other similar available options. This is often measured in terms of repeat purchase behavior, or in terms of price sensitivity. Brand equity Investors: Brand equity is brand valuation Customers: value of brand to customer compared to other brands

Brand equity versus Brand loyalty Brand loyalty is consistent repurchase of brand accompanied by a favorable brand attitude Brand equity is the value of the brand to the buyer and seller

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RESEARCH METHODOLOGY

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BACKGROUND OF THE STUDY

There are many reasons behind conducting this study. The first reason is to find out brand awareness among the citizen of Baroda, who are consumer of Baroda Dairy`s milk & milk products. And the second reason is to find out loyalty of consumers towards Baroda Dairy`s milk products.

For conducting this survey, I had prepared a questionnaires. I met 100 persons from different back ground and filled questionnaires from them.

IMPORTANCE OF STUDY

From this research Baroda Dairy would get know certain thing like: To know that people of Baroda are well aware of Baroda Dairys milk products. To get the decision about introduction of new products under existing brand or new brand.

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OBJECTIVES OF STUDY
The main objective of this survey is to find out the Brand loyalty of Baroda Dairys milk products.

Research Design
For this particular research descriptive research design has been used. Descriptive research design is used to know about the market characteristics, marker share.

Sources of data:
Primary Data I had use questionnaire as a tool in my marketing research. I started my project very first educating the respondents about my entire project and ask them to cooperate with me. Mostly all the respondent were aware of this type of surveys. So I didnt face any type of difficulty during my project in the process of explaining and taking their responses on the questionnaire.

Secondary Data Secondary data I got through following sources. Past Reports Data through internet source Annual Reports of the Dairy

Data collection method

Personal survey has been used to collect the data through structured questionnaire. Data was collected between 14th June-2011 to 28th June-2011 in Baroda city.

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Population
The population consists of the consumers of Baroda city.

Sampling Method
Convenience Sampling Method has been used to decide on the selection of samples.

Sample Size:
100 consumers.

Sampling Unit
I had taken consumers of different area in the Baroda city i.e. Vasna, Gotri & Old Padra Road.

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ANALYSIS

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Data Analysis & Interpretation

Chart-1

Do you consume Baroda Dairys Milk Products? a) Yes--------- 98% b) No---------- 02%

Interpretation Here, the chart shows that 98% people buy Baroda dairys milk products and 2% people doesnt buy milk products out of 100 samples from Baroda city

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Chart-2
If yes, what is the reason you like Baroda Dairys Milk Product? a) Quality-------------56.12% b) Price----------------13.26% c) Brand Image------24.50% d) Quantity-----------06.21% e) Other reason------00.00%

Interpretation Above the chart shows that 56.12% Quality, 13.26% Price, 24.50% Brand image, 6.21% Quantity/size, 0% other reason are the reason why the people choose Baroda dairys milk products. Most of the people like Baroda Dairys Milk Product because of its Quality & Brand image in the Market

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Chart-3
3) Which milk products of Baroda dairy do you like most? a) Chas -------------------------------68.37% b) Flavors milk ----------------------09.18% c) Ghee & cow ghee --------------10.20% d) Curd -------------------------------12.25%

Interpretation Above the chart shows that 68037% people likes Chas, 09.18% Flavored milk, 10.20% Ghee & cow ghee and 12.25% curd are the most liked Baroda dairy`s milk products

The products which is most like by the people is Chas.

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Chart-4
4) Which milk do you currently use? a) Amul Gold----------------------------12.25% b) Amul Shakti--------------------------76.50% c) Amul Slim and Trim----------------02.05% d) Amul cow`s milk--------------------09.20%

Interpretation Above chart shows that 76.50% people uses Amul Shakti, 12.25% uses Amul Gold, 9.20% uses Amul cows milk & 2.05% people uses Amul Slim & Trim.

Most of the people buy Amul Shakti Milk

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Chart-5
5) Reasons for using Baroda Dairys milk products? a) Easily available ------------------61.23% b) Proper fat contain ---------------12.25% c) Family preference----------------20.40% d) Price -------------------------------06.12%

Interpretation The above chart shows the reason for using Baroda dairy`s milk product. The main reason of people is Easy Availability.

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Chart-6
6) Will you buy Baroda Dairys milk product if price increase by a) Rs. 1/- per product Yes ------84.70% b) Rs. 3/- per product Yes ------58.20% c) Rs. 5/- per product Yes ------36.70% No ------15.30% No ------41.80% No ------63.30%

Interpretation In order to measure brand loyalty of consumer in term of price, I had used the above three questions. 36.70% are highly loyal towards Baroda dairy`s milk product, which indicates if Baroda dairy increase the price then also the consumers will buy the milk products.

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Chart-7
7) Baroda dairys milk & milk products as compared to other dairy`s milk products. a) Best --------------16.30% b) Good ------------82.60% c) Not good -------01.10%

Interpretation The above the chart shows that Baroda dairy`s milk products as compare to other dairy`s milk products most of people says good, 16.30% says best and 1.10% people say are not good.

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Chart-8
8) You are currently using Baroda dairy`s milk products. Suppose this brand is not available at one shop will you-

a) Search for the same brand in other shop & buy-----------------------------------68.40% b) Purchase from other dairy`s milk & milk products immediately --------------31.60%

Interpretation The above question measures the brand loyalty towards Baroda dairy`s milk products mostly consumers are loyal towards Baroda dairy`s milk products. Only in case of emergency, consumers to go for another dairy`s milk products otherwise they preferred Baroda dairy`s milk products. The reason for such Brand loyalty is only because of its availability and family preference.

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Chart-9
9) How would you rate your level of overall satisfaction with brand? a) Strongly dissatisfied---------------------------00.00% b) Dissatisfied -------------------------------------03.10% c) Moderated --------------------------------------20.40% d) Satisfied ----------------------------------------67.30% e) Strongly satisfied ------------------------------09.80%

Interpretation Above chart shows that overall satisfaction level of consumers. Most of consumer are satisfied of Baroda dairy`s milk products and 9.80% people are strongly satisfied, 20.40% people moderated & in fact there was no one who was dissatisfied.

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Chart-10
10) In total how long have you been a user or customer of Baroda dairy`s milk products? a) < 1 year--------------------------12.30% b) 1 to 3 years ---------------------23.50% c) 3 to 5 years ---------------------22.40% d) 5 to 10 years --------------------18.30% e) 10 to more years ---------------24.50%

Interpretation The above chart shows that the consumers have been using Baroda dairys milk products for how many years. The most of customers are 10 to more years use the Baroda dairy`s milk products. This also shows the consumers loyalty toward Baroda Dairys Milk Products. NOTE:-% found in all the question from 2 to 10 are out of 98 as two respondent when asked 1 question do u consume Baroda Dairy Milk Product? They said no. 67

FINDINGS & CONCLUTION

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FINDINGS
The major consumer of Baroda City consumes Baroda dairy`s milk products. It is 98% people used Baroda dairy`s milk products. The reason is brought consumers of Baroda dairy`s milk products is Quality i.e. 56.12%

The most consumers Jeera Chas and Butter milk i.e. 33.67% and 34.70% respectively.

The reasons for buying Baroda dairy`s milk products because of it is easily available and family preference. 36.70% of respondents are highly loyal towards Baroda dairy`s milk products. As they would even buy dairy`s milk product even if the price increase by Rs.5 per product.

In Baroda, The Baroda dairy `s milk products as compare to other dairy`s milk products is Good.

The most of consumers are consuming Baroda dairy`s milk products from more than 10 years.

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CONCLUSION
Brand loyalty towards Baroda dairy`s milk products is very good. Brand is good because of long life of Baroda dairy as a major supplier of milk products.

Respondents are satisfied about the easily availability of Baroda Dairys milk products.

Brand loyalty is very good because respondent use it since past many years. Baroda dairy`s milk products users give preference to its Quality and Freshness in buying products.

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RECOMMENDATION & LIMITATION

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Recommendation
Price of milk product is somewhat high, so it should be reduced to attract

new consumers as well as to retain the present consumers.

Baroda Dairy should launch some more milk products to compete with big competitors like Amul, Havemor, and Vadilal etc.

Limitation
Survey limited to Baroda city with 100 samples only. I had prepared questionnaires as the primary mean to collect data and some time it was a hard task to handle with some types of consumers.

Non co-operative nature of respondents.

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BIBLIOGRAPHY
INTERNET www.google.com www.barodadairy.org

BOOKS
Marketing Management, Philip Kotler, Research methodology by Naresh Malhotra

OTHER
Past reports of Baroda Dairy Annual reports of Baroda Dairy

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ANNEXURE

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ANNEXURE
BRAND LOYALTY OF BARODA DAIRY`S MILK PRODUCTS (Gotri, Vasna & Old Padra) Questionnaires 1) Do you consume Baroda dairy`s milk products? a) Yes b) No

2) If yes, what reason you like of Baroda dairy`s milk products? a) Quality b) Price c) Brand image d) Quantity / size e) Other reason

3) Which milk products of Baroda dairy do you like most? a) Chas b) Flavors milk c) Ghee & cow ghee d) Curd

4) Which milk do you currently use? a) Amul Gold b) Amul Shakti c) Amul Slim and Trim d) Amul cow`s milk 5) Reasons for using Baroda Dairys milk products? a) Easily available b) Proper fat contain c) Family preference d) Price

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6) Will you buy Baroda Dairys milk product if price increase by a) Rs. 1/- per product Yes b) Rs. 3/- per product Yes c) Rs. 5/- per product Yes No No No

7) Baroda dairys milk & milk products as compared to other dairy`s milk products. a) Best b) Good c) Not good

8) You are currently using Baroda dairy`s milk products. Suppose this brand is not available at one shop will youa) Search for the same brand in other shop & buy b) Purchase from other dairy`s milk & milk products immediately

9) How would you rate your level of overall satisfaction with brand? a) Strongly dissatisfied b) Dissatisfied c) Moderated d) Satisfied e) Strongly satisfied

10) In total how long have you been a user or customer of Baroda dairy`s milk products? a) < 1 year b) 1 to 3 years c) 3 to 5 years d) 5 to 10 years e) 10 to more years

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Personal Information
Name:-_____________________________________

Age:-_______________________________________

Occupation:-_________________________________

Income p.m:-_________________________________

Family member:-______________________________

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