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Amul Project Report 1
Amul Project Report 1
The project presented here gives a detailed analysis of Retailer penetration of AMUL pouch
milk in Kanpur market and the content being provided in terms of services to the customers.
Milk is a most perishable item and demand of that product is increase day by day so company
I came to know about how to penetrate the product in the market threw the distribution
channels. in this process I had identify that what is the actual demand of the product and
what is the actual supply of that product in the market and what will be the effect if
1
OBJECTIVES:
Kanpur.
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LIMITATIONS
Limited time available for interviewing the respondents. As a result of this it was not
When I interviewed children, old-women and old man they are not able give answers
As summer training is going under summer season so sometimes people are less
retailer about the ADA and company problem for which I have to make them
understand.
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If the respondents answer does not falls between amongst the options given then it
In the year 1946 the first milk union was established. This union was started with 250
liters of milk per day. In the year 1955 AMUL was established. In the year 1946 the union
The brand name Amul means “AMULYA”. This word derived form the Sanskrit
word “AMULYA” which means “PRICELESS”. A quality control expert in Anand had
suggested the brand name “AMUL”. Amul products have been in use in millions of homes
since 1946. Amul Butter, Amul Milk Powder, Amul Ghee, Amulspray, Amul Cheese, Amul
Chocolates, Amul Shrikhand, Amul Ice cream, Nutramul, Amul Milk and Amulya have made
Amul a leading food brand in India. (The total sale is Rs. 6 billion in 2005). Today Amul is a
symbol of many things like of the high-quality products sold at reasonable prices, of the
marketing savvy of a farmers' organization. And have a proven model for dairy development
In the early 40’s, the main sources of earning for the farmers of Kaira district were
farming and selling of milk. That time there was high demand for milk in Bombay. The main
supplier of the milk was Polson dairy limited, which was a privately owned company and
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held monopoly over the supply of milk at Bombay from the Kaira district. This system leads
to exploitation of poor and illiterates’ farmers by the private traders. The traders used to
beside the prices of milk and the farmers were forced to accept it without uttering a single
word.
However, when the exploitation became intolerable, the farmers were frustrated. They
collectively appealed to Sardar Vallabhbhai Patel, who was a leading activist in the
freedom movement. Sardar Patel advised the farmers to sell the milk on their own by
establishing a co-operative union, Instead of supplying milk to private traders. Sardar Patel
sent the farmers to Shri Morarji Desai in order to gain his co-operation and help. Shri Desai
held a meeting at Samarkha village near Anand, on 4th January 1946. He advised the
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These village societies would collect the milk themselves and would decide the prices
at which they can sell the milk. The district union was also form to collect the milk from such
village co-operative societies and to sell them. It was also resolved that the Government
However, the govt. did not seem to help farmers by any means. It gave the negative
response by turning down the demand for the milk. To respond to this action of govt., the
farmers of Kaira district went on a milk strike. For 15 whole days not a single drop of milk
was sold to the traders. As a result the Bombay milk scheme was severely affected. The milk
commissioner of Bombay then visited Anand to assess the situation. Having seemed the
Thus their cooperative unions were forced at the village and district level to collect
and sell milk on a cooperative basis, without the intervention of Government. Mr. Verghese
Kurien showed main interest in establishing union who was supported by Shri
Tribhuvandas Patel who lead the farmers in forming the Co-operative unions at the village
level. The Kaira district milk producers union was thus established in ANAND and was
registered formally on 14th December 1946. Since farmers sold all the milk in Anand through
a co-operative union, it was commonly resolved to sell the milk under the brand name
AMUL.
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At
the initial
stage only
250 liters
of milk was
collected
everyday. But with the growing awareness of the benefits of the cooperativeness, the
collection of milk increased. Today Amul collect 11 lakhs liters of milk everyday. Since
milk was a perishable commodity it becomes difficult to preserve milk flora longer period.
Besides when the milk was to be collected from the far places, there was a fear of spoiling of
milk. To overcome this problem the union thought out to develop the chilling unit at various
junctions, which would collect the milk and could chill it, so as to preserve it for a longer
period. Thus, today Amul has more than 150 chilling centers in various villages. Milk is
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With the financial help from UNICEF, assistance from the govt. of New Zealand
under the Colombo plan, of Rs. 50 millions for factory to manufacture milk powder and
butter was planned. Dr.Rajendra Prasad, the president of India laid the foundation on
November 15, 1954. Shri Pandit Jawaharlal Nehru, the prime minister of India declared it
The system succeeded mainly because it provides an assured market at remunerative prices
for producers' milk besides acting as a channel to market the production enhancement
package. What's more, it does not disturb the agro-system of the farmers. It also enables the
consumer an access to high quality milk and milk products. Contrary to the traditional
system, when the profit of the business was cornered by the middlemen, the system ensured
that the profit goes to the participants for their socio-economic upliftment and common good.
Looking back on the path traversed by Amul, the following features make it a pattern and
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Amul(G.C.M.M.F.) has been able to:
• Produce an appropriate blend of the policy makers farmers board of management and
• Bring at the command of the rural milk producers the best of the technology and
• Provide a support system to the milk producers without disturbing their agro-
economic systems,
• Plough back the profits, by prudent use of men, material and machines, in the rural
sector for the common good and betterment of the member producers and
• Even though, growing with time and on scale, it has remained with the
The Union looks after policy formulation, processing and marketing of milk, provision of
technical inputs to enhance milk yield of animals, the artificial insemination service,
veterinary care, better feeds and the like - all through the village societies. Basically the union
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and cooperation of people brought Amul into fame i.e. AMUL (ANAND MILK UNION
PLANTS
First plant is at ANAND, which engaged in the manufacturing of milk, butter, ghee, milk
Today, 13 dairies are producing different products under the brand name Amul. Today Amul
dairy is no. 1 dairy in Asia and no. 2 in the world, which is matter of proud for Gujarat and
whole India.
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COMPANY PROFILE
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
The seeds of our Gujarat Co-operative milk marketing federation were sown
in November 1973 with the simple intention of ensuring a fair return to tile
producers. The intention was to receive all the milk offered by them.
The intention was to help member unions develop adequate production and
processing facilities. The intention was to process all the milk received.
The intention was to develop a product -mix that would promote sustained
growth. The intention was to offer consumers quality products of fair prices
create and expend a milk grid to maximize the availability of liquid milk.
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The intention was that milk Co-operatives would play an ever increasing role
producers.
The intention was to raise producer awareness that they could mange their
own affairs through Co-operatives that they controlled. The intention was to
create a structure owned by farmers that would, with time, be the farmer’s
best friend.
The intention was to establish a marketing and distribution system that would
And the intention was that the highest levels of consumer confidence would
Saga(In the chocolate unit camp co chocolate is sold under Amul brand name)
Company there are 17-lakh farmers of Gujarat are shareholders of Amul. This
company collect the milk from there share holders about 30-lakh Liters per
day in the pure from at 13- places in the Gujarat. This company has three tier
of system.
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Village Co-operative
Member union.
In the sense of three tier of system company collects the milk from village
union in Gujarat for the separation in the form of Liquid and Gel.
After the processing of the milk this member union send the products to the
federation division for marketing behind the brand G.C.M.M.F. Ltd. and in
the field products are sold under the brand name of Amul and Sagar.
COMPANY DREAM
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TQM POLICY
In 1994 federation had embarked on the TQM(Total Quality Management) .In 1999 it
More than 25000 Kaizen’s (Small improvement in work areas) where made by the
conducted across the member dairies to achieved total quality in the production process.
More than 225 Amul Quality circles have been created though the length and
breadth of the country. These efforts are the secrets of Amul top quality product.
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VALUE OF THE GCMMF LTD. (AMUL)
• Customer orientation
• Co-operation
• Quality
• Belongingness
• Commitment to producers
• Excellence
• Leadership
• Employees Satisfaction
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OPERATION FLOOD
The transition of the Indian milk industry from a situation of net import to
that of surplus has been led by the efforts of National Dairy Development
dairy sector and created a strong network for procurement processing and
Per capita availability of milk has increased from 132 gm per day in 1950 to
The main thrust of Operation Flood was to organize dairy co-operative in the
milk shed areas of the village, and to link them to the four Metro cities,
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which are the main markets for milk. The efforts undertaken by NDDB have
strong marketing network, but have also led to the emergence of dairying as
shorter calving intervals, etc through the use of modern breeding techniques.
life of raw milk and enabled minimization of wastage due to spoilage of milk.
Operation Flood has been one of the world’s largest dairy developments
programmed and looking at the success achieved in India by adopting the co-
operative route, a few other countries have also replicated the model of
What does the Indian Dairy Industry has to offer to Foreign Investors? India
is a land of opportunity for investors looking for new and expanding markets.
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Dairy food processing holds immense potential for high returns. Growth
prospects in the dairy food sector are termed healthy, according to various
• supporting manpower
Indonesia, Korea, Thailand, Hong Kong and other countries in the region.
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BOARD MEMBERS
• Amul Butter
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• Amul Ghee
• Amulspray
• Amul Cheese
• Amul Chocolates
• Amul Shrikhand
• Nutramul
• Amul Milk
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AMUL(G.C.M.M.F.) POUCH MILK
MILK
CRATE 0 0
(12 LIT’s)
PRICE(M.R.P)
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Present Amul(G.C.M.M.F.) Pouch Milk & Price
Constituents of milk
Substances associated
True Fats
with fat
Vitamins
Lecithine Cholesterol Carotene
A,D,K&E
PASTEURIZATION:
It is the process of heating milk to 70 degree Celsius for 15 second and then cooling
down. It remove all the harmful bacteria from milk, which is not done in loose milk.
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Types of Fresh Milk:
AMUL GOLD
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AMUL TAZA
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Energy 26 Kcal
COMPANY STRUCTURE
returns to the farmers and also serve the interest of consumers by providing
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Dairy plant: 30
Manufacturing plant: 13
Sales office: 47
Depot (warehousing): 48
APO’s: 3000
WD’s 3000
ADA 2200
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ORGANISATION
(MARKETING DIVISION)
MANAGING DIRECTOR
GENERAL MANAGER
ASSISTANT GENERAL
MANAGER
ASST.GENERAL
MANAGER
(ZONAL HEAD)
DEPOT IN CHARGE
PROBLEM ENVIRONMENT
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A Critical Analysis, the problem environment was as follows :
Sales Maximization: Amul is not getting the sale which it should get.
DISTRIBUTION NETWORK
GCMMF Ltd. (Amul) has very strong and wide distribution network
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The federation operate and efficient distribution infrastructure
and progress.
HEAD OFFICE
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ZONAL OFFICE
DEPOT
DISTRIBUTORS
RETAILORS
ENDUSER
Head Office:-
P.O. Box- 10
Anand -388001
DOMESTIC MARKETING :
For domestic marketing the federation has divided the whole country into six
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DELHI ZONE
MUMBAI ZONE
CHENNAI ZONE
CALCUTTA ZONE
GUHATI
SALES OFFICES:
Asansole Jaipur
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Agartala Jammu
Bannerol Jorhat
Bhayandra Kozhikode
Cochin Kanpur
Coimbatore Kundli
Cuttak Nagpur
Mohali Patna
Ghaziabad Pune
Gorakhpur Parwanoo
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Hubli Raipur
Hyderabad Ranchi
Indor Sambalpur
Imphal Shillong
Vishakhapatanam Varanasi
OVERSEAS OFFICE:
Dubai, U.A.E.
MOTHER DAIRY
Village-ghat
MARKETING RESEARCH
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Marketing research plays an important role in the process of marketing. Starting
with market component of the total marketing talks. It helps the firm to acquire a better
DEFINITION
- Coundiff Still.
“Marketing research is a systematic problem analysis, model building and fact finding for the
purpose of important decision making and control in the marketing of goods and services.
- Phillip Kotler.
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Defining the Marketing Problem to be tackled and identifying the market research problem
This includes an effective job in planning and designing a research project that will provide
the needed information. It also includes the establishment of a general framework of major
marketing elements such as the industry elements, competitive elements, marketing elements
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Identifying the problem involves getting acquainted with the company, its business, its
products and market environment, advertising by means of library consultation and extensive
In general the producer, the manufacturer, the wholesaler and the retailer try to find out four
things namely:-
What to sell
When to sell
Where to sell
How to sell
Primary Data:- Primary data are those which are gathered specially
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interviews. Primary data sources include company salesman,
been collected originally for some other purpose. Source are internal
If it is found that the secondary data cannot be of much use, collection of primary data
become necessary. Three widely used methods of gathering primary data are
A) Survey
B) Observation
C) Experimentation
A. SURVEY METHOD :-
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In this method, information gathered directly from individual respondents, either through
B. OBSERVATION METHOD :-
The research data are gathered through observing and recording their actions in a marketing
C. EXPERIMENTAL METHOD :-
This method involves carrying out a small scale trial solution to a problem, while at the same
time, attempting to control all factors relevant to the problem. The main assumption here is
that the test conditions are essentially the same as those that will be encountered later when
conclusions derived from the experiment are applied to a broader marketing area.
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In this technique the same group of respondents is contacted for more then one occasion; and
the information obtained to find out if there has been any in their taste demand or they want
a) Preparation of questionnaire
b) Presetting of questionnaire
conducted.
f) A table of contents along with charts and diagrams used in the reports
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g) The main report containing the findings
instructions.)
RESEARCH DESIGN
1. RESEARCH PROBLEM
MILK.
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2. RESEARCH OBJECTIVES & RELATED SUB OBJECTIVES
To know which area is not responding the Amul sale up to the mark.
to purchase milk.
3. INFORMATION REQUIREMENT
First, I had to know about all the competitors present in the Amul milk
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Before going for the survey I had to know the comparative packs and
Since milk is a product that basic need of every people and family. It is
most perishable item in FMCG .So know about the basic information
regarding to milk. Hence I had to trace the market and segment it,
which mainly deals with various type of retailer which may be big or
small.
various types of milk available in the market, their calorific value and
to classify marketing research on the basis of the fundamental objectives of the research.
Consideration of the different types, their applicability, their strengths, and their weakness
will help the student to select the type best suited to a specific problem.
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EXPLORATORY RESEARCH
Marketing researches devote a significant portion of their work on exploratory studies when
CONCLUSIVE RESEARCH
Conclusive studies attempts to determine the frequency with which something occurs or the
relationship between two phenomenons. Usually conclusive studies assume certain under
questions/hypothesis.
If one wants to know what type of dentifrice people use, what they think of, television
commercials, or why they buy particular brands of cars, the natural procedure is to ask them.
Thus, the questionnaire method has come to be the more widely used of the two data
collection method. Many consumers are now familiar with the telephone caller who greets
them with “We are making a survey”, and then proceeds to ask a series of questions. Some
interviews are conducted in person, others by telephone, and others by mail. Each of these
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has its special advantages and disadvantages and limitations. The questionnaire method in
particular variations will be more meaningful if these characteristics of the general methods
A questionnaire consists of list of questions to be asked from the respondents and the space
provided to record the answer / responses. Questionnaire can be used for the personal
interviews, focus groups, mails and telephonic interviews. The choice among these
alternatives is largely determined by the type of information to be obtained and by the type of
The common factor in all varieties of the questionnaire method is this reliance on verbal
Dicthomus
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MULTIPLE CHOICE QUESTIONS:
Questions of this type offer the respondents an alternative to choose the right answer among
others. It is faster, time saving and less biased. It also simplifies the tabulating process.
In this type respondents are free to answer in their own words and express the ideas they
think are relevant, such questions are good as first questions or opening questions. They
DICTHOMUS:
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These are the questions which are Boolean in nature. These answers are straightforward and
respondents have to answer them in a straight way. That means the answer can only be either
‘Yes” or ‘No’.
Sample design is a definite plan of obtaining some items from the whole population. The
sample design used in this project is two state sampling i.e. Cluster and convenience. In the
probability sampling methods, each items in the sample is chosen one at a time from a
complete list of universe elements. In marketing research practice, it will sometimes be more
expedient to select clusters or groups of universe elements, rather than to choose sample
items individually.
Sampling methods in which universe elements are chosen in groups ---- rather than
individually -- are called cluster-sampling methods. They are widely used in the sampling of
human populations. When no complete universe listing exists, a type of sampling is called
area sampling may be the only practically feasible form of probability sampling.
SAMPLING METHODS
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Sample design is a definite plan of obtaining some items from the whole population. The
sample design used in this project is whole Kanpur (U.P) sampling i.e. cluster sampling and
convenience sampling. The whole city was divided into some geographical areas like
• East Kanpur.
• West Kanpur
• North Kanpur.
• South Kanpur
and I have chosen Kidwai Nagar and Keshav Nagar . The total sample size was 100.
CLUSTER SAMPLING
Here the whole area is divided into some geographical area and a definite number of retailers
were to be surveyed.
CONVINIENCE SAMPLING
This type of sampling is chosen purely on the basis of convenience and according to
convenience. I visited that are which is situated in main market and there I got easily
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SAMPLING
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7. Timing of survey : 6:00 am to 10:00 am
Chocolates.
information.
1. East Kanpur.
2. West Kanpur.
3. South Kanpur.
4. North Kanpur.
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• I visited as many respondents as I can and asked them their real likings and disliking
about any milk and also got an idea, what’s the retailer wants to the company and
• People were not willing to answer, when they were contacted between 11:00 am to
8:00 pm, the time when most of the people have not open the shop in early morning.
1. Kedranchal Colony
2. Yashoda Nagar
3. Keshav Nagar
4. Barra-6
5. Gulmohar Vihar
6. Dabuali
7. Basant Bihar
8. Krishna Nagar
9. Shyam Nagar
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11. Govind Nagar
13. Babupurwa
16. Nobasta.
17. Bekanganj
18. Koylanagar
19. Bhavaninagar
20. P-road
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Aman Store.
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GRAPHICAL ANALYSIS
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RUPEES
INFRENCE : -
It was found that 45% retailers are selling (0-1,000) Rs. Milk 30% (1,000-2,000) Rs. 20%
(2,000-3,000) Rs. and 5% are selling more than 3,000 Rs. milk per day.
INFRENCE :-
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It was found that 40% retailers are selling only Amul milk , 15% only Parag ,3% only
verifresh and 42% are selling more than one brand of milk.
Those retailers who were not selling pouch milk when we asked that you are
INFRENCE :-
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It was found that 64% retailers are ready to sell Amul milk and 36% are not ready to sell
Amul milk.
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Customer opinion about Amul Milk?
INFERENCE :-
It was found that customer opinion for Amul milk is good 38%, 54% very
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Which brand provides best distribution service in milk?
INFRENCE:-
It was found that 40% retailer are satisfy with the distribution of Amul milk,48% are satisfy
with the distribution of Parag and 12% are satisfy with the distribution of verifresh .
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Who are best competitor of Amul milk?
INFRENCE :-
It was found that Amul is facing 86% competition from Parag and 14% from Verifresh .
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To whom do you like to deal?
INFRENCE :-
It was found that 65% are like to deal with distributor and rest of them like to deal with
company.
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Which time is preferred for the order
INFRENCE :-
It was found that 32% retailer preferred at afternoon and 68% at morning For the
order.
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Is there any problem regarding the Amul milk?
INFRENCE :-
It was found that 66% retailer had not a problem regarding Amul milk and rest of them
had problem.
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INFRENCE :-
It was found that 42% consumer prefer to availability, 28% quality, 22% price and 8%
taste in
pouch milk.
FINDINGS
During the survey it was found that still there are 83% people uses loose milk.
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Amul is not providing the leakage facilities to the ADA so that retailer is not
More leakage problem is happen in brand of amul milk due to excess capacity of
In its advertisement is not using any brand ambassador which attracts all age
group people.
There is lake of Sales Promotional Activities i.e. wall painting, ice-box, Boards,
etc.
I find the main thing is that “Amul” brand name has very good image in consumer’s
People who have tasted Amul milk are not ready to purchase any other milk brand.
SUGGESTIONS
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In order to maintain and increase the sales in the city of Kanpur, the following
Amul should provide the ice box for those retailer they don’t have fridge but they
have good demand of milk , due to ice box there sale is less
First and foremost Amul should take proper action in order to improve the service of
distribution networks therefore retailer get the supply on time(not before the time and
Though Amul milk 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 rememorize customers. Because Amul has very strong brand
name.
Company should work in the packaging of milk therefore short out the leakage
problem.
Company should provide only 10 lit/crate milk therefore short out the leakage
problem.
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Company should reduce Rs1.00 in 1 Lit packaging therefore consumer will purchase
CONCLUSION
As we know that Amul (G.C.M.M.F.) is very big organization and market leader
in dairy products. It has maximum market share in Milk, Butter and Cheese, which are its
profitable industry we can’t ignore it. With the help of research, company can find out its
week points in milk segment and can increase its market share through rectify mistakes.
People have believed in Amul’s product and they will accept its fresh milk also if effective
Amul must come up with new promotional activities such that people become more
In comparison to Amul milk, the other players such as Parag, and Verifresh provide
a better availability and give competition to the hilt due to local brand .
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People are mostly satisfied with the overall quality of Amul milk, but for the
existence in the local market Amul must use aggressive selling techniques
QUESTIONNAIRE
Questionnaire
Name of Retailer:
………………………………………………………………………
………………………………………………………………………………………………
Address:
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…………………………………………………………………………………………………
……………………………………………………………
ContactNo:
…………………………………………………………………………………
(a) 0-1000Rs.
(c) 2000-3000Rs.
(a) Amul
(b) Parag
(c) Verifresh
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(c) Verifresh (d) Others
5. Those retailers who were not selling pouch milk when we asked that
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(a) Amul (b) Parag (c) Verifresh
THANK YOU
_________________
______________
____________
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BIBLIOGRAPHY
1. www.amul.com
2. www.amuldairy.com
3. www.marketresearch.com
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