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A Study on Consumer Behaviour Towards Amul Milk

Products in Namakkal District
U.Kiruthiga1, M.Santhi, M.Com (CA)., M.phil., MBA., Ph.D.,
Research Scholar, Department of Commerce, Vivekanandha College for Women, Tamilnadu, India1
Assistant Professor, Department of Commerce, Vivekanandha College for Women, Tamilnadu, India2

Abstract: Milk and milk products are essential part of human being, as it gives nutrition to all walks of life. It is a
source of income for all the marginal dairy farmers. Consumer behaviour can be defined as the behaviour that
consumer display in searching for, purchasing, using, evaluating and disposing of products and services that they
expect will satisfy consumer needs and wants. However, as a larger population is migrating from rural areas to cities.
Thus, creates greater demand for dairy products. Tamil Nadu state is the one of the ten largest milk producing states in
India. Consumers’ lifestyles square measure influenced by range of things. Like culture, subculture, values,
demographic factors, status, reference teams, manage and additionally the interior makeup of the patron, which are
emotions, temperament motives of shopping for, perception and learning In the state, major milk contributor is amul, a
Tamil Nadu-based milk producer's union, procures milk, processes it and sells milk and milk products to consumers.
This paper analyses consumer perception over the amul special reference to the Namakkal District of Tamil Nadu
State. The aim of the study is reveal consumer perception over amul milk products based on their age, educational
qualification and monthly income of the consumers’ family. It also depicts level of satisfaction about the product
using chi-square test.

Keywords: Consumer Behaviour, Customer Attitude, Services, Tools of analysis, Amul milk products, Perception.
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I. INTRODUCTION
Businesses stay in business by attracting and retaining customers. They do this by engaging in exchanges of
resources including information, money, goods, services, status, and emotions with consumers, exchanges
that both businesses and customers perceive to be beneficial. When companies ask, who are our customers?
How do we reach them? What should we sell to them? What will motivate them to buy? What makes them
satisfied? They are asking questions that require sophisticated understanding of consumer behaviour. This
unit provides a brief insight into the meaning and perspective of Consumer behaviour as well as
understanding why it is important to study consumers.
The job of marketer is to meet and satisfy target customers needs and wants but ―knowing
customer" is not a simple task. Understanding the buying behavior of the target market for its company
products is the essential task for the marketing dep’t. The job of the marketers is to ―think customer‖ and to
guide the company into developing offers, which are meaningful and attractive to target customers and
creating solutions that deliver satisfaction to the customers, profits to customer and benefits to the
stakeholders.

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1.1 Consumer Behaviour
 It is defined as all psychological, social and physical behavior of potential customers as they
become aware, evaluate, purchase, consume, and tell to others about product and services.
 Buying behavior involves both individual (psychological) and group process.
 Buyer behaviour is reflected from awareness right through post purchase evaluation indicating
satisfaction and non-satisfaction , from purchaser

1.2 Scope of the Study

A big boom has been witnessed in milk Industry in recent times. A large number of new customers
have entered the market and are vying to gain market share in this rapidly improving market. The study
deals with amul products in focus and the various segments that it caters to namakkal district but it help to
other places also. The study then goes on to evaluate and analyze the findings so as to present a clear
picture of trends in the amul milk product sector.

1.3 Statement of the Problem

Having reviewed relevant milk marketing studies, by exploring the research gap in the research
studies so far, the present study has made a broad objective to explore the consumer behaviour towards
amul milk products in Namakkal district, thereby to arrive at consensus on the marketing strategies to be
followed in the dairy market. Hence, the present study focuses mainly on the factors affecting purchase
decisions, factors influencing consumers, motivation or purpose, family and peer group influence with
respect to dairy products. Further, the present study also focuses on the unorganized sector buying of dairy
products which is a threat to today’s amul milk industry.

1.4 Objectives of the Study

 To identify the main influences on customer buying behavior
 To distinguish the factors influencing customer buying behavior for amul milk products in namakkal
district.
 To study the effect of advertisement on the customers to promote the buying amul milk.
 To study the information resources that the customer using before buying amul product.
 To know the awareness about amul milk among the customers.
 To find the opinion of the respondents regarding price, density and maintenance and cost of
computer.

1.5 Hypothesis of the Study

The hypotheses formulated after review of the literature are given below:
H1: Age of the consumers has a strong association with the impulse buying behavior of the consumers.
H2: Income level of consumers has a strong association with the impulse buying behavior of the
consumers.
H3: Gender of consumers has a strong association with the impulse buying behavior of the consumers.
H4: Educational qualification of consumers has a strong association with the impulse buying behavior of
the consumers.

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H5: Nature of job has a strong association with the impulse buying behavior of the consumers.The testing
of the hypotheses is confined to the primary data collected from the area of namakkal district
.
II. RESEARCH METHODOLOGIES
(I) PROFILE OF THE STUDY AREA
This study was conducted Namakkal District.

II) DATA COLLECTION METHOD

Both primary and secondary data are used in this study in order to meet the requirements of the
purpose. Under this study, primary data are collected by using interview schedule cum questionnaire which
consists of both open-ended and closed-ended questions. The secondary data are collected from websites,
magazines, books, pamphlets and periodical surveys.

III) SAMPLING METHOD

Convenience Sampling’ method is used in this study.

IV) SAMPLE SIZE

180 samples are taken for this study.

V) TOOLS OF ANALYSIS
The collected data are analyzed by preparing suitable tables. The information collected with the help
of interview schedule were tabulated and analyzed by using appropriate and advance statistical tools as
follows.
 Percentage Analysis
 Independent Sample t-Test
 One-Way (ANOVA)
 Chi-Square Analysis
 Factor Analysis
 One sample t- Test and
 Friedman Rank Correlation

2.1 Limitations of the Study

 This study is based on the primary data and observations; hence the probability of personal bias
cannot be over rule.
 Limited time is also a limitation due to much of the dealer and target consumers are not to be
surveyed
 The area of study is limited to Namakkal District only; hence the results may not be true for other
geographical areas.
 The study is restricted to the amul milk customers only; so the results cannot be comprehended to
other milk products.
 Interview Schedule cum Questionnaire is the base for collecting the data; lot of time spend to the
researcher.
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III. REVIEW OF LITERATURE
Dr. S.P. Savitha [1], “A study on consumer preference towards „AMUL PRODUCT‟ in
Madurai city”. AMUL (Anand milk produced union limited) formed in 1946, is a dairy co-operative
movement in India. India largest food brand trusted Amul product for its quality and product available at
affordable price. Amul product enjoying No.1 position in dairy industry this stand to further strength its
position. This research is pretaining to find out the present consumer satisfaction of Amul product. Amul
product has a good reputation among the consumers in Madurai. So it can be extended to supply rural area
also.
Mohit Jamwal, Dr. Akhilesh Chandra Pandey [2],“Consumer behaviour towards cooperative
milk societies: A Study on measuring the customer satisfaction of` Aanchal‟ milk (A Member milk
union of UDFC Ltd)”.The study on Consumer behaviour is the study of how individual make decision to
spend their available resources (time, money, effort) on consumption related items. Customer satisfaction
was measured across different attributes of the Ananchal milk and the customer’s preference was checked
across different parameters. This survey on the sale of Ananchalmilk, it can be concluded that to evolve their
production, marketing and pricing strategies effectively.
Akhila D and Dr. C. Boopathi [3],”Consumer behaviour on Aavin milk and dairy products in
Pollachi of Tamil Nadu”. Tamilnadu state is one of the ten largest milk producing states in India. The aim
of the study is reveal consumer perception over Aavin milk products based on their age, education,
qualification and monthly income of the consumer’s family. Many people buy Aavinmilk for its quality than
the price. If the Aavin product is too high than other brands. The aavin take necessary steps to satisfy their
consumers.

IV. AMUL MILK PRODUCTS

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 was known as KAIRA
DISTRICT CO-OPERATIVE MILK PRODUCERS’ UNION. This union selected the brand name AMUL
in 1955.
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 genesis of a vast co-operative , of the triumph of indigenous technology, of the marketing savvy of a
farmers' organization. And have a proven model for dairy development (Generally known as ―ANAND
PATTERN‖). In the early 40’s, the main sources of earning for the farmers of Kaira district was 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 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.

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V. AMUL MILK GROUP
Amul has been able to
 Produce an appropriate blend of the policy makers farmers board of management and the professionals: each
group appreciating its rotes and limitations,
 Bring at the command of the rural milk producers the best of the technology and harness its fruit for
betterment.
 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.
 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 and cooperation of people brought
Amul into fame i.e. AMUL (ANAND MILK UNION LIMITED), a name which suggest THE TASTE OF
INDIA.

VI. FINDINGS, SUGGESTIONS AND CONCLUSION

6.1 FINDING
1. 52.77% of the respondents are male of the remaining 47.72% respondents are female.
2. 40.55% of respondents belonging to the age groups less than 20 year 20% of respondents belongs to
the age groups of 20-30, 13.33% of respondents belongs to the age groups of 30-40 and 47.72%
respondents are the group of 40-50 year
3. 14.44% of the respondents were students 12.77% belongs to professional Category 53.88% belongs
to house wife and 18.88% were business
4. about 26.66% of the respondents belongs to the income level of 15,000 above 22.77% belongs to the
income have of Rs. 10,000 to 15,000,55% belong to Rs. 5,000 to 10000 income levels & only so
20% of the people earned below Rs.5,000
5. 51.66% of the respondents based on the awareness about Amul milk products but 48.33% do not
awareness of about Amul milk products.
6. 17.77% of the consumer are aware of products through friends, 20% of consumers are aware of
products through advertisement, and 34.44% of consumer are aware of products through news paper
7. 28.88% of the respondents have considered Price as a major influencing factor for purchasing Amul
milk products, 13.33% of respondents give importance to durability, 15.55% give importance to
dealer reputation, 18.88% give importance to quantity and only 23.33% manufactures reputation give
preference to Quality
8. 27.22% are Graduates, 28.88% of them are post Graduates, 17.77% are S. S. L. C. & 26.11% are
from others. (Lawyers, C A, Doctors, Home makers etc)

6.2 SUGGESTIONS
1. Based on the major and significant findings of the study, based on the observations made by the
researcher at the time of survey and the discussion with the managers and retailers of different amul milk
brands, the following suggestions were made:

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2. All customers are not one and the same. There are different types of customers and each and every
customer has different needs.
3. And therefore, their buying motives also vary. The study of the consumer behaviour tells us what the
customer wants to buy, where he wants to buy, how much he wants to buy, where he prefers to buy and
how much quantity he prefers to buy. It is important to attract consumers who buy in bulk quantity on
different occasions.
4. Today, amul milk products such as Milk, Butter Milk, Curd and Ghee are essential on the occasions
such as marriages, religious functions and ceremonies etc.

6.3 CONCLUSION
The paper analysed the consumer behaviour of Namakkal residents. Generally, the consumers change their
behaviour frequently on the basis of new trend and fashion. They well know their needs and wants, so
gather information about products and also compare its price, quality, taste and other attributes. If the
consumers are not satisfied they shift to other brands. However the data shows the consumers buy the amul
milk for its quality and taste. It has to be point out that milk consumers prefer taste over than the price.
Many respondents feel the price of amul products is too high than other brands. If the amul take necessary
steps to satisfy their consumers, it creates invariant place in mind of consumers

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