THE UTTERLY BUTTERLY TEAM

AAKASH BAGARIA
HARSHRAJ CHAVAN
HARSHVARDHAN RAO
SAMER KP
SHREYA SRIVASTAVA
VAIBHAV KATYAL
 ANAND MILK UNION LIMITED
FORMED 1946

• This Brand is jointly owned by 36 Lakhs milk producers in Gujarat.

• Amul spurred ”India's White Revolution” which made the country the
world's largest producer of milk and milk products.

• Amul has Worked for rural development not Just profit making.

• Market Leader in various segments of milk products in India.

MARKET SHARE OF AMUL PRODUCTS
IN VARIOUS SEGMENT
MILK POWDER
CHEESE
8%
13%
ICE CREAM
CHOCOLATE 6%
1%

BUTTER
18%

MILK
28%

DAIRY WHITNERS
10%

CURD
16%
CAMEL MILK: PROSPECT FOR AMUL
Early Bird in the growing market
Extending the reach to those who are lactose
intolerant & diabetic
Taking on Small Players – Aadvik Foods
Catering to health & fitness conscious people
Successful product in Australia, Middle-East
and European countries
Union demand of launching camel milk from
Kutch.
 FOUR P’S
PRODUCT PRICE
Dairy products Strategy of competive and low cost pricing
Fresh & Hygienic products like cheese have prices slightly lower
Quality Packaging than competitors
Sizes & volumes Fresh milk at slight higher prices due to high
transportation cost
Discounts in Amul parlours

PLACE
Massive distribution network
3600 Wholesale distributors
500000 retail spreads across India
Kirana stores
6000 Amul parlours
PROMOTION
Hoardings
Newspaper and TV advertisements
Amul branded awards to school children
Sponsoring TV shows & popular sports events
SWOT
Analysis
Strength
Weakness
Opportunities
Threat
Strengths
High brand equity
Strong network of over 3 million milk
producers
Unique selling proposition

Weakness
Difficulty in adapting to the taste of camel
milk
Less awareness about the product
High processing cost
 Opportunities
8

Alternative milk market is expected to

increase by 20.7% by 2024
6 Global market has reached a point of 5.64
billion and is expected to grow more.
growing inclination of consumers towards
4
low-fat milk

Threats:
2

0
1983 2012 2019

Decreasing camel population.

New regulations introduced might
slowdown it's production.
Product life
cycle
A product life cycle is the amount of
time a product goes from being
introduced into the market until it's
taken off the shelves.
SEGMENTATION
TARGETING
POSTIONING
 SEGEMENTATION
Divide market into distinct groups of customers -
also known as segments

TARGETING
Select most attractive segments to focus
your marketing and promotions on.

POSTIONING
Determine how to position your product for
each targeted segment
STP Analysis for Amul Camel Milk
Segmentation - Kids, Seniors, Youth, Health &
Calorie Conscious, Diabetic Patients, Hospitals,
Lactose Intolerant

Targeting - Seniors (Direct and Indirect), Diabetic

Patients, Hospitals, Celebritiy Endorsement

Positioning - Trial packs, Informative Ads,

Hospital & Gym Partnerships, Retail Outlets
STP ANALYSIS FOR AMUL CAMEL MILK
Segmentation Targeting Positioning
Geographic (urban, Seniors (Direct and Pdt (Trial packs,
metro cities) Indirect), Diabetic Samples), Promo
Demographic (Kids, Patients, Hospitals, (Informative Ads)
Seniors, Youth) Celebritiy Place(Retail
Behavioral(Diabetic Endorsement Outlets, Hospital &
Patients, Lactose Gym Partnerships)
Intolerant) Price (penetration,
Psychographic(Health & competitive)
Calorie Conscious,
Hospitals)
MARKET PENETRATION
• Promoting existing products in its existing markets.
• Increasing the number of retail stores
• Complete product stocks and strategically
placed stores in high traffic
• Dedicated shelves in retail stores
• Customised packaging to meet the needs of diverse
consumers
• Aggressive marketing
MARKET
DEVELOPMENT
Existing products in new markets
Increasing the number of stores in rural areas to
serve rural consumers.
Amul Taaza
Packaging sizes to match the needs of regional
consumers rather than serving standard
packaging sizes.
PRODUCT
DEVELOPMENT
New products in its existing markets
Sugar-free ice-cream and other desserts
for diabetic patients
Amul Cool for younger segment of the
market.
New ice-cream flavors are also launched
regularly.
The company also has introduced various
Chocolate, butter-milk, lassi, and other
product variants.
DIVERSIFICATION
•Expanding into new dairy products such as
healthy ice cream, cooking chocolate, and lassi

•Energy drink Stamina and working on launching

a pizza parlor chain

•All of these diversification factors are

possible due to the strong brand name and
excellent financial status of the company
ANAND MILK UNION LIMITED
HIGHLIGHTS
01 Annual turnover till April 2020 crossed
Rs. 52,000 Cr.

02 Procurement, processing, packaging &

distribution costs only upto 20% of total
cost

03 The Cooperative model drastically

reduces the cost per liter and cost per
packet of milk

04 By developing the processing line Amul

managed to expand its product to 50
more products in the last decade
 Amul Ice-cream
This product has a high market share
and holds a good potential to grow in
the future as well.
This product hold high market share
but belongs to a not so fast-growing
industry.
Amul Butter
Amul Camel Milk
Considering the increasing interest
and demand for healthy products
and beverages, the healthy Camel
milk from Amul poses a great
potential to grow in the near future.
Due to the heavy competition and
limited innovation that this product
categories faces, it’s becoming
difficult for Amul to gain market share
and make it a viable revenue
generator.
Amul Cookies
 PORTER’S FIVE FORCES
Low Threat of New Entrants:

Regulatory framework discourages new entrants

If psychological switching cost for consumers is high and

existing brands have established a loyal customer base.

If access to the distribution channels is restricted.

High New Entrants Threat
Existing regulations support the entry of new players.

Consumers can easily switch the brands due to weak/no brand loyalty.

Building a distribution network is easy for new players.

Retaliation from the existing market players is not a discouraging factor

Tackling the Threat of New
Entrants
Develop brand loyalty and raise
psychological switching costs
Investment in research
development activities
Threat of Substitute Products
or services
Psychological switching costs
Competitive products
and

How Amul can reduce the threats?

Better than the available substitutes (strong product differentiation)

Better experience and high value for money.

It can raise switching costs by working on loyalty

 RIVALRY AMONG EXISTING FIRMS
There are only a limited number of players in the market
The industry has a lot of untapped potential
There is a clear market leader
The exit barriers are low, which means firms can easily leave the industry without
incurring huge losses

HOW TO TACKLE RIVALRY

Amul Dairy Camel Milk Launch in India should focus on the implicit needs and

expectations of its customers to strengthen the differentiation basis

 HIGH BARGAINING POWER OF SUPPLIERS
HIGH CONCENTRATION OF SUPPLIERS

Cost to switch from one supplier to other is high for buyers (for

example, due to contractual relationships)

When suppliers are few and demand for their offered product is

high

Suppliers’ forward integration

LOW BARGAINING POWER OF SUPPLIERS
Suppliers are not concentrated

Switching costs are low

Substitute products are available

Amul Dairy Camel Milk Launch in India is highly price sensitive and has

adequate market knowledge

There is no threat of forward integration by suppliers

Decreasing the dependency on one or a few suppliers. It will increase its

price sensitivity.

Long-term contractual relationships with suppliers from different

Find the alternate ways of producing the product

 BARGAINING POWER OF BUYERS:

A more concentrated customer base

Buyer-seller ratio

Low switching costs

backward integration

Consumers’ price sensitivity, high market knowledge and purchasing

standardized products

By increasing and diversifying their customer base

Introducing new products, targeting new market segments and

product diversification

Marketing and promotional strategies, building loyalty

 CAMELING THROUGH THE PANDEMIC

Price advantage
over the Newcomer’s
competitors advantage

Increased
concern about
Rise in the
health in light of
target
Covid-19 Superior
market
brand
recognition
RIGHT TIME TO Tapping
the market
RE-LAUNCH