Agenda

Sr NO. 1 2 3 4 5 6 7 8 9 10 11 Methodology Assumptions/ Limitations of Study Consumer Behaviour

Market Share Positioning Advertising Retailer Study Customer-Based Brand Equity of Amul
Associative Network Memory Model Consumer Decision Making Process Customer-Based Brand
Equity Pyramid Topic 3 4 5 7 8 15 20 23 24 25 26 Slide No.
Methodology

Brain storming Research Analysis Results

Questionnaire for: Primary: •Retailer •User •Non-User Secondary: •Internet •Questionnaire survey

Based on: •Qualitative •Quantitative

Delivered on Power point Presentation

Assumptions/ Limitations of Study

• All results purely based on respondent responses (Survey) • Low sample size:

– 1 Distributor – 3 Retailer – 2 Consumers of Chocolate

• 1 consumer for Amul Chocolate • 1 non- consumer for Amul Chocolate

Consumer Behavior

• The global chocolate market is worth $75 billion annually Chocolate market is estimated to be
around 1.5billion (ACNielsen) growing at 18-20% per annum The per capita consumption of
chocolate in India is 300 gram compared with 1900gram in developed markets such as the United
Kingdom Over 70% of the consumption takes place in the urban markets Chocolate sales have risen
by 15% in 2007 to reach 36000 tonnes according to one estimate. Another estimate puts the figure
at 25000 tonnes •

Consumer Behavior

• • • The traditional Indian sweet is getting substituted by chocolates. Instead of buying sweets on
Raksha Bandhan. Shops opening up in Malls leading to Impulse Sales Chocolates which used to be
unaffordable, is now considered midpriced. Convenience over Mithai in terms of packaging and shelf
life Designer chocolates have become status symbols. They are linked to one’s aspiration and
lifestyle and malls are perfect points of sale as people usually are happy and gay at these
destinations. Ex: Chocolatiers In past, consumers had negligible inclination for dark chocolates. But
change is being seen.

Market Share

Others Including Amul – 6%

Cadbury – 66%

Period: January-November 2007

Imported - 8%

Nestle – 20%
Cadbury India

• Use of emotional appeals in advertising • Customer surveys as a means to align the advertisements
with evolving consideration sets of customers. • Packaging as a tool to communicate quality. • in
1994, Cadbury changed communication campaigns were targeted at adults, to expand the chocolate
market and increase sales.
Positioning of cadbury chocolates

• Cadbury Diary Milk-Kuch Mita Ho Jaye(As a daily sweet) • 5 Star-From 'deliciously rich, you'd hate
to share it' in the 70's, to the 'lingering taste of togetherness' & 'Soft and Chewy 5 Star' in the late
80's • Perk-Anytime Anywhere(Anytime Snack) • Celebration-Riste Pakne Do(For special occasions) •
Temptations-For Chocoholics • Cadbury Bytes-To replace evening snacks
NESTLE

• Nestle india is a subsidiary of nestle S.A. a leading swiss giant. • The company is focused on
growing its market share through renovation and innovation of its existing brands in India. • It has
access to nestle S.A.’s investments(global expenditure was Rs.6500 crores in 2007) in R&D and
advanced technology.
Positionoing of nestle chocolates

• Brands: Kit Kat-Have a break,have a kitkat (Anytime snack) • Munch-Crunchy • MilkyBar- For Kids •
Bar One- Time For Action (Targeted at youth) • Milk Chocolate- For Kids
HAVE A BREAK, HAVE A KITKAT

GIVE ME THE POWER

CAN’T STOP MUNCHING

Positioning for Amul

• Tagline: “A gift for someone you love” • Express your emotions through Amul Chocolates. •
Showcasing the Indianness of the brand by the means of packaging. • Trying to position itself as the
“ultimate gift”.
Outdoor Advertising
Packaging

Print Ads

Emotions
TV Advertising
Low range products

Company Cadbury Nestle Category Bars (Dairymilk,5 star,perk) MRP Rs 5 , Rs 10 Weight (GMS)
11.5,14,15; 22,32,30 16.5,16,18,12. 5,12;34,25,25, 36 18,26,35,30

Bars Rs5 , (kitkat,munch,milkybar,Rs10 chocolate,barone Bindaaz wafer chocolate ,milk chocolate

,almond bar,dark chocolate , fundoo Rs 5, Rs10, Rs 12

Amul
Higher range products

Company Cadbury Category MRP Weight (GMS) Fruit n nut,crackle,roasted Rs25,30,4 45,40,132,
almond ,dairy milk ,crunchy, 8,20,45,75 44,42,44 temptation,bournville Snickers,toblerone,ferro
roser,mars,lindt Rs15,20,3 0,45,70,10 0,150,240, 480

Imported

Amul

Fruit n nut ,milk Rs15,16,5 35,30 chocolate ,sugar free, 0,100,140 rejoice ,elegant & corporate gift
packs ,tins,choco zoo

Retailer study

Company Policies – On Ground Feed Back Questionairre – Zero credit flexibility from dealers.
Payment on dispatch. – No return of unsold goods. ( Rule solely adopted by Amul) – Negligible
variants in comparison to competing brands. – Restricted usage, user types. (Ex. Cadbury is trying
hard to position itself to replace the traditional Indian Mithai, being its substitute on Diwali and
Raksha Bandhan) – Neither push nor pull marketing. Zero Incentives from dealers to attract retailers
(Ek pe ek muft offer), rigid margins, minimalist advertising (Print/TV/Radio) Retailers visited 1.
Deepak Sweets 2. Deepak Super Mart * 3. Reliance Fresh

* Had Amul

Retailer Study

Common Brands Stocked (In order of visibility and stocking quantity) 1. 2. 3. 4. 5. Cadbury Imported
Brands (Ferro Roscher, Tobelerone, Bounty etc) Nestle Candies & Gums (ex Polo, Happy Dent etc)
Amul ( Rarely accommodated)
Retailer study

Market Restrictions Surprisingly, not a price sensitive market. Highly emotional buy ( Mostly for
gifts/personal consumption) Strong competition from imported chocolate brands ( Retailers get
higher margins as pricing is flexible) Cadbury with extensive marketing/ communication has flooded
the market.(It is now a SYNONYM for chocolate in most areas – Power Brand Characteristic)

Customer-Based Brand Equity of Amul

•••••

Brand Assets Indianness Trust Simplicity Togetherness Healthy (Milk)

Brand Liabilities • Quality • Lack of Taste • Smoothness • Availability • Brand Appeal

Associative Network Memory Model

Indianness Taste of India Amul Chocolate Old & Childhood Gujraat Milk

Cows Amul Girl

Highly Associated
Consumer Decision Making Process- Evaluation of

alternatives

All Brands (Chocolate)

Known Brands Cadbury, Nestle, Lindt, Ferrero Rocher, Snickers, Mars

Unknown Brands Hershey’s, Toblerone, Twings, Skittles,

Evoked Acceptable Cadbury, Nestle

Inept Unacceptable Éclairs, Milkybar (Nestle)

Inert Bar-one (Nestle) Overlooked Amul

Purchased

Not- Purshased

Cadbury

Nestle
Customer-Based Brand Equity Pyramid

4. Relationships What about you and me?

Resonance

3. Response

Judgments Feelings

What about you?

2. Meaning

Performance

Imagery

What are you?

Salience

1. Identity Who are you?

Brand Salience

Brand Awareness

– Brand Recognition:

• Consumer can recognize the brand

– Brand Recall

• Amul is not in “Top Of Mind” (TOM) as well as not in spontaneous list

Brand Image

– – – – – Indianness Color “Red” Amul Girl Milk For Old People

Brand Imagery

Categories of Intangibles

User Profiles Purchase Usage situations Personality History, Heritage Experiences Children, Old Age
When no other option are available As a alternative of sweets Taste of India (Indianness), Red, Milky
Anand, Amul Girl Yes
Brand Performance

Amul Chocolate scored less on following attribute as compare to its competitors: (on priority basis)

– Taste – Variety – Packaging – Availability – Brand Appeal

Brand Judgment

Categories of Intangibles

Quality Credibility Consideration Superiority

Good Trustworthy, Indianness Low No Differential Advantage

Feelings

Feelings

Indianness Simple Honest & trustworthy Togetherness Warmth Happiness Love Celebration Fun
Indulgent Excitement Pride Special

Ratings

High High High High High Low Low Low Low Low Low Low Low
Resonance

Categories of Intangibles

Behavioral loyalty Attitudinal attachment Sense of community Active engagement

No loyalty towards the brand No emotional attachment Scored less Is not seen in their behavior
Thank You!!!