DEPARTMENT OF BUSINESS ADMINISTRATION

TEZPUR UNIVERSITY

A SUMMER INTERNSHIP REPORT SUBMITTED IN PARTIAL FULFILLMENT OF THE

REQUIREMENT FOR AWARDING THE DEGREE IN MASTER OF BUSINESS
ADMINISTRATION, SCHOOL OF MANAGEMENT SCIENCES, TEZPUR UNIVERSITY

Session: 2021-2023
STUDY ON THE MARKET SIZE, MARKET SHARE AND PLACEMENT OF AMUL
FROZEN PRODUCTS

Under the guidance of

Academic Guide Organization Guide

Mridul Dutta Mr. Sushil Kumar Nath
Assistant Professor
Department of Business Administration, GCMMF Ltd. (Amul),
Tezpur University Guwahati

Submitted By

Prakrity Saikia

BAM21021
 STUDENT DECLARATION

I, Prakrity Saikia, a student of MBA 3rd Semester, Department of Business Administration, Tezpur
University, have undergone a Summer Internship Program with GCMMF Ltd. (AMUL) and
prepared a project titled “Study on the market size, market share, and placement of Amul frozen
products” in partial fulfilment of my Master of Business Administration degree under the guidance
of Asst. Prof. Mridul Dutta (Academic Guide) and Mr. Sushil Kumar Nath (Organization Guide).

This project is an authentic record of my own experience and does not form a part of any other
submission or report. I have worked to the best of my efforts and capabilities.

Prakrity Saikia (BAM21021)

MBA 3rd semester
Department of Business Administration, Tezpur University
 ACKNOWLEDGEMENT

I would like to express my sincere gratitude and appreciation to all those who have given me the
possibility to successfully finish this project. First, I would like to thank GCMMF Ltd. (AMUL)
for giving me the opportunity to carry out my summer internship project at their esteemed
organization. A special thanks to Mr. Sushil Kumar Nath for guiding and helping me throughout
the project. I would like to acknowledge the effort and guidance of my academic guide, Mr. Mridul
Dutta (Assistant Professor), without whom this project would not have been possible. I take this
opportunity to express my genuine appreciation towards him. I offer my thank to Mr. Sushil Kumar
Nath for helping me by taking his time out of his daily schedule to guide me and connecting me to
the distributors who showed me the process of distribution in Guwahati. Finally, I would like to
thank my co-interns, all the retailers, customers and my family, friends and to all who contributed
to the completion of my project.

Sincerely,
Prakrity Saikia (BAM21021)
MBA 3rd semester
Department of Business Administration, Tezpur University
 ABSTRACT
The organization where I interned for two months (4th July 2022 – 4th September 2022) was
AMUL Ltd. with its office situated at Guwahati. This organization deals with all kinds of dairy
products throughout the country as well as in a few other countries. They are the market leaders in
the milk sector in India. I was assigned to one of their authorized branches in Guwahati under the
organization guide, Mr. Sushil Kumar Nath, and academic guide Asst. Prof. Mridul Dutta. My
internship involved surveying various FMCG retail outlets in different parts of Guwahati, learn
the sales and distribution processes and simultaneously conduct the survey for the purpose of this
project.
 PROJECT AT A GLANCE

PREPARED BY: Prakrity Saikia

MBA 3rd Semester
Department of Business Administration
Tezpur University

REPORT TITLE: “Study on the market size, market share and

placement of Amul frozen products”

ORGANISATION: GCMMF Ltd. (Amul), Guwahati

PERIOD: 2 months (4th July 2022 to 4th September

2022)

ACADEMIC GUIDE: Mridul Dutta

Assistant Professor
Department of Business Administration
Tezpur University

ORGANISATIONAL GUIDE: Mr. Sushil Kumar Nath

GCMMF Ltd. (Amul), Guwahati
 EXECUTIVE SUMMARY OF THE PROJECT

Prepared by: Prakrity Saikia (BAM21021), MBA (2021-2023), Department of Business

Administration, Tezpur University

Title: Study on the Market size, Market share and placement of Amul frozen products in the given
areas.

Organization Name: GCMMF Ltd. (Amul)., Guwahati.

Period: Two months (4th July 2022 to 4 th September 2022)

Organizational Guide: Mr, Sushil Kumar Nath, GCMMF Ltd. (Amul), Guwahati.

Academic Guide: Mridul Dutta, Assistant Professor, Dept. of Business Administration, Tezpur
University

Objectives of the study:

1. To evaluate the market share of Amul Frozen Treats.

2. To make a comparative analysis of different brands dealing with frozen snacks.
3. To find out the position of Amul Frozen Treats among the different competitors with
respect to different attributes.
 CONTENTS

Chapter Title Page no.

CHAPTER 1 INTRODUCTION 1-3
1.1 History of Amul 1
1.2 Amul’s mission and vision 2
1.3 The three tier Amul Model 2
1.4 Product Assortment 2-5
1.5 Competitors 5-6
1.6 Substitution 6
1.7 Revenue 6-7
1.8 Marketing mix of Amul 7-8
CHAPTER 2 LITERATURE REVIEW 9-10
CHAPTER 3 OBJECTIVES, SCOPE, AND LIMITATIONS 11
3.1 Research Objectives 11
3.2 Scope of the study 11
3.3 Limitations of the study 11
CHAPTER 4 RESEARCH METHODOLOGY 12-13
4.1 Research design 12
4.2 Sources of data 12
4.2 Data collection technique 12
4.3 Sampling plan 12
4.4 Sampling design 13
4.5 Measurement 13
4.6 Questionnaire structure 13
CHAPTER 5 DISTRIBUTION PROCESS OF AMUL 14-15
5.1 Infrastructure 14
5.2 Brief details about Amul distributors in Guwahati 14-15
5.3 Segment of stores 15
CHAPTER 6 ANALYSIS AND INTERPRETATION 16-27
 6.1 Demographic profile of retailers 16
6.2 Demographic profile of customers 16-17
6.3 Analysis of objective 1 18-21
6.4 Analysis of objective 2 22-23
6.5 Analysis of objective 3 24-27
CHAPTER 7 AS-IS PROCESS VS TO-BE PROCESS 28-30
7.1 As-is process 28-29
7.2 To-be process 29
7.3 Fish-bone diagram 29
CHAPTER 8 HYPOTHESIS TESTING FOR THAT FACTORS 31-35
THAT INFLUENCE CUSTOMERS FOR
PURCHASE
8.1 Relationship testing between occupation of respondents 31-32
and food preferences
8.2 Relationship testing between frequency of purchase and 32-33
attributes of frozen snacks
8.3 Relationship testing between frequency of purchase and 33-34
brand image of Amul
8.4 Relationship testing between frequency of purchase and 34-35
promotional services
CHAPTER 9 FINIDINGS AND RECOMMENDATIONS 36-39
CHAPTER 10 CONCLUSION 40
BIBLIOGRAPHY 41
ANNEXURE 42-46

LIST OF FIGURES

Figure no. Title Page no.

Fig 6.1.1 Frequency Distribution of the types of outlets which deal 16
in frozen snacks
Fig 6.1.2 Frequency Distribution of annual turnover of outlets 16
dealing with frozen snacks
Fig 6.2.1 Frequency Distribution of age of the customers 17
Fig 6.2.2 Frequency Distribution of monthly average expense on 17
Frozen treats by customers
Fig 6.3.1 Awareness level of Amul Frozen Snacks among 18
respondents
Fig 6.3.2 Frequency Distribution of availability of Amul Frozen 18
Treats
Fig 6.3.3 Frequency Distribution showing the sales of different 19
brands of frozen treats
Fig 6.3.4 Frequency distribution of frequency of purchase by 20
customers
Fig 6.3.5 Frequency Distribution of Amul frozen treats at the 20
outlets
Fig 6.3.6 Frequency Distribution of Frozen treats purchased by 21
customers
Fig 6.4.1 Frozen Treats preference of retailers 22
Fig 6.4.2 Frozen Treats preference by customers 23
Fig 6.5.1.1 Response of retailers on availability of stock 24
Fig 6.5.1.2 Response of retailers on delivery of stock 24
Fig 6.5.1.3 Response of retailers on replacement of damage stock 25
Fig 6.5.2.1 Response of customers on brand image of Amul 26
Fig 6.5.2.2 Response of customers on attributes of frozen treats 26
Fig 6.5.2.3 Response of customers on improvement in attributes of 27
frozen treats
 INTRODUCTION

1.1 HISTORY OF AMUL

Farmers' lives in Kaira were similar to those in other parts of India. Their main source of revenue
was seasonal agriculture. Farmers are extremely destitute as a result of the numerous problems
they have faced. They cannot rely on the buffalo milk, and the money they make from it is
unreliable. Farmers and middlemen had too little influence over milk marketing. Farmers were
willing to sell their milk for any amount because it was in such low supply. They had to charge
less for other unique products like ghee cream. They had enough literacy to understand the deal,
which required them to purchase their goods at a discount and then resell them for a higher than
expected price.
The Bombay Milk scheme was introduced in 1945 as the Bombay government begins to take
notice. The 427-kilometer milk delivery from Anand to Bombay has begun. Only if milk was
pasteurised in Anand could this be accomplished.
After so many trials, the Bombay government reached a settlement with Polson Limited. All
parties involved were extremely pleased with every agreement, although farmers were less so. It
was profitable for the government, thanks to Polson's skill in maintaining a healthy margin. The
majority of the Milk contractors' split went to them. They are not limited to taking the difficult
situation into account when determining the price that needs to be paid to producers. The Bombay
Milk Scheme did not improve the situation of the farmers in the Kaira District. A set fee was
charged to the contractors for the milk. The number of farmers who were unhappy increased. The
dissatisfaction of the farmers increased
Patel advised them once more to market their milk through a self-created cooperative society.
They'll have a pasteurisation plant cooperative of their own. The recommendation demands that a
farmer grant approval for such a cooperative. If their demand is turned down, they should stop
selling their milk to middlemen. All farmers agreed after Sardar Patel warned them that there will
be numerous strikes in the future that would result in a loss of milk production if they didn't sell
their milk for a while out of fear.
The foundation stone for Amul was set in 1954. November 1, 1955, the undertaking was finished.
The brand-new dairy gave the movement for cooperative milk producers another boost. to support

1
village cooperative to manage more milk each year, the union was able to create more societies.
Kaira union's marketing department launched the "Amul" brand. The term "Amul" derives from
the Sanskrit term "Amulya," which means "priceless" or "precious."

1.2 AMUL’S MISSION AND VISION

Vision Amul’s vision is to provide more and more satisfaction to the farmers, employees, and
distributers.
Mission We at GCMMF (Gujarat Cooperative milk marketing federation) endeavour to satisfy the
taste and nutritional requirements of the customers of the world, through excellence in marketing
by our committed team. Through co-operative networking, we are committed to offering quality
products that provide best value for the money.

1.3 THE THREE-TIER AMUL MODEL

Amul has always been out forward about supporting and working for farmers; they want to help
farmers and give customers products that are worth their money. As part of its dairy production,
Amul uses a three-tiered structure:
i. Village Dairy Cooperative Society- Each manufacturer is a member of the local dairy
cooperative society, which is a manufacturing community.
ii. District Milk Unions- Members of the Village Dairy Cooperative Society elect
representatives, who constitute the District Milk Union.
iii. State Milk Federation - This federation oversees market distribution and sales.

1.4 PRODUCT ASSORTMENT

Amul nourishes customers with a wide range of products that provide nutrition, convenience,
and affordability, ranging from delightful pleasures to nutritious foods. Some of their Cash Cow
Products are Amul milk, Amul cheese, Amul butter, and Amul Ice cream. They have now
entered the frozen segment as well. Furthermore, the survey focuses solely on the frozen
segment.

2
The product mix for Amul’s Frozen Snacks is as follows:

a) Potato Snacks-

1. Aloo Tikki | 400g

Product Details
Product Name Aloo Tikki
Description Aloo Tikki from potatoes and condiments
Packing 400 g

Product Specifications
Shelf Life Best before 18 months from manufacturing
Storage Condition At -18°C or below

2. French Fries | 200g,425g, 750g

Product Details
Product Name 9 mm French Fries
Description Commonly known as Finger chips
Packing 200g, 425g, 750g

Product Specifications
Composition Potatoes and Edible Vegetable Oil
Shelf Life Best before 18 months from manufacturing

3
 Storage Condition At -18°C or below.

3. Hash Brown | 360g

Product Details-
Product Name Hash Brown
Description Made from shredded pan-fried potatoes
Packing 360g

Product Specifications-
Composition Potatoes, Edible Vegetable Oil, Corn Flour,
Onion Powder
Shelf Life Best before 18 months from manufacturing
Storage Condition At -18°C or below.

4. Burger Patty | 360g

Product Details-
Product Name Veg Burger Patty
Description Burger Patty made from potatoes mixed with
vegetables
Packing 360g

Product Specifications-
Composition Potatoes, Vegetables, Breadcrumbs, Edible
Vegetable Oil, Batter
Shelf Life Best before 18 months from manufacturing
Storage Condition At -18°C or below.

5. Veggie Stix | 425g

Product Details-
Product Name Amul Veggie Stix

4
 Description Round long fingers made from potatoes and
vegetables
Packing 400g

Product Specification-
Composition Potatoes, Vegetables, Breadcrumbs, Edible
Vegetable Oil, Rice Flakes, Corn Flour, Parsley
Leaves
Shelf Life Best before 18 months from manufacturing
Storage Condition At -18°C or below.

b) Dairy Snacks-

1. Cheese Onion Pocket | 360g

2. Masti Dahi Tikki | 300g
3. Cheese Poppons | 300g
4. Cheese Corn Nuggets | 300g
5. Paneer Samosa | 300g
6. Punjabi Samosa | 300g
7. Cheese Onion Paratha | 500g
c) Pizza-
1. Cheese Pizza | 210g
2. Margherita Pizza | 170 g
3. Garlic Pizza| 170g
4. Premium Pizza | 220g

1.5 COMPETITORS

Following are some of the competitors of Amul in the frozen segment-

a) McCain-

5
 McCain Foods Limited is an international corporation founded in 1957 in Florenceville,
Canada. Products offered by the company include pizzas, juices, drinks, and potato-based
products.
b) Keventers-
Keventer Agro has a diverse frozen food portfolio that includes vegetables such as sweet
corn and green peas, baked food items, meatballs, veg and non-veg nibbles, kebabs,
ready-to-fry products, and potato-based products. According to the CEO, frozen food
currently accounts for around 5% of the company’s total turnover
c) ITC-
ITC's frozen food market is growing at a 15% CAGR. ITC recently teamed with Havmor
Ice Cream to market ITC Master Chef Frozen Snacks through Havmor ice-cream carts.
d) Godrej Yummiez-
Godrej Yummiez offers a variety of frozen veg and non-veg ready-to-cook items. Their
product portpolio includes over 40 items such as Nuggets, Burger Patties, Salami,
Sausages, Kebabs, Sweet Corn, and Green Peas.
e) MTR Foods Ltd-
MTR Foods Ltd. is a leading supplier of packaged foods in India. Its product range
include a variety of vegetarian snacks, ready-to-eat meals, and partially cooked dinners,
with a focus on southern Indian cuisine.

1.6 SUBSTITUTION

1. Majority of the time, frozen pizza is substituted with pizza from franchises like Pizza
Hut and Domino's.
2. Frozen products contain artificial ingredients and preservatives which can deteriorate
one’s health. So, choosing fresher, home-cooked food can be an excellent substitute.
3. Ready to eat meals is mostly for working individuals and college students who do not
have the time to prepare a nutritious meal. But fast-food outlets can be helpful for those
consumers, and it is also affordable and timesaving.

1.7 REVENUE

6
Amul reported a sales turnover of 610 billion Indian rupees in fiscal year 2022, compared to
around 392 billion Indian rupees the previous year in India.

Fig 1: Amul: Sales turnover for FY 2022

1.8 MARKETING MIX OF AMUL

Product

Amul's extensive product line includes ice cream, milk, chocolates, cheese, mithai mate, and milk
powders. Amul's butter, cheese, and ice creams consistently win the most votes for its exceptional
flavour and quality. Amul Chocolates has worked hard to climb the food chain with fast developing
brands such as Nestle and Dairy Milk. The fact that no other brand has been able to establish a
portfolio as vast as Amul's is one of the company's primary competitive advantages.

Pricing

7
Amul's products are reasonably priced. Amul joined the market when there were no other Indian
competitors, and the company has since gained a reputation throughout India for producing high-
quality goods at reasonable prices. Even now, despite the high costs of distribution and storage,
the majority of consumers always chose Amul as their first choice in FMCG items. Amul has made
certain that their pricing is consistent with people's expectations.

Place

Amul is one such enterprise that has spread across the country. All hail the huge distribution
network that guarantees Amul products reach homes across India. The distribution mechanism is
based on bulk purchases that are then disassembled into microscopic parts before being delivered
to the final consumer.

Promotion

The Amul girl, who has appeared in Amul's longest-running commercial campaign, is well-
known. However, Amul cheese and butter are the only goods that receive major advertising.
Because the firm does not want to give away its marketing margins and claims to spend only 1%
of its budget on marketing and advertising, it does not engage in aggressive marketing for other
things. It makes sense that, despite severe competition, its prices are always lower than those of
its competitors.

8
 LITERATURE REVIEW

Market share is the corporation's percentage of total sales in the market in which it competes.
When a corporation has a large market share relative to its rivals, it is generating higher sales due
to the growth of its customer base. Market share can be categorised by product, industry, or
particular product.

There has been much discussion on the connection between market share and profitability
throughout history, dating all the way back to the 1930s. Bain (1951) first postulated a
connection between industry concentration and profitability in his initial empirical studies. A
study conducted in 1975 by Buzzell Gale and Sultan utilising the PIMS data base revealed a
significant link between market share and profitability. Gale and Branch (1982) conducted a
further investigation to see whether the correlation between concentration and market share was
statistically significant. There are a good amount of examples of low market share businesses
that are extremely profitable. Woo and Cooper (1981) looked into some of these, and together
with other data, they raised the question of whether general rules could hold true in the field of
strategy, since every case is marginally different from every other situation.

A study on "The Influence of Marketing Strategy on Market Share" was undertaken in 2017 by
writers Panteha Farmanesh, Mozhdeh Adibi, and Alireza Hasiri with the aim of determining how
to increase market share in order to attain a greater scale in operations and increase profitability.
This investigation' main goal was to investigate the variables that affect market share. The
findings suggested that selling strategy should take into account how product, price, promotion,
and place affect market share.

Authors Kaylene C. Williams, Alfred Petrosky, Edward H. Hernandez, and Robert A. Page
conducted a study in April 2011 called “Product Placement Effectiveness”. The aim of the paper
was to examine product placement in terms of its definition, use, purposes as well as the factors
that influence its effectiveness and drawbacks.

A study on "Product Placement: A Smart Marketing Tool Shifting a Company to the Next
Competitive Stage" by authors Level Kramoli, Jan, and Kopeková Martina, whose main
objective was to establish a link between a company's competitiveness and the use of product

9
placement as a marketing strategy. The secondary goal was to find the origin of product
placement. According to the study's findings, brand building and long-term marketing both
include product placement. It was also discovered that long-term marketing has a direct impact
on a company's ability to compete.

10
 OBJECTIVES, SCOPE & LIMITATIONS

3.1 RESEARCH OBJECTIVES

1. To evaluate the market share of Amul Frozen Treats

2. To make a comparative study of different brands dealing with frozen snacks.
3. To find out the position of Amul Frozen Treats among the different competitors with
respect to different attributes.

3.2 SCOPE OF THE STUDY

The study aims at an in- depth study of Amul’s frozen products in Guwahati market. The market
is divided into small segments so that the survey would be simplified. These segments are-
Panbazar, Paltan Bazar, Bhangagarh, Uzanbazar, Kharguli, Dighalipukhuri, Rehabari, Ulubari,
Birubari, Bhootnath, Shantipur, Khanamukh & Kumarpara. The research comprises a thorough
examination of the market's convenience channel in order to develop strategies and increase sales.
The research is limited to the geographical limits of Guwahati.

3.3 LIMITATIONS OF THE STUDY

Responsible managers and personnel in Amul Guwahati's marketing department offered optimal
support to my study, and nearly all the relevant information was provided to me in support of this
project report.
However, there were some issues that could not be avoided. The following are the constraints I
experienced during my survey:
1. Time duration of two months was not enough to survey the entire market; the data gathered
for this research is tightly time-bound and hence subject to change over time.
2. The retailers did not feel particularly at ease while providing information about their stock.
3. A few responders from retail shops lacked cooperation and acted rudely.
4. This study is based on information and data provided by the retailers, and it is presumed
that the information they provided was accurate.
5. Because most individuals in marketplaces are in a rush, there is a potential that some replies
may be biased and asking question in such ambience is not very fruitful.

11
 RESEARCH METHODOLOGY

4.1 RESEARCH DESIGN:

The research is descriptive in nature and the study aims to find out the market share, marketing
campaign and future potentiality of Amul frozen product market in Guwahati. The study is carried
out using observation technique and survey questioning, which are the attributes of descriptive
research. The data has been analysed using statistical techniques including Pie charts, bar charts,
and SPSS 22.

4.2 SOURCES OF DATA:

a. Primary Data
i. Personal visits to outlets
ii. Questionnaire
iii. Observation
b. Secondary Data
i. Consultation with organisational guide and distributors
ii. Internet
iii. Books

4.3 DATA COLLECTION METHOD:

Both quantitative and qualitative methods are used in the study. Since the study is empirical in
nature, primary data are collected for the goal of the research study. Primary data sources include
observation, advice from experts and executives, as well as in-person interviews and survey
questionnaires. Websites, company profiles, and distributors' primary invoices are other secondary
data sources.

4.4 SAMPLING PLAN

Due to the descriptive nature of the current study, both observational and survey methods are
employed. Two surveys are conducted for this study, one for consumers and the other for retailers.

12
4.5 SAMPLING DESIGN

Survey 1- For the Retailers

1. Element: All the convenient retailers in Guwahati who deal in Amul frozen products.
2. Sampling unit: Retailers of 13 allocated locations of Guwahati.
3. Extent: Guwahati
4. Time: The time period of the study was from 4th July 2022 – 4th September 2022
5. Sample Size: A total number of 65 retailers were taken as the sample.

Survey 2- For the customers

1. Element: All the convenient customers in Guwahati who buy Frozen product.
2. Sampling unit: Customers of 50 retail outlets in 13 different locations in Guwahati.
3. Extent: Guwahati.
4. Time: The time period of the study was from 4th July 2022 – 4th September 2022
5. Sample size: A total number of 65 customers were taken as the sample.

4.6 MEASUREMENT

Observation - While going out in the market, particular observations were noted, such as sales of
the retailer, their relationship with the salesman etc. Scale of measurement for the Questionnaire
is Nominal scale.

4.7 QUESTIONNAIRE STRUCTURE

"Questionnaire" is one of the main data collection methods employed in this study. Customers' and
retailers' questionnaires are created separately. There were both closed-ended and open-ended
questions on the survey. The suggested list of options was created after reviewing academic
research on sales promotion, marketing campaigns, etc.

13
 DISTRIBUTION PROCESS OF AMUL

5.1 INFRASTRUCTURE
5.1.1 DISTRIBUTION PROCESS OF AMUL FROZEN SNACKS

1) Distribution Network: Manufacturing Units −> C&F agents −> Distributor as per
territory−> Retailer/Wholesaler
2) Delivery Procedure: The salesman of the distributor takes the order from the outlets that
comes under their area and delivers the next day. Delivery of orders takes place through
autovans.

5.2 BRIEF DETAILS ABOUT THE AMUL DISTRIBUTORS IN GUWAHATI

1. Maya Enterprise, Panbazar:

Owner: Samarpita Saha
Maya Enterprise looks after the retail outlets situated in Panbazar, Dighalipukhuri, Paltan
Bazar, Ulubari, Bihutoli, Shantipur, Bhootnath, Kharguli, Uzanbazar, Rehabari,
Kalapahar, Kumarpara etc. Three PSRs have been assigned to manage these beats. Both
order booking and ready stock (order and delivery) are functional with it. Throughout the
six working days of the week, the salesmen visit the utlets and takes orders before the day
of delivery. And the delivery is made by the van and merchandiser in the very next day.
2. Fortune Merchantiles, Adabari:
Owner: Abhijit Ghosh
Fortune Merchantiles after the retail outlets situated in Adabari, Malingaon, Jalukbari,
Khanmukh, Amingaon, and some outlets in North Guwahati, etc. Two PSRs have been assigned
to manage these beats. Throughout the six working days of the week, they visit
establishments to take and deliver orders and they mostly work with on order booking and
ready stock.
3. Ashirbad Food and Beverages, Lalganesh:
Owner: Gautam Dutta

14
 Ashirbad Food and Beverages look after outlets situated in Lalganesh, Rehabari, Birubari,
Fatasil, etc. They work mostly on order booking and ready stock. They have appointed
three PSR’s to look after these beats

5.3 SEGMENT OF STORES

1. GT (General trade stores)

2. MFS (Supermarkets)
3. APO (Amul Preferred Outlets)
4. HORECA (Hotels and Restaurants Category)

The survey was carried out with the assistance of PSRs from Amul Distributors during the summer
internship programme. Every retail store of a specific beat was observed and assessed, which also
aided in understanding the Amul distribution network. Orders were taken, and retailers were
informed of new schemes. The project guide received a report at the end of the day detailing the
total sales made, productivity, and the total number of stores visited on that specific day. It also
included retailer comments.

15
 ANALYSIS AND INTERPRETATION
6.1 DEMOGRAPHIC PROFILE OF THE RETAILERS

Fig 6.1.1: Frequency Distribution of the types of outlets which deal in frozen snacks

Fig 6.1.2: Frequency Distribution of annual turnover of outlets dealing with frozen snacks

6.2 DEMOGRAPHIC PROFILE OF THE CUSTOMERS

16
 Fig 6.2.1: Frequency Distribution of age of the customers

Fig 6.2.2 : Frequency Distribution of monthly average expense on Frozen treats by

customers

17
6.3 ANALYSIS OF OBJECTIVE 1

Objective 1: To evaluate the market share of Amul Frozen Treats

Fig 6.3.1: Awareness level of Amul Frozen Snacks among respondents

Interpretation: As we can see from the graph above, Amul's frozen snacks don't have a high
enough level of awareness. The percentage of customers who are unaware of their frozen snack
options should be reviewed by the company. To increase their market position, they should boost
their marketing initiatives.

Fig 6.3.2: Frequency Distribution of availability of Amul Frozen Treats

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Interpretation: The above pie-diagram explains how many retail outlets keep Amul frozen treats.
Due to factors including deep freezer problems, stock management, demand, and supply, not every
retailer has frozen goods on hand. The analysis shows that Amul frozen items are available in
61.3% of outlets, whereas they are not available in 38.7%. The trend, however, might change if
the sample size for the retail outlets is extended because the study was only able to include a very
small number of retail outlets.

Fig 6.3.3: Frequency Distribution showing the sales of different brands of frozen treats

Interpretation: The above bar-diagram explains sales of frozen treats of different brands in the
retail outlets. Not every outlet keeps all the brands. The stock keeping and maintenance depends
on various external and internal factors such as demand, supply, margin, image of the brand and
lot many other reasons. It can be analysed from the study that McCain has the highest market share,
but since the study was limited to a very few retail stores the trend might change if the sample size
for the retail outlets is increased.

19
 Fig 6.3.4: Frequency distribution of frequency of purchase by customers

Interpretation: The above graph explains that maximum respondents purchase Amul frozen
snacks twice a week followed by around 15 respondents who purchase frozen once/twice a week
and only about 11 respondents buy daily.

Fig 6.3.5: Frequency Distribution of Amul frozen treats at the outlets

20
Interpretation: We can see from the bar graph above that the most popular item purchased by the
outlets is French Fries followed by, cheese onion pockets, Punjabi samosas, burger patty and hash
brown.

Fig 6.3.6: Frequency Distribution of Frozen treats purchased by customers

Interpretation: We can see from the bar graph above that the most popular item purchased by the
customers is French Fries followed by mozzarella cheese and cheese corn and masala paneer
nuggets.

21
6.4 ANALYSIS OF OBJECTIVE 2

Objective 2: To make a comparative analysis of different brands dealing with frozen

snacks

Fig 6.4.1: Frozen Treats preference of retailers

Interpretation: The brand preference for frozen treats seems to be the highest for McCain
followed by Amul and Keventers, however this trend may vary if the sample size is increased. But
still it can be said that McCain has a good presence in the market and is preferred by the retailers.

22
 Fig 6.4.2: Frozen Treats preference by customers

Interpretation: The brand preference for frozen treats seems to be the highest for McCain
followed by Keventers, ITC and Yummiez. However, this trend may vary if the sample size is
increased. But it can be said that McCain has a good presence in the market and is preferred by the
customers.

23
6.5 ANALYSIS OF OBJECTIVE 3

Objective 3: To find out the position of Amul Frozen Treats among the different
competitors with respect to different attributes.

6.51 Analysis of Amul Frozen Treats on different attributes with respect to the
retailers-

Fig 6.5.1.1: Response of retailers on availability of stock

Fig 6.5.1.2: Response of retailers on delivery of stock

24
 Fig 6.5.1.3: Response of retailers on replacement of damage stock

Interpretation:
1. The response of retailers on availability of stock varied from outlet to outlet, where some
retailers were satisfied with the stock availability majority complained that stock was not
always available, and all the products of Amul frozen treats was not available at all time.
2. The satisfaction level of retailers on stock delivery of is somewhat satisfying; the reasons
being irregular visits by the salesman to deliver stock. They claim the salesman do not
come voluntarily; they must make phone calls to get the stock delivered. This problem of
irregular visit arises due to beat skipping by the salesman.
3. The satisfaction of retailers is good in terms of damage replacement by Amul as they are
issued a credit note. Only about 9.3% outlets complained that the waiting time for damage
replacement is very longer.

6.52 Analysis of Amul Frozen Treats on different attributes with respect to the
customers-

25
 Fig 6.5.2.1: Response of customers on brand image of Amul

Interpretation: The preference of customers to purchase Amul frozen snacks is mostly due its
brand image as most of the respondents are satisfied with the brand image and are loyal customers.

Fig 6.5.2.2: Response of customers on attributes of frozen treats

Interpretation: The satisfaction level of customers on the taste of Amul frozen treats seems to be
satisfactory followed by pricing. The company should not initiate any price reduction to increase
its market share because Indian consumers will take that in a negative way; the reason being with

26
a cheap price comes cheap quality. However, Amul may come up with new varieties of frozen
items in terms of taste.

Fig 6.5.2.3: Response of customers on improvement in attributes of frozen treats

Interpretation: The availability of frozen treats is not up to the mark as compared to its
competitors. The quality and taste of the frozen treats have undoubtedly received positive ratings
from customers, but their unavailability may be cause for concern as it will affect its market share.
Customers are unaware of the existence of these products because there aren't enough advertising
initiatives.

27
 AS-IS PROCESS VS TO-BE PROCESS

7.1 AS-IS PROCESS

• Distribution Network:

Company Plant → C&F agents → Distributor as per territory → Retailer/Wholesaler

• Delivery Procedure: Each distributor has 2-3 salesmen who take orders from outlets that
comes under their territory and deliver the products next day. Delivery of orders takes
place through mini auto-vans. The salesman operates in different beats within their area
during the week.

• The company plant delivers the products to the distributors in the quantities specified by
the distributor.
• Frequency of Restocking: For frozen snacks the frequency of restocking is within 1-2
weeks varying from different stores.

• Delivery of Stock: During the study, it was found that the delivery of stock is somewhat
satisfactory. But some salesmen don’t make frequent visits to the outlets to take orders.

• Availability of Stock: Product quality for frozen snacks is up to the mark but their
availability is not adequate. Many retailers raised concerns regarding stock availability.

• Replacement Policy: Replacement of damaged stock is done through credit notes. But
many retailers expressed dissatisfaction with the distributors' replacement policy. And
mostly, the damage is due to improper handling of products by the salesmen while
delivering.

• Availability of Deep Freezers: After visiting the outlets, it was observed that many of
the outlets didn’t have deep freezers. And the retailers were not provided any credit
facilities on purchase of deep freezers.

28
• Credit Policy: The distributors gave credit facilities to the retailers for purchase of goods
and the credit period can be up to 1 month depending upon relationships with the
retailers.

• Advertisement: Retailers are provided with posters, flyers, etc by the

salesmen/distributors for advertising the products.

7.2 TO-BE PROCESS

• The salesman should visit the outlets periodically so that the delivery of products happen
on time and outlets do not run out of stock.
• All the varieties of frozen snacks are often unavailable in stores. Thus, the manufacturer
should ensure proper delivery of good to distributors so that retailers' complaints about
stock availability may be addressed. Also, the number of distributors operating in an area
may be increased to meet demand.
• Replacement of damaged products should be timely done to satisfy the retailers, or else
they might shift to other brands.
• The distributors should ensure proper handling of products by the salesmen during
delivery so that the products are not damaged.
• Competitors’ frozen snacks are more frequently restocked as compared to Amul’s.
Because retailers claim that the Amul's margin is low in comparison to competitors'
margin. Thus, the company should try to build a marketing strategy to increase their
margin.
• Many retailers are hesitant to buy deep freezers because of its high price. Thus, the
company should provide credit facilities and schemes to retailers on purchase of deep
freezers.
• The promotional activity of Amul frozen snacks should be enhanced as it is a relatively
new segment, and many people are still unaware of it. Thus, focusing more on promotion
and positioning can boost sales and help gain a large market share.

29
7.3 FISH BONE DIAGRAM

Advertisement Distribution

Inadequate supply Conflict between

Less display activities
company and distributor

Less presence in Infrequent visit by

Less no of
social media salesmen
distributors
Low
Sales
Unavailability of all Less schemes,
varieties discounts for retailers No credit facilities
for deep freezers,
Delivery delay Poor replacement
VC coolers
policy

Stock Availability/ Services

Delivery

30
 HYPOTHESIS TESTING FOR THE FACTORS THAT INFLUENCE
CUSTOMERS FOR THE PURCHASE OF AMUL FROZEN SNACKS:

8.1 RELATIONSHIP TESTING BETWEEN OCCUPATION OF

RESPONDENTS AND FOOD PREFERENCES

Belief: People working in the service and business sectors spend more money in frozen snacks
than by those in the agriculture sector.
Null Hypothesis (H0): There is no relationship between occupation of customers and food
preferences.
Alternate Hypothesis (H1): There is a relationship between occupation of customers and food
preferences.

Occupation * Preference Crosstabulation

Count
Preference
Fresh Food Frozen Food Total
Occupation Agriculture 7 0 7
Business 6 10 16
Service 6 11 17
Student 12 10 22
Total 31 31 62

Chi-Square Tests
Asymp. Sig. (2-
Value df sided)
Pearson Chi-Square 9.652a 3 .022
Likelihood Ratio 12.389 3 .006

31
N of Valid Cases 62

a. 2 cells (25.0%) have expected count less than 5. The minimum

expected count is 3.50.

From the above obtained results of Chi-square test in SPSS, the Pearson Chi-Square value is,
p=0.022, which is smaller than level of significance α = 0.1. Thus, we can reject the null
hypothesis and accept the alternate hypothesis. Thus, it can be said that the preference of food
i.e. either frozen or fresh food is influenced by the occupation of the respondents. The frequency
of purchase is high for customers who work in service industry and low for customers whose
source of income is agriculture as they cannot afford frozen snacks and they prefer fresh food.

8.2 RELATIONSHIP TESTING BETWEEN FREQUENCY OF PURCHASE

AND ATTRIBUTES OF FROZEN SNACKS

Belief: People prefer Amul frozen snacks because of their affordable prices.
Null Hypothesis: There is no relationship between frequency of purchase and attributes of
frozen snacks.
Alternate Hypothesis: There is a relationship between frequency of purchase and attributes of
frozen snacks.

amulattributes * Preference Crosstabulation

Count
Preference
Fresh Food Frozen Food Total
amulattributes Availability 3 4 7
Pricing 19 14 33
Quality 6 6 12
Quantity 1 3 4
Taste 2 4 6
Total 31 31 62

32
 Chi-Square Tests
Asymp. Sig. (2-
Value df sided)
Pearson Chi-Square 2.567a 4 .633
Likelihood Ratio 2.630 4 .622
N of Valid Cases 62

a. 6 cells (60.0%) have expected count less than 5. The minimum

expected count is 2.00.

From the above obtained results of Chi-square test in SPSS, the Pearson Chi-Square value is,
p=0.633, which is greater than level of significance α = 0.1. Thus, we cannot reject the null
hypothesis. Thus, it can be said that the information is inconclusive and no inference can be
drawn.

8.3 RELATIONSHIP TESTING BETWEEN FREQUENCY OF PURCHASE

AND BRAND IMAGE OF AMUL

Belief: People prefer Amul frozen snacks because of their brand image.
Null Hypothesis: There is no relationship between frequency of purchase and brand image of
Amul.
Alternate Hypothesis: There is a relationship between frequency of purchase and brand image
of Amul.

Brand image * Frequency Crosstabulation

Count
Frequency
Once/Twice a
Daily week Twice a week Total
Brand image No 3 5 11 19
Yes 8 10 25 43
Total 11 15 36 62

33
 Chi-Square Tests
Asymp. Sig. (2-
Value df sided)
Pearson Chi-Square .110a 2 .946
Likelihood Ratio .111 2 .946
N of Valid Cases 62

a. 2 cells (33.3%) have expected count less than 5. The minimum

expected count is 3.37.

From the above obtained results of Chi-square test in SPSS, the Pearson Chi-Square value is,
p=0.946, which is greater than level of significance α = 0.1. Thus, we cannot reject the null
hypothesis. Thus, it can be said that the information is inconclusive and no inference can be
drawn.

8.4 RELATIONSHIP TESTING BETWEEN FREQUENCY OF PURCHASE

AND PROMOTIONAL SERVICES OFFERED BY AMUL

Belief: Promotional services like social media aid in the sale of Amul frozen snacks.
Null Hypothesis: There is no relationship between frequency of purchase and promotional
services offered by Amul.
Alternate Hypothesis: There is a relationship between frequency of purchase and promotional
services offered by Amul.

Promotional services * Frequency Crosstabulation

Count
Frequency
Once/Twice a
Daily week Twice a week Total
Promotional services Advertisement 5 4 6 15
Display activities 3 1 8 12
Hoardings 1 4 5 10
Social media 2 6 17 25
Total 11 15 36 62

34
 Chi-Square Tests
Asymp. Sig. (2-
Value df sided)
Pearson Chi-Square 7.938a 6 .043
Likelihood Ratio 8.218 6 .043
N of Valid Cases 62

a. 3 cells (24.3%) have expected count less than 5. The minimum

expected count is 2.77.

From the above obtained results of Chi-square test in SPSS, the Pearson Chi-Square value is,
p=0.243, which is greater than level of significance α = 0.1. Thus, we cannot reject the null
hypothesis. Thus, it can be said that the information is inconclusive, and no inference can be
drawn.

35
 FINDINGS

1. Amul holds an approximate 31% market share in Guwahati's ready-to-eat food market.
McCain has the largest market share, with a 35% share (approx.) and the frequency of
restocking is higher for competitor brands such as McCain and Yummiez than for Amul.
2. It was found that 34% of respondents said that availability of Amul frozen snacks needs to
be improved which is affecting its market share. Many customers are unaware of these
products due to inadequate advertising initiatives.
3. Almost 40% of respondents favor Amul frozen snacks because of their pricing and quality.
As a result, the company should not initiate any price reductions to enhance its market
share.
4. After conducting a series of Chi-Square tests, it was found that
i. The preference of food i.e., either frozen or fresh food is influenced by the
occupation of the customers. The frequency of purchase is high for customers
who work in service or business industry and low for customers whose source
of income is agriculture as they cannot afford frozen snacks.
ii. It was found that frequency of purchase of frozen snacks is not influenced by
any gender or age-group. Thus the information in inconclusive.
iii. Promotional services offered by Amul have a significant influence over
purchase of frozen snacks by customers. Thus the information in inconclusive.
5. Almost 62% of retailers are not satisfied with stock delivery; the reasons being irregular
visits by the salesman. They say that the salesman does not come voluntarily instead they
make phone calls to get the stock delivered. This problem manly arises due to beat skipping
by the salesman.
6. Almost 35 % of retailers are not satisfied with the stock availability. All the products of
Amul frozen treats are often not available at all the time.
7. Almost 40% of customers are not aware of Amul frozen snacks. Mainly because there are
fewer promotional activities, fewer displays in some stores, and fewer social media
marketing campaigns for frozen snacks. Only their cash cow items, such Amul Milk, Amul
Butter, and Amul Cheese, are advertised.

36
8. To attract in additional retailers, Amul's replacement policy needs to be enhanced.
Approximately 70% of retailers are only somewhat satisfied with it.
9. Some of the retailers prefer competitor brands for their high profit margin, better schemes
and good discount.
10. Most outlets don’t have proper product display and the frozen snacks are placed below ice
creams in deep freezers, making them difficult for customers to notice and access thus
reducing the overall sales.

37
 RECOMMENDATIONS

1. We know that, in-store stimuli remind customers of their shopping demands, leading to an
impulsive purchase. Thus, Amul should enhance its display activities at the retail outlets
so that the sales can be increased.
2. Many shops are dissatisfied with product delays and availability in the Panbazar
distribution area. Some process modifications, such as adequate planning of weekly supply
and preserving a pre-determined record of deliveries, would effectively reduce such
worries.
3. Given that the frozen snack market for Amul is still relatively new and that many
consumers are unaware of it, advertising efforts should be increased. So, focusing more on
promotion and positioning might increase sales and aid in capturing a big portion of the
market.
4. In the survey of consumers in the Guwahati region, five attributes were evaluated i.e., price,
availability, taste, quantity, and quality and it was found that Amul frozen snacks mostly
need to improve on availability and quantity. The company needs to take appropriate steps
in this regard.
5. Instead of only focusing on their cash cow items like Amul Milk, Amul Butter, and Amul
Cheese, the company must invest in digital marketing and create social media adverts for
their frozen snack segment and direct target their valuable customers.
6. The company must consider breaking into new markets by opening more APO’s (Amul
preferred outlets) so that they target more audience. According to the survey, there weren't
many outlets selling frozen snacks in the Adabari distributor region. Thus, the company
should look into the regard.

7. Many retailers are hesitant to buy deep freezers because of its high price. Therefore, those
retailers who are unable to make one-time payments for deep freezers shall be provided
with instalment basis schemes.
8. They must target busy scheduled customers between the ages of 25 and 50, such as
students, businessmen, and others, who do not have enough time to make a full meal.
9. When there is a shortage of any frozen product from manufacturing units, retailers near the
areas where most workplaces are located should preferably be supplied with the items so

38
that the least number of consumers are harmed by the shortfall, as most busy scheduled
customers live in these locations.

39
 CONCLUSION
Global demand for ready-to-eat (RTE) food products has increased in recent years, owing to
consumers' busier lifestyles and rising income levels. In the initial years, the market was dominated
by- traditional frozen snacks McCain, MTR, Venky’s, ITC, etc. However, with the entry of Amul
frozen snacks, the market dynamics is changing slowly.
Amul has a big name and image in the minds of the consumers. Amul as a brand needs more
attention in terms of promotion and positioning to create a strong image, which will enhance the
sales and help gain a large market share. No doubt Amul is doing wonderful in the Guwahati city
but still lacks a little in becoming the market leader in the frozen snack sector.
Customers and retail stores are not very familiar with Amul frozen foods. This is because there are
fewer promotional activities, fewer displays in some stores, and fewer social media marketing
campaigns for frozen snacks. Only their cash cow items, such Amul Milk, Amul Butter, and Amul
Cheese, are advertised. Display assistance may assist in accomplishing the objective, which could
be done by correct incentives/schemes in terms of profit, credit facilities, asset facilities, and so
on, and could do even better if adequate promotional activities were initiated by the company and
suggestions are followed.

40
 BIBLIOGRAPHY
1. Journals

• Alsailawi, H.A., Jahil, M.M., Abdulrasool, M. (2020): ‘Effect of Frozen Storage on the
Quality of Frozen Foods,’ Journal of Chemistry and Chemical Engineering, PP 91-94.

• Sawant, R. (2014): ‘To analyse the demand pattern of consumptions of the premium ice
creams in Metro cities in India w.r.t Amul’s Crème Rich,’ IOSR Journal of Business and
Management, PP 117-132.

• Dwivedi, R. (2010): ‘Amul : A Cooperative with a Brand,’ IOSR Journal of Business

and Management, PP 45-60.

• Cooper, L.R. (1988): ‘Market Share Analysis: Evaluating Competitive Marketing

Effectiveness,’ Kluwer Academic Publishers.

2. Books
• Kotler, P. (2005.).Marketing Management. Pearson, 2016 edition

3. Websites
• http://www.amul.com/
• https://www.amuldairy.com/history.php#:~:text=It%20was%20formally%20registered%2
0on,about%20250%20liters%20a%20day.
• https://en.wikipedia.org/wiki/Amul

41
 ANNEXURE-I

QUESTIONNAIRES
QUESTIONNAIRE FOR RETAILERS-

Dear Sir/Madame, I am Prakrity Saikia, a student of Department of Business

Administration, Tezpur University. As a part of my course curriculum, I am undergoing a
summer internship at Amul, Guwahati, Assam. My project topic is “A detail study of the
market share, market size and placement of Amul frozen products”. I humbly request you
to co-operate and kindly respond to a set of questions given below.

(Please put a tick mark ☑ wherever applicable)

Name of the Retailer:

Name of the contact person:
Contact No:
Address:

Outlet Category GT APO MFS HORECA

1. Amul Sweets/ Snacks/Pizza available?
Yes No
2. What are the different brands of Frozen Snacks you have in your store?
Amul McCain Keventers ITC Others
3. What are the different Amul Frozen snacks in your store?
4. Competitors’ Snacks/Sweets/Pizza available?
Yes No
5. What are the different brands of Frozen snacks in your store?

42
 6. Do you have a freezer?
7. Amul and Competitors’ profit margin?
8. Which brand seems to have the highest sales?
Amul McCain Keventers ITC Others
9. Whether Amul has provided you with advertisement hoardings, racks, and fly hangers?
Yes No
10. Whether Amul encourages the retailers by giving gifts and discounts to increase their sales?
Yes No
Indicate your level of satisfaction as a vendor with the services provided by the company:
11.
(Select one of the options given below)
11.1 Availability of stock
(Most satisfied/satisfied/somewhat satisfied/least satisfied)
11.2 Delivery of stock
(Most satisfied/satisfied/somewhat satisfied/least satisfied)
11.3 Replacement of damage stock
(Most satisfied/satisfied/somewhat satisfied/least satisfied)
11.4 Complaint’s redressal
(Most satisfied/satisfied/somewhat satisfied/least satisfied)
12. Any consumer trade off scheme?
Yes No
In the following table rate the brands on different attributes according to the given scale.
13.
{Least satisfied (-2)/somewhat satisfied (-1)/neutral (0)/satisfied (1)/most satisfied (2)}

Brands Availability of Delivery of stock Replacement of Complaint’s

stock damage stock redressal
Amul
McCain
Keventers

43
 ITC
Venkys
Others

14. Remarks if any.

1.1 Thank you!!

44
QUESTIONNAIRE FOR CUSTOMERS

Dear Sir/Madame, I, Prakrity Saikia, am a student of Department of Business Administration,

Tezpur University. As a part of my course curriculum, I am undergoing a summer internship at
Amul, Guwahati, Assam. My project topic is “A detail study of the market share, market size and
placement of Amul frozen products”. I humbly request you to co-operate and kindly respond to a
set of questions given below.

(Please put a tick mark ☑ wherever applicable)

Name of respondent:
Age Below 18 18-30 31-45 Above 45
Gender Male Female
Occupation Agriculture Service Student Other
1. Do you buy Amul frozen snacks?
Yes No
2. Which brand of frozen snack do you usually buy?
Amul Keventers McCain ITC Others
3. How often do you buy frozen snack?
Once/twice a
Daily Twice a week
month
4. From where you have got to know about Amul frozen snacks?
Advertisements Retail shops Others Not aware
5. What do you like best about Amul frozen snacks?
Price Taste Quantity Quality Availability
6. What do you like best about competitors’ frozen snacks?
Price Taste Quantity Quality Availability
7. What needs to be improved about Amul frozen snacks?
Price Taste Quantity Quality Availability

45
8. Do you think Amul frozen snacks is reasonably priced compared to other brands?
Yes No
Rate your experience of consuming Amul frozen snacks (5 being the best and 1 being
9.
the worst)
1 2 3 4 5
10. Remarks, if any

1.1.1 Thank you!!

46