Amul Icecream Report

Project Report: Amul Ice-cream 1
“To increase the retail penetration of Amul Ice cream

and to study the consumers’ buying behaviour for Ice
cream.”
Submitted towards partial fulfilment of the requirements for the award
of the Post Graduate Diploma in Management 2014-2016
PROJECT GUIDES
Faculty Guide Industry Guides
Prof. R.J.Masilamani Mr. Raveen Chaudhary
Mr. Hardeep Banga
Mr. Sudhir Gupta
Submitted
Ishan Biswari
PGDM, Class of 2014-16
BIMTECH, Greater Noida
Project Report: Amul Ice-cream 2
Summer Project Certificate
This is to certify that Mr. Ishan Biswari Roll No. 14DM096 a student of PGDM (2014-16) has
worked on a summer project titled “To increase the retail penetration of Amul Ice cream and to
study the consumers’ buying behaviour of Ice creams” at GCMMF (Amul) after Trimester-III in
partial fulfilment of the requirement for the Post Graduate Diploma in Management programme.
This is his original work to the best of my knowledge.
Date:
Prof. R.J.Masilamani
Project Report: Amul Ice- 3
ACKNOWLEDGEMENT
I would like to gratefully acknowledge the contribution of all the people who took active part and
provided valuable support to me during the course of this project. To begin with, I would like to
offer my sincere thanks to “Mr. Raveen Chaudhary, General Manager”, for giving me the
opportunity to do my summer training at “GCMMF (Amul)”. ‘Without his/her guidance,
support and valuable suggestions during the research, the project would not have been
accomplished.
My heartfelt gratitude also goes to the entire “Frozen Division (Ice Cream)” team for their co-
operation and willingness to answer all my queries, and provide valuable assistance.
I also sincerely thank “Prof.R.J.Masilamani”, my faculty mentor at BIMTECH, who provided

valuable suggestions, shared his/her rich corporate experience, and helped me script the exact
requisites.
Last, but not least, I would like to thank all Distributors/Dealers/Customers for sharing their
experience and giving their valuable time to me during the course of my project.
Letter of Transmittal
Date: June 15, 2015
Mr. Raveen Chaudhary,

GCMMF LTD., Amul
D-24/1, Institutional Area
Janakpuri, New Delhi
Dear Sir,
Re: Summer Project Report
Attached herewith is a copy of my summer-project report “To enhance the visibility, increase the
retail penetration of Amul Ice cream and to study the consumers’ buying behaviour of Ice
creams” which I am submitting in order to mark the completion of an 8-week summer project at
your organization. This report was prepared by me using the best of practices and summarizes
the work performed on the project and is being submitted in partial fulfilment of the
requirements for award of diploma.
I would like to mention that the overall experience with the organization was very good, and
helped me to know how work is carried out in real practice with the help of your esteemed
organization. I feel honoured that I got an opportunity to work with GCMMF, Amul, a company
of great repute.
I hope I did justice to the project and added some value to the organization.
Suggestions/comments would be appreciated.
Yours truly,
Ishan Biswari
LETTER OF AUTHORIZATION
I, Ishan Biswari, a student of Birla Institute of Management Technology (BIMTECH), hereby declare that
I have worked on the project titled “To increase the retail penetration of Amul Ice cream and to study
the consumers’ buying behaviour of Ice creams” during my summer internship at GCMMF (Amul), in
partial fulfilment of the requirement for the Post Graduate Diploma in Management program.
I guarantee my study to be authentic and original to the best of my knowledge in all respects of the
process carried out during the project tenure.
My learning experience at GCMMF (Amul), under the guidance of Mr. Raveen Chaudhary has been truly
enriching.
Date: June 26, 2014 Ishan Biswari

Table of Content
SNo. Topic Page No.
1. Executive Summary 7
2. Introduction 8
2.1 Amul 8
2.2 Amul Ice cream 11
2.3 Industry Analysis 12
3. Literature Review 15
3.1 Market Penetration 15
3.2 Consumer Behavior Study 16
4. Market Study & Analysis 17
4.1 Objective 17
4.2 Methodology 17
4.3 Sampling 17
4.4 Analysis 17
5. Consumer Behavior Study & Analysis 22
5.1 Objective 22
5.2 Methodology 22
5.3 Analysis 22
6. Conclusion 36
7. Limitations 36
8. Recommendations 37
9. Exhibits 38
10. References 46
11. Glossary of Abbreviations 47

List of Charts
S.No. Label Description Page No.
1. Chart 001 Ice cream market share in India 12
2. Chart 002 Preferred buying sources of Ice creams 21
3. Chart 003 Preferred Ice cream Brands in Delhi NCR 34
List of Tables
S.No. Label Description Page No.
1. Table 001 Descriptive Statistics of overall Ice creams 22
2. Table 002 Descriptive Statistics of Amul Ice creams 23
3. Table 003 Ho1:Paired Samples Statistics 24
4. Table 004 Ho1:Paired Samples Correlations 25
5. Table 005 Ho1:Paired Samples Test 25
1. Executive Summary
The project was started on 15th April, 2015 with a meeting held at Amul’s regional office in
Janakpuri, New Delhi. In the meeting, various information regarding Amul Ice creams, its
ingredients, varieties, supply chain and the Ice cream market were provided to me to get started
with the project. The project was divided in to two parts. Part one involved the penetration of Ice
cream market by visiting the distributor (Poonam Enterprises, Kalkaji) and the retailers (around
60 outlets) in the Kalkaji area to identify their problems and aid them in increasing sales. During
my first visits in the outlets, outlets with less or no visual branding of Amul Ice cream were
identified and their visual enhancement was done in my subsequent visits. Another aspect of my
field visit was to address the retailers’ grievances. Replacement of spoiled, expired ice cream
products was an issue in some shops, which were noted and reported to the Area manager and
were subsequently resolved. With the goodwill earned through visual enhancement of shops and
the replacement issues sorted out, I convinced the retailers to keep stock of newly launched Ice
cream “Epic” and four lesser selling “one litre Tub” flavours in their shops. With proper
placement of danglers and posters of these Ice creams and ready stock to sell at outlets, the sales
were increased in the area. Also, while visiting the outlets, the trade schemes offered by
competitors were identified and some changes in the current trading schemes of Amul Ice creams
were suggested to Amul to increase penetration.
The second part of the project was focussed on identifying the attributes of Ice creams which
influence the purchasing behaviour of consumers. A survey of 180 consumers was conducted for
this purpose. From a detailed literature study, the six most important attributes found were taste,
quality, price, availability, variety and packaging. In the survey, the taste and the quality of the
ice creams came out to be the most important attributes that affect the buying decision of
consumer. The consumers were also asked to rate Amul Ice cream on a 5 point Likert scale to
identify the gap between consumers’ expectations and the perception of Amul Ice cream. In this
analysis, Amul was found at par with the expectations in quality, price, availability and
packaging whereas it lagged the expectations in taste and variety. Therefore it was recommended
to enhance these attributes to improve the perception and hence the market share of Amul Ice
creams in India.
2. Introduction
2.1 Company
Gujarat Cooperative Milk Marketing Federation Ltd. (GCMMF), is India's largest food
product marketing organisation with annual turnover (2014-15) US$ 3.4 billion. Its daily
milk procurement is approximately 14.85 million lit per day from 18,536 village milk
cooperative societies, 17 member unions covering 31 districts, and 3.37 million milk
producer members.
It is the Apex organisation of the Dairy Cooperatives of Gujarat, popularly known as

'AMUL', which aims to provide remunerative returns to the farmers and also serve the
interest of consumers by providing quality products which are good value for money. Its
success has not only been emulated in India but serves as a model for rest of the World. It is
exclusive marketing organisation of 'Amul' and 'Sagar' branded products. It operates through
56 Sales Offices and has a dealer network of 10000 dealers and 10 lakh retailers, one of the
largest such networks in India. Its product range comprises milk, milk powder, health
beverages, ghee, butter, cheese, Pizza cheese, Ice-cream, Paneer, chocolates, and traditional
Indian sweets..
The Birth of Amul
 It all began when milk became a symbol of protest.

 Founded in 1946 to stop the exploitation by middlemen.
 Inspired by the freedom movement.
The seeds of this unusual saga were sown more than 65 years back in Anand, a small town in
the state of Gujarat in western India. The exploitative trade practices followed by the local
trade cartel triggered off the cooperative movement. Angered by unfair and manipulative
practices followed by the trade, the farmers of the district approached the great Indian patriot
Sardar Vallabhbhai Patel for a solution. He advised them to get rid of middlemen and form
their own co-operative, which would have procurement, processing and marketing under
their control.
In 1946, the farmers of this area went on a milk strike refusing to be cowed down by the
cartel. Under the inspiration of Sardar Patel, and the guidance of leaders like Morarji Desai
and Tribhuvandas Patel, they formed their own cooperative in
1946.
This co-operative, the Kaira District Co-operative Milk Producers Union Ltd. began with just
two village dairy co-operative societies and 247 litres of milk and is today better known as
Amul Dairy. Amul grew from strength to strength thanks to the inspired leadership of
Tribhuvandas Patel, the founder Chairman and the committed professionalism of Dr Verghese
Kurien,who was entrusted the task of running the dairy from 1950.
The then Prime Minister of India, Lal Bahadur Shastri decided that the same approach should
become the basis of a National Dairy Development policy. He understood that the success of
Amul could be attributed to four important factors. The farmers owned the dairy, their elected
representatives managed the village societies and the district union, they employed
professionals to operate the dairy and manage its business. Most importantly, the co-
operatives were sensitive to the needs of farmers and responsive to their demands.
At his instance in 1965 the National Dairy Development Board was set up with the basic
objective of replicating the Amul model. Dr. Kurien was chosen to head the institution as its
Chairman and asked to replicate this model throughout the country.
The Amul Model

The Amul Model of dairy development is a three-tiered structure with the dairy cooperative
societies at the village level federated under a milk union at the district level and a federation
of member unions at the state level.
 Establishment of a direct linkage between milk producers and consumers by eliminating
middlemen
 Milk Producers (farmers) control procurement, processing and marketing
 Professional management
The Amul model has helped India to emerge as the largest milk producer in the world. More than
15 million milk producers pour their milk in 1,44,500 dairy cooperative societies across the
country. Their milk is processed in 184 District Co-operative Unions and marketed by 22 State
Marketing Federations, ensuring a better life for millions.
GCMMF - An Overview
Year of Establishment 1973

Members 17 District Cooperative Milk Producers' Unions
No. of Producer Members 3.37 Million
No. of Village Societies 18,536
Total Milk handling capacity per day 24 Million litres per day
Milk Collection (Total - 2014-15) 5.42 billion litres
Milk collection (Daily Average 2014-15) 14.85 million litres
Cattle feed manufacturing Capacity 6340 Mts. per day
Sales Turnover -(2014-15) Rs. 20733 Crores (US $ 3.4 Billion)
2.2 Amul Ice-cream

The journey of Amul Ice Cream began on the 10 th March, 1996 in Gujarat and with its superior
quality it was able to capture the highest market share in a short period of time. In 1997, Amul
Ice Creams entered Mumbai followed by Chennai in 1998 and Kolkata and Delhi in 2002.
Nationally it was rolled out in 1999.
Amul has always brought newness in its products and the same applies for its ice creams. Not
only it has grown at a phenomenal rate but also it has added a vast variety of flavours to its ever
growing range. Currently it offers a selection of over 200 variants.
In January 2007, Amul introduced Sugar Free & Prolife Probiotic Ice Cream, which was first-of-
its-kind in India for the health conscious.
Product Range
Product Name Amul Ice Cream
Utterly delicious ice cream made from fresh milk available in a wide range of flavours
Description
and packs.
Cone 120 ml, 100ml, 80 ml & 50 ml
Cup 125 ml, 100 ml, 80 ml, 90 ml & 40 ml
Plastic
1 litre, 750 ml, 500 ml, 125 ml, 100 ml, 80 ml & 60 ml
Container
Packing
Stick70 ml, 60 ml, 40 ml
Bulk / catering packs (5 litre, 4 litre), take home packs (2.2 litre, 1.5
Take Home litre, 1.25 litre, 1 litre), combo packs (750 ml+750ml Free) and family packs (500 ml,
Available in (Segments/Markets)
More than 800 cities across India at Amul Preferred Outlets, Amul Scooping Parlours, retail
shops, vending push carts, hotels, restaurants, canteens and caterers.
2.3 Industry Analysis
The ice cream industry in India has witnessed double digit value growth in the last five years.
Various trends that aid the growth includes- indulgence, rising disposable income, young adult
population. The seasonality associated with ice cream is also starting to fade in India. Many
international brands are entering the market and regional player are expanding their presence to
teir2 and tier 3 cities. However in a mammoth country like India, there are many challenges
related to power supply, infrastructure and cold chain availability. Expansion in the country
involves high investment. On the positive side, given that the per capita volume consumption of
ice cream in India is one of the lowest in the world, there is still a lot of room for growth.
India’s current ice-cream market is worth Rupees 3,000 crore, including the unorganised sector.
The branded market has a host of home grown and international players, namely, Amul, Kwality
Walls, Mother Dairy, Vadilal, Cream Bell, Baskin-Robbin, amongst the prominent ones. Whilst
Häagen-Dazs, Baskin-Robbins, London Dairy, New Zealand Naturals, and Hokey Pokey cater to
the high-end market, the likes of Amul, Vadilal, Cream Bell and Mother Dairy are available at
wide-ranging price points. Lately, the imported concepts such as frozen yogurt and gelatos are
gaining popularity. The more recognisable Fro-Yo brands are Cocoberry, Red Mango, and
Yogurberry, while Amore, Gelato Vinto and Gelato Italiano are popular gelato brands, and
primarily belong to the super premium to premium segments.
Increasing urbanisation, rising incomes, consumer awareness, improved cold supply chain,
growing deep freezer penetration, and growth of modern format retail facilities are giving a fillip
to the country’s Ice cream business, which is highly capital intensive.
Ice-cream is one of the fastest growing food categories in India. Notably, the business is seasonal
in nature with April to June being the peak season and November to January the lean months.
Sales slacken during the monsoons also.In recent years, consumption of ice-cream and other
frozen novelties in winters has been on the rise. A mix of factors is responsible for lessening the
seasonal impact and contributing to the overall growth of the country’s ice-cream industry such
as changing consumer perception, capturing regional variations, diverse consumer segments,
favourable retail location, product range and innovation, festivities, and marketing and
promotions.
Currently growing at 12-15 percent annually, the future prospects of India’s ice-cream market
seem promising for manufacturers, suppliers and retailers. A number of regional players have
also started expanding. The entry of new players will further intensify the struggle to get a bigger
market share.
Key Competitors
ICE CREAM MARKET SHARE ( IN %) 2014, INDIA

AmulKwality WallsVadilalCream BellMother DairyOthers
15.2
31.5
16
6
18.3
13
Chart 001
Kwality Walls: As seen in Chart 001, Kwality walls stands second in the Market share (18.3%)
in India. Kwality Wall's, is an ice cream brand owned by the Anglo-Dutch food and personal
care conglomerate Unilever. It is a major producer and distributor of frozen dessert
products in India, Pakistan, Sri Lanka, Malaysia and Singapore.
Kwality Walls is the company of Hindustan Unilever, the arm of Unilever in India. It is an
amalgamated brand name created out of two previously separate independent companies that
Unilever took over: Kwality of India and Walls of Great Britain. In some countries like India,
most of Kwality Wall's products are not milk based ice cream but rather vegetable fat based
frozen desserts.
Kwality, the original Indian company, was founded in 1956, and was the first in the region to
import machinery for the mass production and sale of ice cream on a commercial scale. In 1995,
in view of the growth potential of the frozen confections market, Kwality entered into an
agreement with Lever, and has since been known by its current umbrella name. At the same time,
other brands acquired by Hindustan Unilever, such as Gaylord-Milkfood, were phased out in
favour of promoting the Kwality Wall's brand. This arrangement allows for local production and
sale of Wall's products that are popular in its home market, such as the Cornetto cone, and to
create local variations on others, such as the Feast Jaljeera Blast. Kwality Wall's was ranked
464th among India's most trusted brands according to the Brand Trust Report 2012, a study
conducted by Trust Research Advisory. In the Brand Trust Report 2013, Kwality Wall's was
ranked 632nd among India's most trusted brands and subsequently, according to the Brand Trust
Report 2014, Kwality Wall's was ranked 382nd among India's most trusted brands.
Mother Dairy ice creams have consistently gained market share in the recent years and they
now stand third at all India level with 15.2% of market share. Mother Dairy sells milk and milk
products (Milk, cultured products, Ice creams, Paneer and Ghee) at a national level through its
sales and distribution networks for marketing food items.
Mother Dairy sources significant part of its requirement of liquid milk from dairy cooperatives.
It is Mother Dairy’s constant endeavor to ensure that milk producers and farmers regularly and
continually receive market prices by offering quality milk, milk products and other food products
to consumers at competitive prices and uphold institutional structures that empower milk
producers and farmers through processes that are equitable.
The company derives significant competitive advantage from its unique distribution network of
bulk vending milk booths, retail outlets and mobile units. Mother Dairy ice creams launched in
the year 1995 have shown continuous growth over the years and today boasts of approximately
62% market share in Delhi and NCR. Mother Dairy also manufactures and markets a wide range
of dairy products that include Butter, Mishti Doi, Paneer, Dahi, Ghee, Cheese, UHT Milk,
Probiotic Products, Lassi & Flavoured Milk and most of these products are available across the
country.
Vadilal has a market share of 13% in India standing fourth after Amul, Kwality walls and
Mother dairy. Vadilal (Vadilal Industries Limited) has grown from a small outlet in Ahmedabad
over 80 years back. The company is also one of the largest processed food players in India with
significant exports of frozen vegetables and ready to eat snacks, curries and breads.
Vadilal’s aim is to become an Indian MNC in Ice creams and frozen foods and to provide
products and services at an affordable price without compromising on quality. Today they are the
second largest food preservative seller in Gujarat. Vadilal Industries has come a long way since
its inception in 1907, when Vadilal Gandhi, the great-grand father of Virendra R. Gandhi, Rajesh
R. Gandhi and Devanshu L. Gandhi, started a soda fountain. He passed on the business to his
son, Ranchod Lal, who ran a one-man operation, and, with a hand cranked machine, started a
small retail outlet in 1926. Eventually, Ranchod Lal's sons, Ramchandra and Lakshman,
inherited the business and they were instrumental in giving a new direction to the company. The
duo imparted a new vision to the venture and infused a spirit of calculated risk-taking into the
firm. As a result, by the 1970s, the Vadilal Company had already evolved into a modern
corporate entity.
Vadilal Industries has extensive reach. A major success factor has been its ability to cater to
different market segments through multiple product ranges. Vadilal has range of ice creams in
the country with 150 plus flavours and they are sold in a variety of more than 250 packs and
forms. The range includes cones, candies, bars, ice-lollies, small cups, big cups, family packs,
and economy packs. It offers something for all tastes, preferences and pockets.
Creambell is an ice cream company in India, established by the RJ Corporation in 2003.
Creambell is located in 19 states in India. The CEO is Nitin Arora and the company is owned by
Ravi Jaipuria promoted RJ Corp.
The company started in 2003, in collaboration with French dairy major Candia. Creambell has
approximately 15% market share in the Indian ice cream industry with a presence in 19 states
which covers the top 40 cities in India. Creambell has three manufacturing plants across
India: Baddi, Goa and Kosinear Agra, and 35,000 retail outlets across the country. According to
Creambell, the company has grown six times from 2008 to 2013.
3. Literature Review
3.1 Market Penetration
In consumer goods markets, a manufacturer plans its actions vis-à-vis both competitors
(horizontal strategic interactions) and retailers (vertical strategic interactions). With the growing
power of retailers in recent years, the vertical channel interactions have gained importance and
have become the subject of much research (for a comprehensive survey see Ailawadi (2001)).
Retailers can impact manufacturer profits in two ways: directly through the exercise of
bargaining power to negotiate lower wholesale prices and higher trade allowances (Buzzell,
Quelch and Salmon 1990) and indirectly by affecting the intensity of price competition among
manufacturers.
These studies and their results are evident in the Ice Cream market of Delhi. There is a tough in-
store competition among the top market players in this category. The retailers thereby exercise
high bargaining powers and demand for schemes from companies to increase their profitability.
Therefore, the companies have to offer schemes to retailers in order to penetrate the market.
Empirical generalisations suggest that distribution affects market share and vice versa in that no
consumer can buy a product unless it is available (Farris, Olver and de Kluyver, 1989). With the
exceptions of very high brand loyalty situations where consumers are unwilling to compromise
their choices when a brand is unavailable, sales will be lost to the available brands at a purchase
situation due to “compromised choice” (Farris, Olver and de Kluyver, 1989). In other words, the
higher the availability of the product, the more opportunity the customer has for buying the
product (Reibstein and Farris, 1995).
As these studies reveal that an adequate distribution plays an important role in increasing and
sustaining the market share. A detailed study of the cold chain distribution network of Ice cream
is an important part of this study. An effective distribution system ensures better product
availability.
Lecturer PhD Ovidiu I. MOISESCU Babeş-Bolyai University of Cluj-Napoca in his paper concluded that
Brand/Product awareness, as one of the fundamental dimensions of brand equity, is a prerequisite for the
market success of brands. It represents a main factor for a brand to be included in the buying decision
process consideration set, as most of the consumers prefer buying brands they are aware of (brands they
are familiar with or, at least, they have heard of).
Impulse buying takes place consequent to contact to in-store stimuli. In-store stimuli remind the
customer of their shopping needs thus leading to an impulse purchase Kollat & Willet, (1969).
To increase unplanned purchases of products retailers primarily use In-store stimuli as
promotional techniques. In-store display, point of purchase displays, on-shelf positions and in-
store demonstrations are promotional techniques used Abnett & Goody, (1990).
3.2 Consumer Buying Behaviour
Consumers behaviour, preferences and attitudes towards consumption of dairy products differs
substantially across countries (Bus & Worsley, 2003; Francesconi, Heerink & DHaese, 2010;
Grunert, TionBeck-Larsen & Bredahl, 2000; Hatirli, Ozkan, & Aktas, 2004; Hsu & Lin, 2006;
Richardson-Harman, 2000; Robb & Abdel-Ghany, 2007; Yee & Chin, 2007).
Therefore, while analysing the consumer, the region of market is an important consideration.
Consumers appear to have much more pragmatic considerations in mind when making their food
choice decisions. These considerations include sensory aspects of food (e.g., taste and quality)
(Powell et al., 2003). The customers prefer branded products based only on quality, availability,
price, variety, image then advertising (International Monthly Refereed Journal of Research in
Management & Technology Volume III, January’14 IS SN – 2320-0073.
Consumers use attributes as the basis for evaluating a product and attributes promise benefits
consumers seek when purchasing a product. Consumers also use attributes to make comparisons
between competitive brands. The importance of studying attributes goes beyond the physical
features of a product since consumers link attributes to benefits of purchasing and consuming
products. These benefits, or consequences, in turn lead to certain end states or values that
consumers wish to achieve (Aaker et al., 1992; Belch and Belch, 1995; Kotler, 1991; Mowen,
1993; Peter and Olson, 1994). It is important to note that it is the consumer’s perception of
product attributes that is of crucial importance to the marketer. As Lewin (1936) points out,
people respond on the basis of their perceptions of reality, not reality per se. Porter (1976)
confirms that perceptions are important to study, even if they are misconceptions of actual
events.
From the above studies it is evident that in the packaged food market, attributes like taste, price,
packaging, quality, availability and variety play an important role in building consumers
perception of the product. We need to test these attributes in the Ice cream market for their
effectiveness in affecting purchase decision of the consumer.
4. Market Study & Analysis

4.1 Objective: This part of the project aims at checking the interior and exterior visibility of Amul in
the stores, the product differentiation of Amul, and to observe & understand the order-supply chain,
trading schemes and retailers’ grievances.
4.2 Methodology: Information was gathered by personally meeting the shop owners and asking
them a pre-defined set of questions.
4.3 Sampling Size: The number of outlets in the region (near Kalkaji, New Delhi) I visited
were 60.
4.4 Analysis:
4.4.1 Product Differentiation: Ate an ice-cream today? Are you sure it was an ice-cream? Or
was it frozen desserts?
There is a thin line dividing frozen desserts and ice-creams. So, read the fine print on the
product cover to know what you are having. With my thorough go through on different
brands’ Ice cream during my field visits, I noticed that barring a few companies in the market
such as Amul, Mother Dairy, Hatsun Agro Food Ltd and Havmor, others –including Kwality
Walls (Hindustan Unilever) and Cream bell – serve frozen desserts and not ice-creams.
International brands such as Haagen Dazs, Movenpick (Nestle), Swensen's and Baskin
Robbins offer ice-creams. Vadilal sells both. When asked to the dairy businessmen, I got to
know that dairy fat costs Rs300/kg, while vegetable fat is Rs50-60/kg which makes a huge
impact on the manufacturing costs.
According to the definition of milk and milk products under the Prevention of Food
Adulteration Rules, 1955, an ice-cream is a product with not less than 10 per cent of milk
fat, whereas frozen dessert contains vegetable fat.
Making the consumers aware about this fact can make a significant impact in gaining the
market share for Amul Ice-creams.
4.4.2 Visibility of Amul: While visiting the shops, I started noting down the different visibility
requirements of different shops. Two types of requirements were identified, first type being
placement of stickers, danglers, posters and similar material of different products of Amul
inside and outside the shop. In the second type comes the glow boards, large sign boards,
wallpapers which are costly as well as require fabricators to note down the measurements by
visiting the shops and then fabricating & placing them in the shops. The posters, danglers,
stickers were carried by us (me and the salesman) to the shops in our subsequent visits and
were placed in the shops. We did visibility enhancement in 25 shops in that region. The shops
identified by me which required glow boards, sign boards were listed and handed over to the
required Amul officials to take further action.
A picture collage of visual branding done at various retail outlets in the Kalkaji & nearby area in
Delhi is shown below:
4.4.3 Margin & trade schemes: The margin on Ice creams given to the retailers by Amul is
16.5% on M.R.P. and the margin given to the Amul preferred outlet (APO) retailers is 19%. The
APO retailers can sell only Amul Ice cream to take the benefit of 3% extra margin. There were
12 APOs out of the 60 shops visited by me.
On asking the retailers, it was known that Kwality walls, Mother dairy and Cream bell give a
margin of 16.6%, 15% and 16.5% on MRP respectively. The competitors’ margin was almost
equal to that given by Amul but the major difference found between Amul and others was in
the trade schemes offered by Mother Dairy and Cream bell to the retailers.
The trade scheme offered by Amul to the retailers for the month of April was
For orders worth Rs.4500 & above Product worth Rs.165 free
As we can see that the minimum amount for which any scheme applies is Rs.4500 whereas the
starting schemes offered by Cream Bell & Mother Dairy were at the order amount of as low as
Rs.2000 Rs.2500 respectively. Therefore, such schemes offered by competitors were affecting
the sales of Amul Ice cream, especially in the smaller retail stores where the retailers prefer to
order smaller amounts of Ice cream and earn greater margins through schemes on lower value
orders. There were around 30 such small stores out of the 60 visited by me in the Kalkaji and
nearby region.
It was suggested by me to the Amul officials that Amul should also offer a scheme on the
lower order range to the retailers. After observing and analysing the data provided the company
revised its scheme for the month of May. The new schemes started at an order of Rs.3500
instead of Rs.4500.
4.4.4 Price:
Price of a product is one of the 4 P’s of marketing and is significantly important. The prices of
different products offered by different Ice-cream companies can be compared with each other
by getting their prices converted in to price-quantity ratios since different quantities of different
flavours are offered at different companies. As per my analysis, the price quantity ratios of
Amul, Kwality walls and Mother dairy were close to each other. The comparative prices of
Cream Bell were found lowest which were just below the prices of Vadilal.
4.4.5 Retailers’ Grievances:
Damage & Replacement: During my visits to the retail and other outlets selling Amul Ice
cream, the retailers gave feedback that there is a lack of proper process regarding replacement
of damaged products. Sometimes the Ice cream supplied to them is partially melted which they
keep in their outlets to save it from complete damage and are assured by delivery team that it
will be acknowledged later. But retailers say that they do not get replacements for such cases in
time. The damaged Ice creams require space in deep freezers thereby causing less space for
fresh stock i.e. less inventory.
I suggested following points to minimize this problem-
 The supply shall be done using vehicles with installed deep freezers to avoid supply of
melted Ice cream especially for long distance deliveries.
 The Ice cream shall be properly covered with dry ice in case of deliveries done with
non- freezer vehicles and these vehicles shall be used only for short distant deliveries.
 Salesmen (para sales managers) should be given the responsibility to handle the
retailer’s grievances, i.e. they shall be empowered to analyze and take decisions
regarding replacements (wherever applicable).
4.4.6 Order & Supply chain:

The requirements in the supply chain network for Ice Creams are different from other packaged
food products. For Ice creams we need to maintain a temperature of -18 degree centigrade
throughout its supply from manufacturing unit to its selling point. Amul has an efficient and the
largest cold chain network across the country. The practices adopted by Amul for this purpose
are as follows:
1. An efficient cold chain network- Amul has the largest cold chain network (over 18000
refrigeration units) in India. There are temperature data loggers & RFID tags in place, used to
monitor the temperature history of the truck and warehouse. Additionally, there are Chilling
Units in place inside the Dairy Co-ops as well as in the trucks carrying the milk.
2. An efficient procurement mechanism – bringing the suppliers & consumers closer. Suppliers
do the procurement via Dairy Co-ops, who in turn send the raw material to various dry & cold
warehouses, and ultimately it ends up as a packaged product sold to the consumer. This is not
followed by other ice cream manufacturers such as Vadilal, Cream Bell and Mother Dairy.
3. A precise Supply Chain – This is lacking in most ice cream manufacturing units. Because milk
is directly sourced from the farmers, it is cheaper to procure. Most market players outsource this
part to dairy farms. Also the distribution channel is not as effective as that of Amul. Plus, with
their unique “Umbrella Brand” strategy, the Supply Chain becomes even more effective because
the amount of milk sourced would be enough not just for making ice creams, but other products
as well.
4. Effective Use of Information Technology & Automation – The presence of EIAS (Enterprise
wide Integrated Application System), GIS (Geographic Information System) and DISK (Dairy
Information System Kiosk) makes Amul a formidable presence in the entire ice cream industry.
The integration of ERP with the Supply Chain provides scope for effective forecasting, enhanced
milk production capabilities, and inventory tracking & management.
The cold chain network explained above is the strength of Amul. Despite of having such an
efficient system, I observed certain areas of concern in the order-supply-collection chain between
retailers and distributor. Although Amul has supplies to numerous outlets it is seen that
distributors are finding it difficult to deliver supplies in the stipulated time leading to retailer
inconvenience.
Many retailers were found unsatisfied with the delayed and untimely supply of Ice creams in the
Kalkaji distributor area. I reported the concerned issues regarding this to the Amul to take
necessary action. Some corrections in the process such as proper scheduling of weekly supplies
to the retailers and maintaining a pre-determined time cycle of deliveries would minimize such
issues effectively.
4.4.7 Deep freezer schemes: The retailers keep Ice creams in the deep freezers for maintaining
the required low temperatures. Amul has launched the HADF (humara apna deep freezer)
scheme for retailers. In this scheme, if the retailers buy deep freezers through Amul, they get free
Ice creams which worth as per the size of the deep freezer booked. For example, if a retailer
books a deep freezer of 400litre capacity, it costs him around Rs.27000, and under HADF
scheme the retailer gets Ice cream worth rupees 10000 free. The payment of Rs27000 has to be
done at the time of delivery of the deep freezer and the free Ice creams gets delivered to the
retailer within 45 days.
The HADF scheme is good for the retailers overall but certain flexibility in the scheme can
increase the business for Amul. Most of the small scale retailers like to keep deep freezer on
installment basis or security basis since, immediate payment of 27000 rupees is a heavy
amount for them. Therefore, instalment basis and security basis schemes shall also be offered
to some of the retailers.
4.4.8 Epic and Tubs Placement: Amul launched their new stick Belgium chocolate Ice cream
“EPIC” on 18th February, 2015 in Delhi. It was one of our many field tasks during the project
to place the stock of Epic in outlets where it was not in stock and pump its sales in the outlets
where it was already in stock. The task was started after the doing the visual branding work
and resolution of replacement issues. With the goodwill earned through these activities and the
detailed explanation of the product details to the retailers, the retailers were convinced to stock
the Epic and four new flavours of tubs in their shops. The four flavours of 1 one litre tubs were
King Alphonso, Cream & Cookies, Orange and Chococream. The data of the stocked items and
shop details are listed in exhibit 9.4 and 9.5. The overall net sales data of Ice creams is listed in
exhibit 9.3.
EPIC Stick Ice cream.

5. Consumer Behaviour Study & Analysis

5.1 Objective: Conduct survey on the consumers to know about the attributes of Ice cream
affecting their buying decision and their perception of Brand Amul ice-cream.
5.2 Methodology:
5.2.1 Data collection: Data was collected through a questionnaire filled by consumers in Delhi
NCR region.
5.2.2 Sampling size: The sampling size for the study of consumer behaviour was 180
respondents, selected randomly in the Delhi NCR region.
5.2.3 Analysis: Analysis was conducted using SPSS tool and MS Excel presented with the help
of tables and pie charts.
5.3 Analysis:
To begin with, the respondents were asked whether they recognise Amul Ice cream or not, to
know about the brand awareness of Amul. Each one of the 180 respondents gave positive
response i.e. all of them have heard about the Amul Ice creams already. This shows that a very
satisfactory awareness exists of Amul in the market.
Further we asked them about their source of buying Ice creams i.e. whether they buy it from
retail stores or Ice cream parlours or push carts or from any other source. The following results
were found-
Preferred Source Distribution
40, 22% 46, 26%
20, 11%
74, 41%
General StoreIce cream ParlourModern RetailPush cart
Chart 002
The Ice cream parlours emerged to be the most visited sources of Ice creams with 41 percent
preference followed by General stores at 26%. Push cart closely followed general stores and
remained at 22% and followed by Modern retails at 11%.
Proceeding further, with reference to the literature review, six attributes of Ice creams were
analysed, namely the Taste, Price, Packaging, Availability, Quality and Variety. Firstly, we
asked respondents about the importance they give to these attributes while buying Ice creams or
we can say the consumers’ expectations regarding these attributes. Using the SPSS tool, I
applied the
“Descriptive Statistics” in the “Analyze” option to the acquired data. Following results were
found-
Descriptive Statistics of overall Ice creams
N Range Minimum Maximum Mean Std. Deviation Variance
Statistic Statistic Statistic Statistic Statistic Std. Error Statistic Statistic
Taste 180 4.00 1.00 5.00 4.3111 .07691 1.03183 1.065

Price 180 4.00 1.00 5.00 3.5444 .08200 1.10014 1.210
Packaging 180 4.00 1.00 5.00 3.1667 .07328 .98310 .966
Availability 180 4.00 1.00 5.00 3.3778 .09427 1.26471 1.600
Quality 180 4.00 1.00 5.00 4.2556 .07438 .99789 .996
Variety 180 4.00 1.00 5.00 3.8111 .07791 1.04528 1.093
Valid N (listwise) 180
Table 001
Given in the table 001, is the output generated from Descriptive statistics tool of SPSS. The data
in the column labelled N is showing the number of respondents as 180. The 5 point Likert scale
was used in the questionnaire, therefore the minimum and maximum values are given as 1 and 5
respectively in the table. From the mean column we observe that Taste has the maximum mean
of
4.31 amongst all other attributes. Taste is followed by Quality whose mean is 4.25.
According to the means, we can rank the importance of these attributes as observed from the
data collected from 180 respondents. Taste is ranked 1st, Quality ranked 2nd, Variety ranked 3rd,
Price ranked 4th, Availability ranked 5th and Packaging ranked last.
After getting an insight on the consumers’ expectations on the above mentioned six attributes of
Ice creams, the consumers’ were asked to rate Amul Ice creams on the same six attributes. The
Descriptive statistics for Amul Ice creams using SPSS tool were generated as follows-
Descriptive Statistics of Amul Ice creams
N Range Minimum Maximum Mean Std. Deviation Variance
Statistic Statistic Statistic Statistic Statistic Std. Error Statistic Statistic
Amul Taste 180 3.00 2.00 5.00 3.7444 .05522 .74085 .549
Amul Price 180 4.00 1.00 5.00 3.5667 .07139 .95777 .917
Amul Packaging 180 3.00 2.00 5.00 3.6222 .06161 .82662 .683
Amul Availability 180 4.00 1.00 5.00 3.4556 .07891 1.05873 1.121
Amul Quality 180 4.00 1.00 5.00 4.1000 .05577 .74818 .560
Amul Variety 180 4.00 1.00 5.00 3.5000 .06425 .86198 .743
Valid N (listwise) 180
Table 002
Given in the table 002, is the output generated from Descriptive statistics tool of SPSS. The data
in the column labelled N is showing the number of respondents as 180. The 5 point Likert scale
was used in the questionnaire, therefore the minimum and maximum values are given as 1 and 5
respectively in the table. From the mean column we observe that Quality has the maximum mean
of 4.10 amongst all other attributes. Quality is followed by Taste whose mean is 3.74.
According to the means, we can rank these attributes of Amul Ice creams as observed from the
data collected from 180 respondents. Quality is ranked 1st, Taste ranked 2nd, Packaging ranked
3rd, Price ranked 4th, Variety ranked 5th and Availability ranked last.
The data in the table 002 clearly suggests that availability of Amul Ice cream needs significant
improvements as suggested in the Market study analysis section of this report.
From Table 001 and 002, we observed the ratings mean generated from the respondents data
collection through the questionnaire of the attributes of overall Ice creams and Amul Ice creams
respectively. The Questionnaire was developed on the basis of six hypotheses which we will test
now using Paired-Samples T test in SPSS tool.
Interpretation of output from paired-samples t-test: There are two steps involved in
interpreting the results of this analysis.
Step 1: Determining overall significance- In the table labelled Paired Samples Test we need to
look in the final column, labelled Sig. (2-tailed)—this is our probability value. If this value is
less than .05 (e.g. .04, .01, .001), then we can conclude that there is a significant difference
between our two scores.
Step 2: Comparing mean values- Having established that there is a significant difference, the
next step is to find out which set of scores is higher. To do this, look in the first printout box,
labelled Paired Samples Statistics. This box gives us the Mean scores for each of the two sets of
scores.
The first hypotheses is stated as-
Ho1: There is a significant difference between the consumers’ desired Taste and the taste of
Amul Ice cream.
Now, applying Paired-Samples T test (with 95% confidence level) on the respondents’ data for
the expected taste and Amul Ice creams taste, we get
T-Test
Paired Samples Statistics
Mean N Std. Deviation Std. Error Mean
Pair 1 Taste
4.3111 180 1.03183 .07691
Amul Taste 3.7444 180 .74085 .05522
Table 003
Paired Samples Correlations
N Correlation Sig.
Pair 1 Taste & Amul Taste

180 .119 .111
Table 004
Paired Samples Test
Sig.
Paired Differences T Df
(2-
tailed)
Std. Std. 95% Confidence

Mean Deviatio Interval of the
n Error Mean Difference
Lower Upper
Pair 1 Taste - Amul

.56667 1.19636 .08917 .39070 .74263 6.355 179 .000
Taste
Table 005
As seen in Table 003, the means of Expected taste and Amul’s taste are 4.31 and 3.74
respectively. From Table 004, we can see that there is a positive correlation between the
expected and Amul’s taste but is of low value i.e. 0.119. Also, from Table 005 it is observed that
the paired difference in mean of the tastes is 0.56 and the Sig. (2- tailed) is .000 which proves the
hypotheses H01 to be true. Therefore, we deduce that there is a significant difference between
the consumers’ desired Taste and the taste of Amul Ice cream and it is recommended that Amul
shall work on improving its taste and communicate the improvements with its consumers
consistently.
The second hypotheses is stated as-

Ho2: There is a significant difference between the consumers’ desired Price and the Price
of Amul Ice cream.
Now, applying Paired-Samples T test (with 95% confidence level) on the respondents’ data for the
expected price and Amul Ice creams price, we get
T-Test
Pair 1 Price 3.5444 180 1.10014 .08200
Amul Price
3.5667 180 .95777 .07139
Table 006
N Correlation Sig.
Pair 1 Price & Amul Price

180 .162 .030
Table 007
Paired Samples Test
Paired Differences
95% Confidence Interval of

the Difference
Std. Std. Error
Mean Deviation Mean Lower Upper
t df Sig. (2-tailed)
Pair 1 Price - Amul Price

-.02222 1.33687 .09964 -.21885 .17441 -.223 179 .824
Table 008
As seen in Table 006, the means of Expected price and Amul’s price are 3.54 and 3.56
expected and Amul’s price. Also, from Table 008 it is observed that the paired difference in
mean of the tastes is -0.02 only and the Sig. (2- tailed) is .824 which proves the hypotheses H02
to be false. Therefore, we deduce that there is no significant difference between the consumers’
desired Price and the Price of Amul Ice cream. Hence, we can say that there is some cushion
available for Price increment of Amul Ice creams.
The third hypotheses is stated as-

Ho3: There is a significant difference between the consumers’ desired Packaging and the
Packaging of Amul Ice cream.
expected packaging and Amul Ice creams packaging, we get
T Test
Pair 1 Packaging 3.1667 180 .98310 .07328
Amul Packaging
3.6222 180 .82662 .06161
Table 009
N Correlation Sig.
Pair 1 Packaging & Amul Packaging

180 .312 .000
Table 010
Paired Samples Test
Sig. (2-
Paired Differences tailed)
95%
Confidence
Std. Std. Interval of
Mean Deviatio the T Df
n Error Difference
Mean Lower Upper
Pair 1 Packaging - Amul

-.45556 1.06924 .07970 -.61282 -.29829 -5.716 179 .000
Packaging
Table 011
As seen in Table 009, the means of Expected price and Amul’s price are 3.16 and 3.62
expected and Amul’s price. Also, from Table 011 it is observed that the paired difference in
mean of the tastes is -0.45 and the Sig. (2- tailed) is .000 which proves the hypotheses H03 to be
True. Therefore, we deduce that there is a significant difference between the consumers’ desired
packaging and the packaging of Amul Ice cream and the negative sign indicates that the
packaging of Amul Ice cream is better than expected by consumers which could be considered as
Amul’s Strength.
The fourth hypotheses is stated as-

Ho4: There is a significant difference between the consumers’ desired Availability and the
Availability of Amul Ice cream.
expected availability and Amul Ice creams availability, we get
T-Test
Pair 1 Availability 3.3778 180 1.26471 .09427
Amul Availability
3.4556 180 1.05873 .07891
Table 012
N Correlation Sig.
Pair 1 Availability & Amul Availability 180 .221 .003
Table 013
Paired Samples Test
Paired Differences
95%
Confidence
Std. Std. Interval of Sig.
Mean Deviatio the t Df
n Error Mean Difference (2-
Lower Upper tailed)
Pair 1 Availability –
-.07778 1.45876 .10873 -.29234 .13678 -.715 179 .475
Amul Availability
Table 014
As seen in Table 012, the means of Expected availability and Amul’s availability are 3.37 and
3.45 respectively. From Table 013, we can see that there is a positive correlation between the
expected and Amul’s availability. Also, from Table 014 it is observed that the paired difference
in mean of the availabilities is -0.07 only and the Sig. (2- tailed) is .475 which proves the
hypotheses H04 to be false. Therefore, we deduce that there is no significant difference between
the consumers’ desired availability and the availability of Amul Ice cream. Hence, we can say
that there is very low requirement of improving the availability of Amul Ice cream in Delhi.
The fifth hypotheses is stated as-

Ho5: There is a significant difference between the consumers’ desired Quality and the
Quality of Amul Ice cream.
expected quality and Amul Ice creams quality, we get
T-Test
Pair 1 Quality 4.2556 180 .99789 .07438
Amul Quality 4.1000 180 .74818 .05577
Table 015
N Correlation Sig.
Pair 1 Quality & Amul Quality

180 .160 .032
Table 016
Paired Samples Test
Paired Differences
95% Confidence
Interval of the Difference
Std. Std. Sig.
Mean Deviatio Lower Upper t Df
n Error Mean (2-
tailed)
Pair 1 Quality - Amul
.15556 1.14737 .08552 -.01320 .32431 1.819 179 .071
Quality
Table 017
As seen in Table 015, the means of Expected quality and Amul’s quality are 4.25 and 4.10
expected and Amul’s quality. Also, from Table 017 it is observed that the paired difference in
mean of the qualities is 0.15 and the Sig. (2- tailed) is .071 which proves the hypotheses H05 to
be false. Therefore, we deduce that there is no significant difference between the consumers’
desired quality and the quality of Amul Ice cream but a small mean difference of 0.15 indicates
that the quality of Amul Ice cream is almost at par with the consumers’ expectations and only a
slight improvement in quality can help delight the consumers.
The sixth hypotheses is stated as-
Ho6: There is a significant difference between the consumers’ desired variety and the
variety in Amul Ice cream.
expected variety and Amul Ice creams variety, we get
T-Test
Pair 1 Variety 3.8111 180 1.04528 .07791
Amul Variety 3.5000 180 .86198 .06425
` Table 018
N Correlation Sig.
Pair 1 Variety & Amul Variety 180 .143 .056
Table 019
Paired Samples Test
Paired Differences
95%
Confidence
Std. Std. Interval of Sig.
Mean Deviatio the t Df
n Error Mean Difference (2-
Lower Upper tailed)
Pair 1 Variety - Amul

.31111 1.25644 .09365 .12631 .49591 3.322 179 .001
Variety
Table 020
As seen in Table 018, the means of Expected variety and Amul’s variety are 3.81 and 3.50
expected and Amul’s variety. Also, from Table 020 it is observed that the paired difference in
mean of the varieties is 0.31 and the Sig. (2- tailed) is .001 which proves the hypotheses H06 to
be true. Therefore, we deduce that there is a significant difference between the consumers’
desired variety and the variety in Amul Ice cream and therefore Amul shall increase variety in its
products to gain more market share in the Ice cream market.
One more question was added in the questionnaire to check the Ice cream brand preferences of
respondents in Delhi NCR region. We received the following results-
Preferred Brand in Delhi NCR
Others
9% Amul
Vadilal 22%
10%
Cream Bell 6%
Mother Dairy 15%
Kwality Walls 38%
AmulKwality WallsMother DairyCream BellVadilalOthers
Chart 003
In spite of having a market share of nearly 32% in India, Amul Ice cream came as a second
choice (at 22%) of consumers in Delhi NCR region. This is a matter of concern for the company.
Kwality walls emerged as the first choice (at 38%) for consumers. Mother dairy (at 15%) and
Vadilal (at 10%) were ranked 3rd and 4th by the consumers.
6. Conclusion
In the Market study (both primary and secondary) of Ice creams, certain important points were
found. To start with, it is evident that except a few companies in the market, most of them serve
frozen desserts (including key players like Kwality walls and Vadilal) and not ice-creams. As
Amul Ice creams are actually Ice creams, this can be considered as a big strength of Amul. The
visibility of Amul was not up to the mark in many areas, although we did enhance the visibility
during the course of this project but this enhancement shall be done on regular basis. In addition
to the 16.5% margin given to retailers by Amul that is almost equivalent to that provided by its
competitors, the other trading schemes (like giving free Ice creams of certain amount to the
retailers on an order of certain minimum amount) offered by Amul were not at par with the
competitors. Amul shall keep a track of these competitors’ schemes running in the market and
develop its scheme accordingly. This is important since the retailers prefer to stock and sell Ice
cream brands which offer them higher net margins. The requirements in the supply chain
network for Ice Creams are different from other packaged food products and Amul has an
efficient and the largest cold chain network across the country. Amul has an upper edge on its
competitors on this aspect, but it is important to keep an eye on the distributor’s supply from
distributor’s storage facility to the retailers in order to minimize damaged supply issues. During
my visits to the retail and other outlets selling Amul Ice cream, the retailers gave feedback that
there is a lack of proper process regarding replacement of damaged products and should be
looked upon by the company.
In the Consumer study through a survey in Delhi NCR region, it was found that the taste and
quality of an ice cream are the most critical attributes which affect the buying decision of
consumers. While on further research on Amul Ice cream it was found that Amul’s quality is at
par with the consumers’ expectations whereas its taste needs some improvement to meet the
consumers’ expectations.
7. Limitations:
 The market study was restricted to a limited area in Delhi.

 Some of the retailers did not have enough time while attending their customers to provide
us the required information. Many of the retailers do not provide information of the
competitor brands.
 Sampling was conducted in random manner. The data might not be representative of the
entire population.
 The duration of the project was short, so there was less scope for in-depth evaluation.
8. Recommendations:
1) As we know that Amul Ice creams use milk fat (not vegetable fat) in its production which
differentiates it from its competitors, this superior quality should be made a part of its
advertising campaigns to create awareness among the consumers. This can significantly
help Amul gaining market share.
2) In-store stimuli remind the customer of their shopping needs thus leading to an impulse
purchase, to increase unplanned purchases of products, it is recommended that Amul
should carry on such visual enhancement activities in the retail outlets on regular basis to
achieve the desired sales targets.
3) Most of the retail outlets selling ice creams are medium scale businessmen who prefer to
give small yet regular orders, therefore trade schemes should be designed in such a
manner that would lure these businessmen to give orders preferably to Amul. The
information regarding trade schemes offered by competitors should be updated regularly
to Amul office by its Para sales Managers to match the competition.
4) The supply shall be done in vehicles with installed deep freezers to avoid supply of
melted Ice cream especially for long distance deliveries.
5) The Ice cream shall be properly covered with dry ice in case of deliveries done with non-
freezer vehicles and these vehicles shall be used only for short distant deliveries.
6) Salesmen (para sales managers) should be given the responsibility to handle the retailer’s
grievances, i.e. they shall be empowered to analyze and take decisions regarding
replacements (wherever applicable) of damaged Ice creams.
7) The HADF scheme is good for the retailers but certain flexibility in the scheme can
increase the business of Amul. Therefore, instalment basis and security basis
schemes shall also be offered to some of the retailers who are unable to make heavy
one-time payments for deep freezers.
8) Many retailers were found unsatisfied with the delayed and untimely supply of Ice
creams in the Kalkaji distributor area. Some modifications in the process such as proper
scheduling of weekly supplies to the retailers and maintaining a pre-determined time
cycle of deliveries would minimize such issues effectively.
9) In the survey conducted in Delhi NCR region, it was known that Ice creams parlours
(both multi brand & Amul parlours) were the most preferred source of buying Ice creams
for consumers. Therefore, in times of short supplies of any product from manufacturing
units, these parlours should preferably be supplied the products so that least number of
consumers get affected by the shortage.
10) Out of the six attributes rated by consumers in the survey conducted in Delhi NCR
region, it was found that Amul Ice creams need improvement in only two attributes, they
are Taste and Variety. The company shall take necessary actions regarding this.
9. Exhibits
9.1 Questionnaire for Consumer behaviour study.
Name _
1) Have you heard about Amul Ice-cream?
Yes
No
2) From where do you buy an Ice-Cream?
General Store
Ice-cream Parlor
Modern Retail Shop
Push Cart
3) Rate on a scale of 1 to 5 the importance for you of following attributes while buying an Ice
cream.
1 2 3 4 5
Taste
Price
Packaging
Availability
Quality
Variety
4) Which brand’s Ice-cream do you like most?

Amul
Kwality walls
Mother Dairy
Cream bell
Vadilal
Other
5) Rate on a scale of 1 to 5 the taste of Amul Ice-Cream?

1 2 3 4 5
Worst Best
6) Rate on a scale of 1 to 5 the price of Amul Ice-Cream?
1 2 3 4 5
Low High
7) Rate on a scale of 1 to 5 the packaging of Amul Ice-cream?
1 2 3 4 5
Poor Excellent
8) Rate on a scale of 1 to 5 the availability of Amul Ice-
cream? 1 2 3 4 5
Poor Excellent
9) Rate on a scale of 1 to 5 the quality of Amul Ice-
cream? 1 2 3 4 5
Poor Excellent
10) Rate on a scale of 1 to 5 the variety in Amul Ice-cream?
1 2 3 4 5
Poor Excellent
9.2 Questionnaire for Retailer Survey:-
Name of the shop:

Retailer Name:
Address:
1) Do you stock Amul Ice-cream?

a) Yes
b) No
2) If yes, what varieties of Amul Ice-cream do you preferred to store?

a) Sticks
b) Cones
c) Cups
d) Couple Packs
e) Family Packs
f) All of them.
3) If No, Why?
a. Absence of packaging date
b. Low margin
c. No replacement for leakage
d. Low distribution
4) Which is the most preferable brand of Ice-cream that you stock?
-walls
-Cream
5) From where do you get Amul Ice-cream?

a) Distributors
b) Other suppliers
6) Are you satisfied with Amul distributor?

a) Yes
b) No
7) Is there any other problem with Amul? If Yes, Please specify.
---------------------------------------
9.3 Amul Ice cream Retailers' Monthly sales Calculation from Poonam Enterprises:
Name Of Student : Ishan Biswari Orders
from
15/04/15
to
14/05/15
Distributor Name: Poonam Enterprises Name of
PSM/SA
LESMA
N:
Sandeep
S.No. Name of Address Contact Order Opening Opening Closing Actual Sales
Outlet No Total for Stock Stock on Stock (opening +
month Value (in Date Value (in order total -
(in Rs.) Rs.) Rs.) on closing)
14/05/15
1 Reliance A-32, Dayanand 011 13000 1500 15/04/15 1600 12900
fresh colony, Lajpat 2623
nagar 6727
2 Kamlesh A-1, Siddharth 011 12500 1000 15/04/15 1100 12400
store Nagar, 263416
Nizamuddin 50
3 Arora Prakash 981850 15500 1600 15/04/15 1400 15700
General Mohalla, sant 6350
store nagar, lajpat
nagar.
4 Bansal A-1, Siddharth 011 9000 900 15/04/15 1100 8800
Medicos Nagar, 263432
Nizamuddin 87
5 Star Nizamuddin 954017 19500 5000 15/04/15 4500 20000
Enterpri railway station 7351/
ses 783495
0977
6 V.Siddhi L-25, double 858698 14500 2000 15/04/15 2100 14400
store storey, 9159
dayanand
colony lajpat
nagar
7 Khidmat E-9, ground 011- 5780 1000 15/04/15 1100 5680
bar & floor, Kalkaji 405738
restaura 82
nt
8 Tan 25, Kailash hills 011- 2000 300 15/04/15 500 1800
Medicos comm complex, 682183
east of kailash 4
9 Vishal central rd., 991008 32000 2000 15/04/15 2200 31800

neighbor bhogal, 8274
hood Jangpura Delhi
shop
10 Ahuja A-20, Dayanand 986877 9000 1800 15/04/15 1700 9100
general colony, Lajpat 1786
store nagar
11 Bansal A-1, Siddharth 011 12000 1200 15/04/15 1100 12100
Store Nagar, 263485
Nizamuddin 50
12 Sai 68, Bhagwan 996800 9000 1200 15/04/15 1000 9200
Parlor Nagar, 2666
Nizamuddin
13 Nagar B-28, Amrit 931287 4500 0 15/04/15 1100 3400
fastfood puri, Sant Nagar 1988
14 Nagina Noor Nagar, 880024 14500 1500 16/04/15 1300 14700
Traders Jamia 1588
15 Univers Noor Nagar, 989943 15500 1600 16/04/15 1700 15400
al Jamia 1824
Bakery
16 Selvo g-104, Abul 981197 16500 1500 16/04/15 1500 16500
Store fazal 0162
enclave,Okhla
17 M/s Al- Abul fazal 852718 18000 2000 16/04/15 2100 17900
alif enclave- 3770
Amul II,Okhla
Parlor
18 Eat & Abul fazal 783855 9300 2000 16/04/15 1800 9500
Joy enclave- 0785
II,Okhla
19 Himani Gali no 5, 995846 16000 1400 16/04/15 1200 16200
Store govindpuri 2619
20 Snacks Govindpuri 921240 20000 1800 16/04/15 1900 19900
Corner extn, Kalkaji 3327
21 Sufia Jamia Nagar, 935065 32500 2500 16/04/15 2300 32700
store Okhla 5873
22 The Batla house 858792 19500 0 16/04/15 2000 17500
Home near harimasjid, 6881
Store Okhla
23 Quasim Jamia Nagar, 931259 33000 2500 16/04/15 2000 33500
Store Okhla 8140
24 Riyaan N-140, abul 989168 9000 800 16/04/15 1000 8800
store fazal enclave 557
gali no 5
25 Janta Batla house, 935091 8000 1000 16/04/15 900 8100
Dairy Okhla 7752
26 Fatima Abul fazal 844711 9000 700 16/04/15 1000 8700
Store enclave,Okhla 6428
27 Ilqa G D-2, Jamia nil 16/04/15

merchan nagar, Okhla
t
28 Alam B-20, Okhla 989166 nil 16/04/15
General vihar 4231
Store
29 Radhey Govindpuri 965020 13500 1000 15/04/15 1100 13400
Shyam extn, Kalkaji 3639
Dairy
30 Jhamb Shop no 12/1, 989197 4500 1300 15/04/15 1500 4300
Dairy Govindpuri, 0034
New Delhi
31 AKN Harinagar, near 705318 12000 2000 17/04/16 1500 12500
store Sai Mandir, 4165
Badarpur
32 Balaji Main Jaidpur 997154 9000 1500 17/04/16 1200 9300
Paneer road,Badarpur 8483
Bhandar
33 Al rayan Matke wali gali, 989161 10500 1200 16/04/15 900 10800
Jamia 6549
34 Shivsha J/14, Harinagar, 999937 9000 1400 16/04/15 1200 9200
kti Jaidpur, 1157
Badarpur
35 Shyam Centrel: m-17, 913676 9000 1500 15/04/15 1500 9000
Dairy Kalkaji 4604
and
Catering
36 Manoj 971880 11000 2000 15/04/15 1800 11200
Super 4103
Store
37 New Gali no 8, 981177 13500 1700 15/04/15 1200 14000
super govindpuri 9210
cosmetic
38 Babulal Gali no 5, 981010 12500 1200 15/04/15 1000 12700
Gupta Govindpuri, 2687
Store New delhi
39 IGA Banaras house, 991099 nil 15/04/15
India Govindpuri 8140
store
40 In & Out Nehru place nil 15/04/15
petrol Pump
41 Subhash 371/5, 12000 1000 15/04/15 1300 11700
store Govindpuri,
New Delhi
42 Mahavir 14A, Gali no 987113 9000 2000 15/04/15 1500 9500
Bakery 27, 80897
Tughlakabad
extn. New Delhi
43 Eatwill Humdard 989933 15500 2100 15/04/15 1600 16000
food University 0322
44 Yamuna Yamuna co-op 011- Ordered 15/04/15

stores soceityAlakhna 260015 Freezer
nda 29
45 Shivam D-107, Lajpat 981137 9000 1300 15/04/15 1200 9100
Dairy Nagar 9978
46 Hans C market shop 694394 7500 1200 15/04/15 1000 7700
Bakers no c-15, Sarita 6
Vihar
47 C-Bony Shop no 2, 697115 6000 800 17/04/16 1000 5800
Dept DDA market, 3
Store Badarpur
48 Kaptan Shop no 1, 931252 9000 1100 17/04/16 1200 8900
Gen DDA market, 0541
Store Badarpur
49 Shree 65-B, Baanke 17/04/16 0
Shyam laal market,
Gen Badarpur
Store
50 Dinesh 32, Nehru 954037 Closed. 17/04/16
Store colony, 3077
BADARPUR
51 Ashu Plot no 3, 991048 20000 2400 17/04/16 1900 20500
Store Parashuta road, 5316
Badarpur
52 Parvarti Jaidpur road, 858704 11000 1500 17/04/16 1200 11300
ya Store Badarpur 2657
53 Shree Jaidpur road, 783688 9000 1300 17/04/16 1600 8700
Sheetla Badarpur 8050
Store
54 Neha Meethapur road, 999985 13500 2000 17/04/16 1600 13900
Confecti Badarpur 9256
onaries
55 Priya Meethapur road, 782741 17/04/16 0
Confecti Badarpur 3993
onaries
Total 606180
Sales
9.4 Summary of EPIC & TUBs booking data
EPIC Tubs
Date
( Box) (Pcs)
04.05.15 2 8
05.05.15 1 10
06.05.15 1 14
09.05.15 3 7
11.05.15 1 9
12.05.15 3 9
13.05.15 2 12
14.05.15 2 9
15.05.15 0 8
Total 15 86
9.5 Epic placed first time in Following Shops:
Quasim Store Jamia Nagar, Okhla

Universal Bakery Noor Nagar, Jamia
Selvo Store g-104, Abul fazal enclave,Okhla
Snacks Corner Govindpuri extn, Kalkaji
Manoj Super Store Govindpuri , Kalkaji
Star Enterprises H.Nizammudin Rly Station
L-25, double storey, dayanand
V.Siddhi store
colony lajpat nagar
Vishal neighborhood central rd., bhogal, Jangpura
shop Delhi
M/s Al-alif Amul Parlor Abul fazal enclave-II,Okhla
Eat & Joy Abul fazal enclave-II,Okhla
Harinagar, near Sai Mandir,
AKN store
Badarpur
10. References:
1) www.amul.com/products/icecream.php
2) www.amulicecream.in
3) http://www.euromonitor.com/ice-cream-in-india
4) http://www.thehindubusinessline.com
5) http://www.economictimes.com
6) http://www.indiastats.com
7) Ailawadi, K. L., and Harlam, B., 2004. An Empirical Analysis of the Determinants of
Retail Margins: The Role of Store-Brand Share. Journal of Marketing. 68 (January), 147-
165.
8) Farris, P., Olver, J., and de Kluyver, C., 1989. The Relationship between Distribution
and Market Share. Marketing Science. 8(2), Spring, 107-128.
9) Frewer L J and van Trijp H (Eds.) (2007), Understanding Consumers of Food Products,
Woodhead Publishing, CRC Press, Cambridge
10) Rook D W and Fisher R J (1995), “Normative Influences on Impulse Buying Behavior”,
Journal of Consumer Research, Vol. 22, No. 3, pp. 305-313.
11) Rowley J (1997), “Focusing on Customers”, Library Review,Vol. 46, No. 2, pp. 81-89,
MCB University, UK.
12) Rozin P (2007), “Food Choice: An Introduction”, in Frewer L J and van Trijp H (Eds.),
Understanding Consumers of Food Products, pp. 3-29, Woodhead Publishing, CRC
Press, Cambridge.
13) Rozin P and Tuorila H (1993), “Simultaneous and Temporal Contextual Influences on
Food Acceptance”, Food Quality and Preference, Vol. 4, Nos. 1 and 2, pp. 11-20. 34.
Shepherd R and Raats M M (2007), the Psychology of Food Choice, CABI Publishing,
Wallingford, UK.
14) Underwood R L and Klein N M (2002), “Packaging as Brand Communication: Effects of
Product Pictures on Consumer Responses to the Package and Brand”, Journal of
Marketing Theory and Practice, Vol. 10, No. 4, pp. 58-68.
15) Underwood R L, Klein N M and Burke R (2001), “Packaging Communication:
Attentional Effects of Product Imagery”, Journal of Product and Brand Management,
Vol. 10, No. 7, pp. 403-422.
16) A. Ananda Kumar1 and Dr. S. Babu2, International Monthly Refereed Journal of
Research In Management & Technology 65 Volume III, January’14 IS SN – 2320-0073
“Factors influencing consumer buying behavior with special reference to dairy products
in Pondicherry state”.
17) Ahmad, T. & Vays, N., 2011, ‘The impulse buying behavior of consumes for the FMCG
products in Jodhpur’, Australian Journal of Basic and Applied Sciences 5(11), 1704–
1710.
18) Bytyqi, H. & Vegara, M., 2008, ‘Analysis of consumer behavior in regard to dairy
products in Kosovo’, Agricultural Research 46(3), 41–59.
19) Lecturer PhD Ovidiu I. MOISESCU Babeş-Bolyai University of Cluj-Napoca, “The
importance of brand awareness in consumers’ buying decision and perceived risk
assessment”.
20) Auty, S. & Lewis, C. (2004). Exploring Children's Choice: The Reminder Effect of
Product Placement. Psychology & Marketing, 21(9), 697.
11. Glossary of Abbreviations

1) BIMTECH- Birla Institute Of Management And Technology
2) DISK- Dairy Information System Kiosk
3) EIAS- Enterprise wide Integrated Application System
4) ERP- Enterprise resource planning
5) GCMMF- Gujarat Cooperative Milk Marketing Federation Ltd.
6) GIS- Geographical Information System
7) HADF- Hamara Apna Deep Freezer
8) Ltd.- Limited
9) NCR- National Capital Region
10) PGDM- Post Graduate Diploma And Management
11) P-q Ratio- Price Quantity Ratio
12) PSM- Para Sales Manager
13) RFID- Radio Frequency Identification

Amul Icecream Report

Uploaded by

Document Information

Original Description:

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Amul Icecream Report

Uploaded by

Copyright:

Available Formats

Project Report: Amul Ice-cream 1

“To increase the retail penetration of Amul Ice cream

Summer Project Certificate

This is his original work to the best of my knowledge.

I also sincerely thank “Prof.R.J.Masilamani”, my faculty mentor at BIMTECH, who provided

Mr. Raveen Chaudhary,

Re: Summer Project Report

Date: June 26, 2014 Ishan Biswari

2.3 Industry Analysis 12

3.1 Market Penetration 15

3.2 Consumer Behavior Study 16

4. Market Study & Analysis 17

5. Consumer Behavior Study & Analysis 22

11. Glossary of Abbreviations 47

It is the Apex organisation of the Dairy Cooperatives of Gujarat, popularly known as

The Birth of Amul

 It all began when milk became a symbol of protest.

The Amul Model

Year of Establishment 1973

2.2 Amul Ice-cream

Product Name Amul Ice Cream

Cone 120 ml, 100ml, 80 ml & 50 ml

Cup 125 ml, 100 ml, 80 ml, 90 ml & 40 ml

2.3 Industry Analysis

ICE CREAM MARKET SHARE ( IN %) 2014, INDIA

3.2 Consumer Buying Behaviour

4. Market Study & Analysis

4.4.6 Order & Supply chain:

EPIC Stick Ice cream.

5. Consumer Behaviour Study & Analysis

Preferred Source Distribution

40, 22% 46, 26%

General StoreIce cream ParlourModern RetailPush cart

Descriptive Statistics of overall Ice creams

N Range Minimum Maximum Mean Std. Deviation Variance

Statistic Statistic Statistic Statistic Statistic Std. Error Statistic Statistic

Taste 180 4.00 1.00 5.00 4.3111 .07691 1.03183 1.065

Packaging 180 4.00 1.00 5.00 3.1667 .07328 .98310 .966

Availability 180 4.00 1.00 5.00 3.3778 .09427 1.26471 1.600

Quality 180 4.00 1.00 5.00 4.2556 .07438 .99789 .996

Variety 180 4.00 1.00 5.00 3.8111 .07791 1.04528 1.093

Valid N (listwise) 180

Descriptive Statistics of Amul Ice creams

N Range Minimum Maximum Mean Std. Deviation Variance

Statistic Statistic Statistic Statistic Statistic Std. Error Statistic Statistic

Valid N (listwise) 180

Paired Samples Statistics

Mean N Std. Deviation Std. Error Mean

Amul Taste 3.7444 180 .74085 .05522

Paired Samples Correlations

Pair 1 Taste & Amul Taste

Paired Samples Test

Std. Std. 95% Confidence

Pair 1 Taste - Amul

The second hypotheses is stated as-

Paired Samples Statistics

Mean N Std. Deviation Std. Error Mean

Pair 1 Price 3.5444 180 1.10014 .08200

Paired Samples Correlations

Pair 1 Price & Amul Price

Paired Samples Test

95% Confidence Interval of