―Study of market share of AMUL milk and yogurt in delhi and NCR”DESARTION PROJECT 2010 Submitted for the partial fulfillment of the requirement for the award Of POST GRADUATE DIPLOMA IN MANAGEMENT SUBMITTED BY HARIOM SHAHI Roll. No. - 8022 UNDER THE GUIDANCE OF Internal Guide: Mr. NIRAJ DANGI Department of management INSTITUTE OF MANAGEMENT EDUCATION, SHAHIBABAD Contents S. NO. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. HEADINGS Declaration Acknowledgement Executive Summary Introduction to dairy Industry THE INDIAN MARKET – A PYRAMID SWOT ANALYSIS OF INDIAN DAIRY INDUSTRY FUTURE PROSPECTS INTRODUCTION OF AMUL PRODUCTS SWOT ANALYSIS OF AMUL DISTRIBUTION NETWORK RESEARCH OBJECTIVE FINDINGS & INTERPRETATION RECOMMENDATIONS & SUGGESTIONS LIMITATIONS CONCLUSION BIBLIOGRAPHY Declaration I, HARIOM SHAHI, declare that the project report entitled ―Study of market share of AMUL milk and yogurt in delhi and NCR‖ is submitted by me for the partial fulfillment of the course PGDM at ‗ Institute OF MANAGEMENT EDUCATION SAHIBABAD GHAZIABAD‘. This is the original report prepared by me and it has not been submitted prior to this for the award of any degree or diploma. Date: 22/01/10 Place: GHAZIABAD HARIOM SHAHI 8022 Acknowledgement A project report can not be completed without motivation, assistance, guidance, cooperation and inspiration from various triangles. I would like to thank to all the person who help and persuaded me to work on this project. I express my deepest sense of gratitude to Mr. NIRAJ DANGI(Faculty IME) who has been a continuous source of inspiration throughout the work on this project and guided me with keen interest. Last but not the least, I am extremely thankful to the management and all the faculty member of our institute for their kind support and guidance. Executive Summary The companies are now busy formulating new strategies to increase their sales and recognizing new target segments to grab higher market share.Similarly Amul has to face a stiff competition in the market in the case of milk & dahi. For eg. Its major competitors in the milk segment are Mother dairy, Paras gopaljee and loose milk. In case of Dahi some major players are Nestley,Brittania , Mother dairy and home made dahi . Therefore in order to formulate a new strategy to gain a competitive advantage in the present market scenario, I worked out a study to find out the key influential factors required to be formulated for Amul milk & dahi . In the process of formulating the strategy I had conducted a market survey in our allocated location DELHI and NCR and come out with revelation that will serve as an influential factor and will definitely help AMUL in gaining a competitive advantage over the other major players. Methodology used The project has been divided into two stages1. Field work 2. Statistical analysis Introduction to dairy industry Dairy is a place where handling of milk and milk products is done and technology refers to the application of scientific knowledge for practical purposes. Indian dairy Industry - a profile The dairy sector in the India has shown remarkable development in the past decade and India has now become one of the largest producers of milk and value-added milk products in the world. The dairy sector has developed through co-operatives in many parts of the State. Today, India is Oyster of the global dairy industry. It offers opportunities to entrepreneurs worldwide, who wish to capitalize on one of the world's largest and fastest growing markets for milk and milk products. The Indian dairy industry is rapidly growing, trying to keep pace with the galloping progress around the world. The liberalization of the Indian economy beckons to MNC's and foreign investors alike. India, with her sizable dairy industry growing rapidly and on the path of modernization, would have a place in the sun of prosperity for many decades to come. India‘s dairy sector is expected to triple its production in the next 10 years in view of expanding potential for export to Europe and the West. Also India today is the lowest cost producer of per litre of milk in the world,. To take advantage of this lowest cost of milk production and increasing production in the country multinational companies are planning to expand their activities here. Highlights: Milk production is growing at 3% per annum Per capita milk availability growing at only 1.5% per annum Ghee (clarified butter) consumption growing at 8% per annum Table Butter & cheese consumption growing at 10% per annum Demand for dairy products will soon exceed supply India will find it difficult to sustain dairy exports India will turn net importer of dairy products Indian dairy sector contributes the large share in agricultural gross domestic products. Milk production gives employment to more than 82mn dairy farmers. In terms of total production, India is the leading producer of milk in the world followed by USA. Although milk production has grown at a fast pace during the last three decades (courtesy: Operation Flood), milk yield per animal is very low. The main reasons for the low yield are Lack of use of scientific practices in milching. Inadequate availability of fodder in all seasons. Unavailability of veterinary health ser Resources India with 160mn cows and 140mn buffaloes has the largest population of cattle in the world. More than fifty percent of the buffaloes and twenty percent of the cattle in the world are found in India and most of these are milch cows and milch buffaloes. Over 60% of the milk produced in India is buffalo milk, and 35% is cow milk. Indian (traditional) Milk Products There are a large variety of traditional Indian milk products such as Makkhan unsalted butter. Ghee butter oil prepared by heat clarification, for longer shelf life. Kheer a sweet mix of boiled milk, sugar and rice. Basundi milk and sugar boiled down till it thickens. Rabri sweetened cream. Dahi a type of curd. Lassi curd mixed with water and sugar/ salt. Channa/Paneer - milk mixed with lactic acid to coagulate. Khoa evaporated milk, used as a base to produce sweet meats. Fresh Milk Consumers while purchasing dairy products look for freshness, quality, taste and texture, variety and convenience. Fresh pasteurized milk is available in packaged form. However, a large part of milk consumed in India is not pasteurized, and is sold in loose form by vendors. Sterilized milk is scarcely available in India. Packaged milk can be divided according to fat content as follows: Whole (full cream) milk - 6% fat Standardized (toned) milk - 4.5% fat Doubled toned (low fat) milk - 3% fat Another category of milk, which has a small market is flavoured milk. The Indian Market - A Pyramid: Major Players: Mother Dairy,AMUL(Anand Milk Union Limited), are the major players.They are having strong market share in Delhi. Mother Dairy have booth system as well as other retailer to distribute the milk and milk products. Amul is preferred by its quality. There are so many other player like Gopaljee, Paras, DMS and Reliance has also entered into milk industry but are not successful as Mother Dairy and Amul. Consumer Habits And Practices Milk has been an integral part of Indian food for centuries. India's dairy market is multi-layered. It's shaped like a pyramid with the base made up of a vast market for low-cost milk. The bulk of the demand for milk is among the poor in urban areas whose individual requirement is small, maybe a glassful for use as whitener for their tea and coffee. In India about 46 percent of the total milk produced is consumed in liquid form and 47 per cent is converted into traditional products like cottage butter, ghee, paneer, khoya, curd, malai, etc. Only 7 per cent of the milk goes into the production of western products like milk powders, processed butter and processed cheese. The remaining 54% is utilized for conversion to milk products. Among the milk products manufactured by the organized sector some of the prominent ones are ghee, butter, cheese, ice creams, milk powders, malted milk food, condensed milk infants foods etc. Of these ghee alone accounts for 85%. Still, several consumers in urban areas prefer to buy loose milk from vendors due to the strong perception that loose milk is fresh. Also, the current level of processing and packaging capacity limits the availability of packaged milk. Disparities in production and consumption The per capita availability of milk in India has grown from 172 gm per person per day in 1972 to 245 gm in 2007. However a large part of the population cannot afford milk. At this per capita consumption it is below the world average of 285 gm . There are regional disparities in production and consumption also. The per capita availability in the north is 278 gm, west 174 gm, south 148 gm and in the east only 93 gm per person per day. This disparity is due to concentration of milk production in some pockets and high cost of transportation. Also the output of milk in cereal growing areas is much higher than elsewhere which can be attributed to abundant availability of fodder, crop residues, etc which have a high food value for animals. States involved in Production: The milk surplus states in India are Uttar Pradesh, Punjab, Haryana, Rajasthan, Gujarat, Maharashtra, Andhra Pradesh, Karnataka and Tamil Nadu. The manufacturing of milk products is concentrated in these milk surplus States. The top 6 states viz. Uttar Pradesh, Punjab, Madhya Pradesh, Rajasthan, Tamil Nadu and Gujarat together account for 58% of national production. Marketing Strategy About 75% of milk is consumed at the household level which is not a part of commercial dairy industry. Loose milk has a larger market in India as it is perceived to be fresh by most consumers. In reality however, it poses a higher risk of adulteration and contamination. Two key elements of marketing strategy are: Focus on strong brands and, product mix expansion to include UHT milk, cheese, ice creams etc. and spreads. The changing marketing trends will see the shift from generic products to the packaged quasi, regular and premium brands. The national brands will gradually edge out the regional brands or reduce their presence. Emerging Dairy Markets Food service institutional market: It is growing at double the rate of consumer market Defense market: An important growing market for quality products at reasonable prices Ingredients market: A boom is forecast in the market of dairy products used as raw material in pharmaceutical and allied industries Parlour market: The increasing away-from-home consumption trend opens new vistas for ready-to-serve dairy products which would ride piggyback on the fast food revolution sweeping the urban India. Packaging Technology When the dairy co-operatives initially started marketing branded milk, it was sold in glass bottles sealed with foil. Over the years, several developments in packaging media have taken place. In the early 80's, plastic pouches replaced the bottles. Plastic pouches made transportation and storage very convenient, besides reducing costs. In 1999-00 Nestle launched its UHT milk. Amul too re-launched its Amul Taaza brand of UHT milk. The UHT milk market is expected to grow at a rate of more than 10-12% in coming years. Export Potential India has the potential to become one of the leading players in milk and milk product exports. Major importers of milk and milk products are Bangladesh, China, Hong Kong, Singapore, Thailand, Malaysia, Philippines, Japan, UAE, Oman and other gulf countries, all located close to India. Concerns in export competitiveness are Low Cost Of Production : Milk production is scale insensitive and labour intensive. Due to low labour cost, cost of production of milk is significantly lower in India. Quality : Significant investment has to be made in milk procurement, equipments, chilling and refrigeration facilities. Also, training has to be imparted to improve the quality to bring it up to international standards. Productivity : To have an exportable surplus in the long-term and also to maintain cost competitiveness, it is imperative to improve productivity of Indian cattle. SWOT ANALYSIS OF INDIAN DAIRY INDUSTRY Strengths: Demand profile: Absolutely optimistic. Margins: Quite reasonable, even on packed liquid milk. Flexibility of product mix: Tremendous. With balancing equipment, you can keep on adding to your product line. Availability of raw material: Abundant. Presently, more than 80 per cent of milk produced is flowing into the unorganized sector, which requires proper channelization. Technical manpower: Professionally-trained, technical human resource pool, built over last 30 years. Weeknesses: Perishability: Pasteurization has overcome this weakness partially. UHT gives milk long life. Surely, many new processes will follow to improve milk quality and extend its shelf life. Lack of control over yield: Theoretically, there is little control over milk yield. However, increased awareness of developments like embryo transplant, artificial insemination and properly managed animal husbandry practices, coupled with higher income to rural milk producers should automatically lead to improvement in milk yields. Logistics of procurement: Woes of bad roads and inadequate transportation facility make milk procurement problematic. But with the overall economic improvement in India, these problems would also get solved. Problematic distribution: Yes, all is not well with distribution. But then if ice creams can be sold virtually at every nook and corner, why can‘t we sell other dairy products too? Moreover, it is only a matter of time before we see the emergence of a cold chain linking the producer to the refrigerator at the consumer‘s home! Competition: With so many newcomers entering this industry, competition is becoming tougher day by day. But then competition has to be faced as a ground reality. The market is large enough for many to carve out their niche. Opportunities: "Failure is never final, and success never ending‖. Dr Kurien bears out this statement perfectly. He entered the industry when there were only threats. He met failure head-on, and now he clearly is an example of ‗never ending success‘! If dairy entrepreneurs are looking for opportunities in India, the following areas must be tapped: Value addition: There is a phenomenal scope for innovations in product development, packaging and presentation. Given below are potential areas of value addition: o Steps should be taken to introduce value-added products like shrikhand, ice creams, paneer, khoa, flavored milk, dairy sweets, etc. This will lead to a greater o o o presence and flexibility in the market place along with opportunities in the field of brand building. Addition of cultured products like yoghurt and cheese lend further strength - both in terms of utilization of resources and presence in the market place. A lateral view opens up opportunities in milk proteins through casein, caseinates and other dietary proteins, further opening up export opportunities. Yet another aspect can be the addition of infant foods, geriatric foods and nutritionals. Export potential: Efforts to exploit export potential are already on. Amul is exporting to Bangladesh, Sri Lanka, Nigeria, and the Middle East. Following the new GATT treaty, opportunities will increase tremendously for the export of agri-products in general and dairy products in particular. Threats: Milk vendors, the un-organized sector: Today milk vendors are occupying the pride of place in the industry. Organized dissemination of information about the harm that they are doing to producers and consumers should see a steady decline in their importance. The study of this SWOT analysis shows that the ‗strengths‘ and ‗opportunities‘ far outweigh ‗weaknesses‘ and ‗threats‘. Strengths and opportunities are fundamental and weaknesses and threats are transitory. Any investment idea can do well only when you have three essential ingredients: entrepreneurship (the ability to take risks), innovative approach (in product lines and marketing) and values (of quality/ethics). The Indian dairy industry, following its delicensing, has been attracting a large number of entrepreneurs. Their success in dairying depends on factors such as an efficient yet economical procurement network, hygienic and cost-effective processing facilities and innovativeness in the market place. All that needs to be done is: to innovate, convert products into commercially exploitable ideas. All the time keep reminding yourself: Benjamin Franklin discovered electricity, but it was the man who invented the meter that really made the money! Future Prospects India is the world's highest milk producer and all set to become the world's largest food factory. In celebration, Indian Dairy sector is now ready to invite NRIs and Foreign investors to find this country a place for the mammoth investment projects. Be it investors, researchers, entrepreneurs, or the merely curious – Indian Dairy sector has something for everyone. Hence in the foreseeable future, in most of developing countries milk and milk products will not play the same roll in nutrition as in the affluent societies of developed countries. Effective demand will come mainly from middle and high income consumers in urban areas. In other countries dairy industries have attempted to reach lower income consumers by variation of compositional quality or packaging and distribution methods or blending milk in vegetable ingredients in formula foods for vulnerable groups. For instance, pricing of products rich in butter fat or in more luxury packaging above cost level so as to enable sales of high protein milk products at a some what a reduced price has been widely practiced in developing countries. This policies need to be brought in Indian Dairy scenario. Potential for further growth Of the three A's of marketing - availability, acceptability and affordability, Indian dairying is already endowed with the first two. People in India love to drink milk. Hence no efforts are needed to make it acceptable. Its availability is not a limitation either, because of the ample scope for increasing milk production, given the prevailing low yields from dairy cattle. It leaves the third vital marketing factor affordability. What does the Indian Dairy Industry has to Offer to Foreign Investors? India is a land of opportunity for investors looking for new and expanding markets. Dairy food processing holds immense potential for high returns. Growth prospects in the dairy food sector are termed healthy, according to various studies on the subject. The basic infrastructural elements for a successful enterprise are in place. Key elements of free market system raw material (milk) availability an established infrastructure of technology supporting manpower Among several areas of potential participation by NRIs and foreign investors, the following list outlines a few promising opportunities: Biotechnology: Dairy cattle breeding of the finest buffaloes and hybrid cows Milk yield increase with recombinant somatotropin Recombinant chymosin, acceptable to vegetarian consumers Dairy cultures, probiotics, dairy biologics, enzymes and coloring materials for food processing Fermentation derived foods and industrial products alcohol, citric acid, lysine, flavor preparations, etc. Biopreservative ingredients based on dairy fermentation, viz., Nisin, pediococcin, acidophilin, bulgarican contained in dairy powders. Dairy/food processing equipment: Potential exists for manufacturing and marketing of cost competitive food processing machinery of world-class quality. Food packaging equipment: Opportunities lie in the manufacturing of both machinery and packaging materials that help develop brand loyalty and a clear edge in the marketing of dairy foods. Distribution channels: For refrigerated and frozen food distribution, a world class cold chain would help in providing quality assurance to the consumers around the region. Retailing: There is scope for standardizing and upgrading food retailing in major metropolitan cities to meet the shopping needs of a vast middle class. This area includes grocery stores of European and North American quality, warehousing and distribution. Introduction to Amul Type Founded Headquarters Key people Industry Products Milk Production Revenue Employees Slogan Website Cooperative 1946 Anand (Gujrat) , India Chairman,Gujrat cooperative milk marketing federation Ltd.(GCMMF) Dairy See complete product listing 100 million ton (2008-09) Template: Revenues $1billion USD (In 2008-09) 2.41 million milk producers Taste of India www.amul.com Amul(Anand milk union limited) formed in 1946, is a Dairy cooperative movement in India.It is a brand name managed by apex cooperative organization,Gujrat Cooperative Milk Marketing Federation Limited (GCMMF).Which today is jointly owned by some 2.6 million milk producers in Gujrat, India.It is based in Anand town of Gujrat. Background Note: The brand name Amul sourced from the Sanskrit word Amoolya , means priceless. It all started with a group of farmers keen to free themselves from intermediaries, gain access to markets and thereby ensure maximum returns for their efforts. Amul's genesis was linked to the freedom movement in India. Sardar Vallabhbhai Patel, an eminent Indian freedom fighter encouraged the dairy farmers from the Kaira district in Gujarat to form a cooperative to counter the 'exploitatively' low prices offered for their milk by the monopoly milk supplier of the area, Polson's Dairy. The dairy farmers met in Samarkha (Kaira district, Gujarat) on the 4th of January 1946, and decided to set up a milk producers' cooperative that would deal directly with the Bombay government, the final buyer of their milk. This was the origin of the Anand model. GCMMF entered in Delhi‘s liquid milk market in 2005 much to the discomfort of National Dairy Devlopment Board subsidiary Mother Dairy,which enjoy a monopolistic position in the Delhi‘s milk market. Organisation Structure Based in the village of Anand, the Kaira District Milk Cooperative Union (better known as Amul) expanded exponentially. It joined hands with other milk cooperatives, 26 lakh milk producers, 10,411 village level milk collection centers and fourteen district level plants (unions) under the overall supervision of GCMMF. Walk in to any Amul or Gujarat Cooperative Milk Marketing Federation (GCMMF) office, and you may or may not see a photograph of Mahatma Gandhi, but you will certainly see one particular photograph. It shows a long line of Gujarati women waiting patiently for a union truck to come and collect the milk they have brought in shining brass markets. Products Bread Spreads Amul Butter Utterly Butterly Delicious Amul Lite Low fat, low Cholesterol Bread Spread Delicious Table Margarine The Delicious way to eat healthy Milk Drinks Amul Kool Amul Kool Cafe Kool Koko A delight to Chocolate Lovers. Delicious Chocolate taste Nutramul Energy Drink A drink for Kids provides energy to suit the needs of growing Kids Amul Kool Chocolate Milk Amul Kool Flavoured Bottled Milk Amul Kool Flavoured Tetra Pack Amul Masti Spiced Buttermilk Amul introduces the Best Thirst Quenching Drink Amul Kool Thandai Powder Milk Amul Spray Infant Milk Food Still, Mother's Milk is Best for your baby Sagar Skimmed Milk Powder Which is especially useful for diet preparations or for use by people on low calorie and high protein diet. Amul Instant Full Cream Milk Powder A dairy in your home Sagar Tea Coffee Whitener Amulya Dairy Whitener The Richest, Purest Dairy Whitener Fresh Milk Amul Fresh Milk This is the most hygienic milk available in the market. Pasteurised in state-ofthe-art processing plants and pouchpacked for convenience. Amul Gold Milk Amul Taaza Double Toned Milk Amul Lite Slim and Trim Milk Amul Fresh Cream Amul Shakti Toned Milk Amul Calci+ SWOT ANALYSIS OF AMUL STRENGTHS AVAILABILITY OF RAW MATERIAL Amul‘s strength lies in the easy availability of raw material. Only 20 % of the milk produced flows into the organized sector. So it becomes cost effective while producing dahi. Strong brand Amul is a strong brand of milk products and has strong brand equity. Wide product line Amul has a wide product range .It manufactures all milk products. Its ice cream & dahi is derived from milk itself. So this has positive spill over effect. Technical expertiseBecause of its 60 years of experience, it has a strong technical back up. WEAKNESS Logistic problem Inadequate transport facility and bad roads make milk products procurement problematic. Inadequate supply chain There are a few loop holes in the supply chain of Amul. That serves as an obstacle for tapping up the mass market. Supply not meeting the demand In the peak season, the company fails to satisfy the retailers‘ demand on certain products. OPPORTUNITIES As we know the fact that INDIA‘S population is growing at a tremendous rate. Therefore there is a never ending demand for milk and it‘s products in the market. So there is a lot of opportunity for Amul to penetrate this market. Export potential Opportunities will increase tremendously if Amul will try to tap up the foreign market through joint ventures and mergers. THREATS Strong Competition There is a strong competition for Amul in the milk & dahi segment. Mother Dairy, Dms, Paras, Param & loose milk are the major competitors in milk and on the other hand Nestley, Britannia & home made dahi are emerging as new competitors for Amul. They are equally competent as Amul is. Distribution strategies of competitors On some part the strategies of the competitors are more flexible than Amul‘s. Some companies provide deep freezers to the retailers on security basis. This strategy influences the retailers to a great extent and they keep products of that company only. Distribution network Amul products are available in over 500,000 retail outlets across India through its network of over 3,500 distributors. There are 47 depots with dry and cold warehouses to buffer inventory of the entire range of products. The supply chain of GCMMF consists of 7 levels.The farmers provide the milk (basic raw material) to the cooperatives.From these cooperative the milk goes to all Dairies that Amul has all over Gujarat. After the has made in the dairies,these are supplied to various Depots.From these Depot to various Distributers are serviced who then supply to the retailers.From these retailers final consumer buys the finished products. LEVEL 1 (FARMERS) LEVEL 2 (COOPERATIVES LEVEL 3 (DAIRIES) LEVEL4 (DEPOTS) LEVEL 5 (DISTRIBUTERS) LEVEL 6 (RETAIL OUTLETS) LEVEL 7 (CONSUMERS) Wholesale dealers carry inventory that is just adequate to take care of the transit time from the branch warehouse to their premises. This just-in-time inventory strategy improves dealers' return on investment (ROI). All GCMMF branches engage in route scheduling and have dedicated vehicle operations. Managing the supply chain Even though the cooperative was formed to bring together farmers, it was recognised that professional managers and technocrats would be required to manage the network effectively and make it commercially viable. Coordination Given the large number of organisations and entities in the supply chain and decentralised responsibility for various activities, effective coordination is critical for efficiency and cost control. GCMMF and the unions play a major role in this process and jointly achieve the desired degree of control. Buy-in from the unions is assured as the plans are approved by GCMMF's board. The board is drawn from the heads of all the unions, and the boards of the unions comprise of farmers elected through village societies, thereby creating a situation of interlocking control. The federation handles the distribution of end products and coordination with retailers and the dealers. The unions coordinate the supply side activities. These include monitoring milk collection contractors, the supply of animal feed and other supplies, provision of veterinary services, and educational activities. Strong distribution chain Amul has built a strong distribution chain which,reach over 3,00,000 retailer with refrigerators and 30,000 strong cold chains and over 5,00,000 non refrigerated retail outlets.It control the milk and butter outlets and since these also stock ice creams.GCMMF undertakes a census of all retail outlets to evaluate customers perceptions and distribution efficacy of their network. Interestingly, this is being done by wholesalers in their respective territories at their own cost. Competitors Mother Dairy Corporate Overview Type Founded Cooperative 1974 Headquarters Delhi, India Key people Paul Thachil, CEO, Mother Dairy India Ltd Dairy Industry Mother Dairy, set up in 1974, under the Operation Flood Programme in Delhi is a wholly owned subsidiary of National Dairy Development Board (NDDB) of India. It later expanded in Mumbai, Punjab and eastern India. Future plans include expansion to South India. At Mother Dairy, processing of milk is controlled by process automation whereby state-of-theart microprocessor technology is adopted to integrate and completely automate all functions of the milk processing areas to ensure high product quality/ reliability and safety. Mother Dairy is an IS/ ISO-9002, IS-15000 HACCP and IS-14001 EMS certified organization. Moreover, its Quality Assurance Laboratory is certified by National Accreditation Board for Testing and Calibration Laboratory (NABL)-Department of Science and Technology, Government of India. It is Mother Dairy’s constant endeavor to (a) 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; (b) Uphold institutional structures that empower milk producers and farmers through processes that are equitable. Products Mother Dairy Foods Processing Ltd dairy products like Liquid Milk, Ice Creams, Flavoured Milk, Dahi, Lassi, Mishti Doi, Ghee, White Butter, Table Butter, Cheese, SMP, Dairy Whitener, UHT Milk, Dhara range of edible oils and the Safal range of fresh Fruits & Vegetables, Frozen Vegetables and Fruit Juices at a national level, through its sales and distribution networks, for marketing food items. The company markets an array of fresh and frozen fruit and vegetable products under the brand name SAFAL through a chain of 800+ own Fruit and Vegetable shops and more than 30,000 retail outlets in various parts of the country. Delhi Milk Scheme (DMS) Corporate Overview Delhi Milk Scheme is a subordinate office of Ministry of Agriculture, Department of Animal Husbandry, Dairying and Fisheries. Its Headquarter and plant are located at West Patel Nagar, New Delhi. DMS was set up in 1959 by the then Hon‘ble President of India, Dr.Rajendra Prasad with the primary objective of supplying wholesome milk to citizens of Delhi at reasonable prices, as well as for providing remunerative prices to milk producers. Manufacture and sale of milk products like Ghee, Table Butter, Yoghurt, Paneer, Chhachh and Flavoured Milk is also undertaken as an allied activity. The initial installed capacity of Delhi Milk Scheme was for processing/packing of 2.55 lakh litres of milk per day. However, in order to meet the increased demand for milk in the city, the capacity was expanded in phases to the level of 5.00 lakh litres of milk per day. Management There is a Management Committee which enjoys powers of a Department of Government of India, except for creation of posts, writing off losses and re-appropriation of funds exceeding 10% of the original budget provision. The present Management Committee comprises of the Joint Secretary (Dairy Development) as Chairman, and Director (Finance), Ministry of Agriculture, Department of Animal Husbandry & Dairying , two representative of consumers and General Manager, DMS as its members. Procurement of Milk Delhi Milk Scheme has been mainly procuring raw/fresh milk from the State Dairy Federations of the neighbouring States and some quantity of milk from the Co-operative Societies to augment the supplies. Gopaljee Corporate Overview Gopaljee RSD Group of Companies have started their business in 1989 and established their first factory viz. M/S Milan Dairy Foods (P) Ltd., located at Siyana (Distt. Buland Sahar) having handling capacity : 75,000 - 1,25,000 liters per day. Within a span of two years the company has got tremendous demand of their quality milk from their respected consumers. Products Curd , Butter , Flavored Milk, Chhach , Ghee , Skimmed Milk , Rusk , Biscuit , Boondi ,Dalia , Soan Papdi , Rice ,Namkeen ,Papad ,Pickels . Vision Procure Milk preferably from milk producers. Put emphasis on clean milk production at village level. Eliminate middlemen from business. Produce pure and safe dairy products. Meet national and international "quality standards". To generate and maintain strong link with farmers and customers. Benchmark Multinational Companies. Mission & Objectives To provide best quality products. To work for best customer satisfaction. Work more in research and development milk and other products. Achieve highest Sales in the Market. Customer Values To Develop Trust. Commitment for Better Services. Value of Customer Money. Care to Customer Need. Paras Corporate Overview An organization involved in quality milk collection practices since 1960.when the procure of milk started with 60 litre of milk .Paras has a very strong procurement network comprising of more than 3000 villages across western Utter Pradesh in north India arising after immense infrastructure investment in the rural areas by the organization. Total handaling capacity is 2.9 million litre. Paras is only player in north India to market bactofuge quality milk. First playerin private sector to offer homogenized toned milk to automatic milk vending mechine and FRP tanks in north India a major exporter of edible grade casene and other milk products. They are in the business of milk for more than 40 years. Their milk is entirely collected from village level collection centers that are developed by them .The quality of their milk, regularity of supply and value of commitment have made hallmark of operation. Their product have found wide acceptance with countless prestigious institutions. Products Paras proudly present itself as a premium brand in the Indian dairy industry .A list of nutritious and premium quality products include milk ,pure ghee, skimmed milk powder in bulk and consumer pack and dairy white butter ,demineralised whey powder, casein edible and industrial grade. The major objective of Paras is to enhance the profitable production of dairy products. Competitive Strategy The Taste of Competition Despite competition in the high value dairy product segments from firms such as Hindustan Lever , Nestle and Britannia , GCMMF ensures that the product mix and the sequence in which Amul introduces its products is consistent with the core philosophy of providing milk at a basic, affordable price. Competitive Strategy Developing demand At the time Amul was formed, consumers had limite purchasing power, and modest consumption levels of milk and other dairy products. Thus Amul adopted a low-cost price strategy to make its products affordable and attractive to consumers by guaranteeing them value for money. Establishing best practices A key source of competitive advantage has been the enterprise's ability to continuously implement best practices across all elements of the network: the federation, the unions, the village societies and the distribution channel. More important, the network has been able to regularly roll out improvement programs across to a large number of members and the implementation rate is consistently high. For example, every Friday, without fail, between 10.00 a.m. and 11.00 a.m., all employees of GCMMF meet at the closest office, be it a department or a branch or a depot to discuss their various quality concerns. Introducing higher value products Beginning with liquid milk, GCMMF enhanced the product mix through the progressive addition of higher value products while maintaining the desired growth in existing products. Enthused by its performance in FY 09, the Gujarat Cooperative Milk Marketing Federation Ltd (GCMMF) is drawing up a fresh game plan for its flagship brand 'Amul Fresh Milk'. Rival Mother Dairy India is not far behind. To sustain its competitive edge, Mother Dairy is chalking out an aggressive growth strategy to reach out to a wider target audience. They are expanding processing and packaging capacity to meet growing demands. For starters, we are setting up additional processing facilities in Delhi and Mumbai. Currently, we lead the pack with the production of 50 lakh liters per day." Meanwhile, Mother Dairy India is sharpening its marketing focus to promote its milk brand in major metros across the country. "The Rs 18,000-core branded milk sector is steadily growing as consumer opt for hygienic milk products.‖ We plan to go national in the next few years,‖ said Paul Thatchil, chief executive officer (Dairy & Foods), Mother Dairy Fruit & Vegetables (P) Ltd. In a bid to pump up volumes, Amul is also extending its distribution network to reach new markets. With increasing competition, the packaged milk sector will witness a lot of action this year. The Gujarat Cooperative Milk Marketing Federation is beefing up its resources to strengthen its foothold in the liquid fresh milk market of Delhi, a battleground for the two cooperative giants —National Dairy Development Board (NDDB) and GCMMF. In India, the per capita consumption of milk is increasing day by day, consumers are increasingly opting for packaged milk for health reasons. The sector will register a healthy growth this fiscal. Marketing Overdrive Amul has moved its marketing efforts up a gear. In the pizza market, for instance, it first tested the waters with an unbranded mozzarella cheese pizza. Satisfied that there is a market for frozen pizzas, it has now soft-launched the Utterly Delicious brand. Over the next two to three months, it will work out issues related to packaging and distribution before bestowing the Amul brand name on the product. Similarly, Snowcap is GCMMF's test-brand in the ice cream mixes category. Amul hopes to have sold 100,000 pizzas per day by end of day, March 31, 2008. With 3,000 outlets doing the selling, and a price-tag of Rs 25 for an mid-sized pizza. RESEARCH OBJECTIVE ―Study of market share of AMUL milk and yogurt in delhi and NCR‖ METHODOLOGY The methodology used to achieve the objectives was divided into two stages, as follows1. Collection of secondary data and 2. Collection of primary data Collection of secondary dataThe secondary data was collected from Amul‘s annual report 2008-09, Company‘s website www.amul.com and the various journals and articles written in different magazines and news papers. Collection of primary dataTo get insight of the present scenario of Amul , primary data were collected from different sourcesDISTRIBUTOR RETAILER CONSUMERS DistributorThe distributors told us about the overall position of the milk and dahi segment. RetailerPersonal interviews were taken from the retailers about quantity they sold, consumer awareness and consumer preferences. ConsumersConsumers were personally interacted so as to know their taste & preferences for any particular milk or dahi. DESIGN OF QUESTIONNAIRE An appropriate questionnaire was designed to meet all the research objectives. The sample of the same has been enclosed in the annexure. SAMPLE SIZE SELECTION, SAMPLING & FILLING UP OF THE QUESTIONNAIRES A sample size of 100 retailers & 200 consumers was selected. Thes selection was based on random sampling. Personal interaction was done with the retailers & consumers to generate their responses/feedbacks on the questionnaire MARKET ANALYSIS (FIELD WORK) SURVEY Meeting in person with the distributors of Amul of the above areas allotted and getting their responses and feedbacks over that particular brand. Its demand in the market, company‘s policies and schemes given to them, competitors‘ policies and schemes offered, etc. Interacting in-person with the various general retailers and getting their responses for the daily demand of various brands of milk & dahi they sell. GRAPHICAL INTERPRETATION The analysis was done mainly by employing manual technique. Lastly, graphical interpretations were made using BAR/Pie charts for each variable separately and conclusions were drawn from them. Graphs with questionnaire QUESTIONNAIRE RETAILER Name: Address: Firm name: Phone No. Q 1- How much milk do you procure daily? Ans- ______________________________ MILK BRAND MOTHER DAIRY AMUL DMS TOTAL (In Litres) 6302 3789 608 MARKET SHARE 50.67 % 30.46 % 4.89 % GOPALJEE PARAS TOTAL 1438 301 12438 11.56 % 2.42 % 100% Q 2- In what quantity (variants) of milk brands do you procure? AnsFull cream Toned Double Toned Mother Dairy Amul Paras Other 100% 11.1 90% 80% 70% 60% 50% 40% 30% 9.3 15.9 24.1 19.5 38.6 40.3 44.6 41.6 Double Tonned Tonned Full cream 34.9 50.3 20% 10% 0% 50.4 39.5 45.6 34.3 Amul Mother Dairy Paras Gopalji DMS Q 3- What is your price structure of different brand of milk? AnsFull cream Toned Double Toned Mother Dairy Amul Paras Other Price structure (per litre) Brand Variant Distributor MARGIN(paisa) Retailer MARGIN(paisa) Market price(rs) Mother dairy FCM TM DTM 35-40 35-40 35-40 80 80 80 25 20 18 AMUL FCM TM DTM 40 40 40 80 80 80 25 20 18 FCM PARAS TM DTM 45 45 45 1.20 RS 1.20 RS 1.20 RS 25 20 18 Q 4- Are you satisfied with the milk companies? AnsMother Dairy Amul Paras Other Brand Amul Mother Dairy Paras Gopalji DMS Yes (In %) 31 63.5 56 80.5 44.5 No (In %) 69 36.5 44 19.5 55.5 Yes No Q 5- How much dahi do you procure daily? Ans400gm 200gm Mother dairy Amul Nestle Other (IN PIECES) 90gm probiotic-90gm 200gm 400gm Brand Amul Mother Dairy Nestle 90gm 9.5 4.8 5.4 200gm 58.6 86 39.2 400gm 81.2 74.8 55 Probiotic 90gm 4 2.7 200gm 7.8 11.4 400gm 9.6 8 Q 6- What is your price structure of different brands of Dahi? Ans400gm 200gm 90gm probiotic-90gm 200gm 400gm Mother dairy Amul Nestle others Price structure (dahi) brand Variant Distributor (Rs) Retailer (Rs) Market price(Rs) Mother dairy 200gms cup 400gms cup 200gms pro 400gms pro 90gms 10.08 18.48 11.90 20.55 5.18 11.10 20.75 12.88 21.63 10.80 19.80 12.66 21.66 5.40 11.83 21.83 13.67 22.75 12 22 14 24 6.00 13 24 15 25 nestle 200gms cup 400gms cup 200gms pro 400gms pro Q 7- How many times do you get delivery form the supplier? AnsOnce Twice Accordingly Milk Dahi 90 80 70 60 50 40 30 20 10 0 MILK(DAILY) DAHI (WEEKLY) 79% 64% ONCE TWICE ON DEMAND/ACC. 0 0 Q 8- Do you get any replacement scheme from the supplier? Ans- 1) Yes 2)No NO ( 100 % RESPONSE ) Q 9- Do you get any credit facility from the company? AnsMother Dairy Amul Paras Other Yes 100% 100% 100% No Q 10- Which company provides you the better facility? Ans- Mother dairy Amul Paras other Q11-Do you have any suggestion for Amul? Ans: _____________________________________________ _____________________________________________ CONSUMER Name: Age: Q1: How many members are there in your family? ……………………………………………………... Q2: Which brand of milk do you consume? Mother Dairy Amul Paras Other Occupation: Address: 80 70 60 50 40 30 20 10 0 Amul(51) 51 76 43 Series 1 16 9 5 Mother Dairy(76) DMS(16) Gopalji(9) Paras(5) Loose(43) Q3: What is your daily milk consumption? TOTAL QUANTITY_____________________________ Full Cream Tonned Milk Double Tonned Milk Loose Milk Brand ………………. ………………. ………………. ………………. Total Sales(in Lt) Market share(in %) Milk Variants Full Cream Tonned Milk Double Toned Milk Sales Price Sales Price(Rs Sales per Lt) 25 76.5 Price Mother Dairy 179 42.02 81 20 21.5 18 Amul 96.5 22.65 43 25 48.5 20 8 18 Paras Gopalji DMS Loose 8 19.5 30 95.5 1.87 4.58 7.04 22.42 4.5 10.5 11 _ 25 25 25 _ 2 7 16 _ 20 20 20 _ 1.5 2 3 _ 18 18 18 _ Q4: Why do you choose this brand? Taste Availability Quality Price Retailer suggestion Shelf Life Why do consumers choose this brand? Taste Availability Quality Price Retailer Suggestion Shelf Life 0 13.5 32 38 57.5 77 84.5 10 20 30 40 50 60 70 80 90 Q5: Are you satisfied with Yes Quality Taste Availability Price Shelf Life No Satisfaction Quality Taste Availability Price Shelf Life YES 149 124 137 43 166 NO 51 76 63 157 34 Q6: Have you ever changed your brand till now? Yes No If Yes, then why? Why Consumers has changed brand (In %)? 20 6 29 54 Taste Availability Quality 67 Price Retailer Suggestion Shelf Life 78 Q7: In stock out situation at which brand do you shift and why? In % 6 9.5 8 35.5 MD Amul Paras Gopalji 41 Loose Q8: How much time do you consume Dahi? Daily Thrice in a week Twice in a week Once in a week CONSUMPTION OF DAHI (in%) Thrice a week Twice a week Once a week Daily 0 10 20 17 24 30 40 21 38 Q9: Which dahi do you consume daily? 1) Homemade 2) Branded. DAHI Homemade 42% 58% Branded Q10: If branded then which brand and variant do you consume? ……………………………………………………………………………………… Q11: Are you satisfied with the quality of this brand? 1) Yes 2) No Q12: Are you aware with the Amul probiotic dahi? 1) Yes 2) No Awareness with Probiotic Dahi(in%) 30.5 69.5 Yes No Q13: Do you have any suggestion for Amul? …………………………..……………………………………………………………….. FINDINGS & INTERPRETATION PER CAPITA MILK CONSUMPTION= 371.72 ml MILK (As per retailer survey) MILK BRAND MOTHER DAIRY AMUL DMS GOPALJEE PARAS TOTAL TOTAL (In Litres) 6302 3789 608 1438 301 12438 Table 1 MARKET SHARE 50.67 % 30.46 % 4.89 % 11.56 % 2.42 % 100% MARKET SHARE (In %) of milk 60.00% 50.67% 50.00% 40.00% 30.46% 30.00% 20.00% 11.56% 10.00% 0.00% 4.89% 2.42% PARAS AMUL MOTHER DAIRY GOPALJEE DMS MILK (AS PER CONSUMER SURVEY) MARKET SHARE (In %) Including loose milk 42.02% 45.00% 40.00% 35.00% 30.00% 25.00% 20.00% 15.00% 10.00% 5.00% 0.00% AMUL 22.65% 22.42% 7.04% 4.58% GOPAL JEE 1.87% PARAS LOOSE MOTHER DAIRY DMS Table 3 MARKET SHARE (In %) Excluding loose milk 60.00% 50.00% 40.00% 30.00% 20.00% 10.00% 0.00% 54.16% 29.19% 9.07% 5.90% GOPAL JEE 2.42% PARAS AMUL MOTHER DAIRY DMS Table 4 DAHI / YOGURT (AS PER RETAILER & CONSUMER SURVEY) DAHI BRAND AMUL MOTHER DAIRY NESTLE HOME MADE TOTAL TOTAL(In Kg) 193.67 227 76 91 587.44 Table 5 MARKET SHARE 32.96 % 38.64 % 12.93 % 15.49 % 100 % MARKET SHARE- YOGURT 45.00% 40.00% 35.00% 30.00% 25.00% 20.00% 15.00% 10.00% 5.00% 0.00% 38.64% 32.96% 12.93% 15.49% AMUL MOTHER DAIRY Table 6 NESTLE HOMEMADE INTERPRETATION OF MILK IN SOUTH WEST DELHI- In south-west Delhi, Amul holding market share of 30.46%. That is second largest brand in the zone. It is getting stiff competition from MD and unorganized milk market, like local dairies & cyclewala, that provide milk to the consumer at their doorstep. People mostly preferred to buy milk that is available to the nearer retail shop. INTERPRETATION OF DAHI IN SOUTH WEST DELHIIn west Delhi, Amul dahi having market share of 16% that is good graph of progress in a limited time but there is a still hope to cover more market and give tuff competition to the competitor like mother dairy & nestle. Probiotic dahi containing probiotic lactobacillus acidophilus and lactobacillus casei exhibited a significant delaying effect on the progression of diabetes. It also consists of good bacteria that enable digestion. But due to scientific term or less advertisement of product, awareness in the consumers is very less. so need to more advertise among people can know & get the benefits of that product. ANALYSIS: AVAILABILITY It shows that ease of availability is also an important parameter that plays a role in effecting consumers buying decision. Out of 200 sample size 162 do not consume AMUL milk who prefer ease of availability as the most important parameter. Either they were getting the milk they were consuming on their doorsteps or it was available near to their house. ANALYSIS: TASTE It shows that taste being the second most important parameter effects the buying decision of consumers. Out of 200 households surveyed 81% people do not use amul milk since they do not find taste appropriate. The reason for not liking the taste was that they had become habitual of consuming either the other brands or the loose milk available from local dairies. These findings were common in all the areas i.e. it was the problem in almost every area surveyed. ANALYSIS: PRICE It shows that price being one the parameter that effects the buying decision of consumers is least effective in major areas. But there are areas where Price is still the most important parameter. These areas are the areas of sadar bazaar & sagarpur.In these areas price is still the most important factor and but price of milk are almost same for all the brands in delhi.So we have to concentrate on others factor to capture the market. ANALYSIS: QUALITY It shows that Quality is the most important parameter that effects the buying decision of consumers. In tern of quality, we are best. By maintaining quality and believe of customer, we should try to capture market. ANALYSIS: REASONS FOR DISCONTINUATION The major of discontinuing the use of AMUL milk is availability. Majority of people discontinued amul milk due to availability problems followed by taste, then a quality and last price People are not getting milk in evening time. It is major problem for those who are working and come late to home .If they are not finding amul at retails then they shift to the other brands. DATA PROCESSING, ANALYSIS & INTERPRETATION As per the information collected through primary & secondary resources, we have come out with the facts & figures as follows:Mother dairy is the market leader with a market share of 42.02 % in milk while Amul has 22.65%. The reasons are as follows: Proper supply chain management in Mother Dairy. The distributors of the milk fulfill the demand of retailers twice a day. While in Amul, milk is supplied only once to the retailers in a day. Payment terms are flexible than Amul. Although, in both the companies, the payments has to be deposited in the bank on the same day of sale. But in Mother dairy, if a distributor is failed to deposit the cash amount on the same day, then he has to pay a penalty of Rs.3000/- & a Demand Draft of the late payment to MD & from the next day onwards , he can deposit the cash money in the same manner as he was doing earlier in the bank. On the contrary, if this happens to the distributor of Amul, then he has to pay the daily cash sales in the form of Demand Draft to the Amul for 30 days. He has to pay the extra cost of Exchange rate of the DD amount to the bank for 30 days. In other words, this is a harsh punishment for the distributors of Amul. Area code is not fixed to prevent mixing of distributers. It leads to confrontations among the distributors & retailers. Unavailability of half litre pouch milk of Amul to the consumers. For eg. If a consumer wants to purchase 2.5 litre milk , then due to shortage of half litre package, he will prefer 2 litre milk or he will buy another brand of half litre. The other brands like Gopaljee & Paras are offering a better margin of Rs. 1 per litre of milk as compared to 80 paise as given by Amul or Mother Dairy to the retailers. This attracts the retailers to sell Gopalji or Paras. Extra benefits or schemes are target based in Amul, which again a tough job for the distributors & retailers.This is the reason of gaining 5.90% market share by Gopaljee just because of more margins & schemes. In case of solving complaints of the Retailers, Mother dairy takes quick action on the day itself, while Amul takes 2-3 days to sort out the matter. In Mother Dairy, distributors & retailers have direct access to the company‘s website regarding any problems in supply, sour milk, increased demand of milk etc. They can talk directly to the officers at Mother Dairy or their customer care, while in Amul; it takes a long time to solve the problems. And Mother Dairy is an old brand therefore it has a large number of loyal & traditional customers. In case of Dahi, again mother is the leader in South West Delhi. The sale of MD is 38.64% & that of Amul is 32.96%. Retailers told that that they get the Amul dahi once in a week while MD & Nestle provides two to three times in a week. Also Nestle is giving 100 % replacement facility of dahi if not sold. Mother Dairy give a replacement facility of 0.75 % on the purchase of Dahi only to their distributors. It depends to their distributors whether they transfer or not to their retailers. Amul offers zero replacement facility of Dahi Still, Amul is getting success and increased its market share within a short period of time, because of its quality and taste. Its full cream milk is very much popular. A large number of customers and retailers use Amul Tazaa milk for making Dahi at home. It has freshness. Basically, Amul is working on the strategy of DEMAND PULL, NOT ON DEMAND PUSH. The true fact about many retailers is that they are not happy with Amul, but still they are selling because customers demand Amul milk & no retailer wants to lose his customer. RECOMMENDATIONS & SUGGESTIONS 1. AMUL SHOULD IMPROVE ITS DISTRIBUTION SYSTEM, AS IT HAS ALREADY IMPLEMENTED ON ERP IN THE COMPANY, STILL DUE TO INDISCIPLINED BEHAVIOR OF ITS DISTRIBUTORS, RETAILERS SUFFERS WHICH ULTIMATELY AFFECT THE CONSUMERS. 2. WE KNOW THAT THE TIME SCHEDULE OF THE DISTRIBUTORS & THEIR TRANSPORTATION SYSTEM CANNOT BE CAPSULED, BUT THEY CAN REDUCE THEIR ERRORS. FOR EG. DRIVE CAREFULLY TO PREVENT ACCIDENTS. MANPOWER SHOULD BE MORE THAN 18 YEARS OF AGE.(IN SOME OF THE AREAS, WE HAVE OBSERVED SMALL CHILDREN ENGAGED IN LOADING & UNLODING THE TRAYS FROM THE TRUCK ) 3. BEFORE OFFERING ANY EXTRA BENEFITS OR SCHEMES TO THEIR RETAILERS, AMUL SHOULD AWARE THEM IN ADVANCE, SO THAT THE INCENTIVES CAN BE REACHED IN THE RIGHT HANDS AT RIGHT TIME.OTHERWISE DISTRIBUTORS ENJOYS THE BENEFITS OF RETAILERS. AS 64 RETAILERS TOLD US THAT THEY HAVE NOT ENJOYED ANY SCHEMES SINCE JANUARY. 4. REDUCE THE SOLVING TIME OF THE CONSUMER/RETAILERS‘COMPLAINTS. 5. IN WEST DELHI EVEN I HAVE FACED AVAILABILITY PROBLEM IN THIS ZONE IN EVENING TIME. SO MANY PEOPLE WANT TO BUY BUT LACK OF AVAILABILITY; THEY HAVE TO SHIFT ON OTHER BRANDS. 6. AMUL SHOULD ALSO LAUNCH CERTAIN SCHEMES FOR HOUSEHOLDS. IT HAS SCHEMES FOR RETAILERS BUT NOT FOR HOUSEHOLDS. THIS SECTION BEING THE MAJOR USER OF MILK AND IN ORDER TO ENTER INTO A NEW AREA SUCH STARTING SCHEMES CAN BE VERY HELPFUL. LIMITATIONS Throughout the study utmost care has been taken to avoid biases, errors so as to ensure authenticity and accuracy. But there is possibility for some discrepancies to come in between due to following limitations: Respondents may give their biased opinion, as they know the identity of interviewer. Assumptions made by the respondents suggest that views and suggestion given by the respondents are his/her own perception or idea. The study is not free from sampling error. CONCLUSION Amul has established itself as a uniquely appropriate model for rural development. Amul has spurred the White Revolution of India, which has made India the largest producer of milk and milk products in the world.Amul products have been in use in millions of homes since 1946. Amul's product range includes milk powders, milk, butter, ghee, cheese, curd, chocolate, ice cream, cream, shrikhand, paneer, gulab jamuns, basundi, Nutramul etc. have made it a leading food brand in India. Today Amul is a symbol of many things like of high-quality products sold at reasonable prices & the genesis of a vast co-operative network. Amul pouch milk is growing in Delhi along with the increase in size of market. With the help of this market survey,Amul can improve its market share and it can eliminate the inefficiencies in the distribution system, retailers & customer complaints. We have analyzed the strengths, weaknesses and strategies of competitors and, thereafter, the implementable strategies has been suggested by us for the overall growth of these products. India is a country where milk and its products are used heavily. So opportunities are always there in this segment. Amul is in the market for last 60 years but in Delhi it‘s only 3 years old. On the other hand its nearest competitor mother dairy is in there for almost over 17 years. But still in this short span of 3 years, amul has built a strong position in the market when it comes to customer and brand loyalty. In order to be a market leader in near future, amul should give more attention to advertisements. Company should make policies and schemes to give benefits and better margins to its distributors and retailers. The main reason for amul‘s market share being lower than mother dairy in west Delhi is its late entry into the market. It is therefore suggested that by working on some key areas amul can still become a market leader both in milk and dahi in coming 3-4 years. BIBLIOGRAPHY BOOKS Marketing Management by Philip Kotler Marketing Research by G.C. Beri Modern Business Administration by Robert C. Appelby MAGAZINES Business World Business Today A & M (Advertising & Marketing) WEBSITES www.amul.com www.indiandairyassociation.com www.google.com www.indiainfoline.com QUESTIONNAIRE RETAILER Name: Address: Q 1- How much milk do you procure daily? Ans- ______________________________. Firm name: Phone No. Q 2- In what quantity (variants) of milk brands do you procure? AnsFull cream Toned Double Toned Mother Dairy Amul Paras Other Q 3- What is your price structure of different brand of milk? AnsFull cream Toned Double Toned Mother Dairy Amul Paras Other Q 4- Are you satisfied with the milk companies? AnsMother Dairy Amul Paras Other Q 5- How much dahi do you procure daily? Ans400gm 200gm 90gm 400gm Mother dairy Amul Yes No probiotic-90gm 200gm Nestle Other Q 6- What is your price structure of different brands of Dahi? Ans400gm 200gm 90gm probiotic-90gm 200gm 400gm Mother dairy Amul Nestle others Q 7- How many times do you get delivery form the supplier? AnsOnce Twice Accordingly Milk Dahi Q 8- Do you get any replacement scheme from the supplier? Ans- 1) Yes 2)No Q 9- Do you get any credit facility from the company? AnsMother Dairy Amul Paras Other Q 10- Which company provides you the better facility? Ans- Mother dairy Amul Paras other Q11-Do you have any suggestion for Amul? Ans: _____________________________________________ _____________________________________________ Yes No CONSUMER Name: Age: Q1: How many members are there in your family? ……………………………………………………... Q2: Which brand of milk do you consume? Mother Dairy Amul Paras Other Q3: What is your daily milk consumption? TOTAL QUANTITY_____________________________ Full Cream Tonned Milk Double Tonned Milk Loose Milk ………………. ………………. ………………. ………………. Occupation: Address: Q4: Why do you choose this brand? Taste Availability Quality Price Retailer suggestion Shelf Life Q5: Are you satisfied with Yes Quality Taste Availability Price Shelf Life Q6: Have you ever changed your brand till now? Yes No If Yes, then why? ……………………………………………………………………………………… …… Q7: In stock out situation at which brand do you shift and why? ……………………………………………………………………………………………… ……………………………………………………………………………………………… Q8: How much time do you consume Dahi? Daily Thrice in a week Twice in a week Once in a week No Q9: Which dahi do you consume daily? 1) Homemade 2) Branded. Q10: If branded then which brand and variant do you consume? ……………………………………………………………………………………… ………. Q11: Are you satisfied with the quality of this brand? 1) Yes 2) No Q12: Are you aware with the Amul probiotic dahi? 1) Yes 2) No Q13: Do you have any suggestion for Amul? …………………………..……………………………………………………………….. ……………………………………………………………………………………………