Post on 14-Sep-2014
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PRESENTATION ON
PRESENTED TO:-PROF .ROSE JOHN
PRESENTED BY:-SUNEET HEREKARANIKET SALVIMANISHA MORESANDESH BHIRADERACHIT JAJOO PRAGATI KEDAR
ROLL NO. NAME OF MEMBERS TOPIC NAME
134 SUNEET HEREKAR Introduction, History
121 ANIKET SALVI Growth Rate & Business Model, Diverse Product Mix
128 SANDESH BHIRADE The 3 C’S ModelMix… Product for every one
98 MANISHA MORE Amul CompetitorsAMUL – PRODUCT PORTFOLIOSWOT Analysis
124 RACHIT JAJOO BCG Matrix & The BCG Growth- Share Matrix
101 PRAGATI KEDAR 4 P’s of marketing,Advertisement,Reasons For Success, Amul is going globally,Conclusion
Amul (Anand Milk Union Limited)
WORLD’S BIGGESTVEGETARIANCHEESE BRAND
WORLD’SLARGESTPOUCHEDMILK BRAND
WE WILL MISS YOU MILK MAN OF INDIATHANK YOU FOR GIVING US HAUSLA, PRAGATI AND ANAND
REST IN PEACE TO HONORABLE DR. VERGHESE KURIEN BY OUR GROUP MEMBERS
IntroductionHistoryGrowth Rate & Business ModelDiverse Product MixThe 3 C’S ModelMix… Product for every oneAmul CompetitorsAmul – product portfolioSWOT AnalysisBCG Matrix & The BCG Growth- Share Matrix4 P’s of marketingAdvertisementReasons For Success Amul is going globallyConclusion
FLOW OF PRESENTATION
IntroductionFormed in 1946, is a dairy cooperative movement in India with 250 liters of milk per day with name KAIRA DISTRICT CO-OPERATIVE MILK PRODUCERS’ UNION.•A brand name AMUL is managed by Gujarat Co-operative Milk Marketing Federation Ltd. (GCMMF).•The brand name Amul means “AMULYA” (suggested by a quality control expert in Anand). This word derived form the Sanskrit word “AMULYA” which means “PRICELESS”.
HISTORY •Amul has spurred the white revolution of India, which has made India the largest producer of milk and milk products in the world and the White Revolution has finally created a billion-dollar brand.•Today Amul dairy is No. 1 dairy in Asia and No. 2 in the world , which is matter of proud for Gujarat and whole India.•Amul has more than 150 chilling centers in various villages.•Dr. Varghese Kurien, former chairman of the GCMMF – the man behind the success of Amul.
Annual Turnover
4300
10000
2000
0
2000
4000
6000
8000
10000
1946 1999 2007 2008 2009 2010
Time Frame
INR
Cro
res
CAGR: 32%
Annual Turnover Of Rs 4300 Crore (2006-07) Rs 10,000-crore mark over the next three years. Four decades to become Rs 2,000-crore entity But, the turnover doubled to over Rs 4,300 crore within nine years from 1999 to 2007
Growth rate
Business model Every day Amul collects 7 million
liters of milk from 2.6 million farmers (many illiterate), converts the milk into branded, packaged products, and delivers goods to over 500,000 retail outlets across the country.
Its supply chain one of the most complicated in the world.
Amul Butter, Milk Powder, Ghee, Amulspray, Cheese, Chocolates, Shrikhand, Ice cream, Nutramul, Milk and Amulya
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Diverse Product Mix
The 3 C’s…
Customer
Company
Competitor
•Customers extremely satisfied•Moved from loose milk to •packaged milk•Ready to try more products•Improved socio-economic conditions
•Largest milk brand in Asia•More than 30 dairy brands•Market leader in ghee & butter•Very strong supply chain•Enjoys Fine reputation•Quality with Affordability
•Defending against Mahananda,Vijay, Milma & other co-operative milk brands
•Aggressive moves against Britannia, Nestle, Mother Dairy and Kwality
Mix… Product for every oneo Amul never forget its “primary customer” - Amul collects 7 million liters of milk from 2.6 million formers(many ittiterate)
o Product for youth - Amul launches Chocolate milk under brand name “AMUL KOOL KOKO” targeting the youth
o Product for diabetic people -India’s First pro-Biotic Wellness Ice cream & Sugar Free Delights For Diabetics
Mix… Product for every oneoProduct for the healthconscious - Amul Launched “low fat, low cholesterol bread spreads”
oProduct for the pricesensitive India - Low Priced Amul Ice Creams andaffordable ‘sagar’ whitener
oProduct for the urban class - Amul launched emmental,gouda and pizza mozzarella cheese
AMUL COMPETITORS
85%
AMUL – PRODUCT PORTFOLIOCategory Market Share Market Position
Milk Powder
Chocolate Drink
Cheese
Butter
SweetsIce- Cream
Chocolate
24.75% (HUL-28.22%,Mother Diary- 8.66%)
1
112113
50%
50%90%
10% (Cadbury- 70%)
40%
SWOT Analysis
Strong dependency on weak infrastructure & completely
dependent on villages for its raw materials
Risks of highly complex supply chain system
Short self life of its ProductsAlliance with third parties who do not belong to the organized sector
Largest food brand in India & Asia High Quality, Low Price
Introduced TQMWorld’s Largest Pouched Milk
Brand Annual turnover of 4300Crore(2006-07)
Highly Diverse Product MixRobust Distribution Network
strength
weakness
Penetrate international marketsDiversify product portfolio to entre new products categories and expand existing
categories like processed foods, chocolates etc.
Use internet to sell its productsCompetitors- Hindustan lever, Nestle,
Britannia and Local playersStiff competitions from MNC’s in butterGrowing price of milk and milk products
Ban on exports of milk powderThe yield of India cattle still much lower than
other dairy countries. Threats
Opportunities
BOSTON CONSULTING GROUP (BCG) MATRIX is developed by “ BRUCE HENDERSON” OF THE BOSTON CONSULTING GROUP IN THE EARLY 1970’s.
According to this technique, businesses or product are classified as low or high performers depending upon their market growth rate and relative market share.
WHAT IS BCG MATRIX?
THE BCG GROWTH-SHARE MATRIX
It is a portfolio planning model which is based on the observation that a company’s business units can be classified in to four categories:
Stars Question marks Cash cows Dogs
It is based on the combination of market growth and market share relative to the next best competitor.
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Star are leaders in business.They also require heavy investment, to maintain its market
share.It leads to large amount of cash consumption and cash
generation.Attempts should be made to hold the market share
otherwise the star will become a CASH COW.
STAR High growth, High market share
Most businesses start of as question marks.They will absorb great amounts of cash if the market share
remain unchanged, (low).Question marks have potential to become ater and eventually
cash cow but can also become a dog.Investment should be high for question marks
QUESTION MARKS High growth, LOW market share
They are foundation of the company and often the star of yesterday. They generate more cash than required. They extract the profits by investing as little cash as possible. They are located in an industry that is mature, not growing or declining.
CASH COWS LOW GROWTH, HIGH MARKET SHARE
Dogs are the cash traps.Dogs do not potential to bring in much cash.Number of dogs in the company should minimized.Business is situated at a declining stage.
DOGSLOW growth, LOW market share
AMUL - BCG MATRIX
Amul Ice- Cream
Amul chocolate
Amul butter
Amul chocolate drink
Low
Amul cheese
High
Business growth rate
Low
High
Relative Market Share
4 P’S OF MARKETING1. PRODUCT
4 P’S OF MARKETING2. PLACE
Cost of milk.Labor cost.Packaging cost.Processing cost.Advertisement cost.Transportation cost.Sales promotion cost.Taxes etc.
4 P’S OF MARKETING3. PRICING
Uses of variety of media to communicate. Most famous in bill board Amul Butter girl is one of the longest run ad Campaign using like Amul star voice of India.
4 P’S OF MARKETING4. PROMOTION
AMUL’S CREATIVE ADVERTISEMENTS
BASED ON MOVIES
MOVIES
BASED ON POLITICS
BASED ON CRICKET
GIVING SOCIAL MESSAGE
EXTRA PICTURES
Success factor of
Amul
Test & Trust
Easy Availability
Product diversification
Use updated Technology
Promotions
Pricing Strategy
Reason for success
Amul is going globally…..GCMMF has signed an agreement with Wal-Mart to stock its shelves with products under its Amul brand name. Amul processed cheese, pure ghee, shrikhand, Nutramul, Amul’s Mithaee Gulab Jamuns are few of the products marketed in US markets.
50% of Americans being medically obese & if Amul is really looking to capture the hearts of the 2nd and 3rd of Indians, offering low-fat versions of its brands, would make a lot of commercial sense. Hence targeting the large Indian community in the USmarkets with its niche products like Mithai, Packaged ready to eat foots market, it can definitely expand its market to a large extent.
Overseas markets- Mauritius, UAE, Bangladesh, Australia, China, Singapore, Malaysia , Nepal, Pakistan, Hong Kong and a few South African countries.Fresh plans of flooding the markets of Japan & Srilanka.Tie up with Glaxo to sell baby food…
Conclusion Amul can try out the following ideas:I) Amul can venture out on new products like Toned milk,Condensed milk that can be used for sweets, Baby food products,
II) There are certain product like Amul basundi, gulab jamoon, chocolates etc which are not as popular as Amul ice cream. Amul must try to understand the cause of this through thorough market research and work on improving these products
III) Though Amul’s hoardings are a huge success, it can penetrate even better in the rural areas by advertising through the media via cable channels and newspapers. Sponsoring shows in TV, sports events can be of great help.
THANK YOU…ANY QUESTION????