38113850 Amul Project Report 1

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INTRODUCTION TO PROJECT

The project presented here gives a detailed analysis of Retailer penetration of AMUL pouch

milk in Kanpur market and the content being provided in terms of services to the customers.

Milk is a most perishable item and demand of that product is increase day by day so company

have to provide most frequently supply to the consumer .

I came to know about how to penetrate the product in the market threw the distribution channels. in this process I had identify that what is the actual demand of the product and what is the actual supply of that product in the market and what will be the effect if

1. SUPPLY(S) < DEMAND(Y)

2. SUPPLY(S) > DEMAND(Y)

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OBJECTIVES:

To know how they can maximize their sale.

To know how to increase number of outlets (retailers) in the city of

Kanpur.

To know about retailer as well as consumer satisfaction level.

To know what retailer wants from any company.

To know the behavior of the distributor for the retailer side.

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LIMITATIONS

Limited time available for interviewing the respondents. As a result of this it was not

possible to gather full information about the respondents.

When I interviewed children, old-women and old man they are not able give answers

according to the questionnaire due to absence of main retailer.

As summer training is going under summer season so sometimes people are less

interested in filling up questionnaire.

Sometimes the problem which I face is Non-cooperative approach rude behavior of

retailer about the ADA and company problem for which I have to make them

understand.

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If the respondents answer does not falls between amongst the options given then it

will turn up to be a biased answer.

INTRODUCTION AND HISTORY

In the year 1946 the first milk union was established. This union was started with 250

liters of milk per day. In the year 1955 AMUL was established. In the year 1946 the union

was known as KAIRA DISTRICT CO-OPERATIVE MILK PRODUCERS’ UNION.

This union selected the brand name AMUL in 1955.

The brand name Amul means “AMULYA”. This word derived form the Sanskrit

word “AMULYA” which means “PRICELESS”. A quality control expert in Anand had

suggested the brand name “AMUL”. Amul products have been in use in millions of homes

since 1946. Amul Butter, Amul Milk Powder, Amul Ghee, Amulspray, Amul Cheese, Amul

Chocolates, Amul Shrikhand, Amul Ice cream, Nutramul, Amul Milk and Amulya have made

Amul a leading food brand in India. (The total sale is Rs. 6 billion in 2005). Today Amul is a

symbol of many things like of the high-quality products sold at reasonable prices, of the

genesis of a vast co-operative network, of the triumph of indigenous technology, of the

marketing savvy of a farmers' organization. And have a proven model for dairy development

(Generally known as “ANAND PATTERN”).

In the early 40’s, the main sources of earning for the farmers of Kaira district were

farming and selling of milk. That time there was high demand for milk in Bombay. The main

supplier of the milk was Polson dairy limited, which was a privately owned company and

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held monopoly over the supply of milk at Bombay from the Kaira district. This system leads

to exploitation of poor and illiterates’ farmers by the private traders. The traders used to

beside the prices of milk and the farmers were forced to accept it without uttering a single

word.

However, when the exploitation became intolerable, the farmers were frustrated. They

collectively appealed to Sardar Vallabhbhai Patel, who was a leading activist in the

freedom movement. Sardar Patel advised the farmers to sell the milk on their own by

establishing a co-operative union, Instead of supplying milk to private traders. Sardar Patel

sent the farmers to Shri Morarji Desai in order to gain his co-operation and help. Shri Desai

held a meeting at Samarkha village near Anand, on 4th January 1946. He advised the

farmers to form a society for collection of the milk.

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These village societies would collect the milk themselves and would decide the prices

at which they can sell the milk. The district union was also form to collect the milk from such

village co-operative societies and to sell them. It was also resolved that the Government

should be asked to buy milk from the union.

However, the govt. did not seem to help farmers by any means. It gave the negative

response by turning down the demand for the milk. To respond to this action of govt., the

farmers of Kaira district went on a milk strike. For 15 whole days not a single drop of milk

was sold to the traders. As a result the Bombay milk scheme was severely affected. The milk

commissioner of Bombay then visited Anand to assess the situation. Having seemed the

condition, he decided to fulfill the farmers demand.

Thus their cooperative unions were forced at the village and district level to collect

and sell milk on a cooperative basis, without the intervention of Government. Mr. Verghese

Kurien showed main interest in establishing union who was supported by Shri

Tribhuvandas Patel who lead the farmers in forming the Co-operative unions at the village

level. The Kaira district milk producers union was thus established in ANAND and was

registered formally on 14th December 1946. Since farmers sold all the milk in Anand through

a co-operative union, it was commonly resolved to sell the milk under the brand name

AMUL.

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At

the initial

stage only

250 liters

of milk was

collected

everyday. But with the growing awareness of the benefits of the cooperativeness, the

collection of milk increased. Today Amul collect 11 lakhs liters of milk everyday. Since

milk was a perishable commodity it becomes difficult to preserve milk flora longer period.

Besides when the milk was to be collected from the far places, there was a fear of spoiling of

milk. To overcome this problem the union thought out to develop the chilling unit at various

junctions, which would collect the milk and could chill it, so as to preserve it for a longer

period. Thus, today Amul has more than 150 chilling centers in various villages. Milk is

collected from almost 1073 societies.

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With the financial help from UNICEF, assistance from the govt. of New Zealand

under the Colombo plan, of Rs. 50 millions for factory to manufacture milk powder and

butter was planned. Dr.Rajendra Prasad, the president of India laid the foundation on

November 15, 1954. Shri Pandit Jawaharlal Nehru, the prime minister of India declared it

open at Amul dairy on November 20, 1955.

PEOPLE POWER: AMUL'S SECRET OF SUCCESS

The system succeeded mainly because it provides an assured market at remunerative prices

for producers' milk besides acting as a channel to market the production enhancement

package. What's more, it does not disturb the agro-system of the farmers. It also enables the

consumer an access to high quality milk and milk products. Contrary to the traditional

system, when the profit of the business was cornered by the middlemen, the system ensured

that the profit goes to the participants for their socio-economic upliftment and common good.

Looking back on the path traversed by Amul, the following features make it a pattern and

model for emulation elsewhere.

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Amul(G.C.M.M.F.) has been able to:

• Produce an appropriate blend of the policy makers farmers board of management and

the professionals: each group appreciating its rotes and limitations,

• Bring at the command of the rural milk producers the best of the technology and

harness its fruit for betterment.

• Provide a support system to the milk producers without disturbing their agro-

economic systems,

• Plough back the profits, by prudent use of men, material and machines, in the rural

sector for the common good and betterment of the member producers and

• Even though, growing with time and on scale, it has remained with the

smallest producer members. In that sense. Amul is an example par excellence,

of an intervention for rural change.

The Union looks after policy formulation, processing and marketing of milk, provision of

technical inputs to enhance milk yield of animals, the artificial insemination service,

veterinary care, better feeds and the like - all through the village societies. Basically the union

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and cooperation of people brought Amul into fame i.e. AMUL (ANAND MILK UNION

LIMITED), a name which suggest THE TASTE OF INDIA.

PLANTS

First plant is at ANAND, which engaged in the manufacturing of milk, butter, ghee, milk

powder, flavored milk and buttermilk.

Second plant is at MOGAR, which engaged in manufacturing chocolate, nutramul, Amul

Ganthia and Amul lite.

Third plant is at Kanjari, which produces cattelfeed.

Fourth plant is at Khatraj, which engaged in producing cheese.

Today, 13 dairies are producing different products under the brand name Amul. 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.

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COMPANY PROFILE

Gujarat Cooperative Milk Marketing Federation (GCMMF) is India's largest food products

marketing organization. It is a state level apex body of milk cooperatives in Gujarat 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.

The seeds of our Gujarat Co-operative milk marketing federation were sown

in November 1973 with the simple intention of ensuring a fair return to tile

producers. The intention was to receive all the milk offered by them.

The intention was to help member unions develop adequate production and

processing facili ties. The intention was to process all the milk received.

The intention was to develop a product -mix that would promote sustained

growth. The intention was to offer consumers quality products of fair prices

and to do so by achieving economics of scale and costs. The intention was to

create and expend a milk grid to maximize the availability of liquid milk.

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The intention was that milk Co-operatives would play an ever increasing role

in the rural economy, providing gainful employment to large number of

producers.

The intention was to raise producer awareness that they could mange their

own affairs through Co-operatives that they controlled. The intention was to

create a structure owned by farmers that would, with time, be the farmer’s

best friend.

The intention was to establish a marketing and distribution system that would

reach every corner of the country with our products.

And the intention was that the highest levels of consumer confidence would

be reposed in the brands called Amul and

Saga(In the chocolate unit camp co chocolate is sold under Amul brand name)

It is fully made for the consumer by the consumer. In the Amul(G.C.M.M.F.)

Company there are 17-lakh farmers of Gujarat are shareholders of Amul. This

company collect the milk from there share holders about 30-lakh Liters per

day in the pure from at 13- places in the Gujarat. This company has three tier

of system.

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Village Co-operative

Member union.

Federation (G.C.M.M.F Ltd.)

In the sense of three tier of system company collects the milk from village

Co-operative by there 17-lakh farmer (Share holders) at the 13- member

union in Gujarat for the separation in the form of Liquid and Gel.

After the processing of the milk this member union send the products to the

federation division for marketing behind the brand G.C.M.M.F. Ltd. and in

the field products are sold under the brand name of Amul and Sagar.

COMPANY DREAM

Achieve 50% market share.

Outlet of strategic points.

Placement of point of purchase in 100% outlets.

52554 Rs (million) & 1325 US $ (in million) Turn over by

2007-08 and 1000 Crores turnover by 2010.

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TQM POLICY

In 1994 federation had embarked on the TQM(Total Quality Management) .In 1999 it

received Rajiv Gandhi National Quality Award for the year.

More than 25000 Kaizen’s (Small improvement in work areas) where made by the

federation indifferent areas. Workshops on SQC(Statistical Quality Control) have been

conducted across the member dairies to achieved total quality in the production process.

More than 225 Amul Quality circles have been created though the length and

breadth of the country. These efforts are the secrets of Amul top quality product.

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VALUE OF THE GCMMF LTD. (AMUL)

• Customer orientation

• Co-operation

• Quality

• Belongingness

• Commitment to producers

• Excellence

• Innovation Pride in organization Integrity

• Leadership

• Growth Orientation-New Products

• Employees Satisfaction

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OPERATION FLOOD

The transition of the Indian milk industry from a situation of net import to

that of surplus has been led by the efforts of National Dairy Development

Board’s Operation Flood. Programmed under the aegis of the former

Chairman of the board Dr.V.Kurian.

Launched in 1970, Operation Flood has led to the modernization of India’s

dairy sector and created a strong network for procurement processing and

distribution of milk by the co-operative sector.

Per capita availabil ity of milk has increased from 132 gm per day in 1950 to

over 220 gm per day in 1998.

The main thrust of Operation Flood was to organize dairy co-operative in the

milk shed areas of the village, and to link them to the four Metro cities,

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which are the main markets for milk. The efforts undertaken by NDDB have

not only led to enhance.

Production, improvement in methods of processing and developing of a

strong marketing network, but have also led to the emergence of dairying as

an important source of employment and income generation in the rural areas.

It has also led to an improvement in yields, longer lactation periods,

shorter calving intervals, etc through the use of modern breeding techniques.

Establishment of milk collection centers and chilling centers has enhanced

life of raw milk and enabled minimization of wastage due to spoilage of milk.

Operation Flood has been one of the world’s largest dairy developments

programmed and looking at the success achieved in India by adopting the co-

operative route, a few other countries have also replicated the model of

India’s White Revolution.

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.

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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) availabili ty

• an established infrastructure of technology

• supporting manpower

An entrepreneur’s participation is likely to provide attractive returns on the

investment in a fast growing market such as India.

Along with an export potential in the Middle East, Singapore, Malaysia,

Indonesia, Korea, Thailand, Hong Kong and other countries in the region.

Among several areas of potential participation by NRIs and foreign investors.

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BOARD MEMBERS

Shri Ramsinh Prabhatsinh Parmar ChairmanShri Rajendrasinh Dhirsinh Parmar Vice-ChairmanShri Dhirubhai Amarsinh Zala DirectorSmt. Mansinh Kohyabhai Chauhan DirectorShri Maganbhai Gokalbhai Zala DirectorShri Shivabhai Mahijibhai Parmar DirectorShri Pravinsinh Fulsinh Solanki DirectorShri Chandubhai Madhubhai Parmar DirectorShri Bhaijibhai Amarsinh Zala DirectorShri Bipinbhai Manishankar Joshi DirectorSmt. Sarayuben Bharatbhai Patel DirectorShri Ranjitbhai Kantibhai Patel Director

Shri B. M. VyasManaging Director

G.C.M.M.FShri Deepak Dalal District RegistrarShri Rahul Kumar Managing Director

Amul products have been in use in mill ions of homes since 1946.

• Amul Butter

• Amul Milk Powder

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• Amul Ghee

• Amulspray

• Amul Cheese

• Amul Chocolates

• Amul Shrikhand

• Amul Ice – cream

• Nutramul

• Amul Milk

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AMUL(G.C.M.M.F.) POUCH MILK

GOLD TAZA BUTTER

MILK

S.N

O

1LIT 500ML 1LIT 500ML 200ML 500ML

1 ADA RATE PER

CRATE

(12 LIT’s)

Rs314.40 Rs314.40 Rs254.40 Rs254.4

0

Rs258.0

0

Rs126.00

2 ADA MARGIN Rs 5.16 Rs 5.16 Rs 5.16 Rs 5.16 Rs 5.16 Rs 6.00

3 CRATES VOLUME 12LIT’s 12LIT’s 12LIT’s 12LIT’s 12LIT’s 12LIT’s4 RETAILERS PRICING Rs26.20 Rs 13.10 Rs21.20 Rs10.60 Rs4.30 Rs5.505 MARKET

PRICE(M.R.P)

Rs27.00 Rs13.50 Rs22.00 Rs11.00 Rs4.50 Rs6.00

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Present Amul(G.C.M.M.F.) Pouch Milk & Price

Constituents of milk

Fat Water SNF

True Fats Substances associated with fat

Lecithine Cholesterol CaroteneVitamins

A,D,K&E

Lactose Proteins &other

Minerals Minor Constituents

Caseine Whey ProteinsPhosphates,Citrates

NaCl,Mg,Fe,I

Pigments Dissolved Gasses

Vit B & B12 Enzymes

.

PASTEURIZATION:

It is the process of heating milk to 70 degree Celsius for 15 second and then cooling

down. It remove all the harmful bacteria from milk, which is not done in loose milk.

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Types of Fresh Milk:

• Amul Taaza Toned Milk 3% fat .

• Amul Gold Full Cream Milk 6% fat.

• Amul Shakti Standardized Milk 3% fat .

• Amul Smart Double Toned Milk 1.5% fat .

AMUL GOLD

Serving size 500mlEnergy 87Kcal

Energy from fat 54 Kcal Total fat 6gm

Saturate fat 3.7 gm

Cholesterol 16 mg

Total carbohydrate 5.0 gm

Added sugar .0 gm

Protein 3.3 gm

Calcium 150 gm

Phosphorus 130 mg

Sodium 50 mg

Thiamine 42 mcg

Riboflavin 120 mcg

Niacin 100 mcg

Folic acid 7.5 mcg

Vit A(Retinol) 65mcg

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AMUL TAZA

Serving size 500mlEnergy 58 Kcal

Energy from fat 27 Kcal Total fat 3 gm

Saturate fat 1.9 gm

Cholesterol 8 mg


Added sugar .0 gm

Protein 3.1 gm

Calcium 150 gm

Phosphorus 130 mg

Sodium 50 mg

Thiamine 42.5 mcg

Riboflavin 120 mcg

Niacin 100 mcg

Folic acid 7.5 mcg

Vit A(Retinol) 32 mcg

AMUL BUTTER MILK

Serving size 500ml

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Energy 26 Kcal

Energy from fat 9 Kcal Total fat 1 gm

Saturate fat 0.5 gm

Sodium 30 mg


Added sugar .0 gm

Protein 2.1 gm

Calcium 91 gm

Phosphorus 79 mg

Thiamine 25 mcg

Riboflavin 73mcg

Niacin 61 mcg

Folicacid 4.5mcg

COMPANY STRUCTURE

Gujarat Cooperative Milk Marketing Federation (G.C.M.M.F) is India’s

largest food products marketing organization. It is a state level apex body of

milk cooperatives in Gujarat which a 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.

13 district cooperative milk producers Union.

No. of Village Societies: 13,141

No. of Village: 6.4 lack

No. of Farmers: 70 lack

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Dairy plant: 30

Manufacturing plant: 13

Sales office: 47

Depot (warehousing): 48

APO’s: 3000

WD’s 3000

ADA 2200

Producing milk 1.5 crore lit/day

Use in milk: .35 lack lit/day

Use in milk product 1.15 crore Lit/day

Total Milk handling capacity: 6.7 million liters per day

Milk collection (Total – 2001-02): 1.67 billion liters

(2002-2003): 1.86 billion liters


Milk collection (Daily Average





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ORGANISATION

(MARKETING DIVISION)

MANAGING DIRECTOR

GENERAL MANAGER

ASSISTANT GENERAL MANAGER

ASST.GENERAL MANAGER

(ZONAL HEAD)

DEPOT IN CHARGE

PROBLEM ENVIRONMENT

As topic of the project was “RETAILER PENETRATION AMUL MILK IN KANPUR”.

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A Critical Analysis, the problem environment was as follows :

How to increase number of outlets in the city of Kanpur. As here the

number of outlets was less.

Sales Maximization: Amul is not getting the sale which it should get.

Distribution Pattern: As to analyze it.

PROBLEM BEING FACED:

Problem being faced are as follows:

As the distribution channel of the Amul is not up to the mark,

they are facing tough competition from local companies, which

are providing prompt services.

DISTRIBUTION NETWORK

GCMMF Ltd. (Amul) has very strong and wide distribution network

which spread all over India and foreign countries.

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The federation operate and efficient distribution infrastructure

consisting of 47 sales offices, catering to 2300 ADA,s(Area delivery agent)

distributors and 5 lakhs retailers.

Federation also co- ordinate a unique programme called "AMUL YATRA"

for almost every federation stocking for exposing the federation

philosophy of the culture of co-operation all well as operational system

and progress.

The federation also invited distributors, salesman from allover the

country to Anand for a training program focused on the federation

philosophy and developing their selling skills

DISTRIBUTION NETWORK CHART

HEAD OFFICE

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ZONAL OFFICE

DEPOT

DISTRIBUTORS

RETAILORS

ENDUSER

Head Office:-

Amul Dairy Road

P.O. Box- 10

Anand -388001

DOMESTIC MARKETING :

For domestic marketing the federation has divided the whole country into six

zones. They are -----------

H.O ANAND ZONE

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DELHI ZONE

MUMBAI ZONE

CHENNAI ZONE

CALCUTTA ZONE

GUHATI

Federation's Head office is in Ahmadabad:

SALES OFFICES:

Asansole Jaipur

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Agartala Jammu

Bannerol Jorhat

Bhayandra Kozhikode

Cochin Kanpur

Coimbatore Kundli

Cuttak Nagpur

Dimapur Naini Daman

Mohali Patna

Ghaziabad Pune

Guwahati Port Blair

Gorakhpur Parwanoo

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Hubli Raipur

Hyderabad Ranchi

Indor Sambalpur

Imphal Shillong

Vishakhapatanam Varanasi

OVERSEAS OFFICE:

Dubai, U.A.E.

MOTHER DAIRY

Village-ghat

MARKETING RESEARCH

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Marketing research plays an important role in the process of marketing. Starting

with market component of the total marketing talks. It helps the firm to acquire a better

understanding of the consumers, the competition and the marketing environment.

DEFINITION

“Marketing research is a systematic gathering, recording and analysis marketing problem

to facilitate decision making.”

- Coundiff Still.

“Marketing research is a systematic problem analysis, model building and fact finding for the

purpose of important decision making and control in the marketing of goods and services.

- Phillip Kotler.

MAIN STEPS INVOLVED IN MARKETING RESEARCH

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Defining the Marketing Problem to be tackled and identifying the market research problem

involved in the task.

(1) Define the problem and its objectives.

(2) Identify the problem.

(3) Determine the information needed.

(4) Determine the sources of information.

(5) Decide research methods.

(6) Tabulate, Analyze and interpret the data.

(7) Prepare research report.

(8) Follow-up the study.

(1) DEFINE THE PROBLEM AND ITS OBJECTIVES :-

This includes an effective job in planning and designing a research project that will provide

the needed information. It also includes the establishment of a general framework of major

marketing elements such as the industry elements, competitive elements, marketing elements

and company elements.

(2) IDENTIFY THE PROBLEM :-

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Identifying the problem involves getting acquainted with the company, its business, its

products and market environment, advertising by means of library consultation and extensive

interviewing of company’s officials.

(3) DETERMINING THE SPECIFIC INFORMATION NEEDED :-

In general the producer, the manufacturer, the wholesaler and the retailer try to find out four

things namely:-

What to sell

When to sell

Where to sell

How to sell

(4) DETERMINE THE SOURCES OF INFORMATION :-

Primary Data:- Primary data are those which are gathered specially

for the project at hand, directly – e.g. through questionnaires &

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interviews. Primary data sources include company salesman,

middleman, consumers, buyers, trade association’s executives & other

businessman & even competitors.

Secondary Data:- These are generally published sources, which have

been collected originally for some other purpose. Source are internal

company records, government publication, reports & publication,

reports & journals, trade, professional and business associations

publications & reports.

DECIDE RESEARCH METHODS FOR COLLECTING DATA :-

If it is found that the secondary data cannot be of much use, collection of primary data

become necessary. Three widely used methods of gathering primary data are

A) Survey

B) Observation

C) Experimentation

A. SURVEY METHOD :-

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In this method, information gathered directly from individual respondents, either through

personal interviews or through mail questionnaires or telephone interviews.

B. OBSERVATION METHOD :-

The research data are gathered through observing and recording their actions in a marketing

situation. This technique is highly accurate. It is rather an expensive technique.

C. EXPERIMENTAL METHOD :-

This method involves carrying out a small scale trial solution to a problem, while at the same

time, attempting to control all factors relevant to the problem. The main assumption here is

that the test conditions are essentially the same as those that will be encountered later when

conclusions derived from the experiment are applied to a broader marketing area.

THE PANEL RESEARCH:-

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In this technique the same group of respondents is contacted for more then one occasion; and

the information obtained to find out if there has been any in their taste demand or they want

any special quality, color, size, packing in the product.

a) Preparation of questionnaire

b) Presetting of questionnaire

c) Planning of the sample

TABULATE, ANALYSIS AND INTERPRET THE DATA :-

The report must give/contain the following information:-

a) The title of research.

b) The name of the organization for which it has been

conducted.

c) The objectives of research.

d) The methodology used.

e) Organization and the planning of the report

f) A table of contents along with charts and diagrams used in the reports

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g) The main report containing the findings

h) Conclusion arrived at end recommendations suggested

i) Appendices (containing questionnaire / forms used sample design,

instructions.)

RESEARCH DESIGN

1. RESEARCH PROBLEM

Increase the awareness level of AMUL .

Seek the general perception of retailer towards AMUL MILK.

To find the performance of AMUL MILK vis-à-vis other Brands.

To know the retailer psychology and their behaviour towards AMUL

MILK.

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2. RESEARCH OBJECTIVES & RELATED SUB OBJECTIVES

To know the relationship of sales with the retailer.

To know awareness of people towards Amul milk.

To know in which area of segment Amul milk are mostly like/preferred.

To know which area is not responding the Amul sale up to the mark.

To know the preference of Amul milk with comparison to

Other competitive brands.

To know the factors which affects buyer’s buying behaviour

to purchase milk.

3. INFORMATION REQUIREMENT

First, I had to know about all the competitors present in the Amul milk

Segment (Reputed and well established brands as well as Local brands).

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Before going for the survey I had to know the comparative packs and

Prices of all the competitors existing in the market.

Since milk is a product that basic need of every people and family. It is

most perishable item in FMCG .So know about the basic information

regarding to milk. Hence I had to trace the market and segment it,

which mainly deals with various type of retailer which may be big or

small.

As milk is different product, the main information needed is the

various types of milk available in the market, their calorific value and

various other facts. They can be termed as :

4. CHOICE OF RESEARCH DESIGN – ALTERNATIVES & CHOICE

Despite the difficulty of establishing an entirely satisfactory classification system, it is helpful

to classify marketing research on the basis of the fundamental objectives of the research.

Consideration of the different types, their applicability, their strengths, and their weakness

will help the student to select the type best suited to a specific problem.

The two general types of research are:

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EXPLORATORY RESEARCH

Exploratory research seeks to discover new relationship, emphasis on discovery of ideas.

Marketing researches devote a significant portion of their work on exploratory studies when

very little is known about the problem being examined.

CONCLUSIVE RESEARCH

Conclusive studies attempts to determine the frequency with which something occurs or the

relationship between two phenomenons. Usually conclusive studies assume certain under

underlying characteristics of the market or have some precise statement of research

questions/hypothesis.

5. RESEARCH INSTRUMENT USED - DETAILS & WHY?

If one wants to know what type of dentifrice people use, what they think of, television

commercials, or why they buy particular brands of cars, the natural procedure is to ask them.

Thus, the questionnaire method has come to be the more widely used of the two data

collection method. Many consumers are now familiar with the telephone caller who greets

them with “We are making a survey”, and then proceeds to ask a series of questions. Some

interviews are conducted in person, others by telephone, and others by mail. Each of these

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has its special advantages and disadvantages and limitations. The questionnaire method in

general, however, has a number of pervasive advantages and disadvantages. Discussion of

particular variations will be more meaningful if these characteristics of the general methods

are brought out first.

A questionnaire consists of list of questions to be asked from the respondents and the space

provided to record the answer / responses. Questionnaire can be used for the personal

interviews, focus groups, mails and telephonic interviews. The choice among these

alternatives is largely determined by the type of information to be obtained and by the type of

respondents from whom it is to be obtained.

The common factor in all varieties of the questionnaire method is this reliance on verbal

responses to question, written or oral.

Questionnaire in the project consists of:

Multiple choice questions

Dicthomus

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MULTIPLE CHOICE QUESTIONS:

Questions of this type offer the respondents an alternative to choose the right answer among

others. It is faster, time saving and less biased. It also simplifies the tabulating process.

OPEN END QUESTIONS:

In this type respondents are free to answer in their own words and express the ideas they

think are relevant, such questions are good as first questions or opening questions. They

introduce the subject and obtain general reaction.

DICTHOMUS:

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These are the questions which are Boolean in nature. These answers are straightforward and

respondents have to answer them in a straight way. That means the answer can only be either

‘Yes” or ‘No’.

6. SAMPLING TECHNIQUE USED & SAMPLE SIZE - WHY?

Sample design is a definite plan of obtaining some items from the whole population. The

sample design used in this project is two state sampling i.e. Cluster and convenience. In the

probability sampling methods, each items in the sample is chosen one at a time from a

complete list of universe elements. In marketing research practice, it will sometimes be more

expedient to select clusters or groups of universe elements, rather than to choose sample

items individually.

Sampling methods in which universe elements are chosen in groups ---- rather than

individually -- are called cluster-sampling methods. They are widely used in the sampling of

human populations. When no complete universe listing exists, a type of sampling is called

area sampling may be the only practically feasible form of probability sampling.

SAMPLING METHODS

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Sample design is a definite plan of obtaining some items from the whole population. The

sample design used in this project is whole Kanpur (U.P) sampling i.e. cluster sampling and

convenience sampling. The whole city was divided into some geographical areas like

• East Kanpur.

• West Kanpur

• North Kanpur.

• South Kanpur

and I have chosen Kidwai Nagar and Keshav Nagar . The total sample size was 100.

CLUSTER SAMPLING

Here the whole area is divided into some geographical area and a definite number of retailers

were to be surveyed.

CONVINIENCE SAMPLING

This type of sampling is chosen purely on the basis of convenience and according to

convenience. I visited that are which is situated in main market and there I got easily

maximum number of retail outlets. Kidwai Nagar etc.

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SAMPLING

1. Sampling Technique :Non probability sampling

(A non probability samplitechniqis

that in which each element inthe

Population does not have a equal

chance of getting selected)

2. Sample Unit : Retailer who sold the pouch milk

in retail outlets, superstores, etc

3. Sample size : 100 respondents (South Kanpur)

4.Direct interview through : Questionnaire.

5. Data analysis method : Graphical method.

6. Area of Sample : Kidwai Nagar & Keshav Nagar.

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7. Timing of survey : 6:00 am to 10:00 am

8. Reported time in office : 3:00 pm to 5:00 pm

FIELD WORK-METHOD USED FOR DATA COLLECTION

• Questionnaire was prepared keeping the objective of research in mind.

• Questions were asked to respondents as regards to there willingness to purchase

Chocolates.

• The help of questionnaires conducted direct interviews, in order to get accurate

information.

• Collect the information threw the DMR(Daily Market Report)

• In order to get correct information I had to approach retailer in entire Kanpur.

1. East Kanpur.

2. West Kanpur.

3. South Kanpur.

4. North Kanpur.

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• I visited as many respondents as I can and asked them their real likings and disliking

about any milk and also got an idea, what’s the retailer wants to the company and

how a milk market should be?

• It is really a Herculean task to understand Retailer behavior.

• People were not willing to answer, when they were contacted between 11:00 am to

8:00 pm, the time when most of the people have not open the shop in early morning.

LIST OF LOCATIONS COVERED

1. Kedranchal Colony

2. Yashoda Nagar

3. Keshav Nagar

4. Barra-6

5. Gulmohar Vihar

6. Dabuali

7. Basant Bihar

8. Krishna Nagar

9. Shyam Nagar

10. P.A.C. Road

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11. Govind Nagar

12. Kidwai Nagar

13. Babupurwa

14. Saket Nagar

15. R.B.I. colony

16. Nobasta.

17. Bekanganj

18. Koylanagar

19. Bhavaninagar

20. P-road

List of Retailer in Sample Area:

Annapurna Provision Store.

Shivam General Store.

Prabhat Provision Store.

Shukla Provision Store.

Mahesh General Store.

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Aman Store.

Maa Annapurna General Store.

Gopalji General Store.

Prakash General Store.

Bajpai Provision Store.

Anand General Store.

Maa Veshnav Provision Store.

Virendra General Store.

Suneel Provision Store.

Piyush Provision Store.

Shyama General Store.

Baba Anandesvar Dugdh Bhandar.

Shanti Provision Store.

Prabhat General Store.

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GRAPHICAL ANALYSIS

What is your average sale per month?

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RUPEES

INFRENCE : -

It was found that 45% retailers are selling (0-1,000) Rs. Milk 30% (1,000-2,000) Rs. 20%

(2,000-3,000) Rs. and 5% are selling more than 3,000 Rs. milk per day.

Which brands of Milk have in your shop?

INFRENCE :-

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It was found that 40% retailers are selling only Amul milk , 15% only Parag ,3% only

verifresh and 42% are selling more than one brand of milk.

Those retailers who were not selling pouch milk when we asked that you are

interested in selling Amul pouch milk.

INFRENCE :-

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It was found that 64% retailers are ready to sell Amul milk and 36% are not ready to sell

Amul milk.

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Customer opinion about Amul Milk?

INFERENCE :-

It was found that customer opinion for Amul milk is good 38%, 54% very

good and 8% excellent.

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Which brand provides best distribution service in milk?

INFRENCE:-

It was found that 40% retailer are satisfy with the distribution of Amul milk,48% are satisfy

with the distribution of Parag and 12% are satisfy with the distribution of verifresh .

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Who are best competitor of Amul milk?

INFRENCE :-

It was found that Amul is facing 86% competition from Parag and 14% from Verifresh .

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To whom do you like to deal?

INFRENCE :-

It was found that 65% are like to deal with distributor and rest of them like to deal with

company.

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Which time is preferred for the order

INFRENCE :-

It was found that 32% retailer preferred at afternoon and 68% at morning For the

order.

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Is there any problem regarding the Amul milk?

INFRENCE :-

It was found that 66% retailer had not a problem regarding Amul milk and rest of them

had problem.

What do you prefer to pouch milk?

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INFRENCE :-

It was found that 42% consumer prefer to availability, 28% quality, 22% price and 8%

taste in

pouch milk.

FINDINGS

During the survey it was found that still there are 83% people uses loose milk.

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Amul is not providing the leakage facilities to the ADA so that retailer is not

satisfied with the ADA due to profit margin.

Retailer margin is less in comparison to there competitor brand Parag.

More leakage problem is happen in brand of amul milk due to excess capacity of

milk(12lit /crates) while Parag is providing 10 lit /crates

In its advertisement is not using any brand ambassador which attracts all age

group people.

There is lake of Sales Promotional Activities i.e. wall painting, ice-box, Boards,

etc.

I find the main thing is that “Amul” brand name has very good image in consumer’s

mind and they consider it as Pure & Good Product.

People who have tasted Amul milk are not ready to purchase any other milk brand.

SUGGESTIONS

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In order to maintain and increase the sales in the city of Kanpur, the following

recommendations regarding Amul milk; particularly regarding advertisement,

distribution, promotional policies, etc, are hereby suggested:

Amul should provide the ice box for those retailer they don’t have fridge but they

have good demand of milk , due to ice box there sale is less

First and foremost Amul should take proper action in order to improve the service of

distribution networks therefore retailer get the supply on time(not before the time and

not after the time).

Though Amul milk advertisements are rarely shown on television yet many people

could recall it as per the data of research. It shows that there is only need to give

advertisement only to rememorize customers. Because Amul has very strong brand

name.

Company should work in the packaging of milk therefore short out the leakage

problem.

Company should provide only 10 lit/crate milk therefore short out the leakage

problem.

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Company should reduce Rs1.00 in 1 Lit packaging therefore consumer will purchase

the 1lit milk pack in comparison to competitor brand

CONCLUSION

As we know that Amul (G.C.M.M.F.) is very big organization and market leader

in dairy products. It has maximum market share in Milk, Butter and Cheese, which are its

main/core products. As we know Amul is a co-operative organisaion but milk industry is a

profitable industry we can’t ignore it. With the help of research, company can find out its

week points in milk segment and can increase its market share through rectify mistakes.

People have believed in Amul’s product and they will accept its fresh milk also if effective

actions were taken.

The survey resulted into following conclusions :

Amul must come up with new promotional activities such that people become more

aware about Amul milk .

In comparison to Amul milk, the other players such as Parag, and Verifresh provide

a better availability and give competition to the hilt due to local brand .

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People are mostly satisfied with the overall quality of Amul milk, but for the

existence in the local market Amul must use aggressive selling techniques

QUESTIONNAIRE

I am a student of PGDM(BM) from “ASM’S INSTITUTE OF INTERNATIONAL

BUSINESS AND RESEARCH PUNE”

Conducting a survey on “Retailer Penetration Amul Milk in Kanpur”.

Questionnaire

Name of Retailer:

………………………………………………………………………

Name of retail shop

………………………………………………………………………………………………

Address:

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…………………………………………………………………………………………………

……………………………………………………………

ContactNo:

…………………………………………………………………………………

1. What are your average sales per day?

(a) 0-1000Rs.

(b) 1000-2000 Rs.

(c) 2000-3000Rs.

(d) More than 3000 Rs.

2. Which brands of Milk have you in your shop?

(a) Amul

(b) Parag

(c) Verifresh

(d) More than one

3. Which brand is preferred by customer?

(a) Amul (b) Parag

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(c) Verifresh (d) Others

4. Customers opinion about Amul Milk?

(a) Good (b) Very good (c) Excellent

5. Those retailers who were not selling pouch milk when we asked that

you are interested in selling Amul pouch milk.

(a) Yes (b) No

6. Average customer demand of different brands of Milk?

(a) Amul (b) Parag

(c) Verifresh (d) Others

7. Distribution of Amul Milk?

(a) Good (b) Very Good (c) Bad

8. Who are best competitors of Amul milk?

(a) Parag (b) Verifresh

9. Which brand provides best distribution service?

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(a) Amul (b) Parag (c) Verifresh

10. To whom do you like to deal?

(a) Distributors (b) Company

11. Which time do you prefer for order?

(a) Morning (b) Evening

12. Is there any problem regarding the Amul milk?

(a) Yes (b) No

13. What do you prefer to pouch milk?

(a)Quantity (b) Price

(c)Taste (c) Availability

THANK YOU

_________________

______________

____________

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BIBLIOGRAPHY

1. www.amul.com

2. www.amuldairy.com

3. www.marketresearch.com

4. Research Methodology. ( Harper W.Boyd, C. R. Kothari )

http://www.marketresearch.com/

http://www.webexhibits.org/

38113850 Amul Project Report 1

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