strategic management of amul

STRATEGIC MANAGEMENT

INTRODUCINGGROU

P-2 PRATHAMESH BALSARAF. M-7003

SHREYAS BHOSEKAR. M-7006

SAMRUDDHI CHAVAN. M-7009

SHRADDHA HOWAL M-7027

PRACHITI MALANKAR. M-7050

NIKHIL MAHINDRAKAR. M-7051

Amul- DETAILED ANALYSIS

Presents:

CONTENT

Introduction & History- Amul. Reasons for its success and Growth

rate. Business model. Business Strategy. 3 C’s of Amul. SWOT Analysis. BCG matrix. Market Segmentations. Competitors. Amul- Product Portfolio. Advertisements OR Promotions. Conclusion.

INTRODUCTION & HISTORY

Amul – Anand Milk Udyog Limited. Formed – 1946 Brand name Amul is managed by “GCMMF”

AMUL means “AMULYA” (Derived from sanskrit word “Amulya” which means “Priceless”)

Today it is no.1 dairy in Asia n no.2 in world.

Dr. Verghese Kurien, the former chairman of GCMMF- the man behind success of Amul.

Cont… Amul has became the worlds largest vegetarian cheese and largest pouched milk brand.

Amul procured 9.4 million liters of milk per day.

In the process Amul has became the largest food brand in India and has also ventured into market overseas.

Reasons For Success Of The Product

SUCCESS

Easy Availability

Strong Distribution of

networkDiversificati

on of product

Low Cost Strategy

Promotion

Growth RateSales turnover of Amul in US$ million (1994-2012)

200

1800

2200200

0

160014001200100080

0600400

94-

95

95-

96 10-

11

11-

12

96-

97

97-

98

98-

9999-

00

01-

02

02-

03

03-

04

04-

05

05-

06

06-

07

07-

08

08-

09

09-

10

94-

95

3 TIER BUSINESS MODEL - AMUL

Dairy Cooperative Society

District Cooperative Milk Producer's Union

State Cooperative Milk Federation

Simultaneous development of suppliers and customer.

Cost Leadership.

Financial Strategy.

Focus on Core Activities.

Managing Third Party Service Providers.

BUSINESS STRATEGY

3 C’s Of AMUL

Competitor

Customer

Company

Weaknesses

Strengths

ThreatsOpportunities

SWOT ANALYSI

S

AMUL - BCG MATRIXCash Cow

Star

Question Mark

Dog

MARKET SEGMENTATION

Customer Based Market Segmentation

Industry Based Market Segmentation

Customer Based Market Segmentation

Kids

Youth

Women

Calorie Conscious

Health Conscious

Amul kool, Chocolates, Milk, Nutramul energy

drink, Ice-cream

AMUL CALCI+

Utterly delicious pizza, Amul cheese spread, Amul butter, etc

Amul lite, Amul lite slim & trim Milk powder etc.

Nutramul, Amul shakti health food drink.

Industry Based Market Segmentation

Ice cream Manufacturer

Restaurants & Food chains

Coffee shop chains

MilkAmul

Ghee/Butter/CheeseBakery &

Confectionaries

Pizza retailers

Snacks retailers

COMPETITORSAmul Products/ Brands Competitors

Butter Britannia, Nestle

Cheese Britannia

Baby Food Nestle, Heinz

Dairy Whitener Britannia, Nestle

Ice-cream HUL, Mother-dairy

Chocolates & Confectionaries

Cadbury, Nestle

Pizza Pizza Hut, Dominos.

Curd Nestle, Mother-dairy

Ultra High Treated Milk Britannia, Nestle

Sweet Condensed Milk Nestle

Paneer Britannia

Flavored Milk Britannia, Nestle

Amul- Product Portfolio

Category Market Share

Market Position

BUTTER 85% 1

MILK POWDER 40% 1

CHEESE 50% 1

ICE-CREAM 24.75% (HUL 28.22%)

2

SWEET 50% 1

CHOCOLATE DRINK

90% 1

CHOCOLATE 10% (Cadbury 70%)

3

ADVERTISING & PROMOTION STRATEGY OF AMUL

In order to maintain costs at lower levels, Amul India has never spent more than 1% of its budget on advertising and promotion.

The Amul mascot, a cute and chubby girl usually dressed in a polka dot dress, is universally recognisable in India.

The ads by Amul is designed as a series of hoardings with designs relating to day-to-day issues.

Amul has sponsor many television shows for its promotion of product like, Amul-Star voice of India, Amul- Masterchef, etc

strategic management of amul

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