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Presentation1

  1. 1. HOW TO INCREASE MARKET SHARE OF AMUL ICE CREAM PRESENTED BY LOKESHA JC M-3, Roll No.-24 Professor guide: Geeta Shetti
  2. 2. Company profile- AMUL• Established in 1946• AMUL was started out of white revolution by Dr verghese• India’s 4th largest FMCG company• Total net worth is 12000 crores in 2011-12
  3. 3. Overview to GCMMFMembers 13 district cooperative milk producers unionNo. of producers members 3.03 millionNo. of village societies: 15,712Total milk handling capacity: 13.67 million liters per dayMilk collection(2010-2011): 3.45 billion litersMilk collection(daily average 2010-2011): 9.02 million litersMilk drying capacity: 647 mtr. per dayCattle feed manufacturing capacity: 3690mtr.per daySales turn over(2010-2011): 9774crores(US$ 2.2 billion)
  4. 4. Objectives• Understanding of ice cream industry & AMUL’S position in the market• To increase the sale of AMUL ice cream• Understanding the distribution line of AMUL ice cream in mumbai• Conduct an exhaustive market research on introduction the new flavor• To find satisfaction level of retailers with AMUL service• Study the problems at company, distributor and sales person level
  5. 5. Important statistics about AMUL• World’s largest pouched milk brand with annual turnover of US $1050 million• Turnover of 2010-11 is 67.11billion• Owns more than 3000wholesale dealers and 500,000 retailers• Owns 30dairy plants, renowned AMUL brand name
  6. 6. Literature Review Origin of the AMUL ICE CREAM• Since its launch in 1996,AMUL ice creams have consistently combated competition like Kwality walls, Mother dairy and other brands• The customers have shown huge faith in the AMUL ice creams & today it’s the No.1 ice cream brand of the country• Nearly 4times large as its competitor, now it is nation’s No.1 brand• AMUL able to write the such a successful story because of the quality of its products, economic pricing & service and the believes consumer have in the brand• It was then launched in mumbai in 1997
  7. 7. Factors affecting to success of AMUL ice cream• Price differential• Quality of products• Taste• Brand name• And many other aspects
  8. 8. Segments in AMUL ICE CREAM segments Daily party packs consumable
  9. 9. Market share of ice cream brands in india
  10. 10. SWOT analysis of AMUL ice creamStrengths:• Biggest sourcing base for milk & milk products in india• 39% market share in the national ice cream market• Penetration pricing strategy- Amul is price warrior in the ice cream market and currently has a very wide range to offer for all the price points• Reputation of high quality• E-commerce, new products and process technology
  11. 11. Weakness• Advertise is low profile, as the results of the survey show. Majority of the respondents have hardly seen any Ad of Amul ice cream. However kwality walls on the other hands into heavy advertising and consequently, is popular• Shortage of stock during season• As per the survey, retailer list a credible replacement policy as a factor very high on their wish list. They would be willing to make future investment only for that brand which offers replacement facilities, Amul has no replacement policy• Less attractive packaging• Distribution problems
  12. 12. opportunities• Internet promotions are a good means of awareness which should be tapped• Amul can use the umbrella strategy for its new SKU’s• It is high growth segment as the population is very increasing with never – ending demands• Distribution coverage
  13. 13. Threats• Amul is currently facing stiff competition from Havmor and may face more threat from the local manufacturers in the low priced segment ice creams.• The customers have very well received the kwality walls product differentiation strategy and mother dairy is also pushing up its advertising strategy.• Also the low per capita income low per capita consumption of the people is a threat to Amul• Free entry to the markets• Even vadilal is coming up with new strategy and promotions of various variants of ice cream
  14. 14. Major competitors• Kwality walls• Mother dairy• Havmor• Vadilal• Pastonji
  15. 15. Research methodologyResearch design:• Exploratory research: to gather preliminary data to shed light on the real nature of the problem and suggest possible solutions/new ideas.• As per my objective of the research, the research questions would try to find out the current situation in the market regarding the satisfaction level of the retailers and consumers in the market.
  16. 16. Data collection method• Primary data- the respondents were personally interviewed with the help of a structured questionnaire• Secondary data-collected the secondary data from the Amul sales officers, PSM’s, distributors and through short interviews and informal chats.
  17. 17. Tools used for research• Questionnaire• Short interviews
  18. 18. Sampling plan• Sampling unit: retailers selling ice creams and customers.• Sample size: 100 retailers
  19. 19. Area of researchGeographical region Southern mumbai Western mumbai Central mumbaiAreas CST, Colaba Andheri, bandra, Ghatkpor, & vikroli Goregoan
  20. 20. Analysis of retailer’s survey• 1. Do you sell Amul ice creams?• Yes Analysis• No No 32% Yes 68%
  21. 21. Contd.• 2. If yes, which categories of ice creams are preferred by consumers?• Family packs• Cups 35• Cones• Sticks 30• Others 25 20 Analysis 15 10 5 0 Family Packs Cups Cones Sticks Others
  22. 22. Contd.• Which is the most preferred brand of ice cream, customers like to buy?• Amul• Mother dairy• Kwality walls• Vadilal• Pastonji Most Preffered Brand• Others_________ 3% 6% 9% Amul Mother Diary 44% Kwality Walla Vadilal Pastonji 27% Others 11%
  23. 23. Contd.• Which company gives you the best retail margins?• Amul• Mother dairy• Kwality walls Retail margins• Vadilal• Pastonji 31%• Others_____ 24% 15% 13% 12% 5% Amul Mother diary Kwality walls Vadilal Pastonji Others
  24. 24. Results & interpretation• Issue regarding deep freezer• Advertising issues• Observation of the ice cream stock• Distribution related problems• Distributor related problems• Retailer & company related problems
  25. 25. Conclusion• The most effective medium through which people have which come to know about the new flavors is by “word of mouth” publicity by friends and relatives• As far as advertisement inside shops are concern retailer had a 50-50response• Majority of the retailers would appreciate the new flavor to be introduce in small pack as well• Almost all retailers are concerned about the damage replacements and margins• Sales man’s visit is as less as a once a month in most places
  26. 26. Limitations of the study• The sample size of the survey was very large and tedious to interview• The time taken to interview each consumer and retailer was a lot as every consumer as to be first explained everything and had to be deal with patience• The consumer’s opinion at the times was very biased due to existence of Amul in the market since many years• The time frame was given us was not enough to cover a larger sample size.
  27. 27. Recommendations• There has to be enough promotional campaigns pre-launch so that consumers are aware about the products and flavors• The Few flavors has a negative feedback, should be pull back from market as they create negative impression on consumer perception and towards Amul• Company can give gift hampers of their product or free dinner as an alternative instead of cash as an incentive to motivate their salesman• The company should get proper feedback from retailers time to time. In case they are facing any problems any problem it can be solved timely. Without delays.• Company can advertise in POP’s in local language
  28. 28. Thank you

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