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Amul ppt


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Amul ppt

  1. 1. History of Amul Amul (Anand Milk Union Limited), formed in 1946, is a dairy cooperative movement in India. It is managed by Gujarat Co-operative Milk Marketing Federation Ltd. (GCMMF). AMUL is based in Anand, Gujarat and has been a sterling example of a co-operative organizations success in the long term. The Amul Pattern has established itself as a uniquely appropriate model for rural development. Amul has spurred the White Revolution of India. It is also the worlds biggest vegetarian cheese brand. 1
  2. 2. Success!! 2
  3. 3. Robust Supply Chain The vast and complex supply chain Hierarchical network of cooperatives Stretches from small suppliers to large fragmented markets 3
  4. 4. Low Cost Strategy Amul adopted a low-cost price strategy to make its products. Affordable and attractive to consumers by guaranteeing them value for money. 4
  5. 5. Diverse Product Mix Amul Butter, Milk Powder, Ghee, Amulspray, Cheese, Chocolates, Shrikhand, Ice cream, Nutramul, 5 Milk and Amulya
  6. 6. Strong Distribution Network Amul products are available in over 500,000 retail outlets across. India through its network of over 3,500 distributors. 47 depots with dry and cold warehouses to buffer inventory of the entire range of products. 6
  7. 7. Technology and e-initiatives New products Process technology Complementary assets to enhance milk production E-commerce. 7
  8. 8. GCMMF – Over View GCMMF: Gujarat Cooperative Milk Marketing Federation GCMMF is Indias 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. CRISIL, Indias leading Ratings, Research, Risk and Policy Advisory company, has assigned its highest ratings of "AAA/Stable/P1+" to the various bank facilities of GCMMF. 8
  9. 9. FactsMembers: 13 district cooperative milk producers UnionNo. of Producer Members: 2.79 millionNo. of Village Societies: 13,328Total Milk handling capacity: 11.22 million litres per dayMilk collection (Total - 2008-09): 3.05 billion litresMilk collection (Daily Average 8.4 million litres2008-09):Milk Drying Capacity: 626 Mts. per dayCattle feed manufacturing 3500 Mts. per dayCapacity: 9
  10. 10. Amul - Business Model RAW MILK pasteurizationCondensed Packaged Milk Dried Ghee Skimmed Milk Ice cream Butter Powder Beverages Cream 10
  11. 11. SWOT Analysis 11
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  13. 13. Strengths• Largest food brand in India• High Quality, Low Price• Worlds Largest Pouched Milk Brand• Annual turnover of US $1504 million• Highly Diverse Product Mix• Robust Distribution Network 13
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  15. 15. • Risks of highly complex supply chain system• Strong dependency on weak infrastructure• Alliance with third parties who do not belong to the organized sector 15
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  17. 17. Opportunities…….!• Penetrate international markets• Diversify product portfolio to enter new product categories• and expand existing categories like processed foods, chocolates etc 17
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  19. 19. Threats…!• Competitors - Hindustan Lever, Nestle and Britannia• Still competition from MNCs in butter• Growing price of milk and milk products• Ban on export of milk powder 19
  20. 20. Kids WomenYouth Calorie Conscious Health Conscious 20
  21. 21. KidsI. Amul KoolIII.Chocolate MilkV. Nutramul Energy DrinkVII.Amul KoolIX. Millk Shaake 21
  22. 22. WomensAmul Calci 22
  23. 23. YouthI. UtterlyDelicious PizzaIII.Amul Emmental CheeseV. Amul Cheese Spreads 23
  24. 24. Health Conscious• Nutramul• Amul Shakti Health Food Drink 24
  25. 25. Calorie ConsciousI.Amul LiteIII.Sagar Skimmed Milk PowderV.Amul Lite Slim and Trim Milk 25
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  27. 27. Ice-cream Manufacturers Restaurant/Food ChainsMilk Coffee Shop Chains Temples 27
  28. 28. Butter/Cheese/Ghee Bakery & Confectionaries Pizza Retailers Snacks Retailers 28
  29. 29. Advertisements AMUL is well known for its innovative hoardings. Find below a few: 29
  30. 30. Advertisements 30
  31. 31. Amul - Product DiversificationSeeking unfamiliar products or markets inthe pursuits of growth with both dairy and non-dairy productsSecret Philosophy Progressive addition of higher value productswhile maintaining the desired growth in existingproducts. Amul introduced products with consistent valueaddition but never left the core philosophy of“providing milk at a basic, affordable price” 31
  32. 32. The 3 C’s…•Defending against Mahananda, •Customers extremely satisfiedVijay, Milma & other co-operative •Moved from loose milk tomilk brands •packaged milk •Ready to try more products•Aggressive moves against •Improved socio-economic Britannia, Nestle, Mother Dairy conditions and Kwality •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
  33. 33. Amul – Product Portfolio Category Market Share Market PositionChocolate Drink 90% 1 Butter, Ghee 85% 1 Cheese 50% 1 Sweets 50% 1 Milk Powder 40% 1 Ice-cream 24.75% 2 Chocolate 10% 3 33
  34. 34. Amul – Product Portfolio in GraphMarket share 34
  35. 35. What more can Amul do? To improve further 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, choclates 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 viz cable channels and newspapers. Sponsoring shows in TV, sports events can be of great help. 35
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