final project

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“ANALYSIS OF CONSUMER PREFERENCE FOR AMUL BUTTER AND AMUL LITE
AND THEIR COMPETITOR’’
SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENTS
OF THE DEGREE OF POST GRADUATE DIPLOMA IN MANAGEMENT
CHANDRAGUPT INSTITUTE OF MANAGEMENT
PATNA
BY
NAINA
[15/06/2015]
CHANDRAGUPT INSTITUTE OF MANAGEMENT PATNA

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EXECUTIVE SUMMARY
This project titled “Analysis of consumer preference for Amul butter and Amul lite’’. Mainly
focus on identifying the technical difference in Amul butter and Amul lite. Project also focuses
on communicational difference in advertising of Amul lite which has resulted in difference in
sale volume. The awareness of Amul lite and delicious which is low fat butter is less among
people Proper consumer survey is needed to be done to understand the buying pattern of
consumers and consumer preference. The area of my project is to understand the compositional
difference and communicational difference which has led to difference in the sale volume of
Amul Butter and Amul Lite. The research draws attention to the fact that Amul has been the
market leader in India in the category of bread spread, the market share of Amul is around 63%
the shares of their key competitors such as Sudha has 16%, Nutralite has 17%, and other butter
has 4% . The further investigation reveals that this market shrinkage coincide with an increase in
heath awareness amongst consumers moreover an increasing number of rivals are also appearing
like Nuralite and others. Moreover market survey of consumers and retailers and meeting with
distributors also indicates flaw in the supply of Amul bread spread products.

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DECLERATION
This is to certify that this report entitled “Analysis of consumer preference for Amul butter and
Amul lite’’ submitted by NAINA to Chandragupt Institute of Management Patna, as a
requirement for the award of the Post Graduate Diploma in Management, is a bonafide record of
research work carried out by him/her under our supervision. The contents of this report, in full or
in parts, have not been submitted to any other Institute or University for the award of any degree
or diploma.
(REBTI RAMAN) ------------------------------ (Sign)
(RAJESH KUMAR) ------------------------------- (Sign)
Date: ___________________

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ACKNOWLEDGMENT
The satisfaction that comes through the successful completion of any task would be incomplete
without mentioning the names of people who made it possible because success is the epitome of
hard work and guidance so with gratitude, I acknowledge all those guidance and encouragement
that served as a beacon of light and crowned my effort with success so far.
I avail this opportunity to express with utmost sincerity my thanks to all people of Gujarat
cooperative milk marketing federation ltd(GCMMF Ltd) for giving me this opportunity to
undergo my summer internship in this prestigious organization.
I am deeply grateful to Mr Manoj Prabhakar and Mr Rebti Raman assistant sales manager for his
support suggestion and enthusiasm which helped me in the successful completion of this report
and to have thorough knowledge of the subject and its application.
I would like to thank Prof. Rajesh faculty mentor for providing me the key inputs at every step
for the project and extending his continuous support during the complete tenure.
I also express my gratitude to Dr V Mukund Das director Chandragupt Institute of Management
Patna for giving me an opportunity to work with Amul.

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Table of content
Sr. No Content Page no
1 ACKNOWLEDGEMENT 1 - 3
2 EXECUTIVE SUMMARY 4
3 DECLERATION 5
4 INTRODUCTION ABOUT THE PROJECT 6
5 INTRODUCTION ABOUT THE COMPANY 7 - 10
6 AMUL MODEL 11 - 12
7 INTRODUCTION ABOUT BUTTER 13 – 16
8 RESEARCH METHODOLOGY 17 - 18
9 CONTENT ANALYSIS OF INTERVIEW 19 - 20
10 ANALYSIS OF PRIMARY DATA 21 - 33
11 OUTCOME OF INDEPTH INTERVIEW 34
12 SWOT ANALYSIS 35 – 36
13 CONCLUSION 37
14 RECOMMENDATIONS 38
15 REFFERENCE 39
16 ANNEXURE-1 40 - 42
17 ANNEXURE-2 43 - 44
18 ANNEXURE-3 45-46

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INTRODUCTION ABOUT THE PROJECT:-
Bread spread comes under the FMCG sector. The products in this category are the fat dominated
spred which includes butter cheese lite and margarine. The Indian market of bread spread is
estimated to be nearby rs 1800 crores. Amul has ruled this market in India with its range of bread
spread products with all types .Several generation of Indian consumers have grown up with the
taste of Amul butter for past six decades. Amul brand of GCMMF has a consumer preference
because of its quality and taste other prime players of this category are Britannia, Nutralite,
mother dairy, and Sudha. Regional and local dairy products are also competitors in this arena.
The change in lifestyle of consumers in the past decades has complicated them to change their
food habits to suit their fast routine. Keeping these health concerned consumers in mind, the lite
products such as Amul lite was introduced in the category of bread spread, which have low
calorie content and suit the consumer who do less physical activity so that they can avoid
medical illness.Taking advantage of this, Zydus wellness camp up with Nutralite bread spread
which claims to be better than butter and is posing a threat to the entire butter category
consumers perceive Nutralite as an easy way to reduce calorie intake rather than changing their
routine to metabolize butter. After Nutralite came into market, Amul came up with Delicious
(margarine) but butter continues to be its main category. Nutralite has managed to secure a
market share of around 17% of that of Amul .
In the market of Patna, brand of Sudha, Zydus, Britannia, are present in the bread spread
category. Moreover local daries also manufacture butter which is also a competitor.
The market of Amul butter, in Patna butter continues to be the main category for Amul.

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INTRODUCTION OF AMUL COMPANY
The Birth of Amul
 It all began when milk became a symbol of protest
 Founded in 1946 to stop the exploitation by middlemen
 Inspired by the freedom movement
The seeds of this unusual saga were sown more than 65 years back in Anand, a small town in the
state of Gujarat in western India. The exploitative trade practices followed by the local trade
cartel triggered off the cooperative movement. Angered by unfair and manipulative practices
followed by the trade, the farmers of the district approached the great Indian patriot Sardar
Vallabhbhai Patel for a solution. He advised them to get rid of middlemen and form their own
co-operative, which would have procurement, processing and marketing under their control.
In 1946, the farmers of this area went on a milk strike refusing to be cowed down by the cartel.
Under the inspiration of Sardar Patel, and the guidance of leaders like Morarji Desai and
Tribhuvandas Patel, they formed their own cooperative in 1946.
This co-operative, the Kaira District Co-operative Milk Producers Union Ltd. began with just

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two village dairy co-operative societies and 247 litres of milk and is today better known as Amul
Dairy. Amul grew from strength to strength thanks to the inspired leadership of Tribhuvandas
Patel, the founder Chairman and the committed professionalism of Dr Verghese Kurien,who was
entrusted the task of running the dairy from 1950.The then Prime Minister of India, Lal Bahadur
Shastri decided that the same approach should become the basis of a National Dairy
Development policy. He understood that the success of Amul could be attributed to four
important factors. The farmers owned the dairy, their elected representatives managed the village
societies and the district union, they employed professionals to operate the dairy and manage its
business. Most importantly, the co-operatives were sensitive to the needs of farmers and
responsive to their demands. At his instance in 1965 the National Dairy Development Board
(NDDB) was set up with the basic objective of replicating the Amul model. Dr. Kurien was
chosen to head the institution as its Chairman and asked to replicate this model throughout the
country. Gujarat Cooperative Milk Marketing Federation Ltd. (GCMMF) is India's largest food
product marketing organization with annual turnover (2012-13) US$ 2.54 billion. Its daily milk
procurement is approx. 13 million lit per day from 16914 village milk cooperative societies, 17
member unions covering 24 districts, and 3.18 million milk producer members. It is the Apex
organization of the Dairy Cooperatives of Gujarat, popularly known as 'AMUL', 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. Its success has not only been emulated in India
but serves as a model for rest of the World. It is exclusive marketing organization of 'AMUL' and
'SAGAR' branded products. It operates through 48 Sales Offices and has a dealer network of
5000 dealers and 10 lakh retailers, one of the largest such networks in India. Its product range
comprises milk, milk powder, health beverages, ghee, butter, cheese, Pizza cheese, Ice-cream,

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Paneer, chocolates, and traditional Indian sweets, etc. GCMMF is India's largest exporter of
Dairy Products. It has been accorded a "Trading House" status. Many of our products are
available in USA, Gulf Countries, Singapore, The Philippines, Japan, China and Australia.
GCMMF has received the APEDA Award from Government of India for Excellence in Dairy
Product Exports for the last 13 years. For the year 2009-10, GCMMF has been awarded "Golden
Trophy" for its outstanding export performance and contribution in dairy products sector by
APEDA For its consistent adherence to quality, customer focus and dependability, GCMMF has
received numerous awards and accolades over the years. It received the Rajiv Gandhi National
Quality Award in1999 in Best of All Category. In 2002 GCMMF bagged India's Most Respected
Company Award instituted by Business World. In 2003, it was awarded the The IMC
Ramkrishna Bajaj National Quality Award - 2003 for adopting noteworthy quality management
practices for logistics and procurement. GCMMF is the first and only Indian organization to win
topmost International Dairy Federation Marketing Award.

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GCMMF OVERVIEW
Year of Establishment 1973
Members 17 District Cooperative Milk Producers'
Unions (16 Members & 1 Nominal
Members)
No. of Producer Members 3.18 Million
No. of Village Societies 16,914
Total Milk handling capacity per day 16.8 Million litres per day
Milk Collection (Total - 2012-13) 4.66 billion litres
Milk collection (Daily Average 2012-13) 12.7 million litres
Cattle feed manufacturing Capacity 5890 Mts. per day
Sales Turnover -(2012-13) ` 13735 Crores (US $ 2.54 Billion)

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The Amul Model
The Amul Model of dairy development is a three-tiered structure with the dairy cooperative
societies at the village level federated under a milk union at the district level and a federation of
member unions at the state level.
 Establishment of a direct linkage
between milk producers and
consumers by eliminating
middlemen
 Milk Producers (farmers) control
procurement, processing and
marketing
 Professional management

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The Amul model has helped India to emerge as the largest milk producer in the world. More than
15 million milk producers pour their milk in 1,44,500 dairy cooperative societies across the
country. Their milk is processed in 184 District Co-operative Unions and marketed by 22 State
Marketing Federations, ensuring a better life for millions.
Reference - http://www.amul.com/m/about-uss

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INTRODUCTION ABOUT BUTTER
The word butter comes from bou-tyron, which seems to mean "cowcheese" in Greek. Some
scholars think, however, that the word was borrowed from the language of the northern and
butterophagous Scythians, who herded cattle; Greeks lived mostly from sheep and goats whose
milk, which they consumed mainly as cheese, was relatively low in butter (or butyric) fat.
Making Butter Traditionally
First, the cream is separated from fresh whole milk. The cream is then churned by shaking or
beating it vigorously until it thickens. The remaining liquid (buttermilk) is removed. The
clustered butter is washed and formed into its solid shape.
Making Butter Today
Fresh milk from dairy farms is collected and brought to the creamery. The cream is then
separated from the fresh whole milk using centrifugal force. It is then pasteurized by heating it
rapidly to a high temperature to eliminate potential disease-causing bacteria and help the butter
stay fresh longer.
Once pasteurized, the cream is beaten vigorously in a churning cylinder until it thickens naturally
into butter. The remaining liquid (buttermilk) is drained off, and the butter is mixed and blended.
At this point, salt is sometimes added.
The final product is, by regulation, at least 80% fat, about 16% water and 3% milk solids. After
being weighed, cut, wrapped and chilled, the butter is delivered to your grocery store, ready for
you to add to your favorite foods

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TYPE OF BUTTER
Churned butter- Churned butter is traditional, salted butter made by churning pasteurized cream.
By Canadian regulations it contains at least 80% fat, about 16% water and about 3% milk solids.
It is generally available in 1 lb (454 g) blocks, 8 oz (250 g) blocks and 1 lb (454 g) blocks of 4
individually wrapped sticks. Churned butter is available in salted and unsalted versions, as well
as “semi-salt” with about half the amount of salt of regular salted butter
Sweet butter- Also labeled “unsalted butter”, sweet butter is the same as churned butter but made
without any added salt. It is used in baking and for general cooking and allows for more control
of the salt level added to a dish. Sweet butter doesn’t stay fresh as long as salted butter so should
be used soon after purchase
Light butter- Light butter is traditional churned butter that has added air and water and is about
25% lower in butterfat than regular butter. Because of the added water, light butter is best used
cold as a spread on bread or crackers and isn’t well suited to cooking or for melting on hot foods
such as toast or popcorn. It shouldn’t be used in recipes unless they are specifically created for
light butter
Cultured butter- Cultured Butter is butter made from cream that is cultured with active bacteria
(similar to yogurt) and has a distinctive, slightly tangy taste. It can be used interchangeably with
regular butter in cooking where the tangy taste will complement the recipe. Cultured butter has a
longer shelf life than traditional churned butter and is available in salted and unsalted versions.
Cultured butter is common in Europe and is becoming increasingly available in Canada. It may
also be called “Old Fashioned” or “Antique”.

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Other type of butter-
Flavoured Butter- Flavoured butter is traditional butter with added flavourings such as garlic,
spices and herbs. Using flavoured butter adds different seasoning to foods, along with a pure
butter taste. You can also make your own flavoured butter.
Blended Butter- Blended butter is a blend of real butter with liquid oil, such as canola, to make a
spread that tastes like butter, yet is soft and easy to spread straight from the refrigerator. Blended
butter is available in regular and light versions.
Whey Butter- Whey butter is made from the whey that has been separated from the curd in cheese
making. Whey butter has a deeper yellow colour and stronger flavour than churned butter with a
cheese-like flavour and is sometimes salty if the curd was salted. It is often found at specialty
stores and farmers’ markets.
Whipped Butter-Whipped butter is butter with air whipped into it to make a lighter, softer spread.
It is often served in restaurants for spreading on dinner rolls or pancakes. Whipped butter is not
interchangeable with regular butter for cooking or baking.

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MARGARINE
Margarine is an imitation butter spread used for spreading, baking, and cooking. It was originally
created from beef tallow and skimmed milk in 1869 in France by Hippolyte Mège - Mouriès, as
a result of a challenge proposed by Emperor Louis Napoleon III, as a substitute for butter which
would later be renamed “margarine”. Whereas butter is made from the butterfat of milk, modern
margarine is made mainly of refined vegetable oil and water, and may also contain milk. In some
locales it is colloquially referred to as "oleo", short for oleomargarine. Margarine, like butter,
consists of a water-in-fat emulsion, with tiny droplets of water dispersed uniformly throughout a
fat phase which is in a stable crystalline form. Margarine has a minimum fat content of 80%, the
same as butter, but unlike butter, reduced-fat varieties of margarine can also be labeled as
margarine (in some countries). Colloquially in the US, the term margarine is used to describe
"non-dairy spreads" like Country Crock, and I Can't Believe It's Not Butter! with varying
amounts of fat content. Margarine usually tops butter when it comes to heart health. Margarine is
made from vegetable oils, so it contains no cholesterol. Margarine is also higher in "good" fats
— polyunsaturated and monounsaturated — than butter is. These types of fats help reduce low-
density lipoprotein (LDL), or "bad," cholesterol when substituted for saturated fat.

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RESEARCH METHODOLOGY
RESEARCH METHOD: - Research methodology depends to a large extent, on the target
population, and how easy of difficult to access it is. The second factor which influence research
methodology is, of course, the importance of decision which will be taken based on the research.
Research method is based on primary, quantitative and qualitative data.
 PRIMARY METHOD- The primary data refer to original information gathered for
specific purpose and provide up to date, relevant and accurate information according to
the need of the problem
 QUANTITATIVE – In this method interviewer administered questionnaire face to and
then Data analysis method is used using the statistical method, bar graph, pie chart, and
demand.
 QUALITATIVE- This involve more control over the cause and effect, when compared to a
survey. In experiments we try to measure the effect of one or more variable. I have also prepared
SWOT analysis was also undertaken
SAMPLING:-
SAMPLING METHOD
CONVINENCE SAMPLING - A statistical method of drawing representative data by selecting
people because of the ease of their volunteering or selecting units because of their availability or
easy access. The advantages of this type of sampling are the availability and the quickness with
which data can be gathered.

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SAMPLING UNIT
It refers to the individuals who are to be surveyed in the study and it includes adult male and
female, users and non users of butter
SAPLING SIZE
It refers to the number of people surveyed for the topic in the study 114 has been surveyed and
response drawn.

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CONTENT ANALYSIS OF INTERVIEWS:-
Once we got the insight of the current demand of AMUL Butter. The analysis and understanding
of the current demand of butter towards certain drawbacks, to understand more and actual
demand of the mechanism and issues, we interview various existing customers of AMUL and
other butter to understand the competitors even.
The factors which came out of the Focus Group Discussion are as follows:
 Price
 Taste
 Availability
 Quality
 Affordability
Ones the factors are decided the questionnaire was prepared.
DATA ANALYSIS
SPSS
Reliability Of data - The first operation performed on the data was to check its reliability, to
know that the further analysis could be done on this data or not. After getting the value of
Cornbach Alpha greater than 6 the further analysis was done.

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Reliability Statistics
Cronbach's Alphas Cronbach's Alpha Based on
Standardized Items
N of Items
.696 .703 5

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ANALYSIS OF PRIMARY DATA
RESPONSE COUNT
USERS 96
NON USER 18
Interpretation:-
In the population of Patna my sample size was of 144 people in which, 18% of the population
don’t use butter whereas 96 % of the population prefer occasional use or even regular use of
butter. Generally people of old age avoid butter due to heart problem and moreover people of age
above 55 and above don’t prefer butter, some people use ghee, some people don’t use butter
because it is not of their food habit, the 18% comprises of those people.
users
84%
nonusers
16%

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Q. Male or Female?
RESPONSE COUNT
MALE 45
FEMALE 69
Interpretation:-
In my survey in Patna I found that among the customer of Amul, 61% of the female purchase
butter and 39% of the male purchase butter this is mainly about who purchase butter in a
household. Mostly female purchase the household stuff therefore they purchase butter as they
know the children preference and family choice of taste.
39%
61%
% of Male and Female
MALE FEMALE

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Q. What is the Occupation: Student/Businessman/Salaried/Daily Worker/Self-
employed/housewife:-
RESPONSE COUNT
STUDENT 63
SALARIED 23
HOUSEWIFE 17
SELF EMPLOYED 11
Interpretation:-
In my survey 55% of the people were student , 20% of the people were salaried , 15% of the
people were housewife , and 10% of the people were self-employed. We can see through the
analysis that maximum of the students prefer butter because it is a readymade item for them
moreover students prefer fast food in which butter is used .student mainly prefer butter as a bread
spread as it is a ready to eat and don’t not require much time.
55%
20%
15%
10%
% OF STUDENT,SALARIED,SELF EMPLOYED,HOUSEWIFE
STUDENT SALARIED HOUSEWIFE SELF EMPLOYED

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Q. Age group: 18-24 25-34 35-44 45-54 55=>
RESPONSE COUNT
18-24 59
25-34 31
35-44 12
45-54 12
Interpretation:-
In my survey 53 % of the people were between age group 18-24, and 27% of the people were
between age group 25-34, 11% of the people were between age group of 35-44, and 9 % of the
people were between 45-54 . In the analysis we can see that maximum youth prefer butter ie
people between age group of 18-24, moreover we can also analyze that people of old age does
not prefer butter due to heart problem or due to health issue.
53%
27%
11%
9%
AGE DISTRIBUTION
18-24 25-34 35-44 45-54

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Q. Education: Intermediate/ under graduate/ Post Graduate /Others
RESPONSE COUNT
POST GRADUATE 58
UNDER GRADUATE 20
INTERMIDIATE 20
OTHERS 16
Interpretation:-
In my sample survey 51% of the populations were in post graduation, 17% of the people were
undergraduate and 18 % of the people were intermediate and 14% were of other degree.
51%
17%
18%
14%
POST GRADUATION UNDER GRADUATION INTERMIDIATE OTHERS

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Q. Income level: <=25k 25k-50k 50k-75k 75k-1cs 1 lcs=>
RESPONSE COUNT
<=25K 36
25K-50K 36
50K-75K 34
75K-1LCS 8
Interpretation:-
According to the survey 32% of the people lies between the income of 25k-50k, 31% of the
people were of income were less than 25k, 30% of the people had income between 50k-75k and
7% of the people had income between 75k-1lcs. Moreover people whose income was less than or
equal to 25k amongst them 33% of people don’t use butter because they consider it costly. While
67% of people whose income<=25k use butter. Thus income is also a factor for people to use
butter.
<=25k
31%
25k-50k
32%
50k-75k
30%
75k-1lcs
7%
INCOME DISTRIBUTION

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3. If yes then which brand you prefer?
Amul butter Sudha butter Nutralite Britannia Others
RESPONSE COUNT
SUDHA 15
AMUL 61
NUTRALITE 16
OTHERS 4
Interpretation:-
Amul is enjoying the highest market share of 63%, whereas on the second position is Nutralite
followed by Sudha. And 16% of people use other butte like either home made of loose butter
which is generally for commercial purpose.
16%
63%
17%
4%
Sudha Amul Nutralite Others

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Q. You use Amul butter or Amul lite / delicious ?
Amul butter Amul lite Delicious
RESPONSE COUNT
AMUL BUTTER 46
AMUL LITE 7
DELICIOUS 8
Interpretation:-
As Amul as a parent brand has highest market share but it also include other product of amul like
amul lite and delicious Thus Amul Butter has 75%, Amul lite has 12%, and Delicious has 13%
market share
75%
12%
13%
% of usage of amul butter,amul lite &delicious
AMUL BUTTER AMUL LITE DELICIOUS

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Q. How often you buy/use butter?
RESPONSE COUNT
REGULAR BUYER 35
OCCATIONAL BUYER 61
Interpretation:-
64% of the people are occasional users of butter , and 36% of the users are regular users. In bihar
people do not include butter as their regular use an generally use ghee at home inspite of butter.
36%
64%
% of regular and occational buyer
REGULAR BUYER OCCATIONAL BUYER

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Q. Why you prefer this brand/ due to…………..
Quality Taste Price Availability
RESPONSE COUNT
QUALITY 31
TASTE 38
PRICE 7
AVAILABILITY 20
Interpretation
According to the survey 40% of the people prefer their brand because of taste , 32% of people
prefer their brand because of quality, 21% of people prefer their brand because of availability,
7% of population prefer their brand because of price .Thus we can conclude that for most of the
people first priority is taste and then quality .
21%
32%
40%
7%
AVAILABILITY QUALITY TASTE PRICE

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Q. Are you satisfied with the butter you are consuming?
RESPONSE COUNT
SATISFIED 95
NOT SATISFIED 1
Interpretation:-
99% of the populations are satisfied with the butter they are using and only one percent of the
population are not satisfied with the butter they are using.
99%
1%
%of satified and unsatisfied
satisfied unsatisfied

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Q. Why you have chosen Amul butter/Amul lite/delicious ?
Bread spread Low Fat Low Cholesterol Others
RESPONSE COUNT
BREAD SPREAD 68
LOW FAT 2
LOW CHOLESTROL 15
OTHERS 11
Interpretation:-
Among the sample size 71% of the people use butter for bread spread, 16% of the people use
butter because of the perception of it being low cholesterol, 11% of the people use butter for
other pourpose and 2% of the population use butter because of low fat.
71%
11%
16%
2%
BREADSPREAD OTHERS LOW CHOLESTROL LOW FAT

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Q. Are you switching Amul butter/Lite with other brand because of
Taste Quality Unavailability Price Others
RESPONSE COUNT
QUALITY 16
UNAVAILABILITY 68
PRICE 6
OTHERS 6
Interpretation:-
According to my survey 71% of population switch Amul because of unavailability, 17% of
people switch amul because of quality, 6% of people switch Amul because of price and 6%
because of other factors. As Amul is not a regular food habit of people of Bihar so they are not
so specific for the brand of butter they use and if they don’t get the preferred brand they purchase
the available brand. And according to the survey most of the customers agreed to that amul has a
problem of availability due to which they switch the brand.
6%
17%
6%
71%
others quality price unavailability

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OUTCOME OF INDEPTH INTERVIEW TO CUSTOMER OF AMUL BUTTER
AMUL
 low visibility is a major problem in the demand of Amul lite , since most of the customers
are unaware of the customer are unaware of the product and its attributes. Moreover
Amul products are under recognized than their actual quality.
 At some places general stores are not happy with the distribution services due to shortage
of Amul products
 Amul should also focus on its packaging of butter especially of 500gm because its
competitor like Nutralite provide butter bucket for 500gm which is easy to use and easy
to store whereas Amul provide cardboard box .
 As products of Amul are not prepared at Patna or nearby places so it transported by trains
from Ahmadabad and Kolkata to Patna and stored in storage facilities so because of this
there is sometimes shortage of products in the market.

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SWOT ANALYSIS
Amul is one of the largest milk and milk based products manufacturer in India. Known to be the
founder of the white revolution in India, Amul has some strong products and brands up its
sleeves. The Milk & Dairy products company has a very in depth product portfolio including
cheese, butter, curd, chocolates, ice cream, and others. Although Amul is the largest brand still
the visibility of the product is low thus there are some weaknesses in Amul butter and, following
are the points in the SWOT analysis of Amul.
STRENGTH
 Best quality of product associated with strong brand
 Trusted by consumers
 Creative advertisement
 Strong sales force
 Good demand in market
WEAKNESS
 Supply is less than demand
 Poor after sale service
 Low visibility of Amul lite and other products responsible for unawareness of these
product amongst consumers
OPPORTUNITY
 MARKET SUPPLY of small packs (10gm)
 Spreading awareness about its Lite product for calorie conscious consumers can help it to
restrict and reduce the market of Nutrilite

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 Sufficient and regular supply of product in market
 Entry of new small dairies.
THREATS
 Mother dairy has entered into the market of Patna
 Health cautious people are unaware about Lite and hence prefer Nutralite
 Some consumers are strongly associated with Sudha as it is easily available.

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CONCLUSIONS
1. In my survey 55% of the people were student. We can see through the analysis that
maximum of the students prefer butter because it is a readymade item for them moreover
students prefer fast food. Student mainly prefer butter as a bread spread as it is a ready to
eat and don’t not require much time.
2. Amul is enjoying the highest market share of 63%, whereas on the second position is
Nutralite followed by Sudha.
3. 71% of people switch Amul because of unavailability.
4. In the market of Patna the major competitor brand available in the bread spread is
Nutralite, and Sudha as Sudha has an easy reach to consumers through its dairy parlors.
5. Amul has around 63% share in Patna market of bread spread.
6. Distributor earn a gross margin of 11.63% on Amul butter and 19.23% on Amul lite and
Retailer earn 8.4% margin on Amul butter and 15.68% on Amul lite and 8.89% margin on
10 gm Amul butter pack to retailer
7. Gcmmf is unable to fulfill the demand of in peak season as of festival and auspicious day
when demand is high.
8. Distributor earn gross margin of 19.23% on Amul lite and retailers earn 15.68% on Amul
lite.
9. Distributor earn gross margin of 11.63% on Amul butter. And retailers earn 8.4% margin
on Amul butter.
10. Distributor earn gross margin of 26.72% on delicious whereas retailers earn 22% margin.

38 | P a g e
RECOMMENDATIONS
1. Wall painting can be done to increase awareness for Amul lite and margarine products.
2. Small pack of 10gm has less supply which should be increased as it is easy to use and easy to
carry. like children can carry them in lunch box, people can carry while travelling, they can be
served in resultants’ as an option pack for those who want extra butter.
3. More Amul parlors should be opened in Patna to increase visibility manifold and ensure an
easy access to consumers.
4. Amul lite and delicious should be promoted as other options in bread spread to compete
Nutralite.
5. Supply shortage should be monitored regularly to ensure adequate supply so that consumer
don’t switch to other brand
6. Promotional event organization will help to make product visible.even like run for health on
occasion of festival season is recommended.
7. More and more retailers should be encouraged to keep amul lite and delicious to ensure easy
availability to consumers.
8. Projector films may be shown to the villagers emphasizing on the quality and the hygenity of
Amul. This would help in convincing the people & creating a favourable attitude towards Amul.
9. Suggestions & complaints made by retailers & consumers should be given due Attention to
provide maximum satisfaction. This could create and impression that Amul cares for them.

39 | P a g e
REFFERENCES:-
1. http://www.amul.com/m/about-uss
2. www.Google.com
3. Wikiepedia
4. http://www.businessdictionary.com/definition/convenience-
sampling.html#ixzz3d7adrYG

40 | P a g e
ANNEXURE -1
Dear Sir/Madam,
I am student of Chandragupt Institute of Management Patna and is conducting a survey on
AMUL butter and variant. The purpose of survey is solely academic. It will be very thankful of
you to give your response for my research work.
Respondent Profile:-
Name: Age group: 18-24 25-34 35-44 45-54 55=>
Gender: Male Female
Address:
Education: Intermediate/ Under graduation/ Post Graduation /Others
Occupation: Student/Businessman/Salaried/Daily Worker/Self-employed/housewife
Income level: <=25k 25k-50k 50k-75k 75k-1cs 1 lcs=>
1. Do you use butter?
Yes No
2. If not why don’t you use butter?
It is not my food habit
It may cause weight gain
It increases the risk of heart disease
I don’t like taste
It is costly
3. If yes then which brand you prefer?
Amul butter Sudha butter Nutralite Britannia Others
4. Why you prefer this brand/ due to…………..
Quality Taste Price Availability

41 | P a g e
5. Are you satisfied with the butter you are consuming?
Yes No
6. How often you buy/use butter?
Regular Occasional buyer
7. You use Amul butter or Amul lite / delicious ?
Amul butter Amul lite Delicious
8. Why you have chosen Amul butter/Amul lite/delicious ?
Bread spread Low Fat Low Cholesterol Others
9. Is Taste a consideration while choosing a Brand of Butter?
1 2 3 4 5
10. Is quality a consideration while choosing a Brand of Butter? (1-strongly disagree,5-strongly
agree)
1 2 3 4 5
11. Is price a consideration while choosing a Brand of Butter?
1 2 3 4 5
12. How do you rate Amul as a Brand? (1-lowest 5-higest )
1 2 3 4 5
13. Is Amul butter/Amul lite affordable in price.
1 2 3 4 5
14. Is your brand of butter affordable in price.
1 2 3 4 5
15. Are you switching Amul butter/Lite with other brand because of
Taste Quality Unavailability Price Others

42 | P a g e
16. How do you scale your butter?
ATTRIBUTE POOR AVERAGE GOOD EXCELLENT
PRICE
TASTE
PACKAGING
AVAILIBILITY
SCHEMES

43 | P a g e
ANNEXURE-2
1. Do you sell Butter ?
Yes No
2. Why would you sell Amul Butter ?
Due to brand
Due to quality
Due to demand
Due to service by distributor
3.Are the product delivered to your shop by the company ?
Yes No
4. How frequently you place the order to distributor ?
Weekly After 10 days After 15 days
5. Does this happen that product is not available when consumers approach to your shop ?
Yes No
6.Which variant of Butter is most demanded by customer ?
10gm 100gm 500gm
7.What are your weekly sale of Butter ?
Below 100pc 100-200pc 200-250 pc Above 250pc
8.Are you satisfied by the distributor service ?
Yes No
9.In which area you would suggest Amul to improve?
Quality Price Promotion Availability Others
10.Do the customers know about Amul butter or you suggest them ?
Yes No
Name of Outlet
Address

44 | P a g e
11.According to you what is the main problem of amul Butter ?
12.Does advertisement affect buying decision of customer?
Yes No
13.Which type of promotion adverts catches customer Eye ?
Poster Magazine Newspaper TV Billboard Others
14.How is your relation with the distributor ?
Poor Average Good Excellent
15.What are the major challenges while selling Amul Butter ?
16.Rate the following:-
POOR AVERAGE GOOD EXCELLENT
QUALITY
PRICE
PROMOTION
AVAILABILITY
PACKAGING
SCHEME

45 | P a g e
ANNEXURE-3
Dear Sir/Madam,
I am student of Chandragupt Institute of Management Patna and is conducting a survey on
AMUL butter and variant. The purpose of survey is solely academic. It will be very thankful of
you to give your response for my research work.
Respondent Profile:
Name of Outlet :-
Location: -
1. Do you use Butter ?
Yes No
2. If butter then which brand you prefer?
Amul butter Sudha butter Nutralite Delicious Others
Or Unbranded/Loose Butter
3. What quantity do you use ?
10gm 100gm 500gm
4. Are you satisfied with the butter you are using?
Yes No
5. Have you heard about “AMUL LITE”?
Yes No
6. If yes why you have chosen AMUL LITE
Bread Spread Low Fat Low Cholesterol
Other____________
7. Is price a consideration while choosing a Brand of Butter?

46 | P a g e
1 2 3 4 5
8. Is Taste a consideration while choosing a Brand of Butter(1-lstrongly disagree 5-
strongly agree)
1 2 3 4 5
9. Is Quality a consideration while choosing a Brand of Butter
1 2 3 4 5
10. How do you rate Amul as a Brand? (1-lowest 5-higest)
1 2 3 4 5
11. Amul butter is affordable in price.
1 2 3 4 5
13. Are you switching Amul butter with other brand because of unavailability?
1 2 3 4 5
14. You prefer Amul butter over Amul lite why?
Tase Quality Unavailability Others
15. How do you scale your butter?
ATTRIBUTE POOR AVERAGE GOOD EXCELLENT
PRICE
TASTE
PACKAGING
AVAILIBILITY
SCHEMES

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