Formedin 1946 at ANAND Distt in the State of GUJRAT, INDIA. Amul has spurred the White Revolution of India which has made India the largest producer of milk & milk products in the world. It is also the world’s biggest Vegetarian Cheese brand.
Amul has entered overseas markets such Mauritius, UAE, USA, Bangladesh, Australia, China, Singapore, Hongkong & a few South African Countries. Its bid to enter Japanese market in 1994 but had not succeeded, but now it has fresh plans of flooding the Japanese market.
Amul’sbirth is indelibly linked to the freedommovement in India.The first Amul cooperative was the result of afarmers.Sardar Vallabhbhai Patel vision to organisefarmers. Dr. Verghese Kurien, who founded Amul.
Established in 1946 - two societies collected 250litres of milk.Competed with Polson’s to supply milk toBombay.1952 - Bombay Government terminated Polson’scontract and signed with AMUL.1955 - Dairy and milk powder plant wasestablished with aid from the United NationsChildrens Fund (UNICEF).
1960 - AMUL pioneered production of milkpowder and baby food from buffalo milk.AMUL - meets producer demand for criticalinputs, veterinary services, artificial inseminationand feed.Today AMUL members supply more than 9.2million litres of milk per day.AMUL sells 3690 tonnes of cattle feed every year.
Year of Establishment 1973 17 District Cooperative Milk Members Producers Unions (15 Members & 2 Nominal Members) No. of Producer Members 3.03 Million No. of Village Societies 15,712Total Milk handling capacity per day 13.67 Million litres per day Milk Collection (Total - 2010-11) 3.45 billion litresMilk collection (Daily Average 2010- 9.2 million litres (peak 12 million) 11) Milk Drying Capacity 647 Mts. per dayCattlefeed manufacturing Capacity 3690 Mts. per day Sales Turnover -(2010-11) Rs. 9774 Crores (US $2.2 Billion)
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
Village level200 membersCommittee of 8-9 members District level Board of Directors- 12 900 Members (approx) State Federation Members are chairpersons of district level Co- operative & Ex-official members. Representative from NDDB Registrar of Co-Operative of the state concerned
Low Cost RobustStrategy Supply Chain Success!!StrongDistribution DiverseNetwork Product Mix Te c h n o l o g y a n d e-initiatives
Strengths Weaknesses•Largest food brand in India •Risks of highly complex supply•High Quality, Low Price chain system•Worlds Largest Pouched Milk Brand •Strong dependency on weak•Annual turnover of US $1504 million infrastructure•Highly Diverse Product Mix •Alliance with third parties who do•Robust Distribution Network not belong to the organized sector Opportunities Threats•Penetrate international markets •Competitors - Hindustan Lever,•Diversify product portfolio to Nestle and Britanniaenter new product categories and •Still competition from MNCs inexpand existing categories like butterprocessed foods, chocolates etc •Growing price of milk and milk products •Ban on export of milk powder
Amul Kool Chocolate Milk Kids Nutramul Energy Drink Amul Kool Milk Shake Amul Calci + Women Utterly Delicious Pizza Amul Emmental Cheese Youth Amul Cheese Spreads Amul Lite Sagar Skimmed Milk PowderCalorie Conscious Amul Lite Slim and Trim Milk Nutramul Health Conscious Amul Shakti Health Food Drink
High Amul Ice-creamBusiness Amul Cheese Amul Chocolategrowth Rate Amul Butter Low Amul Chocolate drink Relative Market Share High Low
Amul never forgot its “primary customer” - Amul collects 447,000 liters of milkfrom 2.12 million farmers (many illiterate) Product for youth - Amul launched Chocolate milk under brand name of „Amul Kool Koko‟ targeting the youth Product for diabetic people - India‟s First Pro-Biotic Wellness Ice cream & Sugar Free Delights For Diabetics
Product for the health conscious -Amul Launched “low fat, low cholesterol bread spreads” Product for the price sensitive India - Low Priced Amul Ice Creams and affordable „sagar‟ whitener Product for the urban class - Amul launched emmental, gouda and pizza mozzarella cheese
One Can Easily Recognize the so called TOPICALS By AMUL
Q:- Describe consumer behavior in the context of a commodity like milk. Consumption on daily basis. Females are the main decision maker for the milk. Preferences on Purity & Price. Brand Matters.
Q:- What are the market segments that Amul can penetrate? Are there any other segmentation alternatives available to Amul? Two Segments- Consumer & Industry. Alternative Segments- Railways, Educational Institutions, Export.
Q:- If you were the marketing chief of Amul, what other innovations would you make in your marketing strategy? More consumer Centric. Installing Bulk Milk Chillers and Automatic Milk Collection Systems in all our village co- operative societies. Advertising on Local Cable Network, Radio etc. Creating Awareness.