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AMUK-India's Pride
1. AMUL - India’s PrideAMUL - India’s Pride
A Mahender Reddy
PGDM-ABPM-2016-04
2. AMUL - THE TASTE OF INDIA
Born: 1946, christened in 1955n 1955
History: Originally marketed by the Kaira District Cooperative Milk Producers’ Union, Anand, it
was taken over by the Gujarat Cooperative Milk Marketing Federation (GCMMF) in
1973
Status: Has a 15% market share in the Rs15,000 crore milk category, and a 37% share in the
Rs900 crore organized ice-cream segment.
Starting with milk and milk powder, the Amul brand today covers a range of dairy
products—from chocolates to cheese and, of course, butter
3. Reasons For Success
Robust supply chain
Low cost strategy
Diverse product mix
Strong distribution network
Technology and e-initiatives
The brand value of Amul(quality, value for money,
availability, service)
11. Product Width:-
The total number of items in the mix.
Eg. 9 numbers -
(Bread spreads , cheese , desert, cooking, health drink, milk
Drinks , powder milk & fresh milk)
The length of a product mix refers to the total number of items in the mix.
Example:
Total length of Amuls product mix is 53
Average product length =(53/9) approx. 6
Product Length:-
12. Product Depth :-
Product Mix Refers To How Many Variants Are Offered
Of Each Product In The Line.
•Umbrella Brand Strategy
•The GCMMF Skillfully Avoids Inter-union Conflicts Through This
Strategy By Giving Every Union And Sub-brand The Opportunity To
Contribute.
•Amul Is The Common Brand For The Most Of The Product Categories.
Amul’s Best Practices In Product Mix:
13. UPWARD LINE STRETCHING
DOWNWARD LINE STRETCHING
TWO WAY STRETCHING
Eg. Amul Lite, Amul Probiotic
creams, Amul full cream milk
powder, Mozorella cheese and pizza.
Eg. Amul Pouch Milk and Amul
Butter.
Eg. Amul Curd, Amul Fresh Milk
Examples of Line Filling: Amul Milk Powder, Amul
19. STRENGTHS
•Wide range of products
•Affordable price
•Effective and campaign
•Distribution network
•Diversification
•Brand image
WEAKNESS
•Need to focus on other products
•Improve on road transport
•Infrastructure
OPPORTUNITY
•Export segment food market
•Entry in retailing
•Packaged sweets market
•Sports drink
•E – competency for CRM
THREATS
•Increasing requirement
•Adulteration
•Difficult to expand
SWOT Analysis:
20. Core product:
•Bread spread
•Energy drink
•Nutritional value
•For cooking
•Refreshment
Augmented product:
•Service
•100% vegetarian
•Low fat
•Low calorie and high protein drink
•Tea and coffee whitner
•Long shelf life cheese (3 years)
•Pro biotic dahi
•Flavoured milk
•Spray dried infant milk powder
Tangible product
•Bottled fresh milk
•Tetra packs
•Pouches for convenience
•High food grade containers for desserts
•Tray packs for butter
21. d
AGUMENTED PRODUCTS
VALUE
QUALITY
PACKING DURABILITY
POTENTIAL PRODUCTS
PRIDE
OFFER AVAILABLE
VARIETY
The taste
of India.
BBAA
CORE PRODUCTS:
Milk,
(Health & Nutrition)
EXPECTED PRODUCTS
BASIC PRODUCTS
TASTE
Flavor
Sports
Drink
Mineral
Water
Baby Foods
22. 4) Scope For Improvement:-
Amul must enter into marketing alliances with various portals to offer products (on those
portals that were developed for festive occasions and celebrations such as valentine and
friendship day).
Company should introduce sales promotion scheme like free weight, pranky, tattoo, contest
and free gifts.
Advertisements can be done with the help of animations that attracts children and teenagers
because chocolate are consumed largely in this segment.
Amul does e-selling of all its products including chocolate but very few people know about it.
Amul must make use of hording and print adds to communicate this.
23. 5) Brand Issues:-
Amul marketed bottle water product named “JALDHARA” but due to less potential in the
market it turned out to the blunder.
Product reaches the stage where continued support is no longer justified where
performance is falling short of expectations; it is desirable to pull the product out of the
market place. So Amul as eliminated JALDHARA a decade ago.
Now Amul is all set to launch bottle water “NARMADA NEER”.
24. 2. Bread spread extension cannibalizes the sales of parent
brand.
E.g.: Amul reduced salt butter is slowly eating into sales
of Amul’s normal butter.
3. Awareness level of Amul chocolate is very low and also the market share of
Amul chocolate has decreased to 5% much
less than market leader (79%)
They should introduce festive gift boxes like Cadbury celebration.
They should increase R&D spending to improve the quality and taste.