AMUL was formed in 1946 and is owned by dairy farmers. It has grown to become India's largest food brand with products including milk, butter, cheese and ice cream. AMUL has a simple marketing strategy of consistently high quality at low prices while maintaining its core values. Its iconic "Amul Girl" advertising campaign, created in 1967, has become the longest running campaign in India and helped establish brand recognition through its commentary on current events. AMUL operates as a cooperative, empowering farmers and rural communities through decentralized production.

1. AMUL - India’s Pride
Competing with Global Giants

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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

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Brand Story
• If a brand’s value is to be judged by the ease with which it can be recalled, then Amul’s marketing
campaign wins hands down.
• With its clever use of topical events, Amul’s utterly butterly campaign—it has the distinction of
entering the Guinness World Records as the longest running campaign—has won the brand several
accolades.
• Playing the role of a social observer, its weekly comments have tickled India’s funny bone since 1967,
when Sylvester Da Cunha’s irrepressible Amul girl first had her say.

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CONTD.
• But what’s kept the brand going all these years? “We have changed the packaging, our technology
and our approach to marketing based on the changing taste buds of our consumers.
• However, the only thing that has helped us sail smoothly is that we have not changed our core
values—give the best quality product to the consumer, and the best possible price. It holds true in
any era,” says B.M. Vyas, managing director, GCMMF.
• In fact, it is not just the core values at Amul that have remained the same; the core team
associated with the brand is still the same. Even the advertising agency hasn’t changed, and Da
Cunha and FCB Ulka, have played a pivotal role in the growth of Amul.

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CONTD.
• “This has helped us maintain consistency in our communication. Our strategy of umbrella branding
has also helped establish our brand firmly in people’s minds. This, despite the fact that we do not
spend more than 1% of our turnover for marketing, compared with 7-8% (spent) by most of the food
and consumer product companies,” R.S. Sodhi, head of marketing, GCMMF, says.
• From Utterly butterly delicious Amul to The Taste of India, Amul continues to be the toast of the
country.

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AMUL : Kapferer’s Prism
Physique :
Taste, Quality
Personality :
Simple, Indian
Self-Image :
Proud Indian, Fun loving
Reflection :
Value Oriented
Culture :
Co-operative, Sharing
Relationship :
Sociable
AMUL

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Cooperative-Yet-Competitive vs. Competitive
"In a Cooperative-Yet-Competitive situation the goals are so linked that everybody 'sinks or swims'
together, while in the Competitive situation if one swims, the other must sink."
• Friendliness, helpfulness, and less obstructiveness.
• High on both assertiveness and cooperativeness.
• A cooperative approach aligns with the process of interest-based or integrative bargaining,
which leads parties to seek win-win solutions.
• Competitive encourages each side to strive for excellence.

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AMUL – BOP cum MNC
• Business innovation that changed the fortunes of the poor in a developing country like India by
integrating local skills and local activities into its business model.
• AMUL products are found on the shelves of Walmart in the USA and many other retail giants in the
world.
The Poor as Producers
Enables thousands of milk producers to engage in decentralized production. Thus by contributing
immensely to income generation among the poor.

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Comparison
Amul
1. As A Brand Of Both Masses And Classes.
2. 123 Brands Listed Under Its Name.
3. Less Than 1% Of Its Budget Spent On Advertising.
4. Mascot- Amul Mascot, A Cute And Chubby Girl .
5. Fresh Flavor.
6. Simple Yet Appealing Ad Campaigns.
7. Cooperative Model Pioneered By Amul.
8. Brand Loyalty.
9. Superior Distribution
Mother Dairy
1. Admirable Brand Recall.
2. Superior Quality .
3. Effective Supply Chain For The Farmers.
4. 62 Brands Listed Under Their Name.
5. Many Interesting Dairy Products In Its Basket .
6. Nutrifit Campaign Theme.
7. Rapid Diversification.
8. Better Ties With Retailers

12. Key Success Factors
Robust
Supply Chain
Low Cost
Strategy
Diverse
Product
Mix
Strong
Distribution
Network
Technology and
e-initiatives
Success!!

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Strength
• Demand profile
• Flexibility of product mix
• Technical manpower
• Trust enjoyed by its products
• Strong cooperative organization
• Introduced TQM
Weakness
• Logistics of procurement
• Competition
• Short self life of its products
• Completely dependent on villages for its raw
material
• Salaries offered is less compared to competitors
Opportunities
• Value addition
• Export potential
• Used internet to sell its products
• Introduced hybrid products in the market
• Exploring foreign markets
Threat
• Milk vendors, the un-organized sector
• Strong competition from MNCs
• Competition from private dairies and local milk
suppliers
• The yield of Indian cattle still much lower than other
dairy countries

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• A Strong Focus On Services Rather Than Products And At The Same Time Facilitating Consumers In A
Better Way.
• Developing The Farmer Base At A Competitive Rate To Cater The Ever Rising Demand.
• Increasing The Farmer’s Share In Consumer’s Rupee.
• Developing A Robust Strategy To Compete With The Local Substitutes.
• Aggressive Marketing Campaigns.
• Diversification In Snack’s Industry.
• Rapid Strategic Alliances.
• Cold Chain Development For Growing Milk Collection.
Future’s Giant Leap