Amul

A REPORT

ON

“Measuring the potential of Amul frozen products penetration in Jaipur”

Amul
Gujarat co-operative milk marketing federation ltd.(GCMMF)

Submitted to: Submitted by:
Mr. Prashaant Sharma Krishna Kant Sharma
(Executive, Amul Jaipur) Roll no.- P12039 PGDM-2012-14 A REPORT ON

“Measuring the potential of Amul frozen products penetration in Jaipur”

Submitted by:
Krishna Kant Sharma

A report submitted to JAIPURIA INSTITUTE OF MANAGEMENT, JAIPUR in partial fulfillment of the
Requirements of PGDM Program

Under the guidance of

Mr. Prashaant Sharma Prof. Narendra Sharma ( Executive Amul, Jaipur) ( Jaipuria Institute of Management, Jaipur)
DECLARATION

I hereby declare that the project entitled “Measuring the potential of Amul frozen products penetration in Jaipur” is submitted as a part of my summer internship for PGDM Program at Jaipuria Institute of Management, Jaipur.
The Project has been done under the able guidance of Mr. Prashaant sharma, executive (company mentor) and Dr. Narendra Sharma (faculty mentor of Jaipuria Institute of Management, Jaipur).
This report is not submitted anywhere else for completion of any degree or award. The source of detailed study material which is used to prepare this report is mentioned in bibliography.

Krishna Kant Sharma Roll no. - P12039 PGDM (2012-14)

ACKNOWLEDGEMENT

I would like to take this opportunity to express my sincere gratitude towards Mr. Prashaant Sharma, Executive, Amul (GCMMF) Jaipur for giving me this opportunity of internship in his organization which has been a pure learning experience for me.
I am especially thankful to my faculty mentor Dr. Narendra Sharma for his guidance during this summer internship.
I also extend my sincere thanks to the PSM/SM’s Mr. Mukesh Kumawat, Mr. Raju sindhi, and Mr. Aatmaram for their support and help for the completion of the project and in fact without their support it would be very difficult to structure this project and complete it successfully.

Krishna Kant Sharma PGDM (2012-14) Jaipuria institute of management, Jaipur

ABSTRACT

GCMMF is the largest co-operative movement in India with 3.1 million milk producers organized in 10,552 co-operative societies in 2012-2013.

The country's largest food company, Amul, is the market leader in butter, whole milk, cheese, ice cream, dairy whitener, condensed milk, saturated fats and long life milk.

Amul follows a unique business model, which aims at providing 'value for money' products to its consumers, while protecting the interests of the milk-producing farmers who are its suppliers as well as its owners. Despite being a farmers' co-operative, Amul has given multinationals a run for their money. In butter, cheese and saturated fats, Amul has remained the undisputed market leader.

since its inception in 1955, by offering quality products at competitive prices. In other categories, Amul has nullified its late mover disadvantage through aggressive pricing, better quality, innovative promotion, and superior distribution.

TABLE OF CONTENTS

* Declaration…………..…………………………..…………...……….....3 * Acknowledgement……...………………………………….…………....4 * Abstract…………………………………………………..……..….…....5

1. Introduction ……………….………………………….………………..8 i) Ice-cream market of Jaipur city…………………….………………..10 ii) Description of ice-cream under act……………………………….....11 iii) Manufacturing process of ice-cream………………………………...12 iv) Product portfolio………………………………………………….....13 v) Distribution network…………………………………………...........14 vi) Advertising and sales promotion………………………………...….15 vii) Introduction to the problem…………………………………...…….16 viii) Rationale and Scope………………………………………....17

2. Objective………………………………………………………………..18 i) Literature Review…………………………………………………..20 ii) Application of modal in Amul ice-cream……………………..........22

3. Marketing- mix…………………………………………………….…..24 4. SWOT analysis…………………………………………………….…...27 5. Research methodology………………………………………………...30 i) Market research…………………………………………………….31 ii) Sample procedure & Hypothesis…………………………………...32 iii) Limitations………………………………………………………….32

6. Project activity sequencing…………………………………..………..33

7. Analysis and Findings…………………………………………………35 i) Analysis of non-existing outlets…………………………..……..35 ii) Analysis of existing Amul outlet’s……………………………...39 iii) One way ANOVA Test…………………………………………43 iv) Findings………………………………........................................45

8. Recommendation………………………………………………………46 9. Conclusion……………………………………………………………...48 i) References……………………………………………………….50

10. Annexure………………………………………………………………51

INTRODUCTION

In the year 1946, the first milk union was established. This union was started with 250 litres of milk per day. In the year 1955, AMUL was established. In the year 1946, the union was known as KAIRA DISTRICT CO-OPERATIVE MILK PRODUCERS’ UNION. This union selected the brand name AMUL in 1955.
AMUL means "priceless" in Sanskrit. A quality control expert in Anand suggested the brand name “Amul,” from the Sanskrit “Amoolya,” Variants, all meaning "priceless", are found in several Indian languages.
Gujarat Cooperative Milk Marketing Federation (GCMMF), one of India's greatest success stories with its Amul brand, is now aiming at a 18-per cent growth in sales to Rs 13750 crores this fiscal against sales of Rs 11668 crores in the previous year ended 31 March 2012-13.
The federation is expecting each of its products to contribute higher sales this year as new products are being added to each product line.For its ice cream and milk business, GCMMF has begun investing in increasing its milk capacity.
Amul is now focusing on its supply system. Efforts are on to ensure greater availability of Amul ice-cream at pushcarts and small outlets. The company feels that availability is the most important factor in ice cream sales. Thus, Amul ice-cream can be found in 'just around the corner shops,' local STD booths, local kirana shops, chemists and bakers, who stock the ice-cream in deep freezers.
The idea is to ensure visibility and availability, which more often than not ensures a sale as ice-cream consumed out of home is most often an impulsive purchase. Amul expects to clock sales revenue of 13,750 crore during the current year and the accent will be on offering 'value for money' products.
Amul ice cream is positioned as 'real ice-cream' made from real milk cream, while HLL's Kwality Walls is made from vegetable oil and its items are dubbed as Frozen Desserts.

ICE CREAM MARKET OF JAIPUR CITY
Jaipur, which can be said a Hub for various Branded and Non Branded Ice Cream dealers has a Market Share of worth Rs 71 crore out of total of Rs 2,000 crore. Many local as well as Branded players exist in the market, if we particularly talk about the Organized Branded Players like Vadilal, Kwality Walls, Amul, Cream Bell etc. they together contribute near about 87% i.e. Rs 62 crore of the total market share of Jaipur (71 crore). Remaining 9 crore is contributed by the local players like Golden, Krishna, Matka kulfi etc. Retail segment of Ice Cream is very Strong in Jaipur. Many Parlors, Bakeries, Ice Cream huts even Departmental Stores are also indulged in this Business. Distribution Channels actually made it possible for the Brands to grab the market potential of this City. Vadilal has the maximum contribution of worth Rs 23 crore which is near about 32% followed by Cream bell i.e. Rs 23 crore (30 %). Amul had a market share of Worth Rs 11.5 crore (Approx.) which is approximately 16 % of the total market share followed by Kwality Walls 8%, others (unorganized players) 13% approx.

DESCRIPTION OF ICE CREAM UNDER ACT

What exactly Ice Cream is?
The Prevention of Food Adulteration (PFA) Rules 1955 defines
Ice cream as “a frozen product that contains not less than * 10% milk fat * 3.5% protein * 36.0% total solids and * 0.5% permitted stabilizer and emulsifier.”

Players who deviate from these norms tactfully call their product "frozen dessert.” However, it is illegal to sell “ice cream” which has contents below these specified standards. MANUFACTURING PROCESS OF ICE CREAM:

BLENDING THE INGREDIENTS

BLENDING THE INGREDIENTS

PASTEURIZATION
PASTEURIZATION

HOMOGENIZATION

HOMOGENIZATION

AGING THE MIX
AGING THE MIX

HARDENING
INCORPORATED WITH AIR
HARDENING
INCORPORATED WITH AIR
FREEZING
FREEZING

PRODUCT PORTFOLIO

* Breads * Amul butter * Amul lite low fat bread * Cheese * Amul Pizza cheese * Amul Malai paneer cheese * Amul Gouda cheese * Mithai * Amul Shrikhand (Mango, Almond, Cardamom) * Amul Amarkhand * Amul Gulab jamuns * Milk * Amul Shakti 3% fat Milk * Amul Taaza 1.5% fat Milk * Amul Gold 4.5% fat Milk * Amul Shakti Toned Milk * Milk Powders * Amul Full Cream Milk Powder * Amulya Dairy Whitener * Sagar Skimmed Milk Powder * Sagar Tea and Coffee Whitener * Chocolate and Confectionary * Amul Milk Chocolate * Amul Fruit & Nut Chocolate * Ice Creams * Royal Treat * Utterly Delicious (Vanilla, Strawberry etc) * Dollies * Frostik * Tricone Chococrunch * Nut-o-Mania (Kesar Pista, Fresh Strawberry, Black Current etc) * Sundae Range (Mango, Black Currant, Double Sundae etc) * Nature’s Treat (Alphanso Mango, Fresh Litchi, Santra Mantra etc)
DISTRIBUTION

GCMMF's formidable distribution network comprised 300 stock keeping units, 46 sales offices, 3,000 distributors, 100,000 retailers with refrigerators, an 18,000-strong cold chain, and 500,000 non-refrigerated retail outlets...

DISTRIBUTION NETWORK

Amul manufactures its ice cream in Mother Dairy plant. It supplies raw material like milk from different places of Gujarat to Mother Dairy. When ice cream is fully prepared and packed than it’s transferred to different states via air-conditioned trucks. The C&F agents store it in big deep freezer rooms. From C&F the ice cream is delivered to different distributors. And from distributes the ice cream is delivered to different retailers and sub retailers. And finally the consumers purchased from the retailers. ADVERTISING AND SALES PROMOTIONOver the years, Amul's advertising philosophy had been "to be simple, fresh and innovative". The clean, emotion-based ads refrained from using hi-tech special effects, and aimed at maintaining the perfect balance between the traditional and the modern...Looking AheadThe liberalization of the dairy industry in 1991 had seen a number of multinational players like Britannia, Le Bon, Dabon and Hi-Life enter the sector.Analysts wondered whether a co-operative with limited financial means could stand up to the might of these MNCs, and if it’s low pricing strategy would continue to stay relevant. MNCs like Pizza Hut, Domino's, Hindustan Lever Limited and Cadbury had also become competitors. Amul had proved its detractors wrong and firmed up ambitious growth plans. |

..

INTRODUCTION TO THE PROBLEM

Retailers are the one of the most important member of the distribution channel. They are the people who provides product to the final consumers. As they have the direct touch with the consumers, so they can play a vital role for influencing the buyer’s decisions. The company should try to provide services to the retailers in such a way that they can satisfy with them.

RATIONALE AND SCOPE

RATIONALE:
The market share of Amul ice cream is increased by two times in just one years. It is worth mentioning that GCMMF is hoping to achieve Rs 30,000 crore turnover in the financial year 2018-19 instead of year 2020 which it had earlier set as a target for itself.. The Amul Ice Cream captures around 30% of the total market share in Jaipur. There is an immense opportunity for the company to extend their market share. The project will create the opportunity for the company to capture the market share.

SCOPE:
The scope of study is to understand the problem faced by the company while increasing the retail outlets. With the help of this project Amul can increase their outlets by analyzing the feedback given by the interviewer (including existing and non-existing outlets). Amul can also analyze the pricing strategy followed by the rivals. By this study company will get the information about current competitive position of the Amul ice cream in the market.

OBJECTIVE
PRIMARY OBJECTIVES: To increase the number of outlets of Amul ice cream.
SECONDARY OBJECTIVE: * To analyze the retailers perception about Amul ice cream. * To find out the competitive edge of the company over the competitors. * To analyze the market size of ice cream. * To study the consumer preference about different ice cream companies. * To study distribution channel.

APPLICATION OF MODEL IN AMUL ICE CREAM

1. Threat of Substitute Products (High): The existence of close substitute products increases the propensity of customers to switch to alternatives in response to price increases. * Buyer propensity to substitute. * Relative Price Performance of Substitutes. * Buyer Switching cost.
Example- Pastry, Shakes, Cold coffee, Energy Drinks etc

2. Threat of the Entry of new competitors (High): Profitable markets that yield high returns will draw firms. This results in many new entries in the segment, which will effectively decrease profitability. Unless the entry of new firms can be blocked by incumbents, the profit rate will fall towards a competitive level. * Brand Equity * Switching Cost * Capital Requirement * Government Policies
Example- Existing players, Local Ice Cream Manufacturer etc.

3. Intensity of Competitive Rivalry (High): Sometimes rivals compete aggressively and sometimes rivals compete in non-price dimensions such as Innovation, Marketing etc. * Number of Competitors * Rate of Industry Growth * Level of Advertising Expense
Example- Vadilal, Cream Bell, Kwality walls etc.

4. The Bargaining Power of Customer (High): It can also describe as the market of outputs. The ability of customers to put the firms under pressure and it also affects the customer’s sensitivity to price change. * Degree of Dependency upon existing channels of Distribution * Buyer Volume * Buyer Information Availability
Example- Vadilal, Kwality Walls.

5. The Bargaining Power of Suppliers (Low): It can also be describe as market of inputs. Suppliers of raw materials, Components, Labors, Services to the firm can be the source of power over the firm. Suppliers may refuse to work with the firm. * Presence of Substitute Inputs * Suppliers Switching costs relative to firm switching costs * Cost of Inputs relative to selling price of the products.
Example- Charge excessively high prices for unique resources

MARKETING STRATEGIES WITH THE HELP OF 4 P’S

4 P’S
4 P’S

PROMOTION
PROMOTION
PLACE
PLACE
PRICE
PRICE
PRODUCT
PRODUCT

PRODUCT: Amul ice cream has wide range of variety that consists of more than hundred flavors available in the market including 20 new flavors, which is introduced in this summer. As ice cream is an impulsive purchase item so, its sale depends mostly on availability and variety.
PRICE: The price of Amul ice cream is very less compared to its competitors. In novelty item the price of the flavors varies from Rs.5 to Rs22. The pricing strategy of Amul is, to target each income group of the society. The cheaper price of ice cream is meant for targeting the people with low income. Along with the low income group Amul is also targeting medium as well as the premium segment by providing different flavors at different prices.
PLACE: The distribution of the ice cream in Jaipur is done through exclusive Amul outlets situated in various locations. In Jaipur, Amul has Ten distributors who supplies ice cream to more than 1250 outlets. These eleven distributors are responsible for their respective areas.
PROMOTION: Amul is a well-established brand name of GCMMF. For promotion of the ice cream the company gives advertisement in newspaper and magazines. It gives glow sign board to every retailers and also makes wall paintings on their request. Amul uses their punch line ---“Real milk real ice cream” for the promotion.

SWOT ANALYSIS

STRENGTH:

a) Biggest sourcing base for milk and milk products in India. b) India’s best-known local Brand across all categories. c) 40% market share in the national Ice Cream market. d) Presence of a well-established distribution and delivery network for dairy products. e) Penetration pricing strategy – Amul is the price warrior in the Ice cream market and currently has a very wide range to offer for all price points. f) Vadilal, Amul’s main rival, has been able to extend it’s cold chain in only about 150 out of 300 class I towns. Whereas Amul has presence in almost all towns because of its already existing butter lines. g) Customer is most comfortable buying Ice Cream in the Value for Money segment and Amul is well present in this segment. h) Amul has built up a formidable image as a brand in which generations of consumers have placed their trust. This can be used to its advantage while introduction of ice creams.

WEAKNESS:

a) Relationship between retailer and company is not effective. b) After sales service is not upto retailers expectation level c) Availability of all type of verity ice is not regular. d) Advertising is low profile, as the results of our survey show. Vadilal on the other hand is into heavy advertising and consequently, is popular. e) As per our survey, retailers list a credible Replacement policy as a factor very high on their wish list. They would be willing to make further investments only for that brand which offers replacement facilities. Amul has no replacement policy. f) Retailers now demand freezers without having to pay any deposit. This is especially true of those retailers who already stock one or the other ice cream brands.

OPPORTUNITY:

a) Jaipur market is not restricted to monopoly outlets. There are a significant number of retailers who are currently stocking more than two brands. This is in Amul’s favor, as earlier it had to overcome this problem in the Delhi market. b) There is ample scope in the low priced segment as also in other categories where consumers presently are dissatisfied with the quantity being provided vis a vis the price being charged. c) Amul has the opportunity to capture the more evolved young adults and children who are open to new products provided they meet their expectations. d) Vadilal is right now in an investment mode and is concentrating on expanding the market as also its reach. Amul should direct its resources towards cashing in on Walls market development. e) Distributors are dissatisfied with the margin & customer support services currently being provided in the market. This can be used to Amul’s advantage. Mother Dairy is extremely apathetic to retailers and there is a gap to be exploited.

THREAT:

a) New companies are entering the ICE industry. b) Local manufacturers are growing at alarming rate c) Good advertisement campaign from competitors. d) The consumers have very well received Vadilal product differentiation strategy and Mother Dairy is also pushing up its advertising pitch.

MARKET RESEARCH

RESEARCH DESIGN:
The research design prepared with great care keeping in mind the research objective. The project was divided into two parts—parts ‘A’, part ‘B’.

RESEARCH APPROACH:
In the part ‘A’ the research was conducted by visiting to the various non-existing outlets of Amul and asking them about Amul ice cream and whether they would like to keep Amul ice cream. I also told them about the Amul’s promotional scheme and various superseding factors.

In the part ‘B’ the research was conducted by visiting to the various existing Amul’s outlets and knew about the replacement of old and unsold stock and services of Amul.

RESEARCH INSTRUMENTS:
The primary data collected for this study was done through detailed market survey by means of unstructured interaction. The secondary data is collected through Internets, Material provided by company, e.t.c.

TARGET AREA
I targeted following areas for conducting all the above parts of my project. * Vaishali Nagar * Mansarovar * Malviya Nagar * Raja Park * Shyam Nagar * Jawahar Nagar * Lalkothi * Statue Circle
Reason for choosing these areas are that these areas are densely populated and the living standard of people of these areas is much better in comparison to other areas.
SAMPLE PROCEDURE:
The procedure adopted for sampling was on the basis of judgmental sampling.

HYPOTHESIS:
Ho1 --- There is no significance difference between the price of Amul Ice-cream and its competitors.
Ho2 --- There is no significance difference between the product quality of Amul Ice –cream and its competitors.
Ho3 --- There is no significance difference between the company’s scheme of Amul ice – cream and its competitors.
Ho4 --- There is no significance difference between the services provided by Amul and its competitors.
Ho5 --- There is no significance difference between the availability of Amul Ice – cream and its competitors.
Ho6 --- There is no significance relation between the taste of Amul ice cream and its competitors.
Ho7 --- There is no significance difference between the packaging of Amul ice cream and its competitors.
Ho8 --- There is no significance between the flavor of Amul ice cream and its competitors.
Ho9 --- There is no significance difference between the brand image of Amul ice cream and its competitors.

LIMITATIONS: * Due to unavailability of proper conveyance facility, it was really hard to cover the market under a scorching sun. * In many residential blocks shops located in corners of by lanes were difficult to locate. * The time duration of two months was short for the completion of all activities. * Being a perishable product no sample could be shown as demanded by many prospecting clients.

PROJECT ACTIVITY SEQUENCING

Start
Start

Collecting some secondary data/information from various sources
Collecting some secondary data/information from various sources
Developing open and structured questionnaire
Developing open and structured questionnaire

Study the information
Study the information
Conduct survey in Jaipur
Conduct survey in Jaipur

Compile and analyze the collected information
Compile and analyze the collected information

Do report writing
Do report writing

FINAL REPORT

(ANALYSIS OF NON-EXISTING OUTLETS)

This table shows the interest to take retailer-ship for ice-cream Dealers Number | Yes | No | 100 | 67 | 33 |

From the above graph it is found that 67% retailers are interested in keeping ice cream. Only 33% retailers are not interested.

If yes, which brand would you like to go for:

Retailers | Amul | Vadilal | Kwality Walls | Mother Dairy | Cream Bell | Other | 100 | 22 | 25 | 18 | 7 | 15 | 13 |

The graph shows that out of hundred percent retailers 22% retailers were favored Amul ice cream. After Amul the most favored ice cream is Kwality walls. Kwality walls is third most important because its new in market with higher rate of margin and less price.

Preference given by the retailers to the following companies on the given quality:

| Amul | Vadilal | Kwality walls | Mother dairy | Cream bell | Other | Price | 29 | 26 | 14 | 8 | 10 | 13 | Margin | 24 | 28 | 13 | 6 | 11 | 18 | Quality | 26 | 19 | 10 | 25 | 11 | 9 | Variety | 25 | 23 | 14 | 12 | 16 | 10 | Pack | 22 | 23 | 15 | 17 | 13 | 10 | Availability | 20 | 24 | 18 | 7 | 15 | 16 | Taste | 27 | 25 | 16 | 9 | 13 | 10 | C.Scheme | 17 | 25 | 19 | 6 | 18 | 15 | Service | 19 | 27 | 21 | 7 | 15 | 11 |

Comparison of preference given by the retailers to the different Ice – cream-making companies:

From the above graph it is conclude that Amul is leading in the price and variety preference but giving equivalent competition to other companies in quality, packaging and availability. Amul is way behind in terms of services.
Percentage of people likes to keep deep freezer provided by the company: Retailers | Yes | No | 100 | 87 | 13 |

Here graph shows that the most of the retailers wants to keep deep freezer provide by the company.

Mode of payment for deep freezer:

Retailers | C.D.P | Installment | Security | 100 | 17 | 40 | 43 |

The above graph shows that most of the retailers want to keep deep freezer on either installment basis or security basis. Only 17% retailers are interested for cash down payment.
Relationship on the basis of: Retailers | Trial basis | Long term | Short term | 100 | 23 | 77 | 0 |

The above graph shows that the most of the retailers wants to keep relationship with Amul for long-term basis.

(ANALYSIS OF EXISTING AMUL’S OUTLETS)

Do you keep Amul ice cream?

Retailers | Yes | No | 100 | 90 | 10 |

About 90% of the existing Amul outlets are still keeping Amul ice cream. Due to the lack of proper sales services 10% of the existing outlets are now switch over to other companies.

From where you bought your deep freezer: Retailers | Amul | Others | 100 | 80 | 20 |

Most of the existing outlets purchased deep freezer from Amul. The graph shows that 80% of the Amul outlets purchased their deep freezer from Amul.
Mode of purchase:

Retailers | Cash down | Installment | Security | 100 | 74 | 3 | 23 |

The graph shows that the 74% of existing retailers purchased their deep freezer form Amul by paying cash. Only 23% of the retailers who have their shops on prime location got deep freezer on security basis.
Which pack of ice cream is sold most?

Retailers | Cups | Cone | Fundoo | Candies/Bar | Family/ Party pack | 100 | 25 | 30 | 15 | 20 | 10 |

The graph shows that the most saleable flavor is cone. Party pack and Cups are also sold in bulks. The flavors that are not sold much are Fundoo and Candies.

At what period of time customers comes in bulk:

Retailers | Morning | Afternoon | Evening | Night | 100 | 0 | 30 | 50 | 20 |

In the evening from 6 p.m to 9 p.m the sale of ice cream reached to its optimum level. The ice cream is not sale much in the morning period.

According to the retailer the flavour has maximum sale:

Retailer | Vanilla | Chocolate | Butter scotch | Pinapple/Mango | Kaju/Pista | Anjeer/Litchi | 100 | 25 | 15 | 30 | 15 | 10 | 5 |

The graph shows that the most demanded flavor is vanilla. After that Butter Scotch gets the position. Anjeer and Litchi are rarely sold in the market.

Preference given to attributes: Retailers | Price | Margin | Quality | Variety | Pack. | Avail. | Taste | C.S | 100 | 7 | 23 | 18 | 6 | 17 | 6 | 13 | 10 |

The above graph suggests that the quality of Amul ice cream is admired more. The price and packaging also count. The problem area is the availability of ice cream. The retailer says that all the flavors are not available on demand.

ONE-WAY ANOVA TEST:

As in our research the number of independent variables are more than two so here we are using one-way ANOVA. The number of independent variable is five here. The independent variables are Amul, Kwality walls,Mother Dairy, Cream Bell and Vadilal. The dependent variables are price, margin, quality, availability, company scheme, flavour, packaging and brand image.
The following data is calculated on the basis of one-way ANOVA with the of SPSS software. The software gives the result very quickly. We have to put the independent variable in variance one column and dependent variable in variance two column. And after giving the right command we can get the answer.
Here is one of the value for product quality attribute is calculated. The degree of freedom four is obtained by subtracting one from independent variable that is five. D.o.f 145 obtained by subtracting five from hundred fifty dependent variables.

149
630.593
Total

2.167
145
313.967
Within the group
0.00
36.557
79.157
4
316.627
Between the group
Significance
F
Mean square
d.o.f
Sum of squares

149
630.593
Total

2.167
145
313.967
Within the group
0.00
36.557
79.157
4
316.627
Between the group
Significance
F
Mean square
d.o.f
Sum of squares

COMPARISON OF TABLE VALUE WITH CALCULATED VALUE

Criteria

Calculated value

Table value

Acct./Reject.

Prod. Quality

36.557

Rejected

Price

39.355

Rejected

Services

33.522

Rejected

Schemes

29.314

Rejected

Advertisement

30.777

Rejected

Flavor

12.538

Rejected

Packaging

13.334

Rejected

Brand Image

37.340

Rejected

3.32
3.32

3.32
3.32
3.32
3.32
3.32
3.32
Criteria

Calculated value

Table value

Acct./Reject.

Prod. Quality

36.557

Rejected

Price

39.355

Rejected

Services

33.522

Rejected

Schemes

29.314

Rejected

Advertisement

30.777

Rejected

Flavor

12.538

Rejected

Packaging

13.334

Rejected

Brand Image

37.340

Rejected

3.32
3.32

3.32
3.32
3.32
3.32
3.32
3.32

Since the table value is less than the calculated value, so here all the hypotheses are rejected. It means that, there is a significance difference between the preferences given by the retailers to the different attributes of Amul ice cream and its competitors.

FINDINGS:

After analyzing all the data given by shopkeepers we found certain key findings that is very important for our project.

1.Most of the retailers are interested for keeping Amul Ice Cream.
2. Retailers are not satisfied with the services provided by the company. 3.Most of the retailers like to keep deep freezer on installment basis and security basis. 4.Cone and Party packs are sold most. 5.The sale of ice cream is higher in evening. 6.The full varieties of flavor are not available on regular basis. 7. Prices of Amul ice cream are almost as par customers need. 8. Margin in Amul ice cream is very high. 9. People were highly satisfied with product quality of Amul.
10. Although Amul has opened numerous outlets it is seen that distributors are finding it difficult to deliver supplies in the stipulated time leading to retailer in convenience.
11. It was found that many deep freezers had developed technical snags and service personal was late in rectifying them. This created a negative rapport in mind of the retailers.
12. Retailers are unsatisfied with the replacement of unsold Amul ice cream.
13. Distributors could not provide all type of varieties because of less stock.
14. Other companies are providing deep freezers at law security which attract the retailers and create threat for HADF scheme.

RECOMMENDATION:

1) Relationship with retailers and company should be kept under a close watch 2) Salesmen should be given the responsibility to handle the retailer’s grievances 3) Orders by the retailers should be executed in a proper manner to avoid irregular availability. 4) Low security and easy installment should be given on deep freezer. 5) Promotion activities should take into consideration in two different ways a) Company should associate themselves with social events, b) Company should use electronic as well as print media for their advertisement. 6) Company should give special offers to retailers frequently. 7) Company should expand their business throughout the small towns. 8) Company should open exclusive Amul parlors and outlets in big shopping mall’s for promotion in higher segment. 9) There have been a lot of complaints about replacement policy of Amul. Amul should try to improve its replacement policy and make it somewhat liberal. 10) Innovative schemes like Priviledge cards giving discount on successive purchases may be introduced to make a customer brand loyal to Amul.

CONCLUSION

There is an ample scope for ice cream making companies do progress in this green environment. The market size is increasing day by day and the demand for new flavors are arising. The companies like KW, Cream Bell, Vadilall, and Mother Dairy are trying to capture more market share with their new ideas and plan. As per Amul is concern the company should become liberal on his policies. Amul market share in Jaipur is high but for maintaining the growth rate it should give the retailers more facilities for opening of new outlets and running successfully. The company also needs a proper distribution network for availability of products at demand.

REFERENCES

1 BOOKS. * Marketing management by Philip Kotler Published by Pearson Education Pvt. Ltd, Indian Branch, 12th edition , * Hunger J.D &Wheelen T.L ,Essentional of strategic Management ,Prentice-Hall,3rd edition,2012,pp-81-94 * Wheelen T.L & Hunger J.D-Concept in strategic Management & Business policy,Pearson education,12 edition ,2012,pp-135-145 2 INTERNET. * www.Amul.com * www.google.com * www.indiatimes.com * www.infoline.com

Study on Behaviour of Retailers with special reference to
Amul, Jaipur

(For New Outlet)

CONSUMER DETAILS:

Name:

Age Group: 18-30 30-45 45 above

Gender: Male Female

**** **** **** ****

Have you ever through of expansion of your business in terms of ice -cream? Yes No

If no why _______________________________________________________

If yes, which brand would you like to go for? Amul Vadilal Kwality Mother Dairy Cream Bell Others

Rank according to your preference. High Moderate Low Amul Vadilal Kwality Mother Dairy Cream Bell

What is your preference about following companies on the given qualities? (1-6) Amul Vadilal Kwality Mother Dairy Cream Bell other
i) Price ii) Margin iii) Quality iv) Variety
v) Packaging vi) Availability

Would you like to have deep freezer provided by the company? Yes No

If No, why_______________________________________________________

If yes, then which mode of payment are you looking for. Cash down payment Instalment Security

Would you like to have retailer-ship on? Trial basis Long term Short term

Date: Signature: ______________

Study on Behaviour of Retailers with special reference to
Amul, Jaipur

(For existing outlets)

CONSUMER DETAILS:

Name:
Age Group: 18-30 30-45 45 above
Gender: Male Female

**** **** **** ****

This survey is made for the purpose of my Summer Project and doesn’t have any commercial impact.

Do you keep Amul ice cream? Yes No
If no than why ________________________________________________

How long you are keeping Amul ice cream? Less than six months 6 to 12 months 12 to 18 months more than 18 months

What is the sales turnover from day one? 1st 6th months__________________ Between 6 to 1 year______________ 1 to 2 year_____________________ 2 to 3 years_____________________

From where you brought your deep freeze? From Amul _________ Other source (Please specify) _______________________

On which basis you procured your Deep Freezer? Cash down payment: ___________________________ Installment: __________________________________ Security: ____________________________________ Other: ______________________________________

How many brands you keep? _____________________________________________________________ _____________________________________________________________

How many customers are looking for Amul Ice cream (percentage)? 10 10 - 20 20 – 30 30 – 40 40 and above

According to which brand of Ice Cream has maximum sales. Brand | Rank | Reason | Amul | | | Kwality wall’s | | | Vadilal | | | Mother dairy | | | Cream bell | | | Other | | |

According to you which flavour of Ice-cream has maximum sales? Flavour (Rank them at a scale of 1 - 7)

Vanilla Anjeer/Litchi Strawberry Kaju/Pista/Kessar Chocolate Mango/Pineapple/Orange Butter Scotch Do you feel color of the Ice Cream affect its demand? Yes No If ‘Yes’ then which color _________________________

Which flavors are mostly preferred under Family/Party Pack? ___________________________________________________

Which pack of Ice Cream is most sold? (rank at a scale of 1 - 5) Cups Cone Fundoo Candies/Bar Family/Party Pack

Please grade different companies on the following attributes in context of ice Cream Scale on the following basis: (1 as Very good and 5 as Very Poor)

Attributes | Brand Names | | Amul | Kwality Walls | Vadilal | Mother Dairy | Cream Bell | Other | Product Quality | | | | | | | Price | | | | | | | Service | | | | | | | Schemes | | | | | | | Advertising | | | | | | | Brand Image | | | | | | | Flavors | | | | | | | Packing | | | | | | | Total | | | | | | |

At which period of time customers comes in bulk? Morning Afternoon Evening Night

Date: Signature: _______________