AMUL BUTTER MILK.doc

Winter Internship Report

On

AMUL BUTTER MILKDemand Estimation Of Amul Butter Milk in entire Lucknow market and find communication strategies to increase its penetration.

SUBMITTED TO: SUBMITTED BY:Mr. Syed Tanveer YASH PANDEY

MBA-MARKETING SEMESTER 4TH ROLL NO- 11398700561

CONTENTSSummer Training Certificate

2Preface

4Acknowledgement

5Executive Summary

6Organisation Profile

7Product Profile

20Data Interpretation and Analysis of Consumer Response onAMUL BUTTER MILK

23Retailers Perception towards AMUL BUTTER MILK

43Research Methodology

48Market potential of AMUL BUTTER MILK

51-54Learning

55Suggestions

56Conclusion

57-58Appendix :

59-611. Consumer Response Questionnaire

2. Recipies

Bibliography

643PREFACEGujarat Cooperative Milk Marketing Federation (GCMMF) is India's largest food products marketing organisation. It is a state level apex body of milk cooperatives in Gujarat 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.

CRISIL, India's leading Ratings, Research, Risk and Policy Advisory company, has assigned its highest ratings of "AAA/Stable/P1+" to the various bank facilities of GCMMF.

This project is divided into two subheads:-

Consumer survey of Amul butter milk in entire Lucknow market to analyze its demand in Lucknow market.

Understanding Retailers' Perception towards Amul butter milk in Lucknow market.

The report embodies the result of the project entitled Demand estimation of Amul Butter milk in entire Lucknow market and find communication strategy to increase its penetration in Lucknow. We deem it as a matter of great fortune to get summer training at GCMMF (AMUL), which is a pioneer name in itself spells out a Saaga of valued managerial traditions work culture and professional cannons can make anyone by any reason to be proud of being its part in one way or another.

The summer training was quite inspiring, satisfying, knowledge gaining and academically rewarding.

4ACKNOWLEDGEMENT I hereby take the opportunity to express my profound sense of reverence and gratitude to all of them who have helped me in successful completion of this training. It was privileged for me to work with GCMMF (AMUL), Lucknow during the summer training .

I wish to express my sincere gratitude to Mr. Rajeev Tripathi (Senior Marketing Executive), Mr. Akshat (Associate Partner) and all employees of GCMMF for their guidance and valuable support rendered to me in solving my problems and difficulties that i faced in completion of this task .

Moreover the crux of knowledge, care and support of all who have enabled me to gain this memorable practical experience will keep me learning all through my life.

Regards:-Yash Pandey5EXECUTIVE SUMMARYI, the student of BHALCHANDRA INSTITUTE OF EDUCATION AND MANAGEMENT,LUCKNOW, batch of 2012-13 conducted a detailed study on behalf of the GUJARAT COOPERATIVE MILK MARKETING FEDERATION LTD.

On

1) Consumer survey of Amul butter milk in Lucknow market to analyze its demand in Lucknow market.

2) Understanding retailers perception towards Amul Butter Milk in Lucknow market.

The summer internship program started in AMUL (GCMMF), Lucknow Branch from 17th JANUARY 2013 to 15th MARCH 2013(8 weeks).

My project at GCMMF would help the organisation :- To analyse the demand estimation of AMUL BUTTER MILK in Lucknow Market .

To understand the retailers perception towards AMUL BUTTER MILK in Lucknow Market.

6ORGANISATION PROFILEIntroduction

GCMMF came into existence in year 1973 with the advent of the co-operative movement in the milk sector. It was kicked off and made to reach at the pinnacle by milkman of India, Dr. Verghese Kurien. It has a three tier structure starting from the Village Level Co-operatives as first, which help in the procurement; the District Level Unions handle transportation and processing; and the Federation, to market the product. The Federation also handles strategic planning and investment. Initially, at the time of inception it marketed only dairy products like liquid milk, butter and Ghee but time to time it updates its products and diversifies in various other products like jams, etc and also diversifies in other more novel milk products.

1.Objective

GCMMF has, as its main objective, carrying out activities for the economic development of agriculturists by efficiently organizing marketing of milk and dairy produce as produced by member unions, veterinary medicines, vaccines and other animal health products, agricultural produce in raw and/or processed form and other allied produce. This is done through:

Common branding

Centralized marketing

Centralized quality control

Centralized purchases and

Efficient pooling of milk 72. Functioning of GCMMFIn this Corporate Office, GCMMF plans for the products to be sold, quantity of each product and strategy to sell the same. At present, Amul is the sole brand marketed by GCMMF in Gujarat as well as nationally. The two areas, which are given special attention are -'customer focus' and 'quality orientation'.

3. Business Philosophy To serve the interests of milk producers

To provide quality product that offers the best value to consumers for monetary gain4. Size and Hierarchy Chart of GCMMF: Managing Director

CGM

GM

AGM

Manager8 Deputy Manager

Asstt. Manager

Sr. Executive

Executive

Junior Executive

STAFF (150)

Field Sales Representative

Clerks

(150)

Peons

95. Organizational Structure of GCMMF

10GCMMF is the marketing agency for AMUL. These two are inter-related but independent in their functioning. It has about 30 lakh farmer members and 12,640 village co-operatives. These farmer members choose 17-18 members as management committee in their village co-operative which further elects District union representatives who have the voting rights and these representatives then elect the chairmen of each district union who represents his/her district in the GCMMF . These are 13 in numbers (earlier these were 12 but now Surender-Nagar district union is also included). These members choose the chairperson. And rest acts as board of directors. Post of Managing director is filled through advertisement. There are 6 zonal office of the federation- four of it in the metropolitan cities and rest two in Guwahati and Ahmedabad. And there are 47 branch offices all over India. GCMMF has one overseas office in Dubai. Corporate office of the federation is in Anand and it has following departments under it.

11

6. Five lines on which GCMMF concentrates

There are five basic lines on which GCMMF works viz. Retailing, New Line, Fresh Milk, Main Line, and Ice-cream. Through these line processes GCMMF brings about its basic work of marketing and creating market for the AMUL products.1. Retail line: through this line GCMMF concentrates on selling out its products through chain of retailers and also the availability of the products is ensured through the functioning of this line.

2. New line: this line ensures that the new products are properly introduced and placed in the market. This way it ensures the proper availability and publicity of the new product.

3. Fresh Milk line: this is the most important product line for GCMMF. It forms the largest share of the product sold by AMUL. 4. Main line: this line includes the traditional milk products being formed by AMUL like Ghee, Cheese, Butter etc, which forms an important market for AMUL.

5. Ice-cream: it is the line which has ensured AMUL becoming the market leader of the Indian Ice-cream industry and enjoys a 35% share of the total market.13ValuesIt is said strong values are substitute for formalization in the organizational structure. Its really true as we found in GCMMF. The organization has a rich history, the great architect being Dr. Varghese Kurien, the father of white revolution in India. The organization has the following core values: Customer Orientation

Commitment to Producers

Integrity

Co-operation

Excellence

Leadership

Quality

Innovation

Growth Orientation-New Products

Belongingness

Pride in Organization

Employee Satisfaction

14Strategy

AMULs business strategy is driven by following two objectives of

Long-term, sustainable growth to its member farmers, and

Value proposition to a large customer base by providing milk and other dairy products at a low price. Its strategy, which evolved over time, comprises of elements described below.

Equal concern for both Suppliers and Customers: From the very early stages of the formation of AMUL, the cooperative realized that sustained growth for the long-term was highly dependent on matching supply and demand. This was even more important in this case as it was dealing in highly perishable commodity market. Further, given the primitive state of the market and the suppliers of milk, their development in a synchronous manner was critical for the continued growth of the industry. The organization also recognized that in view of the poor infrastructure in India, such development could not be left to market forces and proactive interventions were required. Accordingly, AMUL and GCMMF adopted a number of strategies to assure such growth. For example, at the time AMUL was formed, the vast majority of consumers had limited purchasing power and was value conscious with very low levels of consumption of milk and other dairy products. Thus, AMUL adopted a low price strategy to make their products affordable and guarantee value to the consumer. The success of this strategy is well recognized and remains the main policy of AMUL's strategy even today. The choice of product mix and the sequence in which AMUL introduced its products is consistent with this philosophy. Beginning with liquid milk, the product mix has been enhanced slowly by progressive addition of higher value products while maintaining desired growth in existing products. Even today, while competing in the market for high value dairy products, GCMMF ensures that adequate supplies of low value products are maintained.

On the supply side, as mentioned earlier, the member-suppliers were typically small and marginal- farmers had severe liquidity problems. Most of them were illiterate and had no prior training in dairy farming. AMUL and other cooperative Unions adopted following strategies to develop the supply of milk and assure steady growth like: For the short term, the procurement prices were set so as to provide fair and reasonable return.

Aware of the liquidity problems, cash payments for milk supply was made with minimum of delay.

For the long-term, the Unions followed a multi-pronged strategy of education and support. For example, only part of the surplus generated by the Unions is paid to the members in the form of dividends. A substantial part of this surplus is used for activities that promote growth of milk supply and improve yields. These include provision of veterinary services, support for cold storage facilities at the village societies etc. In parallel, the Unions have put in place a number of initiatives to help educate the members.

To summarize, the dual strategy of simultaneous development of the market and member farmers has resulted in parallel growth of demand and supply at a steady pace and in turn assured the growth of the industry over an extended period of time.

16Cost Leadership: AMULs objective of providing a value proposition to a large customer base led naturally to a choice of cost leadership position. Given the low purchasing power of the Indian consumer and the marginal spending power, the only viable option for AMUL was to price its products as low as possible. This in turn led to a focus on costs and had significant implications for managing its operations and supply chain practices.

1. Emphasis on Core Activities: In view of its small beginnings and limited resources, it became clear fairly early that AMUL would not be in a position to be an integrated player from milk production to delivery to the consumer. Accordingly, it has chosen a strategy to focus on core dairy activities and rely on third parties for other complementary needs. This philosophy is reflected in almost all phases of AMUL network spanning R&D, production, collection, processing, marketing, distribution, retailing etc. For example, AMUL focused on processing of liquid milk and conversion to variety of dairy products and associated research and development. On the other hand, logistics of milk collectionand distribution of products to customers was managed through third parties. However, it played a proactive role in making support services available to its members wherever it found that markets for such services were not developed. For example, in the initial stages, its small and marginal member farmers did not have access to finance, veterinary service, knowledge of basic animal husbandry etc. Thus to assure continued growth in milk production and supply, AMUL actively sought and worked with partners to provide these required services. In cases where such partnerships could not be established, AMUL developed the necessary capabilities and provided the services.172. Managing Third Party Service Providers: Well before the ideas of core competence and the role of third parties in managing the supply chain were recognized and became fashionable, these concepts were practiced by GCMMF and AMUL. From the beginning, it has recognized that the core activity for the Unions is in processing of milk and production of dairy products. Accordingly, the Unions focus on these activities and related technology development. Marketing efforts (including brand development) are assumed by GCMMF. All other activities have been entrusted to third party service providers. These include logistics of milk collection, distribution of dairy products, sale of products through dealers and retail stores, some veterinary services etc. It is worth noting that a number of these third parties are not in the organized sector, and many are not professionally managed. Hence, while third parties perform the activities, the Unions and GCMMF have developed a number of mechanisms to retain control and assure quality and timely deliveries. This is particularly critical for a perishable product such as liquid milk.3. Financial Strategy: AMULs finance strategy is driven primarily by its desire to be self-reliant and thus depend on internally generated resources for funding its growth and development. This choice was motivated by the relatively underdeveloped financial markets with limited access to funds, and the reluctance to depend on Government support and thus be obliged to cede control to bureaucracy.

AMULs financial strategy may thus be characterized by two elements:

1. Retention of surplus to fund growth and development, and

2. Limited/ no credit, i.e., all transactions is essentially cash only. 18For example, payment for milk procured by village societies is in cash and within 12 hours of procurement. Similarly, no dispatches of finished products are made without advance payment from distributors etc. This is particularly important, given the limited liquidity position of farmer/suppliers and the absence of banking facilities in rural India. This strategy strongly helped AMUL implement its own vision of growth and development. It is important to mention that many of the above approaches are at variance with industry practices of both domestic and MNC competitors of AMUL. 19PRODUCT PROFILEAmul buttermilk (Chhas/Tak/Mattha)

Gujarat Co-operative Milk Marketing Federation, an apex marketing organization engaged in marketing milk and milk products under the brand names "Amul" and "Sagar" has recently introduced a value for money product-Buttermilk(chaas/tak/mattha) for its thirst -quenching and nourishing qualities at very affordable price. At present, this product is available in Gujarat, Mumbai, Delhi, Kanpur, Kolkata, Lucknow etc., and lakhs of consumers are daily enjoying it.

Being a tropical country, India has an extended summer, from mid march till july where temperatures soar to as high as 45 degree centigrade. Ambient temperature remains above 35 degree centigrade till October. However, the populace devised means to beat the heat in a surprisingly delicious manner; it created buttermilk, which is one of the notable natural coolents.

Buttermilk is known as "Mattha" in north India, "Tak in Maharashtra, "Chaas" in Gujarat , "Majjiga " in Andhra Pradesh & Kannada and " Moru" in Tamil Nadu.

Being quick and easy to prepare, it has found its way in Indian diet is in millions of homes. Chhas is flavoured with pepper, ginger, coriander, mustard seeds and curry leaves and even onion in some parts of India. Everywhere in India, Chhas is a healthy drink which protects against summer heat.

Characterstics of Amul butter milk : Very low in fat.

Very low in calories.

Has very rich and useful health improving bacteria.

Rich in whey protein ideal for bone and muscles.

Rich in calcium and minerals.

20 Nutritional information: Amul butter milk:NUTRITIONAL INFORMATION

Serving size 500 ml

Amount per 500 ml

Energy 26 kcal

Energy from Fat 9 kcal

Total Fat 1.0g Calcium 91 mg

Saturated Fat 0.5g Phosphorus 79 mg

Sodium 30 mg Thiamine 25 mcg

Total Carbohydrate 2.3 g Riboflavin 73 mcg

Added Sugar 0 g Niacin 61 mcg

Protein 2.1 g Folic acid 4.5 mcg

#Approx. Values1. Amul Chhas is rich in minerals like calcium and phosphorus.

2. Amul Chhas provides water intake in body without many calories and helps fight de-hydration during diarrhoea.

3. Beside all goodness of milk based carbohydrate and protein, it also has vitamins (Thiamine B1, Riboflavin B2, Niacin B3, Folic acid B9.

Benefits of Amul butter milk:

Thirst-quenching

Refreshing

Appetizing Cooling Rejuvenating Soothing Easy to digest

21Therapeutic values of Amul butter milk:

Improve food absorption in small intestine.

Pitta Nashak, Kapha Nashak & good on acute Dirrhoea.

Excellent antidote against sun-stroke.

An aid to remove sun tan from skin.

Used to wash hair to remove dandruff.

Nutraceutical Benefits of Amul butter milk: Longer life.

Lowers LDL, Raises HDL Cholesterol.

For fresh breath and a healthy mouth.

Uses of Buttermilk:

Take a glass full in early morning in place of Tea, Amul Buttermilk will improve the digestive function.

Replace your soup with Amul Buttermilk, it will give you dieting benefits.

Take a glass of Amul Buttermilk after lunch / dinner for better digestion.

Just give Tadka to Amul Buttermilk and use it as your Dal.

Add some coriander cumin and salt to Amul Buttermilk and your guest offering is ready.

You can prepare Besan Kadhi from Amul buttermilk.

22Data Interpretation and Analysis :This section includes Data Interpretation and Analysis of Consumer Response .Q1. DO YOU CONSUME BUTTER MILK?

YES : 100%NO : 0%

Frequency on consumption

Frequency ConsumecyPercentValid PercentCumulative Percent

ValidY300100.0100.0100.0

ANALYSIS : Out of 300 consumers, 100% of them consume Butter milk i.e 300 consumers.Q2. WHAT TYPE OF BUTTER MILK DO YOU USE?

HOME MADE : 4.3%

LOOSE : 8%

PACKED : 87.7%

23Frequency of Type_BM

FrequencyPercentValid PercentCumulative Percent

ValidHome made 134.34.34.3

Loose248.08.012.3

Packed26387.787.7100.0

Total300100.0100.0

Pie chart on type BM

ANALYSIS : Out of 300 consumers, 4.33 % of consumers drink home made butter milk, 8% drink loose butter milk, and 87.67% drink pouched butter milk.24Q3. HAVE YOU HEARD ABOUT AMUL BUTTER MILK IN POUCH?

Yes : 100%

No : 0%

Frequency on awarenessFrequencyPercentValid PercentCumulative Percent

ValidY300100.0100.0100.0

ANALYSIS : Out of 300 of consumers, 100% of them are aware about Amul butter milk .

Q4. HAVE YOU TRIED IT ?Yes : 100%

No : 0%

Frequency on trial


Valid Y300100.0100.0100.0

ANALYSIS : Out of 300 consumers, 100% of them have tried Amul Butter Milk.25Q5. IN WHAT FORM DO YOU USE AMUL BUTTER MILK?

RECIPIES : 7%

SAME FORM : 93%

Frequency on usage form


ValidRecipies217.07.07.0

Same Form27993.093.0100.0

Total300100.0100.0

Pie chart on usage form

ANALYSIS : Out of 300 consumers, 7 % of them used to make recipies from Amul butter milk and 93% of them use it in same form.

26Q6. WHAT ARE THE ATTRIBUTES DO YOU LOOK IN BUTTER MILK?A. FRESHNESS : 67%B. CONVENIENCE : 14%C. PRICE FACTOR : 11%

D.EASY AVAILABILTY : 8%Frequency on attributes in butter milkFrequencyPercent Valid percent

Valid A.FRESHNESS2016767

B.CONVENIENCE421414

C.PRICE FACTOR331111

D.EASY AVAILABILITY2488

27Pie chart on attributes

ANALYSIS : Out of 300 consumers , 67% of people look freshness as an attribute of AMUL BUTTER MILK, 14% of them look Convenience, 11% of them look price factor , and 8% of them look Easy availability as an attribute of AMUL BUTTER MILK.

28Q7. HOW MUCH BUTTER MILK DO YOU AND YOUR FAMILY CONSUME?0.5 LITRE : 85.0%

1 LITRE : 11.3%

2 LITRE : 3.7%Frequency on Quantity_ Consumption


Valid0.5L25585.085.085.0

1L3411.311.396.3

2L113.73.7100.0

Total300100.0100.0

Pie chart on quantity consumption

29ANALYSIS : Out of 300 consumers, 85% of them drink 0.5 litre Amul butter milk, 11.3% drink 1 litre, & 3.7% of them drink 2 litres of Amul butter milk. Q8. HOW OFTEN YOU CONSUME BUTTER MILK ?

A .DAILY: 59.3 %B.EVERY ALTERNATE DAY: 13.3 %

C .ONCE IN A WEEK: 8.0 %D.OCCASIONALLY: 19.3 %

Frequency On Consumption


ValidA17859.359.359.3

B4013.313.372.7

C248.08.080.7

D5819.319.3100.0

Total300100.0100.0

Pie chart on consumption

30ANALYSIS: Out of 300 consumers, 59.33% of them use to drink A. DAILY, 13.3 % of them drink B. EVERY ALTERNATE DAY, 8.0% drink C. ONCE IN A WEEK and 19.33 % of them drink D. OCCASIONALLY.Q9. WHEN DO YOU PREFER IT TO PURCHASE?A. MORNING : 88.3% B. AFTERNOON : 3.7 %C. EVENING : 7.0 %

D. NOT FIXED : 1%Frequency on purchase timeFrequencyPercentValid PercentCumulative Percent

ValidAfternoon113.73.73.7

Evening217.07.010.7

Morning26588.388.399.0

Not fixed31.01.0100.0

Total300100.0100.0

31Pie chart on purchase time

ANALYSIS : Out of 300 consumers, 88.3 % of them purchase in morning, 3.7 % of them purchase in afternoon, 7 % of them purchase in evening and 1% of them purchase of Amul butter milk is not fixed. Q10. WHAT IS THE POINT OF PURCHASE?A. HOME DELIVERY : 0.7 %

B. RETAIL OUTLET : 86.7 %

C. PARLOUR BOOTH : 12.7 %

32Frequency on point of purchase


ValidHome delivery2.7.7.7

Parlour booth3812.712.713.3

Retail outlet26086.786.7100.0

Total300100.0100.0

Pie chart on point of purchase

ANALYSIS : Out of 300 consumers, 86.67% of them purchase Amul butter milk from RETAIL OUTLET, 12.67% of them purchase from PARLOUR BOOTH, AND 0.7% of them purchase it from HOME DELIEVERY.

33Q11. IF YOU CONSUME AMUL BUTTER MILK , HOW DO YOU RATE IT ON FOLLOWING PARAMETERS? (GIVING IT POINTS FROM 1 TO 10 ) 1 BEING LOWEST AND 10 BEING HEIGHEST?

A. FRESHNESS : 8 is given by max. People, so 54.8% rating.Frequency on rating freshness


Valid431.01.01.0

572.32.33.3

6134.34.37.7

75418.018.125.8

816454.754.880.6

94113.713.794.3

10175.75.7100.0

Total29999.7100.0

MissingSystem1.3

Total300100.0

Pie chart on rating freshness

34ANALYSIS: Out of 300 consumers, 54.85 % of people giving 8 points to rate freshness as a parameter of Amul butter milk. i.e, 164 people.B. TASTE : 8 is given by max. People, so 54.3% rating.Frequency on rating taste


Valid31.3.3.3

42.7.71.0

572.32.33.3

6175.75.79.0

74414.714.723.7

816354.354.378.0

95117.017.095.0

10155.05.0100.0

Total300100.0100.0

Pie chart on rating taste

35ANALYSIS : Out of 300,54.3% of people give 8 points to rate taste as a parameter of Amul butter milk.(163)

C. QUALITY : 8 is given by max . people, so 46.3% rating.

Frequency on rating quality


Valid42.7.7.7

572.32.33.0

6258.38.311.3

75016.716.728.0

813946.346.374.3

96020.020.094.3

10175.75.7100.0

Total300100.0100.0

Pie chart on rating quality

ANALYSIS : Out of 300, 46.33 % of people , rate quality as a parameter of amul butter milk(139 people). 36D. PRICE : 8 is given by max people, so 27% rating.Frequency on rating price


Valid32.7.7.7

462.02.02.7

5237.77.710.3

66421.321.331.7

77224.024.055.7

88127.027.082.7

94715.715.798.3

1051.71.7100.0

Total300100.0100.0

Pie chart on rating price

ANALYSIS : Out of 300, 27% of people, rate price as a parameter of Amul butter milk (81 people).

37Q12. DO YOU ALWAYS GET AMUL BUTTER MILK AS AND WHEN REQUIRED FROM NEIGHBOURING SHOP?A. YES : 98.7 %B. NO : 1.3 %

Frequency on availability in shop


ValidNO41.31.31.3

YES29698.798.7100.0

Total300100.0100.0

Pie chart on Availability_Shop

ANALYSIS : Out of 300 consumers, 98.7% of them tell that it is available in shops, and 1.3% tell not available.38Q13. ARE YOU WILLING TO PURCHASE IT?

A. YES : 99.7 % B. NO : 0.3 %Frequency of wilingness before priceFrequencyPercentValid PercentCumulative Percent

ValidNO1.3.3.3

YES29999.799.7100.0

Total300100.0100.0

Pie chart on Willingness_Before_Price

ANALYSIS : Out of 300 consumers , 99.7 % of them are willing to purchase Amul butter milk means 100 % of them are willing to purchase.39Q14. IF YES, PRICE OF AMUL BUTTER MILK IS RS.7 FOR HALF LITRE , ARE YOU WILLING TO PURCHASE IT?A. YES : 96.3 %B. NO : 3.7 %Frequency on willingness after price


ValidNO113.73.73.7

YES28996.396.3100.0

Total300100.0100.0

Pie chart on willingness after price

ANALYSIS: Out of 300, 96.3% of people are willing to purchase it, and 3.7 of them are not willing to purchase it.40Q15. WHAT IS THE MOST APPROPRIATE SOURCE OF AD IN YOUR OPINION ?

A. NEWSPAPER : 39% B. MAGZINES : 7.3%C. TELEVISION : 19.7%D. HOARDINGS : 13%

E. OTHERS : 21%Frequency on adsFrequencyPercentValid PercentCumulative Percent

ValidHoardings3913.013.013.0

Magazines227.37.320.3

Newspaper11739.039.059.3

Other6321.021.080.3

Television

5919.719.7100.0

Total300100.0100.0

41Pie chart on ads

ANALYSIS : Out of 300 consumers, 39% of them are using newspapers as source of advertisements for knowing about Amul butter milk,21% of them are using other source,19.67% of them are using TV, 13% of them are using hoardings and 7.33% of them are using magazines.42RETAILERS PERCEPTION TOWARDS AMUL BUTTER MILK This section includes following things :-

The extra demand work, that we have done with distributers of AMUL means increase of demand of Amul butter milk in different areas of Lucknow market.

Retailer's Survey Sample:-

150 Retailers

Area of Survey in Lucknow city :-Indira Nagar, Nishatganj, Rajajipuram, Chowk, Gomti Nagar, Charbagh, Aminabad.

43List of distributors NAME OF ADA

MOBILE NO.

Area

ADITYA ENTERPRISES,9889782429 /9125232581Rahim Nagar, Khurram Nagar

AGARWAL BANDHU,9956124248 / 8127954801Rajajipuram

AHEAD TRADERS,9236888863Aashiyana

AKASH ENTERPRISES,9415576693Rajajipuram, Saadatganj

ANAND ENTERPRISES,9453602600Indira Nagar

ANJANISUT Dist,9415545283Point ADA

ASHIRWAD Ent,9335388466 /9839211542Vikas nagar

BALRAJ ENTERPRISES,9936298607/9305620222Geetapalli, Sujanpura, Adarshnagar

DISHA DISTRIBUTORS,9335221247 /9453439757Jankipuram

FAROOQ ENTERPRISES,9335712006/9919364711 / 9580002272Daliganj

GVS ENTERPRISES,9696904337/9839744359/ 9044276824LDA

HARI OM TRADERS,9648507619 /9235140120Chinhat

J.P. AGENCY,9453379595Aliganj

KRISHNA ENTERPRISES,9336651841/9455135356 /9389372096Chowk

M.NAIM ENTERPRISES,9450367196RDSO,Para

MAHAVEER ENTERPRISES,9451408806Aliganj

NARAYAN AGENCIES,9415522303Gomtinagar

NEW WEL COME,9936750939Telibagh

OM ENTERPRISES,9305271943/ 9305271447Gomtinagar

PANKAJ AGENCY,9307994243 /9336447735Alambagh

R.B. DISTRIBUTER,9415003280/ 9839188092LDA

RADHEY AGENCY,9935305678Aliganj

RAJAN DAIRY,9335712006/9919364711/ 9580002272Aminabad, LKO City

RAMLAKHAN ENTERPRISES,9305271943/ 9305271447Gomtinagar

SEEMA ENTERPRISES,9305658291 /9415021853Aliganj

SHRIBALAJI MARKETING,9305949206/ 9453237964Indira Nagar

SILKI NAMKEEN,9935849110/9198777775 /9336919177Jankipuram Ext

SINGH MILK POINT,9044844913Alambagh

SIRAJULHAQ ENTERPRISES,9935489263 /9335043599Charbagh

SRI SAI MARKETING,9415023591 /9335249946Hazratganj

VIJAY ENTERPRISES,9450847908/ 9450360456 Point ADA

VISHNU TRADERS,9305150968 / 9235101812Nishatganj

44

List of some of the retailers of Amul

1 . Lav kush general store Indira Nagar

2. Balaji general store Indira Nagar

3. Neha provision store Indira Nagar

4. Lucky general store Indira Nagar

5. Jitendra milk booth Indira Nagar

6. Sri narayan store Indira Nagar

7. Laado bakers Indira Nagar

8. Ashish general store Indira Nagar

9. Gurunanak bakers Indira Nagar

10. Darvesh general store Indira Nagar

11. Ranjeet general store Nishatganj

12. Munna general store Nishatganj

13. Sarvan general store Nishatganj

14. Rama counter Nishatganj

15. Ateek general store Nishatganj

16. Meena general store Nishatganj

17. Big bakers Nishatganj

18. Sarin general store Nishatganj

19. Verma general store Nishatganj

20. Riyaz general store Nishatganj

21. K.K.provision store Rajajipuram

22. Chanchal general store Rajajipuram

23. Prem general store Rajajipuram

24. Pintu general store 45 Rajajipuram

25. Lamba general store Rajajipuram

26. Raj general store Rajajipuram

27. Srimadhur general store Rajajipuram

28. Bake n con Rajajipuram 29.Anandi genereral store Rajajipuram

30.Kripa bakeri Rajajipuram

31.Sahuji Chowk

32.Family traders Chowk

33.Sonu general store Chowk

34.Anand APO Chowk

35.Uzair general store Chowk

36.Rajeev Gupta Chowk

37.Shagun Chowk

38.Pankaj general store Chowk

39.Shiv general store Chowk

40.Titu general store Chowk

41.Vishal Gomtinagar

42.Vinayak Gomtinagar

43.Mohanji general store Gomtinagar

44.Amar store Gomtinagar

45.Goyal general store Gomtinagar

46.Shikhar general store Gomtinagar

47.Shayam general store Gomtinagar

48.Ram Lakhan Gomtinagar

49.Disha dairy Gomtinagar

50.Dhoodhvala parlour 46 Gomtinagar

Daily Overall demand of AMUL butter milk in Lucknow market:Around 25 thousand litres.Daily Area wise demand of Amul butter milk:

Indira Nagar : 40 crates

Nishatganj : 7 crates

Rajajipuram : 18 cratesChowk : 10 crates

Gomtinagar : 35 crates

Charbagh : 10 cratesExtra demand increased by us in above areas :

Indira Nagar: 40 + 5 crates = 45Nishatganj : 7 + 2.5 crates = 9.5Rajajipuram : 18 + 3 crates = 21Chowk : 10 + 2 crates = 12Gomtinagar : 35 + 3 crates = 38Charbagh : 10 + 2 crates = 12 47RESEARCH METHODOLOGY This section include following things :

1. Research Objectives

2. Research Design

3. Research Duration

4. Sampling Design

5. Size of Sample

6. Data Collection Method

7. Data Analysis Method

8. Area of Survey

9. Sample Unit

10. Research technique

48 Research Objectives1. To estimate the market potential ,demand & perception towards Amul Butter Milk.

2. To find out the frequency of consumption of Amul Butter Milk.

3. To know the awareness & problem among the retailers for the Amul Butter Milk.

4. To do market analysis in order to study the usage pattern and buying behavior of Amul Butter Milk.

5. To know the awareness level of the consumers for the Amul Butter Milk.

Research DesignExploratory Research Design Research DurationApproximately 8 weeksSampling DesignConvenience Basis49Size of Sample150 Retailers 300 Consumers

Data colletion methodPrimary data(Direct Interview through Questionnaire)Data analysis methodGraphical method

(Frequency table and pie chart)Area of surveyLucknow citySampling unitRetail shops and consumersResearch techniques

Alpha smoothing50MARKET POTENTIAL OF AMUL BUTTER MILKThis section include following things:- Family size consumption.

Area wise consumption.

Socio-economic class consumption.

Total population consumption (including Per capita consumption).

1.Family size consumption :Frequency tableFrequencyPercentValid PercentCumulative Percent

Valid2227.37.37.3

3268.78.716.0

48428.028.044.0

59030.030.074.0

63712.312.386.3

7103.33.389.7

8144.74.794.3

91.3.394.7

1031.01.095.7

112.7.796.3

1251.71.798.0

131.3.398.3

151.3.398.7

161.3.399.0

181.3.399.3

202.7.7100.0

Total300100.0100.0

51ANALYSIS : Families having 4-5 members are maximum Amul butter milk consumers. Their consumption is around 28-30%.2.Area wise consumption :Frequency tableFrequencyPercentValid PercentCumulative Percent

ValidAminabad103.33.33.3

Charbagh3010.010.013.3

Chowk206.76.720.0

Daliganj5518.318.338.3

Gomti Nagar206.76.745.0

Indira Nagar4715.715.760.7

Jankipuram8127.027.087.7

Rajajipuram144.74.792.3

Rakabganj103.33.395.7

Sanjay gandhi puram134.34.3100.0

Total300100.0100.0

Pie chart on area wise consumption

52ANALYSIS : Jankipuram people are good consumers of Amul butter milk about 27%,People of Indira Nagar and Daliganj are also good consumers of butter milk. 3.Socio-economic class consumption :Frequency tableFrequencyPercentValid PercentCumulative Percent

ValidUPPER MIDDLE12642.042.042.0

MIDDLE15953.053.095.0

POOR155.05.0100.0

Total300100.0100.0

Pie chart on SEC

ANALYSIS : Most of the consumers of AMUL butter milk belongs to middle class (53%). Rest of them belongs to upper middle class (42%).None of them belong to A class i.e rich. 5% of them belongs to poor class, i.e D class.

534.Total population consumption:Total population of Lucknow city : 28,00000. Out of them 53% of people belongs to C class. 42% of them belongs to B class and 5% of them belongs to D class.

Per Capita consumption :Taking the data of 300 consumers of our survey,

Total family members =1535Total quantity consumption = 178 litres

So, total Per Capita consumption = 0.115961 litres

Total population consumption = 28,00000 * 0.115961 = 3, 24,690.8 litres.So , Total population consumption of butter milk in Lucknow is around 3,24, 690.8 litres.

54LEARNINGMy Summer Internship Programme (SIP) proved to be a very fruitful lesson for me. I learnt a lot during my Summer Training at AMUL INDIA. By doing it, i got an opportunity to apply the theroretical concepts of Management to real life of Corporate World. The demand analysis and market estimation of Amul butter milk has been very helpful in enhancing my analytical skills. Since my SIP is even related to face to face conversation with consumers, so it has definitely increased my confidence level, convincing power and quarry handling .

To learn about the working of GCMMF.

Able to know how a commodity market works.

Learn how to deal with consumers and retailers.

Learn the demand process .

Learn how to make profit at very low margin product.

Learn the mindset up of consumers & retailers.

Learn the consumer behaviour.

55SUGGESTIONSOn the basis of the findings of my study, I want to give following recommendations to the organisation:-

There should be increase in the market of AMUL butter milk.

Good and timely distribution of butter milk.

Price is high, try to decrease it.

Should improve the quality and try to launch spicy nature of butter milk.

Commission rate of retailers should increase.

Should advertise more of this product.

Good stock of AMUL butter milk in APOs.

Regular inspection of it, so to prevent it from sourness.

Should check on regular basis that there should be no problems among retailers with distributors.

Evening supply should improve.

Try to give more schemes to distributors in order to increase sale .

Improve distribution line and channel of distribution of butter milk.

56CONCLUSIONS From the survey it was found that most families upto 5 members, usually drink Amul butter milk (30%).

The price of the product is high as compare to its competitor PARAG.

Spicy nature butter milk along with plain should be there in market.

Generally people buy the product because of better quality and brand name.

100 % people are aware about this product in Lucknow city.

Advertisement should be given to increase the level of awareness and sale of the product.

From the consumers view, people buy this product more,if quality,taste, availability and supply will improve.

From the retailers view, their commission if increase, they will try to increase its sale.

57 The ratio of male : female of butter milk consumption is more, i.e 82.7% : 17.3%.

During the survey it was found , most of the people who consume Amul butter mik belongs to middle class, i.e 53%.

During the survey it was also found that Jankipuram people used to consume more butter milk than any other area people, i.e 27%.

Lastly the SIP requires high patience level and sustained effort.

58APPENDIXConsumer Response On Amul Butter MilkThis section includes Consumer response on Amul Butter Milk. It includes following things :

Questionnaire based on Consumer response.

Sample of questionnaire

Name: ................................................. Date:..................

FamilySize: .................... Area: .................................................

Telephone: ............................ Socio Economic Class: .......................................Sex: Female.............. Male...............

Consumer response:-Q1. DO YOU CONSUME BUTTER MILK?

A. YES............. B. NO.........................

Q2. WHAT TYPE OF BUTTER MILK DO YOU USE?

A. HOME MADE.......... B. AVAILABLE IN MARKET........

C.POUCH BUTTER MILK..........

Q3. HAVE YOU HEARD ABOUT AMUL BUTTER MILK IN POUCH?

A. YES..................... . B. NO...................

Q4. HAVE YOU TRIED IT?

A. YES ........................ B.NO..............................

59Q5. IN WHAT FORM DO YOU USE AMUL BUTTER MILK?

A. USE TO MAKE RECEPIES....................................... B. DIRECTLY CONSUME.................

Q6. WHAT ARE THE ATTRIBUTES DO YOU LOOK IN BUTTER MILK?

A. FRESHNESS.......... B. CONVENIENCE................... C. PRICE FACTOR.................. D. EASY AVAILABILTY......................................

E. OTHERS...........................................

Q7. HOW MUCH BUTTER MILK DO YOU AND YOUR FAMILY CONSUME?

A.0.5LITRE........ B.1LITRE........... C.1.5LITRE........................... D. OTHERS................

Q8. HOW OFTEN YOU CONSUME BUTTRE MILK ?

A. DAILY.............. B. EVERY ALTERNATE DAY.................. C. ONCE IN A WEEK...................D. OCCASIONALLY..........................................

Q9. WHEN DO YOU PREFER IT TO PURCHASE?

A. MORNING........................ B. AFTERNOON.........................

C. EVENING...............................D. NOT FIXED..............................

Q10. WHAT IS THE POINT OF PURCHASE?

A. HOME DELIVERY.................. B. RETAIL OUTLET..................

C. PARLOUR BOOTH...........D.OTHERS................................

Q11. IF YOU CONSUME AMUL BUTTER MILK HOW DO YOU RATE IT ON FOLLOWING PARAMETERS(GIVING IT POINTS FROM 1 TO 10 ) 1 BEING LOWEST AND 10 BEING HEIGHEST?

A. FRESHNESS.................... B. TASTE...................... C. QUALITY................... D. PRICE............

60Q12. DO YOU ALWAYS GET AMUL BUTTER MILK AS AND WHEN REQUIRED FROM NEIGHBOURING SHOP?

A.YES............... B. NO..................

Q13. ARE YOU WILLING TO PURCHASE IT?

A. YES................. B. NO..................

Q14. IF YES, PRICE OF AMUL BUTTER MILK IS RS.7 FOR HALF LITRE ,ARE YOU WILLING TO PURCHASE IT?

A. YES.................. B. NO.................

Q15. WHAT IS THE MOST APPROPRIATE SOURCE OF AD IN YOUR OPINION ?

A. NEWSPAPER.................... B. MAGZINES.......................... C. TELEVISION................ D. HOARDINGS........................

E. OTHERS........................

THANK YOU FOR YOUR RESPONSE61RECIPIES: Masala Chaas (Spiced Butter Milk)

Ingredients:- 4cups Amul Chaas;1/2tsp salt -or adjust to your taste a bunch of cilantro (dhania)-chopped; 8-10 fresh mint leaves;1/2tsp cumin seeds 2 green chillies -chopped;1/2tsp mango powder (aamchur)-optional.

Method of preparation:- Add the chopped cilantro , mint leaves ,cumin , green chillies and Amchur powder to a blendet . Add 1/2cup water and blend to form a smooth paste. Now add salt to Amul Chaas and mix thoroughly. Garnish with some mint leaves , and serve.

Preparation Time: 10 min

Serves: 2 big glass

Buttermilk RasamIngredients:- 2 cups butter milk ;1onion ;3 green chillies; curry leaves; 1/2 tsp fenugreek seeds;1 tsp mustard seeds;1tspcumin seeds;1 tsp fennel seeds;1/2 tsp turmeric powder ; salt to taste;1tbsp oil.

Method of preparation:- Cut onion into 4 divisions . Heat oil in pan and add fenugreek seeds ,mustard seeds, cumin seeds , fennel seeds until they splutter . Add this to butter milk along with finely chopped green chillies, onions, curry leaves, turmeric powder, salt. Good for digestion.


Serves: 3 Persons62 Minty Chaas

Ingredients:- 2 cups amul chaas;Adrak-cut into small pieces;1/4 cup mint;lemon -1/4piece; sugar-1/2 cup

For Serving:

Chaat masal-1tbsp ;mango pieces-2tbspgrated

Method of preparation:- Boil mint ,adrak,sugar in water. Strain the mint and let the juice cool. Good for health due to adrak and mint.


Serves: 1 big glass

Lemony Chhas

Ingredients:- 2 cups Amul Chhas;2tbsp lemon juice; salt to taste;cumin powder, a big pinch.

Method of preparation:- Take chilled chhas into glass . Squeeze a big of lemon and mix in salt . Sprinkle cumin powder before serving .note: Roast cumin seeds before turning them into powder.


Serves: 1 big glass

63BIBLIOGRAPHY

1. Research Methodology by C.R. Kothari

2. www.amul.com3. www.indiadairy.com4. www.indiamart.com5. www.wikipedia.org6. www.socialreserchmethods.net7. www.spss.com

64 EXECUTIVES

(450)

Total Employees => 750 (100%).

Executives => 450 (60%)

Field Sales Representatives => 150 (20%)

Staff => 150 (20%).

Selection through advertisement gh

MD

Branch Officers

(47)

To cover the maximum area they are strategically placed, 2 in all states and Corporate Office is in Anand, Gujarat

Zonal Officers

(6)

Delhi, Mumbai, Chennai, Calcutta, Guwahati and Ahmedabad

CHAIRPERSON

Board of Directors

(Also includes nominees and invitees)

De facto members from the member Unions and the invitees (e.g. NDDB Chairperson)

Corporate Office GCMMF

HR

Information Systems

Quality

Assurance

Marketing

Accounts

Internal Audit

Commodities

Logistics

Advertising

Product Management

Commercial Function

Purchase

GCMMF

RETAIL LINE

NEW LINE

FRESH MILK

MAIN LINE

ICE CREAM

Concentration is on selling the products through Retailing

Introduction of new products in the market.

E.g. Sugar Free Chocolates.

Liquid Milk Market of AMUL, also the tetra packs of AMUL Fresh.

Butter, Ghee, Cheese, AMUL Shakti etc.

Tapping the potential of Indian Ice-cream market.

35% share is of AMUL

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Jankipuram27

Rajajipuram4.7

Rakabganj3.3

Sanjay gandhi puram4.3


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