GOALYMPICS: THE AMUL CASE

By:Anchal Bhatia (32)Tanvi Thareja (37)Daphne Joan Pierce (41)Swati Kansal (53)

BACKGROUND

MARKETING MIX

Marketing mix is a combination of four elements used to satisfy the needs of an organization target market and at the same time achieve its marketing objective.

1. Product2. Pricing structure3. Distribution system4. Promotional activities

IMPORTANCE OF MARKETING MIX

Marketing mix serves as the link between the business firm and its customers.

Marketing mix gives consideration to the various elements of marketing system.

PRICE: Amul Pricing Strategies

At the time Amul was formed, consumers had limited purchasing power, and thus Amul adopted a low-cost price strategy to make its products affordable and attractive to consumers.

Despite competition in the high value dairy product segments from firms such as Hindustan Lever, Nestle and Britannia, it ensures that the product mix and the sequence in which Amul introduces its products is consistent with the core philosophy of providing butter at a basic, affordable price to appeal the common masses.

PROMOTION

It is a process of communication involving information, persuasion, and influence.

It includes personal or impersonal communication.

Its purpose is to inform, persuade and influence the prospective customers.

PROMOTION MIX

It is used to refer to the communication of different kinds of promotional tools used by a firm to advertise and sell its products

The main promotional tools which make up promotion-mix are

Personal sellingAdvertisingPublic relationsDirect mail and tele-marketingSales promotion

PROMOTION: Initial Promotional Strategy at Amul

The butter, which had been launched in 1945, had a staid, boring image, primarily because the earlier advertising agency which was in charge of the account preferred to stick to routine, corporate ads.

They didn’t help in creating a brand image of AMUL butter which was their then motive.

However, in 1966, Sylvester daCunha took over the Amul account.

The Amul moppet, the little girl who created a home in the hearts and minds of millions and millions of Indians.

From the political scene, to entertainment, from local news to international, from sports to stars, she has a line for everything.

Often she is said to be playing the role of a “social observer with evocative humor”.

MARKETING STRATEGIES

4 MAIN STRATEGIESFirst is quality

Second, value for money

Third, availability

Fourth, service

LEVERAGING COMPANY IMAGE THROUGH SPONSORSHIP

Sponsorship provides a great means of broadening competitive edge by improving the company's image, prestige and credibility through supporting events attractive to target markets.

It can help pave the way before a company starts selling in a new territory .

Besides enhancing visibility and image, other things such as differentiating the company from competitors, helping to develop closer and better relationships with customers, both existing and potential ones, showcasing services and products is also a benefit.

Beneficial for companies that take part in or are planning for international trade, because sponsorship transcends cultural and language barriers.

Events allow business owners or executives to relate directly with their customers.

In comparison, MR methods are usually costly and may not focus on the right kind of people and usually do not allow prospective customers the opportunity to try out products.

Heightened visibility due to positive publicity through the media is another reason corporate sponsorship of events - especially those that attract large numbers of people like popular sports events - can be the most effective marketing tool.

AMUL ENGAGES THE YOUTH

WITH LONDON 2012

THE CASE

Amul, Asia’s largest milk brand has recently been seen sponsoring various International sports events.

Amul has its continuing focus on the youth segment.

GCMMF signed a memorandum of understanding with IOA to sponsor the Indian contingent and thus Amul became its official sponsor.

Amul wants to strengthen the Olympic movement in India and thus launched a series of advertisements to promote this .

There had been campaigns for cheese, butter, ghee, milk, and paneer.

Other than this a special packaging was introduced for the same.

Mr. Sodhi, their MD, explained the reason behind this as that milk is nature’s original energy drink.

It plays a very significant role in building the physical as well as mental strength of the players.

Sodhi also says it will make them enjoy a hale and hearty life and strive towards reaching their endeavours.

Sodhi also says it will make them enjoy a hale and hearty life and strive towards reaching their endeavours.

Amul decided onto for sponsorship during Olympics because Olympics games are today regarded as the world’s foremost sports competition wherein around 200 and more countries participate.

Also the government now focuses on Olympic players in India by providing them proper training and development as well as recognition.

REASONS

Q1. AMUL CHOSE TO ASSOCIATE WITH GLOBAL SPORTING EVENTS

Amul has chosen to associate with international sports events to help the players and also help itself as a brand.

It will allow it to push its multiple products that have been positioned for the purpose of building stamina and strength and also enable it to encourage aspirants to go out and deliver their best performance at the various events.

This will improve awareness and possibly, even sales of products.

It is a good and positive way to connect to the youth.

Such associations will help the brand as India is a young nation with over 60 per cent of the population being below the age of 35 years and sports is a high interest area for them.

It is a good fit- Amul’s dairy products stand for high energy and complete nourishment and the sports events stand for values like strength, determination, vigor and winning which every person aspires to, and wishes to imbibe and practice in his daily life.

Also this is a great platform for Amul Milk to assert the positioning of ‘World’s original energy drink’.

DOES IT INCLUDE ANY OF THE FIVE PRIMARY TOOLS OF

THE MARKETING COMMUNICATION MIX?

Q2. VARIOUS WAYS IN WHICH AMUL HIGHLIGHTED ITS SPONSORSHIP OF

THE INDIAN CONTINGENT

In order to popularize product within the country and internationally, it promoted association by:

1) Launching advertising campaign for butter, cheese, paneer and ghee to promote association.

2) Special product packaging.

3) Integrating sports with milk and milk products which is considered as ‘the world’s original energizer’.

4) Executed the ‘energise the Olympians’ Facebook application to encourage brand interactivity on social media.

5) Premiered the Amul milk Olympics commercial on Facebook.

6) Integrating sports with milk and milk products which is considered as ‘The World’s Original Energizer’.

Yes it is linked with product promotion of marketing communication mix as it used investment in London Olympics as a promotional tool to increase goodwill.

Promotion is communication from sellers to buyers in the market as it tries to instil into consumer’s minds, images (through advertising, personal selling, sales promotion and publicity) that make them buy the product. Amul uses the investment promotion policy i.e. investing in London Olympics 2012 in order to make image of its products in the mind of a consumer.

HOW?

Q3. AMUL FOLLOWED UP ON INDIA’S PERFORMANCE AT THE LONDON OLYMPICS AND USED THIS FOR

FURTHER PROMOTIONS.

Participation in Olympics is the aspiration of every athlete and with the kind of investments made by the country in the arena to select, nurture and train the best athletes and the sponsorship from Amul enhanced the Indian contingent’s performance in the London Olympics.

Milk is nature’s original energy drink and plays a pivotal role in building the physical and mental strength of athletes.

Amul executed the 'Energise the Olympians' Facebook application to encourage brand interactivity on social media and in the process also boost the Indian spirit and support for the Indian athletes in London.

Energise the Olympians strengthens Amul's commitment and association with the Olympics, encouraging youngsters to support their favourite athlete. An innovative way to strengthen the energy platform owned by the brand by bringing in various athletes representing various sports.

Amul showcased its product as necessary for the health of an individual which is helpful in brand building.

It used advertising and packaging promotional tools in order to make public aware of its investment in London Olympics .

This provided a positive impact on its image.

THANK YOU