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A

Report on
Communication strategy of
Amul – the taste of india

SUBMITTED TO:
PROF. PRAVEEN PATIL

(Marketing mgnt. IBS Pune)

SUBMITTED BY:
ABHINAV JAIN
ASHINI MODY
ANKUR MAHAJAN
HAPPY LAMBA
RICHA MISHRA
Video of Verghese Kurien(foundMer,chairman) Interview final amul\kurian interview
.mpg

INDEX
• INTRODUCTION
• WHY WE HAVE SELECTED AMUL?
• WHAT IS AMUL ALL ABOUT?
AMUL’S JOURNEY TOWARDS EXCEL
AMUL PRODUCTS
• ADVERTISEMENT STRATEGY OF AMUL
MEDIA PLATFORMS USED
• CRITICAL ANALYSIS
• COMMUNICATION MIX USED ACROSS
• CONCLUSION
• BIBLIOGRAPHY
INTRODUCTION

Advertising plays a very pre dominant role for any Marketer. Goods no matter of how
good quality, they may be are of no use if they are not brought to the notice of the
consumer. Advertising can be classified on the basis of target audience towards whom
the advertising is directed .there could be different set of target audience. These are:

• Consumer(households)
• Industries
• Traders
• Professionals
• Institutions

In our project we would be solely concentrating on the household sector , this sector
dominates any other sector in terms of its goods and services. The complexity of human
behavior is one major factor which makes a job of Marketer tough.
The success of any advertising campaign depends on its effectiveness that is how
effective it is in stimulating consumer to buy the product or at least give a thought to the
product .there are various type of advertising media which can be used . But the choice
of media is a very critical decision as a selection of wrong advertising media can lead to
colossal resources and it can even have an impact on goodwill of a company. The
media has to be selected taking into consideration the target audience and as a
manager we also to take into consideration the Advertising Budget.
In this project which has been assigned to us by Praveen Patil we have taken a
company named Amul and then we have made an analysis of its advertising and sales
promotion techniques, the communication mix employed by the company for its various
product categories and how effective these strategies have been in positioning Amul as
not only Amul but as Amul – The Taste of India .
The project has offered us enormous scope to enhance our practical understanding of
the purpose and significance of advertising and sales promotion as an effective tool of
communication mix.
Why we have selected Amul – The Taste of India?
We wanted to take something different. All other companies are primarily companies
whose object right from its inception has been profit maximization. We are not saying
that is not out there to make profits but the point we are trying to highlight is that Amul
started as a cooperative which took on the responsibility of rural development through
providing source of income to millions of farmers. It is one such company which has
strongly infused the message of corporate social responsibility right through it started
functioning. It had spurred the white revolution in the whole country. It has done so
much pride to India by making it one of the world’s leading producer of milk. Many
companies reach zenith but there are very few of them who adopt a social responsibility
in their functioning. Amul is indeed different from all the other companies because it
started its operations at the grass root level that is farmers. There cannot be a more
noble cause than this for a company to adopt .Taking this into consideration we decided
that we will take Amul as our subject of study.
We would like to thank Prof. Praveen Patil who has given us this golden
opportunity of penning down our thoughts and views.
What is Amul all about?
BUSINESS needs ideas, not merely money. Ventures run on just money, but starved of
ideas, would eventually fall prey to competition and perish. And, if ideas are available in
abundance, business can overcome other handicaps, including its relative weaker
money power, compared to that of its rivals. The success story of the Gujrat Co-
operative Milk Marketing Federation (GCMMF) proves this point.

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.

• The Amul Pattern has established itself as a uniquely appropriate model for
rural development. Amul has spurred the White Revolution of India, which has
made India the largest producer of milk and milk products in the world. It is also
the world's biggest vegetarian cheese brand.

• Amul’s is India’s largest diary producing company with over half the market
leading other national companies such as Mother Diary and multinational food
product companies such as Nestle India and Hindustan Lever Ltd.

• Amul demonstrates how careful and consistent product stewardship combined


with a deep and intimate understanding of the market leads to consistent growth
and success. The company can process nearly 10 million litres of milk each day.

• The company started as the Gujarat Cooperative Milk Federation in


1946,collecting just 250 litres of milk a day. The company was formed to give
farmers their due and protect them from unscrupulous middlemen. Since then the
company has come a long way . but one thing is still the same . that time also it
was by and for the farmers and today also it’s the same .

• In the mid 1950’s Amul looked for ways to utilize the surplus milk by
manufacturing Butter, Milk,Cheese and other milk derived products.

• It is integrated into the fabric of Indian society ,from its roots in representing small
farmers and struggler or the poor and impoverished in difficult circumstances.
• The brand name Amul, sourced from the Sanskrit word Amoolya, means
priceless. It was suggested by a quality control expert in Anand. Some cite the
origin as an acronym to (Anand Milk Union Limited)

• Amul, a brand owned by the 26 lakh milk producers of Gujarat has once again
demonstrated that when farmers are given the instruments of development in their
hands, they can work wonders. The billion dollar Gujarat Co-operative Milk Marketing
Federation, the apex body of 13 district milk producers’ unions has been instrumental
in making Amul a brand to reckon with.

• GCMMF Today
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. GCMMF markets and
manages the Amul brand. From mid-1990's Amul has entered areas not related
directly to its core business

• The AMUL experience has attracted considerable interest from the development
community – predominantly anthropologists, development & agriculture
economists, and political scientists. Key areas of their enquiry have been the role
of AMUL in reducing social and economic inequality

AMUL’s Journey towards Excellence

AMUL’s journey towards excellence is marked by some critical understanding of the


business environment in large emerging economies like India where markets have to be
developed by combining efficiency related initiatives with increasing the base of
marginal suppliers and consumers. The essence of AMUL’s efforts was as follows:

• It combined market and social development in an emerging economy. It recognized


the inter-linkages between various environments that governed the lives of marginal
milk farmers and the unmet needs of consumers.
It also changed the supply chain paradigm in order to reduce the cost to the consumer
while increasing the return to the supplier.
• It realized that in order to achieve their objectives, it had to benefit a large number of
people – both suppliers and consumers. While large scale had the danger of failure
due to poor control and required more resources, it also had the advantage of
creating a momentum that would be necessary to bring more people into the fold
and thereby help more suppliers and consumers.

• It also realized that its goal could only be achieved in the long run and this required
developing values in people and processes that were robust, replicable and
transparent.

• It also realized that the cooperative would not be independent and viable in the face of
competition if it were not financially sound. This implied that AMUL had to develop
distinct capabilities that would deliver competitive advantage to its operations.

Thus this is a brief overview of Amul – The taste of India .


Amul’s Products

Bread Spreads
Amul Butter Amul Lite
Utterly Butterly Delicious Low fat, low Cholesterol Bread
Spread

Delicious Table Margarine


The Delicious way to eat
healthy

Milk Drinks
Amul Kool Millk Shaake Amul Kool

Amul Kool Cafe Kool Koko


A delight to Chocolate
Lovers. Delicious Chocolate
taste
Nutramul Energy Drink Amul Kool Chocolate Milk
A drink for Kids - provides
energy to suit the needs of
growing Kids

Amul Kool Flavoured Amul Kool Flavoured Tetra


Bottled Milk Pack

Amul Masti Spiced Amul Kool Thandai


Buttermilk
Amul introduces the Best
Thirst Quenching Drink

Powder Milk
Amul Spray Infant Milk Food Amul Instant Full Cream Milk
Still, Mother's Milk is Best for Powder
your baby A dairy in your home
Sagar Skimmed Milk Powder Sagar Tea Coffee Whitener
Which is especially useful for
diet preparations or for use by
people on low calorie and high
protein diet.

Amulya Dairy Whitener


The Richest, Purest Dairy
Whitener

Fresh Milk
Amul Fresh Milk Amul Gold Milk
This is the most hygienic milk
available in the market.
Pasteurised in state-of-the-art
processing plants and pouch-
packed for convenience.

Amul Taaza Double Toned Amul Lite Slim and Trim Milk
Milk
Amul Fresh Cream Amul Shakti Toned Milk

Amul Calci+

Cheese
Amul Pasteurised Processed Amul Cheese Spreads
Cheese Tasty Cheese Spreads in 3
100% Vegetarian Cheese made great flavours..
from microbial rennet

Amul Emmental Cheese Amul Pizza Mozzarella


The Great Swiss Cheese from Cheese
Amul, has a sweet-dry flavour Pizza cheese...makes great
and hazelnut aroma tasting pizzas!

Gouda Cheese
For Cooking
Amul / Sagar Pure Ghee Cooking Butter
Made from fresh cream. Has
typical rich aroma and
granular texture. An ethnic
product made by dairies with
decades of experience.

Amul Malai Paneer Utterly Delicious Pizza


Ready to cook paneer to
make your favourite recipes!

Mithai Mate Masti Dahi


Sweetened Condensed Milk
- Free flowing and smooth
texture. White to creamy
color with a pleasant taste.

Desserts
Amul Ice Creams Amul Shrikhand
Premium Ice Cream made in A delicious treat, anytime.
various varieties and
flavours with dry fruits and
nuts.
Amul Mithaee Gulab Amul Chocolates
Jamuns The perfect gift for someone
Pure Khoya Gulab you love.
Jamums...best served piping
hot.

Amul Lassee Amul Basundi

Health Drink
Nutramul Amul Shakti Health Food
Malted Milk Food made Drink
from malt extract has the Available in Kesar-Almond
highest protein content and Chocolate flavours.
among all the brown
beverage powders sold in
India.

Key information related to Amul’s Products :

Butter
Launched in 1955, butter was one of the first milk products offered by Amul. It was also
the first time Amul successfully challenged the hegemony of an established brand.
Amul's earliest competitor, Polson had been the monopoly milk supplier to the Bombay
Milk Scheme. Amul displaced Polson to emerge as the undisputed leader in the butter
market...
Cheese
GCMMF launched processed cheese in 1959 followed by cheese powder in the early
1970s. In the 1980s the popularity of cheese increased
Ghee, Skimmed milk powder and Baby food
Amul launched ghee (clarified butter) and skimmed milk powder in 1955. Amul Ghee
was an instant success...

Milk and UHT Milk


Amul was the market leader in the Gujarat whole milk market with a 90% market share
in 2002. Apart from supplying milk to parts of Maharashtra and Rajasthan, GCMMF also
sold milk to the NDDB owned Mother Dairy in Delhi...

As we can see from the products shown above there is :

• There is product consistency in the product line of Amul as all its products are
milk based .
• Amul deals only in consumer goods and not in industrial goods or any other
sector.
• In 2001, GCMMF entered the fast food market in India with the launch of
vegetable pizzas under the brand name SnowCap in Ahmedabad, Gujarat.
GCMMF was also planning to launch its pizzas in other western Indian cities like
Mumbai, Surat, and Baroda. Depending on the response in these cities, GCMMF
would decide to introduce its pizzas in other cities in India.Amul also decided to
bring into market low cost pizzas, The pizzas were offered in four flavours: plain
tomato-onion-capsicum, fruit pizza (pineapple-topped), mushroom and ‘Jain
pizzas'(pizzas without onion or garlic). It entered the Pizza business, where the
base and the recipes were made available to restaurant owners who could price
it as low as 30 rupees per pizza when the other players were charging upwards
of 100 rupee.supplying jain pizzas shows that it was catering to needs of the
masses as in India most of the people are vegetarian.
• SOUPS
Amul introduced ready-to-use (just pour and heat) soups branded ‘Masti’ in tetra
packs of one liter. To begin with they were introduced in two flavors - Hot ‘n’ Sour
and Tomato. Said Sodhi, “It was a test marketing drive in Gujarat and in a month
or two it would be introduced all over India.” And there wasn’t much competition
for there were not many companies in India that sold ready-to-use soups.
Sodhi added, “Soup is a milk product and that’s a secret. You will come to know
only when you consume it.” Keeping the ingredients a closely guarded secret, the
company stated that one of the reasons to launch soups was to utilize the
already installed equipment for tetra packaging
• Amul also brought its range of ice creams into the market . the lucrativeness of
this sector was very good and Amul beniffited a lot by entering into ice cream
sector.
• Amul is planning to enter into the sector of bottled water.
WHAT ADVERTISEMENT STRATEGY HAS BEEN FOLLOWED BY AMUL-THE
TASTE OF INDIA?

Before Amul entered the picture, companies used conventional methods of advertising where
the focus was only on the food products and the tone of the pitch was serious. Amul changed
the way food products were communicated to the people in India. It always advertised its
mother brand – Amul, and not its products like butter, pizzas, or cheese. It all began in 1966
when Sylvester daCunha, then the managing director of the advertising agency, ASP,
clinched the account for Amul butter. 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. The year Sylvester daCunha took
over the account, the country saw the birth of a campaign whose charm has endured fickle
public opinion, gimmickry and all else.

Amul has been consistant over the communication campaign and brand strategy. AMUL
has positioned itself as " Taste of India " and have ensured that their communication is
in line with their positioning strategy
By insisting on an umbrella brand, GCMMF not only skillfully avoided inter-union
conflicts but also created an opportunity for the union members to cooperate in
developing products
• UMBRELLA BRANDING Amul’s advertising strategy has followed the concept of
‘Umbrella Branding.’ Amul is the common brand name for most of its products across
categories. For instance, the Amul girl has also been used to advertise Amul ghee and milk.
Its ad campaign ‘Amul doodh peeta hai India,’ conceptualised & created by FCB-Ulka, was
drafted to proclaim its leadership position and was targeted at people across all income
categories. The corporate campaign – The Taste of India caters to people belonging to all
walks of life & across cultures. It is circled around a one day old child who needs milk as
much as to a dead man who needs ghee. Umbrella branding can be a successful
marketing strategy. However, this depends on having a consistent and clear brand identity
across the variants. It also needs to be recognized that, while this approach can help “kick
start” variant launches, halo effects are not guaranteed.

Video of utterly butterly deliciousfinal amul\animated butter .mpg


Halo effects can keep a brand “alive” in the mind of the consumer by providing
reminders of the brand’s existence. But in an active category with specific category
functionality, the brand also needs to provide consumers with reasons to choose their
brand over the others.Halo effects on the parent brand
• Consumer Advertising: This is also called end product advertising .such
advertisements are primarily directed at consumers. These are the advertisements
which are most prominent as very substantial portion of the total advertising budget is
directed to potential buyers of consumer products through mass media. The fact that
the number of buyers of consumer items are generally very large and are widely
distributed over a large geographically area further , enhances the importance of
consumer advertising as a marketing tool. Amul had resorted to consumer advertising
as it ‘s target was the middle class of indian sector.but the point to be noted is that
they relied more upon emphasizing their brand rather than single product.
Institutional advertising: institution advertising s also called corporate advertising . it’s a
public-relation-approach advertising. Amul had wanted to build a goodwill for its brand
and also it is always expressing a viewpoint on a controversial issue through the use of
billboard which we are going to discuss under media platform used.
Indirect Action Advertising : Indirect action advertising as against direct action
advertising does not attempt to bring about an immediate behavioral response . The
purpose of Amul was not to bring about an immediate behavioral response but the aim
of advertisements was to create a image in the minds of consumer regarding Amul.
Amul wanted to build long term relation with its customers that is why it never adopted
practice of aggresively selling the product.
Pricing strategy adopted: 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 plank 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 was 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. Amul was/is targeting middleclass
people so it has always been inclined to keep its price low and at same time it assures of
reasonable quality.

Huge ad campaigns are not always necessary, what you need is a genuinely
interesting way to interact with your customers, tell them your story and engage
them in a conversation, even if you are selling something that is soo commoditized like
butter. Thus Amul believed that huge expenditure on advertising was not always
necessary , if an Advertisement has creativity and ingenuity it will achieve its purpose
for which it has been designed.

Media Platform Used by Amul ?

Media Planning : It is important phase of advertising campaign after creative strategy


that is preparation of the right message. Until and unless , the message is
communicated through the right medium to target customers the target is of no use .
Amul was also facing the challenge of which advertising media to adopt which
should integrate with its objectives which were :

AMUL’s business strategy is driven by its twin objectives of:


(i) long-term, sustainable growth to its member farmers, and

(ii) value proposition to a large customer base by providing milk and other dairy
products a low price

Amul has made the use of following media platforms till know :

1. Outdoor media : hoardings/billboards


2. Broadcast Media : television
3. Non-broadcast Media : cinema
4. Print media : newspapers ,general interest magazines
5. Internet : independent websites ,portals

OUTDOOR MEDIA : HOARDINGS

The cooperative has been making extensive use of hoardings for promoting its
flagship brand ‘Amul Butter’ since 1966, and is all set to enter the Guinness
Book of World Records for the longest run promotion campaign. The
advertisements are in the outdoors category and are communicated through
hoardings at busy junctions in all major cities across India.Amul had used
outdoor advertising to a good effect with the middle class people as their
targets they were able to create an image for their brand in the minds of
consumer .

The ads have a central character – a cherubic, wide-eyed, dressed in a polka-


dot frock, and blue-haired girl/baby who is perhaps around 4-6 years old. A new
ad is apparently created every week and these ads revolve around the latest
happening thing (good/bad/ugly) in the country (or local states) and can be
anything associated with politics/sports/movies/people/laws/general events etc.
The ads are very creative, witty, humorous, whacky and sometimes
controversial but invariably elicit a laugh, chuckle or at least a smile from almost
everyone who understands the context. The ads relate butter to the topic of the
ad in a very amazing & intriguing manner…primarily by playing with words. The
words can be in plain English or Hinglish. Mascot advertising ( will be dealt
with just after this section)
Here are a few advertisements which appeared on hoardings :
The polka dot frock and blue haired girl .

This hoarding was released after the success of movie cheeni kum . the chef in the
movie is Amitabh Bachan and the girl alongside her is the girl whom he calls her
‘sexy’. Amitabh Bchan is shown to be suffering from diabetes in the movie as a result
of which he should avoid sugar. Amul has used its hoardings to bring the whole
episode out by giving it a touch of humour.
This

hoarding was made after the release of the Shahrukh Khan starrer Om Shanti Om .
He was talk of the town and every teenager desired to have body like him , this
advertisement also adds to the pun.

Shah Rukh Khan Bollywood superstar sings for Indian Premier League (IPL) music
video 'Run Just Run' his franchisee IPL Kolkata Knight Riders cricket team - April '08.the
girl with guitar is the Amul mascot girl
Harbhajan Singh pet named Bhajji in a disgraceful act of slapping India teammate S.
Sreesanth in the opposite team after Indian Premier League cricket match at Mohali,
India - May '08
Indian - Dalip Singh Rana popularly known as 'The Great Khali' , a huge and
impressive
World Wrestling Entertainment (WWE) champion wrestler - May '08.They are trying
to showcase that to have body like khali eat Amul only.

The recent Amul hoardings which projected Akshay Kumar as the number one hero,
rated over Shah Rukh Khan and Aamir Khan, has raised questions in Bollywood
The Amul hoardings recently seen across town, created quite a few murmurs in the
film industry. The hoardings projected Akshay Kumar as the number one hero, while
the two Khans - Shah Rukh and Aamir - are shown handing out buttered toasts to
Akshay with the tagline saying, ‘Singh is King’. Apparently, this running down of their
numero uno position has not gone down well with SRK and Aamir.
Upset at this unwarranted assessment, an industry insider close to both the Khans
said, “There have been spoofs made on films like Taare Zameen Par and Om
Shaanti Om, but why are the two actors made to look small in the ad, and on what
basis? Whose idea was it to compare the actors and rate them?” We contacted
Rahul DaCunha, head honcho of DaCunha Associates, about the concept of this
particular ad. He said, “For the moment at least, after the release of Sinngh is King,
Akshay was considered to be the number one and people too have accepted him as
the number one hero. Even the newspapers clearly declared him as the number one
hero, it’s not as though it’s our take entirely.”
But it’s true that there have been rumblings in the industry questioning the concept.
DaCunha said, “Nothing has reached my ears so far. Audiences take such ad
campaigns more like a joke. People have to be sporting enough to laugh off these
matters.”

If we go back to January this year, there was the announcement of the impending launch of India’s
smallest (and the world’s cheapest) car. The headline says whether you agree or not (referring to
the controversy about whether the car was good for India or not) but the punch lies in the rhyming of
the words, Nano and Maano (meaning to agree). As for the sub- head, well!!!

This one appeared when our hockey team failed to qualify for the Olympics. The head line here plays
on the word Shock and Chak. Chak De (Go for it!) is a film about hockey and tells the story of how a
not-so-good hockey team overcomes all odds to win the World Cup, and is apparently based on a true
story. After the movie there was a lot of hype about it being a great morale booster for hockey in India,
but finally, it all came to naught and set some heads rolling in the hockey federation of India.

Popular movies are used as a theme for the Amul ads quite often. This one is a song from the popular
movie Jaane Tu…ya jaane na. Basically the song goes: Pappu can’t dance…saala! (Saala is a
colloquial term used to address others and it can be used in an evil sense, but in this case it is not
used that way). And the ad headline says, Pappu took a chance… khaaliya ! Khaaliya means “he ate
it.”’

The ad about Musharuff appeared during the time when Mush had briefly declared
Emergency to gag Bhutto and Sharif, but it looks ominous now that Benazir Bhutto is
dead and some people suspect that Musharuff had a hand in it. The pun here is on
the word Musharaffat as Mu means “mouth” (didn’t get this fully) and sharafat means
“decency” and kahan hai means “where has it gone”. Notice the sub-head! For those
who don’t know, Amul’s tag line is utterly butterly delicious
Outdoor Advertising through Mascot Advertising

Is there anyone in this country who hasn't seen the Amul ads on the hoardings by the
road sides, and not chuckled? The longest running ad, still hasn't lost its charm with its
never-changing famous moppet in polka dotted frock and a half pony tied up.

The slogan has always been 'Utterly Butterly delicious'. What is it about the Amul ad
that has kept the viewers wanting more? The biggest success seems to be like that of
the Common Man, no particular time or period could have frozen this character. It does
not belong to an era. It has moved along with time reacting to the new events through
time

The answer to the second question is mascot advertising which has been used
by Amul like a marketing tool to carve a niche for its brand.

• Mascot Advertising is a very successful concept which is being used in western


countries but it is not that successful in India. Amul had taken a gamble with its Polks
dot blue haired frock girl and it has paid them rich dividends.

• 50 years after it was first launched, Amul's sale figures have jumped from 1000 tonnes
a year in 1966 to over 25,000 tonnes a year in 1997. No other brand comes even
close to it. All because a thumb-sized girl climbed on to the hoardings and put a spell
on the masses.

• These advertisements had sometimes met up with controversies but still people liked the
;pun element in them.
• The success story of Amul says one thing to all the other ad campaigns that did not
manage to last too long or had to get a whole new look in order to stay in the market. Its a
mixture of keeping with the times, humor and understanding the need of the hour of the
people. Amul boardings are a thing of attractions in India.
• In India, food was something one couldn't afford to fool around with. It had been taken too
seriously, for too long. Sylvester daCunha decided it was time for a change of image. The
image changeover was required because the earlier advertisements were very routine and
boring .
• This use of mascot as a marketing medium highlights the clever use of topical advertising
by GCMMF using humor, to generate higher brand recall. It out the utility of hoardings as
an effective marketing communications tool for marketers.

• Where does Amul's magic actually lie? Many believe that the charm lies in the catchy lines.
That we laugh because the humour is what anybody would enjoy. They don't pander to
your nationality or certain sentiments. It is pure and simple, everyday fun.
• The Amul girl who lends herself so completely to Amul butter, created as a rival to the
Polson butter girl. This one was sexy, village belle, clothed in a tantalising choli all but
covering her upper regions. "Eustace Fernandez (the art director) and Sylvester daCunha
decided that they needed a girl who would worm her way into a housewife's heart. And who
better than a little girl?".And so it came about that the famous Amul Moppet was born.
• Amul ads are iconic, in that they have not changed in all this time. They are as
contemporary today as they were four decades ago when they created a sensation in 1967.
The ads were funny, simple and on occasion controversial but always they did their job –
they got our attention!! Amul has used the hoardings and advertising to perfection. Taking
cues from new films, celebrities, the creatives are fun to watch. More over Amul has sticked
with the creative messages throughout

The Amul girl, apart from promoting a $1-billion brand, has been bringing smiles
to millions. And this smile has spelt a huge success and changed the livelihood
of over 2.5 million Gujarat farmers. The sales figures of Amul butter have jumped
from a few lakh rupees in 1966 to over Rs 500 crore now. Apart from rapid growth
and trustworthiness, the four-year-old girl has also ensured a virtual monopoly
for Gujarat Cooperative Milk Marketing Federation Ltd (GCMMF) that sells Amul
brand of dairy products.

• This tells a lot about why big marketing budgets, huge ad campaigns are not
always necessary, what you need is a genuinely interesting way to interact with
your customers, tell them your story and engage them in a conversation, even if
you are selling something that is soo commoditized like butter.
Online marketing efforts undertaken

a. Buying Amul Products Online : As a first step towards Ecommerce in India, Amul
is delighted to offer you the cyber shopping experience with a wide range of Amul
dairy products in all major cities of India. You can order your favourite Amul Ice-
cream at the new Amul Icecream Cyberstore.The "Taste of India" is now a few
clicks away from your doorstep.
Amul Products can now be ordered online on the website of our importer
www.kanandairy.com
The key benefits of BUYING ON-LINE are:
• Products shipped in a Reusable Attractive Styrofoam Ice US $10.00 Retail
Value.
• Receive Free Reusable Ice Pack for keeping food and drinks cold, US $5.00
Retail Value.
• Amul Products delivered at your doorstep overnight, saves time, mileage and
parking hassles.
• Receive Amul promotional items with your package like Amul Recipe Book,
Butter Girl refrigerator magnet, etc.
• Receive the satisfaction of Eating pure, full-flavored, quality sealed product
manufactured fresh in India's most advanced dairy manufacturing facility.
• Get a free family pass for visiting Amul's Dairy Plant in Anand Gujarat.
• Special Offers for Party Orders of 1 or more cartons of any single Amul
Product. Ask for special quote.
• Makes you directly eligible to enroll for The Fly Me Home Contest Sponsored
By Amul and many more Internet Promotions in the Pipeline.
• No Sales Tax for Internet Sales except for Illinois residents at the Present
time.
• Most important, all transactions are powered by AT&T Secure By which
ensure complete security.

b. Amul to set up its virtual production facility in Second Life


Amul, which established its presence in Second Life in March by setting up its virtual
parlour, is now working to expand its presence in the virtual world.
Trimensions, a Gurgaon based company, is helping Amul to develop its existence on
Second Life. Rahul Dutta, chairman and managing director, Trimensions, says, “Amul is
planning to buy eight-10 islands, equal to 160 acres of virtual land, in Second Life to set up
a simulation of its production and distribution facility. The objective behind launching a
virtual setup is to demonstrate its functioning to the consumers, and experiment with any
change in the production or distribution system virtually before executing it in the real
world.”

Screenshot of Amul Ice-cream parlour

Setting up ice cream parlours on Second Life was actually a pilot project. It will take around
six months to launch the virtual Amul setup on Second Life. The Amul ice cream parlours
showcase topical ads of Amul starting from the late 1990s, Amul TV commercials and
product displays.

Second Life is an Internet enabled virtual world in which users can create their virtual
identities. These identities can move around, interact and socialise with other users.
Members of Second Life can participate in individual or group activities and create and
trade items like virtual property and services with each other. A member has to pay for the
space he purchases on Second Life. Second Life is developed by Linden Lab, a company
based in the US.

c. Amul.tv.com- It showcases short films and Tvc’s related to amul.at this site recipes of
favourite Indian dishes are also given.

3.Broadcast media: Television


TV reaches every demographic category and achieves a certain impact with the use of
colour , audio and motion. Amul has aired a lot of advertisements for its various product
categories .some of the advertisements which we had collected are here .

WHAT WENT WRONG IN AMUL’S ADVERTISEMENTS AND WHERE POSSIBLY


THEY COULD HAVE MADE A CHANGE
We are going to discuss this under two heads

• First we would focus on chocolate sector which has not been tapped to fullest by
Amul. Amul with its brand name had a huge opportunity to tap Chocolate market
but unfortunately it has not yet realised its potential.
• Secondly we are going to talk about pitfalls in advertisements in generally all its
advertisements.
What could have Amul done in its advertisements to make its Chocolate sector
profitable and competitive ?

• Amul should have use brand Ambassador like Sharukh Khan, Amitabh Bachchan
etc to attract people of all age groups like Cadbury does through its celebrity
endorsements.
• Lack of Awareness among consumers : Main product of Amul are Milk, Butter
and Cheese. It has pre dominantly been focusing on these products and lucrative
sector of chocolates has been ignored.
• Company should launch chocolates in a new attractive packaging to change
image of Amul chocolates in consumers mind.
• Products like Milk, Cheese etc have been positioned to such an extent that the
chocolates sector of Amul did not get its proper market share and got
underpositioned.
• Company should introduce Sales Promotion measures like free gifts with buy of
premium packs
• It should work upon bringing out a new theme for its products. “ for someone
you love “ looks more like a theme for cards and greetings rather than
chocolate. Video of Amul chocolatesfinal amul\amul chocolate.mpg
• It should work upon improving the taste of its chocolates . instead of using
condensed milk for its chocolates it should learn diffirent process of making
chocolate.
• It should make advertisements that have strong advertisement appeals. The
advertisement appeals should be such that they lead to brand recall.
• The company should make chocolate of Amul as a memorable experience for the
customer.

What can amul do to make its other advertisements more attractive and appealing
to consumers ?

• Advertisement should be made in such a manner that they have a strong brand
recall value
• They should have used more attractive jingles in their advertisements.
• Rather than advertisements covering all the products they should focus on single
product advertising. Because if it tries to advertise all its products then it can lead
to advertisement clutter . consumer may find it difficult to across this
advertisement clutter.
• As we can see the advertisements are not as humorous and are not having pun
to that extent as we can see in case of Hoardings.
• The advertisements lack the power to touch the heart of the consumer
COMMUNICATION MIX USED ACROSS

We have already disussed the role of advertising in case of Amul , now we would
like to throw light upon :

• Sales promotion
• Direct marketing

Amul has not really been into personal selling because it’s aim has been to
position its brand and not to approach individual customers. Moreover in case
of consumer marketing that is when a product is for the masses then personal
selling is not a feasible mode of communicating your product concept to the
target audience.

Sales Promotion : The most common objectives of sales promotion are :

To gain additional market share or additional revenue .


To expand the target market
To inform the customer about the new uses of existing product.
To develop favourable customer experience with the product.
To gain advantageous shelf-space to supplement advertising and personal
selling efforts.

Thus there can be numerous objectives of sales promotion .


In case of Amul following sales promotion techniques have been used
If a customer makes a online request for products he will receive the following
promotional offers :

They also cameup with short movie “THE AMUL STORY” of 20 mins to
promote and show the life of the employees working in amul and their
networks.

• Products shipped in a Reusable Attractive Styrofoam Ice US $10.00 Retail


Value.
• Receive Free Reusable Ice Pack for keeping food and drinks cold, US $5.00
Retail Value.
• Receive Amul promotional items with your package like Amul Recipe Book,
Butter Girl refrigerator magnet, etc.
• Get a free family pass for visiting Amul's Dairy Plant in Anand Gujarat.
• Special Offers for Party Orders of 1 or more cartons of any single Amul
Product. Ask for special quote.
• Makes you directly eligible to enroll for The Fly Me Home Contest Sponsored
By Amul and many more Internet Promotions in the Pipeline.
• No Sales Tax for Internet Sales except for Illinois residents at the Present
time.
These measures are concentrating on goods other than ice cream. The sales promotion
specifically adopted in case of ice creams sector:
1. On every 1 litre purchase of any Amul ice cream get 25% free.
2. 1+1 free Family/ Party pack.
3. This diwali they brought schemes of getting cache free with 1litre ice cream which
attracted many housewives.

DIRECT MARKETING
Amul "Utterly Delicious" Parlours

Amul has recently entered into direct retailing through "Amul Utterly Delicious" parlours
created in major cities Ahmedabad, Bangalore, Baroda, Delhi, Mumbai, Hyderabad and
Surat. Amul has plans to create a large chain of such outlets to be managed by
franchisees throughout the country. They have created Amul Parlours at some
prominent locations in the country, which are run by the company or its wholesale
dealers:
1. Delhi Metro Rail Corporation
2. The Somnath Temple
3. National Institute of Design
4. Infosys Technologies in Bangalore, Mysore & Pune
5. Wipro campus in Bangalore
6. L.J. College, Ahmedabad
7. Ahmedabad Airport
8. Surat Municipal Corporation
9. Delhi Police
10. Gujarat State Raod Transport Corporation
11. Jubilee Mission Medical College, Trichur, Kerala
12. Sanjay Gandhi Hospital Parlour, Amethi
13. Indian Institute of Management, Kolkata
14. Cafe Amul, MDG, Gandhinagar
"Amul Utterly Delicious" parlours are an excellent business opportunity for investors,
shopkeepers and organizations. In order to come closer to the customer, they have
decided to create a model for retail outlets, which would be known as "Amul Preferred
Outlets"(APO).
These Amul parlours are unique in the sense that they offer all Amul products under one
roof. This direct marketing mesure will surely go a long way in establishing Amul further
. even a brand like Cadburys isnot having any such outlet where all its products are sold
under one roof .

Competitor HLL is also planning to extend Unilever’s retail brand ‘Kwality Walls Swirls’ parlors
in accordance with the growing number of shopping malls in India. Amul parlours There are
around 3,000 Amul parlours across the country as of now and the Federation intends to take this to
number around 10,000 by next year.

Sponsorship of star voice of India

Amul had sponsored the very popular TV show Amul Star Voice Of India
With the clutter of music reality talent hunt shows on television, it becomes difficult to
differentiate one from another. TALENT is the key which set AMUL STAR VOICE OF
INDIA apart from the rest in its first season and brought singing talents like Ishmit
Singh Sodhi, Harshit Saxena, Abhaas Joshi, Irfan Khan, Toshi to the forefront. Amul
Star Voice of India has served as the ultimate platform for budding singers from
across the nation to realize their dreams, the show went on to become the most
entertaining and involving show to hit Indian television. In keeping with its philosophy
of offering engaging and distinct content, Star Plus now announces the launch of the
second series AMUL STAR VOICE OF INDIA with an even bigger bang!
GEOGRAPHICAL BASIS OF ADVERTISING

Regional

One thing unique about Amul is that the advertisements which are shown on hoardings
are never shown on TV.
Otherwise an epitome of India’s largest food brand, it is interesting to note that the Amul
girl has always been flying high on the hoardings but hardly seen on television. General
Manager, Creatives cannot be easily translated from one media to another. The
topicals(hoardings) are created in different languages & pertain to the geographical
region they are put in. Every kind of media has different attributes & Amul needs to
focus upon that particular media, which brings maximum recognition & effectiveness to
the brand. Thus to some extent the hoardings have been use for local marketing that is
their scope is restricted to the particular region.

National

Gujarat continues to be the biggest sourcing point for milk. But now raw milk is also
being procured from Maharashtra, Karnataka, Andhra Pradesh, Madhya Pradesh,
Rajashthan, Orissa, West Bengal, Jammu and Kashmir and Punjab. Thus other cities
are also contributing towards Amul. Urban centres contribute nearly 70% to the
company’s revenue while the remaining 30% comes from rural areas

Rural connect : the cooperative way


Cooperatives are deeply entwined with the lives of rural people in India, where there are over 5 lakh
cooperative societies with membership exceeding 22 crore. Cooperative way is a natural approach for
rural development, as well as for reducing disparities in access to technology. When combined with the
potential that Information and communication technology offer, cooperatives could , continue to play an
important role in fostering economic productivity and rural growth, with linkages extending to the
grassroots level.Thus it can be said that Amul has a strong basis for rural development.

Video of village butterfinal amul\butter village .mpg


INTERNATIONAL MARKETING

GCMMF has a wide range of products in the processed cheese segment. It has also
been a pioneer in the specialty cheese market in the country. Its cheese business grew
at 18% in 2005-2006. GCMMF exports cheese to the tune of 600 tons, making it the
largest cheese exporter in the country. The export market includes the Middle East,
Singapore, Hong Kong, and the United States of America; countries that have a large
Indian population, and the neighbouring countries of Sri Lanka, Bhutan and Nepal.
Conclusion

Thus this brings us to the end of our project report. I hope that we have been
able to bring forth the point for which we had undertaken the project. They
had put much efforts on their creativity. Amul is one of the successful
business houses and other companies should learn from Amul that how to do
their business in a corporately socially responsible manner. Amul has proved
a point , Amul uses only 1 percent of its turnover for promotions .This shows
that it is not always necessary to spend millions on promotion when you have
creativity.

video of al productsfinal amul\amul all products new .mpg


BIBLIOGRAPHY

www.amul.com
www.amul.tv.com
www.wikipedia.com
www.icmr.com
www.businessline.com
www.rediffnews.com

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