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Topic Page no
Marketing & Advertising strategies
Product mix
Positioning &Segmentation
Price & Place
Distribution Channel & promotion

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Formed in 1946, is a dairy cooperative movement in India with 250 liters of milk per day with
A brand name AMUL is managed by Gujarat Co-operative Milk Marketing Federation Ltd.
The brand name Amul means AMULYA (suggested by a quality control expert in Anand).
This word derived from the Sanskrit wordAMULYA which means PRICELESS.
Amul has spurred the white revolution of India, which has made India the largest producer of
milk and milk products in the world and the White Revolution has finally created a billion-
dollar brand.
Today Amul dairy is No. 1 dairy in Asia and No. 2 in the world, which is matter of proud for
Gujarat and whole India.
Amul has more than 150 chilling centers in various villages.
Dr. Varghese Kurien, former chairman of the GCMMF the man behind the success of Amul.

Marketing and Advertising Strategies
Looking at the current Indian marketing scenario, we can say that we are moving back in time. Kotler
says that in the evolution of marketing, before the marketing concept became popular, there is a
selling concept which states that "customers and businesses, if left alone will ordinarily not buy
enough of the organizations products. The organization must therefore undertake an aggressive
selling and promotion effort" In this present scenario, it is true that companies will survive only if
there is a super efficient sales force. The reasons are that increasingly every product is being
commoditized and there is an increase in the power of retails, information explosion that has given
the consumer an unusual power. This has ensured that without an efficient sales force companies
cannot survive.
Amul is the largest co-operative movement in India with 2.2 million milk producers organized in
10,552 co-operative societies. (Now this data is much older but I was not able to find the latest data)
The country's largest food company, Amul, is the market leader in butter, whole milk, cheese, ice
cream, dairy whitener, condensed milk, saturated fats and long life milk. Amul follows a unique
business model, which aims at providing 'value for money' products to its consumers, while
protecting the interests of the milk-producing farmers who are its suppliers as well as its owners.
Despite being a farmers' co-operative, Amul has given multinationals a run for their money. In butter,
cheese and saturated fats, Amul has remained the undisputed market leader since its inception in
1955, by offering quality products at competitive prices. In other categories, Amul has nullified its
late mover disadvantage through aggressive pricing, better quality, innovative promotion, and
superior distribution.

1) Quality
No brand can survive long if its quality is not equal or exceed customer expectations.
In case of food product hygienic, taste, bacteriological & organoleptic standard are
main essence.

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2) Value for money
Customers get more than what they pay.
Keep price fair & do best to ensure that retailers dont gain at the expense of
3) Availability
Brand available when and where customers want.
Amul has nations finest distribution network.
4) Service
Committed to total quality.
The Four Ps Of the Brand AMUL
The brand AMUL offers different types of product for different markets and has a huge product mix.
The diverse package basket clearly reflects how AMUL has been successful in segmentation of its
target group.

Products of brand AMUL
1) Desserts
a) Amul shrikhand
i) Mango
ii) Saffron
iii) Almond
iv) Pistachio
v) Cardmom
b) Amul Amrakhand
c) Amul mithai Gulabjamun mix
d) Amul mithai kulfi mix
2) Fresh milk
a) Amul Shakti
b) Amul Tanya
c) Amul
d) Amul Gold
3) Cookies
a) Amul Pure Ghee
b) Sagar Pure Ghee
c) Amul malai Paneer
4) Powder Milk
a) Amul infant milk formula 1
b) Amul spray infant milk food

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c) Amul full cream milk powder
d) Amulya Dairy whitener
5) Amul Ice Cream
a) Royal treat Range
i) Raj Bhog
ii) Cappuccino
iii) Butterscotch
b) Nut- O-Mania Range
i) Kaju Drakhshi
ii) Kesar Pista
iii) Roasted Almond
c) Utsav Range
i) Anjir
ii) Roasted
iii) Almond
d) Natures Treat
i) Alphanso Mango
ii) Fresh Litchi
iii) Anjir
iv) Black Currant
6) Chocolate and Confectionery
i) Amul Milk chocolate
ii) Amul fruit&nut Chocolate
iii) Amul Bindazz
iv) Amul Rejoice
v) Amul kesar
7) Curd Products
a) Yogi Sweetened Flavoured Dahi (Dessert)
b) Amul Masti Dahi (fresh curd)
c) Amul Lite Dahi
d) Amul Prolife probiotic Dahi
e) Amul Masti Spiced Butter Milk
f) Amul Lassee
8) Amul Kool Flavoured Milk
a) Mango
b) Strawberry
c) Saffron
d) Cardamom
e) Rose
f) Chocolate
g) Butterscotch
9) Health Beverage
a) Amul Shakti White Milk Food

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b) Amul Ready to serve soups
10) Bread spreads
a) Amul Butter
b) Amul Lite Low Fat Bread spread
c) Amul Cooking Butter
d) Delicious Margarine


1} Bread Spread:-
(a) Amul Butter
- Table (salted) 100g , 500g
- White (unsalted) 500g
(b) Amul Lite 200g
(c) Table Margarine 100g , 200g

2} Powder Milk:-
(a) Amulya (dairy whitener)
- Pouch 3g, 25g, 50g, 200g, 500g, 1kg
- Refill 200g
- Tin 500g, 10kg
(b) Sagar TCW (Tea Coffee Whitener) 50g, 200g, 500g, 1kg
(c) Sagar SMP (Skimmed Milk Powder)200g, 500g, 1kg
(d) Amul Spray (Infant Milk Food)
- Pouch 50g, 200g, 500g, 1kg
- Refill 200g, 500g, 1kg
- Tin 500g, 1kg
- Amul Instant Formula 1&2 500g tin

3} Health Drinks:-
(a) Amul Shakti
- Pouch 25g, 50g, 200g, 500g
- Refill 200g, 500g
- Jar 200g, 500g
(b) Nutramul 500g (Refill & Glass Jar)
4} For Cooking:-
(a) Mithai Mate:- 400g, 7.5kg

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(b) Amul Ghee:-
-Refill 200ml, 1L -Pouch
500ml -Tin
1L, 2L, 5L
(c)Sagar Ghee :-
- Refill 200ml, 1L
-Pouch 500ml
-Tin 1L, 2L, 5L
(d) Utterly Delicious Pizza :-
- Regular 160g
-Preimium 220g
(e) Masti Dahi :-
- Cups 100g, 200g, 500g -
Pouch 200g, 500g
(f) Malai Panner :-
- Frozen (diced) 100g, 200g, 500g
- Refrigerated (blocked) 200g, 1kg
5} Fresh Milk:-
(a) Amul Fresh Cream :- 125 ml, 200 ml, 500 ml, 1L
(b) Amul Cool(Elaichi, Kesar, Rose, Coffee, Mango, Stawberry)
125 ml tetra wedge, 200 ml glass bottle, 200 ml
tetra pack
(c) Amul Milk:-
- Amul Lite 500 ml, 1 L
- Taaza 200 ml, 500 ml, 1 L
- Gold 500 ml, 1L
- Shakti 500 ml, 1 L
(d) Milk Pouch: - 200 ml, 500 ml, 1L
(e) Amul Masti Butter Milk: - 125 ml, 200ml, 1 L
6} Desserts:-
(a) Amul Shrikhand(Elaichi, Kesar, Badam Pista, Mango & Amarkhand)
100 g, 200 g, 500 g, I kg
(b) Amul Gulab Jamun 500 g, 1 kg
(c) Amul Lassi :- (Kevda, Rose) 125 ml, 200 ml, 1 L
(d) Amul Kool Caf Glass : 200 ml Tetra Pack : 200 ml
7} Cheese:-
(a) Amul Cheese
Tin: 400 g Block: 200 g, 400g, 1kg
Cube: 50g, 200g,500g, 1 kg Slices: 100 g, 200 g, 750 g
(b) Amul Emmental Cheese 400 g, 5.5 kg wheel
(c) Gauda Cheese 250 g, 1 kg

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(d) Amul Pizza Mozerella Cheese 200 g, 1 kg
(e) Amul Cheese Spreads( Peeper, Garlic, Plain) 200 g
8} Amul Choclates:-
(a) Milk Chocolate 35 g
(b) Fruit & Nut 35 g
(c) Almond Bar 35 g
(d) Amul Bindaaz 35g
(e) Rich Dark Chocolate 30g
(f) Fundoo Chocolate 30g
(g) Milk Chocolate 15g, 30g
(h) Chocozoo 500 g (tub), 260 g (tin)
(i) Amul Chefs Cooking Chocolate(Classic, Premium) 500g

Bread Spread
3 6
Powder Milk
4 26
Health Drinks
2 10
For Cooking
6 25
Fresh Milk
8 37
4 27
5 20
Amul Choclates
9 11

Average line = 41/8 = 5.12
Average Depth = 162/8 = 20.25

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Product Analysis
Product specification:- Meets AGMARK standards and BIS specification .no IS. 13690.1992
Product personality:- It is a UNISEX product
USP(unique selling point):- USP of Amul is its TASTE. Amul butter is made from fresh cream
by modern continuous butter making machines.(purely vegetarian)
Product Positioning
Placing a product in that part of the market where it will receive a favorable reception
compared to competing products.
A mass market player, no premium offerings
USP Quality with affordability
Up against niche players value addition to customers
Sheer size and scale of operation
New offerings for health conscious and vibrant India
Indias First Pro-Biotic Wellness Ice cream &
Sugar Free Delights For Diabetics.
Low Priced Amul Ice Creams made Kwality Walls life hell.
Flank Attack.. Age Wise..
Aug 25 2007
Amul launches Chocolate milk under brand name of Amul Kool Koko.
This is targeted at teenagers and youths.
Nov 11, 2007
Amul in Multinational Arena With Snack Launch: Munch Time.
Flavors: Masala , Mint and Tomato
New Product Activity.
Nov 26, 2007
Amul Launches Fresh Paneer (Free From Any Harmful Chemicals)
Flank AttackExpanding its Cheese Segment.
Current market share 65%.
AMUL basically segmented its product on two basis they are:-
Consumer Based Market Segmentation &
Industry Based Market Segmentation

Consumer Based Market Segmentation
Amul Kool
Chocolate Milk
Nutramul Energy Drink
Amul Kool
Millk Shaake

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AMUL Calci
UtterlyDelicious Pizza
Amul Emmental Cheese
Amul Cheese Spreads
Amul Shakti Health Food Drink
Amul Lite
Sagar Skimmed Milk Powder
Amul Lite Slim and Trim Milk

Ice Cream manufacturers
Restaurants and food chains
Coffees shop chains
Bakeries and confectionaries
Pizza retailers
Snack retailers

Wide range of product categories caters to consumers across all market segments. For
example, Amul Kool is targeted at children, while teenagers prefer Kool Caf, as it has a cool
imagery associated with it.
Segmentation is not as easy in curd and low fat products, due to mixed audiences, various
culinary applications, eg. Ghee, butter and cheese.

In India, the most used spread is ghee, then butter, cheese, low fat butter, margarine,
cheese spread and mozzarella cheese.

Changing retail environment
Striking out on its own, with Amul Outlets or parlors to deliver consumers total brand
Launched in 2002, there are now 400 Amul parlors across the country, which contributed 3%
to the brands total turnover last year.
High profile locations: Amul parlors are today present on campuses of Infosys, Wipro, IIM-A,
IIT-B, Temples, Metro rail and railway stations in Gujarat.

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The next important aspect that provides a Competitive Advantage to AMUL butter over its
competitors is its price. AMUL butter spends less than 1% of its revenues into advertising which is
much less than the industry average of 8-9%. Add to this, theyve a highly efficient distribution
channel which facilitates effective pricing. The Cooperative network of the Milk Union eradicates the
scope of the middle man on the supply side ensuring fair pricing and the strong marketing channel of
GCMMF carries forth the trend, which gives them a strong pricing advantage.
Cost of milk
Labour cost
Processing cost
Transportation Cost
Sales Promotion Cost
Taxes etc.
The biggest strength of Amul is its very strong marketing channel spread across the length and
breadth of the country. Under their umbrella, theyve more than 2.8 million farmers supplying them
milk and the GCMMF has a network of more than 3500 distributors and more than 5 lakh retail
outlets. This makes availability a very strong factor contributing to AMUL success.

The flow in the above figure gives a broad picture of how the distribution channel functions. The
Gujarat Cooperative Milk Marketing Foundation Ltd. forms the backbone of the organization which is
responsible for managing the entire cooperative under the umbrella brand of AMUL. Theyve
implemented technology on the supply side and their supply chain management from farmers to
GCMMF is Just in Time.
From GCMMF to consumer, there are two ways in which the distribution channels function. One is
shown above where from Centralized GCMMF; they
subsequently decentralize the operations to 47
depots which then deal with more than 3500

The other way is the inception of AMUL Parlor, where
theyve been able to create a direct B2C model.
Amul has a vision to have a parlor across the country
at a distance range of every 3-4 kilometers. This
shows their intent to frame a parallel strong
distribution channel which would give their products unparalleled availability compared to the

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Life. But my research shows that not many consumers are aware of their presence which is a matter
of concern for them.
Given this wide product portfolio, Amuls approach is to promote its brands in a rotational
cycle of two to three years.
Uses a variety of media to communicate
Most famous is billboard campaign
The endearing polka dressed girl and pun at various issues increased brands fan following.
Below-the-line activity has grown too such as the Amul food festival, which has been held
for the last four year between October and December in about 50,000 retail outlets.
The Chef Of India promo invites hotel chefs to come up with recipes using as many Amul
products as possible, and is conducted at city, state and national level.
As we discussed above that the Amul ads are one of the longest running ads based on a theme, now
in the race for the Guinness records for being the longest running ad campaign ever. Now AMUL
advertising has also started using tongue-in-cheek sketches starring the Amul baby commenting
jovially on the latest news or current events. The pun in her words has been popular.

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(Source: The pictures have been taken from Official Amul Website- www.amul.com)

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GCMMF that owns Amul, Asias largest milk brand realized that with the changing
lifestyle & increased awareness about health issues, there has been a discernable shift
towards health based drinks from carbonated drinks. To utilize the potential of
flavored milk, butter milk & other milk based beverages that have an age old tradition
in India. By identifying the targeted teenagers & youth, who were biggest consumers
of colas & aerated drinks. The New variants of the brand were advertised through
major national channels with special focus on youth oriented TV channels like MTV
&Cartoon Network. By identifying the trend & introducing variants, Amul has been
emerged as the fastest growing brand in non-carbonated soft drinks category.