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Table of contents
Sr. No. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 Topic Executive Summary Background of the organization Objectives and Limitations of the study Industry Snapshot Market Share of Ice-Cream Brands Introduction on Ice Cream Industry Current market scenario Future of Ice Cream Market in India SWOT Analysis of Amul Ice Cream Monitoring & Enhancing sales Research Methodology Findings Conclusion Recommendations Other Findings Marketing Strategy Other Recommendations Annexure Page 7 9 14 15 16 17 18 19 19 21 29 32 50 52 53 55 56 58

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Executive Summary
The first phase of the project aimed at enhancing sales of Ice-creams and promotion for Amul. In order to execute the same, initial activities included visiting the outlets, recording the existing volume of sales & analyzing the emerging patterns in ice-cream consumption. This helped in arriving at important conclusions regarding which flavors were popular, problems faced by the retailers, points of contention between the retailers & Distributors, issues encountered by the consumers and which outlets were the most popular. Following this, strategies were devised in order to carry out the first part of the project. The key areas that were identified were as followsIncreasing the sales at the existing outlets by implementing extensive branding and promotion. Converting the competitors outlets to start stocking & selling Amul products. Increasing the popularity and improving service at Amul ice-cream parlors. Once these problem areas were analyzed, the next step was to execute the strategies for addressing the problems. 1. In order to enhance the sales at the existing outlets, the activities undertaken included promoting the brand Amul by putting up banners, advertisements, pops, placing brochures, print ads, price lists & pamphlets for introducing new flavors of ice-cream. 2. Following this, the emphasis was on converting competitors outlets to start selling Amul ice-creams. This was done by making them aware of the brand equity of Amul and informing them about the rising demand of the new and existing product line offered by Amul. Also, the fact that Amul offers more margins to the retailers. 3. To enhance the popularity of the ice-cream parlors, various schemes and plans were suggested. One of them that was implemented was the buffet scheme where one could have unlimited ice-cream for Rs. 50 only. This scheme ran for 2 days over a weekend on 11th & 12th June. The offer was a big hit and served the purpose of trial of the new flavors.

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The Second phase of the project was to conduct extensive Market Research regarding post launch analysis of 6 new flavors introduced by Amul ice-creams. The research was conducted among 300 retailers and 300 consumers to gauge the overall reaction, awareness & acceptance of the product line. The questionnaires (retailers & consumers) were designed to extract information about the following Awareness about the 6 new flavors namely Cookie and Cream, Gauva, Shahista Pista Kulfi, Creamy Almond, Thandai and Afghan Dry Fruit Retailers influence on promotion of these flavors Reasons for liking/disliking a particular flavor Effectiveness of a particular medium to spread awareness Similar flavors available with competitors Competitors analysis Distributors Service Visits from Company representative, Pilot salesman and Salesman Based on the work accomplished as stated above, the recommendations about the problem area identified were Effective promotion required for introduction of new flavors Introduction of flavors in smaller packages Free tasting at Amul ice-cream parlors for a couple of days Regular visits by sales persons required Preference for Tub packaging over regular packages

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Background of the organization


History of Amul
Amul was formally registered on December 14, 1946. 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). The Amul revolution was started as awareness among the farmers. It grew and matured into a protest movement that was channeled towards economic prosperity.

GCMMF: An Overview
Gujarat Cooperative Milk Marketing Federation (GCMMF) is India's largest food products marketing organization. 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. Members: 13 district cooperative milk producers' Union 3.03 million 15,712 13.67 million liters per day 3.45 billion liters 9.2 million liters

No. of Producer Members: No. of Village Societies: Total Milk handling capacity: Milk collection (Total - 2010-11): Milk collection (Daily Average 2010-11): Milk Drying Capacity: Cattle feed manufacturing Capacity: Sales Turnover (2010-11)

647 Mts. per day 3690 Mts. per day Rs. 9774 Crores (US$ 2.2billion)

Source www.amul.com

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Every day Amul collects 447,000 litres of milk from 2.12 million farmers (many illiterate), converts the milk into branded, packaged products, and delivers goods worth Rs 6 crores (Rs 60 million) to over 5, 00,000 retail outlets across the city. CRISIL, Indias leading Rating, Research, Risk and Policy Advisory company, has assigned its highest ratings of AAA/Stable/P1+ to the various bank facilities of GCMMF. Its supply chain is easily one of the most complicated in the world. Amul, the flagship for a host of dairy products marketed by the Gujarat Co-operative Milk Marketing Federation (GCMMF), has become Asias largest milk brand and now aims to become the No 1 in the world soon. Something that is substantiated by facts: It is clearly a market leader in the milk category in Gujarat and Kolkata. It has 41% of the ice cream market, 88% of butter, 65% of milk powder, 70% of condensed milk and around 50% of Shrikhand. Despite its co-operative status, it is neither a marketing minnow nor a laggard in terms of promotion campaigns. With 47 sales offices, more than 3,000 dealers and 5 lakh retailers, GCMMFs marketing network allows it to easily flood the market creating a strong entry barrier. In August 2001, when Nestle wanted to introduce its brand of butter, it found countrywide refrigerators stocked with Amul butter. Amul is among the top five FMCG companies in India standing firmly at the 4 th position. It is considered to be a giant in the FMCG sector. Amul is a company that strongly pushes itself as an Indian company. For its own sake it works well because it relies extremely heavily on domestic sales. Domestically the company is strong and one that seems to be growing by day. By managing milk supplies from the cattle farmer and sending it straight to the factory, its been able to eliminate the middlemans problem that has been encountered by Amuls many rivals including Nestle. But having a strong supply chain is only the beginning, the remaining part includes making consumer products that sell well and that the same consumers are able to be impacted by marketing and advertising movements. On both counts Amul has delivered which has made it a winner on all fronts. Its ability to anticipate the right type of product at the right time has been excellent through the years. Most of these products remain to be products derived from milk like butter, cheese, packaged milk beverages, chocolates, etc. These products have been introduced into the market one at a time and have over time proved to be very popular with domestic consumers.

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Since Amul produces food items, its not restricted to a particular class. More importantly its been able to hold its own for so long because it has been able to provide quality products. Amul has been a company that has relied on savvy ad campaigns to push its products into the consumer marketplace. Nearly everyone who has seen Indian ads since the 80s remember the Amul Girl that made the Amul Butter brand the leader in the butter division. Amul unlike other companies manages to publicize itself not only through TV campaigns but also road and poster campaigns. The latter has been a recent development. Amul has also been able to market its products by striking crucial deals at the right time. Amul brand of ice cream reached a high growth within 6 years of its launch and defeated multinational brands of ice cream in Indian market. The experts attribute this success to the successful planning and implementation of Amuls marketing mix tactics. When the existing brands were struggling for market share, Amul launched ice creams in 14 flavors and positioned it as the real ice cream and was priced 30% lower than the market leader. In 2003, it overtook Kwality Walls to emerge as the biggest player.

Segment Amul ice-creams

Amul Ice Cream was launched on 10th March, 1996 in Gujarat. The portfolio consisted of impulse products like sticks, cones, cups as well as take home packs and institutional/catering packs. Amul ice cream was launched on the platform of Real Milk. Real Ice Cream given that it is a milk company and the wholesomeness of its products gives it a competitive advantage. In 1997, Amul ice creams entered Mumbai followed by Chennai in 1998 and Kolkata and Delhi in 2002. Nationally it was rolled out across the country in 1999. It has combated competition like Walls, Mother Dairy and achieved the No 1 position in the country. This position was achieved in 2001 and it has continued to remain at the top. Today the market share of Amul ice cream is 38% share against the 9% market share of HLL, thus making it 4 times larger than its closest competitor. Not only has it grown at a phenomenal rate but has added a vast variety of flavors to its ever growing range. Currently it offers a selection of 220 products. Amul has always brought newness in its products and the same applies for ice creams. In January 2007, Amul introduced SUGAR FREE & Prolife Probiotic Wellness Ice Cream, which was a first in India. This range of SUGAR FREE, LOW FAT Diabetic Delight & Prolife Probiotic Wellness Ice Cream is created for the health conscious.
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Amuls entry into ice creams is regarded as successful due to the large market share it was able to capture within a short period of time due to price differential, quality of products and of course the brand name.

Amul Ice-Creams Variants

1) Prolife Ice-cream Vanilla with chocolate sauce, Shahi anjir 2) Sugar free probiotic Vanilla with chocolate sauce, Shahi anjir 3) Sundae Sundae, Sundae magic ,Double sundae 4) Sticks Frostik, Dollies, Candies 5) Cones Butter Scotch, Choco crunch 6) Novelties Cassata, Hum Tum, Cake magic 7) Malai Kulfi Masti kulfi, Shahi pista 8) Kids Sundae fundoo, fundoo chocobar, Fundoo balls (vanilla & mango) 9) Utterly Delicious Take away (Available in 500ml, 1.25L, 1.5L & 2.2L) Vanilla Royale, Two in One, Butter Scotch, Chocolate Passion, Fruit n Nut Fantasy, Alphonso Marvel 10) Utterly Delicious Cups - Alphonso Mango, Vanilla, Strawberry, Chocolate, Kaju Draksh, Butter Scotch, Kesar Pista Royale, Kis Mis Kaju 11) But 1 Get 1 Free a) Spanish Saffron with Cream Balls + Same b) Rajbhog + Same c) Fresh Litchi + Same d) Shahi Anjir + Same e) Kesar Pista Royale + Same f) Fresh Pineapple + Same g) Fruit Bonanza + Same h) Chocolate + Same i) Alphonso Mango + Same j) Tutti Fruti + Same k) Green Pista + Same l) Prolife Vanilla + Butter Scotch m) Vanilla Royale + Same
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n) Butter Scotch + Same o) Gauva + Same p) Cookie and Cream + Same q) Thandai + Same r) Afghan Dry Fruit + Same s) Shahista Pista Kulfi + Same 12) Couple Pack (250ml) Vanilla Royale, Strawberry, Butter Scotch, Chocolate

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Objective of the study


To have a clear understanding of the ice cream industry and Amuls position in market. To increase sales of Amul ice-creams To brand existing outlets and convert new outlets for Amul To conduct an exhaustive market research on introduction of new flavors To check awareness, price acceptance, innovation excitement amongst consumers To check the awareness as well as level of satisfaction of retailers with distributors & the company with regards introduction of new flavors

Limitations of the study


The sample size of the survey was very large and tedious to interview. The time taken to interview each consumer was a lot as every consumer had to be first explained everything and had to be dealt with patience. The consumers opinion at times was very biased due to existence of Amul in the market since many years. The time frame given to us was not enough to cover a larger of sample size.

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Industry Snapshot
The total market is Rs 2000 crores, of which the branded market at present is 100 million liters per annum valued at Rs 800 crores. Ice Cream market is growing at 10 to 12% Ice creams traditionally are low volume business players.

1. Amul - Market Leader with share of 38% 2. HLL - Kwality Walls - 2nd biggest player 10% 3. Mother Diary 4. Arun - Chennai Based Hat sun Agro Product 5. Metro Daily - Kolkata based 6. Aavin - Tamil Nadu based 7. Havmor

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Market Share of Ice-Cream Brands

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Introduction on Ice Cream Industry The ice cream market growth picked up after de-reservation of the sector in 1997. Of the total size of Rs 15-16bn, around 30-32% is in the hands of organized sector valued at Rs 4.9bn, rest all is with the unorganized sector. Among the major players in this industry Hindustan Lever has a market share of around 50%, represented mainly by Kwality Walls brand. Amul with an estimated market share of 41% is rapidly gaining market share and lastly Vadilal is the player in the national market with 8-9% of the market share. Production area In rural areas, kulfi / ice creams made by small / cottage industry are popular. The market for organized sector is restricted to large metropolitan cities. In small towns and villages, there are thousands of small players who produce ice- creams / kulfis in their home backyard and cater to the local market. Almost 40% of the ice creams sold in the country are consumed in the western region with Mumbai being the main market, followed by 30% in the north and 20% in the south. Growth promotional activities The Indian government adopted the policy of liberalization regarding the ice cream industry also and it is since then that this sector has shown an annual growth ranging from 15- 20% per annum for last 1- 2 years. Types Indian Ice Cream market can be segmented in three different ways, namely on the basis of flavors; on the basis of stock keeping units / packaging and on the basis of consumer segments. On the basis of flavors the market today has a number of flavors like vanilla, strawberry, chocolate, mango, butterscotch and a number of fruit flavors, dry fruit flavors traditional flavors like Kesar Pista, Kaju Draksh etc. The market is totally dominated by Vanilla, Strawberry and chocolate, which together account for more than 70% of the market followed by butterscotch and other fruit flavors.

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Current market scenario


Even as various industries are wilting under the heat of recession, the ice cream industry firmed up for higher growth this summer. Major ice cream manufacturers such as Vadilal, Havmor and Amul, who have a presence in other states too, saw a 30% growth in business this season. City-based manufacturers said ice cream sales had picked up with the arrival of summer. The owner of Havmor ice cream, Pradip Chona, said the industry usually posted an average growth of 20% every year across the country. "We expect the same growth this fiscal too," he said. He said Havmor had noted a 30% growth in demand in three weeks alone. Because of the recession, people had cut down on eating out but not on their consumption of ice cream .They now go out to have ice creams which costs much less. Gujarat accounts for 20% (Rs400 crores) of the total market for ice creams in the country. Unorganized ice cream manufacturers account for 55% of the market, particularly in rural areas as major brands do not have a prominent presence there. Havmor's share of the ice cream market in Gujarat is 35%. The Indian ice cream industry is estimated to be worth nearly Rs2000 crores. Organized players account for around 45% of this share, which comes to Rs900 crores. Amul has 39% share in the national ice cream market. It is the market leader in Gujarat where its market share is 42%. The total size of the Ahmadabad ice cream market is around Rs70 crores. The demand for ice cream in the city has been growing at 30%, which is faster than the national average.

Future of Ice Cream Market in India


Ice Cream market will expand with increase in number of malls - HLL has been increasing their ice cream outlets - Swirl. Few years consumers use to go out for walk after dinner and use to buy ice creams from hawkers. But now consumer who often visit malls for entertainment prefer to buy ice creams during different times of the day as it is visible upfront and feel like spending Rs. 50 for that tasty chocolate swirl with cake and nuts. As marketers are understanding the different needs of consumers, be it health conscious people, kids, youngsters, young etc, and coming up with products specific for them... with portfolio of flavors, consumer today has plethora of options at hand to choose from and therefore high probability of buying one more scoop of ice cream. Also with increasing wallet size and innovative modern retail formats, it has definitely given a Philip to the ice cream industry in India.

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SWOT Analysis of Amul Ice Cream


Strengths:1) Biggest Sourcing base for milk and milk products in India. 2) 35% market share in the national ice cream market. 3) Penetration pricing strategy- Amul is the price warrior in the ice-cream market and currently has a very wide range to offer for all the price points. 4) Reputation of high quality. 5) E-commerce, new products and process technology.

Weaknesses:1) Advertising is low profile, as the results of the survey show. Majority of the respondents have hardly seen any ad of Amul ice cream. However Kwality Walls on the other hand is into heavy advertising and consequently, is popular. 2) Shortage of stock during season. 3) As per the survey, retailers list a credible replacement policy as a factor very high on their wish list. They would be willing to make future investments only for that brand which offers replacement facilities. Amul has no replacement policy. 4) Less attractive packaging. 5) Distribution problems. 6) Retailers now demand freezers without having to pay any deposit. This is especially true of those retailers who already stock one or the other ice cream brands.

Opportunities:1) Internet promotions are a good means of awareness which should be tapped. 2) Amul can use the Umbrella strategy for its new SKUs. 3) It is a high growth segment as the population is every increasing with never- ending demands. 4) Distribution coverage(Amul butter)

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Threats:1) Amul is currently facing stiff competition from Havmor and may face more threat from the local manufactures in the low priced segment ice creams. 2) The customers have very well received the Kwality Walls product differentiation strategy and Mother Dairy is also pushing up its advertising pitch. 3) Also the low per capita income low per capita consumption of the people is a threat to Amul. 4) Free entry to the markets.
5) Even Vadilal is coming up with their new strategy and promotions of various variants Of ice creams

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RESEARCH PROCESS
In the first month, the summer interns were asked to prepare a questionnaire to understand the buying behavior of consumers towards Amul ice creams as .Amul was coming with new six variants of ice creams where we need do the free sampling of ice creams in MFS i.e. (modern frame store). Free sampling of ice creams was available to consumers on weekends .So that we can reach maximum of our consumers visiting the malls. Consumers are also made available with a questionnaire which was prepared by us. This questionnaire helps us to find consumer buying pattern and habits towards Amul real milk ice creams. It also helped us in finding the loopholes about why consumers do not prefer our real milk ice creams. It also helps us to find different practices and marketing strategies adopt by our competitors.

Along with the above mentioned tasks, we were also expected to pitch into new strategies and to conduct consumer cum sales promotion for sales of Amul ice-creams.

However, the brand name that Amul commands is much superior to its competitors and this was observed especially in areas dominated by Guajarati communities. It is also equally popular amongst the middle class as its pricing is kept at a good margin below its competitors.

Questionnaire for AMUL Ice creams


Name: __________________________ Contact no.: ______________________ E-mail: ______________________

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Profile of consumer analysis on ice creams. 1) Age:


Below 18 yrs 19 - 30 yrs 31 45 yrs above 45 yrs

2) Profession:
Self-employed Professional Housewife Pvt. Organization Govt. Employee

Student

3) Family size:
Two four Three Four More than

4) Gender:
Male Female

What are the brands you prefer for ice creams?


Amul Kwality walls Mother dairy Havmor any other

How frequently you buy AMUL ice creams


bb Daily

Weekly

Monthly

What motivates you to buy AMUL ice creams?


Quality Quantity Taste Purity Varieties

Is the product easily available in the market?


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Yes

No

What are the preferable occasions when you buy ice creams?
Festivals Family functions others occasions

Are you aware about AMUL parlors?


Yes
No

Which is your favourite brand of ice-cream? What is the one thing you look for while buying an ice cream How would rate the below Amul ice creams? Guava
Attribute Taste Quality Price Average Good Excellent

Afghan
Attribute Taste Quality Price Average Good Excellent

Cookies & Cream


Attribute Taste Quality Average Good Excellent

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Price

Creamy Almond
Attribute Taste Quality Price Average Good Excellent

Thandai
Attribute Taste Quality Price Average Good Excellent

Suggestions if any

Target dates: End of May

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MT Management Trainee DIST Distributors name DF Deep Freezer OL Outlet POP Point of purchase material The above figure shows Daily Sales Report (DSR) used during the initial phase of the project. As can be seen, the information was filled in the report after visiting each outlet and monitoring the sales. The factors considered were Number of units of Ice-cream sold Whether the outlet required any POP, Price list, Banners etc Whether the outlet had purchased a new Deep Freezer Other observations like friendliness of retailer, knowledge about new flavors etc

The information from the DSR reports & from the interaction with the retailers, helped to arrive at & identify key problem areas geographically as well as operationally. This was followed by implementation of strategies to increase sales of Amul Ice-cream and deep Freezers. This was carried out by 1. Branding and increasing sales of existing outlets of Amul by putting up their point of purchase materials like Price list, banners, and posters of new flavors at all the popular outlets of Amul. This facilitated higher visibility of the brand and thereby led to a possible increase in sales at existing Amul outlets. It also increased the awareness among consumers regarding the new offers, schemes, flavors and new products launched by Amul.

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Following were some of the popular POPs put up at outlets -

Price List

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Posters of new flavors

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2. Branding and increasing sales of existing Amul Ice-cream parlours (Scooping parlours). To facilitate this, various schemes were suggested. One of these that implemented was buffet Ice-creams. Under this scheme, for a particular weekend, for Rs.50, unlimited ice-cream could be purchased by the customers. This initiated trials of new flavours thereby leading to increase in sales later on. Also, various strategies were suggested for providing better service and developing a more likeable and pleasant ambience.

Amul Scooping Parlour

3. The increase of sales in Deep freezers was done in two ways Telling retailers that by buying deep freezers, they can have their own assets against buying deep freezers from competitors who give them on rent By giving the retailers the knowledge about the advantages of buying an Amul Deep Freezer (HADF) like they can save electricity of at least Rs 7500 in a year

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4. Converting new outlets for Amul (outlets selling competitors Ice-cream) by making them understand advantage of selling Amul Ice-cream like the brand equity of Amul is better than any other brand in the market which would automatically help the retailers increase their margin. Secondly they get more margin by selling Amul Ice-cream than any other brand.

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Research Methodology
Research design used: Research Design

Exploratory Research

Conclusive Research

Descriptive

Causal

Define a hypothesis

Exploratory Research: The research work was Exploratory in nature and was meant to
provide the basic information required by research objectives. A preliminary study and findings can be further consolidated after detailed conclusion study has been carried out.

Data Collection Sources: Primary Data

Survey

Observation Experiment

Personal Interview.

Mail Survey Telephone Interview.

The personal interview method of data collection was used for our survey.

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Research Approach: Survey


A survey is a research technique used to gather information from a sample of respondents by employing a questionnaire. Normally surveys are carried out to obtain primary data.

Data Collection Instrument: Questionnaire


A questionnaire is a set of structured questions to be asked from respondents in a particular order with appropriate instructions. A questionnaire serves four functions enables data collection from respondents, lends a structure to interviews, provides standard means for writing down answers and help in processing the data collected. Type of questionnaire used: Structured Non-disguised Structured-The questions used were not open- ended and respondents had to answer from the given options given. Non-disguised-The questions asked did not in any way shield the name of the brand that is conducting the survey. The questions openly give out the name of Amul in the questionnaire.

Sampling Plan:
Consumers Retailers Simple random sampling Simple random sampling

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Sampling Unit:
Geographical Region Areas Central Mumbai Western Mumbai

Ghatkopar, Matunga, Mulund, Dadar, Byculla

Bandra, Malad, Andheri, Mahim

Sample Size: - 300 Consumers and 200 Retailers Sampling Procedure:


Probabilistic Sampling Simple Random Systematic Random Stratified Sampling Cluster Sampling Non probabilistic Sampling Convenience Judgemental Quota Snowball The sampling procedure used in the survey we conducted was Simple random sampling as the sample for conducting the survey was picked up at random.

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Findings of the Research


Consumers Feedback:

Q1. Which of the following flavors introduced by Amul Ice-creams are you aware of?

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Q2. How did you come to know about the flavors?

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Q3. Which flavors have you purchased?

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Q4. Which of them do you like/dislike and why?

Likes
Cookie and Cream Shahista Pista Kulfi Creamy Almond Afghan Dry Fruit Taste Taste Richness Richness

Dislikes
Gauva Thandai Taste Taste and Price

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Q5. Which flavors are not available when asked for?

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Q6. Have you tried any of these flavors with any other brand? - Please mention which brand.

Responses
Cookie and Cream Gauva Creamy Almond Thandai Havmor, Vadilal Naturals Naturals Mother Dairy

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Q7. Do you feel that the new flavors are optimally priced?

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Q8. Which media is more effective to create awareness?

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Q9. Would you prefer tub packaging of 750ml/ 1 liter over 1+1 combo of 750 ml?

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Q 10. Which type of ice-cream do you generally buy and in what package?

Responses
Party pack, family pack, (mostly vanilla, strawberry, butter scotch and chocolate) Tricone Small, medium, large Cups Candies Tubs(Swirl, Sundae) Others( ice-cream cakes, cassata, prolife ) 45 % 22% 35% 12% 65%

4%

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Retailers Feedback:

Q1. Which of the following new flavours were you informed about by Amul?

The graph is more or less consistent across all flavours. But awareness about Shahista Pista Kulfi was less among people.

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Q2. Which flavours have supply issues?

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Q3. Do you think that the advertisement inside the shop is adequate?

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Q4. Which of the following flavours have received negative feedback from consumers?

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Q5. Would you like the new flavours in smaller packaging?

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Q6. How frequently do the salesmens visit?

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Q7. How often is the product replaced?

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Conclusion
Cookie and Cream and Afghan Dry fruits have maximum awareness among the consumers whereas Gauva and Thandai have the least. The most effective medium through which people have come to know about the new flavors is by word of mouth publicity by friends and relatives. Cookie and Cream, Afghan Dry Fruits and Creamy Almond have a good sale in the market whereas the other 3 are low on sales. As far as taste of the flavor is concerned, Cookie and Cream scores the highest, followed by Shahista Pista Kulfi, Afghan Dry Fruits and Creamy Almond. On the other hand Gauva and Thandai have a negative feedback towards taste. Shahista Pist Kulfi has the biggest availability and supply problems and wasnt available most of the times when asked for at the retail outlets. Cookie and Cream has already been tried by consumers with Havmor, Gauva and Almond with Naturals and Thandai with Mother Dairy. Most of the consumers agree to the question when asked whether they feel that Amul ice-creams are optimally priced. Consumers feel that TV and Banners are the most effective mediums for advertising new launch of flavors. Consumers have a preference towards Tub packaging like sundaes over the normal paper packaging. Family and party packs of flavors like Vanilla, Chocolate, Butterscotch and Strawberry are the most consumed ice-creams by consumers. Shahista Pista Kulfi was one of the lesser known flavors by retailers. As far as advertisements inside the shop are concerned retailers had a 50-50 response. Shahista Pista Kulfi has the maximum supply issues and is out of stock most of the time.
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Gauva and Thandai have got the most negative feedback from consumers compared to the other four flavors. Majority of the retailers would appreciate the new flavors to be introduced in smaller packaging as well. Salesmens visit is as less as once a month in most places. A very high number of retailers agreed to the product being replaced as and when required.

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Recommendations
There has to be enough promotional campaigns pre-launch so that consumers are aware of the flavors. Flavors like Gauva and Thandai, that have a negative feedback, should be pulled out of the market as they create negative perception in the minds of consumers towards Amul. Flavors like Shahista Pista Kulfi that score high on likeability from consumers should be enough in stock all the time because when consumers go to purchase it, they are generally out of stock and this leads to Amul losing out on sales. Most of the new flavors have already been tried by consumers with rival brands. Due to this, the consumers do not find the new flavors innovative enough and there is no enthusiasm among consumers to try the new flavors. Paper packaging should be replaced with tub packaging as there is obvious preference towards it by consumers. New flavors banners need to be present in every retail outlet, it was missing at many places which led to retailers being unaware about the new flavors. The new flavors have to be introduced in smaller packs so that consumers dont think a lot before purchasing it rather than spending Rs. 160/- to try a new flavor. People from Amul, salesmen, distributor and are sales manager need to visit the field ona daily basis as this is one of the most common complaint we came across that no one from Amul ever comes to visit and see how things are going. Scheems like Buffet concept should be highly promoted and executed frequently so that there is greater awareness about the same and the targets are achieved through higher sales.

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Other Findings
Distribution related problems:
Salesmen do not provide details about the various schemes proactively to the retailers. (Retailers have to ask the salesman for the same) Delivery not on time and some times during rush hours in the evening. Late order execution. Promotional materials not distributed properly by the distributors. Rude behavior of the Distributor. (Damage Complaints) Rude attitude of the delivery boy while handling retailer complaints. Delivery van is halted far from the destination shop leading to product temperature loss. Salesmen do not respond properly when contacted on the phone for damage claims or for promotional material requirement. Scarcity of manpower during seasons. Salesman doesnt open the HADF on every retailers point. He takes order by his own so there is no push for more items. Thats why retailers give less order in quantity.

Distributor related problems


If the retailer holds competitors products then its damaged AMUL ice-cream is not replaced. Combo packs without MRP being delivered. This creates confusion in the mind of the customers. During Season time extra delivery is not manageable. Amul Sales book not used by distributor salesman. When company vehicle comes then the unloading is directly done to the delivery tempos without taking the product in the cold storage room. When loading the delivery tempo, the distributor switches off the charging of the tempo which damages the ice-cream. Company vehicle stands at the distributors point for 2-3 hrs. Distributor starts loading his tempo everyday by around 12noon. Only 1 sales person to handle the entire market. No proper warehouse maintenance. Very dirty Store room. Keeps frozen chicken in the store room along with Amul ice cream.

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Too much pressure on 1 salesman. So the salesman cannot promote all the products of Amul.

Retailer Related Problems


Prefers to give orders on the telephone as the salesmen do not visit the retail outlets regularly. Other products like milk, curd, green peas and water bottles are stacked in the same deep freezer which leads to poor temperature in the DF thereby damaging the Ice Creams. Retailers take time to put the ice cream in the DF which leads to a lot of temperature loss there by damaging the ice cream. Retailers take too much time to make the payments which delays the delivery van in delivering further orders.

Company related problems


There is incentive scheme for the distributor but not for the salesman. Salesman salary is also less compared to other competitors. Schemes are not regular. There are only 2-3 schemes in a year. Damage is only 0.5% so that amount is not transferred from distributor to the retailer. Many competitors provide free deep freezers like Havmor. Amul has to provide free HADF to increase market share. Changed price POPs are not supplied regularly which is creating confusion among the customers and retailers. Items are not at round off MRP. Only one flavor Green Pista in combo pack is available at Rs.100 MRP. Area distribution for distributor is not proper. POPs demanded are not supplied properly. No range selling. Awareness about products is less. No incentive schemes are provided to the salesman so they only do postman call. If they receive incentives, they will be motivated towards work and put pressure on retailers to buy more of Amul ice cream products. Companies like Havmor give Rs 6000 pm to the sales man. Kwality Walls gives Rs 7000 pm to the salesman. But in Amul they receive only Rs 3000-4000 pm. PSM salary is also less in comparison to the other companies.

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Marketing Strategy
Retain Existing retailers. Enhance forward integration by putting up retail shops like the Array as it is a government body. Proper Market Segmentation for the dealer/stockist. Proper Cold Chain management training to wholesale distributors Incentive plan for the distributor salesman. More varieties of small SKUs costing Rs. 5.00, Rs.10 & Rs.15 thereby targeting the gen Y. Set KRAs for the Salesman.

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Other Recommendations
The company should take following steps: Amul is the leader in the ice cream industry so it should think about more innovative ideas compared to its competitors to increase its market share. Ice cream industry is a service oriented market, so among competitors, whoever puts their products 1st in the retailers freezer will be on profit side. Amul should come up with an incentive scheme for their salesmen to motivate them. In market, salesmen are already aware of the incentive schemes provided by other competitor companies, so they demand for incentive schemes like them. This will benefit the company in the end. Company can give gift hampers of their products or free dinner as an alternative, instead of cash as an incentive to motivate their salesman. Company should consider increasing the salary of salesmen and PSM as our competitors are giving more salary to their employees. PSM should train the salesmen and pressurize them to deal with retailers in suitable manners like describe all schemes properly, check POP properly, range selling etc. The company should also launch certain schemes for households. It has schemes for retailers but not for households. In order to enter into a new area such starting schemes can be very helpful. Schemes like discount on products through newspaper cuttings etc. There is no dress code for salesman. They should have a proper dress code which is a good way to advertise the brand Amul and also motivate the salesman. This will attract other retailers and consumers more. The company can advertise with POPs in local language. The company should take proper feedback from retailers from time to time. In case they are facing any problem it can be solved timely, without delays. Volume sale is increasing every season.Hence distributors cannot meet the increasing demand and cannot complete delivery because salesman, cold room are all limited. So they are not able to increase service as per demand. So company needs to increase the number of distributors. In order to meet the competition of Havmor of giving free machineries to the retailers, AMUL should 1st appoint an outsourced agency for the HADFs. Also the machinery should be given on installments with a minimum down payment of Rs.2000. In Mumbai, where there is a lot of problem of space, Amul should come up with Vertical HADF like the Coke & Pepsi. Amul should bring more varieties of small SKUs costing Rs. 5.00, Rs.10 & Rs. 15 thereby targeting the gen Y.
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Currently the damage policy is 0.5% which should at least be 1% as given by Havmor (Given to the distributor on every bill irrespective of the damage) .For E.g. for the supply of 20lac stock, the distributor receives damage claim of only Rs.10,000 and hence it doesnt get transferred to the retailer. Amul should come up with regular scheme at least 6-7 times a year. Like Kwality Walls & Mother Dairy, Amul should put well decorated ice cream deep freezers in the market.

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Bibliography
Prowess Database system http://www.amulicecream.in

Books &Journals
Kotler,P Marketing Management,13TH Edition The Marketing Whitebook, 2009-10 Sample survey by questionnaire

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Annexure
Consumers questionnaire
Which of the following flavors introduced by Amul Ice-creams are you aware of?

Cookie and Cream Creamy Almond Gauva Thandai Shahista Pista Kulfi Afghan Dry Fruit How did you come to know about the flavors?

Banners Retailers suggestion Friends/Relatives Other: Which flavors have you purchased?

Cookie and Cream Creamy Almond Gauva Thandai Shahista Pista Kulfi Afghan Dry Fruit Which of them do you like/dislike and why?

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Which flavors are not available when asked for?


Cookie and Cream Creamy Almond Gauva Thandai Shahista Pista Kulfi Afghan Dry Fruit Have you tried any of these flavors with any other brand? - Please mention which brand

Dou you feel that the new flavors are optimally priced?

Yes No

Which media is more effective to create awareness? Would you prefer tub packaging of 750ml/ 1 liter over 1+1 combo of 750 ml?

Yes No Which flavor do you generally buy and in what package?

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Retailers Questionnaire
1. Which of the following new flavors were you informed about by Amul? o Cookie & Cream o Guava o Shahista Pista Kulfi o Creamy Almond o Thandai o Afghan Dry Fruit 2. Which flavors have supply issues? o Cookie & Cream o Guava o Shahista Pista Kulfi o Creamy Almond o Thandai o Afghan Dry Fruit 3. Rank the flavor as per volume sold? o Cookie & Cream o Guava o Shahista Pista Kulfi o Creamy Almond o Thandai o Afghan Dry Fruit 4. Do you think that the advertisement inside the shop is adequate? o Yes o No 5. Which of the following flavors have received negative feedback from consumers? o Cookie & Cream o Guava o Shahista Pista Kulfi o Creamy Almond o Thandai o Afghan Dry Fruit 6. Would you like yhe new flavors in smaller packaging? o Yes o No
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7. How frequently do the salesmens visit? o Once a week o Once a fortnight o Once a month o More than that 8. How often is the product replaced? o As and when required o Not attended o Required to follow up

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