A

Project Study Report

On
Training Undertaken at
“SARAS”
Titled
“STUDY OF CONSUMER PREFERENCE AND MARKET
SHARE”
Submitted in partial fulfillment for the
Award of the degree of
Master in Business Administration

2007-2009

SUBMITTED BY:
SUBMITTED TO:
JAIPRAVESH YADAV Ms. SWATI JANGID
MBA 2ND YEAR. MBA DEPARTMENT
 PREFACE

The MBA programme is well structured and integrated course of business

studies. The main objective of practical research at MBA level is to develop skill in
student by supplement to the theoretical study of business management in general.
Research helps to gain real life knowledge about the industrial environment and
business practices. The MBA programme provides student with a fundamental
knowledge of business and organizational functions and activities, as well as an
exposure to strategic thinking of management.
In every professional course, training is an important factor. Professors give
us theoretical knowledge of various subjects in the college but we are practically
exposed of such subjects when we get the training in the organization. It is only the
training through which I come to know that what an industry is and how it works. I
can learn about various departmental operations being performed in the industry,
which would, in return, help me in the future when I will enter the practical field.
Training is an integral part of MBA and each and every student has to undergo the
research in a organigation and then prepare a project report on the same after the
completion of research.
During this whole training I got a lot of experience and came to know about
the management practices in real that how it differs from those of theoretical
knowledge and the practically in the real life.
In today’s globalize world, where cutthroat competition is prevailing in the market,
theoretical knowledge is not sufficient. Beside this one need to have practical
knowledge, which would help an individual in his/her carrier activities and it is true
that “Experience is best teacher”.

2
 ACKNOWLEDGEMENT

Many persons have shared with me their experiences, insights, research, and

writings and were so helpful and gracious to us during the preparation of this report.

It would be a great pleasure for me to take this opportunity in thanking everybody

who had been of great help in the completion of my project.

We are heartiest thankful to Ms. SWATI JANGID for providing adequate facilities and

all the needed information & guidelines to undertake this research work.

We must take this opportunity to express our highly thankful to our team members,

public generally, booth & parlor in charge for arranging all the facilities in order to

prepare the research work.

I would also like to thank the supporting staff Mr. MANISH SHRIVASTVA, Head of

the Department, M.B.A. for their help and cooperation throughout our project.

(Jaipravesh Yadav)

3
 EXECUTIVE SUMMARY

Marketing should not be looked upon in a vacuum or in isolation. It is an essence

taking a view of the whole business organization and its ultimate objective concern
for marketing must penetrate all areas of the enterprise. A market survey in today’s
competitive world is a must for every organization.

Through market survey it is easy to find out consumer perception about product and
services. It is possible to find out the reason of success and failure of the
organization.

4
 CONTENTS

1. INTRODUCTION TO THE INDUSTRY

2. INTRODUCTION TO THE ORGANISATION
3. RESEARCH METHODOLOGY
3.1 TITLE OF THE STUDY
3.2 DURATION OF THE PROJECT
3.3 OBJECTIVE OF THE STUDY
3.4 TYPE OF RESEARCH
3.5 SAMPLE SIZE AND METHOD OF SELECTING SAMPLE
3.6 SCOPE OF STUDY
3.7 LIMITATION OF THE STUDY
4. FACT & FINDINGS
5. ANALYSIS AND INTERPRETATION
6. SWOT ANALYSIS
7. CONCLUSION
8. RECOMMENDATION & SUGGESTION
9. APPENDIX
10. BIBLIOGRAPHY

5
1. INTRODUCTION TO THE INDUSTRY

INDIAN DAIRY INDUSTRY

The dairy sector in the India has shown remarkable development in the past decade
and India has now become one of the largest producers of milk and value-added
milk products in the world. The dairy sector has developed through co-operatives in
many parts of the State. During 1997-98, the State had 60 milk processing plants
with an aggregate processing capacity of 5.8 million litres per day. In addition to
these processing plants, 123 Government and 33 co-operatives milk chilling centres
operate in the State.

With the increase in milk production. Maharashtra now regularly exports milk to
neighboring states. It has also initiated a free school feeding scheme, benefiting
more than three million school children from over 19,000 schools all over the State.

Indian dairy industry (INTRODUCTION)

Dairy is a place where handling of milk and milk products is done and technology
refers to the application of scientific knowledge for practical purposes. Dairy
technology has been defined as that branch of dairy science, which deals with the
processing of milk and the manufacture of milk products on an industrial scale.

In developed dairying countries such as the U.S.A., the year 1850 is seen as the
dividing line between farm and factory-scale production. Various factors contributed
to this change in these countries, viz. concentration of population in cities where jobs
were plentiful, rapid industrialization, improvement of transportation facilities,
development of machines, etc. whereas the rural areas were identified for milk
production, the urban centres were selected for the location of milk processing
plants and product manufacturing factories. These plants and factories were rapidly
expanded and modernized with improved machinery and equipment to secure the
various advantages of large-scale production. Nearly all the milk in the U.S.A. before
1900 was delivered as raw (natural) milk. Once pasteurization was introduced, it

6
developed rapidly. Mechanical refrigeration helped in the rapid development of the
factory system of market milk distribution.

In India, dairying has been practised as a rural cottage industry since the remote
past. Semi-commercial dairying started with the establishment of military dairy farms
and co-operative milk unions throughout the country towards the end of the
nineteenth century.

During the earlier years, each household in those countries maintained its ‘family
cow’ or secured milk from its neighbour who supplied those living close by. As the
urban population increased, fewer households could keep a cow for private use. The
high cost of milk production, problems of sanitation etc., restricted the practice; and
gradually the family cow in the city was eliminated and city cattle were all sent back
to the rural areas.

Gradually farmers within easy driving distance began delivering milk over regular
routes in the cities. This was the beginning of the fluid milk-sheds which surround
the large cities of today. Prior to the 1850s most milk was necessarily produced
within a short distance of the place of consumption because of lack of suitable
means of transportation and refrigeration.

The Indian Dairy Industry has made rapid progress since Independence. A large
number of modern milk plants and product factories have since been established.
These organized dairies have been successfully engaged in the routine commercial
production of pasteurized bottled milk and various Western and Indian dairy
products. With modern knowledge of the protection of milk during transportation, it
became possible to locate dairies where land was less expensive and crops could
be grown more economically.

In India, the market milk technology may be considered to have commenced in

1950, with the functioning of the Central Dairy of Aarey Milk Colony, and milk product
technology in 1956 with the establishment of AMUL Dairy, Anand. The industry is still
in its infancy and barely 10% of our total milk production under goes organized
handling.

7
History of Indian Market Milk Industry

Beginning in organized milk handling was made in India with the establishment of
Military Dairy Farms.
 Handling of milk in Co-operative Milk Unions established all over the country
on a small scale in the early stages.
 Long distance refrigerated rail-transport of milk from Anand to Bombay since
1945
 Pasteurization and bottling of milk on a large scale for organized distribution
was started at Aarey (1950), Calcutta (Haringhata, 1959), Delhi (1959), Worli (1961),
Madras (1963) etc.
 Establishment of Milk Plants under the Five-Year Plans for Dairy
Development all over India. These were taken up with the dual object of increasing
the national level of milk consumption and ensuing better returns to the primary milk
producer. Their main aim was to produce more, better and cheaper milk.

DAIRY INDUSTY IN INDIA

More than 2,445 million people economically active in agriculture in the world,
probably 2/3 or even more ¾ of them are wholly or partly dependent on livestock
farming. India is endowed with rich flora & Fauna & continues to be vital avenue for
employment and income generation, especially in rural areas. India, which has 66%
of economically active population, engaged in agriculture, derives 31% of Gross
Domestic Product GDP from agriculture. The share of livestock product is estimated
at 21% of total agricultural sector.

Live stock populations

Number of animals (in thousand)
(Source: production yearbook 1995 /FAO statistics division)

Sheeps Goats Pigs Chickens Cattle

8
 45000 119242 11780 435 194655
Buffaloes Horses Mules Camels
79500 990 1742 1520

(Source Indian Dairy man, 50:1998)

Cattle Buffalo Total (1996)

(millions)
196 80 276
0.68% / year 0.75% / year

World (1996)
1320 151 1471
0.64% / year 0.87% / year

In India In World
28 breeds of cattle 1997 520.6 mt 5.5-0.75%
.2020.620 to 650 mt.
7 breeds of buffalo

Milk Production

1950 – 17 million tonnes

1996 – 70.8 million tonnes

1997 – 74.3 mT

(Projected) 2020 – 240 mT

Expected to reach- 220 to 250 mT – 2020

India contributes to world milk production rise from 12-15 % & it will increase upto
30-35% (year 2020)

9
Average milk production / year

America 6874 Kg/ year

Denmark 6223 Kg/year
Holland 5751 Kg/year
India 552 Kg/year
 Average Productivity
 2.4 kg/day or 732 kg/lactation/cow

China: 1600 kg/lactation

America 7200 kg/lactation

Percapita availability:
Recommanded – 210 gm
India

1950 132 gm
1997 214 gm
2020 290 gm

India contributes 35% of total Asian milk

Dairy Industry profile 1997

Human Population 953 million (70 million dairy farmers)

Milk production 74.3 million tonnes (203.5 million 1 pd)
Average annual growth rate (1996-2000) 5.6%
Per capita milk availability 214 gm/day or 78 kg/year
Milch animals 57 million cows;
39 million buffaloes

Milk yield per breedable bovine in milk 1,250kg

Cattle feed production (organized sector) 1.5 million tonnes
Turnover of veterinary pharmaceuticals Rs 550 crores
Dairy plants throughout 20 mlpd
Throughout as percentage of total milk output 10
Value of output of milk group (1994-95) (Based on producers Rs 50,051 crores

10
price)
Value of output of dairy industry (Based on retail price) Rs 105,000 crores

Projected milk production at different rates of annual growth 1995 to 2000

year @5% @5.5% @6%

1995 66.3 66.3 66.3
1996 69.3 70.0 70.2
1997 73.1 74.0 74.4
1998 76.7 78.0 78.8
1999 80.6 82.3 83.5
2000 84.6 86.8 88.5

Milk Composition

Sr. Constituents Buffalo Cow Goat Liquid skimmed milk

no
1 Moisture (gm) 81.00 87.50 86.80 92.10
2 Protein (gm) 4.30 3.20 3.30 2.50
3 Fat (gm) 6.50 4.10 4.50 0.10
4 Minerals (gm) 0.80 0.80 0.80 0.70
5 Carbohydrates (gm) 5.00 4.40 4.60 4.60
6 Energy calories (kcal) 117.00 67.00 72.00 29.00
7 Calcium (mg) 210.00 120.00 170.00 120.00
8 Phosphorus (mg) 130.00 90.00 120.00 90.00
9 Iron (mg) 0.20 0.20 0.30 0.20

Indian Dairy Products

The term Indian Dairy Products refers to those milk products, which originated in
undivided India.

FLOW CHART OF CONVERSION OF MILK INTO TRADITIONAL INDIAN DAIRY

PRODUCTS

Milk

11
 Cultured Condensed Acid Precipitation

1.Shrikhand 1.Mishti dol 1.Paneer

2.Ghee 2.Rabri 2.Sandesh
3.Lassi 3.Kheer 3.Chhana
4.Rabdi
4.Khoa 4.Rasgoola

5.Pantoda

Burfi Pedha Kalakand 6.Rasmalai

Gulabjamun

Total milk production

In India, the market milk industry may be said to have started in 1950-1 when the
Central Dairy of Aarey Milk Colony was commissioned and went into stream. The
industry is still in its infancy and barely 10 per cent of our total milk production
undergoes organized handling.

India’s position in relation to milk producing countries of the world

(Source: F.A.O, 1970)

Country Animals Milk yield/milking Total milk

in milk cow/annum production
(millions) (kg) (1000 x tonnes)
U.S.S.R 41.2 2200 82,900
U.S.A 14.1 4154 52,800
France 8.7 3130 30,413
India 53.0 B – 450 21,360
C – 157
W. Germany 5.9 3779 22,545
Poland 6.2 2361 14,860
U.K 5.3 3950 13,000

12
Milk production in India

The total milk production in the country for the year 1996-97 was estimated at
68.6million MT. At this production, the per capita availability was to be 20g per day
against the minimum requirement of 250g per day as recommended by ICMI. Thus
there is a tremendous scope for increasing the production. The population of
breeding cows and buffaloes in milk over three years of age was 62.6million and
42.4 million respectively.

Year Production
(Million tonnes)
1951-2 17.5
1956-7 19.7
1961-2 20.4
1968-9 21.2
1973-4 23.2
1978-9 28.6 (estimate)

Species contribution to total milk production in India

Type of milk Total production

Per cent Amt.
(1000 x tonnes)
Cow 33.6 8,400
Buffalo 63.6 15,900
Goat 2.8 681

Density of milk production in India

Category Per village State Per sq. km

Min. 11 kg Assam 2.1 kg
Ave. 88kg Indian Union 15.6 kg
Max. 472 kg Delhi 98.0 kg

Summary of utilization of milk in India

Items Percentage in relation to

13
 Total milk production Total quantity
converted into

milk products
Fluid milk 44.5 -
Manufactured milk 55.5 (100)
Ghee 32.7 58.9
Dahi 7.8 14.0
Butter 6.3 11.4
Khoa 4.9 8.8
Ice cream 0.7 1.3
Cream 1.9 3.4
Other products 1.2 2.2
(Mainly chhana)

Daily per capita milk consumption in some developed countries of the world
(1970)

Country Estimated daily Country Estimated

per capita daily per capita
consumption consumption in terms
in terms of liquid milk (g)
of liquid milk (g)
U.K 1315 France 1335
Australia 1144 W. Germany 1301
New Zealand 2032 Netherlands 1121

Canada 1158 Norway 2046

U.S.A 1003 Sweden 1812
Denmark 1188 Switzerland 1588
Finland 2165

Daily per capita milk consumption in some developing countries of the world
(1975)

Country Estimated daily per Country Estimated daily per

capita consumption capita consumption
in terms of liquid in terms of liquid

14
 milk (g) milk (g)
Bangladesh 51 Israel 577
India 114 Japan 122
Iran 172 Pakistan 225
Iraq 170 Philippines 2

Standards of different milk in India

Class of milk Designation Locality Minimum

% MF %
MSNF
†
Buffalo milk Raw, Assam; Bihar; Chandigarh; 6.0 9.0
pasteurized, Delhi; Gujarat; Maharashtra;
boiled, Haryana; Punjab; Uttar
flavoured and Pradesh; West Bengal
sterilized
- do - Andaman and Nicobar; Andhra 5.0 9.0
Pradesh; Dadra and Nagar-
Haveli; Goa, Daman and Diu;
Kerala, Himachal Pradesh;
Lakshadweep; Tamilnadu;
Madhya Pradesh; Manipur;
Karnataka; Nagaland; NEFA;
Orissa; Pondicherry; Rajasthan;
Tripura
Cow milk - do - Chandigarh; Haryana; Punjab 4.0 8.5
- do - Andaman and Nicobar; Andhra 3.0 9.0
Pradesh; Assam; Bihar; Dadra
and Nagar-Havali; Delhi;
Gujarat; Goa, Daman and Diu;
Himachal Pradesh; Kerala;
Madhya Pradesh; Maharashtra;
Tamilnadu; Karnataka; Manipur;
Nagaland; NEFA; Pondicherry;
Rajasthan; Tripura; Uttar

15
 Pradesh; West Bengal;
Lakshadweep; Orissa
Goat or Raw, Chandigarh; Harayana; Kerala; 3.5 9.0
sheep milk pasteurized, Madhya Pradesh; Maharashtra;
boiled, Punjab; Uttar Pradesh
flavoured and
sterilized
- do - Andaman and Nicobar; Andhra 3.0 9.0
Pradesh; Assam; Bihar; Dadra
and Nagar-Haveli; Delhi; Goa,
Daman and Diu; Gujarat;
Himachal Pradesh;
Lakshadweep; Tamilnadu;
Karnataka; Manipur; Nagaland;
NEFA; Pondicherry; Orissa;
Rajasthan; Tripura; West Bengal
Standardized All India 4.5 8.5
milk
Recombined All India 3.0 8.5
milk
Toned milk All India 3.0 8.5
Double toned All India 1.5 9.0
milk
Skim milk - do - All India Not 8.7
more
than
0.5
(MF-Milk fat, MSNF-Milk solids not fat)

16
2. INTRODUCTION TO ORGANISATION

Towards fulfillment of the national objective of making India self sufficient in milk
production, a small step was taken in March 1975 and Jaipur Zila Dugdh Utpadak
Sahakari Sangh Ltd., Jaipur (Jaipur milk union) was registered under cooperative act
1990 to work in then Jaipur district. Initially this union did not have the processing
facilities. It started with a modest beginning of processing 1800 lit.s of milk per day
from 13 village cooperative societies (DCS).
In June 1981 Jaipur Dairy plant was commissioned as unit of RCDF Ltd., Jaipur. For
processing, and manufacturing milk and milk products. The initial handling capacity
of the dairy plant was 1.5 lakh liters per with a powder plant 10 mt. per day capacity.

In April 1992 the Jaipur dairy plant was handed over to Jaipur Zilla dugdh Utpadak
Sahakari Sangh Ltd. Processing facilities of the Dairy plant presently include
multidimensional activities like chilling, pasteurization, standardization, sterilization,
production of Ghee, Table butter, skimmed milk powder, chach, lassi, paneer,
shrikhand and aseptic milk.
This dairy procures milk through its network of over 650 village level dairy
cooperatives spread in Jaipur and Dausa district. Dausa arranges transportation of
milk from doorsteps of milk producers to the receiving point at dairy plant and its
chilling centers. Payments of milk are disbursed to the milk producers on ten day
basis and activities include Farmer’s org., input services like animal husbandry
health coverage and supply of balanced Cattle feed and improved fodder seeds to
the members, cooperative development program t4aining etc. With the multiple
increases in marketing of milk and milk products and also in milk procurement, the
capacity of the plant was increased to 2.5 lacks liter per day in 98-99.

To improve the quality of raw milk, the dairy is operating three chilling centers at
Kaladera, Dausa, Dudu and shapura. Over the years there has not been looking
back for jaipur Dairy. With the main fold increase in milk procurement and also in

17
marketing of milk and milk products, the capacity of the plant was increased to 2.5
lakh liter per day in 98-99 through its own manpower and financial resources.
Besides the nearby satellite milk union like SIKAR, TONK, SAWAI MADHOPUR and
Bharatpur also sends their milk to JAIPUR Dairy for processing during peak season.
Today Jaipur Dairy provides liquid milk of 4 types by namely toned, double toned,
standard, and gold and various other milk products like Ghee, Paneer, Table Butter,
Chhach, Lassi, Shrikhand, in the JAIPURand DAUSAand also contributes to the
National grid. It sells milk products like tetra pack throughout the country.

The plant is managed and operated by well qualified, competent, and experienced
managerial care and highly motivated work force to provide highest quality of
product band best of the services to our esteemed customers. To further improve the
efficiency and effectiveness of the plant performance, jaipur Zila Dugdh Utpadak
Sahakari Sangh Ltd., jaipur has embarked on implementation of ISO-9002 quality
management and hazard analysis and critical control points (HACCP) system in the
plant operation to eventually get international certification.

Towards automation of Dairy collection systems, the modern electronic based milk
testing technology has been introduced art village level. The Dairy has equipped
over 260 DCSs with Automatic milk collection stations (AMCS), which can be
interfaced with a PC, and over 300 DCSs with Electronic Milco Testers (EMT) till
date. Further, the can reception system are Dairy plant has also been atomized and
computerized, which is first of its kind in India. Jaipur Dairy sells liquid milk under the
brand name of “SARAS” in jaipur and more than 52 nearby towns through the net
work of over 3500 retail outlets.
The Dairy also serves the nation by supplying UHT milk to the armed forces at
remote places like siachin, Shrinagar, Kargil, Jaisalmer etc.
Towards fulfilling the social objective, Dairy has undertaken various developmental
programs, women development and empowerment is the most important one. As of
now, over 15000 women are contributing through over 350 all women DCSs. Other
programs like Income Generation, health and sanitation, adult education are being
implemented through these women DCSs.Apart from the milk procurement dairy
also provides services at the doorsteps of milk producer’s viz. Animal health care,
Animal breeding, balanced cattle feed, high yield and improved fodder seeds,

18
personal and accidental insurance coverage to the members and DCSs manpower
training etc.

With the collective effort and adoption of business strategy, the annual turnover of
the Dairy has now reached over Rs. 130 crores. The equity based of the Dairy has
also been enlarged to Rs. 5.00 crores

INTRODUCTION

Registered March 1975

Plant commissioned June 1981
APS April 1984
Coverage Jaipur & Dausa
Started with 25 DCS

Towards fulfillment of the national objective of making India self sufficient in milk
production, a small step was taken in March 1975 and Jaipur Zila Dugdh Utpadak
Sahakari Sangh Ltd., Jaipur (popularly known as Jaipur Dairy) was registered under
Cooperative Act 1965 to work in then Jaipur District. Initially this union did not have
the processing facilities. It started with a modest beginning of procuring 250 liters of
milk per day.

The initial handling capacity of the dairy plant was 1.5 Lakh Lt. per day with a
powder plant of 10 MT per day capacity, which was commissioned in the year 1981

19
under Operation Flood Program 1 by National Dairy Development Board for service
of thousands of rural farmers families of Jaipur.

Over the years, there has not been looking back for Jaipur Dairy and the significant
growth has been made in all fields i.e. procurement, processing and production of
various milk and milk products and marketing thereof under the brand name of
SARAS. The plant is managed and operated by well-qualified, competent and
experienced managerial cadre and highly motivated work force to provide highest
quality of products and best of the services to our esteemed customers.

To further improve the efficiency and effectiveness of the plant performance, Jaipur
Dairy (Jaipur Zila Dugdh Utpadak Sahakari Sangh Ltd., Jaipur) had earlier obtained
the Quality Management Systems Certification as per ISO 9002:1994 in combination
with IS: 15000 (HACCP) in the year 2000. Now the dairy has upgraded the system in
accordance with ISO: 9001: 2000 in combination with (HACCP) as per IS: 15000:
1998.

20
Chairman

Dear Viewers,

Since the inception, Jaipur Milk Union has always worked hard for betterment and
social upliftment of thousands of landless and marginal rural farmers of Jaipur and
Dausa district by following the principles of Cooperative Movement. I feel, Jaipur
Dairy has been able to help its producers members in hour of need, as this
organization of 'For the farmers, Of the farmers & By the Farmers'.

On the other hand, Jaipur Dairy has also taken care for utmost satisfaction of its
consumers by providing them quality milk products at reasonable price. Many new
products have been launched to cater the need of various segments of its
consumers belonging to all age groups.

We strive for continual improvement.

(Om Prakash Punia)

Chairman

21
Rajasthan Dairy Federation

In addition to provision of regular and remunerative market for milk to the farmers
the dairy cooperative development programme also provides input and services for
promoting animal health and production enhancement of milk animals

A. Animal Health Programme (AH)

Veterinary services like first aid, medical treatment and vaccinations are being
provided to the members by the milk unions.
· First aid is provided at the village at the DCS.
· Regular scheduled services are provided by mobile units and at veterinary camps.
· Emergeny services provide veterinary care at the farmer's doorstep.
. Progress under AH programme.

B. Breed Improvement

1. Artificial Insemination Programme (AI): Artificial Insemination Programme has

been undertaken by RCDF. To supply the frozen semen to the AI Centres of Milk
Unions as well as to A.H. Department, an ultramodern Frozen Semen Station is
established at Bassi which supplies the Semen of high pedigree exotic and native
breeds.
Progress under AI programme

2. Natural Services (NS): Bulls of improved breeds are provided at dairy

cooperative societies where AI activities are not much feasible.
Progress under NS programme

C. Cattle Feed
Balanced cattle feed is being manufactured by four cattle feed plants viz. Ajmer,
Bikaner, Jodhpur and Nadbai. The milk unions make feed available to the farmers

22
via village cooperative societies. The available range of Cattle Feed are balanced
cattle feed, high energy feed, calf starter & Cattle feed supplements like Urea
molasses bricks (UMB) and Mineral mixture.

D. Fodder Development : Under the recent major input programme the fodder
development activities have been taken by RCDF through which the major fodder
crops and their seed is grown on Rojhri, Bassi and Pal Farms and seed is supplied
to the dairy farmers on no profit-no loss basis. The major fodder crops are lucerne,
oat, bajra, barseem Sorghum Sudan Grass etc. The federation also procures quality
seeds from other agencies & provides them to the farmers.

Rajasthan with a geographical area of 3,42,239 sq. kms is India's largest state with
population of 56 million and a density of 165 persons per sq. kms. The state is
characterised by diverse terrain ranging from desert and semi-arid regions of
western Rajasthan to the greener belts east of the Aravalis and the hilly tribal tracts
in the south-east.

More than 60 percent of the state's area is desert with sparsely distributed
population. Agriculture is dependent on rainfall and failure of monsoon causes
severe drought and scarcity conditions. It is deficient in water (the state has only 1%
of total surface water). Ground water at many places is unfit for human & livestock
consumption.

After agriculture, cattle and other livestock are the most important sources of
livelihood in the state, especially for the poor. In the western regions of the state,
with limited farming potential, livestock provides livelihood security. Animal
husbandry is a more stable source of livelihood than farming since it is less affected
by failure of rains than is agriculture.

Agriculture and dairying have always been inter-dependent in the state. The
cultivator depends largely on bullock power for tillage, irrigation and carting. Milk and
milk products constitute the only source of animal protein for a sizable vegetarian

23
population. Milk is also an item of cultural importance. Milk products are a integral
constituent of religious ceremonies.

Animal husbandry contributes over 13% to the gross domestic product. Rajasthan
with the highest livestock population in India contributes nearly 40% of wool
production and 10% of all milk production in the country.

Notable cattle breeds of the state are Gir in Ajmer and Bhilwara, Tharparkar in
Jaisalmer, Barmer & Jodhpur, Haryana in Sikar, Jhunjhunu, Jaipur & Ganganagar,
Kankrej in Barmer, Jalore, Sanchor & Jodhpur, Rathi in Bikaner & adjoining
areas.Amongst buffaloes surti buffalo is a distinguished breed found in Udaipur and
adjoining area.

The marketing activities of the Federation include providing support to the Milk
Unions in milk and milk products within and outside the State. RCDF is presently
marketing milk & milk products under Saras brand :

Fresh milk of different compositions and long shelf life tetra pak milk is being
marketed in rural and urban areas. The Federation is a major supplier of tetra pak
milk (UHT) to the armed forces.

RCDF is also marketing various fresh milk products in Saras brand, which are,
Chhach, Lassi, Shrikhand, Flavoured Milk, Mawa, Paneer and Dahi. Long life
products such as Cow ghee, Ghee, Table Butter, Dairy Whitener, Skim Milk Powder,
WMP and Tetra Pak Milk (Cow Milk, Taza Milk and Fit and Fine) are also being
marketed.

Saras Milk Parlours serving a complete range of milk products are operational at
476 points in Rajasthan.

Presently Saras brand is being marketed through a network of 17972 outlets

24
.

Dairy development was initiated by the state government in the early seventies
under the auspices of Rajasthan State Dairy Development Corporation(RSDDC)
registered in 1975. Two years later RCDF assumed responsibility for many of the
functions of RSDDC. It became the nodal agency for implementation of operation
flood in the state.

Rajasthan Cooperative Dairy Federation (RCDF) set up in 1977 as the

implementing agency for dairy development programmes in Rajasthan is registered
as a society under the Rajasthan cooperative societies act 1965.

The dairy co-operative movement operates on three tier system wherein farmer
members own dairy co-operative societies (DCS) which own district milk producer's
union. The unions collectively own the RCDF.

It is a vertically integrated structure that establishes a direct linkage between those

who produce the milk and those who consume it.

Federation - Provides service & support to unions. Marketing within & outside state,
Liaison with government and NGO agencies, mobilisation of resources &
coordinating & planning programmes / projects.

Union - Develops village milk cooperative network, procures milk from DCS,
processes & markets. Sale of cattle feed and related inputs, promotion of cross
breeding through AI and NS, promotion of fodder development and general support
& supervision to DCS.

DCS - Provides input services(AH, AI) to its members and procurement of milk.

25
26
27
28
29
Jaipur milk plant was established in 1981. Initially the Dairy plant was a unit of RCDF
Ltd. At the time of establishment its capacity was 1.5 lack it. Per day. A powder plant
of 10 MT was also established. For the first 10 years plant was not used to its full
capacity due to low milk procurement.
At that time the refrigeration centers of DAUSA, KOTPUTLI, RINGAS, and
MALPURA and GANGA NAGER city were also being operated as a part of Jaipur
dairy. In 1992 state government transferred these refrigeration centers to the
corresponding milk unions.
Due to higher milk collection, rising need of milk in Jaipur city and to bring qualitative
improvement in milk the plant was modernized and its capacity was increased from
1.5 lack liters to 5 lack liter in 2006-2007.

30
THE IMPORTANT BRANDS OF UHT MILK SOLD IN INDIA ARE:-

1. VIJAYA

2. AAVIN

3. VERKA

4. SARAS

5. MILMA

6. SANGAM

7. GAGAN

8. KENVENTERS

9. SHIV AMUL DAIRY

31
ORGANISATION Structure of Jaipur dairy

BOARD OF
DIRECTORS

MANAGING
DIRECTOR

MAINTAINANCE /
PRODUCTION
ENGINEERING DY.
MANAGER

MARKETING DY. PROCUREMENT

MANAGER (1&2) MANAGER

ACCOUNTS DY.
MANAGER

32
ORGANISATION chart marketing section

MANAGING
DIRECTOR.

ASSISTANT DEPUTY MANAGER

MANAGER (SALES) (SALE)

ASSISTANT
JUNIOR ACCOUNT
MANAGER

ACCOUNT
MILK BARS
ASSISTANT

OFFICE STAFRF
(OFFICE
MANAGEMENT)

SALES
REPRESENTATIVE

33
General Review
 Indian dairy emerging as sunrise industry and contributes significantly in
generating small and marginal farmers of rural India, besides providing food security.
 India is blessed with huge bovine population of 196 million cattle and 80
million buffaloes accounting for 51% if Asia and 19% of world bovine population –
the largest in the world.
 Milk production in India has increased from 20 million tones to during 1970
to 77 million in 1999 which accounts for 20% of the world’s milk production and
stood first in the world’s milk production and registering an annual growth rate of 5 %
per year.
 India’s dairy industry generates an annual business of nearly Rs. 88,000
crore.
 Dairy sector provides regular employment to 9.8 million people in principal
status and 8.6 million people in subsidiary status, which together constitute 5
percent of total work force.
 Dairy development owes much to the Anand pattern of cooperative.
 The dairy infrastructure now comprises 23 states federation, 170 district
milk unions and around 1,00,000 village cooperative societies, through which rural

34
milk production and procurement system have been effectively linked to urban
markets consumption centers.
 Of every 100 liters of milk produced, 44 liters were retained by the rural fold
and 56 liters were the marketable surplus for the urban area. Of which only 10 liters
was handled by the organized sector cooperative and remaining by traditional
sector.
 Operation flood brought milk revolution in the country by transforming
dairying into a core economic activity. The main challenges before the Indian dairy
sector to improving quality, developing international accepted products and stepping
up global marketing strategy.
 The future of the Indian dairy industry is promising, since its de-licensing in
1992, the interest of multinationals and Indian corporate in the industry has been
growing, and the industry’s growth potential is high as there is sufficient domestic
demand and good scope for exports of milk and milk products.
 India is emerging as one of the largest and fastest growing consumers
market in the world with high-income elasticity of demand of dairy product. Indian
dairying is energy-efficient, labour intensive and ecological sound.
 Over 80% of milk sold in urban & semi urban areas is non-pasteurized from
unorganized sector. The overall market for liquid milk is growing 4 percent per
annum.

MARKETING STRATEGY OF JAIPUR DAIRY

According to American Marketing Association- marketing is the performance of

business activities that direct the flow of goods and service from producer to
consumer or user.
According to William J. Stanton ‘Marketing is a total system of interacting business
activities designed to plan, price, promote and distribute want to satisfying products
and services to present and potential consumer, Cardiff and still have defined the
marketing management as a branch off the broad area of management conceived
with the direction of purposeful activity towards the attainment of marketing goals.

35
In general; Marketing management is the process of planning and executing the
conception, pricing, promotion and service the create exchange that satisfy
individual and organizational goals.
This definition recognizes that marketing management is a process involving and
analysis, planning implementation and control, that it covers goods and services to
create exchange that satisfy individual and organizational goals.

PRICE LIST OF SARAS MILK PRODUCTS

JAIPUR ZILA DUGDH UTPADAK SAHAKARI SANGH LTD.JAIPUR

PRICE OF SARAS MILK PRODUCTS AS ON 23rd APRIL, 2008

PRODUCTS PARLOR PRICE MRP.

Ghee 1 lt. 167.70 180
Ghee ½ lt. 84.98 91.50
15 kg. tin 2437.50 2475
Cow ghee1 lt. 176.43 190
Cow ghee15 kg. 2587.50 2625
Table butter100gm. 15 18
Table butter500gm 150 187
White butter500gm 154 87
Paneer 200 gm 23 26
Paneer 1kg 115.50 130
Lassi 250ml 6.70 8
Chhach 250ml 5.70 7
Plain chach 1/2ml 6.40 7
Shrikhand 100gm plain 7.40 9
Shrikhand 100gm kp 8.70 10

36
Shrikhand 500 gm kp 39 45
Dahi cup 200 gm 7 8
Rasgulla 54 62
Milk cake 59 65
Fla.milk 200ml 9.25 11
DTM 1/2lt 8.20 8.50
DTM 1lt 16.40 17
Tonned 1/2lt 9.20 9.50
Tonned 1lt 18.40 19
Standard1/2lt 10.20 10.50
Standard 1lt 20.40 21
Gold 1/2lt 11.20 12
Gold 1lt 23.40 24
DTM 5lt 77.50 82.50
Gold 5lt 110 115
Fit n fine 25.50 29
Cow milk(bricks)excel 28 32
Cow milk(fino)1/2 27 32
Taza milk 27 31
Cheese 400 gm 75 90
Cheese 200 gm 36 45

37
CONSUMER PREFERENCE

Preference (also called "taste" or "penchant") is a concept, used in the social

sciences, particularly economics. It assumes a real or imagined "choice" between

alternatives and the possibility of rank ordering of these alternatives, based on

happiness, satisfaction, gratification, enjoyment, utility they provide. More generally,

it can be seen as a source of motivation. In cognitive sciences, individual

preferences enable choice of objectives/goals.

a. The selecting of someone or something over another or others.

b. The right or chance to so choose.

c. Someone or something so chosen. See synonyms at choice.

d. A priority of payment given to one or more creditors by an insolvent debtor.

e. The right of a creditor to priority of payment.

Consumer preference for a product may be defined as the priority for a product over

other product. We can understand consumer preference by following example-

Suppose the consumer has an apple, and prefers apples to oranges, oranges to

bananas, and bananas to apples. Then, the consumer would be prepared to pay,

say, one cent to trade their apple for a banana, because they prefer bananas to

apples. After that, they would pay another cent to trade their banana for an orange,

and again the orange for an apple, and so on.

38
 Consumer preferences generally influenced by reference group. Reference

group is any person or group that serves as a point of comparison (or reference) for

an individual informing either general or specific value, attitudes or behavior. This

basic concept provides a valuable perspective for understanding the impact of other

people on a individuals consumption beliefs, attitudes, and behavior.

Types of reference group:

Family

Friends

Social class

Selected subcultures

One’s own culture

Other culture

Consumer preference is influenced by reference group. Marketers are

traditionally interested in the ability of reference groups to change consumer

preferences and consumer behavior. To be capable of such influence, a reference

group must:

I. Inform or make the individual aware of a specific product or brand.

II. Provide the individual with the opportunity to compare his or her own thinking with

the attitude and preference of the group.

III. Influence the individual to adopt attitudes and behavior that are consistent with the

norms of group.

IV. Legitimize an individual’s decision to use the same product as the group.

39
How group membership affects brand choice often depends on the specific product

(e.g. Pizza versus toothpaste), the type of social relationship (roommate, friends, or

dates) and the social structure of the group (extend of personal ties between group

member).

Realizing the power of reference group and their influence on consumers’

conformity, a new brand or a brand that is not the market leader may want to elect a

strategy that asks consumer to strike out and be innovative and not just follow the

crowd when making a purchase decision.

Market share:

Market share of a company is the total market captured by that company in an

industry. Market share tells about the success of a company. Every company tries to

increase its market share.

Research has established that for surviving brand market brand pioneer has a

higher average market share than later entrants. By moving first, market pioneers

often develop sustainable market share advantage using two lead-time measure,

this prediction is supported across 34 categories of frequently purchased consumer

goods. Increasing the year of competitive rivalry should help a later entrant slowly

reduce the pioneer market share advantage. After more than 2 decades in the

market, second entrant have eliminated the pioneers market share advantage, but

third and later entrants continue to trail the pioneer.

40
Relation between market share and consumer preference

There is a great impact of consumer preference on market share. The more will be

the preference of the product, the more will be the market share of the product. They

are directly proportional to each other.

REFERENCE GROUP

FAMILY

OTHETR
FRIENDS
CULTURE

INDIVIDUAL

ONE’S OWN SOCIAL

CULTURE CLASS

SUB
CULTURES

41
FACTORS AFFECTING CONSUMER BEHAVIOUR (PERSONAL)

PERSONAL INFLUENCE

AGE AND FAMILY LIFE

OCCUPATION
CYCLE STAGE

PERSONALITY & SELF

ECONOMIC SITUATION
CONCEPT

LIFE STYLE IDENTIFICATION

ACTIVITIES OPINIONS

INTEREST

42
How reference group influence consumption

Reference group affect consumer through a variety of means through norms.

Through information and through influencing the value expressive needs of

consumer. They influence consumer through bringing about attitude change by

encouraging the expression of certain value and attitudes expressed through the

group. Because an individual wants to be a part of group, he or she will be

influenced by the value and attitude of the group.

Furthermore, groups whose members exhibit similar social

characteristics are more susceptible to the attitude change than groups whose

members are less homogeneous thus; people frequently buy products that other in

their group buy. We must remember, of course, that individual who feel a strong

sense of identification with a group do so because they drive strong psychological or

material benefit from being associated with the group.

Role of print media and broadcast media in consumer preferences:

To send out programmer on television, radio through signal and network is known as

broadcasting.

These media services are increasing aggressively after independence. Consumer

preference is influenced by broadcasting media as through broadcasting media

sponsor can communicate with target audience through audios and videos.

43
Consumer preference can be increased through broadcasting media. With the help

of broadcasting media we can increase our brand image and so consumer

preference for our product. Through attractive advertisements on televisions on

prime time can increase our brand image as well as preference for the product.

Print media:

Print media as anyone can understand is one of the most important factors coming

through in the way a nation works. Newspaper, magazines, books are read by lot of

people and trusted as well and are the main tools of print media.

Print media is similar to broadcasting media in terms of influencing consumer

preferences. Through advertisement in newspaper, magazines consumer preference

can be increased. The main benefit of print media is that it can be published in many

languages. And can be published in local language and so may be helpful in

increasing preference over other similar product.

44
NOT ONLY THE MEDIA BUT THE DEPARMANTS AND ANNUAL

PLANS AND STRATEGIES ALSO PLAYS A SIGNIFICANT ROLE IN

INCREASING MARKET SHARE OF A PRODUCT,LIKE IN SARAS:

DAIRY–PROSPECTIVE PLAN FOR 2020

The milk union takes care of all actives of milk enhancement programmer including

cooperatives, milk procurement, processing, input activities and quality assurance

etc.

The basic aim is the improvement of socio-economic status of rural masses by

strengthening and up-gradation of live stock development activities in the milk shed

including creation of stock development activities in the milk-shed including creation

of required infrastructure with active participation of local people. The milk union

through its 782 dairy cooperative societies in the villages is covering almost 750

villages.

These societies are benefiting about 51797 families by providing remunerative

marketing for the milk they sale to the cooperatives.

Besides, a door step market for the milk they produce, union also provide Animal

Health care, breeding, balanced cattle feed and quality fodder seed. The main

activities are:

1. Infrastructure Processing

2. Cooperative Services – Milk Procurement

3. Productivity Enhancement & Training

4. Market Development

5. Quality & Plant Management

45
ADMINISTRATION DEPARTMENT

 FUNCTIONS

1. Maintenance of attendance.

2. Establishment of billing.

3. Maintenance of service records.

4. Domestic enquiry.

5. To maintain shifts timing.

6. To look after recruitment process.

7. Conducting training to the new employees and also to the existing once.

RESPONSIBILITIES OF ADMINISTRATION DEPARTMENT

 To look after the overall administration of time office management.

 Conducting training to the new employees and also to the existing once.

 To look after over recruitment process.

 To maintain shifts timings.

MARKETING DEPARTMENT

The marketing department is the nearest of any organization. In today’s highly

complex and competitive world, marketing is the tool, which has to be derived

properly to sell the product. Marketing is the more of a complex job and it requires a

great deal of the knowledge about the market that its competitors. The marketing

management requires planning, analyzing, implementing and controlling of

46
programmes designing to create, build and maintain beneficial exchange with target

buyers for the purpose of achieving organization objective.

OFFICE WORK:-

1. Checking daily sales as per the respective agents.

2. Finding new areas where there is demand for milk.

3. Issuing tender and receiving application for opening new parlors and

agencies.

4. Fixing/organizing milk distribution routes.

5. Sending of milk / milk products as per the indent.

6. Keeping in track of the timing of vehicles and timely supply of milk.

7. Collection of cash from agents and depositing the same to the milk.

8. Attending complaints from the agents.

9. Meeting agents to solve their problems.

10. Draw new advertising strategy.

FIELD WORK:-

Sales promotional activities like advertisement in reality selling. The product in

the real marketing is very hard and tough job. The marketing officer has to go the

field and study the market and they have to plan the strategy.

2. Strategy

 To serve as an instrument of the national to achieve self reliance in the

design, development and Quality Production of SARAS Products to meet the

47
 customer’s changing and growing needs with special emphasis on military

requirements.

 In fulfillment as this objectives, the company shall regard itself fundamentally

responsible design and developments, relying however on such relevant

facilities as are available in other National institution but always holding itself

basically responsible for the growth.

 To conduct its business economically and efficiently that it contribute its due

share to the National Efforts to active self reliance and self generating

economy.

 Towards this end to develop, maintain an organization which will rapidly

respond to and adopt the changing Matrix as socioeconomic relationship and

where in a climate as growing technical competence.

 Self discipline, mutual understanding deep commitment and sense of

belongingness will be fostered and each employee will be encouraged to grow

with accordance to his potential for the furtherance as organizational goals.

 Consistent with the basic objectives of the state the personal department of

the corporate office has adopted certain specific objectives, which will act as a

source as inspiration and guidance in evolving per sonnet policies and

roaming rules and regulations for growth and development or employees and

to ensure their deep commitment and sense of belongingness to the

company, and the objectives are stated below.

1. Insure equality at all the levels and provide them the right work

Environment, job satisfaction and professional challenges.

2. Provide healthy blend or employee who have grown with original those

Selected from outside

48
3. System

The stores Department in saras follow the Codex system (Coded Control

system). A card is maintained for each item and a number is allotted. The card is

attached to each article consists of amount balance, date of issue, purchase etc.

this is later recorded in separate ledger book. The inventories are of different kind

ranging from mechanical, spares, packing items to animal drugs etc.

This department has the following services:

 It tries to maintain maximum and minimum level of inventory

 Ordinary and locally available commodities are maintained at minimum

possible level.

4. Staffing

The staff deals with the various personnel policies followed by the

organization. Below are given the personnel policies followed by the organization.

Personnel policies:

There are around 240 employees working. There are various policies

followed. The Administrative department forms the policies.A better environment and

different strategies can make a employee more competetnt.And finally it will overall

contributes in increasing organization effectiveness

Recruitment and Selection:

49
 Due to registration, termination, retirement and transfers the concerned

department head will give the manpower requirements along with the job description.

The manpower sourcing is done through advertisement, manpower

consultant, and employment exchanges and personnel reference.

Promotion:

Promotion is on the basis of seniority.

Induction:

After an employee is employed in saras, he\ she has to make familiar to the

union and also to know the objective, value, functions and the operations. This helps

the employees to interact with senior staff members from various departments.

Salaries and Employee Benefits:

Gross salary:

A regular staff member in the union will have a gross salary consisting of

basic salary, dearness allowance, cca, house rent allowance and conveyance

allowance.

Other facilities:

 Shift allowance

 Canteen facility

50
5. Skills

These are the distinctive competencies that are present in the organization it

is the design and development of products quality and service or viability of product.

The employees in this organization also have all the distinctive skills that are

required for the undertakings of research and development activities. The BEMUL is

improving the employee’s skills and techniques through motivating them and giving

proper training to them also through giving proper working condition.

6. Style

a) BEMUL has top to bottom or top down style system.

b) The style of organization is authoritarian. It means management cadre follows

authoritative.

The indicators of the style are:

 Follows rules and orders

 Reliable and dependable

Decision making parameter for day-to-day operation:

Top manager will tell marketing manager to collect information regarding daily

requi9rementsw of the sale of milk and milk products based on demand. Then this

information will provided to production department indicating production activities

7. Shared Values

The core or fundamental values that are widely share in the organization and

serve as guidelines that are important, these values have great meaning because

they focus attention and provide broader since of purpose.

51
The values of the organizations are

1) Customer Satisfaction

2) Commitment to total quality

3) Cost and time consciousness

4) Innovative and creative

5) Trust and team spirit

6) Respect for individually

7) Integrity

52
3. Research Methodology

53
3.1 TITLE OF THE STUDY

“Title of the study is consumer preference and market share of

SARAS dairy.”

3.2 DURATION OF THE STUDY

It was a short term project.

3.3 RESEARCH OBJECTIVES

1. RESEARCH PROBLEM .

 Seek the general perception of consumer towards SARAS PRODUCT.

 To find the performance of SARAS PRODUCT vis-à-vis other Brands.

 To know the consumer psyche and their behaviour towards SARAS

PRODUCT.

54
2. RESEARCH OBJECTIVES

 To know the relationship of sales with the advertisement.

 To know awareness of people towards Saras product.

 To know in which segment saras are mostly like/preferred.

 To know which advertisement tool is mostly preferred by people.

 To know the preference of Saras product with comparison to

Other competitive brands.

 To know the factors which affects consumer’s buying behaviour

to purchase Saras brand.

3.4 TYPE OF RESEARCH

Marketing research plays an important role in the process of marketing. Starting with

market component of the total marketing talks. It helps the firm to acquire a better

understanding of the consumers, the competition and the marketing environment.

55
MAIN STEPS INVOLVED IN MARKETING RESEARCH

Defining the Marketing Problem to be tackled and identifying the market research

problem involved in the task.

(1) Define the problem and its objectives.

(2) Identify the problem.

(3) Determine the information needed.

(4) Determine the sources of information.

(5) Decide research methods.

(6) Tabulate, Analyze and interpret the data.

(7) Prepare research report.

(8) Follow-up the study.

(1) Define the problem and its objectives :-

This includes an effective job in planning and designing a research project that will

provide the needed information. It also includes the establishment of a general

framework of major marketing elements such as the industry elements, competitive

elements, marketing elements and company elements.

(2) Identify the problem :-

Identifying the problem involves getting acquainted with the company, its business,

its products and market environment, advertising by means of library consultation

and extensive interviewing of company’s officials.

56
(3) Determining the specific Information needed :-

In general the producer, the manufacturer, the wholesaler and the retailer try to find

out four things namely :-

(1) What to sell

(2) When to sell

(3) Where to sell

(4) How to sell

(4) Determine the sources of information :-

(a) Primary Data :- Primary datas are those which are gathered specially for the

project at hand, directly – e.g. through questionnaires & interviews. Primary data

sources include company salesman, middleman, consumers, buyers, trade

association’s executives & other businessman & even competitors.

(b) Secondary Data :- These are generally published sources, which have been

collected originally for some other purpose. Source are internal company records,

government publication, reports & publication, reports & journals, trade, professional

and business associations publications & reports.

(4) Decide Research methods for collecting data :-

If it is found that the secondary data cannot be of much use, collection of primary

data become necessary. Three widely used methods of gathering primary data are:

A) Survey

B) Observation

C) Experimentation

57
A) Survey Method :- In this method, information gathered directly from individual

respondents, either through personal interviews or through mail questionnaires or

telephone interviews.

B) Observation Method :- The research data are gathered through observing and

recording their actions in a marketing situation. This technique is highly accurate. It

is rather an expensive technique.

C) Experimental Method :- This method involves carrying out a small scale trial

solution to a problem, while at the same time, attempting to control all factors

relevant to the problem. The main assumption here is that the test conditions are

essentially the same as those that will be encountered later when conclusions

derived from the experiment are applied to a broader marketing area.

D) The Panel Research :- In this technique the same group of respondents is

contacted for more then one occasion; and the information obtained to find out if

there has been any in their taste demand or they want any special quality, color,

size, packing in the product.

a) Preparation of questionnaire

b) Presetting of questionnaire

c) Planning of the sample

(5) Tabulate, Analysis and Interpret the Data :-

The report must give/contain the following information:-

a) The title of research

b) The name of the organization for which it has been Conducted

c) The objectives of research

d) The methodology used

58
e) Organization and the planning of the report

f) A table of contents along with charts and diagrams used in the reports

g) The main report containing the findings

h) Conclusion arrived at end recommendations suggested

i) Appendices (containing questionnaire / forms used sample design,

instructions.)

(6) Follow-up the study :-

The researchers, in the last stage, should follow up this study to find if his

recommendation are being implemented and if not, why.

3. Information requirement

 First, I had to know about all the competitors present in the dairy

Segment (Reputed and well established brands as well as Local brands).

 Before going for the survey I had to know the comparative packs and prices

of all the competitors existing in the market.

 As dairy products are different, the main information needed is the various

types of dairy product available in the market, their calorific value and various other

facts. They can be termed as :

 As dairy product advertisements are mainly done through hoardings but on

television the advertisement is being telecasted timely and on the proper time or not.

59
4. Choice of research design – alternatives & choice

Despite the difficulty of establishing an entirely satisfactory classification system, it is

helpful to classify marketing research on the basis of the fundamental objectives of

the research. Consideration of the different types, their applicability, their strengths,

and their weakness will help the student to select the type best suited to a specific

problem.

The two general types of research are:

EXPLORATORY RESEARCH

Exploratory research seeks to discover new relationship, emphasis on discovery of

ideas.

Marketing researches devote a significant portion of their work on exploratory

studies when very little is known about the problem being examined.

CONCLUSIVE RESEARCH

Conclusive studies attempts to determine the frequency with which something

occurs or the relationship between two phenomenons. Usually conclusive studies

assume certain under underlying characteristics of the market or have some precise

statement of research questions/hypothesis.

60
5. RESEARCH INSTRUMENT USED - DETAILS & WHY?

If one wants to know what type of dentifrice people use, what they think of, television

commercials, or why they buy particular brands of cars, the natural procedure is to

ask them. Thus, the questionnaire method has come to be the more widely used of

the two data collection method. Many consumers are now familiar with the telephone

caller who greets them with “We are making a survey”, and then proceeds to ask a

series of questions. Some interviews are conducted in person, others by telephone,

and others by mail. Each of these has its special advantages and disadvantages and

limitations. The questionnaire method in general, however, has a number of

pervasive advantages and disadvantages. Discussion of particular variations will be

more meaningful if these characteristics of the general methods are brought out first.

A questionnaire consists of list of questions to be asked from the respondents and

the space provided to record the answer / responses. Questionnaire can be used for

the personal interviews, focus groups, mails and telephonic interviews. The choice

among these alternatives is largely determined by the type of information to be

obtained and by the type of respondents from whom it is to be obtained.

The common factor in all varieties of the questionnaire method is this reliance on

verbal responses to question, written or oral.

Questionnaire in the project consists of:

 Multiple choice questions

 Dicthomus

61
MULTIPLE CHOICE QUESTION:

Questions of this type offer the respondents an alternative to choose the

right answer among others. It is faster, time saving and less biased. It

also simplifies the tabulating process.

OPEN END QUESTIONS:

In this type respondents are free to answer in their own words and express the ideas

they think are relevant, such questions are good as first questions or opening

questions. They introduce the subject and obtain general reaction.

DICTHOMUS:

These are the questions which are Boolean in nature. These answers are

straightforward and respondents have to answer them in a straight way. That means

the answer can only be either ‘Yes” or ‘No’.

FIELD WORK- METHOD USED FOR DATA COLLECTION

o Questionnaire was prepared keeping the objective of research in mind.

o Questions were asked to respondents as regards to there willingness to

purchase Saras dairy product.

o The help of questionnaires conducted direct interviews, in order to get

accurate information.

o In order to get correct information I had to approach consumers ranging from

15 yrs to 65 yrs.

62
o I visited as many respondents as I can and asked them their real likings about

any dairy.

o It is really a Herculean task to understand Consumer Behaviour, as the

definition suggest, “Consumer behaviour is a physical activity as well as

decision process individual engaged in when evaluating, acquiring, using and

disposing goods and services”.

In order to collect accurate information I visited to, homes, hotels,Dhabas,

Restaurants, and Dairy shops. Each and every question was filled personally by

the respondents and checked properly.

o People were not willing to answer, when they were contacted between 1.00

pm to 5.00 pm, the time when most of the people take rest during the scorching

heat.

RESEARCH DESIGN

We take this opportunity to express our team work, team sprit.

Research process involves defining needs translation problem into a research

problem and collection & analyzing and reporting the information specified in

research problem represents the initial steps on the research process with emphasis

upon types of data sources and option available to the researchers.

Define Research Objective

Identify information needs

63
 Formulate research design

Identify data

Secondary data Primary data

Conclusion

AREA / SOURCE OF INFORMATION

1. Public Survey

2. Dairy Booths

3. Parlor

4. Area :- a) Sindhi Camp

b) tonk fatak

c) Mansarover

d) Sanganer

c) Gopalpura

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3.5 SAMPLE SIZE AND METHOD OF SELECTING SAMPLE

Sample design is a definite plan of obtaining some items from the whole population.

The sample design used in this project is two state sampling i.e. Cluster and

convenience. In the probability sampling methods, each items in the sample is

chosen one at a time from a complete list of universe elements. In marketing

research practice, it will sometimes be more expedient to select clusters or groups of

universe elements, rather than to choose sample items individually.

Sampling methods in which universe elements are chosen in groups ---- rather than

individually -- are called cluster-sampling methods. They are widely used in the

sampling of human populations. When no complete universe listing exists, a type of

sampling is called area sampling may be the only practically feasible form of

probability sampling.

NONDISGUISED, STRUCTURED TECHNIQUES

The non structured techniques for attitude measurement are primarily of value in

exploratory studies, where the researcher is looking for the salient attributes of given

products and the important factors surrounding purchase decisions as seen by the

consumer. Structured techniques can provide a more objective measurement

system, one which is more comparable to a scale or a yardstick. The term scaling

has been applied to the efforts to measure attitudes objectively, and a number of

useful scales have been developed.

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SAMPLING METHODS

Sample design is a definite plan of obtaining some items from the whole population.

The sample design used in this project is two state sampling i.e. cluster sampling

and convenience sampling. The whole city was divided into some geographical

areas and I have chosen Memnagar, Ashram road, Sattelite, Bopal, Bodekdev,

Vastrapur, Navrangpura, Usmanpura, Maninagar and Narayanpura. The total

sample size was 200.

CLUSTER SAMPLING

Here the whole area is divided into some geographical area and a definite number of

consumers were to be surveyed.

CONVINIENCE SAMPLING

This type of sampling is chosen purely on the basis of convenience and according to

convenience.I visited, House, hotels, Dhabas, Restaurents, and Dairy shops.

SAMPLING

1. Sampling Technique : Non probability sampling

(A non probability sampling technique is

that in which each element in the

population does not have an equal

chance of getting selected)

2. Sample Unit : People who buy dairy product available

in retail outlets, superstores,dairy etc

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 3. Sample size : 200 respondents (Age ranging

between 15 yrs to 65 yrs)

4. Method : Direct interview through questionnaire.

5. Data analysis method : Graphical method.

6. Area of survey : Jaipur District.

7. Timing of survey : 6.00 am to 8.30 am and 6.30 pm to

7.30 pm

3.6 SCOPE OF THE STUDY

o This study tells about the satisfaction level of the people about Saras dairy

products.

o The result of this study can be implemented to increase awareness about

Saras dairy product and market share of the product.

o Through research it is clear that mostly parents are involved in purchasing of

dairy product, so company should target to parents.

o Company should try to influence reference group because consumer

preference is influenced by reference group.

o It is clear from the study that mostly people are interested in advertising on

television, and Saras is not giving its advertisements on television. So there is

a scope for company to broadcast itself through electronic media.

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 o According to the study company should introduce more Saras Parlor to

increase awareness and to increase preference about the company.

3.7 limitations

 Limited time available for interviewing the respondents. As a result of this it

was not possible to gather full information about the respondents.

 Sometime people are less interested in filling up questionnaire.

 Sometimes the problem which I face is language problem for which I have to

make them understand.

 Non-cooperative approach and rude behavior of the respondents.

 If the respondents answer does not falls between amongst the options given

then it will turn up to be a biased answer

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4. FACTS AND FINDINGS

 During the survey it was found that still there are 10% people who have not

tasted Saras milk.

 Lake of Awareness in consumers. some people are not know about saras

product except milk.

 I found that the main product of Saras is Milk and company firstly wants to

capture maximum market share in milk market which is approx. 66%, after it Amul is

concentrating upon butter & cheese which has market share of approx. 88%.

 When I interviewed people then many of the people can not recall Saras

advertisement. It shows Lake of Advertisement or advertisement is not timely

given or advertisement is not given on right time.

 In its advertisement is not using any brand ambassador which attracts all

age group people.

 There is lake of Sales Promotional Activities i.e. free tattoo, extra weight,

toys, quiz contest etc.

 Amul is main competitor and strategically better performer then Saras.I find

the main thing is that “Saras” brand name has very good image in consumer’s mind

and they consider it as Pure & Good Product.

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5. ANALYSIS & INTERPRETATION

[1] What kind of milk do you use?

Branded 92 %

Non branded 08%

KIND OF MILK

8%

branded

nonbranded

92%

INTERPRETATION

92% respondents in the region of Jaipur consume Branded Dairy product, while 8%

still consume non branded

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[2] Who purchase dairy product in your family?

Parents 34 %

Old gen. 33 %

Children 26 %

Others 07%

INTERPRETATION

Mostly parents & old generation purchase dairy product in their families. So we

should give stress on parents $ old generation segment to increase market share.

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[3] What Type of Dairy do you like?

Saras 60%

Amul 20%

Lotus 14%

Other 06%

TYPE OF DAIRY

6% 14% lotus
20%
Saras
Amul
Other

60%

INTERPRETATION

The above diagram suggest that the most preferred form is bar i.e. 60%, followed by

wafer i.e. 20%, Cookies are all time favorites with

14% while other forms are preferred to the extent of 6%.

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[4] Which Television channel you like to watch most?

STAR 100

ZEE 15

SONY 30

CARTOON 30

Others 25

INTERPRETATION

Mostly people like STAR channel. This channel is very popular among all the age

group people. SONY & CARTOON channels are also popular but not as STAR. In

other channels sports and news channels are preferred. CARTOON channel is

specially preferred by children. So it will be more beneficial top give advertisements

on STAR & CARTOON channels, it covers all the age groups.

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[5] In between what time you like to watch television?

Timings _____________

5 to 8 pm 33 %

8 to 11 pm 37 %

Late Night 10 %

Morning 15 %

Afternoon 05 %

TIMING PREFERENCE

5%
15% 5 to 8pm
33%
8 to 11pm
10% Late night
Morning
After noon
37%

INTERPRETATION

From the survey it was found that 37% of the respondents likes to watch T.V. after 8

pm to 11 pm. Because Mostly people belong to service class & females in the

families got their work by this time. At 5 to 8 pm 33% respondents in which

especially children watch cartoon channel & etc. so it is good to advertise on

preferred channels on these timings.

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[6] By which media you prefer to watch advertisements?

Television 67 %

Hoardings 17 %

Newspapers 08 %

Magazines 05 %

Others (Mention) 03 %

MEDIA PREFERENCE TO WATCH

ADVERTISEMENT

3%
5%
8% Television
0%
Hoardings
17% Newspapers
Megazines
67%
Others

INTERPRETATION

Mostly people like to watch an advertisement through Television because most of

them belongs to service class. Children are getting attracted through advertisement

on television and hoardings. Company tries to give attractive advertisement through

T.V. and hoardings because advertisement through hoardings is less costly.

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[7] What factors effects you in a dairy product advertisement?

Brand ambassador 60

Jingles 30

Comedy 45

Music 40

Emotions 20

Others (Mention) 05

INTERPRETATION

Good Brand Ambassador generally effects people’s perception towards a product

and create an image in their mind. Mostly people likes to see celebrities like Amitabh

Bacchan, Sachin Tendulkar, M.S.Dhoni, Saniya Mirza etc. as a Brabd Ambassador

in chocolate advertisements.At the same time people like comedy, slow music &

specially children like jingles in advertisements.

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[8] Have you ever tasted Saras dairy product?

Yes 90 %

No 10 %

INTERPRETATION

The chart shows that 90% respondents have tasted Saras dairy product, while still

10% have not tried Saras dairy product.

Saras must use proper techniques in order to cater the needs of every common

man.

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[9] Can you recall Saras dairy product advertisement?

Yes 32 %

No 68 %

INTERPRETATION

Here it was observed that only 32% respondents in the city of Jaipur were able to

recall Saras dairy product advertisement. This shows how much Saras lags behind

in promotional activities and advertisement. Therefore Saras must use strong

promotional activities and advertisement in order to retain their potential consumers.

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6. SWOT analysis

STRENGTH:-

 Established brand name

 controls a large part of the market

 Autonomy in decision making

 Extensive network for procurement and

 marketing

 Products perceived to be reasonable priced

 Qualified manpower

 High milk production and marketing potential

 Easy availability of milk form other

 Cooperative unions

WEAKNESSES :-

 High fixed costs

 High inter unit milk purchase price

 Milk perceived unfit by bulk buyers

 Weak home delivery infrastructure

 Negative consumer perception about processed milk

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OPPORTUNITIES:-

 Growing market

 Insignificant competition from ogranised sector

 Scope for premium product

 Vast untapped rural / up country market

 Scope for further improvement in quality

 Scope for product diversification

 Changing lifestyle and habits

 Scope for improvement in home delivery of products

THREAT:-

 Delicensing of dairy industry

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7. CONCLUSION

As we know that SARAS is very big organization and market leader in dairy

products. It has maximum market share in Milk, Butter and Cheese, which are its

main/core products. As we know Saras is a co-operative organisaion but dairy

industry is a profitable industry we can’t ignore it. With the help of research,

company can find out its week points in dairy product and can increase its market

share through rectify mistakes. People have believed in Saras’s product and they

will accept its milk also if effective actions were taken.

The survey resulted into following conclusions :

 saras must come up with new promotional activities such that people

become aware about Saras Products like Milk, Ghee, Butter, Curd, Chach,

Paneer, shrikhand and Icecream.

 Quality is the dominating aspect which influences consumer to purchase

Saras product, but prompt availability of other dairy brands and aggressive

promotional activities by others influences the consumer towards them and also

leads to increase sales.

 In comparison to Saras dairy product the other players such as Amul,

Reliance, and gauras provide a better availability and give competition to the hilt.

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 People are mostly satisfied with the overall quality of Saras dairy, but for the

existence in the local market Saras must use aggressive selling techniques.

On the basis of customer response survey on dairy products we came to the

conclusion that 67% peoples using Saras, 9% Amul, 5% Lotus & 16% Others.

Public prefers more to Saras because of :-

- Quality

- Availability

- Brand

- Price

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- Packing

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8.RECOMMENDATION AND SUGGESTIONS

 In order to maintain and increase the sales in the city of Jaipur, the following

recommendations regarding Saras Dairy Products; particularly regarding

advertisement, distribution, promotional policies, etc, are hereby suggested:

 First and foremost Saras should take proper action in order to improve

service, because although being on a top slot in Butter and milk supplies it does not

get the sales in other products, which it should get.

 Company should use brand ambassador which attracts each age segment

i.e. Saniya Mirza, Shaktimaan, Amitabh Bacchan, Superman, Krrish, Jadoo etc.

 Saras should give local advertisements apart from the advertisements given

at the national level. Local advertisement must mention the exclusive Saras shops of

the city.

 Try and change the perception of the people through word of mouth about

Saras in advertisements, because they are the best source to reach Children and

families.

 Though Saras dairy advertisements are rarely shown on television yet many

people could recall it as per the data of research. It shows that there is only need to

give advertisement only to rememorize customers. Because Saras is very strong

brand name.

 Company should introduce sales promotion schemes like free weight,

pranky, tattoo, contest, free gifts etc.

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9. APPENDIX

QUESTIONNAIRE

I am a student of MBA from ARYA COLLEGE OF ENGINEERING AND IT., JAIPUR

conducting a survey on Effectiveness of advertising towards to know consumer

buying behavior.

[1] What kind of Dairy product do you use?

Branded ______ Non-branded ______

[2] Who purchase dairy product in your family?

Parents Old generation

Children Others

[3] Which Television channel you like to watch most?

STAR _______ ZEE ________

SONY _______ CARTOON ________

Others _______

[4] In between what time you like to watch television?

Timings _____________

[5] By which media you prefer to watch advertisements?

Television Hoardings

Newspapers Magazines

Others (Mention)

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[6] Which advertisement you like the most?

_______________

[7] What factors effects you in a dairy advertisement?

Brand ambassador _______ Jingles ________

Comedy _______ Music ________

Others (Mention) _______

[8] Have you ever tasted Saras dairy product?

Yes _____ No ______

[10] Can you recall Saras Dairy advertisement?

Yes ____ No ____

[11] What is the frequency of purchasing dairy product except milk?

Daily ______ Weekly _______

Fortnightly ______ Occasionally _______

[12] Which Dairy product do you like most?

SARAS ____________

AMUL __________

RELIANCE __________

LOTUS ________

OTHERS __________

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[13] What would you like to see in a Dairy advertisement?

______________________________________________

______________________________________________

______________________________________________

______________________________________________

NAME: ___________

AGE: ___________

10-15 15-25 25-35 35-45 45 and above

THANK YOU

_________________

______________

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- 10.BIBLIOGRAPHY

1) Kothari C.R, Research and Methodology, New Delhi, New age international

Pvt.ltd.

2) Gupta S.L., Sales And Distribution Management, about dairy, J.P.

Publications, New Delhi.

3) www.amul.com

4) www.jaipurdairy.com

5) Information collect from Saras parlor.

6) Information collect from dairy booth.

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