Submitted

In partial fulfillment
Of the requirement for degree of
Master in business
administrative
(2010-2012)
Of
Doon Business School Dehradun

Project report
On
“Market Research on Amul
Chocolate”

Submitte
d by:-
Project guided by:-
Sunil Kumar Dubey
Lt.Col.(Dr.) Anirudh tomar
MBA 2nd semester
Director Doon Business School
 ACKNOWLEDGEMENT

My genial thanks to the facilities extended by the “DOON BUSINESS

SCHOOL” which Encourage me to shape our Endeavour.

I solicit the active assistance of our project

incharge Lt.Col.(Dr.) Anirudh tomar ( Director Doon Business School ),who
gave me management searchlight at every stage, make possible this challenging
Task and has been kind enough to extend his able, pious and virtual supervision
throughout the study. It was only his guidance, ability supervision and
extraordinary consultancy pain taken in each and every step in completing the
present project. I would also like to acknowledge greatly the helping hand of our
faculty members only Lt.Col.(Dr.) Anirudh tomar ( Director Doon Business
School ).
 CERTIFICATE OF ORGINALITY

This is to certify that Sunil kumar Dubey bonafide student of Master in

Business Administration Semester 2nd of this institute has completed the
semester project titled “Market Research on amul Chocolate”

The matter embodied in this project is a genuine

work done by the student and has not been submitted whether to this university or
to any university/institute for the fulfillment of requirement of any course of study.

Signature of the student

Signature of the guide
……………………………………..
…………………………………………………..
Name and address Name and
designation
………………………………………..
……………………………………………………

• 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. It is a dairy cooperative movement in India. It is a brand name
managed by an apex cooperative organisation, Gujarat Co-operative Milk
Marketing Federation Ltd. (GCMMF), which today is jointly owned by
some 2.41 million milk producers in Gujarat, India[1]. It is based in Anand
town of Gujarat and has been a sterling example of a co-operative
organization's success in the long term. The Amul Pattern has established
itself as a uniquely appropriate model for rural development. Amul has
spurred the White Revolution of India, which has made India one of the
largest milk producers in the world. It is also the world's biggest vegetarian
cheese brand .

• Amul's product range includes milk powders, milk, butter, ghee, cheese,
chocolate, ice cream, cream, shrikhand, paneer, gulab jamuns, basundi,
 Nutramul brand and others. In January 2006, Amul plans to launch
India's first sports drink Stamina, which will be competing with Coca Cola's
Powerade and PepsiCo's Gatorade .

• Amul is the largest food brand in India with an annual turnover of US $868
million (2005-06) [4]. Currently Amul has 2.41 million producer members
with milk collection average of 5.08 million litres/day. Besides India, Amul
has entered overseas markets such as Mauritius, UAE, USA, Bangladesh,
Australia, China, Singapore, Hong Kong and a few South African countries.
Its bid to enter Japanese market in 1994 had not succeeded, but now it has
fresh plans of flooding the Japanese markets [5]. Other potential markets
being considered include Sri Lanka.

Robust Supply Chain

The vast and complex supply chain Hierarchical network of
cooperatives
Stretches from small suppliers to large fragmented markets

Diverse Product Mix

Amul Butter, Milk Powder, Ghee,
Amulspray, Cheese, Chocolates,
Shrikhand, Ice cream,
Nutramul, Milk and Amulya

Strong Distribution Network

Amul products are available in over 500,000 retail outlets across
India through its network of over 3,500 distributors.
47 depots with dry and cold warehouses to buffer inventory of the
entire range of products.

Technology and e-initiatives

New products
Process technology
Complementary assets to enhance milk production
E-commerce.
• Progressive addition of higher value productswhile maintaining the desired
growth in existingproducts.

• Amul introduced products with consistent valueaddition but never left the
core philosophy of“providing milk at a basic, affordable price”
Research for availability and acceptability of Amul Chocolate and their different
variants including New Launched

CHOCOLATES: MAJOR TYPES & BRANDS

Types Brand

Molded chocolates Dairy Milk, Truffle, Amul Milk Chocolate, Nestle Premium,
NestleMilky Bar, Nestle ClassicCount lines 5 Star, Perk, Kit Kat, Picnic,
MunchPanned products Gems (Cadbury), Nutties, Marbles (Nestle)

AMUL CHOCOLATE
GIFT FOR SOMEONE YOU LOVE

AMUL CHOCOLATE

is made from Sugar, Cocoa Butter, Milk Solids,and Chocolate mas

• The various brands of Amul's bread spreads are Amul Lite, Amul Butter,
and Delicious Table Margarine.

• The Brand Amul's milk drinks are sold under various names such as Amul
Kool, Amul Kool Cafe, Kool Koko, Amul Kool Chocolate Milk, and Amul
Masti Spiced Buttermilk.
• Amul's powder milk are sold under many names like Amulya Dairy
Whitener, Sugar Tea Coffee Whitener, Sugar Skimmed Milk Powder, and
Amul Instant Full Cream Milk Powder.

• The brand's cheese are also sold under various names such as Gouda
Cheese, Amul Cheese Spreads, and Amul Emmental Cheese.

• Amul Brand's desserts are sold under many names like Amul Basundi,
Amul Lassee, Gulab Jamun Mix, Amul Shrikhand, and Amul Ice Creams.
 Composition:
• Total fat 32%
• Cholesterol 2%
• Sodium 2%
• Carbohydrate 7%
• Dietary fiber 9%
• Vitamin A 2%
• Vitamin C 2%
• Calcium 8%
• Iron 4%

• Market segmentation is the process in marketing of grouping a market

(i.e. customers) into smaller subgroups. These markets are often termed
niche markets or specialty markets. These segments are fairly homogeneous
in their attitudes about certain variables.

• Because of this intra-group similarity, they are likely to respond somewhat

similarly to a given marketing strategy. That is, they are likely to have
similar feeling and ideas about a marketing mix comprised of a given
product or service, sold at a given price, distributed in a certain way, and
promoted in a certain way.

• The purpose of segmentation is to identify and target prime customer

groups (eg the 20% that account for 80% of your sales) so that you get the
 maximum return from a limited marketing budget (the most bang for your
buck).

Market Segmentation Of Amul CHOCOLATE

• Homogeneity within the segment

• Heterogeneity between segments
• Segments are measurable and identifiable
• Segments are accessible and actionable
• Segment is large enough to be profitable.....

These criteria can be summarized by the word SADAM:

• S Substantial: the segment has to be large and profitable enough

• A Accessible: it must be possible to reach it efficiently
• D Differential: it must respond differently to a different marketing mix
• A Actionable: you must have a product for this segment
• M Measurable: size and purchasing power can be measured .
The Process-Data Model Of Marketing Segmentation
o Above given is a generic process-data model is given for the whole
process of segmenting and positioning as a basis of deciding on the
most effective marketing strategy and marketing mix.

o This model consists of the three main activities: segmenting,

targeting and positioning. It shows the chronological dependency of
the different activities.

o On the right side of the model the concepts resulting from the
activities are showed. The arrows show that one concept results from
one or more previous concepts; the concept can not be made when
the previous activities have not taken place.

o Below the three main activities are shortly described as well as their
role as a basis for the next step or their dependency on the previous
step.
 After the most attractive segments are selected, a company should not
directly start targeting all these segments. The attractiveness of the
segments is also depending on other important factors. In the main activity
of defining a target market, four sub activities are given which are the
bases for deciding on which segments will actually be targeted.

AGE GROUP TARGETED

 60

50

40

30
Target
20

10

0
7 - 20 yrs 21 - 40 40 - 50
yrs yrs

The four sub activities performed by Amul while targeting

are:-

• Defining the abilities of the product and resources needed to enter a

market

• Analyzing competitors on their resources and skills

• Considering the company’s abilities compared to the competitors’

• Deciding on the actual target markets.

o The first three sub activities are described at the topic competitor analysis.
The last sub activity of deciding on the actual target market is an analysis of
the information made available when comparing the companies abilities to
the competitors’.
 o This analysis leads to a list of segments which are most attractive to target
and have a good chance of leading to a profitable market share.

o Obviously, targeting can only be done when segments are predefined; there
have to be segments to analyze the competitors which are in this market.
When the process of targeting is ended, the markets to target are selected,
but the way to use marketing in these markets is not yet defined. To decide
on the actual marketing strategy, knowledge of the differential advantages
of each segment is needed. When positioning a product, the segments are
first analyzed, this process is described next.

The major marketing management decisions can be classified in one of the

following four categories:

• PRODUCT
• PRICE
• PLACE
• PROMOTION
 These variables are known as the marketing mix or the 4 P's of marketing.
They are the variables that marketing managers can control in order to best
satisfy customers in the target market. The marketing mix is portrayed in
the following diagram:

The Marketing Mix

PRODUCT POSITION

TARGET
MARKET

PROMOTION
PRICE
 o The firm attempts to generate a positive response in the
target market by blending these four marketing mix
variables in an optimal manner.

o Now, lets see the marketing mix for new launch of

AMUL’S CHOCO CRUNH i.e., their products, price,
place and promotion.

Competition Based Pricing

Setting the price based upon prices of the similar competitor

products.

Amul’s new launch Choco Crunch Pricing is based on three

types:-

1) Product is lasting distinctiveness from competitor's

product. here we can assume a) The product has low price
elasticity. b) The product has low cross elasticity. c) The
demand of the product will rise.
2) Products have parishable distinctiveness from competitor's
product, assuming the product features are medium
distinctiveness.

3) Products have little distinctiveness from competitor's

product. assuming that: a) The product has high price
elasticity. b) The product has some cross elasticity. c) No
expectation that demand of the product will rise.

Price is the factor that beats out all other choclates in

the competition. Such as Cadbury. If you have been you must
have seen that Amul and Cadbury frenchise are right next to
each other. But if given the choice people would prefer Amul
products and not Cadbury as the prices of Amul product is
quite cheap as compared to their competitors like Cadbury and
this has worked as an advantage for Amul since most of the
customers prefer amul product over cadbury’s product, due to
this price factor.
The prices for an average milk product ranges between Rs. 20
and Rs. 35.

Comparing Prices Of AMUL and CADBURY:

Product AMUL CADBURY

(Rs.) (Rs.)
Dry fruit Choco 80 100
Crunch (pack of
 20pcs)

By comparing the prices of the products of Amul and cadbury,

we can see that the prices offered by Cadbury are on the higher
side as compared to Amul. Thus we can see that cadbury’s
target customers are professionals, working couples and
families in the sec- a and sec-b categories that detest the loud
ambience of Amul and who are willing to pay higher prices.

Whereas Amul’s typical customers are between the age of 07-

50 years, which shows that these include children’s,
youngsters and also aged people’s or are from the upper
middle class or middle class families, who can afford these
prices and looking at these target customers the company has
designed its outlet to look young and trendy with vibrant
colors such as brownie, black current(purple) and Butter
scotch predominating the outlets.
A successful product or service means nothing unless the
benefit of such a service can be communicated clearly to the
target market. An organisations promotional strategy can
consist of:

Advertising: Is any non personal paid form of

communication using any form of mass media?

Public relations: Involves developing positive relationships

with the organisation media public. The art of good public
relations is not only to obtain favorable publicity within the
media, but it is also involves being able to handle successfully
negative attention.

Sales promotion: Commonly used to obtain an increase in

sales short term. Could involve using money off coupons or
special offers.

Promotion Budget
COST SHEET
** SCHEDULE ‘A’
PARTICULARS Rate Total Cost
Mascot (Mooh) 100/day 10,000
Television Advertisements 90,000
Radio Jingles 6,045.45
Banners and Hoardings 58,000
Print Advertisements 60,000
(Newspapers)
Print 45,500
Advertisements(Magazines)
World Cup Promotional Activity -Nil
Payment to brand ambassador 3,50,000

Above A Pull Strategy (Left) Push Strategy (Right).

• Communication by the manufacturer is not only
directed towards consumers to create demand.

• A push strategy is where the manufacturer concentrates

some of their marketing effort on promoting their
product to retailers to convince them to stock the
product. A combination of promotional mix strategies
are used at this stage aimed at the retailer including
personal selling, and direct mail. The product is pushed
onto the retailer, hence the name.

• A pull strategy is based around the manufacturer

promoting their product amongst the target market to
create demand.

• Consumers pull the product through the distribution

channel forcing the wholesaler and retailer to stock it,
hence the name pull strategy. Organisations tend to use
both push and pull strategies to create demand from
retailers and consumers.
ADVERTISING:-

• An Amul butter ad on Pakistan's Kargil War fiasco. The

image shows the "Amul baby" in between George
Fernandes and Vajpayee.

• Its advertising has also started using tongue-in-cheek

sketches starring the Amul baby commenting jovially
on the latest news or current events. The pun in her
words has been popular.

• The Amul ads are one of the longest running ads based
on a theme, now vying for the Guinness records for
being the longest running ad campaign ever. Sylvester
daCunha, was the managing director of the advertising
agency, ASP, that created the campaign in 1967 whose
charm has endured fickle public opinion, gimmickry
and all else.
BANNERS:-
 A strong emphasis on target costing, design-to-cost, value
engineering, and design for manufacturability. Minimum
product variety. Significant manufacturing and accounting
Cost involvement in development. Suppliers are well-integrated into
the development process. Factory uses high volume equipment
specifically oriented to the product; automated material
handling.
A disciplined and rigorous product development process. Strong
focus on understanding customer needs and providing products
Quality / that meet those needs. Use of techniques like FMEA, FTA,
Reliability / FRACAS, DOE, Taguchi Methods, poke-yoke, and reliability
Dependability prediction. Heavy emphasis on testing and qualification.
Processes are oriented to self-checking and adjustment and use
of computer- aided inspection and test equipment.
Use of modular design approaches. Sufficient resources to
undertake development processes underway. Continuous
surveillance of the marketplace and understanding of customer
Time-to- needs. Well-defined development processes based on tightly
Market integrated design automation tools. Well-planned and managed
programs with clear definition and acceptance of
responsibilities. Process equipment to handle a wide range of
work envelopes; FMS; quick set-up and changeover.
A technology plan and roadmap based on the business and
product strategy and plan. Effective technology management.
Process to review new technologies developed outside for
Innovativeness applicability internally. Effective process to deploy n ew
technology to development programs. State-of-the-art design
/ Technology and analysis tools to support requirements of new technology.
Policies to invest in training and development of personnel to
master new technology. Culture open to new ideas and taking
risks. Investment in new process technology.

A starting point is to define and understand the company's

marketplace, customer needs and competition. Based on this
assessment, the company's primary competitive dimensions can be
selected and a strategy defined to develop and enhance these
competitive dimensions. Once this is done, product and process
design based on IPD can be oriented to implement this strategy.
When the list of target markets is made, a company might
want to start on deciding on a good marketing of a product.
But an important step before developing the marketing mix is
deciding on how to create an identity or image of the product
in the mind of the customer. Every segment is different from
the others, so different customers with different ideas of what
they expect from the product.

The Process Of Positioning The Product Of A

Company:

1. Identifies the differential advantages in each segment

2. Decides on a different positioning concept for each of these

segments. This process is described at the topic positioning,
here different concepts of positioning are given.

The process-data model shows the concepts resulting from the

different activities before and within positioning. The model
shows how the predefined concepts are the basis for the
positioning statement. The analyses done of the market,
competitors and abilities of the company are necessary to
create a good positioning statement.

When the positioning statement is created, one can start on

creating the marketing mix.
B2C and B2B

The process described above can be used for both business-to-

customer as well as business-to-business marketing. Although
most variables used in segmenting the market are based on
customer characteristics, business characteristics can be
described using the variables which are not depending on the
type of buyer. There are however methods for creating a
positioning statement for both B2C and B2B segments. One of
these methods is MIPS: a method for managing industrial
positioning strategies by Muhlbacher, Dreher an Gabriel-Ritter
(1994).
In order to ensure a continuous & efficient distribution, an
approximate figure has to be arrived at for getting the initial
orders & to ensure adequate supply so that any delays or
resultant losses are avoided. For this purpose, the company
adopted the consumer response hierarchy model so that, it is
ensured that all the company enters the market with a bang
avoiding any problems of late or inadequate supplies. This is
highly essential to support the huge promotional budget, since
if the supplies aren’t at the right time, all other effort can be in
vain.

As Per The Consumer Response Hierarchy Model; The

Calculations Are Like Below:
Re-
5% of Trial
purchase
10% of
Preference
Trial
Preference
20% of
Preference Liking

40% of
Liking Knowledge
60% of
Knowledge Awareness
80% of
Awareness
Targeted
Population
Studying The Demographic Conditions Of INDIA

• It is expected that 80% of this targeted population will

get aware about the products with the help of the sales
promotion, advertising and other marketing tactics.

• Out of the People being aware of the products & the

company, 60% will have somewhat exact knowledge of
the product.

• It is expected that out of the people having the

knowledge of the product, with the product features and
the requirement of milk in the country, 40% will
develop a liking for the products.

• 20% of the target audience who have developed a

liking, will opt for the company’s product as against the
products they are using for daily consumption.
• 10% of the people who might prefer the product, will
actually try it for the first time.

• 5% of the people who have tried it for the first time,

might be convinced to purchase the product again

• Thus, adding up the people trying the product and the

re-purchaser of the products, it comes up to 624960
people.

 Market research is discovering what people want, need,

or believe. It can also involve discovering how they act.
Once that research is complete it can be used to
determine how to market your specific product.
Whenever possible, try to reduce risks at the earliest
possible stage. For example you could carry out market
research early on and not wait until you are almost
ready to enter the market. If early market research
reveals that your business idea has real potential, you
can use this information in planning the build-up of
your business.
  For starting up a business there are a few things should
be found out through market research in order to know
if your business is feasible. These are things like:

Market Information

Market information is making known the prices of the

different commodities in the market, the supply and the
demand. Information about the markets can be obtained in
several different varieties and formats. The most basic form of
market information is the best quotation and last sale data,
including the number of shares, with respect to a particular
security at a given time.

Examples Of Market Information Questions Are:

• Who are the customers?

• Where are they located and how can they be contacted?
• What quantity and quality do they want?
• What is the best time to sell?
• What is the long-term or historical price data over a
number of years?
• What is the expected production in the country?
• Is there more demand for one product or another? Etc.
OBJECTIVE OF RESEARCH

Assessment of present Amul chocolate market

Size of Market – Availability, Awareness, Acceptability of

AmulChocolates.Share of Amul – Share of Amul
Chocolates.Customer’s Expectations – Required Changes,
Defects(Shortcomings) of Amul Chocolates.Competitors –
Size, Share, New product launching.
RESEARCH DESIGN

SAMPLE DESIGN:

• Of the total sample design Customer and Retailers

survey was formulated on basis of Selective sampling
and the Distributors survey was based on total Census
sampling –
• A total 150 Customer Surveyed.

• A total 50 Retailers Surveyed.

• A total 5 Distributors were Surveyed

SOURCES OF DATA

Data were collected from two sources –

Primary sources

 Which include Questionnaire, Direct interviewand data

collected on personal observation. These are the data,which
are collected on self-basis.

Secondary Data
 Which Include Journals, Magazine, News Paper And Net.
These are the data, which are collected o from thesecondary
sources, which are made available by other organizationor
company through their annual report’s or journals or
newsmagazine.
• Must enter into marketing alliances with various
portals to offer products (on those portals that were
developed for festive occasions and celebrations such as
Valentines Day and Friendship Day .
• Rejuvenate and strengthen the existing brands
• Extend its reach to semi-urban and rural markets.
• Sell its products through ' non-traditional
' outlets like music stores (such as MusicWorld),
malls , renowned bookstores and popular apparel outlets
(such as Pantaloons and Wills Sport boutiques).
• To put chocolate carts (similar to traditional bicycle
ice-cream carts ) in malls and near college campuses to
increase its reach.
• Increase frequency of advertisement .
• Company should introduce sales promotion schemes
like free weight, pranky, tattoo, contest, free gifts etc.
• Advertisement can be done with the help of
animations that attracts children and teenagers because
chocolates are consumed largely in this segment.

Competition will never end so let's not avoid it but face it

confidently,
"For a chief executive, unless he knows where he is going
no one can take him there".

What's the use of Marketing & Advertising if it does not

reach the right people and yield desired results? Therefore it
is necessary for every individual who has something to sell
but no one to buy, to detect the problem areas and try to
solve them. But for this, knowing the right problem is
extremely essential otherwise hitting the target in dark means
nothing.

Therefore, it is rightly said that a "well defined problem is

half done". Once you know your drawbacks only then you can
correct it. Therefore, to know your drawbacks you need to
conduct a survey and get information right from the
ultimate users of your product. They should be asked to
bring out your drawbacks. This will help you to not only
know your pitfalls but also what your customers want and
their likes and dislikes and while doing so build a good
rapport with your customers. While conducting such surveys
you can also advertise your products among those customers
who are not much aware of it.

"There are three ways of doing a thing—- the wrong way,

the right way and our way"

whichever may be your way the ultimate aim is to achieve

the results and implement them to maximize customer
satisfaction we all know competition is intense then why not
take it positively so that it helps us to improve our product
quality, makes customers loyal to us, helps us know our
shortcomings and rectify them. The best way to overcome
your competitors is to give your customers what they expect
or probably more than that.

To know the customers expectations towards Amul, I had

conducted a market Research of the existing customers,
which helped me to know the satisfaction, awareness and
liking among customers for the products of Amul and
analyse the situation and provide them suggestion to improve
the situation.
These suggestions if implemented would definitely yield
results and
• The Amul Model is a three-tier cooperative structure. This structure
consists of a Dairy Cooperative Society at the village level affiliated
to a Milk Union at the District level which in turn is further federated
into a Milk Federation at the State level.

• The above three-tier structure was set-up in order to delegate the

various functions, milk collection is done at the Village Dairy Society,
Milk Procurement & Processing at the District Milk Union and Milk
& Milk Products Marketing at the State Milk Federation. This helps in
eliminating not only internal competition but also ensuring that
economies of scale is achieved.

• As the above structure was first evolved at Amul in Gujarat and

thereafter replicated all over the country under the Operation Flood
Programme, it is known as the ‘Amul Model’ or ‘Anand Pattern’ of
Dairy Cooperatives.

• Responsible for Marketing of Milk & Milk Products Responsible for

Procurement & Processing of Milk Responsible for Collection of Milk
Responsible for Milk Production
• The phenomenal growth of milk production in India – from 20 million
MT to 100 million MT in a span of just 40 years – has been made
possible only because of the dairy cooperative movement. This has
propelled India to emerge as the largest milk producing country in the
World today.

• The dairy cooperative movement has also encouraged Indian dairy

farmers to keep more animals, which has resulted in the 500 million
cattle & buffalo population in the country – the largest in the World.

• The dairy cooperative movement has garnered a large base of milk

producers, with their membership today boasting of more than 13
million member families.

• The dairy cooperative movement has spread across the length and
breadth of the country, covering more than 125,000 villages of 180
Districts in 22 States.

• The dairy cooperatives have been able to maintain democratic

structure at least at the grass-root level with the management
committee of the village level unit elected from among the members in
majority of the villages.

• The dairy cooperatives have also been instrumental in bridging the

social divide of caste, creed, race, religion & language at the villages,
by offering open and voluntary membership.
• The dairy cooperatives have been successfully propagating the
concepts of scientific animal husbandry & efficiency of operations,
which has resulted in low cost of production & processing of milk.

• The movement has been successful because of a well-developed

procurement system & supportive federal structures at District & State
levels.

• Dairy Cooperatives have always been proactive in building large

processing capacities, which has further propelled growth of milk
production.

• The dairy cooperatives are among those few institutions in India,

which still cherish a strong Cooperative identity, values and purpose.
They still boast of idealism & good will of members and employees.

• The dairy cooperatives have removed the poor farmers of India from
the shackles of agents & middlemen and provided an assured market
for their produce. As these are the institutions run by farmers
themselves, it has also resulted in fair returns to the members for their
produce
• 2.8 million milk producer member families

• 13,759 village societies

• 13 District Unions

• 8.5 million liters of milk procured per day

• Rs. 150 million disbursed in cash daily

• GCMMF is the largest cooperative business of small producers with

an annual turnover of Rs. 53 billion

• The Govt. of India has honoured Amul with the “Best of all categories
Rajiv Gandhi National Quality Award”.

• Largest milk handling capacity in Asia

• Largest Cold Chain Network

• 48 Sales offices, 3000 Wholesale Distributors, 5 lakh retail outlets

• Export to 37 countries worth Rs. 150 crores

• Winner of APEDA award for nine consecutive years

• Amul has recently entered into direct retailing through "Amul
Utterly Delicious" parlours created in major cities Ahmedabad,
Bangalore, Baroda, Delhi, Mumbai, Hyderabad and Surat.

• Amul has plans to create a large chain of such outlets to be managed

by franchisees throughout the country .

• Amul should give local advertisements apart from the advertisements

given at the national level. Local advertisement must mention the
exclusive Amul shops of the city.
1970s – Market Leader
A classic 1970 - 80 Advertisement
AMUL AD ON INDRAJAL(1970 80)
1990s
• Shifted focus in 1990’s towards other milk products.
• Competition from multinationals
• Market share down to 2-3%
• 1990s AMUL ADVERTISEMENT Introduced newer varities of
chocolates, like ‘Bindas’, ‘Nuts About You’ and others, targeting
teenagers
2003....
• Increase in sales due to cadbury worm controversy.(20 % increase in
sales)
• To boost sales, Amul launched three new chocolates in under the
brands Fundoo, Bindaas and Almond Bar .
• While the first two have been priced at Rs 10 for a 30 gm stick ,
Almond Bar carries a price tag of Rs 10 for a 35 gm chocolate.
• As a result, AMUL's festival season pack "Rejoice"
came with six chocolates, up from three during the festive season
before
2004-Repositioning
• Launch of ‘Chocozoo’ - chocolates in shapes of motorcycles,
aeroplanes, animals and comic charaters .
• Targeted Kids .
• Introduced economic variants of chocolates priced at Re 1, Rs 3 and
Rs 5.’’
• A tub of ‘ Chocozoo ’ chocolates were priced at Rs 138 for 46 units of
chocolates, but retailers can sell the chocolates loose, at Rs 3 each .
This, was done to attract kids.
• Trendy Look – Removed the cute little butter girl and cheese boy from
its wrappers.
• New wrappers , designed by a US firm, trendy and colourful .
• A new tag line: Amul Chocolate — For Someone You Love.
• Not merely gifts, but make a more emotional pitch with emphasis on
Amul Chocolates for love on all occasions .
 Strengths
1. The company is having Indian origin thus creating feeling of oneness in
the mind of the customers.

2. It manufactures only milk and milk products, which is purely vegetarian

thus providing quality confidence in the minds of the customers.

3. It is aiming at rural segment, which covers a large area of loyal customers,

which other companies had failed to do.

4. People are quite confident for the quality products provided by Amul.

5. Amul has its base in India with its butter and so can easily promote
chocolates without fearing of loses.

6. The prices of chocolates of Nestles are comparatively cheap as compared

to other companies.
Weaknesses
1. There are various big players in the chocolate market, which acts as major
competitors restricting their growth.

2. Lack of capital invested as compared to other companies.

3. Improper distribution channel in India.

Opportunities
1. There is a lot of potential for growth and development as huge population
stay in rural market where other companies are not targeting.

2. The chocolate market is at growth stage with very less competition so by

introducing new brand and intensive advertising there can be a very good
scope in future.

Threats
1. The major threat is from other companies who hold the majority share of
consumers in Indian market i.e. Cadburys and Nestle.

2. There exists no brand loyalty in the chocolate market and consumers

frequently shift their brands.

3. New companies’ entering in Indian market like Fantasie fine poses lot
problems for Amul.
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• Amul chocholate’s Market share decreased to 5% much less than
market leader(79%)
• The awareness level of AMUL CHOCOLATE is very low.
• To find the performance of AMUL CHOCOLATE vis-à-vis other
Brands.
• To know the consumer psyche and their behaviour towards AMUL
CHOCOLATE .

• To gauge the awareness of people towards Amul chocolates .

• To find out in which segment chocolates are mostly liked/preferred.

• To understand which advertisement medium must AMUL use.
• To know the perception of Amul chocolates in comparison to other
competitive brands.
• To formulate an IMC strategy for Amul Chocolate.
The main objective of the project is to know the market potentials andawareness about
new variants of Amul chocolate in Varanasi City.Other objectives of my project are

• To find the market share of Amul in chocolate segment

• To know Customer’s perception towards Amul chocolate.

• To make comparative study of different variants of chocolates.

• To know strategies of competitors and implement on those strategies.

• To find out the potential market mainly for new variants (like
Fundoo,Bindaaz).
• Information about all the competitors present in the chocolate
segment (Reputed & well established brands as well as Local brands e.g.
Cadburies,Nestle etc.)
• Information about the comparative packs and prices of all the
competitors existing in the market.
• To trace the market and segment ,which mainly deals with people of
various age groups.
• Various types of chocolates available in the market
• Information if the television advertisement timing is effective or
not.
• GCMMF (AMUL) has the largest distribution network for any FMCG
company. It has nearly 50 sales offices spread all over the country,
more than 3,000 wholesale dealers and more than 5,00,000 retailers.

• AMUL is also the largest exporter of dairy products in the country.

AMUL is available today in over 40 countries of the world. AMUL is
exporting a wide variety of products which include Whole and
Skimmed Milk Powder, Cottage Cheese (Paneer), UHT Milk,
Clarified Butter (Ghee) and Indigenous Sweets.

• The major markets are USA, West Indies, and countries in Africa, the
Gulf Region, and [SAARC] SAARCneighbours, Singapore, The
Philippines, Thailand, Japan and China.

• In September 2007, Amul emerged as the leading Indian brand

according to a survey by Synovate to find out Asia's top 1000 Brands.
The sales turnover of the Brand Amul :Sales Turnover Figures

Year Rs (million) US $ (in million)

1999-00 22185 493
2000-01 22588 500
2001-02 23365 500
2002-03 27457 575
2003-04 28941 616
2004-05 29225 672
2005-06 37736 850
2006-07 42778 1050
2007-08 52554 1325
2008-09 67113 1504
o www.rediff.com
o www.indiainfoline.com
o www.amul.com
o www.amuldairy.com
o www.google.com
o www.India-stats.com
o www.Agencyfaqs.com
o www.indiantelevision.com
o www.thehindubusinessline.com
o Marketing management by Kotler ,keller