Documente Academic
Documente Profesional
Documente Cultură
Himanshu Ahire 13
Dhiraj Kakati 05
Trimester 2
Introduction 5
Product 7
MARKETING OBJECTIVES 12
Product STRATEGIES 12
Product 12
Place 12
Price 13
Promotion 13
Product-Width 18
Product-length 18
Product Depth 18
Line stretching 22
Conclusion
22
OBJECTIVE
To correlate the findings with the help of the theoretical concepts that we have been taught during this
semester on Marketing Management.
In the year 1946 the first milk union was established. This union was started with 250 liters of milk per
day. In the year 1955 AMUL was established. In the year 1946 the union was known as KAIRA DISTRICT
CO-OPERATIVE MILK PRODUCERS’ UNION. This union selected the brand name AMUL in 1955.
The brand name AMUL means “AMULYA”. This word derived from the Sanskrit word “AMULYA”
which means “PRICELESS”. A quality control expert in Anand had suggested the brand name “AMUL”.
Amul products have been in use in millions of homes since 1946. Amul Butter, Amul Milk Powder, Amul
Ghee, Amul spray, Amul Cheese, Amul Chocolates, Amul Shrikhand, Amul Ice cream, Nutramul, Amul
Milk and Amulya have made Amul a leading food brand in India. (The total sale is Rs. 6 billion in 2009).
Today Amul is a symbol of many things of the high-quality products sold at reasonable prices, of the
genesis of a vast cooperative network, of the triumph of indigenous technology, of the marketing savvy of a
farmers’ organization. And have a proven model for dairy development (Generally known as “ANAND
PATTERN”).
In the early 40’s, the main sources of earning for the farmers of Kaira district were farming and selling of
milk. That time there was high demand for milk in Bombay. The main supplier of the milk was Polson dairy
limited, which was a privately owned company and held monopoly over the supply of milk at Bombay from
the Kaira district. This system leads to exploitation of poor and illiterate farmers by the private traders. The
traders used to decide the prices of milk and the farmers were forced to accept it without uttering a single
word. However, when the exploitation became intolerable, the farmers were frustrated. They collectively
appealed to Sardar Vallabhbhai Patel, who was a leading activist in the freedom movement. Sardar Patel
advised the farmers to sell the milk on their own by establishing a co-operative union, Instead of supplying
milk to private traders. Sardar Patel sent the farmers to Shri Morarji Desai in order to gain his co-
operation and help. Shri Desai held a meeting at Samarkha village near Anand, on 4th January 1946. He
advised the farmers to form a society for collection of the milk.
Amul (Anand Milk Union Limited), formed in 1946, is a dairy cooperative movement in India. It is
managed by Gujarat Co-operative Milk Marketing Federation Ltd. (GCMMF).
AMUL is based in Anand, 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. It is also the world's biggest vegetarian cheese brand.
A product is anything that satisfies a need or wants and can be offered in the exchange. A product
can be goods, service or idea. Without product there is no marketing. This includes product
variety, quality, product design, and brand name, sizes, warranties. AMUL produces and sell the
product i.e. milk; it has to plan its product very carefully so that the consumer gets only good
quality products.
RAW MILK
pasteurization
Condensed
Packaged Milk
Dried
Ghee Skimmed Milk
Ice cream
Butter Powder
Beverages
Cream
List of Products Marketed
Bread spreads
Amul Butter Amul Lite Low Fat Breadspread Amul Cooking Butter
Cheese Range
Amul Pasteurized Processed Cheddar Cheese
Amul Amrakhand
Avsar Ladoos
Fresh Milk
Amul Shakti 3% fat Milk
Amul Ganthiya
For Cooking
Mithai Mate
Pro-biotic Dahi
Masti Dahi
Nut-o-Mania Range (Kaju Drakshi, Kesar Pista, Roasted Almond, Kesar Carnival, Badshahi
Badam Kulfi, Shista Pista Kulfi)
Nature's Treat (Alphanso Mango, Fresh Litchi, Anjir, Fresh Strawberry, Black Currant)
Cassatta
Health Isabcool
Brown Beverage
• Nutramul Malted Milk Food
Milk Drink
• Amul Kool Flavoured Milk
Health Beverage
• Amul Shakti White Milk Food
•Create awareness about the brand name and increase customer loyalty.
PRODUCT STRATEGIES
Product
•Create awareness about its different brands thereby enabling the customer to differentiate between its
various brands.
•Copy-write the packaging design to preserve the distinguishing identity barring competitors from
imitating the same.
•Introduction of larger volume pouches in line with economy packs to provide large scale buyers price
benefits.
•Different shaped pouches for its products for easy identification, e.g Square shaped pouch for Amul
Tazaa, rectangular shaped for Amul Gold, etc.
Place
Place refers to marketing activities that make products available to consumers at the right time in a
convenient location. It is the process of moving products from the producer to the consumer, which may
involve several steps and the participation of multiple.
AMUL has developed federation and AMUL parlors located in several part of country. The GCMMF
handles the works relating to managing of stocks and distributors in country. Thus GCMMF look after the
disbursement of product to the various marketing channels.
Price
It is the value, usually in monetary terms that sellers ask for in exchange for the products they are offering.
Pricing and product image are closely related. Customers will pay a higher price for well – known, well –
regarded products, partly because of the image created through advertising and other promotions. This
includes list price, discount, allowance, and credit terms. The prices of products of AMUL are also decided
by the GCMMF. The GCMMF conducts the market survey to check the validity and feasibility of prices in
the market and accordingly decides the prices of AMUL products.
•Cost of milk.
• Labour cost.
•Processing cost.
•Packaging cost.
•Advertising cost.
•Transportation cost.
•Taxes etc.
The GCMMF considers all these cost aspects and set them up in pricing structure to decide the selling
price of milk and milk products.
Promotion
Place refers to marketing activities used to communicate positive, information about an organization, its
products and activities to directly or indirectly expedite exchanges in target market. It includes a variety of
techniques including advertisement, sale promotion, public relation and personal selling that are used to
communicate with customers and potential customers.
AMUL promotes its products through newspaper, T.V.; hoarding etc. television is the best media for
advertising. The GCMMF however uses hoarding for advertising in local areas. Hoarding designed on the
creative basis attract the customer more.
THE DIFFERENT PRODUCT FOR DIFFERENT PEOPLE
Amul collects 447,000 ltrs of milk from 2.12 million farmers (many illiterate)
Amul launched Chocolate milk under brand name of ‘Amul Kool Koko’ targeting the youth.
India’s First Pro-Biotic Wellness Ice cream & Sugar Free Delights For Diabetics
Amul mainly produces dairy product which falls under nondurable goods category but also
produces durable goods
Examples
Dairy Non
Dairy
Fresh Milk
Veg. Oils
Milk Drinks &
Desserts
Snacks
Bread Spreads
Amul / Sagar Pure Ghee Nutramul
Amul Malai Paneer Amul Shakti Health Food Drink
Mithai Mate
Pro‐biotic Dahi
Masti Dahi
Utterly
Delicious
Pizza
Milk Drinks Powder Milk Fresh Milk
Amul
Kool
Flavoured
Amul
Shakti
Toned
Milk
Bottled
Milk
Amul
Kool
Flavoured
Amul
Calci+
Tetra
Pack
Amul
Masti
Spiced
Amul
Buttermilk
Buttermilk
Amul Lassee
Amul Kool Thandai
Table 3
Product-Width
The width of a product mix refers to the total number of items in the mix.
Example: The total number of items are 8. ( bread spreads , cheese , desert, cooking,health drink, milk
drinks,powder milk & fresh milk
Product-length
The length of a product mix refers to the total number of items in the mix.
Example:
Hence the average product length is ( Total Length / Number of lines) = 44/8 is less than 6
Product Depth
The depth of a product mix refers to how many variants are offered of each product in the line
Mithaimate Sweetened
400g Can Rs. 58
Condensed Milk
Name of Product Variants Price
Line stretching
Every company’s product line covers a certain part of the total possible range. Line stretching occurs
when a company lengthens its product line beyond its current range. The company can stretch its line
down market, up-market or both ways.
Example : Amul is now aggressively adopting the down market stretch by introducing ( CHHOTA
AMUL, Priced at Rs. 5 to take advantage of the Bottom of the Pyramid i.e. to individual of low income
group.)
Amul has been introducing products with consistent value addition but never left the core philosophy of
“Providing milk at a basic, affordable price”
Conclusion
This summarizes our research work on Amul’s Product Mix. There are various other strengths of Amul’s
marketing but we have only brought into context the above topic.