Sanghvi Institute of Management and Science, Indore

SUMMER INTERNSHIP REPORT

on
PROMOTIONAL STRATEGY OF SANCHI PRODUCTS IN
INDORE CITY

Guided by: Submitted by:

Prof. Pragya Jaroliya Sunita Patel
Mr. Kapil Rokde MBA-III SEM
ASM, Indore

ACKNOWLEGMENT

The successful completion of this project is the result of dedicated efforts, put by many
people and this project would be incomplete without giving due respect to them. This
acknowledgement is but a small token of gratitude in recognition of their help in my
endeavor.

I am grateful to Madhya Pradesh Co-operative Diary federation ltd.

Indore who gave us this opportunity. I also sincerely express my deep sense of respect
&gratitude to Mr. Kapil Rokde for his valuable guidance and support. His knowledge,
corporate experiences & remarkable patience led us through our Summer Training,
leading to the successful completion of our project.

We wish to extend our sincere gratitude to Dr.Naresh Singh for providing

us an opportunity to associate ourselves with Madhya Pradesh Co-operative Diary
federation ltd. Indore for our project.

I am thankful to each and every person who has contributed his surplus for
the completion of this project and also for the completion of this report. Working on
this project was a unique experience. Knowledge and experience gained from this
project will remain with me as unforgotten memories for a long period of time and will
be useful for the rest of my career.

Last, but not the least, I would like to thank my beloved parents for their
encouragement and co-operation during the time of working through this project. Also,
thanks to all the friends for their encouragement and support.

Sunita Patel
Sims, Indore
MBA-III SEM

2
 PREFACE

The MBA programme is well structured and integrated course of business studies. The
main objective of practical training at MBA level is to develop skill in student by
supplement to the theoretical study of business management in general. Industrial
training 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 training for 45 days in a company and then prepare a project report on the
same after the completion of training.

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 todays globalize world, where cut-throat 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”.

3
 “CERTIFICATE”

This is to certity that Sunita Patel student of MBA (Full Time) of “Sanghvi Institute
of Mangement and Science” have submitted the Training Report on “Madhya
Pradesh Co-operative Diary federation ltd. Indore” for the practical fulfillment of
the requirement for the award of the degree of master of Business Administration
(MBA) of D.A.V.V. (Indore).

To the best of my knowledge, the matter presented in this project has

not been submitted for the award of any other degree certificate.

INTERNAL GUIDE EXTERNAL GUIDE

------------------------ ------------------------
Ms. Pragya Jaroliya Mr.Kapil Rokde

4
 Table of contents:

Chapter Content Page no.

Chapter 1 Introduction 5
1.1 Company Profile 5
1.2 Organization Structure 5
1.3 Organization Mission 6
1.4 Organization Activities 7
1.5 Product Profile 11
1.6 Performance on Key Parameters 17

Chapter 2 SWOT ANALYSIS 19

Chapter 3 Training Activities

3.1 Training Objective 23
3.2 Company Visit 24
3.3 Market Creation 25
3.4 Product Promotion 27
3.6 Observations 28
3.7 Learning 28
3.8 Area of Improvement 29
3.9 Result 31
3.10 Achievements 34
Chapter 4 Conclusion 34
Chapter 4 Suggestions 35
Chapter 4 Bibliography

Chapter 5 36

5
 1. INTRODUCTION

1.1 Company Profile:

MP State Cooperative Dairy Federation (MPCDF):

MPCDF is the apex organization at the top of 3 tier structure of dairy cooperatives in
Madhya Pradesh. Underneath there are 5 autonomous regional co-operative milk
unions comprising of more than one district. Milk Unions have chilling centres, dairy
plants, powder plants and cattle feed plants at different locations. In turn, several
village level dairy co-operative societies which procure raw milk and send it to the
nearest chilling centre/dairy plant function under each milk union. MPCDF formulates
policies, monitors and assists the Milk Unions in implementation of dairy development
activities in the key functional areas including:-

Marketing
Field Operation
Quality Control
Monitoring & Planning
Administration
Finance
Purchase

1.2 Organization Structure:

6
 Indore Sahakari Dugdha Sangh(IDS)

Address: Chanda Talawali (Manglia), Indore

Districts Covered: Indore, Dewas, Khargone, Dhar, Barwani, Jhabua, Khandwa,
Burhanpur.
Processing Capacity: 2.00 Lakh Litre / Day.
Drying Capacity: 20 MT / Day.
Dairy Plant: Chanda Talawali, Chapda, Phulgawadi, Jhabua, Ambua,
Petlawad, Burhanpur, Khargone, Dudhi, Barwani, Barwah,
Khandwa.
Cattlefeed Factory: Manglia (100 MT / Day).
Products: Various types of liquid milk, Ghee, Skimmed Milk Powder,
Table Butter, White Butter, Shrikhand, Lassi, Peda, Flavoured
Milk, Butter Milk, Paneer, Curd and Sudana brand balanced
Cattlefeed.

1.3 Organization Mission:

 To carry out activities for promoting production, procurement, processing,

manufacturing and marketing of milk and milk products for socio-economic
development of the farming community.

 Development and expansion of such other allied activities as may be conductive for
the promotion of the diary industry, improvement and protection of milch animals
and economic betterment of those engaged in milk production.

1.4 Organization Activities:

Activities of MPCDF / Milk Union are governed by 3 major areas:-

A. Field Operation:

7
The Field Operation activities begin with organization of Dairy Co-operative
Societies in the rural areas and end with milk transportation to the dairy dock.
The basic Field Operations include:-

Organization of Dairy Co-operative Societies on 'Anand' pattern

Organizing milk producers farmers' training programs for formation of co-operatives,

awareness to co-operative principles & milk production enhancement techniques etc.

Procurement and transportation arrangement of milk.

Providing Technical Input services to the milk producer farmers for milk production
enhancement such as Animal Health Care (First Aid & Emergency), Artificial
Insemination, Balanced Cattlefeed and improved fodder seed etc.

Preference to economically weaker sections, small & marginal farmers, scheduled

caste / tribe categories in various activities

B.Plant Operation:

The plant operation activities begin with receipt of milk at the Chilling Centre /
Dairy Dock and end with dispatch of milk & milk products for distribution. The
basic activities of Plant Operations include:-

8
 Reception of milk at Chilling Centre / Dairy Dock.

Testing of milk.

Milk Pasteurization

Milk Chilling

Milk Packing

Manufacturing & packing of Main products like Ghee, SMP, White Butter & Table
Butter.

Manufacturing & packing of indigenous products like Shrikhand, Lassi, Peda, Salted
& Plain Butter Milk, and Flavored Milk etc.

Storage of products

9
Methodology:-

The procurement of milk is done from the rural areas (villages) with the help of various
persons engaged in the milk production and distribution. After obtaining the milk from
the milk yielding animals, the milk is collected at village level centers called Diary
Cooperative society (DCS).The milk collected at DCS is then sent to the chilling
centers, where the milk is kept at a very low temperature (approx.0-5 deg C). From the
chilling centers, the milk is sent to Regional level plants, where the purity of the milk is
tested in laboratory and the milk is pasteurized. The milk is transported from the
chilling centers to the Regional level plants in the air tight tankers in which the
temperature is maintained between 0-5 degrees C in order to avoid spoilage of milk.

All the Regional level plants or milk unions are under control of Madhya Pradesh
Co-operative Diary Federation (MPDCF) which is a Government Organization.

Pasteurization is the process of heating milk at 70 deg C, to destroy the

harmful bacteria and pathogenic micro-organisms and to make the milk perfectly pure.
After Pasteurization, fats and proteins are added in different amounts according to the
requirements and categories of the different packs (gold, diamond, smart etc.).

10
 After the completion of the whole process of milk testing, the milk is
packed in different packets according to the variety, and the finally the milk is
distributed to the various Sanchi parlors and Sanchi agencies.

C. Marketing:

The Marketing Activities at the Milk Unions/MPCDF can be summarised

hereunder :-

Marketing of different types of milk in different pack sizes (Full Cream Milk,
Standard Milk, Toned Milk, Double Toned Milk, Skimmed Milk etc.) under the brand
name "Sanchi".

Marketing of Indigenous fresh milk products (Ghee, Flavored Milk, Butter Milk,
Shreekhand, Sweet Curd, Mattha, Dahi, Lassi, Peda, Chakka, Mawa, Paneer etc.) under
the brand name "Sanchi" within the state.

Sales Promotion and advertising.

Sale of surplus milk to the other cooperative Milk Unions under the State Milk Grid
(SMG) and to other Cooperative Organizations / Milk Unions outside the state under
the National Milk Grid (NMG).

Marketing of Ghee, Skimmed Milk Powder (SMP) and Table Butter under the brand
name "Sneha" by MPCDF (products manufactured by the Milk Unions) outside the
state.

Consumer Awareness about Pasteurization of milk, "Quality" and "Hygiene" aspects

of "Sanchi" milk and milk products.

Distribution System for liquid milk and milk products in the towns.

Tapping new areas and townships for sales coverage.

Organizing campaigns against adulterated milk .

11
1.5 Product Profile:

A. Different varieties of milk:-

1. Sanchi – Smart
Double Tonned Milk

Sanchi health is pasteurized double tonned milk.

Contains 1.5% fat and 9% solid not fat(SNF).

It is homogenized milk which contains proteins,minerals and vitamins.

Ideal milk (with less fat) for health conscious persons.

Available in 500 ml and 200 ml pouches in Ujjain, Bhopal, Gwalior, Indore and
Jabalpur milkshed area.

2. Sanchi – Taza
Tonned –Taza

Pasturized and homogenized toned milk.

Contains 3% and 8.5% solid not fat(SNF).

It is a balanced milk suitable for every age group .

Available in 200 ml, 500 ml and 1000 ml pouches in Ujjain, Bhopal,

Indore, Gwalior & Jabalpur milkshed area.

12
3. Sanchi – Shakti
Standardised Milk

Sanchi Shakti is pasteurized Standard Milk.

Contains 4.5% fat and 8.5% solid not fat(SNF).

It contains proteins, ,minerals and vitamins.

Ideal milk tea, curd and other home made sweets.

Available in 500 ml pouches in Ujjain, Bhopal, Gwalior Jabalpur and
Indore
milkshed area.

4. Sanchi – Gold
High Fat Milk

Sanchi health is pasteurized full cream milk.

Contains 6% and 9% solid not fat(SNF).

It has high nutritive value with body building proteins, bone forming
minerals and vitamins.

Available in 500 ml and 1000 ml pouches in Ujjain, Bhopal, Indore, Gwalior &
Jabalpur milkshed area.

5. Sanchi – Diamond
High Fat Milk

Sanchi health is pasteurized full cream milk.

Contains 7% and 9% solid not fat(SNF).

13
 It has high nutritive value with body building proteins, bone forming minerals and
vitamins.

It is ideal for making Kheer and Ghee at home.

Available in 500 ml and 1000 ml pouches in Bhopal, milkshed area only.

B. Yoghurts:-

1. Sanchi – shrikhand

Semi-soft,sweetish-sour,whole milk product prepared by traditional method

from lactic fermented curd.

The chakka is mixed with required amount of sugar and natural cardamom.
A delicious substitute
It is available in 100gm and 500 gm plastic cups . for food when away
from home and
Manufactured and sold by Bhopal, Indore, Jabalpur, Ujjain and Gwalior during fasting.
Sahakari Dugdha Sanghs from their exclusive milk parlours in towns/railway station
and other agencies

Shelf life is 3 days when stored under refrigeration.

2. Sweet – Curd

Obtained from pasteurized milk by souring harmless starter culture.

Contains can sugar and as a part of food, it increases nutritive values

Most suitable
Most palatable, easily digestible. nourishment for
all age groups.
Therapeutic value in the stomach and during instantial disorder .

Manufactured and sold by Bhopal, Indore, Jabalpur, Ujjain and Gwalior Sahakari
Dugdha Sanghs from their exclusive milk parlours in towns/railway station and other
agencies

Shelf life is 2 days when stored under refigeration.

14
3. Sanchi – Lassi

A delicious dairy product made from fresh milk and prepared from whole milk
contains sugar and permitted flavor.

Sanchi lassi contains appreciable amount of milk protien and pharpholipids and an
excellent beverage for quenching thirst.
Drink to get
It is available in 200 ml plastic glasses .
swetish sour
mouth licking
Manufactured and sold by Bhopal, Indore, Jabalpur, Ujjain and Gwalior Sahakari
taste
Dugdha Sanghs from their exclusive milk parlours in towns/railway station and other
agencies

Shelf life is 3 days when stored under refigeration.

4. Sanchi – Butter Milk (Mattha)

Good beverage for quenching thirst by reason of its lactic acidity .

Contains zeera, black pepper, salt to give it a nutritious value .

It has nutritious values and therapeutic properties

It is available in 200 ml poly pack . Quench your

thirst with salt
Manufactured and sold by Bhopal, Indore, Jabalpur, Ujjain and Gwalior Sahakari And spice
Dugdha Sanghs from their exclusive milk parlours in towns/railway station and other
agencies

Shelf life is 2 days when stored under refigeration.

15
C. Main Products:-

1. Sanchi/Sneha – Ghee

Richest source of milk fat, prepared from direct heating of milk cream
usually obtained by normal separation of milk.

It has fine Grains, and good keeping qualities .

Good source of Vitamn A,D,E & K.

Avaliable in duplex refill packs of 200 ml, 500 ml, 1litr, 5 ltr tin / jar, 15 ltr tin / jar .

Manufactured and sold by Bhopal, Indore, Jabalpur, Ujjain and Gwalior Sahakari
Dugdha Sanghs from their exclusive milk parlours in towns/railway station and other
agencies

Best before 180 days.

2. Sanchi sneha – Skimmed Milk Powder

Spray dried,instantly soluble milk powder obtained from the skim milk of cow
or buffalo milk by removal of water .

An ideal dietary supplement for low calories and high protien diet. Most ideal instant
soluble dry milk
Can be conveniently used for making tea,coffe,curd(dahi),chenna,lassi,pudding to be at your
and other milk based sweets home. Bake or
make icecream,
Available in 200 gm, 500 gm, duplex refil packs and 25 Kg bags. tea or sweet meat
Manufactured and sold by Indore and Gwalior Sahakari Dugdha Sanghs from their
exclusive milk parlours in towns and other agencies.

16
 Best before 180 days.

3. Sneha – Table butter

A fat concentrate, obtained by churning of cream gathered from fresh

milk of cow & buffalo.
Matches the brand leader
Has a creamy pleasent delicate aroma. salt and permitted butter colour in quality and taste
are also added to give rich especially tailored to Indian taste.

Can be used as spreading on bread , toppings on parathas , rotis , puris , and other
foods.

It is ideal in backing and cooking and to spread on bread.

Available in 200 gm & 500 gm duplex refil packs.

Manufactured and sold by Indore Sahakari Dugdha Sanghs from their exclusive milk
parlours in towns and other agencies.

Best before 180 days.

D. Others:-

1.Sanchi – Urja
Double Tonned Flavoured Milk

Double toned sterilized flavoured milk

Free from micro organism harmful to consumer health. Under packed conditions,
does not need refrigerated storage.

No formation of cream layer due to homogenization.

Value for Money
Permitted fruit flavoures / essences together with permitted (matching) colors and
sugar are used

Available in 200 ml glass bottles and poly packs.

17
 Manufactured and sold by Bhopal, Indore, Ujjain, Gwalior & Jabalpur Sahakari
Dugdha Sanghs from their exclusive milk parlours in towns and other agencies

Best before 15 days.

2. Sanchi – Peda

Dessicated sweetened milk product.

It has 20% fat, 30% SNF, smooth granular texture.

Try and find the difference
Delicious and tasty dairy product.
in taste and quality
Can be used as spreading on bread , toppings on parathas , rotis , puris , and other
foods.

Available in 250 gm & 500 gm duplex board packs.

Manufactured and sold by Bhopal, Indore, Ujjain, Gwalior & Jabalpur Sahakari
Dugdha Sanghs from their exclusive milk parlours in towns and other agencies.

Best before 3 days.

3. Sudana - Balanced Cattlefeed

Moisturizer – 11% (Max.)

Protein - 20% (Min.)

Fat – 2.5% (Min.)

Fiber – 12% (Max.)

Silica – 4% (Max.) Value for Money

Salt – 2% (Max.)

Calcium – 0.5% (Min.)

18
 Phosphorous – 0.5% (Min.)

Vitamin A 5000 IU / Kg

Available in 50 Kg poly bags

.
Manufactured and sold by Bhopal & Indore, Sahakari Dugdha Sanghs.

4. Sanchi Ice-Cream

Recently launched delicious & nutritious ice-cream marketed by

Bhopal ,Indore and Ujjain Dugdha Sanghs.

Product contain 10-12 % fat and 36 % total solids.

It gives approx. 210 calories/100 grams.

Contain pure milk fat.

Available in four pleasant flavours i.e. Vanilla, Strawberry, Butterscotch and Kesar
Pista in 50 ml, 100ml, 1 litre brick to be introduced soon.

Shelf life 12 months when stored under refrigeration at minus 24oC temperature.

1.6 Performance on Key Parameters:

Particulars 2001- 2002-03 2003- 2004- 2005- 2006- 2007-

02 04 05 06 07 08
Dairy 4540 4581 4587 4713 4898 5201 5507
Cooperativ
es
Farmer 218617 220660 225745 233144 246283 251274 255589
Members
Average 310085 291876 294465 394353 462379 442038 451712
Milk
Procureme
nt (KGPD)
Local Milk 226458 243910 295521 303344 315435 340209 374942
Marketing
(LPD)
No. of AI 545 600 596 621 585 598 621
Centres
No. of AI 88431 111746 115462 129637 158433 163599 170679
Done

19
Balanced 32214 34329 34503 45511 57987 64167 64508
Cattlefeed
Sale by
DCSs (MT)
Cattle 35492 40994 66152 86296 81729 72965 84355
Induction
(No.)
Turnover 181.47 190.08 221.43 264.61 305.80 354.27 429.73
(Rs. Crore)

2.SWOT ANALYSIS

STRENGTHS:

1. QUALITY “THE USP-Unique Selling Proposition”:- The uniform and

good Quality of fresh milk that Sanchi provides to its consumers gives a
competitive benefit over its other competitors.

2. BRAND NAME:- The brand name Sanchi also makes the customer to make
a purchase of the fresh Sanchi product.

3. PUBLIC ACCEPTABILITY:- In the market it happens that the product

acceptability greatly depends on the Brand name and Brand image of the
company. Name of Sanchi is not new to the customer so they do not hesitate
to use its products. Sanchi is a name which has not only made its place in
the mind of the customers but also conquered a special corner in their hearts,
which is extremely necessary for a product to do well. The Product should
rule the minds and hearts of the consumers.

4. STRONG SUPPLY CHAIN OF SANCHI:- As it is into the fresh milk

market where the timely delivery of milk. early in the morning is the most
important thing. Sanchi is very well managing its supply chain drivers.

5. DEDICATED & HARDWORKING STAFF:- The ROUND THE

CLOCK working staff puts the organization a step ahead of the other
competitors. The commitment that the staff posses towards the organization

20
 and the way they give their dedicated round the clock services and the
efforts they put in the success path is an ASSET for the organization.

WEAKNESS:

1. POOR ACTIVATION:-The poor activation of Sanchi fresh milk is a major

factor for its decreasing retail sale in Indore city. The company should go
for aggressive activation like Banners, T-stands, Glow Signboards, Posters
etc. so that the customer should very well find the retail outlet where sanchi
fresh milk is available.

2. FREQUENTLY INCREASING PRICES:- The organization should put a

check on the frequently increasing prices. As the organization very well
knows that the Indian customers are very PRICE SENSITIVE they switch
over from one brand to another very easily; due to the reason that major part
of population comes under the middle class & middle class does make
compromises in their lives specially when it comes to the economic part.
Hence the company should try to manage the ECONOMIES OF SCALE.

3. INCREASE THE DISTIBUTERS & RETALIRES MARGIN OF

COMMISSION:-Sanchi should also increase or at least give a
COMPETITIVE MARGIN OF COMMISSION to its distributors and
retailers as this very margin factor creates dissatisfaction among these
people this leads to lower level of interest and participation ultimately
results a low market share. As these people are considered very important
organization is bound to face N number of problems if these people are
dissatisfied also they may hamper sales as they are the one who are with the
direct contact of the customer.

4. LEAKAGES:-The Company should look after the problem of continuous

leakages as it does not has any provision of replacements it is the direct loss
of the distributors hence creating dissatisfaction among them ultimately
affecting the company’s sales.

21
 5. COMMUNICATION GAP:-The lack of two way communication
between; the company as well as the retailers & even customers also
hampers the exponential growth of the organization. The distributors &
retailers should have the knowledge of actual schemes & benefits time to
time offered by the company. Any information should efficiently,
effectively & moreover smartly circulated in the market to avoid
misconceptions and even rumors.

OPPORTUNITIES:

1. Certain Promotional activities such as sales promotion should time to time

offered by the company in competition with the other brands to get a
competitive edge over others.

2. Sanchi should start certain motivational programs for its distributors as well
as retailers so as to increase the sales volume. Various programs such as the
membership cards scheme which has proved very helpful in generating
revenues for large retail chains & stores across the world. Various cards
such as PLATINUM, DIAMOND, GOLD& SILVER CARDS can be
issued to the distributors & retailers on the basis of their sales volume
providing them certain benefits & discounts which is a practice of
relationship marketing; hence it will provide them with high satisfaction
levels and more involvement, along with more dedicated efforts as
continuously they would try for more and more sales in their areas to get the
next higher cards hence increasing the sales turnover. This not only will
help to increase the sales volume but also the brand loyalty.

3. Their exist very large amount of opportunities for the sale in the upper
middle class as well as the high class households of Indore city but the
company should pay emphasis on the home delivery service to bag this
opportunity.

4. The company should identify the current behavior of the consumer like for
example if talk of the current scenario; the population in the various urban
cities is getting calorie conscious also the sale of sanchi standard milk is
more than of the GOLD in Indore city hence the company can portray the
benefit of low fat milk along with good health. Whereas in rural areas sanchi
full cream milk can be promoted more as per the consumers preferences

22
 5. Sanchi should try to associate certain other specific benefits such as
farm/dairy fresh etc, along with quality and brand name with its fresh milk
products which will definitely attract new customers without affecting the
number of previous once.

6. As per the present marketing environmental trends various new concepts

such as CRM, SRM & all other relationship marketing concepts are
emerging sanchi needs to make appropriate use of the above concepts in its
business practice as the fresh milk business is much more as a service along
with a product.

THREATS:

1. The various big players of the markets such as Reliance, Bharti, Coca-
Cola, Pepsico etc are identifying huge business opportunities and large &
long-term profits in the dairy industries they have already stepped in this
segment in order to serve the customers in much better manner and much
more efficiently & effectively. Thus sanchi as a cooperative organization
has to load its guns against this competition.

2. In any service industry their are certain gaps due to the various reasons the
organization needs to identify these gaps and take necessary actions to fill
this gaps in order to increase its service quality.

23
 3.TRAINING ACTIVITIES

3.1 TRAINING OBJECTIVE:

1) To convince the Retailer/ Distributor to open

. outlets, parlors & agencies.

2) Customer base.

3) To create and increase awareness among people.

4) To know the production process of sanchi products.

5) To gain real exposure of market.

6) Various efforts of Sanchi to satisfy its Retailer and Distributor

24
3.2 COMPANY VISIT (09-SEP-2008):-

The company has five major milk treatment plants all over in
M.P. Chanda Talawali,manglia (Indore) milk plant works
under state co-operative federation Madhay pradesh during
the visit we had a great exposure about processing of milk and
the treatment given to the milk directly collected from the local
farmers.

Activities performed in plant:

Collection of milk

25
 Testing for water content

Separation of impurities

Proceed for pasteurization

Separation of milk products

Testing of contents

Packaging

Storing

3.3 MARKET CREATION:-

26
“You can have the very best technology in the world, and if you don't get it out
there and market it, if you don't have a distribution network, then it doesn't have
any impact."

Creating markets at the base of the pyramid is hard work. This theme
that has resurfaced again and again in my recent work, whether at a gathering of
budding BOP-focused entrepreneurs or during a conversation with established social
innovators.

Making markets work is most readily apparent as an option for those

resources that are already widely traded in some marketplaces (e.g. elephantivory, eco-
tourism services), (Swanson and Luxmoore, 1996). It is also a potential option for those
resources that are in use as commodities although not necessarily in trade (e.g. plant
genetic resources, medicinal plants),(Swanson, 1995). Finally, there are other uses that
might be traded when bundled with other goods or services that are tradable (e.g.
watershedservices), (Heal, 1999; 2000).In many other cases, market creation is feasible
but requires that the policy-maker consider the imperfections that may be inhibiting the
accurate valuation and ready exchange of the biodiversity resource in the market.These
imperfections may be addressed through specific reforms or more general institution-
building. Specific reforms may be devised to address the specific nature of the market
imperfection (e.g. information failure, externality or excludability problems).

Market Creation is the main objective of every organization. Every

organization want to increase their market and for the purpose they adopt strategies.
During the training period we learnt how to create market in this activity we adopt
following strategies:-

27
Find out the gap: -In this activity we found the gap where we are lagging in the
market where our product is not selling out after knowing the gap we went to these
areas and contact the retailers and explain our product features and their profit on
selling sanchi product . I also explain sanchi is the brand of the M.P. state and the
milk requirement is necessity at every home so it become easy to sellout sanchi product
during the training period we also learned how to convince the customer which seems
to be very difficult work but the brand name sanchi as a market leader helps us to made
the task easy .

Market Survey: -Market survey is important part of the marketing in this activity we
went to the market and lookout those areas in which our product is not selling out and
found those people who are interested to sell our product . in the market survey we
went to the retailors and asked them whether they are selling our product or not if they
say no so it become easy to convince them to sold the product, but the basic
requirement is refrigerator and a deposit of Rs 3000 as a security . if retailers already
selling other millk so we explain the plus point of our product and their profit but some
customers are not ready to convince so we got move ahead and looked at other shop
because we know it is a part of the marketing. In the market survey we did field job
there was no primary data provided to us . In market survey we went to those shop also
those sold our milk than we asked them about problems and we solved their problem .

To make strategy for target group and our target group is kirana store and
who are capable to sell the milk product. We open the agencies and parlors. To attract
them by making attractive proposal and to attract towards company’s product.

To expand the market of the sanchi product like: - Doodh, Ghee, Dhai,
Butter etc. To make better relation between company and customer we reach to them.
To make direct communication to the customer and non customer member in the
market survey. We also try know about the market taste and which types of the
products like by the customer.

Create demand by using advertising because without advertising is not

possible to create our product as a brand. Study about retailer and wholesaler it is very
important because if you don’t know the demand of retailer and wholesaler than you
can’t create your market.

Find out the present marketing structure and work on that and to know
the competitors strategies if you know than you will beat the competitors.

A product can launch in a new market segment through these creation activity:-

28
  Personal selling
 Advertising
 Publicity
 Sales promotion

3.4 PRODUCT PROMOTION:-

Product promotion is the process of creating awareness among customers, dealers,

retailers, wholesalers to create market demand and to make them aware about features
and benefits about product offer.

BIO-MAGIC (PROBIOTIC) CURD :-

It is a curd contain Probiotic bacteria which is first time launch by any dairy in
India. Bio-magic is certified with ISO 9001-2000 and also recommended by FAO
WHO (Food and Agriculture Organization).

Features:-

 It protects the Intestine from

Infections.

 Strengthen to digestive system.

 Enhance the resistance power of body.

 Contain Calcium as well as Protein.

Promotional activities:-

As it is first time introducing in M.P. it is recommended to create awareness among

professionals like Doctor and educational institution. For the purpose following
promotional activates was being conducted by us:-

29
 1. Doctors:-As doctors are considered to be the most responsible person to
spread health consciousness among citizens, for the purpose we convince them to have
a promotional statement of Bio-magic curd on their prescription.

2. Institution:–Institution like colleges and school are being targeted by us to

make them use such a hygienic and health friendly product during their lunch time
by providing them the product at the discounted price.

3.6 Observations:-

 Good quality of products.

 Interested candidates for opening agencies, parlors,

and outlets.

 Company’s brand image.

 Lack of competitors.

 Less number of potential employees at the lower level

of hierarchy.

 The problem of awareness of competitor’s products.

 Varieties of products for different users.

3.7 learning:-

30
 1. Improvement in marketing skills and
communication skills.

2. Gain practical knowledge of the market.

3. Learnt how deal with target customer.

4. Learn market creation & promotion

activities.

5. Practical knowledge of distribution channel.

6. Known company production plant working.

7. Practical experience of working with an organization.

8. Learnt about company marketing strategy.

9. Helped in opening new outlets.

10. Learnt how to make project.

11. Team work.

12. Time management.

13. How to satisfy the retailer

3.8 Area of the improvement:-

As such there was no major problem because there are a few numbers of competitors in
the market and SANCHI has a good brand image among their customers, retailers,
wholesalers as well as their market intermediaries.

There are some problems Sanchi is facing and they should improve to
capture the whole market and to strengthen their position in the market:-

1. Difficulties facing by Sanchi.

2. Difficulties facing by retailers and distributors.
3. Difficulties faced by trainees during the training time.

1.Difficulties facing by Sanchi:-As the competition is increasing day by day and

number of competitor are arising in the business, it is required to improve the quality of
the product by developing competitive strategies and implement them effectively.

Some of the difficulties are:-

31
a) Problem of leakage:-It might be possible this problem is arises during the time of
packaging because of fluctuations in power supply, so Sanchi should ensure the proper
power supply. But there may be some another problem what we were observed during
training, at the time of filling and loading of milk in the vehicles, the packets get leaked
just because of mishandling.

b)Problem of pricing:Some product offered by sanchi like Bio-magic(Probiotic)curd

priced to high(Rs.12 /180gm.)Same quantity of curd is available in market at a price of
(Rs.6.50 /180gm.).So sanchi should price there product according to competitors
product.

c)Problem of perishibility:Athough milk products does not perishable enough to

consume after a long time but some of the product offered by sanchi like milk, ghee etc.
are not performing up to the mark and get contaminated easily if not use within a time
limit.

d)Problem of supply: Some time it becomes hard to supply the product according to
the demand in the market because of seasonal change, festivals or availability of milk
for local farmers therefore sanchi should ensure its readiness during contingencies.

e)Decision making:To take a decision number of steps to be followed because of

involvement of government policies which is sometimes being affected by political or
social factors.

2) Difficulties facing by retailers and distributors: As sanchi is having around 1000

retailers in Indore it becomes difficult to satisfy their requirements as and when
required. because of this large no. of retailers some problem are faced by them. those
problem are:-

a) Compensation:-Retailers does not get any compensation against the leakages and
no kind of replacement made against such leakages therefore sanchi should change
there policies.

b) Distribution timing: - As the process of distribution starts 12.00 o’clock. Some of

the retailers got there deliveries too early so they are not able to count the quantity of
milk the placed earlier.

c) Feedback:-No proper feedback is taken by the supervisors to know the difficulties

facing by the retailers.

3. Difficulties faced by trainees during the training time:-

32
 Lack of Coordination among trainees and supervisors because of lace of
interest taken by them and lack of motivational factor which can cause them dedicated
to their work.

3.9 Result

Measurement and analysis of variables-Retailers

Distribution and supply of product

33
 3
5%
2
49%
1
46%

3
2 3%
30%

1
67%

Inference: According to the result revealed by above charts, sanchi is lagging behind
the competitors in term of delivery of product on time. The responses suggest that
sanchi delivers the product 46% on right time will behind the competitors which has
got 67% score on parameter of almost on time delivery.

Visit of salesman and wholesale distributor

34
 2
15%

2
13%

1
85%
1
87%

Inference: According to the result revealed by above charts, sanchi is slightly ahead of
its competitors in terms of visit of salesman and wholesale distributor.

Difference of price

2
19%

1
13% 3
68%

Inference: The response on parameter of price suggests that, only 13% respondent
thinks that Amul has price less than Sanchi. Actually the Sanchi are having price lower
than Amul due to their lower input cost,

Quality difference

35
 2
6%
1
26%

3
68%

Inference: According to the result revealed by above charts, Sanchi is undoubtedly the
market leader in term of quality of milk based product with the response of 68%
because Sanchi has a local product.

Satisfaction level for offers/ promotional schemes offered

2
6%
1

Inference: The 26%

response on 3
68%
parameter of various
offers/promotional
schemes offered by
different brands
suggests that, only
10% respondents
are satisfied of Sanchi offers and promotional schemes, as compared with 71% satisfied
respondents for competitors. This parameter also encompasses the advertising at local
level and promotional material provided to the retailers.

3.10 Achievements:-

1. Convince more then 110 doctor to promote our product with their
prescription.

36
 2. Open more than 30 outlets.
3. We got more than 15 orders from educational institutional.

CONCLUSION

After the training we come to a conclusion that Sanchi used it’s USP that differentiate
to its competitors. By using the advertising and Promotional activities Sanchi can
create awareness to those areas where its competitors are strong.

Although Sanchi fresh milk is doing very well in the Indore city market
with its gold and standard brand; but it needs to pay more emphasis on the competitors
like Amul, Sourabh etc.

These local competitors are providing the milk at lower price in the
markets along with better margins to their retailers and distributors. Thus Sanchi needs
to check their actions on a frequent basis.

37
SUGGESTIONS

1. First of all, the distribution channels should be improved.

2. Advertisement expenditure should be increased in order to the expansion of the

customers.

3. The packaging problem should be improved in order to improve the leakages and
wastages of products.

4. The company should highlight its USPs(unique selling points) to take advantage
over their competitors.

5. The employees should be trained time to time in order to enhance their

performance.

6. Discount:-To increase sell, or to increase agency should give more discounts to

them.

7. Margin:-To increase sell, or to increase agency should give more, so that they

38
 will feel satisfy and work more.

8. Offers:-With an interval of time offer should be come.

9. Commissions:-One of the areas where Sanchi should think that, give more and
more commission to its agency persons.

We found that only because of these above points that we mention,

Sanchi competitors take advantage and capture areas where Sanchi has its major
potential area.

BIBLIOGRAPHY

 www.mpcdf.nic.in

39
 www.wikipedia.com

 www.google.com

 Marketing Management by Philip Kotler (the Millennium Edition)

 www.prenhall.com

 Sales and distribution Management by Dr. S.L.Gupta

Questionnaire

40
1. Distributor’s Name:

2. Address:

3. Phone No:

4. Total Capacity/Demand per Day :

(a) Gold________________ (b) Shakti ___________________

(c) Tazza________________ (d)Standard__________________

5. Problems Faced By You:-____________________________________

____________________________________________________

6. Are you Satisfied with the Delivery Timings?

(a) Yes (b) No

7. What should be the Timings you are Comfortable with:-_____________

8. Are there any Complaints regarding:-

(i) Leakages ( )
(ii) Shortage ( )
(iii) Quality ( )

9. Are you satisfied with the current payment structure?

(a) Yes (b) No

10. Comment about the varieties /flavours of Bavereges offered by different

Brands?

(i) Better than Sanchi ( )

(ii) Same as Sanchi ( )
(iii) Inferior than Sanchi ( )

11. Are you aware of any Sanchi’s advertisement ?

(i) Yes ( )
(ii) No ( )

41
12. Do you have any problem related to company person and transporters
staff:-
_____________________________________________________________

13. Suggestions to improve Service and Quality?

a. For Retail Outlets ( )
b. Home Delivery ( )

14. Suggestions for improvement:_______________________________________

________________________________________________________________

42