Documente Academic
Documente Profesional
Documente Cultură
With the increase in per capita income and wide range of choices
being available, consumers are main focus for many milk producing
organizations. With competition at its all time peak and with
changing trends in demand the companies are finding it hard to
survive or to retain their market share. In order to lure the
consumers, companies study the quantity being purchased by
consumers and at what price. We here try to find out how these
factors, confining ourselves to milk market of India, and many other
factors affect the demand of consumers for milk.
CONTENTS
1. Introduction
2. Scope of the study
3. Objective
4. Company Profile
5. Product Profile
6. Review of literature
7. Research methodology
8. Limitation
9. Data analysis and interpretation
10. Finding
11. Suggestions
12. Conclusion
13. Bibliography
Introduction
The product abundance is visible in the overcrowded shelves. There is
virtual product explosion in various categories. The reality is only few
of them win consumer’s heart and soul. The rest languish to be later
on pulled out. The product may start as product and die at store
shelves as products. But successful product starts as product in the
factory and goes on to become brands in consumer’s hearts and
minds. Brands are bridges between the factories where assembly take
place and the consumer who seek end goals and values. It is this
connection makes them true generator of corporate wealth and power.
The value of a business is now determined by the brands it holds
rather than the conventional assets it possess. Every company’s
product portfolio contains products with different margins. The main
point is that companies should recognize that these items differ in
their potential for being priced higher or advertised more as ways to
increase their sales, margins, or both. The companies’ must review
how the line is positioned against competitors’ lines. Product and
brand management comes up as important aspect of management to
understand the customer needs and relate them to the product so that
product can be positioned in a distinctive way.
HISTORY:
OMFED is representation of the economic freedom of dairy farmers.
The core values of the company are:
Supply Chain and distribution channel of OMFED are quite vast and
spread over ensuring easy availability of milk and milk products.
MARKEMTING:
OMFED is the marketing arm of the network and manages the
physical delivery and distribution of milk and dairy products from all
the Unions to customers. OMFED is also responsible for all decisions
related to market development and customer management. These
activities, which range from long-term planning to medium-term and
short-term operational decisions are described below. As mentioned
earlier, introduction of new products and choice of product mix and
markets should be consistent with the growth strategy, and
synchronous with growth in milk supply. OMFED’s demand growth
strategy may be characterized by two key elements: (i) developing
markets for its high value products and (ii) maintaining a healthy level
of customer base for its base products (low value segment). This
strategy often requires OMFED to allocate sufficient quantity of milk
supply to low value products, thereby sacrificing additional profits
that could be generated by converting the same to high value
products. While deciding between milk and milk products, priority is
given to meet the daily demand of milk and after that only the surplus
milk is used for manufacturing of milk products. Interestingly,
advertisement & promotion was not considered to be enough of value
addition and hence the budget was kept relatively small. Instead,
OMFED preferred a lower price with emphasis on efficiency in
advertising. In this context, OMFED provides umbrella branding to
all the products of the network. For example, liquid milk as well as
various milk products produced are sold under the same brand name
of OMFED. OMFED also plays a key role in working with the
Unions to coordinate the supply of milk. In essence, it procures from
multiple District Unions, which in turn procure from the Village
Societies registered with each Union. OMFED is planning web based
ordering facilities for its customers. A well-defined supply chain is to
be developed to provide service to customers who order in this
manner.
VARIATIONS OF OMFED:
Double toned Milk
It‟s fresh it‟s pure it‟s co-operative milk with assurance of Omfed.
Omfed double toned milk - tasty and nutritious with low fat content.
A dream come true , especially for all the calorie conscious people
who love the taste of milk but are worried of its cream content.
Omfed double toned milk complements your daily workout perfectly.
So , to maintain complete harmony between your body and soul
you‟ve got to “fresh and pure”.
Toned Milk
Omfed bulk vended token milk – healthy and tasty to the last drop.
Homogenised to evenly distribute the cream content , it‟s thicker
and a lot easier to digest. It‟s the magic of homogenisation that
makes your kheer thicker and shake frothier. Fortified with Vitamin A
, which not only is good for your complexion but also helps prevent
night blindness. What‟s more , it gives your children the energy to
stay active through work and play.
Cow Milk
Omfed‟s cow milk has a yellowish tinge due to presence of an
element called carotene and is a good source of Vitamin –A,B-12 and
Vitamin D. Cow milk is considered to be easily digestible. Whether
poured on breakfast cereal or enjoyed alone as a cold glass of milk,
this can be enjoyed year around.
Skimmed Milk
In skimmed milk , as much of the fat as is possible is removed , yet it
continues to supply all the nutrients that full cream milk does. The
young at heart would particularly find it a tempting option. So its the
best option to remain energetic and young.
SCOPE OF THE STUDY
Objective:
To carry out activities for promoting production, procurement,
processing and marketing of milk and milk products for
economic development of the rural farming community.
Development and expansion of such allied activities as may be
conducive for the promotion of the dairy industry.
Improvement and protection of milch animals and economic
betterment of those engaged in milk production. In particular
and without prejudice to the generality of the forgoing
objective, the federation may purchase and/or erect building,
plant machinery and other ancillary objects to carry out
business.
Study problems of mutual interest related to procurement,
marketing of dairy and allied products.
Purchase commodities from the members of other sources
without affecting the interests of the members, process,
manufacture, distribute and sell them same, arrange to
manufacture/purchase and distribute balanced cattle feed and
for the purpose to set up Milk collection and chilling centres.
Milk Processing Plants, Product factories etc., in any of the
district covered under its area of operation.
Provide veterinary aid and artificial insemination services and
to undertake animal husbandry activities so as to improve
animal health care disease control facilities.
Advice, guide and assist the Milk Union in all respects of
management, supervision audit functions.
Render technical, administrative, financial and other necessary
assistance to the member unions and enter in to collaboration
agreement with someone, if the need arises.
Advise the member unions on price fixations, public relations
and allied matters.
BRAND POSITIONING:
Positioning is a marketing strategy that aims to make a brand occupy
a distinct position, relative to competing brands, in the mind of the
customer. Companies apply this strategy either by emphasizing the
distinguishing features of their brand or they may try to create a
suitable image through advertising.
Positioning :OMFED
A mass market player, no premium offerings
USP – Quality with affordability
OMFED creates value for money for both the dairy
farmers and the customers
Social Image: Socio-economic developer of Farmers
TRADE MARKS
The Orissa State Cooperative Milk Producers
Federation also known as OMFED is one of the Milk
Federation affiliated to the National Dairy Development
Board (NDDB), situated at Bhubaneswar, the state
capital of Odisha. It is an apex level Milk Producers'
Federation in Orissa registered under Cooperative
Society Act – 1962. Omfed was established based on
AMUL pattern under operation flood-II of National Dairy
Development Board (NDDB), for promoting, production,
procurement, processing and marketing of milk & milk
products initially in undivided districts of Puri, Cuttack,
Dhenkanal, Keonjhar.
MISSION:
Advancement of dairying, encouraging and educating
people, through mutual participation.
Continuous endeavour to increase productivity and per
capita consumption.
To promote clean milk production and distribution with
state-of-art technology.
Customer satisfaction with reliable, uninterrupted
service and quality products.
To foster a performance oriented culture encouraging
innovation.
To promote a congenial work climate encouraging
employees to participate and contribute for
organizational growth.
To be a learning organisation and responsive to
changing environment.
Continuous upgradation of skills and competence of
employees and their career advancement.
To enrich quality of life of people and preserve
ecological balance.
1 Technology
2. Pricing
3. Quality
4. Product Portfolio
5. Distribution Network
6. Advertising
Technology
Pricing
At the time OMFED was formed, consumers had limited
purchasing power and modest consumption levels of milk and
other dairy products. Thus OMFED adopted a low-cost price
strategy to make its products affordable and attractive to
consumers by guaranteeing them value for money.
Quality
OMFED has not changed its core values –give the best quality
product to the customer. OMFED follow the quality standards
directed by “fssai” (Food Safety and Standard Authority of India).
Distribution Network
OMFED products are available in over a large number of retail
outlets across Odisha through its network of distributors.
POINT OF PURCHASE:
1. Banners
2. Racks
3. Stickers
4. Calendars
5. Gifts
OUTDOOR ADVERTISEMENT:
1. Hoarding
2. Bus shelters
3. Banners
4. Truck back
5. Posters
Product profile:
The Odisha State Cooperative Milk Producers' Federation Limited
(OMFED) is an apex level Dairy Cooperative Society registered under
Cooperative Society Act – 1962. It is the leading organized milk
producer of Odisha and has come into existence to integrate the milk
producers in rural areas with consumers in the urban areas with an
enterprising aptitude. It got registered in 1980 and started working
since 1981. It took over OMPAC in 1988.Its main activities includes
promoting, production, procurement, processing and marketing of
milk & milk products along with other horticultural and agricultural
products for economic development of the rural farming community
in Odisha.
Manufacturing of milk:
STANDARDISATION-
SEPARATION-
The cold raw milk passes through either aclarifier or a separator, which
spins the milk through aseries of conical disks inside an enclosure. A
clarifierremoves debris, some bacteria, and any sediment thatmay be
present in the raw milk
PASTEURIZING
Sterilization Of Milk:
CONTRACTION /EVAPORATION:
DRYING:
less occluded air and longer shelf life for the powder
conducted.
Literature Review
The Odisha State Cooperative Milk Producers' Federation Limited
(The OMFED®) was established by the government of Odisha in the
year 1980 with a vision to ensure milk producers get a lion's share of
the price paid by the consumers and to provide marketing support to
the milk producers in the state in order to develop their social and
financial status. Headquartered in Bhubaneswar, the capital of
Odisha, OMFED is an apex level Dairy Cooperative Society registered
under Cooperative Society Act – 1962.
The procurement of milk for day one in the year 1980 was only 39
litres from four undivided districts of Odisha, that is, Cuttack, Puri,
Dhenkanal and Keonjhar .The milk was collected at the village level
and was transported through trucks in 40 litre aluminium cans for
processing at 5000 litre capacity chilling plant at Liquid Milk Plant,
Phulnakhara near Bhubaneswar. At that time it was under the
jurisdiction of Odisha Agro Industries Corporation. Later, the plant
was taken over by OMFED.OMFED was filtering the milk and sending
it to the market especially in Bhubaneswar and Cuttack towns in
small vehicles. The consumers were buying the milk from loose cans
at the rate Rs.2.50 per litre. National Dairy Development Board
(NDDB) was also supplying butter oil and skimmed milk powder
(SMP) for reconstituting milk in order to cater to the demand of the
consumers.
After production of poly pack milk in the year 1983, consumers
reposed their faith on OMFED and the sale of liquid milk per day was
enhanced to 30,000 litres. Farmers after their own consumption
increased their supply of surplus milk to the Chilling Plants for getting
remunerative price and several other benefits including cattle feed.
This was the time when the exploitation of farmers by the vendors
was over.
Over the year, OMFED has become a household name and it has
developed trust of farmers. Now OMFED is procuring 5.5 lakh litre
milk from 3,72,000 members to whom OMFED gives Rs. 2.60 crores
daily at the rate of 26 rupees per litre of milk. No doubt, the
Procurement versus Marketing in the initial year and at present
provides a clear picture how consumers have made trust with the
OMFED Brand.
The members depend upon OMFED for their social and economic
development. Farmers are provided with medicines, plants and
fodder, subsidized cattle feed, various types of training and payment
for their produce at 10 days interval without any sort
exploitation/harassment by the vendors.
Secondary data.
Primary data
1) Qualitative Research.
A. Observation Method.
B. Interview.
2) Quantitative Research.
A. Questionnaire design.
B. Pilot Testing.
C. Questionnaire correction.
E. Analysis.
Method of data collection:
system .
Size of the survey
Since each survey is different, there are no hard and fast rules for
determining its size. The deciding factors in the scale of the survey
operations are time, cost, operational constraints and the desired
precision of the results. Evaluate and assess each of these issues and
you will be in a better position to decide the sample size. Also,
consider what should be the acceptable level of error in the sample.
If there is a lot of variability in the population, the sample size will
need to be bigger to obtain the specified level of reliability.
3. The data and result may not be accurate for the total universe,
due to the size of samples is small.
primary data
This consists of original information, which is collected first
hand. It is obtained direct with consumers concerned through
market research. It can be collected in following ways
o Observation
o Focus group
o Survey
secondary data
Researchers usually start by gathering secondary data through
the company’s internal data base, which provides a good starting
point. However, the company can also tap a wide assortment of
external information sources ranging from company public and
libraries to government business and publications.
Sample:
Sampling procedure:
Sampling method:
Sampling unit:
Area of study:
Area of the study for the researcher work is Burla.
TABLE-1
11-20 17 17
21-30 40 40
31-40 18 18
41-50 20 20
50 ABOVE 5 5
Inference:
From the above table it is clear that most of the respondents 57% are
in the age group between 11-30 years, 18% are in the age group
between 31-40 years, 20% are in the age group of 41-50 years and
5% are in the age group above 50 years.
The above table 1 shows that 57% the consumers belong to the
age group between 11-30 years highly consume milk.
SEX-WISE CONSUMPTION
TABLE-2
MALE 82 82
FEMALE 18 18
OCCUPATION OF CONSUMERS
TABLE-3
STUDENTS 34 34
EMPLOYEES 26 26
BUSINESS 20 10
OTHERS 20 20
Inference:
From the above table, 34% of the consumers belong to the occupation
of students, while 26% are employees, 10% are business people and
20% of them others including housewives, labours etc.
AWARENESS OF OMFED
TABLE-4
YES 84 84
NO 16 16
Inference:
From the above table it is clear that 84% of the respondents are
aware of OMFED milk and remaining 16% are not aware of milk.
TABLE-5
Reason No. of Percentage
respondents
NUTRITION 57 57
TASTE 13 13
STATUS 10 10
FRESHNESS 20 20
Inference:
From the above table it is clear that 57% of the consumers take
milk for nutrition, 13% of the consumers take milk for taste, and 10%
of the consumers take milk for status purpose.
ALTERNATIVE BRAND
BRAND NO.OF PERCENTAGE
RESPONDENTS
PRAGATI 62 62
AMUL 24 24
MILKYMOO 14 14
Inference:
From the above table it, is clear that 62% of the consumers take
pragati, 24% of the consumers take amul and remaining 14% of the
consumer take milkymoo.
NUTRITION 37 37
BRAND IMAGE 23 23
ADVERTISEMENT 20 20
Inference:
From the above table it is clear that 37% of the consumers are
influenced by Nutrition, 23% of the consumers are influenced by
Brand Image, 20% of the consumers are influenced by Advertisement,
Offers and Others influences 20% of the respondents.
It depicts that 37% of the consumers highly responded for
nutrition and 23% of the consumers responded for brand image, 20%
of the consumers responded for Advertisement and 20% of the
consumers responded for Offers & Others.
CONSUMERS SATISFACTION ON AVAILABILITY
Highly 26 26
Satisfied
Satisfied 41 41
Neutral 13 13
Dissatisfie 16 16
d
Highly 4 4
Dissatisfie
d
TOTAL 100 100
Inference:
From the above table, 26% of the consumers are highly satisfied
with the availability of omfed products in the outlets while 41% of the
consumers are satisfied and 13% of the consumer is neutral, 16% of
the consumers are dissatisfied with the availability of omfed products
and remaining 4% are highly dissatisfied.
Inference:
From the above table it is clear that 46% of the consumers opined
SPRITE advertisement as highly attractive, followed by 42% of the
consumers opined it as attractive and 12% of consumers not attractive
towards the SPRITE advertisement.
It depicts that the 42% of the consumers responded for
attractive and 46% of the consumers said highly attractive and 12% of
the consumers are not attractive towards the advertisement.
SOURCES OF MEDIA
Inference:
From the above table it is clear that 66% of the consumers got
awareness through T.V, 14% through News Papers, 10% through
Hoardings and the remaining 10% through Wall papers.
Hence the tabulated value 26.3 is more than the calculated value
16.23826578 of chi square so we accept the H0 hypothesis i.e there is
no relationship between Occupation and Favourite brand in milk
Suggestion
Products of OMFED contain general food and price information.
Specific nutrient content per unit of product should be
mentioned on the package to give more specific information.
For example mentioning the nutrition value of 100ml of milk on
the milk package. Currently it only displays fat 3% and SNF
8.5%.If the nutritional values like Protein%, Vitamins%, Calcium
% etc. would be mentioned on the packet the product can be
better positioned.
In recent days many defaming news about OMFED had been
telecasted. Proper clarification by the appropriate personnel
should be issued to answer the questions in the minds of
customers.
The organisation may upload its advertisements in different
forums like YouTube to avail the Internet advantage of the
telecasted ads.
Proper hygiene and sanitary conditions in the plant must be
observed to deliver products in proper quality deliverable
condition.
OMFED was known for its quality and taste. But now it is
known as the most available branded food item. The
organisation must try to reposition its quality and taste
features in the mind of customer.
Coordination between the different Departments must be
observed to handle market challenges in a more professional
way.
Automation and expansions of different Plants should be done
to cope with the growing production pressure and market
demand.
GPS based Vehicle Tracking System may be introduced in the
supplying and raw milk tankers to know about the position of
the vehicle in real time.
New value added products after proper market study and
segmentation with sufficient media focus can be developed.
Food for health conscious groups like Sugar free Ice-Creams,
Low fat Milk can be introduced.
Being the Market Leader in food industries in Odisha OMFED
should try to defend its position against the new emerging
brands.
SEGMENTATION:
Segmentation is done on the basis of Living standard measure (LSM), which ranges from 1
to 15. 1 denotes those people who are living from hand to mouth; whereas15 denotes
extremely rich and elite class. LSM is measure by a number of variables such.
CONCLUSION:
OMFED is the biggest food Brand of Odisha. It has a glorious
history of 35years of association with the farmers and
customers of Odisha. The organisation is committed to work for
development of farmers and providing quality product in a cost
effective manner. Its supply chain is the power driver of the
system. Effective marketing and proper positioning of the
image of the organisation is the key to its success. Without
compromising with its core values and promises it is constantly
evolving as learning and developing organisation. Technological
development can increase its efficiency and quality delivery.
Understanding this OMFED is working for technological
development and expansion of its projects on one hand and
encouraging farmer to adopt dairy farming on the other.
Leveraging the gap between farmers and customers OMFED
have now an opportunity to venture outside the state
boundaries. Believing on the product concept of marketing
OMFED has reached this far. Therefore emphasising on product
development along with its Brand it can cross new horizons.
BIBLIOGRAPHY
MARKETING MANAGEMENT
Philip Kotler
MARKETING RESEARCH
G.C.Beri
RESEARCH METHODOLOGY
C.R.Kothari
WEBSITES
http://omfed.com/
https://www.google.co.in/
QUESTIONARIE: ABOUT OMFED MILK
1. Name:
[ ] Others
12. Your opinion towards the advertisement given in the above source of media:
13. Are you thinking to change the brand in the future? [ ]Yes [ ]No