Rizvi Institute of Management Studies and Research Ziya Hasan Khan
A Project Report On A Study on Consumer Buying Behavior of Amul Buttermilk and To Study the Market for the Same For AMUL In partial fulfillment of the requirements of Master of Management Studies Conducted by University of Mumbai Through Rizvi Institute of Management Studies & Research
Under the guidance of Prof. Anjali Talreja
Submitted by
Ziya Hasan Khan MMS Batch: 2013 2015 P a g e | 2
Rizvi Institute of Management Studies and Research Ziya Hasan Khan
CERTIFICATE This is to certify that Mr. Ziya Hasan Khan, a student of Rizvi Institute of Management Studies and Research, of MMS III bearing Roll No. 118 and specializing in Marketing has successfully completed the project titled A Study on Consumer Buying Behavior of Amul Buttermilk and To Study the Market for the Same under the guidance of Prof. Anjali Talreja in partial fulfillment of the requirement of Masters of Management Studies by University of Mumbai for the academic year 2013 2015.
_______________ Prof. Anjali Talreja Project Guide
_______________ ___________ Prof. Umar Farooq Dr. Kalim Khan Academic Coordinator Director P a g e | 3
Rizvi Institute of Management Studies and Research Ziya Hasan Khan
ACKNOWLEDGEMENT In this project I have made an honest and dedicated attempt to make the research material as authentic as it could. And I earnestly hope that it provides useful and workable information and knowledge to any person reading it. During this small time frame of two months in which the project reached its completion, there were a few people whom I would like to make a mention of and without whose help the project would have never seen the light of the day. I also thank to my internal guide Prof. Anjali Talreja for her timely response, support and guidance which immensely helped in giving the project the initial direction it needed. I would like to thank my external guide Mr.Vivek Mitra (Officer in Sales In charger ZONE 3) who gave me a free hand as far as going about the project work was concerned. I dedicate this project to the distributors of Mumbai city who were extremely kind and who at times went out of the way to help me. Without their co-operation it would have perhaps not been possible to research a few places, which I did, within the stipulated time frame.
RESEARCH OBJECTIVE: To know the actual sales of the product. To understand the requirement of the product. To determine the expansion strategies. To understand the impact of various sale promotion strategies on product. To understand the buying behavior of consumers w.r.t Amul Buttermilk
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Rizvi Institute of Management Studies and Research Ziya Hasan Khan
PREFACE The dairy industries companies run mainly on the factors such as availability, service frequency, affordability, taste and marketing. Availability plays a vital role because purchasing power is depending upon availability of that product, in case distributors and retailers service matter a lot. Retailing includes all the activity in selling goods or service directly to the customers or personal non business use. It overcomes the time, place and possession gap that separates goods and service from those who needs or wants them. Retailers as member of marketing channel perform a number of key functions. Some functions (physical, title, promotion) constitute a forward flow of activity from the company to the customers; other functions (ordering and payment) constitute a backward flow from customers to the company. Still others (information, negotiation, finance and risk taking) in both directions.
The project delvers into the workings from the distribution aspect of an FMCG organization, in detail. AMUL, being an FMCG company, attaches a lot of significance to the distribution aspect of its business. The distribution channel of AMUL holds a lot of potential in affecting the demand or sales of AMUL products through delivery on time, delivery of variety of products, the retailer-friendliness of the policies being set by the distributors and equitable distribution of products to all the retail outlets in a particular region, to name a few. So, In order to plan retail coverage we map out the positions of Amul outlets, Amul parlors, and competitors outlets. This project was carried out in Mumbai city Zone 3.
For analyzing and presenting information that is tied to geographical location, we divided the city in different wards. By analyzing geographical representation and sales data with spatial distribution, competitor outlets and the density of others in an area, we identify unexplored area and plan location outlets to increase its market penetration. Using such research we can ascertain the quality and depth of retail penetration in specific area.
Addition to this we carried out sales promotion activity through discounts and free samples. P a g e | 5
Rizvi Institute of Management Studies and Research Ziya Hasan Khan
INDEX Sr.no Contents Page no. 1. Introduction 1.1 The Birth of Amul
7-9 2. Industry Profile 2.1 Overview of Milk Industry 2.2 Dairy Enterprise Model 2.3 Competition Analysis
10-12 12-13 14 3. Company Profile 3.1 Anand Milk Union 3.2 GCMMF
15 15 4. Product Profile 16-17 5. Marketing Activity Kiosk 18 6. Data Analysis and Interpretation 6.1 Consumer Research Data 6.2 Retailers Research Data
19-28 29-34
7. Research Methodology 7.1 Research Design
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Rizvi Institute of Management Studies and Research Ziya Hasan Khan
Rizvi Institute of Management Studies and Research Ziya Hasan Khan
INTRODUCTION The Birth of Amul
It all began when milk became a symbol of protest.. Founded in 1946 to stop the exploitation by middlemen, Inspired by the freedom movement
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Rizvi Institute of Management Studies and Research Ziya Hasan Khan
These seeds of this unusual saga were sown more than 65 years back in Anand, a small town in the state of Gujarat in western India. The exploitative trade practices followed by the local trade cartel triggered off the cooperative movement. Angered by unfair and manipulative practices followed by the trade, the farmers of the district approached the great Indian patriot Sardar Vallabhbhai Patel for a solution. He advised them to get rid of middlemen and form their own co-operative, which would have procurement, processing and marketing under their control.
In 1946, the farmers of this area went on a milk strike refusing to be cowed down by the cartel. Under the inspiration of Sardar Patel, and the guidance of leaders like Morarji Desai and Tribhuvandas Patel, they formed their own cooperative in 1946. This co- operative, the Kaira District Co-operative Milk Producers Union Ltd. began with just two village dairy co-operative societies and 247 liters of milk and is today better known as Amul Dairy. Amul grew from strength to strength thanks to the inspired leadership of Tribhuvandas Patel, the founder Chairman and the committed professionalism of Dr Verghese Kurien, who was entrusted the task of running the dairy from 1950. P a g e | 9
Rizvi Institute of Management Studies and Research Ziya Hasan Khan
The then Prime Minister of India, Lal Bahadur Shastri decided that the same approach should become the basis of a National Dairy Development policy. He understood that the success of Amul could be attributed to four important factors. The farmers owned the dairy, their elected representatives managed the village societies and the district union, they employed professionals to operate the dairy and manage its business. Most importantly, the co-operatives were sensitive to the needs of farmers and responsive to their demands. At his instance in 1965 the National Dairy Development Board was set up with the basic objective of replicating the Amul model. Dr. Kurien was chosen to head the institution as its Chairman and asked to replicate this model throughout the country.
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Rizvi Institute of Management Studies and Research Ziya Hasan Khan
INDUSTRY PROFILE INDIA is the 2nd largest in the emerging economies in the world, with a GDP growth rate of ~6.5%, 3th largest economy in the world (based on PPP) with a GDP of US $ 4.4Trillion, and according to BRIC report published by Goldman Sachs, India will be the 2 largest economy after China by the year 2035.
India, world's largest milk producer, accounting for more than 16% of world's total milk production, is the world's largest consumer of dairy products. The total amount of milk produced has tripled from 23 million tonnes back in 1973 to 95 million tonnes in 2008 and expected a production level of 135 million tonnes by 2015. But the projected demand for milk by 2021-22 estimated at 180 million tonnes which implies that milk production will be doubled. P a g e | 11
Rizvi Institute of Management Studies and Research Ziya Hasan Khan
Milk production is growing at 3.3% while consumption is growing at 5% leaving a gap between demand and supply. In order to meet the rapid growing demand and to increase the milk production, Union Government has started a central scheme National Dairy Plan Phase 1, for a period of 2011-12 to 2016 17.This scheme will be implemented with a total investment of about 2242 crore. This scheme main objective is to help provide rural milk producers with greater access to the organized milk processing sector and thus to bridge the gap between the demand and supply of milk in the country. The share of the total milk processing capacity by private sector is 44%of total installed capacity of 73 MLPD (Million Liters per Day) in the country. Therefore, the total share of the organized sector, both cooperatives as well as the private sector is barely 12%. What is, therefore, disquieting is that as much as 88% share of the total milk production is commanded by the unorganized sector. In order to attract promote Dairy Industry and attract more investment in this sector, government has also reduced the excise duty of 16% to Zero on Dairy processing Machineries. 23 95 135 180 1973 2008 2015 2021-22 GROWTH (in millions) P a g e | 12
Rizvi Institute of Management Studies and Research Ziya Hasan Khan
The untapped potential of the dairy sector is immense and opportunity to set up a new dairy venture is great. And there is vast potential for the export of dairy products, as the cost of milk production in India being the lowest. These factors are attracting huge amount of investments in dairy processing, manufacturing dairy processing equipment, fruit packaging equipment and equipments for biotechnology related dairy industry. Four dairy enterprise models The following section presents analysis and comparisons of four dairy enterprise models in India. Chosen for the analysis: i) a private dairy operating in Mumbai (NAGORI) ii) The Maharashtra State Cooperative as an example of a functioning cooperative, iii) the Gujarat Cooperative Milk Marketing Federation as an example of a strong functioning cooperative and iv) a mutually aided cooperative society as an alternative model. Models such as producer companies (emerging as a new generation cooperative) are still in a developing stage. Table 8: Model features Private dairy State cooperative GCMMF MACS
Number of farmers involved
150 000
224 000
2 700 000
Average liters milk procured per day
700 000
322 000
60 000
Liters of milk processed at dairy plant per day
10 200 000
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Rizvi Institute of Management Studies and Research Ziya Hasan Khan
As previously noted, cooperatives have been successful only in some parts of the country. This is largely because the cooperative law falls under the state policy and is formulated differently in different states. In states such as Gujarat, where the model succeeds, the cooperative is headed by elected managers and managed by professionals. In many other states, civil servants manage the cooperative, which results in a lot of government interference in the day-to-day functioning and leads to a lack of democracy and hence no sense of ownership or responsibility at the village level.
Three key differences distinguish the Gujarat (GCMMF) cooperatives from the other states: i) an oversight board elected by farmer members; ii) professionals employed by the cooperatives to manage the cooperatives and iii) the cooperatives have autonomy and freedom in their operating policies from interference by government and politicians. Changing from the cooperative model to the society model has many associated bureaucratic problems. To overcome the hassles, the concept of producer companies was introduced as a way of transforming cooperatives to work more efficiently as representatives of farmers. 0 5 10 15 20 25 30 35 40 45 Farm Level Unorganised Organised Sector P a g e | 14
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Major Competitors Amul is a well known brand with a wide product range in FMCG giving a tough competition to its competitors. The following are the major competitor in some of its product range.
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Rizvi Institute of Management Studies and Research Ziya Hasan Khan
COMPANY PROFILE Amul (Anand Milk Union) Formed in 1946, is a dairy cooperative movement in India. It is a brand name managed by an apex cooperative organization, Gujarat Co-operative Milk Marketing Federation Ltd. (GCMMF), which today is jointly owned by some 2.6 million milk producers in Gujarat, India. 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 It has established itself as a uniquely appropriate model for rural development. Amul has spurred the White Revolution of India, which has made India the largest producer of milk and milk products in the world. It is also the world's biggest vegetarian cheese brand.
GCMMF Gujarat Cooperative Milk Marketing Federation (GCMMF) is India's largest food products marketing organization. It is a state level apex body of milk cooperatives in Gujarat which aims to provide remunerative returns to the farmers and also serve the interest of consumers by providing quality products which are good value for money.
Amul's product range includes milk powders, milk, butter, ghee, cheese, curd, chocolate, ice cream, cream, shrikhand, paneer, gulab jamuns, basundi, nutramul brand and others.
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 marketing 1994 had not succeeded, but now it has fresh plans of flooding the Japanese markets. Other potential markets being considered include Sri Lanka.
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PRODUCT PROFILE
Nutritional Information* Amount per 200 ml Energy, kcal 26 Energy from Fat, kcal 9 Total Fat, g 1 Saturated fat,g 0.5 Cholesterol, mg 3 Total Carbohydrate, g 2.3 Added Sugar, g 0 Protein, g 2.1 Calcium, mg 91 Sodium, mg 30 Phosphorous, mg 79 Thiamine, mcg 25 Riboflavin, mcg 73 Niacin, mcg 61 Folic acid, mcg 4.5 P a g e | 17
Rizvi Institute of Management Studies and Research Ziya Hasan Khan
Unlike carbonated soft drinks, Amul Masti Spiced Buttermilk is 100% Natural and Sucrose Free without any color or preservative added. It is a low fat product with lower sodium salt content. It contains protein with almost 50% lower calorie than soft drinks. The spices and condiments added to the product enhance its taste and flavor.
Scientific bacterial culture in Amul Buttermilk improves digestion. It is conventionally packed in pouches and easily available at Amul Milk outlets spread all over major cities of India. Buttermilk is traditionally known as "Chhash" (Gujarat & MP), "Mattha" (UP & Delhi), "Tak" (Maharastra), and Ghol" (Bengal).
Product Application Take a glass full in early morning in place of Tea; Amul buttermilk will improve the digestive function. Replace your soup with Amul Buttermilk; it will give you dieting benefits. Take a glass of Amul Buttermilk after lunch / dinner for better digestion. Just give "Tadka" to Amul Buttermilk and use it as your "Dal". Add some coriander cumin and salt to Amul Buttermilk and your guest offering is ready. You can prepare Besan Kadhi from Amul buttermilk.
Pricing of Product Amul Buttermilk - PLAIN RS 11 Amul Spiced Buttermilk MASALA RS 5 P a g e | 18
Rizvi Institute of Management Studies and Research Ziya Hasan Khan
MARKETING THE KIOSK WAY A massive KIOSK activity was carried out across zone 3 from the period of 15 th may to 15 th July. The activity includes selling and promotion of Amul Spiced Buttermilk at special offer. The offer was buy 2 pouch of Amul Spiced Buttermilk (Rs 5/pouch) and get 1 free, Buy 5 pouch and get 2 pouches free followed by buy 7 pouch and get 3 pouches free.
The activity was carried across different distributors and retailers point. The activity resulted into massive boost in sales in that particular region. Within the period of 15 th
may to 29 th may around 35 crates were sold. P a g e | 19
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DATA ANALYSIS AND ITERPRETATION Consumer Research Data Q.1 Gender
Interpretation According to the survey total sample size of 100 includes 43 male respondents and 57 female respondents. This show female population plays greater role in purchase decision. 0 20 40 60 80 Male Female Gender Male Female Sr. No. GENDER NO. OF RESPONDENTS 1 Male 39 2 Female 61 TOTAL 100 P a g e | 20
Rizvi Institute of Management Studies and Research Ziya Hasan Khan
Q.2 What would you prefer?
Interpretation According to the survey, consumer perception about the Buttermilk is narrow as majority of them would prefer homemade buttermilk (68%) rather than going for packaged buttermilk (32%). This perception of consumer can be changed over a period of time with the help of sale promotion activity which will make them induce TRAIL. 68% 32% Preference Homemade Buttermilk Packaged Buttermilk Sr. No. PREFERENCE NO. OF RESPONDENTS
1
Homemade Buttermilk
68
2
Packaged Buttermilk 32 TOTAL 100 P a g e | 21
Rizvi Institute of Management Studies and Research Ziya Hasan Khan
Q.4 Have you ever tried Amul Buttermilk (Chaas)? If yes than are you continue using it on day to - day basis?
Interpretation According to the survey, Majority of the population had tried Buttermilk in past and out of the majority there are many potential prospect who are still a regular users who can become future sales. For this there is a need of creating more and more awareness about the Amul Buttermilk. 0% 20% 40% 60% 80% 100% Yes No Continuos Usage Yes No Continuos Usage Sr. No. RESPONSE NO. OF RESPONDENTS CONTINUOS USAGE
1 Yes
81
52
2
No 19
48 TOTAL 100 100 P a g e | 22
Rizvi Institute of Management Studies and Research Ziya Hasan Khan
Q.5 Which of the following brands of buttermilk have you heard of? (Select all that apply.)
0% 20% 40% 60% 80% 100% Danone Amul Gokul Aarey Buttermilk Britania Others Brand Awareness Sr. No. BRANDS % OF RESPONDENTS 1 Danone 28% 2 Amul 90% 3 Gokul 24% 4 Aarey Buttermilk (Aarey center) 48% 5 Britannia 13% P a g e | 23
Rizvi Institute of Management Studies and Research Ziya Hasan Khan
Interpretation - According to the survey, the brand awareness of Amul Buttermilk is highest among the competitors in the market. This is plus point for the brand as other brands from same parent Co. (GCMMF) gives Amul Buttermilk more visibility and exposure. Co. should use this opportunity by giving free samples of Amul Buttermilk (200ml) with other products.
Q.6 Reason for discontinuing the Consumption of Amul Buttermilk (Select all that apply) Sr. No. REASONS % OF RESPONDENTS 1 Taste 58% 2 Price 13% 3 Quality 64% 4 Availability 48% 5 Other reason (please specify) 23% P a g e | 24
Rizvi Institute of Management Studies and Research Ziya Hasan Khan
Interpretation According to the survey carried on to 100 sample shows that the reason for discontinuing the consumption of Amul Buttermilk is QUALITY and TASTE of the Product. Most of the people didnt like the taste, with that in mind they thought the reason for bad taste is because of poor quality of milk substance. Also the availability of the product is not there @Distributor or Retailer point. Co. should tackle it by improvising on the taste and quality of product. Add new flavors to the category and make sure the delivery to the retailers/distributors point is on time and in sufficient capacity to meet the requirements of that particular zone.
28% 7% 31% 23% 11% RESPONSE Taste Price Quality Availability Other reasons P a g e | 25
Rizvi Institute of Management Studies and Research Ziya Hasan Khan
Q.8 Will you consume buttermilk in seasons other than summer?
Interpretation According to the survey, we come to know about the consumption pattern of consumer. Around 59% of the sample will like to consume Buttermilk other than summer season. But almost half of the sample size will stick to summer as their preferable season for consumption. The above response shows that Buttermilk as a product is seasonal in nature and max sales will happen only in summer. 0 10 20 30 40 50 60 YES NO RESPONSE Sr. No. RESPONSE NO. OF RESPONDENTS 1 YES 57 2 NO 43 TOTAL 100 P a g e | 26
Rizvi Institute of Management Studies and Research Ziya Hasan Khan
Q.9 What would you prefer? Carbonated Soft drinks 500ml for Rs 35 Amul Buttermilk 500 ml for Rs 10
Interpretation According to the survey conveyed on sample of 100 people shows that consumer will prefer Amul Buttermilk over Carbonated Soft drinks when given chance to choose between two. This shows that consumer is very cautious related to the health factor. So company can take advantage of this scenario and convey message showing benefit of choosing Amul Buttermilk over Carbonated Soft drinks. 21% 79% RESPONSE Carbonated Soft drinks Amul Buttermilk Sr. No. PREFERENCE NO. OF RESPONDENTS 1 Carbonated Soft drinks 500ml for Rs 35 21 2 Amul Buttermilk 500 ml for Rs 10 79 TOTAL 100 P a g e | 27
Rizvi Institute of Management Studies and Research Ziya Hasan Khan
Q.10 If Amul Buttermilk is available in new Jeera (Cumin Seed) flavor would you like to try it?
Interpretation According to the survey, it shows that people are looking forward for new variants of Amul Buttermilk. Co. should definitely come up with new variants and flavors. 0 20 40 60 80 100 YES NO RESPONSE Sr. No. RESPONSE NO. OF RESPONDENTS 1 YES 81 2 NO 19 TOTAL 100 P a g e | 28
Rizvi Institute of Management Studies and Research Ziya Hasan Khan
Q.11 How much the following attributes matters you while purchasing Packet Buttermilk? Justify your attribute by rating it.
Sr.no
PREFERENCE
% OF RESPONDENTS
1.
Taste or Flavor
98%
2.
Durability (Shelf life)
35%
3.
Price
77%
4.
Qty
54%
Taste or Flavor Price Durability (Shelf life) Qty 98% 77% 35% 54% RESPONSE P a g e | 29
Rizvi Institute of Management Studies and Research Ziya Hasan Khan
Interpretation According to the survey Taste and Flavor of the product makes highest priority for consumer. Therefore there should be continuous improvisation in product attributes. Other factor like price is secondly preferred priority. In case of Amul Buttermilk the product is smartly priced so there is no need of any change in price RETAILERS RESEARCH DATA TARGET GROUP REATAIL SHOP AREA MAHIM to VILE PARLE (ZONE 3) Q.1. Do you have cooling facility in your store? Yes No
Sr. No. RESPONSE NO. OF RESPONDENTS 1 YES 68% 2 NO 29% TOTAL 100% P a g e | 30
Rizvi Institute of Management Studies and Research Ziya Hasan Khan
Interpretation According to the survey around 70% of the retailers have cold facility whereas 30 % dont have any support of cold storage. So for a Retailer to keep dairy product (such as Buttermilk) it is must to have cold storage. So for this reason my 30% of the total population is not tapped because of absence cold storage facility.
Response 69% 29% YES NO P a g e | 31
Rizvi Institute of Management Studies and Research Ziya Hasan Khan
Q.3 Which Brand of Buttermilk does you keeps?
10% 27% 20% 35% 3% 5% Assorment Mix Danone Amul Gokul Aarey Buttermilk (Aarey center) Britannia Others Sr. No. BRANDS NO. OF RESPONDENTS (out of 40) 1 Danone 4 2 Amul 11 3 Gokul 8 4 Aarey Buttermilk (Aarey center) 14 5 Britannia 1 6 Others 2 TOTAL 40 P a g e | 32
Rizvi Institute of Management Studies and Research Ziya Hasan Khan
Interpretation According to survey most of the retailers keep Aarey Co. Buttermilk, after that Amul ranks 2 nd in the race. When reason asked most of the retailers said they get good margin on Aarey product and they get lowest margin on Amul products. Also consumer are more familiar with Aarey products , most of the retailers said.
Q.4 Any problem related to the product (Amul Buttermilk)? If yes please specify?
9 2 Problem YES NO Sr. No. RESPONSE NO. OF RESPONDENTS (11 out of 40) 1 YES 9 2 NO 2 TOTAL 11 P a g e | 33
Rizvi Institute of Management Studies and Research Ziya Hasan Khan
Interpretation - Most of the retailers have problem with Amul Buttermilk, which is not good for the brand like Amul. The problems were as follows:- Margin related Problems Replacement of damaged products Dumping of old batch production, of which the expiry date is near. Late delivery
32% 19% 30% 19% Problems Issues related to Amul Buttermilk Late delivery Dumping of old stock Replacement Margin P a g e | 34
Rizvi Institute of Management Studies and Research Ziya Hasan Khan
Q.5 Which variants of Amul Buttermilk if more economical for you? Please specify the reason. 200ml - Pouch pack Spiced Buttermilk 500ml - Pouch pack Plain Buttermilk
Interpretation According to the survey, majority of the retailers across zone 3 prefer keeping 200ml Spiced buttermilk as compared to 500ml - plain buttermilk. Reason given:- 200ml Spiced Buttermilk Size of the product It is easy to hold and store, save space. Margin The margin on this product is 0.50 paise/pouch and which sells out very fast. Which is good as compared to 500 ml pack which has 0.85 paise/pouch margin? Easy to Display It is easy to display the product as a sample. Most frequently asked This variant of Amul Buttermilk is most frequently asked by the customer as it is ready to serve drink. 68% 32% Response 500ml - Pouch pack Plain Buttermilk 200ml - Pouch pack Spiced Buttermilk P a g e | 35
Rizvi Institute of Management Studies and Research Ziya Hasan Khan
RESEARCH METHODOLOGY
Research methodology is the way to systematically solve the problem. In it we study the various steps that are generally adopted by a researcher in studying his research problem along with the logic behind them. Thus, When we talk about research methodology we not only talk of the research methods but also consider the logic behind the methods we used in the context of our research study and explain why we are using a particular method or technique and why we are not using others so that research results are capable of being evaluated either by the researcher himself or by others.
RESEARCH DESIGN A sample size of 100 consumers and 40 retailers was taken into consideration.. The survey was conducted in the area Mumbai Zone 3 (includes Vile parle to Mahim)
Sampling techniques: A quota sampling technique was adopted because the sample audience was made out of potential purchasers of the product. The sample was carefully drafted. A lot of care was taken when designing the questionnaire and also when collecting information Primary data The primary data consists of information obtained from the retailers, distributors and through consumer interaction. Secondary data The secondary data is obtained from the information already published in research articles , books and newspaper. The websites like Amul.Com ,Scribd. Com , Wikipedia , PTI , etc were also useful. P a g e | 36
Rizvi Institute of Management Studies and Research Ziya Hasan Khan
Methods of Data Collection The source of the data collected for the research is both primary data and secondary data Primary Data: By Observation Method: By Personal Interviews: The data was also collected by pitching consumers at retailers and distributors place across Zone 3. Each consumer was asked questions with the help of tool (questioner). Though the Questioner was close-ended but it made consumers think for a while when responding. When it comes to retailers the data was collected by visiting the Retail outlets across Zone 3 by seeing the displayed Amul products in that stores. The data was collected on the following parametrs: Price (Margins). Visibility. Shelf Life. Discounts Offered.
Limitations The research was carried out for 2 months which proved to the insufficient to tap the accuracy of the study. Time factor has been a very big limitation in the research survey like this. Restriction w.r.t location on study. We cannot expand our research to other geographical location.
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Rizvi Institute of Management Studies and Research Ziya Hasan Khan
FINDINGS
1.With respect to the above study and the findings thereby, the product (Amul Buttermilk) is working on regional pattern i.e. Amul Buttermilk Sales is highest in Vile Parle and Sanatacruz where as in Mahim it is very low.
2. The awareness of the product is very low amongst consumers.
3. Amul Buttermilk as a Product is somewhat seasonal in nature. In summers the sales are at peak.
4. There were about 4 out of 10 local unorganized Buttermilk sellers who were selling buttermilk in plain glass bottle with no brand name. 5. Study shows that Aarey Buttermilk is the biggest competitor for Amul Buttermilk, where as Danone is also few steps behind in the race and Gokul has gained competitive position as well. 6. According to the survey it is founded that, Aarey Co. pays highest markup. 7. According to Survey, Aarey co. has best after sales service (like return of defective pouch, customer grievances) followed by Amul and Gokul. 8. Majority of the dealers are not satisfied with the profit margin of Amul. 9. Sales promotion scheme had boosted the sales of Amul Buttermilk in certain region.
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Rizvi Institute of Management Studies and Research Ziya Hasan Khan
SUGGESTIONS & RECOMANDETION 1. Company should improve its sales and distribution in order to tackle the problem related to late delivery. 2. Company should distribute free samples more often for making brand popular among people. 3. Company should introduce new variants and flavors. 4. Distributors and Retailers desire more advertisement to be done through local newspaper and cable TV ads. To make consumers aware about the product. 5. Company should increase the margins of retailers. 6. Company should target middle class or semi-middle class customers. Also target according to the cultural group.