Amul Chocolates

Class I B
Submitted by:
Alok Kumar 02
Amar Mehta 03
Anil Singh 07
Anjan Vij 08
Annie James 09
Anuroop Raj 10
 Agenda
Sr NO. Topic Slide No.

1 Methodology 3

2 Assumptions/ Limitations of Study 4

3 Consumer Behaviour 5

4 Market Share 7

5 Positioning 8

6 Advertising 15

7 Retailer Study 20

8 Customer-Based Brand Equity of Amul 23

9 Associative Network Memory Model 24

10 Consumer Decision Making Process 25

11 Customer-Based Brand Equity Pyramid 26

 Methodology

Brain
Research Analysis Results
storming

Questionnaire for: Primary: Based on: Delivered on

Power point
•Retailer •Questionnaire •Qualitative
Presentation
survey
•User •Quantitative
•Non-User
Secondary:
•Internet
 Assumptions/ Limitations of Study
• All results purely based on respondent
responses (Survey)

• Low sample size:

– 1 Distributor
– 3 Retailer
– 2 Consumers of Chocolate
• 1 consumer for Amul Chocolate
• 1 non- consumer for Amul Chocolate
 Consumer Behavior
• The global chocolate market is worth $75 billion
annually

• Chocolate market is estimated to be around 1.5billion

(ACNielsen) growing at 18-20% per annum

• The per capita consumption of chocolate in India is 300

gram compared with 1900gram in developed markets
such as the United Kingdom

• Over 70% of the consumption takes place in the urban

markets

• Chocolate sales have risen by 15% in 2007 to reach

36000 tonnes according to one estimate. Another
estimate puts the figure at 25000 tonnes

Source : FMCG Marketer Site

 Consumer Behavior
• The traditional Indian sweet is getting
substituted by chocolates. Instead of
buying sweets on Raksha Bandhan.
• Shops opening up in Malls leading to
Impulse Sales
• Chocolates which used to be
unaffordable, is now considered mid-
priced. Convenience over Mithai in terms
of packaging and shelf life
• Designer chocolates have become
status symbols. They are linked to one’s
aspiration and lifestyle and malls are
perfect points of sale as people usually
are happy and gay at these destinations.
Ex: Chocolatiers
• In past, consumers had negligible
inclination for dark chocolates. But
change is being seen.

Source : FMCG Marketer Site

Market Share

Others Including Amul – 6%

Imported - 8%
Nestle – 20%
Cadbury – 66%

Period: January-November 2007

 Cadbury India
• Use of emotional appeals in advertising
• Customer surveys as a means to align the
advertisements with evolving consideration sets
of customers.
• Packaging as a tool to communicate quality.
• in 1994, Cadbury changed communication
campaigns were targeted at adults, to expand
the chocolate market and increase sales.
 Positioning of cadbury
chocolates
• Cadbury Diary Milk-Kuch Mita Ho Jaye(As a
daily sweet)
• 5 Star-From 'deliciously rich, you'd hate to share
it' in the 70's, to the 'lingering taste of
togetherness' & 'Soft and Chewy 5 Star' in the
late 80's
• Perk-Anytime Anywhere(Anytime Snack)
• Celebration-Riste Pakne Do(For special
occasions)
• Temptations-For Chocoholics
• Cadbury Bytes-To replace evening snacks
 NESTLE

• Nestle india is a subsidiary of nestle S.A. a leading swiss

giant.

• The company is focused on growing its market share

through renovation and innovation of its existing brands
in India.

• It has access to nestle S.A.’s investments(global

expenditure was Rs.6500 crores in 2007) in R&D and
advanced technology.
 Positionoing of nestle
chocolates
• Brands: Kit Kat-Have a break,have a kitkat
(Anytime snack)
• Munch-Crunchy
• MilkyBar- For Kids
• Bar One- Time For Action (Targeted at
youth)
• Milk Chocolate- For Kids
 HAVE A BREAK, HAVE A
KITKAT

GIVE ME THE POWER

CAN’T STOP MUNCHING
 Positioning for Amul
• Tagline: “A gift for someone you love”

• Express your emotions through Amul Chocolates.

• Showcasing the Indianness of the brand by the means

of packaging.
• Trying to position itself as the “ultimate gift”.
Outdoor Advertising
Packaging Print Ads Emotions
TV Advertising
 Low range products
Company Category MRP Weight (GMS)

Cadbury Bars (Dairymilk,5 Rs 5 , 11.5,14,15;

star,perk) Rs 10 22,32,30
Nestle Bars Rs5 , 16.5,16,18,12.
(kitkat,munch,milkybar,Rs10 5,12;34,25,25,
chocolate,barone 36
Amul Bindaaz wafer Rs 5, 18,26,35,30
chocolate ,milk Rs10,
chocolate ,almond Rs 12
bar,dark chocolate ,
fundoo
 Higher range products
Company Category MRP Weight (GMS)

Cadbury Fruit n nut,crackle,roasted Rs25,30,4 45,40,132,

almond ,dairy milk ,crunchy, 8,20,45,75 44,42,44
temptation,bournville

Imported Snickers,toblerone,ferro Rs15,20,3

roser,mars,lindt 0,45,70,10
0,150,240,
480
Amul Fruit n nut ,milk Rs15,16,5 35,30
chocolate ,sugar free, 0,100,140
rejoice ,elegant & corporate
gift packs ,tins,choco zoo
 Retailer study
Company Policies – On Ground Feed Back Questionairre
– Zero credit flexibility from dealers. Payment on dispatch.
– No return of unsold goods. ( Rule solely adopted by Amul)
– Negligible variants in comparison to competing brands.
– Restricted usage, user types. (Ex. Cadbury is trying hard to position itself to
replace the traditional Indian Mithai, being its substitute on Diwali and Raksha
Bandhan)
– Neither push nor pull marketing. Zero Incentives from dealers to attract
retailers (Ek pe ek muft offer), rigid margins, minimalist advertising
(Print/TV/Radio)

Retailers visited

1. Deepak Sweets
2. Deepak Super Mart *
3. Reliance Fresh
* Had Amul
 Retailer Study
Common Brands Stocked (In order of visibility and stocking quantity)

1. Cadbury
2. Imported Brands (Ferro Roscher, Tobelerone, Bounty etc)
3. Nestle
4. Candies & Gums (ex Polo, Happy Dent etc)
5. Amul ( Rarely accommodated)
 Retailer study
Market Restrictions

- Surprisingly, not a price sensitive market.

- Highly emotional buy ( Mostly for

gifts/personal consumption)

- Strong competition from imported

chocolate brands ( Retailers get higher
margins as pricing is flexible)

- Cadbury with extensive marketing/

communication has flooded the market.(It
is now a SYNONYM for chocolate in most
areas – Power Brand Characteristic)
Customer-Based Brand Equity of Amul

Brand Assets Brand Liabilities

• Indianness • Quality
• Trust • Lack of Taste
• Simplicity • Smoothness
• Togetherness • Availability
• Healthy (Milk) • Brand Appeal
Associative Network Memory
Model
Indianness

Taste of Milk
India

Amul
Chocolate
Old &
Childhood
Gujraat

Cows
Amul Girl Highly Associated
Consumer Decision Making Process- Evaluation of
alternatives
All Brands
(Chocolate)

Known Brands Unknown Brands

Cadbury, Nestle, Lindt, Ferrero Hershey’s, Toblerone, Twings, Skittles,

Rocher, Snickers, Mars

Evoked Inept Inert

Acceptable Unacceptable Bar-one Overlooked
(Nestle)
Cadbury, Nestle Éclairs, Milkybar Amul
(Nestle)

Purchased Not- Purshased

Cadbury Nestle
Customer-Based Brand Equity
Pyramid

4. Relationships
What about you and me?
Resonance

3. Response
What about you?
Judgments Feelings

2. Meaning
Performance Imagery What are you?

1. Identity
Salience
Who are you?
 Brand Salience
Brand Awareness
– Brand Recognition:
• Consumer can recognize the brand

– Brand Recall
• Amul is not in “Top Of Mind” (TOM) as well as not in spontaneous list

Brand Image
– Indianness
– Color “Red”
– Amul Girl
– Milk
– For Old People
 Brand Imagery
Categories of Intangibles
User Profiles Children, Old Age

Purchase When no other option are available

Usage situations As a alternative of sweets

Personality Taste of India (Indianness), Red, Milky

History, Heritage Anand, Amul Girl

Experiences Yes
 Brand Performance
Amul Chocolate scored less on following
attribute as compare to its competitors: (on
priority basis)

– Taste
– Variety
– Packaging
– Availability
– Brand Appeal
 Brand Judgment
Categories of Intangibles
Quality Good

Credibility Trustworthy, Indianness

Consideration Low

Superiority No Differential Advantage

 Feelings
Feelings Ratings
Indianness High
Simple High
Honest & trustworthy High
Togetherness High
Warmth High

Happiness Low
Love Low
Celebration Low
Fun Low
Indulgent Low
Excitement Low
Pride Low
Special Low
 Resonance
Categories of Intangibles

Behavioral No loyalty towards the brand

loyalty
Attitudinal No emotional attachment
attachment
Sense of Scored less
community
Active Is not seen in their behavior
engagement
Thank You!!!