Amul Apo Report
Amul Apo Report
Amul Apo Report
Guwahati(ASSAM) region.
ABSTRACT
AMUL APOS are the type of premiere Retail parlour where only the AMUL brands are sold the
APOs are opened to compete with the marketing giants of other retail parlour.The APOs does not
require much investment and also the area required to open up the retail parlour is also less.
The objective of the study is to check the retail census study and to calculate the ROI so that to
know that whether AMUL is making profit through the opening up the parlour range.
The thing that is learned and from the datas that I have collected is that most of the APO are not
actually making much profit in the business running because of the poor distribution and the
various environmental factors affecting the sale in NORTH EASTERN part of the country.
I have conducted my research in Guwahati where I had to visit various part of the city and
remain at each outlet for 3 days and then note the physical qualities of the outlet,Sales pattern
and various other attributes for the research.
I was assigned to visit 10 outlet out of which I have visted 7 due to shortage of time.The datas
was collected from the retailers through face to face interview keeping the retailers to speak
freely.The various potholes that has been occurring in the sale of some APOs and the reason for
low sale was told to report to the manager.
The APOs ROI which is to get is 8% but most of the outlet is facing the issue of getting it below
8% so my project was totally upon getting the facts of low sale and search for medication to cure
the thing.
Table of Contents
1. Introduction
a. Company Overview
c. Objectives
2. Review of Literature
4. .Methodology
6. Conclusion
7. Annexures
8. References
CHAPTER 1
INTRODUCTION
The Fast Moving Consumer Goods (FMCG) or Consumer Packaged Goods (CPG) which are the
items can be brought to the customer real fast and the sell also occur very fast prices are really
low and customer don’t need to engage too much while purchasing and the prices are also very
low in the expense. The FMCG items have a wide diversity and every important household
products are manufactured and are sold by them and that comprise non-lasting merchandise they
are those like the soft drinks, dairy, hold things, OTC meds, toys, ready to made food items,
ready to cook thing,Milkproducts,Milk drinks .When it is about profit FMCG stands very low it
has really very low margins like 4-5% since sell occurs very fast but few items like the frozen
items have really good margin which is 20% but compared to other market which is Automobile
and electronics has really got some huge margin of profit. The market structure of FMCG which
is essentially of most less edge however is of high volume business.
FMCG need genuine deals treatment for their items. They have to ensure that the correct stores
are loading their items and they have to guarantee that buyers are really expending their
products. FMCG deals activities can be an extraordinary method to support an organization's
promotion crusades and effectively impact deals movement.
Individuals who seek after professions in FMCG deals are required to feature an organization's
items to retail organizations, or legitimately to customers in malls, markets and other retail
outlets. Their general target is to improve marketing projections and lift income.
About GCMMF:-
Gujarat Cooperative Milk Marketing Federation Ltd. (GCMMF) which is India's one of the
biggest dairy products manufacturer and items marketingfederation association which have got a
yearly turnover of amount (2018-19) US$ 5.5billion.It has got employees with marketing unit
752 and producer unitsie. third party of 3.6 million.AMUL has every day milk obtainment of
about 13 million litres which might be even more from 16914 cooperative societies the societyof
which contained 17 member associations which thus covers 24 district, and about 3.18 million
milk productions individuals.
AmulBrand:-
GCMMF (AMUL) with having one of the biggest distribution network by any FMCG
organization. It has got over about 50 marketing and sales office branches spread in corner of the
country,got more than 6000 dealers and with comprising of 850000 retail shop owners.
Amulenterned into the world's biggest veg cheese producerand more milestone, also the biggest
pouchedmilk brand in the country so far.Liked by people over the country
AMUL is likewise the biggest exporter of dairy items in the nation by amount exported. AMUL
is now entering as Multi National Company whose product goes out in more than 40 nations of
the world. AMUL export outside a huge assortment of its commodity which mainly arewhole
and skimmed milk powder, cottage cheese (Paneer), UHT milk, Ghees and indigenous desserts.
Biggest Target markets area of AMUL are USA, West Indies, and nations in Africa, the Gulf
Locale, and SAARC neighbors, Singapore, The Philippines, Thailand, Japan furthermore, China,
and others, for example, Mauritius, Australia, Hong Kong and a couple
South African nations. Its offer to enter the Japanese market in 1995 did not succeed, however it
intends to wander once more. In September 2007, Amul rose as the main Indian brand as per a
overview by Synovate to discover Asia's best 1000 brand.
Once very angered by unfair trade practise, the farmers of Kairawent to Sardar vallabh bhai patel
under the initiative of farmer leaderTribhuvandasK.Patel. Sardar Vallabh bhai patel then told the
farmers to form a cooperative and supply milk straight to the Bombay Milk Scheme rather than
Polson. He then sent Moraji Desai to the farmers for a solution to sort out. In 1946, the milkman
of the region gone for a strike which prompted the setting up of cooperative to collect andthus
process milk..Milk accumulation was decentralized, as most makers were minor ranchers who
could convey, probably, 1–2 liters of milk for each day. Cooperatives were thus shaped for each
of the town, as well.
ABOUT AMUL APO’S:
Amulthus to compete in the todays retail business has opened its retail business to enter the
market and compete with retail giants like baskinrobbins,keventers and other giants it has thus
expanded its territory by opening 6000 Amul Preferred Outlets in quick time. The retail parlour
sell wide variety of Amul products with each and every products thus available in the outlet .Due
to its extremely best brand equity and the love of consumer towards the brand it has been able to
come up this idea of doing this kind of business.
TheAmul parlours are not open everywhere it has to have some really good crowd so that sales
volume is really very high since the margin of profit is really very less,since less profit cannot
make up the and opens up in place such as at main street area,Railwaystations,Bus terminals
,Hospitals and Educational institute and University.
Amul Product Range:-
Fresh Milk Amul Gold Full Cream Milk 6% fat, Amul Shakti
Standardised Milk 4.5% Fat, AmulTaaza Toned
Milk 3% fat, Amul Slim & Trim, AmulCow Milk
UHT Milk Range Amul Gold 4.5% fat Milk, Amul Shakti 3% fat
Milk, Amul Taaza1.5% fat Milk, Amul Lite Slim-
n-Trim Milk, Amul Fresh Cream
1.2 Background of the project and some brief on the title of the project
Amul thus to compete in the todays retail business has opened its retail business to enter the
market and compete with retail giants like baskinrobbins,keventers and other giants it has thus
expanded its territory by opening 6000 Amul Preferred Outlets in quick time. The retail parlour
sell wide variety of Amul products with each and every products thus available in the outlet .Due
to its extremely best brand equity and the love of consumer towards the brand it has been able to
come up this idea of doing this kind of business.
The Amul parlours are not open everywhere it has to have some really good crowd so that sales
volume is really very high since the margin of profit is really very less,since less profit cannot
make up the and opens up in place such as at main street area,Railwaystations,Bus terminals
,Hospitals and Educational institute and University.
1.3 Objectives:-
PRIMARY OBJECTIVE-
SECONDARY OBJECTIVE-
The study was mainly carried out in GUWAHATI city of Assam so the main scope is restricted to
this place.
The scope that was found during the survey was -:
By the year 1956 Amul has realized that they need to have a proper positioning statement in
order to establish them as a brand in the Indian market. So to pass away with the positioning
statement processed from the purest milk under the most hygienic condition by a dairy
cooperative in Gujarat. Though the positioning statement threw on to some light on what Amul is
but it failed to make an impact on the Indian consumers. Amul was in a risky business in the
sense that it was manufacturing butter , which is a western concept but it was not that much
known to the Indian taste. In India ghee is generously used in every meal so Amul had its
competitor in the form of ghee which was an avoidable product of Indian meals. The main
challenge was to position itself against something that had already marked its position and Amul
had a huge barrier to cross. Amul didn’t give up . They made their strategy in the minds of the
consumer to include butter in their day to day lives. In 1966 Amul realized that the positioning
statement needs to be revised and it needed a brand ambassador. So they hired the AS advertising
agency. Sylvester Dacunha , the managing director of the same advertising agency came with the
idea of the Amul girl. Instead of hiring a celebrity brand ambassador Dacunha thought of a
chubby little cartoon girl with polka dotted frock . This is what they needed as their brand
ambassador. The tagline of Amul also had to be decided. Dacunha’s wife who was an English
Professor suggested ‘utterly amul’ and to make the impact stronger Sylvester added the word
butterly to it. Although the word butterly doesn’t feature in the English dictionary but it made
enough sense it connecting butter with Amul. Since then Amul never had to look back. The Amul
girl was a big hit. She flashed in the newspaper and billboards in the country with witty and
humorous comments on social, economical or political issue going in the country. It had made its
position well in the country like India. Amul did not stop after creating the ‘Amul girl’, they
made full use of her and even after 45years since her inception they did not change their brand
ambassador. The brand recall for Amul reached new heights with her. Amul made sure that
whatever may be the issue on which their brand ambassador is commenting on, the solution
should only be butter. Moreover Amul also started the tagline “Taste of India” which
strengthened its Indian connect. The tagline was strong enough to convince Indians that butter is
meant for them. The TV advertisements should use of butter in cooking parathas instead of ghee
and Amul was successful once again. Its multidimensional approach of teaching Indians how to
eat butter and telling them how butter suits the Indian taste and connecting butter to all Indian
issues worked out very well for the company. With the huge network it made itself available
throughout all parts of the country and even to those places where its competitors couldn’t reach.
And since most of the advertisements featured in the newspapers in the form of print ads so it
could send its messages to all parts of the rural places inIndia . They remain up to date with the
current situations and the company changes its ads every week. The Amul marketing team is
responsible for the upgradation so they brainstorms their mind everyMonday to Friday. During
the weekend the hoardings change across the nation and the new ad is put up. Amul has done its
branding so efficiently that the people now look forward for the new Amul ad every week. Their
marketing strategy has been so unique that no one could match up to their benchmark that they
has set all over the country.
They also started their new business few years back so that they could improve their brand
equity and has targeted to open more than 6000 outlets. They decided that their products must be
well known to every individual so they planned to open their APO near Universities, colleges,
hospitals etc.
CHAPTER 3
Methodology
3.1 Objectives:-
To study the retail census study of AMUL PREFERRED OUTLET and then calculate the ROI of
each APOs visited.
Quantitative design: The retail shop owners were interviewed to evaluate about the sales
turnover rate to find out about the returns in per month.The retail shop owners sales data were
reported and that was done in in terms of number products sold in the parlour.So it can be said
that that the design used for it to find out about the market research.
Qualitative design: First the market research was done, then there was face to face interaction
with retaile shop owners. The retaile shop owners were interviewed in the technique of face to
face interview with open ended questions and they were allowedto give feedback about the
service of AMUL and the service label of the distributor, company’s after sales service,
reputation of certain products, type of problems faced frequently etc. Here in the case since no
datas regarding numbers were needed so it is basically qualitative and hence this technique is
used. Hence, it can be concluded that quantitative design was used to find out in the market
research
By Observation method
Sales Records
The primary data that has been collected through interviewing the retail outlet owner and the
parlour boy at the premises.The sample size for the survey that has been done was about 10
outlets present in the city of Guwahati.The results from the interview is original is collected at
first hand and is not biased.The interview was concerned with more open ended question keeping
in mind that the retailers are very much co-operative and unbiased.The following informations
were obtained-
Stock details.
Total footfall of customer.
Location of the outlet.
Infrastructure of the outlet.
Facility present in the outlet.
Interior design.
Visibility and Branding.
Product availability.
Service label of distributor.
Place:-
The research was conducted at different part of the City of Guwahati.The area consisted of-
Sixmile Guwahati.
Beltola Guwahati
Chandmari,Guwahati
Jayanagar,Guwahati
Zoo Road,Guwahati
Dighalipukhuri,Guwahati
CHAPTER 4
For the research work to be done fruitfully various parameters were thus taken.The various
factors that has been taken are Retail outlet issue,Retaillerissue,types of issue,parlour interior and
the exterior parameters.The data collected is just the number of outlet in the area assigned.The
total outlet visited with data recording for three days per outlet is 8 outlets.
GRAPHICAL REPRESENTATION:-
INTERPRETATION:-From the above data we have found that the most of the outlets are present mainly
near the main street and nearby college or university the percentage is 57.1% and 42.9%.
4.1.2 Footfall of Customer.
INTERPRETATION:-From the above datas collected it have been found that the average footfall
of customer according to the area depends.Most of the outlets have good numbers of customer
where 200+ customer constitute 57.1%,150-200 customer constitute 14.3% and some outlets
where sales is really poor is 28.6%.
INTERPRETATION-From the datas collected it have been found that most of the outlet have size as per the
AMUL APOs area which should be between 120-140 sq ft.
INTERPRETATION-From the datas that have been collected it have been found that branding
done at most of the outlet is good and some of the outlet lacks some.
4.1.9 Outside branding of the outlet.
INTERPRETATION-From the datas collected it have been found that most of the outlet gets
enough stock which constitute 57.1% and other gets 42.9% of stock rarely which is not
acceptable.
CALCULATION OF ROI:-
Calculation has been for one month by remaining at a particular outlet for 3 days.
INTERPRETATION:-
From the following calculation done on ROI that have been collected from the the various sales data
the ROIs of the outlet was found to be-
5 AROHAN 7.5%
FINDINGS:-
1. The most demanded products are never supplied fast.
2. Lack of poor distribution of product at the outlet.
3. Location of the outlet plays a role since less footfall less sale and ultimately less margin of profit.
4. Weather plays a significant role since in North East,Indiaits never that too hot and it rains mostly and
sale of products thus decrease.
5. AMUL margin of profit is really less as compared to other competitors.No facility provided as free
like other competitor do.
6. Lack of proper advertisement of the outlet.
7. Replacement issue.No product gets replaced when they are damaged.
8. Lack of knowledge of the parlour boy.
9. Competitors are Baskin Robbins,Keventers etc.
RECCOMENDATIONS:-
More advertising should be done and also the outlet should be fancy and should be like
Baskin Robbins and keventers.
4. Investment on APO-
How has the APO done regarding the advertisement of the new APOs
CHAPTER 6
CONCLUSION:-
GCMMF AMUL one of the best FMCG brand in dairy products is marketing and selling
products in INDIA and abroad too so its demand and supply is going through a rapid acceleration
in demand and supply of its product.The growth in it can be seen from the sales turnover from its
best brands.
Since AMUL has started its new business by opening up its own chain of retail outlets where
every AMUL products can be found thus will increase its sale as people will be more aware
about the wide variety of items that they have.
In reference to what the objective been assigned about the AMUL parlour which are newly been
installed in various part of the city of Guwahati a less number of sale can be seen in many
areas.One reason may be due to the weather plays a role in selling of products where in NORTH
EASTERN part of India the monsoon occurs early from May it is due tndpeoo it the sell
decrease.Also other reason for lack of sale is due to less supply of most demanded products at
the outlet.
Therefore,conclusion can be drawn through the project by stating that the weather plays a role
and also the high demand of the product but due to lack of unavailability and shortage of
products there exist the issue.Thus by proper distribution channel and adding more new
strategies the low selling can be increase.
ANNEXURE
Questionnaire for the study of Retail census-
a.Excellent
b.Very Good
c.Good
d.Poor
4.What is the size of the outlet ? Whether it fulfil the criteria of size 100 sq ft to 150 sq ft.
a. 1
b. 2
c. 3
d. 4
e. more than 4
c.Paper board
9.What about the inside branding of the outlet whether offer signage product display hanger and deep freezers
visicooler and mil cooler have branding.
a.Yes
b.No
c.____
a.Yes
b.No
a.Excellent
b.Very Good
c.Good
d.Upto mark
a.Frozen product.
b.Ambient product
c.Refrigerated product.
NAME OF DISTRIBUTOR-
PRODUCT DELIVER-Ambient
NAME OF DISTRIBUTOR-
PRODUCT DELIVER-REFRIGERATED
a.MOSTLY
b.RARELY
c.LESS
REFERENCE BOOKS :
REFERENCEFROMMAGAZINES:
Times of India
Business Today
REFERENCEFROMWEB:
1.www.gcmmf.amul.coop
2.www.anulindia.com