Amul - Evolution of Marketing Strategy
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Case Details:
Case Code : MKTA011
Case Length : 26 Pages
Period : 2004
Pub Date : 2004
Teaching Note :Not Available
Organization : Gujarat Co-operative Milk Marketing Federation (GCMMF)
Industry : Food
Countries : India
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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.
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Excerpts Contd...
Pricing
Amul's philosophy had all along been to deliver value for money to its customers. Despite being priced economically, Amul maintained its product quality...
Distribution
GCMMF's formidable distribution network comprised 300 stock keeping units, 46 sales offices, 3,000 distributors, 100,000 retailers with refrigerators, an 18,000-strong cold chain, and 500,000 non-refrigerated retail outlets...
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Advertising and Sales Promotion
Over the years, Amul's advertising philosophy had been "to be simple, fresh and innovative". The clean, emotion-based ads refrained from using hi-tech special effects, and aimed at maintaining the perfect balance between the traditional and the modern...
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Looking Ahead
The liberalization of the dairy industry in 1991 had seen a number of multinational players like Britannia, Le Bon, Dabon and Hi-Life enter the sector.
Analysts wondered whether a co-operative with limited financial means could stand up to the might of these MNCs, and if its low pricing strategy would continue to stay relevant. MNCs like Pizza Hut, Domino's, Hindustan Lever Limited and Cadbury had also become competitors. Amul had proved its detractors wrong and firmed up ambitious growth plans...
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Exhibits
Exhibit I: Amul- Tapping Other Farmer Cooperatives
Exhibit II: The Anand Cooperative Model
Exhibit III: Gujarat Cooperative Milk Marketing Federation (GCMMF): An Overview
Exhibit IV: GCMMF - Sales Turnover
Exhibit V: Amul's Product Profile
Exhibit VI: List of Products Marketed by Amul
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