Final New Project

8/2/2019 Final New Project

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A Report ON

COST EFFECTIVE DISTRIBUTION CHANNEL OF AMUL CUP DAHI

AT

GUJRAT CO-OPERATIVE MILK MARKETING FEDERATION LIMITED (KOLKATA)

PRESENTED BY

TANMOY DUTTA

PGDM (2010-2012)

MASTER SCHOOL OF MANAGEMENT

COMPANY GUIDE:

MR.KAUSHIK CHAKRABORTY (ASST.MANAGER, SALES)

INSTITUTE GUIDE:

MRS.NEHA SHARMA


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PREFACE

AMUL is the pride not only of Gujrat but also of entire country. I have greatpleasure in preparing this project of such organisation. A person aspiring to

enter in management profession must have practical knowledge of the subject.

The objective of industrial training is to develop practical knowledge in student

as a supplement to the theoretical study of management in general as well as

industrial. It provides foundation to students intending to pursue a career in

this field.

The Industrial training is the most exciting experience of the education. Everyperson needs some changes from routine education. For this training industry

is selected by me and fetch information about different products ofAMUL,

and its activities. But I concentrated more on taking information about

Distribution channel of Amul Cup Dahi.

It is only the training through which I come to know that what an industry

is and how it works. I can learn about various departmental operations

being performed in the industry, which would, in return, help me in thefuture when I will enter the practical field.

During this whole training I got lot of experience and came to know about

the management practices in real that how it differs from those of

theoretical knowledge and the practically in the real life. We also know the

Experience is the most important skill for my corporate life.


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ACKNOWLEDGEMENT

Every piece of hard work requires the combined efforts and talents

of many people. An ambitious work of this kind, providing analytical

review to the subject would have remained a concept rather than

the finished product without cooperation of those who respondent

to our request to contribute. In the present world of competition and

success, training is like a bridge between theoretical and practical

working; willingly I prepared this particular project.

With immense pleasure, I would like to present this project report on

AMUL MASTI CUP DAHI for Gujarat Co-operative Milk Marketing

Federation Ltd., KOLKATA.

We are very much thankful to those people who give us their valuable time

and related information about Amul. I would like to express my sincere

thanks to all those who helped me during my practical training programme.

Words are insufficient to express my gratitude toward Mr.KAUSIKCHAKROABORTY Asst.Manager,Sales of Amul.

The manager of New India Agency(Distributer), Mr. BABU , along with the

salesmen, Mr. BAKSHI, Mr. DUTTA deserve special mention for ensuring

co-operation towards my project at all times. They were the pivot around

which my project revolved.

My faculty guide, Mrs. NEHA SHARMA had been pivotal for the successfulcompletion of the project by guiding me throughout the entire phase. I

would like to extend my gratitude to him for rendering all the support I

needed throughout my Management-in-Practice.

Lastly, I convey my regards to the whole staff, which made my stay at

G.C.M.M.F LTD. A memorandum part of life.


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EXECUTIVE SUMMARY

PROJECT SCOPE

The project was entitled TO MAKE COST EFFECTIVE DISTRIBUTION CHANNEL

OF AMUL CUP DAHI. The research objectives are as follows:

To make the distribution channel of Amul Cup Dahi more cost effective.

To create awareness for the same product by demonstrating its

functional benefit for the human system.

To increase the off take of the retailers for the same product.

To market Amul Cup Dahi in a more effective manner in spite of the

existence of Amul Pouch Dahi in the market (Amul Pouch Dahi isavailable in almost half price of Amul Cup Dahi.)

To know retailers satisfaction and their thinking about AMUL MASTI

DAHI (CUP) in terms of price, schemes and offers.

Demand estimation of AMUL MASTI CUP DAHI in a particular area.

MARKETING COVERING

A total of ten markets and near about 300 retailers in Kolkata, were taken to

be visited in order to make the power plan. The bases for selection are,

Situated at good place

Cold storage facility


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High storage capacity

High customer demand

PROJECT REPORT CONTENT

INTRODUCTION..

Introduction to the study

Theoretical background of the study

Need for the study

INDUSTRY PROFILE..

Food industry

Advantage of India under food industry

FMCG

TOP 10 INDIAN FMCG SECTOR

COMPANY PROFILE..

Company Background

Organization Structure

List of products

PRODUCT PROFILE

Total market size of curd

Advantage of cup Dahi

Major competitors

Brand image


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SWOT analysis

EXISTING DISTRIBUTION CHANNEL

ALTERNATIVE MODEL OF PROJECTED DISTRIBUTION CHANNEL..

LIMITATION OF THE Study..

STATEMENT OF THE PROBLEM

SUGGESTIONS.

CONCLUSION

BIBLIOGRAPHY

APPENDICES.


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INTRODUCTION

INTRODUCTION OF THE STUDY

India is a fertile economy for international products and company. Everycompany are emerging at the faster level. The technology and advancement

have permitted companies to widen substantially both Markets and suppliers

sources. Now as companies are emerging with their new products, marketing

has become exuberant activity in expanding the market globally.

Marketing starts with human need and wants. It is a human activity directed at

satisfying needs and wants through exchange process.

Marketing management is the process of planning and executing conception,pricing, promotion and distribution of ideas, goods and services to create

exchanges that satisfy individual and organizational goals. In other words we

can say it deals with identifying and meeting human and social needs. It is

basically a meeting needs profitability. The aim of marketing is to know and

understand the customer so well, that the product and service fits him and

sells itself.

It acts as an instrument to lift up the standard and life style of theeconomy with the help of the marketing. Marketing is of critical importance

because it maintains stability in the economic condition.

Marketing is an existing, dynamic and contemporary field. It is recognized as

the most significant activity in the society. Marketing has a widest connection

which include in its fold selling, buying, transportation, warehousing,

pricing and packaging.


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Amul was formed in 1946, is a dairy cooperative in India. It is a brand name

managed by an apex cooperative organisation, Gujrat co-operative Milk

Marketing Ltd (GCMMF), which today is jointly owned by some 2.8 million

milk producers in Gujrat, India.

THEORETICAL BACKGROUND OF THE STUDY

Amul Masti Dahi- The answer to making great tasting dishes is fresh, creamy

and good quality dahi.It is ideal meal accompaniment and is delicious as wellas nutritious by itself too.Amul Dahi is prepared in controlled conditions i.e.

maintaining proper temperatures to grow beneficial bacteria and to avoid

growth of harmful bacteria. It is pasteurized product i.e. Free from unwanted

bacteria and also its prepared with selected culture having pro health bacteria.

The culture is developed after in depth research.

Amul Masti Dahi is prepared from purest, freshest pasteurized milk and it is

free from added sugar and its doesnt contain any preservatives. Amul Masti

Dahi is prepared from certified and selected bacterial culture which gives

excellent curd and its also hygienically processed and packed in a reusable

plastic tub as well as convenient pouch and thus free from Possible adulteration.

Amul Masti Dahi is high on nutrition and taste.The live micro flora in Amul

Masti Dahi helps the digestive system and enhances the immune systems

ability to fight harmful organisms. It improves the bodys natural defences and

helps keep the body functioning at its best.

Amul Masti dahi is a health conscious product because its having a probiotic

nature contains live bacterial culture which increases milk digestibility,

quickens recovery from certain types of diarrhoea, skin infections, enhances

immune function of the body and encourages the body to function in the best

possible and most natural way. In amul masti dahi there are various contains

such as proteins, carbohydrates, fats, calcium, phosphorous, magnesium, zinc,

iodine and vitamins.


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Probiotics are living micro-organisms, which when ingested or locally applied

in sufficient numbers confer one or more specified, demonstrated health

benefits on the consumer. As against Antibiotic, Pro-biotic means 'for life',which indicates an essential property of probiotic cultures.The health benefits

of probiotic foods are improved digestion and nutrient absorption, reduced

blood cholesterol etc.Probiotics are beneficial bacteria that can be introduced

into the digestive system through food like Amuls Probiotic Dahi.

Now when it comes to distribution channel for amul cup dahi which comes

under the chilled category, the company needs to follow a critical distributionchannel so that all the potential retail outlets could be reached easily in an

effective manner to cater the noticeable demand for the premium product. Amul

cup dahi which has self-life of 15 days only reaches distribution point after a

day of manufacturing. And then it is being made available to the retailer within

two or three days time period which in turn affects the sale of cup dahi due

customer reluctance of backdated product.

Without a taste of dahi people doesnt consider their quota to be fulfilled as far

as eating pattern is concerned over time at Kolkata. So its very natural for the

people of Kolkata that they consume dahi almost on a daily basis, which

indicate a huge demand for dahi. But people of here are very concerned about

the taste of dahi and they are fond of either homemade or dahi of private level

(sweet shop) which is sweet in taste or plain. Therefore its crystal clean for the

company that dahi of private level is most competent Element for them. Apart

from this there are brand like Metro Dairy and Amul Masti pouch dahi itselfshowing a real threat to Amul Masti cup dahi to excel further.

A marketing channel performs the work of moving goods from producer to

consumer. It overcomes the time, place, possession gap that separate goods and

services from those who need or want them , members of the marketing

channel perform a number of key function like forward flow of activity from the


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company to customer (goods) and backward flow from customer to company

(order and payment).

The Amul Indias product portfolio consists of four different categories, and

they are

1. Frozen.2. Chilled.3. Ambience4. Milk

Therefore to obtain the highest degree of spatial convenience the company

focuses on four different categories of product lines.

NEED FOR THE STUDY

In present market scenario customers are fairly exposed to a growing range of

choices in the different brands of product & services. And the choices are based

on their perception of the brand and qualities of the product & services they are

paying for.

With the help of the study it can be easily said that for a product like Amul

Masti Dahi (cup) which is targeted to the premium or upper segment of the

consumers, the company needs to understand what are the several factors

affecting or influencing the existence of the product. After going through this

study it is ensure able that the company can have a clear view of the product in

the long run. This study mainly focuses on making the existing distribution

channel more effective in terms of time as well as cost.

This study will allow the company in giving them a better understanding of the

distribution channel so that the demand of the premium segment can be catered

in an effective and profitable manner by reaching the potential retail outlets in

accordance with the time. Besides this it is also very important for the company

to make people aware of the pro-biotic culture of Amul Dahi in a better manner

so that potential target segment of the customers can be reached easily.


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Therefore it becomes necessary to understand, analyse, and evaluate among the

projected distribution model in a systematic manner and act accordingly for a

more cemented existence in todays competitive market scenario.

INDUSTRY PROFILE

Type: Co-operative

Industry: Dairy

Founded: 1946

Headquarters: Anand

Key people: Chairman, Kaira District Cooperative Milk Producers Union

Limited (KDCMPUL)

Revenue: INR (Indian Rupee) 67.11 billion; $1.33 USD (in 2008-09)

Employees: 735 employees of marketing arm. However, real pool consist of 2.8

million milk producers

Website:www.amul.comAmul is the largest food brand in india and worlds largest pouched milk

brand with an annual turnover of US $1050 million (2006-07).

FOOD INDUSTRY

The food industry is the complex, global collective of diverse business that

together supply much of the food energy consumed by the world population.
http://www.amul.com/http://www.amul.com/http://www.amul.com/http://www.amul.com/


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Only subsistence farmers, those who survive on what they grow , can be

considered outside of the scope of the modern food industry.

The food industry includes:

Education: Academic, vocational, consultancy

Research & Development: Food technology

Financial service: Insurance, credit

Manufacturing: Agrichemicals, seed, farm machinery and suppliers,

agricultural construction, etc.

Regulation: Local, regional, national and international rules and regulations for

food production and sale, including food quality and food safety, and industry

lobbying activities.

Agriculture: Raising of crops and livestock, seafood.

Food processing: Preparation of fresh products for market, manufacture of

prepared food products

Marketing: promotion of generic products, new products ,public opinion,

through advertising, packaging, public relations, etc

Wholesale and distribution: Warehousing, transportation, logistics


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Retail: Supermarket chains and independent food stores, direct-to consumer,

restaurant, food services.

Advantage of India under food industry:

India is one of the largest food producers in the world. India has diverse raw

material base suitable for food processing companies. Investment requirement

of around US$16 billion exists in the food processing sector.

India is looking for investment in infrastructure, packaging and marketing. India

has huge scientific and research talent pool. A largely untapped domesticmarket of 1000 million consumers, 300 million upper and middle class consume

processed food and 200 million more consumers expected to shift to processed

food by 2011. Here are well developed infrastructure and distribution network.

Rapid urbanization, increased literacy, changing life style, increased number of

women in workforce, rising per capita incomeleading to rapid growth and new

opportunities in food and beverages sector.

50 percent household expenditure by Indians is on food items

Strategic geographic location (proximity of India to markets in Europe and Far

East, South East and West Asia)

Under the food industry, Dairy product is very important part of food

processing. Dairy processing is acting good role in India.

FMCG


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Products which have a quick turnover, and relatively low cost are known as Fast

Moving Consumer Goods (FMCG). FMCG products are those that get replaced

within a year. Examples of FMCG generally include a wide range of frequentlypurchased consumer products such as soap, cosmetics, tooth cleaning products,

shaving products and detergents, as well as non-durables such as glassware,

bulbs, batteries, paper products, and plastic goods. FMCG may also include

pharmaceuticals, consumer electronics, packaged food products, soft drinks,

tissue paper, and chocolate bars. A subset of FMCGs is Fast Moving Consumer

Electronics which include innovative electronic products such as mobile

phones, mp3 player, digital camera, GPS system and laptops. These are

replaced more frequently than other electronic products. White goods in FMCGrefer to household electronic items such as Refrigerators, TVs, Music system,

etc.

Indian FMCG Sector

The Indian FMCG sector is the fourth largest in the economy and has a marketsize of US$13.1 billion. Well- established distribution networks, as well as

intense competition between the organized and unorganized segments are the

characteristics of this sector. FMCG in India has a strong and competitive MNC

presence across the entire value chain. It has been predicted that the FMCG

market will reach to US$33.4 billion in 2015 from US$11.6 billion in 2003. The

middle class and the rural segments of the Indian population are the most

promising market for FMCG, and give brand markets the opportunity to convert

them to branded products. Most of the products categories like jams, toothpaste,skin care, shampoos, etc, in India, have low per capita consumption as well as

penetration level, but the potential for growth is huge.

The Indian Economy is surging ahead by leaps and bounds, keeping pace with

rapid urbanization, increased literacy levels, and rising per capita income.

The big firms are growing bigger and small-time companies are catching up as

well. 62 of the top 100 brands are owned by MNCs, and the balance by Indian

companies. Fifteen companies own these 62 brands, and 27 of these are owned


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by Hindustan Lever. Pepsi is at number three followed by Thums up. Dabur

india takes the fifth place, followed by Asian paints(6), Cadbury india(7),

Britannia(8), P&G(9), Marico(10). These are figures the soft drink and cigarette

companies have always shied away from revealing. Personal care, cigarettes,

and soft drinks are the three biggest categories in FMCG. Between them, they

account for 35 of the top brands.

The Top 10 Companies In FMCG Sector

Hindustan Unilever Ltd.

ITC (Indian Tobacco Company)

Nestle India

GCMMF (AMUL)

Dabur India Ltd.

Asian Paints (India)


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Cadbury India

Britannia Industries Ltd.

Procter & Gamble Hygiene and Health Care

Marico Industries Ltd.

COMPANY PROFILE

THE TASTE OF INDIA, AMUL comes from the Sanskrit word Amoolya,

means priceless. It was suggested by a quality control expert in Anand and itwas chosen because it was perfect acronym for Anand Milk Union Limited.

AMUL was formed under the dairy cooperative movement in India in 1946.

The AMUL pattern 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.

The story of Amul inspired operation flood and heralded the White

Revolution in India. It began with two village cooperatives and 250 liters ofmilk per day, nothing but a trickle compared to the flood it has become today.

Today Amul collects processes and distributes over a million liters of milk and

milk products per day, during the peak, on behalf of more than a thousand

village cooperatives owned by half a million farmer members.

The Amul revolution started as awareness among the farmers grew and matured

into a protest movement. Over four decades ago, the life of a farmer in Karia

district was very much like that of his counterpart anywhere else in India. His


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income was derived almost entirely from seasonal crops. The income from

milch buffaloes was undependable. Private traders and middleman controlled

the marketing and distribution system for the milk. As milk is perishable,

farmers were compelled to sell it for whatever they were offered.

It is also the worlds largest vegetarian cheese brand. The system succeeded

mainly because it provides an assured market at remunerative prices for

producers milk besides acting as a channel to market the production

enhancement package. Whats more, it does not disturb the agro system of the

farmers. It also enables the consumer an access to high quality milk and milk

products. Contrary to the traditional system, when the profit of the business was

cornered by the middleman, the system ensured that the profit goes to the

participants for their socio-economic upliftment and common good.

Looking back on the path traversed by Amul, the following features make it

pattern and model for emulation elsewhere.

Amul has been able to:

Produce an appropriate blend of the policy makers farmers board of

management and the professionals: each group appreciating its rotes andlimitations,

Bring at the command of the rural milk producers the best of the

technology and harness its fruit for betterment.

Provide a support system to the milk producers without disturbing their

agro economic systems,

Plough back the profits, by prudent use of men, material, and machines in

the rural sector for the common good and betterment of the members

producers.


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Even though, growing with time and on scale, it has remained with the

smallest producer members. In that sense, Amul is an example, of anintervention for rural change.

ORGANISATION STRUCTURE

It all started in December 1946 with a group of farmers keen to free Them

selves from intermediaries, gain access to markets and thereby ensure maximum

returns for their efforts.

Based in the village of Anand, the Karia District Milk cooperative Union

expanded exponentially. There are similar federations in other states. There was

recognition that this initiative would directly benefit and transform small

farmers and contribute to the development of society.

Markets, then and even today are primitive and poor in infrastructure. Amul and

GCMMF acknowledged that development and growth could not be left to

market forces and that proactive intervention was required. Two key

requirements were identified.

The first, that sustained growth for the long term would depend on matching

supply and demand. It would need heavy investment in the simultaneous

development of suppliers and consumers.


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Second, that effective management of the network and commercial viability

would require professional managers and technocrats. To implement their vision

while retaining their focus on farmers, a hierarchical network of cooperatives

was developed, which today forms the robust supply chain behind GCMMFs

endeavours. The vast and complex supply chain stretches from small suppliers

to large fragmented markets. Management of this network is made more

complex by the fact that GCMMF is directly responsible only for a small part of

the chain, with a number of third party players playing large roles.

Managing this supply chain efficiently is critical as GCMMFs competitive

position is driven by low consumer prices supported by a low cost system. The

Union looks after policy formulation, processing and marketing of milk,

provision of technical inputs to enhance milk yield of animals, the artificialinsemination service, veterinary care, better feeds and the like- all through the

village societies.

List of Products Marketed by Amul

Bread spreads:

Amul Butter

Amul Lite Low Fat Bread Spread

Amul Cooking Butter

Cheese Range:

Amul Pasteurized Processed Cheddar Cheese

Amul processed cheese spread

Amul pizza cheese

Amul shredded pizza cheese

Amul Emmental cheese

Amul gouda cheese

Amul Malai paneer


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Utterly delicious pizza

Mithaee Range:

Amul Shrikhand

Amul amrakhand

Amul mithaee gulabjamuns

Amul mithaee gulabjamun mix

Amul mithaee kulfi mix

Avsar ladoos

UHT Milk range:

Amul shakti 3%fat milk

Amul tazza 1.5% fat milk

Amul gold 4.5% fat milk

Amul lite slim-n-trim milk 0% fat milk

Amul shakti toned milk

Amul fresh cream

Amul snowcap softy mix

Pure Ghee:

Amul pure ghee

Sagar pure ghee

Amul cow ghee

Infant Milk Range:

Amul infant milk formula 1

Amul infant milk formula 2

Amulspray infant milk food


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Milk Powders:

Amul full cream milk powder

Amulya dairy whitener

Sagar skimmed milk powder

Sagar tea and coffee whitener

Sweetened Condensed Milk:

Amul mithaimate sweetened condensed milk

Fresh Milk:

Amul tazza toned milk 3% fat

Amul gold full cream milk 6% fat

Amul shakti standardised milk 4.5% fat

Amul slim & trim double toned milk 1.5% fat

Amul saathi skimmed milk 0% fat

Amul cow milk

Curd Products:

Amul flaavyo yoghurt

Amul masti dahi (fresh curd)

Amul masti spiced butter milk

Amul Lassee

Amul Icecream:

Royal treat range

Nut-o-Mania range

Natures treat

Sundae range


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Assorted treat

Utterly delicious

Chocolate & Confectionery:

Amul milk chocolate

Amul fruit & nut chocolate

Brown Beverage:

Nutramul malted milk food

Milk Drink:

Amul kool flavoured milk

Amul kool caf

Amul kool koko

Amul kool milk shakee

PRODUCT PROFILE

Dahi is popular in Indian diet through ages. Dahi is the productmade by coagulation of milk with the help of lactic acid fermentationby advantages bacteria. Dahi is more preferred from of all nutrientsof milk in pre-digested form.

Amul Masti Dahi is made from standardized milk with 4.5% fat and

8.5% SNF which gives creamy compact body and texture. Fatcontent is 50% more than others brands. It is made in the mosthygienic way with state of art modern processing plant. It is madewith special culture called Direct Vat Set Culture(DVC), they areRST and CHN-11 contains mixer of acid producing and flavourproducing organism to give smooth, mild acidic taste and pleasantflavour producing organism to give smooth, mild acidic taste andpleasant flavour consistently.


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Amul Masti Dahi is available in convenient and attractive reusableplastic cups. Which are sealed with tamper proof aluminium seals toavoid any adulteration. This curd is available in two different packs sizes200 gm and 400gm cups.

Total Market size Of Curd

Per capita consumption of milk is 225ml per person perday. Out of this 25% of milk is converted into curd. Soconsumption of curd is 50gm per person per day. So fortown with 100,000 population market potential for curdis 5 Metric Ton per day.

Attractive pricing of Amul Masti Dahi


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Masti Dahi Advantage

Amul Masti Dahi is prepared from purest, freshestpasteurized milk and it is free from added sugar.

Amul Masti Dahi is prepared from certified and selected

bacterial culture which gives excellent curd

Amul Masti Dahi is hygienically processed andpacked in a reusable plastic tub as well as

convenient pouch and thus free from possibleadulteration.

Amul Masti Dahi is high on nutrition and taste. Amul Masti Dahi having a probiotic nature contains live

bacterial culture which increases milk digestibility, quickens

recovery from certain types of diarrhea, skin infections,

enhances immune function of the body and encourages the

body to function in the best possible and most natural way. Amul Masti Dahi contains all goodness of milk such as proteins,

carbohydrates, fats, calcium, phosphorous, magnesium, zinc,

iodine and vitamins.

Lactic acid in Amul Masti Dahi is helpful in absorption andutilization of calcium.

Market Share

In all the market, where the company had launched Masti Dahi,its market share is more than 80% except in south.

Major Competitors

Amul masti pouch Dahi is the major competitor of Amulmasti cup Dahi.

Private level Dahi.

Brand Image

Great testing dishes is fresh, creamy and good qualitydahi.


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Delicious to eat Prefered by the entire family. Probiotic concept Convenient packaging

Good for health Amul is the big brand

SWOT Analysis

Strength:

Good brand image: It manufactures only milk and milk

products, which is purely vegetarian thus providing qualityconfidence in the minds of the customer.

Indian Brand: The company is having Indian origin thuscreating feeling of oneness in the mind of the customer.

Probiotic concept: Probiotic concept is the one of theunique features that is differentiate with any private level curd.

Weakness:

No Replacement.

Improper distribution channel.

Only 15 days self life

Improper supply

Opportunity:


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Extention: Intensive advertisements and brand image,company has good scope future.

Product offering: Can offer wide variety of Dahi underumbrella of Amul Masti Dahi.

Existing market is not fully tapped & the company canincrease presence by penetrating further.

Threats:

The major threat is his own product i.e Amul Masti pouchDahi and private level curd.

There is no brand loyalty in the curd market and theconsumer can change their brand.

Existing distribution channel

Distribution channel is a path through which goods & services flow in one

direction (from vendor to consumer) and the payments generated by themthat flow in the opposite direction (from consumer to the vendor).

A marketing channel can be as short as being from the vendor to the consumer

or may include several interconnected intermediaries such as wholesaler,

distributer, agents, retailer. Each intermediaries receives the item at one

pricing point and moves it to the next higher pricing point until it reaches the

final buyer.


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The channel Network

Distribution Channel

Manufacturing unit (Kolkata, Dankuni)

Distributer point (Shyambazar)

Mkt-1 Mkt-2 Mkt-3 Mkt-4 Mkt-5 Mkt-6 Mkt-7 Mkt-8

Lake-town Subhasnagar Bangur Italgacha Sribhumi- Dumdum Airport Durgangar

Dakshindari Naryantala Gorabazar

Its a downstream channel. Downstream channel is the part of the supply

chain, from the manufacturing units to the retailer.

Dahi is a fresh category product and its self life only 15 days, So that its

manufacturing point in Dankuni, Kolkata and after that is immediately supply

to the distributer point to serve the product to their targeted retailer. And

transportation is done on 3and 5MT Tata407s, auto-rickshaw, rickshaw etc.

Presently under New India Agencies distribution beat are as follows,

DAY LOCATION SALESMAN

Monday Subhasnagar part-1

Sribhumi-Dakshindari

Salesman-1

Salesman-2


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Tuesday

Bangur

Airport

Salesman-1

Salesman-2

Wednesday Laketown -kalindi Salesman-1

Thursday

Subhasnagar part-2

Gorabazar

Salesman-2

Salesman-1

Friday Italgacha Salesman-2

Saturday

Durganagar

Dumdumpark-Narayantala

Salesman-1

Salesman-2

In this way both salesman are covered the existing distribution beat of Dahi as

well as other product line.

But existing distribution beat have been faced some problem for supply as well

as delivery of Dahi. The problem are ,

As the schedule of the existing distribution beat distributer are visit to the

retailer once a week but some potential retailer want to take Dahi twice in a

week and fresh Dahi along with 15 days self-life.

Another is that New India Agency order Dahi from the company twice in a

week (Monday, Thursday).But under the New India Agencies Wednesday and

Saturday market (lake-town,Sribhumi-dakshindari,Durganagar,dumdumpark-


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narayantala) did not get the fresh product, both market get 3days backdated

product and retailer get only 12days self-life of the particular product.

Alternative Model Of Projected Distribution

Channel

In this present scenario after scanning all the existing distribution beat under

the New India Agencies market, I have projected a new cost effective

distribution plan for amul cup dahi. In this project I have prepared the new

distribution beat under the New India Agencies market for Amul cup dahi only.

All markets are divided into two beats.


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This beats model are as follows:


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In this model shows that total market are divided into two beat and also two

way. From this study I find that in the beat-1 all the markets are same route

and in the beat-2 all the markets are same route thats for I have prepared inthis type of beat model that is cost effective.

In the beat-1 markets are- (i) Sribhumi-dakshindari (ii) laketown-kalindi (iii)

Bangur (iv) Dumdumpark-Narayantala

In the beat-2 markets are- (i) Subhasnagar part-1 (ii) Subhasnagar part-2 (iii)

Airport (iv)Italgacha (v) Gorabazar (vi) Durganagar.

In the beat-1, salesman can covered easily all the dahi market as well as other

product line of Amul. In the beat-2, salesman can covered all the dahi market

as well as other product line of Amul.


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Potential and Actual Retail stores

After scanning the full market under the New India Agency, I have selected 17potential retail stores. In 17 retail stores select on the basis of:

A.Situated at good place

B.Cold storage facility

C.High storage capacity

D.High customer demand

The 17 retail store and beat are as follows:

PROTENTIAL RETAIL STORE ADDRESS Beat

Swapan stores Laketown Beat-1

Khagen stores Laketown Beat-1

Grih Laxmi Laketown Beat-1

Matri varaities stores Laketown Beat-1

Trishul stores Laketown Beat-1

Annanya Subhasnagar part-1 Beat-2

Kaberi stores Subhasnagar part-1 Beat-2

Mimo stores Dumdumpark Beat-1

Srikrishna bhandar Italgacha Beat-2Monmohon stores Italgacha Beat-2

Radharani stores Dakshindari Beat-1

Kolpotoru Subhasnagar part-2 Beat-2

Dutta varaities stores Subhasnagar part-2 Beat-2

Mouchak Subhasnagar part-2 Beat-2

Sreehari stores sribhumi Beat-1

Laxmi narayan amul parlour Durganagar Beat-2


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These 17 retail store are situated different different location and all location

are divided into two distribution beat. This distribution beat are prepared only

for Dahi market.

In this process salesman can cover market twice in a week (only cup dahi

market) and retailer can get fresh supply along with 15 days self life.

Alternative way of distribution plan for Amul cup dahi delivery

Alternative-1Beat-1 Beat-2

Tuesday Salesman-1(Bangur) Salesman-2(airport)

Saturday Salesman-2(Dumdumpark) Salesman-1(Durganagar)

In the alternative shows that

Since beat-1 and beat-2 consist of 70-75 retail store selling Amul Cup Dahi

among 16 are

Potential. Delivery of the Amul cup Dahi should be require twice in a week

according of those potential retail store to avoid the replacement problem and

stock out position. And the proposed day should be Tuesday and Saturday.


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On Tuesday salesman-1 have been work in the Bangur market then he can

easily covered the all potential retail store under the beat-1 in effective

manner.

On Tuesday salesman-2 have been work in the Airport market then he can

easily covered the all potential retail store under beat-2 in effective manner.

On Saturday salesman-2 have been work in the Dumdumpark-narayantala

market then he can easily covered the all potential retail store under beat-1 in

effective manner.

On Saturday salesman-1 have been work in the Durganagar then he can easily

covered the all potential retail store under beat-2 in effective manner.

Because the beat-1 all four market and beat-2 all six market are very near to

each other and it is possible to make it available without breaking existing

distribution beat and this plan would be cost effective also.

Apart from existing market salesman-1 will cover additional potential Dahi

retail store(beat-1), additional retail store are: Swapan stores,Khagen

stores,grih laxmi,Matri varaities store,Trishul stores in lake-town,Mimo stores

in dumdumpark,Radharani stores in Dakshindari and Sreehari stores in

Sribhumi on Tuesday. salesman-2 will cover additional potential Dahi retail

store(beat-2), additional retail store are:Annanya,Kaberi stores in Subhasnagar

part-1,Srikrishna bhandar,Monmohon stores in Italgacha, Kolpotoru,Dutta

varaities stores,Mouchak in Subhasnagar part-2 and Laxmi Narayan amul

parlour in Durganagar on Tuesday.

Apart from existing market on Saturday Salesman-2 and salesman-1 will cover

additional potential Dahi retail store(beat-1 and beat-2).

Merits and Demerits of alternative-1

Merits:

(i)No additional transportation cost required.

(ii)Retailer get fresh product as well as 14days self-life.


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(iii)No additional salesman required.

Demerits:

On that proposed day existing beat market is too much large therefore the

both salesman have to maintain the hectic schedule. It is difficult to maintain

all the potential outlet.

Alternative-2

Beat-1 Beat-2

Monday Salesman-2(Dakshndari) Salesman-1(Subhasnagar part-1)

Friday ------------------------ Salesman-2(Italgacha)

Saturday Salesman-2(dumdumpark) Salesman-1(Durganagar)

In the alternative-2 shows that :

Since beat-1 and beat-2 consist of 70-75 retail store selling Amul Cup Dahi

among 16 arePotential. Delivery of the Amul cup Dahi should be require twice


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in a week according of those potential retail store to avoid the replacement

problem and stock out position and get fresh product. And proposed day

should be Monday,Friday,Saturday.

On Monday salesman-2 have been work in the Dakshindari market then he can

easily covered the other 6retail store (Beat-1) in effective manner,the retail

store are: Swapan stores,Khagen stores,grih laxmi,Matri varaities store,Trishul

stores in lake-town,Mimo stores in dumdumpark.

On Monday salesman-1 have been work in the subhasnagar part-1 market

then he can easily covered the other 6retail store (Beat-2) in effective

manner,the retail store are: Srikrishna bhandar,Monmohon stores in Italgacha,

Kolpotoru,Dutta varaities stores, Mouchak in Subhasnagar part-2 and LaxmiNarayan amul parlour in Durganagar.

On Friday salesman-2 have been work in the italgacha market then he can

easily covered the other 5retail stores (Beat-2) in effective manner,the retail

stores are: Annanya,Kaberi stores in Subhasnagar part-1,Srikrishna

bhandar,Monmohon stores in Italgacha, Kolpotoru, Dutta varaities

stores,Mouchak in Subhasnagar part-2

On Saturday salesman-2 have been work in the dumdumpark-narayantala

market then he can covered the other 7potential retail stores (Beat-1) in

effective manner,the potential retail stores are: Swapan stores,Khagen

stores,grih laxmi,Matri varaities store,Trishul stores in lake-town,Radharani

stores in Dakshindari and Sreehari stores in Sribhumi.

On Saturday salesman-1 have been work in the durganagar market then he can

covered the Durganagar, if any revisit require in beat-2 then he can easily

covered that in effective manner.

In this way of distribution is possible to make it available without breaking the

existing distribution beat and this plan would be cost effective also.


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Merits of Alternative-2

(i)Retailer get fresh product.

(ii)No extra transportation cost.

(iii)No extra salesman required.

(iv)Salesman work smoothly because on that proposed day existing market is

not too much large therefore both salesman covered the market easily.

Synopsis of Alternative Model No.1

Alternative-1 proposed day

nd market

name of the outlet

Day Market/Beat Salesman

uesday Beat-1

Bangur

Laketown-

Swapan stores

Khagen stores

Grih laxmi

Matri varaities stores


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kalindi

Sribhumi-

Dakshindari

Dumdumpark-

Narayantala

M.bakshi Trishul stores

Radharani stores

Srihari stores

Mimo stores

Annanya

Kaberi stores

Srikrishna bhandar

Monmohon stores

Kolpotoru

Dutta varaities stores

Mouchak

Laxmi Narayan Amul Parlour

Beat-2

Airport

Subhasnagar

part-1

Subhasnagar

part-2

Italgacha

Durganagar

S.dutta


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aturday

Beat-1

Dumdumpark-

Narayantala

Laketown-

kalindi

Sribhumi-

S.dutta

Mimo stores

Pratiksha food corner

Calpotoru

Maa kali stores

Chandi stores

Park tea

Swapan stores

Khagen stores


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Dakshindari Grih laxmi


Trishul stores

Radharani stores

Srihari stores

Radhashyam stores


Annanya

Kaberi stores

Srikrishna bhandar

Monmohon stores

Kolpotoru


Mouchak

Beat-2

Durganagar

Subhasnagar

part-1

Subhasnagar

part-2

Italgacha

M.bakshi


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Synopsis of Alternative Model No.2

Alternative-2 proposed day and

market

name of the outlet

Day Market/Beat Salesman

Monday Beat-1

Laketown-

kalindi

Sribhumi-

Dakshindari

Dumdumpark-

Narayantala

S.dutta

Radharani stores

Anupam stores

Street corner

Midiate plus

Srihari stores

Swapan stores

Khagen stores

Grih laxmi


Trishul stores

Mimo stores


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Beat-2

Subhasnagar

part-1

Subhasnagar

part-2

Italgacha

Durganagar

M.bakshi

Annanya

Kaberi stores

D-Zone

Mira varaities

Kundu stores

Gopal bhandar

Deboniar

Hashi confectionary

Krishna stores

Srikrishna bhandar

Monmohon stores

Kolpotoru


Mouchak



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Friday Beat-2

Italgacha

Subhasnagar

part-1

Subhasnagar

part-2

S.dutta

Srikrishna bhandar

Monmohon stores

Sankar stores

Usha stores

Taraknath bhandar

Annanya

Kaberi stores

Kolpotoru


Mouchak

Saturday

Beat-1

Dumdumpark-

Narayantala

Laketown-

kalindi

Sribhumi-

Dakshindari

S.dutta

Mimo stores

Pratiksha food corner

Calpotoru

Maa kali stores

Chandi stores

Park tea

Swapan stores

Khagen stores

Grih laxmi


Trishul stores

Radharani stores

Srihari stores


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Radhashyam stores


Beat-2

Durganagar

M.bakshi


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Limitation of the Study

1.The study is absolutely market specific and the alternatives

distribution models has been suggested ,are entirely based on the

specific characteristic and market conditions of particular

market.

2.The projected distribution models are effective and applicable

for Amul masti cup Dahi only.

3.Retailers are not ready to furnish the detailed information. Some

retailers were showing a great deal of reluctances in answering

most the question regarding the product due to the irregular visit

of distributor.

4.The study may not be applicable after a period of time.

Statement of The Problem


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In this fast changing economy, it has become necessary how to preparethe cost effective distribution channel. This study is done for making thedistribution channel of cup Dahi cost effective.

The realistic side of the problem is

Most of the retailers are not satisfied due to supply issue, for this reason

the retailers did not get product at proper time.

Amul Masti cup Dahi which has a self-life of 15 days but when its come

manufacturer to retailer then it already passed 3-4 days. Due to this

problem retailer are not willing to keep this product.

Suggestion

I suggest the 2nd alternative, because the 2nd alternative is more effective

than 1st alternative. As existing distribution beat is going on for that

salesman have to maintain a hectic schedule to fulfills the projected plan

because the existing distribution market is too much large and salesmancannot maintain the time to cover the full market. Both salesman have to

face same type of problem in alternative-1.But in the case of 2nd

alternative is not so hectic for the salesman because on that day existing

distribution market are not too much large then both salesman can easily

covered the total beat of Dahi market.

The retail shop needs advertisement to create awareness of the customer.

Curd is consumed by upper class and upper middle class thats for after

scanning the all markets I have selected some potential retail shop where

the upper class and upper-middle class customer are available.


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For increasing the sale company should give some gifts or any free

scheme to attract the retailer in the market

.Sales incentives/commissions should be provided to thesalespersons. This will motivate the salespersons to achieve higher

sales of the products like Amul Cup Dahi.

Special offers should be there for dealers, retailers and

consumers at the time of Diwali,Durgapuja and Holi

Distributor should not avoid those store who could not sell all

products of Amul, proper follow up should also be given to them

Samples should be given to the institutional outlets when this

is asked for.

Conclusion

The project was of great knowledgeable for me, I have learnt a lot in this

project. As we know that Amul is very big organisation and market leader in

dairy products. In the Amul there are many product categories like as milk,

butter, cheese, paneer, etc. But milk & Butter is the main product of Amul.

Amul has maximum market share in milk and butter but Curd industry is also a

profitable industry and company cannot ignore it. With the help of the study,

company can find weak in distribution channel in Amul cup Dahi. I suggest the

two alternatives that company can apply the best alternative among these two

and rectify the distribution channel .finally I have conclude by saying that I wasreally privileged to work in the Amul company and had got such a real time

exposure of FMCG Company.

BIBLIOGRAPHY


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Marketing Management (Author- Philip Kotlar)

www.amul.com

www.wikipedia.com

www.google.com
http://www.amul.com/http://www.amul.com/http://www.wikipedia.com/http://www.wikipedia.com/http://www.google.com/http://www.google.com/http://www.google.com/http://www.wikipedia.com/http://www.amul.com/


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APPENDIX

Name of the retail store Address

Swapan stores laketown

Jai maa kali stores laketown

Khagen stores laketown

Shri hanuman stores laketown

Lokenata banijya kendrya laketown

Shri ganesh stores laketown

Pooder provision stores laketown

Samrat laketown

Shah stores laketown

Addya maa stores laketown

Grih lakshmi laketown

Kathlen laketown

Raj stores laketown

Matri varaities stores laketown

Trishul stores laketown

Lake coorner laketown

C.G catarers laketown

Vatika enterprise kalindi

Anandam kalindi

Rakshit stationary kalindi

Annanya Subhasnagar part-1

Nirmal stores Subhasnagar part-1


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Kaberi stores Subhasnagar part-1

D-zone Subhasnagar part-1

Mira varaities Subhasnagar part-1

Kundu stores Subhasnagar part-1

Gopal bhandar Subhasnagar part-1

Alok nath stores Italgacha

Srikrishna bhandar Italgacha

Breakfast Italgacha

Monmohon stores Italgacha

Taraknath Italgacha

Radhagobindo stores Italgacha

Sankar stores Italgacha

Usha stores Italgacha

Taraknath bhandar Italgacha

Trisha stores Italgacha

Mimo stores Dumdum park

Pratiksha food coorner Dumdum park

Calpotoru Dumdum park

Maa kali stores Dumdum park

Chandi stores Dumdum park

Park tea Dumdum park

Lokenath stores Dumdum park

Gupta bhandar Dumdum park

Elocasi Bangur

Shanti bhandar Bangur

Revenue stores Bangur


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Bangur stores Bangur

Raj family shoap Bangur

Bachhu stores Bangur

Jaganath bhandar Bangur

Binayak stores Bangur

kailas stores Bangur

New bachhu stores Bangur

Krishan kannya Bangur

Mondol stores Bangur

Maa parboti stores Bangur

New ghar sansar Bangur

Girigopal stores Bangur

Puja confectionary Bangur

Radha stores Bangur

Mongolom Bangur

Shri durga stores Bangur

Mongola gouri Bangur

Vishal stores Bangur

Swaraswati stores Bangur

Ramkrishna sarada stores Bangur

Shankar stores Bangur

Girish stores Bangur

Kailash stores Bangur

Shree confectionary Airport

Basanti stores Airport

Gautam bhandar Airport


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New prova Airport

Titan lodge Airport

Kanchan stores Airport

Radharani stores Dakshindari

Anupam stores Dakshindari

Street corneer Dakshindari

Midiate plus Dakshindari

Srihari stores Sribhumi

Babai fastfood center Subhasnagar part-2

Maa padmma stores Subhasnagar part-2

Dutta varaities stores Subhasnagar part-2

Proojoni Subhasnagar part-2

Jamuna varaities stores Subhasnagar part-2

Kakali snacks Subhasnagar part-2

Mouchak Subhasnagar part-2

kolpotoru subhasnagar part-2

Deboniar Subhasnagar part-1

Hashi confectionary Subhasnagar part-1

Krishna stores subhasnagar part-1

Josodha bhandar Durganagar

Ice pariour Durganagar

Radhashyam stores Durganagar

Laxmi narayan amul parlour Durganagar

Sarada bhandar Gorabazar

Sunny Gorabazar

Sabita shopping center Gorabazar


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Final New Project

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