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Amul

The document outlines the history and evolution of the Kaira District Co-operative Milk Producers' Union, which led to the establishment of the Amul brand in India. It details the cooperative's formation in response to unfair trade practices, the introduction of various dairy products, and its successful advertising strategies. Additionally, it discusses Amul's expansion into foreign markets and its crisis management during a competitive advertising dispute with Hindustan Unilever Ltd.

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Hiten Damania
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0% found this document useful (0 votes)
23 views17 pages

Amul

The document outlines the history and evolution of the Kaira District Co-operative Milk Producers' Union, which led to the establishment of the Amul brand in India. It details the cooperative's formation in response to unfair trade practices, the introduction of various dairy products, and its successful advertising strategies. Additionally, it discusses Amul's expansion into foreign markets and its crisis management during a competitive advertising dispute with Hindustan Unilever Ltd.

Uploaded by

Hiten Damania
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PDF, TXT or read online on Scribd
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✓ History

✓ Products

TABLE OF ✓ Advertising Strategy(Branding, Promotion)


✓ Entry in Foreign Markets(if applicable)
CONTENTS ✓ Opportunity/Strengths
✓ Current scenario
✓ Crisis Management
• Angered by the unfair trade practices, the farmers of Kaira
approached Sardar Vallabhbhai Patel under the leadership of local
farmer leader Tribhuvandas K Patel. He advised them to form a
cooperative (Kaira District Co-operative Milk Producers' Union)
and supply milk directly to the Bombay Milk Scheme instead of
Polson (who did the same but gave them low prices)

• It was resolved that milk producers’ co-operative societies should


be organized in each village of Kaira District to collect milk from
their member-farmers. All the milk societies would federate into a
Union which would own milk processing facilities. The
Government should undertake to buy milk from the Union. If this
HISTORY wasn’t done, the farmers would refuse to sell milk to any milk
contractor in Kaira District.

• The Government turned down the demand. The farmers called a


‘milk strike’. It lasted 15 days. Not a drop of milk was sold to the
milk merchants. No milk reached Bombay from Anand, and the
Bombay Milk Scheme almost collapsed. After 15 days the milk
commissioner of Bombay, an Englishman, and his deputy visited
Anand, assessed the situation and accepted the farmers’ demand.
• This marked the beginning of the Kaira District Co-operative Milk Producers’ Union Limited, Anand. It
was formally registered on December 14, 1946. But as the co-operative movement spread in the district,
it was found that the Bombay Milk Scheme could not absorb the extra milk collected by the Union in
winter, when buffaloes yielded an average of 2.5 times their summer yield. Thus by 1953, the farmer-
members had no regular market for the extra milk produced in winter. They were again forced to sell a
large surplus at low rate to middlemen.

• The only remedy was to set up a plant to process the extra milk into products like butter and milk
powder. The logic of this step was readily accepted by the Government of Bombay and the
Government of India,.The government of India helped the Union to get financial help from UNICEF of
Rs.50 – lakh factory to process milk powder and butter was blueprinted. Its foundation stone was laid
by the then President of India the late Dr. Rajendra Prasad on November 15, 1954. The project was
completed by October 31, 1955, on which day the late Pandit Jawaharlal Nehru, the then Prime
Minister of India, declared it open. The new dairy provided a further fillip to the co-operative
movement among milk producers. The union was thus enabled to organize more village co-operative
societies and to handle more and more milk each year. This event also brought a breakthrough in dairy
technology as the products were made processing buffalo milk for the first time in the world. Kaira
Union introduced the brand “Amul” for marketing its product range. The word “Amul” is derived
from Sanskrit word ‘Amulya’ which means ‘priceless’ or precious’.

• Dr Varghese Kurien former chairman of CGMMF was the man behind the success of Amul.
Amuls’ First Office

Dr. Varghese Kurien


➢ Milk
➢ Spreads
PRODUCTS ➢ Cheese
➢ Dairy items like Dahi, Paneer
➢ Chocolates
➢ Ice creams
➢ Beverage Range
➢ Bakery Product
➢ Cattle Feed
➢ Happy Treats
Milk :
✓ Amul Taaza
✓ Amul Gold
RANGE OF ✓ Amul Shakti

AMUL ✓ Amul Diamond


✓ Amul Buffalo Milk
PRODUCTS ✓ Amul Cow Milk
Spreads :
✓ Amul Pasteurised Butter
✓ Amul Lactose Free Milk
✓ Amul Lite
✓ Amul Camel Milk
✓ Amul Safed Makkhan
✓ Amul Garlic and Herbs
Butter
✓ Amul Choco Butter
Spread
✓ Amul Unsalted Butter
Cheese : Chocolates :
✓ Processed Cheese Dark chocolate
✓ Cheddar Cheese Wafer chocolate
✓ Pizza Mozzarella Cheese Belgian chocolate
✓ Cheese spreads Raisin N Almond
White Limon
Choco Minis
Ice Creams :
✓ Tricones
✓ Tubs
✓ Camel Milk Medium Fat
Ice cream
Drinks :
✓ Amul Tru
✓ Amul Kool café
✓ Amul Masti Buttermilk
✓ Amul Lassi
✓ Amul Smoothies
✓ Amul Pro
✓ Amul Kadhai Doodh
✓ Amul Irish Drink
Mocktail
✓ Amul Pina Colada
Mocktail
ADVERTISNG
STRATERGY
✓ Amul- The Taste of India. Need we say more? No!
✓ However, our love and connect with the brand Amul make us ruminate
over it. A native brand success story example-Amul. A Consistent
Advertisement elevating Brand Identity-Amul. The utterly butterly ‘Amul
girl’ is an icon of the middle-class India right from 1967. Woah! Do we
have any other mascot that old?

✓ The Amul girl is a hand-drawn cartoon of a young, chubby Indian girl


dressed in a polka dotted frock with blue hair and a half pony tied up. The
amul girl was created as a response to Amul’s rival brand Polson's butter
girl.May be she is the reason Polka Dots are never out of fashion in India!
✓ Back then, brief provided by Amul was simple; ‘Draw a mascot which is
easy to paint in walls and outdoors’. Huge outdoor print Advertisement
was still to see the billboards. The advertisement idea of Amul was
conceived by an agency called ASP (Advertising, Sales and Promotion)
headed by Sylvester Da Cunha and his Art Director Eustace Fernandez.
• It is an established fact that the Amul
advertisements are consistent. They do a
great job in selecting a trending
topic and make an ad about it. Amul has
a history of being brave. Through
advertisement they have often raised
voice against issues, which are otherwise
not considered relevant in FMCG
product advertising. Most companies
avoid getting into dirt by commenting
on political issues, unlike Amul. There
were even controversies when AMUL
commented on national political events
such as ‘Emergency in India’ in 1976.
• Although the content for the
advertisement may be grave, yet Amul
with its humour punch establish their
view and brand in a subtle way.
• Even the media strategy of AMUL
advertisement was clear, crisp and
consistent. Almost all of their print
advertisements come in the top corner of
the third page in the main newspaper.
Earlier it was Times Of India where this
media innovation was to be seen, now
we can even see it in other newspapers
as well.
ENTRY IN FOREGIN
• Amul is going places. Literally. After
having established its presence in China,
Mauritius and Hong Kong, Gujarat
Cooperative Milk Marketing Federation

MARKETS (GCMMF), India‟s largest milk


cooperative, is waiting to flood the
Japanese market. Then, GCMMF is also
looking at Russia as one of its next
export destinations. Amul products are
already available on shelves across
several countries, including the US,
China, Australia, West Asian countries
and Africa. GCMMF recorded a turnover
of Rs 2,922 crore last fiscal. Its products
include pouch milk, ultra heat treated
(UHT) milk, ice-cream, butter, cheese
and buttermilk. PEOPLE POWER:
AMUL'S SECRET OF SUCCESS 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.
What's more, it does not disturb the
agro-system.
✓ Amul has a strong growth as its turnover for FY 2019-
20 increased by almost 17% to INR 38,542 crore (INR
385billion) and growth revenue by 67% making it’s
the world’s largest dairy organization.
✓ With Amul products being popular and being in the
market for a while now. It has developed its brand
OPPORTUNITIES name and their customers are very loyal to the
company.
AND ✓ Although Amul’s distribution network is wide and
STRENGTHS dispersed, it has managed to maintain its quality
throughout the world. The credit also goes to the fact
that Amul has a very strong supply chain.
✓ Their diverse and wide range of product are also one
of its strengths.
✓ The global mascot (Amul girl) used in their
advertising in their icon throughout the world
(Rediff business, 2013).
✓ Since Amul has seen good growth in most of the
countries, it can further expand in more countries in
term of exporting their products.
✓ It can still further expand its product portfolio as the
company has now developed a brand name.
Investing pulses, spices, grains (business standard,
2016).
✓ Amul can also incorporate advertising in tis
operations, especially exploring into the emerging
internet and social medias marketing trends.
✓ Explore the rural areas by working extensively on
distribution.
✓ Cater to rising health conscious customers
demanding low fat products.
CRISIS
MANAGEMENT
The case Amul vs Kwality walls- ice cream ad war talks about
the repercussions of the controversial TVC and print media
ads put up by Gujarat Cooperatives Milk Marketing
Federation (GCMMF), makers of Amul ice cream. The ad
promoted Hindustan Unilever Ltd (HUL), makers of “Kwality
walls “ frozen dessert and ice creams, along with Vadilal Diary
International Ltd. To file a case in Bombay high court against
Amul for products disparagement. HUL and its co-petitioners
later won the case, thus preventing the controversial ads from
being aired.
The case starts off with a description of the controversial ads,
which mainly talked about ice creams being a healthier option
than frozen desserts. The case also delves into the reasons that
prompted Amul to the ads and the benefits it intended to gain
from it. The case then highlights how the ad war was in reality
a disguise for an ongoing brand war between HUL and Amul
for market share in the ice cream market.
Both Amul and HUL presented several arguments
in the Bombay high court. The petitioner pointed
out that there was a deliberate misrepresentation of
vegetable oil (Vanaspati tel) as a hydrogenated
vegetable oil in Amuls’ ads. They thought that the
misrepresentation had been done to benefit Amul
Solution products. Speaking on the issue, Kiran Khalap, Co
founder and managing director of chlorophyll
brand and consultancy, said “to me, its not frozen
desserts” that spell the difference, but negative
associations with vanaspati oil. I would presume
(the case) will help Amul positively.

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