an insight into amul

AMUL ICE CREAMS Vs. HLL

GIANTS IN THE WORLD OF

ICE-CREAMS

CASE OVERVIEW

• HLL’s share – 50 % • Major acquisitions – Kwality , Milkfood &

Dollops brands of ice creams .• Stiff competitors – Amul & Vadilal• Reasonable prices of Amul distinct feature –

edge over HLL .

Comparative analysis• Prices

• Amul withdrew its offer of selling Tricone @ Rs 10 due to heavy demand & exhaustion of all India cone biscuit capacity .

• HLL launched a softie for Rs 5 . • Stiff competition in terms of sales figures and

Amul is growing at a rapid pace ( 50 %)

AMUL KWALITY WALLS

FROSTIK Rs 15 FEAST Rs 20

TRICONE Rs 15 CORNET Rs 25

An Insight into AMUL

OVERVIEW

• 1st launched into 1996 in Gujarat• By 1999 , it grabbed the entire country • Achieved NO.1 position in INDIA• Overlaping market share

4 P s of Marketing Mix

PRODUCT POSITIONING

• Positioned as real ice cream.• Unique & innovative marketing strategy .

POSITIONING

• By product attributes and benefits • By price/ quality • By use or approach • By product class• By product use • By competitor

PORTER’S GENERIC STRATEGY

• Over all cost leadership – Customer friendly prices since less expensive distribution channels & low cost raw material .

• Differentiation – 1st player to come up with innovative products

Vitamin enriched ice cream Use of milk fat Power form kulfis Patriotically inclined advertisements

• Focus – Positioned ice creams as family products & part of daily food habit.

CURRENT PRODUCT CURRENTMARKET MARKET PENETRATION

• More intensive distribution• Tie-ups with state marketing federations for expanding

customer base .• Identified places , cities where consumption level was

high . • Enhance take-away market for ice cream . • Smart advertisement & approach to cater all the

customers • Intelligent marketing to position ice cream as a common

man’s product .

NEWPRODUCT:CURRENT MARKETPRODUCT DEVELOPMENT STRATEGY

• Enter into new product lines• Bakery items deserts chips• SUGAE FREE AND WELLNESS PPROBIOTIC

ICECREAM

CURRENT PRODUCT : NEW MARKET MARKET DEVELOPMENT STRATEGY

• Capturing the wide customer base• rural • foreign market

NEW PRODUCT:NEW MARKETDIVERSIFICATION STRATEGY

• Started supplying refrigerators of their own .• Entered into areas like restaurants , cafe.

MARKET CHALLENGER STRATEGY

• Frontal attack – launched its ice cream in Gujarat & Mumbai where Kwaltiy walls was well established .

• Encirclement attack-attacked on several fronts like quality , prices , segmentation and product variants

Forward integration

• Amul shoppes were established thus eliminating the retailer in the distribution chain

9 price quality strategies

Premium strategy – Baskin robbins High value strategy – Kwality walls Super value strategy – Amul Overcharging - Medium value strategy Good value strategy Rip off False strategy Economy strategy

A INSIGHT INTO HLL

• Kwality Walls is the leading brand of HLL in the section of Ice Creams

GLOBAL REACH OF KWALITY WALLS

PRODUCT LINE

• SELECTION• PADDLE POP• FEAST• MOO• CORNETTO• ITALIAN GELATO

MARKET SEGMENTATION

Geographic urban & rural areas , top 6 metros and 30 cities .30-70 principle

Demographic

AGE – GROUP BRANDS PRICE

KIDS PADDLE POP Rs 5 - 10

TEENAGERS CORNETTO Rs 22- 30

FAMILIES RED TUB Rs 160- 210

BEHAVIOURAL BASED

Profit maximization through identifying eating occasions

Celebration & enjoyment 15.7% Social connection 11.2 % Feel good and care 11 %

MARKETING STRATEGY

• Introduction of range of products • Promotional campaigns a. ‘Ek din ka Raja’ was awarded best

promotional campaign in India .b. Special contest for Valentine’s Dayc. Alliance with Cartoon network for summer

promotion .

• Developing of home delivery concept in alliance with pizza corners

• Mobile cart vendors

Forward integration

POSITIONING

BRANDS POSITIONING

FEAST YOUTH WITH ATTITUDE

CORNETTO ROMANTIC & SPECIAL MOMENTS

SUNDAES FAMILIES , FUN & ENJOYMENT

DRASTIC U-TURN

• Right from its entry AMUL grabbed the driver’s seat of the ice cream world & subsided Kwality Walls.

Pitfalls:• Positioning issues a. Amul positioned itself as the ‘Real Ice Cream’

highlighting health benefits for all while Kwality Walls positioned itself as a ‘Connector of hearts’ with the tag line HO JAYE DIL KA CONNECTION

b. The change of tag line to PLEASURE UP proved to be a failure as it was mistook as an aphrodisiac

•

• Price• Amul’s prices were 60-70% cheaper than that

of Kwality Wall’s.