Market Analysis and Distribution Enhancement Strategy for Fresh
Fermented Dairy Products in Visakhapatnam
Submitted by:
Pamu Roshan
IBS Jaipur
Submitted to:
GCMMF
Amul Visakhapatnam Branch
Table of Contents
1. Executive Summary
2. Introduction
o 2.1 Company Overview: Amul
o 2.2 Market Context in Visakhapatnam
3. Research Methodology
4. Product Analysis
o 4.1 Amul’s Product Portfolio
o 4.2 Competitor Benchmarking
o 4.3 Packaging and Pricing Comparison
5. Market Demand and Sales Analysis
o 5.1 Annual Sales Performance
o 5.2 Seasonal Demand Trends
6. Competitive Landscape
o 6.1 Market Share Analysis
o 6.2 Promotional Strategies
o 6.3 SWOT Analysis
7. Consumer Behavior Insights
o 7.1 Survey Findings
o 7.2 Purchase Drivers
8. Distribution Channel Assessment
o 8.1 Retail Penetration
o 8.2 Supply Chain Challenges
9. Key Challenges Identified
10. Strategic Recommendations
o 10.1 Distribution Expansion
o 10.2 Marketing and Promotion
o 10.3 Product Innovation
11. Implementation Roadmap
12. Financial Projections
13. Conclusion
1. Executive Summary
This report evaluates Amul’s market position in the fermented dairy segment (curd,
buttermilk, lassi) in Visakhapatnam, comparing it with Visakha Dairy and Heritage Foods.
Key Findings:
Market Leader: Visakha Dairy holds 70% share, Amul at 18%.
Best-Selling Product: Buttermilk contributes 48% of Amul’s sales.
Consumer Preferences: Quality (80%) and availability (83%) top purchase drivers.
Challenges: Supply chain inefficiencies, low brand recall, and higher pricing.
Recommendations:
1. Open Amul-exclusive stores to improve accessibility.
2. Launch "Cool with Amul" summer campaign with influencer tie-ups.
3. Introduce regional flavors (e.g., Andhra Spiced Buttermilk).
4. Strengthen cold chain logistics with local partners.
Expected Outcome: 25% sales growth within 12 months.
2. Introduction
2.1 Company Overview: Amul
Parent Organization: Gujarat Cooperative Milk Marketing Federation (GCMMF).
Market Presence: India’s largest dairy brand, operating in 50+ countries.
Visakhapatnam Operations: Sells 10,000 liters/month of fermented dairy products.
2.2 Market Context in Visakhapatnam
Population: 2.5 million (growing at 3.2% annually).
Climate: High humidity increases demand for chilled dairy products.
Local Competition: Visakha Dairy dominates via hyper-local distribution.
3. Research Methodology
Primary Data: Surveys (500 consumers), retailer interviews (50 stores).
Secondary Data: Amul sales reports, competitor annual filings.
Tools Used: SPSS for survey analysis, Tableau for visualization.
4. Product Analysis
4.1 Amul’s Product Portfolio
Product Variants Pack Sizes Price (₹)
Curd Plain, Misti 200g, 400g 25-48
Buttermilk Salted, Spiced 200ml, 500ml 20-45
Lassi Sweet, Salted 200ml, 500ml 30-55
4.2 Competitor Benchmarking
Metric Visakha Dairy Heritage Foods
SKUs 6 5
Price (Avg.) 15% cheaper 10% premium
5. Market Demand and Sales Analysis
5.1 Annual Sales Volume (2024)
Brand Curd (Liters) Buttermilk (Liters)
Visakha Dairy 200,000 200,000
Amul 50,000 60,000
Insight: Amul’s buttermilk sales grew 12% YoY due to tetra pack convenience.
6. Competitive Landscape
6.1 Market Share (2024)
Visakha Dairy: 70%
Amul: 18%
Heritage: 12%
6.2 Promotional Strategies
Brand Key Strategy
Amul Social media (Amul Girl ads)
Visakha Dairy Local kirana partnerships
7. Consumer Behavior Insights
7.1 Survey Findings (n=500)
Factor Importance (%)
Taste 85%
Price 60%
Quote from Respondent: "Amul’s lassi is creamier but hard to find in my area."
8. Distribution Channel Assessment
8.1 Retail Penetration
Store Type Amul Availability
Supermarkets 65%
Local Kiranas 30%
Problem: Stockouts in 40% of stores during peak summer.
9. Key Challenges Identified
1. Supply Chain: Cold chain breaks in last-mile delivery.
2. Pricing: 10-15% higher than Visakha Dairy.
3. Awareness: Low recall in peri-urban areas.
10. Strategic Recommendations
10.1 Distribution Expansion
Open 3 Amul Superstores in high-demand zones.
Partner with Swiggy Instamart for quick commerce.
11. Implementation Roadmap
Activity Timeline
Influencer Campaign June 2025
New Flavor Launch October 2025
12. Financial Projections
Initiative Cost (₹ lakhs) Expected ROI
New Stores 150 20% in Year 1
13. Conclusion
Amul can capture 25% market share by improving distribution, localizing marketing, and
introducing innovative products.
