UNIVERSITY OF MUMBAI’S ALKESH DINESH MODY INSTITUTE

FOR FINANCIAL AND MANAGEMENT STUDIES

SUMMER INTERNSHIP PROJECT REPORT

ON

CREATION OF DATA BASE OF HOME DELIVERY

BOYS TO STRENGTHEN THE HOME DELIVERY
NETWORK

“GUJARAT CO-OPERATIVE MILK MARKETING FEDERATION LTD”

02 MAY 2019 – 30 June 2019

IN PARTIAL FULFILLMENT OF THE REQUIREMENT FOR MASTER OF

MANAGEMENT STUDIES
BATCH 2018– 2020

Submitted by:

ROHIT BABU KUSALKAR

MMS (MARKETING)

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 DECLARATION

I hereby declare that the project entitled “creation of data

base of home delivery boys to strengthen the home delivery
network” is my original work. The sources from which the data
is collected is being mentioned in the reference section. The
project report is submitted to Alkesh Dinesh Mody Institute
for Financial And Management Studies.

DATE:

SIGN:

PLACE:

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 CERTIFICATE OF APPROVAL

This is to certify that the project titled “CREATION OF DATA BASE

OF HOME DELIVERY BOYS TO STRENGTHEN THE HOME
DELIVERY NETWORK” as a part of curriculum of Master of
Management Studies, submitted by Mr. Rohit Babu Kusalkar, student
of Alkesh Dinesh Mody Institute For Financial And Management
Studies has been Approved.

—————————— —————————

Dr. Aruna Deshpande Dr. Smita Shukla

(MMS Coordinator) (Director)

——————————
(External Examiner)

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 ACKNOWLEDGEMENT

The accomplishment and satisfaction that accompanies with the

successful completion of the project would be incomplete without
mentioning the people who made it possible.

I wish to record my deep sense of gratitude to ALKESH DINESH MODY

INSTITUTE FOR FINANCIAL AND MANAGEMENT STUDIES for giving
me a great platform to apply my knowledge in practical work.

I express my gratitude to Mr. Gaurav Mohta and Mr. Sanjay patil for
their kind support and providing me with a good learning experience
working with the GCMMF(Amul) to understand the real life working
of the company.

Thank You,

Rohit Babu Kusalkar

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 TABLE OF CONTENTS

EXECUTIVE SUMMARY…………………………………………………………………….7-8

HISTORY OF AMUL…………………………………………………………………………9-13

Mission……………………………………………………………………………………………10
Vision…………………………………………………………………………………………….10
Accomplishment………………………………………………………………………………….11
Promotion and advertising………………………………………………………………………...12
Product portfolio………………………………………………………………………………….13

WORKING MODEL OF AMUL………………………………………………………….14-16

Operational Efficiency……………………………………………………………………………16

SWOT ANALYSIS………………………………………………………………………………17

ABOUT THE PROJECT……………………………………………………………………….18

OBJECTIVES OF PROJECT…………………………………………………………………19

Primary and Secondary objective………………………………………………………………….19

RESEARCH METHODOLOGY……………………………………………………………….20

Research Design…………………………………………………………………………………...20
Sampling process………………………………………………………………………………….20
Data Analysis Techniques………………………………………………………………………….20

LIMITATIONS……………………………………………………………………………………21

ANALYSIS AND FINDINGS…………………………………………………………….22-25

Up-country market share………………………………………………………………………….22

Data of home delivery boys……………………………………………………………………….23
Reasons for lack of sale(key findings)…………………………………………………………….24
Chart displaying charges of home delivery boys………………………………………………….25

RECOMMENDATIONS……………………………………………………………………….26

CONCLUSION……………………………………………………………………………………27

ANNEXURE………………………………………………………………………………….28-29

BIBLIOGRAPHY…………………………………………………………………………………30

5
37 YEARS BACK I JOINED AMUL, THEN A SMALL
COOPERATIVE WITH A TURNOVER OF ₹ 121 CR
AND NOW FEEL PROUD OF THIS INDIA’S BIGGEST
FOOD COMPANY WITH A TURNOVER OF ₹33000 CR

MR. R.S SODHI (MD, GCMMF)

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 EXECUTIVE SUMMARY

The primary objective of the project was to understand the distribution channel
and understanding the retail network of Amul and problems thereby faced. The
duration of the project was from 02 May 2019 to 30 June 2019.The project
begin by introducing various categories of Amul fresh products to us. A brief
introduction about the work that needs to be done during the 2 months’ time
period was given by our mentor.

I was assigned with the task of working on Up-country region i.e. Dahanu to
Vaitarna area. Various activities were done during these 2 months internship
starting from retailing, maintaining the customer relationship, understanding the
consumer behaviour, Amul tracking and various other activities.During the
initial period of internship I was involved in doing the retailing work covering
approximately 400 retail shops along with doing the amul tracking.while doing
the retailing we tried to solve the problems faced by the retailers. Some of the
problems were:
1) Less margin.
2) Leakage problem.
3) Distribution problem.
4) No schemes.

While working I got to know about the various competitors of Amul such as
Govardhan, Gokul, Patanjali to name a few, schemes offered by them and
despite being so many competitors offering various schemes why Amul is still a
preferred choice for the consumers. We tried to push or rather increase the sales
of buffalo and cow milk by targeting mainly dairies.

After completing the retailing and tracking work, I started working on my

project “creation of data base of home delivery boys in order to strengthen the
home delivery network” which was assigned to me by our branch manager Mr.
Gaurav Mohta. After working on this project for around 2 weeks covering all
the areas from Dahanu to Vaitarna which is almost(60 kms), I managed to
generate sample data of around 10-15.As Up country is not much developed

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market, the concept of home delivery is not in great demand over here.People
who are doing the home delivery work are mostly selling only the Amul brand.

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 HISTORY OF AMUL

AMUL INDIA

Type: Co-operative
Industry: Dairy/FMCG
Established: 1946
Headquarter: Anand, Gujarat
Revenue: ₹ 33,150 crores
Quantity of milk produced: 23 million litres per day
CAGR: 17%

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MISSION

We at GCMMF (Gujarat Co-operative milk Marketing Federation) endeavour

to satisfy the taste and nutritional requirements of the customers of the world,
through excellence in marketing by our committed team. Through co-operative
networking, we are committed to offering quality products that provide best
value for money.”

VISION

Amul’s vision is to provide more satisfaction to the farmers, employees

distributers and Consumers.

AWARDS:

1. GCMMF received Bronze Trophy at the Indian Marketing Awards – 2014

2. GCMMF – Finalist in World Beverage Innovation Awards - 2014
3. GCMMF received APEDA Awards for 16 years continuously
4. Amul wins World Dairy Innovation Awards - 2014
5. Amul receives Srishti Good Green Governance award for the year 2013
6. GCMMF Receives Prestigious CNN-IBN Innovating for a Better Tomorrow
Award
7. Amul wins AIMA High Performance Brand Award-2013 for brand Amul
8. Shri R S Sodhi, MD-GCMMF, receives prestigious QIMPRO
GOLD STANDARD Quality Award 2013
9. GCMMF wins the SAP Award for Customer Excellence
(SAPACE) 2013 under the category of "Best Run Award in
Finance".

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SALES TURNOVER:

SALES TURNOVER RS(MILLIONS) US$(MILLIONS)

1996-97 15540 450

1997-98 18840 455

1998-99 22192 493

1999-00 22185 493

2000-01 22588 500

2001-02 23365 500

2002-03 27457 575

2003-04 28941 616

2004-05 29225 672

2005-06 37736 850

2006-07 42778 1050

2007-08 52554 1325

2008-09 67113 1504

2009-10 80053 1700

2010-11 97742 2172

2011-12 116680 2500

2012-13 137350 2540

2013-14 181434 3024

2014-15 207330 3410

2015-16 229720 3500

2016-17 270850 4100

2017-18 292250 4500

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 2018-19 331500 4800

Promotion & Advertising

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PRODUCT PORTFOLIO OF AMUL:

Amul is the biggest brand in dairy industry. It has varied range of products
available under its GCMMF brand. Apart from covering major share in dairy
products it also has some products which are not included under dairy industry.

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Working Model of Amul:

Amul believes in serving to its people. Amul is fully attributed for the welfare
of the farmers. Farmers are the real owners of Amul. It is a cooperative firm
with a blend of professionalism. The whole model of amul basically works in
three tiers viz. the village society procurement unit, the union-which is also a
processing unit and the federation which is a marketing unit. In order to manage
the unit effectively and efficiently, the leaders felt there is a need of
professionalism. The professionals of amul has a hierarchy similar to the
corporate structure with the managing director as their head.

As Amul is a brand driven for the welfare of its farmers, its board of directors
includes farmers from various societies, and these farmers plays a major role in
selecting the Managing Director (MD).

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15
OPERATIONAL EFFICIENCY:
Operational efficiency of a firm is greatly influenced by the strategy adopted
by the firm. It also depends upon the Mission and objective of a firm. Priorities
must be clearly defined in order to increase the efficiency of the operational
activities of a firm. Design must follow the strategy, the strategies can be
implemented only if we have a proper organizational design.

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 SWOT ANALYSIS

STRENGTH:
1. Brand name and goodwill.
2. Major market share.
3. Strong distribution network.
4. Wide product range.
5. Quality products at reasonable prices.

WEAKNESS:
1. Low profit margin.
2. Lack of availability of schemes.
3. Leakage problem.
4. No return policy.

OPPORTUNITIES:
1.Creating more awareness about the buffalo and cow milk.
2.More involvement in solving distributor’s issues.
3.Converting people to buy Amul masti dahi and Paneer.

THREAT:
1. Good profit margin for the retailers from other brands.
2. Schemes offered by other brands.
3. Credit policy offered by other brands.

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INTRODUCTION TO THE PROJECT:

The duration of summer internship project was 60 days out of which the
initial phase of the duration of the project (the first 40-45 days) was spent on
doing the retailing work, understanding the psyche of the customers, problems
faced by the distributors, retailers and the consumers, understanding about the
distribution network, maintaining the customer relationship, gaining a deep
knowledge about the market share of the competitor’s and the schemes offered
by them, creating awareness about the newly launched amul products and trying
to increase the sales of various amul products such as buffalo and cow milk.

The last quarter of the project duration was spent on my project topic in which I
have done deep research and collected the data accordingly.

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 OBJECTIVES OF PROJECT

Objectives relates to the statements about the things that the project is trying to
achieve. Objectives guides to the detail analysis of the research process and
what do you want to achieve at the end of it.

PRIMARY OBJECTIVE:
1. To understand the retail network of amul.
2. To create an awareness about the side effects of the duplicate products.
3. To increase the sale of amul fresh products.
4. To find new distributors of amul (Dahanu-Vaitarna area).
5. To initiate sales of fridge in the market.
6. To create data base of home delivery boys and try to increase sales of
amul products (buffalo milk, cow milk, amul gold etc.).

SECONDARY OBJECTIVE:
1. To organize various promotional activities.
2. To know about the competitors of amul and their market share.
3. To understand about the problems faced by the distributors, retailers and
consumers.
4. To aware people about the newly launched buffalo milk of amul.
5. To know customer’s preference and satisfaction level while buying Amul
fresh products.

The study has been carried out in areas mentioned below:

1. Zone1: Dahanu
2. Zone2: Vangaon
3. Zone3: Boisar
4. Zone4: Umroli
5. Zone5: Palghar
6. Zone6: Kelve
7. Zone7: Saphale
8. Zone8: Vaitarna

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 RESEARCH METHODOLOGY

RESEARCH DESIGN:
The research design refers to the strategy choose to integrate different
components of study in a precise and logical manner.
The initial part of the study was spent on doing the exploratory study by doing
retailing work so as to get a clear understanding of what are the different factors
that influence the sales of a particular product and retailers were asked questions
regarding the same, variables were defined and then the research was converted
to descriptive type.

SAMPLING PROCESS:
Simple random process of sampling was followed. As the up-country market is
mostly inclined towards rural area, people living over here generally do not
believe in the concept of home delivery, rather they prefer buying from the
retail or supermarket stores. Data of around 12 home delivery boys were used
for analysing and interpreting the result.

DATA ANALYSIS TECHNIQUES:

Qualitative research technique was used for the project because the project
mainly involved understanding the distribution network of home delivery boys.

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LIMITATIONS OF THE STUDY:

AREA OF RURAL MARKET:

The concept of home delivery is not in great demand in up country as people
mostly preferred buying from the retail stores.

LACK OF INFORMATION ABOUT THE COMPETITORS:

Some people were not willing to give information about what are the other
brands they sell and quantities of sales.

LOW PROFIT MARGIN AND OTHER THINGS:

Few people were not willing to give information due to the low profit
margin in amul products, lack of replacement policy and other issues.

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 ANALYSIS AND FINDINGS FROM DATA

UP-COUNTRY MARKET SHARE

Sales

10%
10% Amul
gowardhan
10%
patanjali
others
70%

The above chart depicts the percentage wise market share of amul fresh
products and its competitor’s. Development wise the up-country market is not
much developed, though there are other brands in the market with lesser price
people mostly prefer amul as it has a great brand value and it is the most trusted
brand in the dairy industry.

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 HOME DELIVERY BOYS

NAME NUMBER AREA NO OF QUANTITY

HOUSES IN LITRES
CHABIL BHAI 9271938638 DAHANU 25 100-150

DEEPAK 8999198231 DAHANU 10 15

VIJAY 8983586771 DAHANU 20 60

ANKUSH 7499210182 BOISAR 10 100

KAUSAR 9421905049 BOISAR 15 80-90

RAJU GIRI 6376578820 PALGHAR 60 130-140

CHAUGHALE 9763401271 BOISAR 50 150

MOHAMMAD 7020445213 BOISAR 20 120

SADANAND 7875496216 BOISAR 10 20

VIPUL 8600933187 BOISAR 15 30

MANGESH 8007284970 BOISAR 10 40

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 REASONS FOR LACK OF SALE OF OTHER
PRODUCTS

From the research it has been concluded that most of the home delivery boys
were only selling Amul taaza and not the other products of amul. The reason for
lack of selling of other products is being listed below.

STORAGE PROBLEM: As most of the home delivery boys do delivery

only in the morning, they do not have anything to store their products due to
which they are not willing to buy other fresh products of amul.

LESS MARGIN: Margin issue is one of the key factors behind less sale of
other products of amul. Home delivery boys mostly preferred amul taaza as it is
the most widely sell product of amul.

NO INTEREST FROM THE CONSUMERS: People are not willing

to pay extra for the products like paneer, dahi, etc as these are readily available
during any time of the day in the market.

IRREGULAR CONSUMPTION OF PRODUCTS: Milk is the

only thing which is required by the people on daily basis whereas
other fresh products of amul are not required on daily basis.

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 Sales

5%

Milk
Dahi,BM

95%

THE ABOVE CHART GIVES A REPRESENTATION ON

SALE OF PRODUCTS THROUGH HOME DELIVERy

90%

80%

70%

60%

50%

40%

30%

20%

10%

0%
category

Rs.3 above mrp Rs 2 above mrp Rs.1 abovve mrp

CHARGES OF HOME DELIVERY BOYS

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 RECOMMENDATIONS

LISTENNG TO CUSTOMERS:
Trying to understand what the customer wants and solving the customer’s
problems is the most important thing for any organisation to grow. Sometimes
due to time constraints we are not able to solve problems faced by the
distributors or retailers. There should be more involvement with the distributors
and retailers to solve their problem to the earliest possible.

ADVERTISING:
Though amul is a most preferred brand in dairy industry, it needs to do more
advertising mainly BTL advertising to further increase its customer base. It can
also go for aggressive marketing like painting on walls, distributing banners for
promoting its new products.

DISTRIBUTION NETWORK:
Though amul has the biggest distribution network, it needs to further improve
its distribution network. For e.g. in up-country market there is a great demand
for Amul’s buffalo milk, but the product is not available readily due to lack of
supply.

CREDIT POLICY:
Introducing credit policy can increase the sales of amul to a great extent. It can
also result in reducing the competition as people buy products of other brands
mainly due to their credit policy. If amul can introduce credit policy, it will be
huge boon for its sales.

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 CONCLUSION

Amul has always been a consumer-oriented brand. Started with a mission of

serving the farmers and consumers, it has still managed to maintain that
reputation. People feel connected to amul and the kind of trust they have
towards amul cannot be compared.

These two month internship with amul has taught me a lot be it about time
management or learning about how to maintain the customer relationship. Dairy
industry being a very sensitive industry, needs careful planning and time
management to execute anything.

Following are the learnings from the internship:

 Time management is a must.

 Customer relationship management is important.
 Confidence in approaching to new people.
 Listening is more important than speaking.
 Customer will always remain a king.

Overall it was a great experience working with amul. Doing various activities
with amul be it spotting a fake amul product to spreading awareness about the
harmful effects of using fake amul products, doing retailing and pop activity
taught me a lot about how a big FMCG works, visiting amul plant gave me an
understanding about what goes behind making a product. At last all I can say is
that the Amul has a strong market presence in the Up-country market and
whatever skills I have learned during these two months internship period, I will
try to apply those skills during my professional career in future.

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 ANNEXURE

RETAILING AND POP ACTIVITY (UP-COUNTRY) MARKET

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PICTURES OF TRACKING ACTIVITY IN UP-COUNTRY
MARKET

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 BIBLIOGRAPHY

 http://www.amul.com

 www.amuldairy.com
 http:/indianjournalofmarketing/consumerperception
 www.business-standard.com
 www.google.com
 https://www.orderhive.com/maintain-good-relationship-
 Marketing Management - Philip Kotler

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