PREFAC E

Knowledge and human power are synonyms, once said the great philosopher Francis Bacon. However based on the experience within todays global mar ets, he would probably say, !he ability to capture, communicate " leverage nowledge to solve problems is human power. !his raises the #uestion how exactly one can best capture, communicate " leverage nowledge, especially within world o$ system engineering. !he answer probably lies in statement itsel$ by communicating your ideas and devising ways and means to give shape to your plans in to reality, which re#uires a long% term planning, investment and shrewd thin ing. !he tryst $or nowledge and power led me to two years &.B.'. degree course as part o$ this long%term investment. !his course not only enabled me to $ocus $irmly on the current trend but also helped to $ocus on $uture changes. 's a part o$ this &.B.'. degree, students have to undergo a pro(ect, which is designed eeping the prerogative and pre$erences o$ industry in mind. !his particular pro(ect allows a student to implement what she has learned within the $our walls o$ classroom. )t is here that the caliber o$ student is tested to $ind his $lexibility $or rigorous tas s assigned to her in $uture. !his report that ) am submitting intends to highlight my versatility in sustaining the pulls and pressure o$ day to day

pro$essional li$e and put to perspective the $acts that ) am capable enough to deliver whenever a challenge is thrown to me. !his report is divided in two parts. !he $irst part gives the basic in$ormation about the pro(ect, the industry and the company. !he second part consists o$ *esearch 'nalysis and +onclusion on the basis o$ particular *esearch ,rocess. 't the end ) have provided a short list o$ the re$erence boo s and the sites that provided use$ul in$ormation during the pro(ect.

ACKNOWLEDGEMEN T
Knowledge in itsel$ is a continuous process. 't this moment o$ my substantial enhancement ) rarely $ind enough words to express my gratitude towards those who were constantly involved with me during my pro(ect and ma ing it a success. &en become good through practice than by nature. ) am grate$ul to ,ro$. -eera( 'marnani, $aculty o$ -.*. )nst. o$ Business &anagement who created this opportunity to wor on the pro(ect. ) am also than $ul to all the $aculty members o$ -.*. )nst. o$ Business &anagement on $or all their suggestions and help that ) obtained $rom them. ) am highly obliged to &r. .. Keraleeyan, ,roduct &anager /adilal )ndustries 0td. $or allocating such an interesting and challenging pro(ect. )nspite o$ being very busy, he was ready
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to help me whenever re#uired. ) am $urther than $ul to personnel in &ar eting 1epartment especially &r. 2ignesh .hah $or assisting through out the pro(ect with his vast nowledge o$ existing system. !he whole sta$$ o$ /adilal )ndustries 0td. was highly co% operative and ) am than $ul $or all the support they extended to me. ) am also very grate$ul to &r. 'mit ,andya 3'sst. & tg. &anager4 $or his immense help during the pro(ect. ) would also li e to than my parents and all my $riends who have helped me, though indirectly, through out the pro(ect duration and always have been a source o$ encouragement.

EXECUTIVE SUMMARY

Today is the age of globalization, and competition has become a regular feature in every industry. Every player in the market has to strive hard to sustain. Good marketing strategies are always assisting the companies to survive and grow. Consumer is the king of the market today. e is the one who chooses from all the available brands and selects the company of his will. The impact of digital revolution on Consumer !ehavior sets the tone for setting up the modern marketing strategies that includes the study of consumer behavior, its diversity and its development.

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The companies today use the past consumption behavior as a foundation for creating and keeping satisfied and profitable life time customers. Consumer #esearch is an important tool for understanding the consumer behavior. Consumer #esearch describes the process and tools used to study consumer behavior. The outcome of this consumer research enables the marketers to understand and predict the consumer behavior in the market place, it is concerned not only with when, why, where, how and how often they buy it. Consumer #esearch is the methodology used to study consumer behavior, it takes place at every phase of the consumption process$ before, during and after the process. Thus, consumer behavior study has become an integral part of strategic marketing planning. %adilal is one of the leading companies in the organized sector of ice cream industry in &ndia. & have tried to conduct a survey on 'The Consumption Pattern of Ice Creams in the city of Ahmedabad. (or this purpose & have prepared a )uestionnaire that includes most of the )uestions giving information about the overall consumption pattern and preferences of people. The sample size was *+, people, from the different areas of -hmedabad. The report also includes the important facts about the entire ice cream industry and the ./0T analysis of all the ma1or ice cream players of Gu1arat including %adilal.

The ma1or findings that & got from this research include the following facts$ The preferences for going out to consume ice creams and bringing it at home are e)ually likely. 2ost of the people go out to consume ice creams with their family. The fre)uency of consumption of ice creams is less than 2 times per week3 however this is affected by seasonality factor. 4eople generally like to consume ice creams at night, after dinner. 2ost preferred type of serving of ice cream is in Cone form, and second highest preference is that of Cups.

 Chocolate is the flavor of ice cream liked by most of the people. !rand and 6uality are the important factors as considered by people while purchasing ice creams. 4romotional activities should be increased as far as the whole ice cream industry is concerned. %adilal is the most preferred !rand of ice cream.

HISTORY OF ICE CREAM

What is Ice Cream &ce Cream is a frozen mi7ture of a combination of components of milk, sweeteners, stabilizers, emulsifiers and flavorings. 0ther ingredients such as egg products3 coloring etc may be also added. This mi7ture, called a mi7, is pasteurized before freezing. (reezing involves rapid removal of heat while agitating vigorously to incorporate air, thus imparting the desirable smoothness and softness of the frozen product.

The broad term frozen desserts refer to ice cream and related products. .pecific products includes ice cream and its lower fat varieties, frozen custard, mellorine 8vegetable fat frozen dessert9, sherbet, water ice and frozen confections. .ome of these deserts are served in either the soft frozen or hard frozen form. The physical structure of ice cream is complicated psychochemical system. There are three phases of system li)uid, solid and gas. -ir cells and air crystals are dispersed in a continuous li)uid phase. The li)uid phase also contains solidified fat, colloidal milk proteins, insoluble milk salts, and lactose crystals in some cases, colloidal stabilizers and sugars and soluble salts in solutions. &ce Cream is palatable, nutritious, healthful and relatively ine7pensive food. History of Ice Cream &ce Cream is one of the most spectacularly successful foods of all the dairy based products. !y contrast, ice cream has a short history. &ce Cream evolved from the cool wine in mountain snow to hundreds of flavours that stock our grocery shelves. There are many tales surrounding the evolution of our country:s most popular dessert, &ce Cream. &t is likely that &ce Cream was not invented, but rather came to be over years of similar efforts. The Chinese gourmets made the primary attempts to e7plore this revolutionary food for lessening the blazing heat of summer. &t was 2arco 4olo who consigned this invention to &taly 8Europe9 after his voyage to China in *2;+. These e7periments were carried out to make novelties from ilk in (rance and gradually the whole Europe became addicted to &ce Cream. !efore this invention reaches the &ndian connoisseur, the human kind had witnessed two perilous world wars. The father of wholesale ice cream business, is the <., was =acob (usel, a milk dealer of !altimore, who began to manufacture ice creams in *>+*. &ce Cream permeated the &ndia soil in *;52, when ?6uit &ndia 2ovement@ had recently been launched. The establishment of %adilal .oda (ountain, near teen darwa1aA -hmedabad, marked an indelible footstep in the sand of time. -nd this modest beginning of the monumental ice cream empire followed the strategy of imperialism. &n the last decade, i.e. after liberalization and free market economy, the &ce Cream industry has gained
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favorable breeding ground to flourish on. The brand named like %adilal, -mul, !askin C #obbins, Dairy Den, /alls, Go cool, .hrestha and to numerous to mention are on the lips of the multitude. The bright future is before them. They have to go ahead with chilled spirits, burning vigor and bubbling gustoE Manufacturing Process: 4revention of (ood -dulteration -ct re)uires a minimum of *,F (at, ".+F 4rotein, *+F .ugar Content, "BF total solid matter in ice creams. &ce cream manufactured with modern technology contains about 5,F air. The key nonA fat solids are skimmed milk powder and sugar. &ce Creams normally contain milk fat but there are several varieties that contain vegetable fat 8called frozen desserts9 &ce Cream has to be stocked at lower temperature as compared to milk and butter. -ll the li)uid ingredients such as milk, cream, li)uid sugar syrup etc are mi7ed with dry solids such as nonAfat dry milk, sugar, stabilizers, emulsifiers and then blended. The blended mi7ture is then pasteurized to destroy the microorganisms. The pasteurized mi7 is pumped through under pressure to produce a smooth, uniform product. The mi7 is immediately cooled to G5 degree C. and then aged to improve the body and te7ture of the finished ice cream. .oluble flavoring materials are then added to the mi7 then ice cream is frozen in batch or continuous freezers. During freezing air is incorporated in to the mi7 resulting in increased volume. The soft frozen product is drawn from the freezer at GB degree C. and packed at this temperature after which it is stored at a low temperature till marketed.

MARKET SIZE A ! "ROWTH

&ce Creams are available in various forms such as cone, cups, bar 8candy9, party pack etc. Cones and Candy sticks account for about 2+A",F of volumes, where as cups and other novelties contributes the rest. (rozen desserts market in &ndia is very small and refers to vegetable fat 8instead of milk fat9 based ice creams. !esides, a wider range of frozen desserts is also made in house and also server in five star hotels. The &ce Cream market growth during the late '>,s and in early ';,s was very low around 2A"F p.a. but slowly the market has started picking up especially after deAreservation of the sector in *;;H. (or the last *A2 years the ice cream market in &ndia is growing at *+A2,F per annum and presently it is estimated at worth *+A*B billion. This growth rate is e7pected to continue for another 2A" years because of lower base. 0f the total size of #s. *+A*B billion, around ",A"2F
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is in the hands of organized sector. The growth rate could have been ever higher but for poor infrastructure, high e7cise dutyIsales ta7 etc. 2arket growth historically was stunted by Govt. policies. Till *;;H, ice cream manufacturing was reserved for smallAscale sector. The leading players were unable to invest ade)uately to develop infrastructure of cold chains for storage and distribution. Erratic supply and shortage of power in most parts of the country have been the ma1or factors limiting the growth. -s a result, there was a death of good )uality products in the market and also lack of infrastructure to distribute the same. Cadbury had entered the market in *;;2 with its Dollops brand, but was unsuccessful in building up any significant franchise and withdrew two years later. &n the absence of any competition from 2JCs, local players were able to build up a strong franchise in respective local areas. .ome of the players built up their markets through e7clusive parlors. !ut in most cases parlor network also could not e7tend beyond local limits. -t the beginning of the first phase of liberalization, KK entered the market through frozen dessert route. (rozen Desserts 8which use edible oil instead of milk fat9 were technically not reserved for small scale. -mul ice cream, manufactured by the largest milk producing coAoperative was introduced in 2umbai market in *;;B, intensifying the competition. &n *;;H, the sector was deserved for small scale, based on the recommendation of the -bid ussain Committee report, on grounds of hygiene and technology. #emoval of licensing restrictions and investment by new players in capacity and market e7pansion is e7pected to lead to rapid demand growth in the sector.

SE"ME TATIO
&ce Cream market can be segmented in three different ways, namely

0n the basis of flavours 0n the basis of stock keeping unitsIpackaging 0n the basis of consumer segments

O# the $asis of f%a&o'rs( the market today has a number of flavours like vanilla, strawberry, chocolate, mango, butter scotch, number of fruit flavours, dry fruit flavours, traditional flavours like kesarApista, ka1uAdraksh etc. The market is totally dominated by vanilla, strawberry and Chocolate,

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which combine accounts for more than H,F of the market, followed by butterscotch andICE otherCREAM fruit flavours. MARKET OF INDIA !ecause of high competition, every company had tried to add new flavours to attract the customers. /e can also divide this segment in to subAsegment by *. #egular flavours 8incl. %anilla, !utter .cotch, .trawberry etc.9 2. .easonal flavours 82ango, .itafal, (ruit !onanza etc.9 O# the $asis of stoc) )ee*i#+ '#its,*ac)a+i#+( the market can be divided into four segments$

Unorganized Sector Cones Dinshaw Cups Dairy Den TakeAaway Arunor Candies .ticks

Amul Kwality Nirulas Others

Vadilal Havmor Pastonji

O# the $asis of co#s'mer se+me#ts( the market can be divided in to following four segments$ &mpulse .egment 84ull cart9 #etail 8 ome takeAaway9 &nstitutionalI catering 4arlors /hile institutional or catering accounts for around *+F, retail and impulse combined take FOR the ma1or chunk with H,F market. MARKET ICE CREAM I of I the !IA

MARKET FOR ICE CREAM I I !IA

E&o%'tio# if Ice Cream Mar)et i# I#-ia -mul, %adilal, 6uality /alls, Dinshaws, and Jirulas etc dominate commercial organized &ce Cream market in &ndia. The market size of commercial ice cream is estimated at #s. B,, crores. The unorganized local player in &ce Cream industry also has got a market size e)ually big of #s. B,, crores. The contribution of fast food and specialty ice cream has fuelled the growth, as more and more people are tempted to consume ice creams. &n &ndia, &ce Cream is consumed for taste and as desert. Doctor:s advice &ce Cream after tonsils and people invariably consume if they have problem of acidity. &n abroad &ce Cream is considered to be supplementary to food. 4eople abroad are very diet conscious. They have lot of choices in &ce Creams. They have sugarAfree &ce Cream3 low fat &ce Cream and many other low calorie &ce Creams. /e can see from the difference in consumption of &ce Creams in &ndia and vast potential, we have, and an untapped opportunity available. &ce Cream industry is very much synonymous to politics. 4olitics, because here the regional players are strong, the same way in &ce Cream industry local manufacturers are e)ually strong players in the market. The &ce Cream market in Gu1arat is appro7imately #s. 2,, to #s. 22+ crores. The &ceA Cream market in -hmedabad is estimated to be of #s. H+ crores to #s. >, crores from which appro7imately +,F is organized sector and +,F unorganized sector. &n -hmedabad itself, we have big organized players like Am'%. Va-i%a%. Ha&mor. a#- !airy !e#/ E)ually strong are many local players like 4atel

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&ce Cream, !ala1i &ce Cream, #a1asthan &ce Cream, =anata &ce Cream, Derani =ethani &ce Cream and various other local manufacturers. 0rese#t Tre#The &ce Cream 2arket worldwide is led by the <nited .tates, which is the undisputed leader in the &ce Cream 2arket of the world with highest per capita consumption of *2+, ml. per person. 0ther leading countries are &taly, Denmark, Germany, <nited Lingdom and -ustralia where the per capita consumption of &ce Cream is more than +,, ml. per person. &ce Cream 2arket in &ndia has been e7pended impressively over the last decade. The longAterm growth potential is very high when comparison is done with the international consumption patterns. The per capita consumption of &ce Cream in &ndia is only *2+Aml. per person. The estimated market size is appro7imately #s. +,,, crores if we consider the average per capita consumption of the leading countries. The overall &ce Cream market is growing by around *,F annually. The entry of multiAnational companies and large coAoperatives has improved the growth rate and created better images of the &ce Creams as good as alternative for rich and nutritious food. The &ce Cream markets are basically categorized into commercial packaged &ce Cream 8sold through only outlets having Deep (reezers93 4remium 4arlor &ce Cream 8sold through 4arlors93 .oft .erves parlors 8made and dispensed fresh from machines9 and artisans scoop &ce Creams.

SWOT A#a%ysis of O&era%% Ice Cream Mar)et i# I#-ia Strengths: The strengths of &ce Cream market in &ndia is the availability of natural resources which can be capitalized to improve and increase the market size available.
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Weaknesses: 2any unAorganized sector players manufacturing ice creams are not hygiene and )uality conscious and they 1ust try to compete on price resulting in unhealthy competition with organized sector manufacturers as well as good unorganized sector manufacturers. 2any organized players are thus finding difficulty to maintain and survive in the market as they have high fi7ed overheads. pportunities: Kooking to the &nternational scenario, &ce Cream industry in &ndia has a huge potential in the untapped market available with us. &ce Creams of various types can be made available to the people at large to increase the consumption. Threats: Due to globalization many 2ulti Jationals are entering in &ndia with a good financial back up, latest technologies and e)ually good )uality products with attractive pricing and different varieties. This can create problem for &ndian manufacturers of &ce Creams if they can:t match their )uality and price with them.

"e#era% S'++estio#s to im*ro&e Ice Cream Mar)et i# I#-ia Kooking at the consumption pattern abroad and in &ndia we have good potential to e7pand the market size of &ce Creams in &ndia. The 4rime and most important suggestion is to increase the awareness in the people, so that the consumption could increase. The normal psychology in
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the minds of people is that eating ice creams makes you sick, get you cold or cough. The other thinking is that &ce Creams have a lot of fat contents that could increase weight. (or this, if we manufacture &ce Creams with some additional values and promote them in the market with a good registering message to the people, it would definitely increase the consumption on &ce Cream. (or e7ample manufacturers could come out with an -D#-L ice cream or ice cream with mint or menthol. &ce Creams with different varieties like low fat ice creams for weight conscious consumers, .ugar free ice creams for Diabetic consumers and so on. The promotions should be made in such a way that people are made conscious to eat more and more ice creams. /ith the consumption increasing and the cost of production coming down, the same should be passed on to the consumers in different ways by giving attractive gift packs with ice creams or more )uantity for the same price. &ce Cream packaging, shapes of ice creams can be made attractive to pull the consumers. &n fact, we have a huge untapped market in &ndia looking at the per capita average consumption of the leading countries in the world. &f we take average per capita consumption which is +,, ml. then we can have a potential for ice creams to the tune of +,,, crores in &ndia.

MA1OR ICE CREAM 02AYERS

The &ndian &ce Cream market is dominated by a large number of small local manufacturers and regional players. There are an estimated *+, manufacturers in the organized segment, which accounts for ",A"+F of sale of about 2,,, units in the unorganized market. &n the organized segment, the
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significant brands are %adilal, Lwality /alls, -mul, 2other Dairy and !askin #obbins. Ma3or atio#a% 0%ayers industan Kever %adilal &nternational GC22(I0ther milk coAoperatives 2aharashtra Dairy 4roducts 4ra#-s Lwality /alls, Dairy Classic, 2a7, CornettoE %adilal, Dairy (reshE -mul, 2other DairyE !askin #obbins

Other 0%ayers( !esides the main national brands, other premium brands have carved a niche for themselves in their respective regional markets. These players have mostly concentrated on the large metro cities. These players sell through franchise parlors as well as through retail stores, groceries, restaurants, hotels, roadside stalls on highways, etc.

Re+io# East

4ra#-s Tulika, #ollicks 8&nduss &ce Creams9

/est Jaturals 8&n 2umbai 0nly9, 4aston1i, Dinshaw:s 8&n 2aharashra only9,

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avmor 8&n Gu1arat 0nly9, Mums 8&n Gu1arat 0nly9, Cream !ell 8&n #a1asthan 0nly9 Jorth 2other Dairy, Jirula:s .outh -run 8 atsun (oods9, =oy, Jandini 8Larnataka 0nly9

Gu1arat is very big market for &ce Cream industry, which is dominated by %adilal &ce Cream, which has market share of nearly ++F that is followed by -mul and avmor. -hmedabad is at *st rank in highest per capita consumption of ice cream in &ndia. &n Gu1arat people are also fond of eating ice cream at parlors. &n each four main cities and in many medium cities local parlors are also famous. 2umbai has several players such as Jature /orld, Jaturals, &ceAcream E7press, Dinshaws etc that are priced at a premium over the Lwality /alls and -mul brands. -run, promoted by astun (oods 4vt. Ktd. is dominated brand in the .outh. -run sells its &ce creams through e7clusive parlours, which are popular in the southern cities. =oy, another marginal national player has a stronger presence in the south. Together, =oy and -run have a sizable presence in the southern markets of Chennai and Tamilnadu. Jirulas is the strong local player in Delhi. 2other Dairy the Delhi version of the -mul brand also has a strong presence in the Jorthern #egion.

The competitive structure of the &ndian &ce Cream market is as below 4ra#-s Lwality /alls -mul Mar)et Shares 567 "+ ",

*+

%adilal 0thers

2, *+

Market Shares of Ice Cream Companies in India

Others $%"

Kwality &alls %"

Vadilal #!" Amul !"

The above graph reveals that the Lwality /alls is the national number one player having "+F of the total market share. %adilal is having the 2,F market share and giving tough competition to ma1or brands like Lwality /alls and -mul.

Mar)et Share of Ice Cream Ma#'fact'rers i# "'3arat 4ra#-s %adilal -mul Mar)et Shares 567 +2 2+

*B

avmor 0thers

*" *,
Market Shares of Ice-cream companies in G !arat

Havmor $ "

Others $!"

Amul #%"

Vadilal %#"

The graph shown above depicts that in Gu1arat %adilal stands at the first place with +2F of the market share followed by -mul and avmor with market share of 2+F and *"F respectively. The market share reveals the strong position in the mind and hearts of people.

Mar)et Share of Ice Cream Ma#'fact'rers i# Ahme-a$a4ra#-s %adilal avmor -mul 0thers Mar)et Shares 567 "+ 2+ 2, 2,
*H

Market Shares "# $ of Ice Cream companies in A%&ad

Others #!"

Vadilal %"

Amul #!"

Havmor #%"

&f we see the scenario in -hmedabad &ce Cream market then we find that %adilal is at the first position having the market share of "+F. owever the number one national player Lwality /alls is having negligible market share.

MA1OR ICE CREAM 02AYERS OF "U1ARAT

!A"I#A# - name synonymous to &ce Cream. - company, which is around H> years old, was started by the founder member Kate .hri %adilal Gandhi.

*>

His Missio#( To provide )uality product and services at an affordable price. %adilal started as a oneAman show with handAcranked ice cream in *;2B as a small retail outlet. Today it has grown to employ around >,, people. The turnover of %adilal in &ndia has crossed #s. *,, crores. &n -hmedabad they are the leaders and are selling &ce Creams worth #s. 2, crores. They have plants at three different locations, one is at -hmedabad 8Dudheswar9, the second is at 4undhra, Gu1arat and the third is at !arelley 8<.49. They manufacture around ;, varities of ice cream with over *B, packs and forms. They have diversified in to processed food, Chemicals, construction and financial services also. SWOT A#a%ysis of Va-i%a%( Stre#+th( They have a cold chain network at three manufacturing units in &ndia, *2 clearing and forwarding agents, 2+, distributors and around *+,,, retailers. They have their own refrigerated vans for smoother and faster deliveries. Wea)#ess( (inancial constraints due to high overheads and cost of production 8electricity9. O**ort'#ities( uge untapped market and the changing and growing consumption pattern. They are having manufacturing units at three different locations and vans for catering the needs of increasing demand in the market. Threats( igh Ta7es, 2ulti Jational companies entering the market and also the increasing number of local manufacturers. Hierarchy at Va-i%a% 2anaging Director #a1esh Gandhi
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General 2anager .ales 2anager .enior 2anager #...2 -...2. .ales E7ecutive .ales coordinator 4rod. E7ecutive 4rod. 0fficer 4roduct 2anager Dy. 4roduct 2anager -ssistant 4rod. 2anager

$A!M % avmor &ce Cream started as early as in the year *;55 in Larachi, 4akistan by Chonas. The founder 2r. .atishchandra Chona came to &ndia durind &ndiaA4akistan partition and then started their first larry at Lalupur. 2r. .atish and his wife churned &ce Cream in a bucket at night and then they used to sell it in the morning in larry. !it by bit they saved money and in the year *;+" they tool a place at #elief road which stands even today.

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Today avmor has got outlets at many places including #elief road, Javrangpura, 4anchvati, and DriveAin and also at many places in !aroda. They have a manufacturing unit at Jaroda, -hmedabad. Their turnover in Gu1arat is to the tune of #s. 22 crores and in -hmedabad they are selling ice creams of #s. *, crores appro7imately. Their distribution is done through distributor and retail network in Gu1arat. They have around *,, different flavours and sizes put together. Their marketing strategy is always consumer oriented and they always have given consumers value for money. Their advertisement and promotion are done centrally through newspaper, hoardings, wall paintings, 404, events etc. SWOT A#a%ysis of Ha&mor( Stre#+th( They have a strong regional brand with good )uality and service back up. They provide their customers value for money. Wea)#ess( (inancial fle7ibility O**ort'#ities( %ery large potential to attract the present generation who are now accepting the ice creams round the year, if they find satisfactory prices and uni)ue )uality of ice creams.

Threats( igh Ta7es, very high overhead in terms of electricity and transportation, competition from lots of local unorganized players. Hierarchy at Ha&mor 2anaging Director
2*

4radeep Chona 2arketing 2anager (in. 2anager Gen. 2anager

DeepAfreezer Dept.#.2 #.2 2ktg. -dmn. 2gr. Dispatch 2gr.prod. 6C 2&. -.2 -.2 E7ecutive .ales #epresentatives 4rod. .upervisors .taff

AM&# 'Anand Mi(k &nion #td.) -mul is a brand name of products coming under "'3arat Coo*erati&e Mi%) Mar)eti#+ Fe-eratio# 2t-/ 5"CMMF27 which is a 2+,, crores cooperative concern now. During the !ritish rule 4olson had a monopoly in &ndia. 4olson used to buy individually from various farmers in Gu1arat and 2aharashtra at a very low rate and then processed the product to earn heavy profit.
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.ardar 4atel and 2orar1i Desai got together during that time and then started the cooperative movement. They met the farmers and made them understand the ways !ritish were e7ploiting them. They made a union and started negotiating with !ritish to give them proper rates. &nitially the farmers threw the milk but did not give it to the !ritish. 0n e7periencing the shortage of milk they came to terms with the farmers and then started giving good price to them. 0nce getting good price for their milk, farmers thought of starting their own processing unit and this is how GC22(K started. 0ne day the processing unit failed and there was nobody to maintain it. !y chance Dr. %arghese Lurien happened to be in -nand, who was an e7pert in the dairy technology. They somehow traced her out and re)uested her to come and mend the machine. Dr. Lurien came and immediately repaired the machine. .ince there was no technical man, the federation re)uested Dr. Lurien to 1oin and work for them. This is how GC22(K started with the leading man Dr. Lurien. They started manufacturing all sorts of byproducts from the access milk like cheese, butter, ghee etc. in *;HB with the help of Dr. Lurien who was a master by himself. (rom that day onwards GC22(K never looked back and turned to be a giant worth more than #s. 2+,, crores. &n *;;B, GC22(K started manufacturing ice creams. &n a very short time it captured a market share in the organized sector to the tune of #s. 2,, crores which is "+F of the total market share in &ndia, and became a market leader. &n -hmedabad -mul is selling ice creams worth #s. ** crores and has a market share of appro7imately ",F. &ts ma1or strength is in its manufacturing units and its networks all over &ndia. &t has got around *>, distributors in &ndia, "H in Gu1arat and ; in -hmedabad. Strate+y( Their main strategy initially while launching was low price and high )uality product which has made them a success and leader all &ndia. Their pricing policy is all &ndia one price. They come out with at par pricing with the competition. Their marketing is done through distribution channel. They have a variety of *+" types in all sizes, shapes and flavours. SWOT A#a%ysis of Am'%(

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Stre#+th( Their main strength is the huge network they have with manufacturing units at various locations all &ndia and the strong financial backup they have. -mul has also started selling ice creams by means of small shops built in municipal gardens, so the reach of -mul is increasing. Wea)#ess( Kocal unorganized sector giving ice cream at low price without any )uality. O**ort'#ity( There is a huge untapped market looking to the per capita consumption with leading countries. Threats( igh Ta7es, high overhead in terms of electricity and transportation, competition from lots of local unorganized players.

Hierarchy at Am'% Chairman 8Dr. %. Lurian9 2.D. 82r. !.2. %yas9

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-.G.2. 8E7isting nNw9 D.G.2. D.G.2. 8East9 8/est9 Depot incharge 0fficer incharge E7ecutives .ales #epresentatives

D.G.2. D.G.2. 8Jorth9

-.G.2. 8nNw -venues9 D.G.2. 8.outh9 8Central9

"AI%* "+, Chi((s Thri((s and -ri((s Dairy Den launched their first ice cream parlor way back in *;B; at -hmedabad and as a chain of sevenApremium ice cream parlors in Gu1arat state. Dairy Den:s CT( has the <.4 of freshly prepared ice creams of &nternational )uality having value for money and visual appeal. -ll their

2+

parlors are run my management itself having high rated homogenous )uality with high hygiene standards. The CT( operations are carried out under the name of Dairy Den Liosk Ktd. The brand is one of the ma1or players in &ndian 4remium ice cream segment. CT( plans to have its presence in all cosmopolitan towns in &ndia and e7pand their parlors to 5, by December 2,,2. Dairy Den$ Caters to high and low income class under two brands as under. *9 CT( 4remium &ce Cream parlors -t present CT( operations consists of seven premium ice cream parlors in -hmedabad, Gandhinagar, !aroda and .urat. The company is planning to open a new parlor at Delhi, =aipur, 4une and -gra, which are already under process. 29 MumsA .oft .erves Dairy Den is engaged in setting up business of Mums Liosk 4arlors. This is the uni)ue concept introduced by them and has been a run away success. The company is selling soft serves under the brand name of Mums at a very low price making it affordable to all the sections of the society. This concept has received a tremendous response from the market. -nd currently there are *>, Mums outlets in the country. CT( 4roducts$ -rtisan .coop &ce Creams, .oft .erves, .undaes, =uices, Thick .hakes etc.

SWOT A#a%ysis of !airy !e# Stre#+ths( *. 4ioneers in bringing soft ice creams and freshly prepared artisans scoop ice creams to &ndian market

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2. 2edia coverage and promotions handling by leading advertising agency 2udra. ". &t has its own managed parlors and hence can have a good control over )uality of product. Wea)#ess( Cost of production is high as the volumes are low. O**ort'#ity( <ntapped market on a national level in premium ice cream segments with few players in it. Threat( *. Kocal low priced ice cream manufacturers. 2. Government levies and controls.

Hierarchy at !airy !e# 2anagement of Group 4romoters$ 2r. arish .hah and 2r. !harat .hah !oard of Directors

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G.2. #D G.2. 8Co. .ecy.9 8(inance9 8Technical9

G.2. 82ktg.9

G.2. G.2. G.2. 84arlor 0p.9 8-ccounts9

Dairy Den Liosk Ktd. 2gmt. !.0.D. G.2. 84arlor 0perations9 #egional !. Develop C 4lan E7e. 2anager Co.Aordination

-sst. 2gr. !us. Dev. 0fficer 6C .upervisors 0perational .taff

!A%I &S # CA# IC+ C%+AM MA,&-ACT&%+%S There are various unorganized and local manufacturers in &ndia who manufacture ice creams by old methods by wooden or metal kothis or having a locally made machine for making ice creams. These local or unorganized sectors cannot be overseen as they have an e)ually big turnover in &ndia to the tune of #s. B,, crores. They have an advantage of less
2>

overhead and strong local brand loyalty. Their pricing is very competitive as their overheads are less and are fighting big organized players in &ndia. The locally manufactured ice cream has got more weight as compared to machine made ice cream. The machine made ice cream has generally got more air in it. &n -hmedabad the unorganized local players are selling ice creams worth #s. 5, crores. The leading names in the unorganized sector are$

4atel &ce Cream !ala1i &ce Cream -sarfi &ce Cream #a1asthan &ce Cream Derani =ethani &ce Cream =anata &ce Cream -nd many others. SWOT A#a%ysis of 2oca% Ma#'fact'rers

Stre#+ths( *. Kocal players with few overheads and can give value for money. 2. Koyalty and continuity of their clients Wea)#ess( *. Kocal hand made machines and hence no control over )uality. 2. -s it is made by .ancha the time taken is more ". The weight of their ice cream is more as air content in ice cream is less and hence costlier than the machine ice cream.

O**ort'#ity( Due to changing trend and increasing market sizes, they can capitalize the niche market by giving good product at low price. Threats( 0rganized players with good network, financial and promotional backup and with volumes are making cost effective products now and the gap has
2;

narrowed down between the prices of organized and an unorganized sector. Consumer would be tempted to go for an organized and a branded product.

0ROMOTIO A2 STRATE"IES
0romotio#a% Assista#ce 0ro&i-e- 4y The Ma#'fact'rers I# "'3arat

",

The promotional assistance provided by the manufacturer has improved and increased as compared to three years before scenario. The promotional assistance is given to the distributors to deliver the same to the dealers. The posters, glow sign boards, posters for newly launched flavours or schemes, wall paintings are provided to the dealers at the beginning of their business. The same is supplied, even whenever demanded by the dealers themselves. Thus the supply of such 404 displays have been done free of charge to all the dealers, but some times too many small dealers may not be given all the available promotion as depending on his sales. The promotional assistance also depends upon his sales. The promotional assistance also depends upon the annual sale of a dealer, the location of his shop and the market he covers. Promotiona( Measures Taken "uring The *ear: 8/ Schemes i#tro-'ce- $y Ha&mor( .cheme throughout year$ 0'rchase Ice Cream Free Ice Cream !onanza 8*,,, ml9 4ista 8*,,, ml9 !utter .cotch 8*,,, %anilla 8*,,, ml9 ml9 .cheme for Diwali (estival$ o 2adhumalti &ce Cream O -sean company:s 5A 2;;IA 8*,,, ml9 Container Tiffin bo7 P#s. 0rice 5Rs/7 *,, *,,

9/ Schemes i#tro-'ce- $y Am'%( o -mul has introduced the Combo 4ack schemes to attract the consumers against the competitors. The schemes are as under$

"*

Com$o 0ac) .antra 2antra O %anilla (ruit !onanza O %anilla -lphansoA2ango O %anilla !utter .cotch O %anilla

0rice 5Rs/7 *,, *,, *,, *,, (lavor contains ;,, ml each

o -mul was selling the %anilla 4arty 4ack 8;,, ml9 at 1ust #s. 5, and 4arty 4acks 8;,, ml9 of La1u Draksh and !utter .cotch at 1ust #s. B, each. 5 OTE( 0romotio#a% scheme of Va-i%a% is e:*%ai#e%ater7 +--+CTS - SC$+M+S , SA#+S: The disturbed situation in -hmedabad since last "A5 years plays a ma1or role in decreasing the sales. !ut due to introduction of schemes, the sales have been maintained and supported remarkably. The schemes have increased the sales to a considerable level that has benefited all the intermediaries. I#crease i# Sa%es Year 2,,*A2,,2 2,,2A2,,"

Sa%es -verageI below -verage &ncreased by +,F

CURRE T MARKET OUT2OOK

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The competition among KK, %adilal and GC22( is at Jational level. !ut where the %adilal has ma1or share in /estern region the %adilal has direct competition with GC22(. .tiff competition has started between the leading players, starting the price war by giving heavy discounts on its cones and by launching lower price segment products. KK too has launched a range of ice creams for lower price segment and has clearly segmented the market based on the age. KK has taken over direct control of ice cream manufacturing in the eastern and western regions, increased cold chain distribution by innovative channels like mobile vending and has launched new brands in the market. /hile GC22( with its advantage in milk procurement and competitive pricing is strengthening its position in the market by tying up with the cooperatives by e7panding its network, KK has advantage of vast portfolio of brands from its parent. 2oreover, KK too is e7periencing new innovative concepts for increasing the reach of its ice creams. -mul on the other hand has gone national with setting up of proper cold storage facilities and transportation facilities in the eastern region of the country. 2eanwhile the company also talks with %adilal group for ac)uiring its ice cream manufacturing facility in !areilly. %adilal try to compete with heavyA price discount and by improving its product range. Jow a day the %adilal has 2+, different flavours. %adilal is the initiator of the scheme of !<M * GET * (#EE in 4arty 4ack and Cup category, which leads hot competition in cold market. %adilal has also started parlor chain to attract premium segments. The market has seen a number of international players like 2ovenpick, !askin #obbins, !lue !unny etc. launching their products in the country. 4layers like !lue !unny, which is presently importing its ice cream for its markets in Delhi, and surrounding areas has e7panded its presence to /estern region. The company has plans of setting ice cream parlours across the country.

Co#s'mer A;are#ess a#- 0e#etratio#

""

Kow income, high prices, nonAavailability of good )uality products, poor distribution infrastructure and low investment in marketing has all resulted in one of the lowest per capita consumption of ice cream in &ndia at *,B ml per annum. 4er capita consumption of ice cream in other countries is as follows$ Co'#try <.-ustralia .weden Jorway <L Thailand &ndonesia 4akistan .ri Kanka &ndia 0er Ca*ita Co#s'm*tio# 52iters */a/7 22., *>., *5., *2., +., *.> *.> ,.5 ,." ,.**

&ce Cream penetration at all &ndia level is estimated to be *5F. The penetration is understandably higher in large metros at 2;F compared to 25A 2+F in smallImedium towns. The same in rural areas is low at ;.+F. &n rural areas, kulfisI ice cream made by small cottage industry is popular. The market for organized sector is restricted to large metropolitan cities. &n small towns and villages, there are thousands of small players who produce ice creamI kulfis in their home backyard and then cater to lower market. -lmost 5,F of the ice creams sold in the country are consumed in the western region with 2umbai being the main market, followed by ",F in the north and 2,Fin the .outh. The eastern region has the lowest consumption level at *,F of national consumption. The main reason behind low penetration in eastern region is the poor infrastructure facilities and lack of cold storage chains in the region. "e#era% Co#s'mer Ha$its A#- 0ractices &ce Creams are primarily impulse purchase products and they are not yet accepted as snack food or part of daily or fre)uent consumption

"5

habit. &t remains once in a while indulgence. #etail displays, funIe7citement positioning etc. plays a crucial role in purchase decision. (or impulse purchase budget, &ce Creams competes with other impulse products such as soft drinks, chocolates, confectionery etc. therefore, higher share of voice of soft drinks has an adverse effect on the &ce Creams demand. /hile most consumers have liking for one or two flavours, they fre)uently try out new flavours. %anilla, .trawberry and Chocolates together accounts for H,F of the volumes. &ce Creams are e7tremely likable product by all age groups. Claimed penetration of ice creams is as high as ;BF. 2ost consumers claimed to have consumed ice cream however actually do not consume, mainly due to price barrier. There is a strong resistance among &ndian parents about ice cream consumption by children, and a misconception that it can cause cold or other illness. This is largely due to the fact that most ice creams manufactured by localIunorganized sector are of poor )uality. ColdIother illness is caused by bacteriaIgerms and not by the cool temperature of the product. -ll age groups consume the product. owever, people below 2+ years age group account for >,F of the consumption. &n relative terms, consumption is lower among older people in &ndia. &ce Creams are generally consumed in the evening, after dinner in &ndia. The consumption during daytime is e7tremely low. There is a significant seasonality in ice cream consumption in &ndia. Consumption goes down significantly in winter to about 5,F of average consumption in the Jorth and B,F in /est and .outh. ome consumption is restricted due to poor )uality of inAhouse refrigeration. -s penetration of 2Adoor refrigeration is limited, ice cream cannot be stored in proper condition for long time in single door refrigerator. Consumption of branded ice creams manufactured by organized sector is restricted to metropolitan cities and other towns. The organized players have not been able to e7tend their distribution chain to small villages and small towns, due to small size of market and nonA availability of cold chains. 4resence of unorganized sectors and unbranded products is )uite high in rural and semi urban areas. The unorganized sector mainly sells
"+

frozen milk candies 8kulfies9. 6uality of product is inconsistent and is often un acceptable hygiene standards. &n urban areas also, there e7ists a large unorganized sector but )uality of product is relatively better. - large part of catering market in urban areas is catered to by the unorganized sector. Reaso#s for %o; co#s'm*tio# of Ice Creams i# I#-ia( &n &ndia there is a strong tradition of eating sweets. -nd hence the availability and popularity of substitutes in terms of milk sweets and other sweets. &ce Creams has not yet entered in &ndian consciousness as a oral gratifier and have not formed part of the consideration ser of an average &ndian. &ce Creams are not acceptable as item of consumption for all the age groups. There is a strong perception that ice cream is a childish product. The perception is that people grow out of ice creams in to eating sweets. (eeling of guilt is strange in parents who eat ice cream, especially when they are alone as the feeling is that they should eat when only when their children accompany them.

COM0A Y 0ROFI2E

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A$o't Va-i%a% "ro'* .tarted by the late .hri %adilal Gandhi, %adilal today is a name familiar in practically every &ndian household. %adilal Group had its humble beginning, more than ;+ years ago. The name has become synonymous with &ce Creams. Though, ice cream still remains the core business, over the last few years processed and frozen food products have assumed great significance in the scheme of things. Today %adilal group is in diverse businesses like 4rocessed (oods, Chemicals and .peciality Gases, (ore7 -dvisory .ervices. ead 6uartered in Gu1arat, the most industrialized .tate in &ndia, the Group had a turnover e7ceeding #s. *+,, million in *;;>A*;;; ma1or companies of the group are listed in the stock e7changes of &ndia. The group has a large investor base and its brand name <Va-i%a%= commands an e7cellent e)uity. The %adilal philosophy of providing its customers )uality products and services at affordable price has resulted in the brand being a household name in &ndia. 0rocesse- Foo-s !i&isio#( %adilal entered the orticulture 4rocessing &ndustry in 2ay *;;*. The best way to ensure total )uality is to e7ercise total control right from the raw material stage onwards. That:s e7actly what %adilal does. .elected fruits and vegetables are grown under the company:s guidance in .outh Gu1arat G the important '(ruit !owl: of &ndia. &t is in close pro7imity to the -lphanso 2ango region. This is where the manufacturing plant is situated. This plant at Dharampur is a modern unit with a wellAe)uipped laboratory for product development and microbiological testing. Leeping in view the tremendous e7port potential for the processed foods %adilal has set up manufacturing unit having an installed capacity of +,5,, tons per annum.%adilal is a registered &ndian supplier to international mega brands. The products are e7ported to Europe, <.-, 2iddle C (ar East and .outh East -sia. %adilal is the leading producers and e7porters of mango pulp in the country. %adilal has installed an automated line from 2ather C 4latt for washing, depodding, inspecting, metal winnowing, blanching and cooling fruits and vegetables. Their slicing and dicing is done on imported machines. &n order
"H

it preserve freshness and enhance shelf life the food is processed using '&ndividually 6uick (rozen: 8&6(9 techni)ue. This technology has been imported from Eurotek engineering limited, <L and it involves fluidized belt type continuous freezing. &t can process two tons of material per hour, and it provides the fle7ibility of freezing at varying depths for different durations. &t has all been worth the effort, considering that 2Is. <nderwriters Kaboratories &nc. has awarded the &.0 ;,,2 certification for )uality system. %adilal was also awarded the certificate of merit for e7cellent e7port performance by -4ED- 8-gricultural and 4rocessed (oods E7port Development -uthority9. -mong &6( vegetables the range includes, green 4eas, .weet Corn, 0kra, 2i7ed %egetables et al. The &6( (ruits range has e7otic varieties of the famous &ndian 2angoesA -lphonso, Lesar, Totapuri in pulps, slices, cubes in addition to strawberries, .apota and other ready to eat foods and condiments also from apart from %adilal:s formidable range. Fore: A-&isory Ser&ices > FFMC !i&isio#( %adilal ventured into this segment in -pril *;;B, offering nonAbanking financial services. The main activities are$ (ore7 advisory C (ore7 E7posure 2anagement to &mporters and E7porters. !ullion informative .ervice on Gold .ilverAAA - complete useful guidance to bullion traders, importers and 1ewelers. K2EA2etal informative service bin base and .crape metals. complete useful 'guidance and information to metal traders, importers, and 2etal scrap indenting agents. #!& authorized fullAfledged moneychanger G((2C related transactions$ .aleI4urchase of foreign Currency and Traveler:s Che)ue.

Co#str'ctio# !i&isio#(

">

This venture was launched in *;;5. ere again, %adilal gave a lot of attention to the two things that matter most in real estate pro1ects one the assurance of sound construction using only the best available raw materials and two timely completion of the pro1ects undertaken. %adilal has developed corporate comple7es. The office buildings have been designed to offer ma7imum fle7ibility in space planning. This takes care of individual needs of office automation and communication. &n addition, %adilal have also kept comfort and convenience in mind. .trategically located in central business districts of -hmedabad, these comple7es are corporate communes for the success driven enterprises. Va-i%a% Chemica%s 2t-/( This division started in *;H,, deals mainly in industrial gases and chemicals. The main products are gases such as -rgon Jitrogen, hydrogen and 07ygen, .peciality gases, &ndustrial gas mi7tures, Calibration Gases, -nhydrous and Ki)uor -mmonia. %adilal is one of the biggest bottlers of -nhydrous -mmonia. %adilal Chemicals Ktd. has over 2,,, industrial customers. To serve them, there is a marketing network of twelve branches and eight dealers, a fleet of +, cryogenicIli)uid transport tankers C commercial vehicles and 2+,,,,Agas cylindersA one of the largest networks for industrial gases in western &ndia. Ice Cream !i&isio#( Va-i%a% the name con1ures up the images of ice cream laden bowls and a plethora of new flavours. .tarting from one man show with a hand cranked machine in *;2B as a small retail outlet, the ice cream division now has a production capacity of one lakh litres per day at three sophisticated plants, located at -hmedabad, 4undhra and !areilly. These these &.0 ;,,2 certified plants for 4undhra and !areilly are established in such a way that they are in consonance with the market e7pansion strategies of the division. %adilal offers the widest range of ice creams and frozen desserts 8above 22, .tock Leeping units9 in the country in packs including cups, party packs, family bricks, dollies, cones and candies. .omething for all taste, preference and budgets. To meet with the consumer demand on regular basis, %adilal introduces new flavours for different segments of customers throughout the year. 4eople eagerly await %adilal:s new introductions. Creativity is at forefront in all the activities. Inno.ations:
";

 %adilal was the first ice cream manufacturer company to introduce Dairy (resh AAAAA natural ice cream with pure natural goodness of milk, fruits and nuts, with no synthetic additives and preservatives. %adilal was the pioneer in manufacturing a biscuit cone which remains crisp to the last bite, unlike the traditional one that tends to get soggy, before one is even halfway through. %adilal has launched &ceA2ithai, an assortment of traditional &ndian sweet in &ce Cream form, which otherwise had to be bought 1ust prior to consumption and that too from vendors whose )uality often left a lot to be desired. %adilal:s Ling Cone and 0neAup Chocobar G all time favourites have today attained generic status. 0ther hits are Chowpati Lulfi, Cassata and &ce mithai. %adilal still dictates the ice cream market with its innovative offers G ?Lhao Lhilao@8!uy one get one (ree9 being the latest to hit the market. 0ther players have also followed suit. To match its uni)ue products, %adilal has also gone for unconventional and creative packing. -s a part of this %adilal introduced filled 4ineapple, 2ango and .weet Kime &ce Cream in the intact skins of fruits. To mark the occasion of the e7pansion of their ice cream manufacturing facility at 4undhra, %adilal created &ndia:s largest iceAcream sundae by breaking its own record in Jov.2,,*. The largest sundae was made using 5;+, litres of ice cream, *2+ kilograms dry fruits, and 2++ kilograms of fresh fruits and with ";, litres of chocolate and strawberry sauces. *>, men took e7act si7ty minutes to create this recordAbreaking ice cream sundae. The length of ice cream was 2, ft. and height was ; ft. %adilal:s ice cream manufacturing facility at 4undhra is one of the most modern in country. /ith an eye on the e7port market the company is maintaining hygiene as per international standards in procuring milk directly from the farmers to improve the microbiological )uality. - wide range of products in all segments like premium ice cream, regular ice cream and frozen desserts are

5,

being manufactured at this plant. %adilal:s !areilly and 4undhra plant has been awarded the coveted &.0 ;,,2 accreditation and -CC4 certification. %adilal has one of the largest cold chains of network in the country comprising about *; CC( -gents, nearly "+, distributors and 22,,,, retailers. The network is kept alive by a large fleet of refrigerated vehicles. #efrigeration e)uipments and retail freezers are sourced from world leaders in the technology so as to deliver the )uality products to the consumers, which is a commitment at %adilal. - large number of imported and indigenous deep freezers have also been placed in the market thereby enhancing the retail network. 2ost of the machines are imported from Denmark, Germany, &taly and <.-. -lso %adilal has set up a chain of appinezz 4arloursA '&ce cream !outi)ues: to make it convenient for the customers to relish the complete range under one roof. &t has been a hit with the ice cream lovers across the country. %adilal has 2,F of the &ndian &ce Cream market as its share. !ut that:s no surprise considering that the group has the largest range of ice creams in the country in a variety of flavours, packs and forms. The group has a product matri7 of over 2,, .L<s comprising of cones, cups, candies, family and party packs and bulk packs. %adilal introduced the concept of ?flavour of the month@ under which the company develops and markets one new flavour every month for its customers delight. Thus %adilal has become a wellAknown brand covering a diverse range of products and activities with a straightforward mission$ ? To 4rovide )uality products and services at an affordable price. ?

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OR"A IZATIO STRUCTURE OF VA!I2A2

%adilal is mainly divided into two parts$ VA!I2A2

VI2 %adilal &ndustries Kimited VI2(

VE2 %adilal Enterprise Kimited

%adilal industries limited are one part of %adilal, which is manufacturing division of %adilal. -long with manufacturing, it also looks after the 6uality Control, research and development, Dispatch, and storage related activities. VE2( The %adilal Enterprise Kimited has performed the .ales and 2arketing related activities. %EK is liable to handle the relationship with the C C ( agents 8Clearing and forwarding agents9, distributors and Dealers.

52

Or+a#i?atio# Str'ct're Of the Sa%es !e*artme#t

General 2anager 8.ales and 2arketing9

.enior .ales 2anager

#egional .ales 2anager

Dy. #egional .ales 2anager

-rea .ales 2anager

.ales E7ecutive

=oint .ales E7ecutive

.ales Coordinator

5"

Res*o#si$i%ity F'#ctio#s A#- A'thority Of I#-i&i-'a%s At !iffere#t Hierarchy 2e&e%s General 2anager:s #esponsibility and -uthority$

.ales -dministration -dvertising and 2edia 4roduct 2anagement #ecruitment and .election at higher -uthority Kevel Designing .ales promotional programs.

#esponsibilities and -uthority of .enior .ales 2anager, #egional .ales 2anager and -rea .ales 2anager$

Generate .ales -ssigning targets to .E, =.E and .C #ecruitment 2aintaining relationship with Distributors and C C ( -gents. -ssisting in designing of 4romotional 4rograms.

#esponsibilities and -uthority of .ales E7ecutives, =oint .ales E7ecutives and .ales Coordinators$

-ppointing DistributorsIDealers 4rovide 2achines andling DealerI Distributor complaints Give the promotional tools to the Dealers and Distributors DealerIDistributor Communication

55

VA!I2A2=S HA00I EZZ 0AR2OURS

%adilal introduced e7clusive ice cream parlours under the name ? appinezz 4arlours@ to meet the e7pectations of the valued customers. appinezz provides cozy, nice and cool ambience where one can en1oy worldAclass ice creams, ice cream sundaes, shakes and other various ice cream concoctions to the heart:s content. 4resently %adilal has 2" such parlours in &ndia and it e7pects to increase its number very soon. To open a appinezz 4arlour following re)uirements have to be met$ O*eratio#a% Re@'ireme#ts - place at a prominent location with atleast *+: frontage and atleast 5,, s). ft. area reserved for ice creams only. 2inimum twoAdisplay dispensersAone storage deep freezer unit and one soda fountain freezer unit as e)uipment are re)uired. 4roper space for sitting or standing for serving ice creams. &nside parlour walls should be clean and may have product display to enhance the general mood and give feeling of e7citement. Translate of products with their prices and attractive photograph should be displayed properly to create the right ambience in the parlour. Ha**e#i#+s Jew Kaunches

#ecently the group has launched (resh (ruit &ce Cream with ripples under the (antasy range viz. !lack Current Dolly, *, #s. .undaes 8Chocolate, .trawberry, 2ango9 Company has introduced scheme of La1uADraksh cup 8*O*9 and !omber and 2ango Dolly in 1ust #s. *+.

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F't're 0%a##i#+ &nitially the company was dominant player in Gu1arat and #a1asthan only, but now because of stiff competition and market situation of these particular regions, the company has decided to increase their market share in northern region of &ndia as a part of strategy to be leading player in the &ndian &ce Cream market. Company is also planning to increase their market share in !ihar, 2.4., Chattisgadh and 0rissa.

5B

SA2ES RE2ATE! MARKETI " 0O2ICIES

.ales related marketing policies include the following$ 0ro-'ct %i#e 0romoti#+ Meas'res Ta)e# 4y Va-i%a% 0rici#+ 0o%icies Mar)eti#+ Cha##e% !istri$'tio# I#te#sity Ty*es of 0o;er i# Cha##e% 0ro-'ct 2i#e Of the Firm %adilal offers two types of 4roducts. 0ne is &ce cream and another is frozen desserts. %adilal has the ma7imum range of ice cream products in &ndia i.e. over 2,, .L<s. &t has preferences for tastes as per budgets. There are rich creamy ice creams for the connoisseurs and low fat frozen desserts for the health conscious. There are plain favorites, chocolate ecstasies, romantic ripples, nutty delight, and fresh fruit fantasies and are guranteed to spark your taste buds. %adilal has priced its products on the principle of real value for money. 0ro-'ct ra#+e offere-( Cones, Candies, Cups, (amily packs, 4arty packs, !ulk packs, Chocobar, =uicees, Candies in " flavors, .undaes, Lulfies, (rozen Deserts, (resh Delight fruit &ce cream, &ce cream pizza, Dairy (resh.

5H

A'a%ity( -t %adilal, commitment to 6uality is an -ttitude. %adilal &ce Creams contains only the best ingredients, be it cashew nuts, almonds, pistachio chocolate or fresh fruits. Great pains are taken to find the finest ingredients from around the globe. .tate of the art technology ensures that each scoop is dense, rich and filling, with no e7tra air of ice flakes. .pecial care is taken during packaging, storing, transit and delivery so that consistency in )uality is maintained. This is why when the end product reaches the customer, he is convinced that )uality shines through in everything the group does. 0romotio#a% Meas'res Ta)e# $y Va-i%a% !'ri#+ The Year %adilal has run promotional schemes throughout the year. Different promotional schemes for Customers, Dealers and Distributors are as below. 0romotio#a% schemes for !ea%ers( %adilal had offered scheme for purchasing of Deep (reezers for dealers on occasion of Diwali. Com*a#y /esternICarrier /esternICarrier %oltas 8 " Doors9 Ca*acity ",, ltrs 5,, ltrs 5,, ltrs 0rice 5Rs/7 *;,,,,Q 2",,,,Q 25,,,,Q Free Ice cream 5Rs/7 +,,,,Q B,,,,Q +,,,,Q QCondition applied

0romotio#a% schemes for c'stomers( *9 0ne scheme, which %adilal is running for the entire year, is offering 'Combo4ack:. Combo pack is the package of two 4arty 4acks. Customers are getting two party packs by paying price for 1ust one party pack. 0ne party pack is absolutely free. %adilal get tremendous response of this scheme and that is why they have decided to run this scheme for the entire year. <nder this scheme sometimes %adilal offers two different flavors at price of one.

5>

(or e7ample$ 0'rchase Ice cream Free Ice cream %anilla %anilla La1uADrakshQ La1uADrakshQ !utter scotchQ !utter scotchQ (resh .trawberryQ (resh .trawberryQ (resh KitcheeQ (resh KitcheeQ !lack Current .trawberryQ (resh .itafal #eal %anillaQ .wiss Cake Chocolate sundaeQ Lhandala .pecial 2ango #ippleQ (resh 0range (resh 2osambiQ (resh 2angoQ (resh 2angoQ (resh pineappleQ (resh pineappleQ -bove party packs are available in ;,, ml Q (rozen desserts

0rice 5Rs/7 H, *,, *,, *,, *,, *,, *,, *,, *,, *,, *,, *,, and .undae is +,, ml

29 %adilal had launched 'Diwali .pecial: scheme. <nder this scheme vadilal had offered two choices to the customers$ 4anch#atna &ce cream O Cello:s hot lunch Tiffin P #s.22+IA #s. *5,IA 8;,, ml9 O #s. 2>+ P #s.52+IA !adam !ahar &ce cream O 2ilton:s 5 container set P #s. *2+IA 8;,, ml9 "9 Chocolate .auce with %anilla$ The consumer scheme of +,g chocolate .auce (ree on 4urchase of one litre party pack of .uper %anilla became a Trendsetter scheme in the market. The response to this offer was enormous. 0romotio#a% Too%s(
*9 4romotions only through paper advertisements such as in -ai%y #e;s

*a*ers. 29 4romotions provided to dealers through Wa%% *ai#ti#+. Free?er *ai#ti#+. Hoar-i#+s. Acry%ic $oar-s/ "%o; si+# $oar-s. Attracti&e $oar-s for the newly introduced flavors schemes.

5;

 0rici#+ 0o%icies Of The Firm The pricing policies followed by the %adilal are as below.
*9 4olicy on pricing relative to costs$

%adilal follows F'%% Cost,Cost 0%'s pricing, for the states where their manufacturing plants are situated. <nder (ull Cost pricing, no sale is made at a price lower than that covering total costs, including the variable costs and allocated fi7ed costs. (or E7ample$ R ROM ROMOBF Cost of production Cost of goods sold to %EK Cost of goods sold O Distributor:s 2argin ROMOBFO8*2Fto2,F9 Dealer margin added to above P2#4 8Consumer 4rice9
29 Geographical 4ricing$

%adilal charges e7tra penny as "eo+ra*hica% 0rici#+ from the states where the manufacturing plants are not located. ere, the margin of C C ( agent is added to the 2#4 of the &ce Cream. -lso the distribution cost is higher for such states so these states have to pay somewhat higher charges for the %adilal &ce cream. (or E7ample$ ROMOS Cost of goods sold O C C ( agent:s margin ROMOSOBFO8*2Fto2,F9 Cost of goods sold O C C ( agent:s margin Distributor:s margin O Dealer:s margin

+,

 Mar)eti#+ Cha##e% Cha##e% Strate+y

2-J<(-CT<#E

%&K

C C ( -GEJT.

D&.T#&!<T0#.
%EK KKK

DE-KE#.I#ET-&KE#.

C<.T02E#.

The above channel strategy defines the channel members and whether they are part of %&K or %EK. -s shown the 2anufactures and C C ( agents are handled by the %&K whereas serving the Distributors, Dealers and Customers are the responsibility of the %EK.

+*

 !istri$'tio# I#te#sity There are basically three types of distribution intensity.

Se(ecti.e "istribution: .elective distribution means selecting only

those outletsIretailers that can best serve the manufacturer:s interest.

+/c(usi.e "istribution: E7clusive distribution means distribution of

manufacturer:s product or products within particular area is to be confined solely to the retailerIoutlet with whom the manufacturer has made written or oral agreement of distributing the productNproducts.
Intensi.e "istribution: The manufacturer following the policy of

mass distribution or intensive distribution aims for ma7imum sales e7posure by securing distribution through all those outlets from which customers might e7pect to purchase the productIproducts. %adilal has adopted the intensi.e distribution to have ma7imum sales by availing &ce cream at the nearest location to customers. This way %adilal is getting ma7imum business. The manufacturer using this distribution strategy needs several marketing channels. The channel strategy followed by %adilal is shown on previous page.

+2

 Ty*es Of 0o;er I# Cha##e% Re%atio#shi*

%adilal is using Coerci&e 0o;er with dealers. %adilal forces dealers,

to not to keep other brand:s ice cream in their freezers.

%adilal uses Re;ar- 0o;er, to offer intermediaries 8CC( agents,

Distributors, Dealers9 e7tra benefits in the form of incentives, discounts, tours etc. for achieving targets and for better performance.
%adilal uses Re;ar- 0o;er, to customers by providing attractive

product offerings like free schemes.

%adilal uses E:*ert 0o;er in developing new flavors of &ce creams

and that way to help DealersIDistributors for better sales.

%adilal has very strong brand image in the &ce cream market. 4eople

are getting good reference from customers. This way it uses Refere#t 0o;er.

+"

Sa%es 4'-+et a#- Assi+#i#+ Territories &t includes the following$ Sa%es Forecasti#+ a#- !e&isi#+ 4'-+et Assi+#i#+ Territories Sa%es Forecasti#+ a#- !e&isi#+ Sa%es 4'-+et( -s &ce cream is perishable good and it is re)uire proper freezing to maintain proper )uality, which is very costly. .o sales fore casting is very important to reduce the cost of over production and maintenance. %adilal considers following factors for forecasting the .ales$ 0bserving 2arket Trends 4ast figures related to consumption pattern Deciding the future strategy <sing the above factors, E7perts in the sales field use their e7pertise and give their opinion for the ne7t year:s sales. Thus %adilal use ' =ury of E7pert E7ecutive 0pinion:. -fter deciding the .ales forecast, they are devising the .ales !udget. They allocate budget for promotional schemes, for incentives to the sales people, advertising etc. Assi+#i#+ Sa%es Territories( %adilal considers factors for assigning sales territories are as under$ 2arket 4otential (uture Growth %adilal has decided *" different territories for their operation. *9 Gu1arat Central .outh Jorth .aurashtra
+5

29 #a1asthan <daipur =aipur =odhpur "9 2adhya 4radesh 59 <tter 4radesh Eastern <.4. /estern <.4. +9 <ttaranchal, Dehradun B9 Delhi H9 aryana

>9 4un1ab, Chandigadh, imachal 4radesh ;9 =ammu C Lashmir, Jepal *,9 **9 *29 *"9 *59 /est !angal 0rrissa Chattisgarh Tamilnadu !ihar, =arkhand

++

2O"ISTICS SYSTEM
The ma1or areas under the Kogistics .ystem are as follows$ /arehousing 0rder 4rocessing &nventory Transportation Wareho'si#+( -s &ce cream is a perishable product and it must be kept in cool place to maintain its )uality for few days, %adilal has Cold storages at different ends. These ends are (actories, CC ( agents, Distributors and Dealers. The temperature kept in these storage houses is as low as A2+ degree centigrade. Or-er 0rocessi#+( %adilal has defined 206 82in. 0rder 6uantity9 for the distributors to make order to the company. -s far as order of the dealers are concerned that is the headache of the distributors. ere, the 1ob of the %adilal:s sales staff is to assist the distributors in selling the &ce cream. %adilal is having 2&. system installed in the organization. 2&. helps %adilal to know the status of a certain Distributors. I#&e#tory( (or the raw material %adilal keeps the inventory and do not follow the e7act =&T. The inventory of the packaging material is kept as low as possible and according to the demand forecasted and growth rate of the market. &ce cream is product of &mpulse category that re)uires proper storage, to keep it in a proper condition. The production and consumption system also such that, the production is done through the whole year and main demand is in summer season. .o every company has to store &ce cream properly. Company has enough storage facility at their all plants, and all CC( agents have their own cold storage, so they keep the stock as per their re)uirement i.e. at the time of promotional scheme period or in summer they maintain high stock, the CC( agent carry the stock in bulk and they supply the &ce cream to distributors or dealers, who also have proper freezing facilities.

Tra#s*ortatio#(

+B

&ce cream re)uires very low temperature in terms of A2+ degree centigrade, so the %an used for the transportation is having the chillers. Company is RESEARCH WORK ac)uiring %an on the contract basis.

8/ 0RO42EM STATEME T (irst .tep in marketing research is clearly state the problem statement, which is stating the management dilemma, its background, its conse)uences and the resulting management )uestion. The study was conducted to know the consumption pattern of ice creams in -hmedabad city for %adilal &ce Creams. The research was e7ploratory in nature and )uantitative research tools have been used for data analysis that had been collected from the survey of the consumers who eat ice creams. 9/ RESEARCH O41ECTIVES To study the overall consumption pattern of ice creams in -hmedabad city. To know which type of ice creams are preferred by the people, which includes the sub ob1ectives like branded or unbranded, which flavour, which type of ice cream serving etc. The #esearch also focused to know the fre)uency of consumption of ice creams and the price tag generally opted by the people. The #esearch also tried to find the effect of advertisement of ice creams, the media and the brand mostly recalled by the consumers. B/ IM0ORTA CE A ! RE2EVA CE OF STU!Y -ll industries are facing competition today, and so is the ice cream industry, which is fast growing. &n Gu1arat, especially there is stiff competition amongst the players like %adilal, -mul, avmor, DairyA Den, and also the local manufacturers of ice cream.

+H

The main aim of my study is to study the consumption pattern of ice creams in -hmedabad city, which is a part of consumer behavior and consumer research on the whole. -s the market today is consumer driven, it is very important to know their likings, preferences, and their perceptions. The result of this pro1ect would be useful to %adilal to know the consumer taste and preferences for ice creams, the effect of their promotional activities and designing a better strategy if needed for further improvement. C/ RESEARCH !ESI" i/ A**roach 2y research approach was )uantitative in nature. This means the data collection was done through the survey and the data thus collected was sub1ected to rigorous analysis. The approach can be further called inferential approach, as the purpose was formation of database from the collected data and to infer the characteristics of the population from it. ii/ !ata So'rces The various sources of information that can be used are$ 4rimary and .econdary data sources. & was mainly used the primary data i.e. the rely given by the respondents, to substantiate the findings and to have idea of overall consumption pattern of ice creams. owever, & also have used the secondary data gathered from information provided by the company, &nternet, library, newspapers etc. iii/ Research I#str'me#ts for !ata Co%%ectio# 2arketing #esearcher has a choice of two main research instruments for collecting primary data )uestionnaires and mechanical devices. ere the use of 6uestionnaire has been made for data collection, which consists of a set of 2, )uestions presented to the respondents for their reply. (or the study formal format of the )uestionnaire was prepared by me under the guidance of 2r. Leraleyan, product manager and 2r. =ignesh .hah, his assistant. The )uestions included were mainly closed ended. The draft was prepared and the final draft was operated over *+, respondents of the different areas of -hmedabad.
+>

0uestionnaire TO STU!Y CO SUM0TIO 0ATTER OF ICE CREAMS I AHME!A4A!

/e are doing a survey on consumption pattern of ice creams$ /e would be grateful if you could spare a few minutes to fill up this )uestionnaire.

ame of the Res*o#-e#t( TTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTT A--ress TTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTT 5O#%y Area7 8Tick the relevant below9 AD8 Se: 2ale AD9 A+e U2, ADB 2*A", "*A5, V5, (emale

'm$er of Fami%y Mem$ers U+ BA*, **A*+ V*+

ADC

E-'catio# 4rimary .econdary Graduate 4ost Graduate

ADE

Occ'*atio# .tudent .ervice !usiness 4rofessional

ADF

To ha&e ice creams -o yo' +e#era%%y. Go out !ring iceAcreams at home !oth

ADG

Yo' +o o't to ta)e ice creams +e#era%%y ;ith

+;

(amily

(riends

-lone

ADH

Ho; fre@'e#t%y -o yo' co#s'me ice creamsI 5Wee)%y7 U2 times 2A+ times above + times

ADJ

I# a -ay. ;he# -o yo' +e#era%%y co#s'me ice creamI 2orning Joon Evening Jight

AD8K Ho; ;o'%- yo' %i)e yo'r ice cream to $e ser&e-I Cup .cooped Cone .undaes Candy 4artyI(amily pack

AD88 Which *rice ta+ 5Rs/7 are yo' comforta$%e ;ith ;hi%e *'rchasi#+ ice creamsI 84ut 'R: in suitable range9 Cup Cone 4arty 4ack 8*,,, ml9 (amily 4ack 8+,, ml9 + + +, +, *, *+ ;, H, *+ 2+ *", ;, 2, "+ *H, **,

AD89 Which f%a&ors of ice cream -o yo' %i)e the mostI 5Ra#) i# or-er of *refere#ce L %i)e most +i&e ra#) 8 DDDD7 %anilla La1uADraksh LesarA4ista !utterscotch Chocolate .easonalI(ruit flavors

0ther 8.pecify9 TTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTT AD8B 0%ease i#-icate ho; m'ch im*orta#ce -o yo' +i&e to the fo%%o;i#+ factors ;hi%e $'yi#+ ice creamsI E7tremely Jot at all &mportant &mportant

B,

!rand 4rice .chemes (lavour 6uality -vailability

+ + + + + +

5 5 5 5 5 5

" " " " " "

2 2 2 2 2

* * * * 2 *

AD8C Ca# yo' reca%% a#y a-&ertiseme#t of ice creamI Mes -dvertise$ TTTTTTTTTTT Jo

AD8E If Yes. 0%ease tic) the re%e&a#t o#es o't of the fo%%o;i#+( JewspaperI2agazines Television oarding

0ther 84lease .pecify9TTTTTTTTTTTTTTT AD8F Yo' remem$er the a-&ertiseme#t $eca'se 5tic) the re%e&a#t7 &t impressed you &t had good music AD8G Yo' +e#era%%y *refer ice cream that is !randed <nbranded Mou saw it many times 0ther 8.pecify9TTTTTTTTTTTT

AD8H Which $ra#- of ice cream -o yo' co#s'me mostI %adilal -mul Dairy Den avmor

0ther 84lease .pecify9 TTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTT AD8J Ho; ma#y schemes are yo' a;are ofI Va-i%a% 8/ 9/ B/ C/ AD9K Which is the first ;or- that comes to yo'r mi#- ;he# yo' thi#) of ice creamsI TTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTT TTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTT Am'% Ha&mor

B*

i&/ Sam*%i#+ Tech#i@'es & have used the nonAprobability sampling in my research. (urther sub classifying it & can say that it is convenienceAsampling techni)ue because although the areas selected includes all ma1or areas of -hmedabad City, but then also it was according to my convenience.

Target 4opulation +(ement The elements of research were the residents of -hmedabad city who consumed ice creams. +/tent 2y #esearch work was limited to -hmedabad city only. Time The study was conducted for the duration of B weeks starting from midA2ay.

.ampling (rame and Contact 2ethod

The .ampling (rame for the research included locating the respondents in -hmedabad city, found from the telephone directory and then contacting them personally and asking them to fill up the )uestionnaire prepared by us.

.ampling .ize

The population of -hmedabad is widespread in many different areas. &nitially my target was to cover all the areas, but due to time constraint and unfavorable responses from certain areas, & could include only ** areas of -hmedabad city.

B2

Areas Co.ered 'Tota( samp(e si1e 2345 respondents) Area of Ahmedabad City 2aninagar 0dhav &sanpur !apunagar Jaroda -mbavadi 4aldi Jaranpura %ada1 2ithakali Gulbai Tekra T TA# E/ !ATA A A2YSIS The ne7t step is analysis of the data collected through the survey. !oth statistical and inferential tools have been used for data analysis. -mong the statistical tools hypothesis testing, fre)uency distributions etc. have been used. -mong the inferential tools, & have used cross analysis and data reduction techni)ues to draw useful inferences from the collected data. (ormulation of charts, data tables and analysis of set hypothesis gave powerful inferences from the collected data. 2. /0#D and 2. ERCEK have been used for this purpose. No. Of Respondents *; *B ,; *2 *5 *5 *> *B ** ** *, *+,

B"

The A'estio# ;ise a#a%ysis a#- i#ter*retatio# of the co%%ecte- -ata is as fo%%o;s(
RESEARCH A A2YSIS 67: 3 '0.3 T 0.4) C&ST M+% P% -I#+ i/ SEX(
SE'

(" '#"

)ale *emale

Se: 2ale (emale TOTA2 ii/ A"E(

AGE
.-! A(e $,-! #$, ! +#! ! %! No) of Cons mers

o/ ;" +H 8EK

$!!

A+e U2, 2*A", "*A5, V5, B5

o/ 2" ;+ *5 *>

TOTA2 8EK iii/ FAMI2Y MEM4ERS

$#! $!! (! No) '! -! #! ! +% ',$! $$,$% .$% Fami*+ Mem&ers

o/ OF FAMI2Y MEM4ERS( Mem$ers U+ BA*, **A*+ V*+ TOTA2 i&/ E!UCATIO o/ *,+ "> ,B ,* 8EK

Ed cation
Primary Secondary 1raduate Post1raduate

-!

$/

(0

E-'catio# 4rimary .econdary

o/ ,5 *; B+

Graduate >H 4ost Graduate 5, TOTA2 8EK &/ OCCU0ATIO Occ pation
"

$ " %"

Student Service %!" 2usiness Pro3essional House &i3e

#/"

Occ'*atio# .tudent .ervice !usiness 4rofessional ouse /ife TOTA2

o/ H5 55 ,> *; ,+ 8EK

67: 8 '0.9 T 0.:) W$+,; W$+%+ A," -%+0&+,C* C ,S&MPTI , &i/ CO SUM0TIO 02ACE ,-ACE OF CONS.M,TION
1o Out 2ring at Home 1o Out $(" 2ring at Home $(" 2oth

2oth '-"

Where( BB

o/

Go 0ut

2H !ring ome !oth ;B TOTA2 8EK MM Remar)s(

2H

NO -s seen from the chart and the data mentioned above, it can be inferred that when the respondents were asked about the place of consumption of ice cream, then the preference of only going out to consume ice cream or only bringing ice creams at home was e)ually probable. PV owever, most of the people replied that they generally did both, i.e. they went out as well as brought ice creams at home without any notable preference.

&ii/

CO SUM0TIO ACCOM0A IER With Whom o/ (amily >B (riends ++ -lone ,; TOTA2 8EK

MM Remar)s(

NO -s seen from the data mentioned above, it can be inferred that the respondents were consuming ice creams with their families in most of the cases. .econd highest preference is consumption with friends. NO .o, the selling of family packs and party packs should be promoted more, so that when people bring ice creams at home their preference is in favor of family packs. 8-ll ma1or ice cream players already provide Combo pack schemes.9 PV &ce Creams should be made available at places where people generally go on outings with family and friends, like restaurants, gardens 8-mul ice cream9, theatres etc.
FREAUE CY OF CO SUM0TIO

&iii/

BH

CONS.M,TION FRE0.ENC1 - 2 eek*+ $!! (! '! -! #! ! +# #,% No) of Tim es .%

Fre/ enc+

Fre@'e#cy 50er ;ee)7 U2 times 2A+ times V+ times TOTA2

o/ >; +" ,> 8EK

MM Remar)s( PV -s seen from the data mentioned above, it can be inferred that the respondents are consuming ice creams less than 2 times per week. !ut this is actually affected by the seasonality factor. 2ost of the respondents have replied that the average consumption during the entire year is less than 2 times per week, however in summer season it increases from 2A+ times per week. PV 0ffAseason discounts should be increased or the ingredients like mint, basil etc. should be added, so that consumption during winter season does not fall considerably.
i:/ TIME OF CO SUM0TIO 5i# a -ay7 CONS.M,TION TIME
$" $!" )orning Noon %%" -" 4vening Night

B>

Whe# 5i# a -ay7 2orning Joon Evening Jight TOTA2 MM Remar)s(

o/ ,2 *+ +* >2 8EK

NO -s seen from the data mentioned above, it can be inferred that the respondents are consuming ice creams generally at Jight after the dinner, and secondly in the Evening. NO .o, the Electric sign !oards can prove to be an important advertising tool as it is more eye catching and attractive at night under the colorful light. PV To increase the consumption during other time in a day like in the afternoon, ice cream availability should be increased near the shopping areas, super markets, theatres etc., so its consumption can be increased.
67 <: P%+-+%+" T*P+ - S+%!I,= A," -#A! % '0.35 > 0.38) :/ TY0E OF SERVI " 0REFERE!
SER3ING T1,E ,REFERENCE

'" 0" 0" #0"

(" -%"

5one 5u6 5andy Sundae Scoo6 Party Pac7

Ty*e F Cone Candy Cup

Ra#) 8 BH ** 5, "5 *> 5, B; 2B "> 2B 9 *5 "; 2B B ," *B 2H C ," *5 *H

Score E H2H 5H* B;"

.undae .coop 4arty pack

** *> *B 2H ,; 2" 2" *H *2 *H 2* 2H ote( #ank * is given weight B #ank 2 is given weight + #ank " is given weight 5 #ank 5 is given weight " #ank + is given weight 2 #ank B is given weight *

52 2B "B

5, 5" ""

52+ 5,H 52H

(or E7ample$ Cone$ 8BHQB9O8"5Q+9O82BQ59O8*5Q"9O8"Q29O8"Q*9 P H2H &t can be seen from the score that cone is the type of serving of ice cream that is preferred by most consumers. owever, cup is also having second highest preference.

QQRemar)s(

PV

NO -s seen from the data mentioned above, it can be inferred that the respondents are consuming ice creams generally in cone, cup and candy forms which have the respective scores in descending order. owever, these responses may be biased as the age group generally reflects the consumption pattern of younger generation. PV &t seems that people are not much aware of the availability of scooped ice cream and sundaes, in ma1ority of the areas of -hmedabad, so advertisement, schemes may prove to be useful to increase their awareness and thus their consumption.

:ii/ 0REFERE CE I TERMS OF F2AVOR F*a4o r ,reference

5hocolate 2utter Scotch -%" Kesar Pista Kaju Dra7sh ##" Vanilla Seasonal

/" $#"

0" %"

F%a&or Chocolate !utterscotch H,

Ra#) 8 B> ""

Lesar 4ista La1u Draksh %anilla .easonalI(ruit (lavor

*> *5 *, ,H

QQRemar)s(

NO -s seen from the data mentioned above, it can be inferred that the respondents prefer chocolate flavor which has been ranked * highest times and the second most preferred flavor is butter scotch.

67:? 6&*I,= 6+$A!I &% '[email protected]<) :i/ 0REFERE! 0RICE TA" 0rice Ta+ 5Rs/7 C'* Jo. Co#e Jo. 0arty 0ac) Jo. Fami%y 0ac) Jo. ED8K ;+ ED8E >5 EKDJK B> EKDGK HB 8KD8E 55 8ED9E ++ JKD8BK B" GKDJK "+ 8ED9K ** 9EDBE ** 8BKD8GK *; JKD88K ";

QQRemar)s(

NO -s seen from the data mentioned above, it can be inferred that the respondents generally prefer Cup of #s. +A*,, Cone of #s. +A*+, and 4arty 4ack of #s. >,A**, and (amily 4ack of #s. +,AH,. PV The company should increase the variety in the above mentioned price range.
FACTORS AFFECTI " CO SUM0TIO FACTORS INF-.ENCING CONS.M,TION
2rand Price *lavor (" 8uality Availa9ility Scheme

:iii/

$$"

# "

#%" ##"

$$"

H*

4ra#0rice Scheme F%a&or A'a%ity A&ai%a$i%ity

E:treme%y Im*orta#t E C *,B *> +, 5" "> "5 *,2 ", **H 2" 5; 2B

B *; "* 52 *2 ,5 "+

9 ," *+ *B ,2 ,2 2B

ot At A%% Im*orta#t 8 ,5 ** 2, ,5 ,5 *5

QQRemar)s(

PV

NO -s seen from the data mentioned above, it can be inferred that the respondents generally consider 6uality, !rand and (lavor as the most important factors while consuming ice cream. The important point stems out here is the price factor is not given much importance as compared to !rand and (lavor. owever, this conclusion cannot be generalized, as the samples are taken from urban and semi urban areas. The findings might differ if rural samples are also included.

STATISTICA2 TEST USI " O D0ARAMETRIC HY0OTHESIS JonA4arametric tests are distribution free tests. The ma1or advantage of using nonAparametric test is that they do not re)uire us to make the assumption that a population is distributed in a shape of a normal curve or another specific shape, moreover nonAparametric test are easy to understand and do not demand any type of laborious computations like other tests. & have used sign test that is one of the type of nonAparametric test. The sign test is used for paired data, where positive and negative signs are substituted for )uantitative values to make the computation easier. & have used sign test in 6.*" of the )uestionnaire to verify whether the different factors, like brand, price etc. differ significantly in the importance received from consumers. ypothesis$* W !rand and 4rice X $ There is no significant difference between the importance given to brand and price while consuming ice creams. p , P ,.+ * $ !rand is considered to be more important as compared to price while consuming ice cream.
,

H2

Jo. of respondent P *+, Jote$ !oth brand and price have been rated from + 8e7tremely important9 to * 8not at all important9 by the respondent. & have noted ratings of brand and price and then substituted these )uantitative values by 'O: and 'A' signs. e.g. #espondent !rand 4rice * + " 2 5 + " + + and so on. The total of positive signs P H+ The total of negative signs P "* The total of zero:s P 55 T0T-K P *+, p , P ,.+ ) , P ,.+ n P *,B8Total of positive and negative signs9 pAA P H+I*,B P ,.H,H+ )AA P "*I*,B P ,.2;2+ pAA P Yp)In P Y,.+Q,.+I*,B P ,.,5>B Scal P pAAAp ,I pAA P ,.H,H+A,.+I,.,5>B P 5.2B;+ Ket the level of significance P ,.*, .ign O A ,

,.+

,.5
,.*

H"

*.2>

The value of S tab P *.2> S cal P 5.2B;+ S cal V S tab, so re1ect , and accept *, so brand is considered to be more important factor as compared to price while consuming ice creams by respondents. ypothesis$2 W 4rice and (lavor X $ There is no significant difference between the importance given to flavor and price while consuming ice creams. p , P ,.+ * $ (lavor is considered to be more important as compared to price while consuming ice cream.
,

Jo. of respondent P *+, Jote$ !oth flavor and price have been rated from + 8e7tremely important9 to * 8not at all important9 by the respondent. & have noted ratings of flavor and price and then substituted these )uantitative values by 'O: and 'A' signs. e.g. #espondent (lavor 4rice * + " 2 5 + " + + and so on. The total of positive signs P B5 The total of negative signs P 2, The total of zero:s P BB T0T-K P *+, p , P ,.+ ) , P ,.+ n P >58Total of positive and negative signs9 pAA P B5I>5 P ,.HB )AA P 2,I>5 P ,.25 pAA P Yp)In P Y,.+Q,.+I>5 P ,.,+5
H5

.ign O A ,

Scal P pAAAp ,I pAA P ,.HBA,.+I,.,+5 P 5.>*>

Ket the level of significance P ,.*,

,.+

,.5
,.*

*.2>

The value of S tab P *.2> S cal P 5.>*> S cal V S tab, so re1ect , and accept *, so flavor is considered to be more important factor as compared to price while consuming ice creams by respondents.
67:4 IMPACT '0.3?;34;39;3:) :i&/ - A"!+%TIS+M+,T > SC$+M+S , C ,S&M+%

RECA22 OF A!VERTISEME T( Yes ;5 4ra#%adilal -mul avmor 0thers ME!IA RECA22E! 2+ "B *; *5 o +B TOTA2 *+, o/

:&/

Television and Jewspaper are the media on which the people generally notice the advertisement of ice creams and so could recall it immediately.

H+

:&i/

CAUSES FOR A!VERTISEME T REMEM4RA CE o/ "* 5B *H TOTA2 JC

Ca'se &t impressed you Mou saw it many times &t had good music :i:/ SCHEME AWARE ESS

-s per 6.*" scheme is not given much importance by the respondents while choosing ice cream. This same conclusion is verified in this )uestion3 as most of the people are only aware of the combo pack scheme, that too only of brands like %adilal C avmor. The second scheme recalled is the Diwali offers of above companies. The respondents do not generally recall -mul:s schemes.

QQRemar)s(

NO -s seen from the data mentioned above, it can be inferred that the respondents generally remember advertisement of -mul on television and of %adilal in newspaper. .o %adilal should increase advertisement on television. PV -round ""F of the people do not recall any advertisement of ice creams, so all the ma1or ice cream players should spend more on advertisement. NO -mongst the people who remember the advertisement. the main cause for remembrance is the reinforcement of ice cream advertisement especially through oardings, 404 displays and Jewspapers.
67:9 6%A," P%+-+%+,C+ '0.3A;3B) :&ii/ TY0E OF ICE CREAM 0REFERE! Ty*e !randed <nbranded TOTA2 :&iii/ MOST 0REFERE! 4RA !S o/ *5" ,H 8EK

HB

4RA ! 0REFERE CE

# " %" $%" #0"

Vadilal Amul Dairy Den Havmor

Ra#) Score 8 9 B C Va-i%a% +2 5; 2+ 25 52; Am'% 5* "H 52 ", ">; !airy !e# 2" ", 5* +B "2, Ha&mor "5 "" 5* 52 "+; ote( #ank * is given weight 5 #ank 2 is given weight " #ank " is given weight 2 #ank 5 is given weight * (or E7ample$ %adilal$ 8+2Q59O85;Q"9O82+Q29O825Q*9 P 52; &t can be seen from the score that %adilal is the brand of ice cream that is preferred by most consumers. owever, -mul is also having second highest preference.

4ra#-

QQRemar)s(

PV

NO -hmedabad people generally consume branded ice cream as compared to locally manufactured unbranded ice creams. owever, these responses might be different if the rural and semi urban respondents are included. NO -s seen from the data mentioned above, it can be inferred that in the oligopolistic market of ice creams, %adilal is the market leader and -mul is the challenger. avmor:s market share is significant in -hmedabad and Gu1arat and it is generally preferred brand of youngsters. !ut, its reach is limited to Gu1arat only. PV -ll varieties of Dairy Den are perceived to be costlier e7cept Mums so its penetration is low.

67: A IC+C%+AM A," C ,S&M+% IMA=+%* '0.85) :i:/ MOST RECA22E! WOR! RE2ATE! TO ICE CREAM

HH

WorMummy Creamy Desert Delicious %adilal Chocolate Cool 0thers

Fre@'e#cy *5 ", *> ,> 2" *H

QQRemar)s(

NO /hen the respondents were asked to recall the word that immediately struck their minds when they thought of ice creams, the people generally called it 'Delicious:, so it can be inferred that people consumes ice cream because of its taste. PV &ce cream is also considered as a cooling agent and so the people remember the word cool, even in the hot climate of -hmedabad city. PV .ome of the people also considered ice creams synonymous to %adilal brand. The king cone and vanilla flavor of %adilal are the words recalled immediately by the people. &t shows that %adilal has been successful in occupying consumers: imagery.

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0OST RESEARCH FI !I "S

0OST RESEARCH SWOT A A2YSIS( VA!I2A2 ICE CREAM I !USTRY STRE "TH WEAK ESS There is large number of %adilal is not aggressive in flavors 8H,9 giving customer promotion and advertising. a range of choice. Kack of innovation and &t has the ma7imum range of initiatives to introduce new ice cream products in &ndia. concepts in the area. 8over 2,, .L<s9. Kack of interaction with the 0ne of the oldest retail dealers and handling manufacturers of ice cream of their problems. and hence have a wellA Kack of innovation in established brand name. recently launched flavors /ellAestablished cold chain against -mul and avmor. network of *2 GC( agents, .chemes and offers are not 2+, distributors and *B,,, advertised I promoted retail dealers. effectively to end users at 2arket leader in Gu1arat. large. Gaining market in #a1asthan, <4 etc. 6uality is given utmost importance as depicted in their philosophy 'To provide )uality products and services at an affordable
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price.:

O00ORTU ITY THREAT /ith its loyal dealer network it 0ther companies are taking can forgo into new markets advantage of its slowness in promotion in a misleading the /ith the entry of foreign customers and dealers. players in the market it can go into collaboration with them, Kack of niche. /ith the as they will be willing to be increasing competition it associated with an established would be very difficult to brand name. survive without a niche market. !ecause of its emphasis on )uality it is held high in the avmor and -mul with minds of customers. Thus it competitive flavors and prices can increase the market share. becoming ma1or threat for the company. - favorite with the customers: because of its large variety of Consumers are unaware of flavors and .L<s. half of the schemes and as a result, schemes are not able to !ecause of its leadership in achieve the targets. novelties and impulse items it is the hot favorite with young generations. !y introducing some trendy products and attractive packaging can increase its hold substantially. The ma3or fi#-i#+s o$tai#e- from this research ;or) are as fo%%o;s(

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*. 4eople generally consume ice cream both by going out and bring ice creams at home without any special preference. 2. #espondents consume ice creams generally at night after dinner or in the evening. ". The fre)uency of consumption is less than 2 times per week 8-vg. during the year9, however this increases to 2A+ times depending on seasons. 5. Cones, cups and candy are the most preferred type of ice cream serving, especially among young people. +. The flavors that are liked by ma1ority of consumers are chocolate and then butterscotch. B. !rand is given much importance and ma1ority of consumers consume branded ice cream and when compared to price brand is given more ratings. H. (lavor is regarded as a very important factor by respondents and they are not ready to compromise on their favorite flavors, even if they have to pay high price for it. >. -s far as the recall of advertisement of ice cream is concerned, people recall the advertisement of -mul on television and %adilal in newspaper and oardings. .ome of the people do not recall any ice cream advertisement. ;. %adilal is the most preferred ice cream brand by the people followed by -mul. *,.Consumers: imagery is occupied by the words like delicious, yummy, cool and %adilal when they think of ice cream. Res'%ts of Cross A#a%ysis( & have tried to correlate pair of )uestion from the )uestionnaire to establish association between them and to infer important facts from that. *. Cross -nalysis between Gender and preference of (lavor The total no. of females P +H I *+, 0ut of +H female respondents, "> female respondents 8BBF9 gave rank * to chocolate flavor when they were asked to rank different ice cream flavors and "2 out of ;" male respondents 8"5F9 preferred butterscotch flavor and 25 males 82BF9 prefer chocolate flavor.

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2. Cross -nalysis between -ge and type of .erving

The age group of less than 2, years and 2*A", years generally prefers cone and candy types of ice cream serving, while people between age group of "*A5, prefers cups and family G party packs.
". Cross -nalysis between -ge and preference of (lavor

The people of age group less than 2, prefers chocolate flavor and that of 2*A", also prefers it. -ge group "*A5, likes flavors like butter scotch, ka1u draksh and chocolate. "e#era% S'++estio#s after the research ;or)( *. The selling of family packs and party packs should be promoted more, so that when people bring ice creams at home their preference is in favor of family packs. 8-ll ma1or ice cream players already provide Combo pack schemes.9 &ce Creams should be made available at places where people generally go on outings with family and friends, like restaurants, gardens 8-mul ice cream9, theatres etc 2. 0ffAseason discounts should be increased or the ingredients like mint, basil etc. should be added, so that consumption during winter season does not fall considerably. ". The Electric sign !oards can prove to be an important advertising tool as it is more eye catching and attractive at night under the colorful light. To increase the consumption during other time in a day like in the afternoon, ice cream availability should be increased near the shopping areas, super markets, theatres etc., so its consumption can be increased. 5. &t seems that people are not much aware of the availability of scooped ice cream and sundaes, in ma1ority of the areas of -hmedabad, so advertisement, schemes may prove to be useful to increase their awareness and thus their consumption.

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4I42IO"RA0HY 4oo)s( *. !usiness #esearch 2ethods 4y !o#a%- R/ Co**er > 0ame%a S/ Schi#-%er Tata 2cGrawA ill 4ublishing Company Ktd. Jew Delhi, 2,,2 Edition 2. 2arketing #esearch 4y aresh K/ Ma%hotra 4earson Education, &nc. Jew Delhi, 2,,5 Edition ". and!ook (or /riters C Editors 4y S/ Sri#i&as Rao -hmedabad 2anagement -ssociation -hmedabad, 2,,2 Edition

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We$sites( www.vadilalgroup.com www.indiainfoline.com www.google.com www.amul.com

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