Amulaya Amul

Amul (Anand Milk Union Limited), formed in 1946, is a dairy cooperative movement in India. It is managed by Gujarat Co-operative Milk Marketing Federation Ltd.  

Amul means priceless in Sanskrit. The brand name Amul from Sanskrit Amoolya was suggested by a quality control expert. Amul milk has fetched a greater mileage for itself by introducing ‘The Taste of India campaign.  The Amul milk brand is not built as a product but as a movement to make India the largest producer of milk in the world. It is representation of the economic freedom of dairy farmers. Amul milk has spurred the white revolution of India. The core values of the company are: 

 - To provide remunerative returns to the farmers

 - Give the best quality milk to the consumer

 - The best possible price

Milk is very perishable product so it has to be consumed within 24 hours. In order to avoid wastage Amul converts the milk into SNF and milk solids by evaporating the water, which comprises up to 60-70% of milk contents. This is possible only if the distribution channel right from the producer to the consumer is well organized.

Amul milk followed a unique business model, which aimed at providing 'value for money' products to its consumers, while protecting the interests of the milk-producing farmers who were its suppliers as well as its owners. As milk was a perishable item, the farmer suffered a loss if it was not sold before the end of the day.

Amul bought all the milk offered by the milk producer, made timely payment, and shared with the producers the profit generated from marketing the milk and milk products under the Amul brand name...

Marketing strategy of Amul

Developing Demand

-Limited purchasing power

-Modest consumption levels

- A low cost price strategy products

Distribution Network

-Dry and cold warehouses

-Cash transactions throughout the supply change

Third party service providers

-Core is milk processing, production of dairy products

-Logistics of milk collection, distribution of milk packets, sale of packets through dealers and retail stores.