final project report (company)
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Introduction
Ice cream is one of the most important parts of FMCG sector. It comes
under Food and Beverage segment. The total market value of Ice-cream trade in
India is more than Rs.20000 Cr. and it is increasing day by day. Before 2000-01,
there was very little demand of ice cream in India. But the GDP of India is
increasing in the last 5- 7 years. It has brought a remarkable change in the spending
habits of consumers; it has moved the consumer’s preferences from economic to
premium products. Now a day, people want to spend money on good and quality
products without any hesitation. It is a gain for the food and beverage industry. So
the demand of ice cream is also increasing in India and as a result the ice cream
industry is also improving and developing at an increasing rate. Now a day, there
are six national level companies engaged in dealing with ice cream including two
MNCs.
Ice cream is preferred by all age groups and by all genders. But most of its
demand comes from the teenage and child group.
41%
23%
21%
15%
Consumption of Ice Cream
Teenager Child Adult Old Oerson
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The graph is showing the demand of ice cream among the different age level
of consumers.
As per above data chart, the consumption of ice-cream is more among the
teenagers. Due to the season, trend, advertisement, and some other requirements,
they prefer ice cream much more. At the present time, the 41% of total
consumption of ice-cream is done by teenagers. Children are second most
demandable consumer for ice cream. In the other sense we can say that the
children are the way to turn a person’s mindset for purchasing of goods. Present
time, there are 23% of total consumption of ice cream is done by children. From
the last few years, the demand of ice cream is increased among the service persons,
college students, sports persons etc. the 21% of total consumption of ice-cream is
made by adult persons. There are some flavors of ice-cream like strawberry,
chocolate etc are most preferred by old peoples. 15% of total consumption is done
by old persons.
Now in consumption of ice cream there are three basic stages.
1. Pre-purchase:- Brand image, Health issues and suitability:
Brand image of the ice cream - The consumer considers the kind of image the
brand that he is going to purchase depicts. It has to suit certain status symbol,
quality and any other personal brand requirements that the consumer may have. It
is important that the brand maintains good will, satisfactory to the consumer.
Health Issue to ice creams relating-The modern consumer is highly health
conscious and is becoming aware of the rising health issues and its impacts. It is
important that the brand satisfies this need of the consumers and ensures health
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related gains rather than losses. About which we will be discussing further in this
report.
Suitability – The product should suit the taste, flavor and ingredients that are in
line with the consumer needs and wants.
2. Purchase:-Price, Environment and Service:
Price of ice cream -Price should be affordable and the product should provide
money’s worth in terms of quality, quantity and consumer satisfaction. As kids
also form a main segment of our section a proper care should be given as far as
pricing is concerned.
Environment-The environment should be such that the consumer wants to stay
there and spent some quality and quantity time.
Service- The service should be fast so that the customer waiting time should be
less and leads to their satisfaction and results in formation of good brand image.
3. Post-purchase:- Quality, Satisfaction and Store experience:
Quality of ice cream – the quality of the ice cream delivered certainly plays a vital
role in determining whether the customer will re purchase the brand or not. The
quality and taste of ice cream determines the satisfaction level of the customer and
hence plays a vital role in determining his approach towards the product.
Satisfaction from ice cream- well satisfaction is a holistic picture the total
experience of the customer with the brand considering various factors as
mentioned above and then finally arriving at a conclusion saying whether he is
satisfied or not from the product.
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Now for the sale of ice cream market is generally divided into two different
types.
Retail Market
Vending Market
In the retail part the customer has to go to the selling unit for the purchase,
but in vending part the unit comes to the customer. The total sale of ice cream is
dependent on these two parts. In the total sale share of retailing is bigger than
vending. Share of vending market is around 17% of the total sales of ice cream
market.
Background of the Project
Overall Kolkata Ice cream market & share of Mother dairy:
Ice cream market in Kolkata is one among the large markets in India. Many
national companies like Mother Dairy, Kwality Walls, Amul and Vadilal are
present in this market. Along with these companies there are many local
companies like Metro Dairy, Rollic and Coolfi who has a very large share in the
market. Ice cream market in Kolkata generates revenue of approximately 100 cr.
Rupees each year, out of which the share of vending is around 15 to 20%. The
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share of vending is less due to less strength of vending of many national players
and absence of vending of local players like Metro Dairy.
Mother Dairy is present in the Kolkata for last three to four years. It also has
a growth rate of around 45 to 50%. But still its market share is about only 7 to 8%
of the total ice cream market of Kolkata and it’s having only 20-25% share in the
vending part. The biggest share in the vending market is being held by Kwality
Walls which is more than 45%.
Company Background of Mother Dairy:
Mother Dairy was set up in 1974 under the Operation Flood Program. It is
now a wholly owned company of the National Dairy Development Board (NDDB).
Mother Dairy markets & sells products under different brands like Mother
Dairy, Dhara and Safal at a national level through its sales and distribution
networks. The Mother Dairy brand contains a range of milk and milk products like
Ice creams, Curd, Cheese and Butter, the Dhara brand contains edible oils and the
Safal brand contains a range of fresh fruits & vegetables, frozen vegetables and
fruit juices.
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Mother Dairy sources significant part of its requirement of liquid milk for
production of different products from dairy cooperatives. Similarly, Mother Dairy
sources fruits and vegetables from farmers / growers associations for the Safal
range. Mother Dairy also contributes to the cause of oilseeds grower cooperatives
that manufacture / pack the Dhara range of edible oils by undertaking to nationally
market all Dhara products.
The company derives significant competitive advantage from its unique
distribution network of bulk vending booths, retail outlets and mobile units.
Mother Dairy ice creams were launched in the year 1995. Initially Mother
Dairy introduced two brands of ice creams, Mother Dairy and Chillz. These two
brands have shown continuous growth over the years and today boast of
approximately 62% market share in Delhi and NCR.
Mother Dairy launched its complete range of ice cream products and started
marketing in Kolkata on 16th June, 2005. It used two methods for marketing and
sales of ice creams which are retailing and vending. In Kolkata the share of Mother
Dairy ice cream is around 7 to 8% of the total ice cream market. Last year the sale
of its ice cream in Kolkata is around 6 to 7 Cr., where the share of its vending part
is around 2 to 2.2 Cr... This gives a clear picture that in the total sale of Mother
Dairy contribution of vending is around 25%.
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75%
25%
Share of Vending In Total
Retail Vending
Now in the total sale in the ice market of Kolkata by vending channel is near
about 15 to 17 Cr. Rupees. Hence it can be clearly seen that the share of Mother
Dairy Vending is around 14 to 15%.
86%
14%
Total Sales by Vendors in Kolkata
Others Mother Dairy
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But in the number of carts the total strength of carts in Kolkata is around
1500.Among these carts of Mother Dairy is in 265 and is growing at a rate of 15%.
It shows an 18% share of Mother Dairy in number of carts.
82%
18%
Share of Mother Dairy in Total No. of Carts
Others Mother Dairy
Project Objectives
Tasks for Mother Dairy:
a. The task this year for Mother dairy is to “win Kolkata Vending” at any
cost i.e. to grow in Kolkata market by 150% and thereby bridge the gap
with Kwality walls, the main player. This will be done by focusing on all
tasks that make the brand more salient, available, visible and acceptable
by both consumers and vendors alike.
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b. Kolkata is price sensitive market therefore it is essential to understand the
dynamics of market.
Key competitor market analysis:
a. Analysis of different methods of Kwality Walls in
Promotions
Visibility
Launches and Re-launches
Supply Chain etc.
b. Analysis of methods applied by Kwality Walls to retain their large
number of vendors.
Company Background of the competitor (Kwality Walls):
Kwality Ice Cream is the pioneer in the Indian ice-cream
manufacturing industry and in 1956 became the first company in the country to use
imported technology for manufacturing ice-cream on a commercial scale. As the
ice-cream industry exploded in India, in 1995 Kwality Group joined hands with
Hindustan Lever Limited and then there was no looking back.
The Indian consumer market was introduced to “KWALITY WALLS” – the
result of a collaboration between global brand Walls and the leading Indian ice-
cream brand Kwality. Though the two giants eventually parted ways, the
collaboration made Kwality a household name and created deep in roads for the
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brand in the consumer market. Today, Kwality is not just a brand – it is the ice-
cream associated with the Indian summer; it’s the first choice in ice-cream for any
child or adult during the scorching Indian summers. Kwality ice-creams are trusted
not only for their rich, creamy flavors, but also for their trusted quality and
nutritious food value.
The Indian ice cream market is estimated to be around Rs 1500-2000 Cr.
with the organized market hovering around 600 Cr... Kwality Wall's had a market
share of around 40% of this segment. Although HLL and Amul is claiming
leadership in the Indian ice cream market, the fact is that the market is highly
fragmented and increasingly commoditized.
Kwality Walls focuses on key consumer markets (the top-20 cities) and has
a three-pronged strategy in terms of availability, affordability and acceptability."
Kwality Walls has focused on cities and impulse products such as Feast and
Cornetto. According to it, since most ice-cream consumption is out-of-home, an
increase in the number of outlets would play a key role in the sales. To cater to the
growing incidence of malls, the company aims to provide high-end value-added
products to its customers. Its current ice-cream portfolio consists of Cornetto,
Feast, Viennetta, Sunshine Zing Cones etc...
In order to drive volume by overcoming the price barrier, HUL has
employed internal cost engineering and process innovations for Kwality Wall's to
create products such as Cornetto Choco Fudge sold at Rs 15.
In Kolkata market Kwality Walls is at a very strong position. It has more
than 2000 retail outlets and has tie up with many companies and food chains. In
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vending also it has more than 675 carts which is around 45% of the total strength
of vending in Kolkata and is targeting to grow them by another 200.
45%
55%
Share of Kwality Walls in No. of carts in Kolkata
Kwality Walls Others
In terms of sales also vending channel of Kwality Walls has a sale of more
than 10 Cr. and is growing at a rate of 27%.
Project Methodology and
Design
Meaning:
Research is an art of scientific investigation; research is the systematic
method consisting of understanding the problem, collecting the facts and data,
analyzing the facts and reaching certain conclusions either in the form of solutions
towards the concerned problem or in certain generalization for some theoretical
formulation.
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Research design:
The research undertaken this case was descriptive in nature. Considering the
nature of the research the survey method was adopted. In the survey personal
interviews were conducted and a structured questionnaire was administered during
the interviews.
Sample size:
From the population of various ice cream vendors of both Mother Dairy and
Kwality Walls in Kolkata, sample of 80 from Mother Dairy and 70 form Kwality
Walls was taken for the study.
Sampling method:
In this case Convenience Sampling was used because the area for the
research was very large. Moreover the population size was also very large to
collect data because vendors are not fixed at any place because they have to go to
different places for sale. So it was best to use convenience sampling.
Data sources:
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The nature of data collection was both primary and secondary. The Primary
data for the project was collected while surveying vendors and distributors. The
methods for the primary data collection were observation and survey. The
Secondary data was collected from sales records and price lists etc.
Data analysis:
Data analysis was done mainly from the data collected through the vendors
and distributors to understand the factors affecting the satisfaction of the vendors
as well as sales. The data collected from secondary sources was also used to
analyze the conditions of Mother Dairy and Kwality Walls in the market.
Limitations
Despite having taken all the care in the process of project it is very
necessary to know the limitations of the study.
The following are the limitations of this research project.
Vendors are not fixed to places; hence finding them is a problem.
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Kolkata is widely spread to cover every area.
The sample size taken was small because of time constraints.
Convenience sampling used here has its own limitations.
The respondents might have resorted to quick and abrupt answers to
terminate the quickly.
Comparative Analysis between Mother Dairy and Kwality
Walls
Analysis on 4 Ps:
Products & Prices:
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Market in Kolkata is highly price sensitive due to its variations. It is one of
the oldest metros of India. The variety of people living makes it more complicated
as a market. There are areas like Salt Lake, Alipur, BBD Bagh, Park Street etc.
where the economic class of people is high. People living in those areas basically
belong to Upper Class and Upper Middle Class. They have a taste for quality and
don’t much care about price of the products. But there are other areas like
Rajabazar, Sobhabazar, Nayapatti etc where price is really much of a concern then
quality of the product. Hence it’s very important to analyze the market
according to the products and their relative prices.
Tables for different products present in Kolkata and their respective prices
for both Mother Dairy and Kwality Walls are given in Annexure – III and
Annexure – IV respectively. Given below is the Diagram to analyze products of
both Companies in greater detail.
Bars Cups Cones Tubs Bricks Gallons0
5
10
15
20
25
Total Number of Products in Different Catagories
Mother DairyKwality Walls
In Mother Dairy Ice creams are basically of 3 broad categories:
Impulse: Cups, Cones, Bars etc.
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Take Home: Tubs, Bricks etc.
Gallon
In vending most of the sales comes from impulse items. In this category of
ice creams Mother Dairy has 22 products in Kolkata where as Kwality Walls has
33 products. In vending variety is really important and these high varieties of
products help Kwality Walls to match with the demand in the market. If there is a
high demand of certain type of product then vendors of Kwality Walls have a large
number of options to place before the customer where as our vendors don’t have
that capacity.
Analysis of Impulse Items:
But according to Price, products of Kwality Walls are higher in price then
Mother Dairy, which is a major area of concern in Kolkata. In areas of high price
dependence like small localities, schools etc sale of products less than 10 or 15
rupees is more. In this segment Kwality Walls has less products then Mother Dairy
which is an advantage for Mother Dairy. Kwality Walls also don’t have Culfi items
which are the most preferred products of the Marwari and Muslim people, and in
Kolkata there are certain areas where population of Marwari and Muslims are very
high. Now in the other part where sales of high end products are more like Cones,
Kwality Walls has an edge over Mother Dairy due to its high variety of products,
especially due to Cornetto which is a brand itself and is in high demand due to its 9
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varieties and heavy promotion. But the price of Cornetto is much higher than the
cones produced by Mother Dairy. In high end sticks also Kwality Walls has more
number of products then Mother Dairy with many varieties like Zap, Bubble
Boom, Feast, Twister etc. to attract kids because they prefer these items most.
But in cups Mother Dairy is almost in equal position with Kwality Walls. In
cups Mother Dairy has 7 products and Kwality Walls has 8 products. But price of
small Vanilla cup of Kwality Walls is higher than Mother dairy which is one of the
most preferred products among kids.
Analysis of Take Home Items:
Another type of product sold by vendors is the Take Home packs or Blokes
or Tubs which are generally packs of 500ml to 1000ml. These products are
basically sold for purpose of consumption by the whole family or for party
purpose. In this section Mother Dairy has 19 products in Kolkata as compared to
17 products of Kwality Walls, which shows an almost tie in this section according
to no. of products present. But prices of products of Kwality Walls are much
higher than Mother Dairy. Also introduction of new products like Sugar Free Tubs
by Mother Dairy is going to help the company to gain a strong hold in the market
as there is no such product present in Kwality Walls and Sugar Free products are
specially preferred by the Diabetic persons and members of family with higher
age.
Analysis of Gallon Items:
In gallons Kwality Walls has 24 products where as Mother Dairy has only 7
products. But gallons are not much of a concern for vendors as they are generally
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sold by the retailers for party orders or by Ice Cream parlors. Kwality Walls has
this amount of gallon variety to supply the parlors with which it has the tie-ups.
Again in this section also price of Kwality Walls is much higher than Mother
Dairy.
Place:
Kolkata is one of the oldest metros of India and is widely spread in all
directions. Basically Kolkata can be divided into 4 regions:
NORTH KOLKATA
CENTRAL KOLKATA
SOUTH KOLKATA and
HOWRAH AND OTHERS
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North and South Kolkata is covered with apartments, malls and residential
complexes etc., where as Central Kolkata and Howrah is basically covered by
offices, schools, markets and old colonies etc… The apartments, malls, schools etc.
requires more number of carts at a centered location because these places are
centers for huge customer gatherings, where as markets and colonies are widely
spread and customers are also scattered, hence requires more carts to cover these
areas. Because of these diversities sales of Ice cream also varies to greater extent in
these areas. Hence it’s necessary to analyze the market according to places.
To start with the analysis let’s have a look at the distributors of Mother
Dairy and Kwality Walls and their respective areas.
Distributors of Mother Dairy:
Serial No. Distributors Address No. of Vendors
Total Working
1 Das Enterprise Behala 30 25
2 Sai Udyog Maniktala 10 10
3 Binny Enterprise Salt Lake 8 7
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Shyam Bazar 7 7
4 Siddhi Vinayak Santoshpur 10 9
5 Dry Ice Baguiati 10 8
6 Star Enterprise Rajpur Bazar 5 5
7 Rabindra Tolygaunge 10 10
8 Mithu Shree Barakpur 15 14
9 Maa Manasa Sealdah 10 10
10 SS Ice cream Malikpur 5 5
11 M.K. Enterprise Bankada 52 50
Total 172 160
Distributors of Kwality Walls:
Seria
l No.
Distributors Address No. of
Vendors
Other Areas Annual
Sale (Cr)
1 S. K.
Enterprises
Khidirpur 100 2.2 Central
2 Nuteen Lohapur 60 Port Circus 1.6 Unionary
3 Universal Moulali 50 1.9 Vending
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College
St.
28
4 M. M.
Enterprises
Jadavpur 71 Dhakuria,
Salimpur
1.7
5 Kolfi Behala 45 0.8
6 Sen
Enterprises
Ravikuthi 35 Rajpur 0.8
7 Gouri Saltlake 60 1
Total 449 10
As observed from the tables Mother Dairy has more number of distributors
then Kwality Walls. But number of carts present per distributor of Mother Dairy is
much less then Kwality Walls. The distributor with highest number carts of Mother
Dairy is having 52 carts where as it’s 100 for Kwality Walls. In Kwality Walls
minimum number of carts of a distributor is 35 which are very much nearer to
Mother Dairy’s biggest distributor in vending. This strength of Kwality Walls
allows them to cover more areas and also allows them to place more vendors in
high footfall areas.
To analyze the market of Kolkata in greater details let’s have a look at the
areas of some of the distributors, their vendors and the strength of the competitors
in those areas.
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Distributo
r
Serial
No.
Area No. of Carts
MD KW Coolfi Roli
c
Amul Vadilal
Das 1 Ajanta Cinema +
Police Quarters
1 2
(Behala) 2 Railway Colony 2 5 1
3 Chaterjee Colony +
New Alipur
1 4
4 Diamond Park to
Tolygaunge
1 7 4
5 Kalighat + Chetla 1 8
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6 New Alipur 1 6
7 Bhawanipur 1 5 5
8 Mominpur +
Khidirpur
1 8
9 Taratala 2 6
10 Garden Bridge 1 3 8
11 Tolygaunge 2 8
12 Sarsona 3 5
13 Thakurpukur 3 7 2
14 Jadu Colony 3 2
15 Behala 6 8
Total 29 84 20 0 0 0
Distributor
Serial No.
Area No. of Carts
MD KW Culfi Rolic Amul Vadilal
Sai Udyog 1 Hathi Bagan + Phul Bagan (No. 14)
1 4 1 2
2 Hathi Bagan + Joda Bagan
1 3 1 2
3 College Street 1 3 2
4 Bada Bazar 1 6 2 4
5 Bagmari 1 3
6 Salt Lake (Sector -V)
1 5
7 Kakurgachi 1 6 2
8 Phul Bagan 1 5 1
Total 8 35 7 10 0 0
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Distributor Serial
No.
Area No. of Carts
MD KW Coolfi Rolic Amul Vadilal
Binny 1 Sector -I
(CA,DA,DC,DB)
1 3
(Salt lake) 2 Sector -I
(AA,AB,AC,AD,AE)
1 3
3 Sector -I (BB,BC,BD) 1 2
4 Sector -II
(BK,BL,CK,CL,BJ,CJ)
1 4 2 1
5 Sector -II
(BF,CF,AJ,AH)
1 3 1
6 Sector -III
(GC,GD,HB,FD)
1 5
City Center and Big
Bazar
13
Total 6 33 0 0 2 2
Distributor
Serial No.
Area No. of Carts
MD KW
Coolfi Rolic Amul Vadilal
Siddhi Vinayak
1 Babu Bagan + Salimpur
1 6 2
2 Golf Green + Bijay Garh
1 4 1
3 Big Bazar + High Land Park
2 5 1 1
4 Ambuja + Kolkata Greens
2 4
5 Jadavpur Hawker Market
1 3
6 Santoshpur 1 9 3
7 Abisikta + China Town
1 10
Roaming Vendors 10
Total 9 51 7 0 0 1
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Distributo
r
Serial
No.
Area No. of Carts
MD KW Coolfi Rolic Amul Vadilal
Dry Ice 1 Kestopur + Jagatpur 2 3
2 Baguiati 1 4
3 Haldiram + New City Center
1 3 1
4 DLF + Salt
Lake(Sector -V)
2 5
5 Bangur + Lake Town + Mager
Bazar
1 4
6 Big Bazar 1 3 3
Total 8 22 0 0 0 4
Distributor
Serial No.
Area No. of Carts
MD KW
Culfi Rolic Amul
Vadilal
Rabindra 1 South City Mall 4 5
2 Kalighat + Diamond City
2 4 1
3 Anwarshah + South City Garden
1 4 2
4 Tolygaunge 2 3
5 Kudghat + Kavi Nazrul Metro
1 4
Total 10 20 3 0 0 0
Distributo Serial Area No. of Carts
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r No. MD KW Coolfi Rolic Amul Vadilal
Maa
Manasa
1 Indian Museum +
New Market
1 10 2
2 Elliot Park 1 4 2 1
3 Chandani Market 1 10
4 Sealdah 1 12 3
5 Park Circus 1 4 3 1
6 Malik Bazar 1 6
7 Baligaunge 2 7 4
8 Tapasya 1 5
9 Padapukur 1 6
Total 10 64 14 0 0 2
Grand Total No. of Carts
MD KW Coolfi Rolic Amul Vadilal
80 309 51 10 2 9
(These tables are generated from the questions asked to the vendors of Mother Dairy.)
From these tables it is clearly observed that the strength of Kwality Walls is
much more then Mother Dairy in every part of Kolkata and also there are some
places where the number of carts of Mother Dairy is almost 1/10 th of the strength
of Kwality Walls. These places where the carts of Kwality Walls are more in
numbers are the places of more sales and are possible places for Mother Dairy to
increase the number of vendors.
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Other national players like Amul and Vadilal and Local players like Coolfi
and Rolic are present in the market of Kolkata, but their strength and reach is much
less then Kwality Walls.
Promotion:
Promotion decisions are those related to communicating and selling the
products to potential consumers. Promotions can be done in two broad ways
product promotion and sales promotion. Since the cost of promotion can be large
in proportion to the product price, a break-even analysis should be performed when
making promotion decisions. It is useful to know the value of a customer in order
to determine whether additional customers are worth the cost of acquiring them.
Promotion decisions involve many ways such as advertising, public
relations, media types, schemes etc.
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Promotional Strategies of Mother Dairy:
As we know promotional strategy forms a great part in selling up the
product of any brand. In Kolkata, Mother Dairy applied many promotional
strategies when it was launched. But at present it does not have any effective
strategy to promote its products. Mother Dairy does not have any advertisements in
the nation or local television channels. It also does not have any hoardings in
Kolkata. The only way of promotion applied in Kolkata is the point of sale
materials like danglers, posters and price boards. But these are not enough for a
metro like Kolkata as they come in limited amount like twice or thrice a year for
distribution to retailers and vendors. The main reason behind the less supply of
these materials is presence of production house of these materials outside Kolkata.
Promotional Strategies of Kwality Walls:
Kwality walls promote its products to great extent using every possible
medium of promotion like in nation and local television channels. It is also
sponsoring many television programs in television channel like MTV, VTV and
Cartoon Networks etc… Kwality Walls is basically targeting those channels which
are preferred by kids and youngsters. It also has a huge supply of point of sale
materials to its retailers and vendors because of the presence of its production
house of these materials at Kolkata. These promotional techniques provide Kwality
Walls with a greater visibility which is very important for the growth.
Consumer Schemes provided by Kwality Wall:
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Apart from these promotional strategies Kwality Walls also applies many
schemes for consumers as a way of sales promotion.
Some of the schemes for consumers are:
o Scratch & win in price money for min. 10/- purchase.
o Talk time free
o CCD Pass
o Movie Ticket
o Shoppers Stop
o Mobile
o Laptop
All these prizes are provided to the consumers depending on their amount of
consumption of different products of Kwality Walls.
Different Schemes for Vendors:
In the ice cream market sales is not equal throughout the year. In Summer
season sales of ice cream is maximum, but in the off seasons like Winter and Rain
sales is very low. This change of sales in the off seasons affects the vendors very
much because they earn their lively hood on daily basis from the commission
earned from daily sales.
Hence to retain vendors in the Kwality Walls provides many schemes for
vendors during the on and off seasons.
Basic vendor’s schemes applied by Kwality Walls:
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o Washing allowance
o Barber allowance
o Sweater/Raincoat once a year
o Shoes & Chappals once a year
o Shirt, Pant, Cap twice a year
o 1% of monthly sales on 26 days attendance.
Other Schemes:
o On Nov, Dec, Jan, Feb, July, Aug 3% of total MRP sale or 500/- per month.
o Bonus with attendance yearly (over yearly sales)
Days/Sales Growth <10% >10% >20%
275 1.25% 1.35% 1.45%
290 1.35% 1.45% 1.55%
300 1.45% 1.55% 1.65%
Analysis of Schemes for effectiveness:
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The basic schemes provide the vendors with many of their basic needs. It
also provides them with an additional income of 500 to 1000 rupees per month.
The additional off season and yearly schemes provides the vendors with an income
of minimum 500 rupees in the winter and rainy seasons and a bonus of minimum
4000 to a maximum of around 10000 rupees at the end of the year. These
additional incomes hold the vendors throughout the year and helps Kwality Walls
to retain them in the off seasons.
Supply Chain Analysis:
Supply Chain is one of the most important factors for marketing because it is
a system of organizations, people, technology, activities, information and resources
involved in moving a product or service from supplier to customer. So it controls
all the activities between the supplier and the customer.
Now to gain a competitive advantage in the supply chain of the Ice cream
vending let’s have a look at the Supply chain system of Mother Dairy and Kwality
Walls.
Supply Chain Diagram of Mother Dairy:
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Factories
Supply Chain Diagram of Kwality Walls:
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C & F A(Carrying and Forwarding Agent)
VIJAYAWADAKOLKATA NASIK
Factories
KOLKATA NOIDA
C & F A(Carrying and Forwarding Agent)
Distributor Distributor Distributor
VENDORS
VENDORSVENDORS
VENDORSVENDORS
VENDORS
Supply Chain systems of Mother Dairy and Kwality Walls are almost equal
in basic structure. But there are some differences in the functional processes of
both the companies.
Analysis of Supply Chain system of Mother Dairy:
Mother dairy has its production units or factories at different locations of
India such as Kolkata and Nasik. Production of some of the sticks, cups and take
home packs are produced in the Kolkata plant, rest of the products are brought
from the Nasik plant. After assessment of requirements of different products an
order is placed at the plants. Then the products are delivered to the carrying and
forwarding agent by refrigerated transfer vehicles and stored at the cold storage
placed at Rajabazar. This procedure is always repeated in 1 to 2 days for the
Kolkata plant and 10 to 12 days for the other plant. Then the products are
distributed among the distributors according the orders of the distributors. The
distributors store the products in the deep freezers provided by the company or
their own. The vendors collect the products from the distributor points directly on
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VENDORS
VENDORS
VENDORS
VENDORS
VENDORS
VENDORS
Distributor DistributorDistributor
daily basis according to their requirements. Then they store the products in the
carts which are attached with a freezer which stores them at the required
temperature and then they go to their areas or beats to sell the products to the
customer.
The billing for the distributers is done at C & FA’s depo and then the bill is
sent to Cold Storage for dispatching of the goods to the different distributors. This
billing of the products is done by the distributer himself. The time taken in the
process of billing and dispatching of goods to the distributors is high for Mother
Dairy.
Analysis of the supply chain system of Kwality walls:
Kwality Walls has its production houses at Kolkata, Nasik and Vijayawada.
Many products of Kwality Walls are produced at Kolkata, but all the Cornetto
items are produced at its Nasik plant. Hence supply of ice creams to Kolkata is
done from all the plants as per the assessment by the Kolkata office. The produced
finished goods are sent to the C & FA by refrigerated trucks and stored at the cold
storage unit. From Kolkata plant this transfer process is done at least twice a day
and from other two plants it is done in every 4 to 5 days. Now as per the orders by
the distributors they are distributed among them and vendors gather at the
distributor point everyday and take the products directly from there.
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The billing system in Kwality walls is quite simpler and less time
consuming because at the time of taking order the bill is made and send to the cold
storage by the company personal and then the goods are dispatched to the
distributors as soon as possible.
SWOT Analysis of Mother Dairy:
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Strengths:
Mother Dairy is one of the leading brands in India. It also has a strong brand
image in the ice cream industry. As it has its other units for milk production,
getting raw material for the production of ice cream is quite easy for it. It always
maintains the superior quality in its products and never compromises in the quality
parameters. That’s why it is also well known for its quality.
Weaknesses:
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STRENGTHOne of the best brands in IndiaSuperior in QualityRaw materials are easily available
WEAKNESSLess number of cartsFinancial strength of the distributorsLess availablity of all productsLess man power
OPPORTUNITYCreation of new Vendors and financially strong DistributorsTie up with schools and apartmentsHome Delivery SystemLaunch of new products
THREATGovt. and police rulesRise in Eletricity and fuel priceExisting and New CompititorsChanging Climate
S W O TA n a l y s i s
Mother Diary is comparatively new to the Kolkata market. So it has less
strength in number of carts (265 carts) than its competitors. Mother Dairy has large
number of vending distributors, but man power required to control and guide them
is not sufficient. Mother Dairy has only 2 company personnel for this purpose and
they are responsible for the control of all the distributors over Kolkata. The
distributors of Mother Dairy are not much financially strong to hold enough
number of carts to compete in the market. Also the margin provided by the
company is less than many of its distributors. All the products in Kolkata market
are not produced in Kolkata. Hence there is a problem of availability of products
during the time of high demand. Mother Dairy doesn’t have any methods for large
scale promotion of its products.
Opportunities:
As Mother Dairy is new to Kolkata market it is also having many
opportunities to grow. Its can create new financially strong distributors who can
hold large number of vendors. It can also increase its vending strength by creating
new vendors. Mother Dairy can tie up with schools and apartments to allow the
vendors inside the campus as they are places of high sales for vendors. Mother
Dairy can introduce projects like Home Delivery to improve the sales. It can also
launch new products targeting different type of people and according to their
tastes.
Threats:
Apart from the opportunities in the market there are many threats for Mother
Dairy to sustain and grow in the market. Existing and new competitors are the
KIIT SCHOOL OF MANAGEMENT, BHUBANESWAR Page 37
biggest threats for Mother Dairy. Also continuous changing government rules for
vending can create problems for the vendors. Rise in the price of sugar and other
materials for production is also harmful for the growth. Ice cream is a very delicate
product and can get damaged due to slightest change in the climatic conditions.
Hence changing climate conditions is also a possible threat for Mother Dairy.
SWOT Analysis of Kwality Walls:
Strengths:
Kwality Walls is one of the oldest Ice Cream vending organizations with an
existence of over 15 years. Hence it has the highest number of carts (over 675) in
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STRENGTHBest Brand in KolkataPrompt service in every departmentMaximum number of cartsHigh Visibility and Promotion
WEAKNESSHigh Price of productsLow Margin to the vendorsNo additional Benefits to distributorsLess Supply then Demand
OPPERTUNITYCreation of New Beats/AreasCreation of New DistributorsTie up with Schools and ApartmentsPlacing more carts in high footfall areas
THREATNew CompetitorsIncrease in prices of Sugar and MilkIrregular supply of ElectricityGovt. rules & Unions
S W O TA n a l y s i s
Kolkata. Due to its maximum reach it’s known as the best brand in Kolkata
market. It is very prompt in services in every department starting from supply of
Ice Creams from C&FA to the RS to maintenance of carts. It has the highest
visibility in the market due to its heavy promotional strategies like television
advertisements, hoardings and point of sale materials like canopy, stickers,
danglers etc... It also has sufficient man power to control and guide all of its
functionalities.
Weaknesses:
Key weakness of Kwality Walls is its high price of products. In a price
sensitive market like Kolkata its high price is limiting its capacity to reach all of its
customers. It also provides lower margin to the vendors (16.67%), which is less
than its competitors margin and it’s creating a problem in vendor retention. Also
Kwality Walls does not provide any additional benefits to the distributors, which is
a premier obstacle in new distributer creation. Due to its visibility it has a high
demand in the market, but its production system is not well equipped to meet with
the demand. Hence its supply is less than the demand.
Opportunities:
According to Kwality Walls there are many areas to improve in the Kolkata
market. Hold over Kolkata market can be increased by creating new distributors.
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Also number of vendors in high footfall areas can be increased by creating new
beats for vendors. Schools and apartments are always a place of high sales, but
vendors are not allowed to enter into the premises and outside the premises
opponents are also present. Hence sales can be improved by tying up the schools
and apartments to allow vendors inside their campus.
Threats:
According to Kwality Walls biggest threat for it is the increasing number of
competitors in Kolkata. There also other threats like increase in the price of milk
and sugar used for production, increase in the electricity and fuel prices used for
storage and transportation of Ice Creams. Changing government and police rules
are also threats for vending of ice creams. Unjustified demand of vendor unions
also creates problem. Climatic changes also threats vending of ice creams because
ice creams are very sensitive to temperature and humidity and slight change in
these two can cause damage to the products.
Other Important Issues:
Margin Structure for vendors and Distributors:
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Margin on sales provides the income to the distributors and vendors. So it is
an important issue for consideration.
Company/Margin Distributor Vendor
Mother Dairy 7.5% 17.5%
Kwality Walls 9.2% 16.67%
The table above is giving us a brief idea about the margins provided to the
distributors and vendors of Mother Dairy and Kwality Walls. It can be seen that
the margin for distributors is higher in Kwality Walls then Mother Dairy. But in
Mother Dairy additional Electricity allowance is given to the Distributors, which
are not there in Kwality Walls. This brings us to a tie in margin to the distributors.
In margin to the vendors Mother Dairy is giving more margins to the
vendors than Kwality Walls. But there are many schemes present in Kwality Walls
that provides the vendors with bonus amounts at the end of each month and at the
end of the year. Hence vendors of Kwality Walls are more satisfied with the
margin of Kwality Walls.
Maintenance:
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In the ice cream market various machineries like freezers, carts are heavily
used. The maintenance of these items is area of high concern, because they store
the products at the right temperature and provides a medium to sell them out doors.
In Mother Dairy the maintenance of freezers is done by Western Company
with the company has a tie up for the maintenance of freezers for 5 years. It is a
third party organization hence it also has contracts with other companies. As
number of freezers are growing in the market Western is not able to provide the
maintenance with much efficiency. This is creating a problem for Mother Dairy as
the work of a vendor is totally dependent on the freezer and without which he can’t
go to his area or beat.
Now carts are running vehicles and many times due the conditions of the
roads they broke down. In Mother Dairy, the distributor or the vendor fixes
problems of the carts at their own expense and then sends a claim to the company
for reimbursement. These claims take a time of 15 to 20 days to recover. This is a
long for the distributors and vendors as Mother Dairy’s distributors are not much
financially strong. Hence many distributors delay this work which affects the sales.
But in Kwality Walls every work of maintenance is internally controlled. It
has a specific team to look at the maintenance of freezers and carts. The
distributors or the vendors don’t have to worry about these things. If any problem
in the freezers or carts is located then distributor informs the company personal.
Then the company personal sends someone to fix the problems on the same day or
at a maximum of 2 days. This helps the vendors to go back to the market as soon
as possible and doesn’t hamper the sales.
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Allocation of areas or beats Vendors:
Sales generated from ice creams vary from area to area. Some places where
demand of high end products is more, in those areas revenue generation is also
more. So allocation of area or beat to a vendor is always a big issue for the
company.
In Mother Dairy this allocation is done by the distributor or by the old
vendors. But this system sometimes creates problem like infiltration and partiality.
In high sales area older vendors don’t want to share their market, hence they don’t
allow others to come to that area. This behavior blocks the possible sales increase
of Mother Dairy in those areas.
In Kwality Walls this area allocation is done by company personnel.
Company decides the area or beats for the vendors. This decreases chances of
infiltration and partiality. In high sales areas company allocates more vendors
according to the demand. The beats for vendors are also 50 to 75 meter away from
each other in those areas. But in areas of low sales company allocates less number
of vendors. In those areas allocation of beats is also out of sight of each other
creating less chance of market sharing.
Man power:
Kolkata has a very large market to cover. Hence every company needs right
man power structure to maintain its market in Kolkata.
To understand more let’s have a look at the man power structure of both
Mother Dairy and Kwality Walls.
For Mother Dairy:Area Sales Manager (1)
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Sales Executive (3)
Senior Sales Executive (1)
Junior Sales Executive (3)
For Kwality Walls:
Area Sales Manager (1)
Activation Executive (2) Refrigeration Executive Mkt. Development Officer
Customer Service Officer (11) Support Staff (5) Support Staff (12)
Pilot Sales Officers
It can be seen from the diagrams that number of persons responsible for ice
cream market in Kolkata are less in Mother Dairy than Kwality Walls. In Mother
Dairy only two persons are allocated with the total vending market of Kolkata,
where as in Kwality Walls, they have 6 persons for that.
In Kwality Walls, under the ASM there are 2 AEs and one of them is
allocated with vending network. Now under the AE there are 5 CSOs who cover
the total Kolkata. Kwality Walls has a team for maintenance of carts and freezers
headed by the RE. Another team works to find out new opportunities in market and
is headed by MDO.
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This strength of Kwality Walls in terms of man power provides it with a
strong hold in market.
Availability of Products:
To meet with the demand in the market all products must always be
available to the company.
In Mother Dairy product availability is a major area of concern. Mother
Dairy has its production house at Kolkata but this doesn’t manufacture all type of
items which are present in Kolkata. The rest of the products are brought from
Noida production house. The time duration between each delivery from there is 10
to 12 days. But the sales of some of the products are so high that the stock is
finished within 4 to 5 days. Hence for the rest of the time the products are out of
stock till the next delivery is arrived. This is a great barrier to maintain continuous
demand in the market and to retain the customers, because customers can switch to
other options very easily.
Kwality Walls is also facing the same problem despite of there more
deliveries. The time duration between each delivery of Kwality Walls is 4 to 5
days. But Kwality Walls is having more number of products in the market. So if
one type of product is unavailable then other products can compensate the demand
for some time. This is a great advantage for Kwality Walls.
Billing System:
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In marketing proper utilization of time and resources always plays a crucial
role in growth of a company. But in Kolkata, Mother Dairy is being able to utilize
the time properly due do the weak billing system. For its billing system it is not
using any instant billing techniques. The distributor himself prepares the order
sheet and then he or the company personnel takes that to the C & FA depo. There
bill is prepared for the order and then is sent to the cold storage for dispatch of
goods. From the cold storage the products and the receipt is then sent to the
distributor. This whole procedure is very time taking. Sometimes Junior Sales
Executive has to take the bill to cold store for dispatching of goods to the
distributor.
But in Kwality Walls billing system is lot simpler. It is using instant billing
technique which makes the whole procedure lot simpler. The company personnel
carry a small billing machine with them. At the distributor point the order is placed
and is sent to the C & FA and cold storage instantly. Then the receipt and the
ordered products are sent to the distributor. This saves a lot of time which can be
utilized in other ways for development.
Electricity Bills:
To store ice creams deep freezers are used because ice creams require a
temperature of -180 for storage. These freezers consume a large amount of
electricity for cooling. Hence electricity cost is important area of concern for the
distributors.
Mother Dairy provides the distributors with electricity allowance. This
allowance is 15 rupees per freezer or cart or 350 rupees per month, which one is
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lower. This provides a great help to the distributors. But Kwality Walls doesn’t
have any electricity allowance. The distributor has to pay the electricity bill from
his profit.
Future Project of Kwality Walls:
Kwality Walls is planning for a new project named as ‘3600 PROJECT’.
This is a joint venture of both the retail and vending department of Kwality Walls.
As the name shows this project is being developed to increase the visibility and
reach of its products.
(Basic Diagram of 3600 Program)
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CUSTEMORW E
S
N
According to the Project plan Kwality Walls is planning to place its vendors
and retailers in such a way that at any place customer will be able to find then in all
directions within 100 meter range. That means if the customer is standing at the
center of a circle then in all four directions North, South, East, West he will be able
to find either a vendor or a retailer within 100 meters of radius. This project is
going to increase the visibility and sales of Kwality Walls because customer is
going to find Kwality Walls in every direction with an easy reach to the products.
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Analysis of Vendor Satisfaction Level
In Vending satisfaction of vendors is very important because if they are not
satisfied then they can easily switch to other companies, and in vending the beats
are of the vendors not of the companies. The vendor is able to place cart of any
company at that point or area and other vendors can’t place their carts at that
location. Finding new vendors is also a very hard task because vending is a
commission based job and the income in it is not fixed.
To know the satisfaction level of vendors of Mother Dairy on different
issues and to gain a competitive advantage over the biggest competitor Kwality
Walls an analysis is done. For this analysis a questionnaire is made which contains
questions on different issues. Then the response of the vendors are registered
according to the questionnaire and analyzed. The questionnaire is provided in the
Annexure-I. For a competitive analysis venders of both Mother Dairy and Kwality
Walls are surveyed with the same questionnaire. Number of vendors surveyed of
Mother Dairy is 80 and number of vendors surveyed of Kwality Walls is 70.
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Different issues considered and their analysis:
Product Quality:
Mother Dairy Kwality Walls0%
10%20%30%40%50%60%70%80%90%
100%
71 68
9 2
Not SatisfiedSatisfied
The table shows a 88.75% satisfaction level of Mother Dairy vendors in
terms of quality of the products which is 97% in Kwality Walls. According to the
unsatisfied vendors of Mother Dairy the only problem with the products is that
they melt quickly then products of other companies.
Product Variety:
Mother Dairy Kwality Walls0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
27
63
53
7
Not SatisfiedSatisfied
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In Product Variety Mother Dairy has only 34% satisfied vendors where as in
Kwality Walls it is 90%. This is because Kwality Walls has almost 50% more
products in Impulse segment which is mostly sold by vendors.
Product Price:
Mother Dairy Kwality Walls0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
31 26
49 44
Not SatisfiedSatisfied
In Product Price vendors of both the companies are almost equally
unsatisfied. Unsatisfied vendors of Mother Dairy are 62% and of Kwality Walls
are 65%, because in Kolkata market prices of local company products are lower.
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Promotional Efforts:
Mother Dairy Kwality Walls0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
7
67
73
3
Not SatisfiedSatisfied
This is the case where vendors’ responses are totally opposite for both the
companies. For Mother Dairy satisfaction level is below 10% where as for Kwality
Walls it is above 95%. This is because Kwality Walls has various promotional
strategies like TV advertisements, Hoardings etc., but in Mother Dairy they are
absent and the point of sale materials are also insufficient.
Demand in Market:
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Mother Dairy Kwality Walls0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
74 65
6 5
Not SatisfiedSatisfied
Demand in market is almost same for both the products as both the products
are superior in quality. For both the companies, vendors’ satisfaction level due to
product demand is above 90%.
Availability of Products:
Mother Dairy Kwality Walls0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
22
54
58
16
Not SatisfiedSatisfied
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From the diagram it can be clearly seen that vendors of Kwality Walls are
more satisfied in terms of availability than vendors of Mother Dairy. The reason
behind this is the huge variety of products of Kwality Walls and also the
production and supply system of Kwality Walls.
Margin and Schemes for Vendors:
Mother Dairy Kwality Walls0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
4
17
76
53
Not SatisfiedSatisfied
Vendors are never satisfied with the margin or schemes of any company.
But in Kolkata vendors of Mother Dairy are less satisfied then Kwality Walls.
Margin of Kwality Walls is less than Mother Dairy but additional schemes present
at Kwality Walls make the vendors more satisfied with the company. But the
overall satisfaction level of vendors of both the companies is less than 25%
because the local companies like Coolfi and Rollic are giving a margin of upto
25% of the sales to the vendors.
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Maintenance of Carts:
Mother Dairy Kwality Walls0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
46
55
34
15
Not SatisfiedSatisfied
Maintenance of carts in Kwality Walls is done by the company, but in
Mother Dairy, the company has a tie up with Western company for maintenance of
carts. Hence more vendors of Kwality Walls are satisfied with the maintenance
then Mother Dairy and the gap between both the companies is around 20%.
Area or Beat Allocated:
Mother Dairy Kwality Walls0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
67 56
13 14
Not SatisfiedSatisfied
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Nearly 80% vendors of both the companies are satisfied with their area or
beat. At present conditions satisfaction level of Mother Dairy’s vendors is slight
higher then Kwality Walls. But Mother Dairy has less than half number of vendors
of Kwality Walls. Hence in future after growth in the number of carts this will be a
problem for Mother Dairy.
Satisfaction with the Company:
Mother Dairy Kwality Walls0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
47
58
23
12
Not SatisfiedSatisfied
On analysis of overall satisfaction with the company, around 65% vendors
of Mother Dairy are satisfied with the company. But this satisfaction level is more
than 80% for Kwality Walls. The main reason behind this is the schemes and
availability of products of Kwality Walls. Hence for Mother Dairy it would be
better to concentrate on these two parameters to satisfy the vendors for future
growth in Vending.
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Factors affecting most:
Among the 150 vendors surveyed almost all gave highest priority to the
margin and schemes because it gave them the direct income. Then for the second
factor which is important for the vendors, some said availability of products
because according to them if the availability is more than they can sell more and
some said product variety because more variety can allow them to serve more
customers. The other factors are not so important for them as according to them
they don’t provide direct income or support for income to them.
Conclusion
This project was about the ice cream segment of Mother Dairy Pvt. Ltd. in
Kolkata that is growing at a very slow rate in its vending market due to intense
competition from its main competitor Kwality Walls. So in this project different
parameters on which vending depends are studied and analyzed. Also the reasons
for the success of Kwality Walls are also analyzed. The final outcomes of the
project are, the key parameters on which vending is dependent are Margin to the
vendors, availability of products and the key strengths of Kwality Walls are
better schemes for Vendors and more product variety and availability. The
ice-cream market is a highly competitive market and also the market in Kolkata is
very sensitive towards price. So the organization should put extra efforts for
finding solutions for the existing drawbacks in vending and for finding new
opportunities for its improvement and growth.
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Recommendations
1. Home Delivery System:
Today’s customers don’t want to go out; they want everything at their
doorsteps and Mother Dairy can fulfill this need of customers by starting home
delivery system with its vending network.
Home delivery system requires medium of connectivity, hence starting of
home delivery system requires some initial investment. Today mobile phones are
very cheap and come at a price of 1000 rupees only. The company can provide the
vendors with mobile phones. These mobile phones are long term investment for
the company as they work properly for at least 4 to 5 years. The company can also
keep some security from the vendors for these phones to prevent theft and can
make an agreement that the vendor has to return the phone if he wants to leave the
company.
The mobile phone numbers of the distributor and the vendor can be showed
on the cart of the respective vendor for the purpose of customer reference and
contact. The company can also print leaflets showing the numbers of the vendors’
area wise and product and price list. These leaflets can be distributed among the
customers by the vendors.
The company can put some minimum purchase amount like 50 rupees or can
put some extra charge of 5 rupees for the customers to avail this facility.
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Through this facility Mother Dairy can increase its customer base because
no other ice cream company is providing this facility in Kolkata. This facility will
also increase customer awareness about the products of the company and can also
act as a medium of instant promotion.
2. Promotion on Radio:
Kolkata is in second position in the world for highest floating population.
Approximately around 40 lakh people are always on the roads of Kolkata. On
roads most people prefer listening radio. Radios are now attached with cell phones
and in autorikshas, taxis and buses they are always on. Hence it is an important
medium for promotions.
Mother Dairy can promote its ice creams on different local radio channels
because they are highly effective and are also much cheaper than the television
commercials.
3. Introduction of instant billing system:
In Mother Dairy, its billing system is making the supply chain system time
consuming. So the company can use instant billing to overcome this problem. For
this the company must provide its employees with instruments of instant billing
like palmtops, through which they can place the order and generate the bill
instantly. Through this they can also send the order to the C & FA for early
dispatch of products. This will make the whole process simpler and faster.
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4. Introduction of new schemes for vendors:
In vendors satisfaction is highly important because they are product sellers
and through their efforts the sales of Mother Dairy can grow. The biggest problem
for the vendors is fewer sales in the off seasons like winter and rain. So during
these periods income of the vendors is less and as a result many vendors quit
vending during this time. So the company must provide them with some schemes
to generate some extra income during the off seasons. The company can set targets
for vendors in form of attendance and on completion of the target the vendors will
be able to get some bonus. This will generate an interest in the vendors to go to the
market daily, which will increase the sale of Mother Dairy.
5. Contact to labour organizations for finding new vendors:
Finding new vendors is a big problem in the growth of Vending. Vending is
a commission based job and it will not guarantee a fixed income every day. So
people generally don’t want to work as vendors.
To solve this problem Mother Dairy can contact with different labour
organizations that provide workers for different jobs. Company can get vendors
from these organizations on contract basis.
KIIT SCHOOL OF MANAGEMENT, BHUBANESWAR Page 60
Bibliography
www.motherdairy.com
www.nddb.org
www.kwalitywalls.in
www.hul.co.in
www.wikipedia.org
Marketing Management by Kotler
Annexure – I
KIIT SCHOOL OF MANAGEMENT, BHUBANESWAR Page 61
Vendors Questions
1. Vendor Name: ___________________
2. Distributor: ____________________
3. How long you are with Mother Dairy? ____(in months)
4. Are you allocated in a particular area or a particular Beat? ___________
5. If area then which area you cover? _________________________
6. If beat then where is your beat located? _________________________
7. Are you satisfied with the following things? (Yes or No)
Product Quality: Y/N _ ______
Product Variety: Y/N _______
Product Price: Y/N _______
Promotional Efforts: Y/N _______
Demand in Market: Y/N _______
Availability of products: Y/N _______
Margin and Schemes for Vendors: Y/N _______
Maintenance of Carts: Y/N _______
Area/Beat Allocated: Y/N _______
Satisfaction with the Company: Y/N _______
8. Which 2 factors from the above affects you most?
_______________________
9. How many ice cream vendors of other companies are present in your
area/beat?
_________(approx.)
10.Specifically:
KIIT SCHOOL OF MANAGEMENT, BHUBANESWAR Page 62
Kwality Walls-
Coolfi-
Rolic-
Amul-
Vadilal-
11.Anything extra you want to tell us about.
Annexure – II
KIIT SCHOOL OF MANAGEMENT, BHUBANESWAR Page 63
Distributors Questions
1. Agency’s Name: ____________________________________________
2. How long you are with Mother Dairy? _________ (in months)
3. How many carts do you have? _________
4. How many are working right now? _________
5. Have you increased your carts then previous year? Y/N _______
6. Do you have a person to manage the vendors? Y/N _______
7. How you manage the vendors in off seasons when sale is low?
8. Area of coverage:
9. How many deep freezers do you have? _________
10.Are you satisfied with the margin and schemes of mother dairy?
Y/N ______
11.Does company provide you with any long term schemes?
Y/N _______
12.If yes then what are those schemes?
KIIT SCHOOL OF MANAGEMENT, BHUBANESWAR Page 64
13.Is company paying for the maintenance of the carts? Y/N _____
14.Are you satisfied with the cart maintenance provided by the company?
Y/N _______
15.Is company paying for the electricity charges? Y/N ______
16.Are you getting your ordered stock regularly in time? Y/N ______
17.Are you satisfied with the supply chain of the company? Y/N ______
18.Is a company personnel visit you regularly? Y/N _______
19.What about the promotional efforts of the company?
20.Anything extra you want to tell us about.
Annexure – III
Mother Dairy Products with Prices:
KIIT SCHOOL OF MANAGEMENT, BHUBANESWAR Page 65
Serial No Products MRP Vol PerPer Pc Pc (in ml)
Small Cups1 Vanilla Cup 5 502 Strawberry Cup 5 50
Large Cups3 Vanilla Cup 10 1004 Strawberry Cup 10 1005 2 in 1 (Vanilla+Strawberry) Cup 10 1006 Butter Scotch Cup 18 1007 Kesar Pista Cup 22 100
Liclolly8 Orange Bar 5 609 Mango Bar 5 6010 Cola Bar 5 6011 Mango Raspberry Bar 5 60
Kulfi12 Kesar Kamal Kulfi 15 60
Cone13 Choco Cone(Mini) 12 5014 Choco Cone 25 10015 Choco Vanilla Cone 18 10016 2 in 1 Cone 18 10017 Butter Scotch Cone 25 10018 Chocolate Ball Cone 22 10019 Nutty Special Ball Cone 22 100
Bars20 Choco Mini Bar 10 4521 Chocolate Bar 15 6522 Chocotreat Bar 22 75
Tub23 Sugar Free MF Natural Vanilla 80 50024 Sugar Free Mf Kesar Almond 90 500
KIIT SCHOOL OF MANAGEMENT, BHUBANESWAR Page 66
Indian Classic Tub25 Kaju Kishmish Paper Tub 180 100026 Kesar Pista Paper Tub 260 100027 Shahi Meva Malai Paper Tub 180 1000
Fruit Classic Tub28 Strawberry Crush Paper Tub 180 100029 Litchi Surprise Paper Tub 180 100030 Mango Marvel Paper Tub 180 1000
Western Classic Tub31 Cookie Crumb Tub 180 100032 Choco Fudge Tub 180 100033 Rum Cake Tub 180 1000
Bricks34 Vanilla Pk 70 100035 Strawberry Pk 70 100036 2 in 1 Pk 70 100037 Butter Scotch Pk 100 100038 Chocolate Pk 70 100039 Vanilla Caterer's Delite Pk 65 100040 Strawberry Caterer's Delite Pk 65 100041 2 in 1 Caterer's Delite Pk 65 1000
Gallon42 Vanilla Pk 290 400043 Strawberry Pk 290 400044 Vanilla Pk (8% Fat) 255 400045 Strawberry Pk (8% Fat) 255 400046 2 in 1 Pk 280 400047 Chocolate Pk 305 400048 Butter Scotch Pk 375 4000
Annexure – IV
KIIT SCHOOL OF MANAGEMENT, BHUBANESWAR Page 67
Kwality Walls Products with Prices:
Kwality Wall's Products & PricesSerial No
Products MRP
Pcs MRP Vendor's Distributor's
Per Pc
Per Box
Per Box
Price Price
Large Cups1 Vanilla 10 24 240.00 200.00 181.822 Two in One 10 24 240.00 200.00 181.823 Kesar Pista 20 24 480.00 400.00 363.644 Butter Scotch 20 24 480.00 400.00 363.645 Chocolate 12 24 288.00 240.00 218.186 Chocolate Xcess 20 8 160.00 133.33 121.21
Small Cups7 Vanilla 6 18 108.00 90.00 81.828 Strawberry 5 18 90.00 75.00 68.18
Cornetto9 Snackers 12 24 288.00 240.00 218.1810 Chocolate 25 16 400.00 333.33 303.0311 Butter Scotch 30 16 480.00 400.00 363.6412 Choco Fudge 20 16 320.00 266.67 242.4213 Cassatta 30 10 300.00 250.00 227.2714 Strawberry Tease Cake 30 16 480.00 400.00 363.6415 Black Forest 30 16 480.00 400.00 363.6416 Chocolate Truffle Tempt 30 16 480.00 400.00 363.6417 Double Chocolate 25 16 400.00 333.33 303.03
Stick18 Chocobar Sr. 15 20 300.00 250.00 227.2719 Chocobar Jr. 10 25 250.00 208.33 189.3920 Feast Chocolate 25 20 500.00 416.67 378.7921 Feast Mango Zap 20 20 400.00 333.33 303.0322 Litchi Zap 20 20 400.00 333.33 303.0323 Cola Vanilla Snow 10 25 250.00 208.33 189.3924 Orange 5 35 175.00 145.83 132.58
KIIT SCHOOL OF MANAGEMENT, BHUBANESWAR Page 68
25 Rainbow 10 24 240.00 200.00 181.8226 Almond Forest 25 15 375.00 312.50 284.0927 Twister 15 15 225.00 187.50 170.4528 Orange Maha Bar 8 20 160.00 133.33 121.2129 Bubble Boom 5 35 175.00 145.83 132.5830 Feast Fruit N Nut 25 15 375.00 312.50 284.0931 Choco Berry Nova 10 20 200.00 166.67 151.5232 Jelly Brust 10 20 200.00 166.67 151.5233 Fun Mango 5 35 175.00 145.83 132.58
Sundae Tub (800ml)34 Double Sundae 130 1 130.00 108.33 98.4835 Mocha Browne 140 1 140.00 116.67 106.0636 Litchi Bite 135 1 135.00 112.50 102.2737 Strawberry Current 135 1 135.00 112.50 102.2738 Fruit & Nut 140 1 140.00 116.67 106.0639 Dutch Coconut 140 1 140.00 116.67 106.0640 Black Forest 140 1 140.00 116.67 106.06
Gelato (750ml)41 Nochiola 160 1 160.00 133.33 121.2142 Tiramishu 160 1 160.00 133.33 121.21
Viennetta (600ml)43 Vanilla 150 1 150.00 125.00 113.6444 Chocolate 150 1 150.00 125.00 113.64
Bloke45 Vanilla ( 1250 ml ) 99 1 99.00 82.50 75.0046 Two in One ( 1 lt ) 75 1 75.00 62.50 56.8247 Kesar Pista ( 750 ml ) 99 1 99.00 82.50 75.0048 Butter Scotch ( 750 ml ) 99 1 99.00 82.50 75.0049 Chocolate Xcess ( 900
ml )120 1 120.00 100.00 90.91
50 Neopolitan ( 1 lt ) 110 1 110.00 91.67 83.33
Gallon (Bulk 4000 ml Pack)
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51 Vanilla 312 1 312.00 260.00 236.3652 Two in One 312 1 312.00 260.00 236.3653 Strawberry 312 1 312.00 260.00 236.3654 Chocolate 450 1 450.00 375.00 340.9155 Tuty Fruity 474 1 474.00 395.00 359.0956 Cookies Cream 474 1 474.00 395.00 359.0957 Pink Passion 474 1 474.00 395.00 359.0958 Mango Mischief 474 1 474.00 395.00 359.0959 Double Trouble 474 1 474.00 395.00 359.0960 Chocomint 474 1 474.00 395.00 359.0961 Pineapple Hawain 474 1 474.00 395.00 359.0962 French Kiss 474 1 474.00 395.00 359.0963 Dumb Blonde 474 1 474.00 395.00 359.0964 Brandy Buzz 474 1 474.00 395.00 359.0965 Orange Obsession 474 1 474.00 395.00 359.0966 Rum Ravage 474 1 474.00 395.00 359.0967 Butter Scotch 540 1 540.00 450.00 409.0968 Chocolate Xcess 540 1 540.00 450.00 409.0969 Mochanut Mischief 540 1 540.00 450.00 409.0970 Litchi Byte 540 1 540.00 450.00 409.0971 Kesar Pista 540 1 540.00 450.00 409.0972 Black Current 540 1 540.00 450.00 409.0973 Roasted Almond 540 1 540.00 450.00 409.0974 Fruit & Nut 540 1 540.00 450.00 409.09
KIIT SCHOOL OF MANAGEMENT, BHUBANESWAR Page 70
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