baroda dairy
TRANSCRIPT
1
A
SUMMER TRAINING REPORT
ON
“BRAND LOYALTY OF BARODA DAIRY’S MILK
PRODUCT”
FOR
Baroda District Co-operative Milk Producers Union Ltd., Baroda Dairy
AS PARTIAL FULFILLMENT FOR THE DEGREE OF
MASTERS OF BUSINESS ADMINISTRATION
JUNE-JULY, 2011
ANAND INSTITUTE OF MANAGEMENT MBA PROGRAMME
(AFFILIATED TO GUJARAT TECHNOLOGICAL UNIVERSITY) OPP. TOWN HALL, NEAR GRID, ANAND
Mr. Snehal Bhatt Mr. A. P. Jagani
Lecturer Marketing Officer Anand Institute of Management Baroda Dairy
Submitted By
JALPESH R LAD ENROLLMENT NO: 107020592046
M.B.A- SEMESTER 2
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CERTIFICATE
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PREFACE
Summer project is an internal part of MBA program. This exercise enables the
students to get practical exposure to realities of corporate world in action and practice. A
great knowledge comes from better book education and a good experience. Thus we got a
truly rewarding chance to get the best feel and experience of the real world economic
environment in the best possible manner.
I was required to undertake a detailed study of the activities of Baroda Dairy as a
whole and its Marketing Department etc. It helped me to apply theoretical knowledge into
practical experience, working with all kinds of perishable commodities. Looking at Baroda
Dairy it has one of the modern plants with latest equipments and the best personnel.
Having milk as a major product, it has various by-products, which also has a bigger
share in the total production. People have total faith in the Baroda Dairy products and it
has highest quality control norms, duly certified with ISO 9001:2000. Baroda Dairy
products have become most popular and preferred by people.
The intent of my works is to provide a survey on “Brand Loyalty of Baroda Dairy‟s
Milk Products”. Due to the good guidelines and support of marketing department of Baroda
Dairy, I could produce a useful survey from consumers. This survey covers 100
consumers of 3 different areas of Baroda city (i.e. Vasna, Gotri & Old Padra Road). Any
successful primary research requires good response. Due to the same I am able to
complete the project report, which is submitted as a part of two years course leading to
Anand Institute Of Management.
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ACKNOWLEDGEMENT
I have been able to prepare my report successfully and I acknowledge a special
thanks to all those people without whose support it was impossible for me to make the
project report. It has been an enriching experience for me to undergo my summer
training at “Baroda Dairy” which would have not been possible without the goodwill and
support of the people around.
I would hereby take this opportunity to show my gratitude towards all my mentors
for what I have learnt during my training. A good response, feedback and co-operation
given by whole staff helped me in gaining knowledge and solving my queries. I
convey my sincere thanks to all the officials of Baroda Dairy.
I would like to thank to Mr. Ravindra Mathur (Managing Director) for giving me this
opportunity to work at Baroda Dairy. I am also thankful to Mr. V.C.Patel Marketing
Ma Mr. A. P. Jagani Officer
Mr. Alok Desai (Training Officer) for guiding me and supporting me in giving
complete and comprehensive data required for my project work. Finally I am thankful to
all Baroda Dairy‟s Family.
I would like to thanks our honorable Director Dr. N. N. Patel who provided
me the permission for the Industrial Training. I would also like to thank Mr. Snehal Bhatt
for guiding me and other faculty members and staff of the institute who co-cordially helped
me about morally and provided me all the academic and other information required for this
industrial training.
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DECLARATION
This project report entitled “BRAND LOYALTY OF BARODA DAIRY’S MILK
PRODUCT” has been submitted to, Anand Institute Of Management, Anand in partial
fulfillment for the award of Degree of Post Graduation in Masters Of Business
Administration . The undersigned hereby declare that this report has been completed by
me under the guidance of Mr.Ashok Jagani (Sr officer Marketing) and Mr.Snehal Bhatt
(Faculty Member, Anand Institute Of Management, Anand)
The report is entirely the result of my own efforts and has not been submitted either in part
or whole to any other institute or university for any degree.
JALPESH R. LAD
Date:
Place:
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EXECUTIVE SUMMARY
The report consists of the details on Baroda District Co-operative Milk Producers
Union Ltd. It is a Co-operative society. The main aim of the welfare of the society by
providing quality milk to its consumers at an affordable price.
It has various functional departments such as Production, human Resource,
Finance, Marketing, Purchase and Stores, Quality Assurance, Dispatch and Logistics. A
detail study of Marketing has been made so as to get a clear view of the working of each
of them.
In addition to it a survey on the „Measurement of Brand Loyalty of Baroda Dairy Milk
Products‟ has been done in the Baroda city. This survey is useful for the company to know
that to what extent the customers are loyal towards the milk products of Baroda dairy. This
will enable the company to take appropriate action as needed to increase as well as to
retain its loyal customers in the market. The survey has been analyzed by presenting it in
the form of charts and based on it the results and findings have been made. Lastly the
conclusion as well as the recommendations necessary has been made.
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INDEX
Topic Page No.
CERTIFICATE FROM THE ORGANISTION
PREFACE
ACKNOWLEDGEMENT
DECLARATION
EXECUTIVE SUMMARY
GENERAL INFORMATION INTRODUCTION VISION AND MISSION STATEMENT ACHIEVEMENTS ENVIRONMENT POLICY COMPNAY INFORMATION
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9 9 10 11 12
GENERAL INFORMATION OF DEPARTMENTS
PRODUCTION DEPARTMENT FINANCE DEPARTMENT HUMAN RESOURCES PURCHASE & STORE DEPATMENT QUALITY ASSURANCE DEPARTMENT DISPATCH & LOGISTIC DEPARTMENT MARKETING DEPARTMENT
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19 23 27 33 36 39 41
BRAND LOYALTY 51
RESEARCH METHODOLOGY 53
ANALYSIS 57
FINDINGS & CONCLUTION 68
RECOMMOMDETIONS & LIMITATIONS 71
BIBLOGRAPHY
ANNEXURE
8
General
Information
9
INTRODUCTION
Traditionally Dairy was a subsidiary occupation of the farmer. However, the
contribution of the farmer‟s income was not prominent as it was from farming. But this
attachment to dairy was keep as tradition handed down from one generation to the next.
Baroda District lies in the centre of Gujarat, a state of Western India, well-known for co-
operative dairying. Baroda District co-operative Milk Producers‟ union Ltd Is the full name
of Baroda dairy. As the name suggests that it is a co-operative union The Company is
engaged in the production of milk, flavored milk, butter and ghee, butter milk. The
company also produces a wide variety of ice-cream, shrikhand, and many sweets through
Sugam unit, a subsidiary of Baroda dairy. The plant is situated in Makarpura area, in the
center of the city. The plants of Baroda dairy are fully equipped with latest technology and
modern facilities. Baroda dairy always work for welfare of society.
VISION AND MISSION STATEMENT
Baroda dairy is a co-operative society and it is not just a profit motive unit but to
serve the society. The main mission of the Baroda dairy is to assure and safe guard the
interest of the both nominal consumer of milk in city area and supplier of rural areas. And
for this the Baroda dairy deals accordingly to provide the best quality products at a
reasonable price to their customer.
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ACHIEVEMENTS
• SUGAM‟ unit of Baroda dairy received “Jamanalal Bajaj Award” in the year 1994 for
the best Mgt.
• In 1998, to remain as a „Market Leader‟ in this competitive World, Baroda dairy has
acquired the ISO 22000:2005 & 9001:2008 certificate.
• In 1998, vice president, Shri Krishna Kant Awarded Baroda dairy by presenting
“National Productivity Award” for its production & development.
• In 2001, Baroda productivity council organized “Good Housekeeping Competition” in
which the Bodily Unit of Baroda dairy won the prize.
• In 2002, Baroda dairy received certificate from “Gujarat Safety Council” for the
various safety measures adopted at all the units.
• In 2003, Baroda dairy received ISO 14001 certificate under its environmental policy.
• Highly automated plan for manufacturing GULAB JAMUN, SHRIKHAND and PENDA
unique in India “Sugam” brand
• Second in horticulture
• Received 2nd prize for minimum accidents among drug, pharmaceutical, food and
dairy industries.
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ENVIRONMENT POLICY
We are committed to protect and preserve natural Environment for social welfare
and co-existence. Baroda Dairy, A leading co-operative organization is engaged in
manufacturing and marketing of milk and milk products in India and abroad.
FOLLOWING ARE THE PRINCIPLES OF ENVIRONMENTAL POLICY
• Control our plant operations to prevent pollution.
• To conserve natural resources and energy.
• Comply with applicable environmental legislation and regulations.
• Applying greening of the earth within our premises.
• Continually improve our environmental performance.
• To minimize generation of waste and follow appropriate methods for it‟s disposal
• Create awareness among employees on environmental issues and environmental
management system.
• Keep our work environment clean and safe.
• This Environmental policy will be communicated to all employees, contractors and
suppliers of Baroda Dairy.
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PRESENT PROFILE OF COMPANY
UNIT NAME:-
Baroda District Co-operative Milk Producers
Baroda Dairy.
FORM OF ORGANIZATION
Co-operative Sector
ESTABLISHMENT YEAR
24th December 1957
Rg. No.:- D 4/57.
REGISTERD OFFICE
Baroda District Co-operative Milk Producers
Union Ltd., Baroda Dairy.Opp.
O.N.G.C. Regional office,
Makarpura Road, Vadodara-390009.
Phone: - 0265-2641066
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TOTAL UNITS
1. Baroda Dairy – Baroda
2. Sugam Unit – Baroda
3. Cattle Feed Factory – Itola
4. Milk Chilling Center – Bodeli
5. Veterinary Sub Unit – Savli
6. Veterinary Sub Unit – Dabhoi
SIZE OF THE UNIT
Large Scale Industry
BANKERS OF BARODA DAIRY
1. The Baroda Central Co-operative Bank Ltd.
2. The UCO Bank, Baroda
3. Bank of Baroda, Baroda
4. Punjab and Sindh Bank, Baroda
5. Bank of India
6. Central Bank of India, Baroda
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DIMENSIONS
1. Area in Sq.Km.77.94
2. No. of District: 12
3. Urban Land: 611300 Hectares
4. Irrigated land: 127900 Hectares
CHAIRMAN
Shree Narendrabhai Patel
VICE-CHAIRMAN
Shree Ajitsinh Thakor
MANAGING DIRECTOR
Shree Ravindra Mathur
AUDITOR:-
Shree N. A. Chauhan
INVESTMENT OF BARODA DAIRY
Particulars Amount (Rs.)
Land 54, 98,752
Building 3, 56, 68,046
Plant & Machinery 8, 08, 41,885
Furniture & Fixtures 80, 89,866
Vehicles 43, 54,466
Total 13, 53, 53,015
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PRESENT PRODUCTS MIX
Baroda Dairy is a unique place processing several products from the basic raw-material
i.e. Milk, These products are as under and are immensely popular in and around city of
Baroda.
• Milk
1. Amul Gold
2. Amul Shakti
3. Amul Slim & Trim
4. Amul Cow‟s Milk
• Butter Milk
• Jeera Chhas
• Flavored Milk
1. Elaichi
2. Kesar
3. Mango
• Butter
1. Table Butter
2. White Butter
• Ghee
1. Surbhi
2. Amul
• Cheese
• Masti Dahi
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PRODUCTS OF SUGAM UNIT
• Ice Cream
1. Vanilla
2. Mango Chocolate
3. Strawberry
4. Pineapple
5. Rose
• Cones
1. Vanilla
2. Chocolate
3. Butter Scotch
4. Tri tiny chocobar
• Shrikhand
1. Mango
2. Kesar
3. Badam
4. Pista
5. Elichi
6. Butter Scotch
• Lassi
1. Rose
2. Mango
• Sweets
1. Kaju katri
2. Mava
3. Kopra pak
4. Kesar peda
5. Gulabjamun
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COMPETITIVE SCENARIO
Baroda dairy is offering the largest number of dairy product to the customer in
Baroda district. So the dairy has largest market share in these types of products. The dairy
enjoys the position of market share of more than 85 % in Baroda city. It‟s due to the
policy of providing the best quality of product at reasonable price. Dairy faces competition
from many big organizations for its sugam unit products. It has also loose vendors and
small private dairies, as competitors for Baroda dairy unit products, mostly for milk.
ORGANIZATIONAL CULTURE
The organizational culture of Baroda dairy is the greatest factor for employee. All
the departments are highly co-related and through which information reaches easily and
especially to all levels.
All the employees work Co-operatively and also feel as family members. In the
dairy, discipline is maintained so that employees at all levels have respect for each
other. Any kind of nuisance is not seen in the dairy.
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GENERAL
INFORMATION
OF
DEPARTMENT
S
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PRODUCTION
DEPARTMENT
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DEPARTMENTAL STRUCTURE
Production Manager
Assistant Manager
Shift Superintendent
Worker
Operator
Supervisor
Technical Officer
RMRD
Section
Process
Section
Ghee
Section
Pouch Packing
Section
SAewSection
Butter
Section
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ACTIVITIES OF THE PRODUCTION DEPARTMENT
There are 1192 registered co operative societies, giving milk to Baroda dairy.
Baroda dairy has set up a modern plant for the production process. It has established
its plant in a modern high tech style which functions nearly 80% automatically.
1) Raw Material Receiving Dock
It is a big open area, where milk is brought from various societies by way
of tankers and canes. The cans are emptied in the milk tank with the help tankers and
cranes. The cans are emptied in the milk tank by the way of belt conveyors system
and then after the cans are washed in automatic washing machine. The average number
of cans washed per minute are
5 to 6. Before distilling cans, the milk is graded and weighted. The samples from cans
are taken and sent to the laboratory where they are graded in terms of fats and S.N.F.
once the milk is collected in the tank, the net process will start to separate the fat and cash
will be separately stored.
2) Pasteurization
The term pasteurization means heating treatment and cooling to suitable
temperature before distribution. After the separation of FAT and SNF, the milk is
passed through the heat section of pasteurization and is the very first step of
pasteurization. The milk is boiled up to 74 c for 15 seconds in the machine and then
very next second it is chilled at 4 to 6 c instantly. This will lead milk to be cream less that is
pasteurized.
3) Standardization
To reduce the FAT percentage of milk SMP or skimmed milk is added and to
increase the FAT percentage, cream is added. Cost of pouch is worked out according to
the stand of fat in the milk.
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After standardization, milk is stored in silos. Sample is taken for analysis of FAT,
SNF. Acidity MRP tests etc.If the result is o.k., it is sent to the storage tank. Milk
sample from the same further subjected to analysis prior to packing.
4) Homogenization
It is the process of mixing. Humanizer is used to homogenize milk, butter milk
and flavored milk.
5) Pouch packing section
There are 14 machines used for packing the milk pouches. The milk from
pasteurization section is restored in the tanks and from there it is brought to the section
by the help of pipelines. Here the machines are operated automatically giving the bags of
500 ml each. The number of bags to be filled with the milk can be derived through the
regularity of machine. An average output number of bags per hour are 3000
pouches. The department also consists of the carats washing system and it is also fully
automatic.
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FINANCE
DEPARTMENT
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FINANCE DEPARTMENT
INTRODUCTION
The first & foremost requirement of any business is finance. Finance is
required in each & every stage of the business. Business is nothing but a process of
making money through money. So to make money you need money. It can be acquired
through various sources. After getting sufficient money the process of utilization of it starts.
The finance dept. has to deal with not only the procurement of finance but also with the
proper utilization of it. Finance is the basic requirement for purchase of assets, production
of goods, marketing, selling, etc. The finance dept take the decision regarding financial
matters. Thus, we can say that finance dept. is one of the most important dept.
FINANCIAL PLANNING
“Planning” is one of the most important principles of Mgt. the success of the
org. depends mainly on proper planning. The proper estimation of the requirement of
funds, determination of sources from where the fund will be raised and its proper
utilization can be termed as financial planning.
Financial planning includes the preparation of projected profit & loose account,
fund flow statement & balance sheet. Estimation of growth in sales is very important
because from that the need of funds is decided. As due to rise in sales there is need of
more assets. As more investment has to be made for additional plant & machinery to raise
its capacity to produce. Additional current assets are also required to products & sell
more quantity.
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SOURCE OF FINANCE
Baroda dairy does not raise finance for short term as all the requirement for
short-term finance are fulfilled by the internal sources (i.e. reserves & surplus). Mostly,
finance is aisled from long-term sources of finance. All the requirement of finance is
fulfilled either by issuing equity shares or by taking loan from “National Dairy
Development Board”. The repayment of loan is done in equal installments, the amount is
predefined. Generally, 6% interest is charged on the amount of loan.
CAPITAL STRUCTURE
Capital Structure of an organization refers to the makeup of its Capitalization.
Capital structure includes all the long term source of finance. Thus capital structure of
company shows the borrowed capital and their sources.
Baroda Dairy is co-operative society. So, its shares are not listed in stock
exchange.
MANAGEMENT OF FIXED ASSETS
Assets of any organization can be classified into two parts:
• Fixed Assets
• Current Assets
Fixed Assets are those assets which remained beyond the accounting year. In
other words, they are the assets which would be in used for more than one year
investment. Fixed assets are vital decision in financial literature. The investment decision
involving fixed assets is knows “Capital Budgeting”.
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CAPITAL BUDGETING
In Baroda Dairy, there is a budget committed by managing director along with
assistant managers. The budget committee considers the provision years, figure and
every department received by comparing the actual performance, modernization and
expansions. The decision is taken by the budget committee and the Project Report is
also prepared by them.
The following points are considering in budgeting steps.
1. Allot money for preparation of budget.
2. The money is available as per the requirements with financial institutions.
3. Review with projected finance and its implementation.
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HUMAN
RESOURCE DEPARTMENT
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DEPARTMENTAL STRUCTURE
DEPARTMENTAL STRUCTURE
Managing Director
General Manager
Manager
(Personnel)
Manager
(Time Keeping)
Manager
(Welfare)
Superintendent
(Telephone)
Officer
Jr.Officer
Sr.Executive
Sr.Assistant
Jr.Assistant
Officer
Jr.Officer
Sr.Executive
Time Keeper)
Sr.Assistant
(Time Keeper)
Jr.Assistant
Officer
Jr.Officer
Sr.Executive
Sr.Assistant
Jr.Assistant
Sr.Officer
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HUMAN RESOURCE MANAGEMENT AT BARODA DAIRY
“Baroda Dairy is one of the leading Dairy” It shares collaborative and friendly
relationship with preferred partners, employees, consumers and other workers involved to
it. It maintains a transparency in handling the above relations and stick to its standards.
The HRM function or Personnel department function in Baroda Dairy is indeed
vast. All major activities since working of a worker – from the time of his/her selection in to
an organization until he/she resigns or get retired or leave job for any reason – comes
under the preview of HRM.
The HR planning in Dairy is very smooth and transparent. It made Baroda Dairy a
HUGE BIG Family of approximately 1400 employees. In Baroda Dairy major attention is
given on the welfare and Safety of employees. They are also given different kind of
incentives to increase their production effectiveness.
Dairy also focuses on developing human value and potential through various
bearing and development activities and provide favorable atmosphere. All these functions
are performed by HR in Baroda Dairy.
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Human Resource Is Divided Into Different Parts
The HR in Baroda Dairy in mainly divided into four sections:
• Personnel Department
Recruitment, selection, training, industrial relations, negotiation with Union etc.
• Administration Department
Its handles canteen, security, welfare facilities, safety, Any theft or loss,
Absenteeism , events, AGM meeting organizing, licensing work, hygiene of various
dept, etc.
• Time Keeping Department
It handles salary & wages, records of employees, provides benefit of statutory,
ESS, Form fill up, punching System, provident fund, ESI etc.
• Telephone Department & Computer Department
Maintains the connection of each department and provides facility of CUG to each
employee to remain in contact while doing work. So that if any query or problem
occur they can contact each other easily. Computer system handles the whole MIS
in Baroda Dairy.
Trade Union in Dairy
Trade unions are the voluntary collective group of employees or employers formed
to promote and convey their interest through collective actions to the organization.
At Baroda dairy, there are two unions. One for the workers & another for officers which are
working for the following:-
1. BARODA DAIRY TRADE UNION:- ( FOR OFFICER)
2. RASTRIYA MAJDOOR UNION:- ( FOR WORKERS)
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• To get adequate bonus
• Strive for better working condition.
• To secure better pay scale for employees in keeping with the prevailing standards
of living in the country.
• To work for welfare and development of workers educational facilities and group
benefit scheme for them.
Recruitment
Recruitment is a process of searching for prospective employees & stimulating
them to apply for the job in the org. Recruitment of an employee is done on the bases of
“Human Resource Planning” carried by Baroda dairy Mgt. At Baroda dairy recruitment is
done through both sources i.e. internal as well as external sources.
• Internal Recruitment
Recruiting employees internally like promotion, transfers, etc.
• External Recruitment
Recruiting employees form job portals, employment exchange, campus interview,
advertisements. Dairy uses External source of recruitment mostly.
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Selection
Selection procedure includes the selecting Right candidate, at Right time, for
right job. It is as follows:
• Application form
• Bio-data analysis
• Short-listing.
• Interviews
• References/security screening
• Ability tests
• Aptitude, intelligence and personality
• Work experience/short term contracts
• Medical checkups.
• Placement/Appointment.
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Purchase and
Stores
Department
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Inventory Management System
In Baroda dairy, the store department uses the FIFO method. I.e. First In First Out
method of inventory management.
Purchase Procedure
Baroda Dairy‟s main raw material is milk. The purchase department has only to pick
up just 10% of other raw material. The purchase procedure is as under:
1. First of all respective department heads find out their need and get it approve by
the managing director.
2. Then they contact the stores department.
3. After this they send an indent to the purchase department.
4. The purchase department then asks for quotation from the suppliers.
5. After the quotations are received will then be selected.
6. The least cost giving suppler will then be selected.
7. Then take the approval and give the authority to the supplier who gets the
quotation passed.
8. Then just let the finance department will make the payment the supplier after the
delivery of goods.
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Types of Stores
• Cold Stores
The cold stores are use for storing milk, chhas, flavored milk, dahi etc. and many
other products.
• General Store 1
In this general store, the veterinary products, medicines, transportation instrument,
buckets, flavors for milk and shrikhand are stored here.
• General Store 2
Here plastic of milk bags is store; tins of ghee, milk powder, fodder for cattle‟s etc.
are stored.
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Quality
Assurance
Department
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DEPARTMENTAL STRUCTURE
Managing
Director
Quality
Control
Manager
Worker
Sampler
Junior
Chemist
Quality
Control
Officer
Senior
Chemist
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Activities Carried By People in Quality Control Lab
• Superintendent
The superintendent observes all the activities in the lab, packing and giving
the guidance.
• Junior Officer
Here the officer looks after all Agmarks related to ghee and butter in the lab.
• Senior Officer
Here the senior chemist looks after ISO 14000 and ISO 9000-20000
certificates.
• Chemist
The chemist looks after all the society milk, pasteurized milk and other milk
products.
• Sampler
The sampler takes the samples from the milk received from different co-
operative societies.
• Micro Biologist (Milk Plant)
The microbiologist cleans up all the tools and machines, which are used for
milk, butter and buttermilk.
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Dispatch and
Logistics
Department
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Dispatch and Logistics
All activities carried out under the supervision and order General Manager of Marketing
head i.e. order of milk and milk products are dispatched as per the order of customers and
retailer and all records of dispatch are kept in dispatch register and computer.
• In dispatch department the work is divided in 3 shifts
1. Morning
2. Afternoon
3. Evening
• Sources of Mode of Transportation
There are trucks, tempos, insulated vans, three wheeler tempos are used to deliver the
milk and the milk products in all the three shifts.
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Marketing
Department
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INTRODUCTION
Every organization whether big or small needs to have a marketing department.
Marketing department serves as an important part of an organization, which bring revenue
in the business. It depends mostly on the marketing dept. as to how they sell the final
products & creates demand for it. Baroda dairy is having a fully fledged marketing dept.
where all the functions related to marketing are performed. As a part of marketing strategy
Baroda Dairy has increased its Morning milk centers to1078, full time centers to 1322, and
franchisee to 67 from 56.
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DEPARTMENTAL STRUCTURE
Marketing
Manager
Superintendent Senior Officer Senior
Supervisor
Marketing
superintendent
Junior
Superintendent
Junior
Officer
Junior
Supervisor
Junior
Officer
Junior
Assistant
Senior
Assistant
Junior
Inspector
Salesman
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PRODUCT PLANNING
At Baroda Dairy, the market division set up a team which surveys and researches
into the need of the customers. When Baroda dairy launches any new product it questions
consumers that what they require in their product. Baroda dairy also researches about its
new introduced product
MARKETING RESEARCH
Marketing research may be defined as scientific & controlled process of gathering
non-routine information regarding the product & its market condition. It helps the Mgt. to
solve many problems. Marketing research concentrates on the study of products planning
& development, pricing policies, effectiveness of personal selling, advertising & sales
promotion, distribution system, marketing strategies, market competition, buying behavior
& attitude of consumer.
Marketing research is carried out periodically with the help from the students who
approach “Baroda dairy” for industrial training. Survey is conducted by the students doing
post graduation in Masters In Business Administration under the guidance of “marketing
dept”. At the end of the survey, the results are verified & conclusion is abstracted.
TARGET MARKET
The whole city of Baroda is the target market for Baroda dairy. Also the town of
Baroda city is the target market for the Baroda dairy.
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MARKET SHARE
Baroda dairy has 80% market share. It is market leader. It is due to the quality and
variety of milk & milk products which are sold at reasonable price.
PRODUCT PLAN
A “product” is a tangible thing that has capacity to satisfy human needs. The
“product” forms an important part of marketing mix. If the product fails to satisfy consumer
there will be no effect of additional cost incurred on marketing the products. Before
launching any new product or before having change in product mix, a survey is carried on
to know the view of consumer. E.g. during one survey it was found that the consumer were
in a need of milk with more fats. So, after proper analysis by the marketing dept. and with
the concerned from production dept. milk having more fats was made available to the
consumer. It is sold under the brand name “Amul gold”.
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ADVERTISING
It can be defined as “any paid form of non-personal presentation & promotion of
ideas, goods & services by an identified sponsored. It is a means for mass communication
and an impersonal salesmanship for mass selling.”
Advertising is a major promotional tool. It has following strengths as a promotional tool:-
1. It offers a planned & controlled message.
2. It can influence many people / prospects at a low cost.
3. It can reach to the prospects that cannot be approach easily by salesman.
4. It assists in the introduction of a new product in the market.
Baroda dairy does not have to advertise on a large scale for its products because
most of the people are aware of the products produced by the dairy. In fact, the products
are of daily used and they are so popular that there is little need for advertisement. The
different media used for advertisement by the Baroda dairy are:- Road side hoardings,
bottom line advertisement on television.
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SALES PROMOTION
Baroda dairy enjoys the position of market leader and it has satisfactory sells, so there is
no major need of sales promotion but, whenever any new products is launched in the
market it is sold at a introductory price. i.e. price less than the normal price. Baroda dairy
does not give promotional schemes in its entire product. Dairy also gives cash discount in
its entire product. Usually at time of festival days. Apart from above description the dairy
provide incentives in form of Commission. It described as follow.
• 30 paisa commission as road side commission of milk/litter.
• 38 paisa is to fall time as their as their electricity is consumed for whole Day/litter.
• 2 rupees commission of flavored milk / 200ml.
• 50 paisa commission of jeera chhas / 100 ml.
Instead of all this is one scheme for masala chhas as it is in introduction stage. 10 packets
free purchasing of 60 packets of masala chhas. Dairy give incentives on each pouch sold.
This is another promotion effort done by dairy. By inviting school children, house wives
and other focus group to dairy and conducting on effective awareness program by
focusing on milk processing pasteurization, chilling clarification and homogenization. Now
in a mall culture Baroda Dairy‟s products are also available in mega malls like
Spencer’s,
Reliance fresh,
More mega store etc.
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MARKET SEGMENTATION
At Baroda dairy the market segmentation is done in several ways for various
products. But, for the plain milk there is no segmentation and it is marketed & sold all over
Baroda. Whereas, for flavored milk & other products there is geographic and demographic
segmentation. In geographic segmentation the flavored milk is distributed from the “milk
bars” located at the famous and mostly crowded areas of the Baroda. For e.g. Kamati
baug / sayagi baug, raopura, fatehgunj, outside the dairy, Kareli baug etc. But the most
important place where there is highest demand for flavored milk is the “Railway station”.
The demographic segmentation means dividing the consumer. Market in terms of age,
sex, family, income, occupation, etc. At Baroda dairy, it is done by having “milk bars” near
schools & collage, as the major consumers for dairy products are children any young
people.
CHANNEL OF DISTRIBUTION
One level distribution system is managed at Baroda dairy for all the products
excepted ghee. A one-level channel contains one selling intermediary, such as retailer.
Products like milk, flavored milk, curd, chhas etc. One level system is maintained where
there is only a retailer between the manufactured and the final consumer.
Manufacturer
Retailer
Consumer
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The durability of milk is only for 72 hrs. So the distribution has to be such that milk
is delivered to the final consumer before it gets spoiled. Hence, there is only one mediator
between the manufacturer & the final consumer. For the milk distribution there are morning
& evening booths & the full time centers, which work as per the orders from Baroda dairy.
The morning booth centers have a short span of working from 4:00am to about 7:00 am
but they also have a major chunk of sales as compared to the full time centers. About 80%
of the sales are through the morning booth and the rest 20% are by the evening booth s as
well as full time centers. Now this retailers are stared the home delivery to boost up their
sale. They have a coupon system where in the coupon are issued to the customers and
milk is delivered against it. The distribution system at Baroda dairy is very systematic. The
vans take their particular routs & deliver the crates to the morning centers. While returning,
these vans deliver the milk to the FTC and collect the empty crates from the morning
centers. There are about 1078 morning centers, & evening centers, 322 full time centers
and 67 franchisee. In all there are about 114 routes for morning centers, 3 routes for
evening centers & 20 routes for afternoon centers. Baroda Dairy also providing milk
through mega malls such as more mega mall, Reliance fresh, Spencer‟s.
PRICING POLICY
“Price” may be defined as the value of product expressed in the monetary terms
which a consumer pay or expected to pay in exchange and anticipation of the expected or
offered utility. Therefore, we can say “price is a link between the consumer and
organization”. As the main objective of Baroda dairy is not profit maximization, so it sets
Reasonable price for its products. It considers the interest both the parties. I.e. the
suppliers of milk and the consumers currently, all over India the price of milk is fixed by the
NDDB (National Dairy Development Board)
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EXPORT
The products produced at Baroda dairy are not exported to other countries. The products
of SUGAM unit are Exports to countries
• USA
• SINGEAPORE
• JAPAN
• AUSTRALIA
• KUWAIT
• BATLERIN
• DUBAI
• ABUDHABI
WAREHOUSING & TRANSPORTATION
WAREHOUSING
Baroda dairy does not have any warehouse but it has “cold storage”. Mostly, all the
products are perishable in nature so there is a facility of cold storage and it is within the
dairy premises.
TRANSPORTATION
There is use of private vehicles i.e. tempo & trucks which are hired to transport milk. The
transportation cost is low as it is within Baroda district.
LIST OF COMPETITORS
Small loser milk Retailers.
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BRAND
LOYALTY
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INTRODUCTION
A general term used to describe the extent to which consumers buy or use a brand
in preference to other brands. In practice consumers often buy or use several brands,
therefore brand loyalty is a relative measure.
Brand loyalty, in marketing, consists of a consumer's commitment to repurchase or
otherwise continue using the brand and can be demonstrated by repeated buying of a
product or service or other positive behaviours such as word of mouth advocacy.
Brand loyalty of current clients is a critical asset that must be managed carefully.
This loyalty is a major barrier to competition. Countless new business has succeeded
because companies neglected existing customers.
Strength of preference for one brand compared to other similar available options.
This is often measured in terms of repeat purchase behavior, or in terms of price
sensitivity.
• Brand equity
Investors: Brand equity is brand valuation
Customers: value of brand to customer compared to other brands
• Brand equity versus Brand loyalty
Brand loyalty is consistent repurchase of brand accompanied by a
favorable brand attitude
Brand equity is the value of the brand to the buyer and seller
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RESEARCH
METHODOLOGY
54
BACKGROUND OF THE STUDY
There are many reasons behind conducting this study. The first reason is to find
out brand awareness among the citizen of Baroda, who are consumer of Baroda Dairy`s
milk & milk products. And the second reason is to find out loyalty of consumers
towards Baroda Dairy`s milk products.
For conducting this survey, I had prepared a questionnaires‟. I met 100 persons
from different back ground and filled questionnaires‟ from them.
IMPORTANCE OF STUDY
From this research Baroda Dairy would get know certain thing like:
• To know that people of Baroda are well aware of Baroda Dairy‟s milk
products.
• To get the decision about introduction of new products under
existing brand or new brand.
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OBJECTIVES OF STUDY
The main objective of this survey is to find out the Brand loyalty of Baroda Dairy‟s
milk products.
Research Design
For this particular research descriptive research design has been used. Descriptive
research design is used to know about the market characteristics, marker share.
Sources of data:
Primary Data
I had use questionnaire as a tool in my marketing research. I started my project very first
educating the respondents about my entire project and ask them to cooperate with me.
Mostly all the respondent were aware of this type of surveys. So I didn‟t face any type of
difficulty during my project in the process of explaining and taking their responses on the
questionnaire.
Secondary Data
Secondary data I got through following sources.
● Past Reports
● Data through internet source
● Annual Reports of the Dairy
Data collection method
Personal survey has been used to collect the data through structured questionnaire. Data
was collected between 14th June-2011 to 28th June-2011 in Baroda city.
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Population
The population consists of the consumers of Baroda city.
Sampling Method
Convenience Sampling Method has been used to decide on the selection of samples.
Sample Size:
100 consumers.
Sampling Unit
I had taken consumers of different area in the Baroda city i.e. Vasna, Gotri & Old Padra
Road.
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ANALYSIS
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Data Analysis & Interpretation
Chart-1
Do you consume Baroda Dairy‟s Milk Products?
a) Yes--------- 98%
b) No---------- 02%
Interpretation
Here, the chart shows that 98% people buy Baroda dairy‟s milk products and 2%
people doesn‟t buy milk products out of 100 samples from Baroda city
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Chart-2
If yes, what is the reason you like Baroda Dairy‟s Milk Product?
a) Quality-------------56.12%
b) Price----------------13.26%
c) Brand Image------24.50%
d) Quantity-----------06.21%
e) Other reason------00.00%
Interpretation
Above the chart shows that 56.12% Quality, 13.26% Price, 24.50% Brand image,
6.21% Quantity/size, 0% other reason are the reason why the people choose Baroda
dairy‟s milk products.
Most of the people like Baroda Dairy‟s Milk Product because of its Quality & Brand
image in the Market
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Chart-3
3) Which milk products of Baroda dairy do you like most?
a) Chas -------------------------------68.37%
b) Flavors milk ----------------------09.18%
c) Ghee & cow ghee --------------10.20%
d) Curd -------------------------------12.25%
Interpretation
Above the chart shows that 68037% people likes Chas,
09.18% Flavored milk, 10.20% Ghee & cow ghee and 12.25% curd are the most
liked Baroda dairy`s milk products
The products which is most like by the people is Chas.
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Chart-4
4) Which milk do you currently use?
a) Amul Gold----------------------------12.25%
b) Amul Shakti--------------------------76.50%
c) Amul Slim and Trim----------------02.05%
d) Amul cow`s milk--------------------09.20%
Interpretation
Above chart shows that 76.50% people uses Amul Shakti, 12.25% uses Amul
Gold, 9.20% uses Amul cow‟s milk & 2.05% people uses Amul Slim & Trim.
Most of the people buy Amul Shakti Milk
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Chart-5
5) Reasons for using Baroda Dairy‟s milk products?
a) Easily available ------------------61.23%
b) Proper fat contain ---------------12.25%
c) Family preference----------------20.40%
d) Price -------------------------------06.12%
Interpretation
The above chart shows the reason for using Baroda dairy`s milk product. The main
reason of people is Easy Availability.
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Chart-6
6) Will you buy Baroda Dairy‟s milk product if price increase by
a) Rs. 1/- per product Yes ------84.70% No ------15.30%
b) Rs. 3/- per product Yes ------58.20% No ------41.80%
c) Rs. 5/- per product Yes ------36.70% No ------63.30%
Interpretation
In order to measure brand loyalty of consumer in term of price, I had used the
above three questions. 36.70% are highly loyal towards Baroda dairy`s milk
product, which indicates if Baroda dairy increase the price then also the consumers
will buy the milk products.
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Chart-7
7) Baroda dairy‟s milk & milk products as compared to other dairy`s milk products.
a) Best --------------16.30%
b) Good ------------82.60%
c) Not good -------01.10%
Interpretation
The above the chart shows that Baroda dairy`s milk products as compare to other
dairy`s milk products most of people says good, 16.30% says best and 1.10% people say
are not good.
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Chart-8
8) You are currently using Baroda dairy`s milk products. Suppose this brand is not
available at one shop will you-
a) Search for the same brand in other shop & buy-----------------------------------68.40%
b) Purchase from other dairy`s milk & milk products immediately --------------31.60%
Interpretation
The above question measures the brand loyalty towards Baroda dairy`s milk
products mostly consumers are loyal towards Baroda dairy`s milk products. Only in case
of emergency, consumers to go for another dairy`s milk products otherwise they preferred
Baroda dairy`s milk products. The reason for such Brand loyalty is only because of its
availability and family preference.
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Chart-9
9) How would you rate your level of overall satisfaction with brand?
a) Strongly dissatisfied---------------------------00.00%
b) Dissatisfied -------------------------------------03.10%
c) Moderated --------------------------------------20.40%
d) Satisfied ----------------------------------------67.30%
e) Strongly satisfied ------------------------------09.80%
Interpretation
Above chart shows that overall satisfaction level of consumers. Most of consumer
are satisfied of Baroda dairy`s milk products and 9.80% people are strongly satisfied,
20.40% people moderated & in fact there was no one who was dissatisfied.
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Chart-10
10) In total how long have you been a user or customer of Baroda dairy`s milk products?
a) < 1 year--------------------------12.30%
b) 1 to 3 years ---------------------23.50%
c) 3 to 5 years ---------------------22.40%
d) 5 to 10 years --------------------18.30%
e) 10 to more years ---------------24.50%
Interpretation
The above chart shows that the consumers have been using Baroda dairy‟s milk
products for how many years. The most of customers are 10 to more years use the
Baroda dairy`s milk products. This also shows the consumers loyalty toward Baroda
Dairy‟s Milk Products.
NOTE:-% found in all the question from 2 to 10 are out of 98 as two
respondent when asked 1 question do u consume Baroda Dairy Milk Product? They
said no.
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FINDINGS &
CONCLUTION
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FINDINGS
The major consumer of Baroda City consumes Baroda dairy`s milk products. It is
98% people used Baroda dairy`s milk products.
The reason is brought consumers of Baroda dairy`s milk products is Quality i.e.
56.12%
The most consumers Jeera Chas and Butter milk i.e. 33.67% and 34.70%
respectively.
The reasons for buying Baroda dairy`s milk products because of it is easily
available and family preference.
36.70% of respondents are highly loyal towards Baroda dairy`s milk products. As
they would even buy dairy`s milk product even if the price increase by Rs.5 per product.
In Baroda, The Baroda dairy `s milk products as compare to other dairy`s milk
products is Good.
The most of consumers are consuming Baroda dairy`s milk products from more
than 10 years.
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CONCLUSION
• Brand loyalty towards Baroda dairy`s milk products is very good.
• Brand is good because of long life of Baroda dairy as a major supplier of
milk products.
• Respondents are satisfied about the easily availability of Baroda Dairy‟s milk
products.
• Brand loyalty is very good because respondent use it since past many
years.
• Baroda dairy`s milk products users give preference to its Quality and
Freshness in buying products.
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RECOMMENDATION
&
LIMITATION
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Recommendation
• Price of milk product is somewhat high, so it should be reduced to attract
new consumers as well as to retain the present consumers.
Baroda Dairy should launch some more milk products to compete with big
competitors like Amul, Havemor, and Vadilal etc.
Limitation
• Survey limited to Baroda city with 100 samples only. • I had prepared questionnaires as the primary mean to collect data and
some time it was a hard task to handle with some types of consumers.
• Non co-operative nature of respondents.
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BIBLIOGRAPHY INTERNET
• www.google.com
• www.barodadairy.org
BOOKS
• Marketing Management, Philip Kotler,
• Research methodology by Naresh Malhotra
OTHER
• Past reports of Baroda Dairy
• Annual reports of Baroda Dairy
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ANNEXURE
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ANNEXURE
BRAND LOYALTY OF BARODA DAIRY`S MILK PRODUCTS (Gotri, Vasna & Old Padra) Questionnaires
1) Do you consume Baroda dairy`s milk products?
a) Yes b) No
2) If yes, what reason you like of Baroda dairy`s milk products?
a) Quality
b) Price
c) Brand image
d) Quantity / size
e) Other reason
3) Which milk products of Baroda dairy do you like most?
a) Chas
b) Flavors milk
c) Ghee & cow ghee
d) Curd
4) Which milk do you currently use?
a) Amul Gold
b) Amul Shakti
c) Amul Slim and Trim
d) Amul cow`s milk
5) Reasons for using Baroda Dairy‟s milk products?
a) Easily available
b) Proper fat contain
c) Family preference
d) Price
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6) Will you buy Baroda Dairy‟s milk product if price increase by
a) Rs. 1/- per product Yes No
b) Rs. 3/- per product Yes No
c) Rs. 5/- per product Yes No
7) Baroda dairy‟s milk & milk products as compared to other dairy`s milk products.
a) Best
b) Good
c) Not good 8) You are currently using Baroda dairy`s milk products. Suppose this brand is not
available at one shop will you-
a) Search for the same brand in other shop & buy
b) Purchase from other dairy`s milk & milk products immediately
9) How would you rate your level of overall satisfaction with brand?
a) Strongly dissatisfied
b) Dissatisfied
c) Moderated
d) Satisfied
e) Strongly satisfied
10) In total how long have you been a user or customer of Baroda dairy`s milk products?
a) < 1 year
b) 1 to 3 years
c) 3 to 5 years
d) 5 to 10 years
e) 10 to more years
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Personal Information Name:-_____________________________________
Age:-_______________________________________
Occupation:-_________________________________
Income p.m:-_________________________________
Family member:-______________________________
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