dairy industry- by group 9 - copy

8/8/2019 Dairy Industry- By Group 9 - Copy

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IndexIndex

IntroductionIntroductionProduct LineProduct LineLeading PlayersLeading Players

Product OfferingsProduct OfferingsTop Selling ProductsTop Selling ProductsManufacturing ProcessManufacturing ProcessCritical Business Success FactorCritical Business Success Factor

Major Operational SuccessMajor Operational SuccessPrincipal WeaknessPrincipal WeaknessRecomendationsRecomendations


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Introduction to IndustryIntroduction to Industry

India is the largest milk producer in the world

Milk production increased from 72.12mmt (97-98) - 88.08 mmt (03- 04)

Contribution from India to total world milk production increased from9.9 % to 14.5%.

Market size for milk is estimated to be 36mn MT valued at Rs470bn

Market growth rate: 4% (volume terms)

Top 6 states viz. Uttar Pradesh, Punjab, Madhya Pradesh, Rajasthan,Tamil Nadu & Gujarat account for 58% of national production.

About 75% of milk is consumed at the household level.


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Product LineProduct Line

S.No. Poduct Share

1

Fluid Milk 46.00%

2

Ghee 27.50%

3 Butter 6.50%

4 Curd 7.00%

5 Khoa 6.50%

6 Milk Powders 3.50%

7

Cottage Cheese

(Paneer)

2.00%

8

Others (Cream, IceCream, etc)

1.00%

9 Casein

10 Yogurt

World market Size $4.87Bn By 2011

CAGR 4.90%

Indian Market size


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Leading PlayersLeading Players

Leading Players : India

Company Revenue (crores)

Amul 6700

Mother Dairy 3280

Vijaya 835

Aavin

Verka

Parag 320

Mahanand

Nandani

Bhagirathi

Paras

Leading Players : World

Company Share Revenue

Nestle 5% US$ 105 Billion

Danone 2.50% Euro 8.6 Billion

Dean 2.40% US$ 12.5Billion

Uniliver US$ 6.38 Billion

Lactails US$ 232.3 Million

Fonterra US$ 10.2 BillionKraft Foods US$ 6.39 Billion

FrieslandCampina US$ 11.7 Billion

American Dairy US$ 8.1 Billion


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Product OfferingsProduct Offerings

Product offerings : world

DANONE

Probitic Drinks : Actimel and Activia

Reduced-calorie products :Taillefine, Vitalinea & Ser

Fromage frais for children:Danimals or Petit Gervais

Chilled cholesterol-lowering products : Danacol

NESTLE

Dairy products : Nido & Coffee mate

Ice cream : MoveNpick & Hagen Dazs

Health Drinks : Impact

Drinks : Nescafe Express & Milo

DEAN FOODS

Liquid dairy products : Land O'Lakes

Soy Milk : Silk Soy Milk

Organic Milk: Horizon Organic

Other Milk Products : Hersheys

Product Offerings : India

Amul

Bread Spreads :Amul Butter, Amul Lite.

Fresh Milk :Fresh Milk, Amul Gold, Amul Tazza, Lite

Cheese: Pasturized Processed Cheese, Mozrella

Dahi: Masti Dahi, Pro- Biotic Dahi

Powdered: Milk:Full Cream Milk Whitner, Amulya

Milk Drinks: Kool, Kool Koko, Kool Caf, Nutramul

Mother Dairy

Probiotics- B Active Probiotic Curd, Lassi,Fibre Curd

Butter & Ghee

Flavoured Milk : Chillz

Ice Cream: Chillz

Aavin

Fresh Milk

Ghee & Butter

Milk Powder , Flavoured Milk

Cheese ,Yogurt & Ice Cream


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VerkaVerka

33 Top selling productsTop selling products Packaged MilkPackaged Milk-- Pasteurized Milk sold in polypacksPasteurized Milk sold in polypacks

GheeGhee-- Clearifed butterClearifed butter

PaneerPaneer-- UUnaged, acidnaged, acid--set,set, curd cheesecurd cheese mademadebyby curdlingcurdling heatedheated milkmilk

Dean FoodsDean Foods

33Top selling productsTop selling products

Liquid Fresh MilkLiquid Fresh Milk

Soy Milk ie Sun SoySoy Milk ie Sun Soy

Ice CreamIce Cream


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Milk Manufacturing ProcessMilk Manufacturing Process


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Curd/Lassi Manufacturing ProcessCurd/Lassi Manufacturing Process


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Critical Business Success FactorCritical Business Success Factor

Dean FoodsDean FoodsIntangiblesIntangibles Extensive BrandingExtensive Branding Product KnowledgeProduct Knowledge

Total Customer SatisfactionTotal Customer Satisfaction Accountability, commitment & quality service from suppliers.Accountability, commitment & quality service from suppliers. Leverage suppliers with full potential to achieve continuous improvements.Leverage suppliers with full potential to achieve continuous improvements.

Speed Of Dean FoodSpeed Of Dean Food Largest refrigerated directLargest refrigerated direct--store delivery distribution networksstore delivery distribution networks Delivery vehicle equipped with new prototype truck refrigeration systemDelivery vehicle equipped with new prototype truck refrigeration system DieselDiesel--free, hybrid electricfree, hybrid electric--powered refrigeration tech. helps reduce carbonpowered refrigeration tech. helps reduce carbon

footprint, create operational efficiencies & cost savings.footprint, create operational efficiencies & cost savings.

InnovationInnovation Global ProductsGlobal Products AdvertisingAdvertising


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Critical Business Success FactorsCritical Business Success Factors

VerkaVerkaNumber one Pouch Packed Milk Supplier in Chandigarh,Punjab & Himachal

Seek Differentiated, Superior ProductsSeek Differentiated, Superior Products

Demand Sharp, Stable And Early Product DefinitionDemand Sharp, Stable And Early Product Definition-- Supporting milk producers in uplifting their rural economy.Supporting milk producers in uplifting their rural economy.

Export of Desi Ghee to many countries Investment in latest technology, which help in improving theInvestment in latest technology, which help in improving the

qualityquality international standards.international standards.


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Major Operational SuccessMajor Operational Success

VerkaVerkaVerka is enjoying a healthy market share (packed milk).Verka is enjoying a healthy market share (packed milk).The distribution network is very strongThe distribution network is very strong

Customers face absolutely no problem in getting Verka milkCustomers face absolutely no problem in getting Verka milkfrom market.from market.

Only competitor is loose milk sold by unorganized sector.Only competitor is loose milk sold by unorganized sector.

Promotion for Verka milk has very thin visibility.Promotion for Verka milk has very thin visibility. Plant Quality Performance is not been communicatedPlant Quality Performance is not been communicatedMisconceptions in the Minds of Consumer regarding packed milk.Misconceptions in the Minds of Consumer regarding packed milk. It was also noticed that home delivery is important for milkIt was also noticed that home delivery is important for milkconsumers.consumers.

Major Operational FailureMajor Operational Failure

VerkaVerka


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Principal WeaknessPrincipal Weakness

VerkaVerkaLimited human resources & most departments areLimited human resources & most departments arefalling short of work forcefalling short of work force

Political & govt. interference in the day to day operations.Political & govt. interference in the day to day operations.

Changing external environment & less flexible policiesChanging external environment & less flexible policiesfor deciding procurement as well as packed milk prices.for deciding procurement as well as packed milk prices.

Lacks in Communicating its quality assuranceLacks in Communicating its quality assurance

POOR Visibility of advertisement.POOR Visibility of advertisement.


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RecommendationsRecommendations

VerkaVerkaConcentrate more on its advertisement strategy.Concentrate more on its advertisement strategy.

Target diff. segments among milk consumers.Target diff. segments among milk consumers.

Consider manufacturing of new variants such asConsider manufacturing of new variants such ashomogenized milk & probiotic milk.homogenized milk & probiotic milk.

Home delivery of milk with the help of distributors.Home delivery of milk with the help of distributors.

Educate people regarding milk adulteration.Educate people regarding milk adulteration.

Need to regularly communicate & take feedbackNeed to regularly communicate & take feedback

Improving the relations with dealers.Improving the relations with dealers.


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Thank YouThank You

dairy industry- by group 9 - copy

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