PARAG

TABLE OF CONTENTS

1. Preface

2. Acknowledgement

3. Introduction

4. Reason for allotment of project

5. Industry Profile

6. Company Profile

7. Competitive Situation

8. Scope of Work

9. Objective of the Project

10. New Dairy Product Development

11. Research Methodology

12. Analysis

13. Scope & Limitation

14.Suggestion

15. List of Table

16. Bibliography

17. References

Ravi Pratap Yadav 0714170042

PREFACE

India is primarily an agricultural country .The soul of India is found in the villages.

In the recent years India has witnessed a rapid economic and technological

growth , but unfortunately this growth has been restricted to the urban areas

and business centers only .There fact is that our villages will depend on the old

age method of farming.

The crops and method of the earning of petty farmers are still depend on natural

agencies such as rain drought, hailstones etc. to great extent. moreover some of

these farmers have only a very little piece of land to cultivate most of these

farmers make there two ends meet by selling milk. Now they are being helped

by co-operative societies such as Pradeshic Cooperative Dairy

Federation .These societies serve two fold purpose s firstly they create an extra

source of income for all the reasonable rate and secondly by delivering the

proposed milk to cities and towns where people have very little time at their

disposal and often find it time consuming and boring to go to distant dairies

and waiting there for getting milk, also they are not sure of the quality of milk

offered by these traditional dairies .Uttar Pradesh is the most popular state in

the country having population of about 14 crores as per 1991 census of which

12% are urbanized .

The co-operative societies had led to the better farming methods, such as the

use of improved seeds , manures ,etc. the marketing and processing societies

have helped members to by their requirement cheaply and sell their

agricultural produce at good prices . It has also provided good storage facilities

to the farmers.


DECLARATION

I here by declare that the project, which is being presented in this project report

entitled “Market share of parag milk at Lucknow market”, is an authentic record of

my own work during the period of 6 weeks.

This information given by me in this report is exclusively for concerned

organization and would not be submitted by me anywhere else.

Ravi Pratap Yadav

MBA 2nd year


Dairy Scenario In India

Indian Dairy Is Emerging As Sunrise Industry. India Represent One Of The World

Largest And Fast Growing Markets For Milk And Other Products Due To

Encresing Disposable Income Among 275 Million Middle Class. The Coutry Is

Been Changed After The End Of 2000A.D. As The Worlds Number One In Milk

Production. The Reason Being That It Is Rural Based, Land Saving And Gender

Natural Composed To The Drop Production To Offers More Favorable

Opportunities Of Employment. Dairy Farming Provides Substantial Sourse Of

The Landless Labour As Well As Marginal Formers.

During The Last 25 Years, We Have Moved From A Situation Of Sacristy And

Rational Of Milk To Scenario In Which Milk Has Been Increasing At A Rate

Faster Than The Rate Of Increasing Of Population. There Is Large And Rising

Domestics Demand Both For Milk And Milk Products With An Expending Middle

Income Group, There Exist A Market For Value Added Products, Especially In

Cities And Towns. There Is Also The Possibility And Covering Surplus Into

Conventional Milk Products Like Casein Is Not Only Import To Develop Contries.

Modern Scientific Processing Technology And Managerial Incursion Are Opening

Up Best Opportunities In Processing And Marketing Of Various Kind Of Value

Assess Milk Flavored Milk, And Other Delicacies.

The Emerging Consumption Patters Present New Challenges For The Dairy

Industry. The Strategy Is Now Shifting From Distribution To Sales And Marketing

Extreme Permissibility’s Of Milk And Possibilities Of Its Contamination

Necessitate Rapid Movement Of Milk Difficult.


Indian Dairy Market Is Multi Layered Shaped Like Pyramid With The Base Made

Up Of Vast Market For Low Cost Milk. The Narrow Tip Is A Small But Affluent

Market For Western Type Milk Products Presently, Rarely 782 Out Of 3700

Cities And Towns Are Severed By Its Milk Distribution Network Dispending

Hygienically Packed Whole Some Quality Pasteurized Milk.

Of The Three A’s Of Marketing ACCEPTIBILITY, AVAILABILITY And

AFFORDABILITY, Indian Dairy Is Already With First Two A’s. People In India

Love To Drink Milk. Hence No Effort Are Needed To Make It Acceptable, Its

Availability Is Not A Limitation Either Because Of Ample Production. It Leaves

The Third Vital Marketing Factor Affordability. How Affordable For The Majority

With Limited Purchasing Power. Thish Is Essence Of The Challenge


INTRODUCTION

A market, or customer focused, organization first determines what its potential

customers desire, and then builds the product or service. Marketing theory &

practice is justified in the belief that customers use a product or service because

they have a need, or because it provides a perceived benefit.

Once a organization get his customers, he tries to retain them and wants to build

up a strong bond with his customers so that it can make a great image in

customers mind that would be helpful to enhance its market share.


REASON FOR ALLOTMENT OF

THE PROJECT TOPIC

In leading competitive environment it is very important to know that where we

stand & what is our position in market and customers mind. After commencing its

branch at Lucknow, the company wanted to know its market share against its

competitors in Lucknow.


INDUSTRY PROFILE

The dairy industry in India is considered to be a category, which has been

growing and profitable. This category is better organized amongst other

categories of processed food industry in India. When the world production of fluid

milk stands at around 613 million tonnes and is growing at a rate of only 1.1

percent India’s milk production stood at 91 million tonnes growing at around 4 per

cent per annum. This means that 15 % of the world’s milk is produced in India

and that too growing at a rate four times of global growth rate giving India the

status of the largest milk producing nation in the world. There are two differences,

namely, about 58 percent of this milk is from buffalo and despite being the

highest milk producing nation in the world the per capita milk consumption in

India is still lower (229 gm per day) than the world average (285 gm per day). Our

milk production, processing and marketing channel as it exists is unique in

nature. About 70 million rural

households are involved in cattle rearing and milk production, out of which only

11 million farmers are linked with the 0.1 million dairy cooperative societies

generating about 18 million tonnes of the fluid milk daily. This milk from dairy

cooperatives forms the major source of fluid milk supply to cities and towns

across the country.


VALUE ADDED

DAIRY PRODUCTS

The other dairy products include butter, ghee and milk powder. Of which, milk

powder which is a Rs 25500 crores category is entirely with the organized sector.

But in butter and ghee unorganized sector is the larger player. Butter is a Rs

6500 croes category of which organized sector represents only about Rs 500

crores and ghee is Rs 24500 crores of which organized sector is only Rs 3500

crores and the balance is with the unorganized sector. Small local brands have

been able to create a niche and competing on price equation.

Value Addition in Dairy Products

In last one decade the processing scenario has changed. There are more players

in the segment both Indian and overseas than before. Some of the private

players and their brands also disappeared during this time as they could not play

the new rules of the game. Local new players are not able to play the high pitch

marketing game and therefore gradually reduced to become the subcontract

manufacturers for the large players. Both Dabon International and Britannia are

therefore, marketing the brands of cheese sourcing from Indian local players. In

the cooperative sector Amul has overshadowed other state cooperatives. They

have their success stories but not been able to grow beyond the regional level.

The large part of the processed dairy products are still with the unorganized local

and small players including halwais and dudhias who operate in small pockets

using traditional methods of processing where large players cannot easily reach.

The task in hand is thus how


we can integrate those unorganized players to upgrade them in the value chain?

Can we help them to produce using better technology maintaining quality

standard so that large organized players can market those at higher value

through a franchised chain of outlets spread all over which can be owned by the

same unorganized players so that they get higher value and at the same time

play a larger role in the national interest? This is both technology as well logistic

management task and we need to create a model for the success

Future Vision 2020

India would like to emerge as the leading economic power by year 2020.

According to the prediction of Goldman Sachs, India will become one of the

three, along with China and America, leading economic super power by the year

2050 but we would like to achieve that status by 2020. In the next five years we

will be delivering the same economic growth which we could achieve in last fifty

years. This is possible if we grow at 7- 8 % in GDP terms year on year as

projected. And if that is to happen agricultural sector has to deliver about 4 %

growth year on year. Given a good rainfall this should be possible. Although, a

pessimist will argue that in post liberalization, agricultural growth rate has

reduced, it was 3- 4 % before 1990s.

In the first three years of the 10th plan period (2002-2007) agricultural sector

growth plummeted to near about 1% but the economy has the resilience to

absorb that pressure and we still delivered the growth rate supported by the


service sector. We need now another successful green revolution focusing on

horticulture, floriculture and dairy sectors. By year 2020 our domestic demand for

milk and milk products likely to reach a level of about 170 million tonnes and we

can achieve this target provided we continue to maintain the current level of

growth. In the global trade we have the products like butter & milk fat, cheese,

condensed milk, whey casein etc. When paneer industry is organized and the

volume picks up whey protein isolate, milk lactose will be produced and

exported. Our products are based on buffalo milk whereas in global trade cow

milk products

are traded. Our surplus can marketed globally in the processed form provided we

can develop the market for those. For this purpose we need to forge global level

collaboration. But the way market is developing for health related products

including milk we will not have any difficulty in finding market for the increased

milk output as projected in the domestic market itself. Currently, India’s

OPERATION FLOOD

Operation flood is an integrated programme for dairy development. Operation

flood is designed to raise milk producer’s income by organizing them into co-

operatives and eliminating middleman to increase milk production in rural areas

and creating a flood of milk. The main objective of Operation Flood is to build a

viable and self-sustaining national dairy industry on co-operative lines. The entire

process of development in the increase of milk production, procurement,


processing, marketing and production enhancement are to be b rought out

through organizations owed and managed by farmers themselves.

The origin of Operation Flood can be traced back to the last century,

when organized dairies were set up to supply milk to British families and later to

Indians. One of the largest of those privately owned dairies is situated in Kaira

District of Western State of Gujarat. It produced milk from surrounding areas,

pasteurized it and sent it by rail to Bombay, some 400 km to the south. But it was

private traders middlemen, who bought the milk from villagers, many of whom

had only a small amount to sell and were easily exploited.

In the late 1940’s political leaders persuaded the producers of Kaira

district to organize themselves into co-operatives. This was the inception of

“Anand Milk Union Ltd.” in the small town of Anand abbreviation of “Anand Milk

Union Ltd.” In the small town of Anand abbreviated as “AMUL” which means

“Priceless” in Sanskrit. The New Delhi Government set up the National Dairy

Development Board (NDDB) in Anand in 1965 to guide state governments in how

to develop dairy projects along the line of Amul dairy. This project came to be

known as “Operation Flood”.

In 1950-51 milk production of India was as low as 17 million tones. By

1990-91 it reached a level of 54 million tones by 2000 A.D. The success of this

can be attributed to the successful implementation of world’s largest development

project Operation Flood Programme, which passed through three phases from

1970-1995.


Operation Flood was result of an organized attempt directed towards the

development of dairy industry in India. The programme has laid emphasis on

setting up of “Anand Pattern” rural milk producer’s co-operative organizations to

procure process and market milk and to provide some of the essential technical

input services for increasing milk production.

Launched in 1970, Operation Flood has helped dairy farmers direct their own

development, placing control of the resources they create in their own hands.

National Milk Grid links milk producers throughout India with consumers in over

700 towns and cities, reducing seasonal and regional price variations while

ensuring that the producer gets fair market prices in a transparent manner on a

regular basis.

The bedrock of Operation Flood has been village milk producers’ cooperatives,

which procure milk and provide inputs and services, making modern

management and technology available to members. Operation Flood's objectives

included:

Increase milk production ("a flood of milk")

Augment rural incomes

Reasonable prices for consumers

Operation Flood was implemented in three phases.


Phase I

Operation flood was launched in July 1970, following an agreement with the

World Food Programme (WFP). This programme involved organizing dairy co-

operatives at the village level, providing the physical and institutional

infrastructure for milk procurement, processing, marketing and production

enhancement services at the union level and establishment of city dairies. The

overall objective of Operation Flood-1 was to lay the foundation of modern dairy

industry in India, which would adequately meet the country’s need for milk and

milk products. A total of 116.54 crore was invested in the implementation of the

programme. By its end in 1981, about 13,300 dairy

Co-operative societies (DSC) in 39 milk sheds were organized, enrolling about 18

lakh farmer members. It achieved a peak milk procurement of 34-lakh kg per day

and marketing 28-lakh kg per day.

Phase I (1970-1980) was financed by the sale of skimmed milk powder and

butter oil gifted by the European Union then EEC through the World Food

Programme. NDDB planned the programme and negotiated the details of EEC

assistance.

During its first phase, Operation Flood linked 18 of India's premier milksheds with

consumers in India’s four major metropolitan cities: Delhi, Mumbai,

KolkatChennai.


Phase II

The background of the institutional frame work of Operation Flood-II (1981-85)

essentially comprised the successful replication of the “Anand Pattern’. A 3-tier

co-operative structure of society, unions and federations. The programme was

approved by the government of India implementation during VIth plan period with

an outlay of Rs.273 crore. About US $ 150 million was provided by the World

Bank and balance by EEC.

Cooperatives covering 4.25 million milk producers had become a reality.

Domestic milk powder production increased from 22,000 tons in the pre-project

year to 140,000 tons by 1989, all of the increase coming from dairies set up

under Operation Flood. In this way EEC gifts and World Bank loan helped to

promote self-reliance. Direct marketing of milk by producers' cooperatives

increased by several million liters a day.

Phase III

Phase III (1985-1996) enabled dairy cooperatives to expand and strengthen the

infrastructure required to procure and market increasing volumes of milk.

Veterinary first-aid health care services, feed and artificial insemination services

for cooperative members were extended, along with intensified member

education.


Phase III gave increased emphasis to research and development in animal health

and animal nutrition. Innovations like vaccine for Theileriosis , bypass protein

feed and urea-molasses mineral blocks, all contributed to the enhanced

productivity of milch animals.

In Operation Flood-III, the investments were focused on strengthens the

institutional management aspect of dairy co-operative at various levels to

establish financially strong farmer owned and managed organizations. The phase

was funded by the World Bank to the extent of US $ 256 million, EEC food aid to

the tune of Rs. 226.6 crore and National Dairy Development Board’s own

resources worth Rs. 207.7 crore. By its end 69600 dairy co-operatives in 170 milk

sheds procured 116-lakh kg of milk per day and marketed about 94-lakh kg/day

of liquid milk.

Operation Flood major achievement is the National Milk Grid which has worked a

lot by diminishing regional and seasonal imbalances which arises in the collection

and distribution of milk. From the outset, Operation Flood was conceived and

implemented as much more than a dairy programme. Rather, dairying was seen

as an instrument of development, generating employment and regular incomes

for millions of rural people. "Operation Flood can be viewed as a twenty year

experiment confirming the Rural Development Vision" (World Bank Report

1997c.)


REGIONAL CONTRIBUTION TO MILK

PRODUCTION

Source: NDDB / NIANP 2003


PATTERN OF MILK UTILIZATION BY

DIFFERENT SECTORS

Source: NDDB . org.in


PRADESHIK CO-OPERATIVE DAIRY FEDERATION

LIMITED

PROFILE

History of co-operative dairy industry in U.P. dates back to 1971 when “katra co-

operative milk society” was set up in Allahabad; Lucknow milk union was

established in 1985. in 1962, the PRADESHIK CO-OPERARTIVE DAIRY

FEDERATION was established, keeping in mind the aim to consumers and also

to help the backward classes and villagers economically.

Pradeshik co-operative dairy federation is a pioneer milk production. With the

main objective of removing the middleman from transaction between producers

and consumers, it’s other objective care to nearest milk production and by

products of the milk. Keeping these objectives and aim in mind pradeshik co-

operative dairy federation was set up as the state level as apex body for

launching operation flood. The government body for all dairies of the state.

Operation flood 1, 2 & 3 were in U.P. with following


ABOUT PRADESHIK CO-OPERATIVE DAIRY FEDERATION

LIMITED

Under Operation Flood (Parag Dairy Plants) 38

Brand PARAG

COMPANY CONTACT ADDRESS

Pradeshik Cooperative Dairy Federation Ltd.

29 Park Road

Lucknow,

UTTAR PRADESH - 2 26 001

Telephone: +91-522-2236466/75


Fax: +91-522-2266472

MILK CO-OPERATIVES IN UTTAR PRADESH

Aligarh Dugdh Utpadak Sahakari Sangh Ltd, Aligarh.

Allahabad Dugdh Utpadak Sahakari

Sangh Ltd, Allahabad.

Badaun Dugdh Utpadak Sahakari

Sangh Ltd, Badaun.

Ballia Dugdh Utpadak Sahakari Sangh

Ltd, Ballia.

Lucknow Dugdh Utpadak Sahakari

Sangh Ltd, Lucknow.

Bijnore Dugdh Utpadak Sahakari

Sangh Ltd, Bijnore.

Bulandshahr Dugdh Utpadak Sahakari


Sangh Ltd, Bulandshahr.

Etah Dugdh Utpadak Sahakari Sangh

Ltd, Etah.

Etawah Dugdh Utpadak Sahakari

Sangh Ltd, Etawah.

Farrukhabad Dugdh Utpadak Sahakari

Sangh Ltd, Fatehgarh.

Fatehpur Dugdh Utpadak Sahakari

Sangh Ltd, Fatehpur.

Gangol Sahkari Dugdh Utpadak Sangh

Ltd, Meerut.

Gonda Dugdh Utpadak Sahakari

Sangh Ltd, Gonda.

Gorakhpur Dugdh Utpadak Sahakari

Sangh Ltd, Gorakhpur.

Hardoi Dugdh Utpadak Sahakari

Sangh Ltd, Hardoi.

Jalaun Dugdh Utpadak Sahakari

Sangh Ltd, Orai.


Jaunpur Dugdh Utpadak Sahakari

Sangh Ltd, Jaunpur.

Kanpur Dugdh Utpadak Sahakari

Sangh Ltd, Kanpur.

Lucknow Producers' Coop Milk Union

Ltd, Lucknow.

Mainpuri Dugdh Utpadak Sahakari

Sangh Ltd, Mainpuri.

Mathura Dugdh Utpadak Sahakari

Sangh Ltd, Mathura.

Moradabad Dugdh Utpadak Sahakari

Sangh Ltd, Moradabad.

Muzaffarnagar Dugdh Utpadak

Sahakari Sangh Ltd, Muzaffarnagar.

Rae Bareili Dugdh Utpadak Sahakari

Sangh Ltd, Rae Bareli.

Saharanpur Dugdh Utpadak Sahakari

Sangh Ltd, Saharanpur.


Shahjahanpur Dugdh Utpadak

Sahakari Sangh Ltd, Shahjahanpur.

Sitapur Dugdh Utpadak Sahakari

Sangh Ltd, Sitapur.

Sultanpur Dugdh Utpadak Sahakari

Sangh Ltd, Sultanpur.

Unnao Dugdh Utpadak Sahakari

Sangh Ltd, Unnao


ABOUT THE COMPANY

Name of the organization : Lucknow Producers Co-Operative

Milk Union Limited

Address of the organization : 22, Jopling Road, Lucknow

Established : 1938

Registration : 23rd March 1938

Place of establishment : Initially at Charbagh,

Shifted to Ganeshganj.

Presently at 22, Jopling Road,

Lucknow

Founder : Rai Bhadur Gopal Lal Pandya

Board of Directors : Administrator Appointed By Government

Present Administrator : Mr. Chandra Bhanu I.A.S. D.M. Lucknow


Per day production of milk : Initially 4000 liters. 1.5 lakh liter per day

Location : Initially Charbagh, at

Present -22, Jopling,

Road, Lucknow

Area of Distribution : Hole City Of Lucknow &Near By District

(Lucknow,Sultanpur,Rai Bareli,Hardoi)

Despite several setbacks and hurdles the co-operative has steadily progressed.

Operation Flood-II, which was implemented in U.P in the year 1983-84, provided the

much needed to the co-operative. For the past few years Lucknow Pradeshik Co-

operative Dairy Federation has maintained its lead in area such as distribution,

handling and revenue.


MANAGEMENT – THE FORCE WITHIN

The organization boasts of more than 3000 employees that cover a whole gamut of

highly qualified and motivated professional- MBA’s, CA’s, Engineers, Dairy

Technologists, chemists and Veterinarians.

INFRASTRUCTURE (PLANT & MACHINERY)

The organization is equipped with sophisticated plants & machinery to manufacture

Ghee, Table butter, Milk butter, Milk powder and other dairy products on a big scale.

PCDF has also distinction of having the most sophisticated & fully computerized first

vertical dairy n India. This is a state of the art project with its various sections located

in the basement and three floors of the building.

A well-equipped central quality control laboratory is based at Lucknow with checks

the organoleptic chemical & microbiological quality of the products.


ORGANIZATION STRUCTURE

Organization Structure of Lucknow Unit

The staff strength of Lucknow Milk Union (LMU) is approximately 450 empolyees,

which can be divided into following categories: -

Class I General Manager 1

Class II Managers 30

Class III Subordinates 179

Class IV Peon & other lower Subordinates 223-250

Apart from this, thousands of people i.e. society men, milk producers are indirectly

related to milk union and further sub division also takes places.


ORGANIZATION STRUCTURE CHART

MARKETING:


Board of Director

Chairman

General Manager

Marketing Manager Finance Manager Admin & Personal MIS Manager

Purchase/ store Manager Factory Manager Peon & Lower Staff

Production Engineer Quality Control

Animal Husbandry Food Operation Co-operative Department

The federation is marketing milk & milk products, under a common brand name

PARAG.

The clientele includes several prestigious institutions in UP & Delhi besides the Indian

army. The sales network is spread throughout northern India. Although PCDF believe

that a satisfied customer is their best advertisement.

OTHER PROGRAMMES:

Due to its reputation, efficiency, wide network and quality manpower, PCDF is

currently implementing following developmental and promotional programmes

supported by central/state govt.

Integrated mini dairy project (IMDP)

Women dairy project (WDP)

Rural family welfare projects (RFWP)

Diversified agriculture support project (DASP)

These programmes have won many laurels for PCDF adding further to its reputation.

PCDF’s real sense of pride lies in the facts that its farmer member are heading surely

and steadily towards a prosperous future and the knowledge that its consumers

reaffirm their faith in PARAG, year after year. It is in this context, that PCDF’s

success is to be measured.

WELFARE PROGRAMMES IN LMU


In LMU welfare department is a sub-division of PERSONNEL and ADMINISTRATION

department. In Labor Welfare is the head of this sub-division whose work is to

implement welfare programmes to solve out grievance of worker and to maintain

harmonious relationship between workers and management. Following facilities are

provided to the workers at LMU:-

FIRST CATEGORY: -

Drinking water

Toilets

Bathroom and washing facilities

Restroom

Uniform

Canteen

Health and safety measures within the establishment

SECOND CATEGORY:-


Gratuity

Provident fund

Medical facility

Bonus

Housing

Recreational activities

Other facilities include death relief fund festival bonus, overtime payment welfare

funds, group insurance policy, etc.

PRODUCTS OF THE COMPANYRavi Pratap Yadav 0714170042

Liquid milk

Parag Gold (full cream milk)

Parag lite (skimmed milk)

Parag Taaza (toned milk)

Parag besan laddoo Paneer

Parag peda White Butter

Parag Dahi Table Butter

Parag flavored milk Parag Ghee

Parag Mattha Parag kheer

LIQUID MILK SALE/DAY IN LITER


LMU OVER THE YEARS

Source: According to company’s MIS department report

Source: According to company’s MIS department report.


Transportation

In The Unit The Trasport Manage Is Under The G.M. (Unit)

The Transport Manager Has A Supervisor And A Group Of Drivers, Cleaners,

Mechanic And Office Staff Along With Forman. He Has Small Vehicles Collect

The Milk From Village Milk Societies And To The Deliver The Milk And Milk

Products To The Retailers.

Distribution

The Lmu Has 6 Zones of packet milk ,in Such Zones There Are 50 Routes . All

The Routes Have Different Agents Totaling To 2500 there are 60 ajents of parag

dugth milk

Agents Sell Milk And Milk Products To Consumers And Pay To The Amount To

The Driver Of The Van. The Driver Deposits The Sum To The Cashier Of The

Unit.


TRANSPORTATION COST OVER THE YEARS

(in Rs/Kg)



SALE OF DIFFERENT PARAG PRODUCTS OVER

THE YEARS

PLAIN DAHI



SWEET DAHI



MATTHA



FLAVOURED MILK



PEDA



PANEER



TABLE BUTTER



GHEE

LIQUID MILK



COMPETITIVE SITUATION

In present scenario for every company there is need of four pillars to stand firmly

in markets that are-

1. Image

2. Position in market

3. Money

4. Good strategy

Apart from it there are a need of clear vision and good eye on customers

strategies and programmed. So it is very essential that the company should move

according to market pace and situation.


MAJOR COMPETITOR OF PARAG MILK

Introduction of Amul Dairy

The Amul Dairy Cooperative, which had been around since 1946, was integrated

into this system, helping transform India into one of the world’s largest milk

producing countries. Dr. Verghese Kurien, who founded Amul, has been profiled

on Ashoka’s changemakers website. Here is what they have to say about his

organization:

Amul Dairy has organized over 10,000 village cooperatives, designed and

implemented multiple interventions along the value chain. Together these

cooperatives bring more than 10 million liters of milk to market daily, which

makes them the leading player in the Indian milk industry. For many of India's

rural poor, daily milk sales from the few cows they own is an essential part of

their income. Yet the entire process from taking the milk to a market to selling it

and collecting payments is fraught with inefficiency and unfairness.

Amul Dairy has transformed the process for millions of small farmers by using an

automatic, computerized collection system which reduces the time for weighing,

quality testing and payment processing from a few hours with payment days later,

to five minutes and immediate payment. Each day, milk is collected no more than

10 miles from the farmer, with this nationwide, decentralized, collection process.


http://www.nextbillion.net/changemakers

http://www.nextbillion.net/changemakers

Amul developed a computerized quality testing machine, which makes the

process transparent and fair to the farmer, and buys exclusively from women—a

decision which has increased the status of the women, while developing a

positive brand image for India's largest food products business.

Particulars Product 1 Product 2 Product 3 Product 4

Brand Amul Pizza Amul Cheese Amul MilkAmul Ice Creams

Total Sales138.7million Rupees

385 million Rupees 709 Crores Na

Target Customer

15-40yrs 15-55 Yrs 1-50 Yrs 5-30 Yrs

New Product 2003 Onwards

Amul Basen laddo Amul StaminaAmul Kool Cafe

Yogi Flavoured Yoghurt

CompetitorsDominos, Nirulas, Pizza Hut

Britannia Mother’s DiaryKwality Walls


Other Competitors Of Parag

LOCAL MILKMEN

The purchasing power of a man is directly related to his income and the feasibility

of a person. Indirectly it also hits the market share of Parag . there are few points

by which milkmen affects the market share-

1.If the earning of family is low.

2.Easy availability of natural milk.

3.If the consumption power is very high.

LOCAL BRANDS

Apart from Amul & milkmen there are also some local brands that affect the

market share of Parag. There is some condition in which the demand of GIFFIN

GOODS increases and people bound to purchase these items.


MARKET SHARE OF PARAG AND ITS

COMPETITORS

Source: Based on market survey


SCOPE OF WORK

Even though PARAG is market leader in terms of market share in marketing

general MILK the cut throat competition propels it to identify the variables that

govern consumer behavior.

Identification of such variable help in recognizing the areas of strength &

weaknesses and scope of future investments. PARAG is entrusted with a task of

continuous improvement in all its associated fields. When it comes comes to

distribution of their product, PARAG in its continuous endeavor to reach to each

and every corner of India and other countries has been able to attain their goal to

a large extent. At present PARAG doing well as compared to other market

players. To keep up to customer expectations PARAG exercises stringent quality

& quantity checks.The whole process is customer centric, so that PARAG

continues to be the market leader. This survey/research would be quite beneficial

for PARAG to see its mission materialize.

The survey/research would throw light on aspects that need attention, so that the

customer base increases, which would result in more revenue generation.

To keep thing in minds that as the ever changing competitive business

environment , New thought and ideas should pour into its R&D to

innovate its existing products which should be beyond competition

comprehension.


Special reference is made to the improvement to the quality of product

in term packaging and product innovation advertisement & ways

means to cut down competitors.

To keep things in minds that as the ever changing competitive business

environment .New thoughts and ideas should pour b into its Research and

Development to innovate its existing products which should be beyond

competition comprehension.

This study enables the user with answer to formulate an effective marketing mix

strategy with a broader prospective to tap areas where it did not feel the need

earlier, hence the decision of whether to penetrate this section or not can be

found out at the end of the data analysis.

It also give affair idea of the potential of our business in the future and the

fluctuation in prices from time to time and from product to product.


OBJECTIVE

Main Objective

To find satisfaction of consumer with parag product.

To know why consumer purchase parag.

To know the awareness of parag product.

Sub Objective

To know the image of organization in the market.

To know the brand loyalty of parag product.


SWOT ANALYSIS OF THE COMPANY

Strengths

Demand profile: Absolutely optimistic.

Margins: Quite reasonable, even on packed liquid milk.

Flexibility of product mix: Tremendous. With balancing equipment, you can

keep on adding to your product line.

Availability of raw material: Abundant. Presently, more than 80 per cent of milk

produced is flowing into the unorganized sector, which requires proper

channelization.

Technical manpower: Professionally trained, technical human resource pool,

built over last 30 years.

WEAKNESSES Perishability: Pasteurization has overcome this weakness

partially. UHT gives milk long life. Surely, many new processes will follow to

improve milk quality and extend its shelf life.

Lack of control over yield: Theoretically, there is little control over milk yield.

However, increased awareness of developments like embryo transplant,

artificial insemination and properly managed animal husbandry practices,

coupled with higher income to rural milk producers should automatically lead

to improvement in milk yields.


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Logistics of procurement: Woes of bad roads and inadequate transportation

facility make milk procurement problematic. But with the overall economic

improvement in India, these problems would also get solved.

Problematic distribution: Yes, all is not well with distribution. But then if ice

creams can be sold virtually at every nook and corner, why can’t we sell other

dairy products too? Moreover, it is only a matter of time before we see the

emergence of a cold chain linking the producer to the refrigerator at the

consumer’s home!

Competition: With so many newcomers entering this industry, competition is

becoming tougher day by day. But then competition has to be faced as a

ground reality. The market is large enough for many to carve out their niche.

OPPORTUNITIES

"Failure is never final, and success never ending”. Dr Kurien bears out this

statement perfectly. He entered the industry when there were only threats. He

met failure head-on, and now he clearly is an example of ‘never ending success’! Ravi Pratap Yadav 0714170042

http://www.indiadairy.com/ind_marketing_quality.html

If dairy entrepreneurs are looking for opportunities in India, the following areas

must be tapped:

Value addition: There is a phenomenal scope for innovations in product

development, packaging and presentation. Given below are potential

areas of value addition:

a) Steps should be taken to introduce value-added products like shrikhand,

ice creams, paneer, khoa, flavored milk, dairy sweets, etc. This will lead to

a greater presence and flexibility in the market place along with

opportunities in the field of brand building.

b) Addition of cultured products like yoghurt and cheese lend further strength

- both in terms of utilization of resources and presence in the market place.

c) A lateral view opens up opportunities in milk proteins through casein,

caseinates and other dietary proteins, further opening up export

opportunities.

d) Yet another aspect can be the addition of infant foods, geriatric foods

and nutritionals.

Export potential: Efforts to exploit export potential are already on. Amul is

exporting to Bangladesh, Sri Lanka, Nigeria, and the Middle East.

Following the new GATT treaty, opportunities will increase tremendously

for the export of agri-products in general and dairy products in particular.


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THREATS

Milk vendors, the un-organized sector: Today milk vendors are

occupying the pride of place in the industry. Organized dissemination of

information about the harm that they are doing to producers and

consumers should see a steady decline in their importance.


New Product Development in Dairy Sector: Spotting Opportunities`

India has achieved spectacular growth in milk production to reach a level of 91

million tonnes and is still growing at CAGR of 4 percent. However, one of the

important concerns for the future will be discovering way and means to expand

the demand to absorb incremental production. This will require far more greater

effort in promoting consumption in the domestic market and highly competitive

export markets. This is going to be the single most important challenge which

needs to be addressed to achieve healthy growth of dairy industry in future.

Given the high self-indulgence of Indian population with milk and milk

consumption, demand expansion should not pose much of a problem provided

domestic markets are tapped with greater understanding of consumers and

changing consumption environment which is shaping changes in consumer

preferences. So far the dairy industry has been slow to react to these changing

consumption trends. This lack of effort is reflected in nearly stagnant share of

organised sector (approx 13 per cent) over the years as against 42 per cent

market share commanded by the unorganized sector. The remaining 45 per cent

of production is consumed in the rural areas itself. One of the important reasons

for this stagnation is the restricted product portfolio of the organized sector -

packaged milk (8 per cent) and dominantly westernmilk products (5 per cent). On

the other hand the unorganized sector has much wider portfolio of indigenous

products (23 per cent value added products) with greater alignment


withconsumer preferences and ability to cater to regional product preferences in

addition to larger share of liquid milk market (19 per cent). In fact, the organized

dairy sector has not done much in terms of investments in research and

development of innovative dairy products. The product portfolio of the Indian

dairy industry has hardly shown any departure from its traditional product base.

The exception being consolidation of ice-cream market and some fragmented

efforts in promotion of traditional milk products like Curd, Shrikhand, Gulabjamun

and Buttermilk in last few years. The inadequacy of these efforts has resulted in

widening gap between milk production and sale of milk and milk products. A

recent report has indicated that during the year 2004-05, dairy cooperatives

procured 15 percent more milk than 2003- 04, but milk marketing rose just by 5

per cent. This trend may gain momentum, if the Indian dairy industry fails to

catalyse the consumption of milk and milk products in the changing consumption

environment driven by greater concerns for health and wellness. It is time the

Indian dairy industry places far greater importance in developing and launching

more successful milk and milk based products which in turn will help to increase

demand for dairy products and absorb increasing marketable surplus of milk

Commercialisation

The commercialization aspects of new product introductions or existing products

have not been adequately emphasized in the Indian marketplace. The consumer

acceptance of new products does not occur overnight but it requires a sustained

effort to maintain quality, convenience through easy to handle packages and

above all crossing consumer affordability barriers to generate economies of


scale. The requirement for convenience and quality will grow with increasing

disposable incomes and consumer consciousness for health and balanced

diet. However, affordability will remain a critical factor influencing consumption for

a large section of Indian consumers in smaller cities, towns and rural areas.

These constraints/ requirements of the target market will require the dairy

industry to respond through appropriate interventions in the areas of quality

control, innovative packaging and cost management to keep price affordable to

their target markets.

Strategic Options

A critical analysis integrating critical growth drivers as described in the NPD-

opportunity framework has helped to discover three options for the organized

dairy industry in India . If implemented, these options have the potential to

radically expand the presence of the dairyproducts in the food and beverage

category and substantially alter its market share compared to unorganized sector.

These options are:

Introduction of New Liquid Milk Products

It will be safe to predict that the consumption of normal milk will continue to grow

in near future. However, in order to sustain the demand for milk in metro-markets

and big cities, the dairy industry will have to take initiatives in launching new

liquid milk beverages to respond to possible fragmentation of existing consumer


segments and to effectively compete with non-dairy beverages. This will require

introduction of new liquid milk products through greater product differentiation to

service various emerging market segments by the principal benefits sought. The

possible product range may include milk products on health and functionality

platform, namely flavoured milk, sports and energy drinks including whey drinks,

milk plus juice drink, enriched milk (with calcium), pro-biotic milk and lactose/fat

free milk. The Indian market is not yet ready for ‘nutraceutical’ liquid milk

products but product research and development must continue for gradual

launch of these products by year 2010.

New Business Model for Traditional Products

The Khoa, Chhanna and Chakka are intermediate products for manufacture of

most of the ethnic products. A very large part of country’s milk production is

converted into these products but the organized dairy industry has not taken

adequate initiatives to be a part of this huge market. Two major interventions are

required to integrate the organized dairysector to become an integral part of

supply chain for traditional milk products. Firstly, the organized dairy sector

undertakes the manufacture of intermediate products on a large scale to supply

to the unorganized sector for conversion into variety of ethnic products as per

regional preferences of the consumers. Such reconfiguration of the supply chain

will not only require introduction of technology for their large scale manufacture

but also a second intervention in terms of a business model to expand the

demand of traditional products in future and upscale their quality standards.

Launch of Innovative Health Based Dairy Products


The next generation of value added dairy products must meet the emerging

needs of consumers and simultaneously address to their concerns and beliefs.

‘Health’ and ‘functional’ foods are going to be the mega-trends of the future in

dairy products beginning with metromarkets and gradually spreading to other big

cities and towns. The products in the health category would include products for

weight management, sports nutrition, fun products providing low calorie, high

protein or calcium for today’s health conscious customers. The functional product

category would include pro-biotic, reduced-fat/carbohydrate and enriched milk

products. As indicated earlier, the Indian market is not yet ready for the products

in the nutraceutical category which includes therapeutic and dietary products but

demand for these products is likely to pick up by the year 2010 and Indian dairy

industry must prepare itself to respond to the demand of these high value added

dairy products.


Summary

With a few exceptions, the Indian dairy industry has been slow to adopt or react

to the developments taking place in the consumption environment while the milk

production is on the rise. The single most challenge in the near future therefore

would be to expand the domestic market as well as gear up to compete in the

export markets. This paper focuses on NPD in the context of this imminent future

challenge.

The NPD opportunity framework suggests that in order to launch new products in

the Indian market, significant investments will be required in understanding

consumer behavior and preferences; new product research and development;

technology development and its management and commercialization of new

products in the marketplace. The paper identifies three strategic options - launch

of new liquid milk products, integration of organized dairy sector in the traditional

products supply chain and launch of health based milk products as possible

ways of up scaling the Indian organized dairy industry and to effectively compete

with other food and beverage products.


LIQUID MILK MARKETING

At present the liquid milk having brand name as “PARAG” is being marketed

through local unit /milk union in major cities /motors on U.P and Delhi under

the direction of P.C.D.F Ltd Lucknow , Kanpur , Varanasi, Meerut are the main

center point for maximum milk demand .

The following types of milk are mainly marketed by P.C..D.F Ltd.

1. Parag gold(full cream milk) contains 6% fat& 9% S.N..F. available in

500ml,and 1ltr. Packs.

2. Parag taaza(Toned milk) is pure pasteurized milk with 3% fat and 8.5%S.N.F .

available in 200ml,500ml&1ltr. Packs.

3. Paraglite(skimmed milk) is 99.5%fat free.available in 500ml &200ml.packs

4. Standard milk 4.5%fat,&8.5%SNF(Loose milk).

Milk Product Marketing

The project marketing division is handling the marketing of butter ghee and dairy

whitener.

A part of this, there are certain indigenous products being marketed directly by

Table butter in 20 mg. pack

Paneer 100 gm .Polypack ,1000 gm. Polypack


RESEARCH AND DEVELOPMENT CELL MARKET

RESEARCH AND PRODUCT DEVELOPMENT

1.Market research for identification of future consumer need conceptualization

of future product need

2.To develop prototypes of new products established market acceptance,

demand & study their feasibility and economics for commercial production

3.Formulation of pre –launch and post – launch advertising and strategies for

new product for establishing a state demand of the product for

establishing a state demand of the product .

4.Regular market survey for existing milk products

5.To review the existing milk and product on the basis of consumer response

and to suggest the remedial measures .

To P.C..D.F also have SYSTEM DEVELOPMENT & PACKING MATERIALS

DEVELOPMENT cell along the above cell for betterment future of its products .


DETAIL OF FUNCTION DEPARTMENT OF THE

ORGANIZATION

Regional Marketing Offices:

The Marketing of the PARAG product is monitored and effected through their six

marketing offices located at ;

1. Lucknow

2. Rampur

3. Delhi

4. Meerut

5. Varanasi

A regional Manager (marketing ) who has a certain area of office and also one

warehouse located in the above towns

Products are transferred from General Manager (marketing ) at the head office

to the stockiest or through the C&F agent and around their respective regions .

The Regional Manager is assisted in his marketing function by team of Sales

force whose basic task is to call on the retailer ,book order , increase the no.of

retailers and study competitive environment .The entire marketing operation is

monitored at the head office level under the supervision of General Manager

(Marketing ) through regular reporting feedback received from the head office

marketing staff who make regular intervals at the head office .


STRATEGIES IN DIFFERENT STAGES OF

PRODUCTS

Introduction Stages:

(1) Rapid skimming

Most of market unaware of product

When aware consumer are ready to pay high price

There is the threat of competition coming quickly

(2) Slow skimming

Most of the market are aware of the product

Market is limited

When there is threat of competition

(3) Rapid penetration

When market is very big

Most of market is unaware of the product

There is threat of competition

Consumers are price sensitive.


Growth Stage

Strategy:

Improve product quality, styling, add new features.

Enter new market segment.

Improve distribution coverage.

Reduce price to attract price sensitive buyers.

MATURITY STAGE

STRATEGY:

Market modification

Product modification

Marketing mix modification

Down price & promotion.

Market demand is more.

Changes in distribution channel.

More customer are willing to accept the products

Changing customers need and,

Better and more efficient user friendly product


Brand Loyalty

Brand loyalty is alive and well. It is the creation of an emotional attachment

to a company and its products / services. In this sense, a consumer is willing

and ready to pay more for a product with a strong brand, and to do it more

frequently. For instance, if you buy ketchup and you are wandering the

aisles of your grocery store, you will see the Heinz right next to the store

brand. Fundamentally, both products are identical - tomatoes, sugar, and

water. But the emotional attachment of your "training" (from ads) - "there is

no other kind, once you've tasted Heinz", and the familiar shape of the bottle

will drive you to buy the Heinz ketchup at a premium price.

Take a look at Levis for a brand that suffered badly from fatigue. In the 80s

they had a stranglehold on the denim market. Then, in the 90s they were

caught with their pants down (so to speak). The lure of their brand vanished.

Competitors took the fight to them. I don't think that they have regained that

brand strength since.


GET MILK 24 HOURS AT ATMS

LUCKNOW: Now, it's All-Time Milk (ATM) for Lucknow cites And this has

become possible with Pradeshik Cooperative Dairy Federation Ltd (PCDF)

opening 10 such machines to dispense homogenised milk tastier and reamier

With a fat content of 4.5%.

PCDF sells Parag brand of milk and milk products. Full-cream milk, which is

available now has a fat content of 6% and costs Rs 22 per litre. By this

standard, the milk to be available at ATMs should cost atleast Rs 18 to Rs 19.

However, it is actually cheaper at Rs 16 per litre as we save on packing cost,

said SK Prasad, general manager, PCDF.

This milk is thicker and creamier as fat particles are mixed in it under high

pressure. It is stored at 4 degrees Celsius to retain freshness, he added.

"The cutting edge is a better taste at an affordable price and an all-time

supply. With this we plan to increase our penetration and capture that

segment of the market which could not afford quality milk till now," said

Prasad.

Ten ATMs have started functioning and five more are in the pipeline. These

have been set up at

1. Sanjay Gandhi Puram

2. Amrapali (Indiranagar),

3. Haribhar (Indiranagar),


4. Udaiganj

5. Kaiserbagh,

6. Ganeshganj,

7. Anandnagar (Alambagh),

8. Azadnagar (Alambagh),

9. Lalkuan (behind PCF building)

10.Vikasnagar.


RESEARCH METHODOLOGY

The Purpose Of The Methodology Is To Describe The Process Involved In The

Research Work

Research Objective:

The Objective Of Every Research Work Is To Pinpoint Certain Recommendations

As Per The Requirement Of The Study And Help The Managers In Decision

Making And Creating Brand And Product Awareness And Understanding

Consumer Perception.

Information Required:

Attitude Of The Customer Regording Various Brands Available In The Market.

What Influence The Buyer To Buy Then Parag Products.

Knowledge Of The Customer Regarding Various Parag Products Available In The

Market.

Research design: -

Descriptive research design includes survey & fact findings inquiries of

different kinds. The major purpose of descriptive research is description of state

of affairs as it exits at present.


Sample design: -

Simple random sampling also known as probability sampling Under this

sampling design every item of universe has an equal chance of inclusion in

sample. It is say to a lottery method

Collection of Data

Data Is The Raw Material With Which A Market Research Function. Based On

The Type Of Data. There Are Two Type :

Primary data – Questionnaire, Personal Interview

Secondary Data – MIS of company, Website

Research Instruments:

Well Balanced Questionnire With Closed And Open Ended Multiple Choice

Questionnaire Along With Questions Based On Preference Rating.

Research Techniques:

All The Contentsof The Questionnaire Were Filled By The Reseacher

Himself.After Asking It Directly To Consumers To Avoid Any

Misunderstanding.

General Aspects Of Customer Are Also Covered Like Guiding Factors,

Income Etc.


Sample size: - The sample size of research study is 100

Field Work:

The field work for the survey was conducted in the areas of gomti nagar(vivek

khand,viram khand) indira nagar (sector-10,12,13,arvindo park area,&sector-d,c)

and gulista colony. Thish exercise involved face to face interviews with both the

retailer and consumers.


ANALYSIS

QUESTION1

Which of the parag product do you consume?

1. Milk

2. Mattha

3. Flavored milk

4. kheer (chenna,rice)

5. Table butter

6. Paneer

DATA ANALYSIS

65% of consumer consume milk ,14% consume Mattha , 8% consume

Flavored Milk ,2% Kheer, 6% Table butter , 5% consume paneer.


QUESTION2

On the following scale mark the following product according to your satisfaction?

1. Millk

2. Mattha

3. flavored milk

4. Kheer(chenna,rice)

5. table butter

6. Paneer

DATA ANALYSIS

Satisfaction level of customer regarding PARAG product are in this manner

Milk> mattha>Flavored Milk>Table Butter> Paneer > Kheer .

QUESTION3


Do you think that parag product are worth the money paid by you?

1. YES

2. NO

96

4

0 20 40 60 80 100 120

yes

no

no. of respondent

DATA ANALYSIS

96% of consumer are satisfied with the money paid by them in regard the

product,while 4% of consumer are dissatisfied.

QUESTION 4


Do you come across problem regarding the non availability of parag product?

1. Always

2. Sometime

3. Never

17

92

0

10

20

30

40

50

60

70

80

90

100

always sometime never

No

of

res

po

nd

en

t

INTERPRETATION

92% of consumer are not having any problem regarding the non availability of

Parag,7% complaints sometime ,1% complaints that they always have problem

QUESTION 5


Why do you buy parag product ?

1. Price

2. Brand name

3. Taste

4. Purity

5. Quality

6

48

11

20

15

0

10

20

30

40

50

60

price brandname

taste purity quality

attributes

no

. o

f re

sp

on

de

nt

DATA ANALYSIS

48% customer buy parag product due to brand name ,20% customer buy

parag due to purity ,15 % offer quality,11% for taste,6% for price

QUESTION 7


If other brand available at same quality, would you switch over?

1. Definitely

2. sometime

3. Never

brand loyalty

1 3

96

0

20

40

60

80

100

120

definitely sometime never

no

.of

esp

on

den

t

DATA ANALYSIS

96% customers are brand loyal towards Parag product,3% customer can

switch if another brand is available in same quality,1% definitely switch

over

QUESTION 8


Are you satisfied with the price fluctuation of parag products?

1. YES

2. NO

90

10

0

10

20

30

40

50

60

70

80

90

100

yes no

no

.of

resp

on

den

t

DATA ANALYSIS

90% Customer are satisfied with the price fluctuation of parag ,while

10% customer are dissatisfied with the price fluctuation.

QUESTION 9


Do you want more number of parag booths to be set up in your

locality?

1. YES

2. NO

80

20

0

10

20

30

40

50

60

70

80

90

yes no

no o

f res

pond

ent

DATA ANALYSIS

80% of the consumer wants more number of parag booths to be set up in their

locality 20% of the consumers do not want.

QUESTION10


Rate the quality of parag product?

1. Average

2. Good

3. Excellent

rating of quality

28

90

0

10

20

30

40

50

60

70

80

90

100

average good excellent

performance

no

.of

resp

on

den

t

s

90% Of the consumers rate the quality as excellent, 8% of the consumers

rate the quality as good,2% of the consumers rate the quality as average

LIMITATION OF THE STUDY


1. Any questionnaire could not be adequate enough to fully serve the

objective of the survey, thus making is necessary to carry out on interview

along with the the questionnaire .

2. Since the universe of the survey was quite large ,it was not feasible for

the interviewer to cover all the consumer of the city

3. Consumers when asked about the product used to give a lot biased

answers so as to create their own importance

.

4. Some unavoidable errors occurred during the process of transforming raw

data from questionnaire into the research findings


FINDINGS

1. Some consumer complaint that ghee do not contain granules as that of

villages

2. Some consumer complaint that milk should also be available in 250gm pack.

3. Ice-cream and milk cake are not very common to consumer .

4. Consumer are satisfied with milk, sweet curd and paneer

5. Generally consumers are not aware of ice-cream offered by Parag.

6. Consumers are satisfied with the purity and quality of parag milk product.

7. Consumers favour of purity and quality for which they are ready to pay

optimum price.

8. Mostly consumers are satisfied with the price fluctuation ,according to their

views these are nominal

9. Milk are generally involve in daily purchasing by most of the

consumers ,sweet curd and paneer involve in weekly purchasing ,milk cake

and icecream are purchased occasionally.

10.Consumers want more parag booths to be set up in their locality

11.Least problems are found in the spoilage of milk

12.Problem are founds in generally summer season.


CONCLUSION

The consumer survey reveal that the biggest asset of Parag is the faith in its

quality consciousness. It has the pasteurized and additional vitamins A which

has to added in milk in order to provide better product to go to consumers. An

over whelming majority of consumers are satisfied with quality of Parag

products and very few person have problems regarding this aspect. Parag has

thus provide that the hand work done in quality control section is paying off it

should keep it up.

Generally milk are highly contributing in sales .Ice-creams ,milk cakes are less

preferable in compare to other brands available in market .

So I think for any growing organization ,the most important emphasis are on

these aspects :

1. Quality

2. Price

3. Consumer feedback in order to improve service

And for parag ,it seems that it has covering all these aspects. The distribution

channel of Parag product is also good

But there is some improvement in price fluctuation according to some customer.


RECOMMENDATIONS

1. More milk ATM should be established to enhance the availability of

Parag milk.

2. Make the customers aware about the Parag products and benefits of

using packed milk vs. milk through vendors through different mode of

advertisement.

3. There should be no leakage in the liquid milk & if the exists than

these packets should be replaced.

4. Packing of the liquid milk should be reusable that helps to reduce the

price of the products.

5. On line information about the Parag products & trading should be

facilitate by the company.

6. There should be regular visit for getting the customer feedback about

the Parag products. This helps to know the changing demand of the

customers.

7. For fulfilling the increasing demand of milk the company should try to


increase the production.

8. Company should try to provide discount on bulk purchasing. And also

provide some offers & schemes for sales promotion.

9. Packaging should be improved.

10. Sugar free flavoured milk should be available for diabetic patient .

11. Flavoured milk should be available at each and every booths.

12.Chocolate flavour milk should be available to attract children customer.

13. In summer flavoured milk might be preferable as option in compare to

cold drinks.

14. There is need of advertisement regarding ice-cream of parag.

15. Quality should be monitored timely.

16. Kulfi and lassi can also be promoted in summer season.


BIBLIOGRAPHY

Books: -

Principle of Marketing Management Philip Kotler

Marketing Management Rajan Saxena

Research Methodology C.R.Kothari

Website: -

www.dairy society.org

www.google.com


QUESTIONNAIRE

Provided by Company

Consumer SurveyDate of Survey: - _________________

1. Name of Consumer: - _______________________________

2. Permanent Address: - _____________________________________________________________________________________________

3. Telephone No.: - _______________________________

4. Daily consumption of milk in Family (Ltr): - _______________________________

5. Does you buy Parag milk: (Yes/No): - _______________________________

6. If not, which brand of milk you buy: - _______________________________

7. Do you want home delivery of Parag milk: - _______________________________

8. Why do you not buy Parag milk: - _____________________________________________________________________________________________

9. Which of the Parag product do you purchase: Parag Paneer Peda Parag (rice/chhena) Kheer Flavoured Milk Mattha Besan Laddoo Dahi Ghee Butter

10. Suggestion about Parag Product: - ____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________


Name of the surveyor: - __________________ Signature: - ________________________

Questionnaire

QUES1.Which of the parag product do you consume?

Flavored milk LiquidMilk Butter Parag ghee Parag peda Parag dahee Parag Mattha Parag kheer Parag besan laddoo Parag paneer

Ques2 On the following scale mark the following product according to your satisfaction.

Flavored milk LiquidMilk Butter Parag ghee Parag peda Parag dahee Parag Mattha Parag kheer Parag besan laddoo Parag paneer

Ques3. Do you think that parag product are worth the money paid by you. Yes No

Ques4. Do you come across problem regarding the non availability of Parag product ?

Always Sometime Never Ques5 Why do you buy Parag product ?

Price Brand name Taste


Purity Quality

Ques6 What is the frequency of buying the product of parag ? Flavored milk LiquidMilk Butter Parag ghee Parag peda Parag dahee Parag Mattha Parag kheer Parag besan laddoo Parag paneer

Ques7 If other brand available at same quality , would you switch over. Definitely Sometime Never

Ques8 Are you satisfied with the price fluctuation of parag product ?

Yes No

Ques9 Do you want more number of parag booths to be set up in your in your locality ?

Yes No

Ques10 Rate the quality of parag product ?

Average Good Excellent


PARAG

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