ACKNOWLEDGEMENT

It gives me immense pleasure when work comes to an end successfully. My acknowledgements are many times more than what I am expressing. I shall ever remain thankfully indebted to all those known and unknown personalities, who have directly and indirectly encouraged me to achieve my goal and enlightened me with the touch of their knowledge and constant encouragement. I extend my sincere thanks to Dr. Devendra Kumar (Dean), College Agribusiness Management, for providing me the opportunity to undergo this project. of

My Advisor Dr. Saurabh Singh, Assistant Professor, College of Agribusiness Management, Pantnagar for his unflinching interest, relentless efforts, valuable advice, close supervision, constant encouragement and motivation during the entire period of study as well as preparation of this report. In the hours of adversity even an assurance can be of great help. I convey my heartfelt thanks to Dr. M.L. Sharma , Dr. Ashutosh Singh and Mr. Nirdesh kumar for their inspiration. It wont be unworthy to thank Dr.Mukesh Pandey, placement incharge with whose efforts I got the opportunity to work with great company. Fervently but modestly, I extol the genuine inspiration and deep affection offered by Mr. C.D. Tyagi, General Managerl Uttarakhand Cooperative Dairy Federation Limited, Dehradun for his inspiring guidance, candid behaviour, encouragement and ingenious suggestions. I would like to express my heartfelt gratitude to Mr. M.S. Pal ( Marketing Incharge ) Uttarakhand Cooperative Dairy Federation Ltd. , Dehradun, who extended every possible help and cooperation in spite of heavy responsibilities and busy schedules. I am grateful to staffs of Aanchal dairy, Dehradun for their kind help and active support during the course of study. Words cannot express my gratitude towards my beloved family members whose blessings, continuous encouragement, untiring help and sacrifice have always animated me to rise against the problems and face them smilingly

Pantnagar

(Akshay Sharma)

EXECUTIVE SUMMARY
The boom in Food & Beverage industry in the recent years has touched great heights. A sub segment of this industry, the dairy sector has lately observed a surge in new entrants. The good players are now concentrating more on the marketing of their product line. They are increasing their distribution network and are also focusing on the branding of the product. Uttarakhand Cooperative Dairy Federation Limited, Dehradun, is producing milk under the brand name of Aanchal. It was established way back in 2001 and since then evolved remarkably. It had a good market capture for a long time in the Dehradun segment. Though the trend has changed from the past three years when Aanchal is facing tough competition against other players who are having larger brand equity. With the rise in consumerism, sustainability is a major issue. The objectives of the study focused on determining the factors affecting the demand of Aanchal milk, factors for the decrease in market share, factors affecting the decision for purchase of packaged milk and to study the agents (Retailers and Local shopkeepers) and consumer behavior. The study was conducted on 8 routes of Dehradun, where milk is supplied to agents during the months of June and July, 2011. Questionnaires were used for collecting primary data and the total sample size was of 250. 140 respondents were shop owners selling Aanchal milk, 10 respondents were Aanchal booth which selling only Aanchal milk and its products and 100 were consumers from different families and income groups. The most important factor responsible for affecting the decision for selling of Packaged milk was found to be quality and then profit of margin per packet then other brands. Due to less profit of margin they are not selling Aanchal milk voluntarily. Only at the special demand of consumers these agents provide them the Aanchal milk otherwise they prefer them the milk of other brands in which they are getting higher commission. Other factor is that since last year these agents are not satisfy with the quality because quality is not same at all time, there is a variation in the quality at any time. For customers the most important factor responsible for affecting the decision for purchasig of Aanchal milk was found to be unavailability and quality. A comparitive study for quality shows that 22% believe that quality of Aanchal milk is good whereas 78% believe that Reliance and Gopalji quality of milk is good. Of the total agents and consumers interviewed, 70% wanted improvements in Aanchal milk. Aanchal must take certain short term measures to improve its quality. At present the variation in the quality of Aanchal milk and its marketing are issues that need immediate attention and improvement. The long term plans must include measures to increase the brand value of Aanchal. Aanchal`s major strength lies in the range of product availability and its production plant is located in Dehradun which makes easier the supply of milk in morning as well as in evening to the agents. It must therefore try and build upon this strength and initiate its distribution in the newly developed areas of Dehradun. Aanchal`s website must be timely updated and there should be separate website of Uttarakhand Cooperative Dairy Federation Limited, Dehradun. Some online services can be provided to customers who have access to internet. It must also pay attention on customer feedbacks and taking adequate measures according to their needs and demands.

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LIST OF EXHIBITS Exhibit

1.1 4.1 4.2 4.3 4.4 4.5 4.6

Title Declination in demand over the time period 2003-2005 Market segment of milk sector Factors affecting the demand of Aanchal milk Market share of brands in milk segment Sales of Aanchal milk litres per day Sales of Aanchal products Perception of customers and agents for the quality of three brands milk

Page No.
8 13 14 15 18 18 19

4.7 4.8

Preference of customers in purchasing the milk. Satisfaction level of agents for Aanchal milk based on above factors

19 20

4.9

Satisfaction level of customers for Aanchal milk based on different factors

20

4.10 4.11 4.12 4.13 4.14 4.15 5.1

Agents needs improvement on the basis of different factors Percentage of agents required improvement in Aanchal Customers needs improvement on the basis of different factors Percentage of consumers required improvement in Aanchal Percentage of shops aware about the Aanchal products Percentage of consumers aware about all Aanchal products Increasement in demand of Aanchal milk within a month

21 21 22 22 23 23 27

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List of Tables
Table Particulars Page No.

1.1 4.1 4.2 4.3

Proportion of consumed milk in different form

3 19 19 20

Margin of agents on Full Cream Milk per litre Margin of agents on Double Toned Milk per litre Margin of agents on Skimmed Milk per litre

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ABBREVATIONS

SM DTM TM SM FCM SNF Aanchal Booth Agents

: Skimmed Milk : Double Toned Milk : Toned Milk : Standard Milk : Full Cream Milk : Solid Not Fat : Aanchal owned shop : Shopkeepers who solk the Aanchal Milk

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