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BCG Matrix of Amul Products

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BCG Matrix of Amul Products:

What is a BCG matrix:


In the early 1970s Bruce Henderson of Boston Consulting Group developed a technique by which
businesses were classified as low or high performers based on their market share and relative
growth rate.

The matrix has four classifications:

1) Star – Leaders in market. Consumes a lot of cash and generates a lot of revenue
2) Cash cows – Generates a lot of revenue for the company. Strong product line of the
company in a mature environment which is not growing anymore.
3) Dogs – Low growth and low market share. Consumes a lot of cash and does not have much
potential of desired earnings.
4) Question marks – Business usually at startups and can consume a lot of cash. With proper
focus they can become starts or cash cows or with poor strategy might fall to dogs.

Amul Products in the BGC Matrix:

Stars Question Marks


- Amul Pure Ghee range - Amul Masti Dahi
- Amul Cheese Spread - Amul Lassi
- Amul Kool - Amul Mithaimate
- Amul Icecreams - Amul Mithai Range
- Amulya Dairy Whiteners - Boxed milk Range(UHT)

Cash Cows Dogs


- Amul fresh Milk range - Amul Chocolates
- Amul Butter range - Nultramul Energy Drink
- Mozarella Cheese - Amul Shakti
- Infant Milk range
- Amul Pizza

* Complete list of products given in Appendix.

Strategy to Market items in Question marks:

1) Masti Dahi/Lassi/Mithai range:


a. Amul needs to build up a chain of retail outlets for exclusively Amul products.
Mother Dairy is doing very well in Delhi and Haryana with that mode of supply chain.
b. There is no marketing focus on these products. The Utterly Butterly Delicious is
focused only on the butter. In fact Amul synonyms with butter and milk which are
its cash-cows. The marketing and consumer awareness now needs to shift to other
products if Amul wishes to increase the market share of the same.
c. Poor media marketing through print/television/online. Amul needs to improve its
consumer reach. It needs to come out of the “Utterly Butterly Delicious” shell.
d. Amul needs to adopt stronger and scalable marketing campaigns. Sponsoring for
sports can enhance its brand awareness from being a lot cost daily need products to
upscale luxurious or nutrient rich supplementary items.

2) Future strategy for “Dogs” products:


a. Amul needs to build the WOW factor to attract Kids and young generation.
b. Chocolates are not dairy products. The marketing strategy has to be completely
different. Cadburys and Nestle has already started marketing their chocolates as a
substitute for traditions sweets on occasions like Rakhi, Deepawali etc.
c. Nutramul/chocolates should be distributed for free in schools to develop taste buds
for them early on. Distribution of Maggi in schools is a good example.
d. The availability of infant milk range is very poor for Amul products.

Overall rebranding by advertising aggressively through mass media communication with the correct
icons endorsing the products would be the most important step. Though it can be debated that
traditionally Amul has never used icons to brand its products but then Amul is trying to diversify in a
different segment for products mix.

Distribution channels have to improve over the traditional channel of door to door delivery.
Products have to be made available to middle/higher income group shoppers.

If Amul decides to rethink its “Dogs” strategy then it should do away with Chocolates because it has
very limited product range which does not blend well with the supply chain of the other “Star” and
“Cash-cow” products.
Appendix:
List of Products Marketed:

Breadspreads:
- Amul Butter
- Amul Lite Low Fat Breadspread
- Amul Cooking Butter

Cheese Range:
- Amul Pasteurized Processed Cheddar Cheese
- Amul Processed Cheese Spread
- Amul Pizza (Mozarella) Cheese
- Amul Shredded Pizza Cheese
- Amul Emmental Cheese
- Amul Gouda Cheese
- Amul Malai Paneer (cottage cheese)
- Utterly Delicious Pizza

Mithaee Range (Ethnic sweets):


- Amul Shrikhand (Mango, Saffron, Almond Pistachio, Cardamom)
- Amul Amrakhand
- Amul Mithaee Gulabjamuns
- Amul Mithaee Gulabjamun Mix
- Amul Mithaee Kulfi Mix
- Avsar Ladoos

UHT Milk Range:


- Amul Shakti 3% fat Milk
- Amul Taaza 1.5% fat Milk
- Amul Gold 4.5% fat Milk
- Amul Lite Slim-n-Trim Milk 0% fat milk
- Amul Shakti Toned Milk
- Amul Fresh Cream
- Amul Snowcap Softy Mix

Pure Ghee:
- Amul Pure Ghee
- Sagar Pure Ghee
- Amul Cow Ghee

Infant Milk Range:


- Amul Infant Milk Formula 1 (0-6 months)
- Amul Infant Milk Formula 2 ( 6 months above)
- Amulspray Infant Milk Food
Milk Powders:
- Amul Full Cream Milk Powder
- Amulya Dairy Whitener
- Sagar Skimmed Milk Powder
- Sagar Tea and Coffee Whitener

Sweetened Condensed Milk:


- Amul Mithaimate Sweetened Condensed Milk

Fresh Milk:
- Amul Taaza Toned Milk 3% fat
- Amul Gold Full Cream Milk 6% fat
- Amul Shakti Standardised Milk 4.5% fat
- Amul Slim & Trim Double Toned Milk 1.5% fat
- Amul Saathi Skimmed Milk 0% fat
- Amul Cow Milk

Curd Products:
- Amul Flaavyo Yoghurt
- Amul Masti Dahi (fresh curd)
- Amul Masti Spiced Butter Milk
- Amul Lassee

Amul Icecreams:
- Royal Treat Range (Butterscotch, Rajbhog, Malai Kulfi)
- Nut-o-Mania Range (Kaju Draksh, Kesar Pista Royale, Fruit Bonanza, Roasted Almond)
- Nature's Treat (Alphanso Mango, Fresh Litchi, Shahi Anjir, Fresh Strawberry, Black Currant,
Santra Mantra, Fresh Pineapple)
- Sundae Range (Mango, Black Currant, Sundae Magic, Double Sundae)
- Assorted Treat (Chocobar, Dollies, Frostik, Ice Candies, Tricone, Chococrunch, Megabite,
Cassatta)
- Utterly Delicious (Vanila, Strawberry, Chocolate, Chocochips, Cake Magic)

Chocolate & Confectionery:


- Amul Milk Chocolate
- Amul Fruit & Nut Chocolate

Brown Beverage:
- Nutramul Malted Milk Food
Milk Drink:
- Amul Kool Flavoured Milk (Mango, Strawberry, Saffron, Cardamom, Rose, Chocolate)
- Amul Kool Cafe
- Amul Kool Koko
- Amul Kool Millk Shaake (Mango, Strawberry, Badam, Banana)

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