Complete Marketing Mix of Amul – With Complete 4Ps Explanations

Updated on: Oct 7, 2023
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My name is Aditya Shastri and I have written this case study with the help of my students from IIDE's online digital marketing courses in India.

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Some brands have grown exponentially since their inception. Amul is one of them. How did they manage it? What did they do to increase their customer base? What did they do to keep their consumers coming back? We think Amul’s Marketing Strategy played a significant part in all this, especially its digital marketing strategy. This article analyses a few digital marketing strategies used by the company and the Marketing Mix of Amul to better understand 4 strategies – pricing, products, placing/distribution and promotion so that you can get an insight into what they have been doing.

 

About Amul

Marketing Strategy of Amul Case Study - Amul

AMUL, also known as Anand Milk Union Limited, is an Indian cooperative dairy company founded in 1946, Gujrat and is managed by Gujarat Co-operative Milk Marketing Federation Ltd. (GCMMF).

The founder of Gujarat Co-operative Milk Marketing Federation is Dr Verghese Kurien and the current Chairman is Shri Shamalbai B. Patel.

Anyone, regardless of class, race, or gender, can be a member of the cooperative formed under the Anand Pattern, however, they are required to own a minimum of one cow or buffalo and are inclined on supplying milk.

Amul has been ranked number one in the list of top 1000 brands in Asia by Campaign Magazine. Their main aim was to establish a co-operative based society to cease consumer and farmer exploitation by the local milk cartels.

To know more about the company click here.

 

What’s new with Amul?

Here’s what was buzzing around Amul recently:

  • Amul and GCMMF are providing Gujarat dairy farmers with a Rs 1 per litre incentive for voting on May 7. Milk pouches carry messages like ‘Chunav ka parv, Desh ka garv’ to boost voter turnout.
  • Amul is setting up a new dairy plant in Rajkot with a capacity of 20 lakh liters of milk per day. 
  • Amul plans to invest Rs 4,000-5,000 crore over the next two to three years, largely into milk processing plants across the country. 
  • Amul has launched a number of new products in 2023 & 2024, including: Amul Cheese Spread, Greek Yogurt, Pro-Biotic Yogurt, A2 Cow Milk, Amul Panchamrit, Amul Immunity Shot Range, Amul Puffles, Amul Choco Buttery Spread and Amul Memory Milk
  • Amul is expanding into new markets both domestically and internationally. In India, Amul is focusing on increasing its distribution in tier 2 and tier 3 cities.
  • Expanding into the US market, Amul introduces fresh milk and plans to roll out various dairy products. Partnering with MMPA, the brand sets its sights on becoming a global powerhouse.
  • Amul is committed to sustainable practices and is working to reduce its environmental impact. 
  • Amul is the sponsor of the Afghanistan, Sri Lankan, and South African cricket teams.
  • Amul aims to become the largest dairy globally, already exporting to nearly 50 countries.
  • Amul is gearing up to introduce a ‘super milk’ with five times more protein than its standard offerings.
Digital Marketing Academic Challenge 2024 - DMAC

Buyer Persona of Amul

A buyer persona generally refers to the detailed information of an ideal customer of a company. When it comes to Amul, people from India use it the most. This buyer persona will help you understand the attributes of a regular Amul user.

Buyer’s Persona

Name:

 Anjali

Place:

Mumbai, Maharashtra, India

Age:

35 years

Profession:

Software Engineer

Motivation

  • To provide her family with healthy and nutritious food
  • To support Indian brands and products
  • To enjoy delicious and flavorful dairy products
  • To get good value for money

Interest & Hobbies

  • Cooking and baking
  • Trying new restaurants and cuisines
  • Traveling
  • Spending time with family and friends

Pain Points

  • Lack of time to cook
  • Difficulty finding healthy and convenient food options
  • Concern about the quality of dairy products
  • High cost of dairy products

Social Media Presence

  • Instagram
  • Twitter
  • Facebook

 

From the table above we can conclude that an ideal Amul User  is a young, educated, and urban woman who is looking for high-quality, affordable, and convenient dairy products.

Want to know about the current challenges of Amul? Read a detailed SWOT Analysis of the brand before moving on with marketing strategies.

 

Marketing mix of Amul

The 4Ps – Product, Price, Place, and Promotion, are what make up the marketing mix. It is an integral tool used to know a company’s marketing approach. This model aids us in gaining a broad knowledge of the company and the tactics it employs to advertise and sell its products to the general audience. Let’s explore the 4Ps of Amul.

Amul Marketing Mix: Product

Amul’s cash cows are cheese and ice cream, which have the greatest market share in their respective product categories. Amul ice cream stands as one of India’s top ten ice cream brands.
Amul offers a wide range of dairy products. The product mix of Amul are as follows:

  • Milk and cream
  • Ghee and butter
  • Yogurt and cheese
  • Ice cream and desserts
  • Chocolates and confectioneries
  • Ready-to-cook products
  • Health and wellness products

Amul keeps investing in research and development, hence, strives to bring different products to their customers. A new range of products mix of Amul were launched with Amul Panchamrit, Immunity Booster Shots & more.

Wide range of product mix of Amul - IIDE

Amul Marketing Mix: Price

The pricing strategies of Amul includes a combination of competitive and low-cost pricing. Amul began with the vision to provide the best quality dairy products at affordable prices. The pricing of different product mix of Amul is taken into account by different factors such as the price of raw material, labour cost, farmer’s profit, transportation cost and storage costs.

Amul is pursuing a low-cost strategy for products commonly used like milk, ghee, butter and so on, where they offer these products at a lower price than their competitors. For products like Amulspray, Prolite, condensed milk and more the company adheres to a competitive pricing strategy, where the price of these products is similar to their competitors.

However, Amul also offers value packs and discounts to make its products more affordable for consumers.

Amul Marketing Mix: Place

Amul establishes its image by outpacing the quality of other brands and are readily available to entire demographics in urban or rural areas. They target children, adults and businesses under the umbrella of their product. 

In Amul, distribution takes place through two main methods:- 

  1. Procurement channel – Farmers provide milk to cooperatives, which is gathered in bulk and transported to the processing plant. That milk is made to produce the final goods at the production plant.  
  2. Distribution channel – In charge of getting the finished product to the end-users. ​​Carrying and forwarding agencies, distributors, dealers, and retailers are all part of the distribution chain.

There indeed is a lot of transportation that lead to the final product distribution, however, Amul doesn’t fail to deliver their products to every corner of India. 

Amul chocolate factory - IIDE

Amul Marketing Mix: Promotion

Amul is one of the fewest corporations running a successful campaign since the start. They also have had a prestigious and fun campaign character – The Amul girl, created by Mr Eustace Fernandes. Campaigns such as “Indian Taste” have given emotional value to its marketing, and each household’s promise as a family product has been realised.

Amul frequently incorporates current events in their advertising, often in a humorous manner that engages the user. 

promotional mix of Amul-marketing mix of Amul| IIDE

Amul India recently launched a marketing campaign to celebrate the success of Shah Rukh Khan’s comeback movie, Pathaan, which has become the first box office hit of 2023, grossing over Rs 600 crore globally within a week of its release. The campaign showcases Amul’s iconic mascot, the Amul girl, holding a slice of bread with butter and sporting a Pathaan-inspired look, complete with a bandana and sunglasses. The campaign has been widely appreciated by fans of both Shah Rukh Khan and Amul, as it creatively celebrates the success of the movie and adds a fun twist to the brand’s messaging.

Marketing Mix of Amul - Latest Campaign

The majority of their advertising is focused on butter since they do not want to not spend more than 1% of their turnover on promotion that could have a direct impact on product cost. 

Amul has recently moved to an e-commerce platform with an Amul online app via which they distribute items to e-commerce customers that are high in volume. This has aided Amul in the promotion of their brand on various social media sites, i.e. digital marketing.

Amul uses a variety of promotional channels to reach its target customers, including:

  • Television and radio commercials
  • Print and digital advertising
  • Social media marketing
  • Point-of-sale promotions
  • Public relations and media outreach

Overall, Amul’s marketing mix is designed to appeal to a wide range of consumers. Amul product mix are available in wide ranges at affordable prices, and it is available in a variety of retail outlets. Amul also uses a variety of promotional channels to reach its target customers.

 

How does Amul use digital marketing in their strategy 

1. Search Engine Optimisation

Amul has put a lot of effort into SEO.

As per Ubersuggest data, it ranks in India for 47,266 keywords as of September 2023. Its organic traffic is 852,095 sessions per month. The stats are low compared to their SEO performance in April 2023. 

Here are some of their Search Engine Optimisation techniques :

Backlinks

Amul gets backlinks from 140,823 unique domains. All this increases the Domain Authority of Amul’s domain and helps it rank higher.

 

2. Social Media Marketing

Amul is active on Instagram, Facebook, and Twitter. As of August 2023, it has 420k followers on Instagram, 2 million followers on Facebook and 370k followers on Twitter.

Let’s analyze how their posts are:

Amul is the sponsor of the Afghanistan, Sri Lankan, and South African cricket teams. Most of their recent posts are about the team promotion & mostly product promotion.

 

 

 

They do Moment Marketing using their famous Amul Girl.

Amul seized the opportunity to join in on the viral “pawri” trend that swept the internet. Renowned for their witty wordplay, Amul crafted an advertisement featuring the iconic Amul girl celebrating with a raised glass. The tagline, “Yeh humari pav tea ho rahi hai,” was the highlight of the ad and garnered much attention.


They promote user based content which are generally recipes using Amul products.

 

Top Competitors of Amul 

Here’s the list of top competitors of Amul:

Digital Marketing Academic Challenge 2024 - DMAC

Conclusion

As we wrap up our analysis on the marketing mix of Amul’s impressive digital marketing strategy, it’s clear that staying up-to-date with the latest trends and techniques is key to success in the digital marketing world.

Whether you’re a marketing professional or just starting out, be sure to check out our free digital marketing masterclass to gain a solid foundation in the essentials of digital marketing.

Who knows, you might just develop the next big marketing strategy like Amul’s! Don’t forget to share your thoughts and comments on Amul’s strategy in the comments below.

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Aditya Shastri

Lead Trainer & Head of Learning & Development at IIDE

Leads the Learning & Development segment at IIDE. He is a Content Marketing Expert and has trained 6000+ students and working professionals on various topics of Digital Marketing. He has been a guest speaker at prominent colleges in India including IIMs......[Read full bio]

2 Comments

  1. Miyush Trehan

    This blog explains the marketing mix of Amul in a thick and spanned manner. Can it protect its marketing strategy ?

    Reply
  2. Rohini T Reddy

    Interesting insights into the marketing mix of Amul. It’s impressive how they’ve maintained brand consistency over the years.

    Reply

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