Comparative study of Marketing Strategies between

AMUL, Baskin-Robbins & Havmor Ice Creams

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 TABLE OF CONTENTS

Contents

Contents......................................................................................................................................2
Introduction................................................................................................................................3
What is Ice Cream......................................................................................................................4
Industry Profile...........................................................................................................................5
Product Profile – Amul - A National Brand...........................................................................6
Market Segmentation of Amul...............................................................................................6
Product Profile – Baskin Robbins – An International Brand.................................................7
Market Segmentation of Baskin Robbins...............................................................................8
Product Profile – Havmor – A Regional Brand.....................................................................9
Market Segmentation of Havmor.........................................................................................10
Marketing Mix of AMUL, BASKIN-ROBBINS & HAVMOR..........................................11
Other Visible Elements of Marketing:.............................................................................13
Outlets..............................................................................................................................14
Labelling...........................................................................................................................15
Website.................................................................................................................................15
SWOT Analysis of Overall Ice Cream Market in India...........................................................16
Strengths...........................................................................................................................16
Weaknesses......................................................................................................................16
Opportunities....................................................................................................................16
General Suggestions to improve Ice Cream Market in India...................................................18
Conclusion................................................................................................................................19
References................................................................................................................................19

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Introduction

Indian summers are synonymous with ice creams. Come summers, and you will see a number
of colourful pushcarts selling the choicest of ice creams in numerous flavors from the
traditional vanilla and chocolate to unusual varieties like Mother Diary’s Shahi Nazrana. If
that doesn’t baffle you then the ice cream range definitely would, for example the ice cream
range for the children would be entirely different from that for the teenagers or for that matter
adults. Or, for those who like to have ice cream in peace, there are a number of ice cream
parlours that are opening shop.

Ice Creams are available in various forms such as cone, cups, bar (candy), party pack etc.
Cones and Candy sticks account for about 25-30% of volumes, where as cups and other
novelties contributes the rest. Frozen desserts market in India is very small and refers to
vegetable fat (instead of milk fat) based ice creams. Besides, a wider range of frozen desserts
is also made in house and also server in five star hotels. The Ice Cream market growth during
the late ‘80s and in early ‘90s was very low around 2-3% p.a. but slowly the market has started
picking up especially after de-reservation of the sector in 1997. For the last 1-2 years the ice
cream market in India is growing at 15-20% per annum and presently it is estimated at worth
15-16 billion. This growth rate is expected to continue for another 2-3 years because of lower
base. Of the total size of Rs. 15-16 billion, around 30-32% is in the hands of organized sector.
The growth rate could have been ever higher but for poor infrastructure, high excise duty/sales
tax etc.

Ice cream industry occupies important place in India. It is one of the consumer goods
industries its products is important popular diet.
India is an agriculture-based country because of the large number of cattle and large milk
production most of the dairy and ice-cream industries has developed and India is well
ranked in the world.

Ice cream industry has brought magnificent change in the rural economy. It
provides employment to the marginal farmers.

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What is Ice Cream
Ice Cream is a frozen mixture of a combination of components of milk, sweeteners, stabilizers,
emulsifiers and flavourings. Other ingredients such as egg products; colouring etc may be also
added. This mixture, called a mix, is pasteurized before freezing. Freezing involves rapid
removal of heat while agitating vigorously to incorporate air, thus imparting the
desirable smoothness and softness of the frozen product.
Ice Cream is palatable, nutritious, healthful and relatively inexpensive food.
The Process for manufacturing ice-cream is passed through various stages the chart given
below shows the ways in which ice cream reaches us after manufacturing stages.

Ice cream manufacturing

Ice cream filling

Marketing Channel

cold storage

Transportation by A.C. isolated vehicles

Distributors

Dealers

Customers

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Industry Profile

Dairy is a place where handling of milk and milk products is done. Dairy
technology is a branch of science which deals with processing of milk and manufacturing of
their products on a large scale basis.
Now India is one of the largest producers of milk and value-added milk products in the world.
During 1997-98, with the help of co-operatives many part of the state had 60 milk processing
plant with the capacity of processing 5.8 million litres per day. Also compared to other
countries like U.S and Japan, India takes the pleasure of producing milk at lower cost.

Brand Profile - Amul

It was registered on December 14, 1946. It is the brand name for 2 million
farmers. Amul means “priceless”. It was derived from the Sanskrit word called “Ammolya”. It
is managed by Gujarat co-operative milk marketing federation Ltd.(GCMMF). Amul’s
product range includes Amul butter, Amul milk powder, Amul ghee, Amul spray, Amul
cheese, Amul chocolates, Amul shrikhand, Amul ice cream, Nutramul, Amul milk and
amulya. Its turnover is Rs. 67.11 billion in 2008-2009. Many products of Amul are also
available in USA, Gulf Countries and Singapore. Their future plan, appropriately titled
“Mission 2020”, envisages that the dairy cooperative of Gujarat will have a group turnover of
Rs. 27000 crores by the year 2020. Amul is an “Umbrella brand” means common brand for
most product categories. Now Amul is directly entering in to retail through “Amul utterly
Delicious” parlours in the cities like Ahmedabad, Bangalore, Delhi, Mumbai, Hyderabad and
Surat. It has planned to let out franchisee to manage large chains of parlours throughout the
country.

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Facts about GCMMF:

13 district cooperative milk producers'

Members: Union
No. of producer members: 2.79 millions
No. of village Societies: 13328
Total milk handling capacity: 11.22 million liters per day
Milk collection (Total 2008-2009) 3.05 billion liters
Milk collection (Daily average 2008 - 2009) 8.4 million liters
Milk drying capacity 626 Mts, per day
Cattle feed manufacturing capacity: 3500 Mts per day
Sales turnover (2008-2009) 67113 rs. In million (or) 1504 us$ in
million

Product Profile – Amul - A National Brand

Amul ice cream was first launched on 10th March 1996 in Gujarat. In ice cream it has
different products like sticks, cones, cups as well as take home packs and institutional/catering
packs. Amul ice cream entered Mumbai in 1997 followed by Chennai in 1998 and Kolkata
and Delhi in 2002. Nationally it was rolled out across the country in 1999. Amul ice cream
achieved No 1 position in the country after combated competition like Walls, Mother dairy
and Arun ice cream. Today Amul’s market share is 38% share against the 9% market share of
HLL, Which is more than four times compared to its closest competitors. Amul ice cream
currently offers 220 varieties of products. Amul ice cream has seven manufacturing units in
India. Amul pro-biotic ice cream won one of the world’s prestigious awards – The
international Dairy Federation Marketing Award (2007) for Amul Pro-biotic ice cream launch.

Market Segmentation of Amul

Demographic factor: Demographic variables of Amul target market are mostly age and
income based. Amul have created many sorts of ice cream to cater all age groups. It has pro-
biotic sugar free ice cream which is aimed to hit diabetic customer and the people aged > than

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45. If we consider the income segmentation, Amul is targeting upper, middle and lower
middle income group and also lower group people by selling ice creams in stick at low cost.

Age Under 6 years, 6-11, 12-19, 20-34, 35-49, 50-60, 60+

Family size Young, single: young, married, no children: young, married,
Youngest child under 6: Young, married, youngest child under 6 or over:
older, married, with children: older, married, no children under 18: older,
single: other
Gender Male, female
Income Low (up to 40,000 p.a), lower middle (Rs.40,001 – 80,000 p.a), middle
(Rs.80,001 – 1, 20,000 p.a), upper middle (Rs.1,20,001 – 1, 60,000 p.a) and
high (above Rs. 1,60,000)
Occupation Unskilled worker, skilled worker, petty traders, shop owners,
businessman/industrialist, self employed (professional, clerical/salesperson,
supervisory level, officers/junior executives, middle/senior executives.
Education Illiterate, school up to 4 years, school between 5 and 9 years, ssc/hsc,
nongraduate, graduate/postgraduate (general), graduate/postgraduate
(professional)

Product Profile – Baskin Robbins – An International

Brand

Baskin-Robbins is a global chain of ice cream parlours founded by Burt Baskin and Irv
Robbins in the year 1953. It is the largest franchise with more than 6000 locations in 35
countries. Its major markets are located in UK with 2800 outlets and in Japan with 800 outlets.
Its headquarters is in Massachusetts USA.

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Baskin-Robbins is the King in ice cream marketing; they created a unique positioning for its
brand by introducing interesting new flavours. They allow their customer to sample as many
flavours as they want before making their final choice. They have more than thousand flavours
in the library and 31 different flavours in every store.

Market Segmentation of Baskin Robbins

Demographic factor: Demographic variables of Baskin-Robbins target market are mostly

age and income based. It has sugar free ice cream which is aimed to old aged people. If we
consider the income segmentation, Baskin-Robbins is targeting upper, middle and high
income groups.

Age Under 6 years, 6-11, 12-19, 20-34, 35-49, 50-60, 60+

Family size Young, single: young, married, no children: young, married,
Youngest child under 6: Young, married, youngest child under 6
Or over: older, married, with children: older, married, no children
under 18: older, single: other
Gender Male, female
Income Upper middle (Rs.1,20,001 – 1,60,000 p.a) and high (above Rs.
1,60,000)
Occupation Skilled worker, shop owners, businessman/industrialist, self
employed (professional, supervisory level, officer’s senior
executives)
Education School between 5 and 9 years, ssc/hsc, nongraduate,
graduate/postgraduate (general), graduate/postgraduate
(professional)

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Product Profile – Havmor – A Regional Brand

Small Beginning, Big Vision, Great Ambitions. Havmor Ice Cream began its branded life in
1944 in Karachi, in undivided India. By 1947, it was a popular local brand there. But in 1947,
in the wake of the partition, its founder Satish Chona had to join the exodus into India, with
virtually no moveable assets. Searching for a new turf, he tried out Dehra Dun and Indore,
and finally, settled down in Ahmedabad. No, it was not a case of “Brand Relocation”, or
anything else as fanciful. He had to start the venture from scratch again. In fact, he had to
begin from a hand-cart at the Ahmedabad Railway Station, churning out the Ice Cream
manually. He called this fledgling brand 'Havmor' - a neologism for 'Have More' - which
meant the customer got more value for money, and more taste to relish from his Ice Creams.
Perhaps he didn't know it then, but he had laid the foundation for one of Western India's most
enduring market legends. And good quality, like good character, wins over the situation
sooner or later. Today, Havmor Ice Cream is a delicious facet of Western India's daily life
and part of its market lore. It reaches hundreds of thousands of consumers through 50 main
outlets and 12000 plus dealers. That's a very very long way from a hand-cart.

Havmor food Pvt. Ltd. is the industry where different flavours of ice-cream are prepared.
Havmor’s industry is the firm chiefly leading with processing of ice creams, but also makes
other products. Havmor industry processes the different types of flavours of ice-cream for the
people by observing the taste of people. Havmor industries produce more of those flavours,
which are in more demand in market. Havmor industries ltd is one of the most famous ice-
cream producing companies in India. As today ice-cream market has been more competitive
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due to many new entries in this field but Havmor is still holding its position and command in
the ice-cream market.

Market Segmentation of Havmor

Demographic factor: Dividing market in to group based on demographical variable such as

age, sex, family size, life style, income , occupation education race and nationality.
Havmor has market segmentation based on demographical factor such as age. It has market
mainly segmented for kinds, teenagers and middle use people. It launches special flavours for
different age people.

Age Under 6 years, 6-11, 12-19, 20-34, 35-49, 50-60, 60+

Family size Young, single: young, married, no children: young, married,
Youngest child under 6: Young, married, youngest child under 6
Or over: older, married, with children: older, married, no children
under 18: older, single: other
Gender Male, female
Income Low (up to 40,000 p.a.), lower middle (Rs.40,001 – 80,000 p.a.), middle
(Rs.80,001 – 1, 20,000 p.a.) and upper middle (Rs.1,20,001 – 1, 60,000 p.a.)
Occupation Skilled worker, shop owners, businessman/industrialist, self
employed (professional, supervisory level, officer’s senior
executives)
Education School between 5 and 9 years, ssc/hsc, nongraduate,
Graduate/postgraduate (general), graduate/postgraduate
(professional)

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Marketing Mix of AMUL, BASKIN-ROBBINS & HAVMOR

Once the company has decided on its overall competitive marketing strategy, it is ready to
being planning the details of the marketing mix. The marketing mix is one of the major
concepts in modern marketing. We define marketing mix as the set of controllable tactical
marketing tools that the firm blends to produce the response it wants in the target marketing.
The marketing mix consists of everything the firm can do to influence the demand for its
product. The many possibilities can be collected into four groups of variables known as the
“Four Ps”: product, price, place, and promotion.

Product: Amul’s product development was driven both by the spirit of the cooperative
system and profitability. Being a cattle farmer’s cooperative, Amul committed to buy all the
milk which is offered by the farmer. Today Amul is a symbol of many things. They are the
vast genesis of a vast co-operative network. They are the marketing Savvy of a farmer’s
organization. Their products are Butter, Milk drinks, Powder milk, Fresh milk, Cheese,
Desserts, Health drink and utterly delicious pizza were as Baskin-Robins has unique range of
flavors and they have variety of products like Ice cream, candy, sundae’s, shakes & softy.
They provide their product with high quality so consumers never mind paying more. They
have more than thousand flavors in library and thirty one different flavours in every store.
Core product is the problem solving or core benefits that consumers are really buy when they
obtain a product. In Havmor ice cream milk, sugar, Milk powder and for standard for fat by
the government in ice-cream constitute “core product” at Havmor ice-cream. Here fat is
maintained at 13% to 15% by adding butter or cream. Havmor provides ice cream in 50ml,
200ml, 1 litre and 4 litre pack, which may be in cardboard or transparent plastic bowl, is or
bowl shape.

Price: There are many ways to price a product, they are Premium pricing, Penetration
pricing, Economy pricing, Price skimming, Psychological pricing, Product line pricing,
Optional product pricing, Captive product pricing, Product bundling price, Geographical
pricing and Value pricing but Amul’s philosophy had all along been to deliver value for
money to its customers. Despite being priced economically, Amul maintained its product
quality. Baskin-robins way of pricing is premium pricing that means using a high price where

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there is uniqueness about the product. The quality they provide is very high which will match
the price. Havmor is basically concentrated towards the low to mid-range people. They offer
products at reasonable rates which are affordable by people who after enjoying say “Once
More……..Havmor”.

Place: Place is also known as channel, distribution, or intermediary. It is the mechanism

through which goods/services are moved from the manufacturer to the consumer. Amul
GCMMF’s formidable distribution network comprises of 300 stock keeping units, 46 sales
offices, 3,000 distributors, 100,000 retailers with refrigerators, an 18,000-strong cold chain,
and 500,000 non-refrigerated retail outlets to reach their consumers. Baskin-Robins has their
own privilege of selecting their locations, they usually target their place where there is high
foot traffic, malls and in most important locations. Havmor Industries has managed itself very
well. Its Management is very good The Plant is situated at a suitable Place, where
the things required are available very easily. Havmor industries is a befitting an exemplary
industries in every respect. The raw materials, flavours and other things required for
preparing the ice- cream are available easily. Keeping Ahmedabad as the base we have a total
of 50 parlours and restaurants spread throughout Western India and a dealership of 12000+
covering over 35% of the market share. These numbers indicate nothing more than proving
that Havmor has become Gujarat’s favourite ice cream brand today!

Promotion: This includes all of the tools available to the marketer for ‘marketing
communications’. Over the years, Amul’s advertising philosophy had been “to be simple,
fresh innovative”. The clean, emotion-based ads refrained from using hi-tech special effects,
and aimed at maintaining the perfect balance between the traditional and the modern. Baskin-
Robins not only sell the product but also sell the fun. Their promotion says “We sell fun, not
just ice cream”. They also do in-store promotion campaign and also do all sort of promotional
activities like grand opening activities, direct mail campaign, Birthday club email marketing
and they advertise in television and in online. Major promotional activities adopted by
Havmor is print media i.e. Newspaper, magazines, trade journals or some outdoor
advertisement i.e. hoarding, slogans etc. As Havmor has more consumer product’s so there is
more advertisements of their products compare to other products. Havmor Company runs
discount schemer on Dhanteras, Birthday of Havmor, Special Scheme is run each hear. Also
the company runs anniversary scheme for stipulated time period. In summer the company

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runs shames that one who purpose worth Rs. 300 items from veroji, gets a coupons with
which can enjoy discount flavours at near by he Havmor Parlour.Also during festivals the
company runs several schemes.

Other Visible Elements of Marketing:

Traditionally packaging decisions where based primarily on cost and production factors, the
primary function of the package was to contain and protect the product. In recent time,
however humorous factors have made packaging an important marketing tool. These factors
include all acting attention describing the product making the sales.

Packaging of Amul Ice cream: Amul ice creams are packaged in sticks, cones, cups as well
as take home packs and institutional/catering packs. Stick ice cream is mainly sold for low
income groups. They have stick, cup and cone ice cream from low range to high range to

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cover many people from low income group to high income group. Family pack is sold from
250 grams. Now they also have institutional and catering packs.

Packaging of Baskin-Robins Ice cream: Baskin-robins ice cream are packaged in cups,
cones, waffle bowls, shakes, roll cakes, pre-packed ice creams, hand-packed ice creams,
novelties and in snack type.

Packaging of Havmor: The Company uses hard cardboard for family flocks, trams parent
plastics bowl for new flavoured ice-cream 2000, strawberry shape and thirst in cup candies
are sold using sticks. Safely finally the label weight promote the product through attractive
graphics. Havmor ice cream has no mistake in this products packaging and labelling.

Outlets

Outlet of Amul – Amul has recently entered into direct retailing through “Amul Utterly
Delicious” parlours, which is run by the company or its wholesale dealers. In order to come

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close to the customers they have decided to create a retail outlet called “Amul Preferred
Outlets” (APO).

Outlets of Baskin-Robbins – There are 25 outlets across India including Chennai, Mumbai,
Bangalore, New Delhi, Pune and Cochin. Now they are thinking of expanding their outlets.

Outlets of Havmor - Havmor had ice cream factory at Naroda with outlets in Ahmedabad
and in Baroda.

Labelling

Labelling of Amul – Amul labelling are very attractive and even their advertisement pictures
and wordings will be available. They wishes their costumers on festival vocations through
labelling and also important factors like manufacture date, net content, expiry date,
certification for quality and MRP rate will be available in labelling. It makes people to
identify their product easily.

Labelling of Baskin-Robbins – Even in Baskin-Robbins there are some standard things like
net content, MRP rate etc… will be available in labelling and their label colours are very
attractive and in all the labelling you can see letter “B” and “R” in big font and bold. It
make’s the customer to find their product through labelling.

Labelling of Havmor - Havmor also has some standard things like net content, MRP, etc. It
promotes the product through attractive graphics. Printed literature containing “Instruction to
use the product” can be easily passed on to the consumers by putting in the package.

Website

Website of Amul - www.amul.com

Website of Baskin-Robbins – www.baskinrobbins.com

& Website of Havmor – www.havmor.com

Amul, Baskin-Robbins and Havmor have their company’s own website in which all the
details of the company’s are given like their company’s profit, distributions, outlets, about

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product, product advertisement. There are even some attracting visual effects promotion is
available in their website.
Thus how comparisons between three brands are made in term of outlets,
Packaging, Labelling, website and 4p’s of Marketing mix.

SWOT Analysis of Overall Ice Cream Market in

India
Strengths

The strengths of Ice Cream market in India are the availability of natural resources which can
be capitalized to improve and increase the market size available.

Weaknesses
Many un-organized sector players manufacturing ice creams are not hygiene and quality
conscious and they just try to compete on price resulting in unhealthy competition with
organized sector manufacturers as well as good unorganized sector manufacturers. Many
organized players are thus finding difficulty to maintain and survive in the market as they
have high fixed overheads.

Opportunities

Looking to the International scenario, Ice Cream industry in India has a huge potential in the
untapped market available with us. Ice Creams of various types can be made available to the
people at large to increase the consumption.
Threats
Due to globalization many Multi Nationals are entering in India with a good financial back
up, latest technologies and equally good quality products with attractive pricing and different
varieties. This can create problem for Indian manufacturers of Ice Creams if they can’t match
their quality and price with them.

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General Suggestions to improve Ice Cream
Market in India

Looking at the consumption pattern abroad and in India we have good potential to expand the
market size of Ice Creams in India. The Prime and most important suggestion is to increase
the awareness in the people, so that the consumption could increase. The normal psychology
in the minds of people is that eating ice creams makes you sick, get you cold or cough. The
other thinking is that Ice Creams have a lot of fat contents that could increase weight.
For this, if we manufacture Ice Creams with some additional values and promote them in the
market with a good registering message to the people, it would definitely increase the
consumption on Ice Cream. For example manufacturers could come out with an ADRAK ice
cream or ice cream with mint or menthol. Ice Creams with different varieties like low fat ice
creams for weight conscious consumers, Sugar free ice creams for Diabetic consumers and so
on. The promotions should be made in such a way that people are made conscious to eat more
and more ice creams. With the consumption increasing and the cost of production coming
down, the same should be passed on to the consumers in different ways by giving attractive
gift packs with ice creams or more quantity for the same price. Ice Cream packaging, shapes
of ice creams can be made attractive to pull the consumers. In fact, we have a huge untapped
market in India looking at the per capita average consumption of the leading countries in the
world. If we take average per capita consumption which is 500 ml. then we can have a
potential for ice creams to the tune of 5000 crores in India.

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Conclusion
Amul is using very good strategy of selling their products. They do have product
diversification i.e. dairy and non-dairy which have advantage of expansion of network and
advantage of each underline objectives. Products are available for all most all the segment.
Unlike AMUL, Baskin Robbins caters only to premium and elite customers. In country like
India, majorities are middle class. Where, AMUL caters to all segments and more popular in
India. Even Baskin Robbins has diversification related to its core product i.e. ice cream cakes,
beverages, juices and milk shakes. Product variety is more in Baskin Robbins compared to
Amul. Baskin Robbins has to mainly concentrate on attracting the middle class audience in
India. They can even distribute their products to retail outlets, which is the easy way to reach
the customers. Amul has to mainly concentrate to improve their product variety. Number of
flavours in AMUL is less compared to Baskin Robbins. Both companies have to look upon
certain aspects to improve themselves. Talking about Havmor food Pvt. Ltd, it is a wonderful
company. It is a developed company with its registered office as well as factory at Naroda
plant. Havmor has capered the market of ice creams. It will be leader in ice-cream after some
times if it continues to process in this way as it is doing now. We can tell that the industry is
an Ideal Industry and after eating its Ice-cream any body can tell that “Once
More.........Havmor”

References

 www.amul.com
 www.baskinrobins.com
 www.havmor.com
 Marketing Management book of Philip Kotler and Keller 12th edition

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