July 26, 2017

Marketing:

Amul – The Number One Nobody Talks About

The $4.1 billion dollar organization is not situated in Mumbai or New Delhi, but tucked away in Anand in Gujarat, about 45 minutes from Baroda. The organization is the Gujarat Cooperative Milk Marketing Federation Ltd. (GCMMF), India’s largest food product marketing organization, hawking a slew of brands in an astonishing 450 stock-keeping units. Considering the size, GCMMF is extraordinary nimble, having built a capability to launch new products within 60-90 days of conceptualization. 85% percent of their revenue is spent on their most critical raw material, milk. Advertising, the second largest cost head, is a mere 1% of their revenue. How does Amul achieve these metrics?