Amul, a well-known brand in the dairy industry, is always in the headlines for its success.
Today we are going to understand how Amul achieved success in a pandemic situation with so many restrictions and lockdowns.
The first reason is their identification of the change in consumer behavior. For dairy products, it was the preference of consumers towards cheese and condensed milk. The demand for these commodities grew by 80% and 100%, respectively. While other companies were forced to close or reduce their operations, Amul operated at 115% capacity and dominated the market.
Second, the supply chain has been so thoroughly digitalized that Amul is aware of every detail of its operations.For Rs 80 crore, IBM created a system that aided in supply chain digitization in 2009. This helped Amul know which plants are operating and which are vacant. The ice cream and frozen food vertical was shut down during the lockdown. As a result, the workforce was shifted to the new department.Source:- TheEconomic Times
Third, strategic branding assists the brand in creating strong impressions in the minds of consumers.In 2020, Amul spent 316% more on advertisements by running old ads with old shows.
Also, the diary giant did third-party collaborations with Big Basket, Zomato, Dunzo, etc. to increase their sales.
They even procured an additional 35 lakh liters of milk every day from the poor farmers and made them earn 800 crores.
These were the reasons that led them on their way.
