Is Amul planning to launch its D2C Platform? Impact analysis

If you have ever thought of owning a dairy franchise, Amul could prove to be an interesting option to get started.

One of India’s largest dairy cooperatives, Gujarat Cooperative Milk Marketing Federation Limited, widely recognized as Amul, is gearing up to introduce a comprehensive D2C (Direct to Consumer) platform with the aim of enhancing not only the Amul’ sales but also helping its partners to grow along with them.

This strategic move was announced by Jayen Mehta, the Managing Director of Amul, during the e4m Health and Wellness Marketing Conference 2023 in Mumbai.

In a candid conversation with Dr. Annurag Batra, the Chairman & Editor-in-Chief of the BW Businessworld Group and Founder & Editor-in-Chief of the exchange4media Group, Mehta elaborated on Amul’s longstanding involvement in e-commerce services since 1998.

What’s the thought of Amul’s MD

He highlighted that Amul has been offering its e-commerce services way before the e-commerce boom. The platform were renowned as ‘direct to consumer cyber store’, which pioneered doorstep deliveries of frozen desserts such as ice cream, butter, and cheese across a hundred cities in India.

He highlighted the intriguing inception of their ‘direct to consumer cyber store’ initiative, which pioneered doorstep deliveries of frozen desserts such as ice cream, butter, and cheese across a hundred cities in India, predating the e-commerce boom.

Now after 10-12 years, Amul is venturing back in the industry with its own e-shop or e-commerce channel, allowing direct supply through dedicated outlets and processing plants.

How will Amul’s D2C format work?

With a turnover of Rs 72,000 Crores in the fiscal year 2022-23, Amul has 83 branch offices, an extensive network of frozen warehouses, 98 dairy plants, millions of retail outlets, and a vast distributor base across India, strategically positioning itself within a 200-kilometer radius of every city in the country.

This model will help the customers to get their ordered item within 24 hours, enabling them to position itself a gigantic e-commerce player in the industry.

How will it benefit the existing franchisees?

The D2C platform will certainly act as a digital gateway for the end customers as well as its franchisees, which will not only helps its customers to explore the Amul’s diverse product range but also allow its partners to get the business insights.

1. Wider customer reach and convenience:
   • It will allow customers to explore the intuitive platform and order their products from its diverse range of product offering without requiring them to visit the physical stores.
     • It eventually translates to a wider customer reach for its franchisees and dealers without investing much on the advertisements.
2. Real time monitoring:
   • As a franchisee, you’ll can facilitate real-time inventory management, enabling them to monitor the inventory, track popular products, which will irrefutably help the owner to make an informed strategic decision and perform better marketing campaigns.
3. Exceptional customer experience:
   • The D2C platform will complement Amul’s existing offline presence, offering customers a comprehensive and integrated shopping experience. The customer will have option to either visit the traditional stores or navigate to its online platform, leading to an overall exceptional experience for customer for their dairy item purchases.

Inspiration: exchange4media