Brand : Everyday
Company: Nestle
Indian milk powder market is at a nascent stage . While the dairy market in India is a huge market, milk powders were not able to garner a major share in this market. While the loose milk market is estimated to be around Rs470 billion, the processed milk market is only Rs 10000 crores. Milk powder market is only 7% of the whole milk market. 46% of the mil
k produced in India is consumed in the liquid form while 47% are used for making products like ghee etc only 7% is used for making western products like butter milk powder etc.
There are two types of milk powders
a. Whole milk powder
b. Skimmed milk powder.
Everyday is a major player in the Dairy whitener category that is a part of the skimmed milk category. The dairy whiteners are used for tea making.
Everyday was launched in 1986 now have a market share of around 22%. The category is facing the major obstacle of consumer perception towards this category. The consumers perceive that loose milk is fresh. And with abundant milk supply, milk powders were able to penetrate only 4.7% of the entire market.
While Everyday faces stiff competition from Amul's Amulya and Britannia's Milkman, the major competition is from the ordinary milk. Now consumers use milk powder as a standby for packaged milk and also for making tea and coffee. Although, milk powders have the advantage of shelf life and convenience, that is not enough to fight the competition from packaged milk.
The only strategy is to add value to the milk powder other than the expected attributes of convenience and shelflife. Although Amulya tried to differentiate focusing on the " free from insolubles" it is not enough to expand the category.
Conventional marketing theory says either expand the market or increase the usage /usage situations .
When you look at this product, the usage right now is limited, one cannot use this other than m
aking tea, that is a major drawback for milk powders. Hence within these limitations, Everyday has to add more value. The price is expensive compared to loose milk so without adding more value, the market will not expand. Everyday have launched a new " low calorie" variant of the whitener. Also an extension to the ghee category has been made.
The milk powder market, it it had to grow may have to show that it is a better option compared to the liquid form. Adding more nutrients , variants and identifying multiple uses are the only option in this nascent market.
Till then have a cup of tea.
Company: Nestle
Indian milk powder market is at a nascent stage . While the dairy market in India is a huge market, milk powders were not able to garner a major share in this market. While the loose milk market is estimated to be around Rs470 billion, the processed milk market is only Rs 10000 crores. Milk powder market is only 7% of the whole milk market. 46% of the mil
k produced in India is consumed in the liquid form while 47% are used for making products like ghee etc only 7% is used for making western products like butter milk powder etc.There are two types of milk powders
a. Whole milk powder
b. Skimmed milk powder.
Everyday is a major player in the Dairy whitener category that is a part of the skimmed milk category. The dairy whiteners are used for tea making.
Everyday was launched in 1986 now have a market share of around 22%. The category is facing the major obstacle of consumer perception towards this category. The consumers perceive that loose milk is fresh. And with abundant milk supply, milk powders were able to penetrate only 4.7% of the entire market.
While Everyday faces stiff competition from Amul's Amulya and Britannia's Milkman, the major competition is from the ordinary milk. Now consumers use milk powder as a standby for packaged milk and also for making tea and coffee. Although, milk powders have the advantage of shelf life and convenience, that is not enough to fight the competition from packaged milk.
The only strategy is to add value to the milk powder other than the expected attributes of convenience and shelflife. Although Amulya tried to differentiate focusing on the " free from insolubles" it is not enough to expand the category.
Conventional marketing theory says either expand the market or increase the usage /usage situations .
When you look at this product, the usage right now is limited, one cannot use this other than m
aking tea, that is a major drawback for milk powders. Hence within these limitations, Everyday has to add more value. The price is expensive compared to loose milk so without adding more value, the market will not expand. Everyday have launched a new " low calorie" variant of the whitener. Also an extension to the ghee category has been made.The milk powder market, it it had to grow may have to show that it is a better option compared to the liquid form. Adding more nutrients , variants and identifying multiple uses are the only option in this nascent market.
Till then have a cup of tea.
From the eyes of a homemaker.
ReplyDeleteMilk powder/Skimmed Milk powder has been a welcome entry in the world of a working woman. But it still has to catch up with the families where a woman takes care of the house full time. The factor here is not just the ease or availability, it is more of taste and nutrition.
With more and more players entering this market, the options for the consumer have increased, but I doubt if the same can be said for the quality as well. I personally would go for loose milk/ packaged milk unless and until a reliable agency tells me that Milk powder/Skimmed Milk powder are nutritionally at par with the kind of milk I buy. And yes, comparative prices would help too!
I hold a personal view that Food Industry in India is not mature yet. They have to give more emphasis on Quality of the product. As the Consumerism is on rise, so are the profits they earn. So, it would not be too much to expect this from the industry.
Hoping for a better marketplace !!
Its not about our market being mature. Its just about convenience. Any doctor would advice milk to milk powder.
DeleteWe are way healthier in our habits than the western world. However the question on the quality of some products could be worth a debate
Sir,
ReplyDeleteI am marketing student. I want to know what is the situation in Kerala regarding the dairy whitener market.
Do you have any data regarding how Amulya and Everyday are faring in Kerala as a whole and say region wise like, northern, central and southern Kerala.
Thanking you in advance.
Vinu
Dear Sir,
ReplyDeleteI am looking for a dealership, whom should I contact? please give the contact of the concern person.
Thanking You.
Regards,
Peter Vizo.
(petervizo@yahoo.co.in)
I always wondered though much hyped who exactly consumes this milk powder . You have addressed my doubt .Today I added milk powder to my coffee. The insolubles tasted horrible.
ReplyDelete