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Hello tutors, no guess work please Marketing case study, In early 2001, Gujarat Cooperative Milk Marketing Federation (GCMMF)1 planned to leverage its brand equity and

Hello tutors, no guess work please

Marketing case study, In early 2001, Gujarat Cooperative Milk Marketing Federation (GCMMF)1 planned to leverage its brand equity and distribution network to turn Amul2 into India's biggest food brand. Verghese Kurien, Chairman of GCMMF, set a sales target of Rs.10 bn by 2006 as against sales of Rs 2.3 bn in 2001. In 2001, GCMMF entered the fast food market in India with the launch of vegetable pizzas under the brand name SnowCap in Ahmedabad, Gujarat. GCMMF was also planning to launch its pizzas in other western Indian cities like Mumbai, Surat, and Baroda.

Depending on the response in these cities, GCMMF would decide to introduce its pizzas in other cities in India. The pizzas were offered in four flavours: plain tomato-onion-capsicum, fruit pizza (pineapple-topped), mushroom and 'Jain pizzas' (pizzas without onion or garlic). GCMMF launched the pizzas in the Rs.20-25 price range. The existing players in the pizza market, like Domino's, Pizza Hut and Nirula's offered pizzas at nothing less than Rs.39. (Refer Exhibit I). Analysts felt that GCMMF's move would force the existing players to reduce their prices in the long run.

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