Company sources reveal that 3000 additional APOs will be added within six months to the existing 600 APOs on a franchise basis.
MUMBAI: Gujarat Co-operative Milk Marketing Federation (GCMMF) is expanding its chain of Amul Preferred Outlets (APO). Company sources reveal that 3000 additional APOs will be added within six months to the existing 600 APOs on a franchise basis. Mumbai alone will have 300 outlets dotting the landscape.
Apart from ramping up retail presence, expect more Amul products and relaunches this summer. Amul Lite, the bread spread is set to be relaunched this week. The company is planning more variants of its hugely successful spicy buttermilk and Amul Cool in beverages segment.
By 2010, the company is planning to add another 6000 outlets. Each outlet will be spread over 300sq ft and have an initial investment of Rs 5 lakh. The company has asked for a Rs 25,000 deposit from the interested retailers and are guaranteeing them on an average 20% margin on the MRP of the various Amul products, sources added. “Amul is targeting sales per APO at about Rs 1-2 lakh per month,” says chief general manager, Amul, R S Sodhi. A conservative estimate of Rs1 lakh will put APOs annual sales to the tune of Rs 1,000 crore from 10,000 APOs by 2010.
In 2006-07, the existing 600 APOs contributed Rs 50 crore to the company’s estimated total turn over of Rs 4,400 crore.
GCMMF, which is owner of brand Amul, is facing the heat of rising milk prices. Company officials say that the rising milk prices will have a cascading effect on the price of their milk products.
In the next two weeks, utterly butterly Amul butter will come in a new pack of 50g priced at Rs 5 and aimed at mass market. A price hike in Amul butter for other pack sizes is expected.
Company got a reprieve two days ago when Delhi high court ordered the Zydus Cadila and Amul to settle the matter outside the court concerning usage of sugar-free tag on Amul ice-cream and chocolates.
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
)
){kind=small}
){kind=small}
)
)
)
)
)
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}