GCMMF to open Amul restaurants in metros

Updated: Jan 22 2002, 05:30am hrs
In a strategic move, the Rs 2,500-crore Gujarat Milk Marketing Federation (GCMMF) has recently set up three exclusive franchisee-owned restaurants in Ahmedabad under the brand name ‘Amul’ in the first phase, informs Gujarat Milk Marketing Federation company official Mr Panigrahi. In the second phase, the company is planning to launch a host of ‘Amul’ restaurants in other major metros such as Mumbai and Delhi in the near future.

However, Mr Panigrahi refused to divulge further details as regards the investment and expanding the number of restaurants across major cities.

In addition to this move, GCMMF has also embarked on manufacturing and marketing fine coffee powder under the umbrella brand ‘Amul’. Says Mr Panigrahi: “Amul coffee powder brand will be available in small refill consumer packs and bottles at every Amul pizza outlet wherein the company plans to set up tea and coffee vending machines.”

As regards the pricing strategy, Mr Panigrahi says GCMMF will provide Amul coffee powder at a value for money pricing targeted at the middle end of the market. “Amul coffee powder will be priced at par with brands such as Bru,” adds Mr Panigrahi.

With these new initiatives, GCMMF targets to touch Rs 5,000 crore of sales turnover by 2010-end.

To meet the target, GCMMF is penetrating the liquid milk market by aiming to provide ready-to-made tea and coffee to the Indian consumers. For the purpose, the company plans to supply around 25,000 tea and coffee vending machines at the outlets where Amul cheese pizza is currently available. However, Mr Panigrahi clearly specified that the company is not investing any amount on setting up vending machines at the pizza outlets, but would be procuring the amount from the owners of outlets on the amount of tea and coffee sold.

As for the rationale behind GCMMF’s foray into the restaurant business, he revealed that by setting up exclusive restaurants, GCMMF is penetrating the family retailing concept with all the retailing formats within its restaurant chain.

According to Mr Panigrahi, the objective of this project is to serve consumers specialised Amul food products such as butter, cheese, Mozarella cheese, ghee, paneer, gulab jamun and pethas in tins, Amul cheese pizza, the entire range of Amul ice-creams and softies, among others. The company has also set up vending machines for tea and coffee at the restaurant.