JOIN USThe Magic, however, seems to have cast its spell on the co-operative and added a spring in its steps.
KMF Managing Director I R Ramalinga Gowda told Deccan Herald that KMF has taken the ice cream segment seriously. “We will soon make lots of noise and you will find us being more visible,” he said. Magic will be sold in attractive new packs.
With investment of around Rs 12 crore in the segment, and production capacity of 10,000 litres per day, it has wide range of ice cream products both in stick and cup varieties. Magic comes as the reflection of KMF’s refocus on the segment. It is targetted mainly at institutional (large scale consumers like clubs, colleges, marriage caterers, etc) customers.
KMF is still working closely with the dealership network it possess. “We realised our strength remain the dealers across the State. We are trying to involve them in a big way,” he added.
Its initiative is to promote Magic brand through its dealership, via incentives for those dealers who take part actively. Even though, the brand will continuously be displayed across its outlets and other routine functions will follow — KMF feels that the dealership route will be the catch. The dealers will receive cash incentives. For example if a dealer fetches KMF a deal for 500 cups of 50ml of Nandini Magic, he will receive an incentive of Rs 125, while it doubles up if he gets the deal for 500 cups of 100ml. “For current financial year we have a target of utilising 50 per cent of capacity, and slowly raise that to 100 per cent by discontinuing the Amul agreement in a phased manner,” KMF Director (Finance) Narasimha Reddy said.
“Our aim is to make our ice creams as popular as Nandini milk,” Gowda said. To achieve this, KMF is planning to set up 110 whole sales dealerships and about 1,800 retail units across the State in the coming years.