By the Dairy Dimension Editorial Team
Based on the report by Sanjay Panigrahi & Richie Agarwal, SBM Advisors
The Milk Dilemma in Pune—and Beyond
It began with a phone call.
On a wintry Saturday morning, Richie Agarwal received a concerned call from Mr. Joshi, a respected veteran in India’s dairy sector and the new head of Mahalaxmi Dairy in Pune. Despite a decades-old legacy, sales were declining—and nothing seemed to be working.
The immediate assumption might have been internal issues: poor product quality, pricing errors, or misaligned brand positioning. But a deeper dive revealed a larger truth: consumer preferences had evolved, and legacy brands weren’t keeping up.
This moment of clarity sparked the comprehensive diagnostic and strategy exercise that would become Selling Milk in 2025—a must-read report for India’s dairy professionals.
Understanding What Went Wrong
After ruling out internal quality or production problems, the authors turned their attention outward—to the consumers. Pune’s urban sprawl, with over 7.5 million residents and a daily milk demand of 2.6 million litres, has become a battleground for more than 150 brands.
Their research uncovered key shifts:
- Buffalo milk still dominates (48%) but cow milk (31%) and specialty variants (21%) are gaining traction.
- High solids curd is rising fast—signaling demand for value-added, premium dairy.
- Customers still favour loose milk for its freshness, curd-setting ability, and malai-rich quality—despite its lack of packaging.
From jogger parks to kitchen counters, the findings were consistent: the modern milk consumer is diverse, demanding, and digitally active.
Where Are People Buying Milk?
Consumer convenience has been redefined:
- 64% of milk buyers rely on local home delivery.
- 28% purchase via quick-commerce platforms like Zepto and Blinkit.
- Only a small fraction still buys from traditional retail stores.
These shifts underline a fundamental truth: if your brand isn’t available across digital and doorstep channels, you’re already losing ground.
Crafting a Winning Strategy
The authors urge dairy brands to rethink their entire go-to-market strategy:
- Segment by consumer life-stage: Mothers prioritize curd and purity. Students want convenience. Elders value habit and trust.
- Leverage new-age marketing tools: AI, WhatsApp bots, influencer campaigns, and hyper-personalized communication are no longer optional.
- Create micro-targeted messaging: For example, an Instagram reel could convert a curious mom into a subscription customer within seconds.
- Utilize data for distribution: Predictive analytics can guide retailers on stock selection and help brands offer smarter assortments.
Rebuilding Trust and Educating Consumers
Transparency is the new currency of trust.
Declare:
- Nutritional superiority (SNF, protein, fat content)
- Absence of pesticide or antibiotic residues
- Sustainability and ethical sourcing practices
Milk isn’t just another white liquid—it’s a protein-packed superfood with scientifically proven benefits, including reducing diabetes risk. These are facts that deserve bold, consistent communication.
Retailers: No Longer the Kingmakers
The report makes it clear—retailers no longer drive sales; consumers do.
Margins might help, but shelf space alone doesn’t convert. What moves milk today is brand recall, trust, and frictionless availability.
Final Thoughts: Is Awareness Enough?
Sanjay Panigrahi and Richie Agarwal conclude with a question that every dairy brand leader must answer:
“Is your brand merely visible in the market—or deeply embedded in the consumer’s mind, reflected in real sales conversions?”
In a landscape dominated by channel shifts, hyper-personalization, and shifting perceptions of health, simply existing isn’t enough. Brands must move from visibility to affinity, and from supply to connection.
About the Authors
Sanjay Panigrahi
Sanjay Panigrahi is a respected industry veteran with over four decades of experience across FMCG, ICT, and rural development. He served as General Manager at Amul and later as Chief Customer Officer at Pidilite Industries (Fevicol). His legacy includes pioneering Amul’s national sales strategy post-liberalization and transforming Sahaj eVillage into a 30,000+ VLE-led IT-enabled rural commerce network. Today, Sanjay serves on multiple corporate boards and advises businesses on governance, growth strategy, and consumer insights.
Connect with Sanjay on LinkedIn
Richie Agarwal
Richie Agarwal is a dairy industry expert and founder of RA Consulting. An engineer and IRMA alumna, Richie started her career at Amul, where she revitalized product categories like chocolates and cheese in Maharashtra. She launched “Pride of Cows” at Parag and has since consulted for Gokul, Nandini, and other cooperatives, achieving 50–100% sales growth. Richie brings deep expertise in AI-led marketing and sustainability. She’s also a certified dairy professional from Penn State, a startup mentor with SINE IIT Bombay and Stanford Seed, and an advocate for rural upliftment through her Asar Initiative.
Connect with Richie on LinkedIn
📢 Editor’s Note: This article is part of Dairy Dimension’s effort to spotlight practical, high-impact research and thought leadership shaping the future of India’s dairy industry. If you have similar insights or success stories, write to us at discover@dairydimension.com
