V3I7P10

Unraveling Consumer Response to Pricing Dynamics: A Comprehensive Study of Nandini Products’ Sales Trajectory – Evidence from the Chamul Region of Karnataka Milk Federation

Yogadikshith^1*, Dr. Veena Rani K²

Abstract

This comprehensive research paper investigates the intricate relationship between pricing dynamics and sales performance of Nandini dairy products marketed through the Chamul distribution network of Karnataka Milk Federation (KMF). Employing a quantitative research design grounded in secondary data analysis spanning five fiscal years (2019-2024), the study examines how strategic pricing decisions influence consumer purchasing behavior, market share dynamics, and overall sales trajectories across diverse product categories. The analysis reveals significant variations in price elasticity across product lines, with commoditized liquid milk exhibiting high sensitivity (elasticity coefficient of -1.4) compared to value-added products like ghee and curd demonstrating relative inelasticity. Through rigorous statistical analysis incorporating correlation coefficients, regression modeling, and seasonal adjustments, the research establishes that a differentiated pricing framework is essential for optimizing market penetration while ensuring profitability. The findings contribute valuable empirical evidence to dairy marketing literature and offer actionable recommendations for cooperative management to navigate the competitive landscape while fulfilling socio-economic obligations to both producers and consumers.

Keywords:

Pricing Dynamics, Sales Trajectory, Consumer Response, Nandini Products, Karnataka Milk Federation, Price Elasticity, Dairy Cooperatives