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A PROJECT REPORT ON

IMPACT OF MARKETING STRAGIES OF COCA COLA AND


PEPSI ON CONSUMER/RETAILER BUYING BEHAVIOUR
Submitted to A & M INSTITUTE OF MANAGEMENT AND TECHNOLOGY, PATHANKOT in partial fulfillment of The requirements for the degree of

MASTER OF BUSINESS ADMINISTRATION (2011-2013)


Submitted By:

VINAYAK MAHAJAN Roll no-1172059


Project Guide:

Mrs. NITIKA PUNIANI Assistant Professor

A & M INSTITUTE OF TECHNOLOGY AND MANAGEMENT PATHANKOT

A & M INSTITUTE OF TECHNOLOGY AND MANAGEMENT DEPARTMENT OF MANAGEMENT

TO WHOMSOEVER IT MAY CONCERN


This is to certify that the project report titled IMPACT

OF MARKETING PEPSI ON

STRAGIES

OF

COCA

COLA

AND

CONSUMER/RETAILER BUYING BEHAVIOUR carried out by MR


VINAYAK MAHAJAN has been accomplished under my guidance & supervision as a duly registered MBA student of the A & M INSTITUTE, PATHANKOT. This project is being submitted by him in the partial fulfillment of the requirements for the award of the Master of Business Administration from PUNJAB TECHNICAL University. HIS dissertation represents his original work and is worthy of consideration for the award of the degree of Master of Business Administration.

___________________________________ (Name & Signature of the Faculty Advisor) Title: ______________________________ Date: ______________________________

Date:

A & M INSTITUTE OF TECHNOLOGY AND MANAGEMENT DEPARTMENT OF MANAGEMENT

DECLARATION

I, , hereby declare that the work presented herein is genuine work done originally by me and has not been published or submitted elsewhere for the requirement of a degree programme. Any literature, data or works done by others and cited within this dissertation has been given due acknowledgement and listed in the reference section.

_______________________ (Student's name & Signature)

(Registration No.) Date: __________________

ACKNOWLEDGEMENT
It is indeed a pleasure doing a project on . I am grateful to sit rishi dogra (hod) for providing me this opportunity.

IMPACT OF MARKETING STRAGIES OF

COCA COLA AND PEPSI ON CONSUMER BUYING BEHAVIOUR

I owe my indebtedness to My Project Guide Mrs nitika puniani, for her keen interest, encouragement and constructive support and under whose able guidance I have completed out my project. She not only helped me in my project but also gave me an overall exposure to other issues related to retailing and answered all my queries calmly and patiently. I take the pleasure to express thanks to all my colleagues for many useful discussions and cooperation during the course of the project work.

PREFACE

For management careers, it is very important to develop managerial skills .In order to achieve positive and concrete results, along with theoretical concepts, the exposure of real life situation existing in a corporate world is very much needed. Therefore, it becomes necessary to undergo any project work. Practical supplement the theoretical studies i.e; it covers what is left uncovered in classroom It exposes a student to invaluable treasure of experience.

TABLEOF CONTENT 1 GENERAL INTRODUCTION ABOUT SECTOR 1.1 Profile of coca cola 1.2 Profile of pepsico

PAGE NO.

2
3

OBJECTIVE
SCOPE

4 5 6 7 8 9 10 11

NEED REVIEW OF LITERATURE

RESEARCH METHODOLOGY
ANALYSIS OF DATA LIMITATION FINDINGS RECOMENDATION CONCLUSION & SUMMARY

11.1 SWOT ANALYSIS OF COCA COLA 11.2 SWOT ANALYSIS OF PEPSI


12 13 BIBLIOGRAPHY ANNEXURE

LIST OF FIGURES

S.NO 1.1 1.2 1.3 1.3 1.5 1.6 1.7

LIST OF FIGURES WHICH BRAND IS PREFERABLE WHY IT IS PREFERED WHICH BRAND HAVE GOOD ADVERTISING TECHNOQUE AFFECT OF ADVERTISING TYPE OF BUSINESS REASON FOR CONSUMER PREFERENCE AFFECT OF PROMOTIONAL SCHEME ON SALE

PAGE NO

LIST OF GRAPHS
S.NO LIST PF GRAPHS PAGE NO

1.2

WHICH COMPANY HAVE BETTER ADVERTISING

1.3

WHICH SEGMENT IS MORE DEMANDED

1.1

WHICH FORM OF SALE PROMOTION STRATEGY IS EFFECTIVE

1.4

REASON FOR MAJOR SALE OF SOFT DRINK

1.5

ATTRIBUTE WHICH HELP TO DECIDE WHICH BRAND OF SOFT DRINK TO KEEP

GENERAL INTRODUCTION ABOUT THE SECTOR


Fast Moving Consumer Goods (FMCG), also known as Consumer Packaged Goods (CPG) are products that have a quick turnover and relatively low cost. Consumers generally put less thought into the purchase of FMCG than they do for other products. The Indian FMCG industry witnessed significant changes through the 1990s. Many players had been facing severe problems on account of increased competition from small and regional players and from slow growth across its various product categories. As a result, most of the companies were forced to revamp their product, marketing, distribution and customer service strategies to strengthen their position in the market. By the turn of the 20th century, the face of the Indian FMCG industry had changed significantly. With the liberalization and growth of the Indian economy, the Indian customer witnessed an increasing exposure to new domestic and foreign products through different media, such as television and the Internet. Apart from this, social changes such as increase in the number of nuclear families and the growing number of working couples resulting in increased spending power also contributed to the increase in the Indian consumers' personal consumption. The realization of the customer's growing awareness and the need to meet changing requirements and preferences on account of changing lifestyles required the FMCG producing companies to formulate customer-centric strategies. These changes had a positive impact, leading to the rapid growth in the FMCG industry. Increased availability of retail space, rapid urbanization, and qualified manpower also boosted the growth of the organized retailing sector. HLL led the way in revolutionizing the product, market, distribution and service formats of the FMCG industry by focusing on rural markets, direct distribution, creating new product, distribution and service formats. The FMCG sector also received a boost by government led

initiatives in the 2003 budget such as the setting up of excise free zones in various parts of the country that witnessed firms moving away from outsourcing to manufacturing by investing in the zones. Though the absolute profit made on FMCG products is relatively small, they generally sell in large numbers and so the cumulative profit on such products can be large. Unlike some industries, such as automobiles, computers, and airlines, FMCG does not suffer from mass layoffs every time the economy starts to dip. A person may put off buying a car but he will not put off having his dinner. Unlike other economy sectors, FMCG share float in a steady manner irrespective of global market dip, because they generally satisfy rather fundamental, as opposed to luxurious needs. The FMCG sector, which is growing at the rate of 9% is the fourth largest sector in the Indian Economy and is worth Rs.93000 crores. The main contributor, making up 32% of the sector, is the South Indian region. It is predicted that in the year 2014, the FMCG sector will be worth Rs.1,80,000 crores. The sector being one of the biggest sectors of the Indian Economy provides up to 4 million jobs.

INDUSTRY PROFILE
ORIGIN AND DEVELOPMENT OF THE INDUSTRY
Soft drink industry scenario all over the world is almost same with two major players i.e. Pepsi Co. and Coca-Cola having the major portion in the pie. The other major player in the industry is Cadbury-Schweppes and some local player in individual countries. The major components of the industry consist of the concentrate manufactures, bottles and the sales and distribution network of the companies the rule and responsibilities of each of them are different. The major activity taken up by the concentrate manufactures relates to the production of the basic product which is battled by the battling plants mostly independents and subsequently sold through the established distribution set ups of the respective companies. Incidentally a lions share of the total sales of the product of most of the companies is through fountain a sale which sums to be the most popular outlet in the western countries. Through in India fountain sales from a very insignificant part of the sales revenue. During the initial stage both soft drink majors used a network of independent bottlers to bottle and market their products. Independents bottling arose primarily because it was not possible to create an effective organization for operating a vertically integrated company with hundreds of geographically separated manufacturing unit and local delivery operations given the limited transportation and communication system of the time and the lack of sophisticated financial and management controls. Although Coca-Cola and Pepsi Co. are premier marketing companies the fundamental competitive advantage that allowed them to compete so effectively lies in their ability to operate through a very cumbersome distribution system. In India after the exit of coke in 1977 Parley and pure drinks controlled the Indian Soft Drinks market. By the end of 1970 Campa-Cola was practically alone in Cola market .Parleys

introduced Thums up in the beginning of 1980s. By the end of 80s Parley with Limca, gold spot and Thums up emerged as clear winner with around 60% market share. In the year 1985 Pepsi tried to enter into India when it teamed up with RPG group. This proposal as rejected on the grounds that the import of concentrate could not be agreed and the use of foreign brand name was not allowed. In year 1988 Pepsi again floated a project this time in collaboration with Punjab agro Corporation (PIAC) and Voltas India Limited and succeeded. Finally in June 1990 Pepsi was launched in India under the brand name of Lehar Pepsi. The most strategic step taken by Coca Cola was the purchase of Parley brands. With this coke instantly had the ownership of countries tap soft drinks brands as well as got access to Parleys extensive 54 plants bottling as well as a pre set distribution net work. This purchase gave coke an over might lead occur rival Pepsi which had came almost 5 year earlier.

GROWTH AND PRESENT STATUS OF THE INDUSTRY


The total value of the soft drink industry was $48 billion in 1990s. The average in the states 48 gallons per year. Industry analyst contended that the soft drink industry had plateaued, and that total consumption was unlikely to increase significantly in the near future. As a consequence, the cola wars were moving to international markets. Although, after the mid 90s both company found a different strategy fueled by the twin engines of innovation and diversity. Consumers are drinking a widening assortment of beverages. There is increasing demand for health and nutrition drinks (juices and juice-based products), rejuvenation drinks (tea and coffee), and replenishment drinks (sports drinks and water). Coke, the worlds largest soft drink company with a 45% share of the worldwide soft drink market, earned 80% of its profits outside of the United States in 1993. In according to this, Pepsi, with only 15% of its beverage operating profits coming from overseas was using guerilla warfare to attack Coke in selected international markets. Americans consumed 23 gallons of soft drinks a year in 1970 compared to 48 gallons in 1993. This growth was fueled by increasing availability and affordability of soft drinks in the marketplace, as well as the introduction and growth of diet soft drinks. And then become stabile. For improve profits on the saturated market was possible by cost reduction, new products but not cannibalize your products, and better value chain that returns you as a competitive advantage. It was not easy. There were many alternative to soft drinks ; coffee, beer, milk, tea, bottled water, juices, powdered drinks, wine, distilled spirits, and tap water. The 1980s Pepsi and Coke transformed their businesses. These consumer-oriented businesses experienced changes in the forces impacting key strategy areas: investment; distribution channels; trade and manufacturer relations; shareholder pressure; marketing and promotional programme design; new competitors and proliferation of products across their traditional categories, etc. Using 1978 as a base year, the Consumer Price Index (CPI) grew at an average rate of 5.9%, compared with soft drink price

growth 3.8%. Consumer demand appeared to be sensitive to price increases. The cola segment of the soft drink industry held the dominant (68%) share of the market in 1992, followed by lemon/lime with 12%, pepper flavor 7%, orange 3%, root beer 2%, and others 8%. Coke and Pepsi had a combined 73% of the soft drink market. Pepsi and Coca-Cola have more than 200 different products globally in 2000.

FUTURE OF THE INDUSTRY


Consumers are drinking a widening assortment of beverages. There is increasing demand for health and nutrition drinks (juices and juice-based products), rejuvenation drinks (tea and coffee), and replenishment drinks (sports drinks and water). Soft drink companies intend to fulfill the needs of consumers for every occasion at every stage of their lives. Both Pepsi and Coca Cola pronounced their self a total beverage company. More and more, people are turning to noncarbonated beverages to give them vigor and energy. Whether its for a lift during the day or for enjoyment after the workday ends, consumers are embracing ready-todrink teas and coffees. With every new discovery of the health benefits of teas, demand increases even more.

The basic product of soft drink companies cola. Today, cola is the most consumed beverage, still in the world. Even as lifestyles change all over the world, there is one beverage that remains the essential element for all people water. Soft Drink Companies are also focusing on their portfolio of replenishment beverages to meet differing local tastes for water and to provide sports drinks that quench the thirst of people with active lifestyles.

PROFILE OF COCA COLA

The Mission Statement of the Coca Cola Company


Our mission statement is to maximize shareowner value over time. In order to achieve this mission, we must create value for all the constraints we serve, including our consumers, our customers, our bottlers, and our communities. The Coca Cola Company creates value by executing comprehensive business strategy guided by six key beliefs:

1. Consumer demand drives everything we do. 2. Brand Coca Cola is the core of our business 3. We will serve consumers a broad selection of the nonalcoholic ready-todrink beverages they want to drink through out the day. 4. We will be the best marketers in the world. 5. We will think and act locally. 6. We will lead as a model corporate citizen.

The ultimate objectives of our business strategy are to increase volume, expand our share of worldwide nonalcoholic ready to drink beverages sales, maximize our longterm cash flows, and create economic value added by improving economic profit.

The Coca Cola system has more than 16 million customers around the world that sells or serves our products directly to consumers. We keenly focus on enhancing value for these customers and helping them grow their beverage businesses. We strive to understand each

customers business and needs, whether that customer is a sophisticated retailer in a developed market a kiosk owner in an emerging market.

There are nearly 6 million people in the world who are potential consumers of our companys product. Ultimately, our success in achieving our mission depends on our ability to satisfy more of their beverage consumption demands and our ability to add value for customers. We achieve this when we place the right products in the right markets at the right time.

ORIGIN OF THE ORGANIZATION


Coca-Cola is a carbonated soft drink sold in almost all the countries of the world. Coca-Cola is manufactured by The Coca-Cola Company and is often referred to as Coke. Coke is one of the most recognizable brands in the world. Coca-Cola was invented by John Stith Pemberton in Covington, Georgia in

May 1886. The beverage was initially a coca wine and was called Pembertons French Wine Coca. After Atlanta and Fulton County passed Prohibition legislation, Pemberton made a carbonated, non-alcoholic version of French Wine Cola and called it Coca-Cola. Coca leaves from South America were added as a stimulant to the beverage along .with kola nuts which were added to give flavor to the drink. Due to them the name Coca-Cola was given to the beverage. Asa Candler, who was also a pharmacist of Atlanta, bought the formula for CocaCola in 1887 from John Pemberton for $2,300. Asa Candler marketed Coke

aggressively and was responsible of the dominance of the world soft drink market by Coke. During Pembertons time five ounces of coca leaf were added per gallon of the syrup which constituted a significant dose. Candler claimed in 1891 that he had altered the formula of Coca-Cola and it now contained only a tenth of amount of coca leaves. Coca-Cola also contained nine milligrams of cocaine per glass till 1904, when they started using spent leaves instead of fresh leaves.

GROWTH AND DEVELOPMENT OF THE ORGANIZATION


The Company's presence worldwide was growing rapidly, and year after year, Coca-Cola found a home in more and more places: Cambodia, Montserrat, Paraguay, Macau, Turkey and more. In 1978, The Coca-Cola Company was selected as the only Company allowed selling packaged cold drinks in the People's Republic of China. The 1980s -- the era of legwarmers, headbands and the fitness craze, and a time of much change and innovation at The Coca-Cola Company. In 1981, Roberto C. Goizueta became chairman of The Board of Directors and CEO of The Coca-Cola Company. Goizueta, who fled Castro's Cuba in 1961, completely overhauled the Company with a strategy he called "intelligent risk taking." One of Goizueta's other initiatives, in 1985, was the release of a new taste for Coca-Cola, the first change in formulation in 99 years. In taste tests, people loved the new formula, commonly called new Coke. In the real world, they had a deep emotional attachment to the original, and they begged and pleaded to get it back. Critics called it the biggest marketing blunder ever. But the Company listened, and the original formula was returned to the market as Coca-Cola classic, and the product began to increase its lead over the competition -- a lead that continues to this day. The 1990s were a time of continued growth for The Coca-Cola Company. The Company's long association with sports was strengthened during this decade, with ongoing support of the Olympic Games, FIFA World Cup football (soccer), Rugby World Cup and the National Basketball Association. Coca-Cola classic became the Official Soft Drink of NASCAR racing, connecting the brand with one of the world's fastest growing and most popular spectator sports.

New beverages joined the Company's line-up, including Powerade sports drink, Qoo children's fruit drink and Dasani bottled water. The Company's family of brands further expanded through acquisitions, including Limca, Maaza and Thums Up in India, Barq's root beer in the U.S., Inca Kola in Peru, and Cadbury Schweppes' beverage brands in more than 120 countries around the world. By 1997, the Company already sold 1 billion servings of its products every day, yet knew that opportunity for growth was still around every corner. In 1886, Coca-Cola brought refreshment to patrons of a small Atlanta pharmacy. Now well into its second century, the Company's goal is to provide magic every time someone drinks one of its more than 400 brands. Coca-Cola has fans from Boston to Budapest to Bahrain, drinking brands such as Ambasa, Vegitabeta and Frescolita. In the remotest comers of the globe, you can still find Coca-Cola. From the early beginnings when just nine drinks a day were served, Coca-Cola has grown to the worlds most ubiquitous brand, with more than 1.4 billion beverage servings sold each day. When people choose to reach for one of The Coca-Cola Company brands, the Company wants that choice to be exciting and satisfying, every single time.

PRESENT STATUS OF THE ORGANIZATION


Asia will be the biggest driver of Coca-Colas growth over the next 10 years, the head of the worlds biggest beverage company said, adding that the company had lost out by not investing enough in the region in the past. Asia is at the core, Neville Isdell, the chairman and chief executive of the Atlanta, Georgia-based Coca-Cola Co., said. The company said its worldwide unit-case volume sales grew 6%the highest rate since 2002. Isdell said CocaCola has invested more than $1 billion (Rs4, 100 crores) over the last 12 months in Asia, particularly in the Philippines, China, India and Indonesia.

Coca-Cola Co slightly increased its lead over rival Pepsi-Cola Co in 2002, thanks to the successful launch of Vanilla Coke and the growth of Diet Coke, according to US soft drink industry rankings.

Coke gained 0.6 percentage points in market share and increased its case volume by 2.1 per cent, according to beverage digest-/Maxwell, a New York-based industry newsletter and data service said. The company captured a larger share of the market even though its coke classic brand fell 0.6 percentage points in market share. Atlanta-based Coca-Cola dominates 44.3 per cent of the US soft drink market, but saw its market share drop between 1999 and 2001. With the latest gains, its only 0.2 percentage points away from where it stood in 1998 at 44.5.

FUNCTIONAL DEPARTMENTS OF ORGANIZATION


There are 6 functional departments within Coca Cola. Marketing Finance Packaging Sales Research and development Administration

MARKETING STRATEGIES COCA COLA


To increase the price is the least thing, which Coke can adopt. There are so many ways through which Coke can increase the profits. Some major ways are as follows. Volume can be increased Interest level of consumers To take part in energetic festivals

How to increase the volume of consumers?


Coke can increase the volume by expanding the industry of coke. Through advertisements, offering different interesting things to attract people towards this product.

How to increase the interest level of consumers?


Coke is increasing the interest level of consumers by offering different flavors. For example Coke is increasing the number of flavors in Fanta, this is one of the product of coke. Through offering different flavors Coke can increase the Level of consumers and through this profits can be gained.

How to take part in energetic events?


Coke is already taking part in the events like world cup cricket since last many years. Coke offers different attractive things in their events and through this Coke gained high profit and consumption of coke increased on these occasions.

PRODUCTS OF COCA-COLA
Coca-Cola serves in India some of the most recalled brands across the world,

Which include names such as Coca-Cola, Thumps up, Sprite, Fanta, along with

The Schweppes product range.

The acquisition of Thums Up brought some of the leading national soft drinks like

Thums Up, Limca, Maaza, Citra and Gold Spot under its umbrella. To add to

This, Kinley mineral water was launched in the year 2000.

The Company ranking up "firsts" in the introduction of Canned and PET soft

drinks, vending machines and backpack dispensers for crowds of cricket supporters.

COCA COLA BEVERAGES


BRANDS: Thums up Maaza Sprite Fanta Coca cola Kinley

COCA COLA
SLOGAN: THANDA MATLAB COCA- COLA JO CHAHE HO JAYE COCA-COLA ENJOY SAR UTHA KE PIYO The world`s famous drink, the world 1s most valuable brand. he most recognizable word across the world after OK .Coca Cola has truly remarkable heritage. Developed in a brass pot in 1886, Coca-Cola is the most recognized and admired trademark around the globe. Not to mention the best selling soft drink in the world.

In India .Coca Cola was the leading soft-drink till 1977 when government policies necessitated its departure.Coca Cola made its return to the country in 1993 and made significant investments to ensure that the beverage is available to more and more people, even in the remote and inaccessible parts of the nation.

THUMS-UP
SLOGAN: I WANT MY THUNDER"

"THUMPS UP TASTE THE THUNDER"

Originally introduced in 1977, Thums Up was acquired by The Coca-Cola Company in 1993.Thums Up is a leading carbonated soft drink and most trusted brand in India. Thums Up is known for its strong, fizzy taste and its confident, mature and uniquely masculine attitude. This brand clearly seeks to separate the men from the boys.Coca Cola has also launched several contests for the promotion of Thums up like Hai Dum and Ninja Jeeto Contest to attract the Youth. Coca Cola spent $ 3.5 million to beef up advertising and distribution for Thums Up. By 2002, it had become India`s No.1 cola drink India.

MAAZA

SLOGAN: "Taaza Mango, Maaza Mango" "Botal mein Aam, Maaza hain Naam".

Maaza was launched in 1976. Here was a drink that offered the same real taste of fruit juices and was available throughout the year. In 1993, Maaza was acquired by Coca-Cola India. Maaza currently dominates the fruit drink category. It is available in SKUs of 200ml RGB, 250ml RGB, 125ml Tetrapak and 200ml Tetrapak

SPRITE
SLOGAN: "SPRITE BUJHAYA ONLY PYAAS, BAKI ALL BAKWAAS" "DHIKAWE PE MAT JAO APNI AKHAL LAGAO

In India, Sprite was launched in year 1999.Sprite is perceived as a youth icon. With a strong appeal to the youth, Sprite has stood for a straightforward and honest attitude. Its clear crisp refreshing taste encourages the today's youth to trust their instincts, influences them to be true to who they are and to obey their thirst. Sprite is available around the country in 200ml, 300ml, 500ml, and 500ml + 100ml free, 1.5ltr, 2ltr, 2.25ltr and 330ml cans.

Today Sprite is perceived as a youth icon. Why? With a strong appeal to the youth, Sprite has stood for straight forward and honest attitude. Its clear crisp refreshing taste encourages the todays youth to trust their instincts, influences them to be true to who they are and to obey their thirst.

FANTA
SLOGAN: KUCH BH1 HO SAKTA HAI MASTI KA APNA TASTE

Internationally,

Fanta

- The

'orange'

drink of

The

Coca-Cola

Company

is seen as one of the favorite drinks since 1940's. Fanta entered the Indian market in the year 1993. Perceived as a fun youth brand, Fanta stands for its vibrant color, tempting taste and tingling bubbles that not just uplifts feelings but also helps free spirit thus encouraging one to indulge in the moment. This positive imagery is associated with happy, cheerful and special times with friends. Over the years Fanta has occupied a strong market place and is identified as The Fun Catalyst.

Fanta advertising over a time has the biggest association with fun and friends that have reflected through past TV commercials like Masti ka Apna Taste,Bajao Masti.

LIMCA
SLOGAN: -

JUST TAKE IT EASY

Born in 1971, Limca has been the original thirst choice, of millions of consumers for over 3 decades. The brand has been displaying healthy volume growths year on year and Limca continues to be the leading flavour soft drink in the country.

The success formula The sharp fizz and lemoni bite combined with the single-minded
positioning of the brand as the ultimate refresher has continuously strengthened the brand franchise. Limca energizes, refreshes and transforms.

The brand has been displaying healthy volume growths year on year and Limca continues to be the leading flavour soft drink in the country.

KINLEY
SLOGAN: -

Boond Boond Mein Vishvaas.

Water, a thirst quencher that refreshes, a life giving force that washes all the toxins away. A ritual purifier that cleanses, purifies, transforms. Water, the most basic need of life, the very sustenance of life, a celebration of life itself. Kinley water understands the importance and value of this life giving force. Kinley water thus promises water that is as pure as it is meant to be. Water you can trust to be truly safe and pure. Kinley water comes with reverse-osmosis along with the latest technology to ensure the purity.

MARKETING STRATEGY OF COCA COLA


Our local marketing strategy enables Coke to listen to all the voices around the world asking for beverages that span the entire spectrum of tastes and occasions. What people want in a beverage is a reflection of who they are, where they live, how they work and play, and how they relax and recharge. Whether you're a student in the United States enjoying a refreshing Coca-Cola, a woman in Italy taking a tea break, a child in Peru asking for a juice drink, or a couple in Korea buying bottled water after a run together, we're there for you. We are determined not only to make great drinks, but also to contribute to communities around the world through our commitments to education, health, wellness, and diversity. Coke strives to be a good neighbor, consistently shaping our business decisions to improve the quality of life in the communities in which we do business. It's a special thing to have billions of friends around the world, and we never forget it.

PRICE STRATEGY
Trade Promotion
Coca Cola Company gives incentives to middle men or retailers in way a that they offer them free samples and free empty bottles, by this these retailers and middle man push their product in the market. And thats why coca cola seen more in the market. And they have a good sale in the market because according to the expert which product seen more in the market that sells more. They do agreements with a shop keepers and stores to exclusive sale in that store. These stores are called as KEY accounts in their local language. And coke also invest heavy budget on these stores and offers them free samples and free bottles and some time cash incentives.

Different Price In Different Seasons


Some times Coca Cola Company changes their product prices according to the season. Summer is supposed to be a good season for beverage industry in India. So in winter they reduce their prices to maintain their sales and profit. But normally they reduce the prices of their pet bottles or 1 litter glass bottle.

PROMOTION STRATEGIES
Getting shelves
They gets or purchase shelves in big departmental stores and display their products in that shelves in that style which show their product more clear and more attractive for the consumers.

Eye Catching Position


Salesman of the coca cola company positions their freezers and their products in eye-catching positions. Normally they keep their freezers near the entrance of the stores.

Sale Promotion
Company also do sponsorships with different college and schools cafes and sponsors their sports events and other extra curriculum activities for getting market share.

UTC Scheme
UTC mean under the crown scheme, coca cola often do this type of scheme and they offer very handy prizes in it. Like once they offer bicycles, caps, tv sets, cash prizes etc. This scheme is very much popular among children.

DISTRIBUTION CHANNELS STRATEGY


Coca Cola Company makes two types of selling Direct selling Indirect selling

Direct Selling
In direct selling they supply their products in shops by using their own transports. They have almost 450 vehicles to supply their bottles. In this type of selling company have more profit margin.

Indirect Selling
They have their whole sellers and agencies to cover all area. Because it is very difficult for them to cover all area of Pakistan by their own so they have so many whole sellers and agencies to assure their customers for availability of coca cola products.

FACILITATING THE PRODUCT BY INFRASTRUCTURE


For providing their product in good manner company has provided infrastructure these includes: Visi cooler Freezers Display racks Free empty bottles and shells for bottles

ADVERTISEMENT STRATEGY
Coca Cola Company use different mediums Print media Pos material TVs commercial Billboards and holdings

Print Media
They often use print media for advertisement. They have a separate department for print media.

POS Material
Pos material mean point of sale material this includes: posters and stickers display in the stores and in different areas.

TV Commercials
As everybody know that TV is a most common entertaining medium so TV commercials is one of the most attractive way of doing advertisement. So Coca Cola Company does regular TV commercials on different channels.

Billboards and Holdings


Coca cola is very much conscious about their billboards and holdings. They have so many sites in different locations for their billboards.

PROFILE OF PEPSI

PepsiCo, Inc. is one of the world's top consumer product companies with many of the world's most important and valuable trademarks. Its Pepsi-Cola Company division is the second largest soft drink business in the world, with a 21 percent share of the carbonated soft drink market worldwide and 29 percent in the United States. Three of its brands--Pepsi-Cola, Mountain Dew, and Diet Pepsi&mdashe among the top ten soft drinks in the U.S. market. The Frito-Lay Company division is by far the world leader in salty snacks, holding a 40 percent market share and an even more staggering 56 percent share of the U.S. market. In the United States, Frito-Lay is nine times the size of its nearest competitor and sells nine of the top ten snack chip brands in the supermarket channel, including Lay's, Doritos, Tostitos, Ruffles, Fritos, and Chee-tos. Frito-Lay generates more than 60 percent of PepsiCo's net sales and more than two-thirds of the parent company's operating profits. The company's third division, Tropicana Products, Inc., is the world leader in juice sales and holds a dominant 41 percent of the U.S. chilled orange juice market. On a worldwide basis, PepsiCo's product portfolio includes 16 brands that generate more than $500 million in sales each year, ten of which generate more than $1 billion annually. Overall, PepsiCo garners about 35 percent of its retail sales outside the United States, with Pepsi-Cola brands marketed in about 160 countries, Frito-Lay in more than 40, and Tropicana in approximately 50. As 2001 began, PepsiCo was on the verge of adding to its food and drink empire the brands of the Quaker Oats Company, which include Gatorade sports drink, Quaker oatmeal, and Cap'n Crunch, Life, and other ready-to-eat cereals.

When Caleb D. Bradham concocted a new cola drink in the 1890s, his friends' enthusiastic response convinced him that he had created a commercially viable product. For 20 years, 'Doc' Bradham prospered from his Pepsi-Cola sales. Eventually, he was faced with a dilemma; the crucial decision he made turned out to be the wrong one and he was forced to sell. But his successors fared no better and it was not until the end of the 1930s that PepsiCola again became profitable. Seventy years later, PepsiCo, Inc. was a mammoth multinational supplier of soft drinks, juices, and snack food. PepsiCo's advance to that level was almost entirely the result of its management style and the phenomenal success of its television advertising.

Doc Bradham, like countless other entrepreneurs across the United States, was trying to create a cola drink similar in taste to Coca-Cola, which by 1895 was selling well in every state of the union. On August 28, 1898, at his pharmacy in New Bern, North Carolina, Bradham gave the name Pepsi-Cola to his most popular flavored soda. Formerly known as Brad's Drink, the new cola beverage was a syrup of sugar, vanilla, oils, cola nuts, and other flavorings diluted in carbonated water. The enterprising pharmacist followed Coca-Cola's method of selling the concentrate to soda fountains; he mixed the syrup in his drugstore, then shipped it in barrels to the contracted fountain operators who added the soda water. He also bottled and sold the drink himself. In 1902 Doc Bradham closed his drugstore to devote his attention to the thriving new business. The next year, he patented the Pepsi-Cola trademark, ran his first advertisement in a local paper, and moved the bottling and syrup-making operations to a custom-built factory. Almost 20,000 gallons of Pepsi-Cola syrup were produced in 1904.

Pepsi has been bringing fun and refreshment to consumers for over 100 years. From its humble beginnings over a century ago, Pepsi-Cola has grown to become one of the bestknown,most-loved products throughout the world. Today, the company continues to innovate, creating new products, new flavors and new packages in varying shapes and sizes to meet the growing demand for convenience and healthier choices.

BEVERAGES OF PEPSI
PEPSI DIET PEPSI MIRINDA SEVEN UP MOUNTAIN DEW SLICE

PEPSI SLOGAN:
"Oh YES ABHI

Pepsi is the most saleable product of PepsiCo. It is popular in the younger generation all around the world

DIET PEPSI SLOGAN: YOU GOT THE RIGHT ONE BABY UH HUH

With its light, crisp taste, Diet Pepsi gives you all the refreshment you need with zero sugar, zero calories and zero carbs, Light, Crisp, refreshing.

MIRINDA

SLOGAN:

PAGALPANTI BHI ZAROORI HAY :

Mirinda was originally produced in Spain. Mirinda is a brand of soft drink available in fruit varieties including orange, grapefruit, and apple, strawberry, pineapple, banana, and passionfruit and grape flavors. The orange flavor of Mirinda represents the majority of Mirinda sales

SEVEN UP

SLOGAN:

BE YOURSELF BE REFRESHING

7 Up is a brand of a lemon-lime flavored non-caffeinated soft drink. The rights to the brand are held by Dr Pepper Snapple Group in the United States, and PepsiCo (or its licensees) in the rest of the world

MOUNTAIN DEW

Slogan: DARR KAY AAGAY JEET HAY

Mountain Dew (also known as Mtn Dew as of late 2008) is a soft drink distributed and manufactured by PepsiCo. Mountain Dew (and its energy drink counterpart known as AMP) often incurs the disapproval of health experts due to its relatively high caffeine content for a soft drink or energy drink

SLICE

SLOGAN: AAMSUTRA
Slice is a line of fruit-flavored soft drinks manufactured by PepsiCo and introduced in 1984. Varieties of Slice have included Apple, Fruit Punch, Grape, Passion fruit, Peach, Mandarin Orange, Pineapple, Strawberry, Cherry Cola, "Red", Cherry-Lime, and Dr Slice.

MARKETING STRATEGIES OF PEPSI A closer look at the brand identities of each of the brands helps assess how successful their advertising campaigns have been in creating a brand image in tune with it, while being sensitive to the value system of the target audience.

PepsiCos Campaign
The analysis of Pepsi, 7 UP and Mountain Dew from the portfolio of PepsiCo puts forth some interesting aspects about the evolution of these brands. Pepsi was one of the first products to Indian markets after the economic reforms of 1991.

Pepsi
Pepsi began with the Yehi hai Right Choice Baby campaign, which has been one of the most memorable campaigns of the brand, featuring celebrity endorsers such as Shah Rukh Khan among others. The focus, as is clearly evident, is on the product with the youth as its target segment. Yeh Dil Mange More and Yeh Pyaas Hai Badi were some of the later campaigns. Yeh Dil Mange More campaign was again a great success, having balanced the emotional as well as the functional appeal of the product. Featuring Sachin Tendulkar and many other leading stars at that point of time, this was also one of the longest campaigns carried out by Pepsi. The company however failed to maintain the trend and leverage it. Instead of moving on to a complete emotional appeal platform, the company decided on a product based promotion campaign. Though there is still some amount of emotional appeal to its campaigns, the principal focus is on the product - it being a preferred thirst quencher.

7 UP
In its early days, 7 UP inherited the global Fido-Dido campaign for promotion in India as well. However, with changing times and a contextual difference in India, a much more focused campaign was required. This led to the Keep It Coolcampaign, which was targeted primarily at the youth and the teenager segment. Hence the appeal was at a more subtle, emotional level, which was meant to convey a potential lifestyle statement. The recent campaign of Bheja Fryessentially leverages on the same emotional appeal where the Keep It Cool campaign has been somewhat tweaked to have a local appeal.

Mountain Dew
Mountain Dew is the latest entrant in the product portfolio. This product too has the appeal of being the drink of a daredevil or the No Fear personality. The campaigns launched include Do the Dew and Dar Ke Aagey Jeet Hai. The initial campaign was unclear in terms of its appeal and the target segment, as a result of which the brand suffered some jolts in the beginning. However, the latest campaign captures the No Fear or the Macho Man image. In this sense, the brand directly competes with Thums Up from the Coca Cola Stable

ADVERTISEMENT STRATEGY
Coca Cola Company use different mediums Print media Pos material TVs commercial Billboards and holdings

Print Media
They often use print media for advertisement. They have a separate department for print media.

POS Material
Pos material mean point of sale material this includes: posters and stickers display in the stores and in different areas.

TV Commercials
As everybody know that TV is a most common entertaining medium so TV commercials is one of the most attractive way of doing advertisement. So Coca Cola Company does regular TV commercials on different channels.

Billboards and Holdings


Coca cola is very much conscious about their billboards and holdings. They have so many sites in different locations for their billboards.

OBJECTIVES OF STUDY
. * TO KNOW WHICH OF THE TWO COMPANIES HAVE BETTER ADVERTISING

CAMPAIGN * TO KNOW WHICH FORM OF ADVERTISING AND SALES PROMOTION

STRATEGY IS MORE EFFFECTIVE. * * TO KNOW WHICH COMPANY HAVE MORE MARKET SHARE TO KNOW THE BASIS ON WHICH CONSUMER PREFER TO BUY A SOFT DRINK.

PARTICULAR *

TO KNOW THE IMPACT OF MARKETING STRATEGIES OF THE COMPANIES

ON THE BUYING DECISION.

SCOPE OF STUDY The scope of study is confined to the consumer and retailer of pathankot region.A lot of research has been done on these subject matter.the research is both descriptive and explaratory in nature and mainly focus on marketing strategy of coca cola vs pepsi and their strategy.the study is based on both primary and secondary sources of data.the implication of study is limited to perception of consumer and retailer due to financial and time constraint.study will also come up with various finding which will help company and retailers to improve on their market strategy.

NEED OF STUDY The present study is significant from the perspective of consumer retailer and company.the study will give an indepth analysis of the market structure of companies working in softdrink industry and there demand in pathankot region. The study of various marketing strategis of two companies gives an insight in to the company about which leads the company.The perception of consumer and retailer toward these strategies influence their preference and buying decision.the study specifically more useful for retailers & ultimately companies which have to sell the products in the markets.they will understand what attract the most of consumer & retailers and can modify their marketing strategies according to that.

RESEARCH DESIGN AND METHODOLOGY


The project will involve a study the importance of strategic management and sales promotion strategies schemes in the soft drinks industry. . The study will include following parameters. Top of the mind recall. Brand awareness about an advertisement. The use of celebrity in a particular campaign and their impact.

The mode of the data collection would include both primary and secondary. The impact of sale promotion schemes would measure on: Their visibility. Recall value of a post schemes. Acceptability of the current scheme by the customers and sales force.

For this purpose both primary and secondary data would be collected. For clarification certain annexure of ads and sales promotion schemes are added in the end. The project work started with the collection of secondary data from various sources such as newspaper, magazines, journals and web sites. Along side two questionnaires were also prepared one aimed at consumers and the other aimed at retailers together primary data, regarding the influence and effect of Advertising and sales promotion schemes on the sales of soft drinks (Carbonated Soft drinks).

This research methodology include: Problem identification Research design Sampling plan

Method of data collection Sources of data collection

1.

Problem Identification: Marketer should be aware of the perception of customer about his product

so that he can gain maximum out of it. He should be aware of who are decision maker as well as ultimate buyer of product. 2 Research Design: The method adopted for research is Experience Survey i.e. survey of people who have practical experience of soft drinks in Sagar, in such a research design the decision regarding what, where, whom, how much, by what means are concerned. It is the blue print for the research undertaken. Measurement and Scaling Technique for Research:
In this research the rating scale technique is used. Rating scale involves qualitative description of a limited no of aspects of thing or of traits of a person. In rating scale we judge properties of objects without reference with other similar object. The ranking can be done by graphic rating scale as:

Like very much Like some what Natural Dislike some what Dislike very much

3.

Sampling Plan:
It includes sample unit, sample size, sample procedure.

Sample Unit: Sample unit is target population of PATHANKOT Sample size: Research is done on 200 respondents of PATHANKOT 4

Method of data collection:


Observation method Questionnaire method Data collection through journal, magazines Data collection through websites of various Soft Drinks related companies.

5.

Sources of data collection:


Primary sources: Sample survey of target population Secondary sources: Company pamphlets, different journal such as A+M, Business magazine as business world, business India, industry manual and web sites.

REVIEW OF LITERATURE

1 .According to RICE(1993) perception is the initiator of behavior.It can also be seen as a process of information extraction.perception is the process by which an individual selects organizes and interprets information inputs to create a meaningful picture(kotler,2000)different people tends to perceive quite differently even when they are exposed to the same reality.a set of factors e.g. individual responses,determine an individuals perception process and lead to individual differences.the most important is that people perception are often more important than the reality in marketing(kotler,2000)

2. According to thorelli et al(1975) the prospective buyer posess a certaint stock of cognitive content,including his own concept or self concept,attitude and opinion both in general and on specific product and stored information and past experience. This stock has been formed as a result of his interaction with his environment over time,and it will help determine the environment in which he places himself in the futureas well as influence his perception of that environment.this stage consist of the physical and cognitive activities involved in comparing alternatives on the basis of information gathered from external search above.

3. The study of consumer behavior provide a sound basis for identifying and understanding the factor that affect consumer buying behavior.schiffman and kanuk(2002) state that the behavior which consumer display in searching ,purchasing and evaluating products/services is those that expect to fulfill their needs.

4. According to kotler (2000) the consumer arrive at attitude toward various brand through an attribute evaluation procedure and most buyers consider several attributes in their purchase decision, these attributes used by consumer for evaluation are also called choice criteria.

5. jobber(2001) has made a good summary of these choice criteria.In fact,consumer attempt to optimize the trade off between product benefit,product costs,the desired personal utilities and other variables

ANALYSIS OF DATA

Which brand of soft drink you prefer?

Sales
39 PepsiCo Coca Cola

61

When asked about particular brands consumers responded the two colas namely Pepsi and coke as their favorites. Out of which Coca Cola was leading with 61% while Pepsi came second at 39%, It was also observed that cola segment was preferred by more than 70% of the total consumers interviewed.

Why do you prefer it?

Price 21%

Advertising & Schemes 29%

Easy Availability 31%

Preference 19%

When asked to the consumers responded availability of a particular brand of soft drink of the most important in their purchase decision. Through advertising and sales promotion schemes were also very important while making their final purchase decision as it is an impulse purchase, consumers often related their purchase with the recall of an ad which their viewed on television. Apart from easy availability and promotional schemes price was another major driving factor in the purchase of a soft drink for consumers (Pet bottles prices vary).

When you talk of soft drink advertising which all brands come to your mind (please specify in order of recall)?

Maaza 5% Pepsi 35%

Others 6%

Limca 9% Thums up 16%

Coke 29%

When the above question was asked to the consumers they could easily recall Pepsi and Coke ads almost equally. Though Pepsi had a very minor edge. This question also shows Pepsis aggressive nature in advertising, which is its trademark the world over. Pepsi has always been known as an aggressive advertiser and this is also true in Indian market. Thums up was a distant third because of its continuous attacks on Pepsi.

Do you think the advertising done by the companies affects the sales of their respective soft drinks?

No 29%

Yes 71%

As its is clear from the above graph that advertising as a major impact on the sales of soft drinks most of the consumers almost 71% thought advertising has direct effect on the sales of the soft drinks. When consumers were asked about the effect of ads on sales most of them responded in favor. They said that ads were the most important factor in driving the sales of any brand. Especially with the younger generation, it often drives them towards a particular brand of soft drink due to its advertisement.

Which from of advertising and sales promotion strategies do you think is most effective for soft drink industry?
45 40 35 30 25 20 15 10 5 0 Sales Promotion Schemes Television Advertising Outdoor Advertising 8 13 9 29 41

Consumers think that television advertising has a major impact on the sales of soft drinks. As television reaches maximum urban homes, which are the major market of the soft drinks, they have a direct impact on the consumers behavior. Apart from that newspaper advertising is also important. Apart from these advertising media, sales promotion schemes from the next important strategy.

According to you which companys advertising are more creative and appealing?
57 60 50 40 30 20 10 0 PepsiCo Coca Cola 43

HTA, the advertising agency for Pepsi, has come up with many innovative ads in the past, creating a good impression in the mind of consumers. Most of the consumers interviewed responded that they like Pepsi ads more than that of Coke. Recently Coke has also come up with few ads, which are specifically by the consumers.

ANALYSIS OF RETAILERS
Type of business

Eatery 22%

Others 6%

Sweet Shops 27%

Provisons Stores 45%

To conduct the research a number of Retail Outlets were visited these retail outlet included provisions stores, eateries, sweets shops, tea stalls, Dhabas etc. Out of these it was found that provision stores of the local market where the major sellers of the soft drinks and consumers usually preferred to buy soft drinks from their local grocery store.

Which segment of soft drink consumer generally asked for? (Rank them on scale 1, 2, 3)1 is max. 3 is min.
60 51 50 40 30 20 10 0 Cola Orange Cloudy Lemon Clear Lemon Others 27 14 4 4

As it is an apparent from the above graph when asked about which segment the consumers generally asked for the retailers respondent that Cola by itself was the largest selling soft drink amounting to 61% of total soft drink sales. Orange came a distant second at 17% followed by cloudy lemon, which constituted another 14%.

Why do think that a consumer ask for a particular brand of soft drink?

Advertising & Promotion 39% Brand Prefrence 17%

Price 21%

Availbility 23%

The consumer preferences are very fragile and not firm. Consumers preference usually changes with the various schemes and the advertising. Which has major impact on their purchase decision. Price is another critical factor on which the consumer purchase decision is based. It is often found that the consumers change their preference in accordance with various price discounts offered to them. Availability is another major aspect, which decides the actual purchase. A consumer may change his or her preference based in the fact that which brand is available chilled at that moment.

Major sale of soft drink is due to?

40 35 30

38

25 25 20 15 10 5 0 Availability Price Brand Name Scheme 16 21

Though advertising and sales promotion act as a major tool to attract customers for the purchase of the particular soft drink, but it is actually the availability that is by far the most important factors, which drive the sale. Apart from availability the price factor is again cited as an important factor in the actual sale of the soft drinks. Apart from these various schemes and sales promotion activities under taken by the company also acts as sources of sale. The brand preference and loyalty is by far the least important factor driving the sale.

What are the attributes that influence you to decide which brand of soft drink to keep? (Rank them on scale of 1-4).
50 45 40 35 30 25 20 15 10 5 0 Company Support Consumer Pull Promotional Schemes Brand Name 12 18 27 43

The attributes that influence a retailer to keep a particular brand of soft drink are pro motional schemes brand name consumer pill and company support. Out of these factors promotional scheme again is the major factor that influences any retailer to keep the stock of particular brands. Apart from this consumer pull and brand name acts are the major influencers for the retailers to keep stork of a particular soft drinks. One more factor which affects the retailers to keep stock of particular soft drinks is the company support which is provided in from of visi coolers, banners, sign boards etc. through the kind of company support provided by the majors is almost the same.

Does the promotional scheme of the company have any effect on the sales of soft drinks brands?

No 29%

Yes 71%

As sighted in the above analysis, sale of any soft drink is very much affected by the promotional schemes provided by the company to the retailers. These schemes act as the push towards the sales for any soft drink brands.

Limitations of Study:

Resources for collection of data are less.

Time period for data collection is short

Difficult to get response from customer.

Experience in field of research is difficult job.

FINDINGS OF STUDY

CONSUMER PERCEPTIONS
Soft drinks come under the category of products purchased on impulse. Through the markets is marred by brand loyalty the purchase decision itself is a low involvement decision. This attitude of impulse buying is slowly changing to occasion-led-buying and also to some extent to consumption through home refrigerator particularly in urban areas. The market is slowly moving from non-alcoholic carbonated drinks to fruit based drinks and also to plain bottled water due to lower price and ready availability. Consumers purchase soft drinks primarily to quench thirst. Therefore people traveling and not having access to hygienic water reach out for soft drink. This accounts for a large part of the sales. Brand awareness plays a crucial role in purchase decisions. Consumers prefer convenient and economy products. Availability in the chilled from affects the purchase decision. This has made both companies to push its sales and to increase its retail distribution by offering Visi Coolers to retailers. While there is no restriction on consumption of soft drinks by any age group, the main consumers of this market are people in the age group of 30 and below. Product differentiation is very low, as all the products taste the same. But brand loyalty is high in the case of kids and people in the age group of 20-30 years. Consumers are sensitive to the outlay where the purchase of beverages is concerned. Hence the market is price sensitive.

Due to the high cost of soft drinks, a lot of times consumers prefer beverages like tea, coffee or other drinks like sharbat and squashes.

Per capita consumption in India is among lowest in the world at 5 bottles per annum compared to 80 bottles in Thailand and 800 bottles in USA.

Delhi market has highest per capita consumption in the country with 50 bottles per annum compared to 5 bottles for the country.

RETAILERS PERCEPTIONS

Retailers stated that the consumers are loyal to the particular segment of the soft drink i.e. cola, orange or lemon. But as far the loyalty for the brands in each segment is concerned, it is not very significant.

43% of the retailers surveyed told that in soft drinks advertising is the key component in driving sales. While 32% stated promotional schemes and 20% brand loyalty as the reason.

As consumers are not very brand loyal where the purchase of soft drinks is concerned, the retailer push becomes a critical issue. They usually sell the product in which they get the maximum benefit. For this, the companies try to offer them higher margins

RECOMMENDATION

Although it is very early to suggest any thing to such a internationally renounced company like Coca-Cola having in the mature stat e of marketing yet for the local market, client distributors & retailers, based on the interactions & feed backs from various outlets, segments of customers I would like to suggest as under:

Company should promote good and heart felt Slogans and Jingles.

Company should provide others small advertising items in the form of garlands, hangers recto the shopkeepers as there are cheap and Q good source of advertising.

Company should sponsor important event like World cup, Asian & other tournament, any event related to film awards and programmers of local importance.

Company, If possible should give schemes to the customers through newspapers having provision for discounts in purchasing its products.

Company should organizing campaigns & distributes caps, Key rings, glasses, serving tray, pussels on which company packages are branded.

Chilling equipments should provide on a cost basis.

Chilling equipments (like family freeze, vizzi or Electric bottle cooler) should be provided to the outlets

If there is any default found in the chilling equipment provided by the company should be repaired quickly when so required.

Company should ensure good supply of stock.

Company should go for more monopoly counters.

Company should give discount with every crate as is being done by Pepsi.

There should be surprise check by the company to endure whether benefits of schemes provided by the company reach outlets or not and take corrective measures in case of default.

Company should arrange seminars and meetings with dealers on an ongoing basis on monthly interval.

Shopkeeper feedback should be taken in regular manner.

A special shopkeepers care cell should be formed to listen the shopkeepers grievance on the lines of customer care cell.

No. of hoardings should be increased.

Flexibility in the allot of monopoly items should be encouraged.

. Some free gifts should also be given on established Brands to stimulance the retailer.

Company should elaborate public announcement on important days like Health day, Anti drug day world aids day etc.

Company should tap colleges and school canteens. They should be given extra discounts as these outlets give potential long run customers to the company.

Company should provide Tables, Chairs wall clocks, stands, openers to the retailers as f or them type of free gifts are significant and they promote those company's products who provide such items to them

CONCLUSION AND SUMMARY

To sum up the whole study I can say that advertising does have great impact on consumer buying behavior but advertising alone is not the basis of buying a particular soft drink .there are other factors also like availability,price whether the soft drink is chilled or not. Out of the two companies pepsi have better advertising strategies but coca cola have better market share than pepsi.I also came to know that the most effective form of advertising is television adds.Provisional stores are the major seller of cold drinks and according to retailers to advertising helps a lot in selling of a product and promotional schemes of companies should be given because they also help in promoting sale.

SWOT ANALYSIS OF COCA COLA

STRENGTH
1. The best global brand in the world in terms of value ($77,839 billion) 2. Worlds largest market share in beverage 3. Strong marketing and advertising 4. Most extensive beverage distribution channel 5. Customer loyalty 6. Bargaining power over suppliers 7. Corporate social responsibility 1. 2. 3. 4. 5.

Weaknesses
Significant focus on carbonated drinks Undiversified product portfolio High debt level due to acquisitions Negative publicity Brand failures or many brands with insignificant amount of revenues

Opportunities
1. Bottled water consumption growth 2. Increasing demand for healthy food and beverage 3. Growing beverages consumption in emerging markets (especially BRIC) 4. Growth through acquisitions 1. 2. 3. 4.

Threats
Changes in consumer preferences Water scarcity Strong dollar Legal requirements to disclose negative information on product labels 5. Decreasing gross profit and net profit margins 6. Competition from PepsiCo 7. Saturated carbonated drinks market

SWOT ANALYSIS OF PEPSI

Strengths
1. Product diversity 2. Extensive distribution channel 3. Corporate Social Responsibility (CSR) projects 4. Competency in mergers and acquisitions 5. 22 brands earning more than $1 billion a year 6. Successful marketing and advertising campaigns 7. Complementary product sales 8. Proactive and progressive

Weaknesses
1. Overdependence on Wal-Mart 2. Low pricing 3. Questionable practices (using tap water but labeling it as mountain spring water) 4. Much weaker brand awareness and market share in the world beverage market compared to Coca-Cola 5. Too low net profit margin

Opportunities
1. Growing beverages and snacks consumption in emerging markets (especially BRIC) 2. Increasing demand for healthy food and beverages 3. Further expansion through acquisitions 4. Bottled water consumption growth 5. Savory snacks consumption growth 1. 2. 3. 4.

Threats
Changes in consumer tastes Water scarcity Decreasing gross profit margin Legal requirements to disclose negative information on product labels 5. Strong dollar 6. Increased competition from Snyders

BIBLIOGRAPHY
REFERENCES

BOOKS:* Philip kotler,principles of marketing,sultan chand and company limited,new delhi,2002. * D. Aaker,v.kumarand g.day marketing research,john wiley & sons(ASIA) pvt limited,seventh edition,2003. * Pillai R.S.N and Bhagavathy,modern marketing sultan chand and sons,second edition * Balu. V,marketing research of consumer behavior,sri venkadeswan publication,second edition,2001. * Ramaswamy and namakumari,marketing management,macmillan publishers india Ltd,fourth edition.

Websites http://www.wikihow.com/Tell-the-Difference-Between-Coke-and-Pepsi
http://www.coca-colaindia.com/products/our_products.html http://www.coca-colaindia.com/ourcompany/company.html http://www.pepsico.com/Company.html http://www.pepsico.com/Brands.html

ANNEXURES

QUESTIONNAIRE FOR CONSUMERS


Name: Age Sex: Location:

1) Which Company brands of soft drink do you prefer? a) Coca Cola 2) Why do you prefer it? a) Adv. & promotion schemes c) Price b) Preference d) Easy Availability b) Pepsi

3) Which form of advertising and sales promotion strategies do you think is most effective for soft drink industry? a) Television Advertising c) Outdoor Advertising b) Newspaper Advertising d) Sales promotion schemes

4) According to you which companys advertising are more Creative and appealing? a) PepsiCo b) Coca-Cola

5) Do think the advertising done by the companies affects the sales of their respective soft drinks? a) Yes b) No

6) When you talk of soft drink advertising which all brands come to your mind? (Please specify in order of recall) ---------------------------------------------------------------------------------------------------------------------------------------------------------------

QUESTIONNAIRE FOR RETAILERS


1) Type of business is: a) Provision store c) Sweet Shop e) Tea Stall b) Hotel d) Dabha f) Any Other.

2) Which segment of soft drink consumer generally asked for? a) Cola c) Clear lemon e) Others 3) Why do think that a consumer ask for a particular brand of soft drink? a) Adv. & Promotional Activities c) Easy Availability 4) Major sale of soft drink is due to? a) Availability c) Brand Name b) Price d) Promotion Schemes b) Brand Preference d) Price b) Orange e) Cloudy Lemon

5) What are the attributes that influence you to decide which brand of soft drink to keep? (Rank them on scale of 1-4). a) Company Support c) Brand Name b) Consumer Pull d) Promotion Schemes

6) Does the promotional scheme of the company have any effect on the sales of soft drinks brands? a) Yes b) No

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