CONSUMER PERCEPTION TOWARD COLA DRINKS

ACKNOWLEDGEMENT
Surpassing the milestone towards a mission sometimes gives us degree
of jubilance that we tend to forget the precious guidance and help extended by people to whom success of mission is solely dedicate Further I would like to express my gratitude towards Mr. Rajinder Singla and staff of Goldmine Advertising Ltd. (187-A, Sai Sadan, Sant nagar, East of Kailash, New Delhi-110048) for their constant support and guidance. I am also grateful to all those people who filled my questionnaire and helped me in completing my project.

PREFACE
To start any business or to know how the product is working in an industry the success entirely depends on the marketing research done particularly to study the consumer attitude towards the product. Marketing research plays a very important role in a business to make it successful. The topic given to me is consumer preferences I have tried my best to cope up with the challenges so as to analyze such a large industry of soft drinks. The project study contains all necessary information regarding the soft drinks, its advertisements and the consumer preferences. It also covers the complete analysis of purchase of soft drinks on the basis of consumer based Questionnaire which contains open as well as close end questions for different factors that affect the purchase decision of consumers. These 2 months that I have spent while doing my research/survey has been a wonderful learning period. The whole project report is intended to serve as a tool for soft drink industry. Depending on the information collected from the project, I was able to unearth information that will help to solve the problems of customers and able to enhance the customer experience. I was also able to suggest suitable recommendations that might assist the industry to enhance its performance in the future. I hope that the suggestion given in the end of the study would be welcomed and implemented by soft drink companies for their benefit after proper consideration.

TABLE OF CONTENTS
Acknowledgement Preface Executive summary Chapter No.1: INTRODUCTION TO ADVERTISING Chapter No.2: COMPANY PROFILE
Organizational structure Corporate Profile Turn over of company 16 Company work process Ads made by the company 21 Swot analysis 22 10 11

2 3 5 6

17

Chapter No.3: JOB DESCRIPTION Chapter No.4: COLA WAR

Detail on soft drinks Profile of PepsiCo company Profile of Coca cola company Profile of RC cola company

24

26 28 33 38

Chapter No.5: RESEARCH METHODOLOGY

Data collection Objective and scope of the study Hypothesis of study 47 43 46

Chapter No.6: FINDING AND DATA ANALYSIS

Analysis based on Questionnaire Limitations of the study 49 70

Chapter No.7: CONCLUSIONS AND RECOMMENDATIONS

Conclusion 72 ANNEXURES

Bibliography Ads made by the goldmine Questionnaire SPSS Variable and data sheet

74 75 76 78

EXECUTIVE SUMMARY
To start any business the success entirely depends on marketing research done about any particular brand and consumer attitude towards the product. The topic given to me was: CONSUMER PERCEPTION TOWARD COLA DRINKS In my survey 100 respondents including students, businessman, salaried employees, professionals & housewife were used. After the survey I came to knew many new and interesting facts that even we were not aware of before which will be in detail in the report later. In 100 respondents I mostly took view of the respondents who were already having cold drinks in their beverages. I have tried to put my best efforts to complete this task according to my skills that I achieved during my studies and in the training period. Depending on the information collected from the project, I was able to unearth information that will help to solve the problems of customers and able to enhance the customer experience. I was also able to suggest suitable recommendations that might assist the soft drink industry to enhance its performance in the future.

ADVERTISING
Advertising is a form of communication whose purpose is to inform potential customers about products and services and how to obtain and use them. Many advertisements are also designed to generate increased consumption of those products and services through the creation and reinforcement of brand image and brand loyalty... Every major medium is used to deliver these messages, including: television, radio, movies, magazines, newspapers, video games, the Internet and billboards. Advertising is often placed by an advertising agency on behalf of a company. Organizations which frequently spend large sums of money on advertising but do not strictly sell a product or service to the general public include: political parties, interest groups, religion-supporting organizations, and militaries looking for new recruits. Additionally, some non-profit organizations are not typical advertising clients and rely upon free channels, such as public service announcements.

TYPES OF ADVERTISING
Media advertising It includes:
1.

Billboards: billboard is a large outdoor advertising structure typically

found in high traffic areas such as alongside busy roads. Billboards present large advertisements to passing pedestrians and drivers. Typically showing large, witty slogans and distinctive visuals, billboards are highly visible in the top designated market areas

2.

Radio: Advertising on radio is the most easy resource .it gives jingle
facility but only video facility is restricted through it.

Television ads: The TV commercial is generally considered the most

effective mass-market advertising format, as is reflected by the high prices TV networks charge for commercial airtime during popular TV events. The majorities of television commercials feature a song or jingle that listeners soon relate to the product

Web banners: A web banner or banner ad is a form of advertising on the World Wide Web. This form of online advertising entails embedding an advertisement into a web page. It is intended to attract traffic to a website by linking to the website of the advertiser. E-mail advertising is another recent phenomenon. Unsolicited bulk E-mail advertising is known as "spam".
7

Bus stop benches: The flag may also show the logo of the dominant
bus operator or the logo of a local transit authority with responsibility for bus services in the area. Additional information may include an unambiguous name for the stop, and the direction/common destination of most calling routes.

Magazines, newspapers: Magazine advertising help to know more

about products.

Agency Profile Goldmine Advertising Limited

Mumbai / New Delhi /Ahmedabad / Pune / Baroda

9

Lucknow / Meerut / Kolkata / Chennai / Dehradun Jaipur

ORGANIZATIONAL SET UP DELHI OFFICE

10

DIRECTOR

OFFICE STAFF: clerk

BUSINESS DEVELOPM ENT MANAGER

SERVICING MANAGER

PRODUCTI ON MANAGER

ACCOUNT MANAGER

CREATIVE MANAGER

MEDIA MANAGER

BD. ASSISTANT MANAGER

JUNIOR ASSISTANT

SENIOR ASSISTANT MANAGER

ASSISTANT

Art Director

COPY CHIEF

Senior B.D. Account Executive

B.D. Account executive

Service Assistant Executive

Copy Writer

DTP OPERATOR

Executive Summary of goldmine

O ur organization is a dynamic, professionally managed advertising and mass media communication agency with over 22 years of experience in handling the advertising & media needs of companies
11

from both the public and private sector. We are fully accredited with INS (Indian Newspaper Society) and other media bodies like DAVP, Radio, Doordarshan, and Satellite TV Channels & Web sites. Goldmine Advertising Limited is a medium size, fast growing advertising agency with an annual turnover of more than Rs . 40 crores. Since our inception in 1986, we have always strived to seek our clients satisfaction and have grown consistently with them. We are proud to be associated with our clients and have retained them for years together. We at Goldmine are a team of over 150 people drawn from the best institutes and organizations who are always committed in delivering their best. It was: Established in 1985. INS Accreditation in 1986. Professionally managed advertising agency Full service agency infrastructure National clients National level agency operation

Goldmine strength
1)

Efficient Servicing

12

Our strength lies in meeting strict deadlines, while maintaining high standards of aesthetic creative value. Our young and energetic team ensures a quick turnaround time and at the same time maintains high level of efficiency. The professionalism of our team is reflected from the fact that we have never lost a client on account of dissatisfaction as a reason. 2) Comprehensive Range of Services

Goldmine Advertising Limited has a fully automated office with complete infrastructure comprising of a proactive servicing cell, an independent media-planning department, a creative department supported by fully digital studio, and production department

3) Media Planning

13

Our media strategy ensures maximum exposure optimizing the costs. We provide excellent media planning to reduce costs to our clients based upon extensive negotiations, saving as much as up to 30% in clients media and communication expenses.

4) Public Relations

The agency is having an in-house Public Relations Department, which regularly does PR activities for most of the clients. The team is arranging Press Conference and arranging interviews with the media at the shortest possible time.

5) Event Management

The agency on behalf of Goa Tourism, has successfully organized road shows for promoting in-bound tourism to Goa at places in Uttar Pradesh, Rajasthan, Punjab, Haryana and Delhi

6) Event Management (Fairs and Exhibitions)

14

The agency on behalf of Goa Tourism, has successfully organized exhibitions for promoting Uttar Pradesh, Rajasthan, Punjab, Haryana and Delhi in IITF exhibitions.

7) Research

Advertising cant run on gut feelings. It has to be grounded in reality and here is where research comes in. Clients trust us to come up with reliable intelligence on the market whether its getting a fix on consumer attitudes.

8) Production

15

This department interfaces closely with a range of suppliers in order to provide very good value for money. Whether its brochures, signboards, POP, or any other printed materials, the bottom line is always top quality.

9) Audio-Visual

Interacting with the best talents in the industry producers, sound engineers, voice-over specialists, models, actors we deliver high-impact TV and radio commercials and a variety of audio visual products, including documentaries and corporate films. Key Departments

Client Servicing Business Development Creative Art Studio Media Interactive Media Print & Production Film, Audio Visual & Radio PR & Event Management Finance/Accounts/Administration

Turn over (in crores)

16

Turn over(in Rs) 45 40.64 40

35

33.28

30 26.27 25 turn over (in Rs) 23.86 25.3 2003-04 204-05 2005-06 2006-07 2007-08

20

15

10

0 2003-04 204-05 2005-06 years 2006-07 2007-08

17

CLIENTS
Public Sector /Govt. Clients
Ministry of New & Renewable Energy Power Grid Corporation of India Limited Tehri Hydro Development Corporation Ltd. (THDC) National Hydroelectric Power Corporation (NHPC) Delhi Transco Ltd. (DTL) Employees State Insurance Corporation ( ESIC ) Ghaziabad Development Authority (GDA) New Okhla Industrial Development Authority (NOIDA) Delhi Development Authority (DDA) Municipal Corporation of Delhi (MCD) Indian Oil Corporation Ltd. (IOCL) Indian Railways Dept. of Income Tax Tribal Cooperative Marketing Development Federation of

India.
Delhi Commission for Women (DCW) Delhi Jal Board (DJB) IFFCO Maharashtra Tourism Development Corporation (MTDC) Goa Tourism Chhattisgarh Tourism Indian Tourism Development Corporation (ITDC)

Financial Sector clients

18

 Central Bank of India Bank of Maharashtra SIDBI UTI Mutual Fund BOB Mutual Fund Canara Bank Mutual Fund LIC Mutual Fund BOB Cards New India Assurance Co. Ltd. Reserve Bank of India Kotak Mahindra Bank YES Bank

Private Sector clients

19

 PEPSICO CIDCO RNA Builder Hiranandani Developers Pvt. Ltd. Aarey ISPAT Industries Ltd. Plus Business Machines Nalli Sarees Diebold Premier Transport EMCO Mumbai Education Trust Tata Motors Jindal pipes AHA academy REVLON

Specific and Outstanding Brand Building Campaigns

20

i) ii) iii) iv) v) vi) vii) viii) ix)

Indian Oil Corporation Ltd. (IOCL) Maharashtra Tourism Development Corporation (MTDC) City and Industrial Development Corporation Ltd. (CIDCO) Goa Tourism New Okhla Industrial Development Authority (NOIDA) LIC Mutual Fund Manu graph Industries Ltd. Nalli Sarees SWADHAN

Performance / Achievements
Agency got the Eighth rank for their advertisement of LIC Housing Finance in the Sansui Readers Choice Contest appeared in The Week magazine. Agency has released the memorable campaigns for LIC - HF, LIC - MF, Nalli Sarees, Ciba Specialty Araldite.

Appreciation Letters (credit appraisals)

1) 2) 3) 4) Indian Oil Corporation Ltd. Ghaziabad Development Authority BOB Asset Management Co. Ltd. Sant Gadge Baba Gram Swachhata Abhiyan.

Work process of Goldmine

21

Experience in Film and Radio Jingle

Agency has the vast expertise in conceptualizing and producing the films, Jingles & TV Spot. We have the production unit at Mumbai and AV Production as an associate in Delhi to produce films and Jingle.

Event Management (Fair and Exhibitions)

Agency has D. PLANNERS as their associates to handle exhibition and fairs. We can organize exhibition, fairs & events any where in India. We have handled the major assignments over the last four years.

Some Outstanding Ads of Goldmine:

Maharashtra Tourism Development Corporation Greater Noida Baksons homeopathy care center Life Insurance Corporation of India The Ashok Uttar Pradesh Tourism Nalli Sarees Central Council for Research in Yoga and Neuropathy Bob cards The Bombay store

22

Swot analysis
SWOT Analysis is a strategic planning tool used to evaluate the Strengths, Weaknesses, Opportunities, and Threats involved in a project or in a business venture. It involves specifying the objective of the business venture or project and identifying the internal and external factors that are favorable and unfavorable to achieving that objective.

SWOT ANALYSIS

23

Strength
5th largest advertising agency of India. Deal with all government organization for their advertisements. Give very low rates for advertisements. Do advertisements in all channels-newspapers, television, radio, banners. Have 9 offices with headquarters in Mumbai. Have participated in IITF event and have traced many new private clients like KOTAK MUTUAL FUND.

Weakness
Have very few private clients. Head Quarter is in Mumbai and for every decision Mumbai office is

called.
Still using old Rate for Advertisements

Opportunity

Could participate more in Events like IITF They can contact many private clients which are looking for small agencies.

Threat

New upcoming Agencies with latest technologies Being a public sector oriented company so is not able to generate enough funds.

JOB DECRIPTION
24

During my training period I was placed in the BUSINESS DEVELOPMENT DEPARTMENT. In my training period I used to go along with my supervisor to all the new clients in Delhi and used to know about their empanelment procedure. During the meeting my supervisor used to give a small presentation on our company accounts. If our client used to get impress with us then we even used to get the brief in which we used to get the details of the ad which he wants to make from us.

Some of the clients whom I pitched during my training are:

Jindal pipes Contact person: Mr. Rakesh Padu Address: plot no.30, Institutional,Sector -44, Gurgaon Phn: 0124-4624119 Air hostess academy Contact person: Mr. Sudhir mishra Address: AHA, A-5 Kailash Colony Phn: 011-46566835 Kotak Mutual Fund Contact person: Mr. Kunal Sharma Address: Ambadeep K.G. Marg Phn: 9999882804 Email:kunalshr@gmail.com NHAI Contact person: Mr.Meghdoot Sen Gupta Address: 5&6 Sector 10,Dwarka Phn: 9811921591 Cement Corporation of India Ltd. Contact Person: - Mr. Suresh Address: Core V, Scope Complex, 7 Lodi Road Ph: - 011-24360158

Kotak Mahindra Presentation

Minutes of the Meeting

25

Goldmine Advertising Sudeshna Roy Sinha Venkat Rao Kaushambi Kaushal Shunali Gupta

Kotak Mutual Fund Kunal Sharma

Client briefed us on the following: Kotak uses the frutiger font in the logo and the tagline. Body text should be in Ariel. So we should develop all the creative using the same font. For promoting Star Kid they are thinking of targeting corporate and societies. They are largely planning to promote Star Kid through BTL. By the second week of may they start their promotional activities for Star Kid They prefer starting with some promotional activities from societies and corporate sectors like FMCG, IT. Target parents through communities. Develop communication plan to target parents through society organizing events at weekend. Secondly they would want to conduct some promotional activities in corporate houses in working days.
Next Steps

ideas for BTL in societies, companies. media plan for their ATL activities. needs cost of making T-Shirts.

Provide client the innovative Client has asked for the According the client he In media plan client needs, rate for print media of different sizes, TVC, Radio.

Result: Our Company made 6 ads for KOTAK MAHINDRA

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PROJECT

CONSUMER PERCEPTION TOWARD COLA DRINKS

27

SOFT DRINKS MARKET IN INDIA

India is one of the top five markets in terms of growth of the soft drinks market. The per capita consumption of soft drinks in the country is estimated to be around 6 bottles per annum in the year 2003. It is very low compared to the corresponding figures in US (600+ bottles per annum). But being one of the fastest growing markets and by the sheer volumes, India is a promising market for soft drinks. The major players in soft drinks market in India are PepsiCo and Coca-Cola Co. like elsewhere in the world. Coca-Cola acquired a number of local brands like Limca, Gold Spot and Thums Up when it entered Indian market second time. Pepsi Cos soft drink portfolio consists of Miranda and 7Up along with Pepsi. The market share of each of the company is more or less the same, though there is a conflict in the estimates quoted by different sources.

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PepsiCo
PepsiCo, Inc.

Type Public (NYSE: PEP) Founded New York City, U.S. 1965 Headquarters Purchase, New York, U.S. Indra Nooyi - Chairwoman, President & CEO, John Compton Key people CEO PepsiCo Americas, Michael White - CEO PepsiCo International, Richard Goodman PhD - CFO Industry Food and beverage Pepsi Diet Pepsi Mountain Dew Sierra Mist Products Lipton Iced Tea Tropicana Products Propel Fitness Water Quaker Oats Lay's

Divisions

PepsiCo Americas (PepsiCo Americas Food, PepsiCo Americas Beverages), PepsiCo International

Website PepsiCo.com

PepsiCo
29

PepsiCo (Short for Pepsi Company) is a large conglomerate with interests in manufacturing, marketing and selling a wide variety of carbonated and noncarbonated beverages, as well as salty, sweet and grain-based snacks, and other foods. Besides the Pepsi-Cola brands (including Mountain Dew), the company owns the brands Quaker Oats, Gatorade, Frito-Lay, SoBe, Naked, and Tropicana. Indra Nooyi, chief executive of PepsiCo since 2006, has focused on maintaining the company's leadership in the snack food industry by being on the forefront of marketing healthier snacks and striving for a net-zero impact on the environment. This focus on healthier foods and lifestyles is part of Nooyi's "Performance with Purpose" philosophy.

PepsiCo brands
PepsiCo owns five different billion-dollar brands. These are Pepsi, Tropicana, Frito-Lay, Quaker, and Gatorade. The company owns many other brands as well.

Pepsi

Diet Pepsi

30

Pepsi Twist

Pepsi One

7 Up

Frito-Lay

Marketing

31

The first of many new designs of Pepsi cans which were released in 2007. In 1975, Pepsi introduced the Pepsi Challenge marketing campaign where PepsiCo set up a blind tasting between Pepsi-Cola and rival Coca-Cola. During these blind taste tests the majority of participants picked Pepsi as the better tasting of the two soft drinks. PepsiCo took great advantage of the campaign with television commercials reporting the test results to the public. In 1996, PepsiCo launched the highly successful Pepsi Stuff marketing strategy. By 2002, the strategy was cited by Promo Magazine as one of 16 "Ageless Wonders" that "helped redefine promotion marketing."
In 2007, PepsiCo redesigned their cans for the fourteenth time, and for the first time, included more than thirty different backgrounds on each can, introducing a new background every three weeks

Rise in popularity
During the Great Depression, Pepsi gained popularity following the introduction in 1929 of a 10-ounce bottle. Initially priced at 10 cents, sales were slow, but when the price was slashed to five cents, sales increased substantially. With a radio advertising campaign featuring the jingle "Pepsi
32

cola hits the spot / Twelve full ounces, that's a lot / Twice as much for a nickel, too / Pepsi-Cola is the drink for you," Pepsi encouraged pricewatching consumers to switch, obliquely referring to the Coca-Cola standard of six ounces a bottle for the price of five cents (a nickel), instead of the 12 ounces Pepsi sold at the same price. Coming at a time of economic crisis, the campaign succeeded in boosting Pepsi's status. In 1936 alone 500,000,000 bottles of Pepsi were consumed. From 1936 to 1938, Pepsi-Cola's profits
Amount per 100mL Energy Fat Sodium Sugar Protein Caffeine 196.5 kJ 0g 0.98 mg 11.04 g 0g 10 mg

Carbohydrates 11.74 g

doubled.

Ingredients
Pepsi-Cola contains basic ingredients found in most other similar drinks including carbonated water, high fructose corn syrup, sugar, colorings, phosphoric acid, caffeine, citric acid, and natural flavors. The caffeine-free Pepsi-Cola contains the same ingredients minus the caffeine. The original Pepsi-Cola recipe was available from documents filed with the court at the time that the Pepsi-Cola Company went bankrupt in 1929. The original formula contained neither cola nor caffeine.

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Coca-Cola
Type Manufacturer Country of origin Introduced Related products Cola The Coca-Cola Company United States 1886 Pepsi RC Cola Cola Turka Zam Zam Cola Mecca Cola Virgin Cola Parsi Cola Qibla Cola Evoca Cola

Coca cola

34

Coca-Cola is a type of carbonated soft drink sold in stores, restaurants and vending machines in more than 200 countries. It is produced by The CocaCola Company and is often referred to simply as Coke. Originally intended as a patent medicine when it was invented in the late 19th century by John Pemberton, Coca-Cola was bought out by businessman Asa Griggs Candler, whose marketing tactics led Coke to its dominance of the world soft drink market throughout the 20th century. The company actually produces concentrate, which is then sold to various licensed Coca-Cola bottlers throughout the world. The bottlers, who hold territorially exclusive contracts with the company, produce finished product in cans and bottles from the concentrate in combination with filtered water and sweeteners. The Coca-Cola Company has, on occasion, introduced other cola drinks under the Coke brand name. The most common of these is Diet Coke, which has become a major diet cola. In response to consumer insistence on a more natural product, the company is in the process Sodium Benzoate, the controversial additive linked to DNA damage and hyperactivity in children, out of Diet Coke. The company has stated that it plans to remove the controversial additive from its other products - including Sprite, Dr. Pepper, Sprite, and Oasis - as soon as a satisfactory alternative is discovered.

Brand portfolio
Name Launched Notes Picture

35

Coca-Cola

1886

India,Australia,U.S,U.K, China,Brazil,Samoa,Russia, Germany,Mexico,and many other countries.

Coca-Cola Cherry

1985

India,U.S.,U.K.,Russia, Mexico,China,Germany, France,Bosnia,Austria, Australia

Coca-Cola with Lemon

2001

American Samoa, Austria, Australia, Belgium, Brazil, China, Denmark, Federation of Bosnia and Herzegovina, Finland, France, Germany Austria, Australia, China, Germany, Hong Kong, South Africa, New Zealand (600ml and 350 ml only) and Russia It was reintroduced in June of 2007 by popular demand Was only available in Japan, Canada, and the United States.

Coca-Cola Vanilla

2002

2007

Coca-Cola C2

2004

Coca-Cola with Lime

2005

Belgium, Singapore.

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Coca-Cola Raspberry

June 2005

Was only available in New Zealand.

Coca-Cola M5

2005

Federation of Bosnia and Herzegovina, Germany, Italy, Spain, Mexico and Brazil Was replaced by Vanilla Coke in June of 2007

Coca-Cola Black Cherry Vanilla

2006

Coca-Cola Blk

2006

United States, France, Canada, Czech Republic Bulgaria and Lithuania

Coca-Cola Citra

2006

Federation of Bosnia and Herzegovina, New Zealand and Japan.

ADVERTISING

37

Coca-Cola's advertising has had a significant impact on American culture, and is frequently credited with the "invention" of the modern image of Santa Claus as an old man in red-and-white garments; however, while the company did in fact start promoting this image in the Coca-Cola has a policy of avoiding using children younger than the age of 12 in any of its advertising. This decision was made as a result of a lawsuit from the beginning of the 20th century that alleged that Coke's caffeine content was dangerous to children. However, in recent times, this has not stopped the company from targeting young consumers. During the 1980s, Pepsi-Cola ran a series of television advertisements showing people participating in taste tests essentially demonstrating that: "Fifty percent of the participants who said they preferred Coke actually chose the Pepsi". Statisticians were quick to point out the problematic nature of a 50/50 result; that most likely all this really showed was that in blind tests, most people simply cannot tell the difference between Pepsi and Coke. Coca-Cola ran ads to combat Pepsi's ads in an incident sometimes referred to as the cola wars; one of Coke's ads compared the so-called Pepsi challenge to two chimpanzees deciding which tennis ball was furrier. Thereafter, Coca-Cola regained its leadership in the market. In 2006, Coca-Cola introduced My Coke Rewards, a customer loyalty campaign where consumers earn virtual "points" by entering codes from special marked packages of Coca-Cola products into a website. These points can in turn be redeemed for various prizes or sweepstakes entries.

RC COLA

38

Type Manufacturer

Cola Cott Beverages/ Dr Pepper Snapple Group Columbus, Georgia USA 1905 Coca-Cola, Pepsi

Country of origin Introduced Related products

RC cola
RC Cola ( Royal Crown Cola) is a cola soft drink developed in 1905 by Columbus, Georgia pharmacist Claude A. Hatcher.
39

History
The first product in the Royal Crown line was "Chero-Cola" in 1905, followed by Royal Crown Ginger Ale, Royal Crown Strawberry and Royal Crown Root Beer. The company was renamed Chero-Cola, and in 1925 called Nehi Corporation after its colored and flavored drinks. In 1934, Chero-Cola was reformulated and re-released as Royal Crown Cola. In the 1950s, the combination of Royal Crown Cola and Moonpies became popular as the "working man's lunch" in the American South. In October 2000, Royal Crown was acquired by Cadbury Schweppes plc through its acquisition of Snapple. Royal Crown operations were folded into Dr Pepper/Seven Up, Inc., a former subsidiary of Cadbury Schweppes. In 2001, all international RC-branded business was sold to Cott Beverages of Mississauga, Ontario and is operated as Royal Crown Cola International. Operations in the United States, Canada, Mexico, Puerto Rico, and other U.S. territories are now handled by Dr Pepper Snapple Group. Royal Crown Cola was featured in an episode of the 1970's sit-com All In The Family. Archie Bunker and his son-in-law Mike have an argument regarding Mike's preference for RC Cola, climaxing in a blind-fold taste-test where Mike successfully names Coke, Pepsi and RC Cola.

Brand portfolio

Royal Crown Cola (RC Cola)

40

Diet RC

Diet Rite

Royal Crown Draft Cola

Advertising campaigns

In the 1930s, Alex Osborn, with BBDO, made them an ad campaign, in which was included the following slogan: "The season's best."
41

In the 1960s, Royal Crown Cola did an ad campaign featuring two birds, made by Jim Henson Nancy Sinatra was featured in two Royal Crown Cola commercials in her one hour special called "Movin' with Nancy" featuring various singers in November 1967. She sang "it's a mad, mad, mad Cola... RC the one with the mad, mad taste! Royal Crown was the official sponsor of New York Mets during the 1960s, 70s and 80s. In the mid 1970s, Royal Crown ran an advertising campaign called "Me & My RC", the most famous of which featured actress Sharon Stone delivering pizza on a skateboard. Others featured people in a variety of scenic outdoor locations. The jingle, sung by Louise Mandrell, went "Me and my RC! Me and my RC!..What's good enough for anyone else ain't good enough for me." RC was introduced to Israel in 1995 with the slogan "RC: Just like in America!" Bell Buckle, TN hosts the annual RC Cola and Moon Pie Festival

42

RESEARCH MEHODOLOGY

RESEARCH METHODOLOGY
Introduction

43

While making a study we very often look for what type of research methodology is to be used in this type of study. For implementation of a proper research methodology we have to first understand the meaning of research. Research is a process with the help of which new concepts arises. It is the increase in the actual knowledge stock. It can be called as movement from known to unknown and vice-versa. It is also a continuous process. It is a scientific as well as systematic process, which includes defining and redefining the problem to develop hypothesis, to collect and define the information/data, to analysis the information and bring out the mother of discovery. An individual makes the effort in research and society or public takes its benefits because the results are usually generalized.
Data collection

The word data means any raw information, which is either quantitative or qualitative in nature, which is of practical or theoretical use. The task of data collection begins after a research problem has been defined and research design chalked out. While deciding about the method of data collection, the researcher should keep in mind that there are two types of data primary and secondary. 1. Primary data: -This is those, which are collected afresh and for the first Time, and thus happen to be original in character. There are many ways of data collection of primary data like questionnaire, observation method, interview method, through schedules, pantry Reports, distributors audit, consumer panel etc.

Questionnaire method
For the collection of primary data I used questionnaire method in this project. A formal list of questions, which are to be asked, is prepared in a questionnaire and questions are asked on those bases. There are some merits of this method. These as under: Merits: 1. Low cost even when universe is large.

44

2. It is free from bias of interviewer. 3. Respondents have proper time to answer. 4. Respondents who are not easily approachable can also be reachable. 5. Large samples can be made.

2. Secondary data: -These are those data, which are not collected afresh
and are used earlier also and thus they cannot be considered as original in character. There are many ways of data collection of secondary data like publications of the state and central govt., website, journals, companies reports, reports prepared by researchers, reports of various associations connected with business, Industries, banks etc. For this project secondary data was taken from companys reports and websites.
Statistical

tool: Tools used mostly in the survey are

Histogram Pie Chart Bar graph Chi Square Test

3. DESCRIPTIVE RESEARCH: Descriptive research involves collecting numerical data to test hypotheses or answer questions concerning current status which is then conducted either through self-reports collected through questionnaires or interviews (person or phone), or through observations.

RESEARCH DESIGN

45

Type of research: Descriptive research Sources of data: Primary Data & Secondary Data Primary Data - Questionnaire Secondary Data - Reports and Internet Data collection method: Survey Method Survey instrument: Questionnaire (Closed and Open Ended) Method of communication: Personal interview Sampling technique: Convenient sampling Sample size: 100 (age group range from 18-50 years) Sample unit: Shoppers at various Malls (mostly consist of housewives respondents) Area of survey: Delhi and NCR

OBJECTIVES

46

1. To measure the satisfaction level of customers towards the brand they are using. 2. To find out the reason that why people buy a particular brand. 3. To evaluate customers loyalty towards their brand. 4. To find out the brand ruling the cola charts.

SCOPE
This research would help the companies to get the information about their current competitive position in soft drinks; with help pf this project the brand would be able to know the perception of consumers. This would also help the company to launch its new variant according to the consumer taste.

Hypothesis
Keeping in view the objectives of this research, one hypothesis is prepared which is as follow:

47

Hypothesis: Better the schemes in retail stores, higher are the purchase level of soft drinks by customers.

48

DATA ANALYSIS

1. Do you consume Beverages? Yes No If yes, then how often do you drink beverages?
49

Rarely Once a month

Once a week Often

How often do you consume beverages?

Rarely

Once a month Once a week

How often do you consume beverages

Rarely Once a month Once a week Often Pies show counts

2.00% 2.00% 14.00%

82.00%

Often

Summary: The respondents covered were 100 in count those consuming beverages. Most of the respondents said that they consume beverages often (i.e. they drink every day) and so have the highest percentage with 82%. Only 14% said that they take once a week. Respondents who said once a month and rarely were both 2%. 2. Do you keep Soft drinks as your priority in beverages? Yes No

50

N o
4%

Do you take soft drinks in beverages?

Yes No

Pies show counts

Pie 96%

Ye s

Summary: Out of 100 respondents, 96% respondents said that they give soft drinks a major priority in their beverages. Only 4% respondents said that they do not give soft drinks a priority in their beverages, mostly these respondents were of age more than 55 and they do not felt a need of soft drinks in their beverages.

3. Where do you drink soft drinks the most? Home Parties Formal occasions Outdoors
51

Where do you consume most

Home 22% 55% 16% Parties 7%

Home Formal occasions Parties Outdoors

Outdoors

Formal occasions

Pies show counts

Summary: 55% respondents like to consume their soft drinks outdoor i.e. in Restaurants, Pubs etc. 22% respondents said that they like to consume soft drinks at home. 16% gave the opinion of drinking soft drinks in Parties. Final, 7% said that they like to drink soft drinks in Formal occasions only like in company parties, weddings etc.

4. In which Quarter do you consume the most? Jan-Mar April-June July-Sept Oct-Dec

52

In which month do you consume most?

Jan-Mar Oct-Dec
35%
Jan-mar April-June July-Sept Oct-Dec

21%
Pies show percents

24% 20%

April-June

July-Sept

Summary: The usage of the soft drink is highest recorded of 35% during Oct-Dec, as during festive season people consume maximum no. of bottles. Whereas, 24% respondents said that they consume soft drinks mostly in summer days i.e. during April-June period. Whereas 21% respondents consume in Jan-Mar. While rest 20% respondents consume in July-Sept.

5. According to you which is the best brand in soft drinks? Coca cola Pepsi RC cola

53

Which is your favourite Brand?

RC cola
which brand do you consume
2.00%
Coca Cola Pepsi RC cola Pies show counts

43.00% 55.00%

Coca Cola

Pepsi

Summary: Pepsi has been chosen as the favourite drink among the cold drinks with 55% respondents. 43% respondents have chosen Coca cola. While 2% respondents have chosen RC cola.

5(a). If Pepsi is your choice which co. product will you prefer to drink?
54

Pepsi Pepsi twist Pepsi one

7up Mountain dew Mirinda

Pie chart description

Pepsi Pepsi twist Pepsi one

2.00%

RC cola

Pepsi Pepsi twist

2.00% 13.00%

7 up Mountain dew Mirinda Coca cola RC cola

Pepsi one
7.00%

2.00%
Pies show percents

Coca cola

43.00% 20.00% 11.00%

7 up

Mountain dew

Mirinda

Summary:
Out of 100% respondents, 43% have chosen Coca cola in their beverages. Out of 55% respondents, 20% have chosen Mountain Dew as their favorite drink. Pepsi has come up second with 13% respondents choice and Mirinda as third highest with 11% respondents. 7up has come up at fourth position with 7% respondents. Pepsi twist and Pepsi one has also come up with 2% respondents each, the respondents said that this drink is very famous in UK countries and they liked it a lot.

5(b). If Coca cola is your choice which co. product will you prefer to drink?

55

Coke Sprite Fanta

Diet coke Coca cola zero

RC cola
2.00%

Coke
4.00%

Spirite
10.00%

Pie chart description

Coke Spirite Fanta Diet coke Coca cola Zero Pepsi RC cola

17.00% 55.00%

Fanta

Pepsi

11.00%

Pies show percents

Diet coke Coca cola Zero

1.00%

Summary:
Out of 100% respondents, 55% have chosen Pepsi in their beverages. Out of 43% respondents, 17% have chosen Fanta as their favorite drink in coca cola co. products. Diet coke has come up second with 11% respondents choice And Sprite as third highest with 10% respondents. Coke (plain) has come up at fourth position with 4% respondents. Coca cola zero has also come up with 1% respondent, the respondent said that this drink is very famous in UK countries and he drunk it there.

6. Choose one reason for considering this brand only?

56

Advertisements Friends/Relatives

Brand itself Brand Ambassador

Choose one reason for considering this brand only.

why do you consider this brand only

Advertisements Friends/relatives

Advertisements

Brand itself Brand Ambassador

15.00%

Friends/relatives
5.00%

Pies show counts

Brand Ambassador

50.00% 30.00%

Brand itself

Summary: Most of the respondents (50%) said that Brand Ambassador is a reason for them to go for a particular brand. Another reason was the trust of the brand. 15% respondents said that advertisements affect their choice. Only 5% people said that friends/relatives are the reason for them to buy a particular brand. 7. How many bottles do you buy in one month?

57

0-2 2-4

4-9 10 and above

0-2

10 and above
5% 11%

How many bottles do you buy in one 0-2 month 2-4

4-9 10 and above

2-4

28% 56%
Pies show counts

4-9

Summary: 56% respondents said that they buy 4-9 bottles in a month due to the offers given to them in retail marts. While 28% respondents buy 2-4 bottles in a month. And 11% buy 0-2 bottles in one month Rest 5% buy more than 10 bottles in a month

8. Which of the following factor affect your buying decision?

58

Discounts Gifts

Schemes Consumption

Consumption
what affect ur buying decision

Discounts
7% 25%

Discounts Gifts Schemes Consumption Pies show percents

3%

Gifts

65%

Schemes

Summary: 65% respondents said that they buy soft drinks in bulk due to the schemes offered to them in retail marts. 25% respondents buy due to the Discounts given to them. 7% respondents said that they buy due to their consumption level. And the rest 3% buy as they have to present them as gifts. 9. Has pesticide association affected your buying behaviour?

59

Yes

No

Has pesticide association affected your preference level

yes 3% yes no Pies show percents

97%

no

Summary: 97% respondents said that pesticide association as not at all affected their drinking capacity, they fully trust their brand. Only 3% said that they still believe soft drinks have pesticide in it.

10. On the scale, rate the quality of the brand you drink.
60

Good _ _ _ Bad Rate the quality of the brand you drink

60

Coun t

40

20

0 1.00 2.00 3.00 4.00 5.00

rate the quality of your brand

Summary: QUALITY OF THE BRAND Scale Valid Good Nice Average Ok Bad Total Grade 1 2 3 4 5 Percent 16 10 70 3 1 100 Valid Percent 16.0 10.0 70.0 3.0 1.0 100.0 Cumulative Frequency 16.0 26.0 96.0 99.0 100.0

11. On a scale of 1-5 how satisfied are you with your Brand? (Circle the option)
61

Highly Dissatisfied 1

Highly Satisfied 5

SATISFACTION LEVEL OF THE BRAND

Bars show counts

Bar
60

Count

40

20

5
0 1

6
2

7
3

72
4

10
5

how much are you satisfied your brand

Summary: SATISFIED WITH BRAND Grade Percent Vali d HIGHLY DISSATISFIED DISSATISFIED NEITHER SATISFIED NOR UNSATISFIED SATISFIED HIGHLY SATISFIED 1 2 3 4 5 5.0 6.0 7.0 72.0 10.0 Valid Percent 5.0 6.0 7.0 72.0 10.0 Cumulative Percent 5.0 11.0 18.0 90.0 100.0

12. Would you like to recommend the same brands to others?

62

Yes

No

Would you recommend the same brand to others

no 9.0 yes no

91.0

Pies show counts

yes

Summary: Out of 100 respondents, 91% respondents said yes they would recommend this brand only. Only 9% respondents said that they would like to change so would recommend this only.

13. GENDER STUDY

63

Male

Female

Gender
Male Female Pies show counts

Male
40% 60.0

Female

Summary: Out of 100 respondents, 60% respondents were female as in shops normally buying decisions are taken by females only. And 40% respondents were male.

14. OCCUPATION OF THE RESPONDENTS

64

Govt. Service Private Service Self Employed Professional

Own Business House wife Others

OCCUPATION
Govt. service Private service Self employed professional Own business House wife Others Pies show counts

Others

Govt. service
10.0 14.0 19.0

Private service

38.0

10.0 9.0

House wife

Self employed professional Own business

Summary: Out of 100 respondents, 38% respondents targeted were House wife. 19% were Private Service people. 14% were others(students of schools and colleges) 10% were Self employed Professionals and Govt. service people 9% were having their own Business.

65

15. Monthly Income of the Respondents. 15000-25000 35000-50000 25000-35000 More than 50000

More than 50000

10.0

15000-25000
Monthly income
25.0 15000-25000 25000-35000 35000-50000 More than 50000

35000-50000
20.0

Pies show counts 45.0

25000-35000

Summary: Out of 100 respondents, 45% respondents are average income people i.e.25000-35000. 25% respondents are middle class income people. 20% respondents are high earning people. 10% respondents are very high earning people.

66

Hypothesis Testing
Hypothesis: Better the schemes in retail stores, higher are the purchase level of soft drinks by customers. To test this hypothesis we take it as null hypothesis, I have applied ChiSquare test with help of SPSS software. I have taken Quantity of bottles purchased during one month as the test variable and Factor affecting buying decision as the variable. I have chosen Chi-Square test because the sample size is 100 and it is one of the simplest and most widely used nonparametric tests in the statistical world. The quantity Chi-Square describes the magnitude of the discrepancy between theory and observation. If the Chi-Square is Zero it means that the observed and expected frequencies completely coincide. The greater the value of Chi-Square, the greater would be discrepancy between observed and expected frequencies.

Cross tabulation (at 5% confidence level)

What affect your buying decision * how many bottles do you buy in one month
Count How many bottles do you buy in one month? 0-2 What affect your buying Decision Total Discounts Gifts Schemes Consumption 11 2 1 8 15 3 28 2-4 10 4-9 12 2 39 3 56 3 1 5 10 and above 1 Total 25 3 65 7 100

67

Chi-Square Tests
Value 7.851 8.575 .552 100 N a. 11 cells (68.8%) have expected count less than 5. The aa.o Minimum expected count is .15. f Vali d Result: Cas Since calculated value (7.851) has been observed less than critical es (16.919) so it proves null hypothesis cannot b rejected. value df
a

Pearson Chi-Square Likelihood Ratio Linear-by-Linear Association

9 9 1

Assume. Sig. (2-sided) .549 .477 .458

Graph observed in Chi square test

50

40

30

How many bottles do you buy?

0-2

Cou nt

20

10

2-4 4-9

0 Discounts Gifts Schemes Consumption

10 and above

What affect your buying decision?

68

FINDINGS AND DATA ANALYSIS

69

FINDINGS
Pepsi got the highest respond with 55%, while Coca cola go 45% respond. Acc. to result PepsiCo has merged as the no. one company in the cola wars beating with 10% to Coca cola. The consumption of the soft drinks is highest recorded 52% in outdoor parties. The purchase of the soft drinks has been observed maximum during Oct-Dec due to the festival season. Mirinda has been observed as the most favourite brand in Pepsi co. products while Fanta in Coca Cola co. products. The Brand Ambassador of the soft drinks only influences 50% respondents; this was also a remarkable part. People buy more bottles when they are given discounts or offered schemes by retail outlets. Pesticide association with soft drinks does not affect the customers choice anymore. Mostly housewives of middle society were seen buying bulk of soft drinks bottles, as they always buy products in schemes from various retail stores.

70

LIMITATIONS
No study or project is without certain limitations the same goes with our project. The limitations faced by me were as follows: The sample size selected was small due to time constraints. As the sample size was small the results of the survey may not represent the actual picture of the whole population. Respondents were not serious. Sometime the right person was not at place, so it was difficult to get my information. The respondents biasness too showed some hindrance in doing the survey. Money factor was also one of the limitations. Data collection and questionnaire took most of the time of the research

71

CONCLUSION

72

CONCLUSION
PEPSI has emerged as the top brand used in India leaving behind Coca cola and RC Cola in cola wars. Brand Ambassador is the main factor, which affect the choice of the customers, therefore while choosing the ambassador company has to be very cautious. After seeing the buying pattern, it is advisable to give as much schemes as possible especially during Festive season as middle class families buy in bulk during those days. Housewives of middle income are proven as the most essential target for selling of the soft drinks.

73

ANNEXURE

74

BIBLIOGRAPHY
Books Phillip Kotler, Marketing Management Websites
www.goldmineltd.com www.cocacola.com www.pepsico.com www.rccola.com www.googlepictures.com

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ADS MADE BY GOLDMINE

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QUESTIONNAIRE
1. Do you consume Beverages? Yes If, yes then how often do you drink beverages? Rarely Once a month No Once a week Often No

2. Do you keep Soft Drinks as your priority in beverages? Yes 3. Where do you drink soft drinks the most? Home Formal Occasions 4. In which Quarter do you consume the most? Jan- Mar April-June

Parties Outdoors (Rest. , etc)

July-Sept Oct-Dec

5. According to you, which is the best Brand in soft drinks? Coca cola RC cola Pepsi 5(a). If Pepsi is your choice which co. product will you prefer to drink? Diet Pepsi 7 up Pepsi Twist Mountain dew Pepsi one Mirinda 5(b). If Coca Cola is your choice which co. product will you prefer to drink? Coke Diet coke Sprite Coca-Cola Zero Fanta 6. Choose one reason for considering this brand only? Advertisements Friends/Relatives 7. How many bottles of 1 liter per month do you buy? 0-2 2-4 77

Brand Itself Brand Ambassador

4-9 10 and above 8. Which of the following factor affect your buying decision? Discounts Schemes (2+1) Gifts Consumption 9. Has pesticide association affected your buying behavior? Yes No 10. On the scale, rate the quality of the brand you drink. Good _ _ _ Bad 11. On a scale of 1 to 5 how much satisfied are you with your brand? Highly Dissatisfied Highly Satisfied 1 2 3 4 5 12. Would you like to recommend the same brand to others? Yes No

PERSONAL DETAILS
NameAgeGender-

Male

Female Own Business House Wife Others 25000-35000 More than 50000

Occupation Govt. Service Private Service Self Employed Professional Monthly Income (Rs) 15000-25000 35000-50000

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THANK YOU FOR RESPONDING TO THIS SURVEY

SPSS VARIABLE AND DATA SHEETS

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