A Project Report On

“ANALYZING AND ENHANCING

MARKET OPPORTUNITIES OF
COCA COLA IN GHAZIABAD.”

2008-10

Under the Supervision of: S u b mi t t e d By :

P ro f . R i t u Wa d h w a S h e e t al K a c h ro o

( P G D M - M a r k e t i n g 2 n d Ye a r )
 JAIPURIA INSTITUTE OF
MANAGEMENT NOIDA

ACKNOW LEDGEMENT

The Research report will be incomplete without acknowledge

giving my sincere, gratitude to all persons who have helped me
in the preparation of this report. First of all, I thank “GOD
ALIMIGHTY” for the blessings showered on me throughout
this project work, which has helped me in the successful
completion of the training. I express our thanks to Hindustan
Coca Cola Beverages Pvt. Ltd. (HCCBPL) for granting me the
permission to work with the esteem organization.

I a m a l s o t h a n k f u l t o M r. Vi n e e s h P r i y a d a r s h a n ( G S M ) a n d
t h e n t o M r. A l o k A g g a r w a l ( A S M ) a n d t h e n t o S u s h a n t T i w a r i
(SE) of Coca cola Hindustan Beverage Ltd. They guided and
h e l p e d m e i n a l l p o s s i b l e w a ys t h e y c o u l d , a t e v e r y s t a g e o f
the report.

I would also like to thank all the Executives, distributors &

staff of Hindustan Coca Cola Beverages Pvt. Ltd. who
provided us all the relevant information and their kind
support, on the basis of which this report has been prepared.

I thank my college Jaipuria Institute of Management for having

given me this opportunity to put to practice, the theoretical
knowledge that I imparted from the program. I thank the
internship m e n t o r, Ritu Wa d h w a for having guided and
supported me through the course of the internship. I take this
opportunity to thank my parents and friends who have been
with me and offered emotional strength and moral support.

Last but not the least, I am thankful to all Retailers who gave
us their precious time and support to fulfill this task, without
their co-operation the study would not have seen the light of
the day& complete.

Sheetal Kachroo
PGDM –Marketing
2 n d Ye a r.
 PREFACE

In summer the consumption of soft drinks is more due to hot

weather in this time chilled weather is needed everywhere and
ever ybod y irrespective of age difference. In the market
p e o p l e s n o t o n l y n e e d w a t e r, b u t t h e y w a n t s o m e t a s t e t o o .
Here comes the need of soft drinks: it has become an essential
part of market as people like it in addition to the bottles, now
d a ys p a c k a g e s o f s o f t d r i n k s i . e . Ti n c a n s , P e t p a c k s o f i . e .
Litters canisters and dispensers are introduced to enhance the
impact in sales.

The PGDM curriculum is designed in such a way that student

can grasp maximum knowledge and can get practical exposure
to the corporate world in minimum possible time. Business
schools of today realize the importance of practical knowledge
over the theoretical base.

The research report is necessary for the partial fulfillment of

PGDM curriculum and it provides an opportunity to the student
in understanding the industry with special emphasis on the
development of skills in analyzing and interpreting practical
problems through the application of management theories and
techniques. It is a new platform of learning through practical
experience, which incorporates survey and comparative
analysis. It gives the learner an opportunity to relate the
theory with the practice, to test the validity and applicability
of his classroom learning against real life business situations.
 EXECUTIVE SUMMARY

Coca-Cola, the product that has given the world its best-known
taste was born in Atlanta, Georgia, on May 8, 1886. Coca-Cola
C o m p a n y i s t h e w o r l d ’s l e a d i n g m a n u f a c t u r e r, m a r k e t e r a n d
distributor of non-alcoholic beverage concentrates and syrups,
used to produce nearly 400 beverage brands. It sells beverage
concentrates and syrups to bottling and canning operators,
distributors, fountain retailers and fountain wholesalers. Coca-
Cola was first introduced by John Syth Pemberton, a
Pharmacist, in the year 1886 in Atlanta, Georgia when he
concocted caramel-colored syrup in a three-legged brass kettle
in his backyard. He first “distributed” the product by carr ying
i t i n a j u g d o w n t h e s t r e e t t o J a c o b ’s P h a r m a c y a n d c u s t o m e r s
bought the drink for five cents at the soda fountain.
C a r b o n a t e d w a t e r w a s t e a m e d w i t h t h e n e w s yr u p , w h e t h e r b y
accident or otherwise, producing a drink that was proclaimed
“delicious and refreshing”, a theme that continues to echo
t o d a y w h e r e v e r C o c a - C o l a i s e n j o ye d .

Coca-Cola originated as a soda fountain beverage in 1886

selling for five cents a glass. Early growth was impressive, but
i t w a s o n l y w h e n a s t r o n g b o t t l i n g s ys t e m d e v e l o p e d t h a t
C o c a - C o l a b e c a m e t h e w o r l d - f a m o u s b r a n d i t i s t o d a y. C o c a -
Cola was the leading soft drink brand in India until 1977,
when it left rather than reveals its formula to the Government
and reduces its equity stake as required under the Foreign
Regulation Act (FERA) which governed the operations of
foreign companies in India. In the new liberalized and
deregulated environment in 1993, Coca-Cola made its re-entry
 i n t o I n d i a t h r o u g h i t s 1 0 0 % o w n e d s u b s i d i a r y, H C C B P L , t h e
I n d i a n b o t t l i n g a r m o f t h e C o c a - C o l a C o m p a n y.

The main objective of this report attempts to reveal the secrets

and tools which would be helpful in horizontal market
expansion for the whole coca cola product range by first
analyzing and then enhancing the market of Coca Cola. The
stud y was divided into two parts. First was to analyze the
existing market, try to find their problems and reasons for
d o i n g b u s i n e s s w i t h c o m p a n y. I n s e c o n d p a r t u n t o u c h e d m a r k e t
was explored and their reasons for not doing business with
company where studied. Thus report will provide an
opportunity to know existing and new retailers ps ychographic
needs, it may provide an opportunity to the Coca-Cola to frame
a good future plan to satisfy maximum needs, taste preferences
of the retailers and established its guiding role in the market
of Ghaziabad & in marketing plan for different areas.

TA B L E O F C O N T E N T S
S.NO. PA RT I C U L A R S P. N O .
1. INTRODUCTION 1

1.1 A Brief Insight - The FMCG Industry in India 3

1.2 A Brief Insight – Beverage Industry in India 5

2. T H E C O C A C O L A C O M PA N Y 9

2.1 History 9

2.2 Manifesto for Growth 11

2 . 2 . 1 Va l u e s 11
2.2.2 Mission 12
2 . 2 . 3 Vi s i o n f o r S u s t a i n a b l e G r o w t h 12

2.3 Soft Drink Market in India 13

3. H I N D U S TA N C O C A C O L A B E V E R A G E S P V T. LT D . 16
(HCCBPL)

3.1 About the Company 16

3.2 Manifesto for Growth 19

3 . 2 . 1 Va l u e s 19
3 . 2 . 2 Vi s i o n f o r S u i t a b l e G r o w t h 20
3.2.3 Mission 20
3.2.4 Quality Policy 21

3 . 3 S W O T A n a l ys i s o f H C C B P L 21
3.3.1 Strengths 21
3 . 3 . 2 We a k n e s s e s 22
3.3.3 Opportunities 23
3.3.4 Threats 24

4. PRODUCTS 26

5. ABOUT PROJECT 34
 5.1 Data Collection 35
5 . 2 Typ e s o f E x p a n s i o n 35
5 . 2 . 1 Ve r t i c a l E x p a n s i o n 35
5.2.2 Horizontal Expansion 36

5.3 Horizontal Expansion

36
5.3.1 Reasons for Horizontal Expansion.
37
5.3.2 Benefits of Horizontal Expansion
37
5.3.3 Advantages of Horizontal Expansion over
37
Ve r t i c a l E x p a n s i o n

5 . 4 S e v e n C r i t e r i a ’s 40
5.5 Segmentation Model 42
5.6 Procedure for Opening a New Outlet 43
5.6.1 Analysing the outlet 44
5 . 7 S t e p s f o r Ta r g e t i n g t h e N e w R e t a i l e r s 45
5.8 Paraphernalia Used 48
5.9 Intangible Element of Project 49
5.9.1 R.E.D Survey 49

6. INTRODUCTION TO STUDY 50

6.1 Purpose of the Study 50

6.2 Objective of the Study 50

6 . 3 Wo r k A s s i g n e d 50

6 . 4 O b j e c t i v e o f t h e Wo r k 51
6.4.1 Primary Objective 51
6.4.2 Secondary Objective 51

7. RESEARCH METHODOLOGY 52

8. F I N D I N G S & A N A LY S I S 55
 8.1 Questionnaire for Existing Retailers 55

8.2 Questionnaire for New Retailers 67

8.3 Other General Findings 74

9. L I M I TAT I O N S , S U G G E S T I O N S & C O N C L U S I O N 78

9.1 Limitations 78

9.2 Suggestions 79
9.3 Conclusion 82

10. SIGNIFICANCE OF STUDY 83

1 0 . 1 To t h e R e s e a r c h e r 83

1 0 . 2 To t h e C o m p a n y 83

1 0 . 3 To O t h e r s 83

11. ACHIEVEMENTS IN TERMS OF SALES 84

11 . 1 M o d e l s & Wo r k i n g F o r m a t s 84

11 . 2 T h e 3 A’s S t r a t e g y 85

11 . 3 Wo r k i n g M e t h o d o l o g y 86
11 . 3 . 1 R o u t e v i s i t 86

11 . 4 F o c u s o n Av a i l a b i l i t y o f P r o d u c t s i n O u t l e t s 86
11 . 5 F o c u s o n Vi s i b i l i t y o f C o k e P r o d u c t s i n O u t l e t s 87
11 . 6 Achievements 87
11 . 7 Some Important Points 92

BIBLIOGRAPHY 95

APPENDIX

MISCELLANEOUS
 LIST OF FIGURES

Fig. No. Particulars Page

No.
Chapter 1
1 Market of Drinks in India 2
2 Soda Companies Market Share & Change 3
i n Vo l u m e , Wo r l d Wi d e
3 Beverage Industry in India 6
4 Market Share of Soft Drinks in India 7
Chapter 2
5 Vi s i o n f o r S u i t a b l e G r o w t h 13
Chapter 3
6 Location of COBO, FOBO & Contract 18
Packaging in India
7 Chain Followed from Manufacturer to 25
Retailer
Chapter 5
8 Opportunity to Open New Outlets 35
9 Impact of New Retailers on Business 37
10 Impact of New Retailers on Distributors 38
Chapter 8
11 Location of Existing Outlets 55
12 Ty p e o f E x i s t i n g O u t l e t s 56
13 Depth of Problems in Different Areas 66
14 Location of New Outlets 68
15 Ty p e o f N e w O u t l e t s 68
16 Exclusive Outlets 76
7

17 D i f f e r e n t Typ e o f O u t l e t s S e l l i n g 73
Different Brands
 L I S T O F TA B L E S

TA B L E N o . Particulars Page No.

Chapter 8 C R O S S TA B U L AT I O N

1. Location & Sale 58

2. Typ e o f O u t l e t & R e a s o n s f o r D o i n g 60
Business with Coke
3. Location & Problems Faced While 63
Doing Business
4. Typ e o f O u t l e t & R e a s o n s f o r N o t 69
Doing Business
5. Location & Life span of business 72
CHAPTER - 1
 INTRODUCTION

Coca-Cola, the product that has given the world its best-known
taste was born in Atlanta, Georgia, on May 8, 1886. Coca-Cola
C o m p a n y i s t h e w o r l d ’s l e a d i n g m a n u f a c t u r e r, m a r k e t e r a n d
distributor of non-alcoholic beverage concentrates and syrups,
used to produce nearly 400 beverage brands. It sells beverage
concentrates and syrups to bottling and canning operators,
distributors, fountain retailers and fountain wholesalers. The
C o m p a n y ’s b e v e r a g e p r o d u c t s c o m p r i s e s o f b o t t l e d a n d c a n n e d
soft drinks as well as concentrates, syrups and not-read y-to-
drink powder products. In addition to this, it also produces and
markets sports drinks, tea and coffee. The Coca-Cola Company
began building its global network in the 1920s. Now operating
in more than 200 countries and producing nearly 400 brands,
the Coca-Cola system has successfully applied a simple
formula on a global scale: “Provide a moment of refreshment
f o r a s m a l l a m o u n t o f m o n e y - a b i l l i o n t i m e s a d a y. ”

The Coca-Cola Company and its network of bottlers comprise

the most sophisticated and pervasive production and
distribution system in the world. More than anything, that
system is dedicated to people working long and hard to sell the
p r o d u c t s m a n u f a c t u r e d b y t h e C o m p a n y. T h i s u n i q u e w o r l d w i d e
s y s t e m h a s m a d e T h e C o c a - C o l a C o m p a n y t h e w o r l d ’s p r e m i e r
soft-drink enterprise. From Boston to Beijing, from Montreal
t o M o s c o w, C o c a - C o l a , m o r e t h a n a n y
other consumer product, has brought pleasure to thirsty
c o n s u m e r s a r o u n d t h e g l o b e . F o r m o r e t h a n 11 5 y e a r s ,
Coca-Cola has created a special moment of pleasure for
h u n d r e d s o f m i l l i o n s o f p e o p l e e v e r y d a y.

The Company aims at increasing shareowner value over time.

It accomplishes this by working with its business partners to
deliver satisfaction and value to consumers through a
worldwide s ys t e m of superior brands and services, thus
increasing brand equity on a global basis. They aim at
managing their business well with people who are strongly
committed to the Company values and culture and providing an
appropriately controlled environment, to meet business goals
and objectives. The associates of this Company jointly take
responsibility to ensure compliance with the framework of
p o l i c i e s a n d p r o t e c t t h e C o m p a n y ’s a s s e t s a n d r e s o u r c e s w h i l s t
limiting business risks.
 Figure 1: Market of drinks in India
(Source: - Beverages Marketing Corporation)
Figure 2: Soda companies market share & change in volume, worldwide
(Source: - Beverage Digest)

1 . 1 : A B R I E F I N S I G H T- T H E F M C G I N D U S T RY I N
INDIA

Fast Moving Consumer Goods (FMCG), also known as

Consumer Packaged Goods (CPG) are 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.

B y t h e t u r n o f t h e 2 0 t h c e n t u r y, t h e f a c e o f t h e I n d i a n F M C G
i n d u s t r y h a d c h a n g e d s i g n i f i c a n t l y. Wi t h t h e l i b e r a l i z a t i o n a n d
g r o w t h o f t h e I n d i a n e c o n o m y, t h e I n d i a n c u s t o m e r w i t n e s s e d
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

g r o w t h i n t h e F M C G i n d u s t r y. I n c r e a s e d a v a i l a b i l i t y o f r e t a i l
space, rapid urbanization, and qualified manpower also
b o o s t e d t h e g r o w t h o f t h e o r g a n i z e d r e t a i l i n g s e c t o r.

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 bu ying a car but
h e w i l l n o t p u t o f f h a v i n g h i s d i n n e r.

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
n e e d s . T h e F M C G s e c t o r, w h i c h i s g r o w i n g a t t h e r a t e o f 9 % i s
the fourth largest sector in the Indian Economy and is worth
R s . 9 3 0 0 0 c r o r e s . T h e m a i n c o n t r i b u t o r, m a k i n g u p 3 2 % o f t h e
s e c t o r, i s t h e S o u t h I n d i a n r e g i o n . I t i s p r e d i c t e d t h a t i n t h e
year 2010, the FMCG sector will be worth Rs.143000 crores.
The sector being one of the biggest sectors of the Indian
Economy provides up to 4 million jobs.

1 . 2 : A B R I E F I N S I G H T: B EV E R A G E I N D U S T RY I N
INDIA

In India, beverages form an important part of the lives of

p e o p l e . I t i s a n i n d u s t r y, i n w h i c h t h e p l a y e r s c o n s t a n t l y
innovate, in order to come up with better products to gain
more consumers and satisfy the existing consumers.
 Beverages

Alcoholic Non-Alcoholic

Carbonated Non-Carbonated

Cola Non-Cola Non-Cola

FIGURE 3: Beverage industry in India

Figure 4: Market shares (%) of soft drinks in India
( S o u r c e : - w w w. G o o g l e . c o m – I m a g e s )
The beverage industry is vast and there various ways of
segmenting it, so as to cater the right product to the right
p e r s o n . T h e d i f f e r e n t w a ys o f s e g m e n t i n g i t a r e a s f o l l o w s :

• Alcoholic, non-alcoholic and sports beverages

• N a t u r a l a n d S yn t h e t i c b e v e r a g e s
• In-home consumption and out of home on premises
consumption.
• Age wise segmentation i.e. beverages for kids, for
adults and for senior citizens
• Segmentation based on the amount of consumption i.e.
high levels of consumption and low levels of
consumption.

If the behavioural patterns of consumers in India are closely

noticed, it could be observed that consumers perceive
b e v e r a g e s i n t w o d i f f e r e n t w a ys i . e . b e v e r a g e s a r e a l u x u r y a n d
t h a t b e v e r a g e s h a v e t o b e c o n s u m e d o c c a s i o n a l l y. T h e s e t w o
perceptions are the biggest challenges faced by the beverage
i n d u s t r y. I n o r d e r t o l e v e r a g e t h e b e v e r a g e i n d u s t r y, i t i s
important to address this issue so as to encourage regular
consumption as well as and to make the industry more
affordable.
Four strong strategic elements to increase consumption of the
products of the beverage industry in India are:

• The quality and the consistency of beverages needs to be

enhanced so that consumers are satisfied and they enjoy
consuming beverages.
• The credibility and trust needs to be built so that there
is a very strong and safe feeling that the consumers have
while consuming the beverages.
• Consumer education is a must to bring out benefits of
beverage consumption whether in terms of health, taste,
relaxation, stimulation, refreshment, well-being or
p r e s t i g e r e l e v a n t t o t h e c a t e g o r y.
• Communication should be relevant and trendy so that
consumers

The beverage market has still to achieve greater penetration

and also a wider spread of distribution. It is important to look
a t t h e e n t i r e b e v e r a g e m a r k e t , a s a b i g o p p o r t u n i t y, f o r b r a n d
and sales growth in turn to add up to the overall growth of the
f o o d a n d b e v e r a g e i n d u s t r y i n t h e e c o n o m y.
CHAPTER - 2
 THE COCA-COLA COMPANY

2 . 1 : H I S TO RY

T
his stor y begins in Atlanta, Georgia on May 8,
1 8 8 6 , w h e n a p h a r m a c i s t c a l l e d D r. J o h n S m i t h
Pemberton first mixed Coca-Cola in his back yard.
This formula, which was made from carbonated
w a t e r, c a n e s u g a r s yr u p , c a f f e i n e , e x t r a c t s o f k o l a n u t s a n d
cola leaves, was brought to the nearby Jacobs’ Pharmacy where
i t m a d e i t s D e b u t a s a s o f t d r i n k t h e s a m e d a y, s e l l i n g f o r o n l y
5 cent. His bookkeeper named this drink “Coca-Cola” after the
first two ingredients and the same distinctive script he wrote it
i n i s t h e s a m e l o g o t h e y u s e t o t h i s d a y.

He first “distributed” the product b y carr ying it in a jug down

t h e s t r e e t t o J a c o b ’s P h a r m a c y a n d c u s t o m e r s b o u g h t t h e d r i n k
for five cents at the soda fountain. Carbonated water was
t e a m e d w i t h t h e n e w s yr u p , w h e t h e r b y a c c i d e n t o r o t h e r w i s e ,
producing a drink that was proclaimed “delicious and
refreshing”, a theme that continues to echo today wherever
C o c a - C o l a i s e n j o ye d .
D r. P e m b e r t o n ’s p a r t n e r a n d b o o k - k e e p e r, F r a n k M . R o b i n s o n ,
suggested the name and penned “Coca-Cola” in the unique
flowing script that is famous worldwide even t o d a y. He
suggested that “the two Cs would look well in advertising.”
The first newspaper ad for Coca-Cola soon appeared in The
Atlanta Journal, inviting thirsty citizens to try “the new and
popular soda fountain drink.” Hand-painted oil cloth signs
reading “Coca-Cola” appeared on store awnings, with the
suggestions “Drink” added to inform passersby that the new
beverage was for soda fountain refreshment.

B y the year 1886, sales of Coca-Cola averaged nine drinks per

d a y. T h e f i r s t y e a r, D r. P e m b e r t o n s o l d 2 5 g a l l o n s o f s y r u p ,
shipped in bright red wooden kegs. Red has been a distinctive
colour associated with the soft drink ever since. For his
efforts, D r. Pemberton grossed $50 and spent $73.96 on
a d v e r t i s i n g . D r. P e m b e r t o n n e v e r r e a l i z e d t h e p o t e n t i a l o f t h e
beverage he created. He gradually sold portions of his business
to various partners and, just prior to his death in 1888, sold
h i s r e m a i n i n g i n t e r e s t i n C o c a - C o l a t o A s a G . C a n d l e r, a n
e n t r e p r e n e u r f r o m A t l a n t a . B y t h e y e a r 1 8 9 1 , M r. C a n d l e r
proceeded to buy additional rights and acquire complete
o w n e r s h i p a n d c o n t r o l o f t h e C o c a - C o l a b u s i n e s s . Wi t h i n f o u r
years, his merchandising flair had helped expand consumption
of Coca-Cola to every state and territory after which he
liquidated his pharmaceutical business and focused his full
a t t e n t i o n o n t h e s o f t d r i n k . Wi t h h i s b r o t h e r, J o h n S . C a n d l e r,
J o h n P e m b e r t o n ’s f o r m e r p a r t n e r F r a n k R o b i n s o n a n d t w o o t h e r
a s s o c i a t e s , M r. C a n d l e r f o r m e d a G e o r g i a c o r p o r a t i o n n a m e d
t h e C o c a - C o l a C o m p a n y. T h e t r a d e m a r k “ C o c a - C o l a , ” u s e d i n
the marketplace since 1886, was registered in the United
States Patent Office on Januar y 31, 1893.
T h e b u s i n e s s c o n t i n u e d t o g r o w, a n d i n 1 8 9 4 , t h e f i r s t s y r u p
manufacturing plant outside Atlanta was opened in Dallas,
Te x a s . O t h e r s w e r e o p e n e d i n C h i c a g o , I l l i n o i s , a n d L o s
A n g e l e s , C a l i f o r n i a , t h e f o l l o w i n g y e a r. I n 1 8 9 5 , t h r e e y e a r s
a f t e r T h e C o c a - C o l a C o m p a n y ’s
incorporation, report to share owners that “Coca-Cola is now
drunk in every state and territory in the United States.”

As demand for Coca-Cola increased, the Company quickly

outgrew its facilities. A new building erected in 1898 was the
first headquarters building devoted exclusively to the
production of syrup and the management of the business. In
the year 1919, the Coca-Cola Company was sold to a group of
i n v e s t o r s f o r $ 2 5 m i l l i o n . R o b e r t W. Wo o d r u f f b e c a m e t h e
President of the Company in the year 1923 and his more than
sixty years of leadership took the business to unsurpassed
heights of commercial success, making Coca-Cola one of the
most recognized and valued brands around the world.

2 . 2 : M A N I F E S TO F O R G R O W T H

2 . 2 . 1 : Va l u e s :

Coca-Cola is guided by shared values that both the employees

as individuals and the Compan y will live b y; the values being:
• Leadership: The courage to shape a better future.
• Passion: Committed in heart and mind.
• Integrity: Be real.
• A c c o u n t a b i l i t y : I f i t i s t o b e , i t ’s u p t o m e .
• Collaboration: Leverage collective genius.
• Innovation: Seek, imagine, create and delight.
• Quality: What we do, we do well.

2.2.2: Mission

• To r e f r e s h t h e w o r l d , i n b o d y, m i n d , a n d s p i r i t .
• To i n s p i r e m o m e n t s o f o p t i m i s m , t h r o u g h o u r b r a n d s o u r
actions.
• To c r e a t e v a l u e a n d m a k e a d i f f e r e n c e , e v e r yw h e r e w e
engage.

2 . 2 . 3 : Vi s i o n f o r s u s t a i n a b l e g r o w t h

• Profit: Maximizing return to shareowners while being

mindful of our overall responsibilities.
• People: Being a great place to work where people are
inspired to be the best they can be.
• Portfolio: Bringing to the world a portfolio of beverage
b r a n d s t h a t a n t i c i p a t e a n d s a t i s f y p e o p l e ’s d e s i r e s a n d
needs.
• Partners: Nurturing a winning network of partners and
b u i l d i n g m u t u a l l o y a l t y.
• Planet: Being a responsible global citizen that makes a
difference.
 F igure 5: Vision for sustainable grow th
(Source: - HCCBPL).

2.3: SOFT DRINK MARKET IN INDIA

To d a y India is one of the most potential markets, with

population of around 900 million people, the Indian soft drinks
m a r k e t w a s o n l y o f 2 0 0 c a s e s p e r y e a r. T h i s w a s v e r y l o w e v e n
compared to Pakistan and Philippines. Population and potential
market are two major reasons for major multinational
companies of entering India. They feel that a huge population
coupled with low consumption can only lead to an increase in
the soft drink market. Another increase in the sale of soft
drinks in the scorching heat and the climate of India, which is
together have contributed to a 30% growth in the soft drinks
i n d u s t r y. I f t h e d e m a n d c o n t i n u e s g r o w i n g a t t h e s a m e r a t e ,
within two years the volume could touch 1 billion cases. All
these factors are the reasons for the entry two giant of the soft
drink industry of the world to enter the Indian market. These
two giants Pepsi and Coca-Cola, Themselves share 96% of the
soft drink market share. Rest is shared by C a d b u r y ’s
Schweppes, Campa Cola and other soft drink brands. But was
the scene same 20 years ago? The answer is No. 1970 was the
year of pure soft drinks Campa Cola and Parle people (Thums
Up and Limca).

Soft drink consists of a flavour base, sweetener and carbonated

w a t e r. I n g e n e r a l t e r m s n o n - a l c o h o l i c d r i n k s a r e c o n s i d e r e d a s
soft drinks this name soft drink was given by Americans as
against hard which is mainly alcoholic. The major participants
involved in the production and distribution of soft drink are
c o n c e n t r a t e a n d s yr u p p r o d u c e r s , b o t t l e r s a n d r e t a i l c h a n n e l .
Concentrate producers manufacture basic soft drink flavours
and retail channel refers to business location that tells or
serves the products directly to consumers.

Soft drink is not a product, which a person plans to buy before

hand, but is an impulse purchase. Lots of sale depends upon
the strength of merchandizing done at the point of sale. It all
begin in 1977, a change in central government led the exit of
coca-cola which preferred to quit rather diluting its equity to
40% in compliance with the Foreign Exchange Regulation Act
(FERA). The first national cola drink to pop up was double
s e v e n . I n t h e m e a n t i m e , P u r e D r i n k s , D e l h i o n c o k e ’s e x i t ,
switched over to Campa Cola.
T h e b e g i n n i n g o f 1 9 8 0 ’s s a w t h e b i r t h o f a n o t h e r c o l a d r i n k ,
Thums Up, Parle the Gold spot people, launched it in 1978-79,
as “Refreshing Cola”. By the mid-eighties Mc Dowells
launched Thrill, and by the late eighties there was Double
Cola, which entered in India market, as a NRO-run outfit with
its plant in Nasik (Maharashtra), in 1978 Parle, Indian soft
drinks market (share 33%) with its gold spot and Limca
brands. Later Thums Up also started Thums Up. At the same
time the threat to the Indian soft drinks was that of fruit
drinks. In 1988, fruit drinks market was valued at Rs. 40
crores and grew at the rate 20%.

C o c a - C o l a e n t e r e d I n d i a n b y b u yi n g u p t o 6 9 % o f t h e 1 , 8 0 0
crores soft drink market (i.e. 5 Parle Export brands of Thums
U p ’s , L i m c a , G o l d s p o t , C i t r a & M a a z a ) . To d a y t h e s c e n e h a s
changed making it a direct battle between two giant Coca-Cola
and Pepsi. The picture will become clearer by looking at the
I n d i a m a r k e t s h a r e s i n t h e b e v e r a g e i n d u s t r y.

One of the strongest weapons in Coke armoury is the

flexibility it has empowered its people with. In Coke every
employee, may he be a manager or salesman, have an authority
to take whatever steps he or she feels will make the consumers
aware of the brand and increase its consumption. Thus Coke
believes in establishing and nurturing creditability of the
salesman and making commitment to grow business in
accounts. All these factors together led to a high growth in the
Indian market and constantly increasing market share.
CHAPTER - 3
 HINDUSTAN COCA-COLA BEVERAGES
PRIVATE LIMITED (HCCBPL)

3 . 1 : A B O U T T H E C O MPA N Y

E v e r y p e r s o n w h o d r i n k s a C o c a - C o l a e n j o ys a m o m e n t o f
refreshment and shares an experience that millions of others
have savoured. All of those individual experiences combined
have created a worldwide phenomenon – a truly global brand.
On the distribution front, 10-tonne trucks, open-bay three-
wheelers that can navigate the narrow alleyways of Indian
cities, ensure availability of Coke brands in every nook and
c o r n e r o f t h e c o u n t r y. T h e c o m p a n y - o w n e d B o t t l i n g a r m o f t h e
Indian Operations, Hindustan Coca-Cola Beverages Private
Limited is responsible for the manufacture, sale and
distribution of beverages across the country.

Coca-Cola was the leading soft drink brand in India until

1977, when it left rather than reveals its formula to the
Government and reduces its equity stake as required under the
Foreign Regulation Act (FERA) which governed the operations
of foreign companies in India. Coca-Cola re-entered the Indian
market on 26th October 1993 after a gap of 16 years, with its
launch in Agra. An agreement with the Parle Group gave the
Company instant ownership of the top soft drink brands of the
n a t i o n . Wi t h a c c e s s t o 5 3 o f P a r l e ’s p l a n t s a n d a w e l l s e t
bottling network, an excellent base for rapid introduction of
t h e C o m p a n y ’s I n t e r n a t i o n a l b r a n d s w a s f o r m e d . T h e C o c a -
Cola Company acquired soft drink brands like Thumps Up,
Gold-Spot, Limca, Maaza, which were floated by Parle, as
these products had achieved a strong consumer base and
formed a strong brand image in Indian market during the re-
entry of Coca-Cola in 1993.Thus these products became a part
o f r a n g e o f p r o d u c t s o f t h e C o c a - C o l a C o m p a n y.

In the new liberalized and deregulated environment in 1993,

Coca-Cola made its re-entry into India through its 100% owned
s u b s i d i a r y, H C C B P L , t h e I n d i a n b o t t l i n g a r m o f t h e C o c a - C o l a
C o m p a n y. H o w e v e r, t h i s w a s b a s e d o n n u m e r o u s c o m m i t m e n t s
and stipulations which the Company agreed to implement in
due course. One such major commitment was that, the
Hindustan Coca-Cola Holdings would divest 49% of its
shareholding in favour of resident shareholders by June 2002.

Coca-Cola is made up of 7000 local emplo yees, 500 managers,

over 60 manufacturing locations, 27 Company Owned Bottling
Operations (COBO), 17 Franchisee Owned Bottling Operations
(FOBO) and a network of 29 Contract Packers that facilitate
the manufacture process of a range of products for the
c o m p a n y. It also has a supporting distribution network
consisting of 700,000 retail outlets and 8000 distributors.
Almost all goods and services required to cater to the Indian
m a r k e t a r e m a d e l o c a l l y, w i t h h e l p o f t e c h n o l o g y a n d s k i l l s
w i t h i n t h e C o m p a n y. T h e c o m p l e x i t y o f t h e I n d i a n m a r k e t i s
reflected in the distribution fleet which includes different
modes of distribution, from 10-tonne trucks to open-bay three
wheelers that can navigate through narrow alleyways of Indian
cities and trademarked tricycles and pushcarts.
“Think local, act local”, is the mantra that Coca-Cola follows,
with punch lines like “Life ho to Aisi” for Urban India and
“Thanda Matlab Coca-Cola” for Rural India. This resulted in
a 37% growth rate in rural India visa-vie 24% growth seen in
urban India. Between 2001 and 2003, the per capita
consumption of cold drinks doubled due to the launch of the
new packaging of 200 ml returnable glass bottles which were
made available at a price of Rs.5 per bottle. This new market
a c c o u n t e d f o r o v e r 8 0 % o f I n d i a ’s n e w C o c a - C o l a d r i n k e r s . A t
Coca-Cola, they have a long standing belief that everyone who
touches their business should benefit, thereby inducing them to
uphold these values, enabling the Company to achieve success,
recognition and lo yalty worldwide.
 COBO
FOBO
CONTRACT PACKAGING

Figure 6: Locations of COBO, FOBO & Contract Packaging in India.

( S o u r c e : - w w w. G o o g l e . c o m – I m a g e s )

3 . 2 : M A N I F E S TO F O R G R O W T H

3 . 2 . 1 : Va l u e s

The values that the emplo yees in the Company are expected to
keep up to and work by regularly are as follows:

• L e a d e r s h i p : To t a k e a n i n i t i a t i v e a n d l e a d , m o t i v a t e a n d
drive the team with energy and zeal, to deliver
outstanding results.
• I n n o v a t i o n : To c o n t i n u o u s l y s t r i v e f o r p r o g r e s s a n d r e a c h
the next level of excellence in ever ything we do.
• P a s s i o n : To b e d e e p l y c o m m i t t e d a n d d i s p l a y d r i v e a n d
energ y in the quest to deliver outstanding performance.
• Te a m w o r k : To unite for greater strength and work
collectively as a group towards the achievement of
common goals.
• O w n e r s h i p : To t h i n k a n d a c t l i k e o w n e r s a t a l l l e v e l s ; t o
have decisions taken at the lowest appropriate level.
• Accountability: To be individually and transparently
accountable to our colleagues for delivering agreed
targets and goals.
3 . 2 . 2 : Vi s i o n f o r s u s t a i n a b l e g r o w t h

To p r o v i d e e x c e p t i o n a l s t r a t e g i c l e a d e r s h i p i n t h e C o c a - C o l a
India System-resulting in consumer and customer preference
a n d l o y a l t y, t h r o u g h C o c a - C o l a ’s c o m m i t m e n t t o t h e m , a n d i n a
highly profitable Coca-Cola Corporate branded beverages
system.

3.2.3: Mission

To c r e a t e c o n s u m e r p r o d u c t s , s e r v i c e s a n d c o m m u n i c a t i o n s ,
c u s t o m e r s e r v i c e a n d b o t t l i n g s ys t e m s t r a t e g i e s , p r o c e s s e s a n d
tools in order to create competitive advantage and deliver
superior value to;

• Consumers as a superior beverage experience.

• Consumers as an opportunity to grow profits through the
use of finished drinks.
• Bottlers as an opportunity to grow profits in volumes.
• Bottlers as a trademark enhancement and positive economic
value added.
• Suppliers as an opportunity to make reasonable profits
when creating real value-added in an environment of
system-wide team work, flexible business system and
continuous improvement.
• Indian society in the form of a contribution to economic
and social development.
3.2.4: Quality policy

“ To e n s u r e c u s t o m e r d e l i g h t , w e c o m m i t t o q u a l i t y i n o u r
thoughts, deeds and actions by continually improving our
processes every time.”

3 . 3 : S W O T A N A LY S I S O F H C C B P L

3.3.1: Strengths

• Distribution network: The Company has a strong and

reliable distribution network. The network is formed on
the basis of the time of consumption and the amount of
sales yielded by a particular customer in one transaction.
It has a distribution network consisting of a number of
efficient salesmen, 700,000 retail outlets and 8000
distributors. The distribution fleet includes different
modes of distribution, from 10-tonne trucks to open-bay
three wheelers that can navigate through narrow
alleyways of Indian cities and trademarked tricycles and
pushcarts.

• Strong brands: The products produced and marketed by

the Company have a strong brand image. People all
around the world recognize the brands marketed by the
C o m p a n y. S t r o n g b r a n d n a m e s l i k e S p r i t e , F a n t a , L i m c a ,
Thums Up and Maaza add up to the brand name of the
Coca-Cola Company as a whole. The red and white Coca-
Cola is one of the very few things that are recognized by
 people all over the world. Coca-Cola has been named the
world's top brand for a fourth consecutive year in a
survey by consultancy Interbrand. It was estimated that
the Coca-Cola brand was worth $70.45billion.

• Low cost of operations: The production, marketing and

distribution systems are very efficient due to forward
planning and maintenance of consistency of operations
which minimizes wastage of both time and resources
leads to lowering of costs.

3 . 3 . 2 : We a k n e s s e s

• Low export levels: The brands produced by the company

are brands produced worldwide thereby making the
e x p o r t l e v e l s v e r y l o w. I n I n d i a , t h e r e e x i s t s a m a j o r
controversy concerning pesticides and other harmful
chemicals in bottled products including Coca-Cola. In
2003, the Centre for Science and Environment (CSE), a
non-governmental organization in New Delhi, said
aerated waters produced by soft drinks manufacturers in
India, including multinational giants PepsiCo and Coca-
Cola, contained toxins including Lindane, D D T,
Malathion and Chlorpyrifos- pesticides that can
contribute to cancer and a breakdown of the immune
system. Therefore, people abroad, are apprehensive about
Coca-Cola products from India.
 • Small scale sector reservations limit ability to invest and
a c h i e v e e c o n o m i e s o f s c a l e : T h e C o m p a n y ’s o p e r a t i o n s
are carried out on a small scale and due to Government
restrictions and ‘red-tapism’, the Company finds it very
difficult to invest in technological advancements and
achieve economies of scale.

3.3.3: Opportunities

• Large domestic markets: The domestic market for the

products of the Company is very high as compared to any
o t h e r s o f t d r i n k m a n u f a c t u r e r. C o c a - C o l a I n d i a c l a i m s a
58 per cent share of the soft drinks market; this includes
a 42 per cent share of the cola market. Other products
account for 16 per cent market share, chiefly led by
limca. The company appointed 50,000 new outlets in the
f i r s t t w o m o n t h s o f t h i s y e a r, a s p a r t o f i t s p l a n s t o c o v e r
one lakh outlets for the coming summer season and this
also covered 3,500 new villages. In Bangalore, Coca-
Cola amounts for 74% of the beverage market.

• Export potential: The Company can come up with new

products which are not manufactured abroad, like Maaza
etc and export them to foreign nations. It can come up
with strategies to eliminate apprehension from the minds
of the people towards the Coke products produced in
India so that there will be a considerable amount of
exports and it is yet another opportunity to broaden
future prospects and cater to the global markets rather
than just domestic market.
 • Higher income among people: Development of India as a
whole has lead to an increase in the per capita income
thereby causing an increase in disposable income. Unlike
olden times, people now have the power of bu ying goods
of their choice without having to worry much about the
flow of their income. The beverage industry can take
advantage of such a situation and enhance their sales.

3.3.4: Threats

• Imports: As India is developing at a fast pace, the per

capita income has increased over the years and a
majority of the people are educated, the export levels
have gone high. People understand trade to a large extent
and the demand for foreign goods has increased over the
years. If consumers shift onto imported beverages rather
t h a n h a v e b e v e r a g e s m a n u f a c t u r e d w i t h i n t h e c o u n t r y, i t
could pose a threat to the Indian beverage industry as a
w h o l e i n t u r n a f f e c t i n g t h e s a l e s o f t h e C o m p a n y.

• Ta x a n d r e g u l a t o r y s e c t o r : T h e t a x s ys t e m i n I n d i a i s
accompanied by a variety of regulations at each stage on
the consequence from production to consumption. When a
license is issued, the production capacity is mentioned
on the license and every time the production capacity
needs to be increased, the license poses a problem.
Renewing or updating a license every now and then is
difficult. Therefore, this can limit the growth of the
Company and pose problems.
• Slowdown in rural demand: The rural market may be
alluring but it is not without its problems: Low per
capita disposable incomes that is half the urban
disposable income; large number of daily wage earners,
acute dependence on the vagaries of the monsoon;
seasonal consumption linked to harvests and festivals
and special occasions; poor roads; power problems; and
inaccessibility to conventional advertising media. All
these problems might lead to a slowdown in the demand
f o r t h e c o m p a n y ’s p r o d u c t s .

Manufacturing Plant,
DASNA

Sales and
Distribution
Operations
Indirect Direct
Distribution Distribution

Distributors Outlets

Outlets

Figure 7: Chain followed from manufacture to retailer

 CHAPTER - 4

PRODUCTS

The Coca-Cola Company offers a wide range of

products to the customers including beverages,
f r u i t j u i c e s a n d b o t t l e d m i n e r a l w a t e r. T h e C o m p a n y i s * a l w a y s
looking to innovate and come up with, either complete new
products or new ways to bottle or pack the existing drinks. The
Coca-Cola Company has a wide range of products out of which
the following products are marketed by HCCBPL:

BRANDS OF INDIA:-

The world's favourite drink. The world's most valuable brand.

The most recognizable word across the world after OK. Coca-
Cola has a truly remarkable heritage. From a humble
beginning in 1886, it is now the flagship brand of the largest
m a n u f a c t u r e r, marketer and distributor of non-alcoholic
beverages in the world. In India, Coca-Cola was the leading
soft-drink till 1977 when govt. 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. Coca-Cola returned to India in
1993 and over the past ten years has captured the imagination
of the nation, building strong associations with cricket, the
t h r i v i n g c i n e m a i n d u s t r y, m u s i c e t c . C o c a - C o l a h a s b e e n v e r y
s t r o n g l y a s s o c i a t e d w i t h c r i c k e t , s p o n s o r i n g t h e Wo r l d C u p i n
1996 and various other tournaments, including the Coca-Cola
Cup in Sharjah in the late nineties. Coca-Cola's advertising
campaigns Jo Chaho Ho Jaye and Life ho to Aisi were very
p o p u l a r a n d h a d e n t e r e d t h e y o u t h ' s v o c a b u l a r y. I n 2 0 0 2 , C o c a -
Cola launched the campaign "Thanda Matlab Coca-Cola"
w h i c h s k y- r o c k e t e d t h e b r a n d t o m a k e i t I n d i a ' s f a v o u r i t e s o f t -
drink brand. In 2003, Coke was available for just Rs. 5 across
the country and this pricing initiative together with improved
distribution ensured that all brands in the portfolio grew leaps
and bounds.

Glass PET Can Fountain

2 0 0 m l , 3 0 0 m l ,5 0 0 m l , 1.5 L,
Va r i o u s
500 ml, 1 0 0 02 L, 2.25 L,330 ml
Sizes
ml 500 ml + 100 ml

Thums Up is a leading
carbonated soft drink and most
trusted brand in India. Originally
introduced in 1977, Thums Up was
acquired by The Coca-Cola
Company in 1993.

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.
Glass PET Can Fountain
500 ml, 1.5 L,
200 ml, 300 ml,
2 L, 2.25 L,330 ml Va r i o u s S i z e s
500 ml, 1000 ml
500 ml + 100 ml

Lime n'
lemoni Limca, the drink that can cast a tangy refreshing spell
on anyone, anywhere. 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 c o u n t r y.

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. Dive into the zingy
refreshment of Limca and walk away a new person.
Glass PET Can Fountain
500 ml, 1.5 L,
200 ml, 300 ml, 500
2 L, 2.25 L,330 ml Va r i o u s S i z e s
ml, 1000 ml
500 ml + 100 ml

Wo r l d w i d e
Sprite is ranked as the No. 4 soft drink & is sold in more than
190 countries In India, Sprite was launched in year 1999 &
today it has grown to be one of the fastest growing soft drinks,
l e a d i n g t h e C l e a r l i m e c a t e g o r y. To d a y S p r i t e i s p e r c e i v e d a s a
y o u t h i c o n . W h y? Wi t h a s t r o n g a p p e a l t o t h e y o u t h , S p r i t e h a s
stood for a straight forward and honest attitude. Its clear crisp
refreshing taste encourages the today's youth to trust their
instincts, influence them to be true to who they are and to
obey their thirst

Glass PET Can Fountain

500 ml, 1.5 L,
200 ml, 300 Va r i o u s
2 L, 2.25 L,330 ml
ml, Sizes
500 ml + 100 ml

I n t e r n a t i o n a l l y, F a n t a - T h e ' o r a n g e '
d r i n k o f T h e C o c a - C o l a C o m p a n y, i s
seen as one of the favorite drinks since
1940's.

Fanta entered the Indian market in the

year 1993. Over the years Fanta has occupied a strong market
p l a c e a n d i s i d e n t i f i e d a s " T h e F u n C a t a l ys t " . P e r c e i v e d a s a
f u n y o u t h b r a n d , F a n t a s t a n d s f o r i t s v i b r a n t c o l o u r, t e m p t i n g
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 h a p p y,
cheerful and special times with friends.

Glass PET Can Fountain

500 ml, 1.5 L,
200 ml, 300 Va r i o u s
2 L, 2.25 L,330 ml
ml, Sizes
500 ml + 100 ml
Maaza was
launched in 1976.
There was a drink
that offered the
same real taste of fruit juices and was available throughout the
y e a r. I n 1 9 9 3 , M a a z a w a s a c q u i r e d b y C o c a - C o l a I n d i a . M a a z a
c u r r e n t l y d o m i n a t e s t h e f r u i t d r i n k c a t e g o r y. O v e r t h e y e a r s ,
brand Maaza has become synon ymous with Mango. This has
b e e n t h e r e s u l t o f s u c h s u c c e s s f u l c a m p a i g n s l i k e " Ta a z a
Mango,Maaza Mango" and "Botal mein Aam, Maaza hain
Naam". Consumers regard Maaza as wholesome, natural, fun
drink which delivers the real experience of fruit. The current
advertising of Maaza positions it as an enabler of fun
friendship moments between moms and kids as moms trust the
brand and the kids love its taste. The campaign builds on the
existing equity of the brand and delivers a relevant emotional
b e n e f i t t o t h e m o m s r i g h t l y c a p t u r e d i n t h e t a g l i n e " Ya a r i
D o s t i Ta a z a M a a z a "

Glass Te t r a p a c k PET Fountain

200 ml,125 ml,
1000 ml Va r i o u s S i z e s
250 ml 200 ml
Wa t e r, a t h i r s t q u e n c h e r t h a t r e f r e s h e s , a l i f e g i v i n g f o r c e t h a t
w a s h e s a l l t h e t o x i n s a w a y. A r i t u a l p u r i f i e r t h a t c l e a n s e s ,
p u r i f i e s , t r a n s f o r m s . Wa t e r, t h e m o s t b a s i c n e e d o f l i f e , t h e
very sustenance of life, a celebration of life itself.

The importance of water can never be understated. Particularly

in a nation such as India where water governs the lives of the
millions, be it as part of ever yday rituals or as the monsoon
which gives life to the sub-continent. 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
t o b e . Wa t e r y o u c a n t r u s t t o b e t r u l y s a f e a n d p u r e .

Kinley water comes with the assurance of safety from the

C o c a - C o l a C o m p a n y. T h a t i s w h y w e i n t r o d u c e d K i n l e y w i t h
reverse-osmosis along with the latest technology to ensure the
purity of our product. That's why we go through rigorous
testing procedures at each and every location where Kinley is
produced. Because we believe that right to pure, safe drinking
water is fundamental.

I n t h e c o m p a n y' s j o u r n e y t o w a r d s t h e
vision 'leading the beverage revolution
in India', now even Garam matlab Coca-
Cola. A hot new launch from Coca-Cola
India. Georgia, quality tea and coffee
served from state of the art vending
machines is positioned to tap into the n a t i o n ’s biggest
b e v e r a g e c a t e g o r y. G e o r g i a , w h i c h p r o m i s e s a g r e a t t a s t i n g ,
consistent, hygienic and affordable cuppa is available in a
range of 7 sizzling flavours, Adrak, Elaichi, Masala and
Plain tea Cappuccino, Mochaccino and Regular coffee.
Georgia is currently in the roll out stage after a successful
launch in Delhi & Kolkata. Georgia aims to become the
consumers preferred choice of hot beverage when he is on the
go; the brand is well on course to achieving its vision. While
Georgia is a mass market offering, Georgia Gold is the
p r e m i u m b r a n d w h i c h c a t e r s t o t h e c o n n o i s s e u r. M a d e f r o m
freshly roasted and ground coffee beans, Georgia Gold is
delicious tasting aroma with the tantalizing aroma of fresh
c o f f e e . C u r r e n t l y a v a i l a b l e e x c l u s i v e l y a t M c D o n a l d ’s o u t l e t s
across the country Georgia Gold has driven coffee sales
through the roof. The success of hot beverages from Georgia
G o l d h a s r e s u l t e d i n e x t e n s i o n i n t o t h e c o l d c a t e g o r y, w i t h t h e
i n t r o d u c t i o n o f I c e Te a a n d C o l d C o f f e e
MINUTE MAID - A 62 year success
s t o r y.
The history of the Minute Maid brand
goes as far back as 1945 when the
Florida Foods Corporation developed
orange juice p o w d e r. The company
developed a process that eliminated 80 percent of the water in
orange juice, forming a frozen concentrates that when
reconstituted created orange juice. They branded it Minute
Maid, a name connoting the convenience and the ease of
preparation (In a minute). Minute Maid thus moved from a
powdered concentrate to the first ever orange juice from
concentrate. Minute Maid- One of the world's largest juice
and juice drink brands over the years, through innovations
and unmatched consumer experience provided in over 60
countries, Minute Maid brand has clearly become one of the
world's largest juice and juice drink brands. The launch of
Minute Maid Pulpy Orange in India (starting with the south of
the countr y) is aimed to further extend the leadership of Coca-
C o l a i n I n d i a i n t h e j u i c e d r i n k c a t e g o r y.

Av a i l a b l e i n t w o P E T p a c k s i z e s

400 ml and 1 litre and 1.25 litres.

CHAPTER - 5
 ABOUT PROJECT

The work assigned was to analyze and enhance the market

opportunities for Coca Cola in Ghaziabad, by creating
awareness to retailers about the brand value, profit ratio and
to find out the factors which are creating impediment in its
expansion.

Thus project was divided into two parts:-

First Part:-
• Anal yze the needs and wants of existing retailers
(customers).
• Find out the problems faced b y them while doing business
with Coke.
• 36There reasons of doing business with Coke.
• For this survey on 350 existing outlets was done.

Second Part:-
• Find out the reasons for not doing business with Coke from
new retailers (customers).
• For this survey on 250 new outlets was done.

W h i l e d o i n g s e c o n d p a r t o f t h e s u r v e y f e w n e w o u t l e t s w e re
o p e n e d , O YA r e f r i g e r a t o r s w e r e s o l d & Vi s i - C o o l e r s w e r e
installed.
5 . 1 : D ATA C O L L E C T I O N : -

Data was collected from different locations of Ghaziabad

as:-

1. Govindpuram
2. Kavi Nagar
3. Rakesh Marg
4. Ghantaghar
5. Dadri Road
6. Gandhi Nagar
7. Mali wada
8. Shastri Nagar

5 . 2 : T Y P E S O F EX PA NS I O N

Expansion can be done both vertically & horizontally and for

this different questionnaires were prepared for both existing
and new retailers.

5 . 2 . 1 : Ve r t i c a l l y e x p a n s i o n

It means increasing the existing outlets capacity of sales.

There are following techniques used in vertical expansion:

• RED ( Right Execution Daily)

• PJP (Pre Journey Planner)

• Pre Sell
5.2.2: Horizontal expansion

It means opening new outlets. It is done to increase the market

share and to increase the visibility of product in the market which
will ultimatel y lead to higher sales volume and larger market
share.

5 . 3 : H O R I ZO N TA L EX PA N S I O N

5.3.1: Reasons for horizontal expansion

Figure 8: Opportunity to oen new outlets (India).

(Sourse:- AC Neilsen –Retail audit & FMCG track)
Above data shows that Coke is far behind from its competitors
in case of market coverage thus huge potential for expansion.
5.3.2: Benefits of horizontal expansion

• Improves profitability of distributors

• Helps improve route productivity

• Incremental revenue for the business

• Helps in distributing the market demand
• Increase market visibility

5.3.3: Advantage of horizontal expansion over vertical

expansion

Both expansion techniques are meant for increasing sales

volumes. But in horizontal expansion company can earn more
profits by spending less. L e t ’s see the profit story of
horizontal expansion.
Figure 9: Impact of new outlets on business (Source:
H C C B P L , M o n t h l y C i r c u l a r, J u n e ) .
 Figure 10: Impact of new outlets on distributors

( S o u r c e : H C C B P L , M o n t h l y C i r c u l a r, J u n e ) .

Above tables clearly indicate the importance of opening new

outlets. By doing vertical expansion only growth in profit was
not ver y effective but because of opening just 200 new outlets
s a l e s i n c r e a s e d t o a l a r g e e x t e n t . To t a l p r o f i t m a r g i n a n d
return on investment also increased.

5 . 4 : S EV E N C R I T E R I A S TO F O R M A N E W O U T L E T

1. Outlet already owns electric chilling equipment of any

type–

This is necessary to open an outlet which much has its own

chilling equipment because initially company cannot provide a
n e w c o o l e r. S o , i t ’s p r e f e r a b l e t h a t h e s t a r t s h i s b u s i n e s s w i t h
his own chilling equipment and as business grows company can
p r o v i d e h i m c o o l e r. C o m p a n y a l s o p r o v i d e s O YA r e f r i g e r a t o r s
at reduced priced from market.
(For rural areas Ice Box, Outlets location and daily sales is
kept in mind while giving preference to SGA).

2. Outlet is already selling Pepsi products

This criterion ensures that outlet is suitable for the business in

soft drinks, it has demand for soft drinks and can also sell
Coke products, the only thing required is to solve the problems
and finalize the agreement.
3. Outlet is on the main road or has 2 adjacent roads

The shop must be easily reachable for our salesman, else it

would affect the economies of scale and it will not be a
profitable business to go on with.
4. There are no other outlets selling Soft Drinks within 150
steps in any direction from that outlet

This is done to create particular population cluster at one

point only to prevent the local competition among Coke
outlets.

5. Outlet is listed as part of the list of non-dealers submitted

by Nielsen

AC NIELSEN has provides us a list of potential outlets in

Ghaziabad, if our target outlet is in the list it must be approached
without considering any other criteria.

6. It is an E & D outlet with 5 tables

There are 2 types of E&D outlets,

E & D Typ e 1 & 2

E&D 1- Does not have a place to sit.

E&D 2- The outlet should have a place to sit.

Criteria no. 6 is valid only for E&D 1

7. It is an outlet stocking branded FMCG products.

(Products in the range of Rs. 20 and above)

This is very important criteria to ensure that the outlet keeps

branded product and can spend some money to purchase a
branded product. The targeted outlet must meet at least 2
 criteria out of 7 mentioned above; if the outlet does not meet
above criterion it will not be a profitable outlet.

5.5: SEGMENTATION MODEL

Coke’s Markets can be Segmented along 3 Lines- Outlet Volume,
Locality Income & Channel Cluster.
x

CHANNEL
CLUSTER

Similar grouping of
Outlets basis format &
shopper ocasion
TYPE 1 GROCERY

E&D
TYPE 2 Classifying Outlets
basis Volume Per Outlet

CONVENIENCE

Segmenting Consumers
OUTLET
on basis of Income VOLUME

LOW B S G D
R I O I
O L L A
MEDIUM
N V D M
Z E O
HIGH E R N
D
LOCALITY M EDIUM

INCOME
OULLET KO VPO SLAB
Grocery: Selling household items CLASSIFICATIO (PHY C/S)
etc.
E & D Type 1: Does not have a place to DIAMOND >800
sit.
E & D Type 2: The outlet should have a GOLD 500-799
 Convenience: Small stores or shops e.g. SILVER 200-499
STD booths
BRONZE <200

T h i s m o d e l i s f o l l o w e d b y t h e c o m p a n y w h i l e s e g m e n t i n g - Ty p e o f
outlets, volume & their income.
5 . 6 : P R O C E D U R E F O R O P E N I N G A N E W O U T L E T: -

• Find a probable or Dry outlet:

Dry outlet can be defined as an outlet that used to sell

coke before but now it is not activated and reluctant in
d o i n g b u s i n e s s w i t h c o k e . H e m a y b e a c o m p e t i t o r ’s
outlet.

• Scrutinize the outlet:

In this step I had to find the possibility and suitability of

the outlet for keeping the coke products. There are 7
criterion defined and the outlet must meet at least two of
them. My job is also to analyze whether selling him coke
would be profitable or not. Also the population cluster
and footfalls is also analyzed and accordingly deal is
finalized.

• Ta r g e t i n g t h e o u t l e t :

After I have analyzed the outlet, I have to approach the

o u t l e t o w n e r. T h e n I e x p l a i n h i m a b o u t t h e p r o d u c t r a n g e
o f m y c o m p a n y. T h e n I t e l l h i m a b o u t t h e c o s t , s e l l i n g
prices and schemes given on the product. I try to
convince him that doing business with coke is very
profitable and convenient for him and it will add more
customers and money to his business i.e. explaining him
t h e p r o f i t s t o r y.
 • Solving the problems:

I also listen to my customer very carefully to his queries,

objections and problems and try to solve them with the
d i f f e r e n t s o l u t i o n s p r o v i d e d b y t h e c o m p a n y. M a i n l y t h e
problem is about SGA (Selling Good Assets) &
agreement for it was done b y analyzing the outlet.

• Insertion of the order:

If he is convinced I inform the salesman give him the

address of new outlet and tell him the stock to be
d e l i v e r e d a n d e n d s u c c e s s f u l l y.

My job was also to look after the sales of the outlet & inform
concerning authority if any problem.

5.6.1: Analyzing the outlet

Once the outlet has met the required criteria we have to target
that outlet. Before targeting we have to quickly analyze the
p o p u l a t i o n c l u s t e r a r o u n d t h e o u t l e t . We h a v e t o a n a l y z e
income group of people living around the outlet because these
p e o p l e w i l l b e t h e c u s t o m e r t o o u r r e t a i l e r. T h i s h e l p s u s
making an approach to the outlet also we have to determine the
density of population; this will determine the footfalls on the
outlet. As we know beverage business depends upon the sales
volume so footfalls and population cluster determination is
very important.

This is done very quickly and product range is offered

a c c o r d i n g l y. F o r e x a m p l e - i n u r b a n a r e a M M P O a n d M a a z a a r e
most selling products, but in rural area small packs (200ml)
are more successful.
5.7: STEPS FOR TA R G E T I N G THE NEW
R E TA I L E R S -

Before targeting a new outlet (customer), we have to prepare

p h ys i c a l l y a n d m e n t a l l y & f o l l o w i n g s e t s w e r e f o l l o w e d : -

• Ta k e I n i t i a t i v e
• Deal with objections
• Profit Story
• Any other quandary
• Sustain relations

Ta k e I n i t i a t i v e - We p e r s o n a l l y c o n t a c t t h e r e t a i l e r. A s a
r e p r e s e n t a t i v e f r o m C o k e w e t e l l a b o u t t h e c o m p a n y, t h e
project range, about the profit margins, offers, schemes etc.

Deal with objections- Here retailer puts his objections and we

h a v e t o t a c k l e t h e m v e r y c a r e f u l l y, s o m e c o m m o n o b j e c t i o n s r a i s e d
are as:-

1 - Yo u r B u s i n e s s i s N O T Ve r y m o n e y - s p i n n i n g ?

Answer-

• Our products have Good Margin in the range of 7% - 15%,

higher than most of the products you sell.
• Our products are well known and have a faster rotation
which will result in higher earnings for you.
• We h a v e a w i d e r a n g e o f p r o d u c t t o o f f e r w h i c h w i l l h e l p
you cater to larger number of customers.
• We e n s u r e b u s i n e s s r o u n d t h e y e a r b y a c t i v a t i n g y o u r o u t l e t
and product promotions.

2- The nearby outlet is selling Soft drink. Why should I sell?

Answer-
• Wo u l d y o u n o t l i k e t o m a k e m o r e p r o f i t s ?
• Our product is usuall y purchased on i mpulse and can be bought
along with other products you sell.
• There are products sold in nearby outlet that is available in
your outlet as well. So wh y not soft drinks.

3 - H o w w i l l y o u s e r v i c e m y o u t l e t ? Wi l l I g e t s t o c k s I w a n t ?

Answer-
• We h a v e a t r a i n e d s a l e s m a n w h o s e r v i c e s o u t l e t s i n y o u r
area. He will visit your outlet twice in a week.
• Our products have shelf life so we would take extra care so as
not to suppl y you more stocks.
• O u r s u p e r i o r d i s t r i b u t i o n s ys t e m a n d p r o c e s s e s w i l l e n s u r e
you to get the required stocks in time.
P r o f i t S t o r y - We e x p l a i n t o t h e o u t l e t t h e p r o f i t s t o r y ; w e
keep in mind that investment should be told on daily basis and
profits in long term.

Example- Investment of Rs. 910 will add more than Rs. 16,000
to the yearly profit of the retailer if he sells only 2 packs of
2 l t s s o f t d r i n k ( 9 * 2 + 2 f r e e ) d a i l y. ( A s C . P i s R s . 4 5 5 & S . P i s
Rs. 495 for 2 lt. pack so, profit is Rs. 40 on 1 pack so, on 2 it
will be Rs, 80 Per day i.e. Rs. 2,400 /month and for peek
season (3 months- April, May & June in which sale is suppose
to be 50% of estimated yearly sales) the profit will be Rs.
2400*3= Rs. 7,200 & Rs. 14,400 for whole year (Rs. 7,200 for
next 9 months.) Substrate electricity bill (Rs. 8 per unit,
approx daily Rs. 16 so yearly 16*365 = Rs. 5,840.
Rs. 14,400 (Profit) – Rs. 5,840 (Electricity bill) + Rs. 7,920
(Discount as free 2 600ml bottles with 2 packs, so profit = Rs.
4 4 p e r d a y, R s 1 , 3 2 0 p e r m o n t h , f o r p e e k s e a s o n R s . 3 9 6 0 ( R s .
1320*3) & for whole year (Rs. 3,960 + Rs. 3,960 (for next 9
months)) = Rs. 7,920) = Rs. 16,480

This amount of profit is on only 2 2lt packs & it will surely

increase if he sells complete product range.

Any other quandary- If the retailers are having any problem

we provide them with best optimal solution.

Example- If he doesn’t have display item we will provide him

with display racks, hangers, wall paintings etc.
S u s t a i n r e l a t i o n s - We a s s u r e h i m t h e g o o d s u p p l y o f s t o c k a n d
g o o d s e r v i c e q u a l i t y t h a t w i l l b e p r o v i d e d b y t h e c o m p a n y. We
take his contact no. and address for delivery of goods and for
further references.

5 . 8 : PA R A P H E R N A L I A US E D :

1. Profit story (P 46)

2. The Sales presenter (Appendix 3).
It is the most important tool, as it contains all the
inform ation related to different models, activation
standards, shelf order standards, activation standards,
b r a n d o r d e r, c o o l e r s p e c i f i c a t i o n s , e n e r g y m a n a g e m e n t
system & profit stories.

3. Schemes & discounts.

4. Display coolers (VISI-COOLER).
5. Point of sale material (POSM).
6 . R e f r i g e r a t o r s ( O YA r e f r i g e r a t o r s a t d i s c o u n t e d r a t e , t h u s
b e c o m e s r e t a i l e r ’s p r o p e r t y, O YA – O w n Yo u r A s s e t s ) .
7 . D i s p l a y t o o l s ( h a n g e r s , r a c k s , p o l e h e a d e r, p o s t e r s , e t c , ( I n
Appendix 3)
8. Ice box
9. For some retailers or areas before approaching we have to
b e w e l l p r e p a r e d & t a c k l e t h e i r p r o b l e m s w i s e l y.
10. Follow up- It plays a very important role of sales
promotion as we observe in the market that some retailers were
c o n f u s e d , a n d t h e y n e e d e d t i m e t o d e c i d e , i t ’s a r e s p o n s i b i l i t y
t o f o l l o w t h e m u p p r o p e r l y. We a p p r o a c h t h e m a g a i n a n d a g a i n
and solve their problem each time.
11 . Q u e s t i o n n a i r e s ( A p p e n d i x 1 ) .
1 2 . Tr a c k e r f o r n e w & e x i s t i n g o u t l e t s ( A p p e n d i x 2 ) .
5 . 9 : I N TA N G I B L E E L E M E N T

In this element we make sure the availability of the product to

t h e r e t a i l e r, t o d o t h i s w e h a v e t o i n f o r m t h e r e s p e c t i v e
salesman of that particular area about the outlets location, and
thus stock required. I also make sure that the product must be
delivered on time at the outlet.

To i n c r e a s e s a l e s o n t h e e x i s t i n g o u t l e t o r n e w o u t l e t s w e h a v e
to adopt vertical expansion strategy (VMS), IN VMS there are
3 tools used,

• Pre sell- B y this demand of the stock b y a particular retailer

is calculated and required stock is provided at the outlet,
within time.
• PJP (PRE JOURNEY PLANNER) – We make a time
schedule for approaching the outlets for delivering the
product.
• R.E.D- Right Execution Daily is the survey method that
company started e a r l i e r. For the survey of R.E.D.,
Company had hired the people from A.C. NIELSON one
o f t h e b e s t s u r v e y c o m p a n y. T h i s s u r v e y g e t s d o n e o n c e
or twice a month. R.E.D is the set of norms divided into
outlet wise.

5.9.1: About the R.E.D survey

The survey has being conducted to check the cooler

management, availability of products, displays etc. in
short to cross check ground level work of related
employees of Coke.

CHAPTER - 6
 INTRODUCTION TO STUDY

6.1: PURPOSE OF THE STUDY

The study was carried to gain an insight about the perception

of the retailers about the company and to study various factors
w h i c h d i r e c t l y o r i n d i r e c t l y i n f l u e n c e t h e s a l e o f t h e c o m p a n y.

6.2: OBJECTIVES OF THE STUDY

• To i d e n t i f y t h e n e e d s a n d w a n t s o f b o t h t h e r e t a i l e r s a n d
dealers and how well are they being managed by the
c o m p a n y ’s a n x i o u s a u t h o r i t i e s .
• To f i n d o u t v a r i o u s r e a s o n s w h i c h a r e c r e a t i n g s t u m b l i n g
block in market expansion.
• To identify the wakefulness of the brand and the
c o m p a n y ’s p r o d u c t s i n t h e m a r k e t .
• To f i n d o u t t h e g r a t i f i c a t i o n l e v e l o f c u s t o m e r s a n d
problems faced while doing business with Coke.

6 . 3 : W O R K AS S I G N E D

The work assigned was to analyze and enhance the market

opportunities for Coca Cola in Ghaziabad, by creating
awareness to retailers about the brand value, profit ratio and
to find out the factors which are creating hurdle in its
expansion.
6.4: OBJECTIVES OF THE WORK

6.4.1: Primary Objectives:

The prime objective was to analyze and enhance the market

opportunities for Coca Cola in Ghaziabad.

6.4.2: Secondary Objectives:

• To f i n d t h e r e a s o n s f r o m t h e r e t a i l e r s f o r n o t s e l l i n g
Coke products.
• To create awareness among new retailers about the
c o m p a n y, b r a n d v a l u e , p r o d u c t l i n e & p r o f i t r a t i o .
• To f i n d o u t t h e r e a s o n s b e h i n d t h e i r u n a w a r e n e s s .
• To f i n d o u t n e w w a y s t o m a k e t h e m a w a r e a b o u t d i f f e r e n t
offers.
• To m a x i m i z e t h e m a r k e t s h a r e o f C o k e i n G h a z i a b a d
region by making agreements with new dealers &
retailers.
• Ratio of exclusive type of outlets selling different
brands.
• Tr y to form & convert existing outlets as Coke
Monopolists by explaining them the profit story and
providing them with special discounts & schemes.
• To f o r m u l a t e t h e s t r a t e g i e s f o r t a r g e t i n g t h e r e t a i l e r s
e f f e c t i v e l y.

.
CHAPTER - 7
 RESEARCH METHODOLOGY

Ty p e o f r e s e a r c h : Exploratory and descriptive Research

Ty p e o f d a t a c o l l e c t e d :
1. Primary data
2. Secondary data

• Research instrument: Printed Questionnaire was used

as the research instrument to collect the required
information.
• Area of s u r v e ys : The survey was conducted in
d i f f e r e n t l o c a t i o n o f G h a z i a b a d c i t y.

1. Primary data collection methods–

• General observation method-

• The retailers were observed to have an insight about the
mindset and preference for a particular brand.

• Personal interaction method-

I made interactions with some retailers during market
s u r v e y, w h o w a n t t o g i v e s o m e e x t r a i n f o r m a t i o n o t h e r
than questionnaire and who were busy and not ready to
fill the questionnaire. This was conducted without the
help of any questionnaire. The objective was to draw a
general understanding about their problems, performance
o f t h e d i s t r i b u t e r, t h e i r p r e f e r e n c e s a n d o t h e r u s e f u l
information. This technique helped to clear doubts
arising due to observation method.
• Questionnaire method-
Questionnaire was divided in two parts. First part was
for exiting retailers (customers). The other part was for
new retailers. The basic aim of both was to analyze the
p s y c h o l o g y, n e e d & w a n t s o f r e t a i l e r s .

2. Secondary data collection methods-

Secondary data was collected from various websites –
Coca Cola India, Beverage Marketing Corporation,
Canadean, Beverage Digest, Myenjo yzone, from company
r e c o r d s a n d d a t a o f A C N e i l s o n ’s r e s e a r c h e t c . t o h a v e a
comprehensive knowledge about the beverage industry
and Hindustan Coca Cola Beverages Pvt. Ltd.

Tim e dimension:

The time dimension of the study was approximately 8

weeks as provided by the institute guidelines during
summer training period.
Sampling unit:

The retailers of Grocery shop, E & D, Convenience shop,

Medicine store and Juice corners was selected from
different places of Ghaziabad.

• Sampling size: 550 Outlets.

• Sampling procedure: As Coke has mainly three

types of modules of customers as:-
Grocery store, Convenience store & E&D with
different grades so sampling size was divided
according to area, type of store & VPO of the
store.

• Sampling method: Data were collected by retailer

s u r v e y. T h e r e t a i l e r s w e r e d i r e c t l y c o n t a c t e d a n d
i n t e r v i e w e d a t t h e i r r e t a i l c o u n t e r.
CHAPTER - 8
FINDINGS & ANALYSIS

S TAT U S O F O U T L E T S C O V E R E D F O R S A M P L E S I Z E

Out of sample size of 600 - old retailers were 350 and new were
retailers 250.

8 . 1 : Q U E S T I O N N A I R E F O R EX I S T I N G R E TA I L E R S

Q1. Name of Outlet:

Q2. Location:
For first part of survey(existing retailers) location was decided
according to sales; (data from Hindustan Soft Drinks) area
having more sales was given more part of sample size for
existing outlets, in order to understand the psychology of
existing outlets as shown in Figure 9.

Q3. Life span of business:

Q 4 . To t a l s a l e p e r d a y :

Q 5 . C r i t e r i a n o . ’s ( 7 c r i t e r i a ’s f o r a n e w o u t l e t ) o f t h e r e t a i l e r :

Q 6 . Typ e o f O u t l e t :

Each route under HSD was analyzed with delivery van &
complete knowledge about the area was taken from
respective market developer of each area. So,
distribution of sample size for type of outlets (existing)
 was according to the route plan of delivery vans as
shown in clear in Figure 10.

As clear from graph of existing outlets the most of the outlets

we approached are Grocery stores, E & Outlets and
Convenience stores. It makes clear that Coke is having very
less business with Medical stores & Juice corners. So, this part
of market needs more attention. There is huge potential is this
a r e a s o m u s t b e t a r g e t e d e f f e c t i v e l y.

E & D existing outlets covered were 71 as 53 were E&D 1 &

18 E&D 2.

It signifies that company is lacking in sales for E&D 2.

Q7. Deal with beverages, packaged juices and packaged water:

Q8. If yes, which brands?

 Q 9 . R e t a i l e r s V P O ( Vo l u m e P e r O u t l e t )

Q10. How often do u order?

Q 11 . R e a s o n s f o r d o i n g b u s i n e s s w i t h C o k e

Q12. Problems faced while doing business with Coke.

 C ro s s t a b u l a t i o n of Q 2 ( L o c a t i o n ) & Q 4 ( S a l e p e r d ay )
 Sale per day of Coke (Rs)
S. Location & < 251 - 501 - 751 - 1001 >
250 500 750 1000 1250 1251 To t a l
No No.of outlets
Govindpuram
3.37 1 0 . 11 22.47 23.60 25.84 14.61 100
1. (89)
Kavi nagar
% 2.66 12 21.33 10.67 37.33 16.01 100
2. (75)
Rakesh Marg 9.68 41.94 14.51 9.68 17.74 6.45 100
Wi
3. (62)
Ghantaghar th 27.90 51.16 16.30 0 4.64 0 100

4. (43)
10 23.33 16.30 0 23.33 26.67 100
Dadri Road
5. (30) 40 10 30 0 20 0 100
Gandhi Nagar
In 21.05 31.58 21.05 15.79 10.53 0 100
6. (10)
Mali wada
36.36 31.82 0 22.73 9.09 0 100
7. (19) Th
ShastriNagar e
8. (22)

Lo
cat
ion

To t a l ( % / 1 0 0 * N o . f o r (appo
each one & them of all) 42 86 62 41 77 34 x)350

Ta b l e 1 : C r o s s t a b u l a t i o n o f L o c a t i o n & S a l e o f C o k e .

I N T E R P R E TAT I O N

Above table shows the relationship between the average sales

per day and the location & No. of outlets. In my sample of 350
existing outlets, I found that all the outlets are not evenly
distributed in case of sales in a particular area and income
level of different retailers of different areas varies a lot. It is
also clear that sale per day of Coke in maximum outlets
covered in our area is between Rs.1001 – 1250.
  C ro s s t a b u l a t i o n o f Q 6 ( Ty p e of o u t l e t ) & Q 11
(Reasons for doing business with Coke).
Reasons for doing business with Coke
S. Ty p e o f
No Outlets B BS HD GS HP GQ AO
Grocery
79.50 29.58 84.50 54.93 44.36 78.87 47.89
1. Stores(142)
Medical %
16.67 0 33.33 16.67 0 0 0
2. Stores(6)
E & D
Withi 85.14 24.32 48.65 74.32 29.73 78.38 66.21
3. Outlets(71)
Convenience n
75 38.28 88.28 57.80 29.69 76.56 60.93
4. store(128)
Juice Ty p e 33.33 0 0 0 0 0 0
5. Corners(3)
Of

Busin
ess
To t a l ( % / 1 0 0 * To t a l N o .
for each one, then sum of 274 109 271 208 123 268 198
all).

Ta b l e 2 : C r o s s t a b u l a t i o n o f Ty p e o f o u t l e t s & R e a s o n s f o r d o i n g
business with Coke.

B - Brand value, BS – Better scheme, HD – High demand, GS –

Good Supply, HP – High profit, GS – Good Service Quality, AO –
Any Other
 I N T E R P R E TAT I O N

From this table it is clear that maximum retailers want to do

business with Coke because of Brand value, High demand and
G o o d s e r v i c e q u a l i t y. I t a l s o s h o w s t h a t : -

• The major reasons for keeping Coca Cola products by

grocery store are brand value, high demand and good
service q u a l i t y, but less population is satisfied with
schemes and discounts provided by c o m p a n y. After
analysing market it was found that Pepsi is providing more
schemes and discounts as compare to Coke.

• Sale of products in Medical stores is very less so huge

potential is there. Company should make effective schemes
to motivate them to sell their products.

• The major reasons for selling Coke products by E & D

o u t l e t s a r e B r a n d v a l u e , D e m a n d a n d G o o d s u p p l y q u a l i t y.

But after analyzing the E & D outlets E & D type 1

a r e 5 3 a n d t yp e 2 o n l y 2 1 . E & D t y p e 2 o u t l e t s
were selling more Pepsi as company is providing
them selling assets like chairs, tables, racks etc
• After studying Convenience store market it came to know
that this sector was most satisfied and they are enjo ying lot
of reasons for doing business with Coke.

• If discussing Juice corners, Coke is having very less reach

to them. There is a major gap which needs to be bridged.

In Ghaziabad this is sector is almost untapped so, lot of

potential to increase business is there.
  C ro s s t a b u l at i o n of Q 2 ( L o c a t i o n ) & Q 1 2
( P ro b l e ms f a c e d w h i l e d o i n g b u s i n e s s w i t h
Coke).
Ta b l e 3: Cross tabulation of Location & Problems faces while doing
Problems faced while doing business with Av g .
Coke (Sum
S. Location of
of all /
No outlets
TF SM SA DO CI DM AO No.)
.
Govindpuram
1. (89) 25.84 7.87 14.60 62.92 48.31 70.78 30.33 2.93

Kavi nagar %
2. (75) 22.67 8 18.67 25.33 46.67 30.67 46.67 2.65

Rakesh Marg
3. (62) W 40.32 27.4 11 . 2 9 37.09 61.29 58.06 61.29 4.79

Ghantaghar ith

4. (43) 44.18 18.6 6.97 34.88 62.79 13.95 37.20 5.08

Dadri Road In

5. (30) 6.67 3.33 0 23.33 23.33 70 56.67 6 . 11

Gandhi Nagar The

6. (10) 0 0 40 0 50 40 20 15

Nehru Marg L

7. (19) ocat 21.05 10.5 0 31.57 47.36 0 57.89 8.86

Shastri ion

8. Nagar(22) 27.27 0 13.63 31.81 18.18 0 40.90 6

To t a l ( % / 1 0 0 * N o . f o
reach one & them of all) 96 41 71 133 168 144 155

business with Coke

I N T E R P R E TAT I O N
1. From the above cross tabulation it is clear that Gandhi
Nagar is facing more problems while doing business with
Coke followed b y Nehru Marg & Dadri

2. It also reveals the fact that most common problem is,

complete information & daily schemes. According to
retailers delivery men were not providing them the complete
information.

3. As distribution is indirect and sometimes there is shortage

from plant too, daily in orders becomes trouble for
retailers.

4. As clear from the table that most common problem faced by

retailers is, complete information & daily schemes. The
reasons were that as schemes were changing daily and no
written notice comes from concerned authorities they have
no choice other than to ask delivery man about the schemes
& have to believe on him up to a great extend.

Any other problem s are as:-

• Retailers want credit facilities.

• Mode of payment.

• S e r v i c e o f Vi s i c o o l e r s .

• Size of cooler not in proper ratio with sales.

 • Busted Bottle replacement conditions.

• B . T. C ( B e l o w t h e c r o w n ) o f f e r s : -
R e t a i l e r s w e r e n o t s a t i s f i e d w i t h t h e B . T. C o f f e r s , a s
retailer has to pay on spot its customers the discount
u n d e r B . T. C a n d c o m p a n y w a s t a k i n g l o t o f t i m e t o p a y
them back and even sometimes they were not accepted by
company as they come with short life period. Loss due to
delay in collecting and submitting those crowns in
company which is the duty of sales man has to be
u n w i l l i n g l y b e a r b y t h e r e t a i l e r. P r o b l e m b e c o m e t e r r i b l e
w h e n a c u s t o m e r d e m a n d s a g i f t m e n t i o n e d u n d e r B . T. C .

• Policies made for Schemes and discounts:-

While doing first part of my survey that was to analyze
existing retailers an important fact came to my notice that
schemes and discounts were not fixed i.e. they change
frequently and sales man were taking undue advantage of
t h i s p o l i c y.

• Ti mi ng and frequenc y of van: -

It was most common problem of retailers of Ghantaghar and
Rakesh Marg. The reason was that delivery vans of these
two areas were of less capacity and the area is also
congested. These factors become problem for the delivery
m e n t o r e a c h e v e r y r e t a i l e r i n s a m e d a y.
 But if we discuses Shastri Nagar and Govindpuram, these
two areas are largest areas under Hindustan Soft Drinks
(HSD), thus becomes difficult for the delivery van to cover
w h o l e a r e a i n o n e d a y.
Moreover problems become worse when demand of soft
drinks is high and delivery van becomes empty before
covering the whole area.

• Few retailers did not also like the behaviour of Sales man.

Depth of problem s in different areas. Figure 13

8 . 2 : Q U E S T I O N N A I R E F O R N E W R E TA I L E R S

Q1. Name of Outlet:

Q2. Location:

Q3. Life span of business:

Q 4 . To t a l s a l e p e r d a y :

Q 5 . C r i t e r i a n o ’s

Q 6 . Typ e o f O u t l e t

Q7. Reasons for not doing business with Coke?

Suggestions, if any:-
 F i n d i n g s - Q 2 & Q 6 - L o c a t i o n & Ty p e o f o u t l e t .

For distribution of the sample size for new location & new
outlets it was decided that the area & type of outlets which
were giving less sales must be having more part of sample
size, in order to smudge the reasons for less sales in particular
area and type of outlet.
 C ro s s tabulation of Q6 ( Ty p e of o u t l et ) & Q7
( R e a s o n s f o r n o t d oi n g b u s i n e s s w i t h C o ke ) .

Reasons for not doing business with Coke

S. Ty p e o f
Outlet NA LD P CP C DS L N AO
No
Grocery
Store (42) % 35.7 0 28.5 64.2 32.4 59.5 0 0 19.0
1.
Medical 1 7 9 8 2 5
Store (70) W
2.
44.2 77.1 42.8 40 38.5 4.28 0 44.2 0
E & D ith
9 4 6 7 9
Outlets (52)
3.
Convenience In
53.8 0 21.1 32.6 0 63.4 0 0 23.0
Stores (41)
4. 5 5 9 6 7
Juice T
Corners(45) ype 29.2 0 34.1 19.5 0 53.6 0 0 14.6
5.
Of 7 5 1 7 3

Busi 22.2 62.2 37.7 82.2 15.5 6.67 28.8 73.3 51.1

ness 2 2 8 2 6 9 3 1
To t a l ( % / 1 0 0 * To t a l
No. of outlets, then sum 96 82 84 11 7 48 86 13 64 49
of all).

Ta b l e 4 : C r o s s t a b u l a t i o n o f Ty p e o f o u t l e t s & R e a s o n s f o r n o t
doing business with Coke

NA – Never approached by the company, LD – Less Demand, P – Profitability,

CP – Company Policies, C – Competition from nearby outlet, DS – Distribution
System, L – Lack of space in shop, N – Non Suitability, AO – Any other.
 I N T E R P R E TAT I O N

The reasons for not doing business with Coke were segmented
into 9 major factors. The major reason was that retailers were
not satisfied with company policies as clear from the table too.
A major factor is:-

• Selling Goods Assets (SGA).

It means those assets which help a retailer to sell goods. As
refrigerator was an important SGA for a retailer and every
retailer was demanding it, so it was becoming impossible for
t h e c o m p a n y t o s a t i s f y n e e d o f e v e r y r e t a i l e r.

• Second major factor was company never approached and according

to company too, they have only covered 13% FMCG outlets, while
FMCG giant HUL has covered 82% FMCG outlets. Thus lot of
scope for company to expand business.

• Thirdly in Ghaziabad distribution is indirect (manufacturer to

dealer then to market), and retailers have commented a lot on this
factor and effect of this is shown in table too.

• Fourthly Coke is providing less commission, schemes and

discounts as compare to its follower Pepsi and retailers are only
interested in profit.
• Non suitability was another factor as medical stores and juice
corners were resisting for doing business with Coke. Company
need to make special policies to tab this untouched market.

• Any other factors include:-

• Providing selling good assets (S.G.A) to retailers

at the initial stage was impossible for the company
s o t o s a t i s f y n e e d s o f e v e r y r e t a i l e r, c o m p a n y g i v e s
the priority level to them, which depends on
location, sale of products etc.

• The major reason for not entering in soft drink

sector by grocery store is that they find lot of
problem when customers take R.G.B bottles and
don’t return them back.

• Lack of knowledge about the product line.

 C ro s s t a b u l a t i o n of Q 2 ( L o c a t i o n ) & Q 3 ( L i f e
span of business).
L i f e s p a n o f b u s i n e s s ( Ye a r s )
S. Location of To t a l
No outlets <1 1-3 >3-5 >5-7 >7-9 >9
Govindpuram %
1. (20) 0 20 35 30 0 15 100
Kavi Nagar
4.34 30.43 17.39 0 0 0 100
2. (23)
With
Rakesh Marg
0 12 36 52 0 0 100
3. (25)
Ghantaghar 0 3.7 44.44 51.85 0 0 100
4. (27)
Dadri Road 23.07 19.23 11 . 5 3 46.15 0 0 100
In
5. (39)
0 9.09 21.21 39.39 30.30 0 100
Gandhi Nagar
6. (33) 2.70 40.54 45.94 0 0 10.81 100
Nehru Marg
7. (37) The 28.26 45.65 13.04 0 13.04 0 100
Shastri Nagar
8. (46)

Loca
tion
To t a l ( % / 1 0 0 * To t a l (appr
No. of outlets, then sum 24 61 67 64 16 4 250

of all).

Ta b l e 5 : C r o s s t a b u l a t i o n o f L o c a t i o n & L i f e s p a n o f b u s i n e s s .
 I N T E R P R E TAT I O N

It is clear that there is huge potential for the company to

expand its business as lot of market is intact. Company should
first find out the reasons why this market remain untouched
and then extend its product line to these untouched retailers by
providing better guidance to sales people and by providing
lucrative schemes to these retailers.
 OTHER GENERAL FINDINGS

• Pricing of products as - 200 ml for Rs. 8 & 600 ml for Rs. 22.
It becomes difficult for the retailer to pay back the balance
m o n e y.
• C o m p e t i t i o n w i t h l o c a l d r i n k l i k e - F r u i t j u i c e , l e m o n w a t e r,
sharbat, lassi & tea.

• Competition with local drink brands like- Jayanti, Lijjet, Prem

ji in small areas.
• Most of retailers are having problem with timing and
frequency of van. Dealers should increase the frequency or add
more vehicles were required.

• I m p u r i t y o f C o k e Vi s i c o o l e r s .

• Brand order is not maintained in coolers.

• The marketing strategy of Coca-Cola is better than its main
c o m p e t i t o r.

• The sales promotion techniques like- discount to monopoly

retailers & schemes on products is better than the competitors.

• The market share of Coke products is higher than the other
products.
• Thums-up is the leading brand of Coca-Cola in different
regions.
• S a l e o f a p r o d u c t i s l a r g e l y b a s e d o n d i s p l a y.
• Company investing more focus now in retailers of rural areas.

• Aggressive advertising campaigns of Coca-Cola in Ghaziabad

helped it lot to increase its sales.

• I found the proper display of products in racks & in coolers.

• Sales of Coke are increasingly rapidly in Ghaziabad market

w h e r e I d o w o r k s t u d y m o s t l y.
• Retailers play an important role while selling products as they
can divert the desire of a customer by providing same thing of
other brands.
• F o u n d m a n y g o o d o u t l e t s t h a t w a n t Vi s i c o o l e r s f r o m c o c a -
cola.
• Also found dead & useless coolers.
• Some retailers complain about the service & repair of coolers.
• Retailers want if company want to change schemes daily
delivery people should come with written orders from
concerned authorities as they fell they are cheated.
• The most popular flavour in the market is Thums Up.
• From the Coca-Cola products Thums Up and the Pepsi
products Dew is the highest selling in the market.
• Coca-cola is the market leader in overall market.
• In the case of the packaged drinking water Aquafina
(Pepsi) is selling more than Kinley (Coke).
• I have found that a retailer gives more preference to the
Coca-Cola products like Thums-Up, Mazaa, Sprite,
Limca and Fanta.
• Minute Maid, pulpy orange is sellable more in Kavi
Nagar market.
• If discussing schemes & discounts, Pepsi is providing
more schemes than the Coca-Cola.
• S a l e s h a v e i n c r e a s e d a f t e r l o c a t i n g Vi s i c o o l e r o u t s i d e o f
outlet.
• The companies’ new concept pre-sale is welcomed in
market
• F e w r e t a i l e r s d o n o t g e t t h e c o m p a n y ’s a c t u a l s c h e m e .
• Products are sold out of assigned areas by distributors in
order to increase sales.
• If retailers complaints regarding discounting & trade
s c h e m e t h e n t h e y a r e n o t r e s p o n d e d p r o p e r l y.
• There is a communication gap in distribution channel so
retailers are not getting advantages of discounting &
trade scheme.

Exclusive outlets found during s u r v ey on

existing outlets:

Figure 16: Exclusive outlets

D i f f e re n t t y p e s o f o u t l e t s s e l l i n g d i f f e re n t b r a n d s

Figure 17: Different types of outlets selling different brands

CHAPTER - 9
 LIMITATIONS, SUGGESTIONS
& CONCLUSION

9 . 1 : L I M I TAT I O N S

• T h e s t u d y w a s r e s t r i c t e d t o 8 r e g i o n s o f G h a z i a b a d o n l y, w i t h
sample size of 550 (350 new outlets & 200 new outlets) so, the
i n t e r p r e t a t i o n s & f i n d i n g s a r e a c c o r d i n g l y t o i t o n l y.
• The time period of 2 months was the major limitation.
• Due to the financial and time constraints the study was not
able to include more retailers.
• To c o n v i n c e t h e r e t a i l e r f o r a p r o p e r i n t e r v i e w i n g p r o c e s s w a s
also difficult.
• Retailers some time give wrong data.
• The reluctance on the part of the retailers was also a major
setback.
• The analysis of project was based on observations and
i n t e r p r e t a t i o n o n t h e b a s i s o f s a m p l e s u r v e y.
• Another limitation could be lack of knowledge. Being a
student I undertake this project as a learning experience. I
have made many mistakes and then learned from them. I have
tried my best to be as authentic and as accurate as possible in
the research analysis taking the help of my project mentor on
relevant primary and secondary data.

• The secondary data was not easily available.

 • Limited knowledge of the researcher in the field of research
may lead to interpretation errors.

• Certain retailers were not comfortable divulging the figures

and data, as they want to keep it confidential.
• T h e r e s p o n d e n t s m a y b e b a s e d o r i n f l u e n c e b y o t h e r f a c t o r.
• A busy schedule of dealers/retailers had made my collation of
information very difficult.
• The projection is purely based on verbal meetings and may be
influenced by unprecedented factors.
• Non-co-operative behaviour of respondent was a big problem
in this survey & it is the important fact which should be taken
into consideration.
• The minor concept & techniques at the marketing management
are used significant in the project concern.
• The research was based on primary collection of data so there
may be chances of human error and biasness.

9.2: SUGGESTIONS

• T h e c o m p a n y s h o u l d m e a s u r e r e t a i l e r s ’ s a t i s f a c t i o n r e g u l a r l y.

• Company can increase the sales if it will consider more on

retailers, their suggestions or complaints about service and
product so that necessary actions can be taken.

• Review meeting should be often held so that the working

pattern of the sales people can be checked and improved if
needed.
• Company representatives should visit retailers and should make
a long-term liaison with retailers so that they can push the
product.
• Since brand value of Coke & expectation of retailers from this
brand is high, as the brand image shows their quality is
supervene so the company should also take feedback time to
time. B y this they can maintain their brand loyalty in their
customers.
• Distributers should be convinced to pass the incentives to the
retailers so that they are motivated to promote this brand.
• Increase the number of dealers and retailers as this will help in
making high sales volume.
• Cash discount should be given &it should be competitive and
luring.
• Tr y t o m a i n t a i n t h e g o o d i m a g e o f t h e m o n o p o l y o u t l e t s i n
market by developing the image i.e. by glow boards, sign
b o a r d s , a n d p o i n t o f s a l e m a t e r i a l ( P. O . S . M ) a n d b y p r o v i d i n g
good quality services. By this the monopoly of the retailer will
continue and it will promote other retailers to adopt Coke
m o n o p o l y.
• Company should also attain to small outlets so that there sales
can increase.
• C o m p a n y s h o u l d d i v e r s e i t s b u s i n e s s i n r e l a t e d p a r t s o f F. M . C . G
sector like-Ice creams, butter & chocolates as company has well
e s t a b l i s h e d s ys t e m s i n e v e r y.
• Now company should launch new taste of soft drinks like
recently launched Minute Maid & also launched new product in
another flavours.
• Company representatives should search new areas for increase
in sales.
• In winter Season company gives more discount & schemes to the
retailers so they sell more our product.
• Company must make aggressive & new strategies to fight with
major competitors and local cold drinks brands.
• Company should promote new dealers.
• If possible try to give more discounts and schemes were ever
required.
• Supply and distribution system should improve in the
areas like Ghantaghar and Rakesh Marg.
• The company should work out in their complaints
r e g a r d i n g t o t h e Vi s i c o o l e r.
• Company should give proper schemes to the outlet.
• T h e r e f r i g e r a t o r p u r i t y s h o u l d b e g i v e n t h e p r i o r i t y.
• Overall services should be improved for getting more sales
a n d t o c o n t i n u e t o b e t h e m a r k e t l e a d e r.
• P r o p e r u s a g e o f P. O . S . M m a t e r i a l .
• Company should take the problem of “cut off rates
seriously”.
• Coca-Cola should be written on florescent boards
displaying location and distances on road.
• Illegal distribution done by some distributors should be
minimized.
9.3: CONCLUSION

Ever ything in this world is made to utilize properly but

it should be reach at the proper person or to the proper
utilized areas. Otherwise the value added to those things
became in vein.

As there is a proverb:-

“ F a r f ro m e y e , f a r f ro m h e a r t ”

Thus marketing role plays a ver y important role in

a c h i e v i n g t h e o b j e c t i v e s o f a c o m p a n y. U n d o u b t l y, v a l u e
utility is created by the manufacture of product or
service but time and place utilities are created by
m a r k e t i n g r o l e . A c c o r d i n g t o D r u c k e r, “ B o t h t h e m a r k e t
and the distribution channels are often more crucial
than the product”.
They are primary: the product is s e c o n d a r y. In an
economy like that of India, where marginal shortages can
lead to disproportion, distortion in prices, a dependable
and efficient distribution system is ver y much essential.
The distribution system creates a value added to all most
all products.

All from the above study not withstanding its restricting

efforts Pepsi is still far away with its great competitor
like Coke.
CHAPTER - 10
 SIGNIFICANCE OF STUDY

1 0 . 1 : To t h e re s e a rc h e r :

• It gave a chance to use the conceptual knowledge in actual

environment and prepares the researcher to use the knowledge
for better in his future endeavours.
• It helped in the assessing the factors, which influenced the
retailers purchasing and selling products to the consumer from
Coca-Cola.
• The study is essential for the researcher in partial fulfilment
of PGDM curriculum. The study gave the researcher the
e x p e r i e n c e s t o c o n d u c t s u r v e y.

1 0 . 2 : To t h e c o mp a n y :

Cold drinks companies are facing a great competition

nowadays. Consumers are ver y much aware and curious about
safely products, services, brands and other upcoming products.
This study provides an insight to the company that what kind
of strategies must be adopted in order to sell more products to
consumers and also satisf ying them.

1 0 . 3 : To t h e o t h e r s :

The study gave an insight into various aspects of the Beverage

c o m p a n i e s , d i s c u s s e d i n t h i s s t u d y. O n e c a n e a s i l y c o m e t o
know about what is happening in Beverage companies in the
current environment. How they make attraction of Retailers &
consumer mind.

CHAPTER - 11
 ACHIEVEMNTS IN TERMS OF SALES
FOR THE COMPANY.

In two months of summer training work I receive an exclusive

live project work. While doing survey we were told to expand
market share of Coke in area under the Hindustan soft Drink
(HSD) the leading distributer of coca cola in Ghaziabad. Their
p r e v i o u s a c h i e v e d s a l e s w e r e 3 . 2 0 l a k h ’s c a s e s p e r y e a r.
A current target average sale for them b y company is 3.5
l a k h ’s c a s e s .

11 . 1 : M O D E L S A N D W O R K I N G F O R M AT S

These were made clear to us before working on this live

project and they are as:-

• S E G M E N TAT I O N M O D E L : - A p p e n d i x 3

• P I TA MODEL: - Population (number of shoppers or

consumers in given universe) + Incidence (% of population

that buy our product) + Transaction size (amount in volume
bought per transaction) + Avg. Profit (amount of profit in
value per transaction).
Appendix 3

• Wo r k i n g f o r m a t f o r n e w a n d e x i s t i n g o u t l e t s .
 Appendix 2
Va r i o u s q u e s t i o n s w e r e a s k e d f r o m b o t h n e w a n d e x i s t i n g
retailers as mentioned in format.

11 . 2 : T H E 3 A’ S S T R AT E G Y WA S F O L L O W E D : -

This strategy is for increasing numbers of retailers and is

based on the belief that consumers will buy our products it
t h e y a r e Av a i l a b l e , A f f o r d a b l e a n d A c c e p t a b l e .

T h e 3 A’s i s C o c a - C o l a u n d e r l y i n g s t r a t e g y f o r m e e t i n g i t s g o a l
t o r e a c h i n c r e a s i n g n u m b e r s o f c o n s u m e r ’s . H o w d o e s C o k e
position its limited resources to help meet its best. A brief
e x p l a n a t i o n o f t h e s e 3 A’s i s a s f o l l o w : -

Av a i l a b i l i t y : -
S o m e o f t h e w a ys i n w h i c h t h e C o c a - C o l a C o m p a n y h o p e s t o
increase availability of its product include improved or
innovative packaging, dispensing systems, distributions
system, and marketing.

Affordability:-
T h e w a ys t o a d d r e s s a f f o r d a b i l i t y i n c l u d e p r i c i n g d e c i s i o n s , a s
w e l l a s r e s o u r c e m a n a g e m e n t . To m a k e i t s p r o d u c t a v a i l a b l e a t
a p r i c e a f f o r d a b l e t o t h e c o n s u m e r. C o n t i n u a l l y p r o c e s s e s m o r e
efficient and therefore more cost-effective.

Acceptability:-
Making Coke brand and its product line the beverage choice
for any occasions depends on a variety of strategies to reach
 the target audience. The common strategies bespoke to effect
acceptability were though sponsorships, promotion youth
market activities, community programs, and other activates.
11 . 3 : W O R K I N G M E T H O D O L O G Y

11 . 3 . 1 : R o u t e v i s i t : -

• We v i s i t e d t h e r o u t s w i t h t h e d i s t r i b u t e r ’s v e h i c l e w h e r e t h e
distributer supplies the products.
• I observed the display norms for outlets in all route & each
type of outlet.
• Every morning I went to one corresponding route & observed
all techniques of selling product to retailers by coca-cola
salesman & also try to know the mentality of the consumers
and retailers.
• I visited all routes under HSD with delivery man and market
developers of respective areas.
• Wi t h t h i s w o r k I t a k e i n t e r v i e w r e t a i l e r s a s k t h e m a b o u t O YA
refrigerators, visi coolers & display items.

11 . 4 : F O C U S O N AVA I L A B I L I T Y O F P RO D U C T S I N
O U T L E T.

There is big difference between the availability of products in

market & outlets. Coca-Cola want that their product displayed
in each outlet in market so, it is important that the product
first available in market after than it put on outlets.
 11 . 5 : F O C U S O N V I S I B I LT Y O F C O K E P R O D U C T S
IN OUTLETS.

• The aim of coca-cola is that its product should be visible for

the customers so company gives to retailers racks so many
display items.
• N o w d a y s t h e c o m p a n y i s g i v i n g Vi s i c o o l e r s t o retailers for
visible their chilled product in market for more sales.

• Extra focus was given on monopoly outlets and Pre selling

concept.

11 . 6 : A C H I EV E M E N T S .

I o p e n e d 2 7 n e w o u t l e t s , i n s t a l l e d 4 O YA r e f r i g e r a t o r s ( O w n
Yo u r A s s e t s ) a p p e n d i x 4 , i n s t a l l e d 4 9 Vi s i c o o l e r s ( i n e x i s t i n g
& new outlets) and upgraded refrigerators of 7 outlets.

S TAT U S , E = E x i s t i n g , N = N e w . * Where
cooler size was upgraded.
O YA = O w n Yo u r A s s e t s ( R e f r i g e r a t o r s s o l d b y c o l l e c t i n g
draft).
 DADRI ROAD

S. NO. NAME OF OUTLET L O C AT I O N S TAT U S SIZE

1. Baba Hotel Lohai mandi E 9

2. Shiv Kiryana Store Chaprola E 9
3. Chawal Mill, Canteen Chaprola E 30
4. Goyal Provisional Lohai Mandi N 9
Store
5. Anju Lal kuwa N 9
6. Anupurana Lal kuwa E 20*
7. Sawati Store Lal kuwa E 20
8. Samtal -1 Dadri road E 30*
9. Lavish General Store Chaprola E 9
10. BOBY GENERAL Girdarpur N 9
STORE
11 . R A K E S H K I R YA N A Lal Kuwa N O YA

G O V I N DP U R A M

S. NO. NAME OF OUTLET L O C AT I O N S TAT U S SIZE

1. Sachin Book Depo Indergadi E 20

2. Durga Confectionary Gangapuram E 30*
3. Muskan Confictionary Gangapuram N 30
4. Santosh Dept. Store Gangapuram N 9
5. Akg College (Boys Govindpuram E 9
Hostel)
6. Rainbow Harsava N 20
7. Singhal Sweets Govindpuram E 20
8. Puja Departmental Govindpuram E 20
Store
9. Koshik Medicoach Govindpuram N 9
10. L a x m i P r o v. S t o r e Govindpuram N O YA
 GANDHI NAGAR

S. NO. NAME OF OUTLET L O C AT I O N S TAT U S SIZE

1. Snow Bell Ice Point Gandhi Nagar N 20

2. Hind Super Store Gandhi Nagar E 20
3. Dolphin Store Mms College E 30*
4. Raju Sweets Te h s i l N 9
5. Babar Sweets Te h s i l E 9
6. Raj Kumar Te a Te h s i l N 9
Stall
7. Ya d a v S w e e t s Te h s i l N 20

K AV I N A G A R

S. NO. NAME OF OUTLET L O C AT I O N S TAT U S SIZE

1. Goyal F Block E 9
2. Archna Cosmetic E Block, Nagar N 9
Nigam
3. R o h i P r o v. S t o r e K Block, Shiv N 9
Mandir
4. Setty Electronics C Block N 20
5. Gandhi F Block E 9
Communication
6. Bala Ji Cold Drink Hapur Road N _

M A L I WA D A

S. NO. NAME OF OUTLET L O C AT I O N S TAT U S SIZE

1. Kwality Store M a l i Wa d a E 20
2. Pavitra M a l i Wa d a N 9
3. New Dharm Dairy Nehru Nagar N 9
 SHASTRI NAGAR

S. NO. NAME OF OUTLET L O C AT I O N S TAT U S SIZE

1. Good Morning Shastri Nagar E 9

2. Ishu Confectionary Shastri Nagar E 9
3. S h u b h a m P r o v. S t o r e Mahindra Enclave E 9
4. S o n a P r o v. S t o r e Mahindra Enclave N 9
5. A.K Confectionary Main Road E 9
6. Lalit Pan Shastri Nagar E 20*
7. Shivam Mahindra Enclave E 30*
8. Chodhary Dept. Shastri Nagar E` 30*
Store
9. Va n d h n a P r o v. S t o r e Mahindra Enclave N O YA
10. Tirupati Balaji Mahindra Enclave N O YA

RAKESH MARG

S. NO. NAME OF OUTLET L O C AT I O N S TAT U S SIZE

1. Vi d a t r i K e n d r a Ashok Nagar E 9
2. K a m a k T h o k Vi k re t a Nehru Nagar N 9
3. Gova Confictionary Ashok Nagar E 9
4. Chacha Dish Ashok Nagar N 9
5. G o r a v P r o v. S t o r e Rakesh Marg N 20
 G A N TA G A R H

S. NO. NAME OF OUTLET L O C AT I O N S TAT U S SIZE

1. Fardeen Confectionary Ghantaghar E 9

2. Balaji Food Point Ghantaghar N 9
3. Fine Chicken Point Near Manohar E 20
Cinema
4. Prince Beauty Corner Ghantaghar N 9
11 . 6 : S O M E I M P O RTA N T P O I N T S

B e n e f i t s o f i n s t a l l i n g a Vi s i c o o l e r : -

• Attractive presentation of products.

• C o n s u m e r ’s c o n n i v a n c e s e a s i e r a c c e s s t o t h e p r o d u c t .
• Increase in sales and income. When consumer see the product
he willing to buy it.
• It fills the consumers want & willingness.
• The salespersons easily come to knows that what is in the
c o o l e r a n d w h a t w o u l d b e t h e d e m a n d o f t h e r e t a i l e r.

Benefits of install a cooler outside the outlet:-

• Larger income. More consumers will buy beverages from shop.

J O D I K TA H A I W H O B I K H TA H A I .
• Increase in selling space.
• Outside cooler arouses more consumers’ interest and increase
sales through good beverage exposure.
• Outside outlet, it enlarges the amount of consumers visiting
outlets.
• Easier access to chilled product triggers the consumers
purchase impulse.
• Effective use of shop space.
• Attractive and convenient form of beverage presentation.
• Complimentary installation and services.
 Cooler installation process:-

C o m p a n y s e t t h e c o o l e r s i n a s ys t e m a t i c w a y t h e w a y i s
following.
• To e x a m i n e t h e p r i m e p o s i t i o n o f Vi s i c o o l e r o u t s i d e t h e
outlet.

• N i g h t c o v e r f o r t h e c o o l e r.

• After establishment of the guarder than cooler set

• When cooler has been set in guarder than the price
communication on cooler tray & set the trays properly in
coolers.
• When the cooler is properly installed at outlet after it is
c h a r g e d b y C o k e p r o d u c t s f o l l o w t h e b r a n d o r d e r.
• We a l s o s e t t h e m e n u b o a r d s w i t h c o m b o o n e & d o u t l e t s .
• On small convenience outlets we put their also hanging rack.
• Set up warm display on outlets.

Benefits of setting up menu boards with combo:-

• Tr a n s a c t i o n v a l u e i n c r e a s e s ( m e a l + b e v e r a g e s ) a n d a s a r e s u l t ,

raises trade turnover and income.

• Attractive offer for the consumers.

• Combo visualization shortens c o n s u m e r ’s decision making

time.
• Chosen meals purchase suggestion makes dish preparation and
s a l e s p l a n n i n g e a s i e r.
• Seeing “saving” communication consumers perceive combo as
p r o m o t i o n a n d b u y t h e m m o r e w i l l i n g l y.
• C o m b o p r i c e i s p r o m i n e n t l y v i s i b l e t o t h e c o n s u m e r.
 Benefits of setting up hanging rack

• Easier access to product for consumers.

• Easier product merchandising.
• Product in order and visible.
• Selling space enlargement using small outlet space.
• Placed on consumers route will trigger impulse so that a lot of
consumers will buy beverages in soaps thus increasing
transaction value.

Benefits of setting up warm display

• Attractive presentation of products in coolers.

• C o n s u m e r ’s c o n n i v a n c e s e a s i e r a c c e s s t o t h e p r o d u c t .
• Increase in sales and income. When consumer sees the product
he will be willing to buy it.

• Less time spent by the shop staff in filling up the products.

• It fills the consumers want & willingness.

• Seeing “saving” communication consumers perceive display as
p r o m o t i o n a n d b u y t h e m m o r e w i l l i n g l y.
BIBLIOGRAPHY
WEBSITES
• Coca Cola India
• M y en j o y z o n e
• Beverage Marketing Corporation
• Beverage Digest

BOOKS
• C o mp a n y ’s mo n t h l y c i rc u l a r s
• A C N e i l s o n re s e a rc h p a p e r s
APPENDIX
• Questionnaires

• Work Formats

• Sales Presenter

• Drafts

• Cash Bills
 A P P E N D IX – 1
Questionnaire for Existing Outlets:

Hindustan Coca Cola Beverages Pvt. Ltd.

Disclaimer:-
This survey is being carried out to in compliance of the course curriculum of the
Summer Trainee, by filling out this questionnaire you accept and provide the
p e r m i s s i o n t o u s e t h e d a t a i n t h e s u r v e y. T h e q u e s t i o n n a i r e w i l l t a k e 5 - 6 m i n s . t o
fill out (result of the pilot test). Just tick ( ) whichever is applicable in the
appropriate questions.

Questionnaire
Q1. Name of Outlet:

Q2. Location:

Q3. Life span of business:

Q 4 . To t a l r e v e n u e p e r d a y :

Q 5 . C r i t e r i a n o . ’s ( 7 c r i t e r i a ’s f o r a n e w o u t l e t ) o f t h e r e t a i l e r.

Q 6 . Typ e o f O u t l e t
a. Grocery Store b. Medical Store c. E & D
Outlets

d. Convenience store e. Juice Corner T1

T2
Q7. Deal with beverages, packaged juices and packaged water
a . Ye s b. No c. Not all

Q8. If yes, which brands?

a. Pepsi b. Coco cola c. Parle

d. Dabur e. Any others

Q 9 . R e t a i l e r s V P O ( Vo l u m e P e r O u t l e t )

a. Coke b. Pepsi c. For

other

Q10. How often do u order?

Q 11 . I f y o u d o b u s i n e s s w i t h C o k e , g i v e r e a s o n s f o r k e e p i n g
it.
a . B r a n d Va l u e b. Better scheme

c. High Demand d. Good Supply

e. High Profit Margin f. Good Service
Quality

g. Any Other
Q12. Any problem do you face while doing business with a
Coke.
a . Ti m i n g & F r e q u e n c y o f Va n b. S a l e s m a n ’s a b i l i t y
c . S a l e s m a n ’s a t t i t u d e d. Daily in orders
e. Complete information & daily schemes
f . D e l i v e r y m a n ’s p r o f e s s i o n a l i s m
h. Any Other

Suggestions, if any:-

Signature Dated: - …/…/2009

Questionnaire for New Outlets:

Hindustan Coca Cola Beverages Pvt. Ltd.

Disclaimer:-
This survey is being carried out to in compliance of the course curriculum of the Summer Trainee, by filling
out this questionnaire you accept and provide the permission to use the data in the survey. The questionnaire
will take 5-6 mins. to fill out (result of the pilot test). Just tick ( ) whichever is applicable in the appropriate
questions.
Questionnaire
Q1. Name of Outlet:

Q2. Location:

Q3. Life span of business:

Q4. Total sale per day:

Q5. Criteria no.’s (7 criteria’s for a new outlet) of the retailer?

Q6. Type of Outlet

a. Grocery Store b. Medical Store c. E & D Outlets

d. Convenience store e. Juice Corner T1 T2

Q7. Reasons for not doing business with Coke?

a. Never approached by the company b. Less Demand

c. Profitability d. Company Policies

e. Competition from the near by outlet f. Distribution system
g. lack of space in shop h. Non Suitability
i. Any other

Suggestions, if any:-
 New Outlet Opening – 2009(Tracker)
MD / STL

Area / Location Target

/…/2009
Signature
Dated: - …

Just Tick ( )

Outlet Contact Address Distribu Criteria Pepsi Own Cooling Equipment Sells Chann Estimat Date Bill No. Date of Opening
Name No. tor NO. Chips el ed VPO
(1 To 7)
 Empty Status S.G.A

no Outlet No.Contact Location / Area Ko PEP Ko PEP OWN Type of refrigerator + Size K P O Ice Box Type
Name

New Outlet Opening – 2009(Tracker)

MD / STL

Area / Location Target

SALES
PRESENTER
DRAFTS
CASH
BILLS