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A STUDY ON THE CONSUMER BUYING BEHAVIOUR

CHAPTER - 1
1.1INTRODUCTION

Consumer behaviour focuses on how individuals make decisions to spend their


available resources like time, money, effort consumption related items. That includes what
they buy it, why they buy it, when they buy it, where they buy it, how often they buy it, how
often they use it, how they evaluate it after the purchase and the impact of such evaluations
on future purchases, and how they dispose of it.
Profits from customer relationships are the major aspect of all businesses. So the
basic objective of any business is profit maximisation through customer satisfaction. But it is
always difficult to get customer satisfaction. A customer may state his needs and wants and
yet may act otherwise. He may not be aware of his deeper motivations and may change his
mind at any stage.
In spite of such diversities among consumers there are many similarities among them.
To find these, the study of target customers‘ wants Perceptions and shopping and buying
behaviour will be helpful as it will provide the information necessary for developing new
products, prices channels of communication and other marketing elements.
In the majority of markets, however, buyers differ enormously in terms of their
Buying dynamics. The task faced by the marketing strategist in coming to terms with these
differences is complex. In consumer markets, for example, not only do buyers typically differ
in terms of their age, income, educational levels and geographical location, but more
fundamentally in terms of their personality, their lifestyle and their expectations.
Consumer behaviour is a rapidly growing field of research and teaching, in addition to
considerable value of marketing managers and others who are professionally concerned with
buying activity. An important reason for studying consumer behaviour is evaluation of
consumer groups with unsatisfied needs and desires. The essence of modern marketing
concept is that all elements of business should be geared for the satisfaction of consumers.
The challenge to marketers is to determine the relative influence of the various factors
and to adapt and apply skilfully the so called information to a proper marketing mix. In other
words, the total marketing effort must be so designed that the consumer perceives its various
features as providing an answer to his perceived problems and felt needs.

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Consumer analysis seeks to determine the underlying current and cross currents in the
consumer‘s minds. It focuses on the causes rather than the results of effective marketing
strategy and tactics employed by the firms that are successful in the markets.
Consumer behaviour is defined as the behaviour that consumers display in searching
for, purchasing, using, evaluating and disposing of products and services that they expect will
satisfy their needs. In order to succeed in any business in today‘s competitive market,
marketers have to know everything they can, about consumers. They must know what the
buyers want, what the buyers think, how they work, how they spend their leisure time, and so
on. They need to also understand the personal and group influences that affect consumer
decisions and how these decisions are made by consumers.

Consumer behaviour studies open up many avenues for students planning for a career
in marketing. A person with thought knowledge of consumer behaviour understands the
underlying reasons why consumers are loyal to a brand. Study about the psychology and
sociology of consumers helps brand managers and product managers in preparing strategies
for their business. Thus, studying consumer behaviour can lead to a career in brand or
product management in a marketing company.

The term consumer behaviour refers to ―the action of consumers in the market place
and the underlying motives for those actions. Marketers expect that by understanding what
causes consumers to buy particular goods and services they will be able to determine
which products are needed in the market place, which are obsolete, and how best to
present the goods to the consumer‖.

Consumer behaviour deals with two different categories of consumers. They are.
1. Household consumers
2. Organisational consumers
The household buyers buy goods and services for his or her own personal use, for the use of
the household, or as a gift for a friend. All these final consumers combine to make up the
consumer market. The organisational buyer includes profit and non profit companies,
government agencies and institutions, all of which buy products, equipment and services
to run their organisations, or for further production. End use consumption is perhaps the
most pervasive of all types of buying consumer buying behaviour as it involves every
individual human being.
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Buying decision of consumer:


It is based on internal and external influences, they are as follows

Internal influences: Consumer behaviour is influenced by: demographics,


psychographics (lifestyle), personality, motivation, knowledge, attitudes, beliefs, and
feelings.

External influences:
Consumer behaviour is influenced by: culture, sub-culture, locality, royalty, ethnicity, family,
social class, reference groups, lifestyle, and market mix factors.

DEFINITION

One "official" definition of consumer behavior is "The study of individuals, groups, or


organizations and the processes they use to select, secure, use, and dispose of products,
services, experiences, or ideas to satisfy needs and the impacts that these processes have on
the consumer and society." Although it is not necessary to memorize this definition, it brings
up some useful points:

 Behaviour occurs either for the individual, or in the context of a group (e.g., friends‘
influence what kinds of clothes a person wears) or an organization (people on the job
make decisions as to which products the firm should use).
 Consumer behaviour involves the use and disposal of products as well as the study of
how they are purchased. Product use is often of great interest to the marketer, because
this may influence how a product is best positioned or how we can encourage
increased consumption. Since many environmental problems result from product
disposal (e.g., motor oil being sent into sewage systems to save the recycling fee, or
garbage piling up at landfills) this is also an area of interest.
 Consumer behaviour involves services and ideas as well as tangible products.

 The impact of consumer behaviour on society is also of relevance. For example,


aggressive marketing of high fat foods, or aggressive marketing of easy credit, may
have serious repercussions for the national health and economy.

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There are four main applications of consumer behavior:

 The most obvious is for marketing strategy—i.e., for making better marketing
campaigns. For example, by understanding that consumers are more receptive to food
advertising when they are hungry, we learn to schedule snack advertisements late in
the afternoon. By understanding that new products are usually initially adopted by a
few consumers and only spread later, and then only gradually, to the rest of the
population, we learn that (1) companies that introduce new products must be well
financed so that they can stay afloat until their products become a commercial success
and (2) it is important to please initial customers, since they will in turn influence
many subsequent customers‘ brand choices.
 A second application is public policy. In the 1980s, Accutane, a near miracle cure for
acne, was introduced. Unfortunately, Accutane resulted in severe birth defects if taken
by pregnant women. Although physicians were instructed to warn their female
patients of this, a number still became pregnant while taking the drug. To get
consumers‘ attention, the Federal Drug Administration (FDA) took the step of
requiring that very graphic pictures of deformed babies be shown on the medicine
containers.
 Social marketing involves getting ideas across to consumers rather than selling
something. Marty Fishbein, a marketing professor, went on sabbatical to work for the
Centres for Disease Control trying to reduce the incidence of transmission of diseases
through illegal drug use. The best solution, obviously, would be if we could get illegal
drug users to stop. This, however, was deemed to be infeasible. It was also determined
that the practice of sharing needles was too ingrained in the drug culture to be
stopped. As a result, using knowledge of consumer attitudes, Dr. Fishbein created a
campaign that encouraged the cleaning of needles in bleach before sharing them, a
goal that was believed to be more realistic.
 As a final benefit, studying consumer behaviour should make us better consumers.
Common sense suggests, for example, that if you buy a 64 liquid ounce bottle of
laundry detergent, you should pay less per ounce than if you bought two 32 ounce
bottles. In practice, however, you often pay a size premium by buying the larger
quantity. In other words, in this case, knowing this fact will sensitize you to the need
to check the unit cost labels to determine if you are really getting a bargain.

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RESEARCH BACK GROUND

The study is chosen to know the consumer buying behaviour associated with the
various different packages of coca cola soft drinks. The behaviour levels of consumers
are associated with the product are brand name of the company, quality of the product,
advertisements and other factors.
The focus is on to know the factors which influences the consumers to buy the
soft drinks of preferred pack in coca cola company. The factors include brand name of the
company, price and quality of the product, advertisements, sales promotional activities
and other minor aspects.
The study also focuses on the personal opinion of the consumers on the pack and
company and the satisfaction level of the product they purchased as well as the opinion
on the other products of other companies.
The study also focused on their expectation of the consumers and their buying
behaviour which is useful for the company.

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1.2 COMPANY PROFILE

THE COCA-COLA COMPANY


History:
The Coca-Cola Company traces its beginning to 1886, when an Atlanta, Georgia
pharmacist, Dr. John Pemberton, began to produce coca-cola syrup for sale in the fountain
drink. However, with the exemption of an independent bottling operation established in 1894
in Viking,Mississippi,the history of large scale bottling did not begin until 1899 when two
Chattanooga businessmen , Joseph B. Whitehead and Benjamin F. Thomas ,secured the
executive rights to bottle and sell coca cola for most of the United States from the Coca-cola
company.
BUSINESS:
Coca-cola enterprises are in the business of Marketing, Producing and Distributing
liquid non-alcoholic refreshments to customers in their franchise tern tones. In 1994 they
distributed approximately 1.7 billion equivalent cases of the product throughout their
territories, which comprise of 38 states and the District of Columbia in the United States.
Their territory also extended too many foreign countries.
The Coca-cola Enterprise and the Coca-Cola Company are in business partnership.
The Coca-Cola Company develops the product; while as a bottler the Coca-cola Enterprise
combines the product concentrates with other ingredients and packages the beverages in
bottles, cans and fountain containers.

MANAGEMENT PHILOSOPHY:

CORPORATE AREA
The major concept of management philosophy is to remain in the beverage industry
and not diversify into other areas. The management believes in investing in non capital-
intensive areas. In fact, the beverage industry requires little capital, and produces maximum
returns. The returns from the foreign markets are tapped to the most.

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FINANCIAL AREA
The corporate objectives are to increase the shareowners value. The management
believes that in increasing the shareholders value it requires consistent growth in financial
results complemented by effective use of the cash flow.
MARKETING AREA
Here the management is committed to superior market place execution. This is
achieved by decentralized operating structure that places the responsibilities, authority and
the accountability as close to the customer and consumer as possible.
THE BRAND
Coca-cola consistently ranks in the world‘s most valuable brands. The brand value is
about $39billion.This is the greatest heritage of the company. As far as the branch
management concerned, we find that Coca-cola ranks itself as the third only after Microsoft
and Louis Vinton.

COCA-COLA INDIA
Coca-cola returned to India after 16 years, in 1993.The brand promotion was in
between 1994-96.The bottling acquisition occurred in between 1997-99.Its quest for
profitability started from 2000 onwards. In India Coke have its concentrate plants at pune
producing 10 brands. Its company-owned bottling operations are at six operating regions, 29
operating areas with 26 plants, 10 green fields, and 3000 associates. It enjoys a business of
over Rs.3000 crores in India.

ANDHRA PRADESH REGION


AP has merged as the single biggest state in terms of overall CSD sales volume as
well as in terms of manufacturing facilities. Up to 18-20 percent of the company‘s sales
volumes are from AP.

Coca-Cola now in total consists of five operating locations for CSD brands and
KINLEY packed water at Moula-Ali, Vijayawada, Srikalahasti and Vishakhapatnam having
a turnover of over 750 crores with 3 plants, 2 Green fields and 1500 associates. The company
also has two contract packers for its water business.

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Thumps-Up now has a leading position in CSD market in AP, with a market share of
nearly 50percent.AllCoca-Cola`s CSD brands put together now accounted for 75 percent of
the overall CSD market.

INDIAN BRANDS:

For the local market in India coke has in addition the following brands:

 COCA-COLA:
It is the world‘s favourite drink, the world‘s most valuable brand.
Coca-Cola has truly remarkable heritage. From a humble beginning in 1886,
it is now the flagship brand of the largest manufacturer, marketer, and
distributor of non-alcoholic beverages in the world.

 THUMPS-UP:
Thumps-Up is the leading carbonated soft drink and most trusted brand
in India. Originally introduces in 1977, Thumps-Up was acquired by the Coca-
Cola company in 1993. Thumps-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.

 LIMCA:
Lime n Lemony Limca, the drink of that can cast a tangy refreshing
spell on any one, anywhere. Born in 1977, Limca has been the original thirst
choice, of millions of consumers for over 3 decades.

 FANTA:
The orange drink of the Coca-Cola Company, lies seen as one of the
favourite drinks since 1940`s Fanta entered the Indian market in the year.

 SPRITE :
Worldwide sprite is ranked as the No.4 soft drink and is sold in more
than 190 countries. In India Sprite was launched in year 1999 and today it

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has grown to one of fastest growing soft drinks, leading the clear line
category.

 DIET COKE:
Was launched in1982 to target the market of the light products.

THE NON-CARBONATED MARKET:

1. MINUTE MAID: Offers frozen concentrated fruit juice launched in 1988.


2. MAAZA : Maaza was launched in 1976 here was a drink that offered the
same real taste of fruit juice and was available through out the year. In
1993 maaza was acquired by Coca-Cola India, maaza currently dominated
the fruit drink.
3. Nimbu Fresh: Recently launched fruit drink in January.
4. KINLEY: packaged drinking water.

INDIAN PRODUCT RANGE:


Cola –Cola:
Glass: 200ml.300ml.500ml.1000ml
PET bottle: 500ml, 1.25litres, 2 liters, 2.25 lit, 500ml+100ml
CAN: 330ml
Fountain: various sizes

Thums-Up:
Glass: 200ml.300ml.500ml.1000ml
PET bottle: 500ml, 1.25 liters, 2 liters, 2.25 lit, 500ml+100ml
CAN: 330ml
Fountain: various sizes
Sprite:
Glass: 200ml.300ml.
PET bottle: 500ml, 1.25 liters, 2 liters, 2.25 lit, 500ml+100ml
CAN: 330ml
Fountain: various sizes

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Fanta :
Glass: 200ml.300ml.
PET bottle: 500ml, 1.25 liters, 2 liters, 2.25 lit, 500ml+100ml
CAN: 330ml
Fountain: various sizes

Limca :
Glass: 200ml.300ml.
PET bottle: 500ml, 1.25 ltr, 2 liters, 2.25 ltr, 500ml+100ml
CAN: 330ml
Fountain: various sizes

Minute Maid Pulpy Orange:


Available in 3 PET packages: 400ml, 1 liters and 1.25 liters

Maaza:
PET: 250ml, 600ml, 1.2 ltr,
RGB: 200ml, 250 ml
Pocket maaza : 200ml.

Kinley :
PET: 500ml, 1000ml, 2000 ml

Nimbu fresh:
Available in 2 packages: 400ml and 1000ml

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INDUSTRY PROFILE

Soft drinks trace their history back to the mineral waters found in natural springs.
Ancient societies believed that bathing in natural springs and/or drinking mineral waters
could cure many diseases. Early scientists who studied mineral waters included Jābir ibn
Hayyān, Alkindus, Rhazes, Paracelsus, Robert Boyle, Friedrich Hoffmann, Antoine Laurent
Lavoisier, Hermann Boerhaave, William Brownrigg, Gabriel F. Venel, Joseph Black, and
David Macbride.

The earliest soft drinks were sherbets developed by Arabic chemists and originally served in
the medieval Near East. "Alkaline Substances", "A kind of Saltwort" from which soda is
obtained, probably from Arabic suwwad, the name of a variety of saltwort exported from
North Africa to Sicily in the Middle Ages, related to sawad "black," the color of the plant.
These were juiced soft drinks made of crushed fruit, herbs, or flowers. From around 1265, a
popular drink known as Dandelion & Burdock appeared in England, made from fermented
dandelion (Taraxacum officinale) and burdock (Arctium lappa) roots, and is naturally
carbonated. The drink (similar to sarsaparilla) is still available today, but is made with
flavorings and carbonated water, since the safrole in the original recipe was found to be
carcinogenic.

The first marketed soft drinks (non-carbonated) in the Western world appeared in the 17th
century. They were made from water and lemon juice sweetened with honey. In 1676, the
Compagnie des Limonadiers of Paris was granted a monopoly for the sale of lemonade soft
drinks. Vendors carried tanks of lemonade on their backs and dispensed cups of the soft drink
to thirsty Parisians.

Carbonated drinks:
In late 18th century, scientists made important progress in replicating naturally carbonated
mineral waters. In 1767, Englishman Joseph Priestley first discovered a method of infusing
water with carbon dioxide to make carbonated water[6] when he suspended a bowl of distilled
water above a beer vat at a local brewery in Leeds, England. His invention of carbonated
water, (also known as soda water), is the major and defining component of most soft drinks.
Priestley found water thus treated had a pleasant taste, and he offered it to friends as a
refreshing drink. In 1772, Priestley published a paper entitled Impregnating Water with Fixed
Air in which he describes dripping oil of vitriol (or sulfuric acid as it is now called) onto

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chalk to produce carbon dioxide gas, and encouraging the gas to dissolve into an agitated
bowl of water.

Another Englishman, John Mervin Nooth, improved Priestley's design and sold his apparatus
for commercial use in pharmacies. Swedish chemist Torbern Bergman invented a generating
apparatus that made carbonated water from chalk by the use of sulfuric acid. Bergman's
apparatus allowed imitation mineral water to be produced in large amounts. Swedish chemist
Jöns Jacob Berzelius started to add flavors (spices, juices and wine) to carbonated water in
the late 18th century.

Soda fountain pioneers:


Artificial mineral waters, usually called "soda water," and the soda fountain made the biggest
splash in the United States. Beginning in 1806, Yale chemistry professor Benjamin Silliman
sold soda waters in New Haven, Connecticut. He used a Nooth apparatus to produce his
waters. Businessmen in Philadelphia and New York City also began selling soda water in the
early 1800s. In the 1830s, John Matthews of New York City and John Lippincott of
Philadelphia began manufacturing soda fountains. Both men were successful and built large
factories for fabricating fountains.

Soda fountains vs. bottled sodas:


The drinking of either natural or artificial mineral water was considered a healthy practice.
The American pharmacists selling mineral waters began to add herbs and chemicals to
unflavored mineral water. They used birch bark (see birch beer), dandelion, sarsaparilla, fruit
extracts, and other substances. Flavorings were also added to improve the taste. Pharmacies
with soda fountains became a popular part of American culture. Many Americans frequented
the soda fountain on a daily basis. Due to problems in the U.S. glass industry, bottled drinks
were a small portion of the market in the 19th century. (They were certainly known in
England, though. In The Tenant of Wildfell Hall, published in 1848, the caddish Huntingdon,
recovering from months of debauchery, wakes at noon and gulps a bottle of soda-water. In
America, most soft drinks were dispensed and consumed at a soda fountain, usually in a
drugstore or ice cream parlor. In the early 20th century, sales of bottled soda increased
exponentially. In the second half of the 20th century, canned soft drinks became an important
share of the market.

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Soft drink bottling industry:


Over 1,500 U.S. patents were filed for either a cork, cap, or lid for the carbonated drink bottle
tops during the early days of the bottling industry. Carbonated drink bottles are under great
pressure from the gas. Inventors were trying to find the best way to prevent the carbon
dioxide or bubbles from escaping. In 1892, the "Crown Cork Bottle Seal" was patented by
William Painter, a Baltimore machine shop operator. It was the first very successful method
of keeping the bubbles in the bottle.

Automatic production of glass bottles:


In 1899, the first patent was issued for a glass-blowing machine for the automatic production
of glass bottles. Earlier glass bottles had all been hand-blown. Four years later, the new
bottle-blowing machine was in operation. It was first operated by the inventor, Michael
Owens, an employee of Libby Glass Company. Within a few years, glass bottle production
increased from 1,400 bottles a day to about 58,000 bottles a day.

Home-Packs and vending machines:


During the 1920s, the first "Home-Packs" were invented. "Home-Packs" are the familiar six-
pack cartons made from cardboard. Automatic vending machines also began to appear in the
1920s.

PRODUCTION

Soft drink production:


Soft drinks are made either by mixing dry ingredients and/or fresh ingredients (e.g. lemons,
oranges, etc.) with water. Production of soft drinks can be done at factories, or at home.

Soft drinks can be made at home by mixing either a syrup or dry ingredients with carbonated
water. Carbonated water is made using a home carbonation system or by dropping dry ice
into water. Syrups are commercially sold by companies such as Soda-Club.

Ingredient quality:
Of most importance is that the ingredient meets the agreed specification on all major
parameters. This is not only the functional parameter, i.e. the level of the major constituent,
but the level of impurities, the microbiological status and physical parameters such as color,
particle size, etc.

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Soft drink packaging:

U.S. containers in 2008. Various sizes from 8-67.6 US fl oz (237 ml -2 l) shown in can, glass
and plastic bottles

In the United States, soft drinks are sold in 3, 2, 1.5, 1 liter, 500 ml, 8, 12, 20 and 24 U.S.
fluid ounce plastic bottles, 12 U.S. fluid ounce cans, and short eight-ounce cans. Some Coca-
Cola products can be purchased in 8 and 12 U.S. fluid ounce glass bottles. Jones Soda and
Orange Crush are sold in 16 U.S. fluid ounce (1 U.S. pint) glass bottles. Cans are packaged in
a variety of quantities such as six packs, 12 packs and cases of 24, 36 and 360. With the
advent of energy drinks sold in eight-ounce cans in the US, some soft drinks are now sold in
similarly sized cans. It is also common for carbonated soft drinks to be served as fountain
drinks in which carbonation is added to a concentrate immediately prior to serving.

In Europe, soft drinks are typically sold in 2, 1.5, 1 litre, 500 ml plastic or 330 ml glass
bottles; aluminum cans are traditionally sized in 330 ml, although 250 ml slim cans have
become popular since the introduction of canned energy drinks and 355 ml variants of the
slim cans have been introduced by Red Bull more

recently. Cans and bottles often come in packs of six or four. Several countries have standard
recyclable packaging with a container deposit, typically ranging from € 0.15 to 0.25. The
bottles are smelted, or cleaned and refilled; cans are crushed and sold as scrap aluminium.

In Australia, soft drinks are usually sold in 375 ml cans or glass or plastic bottles. Bottles are
usually 390 ml, 600 ml, 1.25 or 2 liters. However, 1.5 liters bottles have more recently been
used by the the Coca-Cola Company. South Australia is the only state to offer a container
recycling scheme, recently having lifted the deposit from 5 cents to 10 cents. This scheme is

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also done in the Philippines; people usually buy glass bottles and return them in exchange for
a small amount of money.

In Canada, soft drinks are sold in cans of 236 ml, 355 ml, 473 ml, and bottles of 591 ml, 710
ml, 1 l, 1.89 l, and 2 l. The odd sizes are due to being the metric near-equivalents to 8, 12, 16,
20, 24 and 64 U.S. fluid ounces. This allows bottlers to use the same-sized containers as in
the U.S. market. This is an example of a wider phenomenon in North America. Brands of
more international soft drinks such as Fanta and Red Bull are more likely to come in round-
figure capacities.

In India, soft drinks are available in 200 ml and 300 ml glass bottles, 250 ml and 330 ml cans,
and 600 ml, 1.25 l, 1.5 l and 2 l plastic bottles.

Health effect:
The consumption of sugar-sweetened soft drinks is associated with obesity type 2 diabetes,
dental cavities, and low nutrient levels.[11] Experimental studies tend to support a causal role
for sugar-sweetened soft drinks in these ailments,[10][11] though this is challenged by other
researchers.[12][13] "Sugar-sweetened" includes drinks that use High-fructose corn syrup, as
well as those using sucrose.

Many soft drinks contain ingredients that are themselves sources of concern: caffeine is
linked to anxiety and sleep disruption[14] when consumed in excess, and the health effects of
high-fructose corn syrup and artificial sweeteners remain controversial. Sodium benzoate has
been investigated as a possible cause of DNA damage and hyperactivity. Other substances
have negative health effects, but are present in such small quantities that they are unlikely to
pose any substantial health risk. Benzene belongs to this category: the amount of benzene in
soft drinks is small enough that it is unlikely to pose a health risk.[15]

In 1998, the Center for Science in the Public Interest published a report titled Liquid Candy:
How Soft Drinks are Harming Americans' Health. The report examined statistics relating to
the soaring consumption of soft drinks, particularly by children, and the consequent health
ramifications, including tooth decay, nutritional depletion, obesity, type-2 (formerly known
as "adult-onset") diabetes, and heart disease. It also reviewed soft drink marketing and made
various recommendations aimed at reducing soft drink consumption.[16]

There have been a handful of published reports describing individuals with severe
hypokalemia (low potassium levels) related to chronic extreme consumption (4-10 L/day) of
colas.[34]

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Nutritional value:
Unless fortified, they also contain little to no vitamins, minerals, fiber, protein, or other
essential nutrients. Soft drinks may also displace other healthier choices in people's diets,
such as water, milk, fruit juice,[37] and vegetable juice.

Soft Drinks in India:


Euro monitor International's Soft Drinks in India market report offers a comprehensive
guide to the size and shape of the market at a national level. It provides the latest retail sales
data, allowing you to identify the sectors driving growth. It identifies the leading companies,
the leading brands and offers strategic analysis of key factors influencing the market - be they
new product developments, packaging innovations, economic/lifestyle influences,
distribution or pricing issues. Forecasts illustrate how the market is set to change.

Buy online to access strategic market analysis and an interactive statistical database of
volume and value market sizes including on-trade and off-trade, company and brand shares,
distribution and pricing data.

Soft drinks witnesses‘ healthy growth in India

Soft drinks recorded robust double digit off-trade value growth in 2009, which was higher
than that witnessed in 2008. Bottled water and fruit/vegetable juice continued to grow
strongly as more consumers turned to these products in the search of healthier options.
Carbonates also witnessed good sales growth as the long summer helped to fuel sales. Energy
drinks has witnessed a slowdown in sales growth as its is a premium priced product type and
therefore not considered a necessity. Importantly, more consumers refrained from spending
on non-essential items in the wake of the economic downturn.

Manufacturers diversify on a health and wellness platform

Manufacturers continued to focus on health and wellness products in 2009, introducing green
tea versions of powder concentrates and RTD tea. There were also a number of launches in
terms of new products and flavors in fruit/vegetable juice. The only new product launch in
carbonates was Grappo Fizz by Parle Agro Pvt Ltd. Non-cola carbonates performed very well
as these products are perceived by consumers to be less of a health threat than cola
carbonates. Even in niche categories like energy drinks, sugar-free versions were introduced
as manufacturers try to attract health conscious and diabetic consumers.

Coca-Cola India continues to lead soft drinks

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Coca-Cola India Pvt Ltd continued to lead soft drinks in 2009, followed by PepsiCo India
Holdings Pvt Ltd in off-trade value terms. The launch of Nimbooz by 7-Up (PepsiCo India)
helped the company retain its

leading position in the terms of off-trade value sales. Coca-Cola India and PepsiCo India
continued to invest in soft drinks in India. However, domestic players such as Parle Agro,
Parle Bisleri Ltd and Dabur India Ltd continued to provide tough competition to the leading
multinationals. One competitive edge that domestic players hold is that unlike Coca-Cola
India and PepsiCo India the bulk of their business does not come from carbonates, but instead
from fruit/vegetable juice and bottled water, which are recording much more dynamic
volume and value growth. Thus, while the leading multinationals retained their leading
positions in off-trade value terms, they continued to record slight off-trade value share
reductions in 2009, while these leading domestic players grew their shares.

Marginal slowdown in supermarkets/hypermarkets

The growth in supermarkets/hypermarkets boosted the soft drinks industry over much of the
review period. However, due to the economic downturn, the off-trade volume share of
supermarkets/hypermarkets decreased in 2009. This in turn affected some of the more niche
and premium product types like energy drinks and reconstituted 100% juice which enjoyed
high visibility through this distribution channels. However, this trend is not expected to
continue as the economy recovers since consumers will revert to their previous shopping
patterns.

Soft drinks is expected to record healthy sales growth in the forecast period

Soft drinks is expected to witness a healthy double-digit total volume CAGR growth over the
forecast period. As consumer awareness and understanding of the variety of soft drinks
increases and as manufacturers continue to be innovative, soft drinks is expected to perform
well. Products on the health and wellness platform and niche categories can expect to see
good sales growth in the forecast period.

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Social and environmental responsibility

Company guiding vision

Coca-Cola re entered India in 1993. The vision of the company is to lead beverage
revolution in the world and provide it‘s consumer quality beverages at affordable price. As on
June 2007, Company has 65 manufacturing locations across 18 states of the country

The company has one single environmental system, echo system, implemented at all its
operations across the world. The eKO system is a tool that integrates environment
management with business planning cycle.

The eKO system primarily comprises of two main facets namely:

 Environment
 Occupational Safety and Health (OSH)

Both the facets are aligned with international management system standards, ISO 14001 for
Environment Management and OSHAS 18001 for Safety Management.

As on June 2007, 32 manufacturing units are certified to ISO 14001 & 10 units are certified
to OHSAS 18001 Standards.

At the core of The Coca-Cola Environmental Management System are five values that affirm
the responsibilities of The Coca-Cola Company and serve as guidelines for our business
partners around the world. Each of these values is supported by specific requirements and
practices that govern our daily operations and are fundamental to achieving results consistent
with environmental leadership. Our five values are:

 Commitment
 Compliance
 Minimizing Impact Maximising Opportunity
 Accountability
 Informing Stakeholders

Some of the prime environmental considerations followed in business decisions are:

 Environmental due diligence before acquiring land.


 Environmental impact assessment before commencing operations.
 Ground water and environmental surveys before selecting sites.
 Diligent compliance with all regulatory environmental requirements.
 Ban on purchase of refrigeration equipment containing CFCs (known to be Ozone
depleting).
 Installation of Effluent treatment plant at each manufacturing locations.
 Separate collection and treatment domestic and industrial effluent as per company OR
Local standard.
 Separate discharge of industrial, domestic and storm water to prevent storm water
pollution.

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1.3 IDENTIFIED PROBLEM

The problem in the study is to know the consumers buying behaviour


towards the newly launched 1.25lits pack of coca cola. In this competitive world there are
more rival brands, rational consumers choose the product which satisfies them to the
price they pay . on part of consumer satisfaction , they will buy the products repeatedly
and market share will be increased by word of mouth and there increases the loyal
consumers to the product. So this project guides the company in order to know the
consumer buying behaviour and company can assured about the market share of the
products.

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1.4 OBJECTIVES OF THE STUDY:

PRIMARY OBJECTIVE:

 To study the consumer buying behaviour towards 1.25lit pack of coca-cola soft
drinks.

SECONDARY OBJECTIVES:

 To identify the awareness of coca-cola 1.25lit pack soft drinks.


 To find out the various factors that influences consumers in buying soft drinks.
 To know the consumers opinion towards coca-cola 1.25lit pack soft drinks.
 To suggest strategies for promoting the sales of 1.25lit pack coca-cola soft drinks.

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1.5 SCOPE OF THE STUDY

The study is use useful for the company in framing future strategies. The target
customers are men and women in the age group of above 20 years.
By this research it is more useful to know the personal opinion and also
the consumer behaviour towards the packs of soft drinks. There are more number of
branded products which has been highly attracted by general public and also a fair
response to discount offers. The study brings out information about the consumer‘s
preferences, the brands they prefer and the reason for their preference and which
factor attracted them to buy the product.
It also helps in understanding the customer‘s opinion about newly
launched pack. By this study the requirements of the consumer can be known and also
it will be useful to the company to design new products and innovative marketing
strategies and promotional schemes.

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1.6 NEED FOR THE STUDY

The most important activity of marketing is to study consumer market and also
analyzing of buying behaviour. If the Company decides to build a position on quality and
service, it must first analyze buying behaviour of the consumers, and the company can
analyse their production status of goods.

The entry of various brands in soft drink industry has made severe cut throat
competition. All organizations are coming out with new promotional tools on attracting
features, which has severe impact on sales.

In order to retain and capture the market, the company wants to study why the
consumer switches over to other brands and what can be the factors responsible. By knowing
the factors the company can easily improve the present activities to reach the expectations of
the consumer on retaining its position in the market.

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1.7 DELIVERABLES

This project mainly concentrates on consumer buying behaviour and decisions to


spend their available resources like time, money, effort consumption related items .That
includes what they buy it, why they buy it, when they buy it, where they buy it, how often
they buy it, how often they use it, they evaluate it after the purchase and the impact of such
evaluations on future purchases, and how they dispose of it. And finally analyze the areas
where attention is required. Effective results are based on the analysis and interpretations,
through data collection method.

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CHAPTER - 2

2.1 REVIEW OF LITERATURE

1. Russel bulk, assistant professor of business administration of Illinova University, journal


of consumer research. This paper suggests that explicit recognition of situational variables
can substantially enhance the ability to explain and understand consumer behavioral acts. A
definition and description of situations is offered, existing research is summarized, and
implications for consumer research are considered.

2.Title:Consumer Behaviour in TourismAuthor(s):Luiz MoutinhoCitation:Luiz Moutinho,


(1993) "Consumer Behaviour in Tourism", European Journal of Marketing, Vol. 21 Iss: 10,
pp.5 - 44Keywords:ConsumerBehaviour,TouristIndustryArticle type:
Case studyDOI:10.1108/EUM0000000004718 (Permanent URL)Publisher:MCB UP
LtdAbstract:
The analysis of consumer behavior requires the consideration of various processes internal
and external to the individual. To understand behavior, it is necessary to examine the
complex interaction of many influencing elements. This study deals with determinants of
behavior, culture and reference group influences, the relationships between individuals and
their environments, perceived risks, and family decision processes. It concludes with an
illustration of tourist behavior modeling.

3. Consumer reactions to electronic shopping on the world wide web Source International
Journal of Electronic Commerce archive
Volume 1 , Issue 2 (December 1996) table of contents
Pages: 59 - 88
Year of Publication: 1996
ISSN:1086-4415
Authors
Sirrka L. Jarvenpaa
Peter A. Todd
Publisher
M. E. Sharpe, Inc. Armonk, NY, USA

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Bibliometrics
Downloads (6 Weeks): n/a, Downloads (12 Months): n/a,

Much fascination and speculation surrounds the impact of the World Wide Web on consumer
shopping behavior. At the same time, there is little empirical evidence underlying all this
speculation. This article provides one such data set. It reports on factors that consumers found
salient as they browsed through selected electronic malls on the World Wide Web. We
gathered consumers' reactions via an open-ended survey using a sample of 220 shoppers. We
related the reactions to the factors of product perceptions, shopping experience, customer
service, and perceived consumer risk, which we had identified from the existing literature on
retail patronage behavior. This study translated these factors to the World Wide Web context
and explored their relative salience.With respect to product perceptions, consumers were
impressed by the breadth of stores on the World Wide Web but disappointed with the depth
of a merchant's offerings. The shopping experience was reported to be generally enjoyable,
but at the same time frustrating. Consumers also reported that they could perceive the
potential for time savings and reduced effort compared with traditional forms of shopping,
but that, at present, goal-directed shopping was difficult. Nearly everyone in the sample had
something negative to say about customer service on the World Wide Web, judging that the
sites were not designed to be responsive to their needs and that the presentation of goods and
services seemed intangible. Risk was cited as a barrier to shopping on the World Wide Web,
but was not as salient to our sample as product perceptions, shopping experience, and
customer service. Overall, the results suggest that World Wide Web merchants need to think
more about how they perform on the factors known to affect consumer behavior; namely,
product perceptions, shopping experience, and customer service. We offer advice for
enhancing the design of World Wide Web retail sites.

4.Journal of Consumer Psychology


Volume 1, Issue 3, 1992, Pages 239-260 , doi:10.1016/S1057-7408(08)80038-1
Need for Cognition and Advertising: Understanding the Role of Personality Variables in
Consumer Behavior

,
Curtis P. Haugtvedt , Richard E. Petty and John T. Cacioppo
The Ohio State University, USA,Three studies were conducted to examine the role of need
for cognition on attitudes formed as a result of exposure to advertisements. Prior research on
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need for cognition has used only long messages, counterattitudinal topics, or employed
instructions that specifically told participants to evaluate products. Results of our studies
reveal that need for cognition also affects the processes of attitude change when no explicit
evaluation instructions are provided and when exposures are to relatively short, unfamiliar
advertising messages presented in either self-paced or externally controlled formats.
Consistent with prior research, attitudes of high need for cognition individuals were based
more on an evaluation of product attributes than were the attitudes of low need for cognition
persons (Studies 1 and 2). In addition, the attitudes of low need for cognition individuals
were based more on simple peripheral cues inherent in the ads than were the attitudes of high
need for cognition persons (Study 3). Implications for the study of personality variables in
consumer behavior are discussed.

5. The effect of expertise on the relation between implicit and explicit attitude measures: An
information availability/accessibility perspective
Sandor Czellar and David Luna
Department of Marketing, Faculty of Business and Economics, University of Lausanne,
1015 Lausanne, Switzerland
Department of Marketing, Zicklin School of Business, Baruch College, One Bernard Baruch
Way, New York, NY 10010, USA
Received 12 October 2009;
revised 24 June 2010;
accepted 30 June 2010.
Three experiments investigate expertise as a moderator of the relationship between implicit
and explicit attitude measures. Prior research suggests that greater expertise leads to stronger
implicit–explicit relations; however, a cognitive view of expertise can also predict a weaker
implicit–explicit relation. Our framework helps to resolve that seeming contradiction on the
basis of the availability/accessibility of attributes versus attitudes in explicit attitude
measures. We show that object specificity and contextual factors (e.g., instructions and prior
evaluations in a survey) differentially affect the availability/accessibility of global attitudes
and attribute information for novices versus experts, thus determining how expertise
moderates the implicit–explicit relation.

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6. Journal of Consumer Psychology, doi:10.1016/j.jcps.2010.06.015 |


Aesthetic principles and cognitive emotion appraisals: How much of the beauty lies in the eye
of the beholder?
Minu Kumar and Nitika Garg
College of Business, 1600 Holloway Avenue, San Francisco, CA 94132, USA
School of Business Administration, P.O. 1848, University, MS 38677-1848, USA
Received 17 July 2009;
revised 29 June 2010;
accepted 30 June 2010.

Although the aesthetic properties of a product have often been linked to consumers‘
emotional responses, theory and empirical evidence are yet to fully explain how and why
aesthetic properties of a product evoke an emotional response. Drawing on an eclectic
literature, we propose hypotheses connecting aesthetic principles with the subconscious
cognitive appraisals associated with emotions. Specifically, we empirically test the
relationships between the aesthetic principle of harmony and cognitive appraisals (attentional
activity and pleasantness), while exploring the moderating role of typicality. Our results
suggest that harmony and typicality interact to affect appraisals of pleasantness and
attentional activity. Specifically, consumers tend to prefer designs that balance the levels of
attentional resources needed and pleasantness in visually evaluating the design. This work
advances the growing literature in product design and aesthetics by providing an
understanding of the mechanisms through which aesthetic principles might prompt emotional
responses in consumers.

7. Journal of Consumer Psychology, doi:10.1016/j.jcps.2010.06.019 |

The influence of involvement on the endowment effect: The moveable value function
Najam U. Saqib, Norman Frohlich and Edward Bruning
College of Business and Economics, Qatar University, P.O. Box 2713, Doha, Qatar
I.H. Asper School of Business, University of Manitoba, Winnipeg, Manitoba, Canada R3T
5V4
Department of Social and Preventive Medicine at the University of Montreal, Montreal, QC,
Canada
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Received 12 August 2008;


revised 22 June 2010;
accepted 30 June 2010.
Available online 27 July 2010.
The endowment effect is based on the loss aversion built into Prospect Theory's asymmetric
value function. This paper posits that the level of consumer involvement with a decision is a
moderator of the endowment effect. It is proposed that high involvement increases the slope
differential between the loss and gain regions of the value function, enhancing loss aversion.
The research further posits that higher involvement is accompanied by higher arousal and
cognitive processing which produces stronger negativity in thoughts. The argument for these
effects is discussed in the context of evolutionary theory. We conclude that consumers are
more loss averse in high versus low involvement conditions.

8. Journal of Consumer Psychology, doi:10.1016/j.jcps.2010.06.017 |


Motivational determinants of transportation into marketing narratives

Brent McFerran , Darren W. Dahl , Gerald J. Gorn and Heather Hone,


Stephen M. Ross School of Business, University of Michigan, 701 Tappan Street, Ann Arbor,
MI, 48109-1234, USA
Sauder School of Business, University of British Columbia, 2053 Main Mall, Vancouver,
British Columbia, Canada V6T 1Z2
Faculty of Business and Economics, The University of Hong Kong, Pokfulam, Hong Kong
College of Business Administration, San Diego State University, 5500 Campanile Drive, San
Diego, CA, 92182-8239, USA
Received 3 June 2009;
revised 25 June 2010;
accepted 30 June 2010.

This paper identifies factors that facilitate narrative transportation, where people become
immersed in the storyline of an advertisement. Specifically, using a lottery context, this
research shows that consumers who feel lucky or believe in personal good luck are motivated
to engage in transportation, a process that is intensified as the attractiveness of the outcome
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increases. Further, this research shows that highly transported consumers (a) become more
focused on ad outcomes and less on the low personal probability of winning, and that (b)
attempts to attenuate consumers‘ transportation are most efficacious if undertaken before the
ad (and transportation) begins.

9. Journal of Consumer Psychology, doi:10.1016/j.jcps.2010.06.018 |

Communal and exchange relationship perceptions as separate constructs and their role in
motivations to donate
Jennifer Wiggins Johnson, and Pamela E. Grimm
Kent State University, Department of Marketing, P.O. Box 5190, Kent, OH, 44242, USA
Received 24 June 2009;
revised 25 June 2010;
accepted 30 June 2010.

Researchers have operationalized communal and exchange relationship perceptions as either


mutually exclusive categories or opposite ends of a continuum. This research conceptualizes
these relationships as distinct constructs that should be measured separately. We develop
multi-item measures of communal and exchange relationship perceptions and find that they
are actually positively correlated. We also examine the way communal and exchange
relationship perceptions combine to influence intrinsic, extrinsic, and social motivations to
donate, a category stipulated in economics, but not in psychology. We find that both
relationship perceptions influence consumer attitudes toward donating through a mix of
intrinsic, extrinsic, and social motivations.

10. Journal of Consumer Psychology,


Profits and halos: The role of firm profitability information in consumer inference
Steven S. Posava , Michal Herzenstein, Frank R. Kardes and Suresh Sundaram
Vanderbilt University, Nashville, TN, USA
University of Delaware, Newark, DE, USA
University of Cincinnati, Cincinnati, OH, USA
Received 10 December 2008;
revised 23 June 2010;
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accepted 30 June 2010.


Three experiments investigated the consequences of the presence of information that a
manufacturing firm is profitable on consumers' judgments of the firm and the consequences
for perceptions of advertising, products, and choice intention. When profitability is present in
the advertising context, consumers form more favorable advertiser judgments, which drive
perceptions of greater advertisement credibility, which lead to more favorable product
inferences, and ultimately stronger purchase intentions. The third experiment additionally
shows that profitability information interacts with a warranty to drive judgments and choice.
The implication of our findings is that firms should consider highlighting their profitability to
enhance advertising effectiveness.

11. Journal of Consumer Psychology, doi:10.1016/j.jcps.2010.06.007 |


Effects of product unit image on consumption of snack foods
Adriana V. Madzharov, and Lauren G. Block
Baruch College, the City University of New York, New York, NY, USA
Received 30 October 2009;
revised 21 June 2010;
accepted 23 June 2010.

Across a series of three studies, we demonstrate that the number of product units displayed on
a package biases consumers' perceptions of product quantity (i.e., the number of snack items
the package contains) and actual consumption. Specifically, we demonstrate that consumers
use an anchoring heuristic to infer that packages that display a greater number of product
units (e.g., 15 pretzels vs. 3 pretzels) have a higher product quantity inside. Importantly, we
demonstrate that actual consumption of the food product follows this anchor judgment. The
studies demonstrate that these effects are moderated by level of visual processing and that
they are robust even in the presence of verbal information.

12. Journal of Consumer Psychology, doi:10.1016/j.jcps.2010.06.005

J. Edward Russo and Anne-Sophie Chaxel


Cornell University
Received 26 May 2010;
revised 21 June 2010;
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accepted 22 June 2010.


A persuasive message that favors one option in a binary choice can enhance the apparent
value of its target by biasing the interpretation of subsequent information. The message
installs its target as the initial leader in preference and lets the predecisional distortion of
information defend that leadership position. An experiment that contrasts showing TV
commercials before and after objective product information demonstrates this process.
Ratings of the importance of the commercials to the choice indicate that people are aware of
advertising's direct effect on their choice but not of its indirect effect through the biased
evaluation of the product information.

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CHAPTER - 3
RESEARCH METHODOLOGY

Research is a growing need in any organization of the present world. It is helpful in


identifying the consumer needs and wants so as to launch a product or to bring about
improvements in the existing products. This is done to gain competitive edge over others.
Success of the research depends upon the methodology adopted. The study was based on
descriptive research.

 The research methodology deals with the


1. Data collection
2. Research technique
3. Sampling methods
4. Analysis and Interpretation of research work.

RESEARCH DESIGN:

A research design is purely and simply the frame work of plan for a study the
guides the collection and analysis of data. It is a blue print for a complete study. It resembles
the architects blue print map for a constructing a house.

3.1 TYPE OF PROJECT

DESCRIPTIVE REASEARCH DESIGN

A descriptive research is undertaken in order to ascertain and be able to describe the


characteristics of the variable of interest in a situation. Descriptive research is also undertaken
to understand the characteristics of organisations that follow certain common practices. The
goal of a descriptive research is to offer to the researcher a profile or to describe relevant
aspects of the phenomena of interest from an individual, organisational, industry-oriented, or
other perspective.

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SAMPLING TECHNIQUE
A sample is a subset of population and it comprises some members selected from it.
sampling is the process of selecting a sufficient number of elements from the population.
Sample survey:
A survey which is carried out using a sampling method, i.e., in which a proportion
only and not the whole population, is surveyed.
Sampling designs:
There are two types of sampling designs. They are probability and non- probability
sampling.
 Probability sampling: In probability sampling the elements in the population
have some known chance or probability of being selected as sample subjects.
 Non- probability sampling: The elements in the population do not have any
probability attached to their being chosen as sample subjects. This means that the
findings from the study of the sample cannot be confidently generalized to the
population.

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3.2 TARGET RESPONDENTS

SAMPLE

A sample is a finite part of a statistical population whose properties are studied to gain
information about the whole. When dealing with people, it can be defined as a set of
respondents (people) selected from a larger population for the purpose of a survey.

A population is a group of individual‘s persons, objects, or items from which samples


are taken for measurement. Sample size of the project is going to be 60 for the project.

SAMPLING

Sampling is the act, process, or technique of selecting a suitable sample, or a


representative part of a population for the purpose of determining parameters or
characteristics of the whole population.

Population: TIRUPATI

Sample Size: 120


The sample size used is 120 but 4 of them has not responded so the total sample size is 116.
The Sampling Technique that is used in the project is:

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3.3 LIMITATIONS OF THE STUDY:

 Time duration for this project study was not adequate.


 Customers response level was not that much confident so, the answer was not that
much accurate.
 Customers belonging to only one unit in BENGALURU are chosen for survey.

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3.4 PROPOSED SAMPLING METHOD


Convenience sampling:
It refers to the collection of information from members of the population
who are conveniently available to provide it. The most easily accessible members are chosen
as subjects. Convenience sampling is the best way of getting some basic information quickly
and efficiently.

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3.5 DATA PROCESSING:

Data is collected from two sources:


1. Primary Data
2. Secondary Data

1. Primary Data :
The primary data are those, which are collected afresh and for the first time and thus
happen to be original in character.

2. Secondary Data:
o The Secondary data consists of information that already exists somewhere
having been collected for another purpose and researcher begins the research
work by first going through the secondary data.
o Here Secondary data is collected from the COMPANY, Company‘s website.

COLLECTION OF DATA THROUGH QUESTIONNAIRE:

This method of data collection is quite popular. In this method a set or a series of
questions in logical order is asked to the respondents and the researcher collects the desired
information. The questions may be asked verbally or in writing and the responses may be
either form and it is mainly constructed for the purpose of mailing.

Questionnaires need to be carefully developed, tested and debugged before they are
administered on a large scale.

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ANALYSIS AND INTERPRETATION

After collecting data we have arranged and managed it on a SPSS sheet and analysed
it using various tool of this software. The basic research techniques used are:

3.6 TOOLS FOR DATA ANALYSIS:

Analysis techniques are used to obtain finding and arrange information in a logical
sequence from the raw data collected. After the tabulation of data the tools provide a
scientific and mathematical solution to a complex problem.

1. CHART
Bar charts and pie charts are used for analysis to get a clear idea about the
tabulated data.

2. PERCENTAGE ANALYSIS
Percentage analysis shows the entire population in terms of percentages. It
reveals the number of belonging is a particular category or the number of people
preferring a particular thing, etc., in terms of percentage. In this study, the number of
people who responded in a particulars manner is interpreted in the form of
percentages.

Each table has been calculated on the basis of percentage.

No of respondents

Percentage = ------------------------------ * 100

Total respondents

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 Descriptive analysis – here we have calculated the frequency for the respondent‘s reply
to each question. This is the most important analysis as far as marketing research is
concerned because we are basically concerned with what customer thinks of the problem.
Along with it we have also calculated various measures of location and dispersion to
summarize the data in a more understandable form. Help of bar graphs and pie chart has also
been taken.

 Cross tabulations – cross tabs give the relation between the two variables in a tabular
form. It is a very effective tool for data analysis as we can simultaneously study two or three
variables are draw conclusions based on it.

 Chi square test – it is done to understand if there is any significant relation between the
variables which have been used in the cross tabs.

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CHAPTER 4

4.1 STATISTICAL TOOL


4.1.1 Percentage Analysis

DATA ANALYSIS

THE TABLE SHOWS THE AGE GROUPS RESPONDENTS

age number of percentage


respondents

10-20yrs 45 39.79%

20-30yrs 34 29.31%

30-40yrs 19 16.37%

40-50yrs 11 9.48%

50 & above 7 6.03%

TABLE: 4.1.1.1 showing the age groups of the respondents

AGE GROUP
45.00% 39.79%
40.00%
35.00%
29.31%
30.00%
pecentage

25.00%
20.00% 16.37%
15.00% 9.48%
10.00% 6.03%
5.00%
0.00%
10-20yrs 20-30yrs 30-40yrs 40-50yrs 50 & above
age

CHART: 4.1.1.1 showing the age group of the respondents

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INFERENCE:

The figure depicts that 39.79% of the respondent age is in between 10 -20 years
and 29.31% of the respondent age is 20-30 years and 16.37% of the respondent age is 30-40
years and 9.48% is 40-50yrs and only 6.03% is above 50 yrs age.

Since majority of the respondents are in the age group of 10-20 coca cola company
can concentrate on this particular segment for furthering the business.

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THE TABLE SHOWS THE GENDER WISE CLASSIFICATION

GENDER NUMBER OF IN PERCENTAGE


RESPONDENTS

MALE 76 66%

FEMALE 40 34%

TOTAL 116 100%

Table: 4.1.1.2 showing gender wise classification of respondents

140

120 116
p
e
100
r
c 76
80
e
n
60
t
a 40
40
g
e
20
66% 34% 100%
0
MALE FEMALE TOTAL
gender

Chart: 4.1.1.2 showing the gender wise classification of respondents

INFERENCE:

The table represents that 116 number of the respondents are male and female.in that 76
number of the respondents are male i.e. 66%and the remaining 40 of the respondents are
female i.e.34%.

Since the majority of consumers are male, company can more focus on this segment.

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THE TABLE SHOWS RESPONSES FOR CONSUMPTION OF COCACOLA

CATEGORY NUMBER OF IN PERCENTAGE


RESPONDENTS

YES 112 96%

NO 4 4%

TOTAL 116 100%

Table: 4.1.1.3 showing responses for consumption of Coca-Cola

120

100

80
yes
60
no
40

20

0
Number of respondents In percentage

Chart: 4.1.1.3 showing responses for consumption of coca-cola

INFERENCE:

The table depicts that number of respondents for the answer yes is more than the
answer no to the product user. For YES 96% of consumers responded where as for NO 4% of
the consumers responded.

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TABLE SHOWS THE FREQUENCY OF CONSUMPTION

FREQUENCY NUMBER OF IN PERCENTAGE


RESPONDENTS

ONCE IN A WHILE 73 62.93%

ON OCCASIONS 43 37.06%

TOTAL 116 100%

Table: 4.1.1.4 showing the frequency of consumption

NUMBER OF RESPONDENTS

ONCE IN A WHILE
ON OCCASIONS
TOTAL

Chart: 4.1.1.4 showing the frequency of consumption

INFERENCE:

The diagram depicts that the frequency to the products of cocacola is greater in once
in a while than on occasions.

So it can be said the users of the drinks are once in a while according to conditions of
climate.

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TABLE SHOWING THE PREFERABLE OCCASIONS TO HAVE SOFT DRINKS

CATEGORY NUMBER OF IN PERCENTAGE


RESPONDENTS

PARTIES 62 53.44%

WEDDING OCCASIONS 21 18.10%

DINNERS 12 10.34%

FESTIVALS 10 8.62%

FAREWELLS 11 9.48%

Table: 4.1.1.5 Showing preferable occasions to have soft drinks

NUMBER OF RESPONDENTS

PARTIES
WEDDING OCCASSIONS
DINNERS
FESTIVALS
FAREWELL DAYS

Chart: 4.1.1.5 Showing preferable occasions to have soft drinks

INFERENCE:

The diagram depicts that the preferable occasions to have soft drinks has been
greater during the parties, compared to the wedding occasions, dinners, festivals, fare well
days.

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TABLE SHOWING THE DIFFERENT PACKAGES OF SOFT DRINKS SUIT FOR


OCCASIONAL CONSUMPTION

DIFF PACKAGES NUMBER OF IN PERCENTAGE


RESPONDENTS

1.25LIT 46 40%

1.5LIT 15 13%

2LIT 26 22%

ALL THE ABOVE 29 25%

TOTAL 116 100%

Table: 4.1.1.6 showing the different packages for occasional consumption

Different packages Number of


respondents

1.25lit
1.5lit
2lit
All the above

Chart: 4.1.1.6 showing the different packages for occasional consumption

INFERENCE:

The diagram depicts that the packages of capacity 1.25 L, 2 L, 1.50 L are consumed in
lower order level and in the mixed proportion of all the three are also included in the users
mind set.

So it gives the clear idea that the production can be given importance to all the
packages and as mixed variants.

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TABLE SHOWING WHEATHER 1.25LIT PACK IS A BETTER


REPLACEMENT FOR 1.5LIT PACK.

REPLACEMENT NUMBER OF IN PERCENTAGE


RESPONDENTS

YES 114 98%

NO 2 2%

TOTAL 116 100%

Table: 4.1.1.7 showing 1.25lit pack is a better replacement for 1.5lit pack

Replacement catagory Number of


respondents

Yes
No
Total

Chart: 4.1.1.7 showing 1.25lit pack is a better replacement for 1.5lit pack

INFERENCE:

Totally 98 % of respondents told 1.25lit pack is better replacement for 1.5lit pack

So the company can concentrate more on 1.25lit pack.

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TABLE SHOWING THE REASON FOR SELECTION

REASON NUMBER OF IN PERCENTAGE


RESPONDENTS

PRICE 44 38%

PACKING 11 10%

QUANTITY 19 16%

ALL THE ABOVE 42 36%

TOTAL 116 100%

Table: 4.1.1.8 showing the reason for selection

120

100

80

60 Reason for selection


Number of respondents
40
Reason for selection In
20 percentage
0

Chart: 4.1.1.8 showing the reason for selection

INFERENCE:

From the above chart it depicts that the reaso for selecting the product od cocacola is
all the elements that are interlinkled to the product and so the compay has to give importance
to all the elements of the product.

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TABLE SHOWING THE AVAILABILITY OF 1.25LIT PACK

AVAILABILITY OF PACK NUMBER OF IN PERCENTAGE


RESPONDENTS

ALL THE TIME 96 83%

RARELY 15 13%

NOT AVAILABLE 5 4%

TOTAL 116 100%

Table: 4.1.1.9 showing the availability of 1.25lit pack

TOTAL

NOT AVAILABLE IN PERCENTAGE

RARELY NUMBER OF
RESPONDENTS

ALL THE TIME

0 20 40 60 80 100 120

Chart: 4.1.1.9 showing the availability of 1.25lit pack

INFERENCE:

From the above chart it depicts that the aailability of the product is always there and
so the product should be optimally available to the customers in all needs .

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THE TABLE SHOWING WHEATER 1.25LIT PACK IS AFFORDABLE PRICE

AFFORDABLE NUMBER OF IN PERCENTAGE


RESPONDENTS

YES 113 97%

NO 3 3%

TOTAL 116 100%

Table: 4.1.1.10 showing wheather 1.25lit pack is affordable price

120

100

80
NUMBER OF
RESPONDENTS
60
IN PERCENTAGE
40

20

0
YES NO TOTAL

Chart: 4.1.1.10 showing wheather 1.25lit pack is affordable price

INFERENCE:

From the above chart it depicts that the price of the product is affordable and the
company to maintain thier cost of production and find the wasy that can still more reduce the
price of the product.

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THE TABLE SHOWING THE AWARENESS OF THE PROMOTIONAL SCHEME


RUNNING ON THIS PACK

AWARENESS NUMBER OF IN PERCENTAGE


RESPONDENTS

YES 77 66%

NO 39 34%

TOTAL 116 100%

Table: 4.1.1.11 showing the awareness of the promotional scheme running


on this pack

120

100

80
NUMBER OF
RESPONDENTS
60
IN PERCENTAGE
40

20

0
YES NO TOTAL

Chart: 4.1.1.11 showing the awareness of the promotional scheme running on this pack

INFERENCE:

From the above chart it depicts that the percentasge of the awareness of the product is
77% and it should made more that all the customer of the soft drinks should be aware of our
product.

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TABLE SHOWING THE MEDIA OF PROMOTION

MEDIA NUMBER OF IN PERCENTAGE


RESPONDENTS

TV ADVERTISEMENTS 45 58%

POS MATERIALS 1 1.5%

OUTDOOR MEDIA 1 1.5%

BY RETAILERS 30 39%

TOTAL 77 100%

Table: 4.1.1.12 showing the media of promotion

Media of promotion Number of


respondents

Tv advertisements
POS materials
Outdoor media
By retailers
Total

Chart: 4.1.1.12 showing the media of promotion

INFERENCE:

From the above chart it depicts that people are aware to the television advertisement
rather than the outdoormedia , so the compay can tyake steps to increase the ways to
familiraise the product among the pulic

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THE TABLE SHOWING THE MOST PREFERRED PRODUCT

PREFERENCE NUMBER OF IN PERCENTAGE


RESPONDENTS

PEPSI &CO(1LIT-33/-) 5 4%

COCA COLA CO(1.25LIT- 111 96%


33/-)

TOTAL 116 100%

Table: 4.1.1.13 showing the most preferred product

140

120

100

80
Preference of product In
60 percentage
Preference of product
40 Number of respondents
20

0
Pepsi &co(1lit- Coca cola Total
33/-) co(1.25lit-33/-)

Chart: 4.1.1.13 showing the most preferred product

INFERENCE:

From the aboe chart it depicts that the consumers are always rational consumers and
always prefer to that in all the line of the prodcts , so the company has to make decisin on that
variate.

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TABLE SHOWING THE BRAND PREFERENCE

PREFERENCE NUMBER OF IN PERCENTAGE


RESPONDENTS

COCA COLA 12 10%

THUMS UP 26 22%

SPRITE 52 45%

FANTA 16 14%

LIMCA 11 9%

TOTAL 116 100%

Table: 4.1.1.14 showing the brand preference

Coca cola
Thums up
Sprite
Fanta
Limca
Total

Chart: 4.1.1.14 showing the brand preference

INFERENCE:

From the above chart it depicts that brand preference for the basis type of product is
less and it has more concentration of the range of the company products and now the
company has to focus to familiraise the main product of the company

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CHI-SQUARE TEST
Age and frequency of consumption
The analysis is done to know whether there is significant relationship between the age
of the respondents and frequency of consumption of soft drinks.

NULL HYPOTHESIS:
There is no significant relationship between age of the respondents and their
frequency of consumption of soft drinks.

ALTERNATE HYPOTHESIS:
There is a significant difference relationship between age of the respondents and their
frequency of consumption of soft drinks.

CHI-SQUARE TEST
Gender and occasion preferred

The analysis is done to know whether there is significant relationship between the gender and
the occasion they preferred to have the soft drink .

NULL HYPOTHESIS:
There is no significant relationship between gender of the respondents and the
occasion preferred for the consumption of soft drinks.

ALTERNATE HYPOTHESIS:
There is a significant difference relationship between gender of the respondents and
the occasion preferred for the consumption of soft drinks.

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Analysis for age and frequency of consumption


gender Male Female Total
occasion
Parties 30 21 51
Meeting friends 20 8 28
During summer 18 7 25
Thirsty 5 3 8
Anytime 3 1 4
Total 76 40 116

Calculation for gender and occasion preferred

Observed(O) Expected(E) (O-E) (O-E)2 (O-E)2/E


30 33 -3 9 0.2727
21 18 3 9 0.5
20 18 2 4 0.222
8 10 -2 4 0.4
18 16 2 4 0.25
7 9 -2 4 0.444
5 5.24 -0.24 0.0576 0.0109
3 2.75 0.25 0.0625 0.0227
3 2.62 0.38 0.1444 0.0551
1 1.37 -0.37 0.1369 0.0999
Total 2.2773

Calculated value of chi-square was found to be 2.2773

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DEGREE OF FREEDOM =(R-1) (C-1)


=(5-1) (2-1)
=4*1
=4
Table value at 5% level of significance at degree of freedom 4 is 9.488
2.2773<9.488

Since calculated value of chi-square is lesser than the table value, null hypothesis is
accepted and alternate hypothesis is rejected.

Result:
There is no significant relationship between gender of respondents and preference of
occasion for consumption of soft drinks.

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4.1.1 KARL PEARSON CORRELATION ANALYSIS

The analysis is done to know whether there is significant relationship in gender of the
respondents and the selection of specific brand in coca-cola.

NULL HYPOTHESIS:
There is no significant relationship between the gender of the respondents and the
selection of specific brand in coca-cola company.

ALTERNATE HYPOTHESIS:
There is a significant difference relationship between gender of the respondents and
the selection of specific brand in coca-cola company.

Analysis for gender and selection of brand

variable Male Female


brands x y xy X2 Y2
Coke 08 04 32 64 16
Thums up 18 08 144 324 64
Sprite 38 14 532 1444 196
Fanta 08 08 64 64 64
Limca 05 06 30 25 36
Total 76 40 802 1921 376

Standard deviation of x = √∑x2/n –(∑x/n)2


=√1921/5 –(76/5)2
=12.4
Standard deviation of y=√∑y2/n-(∑y/n)2
=√376/5-(40/5)2

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=3.35
Cov(x,y) =∑xy/n-(∑x/n)(∑y/n)
=802/5-(76/5)(40/5)
=160.4-121.6
=38.8
Coefficient of correlation r =Cov(xy)/⌐x*⌐y
=38.8/41.54
=0.9340
since the ‗r‘ value exist between -1 and +1 the correlation is present
Result:
There is a significant relationship exist between the gender and the choice of selecting
the brand in the coca- cola company.

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CHAPTER - 5

FINDINGS AND SUGGETIONS

5.1 Findings:

 96% of the consumers purchase coca cola soft drinks and its other brands due to
brand image and next comes to quality.
 Coca cola has got wide range of brands compared to other competitive companies
like Pepsi co and Agro Company.
 98% of the respondents feel that the 1.25lit pack is the better replacement for 1.5 lit.
 About 60% of the consumers purchase sprite brand.
 96% of the respondents revealed that 1.25 lit packs is having best affordable price.
 Out of 116 customers interviewed, most of the respondents were in the age group of
10-20 i.e., 39.79% with the majority of respondents being male ie, 66% and most of
them are college students.
 38% of the customers are satisfied with the price offered by coca cola company
 It was seen that 45% prefer sprite and 22% prefer thums up as a very popular brands
of coca cola.
 58% of the Respondents are thinking that T.V advertisements are the most effective
than any other media for advertisement.
 Consumers are less aware of Rs. 5/- of promotional scheme running on this pack.
 Respondents expect good taste, low price and more awareness.
 From the survey it is clear that most of the consumers have come to know about this
product through 58% advertisements and 39% through retailers.
 53.44% of the customers purchase coca cola soft drinks for the purpose of parties
and in summer season.
 From the survey it is evident that most of the consumers are not aware of 1.25lit
pack and its price off.
 The availability of 1.25 lit. Frizz pack is less in Rural areas

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5.2Suggestions:

On the basis of the findings and observation these are the some of the suggestion:

 First and foremost the company should pay attention to its advertising, strategy
though it is the number one brand in soft drink industry. As most of the consumers
are not aware of its different types of offers provided by the company. Through
advertising media such as T.V and outdoor media can create awareness in the
people.
 The company should provide service in the areas where the packs are not available
always. Because some of the respondents opinion is there is no availability of pack
in rural areas.
 Though most of the people agree with the consistency of the quality they wish to
maintain the same quality.
 Finely the relation that exists between the customer and the company is based on
trust and confidence for goods and goodwill, it is a very delicate alliance, and nut
also needed one. So coca cola cannot displease its consumers who is in turn
goodwill earners for the company.
 Coco – Cola Company can introduce new models in the market. Its products need

new look as was suggested by many respondents.

 Specially 1.25 lit pack needs more promotional schemes to increase it sales.
 All the time the pack should be available to rural areas at their convenience.

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5.3Conclusion:
Based on the Results and Findings we can conclude that

Today, coca cola is the number one brand from other brands in the global market. Coca
cola company brands have become the symbol of quality and brand image.

Besides, sales of different brands are also increasing every year. For the increasing demand,
they have also increased production capacities of existing units in moula-ali, Vijayawada,
srikalahasthi, athmakur.

Coca Cola Company has got good brand image all over the world, most of the consumers are
satisfied with quality, price and so on.

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BIBILIOGRAPHY

 Philip Kotler, marketing management , principles of marketing, seventh edition, 2003

 Suja R.Nair, consumer behaviour, Himalaya Publishing house, Edition 2006

 Etzel, Walker, Stanton and Pandit, Marketing concepts, Tata MC Graw-hill, thirteenth
edition.

 C.R.Kothari, Research and methodology , second edition New Age International


Publication.

 Journals and Publications of KMF

 Company records

Websites:
 www.KMFNandinicoop.com

 www.indiandairy.com

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Consumer buying behavior on 1.25lit pack in


coca cola
1. Name:

2. Age group:

a. 10-20yrs b. 20-30yrs c. 30-40yrs d. 40-50yrs e. 50 and above

3. Do you consume coca cola soft drinks?


a. Yes b. no
4. How often will you consume soft drinks?
a. Once in a while b. on occasions
5. What are the occasions do you prefer to have a soft drink as a part?
a. Parties b.wedding occasions c. Dinners d.Festivals e. Farewell days
6. What are the packs do you think will suit for occasional consumption?
a.1.25lit b.1.5lit
c.2lit d. all the above
7. What is the special thing you have find in 1.25 lit pack?
a. price b. packing
c. quantity d. all the above
8. Do you think 1.25lit pack is a better replacement for 1.5lit pack?
a. yes b. no
9. Is that pack is available at your convenience?
a. all the time b. rarely
c. not available
10. Is the price of 1.25lit pack is affordable?
a. yes b. no
11. Do you aware of the Rs 5 price off promotional scheme running on this pack?
a. yes b. no
12. If yes
By which media you came to know?
a. TV advertisements b.POS materials
c. outdoor media d. By retailers

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13. If you are given a chance which product do you prefer the most?
a. Pepsi co(1lit-Rs33) [ ]
b. coca cola(1.25lit-Rs33) [ ]

14. Which brands you like most in 1.25lit Pack?

a. Coca-cola ( )

b. Thums up ( )

c. Sprite ( )

d. Fanta ( )

e. Limca ( )

15. Suggetions if any?

Thanks for your co-operation

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