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A STUDY OF CONSUMER PREFERENCE TOWARDS

COLD DRINKS AT
COCA-COLA BEVERAGE PVT. LTD.,

Title of project report

SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENTS OF


MASTER OF BUSINESS ADMINISTRATION

By
Name
ROLL NO :
CENTRE CODE :

SIKKIM MANIPAL UNIVERSITY


Of Health, Medical and technological sciences Distance education wing
Syndicate House
Manipal – 576104
GUIDE DECLARATION

The project report of Name

ROLL NO:
Title
“Project name”
Is approved and is acceptable in quality and form

This is to certify that “QUALITY OF WORK LIFE”

conducted in “Company Name” is based on original project

study conducted by Name under my guidance and supervision.

Internal Examiner
External Examiner

LETTER HEAD – CERTIFICATE


TO WHOM IT MAY CONCERN

This is to certify that project on ”QUALITY OF WORK LIFE”


submitted in partial fulfillment of the requirements of Master of
Business Administration(MBA), is a bonafide work of Name under my
guidance. I wish her best of luck for her future endeavor.

To the best of my knowledge, this is her original effort.

Yours sincerely,
For Company name .

HR Manager

STUDENT DECLARATION
Project
I hereby declare that this project report entitled “

name” conducted in “Company name” has been


prepared during the year 2010. It is my original work done under the
guidance of Mr. Name, faculty of MANIPAL UNIVERSITY.

I hereby declare that, this project report has not been


submitted to any other university or college for the award of any
degree or diploma.

Student name

REG NO :

ACKNOWLEDGEMENT
I extend my sincere gratitude and appreciation to many people who made this research
project possible. Special thanks are due to my internal supervisor Mr.Name, Mr. Name
(HR Manager, Company name.), Mr. ( Marketing dept., Company name )
.). I am highly indebted to them for guiding me in carrying out this research in the field of
corporate sector. I would also like to acknowledge with much appreciation the pain they
have undertaken for the completion of my project in due course of time.

My heartfelt thanks are due to the other employees of Company name. for
enabling me to access the information about various aspects of the company.

I am also grateful to Mr. Name (Designation) for allowing me to carry out this
study in Company name.

Sikkim Manipal University, SrudentName

Date:

A Project Report A STUDY OF CONSUMER PREFERENCE TOWARDS


COLD DRINKS
TABLE OF CONTENTS

Section – A

Industry and Company profile


Executive Summary
 COMPANY PROFILE
 ORGANIZATIONAL STRUCTURE
 PRODUCT OF THE COMPANY
 COPETATIVE AREA
 SWOT ANALYSIS OF COMPANY
 MARKETING STRATEGY OF THE COMPANY
 INTRODUCTION OF PROJECT
 RESEARCH OBJECTIVE
Section – B

Research Methodology

 RESEARCH METHODOLOGY
 DATA ANALYSIS & FINDINGS
 LIMITATIONS
 RECOMMENDATIONS
 CONCLUSIONS
ANNEXURE

 QUESTIONNAIRE
 LIST OF RETAILER
BIBLIOGRAPHY

PREFACE
Soft drink includes all types of non alcoholic carbonate flavoured or

otherwise sweetened beverages. Soft drinks are mostly packaged in 200 ml,

300 ml, 500 ml, 1000 ml, 1500 ml, and 2000 ml and comes in a variety of
flavours. It also comes in glass as well as in plastic bottles.5ince so many

changes and transformations are under going ever changing consumer

demands, Govt. Policies and innovative packaging. Then industries are

much emphasizing advertising to increase its sales.

With the introduction of fruit pulp based soft drinks, packaged in cardboard

cartoons known as "TERRAPACK" has been introduced in the market. The

bottled soft drink market has undergone a marginal decreases in demand

After 1994 the eminent re-entry of coca-cola in Indian soft drink Industry it

is heading for two giants war to capture the market. It has introduced various

sharp and efficient tools say tour packages, prizes gift other avenues to

enhance social status and satisfying personal egos also.

EXECUTIVE - SUMMARY

This project was undertaken during the summer Training. A great


deal of effort has been put in preparing the questionnaire, in order to
understand the market better .

Objectives: -

1. Extent to which merchandising assets are being used by the


retailers in promoting the brands.
2. Market demand of Coca Cola and Thums-up vis-à-vis Pepsi.
3. Market demand of Fanta vis-à-vis Mirinda-O
4. Market demand of Limca, Mountain dew, Sprite and 7up vis-à-
vis Mirinda-L
5. Market demand of Maaza vis-à-vis Slice.
6. Market comparison of all the available brands of the soft drinks
in the market.
7. Brands availability of Coca-cola and its brands vis-à-vis Pepsi
and its brands.

A BRIEF DESCRIPTION OF THE FINDINGS:

1. Extent to which merchandising assets are being used by the


retailers in promoting the brands: -
Retailer who are having DPS Boards / GSB and other display
material like stands, posters etc. were selected. Display material on
the retailers shop was given rank between 1, 2 and 3 according to
their visibility. If the DPS Boards / GSB and other display material
were found visible at first sight then they have been ranked '1st', if
they were found visible at second sight then they have been ranked
'2nd' otherwise '3rd'.In the similar fashion ranks were allotted to the
refrigerators in the retailers shop.

While entering each shop it was taken care that the display materials
are properly ranked according to there visibility and incase of
confusion, opinion of the consumers were taken. Those shops with
GSB’s were visited during the evening in order to see there visibility.
In these cases some glaring facts were found. (Areas which were
looking like monopoly markets of Coca-Cola because of its Red-color
during the day had altogether a different look in the evening. They
turned into Pepsi monopoly during the evening because of the GSB's.
Researcher have also tried to find out what are the difficulties
retailers are facing on using these brands up to 100% of their
strength.

2. Market demand of each of Coca-Cola's product vis-à-vis to


their competitor flavours in Pepsi's artillery: -

For this, retailers were asked about the market demand of the
different brands and they have been asked to rank the brands with
respect to their competitive flavors. In this also some interesting facts
came out like no lemon brand exists in front of Coca Cola. Our
Limca, which we were thinking that it will be competing with
Mountain dew, actually it is grabbing the Coca-Cola's Sprite’s
market and Pepsi’s, 7up's market. In case of Mirinda (O) and
Coca-Cola's Fanta, Mirinda’s market is going up day by day.

In case of mango drinks Slice even after entering the market so late
has been able to quickly pick up with Maaza. From the day Tetra
Slice has entered the market it has captured the market of Frooti.In
case of Aquafina, Coca-Cola's Kinley stands nowhere but brands
which are competing with kit are Paras, Bisleri, and Kingfisher.

3. Market comparison of all the available pickings of the soft


drinks in the market: -

In the market this study is done to find out that on which packing,
company should concentrate more. From the day company has
introduced its 200ml packs, Coca-Cola is more economical for the
lower income grade consumers like Riksha-pullars and others.

4. Brands/ Pack availability of Coca-cola and its brands vis-à-vis


Pepsi and its brands: -

For this study, retailers were asked that how many bottles they are
having in their fridge and how many of them are of the brand whose
fridge they are having and about the capacity of their fridge. In spite
of these findings Researcher have worked on some other things like
retailers expectations from the company. He tried to find out how the
company can increase the sales. In the answer to this some funny
recommendations came up (some consumers recommended that
Pepsi should change the percentage of the sweetening content of its
cola drinks). Secondly he tried to find out what are the problems they
are facing in promoting Pepsi.

“Jo Dikhta Hai Wo Bikta Hai”

COMPANY PROFILE

If we Indians recall our memory there was a time when one was
asked for a soft drink, the brand that comes and gave a knock on our
mind was Coca-Cola. Coca-Cola, the word most admired trademark
has maintained its special a sense of belongingness to India, which
had resulted some sort of its monopoly throughout the Indian soft
drink market. It has been said that the internal environment of the
industry has been greatly effected from its internal environment. The
same thing was also happen with this famous company. When the
Government policy were in introduce and forced this MNC's to go
outside from the India market. Hence, it was thrown out of India in the
year 1977. A lacuna was created at that time in the country's soft
drinks market. How ever after a gap of 17 years, the Coca-cola has
reappeared in the soft drinks market of India, by making itself more
strong and confident in this field.

In today's market, the cola's (Coke, Thumsup, Pepsi, etc.) had


a 70% share, Lemon 10% and Orange 20%. There appears to be a
concentrated rush to bag a share in the soft drinks market. Due to a
manifold increase in the demand of soft drinks large number of
company has entered into this competitive market scenario.

In India two major companies engaged in soft drinks market are


Pepsi and Coca-Cola. While RC cola is still a novice in the Indian
Market, although it being the world oldest soft drinks manufacturer.

Pepsi-Cola attacked Coca-cola before World War-II. Coca-Cola


dominated the Americans soft drinks industry. Pepsi-Cola was a drink
costing less to manufacturers and with a less satisfactory taste than
coke.

During the Second World War Pepsi and Coke, both of them
enjoyed a huge sale. After the war the Pepsi sales started to fall
relatively to Coke. The factors which were responsible for the decline
in Pepsi sales were poor image, poor task force, poor quality control
and dull packaging.

It was a momentous day when Coca-Cola staged its reliance in


India. Coca-Cola was relaunched again in India in Sep. 1993 at
Hathras near Agra, where the first bottling facility of Coca-Cola in
India was switched on. The Indian people welcomed the come back
of their most loved cola in the country with great enthusiasm and
vigor. Coca-Cola market its relaunching acquiring 5 Parle Exports
Ltd. Top Selling products Viz-Thums up, Sprite, Limca, Fanta, Mazza,
K. Soda,Kwater,Coke.

In 2000, the company opened a new bottling plant at Dasna in


Agra distt. For the supply of 300 ml Bottle and 1.5 liter Bottles. This
plant is more settled equipped than the plant at Ghaziabad.
A 100 YEARS OF THE SURVY GLASS BOTTLE OF COCA-COLA

Coca-Cola Company marks a mile stone on Wednesday, 24th March


1899 Chattanooga; Tenn where its first bottling plant was started 100
year ago by two men struck one of the most lucrative business deals
in US history. Joseph Whitehead and Benjamin Thomas offered
Coca-Cola Company owner Asia Candler a dollar for the right to
bottle soft drinks in 1899. Today I billion soft drinks are sold each day
in more than 200 countries around the world.
Candler had purchase what would become the Cola Company for
$2,300 eight years earlier from John Pemberton, an Atlanta
Phamacist who astonished the world. Candler thought the bottling
Venture would never succeed, but he signed the contract with White
Head And Thomas and way, "and the rest is history", Bob Lovell, vice
president of marketing for Coca-Cola bottling company, United Inc.,
said in telephone interview from Chattanooga.
Lovell said Thomas had seen Cuban Fields hand drinking Pina Fria a
Pineapple beverages, from bottles while he was stationed in Cuba
during Spanish American War. When he returned to Chattanooga, he
decided to pitch the idea of bottle soft drinks to coke, which was then
sold only as a fountain beverage.
"It occurred to him that Coca-Cola in bottles would be very popular", Lovell said, "Mr.
Candler did not see any future in it because the containers were not sound, but that's how
it all came about. "Thomas and Whitehead promised to pay one dollar for the right to
bottle Coca-Cola, but legend has it that no money changed hands.
THE IMAGE

The image is communicated all around the world in advertisement on


media such as newspaper, magazines, radio and televisions. The list
goes on....

However, image is much than just advertising every person working


within the coca-cola system is part of the image whether one is
involved in creating its advertising, making it's quality products, or
selling, merchandizing and distributing its beverage their hard work
and attitude will say something to the people about its product.

COCA-COLA SYSTEM FLOW CHART

Raw Material

Coca-Cola
Company

Bottler

Customer

Consumer
COCA COLA: THE STORY BEHIND
Coca-Cola was formulated in 1886 by Dr. John Pemberton, a
Pharmacist in Atlanta, Georgia. The drink was sold ad refreshing
elixir at the fountain counter of Jacob's Pharmacy of which Dr. John
Pemberton was part owner, unaware that the pharmacist had given
birth to a caramel colored syrup which is now the chief ingredient of
the worlds favorite drink. Today the white-on-red flow of Coca-Cola is
familiar sight in more then 195 countries. The syrup combines with
the carbonate water to fuel a $ 16.2 billion corporation that has
captured a 46% Slice of the global soft drinks market. The company
estimates that the drink is served more than 773 million times every
day and if all Coke ever produced were filed in standard bottles and
placed end to end it would wrap around the equator 21, 161 times.

The story of Coca-Cola is a story of a drink and its charm with the
consumer. The of ecstasy and again that the drink has caused to
those dedicated to its growth Pemberton first managed to sell and
average of 9 drinks per day, though a shop called Jacob's pharmacy,
in 1891, Candler bought Coca-cola company with four companies he
formed the coca-cola company with the initial stock of $100,000.
Coca-Cola was registered at the US patent office in 1893, and began
selling at soda fountains for 5 cents a glass of therapeutic
refreshment 1894, I got into bottles, courtesy a candy merchant
Joseph Boedenharn of Mississippi.
Five years later; the drink was being bottled on a regular basis under
a region wise franchising system; and its first competitor Pepsi cola,
Coca-Cola's first bottling plant opened in Chatanooga, Tennessee
followed by another in Atlanta in 1900. The unique taste of cola was
an outstanding success. Over the next two decade the number of
plants crossed 1000. In a bit to difference the prodect, the company
adopted 6.5 ounce, pale green countor bottle designed by the root
glass company of Terri Haute, Indiana. Today it is an intrinsic part of
the brand.

The company broadened its horizons when Robert Woodruff the son
of a banker who acquired to Company for $25 million in 1919,
assumed charge in 1923. He began by ungrading bottling operations,
brought in innovations like a six-bottle carry home carton, and gear
up advertising support. It was under Wood Ruff that the brand.
Known affectionately as coke by now associated it self with sportive
events. By the early 1940's the brand was selling as the "real thing"
to set it self apart from "me to" cola's.

As a time went by the company brought out some new aerated


drinks. The first one "Fanta" appeared in the selves in 1960.

Its birth was an accident, the company's German name is an attempt


to produce Coca-Cola without some key ingredients, turned out into
an orange flavored drink instead. its strategists who feared the
dependence on just one put a cap on growth welcomed it. While
Fanta was being rolled out the company bought minute made cosrp.
Which in 1967 was combined with Duncan foods to pave way for the
Coca-Cola foods. Several beverages followed the most notable being
'sprite', a lemon drink developed in the late 1950 and formally
launched in 1961.

Coca-Cola had diversified the company into businesses and it even


had a steam generator and boi8ler making division. Robert C
Goizueta, Cuban born 27 years veteran took over as the Coca-Cola
unlike Pepsi company depended on a single brand. The best
insurance policy that he figured was to let coke evolve to the summer
slacking it with variants, even reinventing if needed. In 1982, the
company launched what is now considered among the world's most
successful brand extensions 'Diet Coke', under the leadership of
Sergio Zyman, the head of us marketing. The idea was to retain the
loyalty for the health conscious drinker who loved the taste but hated
the calories. After this it came out with cafeeine free versions of its
main drinks. yet in the US the company kept losing ground to Pepsi.
zyman, a former Pepsi marketer argued that the correct strategy was
to replace 98 year old with better tasting cola, label it as "New Coke"
and blare the news which is exactly what the company did more a
decode age in 1985. But when placed on the shelves it did not budge.
On wide spread protest it was recalled after 79 days.
The company has about 100 brands in its portfolio but coke, Fanta
and sprite account for most of its sales. In 1994, the real thing's coke
sold over 52.5 billion liters. For the taste of it diet coke along with
Coca-Cola light sold 8.5 billion liters, which makes it the world's two
top non cola drinks sold over 6.5 billion liters each. Which sprite
aimed at the independent youngster two does not care what as
others drink (the as line "obey you're a thrust"). In 1993, Coca-Cola
reentered India after a 16 years ling exile, four years Pepsi made its
debut India. While Coke plays on brand nostalgia. Pepsi address the
young crowd, which unlike a in America is a dominate ort if the
population here.
THE COCA - COLA COMPANY

The Coca - Cola Company is the world's largest beverage company.


Along with Coca - Cola, recognized as the world's best - known
brand, The Coca - Cola Company markets four of the world's top five
soft drink brands, including diet Coke, Fanta and Sprite, and a wide
range of other beverages, including diet and light soft drinks, waters,
juices and juice drinks, teas, coffees and sports drinks. Though the
world's largest distribution system, consumers in more than 200
countries enjoy The Coca - Cola Company's products at a rate
exceeding 1 billion servings each day. For more information about the
Coca - Cola Company, please visit our website at http: // www.coca-
cola.com/.

Forward - Looking Statements

This press release may contain statements, estimates or projections


that constitute "forward - looking statements" as defined under U.S.
federal securities laws. Generally, the words "believe," "expect,"
"intend," "estimate," "anticipate," "Project," "will" and similar
expressions identify forward - looking statements, which generally are
not historical in nature. Forward - looking statements are subject to
certain risks and uncertainties that could cause actual results to differ
materially from The Coca - Cola Company's historical experience and
our present expectations or projections. These risks include, but are
not limited to, changes in economic and political conditions, changes
in the non - alcoholic beverages business environment, including
actions of competitors and changes in consumer preferences;
product boycotts; foreign currency and interest rate fluctuations;
adverse weather conditions; the effectiveness of our advertising and
marketing programs; fluctuations in the cost and availability of raw
materials; our ability to achieve earnings forecasts; regulatory and
legal changes; our ability to penetrate developing and emerging
markets; litigation uncertainties; and other risks discussed in our
Company's filings with the Securities and Exchange Commission (the
"SEC"), including our Annual Report on Form 10-K, which filings are
available from the SEC. You should not place undue reliance on
forward - looking statements, which speak only as of the date they
are made. The Coca Cola Company undertakes on obligation to
publicly update or revise any forward - looking statements.
ORGANIZATIONAL STRUCTURE

CHAIRMAN

PRESIDENT

VICE PRESIDENT

R.G.M.

A.G.M.

I.S.M F.M. S.M. P.M. H.R.M.


.

M.O.E. A.S.M. S.E.

S.E. S.E. S.E.


Where,

R.G.M. : Regional General Manager

A.G.M. : Area General Manager

I.SM. : Information System Manager

F.M. : Finance Manager

S.M. : Sales Manager

P.M. : Production Manager

H.R.M. : Human Resource Manager

A.S.M. : Area Sales Manager

M.O.E. : Marketing Operation Executive

C.D.E. : Cold Drink Executive

S.E. : Sales Executive


PRODUCT PROFILE OF Coca-Cola

The product range of the coke has listed brands:

Coke : 200ml, 300ml, 330ml, 500ml, 1lt, 1.5lt, 2lt

Thumps UP: 200ml, 300ml, 330ml, 500ml, 1lt, 1.5lt, 2lt.

Limca: 200ml, 300ml, 330ml, 500ml, 1lt, 1.5lt, 2lt.

Fanta: 200ml, 300ml, 330ml, 500ml, 1lt, 1.5lt, 2lt.

Sprite: 300ml, 330ml, 500ml, 1lt, 1.5lt, 2lt.

Mazza: 250 ml, Tetra Pack

Diet Coke: 330ml, 1.5 lt, 2lt.

Kn. Soda: 300ml, 500ml,

Kn. Water: 500ml, 1lt, 2lt,


Some facts About Coca Cola Pvt Ltd

Head office Atlanta (U.S.A)

Corporate office Enkay Towers,


Udyog viharV,
Gurgaon,Haryana

Chief Executive officer Alex von Behr

Total Investment Rs.3200 Crore

Owned Bottling Plants 35

No. of Franchisees 16

No. of Employees 6000


THE FUTURE OF COCA-COLA

While dong business overseas offers Coke wonderful growth


opportunities it also has its own disadvantages. The economic
slowdown in various overseas markets and the strong dollar had their
impact on Coca-Cola revenues and bottom line in 1999. But the
company optimistic about the future.

Mc-Douglas Investor, The Chief Executive Officer of the Coca-Cola


Company says, "This past year 1999 has been a challenging period
for the Coca-Cola Company as economic environment became more
uncertain in the later part of 1999, we strongly believe that our
fundamental opportunities for long term growth have not changed".

As long as maximization of share holder wealth remain coke's focus


for its future4 is assured Goizueta had stated and proven to the world
that focus on shareholder wealth does more good to the company
than focus on revenues and it is not hat coke does not enjoy volumes
for it is world's No. 1 soft drink manufacture. It is not content with this
title and is aiming at higher volumes year after year. Surely coke will
continue to grow. Point on Roberto had reduced the company
basically to its trademark and the returns are so astronomical as to be
off the boards. It just absolutely added a jet engine to their
performance.

COKE'S BOTTLING STRATEGIES

In the soft drink business the bottlers are responsible significant


extent for ensuring the availability of the products. Bottlers are
supplied with concentrate to which they add aerated water and bother
ingredients before packing and sealing either cans or bottles. Bottlers
play a strategic role in the success of soft drinks companies and this
was not far from Goiueta's mind.

In 1986 the company merged some of its company owned bottling


operations with two large ownership groups that had been put up for
sale. All these bottling activities were combined to from its own
subsidiary Coca-Cola Enterprises (CCE) to handle bottling
operations. The Coca-Cola Company took 49 percent equity stake in
Coca-Cola Enterprises enabling it to retain its own balance sheet.
MARKET PLACE

More than a billion times everyday, thirsty people around the world reach for
Coca-Cola products for refreshment. They deserve the highest quality-every
time. Our promise to deliver that quality is the most important promise we make.
And it involves a worldwide, yet distinctively local, network of bottling partners,
suppliers, distributors and retailers whose success is paramount to our own. Our
investment in local communities in over 200 countries totals billions of dollars in
jobs, facilities, marketing, the purchase of local goods and services, ands local
business partnerships, always and everywhere, we pursue continuous innovation
in the products we offer, the processes we use to make them, the packages we
develop and the ways we bring them to market.
COMPETITOR

The biggest and perhaps the only serious for the coca-cola worldwide has
an already been Pepsi. In India, as per as the Cola segment is concerned the
with the biggest competition to coke comes from its brands of Pepsi viz. Pepsi
and Mirinda. Thums-up, which was the leading brand of Parley product, was
acquired by Coca-Cola just over a year ago to bolster its market share in India.
Today, Thums-up along with coke, the leading brand of the Coca-Cola Company,
other still competition to Pepsi, which despite this stiff competition is still by far
the single most popular Cola drink in India

With both the companies being backed fully by the parent concerns based
in the united state, the fight to become the dominant player in the huge Indian
Soft drink market continues unabated. Aggressive ad campaign's, sale-
promotion, schemes for retailers are just some of the strategies being adopted by
the two companies to outwit each other and grab and large share of the market.

In the Cola segment, which occupies by far the largest chunk of the soft
drink market in India, the market share of Coke is 60%while the market share of
Thums-up is 32.16%. The market share of Coke in this Cola Segment is 27.84%.
The remaining market share is occupied by the other brands, which constitute
about 14% of the Cola market share.

So Coca-Cola with its two brand clubbed together i.e. Thums-up + Coke
occupies a combined market share of 60% (32.16% + 27.84%)

which is just higher than the market share occupied by Pepsi on the all India
basis.
The market share for the Cola segment of different in India is given in Graph
below:

The fight between the Rs. 1,000 Crore Pepsi co. India. Pepsi and Coca-
Cola India, The fully owned subsidiary of the $ 18.55 Billion Atlanta based "The
Coca-Cola' company to become India's No. 1 player seems likely to continue
unabated over the next four years".
PEPSI PROFILE

Pepsi Co. Inc. was founded in the year 1965. Major products of the new
company are Pepsi Cola. Diet Pepsi and Mountain Dew. Pepsi entered the
Indian market in 1992 and now is the market leader with a market share of 26.5
percent in the cola segment. Pepsi is in between the two of it's closet competitors
as far as marketing strategies are concerned. Pepsi is an international drink with
Indian imagery in it's communication Traditional focus of Pepsi has been on the
early teenager with a gender skew more to the female.

Pepsi is by far the more aggressive player in the market. With in your face
advertising continuous event marketing targeting the new generation and eye
catching merchandising. It's got its selling strategy well mapped out.
The company has always been innovating it's ad campaigns which has helped
the company to get top of the mind recall. From "The choice of the new
generation" to the "Freedom" campaign the company has been able to Indianise
the brand. With the help of promotional schemes Pepsi has managed to keep the
brand alive and has not let it become old. During 1995 the total ad spent by the
company was Rs. 6.98 crore only on television Pepsi has set aside Rs. 8 crore
for its advertising programme in the run up to and during the cricket world cup.

Pepsi Brand Name

pepsi pepsi Diet mirinda mirinda lime 7 up Slice

pepsi
pepsi Diet mirinda

mirinda lime 7 up
Slice

Product lines of Coke& Pepsi are as follows:-


FLAVOUR COKE BRAND PEPSI BRAND

Cola Coca-Cola Pepsi

Thums-up Pepsi diet

Coke diet

Orange Fanta Mirinda

Cloudy Lemon Limca Mirinda lime

Clear lime Sprite 7up

Mango Maaza Slice


COMPETITIVE AREA

The soft drink market all over the world has been witnessing a neck
to neck battle between the two major players, Coca-Cola and Pepsi
since the very beginning. The thirst quenchers are trying hard to have
to major chunk of the pie of carbonated soft drink market. Both the
players are spending their energies in building capacity,
infrastructure, promotional activities etc.

Coca-cola being 11 years older than Pepsi has dominated the scene
in most of the soft drink markets in the world and enjoying leadership
in terms of market share. But the Coca-Cola people are finding it hard
to keep away Pepsi, which has been narrowing the gaps regularly.
The two are posing threats to each other in every nook and corner of
the world. While Coca-Cola has been earning most of its bread and
butter through beverage sales, Pepsi has a multi products portfolio
with some portion from the same business.

The two warriors are face to once again here in India with different
strategies and tactics to attack the rival. Coca-Cola is focusing upon
the joint ventures with the existing bottlers (FOBO) franchise owned
bottling operations to enhance its control on manufacturing and
marketing of its products range and attain the quality standards of its
class.

Countering it Pepsi has taken the battle its own hands by floating as
investment of $ 95 billion to set Pepsi Company. India holdings, as
subsidiary for (COBO) Company owned bottling operations. Both
the companies are following different path to reach the same destiny
i.e. to fetch the bigger portion of aerated soft drink market. Both
consider India
a huge potential market, as per capita consumption here is a mere 3
serving annually against the world average of 80. Therefore, they are
putting in their best efforts to woo the Indian consumer who has to
work for 1.5 hours to buy a bottle of soft drink. In comparison to the
international norms minutes, a major hurdle to cross over for both the
athletes for getting No. 1 position comparison tot he inter. Coca-Cola
is well set with its 53 bottling sites through out the country giving tit an
edge over competition by processing a well-built bottling and
distribution set-up. On the other hand, Pepsi, with two more years in
India, has been able to set an image of a winner in India and has
been able to get the pulse of the India soft drink market. The soft
drink giants are leaving on stone unturned and her for the long terms.

Coca-Cola has been penetrating the market through its wide product
range with a determination to change consumption pattern of soft
drink in India. Firstly, they upgraded the whole industry by
introduction 300 ml bottles, which in turn had given the industry a
booming growth of 20% as compared to the earlier 5%. They want to
develop a coca culture here and are working on a strategy to offer
soft drink in every possible package. In Coca-Cola camp, the idea of
competition has not come from Pepsi, but from the other beverages
such as tea, coffee, Nimbu Pani, water etc. Pepsi is quite aggressive
in its approach to Indian Consumer. They are desperately working on
the strategy to be winners in the hot cola war between two big
barons. According to Pepsi philosophy, it's the madness that
encourages executive to think, to conjure up those creative tactics to
knock the fizz out their competition. Pepsi had plumbed a large on the
visibility of its blue red and white logo. They have been going with
aggressive marketing by putting Sachin Tendulkar, Akshay Kumar
and now Shahrukh Khan in their advertisement to endorse their
brand, the role models for its targeted consumer the teenagers. They
have increased the fizz in the market place by

introducing the dispensers called Fountain Pepsi and has been


enjoying a lead over its rival there.

Coca-Cola on the other hand, has been working on the saying slow
and steady wins the race's side by retailing to every more of its
competitor. They have procured the shield of Thums-Up with a
handsome market share in Indian soft drink market.

Countering Pepsi's international commercial that used two


chimpanzees to cock a snoop at coke, Thums-up come with the ad
line, Don't be Bandar, taste the Thunder. Also Thums-Up has been
positioned now very near to that young image of Pepsi and giving it a
though time.

These cool merchants have put everything on fire. It Coke got the status of
the official drink of wills. World Cup, Pepsi blushed as nothing official
about it. As Thums-Up projected as 'Saaree Jahan Se Achcha' Pepsi was
passionate enough with 'Freedom to be' and now the "Yeh Dil Mange More"
when Thums-Up came with Thunder Blast, the other offered 'Pepsi Stuff
Card'. If Red is meant for coke, Pepsi has chosen to be blue.
MAIN COMPETITORS

COCA-COLA V/s PEPSI

Coca-Cola Pepsi
Total Investment in India Rs. 250 Crores Rs. 500 Crores
New Investments Rs. 2400 Crores Rs. 300 Crores
Number of Employee 140 2400
Number of owned bottling Plants 9 11
Number of Franchisees 54 15
Number of Fountain 1500 4000
Total Investment by bottlers Rs. 125 Crores Nil
New Plants Planned Nil 6
(Data of 2005-06 )
Overall volume of Coca-Cola products have increased by 40% whereas the
industry growth rate is 20%. Last year total sale of soft drink Industry in India was
approximately 170 million crates. Out of these around 60% was of Cola and other
40% was of non-Cola Brands.

Sources of Data :- This Last Year data is provided by Sales

Executive of

Company.
MARKETING MIX

Prof. Neil H Barden defines marketing mix as 'the appointment of


effort, the combination, the designing and integration of the elements
of the marketing into a programme of mix which will best achieve the
objective of the enterprise at the give time."

Marketing mix is the set of marketing tools that the firm uses to
pursue its marketing objective of in the target market. The marketing
problems are analyzed:
1. By utilizing the important forces emanating from the marketing
operation of an enterprise.
2. By adopting producer & for an efficient marketing programme.

ELEMENTS OF MARKETING MIX

The marketing mix denotes a combination of various elements


which in their totally constitute affirms marketing system. McCarthy
popularized a four factor classification of the se tools called the four
P"s, product, price, place promotion.
PRODUCTS

 Product variety
 Quality
 Design product
 Brand name
 Feature
 Packaging
 Size service
 Warranties
 Returns

PRICE

 List Price

 Discounts

 Allowances

 Payment period

 Credit teams
PLACE
 Channels

 Coverage
 Place assessments
 Locations
 Inventory
 Transports

PROMOTION

 Sales promotion

 Advertisement

 Sales Forces

 Public relations

 Direct marketing
The particulars marketing variable under each P are shown below:

4 Ps 4 Cs

 PRODUCT  CUSTOMER NEED

 PRICE AND WANTS

 PLACE  COST TO THE

 PROMOTION CUSTOMER

 CONVENIENCE

 COMMUNICATION
DISTRIBUTION IN THE COCA-COLA SYSTEM

GETTING PRODUCTS TO MARKET


One of the value of the coca-cola system is presence that coca-cola
should exist everywhere. In the words of former CEO-India
operations - Richard Nichoilas, "Our goal is to have coke
available within an arm's reach of desire". To fulfill this gool, coca-
cola not only produces products, but also has an effective systems to
distribute them all over India.

DISTRIBUTION
Distribution Sales + Delivery + Merchandising + Local Account
Managemetn.

Distribution of Coke's products includes the activities of sales,


delivery merchandizing and local accounts management. These are
two major types of distribution systems.

(i) Direct and Indirect

In direct distribution, the bottler partner direct control over the


activities of sales, delivery, merchandizing and local account
management.
In indirect distribution, an organization which is not a part of the
coca-cola system has control of one or more of the distribution
elements (Sales, Merchandizing and local accounts managements).

With Direct distribution there are two types of sales:-

Advanced sales and conventional sales.

In conventional sales, all the distribution activities (Sales, Delivery,


Merchandizing and Local Accounts Management) are performed by
the same persons.

In advanced sales, sales and delivery are performed by different


people within the coco-cola system.

Difference between a Customer and a Consumers.

 A consumer is some one who drinks coca-cola products.


 A customer is a business location which sells or serves coca-cola
products to consumers.
MERCHANDIZING
One the products are delivered to the customer's they are promoted
at the point-of-purchase to maximize the company's sales
opportunities, merchandizing involves looking at the presentation of
the products through the eyes of the consumers. It is an on-going
process that help the company present its products properly to the
consumers in the market place for instance, is the display attractive?
Are the product neatly organized.

PRESENTING THE PRODUCTS


Coca-Cola presents its products for sale in four different ways. They
are as follows:

 Secondary Display
 Coolers
 Vending Machines
 Post Mix / Pre Mix
INDIA'S RELATIONSHIP WITH COCA-COLA
Just after independence, the Maharaja of Patiala oversaw his coca-
Cola-Cola hoarding from his huge, ornate palace, Coca-Cola export
representative Frank Harrold, was awed by the Maharaja's opulent
life style. In 1993 after Coca-Cola returned to India after a 16 years
absence (beorge Fernandes threw the company out of the country in
1977 on the pre text that it had refuse to divalge its formula to Indian
officials), CEO of the Coca-Cola Company, Robesto boirueta
"Salivated over a virtually untapped market of 840 million people".
PROMOTION : THE COCA-COLA WAY

Goal for the 90's


"To place coca-cola within an arm's reach of desire.

Consumer activity clusters:

 Grocery shopping
 Other shopping & services
 Eating and drinking Entertainment/ Recreation. Leisure
 Travel / Transportation/ Hospitality
 Educational
 At Work

The 3A's:

The strategy for reaching in creasing numbers of consumers in India


is based on the belief that consumers will buy our products it they are
Available, Affordable and Acceptable.

Strategies for the 3A's


 Focus on the consumer and customer,
 To provide quality customer services, and caring about the quality
of performance in respective jobs.
 Caring enough about what we do, to it the best we know how.

The 3A's is Coca-Cola underlying strategy for meeting its goal to


reach increasing numbers of consumer's. How does coke position its
limited resources to help meet its good. Let us explore the specific
ways in which the Coca-Cola system addresses each of the 3A's.

AVAILABILITY
Some of the way sin which the Coca-Cola Company hopes to
increase availability of its product include improved or innovative
packaging, dispensing systems, distributions system, marketing.

AFFORDABILITY
The ways to address affordability include pricing decisions, as well as
resource management. To make its product available at a price
affordable to the consumer. Continually processes more efficient and
therefore more cost-effective.

ACCEPTABILITY
Making coca-Cola brand products the beverage choice for any
occasion's depends on a variety of strategies to reach the target
audience. The common strategies adopted to effect acceptability
were though sponsorships, promotion youth market activities,
community programs, and other activates.

SWOT ANALYSIS

STRENGTHS:

 Coke Company has a good market reputation


and a strong distribution network.
 Coke is having a multi brand strategy ad is
looking for a great volume opportunity in India.

 Coke is presently no. 1 player in Indian


Carbonated soft drinks market.

 Coke was born 11 year before Pepsi (in 1987) ad


a century later still maintains that pioneering least.

 Pepsi and coke both have good brand image.

WEAKNESS:

 Coke has less no. of retailers

 Less force - it has less no. Have owned bottling


plant.

 It has not planned for setting up of any new


plants where their competitor has planned to set up
several new plants.

OPPORTUNITY:
 A rapidly growing market, which is expanding @
205 every year.

 It can take the market very well with the new


investment of Rs. 2400 corers.

 It can give a big jerk to its major competitor


Pepsi it can increase its number of fountain to a
sizeable amount.

 Increasing trend of cold drink of different brands.

THREATS:

 It has a continuous threat from Pepsi as well as


various other local soft drinks.

 Coke has a major market than Pepsi between


the teenager as well as the student due to
advertisement of world cup cricket.

 A large amount of expenses on the


advertisement.
 There is no proper policy of distributing the
merchandising assets of the company to the
retailers.

MARKETING STRATEGIES
1) Coca-Cola sales club:

This club is for the retailers. In this approach retailers are given some
points once in a month depending upon how they are using the
display material provided by the company to them. This material
consists of Fridges, DPS Boards, Glow Sign Boards, Display
Bottles (500ml. 1lt. 2lt, Commodity Packs, Stands, Posters etc.
Depending upon these points retailers are rewarded by certain
gifts from the company.
The retailers are participating in these schemes curiously. But few of
the retailers found furious and angry because they had lost the
points because of miscommunication or lack of guidance.
Therefore they need some kind of guidance from the company. It
would be a better idea that our salesman who are distributing the
beverages to the retailers can be equipped by the appropriate
training so that they can guide the retailers about how to use their
display material to 100% of their strength and able to tell about
the new schemes convincingly.

2) Schemes:

Hindustan Beverages India comes out with the schemes on their


different products many times in a year. Most of these schemes are
made to benefit the retailers. Some of the schemes are as follows:
• 1 bottle of 2lt. free with one 2lt bottle pack.
• 1 bottle of 1lt. free with one 1lt bottle pack.
• 2 bottles of 500ml free with one 500ml bottle pack.
• 6 bottles of Kinley free with one pack of Kinley.

These schemes keep on changing depending upon the stock.


Beverages companies are giving these schemes despite of acute
shortage of soft drink in every segment to meet the competition, to
make sure the availability their brands and sometimes to satisfy and
benefit the retailers and the end consumers.

3) Advertising:

Through the consumers survey it has been proved that the T.V.
commercials and sinages affect the consumer buying behaviour by
approximately 70%. May be only Cococola. is investing huge
finances in the T.V. commercials and other sinages, big names of
Indian film industries and sports hero’s are being proposed to
become the brand promoters and brand ambassadors. Amir Khan,
Akshay Kumar, Hritik Roshan, Riya Sen and more are being offered
huge amount for carrying out the promotions.
• Posters
• DPS boards
• Glow Sign boards
• Date calendars
• Cinema hall tickets
• Radio commercial

4) Promotion through restaurants and cinema hall holdings:

Coca-cola is tying up with different chains of restaurants and fast


food centers to promote the Coca-cola and its other brands like
Limca, Sprite, Maaza etc. these restaurants are authorized to keep
and use the merchandising assets of Pepsi. Usually these kinds of
restaurants and fast food chains are in contract with the Pepsi Co.,
so that they cannot promote any other brand.

5) Merchandising assets:

Coca-Cola also try to promote their brands by providing their retailers


and dealers some display items. Some of such items are as follows:
1. Fridges
2. Coca-Cola/Mazza stands
3. Display bottles
4. Posters
Coca-Cola provide the above things to the retailers to use them in
promoting companies brands and products, and provide refrigerators
to the retailers in the hope that these retailers only use these assets
in promoting the Coca-Cola’s products and they will chill the Coca-
Cola’s products so that its products will always be available to the
end consumers. But it is not true in most of the cases. Retailers
usually use the merchandising asset of one company in such a way
that it benefits another company. Sometime they do it unknowingly,
sometimes they do it knowingly and sometimes because of the
deficiencies of the company

itself. These deficiencies are as follows: -

1. Irregularity of the salesman to the retailers shop.


2. Shortage of the different products and different packages.
3. Sometimes because of the rude behavior of the salesman.

6) Strengthen distribution network and promotions through


word of mouth through sales man:

Unlike the rival brand Pepsi, Coca-Cola co.. Basically depends upon
its sales man for promoting and launching the new as well as old
brands because instead of doing the business through dealer’s
network like Pepsi, Coca-cola believes in making and maintaining
relations with retailers directly. Therefore salesman is the very
important part of Coca-cola co. marketing strategy.
INTRODUCTION

Every year with the start of summers in India the real race to quench
the thirst of the consumers begins in the soft drink beverages
industry. Every year millions participate in it, either in the hot sun or
sitting at home watching their, sipping the soft drink and watching the
newly launched advertisements.

Lime n' lemoni Limca

Soft drinks manufacturers in India face a number of major problems,


such as distribution difficulties. Access to the 500,000 villages is
limited due to the poor road network. Inconsistent tax policies, the
prevalence of duplicates, hefty packaging costs and India's seasonal
nature are other factors holding back growth.

During New Year the two of the largest soft drink giants in India Pepsi
and Coca-Cola start experiments with products, packages, flavors
and prices in an effort to boost their market share. For this the biggies
make huge investments in terms of advertising, setting up new and
more productive and modernized plants, improving the distribution
network to get better reach to the end consumer.

One of the areas where these companies are making huge


investments is merchandising. This is the area where companies try
to get the maximum display in the consumer’s eyes at the retailers
shop through refrigerators, glow signboards, DPS boards, stands,
posters, display bottles etc. But the question arises that whether
these retailers are making the proper use of these materials, which
the company is providing them. Are they using these materials to
their optimum level in promoting the product of the company that has
provided them the
merchandising material? Are the companies getting the optimum
results of the investments they are making in this area?

Researcher have tried to find out answers to the above questions in


his research work, which researcher has conducted during his
summer training during the partial fulfillment of his MBA programme.
RESEARCH OBJECTIVE

PRIMARY OBJECTIVES:

• To find out to which extent merchandising assets are being


used by the retailers in promoting the product of coca-cola

• To find out Market demand of Coca Cola and Thums up vis-à-


vis Pepsi

• To find out Market demand of Fanta vis-à-vis Mirinda-O

• To find out Market demand of Limca, Sprite vis-à-vis Mirinda-L


and 7up

• To find out Market demand of Maaza vis-à-vis Slice.

SECONDARY OBJECTIVES:-

• To find out Market comparison of all the available brands of the


soft drinks in the market.

• Brands availability of Coca-cola and its brands vis-à-vis Pepsi


and its brands.
RESEARCH METHODOLOGY

Researcher began his survey with route riding, i.e. traveling along
with the sales persons on his daily trip to service the retailers.
Researcher asked the retailers about their uses of Coca-cola
merchandises and try to Asses the market share of the Coca-cola’s
different brands. This is very important point as it gave me an inside
view of the whole setup and further on during the planning of any of
the promotions. Researcher was aware of the limitations and
strengths of the environment he would be working in. The various
methods and principles adopted are listed below:

• Research Plan:
Date sources: sources of information are as follows:

(1) Primary sources


Who’s the primary source??

Retailers are the primary source.

(2) Secondary sources – Researcher collected secondary


information from Journals of Company, News papers,Magazines.
• Research Approach:
Researcher followed one approach to collect the information

(1) Survey – Researcher contacted the retailers in the market place


to gather the relevant information.
(2) Number of Retailers contacted – 200 Retailers.
• Survey Area: Kanpur & NEAR BY AREAS
1) Kanpur, Station road
2) Kanpur,Main market
3) Bhaguwala Market ,Kanpur Road
4) Kotwali market ,Lucknow road
5) Shanpur, Main Market
6) Raipur Market, Nagina Road
7) Haridwar road, Chidiapur
8) Kiratpur Market
• Research instrument:
Researcher used questionnaire as his instrument for conducting the
survey.

• Sampling Plan
(1) Sampling unit – Retailers
(2) Sampling procedure- Simple Random Sampling Procedure.
• Contact Method
Researcher personally contacted the retailers.
Where f = Feed Back (Help in Controlling the Sub System to Which it is transmitted )

Ff = Feed Forward (serves the vital function of providing criteria for


evaluation)
DATA ANALYSIS & FINDINGS

FIGURE 1

Out of Coca-Cola and Pepsi Beverages India Limited


whose GSB do you have ?

PBI
11%

Coca-Cola
14% PBI
Coca-Cola
Both
Both
5%
None
None
70%

 Out of the sample size which has been covered only 11 % of


the shops had Pepsi’s GSB’s vis a vis to 14 % of Coca-Cola’s
GSB’s.

 14 % of the sample size had the GSB’s of both the major


players of the soft drink industry.

 70% of the sample size didn’t have any of the GSB’s displayed.
GSB-GLOW SIGN BOARD
PBI-PEPSI BEVERAGES IND LTD

FIGURE 2

Ranking according to visibility - Pepsi ? Ranking according to visibility - Coca Cola ?

14% 13%

14% Rank 1 Rank 1


Rank 2 49% Rank 2
Rank 3 Rank 3
38%
72%

 72% of the shops having Pepsi GSB’s got the 1st rank
according to their visibility status on the other hand only 14%
of the retailers got the rank 2nd and 3rd each. This shows that
retailers who got the GSB as display material from the company
are using them satisfyingly.

 49% of the shops having Coca-Cola GSB’s got the rank 1st
according to their visibility status on the other hand 38% of the
retailers got the rank 2nd and only 13% of the retailers got the
rank 3rd. This shows that in comparison to Coca-Cola,
Pepsico.’s GSB are being used in more proper way.
FIGURE 3

Out of Coca-Cola and Pepsi Beverages India Limited


whose DPS Board do you have ?

PBI
27%
PBI
Coca-Cola

Coca-Cola Both
None
8% None
62%
Both
3%

 Out of the sample size which has been covered 27 % of the


shops had Pepsi’s DPS Boards vis -a -vis to 8 % of Coca-
Cola’s DPS’s.

 3 % of the sample size had the DPS Boards of both the major
players of the soft drink industry.

 62% of the sample size didn’t have any of the DPS Boards
displayed.
*DPS-DISTRIBUTOR PROMOTINAL SIGNAGE*
FIGURE 4

Ranking according to visibility - Pepsi ? Ranking according to visibility - Coca Cola ?

0% 12%
18%

18%
Rank 1 Rank 1
Rank 2 Rank 2
Rank 3 Rank 3

70%
82%

 82% of the shops having Pepsico. DPS Boards got the rank 1st
according to their visibility status on the other hand 18% of the
retailers got the ranks 2nd and nobody got the 3rd. This shows
that retailers who got the DPS Boards as display material from
the company are using them satisfyingly.

 70% of the shops having Coca-Cola DPS Boards got the rank
1st according to their visibility status on the other hand 18% of
the retailers got the rank 2nd and only 12% of the retailers got
the rank 3rd. This shows that in comparison to Coca-Cola,
Pepsico.’s DPS Boards are being used in far more satisfyingly.
FIGURE 5

EMBED Excel.Chart.8 \s

27% 25%

11%
37%

PBI COCA-COLA BOTH OWN

 Out of the sample size, which has been covered 37% % of the
shops, had CocaCola’s refrigerator vis a vis to 25 % of Pepsi’s
refrigerator. This shows that percentage distribution of the
refrigerators of Coca-cola co. is more than Pepsico. .

 11 % of the sample size had the refrigerator of both the major


players of the soft drink industry.
 27% of the sample size didn’t have any of the company’s
refrigerators; they are using their own refrigerators for the
chilling purpose.
FIGURE 6

Ranking according to visibility - Pepsi ? Ranking according to visibility - Coca Cola ?

8% 0%

33%
24%
Rank 1 Rank 1
Rank 2 Rank 2
Rank 3 Rank 3

68% 67%

 68% of the shops having Pepsico. refrigerators got the rank 1st
according to their visibility status on the other hand only 24% of
the retailers got the ranks 2nd and 8% of the retailers got the
rank 3rd. This shows that retailers who got the refrigerators as
display material from the company are not using them
satisfyingly.
 Only 33% of the shops having Coca-Cola refrigerators got the
rank 1st according to their visibility status on the other hand
67% of the retailers got the rank 2nd and none of the retailers
got the rank 3rd. This shows that in comparison to Coca-Cola,
Pepsico.’s refrigerators are being used in far more proper way.

FIGURE 7
How many Bottles of PBI/ Coca-Cola do you have in
your fridge

PBI, 4260
4500
4000 Coca-Cola, 3368
3500
3000
PBI
2500
Coca-Cola
2000
1500
1000
500
0
PBI Coca-Cola

FIGURE 8

Availabity Comparision between Pepsi and Coca-Cola at the


Outlets - using Coca-cola Merchandising Asset

Coca-Cola
44% PBI
PBI Coca-Cola
56%

In the CocaCola’s refrigerators 56% of the Pepsi bottles were found.


This shows that CocaCola’s refrigerators are not being used to
optimum by the retailers in promoting CocaCola’s products.
FIGURE 9
Reasons for not optimum use of Refrigerator / Ice Box
at outlets ?

Shortage
Shortage
13%
Other
Problem of the Problem of the Empty
36%
Empty bottle bottle
17% Irregularity of the Salesman

Other
Irregularity of the
Salesman
34%

FIGURE 10

Other Reasons for low optimum use of Coca-cola' s Assets

Others
11% Low Demand
Low Demand
promises from Smaller Fridge
Unfulfilled 34%
the Company
Representatives Unfulfilled promises from the
22% Company Representatives
Smaller Fridge Others
33%
 While giving the reasons for not using the Coca-Cola’s
refrigerators 34% of the retailers blame it to the lack of regular
services from the company (irregularity of the salesman), 17%
of the retailers voted to the problem of the empty bottles of
Hindustan Beverages India, 13% voted for the shortage of the
different packing.

 Despite of all the above reasons a huge segment 36% blame it


to different other reasons for below optimum use of
refrigerators.

 Out of the 36% other major reasons low demand (33%) and
lesser capacity refrigerators (34%) got the maximum share.

 Despite of all the above there are even major number of


retailers who blame it to the unfulfilled promises from the
company professionals.
FIGURE 11

Approximate sale of the retailer

100
90
80
70
60
50
40
30
20
10
0
0.5 to 2 3 to 5 6 to 10 More Than 10

FIGURE 12

Approximate sale of the retailer

More Than 10 0.5 to 2


18% 8%

6 to 10 3 to 5
28% 46%
 The sample size shows that maximum portion (around 46 %) of
the retailers whose sale are between 3 to 5 crates daily and
only 8 % are the ones who are selling less that two crates.
FIGURE 13

How the retailler gets display material from the


company ?

70

60

50

40

30

20

10

0
Schemes Gift Sharing / Draft Other

FIGURE 14

How the retailler gets display material from the


company ?

Gift
40%
Sharing / Draft
21%

Other
Schemes 6%
33%

 The sample size gives us the brief idea about the pattern of
distribution of merchandising assets by the companies. Most of
the retailers (around 73%) are getting the display material
through different schemes or as the gifts.
FIGURE 15

Market Demand of different packings of Soft-Drinks

2lt
200ml
26%
30% 2lt
1lt
500ml
1lt 300ml
7% 200ml
300ml 500ml
23% 14%

 This gives us an indication, where the better prospects lies. In


which particular type of packing little innovation can do
wonders. This provides us with an idea where we should
concentrate.

 The sample size shows that there is huge demand of 2lt pack
(26%) and 200ml bottles (30%).

 300ml bottles with 23% shares the 3rd position and 500ml.
Shares the 4th position of the demand total demand with the
market demand of 14%
FIGURE 16

Market Demand of Softdrink ( Cola )

500

400
Pepsi
300
Coca-Cola
200
Thums-up
100
S1
0
Pepsi Coca-Cola Thums-up

FIGURE 17

Market Demand of Softdrink ( Cola )

Thums-up
24%
Pepsi
39% Pepsi
Coca-Cola
Thums-up

Coca-Cola
37%
 Sample size shows the comparison between the market
demands of each of cola drink.
 Pepsi is on the top, shares the demand of 39% from the
market.
 Coca-Cola seconds with the shares of the demand of 39% from
the market beating Thumps up with the remaining 24%

FIGURE 18

Market Demand of Softdrink ( Orange )

290
280
270 Fanta, 285
260 Mirinda-O, 260
250 S1
240
Mirinda-O Fanta

FIGURE 19

Market Demand of Softdrink ( Orange )

Mirinda-O
48%
Fanta
52%
 Sample size shows the comparison between the market
demands of each of Orange drink.
 Mirinda and Fanta are almost head to head with 48% and 52%
market demand. Though Fanta is having 4% more share than
Mirinda Orange.
FIGURE 20

Market Demand of Softdrink ( Lemon )

Sprite 7 Up
5% Mirinda-L
9%
27%

Mountain Dew
28%
Limca
31%
FIGURE 21

Market Demand of Softdrink ( Lemon )

1000
800
Limca, 865
600 Mountain Dew,
Mirinda-L, 735
400 770 Sprite, 235
200 7 Up, 123
S1
0
Mirinda-L Limca Mountain Sprite 7 Up
Dew
 Sample size shows the comparison between the market
demands of each of Lemon drinks available in the market

 Limca in the lemon flavour with the market demand share of


31% is beating all the giants.

 Pepsi’s two products Mirinda Lemon and Mountain Dew


together with the market demand share of 55% are competing
with the Limca.

 The new entrant to the market, Mountain Dew is gaining the


market share more dynamically than its competitor brands.

 Sprite and 7 up are lacking behind with just the share of 14%.
FIGURE 22

Market Demand of Softdrink ( Mango )

300

295 300

290 290
S1
285
Slice Mazza

FIGURE 23

Market Demand of Softdrink ( Mango )

Mazza, 290

Slice, 300
 Sample size shows the comparison between the market demands of
each of Mango drinks available in the market Slice and Mazza is almost
head to head with 52% and 48% market demand. Though Slice is
having 4% more share than Mazza.
LIMITATION

Despite the possible efforts in conducting the research, there were

some unavoidable situations, which limited the scope of the project.

 Considering the population, the sample taken for present study

seems small and hence further investigation may be required.

 The sample taken for study was not of equal distribution so a

comparative study cannot be made.

 Some of the retailers were non-cooperative in giving

information, which hampered the actual calculation.

 Time available for research was very short so certain aspects

have been overlooked.

 Retailers were hesitant to provide the complete information


due to fear of misuse of information.

 Respondents may sometimes misinterpret the questions,

leading to a different answer.

RECOMMENDATIONS

1. Company should do something to meet its demand in the market.


Because there is an acute shortage of Coca-Cola 2Lts party pack and
tin pack because of the shortage, Coca-Cola is not only loosing the
present market share but also providing way to the rivals. For this
either plant size can be expanded or some more production
equipments can be installed.

2. Since the market capacity is huge salesman needs time at every


retailer to satisfy him and tell him about the different products,
packaging, schemes etc. it’s quite difficult for him to visit every shop
on his route everyday. Therefore, there is necessity to divide his route
into two parts and increase the total number of routes.
3. Sometimes salesman for different routes keeps on changing very
frequently (in a very short period). This should be prohibited because
every sales man needs time to get adjusted to a particular route and
even to know all the shops on the route.

4. Salesman is working for 15 to 16 hours regularly during the peak


season at very low reimbursement, which may sometimes kill his
interest. Therefore there is a need of fixing up his working hours.
Delivery van should be ready when he comes into the depot in the
morning. There should be different labour for shipping or de-shipping
the delivery vans.

5. Company professions must not make the false promises about


the merchandising assets with the retailers. These retailers must get
the proper information and guidance about the company policies on
the merchandising assets. So that there must be no frustration
generated.

6. Though the GSB’s and DPS Boards are being used by the
retailers satisfyingly but still there is need of the guidance for the
retailers.
7. Schemes should be transparent and made clear to the retailers.

8. As maximum number of retailers are selling around 3 to 5 crates


daily. Our schemes should be revolving around this percentage only.
And while formatting the different schemes this should be kept in
mind.

9. For this salesman can be provided with some kind of guidance/


training, so that they can clear the queries of the customers about the
different schemes/ proposals

10. Retailer benefit schemes, which the company launches time by


time during the whole year, must be made clear to all the retailers.
11. Customers can be informed about the schemes through the
broachers. Broachers can be distributed to all the retailers for the
schemes that are being launched once in a year. And for the daily
schemes which get change on daily bases and which depends on the
stock availability providing details about the day's schemes/ after a
paper/ pamphlet on different products can be sticked to the delivery
van signed by the ASM or anybody authorized. So that every retailer
if needed/ required can verify himself about the daily schemes.

12. Company professionals should visit the field more regularly and
they must try to visit every retailer at least once in a month.

13. A proper trust and relationship building process is required with


the retailers, which need to be worked on.

14. Above figures shows the market demand comparison between


the different products of all the flavors available in the market. Which
show that we can gain market share through Coca-Cola’s Limca and
Sprite. So we should concentrate more in completing the market
demand of these products.
15. Above figures shows the market demand comparison between
the different packs available in the market. Which show that we can
gain market share through concentrating more on 2Lt. and 200ml.
pickings. So we should concentrate more in completing the
market demand of these packing

16. Other products and packing like Sprite and 300 ml. Whose
demand is going down require proper attention and strategy.

CONCLUSION
After conducting the research, Researcher found that there are two
categories of retailers. The first one is of those retailers, which just
want to increase their assets, for them the sale doesn’t matter
according to them they can only increase the sale if the company will
invest in them or in their shops. These types of retailers will only work
for the company, which invest in them hugely. And if at any moment
they found company has lost or lowered their interest in them they will
again shift to other major player. Other kinds of retailers are those
who are more bothered about working hard and build their reputation
in the market. These types of retailers are using the merchandising
assets to their optimum level. And sometimes if they are unable to do
so it’s because of the irregularity of the salesman (when the
salesman on the route gets changed) or because of the shortage of
the different products/packing.

• There is a requirement of the company professionals to visit


these retailers continuously. So, that they can understand the
market and suggest changes accordingly. Despite of this,
salesman and other company professionals who visit these
retailers must not do the false promises. Due to this retailers
loose their confidence in the company.

• There is also the need of the transparent schemes and


marketing mix that the retailers can understand more properly.
QUESTIONNAIRE

Name of the SHOP ______________ Tel No.__________________

ADDRESS _____________________________________________

1 OUT OF COCA-COLA AND PEPSI BEVERAGES INDIA LIMITED WHOSE GSB DO


YOU HAVE?
A. PEPSI B COCA-COLA C BOTH D NONE

RANKING ACCORDING TO VISIBILITY?

1 2 3

2 OUT OF COCA-COLA AND PEPSI BEVERAGES INDIA LIMITED WHOSE DPS


BOARD DO YOU HAVE?
A. PEPSI B COCA-COLA C BOTH D NONE

RANKING ACCORDING TO VISIBILITY?

1 2 3
3 OUT OF COCA-COLA AND PEPSI BEVERAGES INDIA LIMITED WHOSE
REFRIGERATOR DO YOU HAVE?
A. PEPSI B COCA-COLA C BOTH D NONE

RANKING ACCORDING TO VISIBILITY?

1 2 3

4 HOW MANY BOTTLES OF COCA-COLA DO YOU HAVE IN YOUR FRIDGE?

COCA-COLA _________________ TOTAL ________________

5 WHAT ARE THE REASONS THAT YOU ARE NOT USING THE REFRIGERATOR / ICE
BOX TO ITS FULL STRENGTH?
A.SHORTAGE [ ] B. EMPTY
PROBLEM [ ]
C . IRREGULARITY OF THE SALESMAN [ ] D. OTHER [ ]

6 APPROXIMATELY HOW MANY CRATES DO YOU SALE?


A. 0.5-2 [ ] B. 3-5[ ] C. 6-10 [ ] D. MORE THAN 10 [
]
7 HOW DO YOU GET THE DISPLAY MATERIAL FROM THE COMPANY?
A. SCHEMES [ ] B GIFT [ ] C SHARING / DRAFT [ ] D OTHER [ ]
8 PLEASE RANK THE FOLLOWING ACCORDING TO THE MARKET DEMAND?
( ) 2 LT. ( ) 1 LT ( ) 500 ML ( ) 300 ML ( ) 200
ML
Retalier List

Name Of Out let Area


9 PLEASE RANK THE FOLLOWING
ACCORDING TO THE MARKET DEMAND?
A. ( ) PEPSI ( ) COCA-COLA (
Shiva sweets Najbabad
) THUMS-UP

B. ( ) MIRINDA-O ( ) FANTA
Saleem Sweets Ghaziabad

C. ( ) MIRINDA –L ( ) LIMCA
Roadways canteen Najbabad
( ) MOUNTAIN-DEW ( ) SPRITE
( ) 7-UP

Ravi P.C.O Najbabad


D. ( ) SLICE ( ) MAAZA

Thanks
Gupta General Store Ghaziabad
If you Have Any
Suggestion…………………………(
)
Nidhi General Store Ghaziabad

Sharma tea Stall Najbabad


Signature

Kumar Sweet Najbabad

Trimohan pan
Bhandar Ghaziabad

Ghai Motel Ghaziabad


BIBLIOGRAPHY
Name of the books used for the reference and their
authors.

1). Kotler, Philip, Marketing Management, Delhi, Pearson

Education Pvt. Ltd., 2004

2). Kothari, C.R., Research Methodology, New Delhi, Wishwa

Prakashan Pvt. Ltd., 2003,pg.14-26.

Websites Referred
http://www.coca-cola.com

Search Engine -

http://www.google.com

MAGAZINES

Time Education Magazine

Business Today

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