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Project Report on Coca cola
I am grateful to Mr. Israr Ahmad (A.S.M) of Coca Cola Company, who has given an opportunity for me to work in Coca Cola Company.
I would like to thank to my institute also where I got all the knowledge and skills required for this research project. I also want to thank to Marketing Faculty Mr. Prashant M who took our project seriously and kept check on this time to time.
Without the co-operation of the above person this work
Certainly would not have been as good as, it is now.
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 {Ghaziabad}.
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
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
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.
Product lines of Coke& Pepsi are as follows:-
FLAVOUR
COKE BRAND
PEPSI BRAND
Cola Coca-Cola
Thums-up
Coke diet
Pepsi
Pepsi 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
PRICE
PLACE
PROMOTION CUSTOMER NEED AND WANTS
COST TO THE 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
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 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
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 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
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
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
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
FIGURE 8
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
FIGURE 10
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
FIGURE 12
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
FIGURE 14
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
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
FIGURE 17
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
FIGURE 19
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
FIGURE 21
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
FIGURE 23
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.
PROJECT 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.
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
9 PLEASE RANK THE FOLLOWING ACCORDING TO THE MARKET DEMAND?
a. ( ) PEPSI ( ) COCA-COLA ( ) THUMS-UP
b. ( ) MIRINDA-O ( ) FANTA
c. ( ) MIRINDA –L ( ) LIMCA ( ) MOUNTAIN-DEW ( ) SPRITE
( ) 7-UP
d. ( ) SLICE ( ) MAAZA
Thanks
If you Have Any Suggestion…………………………( )
Signature
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Project Report on Coca cola
I am grateful to Mr. Israr Ahmad (A.S.M) of Coca Cola Company, who has given an opportunity for me to work in Coca Cola Company.
I would like to thank to my institute also where I got all the knowledge and skills required for this research project. I also want to thank to Marketing Faculty Mr. Prashant M who took our project seriously and kept check on this time to time.
Without the co-operation of the above person this work
Certainly would not have been as good as, it is now.
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 {Ghaziabad}.
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
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
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.
Product lines of Coke& Pepsi are as follows:-
FLAVOUR
COKE BRAND
PEPSI BRAND
Cola Coca-Cola
Thums-up
Coke diet
Pepsi
Pepsi 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
PRICE
PLACE
PROMOTION CUSTOMER NEED AND WANTS
COST TO THE 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
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 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
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 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
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
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
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
FIGURE 8
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
FIGURE 10
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
FIGURE 12
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
FIGURE 14
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
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
FIGURE 17
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
FIGURE 19
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
FIGURE 21
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
FIGURE 23
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.
PROJECT 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.
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
9 PLEASE RANK THE FOLLOWING ACCORDING TO THE MARKET DEMAND?
a. ( ) PEPSI ( ) COCA-COLA ( ) THUMS-UP
b. ( ) MIRINDA-O ( ) FANTA
c. ( ) MIRINDA –L ( ) LIMCA ( ) MOUNTAIN-DEW ( ) SPRITE
( ) 7-UP
d. ( ) SLICE ( ) MAAZA
Thanks
If you Have Any Suggestion…………………………( )
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