Coca Cola India

Anoop Mohan|0058/21Ankushree Gupta|0049/51

Ankit SIngh|0056/51Anubhav Mittal|0061/51Priyam Bansal|4010/51

Naman Kawatra|0219/51

Thickening the RED

COCA COLA INDIA

Started global expansion

1920s 1950s

Entered India

1977

Left India Re-entered India

1993

ACQUSITIONS

• Acquired Thums Up which was the leading soft drink brand in India

• Latter added other brands like Limca, Goldspot, Mazza etc to its profile

VALUE CHAINCOCA COLA concentrate BOTTLERS CUSTOMERS

FUNCTIONS• Owns brand Coca Cola• Marketing the brand

PRODUCES• Concentrate• Beverage Cases• Syrups

FUNCTIONS• Production• Distribution

OWNERSHIP• Globally 78% bottlers not Coca Cola

owned• In India 50 bottlers with 25 owned

by Coke and 25 with franchises

• 46% rural customers• 64% urban customers

OTHERS

HPPCL

The Coke CampaignCelebrating a century of coke bottle

Market Segment relevantpricing strategy

Distribution outsourced through bottling agents

Acquistion of Brands from Parle

Re-enters India in 1993

RED• Right Execution Daily• Tool to measure sales team &

distributors performance in outlets with respect to all parameters of sales• Coolers• Brand Pack Availability• Channel activation

• Efficient brand displays and Visibility ventures

• Control over how the brand was displayed

• Increased visibility• Volume wise segmentation of customers• Control of how brand is displayed at

retail

• Increasing cost of sales force recruitment

• Visiting cost• Training cost• Infrastructure cost• Transportation cost• Smaller volumes delivered at frequent

intervals

Advantages

Disadvantages

Visibility Strategies

Availability Strategies

Activation Strategies

• Wall Paintings• Display Boards of

Coca Cola showcasing names of shops

• Hoardings• Parivartan training

program• Roadshows and fairs• Visi-Coolers• Aamir Khan TV ads

• Decentralized mode of Distribution

• Hub and Spoke model

• Transportation costs in the last mile borne by small distributors• Rickshaws• Cycle rickshaws• Hand carts

• Addresses working capital problem of retailers of villages

• Smaller loads and frequent deliveries

• Low cost iceboxes to distributors

• Rs.5 price point

• Smaller SKUs

• Stalls at fairs

• Activation during roadshows

RURAL MARKETING CHALLENGES

• Distributors travel large distance to reach about 4-5 shops with drop size of a case ( makes it uneconomical)• Shifted to three tier

• Power Availability

• Lack of proper infrastructure and Roads

• Lower income

• Consumption Habits

• Low penetration of conventional media