Name: Shreesti Ghosh, Roll No.8

Location: Gurgaon

Project Title: Market Penetration of Georgia

Name of the Organization: Coca-Cola India Pvt. Ltd.

04/08/23 1

CORPORATE INTERNSHIP PROGRAM SUBMITTED IN PARTIAL FULFILMENT OF PGDM PROGRAM 2012-14,FIIB,N.D.

Company Mentor

1. Arijit MitraNational Sales Manager-Commercial BeveragesCoca-Cola India Pvt. Ltd.

2. Manjula DhimanNational Marketing ManagerCoca-Cola India Pvt. Ltd.

Faculty Mentor

Abhijit Roy Senior Professor FIIB, New Delhi

THE COCA-COLA COMPANY

• Coca-Cola was developed in 1886 by Dr. John S. Pemberton. • Coca-Cola operates in over 215 countries across the globe.

• Coca-Cola sells more than 1 billion drinks a day and employs 1,50,000 people directly and indirectly all over the world.

• Sell over 22 billion unit cases in a year – that is over 100 billion litres.

• Net Operating Revenue of Over 24 Billion US$.

• Today over 77% of their business comes from their international Operations.

World’s coffee and tea market is expected to reach almost $70 billion by 2015

04/08/23 2

Tea, 57.4%

Alcohol, 7.3%Milk, 5.7% Coffee, 5.5%

Lassi, 3.8%

CSD, 3.0% Fresh

Juice, 2.8%

Packaged Water, 2.6%

Fresh Lime Water, 2.4%

Packaged Milk, 2.0%

Bulk Water, 1.8%

Others, 5.7%

TEA & COFFEE INDUSTRY IN INDIAIndia & China account for over 58% of worlds tea production & consumption.India is the largest consumer of tea in the world by volume.Market size of Tea & Coffee in India is roughly 20000 crores & growing at 5% annually.There are roughly 5000 branded coffee shops or baristas across India and growing at over 35% annually, with almost all major international players making a presence.

OBJECTIVES

04/08/23 3

•Expanding the business portfolio from B2B to B2C.

•Brand awareness of Georgia and gaining channel insights in the EnD segment.

•Receptiveness of Georgia at various organizations.

•Analyzing the Georgia business and understanding the industry.

Business development and increasing the sales of Georgia by adding new accounts to Georgia’s business.

04/08/23 4

PROJECT METHODOLOGYData Collection: • Primary Data-Personal interviews, questionnaires• Secondary Data-Internet, company documents/previous reports

Description of Work:• Market Visits• Communication of business proposal(email, telephone)• Fix up meetings• Strike the deal• Supply of stock

 

Data Analysis:• Competitive analysis(tools-SWOT and strategy canvas)• Analysis of beverage at organizations(convenience sampling)• Statistical tools: MS excel

 

Findings:• Reasons for unsuccessful business• Recommendation and the deciding parameters for the same

04/08/23 5

The project will be

carried out to Delhi

and other parts of

India as well

gradually by the

Georgia team.

• Launched in 2002• GEORGIA Gold Coffee & Tea are served in McDonalds India and Subway.

STORY

04/08/23 6

HOTB2C CoffeePremix TeaPremix Cocoa

Rs. 1.70L

HOTPremix CoffeePremix TeaPremix Soup

Best in ClassRs. 0.35L

COLDPremix ILTPremix IPTPremix Coffee

Rs. 1.00L

COLDPremix ILTPremix IPTPremix Coffee

Rs. 0.35L

2012: Introduced Seaga & Crathco M/C’s

Increased Focus From Organized Players Vending ~ Rs.3000 Cr, 2 YR CAGR 40%

HUL 28% share50,000 M/CsRs. 500 CR

NESTLE35% share65,000 M/C’sRs.700CR

CAFÉ COFFE DAY12% share20,000 M/C’sRs. 200 CR

HOT T&CPREMIX VENDING

HOT & COLD T&CPREMIX VENDING

HOT B2C VENDING

F&H AMAZON5% share15,000 M/C’s

HOT PREMIX & B2C

04/08/23 7

Currently, Georgia Is 0.2% of Tea & Coffee Industry and 2% of OOH Vending.

CHANNEL OF SALES

B2B

CORPORATESHEALTHCAREMANUFACTURING

B2B

CORPORATESHEALTHCAREMANUFACTURING

B2C

CATERERSRETAIL SHOPSQSRSTUCK SHOPS

B2C

CATERERSRETAIL SHOPSQSRSTUCK SHOPS

COST COST COST HYGIENE & QUALITY SERVICES BRAND RANGE OF PRODUCTS ENGAGEMENT

04/08/23 8

E n D RECRUITMENT PROJECT

Channel Captive Strength Expected Cuppage Targetted

RentalCar Showrooms 50-100 100-200 500-1000Bike Showrooms 50-100 100-200 500-1000

Hospitals & Clinics 100+ 200+ 500-1000Schools 50 100 500-1000Colleges 100+ 200 500-1000

Tution Centres 50 100-200 500-1000Stand Alone Cinema   50 + 500-1000Jewellery Showrooms 50+ 100 500-1000

High Footfall Apparel Showrooms 50+ 100 500-1000Government Offices 50+ 100 500-1000

Offices 50+ 100 500-1000Hotel Cafeterias 50+ 100 500-1000

Eating Joints/Bakeries/Kiosks 20+ 25-30 1000+Gyms 20+ 30 1000+Salons 20+ 30 1000+Spas 20+ 30 1000+

04/08/23 9

BUSINESS PROPOSAL FOR GEORGIA COLD COFFEE AND ICE TEA

1) To prepare cold beverage from premix instead of Vending Machine 2) To Install Vending machine.

 To Use Premix only

Advantage of using Premix Only

•No chances of breakdown of machine•Very less/ no electricity consumption to make beverage•Remove the problem of space to keep machine•It will take 2-3 minutes to prepare the beverage•No spillage of beverage•Consistent taste of the beverage•Consistent temperature of the beverage

Requirement 

1)      One scoop to measure premix while preparing the beverage. (Company provides the same)2)      Arrange Coffee Shaker/Sipper to make the beverage else you can also arrange a hand blender which will blend the water with premix to make beverage.

04/08/23 10

COSTING AND OTHER DETAILS OF BEVERAGE

Beverage Drink Volume Grammage Used

No. Of Glasses/Kg

Price/Kg Price/Cup

Ice Tea 200 ml 25 40 225 5.63

Cold Coffee 200 ml 34 29 370 12.58

The premix model reduces operational efficiency as well.

To Install Georgia Vending Machine 

• Provide used (not brand new) cold vending machine which will meet the expectation aesthetically & operationally with an exciting array of beverages.• Provide cold vending machines on monthly rent of Rs 1000/mc/month. • Request for a person from the other end to do daily sanitization and maintaining hygiene for better operational efficiency.• Sign a machine bailment agreement to enable the company to start the equipment installation process.

04/08/23 11

OFFER FOR COLD BEVERAGES: PER CUP PRICING

DATA COLLECTION

Format of Daily Report

04/08/23 12

OUTLETS COVERED

04/08/23 13

OUTLETS WHERE SAMPLING MEETING WAS FIXED

04/08/23 14

SUCCESSFUL OUTLETS

04/08/23 15

New

Accounts

Indirect way of entering the market/restaurant which use

Pepsi products.

SAMPLING AT CORPORATE OFFICES

04/08/23 16

Beverage Analysis

04/08/23 17

SWOT ANALYSIS OF GEORGIA

04/08/23 18

Strength

Employee engagement by the Coca-Cola India family.Vending equipment and spares directly managed by Coca-Cola India Pvt. Ltd.Centralized CRMWidest range of product portfolioUse of dairy whitener which improves hygiene and removes hidden costs associated with wastage and electricity consumption.

Weakness

Cost of vending machine higher than other competitors.Passive Georgia India website and online engagement platform absent.Absence of brand tagline (low brand awareness).Non-availability of product in in-house and retail.Absence of café/kiosks.

Opportunity

Tea and coffee continue to top the beverage industry.Expanding the business from B2B to B2C (in-home and retail) with special focus on premix.Increasing working class and urbanization leading to more preference of premix.Increase in usage occasions both in-home and OOH.

Threat

Highly cluttered market.Price competition.Increasing media spends by competitors like Nescafe, CCD, Lipton etc. reducing Georgia’s share of voice.Regular expansion of product portfolios by the top players.

STRATEGY CANVAS OF GEORGIA V/S OTHER COMPETITORS

04/08/23 19

FINDINGS

REASONS FOR UNSUCCESSFUL OUTLETS

• Existing partnership with some other brands like Pepsico.• Many food joints have the perception that preparing the beverage is a hassle and it’s better to sell

packaged ready-to-drink beverage.• Premix is provided to outlets where minimum cuppage does not matter and vending machines are

provided to those outlets whose minimum cuppage is 50 because the vending machine is provided at a rental of Rs.1000/month.

• Not much demand for ice tea in Indian eating outlets like Rajdhani, The Chowk etc.• Adequate amount of pre-existing stock like Monin syrup for ice tea.

Reasons for unsuccessful B2B deal• Cost• Profit

04/08/23 20

SIGNIFICANT OPPORTUNITY TO EXPAND BUSINESSCurrently, Georgia Is 0.2% Of Tea & Coffee Industry And 2% Of OOH Vending

Brand Tagline

Association with movies

Café citizen cards

GEORGIA

04/08/23 21

IMPACT OF THE RECOMMENDATIONS ON THE ORGANIZATION

• Pilot launch of Georgia RTD cold coffee and ice tea by end of August 2013.

• Digital marketing( social media presence, active brand website).

• Helped the organization gain insights in the EnD segment.

04/08/23 22

LIMITATIONS

•The market covered was confined to Gurgaon only.•Chances of some biasness could not be eliminated.

ACADEMIC LEARNING INTERNSHIP

04/08/23 23

Selling and Negotiation TechniquesBusiness Communication-I,II(email, report)Strategy canvasSWOT analysisSampling techniques

PERSONAL LEARNING

Realistic view of the peoples’ behavior and attitude in the organization.Organization cultureEase of work-no pressureEasy to sustain but difficult to get in

04/08/23 24