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A PROJECT REPORT ONA PROJECT REPORT ON

“A STUDY ON CUSTOMER SATISFACTION”“A STUDY ON CUSTOMER SATISFACTION”

With reference to “ Coca-Cola”

FOR THE PARTIAL FULFILMENT OF THEFOR THE PARTIAL FULFILMENT OF THE

REQUIREMENTS FOR THE DEGREE OF MASTER OFREQUIREMENTS FOR THE DEGREE OF MASTER OF

BUSINESS ADMINISTRATIONBUSINESS ADMINISTRATION

SESSION- 2009-2011SESSION- 2009-2011

SUBMITTED TOSUBMITTED TO

DEVI AHILYA VISHVAVIDHALYA INDOREDEVI AHILYA VISHVAVIDHALYA INDORE

Guided By:Guided By: Submitted By:Submitted By:

Miss. NIDHI JAINMiss. NIDHI JAIN Mr. HARI KRISHANMr. HARI KRISHAN

SHARMASHARMA

(Lecturer)(Lecturer) Roll No.:- 9180676Roll No.:- 9180676

Spec.:- Finance &MarketingSpec.:- Finance &Marketing

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VIKRANT INSTITUTE OF TECH. & MANAGEMENTVIKRANT INSTITUTE OF TECH. & MANAGEMENT

DEPARTMENT OF MANAGEMENT STUDYDEPARTMENT OF MANAGEMENT STUDY

STUDENT DECLARATION

I, Hari Krishan Sharma the student of “Master of Business Administration” from VIKRANT

INSTITUTE OF TECHNOLGY & MANAGEMENT INDORE, affiliated to DAVV University,

Indore hereby declare that all the information facts & figure gathered by me are first hand in nature

and is actually based on my study. Any resemblance from existing works is purely coincidental innature.

Date: HARI KRISHAN SHARMA

Place: M.B.A. IVSem. (Marketing)

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ACKNOWLEDGEMENT

It is nice to express gratitude and appreciation to everyone who is

involved in making this project possible. I don’t have words to

thank them all individually from the bottom of my heart.

I wish to express my deep appreciation to

DAVV University M.B.A. , Indore to give this nice opportunity to

undergo on the research training.

I would like also thankful Mr. Gunjan Baheti

(HOD Of Management Department) to give me their Support &help. I express my thanks to Miss Nidhi jain

(Faculty of Management Department), & other faculty members of

BCPS, Gwalior to guide in completion of this project successfully.

. HARI KRISHAN SHARMA

MBA IV Sem.

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PREFACE

Marketing is too important to be left to the marketing department. David Packard of Hewlett

Packed. The Indian market is getting to be consumer-led. This is the reason behind the

unprecedented boom in advertising. Below the line marketing activities, fast distribution

system and more sophisticated consumer research.

On the media front, satellite proliferation has trigged of a new genre of media research,

which is highly viewer ship based. Consumer satisfaction has become research worthily

Multinationals are pouring in precisely because of this new chapter in Indian consumerism.

The dilemma that all marketers are facing is getting the maximum done in the minimum

possible time. And with brand loyalty becoming a thing of the past, given the choiceavailable to the consumer pull. The consumer could be a purchaser of end products, or a

financial investor, or even an industrial purchaser. Everywhere, there is a new thrust on

marketing and advertising.

The hyper activity in the market place is seeing a boom in support services, with a number of

independent agencies mushrooming to provide them. Co-related to the market book, services

are well on their to becoming a major industry.

The creative leap is increasingly being governed by market realities and consumer research.

And Clint interface is no longer limited to the Clint service people, but including all

specialists in agencies.

The entry multinational products in to the country are seeing more emphasis aid world- class

quality. This along with the loosening of regulations is seeing export gaining ground. From

thinking along the lines of merely exporting spares and raw material the exporters and now

looking towards finished products. A multiplier to this are the joint venture companies

looking at becoming export manufacturing bases.

HARI KRISHAN SHARMA

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CONTENTS

1. Conceptual Framework

a. Introduction of Topic

b. Literature Review

2. Rationale

3. Objective

4. Research Methodology

a. Sample Design

b. Tools for Data Collection

c. Tools for Data Analysis

5. Data Analysis & Interpretation

6. Results/Findings

7. Suggestions

8. Conclusion

9. References/Bibliography

10.Annexure

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INTRODUCTION OF TOPICE

From the beginning of the “customer service revolution” almost 20 years ago, a body

of business research has focused on customer satisfaction and customer-focused

organizations. 1 Business consultants, corporations and others have worked to identify

the

characteristics of organizations that consistently please their customers, to develop tools

for monitoring customer satisfaction, and to build continuous, quality improvement

systems that respond to consumer feedback.

Although much of the research has been conducted by and for the corporate world,

customer service and satisfaction is not limited to the private sector. Publicly funded

organizations that are incorporating practices developed in the business world provide

a growing body of experience and study. Increasingly, federal, state and local

government

agencies are attempting to gauge their performance and the effect on those they directly

serve. Throughout the public sector, initiatives to “reinvent” government—including

education reform, privatization, and managed care—have elevated customer service and

satisfaction to new priorities. Within the European Union, a shift is underway to re-think

and reform social services with social inclusion and “user involvement” as driving forces

in quality improvement.

What is Customer Satisfaction?

The definition of customer satisfaction has been widely debated as organizations

Increase singly attempt to measure it. Customer satisfaction can be experienced in a

variety of situations and connected to both goods and services. It is a highly personal

assessment that is greatly affected by customer expectations. Satisfaction also is based on

the customer’s experience of both contacts with the organization (the “moment of truth”

As it is called in business literature) and personal outcomes. Some researchers define a

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What The Research Tells Us

satisfied customer within the private sector as “one who receives significant added value”

to his/her bottom line—a definition that may apply just as well to public services.2

Customer satisfaction differs depending on the situation and the product or service.

A customer may be satisfied with a product or service, an experience, a purchase

decision, a salesperson, store, service provider, or an attribute or any of these.3

Some researchers completely avoid “satisfaction” as a measurement objective because it

is “too fuzzy an idea to serve as a meaningful benchmark.”4 Instead, they focus on the

customer’s entire experience with an organization or service contact and the detailed

assessment of that experience. For example, reporting methods developed for health care

patient surveys often ask customers to rate their providers and experiences in response

to detailed questions such as, “How well did your physicians keep you informed?”

These surveys provide “actionable” data that reveal obvious steps for improvement.5

Customer satisfaction is a highly personal assessment that is greatly influenced by

individual expectations. Some definitions are based on the observation that customer

satisfaction or dissatisfaction results from either the confirmation or disconfirmation

of individual expectations regarding a service or product. To avoid difficulties stemming

from the kaleidoscope of customer expectations and differences, some experts urge

companies to “concentrate on a goal that’s more closely linked to customer equity.”

Instead of asking whether customers are satisfied, they encourage companies to

determine how customers hold them accountable.6

In the public sector, the definition of customer satisfaction is often linked to both

the personal interaction with the service provider and the outcomes experienced by

service users. For example, the Urban Institute and Mathematica conducted customer

satisfaction surveys for the federal child support enforcement system. The definition

they developed addresses three aspects of customer satisfaction:

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• satisfaction with client-worker interaction, whether in-person, by phone,

or by mail;

• satisfaction with the support payment (e.g., its accuracy and timeliness); and

• satisfaction with the effect of child support enforcement on the child.7

Another example that has particular implications for vulnerable individuals and neigh-

borhoods is the “Shaping Our Lives” National Users Network in the United Kingdom.

This includes both national and local research and development projects to examine

what service users see as good outcomes for services and support. Four customer

networks were developed as part of the initiative:

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Literature Review

Josep Rialp

Autonomous University of Barcelona

September 8, 2007

This research focuses its attention to empirically investigate the interplay between

cumulative customer satisfaction and brand value as well as its effect over firms' performance. As literature

review suggests, both cumulative customer satisfaction and brand value have been probed as regards the

isolated impact of each of them on financial performance. Nevertheless, when both of them put together

into action, there is no empirical evidence which support such interplay effect. Theoretically speaking, both

cumulative customer satisfaction and brand value play a strategic role in marketing. Based on resource

based view, marketing paradigm approach, market-based assets perspective and operational management;

we found a theoretical link between them. The link have been called marketing efficiency, i.e. the ability of

firms to maximize both cumulative customer satisfaction and brand value, better than competitors, under

the same amount of marketing expenditures. In that sense, we provide empirical evidence through

modelling marketing efficiency using data envelopment analysis and researching the effect of such

interplay applying three stages least square regression. The results demonstrate that marketing efficiency

has a positive direct effect on cash flow and ROI, and positive indirect effect, through cash flow,

Paul Damien

University of Texas at Austin,

June 1998

In this paper, we study the drivers of customer satisfaction for financial services. We discuss a full

Bayesian analysis based on data collected from customers of a leading financial services company. Our

approach allows us to explicitly accommodate missing data and enables quantitative assessment of the

impact of the drivers of satisfaction across the customer population. We find that satisfaction with product

offerings is a primary driver of overall customer satisfaction. The quality of customer service with respect

to financial statements and services provided through different channels of delivery such as new

information technology enabled automated call centers, and traditional branch offices, are also important in

determining overall satisfaction. However, our analysis indicates that the impact of these service delivery

factors may differ substantially across customer segments. In order to facilitate managerial action, we

discuss how specific operational quality attributes for designing and delivering financial services can be

leveraged to enhance satisfaction with product offerings and service delivery. Our approach and findings

have significant implications for managing customer satisfaction in the financial services industry.

http://papers.ssrn.com/sol3/cf_dev/AbsByAuth.cfm?per_id=161197

http://papers.ssrn.com/sol3/cf_dev/AbsByAuth.cfm?per_id=161197

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Samir Kumar

University of Dhaka,

June 07, 2007

The Automated Teller Machine (ATM) is one type of innovation that can mechanically accept deposits,

issue withdrawals, transfer funds between accounts, collect bills, and make small loans. This study aims at

investigating the satisfaction levels of HSBC ATM cardholders (both staff and nonstaff) with respect to

various aspects (promptness of card delivery, the performance of HSBC ATM, the service quality of ATM

personnel etc.) of using HSBC ATM and their opinions on various other related issues (such as positive and

inconvenient features of HSBC ATM, recommendation to improve the service quality etc.). This study is

one type of exploratory research using convenience sampling technique where samples have been selected

on the basis of convenience. Thus, projecting data beyond the sample is statistically inappropriate. This

study only provides information for analyzing ATM scenario of HSBC. Though the samples were selected

on a convenience basis and it may not represent the whole population, but still it is no less important for the

HSBC management to consider the recommendations with due care for better customer service and for

being in a better competitiv position.

Dick R. Wittink

Yale University, School of Management,

April 2003

We measure the links between store attribute perceptions and customer satisfaction, and between customer

satisfaction and sales performance, in the food retail sector. Our data set consists of six waves of customer

satisfaction and sales information for about 250 stores over the period 1998-2001 for a publicly held

supermarket company. We construct a statistical model to address nonlinearities and asymmetries in the

satisfaction-sales performance links, and we illustrate how food retailers can affect store revenues by

managing customer satisfaction. Contributions of our study include the analysis of behavioral consequences

of customer satisfaction in the food retail sector, the measurement of complexities of the satisfaction-sales

performance links based on an empirical model of first differences, and a discussion of how managers can

use such results for customer satisfaction policies.

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CORE BRANDS

Coca-Cola: Developed in a brass pot in 1886, coca-cola is the most recognized and admired

trademark around the globe. Not to mention the best selling soft

drink in the world.

Sprite: In 1961, a citrus-flavored drink made its U.S debut, using “Sprite Boy “as inspiration

for its name. This elf with silver hair and a big smile was used in 1940s advertising for Coca-

Cola. Sprite is now the fastest growing major soft drink in U.S and the world’s most popular

lemon-lime soft drink.

Fanta : The name “fanta “ was first registered as a trademark in Germany in 1941 ,when it wasused for a few year for a soft drink created from available materials and flavors . The name

was then revived in 1955 in Naples, Italy, when it was used for the:” fanta “orange drink we

know today. It is now the trademark name for a line of flavored drinks around the world.

Diet coke: The extension of the coca-cola name began in 1982 with the introduction of diet

coke (also called coca-cola light in some countries). Diet coke quickly become the number –

one selling low –calorie soft drink in the world.

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BRAND IN INDIAN ORIGIN

GOLD SPOT: this orange carbonate soft drink was introduce in the early 1950c, and acquired

by the coca-cola company in 1993, its tangy taste has been popular with Indian teenagers

LIMCA: It is thirst-quenching beverage features a fresh and light lemon-lime taste and

lighthearted attitude. The limca brand was introduced in 1971 and acquired by the coca-cola

company in 1993.

MAAZA: Maaza, launched in 1984 and acquired by the coca-cola company in 1993, is a non

carbonated mango soft drink with a rich, juict & natural mango taste.

THUMPS UP: in 1993, the coca-cola company acquired this brand, which was originally

introduced in 1977. Its strong and fizzy taste makes it unique carbonated Indian cola.

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BRAND IN INDIAN

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RATIONALE OF THE STUDY

In modern days, market Conditions plays a vital role in rapidly changing

industrial scenario. Being a Perfect Competition Condition in market not only the sellingof product one time is sufficient but also the retaining of customer for long time also

required and for retaining the customer, satisfaction of customer is the most important

avenues. Therefore every marketer is looking for the things/methods/techniques by which

he can satisfy the customer of his product. That is why Study of Customer Satisfaction is

emerge as a very important part of Marketing.

Being a part of young generation I also want to work on some special Products

like soft drinks which is very famous among youth. Hence I choose Customer

Satisfaction with special reference to Coca-cola (famous as ‘coke’ in Market).

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OBJECTIVE OF THE STUDY

The objective of my study is to find out the Satisfaction of Customers toward Coca-Cola,

with this we also tried to find out the market share of Coca-Cola in Gwalior Region as a

secondary objective of study.

.

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RESEARCH METHODOLOGY

Sampling Design: The convenience sampling is done because any probability sampling

procedure would require detailed information about the universe, which is not easily available

further, it being an exploratory research.

Sample Procedure: In this study “Convinence sampling procedure is used.

Sampling Size: The sampling size of the study is 100.

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MARKETING STATEGIES OF COKE

a) PRODUCT

Coke was launched in India in Agra, October 24, in '93', soon after its traditional

all Indian launch of its Cola. at the sparking new bottling plants at Hathra, near Agra.

Coke was back with a bang after its exit in 1977.

Coke was planning to launch in next summer the orange drink, Fanta-with the

clear lemon drink, sprite, following later in the year.

Coke already owns more brands than it will over need, since it has bought out

Ramesh Chauhan. Coke just needs to juggle these brands around dextrously to meet its

objectives, to ensure that Pepsi does not gain market share in t Today, Coke's product

line includes, Coca-Cola, Thums Up, Fanta, Gold Spot, Maaza, Citra, Sprite, Bisleri Club

Soda and Diet Coke.

PACKAGING

Coca-Cola India Limited (CCIL) has bottled its Cola drink in different sizes and

different packaging i.e., 200 ml bottle, 300 ml. Bottle, 330 ml. Cans, 500 ml. Bottle

fountain Pepsi, and bottles of 1 and 2 ltr.

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PRODUCT POSITIONING

One important thing must be noticed that Thums Up is a strong brand in western

and southern India, while Coca Cola is strong in Northern and Eastern India. With

volumes of Thums Up being low in the capital, there are likely chances of Coca Cola

slashing the prices of Thums Up to Rs. 5 and continue to sell Coca Cola at the same rate.

Analysts feel that this strategy may help Coke since it has 2 Cola brands in comparison to

Pepsi which has just one.

Thums Up accounts for 40% of Coca Cola company's turn over, followed by

Coca Cola which has a 23% share and Limca which accounts for 17% of the turn over of

the company. (Thums up being the local drink, its share in the market is intact, forcing

the company to service the brand, as it did last year Mr. Donald short CEO, Coca Cola

India, said that, " we will be absolutely comfortable if Thums Up is No. 1 brand for us in

India in the year 2000. We will sell whatever consumers wants us to". Coca Cola India

has positioned Thums up as a beverage associated with adventure because of its strong

taste and also making it compete with Pepsi as even Pepsi is associated with adventure,

youth.

b) PRICE

The price being fixed by industry, leaving very little role for the players to play in

the setting of the price, in turn making it difficult for competitors to compete on the basis

of price.

The fixed cost structure in Carbonated Soft Drinks Industry, and the intense

competition make it very difficult to change or alter the prices. The various costs

incurred by the individual company's are almost unavoidable. These being the costs of

concentrates, standard bottling operations, distributor and bottlers commissions,

distribution expenses and the promotional and advertising expenditure (As far as Coke is

concerned, it had to incur a little more than Pepsi as Pepsi paved its way to India in 1989

while Coke made a come back in 1993.)

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Currently a 300 ml. Coke bottle is available for Rs. 6 to8 The 330 can was

initially available for Rs. 13 and now, since the price has gave up to Rs. 18 per can. The

prices of 500 ml., 1 ltr. and 2ltr being Rs. 15 Rs. 23 and Rs. 40 respectively( according to

the current survey).

Dating back to ‘93', when Pepsi hiked the price of Pepsi - Cola from Rs. 5 to Rs. 6

per 250 ml. bottle in some parts of the country-including Agra. Coke penetrated the

market with price of Rs. 5 for a 300 ml. bottle, making it cheaper by Rs. 1 and 50 ml.

than Pepsi. Coke's strategy at that time being able to expand the availability of soft

drinks even in rural India. Coke's priority being to first increase the number of drinks per

drinker, and then the number of drinkers itself. Pepsi also tried this but was trapped by a

series of competitive price increase and changes in bottle sizes by Parle. But the prices of

soft drinks have shot up since Pepsi's arrival and the current prices are being mentioned

as under .

Price list

Name Bottle Size MRP (in Rs.)

Coke Per Bottle 200 ml 10

Coke 300 ml 12

Coke 500 ml (Plastic / Glass) 22

Coke 2 litre 55

Diet Coke (Can) 330 ml Can 18

Coke (Can) 330 ml Can 18

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However, the trends may have been in the early '90's, now the prices of

Pepsi and Coke are the same making it difficult in future and present to compete on the

basis of price.

c) PLACE

Coke may have gained an early advantage over Pepsi since it took over Parle in

1994. Hence, it had ready access to over 2,00,000 retailer outlets and 60 bottlers. Coke

was had a better distribution network, owing to the wide network of Parle drinks all over

India. Coke has further expanded its distribution network .

Coke and its product were available in over 2,50,000 outlets (in contrast with Pepsi's

2,00,000). Coke has a greater advantage in terms of geographical coverage.

But Coke has had problems with its bottlers as the required profits for the bottlers

have not been forthcoming. This is more so because Coke has hiked the price of its

concentrate by Rs. 8 Further, Coke's operations in India are 100% FOBOs. Now, it

plans to convert then into COBOs. This is straining the relationship between the Coke

and its bottlers.

The company had decided to create a fund to reimburse performing bottlers for the extra

costs incurred on account of the hike in prices of soft drink concentrates. Mr. Short also

realized that India is a price sensitive market and the company would have to absorb in

the increase in excise duty and said that in the long run Coke will have to slash prices for

the benefit of the consumers and said that they were considering a cut in the prices of

their fountain soft drinks.

Coke and Pepsi have devised strategies to get rid of middlemen in the

distribution network. However, 50% of the industry unfortunately depends on these

middlemen. As of now, around 100 agents are present in Banaras . Bottlers of the 2

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multinationals have strongly felt the need to remove these middlemen from the

distribution system, but very little success has been achieved in doing so.

d) PROMOTION

It must be remembered that soft drinks purchases are an "impulse buy low

involvement products" which makes promotion and advertising an important marketing

tool. The 2 arch rivals have spent a lot on advertising and on promotional activities.

To promote a brand and even to spend a lot on advertising, the company must be

aware of the perceived quality of the brand, its brand power (if at all there is) since

consumers make purchase decision based on their perceptions of value i.e., of quality

relative to price.

According to Paul Stobart, Advertising encourages customers to recognize the

quality the company offers. Price promotions often produce short-term sales increases.

Coca Cola has entered new markets and also developing market economics (like India)

with much-needed jobs.

Coke attributes its success to bottlers, the Coca Cola system itself, i.e., its

executive committees, employees, BOD, company presidents but above all from the

consumer.

Coke's red color catches attention easily and also the Diet Coke which it

introduced was taking the Cake, as Pepsi has not come out with this in India.

Ever since Coke's entry in India in 1993, Coke made a come back (after quitting

in 1977), in October 24 in Agra, the city was flooded by trucks, there wheelers, tricyclecards-all with huge red Coke-emblazoned umbrellas. Retailers were displaying their

Coke bottles in distinctive racks, also with specially-designed iceboxes to keep Coke

bottles cold. This was one big jolt to Pepsi.

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COKE’S TURNOVER

TURNOVER $16 BILLION

INT. SALES AS % 70%OF TOTAL SALES

TOTAL INVESTMENT RS. 250 C

IN INDIA

PROPOSED RS. 2,400CINVESTMENTS

NO. OF EMPLOYEES 140

NO. OF FRANCHISES 53

NO. OF FOUNTAIN 1500

TOTAL INVESTMENT Rs 125 CR BY BOTTLERS

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COKE MARKET SHARE IN INDIA

COLA : 60% CLEAR LEMON : 4%

Pepsi : 26.5 7-UP : 2.5%Thums-up : 17.5% Citra : 0.5%Coke :10%ORANGE : 16% OTHERS : 8%

Mirinda : 7.5% Other Brands : 16.5%Fanta : 6%Gold Spot : 1%Crush : 1%CLOUDY LEMON : 12%

Limca : 9%Mirinda lemon + Duke’s : 1.5%Schweppes lemon : 0.5%

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PRODUCT

The term soft drink was originated to distinguish the flavored refreshment from hard liquor.

Soft drink was flavored to change the habits of earlier Americans who used to have hardliquor. The fruits and vegetable juices are not considered soft drinks. Pepsi is a pure soft

drink, which is enjoyed in our 195 countries. It is made of artificial flavors and contains no

fruit juice or fruit pulp.

How soft drinks are made:

Soft drink consists of carbonated water and syrup. Adding carbonated gas to water under

pressure produces carbonated water. The gas makes the water bubble and fizz in most cases.Syrup is made of a concentrate and sweetener. A concentrate is a blend of flavor and acid. In

concentrate for most soft drinks also include coloring. The concentrate contains a unique

blend of ingredients, which give Pepsi its distinctive flavor. Syrup can be also being prepared

directly from individual ingredients. Carbon dioxide gas gives beverage its sparkle and tangy

taste and prevents spoilage. While it has not been conclusively proved that carbonation offers

a direct medical benefit, carbonated beverage are also used to alleviate post operative nausea

when no other food can be tolerated. Carbon dioxide is supplied to soft drinks by

manufactures in a liquid form maintained under approximately 1,200 pounds per square inch

pressure in heavy steel containers.

Many of the flavorings found in soft drinks come from natural sources such as fruits juices

and oils obtained from roots, citrus fruit peels, and leaves of various plants. Some flavoring

are artificial, but a similar to natural flavoring in taste. Citric acid and phosphoric acid give

soft drink a tart taste. Caramel is usually used as a coloring in cola drinks. The sweeteners

may come from maize, sugar beet or sugarcane. Artificial sweetener, such as saccharine and

aspartame is used in Diet Pepsi and Diet Coke.

The mixing is carried out under the highest standards of quality control and accordingly to

precise instructions in order to insure that every consumer always receives a product of the

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same trusted quality. The bottling of Pepsi in modern plants such as there are in India is

carried out at the rate of 600 bottles a minutes. Pepsi is approved by the National Health

Authorities of every country in which it is sold.

Brands –

The current Indian market consists of seven-flavor segment. Cola segment is by far the

most widely consumed soft drinks.

SEGMENT BRAND

COLA PEPSI

ORANGE MIRANDA

CLOUDY LIME MIRANDA

LEMON

CLEAR LIME 7-UP

SODA EVERESS

MANGO SLICE

In addition to these segments, Pepsi has developed wide range of soft drinks such as Diet

Pepsi, Caffeine Free Pepsi and low sodium Pepsi, Sugar Free -Pepsi Max.

PRICE

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Maximum retail price of 300 ml bottles is controlled by the Central

Government. The other size and packs are priced keeping factors like

competition, internal costs, external costs, the corporate objective of the

company in the mind.

PRODUCT SELLING PRICE MAX.RETAIL PRICE

(Per crate) (Per crate)

300 ml bottles 240 264

500 ml bottles 364 388

1 Liter bottles 500 520

Soda 300 ml 164 188

Cans 332 352

1.5 Liter PET 50* 55*

bottles

Price per bottles the empty bottles are priced at Rs 120 per crate and

the shell at Rs 100.

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PREFERENCE OF SOFT DRINKS IN A DAY

Once a day 25%

Twice a day 20%

Once a week 5%

Other 50%

2 52 0

5

5 0

0 %1 0 %

2 0 %

3 0 %

4 0 %

5 0 %

6 0 %

O n c e a

d a y

T w ic e a

d a y

O n c e a

w e e k

O t h e r

O n c e aT w i c e aO n c e aO t h e r

Figure-1

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PREFERENCE TO THE BRAND

Pepsi 60%

Coke 40%

6 0

4 0

0 %

2 0 %

4 0 %

6 0 %

8 0 %

P e p s i C o k e

P e p s iC o k

Figure – 2

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TO GIVE THE PREFERENCES

More Popular 10%

Packaging 10%Taste 70%

Price 10%

1 0 1 0

7 0

1 0

0 %

2 0 %

4 0 %

6 0 %

8 0 %

M o re

P o p u la r

P a c k a g i n gT a s t e P r i c e

M o r e P o p u l a r P a c k a g in gT a s te P r ic

Figure – 3

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MARKETING STRAGGLES OF COMPANY EFFECTS THE SALES

Yes 55% No 45%

5 5

4 5

0 %

1 0 %

2 0 %3 0 %

4 0 %

5 0 %

6 0 %

Y e s N o

Y e s N o

Figure – 4

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FORM OF MARKETING STRATEGIES

Television Advertising 45%

Newspaper Advertising 5%

Outdoor Advertising 20%

Sales Promotion 30%

4 5

5

2 0

3 0

0 %

1 0 %

2 0 %

3 0 %

4 0 %

5 0 %

T e le v is io n A d v .N e w s p a p e r A d vO u t d o o r A d vS a le s P r o m o

T e le v is io n A d v .N e w s p a p e r A d vO u t d o o r A d vS a le s P r o

Figure – 5

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CHANGE BRAND ON THE BASIS OF PRICE REDUCTION

Yes 51%

No 49%

5 1

4 9

4 8 %

4 9 %

5 0 %

5 1 %

5 2 %

Y e s N o

Y e s N o

Figure – 6

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MORE EFFECTIVE ADVERTISING

Pepsi Co. 60%

Coke Co. 40%

6 0

4 0

0 %

2 0 %

4 0 %

6 0 %

8 0 %

P e p s i C o . C o k e C o .

P e p s i C o .C o k e

Figure – 7

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CREATIVE AND APPEALING ADVERTISING OF THE SOFT

DRINK COMPANY

Pepsi Co. 70%Coke Co. 30%

7 0

3 0

0 %

2 0 %

4 0 %

6 0 %

8 0 %



Figure – 8

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INNOVATIVE AND EXCITING OFFERS

Pepsi Co. 55%

Coke Co. 45%

5 5

4 5

0 %

1 0 %2 0 %

3 0 %

4 0 %

5 0 %

6 0 %



Figure –9

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MARKET SHARE PERCENTAGE IN BANARAS

Pepsi 56%

Coke 35%

Pure Drinks 9%

5 65

9 %

P e p s iC o k e P u r e D r i

Figure - 10

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MARKET PERCENTA GE SHARE IN ALL OVER INDIA 2010

Pepsi 44%Coke 51%Local Brand 5%

5

5 1

4 4

P e p s i

C o k eL o c a l B r

Figure - 11

FINDINGS

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1) The company is maintaining the quality of the products and it has good quality

control Dept.

2) Now a day because of changing the food habits the soft drinks are added to their

food habits.

3) Pepsi soft drinks are occupying more than half of the soft drinks market.

4) The demand for the fruit based soft drinks is go on increasing and they occupied

the top selling drinks position.

5) Sales promotion activities taken by the Pepsi Company is good as per the

retailer’s opinion when compared to coke.

6) The Pepsi Company’s supply of drinks is good but they are not providing the

sufficient drinks to the outlets.

7) The No. of Visi coolers in the market is less when compared to the Coke

Company.

8) Some of the retailers are placing the other products also in the company coolers.

9) Pepsi company’s offers to the retailers are not good in the view of the retailers.

10) The dealers are not giving the proper information about the new products and the

new offers given by the company.

11) The retailers are not provided any credit on the purchase of the drinks in the case

of both companies.

BRAND PREFERENCES

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In a survey done by A & M magazines on the best marketing companies in India. Pepsi

and Coca-Cola were also entered. The results were as follows :

Pepsi - 4th

Coca-Cola - 11th

The results of 95 were :

Pepsi - 7th

Coca-Cola - 11th

This shows that both the companies are paying more attention to the marketing of their

products. Pepsi is higher up on the scale than Coca-Cola. We can see that by the brilliant

advertising done by Pepsi, which can be seen on every hook and corner of Banaras . The

consumers also prefer Pepsi advertisements and other activities of Pepsi, to that of Coca-

Cola.

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SGUUESTIONS

1) The company has to increase its quality more and also has to introduce more

verities of drinks in to the market to increase its market share.

2) It has to change the advertisements in a manner that add the soft drinks as a part

of food.

3) The Pepsi has some more scope to increase its market share and it has to strive for

that.

4) Company has to concentrate on the fruit based drinks and add some more fruit

based drinks to the product line.

5) The Pepsi Company has to increase the No. of Visi Coolers in the market.6) The retailers are using the Pepsi Visi Coolers for other drinks also, they have to

control that. For that purpose the company has to recruit some people.

7) Pepsi Company has to increase the trading offers to the retailers.

8) The dealers should provide the sufficient information to the retailers about the

products and the new offers to the retailers provided by the company.

9) The dealers should be provided the credit up to some limits by the company.

10) The Advertisement should be given as a whole, that will bring the awareness

about the products and reduce the advertisement cost of the company.

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CONCLUSION

The project was a great experience for me in order to study the marketing

aspects in the world. It was a great opportunity for me to express what I have studied.

This industry is a place where two major players are there in the world. This Pepsi

Company gave me lot of opportunity and scope to understand the soft drink industry and

its marketing structure and distribution channels.

Lot of voluble information regarding the company and also the retailers, has been

collected from the survey, which helped me clearly to understand the real problems faced

by the marketers to distribute and also make retailers to sell the company’s products in

the market. I understood who difficult to do the marketing in the present scenario.

The suggestions made to the company were really applicable for the grow thand

benefit for the company in order to increase its market share and to become the market

leader in the soft drink industry, because a large number of competitor scraving for the

same market.

Thus, finally it can be said that the industry needs a lot of channel management

activities to done along with various promotional strategies for the customers. I wish the

company to achieve its objectives achieved soon. Satisfaction

This was true for all the consumers who were interviewed. The rest of the conclusions as

deducted from the questionnaires are as follows :

The younger generation preferred soft drinks to the older generation.

a. Children upto 15 years of age liked to have soft drinks upto 2-3 times a day.

b. Young adults liked to have soft drinks upto 1-2 times a day.

c. Adults liked to have soft drinks about once or twice a week.

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RECOMMENDATIONS

Soft drinks are an impulse product. When a person is thirsty, he would first think of water

or tea. Some even would prefer ‘Nimbu Pani’.

The Indian population is the largest in the world today, there can be no other country in

the world, which provides so much of an opportunity for the soft-drink manufacturers.

The Indian soft drink market is at 140 million cases per year, this is very low. Thus the

consumption of soft drink can go up.

Sinc118+e the entry of Coca-Cola into the country the industry is growing at a rate of

20% annually. If this rate is maintained, then by the year 2005 the market of soft drink

would be 1 billion cases annually.

However Coca-Cola wants to accomplish this feat by themselves. To do this the industry

has to take certain steps. All the companies are fighting to get a major share of this

growing market. They should all try to increase the total market along with their

individual shares.

On the basis of all the field work and table work done, some suggestions can be made,

which may help the company in increasing the total market as well as the sale of the

companies. The various suggestions that can be made are as follows:-

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BIBLIOGRAPHY

Marketing Management- By Philip Kotler

Business world

Out look

Times of India

Course pack of Rai university

www.Pepsicoindia.com

Research methodology- By C. R. Kothari

http://www.pepsicoindia.com/

http://www.pepsicoindia.com/

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ANNEXURE

Q.1. WHICH BRAND ARE YOU PREFERENCE TO THE BRAND?

Pepsi

Coke

Q.2. WHICH BRAND WILL YOU PREFERENCE OF SOFT DRINKS IN A DAY?

Once a day

Twice a day

Once a week Other

Q.3. REASON BEHIND PURCHASING?

More Popular

Packaging

Taste

Price

Q.4. ARE THE MARKETING STRAGGLES OF COMPANY EFFECTS THE

SALES?

Yes

No

Q.5. WHICH FORM OF Promiotion IS MOST EFFECTIVE IN THE MARKET?

Television Advertising

Newspaper Advertising

Outdoor Advertising

Sales Promotion

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Q.6. WILL YOU CHANGE THE BRAND ON THE BASIS OF PRICE

REDUCTION?

Yes

No

Q.7. WHICH BRAND MORE EFFECTIVE IN ADVERTISING?

Pepsi Co.

Coke Co.

Q.8. WHICH BRAND HAS CREATIVE AND APPEALING ADVERTISING OF

THE SOFT DRINK COMPANY?

Pepsi Co.

Coke Co.

Q.9. WHICH BRAND HAVING THE INNOVATIVE AND EXCITING OFFERS?

Pepsi Co.

Coke Co.

Q.10. WHAT HAVE THE MARKET SHARE PERCENTAGE IN BANARAS ?

Pepsi

Coke

Pure Drinks

Q.11. WHICH BRAND HAVING THE MARKET PERCENTAGE SHARE IN

ALL OVER INDIA?

Pepsi

Coke

Local Brand

Documents

M.R.P. harry