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A SUMMER TRAINING PROJECT REPORT
ON“A STUDY OF CONSUMER PREFERENCE
REGARDING COCA COLA & IT’S PRODUCT”
Under the guidance of: Submitted by:Mr. Suneel Ghai (GM Marketing) Ahsan Ahmad KhanMr. P.K. Kanchan (Area & sales Manager) Roll No. 0901670007Bareilly
SUBMITTED ATRAKSHPAL BAHADUR MANAGEMENT INSTITUTE
(BAREILLY)
0
A
Project Report
On
“A STUDY OF CONSUMER PREFERANCES
REGARDING COCA COLA & IT’S
PRODUCTS”
AT
BRINDAVAN BEVERAGES PRIVATE LIMITED
In Partial Fulfillments of
Master in Business Administration (2010-11)
UNDER THE GUIDANCE OF : SUBMITTED BY :
Mr. Suneel Ghai (GM Marketing ) Ahsan Ahmad Khan
Mr. P. K. Kanchan(Area & Sales manager) Roll No- 0901670007
1
TO WHOM IT MAY CONCERN
This is to certify that Mr. Ahsan Ahmad Khan student of MBA (2010-2011), RBMI.
Group of Institutions Bareilly, has undergone summer training at Brindavan
Beverages Ltd. Bareilly under the able guidance and supervision of Mr. P.K.
Kanchan (Area & sales Manager) of Brindavan Beverages Ltd Bareilly for a
period of eight weeks commencing from 01st June to 30 th July 2009. His project
Title was “A STUDY OF CONSUMER PREFERANCES REGARDING COCA
COLA & IT’S PRDUCTS”.
He has pursued his summer Training project in Bareilly office of the company. His
observations, findings & recommendations are highly appreciable and may be
useful & implementable for the company. To the best of my knowledge no part of
this report has been reproduced from any other report and the contents are based
on original research.
Signature Signature
(Faculty Guide) (Student)
2
This project report bears the imprints of many people who were either directly or
indirectly involved in the successful completion of this project work. I wish to accord
my sincere gratitude to Brindavan Beverages Ltd., Bareilly for accepting me as
Summer Trainee in their esteemed organization. I expressed my sincere
indebtedness to Mr. Suneel Ghai, General Manager Marketing of coke for his
able guidance & active association & constructive suggestions, which immensely
helped in the preparation of this project at all stages.
I am thankful to Mr. P.K. Kanchan (Area & sales Manager) who has given
me ample guidance in preparation of this project.
I am grateful to Brindavan Beverages Ltd., Authorities for throwing their gates open
to all facilities & giving me an opportunity to work in a congenial environment during
the course of my involvement in this project report.
Ahsan Ahmad Khan
3
Summer Training in any organization is an attempt to provide the student a
practical Input and Exposure to the Real world situation in which he has to work in
future. My training in COCA-COLA was an attempt in this direction. The project
work provided me , was a survey title based on E.D.S.(Every Dealer Survey). it
was to find out the Effect of Merchandising and Route Assessment on
Productivity/Sales, Availability of product, MKT. Condition, Demand & supply of
product, Distribution Channel, Cooler display, warm display across various outlets
under 7 distributors in Bareilly City. The Extract of the work is presented in this
report under various headings as, Introduction, Company’s Profile, Project
Introduction, Methodology, Data analysis, Suggestions and Conclusions.
This report provides me a chance to study and analyse the practical aspects of the
topic (Merchandising and Route Productivity). It enhanced my knowledge in the
field of marketing. This project also gave me the chance to improve logical thinking
and interacting patterns. While working on the project, we came to know about the
latest marketing strategies and trends prevailing in the market. The way of selling
and distribution network of Coca Cola was different.
4
TABLE OF CONTENTS
Chapter Subject Page No.
1. Research Objective 6
2. Company Profile 7
3. Comparative Analysis 17
4. Marketing Strategy of Coke 20
5. Data analysis and interpretation 40
6. Research Methodology 59
7. Findings and Analysis 62
8. Limitations of Research 65
9. Field Experience 67
10. Recommendation 68
11. Conclusion 70
12. Annexure 71
13. Bibliography 76
5
RESEARCH OBJECTIVES
The main objective of my Research is "A STUDY OF CONSUMER PREFERENCES REGARDING COCA COLA & IT’S PRODUCTS".
This study also includes the following sub objectives:
To study the market of Coca-Cola.
To study the brand image of Coca-Cola.
To know the effect of promotion activities on customer preference regarding Coke.
To identify the loyalty of customer towards Coca Cola.
To measure the specific reasons for satisfaction and dissatisfaction level of customer.
INTRODUCTION TO6
The Coca-Cola Company exists to benefit and refresh everyone it touches.
Coca-Cola, the product that has given the world its best- known taste was born in
Atlanta, Georgia on May 8, 1886. Coca-Cola Company is the world’s leading
manufacturer, Marketer and distributor of non-alcoholic beverage concentrates and
syrups, used to produce nearly 400 beverage
brands. The corporate headquarters are in
Atlanta, with local operations in over 200
countries around the world. The Coca-Cola
Company began building its global network in
the 1920s.Coca-Cola system has successfully
applied a formula on a global scale “Provide a
moment of refreshment for small amount of
money a billion times a day”.
When launched Coca-Cola two key ingredients
were cocaine (Benzoyl Methylecgonine) and caffeine. The cocaine was derived
from the coca leaf and the caffeine from kola nut, leading to the name Coca-Cola
(the "K" in Kola was replaced with a "C" for marketing purposes Coca-Cola often
referred to simply as Coke (a registered trademark of The Coca-Cola Company in
the United States since March 27, 1944)was invented in May 1886 by Dr. John
Stith Pemberton in Atlanta, Georgia. The name "Coca-Cola" was suggested by Dr.
Pemberton's bookkeeper, Frank Robinson. He penned the name Coca-Cola in the
flowing script that is famous today.
Coca-Cola was first sold at a soda fountain in Jacob's
Pharmacy in Atlanta by Willis Venable. The first sales were at
Jacob's Pharmacy in Atlanta, Georgia, on May 8, 1886.It was
initially sold as a patent medicine for five cents a glass at soda
fountains, which were popular in the United States at the time
due to the belief that carbonated water was good for the health.
Pemberton claimed Coca-Cola cured many diseases, including morphine
addiction, dyspepsia, neurasthenia, headache, and impotence.
Type Public(NYSE:KO)
Industry BeverageFounded 1886, USAHeadquarters Atlanta, Georgia , USAArea served WorldwideKey People Muhtar Kent
(Chairman and CEO)
Products Coca ColaCarbonated Soft DrinksWaterOther non alcoholic beverages
Employees 92,400 (October 2009)
Website KO.com
7
Pemberton ran the first advertisement for the beverage on May 29 of the same
year in the Atlanta Journal. The company was formed to sell three main products:
Pemberton's French Wine Cola (later known as Coca-Cola), Pemberton's Indian
Queen Hair Dye, and Pemberton's Globe Flower Cough Syrup.[The Coca-Cola
formula and brand was bought in 1889 by Asa Candler who incorporated The
Coca-Cola Company in 1892.
In 1892 Candler incorporated a second company, The Coca-Cola Company
(the current corporation), Coca-Cola was sold in bottles for the first time on March
12, 1894. The first Outdoor wall advertisement was painted in the same year as
well in Cartersville, Georgia.CANof Coke first appeared in 1955. On February 7,
2005, the Coca-Cola Company announced that in the second quarter of 2005 they
planned to launch a Diet Coke product sweetened with the artificial sweetener
sucralose, the same sweetener currently used in Pepsi One. On March 21, 2005, it
announced another diet product, Coca-Cola Zero, sweetened partly with a blend of
aspartame and acesulfame potassium. On July 5, 2005, it was revealed that Coca-
Cola would resume operations in Iraq for the first time since the Arab League
boycotted the company in 1968.In India, Coca-Cola ranked third behind the leader,
Pepsi-Cola, and local drink Thums Up. The Coca-Cola Company purchased
Thums Up in 1993. As of 2004, Coca-Cola held a 60.9% market-share in India.
Coca-Cola was the first commercial sponsor of the Olympic
games, at the 1928 games in Amsterdam, and has been an
Olympics sponsor ever since. Special aluminum bottle designed
exclusively for the Vancouver 2010 Olympic Winter Games Torch
Relay.
This corporate sponsorship included the 1996 Summer Olympics
hosted in Atlanta, which allowed Coca-Cola to spotlight its
hometown.
Since 1978, Coca-Cola has sponsored each FIFA World Cup, and other
competitions organized by FIFA. In fact, one FIFA tournament trophy, the FIFA
8
World Youth Championship from Tunisia in 1977 to Malaysia in 1997, was called
"FIFA — Coca Cola Cup".
In 2010 it was announced that Coca-Cola had become the first brand to top £1
billion in annual UK grocery sales.
Ingredients
Carbonated water
Sugar (sucrose or high-fructose corn syrup depending on country of origin)
Caffeine
Phosphoric acid v. Caramel (E150d)
Natural flavorings
A Can of Coke (12 fl ounces/355ml) has 39 grams of
carbohydrates (all from sugar, approximately
10teaspoons), 50 mg of sodium, 0 grams fat, 0 grams
potassium,140calorie.
Formula of natural flavorings The exact formula of Coca-Cola's natural flavorings
(but not its other ingredients which are listed on the side of the bottle or can) is a
trade secret. The original copy of the formula is held in SunTrust Bank's main vault
in Atlanta. Its predecessor, the Trust Company, was the underwriter for the Coca-
Cola Company's initial public offering in 1919. A popular myth states that only two
executives have access to the formula, with each executive having only half the
formula. The truth is that while Coca-Cola does have a rule restricting access to
only two executives, each knows the entire formula and others, in addition to the
prescribed duo, have known the formulation process.
LOGO THE FAMOUS COCA-COLA LOGO WAS
CREATED BY JOHN PEMBERTON'S BOOKKEEPER, FRANK MASON
ROBINSON, IN 1885. ROBINSON CAME UP WITH THE NAME AND CHOSE
THE LOGO'S DISTINCTIVE CURSIVE SCRIPT.
9
The typeface used, known as Spenserian script, was developed in the mid 19th
century and was the dominant form of formal handwriting in the United States
during that period.
Robinson also played a significant role in early Coca-Cola advertising. His
promotional suggestions to Pemberton included giving away thousands of free
drink coupons and plastering the city of Atlanta with publicity banners and streetcar
signs.
The World’s Most Powerful BrandInter brand’s Global Brand Scorecard for 2003 ranked Coca-Cola the #1 Brand in
the World, estimated its brand value at $70.45 billion .The ranking’s methodology
determined a brand’s valuation on the basis of how much it was likely to earn in the
future, distilling the percentage of revenues that could be credited to the brand, and
assessing the brand’s strength to determine the risk of future earnings forecasts.
Considerations included market leadership, stability, and global reach,
incorporating its ability to cross both geographical and cultural borders.
From the beginning, Coke understood the importance of branding and the creation
of a distinct personality. Its catchy, well-liked slogans (“It’s the real thing” (1942,
1969), “Things go better with Coke” (1963), “Coke is it” (1982), “Can’t beat the
Feeling” (1987), and a 1992 return to “Can’t beat the real thing”) linked that
personality to the core values of each generation and established Coke as the
authentic, relevant, and trusted refreshment of choice across the decades and
around the globe.
MANIFESTO FOR GROWTH
To Refresh the world………..In body, mind and spirit.
To Inspire Moments of Optimism….Through our brands and our actions.
To Create Value and Make a Difference….Everywhere we engage.
10
To achieve sustainable growth, we have established a vision with clear goals.
Profit
People
Portfolio
Partners
Planet
Maximizing return to shareowners while being mindful of our overall
responsibilities.
Being a great place to work where people are inspired to be the best they
can be.
Bringing to the world portfolios of beverage brands that anticipate satisfy
peoples; desires and needs.
Nurturing a winning network of partners and building mutual loyalty.
Being a responsible global citizen that makes a difference.
VALUES:
Our values serve as a compass for our actions and describe how we behave in the world.
Leadership
Collaboration
Integrity
Accountability
Passion
Diversity
Quality
The courage to shape a better future
Leverage collective genius
Be real
If it is to be, it's up to me
Committed in heart and mind
As inclusive as our brands
What we do, we do well
Two types of bottlers: A) FOBO – Franchised owned bottling operations.
B) COBO – Company owned bottling operations.
Franchised production modelIn 1899, it franchised its bottling operations in the U.S., growing quickly to reach
370 franchisees by 1910.The company operates a franchised distribution system
dating from 1889 where The Coca-Cola Company only produces syrup concentrate
which is then sold to various bottlers throughout the world who hold an exclusive
territory.
11
The company produces concentrate, which is then sold to licensed Coca-Cola
bottlers throughout the world. The bottlers, who hold territorially exclusive contracts
with the company, produce finished product in cans and bottles from the
concentrate in combination with filtered water and sweeteners. The bottlers then
sell, distribute and merchandise Coca-Cola to retail stores and vending machines.
Such bottlers include Coca-Cola Enterprises, which is the largest single Coca-Cola
bottler in North America and Western Europe. The Coca-Cola Company also sells
concentrate for soda fountains to major restaurants and food service distributors.
In general, The Coca-Cola Company (TCCC) and/or subsidiaries only produces
(or produce) syrup concentrate which is then sold to various bottlers throughout the
world who hold a Coca-Cola franchise. Coca-Cola bottlers, who hold territorially
exclusive contracts with the company, produce finished product in cans and bottles
from the concentrate in combination with filtered water and sweeteners. The
bottlers then sell, distribute and merchandise the resulting Coca-Cola product to
retail stores, vending machines, restaurants and food service distributors.
One notable exception to this general relationship between TCCC and bottlers is
fountain syrups in the United States, where TCCC bypasses bottlers and is
responsible for the manufacture and sale of fountain syrups directly to authorized
fountain wholesalers and some fountain retailers.
The Coca-Cola Company only produces a syrup concentrate, which it sells to
bottlers throughout the world, who hold Coca-Cola franchises for one or more
geographical areas. The bottlers produce the final drink by mixing the syrup with
filtered water and sweeteners, and then carbonate it before putting it in cans and
bottles, which the bottlers then sell and distribute to retail stores, vending
machines, restaurants and food service distributors.
The Coca-Cola Company owns minority shares in some of its largest franchises,
like Coca-Cola Enterprises, Coca-Cola Amatil, Coca-Cola Hellenic Bottling
Company (CCHBC) and Coca-Cola FEMSA, but fully independent bottlers produce
almost half of the volume sold in the world. Independent bottlers are allowed to
sweeten the drink according to local tastes.
The bottling plant in Skopje, Macedonia, received the 2009 award for "Best Bottling
Company".12
Indian HistoryIndia is home to one of the most ancient cultures in the world dating back over
5000 years. At the beginning of the twenty-first century, twenty-six different
languages were spoken across India, 30% of the population knew English, and
greater than 40% were illiterate. At this time, the nation was in the midst of great
transition and the dichotomy between the old India and the new was stark.
Remnants of the caste system existed alongside the world’s top engineering
schools and growing metropolises as the historically agricultural economy shifted
into the services sector. In the process, India had created the world’s largest
middleclass, second only to China.
A British colony since 1769 when the East India Company gained control of all
European trade in the nation, India gained its independence in 1947 under
Mahatma Ghandi and his principles of non-violence and self-reliance. In the
decades that followed, self-reliance was taken to the extreme as many Indians
believed that economic independence was necessary to be truly independent. As a
result, the economy was increasingly regulated and many sectors were restricted
to the public sector. This movement reached its peak in 1977 when the Jantaparty
government came to power and Coca-Cola was thrown out of the country.
In INDIA
Coca-Cola was the leading soft drink brand in India until 1977 when it left rather
than reveals its formula to the government and reduces its equity stake as required
under the Foreign Exchange Regulation Act (FERA) which governed the
operations of foreign companies in India. After a 16-year absence, Coca-Cola
returned to India in 1993, cementing its presence with a deal that gave Coca-Cola
ownership of the nation's top soft-drink brands and bottling network. Coke’s
acquisition of local Popular Indian brands including Thums Up (the most trusted
brand in India21), Limca, Maaza, Citra and Gold Spot provided not only physical
manufacturing, bottling, and distribution assets but also strong consumer
preference. This combination of local and global brands enabled Coca-Cola to
13
exploit the benefits of global branding and global trends in tastes while also tapping
into traditional domestic markets.
Leading Indian brands joined the Company's international family of brands,
including Coca-Cola, diet Coke, Sprite and Fanta, plus the Schweppes product
range. In 2000, the company launched the Kinley water brand and in 2001, Shock
energy drink and the powdered concentrate Sunfill hit the market. While The Coca-
Cola Company is a global company with some of the world's most widely brands,
the Coca-Cola business in India, as in each country where it operates, is a local
business.
After a 16-years absence, Coca-Cola returned to India in 1993. The Company's
presence in India was cemented in November that year in a deal that gave Coca-
Cola ownership of the nation's top soft-drink brands and bottling network. Coca-
Cola India has made significant investments to build and continually improve its
business in India, including new production facilities, wastewater treatment plants,
and distribution systems and marketing equipment
During the past decade, the Coca-Cola system has invested more than US$ 1
billion in India
Coca-Cola is one of the country's top international investors by2003; Coca-Cola
India had won the prestigious Woodruff Cup from among 22 divisions of the
Company based on three broad parameters of volume, profitability, and quality.
In 2003, Coca-Cola India pledged to invest a further US$100 million in its
operations
In India, we indirectly create employment for more than 125,000 people in related
industries through our vast procurement, supply and distribution system
Virtually all the goods and services required to produce and market Coca-Cola
locally are made in India
The Coca-Cola system in India comprises 27 wholly-owned company-owned
bottling operations and another 17 franchisee-owned bottling operations.
14
A network of 29 contract-packers also manufactures a range of products for the
Company
The complexity of the Indian market is reflected in the distribution fleet, which
includes 10-tonne trucks, open-bay three-wheelers that can navigate the narrow
alleyways of Indian cities, and trademarked tricycles and pushcarts.
The complete manufacturing process had a documented quality control and
assurance program including over 400 tests performed throughout the process.
We will collaborate creatively with those who sell our products in the
marketplace, developing relationships built on mutual success, not only from our
brands, but also from our services.
15
Ranking: We own 4 of the world’s top 5 non-alcoholic sparkling beverage brands:
Coca-Cola, Diet Coke, Sprite and Fanta.
COKE BRANDS IN INDIAN ORIGIN
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 the U.S., and the world's most popular
lemon-lime soft drink.
16
FANTA:
The name "Fanta" was first registered as a trademark in
Germany in 1941, when it was used for a few years 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 sold 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 became the number- one
selling low-calorie soft drink in the world.
VANILA:
It is an Ice Cream in taste. Launched in 2004.
LIMCA:
This is thirst-quenching beverage features a fresh and light
lemon-lime taste and a lighthearted attitude. The Limca
brand was introduced in 1971 and acquired by the Coca-
Cola Company in 1993.
MAAZA :
17
Maaza, launched in 1984 and acquired by The Coca-Cola Company in 1993, is a
non carbonated mango soft drink with a rich, juicy m 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.
KINLEY WATER:
This is thirst-quenching beverage features fresh the fresh
water with the saturated oxygen level.
SUNFILL:
This is thirst-quenching beverage features a fresh and light
orange taste and a lighthearted attitude.
VISION
The long-term vision of Coca-Cola in India is to provide exceptional strategic
lead to the Coca-Cola in India.
Through Coca-Cola system resulting in consumer & customer preference
and loyalty through Coca-Cola is commitment to them and in a highly
profitable Coca-Cola Corporate branded beverage system.
18
MISSION
The mission of coca cola in India is:
Increase in shareholder's value over time.
To achieve the above by working with business partners to deliver
satisfaction and value to customers and consumers through world wide
system of superior brand and services thus increasing the brand equity.
To achieve the mission the company seeks the contribution from each of the
given areas:
People working in the company.
Commitment of the company.
Goals & objectives of the company.
Environmental policy.
Internal control.
Policy & producers.
BRINDAWAN BEVERAGES LTD.
In the network of the Coca-Cola system, Coca-Cola has either of the two
bottling operation done far the company.
1. COBO (Company Owned & Operated Bottling Operation).
2. FOBO (Franchise Owned & Operated Bottling Operation).
After 1993, when coca cola re enters Indian market, done a lot of changes in
the existing system of the soft drink market prevailing in India, by acquiring the
major brands and the bottling operations from Parle. After this company founded
some of its own bottling operation in India.
19
In year 1997, company did a major investment of $700 million in India by
purchasing other bottling operations, all around India and introduces new
technology in them. These bottling plants are called Company Owned and
Operation Bottling Operation. Company has full ownership and operational right for
these type of operations. The other type of bottling operation for the company are
called Franchise Owned and Operated bottling Operation, to these, the company
has given the right to produce the product for the company and to supply with in
the territory assigned by the company. Company has no ownership or operational
right/control over these.
20
In India Company have 26 COBO and 14 FOBO operations for the production and
control of the whole operation in India. These are divided in to various zones that
are given in the marketing mix section of this report.
21
"COMPARATIVE ANALYSIS OF COKE & PEPSI"
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 face 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 in 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 22
comparison to the inter. coca-cola is well set with its 53 bottling sites through out
the country giving it 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 Amir khan,
Akshay Kumar and 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.
23
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.
Marketing Mix and Strategy Of Coke
Marketing mix of any organization consists of 4 P's i.e. product, price, place
and promotion having its own significance, which varies from one organization to
the other. In Coca-Cola the information about all the 4 P's that can be available to
me is given here:
PRODUCT: Product mix of Coca-Cola consists of the various brand packs and
flavors given in the table. Product strategy of the Coca-Cola is to promote all the
brands available in all the brands packs and to introduce the product in new flavors
and. even new product. Regarding this Kinley soda is introduced. Fanta in green
apple flavor is also introduced.
PRICE: Regarding the pricing policy or the price to the distributor is not disclosed
to me, but as done for the different product of the company, company has priced
the product same as that of its major competitor or the market leader.
24
PLACE: The Coca-Cola Company in India is governed from its corporate office
located at Gurgaon in Haryana. It governs the working of five zones covering whole
India these zones are: - Northern zone, Eastern zone, Western zone, Southern
zone and Andhra Pradesh zone. These zones are divided in to various, plants,
which govern the area assigned to them. The areas are the various distribution
centers called distributors and C&F agents. Then comes the retailers/customer for
the company's product, they receive goods from distributors and C&F agents.
Finally consumer is there, having the product from the customer's shops or
delivered to their home, it is more clearly visible through this chart. The Coca-Cola
Company, which gave its reach to the mouth of billions of people all around the
world having a wide distribution, network. In India, the pace and speed at which
Coca-Cola has widened its business is really amazing. Distribution network is the
biggest strength of the company.
PROMOTION: This part of the marketing is playing a very vital and important role
in the current situation in India. Looking at the competition and promotion and
advertising budget of both the companies coca cola and Pepsi, one can easily
estimate the importance of this.
BRANDING
What is a brand ?
A brand is name, term, sign, symbol or design or a combination of them which
is intended to identify the goods or services of one seller or group of sellers and
to differentiate them from those of competitors. A Trade mark is "a brand or a
part of brand that is given legal protection because it is capable of exclusive
appropriation."
25
Manufacturers can use their own brands (known as Manufacturers' brands)
or brands of their distributors (Distributors' brands).
Why branding?
Manufacturers/ distributors use brand names for a variety of reasons from
simple identification purposes to having legal protection for unique features of the
products from imitations and help consumers recognize certain quality parameters.
In some cases, brands are just used to endow the product with unique story and
character which itself can be a basis for product differentiation.
Special importance of brands for soft drink products
While brands can represent all types of goods or entities, they have special
importance for products. Brand equities are stronger in soft drink products as the
consumer is reluctant to try unknown brands/ unbranded products for the following
reasons
These products individually account for a small part of household spending.
Most of these products are for personal use.
In many cases, it is difficult to differentiate a product on technical or
functional grounds and therefore the consumer is reluctant to switch to an
unknown brand.
Successful brands generate strong cash flows, which enable the owner of
the brand to reinvest a part of it in the form of aggressive advertisements/
promotions. This reinforces the perceived superiority of a brand.
26
VALUATION OF BRANDS :
Value of a brand is represented by the incremental cash flow resulting from a
product with a brand versus a product without a brand name or with weaker brand
name. Brand valuation is a complex process and involves a lot of subjectivity.
There are no widely accepted techniques of brand valuation. There are several
considerations which cannot be standardized or quantified such as
To pre-empt competition from taking over a brand
Synergy with the company acquiring existing brands/ businesses
Strategic entry into a new product category
Prevent damage to existing brands. Many a times stiff competition results in
price cutting, aggressive promotions, lower margins for all the competing
brands.
Confidence in the acquirer of the brand to rejuvenate a languishing brand.
3. DISTRIBUTION :
Marketing or Distribution channel refers to the set of marketing
intermediaries which manufacturer's link together to reach their products to the
ultimate consumers. Depending on the product, nature of market and
manufacturers' resources/strategy, there can be one or more links between the
manufacturer and consumer.
Manufacturer – Retailers
Manufacturer - Wholesalers – Retailers
Manufacturer - Stockiest - Wholesalers - Retailers.
27
RETAILING :
In India, there are over 5 million retail outlets dispersed all over the country.
The retailing industry provides employment to over 18mn people. 1 out of every 25
families in India is engaged in the business of retailing. Ownership and
management are predominantly family controlled. However in sharp contrast to
developed countries, unit average size of a retail outlet in India is very small.
Organized retailing, however, has been a recent phenomenon and is
relatively undeveloped. There are no large super market chains/ shopping malls.
Consumers are unwilling to pay a premium for convenience shopping as their
counterparts in the western countries do. While small chain stores called Apna
Bazaars and Sahakan Bhandaars, which offer products at reasonable prices, have
been fairly popular, Department Stores and Food Stores are slowly gaining
popularity. A large number of corporate have recently ventured into retailing.
The retail outlet in India can be broadly categorized as follows:
- Grocery stores
- General purpose stores
- Food stores
- Pan bidi shops
- Chemist/ drug stores
- Cold chains
The relative share of grocers dropped from over 50% in the early 90's to
35% in the late 90's. Chemist outlets on the other hand, have been expanding their
product range to include high margin FMCG products from shampoos to ketchup.
Pan-wallas are also emerging as full fledged consumer product outlets.
28
Themes for Coca-Cola Advertising
Themes for Coca-Cola Advertising (1886-1999)
1922 1924
Thirst Knows No SeasonRefresh Yourself
1925 1926
Six Million a DayIt had to be good to get where it is
1927 1929
Around the Corner from Everywhere
The Pause That Refreshes
1935
29
Friends For Life
1939 1942
Thirst Asks Nothing More
The Only Thing Like Coca-Cola is Coca-Cola Itself
1948 1949
Where There's Coke There's Hospitality Along the Highway to Anywhere
1952 1957
30
What You Want Is a CokeSign of Good Taste
1958 1959
The Cold, Crisp Taste of Coke
Be Really Refreshed
1963 1969
Things Go Better with Coke
It's the Real Thing
1974 1975
31
Look Up America
Look Up America
1976
Coke Adds Life
Have a Coke and a Smile
1978 1979
32
1995 onwards
MARKETING
Direct marketing : In direct marketing manufacturers reach the consumers
directly. Direct marketing can be undertaken in several ways such as mail order,
own retail outlets, mobile vans etc. A new innovative approach to direct marketing
viz multilevel marketing is becoming increasingly popular. Also gaining ground
slowly is E-tailing i.e. selling products through the internet.
Market Research
33
Market research activities encompass studies on:-
- market characteristics
- measurement of market potential and size,
- market share analysis,
- competitive products,
- new products acceptance/ product preference,
- sales (region wise, consumer wise etc) analysis,
- short/ long term sales forecasting,
- advertisement effectiveness
- post-shipment data (actual shipment by manufacturers),
- retail stores audit (actual sales at sample outlets)
- trade feedback and distribution,
- Brand recall, point of sale material etc.
It requires skilled people for data collection as well as analysis. Several
large consumer companies have in-house MR department. Most others retain
specialized and professional MR agencies. The significance of market research
has increased considerably in the recent times as
- Size of operations of major players has increased to national and
international markets.
- Marketing executives are physically away from the market and hence the
need for flow of information.
- In the environment of increasing competition and multiple products
competing for consumers' preference information about the market has
tremendous utility.
34
- Information is required for segmenting the market and appropriate pricing
and positioning of the products.
Market research approach :
Typically, a market research activity involves the following 5 steps,
Problems definition This forms the basis of research and failure to identify
the problem precisely will result in finding a correct solution for a wrong
problem.
Research design: The next step is to set out objectives of research
clearly, determined data collection methods to finalize research instruments and
sampling plan.
Field work: After finalization of research design, the actual data collection
begins. It can be done by the agency on its own or through subcontracting to third
parties. Data is collected by questionnaires/ direct interviews, telephonic interviews,
simple observation etc.
Data analysis: The next step forms the heart of research activity. It
involves extracting meaningful information from the data collected and analyzing
the information statistically and also from business perspective. Statistical
techniques include simple/ multiple linear programming models, time series,
exponential series, regression analysis, simulation, Marko chain process etc.
Report preparation: The final step is to prepare a report, present major
findings in a manner amenable to managerial decision taking. There may be some
follow up and revalidation required.
35
TEST MARKETING :
Test marketing refers to testing out product and marketing mix with a small
number of well chosen consumers which are representative of the target segment.
Test marketing is frequently used by consumer companies, in contrast to industrial
companies which prefer feedback through informal channels. Test marketing
improves knowledge of target consumers, potential sales and is an effective tool to
pre-test alternative marketing plan. In most products, it is important to check trial
rates as well as re-purchase rates.
CONSUMER'S PANELS :
Consumer panels refer to a set of consumers with different demographic
characteristics (so as to be representative of target population) who agree to co-
operate in market research, typically for a consideration. Market research agencies
and companies try to collect information on buyer's characteristics by introducing a
new product to the consumer panels. The firm estimates trials as well as the repeat
purchasing by this method. There are statistical models to forecast market shares,
demand, brand switching etc.
7. ADVERTISING AND PROMOTION :
Advertising consists of non-personal form of communications. The communication
is conducted through trade media under player sponsorships. Advertising aims at
providing information about the product arouse demand for the product and
emphasize on superior features of the advertised product over others. Players
have to decide on overall advertisement budget, message and mode of
36
presentation, type of media, timing etc. They invariably do post audit of advertising
efficacy.
Promotions are of two type’s viz. pull promotions where consumers are
incentivized and push promotion where dealers/ retailers are incentivized. There
are several forms of promotion such as distributing free samples, discount
coupons, gift offers for consumers and target based incentives and display
schemes etc for retailers. Marketers also sponsor charity programs, sports etc to
promote corporate/ brand image.
DISTRIBUTION MANAGEMENT
Distribution management is a logistics control process that applies
situational understanding from both the operational and logistical common
operating pictures in order to dynamically control and synchronize the flow of
materiel through the distribution pipelines, including retrograde and lateral
distribution. The last part of the definition - retrograde and lateral distribution - is
critical to future success and is often overlooked in distribution management
schemes. Our ability to move materiel in any direction through the pipelines
provides an economy of effort that actually becomes a force multiplier. In this
manner, distribution management becomes a key enabler of logistics
transformation, by reducing materiel requirements to only those that are needed
and by leveraging stock age positioning to reduce the total cost of sustainment.
Distribution Management: - When you're operating multiple plants over a
large geographical area, knowing exactly what you have and where it's located can
be a tremendous competitive advantage. Frontier's Distribution Management
components allow you to access real-time inventory and shipping information
37
across your enterprise, as well as historical audits that can help with planning for
the future. With Frontier, you'll always know your inventory requirements and
availability for every product, at every plant. You can instantly find transit status for
parts and finished goods. Frontier helps you plan more efficient truck loading and
shipping routes. You'll also enjoy shipping and billing that is tightly integrated from
the initial sale through Accounts. A definition of dynamic control is also required
before we go further. Dynamic control is the distribution manager's ability to rapidly
set and change priorities and modes of transportation in response to the war
fighter's requirements. If Quartermasters cannot dynamically control the delivery of
supplies and materiel, we remain at the mercy of the transportation system and will
be forced into the comfort and expense of a stock age-based supply system.
DISTRIBUTION MANAGEMENT PRODUCT MODULES
Advanced Forecasting
Advanced Pricing
Advanced Stock Valuation
Agreement Management
Bulk Stock Valuation
Enterprise Facility
Planning Inventory Management
DAILY SHIPPING ACTIVITIES AT COCA-COLA
38
BSR-(Bonded storage area)
1. Daily report
2. Physical stock verification
3. Full movement report
4. RG 1
5. Leakage and Breakage Report
6. Stock covered with tarpaulin
7. Shipping office house keeping
EMPTY
1. Check for pending ERA
2. Breakage report
3. Physical stock verification
4. Breakage handing over to store
5. House keeping of empty yard
P RODUCT RANGE
39
Flavour Ingredients Pack Product Company
Cola Cola Flavour
carbonated water
sugar
200Ml.
300Ml.
500Ml.
1.5 Litre
2 Litre
Coke,
Thumsup
Pepsi
Coca-Coal
Pepsi
Orange Orange Flavour +
Carbonated Water+
Sugar
200Ml.
300Ml.
500Ml.
1.5 Litre
2 Litre
Fanta
Mirinda
Coca-Cola
Pepsi
Fruit Juice Mango Pulp+
Treated water+
sugar
250 ML Maaza
Slice
Coca-Cola
Pepsi
Cloudy
Lemon
Lemon Flavor +
Carbonated Water+
Sugar
200Ml.
300Ml.
500Ml.
1.5 Litre
2 Litre
Limca
Mirinda Lemon
Coca-Cola
Pepsi
40
Clear Lemon Lemon Flavour+
Carbonated Water +
Sugar
200Ml.
300Ml.
500Ml.
1.5 Litre
2 Litre
Sprite
7’Up
Dew
Coca-Cola
Pepsi
DATA ANALYSIS AND INTERPRETATION
41
TABLE NO. PAGE NO.
1. PREFER TO HAVE COLD DRINKS 40
2. DO YOU LIKE COLD DRINKS? 41
3. CONSUMPTION OF COLD DRINKS IN A DAY 42
4. PREFERENCE OF FLAVOURS 43
5. PREFERENCE OF BRAND NAME 44
6. FACTOR INFLUENCES CHOOSING PARTICULAR BRAND 45
7. OPINION TOWARDS POPULAR BRANDS 46
8. AVAILABILITY IN RETAILER’S SHOP 47
9. AVAILABILITY IN COLLEGE CANTEEN/LOCALITY/COLONY 48
10.OPINION TOWARDS TASTE 49
11. IN CITRIC FLAVOURED? 50
12. IN ORANGE FLAVORED? 51
13. IN MANGO FLAVOUR 52
14.CAUSES OF CHOOSING BRANDS 53
15.MOST APPEALING BRAND ADVERTISEMENT 54
16.MOST APPEALING BRAND PUNCH LINE 55
17.OPINION TOWARDS PRODUCT 56
18.OPINION TOWARDS PRICING STRATEGY 57
Table- I
Prefer to have cold drinks
42
Response No of Respondent Percentage ( %)
Yes 100 100%
No 00 00%
Total 100 100%
Analytical Interpretation:
The given Chart & Table show that the most no. of respondent like to take
cold drink because it gives the full satisfaction in the hot and humid day. It was
found that 100% of respondent likes to take the soft drinks and 00% respondents
don’t want to take cold drinks. The people who don’t prefer are because of their
taste and preference. They are of the perception that Lassie and Nimbu pani are
beneficial than the carbonated soft drinks.
Do You Like Cold Drinks?
43
0%100% Yes
No
RESPONSE NO. OF RESPONDANT PERCENTAGE
YES 100 100%
NO 00 00%
TOTAL 100 100%
Analytical Interpretation:
The given Chart & Table show that the most no. of respondent like to take cold
drink because it gives the full satisfaction in the hot and humid day. It was found
that 100% of respondent like to take soft drinks and 00% respondent don’t want to
take cold drinks. The people who don’t prefer are because of their taste and
preference. They are of the perception that Lassie and Nimbu pani are beneficial
than the carbonated soft drinks.
Consumption of cold drinks in a day
Response No of Respondent Percentage (%)44
54
35
11
0
10
20
30
40
50
60
Less than 2 2 – 4 More than 4 +
(Time a day)
Less than 2 54 54%
2 – 4 35 35%
More than 4 + 11 11%
Total 100 100%
Analytical Interpretation:
The given diagram & table show the frequency of taking cold drinks in
a day. It was found that 54% of respondent takes the less than 2 cold drink a day,
35% of respondent takes 2 – 4 cold drinks a day. And 11% of the respondent likes
to takes more than 4 cold drinks in a day. The people who consume more than two
cold drinks have a habit of a high consumption. For them a change in price doesn’t
changes their demand to a great extent. They also maintain a brand loyalty in the
brand they are regularly consuming.
Preference of flavors’45
41%
26%
21%
10%
2%
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
Cola Citric Orange Lemon Others
Flavour No of Respondent Percentage
Cola 41 41%
Citric 26 26%
Lemon 21 21%
Orange 10 10%
Others 02 02%
Total 100 100%
Analytical Interpretation:
The given graph & table show the most popular flavour in cold drinks is
Cola. It was found that the 41% respondent likes the Cola Flavored, 21% of
respondent likes the Lamon flavored, 26% of respondent likes the citric flavour,
10% likes the Orange flavour and only 2% likes the other flavored.
Preference of B rand name
46
56%
39%
5%
Yes
No
Can’t Say
Response No of Respondent Percentage (%)
Yes 56 56%
No 39 39%
Can’t Say 05 05%
Total 100 100%
Analytical Interpretation:
The graph & table clear view regarding the importance given to a brand
name while choosing the cold drinks. It was found that the 56% of Respondent
says Yes and 39% of respondent say No and the only 5% of respondent not in
a position to say anything.
Factors Influences choosing particular Brand
47
Response No of Respondent Percentage (%)
Brand 28 28%
Flavour 48 48%
Advertisement 06 06%
Chilled 18 18%
Total 100 100%
Analytical Interpretation:
The chart and diagram shows that the way respondent likes the particular brand of
cold drinks. It was found that 48% of respondent likes the because of flavour, 28%
respondent likes the cold drinks because of brand, 18% of respondent likes
because of chilled and only 6% of respondent likes because of advertisement.
Opinion towards Popular Brand
48
Brands No of Respondent Percentage (%)
Coke 58 58%
Pepsi 21 21%
Others 21 21%
Total 100 100%
0%
10%
20%
30%
40%
50%
60%
Coke Pepsi Others
Series1
Analytical Interpretation:
The given diagram gives the view regarding the most popular and demanded
brand. It was found that the 58% of respondent preferred the Coke as most popular
brand, 21% of respondent say Pepsi as most popular brand, 16% of respondent
referred the coke as the popular brand and the only 21% of respondent say others
was a the most popular brand.
Availability in retailer’s shop
49
61%
30%
9%
0%
10%
20%
30%
40%
50%
60%
70%
Cola Citric Fruit flavoured
Response No of Respondent Percentage (%)
Cola 61 61%
Citric 30 30%
Fruit flavored 9 9%
Total 100 100%
Analytical Interpretation:
The given chart table shows that the most available flavour on the respondent
retailer’s shops. It was found that the 61% of respondent (Consumers) say that
they find Cola flavour on their retailer’s shop.30% of respondent found the citric
flavor on their retailer’s shop. Science cola flavour is a Universal flavour in India,
with consumers of all age, sex and preference accepting it whole heartedly.
Availability in C ollege C anteen/ L ocality/ C olony
50
51%47%
2%
Coke
Pepsi
Others
Brand No of Respondent Percentage (%)
Coke 51 51%
Pepsi 47 47%
Others 02 02%
Total 100 100%
Analytical Interpretation:-
The graph & table gives the information regarding the available the available brand
on their college canteen or a colony or a locality. It was found that 51% of
respondent found the Coke brands of cold drink highly available while 47% of
respondent said that they found Pepsi brand as highly available and only 02% of
respondent said that they found other brand like Frooti or others brands highly
available. This difference in the response is because of the consumption of
different brands in different segments.
Opinion towards T aste 51
46%
29%
25%
Thumps up
Coke
Pepsi
In a cola flavor.
Brand No of Respondent Percentage (%)
Coke 75 75%
Pepsi 25 25%
Total 100 100%
Analytical Interpretation:
The given table and diagram gives the idea of the respondent opinion regarding
the Cola flavour drink. It was found that the 75% of respondent likes the Coke and
the only 25% respondent likes the Pepsi flavour.
In Citric flavored?
52
41%
30%
29%
Sprite
Mountain Dew
7`Up
Brand No of Respondent Percentage (%)
Mountain Dew 41 41%
7`Up 30 30%
Sprit 29 29%
Total 100 100%
Analytical Interpretation:
The given table and Diagram gives the idea of the respondent opinion
regarding the citric flavour drink. It was found that the 41% of respondent likes the
Mountain Dew, 30% of respondent likes the 7 UP and the only 29% of respondent
likes the Sprit in Citric flavored. The consumers of Mountain Dew say that it has a
better and genuine taste than the Sprit flavored of Coke.
In orange flavored?
53
64%
28%
8%
Fanta
Miranda Orange
Others
Brands No of Respondent Percentage (%)
Miranda Orange 64 64%
Fanta 28 28%
Others 08 08%
Total 100 100%
Analytical Interpretations:
The above given table and chart show the opinion of the respondent
regarding Orange flavour. It was found that the 28% of respondent likes fanta of
COKE brand, 64% of respondent likes the Miranda of the PEPSI brand and 8% of
respondent likes the other soft drinks of orange flavour.
In Mango flavour.
54
37%
22%
41%
Mazza
Slice
Others
Brands No of Respondent Percentage (%)
Mazza 37 37%
Slice 22 22%
Others 41 41%
Total 100 100%
Analytical Interpretations:
The above shown table and chart gives the view regarding the opinion of respondent about
the Mango flavour. It was found that the 41% of respondent likes Frooti, 37% of
respondent like Mazza of Coke and only 22% of respondent likes the Slice of Pepsi brand.
One of the greatest advantages with Frooti is that it comes in tetra pack which is a one
way pack. People find it convenient to take it home for consumption. Even coke and Pepsi
have introduced tetra pack in the Mango drink recently but it will definitely take some time
take away market from the market leader. Also Frooti is a well established brand has
available in tetra pack for a long time.
55
20%
38%
26%
16%
0%
5%
10%
15%
20%
25%
30%
35%
40%
Blend Brand Image Availability Advertisement
Cause of Choosing Brand
Subject No of Respondent Percentage (%)
Blend 20 20%
Brand Image 38 38%
Availability 26 26%
Advertisement 16 16%
Total 100 100%
Analytical Interpretations:
The graph & table above say that why the respondent like their favoured
brand. It was found that 38% of respondent likes his brand because of brand
Image, 26% of respondent likes because of availability, 20% of because of Blend
and only 16% of advertisement. Brand image refer to the perception of the
customers regarding the choice of a particular brand. It comes with the kind of
advertisement brought by the company. Blend over here refers to the taste of the
flavour demanded.
Most appealing Brand advertisement
56
52%
48%
Coke
Pepsi
Brands No of Respondent Percentage (%)
Coke 52 52%
Pepsi 48 48%
Total 100 100%
Analytical Interpretations:
The given chart shows that the respondent about the most appealing brand
advertisement. It was found that the 52% of respondent says that Coke
advertisement is most appealing, 48% of respondent says Pepsi advertisement is
most appealing one. The advertisement of Coke features Bollywood star like
Aishyarwa Rai, Hritik Roshan, Karishma Kapoor and Amir Khan who are highly
acceptable by the public. The advertisement of Coke featuring Amir Khan with a
punch line
“Thanda Matlab…………….Coca-Cola”
It was a super hit which took Coke not only to the rural markets but also
overturned the market of Pepsi.
Most appealing Brand P unch L ine
57
38%
32%30%
0%
5%
10%
15%
20%
25%
30%
35%
40%
Coke Pepsi Thumps up
Brand No of Respondent Percentage (%)
Coke 68 68%
Pepsi 32 32%
Total 100 100%
Analytical Interpretations:
The chart shows the opinion regarding the most effective punch line in respondent
view. It was found that 68% of respondent feel that Coke punch line is most
effective, 32% of respondent feels Pepsi ‘Punch line is most effective, Major no. of
people thinks that the most effective punch line is ‘Thanda
Matalab……….Coca-Cola” and Punch “Matlab ……Chota Coke”, Then “Ye
pyass hai Badi” and “yeh dil mange more”
Opinion towards product, which is promoted by celebrity
58
40%
32%
28%
Yes
No
Can’t say
Response No of Respondent Percentage (%)
Yes 40 40%
No 32 32%
Can’t say 28 28%
Total 100 100%
Analytical Interpretations:
The group & table show that the people like the product of it promoted by a
celebrity. It was found that 40% of respondent said that they the product because
of the celebrity shown in the advertisement consuming it, 32% of respondent says
No about the celebrity promotion, 28% respondent not in a position to say
anything. In India people have a great craze for their favorite celebrities’ They have
a lot of love for their favorite celebrities they want to imitate by doing what they do
as shown in the advertisement
Opinion towards Pricing Strategy59
64%22%
14%
Yes
No
Can`t Say
Response No of Respondent Percentage (%)
Yes 64 64%
No 22 22%
Can`t Say 14 14%
Total 100 100%
Analytical Interpretations:
The given table & diagram shows that how effective the companies facility the
consumer. It was found 64% of respondent says yes. 22% of respondent says No
and 14% respondent can’t say anything. India is a mass market for the consumer
product but at the same time it is also a very “Price Sensitive” Market. So with a
small decrease in price results in a drastic increase in the demand. Since soft drink
is a consumer product, the price has a great influence on the demand of the
product.
RESEARCH METHODOLOGY
60
The success of any survey is depends upon resources, quality and timing and
integrity of the surveyor who compiles the primary data. So it is a very important
task is to manage all the available resources which make impact on the quality of
survey.
RESEARCH DESIGN
Descriptive Research
Approach-
The approach behind a surveyor the project varies with the purpose of the survey.
Under this report, "quantitative" approach is used which is concerned with the
objective assessment of the availability and display that is clearly visible and can
be easily quantified. No subjective assessment is involved in this report.
Area of Survey-For performing any survey a sample is selected from the
population. All the consumers are chosen from different location of Barielly City.
Planning: For a successful compilation and best result within a limited time the
planning was must. In this way the first step was to design an appropriate data
form we can say it questionnaire that covers all the mandatory areas of information
that is to be analyzed. The data form which I was used to collect data was
designed by my immediate supervisor.
Sampling Design
Design is the plan, structure & strategy of investigation conceived so as to attain 61
answer to questions' to survey and to control the variances. According to this
project's / survey's purpose the analytical, interpretive/objective design was
chosen.
Data Collection Method:
Primary Data
Secondary Data
The two sources for data collection are documentary or secondary and field or
primary is used. Because I have to collect the information, which is fickle in nature,
the availability and display of the product changes even each and every day,
therefore questionnaire is selected as the survey instrument. The forms used for
the survey were close-ended questionnaire consisting of various items. I have
covered Barielly City & took data of different areas it was great to visit company
like "Coca-Cola", season like "Summer" and product like "Cold Drink", combining
all the factors together make the sample design for the project very important for
the real extract from the market. According to my judgment and to cover all the
major areas the sample was selected. The sample size was 100 consumers.
Statistical Tools: Representation of statistical data by diagram, graphs, charts
or pictures is more effective than tabular representation being easily intelligible to a
layman, indeed diagrams is most essential whenever it is required to convey any
statistical information to the general public.
The more important types of diagram which are use in statistical work are:-
62
1. Bar Diagram : Mode of diagrammatic representation of data is the bar
diagram. In this method bar of equal width are taken for the different items of the
series. The length of the bar represents value of the variables concerned.
2. Pie Chart : It is a circle whose area is divided proportionately among the
different components by straight lines drawn from the center to the circumference
of the circle. When statistical data are given for a number of categories and we are
interested in the comparison of various categories or between a part of the whole,
such a diagram is very helpful in effectively displaying the data.
Sample Size : 100
Type of Sampling : Convenience Sampling.
63
FINDING
AND
ANALYSIS
FINDINGS AND ANALYSIS
SWOT ANALYSIS
STRENGTH:
Coca-cola Potential brands position in the market.
Good quality and innovation of product for long term customer relationship.
64
Good advertising campaign, and brand ambassador.
Advertisement campaign more effective and change punch line make.
Emotional touch with customer and retail.
High investment in research and development.
Coca-cola has a good market share.
Segment of coke product to every age group.
To satisfy of retail or through schemes SGA, display.
WEAKNESS:
Lack of proper distribution in many areas.
Lack availability 1 it & 1.5 it product pack.
Lack supply of Kinley water in the market.
Rising No. of date dealers that will wrong effect in market condition.
Retailers are not getting schemes at the time.
No distribute enough signage to retailers.
OPPORTUNITY:
Coke is able to capture large mkt. Share.
More monopoly counters of coke brand.
To improve market mix (Product, price, promotion, place).
To increase the sale of Kinley water.
THREATS:
Pepsi is the major competitors, that means watch myopia in the market
every time.
Pepsi have captured major market of 200 ml, 300 ml, 500 ml,& 2 lt .
Retailers divert to pepsi because they are getting good schemes & Increase
local brand in the market.
65
LIMITATION OF RESEARCH
1.The area of study is limited to the merchandising and route productivity aspects
of the system, while the marketing has other crucial areas too which were left
uncharted
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2. The study is limited to eastern region of coca cola which is a multinational
company, so the area plays as a constraint in the study.
3. The time period allotted for the study was only of two months, which may provide
a deceptive picture in comparison of the study based on long run.
4. The study was based on both primary and secondary data but the relevance of
the secondary data may not be justified.
5. The success of any survey depends upon the quality and integrity of the
surveyor who collect the basic data by expressing the subject under the study and
on the respondents who provides the data required by filling up the
questionnaire .The accuracy of the data collected solely depends upon the
cooperation and truthfulness of the person who is being interviewed.
6. Interaction skills as well as the behavior of the respondents also played as a
constraints during the research.
FIELD EXPERIENCE
The success of any survey depends upon the quality and integrity of the surveyor
who collects the basic data by expressing the subject under the study and on the
respondents who provides the data required by filling up the questionnaire .The
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accuracy of the data collected solely depends upon the cooperation and
truthfulness of the person who is being interviewed.
Keeping this in mind i have tried my best to collect the reliable data. During this
process I came across a Variety of experiences some interesting and some bitter
one’s. After knowing the utility of the survey some of the respondents filled up the
questionnaire sincerely whereas some of the other were not interested in it . How
ever, most of respondents were friendly and cooperative and willingly filled up the
questionnaire with utmost sincerity and to best of their knowledge. Barring few
exceptions I had a pleasant time with respondents. I hope that the respondents did
not feel the interview insipid and boring. I got the opportunity to interact with
different people of different areas in Asansol and Durgapur city.
RECOMMENDATIONS
Doing a survey on consumers market provided a lot of insight into the dynamics of
the market place and with it valuable insights were also gained into the psyche of
consumer and owners.
1. SUPPLY
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The demand of Thums up & Maaza far exceed the supply especially in case of
200ml and pet bottles. Few shop owners’ clamed that many a times no supply is
made for 3 days and some times even more.
Sometimes the delivery vans of Coca-Cola starts late from the distribution point
and that of rivals reach early .so eateries, which generally serve soft drinks in the
glass, buy the soft drinks from the delivery van which arrives first.
Salesman at the delivery van to be inconsistent on certain meters likes the
concept of broken bottles. When dealing with the shop and the eatery owners
some salesman do exchange bottles while some do not?
All flavors and all size of bottles are kindly available in the market.
2. COMPANY REPRESENTATION
Owners confirmed that Company representatives don’t come when called
repeatedly. The Company must ensure that the representatives do visit an outlet at
least once in 3 days to listen and to attain to complaints, if any.
3. SALES PUSH BY EAT & DRINK OUTLET
The Company easily influenced many eatery owners, which provide them with
better facilities. There was a tendency to push the product of the Company which
ever offered them better scheme or benefits.
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CONCLUSION
From this summer training and project titled "Merchandising and route
productivity" in Coca-Cola, I have learned a lot about real practical work being
done in the market I have also watched & learned the practical applicability of the
various things that we have studied theoretically.
I observed on the basis of survey in Bareilly city that Coca-Cola laid emphasis
on merchandising in order to become the No.1 brand in soft drink industry the
report was finds out the availability of different flavor and packs.
Cola-Cola adopt a good customer relationship management, it is focus on the,
segment of the product because each segment is affected by different sets of
factor which hamper or enhance sales. Each segment had its own Pros & Cons. So
we have to understand the various segment of soft drink industry that which flavor
is existing more in the market, Such as Thums-up strong brand of coke which is
more popular in young generation. I also observe about fate dealer, sub dealer,
monopoly counter & its marketing strategy. Such as fate dealer is influence wrong
direction to the market. They are supply product at high margin with low scheme.
As we know till now since ill soft drink industry the concept of brand loyalty is not in
that shape in which it is in countries. So company could take some steps to be to
have a good report with the retailers why supply them regularly and provide them
with other monetary benefits.
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ANNEXURE
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QUESTIONNAIRE
1. Name of the Respondent:- …………………………
2. Address: - …………………………
3. Age group: -
(a) Below 15 (b) 15 – 20 (c) 20 – 25
(d) 25 – 35 (e) 35 – 45 (f) Above 45
4. Educational Background
(a) Class 10th & Below
(b) Intermediate
(c) Graduation
(d) Post Graduation
5. Do you take cold drink?
(a) Yes (b) No
7. If yes how frequently? (Daily)
(a) Less than 2 (b) 2 – 4 (c) More than 4
8. Which flavour do you like most?
(a) Cola (b) Citric (c) Orange
(d) Lemon (e) Others.
9. Do you give importance to brand name while choosing your cold drink?
(a) Yes (b) No (c) Can’t Say
10. Which brand you prefer most?
(a) Coke (b) Pepsi (c) Both
(d) Others
11. You like the particular brand of cold drink because of?
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(a) Brand (b) Flavor (c) Advertisement
(d) Chilled
12 In your opinion which brand of cold drink is most demanded or popular?
(a) Coke (c) Pepsi (d) Others.
13.Which brand is more available in your retailer’s shops?
(a) Cola (b) Citric (c) Fruit Flavored.
14 Which brand of cold drink do you find most in your college
canteen/colony/locality?
(a) Coke Brand (b) Pepsi Brand (c) Others.
15. In your opinion which soft drink is better taste?
(i) In Cola Flavor
(a) Coke (c) Pepsi
(ii) In Citric Flavored.
(a)Sprite (b) Mountain Dew (c) 7`Up
(iii) In Orange flavoured.
(a) Fanta (b) Miranda Orange
(c) Others.
(iv) In mango Flavoured.
(a) Mazza (b) Slice (c) Others.
16. Why do you like your brand?
(a) Blend (b) Brand Image (c) Availability
(d) Advertisement
17. Which brand advertisement appeals you most?
(a) Coke (b) Pepsi (c) Others.
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18. Most effective punch line in your opinion of?
(a) Coke (b) Thumps up
(c) Pepsi (d) Others.
19. You like the product which is promoted by the celebrity?
(a) Yes (b) No (c) Can’t Say
20. Do you think that the pricing strategy adopted by the cola companies
fascinate the consumer?
(a) Yes (b) No (c) Can’t Say
21. Any Suggestion:-
………………………………………………………………………………………………
………………………………………………………...
……………………………………………………………………………….......
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BIBLIOGRAPHY
1. Research Methodology, Kothari. C.R., Research Methodology
Methods & Techniques, New-Delhi, Wishwa Prakashan, edition 2003.
1. Multi Level & Direct Marketing, Branding, Kotler, Philip., Marketing
Management, Delhi, Pearson Education (Singapore) Pte. Ltd, 11 th
edition.
2. Marketing Strategy, Varshney, R.L. & Bhattacharya, B., International
Marketing Management, New-Delhi, Sultan Chand & Sons edition
2003.
3. Company Profile, Web-Site:- www.coca-cola.com <http://www.coca-
cola.com>
4. Merchandising & Route Productivity, www.ask-jeeves.com,
www.distributing-company.com.
5. Retailing, Company Souvenirs.
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