INDEX
SR. NO CHAPTER NAME
1 INTRODUCTION OF MARKETING
2 COMPANY PROFILE-History of company
3 RESEARCH & METHODOLOGY-Objectives-Collection of Data-Type of Research-Hypothesis-Limitations
4 DATA ANALYSIS &INTERPRETATION
5 CONCLUSIONS & SUGGESTIONS
6 RECOMMENDATIONSANNEXUREBibliographyQuestionnaire
1
2
CHAPTER: - 1
INTRODUCTION
CHAPTER: - 1
INTRODUCTION
Introduction of Marketing
Introduction :
The Introduction of marketing comes in India very late. Though
we are known lot about the theoretical part of it. The practical importance was
left by the Indian industries when they came to know about the competition
with the multinational companies functioning in India and also exporting our
products in abroad.
The development of marketing is evolutionary. “Marketing is what a marketer
does.” But this meaning lacks clarity in understanding the subject. The
evolution of marketing is as old as the Himalayas. It is one of the oldest
professions of the world. Marketing is indeed an ancient art: it has been
practiced in one from or the other since the days of Adam and Eve. The
traditional objective of marketing had been to make the goods available at
places where they are needed. This idea was later on changed by shifting the
emphasis from “exchange” to “satisfaction of human wants.”
3
Meaning :
Marketing occupies on important position in any business unit traditional view
of marketing is the customer accepts what ever the seller presents to them. The
thing without considering the needs wants of the customer. But now this
concept is changed and the full attention is given on the customer’s wants and
satisfaction.
Definition:
“Marketing is human activity directed at satisfying needs and wants through
exchange process.”
- Philip Kotler.
“Marketing is the total system of business is activities designed to plan, price,
promote and distribute want satisfying goods and services to present and
potential customer.”
- W. J. Stanton.
4
Evaluation of Marketing :
1. Barter System: The goods are exchanged against goods, without any
other medium of exchange, like money.
2. Production Orientation: This was a stage where producers, instead
of being concerned with the consumer preferences, concentrated on the mass
production of goods for the purpose of profit. They cared very little about the
customers.
3. Sales Orientation: The stage witnessed major changes in all the
spheres of economic life. The selling activity becomes the dominant factor,
without any efforts for the satisfaction of the consumer needs.
4. Marketing Orientation: Customers importance was realized but only
as a means of disposing of goods produced. Competition became more stiff.
Aggressive advertising, personal selling, large scale sales promotion etc. are
used as tools to boost sales.
5. Consumer Orientation: Under this stage only such products are
brought forward to the market which is capable of satisfying the tastes,
preferences and expectations of consumers - satisfaction.
6. Management Orientation: The Marketing function assumes a
managerial role to co-ordinate all interacting business activities with the
objective of planning, promotion and distributing want-satisfying products and
services to the present and potential customers.
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6
CHAPTER: - 2
COMPANY PROFILE
CHAPTER: - 2
COMPANY PROFILE
History of Company
Coca-cola was inventing in May 1886 by Dr. John S. 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 today coca-cola was first sold at soda foundation in
Jacob pharmacy in Atlanta by will enable during there first year sale of
coca-cola average nine drinks day adding up to total sales for that year of
$50. Since the years expensive were just over &70 Dr. Pemberton took a
loss. Today products of the coca cola company are consumed at the rate
of more than one billion per day. Coca cola has got 5 ranks as a leader
company.
The head office of company is at Atlanta USA.
About India
In India Coca cola entered in 1950 withdrew to Janta regime in
1977 and reentered in 1993 October. With launch at Agra.
The US soft drink giant coca cola reentered India in the 1990 after
abandoning its business in the 1970 in the wake of foreign exchange
regulation act of 1973. The act mean to indianite foreign companies
made it mandatory for foreign companies to dilute their shareholder to
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40% instead of diluting its shareholding to the required limit prescribed
by the act coca-cola opted to discontinue its operation in India.
In the new liberalized and deregulated environment of the nineties,
coca made it reentry in to the India through its 100% owned Subsidiary,
Hindustan coca-cola holding. However, cokes reentry was base upon
several commitment and stipulations, which major commitment was that
Hindustan coca- cola holding would divest 49% of it shareholding in
favor of resident shareholders by June 2002.
In India it has 37 companies owned bottling operation and the head
office of Coca cola Hindustan India is situated in New Delhi.
Recently in august 2000 Pepsi claimed to have increased its market
share for first 5 month of calendar year 2000, to 49% from earlier levels
of 47.3% while coke claim to have increased its share in the market to
57% in the same period from 55% in the corresponding period last year.
Coke figures are based on ORG’s data while that of Pepsi are based on
IMRD data.
ABOUT SUPERIOR DRINKS PVT. LTD.
“Superior Drinks Pvt. Ltd.” Is one of the bottling plants of Coca-
Cola Company, witch is situated in Maharashtra in MIDC HINGNA
NAGPUR-440028.
The plant established 1992 and launch of coca cola at superior
drink Pvt. Ltd. Nagpur inaugurated by Mr. R. P. Nicholas president &
8
C.E.O. coca cola India on 10 April 1996. Turnover of the plant is 15
corers. No. of people work in the plant is 150 including the labors.
ABOUT COCA-COLA PRODUCT
When the body tired there is requirement
of refreshment and when is thirst, there is
requirement of water to satisfy the thirst coca-
cola is the name of that remedy which not only
provides the refreshment but also satisfies the
thirst.
Today coca-cola is an important part of each every occasion and
provides the freshness. Worldwide, coca-cola is well known as the best
soft drink in the field of beverages as the market leader it is satisfying the
demand and providing the services to the people. Their mission is to help
their retailer to enhance their profitability, with customer satisfaction set
as the company’s No. 1 priority to provide complete satisfaction.
The role of distribution is to act as a bridge
between the company and the retailer. It helps to
enhance the sales and promotion activities. Coke is
directly in touch with the market and a responsible for
the long term and strong relationship with its retailers.
9
Retailer categorization is a process to classify the retailer on the
basis of some major parameters it also studies those factors, which are
related to effective retailer ships, retailer satisfaction like product
demand, product availability, services, customer’s preference, and
customer perception.
This report basically based on the data collected from different
kind of retailer who keeps the soft drink including restaurant, canteen,
bar, general stores, and grocery shop etc. of Nagpur & rural area.
The research was necessary to find out the satisfaction level of
exiting retailers. Another important reason was to find out needs of the
retailers, existing as well as prospective. It becomes very important for
the companies to adapt to change as soon as possible. This research could
help the company in understanding the retailers need.
10
Coca-cola Beverage Company today :
Today the coca-cola company sells its product in nearly 200
countries and has been in a continuous
improvement mode. Within the country they
have established themselves as a benchmark
for customer services as also for the quantity
product. Share my dream said coca-cola to
the Indian customer in 1993, and coke lovers welcomed the world’s best
– know branch back with misty eyes. The younger lot just shrugged.
Coke entered the A & M top brands survey in 1994 of No. 31 with power
score of 29.9 a year after its reentry into India. Among soft drinks. Coke
was stronger than Pepsi among the older people (evidently nostalgia was
at work) while Pepsi obviously scored above coke with generation next.
By buying the national brands Thums up, Limca, and
gold spot from parle beverages. Coca-cola has also
acquired Cadbary Schweppes soft drink brands crush.
Canada dry and spot cola in early 1999 and now
recently in OTC’2000 it acquired right of these brands
from IFB agro limited.
Pepsi although stated a couple of year before Coca-cola in 1991
has lower market share today. It has bought over Mumbai based Dukes
range of soft drink brands.
Both the cola manufacturers come with own market share figure
and claim to have increased their share.
After undergoing a complete restructuring of its set up. Coca-cola
India (CCI) Ltd. is confident of marking profits two to four year down the
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line. The company has developed four core business strategies. First, a
think local approach, both in the term of manufacturing and distribution,
as well as marketing. Second focusing on non-alcoholic commercial
beverage opportunity. Third, ensuring cost and process efficiency in all
aspect of the business to maximize return on the infrastructure and fourth,
nurturing a people driven company. The company also worked on its
distribution strategy by increasing the outlet base. The focus will be on
increasing rural penetration, profitability, hub-and –spoke and own your
assets (OYA) concept coca-cola has adopted local customer specific
marketing strategy by promoting the coke brand in Delhi, Thumps up in
Mumbai and Andhra Pradesh, and Fanta in Tamil Nadu. The recent focus
on its Maaza brand has also seen its growth by almost 30%. It also plans
to introduce one or two of its international category product in India next
year. Coca-cola India has also launched Kinley drinking water. A 1 liter
bottle is proceed Rs. 12. water is being produce at Bidadi near Bangalore.
Coca-cola, which ran its international “Always Coca-cola” line in
India from 1993, had to best track. Recently Coca-cola’s Hindi line
‘thunder mat lab Coca-cola’ & recently ‘Sabaka Thand ek Coca-cola’ has
been ruling the airwaves, with Amir Khan epitomizing the brand.
Sr. No.
COMPANY HAS FOLLOWING DEPARTMENT
1. Administration
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2. Production
3. Store and Purchase
4. Sales
5. Maintenance
6. Quality Control
7. Empty Bottle shed
8. Logistic
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THE ORGANISATIONAL CHART OF SUPERIOR DRINKS
PVT. LTD.
M. D.
E. D.
Finance Plant Sales Manager Manager Manager
A/c Section Supervisor Area Sales Manager
Employee Employee Sales Executive
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Board of Directors
Board of Directors Company Post
Neville Isdell Chairman
Muhtar Kent President and Chief Executive Officer
Herbert A. Allen President and Chief Executive Officer
Ronald W. AllenAdvisory Director, Former Chairman of the Board, President, and Chief Executive
Cathleen P. Black President
Barry DillerChairman of the Board and Chief Executive Officer
Alexis M. Herman Chair and Chief Executive Officer
Donald R. Keough Nonexecutive Chairman of the Board
Maria Elena Lagomasino Chief Executive Officer
Donald F. McHenryDistinguished Professor in the Practice of Diplomacy and International Affairs
Sam Nunn Co-Chairman and Chief Executive Officer
James D. Robinson IIIGeneral partner RRE Ventures President JD Robinson, Inc.
Peter V. UeberrothInvestor and Chairman Contrarian Group, Inc. nonexecutive Co-Chairman Pebble Beach Company
Jacob Wallenberg Chairman of the Board
James B. WilliamsFormer Chairman of the Board and Chief Executive Officer
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COCA-COLA PRODUCT MIX
Coca-cola
Beverages
Coca Thums Fanta Sprite Maaza Limca Kinley Gold Kinley Cola Up Soda Soda Water
Coca-Cola: Comes under sweet flavor available in 300ml, 500ml, and
1.5lit & 2lit-quantities.
Thums up:
Comes under sweet flavor available in 300ml, 330ml, 500ml,
1.5Lit & 2lit-quantities.
Fanta :
Comes under orange flavor available in 300ml, 500ml, 1.5lit & 2lit- quantities.
Sprite :
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Comes under sweet flavor available in 300ml, 500ml, 1.5lit, &
2lit-quantities.
Maaza :
Comes under mango flavor available in 250ml in quantity.
Limca :
Comes under lemon flavor available in 300 ml, 500ml, 1.5lit, &
2lit-quantities.
Kindly Soda :
Comes under soda flavor available in 250ml.
Gold Soda:
Comes under soda flavor available in 250ml in quantities.
Kinley Water:
If is the only mineral water brand of company available
1lit quantities.
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DISTRIBUTION NETWORK
MANUFACTURER DISTRIBUTION RETAILER CONSUMER
2-Level Channel
‘Superior Drink Pvt. Ltd.’ Has 35 distribution and the area covered
Vidharbha, part Chhattisgarh and part of M.P.
There is on. Involvement of wholesalers in the distribution of
products. It is more like an agent network. The companies have divided
the country into various region established a franchisee in each region.
The franchisees have their own bottling plant and the manage all the day
to day operation. However, of late the soft drinks companies have started
setting up company owned bottling units have been acquiring some of its
franchisees bottles.
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Marketing Channel Function
Research: The gathering of information necessary for planning and
facilitating exchange.
Promotion: The development and dissemination of persuasive
communication about the offer.
Contact: The searching out communicating with prospective buyers.
Matching : The shaping and filing of the offer to the buyer’s
requirement. This includes the activities such as manufacturing, grading
assembling and packaging.
Negotiating : The attempt to reach final agreement on price and other of
the order, so that transfer of ownership is possession can be effected.
Physical Distribution: The transporting and strong of the good.
Financing : Acquisition and dispersal of found to cover the cost of
channel work.
Risk Taking : The assumption of risks in connection with carrying out
the channel work.
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FUNCTION PERFROMED BY DISTRIBUTION CHANNEL
They facilitate the sales process by being physically close to
customers.
They bridge the markets and users efficiently and economically.
Break the bulk and cater to the small size requirement of buyers.
Assemble and offer suitable assortment of product as required by
buyers.
Help sub Distribution
Transport
Handling
Accounting
Help stocks
Financing in the stocks
Risk bearing
Storage of products
Making available warehouse space
Provide salesmanship
Provide presale and after sale services.
Assist in merchandising
Assist in sales promotion
Aid the introduction of new product in market
Aid the mechanism between the firms at the ultimate point of sale
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Mission, Vision & Values
Our mission, vision and values outline who we are, what we seek
to achieve, and how we want to achieve it. They provide a clear direction
for our Company and help ensure that we are all working toward the
same goals.
Our Mission
Our mission declares our purpose as a company. It serves as the
standard against which we weigh our actions and decisions. It is the foundation of our
Manifesto.
To inspire moments of optimism through our brands and our actions.
To create value and make a difference everywhere we engage.
Our Vision
Our vision guides every aspect of our business by describing what
we need to accomplish in order to continue achieving sustainable growth.
People: Being a great place to work where people are inspired to be the
best they can be.
Portfolio: Bringing to the world a portfolio of quality beverage brands
that anticipate and satisfy people's desires and needs.
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Partners: Nurturing a winning network of customers and suppliers,
together we create mutual, enduring value.
Planet: Being a responsible citizen that makes a difference by helping
build and support sustainable communities.
Profit: Maximizing long-term return to shareowners while being mindful
of our overall responsibilities.
Our Values
Our values serve as a compass for our actions and describe how we
behave in the world.
Leadership: The courage to shape a better future
Collaboration: Leverage collective genius
Integrity: Be real
Accountability: If it is to be, it's up to me
Passion: Committed in heart and mind
Diversity: As inclusive as our brands
Quality: What we do, we do well
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CHAPTER: - 3
RESEARCH METHODOLOGY
CHAPTER: - 3
RESEARCH METHODOLOGY
RESEARCH METHODOLOGY
MEANING OF RESEARCH : Research as a scientific and systematic
search for pertinent information on a specific topic. In fact, research is an
art of scientific investigation. It is an academic activity and as such the
term should be used in a technical sense. Research is, thus an original
contribution to the existing stock of knowledge making for its
advancement. It is a per suit of truth with the help of study, observation,
comparison and experiment. In short, the search for knowledge through
objective & systematic method of finding solution to a problem is
“research”.
DEFINITION
1. According to Advanced Learner’s Dictionary,” A research is a careful
investigation or inquiry especially through search for new facts in any
branch of knowledge”.
2. According to Clifford woody,” Research comprises defining and
redefining problems, formulating hypothesis or suggested solution;
collecting, organizing and evaluating data; making deductions and
reaching conclusions; and at last carefully testing the conclusions to
determine whether they fit the formulating hypothesis”.
OBJECTIVES
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The topic of the study is” The analytical study of soft drink market for
Coca-Cola India Ltd.”
So, the important objective is to known how effective is the distribution
channel of the company.
1. To study the distribution network of Coca-Cola Ltd. In Nagpur
market.
2. To find out the of market availability of Coca-Cola products in
Nagpur market.
3. To find out the market competition.
4. To find out the factors responsible to enhance the distribution of
product.
5. To study of soft drink market for Coca-Cola.
TYPES OF RESEARCH
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1. Descriptive vs. Analytical :
Descriptive research includes surveys and
fact-finding enquiries of different kinds. The main feature of this
method is that the researcher has no control over the variables; he can
only report what has happened or what is happening. For example :-
Survey method of all kinds, including comparative and correlation
method.
2. Applied vs. Fundamental :
Research can either be applied (or action)
research or fundamental (to basic or pure) research. Applied research
aims at finding a solution for an immediate problem facing a society or an
industrial/business organization. For example :- Research studies,
concerning human behavior carried on with a view to make
generalizations about human behavior.
3. Quantitative vs. Qualitative:
Quantitative research is based on the
measurement of quantity or amount. It is applicable to phenomena that
can be expressed in terms of quantity. Qualitative research, on the other
hand, is concerned with qualitative phenomenon.
26
4. Conceptual vs. Empirical:
Conceptual research is that related to some
abstract idea(s) or theory. It is generally used by philosophers and
thinkers to develop new concepts. On the other hand, empirical research
relies on experience or observation alone. It is data-based research.
5. Some other Types of Research:-
1. One-time research or long term research
2. Field-setting research or laboratory research
3. Clinical or Diagnostic research
4. Historical research
5. Conclusion-oriented research.
QUALITIES OF GOOD RESEARCH
27
One expect scientific research to satisfy the following criteria-
1. The purpose of the research should be clearly defined and common
concepts be used.
2. The research procedure used should be described in sufficient detail
to permit another researcher to repeat the research for further
advancement.
3. The procedural design of the research should be carefully planned to
yield results that are as objective as possible.
4. The researcher should report with complete frankness, flaws in
procedural design and estimate their effects upon the findings.
5. The analysis of the data should be sufficiently adequate.
6. Conclusions should be confined to those justified by the data of
research.
7. Greater confidence in research is warranted if the researcher is
experienced, has a good reputation in research and is a person of
integrity.
8. Organizations actively work to build strong favorable image in the
mind of their publics.
In other words, we can state the qualities of a good researcher as under-
a. Good Research is systematic.
b. Good Research is logical.
c. Good Research is empirical.
d. Good Research is replicable.
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HYPOTHESIS
1) The Coca-Cola is an oldest existing company in India, Coca-Cola
occupies highest market share in Nagpur.
2) Among all the categories of occupation, student, old person,
businessmen Coca-Cola has very good lead over its rivals.
LIMITATIONS
1)Geographical constraint:-
As this study is limited and will be conducted for the Nagpur region, the
conclusion will be based for the Nagpur region only.
2)Time constraint;-
There is limited period available for studying and finalizing the project.
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COLLECTION OF DATA
In the project “Analytical Study Of Retailers Categorization For
Superior Drinks Pvt. Ltd. (Coca-Cola)”, we have collected the vast
information from different sources. There are mainly two Sources of
collection of data.
The First Source of data collection is known as “Primary Data
Collection” And another source is known as “Secondary Data
Collection”.
By using both the sources we have collected all round covered data,
where the user can get the all type of information about the project.
Sources of Data Collection:-
1) Primary Data Collection
2) Secondary Data Collection
This is the mainly two types of data collection which are describe
systematically as under.
1) Primary Data Collection:-
By using this source I have collected unique type of information.
Hear I got main and very unique information to start this project.
To start this project I approach a very good personality who gave me
complete detail information about his company which is known as
“Superior Drinks Pvt. Ltd.”.
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2) Secondary Data Collection:-
To get more information on different aspects of the project, I have
surf on different web sites and also preferred some books.
The main preferred Books are:-
Marketing Management of Mr. Philip Kotler
Research for marketing Decision of Donald S. Tull
The main preferred Web sites are:-
1) www.Google.com
2) www.coca-colacompany-coca.com
3) www.indiainfoline.com
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32
CHAPTER: - 4
DATA ANALYSIS & INTERPRETATION
CHAPTER: - 4
DATA ANALYSIS & INTERPRETATION
ABOUT THE PROJECT
This chapter contain following topics.
1. Selection of project
2. Name of project
3. Objective of project
4. Scope of project
1) SELECTION OF PROJECT
Interest in the field of marketing and the opportunity to work with
M/s. Superior Drink Pvt. Ltd. (Coca-cola), distributors of the
multinational provoked me select this project.
2) NATURE OF PROJECT
The nature of the project is research based having an exploratory
approach, as its goal is to shed light on the real nature of the problem and
to the safest possible solution or new ideas. Here the research is
exploratory, as the company had undertaken survey of data collection to
know the problem faced by the company’s retailers. The data collected
was analyzed and the facts found have been reported.
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3) OBJECTIVE
The company’s mission must be turned into specific for each
level of management. A company always states a large number of
objectives. The objectives should therefore, be stated in hierarchical
fashion and should be quantities, realistic and consistent.
The objective of this project is:
To find out the level of satisfaction of retailer.
To find out the percentage of monopoly counter.
To find out the product availability in the market.
4) SCOPE OF PROJECT
Company has a very wide scope in the beverage market as the
company has a very long product line cater to need of various section of
the market. The company markets its product throughout India. The
company has divided the entire market on geographical line into 4 zones
(East, North, West and South) and zones into 11 regions.
Geographical Scope:
The company has a wide product line to serve the needs of the
market. The company has different priced product, which are available in
different quantities.
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The project was executed in 2 areas:
1. Urban Areas (Nagpur City)
2. Rural Areas (Nagpur district. Bhandara & Tumsar talukass)
Area covered in Nagpur :
Buldi, Ramdaspeth, Gokulpeth, Dharampeth, Dhantoli, Ram
Nagar, Ravi Nagar, Bharat Nagar, Shankar Nagar.
Rural area covered :
Kamptee, Koradi, Kalmeshwar.
Organizational Scope :
Organizations actively work to build strong favorable image in the
mind of their publics. The organization can have many missions in front
of them too carry out like increasing sales, product innovation, and brand
awareness. Here the organizational scope lies in strengthening the
distribution and retailer network as the distributor and the retailers are the
pillars on which the success of a company depends.
Function Scope:The areas taken for study to cover the distribution network and the
retailer observation from the fictional group. These retailers deal in Coca-
cola and other soft drinks.
Project carried out in three stages.1. In plant training
2. Visit along with product vehicles to observe interaction between
salesman & retailers.
3. Survey.
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I Retailers Satisfaction with
A) Delivery Service
Above graph shows the retailer satisfaction with service of Urban
and Rural areas in which 78.40% of retailers were satisfaction with
services offered. Whereas in Rural area 73.33% expressed satisfaction
with the services.
Whereas 4.54% and 8.33% of retailers in urban & Rural area
respectively said that they had average opinion about services. In both
Urban & Rural areas 17.04% and 18.30% respectively expressed
dissatisfaction with the services only because they didn’t get services due
to irregularity of delivery vehicles. Overall it can be seen that retailer
satisfaction level with delivery services is similar for both Urban & Rural
Areas.
1. Brands available of Soft Drink.
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Brands %
Pepsi 21%
Coca-Cola 39%
Thums-Up 22%
Mazza 18%
Pepsi
21%
Coca-Cola
39%
Thumps-Up
22%
Mazza
18%
37
2. Do you have any scheme from Coca-Cola distributors?
Choice %
Yes 51%
No 49%
Yes
51%
No
49%Yes
No
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3. Who buys the maximum no’s Coca-Cola consumed?
Category %
Youth 40%
Children 20%
Familiars 17%
Others 23%
Youth40%
Children20%
Familiers17%
Others23%
Youth
Children
Familiers
Others
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4. Any special reason for used this Brand?
Choices %
Taste 32%
Price 17%
Brand Name 31%
Other 20%
Taste32%
Price17%
Brand Name31%
Others20%
Taste
Price
Brand Name
Others
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SUMMARY OF FINDING
1. In Nagpur city delivery of product is not regular especially in those
areas which are in interior or which are away from the main road.
2. Mostly the retailer does not have proper information about the
promotion schemes.
3. Retailers expect at least one visit of sales executive in a month.
4. Retailer wants replacement of half filled bottles, which are rejected
by the customer and are loss for him.
5. Retailers expect quick response of their complaints.
6. Some retailers stopped keeping coke product because of
replacement and service problem.
7. In the month of June there was a shortage of 2 lit., 1 lit., and 500ml
which adversely affected the retailer’s turnover.
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Retailer’s Perception
Retailers stated that the consumers are loyal to the segment of
the soft drink i.e. Coca, Orange or Orange or Lemon. But as far
the loyalty for the brands in each segment is concerned, it is not
very significant.
43% of the retailers surveyed total that in soft drinks advertising
is the key component in driving sales. While 32% stated
promotional schemes and 20% brand loyalty as the reason.
As consumers are not very brand loyal where the purpose of
soft drinks is concerned, the retailer’s push becomes a critical
issue. They usually sell the product in which they get the
maximum margins.
While destructor get margin of Rs. 8-9 per create (1 crater=24
Bottles) at 3-4% of MRP. Retailers are given a margin of 10-12% of
MRP. The retailers are not happy with this, as the cost of refrigeration
is very high for soft drinks: to over come this problem the companies
are offering visit-coolers to their main retailers.
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Consumer Habits and Practices
Soft drink comes under the category of products purchased in
impulse. Though the market the market is married by brand loyalty
the purchase decision itself is a low involvement decision. This
attitude of impulse buying is slowly changing to occasion-led buying
also to some extent to consumption through home refrigeration
particularly in Urban areas.
The market is slowly moving from non-alcoholic carbonated
drinks to fruit based drinks and also to plain bottle to lower
price and ready availability.
Consumer’s purchases soft drink primarily to quench thirst.
Therefore people traveling and not having access to hygienic
water reach out for soft drink. This accounts for a large part of
the sales.
Brand awareness plays a crucial role in purchase decisions.
Consumers prefer convenient and economy products.
In present situation RAMDEVBABA affects consumer’s habits.
Remove pesticide from contents of soft drinks.
43
Availability in chilled form affects the purchases decision. This is
made both companies to push its sales and to increase its retail
distribution by offering visit cooler to retailers.
While there is no aversion to consumption of soft drink by any
age group, the main consumers of this market are people in the
age group of 30 years and bellows.
Product differentiation is very low, as all the products taste the
same. But brand loyalty is high in the case of kids and the
people in age of 20-30 years.
Consumers are sensitive to the outlay where the purchase of
beverages is concerned. Hence the market is price sensitive.
Due to the high cost of soft drinks, a lit of times consumers
prefer beverage like tea, Coffee or other drinks like sherbet and
squashes.
While 75% of the PET bottle consumption is in Urban areas the
glass bottle sales are higher in Rural areas.
According to NCAER survey 91% of the total consumption of
soft drinks in the country is done by lower, lower middle and
upper middle class people.
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DISTRIBUION NETWORK IN RURAL AREA
1. In rural area mostly the distributor have their own business, like
restaurant or canteen so they concentrate more on their business
rather than distribution.
2. In some outlet the refrigerator is not working because of
mechanical problem and so the sales are affected.
3. Some rural area bar and restaurant are monopoly country of
competitor because of regular schemes and distribution of gift.
4. Some retailer stopped keeping the coke product because of poor
service.
5. Full coverage of the target market has not been achieved.
6. Some distributor does not provide the credit facility.
7. Some retailers are not satisfied with response their complaints of
the product.
8. There is a communication gap in between gap in between the sales
executives and retailers.
9. In rural areas most of the retailers don’t know the name of the sales
executives and sales manager.
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10. In rural area retailer expect at least one visit sales executives in
months.
11. In some areas is requirement of advertisement and sales
promotion.
12.There are complaints of retailer that they never get the proper
information about the promotional schemes so that they can’t take
benefit to schemes.
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FINDING OF IN-PLANT TRAINING
The researcher observed the manufacturing process and other
aspects at the distributor’s plant located at MIDC, Hingana.The
observations are described as bellow.
Manufacturing process
Diagram
Conc. Base Syrup +Sugar Solution + CO2
Bottle Filter Sugar Solution + Water + CO2 + beverage (Syrup)
PARAMIX
Crown Capping Time Date & Batch No. Level of Beverage
PRINTING
CHECKING
Packaging
A discursion was also carried out with the sales representative of the
company where the advantage of franchising was discussed. The
information obtained is a reported.
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Advantages and Limitation of Franchising Network
Advantages are-
Reduced investment in manufacturing equipments:
If a company sources its product from franchisees, it does not require
setting up its own manufacture plant for purpose. The company thus
benefits from reduce investments in manufacturing, inventories of raw
material and other functions required for the manufacturing of the
components.
Savings on management time :
As the components are out sourced, the company stands to gain by
saving on the management time and cost. The role of the company gets
restricted to establishing the system and in quality control at the franchise
locations. Over period of time the system implemented stabilize and
hence the involvement of the company remains on at strategic decision
level.
Regular supply of Component:
With the development of strong relations with the franchisees, the
manufacture can be assured of a regular supply of components as per the
manufacture’s specification.
Reduced interfacing and dealing with labor :
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The labor and union employees involved in the manufacturing are the
responsibility of the franchisee. This beneficial as it reduces the
management time and involvement in solving their issues.
Limitations are :
Large Volumes :
To set up an ancillary base, the company is required to produce large
volume as the franchisee may not to be interested in making large
investment in the manufacturing facilities if the volumes required to be
produced are low. Especially the existing franchisees will not take the
risk of typing up with new players.
Financial support :
In India, most vendor are small in size and do not have capital to
invest in theses equipments, which requires the manufacture to give them
the financial support, this problem becomes intense when the
manufacture has an existing franchisee base and wanted to increase the
capacity.
Quantity :
In some case, due to cost considerations, the manufactures are
forced to compromise on quality.
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50
CHAPTER: - 5
CONCLUSIONS & SUGGESTIONS
CHAPTER: - 5
CONCLUSIONS & SUGGESTIONS
CONCLUSIONS
Conclusions :
1) After going a detail study of the organization following
conclusion were noticed.
2) They were a wide experience. The products which company
produce has a long product line & suitable for all class of people. The
quality of the product is excellent with more covering capacity.
3) The delivery network is ineffective; also company spends less of
its sales revenue on sales promotion.
4) High market share covered by company & has a very good
reputation.
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Suggestions
1. Costumers from rural areas are looking for low priced product
hence rural market can be captured by designing low priced
products.
2. Brand awareness can be increase & rural market can be captured
with the help of sales promotion activities.
3. In rural areas company can expand its market by appointing new
distributors because few exiting of distributors are not taking full
efforts.
4. Company should use small delivery vehicle to reach each & every
outlet.
5. Frequency of salesman to the retailers should be increase seasonal
variation in demand.
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53
CHAPTER: - 6
RECOMMENDATION
CHAPTER: - 6
RECOMMENDATION
RECOMMENDATION
After going though research it comes to know that company need
improvement in certain areas :
1. It was found during the research that there was low brand
awareness of some brand amongst the retailers especially in rural
areas. Therefore it is advisable for the company to create more
brand awareness among the retailers.
2. Means of transportation should be increase in rural areas as well as
in Urban area to deliver on time.
3. Company should keep watch on the service offered by it and for
the implementation regular follow up sales in charge in necessary.
4. It is possible to increase market share if efforts are made to know
the weakness, strength, opportunities and threats. Thus
accordingly strategies can be planned.
5. A strong distribution network should be development for the rural
markets.
6. In rural areas providing schemes can increase numbers of
monopoly counters.
7. Company should establish the permanent communication channel
with the retailers.
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8. Sales executive should give visit to new outlets too for prospecting,
because some retailers want to start keeping soft drink and want
know the related information.
9. Company should establish the ferment communication channel
with the retailers.
10. In rural area competitor is taking the benefit by providing credit
facility so company.
11. It is found that problem of half-filled bottles arises due to
improper handling of the crate to company should conduct a
training program for the sales personal and for the distributors.
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ANNEXURE
56
BIBLIOGRAPHY
Sr.
No.Name of the Book Authors
1. Marketing Management Philip Kotler
2. Research for marketing Decision
Paul E. Green
Donald S. Tull
Gerald Albaum
3. Marketing Research
Haper W. Boyd
Ralf Westfall
Stanley F. Stasch
Web Sites :
1) http///www.coca-colcompany-coca.com
2) www.indiainfoline.com
3) www.google.com
4) www.hinhuonnet.com
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QUESTIONNAIRE
Questionnaire for consumers:
Name of person :
Address :
1. Brands available of Soft Drink [Tick]
Pepsi [ ] Coca-cola [ ]
Thumps Up [ ] Mazza [ ]
2. Do you have any scheme from distributer?
Yes [ ] No [ ]
3. Satisfactory with Distribution Channel [Tick]
Yes [ ] No [ ]
4. Any special reason for used this Brand?
Taste Price. Brand Name Other
5. Who buys the maximum no’s Coca-Cola consumed?
Youth [ ] Children [ ]
Familiars [ ] Others [ ]
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