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A project report on the comprehensive study A project report on the comprehensive study Document Transcript

  • A PROJECT REPORT OF MARKETING STRATEGIES AND DISTRIBUTION CHANNEL OF COCA COLA BEVERAGE PVT LTD. Submitted by: Tushar Verma B.COM (HONS) ENROLLMENT NO. A7004610054 Under Guidance Of :Industry Guide : FacultyGuideMr. Chitresh Tiwari Miss. Sana MoidMarketing Executive Manager ABS, Lucknow (SUMMER INTERNSHIP REPORT IN PARTIAL FULFILLMENT OF THE AWARD OF FULLTIME BACHELOR OF COMMERCE HONORS 2011-12) AMITY BUSINESS SCHOOL AMITY UNIVERSITY UTTAR PRADESH LUCKNOW 1
  • DECLARATIONI hereby declare that I have carried out Summer Training Project on the topic entitled“Comprehensive Study of Coca Cola” at Lucknow, Uttar Pradesh.I further declare that this project work is based on my original work andno part of this project has been published or submitted to anybody. TUSHAR VERMA B.COM(HONS.) 2
  • FACULTY GUIDE CERTIFICATEForwarded here with a summer internship report on “Comprehensive study of CocaCola” of Coca Cola submitted by Tushar verma Enrollment NO. A7004610054student of B.COM HONS. (2010-13)This project work is partial fulfillment of the requirement for the degree of BachelorOf Commerce Honors from Amity University Lucknow Campus, Uttar Pradesh.Miss. Sana MoidLecturerAMITY UNIVERSITY,LUCKNOW CAMPUSUTTAR PRADESH. 3
  • STUDENT’S CERTIFICATECertified that this report is prepared based on the summer internship project undertakenby me in COCA COLA BEVERAGE PVT LTD. from 15th May 2012 to 30th June2012, under the able guidance of Miss. SANA MOID in partial fulfillment of therequirement for award of degree of Bachelor of Commerce honors B.Com from AmityUniversity, Uttar Pradesh.Date:Tushar verma Miss. Sana Moid Prof. V.P. Sahi(Student Name) Lecturer (Faculty guide) (Director ABS) 4
  • PREFACEIn summer the consumption of soft drinks is more due to hot weather in this timechilled weather is needed everywhere and every body irrespective of age difference. Inthe market peoples not only need water, but they want same taste too. Here comes theneed of soft drinks: it has become an essential part of market as people like it inaddition to the bottles, now day’s packages of soft drinks i.e. Tin cans. Pet packs of i.e.Litters canisters and dispensers are introduced to enhance the impact in sales.As an integral part as curriculum all B.com(Hons.) a participant are required toundergo practical summer training in any industry for 6 to 8 week’s period. The mainobjective of this training is to supplement theoretical knowledge with exposure topractical operator of an organization or industry. Candidate tale much help from thistraining when he get the job after completed the curriculum in this training candidateget the better opportunity to in meet the Retailer conjurer, whale sellers dealer bywhich candidates gain more and more information about the market. By this practicalExperience candidate confident level is improved. Consequently we can say thistraining provide better understanding of all functional areas of management skills. 5
  • ACKNOWLEDGEMENTThe Research report will be incomplete without acknowledge giving my sincere,gratitude to all persons who have helped me in the preparation of this dissertation. Firstof all, I thank “GOD ALIMIGHTY” for the blessings showered on me throughout thisproject work, which has helped me in the successful completion of the training. Iexpress our thanks to Coca cola Hindustan Beverages Ltd. for granting me thepermission to work with the esteem organization. I am also thankful to Mr. AshutoshSharma (Sales Co-ordinator) and then to Mr. Chitesh Tiwari (Marketing ExecutionManager) and then to Devendra Kumar (SE) and then to Pankaj Chaudhary (LogisticCo-ordinator) of Coca cola Hindustan Beverage Ltd. They guided and helped us in allpossible ways they could, at every stage of the report.I would also like to thank all the Executives, distributors & staff of Coca cola whoprovided us all the relevant information and their kind support, on the basis of whichthis report has been prepared. . 6
  • CONTENTSTOPIC PAGE NO.CHAPTER 1 10INTRODUCTION 13CHAPTER 2COMPANY PROFILE- COCA COLAOBJECTIVE OF THE PROJECT 18DISTRIBUTION CHANNEL 23MARKET OF SOFT DRINK IN INDIA 25COMPETATIVE ARENA 27SWOT ANALYSIS 55CHAPTER 3 60RESEARCH METHODOLOGYCHAPTER 4 RECOMMENDATION 79ANNEXURE – QUESTIONNAIRE 81BIBLIOGRAPHY 83 7
  • LIST OF FIGURES Page no.Figure 1 15Figure 2 21Figure 3 39Figure 4 39Figure 5 40Figure 6 41Figure 7 41Figure 8 42Figure 9 43Figure 10 43Figure 11 43Figure 12 44Figure 13 44Figure 14 44Figure 15 45Figure 16 46Figure 17 67Figure 18 68Figure 19 70Figure 20 71Figure 21 72Figure 22 72Figure 23 73Figure 24 74Figure 25 75Figure 26 76Figure 27 77Figure 28 78 LIST OF TABLES Page no.Table 1 16Table 2 16Table 3 45 8
  • CHAPTER 1 9
  • IntroductionModern age is full of competition. Today only way of success is your continuousefforts towards the growing market needs and in satisfying them. It is the marketer jobto know what the market speaks i.e. the ever changing needs of the customer throughmarket research & adopt them fruitfully. It is must for all the companies to makepolicies according to the customers and the govt. Today to succeed for anyorganization has to target its customer needs, to create a culture in the organization i.e.market conscious & responsive to customer needs. Soft drinks industry has become bigbusiness in India in recent years.The soft drink business under went major change with the entry of PEPSI and re-entryof COCA-COLA in India in the late 80s when Parley with brands like Thumps, Limca& Gold spot was a clear leader. Coca-Cola took up the product line of parley in 1993-94; today both brands are the Indians favorite soft drinks. 10
  • HISTORY OF COLAThe cola industry has phenomenal possibilities for rocketing profit growth inspite ofthe sign of relief heaved by the manufacture at the abrupt sensational termination ofcoca cola monopoly the tastes of cola is by no means extinguished the coca. Cola havea status symbol to it..., generated by the sub standard, penetrated, advertising andextensive distribution network.Total soft drink segment is growing at the rate of 10% per year still if internationalstandard area considered the per capita consumption of three serving in rock bottom,less than even our neighbors Pakistan and Bangladesh, where it is four more as much.So with kind of a market potential coke entered in India in 1991 after the permissionsof setting up Britico Food company to coke was granted by the government in Pune in1992 the plant was established for is deducted then the bottle are taken out of the lineand cleaned again or rejected.The most important step is the mixing of drink concentrate dissolved in the soft waterthe sugar syrup at the same time. Carbon dioxide is passed in the drink to produce afizz.After the crowing of the bottle the crown contains the manufacturing data batchnumber and Time.After crowing the bottle, the bottle comes again at checking screen for checking thebottle. 11
  • CHAPTER 2 12
  • Company Profile Coca-cola (US)Coca cola is a world leader in beverages, with revenues of about $35 billion and over180,000 employees. The company consists of the snack business of Frito-Lay NorthAmerica and the beverage and food businesses of Coca cola Beverages and Foods,which includes Coca cola Beverages North America (Cola North America andGatorade/Tropicana North America) and Quaker Foods North America. Coca-colaInternational includes the coffee businesses of Frito-Lay International and beveragebusinesses of Coca-cola Beverages International. Coca-cola brands are available innearly 200 countries and territories.Many of Coca-cola brand names are over 100-years-old, but the corporation isrelatively young. Coca-cola was founded in 1923 through the merger of Pepsi-Colaand Frito-Lay. Tropicana was acquired in 1998 and PepsiCo merged with The QuakerOats Company, including Gatorade, in 2001.Coca-cola Company – Coca-cola (formulated in 1898), Diet coke(1964) andMountain Dew (Introduced by Tip Corporation in 1948).KO is the world leader in the food chain business. It consists of many companiesamongst which the prominent one is Pepsi cola, frito lay, Pepsi food international,pizza hut, and KFC and taco bell. The group is presently into three most profitablebusinesses namely, beverages, snack foods and restaurants. It has scores of big brandavailable in nearly 150 countries across the globe.The beverages segment primarily market Pepsi diet, mountain dew and other brandsworldwide and 7UP outside the U.S. market. They are positioned in close competitionwith Coca-Cola inc. of USA. A point to be noted is that coca cola get 80% of its profitfrom international operation while same figure of Pepsi co. stand at 6%, the segment isalso in the bottling plants and distribution facilities.The restaurant segment primarily consists of the operations of the worldwide pizza hut,Taco Bell and KFC. Long time no.2 player in the cola wars, Pepsi co. is widening theplay field, over the last years; the company has invested more than $2billion in itsworldwide operations. When Coca-Cola changed its formula in 1985, Pepsi stepped up its competition withits long time archival claiming victory in the cola wars. Coke and Pepsi expanded theirrivalry to tea in 1991 when Pepsi formed a venture with #1 Lipton in response tocoke’s announced venture with nestle (Nestea) it has won over 30% of the ready todrink tea market, a part of the so called “new age” beverages segment. 13
  • The beverage industry has witness the phenomenal growth over the last fewyears necessitating capacity increase and builds up of commensurate infrastructure tomeet the business growth, which is accordingly matched. PepsiCo’s success is the result of superior products, high standards ofperformance, distinctive competitive strategies and the high integrity of our people.Mission of the Company: Continuously excel to achieve and maintain leadership position in the chosenbusinesses; and delight all stakeholders by making economic value additions in allcorporate functions. Coca-Cola bottling plant opens in 1950 in New Delhi, operated bypure drinks Ltd. In 1951 Bombay plant opens, also operated by pure drinks Ltd. In1953 and 1954 Calcutta & Kanpur bottling plant opens cont. 1973 was the time when22 bottling plant operated in 13States. In 1978 Coca-Cola withdraws Indian operations. In 1992 KO resumes business operation in India in joint venture withJMRPCO. After that KO acquires Parles brands (Thumps up, Limca, Maaza, Goldspot, Cintra, Rimzim.) 1994-Plants open in Bombay, Calcutta and New Delhi. In 1996Can, PET plant started in pune. 1998-First Greenfield plant opens in Ahmedabad. Coca-Cola buys a no. of bottlers in India. Integration of all bottling units into 1pans India Company bottler, HCCBPL in 1997-1999. In july 2005 HCCBPL becomesa separate bottling entity (CBO) reporting in bottling investment group (BIG), Atlanta. 14
  • BUSINESS SEGMENTS The KO Group is divided into three-business segments- Beverage, Food andEducation. It has a leading market position in each of its three business segments. Ourbalanced portfolio produced a solid business performance. Products and services,which look to the future, ensure that we will be well placed in growth markets. FIGURE 1TYPES OF COOLERS • 2 cacs • 4 cacs. • 7 cacs • 9 cacs • 11 cacs 15
  • • 20 cacs • 30 cacs RATE LIST-2010Brand Basic Rate Amt.Vat charge @ Total 12.5 %200 ML 149.33 18.67 168.00300 ML 190.22 23.78 214.00SD 300 129.78 16.22 146.00MLSD 500 224.00 28.00 252.00ML600 ML 394.67 49.33 444.001.25 LTR 337.78 42.22 380.002 LTR 364.44 45.56 410.00DT 330 444.44 55.56 500.00ML330 ML 444.44 55.56 500.00KIN 144.00 18.00 162.00500MLKIN 1 LIT 97.78 12.22 110.00 TABLE 1 16
  • FRUIT JUICEBrand Basic Amt.Vat Charges @ 4 % Total RateMZ 200 ML 278.85 11.15 290.00MZ 250 ML 205.77 8.23 214.00MZ 600 ML 530.77 21.23 552.00MZ 1200 ML 480.77 19.23 500.00MMPO 400 ML 509.62 20.38 530.00MMPO 1.2 LTR 600.96 24.04 625.00 TABLE 2 17
  • OBJECTIVEThe objective of my training is survey in ALAMBAGH and CHARBAGH (A&BRoutes) in order to find out Market Share Of Coca Cola And Channel Of Distributionit means we have to find that what is the market share of coca cola in the market andwhat is the market share of his competitor Pepsi and we have to find that customer takecoca cola brand from company vehicle or from dealer. 18
  • Coca-Cola entry in IndiaCoca-Cola bottling plant opens in 1950 in New Delhi, operated by pure drinks Ltd. In1951 Bombay plant opens, also operated by pure drinks Ltd. In 1953 and 1954Calcutta & Kanpur bottling plant opens cont. 1973 was the time when 22 bottling plantoperated in 13States. In 1978 Coca-Cola withdraws Indian operations. In 1992 KO resumes business operation in India in joint venture withJMRPCO. After that KO acquires Parles brands (Thumps up, Limca, Maaza, Goldspot, Cintra, Rimzim.) 1994-Plants open in Bombay, Calcutta and New Delhi. In 1996Can, PET plant started in pune. 1998-First Greenfield plant opens in Ahmedabad. Coca-Cola buys a no. of bottlers in India. Integration of all bottling units into 1pan India Company bottler, HCCBPL in 1997-1999. In July 2005 HCCBPL becomes aseparate bottling entity (CBO) reporting in bottling investment group (BIG), Atlanta. 19
  • THE PRESENT POSITION OF COKE IN INDIACoke is a house holds name and is the lips of every one. In present time every personknows the name of coca cola since India is one of biggest market and sultry summerfrom March the end of October and huge population has immensely helped in the salesthe sales of coke in India and its making it more economical.Last years, the market share of Coca Cola was not specific. In this year company’s topmanagement adopted new policy and decreased the rate of all brands of coke. By thisdecision top management determined the rate of 300 ml / 7Rs. And they made a newbrand of 200 ml determine the rate of this brand 5Rs. By which medium size familyand lower level family can be taken the enjoy of coke. By this decision company’smarketing share has been increased.In present time coke is captured approximate 70% market share in cold Dinks line.Now coke has defeated all the soft drinks company. According to service andaccording to advertising coke has appropriate position.It has now emerged as the winner and has a good image in the market.Coke has even sponsored the wills cricket world cup 96 at an estimated cost of 26corers. 20
  • ORGANIZATION STRUCTURECoca-Cola Hindustan Beverage Ltd. FIGURE 2 21
  • PRODUCTION PROCESS OF SOFT DRINKThe production process is highly mechanical is and automatic the raw materialrequired for soft drink are concrete sugar syrup and treated bottled the entire processtake in the following steps.The first step in the production involves conversion of hard water in the soft water.The next step is the preparation of sugar syrup in the plant itself the content of thesyrup various according to the brand prepared the syrup at most can be stored for 4hours.Then the bottle is cleaned thoroughly before is done with steam water jets and causticsoda.Bottle are then moved on a conveyor belt in a line and are closely examined in casesome impurity is left. It the impurity the concentrate coke is not a now product for theIndian it was there in India till 1977 but had to leave India on mass demonstration ledagainst it, instigated by the local brands it was leaded by Mr. George Fernandes inAgrain UP so when the program of re-launching was made, it was again (where it wasmade o leave the country), on the 24th October 1993 in order to a strong hold in theIndian market, it signed a pact with Mr. Ramesh Chauhan of Parle exports. ThumpsUp, Limca, Gold Spot, Citra, Maaza, Bisleri Club Soda etc. at a cost of $40 million bydoing so they gripped the Indian market of soft drinks and captured 65% of the entiresoft drinks much that the competition was tougher and commodities was of the samestandard. So the going was tougher, but still it has managed to gain and keep in. 22
  • DISTRIBUTION CHANNELDistribution means supply of goods from company to its ultimate user. Aftermanufacturing the product the important work for the is to provide its goods to itsultimate user at the right time and when manufacturing process has been over. Thanmarketing work will be start by the marketing Department adopt the policy forproviding goods to the consumer at the right time and place. Distribution means theway be which the product reach to the hand of consumer these all process comes underthe Distribution of Network. Good distribution network is essential for more sailingand customer satisfaction. If customer or retailer is not satisfy of your distribution network. It reflect that company’s Distribution is not good and some thing is wrong anywhen.The Distribution of Coca Cola of best. Company don’t want to take anytype of risk so they have made the distributor in different 2 areas.Distributor take the flavors from the company and deposit all the paymentin advance by this process company get all the money at the right time.Distributors establish all the goods in bare house company are appointed 2or 3 executive for marketing. Executives are getting the salary fromcompany. But sales man helper, loader, appointed by the Distributor.Distributor is liable to give the salary to the sales man helper; loader andclerk the sales man do the work under the pressure of Executive.From the bare house company launch the flavors in the market. The flavor reaches inthe market to the retailer by two medium. 23
  • 1) By the company vehicle 2) DealerCompany vehicle and dealers both provided the flavors to the Retailer.Retailer sales the flavor to the consumer. This is the good marketing strategy. 24
  • SOFT DRINK MARKET IN INDIAToday India is one of the most potential markets, with population of around 900million people, the Indian soft drinks market was only of 200 cases per year. This wasvery low even compared to Pakistan and Philippines. Population and potential marketare two major reasons for major multinational companies of entering India. They feelthat a huge population coupled with low consumption can only lead to an increase inthe soft drink market. Another increase in the sale of soft drinks in the scorching heatand the climate of India, which is suitable for high sale of soft drinks. All these factorstogether have contributed to a 30% growth in the soft drinks industry. If the demandcontinues growing at the same rate, within two years the volume could touch 1 billioncases. All these factors are the reasons for the entry two giant of the soft drink industryof the world to enter the Indian market. These two giants Pepsi and Coca-Cola,Themselves share 96% of the soft drink market share. Rest is shared by Cadbury’sSchweppes, Campa Cola and other soft drink brands. But was the scene same 20 yearsago? The answer is No. 1970 was the year of pure soft drinks Campa cola and Parlepeople (Thumps up and Limca).Soft drink consists of a flavor base, sweetener and carbonated water. In general termsnon-alcoholic drinks are considered as soft drinks this name soft drink was given byAmericans as against hard which is mainly alcoholic.The major participants involved in the production and distribution of softdrink are concentrate and syrup producers, bottlers andRetail channel. Concentrate producers manufacture basic soft drink flavors and retailchannel refers to business location that tells or serves the products directly toconsumers. 25
  • Soft drink is not a product, which a person plans to buy before hand, but is an impulsepurchase. Lots of sale depends upon the strength of merchandizing done at the point ofsale.It all begin in 1977, a change in government at the center led the exit of coca-colawhich preferred to quit rather to dilute its equity to 40% in compliance with theForeign Exchange Regulation Act (FERA). The first national cola drink to pop up wasdouble seven. In the meantime, Pure Drinks, Delhi on coke’s exit, switched over toCampa Cola.The beginning of 1980’s saw the birth of another cola drink, Thumps up, Parle theGold spot people, launched it in 1978-79, as “Refreshing Cola”. By the mid-eightiesMc Dowells launched Thrill, and by the late eighties there was Double Cola, whichentered in India market, as a NRO-run out fit with its plant in Nasik { Maharastra }, in1978 Parle, Indian soft drink’s market (share 33%) with its gold spot and Limcabrands. Later Thumps Up also started Thumps Up. At the same time the threat to theIndian soft drinks was that of fruit drinks. In 1988, fruit drinks market was valued atRs. 40 corers and grew at the rate 20%.Coca-Cola entered Indian by buying up to 69% of the 1,800 corer soft drink market{ i.e. 5 Parle Export brands of Thumps Up’s Limca Gold spot, Citra & Maaza }.Todaythe scene has changed making it a direct battle between two giant Coca-Cola andPepsi. The picture will become clearer by looking at the India market shares in thebeverage industry.One of the strongest weapons in Coke armory is the flexibility it has empowered itspeople with. In Coke every employee, may he be a manager or salesman, have anauthority to take whatever steps he or she feels will make the consumers aware of thebrand and increase its consumption. Thus Coke believes in establishing and nurturing 26
  • creditability of the salesman and making commitment to grow business in accounts.All these factors together led to a high growth in the Indian market and constantlyincreasing market share.COMPETITIVE ARENAThe soft drink market all over the world has been witnessing a neck to neck battlebetween the two major players, Coca-Cola and Pepsi since the very beginning. Thethirst quenchers are trying hard to have the major chunk of the pie of carbonated softdrink market. Both the players are spending their energies in building capacity,infrastructure, promotional activities etc.Coca-Cola being 11 years older than Pepsi has dominated the scene in most of the softdrink markets in the world and enjoying leadership in terms of market share. But theCoca-Cola people are finding it hard to keep away Pepsi, which has been narrowingthe gaps regularly. The two are posing threats to each other in every nook and cornerof the world. While Coca-Cola has been earning most of its bread and butter throughbeverage sales, Pepsi has a multi products portfolio with some portion from the samebusiness.The two warriors are face to face once again here in India with different strategies andtactics to attack the rival. Coca-cola is focusing upon the joint ventures with theexisting bottlers { fobo } franchise owned bottling operations to enhance its control onmanufacturing and marketing of its products range and attain the quality standards ofits 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} companyowned bottling operations. Both the companies are following different path to reachthe same destiny i.e. to fetch the bigger portion of aerated soft drink market. Bothconsider India a huge potential market, as per capita consumption here is a mere 3serving annually against the world average of 80. Therefore, they are putting in theirbest efforts to woo the Indian consumer who has to work for 1.5 hours to buy a bottleof soft drink. In comparison to the international norms minutes, a major hurdle to crossover for both the athletes for getting no.1 position comparison to the inter. Coca-cola iswell set with its 53 bottling sites through out the country giving it an edge overcompetition by processing a well-built bottling and distribution set-up. On the otherhand, Pepsi, with two more years in india, has been able to set an image of a winner inIndia and has been able to get the pulse of the India soft drink market. The soft drinkgiants are leaving on stone unturned and her for the long terms. 27
  • Coca-cola has been penetrating the market through its wide product range with adetermination to change consumption patternof soft drink in India. Firstly, they upgraded the whole industry by introduction 300 mlbottles, which in turn had given the industry a booming growth of 20% as compared tothe earlier 5%. They want to develop a coca culture here and are working on a strategyto offer soft drink in every possible package. In coca-cola camp, the idea ofcompetition 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 betweentwo big barons. According to Pepsi philosophy, it’s the madness that encouragesexecutive to think, to conjure up those creative tactics to knock the fizz out theircompetition. 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, AkshayKumar and their advertisement to endorse their brand, the role models for its targetedconsumer the teenagers. They have increased the fizz in the market place byintroducing the dispensers called fountain Pepsi and has been enjoying a lead over itsrival there.Coca-cola on the other hand, has been working on the saying slow and steady wins therace’s side by retailing to every more of its competitor. They have procured the shieldof thumps up with a handsome market share in Indian soft drink market.Countering Pepsi’s international commercial that used two chimpanzees to cock asnoop at coke, thumps up come with the ad line, don’t be Bandar, and taste thethunder. Also thumps up has been positioned now very near to that young image ofPepsi and giving it a though time.These cool merchants have put everything on fire. It coke got the status of the officialdrink of wills. World cup, Pepsi blushed as nothing official about it. As thumps upprojected as ‘saaree jahan se achcha’ Pepsi was passionate enough with ‘freedom tobe’ and now the “yeh dil mange more” when thumps up came with thunder blast, theother offered ‘Pepsi stuff card’. If red is meant for coke, Pepsi has chosen to be blue. 28
  • COKE’S MARKETING STRATEGIESCoke decides on its marketing strategies at a national level and lends them a localflavor. For example, while festival mood plays a strong role in marketing, it isactivated for Durga Puja in Calcutta, Dandiya in Gujarat, etc., Coke has its focus onthe youth market in India.As a first step toward catching the attention of the youth, coke signed on cricket heroesSaurav Ganguly and Javagal Srinath. It slowly started talking about youth passionslike cricket, films, festivals and food. Soon the advertisements started giving themessage, “Eat Cricket, Sleep Cricket, Drink only Coca-Cola” And now it hasstarted modifying film hits to frame catch lines that appeal to the youth. This particularstrategy has worked well for coke.Coke is focused on distribution to ensure that its products are within customer’s reach.And it saves its focus has begun to pay it dividends. As per mid-1998 figures coke isselling as many bottles in the hinterland of Punjab as it does the four metros. 29
  • THE FUTURE OF COCA COLAWhile doing business overseas offers coke wonderful growth opportunities it also hasits own disadvantages. The economic slowdown in various overseas markets and thestrong dollar had their impact on coca-cola revenues and bottom line in 1998. But thecompany optimistic about the future.M Douglas Investor, the Chief Executive Officer of the Coca-Cola Company says,“This past year 1998 has been a challenging period for the Coca-Cola Company aseconomic environment became more uncertain in the later part of 1998, we stronglybelieve that our fundamental opportunities for long term growth have not changed”.As long as maximization of share holder wealth remain Coke’s focus for its future isassured Goizueta had stated and proven to the world that focus on shareholder wealthdoes more good to the company than focus on revenues and it is not that coke does notenjoy volumes for it is world’s No.1 soft drink manufacture. It is not content with thistitle and is aiming at higher volumes year after year. Surely coke will continue to grow.Point on Roberto had reduced the company basically to its trademark and the returnsare so astronomical as to be off the boards. It just absolutely added a jet engine to theirperformance. 30
  • COCA COLA GLOBALIZATION STRATEGIESThe coca-cola company is global player and approximately 70 % of its volume and 80% of its profit come from outside the United States of America. Although it wasperceived as a standardized brand across the world, coca-cola had been quietly fineturning its international marketing strategies to suit the needs of individual nationalmarkets. Only the brand coca-cola, sprite and fanta were marketed globally. In LatinAmerica and Europe, where a heavy consumer preference existed for lemon lime andorange sodas. Coke had developed a wide range of formulations and flavors to caterthe needs of different countries. In ei salvador and venezuela, a version of fanta calledfanta kolita a cream soda type of drink became extremely popular. Similarly, inindonesia coke had been selling pineapple and banana limca, maaza and thumps up in1993. 31
  • A 100 YEARS OF THE CURVY GLASS BOTTLE OF COCA COLACoca-Cola Company marks a mile stone on Wednesday, 24th March 1899 Chattanooga;Tenn. where its first bottling plant was started 100 year ago by two men struck one ofthe most lucrative business deals in US history.Joseph whitehead and benjamin thomas offered coca-cola company owner asia candlera dollar for the right to bottle soft drinks in 1899. Today 1 billion soft drinks are soldeach day in more than 200 countries around the world.Candler had purchase what would become the cola company for $2,300 eight yearsearlier from john pemberton, an atlanta phamacist who astonished the world.Candler though the bottling venture would never succeed, but he signed the contractwith white head and thomas any way, “and the rest is history”, bob lovell, vicepresident of marketing for coca-cola bottling company. United inc., said in telephoneinterview from chattanooga.Lovell said thomas had seen cuban fields hand drinking pina fria a pineapplebeverages, from bottles while he was Stationed in Cuba during Spanish American war.When he returned to Chattanooga, he decided to pitch the idea of bottle soft drinks tocoke, which was then sold only as a fountain beverage.“it occurred to him that coca-cola in bottles would be very popular”, Lovell said, “Mr.Candler did not see any future in it because the containers were not sound, but that’show it all came about. “Thomas and whitehead promised to pay one dollar for the rightto bottle coca-cola, but legend has it that no money changed hands. 32
  • 33
  • COKE’S BOTTLING STRATEGIESIn the soft drink business the bottlers are responsible significant extent for ensuring theavailability of the products. Bottlers are supplied with concentrate to which they addaerated water and bother ingredients before packing and sealing either cans or bottles.Bottlers play a strategic role in the success of soft drinks companies and this was notfar from Goizueta’s mind.In 1986 the company merged some of its company owned bottling operations with twolarge ownership groups that had been put up for sale. All these bottling activities werecombined to from its own subsidiary Coca-Cola Enterprises (CCE) to handle bottlingoperations. The Coca-Cola Company took 49 percent equity stake in Coca-ColaEnterprises enabling it to retain its own balance sheet. 34
  • PROMOTION : THE COCA-COLA WAYGoal for the 90’s“TO PLACE COCA-COLA WITHIN AN ARM’S REACH OF DESIRE.Consumer activity clusters:-• Grocery shopping• Other shopping & services• Eating and drinking• Entertainment / Recreation / Leisure• Travel / Transportation / Hospitality• Educational• At WorkThe 3A’s:-The strategy for reaching in creasing numbers of consumers in India is based on thebelief that consumers will buy our products it they are Available, Affordable andAcceptable.Strategies for the 3A’s• Focus on the consumer and customer.• To provide quality customer services, and caring about the quality of performance in respective jobs.• Caring enough about what we do, to it the best we know how. 35
  • The 3A’s is Coca-Cola underlying strategy for meeting its goal to reach increasingnumbers of consumer’s. How does coke position its limited resources to help meet itsgood? Let us explore the specific ways in which the Coca-Cola system addresses eachof the 3A’s:-AvailabilitySome of the ways in which the Coca-Cola Company hopes to increase availability ofits product include improved or innovative packaging, dispensing systems,distributions system and marketing.AffordabilityThe ways to address affordability include pricing decisions, as well as resourcemanagement. To make its product available at a price affordable to the consumer.Continually processes more efficient and therefore more cost-effective.AcceptabilityMaking coca-cola brand products the beverage choice for any occasions depends on avariety of strategies to reach the target audience. The common strategies adapted toeffect acceptability were though sponsorships, promotion youth market activities,community programs, and other activates. 36
  • DISTRIBUTION IN THE COCA-COLA SYSTEMGetting Products to MarketOne of the values of the coca-cola system is presence that coca-cola should existeverywhere. In the words of former CEO-India operations – Richard Nicholas, “Ourgoal is to have coke available within an arm’s reached of desire”. To fulfill thisgoal, coca-cola not only produces products, but also has an effective system todistribute them all over India.DistributionDistribution sales + delivery + merchandising + local account management.Distribution of Coke’s products includes the activities of sales, delivery merchandizingand local accounts management. These are two major types of distribution systems:-(i) Direct and Indirect In direct distribution, the bottler partner direct control over the activities of sales, delivery, merchandizing and local account management. In indirect distribution, an organization which is not a part of the coca-cola system has control of one or more of the distribution elements (sales, merchandizing and local accounts managements). 37
  • With direct distribution there are two types of sales:-Advanced sales and conventional sales.In conventional sales, all the distribution activities (Sales, Delivery, Merchandizingand Local Accounts Management) are performed by the same persons.In advanced sales, sales and delivery are performed by different people within thecoca-cola system.Difference between a customer and a consumer.• a consumer is some one who drinks coca-cola products.• A customer is a business location which sells or serves coca-cola products to consumers.MerchandizingOne the products are delivered to the customer’s they are promoted at the point-of-purchase to maximize the company’s sales opportunities, merchandizing involveslooking at the presentation of the products through the eyes of the consumers. It is anon-going process that help the company present its products properly to the consumersin the market place for instance, is the display attractive? Are the product neatlyorganized.Presenting the productsCoca-cola presents its products for sale in four different ways. They are as follows:-• Secondary display• Coolers• Vending machines• Post mix / pre mix 38
  • India’s relationship with coca-colaJust after independence, the maharaja of patiala oversaw his coca-cola hoarding fromhis huge, ornate palace, coca-cola export representative frank harrold, was awed by themaharaja’s opulent life style. In 1993 after coca-cola returned to India after a 16 yearabsence (George fernandes threw the company out of the country in 1977 on the pretext that it had refuse to divalge its formula to indian officials), ceo of the coca-colacompany, robes to boirueta “salivated over a virtually untapped market of 840 millionpeople”. 39
  • MAAZA “YAARI-DOSTI TAAZA MAAZA”. WITH THE REAL FRUIT TASTE KIDS LOVE, PLUS ADDED CALCIUM,MAAZA’S TAGLINE, “YAARI-DOSTI TAAZA MAAZA” MEANS “FRIENDSHIP MOMENTS WITH FRESH FIGURE 3 MAAZA” IN HINDI.Maaza was introduced in India in 1984 as a non-carbonated mango fruit drink. It was acquired by The Coca-Cola Company in 1993 and is currently available in three flavors, mango, pineapple and orange, plus added calcium. Maaza manufacturing unit is located in Najibabad which is delivering in all overWestern and East U.P. through that Najibabad manufacturing unit become Maaza is a fifth largest selling brand of Coca-Cola. Maaza has mango fruit test its flavour introducing before Sliece Pepsi Copy its. SPRITE FIGURE 4 40
  • CLEAR, CRISP, REFRESHINGIntroduced in 1960, Sprite is the world’s leading lemon-lime flavored soft drink. Sprite is sold in more than 190 countries and ranks as the No. 4 soft drink worldwide, with a strong appeal to young people. Millions of people enjoy Sprite because of its crisp, clean taste that really quenchesyour thirst. But Sprite also has an honest, straightforward attitude about things that sets it apart from other soft drinks. Sprite encourages you to be true to who you are and to obey your thirst.According to survey for it has found out that Sprite is a lemon-lime flavored soft drink. I asked about Sprite brand then I found out that when not available Limca brand of Retail outlet then customer or consumer demand to Sprite brand through all overregion survey gone on statement Sprite is fourth largest selling brand of Coca-Cola in Ghaziabad. THUMS UP FIGURE 5 STRONG COLA TASTE, EXCITING PERSONALITY 41
  • A THUMP UP IS a leading carbonated soft drink and most trusted brand in India.Originally introduced in 1977, Thumps Up was acquired by The Coca-Cola Company in 1993. Thums up is known for its strong, fizzy taste and confident, mature and uniquely masculine attitude. This brand clearly seeks to separate the men from the boys . Its tag line says it all: “Thumps Up, I Want My Thunder”.Thumps Up is a number one largest selling brand of Coca-Cola in Ghaziabad regionurban area only in Ghaziabad rural and semi-urban areas are second largest sellingbrand after PEPSI because they are aware Thumps Up brand that what has extra entityin Thumps Up. DIET COKE/COCA-COLA LIGHT FIGURE 6 Diet Coke was born in 1982 and quickly became the No. 1 sugar-free drink in diet-conscious America. Known as Diet Coke in the U.S.,Canada, Australia and Great Britain, and as Coca-Cola light in other countries, it’s now the No. 3 soft drink in the world. It’s the drink for people who want no calories, but plenty of taste. Ad campaigns around the world for Diet Coke share a playful, sophisticated and sexy attitude. Visit our Audio/Video Center to witness how the dietCoke North American ad campaign celebrates the real and human attributes that make people alluring in the eyes of others. COCA-COLA 42
  • FIGURE 7Coca-Cola is the most popular and biggest-selling soft drink in history, as well as thebest-known product in the world. Created in Atlanta, Georgia by Dr. John S.Pemberton, Coca-Cola was first offered as a fountain beverage by mixing Coca-Colasyrup with carbonated water. Coca-Cola was registered as a trademark in 1887 and by1895 Coca-Cola was being sold in every state and territory in the United States. In1899, the company began franchised bottling operations in the United States.Today, you can find Coca-Cola in virtually every part of the world. The Coca-ColaCompany has nearly 400 beverages in its portfolio. Today you can find Coca-Cola ineach and every area of Ghaziabad region early because Coca-Cola is a largest numberone brand among all soft drink brand so its known as that thunda matlab Coca-Colathat if I would like drink thunda only Coca-Cola. FANTA FIGURE 8A favorite in Europe since the 1940s, Fanta was acquired by The Coca-Cola Company in 1960. Fanta Orange is the core flavor, representing about 70% of sales, but other citrus and fruit flavors have their own solid fan base. Consumers around the world,particularly teens, fondly associate Fanta with happiness and special times with friends 43
  • and family. This positive imagery is driven by the brand’s fun, playful personality, which goes hand in hand with the bright color (particularly orange), bold fruit taste, and tingly carbonation.Fanta sells best in Brazil, Germany, Spain, Japan, Italy and Argentina. Fantadistribution was increased in the U.S. in 2001 with the return of four flavors: orange,strawberry,pineapple and grape. Orange, the biggest seller, is now available in most ofthe country . DIET COKE FIGURE 9The extension of coca-cola name began in 1982 with the introduction of diet coke (alsocalled coca-cola light in some countries). diet coke quickly became the number oneselling low-calories soft drink. LIMCA FIGURE 10 44
  • this is thirst-quenching beverage features a fresh and light lemon-lime taste andlighthearted attitute. the limca brand was introduced in 1971 and acquired by the coca-cola company in 1993. KINLEY WATER FIGURE 11THIS IS THIRST-QUENCHING BEVERAGE FEATURES FRESH THE FRESHWATER WITH THE SATURATED OXYGEN LEVEL. SUNFILL FIGURE 12 This is thirst-quenching beverage features a fresh and light orange taste and lighthearted attitude. VANILA FIGURE 13 45
  • Tt is an ice cream in taste.launched in 200 MMPO FIGURE 14it is the orage juice flavour. it was launched in 2008. in thiS year it reaches its highest sale. THE MOST PREFERRED BRAND OF COKE LIKE BY CUSTOMER FIGURE 15 During the survey I asked the customer about the brand preference and I found that maximum number of retailers prefer ThumpsupGUIDELINES FOR SUCCESSFUL INTERVIEWING REASON FORHIGH DEMAND FREQUENCY RESPONDENTS PERCENTAGE PRICE 33 35% TEST 20 21% AVAILABILITY 25 26% PACKAGING 06 6% OTHERS 11 12% TABLE 3 46
  • REASON FOR HIGH DEMAND OF COKE 35 30 25 20 15 10 5 0 P rice Test A vailability P ackaging Others FIGURE 16Interviewing is an art and one learns it by experience. However, the following pointsmay be kept in view by an interviewer for eliciting the desired information: (1) Interviewer must plan in advance and should fully know the problem under consideration. He must choose a suitable time and place so that the interviewee may be at ease during the interview period. For this purpose some knowledge of the daily routine of the interviewee is essential. (2) Interviewer’s approach must be friendly and informal. Initially friendly greetings in accordance with the cultural pattern of the interviewee should be exchanged and then the purpose of the interview should be explained. 47
  • (3) All possible effort should be made to establish proper rapport with the interviewee; people are motivated to communicate when the atmosphere is favourable.(4) Interviewer must now that ability to listen with understudying respect and curiosity is the gateway to communication, and hence must act accordingly during the interview. For all this, the interviews must be intelligent and must be a man with self-restraint and self discipline.(5) To the extent possible there should be a free-flowing interview and the questions must be well phrased in order to have full cooperation of the interviewee. But the interviewer must control the course of the interview in accordance with the objective of the study.(6) In case of big enquiries, where the task of collating information is to be accomplished by several interviewers, there should be an interview guide to be observed by all so to ensure reasonable uniformity in respect of all salient points in the study. 48
  • SALESMENConventional Route Salesmen carries ready stocks in vehicles and sells it to retailerson his route. Characteristics of conventional routes: • Salesman visits the outlets without a proper PJP • Has the responsibility of driving which includes following traffic rules , finding place to place to park in congested market places , sell the products And collect cash & glass. • Communicates schemes and handles cash himself which given him the opportunity to manipulates with discounts. • Salesman is un-educated, with his primary qualification being a ‘driving license’. • Very low vehicles capacity utilization. • Company’s span of control till distributor • SKU’s loaded on truck is only an estimate leading to shortage in brand/packs in the market. 49
  • WHAT IS PRE-SELL? Pre-sell A selling technology in which the selling process has two distinct parts: Generating order selling the order and delivering the pre-sold order .It segregates the front-end and back-end process of selling. • Works on a proper beat with a defined PJP. • A pre-seller focuses on taking orders in advance after activating the outlet .Therefore eh has dedicated time for effectively selling schemes and promotions and Carrying out his executing an outlet responsibility. • Back-end activities like invoicing, delivering stocks, collecting cash & glass are carried out by others. • Delivery vehicles are loaded as per the orders, leading to very high capacity utilization & negligible shortage of brand/pack to the retailer. • Company gets control over retailer. • Retailer is sure that he’s getting the complete discount. • Higher Distribution ROI. WHY PRE-SELL? • Improved execution • Reduced manpower through better utilization of MD resources • Increased vehicle utilization (90%+) • Reduced costs • Improved BPPC Control-Focus on profitable packs and right BPPC. 50
  • REQUISITES FOR LAUNCHING PRE-SELL 1. DAS operation is a ‘must’. 2. EDS/outlet list by current route/salesman to be prepared with RED outlets marked. PRINCIPLES 1. Pre-Seller can be a current ‘Route’ salesman or a market developer. 2. All pre-sellers are hired by HCCB & paid through a 3rd party. 3. Pre-seller will be responsible for: • RED outlets = Execution + Volume. • Non RED outlets =Volumes 4. Depending on the town/area/locality, pre-seller will be allocated two/three beats each, with a frequency of 3x/2x per outlet. 5. Will cover 30 outlets in one beat using Beat Planning Format 6. Pre-billed orders leave the depot/distributor go down. 7. Pre-sell to work on specific geography rather than specific outlets. 51
  • IMPLEMENTING PRE-SELL METHODOLOGY RE-Organizing the routes 1. List all outlets. The listing will provide all the necessary information. 2. Identify outlets that should be on Pre-sell beats & form geographical clusters. 3. Convert these clusters into ”Pre-sell beats” , using the beat planning format 4. Prepare walking order Route Plan for Pre-sellers for the beats assigned to him. 5. And Remember to ensure: • One Pre-sell beat should have 30-35 outlets. • Check available time through the beat planning format. ASSIGNING MANPOWER For Pre-sell we need the following: 1. Pre-Seller for generating the order and market execution. • There will be only one cader called “PRE-SSELLER” which is either salesman or MD converted to this role . 2. Drivers (delivery salesman) & helpers for supplying orders. 3. MD’s for executing RED outlets on conventional routes. 4. For DSD one person at depot to take orders from Pre-sellers and billing. 52
  • BUILDING BACK-END SUPPORT 1. DELIEVERY PROCESS • 1 cluster of 3-4 pre-sellers. • Volume & no. of outlets for every cluster will be derived. 2. VEHICLES • Collect and analyses data related to vehicles utilization over a period of 6-8 months after Pre-sell is launched. • Re-align the fleets as per the analysis. TRAINING OF PRE-SELLERS • Training for MD, Pre-sellers must cover how to take order, and suggestive selling after executing the outlet. • Training for salesman Pre-sellers must include how to execute an outlet before taking orders through suggestive selling. • Training will be first organized for MD converted Pre- seller’s. The Salesman converted Pre-sellers will be trained later on.PHASING OUT THE ROUTES/DISTRIBUTORS FOR LAUNCH • Communicating about Pre-sell in the RIGHT. • Do not encourage Pre-sellers to initiate talk about Pre-sell with retailers because they not be able to handle queries well. • STL’s/S.Trainers / ASM’s / ACDM MUST accompany Pre-sellers during the launch. 53
  • • This should be the way forward for at least all important markets / retailers to reduce chances of resistance from the trade. • Plan the phasing as per the number of STL’s / trainers you have.MEASURING PRE-SELLER’S PERFORMANCEPerformance to be measured on following parameters: • RED scores of a pre-sellers, Pre-pre-sell & Post-pre-sell. This needs to be checked to ensure that in course of pursuing volume targets; market execution is not left out which is very important key to our business. • Volume achievements & growths vs. targets. • Productivity. No. of bills cut in a week vs. potential Formula-Actual bills cut per week/ (No. of retailers X3) CAUTION 1. There might be cases where in some retailers return stock due to various reasons :- • Does not have money. • Father gave the order but son present at shop during delivery of stocks. • Estimated the order wrongly now wants to change the stock. But the world of caution is that please don’t move back to conventional route 54
  • 2. Make deliveries through clubbed orders and do not allocate a vehicle for every MD. Even if that is done in the beginning, swap the salesman. 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. MISSIONThe 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 through world wide system of superior brand and services thus increasing the brand equity. 55
  • • To achieve the mission the company seeks the contribution from each of the given areas:- 1. People working in the company. 2. Commitment of the company. 3. Goals & objectives of the company. 4. Environmental polices. 5. Internal control. SWOT ANALYSISSTRENGTH• Company product having a good brand name and trade mark. So that there is no such problem for convenes the user.• Being a franchise company product trade mark. That’s why it’s scope is worldwide.• Coca cola capturing near about 69% market in cold drinks line remaining 31% captured by its main competitor Pepsi. The reason behind that good supply and its all flavor like Thumsup, Limca, Fanta, Maaza and Sprite also asked by the user in Sahibabad Area.• Coca Cola good Brand Image not only in India rather all over the world. That’s why there is no need of Advertisement. 56
  • • Company marketing policy is consumer oriented by doing mentioned M.R.P. and manufactured date.• Company having expert management so that company can provides better goods & service for the ultimate user.WEAKNESS• The main weakness of the company is that company is not in position of provide all flavor’s to the customer daily or at a one time.• Customer is not happy from company marketing policy. He wants company will start special discount program or increase maximum retail price.• Most of the retailer’s problem is that no. company person comes at the shop for listening the problem.• Company top management not declare the scheme before one or two days. That’s why scheme catalogue not prepared by the lower level management. In this way retailers are not satisfy for company policy.• Company management is not doing any thing for retailer. If management is not provide any relief then he will increase M.R.P.OPPORTUNITY• Company can increase his product selling by increasing plant capacity and manufacturing capacity. 57
  • • Being a seasonal selling product provide all the flavor to the customer in hot session very necessary. It is the opportunity for the company.• By providing better goods & services company can increase his market share.• In present now the competitors are very less so that company can compromise its main competitor Pepsi and can take maximum profit.THREAT• Company should do something for customer interest. Providing beneficial scheme and good relation to customer other wise it’s other competitor will develop and they will capture its market.• Cold Drinks selling is very much depend on customer or retailer so that retailer is not happy than sale can be effected in future.• In this time only two or three competitor are existing in the market. In the future the competitor can increase. So that company should prepare some future plan for maintaining it’s market share.• Some domestic competitor can develop in the market. Company should prepare long term future plan for permanently existing in Host Country. 58
  • 59
  • COCA-COLA BEVERAGE PVT. LTDIn the network of the Coca-Cola system, Coca-Cola has either of the two bottlingoperation done for the company. 1. COBO (Company Owned & Operated Bottling Operation). 2. FOBO (Franchise Owned & Operated Bottling Operation).After 1993, when Coca-Cola re-enters India market, done a lot of changes in existingsystem of soft drink market prevailing in India, by acquiring the major brands and thebottling operations from Parle. After this company founded some of its own bottlingoperation in India. In year 1997, company did a major investment of $700 million in India by purchasingother 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 types of operations. Theother type of bottling operation for the company are called Franchise Owned andOperated Bottling Operation, to these, the company has given the right to produce theproduct for the company and to supply with the territory assigned by the company.Company has no ownership or operational right/ control over these. In India Company have 26 COBO and 14 FOBO operations for the production andcontrol of the whole operation in India. These are divided in to various zones that aregiven in the marketing mix section of this report.Hindustan Coca-Cola Beverage Pvt. Ltd. First established plant is Hathras in India,second largest plant is Dasna, and the largest one is in Bangalore. Hathras plant has 3RGB filling lines. The RGB line operating at mechanical efficiency of 90 % .Company doesn’t have the facility for filling Maaza (RGB and Tetra Pack) a Mangoflavour drink of Coca-Cola, pet bottling, water plant. 60
  • CHAPTER 3 61
  • RESEARCH METHODOLOGYTECHNIQUES FOR SALES PROMOTION1) Product availability2) 100% rich3) Good relation4) Warm display5) Cold display6) Proper singer7) Rich at one time8) Fulfill your commitment1) Product availability It means all the flavors of coca cola should be available at one time. By which customer can able to give any flavors to the consumer and can give the satisfaction.2) 100% rich - it means. Company top management always should always worry about the quality of all the brands. If any organization wants to service in the market and wants to better image then quality play a very integral role so for sales promotion quality should by 100% good.3) Good relation – company’s executive, sales man should make good relation from dealer, whole seller and retailer. There is only 20% brand loyal person. Remaining 80% impulse selling is going on. It means in India in cold drinks line which ever brand consumer see first of all that brand will demanded by user. The selling is high that particular brand. So i want to say that if. The executive relations will goods from dealer, whole seller retailer. Then he will arrange coke brands on front of shop by which coke selling will improve. 62
  • 4) Worm display5) Cold display6) Proper shin age - proper shin age also play a key roll in more selling.7) Fulfill our commitment – if executive promise to the customer of any type. Then executive shovel fulfill his promise, such as. Executive say that to the retailer if you will sell 1000 carrot in this month then i will give you a coke fridge. If retailer has sold out 1000 carrot in the a month then executive should fulfill is commitment. By this manner selling will also improve. 63
  • METHOD ADOPTING IN THE RESEARCHPRIMARY METHODAdopted the personnel personal interview method in this method we madea questioner with this questioner we used to go in the market and see thecustomer one by one.First of all we used to give the introduction with smile enthusiastic andwith proper eye contact and demand to give 2 or 3 minute to fulfill hisquestioner and then after we started to put the questioner at the retailer andcompleted the questioner. (i) Questionnaire Method (ii) Personal InterviewSECONDARY METHODThis method is most appropriate method for collecting the data. By this methodresearcher get the actual report 64
  • DATA COLLECTIONData collection took place with the help of filling of questionnaires. The questionnairemethod has come to the more widely used and economical means of data collection.The common factor in all varieties of the questionnaire method is this reliance onverbal responses to questions, written or oral. I found it essential to make sure thequestionnaire was easy to read and understand to all spectrums of people in the sample.It was also important as researcher to respect the samples time and energy hence thequestionnaire was designed in such a way, that its administration would not exceed 4-5minutes. These questionnaires were personally administered.The first hand information was collected by making the people fill the questionnaires.The primary data collected by directly interacting with the people. The respondentswere contacted at shopping malls, markets, places that were near to showrooms of theconsumer durable products etc. The data was collected by interacting with 200respondents who filled the questionnaires and gave me the required necessaryinformation. The respondents consisted of housewives, students, businessmen,professionals etc. the required information was collected by directly interacting withthese respondents. 65
  • THE SAMPLE PLAN AND SAMPLE SIZE TARGET POPULATIONIt is a description of the characteristics of that group of people from whom a course isintended. It attempts to describe them as they are rather than as the describer wouldlike them to be. Also called the audience the audience to be served by our projectincludes key demographic information (i.e.; age, sex etc.).The specific populationintended as beneficiaries of a program. This will be either all or a subset of potentialusers, such as adolescents, women, rural residents, or the residents of a particulargeographic area. Topic areas: Governance, Accountability and Evaluation, OperationsManagement and Leadership. A population to be reached through some action orintervention; may refer to groups with specific demographic or geographiccharacteristics. The group of people you are trying to reach with a particular strategy oractivity. The target population is the population I want to make conclude an idealsituation; the sampling frames to matches the target population. A specific resource setthat is the object or target of investigation. The audience defined in age, background,ability, and preferences, among other things, for which a given course of instruction isintended.I have selected the sample trough Simple random Sampling 66
  • SAMPLE SIZE:This involves figuring out how many samples one need. • The numbers of samples you need are affected by the following factors: • Project goals • How you plan to analyze your data • How variable your data are or are likely to be • How precisely you want to measure change or trend • The number of years over which you want to detect a trend • How many times a year you will sample each point • How much money and manpower you haveSAMPLE SIZEI have targeted 60people in the age group above 15 years for the purpose of theresearch. The target population influences the sample size. The target populationrepresents the Lucknow regions. The people were from different professionalbackgrounds.The details of our sample are explained in chapter named primary research where thedivisions are explained in demographics section. 67
  • TECHNIQUE INVOLVED IN DEFINING PROBLEM1) Observation the problem2) Collect the Problem3) Analyzing the Problem4) Take Solution5) Application the Problem6) Solving the ProblemMARKET SHARE OF COCA COLA IN THE MARKETIn Present situation of Coca Cola is very good in the market. The company have goodmarket share app. 67% and remain 33% market share covered by his close competitorPepsi in this Area.Last years situation was not that. Last years market share of coca cola and pepsi wasapp. Same in the market but in this year company adopted new strategy and providedgood service and provide more and more customer satisfaction company topmanagement have taken a good decision in this year. Decision was that all the flavor’srate should be decreased by which lower level people can be taken the enjoy of cokeand the company provided a new flavor of 200 ml in the birth rupees of 5. This brandhave got good position in middle level and lower level family so by the virtue of good 68
  • strategy company have got good market share app. 67% right now coke position ismuch more strong. Comparison to Pepsi. Coke Pepsi Cola Cola (Pepsi) Coca Cola Thumsup Orange (Fanta) Orange (Mirinda) Fanta Orange Fanta Green Apple Fanta Water Malon Clear lemon Clear Lemon (Sprite) (7UP) Cloudy lemon Cloudy Lemon (Limca) (Lemon Mirinda) 69
  • Fruit Fruit (Maaza) (Slice) MAAZA ORANGE Pulpy orange Pineapple Soda Soda (Lehar Evervess) (Kinley) Kinley Water Kinley Water (Kinley) Aquafina FIGURE 17CHANNEL OF DISTRIBUTION OUT LINE DYGRAM OF DISTRIBUTION CHANNEL OF COCA COLA Company Manufacturing goods Depote Distributor Company Vehicle Retailer Retailer 70
  • Consumer Consumer FIGURE18 71
  • CHAPTER 4 72
  • FINDINGS AND ANALYSIS COMPETITIVE MARKET SHARE BETWEENCola Pepsi = 45% Coke = 35% Thumps up = 20% 20% 45% 35% Pepsi Coke Thumsup FIGURE 19 73
  • 74
  • Orange Fanta = 75% Mirinda = 25% 25% 75% Fanta Mirinda FIGURE 20Cloudy Lemon Limca = 80% Lemon Miranda = 20% 75
  • 20% 80% Limca Lemon Mirinda FIGURE 21Clear Lemon Sprit = 75% 7UP = 25% 25% 75% Sprit 7UP FIGURE 22Mango 76
  • Maaza = 80% Slice = 20%20% 80% Maaza Slice FIGURE 23 77
  • Soda Kinley = 50% Lehar Evervess = 50% 50% 50% Kinley Lehar Evervess FIGURE 24Can Coke = 40% Pepsi = 60% 78
  • 40% 660% Coke Pepsi FIGURE 25 79
  • PET Coke = 60% Pepsi = 40% 40% 6 60% Coke Pepsi FIGURE 26 80
  • Kinley Water Kinley = 80% Aquafina = 20% 20% 6 80% Kinley Aquafina FIGURE 27 81
  • Total Product Coke = 63% Pepsi = 37% 37% 6 63% Coke Pepsi FIGURE 28 82
  • RECOMMENDATIONS• Company should prepare future plan for maintain selling in market. Because company competitor can increase and can capture the market.• Company should provide special benefit to the retailer. Other wise his interest will go down from cold drinks.• Present time competition is not high in this line because it’s competitor is only Pepsi. So that company can do compromise with Pepsi and both can increase product’s M.R.P.• Company should appointed a special representative for listening retailer’s problem and solve them. He can also find out some shortcomings of salesman & others.• In case of cold drinks selling mostly depend on retailer. So that his satisfaction needed.• Test of all flavor like, Coke, Thumps, Limca, Fanta, Maaza and Sprite should also good.• Defected goods should be returnable or changeable.• Good execution is a main factor in more selling good execution improves selling. 83
  • • Sales executive & salesman relation and good behavior also provide effective guidelines in increasing selling.• For more selling company person should fulfill his commitment.• In Cold Drinks line brand loyalty found only 20%. So that which will be visible that will salable. 84
  • QUESTIONNAIRE QuestionnaireNAME OF THE SHOP……………………………………………………….ADDRESS………………………………………………………………………TEL. NO. ………………………………………………………….Q1)Which brand do you sell? PEPSI COCA COLA BOTHQ2)How many brands are available in your shop in the RGB and PET Bottles? (A) In RGB COCA COLA THUMS UP SPRITE LIMCA FANTA MAAZA(B)In PETCOCA COLA THUMS UP SPRITE LIMCA FANTA MAAZA MMPO NIMBO FRESHQ3) Which company Visi Cooler are you having? PEPSI COCA COLA BOTH 85
  • Q4)Whether the purity of the refrigerator is maintained or not? YES NOQ5)Which brand is preferred by the customers?PEPSI BRANDS COCA COLA BRANDSQ6)Are you satisfied with the distribution network? YES NOQ7)Are you aware of the various schemes run by the coca cola? YES NOQ8) Which company advertisement and sales promotion activities are better?PEPSI COCA COLAQ9)Your daily sales? 1-2 CASE 3-5 CASES6-10 CASES More than 10 CASESQ10)Do you think promotional activities can increase sales? YES NOQ11) According to you a company should improve upon? Distribution Service Sales Promotion SchemesQ12)How would you rate Coca Cola? Excellent Very Good Average Bad Very Bad 86
  • COMPLAINTS OR SUGGESTIONS…………………. Thank you very much for your kind cooperation!!!!!!!BIBLIOGRAPHY  Internet site • www.cocacola.com • www.pepsico.com  Record of N.M. Soft drinks, Sat Nirnkari Colony, Delhi  Record of luminous marketing.  News items of English dailies, published from New Delhi. • The Times of India • The Telegraph • The Economic Times  Advertisement on coke products.  Advertisement on Pepsi product.  Consulted Libraries • American Library • British Library  Consulted Books • Research for marketing Decision by P. Green, D.S. Tull, G. Albaum • Marketing Management -Phillip Kotler. 87
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