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  • 1. Project Report on PEPSI COLA Vs COCA COLA Comparative Analysis And Research –Pepsi cola Vs Coca cola Summer Internship Report
  • 2. ACKNOWLEDGEMENT Well to say this is my project would be totally untrue. At best this was my dream. There are people in this world, some of them so wonderful, that made this dream become a project. I would like to thank all of them, and in particular: Especially, MR.Arvind Rathore Franchise manager - who trained us about products and services of PEPSICO and taught us how to deal with customer, All the TDM , CE and Sachin,Umer, Deepti ( Coordinator) – whose off time discussions with me always encouraged and motivated me for the project, he was the one who helped me in understanding the market in a better and easier way. MRS. Suman Suhag (internal faculty guide) and MRS. Sweta seth (Program director)teacher cum mentor, they helped me right from the beginning to the end of my project in every aspect, Mr Shelesh and MRS. Taruna, Placement cell – After all without their support I would have never got a chance to do my project in my dream topic. My friends and colleagues Wasim ,Prashant, Sandeep , Laleet, Pawan,Vinod,Vikas and others that surround me, love me and make life fun to reduce stress and tiredness. 2
  • 3. And lastly, it is only when one writes and realizes the true power of MS word 2007, from grammar checks to replace-alls. It is simple. And the power of Windows XP the OS where MS Office is …. Thank you Mr. Bill Gates and Microsoft Corp!DECLARATION I Ravindra meghani declare that this project report entitled comparative analysis of market share Pepsi cola verses coca cola is an original piece of work done and submitted by me towards partial fulfillment of my post graduate programme in MBA, under the guidance of Mr. Arvind Rathorer (FM) Pepsi food private limited. DATE: SIGNATURE: 3
  • 4. PREFACE Marketing plays vital role in today’s business scenario in consumer product Company, when there is such a high competition in the market. The emphasis in the project is providing the study and an insight into Indian FMCG Business Scenario. The Summer Project is designed to provide participation of MBA program as on the job experience. This has given a chance to try and apply the academic knowledge and gain insight into corporate culture. This helps in 4
  • 5. developing decision-making abilities and emphasizes on active participation by the student. We gained valuable experience & knowledge during the survey. The Project consists of our findings after data analysis & then conclusions were drawn and finally recommendations were put forward.TAbLE OF ThE CONTENT Certificate…………………………………………………………..……..…………..2 Acknowledgement……..……………….………………………..…..……………3 Declaration……………..……………… ………………………..….……….……4 Preface……………………………………………………………………………..5 Table of the content………………………………………………………………6 Executive Summary………………… ..………………………………………….7 1.Introduction… ……………………....................................................................8 1.1. History of PEPSICO and COCA-COLA……………………….………………….....9 1.2. Product of PEPSICO and COCA-COLA..……..………………………………….…15 1.3. PEPSICO and COCA-COLA IN INDIA………………………………….…...….….11 2. 2. Objective of study………………………………………………………………………………19 3. 3.Compare sales and distribution…………….……………………………………………21 3.1. Channel type.…………………………………………………………..………………..…22 3.2. Distribution service….…………………………………………….……..……………23 3.3. Distribution of visi…………………........................................................................24 3.4. Product……………………………………………………………………………………….25 3.5. Market share………..……………………………………………………………………..26 3.6. Feedback and Remark…………………………………………………………………27 5
  • 6. 4. Methodology and Analysis of Data …………………………………………………...31 4.1. Research Methodology……………………………………………………………….. 4.2. Data collection Primary and Secondary………………………………………… 4.3. Using of data……………………………………………………………………………….. 4.4. Statistical tools……………………………………………………………………………. 4.5. SWOT analysis…………………………………………………………………..…………32 4.6. Area wise analysis…………………….………………………………………………...35 4.7. Company analysis……………………………………………………………………….36 5. Recommendation and suggestions 6. Limitations Bibliography AnnexureEXECUTIVE SUMMARY PepsiCo is the worlds premier consumer products company focused on convenience food and beverages. We seek to produce healthy financial reward to investors as we provide opportunities for growth and enrichment to our employee PepsiCo India and its partners have invested more than U.S. $1 billion since the company was established in the country. PepsiCo provides direct and indirect employment to 150,000 people including suppliers and distributors The group has built an expansive beverage and foods business. To support its operations, PepsiCo has 43 bottling plants in India, of which 15 are company owned and 28 are franchisee owned. PepsiCo’s business is based on its sustainability vision of making tomorrow better than today. PepsiCo’s commitment to living by this vision every day is visible in its contribution to the country, consumers and farmers. To deliver on this commitment, PepsiCo India will build on the incredibly strong foundation of achievement and scale up its initiatives while focusing on the 6
  • 7. following 4 critical areas that have a business link and where we believe that wecan have the most impact.Coca-Cola is carbonated soft drinks sold in stores, restaurants and vendingmachines internationally. The Coca-Cola Company claims that the beverage issold in more than 200 countries. The company produces concentrate, which isthen sold to licensed Coca-Cola bottlers throughout the world. The bottlers, whohold territorially exclusive contracts with the company, produce finishedproduct in cans and bottles from the concentrate in combination with filteredwater and sweeteners. The bottlers then sell, distribute and merchandise Coca-Cola to retail stores and vending machines 7
  • 8. INTRODUCTIONhISTORY OF ‘PEPSICO’ Pepsi is a soft drinks produced and manufactured by PepsiCo. It is sold in many places such as retail stores, restaurants, schools, cinemas and from vending machine. The drink was first made in the 1880s by pharmacist Calab Bradham in New Bern, North Carolina. The brand was trademarked on June 16, 1903. There have been many Pepsi variants produced over the years since 1898. It was first introduced in North Carolina in 1898 by Caleb Bradham who made it at his pharmacy which sold the drink which was known back then as "Brads Drink", and was later named Pepsi Cola possibly due the digestive enzyme pepsin and kola nuts used in the recipe. Bradham sought to create a fountain drink that was delicious and would aid in digestion and boost energy. 8
  • 9. In 1903, Bradham moved the bottling of Pepsi-Cola from his drugstore into arented warehouse. That year, Bradham sold 7,968 gallons of syrup. The nextyear, Pepsi was sold in six-ounce bottles, and sales increased to 19,848 gallons. In1926, Pepsi received its first logo redesign since the original design of 1905.In 1931, the Pepsi-Cola Company went bankrupt during the Great Depression -in large part due to financial losses incurred by speculating on wildly fluctuatingsugar prices as a result of World War-I. Assets were sold and Roy C. Megargelbought the Pepsi trademark.[3] Eight years later, the company went bankruptagain. Pepsis assets were then purchased by Charles Guth, the President of LoftInc. Loft was a candy manufacturer with retail stores that contained sodafountains. He sought to replace Coca-Cola at his stores fountains after Cokerefused to give him a discount on syrup. Guth then had Lofts chemistsreformulate the Pepsi-Cola syrup formula.During the Great Depression, Pepsi gained popularity following the introductionin 1936 of a 12-ounce bottle. Initially priced at 10 cents, sales were slow, but whenthe price was slashed to five cents, sales increased substantially. With a radioadvertising campaign featuring the jingle "Pepsi cola hits the spot / Twelve fullounces, thats a lot / Twice as much for a nickel, too / Pepsi-Cola is the drink foryou," arranged in such a way that the jingle never ends.Pepsis success under Guth came while the Loft Candy business was faltering.Since he had initially used Lofts finances and facilities to establish the new Pepsisuccess, the near-bankrupt Loft Company sued Guth for possession of the Pepsi-Cola company.PEPSICO IN INDIA PepsiCo entered India in 1989 and has grown to become one of the country’sleading food and beverage companies. One of the largest multinational investorsin the country, PepsiCo has established a business which aims to serve the longterm dynamic needs of consumers in India.PepsiCo India and its partners have invested more than U.S.$1 billion since thecompany was established in the country. PepsiCo provides direct and indirectemployment to 150,000 people including suppliers and distributors.PepsiCo nourishes consumers with a range of products from treats to healthyeats, that deliver joy as well as nutrition and always, good taste. PepsiCo India’sexpansive portfolio includes iconic refreshment beverages Pepsi, 7 UP, Mirinda 9
  • 10. and Mountain Dew, in addition to low calorie options such as Diet Pepsi,hydrating and nutritional beverages such as Aquafina drinking water, isotonicsports drinks - Gatorade, Tropicana100% fruit juices, and juice based drinks –Tropicana Nectars, Tropicana Twister and Slice.PepsiCo’s foods company, Frito-Lay, is the leader in the branded salty snackmarket and all Frito Lay products are free of trans-fat and MSG. It manufacturesLay’s Potato Chips, Cheetos extruded snacks, Uncle Chipps and traditionalsnacks under the Kurkure and Lehar brands. The company’s high fibre breakfastcereal, Quaker Oats, and low fat and roasted snack options enhance the healthfulchoices available to consumers. Frito Lay’s core products, Lay’s, Kurkure, UncleChipps and Cheetos are cooked in Rice Bran Oil to significantly reduce saturatedfats and all of its products contain voluntary nutritional labeling on their packets.The group has built an expansive beverage and foods business. To support itsoperations, PepsiCo has 43 bottling plants in India, of which 15 are companyowned and 28 are franchisee owned. In addition to this, PepsiCo’s Frito Layfoods division has 3 state-of-the-art plants. PepsiCo’s business is based on itssustainability vision of making tomorrow better than today. PepsiCo’scommitment to living by this vision every day is visible in its contribution to thecountry, consumers and farmers.FINDINGS ON ThE bASIS OF hISTORY:  The ad campaign has been Indianised with a lot money being spent on advertising. Brand has been kept alive by effective promotional schemes.  Coca Cola in the initial years of it’s incorporation had spent a lot of money on advertising. Coke is the longest surviving sponsored of The Olympics. To reach at this position advertising and effective event marketing have played a major role for Coca Cola.  "To be the worlds premier consumer Products Company focused on convenience foods and beverages. We seek to produce healthy financial rewards to investors as we provide opportunities for growth and enrichment to our employees, our business partners and the communities in which we operate. And in everything we do, we strive for honesty, fairness and integrity." 10
  • 11.  PepsiCo is a world leader in convenience foods and beverages, with 2007 revenues of more than $39 billion and more than 185,000 employees across the world. Its world renowned brands are available in nearly 200 countries and territories. PepsiCo entered India in 1989 and has grown to become the country’s largest selling food and beverage companies. One of the largest multinational investors in the country, PepsiCo has established a business which aims to serve the long term dynamic needs of consumers in India. PepsiCo India and its partners have invested more than U.S.$700 million since the company was established in the country in 1989. In India, PepsiCo provides direct employment to 4,000 people and indirect employment to 60,000 people including suppliers and distributors. PepsiCo India’s expansive portfolio includes iconic refreshment beverages Pepsi, 7 UP, Mirinda and Mountain Dew, in addition to low calorie options– Diet Pepsi and 7Up Light; hydrating and nutritional beverages such as Aquafina drinking water, isotonic sports drinks - Gatorade, and 100% natural fruit juices and juice based drinks – Tropicana, Tropicana Twister and Slice. Our local brands – Lehar Everess Soda, Dukes Lemonade and Mangola complete our diverse spectrum of brands. PEPSIS SLICE LAUNChES AAMSUTRA PepsiCo’s popular mango juice drinks brand - Slice - kicked off the 2009 season with its new Aamsutra concept. According to Homi Battiwalla, business head – juice and juice drinks, PepsiCo India, Slice had seen powerful consumer momentum post relaunch of 2008. "South Indiais the leading market for mango drinks in the country. Andhra Pradesh is the biggest mango market and also the fastest growing market for Slice and other mango drinks in the country. Tamil Nadu is among the top three states and Slice is the market-leader in Tamil Nadu," he added. Pepsi has now opted for a new brand ambassador, Katrina Kaif. "The 11
  • 12. creative thought behind the new communication was to further enhance the Slice experience into dimensions of pleasure, sensuality and indulgence. Last years commercial was about enumerating the principles of Aamsutra - the art of experiencing pure mango pleasure - with the new Slice. This year, the commercial portrays the next level to bring alive the mango indulgence," stated Hari Krishnan, vice president, JWT - the agency responsible for Slices campaign. The company has now opted for a 360o multimedia campaigns involving digital, print, radio, impact outdoors and sampling in core markets.  PepsiCo’s snack food company, Frito-Lay, is the leader in the branded.  The group has built an expansive beverage, snack food and exports business and to support the operations are the group’s 38 bottling plants in India, of which 15 are company owned and 22 are franchisee owned. In addition to this, PepsiCo’s Frito Lay snack division has 3 state of the art plants. PepsiCo’s business is based on its sustainability vision of making tomorrow better than today. Our commitment to living by this vision every day is visible in our contribution to our country, consumers, farmers and our people  Performance with Purpose articulates PepsiCo Indias belief that its businesses are intrinsically connected to the communities and world that surrounds it. Performance with Purpose means delivering superior financial performance at the same time as we improve the world.  To deliver on this commitment, PepsiCo India will build on the incredibly strong foundation of achievement and scale up its initiatives while focusing on the  following 4 critical areas that have a business link and where we believe that we can have the most impact.hISTORY OF ‘COCA-COLA’ The first Coca-Cola recipe was invented in a drugstore in Columbus, Geogia by John Pemnerton, originally as a coca wine called Pemnerton’s frensh Wine Cola in 1885. He may have been inspired by the formidable success of Vin Mariani, a European coca wine. 12
  • 13. In 1886, when Atlanta and Fulton Country passed prohibition legislation,Pemberton responded by developing Coca-Cola, essentially a non-alcoholicversion of French Wine Cola. The first sales were at Jacobs Pharmacy in Atlanta,Georgia, on May 8, 1886. It was initially sold as a patent medicine for five cents aglass at soda fountains, which were popular in the United state at the time due tothe belief that carbonated water was good for the health. Pemberton claimedCoca-Cola cured many diseases, including morphine addiction, dyspepsia,neurasthenia, headache, and importance. Pemberton ran the first advertisementfor the beverage on May 29 of the same year in the Atlanta Journal.By 1888, three versions of Coca-Cola—sold by three separate businesses—wereon the market. As a Griggs Candler acquired a stake in Pembertons company in1887 and incorporated it as the Coca-Cola in 1888. The same year, while sufferingfrom an ongoing addiction to morphine], Pemberton sold the rights a secondtime to four more businessmen: J.C.Mayfield, A.O. Murphy, C.O. Mullahy andE.H. Blood worth. Meanwhile, Pembertons alcoholic [] son Charley Pemnertonbegan selling his own version of the products.John Pemberton declared that the name "Coca-Cola" belonged to Charley, but theother two manufacturers could continue to use the formula. So, in the summer of1888, Candler sold his beverage under the names Yum Yum and Coke. Afterboth failed to catch on, Candler set out to establish a legal claim to Coca-Cola inlate 1888, in order to force his two competitors out of the business. Candlerpurchased exclusive right to the formula from John Pemberton, Margaret Dozierand Woolflk Walker. However, in 1914, Dozier came forward to claim hersignature on the bill of sale had been forged, and subsequent analysis hasindicated John Pembertons signature was most likely a forgery as well.In 1892 Candler incorporated a second company, The Coca-Cola Company (thecurrent corporation), and in 1910 Candler had the earliest records of thecompany burned, further obscuring its legal origins. By the time of its 50thanniversary, the drink had reached the status of a national icon for the USA. In1935, it was certified Kosher by Rabbi Tobias Geffen, after the company mademinor changes in the sourcing of some ingredients.Coca-Cola was sold in bottles for the first time on March 12, 1894. The firstoutdoor wall advertisement was painted in the same year as well in Cartesville,Georgia. Cans of Coke first appeared in 1955. The first bottling of Coca-Colaoccurred in Vicksburg, Mississippi, at the Biedenharn Candy Company in 1891.Its proprietor was Joseph A. Biedenharn. The original bottles were Biedenharnbottles, very different from the much later hobble-skirt design that is now sofamiliar. Asa Candler was tentative about bottling the drink, but twoentrepreneurs from Chattanooga, Tennessee, Benjamin F. Thomas and Joseph B. 13
  • 14. Whitehead, proposed the idea and were so persuasive that Candler signed acontract giving them control of the procedure for only one dollar. Candler nevercollected his dollar, but in 1899 Chattanooga became the site of the first Coca-Cola bottling company. The loosely termed contract proved to be problematic forthe company for decades to come. Legal matters were not helped by the decisionof the bottlers to subcontract to other companies, effectively becoming parentbottlers.Coke concentrate, or Coke syrup, was and is sold separately at pharmacies insmall quantities, as an over-the-counter remedy for nausea or mildly upsetstomach.NEW COKEOn April 23, 1985, Coca-Cola, amid much publicity, attempted to change theformula of the drink with "New Coke". Follow-up taste tests revealed that mostconsumers preferred the taste of New Coke to both Coke and Pepsi, but Coca-Cola management was unprepared for the publics nostalgia for the old drink,leading to a backlash. The company gave in to protests and returned to the oldformula under the name Coca-Cola Classic on July 10, 1985.21st centuryOn February 7, 2005, the Coca-Cola Company announced that in the secondquarter of 2005 they planned to launch a Diet Coke product sweetened with theartificial sweetener sucralose ("Splenda"), the same sweetener currently used inPepsi One. On March 21, 2005, it announced another diet product, "Coca-ColaZero", sweetened partly with a blend of aspartame and acesulfame potassium.Recently Coca-Cola has begun to sell a new "healthy soda": Diet Coke withvitamins B6, B12, Magnesium, Niacin, and Zinc, marketed as "Diet Coke Plus."On July 5, 2005, it was revealed that Coca-Cola would resume operations in Iraqfor the first time since the Arab League boycotted the company in 1968.In April 2007, in Canada, the name "Coca-Cola Classic" was changed back to"Coca-Cola." The word "Classic" was truncated because "New Coke" was nolonger in production, eliminating the need to differentiate between the two. Theformula remained unchanged.In January 2009, Coca-Cola stopped printing the word "Classic" on the labels of16-ounce bottles sold in parts of the southeastern United State. The change is partof a larger strategy to rejuvenate the products image. 14
  • 15. PRODUCT’S PROFILE Product Category: Carbonated Soft Drinks Brand Name: PEPSI-COLA AND COCA-COLA Type: Bottle and Cans Size: 200ml, 300ml, 500ml, 1ltr, 2ltr Information: Ingredients Information Nutrition Information Ingredients Information: carbonated water, high fructose corn syrup, caramel color, sugar, phosphoric acid, caffeine, citric acid, natural flavorsPRODUCT PRODUCT OF PEPSCO PRODUCT OF COCA-COLA 1. PEPSI 1. COKE 2. MIRINDA 2. THUMS- UP 3. MIRINDA LEMON 3. SPRITE 4. MOUNTAIN DEW 4. LIMCA 5. NIMBOOZ 5. FENTA 6. SLICE 6. MAZZA 7. 7 UP 7. KINLEY 8. AQUAFINA 15
  • 16. DELHI MARKET PepsiCo is a soft drink produced and manufactured by PepsiCo. It is sold in many places such as retail stores, restaurants, schools, cinemas and from vending machines. PepsiCo is working with one head quarter and three territories. PepsiCo is working with more than one lake people those are joint directly and indirectly with the company. There are 56 distributors and 33 root agents always connect with the company and joint each and every corner of Delhi with the company. Every year more than ten lake people take the test of PepsiCo. hIERARChY OF PEPSI AND COKE General Manager (GM) Franchisee Manager (FM) Territory Development Manager (TDM) Area Development Manager (ADM) Customer Executive (CE) 16
  • 17. MARKET OF PEPSI Delhi is a metro city and it is the capital of India. In Delhi there are more than one lake soft drink outlets. PepsiCo cover all the outlets through their distribution channel for supply.. In PepsiCo all the management work done by Gurgoan office and all the Delhi is divide into three major area jai drinks private limited(JDPL) , Pearl drinks limited(PDL) and Trasent Yamuna (TY) for the distribution of PepsiCo. PEPSICO IN DELHI JAI DRINKS PRIVATE PEARL DRINKS TRASENT LIMITED LIMITED YAMUNA DISTRIBUTOR OF THE DIRECT SUPPLY OR AREA ROOT AGENT 17
  • 18. MARKET OF COCA-COLA Delhi is a metro city and it is the capital of India. In Delhi there are more than one lake soft drink outlets. Coca-Cola cover all the outlets through their distribution channel for supply.. In Coca-Cola all the management work done by Gurgoan office and all the Delhi is divide into three major area Hindustan drinks private limited(HDPL) , City drinks limited(CDL) and Varun drinks private Ltd. (VDPL) for the distribution of Cola-Cola COCA-COLA IN DELHIHINDUSTAN DRINKS CITY DRINKS VARUN DRINKS PRIVATE LIMITED LIMITED LIMITED DISTRIBUTOR OF THE DIRECT SUPPLY OR AREA ROOT AGENT 18
  • 19. 19
  • 20. OBJECTIVE OFTHE STUDY 20
  • 21. ObJECTIVE OF ThE STUDY The main objective of the study of PepsiCo and Coca-Cola is to find the market share , identification gap between sales and distribution, satisfaction level of customer, services provided by the company , span of control through hierarchy level, distribution channel, how company covered the market, stock supply by the company, increasing market share, sustain and maintain quality, product and services. Statement of research objectives start when problems are identified. There are some problems being identified such as brand awareness, quality awareness, factors influence the choice of customer, brand advertisements and more. PEPSICO COCA-COLA Type Cola Manufacturer PepsiCo. Country of origin United States Introduced 1898 (as Brads Drink) June 16, 1903 (as Pepsi- Cola) 1961 (as Pepsi) Related products Coca-Cola RC-Cola City-Cola Webside http://pepsi.com 21
  • 22. Coca-Cola Type ColaManufacture The Coca-Cola Company rCountry of United States originRelated PepsiCoproducts RC-Cola City-ColaWebside http:cocacola.cpm 22
  • 23. Comparison Between Sales and distributionCOMPARE SALES AND DISTRIbUTION 23
  • 24. AREA COVERED Tugalakabad EXT (JDPL)- 416 Ram Nagar (TY) 112 Naveen Shahadra(TY) 144 Najafgarh (PDL) 707ChANNEL TYPEIn the channel type we find which type of shop is there like grocery shop,eatery shop, convenienceGrocery 450Eatery 86Convenience 785 24
  • 25. DISTRIbUTION SERVICESIn the distribution services we find, the shop keeper how get the PepsiCoand coke. Like direct supply by the company, by the wholesaler, by thedistributor, by the presale order. 1. Direct service-476 2. Distributor-214 3. Presale-786 4. Wholesaler-557 25
  • 26. DISTRIbUTION OF VISI (FREEzE) 1. Visi of Pepsi 2. Visi of coke 3. Own freeze 26
  • 27. DEMAND OF PRODUCT OF PEPSI In the PepsiCo, There are eight product in the Brewage industry in Delhi. Like Pepsi, Mirinda, 7up, Mirinda Lemon, Mountain Dew, Nimbooz, Slice, Aquafina 27
  • 28. DEMAND OF PRODUCT OF COCA-COLA In the Coca-Cola, There are seven product is going on in the market in the brewage industry. Like coke, Thumps-up, Sprite, Limca, Maaza, Fenta, kinley Water. 28
  • 29. OVERALL MARKET ShARE OF PEPSI AND COKE Overall market share of PepsiCo and Coca-Cola in Delhi. PEPSICO 57% COCA-COLA 43% 29
  • 30. LEVEL OF SATISFACTION I have survey of more than 1500 outlets in Delhi. I found that level of satisfaction of customer and need of customer. Which services they wants , which product they like, which schemes they preferred , those who are not interested in Pepsico and or coca cola, pepsi monopoly market and coke monopoly market, whose who are ready to sell the soft drinks but they do not get it, those who are satisfied customer etc. 30
  • 31. PEPSI COKE 31
  • 32. MARKET SHARE 57% 43%SATISFIED 42% 58%SERVICE PROBLEM 35% 65%SCHEME PROBLEM 38% 62%VISI PROBLEM 58% 42%SUPPLY PROBEM 71% 29%MONOPOLY MARKET 55% 45%DEMAND OF PRODUCT 59% 41%PRODUCT QUALITY 45% 55%WHOLESALER MARKET 80% 20% 32
  • 33. Methodology And Analysis 33
  • 34. METhODOLOGY AND ANALYSIS OF DATA REASEARCh METhODOLOGY Research methodology is a way to systematically solve the research problems. It may be understood as a science of studying how research is done scientifically. We study the various steps that are generally adopted by a researcher in studying his research problem along with the logic behind them. It is necessary for the researcher to know not only need to know how to develop certain indices or tests, how to calculate the mean, the mode, the median, standard deviation and chi – square, how to apply the particular research techniques, are relevant and which are not and what would they mean and indicate and why? Researchers also need to understand the assumptions underlying various techniques and they need to know the criteria by which they can decide that certain techniques and procedures will be applicable to certain problems and others will not. What type of research design was used? Exploratory Research Design Why was this type of design used? Exploratory research is a type of research conducted because a problem has not been clearly defined. Exploratory research helps determine the best research design, data collection method and selection of subjects. Given its fundamental nature, exploratory research often concludes that a perceived problem does not actually exist. Exploratory research often relies on secondary research such as reviewing available literature and/or data, or qualitative approaches such as informal discussions with consumers, employees, management or competitors, and more formal approaches through in-depth interviews, focus groups, projective methods, case studies or pilot studies. The Internet allows for research methods that are more interactive in nature: E.g., RSS feeds efficiently supply researchers with up-to-date information; major search engine search results may be sent by email to researchers by services such as Google Alerts; comprehensive search results are tracked over lengthy periods of time by services such as Google Trends; and Web sites may be created to attract worldwide feedback on any subject. The results of exploratory research are not usually useful for decision-making by themselves, but they can provide significant insight into a given situation. Although the results of qualitative research can give some indication as to the 34
  • 35. "why", "how" and "when" something occurs, it cannot tell us "how often" or "howmany."Exploratory research is not typically generalizable to the population atlarge.What data collection methods were used?Primary DataSecondary DataSurveyPrimary Data Collection Methods:In primary data collection, you collect the data yourself using methods such asinterviews and questionnaires. The key point here is that the data you collect isunique to you and your research and, until you publish, no one else has accessto it.There are many methods of collecting primary data and the main methodsinclude:QuestionnairesInterviewsFocus group interviewsSecondary Data Collection Methods:All methods of data collection can supply quantitative data (numbers, statistics orfinancial) or qualitative data (usually words or text). Quantitative data may oftenbe presented in tabular or graphical form. Secondary data is data that hasalready been collected by someone else for a different purpose to yours.Survey:surveys are used to collect quantitative information about items in a population.Surveys of human populations and institutions are common in political pollingand government, health, social science and marketing research. A survey may 35
  • 36. focus on opinions or factual information depending on its purpose, and manysurveys involve administering questions to individuals. When the questions areadministered by a researcher, the survey is called a structured interview or aresearcher-administered survey. When the questions are administered by therespondent, the survey is referred to as a questionnaire or a self-administeredsurvey.What Data Collection Devices were Used?In primary data: Questionnaire (Mixed) Close ended Personal InterviewIn Secondary Data: Search Engines Wikipedia & Encyclopedia Google WWW.pepsiindia.com WWW.cokeindia.com I am using primary data for data processing and analysis. I have surveyedin many areas of Delhi. Like Tugalakabad extension, Najafgarh, Shahadra forfinding market share of PepsiCo and coca-cola, supply system, hierarchy level,span of control, maintain quality and quantity, market demand, feedback etc. I am using some statistical tool and techniques for data processing andanalyzing like mean, correlation, regression, time series, index number ,sampling and sampling distribution, estimation, hypothesis testing and othertesting etc, on collected primary data and market share of PepsiCo and Coca-Cola. 36
  • 37. Market share of PEPSICO AND COCA-COLAYEAR MARKET SHARE OF MARKET SHARE OF PCI CCI2000 43% 57%2001 47% 53%2002 44% 46%2003 42% 58%2004 48% 52%2005 51% 49%2006 58% 42%2007 55% 45%2008 57% 43%2009 58% 42%Total market share of pepsico 503Total market share of Coca-Cola 497Mean value of pci =sum of PepsiCo/ number of year =sum of PepsiCo= 503 =number of year 10 =503/10 =50.3Mean value of cci = sum of coke/ number of year = num of coke=497 = number of yar=10 =497/10 =49.7 37
  • 38. CORRELATION COEFFICIENT Year Production of Market share Production of Market share Pepsico(in of pepsico Coca-cola(in of cr.) cr.) Coca –cola 2000 100 43% 115 57% 2001 102 47% 112 53% 2002 104 44% 113 46% 2003 107 42% 111 58% 2004 105 48% 112 52% 2005 112 51% 112 49% 2006 103 58% 119 42% 2007 99 55% 126 45% 2008 96 57% 123 43% 2009 95 58% 121 42%SWOT ANALYSIS OF PEPSICO 38
  • 39. STRENGHT WEAKNESS  BIG BRAND NAME IN INDIA  SUPPLY IS WEAK IN TY AREA  OUTSTANDING REPOTATION  NO ONE IS RESPONSIBLE FOR SCHEMES  BRODER PRODUCT LINE  COMMUNICATION GAP BETWEEN  SPAN OF CONTROL HIERARCHY DISTRIBUTOR AND RETAILOR  GOOD SCHEMES  LEAKAGE PROBLEM  INCREASING MARKET SHARE  DISTRIBUTOR DOES NOT WORK  60% MARKET COVERED IN PROPERLY IN SEASON INDIA  STOCK SHORTAGE PROBLEM IN  STRONG DISTRIBUTION OF SEASON CHANNEL  SUPPLY OF NIMBOOZ IS  GOOD ADVERTISENT  ADVERTISEMENT  BIG MARKET SHARE GAP B/W PEPSI AND COKE IN INTERNATIONAL MARKET 39
  • 40. SWOT ANALYSIS OF PEPSICOOPPORTUNITY THREAT  NIMBOOZ IS A GOOD OPTION  COMPETITOR (COCA-COLA, RC, FOR LIMCA CITY)  OFFICIAL SPONCERSHIP FOR  LIMCA COMMON WEALTH GAMES AND  WHOLESALER ICC WORLD CUP-2011, OLYMPIC  CONSISTENT IN TEST GAMES-2011  CHANGE DEMAND  EXPEND THE MARKET IN TY AREA  ATTRACTIVE SCHEMES  NUMBER OF RETAIL COMPANIES ARE COMING IN INDIA LIKE WOLL-MART  INCREASE NUMBER OF DISTRIBUTORS  INCREASE NUMBER OF VISI AND CREAT PEPSI MONOPOLY MARKET 40
  • 41. SWOT ANALYSIS OF COCA-COLASTRENGTH WEAKNESS  BIG BRAND NAME IN INDIA AND  SUPPLY IS WEAK IN HDL AREA ABROAD  SCHEMES IS A BIG ISSUE  OUTSTANDING REPOTATION  COMMUNICATION GAP BETWEEN  BRODER PRODUCT LINE DISTRIBUTOR AND RETAILOR  SPAN OF CONTROL HIERARCHY  PURIFICATION PROBLEM  GOOD SCHEMES  DISTRIBUTOR DOES NOT WORK PROPERLY IN SEASON  INCREASING MARKET SHARE  STOCK SHORTAGE PROBLEM IN  45% MARKET COVERED IN SEASON INDIA AND 60% MARKET IN ABORAD  SUPPLY OF LIMCA IS  STRONG DISTRIBUTION OF  ADVERTISEMENT CHANNEL  BIG MARKET SHARE GAP B/W  GOOD ADVERTISEment PEPSI AND COKE IN INTERNATIONAL MARKET 41
  • 42. SWOT ANALYSIS OF COCA-COLAOPPORTUNITY THREAT  LIMCA IS A GOOD OPTION FOR  COMPETITOR (PEPSICO, RC, PEPSI CITY)  OFFICIAL SPONCERSHIP FOR  NIMBOOZ COMMON WEALTH GAMES AND  WHOLESALER ICC WORLD CUP-2011, OLYMPIC  CONSISTENT IN TEST GAMES-2011  CHANGE DEMAND  EXPEND THE MARKET IN ALL AREA  ATTRACTIVE SCHEMES  NUMBER OF RETAIL COMPANIES ARE COMING IN INDIA LIKE WOLL-MART  INCREASE NUMBER OF DISTRIBUTORS  INCREASE NUMBER OF VISI AND CREAT COKE MONOPOLY MARKET 42
  • 43. Area wiseAnalysis 43
  • 44. ANALYSIS OF TUGALAKAbAD EXT.  GOOD MARKET SHARE OF PEPSI  OVERALL MARKET SHARE OF PEPSI IS 63%  ALL THE MARKET CAPTURED BY WHOLESALER  WHOLESALSER CHANGE LOW PRICES AS COMPARE TO DISTRIBUTOR THAT’S WHY DEMAND IS HIGH OF PEPSI  DISTRIBUTOR AND CE PROBLEM IN PEPSI AND COKE  13 VISI OF PEPSI AND 7 VISI OF COKE IN 300 OUTLETS  NO SUPPLY BY DISTRIBUTOR PEPSI AND COKE  DUPLICACY OF PEPSI  LARGE MARKET AND DEMAND IS HIGH  SUPPLY IS THE MAJOR PROBLEM  SCHEME ISSUE  REPOTATION IS NOT GOOD  ROOT AGENT IS NOT WOKING PROPERLY  IT MAY BE A GOOD OPPORTUNITY FOR BOTH PEPSI AS WELL AS COKE  83% SHOPKEEPERS IS NOT SATISFIED WITH SERVICE OF BOTH PRODUCT  65% SHOPKEEPERS IS FACING SCHEMES PROBLEM  DEMAND IS HIGH OF PEPSI , MIRINDA AND LIMCA.  EXPIRY STORE IS AVAILABLE IN THIS MARKET OF PEPSI  DIFFERENT TEST IN SAME PRODUCT  CONSISTENCY PROBLEM 44
  • 45.  DEMAND IS HIGH OF NIMBOOZ BUT THERE IS NO SUPPLYANALYSIS OF NAJAFGARh  GOOD MARKET IN MY SERVEY FOR PEPSI  OVERALL MARKET SHARE 68% OF PEPSI AND 32% OF COKE  80% RETAILOR IS SATISFIED FROM PEPSI  12% RETAILOR IS SATISFIED FROM COKE  11% PEPSI MONOLOPY AND 2% COKE MONOPOLY MARKET  ALL THE MARKET IS COVERED BY DISTRIBUTOR IN PEPSI AND COKE  DEMAND IS HIGH FOR THE PEPSI, MIRINDA AND LIMCA  21% AVAILABILITY IF VISI OF PEPSI AND 9% AVAILABILITY OF VISI OF COKE IN THE MARKET  GOOD RELATIOAN BETWEEN CE DISTRIBUTOR AND RETAILOR IN PEPSI BUT NOT IN COKE  REQUIRED ADVERTISEMENT  SCHEMES ISSUE  SERVICE IS MAJOR PROBLEM WITH COKE  DISTRIBUTOR AND CE IS NOT WORKING PROPERLY IN COKE  GOOD REPOTATAON OF PEPSI IN THIS MARKET  SUPPLY IS TOO GOOD IN PEPSI  DEMAND FOR NIMBOOZ AND LIMCA IS HIGH BUT SUPPLY IS NOT THERE PROPERLY  IT IS A VERY LARGE MARKET ,THERE ARE MORE THAN 1000 SHOPS, 45
  • 46. ANALYSIS OF ROhATASh NAGAR,RAM NAGAR, JAGATPURI  GOOD MARKET CONDITION, DEMAND IS ALWAYS THERE BUT SUPPLY IS NOT ACCORDING TO DEMAND IN BOTH PEPSI AND COKE.  BED CONDITION IN THE MARKET FOR PEPSI AND GOOD CONDITION FOR COKE  OVERALL MARKET SHARE 72% FOR COKE AND 28% PEPSI  50% COKE MONOPOLY MARKET AND 8% PEPSI MONOPOLY  MAJOR COMMUNICATION GAP DISTRIBUTOR AND RETAILOR  87% RETAILOR FACED THE PROBLEM WITH SUPPLY IN PEPSI AND 34% IN COKE  8% AVAILABILITY OF VISI IN PEPSI AND 21% IN COKE  SCHEMES PROBLEM  SUPPLY AND STOCK PROBLEM IN PEPSI  85% MARKET IS COVERD BY THE WHOLESALER IN PEPSI AND COKE AND 52% MARKET IS COVERED BY THE DISTRIBUTOR IN COKE  LECKAGE PROBLEM IN PEPSI  MARKET IS NOT VISITED BY THE CE AND DISTRIBUTOR IN PEPSI  GOOD REPOTATION IN THE MARKET FOR COKE 46
  • 47.  45% SHOPKEEPER IS SATISFIED WITH COKE AND 12% SATISFIED WITH PEPSI Suggestions And Recommendations 47
  • 48. SUGGESTIONS AND RECOMMENDATIONS CONCLUSION  After surveying the 150 respondents If we compare the data Pepsi has an edge over coke. Pepsi has less market share due to its sweeter taste than other beverages brand and most of the people are in favor of strong taste.  General stores sell more soft drink rather than other stores.  300 ml is a more consumable size by the consumer compare to other sizes.  People really are more health conscious still they believe soft drinks contains pesticides.  Elders in family prefer less strong drinks like mazza, slice and fruity.  Soft drinks become trends among friends.  The advertisement of pepsi is good which influence the purchasing behavior of consumers.  T.V. has more impact to get update people about the pepsi and brands. 48
  • 49. RECOMMENDATIONS  PEPSI, the choice of youth is not providing the first choice of young generation. Youth want something strong in cold drinks & thus prefers strong taste. Pepsi should come out with some extra strong taste to catch up maximum young generation & to become exactly Generation Next drink.  The distribution Channel should be focused on General Stores because most of the people purchase soft drinks from general stores.  The company should update the people about pesticides time to time because most of the people still afraid of pesticides.  Most of the elders in the family take soft drinks but not pepsi they considered more orange and less strong taste company should come up with new taste keeping elders in its mind to increase sale and market share.  People are confused about the role of Pepsi in health company should clear the soft drink role whether it is beneficial for health or not.  Pepsi co should improved its advertisement quality, it should be realistic not imaginary.  People get updated by T.V. Pepsi co should increase the updating by publicity as well as by Hoardings  Consistency ( Pepsi blue, nimbooz, coke diet )  Increase number of distributors 49
  • 50.  Interchange staff in the market  Emotional advertisement  Number of visi  Services of visi  Demand effectiveness improper  Retailer depend on supplier  Create monopoly market with the help of visi  Schemes attract to retailer (my can)  Participation in Olympic games, common  Wealth games, ICC world cupLIMITATIONS  Findings are based on the views expressed by the consumers. So it may suffer from biased prejudices.  Weather conditions were not favorable.  Some of the respondents were not co-operative & many seem to be having no interest.  The study has not been intended on a very large scale, have the possibility of errors, which cannot be ruled out.  Time limitations.  Area was specified.  I had lack of knowledge about the product of the local market.  The sample size was very short for this kind of marketing survey  Money Limitation was over there. 50
  • 51. bIbLIOGRAPhY WEBSITES: www.pepsi.com www.pepsicoindia,com www.cocacola.com www.cocacolaindia.com www.wikipedia.com www.encyclopedia.com BOOKS: Research Methodology- C.R.Kothari Marketing Research- B. S. Bedi Principles of Marketing- P. Kotler & Armstrong 51
  • 52. Annexure 52
  • 53. PEPSI FOOD PVT. LTD. SURVEY REPORTNAME : ………………………………………..OUTLET POSITION = ……………………………………….TEL NO. :………………………………………PIN NO. :……………………………….CHANNEL TYPE: GROCERY , CONVENIENCE , EATERYPCI SERVICE – DIRECT , PRESALE , DISTRIBUTOR , WHOLESELLECCX SERVICE – DIRECT , PRESALE , DISTRIBUTOR , WHOLESELLEVISI PCI- 200 , 220 , 300 , 320 , OTHER …………………VISI CCX- 200 , 220 , 300 , 320 , OTHER …………………PCI SERVICE VEHICLE = RIKSHA , TEMPO , 407 , CANTORCCX SERVICE VEHICLE = RIKSHA , TEMPO , 407 , CANTORPCI WEEKLY SERVICE= ……………..CCX WEEKLY SERVICE= ……………..DEALER BOARD PCI = YES , NODEALER BOARD CCX = YES , NODISCOUNT PCI =………………..DISCOUNT CCX =………………..PRODUCT PE MIR 7 UP M. MIRIND NIM SLICE SODA AQUA PSI INDA DEW LEMON BOOZ FINACOLD ST.WARM STPRO COKE THUMPS SPRITE LIMCA FANTA MAZA KIN. KIN.DUCT UP SIDA WTRCOLDWARMAVG MONTHLY VOL OF PCI = ……………………….. 53
  • 54. AVG MONTHLY VOL OF CCX = ………………………..MARKET SHARE OF PCI =……………………….MARKET SHARE OF CCX =……………………….REMARK= SATISFIED , CLOSED PAR. , NOT FOUND , SCHEMEISSUE SERVICE ISSUE , READY TO BUYREMARK 2:-…………………………………………………………………………… 54