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SUMMER INTERNSHIP PROJECT REPORT
ON
“MARKET DEVELOPMENT and
Distribution system”
Of
COCA COLA
IN
KATHUA (J&K)
NAME- AkashAndotra
CLASS- BBA Part-III
ROLL NO.- 584
2
SUBMITTED TO- Mrs. Shivali Sharma
Acknowledgement
No project work is carried out in vacuum. Project work is never the work of an
individual. Many persons contributed to the development of my project report.
Everyone was with their ideas, suggestions & contributions that really helped me
in making an easy, clear, limpid and systematic project report. First of all I express
my regards to my family who are always there to support and encourage me.
They provided a congenial atmosphere for my work. I could not have
accomplished all that was expected without that special patience and
understanding that only a family can give. At Government Degree College
Kathua, I want to thank all the faculty of Management Department, who are
always there to support and encourage the students. A heartfelt thank is
extended to Mrs. Sheffali Sharma for having guided me in my project. Last
but not the least; I want to thank Sales executives, all the Market Developers,
distributors and retailers who had helped me in covering the project.
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INDEX
S. NO TOPIC PAGE NO
1. COMPANY PROFILE 05
2. 2.1 COMPANY INTRODUCTON 07
2.2 BRAND PORTFOLIO 09
2.3AROUND THE WORLD 11
2.4COCA COLA IN J&K 12
3 PRODUCTS OF THE COMPANY 16
4 RESEARCH OBJECTIVE 21
5 RESEARCH METHODOLOGY 23
6 DATA ANALYSIS& FINDINGS 25
7 SWOT ANALYSIS 36
8 LIMITATION 43
9 RECOMMENDATION 45
10 CONCLUSION 46
11 BIBLIOGRAPHY 47
12 ANNEXURE 48
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INTRODUCTION
COMPANY PROFILE
Coca-Cola was formulated in 1886 by Dr. John Pemberton, a Pharmacist in Atlanta, Georgia.
The drink was sold ad refreshing elixir at the fountain counter of Jacob's Pharmacy of which Dr.
John Pemberton was part owner, unaware that the pharmacist had given birth to caramel colored
syrup which is now the chief ingredient of the world favorite drink. Today the white-on-red flow
of Coca-Cola is familiar sight in more than 195 countries. The syrup combines with the
carbonate water to fuel a $ 16.2 billion corporation that has captured a 46% Slice of the global
soft drinks market. The company estimates that the drink is served more than 773 million times
every day and if all Coke ever produced were filed in standard bottles and placed end to end it
would wrap around the equator 21, 161 times.
The story of Coca-Cola is a story of a drink and its charm with the consumer. The of ecstasy and
again that the drink has caused to those dedicated to its growth Pemberton first managed to sell
and average of 9 drinks per day, though a shop called Jacob's pharmacy, in 1891, Candler bought
Coca-cola company with four companies he formed the coca-cola company with the initial stock
of $100,000. Coca-Cola was registered at the US patent office in 1893, and began selling at soda
fountains for 5 cents a glass of therapeutic refreshment 1894, I got into bottles, courtesy a candy
merchant Joseph Boedenharn of Mississippi.
Five years later; the drink was being bottled on a regular basis under a region wise franchising
system; and its first competitor Pepsi cola, Coca-Cola's first bottling plant opened in
Chattanooga, Tennessee followed by another in Atlanta in 1900. The unique taste of cola was an
outstanding success. Over the next two decade the number of plants crossed 1000. In a bit to
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difference the product, the company adopted 6.5 ounce, pale green counter bottle designed by the
root glass company of Terri Haute, Indiana. Today it is an intrinsic part of the brand.
The company broadened its horizons when Robert Woodruff the son of a banker who acquired to
Company for $25 million in 1919, assumed charge in 1923. He began by upgrading bottling
operations, brought in innovations like a six-bottle carry home carton, and gear up advertising
support. It was under Wood Ruff that the brand. Known affectionately as coke by now associated
itself with sportive events. By the early 1940's the brand was selling as the "real thing" to set
itself apart from "me to" cola's.
As a time went by the company brought out some new aerated drinks. The first one "Fanta"
appeared in the selves in 1960.
Its birth was an accident; the company's German name is an attempt to produce Coca-Cola
without some key ingredients, turned out into an orange flavored drink instead. Its strategists
who feared the dependence on just one put a cap on growth welcomed it. While Fanta was being
rolled out the company bought minute made corps. This in 1967 was combined with Duncan
foods to pave way for the Coca-Cola foods. Several beverages followed the most notable being
'sprite', a lemon drink developed in the late 1950 and formally launched in 1961.
Coca-Cola had diversified the company into businesses and it even had a steam generator and
boiler making division. Robert C Goizueta, Cuban born 27 years veteran took over as the Coca-
Cola unlike Pepsi Company depended on a single brand. The best insurance policy that he
figured was to let coke evolve to the summer slacking it with variants, even reinventing if
needed. In 1982, the company launched what is now considered among the world’s most
successful brand extensions 'Diet Coke', under the leadership of Sergio Zyman, the head of us
marketing.
The idea was to retain the loyalty for the health conscious drinker who loved the taste but hated
the calories. After this it came out with caffeine free versions of its main drinks. yet in the US the
company kept losing ground to Pepsi. zyman, a former Pepsi marketer argued that the correct
strategy was to replace 98 year old with better tasting cola, label it as "New Coke" and blare the
news which is exactly what the company did more a decode age in 1985. But when placed on the
shelves it did not budge. On wide spread protest it was recalled after 79 days.
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The company has about 100 brands in its portfolio but coke, Fanta and Sprite account for most
of its sales. In 1994, the real thing's coke sold over 52.5 billion liters. For the taste of it diet coke
along with Coca-Cola light sold 8.5 billion liters, which makes it the world's two top non cola
drinks sold over 6.5 billion liters each. Which sprite aimed at the independent youngster two
does not care what as others drink (the as line "obey you're a thrust"). In 1993, Coca-Cola
reentered India after a 16 years ling exile, four years Pepsi made its debut India. While Coke
plays on brand nostalgia. Pepsi address the young crowd, which unlike in America is a dominate
ort if the population here.
The Coca-Cola Company is the world's number one maker of soft drinks, selling 1.3 billion
beverage servings every day. Coca-Cola's red and white trademark is probably the best-known
brand symbol in the world. Headquartered since its founding in Atlanta, Coca-Cola makes four
of the top five soft drinks in the world, Coca-Cola at number one and Diet Coke, Fanta, and
Sprite at numbers three through five. The company also operates one of the world's most
pervasive distribution systems, offering its nearly 400 beverage products in more than 200
countries worldwide. Nearly 70 percent of sales are generated outside North America, with
revenues breaking down as follows: North America, 30 percent; Europe, Eurasia, and the Middle
East, 31 percent; Asia, 24 percent; Latin America (including Mexico), 10 percent; and Africa, 4
percent. Among the company's products are a variety of carbonated beverages (including the
aforementioned brands and many others, such as Fresca, Barq's, and Cherry and Vanilla Coke);
sports drinks (POWERade and Aquarius); juices and juice drinks (Minute Maid, Fruitopia, Hi-C,
Five Alive, Qoo, Maaza, and Bibo); teas (Sokenbicha and Marocha); coffees (Georgia); and
bottled waters (Ciel, Dasani, and Bonaqua). Moreover, the company holds the rights to the
Schweppes, Canada Dry, Dr Pepper, and Crush brands outside of North America, Europe, and
Australia. Coca-Cola's development into one of the most powerful and admired firms in the
world has been credited to proficiency in four basic areas: consumer marketing, infrastructure
(production and distribution), product packaging, and customer (or vendor) marketing.
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Creationof a Brand Legend
The inventor of Coca-Cola, Dr. John Styth Pemberton, came to Atlanta from Columbus, Georgia,
in 1869. In 1885 he set up a chemical laboratory in Atlanta and went into the patent medicine
business. Pemberton invented such products as Indian Queen hair dye, Gingerine, and Triplex
liver pills. In 1886 he concocted a mixture of sugar, water, and extracts of the coca leaf and the
kola nut. He added caffeine to the resulting syrup so that it could be marketed as a headache
remedy. Through his research Pemberton arrived at the conclusion that this medication was
capable of relieving indigestion and exhaustion in addition to being refreshing and exhilarating.
The pharmacist and his business partners could not decide whether to market the mixture as a
medicine or to extol its flavor for its own sake, so they did both. In Coca-Cola: An Illustrated
History, Pat Watters cited a Coca-Cola label from 1887 which stated that the drink, "makes not
only a delicious ... and invigorating beverage ... but a valuable Brain Tonic and a cure for all
nervous affections." The label also claimed that "the peculiar flavor of Coca-Cola delights every
palate; it is dispensed from the soda fountain in the same manner as any fruit syrup." The first
newspaper advertisement for Coca-Cola appeared exactly three weeks after the first batch of
syrup was produced, and the famous trademark, white Spenserian script on a red background,
made its debut at about the same time.
Coca-Cola was not, however, immediately successful. During the product's first year in
existence, Pemberton and his partners spent around $74 in advertising their unique beverage and
made only $50 in sales. The combined pressures of poor business and ill health led Pemberton to
sell two-thirds of his business in early 1888. By 1891, a successful druggist named Asa G.
Candler owned the entire enterprise. It had cost him $2,300. Dr. Pemberton, who died three years
earlier, was never to know the enormous success his invention would have in the coming
century.
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Candler, a religious man with excellent business sense, infused the enterprise with his
personality. Candler became a notable philanthropist, associating the name of Coca-Cola with
social awareness in the process. He was also an integral part of Atlanta both as a citizen and as a
leader. Candler endowed Emory University and its Wesley Memorial Hospital with more than $8
million. Indeed, the university could not have come into existence without his aid. In 1907 he
prevented a real estate panic in Atlanta by purchasing $1 million worth of homes and reselling
them to people of moderate income at affordable prices. During World War I, Candler helped to
avert a cotton crisis by using his growing wealth to stabilize the market. After he stepped down
as the president of Coca-Cola, he became the mayor of Atlanta and introduced such reforms as
motorizing the fire department and augmenting the water system with his private funds.
1891-1919:Rapid Growth Under the Candlers
Under Candler's leadership, which spanned a 26-year period, the Coca-Cola Company grew
quickly. Between 1888 and 1907, the factory and offices of the business were moved to eight
different buildings in order to keep up with the company's growth and expansion. As head of the
company, Candler was most concerned with the quality and promotion of his product. He was
particularly concerned with production of the syrup, which was boiled in kettles over a furnace
and stirred by hand with large wooden paddles. He improved Pemberton's formula with the help
of a chemist, a pharmacist, and a prescriptionist. In 1901, responding to complaints about the
presence of minute amounts of cocaine in the Coca-Cola syrup, Candler devised the means to
remove all traces of the substance. By 1905, the syrup was completely free of cocaine.
In 1892, the newly incorporated Coca-Cola Company allocated $11,401 for advertising its drink.
Advertising materials included signs, free sample tickets, and premiums such as ornate soda
fountain urns, clocks, and stained-glass lampshades, all with the words "Coca-Cola" engraved
upon them. These early advertising strategies initiated the most extensive promotional campaign
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for one product in history. Salesmen traveled the entire country selling the company's syrup, and
by 1895 Coca-Cola was being sold and consumed in every state in the nation. Soon it was
available in some Canadian cities and in Honolulu, and plans were underway for its introduction
into Mexico. By the time Asa Candler left the company in 1916, Coke had also been sold in
Cuba, Jamaica, Germany, Bermuda, Puerto Rico, the Philippines, France, and England.
An event that had an enormous impact on the future and very nature of the company was the
1899 agreement made between Candler and two young lawyers that allowed them to bottle and
sell Coca-Cola throughout the United States: the first bottling franchise had been established.
Five years later, in 1904, the one-millionth gallon of Coca-Cola syrup had been sold. In 1916 the
now universally recognized, uniquely contour-shaped Coke bottle was invented. The
management of all company advertising was assigned to the D'Arcy Advertising Agency, and the
advertising budget had ballooned to $1 million by 1911. During this time, all claims for the
medicinal properties of Coca-Cola were quietly dropped from its advertisements.
World War I and the ensuing sugar rationing measures slowed the growth of the company, but
the pressure of coal rations led Candler's son, Charles Howard, to invent a process whereby the
sugar and water could be mixed without using heat. This process saved the cost of fuel, relieved
the company of the need for a boiler, and saved a great amount of time since there was no need
for the syrup to go through a cooling period. The company continued to use this method of
mixing into the 1990s.
Although Candler was fond of his company, he became disillusioned with it in 1916 and retired.
One of the reasons for this decision was the new tax laws which, in Candler's words, did not
allow for "the accumulation of surplus in excess of the amount necessary for profitable and safe
conduct of our particular business." (It has also been suggested that Candler refused to
implement the modernization of company facilities.)
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1919-55:The Woodruff Era
Robert Winship Woodruff became president of the company in 1923 at the age of 33. His father,
Ernest Woodruff, along with an investor group, had purchased it from the Candler family in
1919 for $25 million, and the company went public in the same year at $40 a share. After leaving
college before graduation, Woodruff held various jobs, eventually becoming the Atlanta branch
manager and then the vice-president of an Atlanta motor company, before becoming the
president of Coca-Cola.
Having entered the company at a time when its affairs were quite tumultuous, Woodruff worked
rapidly to improve Coca-Cola's financial condition. In addition to low sales figures in 1922, he
had to face the problem of animosity toward the company on the part of the bottlers as a result of
an imprudent sugar purchase that management had made. This raised the price of the syrup and
angered the bottlers. Woodruff was aided in particular by two men, Harrison Jones and Harold
Hirsch, who were adept at maintaining good relations between the company and its bottling
franchises.
Woodruff set to work improving the sales department; he emphasized quality control, and began
advertising and promotional campaigns that were far more sophisticated than those of the past.
He established a research department that became a pioneering market research agency. He also
worked hard to provide his customers with the latest in technological developments that would
facilitate their selling Coca-Cola to the public, and he labored to increase efficiency at every step
of the production process so as to raise the percentage of profit from every sale of Coca-Cola
syrup.
Through the 1920s and 1930s such developments as the six-pack carton of Coke, which
encouraged shoppers to purchase the drink for home consumption, coin-operated vending
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machines in the workplace, and the cooler designed by John Stanton expanded the domestic
market considerably. Also, by the end of 1930, as a result of the company's quality control
efforts, Coca-Cola tasted exactly the same everywhere.
Considered slightly eccentric, Woodruff was a fair employer and an admired philanthropist. In
1937, he donated $50,000 to Emory University for a cancer diagnosis and treatment center, and
over the years gave more than $100 million to the clinic. He donated $8 million for the
construction of the Atlanta Memorial Arts Center. Under his leadership the Coca-Cola Company
pioneered such company benefits as group life insurance and group accident and health policies,
and in 1948 introduced a retirement program.
Woodruff was to see the Coca-Cola Company through an era marked by important and varied
events. Even during the Great Depression the company did not suffer thanks to Woodruff's cost-
cutting measures. When Prohibition was repealed, Coca-Cola continued to experience rising
sales. It was World War II, however, that catapulted Coca-Cola into the world market and made
it one of the country's first multinational companies.
Woodruff and Archie Lee of the D'Arcy Advertising Agency worked to equate Coca-Cola with
the American way of life. Advertisements had, in Candler's era, been targeted at the wealthy
population. In Woodruff's time the advertising was aimed at all Americans. By early 1950,
African Americans were featured in advertisements, and by the mid-1950s there was an increase
in advertising targeted at other minority groups. Advertising never reflected the problems of the
world, only the good and happy life. Radio advertising began in 1927, and through the years
Coca-Cola sponsored many musical programs. During World War II, Woodruff announced that
every man in uniform would be able to get a bottle of Coke for five cents no matter what the cost
to the company. This was an extremely successful marketing maneuver and provided Coke with
good publicity. In 1943, at the request of General Eisenhower, Coca-Cola plants were set up near
the fighting fronts in North Africa and eventually throughout Europe in order to help increase the
morale of U.S. soldiers. Thus, Coca-Cola was introduced to the world.
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About THE COCA-COLA COMPANY
Coke is it -- it being the #1 nonalcoholic beverage company, as well as one of the world's most
recognizable brands. The Coca-Cola Company is home to 20 billion-dollar-brands, including
four of the top five soft drinks: Coca-Cola, Diet Coke, Fanta, and Sprite. Other top brands
include Minute Maid, Powerade, and vitaminwater. All told, the company owns or licenses and
markets more than 500 beverage brands, mainly sparkling drinks but also waters, juice drinks,
energy and sports drinks, and ready-to-drink teas and coffees. With the world's largest beverage
distribution system, The Coca-Cola Company reaches thirsty consumers in more than 200
countries.
Operations
Coke manages seven main operating segments (most of them geographically-based), including:
Eurasia and Africa; Europe; Latin America; North America; Asia Pacific; Bottling Investments;
and Corporate. The North America operating segment generates the majority of its revenue from
the sale of finished beverages, while the other geographic regions get most of their business from
the manufacture and sale of beverage concentrates and syrups.
The Bottling Investments division focuses on the beverage company's owned bottling operations
outside of North America. This segment helps to maximize the efficiency of its production,
distribution, and marketing efforts. They include a 29% stake in Mexico's bottler Coca-Cola
FEMSA (now the largest independent Coke bottler), 23% of European bottler Coca-Cola
Hellenic Bottling, and 29% of Coca-Cola Amatil, a bottler and distributor of Coke products in
Australia, New Zealand, and surrounding countries. Other major independent bottling partners
include Arca Continental, New Coca-Cola Enterprises, and wire Beverages.
Geographic Reach
The world's largest beverage company rings up more than 55% of its sales outside the US, in
some 200 countries worldwide across Eurasia, Africa, Europe, North America, and the Pacific
Region. Important international markets include Asia, Latin America, and Europe, which make
up 30% of revenue, combined.
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Sales and Marketing
Not only is Coca-Cola one of the world's most recognizable and valuable brands, but The Coca-
Cola Company supports the largest beverage distribution system in the world, made up of
company-owned or controlled bottling and distribution operations, as well as independently
owned bottling partners, distributors, wholesalers, and retailers. Beverages bearing trademarks
owned by or licensed to them account for 1.9 billion of the approximately 57 billion beverage
servings of all types consumed worldwide every day.
In 2014, about 81% of the company's worldwide unit case volume was outside of the US. The
largest unit case volumes were in Mexico, China, Brazil, and Japan, which made up 31% of
worldwide total. Of these international unit case volumes, 74% held sparkling beverages while
the rest held still beverages.
To keep its brand foremost in the mind of consumers, the company spent $3.5 billion on
advertising in 2014, up from roughly $3.26 billion in 2013 and 2012.
FinancialPerformance
Sales fell for a second straight year in 2014, with revenue dipping by 2% to $46 billion. The
Coca-Cola Company's revenues declined by due to the unfavorable impact of its geographic mix
as it sold more lower-margin products in emerging and developing markets and fewer higher-
margin products in developed markets. Europe, which increased sales by 4%, was the only
geographic region that enjoyed growth.
The company's net income dropped by 17% to $7.1 billion, mostly from a combination of lower
revenue and the unfavorable impact of foreign currency fluctuations that decreased consolidated
net operating income by 6%.
Despite lower earnings, cash from operations inched up by 1% to $10.62 billion, mostly because
in 2013 it had used more cash toward irregular, incremental pension contributions.
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Strategy
The popularity of soft drinks, especially in mature markets, has been on the decline since about
2005 as negative publicity about obesity and other health risks continues to threaten sales. As a
result, The Coca-Cola Company and other top soft drink makers are turning toward other parts of
their noncarbonated product portfolio for growth, such as fruit juices, sports and energy drinks,
and bottled water and tea beverages.
A part of the plan to rely less on the old way of doing business, and compensate for falling sales
amidst changing tastes, the company is selling many of its low-margin bottling operations to
concentrate on higher margin operations like selling concentrates and syrups to bottlers.
The Coca-Cola Company is also looking to relatively undeveloped markets with a growing
middle class and money to spend on soft drinks and juices. To that end, it announced it will
invest $5 billion with its bottling partners in Africa by 2020, raising its investment in the region
to $17 billion from 2010 to 2020. Coke plans to build new manufacturing capacity, develop
sustainability initiatives and create jobs.
In a move that supports expanding its fruit-based drinks portfolio and investing in Africa, in late
2014 The Coca-Cola Company announced a partnership with alcoholic beverage company
SABMiller and South Africa's Gutsche Family Investments to create Coca-Cola Beverages
Africa, the continent's largest bottler. The new company will serve about a dozen high-growth
markets, where disposable incomes and the population are growing, and handle about 40% of the
beverage company's African volume. In exchange for its $260 million investment, The Coca-
Cola Company will receive an 11% interest in the bottler and SABMiller's global Appletiser
brand of carbonated juices as well as about 20 other African and Latin American non-alcoholic
beverage brands. Gutsche Family Investments already controls Coca-Cola Sabco, a Coke bottler
since 1940 with operations in seven African countries. Coca-Cola Beverages Africa will absorb
most of SABMiller's non-alcoholic operations on the continent as well as Coca-Cola Sabco's
plants.
Also in 2014, the company teamed up with Keurig Green Mountain, entering into a 10-year
global strategic agreement to collaborate on the development and introduction of The Coca-Cola
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Company global brand portfolio for use in Keurig Green Mountain's Keurig Kold at-home
beverage system. It purchased a 16% stake in Monster Beverage Corporation in a long-term
strategy to accelerate growth for both companies in the fast-growing, global energy drink
industry.
In 2013 Coca-Cola opened a new bottling plant in Myanmar as part of a planned $200 million
investment during the next five years there which also includes adding more than 22,000 jobs
during that time period.
Mergers and Acquisitions
Diversifying its portfolio, in 2014 the company acquired a 16.7% equity stake in Monster
Beverage Corp., a leading maker of energy drinks. Under the terms of the deal, The Coca-Cola
Company will transfer ownership of its worldwide energy business, including NOS, Full
Throttle, Burn, Mother, Play and Power Play, and Relentless, to Monster; and Monster will
transfer its non-energy business, including Hansen's Natural Sodas, Peace Tea, Hubert's
Lemonade and Hansen's Juice Products, to The Coca-Cola Company.
In 2013 it bought ZICO Beverages, a maker of ZICO Pure Premium Coconut Water.
Growing its distribution network, in 2013 The Coca-Cola Company bought Sacramento Coca-
Cola Bottling Company, the sixth-largest independent Coca-Cola bottler in the nation that serves
nine northern California counties.
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Brand Portfolio
Name Launched Discontinued Notes Picture
Coca-Cola 1886 The original version of Coca-Cola.
Caffeine-Free
Coco-Cola
1983
The caffeine free version of Coca-
Cola.
Coca-Cola
Cherry
1985
Was available in Canada starting in
1996. Called "Cherry Coca-Cola
(Cherry Coke)" in North America
until 2006. Zero-calorievariant
(Coca-Cola Cherry Zero) also
currently available.
New
Coke/"Coca-
Cola II"
1985 2002
Still available in Yap and American
Samoa
Coca Cola
With Lemon
2001 2005
Still available in:
American Samoa, Austria,
Belgium, Brazil, China, Denmark,
Federation of Bosnia and
Herzegovina, Finland, France,
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Germany, Hong Kong, Iceland,
Korea, Luxembourg, Macau,
Malaysia, Mongolia, Netherlands,
Norway, Réunion, Singapore,
Spain, Switzerland, Taiwan,
Tunisia, United Kingdom, United
States, and West Bank-Gaza
Coca Cola
Vanilla
2002 2005
Still available in:
Austria, Australia, China,
Germany, Hong Kong, New
Zealand (600ml only) Malaysia,
Sweden (Imported) and Russia.
Was called "Vanilla Coca-Cola
(Vanilla Coke)" during initial U.S.
availability.
2007
Itwas reintroduced in June 2007
by popular demand
Coca-Cola
C2
2003 2007
Was only available in Japan,
Canada, and the United States.
Coca-Cola
With Lime
2005
Available in Belgium, Netherlands,
Singapore, Canada, the United
Kingdom, and the United States.
Coca-Cola
Raspberry
June
2005
End of 2005 Was only available in New Zealand.
Coca Cola
Zero
2005
Coca-Cola
M5
2005 Only available in Federation of
Bosnia and Herzegovina, Germany,
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Italy, Spain, Mexico and Brazil.
Coca-Cola
Black Cherry
Vanilla
2006
Middle of
2007
Was replaced by Vanilla Coke in
June 2007
Coca-Cola
Black
2006
Beginning of
2008
Only available in the United States,
France, Canada, Czech Republic,
Slovak Republic, Federation of
Bosnia and Herzegovina, Bulgaria
and Lithuania
Coca-Cola
Citra
2006
Only available in Federation of
Bosnia and Herzegovina, New
Zealand and Japan.
Coca-Cola
Light Sango
2006
Only available in Franceand
Belgium.
Coca-Cola
Orange
2007
Only available in the United
Kingdomand Gibraltar
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AROUND THE WORLD
Although Coca-Cola was first created in the UnitedState it quickly became popular wherever it
went. Our first International bottling plants opened in 1906 in Canada, Cuba and Panama soon
followed by many more .Today we produce more than 300 brands in 200 courtiers more than
70% of our income come from outside the U.S, but the real reason we are truly global company
is that our product meet the varied taste preferences of consumer everywhere.
COMPANYPARTNERS
The Coca-Cola Company works with a wide variety of organization to support health, fitness and
good nutrition.
The Coalition for Healthy and Active America (CHAA) CHAA was formed in 2003 by
concerned organization and national leader to educate parents, children, schools and
communities about the critical roles physical activity and nutrition education play in reversing
the alarming trends of childhood obesity. As a nonprofit National grassroots coalition, CHAA is
a various advocate for developing health and active lifestyle for America’s youth. CHAA is
committed to working with schools to rededicate time for physical fitness giving parents the
freedom to their children make their own nutritional choice, building school business model
relationship that benefit our families by support healthy and active lifestyle and finding solution
to the childhood obesity that are both responsible and realistic American Council for fitness and
nutrition.
The American Council for Fitness and Nutrition (ACFN) is a group of food, beverage and
consumer products companies, nonprofit organization and trade association working together to
improve the health of Americans, particularly youth by encouraging a healthy balance between
fitness and nutrition.
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The cornerstone of all ACFN initiative is the idea that lasting solution to the nation’s obesity
problem must be based on sound science and behavioral research. Such policies are likely to help
parents and their children develop eating and exercise habits that lead to a healthier life.
Grocery Manufacture of America The Grocery Manufacture of America(GMA) represents the
food ,beverage and consumer products industry on key issue that affect the ability of brand
manufacture to market their products and deliver superior value to the consumer.
International Food Information Council(IFIC) Foundation the IFIC Foundation is a public
education foundation disseminating sound, science-based information on food safety nutrition
and health.
International Life Science Institute (ILSI) is a non profit worldwide foundation that seeks to
improve the well being of the general public through the pursuit of balance science. Its goal to
further to understanding of scientific issue relating to nutrition food safety toxicology risk
assessment and industry.Kidnetic.com is a fun interactive website that emphasize healthy
achieved through s balance of physical activity and responsibility eating habits The website gives
young people and their parents the tools and idea to help change habits and plant the seeds.
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COCA COLA IN INDIA
Coca cola was the leading soft drink till 1977 when govt. policies necessitated its departure.
Coca cola made its return to the country in1993 and made significantly investments to ensure
that the beverage is available to more and more people, even in the remote and inaccessible parts
of the nation.
Coca cola advertising campaigns “ Jo chaho ho Jaye”
and “life ho to aise” were very popular.
In 2002, coca cola launched it iconic campaign “Thanda matlab cocacola” which rockets the
brand to make it India’s favourite soft drink brand.
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MISSION, VISION & VALUES
The world is changing all around us. To continue to thrive as a business over the next ten years
and beyond, we must look ahead, understand the trends and forces that will shape our business in
the future and move swiftly to prepare for what's to come. We must get ready for tomorrow
today. That's what our 2020 Vision is all about. It creates a long-term destination for our
business and provides us with a "Roadmap" for winning together with our bottling partners.
Mission
Our Roadmap starts with our mission, which is enduring. It declares our purpose as a company
and serves as the standard against which we weigh our actions and decisions.
 To refresh the world.
 To inspire moments of optimism and happiness.
 To create value and make a difference.
23
Vision
Our vision serves as the framework for our Roadmap and guides every aspect of our business by
describing what we need to accomplish in order to continue achieving sustainable, quality
growth.
 People: Be a great place to work where people are inspired to be the best they can be.
 Portfolio: Bring to the world a portfolio of quality beverage brands that anticipate and
satisfy people's desires and needs.
 Partners: Nurture a winning network of customers and suppliers, together we create
mutual, enduring value.
 Planet: Be a responsible citizen that makes a difference by helping build and support
sustainable communities.
 Profit: Maximize long-term return to shareowners while being mindful of our overall
responsibilities.
 Productivity: Be a highly effective, lean and fast-moving organization.
24
ORGANIZATION STRUCTURE OF COCA-COLA IN INDIA
Chief Executive
Officer
Vice President
Supply Chain
Chief Finance
Officer
Human Resource
Director
Vice President BSG
Regional Vice
President (North)
Regional Vice
President (Central)
25
ORGANIZATION STRUCTURE OF THE SALES DEPARTMENT IN
CBPL:
AGM/AOD
Plant
Manager
Route to
Market
Human
Resource
Manager
Finance
Manager
General
Sales
Manager
Area Sales
Manager
Sales
Executive
Market
Developer
Distributors
And
Salesmen
Channel
Manager
Marketing
Key
Accounts
Area
Capability
Manager
Sales
Trainers
26
Product Profile of Coca Cola
The product range of the coke has listed brands:-
Coke : 200ml,300 ml, 330ml,600ml,1.5lt,1.25lt, 2lt
Thums UP: 200ml, 300ml,330 ml,600ml, 1.25lt,1.5lt, 2lt.
Limca: 200ml, 300ml,330ml,600ml,1.25lt,1.5lt, 2lt.
Fanta: 200ml, 300ml,330ml,600ml,1.25lt, 1.5lt,2lt.
Sprite: 200ml, 300ml,600ml,330ml,1.5lt,1.25lt, 2lt.
Mazza: 250 ml, Tetra Pack,600ml,1.2lt
Diet Coke: 330ml,
Kn. Soda: 300ml, 500ml,
Kn. Water: 500ml, 1lt, 2lt,
27
ADVERTISEMENT OF COCA-COLA COMPANY
The Coca-Cola Company offers a wide range of products to the customers including beverages,
fruit juices and bottled mineral water. The Company is always looking to innovate and come up
with, either complete new products or new ways to bottle or pack the existing drinks. The Coca-
Cola Company has a wide range of products out of which the following products are marketed
by JBPL:
In the Cola Section:
28
In the Orange section:
In the Lemon Section
In the Juice section:
In the Soda Waterand Bottled Mineral Watersection:
29
RESEARCHOBJECTIVE
1. To find out to which extent merchandising assets are being used by the retailers in promoting
the product of Coca-Cola.
2. To conduct SWOT analysis of Coca Cola Company.
3. To find new outlets of Coca Cola in Kathua area.
4. To increase the demand of Coca Cola in the market.
5. To compare the demand of Coca Cola with Pepsi.
30
RESEARCHMETHODOLOGY
Researcher began his survey with route riding, i.e. traveling along with the sales persons on his
daily trip to service the retailers. Researcher asked the retailers about their uses of Coca-cola
merchandises and tries to assess the market share of the Coca-Cola’s different brands. The
various methods adopted are listed below:
 ResearchPlan:
Date sources: sources of information are as follows:
(1) Primary sources-
Retailers are the primary source.
(2) Secondarysources – Researcher collected secondary information from Journals of
Company, Newspapers, Magazines.
 ResearchApproach:
Researcher followed one approach to collect the information
(1) Survey – Researcher contacted the retailers in the market place to gather the relevant
information.
(2) Number of Retailers contacted –140 Retailers.
 Survey Area: Kathua& NEAR BY AREAS
 Researchinstrument:
Researcher used questionnaire as his instrument for conducting the survey.
 Sampling Plan;
(1) Sampling unit – Retailers
(2) Sampling procedure- Complete Enumeration
 Contact Method:
Researcher personally contacted the retailers.
31
Data Analysis And Interpretation
1. Detail of outlet:
I. Name of the Outlet _____________________
II. Address _______________________________
III. Landmark_____________________________
IV. Contact Person ________________________
V. Contact Number ______________________
32
2) In which type of channel does your outlet belongs to?
(i) Grocery (ii) Convenience
(iii)Food Joints
38%
24%
38%
Grocery Convenience Food Joints
Grocery 115
Convenience 74
Food Joints 114
33
3. Outlet of Kathua belongs to category:--
(i) BRONZE (ii) SILVER
(iii) GOLD (iv) DIAMOND
BRONZE 250
SILVER 35
GOLD 17
DIAMOND 2
82%
11%
6%
1%
BRONZE SILVER GOLD DIAMOND
34
4)Which company product do you sell?
Coca Cola 143
Pepsi 32
Both 134
Other 1
46%
10%
43%
1%
KO PC BOTH OTHER
35
5.If coca cola then
I. which thing attracts you most ?
(i)QUALITY (ii)SERVICES
(iii)SCHEMES (iv) PRICES
QUALITY 150
SERVICES 122
SCHEMES 13
PRICES 15
50%
41%
4%
5%
QUALITY SERVICES SCHEMES PRICES
36
46%
45%
5% 4%
THUMBS UP 140 LIMCA 134
COCA COLA 14 OTHER 12
II. Which product of coke you sell more ?
THUMS UP 140
LIMCA 134
COCA COLA 14
OTHER 12
37
6. Reasonfor shifting to coke?
SCHEMES 17
SGA’s 13
SERVICES 2
OTHER 1
34%
54%
8% 4%
Schemes SGA's Services Other
38
7. Satisfaction level?
Coca cola 167
Pepsi 103
Both 130
3%
43%
54%
Coca Cola Pepsi Both
39
8. Availability of stock?
DAILY 109
ALTRENATIVELY 130
2 DAYS 32
3 DAYS 14
38%
46%
11%
5%
Daily Alternatively 2 Days 4th Qtr
40
9. Whose refrigerator do you have?
Coca Cola 83
Pepsi 43
Both 12
Other 85
6%
29%
8%
57%
Coca Cola Pepsi Both Other
41
10. What are the reasons that you are not using refrigerator/ ice box to its full
strength?
4%
60%
15%
21%
Shortage Empty Problem Irreguralarity Of Salesman Other
SHORTAGE 120
EMPTY PROBLEM 131
IRREGULARITYOF SALESMAN 32
OTHER 47
42
SWOT ANALYSIS
43
STRENGTHS:
 There is huge demand for Coke’s products like Thums Up and Limca.48% of retailers are
selling Thums Up and 43% of them are selling Limca in large quantities.
 In Summer Cold Drinks, there are 83 SGA’s of Coke which is more than Pepsi’s SGA
(which are43).
 65% of retailers are satisfied with the services of coke whereas only 35% of retailers are
satisfied with the services of Pepsi.
 Coke has 143 monopoly outlets whereas Pepsi has only 32 monopoly outlets in Kathua.
 Coke has high demand despite of fewer schemes as compared to other brands.
WEAKNESS:
 Poor services in backward areas regarding SGA. Retailers of coke in rural areas like
Janglote, Hatli, Chan grain has complaints that they are not getting proper services.
 Less demand for certain products of coke like Pulpy Orange, Minute Maid Nimbu Fresh
in the market.
 Coke has fewer Schemes as compared to Pepsi.
 Supply of coca-cola products into the Kathua city from outside the state.
 It is very big weakness for the company.
 Retailers get product at very cheaper rate than in Kathua city.
44
Production of local products.
 Due to the production of the local products the sales of our products is also down.
 Local products also capture the market of kathua region.
Weak distribution strength
Our distributors have very weak distribution strength as compared to the competitor because our
distributors have only one vehicle whereas competitors have 2 or 3 vehicles.
OPPORTUNITY:
1) There are 32 outlets that deal with Pepsi only, so there is huge opportunity for Coke to convert
them into Coke.
2) There are 11 outlets of Pepsi which have stock over 20 cases so it is an opportunity for Coke
to convert them into Coke.
3) It is an opportunity for Coke to convert small retailers into large ones in rural areas.
4) Can increase its new outlets by providing more schemes& break Pepsi’s monopoly.
5) New Innovation Products.
45
THREATS:
 It has a continuous threat from Pepsi as they are easily providing them schemes and
SGA’s.
 In small villages it has a continuous threat from local brands like RC Cola because their
products has low price.
 There is no proper policy of distributing the merchandising assets of the company to the
retailers in rural areas.
 Poor services in rural areas to regarding SGA so retailers are likely to shift to other
brands.
 Launching of new Product by the competitor in the market.
46
LIMITATIONS:
Despite the possible efforts in conducting the research, there were some unavoidable situations,
which limited the scope of the project.
 Considering the population, the sample taken for present study seems small and hence
further investigation may be required.
 Some of the retailers were non-cooperative in giving information, which hampered the
actual calculation.
 Time available for research was very short so certain aspects have been overlooked.
 Retailers were hesitant to provide the complete information due to fear of misuse of
information.
 Respondents may sometimes misinterpret the questions, leading to a different answer.
47
RECOMMENDATIONS:
 Schemes should be transparent and made clear to the retailers.

 Since the market capacity is huge salesman needs time at every retailer to satisfy him and
tell him about the different products, packaging, and incentives.
 A proper trust and relationship building process is required with the retailers, which need
to be worked on.
 To strengthen the distribution system.
48
CCOONNCCLLUUSSIIOONN
After conducting the research, it is found that there are two categories of retailers. The first one
is of those retailers, which just want to increase their assets, for them the sale doesn’t matter
according to them they can only increase the sale if the company will invest in them or in their
shops. These types of retailers will only work for the company, which invest in them hugely.
And if at any moment they found company has lost or lowered their interest in them they will
again shift to other major player. Other kinds of retailers are those who are more bothered about
working hard and build their reputation in the market. These types of retailers are using the
merchandising assets to their optimum level. And sometimes if they are unable to do so it’s
because of the irregularity of the salesman (when the salesman on the route gets changed) or
because of the shortage of the different products/packing.
 There is a requirement of the company professionals to visit these retailers continuously.
So, that they can understand the market and suggest changes accordingly. Despite of this,
salesman and other company professionals who visit these retailers must not do the false
promises. Due to this retailers lose their confidence in the company.
 There is also the need of the transparent schemes and marketing mix that the retailers can
understand more properly.
49
BIBLIOGRAPHY:
 C.R,Kotheri Research Methodology, Vikas publishing house pvt. Ltd., 1998 (New
Delhi)
 Ranjit Kumar, Research Methodology, Vikas publishing house pvt. Ltd.
 G.C.BERY, Marketing Research.
 Philip Kotler, Marketing Management.
 T.N Chhabra, Marketing Management.
 Shashi K. Gupta, Marketing Management.
REFERENCES FROM ELECTRONIC WEBSITES :
 http://www.pepsico.com
 http://www.scribd.com
 http://www.hindustan coco cola beverage.com
 http://www.ask.com
 http://www.corporate.com
 www.marketing research.com
50
Annexure
QUESTIONNAIRE FOR RETAILERS:
1. Detailof outlet:
Name of the Outlet _____________________
Address _______________________________
Landmark_____________________________
Contact Person________________________
Contact Number ______________________
2 In which type of channeldoes your outlet belongs to?
(i) Grocery
(ii) Convenience
(iii) Food Joints
3. Outlet of Kathua belongs to category:
(I) BRONZE
(II) SILVER
(III) GOLD
(IV) DIAMOND
51
4. Which company product do you sell?
(i)Coca Cola
(ii) Pepsi
(iii)Other
(IV) All
5. If Coca Cola then
I. Which thing attracts you most?
(i)QUALITY
(ii) SERVICES
(iii)SCHEMES
(IV) PRICES
II. Which productof coke you sell more?
(i)THUMBS UP
(ii) LIMCA
(iii) COCACOLA
(IV) OTHERS
52
6. Reasonfor Shifting to Coca Cola?
(i) Schemes
(ii) SGA’s
(iii) SERVICE
(IV) PRICES
7. Satisfactionlevel?
(i)Coca Cola
(ii) Pepsi
(iii)Both
(IV) None
8. Availability of stock?
(i) DAILY
(ii)ALTERNATIVELY
(iii) 2DAYS
(iv) 3DAYS
53
9. Whose refrigeratordo you have?
(i) CocaCola
(ii)Pepsi
(iii)Both
(iv)None
10. What are the reasons that you are not using refrigerator/ ice box to its full
strength?
(i) Shortage
(ii) Empty Problem
(iii) Irregularity of Salesman
(iv) Other

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Market development and distribution system Cocacola

  • 1. 1 SUMMER INTERNSHIP PROJECT REPORT ON “MARKET DEVELOPMENT and Distribution system” Of COCA COLA IN KATHUA (J&K) NAME- AkashAndotra CLASS- BBA Part-III ROLL NO.- 584
  • 2. 2 SUBMITTED TO- Mrs. Shivali Sharma Acknowledgement No project work is carried out in vacuum. Project work is never the work of an individual. Many persons contributed to the development of my project report. Everyone was with their ideas, suggestions & contributions that really helped me in making an easy, clear, limpid and systematic project report. First of all I express my regards to my family who are always there to support and encourage me. They provided a congenial atmosphere for my work. I could not have accomplished all that was expected without that special patience and understanding that only a family can give. At Government Degree College Kathua, I want to thank all the faculty of Management Department, who are always there to support and encourage the students. A heartfelt thank is extended to Mrs. Sheffali Sharma for having guided me in my project. Last but not the least; I want to thank Sales executives, all the Market Developers, distributors and retailers who had helped me in covering the project.
  • 3. 3 INDEX S. NO TOPIC PAGE NO 1. COMPANY PROFILE 05 2. 2.1 COMPANY INTRODUCTON 07 2.2 BRAND PORTFOLIO 09 2.3AROUND THE WORLD 11 2.4COCA COLA IN J&K 12 3 PRODUCTS OF THE COMPANY 16 4 RESEARCH OBJECTIVE 21 5 RESEARCH METHODOLOGY 23 6 DATA ANALYSIS& FINDINGS 25 7 SWOT ANALYSIS 36 8 LIMITATION 43 9 RECOMMENDATION 45 10 CONCLUSION 46 11 BIBLIOGRAPHY 47 12 ANNEXURE 48
  • 4. 4 INTRODUCTION COMPANY PROFILE Coca-Cola was formulated in 1886 by Dr. John Pemberton, a Pharmacist in Atlanta, Georgia. The drink was sold ad refreshing elixir at the fountain counter of Jacob's Pharmacy of which Dr. John Pemberton was part owner, unaware that the pharmacist had given birth to caramel colored syrup which is now the chief ingredient of the world favorite drink. Today the white-on-red flow of Coca-Cola is familiar sight in more than 195 countries. The syrup combines with the carbonate water to fuel a $ 16.2 billion corporation that has captured a 46% Slice of the global soft drinks market. The company estimates that the drink is served more than 773 million times every day and if all Coke ever produced were filed in standard bottles and placed end to end it would wrap around the equator 21, 161 times. The story of Coca-Cola is a story of a drink and its charm with the consumer. The of ecstasy and again that the drink has caused to those dedicated to its growth Pemberton first managed to sell and average of 9 drinks per day, though a shop called Jacob's pharmacy, in 1891, Candler bought Coca-cola company with four companies he formed the coca-cola company with the initial stock of $100,000. Coca-Cola was registered at the US patent office in 1893, and began selling at soda fountains for 5 cents a glass of therapeutic refreshment 1894, I got into bottles, courtesy a candy merchant Joseph Boedenharn of Mississippi. Five years later; the drink was being bottled on a regular basis under a region wise franchising system; and its first competitor Pepsi cola, Coca-Cola's first bottling plant opened in Chattanooga, Tennessee followed by another in Atlanta in 1900. The unique taste of cola was an outstanding success. Over the next two decade the number of plants crossed 1000. In a bit to
  • 5. 5 difference the product, the company adopted 6.5 ounce, pale green counter bottle designed by the root glass company of Terri Haute, Indiana. Today it is an intrinsic part of the brand. The company broadened its horizons when Robert Woodruff the son of a banker who acquired to Company for $25 million in 1919, assumed charge in 1923. He began by upgrading bottling operations, brought in innovations like a six-bottle carry home carton, and gear up advertising support. It was under Wood Ruff that the brand. Known affectionately as coke by now associated itself with sportive events. By the early 1940's the brand was selling as the "real thing" to set itself apart from "me to" cola's. As a time went by the company brought out some new aerated drinks. The first one "Fanta" appeared in the selves in 1960. Its birth was an accident; the company's German name is an attempt to produce Coca-Cola without some key ingredients, turned out into an orange flavored drink instead. Its strategists who feared the dependence on just one put a cap on growth welcomed it. While Fanta was being rolled out the company bought minute made corps. This in 1967 was combined with Duncan foods to pave way for the Coca-Cola foods. Several beverages followed the most notable being 'sprite', a lemon drink developed in the late 1950 and formally launched in 1961. Coca-Cola had diversified the company into businesses and it even had a steam generator and boiler making division. Robert C Goizueta, Cuban born 27 years veteran took over as the Coca- Cola unlike Pepsi Company depended on a single brand. The best insurance policy that he figured was to let coke evolve to the summer slacking it with variants, even reinventing if needed. In 1982, the company launched what is now considered among the world’s most successful brand extensions 'Diet Coke', under the leadership of Sergio Zyman, the head of us marketing. The idea was to retain the loyalty for the health conscious drinker who loved the taste but hated the calories. After this it came out with caffeine free versions of its main drinks. yet in the US the company kept losing ground to Pepsi. zyman, a former Pepsi marketer argued that the correct strategy was to replace 98 year old with better tasting cola, label it as "New Coke" and blare the news which is exactly what the company did more a decode age in 1985. But when placed on the shelves it did not budge. On wide spread protest it was recalled after 79 days.
  • 6. 6 The company has about 100 brands in its portfolio but coke, Fanta and Sprite account for most of its sales. In 1994, the real thing's coke sold over 52.5 billion liters. For the taste of it diet coke along with Coca-Cola light sold 8.5 billion liters, which makes it the world's two top non cola drinks sold over 6.5 billion liters each. Which sprite aimed at the independent youngster two does not care what as others drink (the as line "obey you're a thrust"). In 1993, Coca-Cola reentered India after a 16 years ling exile, four years Pepsi made its debut India. While Coke plays on brand nostalgia. Pepsi address the young crowd, which unlike in America is a dominate ort if the population here. The Coca-Cola Company is the world's number one maker of soft drinks, selling 1.3 billion beverage servings every day. Coca-Cola's red and white trademark is probably the best-known brand symbol in the world. Headquartered since its founding in Atlanta, Coca-Cola makes four of the top five soft drinks in the world, Coca-Cola at number one and Diet Coke, Fanta, and Sprite at numbers three through five. The company also operates one of the world's most pervasive distribution systems, offering its nearly 400 beverage products in more than 200 countries worldwide. Nearly 70 percent of sales are generated outside North America, with revenues breaking down as follows: North America, 30 percent; Europe, Eurasia, and the Middle East, 31 percent; Asia, 24 percent; Latin America (including Mexico), 10 percent; and Africa, 4 percent. Among the company's products are a variety of carbonated beverages (including the aforementioned brands and many others, such as Fresca, Barq's, and Cherry and Vanilla Coke); sports drinks (POWERade and Aquarius); juices and juice drinks (Minute Maid, Fruitopia, Hi-C, Five Alive, Qoo, Maaza, and Bibo); teas (Sokenbicha and Marocha); coffees (Georgia); and bottled waters (Ciel, Dasani, and Bonaqua). Moreover, the company holds the rights to the Schweppes, Canada Dry, Dr Pepper, and Crush brands outside of North America, Europe, and Australia. Coca-Cola's development into one of the most powerful and admired firms in the world has been credited to proficiency in four basic areas: consumer marketing, infrastructure (production and distribution), product packaging, and customer (or vendor) marketing.
  • 7. 7 Creationof a Brand Legend The inventor of Coca-Cola, Dr. John Styth Pemberton, came to Atlanta from Columbus, Georgia, in 1869. In 1885 he set up a chemical laboratory in Atlanta and went into the patent medicine business. Pemberton invented such products as Indian Queen hair dye, Gingerine, and Triplex liver pills. In 1886 he concocted a mixture of sugar, water, and extracts of the coca leaf and the kola nut. He added caffeine to the resulting syrup so that it could be marketed as a headache remedy. Through his research Pemberton arrived at the conclusion that this medication was capable of relieving indigestion and exhaustion in addition to being refreshing and exhilarating. The pharmacist and his business partners could not decide whether to market the mixture as a medicine or to extol its flavor for its own sake, so they did both. In Coca-Cola: An Illustrated History, Pat Watters cited a Coca-Cola label from 1887 which stated that the drink, "makes not only a delicious ... and invigorating beverage ... but a valuable Brain Tonic and a cure for all nervous affections." The label also claimed that "the peculiar flavor of Coca-Cola delights every palate; it is dispensed from the soda fountain in the same manner as any fruit syrup." The first newspaper advertisement for Coca-Cola appeared exactly three weeks after the first batch of syrup was produced, and the famous trademark, white Spenserian script on a red background, made its debut at about the same time. Coca-Cola was not, however, immediately successful. During the product's first year in existence, Pemberton and his partners spent around $74 in advertising their unique beverage and made only $50 in sales. The combined pressures of poor business and ill health led Pemberton to sell two-thirds of his business in early 1888. By 1891, a successful druggist named Asa G. Candler owned the entire enterprise. It had cost him $2,300. Dr. Pemberton, who died three years earlier, was never to know the enormous success his invention would have in the coming century.
  • 8. 8 Candler, a religious man with excellent business sense, infused the enterprise with his personality. Candler became a notable philanthropist, associating the name of Coca-Cola with social awareness in the process. He was also an integral part of Atlanta both as a citizen and as a leader. Candler endowed Emory University and its Wesley Memorial Hospital with more than $8 million. Indeed, the university could not have come into existence without his aid. In 1907 he prevented a real estate panic in Atlanta by purchasing $1 million worth of homes and reselling them to people of moderate income at affordable prices. During World War I, Candler helped to avert a cotton crisis by using his growing wealth to stabilize the market. After he stepped down as the president of Coca-Cola, he became the mayor of Atlanta and introduced such reforms as motorizing the fire department and augmenting the water system with his private funds. 1891-1919:Rapid Growth Under the Candlers Under Candler's leadership, which spanned a 26-year period, the Coca-Cola Company grew quickly. Between 1888 and 1907, the factory and offices of the business were moved to eight different buildings in order to keep up with the company's growth and expansion. As head of the company, Candler was most concerned with the quality and promotion of his product. He was particularly concerned with production of the syrup, which was boiled in kettles over a furnace and stirred by hand with large wooden paddles. He improved Pemberton's formula with the help of a chemist, a pharmacist, and a prescriptionist. In 1901, responding to complaints about the presence of minute amounts of cocaine in the Coca-Cola syrup, Candler devised the means to remove all traces of the substance. By 1905, the syrup was completely free of cocaine. In 1892, the newly incorporated Coca-Cola Company allocated $11,401 for advertising its drink. Advertising materials included signs, free sample tickets, and premiums such as ornate soda fountain urns, clocks, and stained-glass lampshades, all with the words "Coca-Cola" engraved upon them. These early advertising strategies initiated the most extensive promotional campaign
  • 9. 9 for one product in history. Salesmen traveled the entire country selling the company's syrup, and by 1895 Coca-Cola was being sold and consumed in every state in the nation. Soon it was available in some Canadian cities and in Honolulu, and plans were underway for its introduction into Mexico. By the time Asa Candler left the company in 1916, Coke had also been sold in Cuba, Jamaica, Germany, Bermuda, Puerto Rico, the Philippines, France, and England. An event that had an enormous impact on the future and very nature of the company was the 1899 agreement made between Candler and two young lawyers that allowed them to bottle and sell Coca-Cola throughout the United States: the first bottling franchise had been established. Five years later, in 1904, the one-millionth gallon of Coca-Cola syrup had been sold. In 1916 the now universally recognized, uniquely contour-shaped Coke bottle was invented. The management of all company advertising was assigned to the D'Arcy Advertising Agency, and the advertising budget had ballooned to $1 million by 1911. During this time, all claims for the medicinal properties of Coca-Cola were quietly dropped from its advertisements. World War I and the ensuing sugar rationing measures slowed the growth of the company, but the pressure of coal rations led Candler's son, Charles Howard, to invent a process whereby the sugar and water could be mixed without using heat. This process saved the cost of fuel, relieved the company of the need for a boiler, and saved a great amount of time since there was no need for the syrup to go through a cooling period. The company continued to use this method of mixing into the 1990s. Although Candler was fond of his company, he became disillusioned with it in 1916 and retired. One of the reasons for this decision was the new tax laws which, in Candler's words, did not allow for "the accumulation of surplus in excess of the amount necessary for profitable and safe conduct of our particular business." (It has also been suggested that Candler refused to implement the modernization of company facilities.)
  • 10. 10 1919-55:The Woodruff Era Robert Winship Woodruff became president of the company in 1923 at the age of 33. His father, Ernest Woodruff, along with an investor group, had purchased it from the Candler family in 1919 for $25 million, and the company went public in the same year at $40 a share. After leaving college before graduation, Woodruff held various jobs, eventually becoming the Atlanta branch manager and then the vice-president of an Atlanta motor company, before becoming the president of Coca-Cola. Having entered the company at a time when its affairs were quite tumultuous, Woodruff worked rapidly to improve Coca-Cola's financial condition. In addition to low sales figures in 1922, he had to face the problem of animosity toward the company on the part of the bottlers as a result of an imprudent sugar purchase that management had made. This raised the price of the syrup and angered the bottlers. Woodruff was aided in particular by two men, Harrison Jones and Harold Hirsch, who were adept at maintaining good relations between the company and its bottling franchises. Woodruff set to work improving the sales department; he emphasized quality control, and began advertising and promotional campaigns that were far more sophisticated than those of the past. He established a research department that became a pioneering market research agency. He also worked hard to provide his customers with the latest in technological developments that would facilitate their selling Coca-Cola to the public, and he labored to increase efficiency at every step of the production process so as to raise the percentage of profit from every sale of Coca-Cola syrup. Through the 1920s and 1930s such developments as the six-pack carton of Coke, which encouraged shoppers to purchase the drink for home consumption, coin-operated vending
  • 11. 11 machines in the workplace, and the cooler designed by John Stanton expanded the domestic market considerably. Also, by the end of 1930, as a result of the company's quality control efforts, Coca-Cola tasted exactly the same everywhere. Considered slightly eccentric, Woodruff was a fair employer and an admired philanthropist. In 1937, he donated $50,000 to Emory University for a cancer diagnosis and treatment center, and over the years gave more than $100 million to the clinic. He donated $8 million for the construction of the Atlanta Memorial Arts Center. Under his leadership the Coca-Cola Company pioneered such company benefits as group life insurance and group accident and health policies, and in 1948 introduced a retirement program. Woodruff was to see the Coca-Cola Company through an era marked by important and varied events. Even during the Great Depression the company did not suffer thanks to Woodruff's cost- cutting measures. When Prohibition was repealed, Coca-Cola continued to experience rising sales. It was World War II, however, that catapulted Coca-Cola into the world market and made it one of the country's first multinational companies. Woodruff and Archie Lee of the D'Arcy Advertising Agency worked to equate Coca-Cola with the American way of life. Advertisements had, in Candler's era, been targeted at the wealthy population. In Woodruff's time the advertising was aimed at all Americans. By early 1950, African Americans were featured in advertisements, and by the mid-1950s there was an increase in advertising targeted at other minority groups. Advertising never reflected the problems of the world, only the good and happy life. Radio advertising began in 1927, and through the years Coca-Cola sponsored many musical programs. During World War II, Woodruff announced that every man in uniform would be able to get a bottle of Coke for five cents no matter what the cost to the company. This was an extremely successful marketing maneuver and provided Coke with good publicity. In 1943, at the request of General Eisenhower, Coca-Cola plants were set up near the fighting fronts in North Africa and eventually throughout Europe in order to help increase the morale of U.S. soldiers. Thus, Coca-Cola was introduced to the world.
  • 12. 12 About THE COCA-COLA COMPANY Coke is it -- it being the #1 nonalcoholic beverage company, as well as one of the world's most recognizable brands. The Coca-Cola Company is home to 20 billion-dollar-brands, including four of the top five soft drinks: Coca-Cola, Diet Coke, Fanta, and Sprite. Other top brands include Minute Maid, Powerade, and vitaminwater. All told, the company owns or licenses and markets more than 500 beverage brands, mainly sparkling drinks but also waters, juice drinks, energy and sports drinks, and ready-to-drink teas and coffees. With the world's largest beverage distribution system, The Coca-Cola Company reaches thirsty consumers in more than 200 countries. Operations Coke manages seven main operating segments (most of them geographically-based), including: Eurasia and Africa; Europe; Latin America; North America; Asia Pacific; Bottling Investments; and Corporate. The North America operating segment generates the majority of its revenue from the sale of finished beverages, while the other geographic regions get most of their business from the manufacture and sale of beverage concentrates and syrups. The Bottling Investments division focuses on the beverage company's owned bottling operations outside of North America. This segment helps to maximize the efficiency of its production, distribution, and marketing efforts. They include a 29% stake in Mexico's bottler Coca-Cola FEMSA (now the largest independent Coke bottler), 23% of European bottler Coca-Cola Hellenic Bottling, and 29% of Coca-Cola Amatil, a bottler and distributor of Coke products in Australia, New Zealand, and surrounding countries. Other major independent bottling partners include Arca Continental, New Coca-Cola Enterprises, and wire Beverages. Geographic Reach The world's largest beverage company rings up more than 55% of its sales outside the US, in some 200 countries worldwide across Eurasia, Africa, Europe, North America, and the Pacific Region. Important international markets include Asia, Latin America, and Europe, which make up 30% of revenue, combined.
  • 13. 13 Sales and Marketing Not only is Coca-Cola one of the world's most recognizable and valuable brands, but The Coca- Cola Company supports the largest beverage distribution system in the world, made up of company-owned or controlled bottling and distribution operations, as well as independently owned bottling partners, distributors, wholesalers, and retailers. Beverages bearing trademarks owned by or licensed to them account for 1.9 billion of the approximately 57 billion beverage servings of all types consumed worldwide every day. In 2014, about 81% of the company's worldwide unit case volume was outside of the US. The largest unit case volumes were in Mexico, China, Brazil, and Japan, which made up 31% of worldwide total. Of these international unit case volumes, 74% held sparkling beverages while the rest held still beverages. To keep its brand foremost in the mind of consumers, the company spent $3.5 billion on advertising in 2014, up from roughly $3.26 billion in 2013 and 2012. FinancialPerformance Sales fell for a second straight year in 2014, with revenue dipping by 2% to $46 billion. The Coca-Cola Company's revenues declined by due to the unfavorable impact of its geographic mix as it sold more lower-margin products in emerging and developing markets and fewer higher- margin products in developed markets. Europe, which increased sales by 4%, was the only geographic region that enjoyed growth. The company's net income dropped by 17% to $7.1 billion, mostly from a combination of lower revenue and the unfavorable impact of foreign currency fluctuations that decreased consolidated net operating income by 6%. Despite lower earnings, cash from operations inched up by 1% to $10.62 billion, mostly because in 2013 it had used more cash toward irregular, incremental pension contributions.
  • 14. 14 Strategy The popularity of soft drinks, especially in mature markets, has been on the decline since about 2005 as negative publicity about obesity and other health risks continues to threaten sales. As a result, The Coca-Cola Company and other top soft drink makers are turning toward other parts of their noncarbonated product portfolio for growth, such as fruit juices, sports and energy drinks, and bottled water and tea beverages. A part of the plan to rely less on the old way of doing business, and compensate for falling sales amidst changing tastes, the company is selling many of its low-margin bottling operations to concentrate on higher margin operations like selling concentrates and syrups to bottlers. The Coca-Cola Company is also looking to relatively undeveloped markets with a growing middle class and money to spend on soft drinks and juices. To that end, it announced it will invest $5 billion with its bottling partners in Africa by 2020, raising its investment in the region to $17 billion from 2010 to 2020. Coke plans to build new manufacturing capacity, develop sustainability initiatives and create jobs. In a move that supports expanding its fruit-based drinks portfolio and investing in Africa, in late 2014 The Coca-Cola Company announced a partnership with alcoholic beverage company SABMiller and South Africa's Gutsche Family Investments to create Coca-Cola Beverages Africa, the continent's largest bottler. The new company will serve about a dozen high-growth markets, where disposable incomes and the population are growing, and handle about 40% of the beverage company's African volume. In exchange for its $260 million investment, The Coca- Cola Company will receive an 11% interest in the bottler and SABMiller's global Appletiser brand of carbonated juices as well as about 20 other African and Latin American non-alcoholic beverage brands. Gutsche Family Investments already controls Coca-Cola Sabco, a Coke bottler since 1940 with operations in seven African countries. Coca-Cola Beverages Africa will absorb most of SABMiller's non-alcoholic operations on the continent as well as Coca-Cola Sabco's plants. Also in 2014, the company teamed up with Keurig Green Mountain, entering into a 10-year global strategic agreement to collaborate on the development and introduction of The Coca-Cola
  • 15. 15 Company global brand portfolio for use in Keurig Green Mountain's Keurig Kold at-home beverage system. It purchased a 16% stake in Monster Beverage Corporation in a long-term strategy to accelerate growth for both companies in the fast-growing, global energy drink industry. In 2013 Coca-Cola opened a new bottling plant in Myanmar as part of a planned $200 million investment during the next five years there which also includes adding more than 22,000 jobs during that time period. Mergers and Acquisitions Diversifying its portfolio, in 2014 the company acquired a 16.7% equity stake in Monster Beverage Corp., a leading maker of energy drinks. Under the terms of the deal, The Coca-Cola Company will transfer ownership of its worldwide energy business, including NOS, Full Throttle, Burn, Mother, Play and Power Play, and Relentless, to Monster; and Monster will transfer its non-energy business, including Hansen's Natural Sodas, Peace Tea, Hubert's Lemonade and Hansen's Juice Products, to The Coca-Cola Company. In 2013 it bought ZICO Beverages, a maker of ZICO Pure Premium Coconut Water. Growing its distribution network, in 2013 The Coca-Cola Company bought Sacramento Coca- Cola Bottling Company, the sixth-largest independent Coca-Cola bottler in the nation that serves nine northern California counties.
  • 16. 16 Brand Portfolio Name Launched Discontinued Notes Picture Coca-Cola 1886 The original version of Coca-Cola. Caffeine-Free Coco-Cola 1983 The caffeine free version of Coca- Cola. Coca-Cola Cherry 1985 Was available in Canada starting in 1996. Called "Cherry Coca-Cola (Cherry Coke)" in North America until 2006. Zero-calorievariant (Coca-Cola Cherry Zero) also currently available. New Coke/"Coca- Cola II" 1985 2002 Still available in Yap and American Samoa Coca Cola With Lemon 2001 2005 Still available in: American Samoa, Austria, Belgium, Brazil, China, Denmark, Federation of Bosnia and Herzegovina, Finland, France,
  • 17. 17 Germany, Hong Kong, Iceland, Korea, Luxembourg, Macau, Malaysia, Mongolia, Netherlands, Norway, Réunion, Singapore, Spain, Switzerland, Taiwan, Tunisia, United Kingdom, United States, and West Bank-Gaza Coca Cola Vanilla 2002 2005 Still available in: Austria, Australia, China, Germany, Hong Kong, New Zealand (600ml only) Malaysia, Sweden (Imported) and Russia. Was called "Vanilla Coca-Cola (Vanilla Coke)" during initial U.S. availability. 2007 Itwas reintroduced in June 2007 by popular demand Coca-Cola C2 2003 2007 Was only available in Japan, Canada, and the United States. Coca-Cola With Lime 2005 Available in Belgium, Netherlands, Singapore, Canada, the United Kingdom, and the United States. Coca-Cola Raspberry June 2005 End of 2005 Was only available in New Zealand. Coca Cola Zero 2005 Coca-Cola M5 2005 Only available in Federation of Bosnia and Herzegovina, Germany,
  • 18. 18 Italy, Spain, Mexico and Brazil. Coca-Cola Black Cherry Vanilla 2006 Middle of 2007 Was replaced by Vanilla Coke in June 2007 Coca-Cola Black 2006 Beginning of 2008 Only available in the United States, France, Canada, Czech Republic, Slovak Republic, Federation of Bosnia and Herzegovina, Bulgaria and Lithuania Coca-Cola Citra 2006 Only available in Federation of Bosnia and Herzegovina, New Zealand and Japan. Coca-Cola Light Sango 2006 Only available in Franceand Belgium. Coca-Cola Orange 2007 Only available in the United Kingdomand Gibraltar
  • 19. 19 AROUND THE WORLD Although Coca-Cola was first created in the UnitedState it quickly became popular wherever it went. Our first International bottling plants opened in 1906 in Canada, Cuba and Panama soon followed by many more .Today we produce more than 300 brands in 200 courtiers more than 70% of our income come from outside the U.S, but the real reason we are truly global company is that our product meet the varied taste preferences of consumer everywhere. COMPANYPARTNERS The Coca-Cola Company works with a wide variety of organization to support health, fitness and good nutrition. The Coalition for Healthy and Active America (CHAA) CHAA was formed in 2003 by concerned organization and national leader to educate parents, children, schools and communities about the critical roles physical activity and nutrition education play in reversing the alarming trends of childhood obesity. As a nonprofit National grassroots coalition, CHAA is a various advocate for developing health and active lifestyle for America’s youth. CHAA is committed to working with schools to rededicate time for physical fitness giving parents the freedom to their children make their own nutritional choice, building school business model relationship that benefit our families by support healthy and active lifestyle and finding solution to the childhood obesity that are both responsible and realistic American Council for fitness and nutrition. The American Council for Fitness and Nutrition (ACFN) is a group of food, beverage and consumer products companies, nonprofit organization and trade association working together to improve the health of Americans, particularly youth by encouraging a healthy balance between fitness and nutrition.
  • 20. 20 The cornerstone of all ACFN initiative is the idea that lasting solution to the nation’s obesity problem must be based on sound science and behavioral research. Such policies are likely to help parents and their children develop eating and exercise habits that lead to a healthier life. Grocery Manufacture of America The Grocery Manufacture of America(GMA) represents the food ,beverage and consumer products industry on key issue that affect the ability of brand manufacture to market their products and deliver superior value to the consumer. International Food Information Council(IFIC) Foundation the IFIC Foundation is a public education foundation disseminating sound, science-based information on food safety nutrition and health. International Life Science Institute (ILSI) is a non profit worldwide foundation that seeks to improve the well being of the general public through the pursuit of balance science. Its goal to further to understanding of scientific issue relating to nutrition food safety toxicology risk assessment and industry.Kidnetic.com is a fun interactive website that emphasize healthy achieved through s balance of physical activity and responsibility eating habits The website gives young people and their parents the tools and idea to help change habits and plant the seeds.
  • 21. 21 COCA COLA IN INDIA Coca cola was the leading soft drink till 1977 when govt. policies necessitated its departure. Coca cola made its return to the country in1993 and made significantly investments to ensure that the beverage is available to more and more people, even in the remote and inaccessible parts of the nation. Coca cola advertising campaigns “ Jo chaho ho Jaye” and “life ho to aise” were very popular. In 2002, coca cola launched it iconic campaign “Thanda matlab cocacola” which rockets the brand to make it India’s favourite soft drink brand.
  • 22. 22 MISSION, VISION & VALUES The world is changing all around us. To continue to thrive as a business over the next ten years and beyond, we must look ahead, understand the trends and forces that will shape our business in the future and move swiftly to prepare for what's to come. We must get ready for tomorrow today. That's what our 2020 Vision is all about. It creates a long-term destination for our business and provides us with a "Roadmap" for winning together with our bottling partners. Mission Our Roadmap starts with our mission, which is enduring. It declares our purpose as a company and serves as the standard against which we weigh our actions and decisions.  To refresh the world.  To inspire moments of optimism and happiness.  To create value and make a difference.
  • 23. 23 Vision Our vision serves as the framework for our Roadmap and guides every aspect of our business by describing what we need to accomplish in order to continue achieving sustainable, quality growth.  People: Be a great place to work where people are inspired to be the best they can be.  Portfolio: Bring to the world a portfolio of quality beverage brands that anticipate and satisfy people's desires and needs.  Partners: Nurture a winning network of customers and suppliers, together we create mutual, enduring value.  Planet: Be a responsible citizen that makes a difference by helping build and support sustainable communities.  Profit: Maximize long-term return to shareowners while being mindful of our overall responsibilities.  Productivity: Be a highly effective, lean and fast-moving organization.
  • 24. 24 ORGANIZATION STRUCTURE OF COCA-COLA IN INDIA Chief Executive Officer Vice President Supply Chain Chief Finance Officer Human Resource Director Vice President BSG Regional Vice President (North) Regional Vice President (Central)
  • 25. 25 ORGANIZATION STRUCTURE OF THE SALES DEPARTMENT IN CBPL: AGM/AOD Plant Manager Route to Market Human Resource Manager Finance Manager General Sales Manager Area Sales Manager Sales Executive Market Developer Distributors And Salesmen Channel Manager Marketing Key Accounts Area Capability Manager Sales Trainers
  • 26. 26 Product Profile of Coca Cola The product range of the coke has listed brands:- Coke : 200ml,300 ml, 330ml,600ml,1.5lt,1.25lt, 2lt Thums UP: 200ml, 300ml,330 ml,600ml, 1.25lt,1.5lt, 2lt. Limca: 200ml, 300ml,330ml,600ml,1.25lt,1.5lt, 2lt. Fanta: 200ml, 300ml,330ml,600ml,1.25lt, 1.5lt,2lt. Sprite: 200ml, 300ml,600ml,330ml,1.5lt,1.25lt, 2lt. Mazza: 250 ml, Tetra Pack,600ml,1.2lt Diet Coke: 330ml, Kn. Soda: 300ml, 500ml, Kn. Water: 500ml, 1lt, 2lt,
  • 27. 27 ADVERTISEMENT OF COCA-COLA COMPANY The Coca-Cola Company offers a wide range of products to the customers including beverages, fruit juices and bottled mineral water. The Company is always looking to innovate and come up with, either complete new products or new ways to bottle or pack the existing drinks. The Coca- Cola Company has a wide range of products out of which the following products are marketed by JBPL: In the Cola Section:
  • 28. 28 In the Orange section: In the Lemon Section In the Juice section: In the Soda Waterand Bottled Mineral Watersection:
  • 29. 29 RESEARCHOBJECTIVE 1. To find out to which extent merchandising assets are being used by the retailers in promoting the product of Coca-Cola. 2. To conduct SWOT analysis of Coca Cola Company. 3. To find new outlets of Coca Cola in Kathua area. 4. To increase the demand of Coca Cola in the market. 5. To compare the demand of Coca Cola with Pepsi.
  • 30. 30 RESEARCHMETHODOLOGY Researcher began his survey with route riding, i.e. traveling along with the sales persons on his daily trip to service the retailers. Researcher asked the retailers about their uses of Coca-cola merchandises and tries to assess the market share of the Coca-Cola’s different brands. The various methods adopted are listed below:  ResearchPlan: Date sources: sources of information are as follows: (1) Primary sources- Retailers are the primary source. (2) Secondarysources – Researcher collected secondary information from Journals of Company, Newspapers, Magazines.  ResearchApproach: Researcher followed one approach to collect the information (1) Survey – Researcher contacted the retailers in the market place to gather the relevant information. (2) Number of Retailers contacted –140 Retailers.  Survey Area: Kathua& NEAR BY AREAS  Researchinstrument: Researcher used questionnaire as his instrument for conducting the survey.  Sampling Plan; (1) Sampling unit – Retailers (2) Sampling procedure- Complete Enumeration  Contact Method: Researcher personally contacted the retailers.
  • 31. 31 Data Analysis And Interpretation 1. Detail of outlet: I. Name of the Outlet _____________________ II. Address _______________________________ III. Landmark_____________________________ IV. Contact Person ________________________ V. Contact Number ______________________
  • 32. 32 2) In which type of channel does your outlet belongs to? (i) Grocery (ii) Convenience (iii)Food Joints 38% 24% 38% Grocery Convenience Food Joints Grocery 115 Convenience 74 Food Joints 114
  • 33. 33 3. Outlet of Kathua belongs to category:-- (i) BRONZE (ii) SILVER (iii) GOLD (iv) DIAMOND BRONZE 250 SILVER 35 GOLD 17 DIAMOND 2 82% 11% 6% 1% BRONZE SILVER GOLD DIAMOND
  • 34. 34 4)Which company product do you sell? Coca Cola 143 Pepsi 32 Both 134 Other 1 46% 10% 43% 1% KO PC BOTH OTHER
  • 35. 35 5.If coca cola then I. which thing attracts you most ? (i)QUALITY (ii)SERVICES (iii)SCHEMES (iv) PRICES QUALITY 150 SERVICES 122 SCHEMES 13 PRICES 15 50% 41% 4% 5% QUALITY SERVICES SCHEMES PRICES
  • 36. 36 46% 45% 5% 4% THUMBS UP 140 LIMCA 134 COCA COLA 14 OTHER 12 II. Which product of coke you sell more ? THUMS UP 140 LIMCA 134 COCA COLA 14 OTHER 12
  • 37. 37 6. Reasonfor shifting to coke? SCHEMES 17 SGA’s 13 SERVICES 2 OTHER 1 34% 54% 8% 4% Schemes SGA's Services Other
  • 38. 38 7. Satisfaction level? Coca cola 167 Pepsi 103 Both 130 3% 43% 54% Coca Cola Pepsi Both
  • 39. 39 8. Availability of stock? DAILY 109 ALTRENATIVELY 130 2 DAYS 32 3 DAYS 14 38% 46% 11% 5% Daily Alternatively 2 Days 4th Qtr
  • 40. 40 9. Whose refrigerator do you have? Coca Cola 83 Pepsi 43 Both 12 Other 85 6% 29% 8% 57% Coca Cola Pepsi Both Other
  • 41. 41 10. What are the reasons that you are not using refrigerator/ ice box to its full strength? 4% 60% 15% 21% Shortage Empty Problem Irreguralarity Of Salesman Other SHORTAGE 120 EMPTY PROBLEM 131 IRREGULARITYOF SALESMAN 32 OTHER 47
  • 43. 43 STRENGTHS:  There is huge demand for Coke’s products like Thums Up and Limca.48% of retailers are selling Thums Up and 43% of them are selling Limca in large quantities.  In Summer Cold Drinks, there are 83 SGA’s of Coke which is more than Pepsi’s SGA (which are43).  65% of retailers are satisfied with the services of coke whereas only 35% of retailers are satisfied with the services of Pepsi.  Coke has 143 monopoly outlets whereas Pepsi has only 32 monopoly outlets in Kathua.  Coke has high demand despite of fewer schemes as compared to other brands. WEAKNESS:  Poor services in backward areas regarding SGA. Retailers of coke in rural areas like Janglote, Hatli, Chan grain has complaints that they are not getting proper services.  Less demand for certain products of coke like Pulpy Orange, Minute Maid Nimbu Fresh in the market.  Coke has fewer Schemes as compared to Pepsi.  Supply of coca-cola products into the Kathua city from outside the state.  It is very big weakness for the company.  Retailers get product at very cheaper rate than in Kathua city.
  • 44. 44 Production of local products.  Due to the production of the local products the sales of our products is also down.  Local products also capture the market of kathua region. Weak distribution strength Our distributors have very weak distribution strength as compared to the competitor because our distributors have only one vehicle whereas competitors have 2 or 3 vehicles. OPPORTUNITY: 1) There are 32 outlets that deal with Pepsi only, so there is huge opportunity for Coke to convert them into Coke. 2) There are 11 outlets of Pepsi which have stock over 20 cases so it is an opportunity for Coke to convert them into Coke. 3) It is an opportunity for Coke to convert small retailers into large ones in rural areas. 4) Can increase its new outlets by providing more schemes& break Pepsi’s monopoly. 5) New Innovation Products.
  • 45. 45 THREATS:  It has a continuous threat from Pepsi as they are easily providing them schemes and SGA’s.  In small villages it has a continuous threat from local brands like RC Cola because their products has low price.  There is no proper policy of distributing the merchandising assets of the company to the retailers in rural areas.  Poor services in rural areas to regarding SGA so retailers are likely to shift to other brands.  Launching of new Product by the competitor in the market.
  • 46. 46 LIMITATIONS: Despite the possible efforts in conducting the research, there were some unavoidable situations, which limited the scope of the project.  Considering the population, the sample taken for present study seems small and hence further investigation may be required.  Some of the retailers were non-cooperative in giving information, which hampered the actual calculation.  Time available for research was very short so certain aspects have been overlooked.  Retailers were hesitant to provide the complete information due to fear of misuse of information.  Respondents may sometimes misinterpret the questions, leading to a different answer.
  • 47. 47 RECOMMENDATIONS:  Schemes should be transparent and made clear to the retailers.   Since the market capacity is huge salesman needs time at every retailer to satisfy him and tell him about the different products, packaging, and incentives.  A proper trust and relationship building process is required with the retailers, which need to be worked on.  To strengthen the distribution system.
  • 48. 48 CCOONNCCLLUUSSIIOONN After conducting the research, it is found that there are two categories of retailers. The first one is of those retailers, which just want to increase their assets, for them the sale doesn’t matter according to them they can only increase the sale if the company will invest in them or in their shops. These types of retailers will only work for the company, which invest in them hugely. And if at any moment they found company has lost or lowered their interest in them they will again shift to other major player. Other kinds of retailers are those who are more bothered about working hard and build their reputation in the market. These types of retailers are using the merchandising assets to their optimum level. And sometimes if they are unable to do so it’s because of the irregularity of the salesman (when the salesman on the route gets changed) or because of the shortage of the different products/packing.  There is a requirement of the company professionals to visit these retailers continuously. So, that they can understand the market and suggest changes accordingly. Despite of this, salesman and other company professionals who visit these retailers must not do the false promises. Due to this retailers lose their confidence in the company.  There is also the need of the transparent schemes and marketing mix that the retailers can understand more properly.
  • 49. 49 BIBLIOGRAPHY:  C.R,Kotheri Research Methodology, Vikas publishing house pvt. Ltd., 1998 (New Delhi)  Ranjit Kumar, Research Methodology, Vikas publishing house pvt. Ltd.  G.C.BERY, Marketing Research.  Philip Kotler, Marketing Management.  T.N Chhabra, Marketing Management.  Shashi K. Gupta, Marketing Management. REFERENCES FROM ELECTRONIC WEBSITES :  http://www.pepsico.com  http://www.scribd.com  http://www.hindustan coco cola beverage.com  http://www.ask.com  http://www.corporate.com  www.marketing research.com
  • 50. 50 Annexure QUESTIONNAIRE FOR RETAILERS: 1. Detailof outlet: Name of the Outlet _____________________ Address _______________________________ Landmark_____________________________ Contact Person________________________ Contact Number ______________________ 2 In which type of channeldoes your outlet belongs to? (i) Grocery (ii) Convenience (iii) Food Joints 3. Outlet of Kathua belongs to category: (I) BRONZE (II) SILVER (III) GOLD (IV) DIAMOND
  • 51. 51 4. Which company product do you sell? (i)Coca Cola (ii) Pepsi (iii)Other (IV) All 5. If Coca Cola then I. Which thing attracts you most? (i)QUALITY (ii) SERVICES (iii)SCHEMES (IV) PRICES II. Which productof coke you sell more? (i)THUMBS UP (ii) LIMCA (iii) COCACOLA (IV) OTHERS
  • 52. 52 6. Reasonfor Shifting to Coca Cola? (i) Schemes (ii) SGA’s (iii) SERVICE (IV) PRICES 7. Satisfactionlevel? (i)Coca Cola (ii) Pepsi (iii)Both (IV) None 8. Availability of stock? (i) DAILY (ii)ALTERNATIVELY (iii) 2DAYS (iv) 3DAYS
  • 53. 53 9. Whose refrigeratordo you have? (i) CocaCola (ii)Pepsi (iii)Both (iv)None 10. What are the reasons that you are not using refrigerator/ ice box to its full strength? (i) Shortage (ii) Empty Problem (iii) Irregularity of Salesman (iv) Other