went to help plain B.Com people who are not coming from any professional stream

1. SMT.CHANDIBAI HIMATMAL MANSUKHANI COLLEGE
ULHASNAGAR- 421003
PROJECT REPORT ON
MARKETING
SUBMITTED BY
AKASH RANA
(ROLL NO: 46)
M.COM (SEM.I): MARKETING MIX STRATEGIES OF-PEPSICO
SUBMITED TO
UNIVERSITY OF MUMBAI
2015-16
PROJECT GUIDE
Prof. Prakash N. Mulchandani
PAGE1

2. Department of Commerce
Certificate
This is to certify that, Mr. AKASH RANA ofM.Com.-I, Sem.-I (Roll NO-46) has successfully
completed the project titled “Marketing Mix Strategy of PepsiCo” under my guidance for the
Academic Year 2015-16. The information submitted is true and original as per my knowledge.
Prof. Prakash N. Mulchandani
(Project Guide)
Prof. Gopi Shamnani Dr. Padma V. Deshmukh
(Coordinator, M. Com Course) ( I/C Principal)
External Examiner

3. PAGE2
ACKNOWLEDGEMENT
I acknowledge the valuable assistance provided by SMT.CHANDIBAI HIMATMAL
MANSUKHANI COLLEGE, for two years of degree course in M.Com.
I specially thank the principal Dr.Padma V. Deshmukh for Allowing us to
use the facilities such as library, computer laboratory, internet etc.
I sincerely thank the M.Com co-ordinator Prof. Gopi Shamnani for Guiding us in the
right direction go prepare the project.
I thank my guide Prof. Prakash N. Mulchandani who has given his/her valuable time,
knowledge and guidance to complete the project successfully in time.
My family and peers were great source of inspiration throughout my project their support
is deeply acknowledged.
Signature
PAGE 3

4. DECLARATION
I, AKASH RANA OF SMT.CHANDIBAI HIMATMAL MANSUKHANI COLLEGE OF
M.Com SEMESTER I, hereby declare that I have completed the project on
‘MARKETING MIX STRATEGIES OF-PEPSICO’ in the academic year 2015-16.
The information submitted is true and original to the best of my knowledge.
(AKASH .P. RANA)
M.Com part-1, ROLL NO: 46
SEMESTER I

5. PAGE 4
INDEX
SR.NO PARTICULAR PAGE.NO
1 INTRODUCTION 6
2 OBJECTIVE 7
3 SCOPE OF STUDY 8
4 COMPANY OVERVIEW 9
5 INTRODUCTION TO INDUSTRY 14
6 COMPANY PROFILE 15
7 LITERATURE REVIEW 19
8 RESERCH AND METHODOLOGY 21
9
INTRODUCTION TO DATAANALYSIS
 SWOT ANALYSIS
23
10 FINDING AND SUGGESTION 42
11 LIMITATION 44
12 THE COLA WAR 45
13 CONCLUSION 46
14 BIBLOGRAPHY 47
15 APPENDIX 48

6. PAGE 5
INTRODUCTION
MARKETING:
“The process of ascertaining consumer needs, converting them into a product or service&
then moving the product or service to the final consumer or user to satisfy such
needs& wants of specific customer segment or segments with emphasis on profitability,e
nsuring the optimum use of resources available to the organization.”
“Marketing is so basic that it can’t be considered a separate function. It is
the whole business seems from the point of view of its final results that is from the
customer’s point of view Business success is not determined by the producer but by the
customer.”Ac co r d i ng to me market i ng means, push the product to
the marke t & pull the custo me r towards the busines s.
We can say that the main aim of the markete r is to convert the
want of the customer to the need of the customer. “Thus marketing job is
toconver t societa l needs into profita b le opportuni t i es . Hence, Ma
rketing occup ie s animportant position in the organization of a business
unit. It is one of the important line activi t i es of busine s s operat io n.
It consis t s of the owners h ip of goods. Goods are not complete
products until they are in the hands of the customer.
It is the process by which product s are made availab l e to the
ult im a te consume rs from their point of origin. It consists of all
those activities, which are meant to ensure the flow of goods & services
from the produce r to the consume r . There fo r e, marke t i ng
think i n g must start wit h crysta l l i za t io n of needs of consume r
segme n t of whic h the effo r ts will ult im a te l y be aimed. In terms of
needs, the product or service must be developed or improved so that
ultimately the product satisfies such needs of the consumer segment involved.
T o d a y m a r k e t e r , h a v e t o t a k e t o u g h d e c i s i o n s b e c a
u s e t o d a y ’ s m a r k e t p l a c e i s venomously more complex. Domestic
markets, at one time safe from foreign invaders are now the happy hunt i n g
ground s of giant globa l corporat i o n as well as globa l nic he
specialists. Major strides in technology have considerably shortened time
& distance. New products are launched & astonishing pace are available
(worldwide) in a short time Communicating ones media are proliferating
new distribution channels & formats keep appearing. Competitors are everywhere
& hungry

7. PAGE 6
OBJECTIVE
Themainpurposeofthisstudyisdeterminingthedifferentstrategiesthatareadoptedbythe
companies.Thestrategieswillbeevaluatedtoseewhichthebestamongstthemisand
whicharemosteffective.
 ACCEPTABILITY OF PEPSI PRODUCTS BY THE CONSUMERS AND
MARKETERS.
 IDENTIFYING THE COMPETITORS AND POSITIONING PEPSI IN
COMPARISON TO THEM.
 TO FIND OUT MARKETING STRATEGY OF PEPSI
 TO ANALYZE THE SWOT ANALYSIS OF PEPSI.
 TO KNOW ABOUT CUSTOMER VALUE OF PEPSI.
 TO KNOW ABOUT CUSTOMER PERCEPTION TOWARDS PEPSI BRAND
IMAGE
 TO KNOW ABOUT CUSTOMER SATISFACTION
 IMPACT OF MARKET STRATEGY ON CUSTOMER
 To know the sales promotion tools used by PepsiCo Company.
 To find out the best promotional tool preferred by the retailers.

8. PAGE 7
Scope of study
Scopeof study on PepsiCo India Ltd, the area of the study is CTC. In the
duration of study and project period, I observed that the market responseof
PepsiCo Product is in good position, but sales volume is not at par. The
Sales promotion policy of our company is affected due to competitor’s
Marketing strategy.
1. I prepared questioners on sales promotions to know the
response of current promotion packs given by company to retailers in
the market.
2. Through this project, I will come to know that which type of promotional
scheme outlets want.
3. I can easily know how the sale promotion affects the “Annual Sales
volume”.
4. We can know the percentage of exclusive and mixed outlets of PepsiCo
India products.
5. We can know the nature of outlets. (i.e. Seasonal vs. Non seasonal).
6. We can know the reaction of the outlets owners towards promotional
schemes.
7. Future forecast of sale after getting sale promotion to the outlets. Hence
we can say that, a well planed & future oriented sales promotion will give a
good sales volume

9. PAGE 8
COMPANY OVERVIEW
PepsiCo,Inc.,establishedin1965 throughthemerger ofPepsi-ColaandFrito-Layis a
worldleader in convenientfoodsandbeverages.ThecompanyconsistsofFrito-Lay
NorthAmerica, PepsiCoBeveragesNorthAmerica, PepsiCoInternationalandQuaker
FoodsNorthAmerica.PepsiCobrandsareavailable in nearly 200countriesand
territories. Itssuccessistheresultofsuperiorproducts,highstandardsofperformance,
distinctive competitivestrategies andthehigh level ofintegrity ofitsemployees.PepsiCo
offersproductchoicestomeetabroadvarietyofneedsand preference from fun-for-
you items to productchoices that contribute to healthier lifestyles. Thecompany's
principalbusinessesinclude:
• Pepsi-Colabeverages
• Frito-Laysnacks
• Tropicanajuices
• QuakerFoods
• Gatoradesportsdrinks

10. PAGE 9
PepsiCo’smissionis“Tobetheworld'spremier consumerproductscompanyfocused
onconvenient foodsandbeverages.Weseekto producehealthy financial rewards
to investors as we provide opportunities forgrowth and enrichment toour
employees, ourbusiness partners and the communities in which we
operate. And in everything we do,westrive forhonesty, fairness andintegrity.”The
companyhas twomajor divisions thatare operational in India. Thefirst division is the
traditional Beverages Division. Theseconddivision, and thesubjectmatter ofthis
report,is the SnackFoodDivision
The Beverages Division
Thecompanyhas37bottling plantsin India, andonecompany-ownedconcentrateplant.
Pepsikeepsitsconcentrateformula,asecret.Themain products are:-
PEPSI COLA MOUNTAIN DEW
DIET PEPSI MIRINDA

11. 7 UP SLICE
PAGE 10
TROPICANA JUICE AQUAFINA
Leher Everess Soda, Dukes Lemonade and Mangola
Thereis asubdivisionoftheBeverages division whichis underthename ofTropicana
Products,Inc.,parentcompanyheadquarteredinBradenton,Florida,andisadivision of
PepsiCo.InIndia,thecompanyisheadquarteredinGurgaon,Haryana. Keeping with the
corePepsithrusttowardyouth,Tropicanaisdedicatedtoproducingpurepremiumjuices
essentialforanactive andyouthfullifestyle. Thejuices ofthecommonlyavailable fruits
produced,packagedandmarketedbyTropicanacontainnaturally occurringcomponents
to promote good health. Witha50-plusyearhistoryofconsistentgrowthTropicana
todaystandsastheworld’sonlyglobalcitrusjuice business!

12. PAGE 11
HISTORY OF PepsiCo
Caleb Davis Bradham was born in Chinquapin, North Carolina, on May
27, 1867. After graduating from the University of North Carolina, Bradham attended the University of
Maryland School of Medicine in hopes of becoming a doctor.While attending schoolhe worked part-
time as a Unfortunately a family crisis forced Bradham to drop his pursuit in medicine and return home to
North Carolina. Upon returning, he taught schoolfor a short period of time before opening a drug store on
the corner of Middle and Pollock Streets in downtown New Bern. Bradham's Drug Store would later
become the very place Pepsi-Cola was invented. In 1893, “Brad’s Drink,” made from a mix of sugar, water,
caramel, lemon oil, nutmeg, and othernatural additives, became an overnight sensation.Despite its name
and hearsay,pepsin was never an ingredient of Pepsi-Cola.
On August 28, 1898, Bradham renamed his drink “Pepsi-Cola." He believed the drink was more than a
refreshment but a “healthy” cola, aiding in digestion, getting its roots from the word dyspepsia,meaning
indigestion.

13. In late 1902, the Pepsi-Cola Company was formed due to the rising popularity and demand for the Pepsi-
Cola Syrup with none other than Caleb Bradham as the first president.The business began to grow, and on
June 16, 1903, "Pepsi-Cola" became an official trademark. By 1904, the Pepsi-Cola Syrup sales reached
almost 20,000 gallons. As demand for the drink continued to rise, Bradham decided it was time to offer
Pepsi-Cola in bottles.By 1910 there were 240 franchises in 24 states and that year the Pepsi-Cola Company
held their first Bottler Convention in New Bern.
Hard times fell on Bradham and the Pepsi-Cola franchise during WWI. This was due to the high price and
severe rationing of sugar. This rationing prevented Pepsi-Cola from producing enough syrup to meet the
demands of consumers. Though Bradham attempted multiple substitutes forsugar, like molasses, the
outcome was always an inferior taste to the original. After the war ended sugarprices soared from 3 cents
to 28 cents per pound. Bradham purchased a large quantity of the high priced sugar, which would be a
factor to the company's downfall.
Page12
PepsiCola officially was bankrupt as of May 31,1923, and its assets were sold to Craven
Holding Corporation for $30,000.
After years of ups and downs, PepsiCo is now back on top. In 2013, Pepsi was ranked #1 on
CoreBrand's list of Most Respected Companies. The company was also ranked #41 on the
Fortune 500 list,

14. PAGE 13
INTRODUCTION TO INDUSTRY
BEVERAGES INDUSTRY
S o f t d r in k w a s s t a r t e d w it h t h e id e a o f q u e n c h in g t h e t h ir s t o f
t h e p e r s o n s tra ve ling. It wa s a lso fe lt tha t re lia ble good wa te r wa s
not a va ila ble e ve rywhe re . So people would rely on their packed bottle and
with the idea it made these drink available mostly at these place where water was
not available is on highways and long distance train. Slowly and slowly with its
beautiful tests these become very poplar and they are not only available in the markets and street
corner but also people have started keeping it in their houses. Parle export Pvt. limited is regard
as the first Indian company introducing
Limca
a Lemon drink Complimentary to their well entrenched gold spot in 1970. The
credit of popularizing the soft drink goes to coca cola this was the drink, which was linked, by
all ladies, gents and children. Now a day, the soft drink for quenching Thirst but it looks more
often they are taken of habits. Gold spot is considered as the first branded soft drink established.
Soft drinks market in India
Non-alcoholic soft drink beverage market can be divided into fruit drinks & soft
drinks. Soft drinks can be further divided into carbonated & non-carbonated drinks. Cola, lemon
& oranges are carbonated drinks while mango flavor comes under non-carbonated category. India
is one of the top five markets in terms of growth of the soft drinks market. The pe r c a pita
c onsumption of soft drinks in the c ountry is e stima te d to b e a round
6 bottles per annum in the year 2003. It is very low compared to the corresponding figures in US
(600+ bottles per annum). But being one of the fastest growing markets and by the sheer
volumes, India is a promising market for soft drinks. The major players in the soft

15. drinks market in India are PepsiCo and Coca-Cola Co, like elsewhere in the world. Coca- Cola
acquired a number of local brands like Limca, Gold Spot and Thumps Up when it
entered Indian market for the second time. PepsiCo’s soft drink portfolio also consists
of Miranda and 7Up along with Pepsi. The market share of each of the company is
more or less the same, though there is a conflict in the estimates quoted by different sources
The major ingredient in a soft drink is water. It constitutes close to 90% of the
soft drink content. Added to this, the drink also contains sweeteners, Carbon
dioxide, Citric Acid/Malice acid, Colors, Preservatives, Anti Oxidants and other emulsifying
agents, etc. The market in India is slowly moving from non-alcoholic carbonated drinks to fruit
based drinks and also to plain bottled water. Soft drinks market in India grew at as lowe r ra te
in 2003 a nd 2004 c ompa re d to 2002.In 2004, with 12% growth volume
reached over 3.0 billion liters. However, the growth rate marked a slowdown from
just be low 17% in 2002. This poore r pe rforma nc e ste mme d ma inly from
slowe r growth within carbonates. Bottled water and 100% juices continued to
expand at robust rates, appealing to the health conscious
PAGE 14
COMPANY PROFILE
PepsiCo entered India in 1989 and has grown to become one of
thec o untry’ s lead ing fo o d and b everage c o mp anies .
O ne o f the larges t multin at io n a linvestors 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.
PepsiCo provides direct employment to 4,000 people and indirect
employment to 60,000 people including suppliers and
distributors.P ep s iC o no uris hes c o ns umers with a range o f
p ro d uc ts fro m treats to healthy eats that deliver joy as well
as nutrition and always, good taste.
PepsiCo India’s expansive portfolio includes iconic
refreshment beverages Pepsi, 7 UP, Mirinda and Mountain
Dew, in addition to low calorie options such as Diet Pepsi,
hydrating and nutritional beverage such as Aquafina drinking water,
isotonic sports drinks - Gatorade, Tropicana100% fruit juices,
and juice based drinks Tropicana Nectars, Tropicana
Twister and Slice. Local brands – Lehar Evervess Soda, Dukes

16. Lemonade and Mangolaadd to the diverse range of brands. PepsiCo’s
foods company, Frito-Lay, is the leader in the branded salty
snack market and all Frito Lay products are free of trans -fat and
MSG. It manufactures
Lay’s Potato Chips, Cheetos extruded snacks, Uncle Chipps
and traditional snacksunder the Kurkure and Lehar brands.
PAGE 15
The company’s high fibre breakfast cereal,Q uake r O ats , a
nd lo w fat and ro as ted s nac k o p tio ns enhanc e the hea
lthful c ho ic es available to consumers. Frito Lay’s core
products, Lay’s, Kurkure, Uncle Chips and Cheetos are cooked in
Rice Bran Oil to significantly reduce saturated fats and all of
its products contain voluntary nutritional labeling on their packets. 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 and28 are franchisee owned. In addition to this, PepsiCo’s
Frito Lay foods division has 3state-of-the-art plants. PepsiCo’s
business is based on its sustainability vision of making tomorrow
better than PepsiCo’s commitment to living by this vision every
day is visible in its contribution to the country, consumers and farmers.

17. PEPSI.CO INDIA
PEPSI CO WITH CONSUMER PEPSI CO WITH INDIAN FARMER’S
PAGE 16
Manufacturer
PepsiCo.
Country of origin
United States
Introduced
16 June 1903

18. Indra Krishnamurthy Nooyi (born October 28, 1955 in Chennai,
Tamil Nadu,India) is the chairwoman and chief executive
officer of PepsiCo, the world's fourth-
larges t fo o d and Beverage C o mp any. O n Augus t 14,
2006, No o yi was named the Successor to Steve
Reinemund as chief executive officer of the company. She
was effectively appointed as CEO by PepsiCo's board of
directors on October 1, 2006.According to the polls Forbes
magazine conducted, Nooyi ranks fifth on the 2007 list of The
World's 100 Most Powerful Women
PAGE 17
MISSION AND VISION OF COMPANY
 MISSION OF PEPSI.CO:-
 “O ur miss io n is to be the world’s premie r consume r
ProductsC o m p a n y f o c u s e d o n c o n v e n i e n t f o o d s
& b e v e r a g e s . W e s e e k t o produce financial rewards
to investors as we provide opportunities for growth &
enrichme nt to our emplo yee s, our busine ss partners &
the communities in which we operate & in everything we do,
we strive for honesty, fairness & integrity.”

19.  VISION OF PEPSI.CO:-
 “PepsiCo’s responsibility is to continually improve all aspects of the
world in which we operate- environment, social, economic-
creating
a b e t t e r t o mo r r o w t ha n today. ” O ur vis io n is p ut i
nt o a c t io n t hr o u g h programs & a focus on environmental
stewardship, activities to benefit society, & a commitment to build
shareholder value by making PepsiCo truly sustainable company.
PAGE 18
Marketing is an integrated communications-based process through which individuals and
communities discover that existing and newly-identified needs and wants may be
satisfied by the products and services of others. Marketing is defined by the American as
the activity, set of institutions, and processes for creating, communicating, delivering, and
exchanging offerings that have value for customers, clients, partners, and society at large.
The term developed from the original meaning which referred literally to going to
market, as in shopping, or going to a market to buy or sell goods or services. The
Chartered Institute of Marketing, which is the world's largest marketing body, defines

20. marketing as "The management process responsible for identifying, anticipating and
satisfying customer requirements profitably. Marketing practice tended to be seen as a
creative industry in the past, which included advertising, distribution and selling.
However, because marketing makes extensive use of social
sciences,psychology,sociology,mathematics,economics,anthropologyandneuroscience,the
profession is now widely recognized a science, allowing numerous universities to offer
Master-of-Science (MSc) programmers’. The overall process starts with marketing
research and goes through market segmentation, business planning and execution, ending
with pre and post-sales promotional activities. It is also related to many of the creative
arts. The marketing literature is also infamous for re-inventing itself andits vocabulary
according to the times and the culture.
MARKETINGMIX:
Marketing mix, in strategic management and marketing is, according to Carlton O’Neal,
the percentage or proportion of the total available market or market segment that is being
serviced by a company. It can be expressed as a company's sales revenue (from that
market) divided by the total sales revenue available in that market. It can also be
expressed as a company's unit sales volume (in a market) divided by the total
volume of units sold in that market. It is generally necessary to commission market
research (generally desk/secondary research, although sometimes primary research) to
estimate the total market size and a company's market position
MARKETING MIX ANALYSIS:-
Marketing mix analysis is an important part of market analysis and indicates how
well a firm is doing in the marketplace compared to its competitors. It is a part of
marketing research process.
PAGE 19
Stages of marketing research process
ProblemDefinition:-
The first step in any marketing research project is to define the problem. In defining
the problem, the researcher should take into account the purpose of the study, the
relevant background information, what information is needed, and how it will be used in
decision making. Problem definition involves discussion with the decision makers,
interviews with industry experts, analysis of secondary data, and, perhaps, some

21. qualitative research, such as focus groups. Once the problem has been precisely defined,
the research can be designed and conducted properly.
Development ofan ApproachtotheProblem:-
Development of an approach to the problem includes formulating an objective
or theoretical framework, analytical models, research questions, hypotheses, and
identifying characteristics or factors that can influence the research design. This process
is guided by discussions with management and industry experts, case studies and
simulations, analysis of secondary data, qualitative research and
pragmatic considerations.
DataPreparationandAnalysis:-
Data preparation includes the editing, coding, transcription, and verification of data. Each
questionnaire or observation form is inspected, or edited, and, if necessary,
corrected. Number or letter codes are assigned to represent each response to each
question in the questionnaire. The data from the questionnaires are transcribed or key-
punched on to magnetic tape, or disks or input directly into the computer. Verification
ensures that the data from the original questionnaires have been accurately transcribed,
while data analysis, guided by the plan of data analysis, gives meaning to the data that
have been collected. Univariate techniques are used for analyzing data when there is
a single measurement of each element or unit in the sample, or, if there are
several measurements of each element, each RCH variable is analyzed in isolation. On
the other hand, multivariate techniques are used for analyzing data when there are two or
more measurements on each element and the variables are analyzed simultaneously
PAGE 20
Research and Methodology
The methodology used in conducting the research work on PEPSICO INDIA LTD
major emphasis on its Sale Promotion which involved the following steps:
I. Defining the problem and deciding researchObjective:-
A. Shortfall of the sales volume after giving huge promotional activity
towards outlets.
B. To get various information about PepsiCo Outlets.

22. II. Developthe Researchplan:
A plan was developed how to collect the required information i.e. whom to
contact for gathering the relevant data. Data is the foundation of all research
.It is the raw material for any research functions. Therefore, it requires great
care to select the sources of data. Data or facts may be obtained from several
sources. Data sources can either be
(Primary or Secondary)
.
A. Primary data:-
Collection of primary data was conducted by visiting various retail outlets for the
preparation of the thesis report.
• Personal Interview
• Questionnaire.
B. Secondarydata:-
The sources from which secondarydata was collected:
• Press releases of the company.
• Book, Magazines and Newspaper.
• Newsletters and in-house journals.
•Websites such as:
www.pepsicoindia.com,www.google.com,www.youngistaan.COM
PAGE 21
3. ContactMethod:
At fir s t I direc t ly met the retail stores & intro d uc ed myse l f as a
PGDM student & then collected the data required for my project work
such as Name of outlet, Address , Contact person, Contact numbe r ,
Type of shop, Monopo ly or Mix count e r, Visi cooler is given by the
company or own freeze, Stock in Visi, Quantity of each brand& at last Problems &
Demands.
Respondent:

23. •General Store
•Restaurant
•Fastfood centre
•Pay phone shop
•Juice centre
•Ice cream parlors
•Groceryshop
5. Collectionof information:
The primary information was collected by face-to-face and direct
inte r vi e w with the owners of outle t s at the CTC. They are
provide d with the rele va n t info r ma t io n regard i ng the profil e of
the compa ny. The seconda r y sources of information were various
websites of the company, newspapers & magazines such as education times
and times of India etc
PAGE 22
INTRODUCTION TO DATA ANALYSIS
PEST ANALYSIS
Inordertoscanthe external macro-environment inwhich PepsiCoIndia operates,it is necessarytoanalyze
various factorsthat notonly posedsomeserious threats butalsoinfluenced its effectiveness.
PoliticalConditions:-

24. 1. Although it beganits efforts in the mid-1980s,Pepsiwasabletomakeits entry into the Indian cola
market inJune, 1990.This wasbecauseofhigh excise duties andgovernment encouragement offruit
drinks overcarbonateddrinks.Itwasjointly launched byPepsiCo,Punjab Agro Industries
CorporationandVoltas.
2. Pepsigotinto trouble when within sixmonths afterits launch it caught government’s attention
regarding its commitment. Soonafter,ashow causenotice wasissued tothe companyfor prima facie
violation oftheconditions stipulated in theletter ofintent with regardstothe productionofsoftdrinks.
3. Pepsihadaverysignificant first mover advantage in India. Ithadobtainedthe government approval
for its downstreamventures priortotheFDIguidelines that madeIndian equity holding mandatory.
4. The government approvalthat Pepsiacquiredhadallowed Pepsitocarryoutacquisition ofassetsto
expandits business in thecountry. Pepsiusedthis clause tobuyout100%stakein some
domestic bottling companies including Gujarat Bottling Company, the former Coke
franchisee inAhmadabad.
Economic Conditions:-
1. The presentIndian soft drinks marketcanbebestdescribedasduopoly –the players being Pepsiand
CocaCola.Therefore, Pepsihas sufficient monopoly poweroverthe consumers.
2. India, soft drinks markethas afairly high price elasticity ofdemand which ensures that producers
must strikeabalance betweenpricesandsales volume. SoPepsihasdecidedtopegprices similar to
CocaColaand trytogain market shareandtrytogain market sharethrough vigorous promotional
activities.
3. Pepsiwaslaunched in India atthetime whenthecountry wastrying toopenupits economy andwas
facing serious doldrums. Soatthe period of economic instability, Pepsi had to face
problems to expand its operations.
PAGE 23
SocialConditions:-
1. Rising income ofmiddle class inIndia is apositive indicator forgrowth ofproductslike Pepsiand
CocaCola
2. Westernized andtrendyyouth population ofIndia is aanotherbig marketfor Pepsiproducts
3. Booming economy ,rising purchasing –powerofthepeopleandchanging mind setsarefactors
contributing tothe expanding demand ofthe Pepsiproducts.

25. TechnologicalConditions:-
1. Pepsihasthe technology tomaintain ahighly efficient distribution networkwhich allows it tosatisfy
theneedsofits customers throughout the country.
2. Pepsi’sownbottling plants gives it anedgeoverits competitors in terms ofquality ofthe product and
controloverthe product.
PAGE 24
SWOT ANALYSIS

26. Strengths:-
High BrandAwareness
Large number of
distributors(100+in Delhi)
WideproductofferingHigh
accessibility Large
advertising budget Wise
investments
Weakness:-
PowerfulFranchiseeInferior in
fountain
soft drink division
Opportunity:-
Per caps 8 oz in India vis a vis
868oz inUSALargeuntappedrural
populationSeasonality CUTTING
DOWNCOST
Threats:-
Controversies Lowbrandloyalty
Cheaper
andlarge numberofsubstitutes
Risk of losing market share
PAGE 25
STRENGTHS:-

27.  High brand awareness:- Pepsi is the worlds most famous #2 multibillion dollar
brand and the Pepsi is the largest FMCG brand in India.
 Large number of distributors:- the company has both franchise owned and
company owned operations in India. Pepsi in Delhi alone has more than 100
distributor. Delhi is totally franchise operations where as Punjab now totally
company owned.
 Wide product offering:- Pepsi is available in the glass bottles, aluminum cans and
PET bottles for home consumption. Fountains also dispense the, the disposal
containers. Also they provide a large number of flavors.
 High accessibility:- Pepsi products are available in shops in the most elite of malls
and the time in the smallest of the shops in the back lanes of the poor localities.
 Large advertisement budget:- Pepsi has the luxury to spend huge amounts on
advertising in a year. This enormous ad budgets allows Pepsi to reinforce their
products with reminder advertising and promotions. This large budget also allows
Pepsi to introduce new products and very quickly make the consumer become
aware of their newproducts
 Wise investments:- Pepsialsohas hadthegoodfortune ofmaking verywise investments. Someof
thebestinvestments have beenin their acquiring severallarge fast foodrestaurants.They have also
madewise investments insnackfoodcompanies like FritoLay, which atpresenttime is the largest
snackcompanyin the world.
PAGE 26
WEAKNESSES:-

28.  Powerful franchisee:- Ironically, the one strength that has beencredited for most ofits success in
the pasthas now become aweakness for Pepsi. This former strength is the franchise system. The
franchise system in PepsiCorporate view has become a liability. Pepsi in today’s market must be
able toact asone instead ofseveral separate units. The franchise system has become ahurdle to
Pepsi because many ofthese franchises have become very strong and will not bedictated by
PepsiCo onhow tohandle their operations. Some ofthese franchises areunwilling tosupport
certain Pepsiproducts and at times produce their ownprivate label products that are in direct
competition with Pepsi products Secondly the franchises are not willing to make
capital expenditures to keep up with coca-cola who is a firm believer in
reinvesting into their infrastructure.
 Inferior in fountain soft drinks division:- The franchise system has affected
fountain sales due to the fact franchisees are not willing to buy expensive fountain
equipment mainly because of the profit margin is so low and could take years to
recoup their investment.
OPPORTUNITY:-
 Per caps India is 8 oz vis a vis 868 oz in USA:- The consumption of
Pepsi in India is still regarded as luxury. An orthodox Indian would still prefer a
cup of tea of coffee to a bottle Pepsi. So in the even Pepsi can manage to change
their mindsets it would tap a huge untapped customer base.
 Cutting cost:- since there is tremendous scope for increasing the sale volume,
this also signifies potential to reduce costs per bottle and make the product more
affordable.
 SEASONALITY:- Pepsi is perceived to be a summer drink and max sales
happens in summer months. During winters an average Indian would still prefer a
cup of hot tea to Pepsi
PAGE 27

29. THREATS:-
 Controversies:- demonstration across India were organized by the research
foundation of science , technology and ecology (RESTE). Activities wanted the
firms to leave India because they said their plants depleted the ground water and
the soft drinks gaint strenuously denied. Also, the pesticide controversy was a big
threat to the company.
 Low brand loyalty:- if a consumer walk into a shop and he is offered a coke
instead of a Pepsi he would in all likelihood accept it. This basically means that
the company needs to present everywhere every time and that too chilled
otherwise it will result in the lost sale
 Low cost and large number of substitutes:- Traditional Indian family would still
prefer a glass of lassi or nimbu pani in summer and a cup of tea or coffee in
winters as compared to Pepsi Risk of losing the market:- coke is very strong
opponent and gives immense competitions to the Pepsi so there is a constant
threat of loosing market share since both th product are very similar and there is almost
no brandloyalty present amongst consumers
PAGE 28

30. FOUR ‘P’ ANALYSIS
Marketing mix ( four ‘P’s of marketing)
1 . M a r k e t i n g m i x i s a b y :-
p r o d u c t o f c u s t o m e r o r i e n t e d m a r k e t i n g a p p r o a c h . A
f t e r identifying the market & gathering the basic information about
it, the next step in the direction of market programming is to decide
upon the instruments & the strategy for meeting the needs of the
customers & challenges of rival sellers. According to W.J. Stanton, “
Marketing mix is a combination of four elements such as product,
pricing structure, distribution system & promotional activities used to satisfy the
needs of an organization’s target market & at the same time achieves
its marketing o b j e c t i v e s .
Page29

31. Every business enterprise has to determine its marketing-mix for thesatisfaction of
the needs of the customers. Marketing mix represents a blending
of decision in four areas product, pricing, promotion & physical distribution.
These elements are inter-related, because decision in one area usually affects
action in the others. Marketing mix is marketing manager’s instrument for
the attainment of marketing goals .
It is compose d of four ingre d ie n ts , i.e.
 produc t
 price
 promot i o na l activities
 distribution
These elements constitute the core of marketing system of
affirm marketing manager implements his
Strategies & policies through the
so instruments. Marketing mix represents a blending of four elements namely product,
price, promotion & distribution.
Price, promotion & distribution.
Determination of marketing mix is an important decisionwhich the marketing manager
has to take. The basic purpose of marketing mix is to satisfy the needs & wants of the
customer in most effective manner. As the needs of customers & the environmental
factors change, marketing mix is also changed
Page30

32. 1. PRODUCT:
A. WIDTH:ThePepsibeveragedivisionhasthefollowingproductlines:-
1 . S o f t D r i n k s
2 . J u i c e s ( T r o p i c a n a ) .
3 . M i n e r a l W a t e r
LENGTH:
Softdrink juices mineralwaters
Pepsi Tropicana Aquafina
Dietpepsi Gatorade
Mountaindew
Mirinda
7up
Page31

33. B. DEPTH:-
We will focus on the soft drink section here. The Pepsi cola comes in various sizes ranging from 300ml, 500
ml and2litters. Inaddition PepsiColais also available in330ml cans.
C. CONSISTENCY:
The different products in the soft drink section are all closely related. They share the same distribution
channel and aresupplied in the same manner. They also have a similar production process and the end
users arebyand large homogenous. Pepsi cola has alight, crisp and refreshing taste. It is the perfect drink
for the modern “Generation Next” people. The product comes in 300ml glass bottles,500 ml pet
bottles and in 2 liters. The product targets the upwardly mobile with its trendy design and is a
premium product from the house ofPepsi. It has ashelf life of 6month
2. PRICE:
Pepsi’spricingstrategy is largely formulated bykeeping its rivals, Coca-Cola,pricing
strategy in mind. Thereverse is also true. Boththe productsarenotdifferentiable and are
near perfectsubstitutes.Another important factorhere is that the sales arevolume
driven; hencepriceneedstobekeptatan appropriatelevel. Listed below arethe prices
ofthe variants -
3 0 0 ml i s f o r R s 1 2 5 0 0 ml i s f o r R s 3 2
2 l i t e r i s f o r R s 8 5 . 3 3 0 ml c a n f o r R s 2 5
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34. 3. PROMOTION:
The soft drinks market in the country relies heavily on promotion to sell its products. The presence of close
competition makes it necessary for both Pepsi and Coca-Cola to hard sell their products. The
leading products offered by both the companies are very similar. The companies try
aggressively to build loyalties for their respective brands by playing on emotions and aspirations of its
consumers. They have roped in cricket players and film stars to attract and create interest in their
products. Pepsi especially has been advertising using a number of cricketers to associate Pepsi Cola with
their success. A Pepsispokespersonsays promotions have worked verywellfor the companyandhavehelped
reinforce the brand personality. The `Pepsi Cool Maal’ scheme in June-July 1998 targeted at schoolchildren
met with a phenomenal response because the premier comprised items that school kids needed and ``yet
had a lot of attitude''. The previous year, the company ran a `Pepsi Stuff' promotion that
offered young people arange ofoffers, both free and discounted, oncinema tickets,
Mobile recharge, apparel, music and soon.
Page33

35. TV Ads:– Pepsihas beenbombarding the Indian customers with a periodical onslaught of
creative advertisements aimed at the youth of the country. Early on,Pepsiidentified three broad
platforms cricket,movies andmusic. Ithasropedinthe biggest starsfromthe film industry andthe cricketing
fraternity. Peopleendorsing Pepsiinclude bollywood superstarsAmitabh Bacchan &ShahRukh Khanwith a
hostofotheractors.FardeenKhan,SaifAli Khan,PrietyZinta, KareenaKapoor,priyanka copra, Ranbeer
Kapooramongthe morepopular ones.
Page34

36. Ithasropedin most ofthe members oftheInter-national cricket team.FromSuperstarSachin Tendulkar to
Rahul Dravid, SoravGanguly, YuvrajSingh, Dhoni ,Rohit Sharma etc.Pepsistartedhiring cricket starsvery
earlyand setatrendin themarket. Italsobrought international music starslike Michael Jackson,RickyMartin,
DeepPurple andDefLeopardamong otherstothe country.
(Pepsiad with Indian cricketers) (Pepsiad with music stars)
Pepsibeganadvertising earlywith its veryeffective ‘A-Ha’campaign. A-Hacreatedanew idiom. The tagline
which wasbuilt into asongbrought instant attention theproduct.Having Remo Fernadessing “
yehi hai right choicebaby…a-ha”
caught theattention ofthe youth. Then cameAkshayKumar with the“I wanna bemast” campaign. Pepsi
choseits ambassadorsin amanner which ensured curiosity andthen lasting interest in theyouth ofthe country.
Pepsihasoverthe yearscomeup with catchyslogans like Generation Next,YehDil Maange More,The
choice ofanew generation etc.Pepsialsoassociatesitself with cricket which is byfar the mostpopular activity,
sport,modeofentertainment in thecountry. Itevenlaunched anewbrandbythename of‘PepsiBlue” during
thelast cricket world cuptocashonthefact that thecoloroftheplayers’ uniform is blue.. Inanearlier episodeof
thesame event where Pepsihadlost outtorival Coca- Colain gaining the official sponsorship, Pepsi came
out with anaggressive and creative campaign, where it positioned itself as the “unofficial drink” as
opposedto coke’s strategy. It signed up anumber ofnational aswell asinternational stars, mouthing the
tag line “nothing official about it”.
The company has also time and again sponsored anumber ofcricket tournaments. It recently came up
with the ‘Toss kaBoss’ contest which saw fans join the two captains onthe field for the coin toss. Pepsi
also came out with a series ofads poking fun at rival Cokeand its brand ambassadors. This was
done with a fair degree of success as it had everybody from the road side vendor to the BBC
correspondents talk about it. Another recent campaign which created controversy was the‘OYE
BUBBLY’ campaign. It used avoice over which boresimilarity tothe voice of Coke’sbrand ambassador
Virender Sehwag. Pepsihas created quite astir with the ‘OYE BUBBLY’ campaign. It shot amusic
video with Amitabh Bacchan, Sachin Tendulkar and other players from the cricket team. It released an
audio cassette and CD with the song onit. This campaign in particular has beenvery successful thanks to
the catchy tune and adsfeaturing Shah Rukh Khan.
Page35

37. 4. PLACE
How does bottle of PEPSI reach you…..
Tobringtheproducttotheconsumerbyproperdistribution managementto:-
Fordistribution purpose Pepsiuses 2
level distribution channel which contain two intermediaries between the bottling factory and the final
consumer. The Company does its selling byusing company owned distributors or franchisee owned
distributors. Worldwide Pepsi relies onfranchisee but in India it uses both company owned and franchise
owned operations. Pepsi uses two methodologies for distribution in India
1. Company owned distributors
2 . Fra nc hi s e o wne d
Page36
A. COMPANYOWNED:-

38. Here the company owns all the vehicles, the employees are on company roles. The advantages of such a
process are that the company has direct control over the entire distribution process, it also gives the
company higher flexibility. The disadvantages of such a process are that it involves huge
investments. This method is followed in Punjab Pepsi is currently available with the other Pepsi
products at:
 Convenience Stores
 Restaurants
 Grocers
 Entertainment Centers
 Offices andInstitutions
 Eateries
 Educational Institutions
 Hotels
B. FRANCHISEE OWNED:-
This is like outsourcing wherein the company out sources its distributing related work to another party.
Company has less control owner the distributor. All the investments like vehicles, Employees salaries etc
are made bythe distributor who in return gets a margin (around 18-20%).Advantages of using this
scheme is that the fixed investments and other distribution related expenses ofthe company are less. The
disadvantages arethat the company has lesser control over the distribution process. This method is
followed in Delhi.
Page37

39. STP ANALYSIS:-
(SEGMENTATION,TARGETING,POSITIONING)
1. SEGMENTATION:-
a. Geographic
The region of interest of PepsiCo, India is the whole of India with special focus on “ Next
Generation”
b. Demographic:-
Age- Anybody of the age between 12-29
Income – Anybody with Rs.12 in their pocket.
Occupation – Basically students and the youngsters
Social Class – Middle Class, Upper Middle, lower Upper and Upper Uppers.
c. Psychographic:-
Personality – It is to be a modern “Next Generation” drink and one
associates this drinks with youngsters.
d. Behavioral:-
Benefit – Style, price(economical), quenches thirst
Users Status:- Regular drinks of soft drinks
Buyers – Anybody who has Rs.12 in his pocketbut basically youngsters.
Age wise consumption pattern:-
Page38

40. 2. TARGETING:-
Pepsi is worldwide associated with the urban youth. , Pepsi prefers to segment itself as the beverage choice
of the “New Generation”, Generation Next, or just as the “Pepsi Generation”. These terms adopted in
Pepsi’s advertising campaigns are referring to the markets that marketers refer to as Generation X. The
Generation X consumer is profiled to be between the ages of 18 to 29. They have high
expectations in life and are very mobile and active. They adopt a lifestyle of living fortoday and not
worrying about long term goals. Thus Pepsi’s main emphasis is on this segment they also have a focus on
the 12 to 18 yearold market. Pepsi believes if they can get this market to adopt theirproduct then they
could establish a loyal customer for life.
Page39

41. 3. POSITIONING:-
Pepsi has acompetitive advantage over Cokebecause of the image it portrays. Pepsi promotes itself
as the choice of the “New Generation”. Pepsi gets this advantage byimplementing such large
marketing projects like “Project Globe”. This marketing plan, which Pepsi spent 637million dollars over
five years, is to introduce the new rich deep blue coloring of
its packaging. The richdeepblue coloring representseternal youthfulness andopennessPepsihas always
spokentothe youthconsistently, single mindedly andinnovatively, andthat is aposition that theyhave never
vacatedSlogans like ‘Yehdilmaange more’, ‘Yehi hai right choice baby’,‘Yehpyaashai badi’ or now
‘Oye Bubbly’, ‘Oh yes Abhi’. are made with the intent to attract the youth .
The ideais tolookforcatchyphrasesthat theyouth would catchontoandthenmake it partoftheir lives. Pepsi
hashadsomany lines thathave becomeconsumer currency; Bubbly wasalsointended tobelikewise.
Pepsihasalways spokentothe youthconsistently, single mindedly andinnovatively, andthat is aposition that
theyhave never vacatedSloganslike ‘Yehdil maange more’, ‘Yehi hairight choice baby’,‘Yehpyaas
hai badi’ or now ‘Oye Bubbly’, are made with the intent to attract the youth .Theideais tolook
for catchyphrasesthat the youthwould catchontoandthenmakeit partoftheir lives. Pepsihashadsomany
lines thathave becomeconsumer currency; Bubbly wasalsointended tobelikewise.
Page40

42. A. Sale Promotion:-
Sales promotion is one of the 5 aspects of promotiona l mix. (The other
four parts of the promotiona l mix are advertising, personal selling, direct
marketing and publicity/publicr e l a t i o n s . ) M e d i a a n d n o n -
m e d i a m a r k e t i n g c o m m u n i c a t i o n a r e e m p l o y e d f o r a pred
etermined, limited time to increase consumer demand, stimulate market
demand or improve product availability.
Examples:
 Under the crown (UTC)
 Refilling.
 Point of purchase displays
 Rebates etc.
Sales promotions can be directed at the customer, sales staff, or
distribution channel members (such as retailers). Businesses can target
sales promotions at three different audiences: consumers, resellers, and the
company's own sales force. Sales promotion acts a s a c ompe tit i ve we a pon by
provid in g a n e xtra inc e ntive for the ta rge t a udie nc e to purchase or
support one brand over another. It is particularly effective in spurring product trial and
unplanned purchases. Most marketers believe that a given product or service Hassa n
e sta blis he d pe rc e ive d pric e or va lue , a nd the y use sa le s
promot ion to c ha nge this price-value relationship by increasing the
value and/or lowering the price. Compared to the other components of the
marketing mix (advertising, publicity, and personal selling),sa le s promotio n
usua lly ope ra te s on a shorte r time line , use s a more ra tiona l
a ppe a l, re turns a tangible or re a l va lue , foste rs a n imme dia te
sa le , a nd c ontribu te s high ly
to profita b il it y. Ac tivit ie s , ma te ria ls , de vic e s, a nd te c hniq ue s
use d to supple me n t the advertising and marketing efforts and help
coordinate the advertising with the personal selling effort. Sweepstakes
are among the best-known sales promotion tools, but other examples
include special displays, coupons, promotiona l discounts, contests, and
gift offers.
My subject of study is that how the company’s promotional schemes stimulates the
products demand and how the retailers response over scheme,
w h a t n a t u r e o f t h e o u t l e t s ( i . e . s e a s o n a l & n o n -
s e a s o n a l ) , h o w t h e y k n o w a b o u t promotional scheme (i.e.
through SMS, salesman, CE etc), whether the outlets prefer to sell RGB
[Regular glass bottle], PET [plastic bottle], CAN, Acquafina mineral
water, Leher soda.
Page41

43. FINDING AND SUGGES TIONS :-
FINDINGS:-
1.The most basic objective of any sales promotions is to provide extra value
that encourages purchase.
2. Short term sales increase is required to reduce inventory.Promotions like price-off or
bonus pack gives large & immediate benefit.
3. Sales promotion schemes like price-off or free gift inducecustomers to buy a new
brand.
4. Trade promotions are designed to gain distribution and shelf space.
5. Sales promotions give the consumer an incentive to buy.
6. Sales promotion can be measured objectively to judge their success.
7. PepsiCo gives various promotional tools (VisiCooler, Racks,
Signboards, POP displays) and profitable schemes to the retailersthat increase their sales
volume.
8. Promotional expenditures ultimately increase sales volume.
9. Pepsi provides its products at a special price to various shopping malls such as Big
Bazaar, Pantaloons, D mart, In and out, Sasta Bazaar. Reliance Fresh etc with an aim to
promote the Brands.
Page42

44. SUGGESTIONS:-
1. Company should give knowledge to the salesman about the promotional Scheme so that t
hey can better understand the importance of promotional activities.
2. There should be a regular meeting between distributor & company about the
implementation of sales promotion.
3. Fast repairing of ViSi Cooler will gain the faith & goodwill of the customer.
4. Company should provide racks to more outlets to keep Pet bottles for display.
5. Company should adopt the promotional activities properly and not in a trial and error
method.
6. Company should arrange training or Seminar programs
for retailersto make them aware about the company’s sales objective and enhance their
selling ability.
7. Company should provide more profitable schemes so that the retailers can happily accept
it.
8. Company should spend more on Promotional schemes on the weaker products like Pepsi,
M.dew etc to boost up Sales.
9. C o m p a n y s h o u ld e m p h a s is o n s e llin g p e r b o t t le s f o r
2 0 0 m l & 3 0 0 m l a t a lo w e r d if f e r e n c e p r ic e ; it is p o r t a b le
a n d c o n v e n ie n t t o c a r r y .
10. C o n s u m e r p r e f e r e n c e c h a n g e a c c o r d in g t o a v a ila b i l i t y ,
t h e r e f o r e t h e c o m p a n y s h o u ld p r o v id e t h e ir b r a n d s a t
m a x im u m o u t le t s a t possible.
11. C o m p a n y s h o u ld t a k e c a r e o f c le a n lin e s s o f t h e b o t t le s
r u s t e d c r o w n a n d m a in t a in t h e q u a lit y o f t h e p r o d u c t
e s p e c ia lly a t t h e t im e o f p a c k a g in g .
12. C o m p a n y s h o u ld g e t t h e s c h e m e s p r in t e d o n t h e la b e ls o f
t h e bottles/products as well as on the free items provided with softd r in k s o t h a t
c o n s u m e r g e t s a w a r e a b o u t t h e s c h e m e s a n d n o t c h e a t e d
b y t h e r e t a ile r s
13. C o m p a n y s h o u l d c o n d u c t s u r v e y q u a r t e r l y t o s e e
w h e t h e r c o n s u m e r s a r e s a t i s f i e d w i t h t h e p r o d u c t a n d
s e r v i c e s .
14. C o m p a n y s h o u l d e n c o u r a g e t o t h e c o n s u m e r s t o
p u r c h a s e m o r e a n d s o f t e r d r i n k s s o a s t o d e v e l o p t h e
t a s t e a n d s a l e s
Page43

45. Limitation of Study :
The major limitation of the study was that the depth study in the subject could not be
done because of limited time.
The other limitations are:
 The company doesn’t declare all the data & the internal data are kept
confidential.
 Though every sincere & possible effort has been made to collect the data, some
retailers were uncooperative in providing the actual data.
 The project is done in CTC may not represent the figure of the whole India.
 Since the data collected was representative based the accuracy is questionable.
 Some questions created confusion among the respondents.
 The respondents were not interested to fill up the questionnaire due to lack
of interest.
 The sample has taken only 20 respondents. They may not represent the
whole population.
 Lack of secondary data Collection of the recent brochures, in house journals, etc
of the company was relevant to a little extent. But most of the necessary
information is not available in the company.
Page44

46. THE COLA WARS:-
Notwo companies could be more alike, or more different! Both have been selling products to
quench thirst for over a hundred years and both are now global brands. Their products moved
through the world’s most pervasive networks.1
Distribution:- Pepsi has taken the more capital intensive route of owning and
running its own bottling factories alongside those of its franchisees whereas Coke operates only
through FOBOs (Franchise Owned Bottling Operations). Pepsi in India has a more organized
streamlined channel of distribution where as Coca Cola in its distribution channel. Pepsi has over a
hundred distributors (both company owned and franchise owned) in Delhi alone where as coke has
much fewer distributors and relies more heavily on wholesalers directly for their sales and distribution.
Brand Synchronization:- Despite being a global brand, Pepsi has built its success
on meeting the Indian consumer’s needs. It has synchronized the brand with localized events and
traditions .
For example, in Delhi, it linked with Holi, offering sachets of color with Pepsi cola.
In Chennai, it offered free bottles with order of idlis.
Where coke, instead of creating a bond with its customers through small events,
It chose the associate itself with national and international mega events like the cricket world cup,
Olympics and Pepsi IPL.
Diversification: - PepsiCo has increasingly diversified into snacks and restaurants with
coca-cola has focused only on soft drinks. PepsiCo snacks operations are in Frito-Lay and its
restaurant business includes Pizza Hut, Taco Bell and KFC. All of coke’s profits come from
beverages where as PepsiCo depends on drinks 41% of its income
Page45

47. CONCLUSION
Pepsi Inc., as built reputation around the world as a major player in the soft drink market
as well as the leader in the snack food industry. This has been done by creating a
wholesome environment for their customers all the while maintaining its integrity. This
can be seen in the marketing mix which is the successful mix such as product, price,
promotion and distribution. But in PepsiCo distribution must understand the importance
of an efficient distribution and logistics management system in reducing costs and
creating value for customers. An effective marketing program brings together all of the
elements of the marketing mix to achieve the organization’s marketing objectives by
delivering to customers what they want and need. Thus, the most successful
SALES PROMOTION is a promise made to the consumers & retailer by the
company. Sales promotion, not only has Functional and Mental dimensions but
also Social and Spiritual dimensions. The challenge in front of Indianorganizations today
is to first understand and then satisfy the needs of thecustomers. The needs of the custom
ers today are experiences and not just the products. The Indian Organizations have to con
centrate on delivering theexperiences to the customers leading to satisfaction and
association with all the dimensions of the brand. These experiences can be delivered by
involving the customer in the supply chain which demands improvement from the
organization in terms of training the employees and aligning the culture to deliver value
to the customers. The participation of the customers can be ensured by using novel
methods of communication and branding. The Profit and Sustainability of Indian Brands
will depend on how efficiently and quickly the organization can adapt to these new demands
ofthe customers.
Page46

48. BIBLOGRAPHY:-
BOOKS:
1. Saxena,Ranjan, ‘Marketing Management’,
2. Kotler,Philip,.
3. C.R.Kothari,Business Researchmethodology, Newagepublication.
4. OXFORD dictionary
MAGAZINES,JOURNALS&NEWSPAPERS:-
1. Businessworld.
2.EconomicsTimes
Websites:-
www.pepsicoindia.com,
.wikipedia.com,
www.google.co.in,
www.youngistaan.com
www.scribd.com
Page47

49. Questionnaire
1.Name of Outlets: ……………………………………..
2.Contact Number: ……………………………………..
3.Location of Outlets: ………………………………….
4.Name of Distributor: …………………………….
5. Nature of Outlets:
a ) S e a s o n a l :
b ) N o n - S e a s o n a l :
6.Type of Outlets: Mixed: Exclusive:
7.FocusBrand:RGB/PET/CAN/MineralWater/Soda
8.HowyouknowaboutScheme:SMS/Salesmen/C.E/Othersources
9.Which Scheme you know: ……………………………
10.WhichtypeofSchemeyoureceived:………………………………
11.Whichtypeofschemeyouappreciate:……………………………..
12.Howtheprocessestogettingschemeare:Slow/Fast…………………
13.Doesthesalesmandailyvisityourstore?Y/N………………………
14.Doesthesalesmantellyouaboutcompany’sScheme:Y/N……………
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50. 15.IsAnyAgreement:Yes/No.Ifyes,then
1.withPSI:……………………………………………………………..
2.withCCX:…………………………………………………………..
16.DoyouknowthenameofC.E?...........................................................................
17.PromotionaltoolsAvailable:Rack/Visi/Signboards/pop
Display………………………………………………………………….
18.DoyoupurchasePepsiCoproductsifoffersaregiventoyouevenifyouhavealarge
stock?.......................................................................................................................................
19.WhydoyousellPepsiproducts?Highmargin/High Customerdemand/More
schemes/Productquality&packaging/heavy
Advertisement…………………………………………………………………
20.AreyousatisfiedwiththetotalmarketingeffortofPepsiCo?Y/N………………
21.Problem/Suggestion…………………………………………………………
Signature
Page49