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Comparative Analysis Coca-Cola Vs Pepsi

Coca Cola Vs Pepsi Comparative Analysis

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Comparative Analysis Coca-Cola Vs Pepsi

  1. 1. S u n i l K r A h i r w a r M B A I B , M a r k e t i n g A s s i g n m e n t S e c - A Page 1 Assignment on Marketing for Manager Amity International Business School Amity University Noida 125 SUNIL KR. AHIRWAR SECTION-‘A’ COURSE- MBA-IB, 1 Sem. SUBMITTED TO FACULTY ENRL NO- A1802015133 Ms. SHALINI GAUTAM AMITY INTERNATIONAL BUSINESS SCHOOL 2015-1017
  2. 2. S u n i l K r A h i r w a r M B A I B , M a r k e t i n g A s s i g n m e n t S e c - A Page 2 COMPETITIVE ANALYSIS BETWEEN COKE & PEPSI EXECUTIVE SUMMARY This project is an extensive research on the marketing strategies of the two Cola giants Pepsi & Coca Cola. It covers an extensive survey & depicts all graphs, fact & figures of two companies. It begins with the introduction of soft drink industry & introduction of these two companies of soft drink industry. It covers some of the major strategies adopted by Pepsi & Coca-Cola like their pricing policy, sales promotion & advertising policy, distribution policy etc. The project has been made interesting with the inclusion of the topics, which covers the 4P’s of marketing. The dilemma that all marketers are facing is getting the maximum done in the minimum possible time. & with brand loyalty becoming a thing of the past, given the choice available to the consumer pull. The consumer could be a purchaser of end products, or a financial investor, or even an industrial purchaser. Everywhere, there is a new thrust on marketing & advertising. The hyper activity in the market place is seeing a boom in support services, with a number of independent agencies mushrooming to provide them. Co-related to the market book, services are well on their to becoming a major industry. The creative leap is increasingly being governed by market realities & consumer research. & Clint interface is no longer limited to the Clint service people, but including all specialists in agencies. The entry multinational products in to the country are seeing more emphasis aid world- class quality. This along with the loosening of regulations is seeing export gaining ground. From thinking along the lines of merely exporting spares & raw material the exporters & now looking towards finished products. A multiplier to this is the joint venture companies looking at becoming export manufacturing bases.
  3. 3. S u n i l K r A h i r w a r M B A I B , M a r k e t i n g A s s i g n m e n t S e c - A Page 3 INTRODUCTION: In the modern urban culture consumption of soft drinks particularly among younger generation has become very popular. Soft drinks in various flavors & tastes are widely patronized by urbane population at various occasions like dinner parties, marriages, social get together, birthday calibration etc. children of all ages & groups are especially attracted by the mere mention of the word soft drinks. With the growing popularity of soft drinks, the technology of its production, preservation, transportation & or marketing in the recent years has witnessed phenomenal changes. The so-called competition for this product in the market is from different other brands. Mass media, particularly the emergence of television, has contribute to a large extent of the ever growing demand for soft drinks the attractive jingles & sport make the large audience remember this product at all times. In any marketing situation, the behavioral / environmental variables relating to consumers, competition & environment are constantly influx. The competitors in a given industry may be making many tactical maneuvers in market all the time. The may introduce or initiate an aggressive promotion campaign or announce a price reduction. The marketing man of the firm has to meet all these maneuver & care of competitive position of his firm & his brand in the market. The only route open to him for achieving this is the manipulation of his marketing tactics. In today’s highly competitive market place, three players have dominated the industry; The New York based Pepsi Company Inc. The Atlanta based coca- cola & U.K. based Cadbury Schweppes. Through the globe, these major players have been battling it out for a bigger chunk of the ever –growing soft drink market. Now this battle has been evolved up to India too with the arrival of these three giants. Soft drink industry is on amazing growth; ultimately these are only one person who will determine their fortunes. The Indian consumer the real War to quench his thirst has just begun.
  4. 4. S u n i l K r A h i r w a r M B A I B , M a r k e t i n g A s s i g n m e n t S e c - A Page 4 COCA –COLA COMPANY PROFILE Coca-Cola is a carbonated soft drink sold in stores, restaurants, & vending machines in more than 200 countries. It is produced by The Coca-Cola Company of Atlanta, Georgia, & is often referred to simply as Coke. Originally intended as a patent medicine when it was invented in the late 19th century by John Pemberton, Coca-Cola was bought out by businessman Asia Griggs Candler, whose marketing tactics led Coke to its dominance of the world soft-drink market throughout the 20th century. The company produces concentrate, which is then sold to licensed Coca-Cola bottlers throughout the world. The bottlers, who hold territorially exclusive contracts with the company, produce finished product in cans & bottles from the concentrate in combination with filtered water & sweeteners. The bottlers then sell, distribute & merchandise Coca-Cola to retail stores & vending machines. Such bottlers include Coca-Cola Enterprises, which is the largest single Coca-Cola bottler in North America & Western Europe. The Coca-Cola Company also sells concentrate for soda fountains to major restaurants & food service distributors. The Coca-Cola Company believes our business has always been based on the trust consumers everywhere place in us—trust that is earned by what we do as a corporate citizen & by our ability to live our values as a commercial enterprise, there is much in our world to celebrate, refresh, strengthen & protect. Through our actions as local citizens, we strive every day to refresh the marketplace, enrich the workplace, preserve the environment & strengthen our communities. At the heart of our business is the trust consumers place in us. They rightly expect that we are managing our business according to sound ethical principles, that we are enhancing the health of our communities, & that we are using natural resource responsible. The Coca Cola Company started operations in India in 1993 after an absence of 16 years. To reach India's 300 million soft-drink consumers, the company distributes its products through over 700,000 retail outlets Coca Cola India directly employs over 7000 workers. Over the past nine years, the company has invested over US$ 827 million in India with over US$ 800 million in its bottling subsidiary. Significant growth has come from Kinley, its packaged water brand, which claims to have around 35 per cent share of the packaged drinking water market
  5. 5. S u n i l K r A h i r w a r M B A I B , M a r k e t i n g A s s i g n m e n t S e c - A Page 5 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 in 1993 & made significant investments to ensure that the beverage is available to more & more people, even in the remote & inaccessible parts of the nation. Coke had entered the Indian soft drinks market way back in the 1970s. The company was the market leader till 1977, when it had to exit the country following policy changes regarding MNCs operating in India. Over the next few years, a host of local brands emerged such as Campa Cola, Thumps Up, Gold Spot & Limca etc. However, with the entry of Pepsi & Coke in the 1990s, almost the entire market went under their control.
  6. 6. S u n i l K r A h i r w a r M B A I B , M a r k e t i n g A s s i g n m e n t S e c - A Page 6 HISTORY Coca-cola in India Coca-Cola, the corporation nourishing the global community with the world’s largest selling soft drink concentrates since 1886, returned to India in 1993 after a 16 year hiatus, giving new thumbs up to the Indian soft drink market. In the same year, the Company took over ownership of the nation’s top soft-drink brand & bottling network. It’s no wondering our brands assumed an iconic status in minds of world’s consumers. A Healthy Growth to the Indian Economy Ever since, Coca-Cola India has made significant investments to build & continually consolidate its business in the country, including new production facilities, waste water treatment plants, distribution systems, & marketing channels. Coca-Cola India is among the country’s top international investors, having invested more than US$ 1 billion in India in the first decade, & further pledged another US$100 million in 2003 for its operations. A Pure Commitment to the Indian Economy The Company has shaken up the Indian carbonated drinks market greatly, giving consumers the pleasure of world-class drinks to fill up their hydration, refreshment, & nutrition needs. It has also been instrumental in giving an exponential growth to the country’s job listings. Creating Enormous Job Opportunities With virtually all the goods & services required to produce & market Coca-Cola being made in India, the business system of the Company directly employs approximately 6,000 people, & indirectly creates employment for more than 125,000 people in related industries through its vast procurement, supply, & distribution system.
  7. 7. S u n i l K r A h i r w a r M B A I B , M a r k e t i n g A s s i g n m e n t S e c - A Page 7 PEPSI COMPANY PROFILE Pepsi is a carbonated soft drink that is produced & manufactured by PepsiCo. Created & developed in 1898 & introduced as "Brad's Drink", it was later renamed as Pepsi-Cola on June 16, 1903, then to Pepsi in 1961. It is one of the most well-known brands in the world today available in over 160 countries. It has an extremely positive outlook for India. This reflects that India holds a central position in Pepsi's corporate strategy. India is a key market for Pepsi co, & at the same time the company has added value to Indian agriculture & industry. PepsiCo entered India in 1989 & is concentrating in three focus areas- Soft drink concentrate, snack foods & vegetable & food processing. Faced with the existing policy framework at the time, the company entered the Indian market through a joint venture with Volta’s & Punjab Agro Industries. With the introduction of the liberalization policies since 1991, Pepsi took complete control of its operations. The government has approved more than US$ 400 million worth of investments of which over US$ 330 million have already flown in. One of PepsiCo's key strategies was to develop a completely local management team. Pepsi has 19 company owned factories while their Indian bottling partners own 21. The company has set up 8 Greenfield sites in backward regions of different states. PepsiCo intends to expand its operations & is planning an investment of approximately US$ 150 million in the next two-three years.
  8. 8. S u n i l K r A h i r w a r M B A I B , M a r k e t i n g A s s i g n m e n t S e c - A Page 8 Pepsi History Pepsi was originally named "Brad's Drink", after its creator, Caleb Bradham, a pharmacist in New Bern, North Carolina. It was created in the summer of 1893 & was later renamed Pepsi Cola in 1898, possibly due the digestive enzyme pepsin & kola nuts used in the recipe. Bradham sought to create a fountain drink that was delicious & would aid in digestion & boost energy In 1903, Bradham moved the bottling of Pepsi-Cola from his drugstore into a rented warehouse. That year, Bradham sold 7,968 gallons of syrup. The next year, Pepsi was sold in six-ounce bottles, & sales increased to 19,848 gallons. In 1926, Pepsi received its first logo redesign since the original design of 1905. In 1929, the logo was changed again. In 1929, automobile race pioneer Barney Oldfield endorsed Pepsi-Cola in newspaper ads as "A bully drink...refreshing, invigorating, a fine bracer before a race". PepsiCola Trademark The original trademark application for Pepsi-Cola was filed on September 23, 1902 with registration approved on June 16, 1903. In the application's statement, Caleb Bradham describes the trademark as an "arbitrary hyphenated word "PEPSI-COLA", & indicated that the mark was in continuous use for his business since August 1, 1901. The Pepsi-Cola's description is a flavoring-syrup for soda water. The trademark expired on April 15, 1994. A second Pepsi-Cola trademark is on record with the USPTO. The application date submitted by Caleb Bradham for the second trademark is Saturday, April 15, 1905 with the successful registration date of April 15, 1906, over three years after the original date. Curiously, in this application, Caleb Bradham states that the trademark had been continuously used in his business "& those from whom title is derived since in the 1905 application the description submitted to the USPTO was for a tonic beverage. The federal status for the 1905 trademark is registered & renewed & is owned by PepsiCo, Inc. of Purchase.
  9. 9. S u n i l K r A h i r w a r M B A I B , M a r k e t i n g A s s i g n m e n t S e c - A Page 9 Mission & Vision Mission of Coke ¨ To refresh the world in mind, body & sprit. ¨ To create a value in brands & difference everywhere we engage. ¨ To do everything differs. ¨ Our product in each hand. ¨ Being a global leader in beverage. Mission of Pepsi PepsiCo mission is to be the world's premier consumer Products Company focused on convenient foods & beverages. We seek to produce financial rewards to investors as we provide opportunities for growth & enrichment to our employees, our business partners & the communities in which we operate. & in everything we do, we strive for honesty, fairness & integrity. Vision of coke ¨ Profit: Maximize the return of shareholder. ¨ People: Establish a great place to work where people are inspired to the Best they can do. ¨ Portfolio : Bringing to the world a portfolio of beverage brands that ¨ Anticipate & safely people’s desire & need. ¨ Partners: nurturing a winning network of partners & building a mutual Loyalty. Vision of Pepsi co. Pepsi co vision is put into action through programs & a focus on environmental stewardship, activities to benefit society, & a commitment to build shareholder value by making PepsiCo a truly sustainable company.
  10. 10. S u n i l K r A h i r w a r M B A I B , M a r k e t i n g A s s i g n m e n t S e c - A Page 10 Marketing Mix Marketing mix is the set of marketing tools that the firm uses to pursue its marketing objectives. Marketing mix has a classification for these marketing tools. these marketing are classified & called as the four p’s i.e. product, price, place & promotion. Coca-Cola Product The Coca-Cola formula is The Coca-Cola Company's secret recipe for Coca-Cola. As a publicity marketing strategy started by Robert W. Woodruff, the company presents the formula as one of the most closely held trade secrets ever & only a few employees know or have access to. This Coca-Cola formula appears to be the original formula to Coca-Cola. It is from the book “For God, Country & Coca-Cola”. The company Coca-cola is a multinational & it is not limited to one product. Through the years they have invented & introduced many products than their main cola drinks.  Coke  Diet Coke  Thums Up  Sprite  Limca  Manza  Fanta  Kinley Product The Pepsi-Cola drink contains basic ingredients found in most other similar drinks including carbonated water, high fructose corn syrup, sugar, colorings, phosphoric acid, caffeine, citric acid & natural flavors. The caffeine free Pepsi-Cola contains the same ingredients but no caffeine.  Pepsi  Diet Pepsi  7UP  Miranda  Mountain Dew
  11. 11. S u n i l K r A h i r w a r M B A I B , M a r k e t i n g A s s i g n m e n t S e c - A Page 11 Coke & Pepsi-Product As seen above both the companies Coke & Pepsi have a number of products. Many of these products are innovations but there are also many products which are brought out just as a competitive product for the other companies. Some of these products that are brought in the market by both the companies to compete against each other are as follows: Coke Pepsi The main dark cola drink of the company which started the rivalry between these companies. Pepsi version of dark cola which is the major primary competitor to Coke. Full Throttle is an energy drink brand produced by The Coca-Cola Company. It debuted in late 2004 in North America. AMP is an energy drink produced & distributed by PepsiCo under the Mountain Dew soft drink brand. Vault is a carbonated beverage that was released by The Coca-Cola Company in June 2005. Mountain Dew MDX is an energy drink manufactured & distributed by PepsiCo under the Mountain Dew brand. It was introduced in 2005. Powerade is a sports drink by The Coca- Cola Company & currently number two in the sports drink market worldwide. Gatorade is a non-carbonated sports drink marketed by Quaker Oats Company, a division of PepsiCo. Originally made for athletes, it is now often consumed as a snack beverage. Sprite is a clear, lemon-lime flavored, non- caffeinated soft drink, produced by the Coca-Cola Company. It was introduced to the United States in 1961. 7 Up is a brand of a lemon-lime flavored soft drink. Coke – Price Coke was a company ruling the markets before Pepsi entered. Earlier the price of coke was cost based i.e. it was decided on the cost which was spent on making the product plus the profit & other expenses. But after the emergence of other companies especially the likes of Pepsi, Coca-Cola started with a pricing strategy based on the basis of competition. Nowadays more expenses are spent on advertising my soft-drink companies rather than on manufacturing. Coke has brought in a revolution especially in Indian markets with the Rs. 5 pricing strategy which was very famous. It was the first company to introduce the small bottle of Coke for just Re.5. This campaign was very successful especially with the price conscious Indian consumers.
  12. 12. S u n i l K r A h i r w a r M B A I B , M a r k e t i n g A s s i g n m e n t S e c - A Page 12 Pepsi – Price Pepsi again decides it price on the basis of competition. The best think about the company Pepsi is that it is very flexible & it can come down with the price very quickly. The company is renowned to bring the price down even up to half if needed. But this risk taking attitude has also earned Pepsi losses. Though lowering the price would attract the customers but it would not help them cover up the cost incurred in production hence causing them losses. This was the situation earlier but now Pepsi is a full-fledged & growing company. It has covered all its losses & is now growing at a rapid rate. Pepsi & coke place Place is one of the four elements of marketing mix. Frequently there may be a chain of intermediaries; each passing the product down the chain to the next organization, before it finally reaches the consumer or end-user. This process is known as the 'distribution chain' or the 'channel’. So we say that a set of interdependent organizations involved in the process of making a product available for the use or consumption is known as Distribution channel. Each of the elements in these chains will have their own specific needs, which the producer must take into account, along with those of the all-important end-user. Promotion of Pepsi & Coke Both the companies Pepsi & coke are famous for their promotions. The rivalry was first started when Pepsi started with its blind taste tests known as the Pepsi Challenge. The challenge is designed to be a direct response to critics who allege that Coca-Cola & Pepsi- Cola are identical drinks, with no meaningful differences. The challenge takes the form of a taste test. At malls, shopping centers & other public locations, a Pepsi representative sets up a table with two blank cups, one containing Pepsi & one with Coke. Shoppers are encouraged to taste both colas, & then select which drink they prefer. Then the representative reveals the two bottles so the taster can see whether they preferred Coke or Pepsi.The implication is that Pepsi tastes better than Coke, & thus consumers should purchase Pepsi. In blind taste tests, more consumers prefer the taste of Pepsi to that of Coca-Cola. Because Coke was the historical leader, more people expected that they'd prefer & select Coke. Their surprise at picking Pepsi in the blind taste test (products were served in unmarked cups) helped change their minds about which product they prefer. Capturing this on film, Pepsi turned this into a memorable TV campaign that lasted many years. Also ad-campaigns are put up on the television by both the players. The following statistic just tells of much of share of ads on TV are captured by these players. “In India both Coca-Cola & PepsiCo have shown the door to older celebrity endorsers & are betting big on emerging stars”
  13. 13. S u n i l K r A h i r w a r M B A I B , M a r k e t i n g A s s i g n m e n t S e c - A Page 13 CELIBRITIES PLAYING PART IN TO THE SALES PROMOTION OF THE PRODUCT: CELIBRITIES OF PEPSI:  AMITABH BACHHAN  SHAHRUKH KHAN  PRIETY ZINTA  SACHIN TENDULKAR  SAIF ALI KHAN  SOURAV GANGULY  RAHUL DRAVID  MOHD. KAIF  ZAHEER KHAN  HARBHAJAN SINGH  YUVRAJ SINGH  RANBIR KAPOOR  VINDHU DARA SUNGJ  DEEPIKA PADUKONE CELIBRITIES OF COKE:  SALMAN KHAN  AISHWARYA RAI  AAMIR KHAN  VIVEK OBEROI  BIPASHA BASU  AKSHAY KUMAR  IMRAN KHAN  KALKI
  14. 14. S u n i l K r A h i r w a r M B A I B , M a r k e t i n g A s s i g n m e n t S e c - A Page 14 SWOT ANALYSIS OF PEPSI & COKE Strength- Pepsi & Coke has been a complex part of world culture for a very long time. The Products image is loaded with over-romanticizing & fun, this is an image many people have taken deeply to heart. Pepsi & Coke are the extremely recognizable brand, which is the greatest strength of them. Additionally there Bottling system is one of their greatest strengths. This allows them to the conduct business on a global scale while at the same time maintain a local approach. PepsiCo & Coca cola are having the largest distribution network in the world, which is also there one of the greatest strength. Weakness- Weaknesses for any business need to be both minimized & monitored in order to Effectively achieve productivity & efficiency in their business activities. Although the international sales are increases but there is getting saturation evident through the stability in cola drink in USA market & moreover all over the world the customer preference for cola drink is shifting towards the healthy drink is taking place. Opportunity- Brand recognition is the significant factor affecting Pepsi & Coke competitive position. Pepsi & Coke brand is known well throughout 94% of world today. As in developing countries the per head consumption of cola drink is very less which evident from taking example of India. In India per head consumption is only 6 bottles as compare to 700 bottles in USA & in Indian market only 5% of the beverages come under packaging. So looking at these data we can that for these two giant a lot of potential is there in developing market which is now also untapped. Threats - Currently, the threat of new viable competitors in the carbonated soft drink industry is not very substantial. The threat of Substitute, however, is a very real threat. The soft drink industry is very strong, but consumers are not necessarily married to it. Possible substitutes that continuously put pressure on both Pepsi & Coke include tea, coffee, juice, milk & hot chocolate. Even through the Coca cola & Pepsi control nearly 40% of the entire beverage market, the changing health consciousness of the market could have a serious affect. Of course, both have already diversified into these markets, but still these Substitute will remain threat to them. Consumer buying power is also represents a key threat to the Pepsi & Coke.
  15. 15. S u n i l K r A h i r w a r M B A I B , M a r k e t i n g A s s i g n m e n t S e c - A Page 15 PEPSIVS COCA-COLA A Comparison Taste Coca-Cola is the original cola, while there isn't a huge difference in taste; Pepsi mirrored their cola after Coke's, being just different enough in taste to not actually be the same drink. Similarities Pepsi-Cola & Coca Cola Classic are both carbonated cola beverages. Sweetness Pepsi tastes sweeter than Coca-Cola, This is the reason why many prefer Pepsi over Coca- Cola in a blind test but may prefer Coke when drinking an entire can. Carbonation Coca-Cola has more carbonation than Pepsi depending on what region you are in. It was said that depending on where each one was made the amount of carbonation in them will be different therefore proving that neither Coca-Cola nor Pepsi have more carbonation. Consumer Segmentation, Targeting, Positioning
  16. 16. S u n i l K r A h i r w a r M B A I B , M a r k e t i n g A s s i g n m e n t S e c - A Page 16 Segmentation of CocaCola: Coca Cola segments its market in a number of ways. Coca Cola's, customer segmentation is mainly by their market demographically based on age, income & family size. Coca Cola’s behavioral segmentation has been a key to the company’s success. Age is one of the most significant parts of the segmentation of Coca Cola. Coca Cola introduces Coca Cola diet for the people who are suffering from diabetic & for those who are likely to avoid sugar & for the aged people specially 40 plus. Coca Cola mainly produces the Coca cola & the main customer of Coca cola is young people whose age is 10 to 35. Segmentation of Pepsi: Pepsi segments its market in several ways. Pepsi, mainly segment their market demographically assuming age, income & family size. Pepsi’s behavioral segmentation has been a key to the company’s success. Age is one of the most significant parts of the segmentation of Pepsi. Pepsi introduces Pepsi diet for the people who are suffering from diabetic & for those who are likely to avoid sugar & for the aged people specially 40 plus. Pepsi mainly produces the Pepsi cola the main customer of Pepsi cola is young people whose age is 10 to 35. Target marketing of CocaCola They make different values to capture this portion of market by marketing targeting. However, they do not fiercely advertise like Pepsi does. They offer Coca Cola in those places where students & young people gather mostly. Their market segment profiles have shown that the majority of carbonated beverage drinkers of Bangladesh are youth & middle age people. Same as the Pepsi Coca Cola also targets the Bangladeshi schools, colleges, universities, restaurants, hotels & fast food stores. For this reason, they always spend huge amounts of money to compete with Pepsi in acquiring contracts with universities to have sold representation of their product distribution. .coca cola customers are mainly teenagers & young adults between the ages of 16 to 35. Coca cola also made diet coke for those who are suffering from sugar problems. Target marketing of Pepsi The reason why Pepsi-Cola has fiercely targeted this market is because it is the largest among its users. Market segment profiles have shown that the majority of carbonated beverage drinkers of Bangladesh are youth & middle age people. Pepsi continually targets the Bangladeshi Schools, Colleges, Universities, restaurants, hotels, & fast food Stores. For this they always spend huge amounts of money to compete with Coca Cola in acquiring contracts
  17. 17. S u n i l K r A h i r w a r M B A I B , M a r k e t i n g A s s i g n m e n t S e c - A Page 17 with universities to have sold representation of their product distribution. Pepsi customers are mostly teenagers & young adults between the ages of 14 to 30. Positioning of CocaCola The main theme of coca cola is “open happiness” coca cola spends about a billion of dollars in trying to influence the new generation & young boys & girls by giving varieties of advertisement & taste. If anyone put one coca cola & one Pepsi in front of us about 65% of people choose coca cola because of its taste, its packaging attracts the young generation very much. Every year coca cola spends lots of dollars to make a different creative slogan for targeted people which they want to serve. Coca cola plans to further creative positions that will give the product the greatest advantage in their target markets as well as the Pepsi. Recently, coca cola has proven that, it is the highest selling cold drink in the whole country & above the world. Positioning of Pepsi PepsiCo main slogan is – “Generation Next!” It spends billions of dollars in trying to impress the young & nearly young with the different creative slogan in every year. PepsiCo plans to further create positions that will give products the greatest advantage in their target markets. PEPSIVS COCA-COLA PRESENCE IN INDIA COCA-COLA
  18. 18. S u n i l K r A h i r w a r M B A I B , M a r k e t i n g A s s i g n m e n t S e c - A Page 18 Coca-Cola, the corporation nourishing the global community with the world’s largest selling soft drink concentrates since 1886, returned to India in 1993 after a 16 year hiatus, giving new thumbs up to the Indian soft drink market. In the same year, the Company took over ownership of the nation’s top soft-drink brand and bottling network. It’s no wonder our brands have assumed an iconic status in the minds of the world’s consumers Ever since, Coca-Cola India has made significant investments to build & continually consolidate its business in the country, including new production facilities, waste water treatment plants, distribution systems, & marketing channels. Coca-Cola India is among the country’s top international investors, having invested more than US$ 1 billion in India in the first decade, & further pledged another US$100 million in 2003 for its operations. The Company has shaken up the Indian carbonated drinks market greatly, giving consumers the pleasure of world-class drinks to fill up their hydration, refreshment, & nutrition needs. It has also been instrumental in giving an exponential growth to the country’s job listings. With virtually all the goods & services required to produce & market Coca-Cola being made in India, the business system of the Company directly employs approximately 6,000 people, & indirectly creates employment for more than 125,000 people in related industries through its vast procurement, supply, & distribution system. The Indian operations comprises of 50 bottling operations, 25 owned by the Company, with another 25 being owned by franchisees. Apart that, a network of 21 contract packers manufactures a range of products for the Company, On the distribution front, 10-tonne trucks – open bay three-wheelers that can navigate the narrow alleyways of Indian cities – constantly keep our brands available in every nook & corner of the country’s remotest areas. PEPSI PepsiCo entered India in 1989 & has grown to become one of the country’s leading food & beverage companies. One of the largest multinational investors in the country, PepsiCo has
  19. 19. S u n i l K r A h i r w a r M B A I B , M a r k e t i n g A s s i g n m e n t S e c - A Page 19 established a business which aims to serve the long term dynamic needs of consumers in India. PepsiCo India & its partners have invested more than U.S.$1 billion since the company was established in the country. PepsiCo provides direct & indirect employment to 150,000 people including suppliers & distributors. PepsiCo nourishes consumers with a range of products from treats to healthy eats that deliver joy as well as nutrition & always, good taste. PepsiCo India’s expansive portfolio includes iconic refreshment beverages Pepsi, 7 UP, Mirinda & Mountain Dew, in addition to low calorie options such as Diet Pepsi, hydrating & nutritional beverages such as Aquafina drinking water, isotonic sports drinks - Gatorade, Tropicana100% fruit juices, & juice based drinks – Tropicana Nectars, Tropicana Twister & Slice. Local brands – Lehar Evervess Soda, Dukes Lemonade & Mangola add to the diverse range of brands. PepsiCo’s foods company, Frito-Lay, is the leader in the branded salty snack market & all Frito Lay products are free of trans-fat & MSG. It manufactures Lay’s Potato Chips; Cheetos extruded snacks, Uncle Chipps & traditional snacks under the Kurkure & Lehar brands. The company’s high fibre breakfast cereal, Quaker Oats, & low fat & roasted snack options enhance the healthful choices available to consumers. Frito Lay’s core products, Lay’s, Kurkure, Uncle Chipps & Cheetos are cooked in Rice Bran Oil to significantly reduce saturated fats & all of its products contain voluntary nutritional labeling on their packets. The group has built an expansive beverage & foods business. To support its operations, PepsiCo has 43 bottling plants in India, of which 15 are company owned & 28 are franchisee owned. In addition to this, PepsiCo’s Frito Lay foods division has 3 state-of-the-art plants. PepsiCo’s business is based on its sustainability vision of making tomorrow better than today. PepsiCo’s commitment to living by this vision every day is visible in its contribution to the country, consumers & farmers. Conclusion
  20. 20. S u n i l K r A h i r w a r M B A I B , M a r k e t i n g A s s i g n m e n t S e c - A Page 20 After the completion of project we have seen the different aspects of this Project. Also we have gained some new knowledge about both of company. The outcome that came out from the information work is that in Trinity coke is the market leader with 54% market share. Pepsi is having only 46% market share. We come to know that Pepsi is the leading brand of Pepsi co. with 29% market share of its total market share & Thumbs up is the leading brand of coke with 28% market share of itself. Through this project we also come to know that young generation is the potential market for beverage industry, taste is the 1st preference to choosing the product & one more important factor that below 12 years & above to 50years people like the soft drinks while people between 12- 30 year prefer cola drinks & rest people who comes in between 30 -50 year have common. BIBLIOGRAPHY
  21. 21. S u n i l K r A h i r w a r M B A I B , M a r k e t i n g A s s i g n m e n t S e c - A Page 21  www.google.com  www.wikipedia.org  www.slideshare.net  www.coca-cola.com  www.pepsi.com  www.scribd.com  www.realversus.com  www.investmentu.com Sunil Kr Ahirwar Amity International Business School Amity University Noida-125 Mo: +91-9871836819 Email: sunilahirwar@live.com
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Coca Cola Vs Pepsi Comparative Analysis

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