4Ps Analysis of Nestle Pvt.

Ltd
and Cadbury Dairy Milk pvt. Ltd

MASTER OF BUSINESS ADMINISTRATION

to
PUNJAB TECHNICAL UNIVERCITY

Submitted by-

Shailendra kumar sharma

Regd.no. DBS/09-11/W-083/B
And
Sandeep kumar
Regd.no. DBS/09-11/W-081/B

Submitted to-

Ms. PRITTY SINGH

(Faculty of marketing management)

dbs
delhibusinessschool
creating corporate connoisseurs
The comparison of the 4 Ps of the
pepsi and cocacola pvt. Ltd

Objective of the study

In this project, our main focus was to analyze Beverage taking into
consideration the 4 P’s of the marketing mix. 
• To analyze various product attributes of Beverage its management in the
current scenario.
• To study the entire distribution mix of the product line.
• To critically comment on the pricing strategy adopted by the company.
• Lastly our study will also focus on the various promotional aspect of the
brand in Beverage and also promotional mix of the product line.

INTRODUCTION
Coca-cola

HISTORY

Type: Public
Founded: 1892 by Asa Griggs Candler
Headquarters: Atlanta, Georgia, USA
Industry: Beverage
Products Beverages:
Web site: www.cocacola .com
Origin of the product:
Dr. John Stith Pemberton for the first time produced the syrup for Coca-Cola on May 8, 1886
• The history of the Beverages industry started when Atlanta, Georgia druggist John Stith
Pemberton invented coca wine called Pemberton’s French Wine Coca in 1884.
• He was inspired by the formidable success of French Angelo Mariani’s coca wine, Vin Mariani
to compete with the many patent medicines and cure
- all elixirs of that time. His company recommended it for the relief of hangovers headaches,
menstrual pains, and a host of other problems.
• One warm summer day Pemberton took some syrup down to will is venerable at Jacob’s Drug
Store in Atlanta.
• An ounce of the mixture was put into a glass, which was then filled with water and ice, creating
the WORLD’S first Coca-Cola

Origin of the company:

• The following year, when Atlanta and Fulton County passed Prohibition legislation, Pemberton
began to develop a non-alcoholic version of the French Wine Coca.
• He named it Coca-Cola, because it included the stimulant coca leaves from South America and
was flavoured using kola nuts, a source of caffeine. Pemberton ran the first advertisement for the
beverage on May 29 that year in the Atlanta Journal.
• In 1887, while suffering from an ongoing addiction to morphine, Pemberton sold a stake in his
company to Asa Griggs Candler, who incorporated it as the Coca Cola Corporation in 1888. In
the same year, Pemberton sold the rights a second time to three more businessmen: J.C.
Mayfield, A.O. Murphy, and E.H. Bloodworth.
• Meanwhile, Pemberton’s alcoholic son Charley Pemberton began selling his own version of the
product. Three versions of Coca-Cola — sold by three separate businesses — were on the
market.
• When the United States entered World War II, The Coca-Cola Company began providing free
drinks for soldiers of the United States Army. The United States Army permitted Coca-Cola
employees to enter the front lines as “Technical Officers” where they operated Coke’s system of
providing refreshments for soldiers Coca-Cola set up bottling plants in several locations overseas
to assure the drink’s availability to soldiers, setting the stage for the company’s post-war
overseas expansion.
• The popularity of the drink exploded as American soldiers returned home from the war with a
taste for the drink.
• Before the United States entered World War II, the difficulty of shipping Coca-Cola
concentrate to Germany and its occupied states led to the creation of a new drink by a Coca-Cola
employee, Fanta.
• Fanta’s origins date back to World War II when Max Keith, who managed Coca-Cola’s
operations in Germany during the war, ran out of the ingredients
for Coke, which could be supplied only from the United States. Keith resorted to producing a
different soft drink, Fanta, which proved to be a hit, and when Coke took over again after the
war, it adopted the Fanta brand as well.
• The German Fanta K/are Zitrone (“Clear Lemon Fanta”) variety became Sprite, another of the
company’s bestsellers
In the 1930s, Robert W. Woodruff became president of the Coca-Cola Company, presiding over
the drink and its destiny till his death in 1985. Although he eventually stepped down from his
post due to stress, he retained control over the company despite holding positions with an
ostensibly low profile.
The headquarters of Coca-Cola, now listed by fortune as one of the 50 top corporations in the
United States, is still in Atlanta, Georgia. The actual sale and distribution of that magic elixir -
which, needless to say, on longer contains cocaine - is handled largely by a number of
independent bottlers. These bottlers buy syrup, mix it with carbonated water, and distribute it to
retailers in their area. The number of retailers who sell Coke to the public almost exceeds
counting.

PEPSI
Type: Public Founded: 1903 by DCC
BROADHAM
Headquarters: New York, USA
Industry: Food & Beverage
Products: Beverages,Snacks
Origin of the product:
• It starts with a small drug store in North Carolina. This little store belonged to young chemist
by the name of DCC BROADHAM. He invented a drink that the customers called BROAD’S
drink. In 1903, Bradham got its drink registered formally by the name of PEPSI COLA
.

Origin of the company:

He set his own company and kept its sales improving gradually. By 1909, more then 250 bottlers
in different American states had been allowed to sell under the PEPSI COLA license. PEPSI
COLA was first sold in the standard size of 6.5 ounces. In 1932 PEPSI COLA took courage
enough to introduce a bottle of 12 ounces. In 1950 the PEPSI COLA’S formula had been
changed by reducing its sweetness and calories and a new advertising campaign Refresh without
filling had been launched effectively. Under the supervision of the diligent sales staff and the
Marketing experts, PEPSI COLA began setting new records of eminence. At 30 plants per year,
new plants were established all across the globe. A new attractively designed bottle had been
introduced in 1957 in place for the 20 years old bottle, and the product line had been enhanced to
introduce the new flavors of TEAM & MIRINDA. PEPSI COLA today is available to more than
a billion people in 153 different countries which include the central independent states and
China.
 MARKETING MIX

Definition
The 'marketing mix' is a set of controllable, tactical marketing tools that work together to achieve
company's objectives
Four Ps
Product
In marketing, a product is anything that can be offered to a market that might satisfy a want or
need. It is of two types: Tangible (physical) and Intangible (non-physical). Since services have
been at the forefront of all modern marketing strategies, some intangibility has become essential
part of marketing offers. It is therefore the complete bundle of benefits or satisfactions that
buyers perceive they will obtain if they purchase the product. It is the sum of all physical,
psychological, symbolic, and service attributes, not just the physical merchandise. All products
offered in a market can be placed between Tangible (Pure Product) and Intangible (Pure Service)
spectrum.

A product is similar to goods. In accounting, goods are physical objects that are available in the
marketplace. This differentiates them from a service, which is a non-material product. The term
goods is used primarily by those that wish to abstract from the details of a given product. As
such it is useful in accounting and economic models. The term product is used primarily by those
that wish to examine the details and richness of a specific market offering. As such it is useful to
marketers, managers, and quality control specialists.

A service is a non-material or intangible product - such as professional consultancy, serving, or

an entertainment experience.

Coke – 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 and 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 and Coca-Cola”.

The company Coca-cola is a multinational and it is not limited to one product. Through the years
they have invented and introduced many products than their main cola drinks. The list of Coca-
cola brands are as follows:
Appletiser Lemon & Paeroa
Aquarius Lift
BPM Energy Lift plus
Barq's Lilt
Beat soda Manzana Lift
Beverly Mare Rosso
Cannings Mello Yello
Cheers Mezzo Mix
Ciel Minute Maid
Coca-Cola Black Nestea
Cherry Vanilla New Coke
Coca-Cola Blak Nordic Mist
Coca-Cola C2 OK Soda
Coca-Cola Cherry Pibb Xtra
Coca-Cola Citra Powerade
Coca-Cola M5 Qoo
Coca-Cola Zero Raspberry Coke
Coca-Cola Relentless
Coca-Cola with Sarsi
Lemon Senzao
Coca-Cola with Lime Simply Orange
Dasani Smart
Delaware Punch Sparkle
Diet Coke Sprite
Fanta Sprite Ice
Fanta Citrus Sprite Remix
Fioravanti Sprite Zero
Fresca Surge
 Frisco Swerve
Fruitopia Tab
Frutonic Tab Clear
Full Throttle Tab Energy
Georgia Tab X-Tra
Hi-C Tiky
Hit Vault
Kia-Ora
Kinley

Pepsi – 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 and natural flavors. The caffeine free Pepsi-Cola contains the same ingredients but no
caffeine.
Some of the different and varied brands of Pepsi are as follows:

All Sport Pepsi

Aquafina Pepsi Blue
Caffeine-Free Pepsi Pepsi Cappuccino
Crystal Pepsi Pepsi Max
Diet Pepsi Pepsi ONE
Gatorade Pepsi Samba
Izze Pepsi Tarik
Jazz Pepsi Twist
Josta Propel Fitness Water
Kas Sierra Mist
Manzanita Sol Slice
Mirinda SoBe
Mountain Dew Storm
 Mountain Dew AMP Teem
Mountain Dew LiveWire Tropicana Products
Mountain Dew MDX Tropicana Twister
Mug Root Beer

Coke v/s Pepsi-Product

As seen above both the companies Coke and 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 Pepsi version of dark cola which is the
which started the rivalry between these major primary competitor to Coke.
companies.

Full Throttle is an energy drink brand AMP is an energy drink produced and
produced by The Coca-Cola Company. It distributed by PepsiCo under the Mountain
debuted in late 2004 in North America. Dew soft drink brand.
Vault is a carbonated beverage that was Mountain Dew MDX is an energy drink
released by The Coca-Cola Company in manufactured and distributed by PepsiCo
June 2005. under the Mountain Dew brand. It was
introduced in 2005.

Powerade is a sports drink by The Coca- Gatorade is a non-carbonated sports drink

Cola Company and currently number two marketed by Quaker Oats Company, a

in the sports drink market worldwide. division of PepsiCo. Originally made for
athletes, it is now often consumed as a
snack beverage.

Sprite is a clear, lemon-lime flavored, non- 7 Up is a brand of a lemon-lime flavored

caffeinated soft drink, produced by the soft drink.
Coca-Cola Company. It was introduced to
the United States in 1961.
 Tropicana Products is an American
Minute Maid is a product line of beverages,
company based in Bradenton, Florida,
usually associated with orange juice, but
USA, which is one of the world's largest
now extends to soft drinks of many kinds.
producers and marketers of orange juice. It
The Minute Maid company is now owned
has been owned by PepsiCo, Inc. since
by Coca-Cola, and is the world's largest
1998.
marketer of fruit juices and drinks. It is
headquartered in Houston, Texas.

Nestea is a brand of iced tea manufactured
and distributed by the Nestle company's
beverage department in the United States,
and by Coca-Cola in several European
countries, Brazil and Venezuela.
Lipton Original Iced Tea is a ready-to-
drink iced tea brand sold by Lipton through
a worldwide partnership with Pepsi.

Barq's is a brand of root beer notable for Mug Root Beer is a brand name of root
being the only major North American root beer made by the Pepsi company.
beer to contain caffeine. It has been bottled
since the start of the 20th century and is
currently sold by the Coca-Cola Company.

Diet Coke or Diet Coca-Cola is a sugar-
free soft drink produced and distributed by
The Coca-Cola Company. It was
introduced in the United States in July
1982.
Diet Pepsi is a low-calorie carbonated cola.
It was introduced in 1964 as a variant of
Pepsi-Cola with no sugar.

Kinley is a brand of still or carbonated Aquafina is a non-carbonated bottled water

water owned by The Coca-Cola Company. produced by PepsiCo.

Aquarius is a mineral sports drink All Sport was a sports drink. It is produced
manufactured by The Coca-Cola Company. by PepsiCo.
It was first introduced in 1983.
Fanta is a soft drink brand owned by The Mirinda is a brand of soft drink. Mirinda is
Coca-Cola Company. It is produced and owned by PepsiCo.
distributed by The Coca-Cola Company's
bottlers.

Sprite Ice was the first flavor extension for Pepsi Blue is a soft drink made by PepsiCo
The Coca-Cola Company's Sprite brand and launched in mid-2002.
soft drink.

Coca-Cola Blak is a coffee-flavoured soft Pepsi Cappuccino is a cappuccino-flavored

drink introduced by Coca-Cola in 2006. carbonated soft drink produced by Pepsico.
 Maaza is a Coca-Cola fruit drink brand Slice is a line of fruit-flavored soft drinks
marketed in India and Bangladesh. manufactured by PepsiCo and introduced
in 1984.

Limca is a lemon and lime flavoured Teem was a lemon-lime-flavored soft drink
carbonated soft drink made in India by produced by The Pepsi-Cola Company.
Coca-cola.

Price
In economics and business, the price is the assigned numerical monetary value of a good, service
or asset.
Price is also central to marketing where it is one of the four variables in the marketing mix that
business people use to develop a marketing plan.
Pricing is a big part of the marketing mix. Choosing the right price and the right pricing strategy
is
crucial to the marketing process.
The price of the product is not something that is fixed. On the other hand the price of the product
depends on many other factors. Some times the price of the product has got nothing to do with
the actual product itself. The price may act as a way to attract target customers.
The price of the product is decided keeping many things in mind. These things include factors
like cost incurred on the product, target market, competitors, consumer buying capacity etc.

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 and
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.
Few year before 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.
Even today most prices of Coke are decided on the basis of the competition in the market.

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 and 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 and growing company. It has
covered all its losses and is now growing at a rapid rate.

Place

Place is a term that has a variety of meanings in a dictionary sense, but which is principally used
in a geographic sense as a noun to denote location, though in a sense of a location identified with
that which is located there.
In marketing, place refers to one of the 4 P's, defined as "the market place". It can mean a
geographic location, an industry, a group of people (a segment) to whom a company wants to sell
its products or services, such as young professional women (e.g. for selling cosmetics) or
middle-aged family men (e.g. for selling family cars).
Coke - Place

Coke is a multinational company and it has its market around the entire world. This can be said
just by the first page on its site which asks people to select the place of their choice. The website
looks something like this:

Pepsi – Place

Pepsi again has spread worldwide. Pepsi when entering a new market does not go in alone but it
looks for partners and mergers. Till now Pepsi has collaborated with companies like Quaker
Oats, Frito-lays, Lipton, Starbucks, etc.

Pepsi like Coke has spread all over the world. It is because of this worldwide spread that now it
is coming up with Advertisements which can be broadcasted in the different nations in the world.
The recent example with would be the Pepsi advertisements having David Beckham as it brand
ambassador.

Promotion
Promotion is one of the four aspects of marketing. Promotion comprises four subcategories:
Advertising
Personal selling
Sales promotion
Publicity and public relations

The specification of these four variables creates a promotional mix or promotional plan. A
promotional mix specifies how much attention to pay to each of the four subcategories, and how
much money to budget for each. A promotional plan can have a wide range of objectives,
including: sales increases, new product acceptance, creation of brand equity, positioning,
competitive retaliations, or creation of a corporate image.

Both the companies Pepsi and 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 and Pepsi-Cola are identical
drinks, with no meaningful differences. The challenge takes the form of a taste test. At malls,
shopping centers and other public locations, a Pepsi representative sets up a table with two blank
cups, one containing Pepsi and one with Coke. Shoppers are encouraged to taste both colas, and
then select which drink they prefer. Then the representative reveals the two bottles so the taster
can see whether they preferred Coke or Pepsi. If Pepsi is revealed, the shopper is given a small
prize. The implication is that Pepsi tastes better than Coke, and 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 and 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.

Infact in the next graph you can see how many programs are sponsored by cola companies and
the leader among them is Pepsi. Mainly Pepsi is the company sponsoring most cricket telecasts
happening in India and spends most of its revenue in that field.
Nowadays both Coke and Pepsi are going in for Brand Ambassadors to promote their product.
These brand ambassadors are famous people who usually people idolize and people can relate to
them. The following pictures do not need any explanation as people are familiar with the
celebrities and can thus quickly identify with the product.

A list of Celebrities that are brand ambassadors for the cola companies are as follows. These
celebrities are not only asked to work in the advertisements but they also have to use the product
promoted by them and they should not use the companies rivals proucts.
 CELEBRITY ENDORSMENT IN 2008-09

PEPSI COCA-COLA

Ram Charan Teja Amir Khan

Ranbeer Hrithik Roshan
Vijender(Boxer) Ganesh
Katrina Kaif Gautam Gambhir
Rani Virender Sehwag
Kareena Kapoor Vijay
M.S.Dhoni

Shahrukh Khan
 Conclusion

Coca- cola company is a Beverage industry. Established in 1882 .It Headquarter is in Atlanta,
U.S.A. Pepsi is a Beverage and snacks industry Established in 1903. It Headquarter in Newyork
and U.S.A.

Pepsi and Coke are competitor and both are produce a competitive product like Coke - Pepsi
Sprite – 7UP, Minute maid – Tropicana, Fanta – Mirinda. Diet Coke – Diet Pepsi , Kinley –
Aquafina etc.

Both company are decide his price on the competition bases but price of pepsi is very flexible
Pepsi come down price very quickly.
Pepsi and Coke spread worldwide. Pepsi and coke doing very much advertisement. But pepsi is
doing more advertisement in comparison to coke .both company have film star , cricketer for
advertisement.