Beruflich Dokumente
Kultur Dokumente
CERTIFICATE
This is to certify that Mr. Jitesh Kumar , a regular student of MBA+PGP has undergone training with Coca-Cola India Ltd. on the topic MARKETING STRATEGIES OF HINDUSTAN COCA-COLA BEVERAGES INDIA LTD. for a period of 8 weeks commencing from 1st may, 2012 to 30th June, 2012.
This summer training project report embodies the facts and figures collected and interpreted by him during the course of training.
ACKNOWLEDGEMENT
I am grateful to Mr. Himanshu Mahobia, HOD (MBA Deptt.), DBS, New Delhi, for his valuable guidance and support at all time and provided me all the necessary information throughout this summer internship project report has been successfully completed.
I am deeply thankful to my project guide Mr.Ashish sir, Senior Faculty Guide, DBS, New Delhi, for his valuable guidance and support at all time.
I am grateful to Mr. Saurabh Chandra, Manager (Sales & Marketing), Hindustan Coca-Cola Beverages India Ltd., Noida, for his valuable guidance and support and provided me the best opportunity to work with esteemed organization.
Lastly, I am very thankful to all those people who has supported me directly or indirectly, and provided me all the necessary information throughout this project report completed.
JIESH KUMAR
MBA (II SEM) Roll No 11208490048 Batch- 11-13
DECLARATION
I, Jitesh kumar , do hereby declare that the summer training project entitled MARKETING STRATEGIES OF HINDUSTAN COCA-COLA
BEVERAGES INDIA LTD. being submitted to the DBS, New Delhi the fulfillment of the requirement of degree of Master of Business Administration is my own endeavor. It has not been submitted earlier to any other institution / university for any degree.
PREFACE
Acceptance of New challenge makes the path for future success
Today companies must urgently and critically rethink their business mission and marketing strategies. Instead of operating in a market place of fixed and known competition and stable customer preferences, today companies work in war zone of rapidly changing customer/competitor technological advance, new law , managed trade policies and diminishing customer loyalty. Company considers the fact that today customer face a plenitude of product every category. Consider that customer exhibit varying and diverse requirement for product service combination and prices. In the face of their vast choices, customer will gravitate to the offering that best meet their individual needs and expectation. Therefore it is not surprising that todays winning companies are those who succeed best in satisfying indeed delighting, their target customer. They will not last long. These companies are market. They will not last long. These companies are market focused and customer driven. They pay extreme attention to quality and service to meeting and even exceeding customer expectation.
TABLE OF CONTENTS`
Company Certificate College Certificate Acknowledgement Declaration PREFACE INTRODUCTION COMPANY PROFILE LITERATURE REVIEW OBJECTIVES OF THE STUDY RESEARCH METHODOLOGY SURVEY TERMINOLOGY MARKET PROMOTION ANALYSIS FINDINGS & ANALYSIS LIMITATIONS CONCLUSION BIBLIOGRAPHY QUESTIONNAIRE
INTRODUCTION
INDUSTRIAL PROFILE
Present soft drink boon in India was attributed to the legacy of Coca Cola, which was there in INDIA till 1977. In todays market the Coca-Cola (Coke, Thumps Up, Fanta, Limca, Sprite, Vanilla Coke, etc.) hold a 62% market share that appears to bear concentrated rush to beg a big share in the soft drink market.
Various national & multinational firms are engaged in soft drink market due to increase in its demand day by day. As far as INDIA soft drink market is concerned there are major companys engaged having a big completion to capture the soft drink market are namely Coca-Cola & Pepsi. While Campa Cola & many local colas still notice in the Indian Market. Pepsi Cola attacked Coca-Cola before World War II. Coca Cola dominated the American soft drink industry, Pepsi cola was a drink less to manufactures & with a less satisfactory taste then Coke. Where as Coca-Cola major selling point was more drink for the same price and Pepsi emphasized on advertising. During World War II Pepsi & Coke both enjoyed increased sale. After the war Pepsi sale was started to fall relatively to Coke, resulting the Coca-Cola had starting to click the
Market share. A number of factory contributed to Pepsi problem were poor image, poor taskforce, poor quality control etc. At that point Alfred.N.Steeler came to the presidency of Pepsi cola with a great reputation for merchandising. He and his staff recognized that the main hope lay transforming Pepsi from a cheap imitator of Coke into a class on soft drink manufacturer. By 1955 all Pepsis major weakness had been overcome, resulting sales had climbed substantially. These actions from 1955 to 1960 led to a considerable sales growth for Pepsi. In India another company engaged in soft drink market is Coca-Cola. It is one of the most widely known, accepted and admired trademarks of the world. Coca-Cola was their in India till 1977, when the Indian Government banned it due to strong resentment against multinational companys Coca-Cola was re-launched again in India in September 1993 at HATHRAS near Agra. The India people welcomed the come back of their most loved Cola in the country with great enthusiasm and vigor.
Coca-Cola marked its re-launching with acquiring five Parley drinks viz. Thumps Up, Gold Spot, Limca, Citra, Maaza, Soda. Soft drink industry is one of the fastest growing industries in India. The basic idea behind the rapid growth of this industry is due to following reasons: 1. The great corporate war between Coke & Pepsi, who left no stone unturned, for monopolizing the India Soft Drink market. 2. The basic ideology of these two giants is to promote soft drinks as a food item in India hold. 3. The long hot summers in India have increased the consumption of soft drinks.
COMPANY PROFILE
Keeping in view of tapping the Indian soft drink market and also developing soft drinks as a drinking product among Indians. The Coca-Cola in India has setup an independent organizations which is H.C.C & B.C.C with a capital of 350 U.S.$ each by virtue of sellout decision of the passed managing director Sh. S. C. Aggarwal.
Hindustan Coca-Cola bottling (N-W) Pvt. Ltd. Najibabad took the complete possession of this plant, land, machinery, & intellectuals on February 14 1998 and since then H.C.C, looking after all its affairs under company owned bottling plant to establish integrated marketing system in the area.
In 1999 the company opened up the new bottling plant at DASNA in Ghaziabad Distt. This plant has more sophisticated equipments, then the plant at Najibabad.
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CORE BRANDS :
Sprite Boy as
inspiration for its name. This elf with silver hair and a big smile was used in 1940s advertising for Coca-Cola. Sprite is now the fastest growing major soft drink in U.S and the worlds most popular lemon-lime soft drink.
Fanta : The name fanta was first registered as a trademark in Germany in 1941
,when it was used for a few year for a soft drink created from available materials and flavors . The name was then revived in 1955 in Naples, Italy, when it was used for the: fanta orange drink we know today. It is now the trademark name for a line of flavored drinks around the world.
Diet coke: The extension of the coca-cola name began in 1982 with the introduction of
diet coke (also called coca-cola light in some countries). Diet coke quickly becomes the number one selling low calorie soft drink in the world.
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LIMCA: It is thirst-quenching beverage features a fresh and light lemon-lime taste and lighthearted attitude. The limca brand was introduced in 1971 and acquired by the cocacola company in 1993. MAAZA: Maaza, launched in 1984 and acquired by the coca-cola company in 1993, is a non carbonated mango soft drink with a rich, juict & natural mango taste.
THUMPS UP: in 1993, the coca-cola company acquired this brand, which was originally introduced in 1977. Its strong and fizzy taste makes it unique carbonated Indian cola.
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BRANDS IN INDIA
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14
1942
1943
1959
Be Really Refreshed.
1962
1969
1970
1976
1982
Coke Is It.
1986
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1989
1993
Always Coca-Cola
1998
1999
2000
2002
2003
2008
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ABOUT COCA-COLA
1. The worlds largest spherical coca-cola sign is in Nagoya, Japan a top the dial Nagoya building in front of the Nagoya railway station. The sing is a double sphere constructed from more then 46 tone of steel, more 940meter of neon tubing, and more then, 879 light bulbs. The outer shape features the coca-cola logo and contour bottle, while the inner sphere portrays a comic scene with twinkling planets and stars.
2.
One of the worlds largest signs for coca-cola is located on a hill called ELHACHA in America, Chile. It is 400 feet wide and 131 feet high and is made from 70,000, 26 ounce bottles.
3.
The first out door paint sign advertising coca-cola still exists. It was painted in 1894 in Cartersville, Georgia.
4.
Coca-cola is one of the worlds most recognizable trademarks recognized in countries that account for 98 percent of the worlds population.
5.
If all the coca-cola ever produced were in 8- ounce bottles. And these bottles were distributed to each person in the world. There would be 678 bottles or over 42 gallons for each person.
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6.
If all the coca-cola ever produced were in 8 ounce bottles, placed side by side and end to end to from a lane highway, it would wrap around the earth 82 times.
7.
If all the coca-cola ever produced were flowing over Niagara fall at its normal rate of 105 million gallons per second instead of water, the falls would flow for about a day and a half 38 hours and 46 minutes.
8.
the largest representation of the worlds best known package 100 foot tall glass contour bottle is located at world of coca-cola, LAS VEGAS
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HISTORY OF COCA-COLA
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HISTORY
Jon Smyth Pemberton first introduced the refreshing taste of Coca-Cola in Atlanta, Georgia it was May 1861 when the pharmacist concocted a caramel colored syrup in threelegged brass kettle in his backyard. He first distributed the new product by carrying Coca-Cola in a jug cown enjoys in a glass of Coca-Cola at the soda fountain. Whether by design or accident, carbonated water was teamed with the new syrup, producing a drink that was proclaimed Delicious and Refreshing. Dr. Pembertons Partner and bookkeeper, Mr. Frank Robinson, suggested the name and penned as Coca-Cola in the unique flowing script that is still famous worldwide today. Dr. Pembertons sold 25 gallons of syrup, shipped in bright Red wooden kegs. Red has been a distinctive color associated with the No.1 soft drink brand ever since. For his efforts, Dr. Pemberton grossed $ 50 and spent $ 73.96 on advertising, by 1891, Atlanta chemist as a G. Canler had acquired complete ownership of the Coca-Cola business. He purchases it from the Dr. Pemberton family for $ 2300. With in 4 year his merchandising flair helped to expand the consumption of Coca-Cola to over $25 million. Robert W. woodruff become the president of the Coca-Cola company in 1923 and his more than six decades of leadership took the business of commercial success making Coca-Cola an institution the world over. Coca-Cola begins as a never tonic, but candy merchant Joseph A. Biedenharn of Mississippi was looking for awry to serve refreshing beverages. He responded to this demand began offering bottle Coca-Cola using syrup shipped from Atlanta, during a hot summer in 1894.
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HISTORY IN INDIA
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HISTORY IN INDIA
Coca-Cola, the product that has given the world its best-known taste was born in Atlanta, Georgia, on May 8, 1886. Coca-Cola Company is the worlds leading manufacturer, marketer and distributor of non-alcoholic beverage concentrates and syrups, used to produce nearly 400 beverage brands. It sells beverage concentrates and syrups to bottling and canning operators, distributors, fountain retailers and fountain wholesalers. The Companys beverage products comprises of bottled and canned soft drinks as well as concentrates, syrups and not-ready-to-drink powder products. In addition to this, it also produces and markets sports drinks, tea and coffee. The Coca-Cola Company began building its global network in the 1920s. Now operating in more than 200 countries and producing nearly 400 brands, the Coca-Cola system has successfully applied a simple formula on a global scale: Provide a moment of refreshment for a small amount of moneya billion times a day.
The Coca-Cola Company and its network of bottlers comprise the most sophisticated and pervasive production and distribution system in the world. More than anything, that system is dedicated to people working long and hard to sell the products manufactured by the Company. This unique worldwide system has made The Coca-Cola Company the worlds premier soft-drink enterprise. From Boston to Beijing, from Montreal to Moscow, CocaCola, more than any other consumer product, has brought pleasure to thirsty consumers
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around the globe. For more than 115 years, Coca-Cola has created a special moment of pleasure for hundreds of millions of people every day.
The Company aims at increasing shareowner value over time. It accomplishes this by working with its business partners to deliver satisfaction and value to consumers through a worldwide system of superior brands and services, thus increasing brand equity on a global basis. They aim at managing their business well with people who are strongly committed to the Company values and culture and providing an appropriately controlled environment, to meet business goals and objectives. The associates of this Company jointly take responsibility to ensure compliance with the framework of policies and protect the Companys assets and resources whilst limiting business risks.
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Fast Moving Consumer Goods (FMCG), also known as Consumer Packaged Goods (CPG) are products that have a quick turnover and relatively low cost. Consumers generally put less thought into the purchase of FMCG than they do for other products.
The Indian FMCG industry witnessed significant changes through the 1990s. Many players had been facing severe problems on account of increased competition from small and regional players and from slow growth across its various product categories. As a result, most of the companies were forced to revamp their product, marketing, distribution and customer service strategies to strengthen their position in the market.
Unlike other economy sectors, FMCG share float in a steady manner irrespective of global market dip, because they generally satisfy rather fundamental, as opposed to luxurious needs. The FMCG sector, which is growing at the rate of 9% is the fourth largest sector in the Indian Economy and is worth Rs.93000 cores. The main contributor, making up 32% of the sector, is the South Indian region. It is predicted that in the year 2010, the FMCG sector will be worth Rs.143000 cores. The sector being one of the biggest sectors of the Indian Economy provides up to 4 million jobs.
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Personal Care- Oral care, Hair care, Wash (Soaps), Cosmetics and Toiletries, Deodorants and Perfumes, Paper products (Tissues, Diapers, Sanitary products) and Shoe care; the major players being; Hindustan Lever Limited, Godrej Soaps, Colgate, Marico, Dabur and Procter & Gamble.
Household Care- Fabric wash (Laundry soaps and synthetic detergents), Household cleaners (Dish/Utensil/Floor/Toilet cleaners), Air fresheners,
Insecticides and Mosquito repellants, Metal polish and Furniture polish; the major players being; Hindustan Lever Limited, Nirma and Ricket Colman.
Branded and Packaged foods and beverages- Health beverages, Soft drinks, Staples/Cereals, Bakery products (Biscuits, Breads, Cakes), Snack foods, Chocolates, Ice-creams, Tea, Coffee, Processed fruits, Processed vegetables, Processed meat, Branded flour, Bottled water, Branded rice, Branded sugar, Juices; the major players being; Hindustan Lever Limited, Nestle, Coca-Cola, Cadbury, Pepsi and Dabur
Spirits and Tobacco; the major players being; ITC, Godfrey, Philips and UB
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In India, beverages form an important part of the lives of people. It is an industry, in which the players constantly innovate, in order to come up with better products to gain more consumers and satisfy the existing consumers.
BEVERAGES
Alcoholic
Non-Alcoholic
Carbonated
Non-Carbonated
Cola
Non-Cola
Non-Cola
BEVERAGE INDUSTRY IN INDIA The beverage industry is vast and there various ways of segmenting it, so as to cater the right product to the right person. The different ways of segmenting it are as follows:
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Age wise segmentation i.e. beverages for kids, for adults and for senior citizens
Segmentation based on the amount of consumption i.e. high levels of consumption and low levels of consumption.
If the behavioral patterns of consumers in India are closely noticed, it could be observed that consumers perceive beverages in two different ways i.e. beverages are a luxury and that beverages have to be consumed occasionally. These two perceptions are the biggest challenges faced by the beverage industry. In order to leverage the beverage industry, it is important to address this issue so as to encourage regular consumption as well as and to make the industry more affordable.
Three strong strategic elements to increase consumption of the products of the beverage industry in India are:
The quality and the consistency of beverages needs to be enhanced so that consumers are satisfied and they enjoy consuming beverages.
The credibility and trust needs to be built so that there is a very strong and safe feeling that the consumers have while consuming the beverages.
Consumer education is a must to bring out benefits of beverage consumption whether in terms of health, taste, relaxation, stimulation, refreshment, well-being or prestige relevant to the category.
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Dr. Pembertons partner and book-keeper, Frank M. Robinson, suggested the name and penned Coca-Cola in the unique flowing script that is famous worldwide even today. He suggested that the two Cs would look well in advertising. The first newspaper ad for Coca-Cola soon appeared in The Atlanta Journal, inviting thirsty citizens to try the new and popular soda fountain drink. Hand-painted oil cloth signs reading Coca-Cola appeared on store awnings, with the suggestions Drink added to inform passersby that the new beverage was for soda fountain refreshment.
Coca-Cola is made up of 7000 local employees, 500 managers, over 60 manufacturing locations, 27 Company Owned Bottling Operations (COBO), 17 Franchisee Owned Bottling Operations (FOBO) and a network of 29 Contract Packers that facilitate the
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manufacture process of a range of products for the company. It also has a supporting distribution network consisting of 700,000 retail outlets and 8000 distributors. Almost all goods and services required to cater to the Indian market are made locally, with help of technology and skills within the Company. The complexity of the Indian market is reflected in the distribution fleet which includes different modes of distribution, from 10-tonne trucks to open-bay three wheelers that can navigate through narrow alleyways of Indian cities and trademarked tricycles and pushcarts.
Think local, act local, is the mantra that Coca-Cola follows, with punch lines like Life ho to aisi for Urban India and Thanda Matlab Coca-Cola for Rural India. This resulted in a 37% growth rate in rural India visa-vie 24% growth seen in urban India. Between 2001 and 2003, the per capita consumption of cold drinks doubled due to the launch of the new packaging of 200 ml returnable glass bottles which were made available at a price of Rs.5 per bottle. This new market accounted for over 80% of Indias new Coca-Cola drinkers. At Coca-Cola, they have a long standing belief that everyone who touches their business should benefit, thereby inducing them to uphold these values, enabling the Company to achieve success, recognition and loyalty worldwide.
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VALUES
The values that the employees in the Company are expected to keep up to and work by regularly are as follows:
LEADERSHIP: To take an initiative and lead, motivate and drive the team with energy and zeal, to deliver outstanding results.
INNOVATION: To continuously strive for progress and reach the next level of excellence in everything we do.
PASSION: To be deeply committed and display drive and energy in the quest to deliver outstanding performance.
TEAMWORK: To unite for greater strength and work collectively as a group towards the achievement of common goals.
OWNERSHIP: To think and act like owners at all levels; to have decisions taken at the lowest appropriate level.
ACCOUNTABILITY: To be individually and transparently accountable to our colleagues for delivering agreed targets and goals.
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To provide exceptional strategic leadership in the Coca-Cola India System-resulting in consumer and customer preference and loyalty, through Coca-Colas commitment to them, and in a highly profitable Coca-Cola Corporate branded beverages system.
MISSION
To create consumer products, services and communications, customer service and bottling system strategies, processes and tools in order to create competitive advantage and deliver superior value to;
Consumers as a superior beverage experience Consumers as an opportunity to grow profits through the use of finished drinks Bottlers as an opportunity to grow profits in volumes Bottlers as a trademark enhancement and positive economic value added Suppliers as an opportunity to make reasonable profits when creating real valueadded in an environment of system-wide team work, flexible business system and continuous improvement
QUALITY POLICY To ensure customer delight, we commit to quality in our thoughts, deeds and actions by continually improving our processesEvery time.
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Distributors
Outlets
Outlets
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PROMISE BY COCA-COLA
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THE COCA-COLA-MISSION
THE BEST GLOBAL COMPANY
The mission of Coca-Cola Co. is to increase shareowner value over time. The Co. accomplishes the mission by working with its business partners to deliver satisfaction and values to its customers, through world wide system of superior brands and services, thus increasing brand equity on a global basis, create consumer products, services and communications, customer service and bottling strategies, process and tools in order to create competitive advantage and deliver superior value.
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The Coca Cola Company is global player and approximately 70 percent of its volume and 80 percent of its profit come from outside the United State Of America. Although it was perceived as a standardized brand across the world, Coca Cola had been quietly fine turning its international marketing strategies to suit the needs of individual national markets. Only the brands Coca-Cola, Sprite and Fanta were marketed globally. In Latin American and Europe, where a heavy consumer preferred existed for lemon lime and orange sodas. Coke had developed a wide range of formulations and flavors to cater the needs of different countries. In Indonesia Coke had been selling pineapple and banana flavored sodas which had been carefully developed to suit local preferences. In Japan, Coca-Cola had added a coffee drink called Georgia and energy healthy drink named Aquarius to its product line. In India, the Coca-Cola Company acquired the brands Limca, Maaza and Thums Up in 1993.
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there is plenty of room still for an upsurge since this level is lower than other emerging economies in South Asia, such as Pakistan at 19, Srilanka at 23, the Philippnes at 175 and Thailand at 100.
Affordability is the primary reason behind the low penetration of CSDs in India. They attract high taxes, being treated as luxury goods by the Indian government. This makes them one of the most expensive impulse foods for single serve consumption vis--vis others in the same category like chocolates, biscuits, ice-creams and wafers, all of which have a much lower entry price point. This makes CSDs unaffordable to a vast majority of Indian consumers, a country with per capita income of
$300 This apart, CSD consumption is extremely seasonal, skewed to summer and mainly outside the home. Since a large proportion of women are confined to home, soft drink penetration among women is much lower. Also, India with long spells of scorching heat has problems with cooling infrastructure. fast moving consumer goods outlets in India, soft drink outlets make up less than one third, many of whom dont own electrical cooling equipment.
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The low penetration of CSDs in India presents a huge opportunity for Coca-Cola and Pepsi (these are the only two beverage companies in India) to grow the category. Coke , for certain ,is pushing the brand in emerging markets like India and China rather than in mature markets like the UK. For instance in India, both are focused on extending distribution into rural regions. This explains why they spent millions of rupees introducing smaller packs, 200ml bottles, at a cheaper price. Developing low cost home packs and creating numerous occasions to drink CSDs are also part of the new strategy.
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entered new areas like kinley water , Georgia tea and coffee and its Sun fill dilutable drink. These are its biggest growth engines in India at the moment. In fact, from single-serve water bottles, Coke has now moved into the 20-litre home packs, which has given it substantial market share. It is number two in the water business next only to the homegrown Bisleri.
Pepsi , like its counterpart in the UK, has been a laggard in this respect. Even though it has launched Aquafina water in India , Pepsi does not seem to be pushing it. It has no presence in the dilutable category. But in contrast to the UK, the Pepsi brand has a huge presence in India , both in volume and brand image. In fact, its exemplary marketing acumen took it ahead of Coke in the early days and , even today, Pepsi and Coke are running neek and neck in cola shares-explaining the high pitch cola war on the Indian soil.
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To study the promotional policies of the beverage companies onto various highways. Study the comparative adds promotion by Coke in respect to Pepsi. Analysis regarding displays set up on the highways by the companies in order to induce the sales.
Study for designing the budget requirement of the company for the coming year mainly focusing marketing of the product.
Basically survey on the type of promotional setback faced by their product not representing up to mark performance.
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RESEARCH METHODOLOGY
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RESEARCH METHODOLOGY
Research Methodology is a way to systematically solve the problem. It may be understood as a science of studying how research is done scientifically. In it we study the various steps that are generally adopted by the researcher in studying his research problem along with logic behind them. it is necessary for the researcher to know not only the research methods/techniques but also the methodology used. Researchers not only need to know how to develop certain indices or tests, how to calculate mean or median or mode, how to apply particular research techniques but must also know which of these methods or techniques are relevant and what would they mean and indicate and why. Research process consists of series of actions or steps necessary to effectively carry out the research.
RESEARCH DESIGN:
The function of research design is to provide for collection of relevant evidence with minimal expenditure of time effort and money. I followed the census method as I did daily route riding along with the executives and the salesmen. I got opportunity to meet and interact with each one of the retailers and closely came to know specific need of the promotion of Coca-Cola in the market as a whole. I covered the distribution area under highways at Ghaziabad, Modinagar and little area of NCR region. Under the supervision I got number of relevant data from on spot inspection and personal observation.
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2.
TYPE OF STUDY
: EXPLORATORY
3.
RESEARCH AREA
: NOIDA
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SOURCE OF INFORMATION
: (PRIMARY)
In this type of data collection mode the interviewer uses the wording and order that seems most appropriate in the context of each interview. These interviews are useful in obtaining a clearer understanding of the problem and determining what areas should be investigated.
There are several ways of collecting the information considerably in the context of money costs, time and other resoueces at the disposal of the researcher. I collected data for my project work through the medium of Survey Sheets In this method I got the prepared sheets from the company comprising of relevant questions related with my project. Then I contacted respondents on their shops along with the sheets for collecting the information.
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a).
TARGET POPULATION:
The population of the study consisted of retailers and dealers. Target population was taken from the city of Noida.
Random sampling was chosen that is where any outlet of the whole population was likely to be selected as any other outlet that is all the outlets of the population have equal chances. Shops pursuing promotional tools (both dealers and retailers) in Noida city.
Purposive Sampling
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How the accessories can be acquired? When the accessories did come into distribution channelling? Were the retailers informed on the distribution? What encouraged them to posses the accessories? Are they enjoying back up from the company for promotional activities?
5. The time constraint was also prevalent as there was not abundant time for a detail study to be conducted among the retailers and dealers. 6. The financial limitations could also be felt as the funding regarding the survey was not subjected which lead to a lack in an in-depth study to be undertaken.
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MARKETING MIX
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promotion having its own significance, that varies from one organization to the other. in coca cola the information about all the 4 P`s that can be available to me is given here:
PRODUCT: Product mix of coca-cola consists of the various brand packs and flavor given in the table. Product strategy of the coca-cola is to promote all brands available in the brand packs and to introduce the product in new flavor is also introduced.
PRICE: Regarding the pricing policy or the price to the distributor is not disclosed to me, but as done for the different product of the company, company has priced the product same as that of its major competitor or the market leader.
PLACE: The coca-cola company in India is governed from its corporate office located at Gurgaon in Haryana . It governs the working of five zones covering whole India these zones are north zone , eastern zone , western zone , southern zone and Andhra Pradesh zone . These zones are divided in to various. Plant, which govern the area assigned to them. The area is the various distribution centers called distributors and C&F agents. Then come the retailers / customer for the companys product, They receive good from distributor and c&f agent. Finally consumer is there, having the product from the consumers shops or delivered to their home, it is more clearly visible
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through this chart. The coca-cola company, which gave its reach to the mouth of billion of people all around the world having a wide distribution, network. In India, the pace and Speed at which coca-cola has widened its business is really amazing. Distribution network is the biggest strength of the company.
PROMOTION: this past of the marketing is playing a very vital and important role in the current situation in India. Looking at the competition and promotion and advertising budget of both the companies coca-cola and Pepsi, one can easily estimate the importance of this. The promotion mix of coca-cola is divided in to top line promotion and below the line promotion.
Top line promotion includes the promotion designed and done by the companys corporate office of gurgaon and the office of Bombay T.V ads , design of banner , and other p-s done by the company simultaneously all around India with no difference in designs etc fall in this category . Below the line promotion includes the promotion schemes, publicity material, POS display done by the company from zonal, plant, sale manager and area sales manager level. At the sales manager and area sales manager level the promotion done exclusively for the cities in their respective area and other POS display.
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OUR BRANDS
Wouldnt you to know what Apricot, Coffee, Lychee Nut, Orange, Cola Mix and Sour Cherry beverages taste like? One of the most popular areas of the world of Coca-Cola, our Cos. Atlanta attraction, is Taste of the World, the opportunity to sample some of the many beverages we produce. As the global leader in the non-alcoholic beverage industry, we offer nearly 300 brands across almost 200 countries. Many of these brands, including soft drinks, fruit juices, bottles water and sports drinks, are only available in specific reason for this is simple: different people like different beverages at different times, for different reasons. So pour yourself a virtual glass of something you have never experienced before. Take a look at some of the many brands we offer to people around the world.
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COCA-COLA :
Coca-Cola is the most popular and biggest selling soft drink in history, as well as the best known product in the world. Created in Atlanta, Georgia by Dr. John S. Pemberton, CocaCola was first offered as a fountain beverage by mixing Coca-Cola syrup with Carbonated water. Coca-Cola was registered as a trademark in 1895. Coca-Cola was being sold in every state and territory in the United States. In 1899, the Co. began franchised bottling operations in the United States. Today, you can find Coca-Cola in virtually every part of the world and the Coca-Cola Co. has more than 230 beverages to its portfolio.
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DIET COKE
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FANTA:
The Coca-Cola Co. acquired a favorite in Europe since the 1940s, Fanta in 1960. Fanta Orange is the core flavor, representing about 70% of sales, but other citrus and fruit flavors have their own solid fan base. Consumers around the world, particularly teens, fondly associate FANTA with happiness and special times with friends and family. This positive imagery is driven by the brands fun, playful personality, which goes hand in hand with the bright color (particularly orange), bold fruit taste, and tingly carbonation. Fanta sells best in Brazil, Germany, Spain, Japan, Italy and Argentina. Fanta distribution was increased in the U.S. in 2001 with the return of four flavors: Orange, strawberry, pineapple and grape. Orange, the biggest seller, is now available in most of the country.
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LIMCA:
This thirst quenching beverage features a fresh, light lemon-lime taste and fun-loving attitude. Its a homegrown, national treasure in India, where the Coca-Cola Co. acquired it in 1993. the products invigoration taste and cloudy look havent changed, but the brand has been revitalized with a new marketing campaign. Limca continues to build a loyal following among young adults who love the lighthearted way it compliments the best moments of their lives. Its also become a hit in many Persian Gulf countries. Grab a Limca and go.
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MAAZA:
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SPRITE:
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THUMPS UP:
Thumps Up is the leading carbonated soft drink and most trusted brand in India, originally introduced in 1977, it was acquired by the Coca-Cola Co. in 1993. it is known for its strong, fizzy taste and its confident, mature and uniquely masculine attitude. This brand clearly seeks to separate the men from the boys. 0
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featured on 500ml refillable thunder Pack bottles. Research conducted by research International in Mumbai showed that 84% of Thumps-Up consumers preferred the new logo to the old one.
This ad is creative in the sense that, while enjoying they can use the word Coca-Cola in the place of Thanda. The word thanda has been made to be synonymous to Coca-Cola.
The Ad is made to target the common people who wish to quench their thirst by just asking for any brand instead of Coca-Cola. While doing such they may extend their taste, behavior $preference towards Coca-Cola. The main theme of this slogan is to make the brand common for every person and at every time.
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THUMPS UP:
This advertisement is also creative. The slogan itself refers the thundering idea. It challenges the teenagers for the taste. It is well known the todays youth want to do something extraordinary. They want to show themselves superior. So company is exploiting the mentality of todays youth that the product is for them who want to accept the challenges.
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SPRITE:
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LIMCA:
It is well known that lemon in used to over come the stress as well as it helps in digesting. Regarding this truth Coca-Cola made its product Limca, to follow the principle of lemon. To refers that if someone is in the depth of stress and strain and he want to refresh himself, he must go on lemon flavor, Limca is the best.
Provide exceptional strategic leadership on the Coca-Cola India system, resulting in consumer and customer preference and loyalty, through Coca-Colas commitment to them and in a highly profitable Coca-Cola corporate branded beverages system.
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HIGHWAY ANALYSIS
An indigenous effort on the behalf of the surveyor in order to be very cautious while collection of the raw data that is of primary nature of promotion at highways. This highway is a part of the study undertaken on the behalf of the Coca-Cola Co. in order to help it design out its next coming years marketing and advertising are performed in order to capture the psychological attention of the passed by in order to refresh them. The study is thereby based on the primary data collected at various refreshing outlets being covered on the major highways of Delhi and NCR region. It is basically a comparative study between the two major Cola giants-PEPSI and Coke.
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The two major routes being covered during my survey on the project are:
Noida ( Sec-37) To Surajpur.(Route having Pepsis- Devyani Bottling Plant) Vijay Nagar Check Post To Garh Ganga.(Route having Coca-Colas Ghaziabad Production Plant)
SURVEY TERMINOGY
(1) SHOP NAME (2) AREA (3) GSB (4)DPS (5) COUNTERS (6) TABLE-CHAIR
: :
Name of the Outlet. Route break- through being covered.(Market Area Studied)
: Glow Sign Board. : : : Dealer Printed Sign Board. Metallic/Wooden Counters With Companys Printing. Molded Furniture along Umbrellas various restaurants. Outlet containing Co. painting on the wall for promotion.
(7) WALL-PAINTING:
(8) SGA
(9) RACK
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MARKET PROMOTION
ANALYSIS
The research approach being followed in Noida Market was regarding the supervision of various outlets, which is one of the major consumable highways. There was a special inspection done onto the statistical need of various sales promoting accessories being provided to the retailers.
The distributing unit covers the over all supply to the market with his efficient sales force in application. The unit here has a daily requirement of 550 carets of 200ml &300mlof Coke, ThumpsUp, Fanta, Limca and Sprite. Whereas the pet consumption is concerned the scenario is:-
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TABLE-1
Various consolidated figures representing the share of both COCA-COLA and PEPSI on Noida Sec (37) to Surajpur Highway.
CATEGORY GSB DPS COUNTER TABLE-CHAIR & UMBRELLA
2 7
COCA-COLA
8 7 9
PEPSI
20 18 23
13 35 18
35 43 24
Total Number of outlets: 71 Major Areas covered under this Highway: Surajpur Dadri Road (market). Sutyana. Haldwani Crossing. Bhangel. Kulesra. Salarpur. Baraula. Noida(sec.37-49).
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TABLE-II
Similar consolidated data in respect of the market share of both COCA-COLA and PEPSI on Vijay Nagar (check post) to Garh Ganga.
CATEGORY GSB DPS COUNTER TABLE-CHAIR & UMBRELLA
11 6
COCA-COLA
83 23 39
PEPSI
67 15 42
59 64 73
41 53 61
Total Number of outlets : 121 Major Areas covered under this Highway: Vijay Nagar. Masuri. Hapur. Pilakhwa. Gulawati. Garh Ganga.
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The study here revealed that usually the outlets had GSBs distribution at a large scale but they did not cover the entire area. Coca-Cola though had a good promotional share but Pepsi was not far behind and also gave a challenging stand. Being an era that did not had an outstanding exposure the outlets were of small entity and were provided with the GSB.
COCA-COLA PEPSI
83 67
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Under the area study it could be seen that both Coca-Cola as well as Pepsi did not provided DPSs at various outlets, as it is a general view that they are being given at large consuming outlets. But taking in consideration the market potential here not many of the outlets could claim such accessories. In all the distribution of it is not lead emphasis thereon by the companies
COCA-COLA PEPSI
23 15
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COUNTERS:-
During the study it was observed that over the entire the market region under this category the COCA-cola CO. FELL BEHIND Pepsi and also the total distribution was not even . many of the outlets were at commercial places that induced the framework of their own private interior where there is no scope of counters. They are most needed at Pan Bhandar, Juice Corner or Sweet Shop which are rarely big consumption units.
COCA-COLA PEPSI
39 42
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While covering the entire area it was very surprising to know that the companies had no satisfactory performance out there. Coca-Cola having plant over this route also did not lay any outstanding effort. This category resembled a very meager growth here and hardly makes any sense providing it to such places where you cannot bring about any difference in the promotion of the product.
COCA-COLA PEPSI
11 6
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WALL PAINTING :
On the survey duration it was observed that in such areas where after every (5-7) a new small started, where we generally know that people follow signs & painted advertisement. Thus a close stand by Pepsi was seen and the outlets experienced mostly either Coca-Cola or Pepsi. But the share of it could not be seen much as the people are already aware of both the enterprises.
COCA-COLA PEPSI
59 41
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They are the assets being categorized, which play a vital role in preservation of the products refrigerators or iceboxes. Many of the outlets do had them in abundance but others had to only feed upon one of them . this being the most essential requirement for outlet one who stocks soft drinks as no one is going to purchase a hot one. A handsome distribution follow onto the outlets can be seen which also sometimes make people aware of advertising being done through this source.
COCA-COLA PEPSI
64 53
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RACKS:-
The entire survey dealt with the distribution of accessories, which are one of the essential ones to have an impressive promotional outlay. Among the best reviewed one was racks which have been provided at non-accountable reason, which shows that people may place it at & mark as symbol promotional induction to the retailers.
COCA-COLA PEPSI
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They compete vigorously, and at the same time they cooperate smartly with their strategic partners in their supply and distribution chain.
Every company has a set of department to viewing it as a system for managing core process. Company must manage and master such basic process order generation to order fulfillment. In modern marketing discipline mass market are fragmenting in micro- market, multiple distribution channel are replacing single channel, price discounting and sales promotion. Designing the best marketing mix To make a sale there is growing emphasis on designing the best relationship mix for winning and keeping customer. Good customer are an asset
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which , when will managed and served, will return a handsome lifetime income stream to Co.
Relationship marketing is not only a company drives to bond better with their consumer. Companies also develop mutually profitable relationships with their retailer, supplier and distributor. If the Co. squeezes its retailer profit unduly, it forces too much product on distributor the Co. will fail. Smart companies check & balance with their supplier and distributor in the drive to better serve their ultimate customer. And marketing, at its best goes beyond meeting existing customer needs. Good company will meet needs; and great companies will create a market.
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TABLE-III
Marketing promotional data being collected through daily survey as to the scenario of both Coca-Cola and Pepsi and inspecting the need of the promotional accessories therefore. The entire highway market being studied started from Sumam theatre to Kadrabad.
CATEGORY GSB DPS COUNTER TABLE-CHAIR & UMBRELLA COCA-COLA
39 31 28
PEPSI
15 9 27
NONE
4 18 3
44
31 29 27
17 26 29
10 3 2
Total Number of Outlets: 58 Major Market Area Covered on the Highway: Suman Theatre. Govindpuri. Rajchopla Kadrabad.
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GLOW SIGN BOARD:Being a small market equipped of various small shops and cool corners they mostly possessed the GSBs. While at some big outlets there may be 2 or more. Taking into consideration this market Pepsi has a high competitive share with Coca-Cola, which need to be taken care of.
DEALER PRINTED SIGN BOARD:Many of the outlets were provided the DPSs while the market promotional activities had been conducted. Pepsi though behind Coca-Cola in this category had not lead down much emphasis on it. Usually found at bigger outlets that do bulk stocking of the product as the companys advertising is being featured on it.
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COUNTERS:Both Pepsi as well as Coca-Cola go hand in hand under this criterion. On regular basis the counters of Coca-Cola were distributed earlier and Pepsi made its distribution later, which was observed as a result that the later ones seemed new. The counters do add to the outlets initial impact at the consumer, which attracts him to make the purchase.
COUNTER
TABLE- CHAIR-UMBRELLA:In the market of Modinagar theres a limited scope for these accessories as they are found mostly at open air restaurants having large premises. The restaurants here are not much sophisticated with gardens or compounds having place to put in Umbrellas, etc. also a major share of the market is left untouched by such provisions that may flourish in near future.
50 40 30 20 10 0 COCA- PEPSI NONE COLA TABLE-CHAIR & UMBRELLA
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WALL-PAINTING:-
Various sweets corners and cooling points at the market bore it. Recently Coca-Cola revived the entire market painting and turned the whole market in red. Thus , at various Pepsi outlets even the retailers got their display and walls painted red with Coca-Colas advertisements.
SALES GENERATING ASSET:there is high demand of refrigerators by the retailers, as they want to have an increase in the number of SGAs to stock more. Both Coca-Cola and Pepsi had already provided each at their respective corners. Under this segment both of them have near about stand this being one of the basic necessities.
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RACK:Under this category its Pepsi who has taken the lead as a result of their recently organized rack distribution scheme. The retailers in return had to purchase additional stock for display on the racks in turn of PET bottles. They do play a major role in the display of the product outside the cool corners and helps in attracting the consumers
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EXPLANATION
1) GSB- GLOW SING BOARD:
It is a display board or hoarding bearing the promotional advertisement of the respective product of the company. The companies for their product promotion and sales enhancement usually provide them.
2)
Display boards of the same nature with an additional feature of the retailers name or the outlets name being mentioned on them, in order that the sponsors bear the value addition on the behalf of the company. Usually provided to stockiest who have large consumption of the product.
3)
COUNTERS:
Wooden or metallic framework provided by the company to the exclusive outlets which either stock in bulk or which are particular brand outlets. The company in return promises a certain fixed stock supply
for a certain time period. The counters bear the companys advertisements as a source of marketing promotion.
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4)
Molded furniture of plastic is being provided at various open-air restaurants or dhabas for the convenience of the customers while their visits. In return the company achieves product promotion as well as retailers satisfaction. They can also be seen at various street side cafes and juice corners.
5)
WALL PAINTINGS:
painting of the brand advertisements on the walls of the outlets, which in result attract and remind the consumers about the product. This makes the consumer aware of the popularity and promotional effort made on the behalf of the company.
6)
Under this category we generally head the refrigeration, visicoolers, and even the old designed iceboxes. On the other hand it enables to motivate the retailers for better sales on companys behalf.
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RACKS:
They are different types of plastic or material holders, which are used for the display of the pet and other glass bottle. This creates a healthy exposure of the products, remembrance to the ultimate consumers. These all help in generating the companys brand image at different levels:
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LIMITATIONS
The HIGHWAY SURVEY being conducted as the project work under Hindustan CocaCola Beverages Pvt. Ltd. Mainly dealt with the following limitations:-
1.
The survey report that was conducted had a pre-defined boundation of interviewing the retail outlet owners. Its based on simple observational analysis which may lead to deflection at the time of conclusion arrival.
2.
The survey sheet being designed had a limited scope of primary data coverage only. It did not take into consideration the other availability of supply and Co ground on which it decided upon the provision of distribution of the promotional accessories.
During the entire survey the retailers willingness for acquiring the accessories in accordance with the schemes followed with them could not be noticed. This could be one of the reasons of the non-appropriate promotional efforts in making an awareness among the customers
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CONCLUSION
2) The various retailer had an enormous demand for better GSBs and in many cases of DPS for a better, impressive outlet look to attract consumers. 3) The endless demand of visicoolers in order to store large quantity of stock as a part of marketing and distribution promotional function of the company is studied therein. 4) The steady flow of the companys promotional accessories could be felt irrespective of the consumption of the outlets of the product. For example: racks, counters, sign boards, etc. 5) In a competitive environment the company got to study the schemes of their closest rivals, which they followed and in return fulfilled, the needs regarding their outlets set up. 6) Timely check up of the proper usage of the Cos assets (SGA) being made as well as their malfunctioning is rectified. 7) Misuse of the Coca-Cola SGAs should be brought into consideration as a retailers, stock, other companies, stock and depreciate the demand of the source company. 8) The archrivals product study can be entertained from the retailers and the privilege on their part is known which helps in formulation of better marketing promotional schemes 9) Pepsis regular stockholders be traced and break up by providing motivational introductory offers enhancing the market capture.
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10) Coca-Cola should try to make arrangements so that the marketing representatives would visit the retail outlets regularly and try to solve the retailers, as well as the distributors, problems which they usually face during the peak season.
11) Better efficient sales representatives be appointed to update the retailers about the schemes in comparison to Pepsi. This would encourage a curiosity regarding the Coca-Cola schemes among them.
The complaints of the retailers be studied and paid attention of the highest degree to ensure better market capturing.
So
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BIBLIOGRAPHY
BOOKS Kothari Philip, Marketing Management, Prentice Hall India, New Delhi. Kothari C.R, Research Methodology, Wishwa Prakashan, New Delhi.
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QUESTIONNARE
Route No. :Name of outlet:Contact person: Address:-
1 . Type of Channel:(a) Eatery (b) Grocery (c) Convenience (d) Institute (e) Other
2. Infrastructure of retail outlet :(A) Pepsi (a) Empty (i) (b)Vision/oye (c ) Ice box (d) Signage (ii) (iii) (iv)
3. Pack availability of a daily average sale:(B) Pepsi (a) (b ) (c ) (d) (e) 200ml 300ml 500ml 2000ml Aquarian/Kinsley (i) (ii) (iii) (iv) (v)
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4.
(a) Cash Discount (b) Credit (c) Empty loan (d) Other 5. Types of Status:
5. Which company product you sell more? (a) 6. Pepsi (b) Coca-C0la (c) Both
Why you prefer Pepsi /Coke or mix (please. Rank it): (a) (b) (c) (d) (e) (f) (g) Consumer demand Service Scheme Personal relationship with company employee Facility provided by the company Relation with root agent Company staff frequently visit
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7.
(i) Which company provides better delivery? a) Pepsi (b) Coke (c) Both (d) None
(ii) Which company vehicle arrives on time? (a) (iii) Pepsi (b) Coke (c) Both (d) None
Which company provides better service in emergency? (b) Coke (c) Both (d) None
Which companys vehicle is more regular in visit? Pepsi (b) Coke (c) Both (d) None
Retailer satisfaction equipment: Which company provides better scheme (visi/oye) Pepsi (b) Coke (c) Both (d) None
Which company provides better scheme for ice box: Pepsi (b) Coke (c) Both (d) None
Retailer satisfaction scheme: Which company comes out with good schemes? (b) Coke (c) Both (d) None
Which company executes his marketing scheme? (b) Coke (c) Both (d) None
(a) Pepsi
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(iii) Which company provides better option for marketing scheme? (a) Pepsi (b) Coke (c) Both (d) none
(iv) Which company offers other more trade scheme: (a) Pepsi (b) Coke (c) Both (d) None
(v) Which company offers more value trade scheme? (a) 11. (i) Pepsi (b) Coke (c) Both (d) None
Regular satisfaction relationship: Which company route agent behaves more supportively and professionally? (a) Pepsi (b) Coke (c) Both (d) None
Which company official visits more frequently? Pepsi (b) Coke (c) Both (d) None
Which company officer provides better solutions? Pepsi (b) Coke (c) Both (d) None
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