“Comparative analysis of market share between Pepsi and

coca-cola”

Submitted in partial fulfilment of the requirements for the degree of

Bachelor of Business Administration affiliated to
Punjab University, Chandigarh.

SUBMITTED TO: SUBMITTED BY:

Prof. Jagdeep singh Ranjit Singh
Lecturer GPC 1617, BBA- 3RD,
Uni. Roll No. 16089391

GOBINDGARH PUBLIC COLLEGE,

MANDI GOBINDGARH
 DECLARATION

I, Ranjit singh hereby declared that I have prepared this project report- “ comparative

analysis of market share between Pepsi and coca-cola” in partial fulfilment award

of Bachelor of Business Administration (BBA) from Gobindgarh Public College

(GPC), Mandi Gobindgarh Affiliated to Punjab University, and Chandigarh, under the

guidance of Prof. Manoj Arora. This project is compiled and submitted by me is my

original framework. The findings in the report are based on the data collected by me

while preparing this report. I have not copied the data from any previous report.

Date :

Place : (Ranjit Singh )

BBA 3rd Year.
 ACKNOWLEDGEMENT

I would like to Avail this opportunity to express my deep sense of gratitude and

indebtedness to all those who have helped and encouraged me towards the successful

completion of the project.

I thank Gobindgarh Public College Mandi Gobindgarh who gave me the opportunity

to work with a major project.

I also thankful to Prof. Jagdeep Singh (Project Guide) for his valuable suggestions,

guidance in solving the intricate problem throughout our present Endeavour of this

manuscript. Also, without his initiation I would not have a chance to undertake this

study work and could not explore the new sphere of knowledge.

Last but not the least, I express my gratitude to all those who directly & indirectly

directed me for successful completion of this project.

Sincere regards,

Gurmeet Singh Dhiman

 CONTENTS

 Declaration

 Certificate

 Acknowledgement

 Introduction

 Company profile of PEPSI

 Product detail of Pepsi

 Project in company

 Objectives of the study

 Research methodology

 Data analysis and interpretation

 Findings and Conclusion

 Limitations

 Suggestions

 Bibliography

 Annexure
 INTRODUCTION

The word Pepsi is now the household name all over the world. This American

company rules the world in a vast market of beverages and snacks. This empire

operates under the name PEPSI CO INC. with global headquarter at New York, also

known as Pepsi city

At present Pepsi Co. Inc have three operations i.e. in beverages, snakes and fruit juice.

The fruit juice business is operated under the brand name called TROPICANA. It is

the world‘s largest producer and marketer of branded juices.

The snacks business is carried under the name of FRITO LAY. This wholly owned

subsidiary of PEPSI FRITO LAY is the world leader in snacks chips market and

enjoys the absence of any other competitor. It has two businesses FRITO LAY

NORTH AMERICA and FRITO LAYS INTERNATIONAL.

The main business of PEPSI CO. is beverages. It operates under the umbrella of

PEPSI COLN, which enjoys the second position among the soft drink companies

headed by COCA COLA

Pepsi Co. Inc. is undergoing a massive restructuring to give itself a look. Pepsi

separate itself from restaurant business in 1987.It sound off pizza meets, KFC and

TACO Bell and combines them under a new independent company TRICON. It

created a separated company or round bottling operation called bottling group.

Under Pepsi Co. International, Pepsi India is one of the ten business units.

The operational area of Pepsi India consists of Nepal, Bangladesh, Bhutan, Srilanka

and India. Pepsi started their operation in India in 1989 and Pepsi Food Ltd. Was

registered for operation. Both Pepsi foods are recognized trading companies under the

policy of GOVT of India.

Pepsi also manufactures high-pressure moulded grade resin (PET), high quality glass

bottles, Plastic crates, promotional materials and packaging material for TRICON.

Pepsi with keeping with their agenda for innovation and to further boost their

market pressure has recently tied up with FMCG major Hindustan Lever Ltd. To

make available to the customers both hot and cold beverages from under one roof.

Pepsi has a soft drink concentrate plant in Channa in Punjab set up in 1990 with an

investment of $50 million. From this plant Pepsi provides the concentrates of all the

Pepsi.

COMPANY PROFILE
Steel City Beverages Ltd. Adityapur, Jamshedpur a medium sector enterprise located

amidst beautiful surrounding on the Tata-Kandra road in the Adityapur industrial area

and producing Pepsi range of bottled soft drinks viz. Pepsi, 7up, Mirinda and Slice

and had now become a household name in Jharkhand today symbolizes achievement

and advancement over the years. Today, it symbolizes self-reliance in quality and

technology, productivity and industrial relations since its inception more than 25 years

ago.

S.C.B.L. was established in 1967 and production commenced in March 1969. At the

very outset the company installed state of the art machines and technology, for the

production and bottling of soft drinks. The bottling plant with a capacity to produce

220 bottles per minute is totally automatic and also has a modern state of the art inter

mix machine for bringing forth the right blend of flavours. The company continues to

adapt innovative technology in keeping with its policy of constant quality

improvements. With the advent of Pepsi cola internationals in India, the company

entered into an agreement with Pepsi foods ltd. for the production and sales of Pepsi

range of soft drinks.

The company which has a manpower of 110 ranked as the best bottling company in

the country in terms of quality, efficiency, sales, productivity and HRD. Under the

guidance of its chairperson Smt. Kusum Kamani and the able stewardship of its

Managing Director Sri. Nakul Kamani, the company has consistently backed on

numerous occasions awards for quality assurance and productivity.

In 1993, it bagged top honours for being the best quality conscious plant among all

Pepsi bottling companies in India.

The company’s highly sophisticated plant and quality control laboratory along with

the dedication and enterprises of its employees is more than evenly matched by the
management’s sense of understanding and compassion that had ensured the company’s

progress with every passing day.

S.C.B.L. was taken over by Mr. S.K. Jaipuria in March 1999 from Mr. Nakul Kamani

along with Rishabh Marketing (P) Ltd., the marketing unit.

Mr. S.K. Jaipuria is very much enthusiastic and enterprising businessman. He has a

number of bottling plants all over India, like Orissa, Bhopal, Nagpur, Hyderabad,

Dharward etc. In 2002 he setup another bottling plant in the name of SMV Beverages

(Jamshedpur), a unit of SMV Agencies (P) ltd. It has a capacity of 600 BPM which is

catering to the whole of Jharkhand. It is also a franchisee of Pepsi.

Though Mr. Jaipuria holds the top position but overall policies regarding managerial

decisions and all executive functions are performed and looked after by Mr. P.S.

Kumar, Director S.M.V. Beverages. He looks after all the functions of production,

sales, accounts, personnel, purchase etc, and all the departmental heads assist him in

the smooth running of the day to day affairs of the company.

S.M.V. Beverages won the PEPSI Q.A. (GOLD) INTERNATIONAL QUALITY

AWARD for the year 2007.

S.M.V. Beverages also setup a PET bottle plant in March 2008. it has a capacity of

bottling 40 PET bottles per minute. It is bottling 500ml, 1.5 lt., 2 lt. PET bottles of

different flavours namely Pepsi, Mirinda, 7up, Mountain dew.

FOLLOWING ARE THE MAJOR CONSIDERATIONS

 Clear lines of authority

 Adequate delegation of authority

 Minimum managerial level

 Unity of directors

 Application of ultimate responsibility

 Span of control

 Simplicity

 Flexibility

ORGANIZATION CHART OF SMV.BEVERAGES

 DIRECROR
DIRECROR
(SMV
(SMVBEVERAGE)
BEVERAGE)

Plant Purchase PMTMI

PMTMIScooler
Scooler Logistic
Personal
Personal Plant Purchase Finance
Finance Logistic
Mgmt. Dept. Dept.
Dept. Dept.
Dept.
Dept. Mgmt. Dept. Dept.
Dept. Dept.

Personal
Personal Production
Production Purchase
Purchase Equipment
Equipment Finance
Finance Logistic
Logistic
Manager
Manager Manger
Manger Manager
Manager Manager
Manager Manager
Manager Manager
Manager

Personal
Personal Account
Account
Supervisors
Supervisors Supervisors
Supervisors Staff
Staff
Officer
Officer Executive
Executive

Staff
Staff Staff
Staff Staff
Staff Accountant
Accountant

Security
Security Lab
Lab Store
Store
Dept.
Dept.

Store
Store
 ORGANIZATION CHART OF MARKETING COMPANY

DIRECROR
DIRECROR
(SMV
(SMVBEVERAGE)
BEVERAGE)

PERSONAL
PERSONALDEPARTMENT
DEPARTMENT HEAD
HEADOF
OFSALES
SALES

Territory Marketing
MarketingDevelopment
Development
TerritoryDevelopment
Development Shipping
ShippingDepartment
Department Finance
FinanceDepartment
Department
Manger Manager
Manager
Manger

Marketing
MarketingOfficer
Officer Supervisors
Supervisors Finance
FinanceManager
Manager
Account
AccountDevelopment
Development
coordinator
coordinator

Merchandiser Staff Account

AccountExecutive
Executive
Sr. Merchandiser Staff
Sr.Customer
Customer
Executive
Executive

Accountant
Accountant
Customer
CustomerExecutive
Executive

Salesman
Salesman

Loaders
Loaders

PRODUCT DETAIL OF PIPSICO




 PROJECT IN THE COMPANY

My project in the company was “COMPARATIVE ANALYSIS OF MARKET

SHARE BETWEEN PEPSI AND COCA-COLA”. For this I had to cover some areas

of Punjab from which I selected to visit the all outlet in Mandi Gobindgarh, Sirhind,

Khanna market. Market survey is one of the most widely used marketing research

techniques. Its purpose is collection of specific data concerning to the market that

cannot come from the company’s internal records or from external published source of

data. The only way to get accurate data regarding the target market is by physically

moving around in that area along with the Pepsi vehicle. There are various types of

surveys out of which the one that I used was the census survey. The report on

marketing activities of S.M.V. Beverages is based on a survey which is known as a:

Comparative analysis of market share between Pepsi and coca-cola.

Retailer survey is one of the most accurate methods to known about the market share

of a company and it is especially true for soft drinks companies. Soft drink market is

typically characterized by changes in the stock position everyday.

In order to have a good knowledge about the market and the route it was important for

me to move along with the Pepsi vehicle. This helped me to know about:

1. Number of retailer in the selected areas.

2. Location of the retailer.

3. Type of retailer

4. To get there comments and complaints.

Learning in the classrooms and learning practically are two different things. So for the

first 10 days I moved along with the Pepsi vehicle interacting with the retailers and

trying to build up a rapport with them. From this I also came to know how to deal

with different types of retailers and how to convince them. Feedback from the

retailers helped me to find out where the

Company was lacking in terms of service provided and also how the competitors

fared on the same parameters. These feedbacks help the company to improve its

services and as such increase retailer satisfaction which in turn results in better sales

and revenue generation. Thus appropriate marketing strategies can be worked out

based upon the findings.

While conducting the survey of the retailer I made a format which I personally filled

up by interviewing all the retailers in the Sakchi, Bistupur, Adityapur and Mango area.

NUMBER OF OUTLETS:

In the area of Mandi Gobindgarh, khanna, sirhind, and nearby villages there are 425

outlets selling soft drinks out of which around 95 are Pepsi exclusive outlets and 65

are coca-cola exclusive outlets. Rests are selling both the brands. Also there are three

types of outlets in the Selected Areas which are:

 Convenience outlet which includes general stores, beetle shops, medical stores

and other types of shops

 Grocery outlet which includes shops selling grocery

  Eatery which includes restaurants, fast food joints etc

Number of total outlets:

Total number of outlets – 425

Outlet type Outlet numbers

CONVININCE 195

GROCERY 145

EATERY 85
 OBJECTIVES

To conduct the research work, two broad objectives were taken. The study analysed

following objectives:

 To find out the retailer satisfaction level of Pepsi Co.

 To find out the expectations of the retailer from the company.

 RESEARCH METHODOLOGY

Research methodology is a way to systematically solve the research problem.

Generally various steps are adopted by a researcher in studying the research along

with the logic behind them. Researchers not only need to know to how to apply

particular research techniques, but also need to mean and indicate why. Researcher

also needs to understand the assumptions underlying various techniques and the

criteria for the applicability of these techniques to certain problems.

Thus, research methodology helps to give the logic behind the methods used in the

context of our research study so that research results are capable of being evaluated

either by the researcher himself or by others.

SAMPLING DESIGN

SAMPLE SIZE

I covered 425 outlets in Selected Areas. Who sales either pepsi or both pepsi and coca

cola.

DATA COLACTION

Data has been collected through both primary and secondary approach. But most of

the data collected from primary source.

PRIMARY DATA:

Primary data is that data which was collected from the direct interaction with

retailers and which is raw in hand and is used for the first time. The primary

data is collected through questionnaire and interviews from the retailer.

SECONDARY DATA:

Secondary data is data which has been collected from the different sources

earlier i.e magazines, journals and the internet.

STATISTICAL TECHNIQUES:

After collecting the information I analyzed the information by plotting the graphs of

different responses of the survey.

FINDINGS

After analyzing the date there were some problems, which came into light and were

recommended to the T.D.M about the problems.

 DATA ANALYSIS AND INTERPETATION

1) How much of the business you do, from Pepsi?

With the help of this question I tried to find out that how much a businessman do a

business from the product of Pepsi. To make the analysis the shops have been

divided into 3 categories namely:

1. Convenience Shop

2. Eatery Shop

3. Grocery Shop

Convenience Shop: Convenience outlet which includes general stores, beetle

shops, medical stores and other types of shops

Grocery outlet which includes shops selling grocery

Eatery which includes restaurants, fast food joints etc.

Convenience Shop 26-50%

Eatery Shop 11-25%
Grocery 0-10%
Interpretation

In this category many of the businessmen are doing most of the business through

convenience shop followed by eatery outlets and then grocery outlets.

2) How frequently do you buy Pepsi?

Through this question I could make analysis on the sale of the products of

Pepsi and coca-cola

Alternate days 54%

2-3 Times a week 2%
Once a week 44%
Less frequently 0%
Interpretation:

From the above graph we can interpret that 54% of the retailers agree to order for the

stock in the alternate days because of lack of space and these retailers are mostly

beetle shops as they want the route vehicle to visit them regularly so they are able to

meet the demands of the customers regularly.

44% of the retailers prefer to order once in a week as they have a large storing space

and prefer to order in bulk. 2% retailers prefer to order 2 to 3 times a week this

includes few grocery shops and beetle shops because of less storing space. These

retailers give small orders and do not store in bulk.

No retailers agree to buy Pepsi products less frequently.

3) What is your favourite C.S.D of Pepsi?

By this question I tried to figure out which is the most preferred cold drink of Pepsi

by the customers.

PEPSI 31%
MOUNTAIN 9%

DEW
7 UP 19%
SLICE 15%
MIRINDA 26%

Favourite C.S.D of Pepsi

15%
31%
9% Pepsi
7up
Mirinda
Dew
Slice

26%
19%

Interpretation:

In this graph I have concentrated on Pepsi products where Pepsi has recorded the

highest preference level of 31% followed by Mirinda with 25%

Followed by 7up with 19% and then Slice with 15% and lastly Mountain Dew with

9%.

4) How many each of the following C.S.D brands do you own?

PEPSI 20%
MIRINDA 21%
7-UP 21%
 MOUNTAIN 17%

DEW
SLICE 21%

Interpretation

As per the graph most of the retailers own all the brands of C.S.D. Retailers keep the

stock of each and every brand of Pepsi. Where Pepsi 20%, 7UP 21%, Mirinda 21%,

Slice 21% and lastly Dew having 17% which means that Dew is less preferred by the

retailers to keep in stock.

5) How satisfied are you with Visi cooler of Pepsi?

With the help of this question I tried to find the opinion of the dealers about the

facility provided by the company.

Very satisfied 12%

Quite satisfied 18%
 Neither satisfied nor 31%

dissatisfied
Quite dissatisfied 29%
Very dissatisfied 10%

Interpretation:

From the above graph we can interpret most of the retailers are not satisfied by the

visi cooler facility provided by Pepsi. This is not a good sign for the company as this

is an effective strategy.

6) How satisfied with the credit facilities of Pepsi?

Very satisfied 6%
Quite satisfied 58%
Neither satisfied nor 26%

dissatisfied
Quite dissatisfied 8%
Very dissatisfied 2%
Interpretation:

From the above graph we can interpret that 58% of the retailers are satisfied with the

credit facilities given by Pepsi. 26% of the retailers are neither satisfied nor

dissatisfied those who don’t prefer to go for credit. 2% of the retailers are dissatisfied

as they want the extension of the credit period.

7) How satisfied are you with the schemes provided by Pepsi?

These questions provide us the opinion of the dealers about the schemes provided

by the Pepsi which helps to push and generate the

Product in the
Very satisfied 38% Market.
Quite satisfied 58%
Neither satisfied nor 4%

dissatisfied
Quite dissatisfied 0%
Very dissatisfied 0%
Interpretation:

From the above graph retailers are quite satisfied with the schemes provided by the

company. None of the retailers are dissatisfied with the schemes. 38% retailers are

neither satisfied nor dissatisfied i.e. they have average opinion about the schemes.

8) How satisfied are you with the Dealer board of Pepsi?

Very satisfied 8%
Quite satisfied 33%
Neither satisfied nor 37%

dissatisfied
Quite dissatisfied 18%
Very dissatisfied 4%
Interpretation:

From above graph we can interpret that 37% of the retailers have average opinion

about the dealer board of Pepsi and 33% of the retailers are satisfied with the dealer

board provided by the company. 18% of the retailers are dissatisfied with the dealer

board of Pepsi as they have not been provided with a new dealer board.

9) How are you satisfied with the Glow Sign Board of Pepsi?

Very satisfied 0%
Quite satisfied 36%
Neither satisfied nor 30%

dissatisfied
Quite dissatisfied 32%
Very dissatisfied 2%
Interpretation:

The above graph shows that the retailers have mixed opinion about the Glow sign

board of the Pepsi. Out of that 36% of the retailers are quite satisfied with the Glow

Sign board. 30% of the retailers are neither satisfied nor dissatisfied whereas 32% of

the retailers are dissatisfied with the board. So the company should provide good glow

sign boards to the retailers which will help them to attract customers.

10) How would you rate Coke compared to Pepsi in Visi cooler?

This question will help to provide information about the services, support and

facilities provided by Pepsi as compared to Coke.

Coke is a lot better 0%

Coke is a little better 64%
They are about the 29%

same
Pepsi is a little better 7%
Pepsi is a lot better 0%
 Interpretation:

64% of the retailers are of the view that Coke visi cooler is better than Pepsi. 29%

of the retailers are of the opinion that they are same .7% of the retailers think that

Pepsi visi cooler is better than coke. Retailers are satisfied with the visi cooler of

Pepsi

11) How would you rate Coke as compared to Pepsi in credit

facilities?

Coke is a lot better 0%

Coke is a little better 11%
They are about the 39%

same
Pepsi is a little better 50%
Pepsi is a lot better 0%
Interpretation:

11% of the retailers think that the coke is little better whereas 39% of the retailers

think that they are about the same and 50% of the retailers are of the view that the

Pepsi has better credit facilities as compared to coke. So Pepsi provides better credit

facilities as compared to Coke.

12) How would you rate Coke as compared to Pepsi in schemes?

 Coke is a lot better 0%
Coke is a little better 15%
They are about the 18%

same
Pepsi is a little better 57%
Pepsi is a lot better 10%

Interpretation:

57% of the retailers are of the view that Pepsi provides better schemes than Coke .

10% of the retailers are of the opinion that Pepsi is lot better and 18% think that they

provide the same schemes. 15% think that Coke is little better. Pepsi is the leader in

this category.

13) How would you rate Coke as compared to Pepsi in Dealer

Board?

Coke is a lot better 3%

Coke is a little better 42%
They are about the 33%
 same
Pepsi is a little better 22%
Pepsi is a lot better 0%

Interpretation:

The graph shows that 42% of the retailers think that Coke is little better and 33%

retailers are of the opinion that they are about the same.22% of the retailers are of the

view that Pepsi is little better than Coke in Dealer board of Pepsi.

14) How would you rate Coke Compared to Pepsi in Glow Sign

Board?

Coke is a lot better 6%

Coke is a little better 55%
They are about the 33%
 same
Pepsi is a little better 6%
Pepsi is a lot better 0%

Interpretation:

The above graph shows that 55% of the retailers like the glow sign board provided by

coke. Very less retailers are satisfied with the glow sign board provided by Pepsi.

15) Product Quality of Pepsi?

With this question I tried to find out the Product received by the retailers are faulty or

free from faults.

1 in 10 products 0%
 received are faulty
1 in 50 received have 0%

faults
1 in 100 received have 0%

faults
1 in 1000 received 13%

have faults
Never received faulty 87%

products

Interpretation:

Most of the retailers were of the view that they have never received faulty products.

13% of the retailers are of the view that 1 in 1000 received have faults. This is a good
sign that quality of the product is up to the mark. This makes both the dealers and

consumers happy.

16) Delivery of the product on promises?

This question will help to find out whether the distributors are delivering the

product to the retailers as on demand.

5 out of 10 promises made or 37%

less
7 out of 10 promises made 39%

8 out of 10 promises made 18%

9 out of 10 promises made 6%

Interpretation:

The above graph shows that 39% of the retailers that the company fulfills 7 out of

10 promises and 37% of the retailers that the company fulfills 5 out of 10

promises 18% of the retailers think that the company fulfills 8 out of 10

promises.6 % of the retailers think that company is able to fulfils 9 out of 10

promises. So Pepsi Company has satisfied the retailers as they provide them the

product as and when needed by the retailers.

 FINDING AND CONCLUSION

 Pepsi should maintain the regularity of supply to meet the demand. But it has been

seen that the supply in some region is irregular. Because of shortage of product or

some misunderstanding between retailer and dealer.

 Periodic feedback should be taken from Hotels regarding service and quality and

try to implement them.

 Company should try to make more agreement from the hotel as the sale of the

C.S.D is large.
 Company must encourage the high selling counters by providing incentives and

other extra benefits.

 Company must collaborate with Big hotel owners and sell there product through

these channel.

LIMITATIONS

 As the project involves the marketing research using questionnaire views

expressed by the respondents are confined to the elements of the questionnaire.

But I tried my best to get the clear picture of the situation.

 Between the sender and the receiver due to differing perceptions, communication

errors in the form of miscomprehension and selective perception may creep in. In

this case too, these are unavoidable, and thus may add to slight inaccuracy in my

results.
 Some of the retailers were very apprehensive about responding.

 Some retailers were extremely unhappy with the company support.

 I found so many scheme difference from place to place.

 In some instances some respondents may not reveal the truth.

 The sample size chosen is small keeping in consideration many factors.

RECOMMENDATION

After analyzing the fact we came to the conclusion that PEPSI is undisputed market

leader. This conclusion is based on overall information collected from various

retailers and markets. They are having an edge over other soft drink producer in the

market. They are doing very good in the current scenario, but they need some object

oriented and bit dynamism in the strategy in the outskirt.

1. To increase the market Share penetration level must be increase. This can done

by building good relationship with distributor, retailer and end user

 2. All brands should be making available in all outlets. The distributor can do

this with timeliness delivery. Availability will also increase visibilities, which

in turn increase the sale.

3. To increase the visibility more visi cooler can be distributed and display can

be made.

4. Pepsi distributor can convince the retailer for entering into agreement for

exclusive outlet with some extra benefit.

5. The company should concentrate more on after and presales Services

6. There should be Good balance between Production and Sales.

Thus the SMV beverages (Jamshedpur) have an upcoming bright future in the future

years. The training at PEPSI taught me that classroom study is not an end but is a

mean to achieve your goals. The stint at PEPSI will go a long way in enhancing my

life as a student as life is full of learning one being student throughout it.
 BIBLIOGRAPHY

Sites Visited

 www.google.com

 www.pepsico.com

 www.domain-b.com

 www.yhaoo.com

 www.prdomain.com
Books Referred

 Philip Kotler

 Marketing Strategy Magazine

 Marketing management Magazine

 Marketing Research by Aaker Kumar Day

ANNEXURE- 1

Questionnaire

On

Dear Retailers,

I am an BBA Student of “GOBINDGARH PUBLIC COLLEGE” conducting a

research project on “ Retailers satisfaction toward the service of PEPSI ”. My

research has your association and patronage. For this purpose I require to know your

answers. Therefore, you are requested to please fill up this questionnaire.

Name:

Address

Contact No.

Location

Land mark

Remark