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OBJECTIVES
Major Objectives:
The objective of this study was to check and increase the market penetration of MAAZA
and know the consumer preference & demand for the mango flavoured drink concentrate
for the MAAZA vis a vis other similar products.
Minor Objectives:
• To study the presence of other similar brands in the different channels and
compare it with Maaza presence.
• To study the discrepancies related to rates at which retailers buy Maaza.
• To find out the retailer promotional activities for MAAZA .
• To study the brand awareness among consumer.
• To study the consumers behavior and preferences.
• Our work comprised of visiting different places, work along with the
distributors and to reach out to as many retail counters in the area as possible.
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EXECUITIVE SYNOPSIS
To achieve my aim, I worked with different distributors and moved with them and their
salespersons in the market to see the penetration of Maaza. My sample size for retailer
survey was 400 & for consumer survey was 200. I did two surveys in the market of M P
Nagar, new market, Habibganj, Rajbhavan, Station road, bus stand, new palace road,
ashoka Lakeview, bairagadh , laximipuri and adjoining markets.
The objective of this study was to check and increase the market penetration of MAAZA
and know the consumer preference & demand for the mango flavored drink for the
MAAZA and other similar product.
The biggest challenge for COCA-COLA, INDIA regarding Maaza is that the company
has not indulged in such a business. The Burdines of soft drinks is quite different from
that of a mango flavored drink. The problem of capturing market is provoked by fact that
the mango flavored drink market is already ruled by FROOTI, which was like a
monopoly. Frooti has become a generic name for "Juice". The problem did not stop
here. Few big companies like Pepsi, Parle, etc. have also came up with their offering
Frooti, Slice. These are few names that are giving a tough fight to Maaza.
The retailer surveys revealed that Maaza is available on most of the provision stores. It is
also available in some unconventional places like Pan shops, Medical shops, STD booths
etc. So, as far as the availability is concerned, it is in a good position in Bhopal region.
There were few problems like those that of Price cuts, infiltration of one distributor into
other's areas and of course tough competition from other products. The survey also
revealed the retailer push that is required in the form of schemes, gifts, banner, boards
etc. The consumer survey revealed the brand loyalty, brand awareness, flavor
acceptability, place of preference of consumption, effect of advertisement, and their
preferences for Maaza or Frooti etc. only in 1 year, Maaza has achieved second largest
market share after the leader Frooti. Frooti is today a generic name for fruit flavored but
Maaza becomes a threat for Frooti in few years. I found that the easy use of Maaza is
quite helpful in its spread and popularity. The brand name of coca-cola also helps this
brand to grow.
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SIGNIFICANCE OF THE STUDY
Every research is conducted to fulfil certain objectives and these objectives in turn fulfil
some purpose and are of significance for one or more than one party.
This research is significant for:
THE COMPANY
THE RESEARCHER
The study is very useful for the Researcher because of the following reasons:
1. It will provide the researcher a very rich experience about the FMCG market.
2. It would prove to be a great help for the researcher in his future endeavours.
3. The researcher w i l l be exposed to the distributors, retailers, consumers and the
company and will be able to know, how really a company works.
4. The researcher w i l l get practical experience and real exposure to the corporate
world.
Consumers are the sovereigns in the market. All economic activities in the market
namely production, distribution, exchange, consumption are governed, regulated and
adjusted in accordance with the needs and wishes of the consumers. Analysis of
consumer's behavior has considerable importance in marketing management with the
change in its philosophy. In the early days there was seller market, very few products
concentrated on quality and reasonable price structure. With the emergence of more
competitors, market started flooding with goods and services. So each producer found it
quite difficult to sell the goods in absence of proper communication, convincing power
along with the quality & reasonable price.
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MAJOR FACTORS AFFECTING BUYING BEHAVIOUR:
1. CULTURAL FACTOR
Cultural factors exert the broadcast and deepest influence on Consumer's behavior. The
growing child acquires a set of value perception, preference and behaviours through his
or her family and other key institutions.
c) SOCIAL CLASS: Social classes are relatively homogeneous and enduring division
of a society, which shows distinct product and brand preferences in many areas.
2. SOCIAL FACTORS
a) REFERENCE GROUP: It consists of ail the groups that have a direct or indirect on
the person's attitude or behavior, his life style and brand choice.
b) FAMILY: Family member constitute the most influential primary reference group.
Marketer used to determine which member normally has the greater influence in
choosing the various products.
c) ROLES & STATUS: A person's position in every group i.e. family, club or organization
can be defined in terms of sale & status. A role consists of the activities that expected to
perform. Each role carries a status. People choose products that communication their role
and status in a society.
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3. PERSONAL FACTORS
Personal characteristics of a person also affect the buying behavior largely. The sub
factors that come under personal factors are as under:
a) AGE & STAGE IN THE LIFE CYCLE: The taste of people varies according to the age
and life cycle. Marketers always choose life cycle groups as their target market.
Some recent work has identified psychological life cycle stages. Therefore, it
becomes an important point for the marketer to concentrate on changing life
circumstances- divorce, widowhood, remarriage, and their effect on consumption
behaviour.
4. PSYCHOLOGICAL FACTORS
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d) BELIEFS AND ATTITUDES:
A belief is a descriptive thought that a person holds about something .It is acquired
through doing and learning. Manufacturers are much interested in the beliefs that people
carry in their products and services. As attitude is a person's enduring favorable or
unfavorable evaluations, feelings, action, and tendencies towards some object or idea. A
company tries to fit its product into existing attitudes rather than to change people's
attitude.
Consumer decision-making varies with the type of buying decision and based on it there
are four kinds of buying behavior:
COMPLEX BUYING BEHAVIOUR: When consumers are highly involved in purchased and
aware of significant differences among brands, it is called COMPLEX BUYING
BEHAVIOUR. It involves three-step process. First, the buyer develops beliefs about the
product. Second, he or she develops attitude about the product. Third he or she makes a
thoughtful purchase choice. The marketer needs to develop strategies that assist the
buyer in learning about the product's attitude and their relative importance.
DISSONANCE: Sometimes there is very little difference between the brands. Here also
consumers are highly involved; their involvement is due to expensive infrequent and
risky purchase. After, the purchase, the consumers may experience dissonance that stems
from nothing certain disquieting feature of the bought product or hearing favorable
things about products of different brands.
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THE BUYING DECISION PROCESS: The buying decision process
comprises of five stages:
PROBLEM
RECOGNITION
INFORMATION SEARCH
EVALUATION OF ALTERNATIVES
PURCHASE DECISION
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HISTORY OF SOFT DRINK IN INDIA
With urbanization and development in the economy of India, the soft drink industry is
also flourishing with an increasing pace. The economic policy has been made more
flexible, EXIM policy and Industrial policy has been liberalized.
India is potentially one of the largest consumer markets in the world with a
population of more than one billion. Soft drink is a typical consumer product purchased
by individuals to quench thirst and refreshment. In olden days people used to quench
their thirst by taking "Water" and "Ganna Juice'' which is still prevailing in the market.
But as the people became more and more advanced and efficient, there was a felt needed
for more sophisticated means of satisfying thirst, which ultimately gave way to the
production of the modern soft drinks.
There are mainly two salient features of the consumers markets in India.
Generally, the consumers have low purchasing power and the fact that the urban
consumers represents is a very meager percentage of the total population.
Introduction of soft drinks in the name of coca cola was first created in 1886 in USA.
Dr.John S.Perferton who perfected the formula for coca cola. It was the first foreign
brand introduced in India during 1965. The Parle came up by introducing "GOLD
SPOT" in orange flavor, it was really a challenging task for Parle to position its product
i.e. Gold Spot in the market against the Coca-Cola because people were habituated of
using foreign brands. Therefore, first it was launched in Mumbai and free sampling was
done in hotels, restaurants, offices and clubs to make the people aware about the taste
and quality because it was quite different from cola coke in the attributes. Parle increased
its production unit up to 29, which was more than coca cola that had only 23-production
unit at that time.
In 1991, about thirteen years after the exit of coca cola from Indian market, A
MNC, globally known as P.C.I. (Pepsi Cola International) entered the Indian market with
PFL (Pepsi Food Ltd.). Its president, Christopher found a large scope for this soft drink
in India.
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Both PFL and Parle were the main bottlers in the soft drink arena. There was a
cutthroat competition between them. Now (in 1993) Coca Cola has reentered into the
Indian market and has acquired five brands of Parle i.e. Thumps up, Limca, Citra, and
Gold Spot. Thus, Coca Cola has become the close competitors of PFL and they are
fighting each other to gain a clear edge over the other.
The Non-Alcoholic beverage market in India is about Rs 5750 crore industry, which
can be divided into carbonated soft drinks and non-carbonated soft drinks. The
carbonated soft drinks industry is the major one, which is at around 5500 crores. Global
players. Coca-Cola and Pepsi command around 90% share in this sector
Whereas the non-carbonated soft drinks marketed can be divided into produced
concentrate and other syrups. Rasana and Sunfil (of Coca-Cola) are one of the market
leaders in this segment. Besides the above soft drinks Coca-Cola is planning to take on
the 36000 crores ready to drink tea and coffee market with Georgia, it will be the
Company’s biggest diversification with beverages in India.
Soft drink can be further divided into carbonated and non-carbonated drinks. Cola,
Lemon, Mango and Oranges are carbonated drinks offered by major soft drink
manufacturers that are Coca-Cola and Pepsi whereas non-carbonated drinks come into
powdered soft drink concentrate category (Rasana, Sun fill, fang etc.) and ready to drink
tetra pack category such as Rasana, Sunfil etc.
Soft drinks are available in bottles, cans and the large pet bottles for home consumption.
Fountains also dispense them in disposable containers whereas the non-carbonated
powdered concentrate is available in small sachets as well as in medium and large size
sachets.
The concentrated soft drink market can be segmented on the basis of purchase
or on the basis of products. 80% of consumption of soft drinks is on premises i.e.
restaurant, railway stations, cinema house. The rest 20% of the market comprises of the
soft drinks for the consumption at home. The carbonated soft drink market can also be
segmented on the basis of products.
Soft drink comes under the category of products purchased in impulse. Though the
market is marred by brand royalty, the purchaser decision itself is a low involvement
decision.
1. Consumer purchase soft drink primary to quench thirst, therefore people travelling
and not having access to hygienic water reach out for soft drink. This accounts large
part of the consumption.
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2. Brand awareness plays crucial role in the purchase decisions.
3. Consumers prefer convenient and economy products.
4. Availability in chilled form affects the purchaser's decision.
5. Brand royalty is very high in the case of and the people in the age group
of 8-25 years.
6. The soft drink market is a very price sensitive market.
7. Due to high cost of soft drinks, many time consumers prefer beverage
like tea, coffee and another drinks.
The mango flavor soft drink is mainly bought for all age groups mainly for children's. The
major players in this category are Frooti, Maaza (of Coca-Cola) besides other companies.
Frooti has been the pioneer in this sector for years. It has in fact a monopoly in this
sector. Frooti command a mighty 50% share in this category. The share of Maaza is 35%
while others hold the rest.
The produced soft drinks concentrate can be segmented on the basis of different flavors.
ORANGE
LEMON
MANGO
No exact figures are available at present to know their respective share in the market.
However, the estimated Market shares of different players in the mango soft drink
concentrate category are:
MARKETSHAREOFSIMILARBRAND
15%
FROOTI
MAAZA
50% OTHERS
35%
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Characteristics of the Mango soft drink concentrate market in India:
The Mango soft drink concentrate market is highly seasonal, it is only during the summer
seasons when there are large volume sales. Though this market is around Rs. 250 crores,
full market potential is still untapped. The major reasons of which are:
1) The rural markets have not been tapped. Lack of awareness and acceptance in the
rural markets.
2) The market leader (Frooti), which has 50% shares in this category, does not have the
distribution network of a capacity to penetrate the rural markets fully.
3) The mango flavored concentrate market does not have enough different players even
after the entry of Coca Cola and other companies.
4) No new flavors are being added and there is a heavy reliance on traditional flavor
like orange, lime and mango.
RETAILER'S PERCEPTION:
A survey was conducted to study the retailer's views of present market, further trend and
the consumer behavior patterns. The findings of the survey are as follows:
• Retailer stated that the consumers are loyal to the particular flavor of
the Mango drink.
• But as far the loyalty for the brands in each segment is concerned, it is not very
significant.
• 43% of the retailers told that in mango flavored drink, advertising is the key
component in driving sales, while 32% stated promotional schemes and 20% brand
loyalty as the reason.
• As consumers are not very brand loyal the purchase of mango flavored drink is
concerned, the Retailer push becomes a critical issue. They usually sell the product in
which they get maximum benefit. For this, the companies try to offer them higher
margins.
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I). THE COCA COLA COMPANY
The history of the world's largest beverage company begins more than a century ago. The
Coca Cola Company's world headquarters is in Atlanta. Georgia. On May 8, 1886 was a
particular day when the pharmacist, Dr. John Styth Pemborton, made the world's largest
favourite soft drink. He stirred up his formulation down the street to Jacob's "Pharmacy."
That same day the new product made its debut as a soda fountain drink for five cent a
glass. At same point by accident or design, carbonated water was mixed with the syrup to
create what would become the world favourite soft drink. Dr. Pemberton's partner and
bookkeeper Frank M Robinson, suggested the name Coca-Cola, it has 2 C's that would
look well in advertising and penned the famous trademark in his now familiar script.
Dr. Pemberton had never thought about the potential of the beverage, which he
has created. After the demise of Pemberton in the year of 1888, an Atlanta druggist and
businessman, Asa G. Candler heavily purchased the outstanding share of Coca-Cola. In
1891; he invested $2300 and acquired complete control.
The Coca-Cola beverage is found in very simple way and today its presence is
worldwide. It has a wonderful history on which to build an exciting future, despite
having many ups and downs in its way, it went on performing and touched the lives of
the consumers. The consumers from around the world enjoy it and thus its remarkable
success led it to become a worldwide beverage.
This unit worldwide system has made Coca-Cola company- the world's premier
soft drink enterprise. The company sales nearly half of all soft drinks consumed around
the world. No other company sales even half as much. As the system continues to create
a soft drink market, the company's position of leadership w i l l continue to grow.
From Boston to Beijing, from Detroit to Delhi, from Portland to Pune & from
Montreal to Moscow, Coca-Cola, more than any other consumer product has brought
pleasure and delight to thirsty consumer around the global. For more than a century,
Coca-Cola has created a special moment of pleasure for hundreds of m i l l i o n s of people
everyday.
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THE STRUCTURE OF OPERATIONS:
THE
COCA- COLA
COMPANY
(ATLANTA)
The North
The Middle & The Latin
American The Africa The Greater
The Far East American
business Groups Europe Group
Groups Group
Centre
The Coca-Cola Company exists in five groups. Each Group is further classified into
divisions each of which directly report to Atlanta Head Quarters.
THE MIDDLE
& FAR EAST
GROUP
Till 1994, Coca-Cola India was a part of the SEWA division under the middle (Far East
Group). In 1998, Coca-Cola India progresses to become a division, with reporting to
Atlanta.
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ABOUT COCA-COLA INDIA:
Coca-Cola "the world's favourite soft drink", returned to India after 6-vear absence, on
October 26th, 1993, with its launch in Agra. An agreement in March 1993 with the Parle
Group gave the company instant ownership of the Nation's top soft drink brands, with
access to Parle's 53-plant bottling network and base for the rapid introduction of the
company's international brands. This network remains India's largest soft drink bottling
and distribution infrastructure reaching Consumers through a universe of over 3.00.000
retail outlets spread across the country.
As a leading producer and marketer of soft drinks in India, the company leads the
flavored, carbonated soft drink market. The Coca-Cola Company’s products in India are
Coca-Cola, Fanta, Thumps up, Limca, Gold Spot, Maaza & Sprite.
Over the last five years, Coca-Cola leads Indian Soft Drink Industry undergone
through a series of innovative industry initiatives. These include up-gradation of technical
infrastructure and talent enhancement of quality standards, improvements in distribution
systems and stimulation of local entrepreneurs in the market place to the benefit of the
consumers.
The company has pioneered the introduction of image-enhanced graphics and
trademarked stackable, full depth plastic crates and palletized loading for efficient
distribution. Other innovations include:
As the leading producer of the beverage industry for over a century, the Coca-Cola
Company and its Indian partner's introduced a series of innovations in the areas of
productions, distribution & marketing, never seen before in India.
Coca-cola was:
• First to introduce and PET soft drinks in India.
• First to introduce vending machines India.
• First to introduce Backpack Dispensing system for in-stadium beverages serving
to cricket spectators.
• “Image Enhanced" graphic on signage, retail outlet walls and delivery vehicles.
• Trademarked tricycles and pushcarts and umbrellas, creating thousands of
mobile outlets.
• Leading edge merchandising equipment, including Icebox coolers that allow
small retailers to serve ice-cold soft drinks.
• Pioneers in training for retailers in merchandising technology, such as
product placement.
• Larger single and refillable glass bottle offering consumers more value.
ORGANISATIONAL STRUCTURE:
Asst. H. R.
Manager Exe.
Prod. Chemical
Workers Supervisor Room
ASM
ASM ASM ASM ASM
Asst. Manager
Marketing Executives
I). INTRODUCTION TO MAAZA ‘
“Yaari Dosti Taaza Maaza” with the real fruit tastes kid love , plus added calcium
strengthens to the brand. Maaza tagline means ‘Friendship with moments with fresh
Maaza .
Mazza was introduced in India in 1984 as a non carbonated mango fruit drink .
It was acquired by the Coca-Cola Company in 1993 and is currently available in three
flavors i.e. mango, pineapple and orange plus added calcium.
To my surprise we have not only reached in those I-MCG outlets but also in some
unconventional outlet like pan shops, sweet shop, stationary shop etc. Where nobody
could have thought that such a brand will reach.
The company has decided to separate the Maaza distributors from other soft drink
distributors. Therefore, they made exclusive Maaza distributors, the reason being that the
business of Maaza was quite different from that of oilier soft drinks. Distributors of
Maaza include both experienced and non-experienced people, like Mr. Yuvraj of Zari &
Zari co. and Mr. Raju Vanketesh Distributors. Both are the old distributors of Coca Cola
Company.
For Zari & Zari Co. (RGB) the beat plan is as follows:
MONDAY: Railway Colony, Nishadpura
TUESDAY: Sahu Pur.
WEDNESDAY: New Market Road, T.T.Nagar,
THURDAY: Station Road, Bus Stand.
FRIDAY: M.P. Nagar, 10 Number Stop,
SATURDAY: Raviwarwada, Budhwarwada , Sagar Naka.
This sheet also helps us to know the potential channels. This also helps us to
know as to which outlet shows maximum productivity, so that proper POP's like banners
and signboards can be given to the high productive outlets. Also, we can know which
channel show higher sales so that we can work more on that channel.
While the distributor maintained the documents, the sale part was being carried
simultaneously. Every outlet of every channel was tapped and convinced to sell Maaza.
Distribution Flow Chart:
COCA-COLA INDIA
Distributors
Trolley/Auto Wholesalers
Salespersons
Retailers
Consumers
The stock of Maaza is received in the Bhopal office from other place like
Indore, Jabalpure etc. The reason behind this, there is no plant in Bhopal. The
stock is then kept in the warehouse and waits for its dispatch to the different
distributors from the warehouse; according to their demand and requirements.
The distributors have to make prior payments in order to receive the stock; they
are also given POP material like stickers, Danglers, Buntings etc.
From the distribution point. Maaza is either sold in the retail market
directly through salesperson or auto/ trolleys, whatever is available.
From the beginning of my project, my work comprises of find out new channels
from where Maaza can be sold exploit them. The profile of the project also
looks upon to increase the sale of Maaza.
While I was moving in different routes, I use to look out for new outlets
that can be made retailers of Maaza. 1 use to convince them to sell Maaza, and
at many place 1 was successful. In my retail audit, I visited almost all the shops
that were present in the rout and at time. I moved to other interior areas to look
out for new outlets. In Vanketesh Distributors, I visited as many as 350 outlets
including all the channels. In total 1 visited more than 600 outlets and many
shops more than once assuring them of regular supply of the product, so that
they can be assured of supply of the product. 1 made nearly 7 new outlets in
different areas like New Market, M.P.Nagar, Budhwarwada etc. There were also
few outlets that were not getting supply for some time, which I reactivated. The
different channels are:
1. Grocery/Provision stores
2. Stationary shop
3. Sweetshops
4. Confectionery shop/ice cream parlours
5. Pan shops
MARKET SEGMENTATION:
TARGET AUDIENCE:
The target audience is children as well as others age group. Another target
audience which Maaza is catering through its channels is the rural masses. Rs.3
& Rs 6(Tetra pack) price tag makes it easy from the rural people and children.
POSITIONING:
The company wants to position its products as family drink, which makes the
bound of love stronger in the family. It also positions itself as a children's drink
and it has been quite successful in attracting children to its fold. Families are
also getting attracted towards it. but even now, as 1 was moving in the market,
and saw that Frooti's brand equity among families is great and people ritually
drink and buy Frooti.
III). PROMOTIONAL ACTIVITY:
ADVERTISEMENT OF MAAZA:
The advertisement of Maaza is done mainly through posters and banners. The
punchline of the Maaza is 'Yari Dosti Taza Maaza.' Apart from this, the
advertisement on television is also aired. But the frequency of the advertisement
is very low as compared to Frooti. We all know that promotions in the form of
TV and print media are very important to keep the product alive in the memory
of people. So, the company must regularly advertise about Maaza in the season
as much as possible.
When Maaza was launched in Bhopal (i.e last year) the rate of Maaza is slit
different then Frooti. However, it was not in proper success initially, but it
may capture the market later on. Thus the company has decided to have new
schemes of 500ml & 1000ml with 20% more for the same rate to increase the
sale of Maaza. One bad thing done by many distributors was that they reduced
the price on net basis. This had a bad effect on the retailers. They think that the
rates have come down. Tomorrow; if the scheme will be withdrawn then the
distributors will face problem in convincing retailers. Secondly, dealer
promotion that the company gave was in the form of refunds to the distributors.
For every sale of a case to a wholesaler, the company refunds to the distributor.
These distributors then started supplying on a lower rate, which they did not
know that in future it can become a problem when the scheme will be
withdrawn.
Marketers use numerous tools to elicit desired responses from their target
markets. These tools constitute a marketing mix. I had tried to analyze the
product MAAZA from the four P's of marketing mix.
The Product:
The Price:
The Place:
The Promotion:
STRENGTHS:
OPPORTUNITIES:
THREATS:
1. Competitors like Frooti becoming more aggressive in promotion and
advertisement.
2. The mind of consumer Frooti is just like juice, a big threat to Maaza.
3. The competitors being equally efficient in distribution and marketing.
4. The competitors which are in this business for years and had a monopoly
a few years back.
5. Entry of new players.
6. Consumer's Perception.
SALES TREND:
I started working from 1 June 2005. At that time, Maaza was started to capture
the market. A large number of cases selling per week were there. The trend
continued until first shower of rain came in Bhopal. Rainfall does have a bad
effect in the market of Maaza. It works as a deterrent to buy Maaza for both the
consumers and retailer. One of the reasons of not buying Maaza is that the
packing of Maaza is not airtight in tetra pack, due to which, it gets moist and
starts deteriorating very fast. This is a major area of concern for the company.
April, May and June are the best month for Maaza, though the sales continue
but it slows down as more and more rain falls in rainy season, the sale dies
down to a trickle.
VI). MARKET FACTS:
1. The first problem, since frooti has capture the market because of long run
back, it has its market value whereas the market of Maaza is not as same as
frooti because of newly launched in Bhopal.
2. There were certain demands from the retailers for umbrella, boards etc. I
think these promotional activities are very important. Just like painting of
shutters, walls are done for Thumps Up, Coke etc. similarly these should be
done for Maaza also.
3. The advertisement and sales promotion of Frooti is done in such a way in
consumer's mind that Frooti is a Health Drink. But in the case of Maaza the
consumer believe that Maaza is not a Health Drink it is just a soft drink.
4. Regular schemes provided by the Frooti (eg. in buying of 24 bottles of
500ml, retailers get 2 bottles free). As in the case of Mazza there is no such
schemes provided.
5. Profit margin of frooti is more given to the retailers as compared to the
Maaza.
I). MARKETING RESEARCH:
"Marketing research is the function which links the consumer, customer and
public to the marketer through information used to identify and define
marketing opportunities and problems, generate, refine and evaluate market
actions; monitor marketing performance and improve understanding of
marketing as a process. "
It specifies the information required to address these issues, design, the method
for collecting information, manages and implements the data collection process,
analyses the results, and communicate the findings and their implication".
Marketing Research has become most important tool in decision making in
marketing due to the following reasons:
1) Marketing Research is a media to fill the gap between producers and
consumers.
2) It provides correct and reliable information about customers,
competitors and one's own activities to the manager, so that the huge
amount spent on marketing activities is utilized properly.
3) Since modern business is customer oriented, it provides the
producer a systematic and analytical approach based on an assessment of
customer requirement, which helps the producer in the maximization of net
profit by producing such product that fulfill the customer's outmost level of
satisfaction.
Thus marketing research is a systematic collection, recording and
analysis of data about the problem facing by the company. It helps the
marketing manager to develop and gather new information that is further
helpful in developing marketing strategies.
Now it can be said that marketing research covers a very wide variety
of activities ranging from analysis of market potential and market share to
studies of customer satisfaction and purchase intention.
The basic need of any research is data and the methods of collecting it. Data is
information on the basis of which inferences are drawn; therefore data becomes
a very important factor in research study.
The main purpose behind framing a methodology is to describe the
research procedure that includes research design. Data source. Data collection
method, Research instruments and sampling plan.
RESEARCH DESIGN:
DATA SOURCE:
The various source of information can be broadly divided into two categories:
1) Primary source,
2) Secondary source
PRIMARY SOURCE:
Source from where first hand information's are gathered directly are called
primary source and information thus collected is called PRIMARY DATA. In
case of the above study, the primary sources were CONSUMERS.
SECONDA R Y SOURCE:
The source of information, already gathered for some other purposes arc
available, is called secondary source, and such data already collected earlier are
called secondary data. With regard to my study, secondary sources were records
of the company, magazine and papers.
The sample was chosen at random. It was stratified random sampling. The
sampling unit was Bhopal main for which this sample size was considered a fair
representative for these urban inhabitants. The sample consisted sub-samples
drawn from different age groups, income groups, professions, and sex groups
etc.
1. For analysis & interpretation of data I used:
No. Of respondents
% (Percentage) = --------------------------------------------x 100
Total No. Of respondents
2. For market penetration, I surveyed all the shops that are covered in
different routes of different distributors.
3. For retailer survey, 1 took a sample size of around 400 retailers in
various localities and areas.
4. For consumer survey, I took a sample of 200 respondents from various
age groups and localities.
5.
RESEARCH INSTRUMENT:
We conducted two surveys for Maaza, one was retailer survey in which was
done in two phases, and the other was consumer survey.
The first survey was to see how much is the sales of Maaza on each
shop on the route and to increase the sale of Maaza. For Sales, we used DSR
(Daily Sales Report Sheet), which also has columns for the other brands that are
in competition with Maaza. (Annexure 11). With the DSR, I also noted down
what are the other similar products the outlet is having.
There is no certain formula for any particular problem. The aim of the study is
to develop the ability of decision-making .In management; right decision at
right time helps an organization to run smoothly. These decisions are based on
some logic and information received from the market. The training in a
company.
not only helps the trainee to develop managerial attitude but also helps the
company to take decisions vested on the information and data analyzed by the
trainee.
ASSUMPTIONS:
The researcher while undertaking the study made the following assumption:
1. That the respondents are giving honest replies.
2. The sample size represents the fair population of Bhopal city.
3. That the respondents understand the questions.
LIMITATIONS:
Although ail efforts have been made to make the result as accurate as possible,
yet the survey suffers from some limitations. Following are some of the
limitations of the study. The purpose of mentioning these limitations is not to
dilute the quality of the result rather to enable the reader to judge the validity of
the result of the study:
DATA ANALYSIS
4 14
13
Below 15 years
15-25 years
25-35 years
35-45 years
28
41 45 years and above
Interpretation:
The consumer survey was carried out among 200 respondents, selected at
random. We went to different places like playgrounds, colleges, schools,
planetarium, housing societies, cinemas halls, etc. to get these questionnaires
filled. The questionnaires contained 14 questions. The questions were prepared
with a view to get consumer behaviour insights towards Maaza. A copy of
questionnaires is attached as Annexure 1. The total no. of consumers for the
study undertaken was 200. They were from different age groups as it is clear
above the table.
1. Brand Recall
2. Flavor Acceptability
Orange 63
Lemon 41
Mango Flavour Acceptibility 52
Pineapple 17
Litchi 12
70
Apple 63 15
60
No of Respondents
Total 52 200
orange
50
41 lemon
40
mango
30
pineapple
20 17
12 15 litchi
10
apple
0
Flavour
Interpretation:
I also tired to find out about the flavors that are most liked by people. The
results are in line with the sales trend of different flavors, whether it is Maaza,
Frooti or Juc-Up. I also asked the new flavors which they would like to have like
Litchi & Apple As we can see, Orange flavour is the most favorite of consumers,
then is mango and then comes lemon. Pineapple is not going well with the people of
Bhopal. I also tried to find out what are the other flavors that people here would like
to drink. The response from consumers were in favor of Apple & Litchi.
3.Brand Awareness:
12%
11%
10% 51%
16%
Know very well A fair amount A little bit
Heard of only Never heard of
Interpretation:
In the case of Brand awareness, Maaza showed high brand awareness more
than 50% respondents know the brand "Maaza".11.5% respondents never heard of
the brand Maaza. Here one important thing is that the awareness is very high
among school going children & teenagers.
Well Priced 30
Availability 50
Taste 65
Brand 55
Total 200
Reasons For
Maaza Preference
15%
28%
Well Priced
Availability
25%
Taste
32% Brand
Taste
35%
Brand
24%
Interpretation:
I also asked the respondents why they prefer Maaza or other brands, especially
Frooti. The reasons for other brands preference, especially Frooti, because as
consumer mind set "Frooti as health drink" and also because of market value.
Here it is a threat for The reasons for other brands preference, especially Frooti,
because as consumer Maaza because other companies have also similar
concepts and can come out with products in similar price range products. So the
company should act fast to give their consumers value for their money and give
something extra which other product is not able to provide them.
5. Brand loyalty:
Brand loyality
11% 5%
Look Maaza
elsew here
15% 45% Buy another brands
Interpretation:
No. of respondents "what they would do if Maaza were not available on their
shop" to check the brand loyalty. The results are encouraging for the company. The
customers of Maaza are, if not very much loyal to the brand, but at least prefer
this brand to other brands.
. Effect of Advertisement:
Effect Of Advertisement
TV
9%
44%
Friends
30%
Newspaper
4% 13%
Posters&
banners
Retailers
Interpretation:
7. Place of Preference:
AGE PLACES SHOP HOME RESTAURANT OTHER
GROUP PLACES
Below 15 years 7 23 10 0
15-25 8 20 25 23
25-35 7 15 15 7
35-45 2 21 6 3
TOTAL 24 86 56 34
Place Of Preference
SHOP
17% 12%
HOME
RESTAUNRANT
28% 43%
OTHER
PLACES
Interpretation:
Generally, people prefer to consumer at home. Apart from home, the
preferred places, restaurants or other places of convenience.
8.Price Effect
Prices No. Of respondents
Rs3 20
Rs6 36
Rs8 63
Rs20 40
Rs36 41
Total 200
Price Effect
21% 10%
Rs3
18%
Rs6
Rs8
20% Rs20
Rs36
31%
Interpretation:
The pricing of the product plays an important role in the marketing of the
product. Generally, the lower the price the higher the sells. As the survey
indicates, more than 60 percent prefer RGB.
Perception About
Maaza
24% 19%
Price
Taste
Packaging
Availability
Brand name
20% 28%
9%
Interpretation:-
The most liked features of the product include low price, and its taste. Other influence
features being a Coca-Cola product and easy availability
11. Reasons for Dissatisfaction:
9% 10% Limited
12% Flavours
Packaging
Others
Interpretation : -
What people dislike most about this product is its price that masses
consider too high because the brand Frooti provides similar products. The
other reasons of dissatisfaction are its taste and availability in limited
flavors apart from its packaging.
There was two phases of retailer survey carried out by me. One survey was
aimed to see the different outlets in which Maaza is present. It also makes a
comparison in terms of distribution and availability with other similar products
like Frooti, Slice, Jumpin, etc. present in the market. The other survey was to
fill the Questionnaire of the retailers. The survey took into consideration around
400 shops. Among all the shop visited and observed, about 80% were
Provision/ Restaurant, Grocery shops, 2% were Stationary and PCO, 8% were
Pan Shops, 4% were Sweet Shops and Medical shops and others were 4%.
Maaza has its presence in these various channels. Maaza has its presence in
80% of these shops, Frooti in 60% of these shops. The presence of slice is very
less, around 30-35% of the shops. The distribution and availability of slice is
not mat good despite the fact that it is a Pepsi product.
RETAILER'S PERCEPTION:
A survey was conducted to study the retailers views of present market, further
trend and the consumer behaviour patterns. The findings of the survey are as
follows:
• Retailer stated that the consumers are loyal to the particular flavour.
• But as far the loyalty for the brands in each segment is concerned, it is
not very significant.
• 43% of the retailers told advertising is the key component in driving
sales, while 32% stated promotional schemes and 20% brand loyalty as
the reason.
• They usually sell the product in which they get maximum benefit. For
this, the companies try to offer them higher margins.
• One Of the main factor about Maaza is, it is newly launched in Bhopal.
1. Availability of Maaza:
PCO
Others
80%
Interpretation
From this survey, we can see that the availability of Maaza is satisfactory and it
is as par with nearest competitors. But Frooti is market leader and is catching up
very fast. The distribution of Maaza has utilized all the available channels. It has
made Medical shops, Pan Shops, and even few Vegetable shops productive.
Today many sweet shops sell Maaza and distributors get regular demand from
these shops.
Reasons Responses
5% Market demand
14%
High margin
4% 42% Quality
Availability
8% Gifts & schemes
Brand name
18% 9%
Others
Interpretation
we interviewed retailers with the help of Structured Questionnaire and asked
about the position of the brand; reasons for sale and about the activities that
the company should undertake to promote the product. The second retailer
survey was about what are the promotional activities that the company should
indulge itself in, so that the sale of Maaza could be increased and will induce
retailers to push the product.
Reasons Responses
Market Demand 104
Quality 40
Irregular Supply 60
Margin 100
Gifts & Schemes 76
The Product 12
Others 8
Total 400
3% 2% Market Demand
19% 26% Quality
Irregular Supply
Margin
Interpretation
Many responses were in favour of more margins, many responses were in
favour of gift items to be given to the retailers. The survey also was aimed at
finding the reasons for not keeping the product in the Shops. There were
some reasons given by the shopkeepers, who are summed up in the
parameters of demand, quality, irregular Supply, profit margins, brand name,
the product itself, gift & schemes and other reasons. The responses are given
in the graph below. One thing that came out from this survey was that
retailers bought Maaza from different persons at different rates, which caused
dissatisfaction among the shopkeepers. The retailers also asked us to give
more TV advertisements of Maaza. Some retailers also asked about more
POP, banners, posters and boards, which are very helpful in promoting the
product.
No 112 28%
Satisfation of Retailers/Distributors
28%
Yes
No
72%
Interpretation –
One major problem is that the margin for the distributors is not very high. It is
6% when sells on the stipulated price. Therefore, more margins should be
given to the distributors So that they can take more interest in selling Maaza.
The distributors should be given lager areas. The distributors do not
take interest when their area is small, because for every beat there expenses
are more than their profit. Therefore, they do not get proper motivation to
increase the sale. When the areas will be large, the volumes will be high and
they will be able to make profits.
CONCLUSION
1. Maaza is-a coca-cola product. It is a mango flavor soft drink. Maaza comes
in one flavor of mango, it comes in different sizes of packs, tetra pack(65ml
& !25ml), PET bottles(250ml). PET bottles (600ml & 1200ml).
2. The other brands of instant drink available in market are Frooti. Slice and
Jumping. In Bhopal region Frooti is a market leader having 50% market
share and Maaza has the second largest market share of 35%. The other
brands are not doing well in the market having only total of remaining 15%
market share.
3. Maaza was launched in the market last year, and in just 1-year time, it has
became a popular soft drink compared to the existing brands other than
Frooti.
4. Maaza is sold through all the available FMCG channels in the market even
from Pan Shops, Sweet Shops. STD booths, vegetable shops, etc.
5. The retailer survey revealed that the demand of Maaza is very-good by the
consumers. However, they were not satisfied by the margins they were
getting on the sale of Maaza. They were also not satisfied with the gifts and
schemes given by the company. 28% of the retailers showed their
dissatisfaction from the company which were due to distributors &
salespersons irregularity in visits. Delivery schedules, margins and
company policies.
6. The distributors are satisfied with the Maaza because of its demand and
sale. But the distributors were facing problems due to company policies.
For replacing old expired packets, company do not have proper policy
framework like when the packets will be taken back, and when in lieu of
them product will be made available to the distributor. It leads to blockage
of funds of the distributors, which causes dissatisfaction to them.
7. The consumers like the taste of Maaza very much. They also prefer Maaza
than other brands because Mango flavor is very much liked by the
consumers. They will also prefer the Maaza if it comes in other flavors. The
consumer survey also revealed some causes of dissatisfaction also. The
major cause was packaging due to which the sachets become moisturized
after storing for long time because consumers generally consume Maaza at
home and they store it for some occasions. Frooti has very good brand image due
to its presence in the market from years. Frooti has become a generic name
for carbonated mango soft drink & "Juice". Here extensive advertisement
will play a very important role in making Maaza presence in the market.
Advertisement through TV and Posters & banners at the shops has the
largest motivating effect on customers.
8. More than 85% of the consumers are aware about the availability of the
Maaza. The awareness is very much high among school going children's
and teenagers. The brand loyally of Maaza has also increased. More than
60% of the consumers, who have consumed Maaza, prefer this brand over
others brands due to its taste & ease of making (no need to add sugar).
9. After doing the project, I am of a firm view that Maaza has all the qualities
required to become a hit. ft already had hit hard on its competitors. The
market penetration achieved in only one year of its launch is amazing. The
trend should continue. The reasons for the success for Maaza are many. The
new concept has gone well with the consumers. The taste is good and is
very much liked by the consumers. Its availability is satisfactory. The brand
name of COCA-COLA has worked in favour of Maaza.
RECOMMENDATION
1. The company through its distributors has reached to the masses. But
the company must know that promotions in the form of TV and print
media are very important to keep the product alive in the memory of
people. The management should take care that the advertisement of
MAAZA is done on an extensive scale to beat Frooti. It could boost
up sale of Maaza to maximum.
3. In line with the product promotion for PET bottles of Maaza, similar
promotion for the tetra pack should also be planned.
4. To attract children towards Maaza, some tattoo or other toy should be given
free with the tetra pack of Maaza. This will effectively cut the market of not
only its competitors, but also other products like Sweet gums or Chocolate.
5. As revealed through my findings that the target customers are school going
children, effort should be made to sell the product among the desired age group.
The concept of spot selling should be done in school and shopping malls to
attract more children.
6. One major problem is that the margin for the distributors is not very high. It
is 6% when he sells on the stipulated price. Since it is a low margin game for
the distributors, so they should be given lager areas. [ have also seen that the
distributors do not take interest when their area is small, because for every beat
the expenses are more than their profit. When the areas will be large than
volumes will be high and they will be able to make profits and take more
interest in selling Maaza.
8. While I was surveying, some people viewed that the company docs not
sponsor any events or sports. The Company should sponsor events especially
cricket matches or function in schools like Annual day or sports day. This w i l l
not only increase brand awareness but also visibility of Maaza in those areas
where the company wants.
9. For replacing old expired packets, company should make proper policy
framework like when the packets will be taken back, and when in lieu of them
product w i l l be made available to the distributor. The process of taking back
the expired packets should start before the summer season and the product
should be made available at the start of the season.
10. When the shopkeepers know that Maaza is a product of Coca-Cola, then
they expect gift from Maaza also, as they get in soft drinks. Therefore, some
gifts should be given from time to time to the retailers, to provide them
motivation to remain loyal to the company's product Maaza.
11. The company should arrange periodical meeting with distributors and
wholesalers. Tour trips and prizes should be arranged for motivating and the
high performance output.
12. Delivery of stocks on time is crucial failing which many customers will be
lost to the competitors.
BIBLIOGRAPHY
Consumer opinion.
Ql. Respondents prefer Maaza as their favourite drink according to their age
1). Below 15 years 2). 15 – 25 Years
3).25-35 Years 4) 35 – 45 Years
5)- 45 – Above Years
Q6. At what price would you like to buy the fruit flavor soft drink?
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PERSONAL INFORMATION
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-
Email Id - ----------------------------------------------------
Age: - …………………… Sex: - ……………………………………
Income –
I. Below 5000 II 5000 – 10,000
III 10,000 – 15,000 IV 15,000 – 20,000
V Above 20,000
ANNEXTURE II
Q5. What do you expect the company should do to improve the Sales of Maaza? Please
Specify.
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