Beruflich Dokumente
Kultur Dokumente
PRIVATE LIMITED
PROJECT REPORT
ON
in
Submitted by:
ABHISHEK TIBREWAL
PGDM (Marketing)
Session :( 2009-2011)
SBS.No. - 945936
1
DECLARATION
I, the undersigned, hereby declare that the Project Report entitled “NEW
PRODUCT DEVELOPMENT” written and submitted by me to the
Sinhgad Business School, Pune in partial fulfilment of the requirements
for the award of degree of PGDM(marketing) under the guidance of
Siddharth Sharma is my original work and the conclusions drawn therein
are based on the material collected by myself.
2
GUIDE’S CERTIFICATE
CERTIFICATE
Date:
3
CONTENTS
Page No
I) ACKNOWLEDGMENT 5
II) INTRODUCTION : 6
V) RESEARCH METHODOLGY
VII) LIMITATION 56
SUGGESTIONS 56
CONCLUSION 59
BIBLIOGRAPHY : 60
ANNEXURE
61
4
ACKNOWLEDGEMENT
The learning during the project was immense & invaluable. My work
basically included the study of various ways for developing marketing
strategies for the company. The present report is an amalgamation of my
thoughts and my efforts to study the various ways of developing the
marketing strategies for the company. Further a detailed study has been done
in order to suggest the company the feasible strategies that would enhance
its market share.
5
INTRODUCTION
Though the process is an ongoing one but the decisions have to be taken on
a strong base, supported by facts and figures and that too on papers. This
support can only be provided with the help of an extensive and through
analysis of the market and the data collected thereof.
The Area Sales Manager who was the lead or the project head delivered the
objectives of the project to us expressly and we had to stay with the maket
developers and help them in their workings as well as analyze the market for
Nimbu Fresh. We had to submit the day report to him. He was the in charge
of the project and gave guidelines and directions to approach the project.
6
RATIONALE OF THE RESEARCH
Sales and distribution is an integral part of marketing. Here, Coca Cola the
leading brand in soft drinks worldwide. Coke has maintained its brand image
with high precision. The marketing strategy of Coke is very stringent than
others. The main features in their marketing by their offerings and its sales
and distribution.
In the beginning the main reason for conducting this study was to know the
proper allocation of distribution to the suppliers and also to know about the
products sales.
7
OBJECTIVES OF STUDY
By this study company can know its actual status of the distribution.
This study helps the company to know their actual position in the
market.
This study ensures the availability of the product in the market.
The study helps to find out the problem of the counter and to find out
the requirement for more sales.
This research also aims at finding out the visibility of the product.
8
SIGNIFICANCE OF THE STUDY
This project is helpful to find out the sale trends of the coke products
and its effect on consumer value and satisfaction.
9
COMPANY PROFILE :
HISTORY OF COCACOLA
The world has changed in many ways since pharmacist, John Styth
Georgia. The name and the product mean so many things to hundreds of
10
Millions of consumers around the globe. Coca-Cola products are served
more than 705 million times every day, quenching the thirsts of consumers
in more than 195 countries in every climate. That's a long way to come after
1886 brass kettle in his backyard. He first "distributed" the new product by
teamed with the new syrup, producing a drink that was proclaimed
".
1886 - Sales of Coca-Cola averaged nine drinks per day. That first year, Dr.
kegs. Red has been a distinctive color associated with the No. 1 soft
11
forced to sell because he was in a state of poor health and was in
recognized trademark.
1919 - The Coca-Cola Company was sold to a group of investors for $25
million.
1923 - The Coca-Cola Company was sold after the Prohibition Era to Ernest
During the Woodruff era, Mr. Woodruff made a promise to the armed
said that costs and location did not matter; he supplied 5 billion bottles to
the service.
12
Coca-Cola bottling plants to serve American servicemen overseas.
smoother. The factor that influenced the change was that Coke's market
share fell 2.5 percent in four years. Each percentage point lost or gain meant
200 million dollars. This was the first flavor change since the existence of
the Coca-Cola company. The change was announced April 23, 1985 at the
Vivian Beaumont Theater at the Lincoln Center. Some two hundred TV and
The change to the world's best selling soft drink was heard by 81 percent of
Within a week of the change, one thousand calls a day were flooding the
13
company's eight hundred number. Most of the callers were shocked and/or
outraged, many said that they were considering switching to Pepsi. Within
six weeks, the eight hundred number was being jammed by six thousand
calls a day. The company also fielded over forty thousand letters, which
were all answered and each person got a coupon for the new Coke. Many
American consumers of Coca-Cola asked if they would have the final say.
When Pepsi heard that the Coca-Cola company was changing its secret
formula they said that it was a decision that Pepsi tastes better. Roger
Enrico, the president and CEO of Pepsi-Cola wrote a letter to every major
1985 - July 10, eighty-seven days after the new Coke was introduced, the
old Coke was brought back in addition to the new one. This was
admitted that they had goofed by taking the old Coke off the market.
14
thousand calls of gratitude. The comeback of old Coke drove stock
prices to the highest level in twelve years. This was said to be the
the Olympics.
One great earmark that the Coca-Cola Company has is helping the people of
being the first company to make and use recycled plastic bottles.
15
COKE IN INDIA
Despite the formidable track of its parent $18 billion giant in Atlanta
became the undisputed leader of the Indian soft drink market because of
their aquiring rights of Ramesh Chauhan aerated Parle drinks with one
stroke of pen and a bill of 140 crore, coke picked by five brands Thums up,
limca, Goldspot, Citra, Maaza with a combined rate of 65% with Thumsup
BENCHMARK
16
Cocacola ranks no.1 brand in the world by the business world survey
FMCG industry.
industry.
17
INDUSTRIAL PROFILE
BEVERAGES
Alcoholic Non-Alcoholic
Carbonated Non-Carbonated
18
Since the early 1990’s Coca-Cola Corporation and PepsiCo have been
India is one of the most sought after countries for foreign investments
Coca-Cola and Pepsi’s attempts to broaden their global consumer bases both
INITIAL DIFFICULTIES
obstructions even before entering the market in the late 1980’s. Coca-Cola’s
past venture in India had ended on bad terms with the Indian government
when they refused to offer up their trade secrets. During the absence of
foreign investment in the soft drink industry in India a local company, Parle,
became the market leader. Parle invested a great deal into their leading
brand, Thums Up, and played a dominant role in the soft drink industry until
the liberalization of the Indian economy in 1991. After this time many of the
political and legal obstacles facing Coca-Cola and Pepsi were lessened.
POLITICAL CHALLENGES
19
Other political challenges hindered the success of Coca-Cola and
Pepsi in India as well. In 2003, when the United States and Britain invaded
America and India. Indian’s protested American companies for the war and
specifically targeted Coca-Cola and Pepsi products. While the war was
done more to not only attempt to predict the backlash from Indian
and Pepsi, both Coca-Cola and Pepsi did a lot of things to prevent that
idioms” Coca-Cola and Pepsi both utilized popular Indian sporting events,
20
commercials to advertise their products in India, but instead made the right
cultural barriers in India. One such barrier was the affordability of products
for Indians. Because India is a country where people are known to live on
very little a day, the idea of getting people to spend what little they have on
a soft drink could be quite a stretch. However Coca-Cola India went with an
aggressive pricing policy and reduced the price of their soft drinks in 2003
Pepsi reduced their prices as well. This move allowed both companies to
offer products that were affordable to the target market in India but also
21
Both companies also created smaller sized bottles to allow for lower
prices for Indian consumers. Coca-Cola and Pepsi created bottles ranging in
size from 200 ml to 500 ml to adapt to cultural needs and increase their
sales. By offering smaller sized bottles many consumers also increased the
22
BUSINESS PLAN MODEL
DISTRIBUTION NETWORK
HCCBPL has a wide and well managed network of salesmen appointed for
taking up the responsibility of distribution of products to diverse parts of the
cities. The distribution channels are constructed in such a way that the
23
demand of customers is fulfilled at the right place and the right time when it
is needed by them.
Coca-Cola India
division, Manufactures
Gurgaon Concentrate, Beverage
base and Syrup
Customers
Consumers
DISTRIBUTION ROUTES
24
The various routes formulated by HCCBPL for distribution of products are
as follows:
25
• General: Under this route, all the outlets that come in a particular
area or an area along with its neighboring areas are catered to. The
consumption period is not taken into consideration in this particular
route.
DISTRIBUTION SYSTEM
• Direct distribution: In direct distribution, the bottling unit or the
bottler partner has direct control over the activities of sales, delivery,
and merchandising and local account management at the store level.
26
• Distribution Department: It appoints distributors and establishes a
distribution network, processes approved sale orders and prepares
invoices, arranges logistics and ship products, co-ordinates with
distributors for collections and monitors distribution stocks and their
set-up.
27
MISSION, VISION AND VALUE :-
O
ur mission, vision and values outline who we are, what we seek to achieve,
and how we want to achieve it. They provide a clear direction for our
Company and help ensure that we are all working toward the same goals.
• OUR MISSION
• OUR VISION
Our vision guides every aspect of our business by describing what we need
to accomplish in order to continue achieving sustainable growth.
28
People: Being a great place to work where people are inspired to be the best
they can be.
Portfolio: Bringing to the world a portfolio of quality beverage brands that
anticipate and satisfy people's desires and needs.
Partners: Nurturing a winning network of customers and suppliers, together
we create mutual, enduring value.
Planet: Being a responsible citizen that makes a difference by helping build
and support sustainable communities.
Profit: Maximizing long-term return to shareowners while being mindful of
our overall responsibilities.
• INTEGRITY: Be real
29
• QUALITY: What we do, we do well
30
PRODUCT PROFILE
including beverages, fruit juices and bottled mineral water. The Company is
always looking to innovate and come up with, either complete new products
or new ways to bottle or pack the existing drinks. The Coca-Cola Company
has a wide range of products out of which the following products are
marketed by HCCBPL:
31
• In the Orange & Apple section:
Organizational Chart of
Hindustan Coca Cola Beverages Pvt. Ltd.
33
34
ORGANIGATION STRUCTURE
35
ORGANIZATION STRUCTURE IN COCA-COLA, INDIA
36
HCCBPL:
SWOT ANALYSIS
37
1. STRENGTHS:-
• STRONG BRANDS: The Coca-Cola has been named the world's top
$70.45billion. People all over the world enjoy coca cola products
2: WEAKNESSES:
38
• LOW EXPORT LEVELS: The brands produced by the company are
brands produced world wide thereby making the export levels very
economies of scale.
3: OPPORTUNITIES:
per cent share of the soft drinks market; this includes a 42 per cent
share of the cola market. Other products account for 18.1 per cent
39
• EXPORT POTENTIAL: The Company can come up with new
products, which are not manufactured abroad, like Maaza etc and
whole has lead to an increase in the per capita income thereby causing
4: THREATS:
income has increased over the years .If consumers shift onto
40
• SLOWDOWN IN RURAL DEMAND: Low per capita disposable
company’s products.
41
RESEARCH METHADOLOGY
The research includes the study which was descriptive in nature.It basically
aims about studying the distribution of nimbu fresh and ensuring its
(a)PRIMARY
(b)SECONDARY
• Observation
• Survey
Research Instruments-
42
Sampling plan
SECONDARY DATA- For the secondary study data was not available so
DATA COLLECTION
43
This research work has been carried out in mutiple stages. It can broadly be
classified in two stages, which can be described as follows.
Initial Stage:-
This stage comprises of Product Knowledge and Process Knowledge.
• The product knowledge means the knowledge of product i.e minute
maid nimbu fresh which is offered by the company-
• The Process Knowledge means the knowledge about the distribution
of the product and its variants from the sales depot to the different
retailers of the city.
The actual knowledge about the product and the process was attained with
the help of Route Riding.
Route Riding means to visit different outlets on the commuting vehicle
(vehicle which carries coke product from depot to different outlets) along
with salesman. By the route riding it is very easy to grasp and understand
how the cola market actually works. Route riding elaborated the factors
influencing the cola market and provided the information about the
competitor’s strategies and schemes which they offer to the retailers in order
to gain advantage. Retailer’s grievances were best know with the help of
route riding through personal interaction. Also with route riding any one can
know about the sales status of an outlet on a daily basis.
Later stage:
44
This stage comprises of the serious implementation of the
research in the areas of patna. To ensure effective and fruitful
implementation of the research, I was helpedvby market developers
(M.D.) of the company. Market Developers provided valuable inputs.
The first step involved in this stage was to select the outlets
where the campaign has to be implemented. The outlets are selected on the
basis of some parameters like annual sale of the outlet, type of the outlet,
space available at the outlet etc.
KEY CONCEPTS
PJP PLAN
This is a new concept by the company. In this concept company takes order
one day before and then delivers the product to each route. So this gives
45
This concept has so many advantages-
This gives more time to the market developer for the activation &
branding purpose.
way.
the market.
way.
46
47
PUSH & PULL STRATEGY
PUSH STRATEGY:-
HCCBPL is using Push strategy in which they use its sales force and trade
For example-as HCCBPL is giving free pet bottles and other trade schemes
PULL STRATEGY:-
HCCBPL is also using Pull strategy in which they are using advertising and
shopkeeper.
48
DATA ANALYSIS AND FINDING
VPO CLASS
0% 13%
26%
61%
DIAMOND
GOLD
SILVER
BRONZE
49
CHANNEL
3% 9%
5%
83%
GROCERY
E&D1
E&D2
CONVENIENCE
50
FREQUENCY OF VISITS OF M.D FOR THE ORDER OF NIMBU
FRESH
2% 2% 3%
IRREGULAR
ONCE A WEEK
TWICE A WEEK
MORE THAN
93%
TWICE
12%
YES
NO
88%
51
YES
NO
28%
36%
NONE
LESS THAN FOUR
FOUR
MORE THAN FOUR
EXCELLENT
GOOD
23%
FAIR
NOT GOOD
38%
54
OUT OF 150 OUTLETS SURVEYED,
o 2 % of the retailers say that the m.d visits the outlet irregurarly
o 2 % of the retailers say that the m.d visits the outlet once a week
o 3 % of the retailers say that the m.d visits the outlet more than twice
a week
o 93% of the retailers say that the m.d visits the outlet twice a week
o17 % of the outlets say that nimbu fresh has excellent response
o22 % of the outlets say that nimbu fresh has not so good response
o23 % of the outlets say that nimbu fresh has good response
o38 % of the outlets say that nimbu fresh has fair response.
Limitations
55
• The retailers in many cases are reluctant to answer questions.
• The respondents may be biased on influenced by some other
factors.
• Time and money were the greatest limitation in carrying out the
survey.
• A number of retailers (pan-shop) being illiterate, it took us lot of
time in collecting information.
• The mere information which we get from the retailers is not
sufficient to arrive at a conclusion.
• The seasonal changes affect the sale.
Suggestions
The Project New Product Develpoment was concerned only with providing
the organization with all the necessary information required to strengthen the
position of Nimbu Fresh in Patna in the form of reports incorporating all
information in an analyzed and summarized form. But some critical and
major issues, which have been identified on account of extensive analysis,
required suggestions to be put forward on the basis of the current market
scenario.
• Every possible step should be taken for the satisfaction of the retailers,
as they are the most important supplement to the sales promotion
measures and nationwide advertising campaigns of the company in
context of boosting the sales and enhancement of the brand image of
Coca Cola.
• The company should modify its advertising strategy and educate the
customers about its age-old existence and enhance its brand image.
This will appeal to the target customers of middle and older age
groups apart from the younger generation in which Nimbu Fresh has a
good hold.
• Rural market being a very potential segment needs very quick and
prompt efforts to be taken to capture this high volume market.
56
• There is a great market of NIMBU PANI but the supply is very
irregular, so the supply should be made possible quickly.
• Supply of posters, glow-sign boards, tin boards, banners and sun pack
sheets etc should be made at regular interval.
Conclusion
57
The business of Soft Drink industry is significantly based upon the impulse
buying, so it is very necessary to Merchandise products of Nimbu Fresh
efficiently and present them in such a manner so that it can motivate the
consumer and generate a thirst in consumer to consume it.
Though, Nimbu fresh has a good position in Patna with the support of its
efficient distribution network, aggressive marketing efforts and
advertisements along with attractive schemes but there still exists potential
market in Patna to be exploited and a suitable Weak Area Programme or the
Strong Area Programme has to be formulated to improve its market share
depending upon the area under consideration.
Soft drink business’s behavior is not governed by brand loyalty so the
emphasis is not only on creating the market but also on retaining it. The
availability of the right brand and flavor pack, at the right place, at the right
time is a key for winning the customer in soft drink business. Keeping these
facts in mind it becomes very important to treat the retailers with concern
and satisfy them by various measures and so that they are loyal towards
Nimbu Fresh.
58
BIBLIOGRAPHY
www.wikipedia.com
www.google.com
www.cocacola.com
www.oligopoly.com
ANNEXURE
VPO CLASS
CHANNEL
YES ( ) NO ( )
YES ( ) NO ( )
EXCELLENT ( ) GOOD ( )
FAIR ( ) NOT GOOD ( )
Q7 ] COMMENTS, IF ANY.
60