Chapter 1 Executive Summary

EXECUTIVE SUMMARY

PepsiCo is a world leader in a convenient food and beverages in 2007, with revenues of more than & 32 billion and more than 1, 57, 000 employees. The company consists of Frito-lay North America, PepsiCo Beverages North America, PepsiCo International and Quaker Foods North America. PepsiCo brands are available in nearly 200 countries and territories and generate sells at the retail level of about & 85 billion. In present scenario marketing is becoming a complex task because survival in cut throat competition has emerged as a big threat today. Marketing activities are designed to plan, promote and distribute need satisfying product services to the existing potential consumers. In other words marketing is an art of winning the heart of consumer. As far as the soft drink market is concerned it is facing a cut throat competition because of the availability of a large number of soft drink, all of them being more or less same in content. The project is entitled Market analysis of PepsiCo Cold Drink Products at Sheer Krishna enterprises, Pune ( Road). The main objective of the project was to know the channel wise availability of the product, rack evolution and its comparative analysis on some parameters and the other objective of the project is to know retailer perception about the distribution of the shree Krishna enterprises in the market. Also to study the market potential which was still unknown by the distributor which may help the company to increase the sales of the products and ultimately creating the awareness about the products in market so that it creates good brand in the minds of customers. Company provided the different promotional tools for improving sales to the distributor but these tools were not properly used by the distributor because of his lack of knowledge about promotional activities. If he has done the promotional activities and supplied products to the more number of outlets, the sales and revenue would have increased substantially for the distributor & company as well.

In project area the gap of service provided by the distributor was high along with competition from other soft drink companies like COCA-COLA, PARLE, and LOCAL COMPANIES. The gap of more than 350 outlets is not known to the distributor out of 200 which was very bad sign for company. The distributor was new and hence he tried to make good relation with the retailers who are already served which is a good sign. BACKGROUND OF STUDY During project period the work was assigned to study the market share for PepsiCo Company cold drink products in Pune Singhad Road under shree Krishna enterprises. There was lot of gap between the outlets for getting the product and outlets which not getting the products from the distributor. The study gives brief idea about current position of the product in the market which was collected by visiting the old customers and retailers who keep PepsiCo product in there outlet for sell. Market analysis service from Mapping Analytics helps to know the economic opportunity available to company in any geographic market. Whether products sell to consumers, to businesses, or both, market study about analysis provides grate data to company for future strategy formulation. The company needs to deploy sales and marketing resources effectively. For that company has to carry out the market potential study. Benefits of Market Potential Analysis Understand market potential for a single store, network of stores or a new market. Deploy resources effectively by ranking PepsiCo products in priority order. Forecast total opportunity in terms of number of retailers and revenue potential areas. Estimate PepsiCo company product market share. Market Potential Analysis: A market potential analysis from Mapping Analytics may include: A retailer outlets profile to understand where to find more like them. Market penetration and market share reports showing performance in existing 2

markets and expected performance in new markets. Market ranking reports allowing company to prioritize resource deployment into new often) PepsiCo India Holdings Pvt. Ltd plays a greater and important role in the entire marketing effort being carried out shree Krishna enterprises To generate more sales as well as to create and maintain an image of its product. Thus shree Krishna enterprises carried out its distribution activities as a controlled and integrated program of communication with retailers and material design to present its soft drink to the prospective retail outlets for sell. This study also helps in communicate the need of the retailers to facilitate the sales and eventually to contribute towards the profit in long range. markets In other words, Market potential = (how many * how much * how

Access Market Opportunity:-

Market analysis services from Mapping Analytics will provide the key intelligence we need to rank and prioritize markets. We will know:

The top new geographic markets to target based on customer or revenue potential.

Which markets where we currently do business have untapped potential Gaining this market understanding is essential to growing and expanding our business. But it isn't enough on its own.

Steps taken to gain market share, where there is market potential:We need to act upon our new found market understanding by deploying sales and marketing resources effectively. This is where Mapping Analytics separates from other firms that might offer us analytic services. We can help us choose higherperforming store or business locations, align our sales force more productively, and acquire prospect lists. All so we can tap into the market opportunity we identify.

Mapping Network of Sites to Optimize Market Coverage:Just as no man is an island, no store or branch sits on its own. Other stores, competitors, traffic patterns, population density and more affect the profitability of a store location. Thats why it's critical to consider store network optimization when determining: A new store location, How many stores or branches we can open in an existing market , Where we should expand our network , What stores should be closed or consolidated.

Point of Sale Display: A sensible man does not have to go far to find out whatever a common panwala knows that people buy with their eyes. Every item on sale in a shop is displayed in front where people can see it at first sight. It is the same with all the shops, vendors in towns and cities either selling consumer or selling soft drinks. Rather in selling a product like PEPSI display is more than help, it is an essential element because soft drink is bought on impulses on the spur of the movement. Thus the product is tested when it is brought at peoples attention. Distributors contest:Another method of sales promotion being used by the company was through its distributors is to conduct dealers sales contest during the peak seasons i.e. during April to July. The distributor is unable to reach up to the each and every outlet. Because of that the company was losing the sale of that area and its effect seen on the sale of the each product. Ultimately profit and share of the company in the prospective market. In the contest at first his or her respective distributors according to their categorize each retailer...

In that period other distributor are earning more while shree Krishna enterprises are lacking in that because of un structure route of the service .if it was expected that shree Krishna enterprises may get highest sales over and above the target set. Sales man contest: The salesman are visiting to different outlets in that area and collecting the pre order from the outlets. Related to number of outlets the number of sales man was very low because of that sales man unable to visit each and every outlet. Thought Company having Sales man contest are held to motivate the sales man. Under the scheme salesmen are given monetary incentive on the basis of sale made in their given route but it is not useful in shree Krishna enterprises. Distributor have 1 PSR who was handling near about 160-180 outlets for making the order in advance. While other outlets was covered by the distributor itself by vehicle and one more vehicle who delivers the product on the spot where the product was offer

Merchandising/ Displays Proper merchandising and display at the store level promotes sales; it promotes the consumer to switch over to the displayed brand ignoring existing brand loyalties; it persuades him to buy now rather than latter and it makes him buy more than the originally intended quantity. All these are essentially sales promotional functions. While advertising can only make a consumer aware of the product or generate a desire for it, merchandising display often motivates a consumer to buy a product instantly. Point of purchase displays are one of the most widely used sales promotions tools. With the proliferation of brands, innovative displays have become a prerequisite for success. In the store brands compete with each other for consumers attention. The distributor was providing all promotional material to retail outlets for encouraging sales.

Display Enhance Counter Pull

Display at the point of purchase can be rightly describe has a clincher in the marketing process. When awareness and interest has been created in the consumers mind through advertising and other promotional measures, a good display in the store can help to clinch a sale. The displays are also effective in inducing brand switching. A consumer normally goes to a retail outlet to purchase his usual brand. At the retail outlet, a good display of a competitors brand can command his attention and he may buy the competing brand. In other word Good display can lead to impulse buying and brand switching. A good display is the surest way to attract the consumers. It pulls the customers to the consumers. In fact, displays have their origins in the age old saying that goods well displayed are half sold. Display can be of various types- window display, wall display, counter display, aerial display, or floor display, depending on where it is fixed. Display materials to constitute a large spectrum, like posters, danglers, stickers, mobile wobblers, steamers, balloons, etc. To enhance the display effect, manufacturers use several gadgets and approaches. Illuminated designs, motion displays, sky writings, etc., add to the display effect. Some companies organize display units locate them at vantage points within the store to attract store traffic. Skill fully designed and strategically located display units can enhance the sales appeal. More and more firms are going in for innovative displays to give their brands visibility in todays crowded shop shelves.

Pepsi Cool Zone: Pepsi, for instance, set up cool zones in outlets to create a visual effect. These zones house Pepsi display racks next to its visa coolers, both stocking the entire Pepsi range in a preset format- the products horizontally, at eye level, and in different sizes down the racks with selling price on. Companies are also using the technique of mass display. Within the limited space available in the retail store, big stocks of a given brand are artistically arranged to gain attention. Customized racks are also being used for display effect.

Chapter 2 Company Profile

Company Overview
PepsiCo India Holdings Pvt. Ltd. operates through its subsidiaries including Pepsi Foods Ltd, Frito - Lay India, and Tropicana Beverages Company. The company, through its subsidiaries manufactures, bottles, and exports fruit juices and carbonated beverages and packaged snacks such as Lays, Ruffles, Fritos, and Cheetos. PepsiCo India is based in Gurgaon, India. The company operates as a subsidiary of PepsiCo Inc. Our Values reflect our aspirations - The kind of company we want PepsiCo to be. We express our values in the form of a commitment. Our Commitment Our commitment is to deliver sustained growth, through empowered people, acting with responsibility and building trust. Heres what this means: Sustained Growth is fundamental to motivating and measuring our success. Our quest for sustained growth stimulates innovation, places a value on results, and helps us understand whether todays actions. Would contribute to our future. It is about 3

growth of people and company performance. It prioritizes making a difference and getting things done. Empowered People means we have the freedom to act and think in ways that we feel will get the job done, while being consistent with the processes that ensure proper governance and being mindful of the rest of the companys needs. Responsibility and Trust form the foundation for healthy growth. Its about earning the confidence that other people place in us as individuals and as a company. Our responsibility means we take personal and corporate ownership for all we do, to be good stewards of the resources entrusted to us. We build trust between ourselves and others by walking the talk and being committed to succeeding together.

Guiding Principles This is how we carry out our commitments. We must always strive to: Care for customers, consumers and the world we live in. We are driven by an intense, competitive spirit in the marketplace, but we direct this spirit toward solutions that achieve a win for each of our constituents as well as a win for the corporation. Our success depends on a thorough understanding of our customers, consumers and communities. Caring means going the extra mile. Essentially, this is spirit of growing rather than taking.

Sell only products we can be proud of. The test of our standards is that we must be able to personally endorse our products without reservation and consume them ourselves. This principle extends to every part of the business, from the purchasing of ingredients to the point where our products reach the consumers hands. 2

Speak with truth and candor. We speak up, telling the whole picture, not just what is convenient to achieving individual goals. In addition to being clear, honest and accurate, we take responsibility to ensure our communications is understood. Balance short term and long term. We make decisions that hold both short-term and long-term risks and benefits in balance over time. Without this balance, we cannot achieve the goal of sustainable growth. Win with diversity and inclusion. We leverage a work environment that embraces people with diverse backgrounds, traits and different ways of thinking. This leads to innovation, the ability to identify new market opportunities, all of which helps develop new products and drives our ability to sustain our commitments to growth through empowered people. Respect others and succeed together. This company is built on individual excellence and personal accountability, but no one can achieve our goals by acting alone. We need great people who also have the capability of working together, whether in structured teams or informal collaboration. Mutual success is absolutely dependent on treating everyone who touches the business with respect, inside and outside the company. A spirit of fun, our respect for others and the value we put on teamwork make us company people enjoy being part of, and this enables us to deliver world-class performance

Key Executive Ms. Punita Lal Head of Marketing for South Asia Beverages Business Unit Mr. Sanjeev Chaddha General Manager History

Headquarter in Purchase, New York, with Research and Development Headquarters in Valhalla, The Pepsi Cola Company began in 1898 by a Pharmacist and Industrialist Caleb Bradham, but it only became known as PepsiCo when it merged with Frito Lay in 1965. Until 1997, it also owned KFC, Pizza Hut, and Taco Bell, but these fast-food restaurants were spun off into Tricon Global Restaurants, now Yum! Brands, Inc.

PepsiCo purchased Tropicana in 1998, and Quaker Oats in 2001. In December 2005, PepsiCo surpassed Coca-Cola Company in market value for the first time in 112 years since both companies began to compete. Pepsi is a soft drink produced and manufactured by PepsiCo. It is sold in many places such as retail stores, restaurants, schools, cinemas and from vending machines. The drink was first made in the 1890s by pharmacist Caleb Bradham in New bam, North Carolina. The brand was trademarked on June 16, 1903. In October 2008, Pepsi announced that it would be redesigning its logo and rebranding many of its products by early 2009. In 2009, Pepsi, Diet Pepsi and Pepsi Max began using all lower-case fonts for name brands, and Diet Pepsi Max was rebranded as Pepsi Max. The brand's blue and red globe trademark became a series of "smiles," with the central white band arcing at different angles depending on the product. As of July 2009, the 2003 Pepsi logo is still the current logo for Pepsi Wild Cherry and Pepsi ONE. Countries such as Australia and India continue to use the old design on all packaging. Diet Pepsi Wild Cherry, Pepsi throwback, Diet Pepsi Lime and Diet Pepsi Vanilla received the redesign. Origins It was first introduced in North Carolina in 1898 by Caleb Bradham, who made it at his pharmacy which sold the drink. Known back then as "Brad's Drink", it was later named Pepsi Cola possibly due the digestive enzyme pepsin and kola nuts used in the recipe. Bradham sought to create a fountain drink that was delicious and would aid in digestion and boost energy.

In 1903, Bradham moved the bottling of Pepsi-Cola from his drugstore into a rented warehouse. That year, Bradham sold 7,968 gallons of syrup. The next year, Pepsi was sold in six-ounce bottles, and sales increased to 19,848 gallons. In 1926, Pepsi received its first logo redesign since the original design of 1905. In 1929, the logo was changed again. In 1929, automobile race pioneer Bamey Oldfield endorsed PepsiCola in newspaper ads as "A bully drink...refreshing, invigorating, a fine bracer before a race". Current members of the board of directors of PepsiCo are Indra Nooyi C.E.O., Robert E. Allen, Dina Dublon, Victor Dzau, Ray Lee Hunt, Alberto Ibargen, Arthur Martinez, Steven Reinemund, Sharon Rockefeller, James Scherzo, Franklin Thomas, Cynthia Strudel, and River King. On October 1, 2006, former Chief Financial Officer and President Indri Noyil replaced Steve Refinement as chief executive officer. Noyil remains the corporation's president, and became Chairman of the Board in May 2007.

FORMER TOP EXECUTIVES AT PEPSICO Steven Refinement. Roger Enrich. D. Wayne Calloway. John Scullery. Donald M. Kendall. Christopher A. Sinclair. Alfred Steel.

PepsiCo In India 2

PepsiCo gained entry to India in 1988 by creating a joint venture with the Punjab government-owned Punjab Agro Industrial Corporation (PAIC) and Voltas India Limited. This joint venture marketed and sold Lehar Pepsi until 1991, when the use of foreign brands was allowed; PepsiCo bought out its partners and ended the joint venture in 1994. Others claim that firstly Pepsi was banned from import in India, in 1970, for having refused to release the list of its ingredients and in 1993, the ban was lifted, with Pepsi arriving on the market shortly afterwards. These controversies are a reminder of "India's sometimes acrimonious relationship with huge multinational companies. In 2003, the Centre for Science and Environment (CSE), a non-governmental organization in New Delhi, said aerated waters produced by soft drinks manufacturers in India, including multinational giants PepsiCo and The Coca-Cola Company, contained toxins, including linden, DDT, marathon and chloropyrifos pesticides that can contribute to cancer, a breakdown of the immune system and cause birth defects. Tested products included Coke, Pepsi, 7 Up, Miranda, Fantail, Thumbs Up, Lima, and Sprite. Both companies continue to maintain that their products meet all international safety standards without yet implementing the Supreme Court ruling. As of 2005, The CocaCola Company and PepsiCo together hold 95% market share of soft-drink sales in India. PepsiCo has also been accused by the Puthussery panchayat in the Palakkad district in Kerala, India, of practicing "water piracy" due to its role in exploitation of ground water resources resulting in scarcity of drinking water for the panchayat's residents, who have been pressuring the government to close down the PepsiCo unit in the village.

PEPSICO, INC.

Table no:-1.1 Sr. No. 1 Particular Type Details Public (NYSE: PEP)

2 3 4 5 6

Founded Headquarter Area served Key people Beverages

Chicago, Illinois, U.S. (1965) Purchase, New York, U.S. Worldwide Indra Krishnamurthy Nooyi (Chair woman), (President) & (CEO) Food, Non-alcoholic beverage, Pepsi, Diet Pepsi, Mountain Dew, Sierra Mist, Starbucks, Frappuccino Lipton, Iced Tea, 7up, Tropicana Products Lay's, Doritos, Cheetos, Fritos, RoldGold, Ruffles, Tostitos, Slice

Products

Soft Drink Industries In India A soft drink is a non-alcoholic beverage. It is artificially flavored and contains no fruit or pulp. India with population of more than 100 cores is potentially one of the largest consumer markets in the world after China. The consumer market can be defined as the market for products and services that are purchased by individuals as households goods for their personal consumption. Soft drink is a typical consumer product purchased by individuals to quench thirst and secondly for refreshment. Searching for the point of Indian soft drinks we first document on Gold Spot, this was the first brand soft drink in India. It was introduced by PARLE during later part of 40s. Cola giant, Coca-Cola was the first foreign soft drink to be introduced in India in 1965, Coca-Cola make a very good beginning and dominated the whole scheme right from the word go. It (Coca-Cola) faced no competition at that time. COCA COLA entered India in the year 1993 In collaboration with PARLE INDIA LTD. The marketing people did not even receive to publicize Coca-Cola for it sold first like probability not-cakes. This extraordinary success of soft drinks can be attributed to the following factors:1

Absence of contemporary competitive brand. Euphoric image built up in the Western countries proceeded the entry into Indian Market; and Indians are very found by nature of foreign goods, services etc. due to prolonged foreign rules.

Parle Exports (P) Ltd, later in 1970 introduced Lima, Lemony Soft drinks. Before Lima introduce, they had tentatively introduced Cola, Pepin, which they had to soon withdraw in the face of battering confrontation with Coca-Cola. Three of four groups of Indians companies who had the required production capacity started their own brands of Cola, Lemon, Orange, but failed to achieve their goal on a national basis. India always has love and hate relationship with MNCs which gave a significant opportunities to soft drink industries in India when Coca-Cola decided to windup its operation in 1977 rather than bowing to the Indian government insisting on: Dilution of equity, as the government felt that lots of foreign currency was being wasted. Manufacturing of the top-secret concentration in India. Disclose of the chemical composition of the essence.

This left a large vacuum in the popular soft drink market, and a vista was opened to any company with the requisite, technical, marketing and organizational skills. The exit of Coca-Cola from India in 1977 accelerated the growth of several Indian Soft Drink. New soft drink in the form of Tetra pack entered the market among Froth, JumpIn and Treetop were the prominent once. Till 1977 their equipped bottling plants and the distribution network a longing to be of no use. It took them one year to develop new formula to survive and gradually came up with Camp, Lemon, Orange and Cola that order.

However Parle, the pioneer in the soft drinks, blazed its way to national prominence with their product Thumps Up bearing the slogan Happy Days Are Here Again. This particular slogan helped to win over the loyalists or addicts to Coca-Cola, who was in the state of Cola Shock or Cola Depression. Soon the Indian Soft drink industry started at a 1

phenomenal rate, and all Parle Products Gold Spot, Lima and Thumps Up became the brand leader in their own segment. In spite of all these, the drink market still has large gap, as claim by soft drink manufacturers. To fill these gaps there are many soft drinks concentrate and squashes flooded the market. The Indian soft markets basically offered three flavors i.e. Orange, Lemon and Cola. India is one of the top five markets in terms of growth of the soft drinks market. The per capita consumption of soft drinks in the country is estimated to be around 6 bottles per annum. But being one of the fastest growing markets and by the sheer volumes, India is a promising market for soft drinks. The major players in the soft drinks market in India are PepsiCo and Coca-Cola Co, like elsewhere in the world. Coca-Cola acquired a number of local brands like Lima, Gold Spot and Thumbs Up when it entered Indian market for the second time. Pepsi Cos soft drink portfolio also consists of Miranda and 7Up along with Pepsi.

Today Pepsi is one of hundreds of products manufactured by the PepsiCo Corporation. PepsiCo is a world leader in convenient foods and beverages, with revenues of about $27 billion and over 143,000 employees. The company consists of the snack businesses of Frito-Lay North America and Frito-Lay International; the beverage businesses of Pepsi-Cola North America, Gatorade/Tropicana North America and PepsiCo Beverages International; and Quaker Foods North America, manufacturer and marketer of ready-to-eat cereals and other food products. PepsiCo brands are available in nearly 200 countries and territories. Many of PepsiCo's brand names are over 100-years-old, but the corporation is relatively young. PepsiCo was founded in 1965 through the merger of Pepsi-Cola and FritoLay. Tropicana was acquired in 1998 and PepsiCo merged with The Quaker Oats Company, including Gatorade, in 2001. Tropicana 2

Tropicana was founded in 1947 by Anthony Rossi as a Florida fruit packaging business. The company entered the concentrate orange juice business in 1949, registering Tropicana as a trademark. In 1957 the name of the company was changed to Tropicana Products, headquartered in Bradenton, Florida. The company went public in 1957, was purchased by Beatrice Foods Co. in 1978, acquired by Kohlberg Kravis & Roberts in 1986 and sold to The Seagram Company Ltd. in 1988. Seagram purchased the Dole global juice business in 1995. PepsiCo acquired Tropicana, including the Dole juice business, in August 1998. For the first time, consumers could enjoy the fresh taste of pure not-from-concentrate 100% Florida orange juice in a ready-to-serve package. The juice, Tropicana Pure Premium, became the company's flagship product. Today the Tropicana brand is available in 63 countries. Gatorade A Gatorade sports drink was acquired by the Quaker Oats Company in 1983 and became a part of PepsiCo with the merger in 2001. Gatorade is the first isotonic sports drink. Created in 1965 by researchers at the University of Florida for the school's football team, "The Gators," Gatorade is now the world's leading sports drink. Sales and Marketing Department Sales management means the planning, direction, and control of personal selling, including recruiting, selecting, equipping, assigning, routing, supervising, paying and motivating as this task applies to the personal sales force. Sales and marketing department control all the activities relating to marketing and sales. All the orders of supplying drinks are received by this department .it maintain the adequate supply to its agencies. Sales force has the direct link with customer. It collects the marketing information and tries to acquaint with his to higher management. The sale forces comprises following staff: General Manager (marketing) Regional manager 2

Area manager Territory manager Senior sales executive Sales executive Management trainee

Sales and marketing manager control the entire sales forces. Sales supervisor perform the following task: 1. A salesperson whose main responsibility is the delivery of a product to retailers nearer to household consumers. 2. The sales person also takes orders depending on customer needs, as well as reliability of delivery and personality of salesperson. Example: a salesperson standing behind the counter in a retail shop. 3. A salesperson acts mainly as an inside order taker, who responds to customer demands.

WORLD WIDE RANGE OF PRODUCTS OF PEPSICO

BEVERAGES

OTHER PRODUCTS

BRAND AMBESSADOR RANBIR KAPOOR

Sales And Distribution Hierarchy Of PepsiCo India:-

MUM Marketing Unit Manager: In charge of specific zones (e.g. north, south, east, west) and report to the corporate office.

UM - Unit Manager: In charge of day to day operations and supervision of all the functions within the organizations including operations, logistics, sales and distribution, marketing. The Unit Manager reports to the MUM.

TDM - Territory Development Manager: TDM is the in charge of the sales and distribution network of a particular territory with in a zone. Responsible for the daily, monthly and annual sales within the territory decides the daily schemes for products and incentives for salespersons. He is also responsible for cost effectiveness, profit generation and profit maximization within the territory.

MDM - Marketing Development Manager: MDM is responsible for all the marketing activities and their effectiveness within a territory. Decides the format and time frame of the marketing and promotional activities and the incentives given to the retailers.

ADC - Area Development Coordinator: Reports to the TDM, and is in charge of a C & F centre and the distributor point in the Area. He is directly responsible for any issues in the area and is supposed to ensure the smooth functioning of the entire sales and distribution network in the area. ADC is responsible for timely disposal of any issue faced by the retailers. He decides and approves the boards, displays and hoardings in the area.

MDC - Marketing Development Coordinator: Reports to MDM, and is in charge of carrying out all the marketing activities in the area. He is responsible for the execution and success of marketing and promotional activities. Coordinates with the outside agencies for displays, boards, checks conducted in the market. He is also responsible to keep a check on the expenditure of the marketing activities in the market. CE - Customer Executive: Reports to the ADC and is in charge of the salespersons. He is required to visit the market and accompany every salesperson as frequently as possible. He is the first person to get Information about the market / area and is the first contact if the salespersons or retailers face issue Responsible for assigning and achieving daily sales target given to the salespersons. ME - Marketing Executive: Reports to the MDC and is responsible for the daily functioning of the marketing activities in the including awareness of promotions in the market and the response in the market Salesperson: They are the most important asset for the company as they are the ones who sell the products, are responsible for acquiring new customers, and retain the old ones. Their work also includes informing the retailers about the promotions and any new scheme launched. They are also required to push for the sale of any new product launched in the market and make sure that the retailers are following the company guidelines regarding the launch and the maintenance of Visi coolers. They report to the CE. Marketing Assistant: Reports to the ME and is responsible for the distribution and usage of the displays and 2

boards in the area. Also has to check whether retailers are following the guidelines of the company regarding promotional displays, other displays and displays in the Visi coolers.They report to the me.

List of PepsiCo cold drinks available in market

200 200 ml Pepsi Mirinda 7up Mountain Dew pack Slice

ml

tetra 300 ml Pepsi Mirinda 7up Mountain Dew Slice Duke's Soda

Nimbooz

My Can Pepsi Mirinda 7up Mountain Dew 600 ml Pepsi Mirinda 7up Mountain Dew Slice Duke's Soda

350 ml pet Nimbooz

500 ml Aquafina Slice

1 lit Aquafina

Diet Pepsi

1.5 lit Pepsi Mirinda 7up Mountain Dew Duke's Soda

2 lit Pepsi Mirinda 7up Mountain Dew

Chapter 3 Objectives of Study

To study & Analyze the market of PepsiCo cold drink.

To know about the stock position of PepsiCo brands and its competitors at different outlets.

To know the distribution channel of PepsiCo.

To evaluate sales man performance and frequency of visit to retail outlets.

To study about visi cooler (fridge) availability in retail outlets.

Chapter 4 Research Methodology

Research methodology

Analysis can be viewed as the ordering, breaking down into constituent parts, and manipulating of data to obtain answer to the research questions underlying the research project. Process of interpretation involves taking the results of analysis, making inferences relevant to the research relationships studied, and drawing the conclusions about these relationships. Data analysis is one of the crucial steps in any scientific study. This step in research process involves data reduction and data analysis.Data analysis constitutes focussing on the data from the perspective of the hypothesis research problem. This ultimately contributes to reviewing existing theory, modifying it or proposing an entirely new theory. {Ref: 1)Research for Marketing Decisions by Paul E. Green, Donald S.Tull, Gerald Album, 5th Edition, page no.379.

2) www.encyclopedia.

Research Design Exploratory research has been used. Exploratory Research :-

Exploratory research was conducted into an issue or problem where there were few or no earlier studies with refer to. The focus was on gaining insights and familiarity for later investigation. Distribution gap research at shree Krishna distributor was carried out to find out the outlets get served Vs the outlets not get served. The Data will be used to formulate a weekly route for the sales man on the basis of number of outlets in that area and on that the restructuring of the route was done. The Exploratory research design was appropriate for any problems in which a very little knowledge was available.

2.2 Primary Data:In primary data collection the information collected by using unstructured questionnaire and observation method from different retailers. All the primary data for the purpose of the study were obtained by interviewing the retailers with the help of unstructured questionnaires. The questions were designed in such a way that to get maximum information and data from them. 2.2 Secondary Data:2

There are two major sources of secondary data: 1. Internal. 2. External. Internal records in the company are generally used as a starting point in any marketing research. This includes information about the product being researched, its history, company background, market share and competitor information. These types of information are usually maintained by the marketing department, sales department or a corporate cell for marketing intelligence in the company.

2.3 Sampling Design:According to the objectives of the study 200 retailers were selected. Samples are selected by randomly and convenience sampling method from retailers. 2.3.1 Population:Collection of all elements that are selected for the study above which information was desired. In this case all retailers in the area which was under Shree Krishna distributor are selected for the study above which information was desired. 2.3.2 Sample Size:In the period of Two months the survey of near about 200 outlets were carried out. All the 200 outlets were taken as a sample size for further study.

2.3.3 Sampling Method:Convenience sampling and Random sampling were used for collecting more data.

2.4 Method of data collection:Observation method was used to collect the data from different retailers.

2.4.2 Instrument of data collection:Data collected for the distributor from the retailers by asking direct interviews questions and observation techniques. During project period each retail outlet was visited for collection data.

2.5 Field work:The total area of operation of the project was the area which the company given to distributor.

For two months the survey was conducted in that area under sheer Krishna agency; the routes followed were:1. Sinhagad college road, 2. Donje road, 3. Narhe and wadgaon, Dhyari, 4. Uttam Nagar, 5. Anand Nagar, 6. Vittalwadi, 7. Dandekar Bridge, 8. Manikbaug, 9. Higane khurd.

2.6 Data analysis techniques:-

The data so gathered was analyzed by adopting tabular method as well as pie chart and MS excel sheet analysis in order to fulfill the objectives of study. The analyzed data was used to study the current Situation of PepsiCo India holdings Pvt. Ltd company products in the given market area.

Data analysis techniques:The data so gathered was analyzed by adopting tabular method as well as pie chart and MS excel sheet analysis in order to fulfill the objectives of study. The analyzed data was used to study the current Situation of PepsiCo India holdings Pvt. Ltd company products in the given market area.

Chapter 5 Data Collection

2

& Data Analysis

Q 1:- Stock availability of PEPSICO soft drink products in retail outlet?

Table No:-1.2 PepsiCo Stocks stock is available stock is not available Total Outlets 160 40 200
Percentage

80 20 100

Graph No:-1.1

Interpretation:-

1) As seen from above graph there were 160 outlets where PepsiCo products were available to sell. While 40 outlets did not have PepsiCo products to sell in their outlets.

Q. 2:- How often the PEPSICO company salesman visit to Retailers outlet in a week?

Table No:-1.3 service frequency per week 2 1 0 No of respondents 40 120 40

Graph No:-1.2

Interpretation:1) There were 120 outlets where PepsiCo company salesman visit ones in a week for taking order from the retailers and 40 outlets where salesman visit twice a week for taking order. 2) As seen from above graph 40 outlets were there which were not served by the sales man so there was huge number available for the company to increase the sale of the product. 3)

Q 3:- Do Retailers have a visi cooler provided by PEPSICO Company in your outlet?

Table No:-1.4 Pepsi Outlets

Percentage

visi is availed visi is not availed TOTAL

140 60 200

70 30

100

Graph No:-1.3

Interpretation:1) From the above table it has been interpreted that 70 % of outlets which sells PepsiCo product have company visi cooler in their outlets. Remaining 30 % outlets dont have visi cooler in their outlets. 2) It was interpreted that large number of visi cooler should be provided to the market to increase the sale of cold drink of PepsiCo Company.

Q 4:- Competitors visi cooler availability in respective outlets?

Table No:-1.5 Competitor Visi available visi is not available TOTAL Outlets 125 75 200
Percentage

62.5% 37.5% 100

Graph No:-1.4

Interpretation:1) From above graph it was interpreted that 125 competitors of visi coolers were available in the market and in 65 outlets visa coolers were not available. 2) Competitors visi coolers were available in 62.5% shops and 37.5% shops did not have competitors visa coolers.

Q 5:- Competitors soft drink stock availability in respective outlets?

Table No:-1.6 Competitor stock is available stock is not available TOTAL outlets 170 30 200

Graph No:-1.5

Interpretation:1) From above graph it was interpreted that the competitors stock was available in 170 outlets and in 30 outlets competitors products was not available. 2) So PepsiCo Company has more competition with coca cola products in 170 retail outlets where they sell PepsiCo products. And 30 outlets where they are lacking in their services.

Q 6:- Monopoly of respective brands?

Table No:-1.7

Market Trends Pepsi monopoly a/c coke monopoly a/c mix a/c TOTAL . Graph No: - 1.6

No of outlets 15 30 155 200

Interpretation:1) From the above graph we can say that 155 outlets have mix counter of PepsiCo and coca- Cola Company and monopoly counters of Pepsi were 15 and 30 were coke monopoly counters.

Q 7-: Do retailers satisfied with service quality of PEPSICO Company?

Table No:-1.8

YES NO TOTAL

95 105 200

Graph No 1.7

Interpretation:-

1) From the above graph we can see that the number of consumers were satisfied with the Services were 95 which was less in number and dissatisfaction level was high in number. 2) Large number of retailers which were 105 was not satisfied with the service quality so it would affect the sale of the company.

Q 8-: Are defective goods replaced in time?

Table No:-1.9 RESPONSE YES NO TOTAL NO OF RETAILERS 135 65 200 PERCENTAGE 67.5% 32.5% 100%

Graph No 1.8

Interpretation:1] From the above survey we can say that defective goods were replaced from 135 retailers on time and 65 of them did not get the replacement facility on time.

2] 67.5% of retailer says that goods were not taken back on time which was a huge amount and only 32.5% were satisfied with the service and which was not a good sign.

Q 9-: Are retailers satisfied by the credit limit given by the company ?

Table No 2.1 RESPONSE SATISFIED UNSATISFIED TOTAL NO. OF RESPONDENTS 130 70 200

Graph No 1.9

Interpretation:-

1) From the above graph we can say that the credit limit given by the company was good, huge number of retailers who were 130 were satisfied and only 70 were unsatisfied. 2) So the credit limit should be increased so that the customers are able to retain the product and good relationship would be maintained.

Q 10-: Are retailers getting Display racks? 1

Table No:-2.2 RESPONSE YES NO NOT OFTEN TOTAL OUTLETS 120 48 38 200

Graph No 2.1

Interpretation:1) From the above graph we can say that display racks were not available in many stores Out of 200 stores 120 had racks they were from city area like manikbag and dandekar But villages like khadakwasla and donje were rarely getting racks.

Q 11 -: Do Retailers get all varieties of Pepsi bottles available in market?

Table No 2.3

RESPONSE

NO. OF RESPONDENTS 1

YES NO TOTAL

80 120 200

Graph No 2.2

Interpretation:1:- From the above graph we can say that 120 of the retailers did not get all varieties of bottles, and only 80 retailers received all varieties of Pepsi bottles which were available in market. 2:- 120 retailers from the graph were from both the areas as they were suffering from shortage of supply in peak season and regular supply was not there for all bottles.

Q 12-: Do Retailers get the free gifts and discount given by the company?

Table No 2.4 RESPONSE YES NO NOT AWARE TOTAL NO OF OUTLETS 120 70 10 200

Graph No 2.3

Interpretation:1) From the above pie chart we can say that 120 customers were getting gifts and coupons But 10 were not getting as they were not aware of the gifts and other materials. 2) 70 retailers were not getting gifts they were not informed by the salesman about gifts and Schemes.

Q:-13) How do retailers remark for company salesman Table No 2.5 Salesman Remark

Category Excellent Good Average Poor

Responses 20 30 60 90

In Percentage (%) 10 15 30 45

Graph No 2.4

Interpretation: Out of all respondents, 15% gave good remarks to service advisor, 30% gave average, only 10% gave Excellent and 45% gave poor remarks. .

Q:-14) How is the Service Facility provided by the company? Table No 2.6 Category Excellent Good Average Poor TOTAL Responses 5 20 50 125 200 In Percentage (%) 2.5 10 25 62.5 100

Graph No 2.5

Interpretation: 1) From the above graph we can say that 2.5% of people were very much satisfied and 25% Of them says its average, 2) Number of people who were saying good is 10% and 62.5% retailers says service is not good. Q 15-: Are retailers satisfied with promotion and advertisement of PepsiCo?

Table No.2.7

RESPONSE Yes No Total

RETAILERS 125 75 200

PERCENTAGE % 62.59 37.41 100

Graph No 2.6

Interpretation

1) From the above we can say that 62 % of the people are satisfied with the Promotions done by the company and 37 % are not satisfied

Chapter 6
2

Findings

1) We found that in 20 % outlets stock of Pepsi was not available it was because companys salesman were not visiting regularly they were not aware of many shops in slum areas, they covered only small areas. (Refer to graph No 1.1 page No 38) 2) From the above research ,we found that salesman visited retailers once in a week which was in city area and in some shops which was target oriented they visited twice but in rural area they did not go even once out of 200 , 40 shops were there where company was lacking in the service .

3) Some outlets were complaining about the visi coolers which was not given to them by distributors but in some places there was good response we found that 70 % of shops have visi that means most of them were being served but 30 % did not have visi.

4) From the above ,we found that competitors had good service compared to us, 125 outlets had visi coolers , retailers were happy with their service and sheer Krishna should look forward and pay attention for retention of customers.

5) From the above ,we found that stock availability of coke was much more then Pepsi though visi coolers were not provided to small shops but even though they were supplying products to them so out of 200 shops 170 shops had coke products. (Refer to graph No 1.5 page No 42)

6) From the above ,it is seen that Pepsi has monopoly in only 15 shops , coke had their monopoly in 30 shops and it was seen that 155 of the shops had mix account of both product for improving sale and monopoly there was wide area remaining.

7) From the above, it is seen that services provided by shree Krishna Ent for Pepsi company was not good out of 200 retailers only 95 were satisfied with the services and rest 105 were unhappy because of irregular supply and improper distribution of goods.

8) From the above, we found that defective goods plays very important role in market and we found that 135 retailers had good response and only 65 retailers were not satisfied with the service.

9) From the above ,we found that retailers gave very much importance to credit limit provided by the company and 130 retailers were satisfied by the credit limit they were satisfied but in the stiff completion credit limit should increase for the unsatisfied retailers who are in urban area.

10) From the above, we found that display racks were important for increase in sale and Pepsi was not providing racks to all outlets. 48 retailers were not satisfied and 48 of them did not even even know about the new racks they were from urban areas.(Refer to Table No 2.2 page No 47) 11) From the above ,we found that retailers did not get all variety of Pepsi bottles and this problem is in all areas many time in peak season there was deficiency of bottles. Pet bottles had large demand which was not supplied on time.

12) Free gifts and discount given by the company was not given to retailers.Many time they were not aware of all this, they were not informed by salesman about gifts and discounts which was given as incentives to retailers. 13) Advisement and promotion were main tools to increase the sale and retailers knew this ,but out of 200 people 75 of them were not satisfied with this they wanted glow sign and display racks to attract customers .

14) From the above ,we found that salesman who were the key factors of distribution channel and they represented the company but we found that retailers were not happy with them 90 of them were every disappointed and very few were satisfied they had good relation and good communication which was lacking in many shops. 15) We found that services provided by the company to retailers was not good and they were not satisfied with the services, they wanted regular supply of 1

goods and no feedback was taken by them 125 retailers were there who were not satisfied and only 5 were there who said it was very good. (Refer to Table No 2.7 page No 52)

Chapter 7 Suggestion & Conclusion

1)

Refer to graph No 1.1, we suggested that stock should be made available in remote areas and in village to capture more market and to increase sale distributer which should be seen that goods were be provided in all outlets and good transportation network should be made to make stock available in every. Sometimes absence of stocks annoys retailer and consumers, so company should keep a watch to the availability

2)

From table No 1.2 , we find that company salesman are not regular so. I suggest that Company executives should visit the counter on weekly basis. Executives should take the feedback from the dealers about the service of the sales man and the distributors and in high target area salesman should visit twice in week so competitor should not get chance.

3)

Refer to Table No 1.4, we conclude that visi coolers are not available in many shops and they are very important in sale so company should provide visi to all outlets and company should keep maintance of the existing visi coolers. Regular visit of technician is required to solve the problems of Freeze in the market at the right time.

4) From Table No 1.5 ,I suggest PepsiCo company that competitors visi coolers are available in many stores and to remain in completion PepsiCo have to increase visi coolers and repair if they are not working in existing stores.

5) From Table No 1.6 ,we see that competitors stock is available in many stores so I suggest to distributor that they should try to keep stock in each shop and make their product available to each retailers The company should start survey time to time to know the grievances of retailer as well as consumers.

6) From Table No 1.7, we can suggest to company that, Pepsi is having low monopoly in market they have to give good service and good offers that retailers should attract and keep more Pepsi products. All mixed outlets which stock multiple products should be transferred to exclusive Pepsi outlets.

7) Refer to Graph No 1.7 ,we can conclude that satisfied customer of company is very low and service is lacking in many areas so to stay in market distribution and all service should be increased. More improvement is required in the distribution network in the slum, crowded area and in the remote areas, because in the peak seasons like summer the small retailers are taking goods

twice or thrice and in between if the distributors could not supply them, the competitors will get the opportunities to supply the goods.

8) From Table No 1.9, we can conclude that defective goods are taken back or replaced but many shops are there who are not getting this service so distributer should pay attention that all defective goods are replaced and they are dispose in proper way to maintain goodwill of company.

9) Graph No 1.9 refers that retailers are satisfied by company credit limit. To attract more retailers company should increase limit and credit should be given to small shopkeeper. Retailers are the good intermediaries so the company should give more packages to the retailers, by which they can looks towards the high sales of this particular brand.

10)

Refer to Graph No 2.1, we conclude that display Racks are important in market for proper display of good so small shops should provide good display racks and in big shops they should arrange properly, The entire Pepsi product should be displayed at one place so that the customers can aware about the different brand of Pepsi.

11) Refer to Table No 2.3 ,we conclude that retailers are not getting all varity of bottles they should supply all Varity of bottles in all seasons, In the bus stand, pan shop, railway canteen, highway, internet cafe, petrol pumps the CAN and PET Bottles should be made available every time because the public are busy there and they cannot wait.

12) Refer to Graph No 2.3 we conclude that retailers are getting free gifts and discount they should make aware of schemes and discount given by company 2

to increase sale and motivate them Retailers are the good intermediaries so the company should give more packages to the retailers, by which they can looks towards the high sales of this particular brand.

13) Refer to Table No 2.5 ,we suggest company should keep efficient salesman to provide good service and to communicate all message and feedback to work in better manner. Salesman should have good interaction with the dealers, which result Company in increase in sales. 14) From Table No 2.6 ,we suggest that service should be provide in good and proper time so that retailers can keep faith on them and good relation should maintain, Regular visit of technician is required to solve the problems of Freeze in the market at the right time. 15) Refer to Table No 2.7 ,we can conclude almost many retailers are satisfied and company should do more advertisement and they should make good sales promotion. First of all company will provide all its retailers all sort of promotion equipment such as glow sign board, banner, rack, freeze, etc. in time so that they increase their sales which is benefited both retailer as well as company.

Chapter 8 Limitations

Limitations:-

As project come to end, i.e. to find market trend of PEPSICO company products, even after the best of efforts, these are the following limitations in the study: During fieldwork the information on quantity sold by different retailers for each brands of PepsiCo Company was difficult to get. The data from distributor were difficult to obtain, as they did not maintain updates. Retailers were not responding well. Retailers were not easily available in shops. The chance of biased response cant be eliminated though all necessary steps were taken to avoid the same. The information given by retailers may be exaggerated or may not be exactly true in some cases. The study was limited to particular area hence the study cannot be generalized.

Chapter 8 Bibliography

Books: Marketing Management Prentice Hall of India, edition-IX. Philip kotler. Marketing Management. Macmillan, edition-II. Ramaswami, V.S and Namakumari, S.

Web-sites: www.pepsi .com www.corporate .org www.india today.com

Annexure

Q 1:- Stock availability of PEPSICO soft drink products in retail outlet? Yes No

Q. 2:- How often the PEPSICO company salesman visit to Retailers outlet in a week? ONCE TWICE DONT COME

Q 3:- Do Retailers have a visi cooler provided by PEPSICO Company in your outlet? AVALIBLE NOT AVALIBLE

Q 4:- Competitors visi cooler availability in respective outlets? AVALIBLE NOT AVALIBLE

Q 5:- Competitors soft drink stock availability in respective outlets? AVALIBLE NOT AVALIBLE

Q 6:- Monopoly of respective brands? Pepsi monopoly coke monopoly Mix A/C 3

Q 7-: Do retailers satisfied with service quality of PEPSICO Company? YES NO

Q 9-: Are retailers satisfied by the credit limit given by the company? RESPONSE SATISFIED UNSATISFIED

Q 10-: Are retailers getting display racks not? RESPONSE YES NO NOT OFTEN

Q 11 -: Do Retailers get all varieties of Pepsi bottles available in market? RESPONSE YES NO

Q 12-: Do Retailers get the free gifts and discount given by the company? RESPONSE YES NO NOT AWARE

Q:-13) How do retailers remark for company salesman Category Excellent Good Average Poor

Q:-14) How is the Service Facility provided by the company? Category Excellent Good Average Poor

Q 15-: Are retailers satisfied with promotion and advisement of PepsiCo? RESPONSE Yes No