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SHRI RAMSWAROOP MEMORIAL GROUP OFPROFESSIONAL COLLEGES

LUCKNOW

SUMMER TRAINING PROJECT REPORT

ON

³Marketing Strategies of Coca-cola´

SUBMITTED IN PARTIAL FULFILLMENT OF REQUIREMENT FOR THE AWARD OF DEGREEOF

MASTER OF BUSINESS ADMINISTRATIONTO

GAUTAM BUDDHA TECHNICAL UNIVERSITY , LUCKNOWFOR THE SESSINON

2011-12

Under Guidance of : Submitted by:Shilpi mam Hafizur RahmanLecturer Management department Roll no:-1012270062SRMGPC,Lucknow M.B.A. 3rd Semester

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DECLARATION

I here by declare that the project, which is being presented in this project report entitled

³Marketing Strategies of Coca-cola in Varanasi City´, is an authentic record of my own work

during the period of 6 weeks. This information given by me in this report is exclusively for

concerned organization and would not be submitted by me anywhere else.

Hafizur Rahman

MBA 3rd sem

SRMGPC,LUCKNOW

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ACKNOWLEDGEMENT

To begin with, I am obliged to Mr.SHYAMAL KISHORE (H.R.

Manager), who allotted me this interesting topic and without whose guidance and constructive

criticism this report might have not been completed. I appreciate for their cooperation and

contributions for helping us in making project factual and informative.

I also express my gratitude to Mrs. Shilpi Bajpai Lecturer of SRMGPC,LUCKNOW ,

who have been instrumental in making this report useful one.

Finally, I wish to thank to my family and friends for their inspiration,

encouragement and support, which enabled me.

Hafizur Rahman

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PREFACE

Soft drink includes all types of non alcoholic carbonate flavored or otherwise sweetened

beverages. Soft drinks are mostly packaged in 200 ml, 300 ml, 500 ml, 1000 ml, 1500 ml, and

2000 ml and comes in a variety of flavors. It also comes in glass as well as in plastic

bottles.5ince so many changes and transformations are under going ever changing consumer

demands, Govt. Policies and innovative packaging. Then industries are much emphasizing

advertising to increase its sales.

With the introduction of fruit pulp based soft drinks, packaged in cardboard

cartoons known as "TERRAPACK" has been introduced in the market. The bottled soft drink

market has undergone a marginal decreases in demand After 1994 the eminent re-entry of coca-

cola in Indian soft drink Industry it is heading for two giants war to capture the market. It has

introduced various sharp and efficient tools say tour packages, prizes gift other avenues to

enhance social status and satisfying personal egos also.

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TABLE OF CONTENTNo. Contents Page No.

1. Title Page

2. Preface

3. Acknowledgement

4. Declaration

5. Executive Summary --------------------------------------------------------------

- 6-9

6. Industry & Company Profile ------------------------------------------------------

- 10-68

Industrial ProfileCarbonated Soft Drink (Csd) IndustryCoca-Cola History in India

Company ProfileHistory of Coca-ColaFabulous Facts about Coca-ColaSoft Drink Market India ScenarioImportant Landmarks of CompanyAwardsThe Coca-Cola PromisePolicyStrategy Adopted by Coca-ColaCompetitive SituationIntroduction of The Organization

Organization StructureOrganizational Structure ChartCompany's Objectives and GoalsProduct Profile of Coca-ColaRight Execution Daily (RED)

7. Project Profile -------------------------------------------------------------------

-- 69-70

Relevance of Topic8. Research Methodology -------------------------------------------------------------

-- 71-77

Objectives of the Study

Research DesignScope of ResearchScopeLimitation

9. Analysis ------------------------------------------------------------------------

-- 78-94

Sample ProfileFindings

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ConclusionSuggestionsEvery Dealer survey repport

10. Bibliography ----------------------------------------------------------------

-- 95

11. Appendix ---------------------------------------------------------------- 9

6-99Specimen of Questionnaire (Retailer Survey)

Every Dealer Survey

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EXECUTIVE SUMMAR Y

Topic of Research: -

³Marketing Strategies of Coca-cola in Varanasi City´

Main Objective -

* To find out the market share of Coca-Cola products in the market in comparison to the Pepsi

product.

* To find out the current status of the Sales Generating Assets (S.G.A.)

Secondary Objective ±

* The find out the more potential market & retailers.

* To identify the satisfaction level of retailers in terms of Sales Generating Assets.

* To get the suggestions from retailers to improve the market share of Coca-Cola.

* The whole survey was mainly based on retailers & distributor of the soft drinks.

Problem defination: -

The cola wars had become a part of global folklore - something all of us took for granted.

However, for the companies involved, it was a matter of µfight or succumb.'Both print and

electronic media served as battlefields, with the most bitter of the cola wars often seen in form of

the comparative advertisements.

In the early 1970s, the US soft-drinks market was on the verge of maturity, and as the major

players, Coke and Pepsi offered products that µlooked the same and tasted the same,'substantial

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market share growth seemed unlikely. However, Coke and Pepsi kept rejuvenating the market

through product modifications and pricing/promotion/distribution tactics.

Universe of study: - Varanasi city

Sample detail

1. Sample Survey: - Retailers

2. Area of Survey: - Varanasi City

3. Time Period: - 6 Weeks

4. Data Type: - Primary Data & Secondary data

5. Sample Selection: - Judgment Sampling.

Collection of Data

1. Primary Data

Retialer Survey

Consumer servey

Personal Interview

2. Secondary Data

Website,

Magazine

Sample Size

The sample size of research study is 150.

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Findings: -

Coke is having more number of bottling plants in compare to Pepsi that is why it has a

strong distribution network.

Coke is having four Cola brands i.e. Coca Cola & Thums-up Limca & Sprite covers more

target customers. Those consumers who prefer hard Cola drink choose Thums-Up &

Sprite & those who wants soft drink prefer Coca-Cola & Limca.

The packaging of Coca-Cola is in accordance to the taste of the rural people because of

its red color logo.

The no. of specific outlets for Coke is more comparing to Pepsi. Thus larger markets

share in the area covered by Coke.

About 70% to 80% of consumers prefer the taste of the drinks of Coke Co.

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Suggestions: -

The company should move with societal marketing concept "The Societal Marketing

Concept holds that the organization's task is to determine the needs wants & interest of

target market and to deliver the desired satisfaction efficiently than competitors in a way

that preserves or enhances the consumer and Society's well being."

Retailers have emerged as major opinion leader and high retailer margin should be given

to motivate these retailers.

There should be proper allocation of each activity on the basis of city & population.

Specking should be changed and new attractive bottles should be introduced.

Advertising equipment of Coca-Cola product should be distributed properly among the

retailers.

There should be proper visit of Area Sales Manager at least once in a month to sort out

the problem of retailers like leakage replacement etc. & to motivate the retailers selling

only Pepsi.

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Topics covered: -

Introduction of Soft Drink Industry

Competitive Situation

Brand Competition

Introdution of Coca Cola Company

Important Landmarks of Company

History of Coca- Cola in India

Organization Structure

Introduction of Organization

Structure of Amrit Bottlers Pvt. Ltd.

Organizational Structure Chart

Sales & Distribution Process of A.B.P.L.

Distribution Channel of Saket Sales & Services Pvt. Ltd.

Products of the Company

Brand in Indian Market

Description of the Product

Popular Punchlines of Coca Cola Product

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INDUSTRIAL PROFILE

Present soft drink boon in India was attributed to the legacy of Coca Cola, which was there inINDIA till 1977. In todays market the Coca-Cola (Coke, Thumps Up, Fanta, Limca, Sprite,Vanilla Coke, etc.) hold a 62% market share that appears to bear concentrated rush to beg a big

share in the soft drink market.

Various national & multinational firms are engaged in soft drink market due to increase in itsdemand day by day. As far as INDIA soft drink market is concerned there are major company¶sengaged having a big completion to capture the soft drink market are namely Coca-Cola & Pepsi.While Campa Cola & many local cola¶s still notice in the Indian Market.

Pepsi Cola attacked Coca-Cola before World War II. Coca Cola dominated the American softdrink industry, Pepsi cola was a drink less to manufactures & with a less satisfactory taste thenCoke. Where as Coca-Cola major selling point was more drink for the same price and Pepsi

emphasized on advertising.

During World War II Pepsi & Coke both enjoyed increased sale. After the war Pepsi sale wasstarted to fall relatively to Coke, resulting the Coca-Cola had starting to click the

Market share. A number of factory contributed to Pepsi problem were poor image, poor taskforce, poor quality control etc.

At that point Alfred.N.Steeler came to the presidency of Pepsi cola with a great reputation for merchandising. He and his staff recognized that the main hope lay transforming Pepsifrom a cheap imitator of Coke into a class on soft drink manufacturer.

By 1955 all Pepsi¶s major weakness had been overcome, resulting sales had climbedsubstantially. These actions from 1955 to 1960 led to a considerable sales growth for Pepsi.

In India another company engaged in soft drink market is Coca-Cola. It is one of the most widelyknown, accepted and admired trademarks of the world. Coca-Cola was their in India till 1977,when the Indian Government banned it due to strong resentment against multinationalcompany¶s Coca-Cola was re-launched again in India in September 1993 at ³HATHRAS´ near Agra. The India people welcomed the come back of their most loved Cola in the country withgreat enthusiasm and vigor.Coca-Cola marked its re-launching with acquiring five Parley drinks viz. Thumps Up, Gold

Spot, Limca, Citra, Maaza, Soda.

Soft drink industry is one of the fastest growing industries in India. The basic idea behind therapid growth of this industry is due to following reasons:

1. The great corporate war between Coke & Pepsi, who left no stone unturned, for monopolizing the India Soft Drink market.

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2. The basic ideology of these two giants is to promote soft drinks as a food item in Indiahold.

3. The long hot summers in India have increased the consumption of soft drinks.

Carbonated or

Aerated Drink

Non-Carbonated or

Non-Aerated Drink

Mixture

Branded

Product

Commodity

Product

Ready

to serve

Diluted

before serve SodaMineral

water

ColaDrink

Non-ColaDrink

HavingPreservation

Having noPreservation

SquashesArtificial Flavors

Pure Mineral

Water

Flavored

Mineral Water

Fun Drink Health Drink

Fruit Juice Gelatin based Drink

SOFT DRINK INDUSTR Y

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Branded Product

Cola Drinkse.g. Coke, Pepsi,

ThumpsUp

Lemon Flavor e.g.Limca, Teem, Mirinda

Commodit Product

Mango Flavor e.g.Maaza, Slice

New Flavorse.g. Canada

Orange Flavor e.g.Mirinda, Gold Spot, Fanta

Non-Cola Drinks

CARBONATED OR AERATED

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CARBONATED SOFT DRINK (CSD) INDUSTR Y

Industry Structure

There are three major participants in the production-carbonated soft drinks. They

are concentrate producers for example roughly one ± half if Pepsi ± cola¶s sale are through

company owned bottles ; the remaining volume is sold through franchises bottles line of soft

drink in a defined territory , and not allowed to market to market a directly competitive major

brand.

The principal retail channel for channels for carbonate soft drink are supermarkets, convenience

store, vending machines fountain service, and thousand of small outlet. Soft drinks are typically

sold in glass bottle and in plastic and cans except for fountain services.

In fountain service syrup is sold to a retail outlet. Which mixes the syrup with carbonated water

for immediate sales.

\

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SOFT DRINK MARKET INDIA SCENARIO

India soft drink industry is witnessing a boom time. Its growth rate is around 20% with which

such growth rate, volume could reach billion crates with in 10 years. Three major multinational

companies are fighting to grab a major chunk of business from Indian markets. These three coca-

cola, Pepsi, Cadbury. All of these companies have seen an enormous potential in this country.

Consequently, by world standard, Indian per capita consumption of soft drinks is still very low.

There fore these soft drinks grants feel that fire capita consumption can only grow up. Soft

drink industries has already seen and estimated sale of around 240 million crates higher then last

year¶s sale of 204 million in 1998. The Main reason for such a high growth rate heightened

competition between coca-cola and Pepsi, Cadbury, bring a new entrant is for behind.

India is actually more vivid in taste and preference then any other country market.

Delhi jar instance, account for about 20% of total soft consumption in term of sales.

There are about 4, 80,000 soft drinks retailers in India and their numbers are increasing day to

day. This actually means that there is just one soft drink retailer on a population of 37,600, which

is far below the international standard. Where as Philippines has one soft drink retail counter

over a population of 150 people i.e. 4, 00,000 outlet on a population of 60 million.

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COMPANY PROFILE

Keeping in view of tapping the Indian soft drink market and also developing soft drinks as a

drinking product among Indians. The Coca-Cola in India has setup an independent organizationswhich is H.C.C & B.C.C with a capital of 350 U.S.$ each by virtue of sellout decision of the

passed managing director Sh. S. C. Aggarwal.

Hindustan Coca-Cola bottling (N-W) Pvt. Ltd. Najibabad took the complete possession of this

plant, land, machinery, & intellectuals on February 14¶ 1998 and since then H.C.C, looking after

all its affairs under company owned bottling plant to establish integrated marketing system in the

area.

In 1999 the company opened up the new bottling plant at DASNA in Ghaziabad Distt. This plant

has more sophisticated equipments, then the plant at Najibabad.

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HISTOR Y OF COCA-COLA

John Styth Pemberton

Jon Styth Pemberton first introduced the refreshing taste of Coca-Cola in Atlanta, Georgia it was

May 1861 when the pharmacist concocted a caramel colored syrup in three±legged brass kettle in

his backyard. He first distributed the new product by carrying Coca-Cola in a jug cown enjoys in

a glass of Coca-Cola at the soda fountain. Whether by design or accident, carbonated water was

teamed with the new syrup, producing a drink that was proclaimed ³Delicious and Refreshing´.

Dr. Pemberton¶s Partner and bookkeeper, Mr. Frank Robinson, suggested the name and penned

as ³Coca-Cola´ in the unique flowing script that is still famous worldwide today.

Dr. Pemberton¶s sold 25 gallons of syrup, shipped in bright Red wooden kegs. Red has

been a distinctive color associated with the No.1 soft drink brand ever since. For his efforts, Dr.

Pemberton grossed $ 50 and spent $ 73.96 on advertising, by 1891, Atlanta chemist as a

G.Canler had acquired complete ownership of the Coca-Cola business.

He purchases it from the Dr.Pemberton family for $ 2300. With in 4 year his merchandising flair

helped to expand the consumption of Coca-Cola to over $25 million.

Robert W. woodruff become the president of the Coca-Cola company in 1923 and his more than

six decades of leadership took the business of commercial success making Coca-Cola an

institution the world over. Coca-Cola begins as a never tonic, but candy merchant Joseph A.

Biedenharn of Mississippi was looking for awry to serve refreshing beverages. He responded to

this demand began offering bottle Coca-Cola using syrup shipped from Atlanta, during a hot

summer in 1894.

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COCA-COLAHISTOR Y IN INDIA

The coca-cola company reintroduced coca-cola in India on October 23, 1993, after an absence of

16 years. The coca-cola company received approval from the government in July 1996 to set up

a holding company to invest US $ 700 million in downstream operation of beverages

In July 1997 the holding company was permitted by the government to operationally its

bottling subsidiaries. The bottling subsidiary currently owns and operates twenty-six bottling

plants and sixty distribution centers across India. In addition, it uses 20 contract packers to

augment its production capacity and cater to the increasing demand for its wide portfolio of

beverage.

India is home to one of the most ancient cultures in the world dating back over 5000 years.

At the beginning of the twenty-first century, twenty-six different languages were spoken

across India, 30% of the population knew English, and greater than 40% were illiterate. At

this time, the nation was in the midst of great transition and the dichotomy between the old

India and the new was stark. Remnants of the caste system existed alongside the world¶s top

engineering schools and growing metropolises as the historically agricultural economy

shifted into the services sector. In the process, India had created the world¶s largest middle

class, second only to China.

A British colony since 1769 when the East India Company gained control of all European

trade in the nation, India gained its independence in 1947 under Mahatma Ghandi and his

principles of non-violence and self-reliance. In the decades that followed, self-reliance was

taken to the extreme as many Indians believed that economic independence was necessary to

be truly independent. As a result, the economy was increasingly regulated and many sectors

were restricted to the public sector. This movement reached its peak in 1977 when the Janta

party government came to power and Coca-Cola was thrown out of the country. In 1991, the

first generation of economic reforms was introduced and liberalization began.

Coca-Cola come back in the year 1993 after liberalization and was launched at Agra

with the slogan "Old wave have come to Indian again". At the time parle was the leader in the

soft drink market and had more than 60% of the total shore in soft drink. Coca-Cola joined hands

with parle and to enter India after 17 years. By striking a 40 million deal with Parle. Coke almost

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for the company. The complete manufacturing process had a documented quality control and

assurance program including over 400 tests performed throughout the process .

The complexity of the consumer soft drink market demanded a distribution process to

support 700,000 retail outlets serviced by a fleet that includes 10-ton trucks, open-bay three

wheelers, and trademarked tricycles and pushcarts that were used to navigate the narrow

alleyways of the cities.

In addition to its own employees, Coke indirectly created employment for another 125,000

Indians through its procurement, supply, and distribution networks.

Sanjiv Gupta, President and CEO of Coca-Cola India, joined Coke in 1997 as Vice President,

Marketing and was instrumental to the company¶s success in developing a brand Coca-Cola

India.

The Indian consumer and in tapping India¶s vast rural market potential. Following his marketing

responsibilities, Gupta served as Head of Operations for Company-owned bottling operations

and then as Deputy President. Seen as the driving force behind recent successful forays into

packaged drinking water, powdered drinks, and ready-to-serve tea and coffee, Gupta and his

marketing prowess were critical to the continued growth of the Company.

India¶s one billion people, growing middle class, and low per capita consumption of soft

drinks made it a highly contested prize in the global CSD market in the early twenty-first

century. Ten percent of the country¶s population lived in urban areas or large cities and

drank ten bottles of soda per year while the vast remainder lived in rural areas, villages, and

small towns where annual per capita consumption was less than four bottles. Coke and

Pepsi dominated the market and together had a consolidated market share above 95%. Whilesoft drinks were once considered products only for the affluent, by 2003 91% of sales were

made to the lower, middle and upper middle classes. Soft drink sales in India grew 76%

between 1998 and 2002, from 5,670 million bottles to over 10,000 million

and were expected to grow at least 10% per year through 2012.

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In spite of this growth, annual per capita consumption was only 6 bottles versus 17 in Pakistan,

73 in Thailand, 173 in the Philippines and 800 in the United States.

With its large population and low consumption, the rural market represented a significant

opportunity for penetration and a critical battleground for market dominance. In 2001, Coca-Colarecognized that to compete with traditional refreshments including lemon water, green coconut

water, fruit juices, tea, and lassi, competitive pricing was essential. In response, Coke launched a

smaller bottle priced at almost 50% of the traditional package.

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IMPORTANT LANDMARKS OF COMPANY

1876 Johan Stees Pberston discovered the formula of Coke, name given

seven- X of its secret formula.

1882 Coca-cola company established in Atlanta.

1915 Alexgender Samulsus and Earl R.Peassia of "Indian Rout Glass

Company designed the present bottle of Coke and also it was the

first patent bottle.

1950 Coca-Cola started the operation in India.

1977 Coca-cola closed operations in India.

1991 Coca-cola came back in India and opened Britco Foods Company.

1992 Coca-cola opened its first bottling plant in Pune.

1993 Coca-cola bought all the Parle Products Thumps up, Limca, Citra,

Gold-spot, Maaza at, $40 million.

1994 First time cokes introduce Coca -Cola in Agra.

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AWARDS

Hindustan Coca-Cola Beverages Private Limited,Dasna unit, bags the

³Golden Peacock Environment Management Award 2004´

The Dasna unit near Delhi in Ghaziabad has been awarded the prestigious ³Golden Peacock

Environment Management Award ± 2004 (GPEMA- 2004)´ for excellent environment practices

and effective control of environmental impact.

The Dasna unit won this award in the Food & Beverage Industry category for its environment

practices among hundreds of entries received from across the country. The annual award winner is decided on the basis of a rigorous assessment procedure, which includes a visit to the facility

by a team of experts.

Speaking on the occasion, Mr. Sanjiv Gupta, Division President and CEO, Coca-Cola India said,

³We are proud to win this coveted award. At Coca-Cola we are committed to preserve, protect

and enhance the environment and this simple belief guides us in everything that we do. We will

continue to further improve our systems and are confident of making a significant positive

impact on our environment in times to come.´

The award will be formally presented to the company shortly by Institute of Directors, an

independent body that recognizes the achievements of manufacturing units under the categories

of Environment, Quality and Corporate Governance, in association with World Environment

Foundation (WEF), at an official function during the 6th World Congress on Environment

Management.

The Dasna plant achieved this distinction by adhering to The Coca-Cola Company¶s internal

global quality program called The Coca-Cola Quality System (TCCQS). TCCQS not only covers

environment management, but also takes into consideration other business aspects such as safetyand loss Prevention (SLP), product quality, packaging quality, process capability improvement

and customer satisfaction. Strict compliance with TCCQS, often rated as a programmed

equivalent to the internationally reputed ISO 14001 System, has also enabled all the company-

owned bottling plants in the country to successfully get the coveted ISO 14001 Certification

from Det Norske Veritas (DNV).

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The award has been granted after a thorough evaluation of Dasna plant¶s compliance with a

WEF prescribed program assessment format over a period of 1 year from 1st April 2003 to 31st

Mach 2004 during which several environmental performance indicators were monitored and

evaluated according to WEF¶s stringent parameters: energy use, water use, wastewater discharge,

compliance with Government regulations and resource utilization.

GPEMA has been instituted by the Institute of Directors in association with World Environment

Foundation (WEF) and is designed to encourage and recognize effective implementation of

environment management system. The award is given both in manufacturing and service sectors.

THE COCA-COLA PROMISE

The coca-cola company exists to benefits and refresh every one it touches. The basic proposition of our business is simple , solid and timeless . when we bring refreshment , value ,

joy and fun to our stakeholders then we successfully nurture and protect our brand , particularly

coca-cola . that is the key to fulfilling our ultimate obligation to provide consistently attractive to

the owner so four business.

More then a billion times every day , thirsty people around the world reach for coca-cola

products for refreshment. They deserve the highest

Quality ± every time . our promise to deliver that quality is the most important promise we make

. and it involves a world-wide , yet distinctively local , network of bottling partner , supplier ,

distributor and retailers whose success is paramount to our own. Our investment in localcommunities in over 200 countries totals billions of dollars in jobs, facilities , marketing, the

purchase of local good and services, and local business partnership. Always and every where ,

we pursue continuous innovation in the products we offer the processes we use to make them,

the package we develop and the way we bring them to market .

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POLICY

The Coca-Cola Company exists to benefit and refresh everyone it touches.

For us, Quality is more than just something we taste or see or measure. It shows in our every

action. We relentlessly strive to exceed the world's ever-changing expectations because keeping

our Quality promise in the marketplace is our highest business objective and our enduring

obligation.

More than a billion times every day, consumers choose our brand of refreshment because Coca-

Cola is...

The Symbol of Quality

Customer and Consumer Satisfaction

A Responsible Citizen of the World

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STRATEGY ADOPTED BY COCA-COLA TO INCREASE

THE NUMBER OF CONSUMERS

The 3 A's is the underlying strategy for meeting company goals to increase no. of consumers.

The 3 A's are: -

Availability:

To increase the availability of Coca-Cola products in an improved or innovative new Packaging,

dispensing systems, distribution systems, marketing programs and training and development

programs.

Affordability:

The consumer can afford the Coca-Cola products at a very reasonable price.

Acceptability:

Making Coca-Cola brand is the beverage choice for any occasion depends on the likings, taste

and preferences of the target audience. Acceptability can also be increased through advertising,

sponsorships, promotions; youth market activities, community programs and other activities.

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COMPETITIVE SITUATION

The cola wars had become a part of global folklore - something all of us took for granted.

However, for the companies involved, it was a matter of µfight or succumb.'Both print and

electronic media served as battlefields, with the most bitter of the cola wars often seen in form of

the comparative advertisements.

In the early 1970s, the US soft-drinks market was on the verge of maturity, and as the major

players, Coke and Pepsi offered products that µlooked the same and tasted the same,'substantial

market share growth seemed unlikely. However, Coke and Pepsi kept rejuvenating the market

through product modifications and pricing/promotion/distribution tactics.

This modus operand was followed in the Indian markets as well with Coke and Pepsi resorting to

more innovative tactics to generate consumer interest. In essence, the companies were trying to

increase the whole market pie, as the market-shares war seemed to get nowhere. This was

because both the companies came out with contradictory market share figures as per surveys

conducted by their respective agencies - ORG (Coke) and IMRB (Pepsi). For instance, in August

2000, Pepsi claimed to have increased its market share for the first five months of calendar year

2000 to 49% from 47.3%, while Coke claimed to have increased its share in the market to 57%,

in the same period, from 55%.

Coke had entered the Indian soft drinks market way back in the 1970s. The company was the

market leader till 1977, when it had to exit the country following policy changes regarding

MNCs operating in India. Over the next few years, a host of local brands emerged such as

Campa Cola, Thumps Up, Gold Spot and Limca etc. However, with the entry of Pepsi and Coke

in the 1990s, almost the entire market went under their control. Making billions from selling

carbonated/colored/sweetened water for over 100 years, Coke and Pepsi had emerged as truly

global brands.

Coke was born 11 years before Pepsi in 1887 and, a century later it still maintained its lead in theglobal cola market. Pepsi, having always been number two, kept trying harder and harder to beat

Coke at its own game.

In this never-ending duel, there was always a new battlefront opening up somewhere. In India

the battle was more intense, as India was one of the very few areas where Pepsi was the leader in

the cola segment Coke re-entered India in 1993 and soon entered into a deal with Parle, which

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had a 60% market share in the soft drinks segment with its brands Limca, Thums Up and Gold

Spot. Following this, Coke turned into the absolute market leader overnight. The company also

acquired Cadbury Schweppes'soft drink brands Crush, Canada Dry and Sport Cola in early 1999.

Bottling was the biggest area of conflict between Pepsi and Coke. This was because, bottling

operations held the key to distribution, an extremely important feature for soft-drink marketing.

As the wars intensified, both companies took pains to maintain good relationships with bottlers,

in order to avoid defections to the other camp...

When Coke re-entered India, it found Pepsi had already established itself in the soft drinks

market. The global advertisement wars between the cola giants quickly spread to India as well.

Internationally, Pepsi had always been seen as the more aggressive and offensive of the two, and

its advertisements the world over were believed to be more popular than Coke's.

It was rumored that at any given point of time, both the companies had their spies in the other

camp. The advertising agencies of both the companies (Chaitra Leo Burnett for Coke and HTA

for Pepsi) were also reported to have insiders in each other's offices who reported to their

respective heads on a daily basis...

Pepsi and Coca-Cola both are American company. Pepsi earn more profit from its native country

where as Coca-Cola get most part of its profit from overseas. In India, Coca-Cola capture 58%

share market and Pepsi has only 42% of share market of soft drink. Coca-cola is far head incarbonated soft drink competition where as Pepsi performing well in snack segment in

comparison of Coca-Cola.

There are number of brands of soft drink in the market of various companies. Various brand

competitors of COCA-COLA & PEPSI are as under in the following table-

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INTRODUCTION OF THE ORGANIZATION

The huge profile in the soft drink industry attracted Mr. L D. LADHANI towards this

business. He established and registered AMRIT BOTTLER PVT. LTD. (ABPL) 1993.It is

located at Allahabad Road, near village Chandpur. Harban post office Dhabasemar, Faizabad.

This unit is franchise of Coca-Cola India, owner of registered trademark Coke,

Thumps Up, Limca, Fanta, Sprite, Kinlay Soda.

The plant was erected and commissioned in 1993. Later production started on 22nd

March 1994 with the capacity of bottling unit up to 280 B.P.M.I i.e. 5600 crates of 24 bottles of

each per 8 hours schedule. The utilization capacity is about 70% of total capacity. Originally all

the flavors were bottled in 300ml container. Bottling carried on support of 40 technician'squalified production plant charge with support of 40 technician's team, having capacity to

operate various operations of the plant.

Total cost of the project at the time of installation was Rs. 1.26 Crores. The meet of

finance eas assisted from PICUP, UPFC & Bank OF INDIA Central investment capital subsides

with generator subsidy were also sanctioned and included in means of financer ship. The

principle materials are purchased from Parle Exports against payment as prescribed rate, Rest of

raw materials is purchased from market within and outside of the State.

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The Sales Manager is the in charge of all type of marketing activity i.e.

Sales, promotion, advertisement, market study & shipping (storing of sold bottles as well as

loading & unloading of the vehicles). But the main function of the sales manager is to control

over distribution channels, Sales Executive, City Sales Executive & supervisor assisting the

Sales Manager.

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ORGANIZATIONAL STRUCTURE CHART

Managing Director

Sales Department Store Purchase Transport Incharge Production Incharge

Assistant Peon

Supervisor Chemist

Plant Engineer Quality Controller

Sales Manager

Statistician

City Sales Executive

Advertisement & Supply

Events Supervisors

Sales Executive

( In each District)

Senior Sales

Executive

Shipping InCharge

A/c & Central Chief

A/c Officer

Assistant to Chief

A/c Officer

Personnel Officer

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WORKING PROCESS OF A.B.PVT.LTD.

A- Production Process

B- Sales & Distribution Process

C- Sales Promotion & Advertisement

A- RAW MATERIALS AND PRODUCTION PROCESS

The following raw material are required to prepare bottled soft drinks: Water Essence,

Sugar, Co2 gas Crown Some chemicals like Hy flow super cell. Activated Carbon Powder,

Bleaching powder. Caustic Soda etc.

RAW MATERIAL USED FOR-

Production constituents - Water Essence CO2 gas, Sugar

Washing bottle - Caustic soda flasks

Syrup preparation - High flow super cell & Activated carbon

Power

Water treatment - Bleaching powder

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PRODUCTION PROCESS-

Coming to the manufacturing process of the soft drinks, it may be mentioned that the

process to manufacture the various soft drink is more or less the same. The process begins with

the preparation of the Syrup. This syrup is prepared by mixing sugar & water in steam jacketed

stainless steel vessel. The syrup is then cooled in the exchanger after the process of filtration of

the syrup. This filtration of syrup is done through stainless steel filter.

After the cooling process the concentrate essence supplied by the PARLE Exports (P)

Ltd Bombay is mixed in the prepared syrup in the tank. After the mixing process the dilution of

mixed concentrate takes place with the help of treated water. After this process the soft drink is

ready to be filled the washed bottles. The washing process is also automatically done with the

help of washing machine. The cleared bottles & filled bottles are conveyed automatically.

The following processes & machines are involved in the bottling procedure, All the

machines used in bottling plant are fully automatic & indigenous.

WATER TREATMENT-

Firstly we take simple water, form this simple water we find beverage water on Zero part

per million. For this purpose we mixed up lime water firstly. After then mix up Ferrous sulphate

in simple water (Ferrous sulphate from block and the precipitation out) after then they mix up

bleaching powder (30% to 33%) in this simple water (Bleaching powder kills bacteria) after then

we find beverage water.

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SYRUP PREPARATION-

High-grade sugar (carbonated water) is mixed with beverage water after then mix up Hy

flow super cell activated carbon powder (to clean the odor. color and! dirtiness of the sugar) after

then they heat it 85c, just to kill the bacteria, after then! they find the raw syrup and collect it in

the tank (capacity 850 gallon).

READY SYRUP ROOM-

There are few tanks in the room. In this they store the flavor of Thumps up, Limca, Coke,

Fanta and soda, In these tanks they mix up raw syrup+ citric acid+base after then they find ready

syrup. Each tanks has a capacity of 500 gallon.

AIR COMPRESSOR-

Compressed air is needed for automation and hi filling machine.

BOILER-

Boiler is to generate the steam, it is used in:-Bottle washing machine Syrup Co2 plant.

REFRIGERATION PLANT-

Refrigeration plant is used cooling beverage it is carbonated.

HEAT EXCHANGER-

Generally heat Exchanger is used for mixing, of required quantity of syrup and chilled

Co2.

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CARBONATED GUM SATURATION-

In this tank Co2 gas dissolved in beverage water and then they get carbonated beverage.

BOTTLE WASHER-

Dirty bottles are washed and sterilized in hot caustic soda and rinsed with soft water.

FILLER MACHINE-

Washed empty bottles are entering in this filter though conveyor's Chain and than it is

crowned.

CROWNER-

Each bottle is crowned with metallic caps to protect the purity of content.

ROLLER CONVEYOR-

That is the movement point of point empty plastic crates. From this point the dirty empty

bottles are loaded into washer to the point where filled crowned bottles are collected.

LIGHT CONTROL-

It is only to check if any dirt is left in bottles.

QUALITY CONTROL-

In ABPL strict quality control is done at all levels of process as well as for sealed bottles.

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B- SALES & DISTRIBUTION PROCESS

ORGANIZATIONAL STRUCTURE OF SAKET SALES & SERVICES

(Pvt.)LTD.

The organizational structure of Saket services is very simple and it contains Managing

Director (M.D.), Sales Manager, Regional Sales Manager, Area Sales Manager,and Sales

Executive, Distribution Manager, Marketing Executive Manager, Marketing Developer. These

post holders do all the activities of sales and distribution management. This type of

organizational structure may be called as a market type organizational structure.

The function of above post holders as :

1- MANAGING DIRECTOR:

The Managing Director is also the owner of this company is honorable Mr. Naresh

Lodhani. He controls & directs over all the activities of the company. It is the duty of the Sales

Manager to report all the information about the Sales & Distribution Channels to the Managing

Director.

No plans & policies can be finalized without the recommendation of the Managing

Director. He can change or reject the decision taken by the Sales Manager. He keeps the Veto

power for the all the matters of the organization.

2- SALES MANAGER:

Sales Manager is also regarded as Marketing Manager who controls over all the

activities of the market Mr. Sanjeev Garg is the Sales Manager. Sales Manager the business

activities that direct the flow of goods & services from manufacturer to the consumer. Marketing

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activities of the Sales Manager involves the study & analysis of consumer taste, their demand,

production of goods, its packaging, publicity & after sales service etc. Sales Manager also takes

the decision regarding price & brand.

Under the total marketing concept the objective is to manage the business in such a way as

to make and sell what the consumer want at a reasonable price, that he is willing to pay and with

product characteristic that he want in the product (Soft Drink). The soft drink should be easily

available when and where consumer wants.

Sales Manager defines the products objectives, pricing objective, distribution strategy

& his promotional activities. For proper planning Sales Manager has to perform the following

tasks-

y Marketing research forecasting the demand and developing the

marketing activities.

y Determining the product line strategy and planning for product diversification.

y Planning sales policies and their implementation.

y Co-ordinate the activities of production finance and service department.

Sales manager controls all the functions relating to the market. He fixes the sale

standard for the market and for the sales executives, analyze their own performance with the set

standard and takes corrective action when ever necessary. If deviation is positive he tries to

maintain it and if it is negative he identifies the causes and remove them.

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3- FUNCTION OF SALES EXECUTIVE:

Sales Executive performs very important role in the market. Sales Executive remains

in direct touch retailers and work under the area Sales Manager.

Sales Executive are given a specific target to Sale the soft drinks in a certain period- Due

to direct relation with the retailers these executives can listen the grievances of them. The

executives have also the authority to provide promotional materials like glow signs, racks,

boards, posters, openers & Sales generating aids like Ice box, cooling freezes & freezer's etc.

Sales Executive is also having the responsibility to find out the market share for then-own

product by doing "Intelligence" type studies designed to have a view of competitors marketing

practices sales policies. Coca-Cola Company is getting benefit significance with the help of the

executives. The company pays attention towards them & they keep the activities & practices of

rivals in mind.

******

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Sales Manager

Area Sales Manager

Sales Executive

Sales Man

HIERARCHY OF SALES

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DISTRIBUTION CHANNELS

Producers normally use a number of marketing intermediaries for talking their products to

users.

Market Intermediaries bear a variety of names such as:

Distributors.

Whole sellers.

Marketers.

Stockiest.

Franchised Dealers.

Sole Selling Agents.

Semi Whole Sellers.

Retailers.

Authorized Representatives.

Brokers.

Commission Agents

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All such intermediaries constitute the Distribution channel.

ROLE & IMPARTANCE OF DISTRIBUTION CHANNELS:

Distribution channel play a pivotal role in the successful marketing of most products

especially consumer products.

Channels perform a wide variety of function:

Channels provide distributional efficiency to manufacturers.

Channels (Provide) supply products in required assortment.

Channels help merchandise the product (Reinforcing awareness.)

Channels provide salesmanship (Established new products)

Channels help implements the price mechanism.

MAIN STEPS IN DESIGNING THE CHANNEL

Formulation channel objectives.

Identification of channel functions.

Analyzing the product characteristic and linking channel.

Design to the product.

Evaluation of distribution environment including legal aspects.

Evaluation of competitors channel patterns.

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DISTRIBUTION CHANNEL OF SAKET SALES & SERVICES (Pvt.)Ltd.

After the production process the next main step is distribution & sales. The production is

made to satisfy the need of the customer. Thus the product must reach to the customer for whom

it is made. There are different channel of distribution i.e. goods may be passed on to the

customers through stockist, whole sellers or retailer or directly by the producer to the customer

(tie up with big hotels etc.).

MANUFACTURER

STOCKIST/DISTRIBUTIOR

SEMI STOCKIST

RETAILER

CONSUMER

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There are two criteria of selection of distribution channel of Coca-Cola Company. First the

channel chosen for the company's product intimately affects the other marketing decision i.e.

pricing decision, advertising decision, sales decision etc & second channel decision involves the

firms in relatively term's of commitment to other firms.

The decision about distribution channel is very important for the benefit of any

organization. It is very necessary to choose the best stockiest. For this purpose the executive

surveys about the potentiality of different stockiest & communicate the information to the higher

authority. Then the company allots the agency to the best contestant on city level.

In Varanasi market while conducting our market survey we observed two types of

consumption of soft drink in the market.

1- BY CUSTOMER DIRECTLY:

Consumer are very important for any enterprise. In Varanasi market most of the

household are of middle class & they frequently use soft drink in any simple or marriage party.

That's way the agencies also receive the order from the consumers for self-consumption &

marriage parties etc.

2- BY RETAILERS TO CONSUMER :

Retailers are very important link between the consume and the manufacturer. They also

play a very sensitive role of conveying the message regarding the liking &disliking of the

consumers. It has been remarked that they are the marketing arms of the Coca-Cola Co.

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FUNCTIONS OF RETAILERS:

y Physical movement &storage of product for the supply to the consumers to meet their

requirements.

y Assembling of product from the company.

y To provide information concerning the nature & use of the product to the Consumer.

y To make the soft drinks of various kind available for the consumers.

DISTRIBUTION CHANNEL CHART

Manufacturer

Agency

Retailer Retailer

Consumer

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C- SALES PROMOTION & ADVERTISRMENT OF COCA-COLA

SALES PROMOTION

The main purpose of sales promotion activities is to stimulate consumers & dealers

effectively. Sales promotion directed to increase the consumption rate or to attract the new

consumers towards the company's product. Coca-Cola Co has adopted some sales promotion for

Coke. These Sales promotion activities are for consumers & retailers both. Consumers

promotional activities are simple e.g. increase in quantity at the same price on the other hand

retailers promotional activities include cash discount on purchase, deal on carets, display

schemes & Sales generating aids (S.G-A.) like openers, umbrellas & cooling system like fridge,

ice Box etc.

Advertising and sales promotion being a part of marketing mix is integrated with marketing

objective and coordinate with other selling efforts such as the effort of sales Executive. The Sales

Executive of Coca-Cola Co, report about the different advertising and the promotional appeals,

as they are close touch with market condition.

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PROMOTIONAL ACTIVITIES SERVE THE FOLLOWING

OBJECTIVES:

1- PROVIDING INFORMATION:

The purpose of sales promotion for Coke is to provide information regarding the flavor, taste

and price etc. to consumers while introducing the brand of soft drink.

2- INCREASE IN SALE:

The main purpose of all promotional activities is to increase the sales of Coke by beating

the soft drink brand of other company Promotional activities increases sales by changing the

elasticity of demand of the Product through various techniques i.e. by distributing free gift,

purchase premium, discounts, providing system etc. Such activities made the product popular.

3- REDUCING SESONAL DECLINE:

In slack season, the promotional Activities help in maintaining the sales of Coke

IMPORTANCE OF SALES PROMOTIONAL ACTIVITES OF COKE

Nothing happens until 'somebody sales something' the sales promotional activities help in

promoting the sales of concern effectively. More and more promotional activities are required to

induce the consumers to purchase more and more products and thus they produce the demand. In

today's competitive world promotional activities play an important role.

ADVERTISEMENT

The main purpose of every commercial organizational is to promote sales because it is the

only way to commercialize the product. Such promotional activities are called advertising. Sales

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promotion and personal selling which generally constitutes the promotional mix within the

marketing mix. Advertising and sales promotion are indirect and non personal methods of sales

promotion. An effective coordination of all the three can alone secure the maximum

effectiveness of promotional strategy.

In modern business world, no can survive without advertisement. The problem is not

whether to advertise or not but the problem is how advertise with a view to maxim's returns of

the money invested for the production. Effectiveness of advertising is greater the when it is

adequately planned, executive and constantly evaluated in terms of objectives.

Advertising is nothing but a paid from of non-personal presentation or promotion of ideas,

goods or services by an identified sponsor in the present day advertisement has become an

inseparable part of the business in the marketing activities Coca-Cola has also adopted a strategy

for advertisement of Coke to compete with Pepsi, Hardly there is a business in the modern world

without advertisement.

The importance of sales promotion in modern marketing has increased. For promoting sales

of coke and preparing ground for the future expansion. Coca-Cola has provided cooling system

facilities to the prospective retailers towards the soft drink brand of Coca-Cola and induce him to

by Coca-Cola at the point of purchase, beyond Pepsi, at the salesmen's level its object is to

achieve more sales as teh retailer's level the purpose of sell Coca-Colabrand in Sprite of Pepsi or

other soft drink. At the consumer's level the main idea is to enable the consumer to by more

frequently.

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MEDIA OF ADVERTISING

In Shop Media Banners Mangling Danglers Painted Signs

Out Door Media Posters Hoardings Umbrellas Glow Shines

Broad Cast Media Television Radio

Non-Broad Cast Media Video Closed Circuit TV Slide Movies

Print Media New Papers Magazines

Vehicular Media Buses Taxies & Auto Rickshaws Private Vehicles

Specialty Media Stickers Caps Buttons Budgets Etc.

PUNCH LINE OF COCA-COLA

1936 - It¶s The Refreshing Thing To Do .

1942 - It¶s The Real Thing .

1943 - Global High Sign.

1959 - Be Really Refreshed.

1962 - Thing Go Better With Coke.

1969 - It¶s the Real Thing.

1970 - I`D Like To Buy The World A Coke .

1976 - Coke Add Life .

1982 - Coke Is It .

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1986 - Catch The Wave.

1989 -

You Can¶t Beat the Feeling.

1993 - Always Coca-Cola

1998 - Eat Music, Sleep Music, And Drink Only Coca-

Cola.

1999 - Jo Chaho Ho Jaye Coca-Cola Enjoy.

2000 - I Want Hritik And I Want Coke.

2002 - Thanda Matlab Coca-Cola

2003 - Jiyo Thanda Piyo Thanda .

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COMPANY'S OBJECTIVES AND GOALS

The company's mission must be turned into specific objectives for each level of management in a

system known as Management By Objectives.

The most common objectives are:-

* Profitability

* Sales

* Market Share

* Improvement

* Innovating

* To satisfy the customers

* Risk Diversification

* Earn 50% growth annually

******

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CORE BRANDS

Coca-Cola: Developed in a brass pot in 1886, coca-cola is the most recognized and

admired trademark around the globe. Not to mention the best selling soft drink in the world.

Sprite: In 1961, a citrus-flovered drink made its U.S debut, using ³Sprite Boy ³as

inspiration for its name. This elf with silver hair and a big smile was used in 1940s advertising

for Coca-Cola. Sprite is now the fastest growing major soft drink in U.S and the world¶s most

popular lemon-lime soft drink.

Fanta : The name ³fanta ³ was first registered as a trademark in Germany in 1941 ,when it was

used for a few year for a soft drink created from available materials and flavors . The name was

then revived in 1955 in Naples, Italy, when it was used for the:´ fanta ³orange drink we know

today. It is now the trademark name for a line of flavored drinks around the world.

Diet coke:The extension of the coca-cola name began in 1982 with the introduction of diet

coke (also called coca-cola light in some countries). Diet coke quickly become the number ±

one selling low ±calorie soft drink in the world.

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BRAND IN INDIAN ORIGIN

GOLD SPOT: This orange cardonate soft drink was introduced in the early 1950c, and acquired

by the coca-cola company in 1993, its tangy taste has been popular with Indian teenagers

LIMCA: It is thirst-quenching beverage features a fresh and light lemon-lime taste and

lighthearted attitude. The limca brand was introduced in 1971 and acquired by the coca-cola

company in 1993.

MAAZA: Maaza, launched in 1984 and acquired by the coca-cola company in 1993, is a non

carbonated mango soft drink with a rich, juict & natural mango taste.

THUMPS UP: in 1993, the coca-cola company acquired this brand, which was originally

introduced in 1977. Its strong and fizzy taste makes it unique carbonated Indian cola.

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BRAND IN INDIA

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PRODUCT PROFILE OF COCA-COLA

PRODUCT OF COCA-COLA (MAY 2008)

The Coca-Cola Company exists to benefit & refresh one it touches. Today, we can find

Coca-Cola Company has more than 400 Beverages in its portfolio. But in India there is basically

"8" Products exists in market.

COCA-COLA:

THANDA MATLAB COCA- COLA

JO CHAHE HO JAYE COCA-COLA ENJOY

SAR UTHA KE PIYO

It has brown colour with ingredients of (Water + Sugar + Concentrate + CO2). The colour

of Coca-Cola comes from Specific concentrate. The flavor of Coca-Cola due to CO2 which are

dissolved in syrup at less than 5*C with (3.75% W/V). The contant of sugar is 10.2 g/100g. It is

available in different volume in market, like-

1- 200ml glass bottle


3- (500+100)ml pet bottle

4- 2.25 Liter pet bottle.

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THUMS-UP:

³ I WANT MY THUNDER"

"THUMPS UP TASTE THE THUNDER"

It has dark brown colour with ingredients of (Water + Sugar + Concentrates + CO2) . The

colour of Thums-Up comes from concentrate. The high content of CO2 (3.95% W/V) which

makes the Cola flavor very heavy.

The Content of sugar in Thums-Up is 9.9 g/100g. It is available in different volume in

market. like-





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FANTA:

³ KUCH BH1 HO SAKTA HAI

MASTI KA APNA TASTE´

It has Orange colour with light Concentrate of CO2 (2.2% W/V) that makes its flavor different

volume in market. like-





LIMCA:

³ JUST TAKE IT EASY´

It has light gray colour with CO2 (3.95% W/V) that makes

its flavor lemony and tasty. The Content of sugar is 10.3g/100g. It

is available in different volume in the market.

After the introduction of the "MIRINDA LIME" BY PEPSI, it is now facing a competition and

step should be taken to promote its sale. It has a 15%- 18% share in the market.

1-200ml glass bottle



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SPRITE:

"DHIKAWE PE MAT JAO

APNI AKHAL LAGAO´

It is colour less with packaging in green colored bottle. It contain

CO2 (3.75% W/V) which makes nice flavor. The content of sugar is 11.8g/100g. It is available in

different volume in market. like-





MAAZA:

"BOTTLE ME AAM

MAAZA HAI NAAM´

It is of yellow colour with decent taste of Mango. It doesn't contain CO2. It's availability

of packing in marketare-


2- 200ml Tetra Pack (Aseptic Pack)

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PULPY ORANGE:

It is of light yellow colour with decent taste of orange. It doesn't

contain CO2. It's availability of packing in market are-

1-(500 + 100)ml pet bottle

2- 125ml tetra pack (Aseptic Pack)

KINLEY SODA:

It is colour less & available in the market in 300ml glass bottle.

Pack Availability of Kinley Soda

1. 300 ml

2. 600 ml

KINLEY MINERAL WATER:

It is a mineral water containing treated water and minerals. It's available in the following

volumes in the market are-

Pack Availability of Kinley Mineral Water

1. 1 liter

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BRAND & LOYALTY

BRANDS

A brand is a name, term, sign, symbol, or design or combination of them, intended to

identify the goods or services of one seller or a group of sellers' and differentiate them from

those of competitors. Thus a brand identifies the seller or market.

A brand is a complex symbol that can convey up to six levels of meaning.

1-ATTRIBUTERS: A brand brings to mind certain attributers. For example Coca-Cola

suggests a respectable, qualified/ beverage.

2-BENEFITS: Attributes must be translated into functional and emotional benefits.

3-VALUE: The brand also says something about the producer's value like high performance,

safety and prestige.4-CULTURE: The brand may represent a certain culture of the country to which it belongs.

5-PERSONALITY: The brand can project a certain.

6-USER : The brand suggests the kind of consumer who buys or user the product.

******

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RED (RIGHT EXECUTION DAILY)

OBJECTIVES OF STUDY

y The main objective of this RED project is to increase the sales of the company.

y To advertise the various products of the company.

y To find out the present sales status of ThumsUp, Coke, Sprite, Limca, Fanta,Maaza at the retail outlets in the area..

y To collect data from retailers for the activation of new channels of distribution.

y To study the pre-sale concept of the coke.

y To ensure the availability and visibility of the product.

y To analyze the effect of scheme

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SCOPE OF THE STUDY

y By this study company can know its growth.

y This study helps the company to know their actual position in the market.

y RED helps to find out the promotion activities of the company and help to make

relevant changes according to their rivalry company.

y This study ensures the availability of the product in the market.

y The study helps to fond out the problem of the counter and to find out therequirement for more sale

y RED helps to maintain the outlets in a well designed way to attract the consumers.

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SIGNIFICANCE OF THE STUDY

y This project is helpful to find out the sale trends of the coke products and its

effect on consumer value and satisfaction.

y This study provides an insight to the company that what kind of strategy must beadopted in order to increase the sales and satisfaction o the consumer.

y This project directly deals with the interaction of different kind of people.

MY ROLE IN PROJECT ³RED´

IMPLEMENTATION ± First and foremost task for me was to implement the project in

the given area with the support of MD¶s (MARKET DEVELOPER). Various norms for

different outlets had been fixed but their implementation was very important. Different

areas were assigned to me in which I implemented RED and these areas are further

visited by various higher officials of the organization.

y I measured the performance of sales team and distributors (under RED) in outletswith respect to all parameters of execution.

y I did scoring on the scoring sheet.

The scoring sheet was provided on the basis of which scoring can be done.Scoring is done out of 100 marks and they have been further divided in 3 components

1- VISI COOLER - 30 points

2- AVAILABILTY - 50 points

3- ACTIVATION ± 20 point

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MARKET AUDITING (TRACKING PERFORMANCE) ±

Tracking performance of the MD of corresponding area was also my responsibility. I had toscore him

on fixed norms (RED SCORING SHEET) and also give the feedback on his performance.

FINDING LOOPHOLES ± Finding loopholes in the system like absence of co-

ordination between MD¶s and SALES TEAM and report to higher officials (Mr. Vindhya

Srivastava)

BRAND CONTACT - I had to interact regularly with shopkeepers to know their

problem and try to solve them. If I could solve them then I reported them to my company

guide, else he suggested me the alternatives, and I also took out the orders from retail

outlets and to check out the activation.

AVAILABILTY - I also need to give company weekly availability report of various

brands.

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Topics

Relevance of Topic

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RELEVANCE OF THE STUDY

The important aspects of the study are as follows:

1- With the help of this study one can know about the distribution network of distributors.

2- The market position of Coke brands and its impact. It focuses on the retailers &

Distributor relationship.

3- It throws light on the needs & demands of consumers & retailers. It provides a Better way

of distribution network.

4- The study provides the solutions & better ways to reach the ultimate consumer and to

maintain status of the market leader.

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Topics

Objective of Research

Research Design

Sampling Techniques & Sample Size

Research Instrument ± Survey

Data Collection Method

Scope

Limitation

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OBJECTIVES OF THE STUDY

The study is concentrated in Varanasi market of North eastern U.P.

Following are objective that we want to achieve:-

MAIN OBJECTIVE-

* To find out the market share of Coca-Cola products in the market in comparison to the Pepsi

product.

* To find out the current status of the Sales Generating Assets (S.G.A.)

SECONDAR Y OBJECTIVE-

* The find out the more potential market & retailers.

* To identify the satisfaction level of retailers in terms of Sales Generating Assets.

* To get the suggestions from retailers to improve the market share of Coca-Cola.

y The whole survey was mainly based on retailers & distributor of the soft drinks.

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RESEARCH DESIGN

RESEARCH DESIGN

Research Type : Exploratory Research

Data Type : Primary Data & Secondary Data

Data Collection Method : Personal Interview Method

Sampling Technique : Judgment Sampling

Sample Size : 200 Outlets

******

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RESEARCH METHODOLOGY

Research is common parlance a scientific investigation for knowledgement. It can be

defined as a systematic effort to collect the valuable information's. A research can be carried out

by different methodologies, which have their own pros and cons.

The present project work aims to take the retailers response with respect to Coke products

and it distribution, to get the required data, a survey has been carried out in Varanasi.

SURVEY PROCEDURE : Personal Interview Method

RESEARCH OBJECTIVE : Competitive Analysis of Coca-Cola

with Pepsi in Varanasi Market,

DEVELOPING RESEARCH PLAN:

SAMPLE UNIVERSE : Varanasi

Sample Unit : City Market

Sample Size : 200 Outlets

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SCOPE OF RESEARCH

Marketing Research is the function which links the consumer and public to the marketer

through information-information used to identify and define marketing opportunities and problems; generate refine, and evaluate marketing actions; monitor marketing performance; and

to improve understanding of marketing a process.

Marketing management is interested in obtaining sales potentials for each of the

geographic markets its serves to help determine amount of sales efforts that should be allocated

to a specific market. Market os sales potential must be stated for a given product or groups of

products for a given area for a given period of time; usually a year.

In other word market potential is the maximum demand response possible for a given

group of costumers with in a well defined geographic area for a given product or service over a

specified period of time under well-defined competitive and environmental conditions.

Information from the survey will help management estimate its overall market share and

its share within individual markets. Management can use this information to evaluate past

achievements and to pinpoint market in which the firm¶s progress has been noticeably above or

below average.

Information¶s obtained by survey are useful because they can help managers determine it

past efforts have been successful in obtaining desired degree of distribution coverage and

support. It the firm¶s market share objectives are not being attained, management are not being

attained. Management will have to know it the cause of the problem is poor consumer response

or inadequate distribution coverage and support.

These important information can help managers determine it past advertisement and

promotions have been successful in achieving the desired levels of awareness trade and

repurchase among target market members.

This can be useful troubleshooting information, specially it market share objectives are

not being met. In such a situation, management will want to know it the poor sales record resultsfrom low consumer awareness of product, unfavorable attitudes toward the products or low

acceptance of the benefits and feature.

Information obtained by survey can be used in conjuction with information regarding

market share, market potential, distribution performance and consumer response. It market share

objective are not being achieved in a certain market, the problem is likely to result from poor

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distribution coverage and/or poor consumer response. Management should first determine which

of these is the problem cause of the lower-than-expected market share. Then by comparing the

pattern of marketing expenditures in the problem market with the distribution performance and

consumer response information¶s as associated with the market managers may be able to

pinpoint those parts of previous marketing plans that had not been given sufficient budget or that

had not been carried out as intended of that were not as effective as intended.

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Topics

Sample Profile

Graphs &Tabulation of Primary Data

Interpretation & Findings

Conclusion

Suggestions

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SAMPLE PROFILE

1. Total number of outlets

(Selected Area)

- 350

2. Number of outlet visited - 130

3. Number of respondent - 100

4. Sample Technique - Judgment Sampling

5. Universe of study - Varanasi city

6. Type of survey - Outlets

7. Sample unit - 150

.

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FINDINGS

To convert the available data into useful information the analysis is done with

respect to different aspects.

Categorization of Retailers.

The first aspect here is to categorize the retail outlet into the monopoly counter of Coca

Cola & Pepsi.

CATOGORY OFRETAILERS

NO OF RETAILER PERCENTAGE

Coke Monopoly66 15.5%

Pepsi Monopoly74 18.5%

Both Available264 66.0%

Coke

16%

Pepsi

18%

Both

66%

Coke

Pepsi

Both

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SHIV AGENCIESPROP. MR RAKESH

NAME OF AREA % OF COKE PRODUCTS % OF PEPSI PRODUCTS

SIGRA65% 35%

PANDEY PUR 54% 46%

LANKA55% 45%

CANT.60% 40%

BASHI20% 80%

BHOJIBEER 40% 65%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

1 2 3 4 5 6

Coke

Pepsi

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R.K. AGENCY

PROP. MR RAHEEM K HAN

NAME OF AREA % OF COKEPRODUCTS

% OF PEPSIPRODUCTS

SIGRA 55% 45%

PANDEY PUR 48% 52%

LANKA56% 45%

CANT.45% 55%

BASHI62% 38%

BHOJIBEER 52% 48%

RAMNAGAR 68% 32%

SIRSIYA54% 46%

0%

10%

20%

30%

40%

50%

60%

70%

80%

1 2 3 4 5 6 7 8

Coke

Pepsi

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PRABHAT AGENCY

PROP. MR VIRENDRA TIWARI

NAME OF AREA % OF COKEPRODUCTS % OF PEPSIPRODUCTS

Mansrover 48% 52%

Rasulpur 56% 45%

Suraj kund55% 45%

Gorakhnath45% 55%

Rajendra Nagar 62% 38%

Bargdwa52% 48%

0%

10%

20%

30%

40%

50%

60%

70%

1 2 3 4 5 6

Coke

Pepsi

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MANNTU AGENCIES

PROP. MR MANTU SINGH


Nanda Nagar 30% 70%

Kuranghat40% 60%

Air Force55% 45%

Singhadia58% 42%

M.M.M.E.C.40% 60%

0%

10%

20%

30%

40%

50%

60%

70%

80%

1 2 3 4 5

Coke

Pepsi

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SHREE RAM AGENCIES

PROP. MR RUPESH


Padri Bazar 25% 75%

Asuran Chowk 52% 48%

Gita Vatika55% 45%

Rapti nagar 45% 55%

Shahpur 60% 40%

0%

10%

20%

30%

40%

50%

60%

70%

80%

1 2 3 4 5

Coke

Pepsi

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HARI OM ENTERPRISES

PROP. MR MANOJ


Railway Station58% 42%

Bus Stand65% 35%

Mohaddipur 55% 45%

Charphatak 48% 52%

University52% 48%

0%

10%

20%

30%

40%

50%

60%

70%

1 2 3 4 5

Coke

Pepsi

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GANESH AGENCIES

PROP. SHIVANG

NAME OF AREA % OF COKE

PRODUCTS

% OF PEPSI

PRODUCTSAlinagar

60% 40%

Tarang52% 48%

Durga Badi51% 49%

Zafra Bazar 48% 52%

Beniganj45% 55%

Andhiyari Bagh55% 45%

Tiwaripur 60% 40%

0%

10%

20%

30%

40%

50%

60%

70%

1 2 3 4 5 6 7

Coke Pepsi

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The following picture can also represent market Share

Coke¶s Market Share 51.893%

Pepsi¶s Market Share 48.106%

Comparison between Coke and Pepsi Market Share

Coke

52%

Pepsi

48%

Coke

Pepsi

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CONCLUSION

SWOT ANALYSIS

The overall evaluation of a company¶s Strength, Weakness, Opportunities and Threats is called

SWOT Analysis.

The SWOT Analysis is further divided into two parts :-

Internal environment analysis

External environment analysis

Internal environment analysis (analysis of strength and weakness)

It is one thing to discern attractive opportunities and another to be able to take advantage

of these opportunities. Each business unit needs to evaluate its internal strength and weakness.

As the research is conducted following strength and weakness of the Coke Company is

found.

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STRENGTH

Thums-Up & Limca which are the product of Coke are having a reputation of "Swadeshi Brand"

in the consumers mind because of its tie-up with the Indian company Parle Exports.

Coke is having more number of bottling plants in compare to Pepsi that is why it has

a strong distribution network.

Coke is having four Cola brands i.e. Coca Cola & Thums-up Limca & Sprite covers

more target customers. Those consumers who prefer hard Cola drink choose Thums-

Up & Sprite & those who wants soft drink prefer Coca-Cola & Limca.

The packaging of Coca-Cola is in accordance to the taste of the rural people because

of its red color logo.

The no. of specific outlets for Coke is more compare to Pepsi. Thus larger markets

share in the area covered by Coke.

About 70 to 80% of consumers prefer the taste of the drinks of Coke Co.

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WEAKNESSES

Less personal contacts with retailers.

Service is not good.

Company officials do not visits outlets regularly.

Less advertisements Channels.

Bad and delay in claim settlement.

No proper maintenance of asset as like visi-coolers, dealer board, glow sign, etc.

Less availability of dealer board, glow signboard, painting etc.

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OPPORTUNITY

High growth rate for fruit drink market.

Varanasi city has a great population of youths in U.P.

Varanasi city has good market share of Slice in India.

Targeting the upper middle class for home take segment.

Coke must try to approach those outlets that are selling only Pepsi.

Seasonal sellers generally do not have proper cooling system. If they get a small fridge

then they can sell more.

If Coke covers the schools, office canteens, hotels & bars then it can get a regular

customer.

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THREATS

High growth of competitor's products.

Better facilities provided by the competitor to their distribution this might lead to switchover to slice distribution towards competitors.

Indifference among distributor and fat dealers.

Different effective promotion schemes of competitors.

The main threat to coke is from beverages like tea, coffee & fruit, juices.

It is very tough for Coke to get more market share since Pepsi is already having a very

good position in the mind set of consumer.

A larger number of retailers are not having any type of Sales Generating Assets from

Coke that results in lesser sales.

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SUGGESTIONS

The company should move with societal marketing concept "The Societal Marketing

Concept holds that the organization's task is to determine the needs wants & interest of

target market and to deliver the desired satisfaction efficiently than competitors in a waythat preserves or enhances the consumer and Society's well being."

Retailers have emerged as major opinion leader and high retailer margin should be given

to motivate these retailers.

There should be proper allocation of each activity on the basis of city & population.

Specking should be changed and new attractive bottles should be introduced.

Advertising equipment of Coca-Cola product should be distributed properly among the

retailers.

There should be proper visit of Area Sales Manager at least once in a month to sort out

the problem of retailers like leakage replacement etc. & to motivate the retailers selling

only Pepsi.

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BIBLIOGRAPHY

Books: -

y Kotler, Philip, Marketing Management, Delhi, Pearson Education Pvt. Ltd.

y Kothari, C.R., Research Methodology, New Delhi, Wishwa Prakashan Pvt. Ltd.

Websites :

y www.coke.com

y www.cococolaindia.com

y www.tropicana.com

Magazine: -

y Business World

y Business Today

Newspaper: -

y Economics Times

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Topics

Specimen of Questionnaire (Retailer Survey)

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QUESTIONNAIRE

RETAILER SURVEY

Questionnaire Format

Date: «««««

Name of retailer/shop ««««««««««««««««««««««««..

Address: ««««««««««««««««««««««««««««««««....

1. How many soft drink companies are in the market?

y ««««««««««..

y ««««««««««..

y ««««««««««.

2. Do you keep all products of all these companies? (Y/N)«««««

3. Which one is the largest selling brand?.«««««««««««««..

4. How many curettes¶/cases you sell daily/week.

Brands

Coca Cola

Pepsi

5. Which brands customer ask for more

i. COCA-COLA

ii. PEPSI

iii. Others

6. In which company do you get more benefit

i. COCA-COLA

ii. PEPSI

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iii. Other

7. Problem with distributor or something else

««««««««««««««««««««««««««««««««««

Remarks««««««««««««««««««««««««««««««««««««««««««««

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RESUME

Name: Hafizur RahmanContact number: 09919031726

e-mail address: [email protected]

Career Objective: To continue to strive for excellence at job and to have result orientedapproach for me and for the growth of the company.

Professional Qualification: Master of Business Administration from Shri Ramswaroop

Memorial college of engineering and management, lucknow affiliated to G.B.T.U.

Lucknow(U.P.)

Area of Specialization: Marketing and Finance

Academic Qualification:

Bachelor of Business Administration from Agra University, Agra.(2005-2008) HSC from U P Board, Allhabad.(2005) SSC from U P Board.Allhabad.(2003)

Trainings or Project:

Name of the organization: Hindustan Coca-cola Beverages Pvt.Ltd.

Title of Project: Marketing strategies of Coca-cola

Duration: 45 days

Extra curricular activities: participate in college level programs

Personal Details:

Date of birth: 05/JULY/1989

hafizur

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