sales of soft drinks pakistan market

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Written Test Sales of Soft Drinks – Pakistan Market Interpretation Over the course of 6 years time line, the market representation according to provided data have achieved a smooth and rigorous growth during the years. The presented CAGR essentially smoothes out the progress of sales of soft drinks over a period of time, providing a clearer picture of product annual return. Consequently, the CAGR figure may give the impression that the sales have produced a stable and inclining return. An in-depth analysis of different categories of soft drinks during the period, that are Carbonates sales produced not a smooth raise but instead after some time gave a rigorous incline, which is very much similar to Bottled Water sale market, only the difference occurs is prior product return or growth inclined double in pace respected to its previous record; still they are not in comparison to Carbonate drinks. Whereas the market record for functional drinks and juices have kept a smooth incline over the years. The cause for the market positive growth towards soft drinks can be estimated to multiple reasons falling into increasing population trends towards soft drinks intakes such as weather perceptions, Pakistan climate face through the year warm and humid weather conditions which causes dehydration and increase in thirst. Although this condition is considered to be continues as liquid is 75% of human body part but during the time line due to the increasing society awareness towards marketed products have put forwarded a large impact on the growth of soft drinks sale. Invention of energy drinks and their intakes have become a fashion trend and life necessity. Market competition between soft drinks brands such as Coca Cola and Pepsi have presented various commercial profitable schemes not only to increase the sale of growth but to stand in competition. Soft drinks are not only considered a liquid intake but a life standard necessity between friends, colleagues and family affairs, which major concerning party is marketing field, advertisements. Holidays and particular religious events such as Eid’s and Fasting month triggers increase in their prices and sales. These increases in sale revenue are independent of season or weather conditions. The events may fall is warm weather increases their sales but in other seasons such as winter the sales does not get affected but keep a steady outline.

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Page 1: Sales of Soft Drinks Pakistan Market

Written Test

Sales of Soft Drinks – Pakistan Market

Interpretation

Over the c ou rse o f 6 yea rs – t i me l i ne , t he marke t rep resen ta t i on ac co rd i ng to p rov i ded da ta have ach i eved a sm ooth and r i go rous g rowth du r i ng the yea rs . The p resen ted CAG R essen t i a l l y sm oothes ou t the p rog ress o f sa l e s o f so f t d r i nks ove r a pe r i od o f t i me , p rov i d ing a c l ea re r p i c tu re o f p roduc t annua l re tu rn . Consequen t l y , t he CAGR f i gu re may g i ve the i mpress i on tha t the s a le s have p roduced a s tab l e and i n c l i n ing re tu rn . An i n -dep th ana l ys i s o f d i f f e ren t ca tego r i e s o f so f t d r i nks du r i ng the pe r i od , t ha t a re Ca rbona tes sa l e s p roduced no t a smooth ra i se bu t i n s tead a f te r some t i me gave a r i go rous i n c l i ne , wh i ch i s ve ry much s i m i l a r t o Bo t t l ed Wate r s a le ma rke t , on l y the d i f f e rence oc cu rs i s p r i o r p roduc t re tu rn o r g rowth i n c l i ned doub le i n pace re spec ted to i t s p rev i ous reco rd ; s t i l l t hey a re no t i n c ompar i son to Ca rbon a te d r i nks . Whe reas the marke t reco rd f o r f unc t i ona l d r i nks and j u i ces have kep t a sm ooth i n c l i ne ove r the yea rs .

The c ause f o r t he m arke t pos i t i ve g rowth towa rds so f t d r i nks can be es t i mated to mu l t i p l e reas ons f a l l i ng i n to i n c rea s i ng popu l a t i on t rends tow ards s o f t d r i nks i n takes such a s wea the r pe rcep t i ons , Pak i s tan c l i mate f ace th rough the yea r wa rm and humid wea the r c ond i t i ons wh i ch cau ses dehyd ra t i on and i n c rease i n th i r s t . A l though th i s cond i t i on i s cons i de red to be c on t inues as l i qu i d i s 75% o f human body pa r t bu t du r i ng the t i me l i ne due to the i n c reas i ng so c ie ty aw areness t ow ards ma rke ted p roduc t s have pu t f o rw arded a l a rge i mpac t on the g rowth o f so f t d r i nks s a le . I nven t i on o f ene rgy d r i nks and the i r i n takes have bec ome a f ash i on t rend and l i f e necess i t y. Marke t c ompe t i t i on be tween so f t d r i nks b rands such as Coc a Co l a and Peps i have p resen ted va r i ous commerc i a l p ro f i t ab le s chemes no t on l y t o i n c rease the sa l e o f g rowth bu t t o s tand in c ompe t i t i on . So f t d r i nks a re no t on l y cons i de red a l i qu i d i n take bu t a l i f e s t andard necess i t y be tween f r i ends , c o l l eagues and f am i l y a f f a i r s , wh i ch ma j o r con ce rn ing pa r ty i s marke t i ng f i e l d , adve r t i semen ts . Ho l i day s and pa r t i cu l a r re l i g i ous even t s such as E id ’ s and Fas t i ng mon th t r i gge rs i n c rease i n the i r p r i ces and s a le s . These i n c reases i n sa l e revenue a re i ndependen t o f sea son o r wea the r cond i t i ons . The even t s may f a l l i s wa rm weathe r i n c reases the i r sa l e s bu t i n o the r seasons su ch a s w i n te r the s a le s does no t ge t a f fec ted bu t keep a s teady ou t l i ne .

Page 2: Sales of Soft Drinks Pakistan Market

Written Test

Du r ing the nex t comi ng yea r ’ s i - e f o r 2009 -2014 , e s t i mat i on f o r t he i r i n c l i ne o r dec l i ne c an be p resen ted w i th a s teady f i gu re . So f t d r i nk i ndus t ry i n Pak i s tan may expe r i ence i n c rease o f sa l e g rowth by 30 .5% [1 ] . A ma j o r reas on c an be es t i mated f o r the i r i n c reas i ng f avo r ab le app roa ch by new gene ra t i on and the i r i n c reas i ng t rends . Sudden changes can no t be p red i c ted as i t ’ s a no rm a l pa r t o f l i f e bu t a l though bo t t l ed wate r p r i ces may ge t a f f ec ted due to the d i f f e rence be tween the f unc t i ona l d r i nk and j u i ces p r i ce w i th co mpar i son to bo t t l ed wate r.

The p r i ce and c onsumpt i on o f so f t d r i nks s tand in an equa l c ompar i s on th rough Pak i s t an d i f f e ren t reg i ons and c i t i e s , p r i ces and popu l a r i t y o f so f t d r i nks f a l l s i n an equa l pan sca l e th rough ou t Pak i s tan . Some ru ra l a rea s i n Pak i s tan may have expe r i enced reduce p r i ces f o r so f t d r i nks i n pa r a l l e l t o pos se a reas whe re the p r i ces may h i ke - i n c rease bu t the popu l a r i t y and consumpt i on does no t l eave i t s l eve l . Pak i s t an i s no t new to so f t d r i nk i ndus t r y , bu t even though be fo re the popu l a r b randed p roduc t s f rom Coca c o l a , Peps i and Red Bu l l e t c the i ndus t ry was c ap tu red by l oc a l p roduc t s such as T ige r , Go l den and Shahzan e t c . So f t d r i nks i ndus t ry m ay expe r i ence a sm ooth i n c rease i n the i r annua l g rowth ra te by c omi ng t i me span .

References

[ 1 ] : http://www.allbusiness.com/services/business-services/4547097-1.html

Note: Th is is an est imate report ; analys is can be subjected to prone and does not have any conf l ic t to any ment ioned brand or provided data.

Report By : Anum Ali