Copetitive Analysis of Coca Cola and Pepsi
Copetitive Analysis of Coca Cola and Pepsi
Copetitive Analysis of Coca Cola and Pepsi
PROJECT REPORT
ON
COMPARATIVE ANALYSIS ON MARKETING
STRATEGIES OF COCA COLA AND PEPSI
A report submitted to the partial fulfillment in the requirement of the three years full time graduate
degree of Bachelor of Business Administration (BBA) from Pt. DDUMC, Meerut, UP
BBA VI SEMESTER
[Session 2016-2019]
Pt. DDUMC
17, Mall Road, Meerut Cantt., Meerut, UP
ACKNOWLEDGEMENT
Presenting a project of this type is an arduous task, demanding a lot of time. We cannot in
full measure appreciate and acknowledgement the kindness shown and help extended by
various persons in this endeavor. We will remember all of them with gratitude.
We are always beholden to my God, for always being with us and showing us the right
ways, our family, for always doing favors to us and our friends and colleagues
consistently helped with encouragement and criticism throughout the project work, for
always lifting our sights to higher vision, raising our personality beyond normal
limitation and for realizing us and our strengths and potential, as We did not always
welcome him exhortation, “try again; you can do better.” But this project owes a great
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PREFACE
● ABSTRACT 4
● NTRODUCTION 5-10
▪ ABOUT PEPSICO.
▪ COMPARATIVE ARENA
▪ PRODUCT PROFILE
➢ OBJECTIVES 59-60
➢ CONCLUSION 79-80
➢ FINDINGS 81-82
➢ LIMITATIONS 83-84
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➢ BIBLIOGRAPHY 88-90
ABSTRACT
As an integral part of the course curriculum, all BBA students are required
uncertainties and challenges, which are the part and parcel of every
organization.
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INTRODUCTION
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INTRODUCTION
I have done two surveys, one is Route Ride Survey and another one is
In trade channels, I counted the types of channel from where the cold
drink is selling for example like Pan Shop, Tea Stall etc. and also the
average sale of the cold drink at that shop. I have also found out the
percentage monopoly of coke and Pepsi in these outlets. After that I have
we covered each and every retailers at every route and we have to check that
all the brands and packs of coke are visible or not or which one is visible in
retailers that’s why the retailers prefer to sell Pepsi in comparison with
Coke. And the other problem is that the retailers getting product at cheaper
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Hindustan Beverage Limited is a franchisee of Coca cola international
which manufacture coca cola products coca cola industry is a U.S.A. based
multinational company which produce soft drink and also interfere in the
fields of food (Snacks). When India left the ban from the international soft
drink manufactures coca cola was the first company who joined Indian
market with their tow flavor i.e. coca cola (Cola), 7 UP (clear lemonade).
That time COCA COLA have competition with only Thumps Up. As coca
international entered the Indian market and had collaboration with thumps
They have joined Indian market with coke (cola) and Fanta (orange). At
present there is a great competition in the field of soft drink industry and
They are the global sponsors of cricket world cup 1999 while the coke was
the official cold drink of wills world cup 1996. But COCA COLA prepare a
brilliant aid with slogan “Nothing official about it” and gain great
advantages. This competition is very god soft drink industry and consumer
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as well. At present Coca cola and coke have balanced market share in Indian
market.
business all over India. The most effective was with the introduction of
events all over India, which help to create brand awareness among to user
groups.
HISTORY
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bottles & come in variety of flavors. They are all artificially sweetened. The
soft drink industry has been undergone with many transformations with
changing consumer demand, government policies & innovation in
packaging.
With introduction of fruit based soft drink packaged in carbonated cartoons
known as “tetra packs”, the bottled soft drink market has undergone a slight
decrease in demand. With the entry of PEPSI COLA & COCA-COLA India,
the Indian marketing is witnessing the giant advertisement war between two
enemies.
The history of cold drinks began with the end of last century. Its history
dates back to the civil was in U.S.A in 1860. At that time people were
suffering from many diseases.
Problem at that time was how the cure all diseases since no remedy were
present at that time. It was a big question for American’s. So in 1885 MR.
JOHN PAIMWARTION, who lived in Antonica made a drink and registered
it as French wine cola. In the beginning this drink was made with the
mixture of cocaine and alcohol but later on it was converted into a soft drink.
Now it was renamed as COCA-COLA. A new brand named PEPSI COLA
came in the year 1887.
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HISTORY OF SOFT DRINK IN INDIA
Around 1948 the first branded soft drink came in Indian market. The soft
drink was named GOLD SPOT. Before COCA-COLA entered the country to
dominate the scene in 1950’s. Parle exports pvt. Limited was the first Indian
company to introduce a lemon soft drink, this drink was known as Limca
and it was introduced in 1970’s. However, before this they had introduced
Cola Pepino which was withdrawn with the face of through competition
from COCA-COLA.
In the year 1997 COCA-COLA left Indian market and this brought in an
opportunity to various Indian companies to show their caliber. At this time a
new soft drink was introduced by Parle products and this was named
THUMS-UP. This was a cola drink which had a burnt sugar colour. This
drink was introduced with a mighty saying happy Days are Here Again”, as
is happy days went away with COCA-COLA. There were another company
named CAMPA-COLA along with the lemon & and orange flavors.
Just after this many more companies entered the Indian soft drink market. A
soft drink named DOUBLE SEVEN had been introduced by a company
MODERN BAKERS. Another company MOHAN MEAKINS also came
with a soft drink named MARY & PUCK UP. MACDOWELL came with
THRILL, RUSH, SPRINT.
Previously there was no competition in the Indian soft drink market but with
all these companies in the Indian market a though competition was taking
place with high voltage advertisements. In the year 1998 PEPSI was given
permission to sell its soft drinks in the Indian market by the government of
India.
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COMPANY
PROFILE
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HISTORY OF COCA-COLA IN INDIA
COCA-COLA came back in the year 1993 after liberalization and was
launched at Agra with the slogan “Old wave had come to India again”. At
the time the Parle was the leader in the soft drink market and had more than
60% of the total share in soft drinks. COCA-COLA joined hands with Parle
& re-entered India after 17 years. By striking a $40 million deal with Parle.
Coke almost made a clear sweep, and made its goal as “to become an all
time, all occasions drink not special treat beverage”.
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COCA COLA IN INDIA
Ever since, Coca-Cola India has made significant investments to build and
continually consolidate its business in the country, including new production
facilities, waste water treatment plants, distribution systems, and marketing
channels.
Coca-Cola India is among the country’s top international investors, having
invested more than US$ 1 billion in India in the first decade, and further
pledged another US$100 million in 2003 for its operations.
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A Pure Commitment to The Indian Economy
The Company has shaken up the Indian carbonated drinks market greatly,
giving consumers the pleasure of world-class drinks to fill up their
hydration, refreshment, and nutrition needs. It has also been instrumental in
giving an exponential growth to the country’s job listings.
Creating Enormous Job Opportunities
With virtually all the goods and services required to produce and market
Coca-Cola being made in India, the business system of the Company
directly employs approximately 6,000 people, and indirectly creates
employment for more than 125,000 people in related industries through its
vast procurement, supply, and distribution system.
On the distribution front, 10-tonne trucks – open bay three-wheelers that can
navigate the narrow alleyways of Indian cities – constantly keep our brands
available in every nook and corner of the country’s remotest areas.
These are only some of the facts that speak about our commitment to the
growth of the Indian Economy.
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CORPORATE GOVERNANCE
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General V.P. Malik (Retd):
General Malik is the Former Chief of Indian Army, a force of over 1.1
million people. He oversaw intensified anti-terrorist operations in Jammu
and Kashmir and North East India. He was awarded the Ati Vishista Seva
Medal in 1986 as well as the Param Vishista Seva Medal, the highest
national award for distinguished services in India in 1996.
Mr. S M Datta:
Eminent Management professional, Mr. Datta was formerly Chairman of
Unilever in India (1990-1996). He has participated in various committees of
the Government of India in areas of Science and Technology, and Food
Processing. Currently, Mr. Datta is chairman of Castrol India Limited,
Phillips India Limited & Tata TD Waterhouse Company Private Limited.
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Mr. N K Singh:
Is a retired IAS Officer and has held several important positions in the
Central and State Government, including that of Additional Secretary
Economic Affairs, Revenue Secretary, Expenditure Secretary, Secretary to
the Prime Minister as his main Economic Advisor and Member-Planning
Commission, in charge of overall macroeconomic policies, medium term
economic strategy and infrastructure.
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MISSION, VISION & VALUES
The world is changing all around us. To continue to thrive as a business over
the next ten years and beyond, we must look ahead, understand the trends
and forces that will shape our business in the future and move swiftly to
prepare for what's to come. We must get ready for tomorrow today. That's
what our 2020 Vision is all about. It creates a long-term destination for our
business and provides us with a "Roadmap" for winning together with our
bottler partners.
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Our Mission
Our Roadmap starts with our mission, which is enduring. It declares our
purpose as a company and serves as the standard against which we weigh
our actions and decisions.
● To refresh the world...
● To inspire moments of optimism and happiness...
● To create value and make a difference
Our Vision
Our vision serves as the framework for our Roadmap and guides every
aspect of our business by describing what we need to accomplish in order to
continue achieving sustainable, quality growth.
People: Be a great place to work where people are inspired to be the best
they can be.
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Planet:Be a responsible citizen that makes a difference by helping build and
support sustainable communities.
Profit: Maximize long-term return to shareowners while being mindful of
our overall responsibilities.
Productivity: Be a highly effective, lean and fast-moving organization.
Our values serve as a compass for our actions and describe how we behave
in the world.
Leadership: The courage to shape a better future
Collaboration: Leverage collective genius
Integrity: Be real
Accountability: If it is to be, it's up to me
Passion: Committed in heart and mind
Diversity: As inclusive as our brands
Quality: What we do, we do well
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ABOUT PEPSICO INDIA
PepsiCo entered India in 1989 and has grown to become the country’s
largest selling food and Beverage Company. One of the largest multinational
investors in the country, PepsiCo has established a business which aims to
serve the long term dynamic needs of consumers in India.
PepsiCo nourishes consumers with a range of products from treats to
healthy eats that deliver joy as well as nutrition and always, good taste.
PepsiCo India’s expansive portfolio includes iconic refreshment beverages
Pepsi, 7 UP, Mirinda and Mountain Dew, in addition to low calorie options
such as Diet Pepsi, hydrating and nutritional beverages such as Aquafina
drinking water, isotonic sports drinks - Gatorade, Tropicana 100% fruit
juices, and juice based drinks – Tropicana Nectars, Tropicana Twister and
Slice, non-carbonated beverage and a new innovation Nimbooz by 7Up.
Local brands – Lehar Evervess Soda, Dukes Lemonade and Mangola add to
the diverse range of brands.
PepsiCo’s foods company, Frito-Lay, is the leader in the branded salty
snack market and all Frito Lay products are free of trans-fat and MSG. It
manufactures Lay’s Potato Chips, Cheetos extruded snacks, Uncle Chips
and traditional snacks under the Kurkure and Lehar brands and the recently
launched ‘Aliva’ savoury crackers. The company’s high fibre breakfast
cereal, Quaker Oats, and low fat and roasted snack options enhance the
healthful choices available to consumers. Frito Lay’s core products, Lay’s,
Kurkure, Uncle Chips and Cheetos are cooked in Rice Bran Oil to
significantly reduce saturated fats and all of its products contain voluntary
nutritional labeling on their packets.
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The group has built an expansive beverage and foods business. To support
its operations, PepsiCo has 36 bottling plants in India, of which 13 are
company owned and 23 are franchisee owned. In addition to this, PepsiCo’s
Frito Lay foods division has 3 state-of-the-art plants. PepsiCo’s business is
based on its sustainability vision of making tomorrow better than today.
PepsiCo’s commitment to living by this vision every day is visible in its
contribution to the country, consumers and farmers.
Quick Facts
● PepsiCo established it's business operations in India in 1989
● Invested more than USD 1 Billion since inception
● Well known and loved global brands that delight and nourish
consumers
● It provides direct and indirect employment to 150,000 people in India
● It has more than 36 bottling plants including 13 Company & 23
Franchise owned ones
● 3 State-of-the-art food plants in Punjab, Maharashtra and West Bengal
Our Mission
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"To be the world's premier consumer products company focussed on
convenience food and beverages. We seek to produce healthy financial
rewards to investors as we provide opportunities for growth and enrichment
to our employees, our business partners and the communities in which we
operate. And in everything we do, we strive for honesty, fairness and
integrity."
Our Vision
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Coke vs Pepsi
We often have a Pepsi or a Coke when we have lunch, hang out with friends,
or even just simply when watching the television. Sometimes we go in for
the taste, sometimes for the sheer pleasure of gulping it down, and may be
even due to its popularity. Though many are not choosy, some prefer to have
only one out of the drinks mostly.
The first way to distinguish between a can of coke and Pepsi is the brand
color. Cokes come in red cans, while Pepsi comes in blue cans. Though the
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drink has the same color, the branding is always in the specified red and blue
colors.
The tastes of both the drinks are distinct and it is easy to make out the
difference. Pepsi is a little more sweet in taste than the coke. This is due to
the addition of the artificial sweeteners to it. You will be able to make it
right when you take a sip of the drink. The additions of the sweeteners leave
a mild chemical taste after you drink it. Compared to Pepsi, coke does not
have that chemical after taste owing to the less artificial sweeteners added.
When you drink coke you feel more of that cola flavor in it, while with
Pepsi, you get a fruity or fluid sort of taste.
The carbonation levels of both the drinks also are different. It is higher in
coke. So when you take the first sip of the coke, you get that fizzy effect.
This frizz is less in Pepsi. The fizzy nature can be identified by the bubbles
formed when you first open the bottle or just simply shake. It is more in the
coke. And you do get that bubbly taste down your throat with a Pepsi. Coke
is smoother. The bubbles disappear quickly as the fizz escapes from the
coke.
The basic ingredients of Pepsi are carbonated water, sugar, fructose corn
syrup, caffeine, colorings, citric acid, and other natural flavors. When the
coke was launched, its main ingredients were caffeine and a small amount of
cocaine. The other ingredients, like the Pepsi are carbonated water, sugar,
phosphoric acid, and other natural flavorings.
When it comes to the branding part, the logo of coke has not varied much
since its inception. May be a minor change in the font is all what changed.
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This has helped it to stay on in the minds of people. But Pepsi, on the other
hand, has come up with various logos and slogans. This kept on changing
almost yearly. Though the company and market analysts claim that this is in
tune with the changing trends in the society, many do not accept this. Each
time they see a new logo, they are afraid to try it thinking that the whole
drink has changed.
Summary:
1.Pepsi uses blue color for branding and Coke uses red.
2.Pepsi is sweeter than coke.
3.The carbonization level is higher in Coke than Pepsi.
4.The branding techniques are used more by Pepsi Company than the Coke
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JOURNEY OF COCA COLA
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Difference between Coke and Pepsi
Amongst the leading rivals in the beverage industry, Coca-Cola and Pepsi
struggle to remain on the top and prove to be the fiercest competition for
each other. Keeping up their reputation and serving the masses since the past
many decades, Coke and Pepsi both have similar problems, such as having
inappropriate ingredients that are not suitable for different nations, like
India, due to the cultural differences. For the sake of their future growth,
these companies are seen to compromise in order to have their status and
figures remaining on the top. Both the drinks continue to confuse the
consumers in the competition of wanting to be the best.
Basic Statistics
When it comes to the essential figures, we have seen that Pepsi has more
advantages whereas coke is getting superior figures. Pepsi wins the game
when it comes to making revenues and creating profit margins and it has
been noted that since the past few months, Pepsi has updated itself more
than Coke has. This is an indication that the investment banks are favoring
Pepsi over coke. However, the companies aim to secure better measures in
the future of promising markets which may bring them loss at one time but
in the longer run, there is an increase in the economies of scale.
Pepsi has had constant growth during its occupancy in a stable pattern that
shows promises of future expansion. Even though the customers do not like
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the speed of the pattern, long-term investors favor Pepsi exactly for this
reason and therefore, the boost in price. The company is in their "maturity"
state where the product is said to be enjoying the maximum economies of
scale and can carry this success for quite a while, if the right tactics are used.
If a company invests in Pepsi today, by 2015, Pepsi promises to rise almost
100 points more. You need to be patient when it comes to investing in such
areas of business and to give you satisfaction, you get to see the capital
increase over the years. However, Coca-Cola is not seen to be giving the
same fluctuation to the investors as it changes in a $5 range. This may attract
those who believe in fixed income but since the past decade, no significant
rise has been seen nor are there any signs of possible expansion. Coke has
tried to add to its value to the maximum but it is feared to experience
diseconomies of scales sometime in the near future.
Marketing Strategies
Pepsi is expanding itself by focusing on CEO's that are of different cultures
and this is the reason it is being a step ahead of Coca-Cola. Coke therefore
needs to have different strategies to gain popularity in different parts of the
world and match the steps that Pepsi is taking.
Summary
● While the market generally believes that Coke is on top of the
industry, times are changing for the worse for this company as Pepsi
has started becoming more favorable because:
● The significant increase in the investing market and their different
strategies of having the public on their side
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● Pepsi updates itself after an interval of few months to show their
stability when it comes to investors which shows that they are
generally financially established.
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PREPARATION OF SOFT DRINKS
A soft drinks is a mixture of concentrated sugar syrup and treated water. The
factors that affect the soft drink industry and has resulted in the great
competition are:
Availability: the availability of right brand at the right place and at the right
time is the main aim for wining consumers in soft drink business.
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SOFT DRINK MARKET IN INDIA
Today India is one of the most potential markets, with population of around
900 million people, the Indian soft drinks market was only of 200 cases per
year. This was very low even compared to Pakistan and Philippines.
Population and potential market are two major reasons for major
multinational companies of entering India. They feel that a huge population
coupled with low consumption can only lead to an increase in the soft drink
market. Another increase in the sale of soft drinks in the scorching heat and
the climate of India, which is suitable for high sale of soft drinks. All these
factors together have contributed to a 30% growth in the soft drinks industry.
If the demand continues growing at the same rate, within two years the
volume could touch 1 billion cases. All these factors are the reasons for the
entry two giant of the soft drink industry of the world to enter the Indian
market. These two giants Pepsi and Coca-Cola, Themselves share 96% of
the soft drink market share. Rest is shared by Cadbury’s Schweppes, Campa
Cola and other soft drink brands. But was the scene same 20 years ago? The
answer is No. 1970 was the year of pure soft drinks Campa cola and Parle
people (Thumps up and Limca).
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channel refers to business location that tells or serves the products directly to
consumers.
Soft drink is not a product, which a person plans to buy before hand, but is
an impulse purchase. Lots of sale depends upon the strength of
merchandizing done at the point of sale.
It all begin in 1977, a change in government at the center led the exit of
Coca-Cola which preferred to quit rather to dilute its equity to 40% in
compliance with the Foreign Exchange Regulation Act (FERA). The first
national cola drink to pop up was double seven. Delhi oil coke’s exit,
switched over to Campa Cola.
The beginning of 1980’s saw the birth of another cola drink, Thums up,
Parle the Gold spot people, launched it in 1978-79, as “Refreshing Cola”. By
the mid-eighties Mc Dowells launched Thrill, and by the late eighties three
was Double Cola, which entered in India market, as a NRO-run out fit with
its plant in Nasik { Maharastra }, in 1978 Parle, Indian soft drink’s. market
(share 33%) with its gold spot and Limca brands. Later Thums Up also
started ‘Thums Up. At the same time the threat to the Indian soft drinks was
that of fruit drinks. In 1988, fruit drinks market was valued at Rs. 40 crores
and grew at the rate 20%.
Coca-Cola entered Indian by buying up to 69% of the 1,800 crore soft drink
market { i.e. 5 Parle Export brands of Thums Up’s Limca Gold spot, Citra &
Maaza }.Today the scene has changed making it a direct battle between two
giant Coca-Cola and Pepsi. The picture will become clearer by looking at the
India market shares in the beverage industry.
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One of the strongest weapons in Coke armory is the flexibility it has
empowered its people with.
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COMPETITIVE ARENA
The soft drink market all over the world has been witnessing a neck to neck
battle between the two major players, Coca-Cola and Pepsi since the very
beginning. The thirst quenchers are trying hard to have the major chunk of
the pie of carbonated soft drink market. Both the players are spending their
energies in building capacity, infrastructure, promotional activities etc.
Coca-Cola being 11 years older than Pepsi has dominated the scene in most
of the soft drink markets in the world and enjoying leadership in terms of
market share. But the Coca Cola people are finding it hard to keep away
Pepsi, which has been narrowing the gaps regularly. The two are posing
threats to each other in every nook and corner of the world. While Coca-
Cola has been earning most of its bread and butter through beverage sales,
Pepsi has a multi products portfolio with some portion from the same
business.
The two warriors are face to face once again here in India with different
strategies and tactics to attack the rival. Coca-Cola is focusing upon the joint
ventures with the existing bottlers (FOBO) franchise owned bottling
operations to enhance its control on manufacturing and marketing of its
products range and attain the quality standards of its class.
Countering it Pepsi has taken the battle in its own hands by floating as
investment of $ 95 billion to set Pepsi Company. India holdings, as
subsidiary for {COBO} Company owned bottling operations. Both the
companies are following different path to reach the same destiny i.e. to fetch
the bigger portion of aerated soft drink market. Both consider India a huge
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potential market, as per capita consumption here is a mere 3 serving
annually against the world average of 80. Therefore, they are putting in their.
Best efforts to woo the Indian consumer who has to work for 1.5 hours to
buy a bottle of soft drink. In comparison to the international norms minutes,
a major hurdle to cross over for both the athletes for getting No.1 position
comparison to the ‘inter. Coca-Cola is well set with its 53 bottling sites
throughout the country giving it an edge over competition by processing a
well-built bottling and distribution set-up. On the other hand, Pepsi, with
two more years in India, has been able to set an image of a winner in India
and has been able to get the pulse of the India soft drink market. The soft
drink giants are leaving on stone unturned and her for the long terms.
Coca-Cola has been penetrating the market through its wide product range
with a determination to change consumption pattern of soft drink in India.
Firstly, they upgraded the whole industry by introduction 300 ml bottles,
which in turn had given the industry a booming growth of 20% as compared
to the earlier 5%. They want to develop a coca culture here and are working
on a strategy to offer soft drink in every possible package. In Coca-Cola
camp, the idea of competition has not come from Pepsi, but from the other
beverages such as tea, coffee, Nimbu Pani, water etc. Pepsi is quite
aggressive in its approach to Indian Consumer.
They are desperately working on the strategy to be winners in the hot cola
war between two big barons. According to Pepsi philosophy, it’s the
madness that encourages executive to drink, to conjure up those creative
tactics to knock the fizz out their competition. Pepsi had plumbed a large on
the visibility of its blue red and white logo. They have been going with
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aggressive marketing by putting Sachin Tendulkar, Akshay Kumar and now
Shahrukh Khan in their advertisement to endorse their brand, the role
models for its targeted consumer the teenagers. They have increased the fizz
in the market place by introducing the dispensers called Fountain Pepsi and
has been enjoying a lead over its rival there.
Coca-Cola on the other hand, has been working on the saying slow and
steady wins the race’s side by retailing to every more of its competitor. They
have procured the shield of Thums Up with a handsome market share in
Indian soft drink market.
These cool merchants have put everything on fire. It Coke got the status of
the official drink of wills. World Cup, Pepsi blushed as nothing official
about it. As Thums Up projected as ‘Sare Jahan Se Achcha’ Pepsi was
passionate enough with ‘Freedom to be’ and now the “Yeh Dil Mange
More” when Thums Up came with Thunder blast, the other offered ‘Pepsi
stuff card’. If red is meant for coke, Pepsi has ‘chosen to be blue.
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COKE’S MARKETING STRATEGIES
Coke decides on its marketing strategies at a national level and lends them a
local flavor. For example, while festival mood plays a strong role in
marketing, it is activated for Durga Puja in Calcutta, Dandiya in Gujarat,
etc., Coke has its focus on the youth market in India.
As a first step toward catching the attention of the youth, coke signed on
cricket heroes Saurav Ganguly and Javagal Srinath. It slowly started talking
about youth passions like cricket, films, festivals and food. Soon the
advertisements started giving the message, “Eat Cricket, Sleep Cricket,
Drink only Coca-Cola” And now it has started modifying film hits to frame
catch lines that appeal to the youth. ‘This particular strategy has worked well
for coke.
Coke is focused on distribution to ensure that its products are within
customer’s reach. And it saves its focus has begun to pay it dividends. As
per mid-1998 figures coke is selling as many bottles in the hinterland of
Punjab as it does the four metros.
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THE FUTURE OF COCA COLA
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Coca-Cola globalization strategies
Distribution
Distribution sales + delivery + merchandising + local account management.
Distribution of coke’s products includes the activities of sales, delivery
merchandizing and local accounts management. These are two major types
of distribution systems
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In advanced sales, sales and delivery are performed by different people within
the coca-cola system.
Merchandizing
One the Products Are delivered to the Customer’s They Are Promoted at the
Point-Of-Purchase to Maximize the Company’s Sales Opportunities,
Merchandizing Involves Looking at the Presentation of the Products through
the Eyes of the Consumers. It Is Ail On-Going Process That Help The
Company Present Its Products Properly To The Consumers In The Market
Place For Instance, Is The Display Attractive? Are the Product Neatly
Organized.
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returned to India after a 16 year absence (beorge fernandes threw the
company out of the country in 1977 on the pre text that it had refuse to
divalge its formula to indian officials), ceo of the coca-cola company,
robesto boirueta “salivated over a virtually untapped market of 840 million
people”.
The 3a’s: -
The strategy for reaching increasing numbers of consumers in India is based on
the belief that consumers will buy our products it they are available,
affordable and acceptable.
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● Caring enough about what we do, too it the best we know how.
The 3a’s is coca-cola underlying strategy for meeting its goal to reach increasing
numbers of consumer’s. How does coke position its limited resources to help
meet its good? Let us explore the specific ways in which the coca-cola
system addresses each of the 3a’s.
Availability
Some of the ways in which, the coca-cola company hopes to increase
availability of its product include improved or innovative packaging,
dispensing systems, distributions system, marketing.
Affordability
The ways to address affordability include pricing decisions, as well as resource
management. To make its product available at a price affordable to the
consumer. Continually processes more efficient and therefore more cost-
effective.
Acceptability
Making coca-cola brand products the beverage choice for any occasions
depends on a variety of strategies to reach the target audience. The common
strategies adopted to effect acceptability which youth market activities,
community programs, and other activates.
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The image
The image is communicated all around the world in advertisement on media
such as newspaper, magazines, radio and televisions. The list goes on..
However, image is much more just advertising every person working within
the coca-cola system is part of the image whether one is involved in creating
its advertising making its quality products or selling merchandizing and
distributing its beverage their hard work and aptitude will say something to
the people about its product.
Raw material
Coca-Cola Company
Bottler
Customer
Consumer
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Segmentation
The soft drink market can be segmented on the basis of place of consumption or
on the basis of type of products. The segmentation on the basis of place of
consumption divides the market into two parts: -
● On-premise-80% of the consumption of soft drinks is on premise i.e.
restaurants, railways stations, cinema etc.
● At-home- the rest 20% of the market compromises of the soft drink
purchased for consumption at home.
The market can also be segmented on the basis of types of products into cola
products and non-cola products.
● Cola products account for nearly 61-62% of the total soft drinks
market. The brands that fall in this category are
Pepsi, coca-cola, thumps up, diet coke, diet Pepsi etc.
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is the market leader with around 70-75% of the market followed by
miranda lemon.
Iii.Clear lime:this segment of the market witnessed good growth
initially with all the players launching their brands in the segment. But
now the growth in the segment has slowed down. The brands
available in this segment are. 7 up of pepsi, sprite of ‘ coca cola and
canada dry (earlier of cadbury schweppes and now of coca cola). The
segment constitutes 3% of the total soft drinks market.
Iv. Mango: this flavour segment constitutes 2% of the total soft drinks
market and it directly competes with mango based fruit drinks like
frooti. The leading brands in this segment are: maaza of coca cola,
mangola (earlier of dukes now of pepsico) and slice of pepsico.
There is very thin line of difference between the clear and cloudy lime. The
most obvious feature is that clear lime has to be bottled in green bottles as
sunlight harms the drink and changes the taste.
There are some small local brands at city or regional levels. Most of these
are either merging with the two big players (coca cola and pepsi) or they
command a very small - less than 3%, of the total market ill their respective
areas.
PRODUCT PROFILE
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The product range of the coke has listed brands:
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RESEARCH
METHODOLOGY
50
RESEARCH METHODOLOGY
given below.
Analyzing The
Information
Presenting The
Information
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DESIGN OF STUDY
DATA REQUIREMENTS
1. Primary data
2. Secondary data
RESEARCH OBJECTIVES
The main aim behind the dealers’ survey to know about the reach of
Miranda lemon and get a comparative position of coke and Coca cola. By
the help of certain chart and graphs as shown on the following pages with
DESIGN USED
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SAMPLING PLAN
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SAMPLING METHOD:
Simple random sampling method at various in Meerut and NCR.
SOURCE
● Personal interview
● Questionnaire
● Previous reports
● From company’s personas
● Magazines and journals
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slightest element of bias in such an inquiry will get larger and larger as the
number of observation increases. Moreover, there is no way checking the
element of bias or its extent except through a re-survey or use of sample
checks. Besides, this type of inquiry involves a great deal of time money and
energy. Not only this, census inquiry is not possible in, practice under many
circumstances. For instance blood testing is done only on sample basis.
Hence, quite often we select only a few items from the universe for our
study purposes. The items so selected constitute what is technically called a
sample.
The research must decide the way of selecting a sample or what is popularly
known as the sample design. In order words, a sample design is a definite
plan determined before any data are actually collected for obtaining a sample
from a given population. Thus, the plan to select 12 of a city’s 200
drugstores in certain way constitutes a samples design. Samples can be
either probability samples or non-probability samples with probability
samples each element has a known probability of being included in the
samples but the non-probability samples do not allow the researcher to
determine this probability. Probability samples are those based on simple
random sampling, systematic sampling, stratified sampling, cluster/area
sampling whereas non- probability, stratified sampling, cluster / area
sampling whereas non- probability samples are those based on convenience
sampling, judgment sampling and quota sampling techniques. A brief
mention of the sample designs is as follows.
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SIMPLE RANDOM SAMPLING
BY OBSERVATION: -
This is method implies the collection of information by way of investigator’s
own observation, without interviewing the respondents the information
obtained relates to what is currently happening and is not complicated by
either the past behavior or future intentions or attitudes of respondents. This
method is not doubt an expensive method and the information provided by
this method is also very limited, as such this method is not suitable is
inquiries where large sample are concerned.
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(ii) BY MAILING OR QUESTIONNAIRES: -
The researcher and Respondents do not come in contact with each other if
this method of survey is adopted. Questionnaires are mailed to the
respondents with a request to return after completing the same. It is the most
extensively used method in various economic and business surveys. Before
applying this method, usually a pilot study for testing the questionnaire.
Questionnaire to be used must be prepared very carefully so that it may
prove to be effective in collecting the relevant information.
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MEANING OF PROJECT
‘P’ Planning:- The first step ‘P’ stands for planning, planning is the word
that means prior the construction of anything and for their arrangement there
should be good planning which gives better results in manufacturing the
thing that is being prepared as well as it is the bridge of between present and
future.
R: Resource: ‘R’ stand for resource as resource give the current idea to
promote the work.
O: Operative: It is a process of performing various functions in systematic
way.
J: Joint effort: a project cannot achieve its maximum success without the
complete cooperation of group member.
E: Engineering: Engineering is a branch of science under which a given task
can be performed efficiently with the help of knowledge and technique in a
short duration by employing less money.
C: Communication: Communication simply means the exchange of ideas,
which flows between two or more person as well as from one place to
another place.
T: Techniques: Techniques is a simply an art performing a task the project
should be finished with different technique of works.
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OBJECTIVES
59
OBJECTIVES
To find out the attributes which make the Brand Number Considering the
company.
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DATA ANALYSIS
61
DATA ANALYSIS
The soft drink market of India are by and large controlled and governed by
the two soft drink giant company, Coca cola and Pepsi.
The only presence of the two giant company doesn’t mean absence of
competition rather a neck to neck competition, a dual strategy and counter
strategy is all time present to capture a greater market share. For extracting
the total market strength, two companies have a wide variety of soft drinks.
Different flavor and different packs are available from both the companies.
Let us take a glimpse of the different flavor available for both companies.
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80% 1 1 2 2
80%
70%
60%
50%
40%
30% 20%
20%
10%
0%
Coke Pepsi
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Q-1: How many carats do you sell in a week?
1. 10-20 2.20-30
3. 30-40 4. Above
15%
10%
40%
35%
10 to 20 20 to 30 30 to 40 40 above
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Q-2: Supply of Coke is regular/proper?
25%
75%
Yes No
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Q-3: Scheme disclose by salesman daily?
10%
90%
Yes No
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Q-4: Problem rectified by Coke?
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20%
5%
75%
68
30% 5% 10%
55%
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Q-6: Which Company provide better service?
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30%
70%
Coke Pepsi
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25%
10%
25%
40%
0 to 2 3 to 5 6 to 10 above 10
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Q-8: No. of empty glasses of Coke at present?
20%
5%
45%
30%
0 to 2 3 to 5 6 to 10 above 10
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Q-8: No. of empty glasses of Pepsi at present?
15% 20%
10%
55%
0 to 2 3 to 5 6 to 10 above 10
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SWOT ANALYSIS
In a most competitive market like soft drinks, one has to be very strategic
against all the business activities of the rivals. A constant review of the
market situations and fitness of the self is the must to keep in line with the
more than any other industry, where each player tries to maximize its market
share on the cost of others. Packaging is one where there is a very crucial
battle going on. This battle is in fact called the mother of battle in Indian soft
drink market. One of the major tools of this battle is of course packaging. To
win the situation coke must analyze the external environment to identify
threats and opportunities to adopt to the strategic fit. For this internal
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STRENGTHS
76
WEAKNESS
77
OPPORTUNITY
1. The market growth rate is very high infect 30% per annum.
2. The brand name coke speak most highly i.e. coke is at the top of the
mind among consumers.
3. The growing market may be captured with greater number of package
in run it is a threat to Pepsi as the market demand is very
heterogeneous.
4. The launching of 250 ml coke has seen the overall growth in coca
segment.
5. Thumps up cans adopting the blue color has infect eaten the main
plant of Pepsi of its blue color.
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THREATS
79
PROBLEM
After visiting nearly 100 cutlets I found that there are some common
1. The first and the major problem among the retailers are non-
display the warm and cold display because it will consume their time
and place.
3. Retailers are asking about schemes. They are complaining that they
are not getting proper facilities, although their sale is very good. They
do not have chairs and tables and in some cases if they have it is not in
good condition.
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CONCLUSION
81
CONCLUSION
1. The comparative sale of Coca cola and is near about equal. Coca cola
is getting a lead by the help of its coca flavor.
2. Limca is in a far better position in lemon flavor.
3. Consumer likes only the aid of Miranda lemon they not want to try
Miranda lemon.
4. Fountain Coca cola is not easily available in NCR. But if it will be
there than there is a chance of better sales.
5. Coca cola have a sale of 56% in cola flavor.
6. But overall sale of all favors in near about equal Coca cola have 51%
of soft drink market while coke have 49% of share market.
7. The advertisement of Coca cola and Miranda lemon is mostly liked by
the maximum people.
8. There is a big scope for fountain Coca cola in cinema halls, shopping
complex, bus stand railway station etc.
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FINDINGS
83
FINDINGS
Dealer’s profile:
Consumer’s profile:-
Under the head “Dealer’s profile” we have made analysis from data’s given
by dealers.
market.
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LIMITATION
85
LIMITATION
Since the research has been conducted on the human being who were the
retailer of the different brands of soft drinks.
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SUGGESTIONS
&
RECOMMENDATION
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SUGGESTIONS
➢ In cold drinks Coke and Thums Up have strong brand awareness and
availability but Pepsi itself has a strong availability in comparison to
its competitions. So the company should try to make coke, Limca,
Thums Up and other brand widely available.
➢ Company should motivate the retailers to display its brand effectively,
for this they should provide the free samples for display.
➢ Communication gap between retailers and management should be
reduced.
➢ Problems of the retailers should solve by the company in most
possibly lesser time.
➢ Sales promotion should be implemented within time and should live
up to the promise kept.
➢ Sprite, Kinley Soda is not much popular so, Coca-Cola should try to
promote these less popular brands through increase their visibility in
warm and cold display.
➢ Salesman distributing products should carry and provide all the brands
to all retailers.
➢ Time to time visit of routes should be done by senior executives, so
that problem in the market are solved effectively, remember a officer
or executive can convince them more what a salesman cannot do.
➢ Company should take some actions against that retailer who misused
the equipments company provided.
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RECOMMENDATION
89
BIBLIOGRAPY
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REFERENCE BOOK:
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● Research Methodology (Author- Bhandrai)
Print 2012, Fourth edition
JOURNALS
● Business today
● India today
NEWS PAPERS
● Economic times
● Business standards
● Business week
WEB SITES
www. Google.com
www. Coca-colaIndia.com
www. Coca colacola.co.in
www. Coca colazone.yahoo.co.in
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