Brand Equity

Project Report

On

“Brand equity of coca cala”

Submitted for partial fulfillment of requirement for the award of degree

Of

Master of Business Administration

Of

GRAPHIC ERA UNIVERSITY

DEHRADUN (UTTRAKHAND)

Session 2010-12

Under the Supervision of Submitted ByProf. Fatima mariyam Pawan kumar Faculty of Management Studies Roll No-1401056

Enrolment No-11141056

FACULTY OF MANAGEMENT STUDIES GRAPHIC ERA UNIVERSITY

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DECLARATION

I hereby declare that the project report entitled”Brand equity of coca cola”submitted for

the Degree of Master Of Business Administration,is my original work and the project

report has not formed the basis for the award of any degree,diploma,associate

ship,fellowship or similar other titled.It has not been submitted to any other University or

institution for the award of degree or diploma.

(singnature of student)

Name of student

Pawan kumar

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CERTIFICATE BY GUIDE

I have the pleasure in certifying that Mr.Pawan kumar.is the student of Grapich Era

University of the Master,s Degree in Business Adminstration(MBA).His university Roll

No 1401056.

He has completed his project work Title as” Brand equity of coca cola”under the

guidance.

I certify that is his original effort and has not been copied from any other source.This

project has also not been submitted in any other University for the purpose of award of

any Degree.

This project fulfill the requirement of the curriculum prescribed by the Grapic Era

University,Dehradun for the said course.

I recommend this project work for evaluation and consideration for the award of Degree

to the student.

Signature:

Name of the Guide:

Prof. Fatima mariyam

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ACKNOWLEDGEMENT

I express my sincere thanks to my project guide Prof.Fatima mariyam faculty of

management Deptt.,for guiding me right form the inception till the successful completion

of the project.I also guidance during the presentation of this project report.I am grateful to

Faculty of Management Studies of Graphic Era University Dehradun.

I wish to record my sincere thanks to our Parents, family members, relatives and our

friends for their help and cooperation throughout our project and for providing us

support, encouragement and suggestions at every stage of our research

My thank,s are due to those who have helped in collecting data or analysis or typesetting

etc.

(Signature of student)

Name of student

Pawan kumar

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Project report in any organization is an attempt to provide the student a practical Input

and Exposure to the Real world situation in which he has to work in future. My Project in

COCA-COLA was an attempt in this regard. The project work provided to me was a

survey titled based on E.D.S.-Every Dealer Survey it was to find out the Effect of

Merchandising and Route Assessment on Productivity/Sales, Availability of product,

MKT. Condition, Demand & supply of product, Distribution Channel, Cooler display,

warm display, in Dehradun City. The Extract of the work is presented in this report

under various headings as, Introduction, Company’s Profile, Project Introduction,

Methodology, Data analysis, Suggestions and Conclusions.

This report provides me a chance to study and analyses the practical aspects of the topic

(Merchandising and Route Productivity). It enhanced my knowledge in the field of

marketing. This project also gave me the chance to improve logical thinking and

interacting patterns. While working on the project, we came to know about the latest

marketing strategies and trends prevailing in the market. The way of selling and

distribution network of Coca Cola was different.

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TABLE OF CONTENT

Title page no.

I. DECLARATION BY STUDENTS

II. CERTIFICATE BY GUIDE

III. ACKNOWLEDLEMENT BY STUDENTS

IV. EXECUTIVE SUMMARY

1. INTRODUCTION

2. COMPANY PROFILE

3. REVIEW OF LITRETURE

4. RESEARCH METHODOLOGY

5. MARKETING STRATEGY OF COKE

6. DATA ANALYSIS AND INTERPRETATION

7. CONCLUSION, SUGGESTION,LIMITATION

8. BIBLOGRAPHY

9. ANNEXURE

QUESTIONNAIR

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INTRODUCTION

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The cola industry has phenomenal possibilities for rocketing profit growth inspite of the

sign of relief heaved by the manufacture at the abrupt sensational termination of coca

cola monopoly the tastes of cola is by no means extinguished the coca. Cola have a status

symbol to it..., generated by the sub standard, penetrated, advertising and extensive

distribution network.

Total soft drink segment is growing at the rate of 10% per year still if international

standard area considered the per capita consumption of three serving in rock bottom, less

than even our neighbors Pakistan and Bangladesh, where it is four more as much. So with

kind of a market potential coke entered in India in 1991 after the permissions of setting

up Britico Food company to coke was granted by the government in Pune in 1992 the

plant was established for is deducted then the bottle are taken out of the line and cleaned

again or rejected.

The most important step is the mixing of drink concentrate dissolved in the soft water the

sugar syrup at the same time. Carbon dioxide is passed in the drink to produce a fizz.

After the crowing of the bottle the crown contains the manufacturing data batch number

and Time. After crowing the bottle, the bottle comes again at checking screen for

checking the bottle.

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COMPANY PROFILE

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COMPANY PROFILE

DOUGLAS N. DAFT

Chairman of the Board and Chief

Executive Officer

The Coca-Cola Company

Douglas N. Daft was elected chairman, Board of Directors, and chief executive officer

of The Coca-Cola Company on February 17, 2000. Mr. Daft is the 11th chairman of

the Board in the history of the Company.

Mr. Daft, 60, joined the Company in 1969 as planning officer in the Sydney, Australia

office. He held positions of increasing responsibilities throughout Asia and in 1982

was named vice president of Coca-Cola Far East Ltd.

In December 1988, Mr. Daft was named president of the North Pacific Division and

president of Coca-Cola (Japan) Co., Ltd. He moved to the Company’s Atlanta

headquarters

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in 1991 to assume the responsibility of president of the Pacific Group and in 1999

his responsibilities were expanded to include the Company's Africa Group, and

Schweppes Beverage Division, as well as the Middle and Far East Group.

Mr. Daft was elected president and chief operating officer of The Coca - Cola

Company in December 1999.

He serves on the boards of Sun Trust Banks, the Boys & Girls Clubs of America,

Catalyst, the CERGE-EI Foundation(Center for Economic Research and Graduate

Education - Economics Institute) in the Czech Republic, the Lauder Institute for

Management and International Studies at the University of Pennsylvania, the Prince of

Wales International Business Leaders Forum, the Grocery Manufacturers of

America, the British - American Chamber of Commerce, the G100, the Woodruff Arts

Center, the Commerce Club, and the McGraw-Hill Companies. Mr. Daft is a trustee of

Emory University, the American Assembly and the Center for Strategic & International

Studies. He is also a member of The Trilateral Commission, The Business Council, and

The Business Round table.

AROUND THE WORLD

Although Coca-Cola® was first created in the United States, it quickly became

popular wherever it went. Our first international bottling plants opened in 1906 in

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Canada, Cuba and Panama, soon followed by many more. Today, we produce more than

300 brands in over 200 countries. More than 70 percent of our income comes from

outside the U.S., but the real reason we are a truly global company is that our products

meet the varied taste preferences of consumers everywhere

OUR PARTNERS

The Coca-Cola Company works with a wide variety of organizations to support

health, fitness and good nutrition. Visit these sites for more information about positions,

programs and activities.

The Coalition for a Healthy and Active America (CHAA) CHAA was formed in

2003 by concerned organizations and national leaders to educate parents, children,

schools, and communities about the critical roles physical activity and nutrition education

play in reversing the alarming trends of childhood obesity. As a non-profit National

grassroots coalition, CHAA is a vigorous advocate for developing healthy and active

lifestyles for America's youth. CHAA is committed to working with schools to

rededicate time for physical fitness; giving parents the freedom to help their children

make their own nutritional choices; building school-business model relationships that

benefit our families by supporting healthy and active lifestyles; and finding solutions to

childhood obesity that are both responsible and realistic American Council for Fitness

and Nutrition The American Council for Fitness and Nutrition (ACFN) is a group of

food, beverage and consumer products companies, not-for-profit organizations and trade

associations working together to improve the health of all Americans, particularly youth,

by encouraging a healthy balance between fitness and nutrition. The cornerstone of all

ACFN initiatives is the idea that lasting solutions to the nation's obesity problem must be

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http://www.chaausa.org/

http://www.acfn.org/

http://www.acfn.org/

based on sound science and behavioral research. Such policies are likely to help parents

and their children develop eating and exercise habits that lead to a healthier life.

Grocery Manufacturers of America The Grocery Manufacturers of America (GMA)

represents the food, beverage and consumer products industry on key issues that affect

the ability of brand manufacturers to market their products profitably and deliver superior

value to the consumer.

International Food Information Council (IFIC) Foundation The IFIC Foundation is a

public education foundation disseminating sound, science-based information on food

safety, nutrition and health. International Life Sciences Institute Founded in 1978, the

International Life Sciences Institute (ILSI) is a nonprofit, worldwide foundation that

seeks to improve the well-being of the general public through the pursuit of balanced

science. Its goal is to further the understanding of scientific issues relating to nutrition,

food safety, toxicology, risk assessment, and the environment by bringing together

scientists from academia, government, and industry.Kidnetic.com is a fun, interactive

Web site that

emphasizes healthy living achieved through a balance of physical activity and responsible

eating habits. The Web site gives young people and their parents the tools and ideas to

help change habits and plant the seeds for healthier families tomorrow. Kidnetic.com is a

program of the International Food Information Council (IFIC) Foundation.

National Association for Sport and Physical Education association for Sport and Physical

Education seeks to enhance knowledge and professional practice in sport and physical

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http://www.aahperd.org/naspe/template.cfm

http://www.ilsi.org/

http://ific.org/

http://www.gmabrands.com/index_flash.cfm

activity through scientific study and dissemination of research-based and experiential

knowledge to members and the public.

National Soft Drink Association the National Soft Drink Association (NSDA) is the trade

association for America's soft drink industry, serving the pub

THE PRESENT POSITION OF COKE IN INDIA

Coke is a households name and is the lips of every one. In present time every person

know the name of coca cola since India is one of biggest market and sultry summer from

march the end of October and huge population has immensely helped in the sales the

sales of coke in India and its making it more economical.

Last years, the market share of Coca Cola was not specific. In this year company’s top

management adopted new policy and increased the rate of all brands of coke. By this

decision top management determined the rate of 300 ml / 10Rs. And the brand of 200 ml

determines the rate of this brand 7Rs. By which medium size family and lower level

family can be taken the enjoy of coke. By this decision company’s marketing share has

been increased.In present time coke is captured approximate 60% market share in cold

Dinks line. Now coke has defeated all the soft drinks company. According to service and

according to advertising coke has appropriate position.It has now emerged as the winner

and has a good image in the market.

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MISSION OF THE COCA-COLA COMPANY

The mission of the Coca-Cola Company is to increase shareowner value over time. The

company accomplished the mission by working with its business partners to deliver

satisfaction and value to customers and consumers through a worldwide system of

superior brands and services, thus increasing brand equity on a global basis.

GUIDING PRINCIPLES OF COCA-COLA INDIA

1. We will conduct ourselves and our business activities with the highest standards

of honesty integrity and professionalism.

2. We will recognize the positive contributions that we make as individuals and team

members to produce our business success.

3. We will encourage a learning environment where people can constantly grow,

develop and contribute.

4. We will strive for excellence and seek continuous improvement in everything we

do.

5. We will respect all stakeholders, including employees, partners and suppliers and

instill them with a passion to deliver the highest quality goods and service.

6. We will foster initiative and creativity by empowering individual to attain well-

defined objectives.

COKE BRANDS IN INDIAN ORIGIN

COCA-COLA:

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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-flavored drink made its U.S. debut, using

"Sprite Boy" as 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 the U.S.,

and the world's most popular lemon-lime soft drink.

FANTA:

The name "Fanta" was first registered as a trademark in

Germany in 1941, when it was used for a few years 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"

orange drink we know today. It is now the trademark name for a line of flavored drinks

sold 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

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countries). Diet coke quickly became the number- one selling low-calorie soft drink in

the world.

VANILA :

It is an Ice Cream in taste. Launched in 2004.

LIMCA:

This is thirst-quenching beverage features a fresh and light

lemon-lime taste and a 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, juicy m natural mango taste.

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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.

KINLEY WATER:

This is thirst-quenching beverage features fresh the fresh water

with the saturated oxygen level.

SUNFILL:

This is thirst-quenching beverage features a fresh and light

orange taste and a lighthearted attitude.

VISION

The long-term vision of Coca-Cola in India is to provide exceptional strategic

lead to the Coca-Cola in India.

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Through Coca-Cola system resulting in consumer & customer preference and

loyalty through Coca-Cola is commitment to them and in a highly profitable

Coca-Cola Corporate branded beverage system.

MISSION

The mission of coca cola in India is:

Increase in shareholder's value over time.

To achieve the above by working with business partners to deliver satisfaction

and value to customers and consumers through world wide system of superior

brand and services thus increasing the brand equity.

To achieve the mission the company seeks the contribution from each of the given

areas:

People working in the company.

Commitment of the company.

Goals & objectives of the company.

Environmental policy.

Internal control.

Policy & producers.

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REVIEW OF LITERATURE

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REVIEW OF LITERATURE

A literature review discusses published information in a particular subject area, and

sometimes information in a particular subject area within a certain time period.

A literature review can be just a simple summary of the sources, but it usually has an

organizational pattern and combines both summary and synthesis. A summary is a recap

or the important information of the source, but a synthesis is a re-organization, or a

reshuffling, of that information. It might give a new interpretation of old material or

combine new with old interpretations. Or it might trace the intellectual progression of the

field, including major debates. And depending on the situation, the literature review may

evaluate the sources and advise the reader on the most pertinent or relevant.

Purpose of review of Literature is to provide a backdrop of the present study. It is the

context to wfi1ch our present study can be referred to determine its relevance

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RESEARCH METHODOLOGY

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RESEARCH METHODOLOGY

Operational Setup-

The success of any survey is depends upon resources, quality and timing and

integrity of the surveyor who compiles the primary data. So it is a very important task is

to manage all the available resources which make impact on the quality of survey.

Approach-

The approach behind a surveyor the project varies with the purpose of the survey.

Under this report, "quantitative" approach is used which is concerned with the objective

assessment of the availability and display that is clearly visible and can be easily

quantified. No subjective assessment is involved in this report.

Area of survey-

For performing any survey a sample is selected from the population. All the

consumers are chosen from different location of Dehradun City.

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Planning:

For a successful compilation and best result within a limited time the planning

was must. In this way the first step was to design an appropriate data form we can say it

questionnaire that covers all the mandatory areas of information that is to be analyzed.

The data form which I was used to collect data was designed by my immediate

supervisor.

Schedule:

To achieve the desired goal it was necessary to make schedule of tasks which

were handed over to us. So keeping in view the original objective, the content of the

schedule was prepared. Then I and my group members collected data from the desired

field. Since the data form distribution and collection was an official work so it was a time

taking process. In the meantime it was our work to keep in touch with our fields.

Sampling Design :

Design is the plan, structure & strategy of investigation conceived so as to attain

answer to questions' to survey and to control the variances. According to this project's /

survey's purpose the analytical, interpretive/objective design was chosen.

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Data Collection Method:

The two sources for data collection are documentary or secondary and field or

primary is used. Because I have to collect the information, which is fickle in nature, the

availability and display of the product changes even each and every day, therefore

questionnaire is selected as the survey instrument. The forms used for the survey were

close-ended questionnaire consisting of various items.

I have covered Dehradun City & took data of different areas it was great to

visit company like "Coca-Cola", season like "Summer" and product like "Cold Drink",

combining all the factors together make the sample design for the project very important

for the real extract from the market. According to my judgment and to cover all the major

areas the sample was selected. The sample size was 100 consumers.

Statistical Tools:

Representation of statistical data by diagram, graphs, charts or pictures is more effective

than tabular representation being easily intelligible to a layman, indeed diagrams is most

essential whenever it is required to convey any statistical information to the general

public.

The more important types of diagram which are use in statistical work are:-

1. Bar Diagram :

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Mode of diagrammatic representation of data is the bar diagram. In this method

bar of equal width are taken for the different items of the series. The length of the bar

represents value of the variables concerned.

2. Pie Chart :

It is a circle whose area is divided proportionately among the different

components by straight lines drawn from the center to the circumference of the circle.

When statistical data are given for a number of categories and we are interested in the

comparison of various categories or between a part of the whole, such a diagram is very

helpful in effectively displaying the data.

Sample Size : 100

Type of Sampling : Random Sampling.

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MARKETING STRATEGY OF COKE

As millions of rural Indians reach for a cold soft drink in the hottest summer in

years, Coca-Cola India seems to have discovered the consumers who could rescue its

dismal sales record. Coca-Cola India totally misjudged rural India, home to two-thirds of

the country's 1 billion population, when it re-entered the country a decade ago.

Yet as the country side emerges as the fastest-growing source of demand for

consumer products, the local arm of the US soft drinks giant seems to have learnt its

lesson. "We were just not addressing the masses, that were the problem," says Mr. Sanjeev

Gupta, Coca-Cola's operations chief.

The company's new strategy of smaller bottles, price cuts and advertising that

straddles cities and villages pushed turnover last year up by a quarter to nearly Rs.5000

crore. And Thumbs Up, a local brand that Coca-Cola bought and then ran down, is also

recovering spectacularly. The success of Thumbs Up, whose market share is now roughly

equal to that of marker leader Pepsi at 23 percent, is an embarrassment for Coca-Cola,

which is in third place with 16.5 percent (from 12 percent three years ago) in India's

Rs.8000 crore soft drinks market. Coca-Cola returned to India after being kicked out by

the government in the mid-1970s. It paid a high price for the then market leader, Thumbs

Up, and tried to kill it off in the mistaken belief that this would pave the way for Coca-

Cola's rise. Extravagance, unoptimistic and naive reading of the market and

mismanagement of its new bottling assets led Coca-Cola to write down Rs.2000 crore of

its Indian assets in 2000. The greatest indignity is that India is one of the few markets

where Pepsi has outsmarted Coca-Cola.

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"Coca-Cola came in blazing but mishandled itself and Thumbs Up. That makes its

recovery all the more remarkable." says Mr. C Srinivasan, chairman of business

consultant AT Kearney India. Coca-Cola's Indian management, now stable after recent

flurry of departures, persuaded the US parent to persist with India, and won $100 m to fix

problems such as poor distribution. Its Atlanta headquarters was won over because of

India's potential. India's per capita consumption of carbonated drinks is less than hall the

level in Pakistan and about 8 percent of China's. Mr. Gupta argued that closing the gap

would only come by chasing the rural consumer.

"We had to address the 75 percent (that lives in rural areas) and not just the 25

percent (in cities) and that meant using small-pack innovations," says Mr. Gupta. "The

only consumer goods companies that make it in India are those that sell micro-sized

products at low prices."

Coca-Cola's 200 ml bottle (down from 300 ml) sells for Rs.7, half the price of a

conventional sized bottle. To achieve a return on this "low margin, high volume"

strategy. Coca-Cola had to shrink its ballooning costs, while raising output in a market

growing at just 8-9 percent per year. Coca-Cola added 30 assembly lines, including five

plants; cut costly staff; revamped transport; shrunk

bottles and made them lighter and packed in smaller crates to increase a truck's

carrying capacity; added distributors and expanded the number of outlets in towns and

villages by a fifth to about 1 m. Coca-Cola's aim was to "lock in" retailers in villages of at

least 1,000 people connected to usable roads. One method was to help those with no

savings or access to formal credit to buy their costliest asset: a fridge. The company

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negotiated big discounts from fridge producers, placing an order equivalent to two

months' output of the domestic fridge industry. Discounts were passed on to the retailers,

cutting the average purchase price by Rs.3,000 more than three months' wages in a

village.

Finally, Coca-Cola dumped a global advertising campaign that was irrelevant to

the Indian market and adopted one featuring Bollywood stars. "The campaign is finally

speaking to the right market." says marketing consultant Mr. Jagdeep Kapoor. The

adverts also loudly proclaimed the Rs.5 price benchmark, meaning retailers could not

overcharge.

Marketing Mix and Strategy:

Marketing mix of any organization consists of 4 P's i.e. product, price, place and

promotion having its own significance, which varies from one organization to the other.

In Coca-Cola the information about all the 4 P's that can be available to me is given here:

PRODUCT:-

Product mix of Coca-Cola consists of the various brand packs and flavors given in

the table. Product strategy of the Coca-Cola is to promote all the brands available in all

the brands packs and to introduce the product in new flavors and. even new product.

Regarding this Kinley soda is introduced. Fanta in green apple flavor is also introduced.

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PRICE:

Regarding the pricing policy or the price to the distributor is not disclosed to me,

but as done for the different product of the company, company has priced the product

same as that of its major competitor or the market leader.

PLACE:

The Coca-Cola Company in India is governed from its corporate office located at

Gurgaon in Haryana. It governs the working of five zones covering whole India these

zones are: - Northern zone, Eastern zone, Western zone, Southern zone and Andhra

Pradesh zone. These zones are divided in to various, plants, which govern the area

assigned to them. The areas are the various distribution centers called distributors and

C&F agents. Then comes the retailers/customer for the company's product, they receive

goods from distributors and C&F agents. Finally consumer is there, having the product

from the customer's shops or delivered to their home, it is more clearly visible through

this chart. The Coca-Cola Company, which gave its reach to the mouth of billions of

people all around the world having a wide distribution, network. In India, the pace and

speed at which Coca-Cola has widened its business is really amazing. Distribution

network is the biggest strength of the company.

PROMOTION:

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This part of the marketing is playing a very vital and important role in the current

situation in India. Looking at the competition and promotion and advertising budget of

both the companies coca cola and Pepsi, one can easily estimate the importance of this.

The promotion mix of Coca-Cola is divided in to

COMPETITORS:

Since there is only one major competitor of the Coca – Cola i.e. Pepsi. There is

some information about the Pepsi Company.

Pepsi Cola, Headquartered N.Y., is the refreshment beverage unit of Pepsi Co.

Beverages and Foods, a division of Pepsi Co. Inc. Pepsi Co. Beverages and Foods at

North America also comprise Pepsi Co`s Tropicana, Gatorade and Quaker Foods

businesses in the United States of America and Canada also

Pepsi-Cola non-carbonated beverage portfolio includes Aquafina, Which is the

number one brand of bottled water in the United States, Dole single serve juices and

some, which offers a wide range of drinks with herbal ingredients. The company also

makes and markets North America’s best-selling, ready to drink iced teas and coffees via

joint venture with Lipton and Starbucks, respectively.

Pepsi Co, Inc. is one of the world’s largest food and beverage companies.

The company’s principle business includes:

Frito-Lay snacks

Pepsi-Cola beverages

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Gatorade sports drinks

Tropicana juices

Quaker Foods

Pepsi Co Inc. was founded in 1965 through the merger of Pepsi-Cola and Frito-Lay.

Tropicana was acquired in 1998. In 21001 Pepsi Co merged with the QUAKER Oats

Company, creating the world’s fifth largest food and Beverage Company, with 15 brands-

each generating more than $1million in annual retail sales. Pepsi Co's success is the result

of superior products, high standards of performance, distinctive competitive strategies

and the high level of integrity of their people.

Soft drink business is built on two pillars - Brands and Distribution. We present

below comprehensive conceptual coverage of these and other key marketing concepts

1. Branding

2. Valuation of brands

3. Distribution

4. Marketing

5. Market Research

6. Market segmentation and positioning

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7. Advertising and promotions

1. BRANDING :

What is a brand ?

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

intended to identify the goods or services of one seller or group of sellers and to

differentiate them from those of competitors'

A Trade mark is "a brand or a part of brand that is given legal protection because

it is capable of exclusive appropriation."

Manufacturers can use their own brands (known as Manufacturers' brands) or

brands of their distributors (Distributors' brands).

Why branding?

Manufacturers/ distributors use brand names for a variety of reasons from simple

identification purposes to having legal protection for unique features of the products from

imitations and help consumers recognize certain quality parameters. In some cases,

brands are just used to endow the product with unique story and character which itself

can be a basis for product differentiation.

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Special importance of brands for soft drink products

While brands can represent all types of goods or entities, they have special

importance for products. Brand equities are stronger in soft drink products as the

consumer is reluctant to try unknown brands/ unbranded products for the following

reasons

These products individually account for a small part of household spending.

Most of these products are for personal use.

In many cases, it is difficult to differentiate a product on technical or functional

grounds and therefore the consumer is reluctant to switch to an unknown brand.

Successful brands generate strong cash flows, which enable the owner of the

brand to reinvest a part of it in the form of aggressive advertisements/ promotions.

This reinforces the perceived superiority of a brand

How a brand is created?

Soft drink companies spends enormous sums on building a brand equity by way

of

- advertisements/publicity

- free samples -low entry price

- promotions (schemes for dealers, consumers etc)

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Advertisement and promotion can induce trials but for sustained loyalty, the

manufacturer has to offer superior quality and value for money. Most successful brands

are founded on a chance discovery of a new product/ process or assiduous research and

development work. Major players invest in R&D on their existing brands and improve

the product quality continuously to maintain their edge over competitors.

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2. VALUATION OF BRANDS :

Value of a brand is represented by the incremental cash flow resulting from a

product with a brand versus a product without a brand name or with weaker brand name.

Brand valuation is a complex process and involves a lot of subjectivity. There are

no widely accepted techniques of brand valuation. There are several considerations which

cannot be standardized or quantified such as

To pre-empt competition from taking over a brand

• Synergy with the company acquiring existing brands/ businesses

• Strategic entry into a new product category

Prevent damage to existing brands. Many a times stiff competition results in price

cutting, aggressive promotions, lower margins for all the competing brands.

Confidence in the acquirer of the brand to rejuvenate a languishing brand.

Value of an acquired brand :

In case of an acquired brand, price paid for the brand over and above the value of

tangible assets, represents value of the brand. For accounting purposes consideration paid

for the brand is typically broken up as follows:

Goodwill

Trademark and patents

Technology and know-how

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Non compete agreement

Some of the popular methods for valuation of brands are discussed below

Bert technique (Intra-brand Pic) values brands based on following factors. It

gives scores on each factor and values the brand as multiple of sales/ earnings based on

the aggregate score.

- USP's of the brand

- Stability of the brand

- Markets namely the industry in which the brand is in use.

- International of the brand commanding a higher weightage than a local brand.

- The long term trends of the brands

- Brands receiving consistent investment are more valuable.

- Legal protection commanded by brands through registration and trade mark laws.

- Quality of support received by the brands.

Cost basis - The valuation is done by aggregating all costs incurred on a brand

from the conception stage. These costs include market survey, research & development,

launch and subsequent advertising expenditures. These costs are adjusted for inflation

and present values are calculated. Then adjustments are made to provide for discount in

case of a declining trend in the product life cycle or premium in case of ascending trend

in market share and product life cycle.

Market value - Valuation at market price (the best bidder quote) can be at

divergence from the fundamental value of the brand. For instance, a large company may

36

pay an abnormally high price to protect its major brand or remove a nuisance from the

market or derive synergies in its existing business. Such valuations are subjective.

Earnings model - In this method, valuation is done by identifying, separating and

quantifying earnings that can be attributed to the brand and capitalizing these earnings at

a suitable discounting rate. The multiple would depend on several factors such as

category growth prospect, emerging competition and brand's relative position, edge in

terms of technology, strength of loyalty to the brand etc.

3. DISTRIBUTION :

Marketing or Distribution channel refers to the set of marketing intermediaries

which manufacturer's link together to reach their products to the ultimate consumers.

Depending on the product, nature of market and manufacturers' resources/strategy, there

can be one or more links between the manufacturer and consumer.

Manufacturer – Retailers

Manufacturer - Wholesalers – Retailers

Manufacturer - Stockists - Wholesalers – Retailers

37

Why use distribution channels-

There are several benefits for a manufacturer particularly in case of consumer

goods to rely on these marketing intermediaries rather than develop one's own

distribution network.

Efficiency in performing the basic marketing task by these intermediaries who

through their experience, specialization, knowledge of local conditions, contacts

and scale, offer services.

Which manufacturers can scarcely do on their own.

Cost advantage most of these intermediaries in India are family owned outfits.

Their cost of operations and overheads are substantially lower.

Focus: Manufacturers can concentrate on their core activity and optimize return

on assets.

RETAILING :

In India, there are over 5 million retail outlets dispersed all over the country. The

retailing industry provides employment to over 18mn people. 1 out of every 25 families

in India is engaged in the business of retailing. Ownership and management are

predominantly family controlled. However in sharp contrast to developed countries, unit

average size of a retail outlet in India is very small.

Organized retailing, however, has been a recent phenomenon and is relatively

undeveloped. There are no large super market chains/ shopping malls. Consumers are

unwilling to pay a premium for convenience shopping as their counterparts in the western

38

countries do. While small chain stores called Apna Bazaars and Sahakan Bhandaars,

which offer products at reasonable prices, have been fairly popular, Department Stores

and Food Stores are slowly gaining popularity. A large number of corporates have

recently ventured into retailing.

The retail outlet in India can be broadly categorized as follows:

- Grocery stores

- General purpose stores

- Food stores

- Pan bidi shops

- Chemist/ drug stores

- Cold chains

The relative share of grocers dropped from over 50% in the early 90's to 35% in

the late 90's. Chemist outlets on the other hand, have been expanding their product range

to include high margin FMCG products from shampoos to ketchup. Pan-wallas are also

emerging as full fledged consumer product outlets

4. MARKETING :

Direct marketing :

In direct marketing manufacturers reach the consumers directly. Direct marketing

can be undertaken in several ways such as mail order, own retail outlets, mobile vans etc.

A new innovative approach to direct marketing viz multilevel marketing is becoming

39

increasingly popular. Also gaining ground slowly is E-tailing i.e. selling products through

the internet.

Multilevel marketing model :

Multi level marketing refers to direct marketing through an ever-increasing

number of direct distributors. Independent distributors sell products directly to the

consumers and appoint new distributors and train them. The distributor earns commission

at two levels; one is his/ her own commission and two a proportion of commission earned

by other distributors appointed by him/ her. None of these distributors are employees of

the company.

Distributors are not allowed to sell these products to retailers. The company saves

about 25% of realizations by eliminating retail channel, which is shared with distributors.

The company insists that the distributors should take prior appointment with the

consumer. Personal interaction is not only convenient but adds value as customer get

valuable advice on the product and how to use it.

This helps in creating awareness and removing misconceptions like cosmetics are

harmful for the skin.

Direct marketing (multi level approach) in persona care products is extremely

popular abroad. In Brazil, about 60% of personal care products are sold through direct

marketing. In India, direct marketing has been slowly growing. Word of mouth has a

strong impact on purchase decision of a consumer, specially in personal care and

40

cosmetic products. Direct marketing has mainly been undertaken by the new MNC

entrants (notably Oriflame, Avon). Hindustan Lever has also recently launched a new

personal product brand Aviance which is sold directly to consumers exclusively by

trained beauty specialists. Direct marketing has also been extensively used in marketing

of household appliances like Vacuum cleaners. However given the widely spread

geographical area in India, direct marketing cannot be easily used to build an extensive

national reach and is more likely to be used as a supplementary channel.

5. Market Research :

Market research activities encompass studies on

- market characteristics

- measurement of market potential and size,

- market share analysis,

- competitive products,

- new products acceptance/ product preference,

- sales (region wise, consumer wise etc) analysis,

- short/ long term sales forecasting,

- advertisement effectiveness

- post-shipment data (actual shipment by manufacturers),

- retail stores audit (actual sales at sample outlets)

- trade feedback and distribution,

- brand recall, point of sale material etc.

41

It requires skilled people for data collection as well as analysis. Several large

consumer companies have in-house MR department. Most others retain specialized and

professional MR agencies.

The significance of market research has increased considerably in the recent times

as

- Size of operations of major players has increased to national and international

markets.

- Marketing executives are physically away from the market and hence the need for

flow of information.

- In the environment of increasing competition and multiple products competing for

consumers' preference information about the market has tremendous utility.

- Information is required for segmenting the market and appropriate pricing and

positioning of the products.

Market research approach :

Typically, a market research activity involves the following 5 steps,

Problems definition This forms the basis of research and failure to identify the

problem precisely will result in finding a correct solution for a wrong problem.

Research design: The next step is to set out objectives of research clearly,

determined data collection methods to finalize research instruments and sampling plan.

42

Field work: After finalization of research design, the actual data collection

begins. It can be done by the agency on its own or through subcontracting to third parties.

Data is collected by questionnaires/ direct interviews, telephonic interviews, simple

observation etc.

Data analysis: The next step forms the heart of research activity. It involves

extracting meaningful information from the data collected and analyzing the information

statistically and also from business perspective. Statistical techniques include simple/

multiple linear programming models, time series, exponential series, regression analysis,

simulation, Marko chain process etc.

Report preparation: The final step is to prepare a report, present major findings in

a manner amenable to managerial decision taking. There may be some follow up and

revalidation required.

TEST MARKETING :

Test marketing refers to testing out product and marketing mix with a small

number of well chosen consumers which are representative of the target segment. Test

marketing is frequently used by consumer companies, in contrast to industrial companies

which prefer feedback through informal channels. Test marketing improves knowledge of

target consumers, potential sales and is an effective tool to pre-test alternative marketing

plan. In most products, it is important to check trial rates as well as re-purchase rates.

CONSUMER'S PANELS :

43

Consumer panels refer to a set of consumers with different demographic

characteristics (so as to be representative of target population) who agree to co-operate in

market research, typically for a consideration. Market research agencies and companies

try to collect information on buyer's characteristics by introducing a new product to the

consumer panels. The firm estimates trials as well as the repeat purchasing by this

method. There are statistical models to forecast market shares, demand, brand switching

etc.

7. ADVERTISING AND PROMOTION :

Advertising consists of non-personal form of communications. The

communication is conducted through trade media under player sponsorships. Advertising

aims at providing information about the product arouse demand for the product and

emphasize on superior features of the advertised product over others. Players have to

decide on overall advertisement budget, message and mode of presentation, type of

media, timing etc. They invariably do post audit of advertising efficacy.

Promotions are of two types viz. pull promotions where consumers are

incentivized and push promotion where dealers/ retailers are incentivized. There are

several forms of promotion such as distributing free samples, discount coupons, gift

offers for consumers and target based incentives and display schemes etc for retailers.

Marketers also sponsor charity programmes, sports etc to promote corporate/ brand

image.

44

A definition of dynamic control is also required before we go further. Dynamic

control is the distribution manager's ability to rapidly set and change priorities and modes

of transportation in response to the war fighter's requirements. If Quartermasters cannot

dynamically control the delivery of supplies and materiel, we remain at the mercy of the

transportation system and will be forced into the comfort and expense of a stockage-

based supply system.

INDIA DIVISION

The Head quarter of India is at Enkay Towers, Udyog Vihar,Gurgaon.Coca Cola became

3rd largest FMCG from zero in India in just 8 years. There are 40 producing units across

the country.

There are 5 regions in India viz., North, South, West, East & Andhra Pradesh.

The company operates in two types of Bottling operations viz.,

1. COBO (Company Owned Bottling Operations) - In COBO, the Company owns

the unit and is a property of India.

2. FOBO (Franchisee owned Bottling Operations) - FOBO is operated by Bottlers,

who are given license by the Company to bottle its products on their behalf.

THE NORTH REGION :

The headquarter of Northern Region is at JMD Towers, Regent Square, Gurgaon.

It comprises of Delhi, Western UP, Eastern UP, Jammu & Jaipur units. It has 9

production units viz, Delhi, Jaipur, Kanpur, Varanasi, Dasna, Mundka Depo, Jammu,

45

Delhi FOBOs & East-West UP FOBO. It is the largest region in India with 1313

employees

PRODUCTS OF COMPANY

It has brown colour with high content of C02 (Carbon di-oxide) which makes its

COLA flavour heavy. It is available in different volumes in market like :

1. 200 ml glass bottle


3. 600ml pet bottle

4. 2.Litre pet bottle.

It has dark brown color with very high content of CO2 which makes the Cola

flavor is very strong. It is available in different volumes in market like:



3. 600ml pet bottle

4. 2.Litre pet bottle

It comes in many flavours like orange, with light content of CO2 that makes its

make its flavour delicious. It is available in different volumes in market.



3. 600 ml pet bottle

46

4. 2.Litre pet bottle

Limca has light grey colour with light content of CO2 that makes its flavour tasty.

It is available in market in following packs of quantities:




4. 2 Litre pet bottle

It is colourless with packing in green coloured bottle. It has normal content of

CO2. It has a nice flavour available in market in following packing:




4. 2 Litre pet bottle

It is of yellow colour with decent taste of mango. It doesn't contain CO2. Its

available packing in market are:

1. 250 glass Bottle

Soda- It is colourless & available in market in 300 ml glass bottle in the market.K

-Water it is a mineral water available in following volumes in the market:

1. 1 liter, pet little

47

2. 2 liter, pet little

P RODUCT RANGE

Flavour Ingredients Pack Product Company

Cola Cola Flavour

carbonated water

sugar

200Ml.

300Ml.

500Ml.

1.5 Litre

2 Litre

Coke,

Thumsup

Pepsi

Coca-Coal

Pepsi

Orange Orange Flavour +

Carbonated Water+

Sugar

200Ml.

300Ml.

500Ml.

1.5 Litre

2 Litre

Fanta

Mirinda

Coca-Cola

Pepsi

Fruit Juice Mango Pulp+ Treated

water+ sugar

250 ML Maaza

Slice

Coca-Cola

Pepsi

Cloudy Lemon Flavor +

Carbonated Water+

200Ml. Limca Coca-Cola

48

Lemon Sugar 300Ml.

500Ml.

1.5 Litre

2 Litre Mirinda Lemon Pepsi

Clear Lemon Lemon Flavour+

Carbonated Water +

Sugar

200Ml.

300Ml.

500Ml.

1.5 Litre

2 Litre

Sprite

7’Up

Dew

Coca-Cola

Pepsi

49

DATA ANALYSIS AND INTERPRETATIONS

Table- I

Prefer to have cold drinks

50

Response No of Respondent Percentage ( %)

Yes 100 100%

No 00 00%

Total 100 100%

Analytical Interpretation:

The given Chart & Table show that the most no. of respondent like to take cold

drink because it gives the full satisfaction in the hot and humid day. It was found that

100% of respondent likes to take the soft drinks and 00% respondent don’t want to take

cold drinks. The people who don’ts prefer are because of their taste and preference. They

are of the perception that Lassie and Nimbu pani are beneficial than the carbonated soft

drinks.

51

0%100% Yes

No

GRAPH-1

Prefer to have cold drinks

52

Table- II

Consumption of cold drinks in a day

Response

(Time a day)No of Respondent Percentage (%)

Less than 2 54 54%

2 – 4 35 35%

More than 4 + 11 11%

Total 100 100%


The given diagram & table show the frequency of taking cold drinks in a

day. It was found that 54% of respondent takes the less than 2 cold drink a day, 35% of

respondent takes 2 – 4 cold drinks a day. And 11% of the respondent likes to takes more

than 4 cold drinks in a day. The people who consume more than two cold drinks have a

habit of a high consumption. For them a change in price doesn’t changes their demand to

a great extent. They also maintain a brand loyalty in the brand they are regularly

consuming.

53

54

35

11

0

10

20

30

40

50

60

Less than 2 2 – 4 More than 4 +

Graph II

Consumption of cold drinks in a day

54

Table- III

Preference of flavours

Flavour No of Respondent Percentage

Cola 41 41%

Citric 26 26%

Lemon 21 21%

Orange 10 10%

Others 02 02%

Total 100 100%


The given graph & table show the most popular flavour in cold drinks is Cola. It

was found that the 41% respondent likes the Cola Flavoured, 21% of respondent likes the

Lamon flavoured, 26% of respondent likes the citric flavour, 10% likes the Orange

flavour and only 2% likes the other flavoured.

55

41%

26%

21%

10%

2%

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

Cola Citric Orange Lemon Others

GRAPH-III

Preference of flavours

56

Table- IV

Preference of B rand name

Response No of Respondent Percentage (%)

Yes 56 56%

No 39 39%

Can’t Say 05 05%

Total 100 100%


The graph & table clear view regarding the importance given to a brand name

while choosing the cold drinks. It was found that the 56% of Respondent says Yes and

39% of respondent say No and the only 5% of respondent not in a position to say

anything.

57

56%

39%

5%

Yes

No

Can’t Say

Graph IV

Preference of Brand name

58

Table- V

Factors Influences choosing particular Brand


Brand 28 28%

Flavour 48 48%

Advertisement 06 06%

Chilled 18 18%

Total 100 100%


The chart and diagram shows that the way respondent likes the particular brand of

cold drinks. It was found that 48% of respondent likes the because of flavour, 28%

respondent likes the cold drinks because of brand, 18% of respondent likes because of

chilled and only 6% of respondent likes because of advertisement.

59

GRAPH-V

Factors Influences choosing particular Brand

60

Table- VI

Opinion towards Popular Brand

Brands No of Respondent Percentage (%)

Coke 58 58%

Pepsi 21 21%

Others 21 21%

Total 100 100%


The given diagram gives the view regarding the most popular and demanded

brand. It was found that the 58% of respondent preferred the Coke as most popular brand,

21% of respondent say Pepsi as most popular brand, 16% of respondent referred the coke

as the popular brand and the only 21% of respondent say others was a the most popular

brand.

61

Graph VI

Opinion towards Popular Brand

0%

10%

20%

30%

40%

50%

60%

Coke Pepsi Others

Series1

62

Table- VII

Availability in retailer’s shop


Cola 61 61%

Citric 30 30%

Fruit flavoured 9 9%

Total 100 100%


The given chart table shows that the most available flavour on the respondent

retailer’s shops. It was found that the 61% of respondent (Consumers) say that they find

Cola flavour on their retailer’s shop.30% of respondent found the citric flavor on their

retailer’s shop. Science cola flavour is a Universal flavour in India, with consumers of

all age, sex and preference accepting it whole heartedly.

63

61%

30%

9%

0%

10%

20%

30%

40%

50%

60%

70%

Cola Citric Fruit flavoured

Graph VII

Availability in retailer’s shop

64

Table- VIII

Availability in C ollege C anteen/ L ocality/ C olony

Brand No of Respondent Percentage (%)

Coke 51 51%

Pepsi 47 47%

Others 02 02%

Total 100 100%

Analytical Interpretation:-

The graph & table gives the information regarding the available the available

brand on their college canteen or a colony or a locality. It was found that 51% of

respondent found the Coke brands of cold drink highly available while 47% of

respondent said that they found Pepsi brand as highly available and only 02% of

respondent said that they found other brand like Frooti or others brands highly available.

This difference in the response is because of the consumption of different brands in

different segments.

65

51%47%

2%

Coke

Pepsi

Others

Graph VIII

Availability in College Canteen/Locality/Colony

66

Table-IX

Opinion towards T aste

(i) In a cola flavor.


Coke 75 75%

Pepsi 25 25%

Total 100 100%


The given table and diagram gives the idea of the respondent opinion regarding

the Cola flavour drink. It was found that the 75% of respondent likes the Coke and the

only 25% respondent likes the Pepsi flavour.

67

(ii) In Citric flavoured?


Mountain Dew 41 41%

7`Up 30 30%

Sprit 29 29%

Total 100 100%


The given table and Diagram gives the idea of the respondent opinion regarding

the citric flavour drink. It was found that the 41% of respondent likes the Mountain Dew,

30% of respondent likes the 7 UP and the only 29% of respondent likes the Sprit in Citric

flavoured. The consumers of Mountain Dew say that it has a better and genuine taste than

the Sprit flavoured of Coke.

68

(iii) In orange flavoured?


Miranda Orange 64 64%

Fanta 28 28%

Others 08 08%

Total 100 100%

Analytical Interpretations:

The above given table and chart show the opinion of the respondent regarding

Orange flavour. It was found that the 28% of respondent likes fanta of COKE brand, 64%

of respondent likes the miranda of the PEPSI brand and 8% of respondent likes the other

soft drinks of orange flavour.

69

(iv) In Mango flavour?


Mazza 37 37%

Slice 22 22%

Others 41 41%

Total 100 100%


The above shown table and chart gives the view regarding the opinion of respondent

about the Mango flavour. It was found that the 41% of respondent likes Frooti, 37% of

respondent like Mazza of Coke and only 22% of respondent likes the Slice of Pepsi

brand. One of the greatest advantages with Frooti is that it comes in tetra pack which is a

one way pack. People find it convenient to take it home for consumption. Even coke and

Pepsi have introduced tetra pack in the Mango drink recently but it will definitely take

some time take away market from the market leader. Also Frooti is a well established

brand has available in tetra pack for a long time.

70

46%

29%

25%

Thumps up

Coke

Pepsi

Graph IX

Opinion towards Taste

( I ) IN A COLA FLAVOR

71

41%

30%

29%

Sprite

Mountain Dew

7`Up

Graph IX


(II) IN CITRIC FLAVOURED?

72

Mountain Dew

Sprit

64%

28%

8%

Fanta

Miranda Orange

Others

Graph IX


(III) IN ORANGE FLAVOURED

73

Fanta

Miranda Orange

37%

22%

41%

Mazza

Slice

Others

Graph IX


IN MANGO FLAVOUR?

74

Table-X

Cause of Choosing Brand

Subject No of Respondent Percentage (%)

Blend 20 20%

Brand Image 38 38%

Availability 26 26%

Advertisement 16 16%

Total 100 100%


The graph & table above say that why the respondent like their favoured brand. It

was found that 38% of respondent likes his brand because of brand Image, 26% of

respondent likes because of availability, 20% of because of Blend and only 16% of

advertisement. Brand image refer to the perception of the customers regarding the choice

of a particular brand. It comes with the kind of advertisement brought by the company.

Blend over here refers to the taste of the flavour demanded.

(IV) Graph X

75

20%

38%

26%

16%

0%

5%

10%

15%

20%

25%

30%

35%

40%

Blend Brand Image Availability Advertisement

Cause of Choosing Brand

76

Table-XI

Most appealing Brand advertisement


Coke 52 52%

Pepsi 48 48%

Total 100 100%


The given chart shows that the respondent about the most appealing brand

advertisement. It was found that the 52% of respondent says that Coke advertisement is

most appealing, 48% of respondent says Pepsi advertisement is most appealing one. The

advertisement of Coke features Bollywood star like Aishyarwa Rai, Hritik Roshan,

Karishma Kapoor and Amir Khan who are highly acceptable by the public. The

advertisement of Coke featuring Amir Khan with a punch line

“Thanda Matlab…………….Coca-Cola”

It was a super hit which took Coke not only to the rural markets but also

overturned the market of Pepsi.

77

38%

32%30%

0%

5%

10%

15%

20%

25%

30%

35%

40%

Coke Pepsi Thumps up

Table XII

Most appealing Brand Punch Line

78

52%

48%

Coke

Pepsi

Graph XI

Most appealing Brand advertisement

80

Table-XII

Most appealing Brand P unch L ine


Coke 68 68%

Pepsi 32 32%

Total 100 100%


The chart shows the opinion regarding the most effective punch line in respondent

view. It was found that 68% of respondent feel that Coke punch line is most effective,

32% of respondent feels Pepsi ‘Punch line is most effective, Major no. of people thinks

that the most effective punch line is ‘Thanda Matalab……….Coca-Cola” and Punch

“Matlab ……Chota Coke”, Then “Ye pyass hai Badi” and “yeh dil mange more”

81

40%

32%

28%

Yes

No

Can’t say

Graph XIII

Opinion towards product, which is promoted by celebrity

82

Table XIV

Opinion towards Pricing Strategy


Yes 64 64%

No 22 22%

Can`t Say 14 14%

Total 100 100%


The given table & diagram shows that how effective the companies facility the

consumer. It was found 64% of respondent says yes. 22% of respondent says No and

14% respondent can’t say anything. India is a mass market for the consumer product but

at the same time it is also a very “Price Sensitive” Market. So with a small decrease in

price results in a drastic increase in the demand. Since soft drink is a consumer product,

the price has a great influence on the demand of the product.

83

64%

22%

14%

Yes

No

Can`t Say

Table XIV

Opinion towards Pricing Strategy

84

FINDINGS AND ANALYSIS

SWOT ANALYSIS

STRENGTH:

Coca-cola Potential brands position in the market.

Good quality and innovation of product for long term customer relationship.

Good advertising campaign, and brand ambassador.

Advertisement campaign more effective and change punch line make. Emotional

touch with customer and retail.

High investment in research and development.

Coca-cola has a good market share.

Segment of coke product to every age group.

To satisfy of retail or through schemes SGA, display.

WEAKNESS:

Lack of proper distribution in many areas.

Lack availability 1 it & 1.5 it product pack.

Lack supply of Kinley water in the market.

Rising No. of date dealers that will wrong effect in market condition.

Retailers are not getting schemes at the time.

No distribute enough signage to retailers.

85

OPPORTUNITY:

Coke is able to capture large mkt. Share.

More monopoly counters of coke brand.

To improve market mix (Product, price, promotion, place).

To increase the sale of Kinley water.

THREATS:

Pepsi is the major competitors, that means watch myopia in the market every

time.

Pepsi have captured major market of 500 ml, 1.5 & 2 lt.

Retailers divert to pepsi because they are getting good schemes and SGA

signage. Increase local brand in the market.

86

CONCLUSION, SUGGESTION,LIMITATION

87

SUGGESTIONS&RECOMMENDATIONS

Doing a survey on consumers market provided a lot of insight into the dynamics of the

market place and with it valuable insights were also gained into the psyche of consumer

and owners.

1. SUPPLY

The demand of Thums up & Maaza far exceed the supply especially in case of 200ml and

pet bottles. Few shop owners’ clamed that many a times no supply is made for 3 days and

some times even more.

Sometimes the delivery vans of Coca-Cola starts late from the distribution point and that

of rivals reach early .so eateries, which generally serve soft drinks in the glass, buy the

soft drinks from the delivery van which arrives first.

Salesman at the delivery van to be inconsistent on certain meters likes the concept of

broken bottles. When dealing with the shop and the eatery owners some salesman do

exchange bottles while some do not?

All flavors and all size of bottles are kindly available in the market.

2. COMPANY REPRESENTATION

Owners confirmed that Company representatives don’t come when called repeatedly.

The Company must ensure that the representatives do visit an outlet at least once in 3

days to listen and to attained to complaints, if any.

88

3. SALES PUSH BY EAT & DRINK OUTLET

The Company easily influenced many eatery owners, which provide them with better

facilities. There was a tendency to push the product of the Company which ever offered

them better scheme or benefits.

89

CONCLUSION

From this project titled "Merchandising and route productivity" in Coca-Cola, I

have learned a lot about real practical work being done in the market I have also watched

& learned the practical applicability of the various things that we have studied

theoretically.

I observed on the basis of survey in Dehradun city that Coca-Cola lay emphasis on

merchandising in order to become the No.1 brand in soft drink industry the report was

finds out the availability of different flavor and packs.

Cola-Cola adopt a good customer relationship management, it is focus on the,

segment of the product because each segment is affected by different sets of factor which

hamper or enhance sales. Each segment had its own Pros & Cons. So we have to

understand the various segment of soft drink industry that which flavor is existing more

in the market, Such as Thums-up strong brand of coke which is more popular in young

generation. I also observe about fate dealer, sub dealer, monopoly counter & its

marketing strategy. Such as fate dealer is influence wrong direction to the market. They

are supply product at high margin with low scheme.

As we know till now since ill soft drink industry the concept of brand loyalty is not in

that shape in which it is in countries. So company could take some steps to be to have a

good report with the retailers why supply them regularly and provide them with other

monetary benefit.

90

LIMITATION OF RESEARCH

1.The area of study is limited to the merchandising and route productivity aspects of the

system, while the marketing has other crucial areas too which were left uncharted

2. The study is limited to eastern region of coca cola which is a multinational company,

so the area plays as a constraint in the study.

3. The time period allotted for the study was only of two months, which may provide a

deceptive picture in comparison of the study based on long run.

4. The study was based on both primary and secondary data but the relevance of the

secondary data may not be justified.

5. The success of any survey depends upon the quality and integrity of the surveyor who

collect the basic data by expressing the subject under the study and on the respondents

who provides the data required by filling up the questionnaire .The accuracy of the data

collected solely depends upon the cooperation and truthfulness of the person who is being

interviewed.

6. Interaction skills as well as the behaviour of the respondents also played as a

constraints during the research.

91

QUESTIONNAIRE

1. Name of the Respondent:- …………………………

2. Address: - …………………………

3. Age group: -

(a) Below 15 (b) 15 – 20 (c) 20 – 25

(d) 25 – 35 (e) 35 – 45 (f) Above 45

1. Educational Background

(a) Matric & Below

(b) Intermediate

(c) Graduation

(d) Post Graduation

2. Do you take cold drink?

(a) Yes (b) No

7. If yes how frequently? (Daily)

(a) Less than 2 (b) 2 – 4 (c) More than 4

8. Which flavour do you like most?

(a) Cola (b) Citric (c) Orange

(d) Lemon (e) Others.

9. Do you give importance to brand name while choosing your cold drink?

(a) Yes (b) No (c) Can’t Say

10. Which brand you prefer most?

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(a) Coke (b) Pepsi (c) Both (d)

Others

11. You like the particular brand of cold drink because of?

(a) Brand (b) Flavor (c) Advertisement

(d) Chilled

12 In your opinion which brand of cold drink is most demanded or popular?

(a) Coke (c) Pepsi (d) Others.

13. Which brand is more available in your retailer’s shops?

(a) Cola (b) Citric (c) Fruit Flavored.

14 Which brand of cold drink do you find most in your college

canteen/colony/locality?

(a) Coke Brand (b) Pepsi Brand (c) Others.

15. In your opinion which soft drink is better taste?

(i) In Cola Flavor

(a) Coke (c) Pepsi

(ii) In Citric Flavoured.

(a)Sprite (b) Mountain Dew (c) 7`Up

(iii) In Orange flavoured.

(a) Fanta (b) Miranda Orange

(c) Others.

(iv) In mango Flavoured.

(a) Mazza (b) Slice (c) Others.

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16. Why do you like your brand?

(a) Blend (b) Brand Image (c) Availability

(d) Advertisement

17. Which brand advertisement appeals you most?

(a) Coke (b) Pepsi (c) Others.

18. Most effective punch line in your opinion of?

(a) Coke (b) Thumps up

(c) Pepsi (d) Others.

19. You like the product which is promoted by the celebrity?


20. Do you think that the pricing strategy adopted by the cola companies fascinate the

consumer?


21. Any Suggestion:-

………………………………………………………………………………………………

………………………………………………………...

……………………………………………………………………………….......

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Thank You,

Signature

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BIBLIOGRAPHY

1. Research Methodology, Kothari. C.R., Research Methodology Methods

& Techniques, New-Delhi, Wishwa Prakashan, edition 2003.

1. Multi Level & Direct Marketing, Branding, Kotler, Philip., Marketing

Management, Delhi, Pearson Education (Singapore) Pte. Ltd, 11th edition.

2. Marketing Strategy, Varshney, R.L. & Bhattacharya, B., International

Marketing Management, New-Delhi, Sultan Chand & Sons edition 2003.

3. Company Profile, Web-Site:- www.coca-cola.com <http://www.coca-

cola.com>

4. Merchandising & Route Productivity, www.ask-jeeves.com,

www.distributing-company.com.

5. Retailing, Company Souvenirs.

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Brand Equity

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