Market Analysis of Coca Cola New Product
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Transcript of Market Analysis of Coca Cola New Product
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STUDENT DECLARATION
I Mohd. Aafaq Saifi student BBA here by declared that the research
report entitledMarket Analysis & Sales Analysis Of New Product Of
Coca Cola With Their Competitive Brand is completed and
submitted is my original work. The imperial finding in this report is
based on the data collected by me.
DATE: Mohd. Aafaq Saifi
PLACE: BBA VI SEM
ROLL NO. 8654590
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ACKNOWLEDGEMENT
Interdependence is a higher value than independence
The making of any report calls for contribution and co-operation from
many others besides the individual alone. It is the result of meticulous
effort put in by many minds that contribute to the final report formation
and this report is no exception. Several eminent people have valuable
contribution to this report through their inputs.
I am thankful to Dr. Mayank Jain (HOD, BBA Department ) who
helped me to materialize this report.
I am also thankful to all those people who directly or indirectly help me
during my project.
Mohd. Aafaq Saifi
BBA VI Sem.
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PREFACE
Project studies constitute the backbone of my management educationprogramme and help a lot to my studies market if a proper attempt is
made on the part of the students of BBA who required undergo practical
exposure in an industry.
For the same I got opportunity to do the project on "MARKET ANALYSIS
& SALES ANALYSIS OF NEW PRODUCT OF COCA COLA WITH THEIR
COMPETITIVE BRAND"
This project is mainly based on in - depth study on bank's prospects and
present relationship with prospective customers.
I have placed in my best efforts in making this report a satisfaction but
still I'll welcome any suggestion for improving the same.
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CONTENTS
Company Profile
Genesis - History
Organisation Structure
Product of Company
Competitor
Marketing Mix
Objective of the Project
Brand Image - An Introduction
Research Methodology
Data Analysis and Interpretation
SWOT Analysis Limitation of the Project
Conclusion
Suggestions & Recommendation
Limitations
Appendix
Questionnaire
Bibliography
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COMPANY PROFILE
If we Indians recall our memory there was a time when one was
asked for a soft drink, the brand that comes and gave a knock on our
mind was Coca-Cola. Coca-Cola, the word most admired trademark
has maintained its special a sense of belongingness to India, which had
resulted some sort of its monopoly throughout the Indian soft drink
market. It has been said that the internal environment of the industry
has been greatly effected from its internal environment. The same thing
was also happen with this famous company. When the Government
policy were in introduce and forced this MNC's to go outside from the
India market. Hence, it was thrown out of India in the year 1977. A
lacuna was created at that time in the country's soft drinks market.
How ever after a gap of 17 years, the Coca-cola has reappeared in the
soft drinks market of India, by making itself more strong and confident
in this field.
In today's market, the cola's (Coke, Thumsup, Pepsi, etc.) had a
70% share, Lemon 10% and Orange 20%. There appears to be a
concentrated rush to bag a share in the soft drinks market. Due to a
manifold increase in the demand of soft drinks large number of
company has entered into this competitive market scenario.
In India two major companies engaged in soft drinks market are
Pepsi and Coca-Cola. While RC cola is still a novice in the Indian
Market, although it being the world oldest soft drinks manufacturer.
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Pepsi-Cola attacked Coca-cola before World War-II. Coca-Cola
dominated the Americans soft drinks industry. Pepsi-Cola was a drink
costing less to manufacturers and with a less satisfactory taste than
coke.
During the Second World War Pepsi and Coke, both of them
enjoyed a huge sale. After the war the Pepsi sales started to fall
relatively to Coke. The factors which were responsible for the decline
in Pepsi sales were poor image, poor task force, poor quality control
and dull packaging.
It was a momentous day when Coca-Cola staged its reliance in
India. Coca-Cola was relaunched again in India in Sep. 1993 at
Hathras near Ghaziabad, where the first bottling facility of Coca-Cola
in India was switched on. The Indian people welcomed the come back
of their most loved cola in the country with great enthusiasm and
vigor. Coca-Cola market its relaunching acquiring 5 Parle Exports
Ltd. Top Selling products Viz-Thums up, Sprite, Limca, Fanta, Mazza,
K. Soda,Kwater,Coke.
In 2000, the company opened a new bottling plant at Dasna in
Ghaziabad distt. For the supply of 300 ml Bottle and 1.5 liter Bottles.
This plant is more settled equipped than the plant at Najibabad.
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THE COCA-COLA COMPANY ANNOUNCES
FIRST QUARTER 2004 RESULTS
Chairman and CEO Doug Daft: "Throughout the quarter, we achievedshare gains as our system successfully responded to and managed
worldwide challenges and opportunities with flexibility, speed and
professionalism".
Worldwide unit case volume grew 4 percent in the first quarter.
Reported earnings per share were $ 0.34 for the quarter, whichincluded a net negative $ 0.03 per share impact from a charge related
to streamlining initiatives and a gain from a litigation settlement.
The Company expects strong cash flows to continue in the future.Cash from operations for he quarter was $ 599 million, including the
impact of a $ 145 million contribution to the Company's U.S. pension
plan.
The Company repurchased 8.3 million shares of its common stock for$ 319 million during the first quarter and intends to repurchase
approximately $ 1.5 billion of its stock in 2004. Dividend increased 10
percent in 2004, reflecting the 41st consecutive annual increase.
Atlanta, April 16, 2004 - The Coca-Cola Company reported first quarter
earnings per share of $ 0.34, compared to a net loss share of % 0.08 for
the year - ago quarter. First quarter reported results included a net
reduction of $ 0.03 per share related to the previously announced
streamlining initiatives and a gain related to a litigation settlement. The
prior year loss resulted from the adoption of SFAS No. 142 - "Goodwill
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and Other Intangible Assets, "and other charges/ gains. Worldwide unit
case volume increased 4 percent in the first quarter, reflecting 3 percent
volume growth in North America and 4 percent internationally.
The beverage industry has not been immune to the week global
macroeconomic environment that has impacted many business sectors.
In addition to these factors, the beverage industry, including the
Company, was adversely affected by short-term external factors,
including a slowdown in "away from home" consumption caused by the
war in Iraq, a lengthy national strike in Venezuela, a change in deposit
laws in Germany, and a shift in the timing of the Easter holiday.
Doug Daft, chairman and chief executive officer, said, "The results of the
Coca-Cola Company are always driven by the operational, financial and
brand strengths of our entire system in our markets. Given the current
volatile worldwide environment, our management team has continued to
carefully monitor worldwide events and respond rapidly and effectively.
We have enhanced productivity and cost efficiencies. We are also
targeting our resources to the markets of greatest opportunity and
stability, while taking all necessary steps to protect our business in more
challenging markets.
"Throughout the quarter, we achieved share gains as our system
successfully responded to and managed worldwide challenges and
opportunities with flexibility, speed and professionalism. Looking ahead,
we are confident our results will improve during the year as we move
beyond the short-term external factors that impacted this quarter".
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Financial Highlights
First quarter 2004 reported results were $ 0.34 per share, which
included a net reduction of $ 0.03 per share related to the previously
announced streamlining initiatives and a gain related to a litigation
settlement. Prior year first quarter results reflected a net loss of $ 0.08
per share, which included the net reduction of & 0.42 per share
reflecting the adoption of SFAS No. 142 - "Goodwill and other
Intangible assets, " and other charges/ gins. The individual impact of
these items on earnings per share is summarized as follows:
First
Quarter
2004
First
Quarter
2003
Income (Expense) Per Share
Items Impacting Results:
Streamlining Initiatives ($ 0.04)
Gain on Litigation Settlement $ 0.01
Cumulative Effect of Adopting
SFAS 142-- Goodwill and IntangibleAssets
$ 0.37)
Gain on Sale of Kaiser $0.01
Non -Cash Charge-- PrimarilyRelated to Investments in LatinAmerica
($ 0.06)
($ 0.03) ($0.42)
Cash from operations for the quarter was $ 599 million, including the
impact of a $ 145 million contribution to the Company's U.S. pensionplan. The Company expects strong cash flows to continue in thefuture.
The Company repurchased 8.3 million shares of its common stock for
$ 319 million during the first quarter and intends to repurchase
approximately $ 1.5 billion of its stock in 2004.
The company increased its dividend 10 percent in 2004, reflecting the
41st consecutive annual increase.
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OPERATIONAL HIGHLIGHS
North America
Unit case growth was 3 percent for the first quarter, driven by solid
performance in the Retail Division, offset by a decline in the
Foodservice and Hospitality Division.
The overall industry growth was negatively impacted by the timing of
the Easter holiday, poor weather conditions, and weaker traffic in
restaurants, hotels and leisure channels. Despite these factors, the
Coca-Cola system remained focused on local execution, resulting in
growth that outpaced the total nonalcoholic ready-to-drink industry,
including share position improvements in the major beverage
categories.
Results during the quarter were fueled by over 2 percent growth in
Trademark Coca-Cola in the Retail Division, driven by innovation and
strong performance from Vanilla Coke, diet Vanilla Coke, diet Cokeand the continued expansion of the Fridge Pack.
Noncarbonated beverages continued strong growth led by 22 percent
growth in Dasani, 16 percent growth in Powerade and continued
strong double-digit growth from Minute Maid Lemonades. Unit case
volume also benefited from last year's strategic transactions involving
Evain and the Danone water brands.
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ASIA Unit case volume increased 8 percent for the quarter, cycling 9 percent
growth in the prior year first quarter. Strong performance was driven by double-digit growth in China, the
Philippines, India and Thailand. Trademark Coca-Cola and Fanta
continued to drive the growth in many key markets, along with strong
performance of local brands such as Thums Up, Qoo an Kinley.
In China, 21 percent growth in unit case volume was led by double -
digit growth in Trademark Coca-Cola, Fanta and Sprite driven by
highly successful Chinese New Year activities and several packaging
initiatives. In addition, non-carbonated beverages to develop with the
introduction of Nestea and the continued expansion of Qoo.
In Japan, unit case volume declined 2 percent in the quarter, cycling 6
percent growth in the prior year first quarter. Solid growth in both
January and February was offset by a sharp decline in industry trends
during March. Despite the challenging economic environment, the
Company continued to increase share during the quarter in the highlyprofitable tea, coffee and carbonated soft drink categories.
Further, in Japan, the Company continues to drive industry leading
performance through initiatives surrounding its core brands and
margin enhancement opportunities through package innovation and a
strong focus on accelerating growth in the profitable conveniencestore and vending channels. In addition, during March, the Company
and several of its bottling partners announced plans to create a
national supply chain management company to reduce costs through
efficiency in procurement, production and logistics, and develop a
flexible supply system that will respond to changes in consumer and
customer needs, as well as improve customer service.
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LATIN AMERICA
Unit case volume increased 5 percent in the first quarter, led by strong
growth in Mexico and improving trends in Argentina, partially offset
by the general strike in Veneuela.
In Venezuela, the Company's operations were shut down during the
general strike that lasted throughout the month of January and most of
February. As a result, operating income and equity income were
negatively affected by the strike. Further, the situation reduced the
Company's unit case growth rate for all of Latin America by more
than I point in the first quarter. Full distribution was restored across all
channels and outlets during the month of March and should continue
for the remainder of the year.
Maxico unit case volume grew 14 percent in the quarter driven by
strong performance from Fanta and Lift, the continued expansion of
the Company's non-carbonated beverage business, the launch of theReal campaign, and the introduction of several packaging initiatives to
drive system profitability. In the fast-growing water category, the
Company is benefiting from natinoal marketing programs behind Ciel,
the continued expansion of single-serve water packages, ad the
inclusion of the Risco water brand.
In Argentina, unit case volume grew 7 percent in the first quarter,reflecting the Company's long-term strategy of investing in the
country during last year's economic crisis. Further, as a result of a
strong emphasis on refillable packages, brand Coca-Cola share of
sales has increased 2 points versus the prior year first quarter.
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EUROPE, EURASIA AND MIDDLE EAST
Unit case volume in the first quarter declined 1 percent, cycling 8
percent growth in the first quarter of the prior year. While the
Company had solid performance in many markets, first quarter results
were winter weather conditions in Eastern Europe, and declines in
German volume resulting from the implementation of a deposit law
on non-returnable packages.
Overall results for the Group benefited from successful new products
such as diet Coke with lemon, Vanilla Coke, and Sprite Ice Cube
being introduced during the quarter. In addition, the Group's financial
performance benefited from effective concentrate price and brand mix
management as well as a diligent focus on the management of
operating expenses.
Unit case volume declined 10 percent in Germany during the quarter
as a result of the short-term disruption caused by the implementationof a deposit law on non-returnable packages for beer, carbonated soft
drinks and water. The unexpected change on January 1, 2004 resulted
in major retailers delisting non-returnable packages. Further,
consumers have begun to shift their consumption back to returnable
packages and to other beverage categories that were not impacted by
the deposit law.
While this change in deposit laws is disruptive in the short-term, the
Coca-Cola system remains extremely well placed to take advantage of
the move by consumers back to returnable packaging. The Company
is introducing several new packages and initiatives in the second
quarter that are expected to lead to growth in Germany during the
second half of the year.
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AFRICA
Unit case volume growth of 3 percent in the quarter, cycling 11
percent growth in the first quarter of 2003.
The Southern and East Africa Division continues to generate solid
growth while parts East Africa have been negatively impacted by the
challenging operating environment. Despite the environment across
North Africa, The Company has gained share across the region.
The Coca-Cola Real campaign has been introduced in South Africa
and Nigeria and is Currently being rolled out across the rest of Africa.
As a result, in Sourth Africa, Trademark Coca-Cola grew 5 percent in
the quarter. In Addition, the company is continuing the introduction
and expansion of juice and juice drinks and water in key markets.
Throughout Africa, the Company continues to invest and focus on
business fundamentals to drive profitable volume for the system.
These initiates include new cold outlet creation, improvements inmarket execution and availability and affordable packaging.
Streamlining Initiatives
During the first quarter of 2004, the Company initiated steps to streamline
and simplify its operations, primarily in North America and Germany.
In North America, the Company is integrating the operations of its three
separate North American business units - Coca-Cola
Erfrischungsgetraenke AG (CCEAG) is taking steps to improve its
efficiency in sales, distribution and manufacturing.
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These initiatives are proceeding as planned and resulted in a first quarter
pre-tax charge of $159 million, or $0.04 per share after tax. As previously
announced, the streamlining initiatives are expected to result in a full -
year 2004 charge to earnings of approximately $400 million on a pre-tax
basis. The remainder of the charge will be recorded throughout the rest of
the year.
Separate from the streamlining charge, as a result of the above initiatives,
the Company's financial results are expected to benefit by at least $50
million (pre-tax) in 2004 and at least $100 million (pre-tax) on an
annualized basis beginning in 2005.
Gain on Litigation Settlement
During the course of the first quarter, the Company reached a settlement
with certain defendants in a vitamin antitrust litigation. In that litigation,
the Company alleged that certain vitamin manufacturer participated in aglobal conspiracy to fix the price of vitamins used in the manufacturing
of some of the Company's products. During the first quarter, the
Company received a settlement relating to this litigation of approximately
$52 million on a pre-tax basis, or $0.01 per share on an after tax basis.
The amount was recorded in the income statement as a reduction of cost
of goods sold in the first.
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A 100 YEARS OF THE CURVY GLASS BOTTLE
OF COCA-COLA
Coca-Cola Company marks a mile stone on Wednesday, 24th March
1899 Chattanooga; Tenn where its first bottling plant was started 100
year ago by two men struck one of the most lucrative business deals in
US history. Joseph Whitehead and Benjamin Thomas offered Coca-Cola
Company owner Asia Candler a dollar for the right to bottle soft drinks in
1899. Today I billion soft drinks are sold each day in more than 200
countries around the world.
Candler had purchase what would become the Cola Company for $2,300
eight years earlier from John Pemberton, an Atlanta Phamacist who
astonished the world. Candler thought the bottling Venture would never
succeed, but he signed the contract with White Head And Thomas and
way, "and the rest is history", Bob Lovell, vice president of marketing for
Coca-Cola bottling company, United Inc., said in telephone interview
from Chattanooga.
Lovell said Thomas had seen Cuban Fields hand drinking Pina Fria a
Pineapple beverages, from bottles while he was stationed in Cuba during
Spanish American War. When he returned to Chattanooga, he decided to
pitch the idea of bottle soft drinks to coke, which was then sold only as a
fountain beverage.
"It occurred to him that Coca-Cola in bottles would be very popular",
Lovell said, "Mr. Candler did not see any future in it because the
containers were not sound, but that's how it all came about. "Thomas and
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Whitehead promised to pay one dollar for the right to bottle Coca-Cola,
but legend has it that no money changed hands.
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 than just advertising every person working
within the coca-cola system is part of the image whether one is involved
in creating its advertising, making it's quality products, or selling,
merchandizing and distributing its beverage their hard work and attitude
will say something to the people about its product.
COCA-COLA SYSTEM FLOW CHART
Raw Material
Coca-Cola Company
Bottler
Customer
Consumer
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COCA COLA: THE STORY BEHIND
Coca-Cola was formulated in 1886 by Dr. John Pemberton, a Pharmacistin Atlanta, Georgia. The drink was sold ad refreshing elixir at the
fountain counter of Jacob's Pharmacy of which Dr. John Pemberton was
part owner, unaware that the pharmacist had given birth to a caramel
colored syrup which is now the chief ingredient of the worlds favorite
drink. Today the white-on-red flow of Coca-Cola is familiar sight in more
then 195 countries. The syrup combines with the carbonate water to fuel a
$ 16.2 billion corporation that has captured a 46% Slice of the global soft
drinks market. The company estimates that the drink is served more than
773 million times every day and if all Coke ever produced were filed in
standard bottles and placed end to end it would wrap around the equator
21, 161 times.
The story of Coca-Cola is a story of a drink and its charm with the
consumer. The of ecstasy and again that the drink has caused to those
dedicated to its growth Pemberton first managed to sell and average of 9
drinks per day, though a shop called Jacob's pharmacy, in 1891, Candler
bought Coca-cola company with four companies he formed the coca-cola
company with the initial stock of $100,000. Coca-Cola was registered at
the US patent office in 1893, and began selling at soda fountains for 5
cents a glass of therapeutic refreshment 1894, I got into bottles, courtesy
a candy merchant Joseph Boedenharn of Mississippi.
Five years later; the drink was being bottled on a regular basis under a
region wise franchising system; and its first competitor Pepsi cola, Coca-
Cola's first bottling plant opened in Chatanooga, Tennessee followed by
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another in Atlanta in 1900. The unique taste of cola was an outstanding
success. Over the next two decade the number of plants crossed 1000. In
a bit to difference the prodect, the company adopted 6.5 ounce, pale green
countor bottle designed by the root glass company of Terri Haute,
Indiana. Today it is an intrinsic part of the brand.
The company broadened its horizons when Robert Woodruff the son of a
banker who acquired to Company for $25 million in 1919, assumed
charge in 1923. He began by ungrading bottling operations, brought in
innovations like a six-bottle carry home carton, and gear up advertising
support. It was under Wood Ruff that the brand. Known affectionately as
coke by now associated it self with sportive events. By the early 1940's
the brand was selling as the "real thing" to set it self apart from "me to"
cola's.
As a time went by the company brought out some new aerated drinks.The first one "Fanta" appeared in the selves in 1960.
Its birth was an accident, the company's German name is an attempt to
produce Coca-Cola without some key ingredients, turned out into an
orange flavored drink instead. its strategists who feared the dependence
on just one put a cap on growth welcomed it. While Fanta was beingrolled out the company bought minute made cosrp. Which in 1967 was
combined with Duncan foods to pave way for the Coca-Cola foods.
Several beverages followed the most notable being 'sprite', a lemon drink
developed in the late 1950 and formally launched in 1961.
Coca-Cola had diversified the company into businesses and it even had a
steam generator and boi8ler making division. Robert C Goizueta, Cuban
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born 27 years veteran took over as the Coca-Cola unlike Pepsi company
depended on a single brand. The best insurance policy that he figured was
to let coke evolve to the summer slacking it with variants, even
reinventing if needed. In 1982, the company launched what is now
considered among the world's most successful brand extensions 'Diet
Coke', under the leadership of Sergio Zyman, the head of us marketing.
The idea was to retain the loyalty for the health conscious drinker who
loved the taste but hated the calories. After this it came out with cafeeine
free versions of its main drinks. yet in the US the company kept losing
ground to Pepsi. zyman, a former Pepsi marketer argued that the correct
strategy was to replace 98 year old with better tasting cola, label it as
"New Coke" and blare the news which is exactly what the company did
more a decode age in 1985. But when placed on the shelves it did not
budge. On wide spread protest it was recalled after 79 days.
The company has about 100 brands in its portfolio but coke, Fanta andsprite account for most of its sales. In 1994, the real thing's coke sold over
52.5 billion liters. For the taste of it diet coke along with Coca-Cola light
sold 8.5 billion liters, which makes it the world's two top non cola drinks
sold over 6.5 billion liters each. Which sprite aimed at the independent
youngster two does not care what as others drink (the as line "obey you're
a thrust"). In 1993, Coca-Cola reentered India after a 16 years ling exile,four years Pepsi made its debut India. While Coke plays on brand
nostalgia. Pepsi address the young crowd, which unlike a in America is a
dominate ort if the population here.
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The Coca - Cola Company
The Coca - Cola Company is the world's largest beverage company.
Along with Coca - Cola, recognized as the world's best - known brand,
The Coca - Cola Company markets four of the world's top five soft drink
brands, including diet Coke, Fanta and Sprite, and a wide range of other
beverages, including diet and light soft drinks, waters, juices and juice
drinks, teas, coffees and sports drinks. Though the world's largest
distribution system, consumers in more than 200 countries enjoy The
Coca - Cola Company's products at a rate exceeding 1 billion servings
each day. For more information about the Coca - Cola Company, please
visit our website at http: // www. coca- cola.com/.
Forward - Looking Statements
This press release may contain statements, estimates or projections that
constitute "forward - looking statements" as defined under U.S. federal
securities laws. Generally, the words "believe," "expect," "intend,"
"estimate," "anticipate," "Project," "will" and similar expressions identify
forward - looking statements, which generally are not historical in nature.
Forward - looking statements are subject to certain risks and uncertainties
that could cause actual results to differ materially from The Coca - Cola
Company's historical experience and our present expectations or
projections. These risks include, but are not limited to, changes in
economic and political conditions, changes in the non - alcoholic
beverages business environment, including actions of competitors and
changes in consumer preferences; product boycotts; foreign currency and
interest rate fluctuations; adverse weather conditions; the effectiveness of
our advertising and marketing programs; fluctuations in the cost and
availability of raw materials; our ability to achieve earnings forecasts;
regulatory and legal changes; our ability to penetrate developing and
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emerging markets; litigation uncertainties; and other risks discussed in
our Company's filings with the Securities and Exchange Commission (the
"SEC"), including our Annual Report on Form 10-K, which filings are
available from the SEC. You should not place undue reliance on forward
- looking statements, which speak only as of the date they are made. The
Coca Cola Company undertakes on obligation to publicly update or revise
any forward - looking statements.
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ORGANIZATIONAL HIERARCHY
CHAIRMAN
PRESIDENT
VICE PRESIDENT
R.G.M.
A.G.M.
I.S.M
F.M. S.M. P.M. H.R.M.
M.O.E. A.S.M. S.E.
S.E. S.E. S.E.
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Where,
R.G.M. : Regional General Manager
A.G.M. : Area General Manager
I.SM. : Information System Manager
F.M. : Finance Manager
S.M. : Sales Manager
P.M. : Production Manager
H.R.M. : Human Resource Manager
A.S.M. : Area Sales Manager
M.O.E. : Marketing Operation ExecutiveC.D.E. : Cold Drink Executive
S.E. : Sales Executive
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PRODUCT PROFILE OF Coca-Cola
The product range of the coke has listed brands:
Coke : 200ml, 300ml, 330ml, 500ml, 1lt, 1.5lt, 2lt
Thumps UP: 200ml, 300ml, 330ml, 500ml, 1lt, 1.5lt, 2lt.
Limca: 200ml, 300ml, 330ml, 500ml, 1lt, 1.5lt, 2lt.
Fanta: 200ml, 300ml, 330ml, 500ml, 1lt, 1.5lt, 2lt.
Sprite: 300ml, 330ml, 500ml, 1lt, 1.5lt, 2lt.
Mazza: 250 ml, Tetra Pack
Diet Coke: 330ml, 1.5 lt, 2lt.
Kn. Soda: 300ml, 500ml,
Kn. Water: 500ml, 1lt, 2lt,
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FENTA APPLE
Beverages company Coca-Cola today introduced an apple flavoured
variant for its sparkling drink brand Fanta.
The drink, Fanta Apple , sporting a communication tagline of Go Bite
has been developed especially for Indian consumers. The company has
roped in actress Genelia DSouza as the brand ambassador for thebrand.
Fanta Apple will be launched in a phased manner starting with the
southern states of Andhra Pradesh and Tamil Nadu followed by a national
roll-out over the next two months.
Fanta Apple would be retailed across 35,000 outlets in the two states in
the launch phase, Deepak Kaul, Region Vice President South, Hindustan
Coca-Cola Beverages Pvt. Ltd said.
The new variant will be available in 200 ml and 300 ml returnable glass
bottles (RGB) priced at Rs 8 and Rs 10 respectively.
In addition, it would also be available in a mobile 500 ml PET pack
priced at Rs 22. Brand Fanta, already present in over 190 countries, was
first launched in India in 1994.
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The 360 degree marketing communication plan for the brand will involve
road shows including extensive experiential sampling sessions in
markets, offices, malls and colleges.
Further, a TV commercial featuring Genelia and the Go Bite
proposition of the Fanta Apple brand will be aired starting first week of
November, 2008 on all the leading channels in the south. The entire brand
campaign has been developed and executed by Ogilvy & Mather, Delhi.
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FUNCTION OF PLANT
First Process
Water Treatment
Raw Water (Water direct from Tube Well)
Soft Water (Making bacteria free by using limestone, bleaching powder and FeSo4)
T.T. Water (Treated tank water)
Raw Syrup Room
T.T. Water Sugar 85%
+
+
Mixing
Multi State Filtration
Raw SyrupReady Syrup Room
Coke ThumsUp's
Limca Fanta
Raw Syrup
One unit Concentratemakes 100 Crates
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A
A
Ready Syrup
Ready Syrup T.T. Water CO2++
Soft Drink is Ready
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SECOND PROCESS
Bottles are loaded onthe conveyer belt
First LightInspection
(Bottle which cannotbe cleaned pick out
from the Row)
Water Washing
with Soft Water
Water WashingProcess
Prerinse
Compartment
Prewash
Water Washing
with Soft Water
(2% Castic tem 60 C
with soft water)
65 C Soft Water
Wash
70 C Soft Water Wash
with 3.5% Caustic
HydroCompartment
(Removing caustic, by45
0C Soft Water)
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(Prefinal Wash)
Final Wash
Clean Bottles
(Washing Soft Water)
Clean Bottles Clean Bottles+
Bottled Soft Drink
Clean Bottles
Printing Date and Price
Third Light Inspection
The Soft Drink is Ready FINAL PRODUCT
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THE FUTURE OF COCA-COLA
While dong business overseas offers Coke wonderful growth
opportunities it also has its own disadvantages. The economic slowdown
in various overseas markets and the strong dollar had their impact on
Coca-Cola revenues and bottom line in 1999. But the company optimistic
about the future.
Mc-Douglas Investor, The Chief Executive Officer of the Coca-Cola
Company says, "This past year 1999 has been a challenging period for the
Coca-Cola Company as economic environment became more uncertain in
the later part of 1999, we strongly believe that our fundamental
opportunities for long term growth have not changed".
As long as maximization of share holder wealth remain coke's focus for
its future4 is assured Goizueta had stated and proven to the world that
focus on shareholder wealth does more good to the company than focus
on revenues and it is not hat coke does not enjoy volumes for it is world's
No. 1 soft drink manufacture. It is not content with this title and is aiming
at higher volumes year after year. Surely coke will continue to grow.
Point on Roberto had reduced the company basically to its trademark and
the returns are so astronomical as to be off the boards. It just absolutely
added a jet engine to their performance.
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COCA-COLA ANCHOR BOTTLERS
One of the driving forces behind coke's bottling system are that is
anchored by 10 strategically signed business partners of the Coca-Cola
Company, the anchor bottlers.
Anchor bottlers are a group of select companies throughout the Coca-
Cola system that are distinguished by-
A pursuit of the same strategies aims as the Coca-Cola Company in
the development of the non-alcoholic beverage business.
A commitment to long term growth.
Equity position by the Coca-Cola system.
Service to a large, geographically divers area.
Sufficient financial resources to make long -term investments.
Management expertise and depth.
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COKE'S BOTTLING STRATEGIES
In the soft drink business the bottlers are responsible significant extent for
ensuring the availability of the products. Bottlers are supplied with
concentrate to which they add aerated water and bother ingredients before
packing and sealing either cans or bottles. Bottlers play a strategic role in
the success of soft drinks companies and this was not far from Goiueta's
mind.
In 1986 the company merged some of its company owned bottling
operations with two large ownership groups that had been put up for sale.
All these bottling activities were combined to from its own subsidiary
Coca-Cola Enterprises (CCE) to handle bottling operations. The Coca-
Cola Company took 49 percent equity stake in Coca-Cola Enterprises
enabling it to retain its own balance sheet.
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MARKET PLACE
More than a billion times everyday, thirsty people around the world reach
for Coca-Cola products for refreshment. They deserve the highest quality-
every time. Our promise to deliver that quality is the most important
promise we make. And it involves a worldwide, yet distinctively local,
network of bottling partners, suppliers, distributors and retailers whose
success is paramount to our own. Our investment in local communities in
over 200 countries totals billions of dollars in jobs, facilities, marketing,
the purchase of local goods and services, ands local business partnerships,
always and everywhere, we pursue continuous innovation in the products
we offer, the processes we use to make them, the packages we develop
and the ways we bring them to market.
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COMPETITOR
The biggest and perhaps the only serious for the coca-cola
worldwide has an already been Pepsi. In India, as per as the Cola segment
is concerned the with the biggest competition to coke comes from its
brands of Pepsi viz. Pepsi and Mirinda. Thums-up, which was the leading
brand of Parley product, was acquired by Coca-Cola just over a year ago
to bolster its market share in India. Today, Thums-up along with coke,
the leading brand of the Coca-Cola Company, other still competition to
Pepsi, which despite this stiff competition is still by far the single most
popular Cola drink in India
With both the companies being backed fully by the parent concerns
based in the united state, the fight to become the dominant player in the
huge Indian Soft drink market continues unabated. Aggressive ad
campaign's, sale-promotion, schemes for retailers are just some of the
strategies being adopted by the two companies to outwit each other and
grab and large share of the market.
In the Cola segment, which occupies by far the largest chunk of the
soft drink market in India, the market share of Coke is 60%while the
market share of Thums-up is 32.16%. The market share of Coke in this
Cola Segment is 27.84%. The remaining market share is occupied by the
other brands, which constitute about 14% of the Cola market share.
So Coca-Cola with its two brand clubbed together i.e. Thums-up +
Coke occupies a combined market share of 60% (32.16% + 27.84%)
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which is just higher than the market share occupied by Pepsi on the all
India basis.
The market share for the Cola segment of different in India is given in
Graph below:
The fight between the Rs. 1,000 Crore Pepsi co. India. Pepsi and
Coca-Cola India, The fully owned subsidiary of the $ 18.55 Billion
Atlanta based "The Coca-Cola' company to become India's No. 1 player
seems likely to continue unabated over the next four years".
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PEPSI PROFILE
Pepsi Co. Inc. was founded in the year 1965. Major products of the newcompany are Pepsi Cola. Diet Pepsi and Mountain Dew. Pepsi entered the
Indian market in 1992 and now is the market leader with a market share
of 26.5 percent in the cola segment. Pepsi is in between the two of it's
closet competitors as far as marketing strategies are concerned. Pepsi is
an international drink with Indian imagery in it's communication
Traditional focus of Pepsi has been on the early teenager with a gender
skew more to the female.
Pepsi is by far the more aggressive player in the market. With in your
face advertising continuous event marketing targeting the new generation
and eye catching merchandising. It's got its selling strategy well mapped
out.
The company has always been innovating it's ad campaigns which has
helped the company to get top of the mind recall. From "The choice of
the new generation" to the "Freedom" campaign the company has been
able to Indianise the brand. With the help of promotional schemes Pepsi
has managed to keep the brand alive and has not let it become old. During
1995 the total ad spent by the company was Rs. 6.98 crore only on
television Pepsi has set aside Rs. 8 crore for its advertising programme in
the run up to and during the cricket world cup.
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COMPETITIVE AREA
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 to 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 portionfrom the same business.
The two warriors are face to 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 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
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fetch the bigger portion of aerated soft drink market. Both consider India
a huge 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 tot he inter. Coca-Cola is
well set with its 53 bottling sites through out the country giving tit 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 think, 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
aggressive marketing by putting Sachin Tendulkar, Akshay Kumar and
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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.
Countering Pepsi's international commercial that used two chimpanzees
to cock a snoop at coke, Thums-up come with the ad line, Don't be
Bandar, taste the Thunder. Also Thums-Up has been positioned now
very near to that young image of Pepsi and giving it a though time.
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 officialabout it. As Thums-Up projected as 'Saaree 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'. IfRed is meant forcoke, Pepsi has chosen to
be blue.
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MAIN COMPETITORS
COCA-COLA V/s PEPSI
Coca-Cola Pepsi
Total Investment in India Rs. 250 Crores Rs. 500 Crores
New Investments Rs. 2400 Crores Rs. 300 Crores
Number of Employee 140 2400
Number of owned bottling Plants 9 11
Number of Franchisees 54 15
Number of Fountain 1500 4000
Total Investment by bottlers Rs. 125 Crores Nil
New Plants Planned Nil 6
Overall volume of Coca-Cola products have increased by 40% whereas
the industry growth rate is 20%. Last year total sale of soft drink Industry
in India was approximately 170 million crates. Out of these around 60%
was of Cola and other 40% was of non-Cola Brands.
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MARKETING MIX
Prof. Neil H Barden defines marketing mix as 'the appointment of effort,
the combination, the designing and integration of the elements of the
marketing into a programme of mix which will best achieve the objective
of the enterprise at the give time."
Marketing mix is the set of marketing tools that the firm uses to pursue its
marketing objective of in the target market. The marketing problems are
analyzed:
1.By utilizing the important forces emanating from the marketingoperation of an enterprise.
2.By adopting producer & for an efficient marketing programme.
ELEMENTS OF MARKETING MIX
The marketing mix denotes a combination of various elements
which in their totally constitute affirms marketing system. McCarthy
popularized a four factor classification of the se tools called the four P"s,
product, price, place promotion.
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PRODUCTS
Product variety
Quality
Design product
Brand name
Feature
Packaging
Size service
Warranties
Returns
PRICE
List Price
Discounts
Allowances
Payment period
Credit teams
PLACE
Channels
Coverage
Place assessments
Locations
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Inventory
Transports
PROMOTION
Sales promotion
Advertisement
Sales Forces
Public relations
Direct marketing
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The particulars marketing variable under each P are shown below:
4 Ps 4 Cs
PRODUCT
PRICE
PLACE
PROMOTION
CUSTOMER NEED AND
WANTS
COST TO THE CUSTOMER
CONVENIENCE
COMMUNICATION
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DISTRIBUTION IN THE COCA-COLA SYSTEM
Getting Products to Market
One of the value of the coca-cola system is presence that coca-cola
should exist everywhere. In the words of former CEO-India operations -
Richard Nichoilas, "Our goal is to have coke available within an
arm's reach of desire". To fulfill this gool, coca-cola not only produces
products, but also has an effective systems to distribute them all over
India.
Distribution
Distribution Sales + Delivery + Merchandising + Local Account
Managemetn.
Distribution of Coke's products includes the activities of sales, delivery
merchandizing and local accounts management. These are two major
types of distribution systems.
(i) Direct and Indirect
In direct distribution, the bottler partner direct control over the
activities of sales, delivery, merchandizing and local account
management.
In indirect distribution, an organization which is not a part of the
coca-cola system has control of one or more of the distribution
elements (Sales, Merchandizing and local accounts managements).
With Direct distribution there are two types of sales:-
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Advanced sales and conventional sales.
In conventional sales, all the distribution activities (Sales, Delivery,
Merchandizing and Local Accounts Management) are performed by the
same persons.
In advanced sales, sales and delivery are performed by different people
within the coco-cola system.
Difference between a Customer and a Consumers.
A consumer is some one who drinks coca-cola products.
A customer is a business location which sells or serves coca-cola
products to consumers.
Merchandizing
One the products are delivered to the customer's they are promoted at thepoint-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 an 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.
Presenting The Products
Coca-Cola presents its products for sale in four different ways. They are
as follows:
Secondary Display
Coolers
Vending Machines
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Post Mix / Pre Mix
India's Relationship with Coca-Cola
Just after independence, the Maharaja of Patiala oversaw his coca-Cola-
Cola hoarding from his huge, ornate palace, Coca-Cola export
representative Frank Harrold, was awed by the Maharaja's opulent life
style. In 1993 after Coca-Cola returned to India after a 16 years 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".
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PROMOTION : THE COCA-COLA WAY
Goal for the 90's
"To place coca-cola within an arm's reach of desire.
Consumer activity clusters:
Grocery shopping
Other shopping & services
Eating and drinking Entertainment/ Recreation. Leisure
Travel / Transportation/ Hospitality
Educational
At Work
The 3A's:
The strategy for reaching in creasing numbers of consumers in India is
based on the belief that consumers will buy our products it they are
Available, Affordable and Acceptable.
Strategies for the 3A's
Focus on the consumer and customer,
To provide quality customer services, and caring about the quality of
performance in respective jobs.
Caring enough about what we do, to 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.
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Availability
Some of the way sin 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 occasion's
depends on a variety of strategies to reach the target audience. The
common strategies adopted to effect acceptability were thoughsponsorships, promotion youth market activities, community programs,
and other activates.
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MEANING OF THE PROJECT
Project gives us necessary guidance and thought for the foundation of
business. A project is an essential requirement of business and formotivated person. Prior starting of any project it is necessary to
understand the meaning of every letter of word "PROJECT". Each letter
of the project has its special meaning that is discussed.
P: Planning:
The first letter "p" stands for planning. Planning is the word that meansprior the construction of anything and for their arrangement there should
be good planning which gives better result in manufacturing the thing that
is being prepared as well as it is the bridge of between present and future.
R: Resource:
"R" stands for resource as. Resources give the current idea to promote thework.
O: Operation:
It is a process of performing various functions in a systematic way.
J: Joint Effort:A project cannot achieve its maximum success with out the complete Co -
operation of group member.
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E: Engineering:
Engineering is a branch of science under which a given task can be
performed efficiently with the help of knowledge and techniques in a
short duration by employing less money.
C: Communication:
Communication simply means the exchange of ideas, which flows
between two or more persons as well as from one place to an other place.
T: Techniques:
Techniques is a simply an art of performing a task the project should be
finished with different techniques of works.
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OBJECTIVE OF THE PROJECT REPORT
To analysis the sales of coca cola.
To study the position of diet coke in the market.
To comparative study between fenta apple, diet coke and
pepsi cane.
To create Brand awareness of Amount People.
To know the factor effecting the sale.
To find out the needs and wants of consumer.
To find out the complains of the coca-cola products.
"Change is the only thing which is const
As rightly said by the someone body. The far - reaching and
pervasive changes in the business environment necessitate &
strategic thinking on the part of liberalization & privatization of
economy is now thrown open to heavy competition from the
private & public companies. It has only recently upon itself a
mission to change far better services. With the opening of the
different companies have tuff a head to maintain it's reputation
as the number one company. Thus to maintain it's service
quality, it needs to continually monitors its customers it's
customers needs & preferences & attitude towards the company.
So, the advertisement plays an important role the buying
behaviors of the customers.
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Now a day, the customer is the main focal point in any industry.
upto what extent advertisement affects the buying behavior of
customers.
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ADVERTISING OBJECTIVES
Advertising is a form of promotion, like a promotion, the objectives of
advertising is exposure, attention, comprehension, attitude change, and
behavior and action. As in the case of all promotion, advertising objective
should be specific. This requires that the target consumers should be
specifically identified and that the effect which advertising is intended to
have upon the consumer should be clearly indicated.
The objectives of advertising were traditionally stated in term of directsales goals. A better approach however is to view advertising as having
communications objectives that seek to inform, persuade and remind
potential customers of the worthwhile ness to the product. Advertising
seeks to condition the consumer so that she may have a favorable reaction
to the promotional, message. The goal is to improve the likelihood of the
customer buying the particular product. In this sense advertising is anexcellent example of the close relationship that exists between marketing
communication and promotional strategy.
Advertising objectives serve as guidelines for the planning and
implementation of the entire advertising programmed.
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THE BASIC OBJECTIVES OF AN ADVERTISING
PROGRAMME INCLUDE
To stimulate sales amongst present, former and future consumers.
It involves a decision regarding the media, e.g. TV rather than
print:
To communicate with consumers. This involves decision regarding
copy:
To retain the loyalty of present and former consumers. Advertisingmay be used to reassure buyers that they have made the best
purchase, thus building loyalty to the brand name or the firm.
To increase support. Advertising impliedly bolsters the morale of
the sales force and of distributors, wholesalers and retailers: it thus
contributes to enthusiasms and confidence attitude in the
organization: To project an image. Advertising is used to promote an overall
image of respect and trust for an organization. This message is
aimed not only at consumers but also at the government,
shareholders, and the general public.
Each advertisement is a specific communication that must be
effective, not just for one customer, but for many target buyers.
This means that specific should be set for each particular
advertisement as well as a whole advertisement campaign.
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WHAT ADVERTISING IS NOT: ACTIVITIES
EXCLUDED FROM IT-
Advertising is not an exact science. An advertiser circumstances
are never identical with those of another he cannot predict with
accuracy what results his future advertising efforts will produce.
Advertising is not a game because if advertising is done properly
both the buyer and the seller benefit from it.
Advertising is not a toy. Advertising cannot afford to play with
advertising. They realize that advertising funds come form sales
revenue and must be used to increase sales revenue.
Advertising is not designed to deceive. Apart from ethics, the
desire and hope for repeat sales insures a high degree of honesty in
advertising.
The activities excluded from advertising include the offering of
premiums to stimulate the sale of product: the use of exhibitions
and demonstrations at fairs, show, and conventions: the use of
samples and the so-called publicity activities, involving news
releases and the activities of personal; selling forces: the payment
of advertising allowances which are not used for advertising the
entertainment of customers etc.
Though these activities are not identified as advertising they all
have some economic objective of stimulating sales.
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WHAT ADVERTISING INCLUDED
The information in advertising should be of benefit to buyers. It
should guide them to a more satisfactory expenditure of their
rupees.
It should suggest better solutions to their problems; otherwise the
advertiser will not get the continued patronage he needs to
maximize his long-term profits.
The content of the advertisement is within the control of the
advertiser, not the medium.
Advertising devoid of persuasion is ineffective. The advertisement
that fails to influence anyone, either immediately or in the future,
represents a waste of money.
The function of advertising is to increase the profitable sales
volume. This implies that advertising expenses should not increase
disproportionately.
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ADVERTISING INCLUDES THE FOLLOWING
FORMS OF MESSAGES
The message carried in newspapers and magazines; on outdoor boards; on
streetcars, and poster, on roads; on radio and television broadcasts; and in
circular of all kinds, whether distributed by mail, by person, through
tradesmen or by inserts in package; dealer help materials; window display
and counter-display materials and efforts; store signs, motion pictures
used for advertising and novelties bearing advertising messages or the4
signature.
It was descriptive Project design, the study conducted was exploratory.
The method used was survey.
Sample size:
The sample size for the Project was 100. The breakup of the sample size
was done depending upon the requirement.
Method of Data Collection
Instrument used
The instrument used to gain the response of the customers was a
structured questionnaire the questionnaire conducted both closed and
open ended question. The questionnaire design was carefully developed.
Analysis and finding:
Simple mathematical percentage method was used to analyses the
responses of the sample.
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THE MISSION AND COMMITMENTS
"To be recognized as the global business leader, coca-cola distinguish
itself. Our ultimate challenge is to make all of our assets - out trade
marks, our global distribution system and our customer relationship
distinctive in every way".
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PROJECT METHODOLOGY
To make further advances in the project we devised a suitable
methodology with the help of which we could proceed further in our
project. As our project was based on a survey therefore preparing a
structured questionnaire started the methodology applied. The
questionnaire was carefully drafted in order to ensure and realistic
information from the customer. Also the format was such that the
respondent did not irritated and the customers easily gave the information
sought.
After preparing the above said questionnaire, I started to know about the
effect of advertisement on cold drinks. The response from respondents
was mixed. Some are very reluctant to fill the questionnaire and some are
very supportive and further interpretation of data taken place by the given
below method. In this way I finished my Project work which are in brief
are as follows:
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Information Required: Information regarding services provided.
Type of Project:
PROJECT METHODOLOGY
PROJECT METHODOLOGY
PROJECT DESIGN data and collection method
FIELDWORKanalysis and interpretation
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RESEARCH METHODOLOGY
Management is any organization needs information out potential
market and environmental forces. In order to develop successful strategic
marketing plans and to respond to change in the market place. Marketing
Research including all the activities than enable an organization to obtain
the information, it need to make decision about, its environment, its
marketing mix and its present potential market.
Philip Kotler defines marketing researches as "Marketing Research
is the systematic design, collection, analysis and reporting of observations
and finding relevant to a specific markets situation faced by the
company."
The present research was conducted with reference to the
distribution of soft drinks among different retail outlets in Meerut.
There is the research methodology adopted by me to conduct myresearch.
As per requirement question was formulated and care was taken to
include every aspects of the study.
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RESEARCH
Research in common partance refers to a search for knowledge.One can also define research as a scientific and systematic search for
pertinent information on a specific topic.
Systematized efforts to gain new knowledge. Can called research
process.
According to differed Woody research comprises defining and redefining
problems, formulating hypothesis or suggested solutions, collecting
organizing and evaluating data making deductions and reaching
conclusions and at last carefully testing the conclusions to determine
whether they fit the formulating hypothesis.
TYPES OF RESEARCH:
The Basic Types of Research Are as Follows:
1. Descriptive vs. Analytical: Descriptive research includes survey and
fact-finding equines of different kinds. The major purpose of
descriptive research is discretion of ten states of affairs, as it exists atpresent. In social science and business research studies. The main
characteristic of the method is that the are searcher has no control over
the variables. He can only report what has happened or what is
happening. Most exposit factor research projects are used for
descriptive studies in which the researcher seeks to measure such
items.
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2. Conceptual vs. Analytical: Conceptual research is that related tosome thinkers to develop new concepts or to reinterpret existing ones.
On the other hand, empirical research relies on experiences or
observation alone, often without due regards for system and theory.
3. Applied vs. Fundamental: Applied research aims at finding asolution for industrial/business organization, whereas fundamental
research is mainly concerned with generalizations and with the
formulation of a theory.
4. Quantitative vs. Qualitative: Qualitative research is based on themeasurement of quantity or amount. It is applicable to phenomena that
can be expressed in terms of quantity. Qualitative research, on the
other hand, is concerned with qualitative of kind.
Some other Types of Research: Such research follows case study
methods or in depth approaches to reach the basic causal relations. Such
studies usually go deep into the causes of things or events that interest us,using very small samples and very deep exploratory or it may be
formalized. Exploratory research is the development of hypothesis rather
than their testing, whereas formalized research studies and those with
substantial structure and with specific hypothesis to be tested.
RESEARCH APPROACHESQuantitative vs. Qualitative: Quantitative research is based on the
measurement of quantity or amount. It is applicable to phenomena that
other hand, is concerned with qualitative research, on the other hand, is
concerned with qualitative phenomenon, i.e. we are interested in
investigating the reasons for human behaviour (i.e., why people think or
do certain things,) we quite often talk of "Motivation Research', an
important type of qualitative research. This type of research aims at
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discovering the underlying motives and desires, using in depth interviews
for the purpose. Other techniques of such research are word association
tests, sentence completion tests, story completion tests and similar other
projective techniques. Attitude or opinion research i.e. research designed
to find out how people feel or what they think about a particular subject
or institution is also qualtitative research. Qualitative research is specially
important in the behavioural sciences where the aim is to discover the
underlying motives of human behaviour. Through such research we can
analyse the various factors which motivate people to behave in a
particular manner or which make people like or dislike a particular thing.
It may be stated, however, that to apply qualitative research in practice is
relatively a difficulty job and therefore, while doing such research, one
should seek guidance from experimental psychologists.
Sample Units:
Two of the Number one brands in India namely brands Coca Cola and
Escorts Yamaha, respectively, were chosen on the basis of their market
shares. These two industries were chosen on the basis of the usage of the
products, as the usage of FMCG's and Consumer Durable high and is
noticeable. Moreover two different industries were also chosen keeping in
mind objective of the Study.
Sample Design:
Non-probability sampling was resorted to and the methods used is
Convenience sampling and Judgment sampling.
Sample Design:
The total sample size is 120 which includes consumers of all the four
brands, retailers of Pepsi & Coca Cola.
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Data Collection:
Data was collected both from Secondary source as well as Primary data
was also collected. A structured Questionnaire method was used to
collect the primary data. Secondary data was soured from various
published sources which includes magazines like A&M, Business India
and Business World. Newspapers like brand Equity, Brad Wagon and the
times on India were also used. Annual Report of Yamaha and Coca-Cola
and books like" for God, country and Coca-Cola and "Fours" by AI Ries
were also referred.
Data Analysis Techniques used are:
Modal Value
Correlation
Simple Average
Percentage
Data was analysed manually and with the help of computer software
EXCEL, to make graphs and pie charts.
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DATA COLLECTION
There are two types of data;
1. Primary data2. Secondary data
Primary Data:
Primary data are those, which are collected afresh, and for the first time.
in this Project work Projector has collected only primary data. The
primary data has been collected through survey method.
Secondary Data:
Secondary data are those already been collected by someone else and
which have been passed through the statistical process. Secondary data
may be published or unpublished data like from newspaper, books,
journals, government records, company's record, and public.
PROJECT AREA
For the completion of my Project report Ghaziabad was allotted to me for
my Project report work. I have completed all the tasks in Ghaziabad.
Ghaziabad is a big city. The name of places of Ghaziabad where I meet to
the different customers.
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DO YOU TAKE COLD DRINKS
YES NO
92 8
Out of 100 RESPONDENTS 92 TAKE COLD
DRINK
92
8
0
10
20
30
4050
60
70
80
90
100
1 2
2-D Column 1
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Market share of Soft drink?
DIET COKE Pepsi cane Fanta apple
51 27 10
42%
35%
23%
Diet coke pepsi cane fanta apple
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FLAVOUR, DO YOU PREFER
COLA ORANGE LEMON PLAIN SODA FRUIT DRINK
45 20 10 15 10
OUT OF 100 RESPONDENTS, 45 TAKE COLA, 20
TAKES ORANGE, 10 TAKES LEMON, 15 TAKES PLAIN
SODA, 10 FRUIT DRINK.
45
20
10
15
10
0
5
10
15
20
25
30
35
40
45
50
COLA ORANGE LEMON PLAIN
SODA
FRUIT
DRINK
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WHEN YOU TAKES SOFT DRINK
LUNCH
DINNE
R
ANY
TIM
E
FOR
TIM
E
PASS
CELEBRATIO
N
OCCASSIONA
L
DO
NO
T
5 10 20 35 25 5
OUT OF 100 RESPONDENTS, 5 TAKE SOFT DRINK AT
DINNER TIME, 10 RESPONDENTS SAYS ANY TIME, 20
RESPONDENTS TAKE SOFT DRINK FOR TIME PASS,
35 RESPONDENTS SAY THAT FOR CELEBRATION, 25
RESPONDENTS TAKES OCCASSIONALY AND REST
SAY DO NOT TAKE SOFT DRINK.
5
10
20
35
25
5
0
5
10
15
20
25
30
35
40
LUNCH DINNER ANY TIME FOR TIME PASS CELEBRATION OCCASSIONAL DO NOT
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WHICH FACTOR INFLUENCES WHILE
CHOOSINGA COLD DRINK
CHILDNESS PACKING FLAVOUR TASTE ANY
OTHERS
15 5 30 45 5
OUT OF 100 RESPONDENTS 45 INFLUENCES BY
TASTE AND 30 BY FLAVOUR
15
5
30
45
5
0
5
10
15
20
25
30
35
40
45
50
CHILDNESS PACKING FLAVOUR TASTE ANY OTHERS
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DO YOU THINK THAT ADVERTISEMENT OF
THAT PARTICULAR BRAND INFLUENCES YOU
TO BUY?
YES No Sometime Can't say anything
35 25 37 3
3525
37
305
10152025303540
1 2 3 42-D Column 1
OUT OF 100 RESPONDENTS 37 SOMETIME
INFLUENCES BY A ADVERTISEMENT
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WHAT IS YOUR PREFERRED PACKING
AVAILABILITY NO. OF REPONDENTS
200ML 30
300 ML 23
500ML 10
1 LTR. 5
1.5 LTR. 10
2 LTR. 15
FOUNTAIN 2
CAN 5
OUT OF 100 RESPONDENTS 30 PREFER 200ML
30
23
10
5
10
15
25
0
5
10
15
20
25
30
35
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HOW MANY TIMES DO YOU TAKE IN A WEEK
ALMOST EVERYDAY 10
TWICE A WEEK 15
THRICE A WEEK 10
ONCE 30
NOT REGULAR 35
OUT OF 100 RESPONDENTS 34 ARE NOT REGULAR
TAKE COLD DRINKS
1015
10
30
35
0
5
10
15
20
25
30
35
40
ALMOST
EVERYDAY
TWICE A WEEK THRICE A
WEEK
ONCE NOT REGULAR
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SWOT ANALYSIS
STRENGTHS
Coke Company has a good market reputation and a strong
distribution network.
Coke is having a multi brand strategy ad is looking for a great
volume opportunity in India.
Coke is presently no. 1 player in Indian Carbonated soft drinks
market.
Coke was born 11 year before Pepsi (in 1987) ad a century later
still maintains that pioneering least.
Pepsi and coke both have good brand image.
WEAKNESS
Coke has less no. of retailers
Less force - it has less no. Have owned bottling plant.
It has not planned for setting up of any new plants where their
competitor has planned to set up several new plants.
OPPORTUNITY
A rapidly growing market, which is expanding @ 205 every year.
It can take the market very well with the new investment of Rs.
2400 corers.
It can give a big jerk to its major competitor Pepsi it can increaseits number of fountain to a sizeable amount.
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Increasing trend of cold drink of different brands.
THREATS
It has a continuous threat from Pepsi as well as various other local
soft drinks.
Coke has a major market than Pepsi between the teenager as well
as the student due to advertisement of world cup cricket.
A large amount of expenses on the advertisement.
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1.
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1. The company should have proper stock of litre bottles of Coke so
that demand of the customer can be meet on time.
2. 6-9year age group is very potential and hence this should be
targeted in order to have an increase in sales.
3. If the price of Coca-Cola brands are slightly slashed then may be coca-
cola would gain a potential increase in its market share.
4. The young and middle age group is main type of consumer there share
should be enhanced.
5. Company should attached proper promotion scheme.
6. The "Thumps-up 'brand should be given extra care as this is a very
potential product and could be a huge competition to Pepsi.
7. Female prefer orange flavour hence Fanta should be targeted in a
8. Such a manner that it become popular among this segment.
9. Coke and Limca have their respective segment, but these should
10.Be properly handled so that they are able to maintain their position.
11.Company should be careful have like pesticide case that should
12.Not be repeated in future.
13.Fanta brand should also be properly handled and effective advertising
campaigns shall be made
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SUGGESTIONS & RECOMMENDATIONS
One the basis of my study of the market I would suggest the following,
which can do wonders in favour of the company.
1. When company change policy or implement new policy dealer's
must be taken into consideration.
2. Small gift should be given to dealer during festivals and make them
to buy more to the company product.
3. In off seasons cutting down the advertisement expenses the company
should focus to provide innovative schemes and incentive to
customers and dealers.
4. Quality department should be more effective.
5. New schemes launched should be backed up with adequate
advertisement campaigns.
6. The scheme should be carried out with proper channel and retailer
should be aware of it.
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LIMITATIONS OF THE PROJECT
No guidance in the field work.
The study was conducted in only Ghaziabad only. Hence the study
may not be useful for projection of behavioral aspect of consumers
living in other cities.
People lack the time so they did not take interest.
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CONCLUSION
In the end I would like to conclude that this route ride was a
great learning experience for me, in which I learned about
the marketing skills and strategic applied in the market for
sale of a product and marinating the company standards in
the competitive market conditions.
After going thick on the things, now time is to makes a
complete picture. Marketer needs to use advertising and
brand building strategies to address the discerning buyers
and retail push to in different buyers. The manufacturer
should understand consumer behaviour because retailers
can't help quality and price. It is only upto manufacturers to
deliver what the consumers want. I need to stress on it
because 61% consumer said it is demand they sell coca-cola
39% agree that at retail shop it is brand popularity, which
determine the purchase of biscuit.
The is a grater needs to understand the consumer behaviour
considering them as a team; working for the company may
help them to be attached to the company. There should be a
feeling of belonging to the company in inner of the
consumer. Setting values club for consumer so that they may
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exchange views with the company and help in understanding
the consumer behaviour.
According to my study, I have found that 92% consumer take
cold drinks. In which 45% person take coke, 35% take pepsi,
the rest 20% take other brands.
I can also say that most of the people take branded cold-drinks (75%). Advertising plays a vital roll in choosing cold
drinks from my study. I have seen that the factor influence
while choosing cold drinks are 40% advertising, 35% taste,
20% brand name & 5% others, 35% people say that
advertisement influences buying behaviour of consumer.
In advertisement TV Ads holds the maximum market in
advertisement of coca-cola products. 51% are TV ads, 27%
of the ads in print media, 12% by hoardings, & the rest 10%
are done by retailers.
So at last, I conclude that,
Thanda Mutlab Coca-Cola
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BIBLIOGRAPHY
BOOKS:
Philip Kotlar, Marketing Management ; Analysis
Planning & Control; Prentice Hall, 9th Edition
Saxena Ranjan, Marketing Management; TATA
Mcgraw Hill, 4th Edit