Market execution In Hidustan Coca Cola Pvt. Ltd Pune

8/8/2019 Market execution In Hidustan Coca Cola Pvt. Ltd Pune

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Summer Training ReportOn

Market Execution in Hindustan Coca

Cola Beverages Pvt. Ltd.

Submitted in Partial Fulfillment of the Requirements for the Masters Degree

inBusiness Administration Program

Submitted By:

Parijat Dubey

University Roll No. 09060500072

2009-2010

COER School of Management

Uttarakhand Technical University, Dehradun


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ACKNOWLEDGEMENT

I express my gratitude to the Hindustan Coca-Cola Beverages Private Limited (HCCBPL) for

having given me an opportunity to work with them and make the best out of my internship. I

would like to thank Mr. Sandeep, Area Capability Manager without whom an internship with,

Hindustan Coca-Cola Beverages Private Limited (HCCBPL) would not have been possible. I

thank my trainers, Mr. Naresh Sir and Mr. Aamir Shaikh for having trained me and constantly

guided and supported me throughout the training period. I would like to thank Mr.Manoj Pathak,

Area Sales Manager, who encourage & inspired me a lot during my internship. I am also gratefulto Ms. Mrunmai who kindly helped me to get into this value enriching internship. My heartfelt

gratitude also goes out to Mr. Jyotiba Belagaokar, Pre-Seller at HCCBPL for having co-operated

with me and guided me throughout the two months of my internship period. I thank my college,

COLLAGE OE ENGENNERING, ROORKEE, for having given me this opportunity to put to

practice, the theoretical knowledge that I imparted from the program. I thank Head Of The

Department Mrs. Veera Lakshmi Mittal &guide Mrs.Himadri Pukan for having guided and

supported me through the course of the internship. I take this opportunity to thank my parents and

friends who have been with me and offered emotional strength and moral support.


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DECLARATION

I ,09060500072, Parijat Dubey hereby declare that this report is a bonafide record of

Market Execution at Hindustan Coca Cola Breverages Pvt. Ltd., Pune during the period of

21/06/2010 - 31/07/2010 under the guidance of Mrs. Himadri Phukan, Faculty of MBA,

COER-SM, Roorkee. The project has been undertaken in the part ial fulfillment for the

Degree of Masters of Business Administration of Uttarakhand Technical University.

PARIJAT DUBEY MRS. HIMADRI PHUKAN


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PREFACE

The summer training programs are designed to give the practical knowledge of corporate world.

Training is usually meant for such vocations where advanced theoretical knowledge is to be

backed up by practical experience on the job and it is because of this reason that summer training

programs are designed. So, that the future manger must be ready to take the future

responsibilities.

It was exactly in this context that I was privileged enough to join coca cola- one of the biggestbrand in beverages in the world.

I achieved lots of experience and confidence over the past eight week which will help me to take

the future responsibility on my shoulder.

During this period, I was given to find out the Market Execution. In the training program I

had tried my level best to arrange the work in systematic and chronological way.

This endeavor work shall provide the coca cola marketing department, an idea about marketcondition. Therefore it hoped with all sincerity that this work shall be of definite use to the

organization.


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EXECUTIVE SUMMARY

Over the last few years hundreds of companies have greatly improved their performance &the

graph of growth through superior sales promotion services. Today many companies are building

on these foundations and are tuning their products in Soft drink segment into a formidable

competitive weapon. Sales Promotion services have become a subject of huge interest in recent

years.

Sales Promotion Services is growing because:

In the face of ever increasing competition in organizations feel it is important to buildreliable & sustainable processes with focus on strong relationships with customers.

Significant revenue & profit gains can be made from successful Sales PromotionActivities that improve efficiency & help serve customers better & faster.

The different distribution channels are as follows:"

1. Eating & Drinking 2. Convenience 3. Grocery Activation is the key part of Coca-Cola marketing strategy Company believes that soft drink sell is not a planned sell it's a impulse buying, and

activation create impulse for buying

For improvement of Coca-Cola market, a proper research work has done.Sales Promotion Strategies are offering new & better ways of addressing industries objectives.

Coca-Cola has developed a unique sales promotion strategy that offer a unique way to increase

the sales of the soft drink.


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TABLE OF CONTENTS Page No.

Objective of the study 8

CHAPTER 1

Company profile 10 History of soft drink in Maharashtra 11 History of soft Drink in India 12 Historical Background of Coca-Cola 13 The Coca-Cola Pune Plant 16 Distribution System 18 Mission, Vision & Value 19

CHAPTER 2

Competitors to HCCBPL 22 Customer 23

CHAPTER 3

Outlet Structure Of Coca-Cola In India 30 What is Market Execution? 31 What is RED? 32

CHAPTER 4

Research Methodology 36 Limitation 37 Observation 37 Problems 38

CHAPTER 5

Data analysis 40 Finding 46 Suggestion 47

CHAPTER 6

Conclusion 49 Recommendation 50


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CHAPTER 7

Questionnaire 52 Bibliography 53

LIST OF FIGURES AND CHARTS Page No.

Fig.1 Distribution Chain at HCCBPL, Pune 16 Fig.2 Vission For Sustainable Growth 20 Fig.3 Organizational Chart of HCCBPL, Pune 24 Fig 4 Organizational Structure 25 Fig.5 Organization Structure in Coca-Cola , India 26 Fig 6 Organization Structure of the sales Department in HCCBPL, Pune 27 Fig.7 Segmentation Model 29


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OBJECTIVES OF THE STUDY

1) To measure the performance of distributors in the outlets.2) Reasons/causes for the low sales by the retailers.3) To facilitate and maintain high sales of our product through the retailer

concerned.


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CHAPTER 1

INRODUCTION


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Company profile

Coca-Cola, the product that has given the world its best-known taste was born in Atlanta, Georg--

ia, on May 8, 1886. Coca-Cola Company is the worlds leading manufacturer, marketer anddistributor of non-alcoholic beverage concentrates and syrups, used to produce nearly 400

beverage brands. It sells beverage concentrates and syrups to bottling and canning operators,

distributors, fountain retailers and fountain wholesalers. The Companys beverage products

comprises of bottled and canned soft drinks as well as concentrates, syrups and not-ready-to-drink

powder products. In addition to this, it also produces and markets sports drinks, tea and coffee.

The Coca-Cola Company began building its global network in the 1920s. Now operating in more

than 200 countries and producing nearly 400 brands, the Coca-Cola system has successfully

applied a simple formula ona global scale: Provide a moment of refreshment for a small amount

of money- a billion times a day. The Coca-Cola Company and its network of bottlers comprise

the most sophisticated and pervasive production and distribution system in the world. More than

anything, that system is dedicated to people working long and hard to sell the products

manufactured by the Company. This unique worldwide system has made The Coca-Cola

Company the worlds premier softdrink enterprise. From Boston to Beijing, from Montreal to

Moscow, Coca-Cola, more than any other consumer product, has brought pleasure to thirsty

consumers around the globe. For more than 115 years, Coca-Cola has created a special moment of

pleasure for hundreds of millions of people every day. The Company aims at increasing

shareowner value over time. It accomplishes this by working with its business partners to deliver

satisfaction and value to consumers through a worldwide system of superior brands and services,

thus increasing brand equity on a global basis. They aim at managing their business well with people who are strongly committed to the Company values and culture and providing an

appropriately controlled environment, to meet business goals and objectives. The associates of

this Company jointly take responsibility to ensure compliance with the framework of policies and

protect the Companys assets and resources whilst limiting business risks. The biz.system of coca-

cola in India directly employs approximately 6,000 people, & indirectly creates employment for

many more related industries throw our wash procurement, supply and distribution system. The

vast Indian operations comprise 25 companies owned bottling operations & 24 franchises

owned bottling operations. The apart a network of contract packers also mfg. a range of the

product for company. On the distribution front, 10 tone trucks, open-bay three wheelers that

cannavigate the narrow alleyways of Indian cities, ensure that our product available in each cornerof the country. The coca cola is responsible for the mfg. distribution & sales of product across the

country.


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HISTORY OF SOFT DRINK IN MAHARASHTRA

When Coca- Cola re-entered the Indian market The Hindustan Coca cola Beverages Pvt. Ltd. ofPune, Maharashtra on lease for 20 years in 1997-98 started its operation. The first product

launched by Hindustan Coca Cola Beverages Pvt. Ltd. of Pune was Coca-cola and after that all

the remaining products came in the Maharashtramarket. At present the work force capacity of the

Hindustan Coca Cola Beverages Pvt. Ltd. is 126 including all the departments. The soft drink

market in India is quite wide. The production of soft drink in Maharashtrawas stated on 27th with

March 1967 with installation of a Coca Cola bottling plant in Mumbai under the auspicious

guidance of late industrialist Mr. Dharma Chad Kumari which was named as Sea city Beverages

Pvt. Ltd. The company controlled the lions share in the soft drink market for nearly 10 years.

Parle also entered this field in Maharashtrawith the installation of bottling unit in collaboration

with Mr. Rajendra Poddar in the name of Orient Beverage Pvt. Ltd. In 1997 with the advent of

Janta Party Government, it created trouble for Coca Cola which led to withdraw its operation

from India. After the withdraw of Coca Cola from India the Parle monopolized the soft drink

market in Maharashtraand took a lions share of the beverages product from the industry even after

Mc. Dowell pure drinks and local drinks entered into the market. They would not complete with

Parle.

Once again with the liberalization of economy in 1991. Pepsi Food Ltd. Entered in the India

market. It shared its bottling of products in Maharashtra by Sea city Beverages Company on 24th

March 1991 owned by Kamani's collaboration with Birla Group, which was once the bottlingplant for Coca-Cola. After the re-entry of Coke in 1993 the market scenario of Maharashtraalso

changed dramatically. Coca cola establishes its bottling plant in Pune to counter its archrival

Pepsi. A soft drink is a non-alcoholic beverage. It is artificially flavored and content no fruit juice

or pulp. The invent of soft drink is really a classic example of today's marketing theory which

says The real marketing spirit of marketing man lies behind the fact of identifying a need, a real

need of consumer and providing him the product to fulfill his need.


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HISTORY OF SOFT DRINK IN INDIAThe first brand of soft drink Gold spot established 53 years ago. Before all empowering CocaCola

entered the country to dominate the soft drink market, the history of soft drink in India is quite

drinking old. Down the ages, people consume soft drink to give them a refreshing feeling. Gold

spot is considered as the first brand of soft drink in India, it was introduced in 1965. Coca- cola at

the same time entered the Indian mark t .and dominated the whole market. It faced no though

competition from the domestic market. Due to certain circumstances the Coca cola Company

discontinued its operations in India. In 1993 Coca Cola was launched in Agra (India) again with a

slogan of "OLD WAVE HAVE COME AGAIN" Joining the hand with Parle export Pvt. Ltd.,

The Company was trying its best to regain prestige which it had before. At present only Coca

Cola and Pepsi Food are giving tough competition to each other. Coca Cola was the first foreign

drink came in India in the year 1965. Coca cola had a very good beginning in the Indian market

and it hardly faced any competition in India. The marketing people did not even require

advertising Coca Cola. This extra ordinary success of soft drink could be attributed to followingfactors.

Later in 1970, it introduced Limca a lemony soft drink. Before limca they had tentatively

introduced by Cola-Pepsi which they had to withdraw soon in the face battering confrontation

with Coca-Cola. The Indian drink had a significant opportunity in 1977 when Coca Cola decided

to wind up its operation rather than bowing to the government of India insistence of dilution of

equity.


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HISTORICAL BACKGROUND OF COCA COLACoca Cola is a very popular cola (a carbonated soft drink) sold in stores and restaurants in more

than 200 countries. lt is produced by the Coca-cola Company which is also often referred to as

simply Coca cola or coke. Coke is one of the world's most recognizable and widely sold

commercial brands; its major rival is Pepsi. Originally intended as a patent medicine when it wasinvented in the 19th century, Coca-cola was bought out by businessman Asa Griggs Candler,

whose marketing tactics led Coke to its dominance of the world soft drink market throughout the

20th century. The Coca -cola Company owns and markets other soft drinks that do not carry the

Coca -cola branding, such as Sprite, Fanta, and others. Coca cola was invented. In Atlanta,

Georgia, by John S. Pemberton, originally as a coca wine caned Pemberton's French, Wine coca

in 1885. He was ' inspired by the formidable success of European Angelo Mariani's coca wine

Mariani.

PRODUCT HIGHLIGHT

The world's favorite drink. The world's most valuable brand. The most recognizable word across

the world after OK. Coca-Cola has a truly remarkable heritage. From a humble beginning in

1886, it is now the flagship brand of the largest manufacturer, marketer and distributor of

nonalcoholic beverages in the world. In India, Coca-Cola was the leading soft-drink till 1977

when govt. policies necessitated its departure. Coca-Cola made its return to the country in 1993

and made significant investments toensure that the beverage is available to more' and more

people, even in the remote and inaccessible parts of the nation.

Coca-Cola returned to India in 1993 and over the past ten years has captured the imagination of

the nation, building strong associations with cricket, the thriving cinema industry, music etc.

Coca-Cola has been very strongly associated with cricket, sponsoring the World Cup in 1996 and

various other tournaments, including the Coca-Cola Cup in Sharjah in the late nineties. Coca-

Cola's advertising campaigns Jo Chaho Ho Jaye and Life ho to Aisi were very popular and had

entered the youth's vocabulary. In 2002, Coca Cola launched the campaign "Thanda Matlab Coca-

Cola" which sky-rocketed the brand to make it India's favourite soft-drink brand. In 2003, Coke

was available for just Rs. 5 across the country and this pricing initiative together with improved

distribution ensured that all brands in the portfolio grew leaps and bounds. Coca-Cola had signed

on various celebrities including movie stars such as Karishma Kapoor, cricketers such as Srinath,

Sourav Ganguly, southern celebrities like Vijay in the past and today. Its brand ambassadors areAamir Khan and Hrithik Roshan.

GLASS PET CAN

200ml,300Ml 600ml,1.2L,2L,2.2L 300ml


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THUMS UP TASTE THE THUNDER

Thums Up is a leading carbonated soft drink and most trusted brand in India. Originally

introduced in 1977, Thums Up was acquired by The Coca-Cola Company in 1993.

Thums Up is known for its strong, fizzy taste and its confident, mature and uniquely

masculine attitude. This brand clearly seeks to separate the men from the boys.

Glass Pet Can

200ml,300ml 600ml,1.2L,2L,2.2L 300ml

LIMCA

Lime n Lemoni Limca, Derived from nimbu + jaisa. Hence lime sa. Limca has been

lived up to its promise refreshment and has been the original thirst choice of millions of

consumers for over 3-decades.

Born in 1971 has remained unchallenged as the No.1 Sparkling Drink in the cloudy lemonsegement.

FANTA Dil Khol KEInternationally Fanta - The orange drink of The Coca-Cola Company is seen as one of the favorite drinks

since 1940's. Fanta entered the Indian market in the year 1993. Over the Years Fanta has occupied a strong

market place and is identified as "The Fun Catalyst". Perceived as a fun youth brand, Fanta stands for its

vibrant color; tempting taste and tingling bubbles taste that not just up lifts feelings but also helps free

spirit thus encouraging one to indulge in the moment. This positive imagery is associated with happy,

cheerful and special times with friends. Glass 200ml, 300ml PET 600ml, 1.2L, 2L, 2.25L Can 330ml

GLASS PET CAN

200ml,300ml 600ml,1.2L,2L,2.2L 300ml

SPRITEWorldwide sprite is ranked as the No. 4 soft drink & is sold in more than 190 countries. In India, Sprite

was launched in year 1999 & today it grown to be one of the fastest growing soft drinks, leading the clear

lime category. Today Sprite is perceived as youth icon, why? With a strong appeal to the youth, Sprite has

stood for a straight forward and honest attitude. Its clear crisp refreshing taste encourages the todays

youth to trust their instincts, influence them to be true to whom they are and to obey their thirst.

GLASS PET CAN

200ml,300ml 600ml,1.2L,2L,2.2L 300ml


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MAAZA Yaari Dosti Taaza Maaza

Maaza was launched in 1976. Here was a drink that offered the same real taste of fruit juices and

was available throughout the year. In 1993, Maaza was acquired by Coca-Cola India. Maaza

currently dominates the fruit category. Over the year, brand Maaza has become synonymous with

Mango. This has been the result of such successful campaigns like Taaza Mango, Maaza Mango

and Botal Mein Aam, Maaza hai Naam consumers regard Maaza as wholesome, natural, fun

drink which delivers the real experience of fruit. The current advertising of Maaza position it as

an enabler of fun friendship moments between moms and kids as moms trust the brand asn the

kids lovew its taste. The campaign builds on the existing equity of the brand and delivers a

relevant emotional benefit to the moms rightly captured in the tagline Yaari Dosti Taaza Maaza.

GLASS TEATRA MOBILE PET

200ml,300ml 200ml 600ml 1L,2L

MINUTE MAID PULPY ORANGEMinute maid Pulpy orange The brand launched in its internationally successful minute maid pulpy

Orange avatar is a naturally refreshing juice drink which offers an Unmatched taste experience

to consumers due to the presence of real orange pulp This innovative consumer proposition is

best explained by The brand tagline Refreshing orange, surprisingly pulpy. Minute maid Pulpy

orange has been made available in two PET pack-sizes on the go1.25 liter bottle, priced at Rs.25

and 70 respectively.

MOBILE PET

250ml,400ml 1L

KINLEY PACKED DRINKINGWATER

Water a thirst quencher that refreshes, a life giving force that washes all the toxins away. A ritual

purifier that cleanses, purifies, transforms. Water, the most basic need of life, the very sustenance

of life, a celebration of life itself. The importance of water can never be understated Particularly

in a nation such as India where water governs the lives of the millions, be it as part of everyday

rituals or as the monsoon which gives life to the sub-continent. Kinley water understands the

importance and value of this life giving force. Kinley water thus promises water that is as pure as

it is meant to be. Water you can trust to be truly safe and pure. Kinley water comes with the

assurance of Safety from the Coca-Cola Company. That is why we introduced Kinley with

reverse- osmosis along with the latest technology to ensure the purity of our product. Thats why

we go through rigorous testing procedures at each and every location where Kinley is produced

Because we believe that right to pure, Safe drinking water is fundamental. A universal need, that

cannot be left to chance.


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THE COCA-COLA'S PUNE PLANTCoke begins its operation on 4th Sept. 1998 by taking over the franchise bottler. It is located at

Pimpri Industrial Area, Pune. Plant is spread over an area of 1.75 acres and houses most

sophisticated machinery to produce coca-cola and many other brands marketed by the company.

The plant can produce around 24000 cases of soft drinks per day and employees 113 workers todo the same.

BUSINESS PLAN MODEL

DISTRIBUTION NETWORK

HCCBPL has a wide and well managed network of salesmen appointed for taking up the

responsibility of distribution of products to diverse parts of the cities. The distribution channels

are constructed in such a way that the demand of customers is fulfilled at the right place and the

right time when it is needed by them.

A typical distribution chain at HCCBPL would be:

Fig.1 Distribution Chain At HCCBPL, Pune

Production

Plant Warehouse

Depot Warehouse

Distribution Warehouse

Retail Stock

Retail Shelf

Consumer


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The customers of the Company are divided into different categories and different routes, and

every salesman is assigned to one particular route, which is to be followed by him on a daily

basis. A detailed and well organized distribution system contributes to the efficiency of the

salesmen. It also leads to low costs, higher sales and higher efficiency thereby leading to higher

profits to the firm. DISTRIBUTION ROUTES The various routes formulated by HCCBPL for

distribution of products are as follows:

Key Accounts: The customers in this category collectively contribute a large chunk of thetotal sales of the Company. It basically consists of organizations that buy large quantities

of a product in one single transaction. The Company provides goods to thesecustomers on

credit, payments being made by them after a certain period of time i.e. either a month of

half a month. Examples: Clubs, fine dine restaurants, hotels, Corporate houses etc.

Future Consumption: This route consists of outlets of Coca-Cola products, wherein aconsiderable amount of stock is kept in order to use for future consumption. The stockdoes not exhaust within a day or two, instead as and when required stocks are stacked up

by them so as to avoid shortage or non-availability of the product. Examples:

Departmental stores, Super markets etc.

Immediate Consumption: The outlets in this route are those which require stocks on adaily basis. The stocks of products in these outlets are not stored for future use instead,

are exhausted on the same day and might run a little into the next day i.e. the products are

consumed at a fast pace. Examples: Small sized bars and restaurants, educational

institutions etc.

General: Under this route, all the outlets that come in a particular area or an area alongwith its neighboring areas are catered to. The consumption period is not taken into

consideration in this particular route.

DISTRIBUTION SYSTEM


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Direct distribution: In direct distribution, the bottling unit or the bottler partner has directcontrol over the activities of sales, delivery, and merchandising and local account

management at the store level.

Indirect distribution: In indirect distribution, an organization which is not part of theCoca-Cola system has control on one or more of the distribution elements (Sales, delivery,

merchandising and local account management.

Merchandising: Merchandising means communication with the consumer at the point ofpurchase to convey product benefit, value and Quality. business locations to specifically

merchandise our products. Sales people and delivery personnel both have this

responsibility. In certain locations special teams who go into

DEPARTMENTS INVOLVED IN THE DISTRIBUTION PROCESSThe Distribution process mainly consists of three departments:

Distribution Department: It appoints distributors and establishes a distributionnetwork, processes approved sale orders and prepares invoices, arranges logistics

and ship products, co-ordinates with distributors for collections and monitors

distribution stocks and their set-up.

Finance Department: It checks credit limits and approves sales orders incompliance with the credit policy followed by the firm, records collections from

distributors, periodically reconciles outstanding balances from distributors, obtains

balance confirmation from distributors and follows up outstanding balances.

Shipping or Warehousing Department: It dispatches goods as per approved byorder, ensures that stocks are dispatched on a FIFO basis, ensures physical control

over load out area and updates warehouse stock records in a timely manner.


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MISSION, VISION AND VALUE:Our mission, vision and values outline who we are, what we seek to achieve, and how we

want to achieve it. They provide a clear direction for our Company and help ensure that

we are all working toward the same goals.

OUR MISSION

Our mission declares our purpose as a company. It serves as the standard against which

we weigh our actions and decisions. It is the foundation of our Manifesto. To refresh the

world in body, mind and spirit. To inspire moments of optimism through our brands and

our actions. To create value and make a difference everywhere we engage.

OUR VISIONOur vision guides every aspect of our business by describing what we need to accomplish

in order to continue achieving sustainable growth.

People: Being a great place to work where people are inspired to be the best they can be.

Portfolio: Bringing to the world a portfolio of quality beverage brands that anticipate and

satisfy people's desires and needs.

Partners: Nurturing a winning network of customers and suppliers, together we create

mutual, enduring value.

Planet: Being a responsible citizen that makes a difference by helping build and support

sustainable communities.

Profit: Maximizing long-term return to shareowners while being mindful of our overall

responsibilities.

Coca-Cola is guided by shared values that both the employees as individuals and the

Company will live by; the values being:

LEADERSHIP: The courage to shape a better future PASSION: Committed in heart and mind INTEGRITY: Be real ACCOUNTABILITY: If it is to be, its up to me COLLABORATION: Leverage collective genius INNOVATION: Seek, imagine, create, delight QUALITY:What we do, we do well


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Fig 2: VISION FOR SUSTAINABLE GROWTH


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CHAPTER 2COMPETITORS


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COMPITITORS TO HCCBPLThe competitors to the products of the company mainly lie in the non-alcoholic beverage industry

consisting of juices and soft drinks.

The key competitors in the industry are as follows:

PepsiCo: The PepsiCo challenge, to keep up with archrival, the Coca-Cola Companynever ends for the World's # 2, carbonated soft-drink maker. The company's soft

drinks include Pepsi, Mountain Dew, and Slice. Cola is not the company's only

beverage; PepsiCo sells Tropicana orange juice brands, Gatorade sports drink, and

Aquafina water.

PepsiCo also sells Dole juices and Lipton ready-to-drink tea. PepsiCo and Coca-

Cola hold together, a market share of 95% out of which 60.8% is held by Coca-Cola

and the rest belongs to Pepsi.

Nestl: Nestle does not give that tough a competition to Coca-Cola as it mainly dealswith milk products, Baby foods and Chocolates. But the iced tea that is Nestea which

has been introduced into the market by Nestle provides a considerable amount of

competition to the products of the Company. Iced tea is one of the closest substitutes

to the Colas as it is a thirst quencher and it is healthier when compared to fizz drinks.

The flavored milk products also have become substitutes to the products of the

company due to growing health awareness among people.

Dabur: Dabur in India, is one of the most trusted brands as it has been operating eversince times and people have laid all their trust in the Company and the products of the

Company. Apart from food products, Dabur has introduced into the market Real Juice

which is packaged fresh fruit juice. These products give a strong competition to Maaza

and the latest product Minute Maid Pulpy Orange.


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CUSTOMERAs coca cola has a wide range of products. Its customer also varies according to taste and

preference. Coca cola is also available in can of 330ml which targets the upper income

class and their sale is also confined in those particular places.

Coca cola is available in cola, lemon, orange and juice flavor, accordinglycustomers have choice for. Among the products of coca cola Thumps-up has lead the way

with 45% of market share Fanta stands third after Mirinda.

Coca Cola Company has wide range of customers that falls under the distribution

channels of marketing. Customers may be CNF, distributor, retailers to final customers,

which are households.


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Organizational Chart of Hindustan Coca Cola Beverages Pvt. Ltd.

Fig.3 Organizational Chart Of HCCBPL, Pune

AGM

Manager(Production &

Maint.)

ProductionExecutive

Manufacturing

MainteneceExecutive

Lab InchargeChemist

Manager (HR) Exective/ Staff Office Staff

Sales Manager Executive /Staff Worker

FinanceManager Exective Office

Marketing Op.Manager Executive

Office

ManagerQ.A Chemist ETP Operator Worker


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ORGANIGATION STRUCTURE

Fig. 4 Organizational Structure

Cheif Executive

OffIcer

Vice Precident

Supply Chain

Cheif Finance

Officer

Human Resource

Director

Vice Precident

BSG

Regional Vice

Precident

(North)

Regional Vice

Precident(Central)


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ORGANIZATION STRUCTURE IN COCA-COLA, INIDA

Fig. 5 Organizational Structure In Coca-Cola, India

Region VisePresident

AGM Unit 1

AGM Unit 2

AGM Unit3

AGM Unit 4

Region Finance

Region Human

Resource

Region CustomerService

Region External

Affairs

Region Cold Drink

Region Legal

Region BSG

Region DirectorManager


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ORGANIZATION STRUCTURE OF THE SALES DEPARTMENT IN HCCBPL

Fig.6 Organization Structure of the Sales Department In HCCBPL, Pune

AGM

Plant Manager

Route To Market

Human ResourceManager

FiananceManager

Genral SalesManager

Area SalesManager

Sales Executive

Maret Develo

Dristribution ASalesman

Cahnnel Manager

Marketing

Accounts

Area CapabilityManager

Sales Trainers


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CHAPTER 3

THEORATICAL

BACKGROUND


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SEGMENTATION MODEL

Fig. 7 Segmentation Model


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Outlet Structure of the Coca Cola in India

The outlets can be classified as per three criteria:

Consumption Pattern Volume Pattern Shoppers Profile

SEGEMENT

A) Eating & Drinking

B) Convenience

C) Grocery

A) Eating &Drinking: Those outlets where people visit to ear of drink are known and eating anddrinking outlets. Such as Restaurants and Hotels, Dhabas.

B) Convenience: Convenience outlets ate those outlets where people visit regularly for various

purposes like stationary shop, S.T.D Booth, Betal Shop and general Store.

C) Grocery: Those outlets where people visit to purchase food grains and any of such things forfuture consumption and called as Grocery shops.

Based on Volume Pattern

According to the volume sale in the outlets the company has adopted a unique policy of

categorizing the outlets in four different segments such as:

DIAMOND GOLD SILVER BRONZE


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DIAMOND: Those outlets, which give an annual sale of Coca - Cola products more than 800

carats.

GOLD:Those outlets, which give an annual sale of Coca - Cola products more than 500 to799

carats.

SILVER:Those outlets, which give an annual sale of Coca - Cola products between 200 to 499

carats.

BRONZE: Those outlets, which give an annual sale of Coca':-Cola products less than 200

carats.

WHAT IS MARKET EXECUTION?

Execution of market means placement of company products at the sales counter with appropriate

activation demand.

In the above definition the term placement and marketing are very important. Placement in

market execution is entirely different from marketing. In marketing, planning a product holds a

much broad meaning while in marketing execution it refers to putting the products to those sales

counters where the probability of market acceptability is very high. Right placement of productensures its avability to the target customers in one hand while on other it provides the company

fair expected sales

Marketing demands now days are specifying their place day by day by getting popular

among the retailers and distributors. Marketing elements means those marketing materials that

help the retailers to display the product and look wise attract the busy and hurried customer to

pick out few seconds to look out them and thus getting noticed for example tabletop, flanges,

posters, bottle stands, etc.

Providing marketing element help the product in one or more ways at the time ofexecution. One has to look both the prospective customers as well as retailers.When you put a

product at an sells counter the retailer at the store level want the product to be advertise so

customer visiting the outlet will notice and buy. Thus it helps the retailers to push the product

towards the customers and attract he local customer to try the product i.e. product getting sold.

Coca-Cola use RED (Right Execution Daily) for market execution all over India.


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WHAT IS RED( RIGHT EXECUTION DAILY)?

1. CONCEPT OF RED:

Hindustan coca cola Beverages Pvt.Ltd. India division Under Eurasia Operating Group has been

working on RED i.e. Right Execution Daily Since FEB 2006.

RED (Right Execution Daily) is defined as tool to measure the performance of the distributor in

the outlet by setting up some standards and parameters of execution.

Coca cola company believes that its success depends on their ability to connect with

consumer by providing them with a wide variety of choices to meet their desire, needs and

lifestyles choices, company success further depends on the ability of their people by execute

effectively every day.

2.MEET COCA COLA CUSTOMER:

Worldwide the coca cola company is no.1 in sales of sparkling Beverages & juices Drink, as well

as no. 2 in sales of soft Drink & no 3 in sales of Bottled Water. Its our customers that are largely

responsible for this unrelenting success.

Who are the customers?Coca cola customers are grocery stores, restaurants, streets, vendors, mass merchandisers,

conveniences stores drug stores, movie theaters, & amusement parks-among others.

What do they do!Coca cola customer sells its products to consumers & shoppers, who enjoy the products at a rate

of 1.5 billion servings a day.

Why is their role important?Coca cola customers make it possible for consumer & shoppers in local communities around the

world to purchase & its broad purchase & enjoy its broad portfolio of quality beverages.


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1. Market segmentation under RED.

Coca cola companys market can be segmented in RED along 3 lines- channel cluster, outlet

volume and locality income.

Number of shoppers or consumer in the given universe

Coca cola attract the population by executing the following activities.

Bringing the cooler at the entrance. Fixing the standee, sign at the entrance. Fixing the combo Board at the entrance.\

How coca induce for the incident?

BY putting cooler in prime position.

By keeping the cooler pure & clean. By doing Rack Display. By fixing combo Board. By doing Table activation. Counter Top Display.

Outlet Activation According to RED (Right Execution daily)

RED (Right Execution Daily): It means to maintain the visional according to a fix set of coke

product which is known as COLOJ-K, it means the set will follow a particular brand order.

Thums-Up will take first place after t.4.at sprite or Limca , Fanta, Maaza and water or soda will

take this RED also take care of the S.G.A ( Sells Generating Assets) Activation - Activation

means doing things in and around the coke outlet that triggers Consumption / Purchase of Coca-

Cola Products.

The important parts of activation are:

Placement of visicooler at Itot spot location availability of the products. Right location of display racers Impactful Communication of price message


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The visicooler standards of all the channels

Low Medium High

Diamond 20c/s 20c/s 20c/s

Gold 7c/s 9c/s 9c/s

Silver 4c/s 4c/s 7c/s

Bronze Ice Box Ice Box Ice Box

To measure the impact of Right Execution Daily (RED) a survey is done by A.C. Nielsen (a

consultant) every month. A.C. Nielsen conducts a survey by visiting all the RED activated outlets

and benchmarks it on the prescribed Merchandising standards of RED. A monthly report is send

to Hindustan Coca- Cola Beverages Private Limited. The report is called as To create the Red

Report A.C. Nielsen asks a set of question from the retailers which are as follows:

Related to Visicooler:

Is Cooler in the Hot Spot Location? Does it have all the products of Coca-Cola available? Is the display of the Coca-Cola display of the products in a standard such as sprite, Thums

up, Maaza, Fanta and Limca",)

Is cooler working properly? Is the cooler pure?

Related to Price Communication:

Is there proper price display of the products?

Related to product availability:

All the brands should be present in the every distribution channel but main concern is that300 ml should be present in the every channel and 600 m1 and 1.5 liters per bottles should

be present in the Eating and. drinking, convenience and Grocery shop.


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CHAPTER 4

RESEARCH

METHODOLOGY


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RESEARCH METHODOLGY

1) The primary data has been conducted by way ofQuestionnaire directly withthe grocery retailers, convenience store managers and eating and drinking.

2) Sample Area: Pune3) Sample size: 250 outlets

Total No. of respondents: 400

4) Total number of questions for questionnaire: 9Type ofQuestions: Close ended questions

5) Samples that have been chosen are specifically retailers of coca- colabeverages.

6) The responses have been cumulated to acquire demand analysis from thesample outlets via non random sampling.

7) The data then collected has been projected in form of pie charts.SOURCES OF DATA COLLECTION

The data are collected from primary and secondary sources.

PRIMARY SOURCESyGather information through Questionnaire.yDirect interview with Grocery outlet, Convenience store, and Eating and drinking .

SECONDARY SOURCES1. Internet Sites - www.Coca-Cola.com,

www.wikipedia.com,

www.coca-colaindia.com

2. Activation booklet of the coca-cola.3. RED tracker of the market developer.4. Magazines - BusinessWorld Management and Technology


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LIMITATIONS

Although all efforts have been taken to make the results of survey as accurate as possible but the

survey suffers from the following limitations:

The time period of study was only for two month so it was not possible to cover allthe areas and go into the depth of the problem and make analysis.

The area of survey was Pune district and it was concentrated on urban area only. The psychological condition varies from place to place because in many places

outlet owner was not supportive.

The training was carried on in the peak season so market developer was not sosupportive.

Some respondents left some of the questions unanswered either due to inability toput a strain on mind or they did not know the answer.

OBSERVATION

To collect order each and every outlet. To check visi-cooler with 100% purity. To see a soft drink in Brand Order. To see every outlet is this soft drink present in display rack. To see every outlet visicooler will present in prime location. To visit every outlet in regular basis. To go every outlet and listen any problems in visicooler and soft drink to be noted in

complained diary.

To see each and every outlet worked in better condition. To see as a Market developer (M.D) every outlet full fill in terms and conditions with

visi-Cooler.

To see as a Market developer (M.D.) if any outlet will not selling your product thanyou asked why you are not selling in my product. Then you give advice to outlet.


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PROBLEM

Lack of pure visicooler .Purity level is worse condition because lean season. During lean season there is lack of special offer to promote selling. Availability standard in outlet is not according to terms and conditions of the company. There is number of unsatisfied red outlet with admission . Pepsico product is main competitor in market. In most outlet kinley water and soda is least preferred brand.


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CHAPTER 5

ANALYSIS


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DATA ANALYSIS

Questionnaire

Outlet Type: E & D Grocery Convenience

Outlet Owner: ................ Location: ..

MD Name : . Contact NO

1. Distribution of Visi cooler in the market7vc- 105, 9vc- 110, 11vc- 21, 20vc- 14

,

INTERPRETATION: In 250, 105 outlets prefer 7Ltrs visi cooler, 110 outlets prefer 9Ltrs.

visi cooler, 21 prefer11Ltrs. visi cooler and only 14 prefer 2oLtrs visi cooler.

105

110

21

14

VISI COOLAR

7VC

9VC

11VC

20VC


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2. Volume wise distributionDiamond-57, Gold- 56, Silver- 130, Bronze-7

INTERPRETATION: The volume wise distribution of sales in which 57 is in diamond category,

56 in gold category, 130 in silver category and only 7 in bronze category.

57

56

130

7

VOLUME WISE DISTRIBUTION

DIAMOND

GOLD

SILVER

BRONZE


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3.Number of outlet located at prime position?PRIME POSITION 167 NOT ON PRIME POSITION 83

INTERPRETATION: Out of 250 outlets 167 outlets are on prime position where as 83 are not on

prime position.

167

83

0 0

PRI E POSITION

PRIME POSITION

NOT ON PRIME POSITION


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4. Distribution of trade channelConvenience- 206 Grocery- 16 E&D- 28

INTERPRETATION: From the 250 outlets 206 outlets are the convenience, 16 are Grocery

and 28 are eating and drinking.

206

16

280

TRADE CHANNEL

CONVENIENCE

GROCERY

Eating &

Drinking


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5.Number of outlet need glass order demandGlass order demand required- 221 No Glass order demand required- 29

INTERPRETATION: From 250 outlets 221 outlet are not able to make stock of glass bottles

whereas only 29 outlets where able to make the stock of glass bottles.

221

290 0

GLASS ORDER DEMAND

GLASS ORDER DEMAND

REQURIED

GLASS ORDER DEMAND NOT

REQURIED


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6.Number of outlets having purity?Pure- 172 Unpure-78

INTERPRETATION: From 250 outlets, I found 172 outlets were pure while 78 were unpure

outlets.

172

78 0 0

PURITY LEVEL

PURE

UNPURE


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FINDINGS

42% of outlets are having 7Ltrs. visi cooler, 44% of the total outlets having 9Ltrs. visicooler, 8.4% outlets have 11Ltrs.visi cooler, and only 5.6% outlets have 20Ltrs. visi

cooler.

52% market covers under the silver categories whereas remaining 22.3%, 22.4%, 2.8% areunder diamond, gold, and bronze respectively.

66.8% of outlets are at prime position where as 33.2% outlets are not at prime positionwhere consumer can see our product and choose as per there need.

82.4% outlets are convenience store, 11.2% are under the Eating & Drinking and remainunder 6.4% are glossary shop.

88.4% outlets dont have a sufficient number GOD that they can create stock pileaccording to the visi coolers provided to them and 11.6% are those outlets which have

sufficient number of GOD.

68.8% of visited outlet, visi cooler are pure i.e. in visi cooler only the product of Coca colaare placed and 31.2% of outlets dont keep visi cooler pure.


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SUGGESTION

We must visit all RED outlets where the activation elements are missing and it must beactivated immediately.

We must visit all those outlets and arrange the product according to COLOJ-K where areproducts are not placed in the visi cooler according to COLOJ-K.

All the MD needs to visit all the red outlets regularly to keep the visi cooler pure. Prime position of outlets enhances the visibility of the product which help consumer to choose

the product and sometimes it influences the customers to switch over from similar product.

We should try the increase sell of outlets so that maximum outlets convert into upgrade class. We need to put effort to increase the required number of GOD as per the visi cooler size that

they can keep 3day stock to meet the demand.


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CHAPTER 6

CONCLUSION


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Conclusion

Coca-Cola is the leading soft drink brand in Pune region & most selling brand in theregion is Thumps Up, Sprite and Maaza.

According to most of the outlet owners the product which is seen is sold i.e. "Jo DikhtaHaiWoh Bikta Hai".

Prime position of Visi-cooler outside the outlet plays an important role in the selection ofthe soft drink by customer.

Few activation elements like Table Top, Glow Shine Board, Hanger; Road Stand plays amajor role in increasing sell of the soft drink.

Supply of product as well as stock keeping unit is not up to the mark.

Recommendation


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We can sum the recommendations in brief as follows:

Regular visit to distributors Sales promotion and advertising to be made more frequent for brand building . Communications should be improved. Fulfill the Demand of product by company . In the

fields sales situation. Sales persons work independently and away from the office .

Sales reports provide data for evaluating performance. Company should make plans for better performance to the sales man. Company should be implementing the customers suggestions and complaints about

products, service policies, price changes, advertising companies etc.

Company should gather information of competitors activities. Transportation conferstime utility and place utility to the product. It determines the companys customer service;

it has also crucial bearing on the other elements of physical distribution and marketing.


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CHAPTER 7

QUESTIONNAIRE


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QUESTIONNAIRE

Outlet Owner: ................ Location:

..

Contact Number: .

1. Outlet Name.

2. Marketing Developer Name

3. What size will you prefer for Visi Cooler? 7vc 9vc 11vc 20vc

4. How would you categorize your outlet?DiamondGoldSilverBronze

5. Is outlet at the prime location?Yes [ ] No [ ]6. Our products reach the customers through which trade channel?

Connivance [ ]

Grocery [ ]

Eating & Drinking [ ]

7. Does the outlets need Glass Order demand?Yes [ ] No [ ]

8. Is Outlet Pure?Yes [ ] No [ ]

9. Are you satisfied with the profits that you earn through the sales of our products?Yes [ ] No [ ]


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BIBILOGRAPHY

Reference:

Books Authors

Marketing Research :Malhotra Naresh

Marketing Management :Kotler Philip

Research Methodology :Kothari C. R.

Websites :

www.quickmba.com

www.indiacom.com

www.yellowpages.com

www.coca-colaindia.com


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Market execution In Hidustan Coca Cola Pvt. Ltd Pune

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