Marketing Strategies of Coca Cola India Ltd

8/13/2019 Marketing Strategies of Coca Cola India Ltd

1/70

A

Project Report

On

Marketing strategies of coca cola India ltd.

Submitted to the fulfilment of requirement for Post Graduate

Diploma in Management to the GNIT College of Management,

Greater Noida, Gautam Budh Nagar (U.P.)

Submitted To: Submitted By:Mr Himanshu Mittal PRAVEEN KUMAR(Faculty Guide) ID No: 111038

PGDM(2011-13)


2/70

CERTIFICATE

This is to certify that Mr. Praveen Kumar ID no. 111038 a student of

PGDM has worked on Marketing strategies of coca cola India ltd.

in IV semester to the fulfillment of requirement for the programme.

This is his/her original work to the best of my knowledge.

Date:

Signature Name of Faculty

Mr. Himanshu Mittal


3/70

ACKNOWLEDGEMENT

The project Marketing strategies of coca cola India has been conductedby me I have

completed this project, based on the Primary research, under the guidance of my faculty

guide. Mr. Himanshu Mittal

I owe enormous intellectual debt towards my guide who has augmented my knowledge in

the field of Marketing Research they have helped me learn about the process and giving mevaluable insight into the various MR practices

.I would like to thank all the respondents without whose cooperation my study would not

have been possible.

Last but not the least, I feel indebted to all those persons and organizations that have

provided helped directly or indirectly in successful completion of this study.

Date Praveen Kumar

ID No. 111038


4/70

STUDENTS DECLARATION

I hereby declare that Project report entitled Marketing

strategies of coca cola India ltd..submitted for the partial

fulfillment of the requirements for the award of PGDM is the

outcome of original study undertaken by me.

Date: Praveen Kumar

Place:


5/70

TABLE OF CONTENTS

Preface

Acknowledgement

Introduction

Coca Colas Strategy to Reach Increased Number of Customers

Coca Cola India - Our Vision

Objectives of the Study

Research Methodology

Survey Terminology

Market Promotion Analysis

Findings & Analysis

Bibliography

Conclusion

Explanation

Limitations


6/70


7/70

OBJECTIVES OF THE STUDY

In this study an effort has been to several factors which need to be taken due consideration

to adhere to the advertising, sales promotion and various sales influencing factors of the

soft drink market.

In the fast changing competitive as well as economic scenario all around the world and the

domestic front, the main objective of the study are:-

To study the promotional policies of the beverage companies onto various highways.

Study the comparative adds promotion by Coke in respect to Pepsi.

Analysis regarding displays set up on the highways by the companies in order to induce

the sales.

Study for designing the budget requirement of the company for the coming year mainly

focusing marketing of the product.

Basically survey on the type of promotional setback faced by their product not

representing up to mark performance.


8/70

INDUSTRIAL PROFILE

Present soft drink boon in India was attributed to the legacy of Coca Cola, which was there

in INDIA till 1977. In todays market the Coca-Cola (Coke, Thumps Up, Fanta, Limca,

Sprite, Vanilla Coke, etc.) hold a 62% market share that appears to bear concentrated rush

to beg a big share in the soft drink market.

Various national & multinational firms are engaged in soft drink market due to increase in

its demand day by day. As far as INDIA soft drink market is concerned there are major

companys engaged having a big completion to capture the soft drink market are namely

Coca-Cola & Pepsi. While Campa Cola & many local colas still notice in the Indian

Market.

Pepsi Cola attacked Coca-Cola before World War II. Coca Cola dominated the American

soft drink industry, Pepsi cola was a drink less to manufactures & with a less satisfactory

taste then Coke. Where as Coca-Cola major selling point was more drink for the same price

and Pepsi emphasized on advertising.

During World War II Pepsi & Coke both enjoyed increased sale. After the war Pepsi sale

was started to fall relatively to Coke, resulting the Coca-Cola had starting to click the

Market share. A number of factory contributed to Pepsi problem were poor image, poor

taskforce, poor quality control etc.


9/70

At that point Alfred.N.Steeler came to the presidency of Pepsi cola with a great reputation

for merchandising. He and his staff recognized that the main hope lay transforming Pepsi

from a cheap imitator of Coke into a class on soft drink manufacturer.

By 1955 all Pepsis major weakness had been overcome, resulting sales had climbed

substantially. These actions from 1955 to 1960 led to a considerable sales growth for Pepsi.

In India another company engaged in soft drink market is Coca-Cola. It is one of the most

widely known, accepted and admired trademarks of the world. Coca-Cola was there in

India till 1977, when the Indian Government banned it due to strong resentment against

multinational companys Coca-Cola was re-launched again in India in September 1993 at

HATHRAS near Agra. The India people welcomed the comeback of their most loved

Cola in the country with great enthusiasm and vigor.

Coca-Cola marked its re-launching with acquiring five Parley drinks viz. Thumps Up, Gold

Spot, Limca, Citra, Maaza, Soda.

Soft drink industry is one of the fastest growing industries in India. The basic idea

behind the rapid growth of this industry is due to following reasons:

1. The great corporate war between Coke & Pepsi, who left no stone unturned, for

monopolizing the India Soft Drink market.

2. The basic ideology of these two giants is to promote soft drinks as a food item in

India hold.

3. The long hot summers in India have increased the consumption of soft drinks.


10/70

COMPANY PROFILE

Keeping in view of tapping the Indian soft drink market and also developing soft drinks as

a drinking product among Indians. The Coca-Cola in India has setup an independent

organizations which is H.C.C & B.C.C with a capital of 350 U.S.$ each by virtue of sellout

decision of the passed managing director Sh. S. C. Aggarwal.

Hindustan Coca-Cola bottling (N-W) Pvt. Ltd. Najibabad took the complete possession of

this plant, land, machinery, & intellectuals on February 14 1998 and since then H.C.C,

looking after all its affairs under company owned bottling plant to establish integrated

marketing system in the area.

In 1999 the company opened up the new bottling plant at DASNA in Ghaziabad Distt. This

plant has more sophisticated equipments, then the plant at Najibabad.


11/70

CORE BRANDS IN INDIA
http://www.coca-colaindia.com/brands/brands_coca_cola.html


12/70

CORE BRANDS:

Coca-Cola: Developed in a brass pot in 1886, coca-cola is the most recognized and

admired trademark around the globe. Not to mention the

best selling soft drink in the world.

Sprite: In 1961, a citrus-flavored drink made its U.S debut, using Sprite Boy as

inspiration for its name. This elf with silver hair and a big smile was used in 1940s

advertising for Coca-Cola. Sprite is now the fastest growing major soft drink in U.S and

the worlds most popular lemon-lime soft drink.

Fanta : The name fanta was first registered as a trademark in Germany in 1941

,when it was used for a few year for a soft drink created from available materials and

flavors . The name was then revived in 1955 in Naples, Italy, when it was used for the:

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

drinks around the world.

Diet coke: The extension of the coca-cola name began in 1982 with the introduction of

diet coke (also called coca-cola light in some countries). Diet coke quickly become the

numberone selling lowcalorie soft drink in the world.


13/70

BRAND IN INDIAN ORIGIN

GOLD SPOT: this orange carbonate soft drink was introduce in the early 1950c, and

acquired by the coca-cola company in 1993, its tangy taste has been popular with Indian

teenagers

LIMCA: It is thirst-quenching beverage features a fresh and light lemon-lime taste and

lighthearted attitude. The limca brand was introduced in 1971 and acquired by the coca-

cola company in 1993.

MAAZA: Maaza, launched in 1984 and acquired by the coca-cola company in 1993, is a

non carbonated mango soft drink with a rich, juict & natural mango taste.

THUMPS UP: in 1993, the coca-cola company acquired this brand, which was originally

introduced in 1977. Its strong and fizzy taste makes it unique carbonated Indian cola.


14/70

BRAND IN INDIAN


15/70

ADVERTISEMENT AND PUNCH LINE OF COCA-COLA

1936 - Its The Refreshing Thing To Do.

1942 - Its The Real Thing .

1943 - Global High Sign.

1959 - Be Really Refreshed.

1962 - Thing Go Better With Coke.

1969 - Its the Real Thing.

1970 - I`D Like To Buy The World A Coke .

1976 - Coke Add Life .

1982 - Coke Is It .

1986 - Catch The Wave.


16/70

1989 - You Cant Beatthe Feeling.

1993 - Always Coca-Cola

1998 - Eat Music, Sleep Music, And Drink

OnlyCoca-Cola.

1999 - Jo Chaho Ho Jaye Coca-Cola Enjoy.

2000 - I Want Hritik And I Want Coke.

2002 - Thanda Matlab Coca-Cola

2003 - Jiyo Thanda Piyo Thanda .

2008 - Aaaj Tu Jashan Manna Le

2012 - Open Happiness


17/70

ABOUT COCA-COLA

1. The worlds largest spherical coca-cola sign is in Nagoya, Japan a top the dial

Nagoya building in front of the Nagoya railway station. The sing is a double

sphere constructed from more then 46 tone of steel, more 940meter of neon

tubing, and more then, 879 light bulbs. The outer shape features the coca-cola logo

and contour bottle, while the inner sphere portrays a comic scene with twinkling

planets and stars.

2. One of the worlds largest signs for coca-cola is located on a hill called

ELHACHA in America, Chile. It is 400 feet wide and 131 feet high a nd is made

from 70,000, 26 ounce bottles.

3. The first out door paint sign advertising coca-cola still exists. It was painted in

1894 in Cartersville, Georgia.

4. Coca-cola is one of the worlds most recognizable trademarks recognized in

countries that account for 98 percent of the worlds population.

5. If all the coca-cola ever produced were in 8- ounce bottles. And these bottles were

distributed to each person in the world. There would be 678 bottles or over 42

gallons for each person.


18/70

6. If all the coca-cola ever produced were in 8 ounce bottles, placed side by side

and end to end to from a lane highway, it would wrap around the earth 82 times.

7. If all the coca-cola ever produced were flowing over Niagara fall at its normal rate

of 105 million gallons per second instead of water, the falls would flow for about a

day and a half 38 hours and 46 minutes.

8. the largest representation of the worlds best known package 100 foot tall glass

contour bottle is located at world of coca-cola, LAS VEGAS


19/70

HISTORY

Jon Styth Pemberton first introduced the refreshing taste of Coca-Cola in Atlanta, Georgia

it was May 1861 when the pharmacist concocted a caramel colored syrup in threelegged

brass kettle in his backyard. He first distributed the new product by carrying Coca-Cola in a

jug cown enjoys in a glass of Coca-Cola at the soda fountain. Whether by design or

accident, carbonated water was teamed with the new syrup, producing a drink that was

proclaimed Delicious and Refreshing.

Dr. Pembertons Partner and bookkeeper, Mr. Frank Robinson, suggested the name

and penned as Coca-Cola in the unique flowing script that is still famous worldwide

today.

Dr. Pembertons sold 25 gallons of syrup, shipped in bright Red wooden kegs. Red

has been a distinctive color associated with the No.1 soft drink brand ever since. For his

efforts, Dr. Pemberton grossed $ 50 and spent $ 73.96 on advertising, by 1891, Atlanta

chemist as a G.Canler had acquired complete ownership of the Coca-Cola business.

He purchases it from the Dr.Pemberton family for $ 2300. With in 4 year his merchandising

flair helped to expand the consumption of Coca-Cola to over $25 million.

Robert W. woodruff become the president of the Coca-Cola company in 1923 and his more

than six decades of leadership took the business of commercial success making Coca-Cola

an institution the world over. Coca-Cola begins as a never tonic, but candy merchant Joseph

A. Biedenharn of Mississippi was looking for awry to serve refreshing beverages. He

responded to this demand began offering bottle Coca-Cola using syrup shipped from

Atlanta, during a hot summer in 1894.


20/70

HISTORY IN INDIA

The coca-cola company reintroduced coca-cola in India on October 23, 1993, after an

absence of 16 years.

The coca-cola company received approval from the government in July 1996 to set up a

holding company to invest US $ 700 million in downstream operation of beverages

In July 1997 the holding company was permitted by the government to

operationally its bottling subsidiaries.

The bottling subsidiary currently owns and operates twenty-six bottling plants and

sixty distribution centers across India. In addition, it uses 20 contract packers to augment its

production capacity and cater to the increasing demand for its wide portfolio of beverage.


21/70

YOUR HEALTH AND OUR BEVERAGES

There is growing confusion about what constitutes a health diet. With so mush conflicting

information available about health and nutrition, it can be very difficult to determine what

is accurate and what is not.

The truth is that soft drink and beverages have a place in a healthy lifestyle. A healthy diet

incorporates the basic principles of variety, balance and moderation without sacrificing

enjoyment.

HEALTH AND OUR BEVERAGES --- THE FACTS

Soft drinks do not contribute to diabetes.

The caffeine and phosphoric acid in soft drinks does not affect bone health

The sugar in soft drinks does not cause children to be hyperactive.

The consumption of soft drinks has not affected calcium consumption.

Sugar consumption has not been shown to cause obesity.

The amount of sugar and calories in soft drinks is about the same as many fruit

juices


22/70

COCA-COLA INDIA-OUR VISION

Provide exceptional strategic leadership on the Coca-Cola India system, resulting in

customer preference and loyalty, through Coca-Colas commitment to them and in a highly

profitable Coca-Cola corporate branded beverages system.

THE COCA-COLA-MISSION

THE BEST GLOBAL COMPANY

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

accomplishes the mission by working with its business partners to deliver satisfaction and

values to its customers, through world wide system of superior brands and services, thus

increasing brand equity on a global basis, create consumer products, services and

communications, customer service and bottling strategies, process and tools in order to

create competitive advantage and deliver superior value.


23/70

COCA COLAS

GLOBALIZATION STRATEGIES

The Coca Cola Company is global player and approximately 70 percent of its volume and

80 percent of its profit come from outside the United State Of America. Although it was

perceived as a standardized brand across the world, Coca Cola had been quietly fine turning

its international marketing strategies to suit the needs of individual national markets. Only

the brands Coca-Cola, Sprite and Fanta were marketed globally. In Latin American and

Europe, where a heavy consumer preferred existed for lemon lime and orange sodas. Coke

had developed a wide range of formulations and flavors to cater the needs of different

countries. In Indonesia Coke had been selling pineapple and banana flavored sodas which

had been carefully developed to suit local preferences. In Japan, Coca-Cola had added a

coffee drink called Georgia and energy healthy drink named Aquarius to its product line. In

India, the Coca-Cola Company acquired the brands Limca, Maaza and Thums Up in 1993.

SOFT DRINK PENETRATION IN THE UK

VIS-A-VIS INDIA

CSDpenetration in Britain, a nation of 58 million, is almost 100 percent . there is nowhere

that marketers can go with their cans. Compare this to India , an emerging market of 1

billion people where penetration at national level is 13% . in rural India, it is less than 5%.


24/70

The per capita consumption of soft drinks (calculated as litres of soft drink per head per

year) in the UK is 203 while in India it has moved to nearly 7 from less than 1 pre-1990.

there is plenty of room still for an upsurge since this level is lower than other emerging

economies in South Asia, such as Pakistan at 19, Srilanka at 23, the Philippnes at 175 and

Thailand at 100.

AFFORDABILITY: A KEY ISSUE IN INDIA

Affordability is the primary reason behind the low penetration of CSDs in India. They

attract high taxes, being treated as luxury goods by the Indian government. This makes

them one of the most expensive impulse foods for single serve consumption vis--vis others

in the same category like chocolates, biscuits, ice-creams and wafers, all of which have a

much lower entry price point. This makes CSDs unaffordable to a vast majority of Indian

consumers, a country with per capita income of

$300

This apart, CSD consumption is extremely seasonal, skewed to summer and mainly outside

the home. Since a large proportion of women are confined to home, soft drink penetration

among women is much lower also , India with long spells of scorching heat has problems

with cooling infrastructure. fast moving consumer goods outlets in India, soft drink outlets

make up less than one third, many of whom dont own electrical cooling equipment.


25/70

MORE FIZZ IN INDIA THAN IN THE UK

The low penetration of CSDs in India presents a huge opportunity for Coca-Cola and Pepsi

(these are the only two beverage companies in India) to grow the category. Coke , for

certain ,is pushing the brand in emerging markets like India and China rather than in mature

markets like the UK. For instance in India, both are focused on extending distribution into

rural regions. This explains why they spent millions of rupees introducing smaller packs,

200ml bottles, at a cheaper price. Developing low cost home packs and creating numerous

occasions to drink CSDs are also part of the new strategy.

CSD GROWTH CHART: INDIA

The soft drinks market in India has registered significant growth rates after the liberazation

of the economy in the early 90s . this phase of liberalization brought PepsiCo to Indias

shores in the 1989 and Coca-Cola for the second time in 1993. (it had exited from the

country in 1977 when the then socialist government obliged foreign companies to shed

majority stakes in favour of growth , in healthy double digits , through the first half of the

90s but has declined to single digit level in the last few years. Thi s is due to three reasons:

the general economic slowdown, frequent price increases in the last 3 years and the

emergence of cheaper alternatives such as powdered concentrates and bottled water.

COKE& PEPSI IN INDIA: A BRUISING COLA WAR

Coke and Pepsi together spend 40 million pounds annually in outdoing one another. Even

though the potential of carbonated drink is enormous in India, coke is not banking on CSDs


26/70

alone to fuel growth. A lessonwell learn from developed markets like the UK. It has entered

new areas like kinley water , Georgia tea and coffee and its Sun fill dilutable drink.

These are its biggest growth engines in India at the moment. In fact, from single-serve

water bottles, Coke has now moved into the 20-litre home packs, which has given it

substantial market share. It is number two in the water business next only to the home-

grown Bisleri.

Pepsi , like its counterpart in the UK, has been a laggard in this respect. Even though it has

launched Aquafina water in India , Pepsi does not seem to be pushing it. It has no presence

in the dilutable category.

But in contrast to the UK, the Pepsi brand has a huge presence in India , both in volume and

brand image. In fact, its exemplary marketing acumen took it ahead of Coke in the early

days and , even today, Pepsi and Coke are running neek and neck in cola shares-explaining

the high pitch cola war on the Indian soil.


27/70

RESEARCH METHODOLOGY

Research Methodology is a way to systematically solve the problem.

It may be understood as a science of studying how research is done scientifically. In it we

study the various steps that are generally adopted by the researcher in studying his research

problem along with logic behind them . it is necessary for the researcher to know not only

the research methods/techniques but also the methodology used. Researchers not only need

to know how to develop certain indices or tests , how to calculate mean or median or mode,

how to apply particular research techniques but must also know which of these methods or

techniques are relevant and what would they mean and indicate and why.

Research process consists of series of actions or steps necessary to effectively

carry out the research.

RESEARCH DESIGN:

The function of research design is to provide for collection of relevant evidence with

minimal expenditure of time effort and money. I followed the census method as I did daily

route riding along with the executives and the salesmen. I got opportunity to meet and

interact with each one of the retailers and closely came to know specific need of the

promotion of Coca-Cola in the market as a whole. I covered the distribution area under

highways at Lucknow, Nawab Ganj and little area of Kanpur.

region. Under the supervision I got number of relevant data from on spot inspection and

personal observation.


28/70

METHODS OF DATA COLLECTION:

Observation and interaction with the retailers provided me in depth knowledge about the

availability of changes in promotional items provided by Pepsi and Coca-Cola by the

distributors. I collected all vital data from the outlets visits and survey during my summer

training and which would be of high consideration regarding the designing of the coming

years marketing budget by the Coca-Cola Company.

The survey sheet was instantaneously equipped of data duly observed by me and in a

systematic manner. The data thus inculcated is through Primary Source by Personal

Interviews, Enquiries and Observation. The responses thus received were also encouraging

on my behalf and as well as the company.

1.) MARKETING RESEARCH OBJECTIVES:

a.) To undertake a market study to know the Coca-Cola promotion

on the highways.

b.) Comparative sales promotion (accessories) analysis with regard

to Pepsi and Coca-Cola.

2. TYPE OF STUDY : EXPLORATORY

3. RESEARCH AREA : LUCKNOW


29/70

4 SOURCE OF INFORMATION : (PRIMARY)

In this type of data collection mode the interviem\wer uses the wording and order that

seems most appropriate in the context of each interview. These interviews are useful in

obtaining a clearer understanding of the problem and determining what areas should be

investigated.

5 DATA COLLECTION INSTRUMENT :

(SURVEY SHEET)

There are several ways of collecting the information considerably in the context of money

costs, time and other resoueces at the disposal of the researcher.

I collected data for my project work through the medium of Survey Sheets

In this method I got the prepared sheets from the company comprising of relevant questions

related with my project. Then I contacted respondents on their shops along with the sheets

for collecting the information.

6.) RESEARCH APPROACH: (SURVEY METHOD)


30/70

7.) SAMPLING PLAN:

Sample design is a definite plan determined before any data are actually collected for

obtaining a sample for a given population. The sample design to be used must be decided

by the researcher taking into consideration the nature of inquiry and other related factors.

I have paid attention on the following points while designing the sample:

a) Target population

b) Sample Unit

c) Sampling Size

d) Sampling Method

a). TARGET POPULATION:

the population of the study consisted of retailers and dealers. Target population was taken

from the city of Lucknow.


31/70

b). SAMPLING UNIT:

Random sampling was chosen that is where any outlet of the whole population was likely

to be selected as any other outlet that is all the outlets of the population have equal chances.

Shops pursuing promotional tools (both dealers and retailers) in Lucknow city.

c). SAMPLE SIZE:

a total of 200 shops were observed from the Lucknow city.

d). SAMPLING METHOD: Purposive Sampling


32/70

THE DATA REGARDING:

How the accessories can be acquired ?

When the accessories did come into distribution channelling?

Were the retailers informed on the distribution?

What encouraged them to posses the accessories?

Are they enjoying back up from the company for promotional activities?

5. The time constraint was also prevalent as there was not abundant time for a detail study

to be conducted among the retailers and dealers.

6. The financial limitations could also be felt as the funding regarding the survey was not

subjected which lead to a lack in an in-depth study to be undertaken.


33/70

HR Executive

MARKETING MANAGER

ORGANISTION STRUCTURE

Department Sales

Business Unit head

Market Unit Head

Unit Head

Territory Development Manager

Accounts Development Coordinator

Customer Executives

Department Personal

DepartmentMarketing

Coordinator

Department FinanceUnit Finance Controller

Financial services manager


34/70

MARKETING MIX & STRATEGY

Marketing mix of any organization consists of 4 Ps i.e. Product, price, place and

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

cocacola the information about all the 4 P`s that can be available to me is given here:

PRODUCT: Product mix of coca-cola consists of the various brand packs and flavor

given in the table. Product strategy of the coca-cola is to promote all brands available in the

brand packs and to introduce the product in new flavor is also introduced.

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

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

as that of its major competitor or the market leader.

PLACE: The coca-cola company in India is governed from its corporate office located at

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

zones arenorth zone , eastern zone , westernzone , southern zone and Andhra Pradesh

zone . These zones are divided in to various. Plant, which govern the area assigned to them.

The area is the various distribution centers called distributors and C&F agents. Then come

the retailers / customer for the companys product,

They receive good from distributor and c&f agent. Finally consumer is there, having the

product from the consumers shops or delivered to their home, it is more clearly visible


35/70

through this chart. The coca-cola company, which gave its reach to the mouth of billion of

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

Speed at which coca-cola has widened its business is really amazing. Distribution network

is the biggest strength of the company.

PROMOTION: this past of the marketing is playing a very vital and important role in

the current situation in India . Looking at the competition and promotion and advertising

budget of both the companies coca-cola and Pepsi, one can easily estimate the importance

of this. The promotion mix of coca-cola is divided in to top line promotion and below the

line promotion.

Top line promotion includes the promotion designed and done by the companys

corporate office of gurgaon and the office of Bombay T.V ads , design of banner , and

other p-s done by the company simultaneously all around India with no difference in

designs etc fall in this category . Below the line promotion includes the promotion

schemes, publicity material, POS display done by the company from zonal, plant, sale

manager and area sales manager level. At the sales manager and area sales manager level

the promotion done exclusively for the cities in their respective area and other POS

display.


36/70


37/70

COCA-COLA :

Coca-Cola is the most popular and biggest selling soft drink in history, as well as the best

known product in the world . created in Atlanta, Georgia by Dr. John S. Pemberton, Coca-

Cola was first offered as a fountain beverage by mixing Coca-Cola syrup with Carbonated

water. Coca-Cola was registered as a trademark in 1895. Coca-Cola was being sold in every

state and territory in the United States. In 1899, the Co. began franchised bottling

operations in the United States.

Today, you can find Coca-Cola in virtually every part of the world and the Coca-Cola

Co. has more than 230 beverages to its portfolio.


38/70

DIET COKE

Looking good and tasting great

Diet Coke was born in 1982 and quickly became the No.1 sugar free drink in diet

conscious America, known as Diet Coke in the U.S., Canada, Australia and Great

Britain and as Coca-Cola light in other countries, its now the No.3 soft drink in the

world. Its the drink for people who want no calories, but plenty of taste. Ad campa igns

around the world for diet coke share a playful, sophisticated and sexy attitude.

Visit our Audio/Video-center to witness how the Diet Coke north American ad

campaign celebrates the real and human attributes that make people alluring in the eyes

of others.


39/70

FANTA:

The Coca-Cola Co. acquired a favorite in Europe since the 1940s, Fanta in 1960. Fanta

Orange is the core flavor, representing about 70% of sales, but other citrus and fruit

flavors have their own solid fan base.

Consumers around the world, particularly teens, fondly associate FANTA with

happiness and special times with friends and family. This positive imagery is driven by

the brands fun, playful personality, which goes hand in hand with the bright color

(particularly orange), bold fruit taste, and tingly carbonation. Fanta sells best in Brazil,

Germany, Spain, Japan, Italy and Argentina. Fanta distribution was increased in the

U.S. in 2001 with the return of four flavor : Orange, strawberry, pineapple and grape.

Orange, the biggest seller, is now available in most of the country.


40/70

LIMCA:

Light and Lemony

This thirst quenching beverage features a fresh, light lemon-lime taste and fun-loving

attitude. Its a homegrown, national treasure in India, where the Coca-Cola Co. acquired

it in 1993. the products invigoration taste and cloudy look havent changed, but the

brand has been revitalized with a new marketing campaign. Limca continues to build a

loyal following among young adults who love the lighthearted way it compliments the

best moments of their lives. Its also become a hit in many Persian Gulf countries. Grab

a Limca and go.
http://www.coca-colaindia.com/brands/brands_limca.html


41/70

MAAZA:

yaari Dosti Taaza Maaza

with the real fruits taste kids love, plus added calcium, Maazas tagline, Yaari-Dosti

Taaza Maaza means Friendship moments with fresh Maazain Hindi. Maaza was

introduced in India in 1984 as a no carbonated mango fruit drink. It was acquired by the

Coca-Cola Co. in 1993 and is currently available in three flavors, mango, pineapple and

orange plus added calcium.
http://www.coca-colaindia.com/brands/brands_maaza.html


42/70

SPRITE:

Clear, crisp, refreshing.

Introduced in 1960, Sprite is the worlds leading lemon lime flavored soft drink.

sprite is sold in more than 190 countries and ranks as the No.4 soft drink worldwide,

with a strong appeal to young people. Millions of people enjoy Sprite because of its

crisp, clean taste that really quenches your thirst. But also has an honest,

straightforward attitude about things that sets it apart from other soft drinks. Sprite

encourages you to be true to who you are and to obey your thirst.
http://www.coca-colaindia.com/brands/brands_sprite.html


43/70

THUMPS UP:

Strong Cola Taste, exciting personality:

Thumps Up is the leading carbonated soft drink and most trusted brand in India,

originally introduced in 1977, it was acquired by the Coca-Cola Co. in 1993. it 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.

0
http://www.coca-colaindia.com/brands/brands_thums_up.html


44/70

COMMITMENT TOWARDS INDIAN BRANDS

Coca-Cola India (CCI ) has implemented aggressive strategies for all the five brands

acquired from Parle. The strategies adopted are in concern with the long term plans of

Coca-Cola India. The Coca-Cola Co. is the worlds largest beverage Co. and is the leading

producer and marketer of soft drink. The Co. markets 4 of the worlds top 5 brands,

including Diet Coke, Fanta Sprite.

As the 200ml returnable Glass Bottle (RGB) has become the popular package size of the

Indian Carbonated soft Drink Industry. Thumps-up and limca are now available in 200ml

RGB, 300ml RGB, 500mlPET, 2lt PET, 330mlcans thus , along with Coca-Cola and Fanta,

the Indian consumer has a choice of 4 brands in cans. Collectively, the choice in package

sizes available to consumers is now wider than ever before. This has also generated

incremental volume growth at the retail level adding positively to the per capita

consumption in the country.

While thumps Up has always been Indias leading Carbonated soft drinks, Limca is the No.

1 brand in the cloudy lemon segment. From 1993 till date, inputs in both the brands ran the

gamut in advertising to packaging, raising brand awareness to unprecedented levels. The

investment in acquiring these brands and the proceeding inputs there in has seen these

brands grow admirably. While Thumps-up has grown over 50% over the last 3Yrs , Limca

has grown over 20%.Thumps-Up recorded a phenomenal growth of 54% in the Mumbai

market in March 1997, the first month of the launch of the new logo. The new logo that has


45/70

a strong streak of blue speed lines adding a powerful element of speed and adventure was

featured on 500ml refillable thunder Pack bottles. Research conducted by research

International in Mumbai showed that 84% of Thumps-Up consumers preferred the new

logo to the old one.


46/70

COCA-COLAS: CREATIVITY IN ADVERTISIMENT

COCA-COLA:

Thanda Matlab Coca-Cola

This ad is creative in the sense that, while enjoying they can use the word Coca-Cola in

the place of Thanda.The word thanda has been made to be synonymous to Coca-Cola.

The Ad is made to target the common people who wish to quench their thirst by just asking

for any brand instead of Coca-Cola. While doing such they may extend their taste, behavior

$preference towards Coca-Cola. The main theme of this slogan is to make the brand

common for every person and at every time.


47/70

THUMPS UP:

taste the thunder

This advertisement is also creative. The slogan itself refers the thundering idea. It

challenges the teenagers for the taste. It is well known the todays youth want to do

something extraordinary. They

want to show themselves superior. So company is exploiting the mentality of todays youth

that the product is for them who want to accept the challenges.

SPRITE:

dekhave pena jao apni akal lagao

The creative advertisement refers that dont go on exposure. Try to go on rationality. It

made for those people who want to do their work by their own opinion and taste.

Now a days everything is full of exposure that is made to attract the people and such type of

products always give the dissatisfaction among the people. Therefore the worlds biggest

soft drink company has made a product for the man who doesnt try to go on exposureand

who always believe in rationality i.e. sprite.


48/70

LIMCA:

just ! Take it Easy

It is well known that lemon in used to over come the stress as well as it helps in digesting.

Regarding this truth Coca-Cola made its product Limca, to follow the principle of lemon.

To refers that if someone is in the depth of stress and strain and he want to refresh himself,

he must go on lemon flavor, Limca is the best.

COCA-COLA INDIA-OUR VISION

Provide exceptional strategic leadership on the Coca-Cola India system, resulting in

consumer and customer preference and loyalty, through Coca-Colas commitment to them

and in a highly profitable Coca-Cola corporate branded beverages system.


49/70

THE COCA-COLA MISSION

THE BEST GLOBAL COMPANY

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

accomplishes the mission by working with its business partners to deliver satisfaction and

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

services, thus increasing brand equity on a global basis, create customer products, services

and communications, customer service and bottling strategies, process and tools in order to

create competitive advantage and deliver superior value.

HIGHWAY ANALYSIS

An indigenous effort on the behalf of the surveyor in order to be very cautious while

collection of the raw data that is of primary nature of promotion at highways.

This highway is a part of the study undertaken on the behalf of the Coca-Cola Co. in

order to help it design out its next coming years marketing and advertising are

performed in order to capture the psychological attention of the passed by in order to

refresh them.


50/70

The study is thereby based on the primary data collected at various refreshing outlets

being covered on the major highways ofLucknow and Kanpur region. It is basically a

comparative study between the two major Colagiants-PEPSI and Coke.

The two major routes being covered during my survey on the project are:

KANPUR

LUCKNOW

SURVEY TERMINOGY

(1) SHOP NAME : Name of the Outlet.

(2) AREA : Route break- through being covered.(Market Area Studied)

(3) GSB : Glow Sign Board.

(4)DPS : Dealer Printed Sign Board.

(5) COUNTERS : Metallic/Wooden Counters With Companys Printing.

(6) TABLE-CHAIR : Molded Furniture along Umbrellas various restaurants.

(7) WALL-PAINTING: Outlet containing Co. painting on the wall for

promotion.

(8) SGA : Sales Generating Assets.*Refrigerator. * Ice

Boxes

(9) RACK : Various types of racks holding the display of

the companys product.


51/70

MARKET PROMOTION ANALYSIS

The research approach being followed in Lucknow Market was regarding the supervision of

various outlets, which is one of the major consumable highways. There was a special

inspection done onto the statistical need of various sales promoting accessories being

provided to the retailers.

The distributing unit covers the over all supply to the market with his efficient sales force

in application. The unit here has a daily requirement of 550 carets of 200ml &300mlof

Coke, ThumpsUp, Fanta, Limca and Sprite. Whereas the pet consumption is concerned the

scenario is:-

500 ml65 packs.

2 ltr. - 30 packs.

1ltr. - 70 packs (Kinley- Distilled Water)

# LIMCA being the most demanded range of soft drink.


52/70

TABLE-1

Various consolidated figures representing the share of both COCA-COLA and PEPSI on

Lucknow to Kanpur Highway.

CATEGORY COCA-COLA PEPSI

GSB 8 20

DPS 7 18

COUNTER 9 23

TABLE-CHAIR &UMBRELLA

2 7

WALL PAINTING 13 35

SGA 35 43

RACK 18 24

Total Number of outlets: 71

Major Areas covered under Area:

Vikash Nager Road (market).

Aliganj.

Kapur Thala Crossing.

Hajrat Ganj.

.Char Baag

Alem Baag.

Navab Ganj.

Kanpur.


53/70

TABLE-II

Similar consolidated data in respect of the market share of both COCA-COLA and PEPSI

on Alem Baag (Bus Stop) to.Kanpur

CATEGORY COCA-COLA PEPSI

GSB 83 67

DPS 23 15

COUNTER 39 42

TABLE-CHAIR &UMBRELLA

11 6

WALL PAINTING 59 41

SGA 64 53

RACK 73 61

Total Number of outlets : 121

Major Areas covered under this Highway:

Manak Nagar.

Amoshi Air Port.

Sanik Nager.

Kushumbhi.

Uanow.

Kanpur.


54/70

GLOW SING BOARD

The study here revealed that usually the outlets had GSBs distribution at a large scale but

they did not cover the entire area. Coca-Cola though had a good promotional share but

Pepsi was not far behind and also gave a challenging stand. Being an era that did not had an

outstanding exposure the outlets were of small entity and were provided with the GSB.

COCA-COLA 83

PEPSI 67


55/70


56/70

COUNTERS:-

During the study it was observed that over the entire the market region under this category

the COCA-cola CO. FELL BEHIND Pepsi and also the total distribution was not even .

many of the outlets were at commercial places that induced the framework of their own

private interior where there is no scope of counters. They are most needed at Pan Bhandar,

Juice Corner or Sweet Shop which are rarely big consumption units.

COCA-COLA 39

PEPSI 42


57/70

TABLE- CHAIR- UMBRELLA:-

While covering the entire area it was very surprising to know that the companies had no

satisfactory performance out there . Coca-Cola having plant over this route also did not lay

any outstanding effort. This category resembled a very meager growth here and hardly

makes any sense providing it to such places where you cannot bring about any difference in

the promotion of the product.

COCA-COLA 11

PEPSI 6


58/70

WALL PAINTING :

On the survey duration it was observed that in such areas where after every (5-7) a new

small started, where we generally know that people follow signs & painted advertisement.

Thus a close stand by Pepsi was seen and the outlets experienced mostly either Coca-Cola

or Pepsi. But the share of it could not be seen much as the people are already aware of both

the enterprises.

COCA-COLA 59

PEPSI 41


59/70

SALES GENERATING ASSET:-

They are the assets being categorized, which play a vital role in preservation of the products

refrigerators or iceboxes. Many of the outlets do had them in abundance but others had to

only feed upon one of them. This being the most essential requirement for outlet one who

stocks soft drinks as no one is going to purchase a hot one. A handsome distribution follow

onto the outlets can be seen which also sometimes make people aware of advertising being

done through this source.

COCA-COLA 64

PEPSI 53


60/70

RACKS:-

The entire survey dealt with the distribution of accessories, which are one of the essential

ones to have an impressive promotional outlay. Among the best reviewed one was racks

which have been provided at non-accountable reason, which shows that people may place it

at & mark as symbol promotional induction to the retailers.

COCA-COLA 73

PEPSI 61

They compete vigorously, and at the same time they cooperate smartly with their strategic

partners in their supply and distribution chain.

Every company has a set of department to viewing it as a system for managing core

process. Company must manage and master such basic process order generation to order

fulfillment.

In modern marketing discipline mass market are fragmenting in micro- market, multiple

distribution channel are replacing single channel, price discounting and sales promotion.

Designing the best marketing mix To make a sale there is growing emphasis on designing

the best relationship mix for winning and keeping customer. Good customer are an asset


61/70

which, when will managed and served, will return a handsome lifetime income stream to

Co.

Relationship marketing is not only a company drives to bond better with their consumer.

Companies also develop mutually profitable relationships with their retailer, supplier and

distributor. If the Co. squeezes its retailer profit unduly, it forces too much product on

distributor the Co. will fail. Smart companies check & balance with their supplier and

distributor in the drive to better serve their ultimate customer.

And marketing, at its best goes beyond meeting existing customer needs. Good company

will meet needs; and great companies will create a market.


62/70

GLOW SIGN BOARD:-

Being a small market equipped of various small shops and cool corners they mostly

possessed the GSBs. while at some big outlets there may be 2 or more. Taking into

consideration this market Pepsi has a high competitive share with Coca-Cola, which need to

be taken care of.

DEALER PRINTED SIGN BOARD:-

Many of the outlets were provided the DPSs while the market promotional activities had

been conducted. Pepsi though behind Coca-Cola in this category had not lead down much

emphasis on it. Usually found at bigger outlets that do bulk stocking of the product as the

companys advertising is being featured on it .

0

10

20

30

40

COCA-

COLA

PEPSI NONE

GSB


63/70

COUNTERS:-

Both Pepsi as well as Coca-Cola go hand in hand under this criterion. On regular basis the

counters of Coca-Cola were distributed earlier and Pepsi made its distribution later, which

was observed as a result that the later ones seemed new. The counters do add to the outlets

initial impact at the consumer, which attracts him to make the purchase.

TABLE- CHAIR-UMBRELLA :-

In the market of Hajrat Ganj Market theres a limited scope for these accessories as they

are found mostly at open air restaurants having large premises. The restaurants here are not

much sophisticated with gardens or compounds having place to put in Umbrellas, etc. also a

0

5

10

15

20

25

30

COCA-

COLA

PEPSI NONE

COUNTER

0

10

20

30

40

COCA-COLA

PEPSI NONE

DPS


64/70

major share of the market is left untouched by such provisions that may flourish in near

future.

WALL-PAINTING:-

Various sweets corners and cooling points at the market bore it. Recently Coca-Cola

revived the entire market painting and turned the whole market in red. Thus , at various

Pepsi outlets even the retailers got their display and walls painted red with Coca-Colas

advertisements.

SALES GENERATING ASSET:-

there is high demand of refrigerators by the retailers, as they want to have an increase in the

number of SGAs to stock more. BothCoca-Cola and Pepsi had already provided each at

0

10

20

30

40

50

COCA-

COLA

PEPSI NONE

TABLE-CHAIR &

UMBRELLA

0

10

20

30

40

COCA-

COLA

PEPSI NONE

WALL PAINTING


65/70

their respective corners. Under this segment both of them have near about stand this being

one of the basic necessities.

RACK:-

Under this category its Pepsi who has taken the lead as a result of their recently organized

rack distribution scheme. The retailers in return had to purchase additional stock for display

on the racks in turn of PET bottles. They do play a major role in the display of the product

outside the cool corners and helps in attracting the consumers

.

0

10

20

30

COCA-

COLA

PEPSI NONE

SGA

0

10

20

30

COCA-

COLA

PEPSI NONE

RACK


66/70

LIMITATIONS

The HIGHWAY SURVEY being conducted as the project work under Hindustan Coca-

Cola Beverages Pvt. Ltd. Mainly dealt with the following limitations:-

1. The survey report that was conducted had a pre-defined boundation of

interviewing the retail outlet owners. Its based on simple observational

analysis which may lead to deflection at the time of conclusion arrival.

2. The survey sheet being designed had a limited scope of primary data

coverage only. It did not take into consideration the other availability of


67/70

supply and Co ground on which it decided upon the provision of

distribution of the promotional accessories.

4 During the entire survey the retailers willingness for acquiring the

accessories in accordance with the schemes followed with them could not

be noticed. This could be one of the reasons of the non-appropriate

promotional efforts in making an awareness

among the customers


68/70

CONCLUSION

2) The various retailer had an enormous demand for better GSBs and in many cases of

DPS for a better, impressive outlet look to attract consumers.

3) The endless demand of visicoolers in order to store large quantity of stock as a part

of marketing and distribution promotional function of the company is studied

therein.

4) The steady flow of the companys promotional accessories could be felt irrespective

of the consumption of the outlets of the product. For example: racks, counters, sign

boards, etc.

5) In a competitive environment the company got to study the schemes of their closest

rivals, which they followed and in return fulfilled, the needs regarding their outlets

set up.

6) Timely check up of the proper usage of the Cos assets (SGA) being made as well

as their malfunctioning is rectified.

7) Misuse of the Coca-Cola SGAs should be brought into consideration as a retailers,

stock, other companies, stock and depreciate the demand of the source company.

8) The archrivals product study can be entertained from the retailers and the privilege

on their part is known which helps in formulation of better marketing promotional

schemes

9) Pepsis regular stockholders be traced and break up by providing motivational

introductory offers enhancing the market capture.


69/70

10)Coca-Cola should try to make arrangements so that the marketing representatives

would visit the retail outlets regularly and try to solve the retailers, as well as the

distributors, problems which they usually face during the peak season.

11)Better efficient sales representatives be appointed to update the retailers about the

schemes in comparison to Pepsi. This would encourage a curiosity regarding the

Coca-Cola schemes among them.

The complaints of the retailers be studied and paid attention of the highest degree to ensure

better market capturing.


70/70

BIBLIOGRAPHY

BOOKS

Kothari Philip, Marketing Management, Prentice Hall India, New Delhi.

Kothari C.R, Research Methodology, Wishwa Prakashan, New Delhi.

NEWSPAPERS

The Times of India

Business Times

Economic Times

WEBSITES

www.cocacola.com.

www.google.com

www.coca-colaindia.com
http://www.cocacola.com/http://www.cocacola.com/http://www.google.com/http://www.google.com/http://www.coca-colaindia.com/http://www.coca-colaindia.com/http://www.coca-colaindia.com/http://www.google.com/http://www.cocacola.com/

Marketing Strategies of Coca Cola India Ltd

Documents

Transcript of Marketing Strategies of Coca Cola India Ltd