Escolar Documentos
Profissional Documentos
Cultura Documentos
Now a days throat cut competition in cold drink market taking place in India. The
companies like Pepsi is trying their best to improve the quality and increase the expenditure
Throughout this project report, Researcher intend to find out the retailers perception
about the PEPSI. The study attempt to analyze what retailers think about the PEPSI. In this
project have attempted to meet directly with the retailers to know about the market of
PEPSI,
From 1976 till 1990 all the soft drink in India were indigenous i.e. they were Indian
brands. Since 1976, the period when the soft drinks market was dominated by parle and
other regional brands. The brands of parle were Thums up. Limca, Gold spot, Citra, Maaza.
Other soft drinks were Campa cola, Campa orange, Lemon, Mc Dowels, Thrill, Sprint,
Crush, & Mc Dowells soda. Modern food industries (govt. of India undertakings) has a
product “77”. At the same time various regional soft drink brand played an independent role
Pepsi-Cola was first made in New Bern, North Carolina in the United States in the early
1890 by pharmacist Caleb Bradham. In 1898, “Brand’s drink” was changed to “Pepsi-Cola”
and later trademarked on June 16, 1903. there are several theories on the origin of the word
“Pepsi”.
The Coca-Cola company entered in India in the year 1950 wit bottling plants in
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In 1950 when the company entered Indian market it have no problem establishing
itself as there was negligible competition offered by the Indian companies and soon it
captured the market. Coca Cola captured about 50% of Indian market but due to certain
The second inning of Coca Cola in the Indian market started in the air 1993 when
our country adopted the policy of liberalization and globalization. Coca- Cola lunched in
As millions of rural Indians reach for a cold soft drink in the hottest summer in years,
Coca-Cola India seems to have discovered the consumers who could rescue its dismal sales
record. Coca-Cola India totally misjudged rural India, home to two-thirds of the country's 1
Yet as the country side emerges as the fastest-growing source of demand for
consumer products, the local arm of the US soft drinks giant seems to have learnt its lesson.
"We were just not addressing the masses, that were the problem," says Mr. Sanjeev Gupta,
The company's new strategy of smaller bottles, price cuts and advertising that
straddles cities and villages pushed turnover last year up by a quarter to nearly Rs.5000
crore. And Thumbs Up, a local brand that Coca-Cola bought and then ran down, is also
recovering spectacularly. The success of Thumbs Up, whose market share is now roughly
equal to that of marker leader Pepsi at 23 percent, is an embarrassment for Coca-Cola, which
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is in third place with 16.5 percent (from 12 percent three years ago) in India's Rs.8000 crore
soft drinks market. Coca-Cola returned to India after being kicked out by the government in
Market leader, Thumbs Up, and tried to kill it off in the mistaken belief that this would pave
the way for Coca-Cola's rise. Extravagance, unoptimistic and naive reading of the market
and mismanagement of its new bottling assets led Coca-Cola to write down Rs.2000 crore of
its Indian assets in 2000. The greatest indignity is that India is one of the few markets where
"Coca-Cola came in blazing but mishandled itself and Thumbs Up. That makes its
recovery all the more remarkable." says Mr. C Srinivasan, chairman of business consultant
AT Kearney India. Coca-Cola's Indian management, now stable after recent flurry of
departures, persuaded the US parent to persist with India, and won $100 m to fix problems
such as poor distribution. Its Atlanta headquarters was won over because of India's potential.
India's per capita consumption of carbonated drinks is less than hall the level in Pakistan and
about 8 percent of China's. Mr. Gupta argued that closing the gap would only come by
"We had to address the 75 percent (that lives in rural areas) and not just the 25
percent (in cities) and that meant using small-pack innovations," says Mr. Gupta. "The only
consumer goods companies that make it in India are those that sell micro-sized products at
low prices."
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Coca-Cola's 200 ml bottle (down from 300 ml) sells for Rs.7, half the price of a
"low margin, high volume" strategy. Coca-Cola had to shrink its ballooning costs,
while raising output in a market growing at just 8-9 percent per year. Coca-Cola added 30
assembly lines, including five plants; cut costly staff; revamped transport; shrunk Bottles
and made them lighter and packed in smaller crates to increase a truck's carrying capacity;
added distributors and expanded the number of outlets in towns and villages by a fifth to
about 1 m. Coca-Cola's aim was to "lock in" retailers in villages of at least 1,000 people
connected to usable roads. One method was to help those with no savings or access to
formal credit to buy their costliest asset: a fridge. The company negotiated big discounts
from fridge producers, placing an order equivalent to two months' output of the domestic
fridge industry. Discounts were passed on to the retailers, cutting the average purchase price
Finally, Coca-Cola dumped a global advertising campaign that was irrelevant to the
Indian market and adopted one featuring Bollywood stars. "The campaign is finally
speaking to the right market." says marketing consultant Mr. Jagdeep Kapoor. The adverts
also loudly proclaimed the Rs.5 price benchmark, meaning retailers could not overcharge.
A glance at the 1999 Annual Report of The Coca-Cola Company leaves you with a
strong impression of two words that seem to be very deeply-etched in every statement made
by the company - 'Consumer* and 'Localization'. The Chairman Douglas Daft states in his
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address to shareholders that, " If there's one thing that I've learned in my 30 years at Coca
Cola it is - Think locally and act locally." Coca -Cola's localization drive appears to be
partly spurred by the adverse impact on the image of the company, due to the various issues
that cropped up last year in different parts of the world. Like the product contamination in
Belgium and France, the problems with regulators in Europe, the racial discrimination
In a recent article in The Financial Times, Mr. Daft talks of how Coca-Cola whose
basic success emanated from its strength of being a 'multi-local' business relying heavily on
the insight of local business partners, quite forgot the secret of its success and veered on the
path of centralization. He has staled in this article that Coca-Cola wandered off the right
path and endured a year of dramatic setback, by ignoring the changing global scenario and
continuing to believe that a strategy that was once successful will always yield results. As
The puts it "As the Century was drawing to a close, the world had changed, and we
had not. The world was demanding greater flexibility, responsiveness and local sensitivity,
while we were further centralizing decision making, standardizing practices and were
The company in the 80's and 90's had focused on centralizing its operations for
enabling effective management of a vast global enterprise that was being spread over 200
countries. It has now woken up to the fact that the world is changing very fast today and that
a localized management that can quickly respond to the challenges and needs of the relevant
market will be critical to success, rather than a unified management at the center. And that is
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precisely what Coca-Cola has set out to do. It appears to be handing out a greater degree of
of operations. It has decided to cut jobs and convert itself into a leaner structure. In
India too, the complex holding structure has been broken down and converted into a
simplified structure. A single holding company Hindustan Coca-Cola Holdings Pvt. Ltd and
bottling subsidiaries of Coca Cola and that of Schweppes now operate in India. The parent
has performed a comprehensive review of its Indian bottling operations and has announced
that it will be writing off $400mn worth of assets in India in the first quarter of this year.
The meeting hosted last week by the company to update investors on its business
strategies and outlook for the future also sang the same tune of how members of the global
Coca-Cola management team are implementing their "Think Local Act Local" philosophy.
consumption of non alcoholic beverages and the Coca-Cola brands in every country. This
will be achieved through an intense focus on consumers, communities, customers, the Coca-
Cola system and Coca-Cola people. The Consumer focus strategy involves using innovative
and tailored marketing programs\ based on local consumer insights to enable the company to
keep growing. "We want to ensure that we have a tailored nonalcoholic beverage portfolio in
every community that touches consumers in locally relevant ways." states the annual Report
of the company. It gives the example of the company's innovative marketing strategy in
India, which leveraged on the Diwali Festival and the entrenched family values in the Indian
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"The 21st Century has taught us one important powerful lesson - that the next big
Marketing mix of any organization consists of 4 P's i.e. product, price, place and
promotion having its own significance, which varies from one organization to the other. In
Coca-Cola the information about all the 4 P's that can be available to me is given here:
PRODUCT:-
Product mix of Coca-Cola consists of the various brand packs and flavors given in
the table. Product strategy of the Coca-Cola is to promote all the brands available in all the
brands packs and to introduce the product in new flavors and. even new product. Regarding
this Kinley soda is introduced. Fanta in green apple flavor is also introduced.
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
PLACE:
The Coca-Cola Company in India is governed from its corporate office located at
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zones covering whole India these zones are: - Northern zone, Eastern zone, Western
zone, Southern zone and Andhra Pradesh zone. These zones are divided in to various, plants,
which govern the area assigned to them. The areas are the various distribution centers called
distributors and C&F agents. Then comes the retailers/customer for the company's product,
they receive goods from distributors and C&F agents. Finally consumer is there, having the
product from the customer's shops or delivered to their home, it is more clearly visible
through this chart. The Coca-Cola Company, which gave its reach to the mouth of billions of
people all around the world having a wide distribution, network. In India, the pace and speed
at which Coca-Cola has widened its business is really amazing. Distribution network is the
PROMOTION:
This part of the marketing is playing a very vital and important role in the current
situation in India. Looking at the competition and promotion and advertising budget of both
the companies coca cola and Pepsi, one can easily estimate the importance of this. The
Top line promotion includes the promotion designed and done by the company's
corporate office of Gurgaon and the office of Bombay TV ads, design of banners, and other
POS 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, sales manager and
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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.
Since there is only one major competitor of the Coca – Cola i.e. Pepsi. There is
Pepsi Cola, Headquartered N.Y., is the refreshment beverage unit of Pepsi Co.
Beverages and Foods, a division of Pepsi Co. Inc. Pepsi Co. Beverages and Foods at North
America also comprise Pepsi Co`s Tropicana, Gato\rade and Quaker Foods businesses in the
number one brand of bottled water in the United States, Dole single serve juices and some,
which offers a wide range of drinks with herbal ingredients. The company also makes and
markets North America’s best-selling, ready to drink iced teas and coffees via joint venture
Pepsi Co, Inc. is one of the world’s largest food and beverage companies. The
• Frito-Lay snacks
• Pepsi-Cola beverages
• Tropicana juices
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Pepsi Co Inc. was founded in 1965 through the merger of Pepsi-Cola and Frito-Lay.
Tropicana was acquired in 1998. In 21001 Pepsi Co merged with the QUAKER Oats
Company, creating the world’s fifth largest food and Beverage Company, with 15 brands-
each generating more than $1million in annual retail sales. Pepsi Co's success is the result of
superior products, high standards of performance, distinctive competitive strategies and the
Soft drink business is built on two pillars - Brands and Distribution. We present below
1. Branding
2. Valuation of brands
3. Distribution.
5. Marketing
1. BRANDING
intended to identify the goods or services of one seller or group of sellers and to differentiate
A Trade mark is "a brand or a part of brand that is given legal protection because it is
Manufacturers/ distributors use brand names for a variety of reasons from simple
identification purposes to having legal protection for unique features of the products from
imitations and
help consumers recognize certain quality parameters. In some cases, brands are just
used to endow the product with unique story and character which itself can be a basis for
product differentiation.
While brands can represent all types of goods or entities, they have special
importance for products. Brand equities are stronger in soft drink products as the consumer
is reluctant to try unknown brands/ unbranded products for the following reasons
Successful brands generate strong cash flows, which enable the owner of the brand
Soft drink companies spends enormous sums on building a brand equity by way of
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- advertisements/publicity
Advertisement and promotion can induce trials but for sustained loyalty, the
manufacturer has to offer superior quality and value for money. Most successful brands are
development work. Major players invest in R&D on their existing brands and improve the
2. VALUATION OF BRANDS:
product with a brand versus a product without a brand name or with weaker brand name.
Brand valuation is a complex process and involves a lot of subjectivity. There are no
widely accepted techniques of brand valuation. There are several considerations which
• Prevent damage to existing brands. Many a times stiff competition results in price
cutting, aggressive promotions, lower margins for all the competing brands.
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Value of an acquired brand:
In case of an acquired brand, price paid for the brand over and above the value of
tangible assets, represents value of the brand. For accounting purposes consideration paid
Goodwill
Some of the popular methods for valuation of brands are discussed below
Pert technique -Brands based on following factors. It gives scores on each factor
and values the brand as multiple of sales/ earnings based on the aggregate score.
Cost basis - The valuation is done by aggregating all costs incurred on a brand from
the conception stage. These costs include market survey, research & development, launch
and subsequent advertising expenditures. These costs are adjusted for inflation and present
values are calculated. Then adjustments are made to provide for discount in case of a
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declining trend in the product life cycle or premium in case of ascending trend in market
luMarket vae - Valuation at market price (the best bidder quote) can be at
divergence from the fundamental value of the brand. For instance, a large company may pay
an abnormally high price to protect its major brand or remove a nuisance from the market or
quantifying earnings that can be attributed to the brand and capitalizing these earnings at a
suitable discounting rate. The multiple would depend on several factors such as category
growth prospect, emerging competition and brand's relative position, edge in terms of
3. DISTRIBUTION:
manufacturer's link together to reach their products to the ultimate consumers. Depending on
the product, nature of market and manufacturers' resources/strategy, there can be one or
Manufacturer – Retailers
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Use distribution channels-
There are several benefits for a manufacturer particularly in case of consumer goods
to rely on these marketing intermediaries rather than develop one's own distribution
network.
• Cost advantage most of these intermediaries in India are family owned outfits. Their
• Focus: Manufacturers can concentrate on their core activity and optimize return on
assets.
RETAILING:
In India, there are over 5 million retail outlets dispersed all over the country. The
retailing industry provides employment to over 18mn people. 1 out of every 25 families in
India is engaged in the business of retailing. Ownership and management are predominantly
family controlled. However in sharp contrast to developed countries, unit average size of a
undeveloped. There are no large super market chains/ shopping malls. Consumers are
unwilling to pay a premium for convenience shopping as their counterparts in the western
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countries do. While small chain stores called Apna Bazaars and Sahakan Bhandaars, which
offer products at reasonable prices, have been fairly popular, Department Stores and Food
Stores are slowly gaining popularity. A large number of corporates have recently ventured
into retailing.
- Grocery stores
- Food stores
- Cold chains
The relative share of grocers dropped from over 50% in the early 90's to 35% in the
late 90's. Chemist outlets on the other hand, have been expanding their product range to
include high margin FMCG products from shampoos to ketchup. Pan-wallas are also
is conducted through trade media under player sponsorships. Advertising aims at providing
information about the product arouse demand for the product and emphasize on superior
features of the advertised product over others. Players have to decide on overall
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advertisement budget, message and mode of presentation, type of media, timing etc. They
Promotions are of two types viz. pull promotions where consumers are incentivized
and push promotion where dealers/ retailers are incentivized. There are several forms of
promotion such as distributing free samples, discount coupons, gift offers for consumers and
target based incentives and display schemes etc for retailers. Marketers also sponsor charity
1922 1924
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1925 1926
1935
1939 1942
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Thirst Asks Nothing More
The Only Thing Like Coca-Cola is
Coca-Cola Itself
1948 1949
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Be Really Refreshed
1963 1969
1974 1975
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Look Up America
Look Up America
1976
1978 1979
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Have a Coke and a Smile
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Grocers 34.7%
Cosmetic stores 4.0%
Chemist 6.3%
Food Stores 6.6%
General Stores 14.4%
Pan – stores 17.0%
Others 17.0%
Grocers 55.6%
Cosmetic stores 13.5%
Chemist 3.3%
Others 27.6%
05. MARKETING :
Direct marketing:
can be undertaken in several ways such as mail order, own retail outlets, mobile vans etc. A
increasingly popular. Also gaining ground slowly is E-tailing i.e. selling products through
the internet.
of direct distributors. Independent distributors sell products directly to the consumers and
appoint new distributors and train them. The distributor earns commission at two levels; one
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is his/ her own commission and two a proportion of commission earned by other distributors
appointed by him/ her. None of these distributors are employees of the company.
Distributors are not allowed to sell these products to retailers. The company saves
about 25% of realizations by eliminating retail channel, which is shared with distributors.
The company insists that the distributors should take prior appointment with the
consumer. Personal interaction is not only convenient but adds value as customer get
valuable advice on the product and how to use it .This helps in creating awareness and
popular abroad. In Brazil, about 60% of personal care products are sold through direct
marketing. In India, direct marketing has been slowly growing. Word of mouth has a strong
products. Direct marketing has mainly been undertaken by the new MNC entrants (notably
Oriflame, Avon). Hindustan Lever has also recently launched a new personal product brand
Aviance which is sold directly to consumers exclusively by trained beauty specialists. Direct
marketing has also been extensively used in marketing of household appliances like Vacuum
cleaners. However given the widely spread geographical area in India, direct marketing
cannot be easily used to build an extensive national reach and is more likely to be used as a
supplementary channel.
TEST MARKETING:
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Test marketing refers to testing out product and marketing mix with a small number
of well chosen consumers which are representative of the target segment. Test marketing is
consumers, potential sales and is an effective tool to pre-test alternative marketing plan. In
CONSUMER'S PANELS:
market research, typically for a consideration. Market research agenciand companies try to
panels. The firm estimates trials as well as the repeat purchasing by this method. There are
DISTRIBUTION MANAGEMENT
understanding from both the operational and logistical common operating pictures in order
to dynamically control and synchronize the flow of materiel through the distribution
pipelines, including retrograde and lateral distribution. The last part of the definition -
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retrograde and lateral distribution - is critical to future success and is often overlooked in
distribution management schemes. Our ability to move materiel in any direction through the
pipelines provides an economy of effort that actually becomes a force multiplier. In this
reducing materiel requirements to only those that are needed and by leveraging stockage
geographical area, knowing exactly what you have and where it's located can batremendous
real-time inventory and shipping information across your enterprise, as well as historical
With Frontier, you'll always know your inventory requirements and availability for
every product, at every plant. You can instantly find transit status for parts and finished
goods. Frontier helps you plan more efficient truck loading and shipping routes. You'll also
enjoy shipping and billing that is tightly integrated from the initial sale through Accounts.
control is the distribution manager's ability to rapidly set and change priorities and modes of
dynamically control the delivery of supplies and materiel, we remain at the mercy of the
transportation system and will be forced into the comfort and expense of a stockage-based
supply system.
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DISTRIBUTION MANAGEMENT PRODUCT MODULES
Advanced Forecasting
Advanced Pricing
Agreement Management
Enterprise Facility
BSR-
1. Daily report
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3. Full movement report
4. RG 1
EMPTY-
2. Breakage report
INDIA DIVISION
The Head quarter of India is at Enkay Towers, Udyog Vihar,Gurgaon.Coca Cola became
3rd largest FMCG from zero in India in just 8 years. There are 40 producing units across the
country.
There are 5 regions in India viz., North, South, West, East & Andhra Pradesh.
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The company operates in two types of Bottling operations viz.,
1. COBO (Company Owned Bottling Operations) - In COBO, the Company owns the
are given license by the Company to bottle its products on their behalf.
comprises of Delhi, Western UP, Eastern UP, Jammu & Jaipur units. It has 9 production
units viz, Delhi, Jaipur, Kanpur, Varanasi, Dasna, Mundka Depo, Jammu, Delhi FOBOs &
PRODUCTS OF COMPANY
It has brown colour with high content of C02 (Carbon di-oxide) which makes its
It has dark brown color with very high content of CO2 which makes the Cola flavor
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1. 200 ml glass bottle
It comes in many flavours like orange, with light content of CO2 that makes its make
Limca has light grey colour with light content of CO2 that makes its flavour tasty. It
It is colourless with packing in green coloured bottle. It has normal content of CO2.
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3. 600 ml pet bottle
It is of yellow colour with decent taste of mango. It doesn't contain CO2. Its
Soda- It is colourless & available in market in 300 ml glass bottle in the market’s
questionnaire.
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4. Meeting with different customers of different places to incorporate their views.
society.
7. Gather information from different source like books Internet magazines etc.
8. On the basis of the answers from the customers and the information gathered from
other sources prepare the report, mentioning the necessary changes require in the
existing environment.
IMPORTANCE:
The term “MERCHANDISING” has different meanings for the different people. This is
because it is difficult to limit the scope of this function. But simply “MERCHANDISING”
Can be termed as the planning, buying and the art of selling the merchandise.
The success of any outlet is largely based on the retailer’s ability to provide the right goods
to the consumer, at the right place, at the right time and at right price. The entire process of
creating or procuring a product or service needed by the consumer and ensuring that it
The process of merchandising includes the development of strategies to ensure that the right
product is bought at the right price and is available at the right place, at right time, in right
amount and in that way so that consumer can be attracted towards it. No one in retail can
completely avoid any contact with merchandising activities. Merchandising is the day to day
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As inventory is sold, new stock needs to be purchased, displayed and sold and in today’s
context the display and advertisement is most important part of the merchandising, In
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OBJECTIVES OF THE STUDY
Aims and objectives set forth to conduct this surrey, which help to evaluate the
• To find out popular cold drinks amongst Coca Cola or Pepsi in Agra.
• To find out the factor the consumer consider while purchasing Cold Drinks
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INDUSTRY PROFILE
A soft drink (widely referred to as soda, pop, or soda pop) is a drink that typically contains
no alcohol, though may contain trace amounts ( typically less than 0.5% by volume) and is
usually referred to as a sugary drink. Soft drinks are often carbonated and commonly
consumed while cold and/or room temperature. Some of the most common soft drinks
include cola, flavored water, sparkling water, iced tea, sweet tea, sparkling lemonade (or
other lemon-lime soft drinks), squash, fruit punch, root beer, orange soda, grape soda, cream
The term "soft" is employed in opposition to "hard", i.e. drinks with high alcoholic content
by volume. Generally it is also implied that the drink does not contain milk or other dairy
products. Hot chocolate, hot tea, coffee, tap water, juice and milkshakes also do not fall into
this classification.
Many carbonated soft drinks are optionally available in versions sweetened with sugars or
Soft drinks trace their history back to the mineral waters found in natural springs. Ancient
societies believed that bathing in natural springs and/or drinking mineral waters could cure
many diseases. Early scientists who studied mineral waters included Jābir ibn Hayyān,
Lavoisier, Hermann Boerhaave, William Brownrigg, Gabriel F. Venel, Joseph Black, and
David Macbride.
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The earliest soft drinks were sherbets developed by Arabic chemists and originally served in
the medieval Near East. These were juiced soft drinks made of crushed fruit, herbs, or
flowers. From around 1265, a popular drink known as Dandelion & Burdock appeared in
England, made from fermented dandelion (Taraxacum officinale) and burdock (Arctium
lappa) roots, and is naturally carbonated. The drink (similar to sarsapirilla) is still available
today, but is made with flavorings and carbonated water, since the safrole in the original
The first marketed soft drinks (non-carbonated) in the Western world appeared in the 17th
century. They were made from water and lemon juice sweetened with honey. In 1676, the
Compagnie des Limonadiers of Paris was granted a monopoly for the sale of lemonade soft
drinks. Vendors carried tanks of lemonade on their backs and dispensed cups of the soft
Carbonated drinks
In late 18th century, scientists made important progress in replicating naturally carbonated
mineral waters. In 1767, Englishman Joseph Priestley first discovered a method of infusing
water with carbon dioxide to make carbonated water[5] when he suspended a bowl of
distilled water above a beer vat at a local brewery in Leeds, England. His invention of
carbonated water, (also known as soda water), is the major and defining component of most
soft drinks. Priestley found water thus treated had a pleasant taste, and he offered it to
Water with Fixed Air in which he describes dripping oil of vitriol (or sulfuric acid as it is
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now called) onto chalk to produce carbon dioxide gas, and encouraging the gas to dissolve
Another Englishman, John Mervin Nooth, improved Priestley's design and sold his
apparatus for commercial use in pharmacies. Swedish chemist Torbern Bergman invented a
generating apparatus that made carbonated water from chalk by the use of sulfuric acid.
Swedish chemist Jöns Jacob Berzelius started to add flavors (spices, juices and wine) to
Artificial mineral waters, usually called "soda water," and the soda fountain made the
biggest splash in the United States. Beginning in 1806, Yale chemistry professor Benjamin
Silliman sold soda waters in New Haven, Connecticut. He used a Nooth apparatus to
produce his waters. Businessmen in Philadelphia and New York City also began selling soda
water in the early 1800s. In the 1830s, John Matthews of New York City and John
Lippincott of Philadelphia began manufacturing soda fountains. Both men were successful
The drinking of either natural or artificial mineral water was considered a healthy practice.
The American pharmacists selling mineral waters began to add herbs and chemicals to
unflavored mineral water. They used birch bark (see birch beer), dandelion, sarsaparilla,
fruit extracts, and other substances. Flavorings were also added to improve the taste.
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Pharmacies with soda fountains became a popular part of American culture. Many
Americans frequented the soda fountain on a daily basis. Due to problems in the U.S. glass
industry, bottled drinks were a small portion of the market in the 19th century. (They were
certainly known in England, though. In The Tenant of Wildfell Hall, published in 1848, the
caddish Huntingdon, recovering from months of debauchery, wakes at noon and gulps a
bottle of soda-water.[7]) In America, most soft drinks were dispensed and consumed at a soda
fountain, usually in a drugstore or ice cream parlor. In the early 20th century, sales of bottled
soda increased exponentially. In the second half of the 20th century, canned soft drinks
Over 1,500 U.S. patents were filed for either a cork, cap, or lid for the carbonated drink
bottle tops during the early days of the bottling industry. Carbonated drink bottles are under
a lot of pressure from the gas. Inventors were trying to find the best way to prevent the
carbon dioxide or bubbles from escaping. In 1892, the "Crown Cork Bottle Seal" was
patented by William Painter, a Baltimore machine shop operator. It was the first very
In 1899, the first patent was issued for a glass-blowing machine for the automatic production
of glass bottles. Earlier glass bottles had all been hand-blown. Four years later, the new
bottle-blowing machine was in operation. It was first operated by the inventor, Michael
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Owens, an employee of Libby Glass Company. Within a few years, glass bottle production
During the 1920s, the first "Home-Paks" were invented. "Home-Paks" are the familiar six-
pack cartons made from cardboard. Automatic vending machines also began to appear in the
1920s.
Production
Soft drinks are made either by mixing dry ingredients and/or fresh ingredients (e.g. lemons,
oranges, etc.) with water. Production of soft drinks can be done at factories, or at home.
Soft drinks can be made at home by mixing either a syrup or dry ingredients with carbonated
water. Carbonated water is made using a home carbonation system or by dropping dry ice
Ingredient quality
Of most importance is that the ingredient meets the agreed specification on all major
parameters. This is not only the functional parameter, i.e. the level of the major constituent,
but the level of impurities, the microbiological status and physical parameters such as color,
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PepsiCo is named to the 'Best Companies for Multi Cultural Women' list by Working
Mother magazine
• PepsiCo joins Ceres, a leading coalition of investors, environmental groups and public
• Near East brand launches two new products—Pearled Couscous side dish and Near East
• SoBe Lifewater introduces two new zero-calorie flavors – Acai Fruit Punch and Mango
Melon
• PepsiCo honored with 'Respect Award' for its commitment to diversity by the Gay,
• Frito-Lay Turkey honored with 'Environment-Friendly Industrial Plant' award from the
• PepsiCo creates Baked Snacks North America Business Unit to meet consumers interest in
• PepsiCo opens new Russian beverage plant in Domodedovo, the largest bottling plant in
• Naked Juice becomes the first nationally distributed brand to use 100% recycled plastic
• PepsiCo pairs with CBS to launch first-ever video player packaged in a print ad
40
• PepsiCo products make 'Best Foods for Women' list in Women?s Health magazine
• PepsiCo reaches merger agreements with Pepsi Bottling Group and PepsiAmericas
• PepsiCo launches its first lightly carbonated fruit-based beverage in Brazil, Frutzzz
• PepsiCo is awarded several 2009 beverage innovation honors during Drinktec trade show
• Sabritas and PepsiCo Mexico Beverages receive three Effie 'Top Marketing Campaign'
awards
• IZZE Sparkling Juice launches at Panda Express restaurants across the country
• PepsiCo says it will form new bottling unit; Eric Foss, 27-year industry veteran, will be
CEO
• PepsiCo joins Healthy Weight Commitment Foundation to help reduce obesity in the US
• PepsiCo wins U.S. EPA SmartWay Environmental Excellence award for its leadership in
conserving energy
41
• Sabritas and Gamesa-Quaker unveiled the first every hybrid trucks in Mexico
• PepsiCo U.K. and Ireland were named as one of the 'Top 50 Places Where Women Want
• PepsiCo is recognized at two events for its dedication to Talent Sustainability and
Americans from Asian Entrepreneur, Top 10 Companies for Asian Americans from AMBA
• PepsiCo again named to Dow Jones Sustainability World Index and Dow Jones
• Propel supports Breast Cancer Awareness with its “hope.nowpropelled” website, special
• Consumer Reports magazine names Quaker Chewy 90 Calorie Granola Bar among best
• United Nations Association of New York honors Frito-Lay for its environmental efforts
• PepsiCo ranks among top companies on Corporate Social Responsibility Index by the
• PepsiCo signs as partner of new Meadowlands Stadium, the future home of the New York
• Pepsi Brazil wins the top spot for 'The Most Admired in Brazil' by Brazilian business
• The European Union approved the proposed mergers of PepsiCo, Pepsi Bottling Group and
PepsiAmericas
42
• PepsiCo Hope delivers more than 50,000 free, healthier snacks and breakfasts to Dallas
children
• Frito-Lay receives the United Nations Association of New York's 2009 Annual
• PepsiCo Russia signs the Russian Advertisers Association's pledge to eliminate advertising
to children under 12
• Pepsi wins 'Football Promoter of the Year' award in Nigeria for its involvement with the
• PepsiCo and Calbee Foods Company announce strategic alliance to make and sell a wide
• Gamesa-Quaker's Stila brand named 'Brand of the Year' in Mexico at the 6th Anahuac/AI
• PepsiCo open first overseas green plant in China as part of its $1 billion investment in the
country
• The Environmental Protection Agency (EPA) names PepsiCo as one of its 2008 Water
Efficiency Leaders, for its efforts of water efficiency and environmental sustainability
• PepsiCo's Valhalla, NY R&D site receives LEED certification for its environmental
sustainability efforts
• PepsiCo International introduces first non-alcoholic, flavored malt drink, Bario, into Saudi
market
43
• Pepsi Jordan wins the King Abdullah Excellence Award, Jordan?s most prestigious award
on a country level
• PepsiCo receives 'Corporation of Year' award from United Cerebral Palsy in recognition of
its EnAble program, which champions inclusion for people with different abilities in the
workplace
• PepsiCo's World Headquarters in Purchase, NY, was named as the winner of the 2009
Landmark Award by the American Society of Landscape Architects and the National trust
• Frito-Lay North America announces new partnership with Terra Cycle, a company that
• Quaker is honored with 2008-2009 Brand Laureate Heritage Award for the 'Best Brands-
• PepsiCo is listed in the top 20 'Ideal Employer MBA Ranking' in Fortune magazine
• PepsiCo China beverage group named 'Supplier of the Year' by Wal-Mart China
• FLNA and Oberto Sausage Co. hagree to end partnership for distribution and sales of
OhBoy! Oberto brand meat snack products in the U.S. and Canada
• Tropicana becomes the first North American brand to be independently certified by the
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• PepsiCo acquires Karinto snack business in Peru
• Frito-Lay SunChips announces plans to begin using the first fully compostable snack chip
bag made from plant-based materials to significantly improve the environmental impact
distinctive Corporate Social Responsibility award from Cemefi, the Mexican Center for
• Wal-Mart Mexico names PepsiCo Beverages Mexico as the 'Supplier of the Year'
• Aquafina, Diet Pepsi, Pepsi and Mountain Dew top the 2009 Brand Keys Customer
• Lipton launches new Sparkling Green Tea—the first-ever sparkling beverage from the
Lipton trademark
• Consumer Reports names Quaker products among its top choices at supermarkets in their
• The U.S. Environmental Protection Agency awards PepsiCo a 2009 Energy Start Sustained
• PepsiCo announces intention to acquire its two largest anchor bottlers, The Pepsi Bottling
• PepsiCo's TorTrix brand receives the 'Hall of Fame of Guatemalan Brands' award from the
• PepsiCo introduces three new products—Pepsi Natural, Pepsi Throwback and Mountain
• PepsiCo Ireland is recognized as one of the '50 Best Workplaces' by The Great Places to
Work Institute
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• PepsiCo Chicago Sustainability Center achieves LEED Platinum certification from the
U.S. Green Building Council, making it the fist in the Consumer Products sector to receive
• PepsiCo India launches Nimbooz by 7Up, a beverage inspired by India's favorite lemonade
drink
• Tropicana introduces Trop50, the first orange juice with the all-natural sweetness of Stevia
• PepsiCo is recognized for its Diversity and Inclusion program by three leading business
• Gatorade's G2 launch topped Information Resource Inc.'s list of most successful product
launches of 2008
• Aquafina launches the Eco-Fina Bottle, the lightest weight bottle in the market
• AMP Energy unveils three new line extensions—AMP Energy Lightning, AMP Energy
• PepsiCo scores major league, multiyear sponsorship with both New York Mets and New
York Yankees
• Latina Style magazine recognizes PepsiCo among the leading companies for Latinas at the
• Spitz Brand has been named one of Canada's '50 Best Managed Companies' by the
National Post
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• PepsiCo Greater China opens newest bottling plant, Chengdu Pepsi Beverage Co. Ltd. in
West China
• Gatorade India establishes new training center for most-talented cricket players
• Frito-Lay North America adds more than 1,000 fuel-efficient vehicles to its fleet
• Tostitos brand crowns six University of Texas fans as the champions of the Tostitos 'Race
for the Bowl' competition and awards them $200,000 for their school's scholarship fund
• Frito Lay Turkey launches its second better-for-you snack, Cheetos Rings
• Eleven PepsiCo China bottling plants are honored as '2008 Enterprise of Excellence in
Water Saving' facilities at the 2008 Chinese Beverages Industry Association annual meeting
47
COMPANY PROFILE
DOUGLAS N. DAFT
Executive Officer
Douglas N. Daft was elected chairman, Board of Directors, and chief executive
officer of The Coca-Cola Company on February 17, 2000. Mr. Daft is the 11th
Mr. Daft, 60, joined the Company in 1969 as planning officer in the Sydney, Australia
office. He held positions of increasing responsibilities throughout Asia and in 1982 was
In December 1988, Mr. Daft was named president of the North Pacific Division and
president of Coca-Cola (Japan) Co., Ltd. He moved to the Company’s Atlanta headquarters
In 1991 to assume the responsibility of president of the Pacific Group and in 1999
his responsibilities were expanded to include the Company's Africa Group, and
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Schweppes Beverage Division, as well as the Middle and Far East Group’s Mr. Daft was
elected president and chief operating officer of The Coca - Cola Company in December
1999.
He serves on the boards of Sun Trust Banks, the Boys & Girls Clubs of
America, Catalyst, the CERGE-EI Foundation(Center for Economic Research and Graduate
Education - Economics Institute) in the Czech Republic, the Lauder Institute for
the British - American Chamber of Commerce, the G100, the Woodruff Arts Center, the
Commerce Club, and the McGraw-Hill Companies. Mr. Daft is a trustee of Emory
University, the American Assembly and the Center for Strategic & International Studies. He
is also a member of The Trilateral Commission, The Business Council, and The Business
Round table.
Although Coca-Cola® was first created in the United States; it quickly became
popular wherever it went. Our first international bottling plants opened in 1906 in Canada,
Cuba and Panama, soon followed by many more. Today, we produce more than 300 brands
in over 200 countries. More than 70 percent of our income comes from outside the U.S., but
the real reason we are a truly global company is that our products meet the varied taste
49
OUR PARTNERS
health, fitness and good nutrition. Visit these sites for more information about positions,
The Coalition for a Healthy and Active America (CHAA) CHAA was formed in
schools, and communities about the critical roles physical activity and nutrition education
grassroots coalition, CHAA is a vigorous advocate for developing healthy and active
lifestyles for America's youth. CHAA is committed to working with schools to rededicate
time for physical fitness; giving parents the freedom to help their children make their own
nutritional choices; building school-business model relationships that benefit our families by
supporting healthy and active lifestyles; and finding solutions to childhood obesity that are
both responsible and realistic American Council for Fitness and Nutrition The American
Council for Fitness and Nutrition (ACFN) is a group of food, beverage and consumer
improve the health of all Americans, particularly youth, by encouraging a healthy balance
between fitness and nutrition. The cornerstone of all ACFN initiatives is the idea that lasting
solutions to the nation's obesity problem must be based on sound science and behavioral
research. Such policies are likely to help parents and their children develop eating and
represents the food, beverage and consumer products industry on key issues that affect the
50
ability of brand manufacturers to market their products profitably and deliver superior value
to the consumer.
safety, nutrition and health. International Life Sciences Institute Founded in 1978, the
International Life Sciences Institute (ILSI) is a nonprofit, worldwide foundation that seeks to
improve the well-being of the general public through the pursuit of balanced science.
Its goal is to further the understanding of scientific issues relating to nutrition, food
safety, toxicology, risk assessment, and the environment by bringing together scientists from
emphasizes healthy living achieved through a balance of physical activity and responsible
eating habits. The Web site gives young people and their parents the tools and ideas to help
change habits and plant the seeds for healthier families tomorrow. Kidnetic.com is a
National Association for Sport and Physical Education association for Sport and
Physical Education seeks to enhance knowledge and professional practice in sport and
experiential knowledge to members and the public.National Soft Drink Association the
National Soft Drink Association (NSDA) is the trade association for America's soft drink
51
HISTORY OF COLA
The cola industry has phenomenal possibilities for rocketing profit growth in spite of
the sign of relief heaved by the manufacture at the abrupt sensational termination of coca
cola monopoly the tastes of cola is by no means extinguished the coca. Cola have a status
symbol to it..., generated by the sub standard, penetrated, advertising and extensive
distribution network.
Total soft drink segment is growing at the rate of 10% per year still if international
standard area considered the per capita consumption of three serving in rock bottom, less
than even our neighbors Pakistan and Bangladesh, where it is four more as much. So with
kind of a market potential coke entered in India in 1991 after the permissions of setting up
Britico Food company to coke was granted by the government in Pune in 1992 the plant was
established for is deducted then the bottle are taken out of the line and cleaned again or
rejected.
The most important step is the mixing of drink concentrate dissolved in the soft water the
sugar syrup at the same time. Carbon dioxide is passed in the drink to produce a fizz.
After the crowing of the bottle the crown contains the manufacturing data batch
number and Time. After crowing the bottle, the bottle comes again at checking screen for
52
THE PRESENT POSITION OF COKE IN INDIA
Coke is a households name and is the lips of every one. In present time every person
knows the name of coca cola since India is one of biggest market and sultry summer from
March the end of October and huge population has immensely helped in the sales the sales
Last years, the market share of Coca Cola was not specific. In this year company’s
top management adopted new policy and increased the rate of all brands of coke. By this
decision top management determined the rate of 300 ml / 10Rs. And the brand of 200 ml
Family and lower level family can be taken the enjoy of coke. By this decision company’s
marketing share has been increased. In present time coke is captured approximate 60%
market share in cold Dinks line. Now coke has defeated all the soft drinks company.
According to service and according to advertising coke has appropriate position.It has now
The mission of the Coca-Cola Company is to increase shareowner value over time.
The company accomplished the mission by working with its business partners to deliver
satisfaction and value to customers and consumers through a worldwide system of superior
53
GUIDING PRINCIPLES OF COCA-COLA INDIA
1. We will conduct ourselves and our business activities with the highest standards of
2. We will recognize the positive contributions that we make as individuals and team
4. We will strive for excellence and seek continuous improvement in everything we do.
5. We will respect all stakeholders, including employees, partners and suppliers and
instill them with a passion to deliver the highest quality goods and service.
defined objectives.
VISION
Through Coca-Cola system resulting in consumer & customer preference and loyalty
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MISSION
To achieve the above by working with business partners to deliver satisfaction and
value to customers and consumers through world wide system of superior brand and
To achieve the mission the company seeks the contribution from each of the given
areas:
Environmental policy.
Internal control.
In the network of the Coca-Cola system, Coca-Cola has either of the two bottling
operation done far the company.
After 1993, when coca cola re enters Indian market, done a lot of changes in the
existing system of the soft drink market prevailing in India, by acquiring the major brands
55
and the bottling operations from Parle. After this company founded some of it’s own
purchasing other bottling operations, all around India and introduces new technology in
them. These bottling plants are called Company Owned and Operation Bottling Operation.
Company has full ownership and operational right for these type of operations. The other
type of bottling operation for the company are called Franchise Owned and Operated
bottling Operation, to these, the company has given the right to produce the product for the
company and to supply with in the territory assigned by the company. Company has no
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In India Company have 26 COBO and 14 FOBO operations for the production and control
of the whole operation in India. These are divided in to various zones that are given in the
marketing mix section of this report.
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PRODUCT PROFILE
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 the U.S., and the world's
most popular lemon-lime soft drink.
FANTA:
The name "Fanta" was first registered as a trademark in Germany
in 1941, when it was used for a few years for a soft drink created
from available materials and flavors.
The name was then revived in 1955 in Naples, Italy, when it was
used for the "Fanta" orange drink we know today. It is now the
trademark name for a line of flavored drinks sold around the world.
DIET COKE:
The extension of the Coca-Cola name began in 1982 with the
introduction of diet Coke (also called Coca-Cola light in some
countries). Diet coke quickly became the number- one selling low-
calorie soft drink in the world.
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VANILA :
It is an Ice Cream in taste. Launched in 2004.
LIMCA:
This is thirst-quenching beverage features a fresh and light lemon-
lime taste and a lighthearted attitude. The Limca brand was
introduced in 1971 and acquired by the Coca-Cola Company in
1993.
MAAZA :
Maaza, launched in 1984 and acquired by The Coca-Cola
Company in 1993, is a non carbonated mango soft drink with a
rich, juicy m natural mango taste.
THUMPS UP :
In 1993, The Coca-Cola Company acquired this brand, which was
originally introduced in 1977. Its strong and fizzy taste makes it
unique carbonated Indian Cola.
KINLEY WATER:
This is thirst-quenching beverage features fresh the fresh water
with the saturated oxygen level.
between the two major players, Coca-Cola and Pepsi since the very beginning. the thirst
quenchers are trying hard to have the major chunk of the pie of carbonated soft drink
market. both the players are spending their energies in building capacity, infrastructure,
Coca-Cola being 11 years older than pepsi has dominated the scene in most of the
soft drink markets in the world and enjoying leadership in terms of market share. but the
coca-cola people are finding it hard to keep away pepsi, which has been narrowing the gaps
regularly. the two are posing threats to each other in every nook and corner of the world.
while coca-cola has been earning most of its bread and butter through beverage sales, pepsi
has a multi products portfolio with some portion from the same business.
The two warriors are face to face once again here in india with different strategies
and tactics to attack the rival. coca-cola is focusing upon the joint ventures with the existing
manufacturing and marketing of its products range and attain the quality standards of its
class.
Countering it pepsi has taken the battle in its own hands by floating as investment of
$ 95 billion to set pepsi company. india holdings, as subsidiary for { cobo } company owned
bottling operations. both the companies are following different path to reach the same
destiny i.e. to fetch the bigger portion of aerated soft drink market. both consider india a
huge potential market, as per capita consumption here is a mere 3 serving annually against
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the world average of 80. therefore, they are putting in their best efforts to woo the indian
consumer who has to work for 1.5 hours to buy a bottle of soft drink. in comparison to the
international norms minutes, a major hurdle to cross over for both the athletes for getting
no.1 position comparison to the inter. coca-cola is well set with its 53 bottling sites through
out the country giving it an edge over competition by processing a well-built bottling and
distribution set-up. on the other hand, pepsi, with two more years in india, has been able to
set an image of a winner in india and has been able to get the pulse of the india soft drink
market. the soft drink giants are leaving on stone unturned and her for the long terms.
Coca-Cola has been penetrating the market through its wide product range with a
determination to change consumption pattern of soft drink in india. firstly, they upgraded the
whole industry by introduction 300 ml bottles, which in turn had given the industry a
booming growth of 20% as compared to the earlier 5%. they want to develop a coca culture
soft drink in every possible package. in coca-cola camp, the idea of competition has not
come from pepsi, but from the other beverages such as tea, coffee, nimbu pani, water etc.
pepsi is quite aggressive in its approach to indian consumer. they are desperately working
on the strategy to be winners in the hot cola war between two big barons. according to pepsi
philosophy, it’s the madness that encourages executive to think, to conjure up those creative
tactics to knock the fizz out their competition. pepsi had plumbed a large on the visibility of
its blue red and white logo. they have been going with aggressive marketing by putting
Amir Khan, Akshay Kumar and their advertisement to endorse their brand, the role models
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for its targeted consumer the teenagers. They have increased the fizz in the market place by
introducing the dispensers called fountain Pepsi and has been enjoying a lead over its rival
there. Coca-Cola on the other hand, has been working on the saying slow and steady wins
the race’s side by retailing to every more of its competitor. they have procured the shield of
snoop at coke, thumps up come with the ad line, don’t be Bandar, taste the thunder. also
thumps up has been positioned now very near to that young image of Pepsi and giving it a
though time.
These cool merchants have put everything on fire. it coke got the status of the
official drink of wills. world cup, Pepsi blushed as nothing official about it. as thumps up
projected as ‘Saaree Jahan Se Achcha’ Pepsi was passionate enough with ‘freedom to be’
and now the “Yeh Dil Mange More” when thumps up came with thunder blast, the other
offered ‘Pepsi stuff card’. if red is meant for coke, Pepsi has chosen to be blue.
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SURVEY AREA - TAJ GANJ
POSM VISI
OUTLATE DLR-ADD1 DISTR- VISI
STICKE
NAME NAME TOP
DISPLAY BUNTINGS GATE R
DLIP
GANDHI NAGAR YES YES YES YES YES
RESTURENT
SETHI
GANDHI NAGAR YES YES YES YES YES
GENERAL
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SURVEY OUTLET
OUTLET NAME PERCENTAGE OF PERCENTAGE
COCA-COLA OF PEPSI
OMI LASSI 70% 30%
KAILASH HOTEL 100% __
KIPPS TAJ GANJ 60% 40%
SPECIAL PAN 100% __
RAKESH CHANDRA 100% ___
GUPTA PAN 70% 30%
AFTAB PCO 100% ____
AGRA SWEETS 100% ____
VICKY COLD DRINK 100% __
ZAHOOR COLD DRINK 100%
CHILDREN PARK CANTEEN 50% 50%
MILIKES 60% 40%
BIKANEERWALA 50% 50%
CHAMAN DHABA 100% ----
AMBEY BAKERS 40% 60%
P. K. NAMKEEN 60% 40%
CHAWALA RESTAURENT 50% 50%
KIPPS SUPEER MARKET 50% 50%
AGRAWAL KIRANA 60% 40%
AMUL PARLOUR 60% 40%
AGRAWAL KIRANA 50% 50%
SUNNY VAREITY 100% ___
BANKE BIHARI 60% 40%
CHAURASIA PAN 100% _-_
VERMA DHABA 60% 40%
KIPPS JAYSON 50% 50%
RATAN SWEETS 50% 50%
KIPPS SUPERMARKET 60% 40%
AL KAREEM CONFECTIONARY 70% 30%
GOLDI SWEETS 60% 40%
SSD FOOD 80% 20%
APNA STORE 50% 50%
GANGAUR SWEETS 40% 60%
KAMAL DAIRY 60% 40%
ARUN NARULA RAILWAY STATION 100% _
SHIV HOTAL 100% _
Bansal sweets _ 100%
TOTAL % OF TOTAL % OF
TOTAL OUTLET=35 COCA-COLA PEPSI =31.15%
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=68.85%
COKE PEPSI 54 16 30 9 52 72 24 59
LIMCA MIRINDA 28 - 20 - 14 - 8
LEMON
FANTA MIRINDA 30 - 25 7 44 - 1 41
ORANGE
SPRIT MOUNTAN 39 10 20 4 - 12 12 -
E DEW
THUM 7 UP 55 9 44 2 48 - 30 19
SUP
MAAZ SLICE - 2 - 1 - - - -
A
KINLE LEHAR SODA - - - - - - -
Y
SODA
MERCHANDISING
Definition-A (Webster's) :
65
Merchandising-
identification of the market{7}, advertising at the right time in the right media{7}, and
creating attractive packaging and displays; also, the study of the best methods to accomplish
such goals.
Definition-B (Encyclopedia) :
product or service is used to sell another. It is most prominently seen in connection with
films, usually those in current release, and with television shows oriented towards children.
of products such as toys or clothing, who then make items in or emblazoned with the image
of the license, hoping they'll sell better than the same item with no such image.
Assess your company's overall strategy to win customers, from point of discovery to
66
Assess strategic direction and financial plan of merchandising efforts. Work to
develop and implement retail partnering programs (and new product lines), where
applicable.
partnerships leveraging print, TV, radio, live events (tours, festivals, etc.) and more.
• Where no retention program exists, work with management to rapidly adopt a system
to increase repeat purchases, build upon average order size, lower related costs, and
MERCHANDISING TYPES:
• Retail Merchandising
• Visual Merchandising
VISUAL MERCHANDISING:
store's window was the main area where merchandise was displayed. Today the Visual
67
Shop Interiors
Windows
ROUTE PRODUCTIVITY
Many product distributors find themselves with a delivery route system that has "evolved"
over the years into - well, let's just say a state of relative inefficiency. When was the last
time your distributor operation completed a thorough, bottom-up review of its route system
efficiency? When was the last time the entire company was re-routed?
If the answer to these two questions is years, the business may have considerable
system, it is commonly-believed that sales routes need to be developed first - with delivery
routes developed later to support sales. The theory driving this approach is that to be a
"sales-driven" organization, one must develop sales routes first to ensure the company is
matching resources optimally to meet market needs. This approach is unsound and likely
68
results in a route system that is: inefficient from an operations standpoint, and does not
The delivery system is the most expensive component dealt with in an entire company re-
route. Therefore, from a strictly financial sense, it is logical to begin the re-routing process
with an optimization of this more expensive component. Sales routes, merchandising routes,
compromise. While at first glance, an initial focus on delivery optimization may seem to be
not so simple
By ensuring maximum efficiency in the delivery route system, wholesalers free up resources
within the organization that can be re-directed into the sales effort. A properly designed and
executed re-route can be one of the most important things a wholesaler can do to increase
both its delivery system productivity and efficiency measurements - and to provide financial
When was your last re-route? Is your business missing opportunities because of route
inefficiencies? How do you know if delivery routes, sales routes, merchandising routes, are
optimaled designed?
the product to market". Delivery can mean different things to different distributor
69
environments, however. Some distributors view delivery as just that - nothing more than
driving the product from one location to another. In other distributor environments, delivery
drivers are expected to provide additional services such as the construction of in-store
displays, the putting up of point-of-sale materials, product rotation, product pull-up, and
product facing. In some distributor operations, delivery drivers are, in fact, referred to as
Customer Service Representatives (CSRs) which conveys the expectation that drivers will,
in fact, provide additional services viewed by the customer as having value beyond just the
The type and level of services expected by the delivery department will, of course, have
3. Interaction of the delivery driver with other facets of the distributor operation;
Delivery Productivity
asset utilization is to develop some type of product movement ratio on a per-route basis.
- annual revenues;
70
- annual gross profits.
For example, a business generating $10, 00,000 in annual revenues utilizing 20 delivery
routes has a ratio of $5, 00,000 of revenues per route. In this calculation, a single route is
defined as one five-day per week full-time equivalent. In other words, one route going out
RESEARCH METHODOLOGY
RESEARCH METHODOLOGY:
discover or revise facts, theories, applications, etc. methodology is the system of methods
followed by particular discipline. Thus, research methodology is the way how we conduct
our research.
DEFINITION OF RESEARCH
The term research is also used to describe an entire collection of information about a
the investigation of matter. The primary purpose for applied research is discovering,
interpreting, and the development of methods and systems for the advancement of human
knowledge on a wide variety of scientific matters of our world and the universe. Research
can use the scientific method, but need not do so. Scientific research relies on the application
71
information and theories for the explanation of the nature and the properties of the world
around us. It makes practical applications possible. Scientific research is funded by public
method.
TYPES OF RESEARCH
Quantitative research:- Quantitative research is descriptive and provides hard data on the
breadth and allows you to sample large numbers of the population. It is, however, structured
and does not yield the reasons behind behaviour or why people hold certain attitudes.
Techniques commonly used in HE/FE include postal surveys (particularly appropriate in the
case of student populations where name and address information is available), telephone
surveys (appropriate for surveys of employers), on-line or web-based surveys (very cost-
effective for reaching audiences where e-mail penetration is high, such as students and
university/college staff) and mystery shopping (in this case to test quantifiable aspects of the
service).
Qualitative research:- Qualitative research allows you to explore perceptions, attitudes and
motivations and to understand how they are formed. It provides depth of information which
can be used in its own right or to determine what attributes will subsequently be measured in
72
quantitative studies. Verbatim quotes are used in reports to illustrate points and this brings
the subject to life for the reader. However, it relies heavily on the skills of the moderator, is
mystery shopping (where the researcher plays the role of a potential student, etc in order to
Secondary or desk research:- The collating and analysis of secondary data is called desk
research. Secondary data is data that already exists and may be found within your own
RESEARCH DESIGN
includes identifying the data gathering method(s) , the instruments to be used/created, how
the instruments will be administered, and how the information will be organized and
analyzed.
DATA COLLECTION
Data collection is a term used to describe a process of preparing and collecting data -
for example as part of a process improvement or similar project. A method of data collection
in which the situation of interest is watched and the relevant facts, actions and behaviors are
recorded.
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PRIMARY DATA COLLECTION METHODS
In primary data collection, you collect the data yourself using methods such as
interviews and questionnaires. The key point here is that the data you collect is unique to
you and your research and, until you publish, no one else has access to it.
All methods of data collection can supply quantitative data (numbers, statistics or
financial) or qualitative data (usually words or text). Quantitative data may often be
presented in tabular or graphical form. Secondary data is data that has already been collected
by someone else for a different purpose to yours. For example, this could mean using:
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FINDINGS AND ANALYSIS
Yes 56 56%
No 39 39%
Can’t Say 05 05%
Total 100 100%
5%
39% Y es
56% No
Can’t S ay
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Interpretation:
The graph & table clear view regarding the importance given to a brand name while
choosing the cold drinks. It was found that the 56% of Respondent says Yes and 39% of
respondent say No and the only 5% of respondent not in a position to say anything.
Less than 2
39 4-Feb
56 More than 4
Interpretation:
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The graph & table clear view regarding the importance given to a brand name while
choosing the cold drinks. It was found that the 56% of Respondent says Yes and 39% of
respondent say No and the only 5% of respondent not in a position to say anything.
Cola 41 41%
Citric 26 26%
Lemon 21 21%
Orange 10 10%
Others 02 02%
Total 100 100%
45% 41%
40%
35%
26%
30%
21%
25%
20%
10%
15%
10%
2%
5%
0%
Cola Citric Orange Lem on O thers
Interpretation:
The given graph & table show the most popular flavour in cold drinks is Cola. It was
found that the 41% respondent likes the Cola Flavoured, 21% of respondent likes the Lemon
flavoured, 26% of respondent likes the citric flavour, 10% likes the Orange flavour and only
2% likes the other flavoured.
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4. Do you give importance to brand name while choosing your cold drink?
Yes 56 56%
No 39 39%
Can’t Say 05 05%
Total 100 100%
5%
39% Y es
56% No
Can’t S ay
Interpretation:
The graph & table clear view regarding the importance given to a brand name while
choosing the cold drinks. It was found that the 56% of Respondent says Yes and 39% of
respondent say No and the only 5% of respondent not in a position to say anything.
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5. Which brand you prefer most?
Coke 58 58%
Pepsi 21 21%
Others 21 21%
Total 100 100%
60%
50%
40%
30% Series1
20%
10%
0%
Coke Pepsi Others
Interpretation:
The given diagram gives the view regarding the most popular and demanded brand.
It was found that the 58% of respondent preferred the Coke as most popular brand, 21% of
respondent say Pepsi as most popular brand, 16% of respondent referred the coke as the
popular brand and the only 21% of respondent say others was a the most popular brand.
6.. You like the particular brand of cold drink because of?
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Option No of Respondent Percentage (%)
Brand 58 58%
Flavor 21 21%
Advertisement 21 21%
Total 100 100%
21
Brand
Flavor
58 Advertisement
21
Interpretation:
The given diagram gives the view regarding the most popular and demanded brand.
It was found that the 58% of respondent preferred the band as most popular brand, 21% of
respondent say flavor as most popular brand, and the only 21% of respondent say
advertisement was a the most popular brand.
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Brand No of Respondent Percentage (%)
Coke 51 51%
Pepsi 47 47%
Others 02 02%
Total 100 100%
2%
Cok e
47% 51%
P epsi
O thers
Interpretation:-
The graph & table gives the information regarding the available the available brand
on their college canteen or a colony or a locality. It was found that 51% of respondent found
the Coke brands of cold drink highly available while 47% of respondent said that they found
Pepsi brand as highly available and only 02% of respondent said that they found other brand
like Frooti or others brands highly available. This difference in the response is because of
the consumption of different brands in different segments.
8. Which brand is more available in your retailer’s shops?
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Cola 61 61%
Citric 30 30%
Fruit flavoured 9 9%
Total 100 100%
61%
70%
60%
50%
30%
40%
30%
20% 9%
10%
0%
Cola Citric Fruit flavoured
Interpretation:
The given chart table shows that the most available flavour on the respondent
retailer’s shops. It was found that the 61% of respondent (Consumers) say that they find
Cola flavour on their retailer’s shop.30% of respondent found the citric flavor on their
retailer’s shop. Science cola flavour is a Universal flavour in India, with consumers of all
age, sex and preference accepting it whole heartedly.
9. Which brand of cold drink do you find most in your college canteen/colony/locality?
Coke 51 51%
Pepsi 47 47%
Others 02 02%
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Total 100 100%
2%
Cok e
47% 51%
P epsi
O thers
Interpretation:-
The graph & table gives the information regarding the available the available brand
on their college canteen or a colony or a locality. It was found that 51% of respondent found
the Coke brands of cold drink highly available while 47% of respondent said that they found
Pepsi brand as highly available and only 02% of respondent said that they found other brand
like Frooti or others brands highly available. This difference in the response is because of
the consumption of different brands in different segments.
Coke 75 75%
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Pepsi 25 25%
Total 100 100%
Interpretation:
The given table and diagram gives the idea of the respondent opinion regarding the
Cola flavour drink. It was found that the 75% of respondent likes the Coke and the only 25%
respondent likes the Pepsi flavour.
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(ii) In orange flavour
Interpretations:
The above given table and chart show the opinion of the respondent regarding
Orange flavour. It was found that the 28% of respondent likes fanta of COKE brand, 64% of
respondent likes the miranda of the PEPSI brand and 8% of respondent likes the other soft
drinks of orange flavour.
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Brands No of Respondent Percentage (%)
Mazza 37 37%
Slice 22 22%
Others 41 41%
Total 100 100%
Interpretations:
The above shown table and chart gives the view regarding the opinion of respondent
about the Mango flavour. It was found that the 41% of respondent likes Frooti, 37% of
respondent like Mazza of Coke and only 22% of respondent likes the Slice of Pepsi brand.
One of the greatest advantages with Frooti is that it comes in tetra pack which is a one way
pack. People find it convenient to take it home for consumption. Even coke and Pepsi have
introduced tetra pack in the Mango drink recently but it will definitely take some time take
away market from the market leader. Also Frooti is a well established brand has available in
tetra pack for a long time.
11. Which brand advertisement appeals you most?
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Brands No of Respondent Percentage (%)
Coke 52 52%
Pepsi 48 48%
Total 100 100%
48%
Coke
52%
Pepsi
Interpretations:
The given chart shows that the respondent about the most appealing brand
advertisement. It was found that the 52% of respondent says that Coke advertisement is most
appealing, 48% of respondent says Pepsi advertisement is most appealing one. The
advertisement of Coke features Bollywood star like Aishyarwa Rai, Hritik Roshan,
Karishma Kapoor and Amir Khan who are highly acceptable by the public. The
advertisement of Coke featuring Amir Khan with a punch line
“Thanda Matlab…………….Coca-Cola”
It was a super hit which took Coke not only to the rural markets but also overturned
the market of Pepsi.
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Brands No of Respondent Percentage (%)
Coke 44 44%
Pepsi 43 43%
Thumps Up 8 8%
Others 5 5%
5
8
Coke
44
Pepsi
Thumps Up
Other
43
Interpretations:
The above given table and chart show the opinion of the respondent regarding 44%
Coke, 43% Pepsi, 8% thumps Up and 5% other brands of soft drink.
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13 You like the product which is promoted by the celebrity?
Yes 40 40%
No 32 32%
Can’t say 28 28%
Total 100 100%
28%
40%
Yes
No
32%
Can’t say
Interpretations:
The group & table show that the people like the product of it promoted by a
celebrity. It was found that 40% of respondent said that they the product because of the
celebrity shown in the advertisement consuming it, 32% of respondent says No about the
celebrity promotion, 28% respondent not in a position to say anything. In India people have
a great craze for their favorite celebrities’ They have a lot of love for their favorite
celebrities they want to imitate by doing what they do as shown in the advertisement.
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14 Do you think that the pricing strategy adopted by the cola companies fascinate the
consumer?
Yes 64 64%
No 22 22%
Can`t Say 14 14%
Total 100 100%
14%
Yes
22%
64% No
Can`t Say
Interpretations:
The given table & diagram shows that how effective the companies facility the
consumer. It was found 64% of respondent says yes. 22% of respondent says No and 14%
respondent can’t say anything. India is a mass market for the consumer product but at the
same time it is also a very “Price Sensitive” Market. So with a small decrease in price results
in a drastic increase in the demand. Since soft drink is a consumer product, the price has a
great influence on the demand of the product.
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CONCLUSION
From this summer training and project titled Comparative Analysis of Coke & Pepsi
(with reference to Agra region) , I have learned a lot about real practical work being done
in the market I have also watched & learned the practical applicability of the various things
merchandising in order to become the No.1 brand in soft drink industry the report was found
the product because each segment is affected by different sets of factor which hamper or
enhance sales. Each segment had its own Pros & Cons. So we have to understand the
various segment of soft drink industry that which flavor is existing more in the market, Such
as Thums-up strong brand of coke which is more popular in young generation. I also
observe about fate dealer, sub dealer, monopoly counter & its marketing strategy. Such as
fate dealer is influence wrong direction to the market. They are supply product at high
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SUGGESTIONS
The company should conduct survey of dealers on distribution channel and should
regularly.
The company should try to reduce the number of steps of distribution channel.
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LIMITATIONS
1.The area of study is limited to the merchandising and route productivity aspects of the
system, while the marketing has other crucial areas too which were left uncharted
2. The study is limited to eastern region of coca cola which is a multinational company, so
3. The time period allotted for the study was only of two months, which may provide a
4. The study was based on both primary and secondary data but the relevance of the
5. The success of any survey depends upon the quality and integrity of the surveyor who
collect the basic data by expressing the subject under the study and on the respondents who
provides the data required by filling up the questionnaire .The accuracy of the data collected
solely depends upon the cooperation and truthfulness of the person who is being
interviewed.
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BIBLIOGRAPHY
Books:
1. Kotler Philip “Marketing Management”; Prentice-Hall India (PHI); 11th Edition;
Webliography:
www.pepsico.com
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QUESTIONNAIRE
9. Which brand of cold drink do you find most in your college canteen/colony/locality?
(a) Coke Brand (b) Pepsi Brand (c)Others.
10. . In your opinion which soft drink is better in taste flavour?
a. In Cola Flavour
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(a) Coke (c) Pepsi
In Orange flavoured.
(a) Fanta (b) Miranda Orange (c)
Others.
In mango Flavoured.
(a) Mazza (b) Slice (c) Others.
11. Which brand advertisement appeals you most?
(a) Coke (b) Pepsi (c) Others.
12. Most effective punch line in your opinion of?
(a) Coke (b) Thumps up
(c) Pepsi (d) Others.
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