Case Study on COCA-COLA

July 22, 2018 | Author: Nirakar Sapkota | Category: Coca Cola, Soft Drink, The Coca Cola Company, Behavior, Brand
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Marketing Case Study on Coca-Cola...

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Contents Acknowledgement Executive summary Challenge..................................................................................................................................... ..................................................................................................................................... 1

 New product category............................................................. ............................................................................................................... .................................................. 1 Product line extension .............................................................................................................. .............................................................................................................. 1 Incremental Improvement Improvement .................................................................. ........................................................................................................ ...................................... 2 Introduction to the company ..................................................................................................... ..................................................................................................... 2 ............................................................................................................... 2 Birth of Coca Cola ................................................................................................................

Asa Candler ............................................................. .......................................................................................................................... ............................................................. 3 Death of the Soda Fountain - Rise of the Bottling Industry ................................................. 3  New Coke ................................................................. ............................................................................................................................. ............................................................ 3 Situation Analysis ....................................................................................................................... ....................................................................................................................... 4 Company Analysis ................................................................. .................................................................................................................. ................................................. 4 ................................................................................................................ .................................................. 4 Mission Statement .............................................................. .................................................................................................................. ................................................. 4 Vision Statement ................................................................. ........................................................................................................................ ............................................................. 4 Market Share ...........................................................

Customer Analysis .................... ....................................................................................... .............................................................................................. ........................... 5 ................................................................................................ ...................................... 5 Consumer Decision Process: ..........................................................

Competitors............................................................................................................................. ............................................................................................................................. 6 ................................................................ ............................................ ........................... ..... 7 Economic Effect Analysis .......................................... .................................................................. ............................................ ........................... ..... 9 Political Effect Analysis ............................................ ................................................................. ............................................ ............................ ...... 10 Technological Factors: ...........................................

Social and Cultural Analysis .................................................................. ........................................................................................... ......................... 10 SWOT Analysis Of Coca Cola  ............................................................................................. ............................................................................................ 11 ............................................................................................................................. .......................................................... 11 Strengths ................................................................... ........................................................................................................................ 11 Weaknesses. ........................................................................................................................ ...................................................................................................................... ........................................................... 12 Opportunities ........................................................... ................................................................................................................................ .......................................................... 13 Threats ......................................................................

Market Segmentation .................................................................................................... ............................................................................................................... ........... 14

Behavioral base ........................................................... ...................................................................................................................... ........................................................... 14 Cognitive base ........................................................................................................................ ........................................................................................................................ 14 Selected Market Strategy ......................................................... ......................................................................................................... ................................................ 14

Product.................................................................................................................................... .................................................................................................................................... 14

............................................................................................................................. .......................................................... 15 Branding ................................................................... ........................................................................................................................ 16 Product line. ........................................................................................................................ ........................................................................................................................... .......................................................... 16 Packaging .................................................................

Price............................................................................................................... ........................................................................................................................................ ......................... 17 ................................................................................................... ..................................... 17 Prices of different bottles:.............................................................. ............................................................................................................................ .......................................................... 18 Discounts ..................................................................

Placement/Distribution Channel ............................................................................... ............................................................................................. .............. 18 ............................................................................................................ ................................................ 18 Indirect distribution ............................................................ .............................................................................................................. 18 Direct distribution ...............................................................................................................

Promotions.............................................................................................................................. .............................................................................................................................. 19 Conclusion................................................................................................................... ................................................................................................................................. .............. 20 Suggestions................................................................................................................................ ................................................................................................................................ 21 Bibliography.............................................................................................................................. .............................................................................................................................. 22

Acknowledgement

Working with this report has been very interesting. We are forever indebted to all those who gave us valuable suggestions, stimulating ideas, constructive comments and encouragements throughout this report writing. We are indebted to our respected teacher Mr. Sanjeeb Shrestha who‟s indispensable and intricate comments on various aspects conjoined with motivation made us come forth holding such a project.

Executive summary

Purpose of this project is to study the strategies which Coca cola is doing in Nepali market for its product Coca cola. Coca cola International is a world renowned brand. It is a very well organized multinational company, which operates almost all over the world. In Nepal It also has proved itself to be the No.1 soft drink.  Now days Coca cola is recognized as Nepalis National drink .Coca cola's greatest rival is Pepsi Cola. Coca Cola has an international recognized brand. Coke‟s basic strength is its brand name. But Coca cola with its aggressive marketing planning and quick diversification in creating and promoting new ideas and product packaging, is successfully maintaining is No.1 position in Nepal. Coca cola is operating in Nepal, through its more than 12 bottlers all over Nepal. These bottlers are Coca cola's strength. Coca cola has given franchise to these bottlers. Bottlers, produce, distribute and help in  promoting the brand. We also did analysis of the soft drink industry in Nepal and worldwide. The soft drinks set to become world's leading beverage sector. Global consumption of soft drinks is rising by 5% a year.

Challenge Coca cola is doing new product development on frequent interval of times. The purpose of which is to refresh the brand. By new products and innovative ideas consumers can easily be attracted. In following ways Coca cola is doing new product development. New product category

Coca cola which is mainly a company of soft drinks after establishing a brand in Nepal. Coca cola came into several new product category. Fanta, Sprite and Aquapure, fast food restaurants are the examples of new product category. Product line extension

Mountain dew is the most recent addition in the product line of soft drinks which is very popular especially among the youngsters. However Coca cola launch its several variants with a minor difference on frequent interval of time. There have been many Coca cola variants produced over the years, including, Coca Cola raspberry,Coca Cola zero,Coca Cola M5, Coca Cola black cherry vanilla, Coca Cola black, Coca Cola citrus,Coca Cola light sango, Coca Cola orange, Coca Cola diet etc. 

Line Filling

Coca cola claims that they are doing mass marketing but there was an unfilled gap in the consumers. The diabetic patient can‟t use the regular Coca cola because of the sugar. So Coca cola had introduced diet Coca cola to fill the gap in their drinks as of then onwards even diabetic people became their consumers.

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Incremental Improvement

Coca cola jumbo is an example of incremental improvement made by Coca cola. It was 2.25 liter bottle introduced few years ago in Nepal. The purpose of this packing is to offer the Coca cola to a family for one or two time meals. Price of this pack is also kept low so that is can be affordable easily by the consumers.

Introduction to the company Coca cola International is a world renowned brand. It is a very well organized multinational company, which operates almost all over the world. They produce, one of  best carbonated drinks in the world. Coca cola is a symbol of hygiene, quality and service, all over the world. Coca cola is producing Cola for more than 100 years and it has dominated the world market for a long time. Its head office is in Atlanta. History of coca cola

In May, 1886, Coca Cola was invented by Doctor John Pemberton a pharmacist from Atlanta, Georgia. John Pemberton concocted the Coca Cola formula in a three legged  brass kettle in his backyard. The name was a suggestion given by John Pemberton's  bookkeeper Frank Robinson. Birth of Coca Cola

Being a bookkeeper, Frank Robinson also had excellent penmanship. It was he who first scripted "Coca Cola" into the flowing letters which has become the famous logo of today. The soft drink was first sold to the public at the soda fountain in Jacob's Pharmacy in Atlanta on May 8, 1886. About nine servings of the soft drink were sold each day. Sales for that first year added up to a total of about $50. The funny thing was that it cost John Pemberton over $70 in expanses, so the first year of sales were a loss. Until 1905, the soft drink, marketed as a tonic, contained extracts of cocaine as well as the caffeine-rich kola nut. 2

Asa Candler

In 1887, another Atlanta pharmacist and businessman, Asa Candler bought the formula for Coca Cola from inventor John Pemberton for $2,300. By the late 1890s, Coca Cola was one of America's most popular fountain drinks, largely due to Candler's aggressive marketing of the product. With Asa Candler, now at the helm, the Coca Cola Company increased syrup sales by over 4000% between 1890 and 1900. Advertising was an important factor in John Pemberton and Asa Candler's success and  by the turn of the century, the drink was sold across the United States and Canada. Around the same time, the company began selling syrup to independent bottling companies licensed to sell the drink. Even today, the US soft drink industry is organized on this principle. Death of the Soda Fountain - Rise of the Bottling Industry

Until the 1960s, both small town and big city dwellers enjoyed carbonated beverages at the local soda fountain or ice cream saloon. Often housed in the drug store, the soda fountain counter served as a meeting place for people of all ages. Often combined with lunch counters, the soda fountain declined in popularity as commercial ice cream,  bottled soft drinks, and fast food restaurants became popular. New Coke

On April 23, 1985, the trade secret "New Coke" formula was released. Today, products of the Coca Cola Company are consumed at the rate of more than one billion drinks per day.

Coca cola Nepal The market in Nepal is surely dominated by Coca cola. It has proven itself to be the  No.1 soft drink in Nepal. Coca cola is the choice soft drink of every one. It is consumed  by all age groups because of its distinctive taste. Compared with other Cola in the market, it is a bit sweeter and it contributes greatly to its liking by all. Consumer‟s survey results explain the same outcome and Coca cola has been declared as the most wanted soft drink of Nepal.

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Situation Analysis Company Analysis

Mission Statement “To be the world's premier consumer Products Company focused on convenient foods and beverages. We seek to produce healthy financial rewards to investors as we provide opportunities for growth and enrichment to our employees, our business partners and the communities in which we operate. And in everything we do, we strive for honesty, fairness and integrity.”

Vision Statement “To be the world's best beverage company”.

Being the best means providing

outstanding quality, service, cleanliness and value, so that their every customer is contented and happy with their products.” “To increase the value of their shareholder‟s investment through sales growth, cost control and wise investment of resources.”

Market Share Coca-Cola, imported from India, was first introduced into Nepal in 1973, with local  production of Coca-Cola beginning in 1979. Bottlers Nepal Limited (BNL) is the only  bottler of Coca-Cola products in Nepal, and has two bottling plants; namely Kathmandu (Bottlers Nepal Limited  –   BNL) and Bharatpur (Bottlers Nepal (Terai) Limited,) which is 160 km from Kathmandu, its capital. Coca Cola enjoys 67.8 percent share in Nepal´s carbonated soft drinks market, according to ACNeilsen, a global marketing research firm. The multinational brand valued at $70 billion has presence in 200 countries.

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Customer Analysis There are three types of customers 1. Consumer 2. Business 3. Government Coca cola main focus is the consumers which are the end users. Coca cola has to make its marketing strategies keeping in view the consumer buying behavior. To forecast the  behavior of the consumer is a business problem. Physical aspect of the consumer can be satisfied but it is difficult to satisfy the consumer psychologically. Consumer buying  behavior is affected by certain factors like Cultural factors, Social factors, Personal factors and Psychological factors. So the producer should keep these factors in Mind while promoting their product so that they can acquire the customer and increase their market share. There are different consumers in a society whose behavior is not the same. Every consumer has a different perception of different products. Some consumers are impressed by one quality of the product which may be in the view of other consumer not that impressive. So to deal with different consumers in a society one should know about the consumer buying behavior process which may help in making a true picture of their product in the mind of the consumers.

Consumer Decision Process: Consumer decision process or consumer buying behavior is explained in some steps which are discussed below: 

Need Identification

The consumer is thirsty and he wants to quench his thirst.

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Information Search

He will search as to what will satisfy his thirst the most. 

Evaluation of Alternatives

He will now evaluate from the wide range of beverages available to him that which one of them is suitable to him in terms of quality, taste and is pocket friendly. 

Selection

After evaluating the product he will select a product. 

Purchase

The consumer will buy the selected product. 

Post-Purchase Experience :

It is the experience that the consumer gets after using the product. He will use the  product again if he feels that his satisfaction after use is more or equal to the price of the product. After looking at above mentioned example, we can get an understanding that a product should be so desirable that whenever a person identifies his need, he selects our product among various substitute products and he feel satisfies so that he retains the use of that  product.

Competitors Company who directly target your customers. The marketing concept states that to be successful, a company must provide greater customer value and satisfaction than its competitors do. The Coca-Cola Company's main rival in the soft drink industry, is usually second to Coke in sales, and outsells Coca-Cola in some markets. RC Cola, now owned by the Dr Pepper Snapple Group,  the third largest soft drink manufacturer, is also widely 6

available. There are different types of competitor in the market. Some of them in which our product lies are discussed below: Close Competitor

Coca cola and Pepsi are close competitors. It means that both have direct competition in the market, their products are close substitutes for one another. Both the products can influence the market share of one another through effective strategies made to cope up with their competitors. In Nepal Coca cola is the market leader and Pepsi Cola is its competitor. The Coca cola makes defense strategies so that it can maintain its position in the market. While is a challenger and it makes attack strategies so that it can become the market leader.

Economic Effect Analysis 

Income and Income per Capita

If the income level or per capita income of the people increases, it will have a  positive effect on the consumption of Coca cola. 

Inflation

If the country faces inflationary trend in the market, the price of the Coca cola will ultimately increase which will lower its demand. 

Consumption Behavior

 Nepal is a consumption oriented society. Due to demonstration effect the people are more inclined towards consumption than saving. So the people of Nepal spent heavily on food items. Hence Coca cola has a good market share in the present circumstances. 

Income Distribution

It means how much is in the hands of rich and poor class. If there is balanced distribution of income in the country, the consumption of the people will increase hence increasing the sales of beverages as well. 7



Payment Mod

As the use of plastic money is increasing the consumption pattern of the people are increasing. Although it will have a low affect on the consumption of Coca cola. 

Employment Opportunities

As employment opportunities increase the living standard of the people increase and the people consume more. 

Aggregate Demand

In case of Coca cola, aggregate demand of the product increases in the season of summer as the hot weather makes the consumers want to drink more. 

Aggregate Supply

In summer season to cope up with the increasing demand they have to increase the aggregate supply of their product. 

Economic Policies

Some of the economic policies which can affect the market of Coca cola are discussed below: 

Fiscal Policy

It is the policy of taxes. If heavy tax is levied on Coca cola then its price will rise having negative effect on its consumption. 

Monetary Policy

Monetary policy is made to restrict or increase the supply of money in the market. If policies are made to restrict the flow of money in the market, inflation can be controlled hence increasing the real income of the people which will ultimately affect the consumption of Coca cola.

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Price Policy

If price of Coca cola is increased its demand will decrease and vice versa. 

Income Policy

If income of the people will increase their purchasing power will increase and hence increasing the market share of Coca Cola.

Political Effect Analysis 

Political Stability:

Whenever the government is considered to be stable, the business will flourish. If there is political stability in the country the policies and strategies made by Coca cola can be consistent to be implemented. Foreign companies are also keen to invest in those countries which are politically stable where they have no fear of decline in their market share or shut down due to sudden change of government. 

Mixed Economy

In mixed economy government and private sector both plays their role in developing the economy of the country. Investment by foreign companies like Coca cola is more likely to flourish in mixed economy. 

Laws Formulation

Government has given copy rights to Coca cola so that another company cannot sell their product by the name of Coca cola. The countries where laws are formulated, the strategies and activities of the company are different.

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Technological Factors: 

Research and Development

Through research and development quality of the product can be improved or better techniques or machinery can be developed which can increase the production. When technology is advance the supply of the product increase hence the company experiences growth in their business.

Social and Cultural Analysis 

Psychographic

It is a combination of demographic and psychological factors. Psychological attributes mean how you perceive things. The company will focus on the behavior of consumers and make different changes in their product quantity or quality and in  promoting their product so that they can attract the customers. Keeping in view that the behavior of different consumers is not alike they have to make their marketing strategies in accordance with their requirements so that they are convinced to buy the product. 

Social Status

Coca cola is a well renowned brand. People who are brand conscious will not drink  beverages of lesser known brands. They will try to show their status by drinking Coca cola which is known to all as a quality drink. 

Media

It is a very important factor for marketing. Media these days is a very effective way of inspiring people to buy a specific product. A good promotion can boast up sales to a great extent.

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SWOT Analysis Of Coca Cola SWOT Analysis, which is based on thorough review of the business (corporation,  product category competition, customers and products), identities and evaluates the internal strengths and weakness of the companies well as its external threats and opportunities. The marketing mix is driven by the results of the SWOT analysis. Strengths 

The best global brand in the world in terms of value.   According to

Interbrand, The Coca Cola Company is the most valued ($77,839 billion) brand in the world. 

World’s largest market share in beverage.   Coca Cola holds the largest

 beverage market share in the world (about 40%). 

Strong marketing and advertising.

Coca Cola‟ advertising expenses

accounted for more than $3 billion in 2012 and increased firm‟s sales and brand recognition. 

Most extensive beverage distribution channel.   Coca Cola serves more than

200 countries and more than 1.7 billion servings a day. 

Customer loyalty.  The firm enjoys having one of the most loyal consumer

groups. 

Bargaining power over suppliers.   The Coca Cola Company is the largest

 beverage producer in the world and exerts significant power over its suppliers to receive the lowest price available from them. 

Corporate Social Responsibility (CSR).  Coca Cola is increasingly focusing on

CSR programs, such as recycling/packaging, energy conservation/climate change, active healthy living, water stewardship and many others, which boosts company‟ social image and result in competitive advantage over competitors. Weaknesses 

Significant focus on carbonated drinks.   The Coca Cola Company is still

focusing on selling Coke, Fanta, Sprite and other carbonated drinks. This strategy works in short term as consumption of carbonated drinks will grow in

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emerging economies but it will prove weak as the world is fighting obesity and is moving towards consuming healthier food and drinks. 

Undiversified product portfolio. Unlike most company‟s competitors, Coca

Cola is still focusing only on selling beverage, which puts the firm at disadvantage. The overall consumption of soft drinks is stagnating and Coca Cola Company will find it hard to penetrate to other markets (selling food or snacks) when it will have to sustain current level of growth. 

High debt level due to acquisitions.   Nearly $8 billion of debt acquired from

CCE‟s acquisition significantly increased Coca Cola's debt level, interest rates and borrowing costs. 

Negative publicity. The firm is often criticized for high water consumption in

water scarce regions and using harmful ingredients to produce its drinks. 

Brand failures or many brands with insignificant amount of revenues.  Coca

Cola currently sells more than 500 brands but only few of the brands result in more than $1 billion sales. Plus, the firm‟s success of introducing new drinks is weak. Many of its introduction result in failures, for example, C2 drink. Opportunities 

Bottled water consumption growth.  Consumption of bottled water is expected

to grow both in US and the rest of the world. 

Increasing demand for healthy food and beverages.   Due to many programs

to fight obesity, demand for healthy food and beverages has increased drastically. The Coca Cola Company has an opportunity to further expand its  product range with drinks that have low amount of sugar and calories. 

Growing beverages consumption in emerging markets.  Consumption of soft

drinks is still significantly growing in emerging markets, especially BRIC countries, where Coca Cola could increase and maintain its beverages market share. 

Growth through acquisitions.   Coca Cola will find it hard to keep current

growth levels and will find it hard to penetrate new markets with its existing  product portfolio. All this can be done more easily through acquiring other companies.

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Threats 

Changes in consumer tastes.   Consumers around the world become more

health conscious and reduce their consumption of carbonated drinks, drinks that have large amounts of sugar, calories and fat. This is the most serious threat as Coca Cola is mainly serving carbonated drinks. 

Water scarcity.  Water is becoming scarcer around the world and increases both

in cost and criticism for Coca Cola over the large amounts of water used in  production. 

Strong dollar.  More than 60% of The Coca Cola Company income is from

outside US. Due to strong dollar performance against other currencies firm‟s overall income may fall. 

Legal requirements to disclose negative information on product labels.

Some Coca Cola‟s carbonated drinks have adverse health consequences. For this reason, many governments consider to pass legislation that requires disclosing such information on product labels. Products containing such information may be perceived negatively and lose its customers. 

Decreasing gross profit and net profit margins. Coca Cola‟s gross profit and

net profit margin was decreasing over the past few years and may continue to decrease due to higher water and other raw material costs. 

Competition from PepsiCo.  PepsiCo is fiercely competing with Coca Cola

over market share in BRIC countries, especially India. 

Saturated carbonated drinks market.  The company significantly relies on the

carbonated drinks sales, which is a threat for the Coca Cola as the market of carbonated drinks is not growing or even declining in the world.

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Market Segmentation It means that you divide the target market in to different groups. Market consists of  buyers and buyers differ in one or more ways. They may differ in wants, resources, locations and buying practices. Through market segmentation companies divide large, heterogeneous markets into smaller segments that can be reached more efficiently and effectively with products and services that match their unique needs. Segmentation is done on basis of the previously mentioned external factors and the following: Behavioral base

It is how people perceive a specific product, in short psychological analysis of a  product. Coca cola all over the world is recognized as a quality drink and therefore  people drink it without any hesitation whenever they are thirsty or otherwise. So marketers of Coca cola have made it a drink for all people and for diabetic people they introduced diet Coca cola. Cognitive base

It pushes and pulls the consumer. If the outlook of Coca cola bottle is desirable and it attracts the consumer, he will buy it even if he isn‟t thirsty.

Selected Market Strategy Product

The soft drinks market in Nepal enjoys dynamic growth in both volume and value terms. Carbonated drinks have become part of the culture in Nepal and multinational companies have maintained standards over the years to provide the nation with highquality drinks. Rural areas of Nepal have driven sales of carbonated drinks to new heights as more than 60 percent of the population resides in rural areas and young consumers are more attracted to advertising. Coca cola is the most popular and leader  brand in the Nepali market and is consumed by children and adults alike. Coca cola is a responsible corporate brand of Nepal and have contributed a lot to the economy. 14

In marketing, a product is anything that can be offered to a market that might satisfy a want or need. Until unless the product of the company is not strong in the market it cannot survive in the longer run. Coca cola has a product line comprised up of carbohydrate drinks, Lays and many other  products in Nepal. Coca cola‟s product line satisfies consumer needs because Coca cola  produces different types of soft drinks for different consumers. Branding

Consumer view a brand name as an important part of the product and branding can add value to the product. A name, term, sign, symbol or design or a combination of these intended to identify the goods and services of one seller or group of seller and to differentiate them from their competitor Logo

Logo is what establishes a brand name in the consumer mind. It is the brands identify, signature, image and more often it is a logo that makes of breaks a product logo plays a very effective role to improve the product or brand.

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Product line

SODA

WATER

JUICES Minute Maid

Coca cola

Aquapure

Fanta

Aquarius

Sprite Coca-Cola Zero

Packaging

“Packaging is a part of product planning in which a firm researchers, designs, and  produces its packaging.” The physical container may be a cardboard, metal, plastic or wooden box; a cellophane, wax paper, or cloth wrapper; a glass, aluminum, or plastic jar or can; a paper bag; styro foam; some other material; or a combination of these products frequently have more than one physical container. But packaging depends upon the product nature as well as structure means either it is liquid, semi liquid or solid. In case of

, they Coca cola Col a 

take the packaging designs by considering what is

 better for company and what is better or convenient for the transportation. For protecting the syrup,

  uses Coca cola Col a 

different quantity.

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the glass as well as plastic bottles of

Price

The amounts of money charged for a product or service, or sum of the values that consumers exchange for the benefits of having or using the product or services. As  price gives us the profit so this P is very important for business price of product should  be that which gives maximum benefit to the company and which gives maximum satisfaction to the customer. Following factors Coca cola kept in mind while determining the pricing strategy. 

Price should be set according to the product demand of public.



Price should be that which gives the company maximum revenue.



Price should not be too low or too high than the price competitor is charging from their customers otherwise nobody will buy your product.



Price must be keeping the view of your target market.

The price of Coca Cola, despite being market leader is the same as that of its competitor Pepsi. Sometimes, Coca cola places its customers into some psychological pricing strategies  by reducing a high priced bottle and consumers think that they save a lot of money from this.

Prices of different bottles: Regular bottle = rupees 20  Non Returnable/disposable= rupees 55 1.5 Liter Bottle= rupees 125 2.25 Liter Bottle= rupees 145

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Discounts

Coca Cola offers various discounts to those retailers who have the maximum sales of Coca cola products on daily, monthly and on seasonal basis. Seasonal Discount: Following are discounts offered by Coca cola. Coca cola also offers seasonal discounts schemes by reducing price in Dashain and Tihar. Coca cola also offers trade in allowance for retailers.

Placement/Distribution Channel The Coca cola uses the following two channels for the distribution of their products. Indirect distribution

Indirect distribution involves agency holders e.g. Bottlers Nepal Limited (BNL). The Marketing, Sales and Distribution strategy for BNL is titled „Refresh the Marketplace‟ and includes a robust Consumer Response System to address any consumer concerns, ideas and suggestions. Direct distribution

The factory vehicles operate on direct routes in Kathmandu and other cities selling nonreturnable bottles Litter, Pet and Can.

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Promotions In Nepal Coca cola is the most liked soft drink especially by young generation so the Coca cola company has devised such marketing strategy which attracted them. For this reason they started monitoring the habits of the generation. What they saw was that the students were crazy about football and usually liked to idealize them so in order to increase their sales the Coca cola Company paid high amounts of money to the footballer to act as their spokes men. Coca cola Cola Company has also become official sponsors of Nepal cricket and has sponsored a number of series. Also Coca cola has donated a lot to the earth quake victims and has launched a number of prize schemes to attract new customers As a result of this marketing strategy Coca cola has become the largest seller of soft drinks in Nepal and is slowly forming a monopoly in drinks market. Frequency of the Coca cola ads varies from time to time. When the season is on Coca cola do heavy advertisement especially in Dashain and Tihar but this advertisement not remain consist. We can hardly see the ads of Coca cola now as there is winter season.

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Conclusion Coca cola is a well renowned company and it has maintained its position well by understanding the client psychology, by ensuring quality, by introducing ingenuity in  products, by enlarging its product base, by keeping economic factors in view and by intense and jazzy advertisements. Whenever and where ever there is a spotlight event, Coca cola must figure in, like the one day international cricket matches between India and Nepal many other such occasions. The key word for success in the Marketing World is to “remain  in the spotlight” and that is what Coca cola is doing.

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Suggestions The marketing world is full of surprises. Who could imagine that Coca Cola would be overtaken by Pepsi? If Pepsi could be overrun by Coca cola, it would be no wonder that Coca cola might be overtaken by some other beverage. The need then is to combine quality with ingenuity. Along with that, the reputation of the company has to be kept robust. Today we live in a fast moving world where novelty and newness count a lot. One cannot rest on one‟s laurels. Fresh efforts, newness of approach must remain the cardinal principles of a well orchestrated marketing strategy and the campaign must be relentless. A continuous bombardment in advertisement would convince the clients that Coca cola is a part of their lives. In order to live with style, Coca cola ought to be an essential ingredient of one‟s life. The Coca cola is at its maturity stage and the sales of company are not growing very rapidly. Company is doing a lot of promotional activities to let the product remain in the market. It holds a large share of the market and whenever the sales state declining, the company can improve it by different promotional activities. Marketers of Coca cola can try to improve sales by improving one or more marketing mix elements. They can cut prices to attract new users and competitor‟s customers. They can also launch a better advertising campaign or use aggressive sales promotion to improve the sales. Thus, Coca cola is at its maturity stage.

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Bibliography

The following are the reference material where the information is collected. Online References: i)

http://en.wikipedia.org/wiki/Coca_cola

ii)

http://www.ekantipur.com/the-kathmandu-post/2010/04/01/Business/CocaCola-promotion--campaign-launched/206780/

iii)

http://www.bluechiplist.com/coca-cola/

iv)

http://www.ktm2day.com/2010/05/01/coca-cola-set-to-expand-market-innepal/

v)

http://www.studymode.com/essays/Coca-Cola-Nepal-1149300.html

vi)

http://www.ukessays.com/essays/marketing/coca-cola-and-their-internationmarketing-strategies-marketing-essay.php

vii)

http://www.cocacolasabco.com/Territory.aspx/Show/Nepal

Other References:

viii)

ix) x) xi)

xii)

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Press. 2002. 312pp.

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