Coka Cola Report

A Project Report on “MARKETING STRATEGY of „HINDUSTAN COCA-COLA BEVERAGES PRIVATE LIMITED.”

Submitted For the Partial Fulfillment of Master of Business Administration (MBA)

Under The Guidance of

Under The Supervision of

Mr. Sameer Madan Sales Trainer

Mr. Saroj K. Das Project Co-ordinator Skyline Institute of Engineering and Technology, Greater Noida

SUBMITTED BY Kapil Dev

SKYLINE INSTITUTE OF ENGINEERING AND TECHNOLOGY, Technology Allahabad GREATER NOIDA

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DECLARATION I, hereby declare that I have read the whole project thoroughly and have understood it also, made for the partial fulfillment of the project. I hereby declare that all the information provided in this project report are true to the fullest of my knowledge and it bear no resemblance to any other written material whatsoever. In the event of any information provided in this report being found incorrect or misleading, I shall be liable to any outcome at any at any given day.

KAPIL DEV MBA 3rd SEM SIET GREATER NOIDA

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ACKNOWLEDGEMENT

First of all I would like to thank the almighty God for the blessing he has given to me to complete this venture successfully. I would like to express sincere thanks to Mr. Ajay Singh (H.R.Executive) HCCBVL, ALLAHABAD for providing me chance to work at COCA-COLA. This study has been made under the supervision and guidance of Mr. Sameer Madan, (Sales Trainer). I am thankful to him for motivating me at each and every stage of my study by giving me orientation of the subject, its functioning, invaluable encouragement in completing this study. His precious guidance in designing the Questionnaire is unforgettable. It would not have been possible to do this study efficiently and timely if I was not given kind cooperation and frank responses from the officials and non officials. Therefore, it is my earnest duty to thank all of them. In the last but not the least I would like to thank my parents, my friends, all the respondents and all my well- wishers for their everlasting love and support.

KAPIL DEV MBA III SEM SIET GREATER NOIDA

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INTRODUCTON Coca-Cola, the product that has given the world its best-known taste was born in Atlanta, Georgia, on May 8, 1886. Coca-Cola Company is the world‟s leading manufacturer, marketer and distributor of non-alcoholic beverage concentrates and syrups, used to produce nearly 400 beverage brands. It sells beverage concentrates and syrups to bottling and canning operators, distributors, fountain retailers and fountain wholesalers. The Company‟s beverage products comprises of bottled and canned soft drinks as well as concentrates, syrups and not-ready-todrink powder products. In addition to this, it also produces and markets sports drinks, tea and coffee. The Coca-Cola Company began building its global network in the 1920s. Now operating in more than 200 countries and producing nearly 400 brands, the Coca-Cola system has successfully applied a simple formula on a global scale: “Provide a moment of refreshment for a small amount of money- a billion times a day.” The Coca-Cola Company and its network of bottlers comprise the most sophisticated and pervasive production and distribution system in the world. More than anything, that system is dedicated to people working long and hard to sell the products manufactured by the Company. This unique worldwide system has made The Coca-Cola Company the world‟s premier softdrink enterprise. From Boston to Beijing, from Montreal to Moscow, Coca-Cola, more than any other consumer product, has brought pleasure to thirsty consumers around the globe. For more than 115 years, Coca-Cola has created a special moment of pleasure for hundreds of millions of people every day. The Company aims at increasing shareowner value over time. It accomplishes this by working with its business partners to deliver satisfaction and value to consumers through a worldwide system of superior brands and services, thus increasing brand equity on a global basis. They aim at managing their business well with people who are strongly committed to the Company values and culture and providing an appropriately controlled environment, to meet business goals and objectives. The associates of this Company jointly take responsibility to ensure compliance with the framework of policies and protect the Company‟s assets and resources whilst limiting business risks.

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A BRIEF INSIGHT- THE FMCG INDUSTRY IN INDIA

Fast Moving Consumer Goods (FMCG), also known as Consumer Packaged Goods (CPG) are products that have a quick turnover and relatively low cost. Consumers generally put less thought into the purchase of FMCG than they do for other products. The Indian FMCG industry witnessed significant changes through the 1990s. Many players had been facing severe problems on account of increased competition from small and regional players and from slow growth across its various product categories. As a result, most of the companies were forced to revamp their product, marketing, distribution and customer service strategies to strengthen their position in the market. By the turn of the 20th century, the face of the Indian FMCG industry had changed significantly. With the liberalization and growth of the Indian economy, the Indian customer witnessed an increasing exposure to new domestic and foreign products through different media, such as television and the Internet. Apart from this, social changes such as increase in the number of nuclear families and the growing number of working couples resulting in increased spending power also contributed to the increase in the Indian consumers' personal consumption. The realization of the customer's growing awareness and the need to meet changing requirements and preferences on account of changing lifestyles required the FMCG producing companies to formulate customer-centric strategies. These changes had a positive impact, leading to the rapid growth in the FMCG industry. Increased availability of retail space, rapid urbanization, and qualified manpower also boosted the growth of the organized retailing sector. HLL led the way in revolutionizing the product, market, distribution and service formats of the FMCG industry by focusing on rural markets, direct distribution, creating new product, distribution and service formats. The FMCG sector also received a boost by government led initiatives in the 2003 budget such as the setting up of excise free zones in various parts of the country that witnessed firms moving away from outsourcing to manufacturing by investing in the zones. 4

Though the absolute profit made on FMCG products is relatively small, they generally sell in large numbers and so the cumulative profit on such products can be large. Unlike some industries, such as automobiles, computers, and airlines, FMCG does not suffer from mass layoffs every time the economy starts to dip. A person may put off buying a car but he will not put off having his dinner. Unlike other economy sectors, FMCG share float in a steady manner irrespective of global market dip, because they generally satisfy rather fundamental, as opposed to luxurious needs. Athe South Indian region. It is predicted that in the year 2010, the FMCG sector will be worth Rs.143000 crores. The sector being one of the biggest sectors of the Indian Economy provides up to 4 million jobs. The FMCG sector consists of the following categories: 

Personal Care- Oral care, Hair care, Wash (Soaps), Cosmetics and Toiletries, Deodorants and Perfumes, Paper products (Tissues, Diapers, Sanitary products) and Shoe care; the major players being; Hindustan Lever Limited, Godrej Soaps, Colgate, Marico, Dabur and Procter & Gamble.

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Household Care- Fabric wash (Laundry soaps and synthetic detergents), Household cleaners (Dish/Utensil/Floor/Toilet cleaners), Air fresheners, Insecticides and Mosquito repellants, Metal polish and Furniture polish; the major players being; Hindustan Lever Limited, Nirma and Ricket Colman.

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Branded and Packaged foods and beverages- Health beverages, Soft drinks, Staples/Cereals, Bakery products (Biscuits, Breads, Cakes), Snack foods, Chocolates, Ice-creams, Tea, Coffee, Processed fruits, Processed vegetables, Processed meat, Branded flour, Bottled water, Branded rice, Branded sugar, Juices; the major players being; Hindustan Lever Limited, Nestle, Coca-Cola, Cadbury, Pepsi and Dabur

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Spirits and Tobacco; the major players being; ITC, Godfrey, Philips and UB

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A BRIEF INSIGHT: THE BEVERAGE INDUSTRY IN INDIA In India, beverages form an important part of the lives of people. It is an industry, in which the players constantly innovate, in order to come up with better products to gain more consumers and satisfy the existing consumers.

BEVERAGES

Alcoholic

Non-Alcoholic

Carbonated

Cola

Non-Carbonated

Non-Cola

Non-Cola

FIGURE 1: BEVERAGE INDUSTRY IN INDIA

The beverage industry is vast and there various ways of segmenting it, so as to cater the right product to the right person. The different ways of segmenting it are as follows: 

Alcoholic, non-alcoholic and sports beverages

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Natural and Synthetic beverages

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In-home consumption and out of home on premises consumption.

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Age wise segmentation i.e. beverages for kids, for adults and for senior citizens 6

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Segmentation based on the amount of consumption i.e. high levels of consumption and low levels of consumption.

If the behavioral patterns of consumers in India are closely noticed, it could be observed that consumers perceive beverages in two different ways i.e. beverages are a luxury and that beverages have to be consumed occasionally. These two perceptions are the biggest challenges faced by the beverage industry. In order to leverage the beverage industry, it is important to address this issue so as to encourage regular consumption as well as and to make the industry more affordable. Four strong strategic elements to increase consumption of the products of the beverage industry in India are: 

The quality and the consistency of beverages needs to be enhanced so that consumers are satisfied and they enjoy consuming beverages.

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The credibility and trust needs to be built so that there is a very strong and safe feeling that the consumers have while consuming the beverages.

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Consumer education is a must to bring out benefits of beverage consumption whether in terms of health, taste, relaxation, stimulation, refreshment, well-being or prestige relevant to the category.

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Communication should be relevant and trendy so that consumers are able to find an appeal to go out, purchase and consume.

The beverage market has still to achieve greater penetration and also a wider spread of distribution. It is important to look at the entire beverage market, as a big opportunity, for brand and sales growth in turn to add up to the overall growth of the food and beverage industry in the economy.

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THE COCA-COLA COMPANY In May 1886, Coca – Cola was invented by Dr. 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 suggestion given John Pemberton‟s bookkeeper Frank Robinson. Being a bookkeeper Frank Robinson also had excellent penmanship it was he who first “Coca – Cola “Into the flowing letter‟s this has become the famous logo of today. The soft drinks were 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 each day. Sales for that first year added up to total of $ 50. The funny thing was that it cost John Pemberton over $ 70 in expenses, so the first year of sales was loss.Until 1905, the soft drinks, marked as a tonic contained extracts to cocaine as well as the caffeine- rich kola nut. By the late 1890s, Coca – Cola was one of America‟s most popular fountain drinks. With another Atlanta pharmacist, Asa Griggs Candler, at the helm, the Coca –Cola Company increased syrup sales by over 400 % between 1890 and 1900.Advertising was an important factor in Pemberton and Candler‟s success & by the turn of the century, the drink was sold across the United States and Canada. Around 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. Until the 1960‟s both small town & 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 for all ages. Often combined with lunch counters, the soda fountain declined in popularity as commercial ice – cream, bottled soft drinks, & fast food restaurant came to the fore.

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Headache Remedy On May of 1886 Dr.Pemberton concocted caramel-colored syrup in a three-legged brass kettle in his backyard. He first "distributed" the new product by carrying Coca-Cola in a jug down the street to Jacobs Pharmacy. For five cents, consumers could enjoy a glass of Coca-Cola at the soda fountain. Whether by design or accident, carbonated water was teamed with the new syrup, producing a drink that was proclaimed "Delicious and Refreshing." Dr. Pemberton's partner and bookkeeper, Frank M. Robinson, created the name. The Coca-Cola The Coca-Cola Company exists to benefit and refresh everyone it touches. Founded in 1886, the Company is the world's leading manufacturer, marketer, and distributor of nonalcoholic beverage concentrates and syrups, used to produce nearly 400 beverage brands. The company corporate headquarters are in Atlanta, with local operations in over 200 countries around the world. While The Coca-Cola Company is a global company with some of the world's most widely recognized brands, the Coca-Cola business in India, as in each country where it operates, is a local business. The beverages are produced locally, employing Indian citizens, its product range and marketing reflect Indian tastes and lifestyles, and are deeply involved in the life of the local communities in which they operate. For company, Quality is more than just something they taste or see or measure. It shows in its every action. They relentlessly strive to exceed the world's ever-changing expectations because keeping their Quality promise in the marketplace is highest business objective and their enduring obligation. More than a billion times every day, consumers choose coke brand of refreshment because Coca-Cola is.... 

The Symbol of Quality Customer and Consumer Satisfaction A Responsible Citizen of the World.

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The heart and soul of enterprise has always been the people. Over the past century, CocaCola people have led the success by living and working with a consistent set of ideals. While the world and company business will continue to change rapidly, respecting these ideals will continue to be essential to their long-term success. Nothing is more important to coca cola success than integrity. This begins with insisting on absolute quality for every one of its products, and acting with a strong sense of accountability in everything they do.

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Coca-Cola people have always known that building and nurturing relationships with other people and the world around them is an essential part of their work. No matter how big or complex business becomes, it must always demonstrate complete respect for each other. As the world becomes more interconnected, yet more firmly rooted in local pride, recognition of their interdependence with company stakeholders becomes even more essential.

Formula of Coca Cola The exact formula of Coca-Cola is a famous trade secret. The original copy of the formula is held in SunTrust Bank's main vault in Atlanta. Its predecessor, the Trust Company, was the underwriter for the Coca-Cola Company's initial public offering in 1919. A popular myth states that only two executives have access to the formula, with each executive having only half the formula. The truth is that while Coca-Cola does have a rule restricting access to only two executives, each knows the entire formula and others, in addition to the prescribed duo, have known the formulation process. Franchised Production Model The actual production and distribution of Coca-Cola follows a franchising model. The Coca-Cola Company only produces a syrup concentrate, which it sells to various bottlers throughout the world who hold Coca-Cola franchises for one or more geographical areas. The bottlers produce the final drink by mixing the syrup with filtered water and sugar (or artificial sweeteners) and then carbonate it before filling it into cans and bottles, which the bottlers then sell and distribute to retail stores, vending machines, restaurants and food service distributors. 10

The Coca Cola Business in India While the Coca – Cola Company is a global company with some of the world‟s most widely recognized brands, the Coca – Cola business in India, as an each country were company operate, is a local business. The beverages are produced locally, employing Indian citizens, the product range & marketing reflect Indian testes & life styles, and the company is deeply involved in the life of the local communities in which it operate. Re-entering in Indian Market After a 16 – year absence Coca – Cola returned to India in 1993. The company‟s

presence in

India was commented in November that year in a deal that gave Coca – Cola ownership of the nation‟s top soft drink brands & bottling network.

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INVESTMENT, EMPLOYMENT AND ECONOMICS IMPACT

Coca – Cola India has made significant investment to build & continually improve its business in India, including new production facilities, waste water treatment plants, & distribution system & marketing equipment. Drugging the past decades, the Coca – Cola system has invested more than US $ 1 billion in India. As such Coca – Cola is one of the countries top international investors. In 2003, Coca – Cola India pledged to invest further US $ 100 million in its operations. The Coca–Cola business system directly employees approximately 10,000 local people in India. In addition, several independent studies have documented that, by providing opportunities for local enterprises, the Coca – Cola business also generates a significant employment “multiplier effect”. In India, we indirectly create employment for for more than 1,25,000 people in related industries through our vast procurement, supply & distribuitrion. BOTTLING OPERATION The Coca – Cola system in India comprises 27 wholly owned company – bottling operations & another 17 franchises – owned bottling operations. A network of 29 contract – packers also manufactures a range of products for the company. Almost all the goods & services required producing and marketing Coca – Cola in India are made locally, sometimes with the help of technology & skills from the company. The complexity of the Indian market is reflected in the distribution fleet, which includes 10 – tone trucks, open – bay trademarked tricycles and pushcarts.

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PRODUCTS Leading Indian brands Thums -up , Sprite , Limca, Fanta , Maaza join the company‟s international family of brands, including Coca – Cola, Diet Coke, Minute – Maid Pulpy Orange .The company Kinley water brand was launched in 2000 and, in 2001 , our energy drink shook & our first powdered concentrate , Sun fill, hit the market. In 2008, Bonaqua water was launched. Annual per capita consumption of soft drinks in India is nine 8 – ounce.

MARKETING While broad direction & themes for our global brands are created at a global level, specific marketing programmes for our product are determined locally. In early 2003, Coca – Cola India collected advertiser of the year and campaign of the year awards for the Thanda Matlab Coca – Cola all media campaign. Innovation has been the hallmark of other marketing campaigns, with the company racking up “first” in the introduction of channel & PET soft drinks, vending machines and backpack dispensers for crowds of cricket supporters.

QUALITY The company considers the consistent high quality of beverages to be one of our business primary assets. In India, as in each country where we produce our beverages, the Coca – Cola system adheres not only to national laws on food processing & labeling, but also to their own strict standards for exceptional quality. In every thing they do, from the selection of ingredients to the production of beverages. The Coca – Cola quality system, to ensure that they are offering consumers only the highest quality products. They monitor their success through their customer & consumer feedback and in – trade monitoring programmes, and this information enables them to continuously improve their already demanding system.

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COCA – COLA AND THE COMMUNITY In Coca – Cola, the company have a long standing belief that everyone who touches their business should benefit. That basic proposition that their business should bring benefit & refreshment is central to the way they operate in Communities around the world. Coca – Cola India provide extensive support for community programmes across the country, with a focus on education health & rainwater harvesting, all key priorities of the Indian government which has recognized the company‟s efforts with a several awards. Education Coca – Cola India is supporting community – based primary education project setup to provide educational opportunities to marginalized children in slums & villages. To data, the projects has benefited 50 schools, 1000 of students, over 500,000 villagers and 10,000 slum dwellers, as well as several village near Coca – Cola bottling. Environment Coca – Cola India is supporting community – based rainwater harvesting projects in rural & urban areas to help restore water levels & promote community education in ways to conserve natural resources. These initiatives have a benefited over 10,000 Delhi residents, as well as local community members, both in areas surrounding Coca – Cola bottling plants & else where. Healthcare Coca – Cola India is partnering with NGO‟s as well as St. John‟s Ambulance Brigade (Red Cross) to provide free medical facilities & information to poor people who can‟t afford to visit hospital facilities. These efforts are helping tens of thousands of under privileged people in seven states in India, as well as several villages near Coca – Cola bottling plants. The company has also supported a range of other national initiatives, such as a major polio – eradication drive and drought- relief programme, in addition to support towards the national cricket championship for the blind, and national athletics meetings for the physically challenged. 14

HINDUSTAN COCA-COLA BEVERAGES PRIVATE LIMITED (HCCBPL)

The Company Coca-Cola was the leading soft drink brand in India until 1977, when it left rather than reveals its formula to the Government and reduces its equity stake as required under the Foreign Regulation Act (FERA) which governed the operations of foreign companies in India. Coca-Cola re-entered the Indian market on 26th October 1993 after a gap of 16 years, with its launch in Agra. An agreement with the Parle Group gave the Company instant ownership of the top soft drink brands of the nation. With access to 53 of Parle‟s plants and a well set bottling network, an excellent base for rapid introduction of the Company‟s International brands was formed. The Coca-Cola Company acquired soft drink brands like Thumps Up, Gold spot, Limca, Maaza, which were floated by Parle, as these products had achieved a strong consumer base and formed a strong brand image in Indian market during the re-entry of Coca-Cola in 1993.Thus these products became a part of range of products of the Coca-Cola Company. In the new liberalized and deregulated environment in 1993, Coca-Cola made its re-entry into India through its 100% owned subsidiary, HCCBPL, the Indian bottling arm of the Coca-Cola Company. However, this was based on numerous commitments and stipulations which the Company agreed to implement in due course. One such major commitment was that, the Hindustan Coca-Cola Holdings would divest 49% of its shareholding in favor of resident shareholders by June 2002. Coca-Cola is made up of 7000 local employees, 500 managers, over 60 manufacturing locations, 27 Company Owned Bottling Operations (COBO), 17 Franchisee Owned Bottling Operations (FOBO) and a network of 29 Contract Packers that facilitate the manufacture process of a range of products for the company. It also has a supporting distribution network consisting of 700,000 retail outlets and 8000 distributors. Almost all goods and services required to cater to the Indian market are made locally, with help of technology and skills within the Company. The complexity 15

of the Indian market is reflected in the distribution fleet which includes different modes of distribution, from 10-tonne trucks to open-bay three wheelers that can navigate through narrow alleyways of Indian cities and trademarked tricycles and pushcarts. “Think local, act local”, is the mantra that Coca-Cola follows, with punch lines like “Life ho to aisi” for Urban India and “Thanda Matlab Coca-Cola” for Rural India. This resulted in a 37% growth rate in rural India visa-vie 24% growth seen in urban India. Between 2001 and 2003, the per capita consumption of cold drinks doubled due to the launch of the new packaging of 200 ml returnable glass bottles which were made available at a price of Rs.5 per bottle. This new market accounted for over 80% of India‟s new Coca-Cola drinkers. At Coca-Cola, they have a long standing belief that everyone who touches their business should benefit, thereby inducing them to uphold these values, enabling the Company to achieve success, recognition and loyalty worldwide.

COBO FOBO CONTRACT PACKAGING

FIGURE: LOCATIONS OF COBO, FOBO & CONTRACT PACKAGING IN INDIA

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ORGANIZATION STRUCTURE OF COCA-COLA

Chief Executive Officer

Vice President Supply Chain

Chief Finance Officer

Human Resource Director

Vice President BSG

Regional Vice President (North)

Regional Vice President (Central) FIGURE : ORGANIZATION STRUCTURE IN COCA-COLA, INIDA

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Region Vice President AGM/AOD Unit 1 AGM/AOD Unit 2 AGM/AOD Unit 3 AGM/AOD Unit4 Region Finance

Region Human Resource

Region Customer Service Region External Affairs

Region Cold Drink

Region Legal

Region BSG

Region Director/Manager Market Execution Region Capability Region Channel Management FIGURE : ORGANIZATION STRUCTURE IN COCA-COLA, INDIA

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ORGANIZATION STRUCTURE OF THE SALES DEPARTMENT

AGM/AOD

Plant Manager

Route to Market

Human Resource Manager

General Sales Manager

Finance Manager

Area Sales Manager

Channel Manager

Sales Executive

Market Developer

Marketing

Key Accounts

Distributors And Salesmen

FIGURE : ORGANIZATION STRUCTURE OF THE SALES DEPARTMENT

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Area Capability Manager

Sales Trainers

THE VALUE OF BRAND

Packaging is always going to have a huge impact on brand awareness and expansion. Neville Isdell, The Coca-Cola Company, outlines his manifesto for growth and shows that, even for the biggest players in manufacturing and retail, the quest for value is relentless. The Coca-Cola Company's 'Manifesto for Growth' is the operating framework. The company have established to return The Coca-Cola Company to sustainable growth in the future, with specific and measurable goals for people, their portfolio of brands, their partners, the planet and, of course, profit. In short, the company has a clear path forward. And their call to action is made with humble confidence – which recognises that they have sometimes acted with arrogance in the past, vis-à-vis the market and their customers. "Price is what you pay, value is what you get." Retailers and food and beverage companies need each other more than ever before. As retailers look for ways to distinguish themselves in the eyes of consumers, they need good, strong brands to help bring shoppers through the doors and improve the shopping experience. And as tastes continue to fragment and consumers become more demanding, food and beverage companies need insights about shoppers that only retailers possess. Ultimately, what is needed is a partnership between food and beverage companies and retailers to jointly improve company‟s understanding of, and connection with, consumers.

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THE COCA COLA AS A BRAND

Consumers often prefer products that have a strong, positive image. An important ingredient of this image will be the associations that are evoked in the mind of the consumer. The 'brand personality' is what people think and feel, consciously and subconsciously, about a company identity or product and is described the same way as we would a person. It is necessary to create the right image i.e. one that closely matches consumers' feelings and expectations of what the product should be like. Marketing managers try to build on associations between products and other aspects of life. Sponsorship is one way of building these brand associations. Sponsorship involves providing financial support, creative input, media support, and experience to an important event or activity organised by another party. In return, the company receives a public opportunity to be seen to support and be associated with an event, activity or person. Sponsorship is a crucial part of a public relations strategy because it is possible to reach a target audience with a specific message.

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BRAND POSITIONING

'Coca-Cola's' brand personality reflects the positioning of its brand. The process of positioning a brand or product is a complex managerial task and must be done over time using all the elements of the marketing mix. Positioning is in the mind of the consumer and can be described as how the product is considered by that consumer. When researching the positioning of a product, consumers are often asked how they would describe that product if it were a person. The purpose of this is to develop a character statement. This can ensure that consumers have a clear view of the brand values that make up the brand personality, just like the values and beliefs that make up a person. Many people see 'Coca-Cola' as a part of their daily life. This affinity between the brand and the consumer leads to a high degree of loyalty and makes the purchasing decision easier. Brand positioning guides 'what' will be communicated in the company's advertising, while the character statement guides 'how' a message should be delivered or put across.

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SPONSORSHIP AND MARKETING The Marketing Mix is the name placed on the '4Ps' of marketing: Product, Place, Price, and Promotion. It is this fourth element, Promotion, which is focused by Coca Cola. This involves communicating the benefits of a product to increase sales and ultimately profits. There are four main methods of promoting the benefits of a brand. Advertising Personal Selling Public Relations & Sponsorship (PR) Sales Promotion The combination of these four methods constitutes the Promotion Mix. Public Relations is about communicating with the media to create good publicity for a firm or its products. The media then communicate these activities to the public. Public Relations one of the marketing department's functions is to manage public relations and maintain a positive and beneficial image of the firm's policies and products. The aims of the Public Relations Manager liaising with the marketing function are to:

● Make the public aware of the existence of the firm and maintain the good name and image of 'Coca-Cola' by issuing press releases, organising news conferences And informing the public about the firm's activity.

● Maintain goodwill amongst the public for the company. Goodwill is the likelihood that the existing customer will return and can be equated with brand loyalty. Brand loyalty occurs when customers repeat-purchase a particular branded product on a regular basis. 'Coca-Cola' has a high level of brand loyalty. When you want a drink do you automatically pick up a bottle of 'Coca-Cola 23

BRAND VALUE IN INTERNATIONAL EVENTS

Coca-Cola's powerful brand personality has become a vehicle for promotion in its own right, sponsoring many events both on a global and local level. The company has long been associated with global events such as The Olympic Games, The FIFA World Cup, Rugby World Cup and Special Olympics. Coke has also been linked to world fairs and national exhibitions since 1905. With the Olympics blossoming in popularity and complexity, increased attention has been turned to serving the growing crowds and to supplying the needs of the athletes and organising committees. In many countries where Olympic associations lack full government sponsorship local bottlers of 'Coca-Cola' donate funds to aid potential Olympians as the partnership of 'CocaCola' and the Olympics continues to grow. 'Coca-Cola' was the official sponsor of the Olympics 2000 Games held in Sydney maintaining an unbroken presence at the games since 1928. The company has already contracted to sponsor both the Summer and Winter Games through to 2008. 'Coca-Cola' was the official global sponsor of the Special Olympics held in Ireland in 2003 (this was the first time the games had been hosted outside the US). As the Olympic Movement's longest-standing corporate partner, 'Coca-Cola' has aided the evolution of games together with more than 190 National Olympic Committees assisting thousands of athletes in the irtraining.

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BUSINESS OVERVIEW Coca – Cola, the world‟s most famous brand completing 121st year of its existence on 8th May this year. Today the Company is an unquestionable leader in the world business of non – alcoholic beverages. Coca –Cola is the world‟s largest selling soft drink & arguably the most successful product ever marked in the history of commerce. More than one billion serving of Coca – Cola products are consumed everyday around the world in more than 200 countries. In India, Coca – Cola operates through the Coca – Cola India Division Office situated at Gurgaon near New Delhi. Hindustan Coca – Cola Beverages Pvt. Ltd. is the fully owned subsidiary of the Coca – Cola India which runs a number of bottling plants all over India. Hindustan Coca – Cola Beverages Pvt. Ltd., Varanasi is one of the key unit in East U.P. This unit is situated at approximately 18 KM from the city and 40 KM from the nearest airport of Varanasi. The unit has a single bottling line of 600 bottles per minute capacity. Almost all brands of Coca – Cola Company, prominent amongst them, Coca – Cola, Thums – Up, Sprite, Fanta Kinley Soda etc.., are manufactured here. The sizes of packaging vary from 200 ml, 250 ml, and 300 ml to 1 liter capacity. Returnable glass bottle (RGB) is the only package used. Glass bottles are handled in plastic reusable crates. Thus there is no any significant environment impact because of packaging. The raw materials are used are Water, Sugar, Concentrate & Carbon Di – Oxide Concentrate plant near Pune supplies the Concentrate to this bottling unit. The wasted generated during the manufacturing process are mainly waste water & non – hazardous solid waste in saleable and non – saleable category. Saleable waste includes broken glass, plastics , papers, gunny bags, metal scrap & other miscellaneous waste. Obviously the saleable waste is recycled or reused as raw material to businesses and industrial activities and has no adverse environmental impact. Non – saleable waste consists of biological ETP Sludge, used carbon, garbage and canteen waste etc.

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Manufacturing Process: The Coca – Cola are committed to manufacture our products with utmost care and with quality at top priority which makes it the world leader in soft drink industry. Following is an over view of the stringent processes adopted in manufacturing before our quality product reaches finally to our proud consumers. Water Treatment: The company at HCCBPL Varanasi follows a batch treatment process for water treatment which includes coagulation & flocculation. The method ensures disinfection and setting of all macro impurities and thereafter it is passed to sand, carbon filters to remove off odor, off color, off taste & thus it is strictly bought in line with the WHO requirements. We are also using state of the art – micron filtration process where the water is filtered up to the extent of 1 micron before it is fed to the process. This extensive treatment of water under strict monitoring & sampling for quality leads to pure hygienic water with the highest quality meeting the Coca – Cola standards.

Syrup Preparation: Coca – Cola uses the highest quality of sugar which is controlled & ensured by it‟s stringent prelaid standards, which serves as the strict criteria before acceptance of a lot. To ensure high quality of syrup, it is subjected to hot treatment wherein it is given a contact time with hyflo and carbon at elevated temperatures. It is then passes through a filter press which removes the carbon particles and other impurities before it declared fit for Concentrate mixing. In the ready syrup tank the predefined quantity of Concentrate is mixed to the simple syrup in very strict hygienic conditions to yield final syrup.

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Container Washing: Container washing has been identified as one of the major critical control point in the entire manufacturing process & that‟s the reason that company has laid some of the very stringent & foolproof systems which ensures Coca – Cola product to be of the highest quality & reflects our commitment towards delivering the best in class product to the consumers. The bottles received from the market are loaded on the conveyor by the uncasing machine and the arrays of unwashed bottles passes through the four pre – wash inspection, stations which ensures removal of rusty neck bottle excessively dirty bottles, bottles carrying foreign matter, foreign bottles. And thus the good bottles posses into the bottle washing machine which uses intensive mechanical & chemical processes to clean and disinfect the bottles thoroughly and ensure that the bottles to be ready for filling. However as an additional safety, there is again a post wash inspection station comprising of 4 sub stations, which ensures removal of the chip necked bottles & suspected bottles from the lot. Thus the bottles are subjected to series of stringent inspections before it is fed to the filler for filling. Specifications.It is carried out by an Italian Machine – MOJONNIER. Filling & Crowning: The chilled carbonated beverage fed by the MOJONNIER is filled into the bottles through a rotary machine named FILLER. The bottles are immediately crowned by crowner (adjacent to the filler ) and thereafter the bottles passes through the Date Coding machine which enable the consumer to be 100 percent sure of consuming a perfectly safe & fresh product. Final Inspection: After date coding, there is once again a final inspection station where light inspectors remove all low or high filled bottles and permit only the saleable product to pass through for casing to the caser machine. 27

Managing the waste water: Production lines generate waste water from bottle washers, Syrup & Filler rooms. Entire waste water generated is treated at Waste Water Treatment Plant and discharged through an 800 meters long pipeline specially laid to discharge treated waste water away from inhabited areas. Part of this water is being used for gardening purposes within the plant premises.

Market and Customers: Once the finished product is ready it is transported to distribution centers and then to retail outlets by way of route trucks. The consumers buy the soft drinks from the retailer outlets. The empty bottles are simultaneously collected by the distribution channels at the time of dispensing the finished product.

Suppliers and Other Business Partners: Other than water and concentrate, bottling operation requires Sugar, CO2, bottles, crates and other miscellaneous material. The Coca – Cola India Division has a Supplier authorization program where suppliers are authorized Based on a defined criterion. Environmental considerations are amongst the critical of these criterions.

Employees, Plant and Machinery: The no. of total unit employees is approximately 113 in summer season, which is a peak season for sale of soft drinks. The plant works for three – shift operation round the clock. The overall educational level of the employees is good. Obviously, they have a good expertise in water treatment & purification processes. Extensive in – house training programs are conducted 28

to maintain the competency of the manpower in respective areas. The plant & machinery consists of state of art bottling machinery and test equipment to get consistent quality product at the optimum usage of raw materials. The plant also has an extensive quality test laboratory with equipment like spectrophotometer, density meter, micro lab etc. to conduct on the spot tests at various stages of production. A typical bottling line will consist of uncase pre wash inspection station – conveyers bottle washer – post wash bottle inspection station – filler – final light inspection station – conveyor – and caser. Water treatment plant supplies treated water for beverages and syrup preparation. Plant utilities support the production fulfilling the requirement of compressed air, refrigeration, power & steam supply.

29

Critical Success Factors As Perceived By The Organization: Critical success factors that the company has identified are Product quality, availability, affordability, and freshness of the product. In the words of Mr. Dough Daft, “The Coca – Cola Company exists to benefit and refresh everyone who is touched by our business.” The Company believes that good environmental performance & environmental leadership will make its operations more efficient, cost effective and lead to high quality product. It also believes that good environmental performance will enhance its community relations & leadership in the market place. The Eco policy clearly states that “We will conduct our business in ways that protect, preserve & enhance the environment.”

In the words of Chairman of the Coca – Cola Company ……….. “Implementation of Coca – Cola Environment Management System, Eko system, throughout our organization will help us to protect & grow our business through continued environmental leadership. The management system should the part of the annual business planning process of all groups, divisions & bottlers in our system. I encourage all company associates to use the Eko system to help us continue to improve our record of environmental excellence.”

30

DISTRIBUTION CHANNEL IN ALLAHABAD At present, the Cola‟s products are produced in the plant (Rajatalab) and it‟s transferred to various distributor throughout the according to demand and company target.

HINDUSTAN COCA COLA BEVERAGES LTD.

Distributor

Retailers

Distributor

C&F

Whole Seller

Whole Seller

Retailers

Retailers

CONSUMERS

31

Whole Seller

Retailers

HINDUSTAN COCA COLA BEVERAGE, ALLAHABAD

Segmented Market: Geographical Segmentation Region Wise. Target Market: East market according to the situation of Coca – Cola Plant, Rajatalab, Varanasi Targeted Area: Civillines,

Kareli,

Katra,

Alopibag,

Allahpur,

Teliarganj,

jhunsi,Naini, jhonsonganj, Kydganj, Bairahna, Gaughat, Phaphamau, Ashok Nagar,Lukerganj, Manauri,

Target Agencies: 1. Nirmal Enterprises 2. Gaurav Enterprises 3. Dubey Enterprises 4. Love Geru Enterprise

32

T.P.Nagar,

COKE PRODUCTS IN ALLAHABAD MARKET Product Available in Allahabad Market & Rates, Volumes, Profit, Cost, as on July 2009 Coca – Cola has a wide range of product at different volumes Product Line  Coca – Cola  Thums- up  Sprite  Limca  Fanta  Maaza (RGB)  Maaza Tetra  Kinley Soda  Kinley Water  MMPO Product Volumes Available  200 ml  250 ml  300 ml  330 ml  600 ml  1 lit  1.2 lit  1.25 lit  2 lit  2.25 lit

33

PACKAGING AND PRICING

VOLUME

NO. OF BOTTLE

COST

200 ml.

24

148

300 ml

24

216

600 ml

24

450

1.25 lit

12

378

2 lit

09

423

CAN 330 ml

24

540

SODA 300 ml

24

124

KINLEY (WATER) 1 lit

12

110

MAAZA 250 ml

24

216

600 ml

24

552

1.2 lit

12

504

34

BEST BEFORE DATE

RGB (200 ml, 300ml)

6

Mobile (600 ml)

2.5 Months

Can (330 ml)

6 Months

Pet (1.25 lit)

3 Months

Pet (2 lit)

3 Months

Maaza (250 ml)

6

Months

Months

(600 ml)

6 Months

(1.2 lit)

6 Months

Prices per bottle on different volumes Soft Drinks: VOLUME

COST

200 ml

08

300 ml

10

330 ml

25

600 ml

20

1.25 lit

35

2 lit

50

Maaza 250 ml

10

600 ml

25

1.2 lit

45

MMPO 400 ml

25

01 lit

60

35

PROUCT PROFILE

1. THUMS UP Thums Up is a leading carbonated soft drink & most trusted brand in India. Originally, introduced in 1977, Thums was acquired by the Coca – Cola Company in India. Thums Up is known for its strong, fizzy, its confident, mature & uniquely masculine attitude. This brand seeks to separate the men from the boys.

2. COCA COLA

Coca-cola is the basic product of its company and in India it has a strong image and high sale to. It comes in different packs like of 300 ml, 1.25 lit, Can etc.

36

3. SPRITE Sprite is worldwide ranked as the No. 4 soft drink & is sold in more than 190 countries. In India, Sprite was launched in year 1999 & today it has grown to be one of the fasted growing soft drinks. Today Sprite is perceived as a youth icon. Why? With a strong appeal to the youth, Sprite has stood for a straight forward & honest attitude. Its clear crisp refers hingtaste encourages the today‟s youth to trust their instincts, influence them to be true to who they are and to obey their thirst.

4. LIMCA Lime n‟ Lemony, the drink that can cast a tangy refreshing spell on anyone, anywhere. Born in 1971 Limca has been the original thirst choice, of millions of consumers for over 3 decades. The brand has been displaying healthy volume growths year on year and Limca continues to be the leading flavor soft drink in the country. The success formula? The sharp fizz & lemony bite combined with the single minded positioning of the brand as the ultimate refresher has continuously strengthened the brand franchise. Limca energizes refreshes & transforms. Dive into the zingy refreshment of Limca and walk away a new person………..

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5.FANTA Internationally, the „orange‟ drink of Coca – Cola Company, is seen as one of the favorite drinks since 1940‟s. Fanta entered the Indian market in the year 1993. Over the years Fanta has occupied a strong market place and is identified as “The Fun Catalyst”. Perceived as a fun youth brand, Fanta stands for its vibrant color, tempting taste and tingling bubbles that not just uplifts feelings but also helps free spirit thus encouraging one to indulge in the moment. This positive imagery is associated with happy, cheerful & special times with friends.

6.MAAZA Maaza was launched in 1976. Here was a drink that offered the same real taste of fruit juices and was available throughout the year. In 1993, Maaza was acquired by Coca – Cola India. Maaza currently dominates the fruit drink category. Over the years, brand Maaza has become synonymous with mango. This has been the result of such successful campaigns like “Taaza Mango, Maaza Mango” and “Botal Mein Aam, Maaza Hain Naam”. Consumers regard Maaza as wholesome, natural, fun drink which delivers the real experience of fruit. Position: The current advertising of Maaza it as an enabler of fun friendship moments between mom & kids as mom trusts the brand and the kids love its taste. The campaign builds on the existing equity of the brand & delivers a relevant emotional benefit to the moms rightly captured in the tag line “Yaari Dosti Taaza Maaza”.

38

7. MMPO. Hindustan Coca – Cola Beverages Pvt. Ltd. is proud to introduce Minute Maid Pulpy Orange to North India, one of the world‟s largest juice drink brands. Right mix of sweetness & real orange pulp has made MMPO the most preferred juice drink brand Across many countries. Consumer tests done by leading international Research Consultants have Proven the same. The launched will be supported with heavy television advertising, outdoors, promotional activities & consumer sampling. Minute Maid is ready to refresh you and your customers & also will boost your Business and further strengthens our close relationship with you.

8.KINLEY WATER: Ritual pure water, a thirst quencher that refreshes a life giving force that washes all the toxins away. A ritual purifier that cleanses, purifies, transforms. Water, the most basic need of life, the very sustenance of life, a celebration of life itself. The importance of water can never be understood. Particularly in nation such as India where water governs the lives of the millions, be it as part of everyday rituals or as the monsoon which gives life to the sub - continent. Kinley water understands the importance & value of this life giving force. Thus, Kinley water promises water that it as pure as it is meant to be. Water you can trust to be truly safe and pure.

39

9. BONAQUA WATER: Bonaqua water came in 2008, with the assurance of safety from the Coca – Cola Company. That is why we introduced Bonaqua with reverse – osmosis along with the latest technology to ensure the purity of our product. That‟s why company go through rigorous testing procedures at each & every location where Bonaqua is produced. Because company believe that right to pure, safe drinking water if fundamental. A universal need that can‟t be left to change. Fire to cleanses, purifies, transforms. Water, the most basic need of life, the very sustenance of life, a celebration of life itself.

40

COMPETITORS The competitors to the products of the company mainly lie in the non-alcoholic beverage industry consisting of juices and soft drinks. The key competitors in the industry are as follows: 

PepsiCo: The PepsiCo challenge, to keep up with archrival, the Coca-Cola Company never ends for the World's # 2, carbonated soft-drink maker. The company's soft drinks include Pepsi, Mountain Dew, and Slice. Cola is not the company's only beverage; PepsiCo sells Tropicana orange juice brands, Gatorade sports drink, and Aquafina water. PepsiCo also sells Dole juices and Lipton ready-to-drink tea. PepsiCo and Coca-Cola hold together, a market share of 95% out of which 60.8% is held by Coca-Cola and the rest belongs to Pepsi.



Nestlé: Nestle does not give that tough a competition to Coca-Cola as it mainly deals with milk products, Baby foods and Chocolates. But the iced tea that is Nestea which has been introduced into the market by Nestle provides a considerable amount of competition to the products of the Company. Iced tea is one of the closest substitutes to the Colas as it is a thirst quencher and it is healthier when compared to fizz drinks. The flavored milk products also have become substitutes to the products of the company due to growing health awareness among people.



Dabur: Dabur in India, is one of the most trusted brands as it has been operating ever since times and people have laid all their trust in the Company and the products of the Company. Apart from food products, Dabur has introduced into the market Real Juice which is packaged fresh fruit juice. These products give a strong competition to Maaza and the latest product Minute Maid Pulpy Orange.

41

RIGHT EXECUTION DAILY



RED held every end of the month to check the availability of products, purify the visi cooler & chest cooler, marketing elements etc.



In RED Company emphasizes on the setting up a cooler either into outlet or outdoor.



Set up Menu Boards with Combo and setting up of Hanging Rack.



Setting up Warm Display which attracts the attention of customers.



Setting up the price cards or price stripes.



Available essential marketing elements with full of refrigerator inside and crates outside for display, of Coca –Cola product, not other brand. It attracts the customers.



There are different channels (Grocery, E&D, and Convenience) and VPO (Diamond Gold, silver). Accordingly it arrange the brands, make there availability.



It adds the points of Market developer (MD) and Market Developer Executive (MDE).

42

DISPLAY: Right Execution Daily

43

1. Grocery Stores: Outlets primarily engaged in retailing of food and various household items. It includes Grocery (Outlets dealing mainly in Grains, Provisions, Spices, Edible oil, Vanaspati etc.) and General Stores (Outlets selling items of day to day requirement & stocking a variety of branded products.)

Activated Grocery Outlet - Representation

44

2. Eating & Drinking (E & D) Stores: Outlets selling items to eat which are bring cooked within outlet, made at the outlet with possibility of consuming those products within the outlets. The outlet may have a place to sit. It includes Bakery / Mithai Stores / Restaurants / Bars / Juice Centers / Soft Drinks Shops / Ice – cream Parlors Tea Shops etc.

Activated E&D Outlet - Representation

45

3. Convenience Stores: It includes outlets which are small stores or shops, generally, accessible locally. These are often located alongside busy roads. It includes Chemists / STD Booth / Pan Beedi Shops etc.

Activated Convenience Outlet - Representation

46

EACH DEALER SURVRY

Each Dealer Survey means the information of all the outlets. It measures the every outlets problem, requirements, and asks their satisfaction with the Company. In this procedure we go to each shop and meet the shopkeeper. There are different region & different shopkeeper having unique nature. Some are satisfied with Coke and some are not. Sometimes they talk in a rude manner and sometimes they are polite due to satisfaction. We not only try to solve their problems by forwarding it to higher authority but also convince them to sell more and more by providing them immediate offer within one week. Their problems would be refrigerators not performing well, light is not working, cooling problem, carelessness of salesman who does not maintaining the orders, not going to every outlets daily.

47

MARKETING IMPACT TEAM

Marketing Impact Team (MIT) means a group of members who work together to enhance the sale of the Coke product in a large number as well as it provides the opportunity for the company to find the weak points of that particular area. We had to go different places such as NAINI, JHUNSI, PHAPHAMAU, TELIARGANJ etc for introduce new product as well as increase the sale with our ability & caliber. We made the planning, scheme, strategy to improve the sale. When a team goes somewhere for MIT, the sale automatically improve because when if a person says something about the product then there is chance that he may not fully convience the customer.But if a team says something it affect the customer more.

48

INTERNSHIP SPECIAL ACHIEVEMENT

I was being given the opportunity to show my qualities, skills and whatever I have learned from the past 15 or 16 days in my internship period. I was being assigned in locality, Civil Lines, Jhunsi, Naini, Teliarganj. Here I was asked to look after the market of this particular area for two weeks and maintain the RED of the market. By the support of my sales executive and Fat Dealer, I came to aware about the market of this small locality.

Market Condition Civil Lines market is totally a Representative market. As it is heart of city, everything is available quite easily for the consumers. This market is full of rest houses, hotel and restaurants which provides standard as well as average facilities to the customers. Servicemen and others visit here whole day and late night. Although the area and market was small, but there was no single retailer or customer who fulfilling the RED criteria. There were only 22 RED shops but the Fat Dealer was not been able to maintain his market. I saw that consumer is asking for the cola beverage but due to unavailability of it, shopkeepers offered them other drinks.

The Problem ► No proper supply in the market by fat dealer. ► Customers (retailers) rarely got any offers from dealer side. ► Visi-cooler was not working in many shops. ► Purity is not maintained in almost all shops.

49

What I Have Done ► I maintained a warm relationship with the customers. ►Came to aware about their problem. ►Assured them of regular supply of beverages and other marketing elements. ►Each day I moved in the market and took the order from customer by myself. ► Persuade them to sell as much by providing them offers and discounts.

THE EFFECT ► The market was completely changed. ► Sale increased drastically. ► All marketing elements were being available in every shop. ► Impurities have been removed from all visi-cooler.

50

RESEARCH OBJECTIVE

Primary Objective. ► To understand the Brand Value of Coca Cola. The primary objective of my research is to know the Brand value of Coca Cola. As there are number of cola‟s Product available in the market, the company is facing a tough competition from not only Pepsi but also from some of the other local soft drinks and juices. Secondary Objective. ►To understand the impact of Brand image in consumer mind. ►To know the Impact of packaging and advertisement. ►To analyze the consumer satisfaction level ►To identify the consumer buying behaviors and their brand Preferences. ►To identify the segment of consumer according to different cola’s Brand. ► To identify the impact of brand value. ► To identify the role of brand value in increasing sales volume. The secondary objective of my research is associated with the impact of Brand image in the mind of consumer and to understand that whether packaging and advertisement stimulate the consumer to change their preference.

51

RESEARCH METHODOLOGY

Research in common refers to a search of knowledge. One can also define research as a scientific & systematic search for pertinent information of a specific topic. It is the pursuit of truth with the help of study observation, comparison & experiment. DEVELOPING RESARCH PLAN: After deciding the objective of marketing research the next step is deciding Research plan for gathering effective information related to this research project. The research consists of following steps, which are discussed subsequently. Research Design. Exploratory Research/ Descriptive Research. The Research design which I have used in preparing this Project is of Exploratory and Descriptive Research. The reason of being chosen these two Design because my objective is to know the brand value of coca cola. For achieving the objective, I must need the detailed study of consumers and Retailers opinion which can penetrate the sale of coke, and at the same time I have to frame about different perception of the Customer which is in his or her mind while purchasing different drinks. Data Collection Method. During project study I use both primary as well as secondary data source. For primary data collection I visited various consumers and retailers of different areas of Civillines, Jhunsi, Allahpur,Alopibag, Allahpur,Kydganj and Teliarganj of Allahabad. For secondary data I went through Journals and Internet. The information collected is relevant, correct and unbiased.

52

Data Collection Devices. Personal Interview I have collected the data through Personal Interview. In Personal Interview, I went through different location of Allahabad and collected the data from consumers and the retailers. I have taken data from different small stores, organized retail stores and Mall.

Importance of being using personal Interview? I have selected these devices because according to my objective I have to collect the data from different sample like Students, Professionals, House- wives, children and Retailers I have to visit to Mall, retailers, Institutes and other Public Places where I get the information regarding my objective of the research. Without Personal Interview it is not possible to collect this information.

Population: The Population which I have selected is of entire area within Nirmal enterprises. The total consumer of the cola‟s market within this region is around Two Lac. Sampling Size: Total Sample

: 300

Consumer

: 200

Retailer

: 100

Area of Survey

: Allahabad

Duration

: 45 days

53

Sampling Unit: a . The Retailer Sampling Unit. I have taken the sample of 100 retailers into seven (7) sampling units within area of Nirmal enterprises. The distribution of the sample is as-25 sample from civil lines, 10 sample from alopibag, allahpur, 10 from jhunsi, 20 from teliarganj, 15 from Kareli, 10 from katra, and 10 from Kydganj, b. The Customer Sampling Unit I have divided the sample of Two hundred (200) customers into seven (7) sampling units. It included the 40 customer of Civillines, 40 of Allahpur, 30 of Teliarganj, 25 of Kareli, 20 of Katra and 15 of Kydganj, 30 customer of Cantt, who were either Student, Professionals, Housewives, adults or Children. Dwelling Units: I have not selected any dwelling unit. I have collected the data from the students, working women, children and adults as individual. I didn‟t went to any house or didn‟t take the data from any family as a whole. Sampling Plan: Probability Basis. I have selected the sampling plan on Probability basis. I have chosen the sample of customers and retailers on random basis.I have chosen the sample on probability basis because it gives us every unit of population a known and non zero probability of being selected. And it implies equal probability to every unit in the population. How large the sample selected. I have selected the total sample of 300 in which there is 200 samples were of consumer and 100 samples were of retailers.

54

Why this sample size has been chosen. I have chosen the sample size of 300 because this sample size provide us the approximate details to reach a valid conclusion and suggestion to the company regarding my objective of the research. Difficulties Experienced in Contacting Designated Sample Elements

I have faced lot of difficulties while collecting the data from different samples I have taken. a. Customer Behavior. The behavior of the few customers was not good. Some of them are very aggressive in their nature and misbehave with me whereas some of them didn‟t respond. b. Retailers Behavior. Few of the retailers where I went to collect the information, they didn‟t give their suggestion and not even filled the questionnaire form. Some retailers had no time to give the response of the questionnaire. c. Weather Condition I have collected the sample in the month of June-July which was very adverse because of monsoon. The customer didn‟t want to fill the form in this weather and were not ready to listen me even for a while. d. Transportation Problem. I have faced transportation problems to reach to different area of the defined region. No Biasness. While I was doing the research, I have face whole lot of problems, but even after that there is no biasness in my research process. Field work. I have do the field work by collecting the data from different sources which is in the form of questionnaire. I also collected some secondary data from the City office of Coke, Allahabad. I 55

went to different book stalls to collect the details about coke from journals, News papers and Magazines etc.

Research Instrument: The research instrument used was Questionnaire form. In which market information detail of each outlet and Customers should be filled in form. For this I have visited hundred major retail outlets of Nirmal Enterprises and check all the brands and packs of different drinks which are available or not or which one is available in comparison with Coke and filled it in the Retailer Questionnaire forms. In my research process I have used closed ended & open-ended questionnaire where respondents could answer in their own manner. Through this I was able to extract information from the respondents about Coke and its competitors. Sampling Plan: In designing the sampling plan following points were considered: Contact Method: In my research process, I have collected information through personal interview process with the help of Questionnaire. I use this method because it is the most reliable & accurate method for collecting primary data. The secondary data has been collected through different reliable sources. It includes internet and Newspaper. Methods of Data Interpretation: In this market study I have used pie chart for data analysis & interpretation because pie chart is the easiest & comprehensive medium for presentation of data. The universe studied is the sum of the consumers and retailers within Nirmal enterprise area.

56

FINDINGS AND ANALYSIS

Krishna Enterprises:

•

Position of SGA

Total no. of SGA

:

200 (Coke)

Coke SGA:

•

 VC

68

 CC

18

 EBC

9

Position of Outlet

Total no. of outlets : 175 (Coke) + 65(Pepsi) =300

• Loading Vehicles Total No. of Vehicles:

14



Vikram

2



Tempo

6



Pick Up

2



Tata 407

1



Trolley

3

57

DATA INTREPRETATION (BASED ON CUSTOMER’S QUESTIONNAIRE)

You are a?

The above graph shows that out of 200 samples, 47 % is of students, 27 % is of Professional, 16 % is of House wife and rest 10% includes others.

58

Which cold drink you like most?

The above graph shows that percentage of consumer who drinks beverages is more towards Coca Cola which is about 53%, Pepsi consumers are 43% and rest 4% is of either Dabur or any other drinks.

59

Have you ever taste Coke?

Taste of Coke

200 150 100 50 0 No.of Person

Yes

No

187

13

The graph indicates that about 93.5% of consumers have taken the taste of coke atleast once in their life. Only 6.5% of consumers have not tasted coke.

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From how long are you taking Coke?

The above graph represent that 43.5% of consumers are taking coke from more than three years, 45% are taking it from last three years, 7.5% are taking it from last one year and rest 4% are taking it from one year.

61

Which brand of Coke customer like most?

No. of Person

90 80 70 60 50

87

No. of Person

40 30 20 10

46 26

25

16

0 Thumps

Coca-cola

Sprite

Maaza

Other

Almost 43% of total sample have their view that Sprite is their favourite brand,23% said that they like Coca Cola, 13% preffered Maaza, 12.5% have given their preference to Thums-Up, and the remaining 8% have no particular preferences.

62

Does the price matter to consumer?

The above graph indicates that 61.5% of consumers said that they go for the product according to the price they are having only upto some extent, 35.5% have said that price matters to them, and the remaining 3% says that price doesn‟t matters to them when there is quality product.

63

The price of Coke is?

Total out of 200 sample, 168 have their view that the price of Coke is average, 18 samples said the prive is expensive whereas 14 indicated that its cheaper in comparision to other local drinks.

64

Is it give you the value of the money?

The graph interpret that 120 sample out of 200 agree that coke gives the value of their money, whereas 52 have expressed their view that it can‟t give them the value of their money, and the rest 28 are not been able to express their view.

65

Customer generally came to know about Coke products through…

The above graph indicates that 64% of the customer aware of Coke product through television advertisement, 12% came to know about it through newspaper, 6% through magazines, and rest 18% knows it through other media like hoarding, banner, display etc.

66

The Product Image of Coke is?

The above graph indicates that 52 out of 200 consumers have very good image of coke in their mind, 82 rated it as a good drink, 56 have average product image of coke, and the remaining 10 have poor product image of coke in their mind.

67

The packaging of Coke is?

The above graph indicates that 43% of consumer have expressed their view that Coke has an attractive packaging, whereas 32% have view that it ahs good packaging, 17 % think that it has average packaging and the rest 8% said that it has poor packaging.

68

Has advertisement stimulates to change the preference?

The above graph shows that advertisement stimulates to change the preference of about 51% of consumer, while 26.5 have no effect of advertisement on them, and the rest 19.5% of consumers agrees that they affected by advertisement only on some specific offers.

69

Attachment for particular brand.

Out of 200 samples, 148 have very strong attachment to any particular brand whereas only 52 have expressed their view that they have no any attachment to any particular brand.

70

Percentage of customer suggested others to taste Coke.

The above graph showing that 126 consumer have suggested others to taste coke, 44 have not suggested to take any drink, and remaining 30 said that they did not remember that whether they have suggested others to take coke or not.

71

Percentage of customer who will taste the new brand of coke if introduce in the market.

The above graph showing that out of 200 consumers, 158 will try the new brand of Coke if it will introduce in the market, whereas 42 said that they will not go for the new brand of coke.

72

DATA INTREPRETATION (BASED ON RETAILERS QUESTIONNAIRE)

Drink they are selling.

The above graph indicates that out of 100 samples of retailers, 34 are selling cold drinks, whereas only 6 are selling juice and 60 retailers are selling all the beverages.

73

Maximum demand is for.

The above graph indicates that according to retailers, the demand of Coke is more which is expressed by 52 retailers, 46 of them said that the demand of Pepsi is more and the 2 said that other products have more demand like Dabur Real .

74

Peak season for cola’s?

When talked to the retailers, 87 out of 100 have their view that summer is the peak season for cold drink market, 9 said that winter is the good market and the rest 4 said that other season is good for the sale of cold drinks.

75

What attracts customer while buying the Cola’s?

display 14%

packaging 27%

packaging pricing

taste 23%

taste pricing 36%

display

The above graph indicates that pricing attract more, it has been stated by 36 retailers out of 100, according to 27 retailers it‟s the packaging which attracts the customer more, 23 said that taste attracts the customer, and 14 have their view that its display which attracts the customer more.

76

More margin is given by?

others 5%

coke 28%

pepsi 67%

The graph indicates that almost 67 retailers have said that Pepsi gives them more margin as compared to Coke, whereas 28 have clearly said that Coke are giving them more margin then Pepsi, while the rest of 5 said that other drinks company gives them more margin.

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Frequent buyers?

According to 67 retailers, their frequent buyers are Adults whereas 21 said that children come frequently to their shop, and the remaining 12 said that mix group of customers comes over their shop.

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Which pack has more selling?

Referring to the graph, the sale of 250-300 ml bottle is more (according to 61 retailers), 23 retailers have view that 600 ml pack has more sale. 7 retailers said that 1.25 litre has more sale, and rest 9 said that its 2 litre bottle whose sale is more.

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Good distributor?

The above graph indicates that out of 100, 500 retailers have their opinion that Pepsi has the good distribution network, whereas 41 retailers have their view that Coke is having a good distribution network, and remaining 6 said that other companies like Dabur and Parle agro have good distribution channel.

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FINDINGS ON BASIS OF RETAILER QUESTIONNAIRE After collecting the data from 100 retailers, I found the following which are:

Key Finding 1. The distribution channel of coke is very poor in some of areas. Other Finding. 1. Every retailer wants that vehicle should come in the morning so that they Will keep the bottles in the fridge as soon as possible. 2. Marketing elements attract consumers. 3. The profit margin on coke is less than Pepsi. 4. Some shopkeepers do not get scheme on time. 5. Majority of retailers is asking about Boards, Openers & Counters. 6. The frequent buyers are adults. 7. Packaging attracts customers. 9. The demand of Thums up, Sprite and Maaza is more than other coke products. 10. The demand of cola‟s is very high in summer.

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FINDING ON THE BASIS OF CONSUMER QUESTIONNAIRE

Key Finding. 1. Marketing elements attract consumers. Other Finding. 1. Most of the customer prefer Thums-up. 2. Advertisement makes impact on consumers buying behaviour. 3. Price doesn‟t matter to many. 4. People doesn‟t strict to any particular brand. 5. The preference of consumer is more towards Coke instead of Pepsi.

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RECOMMENDATIONS

1. Company should must improve its distribution network if they want to compete with major brands. 2. Company should appoint competent & honest salesman so that they could provide schemes to the entire retailer‟s and cover their full route. 3. Instead of increasing the number of flavour of its cola, the company has to think to increase the different quantity of packaging, so that it can attract more customer. 4. Retailer are not getting the benefits on purchasing the large number of crate and few of the retailers complained about it. So there should be frequent visits of Executive to their respective areas to keep the shopkeepers benefited with various schemes. 3. Delay in starting of supply vans from respective depot should be checked and a proper time register should be maintained.

4. Most of the retailers are complaining about non-fulfillment of commitments regarding their sampling. Company should make sure that the retailers get the sampling on time so that they are satisfied. 5. Most of the retailers are complaining about delay and no replacement of damage bottles. Marketing Management should sort some solutions to this major problem of replacing these bottles.

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6. Company should try to give some credit facility to the distributors so that they get motivated. 7. Credit facility for retailers should be provided. 8. Proper feedback system should be developed by ensuring regular visits and check randomly at the various outlets. 9. There should be requirement to adopt an attractive advertisement strategy which can stimulate the customers. 10. The products must launch in tetra packs so that it can attract the different customers who have different choices.

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CONCLUSION

After analyzing all the data and going through all limitations and suggerstion, I frame the following conclusion about the brand value of Coca Cola in Allahabad:

 Coca – Cola brand is most famous among retailers and consumers.  Under Coca – Cola, Thums Up is most famous brand which is recognized for its strong taste. .  There is also a large no. of unbranded customers, who are totally retailer oriented. We should convert them into coke branded customers by good supply to retailers.  According to this survey 32% retail outlets were captured by Coca – Cola & 12% by Pepsi. This is a major advantage to us. We can increase this no. by converting mix outlets into our monopoly outlet by giving them some extra benefits. The Sampling activity was a good first step into the area of Marketing and Sales. It gave good amount of exposure mainly because after being trained, trainees were given an opportunity to carry out the process ourselves. It helped in developing a considerable amount of convincing skills, because, it took a lot of it to convince the store managers to give us cooler space to cool the product for 2 hours and even more to convince the customers into tasting the product and to get reviews from them. A good understanding of the market was accomplished as around 700 people were spoken to and that group consisted of a variety of customers. This even helped in the polishing of communication skills, a must-have to survive and make it big in the present world. It even gave a good understanding of behavior of customers when placed in different situations. It was a good opportunity to work on the skill of patience, as a large number of customers were to be dealt with. It helped in developing the kind of relations one needs to uphold in the corporate world and it helped in building up the right attitude. 85

As all the points in the above mentioned paragraph, are the must-have skills for anyone in the field of Marketing and Sales, the training period was a good experience and a good stepping stone into the real business world. As a future line of research, the Marketing and Sales Department at HCCBPL could offer projects like: 

Analysis Impact of advertisements on the Sales of a particular product



Analysis of major trends in the Indian Non-Alcoholic Beverage market



Analysis of changing trends in the market for Coca-Cola products



Formulation of Market penetration strategies

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LIMITATIONS



Findings are based on the views expressed by the consumers. So it may suffer from biased prejudices.



It is extremely difficult to persuade retailer to respond to questionnaire.



Some of the respondents were not co-operative and many seem to be having no interest.



The study has not been intended on a very large scale, have the possibility of errors, which cannot be ruled out.



There was a time limitation.



Area was specified.



Sometimes the weather conditions were not favorable.

 Some retailer knows me as I am from Coke, then there was a chance of being biasness.  I had lack of knowledge about the product and the local market.  The company does not provide any financial assistance.  The time allowed for the project was very short. It was impossible to study deeply in that short period.

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SAMPLE QUESTIONNAIRE FOR CUSTOMERS

Name –

------------------------------------------------------

Address -

------------------------------------------------------

Contact No. -----------------------------------------------------Q.1- You are a? (

) Student

( ) Professional (

) House wife

( ) Others.

Q.2- Which cold drink you like most? (

) Coke

( ) Pepsi

( ) Other.

Q.3- Have you ever taste Coke? (

) Yes

(

) No

Q.4- From how long are you taking Coke? (

) 1 year

( ) 2 year

(

) 3 year

( ) More than 3 year,

Q.5- Which brand of Coke you like most? (

) Thums Up

( ) Coca Cola ( ) Sprite

( ) Maaza

Q.6-What about the taste of Coke? (

) Good

( ) Very Good

(

) Average

(

) Can‟t say

Q.7- Does the price matter to you? (

) Yes

(

) No

( ) Upto some extent.

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(

) Other

Q.8-What do you think about the price of Coke? (

) Expensive ( ) Average

(

) Cheap

Q.9- Is it gives you the value of your money? (

) Yes

(

) No

(

) can‟t say

Q.10-How you generally came to know about Coke products? (

) News Paper

(

) Television

( ) Magazines

( ) Others

Q.11- According to you what is the Product Image of Coke? (

) Very Good

(

) Good

( ) Fair

( ) Poor

Q.12-The packaging of Coke is(

) Attractive

(

) Good

(

) Average

(

) Dull

Q.13- Has advertisement stimulates you to change your preference? (

) Yes

(

) No

( ) Rarely

Q.14- Will you strict to particular brand (

) Yes

(

) No

Q.15-Have you ever suggest others to taste Coke? (

) Yes

(

) No

( ) Not Remember

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Q.16-If a new brand of Coke is introduce in the market, Will you taste it? (

) Yes

(

) No

Q.17- Your like/dislike about Coke in one sentence? ----------------------------------------------------------------------------------

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SAMPLE QUESTIONNAIRE FOR RETAILERS

Name of Retail Outlet ……………………………………. Contact Person

…………………………………….

Address

……………………………………..

Contact No.

……………………………………..

01. What kind of drink you are selling? ( ) cold Drink

( ) Juice

( ) All

02. Which product demand is more? ( ) Coke

( ) Pepsi

( ) Real

( ) other

03. Which is the peak season for cola’s? ( ) Summer

( ) Winter

( ) All

( ) Other

04. What attracts customer while buying the Cola’s? ( ) Packaging

( ) Pricing ( ) Taste ( ) Display

05. Which Company gives you more margin on the porduct? ( ) Coke

( ) Pepsi

( ) other

06. On which product you get more offer and discounts from distributor? ( ) Coke

( ) Pepsi

( ) Other

07. Who are the frequent buyers? ( ) Children

( ) Adults

( ) House wives

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08. Which pack has more selling? ( ) 250-300 ml

( ) 600 ml

( ) 1.25 lit. ( ) 2 lit.

09. Which company has good distribution channel? ( ) Pepsi

( ) Coke

( ) Other ( Please specify)………

10. Your suggestion about how to increase the sale of Coke? ………………………………………………………………….

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BIBLIOGRAPHY

Books. Research Methodology:

C.R.Kothari, -Reffered for concept needed to start research.

Websites. 

http://www.cocacola-india.comcybernoon.com



http://news.bbc.co.uk



http://www.worldofcoca-cola.com



http://www.coca-cola.com



http://www.ko.com



http://www.hoovers.com



http://www.google.com



http://www.wikipedia.org

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