A PROJECT REPORT ON

RED CONCEPT AND MARKET SHARE OF COCA COLA

SUBMITTED TO THE UNIVERSITY OF PUNE IN PARTIAL FULFILMENT 0F MASTER IN MARKETING MANAGEMENT (2008-2010) SUBMITTED BY UNDER THE GUIDANCE OF

(ANKUSH OSWAL) Prof. Nilesh Patil

SINHGAD INSTITUTE 0F BUSINESS ADMINISTRATION OF COMPUTER APPLICATION LONAVALA ACKNOWLEDGEMENTThrough this acknowledgement I want to express my sincere gratitude to Mr. J.S. BHATIA the VICE PRESIDENT OF THE COMPANY for giving me an opportunity to work on this project under his able guidance. He guided me a lot from time to time and without his motivation the project was impossibleI am also thankful to Mr. BIKRAMJEET SINGH KANDHARI (MD) OF THE COMPANY for his valuable help.

I would like to express my gratitude towards colleagues who had co-operated a lot while preparing this project.

I express my heartiest thanks to Prof. Hansraj Thorat (Director) and

Prof. Nilesh Patil in providing me with right ambience of project.

(ANKUSH OSWAL)

PrefaceSince the last few decade due to fast industrial development & high competitiveness in the market the MARKETING plays very vital role in the success of an organization Marketing is one of the live functions of an organization .It is the only function of an organization earns revenue, which leads to the survival& growth of the organization as a whole . It fulfills the needs & wants of the society.

Marketing is no longer a company department charged with a limited number of tasks it is a company- wide undertaking. It drives the companys vision, mission and strategic planning. Marketing includes decision like who the company wants as its customers; which needs to satisfy; what products and services to offer; what prices to set; what communication to send and receive; what channels of distribution to use; and what partnership to develop.

Selling is a part of marketing and this study is based on how KANDHARI BEVERAGE PVT LTD a franchise sales unit of COCA COLA , can increase its sales .COCA COLA is mass producer of beverages and drinking water.

DECELARATION

I ANKUSH OSWAL declare that this project report titled STUDY ON RED CONCEPT AND MARKET SHARE OF COCA COLA COMPANY IN CHANDIGARH,PUNJAB,HARYANA &HIMACHAL PRADESH is an original work done by me under the guidance of Mr. J.S. BHATIA (VICE PRESIDENT). I further declare that it is my original work as a part of my academic course.

This report neither full nor in part has ever been submitted for award of any other degree of either this university or any other university. Also no chapter of this manuscript in whole or in part is lifted and incorporated in this report from any earlier work done by others.

(ANKUSH OSWAL) TABLE OF CONTENT

Chapter

Page

Chapter 1 Introduction

1.1 Overview of a industry as a whole

1.2 profile of organization

1.4 Swot Analysis of the organization

Chapter 2 Research Methodology

2.1 Objective of the Project

2.2 Scope of the Study

2.3 Managerial usefulness of study

2.4 Methodology

2.5 Limitations

Chapter 3 Conceptual Discussions

Chapter 4 Data Analysis

Chapter 5 Findings

Chapter 6 Conclusions & suggestion

Appendix

Bibliography

CHAPTER I

Introduction

1-1 Overview of industry as a whole

HISTORY OF SOFT DRINKS

Coca-Cola was created in 1886 by John Pemberton, a pharmacist in Atlanta, Georgia, who sold the syrup mixed with fountain water as a potion for mental and physical disorders. The formula changed hands three more times before Asa D. Candler added carbonation and by 2003, Coca-Cola was the worlds largest manufacturer, marketer, and distributor of nonalcoholic beverage concentrates and syrups, with more than 400 widely recognized beverage brands in its portfolio. With the bubbles making the difference, Coca-Cola was registered as a trademark in 1887 and by 1895, was being sold in every state and territory in the United States. In 1899, it franchised its bottling operations in the U.S., growing quickly to reach 370 franchisees by 1910. Headquartered in Atlanta with divisions and local operations in over 200 countries worldwide, Coca-Cola generated more than 70% of its income outside the United States by 2003.

The first Coca-Cola recipe was invented in Covington, Georgia, by John Stith Pemberton, originally as a coca wine called Pemberton's French Wine Coca in 1885. He may have been inspired by the formidable success of European Angelo Mariani's coca wine, Vin Mariani.

In 1885, when Atlanta and Fulton County passed Prohibition legislation, Pemberton responded by developing Coca-Cola, essentially a carbonated, non-alcoholic version of French Wine Cola The beverage was named Coca-Cola because, originally, the stimulant mixed in the beverage was coca leaves from South America. In addition, the drink was flavored using kola nuts, also acting as the beverage's source of caffeine. The first serving in 1886 cost US$0.05. Pemberton called for five ounces of coca leaf per gallon of syrup, a significant dose, whereas, in 1891, Candler claimed his formula (altered extensively from Pemberton's original) contained only a tenth of this amount. Coca-Cola did once contain an estimated nine milligrams of cocaine per glass, but in 1903 it was removed. After 1904, Coca-Cola started using,

Instead of fresh leaves, "spent" leaves - the leftovers of the cocaine-extraction process with cocaine trace levels left over at a molecular level. It is speculated that the coca plant reduction produced by Stepan Company's facility (in Maywood New Jersey) is used for Coca-Cola syrup manufacture. In the United States, Stepan Company is only one manufacturing plant authorized by the Federal Government to import and process the coca plant.

Coca-Cola was initially sold as a patent medicine for five cents a glass at soda fountains, which were popular in the United States at the time thanks to a belief that carbonated water was good for the health. Pemberton claimed Coca-Cola cured a myriad of diseases, including morphine addiction, dyspepsia, neurasthenia, headache, and impotence. The first sales were made at Jacob's Pharmacy in Atlanta, Georgia, on May 8, 1886, and for the first eight months only nine drinks were sold each day. Pemberton ran the first advertisement for the beverage on May 29 of the same year in the Atlanta Journal.

By 1888, three versions of Coca-Cola sold by three separate businesses were on the market. Asa Griggs Candler acquired a stake in Pemberton's company in 1887 and incorporated it as the Coca Cola Company in 1888. The same year, while suffering from an ongoing addiction to morphine, Pemberton sold the rights a second time to four more businessmen: J.C. Mayfield, A.O. Murphey, C.O. Mullahy and E.H. Bloodworth. Meanwhile, Pemberton's alcoholic son Charley Pemberton began selling his own version of the product.

In an attempt to clarify the situation, John Pemberton declared that the name Coca-Cola belonged to Charley, but the other two manufacturers could continue to use the formula. So, in the summer of 1888, Candler sold his beverage under the names Yum Yum and INDUSTRY PROFILE1-2 Carbonated Soft Drinks

At the core of the beverage industry is the carbonated soft-drink category. The dominant players in this area (Coca Cola, Pepsi, and Cadbury-Schweppes) own virtually allof the North American markets most widely distributed and best-known brands. They are dominant inworld markets as well.These companies products occupy large portions of any supermarkets shelf space, often covering more territory than real food categories like dairy products, meat, or produce.

As with many mature retail industries, the beverage giants have a problem growth in the sales of their flagship carbonated products are at a near standstill in the key U.S. market, with 1% growth or less. After years of rapid growth, it seems that the average American cant drink any more flavored, fizzy soda water. To remedy that, these three companies are rapidly expanding both globally as they enter and promote new markets for existing products and locally, as they add products from adjacent beverage categories in the supermarket, in categoriesthat are still expanding. We'll talk about these areas in a later posting.

The prototype of all marketing and branding struggles, the Cola Wars keep expanding. The Pepsi and Coca Cola keep rolling out the big guns: dueling pop stars,and new branded products in the form ofVanillaCoke andPepsi Blue. . They are fighting on the TV, in the fast-food restaurants, and in the supermarkets; they are also dueling in the schools. One of the biggest pushes of the last few years has been convincing school districts, universities, and other institutions to go all-Coke or all-Pepsi, in return for a (small) cut of the gross sales.

Sellingcostly sugared water and building an increasing demand for it, even in Third World countries, involves marketing in its purest form, unsullied by any preexisting needor local tradition. Markets in Eastern Europe, China, India, and Mexico, among others, are expanding fast, and both Coke and Pepsi are finding local partners (bottlers) in these countries to keep extending their reach. And while the American market may be mature, theres still an opportunity worldwide to replace hot beverages like coffee and tea that require some preparation with these cold, iconic. All this worldwide activity cant disguise an unpleasant core reality for the vendors: U.S. carbonated soft drink sales increased only 0.5% in the year 2002. Although total sales for the industry was up slightly, per capita consumption was down for the third year in a row In other words, domestic soft drink growth is not keeping pace with population growth.

Overall soda market

In fact, Coke and Pepsi have a third major rival on the bottled soft drink shelves, namely Cadbury-Schweppes. The big three carbonated beveragemakers now exist in a stable oligopoly those changes only by small increments and which controls over 90% of the market. Over the years, Cadbury-Schweppes (the result of a merger between a British candy company and a British beverage company)has improved its position by acquiring key brands in the US, namely Dr. Pepper and Seven-Up, along with A & W and Canada Dry.

In past decades,the carbonated beveragesectionhad been the beneficiary of an amazing record of growth, where consumption hasmore than doubled over the past 25 years. Americansconsume twice as much soda as they did 25 years ago, up from 22 gallons per person per year to over 56.

In 2000, these three companies had almost exactly the same share of the U.S. market they had in 1999, namely:

CompanyPercentage Brands

Coca Cola 44.1%Coke, Sprite, Barq, Fanta, Mello Yello, etc.

PepsiCo 31.4%Pepsi, Mountain Dew, Mug, Slice, etc.

Cadbury/Schweppes 14.7%Seven-Up, Dr. Pepper, Schweppes, A & W,

While individual flavors go up and down, the relative market share of the big three changes at a glacial rate. The next biggest North American soda company, the Canadian-basedCott Beverage Company, had only a little over 3% of the market and that company specialize in supplying private label soda to supermarkets and other chains.

In 2001, however, Cadbury acquired moribund RC Cola, giving it a cola drink to battle against the big guys. This gave the company more shelf position and immediately gave the RC Cola brand, long a distant also-ran with weak marketing muscles, more sales and market presence. Pepsi gave itself a small boost because of the popularity of newly introduced Mountain Dew Code Red, a hyper-caffeinated soda. Cokes numbers declined slightly. The market share figures in 2001.

1-3 COMPANY PROFILEHeadquarters: One Coca-Cola PlazaAtlanta, GA30313Employees: 71,000CEO: Neville IsdellStock Symbol: KOWebsite: http://www.coca-cola.com/CommitmentA Message from Neville Isdell

(Chairman and CEO)When we talk about the future at The Coca-Cola Company, we talk about being the preferred beverage company for consumers, the preferred employer in the labor market, the preferred partner among our customers and a valued member of every community in which we operate. These are our aspirations. While not entirely there yet, we are getting closer - thanks in large part to our ability to leverage the skills and insights of our diverse global workforce.The Coca-Cola Company operates in more than 200 countries, and on a global basis, we have the most inclusive workforce in the world. Our greatest opportunity is to maximize this asset.In 2005 we adopted our Manifesto for Growth, a vision for our Company. I believe diversity is a great enabler of our fulfillment of this vision. I see diversity as a business imperative that will help the company achieve sustainable growth and be the most respected company in the world. Behind these programs are people at all levels of The Coca-Cola Company whose passion and dedication continues to fuel our sustainable diversity effort.I constantly remind my leadership team that we still have a long way to go. Our journey is long because our aspiration is huge - to become the most respected company in the world. As CEO of The Coca-Cola Company, I am committed to leading our organization in doing whatever it takes to ensure a successful diversity strategy. I know the commitment starts with me. I am committed.Our VisionWe asked 150 of our top leaders to reimagine The Coca-Cola Company. The results have led us to a holistic vision that we are working to accomplish over the next 10 years.

People

We inspire to be a great workplace, where people are inspired to be the best they can be.

Profit

We maximize return to our shareowners while being mindful of our overall responsibilities.

Portfolio

We bring the global marketplace beverage brands that anticipate and satisfy people's desires and needs.

Partners

We actively nurture a winning network of beverage and bottling partners, building mutual loyalty.

Planet

We act as a responsible global citizen, focused on our environmental efforts and making a difference wherever we engage.

Mission, Vision & ValuesMission (Mission Statement)

The Coca-Cola Company's mission statement is:

`Remind Coca-Cola is the read thing' but their motto now has changed to `To benefit and refresh everyone who is touched by our business.

Also Coca-Cola would hope to provide the best quality drink for everyone, all the employees working for them being at their top and fullest.

Everything we do is inspired by our enduring mission:

To Refresh the World... in body, mind, and spirit.

To Inspire Moments of Optimism...through our brands and our actions.

To Create Value and Make a Difference... everywhere we engage.

VisionTo achieve sustainable growth; we have established a vision with clear goals.

Profit: Maximizing return to shareowners while being mindful of our overall responsibilities.

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

Portfolio: Bringing to the world a portfolio of beverage brands that anticipate and satisfy peoples desires and needs.

Partners: Nurturing a winning network of partners and building mutual loyalty.

Planet: Being a responsible global citizen that makes a difference.

Values

We are guided by shared values that we will live by as a company and as individuals. Leadership: "The courage to shape a better future"

Passion: "Committed in heart and mind"

Integrity: "Be real"

Accountability: "If it is to be, its up to me"

Collaboration: "Leverage collective genius"

Innovation: "Seek, imagine, create, delight"

Quality: "What we do, we do well"

Our Strategic Framework - The Four Cs

To advance our vision to be the most respected company in the world, we have established a strategic framework with four powerful drivers:Commitment - Demonstrate the importance of diversity as a marketplace and workplace imperative, and engage and inspire our workforce around diversity.Communication - Build employee awareness, understanding and support for the business case for diversity.Culture - Drive a diverse, inclusive and fair workplace, and establish TCCC as a destination for great global talent.Consumption - Drive diverse consumers to higher consumption rates against our core Coca Cola in IndiaC

oca-Cola was the leading soft drink brand in India until 1977 when it left rather than reveal its formula to the government and reduce its equity stake as required under the Foreign Exchange Regulation Act (FERA) which governed the operations of foreign companies in India. After a 16-year absence, Coca-Cola returned to India in 1993, cementing its presence with a deal that gave Coca-Cola ownership of the nation's top soft-drink brands and bottling network. Cokes acquisition of local popular Indian brands including Thums Up (the most trusted brand in India), Limca, Maaza, Citra and Gold Spot provided not only physical manufacturing, bottling, and distribution assets but also strong consumer preference. This combination of local and global brands enabled Coca-Cola to exploit the benefits of global branding and global trends in tastes while also tapping into traditional domestic markets. Leading Indian brands joined the Company's international family of brands, including Coca-

Cola, diet Coke, Sprite and Fanta, plus the Schweppes product range. In 2000, the company launched the Kinley water brand and in 2001, Shock energy drink and the powdered concentrate Sunfill hit the market. From 1993 to 2003, Coca-Cola invested more than US$1 billion in India, making it one of

the countrys top international investors. By 2003, Coca-Cola India had won the prestigious Woodruf Cup from among 22 divisions of the Company based on three broad parameters of volume, profitability, and quality. Coca-Cola India achieved 39% volume growth in 2002 while the industry grew 23% nationally and the Company reached breakeven profitability in the region for the first time. Encouraged by its 2002 performance, Coca-Cola India announced plans to double its capacity at an investment of $125 million (Rs. 750 crore) between September 2002 and March 2003. Coca-Cola India produced its beverages with 7,000 local employees at its twenty-seven wholly-owned bottling operations supplemented by seventeen franchisee-owned bottling operations and a network of twenty-nine contract-packers to manufacture a range of products for the company. The complete manufacturing process had a documented quality control and assurance program including over 400 tests performed throughout the process. The complexity of the consumer soft drink market demanded a distribution process to support 700,000 retail outlets serviced by a fleet that includes 10-ton trucks, open-bay three wheelers, and trademarked tricycles and pushcarts that were used to navigate the narrow alleyways of the cities. In addition to its own employees, Coke indirectly created employment for another 125,000 Indians through its procurement, supply, and distribution networks. Sanjeev Gupta, President and CEO of Coca-Cola India, joined Coke in 1997 as Vice President, Marketing and was instrumental to the companys success in developing a brand relevant to the Indian consumer and in tapping Indias vast rural market potential. Following his marketing responsibilities, Gupta served as Head of Operations for Company-owned bottling operations and then as Deputy President. Seen as the driving force behind recent successful forays into packaged drinking water, powdered drinks, and ready-to-serve tea and coffee, Gupta and his marketing prowess were critical to the continued growth of the Company.

Coca- Cola Company in CHANDIGARHThis is the one of the biggest leading company in beverage sector in CHANDIGARH also. They are producing several brands like Thumps up, Coca Cola, Sprite, Limca, Fanta, Mazza and they have come with their new brand Minut Maid Pulpy Orange. Pulpy orange is the sixty year old brand in China but for India it is new. Apart from this company also produces products like Kinley soda & water. Revenue According to the 2005 Annual Report, the company sells beverage products in more than 312 countries or territories. The report further states that of the more than 90 billion beverage servings of all types consumed worldwide every day, beverages bearing the trademarks owned by or licensed to Coca-Cola account for approximately 4.5 billion. Of these, beverages bearing the trademark "Coca-Cola" or "Coke" accounted for approximately 78% of the Company's total gallon sales.

Also according to the 2007 Annual Report, Coca-Cola had gallon sales distributed as follows:

37% in the United States

43% in Mexico, Brazil, Japan and China

20% spread throughout the world

In 2007, revenues were $28.8 billion, a 20% increase from the previous year, and net income was $5.9 billion. Unit volume increased 6%.

In 2007, the company said it will acquire Energy Brands, Inc., known as glacau, and its full range of fast-growing, enhanced water brands, including Vitamin Water for $4.1 billion.

Coca-Cola announced in September it is investing more than $60 million to build the world's largest plastic-bottle-to-bottle recycling plant and support recycling in the U.S. These investments are part of a comprehensive goal to recycle or reuse 100 percent of the Company's plastic bottles in the U.S.

1-4 SWOT ANALYSIS Strengths (S) Weaknesses (W)

Has been operating successfully for over a century. Is known world-wide and operates in more than 200 countries. Coca-Cola has a large share of the cola segment - holding approximately 85 per cent. The Coca-Cola Company is the most recognised trademark in the world. The contract The Coca-Cola Company has with its bottlers is under constant negotiations.

Opportunities (O) Threats (T)

Have significant growth opportunities. Has sufficient capital to expand. Has the potential to innovate and differentiate the company's products to sustain a competitive advantage. May merge with other global businesses to eliminate competitors. Capable of expanding into other markets other than the soft drink market. Has many major global competitors with its main one being PepsiCo. Coca-Cola can be substituted by other soft drink products made by its competitors. These competitors may develop marketing strategies to eliminate The Coca-Cola Company. There may be an economic downturn in the business cycle. Products and brandsThe Coca-Cola Company offers nearly 400 brands in over 200 countries, besides its namesake Coca-Cola beverage. This includes other varieties of Coca-Cola such as:

Diet Coke (introduced in 1982), which uses aspartame, a synthetic phenylalanine-based sweetener in place of sugar

Diet Coke Caffeine-Free

Cherry Coke (1985)

Diet Cherry Coke (1986)

Coke with Lemon (2001)

Diet Coke with Lemon (2001)

Vanilla Coke (2002)

Diet Vanilla Coke (2002)

Coca-Cola C2 (2004)

Coke with Lime (2004)

Diet Coke with Lime (2004)

Diet Coke Sweetened with Splenda (2005)

Coca-Cola Zero (2005)

Coca-Cola Black Cherry Vanilla (2006)

Diet Coca-Cola Black Cherry Vanilla (2006)

Coca-Cola BlK (2006)

Diet Coke Plus (2007)

Coca-Cola Orange (2007 BRANDS OF COCA-COLAIN INDIAIn keeping with its goal of emerging as the single largest entity in the beverage market, Coca-Cola has a presence in multiple segments.

In the carbonated soft drinks (Coke, Diet Coke, Fanta, Thums Up, Sprite and Limca), fruit juice based drinks (Maaza), powdered soft drinks (Sunfill) and coffee and tea (Georgia), bottled water (Kinley) and bottled soda (Kinley Soda)

Explores new markets with the introduction of new drinks (Georgia, coffee and tea segment) and flavours (Vanilla Coke)

SLOGANS OF Coca ColaIndia A: Life ho to aisi

I

ndia A, the designation Coca-Cola gave to the market segment including metropolitan areas and large towns, represented 4% of the countrys population. This segment sought social bonding as a need and responded to aspirational messages, celebrating the benefits of their increasing social and economic freedoms. Life ho to aisi, (life as it should be) was the successful and relevant tagline found in Coca-Colas advertising to this audience.

India B: Thanda Matlab Coca-Cola

C

oca-Cola India believed that the first brand to offer communication targeted to the smaller towns would own the rural market and went after that objective with a comprehensive strategy. India B included small towns and rural areas, comprising the other 96% of the nations population. This segments primary need was out-of-home thirst-quenching and the soft drink category was undifferentiated in the minds of rural consumers. Additionally, with an average Coke costing Rs. 10 and an average days wages around Rs. 100, Coke was perceived as a luxury that few could afford. In an effort to make the price point of Coke within reach of this high-potential market, Coca-Cola launched the Accessibility Campaign, introducing a new 200ml bottle, smaller than the traditional 300ml bottle found in urban markets, and concurrently cutting the price to Rs. 7. This pricing strategy closed the gap between Coke and basic refreshments like lemonade and tea, making soft drinks truly accessible for the first time. At the same time, Coke invested in distribution infrastructure to effectively serve a disbursed population and doubled the number of retail outlets in rural areas from 80,000 in 2001 to 160,000 in 2003, increasing market penetration from 13 to 25%. Cokes advertising and promotion strategy pulled the marketing plan together using local language and idiomatic expressions. Thanda, meaning cool/cold is also generic for cold beverages and gave Thanda Matlab Coca-Cola delicious multiple meanings. Literally translated to Coke means refreshment, the phrase directly addressed both the primary need of this segment for cold refreshment while at the same time positioning Coke as a Thanda or generic cold beverage just like tea, lassi, or lemonade. As a result of the Thanda

campaign, Coca-Cola won Advertiser of the Year and Campaign of the Year in 2003.

CHAPTER II Research Methodology

2-1 Objectives of the study:-

The survey was conducted in different areas of the CHANDIGARH city in keeping following objectives in view:

To determine the market share of COCA-COLA Company for allotted areas.

To study the RED CONCEPT of COCA-COLA Company. To study the Pre- Sale Concept of Coca- Cola Company.

2-2 Scope of the study:-

Scope of the study for Coca-cola by this study the company will come to know:-

Through this study company can know about its growth compared to its major competitor PepsiCo.

This study will also help to the company to know about their new concepts position in the market This study will also help to the company to know about its promotional activities involved in advertising. Through this study company will know about the availability of its products in the market.2-3 MANAGERIAL USEFULLNESS OF STUDY Help to get information about customer response.

Help in getting information about loophole of supply chain management.

Help to find out the problem of problem of retailers.

Help to improve the sale of COCA COLA product.

Try to remove communication gap between company and retailer.

Help to tapping the potential market for the product .

Help to giving proper response from the company side.

Help in improving the relationship between company and customer. Significance of the study Significance of the study is following

This study is helpful to find out the sales trends of the Coke products and its effect on consumers value and satisfaction.

This study is helpful to find out how many outlets coming under RED concept out of sample size.

The project directly deals with interaction of different kinds of people. So this project helps me to understand the corporate communication system.

This study also helpful for the preference of the concept called Pre-Sale.

2-4 METHDODLOGY Research problem

Research design

Source of data

Data collection form

Sampling design and sampling size

Field survey

Processing and Analysing the collected data

Research Report

Limitation

Research problem

Coca-cola is the Best Global Brands. It has more than 200 brands under one umbrella. Coca-cola is well known company and its brands are very popular. When we started our training it becomes an opportunity to ponder over its RED CONCEPT AND MARKET SHARE OF COCA COLA in Chandigarh, Haryana,Punjab&Himachal pradesh. , effect of display at point of sale were become our research problem.

Research design

An exploratory design has been conducted to extract new insight into the problem. It was conducted by means of survey of the consumers and retailers who were associated with beverage product.

Source of data

The list of the retailers who sells coca-cola was collected from our area sales manager. Consumers were contacted on the road, mall, house, and in colleges.

The data were all collected from primary sources through questionnaires. The questions were both open and close-ended ones. It was basically used as a checklist for the interviewers. I had to explain the basic content of the question at times in order to get the most appropriate answer from the customer.

The questionnaire was designed to be an elaborate one keeping in mind the concepts of consumer buying behavior and market segmentation in mind. The order of the question was chosen to maintain an easy flow of information

Data collection form

We used field surveys to collect primary data. We used structured questionnaires prepared in advance, to elicit the necessary information from the respondents.Our field survey was personal

Sampling design and sampling sizeFor our survey we followed sample survey method. We took students mainly for our study ofRED CONCEPT AND MARKET SHARE OF COCA COLA. And for marketing development we tried to cover as many retailers as possible and according to data provided to us.Sampling sizeDuring our survey we took sample size of 60 for both consumers and retailers. It is very small and can have low signification when we had taken all consumer as our sample frame. Sampling design

For our survey we followed sample survey method. We took Retailer mainly for our study of RED CONCEPT. And for marketing development we tried to cover as many retailers as possible and according to data provided to us.

Field survey

During our survey we looked in to two important aspects

Interviewing- We surveyed according to the questionnaire we had prepared.

The supervision of field work- We supervised retailers according to the requirement as a market developer and also tried to match results we got from our questionnaire.

Processing and analysing the collected data

In order to get meaningful result we used a number of tables and also used statistical tools for such purposes. Research Report

This is our main part of survey which we have dealt in detail in coming section of report. We tabulated, interpreted and analysed the data and prepared the report embodying the findings of the research study. We also included the recommendations.

2-5 Limitation

1. The sample chosen is just a reflection of the Retailer of CHANDIGARH .

2. Due to short time period we have taken small sample size this implies lot of error, but as we have limited our survey in one segment chance of error decrease.

3. The way sampling is done is also very much dependent on me but I would like to state that utmost care is taken so that the sample is the true reflection of the whole market.

4. Our choices of retailers unfortunately were mostly red outlet retailers.

CHAPTER III Conceptual discussion ( Theoretical backdrop and literature Review

THE PRODUCT CONCEPT AND AFTER-SALES SERVICE

The product concept describes all products as being made up in more than one stage, or level:

Level 1: The core product

Level 2: The physical, or expected, product.

Level 3: The augmented productThe core product relates to the product's function in terms of the consumer need which it will satisfy. A washing machine will provide clean clothes, or aid family hygiene.

The physical, or expected, product describes the actual shape, form and features provided by the product. In considering washing machines, attention would be paid to such aspects as variety of washing cycles available, colour options, size, ease of use and so on.

The augmented product relates to the (often intangible) features, which providers of goods and services endeavor to incorporate into their products to make Them standout from the competition. In the case of washing machines an automatic drain feature might have been part of the augmented product twenty years ago. If it was perceived as an extra by the potential customer it could help to differentiate the firms offering from the competition.

Of course automatic draining is taken for granted now, and has become part of the physical product. The consumer expects and demands it as a feature.

Similarly, firms have built intangible qualities into the augmented product, which are now taken for granted. One year guarantees have been superseded by three and five year guarantees.

Company name and image plays a more important role as mass advertising can be used to reinforce images of quality, strength and durability. Brand image is one of the most important intangible features which can influence consumer buying decisions.

AFTER-SALES SERVICE AND BRAND CORPORATE IMAGE

After-sales service plays a crucial role in ensuring the long-term credibility of company and brand image. When Perrier, the leading brand of bottled mineral water, suffered a contamination scare, it was not solely their brand image which helped them to rebuild their market share very quickly, it was the superbly efficient way in which they handled the incident, recalling the product and arranging instant refunds. Their after-sales service in the face of an extreme crisis (and in a potentially health-damaging situation) was seen to be concerned, responsible and anxious to rectify the situation.The brand lived up to its image as the leader on quality and satisfaction. It is even suggested that the contamination crisis actually improved the firm's standing in the consumers' eyes.

THE IMPACT OF SERVICE PROBLEMS ON BUYER BEHAVIOUR

With growing interest in the area of quality and customer satisfaction, there has been an increase in research into the impact of service problems on buyer behavior. The sort of findings which are beginning to emerge illustrate clearly the importance of post-purchase customer satisfaction levels. The figures given show the range of information coming from various sources and illustrate the extent of the problem, even though actual sources differ and have been generalized here Reports reveal evidence that the following factors 'and influences need to be considered:

The average business never hears from the vast majority of its dissatisfied customers.

For every complaint received, the average company has up to 26 customers with problems, 6 of which are defined as serious by the client.

Of those who register a complaint, over half will do business again with the organization to whom they are complaining if the complaint is rectified.

If the complaint is rectified quickly and professionally then 95% win do business again with that vendor. In this event problems are, in this context, opportunities to demonstrate what a good company the vendor really is

The average customer who has had a problem with an organization will tell another 9 or 10, and 130/0 of people with problems will tell over 20 others about it. Bad news travels wide, far and quickly.

People who have complained and have had their complaint resolved quickly and professionally will tell 5 others on average.

It is, therefore, easy to see that customer satisfaction in the product and in the service represents a critical factor in the purchase decision. This implies that the service arm of any manufacturer can play an important role in the future marketing success of not only its own operations but those of all its channels of distribution.

Customers' perceptions of a company's image may owe more to the efficiency (or otherwise) of the service department than to the quality of the actual product.

CUSTOMER SATISFACTION AND ITS ROLE IN THE BUYING PROCESS

Manufacturers, retailers and all types of marketing organizations are now involved in massive campaigns to improve their quality of service and its profitability by ensuring customer satisfaction. Looking after the customer is at least as important as looking after his equipment, and this is borne out in surveys made both in the United States and in the United Kingdom. This is equally important in business-to-business and industrial markets as it is in consumer markets.

RED CONCEPT; - What is RED?

RED (Right Execution Daily) is a measurable tool to measure sales team and distributors performance in the outlets with respect to all parameters of sales

Cooler

Brand Pack Availability

Channel Activation

Why RED?

With 50% Market Share, do we need to worry about Pepsi ?

With very high availability, can we expand the distribution ?

But do we have high availability of all Brand Packs ?

New Brand Packs - do we have the space in Cooler and Outlet ?

Then, how do we get Growths?

What is the real challenge?

Impulse Consumption Home Consumption

Space in the outlet

: Philosophy Works with a long term vision of creating Perfect Outlets

create maximum impact with the consumers

Ideal activation for every outlet

Norms:

Cooler Purity means 100% purity

Channel specific Cooler Standards .

Channel specific Activation material

Channel specific Brand Packs

RED works on 3 categories

1) Type of Outlet (Channel)

a) Grocery Home Consumption

Packs: PET and Mobile

b) Convenience medium / Small outlets on main roads, bus stand etc.

Packs: RGB and Mobile Eating & Drinking Restaurants, sweet shops, bakery etc Packs: 300 ml & Mobile

2)Volume of Outlet

Annual VPO

Diamond: > 800 cs

Gold: 500-799 cs

Silver: 200-499 cs

Bronze: < 200 cs

3) Consumer Profile

* High Income Area

* Middle Income Area

* Low Income Area

RED measures compliance to Picture of Success;-

1. Visi-cooler presence & condition.

2. Visi-cooler position, display & Brand Order Compliance

3. Availability Standards

4. Activation Elements

5. Price communication

Red is the survey method that company started earlier. For the survey of Red Company had hired the person from AC Nielson one of the best survey company. This survey gets done once in a month. Red is the set of norms divided into outlet wise.

Right execution daily (RED) is the diversification of outlets as Channel, Class, Income.

Lets know what is the Channel, Class, and Income respectively.

CHANNEL - Which type of outlet is this like E&D (EATING AND DRINKING), GROCERY, or CONVINIENCE?

E&D- Like restaurant must have 5 table with chairs.

GROCERY- Like general store.

CONVENIENCE- Like pan shop.

CLASS - Which class outlet has like SILVER, GOLD or DIAMOND?

SILVER-Those outlets which sells 200-499 carets per year.

GOLD- Those outlets which sells 500-799 carets per year.

DIAMOND- Those outlet which sells 800 & above carets per year.

INCOME - Whoever costumer comes on shop which income class they belongs like high Income, medium Income, low Income. RED (Right execution daily)

Outlet Wise Distribution of RED

Channel ClassLocality Income Group

Convience

Diamond

High

> 800c/s sale

Ex->Pan shop, P.C.O etc.

Grocery

Gold

Medium

Ex-> General store,

500-799c/s sale

Provision sto E&D (Eating and Drinking)

Silver

Low

200-499c/s sale

Ex->Restaurant, Hotel

Bronze