ludhiana beverages

59
A PROJECT REPORT On “Market Survey To Find The Share Of Coca-Cola” LUDHIANA BEVERAGES PRIVATE LIMITED IN PARTIAL FULFILMENT OF THE BACHELOR PROGRAM IN BUSINESS ADMINISTRATION, PUNJAB TECHNICAL UNIVERSITY, JALANDHAR, PUNJAB. Submitted To Submitted by Lect. Rajvinder Kaur Faisal Noor

Upload: shahid-jabar

Post on 07-Mar-2015

292 views

Category:

Documents


0 download

TRANSCRIPT

Page 1: Ludhiana Beverages

A

PROJECT REPORT

On

“Market Survey To Find The Share Of

Coca-Cola”

LUDHIANA BEVERAGES

PRIVATE LIMITED

IN PARTIAL FULFILMENT OF THE BACHELOR

PROGRAM IN BUSINESS ADMINISTRATION,

PUNJAB TECHNICAL UNIVERSITY,

JALANDHAR, PUNJAB.

Submitted To Submitted by

Lect. Rajvinder Kaur Faisal Noor

BBA 4th Sem.

81407320007

CT INSTITUTE OF MANAGEMENT AND INFORMATION TECHNOLOGY

MAQSUDAN CAMPUS,

JALANDHAR

Batch (2008-2011)

Page 2: Ludhiana Beverages

DECLARATION

I here declare that the survey entitled,” Market survey to find the Share of Coca

Cola in Jalandhar” that no part of this work has been submitted for any other

degree of any other University. I also undertake that my work is purely academic and

no part has been copied or taken from anywhere.

Faisal Noor (81407320007)

2

Page 3: Ludhiana Beverages

PREFACE

Today’s competitive age, the person who gets the fastest information

and uses it, win. Information is very important resources just like other

physical resources such as men, material, machinery and money. The

right information provided to the right time can choose right persons

for the right job. Information plays a very significant role in decision

making to as it provides alternatives from which a choice can be made.

MBA is the stone to management carrier in order to achieve practical,

positive and course results the class rooms learning needs to be

effectively to the situation existing outside the class rooms.

3

Page 4: Ludhiana Beverages

In the present context not only the theoretical knowledge is important,

but the practical exposure of that theoretical knowledge has an equal

importance too. To tame or to become an expert in a particular

discipline a person needs practical doses of that knowledge from time

to time. So keeping this thing into view and to get a practical exposure,

I performed a training in Coca Cola. By doing this I came to know about

the Promotional strategies being adopted by Coca Cola and the survey

was done by me to find the share of Coca Cola.

TABLE OF CONTENTS

S.NO TOPICS PAGES

1 Introduction to FMCG Industry in

India

5-14

2 Company Profile(Ludhiana

15-24

4

Page 5: Ludhiana Beverages

Beverages Private Limited)

3 Objectives Of study 25

4 Research Methodology

26-28

5 Data Interpretation 29-34

6 Findings 35-36

7 Limitations 37-38

8 Suggestions 39-40

9 Conclusion 41-42

10 Bibliography 43

11 Annexure 44-46

5

Page 6: Ludhiana Beverages

INTRODUCTIO

N

INTRODUCTION

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

6

Page 7: Ludhiana Beverages

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 product comprises

of bottled and canned soft drinks as well as concentrates, syrups and not-ready-

to-drink 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 soft-drink 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.

7

Page 8: Ludhiana Beverages

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.

8

Page 9: Ludhiana Beverages

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. The FMCG sector, which is growing at the rate of 9%

is the fourth largest sector in the Indian Economy and is worth Rs.93000 crores.

The main contributor, making up 32% of the sector, is the 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.

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.

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,

9

Page 10: Ludhiana Beverages

Branded sugar, Juices; the major players being; Hindustan Lever Limited,

Nestle, Coca-Cola, Cadbury, Pepsi and Dabur

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

UB

BEVERAGE INDUSTRY IN INDIA: A BRIEF INSIGHT

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.

FIGURE 1: BEVERAGE INDUSTRY IN INDIA

THE COCA-COLA COMPANY

10

BEVERAGES

Alcoholic Non-Alcoholic

Carbonated Non-Carbonated

Cola Non-Cola Non-Cola

Page 11: Ludhiana Beverages

HISTORY

John Syth Pemberton, a pharmacist, first introduced Coca-Cola in the year 1886

in Atlanta, Georgia when he concocted caramel-colored syrup in a three-legged

brass kettle in his backyard. He first “distributed” the product by carrying it in a

jug down the street to Jacob’s Pharmacy and customers bought the drink for five

cents at the soda fountain. Carbonated water was teamed with the new syrup,

whether by accident or otherwise, producing a drink that was proclaimed

“delicious and refreshing”, a theme that continues to echo today wherever Coca-

Cola is enjoyed.

Dr. Pemberton’s partner and bookkeeper, Frank M. Robinson, suggested the

name and penned “Coca-Cola” in the unique flowing script that is famous

worldwide even today. He suggested, “The two Cs would look well in

advertising.” The first newspaper ad for Coca-Cola soon appeared in The Atlanta

Journal, inviting thirsty citizens to try “the new and popular soda fountain drink.”

Hand-painted oil cloth signs reading “Coca-Cola” appeared on store awnings,

with the suggestions “Drink” added to inform passersby that the new beverage

was for soda fountain refreshment.

By the year 1886, sales of Coca-Cola averaged nine drinks per day. The first

year, Dr. Pemberton sold 25 gallons of syrup, shipped in bright red wooden kegs.

Red has been a distinctive color associated with the soft drink ever since. For his

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

Pemberton never realized the potential of the beverage he created. He gradually

sold portions of his business to various partners and, just prior to his death in

1888, sold his remaining interest in Coca-Cola to Asa G. Candler, an entrepreneur

from Atlanta. By the year 1891, Mr. Candler proceeded to buy additional rights

and acquire complete ownership and control of the Coca-Cola business. Within

four years, his merchandising flair had helped expand consumption of Coca-Cola

to every state and territory after which he liquidated his pharmaceutical business

and focused his full attention on the soft drink. With his brother, John S. Candler,

John Pemberton’s former partner Frank Robinson and two other associates, Mr.

Candler formed a Georgia corporation named the Coca-Cola Company. The

trademark “Coca-Cola,” used in the marketplace since 1886, was registered in

the United States Patent Office on January 31, 1893.

11

Page 12: Ludhiana Beverages

The business continued to grow, and in 1894, the first syrup manufacturing plant

outside Atlanta was opened in Dallas, Texas. Others were opened in Chicago,

Illinois, and Los Angeles, California, the following year. In 1895, three years after

The Coca-Cola Company’s incorporation, Mr. Candler announced in his annual

report to share owners that “Coca-Cola is now drunk in every state and territory

in the United States.”

As demand for Coca-Cola increased, the Company quickly outgrew its facilities. A

new building erected in 1898 was the first headquarters building devoted

exclusively to the production of syrup and the management of the business. In

the year 1919, the Coca-Cola Company was sold to a group of investors for $25

million. Robert W. Woodruff became the President of the Company in the year

1923 and his more than sixty years of leadership took the business to

unsurpassed heights of commercial success, making Coca-Cola one of the most

recognized and valued brands around the world.

12

Page 13: Ludhiana Beverages

MANIFESTO FOR GROWTH

VALUES

Coca-Cola is guided by shared values that both the employees as individuals and

the Company will live by; the values being:

LEADERSHIP: The courage to shape a better future

PASSION: Committed in heart and mind

INTEGRITY: Be real

ACCOUNTABILITY: If it is to be, it’s up to me

QUALITY: What we do, we do well

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.

13

Page 14: Ludhiana Beverages

VISION FOR SUSTAINABLE GROWTH

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.

Use of Stimulants in Formula

When launched Coca-Cola's two key ingredients were cocaine (benzoylmethyl

ecgonine) and caffeine. The cocaine was derived from the coca leaf and the

14

Page 15: Ludhiana Beverages

caffeine from kola nut, leading to the name Coca-Cola (the "K" in Kola was

replaced with a "C" for marketing purposes).

Coca — Cocaine

Kola nuts — Caffeine

Formula

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

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 sweeteners and then carbonate it before putting it in cans and

bottles, which the bottlers then sell and distribute to retail stores, vending

machines, restaurants and food service distributors. Independent bottlers are

allowed to sweeten the drink according to local tastes.

15

Page 16: Ludhiana Beverages

COMPANY

PROFILE

LUDHIANA BEVERAGES PRIVATE LIMITED (LBPL)

ABOUT THE COMPANY

16

Page 17: Ludhiana Beverages

Coca Cola entered India during 1970s. In 1977, the Janata Party, the then ruling

party in India made it mandatory for foreign firms in the consumer sector to

divest a majority stake in favour of Indian Partners. Rather than dilute is stake,

Coca Cola India opted to close down its operation in India and exited the market

in 1977. 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 Parley’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.

“Ludhiana Beverage Private Limited” previously known as “Ludhiana

Bottling Company” was established in 1966 in Textile colony Ludhiana

by joint efforts of Mr. Kailash Goenka and Mr. Radhey Shyam Poder.

This plant was the first franchise of Parle in Punjab. The plant started

it’s with a 66 BPM funky line with a single prime product ‘Gold Spot’.

The annual production was only 3.35 lacks cases. Sales were 2.7 lacks

cases and turnover was 27 lacks. Distribution was done with the help of

8 vehicles (6 three wheelers and 2 trucks).

The plant shifted to its new venue “185 GT Road, Ludhiana” in 1972 with the

introduction of the new machinery (CEM) From America. Production capacity was

increased to 132 BPM. In 1973, Limca and in 1977 Thums Up were introduced

with the exit of Coke from India. In 1988, Maaza was introduced. Yearly

production was increased to 7 lacks cases and sales to 6.5 lacks cases. 12 more

vehicles were added for distribution with a total of 20 vehicles (14 three wheelers

and 6 trucks).

Ludhiana Bottling Company got the Gold medal for best quality in India and silver

medal in sales.

17

Page 18: Ludhiana Beverages

In 1994, the legend and soft drink giant Coca Cola took over parley and Ludhiana

beverages Limited is the third franchise of Coca Cola in Punjab. With the

introduction of new technology in plant and implementing policies of Coca Cola

system and Ludhiana Beverages Limited have come a long way in proving a

name for itself. It has 600 BPM aerated line. Production is 4.3 million years with

30000 cases per day during peak season. Sales are 4.2 million cases with a

turnover of 50 crores.

It is graded number 1 plant by Coca Cola India, which is utilizing its resources to

its maximum with minimum wastage.

“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.

As of 2008,Coca Cola is the leading beverage industry and has 24 bottling

operations of its own and 25 bottling operations owned by its franchisees.

18

Page 19: Ludhiana Beverages

MANIFESTO FOR GROWTH

VISION FOR SUSTAINABLE GROWTH

To provide exceptional strategic leadership in the Coca-Cola India System-

resulting in consumer and customer preference and loyalty, through Coca-Cola’s

commitment to them, and in a highly profitable Coca-Cola Corporate branded

beverages system.

MISSION

To create consumer products, services and communications, customer service

and bottling system strategies, processes and tools in order to create

competitive advantage and deliver superior value to:

Consumers as a superior beverage experience

Consumers as an opportunity to grow profits through the use of finished

drinks

Bottlers as an opportunity to grow profits in volumes

Bottlers as a trademark enhancement and positive economic value added

Suppliers as an opportunity to make reasonable profits when creating real

value-added in an environment of system-wide team work, flexible

business system and continuous improvement

Indian society in the form of a contribution to economic and social

development.

QUALITY POLICY

19

Page 20: Ludhiana Beverages

“To ensure customer delight, we commit to quality in our thoughts, deeds and

actions by continually improving our processes…Every time.”

ORGANIZATION STRUCTURE OF THE SALES DEPARTMENT IN LBPL:

20

Chairman & Managing Director

CEO Vice President Production

Sr. Vice President (Sales & Marketing)

Vice President (Sales &

Marketing)

General Manager

Sale Manager

Asst. Sale Manager

Field Executive

Salesman

General Manager (Marketing)

Channel Executive

Market Developer

Page 21: Ludhiana Beverages

MANUFACTURING PROCESS AT LBPL

FIGURE 3: MANUFACTURING PROCESS

The manufacturing of the products of Coca-Cola involves the following steps:

Water is received and it passes through the water treatment plant, further

passing through the sand filter and the activated carbon filter, so as to

attain pure cleansed water.

In the syrup room, the concentrate received is blended with the sugar

syrup.

Once both the water and the final syrup are ready, they are both mixed

together and sent to the carbonator section where Carbon Dioxide is

added to the mixture to form the final product.

21

Page 22: Ludhiana Beverages

On the other hand, simultaneously, the returnable glass bottles are

depalletized, inspected and washed for the purpose of filling in the final

product in it.

This step does not take place in the PET bottle line as the bottles once used are

disposed.

The product is finally filled in the bottles, crowned (in case of RGB)/

capped (in case of PET bottles), labeled and cased in order to be sent into

the warehouse for distribution.

DISTRIBUTION NETWORK

LBPL has a wide and well-managed network of salesmen appointed for taking up

the responsibility of distribution of products to diverse parts of the cities. The

distribution channels are constructed in such a way that the demand of

customers is fulfilled at the right place and the right time when it is needed by

them.

A typical distribution chain at LBPL would be:

Production --- Plant Warehouse --- Depot Warehouse --- Distribution

Warehouse --- Retail Stock --- Retail Shelf --- Consumer

The customers of the Company are divided into different categories and different

routes, and every salesman is assigned to one particular route, which is to be

followed by him on a daily basis. A detailed and well-organized distribution

system contributes to the efficiency of the salesmen. It also leads to low costs,

higher sales and higher efficiency thereby leading to higher profits to the firm.

DISTRIBUTION ROUTES

The various routes formulated by LBPL for distribution of products are as follows:

Key Accounts: The customers in this category collectively contribute a

large chunk of the total sales of the Company. It basically consists of

22

Page 23: Ludhiana Beverages

organizations that buy large quantities of a product in one single

transaction. The Company provides goods to these customers on credit,

payments being made by them after a certain period of time i.e. either a

month of half a month.

Examples: Clubs, fine dine restaurants, hotels, Corporate houses etc.

Future Consumption: This route consists of outlets of Coca-Cola

products, wherein a considerable amount of stock is kept in order to use

for future consumption. The stock does not exhaust within a day or two,

instead as and when required stocks are stacked up by them so as to

avoid shortage or non- availability of the product.

Examples: Departmental stores, Super markets etc.

Immediate Consumption: The outlets in this route are those which

require stocks on a daily basis. The stocks of products in these outlets

are not stored for future use instead, are exhausted on the same day

and might run a little into the next day i.e. the products are consumed at

a fast pace.

Examples: Small sized bars and restaurants, educational institutions

etc.

General: Under this route, all the outlets that come in a particular area

or an area along with its neighboring areas are catered to. The

consumption period is not taken into consideration in this particular

route.

DISTRIBUTION SYSTEM

Direct distribution: In direct distribution, the bottling unit or the bottler

partner has direct control over the activities of sales, delivery, and

merchandising and local account management at the store level.

Indirect distribution: In indirect distribution, an organization which is

not part of the Coca-Cola system has control on one or more of the

23

Page 24: Ludhiana Beverages

distribution elements (Sales, delivery, merchandising and local account

management)

PRODUCTS

The Coca-Cola Company offers a wide range of products to the customers

including beverages, fruit juices and bottled mineral water. The Company is

always looking to innovate and come up with, either complete new products or

new ways to bottle or pack the existing drinks. The Coca-Cola Company has a

wide range of products out of which the following products are marketed by

LBPL:

In the Cola Section:

In the Lemon section:

24

Page 25: Ludhiana Beverages

In the Orange section:

In the Juice section:

In the Soda Water and Bottled Mineral Water section:

PACKAGING DETAILS

Coca-Cola, Thums Up, Fanta, Limca and Sprite:

330 ml can, 200 ml and 300 ml Returnable glass

bottles; 500 ml, 1.25 litre, 1.5 litre and 2 litre PET bottles.

Diet Coke: 330 ml can and 500 ml PET bottle

Maaza: 200 ml and 250 ml Returnable Glass Bottle; 500+100 ml free and

1litre+200 ml PET bottles and the newly introduced 200 ml Tetra Pack

Minute Maid Pulpy Orange: 400 ml, 1 litre PET bottles and 200ml Tetra

pack

25

Page 26: Ludhiana Beverages

Kinley Mineral Water: 750 ml PET bottles

Kinley Soda Water: 300 ml returnable glass bottles, 500+100 ml free

and 1.5 litre PET bottles.

PROJECT

MARKET SURVEY TO FIND THE SHARE OF COCA COLA

OBJECTIVE OF STUDY

Consumption of soft drinks has increased tremendously in India. Every age group

likes it, and has now become a necessary household item. In field of marketing

the company conducts many surveys from time to time. This feedback is

necessary for any organization.

The main objective of the study lies in understanding the organization structure

and studying and understanding the consumers’ perception, opinion and to find

out the percentage share of Coca Cola in the market. To understand the various

marketing strategies being implemented in order to give the product the

required marketing push and to recognize the prospective consumers and their

opinion in order to develop and market the product in a better way in the near

future. The findings of the activity have been drawn out in form of graphs and

suggestions have been offered there from.

To understand the organization structure.

To know about the various marketing strategies being implemented.

To know the major player and their respective share in the market.

To ensure the availability of the product in the market.

To study the distribution network.

26

Page 27: Ludhiana Beverages

RESEARCH METHODOLO

GY

27

Page 28: Ludhiana Beverages

RESEARCH

Research is a movement from unknown to known. It is actually a voyage of discovery. Research may be defined as-

“Systematized effort to gain any branch of knowledge”. In simple words the search for knowledge through objective and systematic method of finding solution to a problem is research.

RESEARCH METHODOLOGY

Research methodology is a careful investigation or inquiry in a systematic method and finding solution to problem in a research. It comprises of defining and redefining problems, formulating hypothesis or suggested solutions, collecting and evaluating data, making deductions and reaching conclusions and at last carefully testing the conclusion to determine whether they fit us formulating hypothesis.

Research Sample Unit

Sample unit refers to the geographical area in which the research is carried out. My research covering area of Jalandhar city.

Research Sample Size

My sample size is 200 persons.

28

Page 29: Ludhiana Beverages

DATA SOURCE

For completing these project two types of data were taken into consideration i.e. primary data and secondary data.

PRIMARY DATA

In order to conduct any kind of research we always need data. Data can always be in two forms:

The data which is not present in records and publication as well as researchers have to gather a fresh data from the study conducted by him is called primary data.

The primary data used for the research is collected by-

Questionnaire Method

This is the method of data collection in which the data is collected with the help of questionnaire. A questionnaire consist of number of questions, used to given to the respondents who write down their replies in the space provided for that. The questionnaires are mainly consisting of choice or close ended, but few open- ended questions are also asked.

TYPE OF SAMPLING: CONVENIENCE SAMPLING

SECONDARY DATA

The secondary data is that which is already collected by somebody else. This is available on different sources like newspapers, Internet etc.

29

Page 30: Ludhiana Beverages

DATA ANALYSIS AND

INTERPRETATION

30

Page 31: Ludhiana Beverages

DATA INTERPRETATION

1. Decision maker age group of retailers (in years).

Age group percentage

24%

37%

29%

10%

1 20-30

2 30-40

3 40-50

4 50 & above

31

Sr.No. Age group (in years) Percentage

(%)

1. 20-30 24

2. 30-40 37

3. 40-50 29

4. 50 & above 10

Page 32: Ludhiana Beverages

Interpretation

24% decision maker belongs to 20-30 age group

37% decision maker belongs to 30-40 age group

29% decision maker belong to 40-50 age groups and

10% decision maker belongs to 50 & above age group.

2. Percentage of the channel (store) where Coke is supplied.

Sr.No. Channel Percentage (%)1. Grocery 82. Convenience 633. E&D-1 154. E&D-2 14

Channel percentage

815 14

63

0

20

40

60

80

1 Grocery 8

2 Convenience 63

3 E&D-1 15

4 E&D-2 14

Percentage

Interpretation

Convenience store accounts for high channel percentage i.e. 63%.

E&D-1 stores have a percentage of 15%.

E&D-2 stores have a percentage of 14%.

32

Page 33: Ludhiana Beverages

Grocery stores have a percentage of 8%.

3. Percentage of category of outlets on the basis of volume.

Sr.No. Category(outlet) Percentage1. Silver 512. Gold 303. Diamond 19

Category percentage

51%

19%

30%

Silver Gold Diamond

Categorization of outlets is done on the basis of volume i.e. the number of cases sold in a year.

Interpretation

33

Page 34: Ludhiana Beverages

Silver category outlets are those, which are involved in selling

200-499 cases a year. Silver category outlets bagged the highest

percentage of 51%.

Gold outlets bagged a percentage of 30%. Gold category outlets

are involved in selling 500-799 cases a year.

Diamond category outlets bagged 19%. Diamond category

outlets are involved in selling more than 800 cases a year.

4. Percentage of status of SGA type installed in the market.

SGA Type Percentage

8

54

13

0 1

24

0

10

20

30

40

50

60

Percentage 8 54 13 0 1 24

4 Caser 7 Caser 9 Caser 11 Caser 13 Caser Other

1 2 3 4 5 6

Coca Cola uses various promotion strategies to enhance the interest of

the retailers.

SGA (Sales Generating Asset) is one of the promotion techniques used to

enhance the interest of the retailers.

34

Sr.No. SGA Type Percentage (%)1. 4 Caser 82. 7 Caser 543. 9 Caser 134. 11 Caser 05. 13 Caser 16. Other 24

Page 35: Ludhiana Beverages

Interpretation

In market, SGA Type 7 Caser holds maximum majority of 54%.

SGA Type 13 Caser holds 1%.

5. Percentage of promotion tools used in the market.

Promotion Tool Percentage (%)

17%

15%

30%

38%

1 Signage 2 Warm Display Rack 3 Shelf Display 4 Outside Crates

Various promotion techniques being used by Coca Cola company in order to

increase their sales and volume of profit. When we enter any outlet in the

front the name of outlet is best described. This is being done with the help of

Signage. Warm Display racks are used to advertise products in a better

manner. Shelf display being used to know the consumers about the various

products.

Interpretation

Outside crates holds a majority of market share i.e. 38%

35

Sr.No. Promotion Tool Percentage (%)1. Signage 172. Warm Display Rack 153. Shelf Display 304. Outside Crates 38

Page 36: Ludhiana Beverages

Shelf display holds a market share of 30%

Signage holds a market share of 17%.

FINDINGS

36

Page 37: Ludhiana Beverages

FINDINGS

Coke products are having a highest percentage of market shares.

Coke products are the most demanding in the market. Coke

products are having a percentage of 79% followed by Pepsi

products having a percentage of 19%.

Coke products account for 15% of the average daily income of the

retailer.

Retailers are totally satisfied with the distribution channel of the

company having a percentage of 60%.

Customer visits the market most in the time slab of 4 pm-6 pm

having a percentage of 38%.

Outside crates form the highest percentage of promotional

techniques to promote the product followed by shelf display having

a percentage of 30%.

64% SGA’s are pure in the market.

Silver category outlet bagged the highest percentage of 51%.

74% accounts for the prime position of SGA in the market.

37

Page 38: Ludhiana Beverages

LIMITATIONS

38

Page 39: Ludhiana Beverages

LIMITATIONS OF THE STUDY

The sample size of the project is 200 retailers and the study was

limited to Jalandhar city only.

The retailers are selected at random without any consideration.

The project has been based on the information provided to me by the retailers and all the analysis and interpretation has been done on its basis.

The survey was done with the help of questionnaire method.

The findings of the survey may not be the representative of the market as it is limited in its scope.

39

Page 40: Ludhiana Beverages

SUGGESTIONS

40

Page 41: Ludhiana Beverages

SUGGESTIONS

The prices of can are very high according to customers; the prices

should be reduced in order to cater the lower segment of

customers.

The imported cans are quite high in number in the market.

Therefore various strategies to be implemented to increase the

availability of cans in the market.

Schemes are to be provided by the company from time to time in

supermarket to enhance the sales. Example: - On buy of 2-ltr coke

you will get a discount of Rs.5.

More attention is to be paid by the company to the complaint of

retailers.

41

Page 42: Ludhiana Beverages

Availability of Kinley water is there in the market but it is quite less

in comparison to Bisleri, Aquafina and other local brands. Therefore

company should provide such schemes to enhance the sales.

During off-season, the company should provide additional schemes

to enhance the sales and increase their volume of profits.

During peak season, the company should ensure that there should

be smooth supply of coke products in the market.

The company should take care of supply of all the flavors in all the

pack sizes.

FIFO strategy is being adopted by the company. The product first

manufactured should be placed first in the market.

42

Page 43: Ludhiana Beverages

CONCLUSION

43

Page 44: Ludhiana Beverages

Conclusion

Consumption of soft drinks has increased tremendously in India. Every age group

likes it, and has now become a necessary household item. In field of marketing

the company conducts many surveys from time to time. This feedback is

necessary for any organization.

In Jalandhar market, 79% of the people prefer Coca Cola company

product. There is a monopoly of Coca Cola products in the market. The

demand of 300ml pack is very high.

In a nutshell, company should aim at satisfying the consumers to attain a

bigger market as well as to survive in the competitive market.

44

Page 45: Ludhiana Beverages

BIBLIOGRAPHY

http://www.cybernoon.com

Case Folio: Coca-Cola, PepsiCo and the Indian Soft Drink Beverage Market (Sep. 2009)

http://news.bbc.co.uk

http://www.thecoca-colacompany.com

http://www.coca-cola.com

http://www.ko.com

http://www.hoovers.com

http://www.google.com

http://www.wikipedia.org

ANNEXURES

45

Page 46: Ludhiana Beverages

QUESTIONNAIRE

(Information provided by you will be kept confidential and use for research purpose only)

Name Of Outlet _______________________________ Gender (M/F) ____________

Address______________________________ Age _____________________________

____________________________________ Occupation ________________________

Contact No. __________________________

1. DECISION MAKER AGE GROUP (in years): -

a. 20-30

b. 30-40

c. 40-50

2. WHAT IS THE CHANNEL/TYPE?

a. GROCERY

b. CONVENIENCE

c. E&D-1

d. E&D-2

3. Percentage of category of outlets on the basis of volume

a. SILVER

b. DIAMOND

c. GOLD

4. Status Of SGA Type installed in the market (in caser)

a. 4

b. 7

c. 9

d. 11

46

Page 47: Ludhiana Beverages

e. 13

f. OTHERS

5. What are the promotional tools used by the company in the

market?

a. Signage

b. Warm Display Rack

c. Shelf Display

d. Outside Crates

6. IS THE SGA PURE?

a. YES

b. NO

7. IS SGA AT PRIME POSITION OR NOT?

a. YES

b. NO

8. WHICH CATEGORY OF THE SOFT DRINK PRODUCTS YOU KEEP IN

YOUR SHOP (IN CRATES)?

PRODUCT COKE PEPSI BISLERI FRUITY

RGBMOBILE

PET

WATER

JUICE

CAN

SODA

Total

Percentage

47

Page 48: Ludhiana Beverages

9. AT WHAT TIME PER DAY VEHICLE REACHES?

a. 8AM-10AM

b. 10AM-12PM

c. 12-2PM

d. 2PM-4PM

e. 4PM-6PM.

10. WHAT IS THE PEAK TIME OF CONSUMER VISIT?

a. 7-9 AM

b. 9-11AM

c. 11 AM-1 PM

d. 2-4 PM

e. 4-7 PM

11. WHAT IS YOUR DAILY TURNOVER? WHAT IS COCA-COLA

CONTRIBUTION TO THAT? ________________________________________________

12. ARE YOU SATISFIED WITH DISTRIBUTION CHANNEL OF THE

COMPANY?

a. TOTALLY SATISFIED

b. SATISFIED

c. DISSATISFIED

d. SOMEWHAT SATISFIED

48