Marketing Plan

Presented By:Aditya Kale

Aniruddha PatilGourav Kapoor

Narendra KashikarSiddhartha Kamat

Contents:i. Brief Introduction of Marketing Plan

i. Objectives of Marketing Plan

ii. Brief Introduction of the Companyiii. Executive Summaryiv. Current Market Situationv. Objectives of the Companyvi. SWOT Analysisvii. Marketing Strategiesviii. Marketing Segmentationix. Budgetsx. Issues and Initiatives in Indiaxi. Referencesxii. Advertisement Clips

Introduction of Marketing Plan

•A part of business plan

•Most marketing plans cover one year

•General to specific : Vision to mission & then down to the individual action plans

•The most important output of marketing process.

Objectives of Marketing Plan•To set realistic & unambiguous goals.

•To develop an action plan for achieving these goals.

•To align the marketing activities with corporate mission.

•To respond to rapidly changing market conditions.

•To quantify the outcome of each activity.

Introduction of the Company•Founded in 1892 after the formula was invented by Pharmacist John S. Pemberton•Headquartered at Atlanta, Georgia-USA•Currently offers more than 500 brands in over 200 countries •Provides 1.7 billion servings a day•Of this Coca Cola(Coke) accounts for nearly 78%•Sales distributed as follows: 42%(USA), 38%(Mexico, India, Brazil, Japan and China), 20%(Rest of the World)

•Financial Details : Revenue US$ 35.119 billion Operating income US$ 8.449 billion Net income US$ 11.809 billion Total assets US$ 72.921 billion Total equity US$ 31.317 billion

•Employees: 1,39,600

Executive Summary

•Doubling the revenues by 2020

•Making a positive difference in the communities

•Project the company as a responsible corporate citizena) Sustainable water use & packagingb) Climate protection

•Lift the corporate brand image

•Connect with global middle class by creating new products and packaging formats for all lifestyles and occasions.

Fun Fact 1:3.1% of all beverages consumed around the world are Coca-Cola products

Of the 55 billion servings of all kinds of beverages drunk each day (other than water), 1.7 billion are Coca-Cola

Objectives of the CompanyMission:•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.Vision for 2020 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

Current Market Situation in India•The carbonated drinks market is close to Rs 6,000 crore ($1.36 billion) with growth at 10-12 per cent•The fruit juices and fruit-based drinks market is close to Rs 5,000 crore ($1.13 billion), growing at 35-40 per cent annually.•Within the hot beverages category, India is the largest producer of tea and accounts for 28 per cent of the global production at 956 million kilograms annually.•The total turnover of the tea industry is over Rs 8,000 crore ($ 1.8 billion), growing at a rate of 1.2 per cent annually.•India is the world’s 5th largest producer of coffee, accounting for 4 per cent of the world’s production.•In India, Coca Cola and Pepsi hold a market share of 95% of which coca cola has 60.8% the rest belongs to Pepsi.Main Indian Competitors:Pepsi Co.-Pepsi, Slice, Dew, Mirinda, Tropicana Juice, Lipton TeaNestlé-Nestea and other Milk Related Products.Dabur-Real Fruit juice

Products To Offer in Current Market SituationAerated Drinks

Coca ColaDiet CokeSpriteThums upMaazaLimca Kinley Soda

Juices Minute MaidIced Tea NesteaWater Kinley Water Tonic Water SchweppsEnergy Drink BurnCanned Coffee Georgia

Fun Fact 2:Coke makes so many different beverages that if you drank one per day, it would take you over 9 years to try them all.

Coca-Cola has a product portfolio of more than 3,500 beverages (and 500 brands), spanning from sodas to energy drinks to soya-based drinks

Fun Fact 3:Coca-Cola's $35.1 billion in revenue makes it the 84th largest economy in the world, just ahead of Costa Rica

Fun Fact 4:The Coca-Cola brand is worth an estimated $74 billion: more than Budweiser, Pepsi, Starbucks and Red Bull combined

Fun Fact 5:If every drop of Coke ever produced were put in 8-ounce bottles and laid end-to-end, they would reach the moon and back over 2,000 times

Fun Fact 6:If you stacked up Coke's 2.8 million vending machines, they would take up 150.2 million cubic feet of space -- the size of 4 Empire State Buildings

SWOT Analysis of CompanyStrengths:•Strong Brand Name •Corporate Identity •Global Distribution •Advertisement•Innovation•Local Approach •Strong R&D •Backward Integration •“Thanda Matlab Coca Cola” •Brand Loyalty •Financial Stability

Fun Fact 8:Around the world, the average person consumes a Coke product every four days

SWOT Analysis of CompanyWeaknesses:

•Not No 1 In India

•Market Share

•Under Utilization Of Capacity

•Sales In India

•Pesticide Controversy

SWOT Analysis of CompanyOpportunities:•Developing A Global Brand

•Coca Cola’s Bottling System

•Sufficient Capital

•Has A Potential

•Expansion Into New Market

•Possible Growing Demand

•Merge

SWOT Analysis of CompanyThreats:•Competition Pepsi

•Substituted

•Not Necessarily Married

•Pesticide Matter

•Change Of Taste

Marketing StrategyMarketing Mix:•Product Line

•Quality

•Brand Name

•Logo

•Packaging

Product:

Fun Fact 7:The red and white Coca-Cola logo is recognized by 94% of the world's population

•Modulation in Prices

•Psychological Pricing

•Penetration Method

Price:

•Intensive Distribution Strategy•Warehouse & Delivery•Marketing Channels

•Coverage:

Place:

•Advertisements:

•Print Advertisements

•Radio Advertisements

Promotion:

Implementation-Brand Localization StrategyIndia A(4%):“Life Ho To Aisi” •This segment sought social bonding as a need and responded to inspirational messages, celebrating the benefits of their increasing social and economic freedoms.•

India B(96%):“Thanda Matlab Coca-Cola”•Use of Idiomatic expressions and Local language•Accessibility Campaign•Distribution Infrastructure: Retail Outlets Doubled in 2 yrs.(From 80,000 to 160,000)•Doubled the Market Penetration in rural areas (13% to 26%)•Campaign of the Year(2003), Advertiser of the Year(2003)

Fun Fact 9:Coca-Cola spends more money on advertising than Microsoft and Apple combined

Coca-Cola advertising budget (2010): $2.9 billionMicrosoft advertising budget (2010): $1.6 billionApple advertising budget (2010): $691 million

Implementation through Advertising:Brand Ambassadors:Coca Cola: Imran Khan(Endorsement Fee:3.35 cr) Aamir Khan(Endorsement Fee:10 cr)

Virendar SehwagThums up-Akshay Kumar(Endorsement Fee: 5 cr)Fanta-Genelia D’souza (Fee: 1.13 cr)Sprite-Shahrukh Khan

Sponsorships:First Commercial Sponsor of Olympic Games in 1928Fifa World Cup(Since 1978)Major League Baseball, NBA, NHL.1996 Cricket World CupIPL: Delhi DaredevilsEnglish Football League(Coca Cola Championship, League 1, 2)

Implementation through Advertising:Mass Media:Hollywood Movies : Borat, Click, Failure to Launch, Glory Road, Gridiron Gang, Hostel, Mission: Impossible III, Silent Hill, The Covenant, The Departed

Bollywood Movies: Kaho Naa Pyar Hai, Rang De Basanti, Taal, Shree 420, Kuch Naa Kaho, Bobby.

Campaigns & Collaborations:• Domino’s• Coke Studio with MTV

• Diwali Campaign: “Come Home on Deepawali”• “Brrrrrr” Campaign

BudgetsCoca Cola has an global annual advertising budget of $1.6 billion a year.

2011-12 Q1 Highlights(Coca Cola India):Total Sales:$356.9 million Operating Income:$19.2millionNet Profits:$6.4millionEarning per Share:$1.69Current Trading Price:$63.70

Return on Equity:30.9%Return on Assets:15.1%Return on Invested Capital:25.1%Gross Profit Margin:68.4%

Issues and Initiatives in India •Groundwater Depletion

– The Issue: Several droughts in a number of villages in Kerala and Uttar Pradesh where the plants operated were linked as a possible cause due to the large usage of water for production.

– The Initiatives:• Reduce • Recycle• Replenish

– The Results:• Water usage ratio reduced by more than 25% from 2004-

2009• Waste water treated to a level to support aquatic life• Rainwater harvesting potential equal to 93% of ground

water used.

Issues and Initiatives in India •The Pesticide Controversy:

– The Issue: in 2006, CSE established that Coke had 25 times the pesticide residue than found in 2003 which posed health risks, which also resulted in a 11% drop in sales.

– The Initiative via Advertisements.

Initiatives in India

References

Thank You