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A RESEARCH REPORT

ON

RED

RIGHT EXECUTION DAILY

SUMMER

TRAININGProject Report

For

WAVE BEVERAGES Pvt. Ltd.

UNDER GUIDANCE OF SUBMITTED BY

Mr. Vishal Mehra Harish Kalia

GLOBAL INSTITUTE OF MANAGEMENT

AMRITSAR

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ACKNOWLEDGEMENT

The word at our command are very less to render our gratitude to all who help me Nothing is a single man’s effort. Cooperation and coordination of various people go into

the successful implementation. It is a great pleasure to have the opportunity to extent

our heart-felt thank to everybody who helped me through the successful completion of

the research report. .First of all I would like to thank my project guide Mr.Ankit Garg

who kindled my path towards the completion of research project I offer appreciation to

my parents and all my friends for their ever-willing cooperation and moral support. And

at last but not the least, I thank the Almighty who is always with me.

INDEX

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TITLE PAGE NO.

ACKNOWLEDGEMENT

CHAPTER 1:1.1 INDUSTRY PROFILE 4-11

1.2 COMPANY PROFILE 12-21

1.3 MISSION AND VISION OF COCA COLA COMPANY 22

1.4 PRODUCTS 25-30

1.5 ORGANIZATION STRUCTURE 43

1.6 WBPL PROFILE 46

1.7 SWOT ANALYSIS 50CHAPTER 2:

2.1 INRODUCTION AND OBJECTIVES 53-59

2.2 RESEARCH METHODOLGY 60-61

2.3 REVIEW OF LITERATURE 62-65

CHAPTER 3:

3.1 ASSIGNMENT-1 66

3.2 MARKET SEGMENTATION 67-70

3.3 ASSIGNMENT-2 71

CHAPTER 4:

4.1 DATA ANALYSIS AND INTERPRETATION 72-82

4.2 EXECUTIVE SUMMARY 83

4.3 CONCLUSION 84

4.4 FINDINGS, SUGGESTIONS, RECOMMENDATIONS 85-87

4.5 LEARNING EXPERIENCE 88

REFERNCESSCORING SHEET

CHAPTER 1

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1. INDUSTRIAL PROFILE

1.1 SOFT DRINKS INDUSTRY IN INDIA

Soft drinks can trace their history back to the mineral water found in

natural springs. Bathing in natural springs has long been considered a healthy thing to

do; and mineral water was said to have curative powers. Scientists soon discovered that

gas carbonium or carbon dioxide was behind the bubbles in natural mineral water.

The first marketed soft drinks (non-carbonated) appeared in the 17th century. They

were made from water and lemon juice sweetened with honey. In 1676, the Compagnie

de Limonadiers of Paris were granted a monopoly for the sale of lemonade soft drinks.

Vendors would carry tanks of lemonade on their backs and dispensed cups of the softdrink to thirsty Parisians.

JOSEPH PRIESTLEY

In 1767, the first drinkable man-made glass of carbonated water was created by

Englishmen Doctor Joseph Priestley . Three years later, Swedish chemist Torbern

Bergman invented a generating apparatus that made carbonated water from chalk by the

use of sulfuric acid. Bergman's apparatus allowed imitation mineral water to be

produced in large amounts.

Soft drinks by definition are carbonated drinks that are non-alcoholic.

Carbonated soft drinks are also refereed to as soda, soda pop, pop, or tonic.

• 1798 The term "soda water" first coined.

• 1810 First U.S. patent issued for the manufacture of imitation mineral waters.

•

1819 The " soda fountain " patented by Samuel Fahnestock.• 1835 The first bottled soda water in the U.S.

• 1850 A manual hand & foot operated filling & corking device, first used for

bottling soda water.

• 1851 Ginger ale created in Ireland.4

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• 1861 The term "pop" first coined.

• 1874 The first ice-cream soda sold.

• 1876 Root beer mass produced for public sale.

•

1881 The first cola-flavored beverage introduced.• 1885 Charles Aderton invented " Dr Pepper " in Waco, Texas.

• 1886 Dr. John S. Pemberton invented " Coca-Cola " in Atlanta, Georgia.

• 1892 William Painter invented the crown bottle cap.

• 1898 " Pepsi-Cola " is invented by Caleb Bradham.

• 1899 The first patent issued for a glass blowing machine, used to produce glass

bottles.

•

1913 Gas motored trucks replaced horse drawn carriages as delivery vehicles.• 1919 The American Bottlers of Carbonated Beverages formed.

• 1920 The U.S. Census reported that more than 5,000 bottlers now exist.

• Early 1920's the first automatic vending machines dispensed sodas into cups.

• 1923 Six-pack soft drink cartons called "Hom-Paks" created.

• 1929 The Howdy Company debuted its new drink "Bib-Label Lithiated Lemon-

Lime Sodas" later called " 7 up". Invented by Charles Leiper Grigg.

• 1934 Applied color labels first used on soft drink bottles, the coloring was bakedon the face of the bottle.

• 1952 The first diet soft drink sold called the "No-Cal Beverage" a gingerale sold

by Kirsch.

• 1957 The first aluminum cans used.

• 1959 The first diet cola sold.

• 1962 The pull-ring tab first marketed by the Pittsburgh Brewing Company of

Pittsburgh, PA. The pull-ring tab was invented by Alcoa.• 1963 The Schlitz Brewing Company introduced the "Pop Top" beer can to the

nation in March, invented by Ermal Fraze of Kettering, Ohio.

• 1965 Soft drinks in cans dispensed from vending machines.

• 1965 The resealable top invented.5

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• 1966 The American Bottlers of Carbonated Beverages renamed The National

Soft Drink Association.

1. 1970 Plastic bottles are used for soft drinks.

Since the early 1990’s Coca-Cola Corporation and PepsiCo have been

combating on what is known as the “Beverage Battlefield” in India. Today India is one

of the most sought after countries for foreign investments because of their continually

growing market opportunities. However during Coca-Cola and Pepsi’s attempts to

broaden their global consumer bases both companies encountered several obstructions

on their pursuits of conquering the Indian soft drink market.

BEVERAGES

Alcoholic Non-Alcoholic

Carbonated Non-Carbonated

Cola Non-Cola Non-Cola

6

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1.2 MARKET GROWTH

Soft drink market size for FY00 was around 270 m.n cases (6480mn bottles). The

market witnessed 5- 6% growth in the early‘90s. Presently the market growth has

growth rate of 7- 8% per annum compared to 22% growth rate in the previous

year. The market size for FY01 is expected to be 7000 mn bottles.

1.3 SOFT DRINK PRODUCTION AREA

The market preference is highly regional based. While cola drinks have main

markets in metro cities and northern states of UP, Punjab, Haryana etc. Orange

flavored drinks are popular in southern states. Sodas too are sold largely in

southern states besides sale through bars. Western markets have preference

towards mango flavored drinks. Diet coke presently constitutes just 0.7% of thetotal carbonated beverage market.

1.4 GROWTH PROMOTIONAL ACTIVITIES

The government has adopted liberalized policies for the soft drink trade to give

the industry a boast and promote the Indian brands internationally. Although the

import and manufacture of international brands like Pepsi and Coke is enhanced

in India the local brands are being stabilized by advertisements, good quality and

low cost.

The soft drinks market till early 1990s was in hands of domestic players like

campa, thumps up, Limca etc but with opening up of economy and coming of

MNC players Pepsi and Coke the market has come totally under their control.

The distribution network of Coca cola had6.5 lakh outlets across the country in

FY00, which the company is planning to increase to 8 lakhs by FY01. On the

other hand Pepsi Co's distribution network had 6 lakh outlets across the country

during FY00 which it is planning to increase to 7.5 Lakh by FY01.

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1.5 TYPES OF AVAILIBILITY PACKS OF SOFT DRINKS

Soft drinks are available in glass bottles, aluminum cans and PET bottles for

home consumption. Fountains also dispense them in disposable containers Non-

alcoholic soft drink beverage market can be divided into fruit drinks and soft

drinks. Soft drinks can be further divided into carbonated and non-carbonated

drinks. Cola, lemon and oranges are carbonated drinks while mango drinks come

under non carbonated category.

The market can also be segmented on the basis of types of products into cola

products and non-cola products. Cola products account for nearly 61-62% of the

total soft drinks market. The brands that fall in this category are Pepsi, Coca-

Cola, Thumps Up, diet coke, Diet Pepsi etc. Non-cola segment which constitutes36% can be divided into 4 categories based on the types of flavors available,

namely: Orange, Cloudy Lime, Clear Lime and Mango.

1.6 INTIAL DIFFICULTIES

From a historical standpoint, Coca-Cola and Pepsi were facing obstructions even

before entering the market in the late 1980’s. Coca-Cola’s past venture in India had

ended on bad terms with the Indian government when they refused to offer up their trade secrets. During the absence of foreign investment in the soft drink industry in

India a local company, Parle, became the market leader. Parle invested a great deal into

their leading brand, Thums Up, and played a dominant role in the soft drink industry

until the liberalization of the Indian economy in 1991. After this time many of the

political and legal obstacles facing Coca-Cola and Pepsi were lessened.

1.7 POLITICAL CHALLENGES

Other political challenges hindered the success of Coca-Cola and Pepsi in India as well.

In 2003, when the United States and Britain invaded Iraq, the All-India Anti-Imperialist

Forum called a boycott on goods from America and India. Indian’s protested American

companies for the war and specifically targeted Coca-Cola and Pepsi products. While

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the war was beyond control for these two companies, management perhaps could’ve

done more to not only attempt to predict the backlash from Indian consumers due to the

war, but also could’ve created advertisement campaigns to address the situation.

While political and legal factors produced problems for Coca-Cola and Pepsi, both

Coca-Cola and Pepsi did a lot of things to prevent that situation from happening. Both

companies heavily participated in the cultural festival of Navratri in western India to

promote their products and create brand awareness in a culturally traditional setting.

The companies also produced television and print advertisements that linked important

Indian themes to their products by “building a connect using the relevant local idioms”

Coca-Cola and Pepsi both utilized popular Indian sporting events, athletes, and

celebrities to endorse their products. Both companies could’ve made the mistake of

using American celebrities or already made American commercials to advertise their products in India, but instead made the right move by making advertisements to

specifically target their foreign market.

1.8 PRICING POLICY FOR INDIAN MARKET

Coca-Cola and Pepsi also made the right moves by adapting to cultural barriers in India.

One such barrier was the affordability of products for Indians. Because India is a

country where people are known to live on very little a day, the idea of getting people to

spend what little they have on a soft drink could be quite a stretch. However Coca-Cola

India went with an aggressive pricing policy and reduced the price of their soft drinks in

2003 from 15% to 25% nationwide. To compete competitively in the market, Pepsi

reduced their prices as well. This move allowed both companies to offer products that

were affordable to the target market in India but also encouraged more Indians to

consume Pepsi and Coca-Cola products.

Both companies also created smaller sized bottles to allow for lower prices for Indian

consumers. Coca-Cola and Pepsi created bottles ranging in size from 200 ml to 500 ml

to adapt to cultural needs and increase their sales. By offering smaller sized bottles

many consumers also increased the frequency in which they were purchasing the soft

drinks.

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1.9 COCACOLA IN INDIA

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 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. Coke’s acquisition of local popular Indian

brands including Thums Up (the most trusted brand in India21), 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 tasteswhile 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 Sun fill hit

the market.

From 1993 to 2003, Coca-Cola invested more than US$1 billion in India, making it one

of the country’s top international investors.22 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.23 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

2003.24 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

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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.25 In addition to

its own employees, Coke indirectly created employment for another 125,000 Indians

through its procurement, supply, and distribution networks.

CHAPTER 2

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2. COMPANY PROFILE

2.1 INTRODUCTION OF THE COCA COLA COMPANY

Coca-Cola touches the lives of millions of people each and everyday from special

occasion to exceptional moments in everyday life, Coca-Cola is there. The brand has

become very special part of people’s life.

There is much in our world to celebrate, refresh, strengthen and protect. The Coca-Cola

Company is a vibrant network of people, in over 200 countries, putting citizenship into

action. Through their actions as local citizens, they strive everyday to refresh the

marketplace, protect the environment and strengthen over communities.

The Coca-Cola company is on a journey, it is a bold journey, inspired by their simple

desire for sustainable growth of fueled by deep conviction that collectively can create

anything the company desires.

World of coca cola encompasses the rich history and process of the refreshing beverage

that was created here in ATLANTA over 110 years ago. While coca cola was first

served at a small pharmacy soda foundation near underground Atlanta, soft drink is now

being purchased in over 200 countries across the globe. In fact, it is now severed nearly

1 billion times a day. You might say that when the world wants refreshment the world

turns to Coca-Cola.

World of Coca-Cola capture all the excitement of this world famous product, not only

through its exhibits, but also through its unique architecture style. Visitors pass under an

enormous three-dimensional Coca-Cola globe suspended 18 feet over the entrance, then

step in to a three story sky lit atrium from there visitors move at their own pace through

an easy to follow series of fun and fascinating exhibit galleries.

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At the late 1930s Barnes soda jerk will demonstrate how an early Coca-Cola was

prepared. Move ahead into the International Video Lounge and the “Taste of the world”

an international sampler of cold soft drinks distributed by the Coca-Cola company but

not available in U.S.

2.2 BELIFS OF THE COMPANY

We're paying attention to what the world wants to drink.

We're proud to say that we market four of the top-five soft drinks in the world and rank

No. 1 in sales of carbonated soft drinks globally. Did you know that globally we also

rank No. 1 in juice and juice drinks, No. 2 in sports drinks and No. 3 in bottled water?

We believe in creating beverages for life.

In the past two years, we have expanded our portfolio of beverages that provide

vitamins, nutrients and other beneficial ingredients. We now have more than 400 brands

that include nearly 2,400 beverage products.

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We believe in preserving and protecting water resources.

Protecting and improving access to and the availability of water remains one of our

long-term goals. We partner with many organizations, governments and local

communities to develop and implement sustainable water initiatives around the world.

We are committed to supporting our communities.

The Coca-Cola system (the Company and our bottling partners) has a comprehensive

HIV/AIDS health care program in Africa, covering nearly 60,000 employees, their

spouses and their children. We have also reached millions of people in Africa through

our HIV/AIDS community awareness programs

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We are a part of local businesses around the world.

The Coca-Cola system's customers are the grocers, retailers, street vendors and store

owners who sell our products to our consumers. We have millions of these partners in

the more than 200 countries where we operate.

We have room to grow profitably.

Approximately 50 billion times a day, someone drinks a beverage. Our beverages are

enjoyed more than 1.3 billion of those times. That means there are over 48 billion

beverage choices to capture .

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2.3 HISTORY OF THE COMPANY

In May, 1886, Coca Cola was invented by Doctor John Pemberton a pharmacist from

Atlanta, Georgia. John Pemberton concocted the Coca Cola formula in a three legged

brass kettle in his backyard. The name was a suggestion given by John Pemberton's

bookkeeper Frank Robinson.

John Stith Pemberton

John Stith Pemberton

BornJanuary 8, 1831

Georgia

Died August 16, 1888 (aged 57)

Resting place Linwood Cemetery in Columbus, Georgia

Nationality United States

Occupation Druggist

Known for Coca-Cola

The first Coca-Cola recipe was invented in a drugstore in Columbus, Georgia by John

Pemberton, originally as a coca wine called Pemberton’s French Wine Cola in 1885.He

may have been inspired by the formidable success of Vin Mariani, a European coca

wine.17

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In 1886, when Atlanta and Fulton County passed prohibition legislation, Pemberton

responded by developing Coca-Cola, essentially a non-alcoholic version of French

Wine Cola. The first sales were at Jacob's Pharmacy in Atlanta, Georgia, on May 8,

1886. It 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 due to the belief that carbonated

water was good for the health. Pemberton claimed Coca-Cola cured many diseases,

including morphine addiction, dyspepsia, neurasthenia, headache, and impotence.

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 andincorporated 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.

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 Koke. After both failed to

catch on, Candler set out to establish a legal claim to Coca-Cola in late 1888, in order to

force his two competitors out of the business. Candler purchased exclusive rights to the

formula from John Pemberton, Margaret Dozier and Woolfolk Walker. However, in

1914, Dozier came forward to claim her signature on the bill of sale had been forged,

and subsequent analysis has indicated John Pemberton's signature was most likely a

forgery as well.

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Old German Coca-Cola bottle opener

In 1892 Candler incorporated a second company, The Coca-Cola Company (the current

corporation), and in 1910 Candler had the earliest records of the company burned,further obscuring its legal origins. By the time of its 50th anniversary, the drink had

reached the status of a national icon for the USA. In 1935, it was certified kosher by

Rabbi Tobia Geffen, after the company made minor changes in the sourcing of some

ingredients.

Coca-Cola was sold in bottles for the first time on March 12, 1894. The first outdoor wall advertisement was painted in the same year as well in Cartersville, Georgia. Cans

of Coke first appeared in 1955. The first bottling of Coca-Cola occurred in Vicksburg,

Mississippi, at the Biedenharn Candy Company in 1891. Its proprietor was Joseph A.

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Biedenharn. The original bottles were Biedenharn bottles, very different from the much

later hobble-skirt design that is now so familiar. Asa Candler was tentative about

bottling the drink, but two entrepreneurs from Chattanooga, Tennessee, Benjamin F.

Thomas and Joseph B. Whitehead, proposed the idea and were so persuasive that

Candler signed a contract giving them control of the procedure for only one dollar.

Candler never collected his dollar, but in 1899 Chattanooga became the site of the first

Coca-Cola bottling company. The loosely termed contract proved to be problematic for

the company for decades to come. Legal matters were not helped by the decision of the

bottlers to subcontract to other companies, effectively becoming parent bottlers.

quantities, as an over-the-counter remedy for nausea or mildly upset stomach.

2.3.1 BIRTH OF COCA COLA

Being a bookkeeper, Frank Robinson also had excellent penmanship. It

was he who first scripted “Coca Cola” into the flowing letters which has become the

famous logo of today.

The soft drink was first sold at the public soda fountain in Jacob’s Pharmacy in Atlanta

on May 8, 1886.

About nine servings of the soft drink were sold each day. Sales for that first year added

up to a total of about $50. The finny thing was that it cost John Pemberton over $70 in

expenses, so the first year of sales were a loss.

Until 1905, the soft drink, marketed as a tonic, contained extracts of cocaine as well as

the caffeine rich kola nut.

2.3.2 ASA CANDLER

In 1887, another Atlanta pharmacist and business, Asa Candler bought

the formula for Coca Cola from inventor John Pemberton for $2,300. by the late 1890s,

Coca Cola was one of America’s most popular fountain drinks, largely due to Candler’s

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aggressive marketing of the product. With Asa Candler, now at the helm, the Coca Cola

Company increased syrup sales by over 4000% between 1890 and 1900.

Advertising was an important factor in John Pemberton and Asa Candler’s success and

by the turn of the century, the drink was sold across the United States and Canada.

Around the same time, the company began selling syrup to independent bottling

companies licensed to sell the drink. Even today, the US soft drink industry is organized

on this principle.

2.3.4 DEATH OF SODA FOUNTAIN-RISE OF BOTTLING INDUSTRY

Until the 1960s, both small town and big city dwellers enjoyed

carbonated beverages at the local soda fountain or ice cream saloon. Often housed in thedrug store, the soda fountain counter served as a meeting place for people of all ages.

Often combined with lunch counters, the soda fountain declined in popularity as

commercial ice cream, bottled soft drinks, and fast food restaurants became popular.

2.3.5 21 st CENTURY

On February 7, 2005, the Coca-Cola Company announced that in the

second quarter of 2005 they planned to launch a Diet Coke product sweetened with theartificial sweetener sucralose ("Splenda"), the same sweetener currently used in Pepsi

One. On March 21, 2005, it announced another diet product, "Coca-Cola Zero",

sweetened partly with a blend of aspartame and acesulfame potassium. Recently Coca-

Cola has begun to sell a new "healthy soda": Diet Coke with vitamins B6, B12,

Magnesium, Niacin, and Zinc, marketed as "Diet Coke Plus."

On July 5, 2005, it was revealed that Coca-Cola would resume operations

in Iraq for the first time since the Arab League boycotted the company in 1968.

In April 2007, in Canada, the name "Coca-Cola Classic" was changed

back to "Coca-Cola." The word "Classic" was truncated because "New Coke" was no

21



longer in production, eliminating the need to differentiate between the two. The formula

remained unchanged.

In January 2009, Coca-Cola stopped printing the word "Classic" on the

labels of 16-ounce bottles sold in parts of the southeastern United States. The change is

part of a larger strategy to rejuvenate the product's image.

2.3.6 THE MEN WHO MADE COCA-COLA

1885 John Pemberton created coca cola

1886 Frank Robinson arrived and instantly devoted all his time to manufacture and

promote the drink.

1887 Asa Candler buys the rights of the secret Coca Cola formula and along with

Charlie Pemberton and wool folk walker files for the incorporation of the

Coca Cola Company

1888 Benjamin Thomson and Joseph Whitehead began to the now famous drink,

this was a success.

1903 Sam Dabbs takes charge of sales.1909 Harold Hirsh assumes charge of the legal affairs.

1910 Earl Dean designs and produces the unique “hobble skirt” bottle.

1916 Horward Candler takes over as president.

1917 Archie Lee revolutionizes the Coca-Cola advertising.

1923 Robert Woodruff becomes the president.

1939 Arhur Acklin assumes charge as president

1954 Frank Harrold brings Coca Cola in India.

1955 Bill Robinson is appointed president.

1972 Roberto Goizueta is appointed president.

1994 Dough Lvester is appointed president

1999 Douglas Daft is appointed president.

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2.4 COCA COLA VISION & MISSION

2.4.1 COCACOLA: VISION

Provide exceptional strategic leadership in Coca-Cola India System resulting in

consumer and customer preferences and loyalty through Coca-Cola’s commitment to

them and in highly profitable Coca cola branded beverage system.

2.4.2 COCACOLA: MISSION

Create consumer products services and communications customers service and bottling

system strategy process 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 profit through the use of finished drinks.

Bottlers as an opportunity to make reasonable to grow profits and value added

Suppliers as an opportunity to make reasonable when creating real value added

in environment of system wide teamwork, flexible business system and

continuous improvement.

Indian society in form of contribution to economic and social development.

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BUSINESS CHAIN OF COCA-COLA INDIA

Coca-Cola Indiadivision, Gurgaon

Regional BottlersCOBO/FOBO

Customers

ManufacturesConcentrate,

Beverage base andSyrup

Manufacturesfinished Bottles/Cans/ Fountain

Syrup

25

Consumers



Brand Name: Coca-Cola

Drink Type: Soft Drink

Coca-Cola: Coca-Cola is the most popular and biggest-selling soft drink in

history, as well as the best-known product in the world. Created in Atlanta,

Georgia, by Dr. John S. Pemberton, Coca-Cola was first offered as a fountain

beverage by mixing Coca-Cola syrup with carbonated water. Coca-Cola was

introduced in 1886, patented in 1887, registered as a trademark in 1893 and by1895 it was being sold in every state and territory in the United States. In 1899,

The Coca-Cola Company began franchised bottling operations in the United

States. Coca-Cola might owe its origins to the United States, but its popularity

has made it truly universal. Today, you can find Coca-Cola in virtually every

part of the world.

Brand Name: Thums Up


26



Type ColaManufacturer The Coca-Cola Company

Country of origin IndiaIntroduced 1977

Related products Coca-Cola , Pepsi , Campa Cola

Brand Name: Limca


Limca: This thirst-quenching beverage features a fresh, light lemon-lime taste

and fun-loving attitude. It's a home-grown, national treasure in India, where itwas acquired by The Coca-Cola Company in 1993. Limca continues to build a

loyal following among young adults who love the lighthearted way it

complements the best moments of their lives.

27

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

http://en.wikipedia.org/wiki/The_Coca-Cola_Company

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

http://en.wikipedia.org/wiki/Coca-Cola

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

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

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

http://en.wikipedia.org/wiki/The_Coca-Cola_Company

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

http://en.wikipedia.org/wiki/Coca-Cola

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

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



Available in the following flavor: Lemon Lime.

Available in the following locations: India, Nigeria, United Arab Emirates and

Zambia.

Brand Name: Sprite


Sprite is a transparent, lemon-lime flavored, caffeine free soft drink,

produced by the Coca-Cola Company. It was introduced in the United States in 1961.

This was Coke's response to the popularity of 7 Up, which had begun as "Lithiated

Lemon" in 1929. It comes in a primarily silver, green, and blue can or a green

transparent bottle with a primarily green and blue label.

Brand Name: Fanta


28



Fanta: Available in Europe since the 1940s, Fanta was introduced in the United

States in 1960. Consumers around the world, particularly teens, fondly associate Fanta

with happiness and special times with friends and family. This positive imagery is

driven by the brand's fun, playful personality, which goes hand in hand with its brightcolor, bold fruit taste and tingly carbonation.

Beginning in 2009, the U.S. markets will see Fanta Regular Orange, Fanta Zero Orange,

Fanta Apple and Fanta Grapefruit in 100% natural flavors.

Brand Name: Maaza

Drink Type: Juice/Juice Drink

Maaza: With the real fruit taste kids love, plus added calcium, Maaza's tagline,

29



"Yaari-Dosti Taaza Maaza," means "friendship moments with fresh Maaza" in

Hindi.

Available in the following flavors: Mango, Orange and Pineapple.

Available in the following location: India

Brand Name: Kinley

Drink Type: Water

Kinley: Kinley is high quality bottled water processed with added minerals

popular among adults who seek a better quality of life and a healthy lifestyle.

Available in the following flavor: Unflavored.

Available in the following locations: Afghanistan, India, Maldives and Pakistan

30



Brand Name: Minute Maid Pulpy orange

Drink Type: juice

Minute Maid Pulpy Orange: Minute Maid is a product line of beverages, usually

associated with lemonade or orange juice, but now extends to soft drinks of many kinds,

including Hi-C. Minute Maid is sold under Cappy brand in Central Europe and under

Fruitopia in Germany

Brand Name: Georgia

Drink Type: CoffeeGeorgia: A ready-to-serve canned coffee, Georgia’s flavor blends are a favorite

among hard-working people.

31



2.6 COMPETETIVE AREA

Competitive area among Coke & Pepsi

Coca-Cola India Pvt Ltd maintained its leading position in soft drinks in India, followed

by PepsiCo India Holdings Pvt Ltd in 2006. Whilst the retail volume shares of Coca-

Cola India and PepsiCo India slipped in 2006, as a result of the growing health concerns

caused by the aftermath of the pesticides controversy, both maintained a comfortable

lead over the other manufacturers. Parle, Bisleri Ltd has steadily gained shares from the

carbonates giants over the review period, to emerge as the third ranked company in

2006. The battleground for beverages has moved from carbonates to bottled water and

fruit/vegetable juice, with manufacturers turning their attention towards these healthier

beverages, as consumer interest continues to surge forward. A number of new players

have entered fruit/vegetable juice and bottled water, vying for a slice of the growing pie.

While cricket had always been the most popular sport in India, with new

technology coming into cricket from coverage to sports gear to day/night versions of the

game, it was set to acquire the status of a religion in the sub-continent. Pepsi picked up

the opportunity early on by not only contracting the rights to all Tests and One Day

32



Internationals (ODIs) played in India, but also signing up top performers early such as

Sachin Tendulkar and Rahul Dravid and creating some very cutting edge and

memorable advertising campaigns with them.

The distribution network of Coca cola had 6.5 lakh outlets across the country, which the

company is planning to increase to 8 lakhs. On the other hand Pepsi Co's distribution

network had 6 lakh outlets across the country which it is planning to increase to 7.5

Lakh.

2.6.1 ADVERTISING

Advertising is a non promotion of goods & services by sponsor who can identify and

who has paid for his communication. Their purpose of advertisement is to sell

something goods or services, idea, person or place.

BRAND AMBASSDORS & TV COMMERCIALS

33



COLA WAR (neck to neck)

Bollywood rising stars Asin (left) for Pepsico’s Mirinda, Genelia D’souza (Right) for

coca cola’s Fanta

.

34



Tennis star Sania Mirza for Sprite

Bollywood star Aamir Khan for Coke

35



Bollywood star Akshay kumar for Thums up

Sprite “seedhi baat” TV add

36



Limca “fresh ho jao” TV add

Minute maid pulpy orange TV add

37



Bollywood superstar Shahrukh Khan new Brand Ambassador of Sprite

PROMOTION BY THE COMPANY

Promotional strategy during IPL matches

Lucky Coupon Dinner with kings XI Punjab

38



Sprite “kholega toh bolega” IPL Season 2

Riding on the passion of T20 cricket amongst consumers, Brand Sprite, Official Pouring

Partner of Kolkata Knight Riders (KKR) had announced the launch of a Special edition

‘Sprite Kolkata Knight Riders’ bottle. The latest initiative was a part of brand Sprite’s

larger consumer engagement program to leverage the second season of DLF IPL, 2009.

Independent research reports have shown, out of the 230 million mobile phone users in

the country, the youth continues to be the largest users of mobile phones. Combining

this key insight with the passion of T20 cricket, company had launched a special edition

‘Sprite Kolkata Knight Riders’ bottle with insignia of key players.

Complimenting the innovation, Sprite was also rolling out a special ‘Kholega Toh

Milega’ digital initiative in association with KKR and Nokia.

In the offer consumers just need to drink Sprite and look out for a unique 9 digit code

under the crown and SMS the code. Lucky consumers get once-in-a-lifetime

opportunity to meet Shahrukh Khan and members of the KKR team. In addition,

consumers also get a chance to win a Nokia mobile phone every hour. The entire

initiative was applicable RGB and also on all PET packs of Sprite.

To create awareness about ‘Kholega Toh Milega’ digital initiative, the company had

launched a mass media campaign featuring Shahrukh Khan, owner KKR, to be telecast

on all the leading TV channels across India.

39



2.6.2 PROMOTION DURING OFF SEASON

Limca Launches ‘Laptop Ki Barish’ Consumer Initiative

Coca-Cola India has announced the launch of its innovative ‘Limca ‘Laptop Ki Barish’

consumer initiative nationally. As part of this unique initiative a computer generatedlucky draw would provide consumers a chance to win “HP Mini Laptop” every hour for

the next 45 days. The initiative is applicable to 200ml, 300ml returnable glass bottles

(RGB) and also on 500 ml, 600 ml 1.25, 1.5, 2 & 2.25 liters PET bottles of Limca. As

part of the under the crown initiative consumers just need to SMS “LIMCA” followed

by a 9 digit unique code to 58558 from their GSM / CDMA mobile phones.

The national initiative is designed to leverage the popularity of digital media like

mobile phones (Both GSM & CDMA & IVRS), internet and laptops amongst soft drink

consumers and would run from 1st August to 14th September, 2009

40



2.6.3 COMPARISON OF PRODUTS OF COCA-COLA WITH THAT OF PEPSI

41



42



43



2.7 ORGANISATION STRUCTURE IN COCA COLA, INDIA

44

CHIEFEXECUTIVEOFFICER

Vice PresidentSupply Chain

Chief FinanceOfficer

HR director

Vice PresidentBSG

Regional VicePresident (north)

Regional VicePresident (central)



2.7.1 SALES DEPARTMENT

45



AWARDS & RECOGNITION

Corporate Social Responsibility Awards, Coca-Cola India (May 2009).

Most Socially Responsible Company 2008, Coca-Cola Nigeria Limited, Social

Enterprise Reports and Award (SERA) 2008, (August 2008)

Foods and Beverages Most Socially Responsible Company in Nigeria 2008,

Coca-Cola Nigeria Limited, Social Enterprise Reports and Award (SERA) 2008,

(August 2008)

One of Ten "Most-Admired" Companies in Germany, The Coca-Cola Company,

Manager Magazin (February 2008)

Philanthropist of the Year, Coca-Cola Ukraine, World of Child, Ukrainian Fund

of Philanthropists and Ukraine 3000 (December 2007)

Named Strategic Partners in Poland's Responsible Business Forum, Coca-Cola

Poland Services (CCPS) and Coca-Cola HBC Polska (CCHBCP), Responsible

Business Forum (FOB) (December 2007)

No. 2, 2007 Corporate Social Responsibility Study, Coca-Cola Mexico,

Excélsior (December 2007)

World's Most Accountable Corporations, One World Trust 2007 Global

Accountability Report (December 2007)

Asia Society Leadership Award (November 2007)

No. 2, India's Most Respected Fast Moving Consumer Goods Company, and No.

7, Most Respected Multinational Corporation in India, Coca-Cola India,

BusinessWorld, in conjunction with the Indian Market Research Bureau

(November 2007)

No. 13, World's Most Respected Companies survey, Barron's (September 2007)

No. 1, Food and Beverage Industry Category, Best Ethical Quote Progress and

Best Reported Performance Categories (July 2007)

No. 2, Leaders Across All Sectors for Best Reported Performance, Ethical Quote

(July 2007)

FTSE4Good Index of Socially Responsible Companies (July 2007).

46



2.9 WAVE BEVERAGES PRIVATE LIMITED (WBPL)

(Franchise of coca cola at Amritsar)

2.9.1 INTRODUCTION

The company was established by late S. Teja Singh Kandhari and his son S. Abhinash

Singh Kandhari, in 1969 under the name of Amritsar Bottling Company as a Franchise

of Parle (Export Pvt. Ltd.)

In 1997, this name was changed to Amritsar Beverage Ltd. Initially only two flavors

were introduced, Gold Spot and Kismat. Limca was introduced in 1972 and Cola

flavored Thums Up in 1978 due to the exit of Coca-Cola in 1973. With the re-entry of Coca-Cola, this company added Coca-Cola in the product range so Coca-Cola joined

hands with Parle. Coca-Cola is the most selling brand in Amritsar among the categories

of soft drinks. In 2005, Wave Beverages Pvt.Ltd. (WBPL) was formed to carry on the

business. It became a part of the Chadda Group of Industries. The company has two

manufacturing units ACCP1 and ACCP2. ACCP1 manufactures in RGB and has a

capacity of 220bpm. ACCP2 manufactures CSD with the capacity of 600bpm. In the

year 2007 the company added 120bpm PET manufacturing unit keeping in view the

changing trend of consumption. It manufactures 2ltr and 600ml bottles. Since 2005

WBPL has accomplished so many targets and has become one of the most respected

franchisee of Coca-Cola. It has won many accolades for parent company year after year.

47



48



2.9.2 DISTRIBUTION PROCESS

WBPL has a very wide and well managed distribution system in which

salesmen have a full responsibility to distribute the product to different and diverse part

of the Amritsar City. The distribution system is well structured in such a way that it will

fulfill the demands of retailers and customer at the right time and at the right place.

The typical distribution system of WBPL is:

PRODUCTION

PLANTWARE HOUSE CUSTOMER

49

DEPOTWARE HOUSE

RETAILSTOCK

RETAILSHELF



2.9.3 SUPPLY CHAIN OF THE COMPANY

50

Manufacturing Plant,JANDIALA

Sales andDistributionOperations

Distributors Outlets

Outlets



CHAIN FOLLOWED FROM MANUFACTURE TO DISTRIBUTION

2.9.4 VISICOOLER PROVIDING COMPANIES

• Whirlpool India Limited

• Godrej Appliances

• Western refrigerator limited

• Rockwel Industries

2.8 SWOT ANALYSIS OF THE COMPANY

1. STRENGTHS:-

• DISTRIBUTION NETWORK : The Company has a strong distribution

network consisting of a number of efficient salesmen, 700,000 retail outlets and

8000 distributors. The distribution fleet 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.• STRONG BRANDS : The Coca-Cola has been named the world's top brand for

a fourth consecutive year in a survey by consultancy Interbrand. It was

estimated that the Coca-Cola brand was worth $70.45billion. People all over the

world enjoy coca cola products more than 1.3 billion times per day.

• COST OF OPERATIONS: The production, marketing and distribution systems

are very efficient due to forward planning and maintenance of consistency of

operations, which minimizes wastage of both time and resources, leads tolowering of costs.

2: WEAKNESSES:

51



• LOW EXPORT LEVELS : The brands produced by the company are brands

produced world wide thereby making the export levels very low. In India, there

exists a major controversy concerning pesticides and other harmful chemicals in

bottled products including Coca-Cola .Therefore, people abroad, are

apprehensive about Coca-Cola products from India.

• SMALL SCALE SECTOR RESERVATIONS LIMIT ABILITY TO

INVEST AND ACHIEVE ECONOMIES OF SCALE: The Company’s

operations are carried out on a small scale and due to Government restrictions

and ‘red-tapism’, the Company finds it very difficult to invest in technological

advancements and achieve economies of scale.

3: OPPORTUNITIES:

• LARGE DOMESTIC MARKETS : Coca-Cola India claims a 60.1 per cent

share of the soft drinks market; this includes a 42 per cent share of the cola

market. Other products account for 18.1 per cent market share, chiefly led by

Limca.

• EXPORT POTENTIAL : The Company can come up with new products,which are not manufactured abroad, like Maaza etc and export them to foreign

nations. It can come up with strategies to eliminate apprehension from the minds

of the people towards the Coke products produced in India.

• HIGHER INCOME AMONG PEOPLE: Development of India as a whole

has lead to an increase in the per capita income thereby causing an increase in

disposable income. The beverage industry can take advantage of such a situation

and enhance their sales.

4: THREATS:

• IMPORTS : As India is developing at a fast pace, the per capita income has

increased over the years .If consumers shift onto imported beverages rather than

52



have beverages manufactured within the country, it could pose a threat to the

Indian beverage industry as a whole in turn affecting the sales of the Company.

• TAX AND REGULATORY SECTOR : The tax system in India is

accompanied by a variety of regulations at each stage on the consequence from

production to consumption. Therefore, this can limit the growth of the Company

and pose problems.

• SLOWDOWN IN RURAL DEMAND : Low per capita disposable income,

large number of daily wage earners, poor roads; power problems; and

inaccessibility to conventional advertising media. All these problems might lead

to a slowdown in the demand for the company’s products.

• CHANGING OF CONSUMERS PREFERENCE : The Company should keep

an eye on the changing preferences of the consumers.

53



CHAPTER 3

3. PROJECT PROFILE

3.1 INTRODUCTION OF RED (RIGHT EXECUTION DAILY)

RED (RIGHT EXECUTION DAILY) is a tool to measure sales team and distributors’

performance in the outlets with respect to all parameters of execution.

Red lays down standards of visicooler, brand norms, and in-outlet activation

elements.

It lays down specific norms and elements for enhanced in-outlet Brand

execution.

It allows for development of short, mid and long term execution strategies,

tactics and action plans.

It tracks brands and brand pack penetration in outlets.

Due to the audit characteristic of RED, each brand can be measured against its

specific execution goals, and can be precisely monitored.

54

COOLER SPECIFICATION



3.2 RED CONCEPT (RIGHT EXECUTION DAILY)

RED CONCEPT

RED is the tool to measure the performance of the distributors in the outlets of settingup some standards or parameters of execution. It adds value to customers and

consumers through Excellence in Execution at the point of sale.

The main function of RED is “what can be done” in an outlet and what

all should be done. It lays down standard for visicoolers, brand norms and activation

element. RED is the set of norms divided into outlet wise.

1. Firstly, I have to check the cooler management i.e. the cooler that was

provided by the company to the customer, are properlymanaged/working or not. And lastly the most important aspect of cooler

management are:

. Purity

. Brand order

2. Secondly, I have to check the availability of the product i.e. whether the

product is available to the customer or not.

3. Lastly, I have to check the activation, which is a very important because

activation helps to boost the sales. Activation is done through boards i.e.

glow signs flengs, combo, boards, OBM. Mostly combo boards are given

55

ACTIVATIONELEMENTS

AVAILABILITYBRAND PACKS &

ORDER



to the E&D outlets. And is very helpful in attracting the customers. Rack

with header is provided to the Grocery outlet, which should be fully

charged.

Survey has done in the four topics-

Impurity

Brand Order

Availability

Activation

3.2.1 IMPURITY

There should be no impurity in the visi cooler of the company. Impurity here refers to

that brand which is presented in the visi cooler other than coke’s product. Therefore not

other product of any other company may not be in the cooler.

3.2.2 BRAND ORDER

The company has given a brand order to the market developers to arrange the different

brands in a specific order in the cooler. The order should be in such a way-

Thums up

Coca cola

Sprite

Limca

Fanta

Maaza

Kinley

Pet & Juice

3.2.3 AVAILABILTY

56



Availability is done according the type of outlet. There are four type of outlet

mentioned below. According to this market developer has to ensure the availability of

the products in the particular outlet.

3.2.4 ACTIVATION

Activation is important because it helps to boost the sales of the company. it is done

through the Glow sign, DPS, flanges. Combo boards, Table tops .This boards usually

gives to the E&D outlets .It helps to attract the customers. Rack with header is provided

to the grocery stores.

Activation Elements

Market developer must ensure that all these activation elements must available at all the

outlets. Detail of activation elements must available at GROCERY STORES:

1. WARM DISPLAY RACK

2. SHELF DISPLAY

SHELF DISPLAY

57



3.3.1 BRANDS TAGLINE

Thumsup - Taste the thunder

Coca cola - Open happiness

Sprite - Seedhi baat no bakwaas, clear hai

Limca - Fresh ho jao

Fanta - Go bite

Maaza - Bina guthli wala aam

Kinley - Khud pe tu vishwas kar

3.3.2 BRAND AMBASSDORS

Thumsup -Akshay Kumar

Coca cola -Aamir Khan

Sprite -Shahrukh Khan

59



Fanta -Genelia D’souza

Limca -Riya Sen

3.4 OBJECTIVES OF THE STUDY:

To find out the impact of brand order and purity on customers.

To study the impact of activation element on customers.

To know the distribution and marketing strategy of the company.

60



CHAPTER 4

4.1 RESEARCH METHODOLOGY:

4.1.1 RESEARCH DESIGN:

The research design for this study employed a descriptive survey method.

4.1.2 DATA COLLECTION:

4.1.2.1 PRIMARY DATA COLLECTION :

Primary includes the following ways-

• Observation

• Experiment

• Survey

Here we include the primary method of survey

Research Instruments-

• RED scoring sheet

• Area of Survey- Amritsar City.

61



4.1.2.2 SECONDARY DATA COLLECTION:

For background information, we used secondary data from the internet.

And Website of Coca Cola Company and it is taken from company records. We will

also ask the management at company, where I can get the training, for their records and

files to get the required information.

4.2 SAMPLING DESIGN:

4.2.1 UNIVERSE :

The universe of research is the outlets under the RED project of India.

4.2.2 POPULATION :

All outlets which are come under RED in Amritsar city.

4.2.3 SAMPLING UNIT:

The sampling unit is owners of the retail outlets in Amritsar city.

4.2.4 SAMPLE SIZE :

Size of sample in research will be 120 RED outlets of Amritsar.

4.2.5 SAMPLING TECHNIQUES:

Sampling technique which can be used is random sampling.

4.3 LIMITATIONS

62



Although all efforts have been taken to make the results of survey as accurate as

possible but the survey suffers from the following limitations:

1) The time period of study was only for two month so it was not possible to

cover all the areas and go into the depth of the problem and make analysis.

2) The area of survey was Amritsar and it was concentrated on urban area only.

3) The psychological condition varies from place to place because in many

places outlet owner was not supportive.

4) The training was carried on in the peak season so market developer was not

so supportive.

5) Some respondents left some of the questions unanswered either due toinability to put a strain on mind or they did not know the answer.

CHAPTER 3

REVIEW OF LITERATURE

29 Ciao members (2000)

Throughout the world, there can only be a handful of people who haven’t heard of Coca

Cola – even the poorest countries have Coca-cola. Although the recipe and the taste will

slightly vary from one country to the next, the taste is pretty similar throughout the

world.

Philadelphia (1995)

The plaintiff is John Bibby. The defendants are the Philadelphia Coca Cola Bottling

Company (TPCCBC) and nine individual officers or employees of the TPCCBC.

Founded in 1902, TPCCBC is considered the United States' third-largest black-owned

63



corporation. TPCCBC is the sixth largest Coca-Cola bottling company in the United

States.

Ramanvenkatamani (2009)

This review not only for Coca Cola, but for other carbonated drinks like PEPSI too.

These drinks contain Carbonic ACID (Carbon di-oxide and water) which slowly

destroys our inner system .he said that Coca Cola-A Coal (Carbon, Carbonic ACID)

Hermit (2008)

In that study it is said to coca-cola a slow poison. History of Coke - 123 years back,

John Pemberton was working on a coca wine (an alcoholic beverage consisting of coca

and wine). His solution was a mix of coca, cola nuts and damina - and the beverage isnot good for human being.Coke is probably the unhealthiest fizzy drink on the market

and that is why I very rarely drink it. Though don't start drinking gallons of Sprite

instead as all fizzy drinks are unhealthy and should not be drunk often.

Golffer (2007)

Coke the really thing love it really cold and fizzy no pepse, it is easy to find some do

drink too much brush your teeth after drinking it though not good for teeth. great on a

hot summers day and for parties. Coca-Cola has been brilliantly marketed over the years

and it's created a good image of itself. Coke has created a cool and sleek image of its

drink over the years. Coke also has a "happy family" image. The adverts always show

happy, laughing friends drinking a Coke, or a cozy image of the whole family enjoying

a glass of Coke each.

Patrick Paul Walsh (August 2002)

Using brand-level retail data, the firm size distribution in carbonated soft drinks is

shown to be an outcome of the degree to which firms have placed brands effectively

64

http://www.mouthshut.com/user/ramanvenkatamani.html

http://www.mouthshut.com/user/hermit.html

http://www.mouthshut.com/user/ramanvenkatamani.html

http://www.mouthshut.com/user/hermit.html



(store coverage) across vertical (flavors, packaging, diet attributes) segments of the

market. Regularity of the firm size distribution is not disturbed by the nature of short-

run brand competition (turbulence in brand market share) within segments. Remarkably,

product differentiation resulting from firms acquiring various portfolios of product

attributes and stores in market evolution determines the limiting firm size distribution.

Matthew Hartogh (2008)

No other country has as high of a soft drink consumption rate as the U.S.; however,

many international areas have been targeted as potential areas for expansion. The

strategy of overseas expansion involves similar use of the differentiation and

consolidation methods that are used in the U.S., but are often geared toward specific

foreign populations, e.g. PepsiCo's introduction of a unique Guava-Flavored Slice in

India. Selling soft drinks internationally is advantageous to soft beverage companies

because they are able to sell their products overseas at a lower price since local bottling

companies produce the drinks. The major competitors, therefore, are essentially

responsible for selling brand names and the image that goes with them.

Mark E. Parry (1993)

In the first quarter of 1993, Coca-Cola's share of mass-merchandise soft-drink sales fell

6.6 percent, while private-label soft drinks' shares in the same channel rose 16.8

percent. Much of this increase reflected the success of the Cott Corporation, which had

achieved a 10 percent share in the mass-merchandise channel by selling private-label

and store-brand soft drinks to Wal-Mart and other U.S. retailers. In a March 1993

interview, Cott CEO Gerald Pencer stated: "We make a product that is at least as good

as, if not better than, Coke or Pepsi." He expected Cott's sales to double in the next year.

Coca-Cola executives must decide how to respond to Cott's initiatives.

Subhasis Ray (2008)

65

http://papers.ssrn.com/sol3/cf_dev/AbsByAuth.cfm?per_id=900347








The soft drink industry is yet to find its niche market in India. Despite strong marketing

efforts, the penetration level of soft drinks industry in India is still below par, even

when compared to its neighboring countries, like Pakistan, Thailand, Sri Lanka, let

alone the US or the UK. The present state of economic growth in the sub-continent

makes it a lucrative destination for the consumer goods sector, including the major

players in the soft drink industry. The factors that are instrumental in making India a

lucrative destination include an emerging economy with continuously increasing (i)

gross domestic product; (ii) annual disposable income; (iii) population; and (iv) literacy

rate (ensuring more education, more job opportunity and more purchasing power). All

these factors offer a great prospect for any company to flourish. This paper explores the

feasibility of selling soft drinks through the channel of educational institutions by

examining one of Kolkata’s most densely populated areas. This study has revealed thatthe popularity and consumption of soft drinks among the younger generation (age group

16-24 years) in India is way higher than the overall average soft drink consumption

among Indians. Although the ill effect of soft drinks on health is widely known, yet it is

seen that the young Indian (age group 16-24 years) is not shying away from it. The

paper studies the preference and habits of students. It also tries to analyze the

preferences and willingness of the educational institutes (higher secondary and

onwards) to sell soft drinks. The paper concludes that in India, there is a huge potential

for this industry to flourish through the channel of educational institutions.

Matthew Hartogh ( 2002)

In its core competency, the Coca-Company has only one serious competitor, the

PepsiCo Company, maker of Pepsi-Cola. Current market share of the two companies in

the United States stands at 43.7% for Coca-Cola against 31.6% for PepsiCo. British

firm Cadbury Schweppes comes in third in the American market with its 7UP and Dr.

Pepper brands but does not have a head to head cola competitor for Coca-Cola.

Supermarket "private label" cola brands are a substitute beverage for the big two but in

terms of dollar sales, they do not cut greatly into their market share. According to the

Beverage Digest 2001 survey, the top 4 brands continue to be Coke Classic, with a U.S.

66





market share of 19.9%, Pepsi-Cola, with 13.2%, followed by Diet Coke with 8.8% and

Mountain Dew (a PepsiCo product) with 6.9%.

CHAPTER 5

5.1 ASSIGNMENT – 1

On the day of joining WBPL on June 7, 2010; a basic idea about RED ( Right

Execution Daily) was given just to understand the market on the surface such as RED is

basically a tool of the company to measure the performance of the outlets and keep a

check on them according to certain norms. The proper execution of program helps the

company in maintaining the market share and increasing the sales volume. Its proper execution is assessed by AC Nielson who does a regular monthly survey in order to

bring to light the systematic working of WBPL. RED lays down norms for:

a. Visi-Cooler 67



b. Availability

c. Activation

Visi-Cooler

The visi-cooler should contain products related to Coke only. If there is anything wrong

which is not manufactured by Coca-Cola then the visi-cooler is considered as impure

and it’s the duty of the MD and the outlet owner to make it pure. The products in the

visi-cooler should be arranged in the particular order. The order is known as COLOJK.

CO- Cola products which includes Coca-Cola and Thums Up.

L – Lemon products which includes Limca and Sprite.

O- Orange products which includes Fanta.

J- Juices that includes Maaza and MMPO.K- It includes Kinley water and soda.

The visi-cooler has to be in the working condition with the light always kept on.

Activation

The activation elements make the outlet look attractive and make people aware about

the products and hence increase the sale. These elements include Flange, Table Top,

Racks, and Shelf Display etc.

5.2 MARKET SEGMENTATION

The company has divided their outlets on the basis of the following criteria-

Volume

Channel

5.2.1 OUTLET VOLUME

There are four types of outlets according to the volume of sales of the outlet-

DIAMOND - 800 crates & above

GOLD - 500-799 crates

SILVER - 200-499 crates

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BRONZE - <200 crates

5.2.2 CHANNEL CLUSTER

(A) GROCERY STORE

Grocery (customer profile): Store stocking a variety of regular uses household items.

The channels provide an opportunity for penetration as it propels home consumption.

It includes all kirana stores, juice stall, cold drink stall, departmental stores,

supermarkets, provision stores etc.

Necessary Availability - 2 liter and 300ml

(B) EATING & DRINKING CHANNEL 1

Eating and Drinking Channel: Outlets range from the high-end restaurants to the smaller

dhabas. These outlets offer multiple

Opportunity to effect sales as people usually order something to drink along with food.

It includes - Restaurants

- Bars and Pubs

- Dhabas

- Sweet shop

- Quick service restaurants

(C) EATING & DRINKING CHANNEL 2

It includes minimum 5 set table & chair outlets.

(D) CONVENIENCE CHANNEL

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Pan/bidi shops (customer profile): This segment includes PAN BIDDI outlets that stock

cigarettes, mint, and confectionary. It covers STD/ISD phone booths, travel channel etc.

Small outlets that mainly sell 200ml or 300ml bottles. They may also sell 600ml.

Outlets visited with Mr. Ravi Kumar

On a very first day of observation I just saw what, why, how a

Market Developer (MD) works. How he maintain the market i.e. he goes to the each

and every outlet and maintain the relation with the shopkeepers and try to convince the

shopkeepers to set the visicoolers according to the RED norms. I just noted down the

things that I saw.

Outlets visited with Mr. Ravi Sharma

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Under his guidance, another remarkable thing that happened was

the experience to work in an atmosphere where high society customers are come. Here

we experience the different type of attitude and working of the market.

Outlets visited with Mr. Achal

With him I got the chance to work in a market where the outlet owners

cooperated to the fullest extent with the MD to maintain purity in the visi-cooler.

Outlets visited with Mr. Ravi Kant

With his help, a step forward was taken towards the approach of

RED by assessing the outlets and tries to know more about execution of RED .

Outlets visited with Mr. Manish

With his help, I was able to add more knowledge about RED

execution. While visiting these outlets the main problem is about purity because of the

city side area

SCORING SHEET OF THE RED ACCORDING TO THE RULES AND NORMS

OF THE RED.

RED Parameter E&D1 E&D2 Grocery Conve.

D G S D G S D G S D GVisicooler 1 Is a coca cola cooler present

2 Is the cooler as per standard 6 6 6 6 6 6 6 6 6 6 6 63 Is the cooler in prime location 5 5 5 5 5 5 5 5 5 5 5

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Availability

4 Is the visicooler in a working condition 2 2 2 2 2 2 2 2 2 2 2 25 Is the visicooler light working 1 1 1 1 1 1 1 1 1 1 16 Is the cooler 100% pure 10 10 10 10 10 10 10 10 10 10 10 107 Is the cooler brand order compliant 6 6 6 6 6 6 6 6 6 6 6 6

Total 30 30 30 30 30 30 30 30 30 30 301 RGB-CSD 20 20 22 36 36 40 6 6 16 20 202 RGB-Maaza 6 6 6 9 9 10 3 3 6 6 63 Mobile-CSD 16 16 16 - - - 12 12 12 16 164 Mobile-Maaza 6 6 6 - - - 6 6 6 6 65 LARGE PET-CSD - - - - - - 15 15 10 -6 LARGE PET-Maaza - - - - - - 6 6 - -7 Water 2 2 - 5 5 - 2 2 - 2 2

Total 50 50 50 50 50 50 50 50 50 50 50

Activation

1 Combo/menu board 10 10 10 10 10 10 - - - - -2 Flange/glow sign board 3 3 3 3 3 3 - - - - -3 Three tier rack/two tier rack - - - - - - 8 8 8 -4 Shelf display - - - - - - 5 5 5 -5 Shelf display/table top - - - - - - - - - 10 16 Flange/glow sign - - - - - - - - - 3 37 OBM/drinking shot 3 3 3 3 3 3 3 3 3 3 38 Price communication 4 4 4 4 4 4 4 4 4 4 4

Total 20 20 20 20 20 20 20 20 20 20 20

5.3 ASSIGNMENT – 2

After the one week of observation period, I was assigned the task to cover the routes of

6 ASMs (Area Sales Manager). Each ASM had around 3 MD’s with whom I covered

the market of EATING & DRINKING CHANNEL 2 viz.

Mr. Harsharan Singh

Mr. Ashwani Vaid

Mr. S. S. Bedi

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CHAPTER 6

6.1 DATA ANALYSIS & INTERPRETATION

Data analysis is based upon the survey that I had conducted during my training time

through visiting each and every outlet. In this analysis different things that I observe

about the overall east market of the Amritsar is firstly shown that the market share,

leading brand, size of visicooler in the market, different channels of coca cola Company

etc.

SIZE OF VISICOOLER

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1% 7%

82%

8% 2%

20c/s

9c/s7c/s

4c/s

2c/s

Fig.1

LEADING BRAND OF COCACOLA

Brand share

63%2%

14%

6%

7%8%

THUMSU

COKE

SPRITE

LIMCA

FANTA

MAAZA

Fig.2

CHANNEL OF COKE

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5%

66%

29%

E & D

CONVENIEN

GROCERY

Fig.3

OUTLET BELONG TO WHICH CLASS

CLASS OUTLET

92

56

83

19DIAMON

GOLD

SILVER

BRONZE

Fig. 4

MARKET SHARE75



MARKET SHARE

71%

29%

COK

PEPS

Fig. 5

DIVISION OF MARKET

Fig. 6

It is just the over view of the market which clear from our survey, observation and

visiting in the market. So the main data analysis and interpretation will start from the

ASM MR. HARSHARAN SINGH.

6.1.1 THE DETAIL STUDY OF Mr. HARSHARAN SINGH’s ROUTE:

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division of market

50%

30%

20%

COKE

PEPSI

OTHERS



On 16 th July, I began conducting the survey of the market by covering

the route of Mr. Harsharan Singh with the MDs named ACHAL SHARMA, SATBIR

SINGH and RAVI SHARMA. They all have the different markets and routes like

Lawrence road; Ajnala road, Green avenue market, Ranjit Avenue and Rani Ka Bagh

having 53 E&D2 outlets which are fall under the RED.

1. VISICOOLER IN THE OUTLETS:

Fig. a

INTERPRETATION:

From above data it is simply clear that there almost the equal shares of all

the parameters of visicooler like out of 53 outlets most of the visicoolers are as per

standard, at prime position etc. but the main concern is about the purity. This is the

problem that I ever seen in many of the outlets and also the brand order.

2. AVAILIBILTY LEVEL IN THE OUTLETS:

77

number of v isicooler

51

52

5348

1

44

AS PERSTANDARDPRIME POSITION

WORKINGCONDITIONLIGHT WORKING

100% PURE

BRAND ORDER

AVAILIBILITY

49

46

47CSD 300ml

MAZZA RGB

WATER



Fig. b

INTERPRETATION:

The above figure clearly shown that the availability is round about full andit is satisfactory because it is not a big problem and it can be resolve on route riding.

3. ACTIVATION ELEMENT PRESENT ON THE OUTLETS:

Fig. c

INTERPRETATION:

78

NUMBER

42

4748

49

COMBO/MENU

CARD/BOARDFLENGE/GLOW SIGNBOARD

OBM

PRICE COMMUNICATION



AVAILIBILTY LEVEL IN THE OUTLETS:

Fig. e

INTERPRETATION:

From the above figure it is clear that the availability is full. There is no

need to worry about the availability factor.

ACTIVATION ELEMENT PRESENT ON THE OUTLETS:

Fig. f

INTERPRETATION:

80

AVAILIBILTY

7

8

ACTIVATION

8

78

7COMB

BOARFLENG

OBM

PRICECOMM



From the figure it is clear that the activation element is quit satisfactory, but

the work has to be done to reach at the 100% level.

6.1.3 THE DETAIL STUDY OF ASHWANI VAID’s ROUTE :

On 16 th July, I began conducting the survey of the market by covering the

route of Mr. ASHWANI VAID with the MDs VIKAS, JASPAL, RAVI KUMAR They

all have the different markets and routes like Hall Bazaar, Shrifpura Market, Durgaina

Mandir Market having 49 E&D2 outlets which are fall under the RED.

VISICOOLER IN THE OUTLETS:

Fig. g

INTERPRTATION:

From the figure it is clear that all the parameters are quite satisfactory except

the purity and brand order. Their areas are more preferred area by the outsiders and also

by the insiders for eating and shopping. In spite of this there is a big problem of purity

this totally disposes the reputation of the company. So, the MDs have to work on that.

81

visicooler

47

49

49

45

18

30As

Pri

W

Lig

10

Br



AVAILIBILTY LEVEL IN THE OUTLETS:

Fig. h

INTERPRETATION:

From the above figure it is clear that the availability is full. There is no need to worry

about the availability factor.

ACTIVATION ELEMENT PRESENT ON THE OUTLETS:

Fig. i

82

AVAILIBILTY

7

8

CSD 300ML

MAZZA RGB

ACTIVATION

8

78

7COMBO/MENUBOARDFLENGE

OBM

PRICECOMMUNICATION



COMPARISON OF ASHWANI VAID’S MARKE

Fig. l

CHAPTER 7 8.1EXECUTIVE SUMMARY

Over the last few years hundreds of companies have greatly improved their performance

&the graph of growth through superior sales promotion services. Today manycompanies are building on these foundations and are tuning their products in Soft drink

segment into a formidable competitive weapon. Sales Promotion services have become

a subject of huge interest in recent years.

Sales Promotion Services is growing because:

84

77.21

73.47 73.42

71

72

73

74

75

76

77

78

Jas al Ravi Kumar Vikas

JaspalRavi Kumar Vikas



In the face of ever increasing competition in organizations feel it is important to

build reliable & sustainable processes with focus on strong relationships with

customers.

Significant revenue & profit gains can be made from successful Sales PromotionActivities that improve efficiency & help serve customers better & faster.

The different distribution channels are as follows:"

1. Eating & Drinking 2. Convenience 3. Grocery

Activation is the key part of coca-cola marketing strategy

Company believes that soft drink sell is not a planned sell it's a impulse buying,

and activation create impulse for buying

For improvement of Coca-cola market, a proper research work has done.

Sales Promotion Strategies are offering new & better ways of addressing industries

objectives.

Coca-Cola has developed a unique sales promotion strategy that offer a unique way to

increase the sales of the soft drink.

8.2 CONCLUSION

RED is a worldwide project of COCA COLA Company. This project is playing a very

important role for the company. With the help of this project, sale of the company has

been increased. Because in this project there is one market developer who has to ensure

that Visicooler must be on prime location, all brands must available, all brands must

displayed in brand order i.e. COLOJK. All the activation elements like warm display

85



rack, table top rack, standees etc must be available at all outlets come under RED. All

these elements help the company in increasing the sales because

“JO DIKHTA VO BIKTA HAI “

Definitely when sales increase then profits also

increases. With the help of this project company has increased its sale in Amritsar

region and also company can measure or check the performance of each retailers

working all over the world with COCA COLA COMPANY.

8.3 FINDINGS

76% outlet from the sample of 250 outlets which have sufficient activation

elements but remaining 24% outlets are not fully activated.

86



In our study it is revealed that 67% from the selected outlet follow the Brand

Order COLOJ-K, but remaining 37%are not following the brand order.

69% of visited outlet, visi cooler are pure i.e. in visi cooler only the product of

Coca cola are placed and 31% of outlets don’t keep visi cooler pure.

67% of visi cooler are at prime position where consumer can see our product

and choose as per there need.

83% outlets are convenience store, 11% are under the E&D and remain under

6% are glossary shop.

41% of outlets are having 7vc, 41% of the total outlets having 9vc, 4% outlets

have 11vc, and few outlets have 2vc and 20vc.

54% market cover under the silver categories where as remaining 23%, 22%,

1% are under diamond, gold, bronze respectively.

91% outlets don’t have a sufficient number GOD that they can create stock pile

according to the visi coolers provided to them and 9% are those outlets which

have sufficient number of GOD.

8.4 SUGGESTIONS:

87



8.5 RECOMMENDATION:

We can sum the recommendations in brief as follows:

Aggressive Marketing

Regular visit to distributors

Sales promotion and advertising to be made more frequent for brand building.

Communications should be improved. Fulfill the Demand of product bycompany. In the field’s sales situation. Sales persons work independently and

away from the office.

Good communication requires interaction between those preparing and those

receiving reports. A good sales reporting system provides both for

communication from the field to office and form office to the field.

Sales reports provide data for evaluating performance.

Company should make plans for better performance to the sales man.

Company should be implementing the customers’ suggestions and complaints

about products, service policies, price changes, advertising companies etc.

Company should gather information of competitor’s activities. Transportation

confers time utility and place utility to the product. It determines the company’s

customer service; it has also crucial bearing on the other elements of physicaldistribution and marketing.

89



8.7 LEARNING EXPERIENCE

• The first thing that I come to know is to work in the market i.e. the way of doing

the things in the market.

• The second thing is that, to know about the RED execution. And also learn the

impact of visicooler and activation on the sales.

• I also come to know the working of the Coca Cola Company i.e. how the

company do their jobs successfully.

• I can also do some practical work at the outlets like to set the brand order in the

visicooler, complete the activation element etc.

• I can also learn the working of MDs and sales person in the market.

• Also the relationships of the company with the outlet owners and customer are

very good.

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8.8 REFERENCES

www.agriculture-industry-india.com/agricultural-commodities/soft-drinks.html

wiki.answer.com/q/what_are_product_life_cycle_of_coca_cola

en.wikipedia.org/wiki/coca-cola

www.coca-colaindia.com

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http://www.agriculture-industry-india.com/agricultural-commodities/soft-drinks.html

http://www.coca-colaindia.com/

http://www.agriculture-industry-india.com/agricultural-commodities/soft-drinks.html

http://www.coca-colaindia.com/



8.6 SCORE SHEET OF COCA COLA COMPANY

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coca cola (harish)

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