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PEPSI PROJECT

TRANSCRIPT

A DISSERTAION REPORT ON SALES PROMOTION STRATEGIES OF FMCG COMPANIES ( A case study of PEPSI CO, Delhi)

Submitted in partial fulfillment of the requirement For the award of the degree of Master of Business Administration

(2010-12)Supervisor:Submitted By:-

Mr. Azhar Khan( FACULTY ) Management Dept. Roll No. 10290500007

Amarpreet Singh M.B. A. (2010-12)

(SARASWATI INSTITUE OF MANAGEMENT&TECHNOLOGY )( Ruderpur )

)

Approved by: AICTE & NCTE,Ministry of HRD,Gvt of India-New Delhi. Affiliated to Uttarakhand Technical University, Dehradun.

ACKNOWLEDEMENT

I express my sincere regards and thanks to all my respected teachers who directly or indirectly helped in successfully developing / executing the project in question. It wont be out of place to mention that the process of making the project has been both educative as well as truly joyful experience. Hereby only I thank to my parents, without their unquestioning blessings and supports I would not have been here today writing these words.

(AMARPREET SINGH)

PERFACE

Report is necessary part for fulfillment of MBA course. The emphasis in the report is providing the study and an in sight into Indian pepsi. Report is designed to provide participation of MBA program as on the job experience. This has given a chance to try and apply the academic knowledge and gain insight into corporate culture. This is help in developing decision-making abilities and emphasizes on active participation by the student. I undertook my report in PEPSICO INDIA HOLDINGS Pvt. Ltd Delhi a leading Bottler and Marketing partner of the Pepsi Foods. During the report, I had worked on the report Sales Promotion strateigies in Pepsi I gained valuable experience & knowledge during the survey. The Project consists of my findings after tabulation of collected data, then analyzed conclusions were drawn and finally suggestions were put forward.

DECLARATION

I hereby declare that the Project Report SALES PROMOTION STRATEGEIS OF PEPSICO with special reference to PEPSICO INDIA HOLDINGS Pvt. Ltd Delhi submitted to Saraswati Institute of Management & Technology, Rudrapur in partial fulfillment of the requirement for the degree of Master of Business Administration. This is my original and genuine work and wherever secondary data is used, I have acknowledged the same. I solely claim all the responsibility for any shortcoming and limitation in this work.Signature Amarpreet singh

EXECUTIVE SUMMARY The distribution network of PEPSI is well known for its efficiency but company constantly strives for the betterment of their distribution network system emphasis of our study was to focus on the customer of company i.e., the retailers. The Retail Mapping of Delhi is an integral step for the assessment, development and betterment of this system.The distribution system not only comprises the movement of the products but also incorporates the merchandising of the product, which is very broad in its purview. The report in corporates the analysis of the performance of PEPSI and probing into opportunities of increasing the market share in Delhi. The entire process had to be in an organized manner in order to deliver meaningful results for the purpose of decision-making. The report was that of market research with surveys and observations as its major phases with the objective of gathering of all important information material for strengthening the position of PEPSI in Delhi. PEPSI boasts of having the maximum market share in the beverage segment in Delhi. and is in constant process for the betterment of its product performance and customer as well retailers satisfaction

CONTENTSCHAPTER-1 1 Objective 2 Research Methodology 3-16 Limitation 17 Scope of study 18-20 CHAPTER-2 Industrial Profile 22-24 Company Profile 25-35 Strength and weakness of PEPSI 36-44 CHAPTER-3 SALES PROMOTION STRATEGIES OF PEPSICO Introduction 46-47 objective of sales promotion 47-48 PAGE-NO Introduction of topic

sales promotion strategies of pepsi 49-50 CHAPTER-4 Finding and observation 52-53 Data 54-59 Analysis &interpretation

CHAPTER-5

Re commendation 61-62 Conclusion 63 Questionnaire 64-65 Bibliography 66 Annexure 67

INTRODUCTION An activity designed to boost the sales promotion of a product or service. It may include an advertising campaign, increased promotion activity, a freesample campaign, offering free gifts or trading stamps, arranging demonstrations or exhibitions, setting up competitions with attractive prizes, temporary price reductions, door-to-door calling, telemarketing, and personal letters on other methods. More than any other element of the promotional mix, sales promotion is about action. It is about stimulating customers to buy a product. It is not

designed to be informative a role which advertising is much better suited to. Sales promotion is commonly referred to as Below the Line promotion. Sales promotion can be directed at: The ultimate consumer (a pull strategy encouraging purchase). The distribution channel (a push strategy encouraging the channels to stock the product). This is usually known as selling into the trade. Sales promotions are activities that shape buying patterns attract new audiences or increase sales. It's a grab-bag of a word that encompasses everything that falls outside advertising, publicity and direct marketing, although these might be used to deliver your sales promotions

OBJECTIVE1. To study of the per day sale promotion Pepsi brand and its competitors in crates. 2. Comparative study of the various brands, packs and flavors available in the market. 3. Analysis of the strong and weak point of the competitors products and compare it with PEPSI. 4.To assess the reach and feasibility of the product and give the output for further investment for enhancing the distribution network along with assessing the efficiency of the current distribution system. 5. To know the distribution channel of Pepsi.

The market research was conducted in compliance of the given guidelines delivered to us expressly to achieve the given objectives, which were as under: 1. Profitability 2. Improvement 3. Sales 4. To satisfy the customers

RESEARCH METHODLOGYOBJECTIVE OF RESEAECH:The Main objective of research in this report was to get the detailed analysis of the market position and the behavior of sales about the product of PEPSI RESEARCH PROBLEM:To what extent does the penetration level of the PepsiCo product's and the other merchandising objects like cooling equipments, Ice Boxes, Glow

signs, Dealer boards, Paintings and Racks leads the penetration of such things from, during the summer period in the period in the Delhi city and Its rural area and urban area, distributed via direct and indirect routes. What were the factors responsible for this level of penetration?

TYPE OF STUDY:Primary study:-Questionnaire RESEARCH DESIGN (ANALYTICAL RESEARCH) The Design Of our research is statistical as it concerns the items are to be observed and how the information and data gathered are to be analyzed. SAMPLE DESIGN:-

For the report we used non-probabilistic sampling that can also be termed as we only targeted the shops which sells the pepsi product. METHODS OF DATA COLLECTION The data collected for the report was primary data. The data was collected through personals interviews, which was in the form of direct personal investigation. The interview was very structured because we only ask the question as per the EDS format. Types of data 1.Primary data 2.Secondary data MARKETING RESEARCH PROCESS The entire project was divided into five phases and each phase had its individual significance and supplemented each other. The process had to be started from the grass root level and it was very important to understand the market for this FMCG product, which is very fast in production, distribution and consumption. The five phases into which the project was divided were: A. Route Riding B. Retail Tracking C. Corporate Tracking D. Analysis of finding and observations E. Segregating Delhi

The entire process was more of a Descriptive Research type and incorporated a formal study of the specific problems faced by most FMCG companies an exploring the opportunities in the untapped market. The survey was conducted on the basis of PEPSI product preference and evaluation of sales forecast in the new and underdeveloped market including the evaluation of the advertising and promotional measures. The data collected had to be systematically arranged, analyzed and reported in a form congenial to take on the spot decisions.

The observation approach was adopted in the process by gathering the data essential and material for the decision-making and with clear objective of increasing the market share of PEPSI in the Delhi. market. Customer preferences and satisfaction was also important in assessing the market share but that was very clear that customers generally do not have loyalty towards the product in the Beverage industry rather what matters the most is the product availability which will be discussed later. All the phases mentioned above have been discussed along with the observations, problems, and other dimensions which have been encountered and experience in detail in the following pages.

ROUTE RIDINGThe Beverage Industry or to be more specific, the Soft Drinks Industry has one of the most active network in term of its production, supply, distribution, marketing, consumption and also personal relations at the very second level of its distribution network. That is the reason why it is sometimes said to be Very Fast Moving Consumer Goods. Due to the above stated reason it becomes very essential to study and analyze the market of these products from the grass root level. So in the Soft Drinks Company as PEPSI