study of market share and promotion activities of pepsi with reference to
DESCRIPTION
Study of Market Share and Promotion Activities of Pepsi With Reference ToTRANSCRIPT
“STUDY OF MARKET SHARE AND PROMOTION ACTIVITIES
OF PEPSI WITH REFERENCE TO
PEPSICO (TIRUPATI AGENCIES) LATUR,
MAHARASHATRA.”
A
PROJECT REPORT SUBMITTED
TO
SWAMI RAMANAND TEERTH MARATHWADA UNIVERSITY, NANDED
FOR THE DEGREE OF
BACHELOR OF BUSINESS ADMINISTRATION
UNDER THE FACULTY OF MANAGEMENT SCIENCE BY
Mr. KAMBLE AMITKUMAR MARUTI
UNDER THE GUIDENCE OF
Prof. BHANJI MADAM
DAYANAND COMMERCE COLLEGE LATUR
SWAMI RAMANAND TEERTH MARATHWADA UNIVERSITY,
LATUR.DECLARATION
I hereby declare that the thesis entitled “STUDY OF MARKET
SHARE AND PROMOTION ACTIVITIES OF PEPSI WITH
REFERENCE TO PEPSICO (TIRUPATI AGENCIES ) Latur,
Maharashtra.”
Completed by me has not previously formed the basis for the award of
any degree or diploma or other similar title of this or any other
University or examining body.
Place: Student Name.
Date: Mr. Kamble Amitkumar maruti
CERTIFICATE
This is to certify that the thesis entitled “STUDY OF MARKET
SHARE AND PROMOTION ACTIVITIES OF PEPSI WITH
REFERENCE TO PEPSICO ( TIRUPATI AGENCIES ) LATUR,
MAHARASHTRA.”
Which is being submitted here with for the award of the degree of
Bachelor of Business Administration of Swami Ramanand Teerth
Marathwada University, Nanded .
The result of original research work completed by Mr. Kamble Amitkumar Maruti under my supervision and guidance..
Project Guide H.O.D
Prof. BHANJI MADAM Prof. SATPUTE MADAM
Principal
Dr. ATMARAM PALNITKAR GRATITUDE
work an accomplished fact to which I Several remain persons have contributed to make this research indebted I wish to record my sincere thanks to all of them, who has given me constant strength by their heavenly blessings throughout my life.
…..Mr. Kamble Amitkumar
Maruti
INDEX
Sr.No
CONTENTS
Page No.1.
CHAPTER: I
INTRODUCTION:
1.1 Introduction to study
1.2 Objective of study
1.3 Importance of study
1.4 Methodology adopted- Universe, sampling etc
2.
CHAPTER II
RESEARCH METHODOLOGY
2.1 Tools of data collection
A] Primary data
B] Secondary data
2.2 Scope of the study
2.3 Limitations of the study
3. CHAPTER: III Theoretical Frame Work
4.
CHPPTER: IV Organizational Profile
5. CHPPTER:V
Data Presentation, Analysis & Interpretation
6. CHAPTER: VI Conclusion
7. CHAPTER: VII Finding & Suggestion
8. CHAPTER: VIII Questionery & Bibliography
CHAPTER-I
INTRODUCTION
1.1 INTRODUCTION :
In today’s world of competition, it is not
possible for a company to survive by complacency about its products
and markets. It is not possible for a company to simply produce its
goods but prime importance is focused towards customer satisfaction,
satisfying customer needs, extending customer delight etc.
Here, is where the importance of the
Marketing Management lies. Marketing Management is about winning
in this new environment. It is about understanding what consumers want
and supplying it more efficiently, more conveniently, more attractively
than competitors. It concerns itself with the whole combination of
consumer satisfaction which leads to the choice of one brand in
preference to another. Marketing also relates to the communication of
facts/ideas in favour of one’s own brand. All this is clubbed under the
title of marketing .
A Product is anything that can be offered to a
market to satisfy a need or want. It is the thing which helps in earning
revenues for the company. It constitutes the physical product, brand
name, label etc.
Promotion activities include all the activities
that the company undertakes to communicate and promote its
products to the target market. The Promotion further includes the
tools which helps a company to convey its message to customers. These
tools include Advertising, Personal Selling, Publicity and Sales
Promotion, among all these tools the most extensively used tools are
advertising and sales promotion. Most of the companies are nowadays
spending near about 40% of their total budget for promotion through
sales promotion schemes.
Sales promotion consists of a diverse collection of
incentives tools, mostly short term, designed to stimulate and/or
greater purchase of particular/services by consumers or the trade.
So these sales promotion schemes are generally
targeted to directly consumers and for the retailers or the traders.
These schemes can be in any form like Free Samples, Coupons, Cash
refund offers, Price offs, Premiums, Prizes, Free trials, Point of
Purchase displays and demonstrations etc.
After this the most important aspect in the field of
cold drink industry is make a close eye on the market share and the
market position. Having exact information regarding the current and
previous market share provides a better platform for the company to
make further strategies and plans regarding to the achievement of new
targets. As we know that in cold drinks industry it is not possible to have
exact information regarding to the market share, so any information
regarding to the market position will help the top management to take
further steps.
1.2 IMPORTANCE OF PROJECT:-
Research problem is important from researcher’s
own as well as company’s point of view because it is the need of the
hour to know about the present market condition and the effect of the
promotional scheme on such conditions.
From company’s point of view the research has
much more importance. The findings and suggestions given by the
researcher may help the company to take the future decisions in order to
achieve the company’s goals.
1.3 STATEMENT OF PROBLEM
Promotion activity have influence on market share?
Which type of promotion is easily understand by customer?
1.4 OBJECTIVES OF THE STUDY:-
1. To find out the market share/position of Pepsi products in Latur
city.
2. To promote the sales promotional schemes launched by the
company in the market of Latur City.
3. To find out the problems in the implementation of a sales
promotional scheme.
4. To find out the impact of schemes on sales and behavior of
retailers.
5. To find out the variables that affects a sales promotion scheme.
1.5 METHODOLOGY ADDOPTED
Data is assimilated fact about the market information
& is recorded experience that is useful for decision-making. In the
research program the information required is both qualitative and
quantitative.
The information required for the said research was about the outlet
base status in which data about the name & address of outlet, the
position of the Pepsi products in the outlet crate-wise. Information
relating to the refrigerator, racks, sign-boards & the Display made by
the shopkeeper.
a) Type of research
Exploratory as well as conclusive.
Exploratory research refers to that research which put emphasis on the development of hypothesis rather than on their testing.
b) Period of research
20 jan to 31march 2013. These two months work has been done in starting of peak season for soft drink industry.
c) Sampling Units
Dealers/outlets of Pepsico)
CHAPTER II
RESEARCH METHODOLOGY
Data Source
The data was collected for this project with the
help of both primary as well as secondary data. The secondary data
was collected through internet and from the company but this
secondary data was not sufficient for the purpose of the project, so it
was necessary to go for the primary data, which was collected
through market survey.
Information from the dealer’s retailers/outlets. Dealers were asked
questions and interviewed for the structured EDS (each dealer survey)
format made to get the information by the Company.
Information about market position for the route analysis, route
mapping, extensive survey was made by visiting Pepsi’s outlet with
salesman.
Tools Of Data Collection
Researcher collected data with the help of following methods
i) Interview method
ii) Observation method
iii) Schedule method
Interview method :- In this method data is collected by interviewing the
Dealers and REAILERS .
Observation method :- In this method researcher observed the visibility of
The product and presence of glow signboard,
Tin board, Stands, Banners.
Schedule Method:- In this method researcher visited the dealers and
asked close ended and open questions to dealers.
Data Collection Instrument: -
Primary data was collected through
each dealer survey (EDS) prepared with the help of customer
executive (CE). This is an instrument through which the data related
to the actual position of the stock is to be measured, with the help of
which the market share is to be calculated.
Market Survey:-
Market survey essentially done through field work and by visiting
market outlets with salesman’s (route riding).
Preliminary Work
Discussion with Territory development manager
(TDM), customer executive (CE) and desk research led to the
formulation of topic.
EDS (Each dealer Survey) Design:-
EDS (Each dealer survey) format was done by
Company Officers TDM (territory development manager), CE
(customer executive).
Pilot study was done in the nearby area to the distributor.
This market survey for the project was undertaken by covering about
100 outlets from Latur city to get the necessary information. The
retailers were asked as to the amount of stock they have kept, the soft
drinks they patronized, their customers preference etc. On the
promotion side it was noted that whether the outlet had a wall
painting and racks of a particular soft drink, in this case it was found
that there was either Coca-Cola’s or Pepsi’s. Similar was the case of
display boards. Bottle Coolers like EBC’s (Electric bottle cooler),
Visi coolers and OYC (Own Your Cooler) were also checked as to
which of the retailers’ possessed them.
Since segment of market outlets was visited there was a mixed
response from the retailers, some were quite cooperative, some of
them were indifferent but on the whole each one was eager to provide
information as to the queries asked. The resultant market share
received was through the following soft drinks as being in the market.
PEPSI V/S COCA-COLA
Pepsi Coca-cola
Pepsi Thums-up
Mountain Dew & 7up
Sprite
Mirinda Lemon Limca
Slice Maaza
Mirinda orange Fanta
Aquafina Kinley
The stock noted down from the survey was based on per Crate.
2.4 SCOPE OF THE STUDY:-
1 The geographical scope of study limits to LATUR city of
MAHARASHTRA state of INDIA.
2 Since this is the comparative study the comparison of tested
product that is Pepsi has made with one of the leading national brand
Coca-Cola.
3 The promotional scheme studied which was limited to the LATUR
, MAHARASHTRA state only.
2.5 LIMITATIONS OF THE STUDY
1 Since a segment of market outlets was visited there was a mixed
response from the retailers, some were quite cooperative, some of
them were indifferent, some of them also provided based information
regarding to their stock position which may create certain problems
while calculating the exact stock position.
2 The research was conducted in Latur city, if the research would
have been conducted in other city or over the country, the conclusion
would have been different.
3 The company’s rules and regulations didn’t allow me to go to in
depth regarding some confidential strategies.
4 The instrument used may not be 100 percent accurate.
CHAPTER-III
THEORETICAL FRAME WORK
CONCEPT OF MARKET SHARE
Actual position of companies products in comparison to its competitors in a particular area is to be regarded as the market share of a particular product.
Techniques of finding market share
As far as the soft drink industry is
concerned there are mainly four techniques of finding the market share
of the given products that are mentioned below as:-
1) Sale from distributors points
2) Sales figure from retail outlets
3) Availability of stock at retail outlets
4) Sample survey of used crowns
Out of such given techniques third one “Availability of stock at retail
outlets” is being used for finding out the market share.
A.a PROMOTION OF PEPSI
Promotion is an important aspect of Marketing. As such, the soft
drink industry does it in a big way. Soft drinks in order to capture
the market have to be properly promoted so that they are able to
garner a prominent market among its consumers.
Hence during the survey conducted the objective was to know as to
how Pepsi was promoting its products through its retailers. So,
four main promotional aspects were covered:-
1. Wall Painting (W.P)
2. Display Boards (D.B)
3. Electric Bottle Coolers (EBC’s)
4. Own Your Cooler (OYC)
Given below are the number of W.P , D.B, E.B.C’s, and OYC’s
noted from areas covered and their percentage distribution.
Sources of data:-EDS and through the information collected from
distributors.
MODE OF PROMOTION
WALL
PAINTIN
G
DISPLA
Y
BOARD
EBC’S OYC
PCI
CC PC
I
CC PC
I
CC PC
I
TOTAL 115 87 168 138 52 46 18 23
PERCENTAGE
DIST.N
57% 43
%
55
%
45
%
53
%
47
%
44
%
56
%
Analysis :- After the analysis of mode promotion it is found that wall
painting and display boards is the main medium through which company
is advertising more and by providing the equipments like EBC’s and
VISI coolers the company is promoting its products indirectly by
encouraging the retailers.
PROMOTIONAL STRATEGY
Participation in celebrations like all festivals (Diwali, Lohri ,
Christmas etc),
New Year celebrations etc. by sponsoring these major events.
The company also promotes its products through POP,
Danglers, posters, Stickers, GSB’s, Dealer Boards etc.
Various other schemes are also to be introduced from time to
time according to competition.
The company also promote its products through T.V ads,
Newspapers(National and local) etc.
1 WALL PAINTINGS
As per the Fig. 5.1 Pepsi has a share of 57% in wall paintings.
This form of promotion is very effective in outlets like Stalls,
Dhabas, Cinemas etc.
.2 DISPLAY BOARDS
This form of promotion is most popular and outlets with display
boards of soft-drinks are able to get a good coverage for selling of
soft drinks. Pepsi has a share of 55% to Coca-Cola’s 45%
.3 ELECTRIC BOTTLE COOLERS (EBC)
Soft drink companies have introduced Bottle Coolers, as such
Pepsi’s EBC’s in the market are 53% as compared to that of Coca-
Cola.
.4 VISI COOLERS
Another form of bottle coolers being provided by soft-drink
companies in the market in which Pepsi has provided 60% and
40% by Coca-Cola.
.5 OWN YOUR COOLER (OYC)
These types of coolers are very few in the market in which Pepsi
has provided 44% and 56% by Coca-Cola.
BOTTLE COOLER MACHINES PROVIDING
COOLNESS FOR BOTTLES OF PEPSI
CAPACITY OF
BOTTLE COOLER
AVERAGE NO. OF
BOTTLES KEPT FOR
COOLING
E.B.C’S 100 Bottles or 4 crates 50 Bottles or 2 Crates
Visi Coolers’s-I 100 Bottles or 4 crates 50 Bottles or 2 Crates
Visi Coolers-II 200 Bottles or 8 crates 4 to 5 Crates
WALL PAINTINGS
DISPLAY BOARDS
VISI COOLERS
CHAPTER-IV
ORGANIZATIONAL PROFILE
Introduction
A) NAME OF THE UNIT: -
‘Tirupati agencies,
Nanded road , latur, Maharashtra.