A
Project Study Report
On
“Advertisement Effectiveness”
Submitted in partial fulfillment for the
Award of degree of
Master of Business Administration
Submitted By: - Submitted To:-
Purohit Chetan Kumar Mrs. Suhasini Varma
MBAPart 2nd year HOD MBA
2011-2013
Rajasthan Institute of Engineering & Technology, Bhakrota Jaipur PREFACE
Market provides a key to gain actual success only to those brands which match best to the current environment i.e. ”imperative” which can be delivered what are the people needs and they are ready to buy at the right time without any delay. It is perfectly true but this also depends on availability of good quality products and excellent taste and services which further attract and add a golden opportunity for huge sales.
This also depends on the good planning approach and provide ample opportunity plus sufficient amount of products for sales in the coming next financial year.
This survey report introduces study of consumer’s preferences for PEPSI. After going through a detail analysis of market behavior and future prospect, it may also provide an opportunity to PEPSI to frame a good future plan to satisfy maximum needs of the customers and established its guiding role in the market of Kanpur in particular and throughout the country as a whole. The study report will also provide an opportunity to delineate its market potential business areas, products & services are to be offered by the company to the customers.
This study report also provides the various factors affecting the services. Marketing
Division of PEPSI has to keep in mind various factors specially while preparing a plan for marketing its product or services. Details description along with analysis of surveyed data is being presented in this report.
2 Acknowledgement
I express my sincere thanks to my project guide Dr. Suhasini Varma, HOD MBA., for guiding me right from the inception till the successful completion of the project. I sincerely acknowledge her for extending their valuable guidance, support for literature, critical reviews of project and the report and above all the moral support she had provided to me with all stages of this project.
I would also like to thank the supporting staff ______
Department, for their help and cooperation throughout our project.
Purohit Chetan Kumar
3 Executive Summary
PepsiCo is the world’s premier consumer Products Company focused on convenience food and beverages. We seek to produce healthy financial reward to investors a we provide opportunities for growth and enrichment to our employee.
PepsiCo is a world leader in convenient foods and beverages, with 2011 revenues of more than $44 billion and 203,000 employees.
The group has built an expansive beverage and foods business. To support its operations, PepsiCo has 43 bottling plants in India, of which 15 are company owned and 28 are franchisee owned
PepsiCo’s a business based on its sustainability vision of making tomorrow better than today.
PepsiCo’s commitment to living by this vision every day is visible in its contribution to the country, consumers and farmers.
The whole business of any FMCG ( Fast Moving Consumers Good ) company mainly depends on the retailers , so we can say that the retailers are the backbone of any FMCG organization .The whole project named as EDS (Each dealer survey) & Visi Report , in which the whole analysis based on current market position in Kanpur city.
The project was undertaken under the guidelines of PepsiCo India Holding Pvt. Ltd. to comparative study between PepsiCo and coke in order to increase the sales of Pepsi and problems faced by distributor and retailers and recommend the company how to solve these problem.
A detailed survey to the consumer was carried to find out their preferences for Soft Drinks.
The details of the methodology are stated below.
Area Jaipur City only, research design: Exploratory and descriptive. Sources of information are primary and secondary data.
4 Contents
1. Introduction to the Industry
2. Introduction to the Organization
3. Research Methodology
3.1 Title of the Study
3.2 Duration of the Project
3.3 Objective of Study
3.4 Type of Research
3.5 Sample Size and method of selecting sample
3.6 Scope of Study
3.7 Limitation of Study
4. Facts and Findings
5. Analysis and Interpretation
6. SWOT
7. Conclusion
8. Recommendation and Suggestions
9. Appendix
10. Bibliography
5 Introduction to the Industry
Beverages Industry in India
Indian Beverages industry's size is Rs. 8 thousand crores and it is dominated by two players viz
Pepsi & Coke only. This high profile industry has lot of potential for growth as per capita consumption in India is 9 bottles per annum (year) as compared to 20 bottles in Sri Lanka, 14 in
Pakistan, while 12 bottles a person in Nepal.
The RKJ group is India's leading supplier of retailer brand Carbonated and Non-Carbonated soft drinks, with beverage manufacturing facilities in India and Nepal. Its experience in the beverage industry dates back to the sixties when it had the first franchise at Mathura.
The family manufactures and markets Carbonated and Non-Carbonated Soft Drinks and Minerals
Water under PEPSI brand. The various flavors and sub- brands are PEPSI, Miranda Orange,
Miranda Lemon, Mountain Dew, and 7UP, Slice Orange, Everest Soda and Aquafina. It has the license to supply beverages in the territories of Western U.P., part of M.P., half of the Haryana, whole of Rajasthan, Goa 3 districts of Maharashtra, and 13 districts of Karnataka and whole of
Nepal. The group has in total 18 bottling plants in India & Nepal and is responsible for producing and marketing 44% of PEPSI requirement in India.
The major ingredient in a soft drink is water. It constitutes close to 90% of the soft drink content.
Added to this, the drink also contains sweeteners, Carbon dioxide, Citric Acid/Malic acid, Colors,
Preservatives, Anti Oxidants and other emulsifying agents, etc.
The major players in the soft drinks market in India are PepsiCo and Coca-Cola Co, like elsewhere in the world. Coca-Cola acquired a number of local brands like Limca, Gold Spot and Thumps Up when it entered Indian market for the second time. PepsiCo’s soft drink portfolio also consists of
Miranda and 7Up along with Pepsi. The market share of each of the company is more or less the same, though there is a conflict in the estimates quoted by different sources.
6 Pepsi Bottling Plant in India.
1. Goa, Salcete
2. Karnataka, Dharwad
3. Rajasthan, Bhiwadi
4. Rajasthan, Jodhpur
5. Rajasthan, Jaipur
6. Rajasthan, Alwar
7. Uttar Pradesh, Greater Noida
8. Uttar Pradesh, Kosi
9. Kathmandu, Nepal Introduction to the Organization
Type : Food & Non-alcoholic beverage
Manufacturer : PepsiCo.
Country of Origin : United States
Founded : New Bern N.C, U.S. (1890)
Founder(s) : Caleb Bradham, Donald M. Kendall and Herman W. Lay
Headquarters : Purchase, New York, U.S. R & D headquarters in Valhalla
Key People : Indra Nooyi ( Chairperson and CEO )
Products : Pepsi, Diet Pepsi, Mountain Dew, AMP Energy, Aquafina,
7 Sierra, IST, SoBe, Starbucks Frappuccino, Lipton Iced Tea, 7up,
Miranda, Izze, Tropicana Products, Copella, Naked Juice,
Gatorade, Propel Fitness Water, Quaker Oats Company, Lay's,
Doritos, Cheetos, Kurkure, Fritos, Rold Gold, Ruffles, Tostitos,
Slice.
Revenue : US $ 44.3 billion
Operating Income : US $ 7.3 billion
Net Income : US $ 6.24 billion
Employees : 203,000 (2012)
Divisions : PepsiCo Americas, PepsiCo International
Web Site : PepsiCo.com
Pepsi Cola Company now produces and markets nearly 200 refreshment beverages to retail, restaurants and food service customers in more than 190 countries and territories around the world.
PepsiCo World Headquarters is located in Purchase, New York.
Pepsi Co. is the world leader in the food chain business. It consists of many companies amongst which the prominent ones are Pepsi Cola, Frito-lay, Pepsi food international, and Pizza-hut, KFC and Taco bell. The group is presently into three most profitable businesses namely, Beverages Snacks foods and Restaurants.
The beverages segment primarily market it Pepsi diet, Pepsi Mountain Dew and other brands worldwide and 7UP outside the U.S. market. They are positioned in close competition with Coca Cola inc. of USA.
8 The Snacks food divisions manufacture and distribute and markets others snacks worldwide. The restaurant segment primarily consists of the operations of the worldwide
Pizza-Hut, Taco bell, PepsiCo’s restaurant distribution operation; supplies to Company owned and Franchise restaurants in the U.S.
When Coca Cola changed its formula in 1985, Pepsi Stepped up its competition with its long time archrival claiming victory in the Cola-wars. Coke and Pepsi expended their rivalry to tea in 1991 when Pepsi formed a venture with No.1 Lipton in response to Coke’s announced venture with Nestle (Nestea).
“PepsiCo is going blue”. This was the new color adopted by the company to strengthen its brand globally. Also the company is changed colors from Generation X to GENERATION
NEXT. Although Pepsi holdings over the years have become diverse in such fields as the
Snacks industry and Restaurants industry, this portfolio will discuss its core business and its highly successful business of Beverages. The soft drink industry customer base is probably the widest and deepest base in a world that is flooded with some many categories.
According to Beverage Digest the customer base for soft drinks is a whopping 95% of regular users in the United States. This represents a large field of potential customers for
Pepsi Cola.
Pepsi prefers to segment itself as the beverage choice of the “New Generation”,
“Generation Next”, or just as the “Pepsi Generation”. These terms adopted in Pepsi’s advertising campaigns are referring to the markets that marketers refer to as Generation X.
The Generation X consumer is profiled to be between the ages of 18 to 29. They have high expectations in life and are very mobile and active. They adopt a lifestyle of living for today and not worrying about long-term goals. Those Pepsi’s main emphasis on this segment
9 they also have a focus on the 12 to 18 year old market. Pepsi believes if they can get this market to adopt their product then they could establish a loyal customer for life.
Pepsi Cola throughout its 100 years of existence has developed much strength. One of the strengths that have developed Pepsi into such a large corporation is a strong franchise system. The strong franchise system was the backbone of success along with a great entrepreneur spirit. Pepsi’s franchise system and distributors is credited to bring Pepsi from a 7,968 gallons of soda sold in 1903 to nearly 5 billion gallons in the year of 1997.
Pepsi also has the luxury to spend 225 million dollars in advertising a year. This enormous advertising budget allows Pepsi to reinforce their products with reminder advertising and promotions. This large budget also allows Pepsi to introduce new products and very quickly make the consumer become aware of their new products.
Pepsi also has had the good fortune of making very wise investments. Some of the best investments have been in their acquiring several large fast food restaurants. They have also made wise investments in snack food companies like Frito Lay, which at present time is the largest snack company in the world. Probably high on the list of strengths is
Pepsi’s beverage line up.
Pepsi has four soft drinks in the top ten beverages in the world. These brands are Pepsi,
Mountain Dew, Diet Pepsi, and Caffeine Free Diet Pepsi. Some other strong brands are All
Sport, Slice, Tropicana, Starbucks, Aquafina and a license agreement with Ocean Spray Juices.
10 Company Profile in Indian Scenario
Since the entry of Pepsi co. to India in 1987, the soft drink Industry has undergone a radical change. When Pepsi entered parley was the leader with ‘Thumps UP’ being its flagship brand.
Other product offerings by parley included Limca & Gold Spot. Another upcoming player in the market was the erstwhile bottle of Coca-Cola, Pure Drinks. Its offerings included Campa Cola,
Camps Lemon and Campa Orange.
With the re-entry of Coca-Cola in the Indian market, Pepsi had to go in for more aggressive marketing to sustain its market share. The chronology the initial phase of the “Coal Wars” in India was:-
July 1986
An application for soft drinks-cum-snack food joint venture by Pepsi, Voltas and Punjab
Agro is submitted to the government after an earlier proposed alliance- 1985, between
Pepsi and Duncan’s of the Goenkas fails to take off.
Sept.1988
Final approval for the Pepsi Foods Limited (P.F.L) project granted by the Cabinet
Committee on Economic Affairs of the Rajeev Gandhi Government.
March 1990
Pepsi Cola and Seven up Launched in limited market in North India.
May 1990
The government clears the Pepsi project again but with a change in brand name to
Lehar Pepsi. Simultaneously it rejects the Coca-Cola application. Citra form the Parle
stable hits the market.
Dec 1991
11 Pepsi extends its soft drinks reach on national scale. Products launched Delhi and
Bombay.
Jan 1992
Brito Foods application cleared by the FTPB. Pepsi and Parle start initial negotiations for
strategic alliance but talks break off after a while.
1993
Pepsi launches Teem and Slice. Captures about 25.30% of the soft drinks market in
about two years.
July 1993
Volta’s pulls out of PFL joint venture. Pepsi decides to raise equity to 92% Reports of
coke – Parle negotiations gain strength.
1994
Pepsi brought Dukes& Sons
1995
Pepsi launched Cans having capacity of 330 ml in various flavors.
1997
Pepsi brought Miranda Orange opposite to Fanta.
1998
Pepsi launched Lemon Miranda to give taught competition to Limca.
1999
Pepsi has launched its Diet Pepsi Can and 1.5 Liters pet battles for health conscious
people.
12 1997
Refusing to dilute its equity state Coca-Cola winds up operations in the country. Parle
launches Thumps Up and Drinks launches Campa Cola.
2001
Pepsi launched Aquafina opposite to Kinley.
2003
Pepsi launched Mountain Dew
2005
Miranda lemon zinger, 7UP.Ice was launched by Pepsi.
2006
Bubbly Pepsi was launched.
2007
Pepsi Gold was launched
2009
Nimbooz by 7up was launched
2010
PepsiCo India recently launched a new flavor named “7UP Ice” in Indian market. It is
hard that 7UP. The taste of 7UP Ice is mint. And Miranda Bat Berry. The taste of
Miranda Bat Berry is like Glicodin.
2011
13 In April 2011, Pepsi announced that customers will be able to buy a complete
stranger a soda at a new "social" vending machine, and even record a video that
the stranger would see when they pick up the gift.
In May 2011, the week before Memorial Day, Pepsi launched a limited edition
flavor called "Memorial Day Pepsi", with blueberry and cherry flavors added to
the cola.
2012
In March 2012, Pepsi introduced Pepsi Next, a cola with half the calories of
regular Pepsi.
History of PepsiCo
1893--Caleb Bradham, a young pharmacist and industrialist from New Bern, North Carolina, begins experimenting with many different soft drink concoctions; patrons and friends sample them at his drugstore soda fountain.
1898--It was first introduced as "Brad's Drink" in New Bern, , North Carolina in 1898 by Caleb
Bradham, a combination of carbonated water, sugar, vanilla, rare oils and cola nuts, is renamed
"Pepsi-Cola" on August 28, 1898. Pepsi-Cola receives its first logo.
1902--The instant popularity of this new drink leads Bradham to devote all of his energy to developing Pepsi-Cola into a full-fledged business. He applies for a trademark with the U.S. Patent
14 Office, Washington D.C., and forms the first Pepsi-Cola Company. The first Pepsi-Cola newspaper advertisements appeared in the New Bern Weekly Journal.
1903--"Doc" Bradham moves the bottling of Pepsi-Cola from his drugstore into a rented warehouse; he sells 7,968 gallons of syrup in the first year of operation.
Pepsi's theme line is "Exhilarating, Invigorating, and Aids Digestion."
1904--Bradham purchases a building in New Bern known as the "Bishop Factory" for $5,000 and moves all bottling and syrup operations to this location. Pepsi is sold in six-ounce bottles. Sales increase to 19,848 gallons.
1905--Pepsi-Cola's first bottling franchises are established in Charlotte and Durham, North
Carolina.
Pepsi receives its new logo, its first change since 1898.
1906--Pepsi gets another logo change, the third in eight years. The modified script logo is created with the slogan, "The Original Pure Food Drink."
There are 15 U.S. Pepsi bottling plants. The Pepsi trademark is registered in Canada. Syrup sales rise to 38,605 gallons.
The federal government passes the Pure Food and Drug Act, banning substances such as arsenic, lead, barium, and uranium, from food and beverages. This forced many soft drink manufacturers, including Coca-Cola, to change their formulas. Pepsi-Cola, being free of any such impurities, claimed they already met federal requirements.
Pepsi receives its new logo, its second change since 1905.
1907--Pepsi-Cola Company continues to expand; the company's bottling network grows to 40 franchises. Pepsi-Cola sells more than 100,000 gallons of syrup.
Pepsi trademark is registered in Mexico. Syrup sales rise to 104,026 gallons.
15 1908--Pepsi-Cola becomes one of the first companies to modernize delivery from horse drawn carts to motor vehicles. Two hundred fifty bottlers in 24 states are under contract to make and sell
Pepsi-Cola.
1909--Automobile race pioneer Barney Old field endorses Pepsi-Cola in newspaper ads as "A bully drink...refreshing, invigorating, a fine bracer before a race."
1910--The first Pepsi-Cola bottlers' convention is held in New Bern, North
Carolina
1920--Pepsi theme line speaks to the consumer with "Drink Pepsi-Cola, it will satisfy you."
1923--Pepsi-Cola Company is declared bankrupt and its assets are sold to a North Carolina concern, Craven Holding Corporation, for $30,000.
Roy C. Megargel, a Wall Street broker, buys the Pepsi trademark, business and good will from
Craven Holding Corporation for $35,000, forming the Pepsi-Cola Corporation.
1928--After five continuous losing years, Megargel reorganizes his company as the National
Pepsi-Cola Company, becoming the fourth parent company to own the Pepsi trademark.
1931--U.S. District Court for Eastern District Virginia declares the National Pepsi-Cola Company bankrupt, the second bankruptcy in Pepsi-Cola history.
The Loft candy company acquires the National Pepsi-Cola Company. Charles G. Guth, president of
Loft, assumes leadership of Pepsi and commands the reformulation of Pepsi-Cola syrup formula.
1933--By the end of the year, Guth's new Pepsi-Cola Company is insolvent. In a series of moves, he acquires Megargel's interest in the company, giving himself 91% ownership of Pepsi.
1934--A landmark year for Pepsi-Cola. The drink is a hit and to attract even more sales, the company begins selling its 12-ounce drink for five cents (the same cost as six ounces of competitive colas). The 12-ounce bottle debuts in Baltimore, where it is an instant success. The cost savings
16 proves irresistible to Depression worn Americans and sales skyrocket nationally. Caleb Bradham, the Founder of Pepsi-Cola and "Brad's Drink," dies at 66 (May 27th, 1867-February 19th, 1934).
1935--Guth moves the entire Pepsi-Cola operation to Long Island City, New York, and sets up national territorial boundaries for the Pepsi bottler franchise system.
1936--Pepsi grants 94 new U.S. franchises and year-end profits reach $2,100,000.
1938--Walter S. Mack, Jr., V.P. of Phoenix Securities Corporation is elected President of the
Pepsi-Cola Company. Mack, who considers advertising the keystone of the soft drink business, turns Pepsi into a modern marketing company.
1939--The "Pepsi & Pete" comic strip introduces the "Twice as much for a nickel" theme in newspapers. Pepsi-Cola Company names Mack as CEO. The Board of Directors removes Guth from the Pepsi payroll after he plans to personally acquire a competing cola.
1940--Pepsi-Cola Company makes advertising history with "Nickel, Nickel," the first advertising jingle ever broadcast nationwide on radio.
Pepsi receives its new logo, its third change since 1906.
1941--The New York Stock Exchange trades Pepsi's stock for the first time.
In support of the war effort, Pepsi's bottle crown colors change to red, white, and blue.
1943--Pepsi's theme line becomes "Bigger Drink, Better Taste."
1948--Corporate headquarters moves from Long Island City, New York, to midtown Manhattan.
1950-- Alfred N. Steele becomes President and CEO of Pepsi-Cola. Mr. Steele's wife, Hollywood movie star Joan Crawford, is instrumental in promoting the company's product line. Pepsi receives its new logo, which incorporates the "bottle cap" look. The new logo is the fifth in Pepsi history.
1953-- "The Light Refreshment" campaign capitalizes on a change in the product's formula that reduces caloric content.
17 1955--Herbert Barnet is named President of Pepsi-Cola.
1959--Pepsi debuts at the Moscow Fair. Soviet Premier Khrushchev and U.S. Vice President
Nixon share a Pepsi.
1960--Young adults become the target consumers and Pepsi's advertising keeps pace with "Now it's Pepsi, for those who think young."
1962--Pepsi receives its new logo, the sixth in Pepsi history. The 'serrated' bottle cap logo debuts, accompanying the brand's groundbreaking "Pepsi Generation" ad campaign.
1963--After climbing the Pepsi ladder from fountain syrup salesman, Donald M. Kendall is named
CEO of Pepsi-Cola Company. Pepsi-Cola continues to lead the soft drink industry in packaging innovations, when the 12-ounce bottle gives way to the 16-ounce size. Twelve-ounce Pepsi cans are first introduced to the military to transport soft drinks all over the world.
1964--Diet Pepsi, America's first national diet soft drink, debuts.
Pepsi-Cola acquires Mountain Dew from the Tip Corporation.
1965--Expansion outside the soft drink industry begins. Frito-Lay of Dallas, Texas, and Pepsi-Cola merge, forming PepsiCo, Inc.
Military 12-ounce cans are such a success that full-scale commercial distribution begins.
Mountain Dew launches its first campaign, "Yahoo Mountain Dew...It'll tickle your innards."
1970--Pepsi leads the way into metrics by introducing the industry's first two-liter bottles. Pepsi is also the first company to respond to consumer preference with light-weight, recyclable, plastic bottles. Vic Bonomo is named President of Pepsi-Cola.
The Pepsi World Headquarters moves from Manhattan to Purchase, NY.
18 1974--First Pepsi plant opens in the U.S.S.R. Television ads introduce the new theme line, "Hello,
Sunshine, Hello Mountain Dew."
1976--Pepsi becomes the single largest soft drink brand sold in American supermarkets.
The campaign is "Have a Pepsi Day!" and a classic commercial, "Puppies," becomes one of
America's best-loved ads. As people get back to basics, Pepsi is there as one of the simple things in life.
1977--At 37, marketing genius John Sculley is named President of Pepsi-Cola.
1978--The Company experiments with new flavors. Twelve-pack cans are introduced.
1980--Pepsi becomes number one in sales in the take home market.
1981--PepsiCo and China reach agreement to manufacture soft drinks, with production beginning next year.
1982--Pepsi Free, a caffeine-free cola, is introduced nationwide. Pepsi Challenge activity has penetrated 75% of the U.S. market.
1983--Mountain Dew launches the "Dew it to it" theme.
19 1984--Pepsi advertising takes a dramatic turn, as Pepsi becomes "the choice of a New
Generation." Lemon Lime Slice, the first major soft drink with real fruit juice, is introduced, creating a new soft drink category, "juice added." In subsequent line of extensions, Mandarin Orange Slice goes on to become the number one orange soft drink in the U.S. Diet Pepsi is reformulated with
NutraSweet (aspartame) brand sweetener.
1985--After responding to years of decline, Coke loses to Pepsi in preference tests by reformulating. However, the new formula is met with widespread Consumer rejection, forcing the re- introduction of the original formulation as "Coca-Cola Classic." The cola war takes "one giant sip for mankind," when a Pepsi "space can" is successfully tested aboard the space shuttle. By the end of
1985, the New Generation campaign earns more than 58 major advertising and film-related awards.
Pepsi's campaign featuring Lionel Richie is the most remembered in the country, according to consumer preference polls.
1986--Chairman Donald M. Kendall retires and is succeeded by D. Wayne Calloway. 7-Up international is acquired in Canada. Pepsi-Cola acquires Mug Root Beer.
1987--Pepsi-Cola President Roger Enrico is named President/CEO of PepsiCo Worldwide
Beverages. Pepsi-Cola World Headquarters moves from Purchase to Somers, New York. After a
27-year absence, Pepsi returns to Broadway with the lighting of spectacular new neon sign in Times
Square.
1988--Craig Weather up is appointed President/CEO of Pepsi-Cola Company.
1989--Pepsi lunges into the next decade by declaring Pepsi lovers "A Generation Ahead." Chris 20 Sinclair is named President of Pepsi-Cola International. Pepsi-Cola introduces an exciting new flavor, Wild Cherry Pepsi.
1990--American Music Award and Grammy winner rap artist Young MC writes and performs songs exclusively for national radio ads for Pepsi. Ray Charles joins the Pepsi family by endorsing Diet
Pepsi. The slogan is "You Got the Right One Baby."
1991--Craig E. Weather up is named CEO of Pepsi-Cola North America, as Canada becomes part of the company's North American operations. Pepsi introduces the first beverage bottles containing recycled polyethylene Terephthalate (or PET) into the marketplace. The development marks the first time recycled plastic is used in direct contact with food in packaging.
1992--Pepsi-Cola launches the "Gotta Have It" theme, which supplants the longstanding "Choice of a New Generation." Pepsi-Cola and Lipton Tea Partnership is formed. Pepsi will distribute single serve Lipton Original and Lipton Brisk products. Crystal Pepsi: a refreshing, clear soda that is caffeine free has 100% natural flavors, no preservatives and is low in sodium, goes national.
Mountain Dew introduces the popular theme line, "Get Vertical."
1993--Brand Pepsi introduces its slogan, "Be Young. Have Fun. Drink Pepsi".
Pepsi-Cola profits surpass $1 billion. Pepsi introduces an innovative 24-can multipack that satisfies growing consumer demand for convenient large-size soft drink packaging. "The Cube" is easier to carry than the traditional 24-pack and it fits in the refrigerator.
1994--New advertising introducing Diet Pepsi's freshness dating initiative features Pepsi CEO
Craig Weather up explaining the relationship between freshness and superior taste to consumers.
Pepsi Foods International and Pepsi-Cola International merge, creating the PepsiCo Foods and
Beverages Company.
1995--In a new campaign, the company declares "Nothing else is a Pepsi" and takes top honors in the year's national advertising championship.
21 1996--In February of this year, Pepsi makes history once again, by launching one of the most ambitious entertainment sites on the World Wide Web. Pepsi World Eventually surpasses all expectations, and becomes one of the most landed and copied, sites in this new media, firmly establishing Pepsi's presence on the Internet.
1997--In the early part of the year, Pepsi pushes into a new era with the unveiling of the
GeneratioNext campaign. GeneratioNext is about everything that is young and fresh; a celebration of the creative spirit. It is about the kind of attitude that challenges the norm with new ideas, at every step of the way. PepsiCo Announces that, effective October 6th, it will spin off its restaurant division to form Tricon Global Restaurants, Inc. Including Pizza Hut, Taco Bell, & KFC, it will be the largest restaurant company in the world in units and second-largest in sales.
1998--Pepsi celebrates its 100th anniversary. PepsiCo Chairman and CEO Roger A. Enrico donate his salary to provide scholarships for children of PepsiCo employees.
Pepsi introduces PepsiOne - the first one-calorie drink without that diet taste!
2000--Although Pepsi is a great place to work, Steven Truitt takes his skills and hard work elsewhere (for more money of course!), therefore putting an end to his Pepsi page! For more information about Pepsi, choose a search engine and search for 'Pepsi' or visit www.pepsi.com or www.pepsico.com.
2002-- The strategy was cited by Promo Magazine as one of 16 "Ageless Wonders" that "helped redefine promotion marketing."
2003-- The Centre for Science and Environment (CSE), a non-governmental organization in
New Delhi, said aerated waters produced by soft drinks manufacturers in India, including multinational giants PepsiCo and The Coca-Cola Company, contained toxins, including lindane,
DDT, marathon and chlorpyrifos — pesticides that can contribute to cancer, a breakdown of the immune system and cause birth defects. Tested products included Coke, Pepsi, 7 Up, Miranda,
Fanta, Thumps Up, Limca, and Sprite. CSE found that the Indian-produced Pepsi's soft drink products had 36 times the level of pesticide residues permitted under European Union regulations; 22 Coca Cola's 30 times. CSE said it had tested the same products in the US and found no such residues. However, this was the European standard for water, not for other drinks. No law bans the presence of pesticides in drinks in India.
2004-- The Coca-Cola Company and PepsiCo angrily denied allegations that their products manufactured in India contained toxin levels far above the norms permitted in the developed world.
But an Indian parliamentary committee, in 2004, backed up CSE's findings and a government- appointed committee, is now trying to develop the world's first pesticides standards for soft drinks.
Coke and PepsiCo opposed the move, arguing that lab tests aren't reliable enough to detect minute traces of pesticides in complex drinks.
2005-- The Coca-Cola Company and PepsiCo together hold 95% market share of soft-drink sales in India. PepsiCo has also been accused by the Puthussery panchayat in the Palakkad district in
Kerala, India, of practicing "water piracy" due to its role in exploitation of ground water resources resulting in scarcity of drinking water for the panchayat's residents, who have been pressuring the government to close down the PepsiCo unit in the village.
2006-- Indra Krishnamurthy Nooyi has been the chairman and chief executive officer of PepsiCo since 2006. During her time, healthier snacks have been marketed and the company is striving for a net-zero impact on the environment. This focus on healthier foods and lifestyles is part of Nooyi's
"Performance with Purpose" philosophy.
2007-- PepsiCo redesigned their cans for the fourteenth time, and for the first time, included more than thirty different backgrounds on each can, introducing a new background every three weeks.
2008-- In October 2008, Pepsi announced that it would be redesigning its logo and re-branding many of its products by early 2009.
2009--New Slogans are used in this year: "Yeh hai youngistaan meri jaan" (Hindi - meaning "This is our young country my baby").
2010-- "Youngistan ka wow". 23 2011– "Change the game" (India, Bangladesh & Pakistan for the 2011 Cricket World Cup)
24 Organization Structure & Distribution Channel
25 Chart showing organizational structure & Distribution Channel of PepsiCo India
Our Mission .
"To be the world's premier consumer Products Company focused on convenience food and beverages. We seek to produce healthy financial rewards to investors as we provide opportunities for growth and enrichment to our employees, our business partners and the communities in which we operate. And in everything we do, we strive for honesty, fairness and integrity."
Our Vision
"To build India’s leading total beverage company, delighting consumers by best meeting their everyday beverage needs, and stakeholders, by delivering performance with purpose, through our talented people."
PepsiCo Sustainability Vision
"PepsiCo’s responsibility is to continually improve all aspects of the world in which we operate – environment, social, economic – creating a better tomorrow than today"
Introduction of Coca-Cola
Background of the Company
History of Coca-Cola 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. 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
26 famous logo of today. The soft drink was first sold to the public at the soda fountain in Jacob's
Pharmacy in Atlanta on May 8, 1886.
Until 1905, the soft drink, marketed as a tonic, contained extracts of cocaine as well as the caffeine-rich kola nut. By the late 1890s, Coca-Cola was one of America's most popular fountain drinks. With another Atlanta pharmacist, Asa Griggs Candler, at the helm, the Coca-Cola Company increased syrup sales by over 4000% between 1890 and 1900.
Advertising was an important factor in Pemberton and 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. 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 the drug 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 came to the fore. On
April 23, 1985, the trade secret "New Coke" formula was released. Today, products of the
Coca Cola Company are consumed at the rate of more than one billion drinks per day.
The Coca-Cola Company started out as an insignificant one man business and over the last one hundred and ten years it has grown into one of the largest companies in the world. The first operator of the company was Dr. John Pemberton and the current operator is Roberto Goizueta. Without societies help, Coca-Cola could not have become over a 50 billion dollar business. Coca-Cola was invented by Dr. John Pemberton, an Atlanta pharmacist. He concocted the formula in a three legged brass kettle in his backyard on
27 May 8, 1886. He mixed a combination of lime, cinnamon, coca leaves, and the seeds of a
Brazilian shrub to make the fabulous beverage (Things go better with Coke).
Coca-Cola debuted in Atlanta's largest pharmacy, Jacob's Pharmacy, as a five cent non- carbonated beverage. Later on, the carbonated water was added to the syrup to make the beverage that we know today as Coca-Cola. Coca-Cola was originally used as a nerve and brain tonic and a medical elixir. Coca-Cola was named by Frank Robinson, one of
Pemberton's close friends; he also penned the famous Coca-Cola logo in unique script.
28 Coca-Cola in India
After a 16 years absence, Coca-Cola returned to India in 1993. The Company's presence in
India was cemented in November that year in a deal that gave drink Coca-Cola ownership of the nation's top soft-brands and bottling network. Coca-Cola India has made significant investments to build and continually improve its business in India, including new production facilities, wastewater treatment plants, and distribution systems and marketing equipment. During the past decade, the
Coca-Cola system has invested more than US$ 1 billion in India.
Coca-Cola Products in India
Leading Indian brands Thumps Up, Limca, Maaza, Citra and Gold Spot join the Company's
International family of brands including Coca-Cola, Diet Coke, Sprite and Fanta, plus the
Schweppes products range.
29 30 "COLA FLAVOURS"
Cola is a most popular flavor in any group of age. This is the most saleable flavor in the world. Both
PEPSICO & COCA COLA has its own cola flavor. PEPSICO has a cola flavor named PEPSI and cola flavor of COCA COLA are THUMPS UP & COKE. PEPSI COLA is a cash cow brand for the company in terms of sales revenue. PEPSI has two competitive brands in the cola flavor.
PepsiCo:
Coca-Cola:
31 “LIME & LEMON FLAVORS”
This segment of flavor is very likely in the children and aged person. PepsiCo has three brands in this segment with comparison to the brands of Coca-cola. The Pepsi’s brands are Mountain Dew,
7UP and Nimbooz whether the Coca-cola has its Sprit & Limca in this segment
Mountain Dew is sweet lemon soft drink in India and in a few countries. It is mostly demands by the children.
7UP & Nimbooz lemon-lime soft drink. Sales of 7UP is third largest carbonated soft drink brand in
U.S. most consumers prefer 7UP as their favourite brand than any other non-cola.
PepsiCo:
32
33 Coca-Cola:
“ORANGE FLAVORS”
This is another type of flavor in the soft drink industry. The taste is like orange. In this segment PEPSI has a brand named MIRINDA whether COCACOLA has its FANTA in orange. This flavor is mostly preferred by children and women
PepsiCo:
Miranda - Orange Dikha to Mooh Bola Miranda
34 Miranda is an international soft drink brand from Spain that was launched in India in 1991.
Coca-Cola:
35 “MANGO FLAVORS”
In this category’s of flavor is like a Mango. This flavor is now becoming more popular in
India. In Mango flavor PEPSI has a well known name SLICE whether COCACOLA has a MAZAA in this segment.
PepsiCo:
36 Coca-Cola:
37 Background of the Study
Market study is an essential process to develop the companies’ database by collection of data, analyses of data, reporting of the data according to the specific situation for any marketing activity that the company is facing due to the increase in the competition & the development of various marketing competitors.
Modern marketing calls not only for developing a good product, but pricing it attractively & making it accessible to target customers. Organizations also need to communicate with their present & potential customers about their present offerings. Needs to develops an effective & efficient strategy with the aim of creating awareness, developing knowledge and liking preference convictions among the organizations’ target audience with a view to convert them into prospective buyer.
This project report is concern with the comparative analysis of the sales of PEPSI and COCA COLA in Kanpur.
This project report endeavors to study of "COMPARATIVE ANALYSIS OF PEPSI AND COKE".
Objective of the Study
Basically the objective of the study was gaining the practical knowledge on the researcher’s part. It was also to the gain the practical exposure by applying management theories in the field of marketing & also the partial fulfillment of the MASTERS OF BUSINESS
ADMINSTRATION (MBA) Programme.
On the companies part the objective was " COMPRATIVE ANALYSIS OF PEPSI
AND COKE” which includes-
• To determine the sales of PEPSI brands out of total soft drink sales at
Kanpur region.
• To ensure optimum use of existing sales efforts.
• Find out those points where the company should improve itself.
38 • To forecast future requirements for marketing.
• To link the comparative analysis with organizational planning.
• To provide a basis for the Sales Improvement Programme.
It is widely accepted that theory broadens ones thinking & helps in idea generation. But practical approach tends to test the feasibility of these ideas & how far theoretical knowledge can be applied in a situation successfully.
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 Methodology
Research is a systematized effort to gain new knowledge. Methodology is the most important part for such studies. The method of study adopted by me is to increase the knowledge & to gather more information regarding this project.
The major emphasis in such studies is on the discovery of the ideas & fruitful relevant information.
As such the research design appropriate for such studies must be flexible enough to provide opportunity for considering different aspects of a problem under study.
METHODS OF DATA COLLECTION:
A) PRIMARY DATA:
“Primary data are those data that have been observed and recoded by the researchers for the first time to their knowledge”.
39 Survey method -- This method was adopted because it helped in securing detailed information from a sample of respondents. The information received from the respondents is recorded on a form called the questionnaire. This is only method to measure attitude & motivation directly. Open framed discussion with managers.
B) SECONDARY DATA:
“Secondary data are statistics not gathered for the immediate study at hand but for some other purposes”.
I have also used the secondary data, which included the written document of the organization & other places.
. HEAD OFFICE (Warehouse) (PepsiCo India Holding Pvt. Ltd. In Kanpur)
. INTERNET
. PAPERS & RECORDS
. MAGAZINES
Research Objectives & Related Sub Objectives
1 To examine the retail distribution of Pepsi in comparison of its competitors.
2 To know the expectation of the retailers.
3 To evaluate the market position of Pepsi.
4 To know the other alternatives and its competitor’s brands position in market.
5 To know the brand image of Pepsi among retailers and customer or consumers.
6 To help in development & introduction of new product.
7 To identify the organization features of Pepsi food limited.
8 To study the effect of irregular supply on the sale of product. 40 Information Requirements – In Detail & Source of Information
For the study of the market position and potential of Pepsi in city of Kanpur (UP), both primary as well as secondary data was required. Primary data was collected from Retailers.
Information required was: -
1 Name of Shop
2 Address of Shop
3 Type of Shop
4 Filled Stock of Pepsi as well as its competitor in shop
5 Unfilled Stock of Pepsi as well as its competitor in shop
6 Stock of Pet bottles of Pepsi and its competitor coke
7 Sale of Pepsi from the outlet
8 Whether any Cooling equipment used or not
9 Hoarding used or not
10 Any display material used or not.
So I collected the primary data by conducting the surveys in the city of Kanpur (UP) through the
EDS FORMAT, Visi Location, Visi Purity, Visi Charging > 70% and the secondary data was downloaded partially from the Internet and partially the course books.
Research Design Used
There are two types of research design that is basically used in research. These are: -
1 Conclusive Research
2 Exploratory Research
I was required to collect the information about how much stock a particular and new retailer is keeping at the time of survey, type of cooling equipment used, display material used, etc. so the
Exploratory Research was the type of research design that was required and being used by me to do the project. But some cases Conclusive Research also used.
41 For my research I had to collect the information and data directly from each and every type of retailer who is selling cold drinks. So the data I collected was the primary data. Hence the research instrument I used was the primary data collection.
Therefore the research instrument used in my project was the EDS FORMAT & VISI
FORMAT. The EDS FORMAT contains both open ended and closed ended questions. Retailers were asked both the closed ended and open-ended questions and their opinions form the basis of my findings and suggestions.
42 Sampling Technique Used & Sample Size
1 Stage 1:
PepsiCo India Holdings Pvt. Ltd has been divided Kanpur city in to Different areas. Out of those areas the Asst. Sales manager gave me 6 areas to do my work. In these different areas I have to cover shops in which the products of pepsico were selling by shop keepers.
2 Stage 2:
In the different areas given to me by asst. sales manager I have to get information about the reason which motivates shop keepers to sell the product of pepsico. The method used by me to choose shops from different areas was judgmental.
I went in those shops in which I saw a poster or hording of pepsi. I also went in those shops in which shopkeepers were selling product of pepsico.
43 Field Work – Method Used For Data Collection
• PepsiCo India Holdings Pvt. Ltd had provided me EDS FORMAT & VISI FORMAT.
• I surveyed the market distributor's area wise and covered each and every shop by
judgmental of shops.
• In some cases I have to ask for information to roadside seller of Pepsi & Coke.
• For collecting the information I have to go to different part of the city.
• For getting information about the reason behind the selling pepsi & Coke or its products, I
have to talk with shopkeepers.
Scope of Study
Limitation of Study
Responsible managers & personals in the marketing department of PepsiCo India
Holdings Pvt. Ltd. Provide necessary assistance to me in “Comparative Analysis of Pepsi
& Coke”. They discussed different aspects & functions of marketing as practical PepsiCo
India Ltd. Almost all the necessary information was provided to me in the support of this project report.
However there are some problems, which cannot escape from. The limitations faced, felt or expressed by me are as follows –
• The time duration of two months was not enough to survey the whole market
• The respondents were not very comfortable while giving information about their stock.
• Non-cooperative approach and the rude behaviors of the respondents.
44 • It cannot be used for a means of collecting information in areas where the literacy levels are
low as the respondents may not be able to understand the purpose or the language of the
EDS FORMAT & VISI FORMAT.
• There are chances of biasness in some answers as most of people while in the market
places are in a hurry and asking question in such ambience is not very fruitful or good idea.
• During the survey, the ambience of Kanpur was not well due to extremely hot climate.
• This report is based on the data & information which was given by the retailers and it has
been assumed that they had given correct information.
I tried to overcome on these limitations.
Area Covered .
Mall Road (Direct Route):-
Mall Road are belongs to direct route. This areas given to me by asst. sales manager I have to get information about the reason.
Shubham Agency (Indirect Route):-
Canal Road, Ghantaghar, Hulaganj, Marey Co. Bridge, Mall Road,
Sutarkhana.
Area CCX PCI Grand Total
Canal Road 7 19 26
Ghantaghar 5 6 11
Hulaganj 10 22 32
Mall Road 2 11 13
Mare Co. Brige 4 4 8
Sutarkhana 4 14 18
45 Figure 1
Channel Type
In the channel type we find which type of shop is there like grocery shop, eating and drinking shop, convenience, leisure.
Channel PCI CCX Grand Total
Convenience 27 5 32
Eating & Drinking 18 6 24
Grocery 35 15 50
Travel & Transports 1 1 2
46 Figure 2
Each Dealer Survey
NAME OF DISTRIBUORS: - SUBHAM AGENCY
AREA: - Canal Road, Ghantaghar, Hulaganj, Mall Road, Marey Co. Bridge, Sutarkhana
Statu Cooling Equipment Estim s PCI Name ated S.No (PCI / of Address Area Channel Share . CCX / Asset Size Outlet PCI Mixe No. (Lit.) ( % ) d) CCX OWN
Ghasiari mandi Canal Bablu 1 Convenience 78 Mix PCI Chauraha Road Pan
47 Shop
Mishra Batch No.21 Canal 2 Pan Shop No. 2 Convenience 100 PCI Yes Road Shop Canall Road
Hari Shop No. 96 Canal 3 Convenience 100 PCI 35647 165 PCO Express Road Road
Harish Canal 4 16/4 Canal Road Convenience 20 Mix Yes Telecom Road
Neta Canal 5 Pan 16/5 Canal Road Convenience 29 Mix 48197 Yes Road Shop
Anoop 16/21 Canal Canal 6 Convenience 100 PCI Yes Jaiswal Road Road
Rohit 60/37 Canal Canal 7 Tea Convenience 100 PCI 51545 565 Road Road Stall
Shiv Laxmi Coffey Canal Eating & 8 Shanker 100 PCI 25114 100 House Road Drinking Gupta
Baba Canal Eating & 9 Tea Express Road 100 PCI 51549 380 Road Drinking Stall
Krishna Canal Eating & 10 Misthan 20 Express Road 50 Mix 41627 340 Yes Yes Road Drinking Bhandar
Dwivedi 89 Canal Road Canal Eating & 11 Tea Nr. Marwadi 100 PCI 51104 400 Road Drinking Stall School
Sonal
Monal Block No. 209 Canal Eating & 12 100 PCI 48182 570 Tea Express Road Road Drinking
Stall
48 Akshut Canal Eating & 13 Tea 13 Express Road 44 Mix 37178 340 Yes Road Drinking Stall
Bablu Canal Eating & 14 Ghasiyari Mandi 100 PCI 51550 570 Egg Road Drinking
Satish Block NO. 29 Canal Eating & 15 Cold Shop no.1 Canal 100 PCI 43733 280 Road Drinking Drink Road
Dauji Canal Eating & 16 Mishtha Canal Road 67 Mix Yes Road Drinking n
Maya 25/17 Canal Canal Eating & 17 Cold 100 PCI 25299 200 Road Road Drinking Drink
Bajpai Batch No.21 Canal 18 General Shop No. 2 Grocery 100 PCI 47355 480 Road Store Canall Road
Amrees Block No. 15 h Canal 19 Shop No.5 Canal Grocery 100 PCI PCI General Road Road Store
Shri Canal 20 Mahalax 97 Express Road Grocery 50 Mix Yes Road mi Store
Gupta Block No. 1 Shop Canal 21 General No. 1 Canal Grocery 100 PCI 42264 380 Road Store Road
Shanu Canal 22 General 3/3 Canal Road Grocery 0 CCX Yes Road Store
Ajay Block No.1 Shop Canal 23 General Grocery 100 PCI 42264 340 No2 Canal Road Road Store
Soni 30/12 Canal Canal 24 Grocery 100 PCI 40556 340 General Road Road 49 Store
Ambrish 60/31 Canal Canal 25 General Grocery 100 PCI 12562 Road Road Store
Jaiswal Express Road Canal 26 General Grocery 0 CCX Yes Ghasiyari Mandi Road Store
Shukla 73/27 Ghantagh 27 Pan Convenience 67 Mix Yes Yes Ghantaghar ar Shop
Badkau Ghantagh 28 Pan Ghantaghar Convenience 67 Mix 32627 340 Yes ar Shop
Govind Ghantagh 29 Pan 72/4 Ghantaghar Convenience 100 PCI 09591 ar Shop
Mishra 72/2 Kailash Ghantagh 30 Convenience 60 Mix 48223 570 Yes PCO Building ar
Arjun 71/1 Teliyana Ghantagh Eating & 31 100 PCI 41529 280 Sweet Canal Road ar Drinking
Santosh Ghantagh 32 General 71/44 Teliyana Grocery 100 PCI 19859 ar Store
Shivam Ghantagh 33 General 68/6 Teliyana Grocery 100 PCI Yes ar Store
Raju 72/2 Kailash Ghantagh 34 General Grocery 0 CCX Yes Building ar Store
Surendr
a 6/46 Teliyana Ghantagh 35 Grocery 100 PCI 42200 340 General Chauraha ar
Store
Priya 71/187 Teliyana Ghantagh 36 Leisure 57 Mix 37183 340 Yes Hotel Canal Road ar 50 Marwah 72/2 Kailash Ghantagh 37 Leisure 0 CCX Yes Hotel Building ar
Neha 62/215 Harbansh 38 Hulaganj Convenience 100 PCI Yes PCO Mohal
Deepak
39 (Guddu) 67/115 Bhusatoli Hulaganj Convenience 100 PCI 25115 100
Pan Sh.
Sunil 64/233 Gadariya 40 Pan Hulaganj Convenience 100 PCI Mohal Shop
Kuldeep Lucknow 41 Pan Hulaganj Convenience 100 PCI Crossing Shop
Rajesh
42 Pan 61/18 Hulaganj Hulaganj Convenience 50 Mix Yes
Shop
Sunny 64/216 Gadariya Eating & 43 Cold Hulaganj 38 Mix PCI Mohal Drinking Drink
Ramesh 63/61 Harbansh 44 Kirana Hulaganj Grocery 100 PCI 51105 480 Mohal Store
Sri
Shyam 62/197 Harbansh 45 Hulaganj Grocery 100 PCI 48070 340 General Mohal
Store
Shivam 67/125 Hulaganj 46 General Hulaganj Grocery 42 Mix Yes kanpur Store
Utsav 14/16 KDA 47 General Hulaganj Grocery 30 Mix Yes Market Hulaganj Store
48 Dinesh Bhusatoli Hulaganj Grocery 100 PCI
Kirana 51 Store Chauraha
Raju
49 General 61/183 Hulaganj Hulaganj Grocery 79 Mix 47032 340
Store
Agrahari
50 General 61/183 Hulaganj Hulaganj Grocery 100 PCI 16497 200
Store
Sri
Ganesh 61/121 D 51 Hulaganj Grocery 100 PCI 46473 565 Shanker Hulaganj
G St.
Ashu
52 General 66/214 Bhusatoli Hulaganj Grocery 100 PCI 25109 100
Store
Sri
Durga 53 66/304 Bhusatoli Hulaganj Grocery 50 Mix 50996 480 Yes General
Store
Utakars
h 54 67/49 Bhusatoli Hulaganj Grocery 50 Mix 48063 310 Yes General
Store
S K
55 General 68/6 Bhusatoli Hulaganj Grocery 100 PCI Yes
Store
Mahesh
56 General 69/107 Bhusatoli Hulaganj Grocery 71 Mix Yes
Store
Geeta
57 General 67/71 Bhusatoli Hulaganj Grocery 100 PCI 19957
Store
Vidhya 64/218 Gadariya Sahu 58 Hulaganj Grocery 50 Mix 42231 340 Yes Mohal General
St. 52 Ravi 64/240 Gadariya 59 General Hulaganj Grocery 100 PCI 41555 270 Yes Mohal Store
Binda 64/18 Gadariya 60 General Hulaganj Grocery 100 PCI 16433 100 Mohal Store
Rakesh 61/153 Sitaram 61 General Hulaganj Grocery 100 PCI Mohal Hula ganj Store
Ashok 61/107 Hulaganj 62 General Hulaganj Grocery 100 PCI 18947 120 Sitaram Mohal Store
Santosh 61/13 Sitaram 63 General Hulaganj Grocery 100 PCI Yes Mohal Hulaganj Store
Khemu 61/212 Sitaram
64 General Mohal Canal Hulaganj Grocery 100 PCI Yes
Store Road
Shyam
Ji 61/35 Harbansh 65 Hulaganj Grocery 100 PCI Yes General Mohal Chauraha
Store
Saurabh 64/62 Gadariya 66 General Hulaganj Grocery 50 Mix Yes mohal Store
Sunil 64/75A Gadariya 67 Provisio Hulaganj Grocery 0 CCX Yes Yes Mohal n Store
Pappu 61/13 Sitaram 68 Hulaganj Grocery 0 CCX Yes Yes Vedio Mohal Hulaganj
Sadhna 66/25 A 69 General Hulaganj Grocery 73 Mix 19955 Yes Bhusatoli Store
70 Rahul 63/5 Mall Road Mall Road Convenience 100 PCI 38510 53 Pco
Mahesh
71 Pan 63/2 Mall Road Mall Road Convenience 100 PCI 25248 200
Shop
Virendra
72 Pan 63/2 Mall Road Mall Road Convenience 100 PCI 34484
Shop
K K Pan 73 63/2 Mall Road Mall Road Convenience 100 PCI 09564 100 Shop
Rajkum
74 ar Pan Mall Road Mall Road Convenience 100 PCI 35123 280
Shop
Ram Ji 25/31 Karanchi 75 Pan Mall Road Convenience 100 PCI Yes Khana Shop
Anand Eating & 76 Restaur 63/2 Mall Road Mall Road 100 PCI 12823 200 Drinking ent
Ankit Eating & 77 Bhojnala 63/2 Mall Road Mall Road 100 PCI 44363 Drinking y
Vipin
Kumar 63/2 Ghasiari Eating & 78 Mall Road 100 PCI 51112 Tea Mandi Drinking
Stall
Jaanvi Eating & 79 Cold 426A Mall Road Mall Road 50 Mix 35002 Yes Drinking Drink
Sandee Eating & 80 p Cold 95 Mall Road Mall Road 100 PCI 35958 Drinking Drink
Paras Eating & 81 127 Mall Road Mall Road 58 Mix 47712 Yes Milk Bar Drinking
82 Om 63/5 Mall Road Mall Road Grocery 50 Mix Yes Yes
General 54 Store
Mahesh Marey Company Marey 83 Pan Convenience 63 Mix 35158 280 Pull Co. Bridge Shop
Bhola Marey 84 Pan 63/5 King Market Convenience 0 CCX 32718 200 Yes Co. Bridge Shop
Basantu Nr. Sunder Marey 85 Pan Convenience 100 PCI Yes 100 Cinema Co. Bridge Shop
Shop No. 14 Ravi Circular Road Marey 86 Confecti Convenience 50 Mix 34458 340 Yes Marey Company Co. Bridge onary Pull
Shop No. 72
Warsi Circular Road Marey 87 Convenience 100 PCI 51103 400 Telecom Marey Company Co. Bridge
Pull
Aqib Shop No. 77
Javed Circular Road Marey 88 Convenience 100 PCI 19000 Confecti Marey Company Co. Bridge
onar Pull
Ajay Shop No. 13 Marey Eating & 89 Tea Marey Company 42 Mix 38347 340 Co. Bridge Drinking Stall Pull
Tiwari 40 Marey Marey Eating & 90 Cold 50 Mix Company Pull Co. Bridge Drinking Drink
Mullu 66/181 Sutarkhan 91 Pan Convenience 100 PCI 12988 100 Motimohal a Shop
92 Sharma 65/1 Motimohal Sutarkhan Convenience 100 PCI Yes
Electrica a
ls
55 Sanjay 65/229 Sutarkhan 93 Pan Convenience 100 PCI Yes Motimohal a Shop
Shri Pan 70/71 Sutarkhan 94 Convenience 60 Mix Yes Shop Sutarkhana a
Ajmeri 70/47 Mathuri Sutarkhan Eating & 95 Cold 67 Mix Yes Mohal a Drinking Drink
Daya
Shanker 70/48 Mathuri Sutarkhan Eating & 96 75 Mix 44179 280 Yes Cold Mohal a Drinking
Drink
Narayan Sutarkhana Sutarkhan Eating & 97 63 Mix 38817 280 Sweet Canal Road a Drinking
Babura 72/3 GhantaGhar Sutarkhan Eating & 98 m Tea 100 PCI 35006 220 Sutarkhana Road a Drinking Stall
Shri
Ram Sutarkhan 99 65/49 Motimohal Grocery 67 Mix 41741 220 Yes General a
Store
Prem Sutarkhan 100 Kirana 65/47 Motimohal Grocery 67 Mix 48181 560 a Store
Rahul 66/148 Sutarkhan 101 General Grocery 100 PCI Yes Kachiyana Mohal a Store
Prateek 66/172 Sutarkhan 102 General Kachiyana Mohal Grocery 100 PCI Yes a Store Motimohal
R K 69/134 Sutarkhan 103 General Grocery 71 Mix PCI Danakhori a Store
104 Pooja Sutarkhana Sutarkhan Grocery 50 Mix
General 56 Store a
Kaushik 70/42 Sutarkhan 105 General Grocery 100 PCI Yes Sutarkhana a Store
Munna 70/50 Sutarkhan 106 General Grocery 50 Mix Yes Sutarkhana a Store
Ajendra 71/155 Sutarkhan 107 General Grocery 100 PCI Yes Sutarkhana a Store
Ramu 72/2 Sutarkhana Sutarkhan 108 General Grocery 100 PCI 49529 540 Kailash Building a Store
Market Share of Cold
Stocks
PEPSI 58%
EDS REPORT COKE 6% Figure 3 MIXED 35%
PEPSI 71% EDS REPORT Figure 4 COKE 29%
57 Figure 3
Figure 4
58 Interpretation: - As these pie charts show the market share of pepsi is more than coke. The reasons may be many like better promotional schemes, good advertisement through different media, better services, etc.
59 60 Distribution of Visi (Freeze).
1. Visi of Pepsi 55%
2. Visi of Coke 27%
3. Own Freeze 19%
61 VISI ANALYSIS REPORT
Create Visi 1st Rack Visi Chargin Stacking FMO FMO- S.No. Oulet Name Address Positio Chargin Purity g > 70 % Minimum -1 2 n g 5 Case
Mahesh Pan Marey CCX Y Y PCI Y 1 Shop Company Pull
Shop No. 13
Marey CCX Y Y PCI Y
2 Ajay Tea Stall Company Pull
Shop No. 14
Circular Road CCX Y Y N/A Y Ravi Marey
3 Confectionary Company Pull
Shop No. 72
Circular Road PCI Y Y PCI Y Warsi Marey
4 Telecom Company Pull
64/216
Sunny Cold Gadariya PCI Y Y N/A N
5 Drink Mohal
89 Canal
Road Nr. PCI Y Y PCI Y Dwivedi Tea Marwadi
6 Stall School
Om General 63/5 Mall CCX Y N N/A N 7 Store Road
63/5 Mall PCI Y Y PCI Y 8 Rahul Pco Road
Bhola Pan 63/5 King CCX Y N N/A N 9 Shop Market
Basantu Pan Nr. Sunder PCI Y Y PCI Y 10 Shop Cinema
62 Mahesh Pan 63/2 Mall PCI Y Y PCI Y 11 Shop Road
Virendra Pan 63/2 Mall PCI Y Y PCI Y 12 Shop Road
63/2 Mall PCI Y Y PCI Y 13 K K Pan Shop Road
Anand 63/2 Mall PCI Y Y N/A Y 14 Restaurent Road
Ankit 63/2 Mall PCI Y Y N/A Y 15 Bhojnalay Road
Vipin Kumar 63/2 Ghasiari PCI Y Y PCI Y 16 Tea Stall Mandi
Jaanvi Cold 426-A Mall CCX Y N PCI Y 17 Drink Road
Sandeep Cold PCI Y Y PCI Y 18 Drink 95 Mall Road
127 Mall PCI Y Y N/A Y 19 Paras Milk Bar Road
Rajkumar Pan PCI Y Y N/A Y 20 Shop Mall Road
Ghasiari
Bablu Pan mandi PCI Y Y N/A Y
21 Shop Chauraha
Shiv Shanker Laxmi Coffey PCI Y N N/A Y 22 Gupta House
Batch No.21
Bajpai Shop No. 2 PCI Y Y N/A Y
23 General Store Canall Road
Shop No. 96 PCI Y Y N/A Y 24 Hari PCO Express Road
25 Baba Tea Stall Express Road PCI Y Y N/A Y
Krishna
Misthan 20 Express CCX Y Y N/A Y
26 Bhandar Road
63 Akshut Tea 13 Express PCI Y Y N/A Y 27 Stall Road
Neta Pan 16/5 Canal PCI Y N N/A N 28 Shop Road
Block No. 15
Amreesh Shop No.5 PCI Y Y N/A Y
29 General Store Canal Road
Sonal Monal Block No. 209 PCI Y Y PCI Y 30 Tea Stall Express Road
Block No. 1
Gupta General Shop No. 1 PCI Y Y N/A Y
31 Store Canal Road
61/107
Hulaganj PCI Y Y N/A Y Ashok Sitaram
32 General Store Mohal
Ashu General 66/214 PCI Y Y N/A N 33 Store Bhusatoli
Ghasiyari PCI Y Y N/A Y 34 Bablu Egg Mandi
71/1 Teliyana PCI Y Y N/A Y 35 Arjun Sweet Canal Road
Soni General 30/12 Canal PCI Y Y N/A Y 36 Store Road
60/37 Canal PCI Y Y N/A Y 37 Rohit Tea Stall Road
Ambrish 60/31 Canal PCI Y Y N/A Y 38 General Store Road
Block NO. 29
Satish Cold Shop no.-1 PCI Y Y N/A Y
39 Drink Canal Road
Govind Pan 72/4 CCX Y Y N/A Y 40 Shop Ghantaghar
Aqib Javed Shop No. 77 PCI Y N N/A N 41 Confectionar Circular Road 64 Marey
Company Pull
63/61
Ramesh Harbansh PCI Y Y N/A Y
42 Kirana Store Mohal
62/197
Sri Shyam Harbansh PCI Y Y N/A Y
43 General Store Mohal
Raju General 61/183 PCI Y Y PCI Y 44 Store Hulaganj
Agrahari 61/183 PCI Y Y N/A Y 45 General Store Hulaganj
Sri Ganesh 61/121 D PCI Y Y N/A Y 46 Shanker G St. Hulaganj
Mullu Pan 66/181 PCI Y Y N/A Y 47 Shop Motimohal
Utakarsh 67/49 CCX Y Y N/A Y 48 General Store Bhusatoli
Sri Durga 66/304 PCI Y Y N/A Y 49 General Store Bhusatoli
Geeta General 67/71 PCI Y Y N/A Y 50 Store Bhusatoli
Block No.-1
Ajay General Shop No-2 PCI Y Y N/A Y
51 Store Canal Road
Santosh 71/44 PCI Y Y N/A Y 52 General Store Teliyana
Deepak
(Guddu) Pan 67/115 PCI Y Y N/A Y
53 Sh. Bhusatoli
71/187
Teliyana PCI Y Y N/A N
54 Priya Hotel Canal Road
72/2 Kailash PCI Y Y N/A Y 55 Mishra PCO Building 65 Raju General 72/2 Kailash CCX Y N CCX N 56 Store Building
Badkau Pan CCX Y Y N/A Y 57 Shop Ghantaghar
Shri Ram 65/49 PCI Y Y N/A N 58 General Store Motimohal
Prem Kirana 65/47 PCI Y Y N/A Y 59 Store Motimohal
64/218
Vidhya Sahu Gadariya PCI Y Y N/A N
60 General St. Mohal
64/240
Ravi General Gadariya CCX Y Y N/A Y
61 Store Mohal
64/18
Binda General Gadariya PCI Y Y N/A Y
62 Store Mohal
R K General 69/134 PCI Y Y N/A Y 63 Store Danakhori
Daya Shanker 70/48 Mathuri PCI Y Y PCI Y 64 Cold Drink Mohal
72/2
Sutarkhana PCI Y Y N/A Y Ramu General Kailash
65 Store Building
72/3
GhantaGhar PCI Y Y N/A N Baburam Tea Sutarkhana
66 Stall Road
Shukla Pan 73/27 CCX Y Y N/A Y 67 Shop Ghantaghar
Surendra 6/46 Teliyana PCI Y Y N/A Y 68 General Store Chauraha
66 Sadhna 66/25 -A CCX Y Y N/A Y 69 General Store Bhusatoli
Maya Cold 25/17 Canal PCI Y Y N/A Y 70 Drink Road
Narayan Sutarkhana PCI Y Y N/A Y 71 Sweet Canal Road
Express Road
Jaiswal Ghasiyari CCX N N CCX N
72 General Store Mandi
72/2 Kailash CCX N N CCX N 73 Marwah Hotel Building
Sunil 64/75-A
Provision Gadariya CCX N N CCX N
74 Store Mohal
61/13 Sitaram
Mohal CCX N N CCX N
75 Pappu Vedio Hulaganj
14/16 KDA
Utsav General Market CCX N N N/A N
76 Store Hulaganj
Harish 16/4 Canal CCX N N N/A N 77 Telecom Road
16/21 Canal CCX N N N/A N 78 Anoop Jaiswal Road
Shri
Mahalaxmi 97 Express CCX N N N/A N
79 Store Road
Dauji CCX N N N/A N 80 Mishthan Canal Road
66/172
Kachiyana CCX N N N/A N Prateek Mohal
81 General Store Motimohal
Rajesh Pan 61/18 CCX N N N/A N 82 Shop Hulaganj 67 Munna 70/50 CCX N N N/A N 83 General Store Sutarkhana
70/71 CCX N N N/A N 84 Shri Pan Shop Sutarkhana
VISI LOCATION
Ist Location of Pepsi Visi: 68 %
Ist Location of Coke Visi: 32 %
VISI PURITY
Pepsi Visi-Purity: 85.00%
Coke Visi-Purity: 15.00%
68 69 VISI CHARGING >70%
Pepsi : 76 %
Coke : 24 %
70 RACK CHARGING
Pepsi: 18% Coke: 6% Not Allotted 76%
71 SWOT ANALYSIS OF PEPSICO
An analysis that includes environmental analysis, competitive analysis and analysis of corporate strengths, weakness, threats and opportunities.
S.NO. STRENGTHS WEAKNESSES
Demands of specific products are not 1 Big Brand Name in India. fulfilled.
Company has goodwill among the Communication Gap between 2 public. Distributor and Retailer.
Top management decides strategic
planning and its implementation 3 regarding the availability, affordability
of its brands.
4 Good Schemes. Leakage Problem.
Increasing Market Share. Distributor does not work properly in 5 60 % market covered in India. season.
6 Strong Distribution channel. Stock shortage problem in season.
7 Good Advertisement. Shortage of fridge or VISI in market.
Company has automatic plant for 8 No maintenance of fridge or VISI. production.
Top management is very effective it Sales representatives of company are take decisions on every aspect of 9 not performing according their business like social responsibility, efficiency so sales effected. sales promotion marketing, finance
72 distribution etc.
S.NO. OPPORTUNITIES THREATS
NIMBOOZ is a good option for 1 Competitor (Coca-Cola). LIMCA.
The forthcoming market would be the
market of consumers. So the 2 Expend the market in rural area. schemes must be consumers
oriented.
Main competitor of Pepsi is Coke.
Now a day’s coke is Improving
3 Attractive Schemes. planning, strategies & its
implementation. Company should
also change the market strategies.
Now a day’s awareness of
consumers increasing rapidly so Increase number of VISI and create 4 consumers are quantity conscious so Pepsi Monopoly market. company should plan according
customer’s preferences.
5 Increasing Market Share60 % market Change Demand.
73 covered in India.
Company should consider on non- 6 user of cold drink
Company can capture more market
7 share when introduces 200ml. For
children at reasonable price
Company must be decided to
established more visi in the market so 8 that retailers pay more attention
towards our products.
SWOT ANALYSIS OF COCA-COLA
S.NO. STRENGTHS WEAKNESSES
1 Big brand name in India and Abroad.
Communication Gap between 2 Outstanding Reputations. Distributor and Retailer.
3 Broader Product Line. Schemes are a Big Issue.
4 Good Schemes. Purification Problem.
Distributor does not work properly in 5 Increasing Market Share. season.
45 % market covered in India and 60 % 6 Stock shortage problem in season. market in Abroad.
7 Strong Distribution channel.
8 Good Advertisement.
Company has automatic plant for 9 production.
74 S.NO. OPPORTUNITIES THREATS
1 LIMCA is a good option for Pepsi. Competitor (PepsiCo).
2 Expend the Market in All area. Nimbooz
3 Attractive Schemes. Wholesaler.
Increase number of VISI and create 4 Consistent in Test. Pepsi Monopoly market.
5 Increasing number of Distributors. Change Demand.
Finding and Interpretation
1 In terms of availability Pepsi is the most captured brands in the market
2 Pepsi's Aquafina is the most captured brand in the market, while on the other hand
most of the retailers are not interested in selling Aquafina because of less margin
compare to other brands.
3 Most of the retailers are happy with the services of the PepsiCo, while some
reported that the distributors are not very cooperative.
4 Most of the retailers having company's cooling equipment are not satisfied with after
sale services. In peak season of May and June most of Pepsi Company's were not
working properly.
5 Most of the retailers reported that they have not received any display material or
hoarding since last one year or so.
6 Leakage and damage bottles are not return in distributor’s side.
7 In some cases few retailer shown me Insect or fungus in the sealed glass bottle and 75 reported against the cleanliness of glass bottles of PepsiCo.
8 The most demanded pack of cold drink is of 200ml of glass bottle as it is in easy
reach of common or lower class customer.
9 Schemes are not provided timely.
CONCLUSION OF THE STUDY
As the results shows that market share of Pepsi cold drinks is more than the coca- cola, but it has some drawback like poor services in some areas, no maintenance of cooling equipment, cleanliness of glass bottles, recent allegations on the PepsiCo, etc. are the hurdle in path of growth of PepsiCo in India.
If we talk about its distribution network in Kanpur city, as survey results shows it is satisfactory but in some areas retailers reported that the distributor is not giving heed to their problems and uncooperative. And the delivery is not very regular in the peak season in some areas and retailer are facing stock outs.
Advertisement which is backbone of any business in today's world is very good in
PepsiCo India. Pepsi is running various sales promotional schemes and promotional campaign for retailers, so that the company can meet the expectations of the retailer as compare to its competitor. Among the different pack of cold drinks most selling pack is 200 ml glass bottle as it is in reach of common man. Most of the retailer have suggested for the better services.
76 Kanpur city has the very good market for cold drinks and it can be captured by good promotional schemes and better services. The only competitor of PEPSI is COCA-COLA, & no local brands can beat PEPSI.
Suggestions
On the Basis of above study following suggestions can be given:
1 Perform a detail demand survey at regular interval to know about the unique needs
and requirements of the customer.
2 Better schemes should be introduced in the market & schemes should be provided
timely.
3 There should be regular visit of company's high official to the market for listening to
the problems of the retailers.
4 The company should be always in a position to receive continuous feedback and
suggestions from its customers / consumers as well as from.
5 The market and try to solve it without any delay to establish its own good credibility.
6 Display material should be provided in large quantity so that it motivate retailer also
helpful in receiving customer attention and ultimately better sales.
7 More cooling equipment should be provided to retailers, so that retailer can stock
Pepsi brands more and it also play role of display material.
8 There should be regular inspection of Pepsi's cooling equipments for malfunctioning
and maintenance of the same for the longer period of time.
9 Company should contact and try for new businesses. Like Railways, Airport and in
Airlines, Bus Depot, Hotels, restaurant, etc.
10 Rural people should be made aware of cold drink, they may be good prospects and
some low price policies should be made for them.
Recommendations
77 1 Pepsi, the choice of youth is not providing the first choice of young generation. Youth
want something strong in cold drinks & thus prefers strong taste. Pepsi should come
out with some extra strong taste to catch up maximum young generation and to
become exactly Generation Next drink.
2 The distribution channel should be focused on general stores because most of the
people purchase soft drinks from general stores.
3 The company should update the people about pesticides time to time because most
of the people still afraid of pesticides.
4 Most of the elders in the family take soft drinks but not pepsi they considered more
orange and less strong taste company should come up with new taste keeping
elders in its mind to increase sale and market share.
5 People are Confused about the role of pepsi in health company should clear the soft
drink role whether it is beneficial for health or not.
6 Pepsi co should improved its advertisement quality, it should be realistic not
imaginary.
7 People get updated by T.V. pepsico should increase the updating by publicity as well
as by Hoardings.
8 Consistency (Nimbooz, Coke Diet).
9 Number of Visi.
10 Services of Visi.
11 Demand effectiveness improper.
12 Retailer depends on supplier.
13 Create Monopoly market with the help of Visi.
14 Schemes attract to retailer.
78 SPECIMEN OF QUESTIONNAIRE
Name of Dealer:
______
Contact Person:
______
Address:
______
Landmark:
______
Contact No.:
______
Kind of Shop:
Eatery Confectionary
Grocery Others
Which brand you purchase:
PEPSI Both
79 COCA-COLA
Which flavor you purchase more
COLA Orange
Lime & Lemon Mango
Which volume of Pack preferred by customers:
200ml 600ml
300ml 2Ltr.
Age group of your customers:
Below 15 yrs 25-35 yrs
15-25 yrs 35 yrs & Above
Customer's preference depends upon:
Brand Availability
Advertisement Scheme
If customer's preference depends upon schemes, than which age group is mainly
affected by it.
Below 15 yrs 25-35 yrs
80 15-25 yrs 35 yrs & Above
Average monthly consumption of PEPSI & COCA-COLA ………………. PEPSI ………………. COCA-COLA
Do you make some extra efforts to sell/promote the PEPSI:
Yes
No If yes, then what type: ………………………………………………………………………….
………………………………………………………………………….
Asset No. (Freezer No.)(Only for Pepsi) …………………………….
Any suggestion to the company: ………………………………………………………………………….
………………………………………………………………………….
81 BIBLIOGRAPHY
Websites
http://www.pepsico.com/ http://www.pepsi.com/ http://www.google.com/ http://www.Cocacola.com http://www.cocacolaindia.com
Books Referred
Marketing Management – Philip Kotler
ResearchMethodology–Kothari
82