Distribution Channel of Coca-Cola And

Recommendations

INTRODUCTION • The Coca-Cola Company (TCCC) is the world‟s

largest beverage company, refreshing consumers with more than 500 sparkling and still beverage brands.

• Founded in 1886, registered on March 27,1944 and to India in 1993.

• Globally, TCCC is the No. 1 provider of sparkling beverages, ready-to-drink coffees, juices and juice drinks.

• Muhtar Kent is the CEO of the coca cola company.

• The Company serves the customers through a strong network of over 2.6 million retail outlets.

• Provides direct Employ to more than 25,000 people & indirect employ to more than 1,50,000.

• Serve more than 1.9 billion Consumers in a Day.

Distribution System• The chain of businesses or

intermediaries through which a good or service passes until it reaches the end consumer.

• A distribution channel can include wholesalers, retailers, distributors and even the internet.

Different types of channel of distribution

1. Direct Channel or Zero Level Channels

• When the manufacturer instead of selling the goods to the intermediary sells it directly to the consumer then this is known as Zero Level Channel

• Retail outlets, mail order selling, internet selling and selling

 

2. Indirect Channels• When a manufacturer gets the help

of one or more middlemen to move goods from the production place to the place of consumption.

Types of Indirect Distribution Channel1. One level Channel 2. Two level channel3. Three level channel4. Multi Level channel

Distribution system of Coca Cola

COCA-COLA DISTRIBUTOR USES THE

2 ROUTES  

1. DIRECT Direct route is from does not have

any retailer in the route of the supply of the soft drink from Plant to the Market.

2. INDIRECT Indirect route have many

intermediate distributer and retailers from the plant to the market.

Distribution In Delhi-NCR

• To make the full coverage of the Delhi and NCR ; Coca-Cola has 59 routes.

• There are 45 Pre-sellers in this region.  • For the supply of the Soft drinks on the Delhi and

NCR , its has contracted with vehicle • and has their own vehicle. There are 56 owned

vehicle of Coca-Cola.• Every transportation van has one driver with two

loaders. • There is no return policy of Coca-cola. Any loss

will be the retailer's loss.

Problems To Distributers

• Company gives the discount and incentive at the end of the month.  

• There are many bad debts for the retailers.

Recommendation And reasons Of New Channel

Strategy 

• Coca- cola can solve the distributor-retailer clash by conducting a proper market survey and by this they can come to the general cause of clash.

• The company should focus more on rural market as there the product depth is not visible accurately.

• Online service can be proposed. • The fast food shops in local areas can be targeted for coca-

cola distribution as a partner.  • Coca- cola can target the local wine shop for making more

sales. • Coolers are a major reason of dissatisfaction among

retailers. The periodical maintenance check of V.C. coolers is done at three months. This should be done at an interval of 45 days or 60 days instead of the current practice of 90 day.

• There should be and correct feedback from the retailers on the performance of salesmen. This will help improve their efficiency and accountability.

• Company should adopt aggressive marketing strategy that it could reach each and every place.

• Company should have better logistics facility for making reach the product at retailer‟s door at a right time.

• Company should more focus on youth of the country because youths more prefer the soft drinks.

• Company should focus on the consumers taste and preferences and launch new product according to the consumer taste and need.