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Summer Internships 2010 PGDM 2009-11

Summer Internship Project Report

On

“Brand Promotion” & “Market Research”

Undertaken at

THE LUMBINI BEVERAGES PVT. LTD.

PATNA

Prepared by: RUPESH KUMAR

PGDM (09-11/43)

Company Guide: Faculty Guide: MANISH SAHAI Prof. RAJESH AGRAWAL (MDM Patna) (IILM-CMS-AHL)

HARISH SINGH (CE Patna)

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SUMMER INTERNSHIP 2010

Company Feedback Format

(To be provided on Company Letterhead)

Dear Sir,

On behalf of IILM-CMS, we would like to thank you for giving Mr.

............................... an opportunity to learn under your guidance as a

part of Summer Internship Program. We are sure that Mr. RUPESH

KUMAR (PGDM-09-43) has lived up to your expectations.

We request you to spare a few more minutes and provide us with a

formal feedback regarding the candidates conduct and performance as

per your interaction with him so as to enable us to focus on further

development of the candidate based on your inputs.

Thanks in Anticipation.

For:

Career Management Centre,

IILM College of Management Studies,

Greater Noida.

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Company Feedback Format (To be provided on Company Letterhead)

Company: LUMBINI BEVERAGE PVT.LTD.

Location: Hajipur Industrial Area

Intern Name: Mr. RUPESH KUMAR(PGDM-09-43)

Internship Commencement Date: 15/04/2010

Internship Completion Date: 15/06/2010

Evaluation Parameter Rating(out of 10 on each parameter)

Knowledge & Content

Knowledge of Industry

Practical Application of

Knowledge

Learning on the Job

Ability to grasp new Idea

Communication Skills

Interpersonal Skills

Writing Skills

Presentation Skills

Attitude Ability to put in hard work

Attendance/Reliability/

Dependability

Team Spirit

Receptibility

Miscellaneous Supervisory Skills

Target Achievement

Employability

Total

Remarks/Suggestions

Assessor’s Name : MANISH SAHAY

Designation with Seal :MDM, Patna

Contact Number : 09334385347 E-mail : manishsahay@lumbini.net

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LUMBINI BEVERAGES PVT. LTD.

Hajipur Industrial Area, Hajipur-844101,Bihar

MDM'S CERTIFICATE

THIS IS TO CERTIFY THAT MR. RUPESH KUMAR (PGDM09-

11), STUDENT OF IILM-CMS, GREATER NOIDA (UP), ROLL NO.- 43

HAS COMPLETED HIS PROJECT HIS SUMMER TRAINING DURING

IN 2 MONTHS ON THE TOPIC OF "BRAND PROMOTION AND

MARKET RESEARCH” ON SOFT DRINKS IN PATNA UNDER

LUMBINI BEVERAGES PVT. LTD., HAJIPUR AT PATNA. HERE HIS

PERFORMANCE IS SATISFACTORY.

I WISH HIM ALL SUCCESS IN HIS LIFE.

FOR LUMBINI BEVERAGES PVT. LTD., HAJIPUR

MR. MANISH SAHAY

(MDM, PATNA)

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ACKNOWLEDGEMENT

The summer project at LUMBINI BEVERAGE PVT. LTD. at

PATNA has been an enriching the experience the learning of the project

will go a long way enabling me to future endeavours. No project sees the

light of the day without the help of certain individuals. I would like to

express my sincere gratitude to people who were instrumental in making

this project possible.

I would like to thank Mr. N. K. PRASAD (Manager HRD) for giving

me the opportunity to do the project with LUMBINI BEVERAGE PVT.

LTD. at PATNA.

I would like to acknowledge the immense help and assistance of Mr.

MANISH SAHAY (MDM, PATNA) and Mr. HARISH SINGH (C.E.)

whose timeless efforts were invaluable in the completion of this project,

for providing professional knowledge and assistance without which this

project would not have been a success. It was a great learning

experience and I would like to appreciate LUMBINI BEVERAGE PVT.

LTD. Team of PATNA for their excellent work environment facilities.

I would like to thank all my faculty members for their kind support

during tenure of my project.

RUPESH KUMAR

PGDM (09-11)/43

IILM-CMS, GREATER NOIDA

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DECLARATION

I am, RUPESH KUMAR, hereby declare that this project is

the record of authentic work carried out by use during the

academic year 2009-11 and has not been submitted to any

other university or institute towards the award of any degree.

RUPESH KUMAR

PGDM (09-11)/43

IILM-CMS, GREATER

NOIDA

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CONTENT TOPIC ------------------------------------------------------------- PAGE NO.

PREFACE ----------------------------------------------------------- 08

INTRODUCTION---------------------------------------------------- 09

HISTORY-------------------------------------------------------------- 17

COMPANY PROFILE---------------------------------------------- 46

THEORETICAL PERSPECTIVE-------------------------------- 71

RESEARCH METHODOLOGY---------------------------------- 77

DATA ANALYSIS & INTERPRETATION--------------------- 94

SUGGESION & RECOMMENDATION------------------------ 113

CONCLUSION------------------------------------------------------- 115

QUESTIOIRE--------------------------------------------------------- 116

REFERENCES------------------------------------------------------- 119

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PREFACE

As an integral part as curriculum all PGDM a participant are

required to undergo practical summer training in any industry for 6 to 8

week’s period. The main objective of this training is to supplement

theoretical knowledge with exposure to practical operator of an

organization or industry. Candidate tale much help from this training

when he get the job after completed the curriculum in this training

candidate get the better opportunity to in meet the Retailer consumer,

whole seller, dealer by which candidates gain more and more

information about the market. By this practical Experience candidate

confident level is improved. Consequently we can say this training

provide better understanding of all functional areas of management

skills.

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INTRODUCTION

Objectives of the Study

Importance of the Study

Scope of the Study

PepsiCo Mission Statement

PepsiCo Corporate Vision

Limitation of the Study

INTRODUCTION

India with a population of more the 100 crores in potentially one of

the largest consumer market in the world. With urbanization and

development of economy, tastes and interest of the people changes

according to the advance nation.

Marketing is about winning this new environment. It is about

understanding what consumer's wants a supplying it's more efficiently

and more conveniently.

The consumer market may be identified as the market for product

and services that are purchased by individuals as household for their

personal consumption. Soft drinks are typical consumer products

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purchased by individual primarily quench their thirst the market and

more or less content of an soft drinks is same, The market of soft drink is

facing a cutthroat competition and many companies are floating in the

market with their products with different brand names. In such a situation

different factors which influence the people choice for soft drinks are

taste, quality, images easy availability and the product cost of

advertisement. The Govt. of India has considered the soft drinks industry

as "Non essential" as a result the excise duty levied by Govt. on better

soft drinks is very high.

Thus in a country like India where more than 50% of the total

population exists below poverty line, the consumer cannot afford such

high price for soft drinks. As a result the trading activities of the soft

drinks industry are concentrated in and around big cities and town where

the purchasing power of population is considered comparatively high.

Soft drinks industries in India has an annual sale of about 4000

crores with per capita consumption of soft drinks at a low of seven bottle

per annum (even Pakistan has a per capita consumption of 14; in China

and U.S.A. is more than 800 bottles) is due to price factor.

So, marketing is both philosophy and technology. It is technology

because it suggests ways and means for effective production and

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distribution of goods and services in the market to give maximum

satisfaction to the consumer.

The marketing manager is responsible for both determining and

suitability of goods and services in the market to give maximum

satisfaction to the consumer.

The marketing manager is responsible for both determining and

suitability of goods and services presented by the company to the

market, and also determining about potential market and make better

relation with retailer.

In this regard the marketing management with have to apply to

marketing technology in the conceptual philosophy of a system. It is the

process of system analysis in the marketing management for effective

research and can be defined. "Systematic objective and exhaustive

study of tasks relevant to any problem in the field of marketing".

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OBJECTIVES OF THE STUDY

A project cum training is an essential part of PGDM. This study

was conducted on "A Study of Brand Promotion and Market

research for Pepsi in Patna with special reference to LUMBINI

BEVERAGE PVT. LTD."

On the following objectives survey was undertaken one:

1. To determine the factors which persuade the dealer for sale of Pepsi?

2. To find out the Company's position in the soft drink market.

3. To find out the exclusive outlets of Pepsi and its competitors.

4. To find out the promotional activities in Pepsi.

5. To find out the market share of Pepsi against its competitor.

6. To identify the organizational features of Pepsi.

7. To find out promotional activities of competitors.

8. To know the satisfaction level of the dealers.

9. To estimate their rating regarding our services.

10. To estimate the awareness level of the projects.

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IMPORTANCE OF THE STUDY

The 6 to 8 weeks summer training is very important for a student of

PGDM. This type of study gives some practical knowledge to PGDM

students and practical knowledge is more useful than theoretical

knowledge for anyone.

There is no certain formula for any particular problem but the aim

of this study is to develop the ability of decision-making. Right decision

at right time itself helps an organization to run smoothly.

The training in any organization gives us an idea of different

marketing activities and main emphasis is given on "Promotional

Activities" aspect and also it is seen how business is taken tactfully when

any problem comes to an executive. The way of problem solving right

decision making and knowledge of different types of marketing activities

gives much importance in this study. Though only in eight weeks it was

not possible in understand it so deeply but an over all ideas would be

developed.

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PEPSICOP MISSION STATEMENT

"PepsiCo" overall mission is to increase the value of our

shareholder's investment. We do this through sales growth, cost controls

and wise investment of resources. We believe our commercial success

depend upon offering quality and value to wholesome, economical, and

efficient and environmentally sound; and providing a fair returns to our

investors while adhering to the highest standards of integrity".

PEPSICO CORPORATE VISION

"Our vision is to be a truly global company by continuing to built a

competitive and profitable world wide refreshment beverages business".

Overall mission is to increase the value of our shareholder.

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LIMITATION OF THE STUDY

Although all efforts have been made to study all start of population

as compared to the topic of study, universe size & sample size findings

of study will be considered only on the Urban Area and will be applied in

Patna only because of Dealers perception and expectation varies in

other place due to socio-economic and educational background. At last

but not the least the study will try to find out the real depth of the actual

position as far as possible.

The survey suffers from following limitation:

1. Since the product under study was a consumer goods which requires

a large sample to have a correct study, a sample size of 161

respondents was too small for it. But time & money did not allow

researcher to have a large sample. And also to manage a large sample

would also be difficult by researcher alone.

2. Duration of study also limited for further intensive study.

3. Mostly stress was given on primary data, as it was difficult to

collect Secondary data from organization & distributors.

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4. The sample selected is not purely random sample but it is convenient

so that the result of the survey don't have any high degree if statistical

significance.

5. The result of survey are based upon crucial assumption like -

(a) The respondents know right answer to the question put to them.

(b) They are willing to give the right answer.

(c) Strictly based on the responses of the Dealers.

(d) Difficult to ascertain the authenticity of their statement.

6. It is very difficult to influence and get right answer from old

mentality Dealers.

7. Region i.e., urban area therefore the result are applicable to Patna

region only, these findings may not have much relevance in other

regions of different from rest of the country.

8. All the conclusions, suggestions & recommendations will be made

in the feedback obtained from survey on the basis of responses given

by the respondents.

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HISTORY History of Pepsi

History of Pepsi in India

History of Soft Drinks in Bihar

History of the Lumbini Beverages Pvt.Ltd.

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HISTORY OF PEPSI

In 1893, Caleb Bradham, a young pharmacist from New Bern,

North Carolina, begins experimenting with many different soft drink

concoctions; patrons and friends sample them at his drugstore soda

fountain.

1898 - One of Caleb's formulations, known as "Brad's Drink," 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 a trademark Pepsi-Cola into a full-

fledged business. He applies for a trademark with the U.S. patent Office,

Washington D.C., and forms the first Pepsi-Cola Company.

The first Pepsi-Cola newspaper advertisements appeared in the

New Bern Weekly Journal.

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1903 - "Doe" 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.

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The federal govt. - 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, biasfree of any such -

impurities, claimed they already met federal requirements.

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.

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.

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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. Goth, President of Loft, assumes leadership of

Pepsi and commands there formulation of Pepsi-Cola syrup formula.

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1933 - By the end of the year, Goth'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 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 $2,100,060.

1938 - Walter S. Mack, Jr., V.P. of Phoenix Securities Corporation

is elected President of the Pepsi-Cola company. Mack, who considers

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advertising the keystone of the soft drink business, turns Pepsi into a

modem 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," TM the first advertising jingle ever broadcast nationwide

on the radio. The jingle was "Nickel Nickel" an advertisement for Pepsi

Cola that referred to the price of Pepsi and the quantity for that price

"Nickel Nickel" became a hit record and was recorded into fifty-five

languages.

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.

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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.

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 ground

breaking "Pepsi Generation" ad campaign.

1963 - After climbing the Pepsi ladder from fountain syrup

salesman, Donald M. Kendall is named CEO of Pepsi-Cola Company.

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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 international 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 lightweight, recyclable, plastic bottles. Vic

Bonomo is named President of Pepsi-Cola. The Pepsi World

Headquarters moves from Manhattan to Purchase, NY.

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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.

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1983 - Mountain Dew launches the "Dew it to it"

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 Nutra Sweet (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 there-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

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featuring Lional 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.

7UP international is acquired in Canada. Pepsi-Cola acquires Mug

Root Beer.

1987 - Pepsi-Cola President Roger Emico 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 a 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 Sinclair is named President of Pepsi-Cola International.

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Pepsi-Cola introduces an exciting new flavor, Wild Cherry Pepsi.

1990 - American Music A ward 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".

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.

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, finely

establishing Pepsi's presence on the Internet.

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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 donates his salary

to provide scholarships for children of PepsiCo employees.

Pepsi introduces Pepsi One - the first one calorie drink without that

diet taste!

2000 - Although Pepsi is a great place to work, Steven Truitt (aka

'struitt') 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.

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HISTORY OF PEPSI IN INDIA

As an MNC, on the globe Pepsi foods Ltd. one of the largest soft

Wink companies in the world with its head quarters in New York.

Pepsi entered the Indian soft drink market in 1988 and began its

production in May 1990 and soon it was giving the local contenders the

run for their money in the soft drink market. It comes out with dazzling

marketing innovation that rocket the cola market line selling the product

through function, Pepsi outlets. Pepsi's success in creating a brand

almost from scratch in India is the stuff that marketing case studies that

is made of. Given the problems of doing business in markets like ours,

Pepsi entered the market as an under-dog. Its first even advantage it

entered before Coke returned - was considerable reduced by the

enormous export obligations stepped on the company. Yet right from

beginning, Pepsi demonstrated a far more focused approached. So

while it entered the market like any other MNC, it was quick to - adapt, it

realized that consumers, particularly the youth, to whom it consciously

reached out would identify better with a brand that they see as global,

yet Indian, Pepsi was built as a desi brand. Hence it deliberate attempt

to build ad campaigns using the popular Hinglish. In the process,

slogans like, "YEHI HAl RIGHT CHOICE BABY". "YEH DIL MAANGE

MORE - AHA" and "YEH PYAAS HAl BADI".

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Became part of India's popular consciousness. When Pepsi lost

the bidding battle to sponsor a Cricket tournament to Coke, the loss

triumphs with the catch line, nothing official about it". It cashed in on the

untapped consumer aspiration in smal1er towns, the hinterlands of

metropolitan cities and nowadays the slogan, which is on air, is "YEH

HAl YOUNGISTAN MERI JAAN".

It showed a rare ability not only to survive, but also grow through

India's tortuous policy twists and turns. Which threw many other MNC's

off balance? Its top management team did not suffer from the frequent

changes seen at rival, Coke consequently, it was able to unlike Coke,

which, paid enormous prices to buyout established local brands, and

Pepsi brought its own stuff over, and pushed those aggressively with

dealers, retailers and consumers. Right now, it can bark its outstanding

success in building a brand that has become synonymous with soft

drinks across the length and breadth of the country.

PEPSI DISTRIBUTION

COBO (Company Owned Business Operation)

The company has total control of its decision and its

implementation but it has to invest own money.

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The COBO structure is as under:

India has 17 COBO plants,

Pepsi Co food limited and Pepsi India holding (Production & Plant)

Pepsi India Marketing Co. Marketing Sales and Distribution.

FOBO (Franchise Owned Business Operation)

India has 32 FOBO plants.

The company can hold its ideas to the franchise who may be

reluctant to see company point of view, if it greater exporter.

NORTHERN LEVEL

Pepsi Company has divided North' India into three regions -

Western, Central, and Eastern regions are known as the COBO

(Company Owned Bottling Operation).

The Western region comprises of the FOBO. The FOBO bottling

operation comprises of those in :-

1. Barabanki - (U.P)

2. Barelly - (U.P)

3. Varanasi - (U.P)

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4. Ferozabad - (U.P)

5. Agra - (U.P)

6. Panagarh, Burdwan - (W.B.)

7. Panagarh, Calcutta - (W.B.)

8. Hajipur, Vaishali - (Bihar), Lumbini Beverages Pvt. Ltd.

YEAR WISE ADVERTISING OF PEPSI SINCE 1990

After -entering in India PEPSI started their advertising in planned

way to fulfill the objectives expressed by Vibrate Rishi, Executive Vice

President. Marketing Pepsi India’s “I believe in advertising that leaves

a smile on your face".

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In 1990:

The first commercial came on screen with actress Juhi Chawala

and Pop singer Remo. The theme was "Feel the music". "Are you

ready for the Magic?' Went the jingle and this ad ends with opening of

Pepsi bottle.

In 1992:

The famous and unforgettable punch line "Yehi Hai Right Choice

Baby - Aha!" was introduced with Remo and twelve years old Penny

vaz.

In 1993:

This time also Amir Khan, Aishwarya & Sanjana have done the

commercial on the theme "Can I have another Pepsi".

In 1994:

Here Pepsi introduced Cricket star Sachin Tendulkar, Kambli

and Azhar in which Sachin and Kambli fight for Pepsi bottle and in the

Meanwhile Azhar comes and takes the bottles. This ad also ended with

the same punch line "Yehi Hai Right Choice Baby - Aha!"

In 1995:

36

In this commercial when Akshay is given another soft drinks, then

the kid in the audience shouts "Hai Akshay Pepsi" and he gets back

his magic. And this aid also ends with the same punch line.

In 1996 :

Here, the commercial shows the enthusiasm of Shahrukh to get

Pepsi for his friend. He dodges the dog and with this he tries to show

that Pepsi is the active choice to get for which the customer can do

anything, and it is also revealed by the line "Pepsi To Mai Pee Ke

Rahunga".

In the same year the slogan "Nothing Official About it", was

introduced by Sachin, Azhar and Kambli.

In 1997:

In this year Pepsi celebrate the 50 years of Indian Independence

by the slogan "Azadi Dil Kay" with Shahrukh and Azhar.

In 1998:

In this year Pepsi has again involved many Cricket stars for

commercial with slogans "More Cricket More Pepsi", "Got a keep a

37

cool ahead", "Generation Next". Beside this it has flashed many

commercials Leander Paes and Mahesh Bhupati for Mirinda (Orange)

Mirinda for Mirinda (Lemon) the commercial aid done by the Bollywood

star Amitabh Bachchan gave tremendous real "Jhatka" to competitor

with help of punch line "Jor ka Jhatka Dheere se Lage" which is ruling

heart throbbing of millions. Apart from all these commercial Pepsi has

sponsored many Sharjah Cup at Sharjah.

PEPSI Independence Cup in India

YANNI Concert in Agra

Asia Cup in SRI LANKA

In 1999:

World Cup '99 was sponsored by Pepsi Co. The aid featured

Shahrukh Khan and Sachin Tendulkar and the Punch line "Yeh Dil

Mangey More" became very famous.

In 2000:

Aid featuring Shahrukh Khan with Punch line "Yeh.. .more".

In 2002:

Aid featuring Shahrukh Khan, Kareena Kapoor, Amitabh and

Sachin with the same Punch line.

38

In 2003:

Aid featuring Fardeen Khan, Saif Ali Khan, Kareena Kapoor,

Preeti Zinta with the punch line "Mausam Garam Hai Pepsi Ke Liye

Hum Besharam Hai."

In 2003:

ICC world Cup was also sponsored by Pepsi featuring Shahrukh

Khan in ad. Also an aid was featuring Sachin Tendulkar, Shane Warne

and Carl Hooper Punch line "Bhaga Diya Na".

In 2004:

The Yojana "Toss Ka Boss" has been sponsored by Pepsi for

"ICC Championship Trophy" in England in September. The winner of

this Yojana would get the opportunity to watch the TOSS with Saurav

Group on the pitch. After the collection of hundred coupons of "Toss Ka

Boss" Sticker any person may be winner this game.

In 2005:

This time the commercial advertisements have been done by

Amitabh Bachchan, Shahrukh Khan, Sachin Tendulkar, Yuvraj

39

Singh, Zaheer Khan, and Mohd. Kaif etc. on the theme: "Oye Bubli

Oye Bubli".

In 2007:

The commercial advertisement has been done on the theme :

"Yeh Pyass Hai Badi".

In 2008:

This time the commercial advertisement has been done by

Shahrukh Khan, Dipika Padukon and Ranbir Kapoor on the theme :

"Yeh Hai YounGistan Meri Jaan".

In 2009:

This time the commercial advertisement has been done by the M.

S. Dhoni (Captain of Indian Cricket Team) on the theme: "YEH HAl

YOUNGIST AN MER! JAAN"

In 2010:

This time the commercial advertisement has been done by M. S.

dhoni (Captain of Indian Cricket Team) & Ram Charan (Tamil Actor).

40

HISTORY OF SOFT DRINKS IN BIHAR

The soft drink market in India is quite wide. The production of soft

drinks was started on 27th March 1967 with the installation of Coca Cola

bottling plant at Jamshedpur under the suspicious guidance of late

industrialist Mr. Dharam Chand Kamani, Named as Steel City Beverage

Ltd. In 1977 with the advent of Janta Party Govt. It created trouble for

Coca-Cola which led to the withdrawal of its operation from India.

After the withdrawal of Coca-Cola from India, the Parle

monopolized the soft drink market in Bihar and took a lion's share of the

projects from the industry that even after McDowell's pure drinks and

local drinks entered into the market; they would not complete with Parle.

Once again with the liberalization of economy in 1991 Pepsi Food Ltd.

entered in the Indian market. It started bottling on 24th March 1991

owned by Kamanis in collaboration with the Birla group which was once

the bottling plant for Coca-Cola. Through Parle range of products still

captures a large share of Bihar's soft drinks. Market vet Pepsi range of

41

product is giving it a tough competition in all flavors i.e. Cola, Orange

and Lemon.

In 1995 another bottling plant was installed at Hajipur Industrial

Area Pepsi Food Ltd., named Lumbini Beverages Pvt. Ltd.

To meet the requirement of PEPSI range of products not fulfilled

by steel City Beverages Ltd.

And due to increase demand of these brands. At present in Bihar

there are two bottling plants, the Orient Beverages Ltd. for Parle, now

Hindustan Coca-Cola Beverage Pvt. Ltd. for Coca-Cola is in Patna and

Lumbini Beverage Pvt. Ltd. for Pepsi range of products, is located at

Hajipur Industrial Area.

42

HISTORY OF THE LUMBINI BEVERAGES PVT. LTD.

With the urbanization of economy in 1991, about thirteen year after

the exit of Coca-Cola from Indian seen, an MNC (Multi National

Company) globally known as PCI (Pepsi Cola International) entered the

Indian Market with its name, PFL (Pepsi Foods Ltd.) it started bottling its

products in Bihar by Steel City Beverages, Jamshedpur on 24th March

1991. Late D.N. Kamani installed this very bottling unit in 1969. The

company entered the soft drink with the introduction of Coca-Cola and

used to eater for the markets of ‘Bihar, parts of Bengal, Orissa and

Nepal. The company was the pioneer of soft drink in Bihar.

M/s Lumbini Beverages Pvt. Ltd. was established in the year of

1995. A gentleman of Kolkata, KHILANI BROTHERS were responsible

to set up this bottling plant of Hajipur Industrial Area, Vaishali having this

motto to cope up whole north Bihar's market and to satisfy the

prospective consumers immediately - The function of organization just

started in 1996 but the production went to produce in March 1998.

It is one of those bottling units of PFL which corns under, FOBO

(Franchise Owned Bottling Operation). This plant was installed with an

initial investment of Rs. 25 Crore. It started producing with its full

43

capacity i.e. 600 bottles per minute and it will be the first plant in Bihar

producing with such capacity.

It is operating with the help of distributors of all over Bihar

exclusively stocking Pepsi range of products. It sells its product through

different distributor of PEPSI in Patna. Though this plant was just

completed of establishment, yet in the very first season it has given its

competitor a very tough fight.

The product range produced by Lumbini Beverages Ltd. is as

under :

PEPSI

MIRINDA (Orange)

MOUNTAIN DEW

7UP

SLICE (Mango)

TROPICANA

SODA (LEHAR evervess)

AQUAFINA (Mineral Water

44

Price (In April, 2010)

Price/Case 200 ml 250 ml 300 ml 600 ml 1 ltr. 2 ltr.

Pepsi 168/24 262/24 492/24 504/9

7UP 168/24 262/24 492/24 504/9

Mirinda (O) 168/24 262/24 492/24 504/9

Slice 268/24 504/9

Mountain Dew 168/24

492/24 504/9

Aquafina (M.W.) 136/12

Soda (LEHAR everess)

130/24

Pepsi (Slim cane) 336/24

7UP (Slim cane) 336/24

45

Price/Case 200 ml 250 ml 300 ml 600 ml 1 ltr. 2 ltr.

Mountain Dew (Slim cane)

336/24

Slice (Slim cane) 336/24

Mirinda (O) (Slim cane)

336/24

TROPICANA

Mango 470/30 783/12

Mixed Fruit 470/30 783/12

Guavas 391/30 783/12

Apple 391/30 783/12

Orange 391/30 783/12

Litchi 391/30 783/12

Pine-apple 391/30 783/12

TROPICANA(SUGAR-FREE)

Mango 522/30 887/12

Mixed Fruit 522/30 887/12

Guavas 522/30 887/12

Apple 522/30 887/12

Orange 522/30 887/12

Litchi 522/30 887/12

Pine-apple 522/30 887/12

46

COMPANY PROFILE

Organizational Setup

Product Profile

Manufacturing Process of LBPL

Marketing Activators

Marketing Strategy

47

ORGANIZATIONAL SET UP

Managing Director

Director

CEO COO

HOS Production Manager Finance HRD

TDM MDM

BDM MDC

SALES PERSON

PSR

CE

MERCHANDISER

ME

48

PRODUCT PROFILE

S.No. No. of Product Quantity Colour Flavour

1 Pepsi Cola 200ml Burnt - Sugar Cola

2 Pepsi Cola 300ml Burnt - Sugar Cola

3 Pepsi Cola 600ml Burnt - Sugar Cola

4 Pepsi Cola 2000ml Burnt - Sugar Cola

5 Pepsi Cola (Slim Cane)

250ml Burnt - Sugar Cola

6 Pepsi Cola (Cane)

330ml Burnt - Sugar Cola

7 Pepsi Cola (Cane)

200ml Sunset Orange

8 Mirinda (Orange) 300ml Sunset Orange

9 Mirinda (Orange) 600ml Sunset Orange

10 Mirinda (Orange) 2000ml Sunset Orange

15 7 UP 200ml None Colour Lime

16 7 UP 300ml None Colour Lime

17 7 UP 600ml None Colour Lime

18 7 UP 2000ml None Colour Lime

19 7 UP (Slim Cane) 250ml None Colour Lime

20 7 UP (Cane) 330ml None Colour Lime

21 Mountain Dew 200ml None Colour Lime

22 Mountain Dew 600ml None Colour Lime

23 Mountain Dew 2000ml None Colour Lime

24 Slice 250ml Mango Mango

25 Slice 500ml Mango Mango

26 Slice 1200ml Mango Mango

49

27 Tropicana 200ml Brown

Orange Apple Mango Pineapple Mixed

28 Tropicana 1000ml Brown

Orange Apple Mango Pineapple Mixed

31 Soda (LEHAR evervess)

300ml …… ……

32 Soda (LEHAR evervess)

600ml …… ……

33 Aquafina 1000ml …… ……

MANUFACTURING PROCESS OF

LUMBINI BEVERAGES PVT. LTD.

Lumbini Beverages Pvt. Ltd. A private owned company at

Hajipur Industrial Area (Bihar) is a franchise of PEPSI Food India Ltd.

The company manufactures the product in two lines. The first line is

PET (600, 2 ltr.) and 2nd line is of 200 ml & 300 ml. The factory bottling

unit is capable of producing 1200 per minute (200 ml & 300ml). The

50

products are of PEPSI soft drinks, like Pepsi, 7UP (Orange, Lemon),

Slice" Mountain Dew, Tropicana, Soda (LEHAR evervess) & Aquafina

(Mineral water). The factory came into operation in 14th April, 1998.

COMPANY LEADERSHIP

PRODUCTION PROCESS

For any production to start it requires definite raw materials. A soft

drink bottling plant requires the following raw materials :

1. Sugar

2. Carbon dioxide gas

3. Water

51

4. Essence

5. Crown cork

6. Glass bottles and

7. Plastic Crates

1. Sugar :

High purity crystal sugar is required to produce the sugar syrup for soft

drinks. The main and a dependable supplier if M/s KCP Ltd. of Madras.

Requirement of sugar has been estimated at 786 gm per crate for all

flavors.

2. Carbon dioxide Gas :

Carbon dioxide gas is the required purity is sourced from Mumbai,

Nagaland, Bhatinda etc.

3. Water :

The entire requirement of water is met from the high yielding deep

tube wells with pumps which have been considered in the plant. The

raw water is chemically treated and water quality is strictly adhered to

through regular sampling and analysis.

52

4. Essence :

Pepsi food Ltd. supplies all flavors of essence from plant at

Channo, Bhawanigarh, and Punjab through road transport.

5. Crown Cork :

Crown corks are being mainly source from the following

manufactures.

a. Manksia Crown Ltd., Bhopal

b. Manksia Closures Ltd., Hyderabad

c. Adit Metal Decor Ltd. Ghaziabad

6. Glass Bottles :

Lumbini Beverages Pvt. Ltd. takes flint & green glass bottle from

Hindustan National Glass Ltd. , Tapovan (Hrishikesh).

7. Plastic Crates :

Lumbini Beverages Pvt. Ltd, takes plastics crates from Neelkamal

plastic Ltd., Nasik, Supreme Industries Ltd., Nasik.

53

METHOD OF PRODUCTION

Since Lumbini Beveages Pvt. Ltd. is a franchise of Pepsi Food Ltd.

their standard process for bottling is followed :

Process :

1. Treatment of water.

2. Preparation of syrup

3. Preparation of carbon dioxide charged liquid.

4. Washing of Bottles

5. Filing the bottles.

6. Testing of products

1. Treatment of water :

Stored water from the tube well is being treated in the water

treatment plant. The process involved is known as coagulation. Main

chemical used are Ferrous Sulphate, Calcium Hydroxide and

Chlorine.

Initially water is treated with these chemicals in the treatment tank.

The water now becomes turbid.

54

Next it is send to sewed-filter to remove the turbidity. All impurities

get settles at the base and are removed. Then it is send to the carbon

tank where all the micro-organisms and chlorines are removes. The

water so obtained is completely free from any kind of impurity and can

be sued for further processing.. The maximum alkalinity maintained is all

much as 50 r.p.m.

2. Preparation of Syrup :

There is a separate SYRUP ROOM FOR PREPARATION OF

SYRUP. Here syrup is prepared from treated water, sugar and

concentrates. This room is well equipped with several tanks and filter.

The first one is "heating tank" in which syrup is actually prepared.

Calculated amount of sugar along with concentrate and water being

heated up to 85 degree. Thus, a saturated solution is being prepared.

Next it is send through a machine called "filter press" where the syrup is

filtered.

Filter syrup is next passed through a Para flow cooler where, by

recycling and by glycol to 20-25 degree. Cooled syrup is then stored

in the syrup tank. These are fine steel made syrup tanks. These tanks

are washed every week.

55

3. Preparation of Carbon dioxide charged liquid :

From syrup tank, syrup comes to the purified carbon dioxide gas

under pressure in a define proportion.

4. Washing of bottles :

It is completely on auto process, which takes place within a

machine called washer machine. The machine has three compartments.

Bottles for washing are placed on the conveyer which goes inside the

machine and gets successive treatment Bottles are treated with 4%

Caustic Soda in the first compartment at a temperature about 100-150

degree F. Next these are sending to the second compartment where

bottles are again treated with 2% caustic soda of 120 degree F. In the

third compartment bottles are treated with soft water. Time duration in each

compartment is 10 minutes.

5. Filing the bottles :

Carbonated syrup is filled in the filter machine from this machine syrup

is poured into the bottles in calculated amount. The exact rate of filling in

600 bottles p.m. Meanwhile crowner machine helps in closing the tight

with the help of crown.

6. Testing of products :

56

Finally the finished syrup during bottling is tested in laboratory to meet

the parameters and also to get standard and quality products. To

maintain the standard and uniformity in products the sugar contents and

carbonation in the filled bottle are checked in regular intervals by certified

by bricks- hydrometers, refractor meters & pressure gas. The dead

weight tester is needed calculate pressure gas to know meter. Electronic

Digital Balance is used to weight chemical to conduct test in lab. A CO

purity tester checks the purity of CO.

The microbiology test of the products and water used in syrup

making and production are also done to ensure that the product is free

from any bacteriological contamination. To conduct the micro test, hot

sterilizer, incubator, autoclave, pads filter membranes media are

produced and used.

The diesel generator is operated in case of electricity failure for

smooth operation of plant. To drawn electricity for the state Electricity

Board the transformer used.

Furnace Oil / Diesel Oil is used in boiler for generation steam.

Thus we see that from beginning to end of the products in process, entire

operation is untouched by human hands. Only when the bottles are sealed

they are lifted off by the hands and placed in the cases.

57

MARKETING ACTIVITIES

MARKET SEGMENTATION

PROMOTIONAL ACTIVITIES

MERCHANDISING POLICY

DISTRIBUTION CHANNEL OF LBPL

58

MARKET SEGMENTATION

The soft drink being a FMCG product has a wider and scattered

market. Thus to enable concentrated effort of marketing activities in

different scattered market. The entire market is -broken down into the

following segments.

(A) Route Market

(B) Home Market

(C) At Work Market

(A) ROUTE MARKET :

Outlets in this market cater to those people who are engaged

in Shopping, eating, outgoing to and from work, in amusement enters

etc.

59

(B) HOME MARKET :

Outlets in this market cater to people buying prominently for home

consumption either by case or loose bottles.

(C) AT WORK MARKET :

Outlets in this market cater to people working in Offices, Factories etc.

An attempt is always made to make soft drinks readily and conveniently

available all day long while people are actively working.

PROMOTIONAL ACTIVITIES

Promotional activities play a greater and important role in the

marketing effort carried out by PEPSI CO. It is for more create and

maintain an image of its products.

PROMOTIONAL ACTIVITIES CARRIED OUT BY

"LUMBINI BEVERAGES PVT. LTD."

LBPL carry out its promotional activities as a controlled and

integrated program of communication and material design to present its

soft drink to the prospective customer.

The tools used by Lumbini Beverages Pvt. Ltd., for fulfilling the

various purposed of its Promotional activities are the following :

60

(i) Point of purchase :

A sensible man doesn't have to go for too find out whatever a

common Panwala knows that people buy with their eyes. Every item of

sale in a shop is displayed in front where people can see it at the first sight.

It is the same with all the shops and vendors in towns either selling

consumer goods or selling soft drinks. Rather in selling all products

like PEPSI display in more help it is an essential element because soft

drink is bought a impulse on the spur of the movement. Thus the product

is tested when it is brought at people's attention.

(ii) Special event market:

The Dealer at special event sport places the Banners and Stall of

Pepsi's products. Like Picnic, Cricket Match, Social Activities are also

used to cater the people. It helps in promoting the sale as well as in

creating an image of products.

PROMOTIONAL ACTIVITIES CARRIED IN PATNA

Point of purchase (POP)

Special events (Fair show, Road show etc.)

Hoarding

Newspaper, TV, Radio etc.

61

MERCHANDISING POLICY

In today's fast moving industry and highly competitive market, only

those products are likely to be purchased which are capable of hitting

the impulse of the consumers. The products appeal should be able to

penetrate and get embedded into the perpetual space of the consumer's

mind. The concerned product should induce to the consumers. Pepsi

believes that "Jo Dikhta Hai Wahi Bikta Hai" i.e. any product which is

visible is bound to be sold.

METHODS OF MERCHANDISING :

Visicooler placement

62

Glow signboard

Paintings

Crate Stacking

Umbrella

Banners

Display

Special Schemes

DISTRIBUTION CHANNEL OF

LUMBINI BEVERAGES PVT. LTD.

To make its products available at the right place, at the right time

in the market, at the right place, the sales department of the company

plays major attention towards controlling the channel of distribution.

The company right from its beginning stage maintains single type

of marketing channel. The nature of channel is as follows :

63

ABOUT DISTRIBUTORS :

At first, soft drink is supplied to distributors. Retailers or Dealers

cannot take the delivery from the company. They have to take it from

their respective of nearest distributors. The distributors selected on the

basis of assurance given by them regarding minimum sales, which they

have mention annually. The selection is also done on the financial

position and reputation of distributing in the market. As for the example,

first priority is given to those people who are in cigarette business.

Depending upon market each distributor in its initial stage, deposit some

security money. This amount varies between five thousand to ten

thousand. The distributors at first have to seek the permission to the

sales department for the number of cases of soft drinks required by

them. After getting for the proper authority from the sales department,

COMPANY

DISTRIBUTOR

RETAILER/DEALERS

COSUMERS

64

they take the delivery from the shipping department paying the requisite

either in cash or as demand draft.

The distributors can be dropped if they fail to achieve the required

target of sales. They can be also dropped when they don't follow the

instructions given by the company or when they charge high price or

when they are engaged in black marketing, loading etc. But the

company has not dropped any of its distributors till now.

The supply of soft drinks to the distributors depends upon the ups

and downs in the sales. But, in the initial stages, the distributors have to

sell up to a minimum target set by the company or as decided by an

agreement between the company and the' distributors. In the last stages

soft drink is supplied as and when demanded by the distributors.

ABOUT RETAILERS OR DEALERS :

The distributors select the retailers. There is no relation between

the company and its retailers. On the other hand there are no definite

and fixed criteria from the selection for appointment of retailers from the

side of distributors. Anyone like "Panwala", "Cigarette Shop" or any

other shopkeeper can have the stall for the sale of soft drinks and they

are called retailers or dealers. They have to give assurance to the

concerning distributors for better sales and at the time or taking delivery

65

they have to deposit the security that is the change for the empty bottles

with specified purchasing price.

Generally, there is no compulsion on that part of distributors to

provide the transportation facilities to their retailers, but the distributors

of the big areas like Patna, Muzaffarpur and Begusarai.

Patna provides the transportation facilities to their respective

dealers, distributors and retailers are independent to sell as they want

but are controlled to some extent by the company also, as they have to

give some assurance regarding minimum sale. It happens so because

they are given some incentives also. They are fully independent to gear

up the market, as they want.

MARKETING STRATEGY

Marketing strategy is the complete and unbeatable plan designed

specifically for attaining the marketing objective of the firm. The

66

market objective indicates what the firm indicates, what the firm wants

to achieves the marketing strategy provides for achieving them.

The marketing strategy is not able idea it is a well outlined plan,

and there are different ways to formulating it. Basically formulating of

marketing strategy consists of two main steps.

Selecting a Target market; assembling the marketing mix, actually,

the target marketing and marketing mix together constitute the

marketing strategy of the firm.

When the Pepsi Food Company entered in the fudian soft drink

market the market was already prevailed by coke and previously it

was parle, Pepsi tried to establish in fudia with a unique marketing

policy, Pepsi took into consideration of youth segment target market.

Though the advertisement of Pepsi highlighte4 the style of living of

young generation with different walk of life. Pepsi brought in its

advertisement different stalwart's personalities from fields like young

clue stars, sport stars and famous personalities from different fields. It

has attracted the young generation and of course increase the sale of

Pepsi, Pepsi also organized the national and international sports

programmed to attract the young generation.

67

MARKETING STRATEGY

The set of controllable tactical tools : A product, place service and

promotion (4p's) that the firm blends to produce the response it wants in

the target market. These are the following 4ps.

1. Product : That could meet the identified needs of chosen

consuming groups.

2. Price : The amount of money charged for a product or

services or the sum of the values that consumers exchange for the benefits

of having or using the product or service.

3. Place : It performs various functions like transportation

warehousing, channel management etc. the product could conveniently

reach the consumer.

4. Promotion : The firm carries, out a no. of measures like

personal setting, advertising and sales promotion programmed with view to

communicate the consumer and promoter of the product.

It is the mechanism to achieve the consumption of marketing

process striking the level of price that is accepted to the firm as well as

consumer.

68

4P's policies of the Pepsi products :

Products :

There are three lines of products of soft drinks are produced in

Lumbini Beverages Pvt. Ltd. That is matched with international quality

product line. These are the followings :

Pepsi : 200ml, 300mI, 600ml, 2000ml,

250ml (Slim cane), 330ml (Cane).

Mirinda : 200ml, 300ml, 600ml, 2000ml

7UP : 200ml, 300ml, 600ml, 2000ml,

200ml (Slim cane), 330ml (Cane).

Mountain Dew : 200mI, 600ml, 2000ml

Slice : 250ml, 500ml, 1200ml

Tropicana : 200mI, 1000ml.

Soda (LEHAR evervess) : 300ml, 600ml.

Aquafina (Mineral water) : 1000ml.

Price :

69

Pepsi charges the reasonable prices for a product or service to the

dealers/retailers against their competitors and has positioned their

product in the market.

Place :

Pepsi has strong channel of distribution and view intermediaries

that command the distribution work.

Bottler Distributor Retailer or Dealer Consumer

By this simple distribution, Pepsi is doing well. The company is

trying to reach at every route urban and village areas. The company has

succeeded to some extent in reaching its target.

Promotion :

In the specific sense sales promotion methods are those sales

activities that supplement both — personal selling and advertising and

coordination them and help to make them effective such as display,

shows, Position and demonstrations and other recurrent selling efforts

not in ordinary route.

Pepsi has taken variety of tools had techniques of sales promotion.

Like for example Sales Promotion Letters, Catalogs, Point of Purchase

70

(POP), Display, Customer Service Programmed and Demonstration Free

Sample.

Followings are some promotional activities of Pepsi :

Scheme : Pepsi under Lumbini Beverages has offered a lot of schemes

for sales promotion.

DEALER OR RETAILER SALES PROMOTION

Free (sometimes) - 1 Bottles free on per case purchase on

200ml.

Free (sometimes) - 2 Bottles free on per case purchase on 300ml

Cola

71

THEORETICAL PERSPECTIVE

Promotional Activities of Dealers

Promotional Activities in LBPL

72

PROMOTIONAL ACTIVITIES OF DEALERS

Promotional activities consist of various means of communication

persuasively with the target audience. The important methods are :

(a) Advertisement : Where an identified sponsor pays media (TV) to

transmit to target consumer.

(b) Personal selling : Where sales representatives employed by the

engage in interpersonal communication with individual consumer

and prospective customers.

(c) Sales promotion : Where the market utilize demonstrations,

premiums, contests or similar devices.

(d) Publicity and public relation : Help to stimulate supportive items

about the firm and its product that have greater credit with public

than advertisement.

Of all the methods of promotional activities that constitute the

promotion mix, sales promotion is the only one method that makes use

of incentive complete the "Push pull promotional strategy" of motivating

the sales for the distributor and the consumer transacting a sale.

According to "American Marketing Association" sales promotion

refers "Those activities other than personal selling, advertising and

73

publicity, that stimulate consumer purchasing and dealer

effectiveness, such as display, shows and Exhibition,

demonstration and various other non "recurrent selling efforts not

in ordinary 'sales promotion' is also known by the name of 'Extra

Purchasing Value' (E.P.V.)".

MEANING AND OBJECTIVE OF SALES PROMOTION

Sl.No.Sales

PromotionMeaning Objectives

1 Price off offersOffering at lower than the

normal price.

To encourage

immediate sales, attract

on users, induce new

product trial.

2 Quantity off offer

Offering more quantity of the

same product at no extra cost

or a very normal increase in

the price the larger quantity

packs.

To encourage more

longer duration selling

highest or excess

quantity movement from

the factory, trade up

dealer for higher quantity

pack size.

3 Premium

Offer of an article of

merchandise as an incentive

in order sell product or

service.

To encourage purchase,

stimulate loyality, off

season sales promotion,

induce trial of new

product, ensure reach of

premium to the dealer.

Sl.No. Sales Promotion

Meaning Objectives

1 Price off offers Offering at lower than the normal price.

To encourage immediate sales, attract on users, induce new product trial.

74

2 Quantity off offer

Offering more quantity of the same product at no extra cost or a very normal increase in the price the larger quantity packs.

To encourage more longer duration selling highest or excess quantity movement from the factory, trade up dealer for higher quantity pack size.

3 Premium

Offer of an article of merchandise as an incentive in order sell product or service.

To encourage purchase, stimulate loyality, off season sales promotion, induce trial of new product, ensure reach of premium to the dealer.

4 Coupons

Coupons are used by both the manufacturers and the distributors to the dealers for the sales promotion. Coupons may be distributed by sales represented on purchase.

To encourage trial, buld loyality, trade up regular users simulate repurchase rate, solicit enquires.

5 Consumer content and lucky draws

When individually are invited to complete on the basis of creative skills. The latter is based on the chance or luck factor.

To create brand awareness and stimulate interest in the brand acquaint dealers with brand uses and benefits build traffic at the store precipitate brand purchase obtain dealer feedback, promote advertisement theme of the company.

6 Discounts Other than normal trade and cash discounts.

To push more sales to trade early cash recovery.

7 Point of Purchase (POP)

Those special displays, racks, banners, exhibits, that replaced in the retail store to support the sale of a brand.

To attract traffic at the retail stores, remind customers, encourage impulse buying ensure visibility to the advertising campaign.

75

PROMOTIONAL ACTIVITIES IN

LUMBINI BEVERAGES PVT. LTD.

An advertising and sales promotion activity plays a vital role in

entire marketing efforts. Without these aspects a quality product can not

survive in the market. Advertising and sales promotion tools are most

essential for the modem global marketing. This chapter has therefore

been devoted to the studies of advertising and sales promotion activities

in M/s Lumbini Beverages Pvt. Ltd.

The two basic objectives for carrying out such various promotional

activities by Lumbini Beverages Pvt. Ltd. is "to generate more sales as

well as to create and maintain an image of its product". LB.P.L carries

out its promotional activities as controlled and integrated programmers

of communication and material design present its soft drink to the

prospective customers. It also helps in communicating the need

satisfying of soft drink to facilitate the .sales eventually to contribute

towards the profit in long run.

The tool used by L.B.P.L for fulfilling the various purposes of its

promotional activities are the following :

76

Free Bottle scheme.

Rack Display.

Umbrella Display.

Lucky Draw.

Prizes

Price cut offer.

77

RESEARCH METHODOLGY

Meaning of Research

Marketing Research

Role of Research in Marketing

Research Design

Research Hypothesis Development

Data Collection

Sampling Plan

Limitations

Research Methodology Used

78

MEANING OF RESEARCH

Research in common parlance refers to a search for knowledge.

One can also define research as a scientific and systematic search for

pertinent information on a specific topic.

MARKETING RESEARCH

According to American Marketing Association (AMA)

"Marketing research. is a systematic gathering, recording and

analyzing of data about problems relating to the marketing of

goods and services." it may be emphasized that it is not restricted to

any particular area of marketing , but is applicable to all its phases and

aspects.

In short, marketing research provides the requisite information for

making marketing decisions.

ROLE OF RESEARCH IN MARKETING

Through research, an executive can quickly get a synopsis of the

current scenario which improves his information base for making sound

decision affection future operations of the enterprise. The following are

the major areas in which research plays a key role in making effective

79

decision. Marking research has become very crucial in taking sound

marketing decisions.

Marketing research involves the proves of systematic collections,

compilation, analysis and interpretation of relevant data for marketing

decisions. Research tools are applied effectively for studies involving

demand forecasting, consumer buying behaviour, measuring advertising

effectiveness, media selection, test marketing; product positioning, and

new product potential.

RESEARCH DESIGN

Research design is the plain, structure, and strategy of

investigation conceived so as to obtain answer to research questions

and to control variance.

The definition consists of three important terms-plan, structure and

strategy. The plan is an outline of the research scheme on which the

researcher is to work. The structure of the research is a more specific

outline or the scheme and the strategy shows how the research will be

carried out, specifying the methods to be used in the collection and

analysis of data.

80

According to Bernard S. Philips - "Research design is the

blueprint for the collection, measurements and analysis of data. It aids

the scientist in the allocator of these limited resources by posing crucial

choice."

According to Green and Tull - “A research design is the

specification of methods and procedures for acquiring the information

needed. It is the overall operational pattern or framework of the project

that stimulates what information is to be collected from which sources by

what procedures".

From the above defamations it is clear that research design is

more or less a blueprint of research. It can be compared with the plan of

house, which lays down the method and procedure for the collection of

requisite information and its measurement and analysis with a view to

arriving at certain meaningful conclusions at the end of the proposed

study.

TYPES OF RESEARCH DESIGN

1. Research design incase of exploratory research study.

2. Research design in case of descriptive and diagnostic research

studies.

81

3. Research design in case of Hypothesis testing research studies.

An exploratory research design is used to find out various possible

alternatives solutions to gives problems.

The main objective of exploratory research is to generate

new ideas; respondents should be given sufficient freedom to express

themselves.

Descriptive designs are most frequently used and it serves the

following purpose.

To describe the characteristics of certain groups of interest to

the marketer e.g. users of the product, potential users. Non users,

possible receivers of promotional communication by the company and so

on.

To estimate to promotion of people in a given population who

behave in an certain way for example the proportion of consumers who are

prone to deals.

To make specific predications for specified future periods.

To develop inferences whether certain variables are associated

for example income and shopping place preference.

82

Hypothesis Development

Before pass on the next stage, it is worthwhile to briefly mention

the development of hypothesis. A hypothesis is a proposition that the

researcher wants to verify. The topic of the Project is "A study of

Dealer promotion and soft drinks in Patna with special reference to

Lumbini Beverage Pvt. Ltd." As per the topic the assumptions are :

1. To provide visicooler will be the better execution for dealer/retailer.

2. Necessary display material will be the better execution for

dealer/retailer.

3. Regular supply of the products on time in season (specially in May,

June and July) July execution will increase the sales volume of the

company.

4. Complaint handling can also be execution for dealer/retailer.

Now, the research design will be selected which will be help for

market study and then this study will prove that develop hypothesis is

true or not.

83

DATA COLLECTION

The information needed to further proceed in the project had been

collected through primary data and secondary data.

SOURCES OF DATA

(a) Primary data : Primary data are the fresh data collected for the

first time by designing open samples by the organization. These data are

very much crucial for the management and it assist the management in

decision making and analyzing any problem pertaining to the

management. It is directly collected from the respondent.

The survey method was used because it is the most useful method

to know the availability of the Pepsi brand against Coca-Cola brands. The

customers were chosen randomly for this purpose. For this purpose of

study under survey method the structural interviews were conducted with the

help of questionnaires. The questionnaires were designed for

dealers/retailers for asking question in a proper sequence. Apart from this

keen observation also helped in generation the needful information.

Primary Data Sources :

Following are the several methods of collecting primary data :

84

1. Observation Method

2. Interview Method

3. Questionnaire Method

4. Through Schedules

5. Other Methods which include :

a. Warranty Cards

b. Distributor audits

c. Pantry Audits

d. Consumer Panels

(b) Secondary data : Any data which have been gathered earlier by other

organization and which have been already processed.

The major advantages of this data is :

It is economical and easy to get.

It helps in accessing the problem of the organization prior to the

collection of primary data.

The limitations of Secondary data are :

Data fitness are not up to mark i.e. there is variation in the unit of

measurement because time gap, different sample size, different sample

design, etc.

85

Accuracy problem - one can not get the accurate data to use for

the conclusion or make strategic decision.

Secondary Data Sources :

Books, magazines, web sites of the company

Sales executives, sales representatives, distributors, sales

man and other company people and sales report of the company.

SAMPLING PLAN

Sampling plays a vital role in carrying out any marketing research

study. There would be hardly any marketing research study which does

not involve the use of sampling. It is the backbone of marketing

research, A market potential study aiming at finding the numbers,

distribution and socio-economic characteristics of potential customers of

a product would definitely involve the selection of some kind of sample.

A company interested introducing a new style of packaging for its

product would be interested in knowing the reactions of its customers - a

study of which would require the selection of some type of sample.

TYPES OF SAMPLE DESIGN

PROBABILITY SAMPLING

86

1. Simple Random sampling :

Researchers use a table of random numbers, random digit dialing,

or some other random selection procedure that ensure that each sampling

unit making up the defined target population has a known, equal non zero

chance of being selected into the sample.

2. Systematic Random sampling :

Using some form of an ordered list of the members of the defined

target population, researchers select a random starting point for the first

sampled member. After determining what the constant "skip interval"

value needs to be to ensure representative news, the skip interval is

applied to select every 10th member from the random starting point until

the necessary sample is drawn. This sampling method is used such that

the entire list is covered, no matter of the starting point. This method

accomplishes the same end goal of the SRS method, and is more

efficient.

3. Stratified Random Sampling :

When the defined target population is believed to have a no normal

(or skewed) distribution for one or more or its distinguishing characteristics

(e.g. age, income, and product ownership), researchers must identify

87

sub- populations, referred to as strata. After the strata are segmented, a

simple random sample is drawn for each stratum. Proportional and

disproportional weighting factors may be applied to estimate overall

population values.

4. Cluster Sampling :

This method requires that the dermed target population be segmented

into geographic areas, each of which is considered to be very similar to

the others. Researchers randomly select a few areas, and then conduct

a census of the elements in each area. As an alternative, researchers

can select more areas and take samples from each of those areas. The

sampling method is appealing when researchers can easily identify the

highly similar areas.

NON PROBABILITY SAMPLING

1. Convenience sampling :

A method in which samples are drawn at the convenience of the

researcher or interviewer, often as the study is being conducted. The

assumption underlying this method is that the deemed target population is

88

homogeneous and the individuals interviewed are similar to the overall target

population with regard to the characteristics being studied.

2. Judgmental sampling :

Participants are selected according to the researcher's or some other

experienced individual's belief that they will meet the requirements of the

study. The underlying assumption is the researcher's subjective belief

that the opinions of group of perceived experts on the topic of interest

are representative of the entire derided target population.

3. Quota sampling :

This is one of the commonly used sampling methods in marketing

research studies. Here the sample is selected on the basis of certain

basic parameters \such as age, sex, income and occupation) that

describe the nature of a population so as to make it representatives of the

population. The investigators of field workers are instructed to choose a

sample that conforms to these parameters. The field workers at assigned

quotas of the numbers of unite satisfying the required characteristics on

which data should be collected.

Advantages of Quota sampling

89

It is economical as traveling costs can be reduced. An

interviewer need not travel all over a town to track down pre-selected

respondents. However, if numerous controls are employed in a quota

sample, it will become more expensive through it will have less selection

bias.

It is administratively convenient. The labor of selecting a

random sample can avoid by sing quota sampling. Also, the problem of

non contacts and can backs can be dispensed with altogether.

When the field work is to be done quickly, perhaps in order to

minimize memory errors. Quota sampling is most appropriate and feasible.

It is independent of the existence of sampling farmers.

Wherever a suitable sampling frame is not available, quota is perhaps the

only choice available.

4. Snowball sampling :

A method that involves the practice of subjectively indenting and

qualifying a set of initial prospective respondents who can, in turn, help the

researcher identify additional people to be include in the study. After

interviewing one person, the interviewer would solicit the person's help to

identify' other people with similar characteristics, opinions or feelings.

90

Members of the dermed target population who might not hold similar beliefs

of feelings to those of the respondents are less likely to be included in this

type of sample.

Systematic Random sampling method has been used to do

survey for the purpose of research. I have contacted the people in

general to assess the execution popularity. Dealers/Retailers and

distributors have also been contact to have an idea of effectiveness

of execution of Pepsi.

LIMITATIONS

Although the study has been done with proper care, certain

shortcomings could not be ruled out which are beyond the reach of

researchers control.

(a) Limitation of Time : In a short span of 6 weeks the whole

universe can't be taken into consideration for the study which of course

would have given more accurate results.

(b) Limitation of sample size : Since a limited number of customer/

respondents and dealers/retailers were selected from the assign but not the

whole, so the result to be affected.

91

(c) Biased information : In some case biased information was

received from respondents. Also at times misleading responses were given.

In any case market study is not an exact science. It relates to

response given by the customer/respondents as against the questions

pertaining to their behaviour and reference. Most of these responses are

subjective in nature. Mathematical deductions are possible but the

accuracy of data is bound to suffer nom biases and prejudices of the

respondents, no matter what are the degrees of sophistication. Hence,

this being the universal deficiency of market research, my have affected

this particular research as well.

RESEARCH METHODOLOGY - USED

Marketing Research is a process of collecting and analyzing

marketing and ultimately to arrival at a certain conclusion. Lumbini

Beverages Pvt. Ltd. is a concern which is marketing the product having

different brands thus a survey method of marketing research is

essentially exploratory in nature thus, I opted for "Questionnaire"

method for conductive survey about the marketing of Pepsi though

dealers/retailers in Patna.

Data :

92

In this research I have used both the methods of data collection

i.e. primary & secondary. Primary data is collected through questionnaire

and secondary data through in house journals, sales person,

dealers/retailers. (Questionnaire is attached in appendix).

The basic focus of the survey was to find out the areas where the

sales of the Pepsi product .are not up to the mark.

SAMPLING METHOD :

Judge mental Sampling :

The samples were on judgment and convenience. A sample size

or 137 respondents was taken. The sampling unit was dealers/retailers

of Patna for which this sample size was considered a fair representative

of the mentioned area. The sample consisted of dealers/retailers spread

over the entire area of the distributor.

For analysis & interpretation of data the research used :

No. of respondents

Percentage = ---------------------------------------------------------- x 100

Total no. of respondents

Research design :

93

During the research I have used the descriptive and diagnostic

research which are concerned with describing the characteristic of a

particular individual, or of a group, where as diagnostic research studies

determine the frequency with which something occurs or its association

with something else.

In a descriptive or diagnostic study the first step is to specify the

objectives with sufficient precision to ensure that the data collected are

relevant.

94

DATA ANALYSIS &

INTERPRETATION

Key Analysis

SWOT Analysis

Findings

No. of Areas and percentage of respondents

On the basis of given project "A STUDY OF BRAND

PROMOTION AND SOFT DRINKS FOR PEPSI IN PATNA WITH

95

SPECIAL REFERENCE TO LUMBINI BEVERAGE PVT. LTD.", the

complete area was divided into 12 major geographical areas.

Sr.No. Area No. Of Shop Percentage 1 Chandmari road 9 5.59

2 Postal park 14 8.69

3 Tempoo Stand Road 10 6.21

4 Hanuman Nagar 7 4.34

5 South K Bagh Road 13 8.07

6 Colony Area 13 8.07

7 Chitragupta Nagar 10 6.21

8 Main Road K Bagh 14 8.69

9 Bhootnath Road 10 6.21

10 Karbigahiya 8 4.96

11 Mitha Pur 30 18.63

12 Kadam Kuan 23 14.28

Total 161 100

96

KEY ANALYSIS

1.Which brands of soft drinks do you deal in?

AREA WISE DATA PRESENTATION

Sr. No.

Area Total Only Pepsi

% Only Coca-cola

% Both % None %

1 Chandmari road

9 0 0 4 7.018 5 7.58 0 0

2 Postal park 14 1 5 5 8.772 7 10.6 1 5.56

3 Tempoo Stand Road

10 0 0 1 1.754 9 13.6 0 0

4 Hanuman Nagar

7 1 5 3 5.263 3 4.55 0 0

5 South K Bagh Road

13 1 5 5 8.772 6 9.09 1 5.56

6 Colony Area

13 0 0 6 10.53 6 9.09 1 5.56

7 Chitragupta Nagar

10 1 5 5 8.772 3 4.55 1 5.56

8 Main Road K Bagh

14 4 20 4 7.018 4 6.06 2 11.1

9 Bhootnath Road

10 2 10 3 5.263 5 7.58 0 0

10 Karbigahiya 8 0 0 3 5.263 1 1.52 4 22.2

11 Mitha Pur 30 5 25 12 21.05 7 10.6 6 33.3

12 Kadam Kuan

23 5 25 6 10.53 10 15.2 2 11.1

Total 161 20 100 57 100 66 100 18 100

0

2

4

6

8

10

12

14

1 2 3 4 5 6 7 8 9 10 11 12

1.Brands Deal In Pepsi

1.Brands Deal In Coca-cola

1.Brands Deal In Both

1.Brands Deal In None

97

DATA PRESENTATION OF THE WHOLE AREA

1.Brands Deal in

No of respodents Percentage

Only Pepsi 20 14

Only Coca-cola 57 40

Both 66 46

Total 143 100

INTERPRETATION:

According to observation most of the outlets in the above areas of

Patna (Kankarbagh, Mithapur & Kadam Kuan) sell both products Pepsi

and Coca-Cola, but Coca-Cola's products (especially Thumps Up &

Sprite) are sold more than Pepsi's products.

98

2. Which company has provided you the Refrigerator?

AREA WISE DATA PRESENTATION

Sr.

No

Area No.

Of

Shop

Only

Pepsi

% Only

Coca-

cola

% Both % None %

1 Chandmari

road

9 0 0 3 4.76 2 4.08 4 12.12

2 Postal park 14 1 6.25 5 7.93 5 10.2 3 9.091

3 Tempoo

Stand Road

10 0 0 4 6.34 4 8.16 2 6.061

4 Hanuman

Nagar

7 0 0 4 6.34 1 2.04 2 6.061

5 South K

Bagh Road

13 1 6.25 5 7.93 5 10.2 2 6.061

6 Colony Area 13 0 0 6 9.52 5 10.2 2 6.061

7 Chitragupta

Nagar

10 1 6.25 6 9.52 2 4.08 1 3.03

8 Main Road K

Bagh

14 3 18.8 4 6.34 4 8.16 3 9.091

9 Bhootnath

Road

10 1 6.25 4 6.34 4 8.16 1 3.03

10 Karbigahiya 8 0 0 4 6.34 0 0 4 12.12

11 Mitha Pur 30 4 25 12 19.01 7 14.3 7 21.21

12 Kadam Kuan 23 5 31.3 6 9.52 10 20.4 2 6.061

Total 161 16 100 63 100 49 100 33 100

99

DATA PRESENTATION OF THE WHOLE AREA

2.Refrigerator

No of respondents Percentage

Only Pepsi 16 12.5

Only Coca-cola 63 49

Both 49 38

Total 128 100

INTERPRETATION :

According to observation in different areas of Patna (Kankarbagh,

Mithapur & Kadam Kuan) Coca-Cola has provided more Refrigerator

against Pepsi, but the number of own freezing equipment is also in the

market.

100

3. Which company gives better triad margin?

AREA WISE DATA PRESENTATION

Sr. No.

Area No. Of Shop

Only Pepsi

% Only Coca-cola

% Both %

1 Chandmari road

9 2 3.08 2 4.87 3 13.64

2 Postal park 14 6 9.23 4 9.75 2 9.09

3 Tempoo Stand Road

10 4 6.15 3 7.31 2 9.09

4 Hanuman Nagar

7 1 1.54 2 4.87 2 9.09

5 South K Bagh Road

13 6 9.23 3 7.31 1 4.54

6 Colony Area 13 5 7.69 5 12.19

2 9.09

7 Chitragupta Nagar

10 3 4.62 4 9.75 0 0

8 Main Road K Bagh

14 7 10.8 3 7.31 0 0

9 Bhootnath Road

10 5 7.69 4 9.75 0 0

10 Karbigahiya 8 0 0 2 4.87 4 18.18

11 Mitha Pur 30 11 16.9 7 17.07

2 9.09

12 Kadam Kuan 23 15 23.1 2 4.87 4 18.18

Total 161 65 100 41 100 22 100

101

DATA PRESENTATION OF THE WHOLE AREA

3.Trade Margin

No of respodents Percentage

Only Pepsi 65 51

Only Coca-cola 41 32

Both 22 17

Total 128 100

INTERPRETATION :

According to observation in different areas of Patna (Kankarbagh,

Mithapur & Kadam Kuan) Pepsi gives better trade margin (51%) against

coca-cola (32%).

102

Q.4 Which company takes back damage products?

AREA WISE DATA PRESENTATION

Sr.

No

Area No. Of

Shop

Only

Pepsi

% Only

Coca-

cola

% Both %

1 Chandmari road 9 0 0 3 4.76 2 4.08

2 Postal park 14 1 6.25 5 7.93 5 10.20

3 Tempoo Stand Road 10 0 0 4 6.34 4 8.16

4 Hanuman Nagar 7 0 0 4 6.34 1 2.04

5 South K.Bagh Road 13 1 6.25 5 7.93 5 10.20

6 Colony Area 13 0 0 6 9.52 5 10.20

7 Chitragupta Nagar 10 1 6.25 6 9.52 2 4.08

8 Main Road K Bagh 14 3 18.8 4 6.34 4 8.16

9 Bhootnath Road 10 1 6.25 4 6.34 4 8.16

10 Karbigahiya 8 0 0 4 6.34 0 0

11 Mitha Pur 30 4 25 12 19.04 7 14.29

12 Kadam Kuan 23 5 31.3 6 9.52 10 20.41

Total 161 16 100 63 100 49 100

103

DATA PRESENTATION OF THE WHOLE AREA

4.Damage Return

No of respodents Percentage

Only Pepsi 16 13

Only Coca-cola 63 49

Both 49 38

Total 128 100

INTERPRETATION :

According to observation most of the dealers told that both Pepsi

and Coca-Cola takes back damage products on time, but some told that

Coca-Cola takes more response than Pepsi.

104

5. Which company provides you new scheme and offer

more?

AREA WISE DATA PRESENTATION

Sr.

No.

Area No. Of

Shop

Only

Pepsi

% Only

Coca-

cola

% Both %

1 Chandmari road 9 0 0 5 7.24 4 7.01

2 Postal park 14 1 5.88 5 7.24 7 12.28

3 Tempoo Stand Road 10 0 0 2 2.89 8 14.04

4 Hanuman Nagar 7 1 5.88 3 4.34 3 5.26

5 South K Bagh Road 13 1 5.88 7 10.14 4 7.01

6 Colony Area 13 0 0 6 8.69 6 10.53

7 Chitragupta Nagar 10 1 5.88 3 4.34 5 8.77

8 Main Road K Bagh 14 3 17.6 6 8.69 3 5.26

9 Bhootnath Road 10 2 11.8 5 7.24 3 5.26

10 Karbigahiya 8 0 0 0 0 4 7.01

11 Mitha Pur 30 4 23.5 15 21.73 5 8.77

12 Kadam Kuan 23 4 23.5 12 17.39 5 8.77

Total 161 17 100 69 100 57 100

105

DATA PRESENTATION OF THE WHOLE AREA

5.Offer & new Scheme

No of respodents New Scheme %

Only Pepsi 17 12 70.59

Only Coca-cola 69 20 28.99

Both 57 40 70.18

Total 143 0

INTERPRETATION :

According to observation most of the respondents (71%) told that

only Pepsi provides new scheme and offer in comparison of other

brands. But as a whole 70% respondent told both provide new scheme.

In this area Pepsi is better than Coca-cola.

106

6.Which company gives better response during complain

handeling?

AREA WISE DATA PRESENTATION

Sr.

No.

Area No. Of

Shop

Only

Pepsi

% Only

Coca-

cola

% Both %

1 Chandmari road 9 0 0 6 7.5 3 6.25

2 Postal park 14 1 6.67 7 8.75 5 10.42

3 Tempoo Stand Road 10 0 0 5 6.25 5 10.42

4 Hanuman Nagar 7 1 6.67 4 5 2 4.16

5 South K Bagh Road 13 1 6.67 7 8.75 4 8.33

6 Colony Area 13 0 0 7 8.75 5 10.42

7 Chitragupta Nagar 10 0 0 8 10 1 2.08

8 Main Road K Bagh 14 3 20 6 7.5 3 6.25

9 Bhootnath Road 10 2 13.3 5 6.25 3 6.25

10 Karbigahiya 8 0 0 4 5 0 0

11 Mitha Pur 30 3 20 14 17.5 7 14.58

12 Kadam Kuan 23 4 26.7 7 8.75 10 20.83

Total 161 15 100 80 100 48 100

107

DATA PRESENTATION OF THE WHOLE AREA

6.Complain Handling

No of respondents Percentage

Only Pepsi 15 10

Only Coca-cola 80 56

Both 48 34

Total 143 100

INTERPRETATION :

According to survey most of the respondents told that no any

company of soft drinks takes good response regarding complaint, but

some told Coca-Cola takes better response regarding complaint than

Pepsi.

108

7. Which company’s supply is better?

AREA WISE DATA PRESENTATION

Sr. No.

Area No. Of Shop

Only Pepsi

% Only Coca-cola

% Both %

1 Chandmari road 9 0 0 6 9.52 3 6.81

2 Postal park 14 1 2.78 7 11.11 5 11.36

3 Tempoo Stand Road

10 2 5.56 3 4.76 5 11.36

4 Hanuman Nagar 7 1 2.78 4 6.34 2 4.54

5 South K Bagh Road

13 3 8.33 5 7.93 4 9.09

6 Colony Area 13 3 8.33 5 7.93 4 9.09

7 Chitragupta Nagar

10 1 2.78 6 9.52 2 4.54

8 Main Road K Bagh

14 5 13.9 6 9.52 1 2.27

9 Bhootnath Road 10 3 8.33 3 4.76 4 9.09

10 Karbigahiya 8 0 0 3 4.76 1 2.27

11 Mitha Pur 30 8 22.2 10 15.8 6 13.64

12 Kadam Kuan 23 9 25 5 7.93 7 15.91

Total 161 36 100 63 100 44 100

109

DATA PRESENTATION OF THE WHOLE AREA

7.Better Supply

No of respondents Percentage

Only Pepsi 36 25

Only Coca-cola 63 44

Both 44 31

Total 143 100

INTERPRETATION :

According to survey most of the respondents told that Pepsi &

Coca-cola both supply are good but Coca-cola takes better response

regarding Pepsi.

110

SWOT ANALYSIS

After doing eight weeks field work & through survey I can make it

out the SWOT Analysis for Lumbini Beverages Pvt. Ltd. as well as for

Pepsi Brand.

STRENGTH

1. Though, It has strong brand equity and brand image. It can survive

in the most competitive situation.

2. Customer retention and customer satisfaction after sales service is

satisfaction.

3. Product quality is maintained.

4. Distribution is effective.

5. It provides good trade margin against Coca-Cola.

6. Satisfactory promotional activities.

7. In the organization capable leader's head & dedicated employees

are there.

8. Production house in well built. Still, the company has not fault by there

are many problems in dealers.

9. Pepsi also provides new schemes and after that helps in dealer

promotion.

WEAKNESS

1. Lacking of communication with dealer or retailer.

2. Timing of distribution is not logistic.

3. Lack of efficiency, enthusiasm in sales man.

111

4. Lack of cooling equipment.

5. Due to specific taste Pepsi is lagging behind its nearest competitor

brand Thumps-Up and sprite.

OPPORTUNITY

It has services when increasing number of wholesaler and dealers

or retailers.

THREATS

1. Pepsi give threats new competitor in the market.

2. Coca cola is grabbing market share of Pepsi.

FINDINGS

1. Pepsi has made an impact in all over India. Most of the

people they are going to prefer Pepsi brand.

2. Pepsi has built a brand image about itself due to good

positioning of its product and quality.

3. Only Pepsi provides new scheme and offer.

4. The route agent and sales representative give the

information about new scheme and offer to the dealers or retailers.

5. Most of the dealers or retailers were demanded visicooler

to keep only Pepsi's products.

6. There is lack of display material like board, banners, glow

signs etc. in most of the areas of Patna.

7. LBPL (Pepsi's) one of the company that gives highest

trade margin.

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8. There is the number of exclusive counter of Pepsi is less

than their competitor.

9. The demand of 200 ml. bottles of Pepsi is more.

10. 600 ml Bottles of Pepsi are sold more than 2 Itr.

bottles.

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SUGGESTION

&

RECOMMENDATIONS

The above study elicits that the department of Lumbini Beverages

Pvt. Ltd. should introduced some changes in its marketing activities to

make it more rational.

1. A healthy relationship should be developed by the company executive

with the retailers.

2. As most of the dealers have complaint that the salesman does not tell

them about schemes. For this before launching any scheme company

should advertise it by distributing Pamphlets to the dealers mentioning the

period of the scheme & time to time proper check is required.

3. No. of route for delivery of goods should be increased number for

proper catering in the entire area of Patna effectively efficiently.

4. Company should make fridge available at maximum outlet and

repairing of its misleaders (refrigerators) and glow signboard, which are

out of order in an outlet up to level, thus it is parallel of even better than

Competitors.

5. Proper supply of all brands of PEPSI specially Mountain-Dew,

Slice & Aquafina.

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6. The commitment of supplying gifts items or incentive should be

carried out on or before the scheduled time.

7. The distribution should keep literate and experienced sales man

because they can convince to retailers easily and sold out the product in

the market.

8. The company should supply it banners sign board etc. an

advertisement media impartially to all the parties of all areas which will as

usual became sales promotion tool for them.

9. Distributor and retail outlets feed back should be taken time to time

so as to trace the actual existing problem related to there and the market.

10. Company should develop policy, so that the soft drinks are made

available at all the outlets during the peak seasons.

11. Leakage and blasted bottles are per policy of the company are

taken back but generally these bottles may of the time are not taken back

as a result of inharmonious relation develop between the company and

retailers this should be rectified it has adverse effect in the brand of the

company.

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CONCLUSION

1. The majority of dealers or retailers deal in all the brand of Pepsi &

Coca-Cola.

2. It has been observed that a Coca-Cola flavor leads the other

entire flavors with a high margin in the market.

3. A taste of the soft drink is like key determination of the

consumption.

4. The study reveals that the immediate steps are not taken in the

replacement of damaged or breakage goods. The rival company Coca

cola is very quick in this area and efficient also.

5. Just in time and efficient delivery is affected.

6. The demand of Coke exceeds the demand of Pepsi.

7. The Lumbini Beverages Pvt. Ltd. pays attentions in different marketing

function also. These are :

(a) Anticipating & recognition of demand.

(b) Stimulation of demand.

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(c) Satisfaction of demand.

8. Companies at certain interval conduct market survey to evaluate

demand trend. Consumption pattern & nature of growing competition in

spite of the fact that soft drinks have already high & almost stable

demand.

So, company undertakes different promotional schemes to enjoy

them. I had confined my study to different specified direction. As for

Lumbini Beverages Pvt. Ltd. It can be said that it does not have any major

draw back in marketing activities; still, more efficient distribution by dealers

& more effective sales executive & sales forces are required. Though, the

over all grip maintenance is satisfactory & company can retire market share

& also can upgrade it.

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QUESTIONIRE

1. Which brands of soft drinks do you deal in?

a. Pepsi b. Coca-Cola c. Both d. Others (please

specify)

2. Which company has provided you the Refrigerator ?

a. Pepsi b. Coca-Cola c. Both d. Own freeze or Ice Box

3. Which company gives you the highest trade margin?

a. Pepsi b. Coca-Cola c. Both d. No One

4. Which company takes back damage products?

a. Pepsi b. Coca-Cola c. Both d. No One

5. Which company provides you new scheme and offer more?

a. Pepsi b. Coca-Cola c. Both d. No One

6. Which company gives better response during complain handling?

a. Pepsi b. Coca-Cola c. Both d. No One

7. Which company’s supply is better?

a. Pepsi b. Coca-Cola c. Both d. No One

8. Which size of the bottle has higher demand?

a. Pepsi b. Coca-Cola c. Both d. No One

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9. How many crates of soft drinks of different brands do you sell from

counter in season?

10. What improvement do you want from the company?

Note:

Name of the Shop:

Dealer's Retailer's Name:

Address:

Contact No.

Date

Signature

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REFERENCES

1. www.sirpepsi.com

2. www.pepsico.com

3. www.indiantelevision.com

4. www.desivideos.net

5. www.dinesh.com

6. MANISH SAHAY(MDM, PATNA)

7. HARISH SINGH(CE, PATNA)

8. SANJAY DUTTA

9. www.madehow.com

10. Economic Time

11. Annual report of company

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