Project Report Gowthami

7/28/2019 Project Report Gowthami

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STUDY ON AVAILABILITY UNDERRIGHT EXECUTION DAILY

PROGRAMME AND

UNBILLED COOLER OUTLETS AS PRE GROW BY EXCELLENT EXECUTION

PROGRAMME

With reference to

Hindustan Coca-Cola Beverages Pvt. Ltd, Ameenpur, Hyderabad

A Project Report submitted in partial fulfillment of the requirement for the award of

MASTERS DEGREE IN BUSINESS ADMINISTRATION

By

GOWTHAMI BUDARAPU

(Roll No: 1225111408)

Under the Guidance of

Dr. Y.V.V.S.S.S. Vara Prasad, M.Com, MBA., PhDAssociate Professor (HRM)

GITAM Institute of Management

GITAM INSTITUTE OF MANAGEMENT

GITAM UNIVERSITY

(Established U/S 3 of UGC Act, 1956)

VISAKHAPATNAM

(2011-12)


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Certificate by the company on their letter head

This is to certify that Gowthami Budarapu, MBA student (Enrollment No 1225111408),

GITAM Institute of Management, GITAM University has done the project from 02

May 2012 to 12 June 2012 on Availability Under Right Execution Daily Programme

& Study on Unbilled Cooler Outlets as per Grow by Excellent Execution Programme

in our Organization for submission in partial fulfillment for the award of Post Graduate

Degree of Master of Business Administration by GITAM University and his/her work

has been satisfactory.


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DECLARATION

I, Gowthami Budarapu a student of Masters of Business Administration (M.B.A.), GITAM

Institute of Management (GIM), GITAM University, hereby declare that the project work

initiated on Study on Availability Under Right Execution Daily Programme & Unbilled

Cooler Outlets as per Grow by Excellent Execution Programme at Hindustan Coca-Cola

Beverages Pvt. Ltd, Ameenpur, Hyderabad is a genuine work done by me in partial

fulfillment for the requirement of the degree of Masters of Business Administration. I

confirm this has not been published or submitted elsewhere for the award of any degree in

part or in full.

Name of the student: Gowthami Budarapu

Date:


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CERTIFICATE

This is to certify that the project Report titled Availability Under Right Execution

Daily Programme & Unbilled Cooler Outlets as per Grow by Excellent Execution

Programme is an original work carried out by Gowthami Budarapu (Enrollment No

1225111408), under my guidance and supervision, in partial fulfillment for the award of

the degree of Masters of Business Administration by GITAM Institute of Management,

GITAM University, Visakhapatnam, during the Academic year 2011-12. This report

has not been submitted to any other University or Institution for the award of any

Degree/Diploma/Certificate.

Signature of Guide

Name and Address of the Guide:

Name of Faculty: Dr. Y.V.V.S.S.S. Vara Prasad

Designation: Associate Professor (HRM)

GITAM Institute of Management

Visakhapatnam


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ACKNOWLEDGEMENT

It is my pleasure to acknowledge and express my gratitude to all those who helped me

throughout in the successful completion of this project.

I wish to express my gratitude to Prof. K Siva Rama Krishna, Dean & Principal, GITAM

Institute of Management, GITAM University, Visakhapatnam, for giving me this valuable

opportunity to experience the work culture in an organization.

I am grateful to Dr. Y.V.V.S.S.S. Vara Prasad, Associate Professor (HRM), GITAM Institute

of Management, GITAM University, Visakhapatnam for his continuous guidance toaccomplish this project work, successfully.

I am very thankful to Sri. P. Mahesh, Area Sales Manager (Marketing) ofHindustan Coca-

Cola Beverages Pvt. Ltd, Ameenpur, Patancheru, Hyderabad, for extending support

throughout the project.

I am thankful to Sri K. V. S. Mahesh, Sales Trainer & Sri T.Rajesh, Sales Trainer, Hindustan

Coca-Cola Beverages Pvt. Ltd, Ameenpur, Patancheru, Hyderabad, for providing information

regarding the project.

GOWTHAMI BUDARAPU

(Roll No: 1225111408)


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THEORITICAL FRAMEWORK

Marketing:

"Marketing is the process of planning and executing the conception, pricing, promotion, and

distribution of ideas, goods, services, organizations, and events to create and maintain

relationships that will satisfy individual and organizational objectives."

MARKETING THEORIES AND CONCEPTS

Needs

- A human need is a state of felt deprivation.

Ex: physical needs, social needs, individual needs

Wants

- As human needs are shaped by culture and individual personality, these take the form of

human wants.

- Wants are described in terms of objects that will satisfy the needs.

Ex: NeedFood

Want???

American will want a burger; Filipino will want adobe; Japanese will want sushi.

Needs vs. Wants

Some sellers confuse wants and needs. Consider this...

A customer does not need a drill bit; rather he needs a hole.

CORE MARKETING CONCEPTS

NEEDS

MARKETS WANTS

TRANSACTIONS DEMANDS

EXCHANGE PRODUCTS


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Demands

When backed by buying power, wants become demands. Consider this...

Unlimited wants Limited resources.

Consumers view products as bundles of benefits. They choose products that give them the

best bundle for their money.

Differentiate the perceived bundle of benefits given by these products.

Shirts: Bench, Lacoste / Soap: Safeguard, Neutrogena / Shampoo: Pantene, Palmolive

Various States of Demand

(1) Negative Demand

(2) No Demand

(3) Latent Demand

(4) Falling Demand

(5) Irregular Demand

(6) Full Demand

(7) Overfull Demand

(1) Negative Demand

A major part of the market dislikes the product and may even pay to avoid it.

Ex: vaccinations, dental work, seat belts

Challenge: Marketers must analyze why the market dislikes the product, and whether

product redesign, lower prices, or more positive promotion can change consumer attitudes.

(2) No Demand

Target consumers may be uninterested in the product.

Ex: Farmers may not want new farming method; students may not care for foreign

language courses.

Challenge: Marketer must find ways to connect the product's benefits with the market's

needs and interests.

(3) Latent Demand

Consumers have a want that is not satisfied by any existing product or service.

Ex: Non harmful cigarettes, safer neighbourhoods, biodegradable packages, fuel-efficientcars


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Challenge: Marketer must measure the size of the potential market and develop effective

goods and services that will satisfy demand.

(4) Falling Demand

Sooner or later, every organization faces falling demand for one of its products.

Ex: churches face membership decline, fewer applicants to colleges

Challenge: Marketer must find causes of market decline and re-stimulate demand by finding

new markets, changing product features, or creating more effective communications.

(5) Irregular Demand

Demand varies on a seasonal, daily, or even hourly basis, causing problems of idle or

overworked capacity.

Ex: MRT and museums

Challenge: Marketer must find ways to change the time pattern of demand through flexible

pricing, promotion, and other incentives.

(6) Full Demand

The organization has just the amount of demand it wants and can handle.

Challenge: Marketer works to maintain the current level of demand in the face of changing

consumer preferences and increasing competition. An organization maintains quality and

continually monitors consumer satisfaction.

(7) Overfull Demand

Demand is higher than the company can or wants to handle.

Ex: Overcrowding at parks, overloading of buses or ferries

Challenge: The marketing task, called de-marketing, is to find ways to reduce the demand

temporarily or permanently. Examples include raising prices and reducing promotions. Aim

is not to destroy demand but to reduce it.

Products

A product is anything that can be offered to a market for attention, acquisition, use, or

consumption and that might satisfy a need or want.

A product may be goods, services, persons, places, organizations, activities, ideas... anything

capable of satisfying a need.

Exchange

Exchange is the act of obtaining a desired object from someone by offering something in

return.


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Exchange is not the only means a person can obtain a desired object.

Consider these... hunting, stealing and begging.

Advantages of Exchange:

- No need to prey on other or beg from others

- No need to possess all skills to produce every necessity for himself

Exchange is the core concept of marketing.

Transactions

If exchange is the core concept of marketing, a transaction is marketing's unit of

measurement.

A transaction consists of a trade of values between two parties.

Monetary transaction vs. Barter transaction

Markets

A market is the set of actual and potential buyers of a product.

3 Kinds of Market

(1) Self-sufficiency

(2) Decentralized Exchange

(3) Centralized Exchange

Marketing Management Philosophies

(1) Production Concept

(2) Product Concept

(3) Selling Concept

(4) Marketing Concept

(5) Societal Marketing Concept

(1) Production Concept

The production concept holds that consumers favour products that are available and highly

affordable. Management should therefore focus on improving production and distribution

efficiency.

- Useful in 2 types of situations:

(1) When demand for a product exceeds the supply


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(2) When the product's cost is too high and improved productivity is needed to bring

it down

(2) Product Concept

The product concept holds that consumers favour products that offer the most quality,

performance, and features. Organizations should devote energy to making continuous product

improvements.

- can lead to marketing myopia

(3) Selling Concept

The selling concept holds that consumers will not buy enough of the organization's products

unless it undertakes a large selling and promotion effort.

- Practiced with unsought goodsthose which buyers do not normally think of buying (e.g.

encyclopaedias, funeral plots)

- Also practiced in the non-profit area (e.g. political candidates).

(4) Marketing Concept

The marketing concept holds that achieving organizational goals depends on determining the

needs and wants of target markets and delivering the desired satisfaction more effectively and

efficiently than competitors.

- adopted by Procter & Gamble, IBM, McDonald's, Disney

(5) Societal Marketing Concept

This concept holds that the organization should determine the needs, wants, and interests of

target markets. It should deliver the desired satisfactions more effectively and efficiently than

competitors in a way that maintains or improves the consumer's and the society's well-being.

- questions whether the pure marketing concept is adequate in an age of environmental

problems, resource shortages, rapid population growth, worldwide inflation, and neglected

social services

- claims the pure marketing concept overlooks possible conflicts between short-run consumerwants and long-run consumer welfare.

DIRECT MARKETING

Direct marketing is just what it sounds like - directly reaching a market (customers and

potential customers) on a personal (phone calls, private mailings) basis, or mass-media basis

(infomercials, magazine ads, etc.).

Direct marketing is often distinguished by aggressive tactics that attempt to reach new

customers usually by means of unsolicited direct communications. But it can also reach out to

existing or past customers. A key factor in direct marketing is a "call to action." That is,

direct marketing campaigns should offer an incentive or enticing message to get consumers to


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respond (act).Direct marketing involves the business attempting to locate, contact, offer, and

make incentive-based information available to consumers.

Types of Direct Marketing

Three main types of direct marketing include:

Telemarketing: Direct marketing that involves calling people at home or work to ask fordonations, an opinion, or for sales purposes.

Email Direct Marketing: This form of direct marketing targets consumers through theirEmail accounts. Email addresses can be harvested from websites, forums, or purchased.

Some companies require you to receive announcements to use their websites.

Direct Mail Marketing: Advertising material sent directly to home and businessaddresses.

Other types of direct marketing include: distributing flyers; door-to-door solicitations;

curbside stands; FAX broadcasting; television marketing (i.e., infomercials); coupon ads inprint media; and voice mail marketing.

CONCEPT AND COMPONENTS OF MARKETING MIX

Marketing involves a number of activities. To begin with, an organization may decide on its

target group of customers to be served. Once the target group is decided, the product is to be

placed in the market by providing the appropriate product, price, distribution and

promotional efforts. These are to be combined or mixed in an appropriate proportion so as to

achieve the marketing goal. Such mix of product, price, distribution and promotional efforts

is known as Marketing Mix.According to Philip Kotler Marketing Mix is the set of controllable variables that the firm

can use to influence the buyers response. The controllable variables in this context refer to

the 4 Ps [product, price, place (distribution) and promotion]. Each firm strives to build up

such a composition of 4Ps, which can create highest level of consumer satisfaction and at

the same time meet its organizational objectives. Thus, this mix is assembled keeping in

mind the needs of target customers, and it varies from one organization to another depending

upon its available resources and marketing objectives. Let us now have a brief idea about the

four components of marketing mix.

Product: Product refers to the goods and services offered by the organization. A pair of

shoes, a plate of dahi-vada, a lipstick, all are products. All these are purchased because they

satisfy one or more of our needs. We are paying not for the tangible product but for the

benefit it will provide. So, in simple words, product can be described as a bundle of benefits

which a marketer offers to the consumer for a price. While buying a pair of shoes, we are

actually buying comfort for our feet, while buying a lipstick we are actually paying for

beauty because lipstick is likely to make us look good. Product can also take the form of a

service like an air travel, telecommunication, etc. Thus, the term product refers to goods and

services offered by the organization for sale.

Price: Price is the amount charged for a product or service. It is the second most important

element in the marketing mix. Fixing the price of the product is a tricky job. Many factorslike demand for a product, cost involved, consumers ability to pay, prices charged by


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competitors for similar products, government restrictions etc. have to be kept in mind while

fixing the price. In fact, pricing is a very crucial decision area as it has its effect on demand

for the product and also on the profitability of the firm.

Place: Goods are produced to be sold to the consumers. They must be made available to the

consumers at a place where they can conveniently make purchase. Woollens are

manufactured on a large scale in Ludhiana and you purchase them at a store from the nearby

market in your town. So, it is necessary that the product is available at shops in your town.

This involves a chain of individuals and institutions like distributors, wholesalers and

retailers who constitute firms distribution network (also called a channel of distribution).

The organization has to decide whether to sell directly to the retailer or through the

distributors/wholesaler etc. It can even plan to sell it directly to consumers.

Promotion: If the product is manufactured keeping the consumer needs in mind, is rightly

priced and made available at outlets convenient to them but the consumer is not made aware

about its price, features, availability etc, its marketing effort may not be successful. Therefore

promotion is an important ingredient of marketing mix as it refers to a process of informing,

persuading and influencing a consumer to make choice of the product to be bought.Promotion is done through means of personal selling, advertising, publicity and sales

promotion. It is done mainly with a view to provide information to prospective consumers

about the availability, characteristics and uses of a product. It arouses potential consumers

interest in the product, compare it with competitors product and make his choice. The

proliferation of print and electronic media has immensely helped the process of promotion.


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INTRODUCTION TO FMCG INDUSTRY

A BRIEF INSIGHT- THE FMCG INDUSTRY IN INDIA

Fast Moving Consumer Goods (FMCG) goods are popularly named as consumer packaged

goods. Items in this category include all consumables (Other than groceries/pulses) people

buy at regular intervals. The most common in the list are toilet soaps, detergents, shampoos,

toothpaste, shaving products, shoe polish, packaged food stuff, and house hold accessories

and extends to certain electronic goods. These items are meant for daily of frequent

consumption and have a high return. The Indian FMCG sector is an important contributor to

the countrys GDP. The FMCG sector is the fourth largest sector of Indian economy.

The FMCG market is estimated to treble from its current figure in the coming decade. The

Indian FMCG sector is the fourth largest sector in the economy with a total market size in

excess of $13.1 billion. It has a strong MNC presence and is characterized by a well-

established distribution network, intense competition between the organized and unorganized

segments and low operational cost. Availability of key raw materials, cheaper labour costs

and presence across the entire value chain gives India a competitive advantage. The FMCG

market is set to treble from $11.6 billion in 2003 to $33.4 billion in 2015. Penetration level as

well as per capita consumption in most product categories like jams, toothpaste, skin care,

hair wash etc. in India is low indicating the untapped market potential. Burgeoning Indian

population, particularly the middle class and the rural segments, presents an opportunity to

makers of branded products to convert consumers to branded products. Growth is also likely

to come from consumer 'upgrading' in the matured product categories. With 200 million

people expected to shift to processed and packaged food by 2010, India needs around $28

billion of investment in the food-processing industry.

In this year when almost all the stocks have been tumbled heavily on the Dalal Street, the one

sector which completely outperformed the market is FMCG. During last 52 weeks the

SENSEX has lost by around 53%, while BSE FMCG has just lost by below 10%. Sensex

witnessed strong bull market journey with almost 7 fold gains from 3000 in 2003 to 21000 in

2008, the FMCG did not match the Index equivalently but managed to follow the trend by

almost 3.5 times gain for the same period. Now in a bear market scenario, the FMCG is

bucking the trend which is a big sigh of relief for investors.

Hence we believe FMCG is strong and defensive sector and one should consider this sectorfor his portfolio and allocate some portion for it.

HLL led the way in revolutionizing the product, market, distribution and service formats of

the FMCG industry by focusing on rural markets, direct distribution, creating new product,

distribution and service formats. The FMCG sector also received a boost by government led

initiatives in the 2003 budget such as the setting up of excise free zones in various parts of the

country that witnessed firms moving away from outsourcing to manufacturing by investing in

the zones.

Though the absolute profit made on FMCG products is relatively small, they generally sell inlarge numbers and so the cumulative profit on such products can be large. Unlike some


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industries, such as automobiles, computers, and airlines, FMCG does not suffer from mass

layoffs every time the economy starts to dip. A person may put off buying a car but he will

not put off having his dinner.

Unlike other economy sectors, FMCG share float in a steady manner irrespective of global

market dip, because they generally satisfy rather fundamental, as opposed to luxurious needs.

The FMCG sector, which is growing at the rate of 9% is the fourth largest sector in the IndianEconomy and is worth Rs.93000 crores. The main contributor, making up 32% of the sector,

is the South Indian region. It is predicted that in the year 2010, the FMCG sector will be

worth Rs.143000 crores. The sector being one of the biggest sectors of the Indian Economy

provides up to 4 million jobs.

(Source: HCCBPL, Monthly Circular, March)

BEVERAGE INDUSTRY IN INDIA: A BRIEF INSIGHTSince the early 1990s Coca-Cola Corporation and PepsiCo have been combating on what is

known as the Beverage Battlefield in India. Today India is one of the most sought after

countries for foreign investments because of their continually growing market opportunities.

However during Coca-Cola and Pepsis attempts to broaden their global consumer bases both

companies encountered several obstructions on their pursuits of conquering the Indian soft

drink market.

The Indian Beverage Market

Indias one billion people, growing middle class, and low per capita consumption of soft

drinks made it a highly contested prize in the global CSD market in the early twenty-first

century. Ten percentage of the countrys population lived in urban areas or large cities and

drank ten bottles of soda per year while the vast remainder lived in rural areas, villages, and

small towns where annual per capita consumption was less than four bottles. Coke and Pepsi

dominated the market and together had a consolidated market share above 95%. While soft

drinks were once considered products only for the affluent, by 2003 91% of sales were made

to the lower, middle and upper middle classes. Soft drink sales in India grew 76% between

1998and 2002, from 5,670 million bottles to over 10,000million and were expected to grow

at least 10% per year through 2012.28 In spite of this growth, annual per capita consumption

was only 6 bottles versus 17in Pakistan, 73 in Thailand, 173 in the Philippines and800 in theUnited States.

With its large population and low consumption, the rural market represented a significant

opportunity for penetration and a critical battleground for market dominance. In 2001, Coca-

Cola recognized that to compete with traditional refreshments including lemon water, green

coconut water, fruit juices, tea, and lassi, competitive pricing was essential. In response, Coke

launched a smaller bottle priced at almost 50% of the traditional package.

The beverage industry is vast and there various ways of segmenting it, so as to cater the right

product to the right person the different ways of segmenting it are as follows:

1. Alcoholic, non-alcoholic and sports beverages2. Natural and Synthetic beverages


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3. In-home consumption and out of home on premises consumption.4. Age wise segmentation i.e. beverages for kids, for adults and for senior citizens.5. Segmentation based on the amount of consumption i.e. high levels of consumption

and low levels of consumption.

If the behavioral patterns of consumers in India are closely noticed, it could be observed that

consumers perceive beverages in two different ways i.e. beverages are a luxury and thatbeverages have to be consumed occasionally. In order to leverage the beverage industry, it is

important to address this issue so as to encourage regular consumption as well as and to make

the industry more affordable.

Four strong strategic elements to increase consumption of the products of the beverage

industry in India are:

1. The quality and the consistency of beverages needs to be enhanced so that consumersare satisfied and they enjoy consuming beverages.

2. The credibility and trust needs to be built so that there is a very strong and safe feelingthat the consumers have while consuming the beverages.

3. Consumer education is a must to bring out benefits of beverage consumption whetherin terms of health, taste, relaxation, stimulation, refreshment, well-being or prestige

relevant to the category.

4. Communication should be relevant and trendy so that consumers are able to find anappeal to go out, purchase and consumer.

The beverage market has still to achieve greater penetration and also a wider spread of

distribution. It is important to look at the entire beverage market, as a big opportunity, for

brand and sales growth in turn to add up to the overall growth of the food and beverage

industry in the economy.

COMPANY PROFILE

We sell moments of pleasure, cents at a time, 1.6 billion servings every day, and we feel

that there is tremendous continued opportunity both today and tomorrow. In the coming

decade, as a billion new consumers enter into the middle class around the world, we see great

opportunity for our per capita consumption to continue rising. And we firmly believe that our

Coca-Cola system is ideally and uniquely positioned to capture this opportunity and achieve

the goals of our 2020 Vision.- says Muhtar Kent Chairman and Chief Executive Officer,

Coca Cola Company.Muhtar Kent (born in 1952), is a Turkish American businessman, who is currently Chairman

and Chief Executive Officer (CEO) of The Coca-Cola Company. He was appointed to

assume the position of Chief Operating Officer of the Company in 2008.

Muhtar Kent found a job at The Coca-Cola Company through a newspaper ad. He toured the

country in trucks to sell Coca-Cola, and thereby learned its distribution, marketing and

logistics systems.


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In 1985, he was promoted to the general manager position of Coca-Cola Turkey and CentralAsia, and transferred the headquarters of the company from Izmir to Istanbul. Three years

later, he was appointed vice president of Coca-Cola International, responsible for 23

countries in a region from the Alps to the Himalayas. Living in Vienna, Austria, he served at

this post until 1995.

From 1989 to 1995, he served as president of the Companys East Central Europe Division

during which he was responsible for 23 countries.

Promoted further, Muhtar Kent became in 1995 managing director of Coca-Cola Amatil-

Europe. In two years, he increased the turnover of the company about 50%, which covered

bottling operations in 12 European countries. In 1999, he left the Coca-Cola Company after

20 years of service. Returning to Turkey, Muhtar Kent assumed the post of top executive of

Efes Beverage Group at Anadolu Group, the largest local shareholder of the Coca-Cola

franchise in Turkey and one of Europe's largest international beverage businesses. He

extended the company's territory from the Adriatic to China.

In May 2005, he re-joined Coca-Cola after almost 6 years and was appointed president and

chief operating officer of the companys North Asia, Eurasia and Middle East Group, a

position reporting directly to chairman and chief executive officer Neville Isdell. Muhtar

Kent's rise continued and he was promoted in January 2006, the newly-created position of

president of International Operations. In this capacity, he was responsible for all operations

outside of North America, and all group presidents outside of North America reported to him.

His successful career took him finally to the summit of the Coca-Cola Company, which

named him chairman and chief executive officer, effective July 1, 2008. He currently serves

on the board of directors of the National Committee on United States-China Relations.

While CEO of Coca-Cola in 2008, Muhtar Kent's earnings totalled $19,628,585, which

included a base salary of $1,100,000, a cash bonus of $4,500,000, stocks granted of

$2,999,975, and options granted of $10,280,428

ABOUT THE COMPANY


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MISSION

Coca Cola Roadmap starts with their mission, which is enduring. It declares our purpose as a

company and serves as the standard against which we weigh our actions and decisions.

1. To refresh the world. (In mind, body and spirit.)2. To inspire moments of optimism and happiness. (Through our brands and our

actions.)

3. To create value and make a difference. (Everywhere we engage.)VISION

The world is changing all around us. To ensure our business will continue to thrive over the

next 10 years and beyond, we are looking ahead to understand the trends and forces that will

shape our industry in the future. Our 2020 Vision creates a long-term destination for our

business. It provides us with business goals that outline what we need to accomplish with our

global bottling partners in order to continue winning in the marketplace and achieving

sustainable, quality growth. For each goal, we have a set of guiding principles and strategies

for winning throughout the entire Coca-Cola system.


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The Coca-Cola Promise:

The Coca-Cola Company exists to benefit and refresh everyone who is touched by ourbusiness.

Our Winning Culture:

Our Winning Culture defines the attitudes and behaviors that will be required of us to make

our 2020 Vision a reality.

Live Our Values: Our values serve as a compass for our actions and describe how we

behave in the world.


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Focus on the Market:

1. Focus on needs of our consumers, customers and franchise partners2. Get out into the market and listen, observe and learn3. Possess a world view4. Focus on execution in the marketplace every day5. Be insatiably curious

Work Smart

1. Act with urgency2. Remain responsive to change3. Have the courage to change course when needed4. Remain constructively discontent5. Work efficiently


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Act like Owners

1. Be accountable for our actions and inactions2. Steward system assets and focus on building value3. Reward our people for taking risks and finding better ways to solve problems4. Learn from our outcomes -- what worked and what didnt

Be the Brand

Inspire creativity, passion, optimism and funHISTORY OF COCA-COLA

History

Coca-Cola was invented by Doctor John Pemberton a pharmacist from Atlanta Georgia in

May of 1886. John Pemberton concocted the Coca Cola formula in a three legged brass

kettle; all this was done in his backyard. The name Coca Cola was actually given to John

Pemberton by his bookkeeper Frank Robinson.

Frank Robinson had excellent penmanship. He first scripted "Coca Cola" into the flowing

letters which has become the famous logo we know and love today. The soft drink was first

sold to the public at the soda fountain in Jacob's Pharmacy in Atlanta on May 8, 1886. About

nine servings of the soft drink were sold each day. Sales for that first year added up to a total

of about $50. The funny thing was that it cost John Pemberton over $70 in expanses, so the

first year of sales were a loss. Until 1905, the soft drink, marketed as a tonic, contained

extracts of cocaine as well as the caffeine-rich kola nut.

Dr .John Pemberton

In 1887, another Atlanta pharmacist and businessman, Asa Candler bought the formula for

Coca Cola from inventor John Pemberton for $2,300.By the late 1890s, Coca Cola was one of

America's popular fountain drinks; Candler's aggressive marketing of the product takes credit

for that.

With Asa Candler, now at the helm, the Coca Cola Company increased syrup sales by over

4000% between 1890 and 1900. Advertising was an important factor in John Pemberton and

Asa Candler's success and by the turn of the century, the drink was sold across the United

States and Canada. Coca Cola began selling syrup to independent bottling companies

licensed to sell the drink. Still today, the US soft drink industry is organized on this principle.

Evolution of Coca Cola


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It was 1886, and in New York Harbour, workers were constructing the Statue of Liberty.

Eight hundred miles away, another great American symbol was about to be unveiled. Like

many people who change history, John Pemberton, an Atlanta pharmacist, was inspired by

simple curiosity. One afternoon, he stirred up a fragrant, caramel-colored liquid and, when itwas done, he carried it a few doors down to Jacobs' Pharmacy. Here, the mixture was

combined with carbonated water and sampled by customers who all agreed --this new drink

was something special. So, Jacobs' Pharmacy put it on sale for five cents a g lass. Embertons

bookkeeper, Frank Robinson, named the mixture Coca-Cola, and wrote it out in his distinct

script.

To this day, Coca-Cola is written the same way. In the first year, Pemberton sold just 9

glasses of Coca-Cola a day. A century later, The Coca-Cola Company has produced more

than 10 billion gallons of syrup. Unfortunately for Pemberton, he died in 1888 without

realizing the success of the beverage he had created. Over the course of three years, 1888-1891, Atlanta businessman Asa Griggs Candler secured rights to the business for a total of

about $2,300. Candler would become the Company's first president, and the first to bring real

vision to the business and the brand.


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Asa G. Candler, a natural born salesman, transformed Coca-Cola from an invention into a

business. He knew there were thirsty people out there, and Candler found brilliant and

innovative ways to introduce them to this exciting new refreshment. He gave away coupons

for complimentary first tastes of Coca-Cola, and outfitted distributing pharmacists with

clocks, urns, calendars and apothecary scales bearing the Coca-Cola brand. People saw Coca-

Cola everywhere, and the aggressive promotion worked. By 1895, Candler had built syrup

plants in Chicago, Dallas and Los Angeles. Inevitably, the soda's popularity led to a demandfor it to be enjoyed in new ways. In 1894, a Mississippi businessman named Joseph

Biedenharn became the first to put Coca-Cola in bottles. He sent 12 of them to Candler, who

responded without enthusiasm. Despite being a brilliant and innovative businessman, he

didn't realize then that the future of Coca-Cola would be with portable, bottled beverages

customers could take anywhere. He still didn't realize it five years later, when, in 1899, two

Chattanooga lawyers, Benjamin F. Thomas and Joseph B. Whitehead, secured exclusive

rights from Candler to bottle and sell the beverage --for the sum of only one dollar.

Imitation may be the sincerest form of flattery, but The Coca-Cola Company was none toopleased about the proliferation of copycat beverages taking advantage of its success. This was

a great product, and a great brand. Both needed to be protected. Advertising focused on the

authenticity of Coca-Cola, urging consumers to "Demand the genuine" and "Accept no

substitute." The Company also decided to create a distinctive bottle shape to assure people

they were actually getting a real Coca-Cola. The Root Glass Company of Terre Haute,

Indiana, won a contest to design a bottle that could be recognized in the dark. In 1916, they

began manufacturing the famous contour bottle. The contour bottle, which remains the

signature shape of Coca-Cola today, was chosen for its attractive appearance, original design

and the fact that, even in the dark, you could identify the genuine article. As the country

roared into the new century, the Coca-Cola Company grew rapidly, moving into Canada,

BEYOND ATLANTA(1893-1904)

SAFEGUARDING THE BRAND

( 1905-1918)


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Panama, Cuba, Puerto Rico, France, and other countries and U.S. territories. In 1900, there

were two bottlers of Coca-Cola; by 1920, there would be about 1,000.

Coca cola enjoyed in 53 countries worldwide. It introduced 6 packs. In 1925, 6000000 drinks

per day. Perhaps no person had more impact on The Coca-Cola Company than Robert

Woodruff. In 1923, four years after his father Ernest purchased the Company from AsaCandler, Woodruff became the Company president. While Candler had introduced the U.S. to

Coca-Cola, Woodruff would spend more than 60 years as Company leader introducing the

beverage to the world beyond. Woodruff was a marketing genius who saw opportunities for

expansion everywhere. He led the expansion of Coca-Cola overseas and in 1928 introduced

Coca-Cola to the Olympic Games for the first time when Coca-Cola travelled with the U.S.

team to the 1928 Amsterdam Olympics. Woodruff pushed development and distribution of

the six packs, the open top cooler, and many other innovations that made it easier for people

to drink Coca-Cola at home or away. This new thinking made Coca-Cola not just a huge

success, but a big part of people's lives.

Coca cola enjoyed in 120 countries worldwide by Introducing Coke. In 1941, America

entered World War II. Thousands of men and women were sent overseas. The country, and

Coca-Cola, rallied behind them. Woodruff ordered that "every man in uniform gets a bottle of

Coca-Cola for 5 cents, wherever he is, and whatever it costs the Company." In 1943, General

Dwight D. Eisenhower sent an urgent cablegram to Coca-Cola, requesting shipment of

materials for 10 bottling plants. During the war, many people enjoyed their first taste of the

beverage, and when peace finally came, the foundations were laid for Coca-Cola to do

business overseas. Woodruffs vision that Coca-Cola be placed within "arm's reach of

desire," was coming true --from the mid-1940s until 1960, the number of countries with

bottling operations nearly doubled. Post-war America was alive with optimism and

prosperity. Coca-Cola was part of a fun, carefree American lifestyle, and his imagery of its

THE WOODRUFF LEGACY (1919-1940)

The War and Its Legacy (1941-1959)


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advertising --happy couples at the drive-in, carefree moms driving big yellow convertibles --

reflected the spirit of the times.

Coca cola enjoyed in 163 countries worldwide. It introduced can in 1960. In 1981 Roberto c.

Goizueta became chairman and CEO of the coca cola company After 70 years of successwith one brand, Coca-Cola, the Company decided to expand with new flavours: Fanta,

originally developed in the 1940s and introduced in the 1950s; Sprite followed in 1961,

with TAB in 1963 and Fresca in 1966. In 1960, The Coca-Cola Company acquired The

Minute Maid Company, adding an entirely new line of business juices to the Company. The

Company's presence worldwide was growing rapidly, and year after year, Coca-Cola found a

home in more and more places: Cambodia, Montserrat, Paraguay, Macau, Turkey and more.

Advertising for Coca-Cola, always an important and exciting part of its business, really came

into its own in the 1970s, and reflected a brand connected with fun, friends and good times.

The international appeal of Coca-Cola was embodied by a 1971 commercial, where a groupof young people from all over the world gathered on a hilltop in Italy to sing "I'd Like to Buy

the World a Coke." In 1978, The Coca-Cola Company was selected as the only Company

allowed selling packaged cold drinks in the People's Republic of China.

Coca cola enjoyed in 165 countries worldwide. In 1982 diet coke was introduced. The 1980sthe era of legwarmers, headbands and the fitness craze, and a time of much change and

innovation at The Coca-Cola Company. In 1981, Roberto C. Goizueta became chairman of

The Board of Directors and CEO of The Coca-Cola Company. Goizueta, who fled Castro's

Cuba in 1961, completely overhauled the Company with a strategy he called "intelligent risk

taking." Among his bold moves was organizing the numerous U.S. bottling operations into a

new public company, Coca-Cola Enterprises Inc. He also led the introduction of diet Coke,

the very first extension of the Coca-Cola trademark; within two years, it had become the top

low-calorie drink in the world, second in success only to Coca-Cola. One of Goizueta's other

initiatives, in 1985, was the release of a new taste for Coca-Cola, the first change in

formulation in 99 years. In taste tests, people loved the new formula, commonly called new

DIET COKE AND NEW COKE (1982-1989)


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Coke. In the real world, they had a deep emotional attachment to the original, and they

begged and pleaded to get it back.

Critics called it the biggest marketing blunder ever. But the Company listened, and the

original formula was returned to the market as Coca-Cola classic, and the product began to

increase its lead over the competition a lead that continues to this day.

In 1993 pet bottles are introduced. Coca cola enjoyed in 200 countries worldwide. The 1990s

were a time of continued growth for The Coca-Cola Company. The Company's long

association with sports was strengthened during this decade, with on-going support of the

Olympic Games, FIFA World Cup football (soccer), Rugby World Cup and the National

Basketball Association. Coca-Cola classic became the Official Soft Drink of NASCAR

racing, connecting the brand with one of the world's fastest growing and most popularspectator sports. And 1993 saw the introduction of the popular "Always Coca-Cola"

advertising campaign, and the world met the lovable Coca-Cola Polar Bear for the first time.

New markets opened up as Coca-Cola products were sold in East Germany in 1990 and

returned to India in 1993. New beverages joined the Company's line-up, including

PowerAde sports drink, Qoo children's fruit drink and Dasani bottled water. The

Company's family of brands further expanded through acquisitions, including Limca,

Maaza and Thums Up in India, Barq's root beer in the U.S., Inca Kola in Peru, and

Cadbury Schweppes' beverage brands in more than 120 countries around the world. By

1997, the Company already sold 1 billion servings of its products every day, yet knew that

opportunity for growth was still around every corner.

In 1886, Coca-Cola brought refreshment to patrons of a small Atlanta pharmacy. Now well

into its second century, the Company's goal is to provide magic every time someone drinks

one of its more than 400 brands. Coca-Cola has fans from Boston to Budapest to Bahrain,

drinking brands such as Ambasa, Vegitabeta and Frescolita. In the remotest comers of the

globe, you can still find Coca-Cola. Coca-Cola is committed to local markets, paying

attention to what people from different cultures and backgrounds like to drink, and where and

how they want to drink it. With its bottling partners, the Company reaches out to the local

communities it serves, believing that Coca-Cola exists to benefit and refresh everyone ittouches. From the early beginnings when just nine drinks a day were served, Coca Cola has

NEW MARKETS AND

BRAND (1990-1999)


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grown to the worlds most ubiquitous brand, with more than 1.4 billion beverage servings

sold each day. When people choose to reach for one of The Coca-Cola Company brands, the

Company wants that choice to be exciting and satisfying, every single time.

Mr. Atul Singh President and CEO, Coca-Cola India

Atul Singh took over as the President and CEO, Coca-Cola India from 1st September 2005.Atul holds a MBA degree from Texas Christian University. Prior to this assignment, Atul

Singh was the President of East, Central & South (ECS) China Division in January 2005.

Prior to joining Coca-Cola, Atul worked for the Colgate Palmolive Company for 10 years and

held several roles including Country General Manager, Nigeria (1995-1998), CFO then

General Manager, Romania (1992-1995) and Finance Manager, USA Body Care (1990-

1992), Prior to Colgate, Atul worked as an Auditor with Price Waterhouse in New York.

Coca-Cola, the corporation nourishing the global community with the worlds largest selling

soft drink concentrates since 1886, returned to India in 1993 after a 16 year hiatus, givingnew thumbs up to the Indian soft drink market. In the same year, the Company took over

ownership of the nations top soft-drink brand and bottling network. Its no wonder our

brands have assumed an iconic status in the minds of the worlds consumers.

Coca-Cola re-entered the Indian market on 26th October 1993 after a gap of 16 years, with its

launch in Agra. An agreement with the Parle Group gave the Company instant ownership of

the top soft drink brands of the nation. With access to 53 of Parles plants and a well set

bottling network, an excellent base for rapid introduction of the Companys International

brands was formed. The Coca-Cola Company acquired soft drink brands like Thumps Up,

Gold spot, Limca, Maaza, which were floated by Parle, as these products had achieved astrong consumer base and formed a strong brand image in Indian market during the re-entry


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of Coca-Cola in 1993.Thus these products became a part of range of products of the Coca-

Cola Company.

In the new liberalized and deregulated environment in 1993, Coca-Cola made its re-entry into

India through its 100% owned subsidiary, HCCBPL, the Indian bottling arm of the Coca-

Cola Company. However, this was based on numerous commitments and stipulations which

the Company agreed to implement in due course. One such major commitment was that, theHindustan Coca-Cola Holdings would divest 49% of its shareholding in favor of resident

shareholders by June 2002.

A Healthy Growth to the Indian Economy

Ever since, Coca-Cola India has made significant investments to build and continually

consolidate its business in the country, including new production facilities, waste water

treatment plants, distribution systems, and marketing channels. Coca-Cola India is among the

countrys top international investors, having invested more than US$ 1 billion in India in the

first decade, and further pledged another US$100 million in 2003 for its operations.

A Pure Commitment to the Indian Economy

The Company has shaken up the Indian carbonated drinks market greatly, giving consumers

the pleasure of world-class drinks to fill up their hydration, refreshment, and nutrition needs.

It has also been instrumental in giving an exponential growth to the countrys job listings.

Creating Enormous Job Opportunities

With virtually all the goods and services required to produce and market Coca-Cola being

made in India, the business system of the Company directly employs approximately 6,000

people, and indirectly creates employment for more than 125,000 people in related industriesthrough its vast procurement, supply, and distribution system. Coca-Cola is made up of 7000

local employees, 500 managers, over 60 manufacturing locations, 27 Company Owned

Bottling Operations (COBO), 17 Franchisee Owned Bottling Operations (FOBO) and a

network of 29 Contract Packers that facilitate the manufacture process of a range of products

for the company. It also has a supporting distribution network consisting of 700,000 retail

outlets and 8000 distributors.

Almost all goods and services required to cater to the Indian market are made locally, with

help of technology and skills within the Company. The complexity of the Indian market is

reflected in the distribution fleet which includes different modes of distribution, from 10-

tonne trucks to open-bay three wheelers that can navigate through narrow alleyways of Indian

cities and trademarked tricycles and pushcarts. Think local, act local, is the mantra that

Coca-Cola follows, with punch lines like Life ho to aisi for Urban India and

ThandaMatlab Coca-Cola for Rural India. This resulted in a 37% growth rate in rural

India visa-vie 24% growth seen in urban India. On the distribution front, 10-tonne trucks

open bay three-wheelers that can navigate the narrow alleyways of Indian cities constantly

keep our brands available in every nook and corner of the countrys remotest areas.

LOCATIONS OF COBO, FOBO IN INDIA


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Orange, Yellow, GreenCOBO; White-FOBO

PRODUCT LINE

The Coca-Cola Company offers a wide range of products to the customers including

beverages, fruit juices and bottled mineral water. The Company is always looking to innovate

and come up with, either complete new products or new ways to bottle or pack the existing


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drinks. The Coca-Cola Company has a wide range of products out of which the following

products are marketed:-

In the Cola Section:

In the Lemon Section:

In the Orange & Apple section


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Available in Europe since the 1940s, Fanta was introduced in the United States in 1960.

Consumers around the world, particularly teens, fondly associate Fanta with happiness and

special times with friends and family. This positive imagery is driven by the brand's fun,

playful personality, which goes hand in hand with its bright color, bold fruit taste and tinglycarbonation.

In the mango section In the juice and Nimbu section

In the soda water and Bottled Mineral Water section


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Kinley is high quality bottled water processed with added minerals popular among adults

who seek a better quality of life and a healthy lifestyle.

BRANDS TAGLINE and AMBASSDORS

COCA COLAAamir Khan THUMPS UPMahesh Babu

OPEN HAPPINESS TASTE THE THUNDER

LIMCAKareena Kapoor FANTATamanna Bhatia


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Pyassbadhao Wanta Fanta

MAAZA SPRITE

HAR MAUSAM AAM RASTA CLEAR HAI!!!

COMPETITORS


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ManufacturingProcess

Manufacturing and Distribution Process


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TYPES OF OUTLETS

The company has divided their outlets on the basis of the following criteria-

1. Channel2. Volume3. Income group

CHANNEL

The various routes formulated by HCCBPL for distribution of products are as follows:

Key Accounts: The customers in this category collectively contribute a large chunk of the

total sales of the Company. It basically consists of organizations that buy large quantities of a

product in one single transaction. The Company provides goods to these customers on credit,

payments being made by them after a certain period of time i.e. either a month of half a

month.

Examples: Clubs, fine dines restaurant, hotels, corporate houses etc.

Future Consumption:This route consists of outlets of Coca-Cola products, wherein a considerable amount of stock

is kept in order to use for future consumption. The stock does not exhaust within a day or

two, instead as and when required stocks are stacked up by them so as to avoid shortage or

non-availability of the product.

Examples: Departmental stores, Super markets etc.

Immediate Consumption:

The outlets in this route are those which require stocks on a daily basis. The stocks of

products in these outlets are not stored for future use instead, are exhausted on the same day

and might run a little into the next day i.e. the products are consumed at a fast pace.Examples: Small sized bars and restaurants, educational institutions etc.

General:

Under this route, all the outlets that come in a particular area or an area along with its

neighboring areas are catered to. The consumption period is not taken into consideration in

this particular route.

VOLUMEThere are four types of outlets according to the volume of sales of the outlet:


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PACKAGING DETAILS

Pack Maaza Coke Thums-up Sprite Fanta Limca Minute

Maid

Mineral

Water

Soda

200ml

250ml

300ml

600ml

1.25lts

2lts

PACK NO.OF BOTTLES IN A CASE

200ML 24

250ML 24

300ML 24

600ML 241.2 LTR 12

2 LITRES 9

Marketing Strategies of Coca ColaMarketing strategy a part of the marketing management process: The marketing management

uses marketing strategies so that they can meet the customer's needs. The marketing strategy

involves pricing, advertising, branding, packaging.

The Coca-Cola Company manufactures syrups, concentrates and beverage bases for Coca-

Cola, the companys flagship brand, and also produces over 230 other soft-drink brands sold

by and its subsidiaries in nearly 200 countries around the world. Some of Coca-Colas latest

domestic marketing strategies include Coke dominating fountain sales. Thousands of

consumers visit fast-food restaurants every day and Coke feels that it is very important to

have the consumer see and drink their product at such chains as McDonalds, Burger King,

and Dominos Pizza.

UNIQUE SELLING PROPOSTION/PROMISE

Coke encourages you to seize the moment by expressing your unique thoughts, talents and

capabilities. If you can think.you can do it.

Schemes as a part of marketing strategiesThe different pack sizes on which discount is given by the company is:

1. 200 ml RGB CSD2. 250 ml Juice3. 300 ml RGB CSD4. 600 ml Pet CSD5. 1200 ml Juice6. 2000 ml Pet CSD7. 330 ml Can CSD


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8. 200 ml Tetra Pack Juice(RGB Returnable Glass Bottles, CSD Concentrated Soft Drink, Juice Maaza, Pet

Plastic bottle) Daily new schemes are launched.

Example-

On one case of 200ml retailer will get 2 bottles extra of 200ml.

On one case of 600 ml retailer will get 2 bottles extra of 600 ml.

On one case of 2000ml retailer will get one extra bottle of 2000ml.

On displaying 20 bottles retailers get some free bottles according to the scheme.

COCA-COLA DELICIOUS! REFRESH! EXILATERING! INVIGORATING!

Fine illustrations by noted artists, including Rockwell and N.C. Wyeth were the hallmark of

early campaigns in premier magazines. Artists Haddon Sundbloms portraits for holiday ads,

which began in the 1930s, helped mould the national image of a red-suited. Santa Claus,

Fresh, creative and tasteful, advertising images for Coca-Cola have always set a high

standard of quality for other products around the world. The company recognizes that Coca-

Cola belongs to the billions of consumers in every corner of the globe who have chosen it as

their favorite soft drink. Our advertising reflects that special relationship between consumers

and the simple moments of pleasure they have come to associate with Coca-Cola.

PRINT THE TEMPLATE:

Beyond advertising will leverage the original art work used in the Coke side of life campaign

by keeping the imagery of original bottle bursting

SWOT ANALYSIS


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SWOT ANALYSIS OF COCA COLA INDIA

QUALITY

WEAKNESS

Pricing Strategy

Lack of proper distribution in some

areas.

STRENGTH

Strong Brand Image

Strong Market Share

Strong and reliable Distribution

Network.

Good Advertisement Campaign and

Brand Ambassdors

OPPORTUNITIES

Large Domestic market

Launch of other brands

Export Potential

Growing Water Bottled Market

THREATS

Intense Competition

Schemes of Pepsi are far better than

Coke.

Competitors giving refrigirators

easily.


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Golden Peacock National Quality Award 2004 - Coca-Cola India Division President, Mr.

Sanjiv Gupta received the Golden Peacock National Quality Award 2004 along with the

Coca-Cola team at the 15th World congress on Total Quality in Mumbai on January 14,

2005.

We ensure the quality and safety of our beverages through the coca-cola quality system

(TCCQS), our integrated approach to managing quality, environment, health and safety. We

continuously review TCCQS to ensure it meets the most stringent and up to date global

requirements related to food safety, as well as quality management methods, industry best

practice and marketplace conditions.

In our ingredients evaluation laboratories, for example, we perform precise analyses of fruit

juices and other ingredients sent to us by our suppliers, to ensure and to improve product

quality. Our processes, too, undergo constant security, to safeguard the water we use in our

products and the packaging that carries them to our consumers. We inform and educate our

business partners about our standards so that they meet the highest quality requirements.

Under TCCQS, quality is our highest business objective and our enduring obligations.

The Coca-Cola Quality System


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Everyone who works for or with coca cola is empowered and expected to maintain the

highest standards of quality in products, processes and relationship. TCCQS mandates in-

depth self-assessment throughout our operations, by all our business units. This enables us to

continually raise our standards.

The latest version of our system-evolution 3, launched in 2004 has been externally

benchmarked against international quality standards ISO 9001. It also incorporates Hazards

Analysis Critical Control Point System.

DID YOU KNOW?

1. John Pembertons (the man who invented the Coca-Cola syrup) son originally wantedto call the drink Yum-Yum!

2. The sales of Coke in the first year was $50, and the expenses were $703. If you stacked all of the bottles of Coke that had ever been made end to end, it would

reach to the moon and back 1,045 times!

4. Coca-Cola sells more than 1.5 billion drinks a day and employs more than 95,000people all over the world.

5. More than two crore Indians are refreshed by Coca-Cola every day!6. Coca-Cola is the worlds No.1 soft drink brand. Four of the top five Brands are owned

by the Coca-Cola Company.

7. Coca-Cola contained cocaine until 1913. They had to remove it from the ingredientsbecause people were becoming addicted to the drink.

8. Marathon Bicyclist was the first athletes to endorse Coca Cola and it was way back in1909.

RIGHT EXECUTION DIALY PROGRAMME

RED Standards 2012

Segmentation Model for Execution

With the increased portfolio of SKUs across key categories, the impetus will be on placement

of Large Sized coolers / NCB Coolers while rationalizing SKUs in existing Small & Medium

Sized Coolers.

1. 59% of the Current Cooler population is 7 & 9 Caser Coolers2. Need to define the availability standards basis the consumption occasion, key strategic

packs for the channelwhile giving due consideration to the

cooler space available.

3. Focused approach towards new cooler placements to be guided by the VPO class of theOutlet.

VPO Class Cooler Standard Cooler Class

Platinum 15 caser , 30 caser LargeSparkling; Large - Still

Diamond 15 caser , 20 caser , 30 caser Large - Sparkling ; Medium - Still

Gold 9 caser , 15 caser Medium / Large

Silver 7 caser Small

Introduce Cooler Class instead of VPO class for defining Availability standards in an

Outlet


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Cooler Class Cooler Description

Small 7 caser Cooler

Medium 9 /10/10.5/11.5 caser ( Only for Existing Coolers )

Large 15/16/20 /30 caser

Introduce Market Class (i.e. Urban or Rural) as the 3rd parameter for Segmentationinstead ofIncome Class.

Provide a simplified Picture of Success to the Feet on Street based on Chilled availablespace while maintaining consistency of execution across outlets in a Channel class.

The Segmentation Model for 2012 is along the 3 lines

Channel Class, Cooler Class & Market Class

RED 2012: Driving Key Strategic Objectives


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1. Continued focus on RGB to drive recruitment to sparkling category and drive incidence.Ensure 2- shelfRGB across all Cooler Class

2. Increased Chill space for IC packs, particularly in Small & Medium sized coolers.3. Drive Availability of Juice IC Packs; Minute Maid Franchise to be expanded through a

mix of chilled and ambient (warm) availability.

4. Continue focus on Fridge Pack across ALL major channels except E&D 2; Optimizechilled facings in Small & Medium Class Coolers to maximize CSD & Juice (Mobile+

Xpress) availability.

5. Focus on Brand Cokeby maintaining requisite facings based on Cooler Class (2 facingsSmall & Medium Class; 3 facings Large coolers. All cooler merchandizing to begin

with Brand Coke across ALL Cooler Class irrespective of which brand is the Lead Cola.

6. Focus on Grocery Expansion Activation to be driven by Low cost racks and shelfdisplay. 3-tier Racksonly for Large Grocery Outlets.

7. Cooler merchandizing to be done to display brands in Vertical Blocks to be called V-COLT for alllarge coolers. The Small & Medium Sized coolers to continue with Z -

COLOJ.8. Warm Display in Outlets to be standardized. Fridge Pack / Party Pack (8 facings Mix

of Brands), Minute Maid 400 ml (8 facings Mix of Flavours) and Water (8 facings) to

be the only packs considered for Warm Display. ( NB: Important packs which get

limited chilled space are only considered)

9. Accelerate and reward Large and Still Cooler placements through Bonus points.Availability Scores: Urban Market

Parameters Small Medium Large

Cooler Purity 10 10 10

Cooler Prime Position 3 3 3

2 Shelf RGB 3 3 3

V- COLT-J 4

Z- COLT-J 4 4

GRow by Excellent ExecutioN

Growth focused Sales Productivity Improvement Program


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1. GREEN is a Growth focused Frontline Sales Productivity Improvement program jointlydeveloped by Commercial and BSG teams

2. This Program is modeled on RED with Actionable data at an Pre seller/Teleseller/Distributor level with aggregation up to Unit level

3. The GREEN Score would be circulated every month like RED score. This score will alsobe available every week

4. An actionable TO DO list at Pre seller/Tel seller/Distributor level would be circulatedwithin 5 days of publishing of GREEN score

5. GREEN Score would be published for Automated Pre sell and Non Automated Pre sell(DAS markets only)

GREEN-Reason

There is a need for a structured frontline Sales Productivity improvement programthat will directly translate to Volume growth by improving the efficiency and

effectiveness of front end Sales processes.

While RED is a Merchandizing focused Execution program, GREEN will be aGrowth focused Execution program

Leveraging on Learnings from RED

Currently we have an execution model in our RED program which has proven to beeffective and successful

The reason why RED is successful is because it breaks down the objectives into cleartargets at an MD level and upwards.

Execution in RED is improved by a clear action plan given to the MD in the form of aTO DO list.

This TO DO list is reviewed continuously by his superiors and feed back is given We will create a similar TO DO list at MD/STL level Performance metrics will be communicated weekly/monthly to MDs for review and

action

Performance metrics will also be aggregated to STL/ASM/SM/GM levels andcommunicated.

Scoring Parameters

Following Productivity parameters will be measured at Pre seller/Tel sellerDistributor level

1) % PJP Compliance


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2) % PJP Call Productivity3) % Cooler Outlets billed4) % Unique Outlets billed on GCC base5) % of Bills with greater than or equal to 5 SKUs on PJP calls( To drive Range

selling)

For Non Automated Pre sell we will consider 3, 4 and 5 parameters only for GREENScore calculation.

The first list has been kept simple to gain acceptance and facilitate easyimplementation

Once the process stabilizes, more fine tuned and focused parameters would be added,just the way we have done in RED. For E.g. Bill 6 packs of 1.25 L in all Grocery

Platinum/Diamond/Gold outlets

% PJP Compliance

The % of Outlets visited by the Pre seller/Tel seller as per his/her PJP/PCP This should ideally be 100 %Non compliance would lead to Outlets not visited / not getting the right service

frequency and hence loss of sales.

% PJP Call Productivity

The % of Outlets visited by the Pre seller/Tel seller as per his/her PJP which resultedin an order

Maximum score can be 100 % Improving this parameter directly translates to Volume increase.

% Cooler Outlets Billed

Measures the number of cooler outlets that have been billed at least once in a month Maximum score can be 100% Minimum Billing should be of 1 PC for an outlet to be counted as billed We will also make available every week the list of cooler outlets not billed to

facilitate faster response

% Unique Outlets billed on GCC base

Measures the number of outlets that have been billed at least once in a month againstthe declared GCC Base( Active outlets) of the Pre seller/Tel seller/Distributor


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Minimum Billing should be of 1 PC for an outlet to be counted as billed Ideal score should be100% We will also make available every week the list of outlets not billed to facilitate faster

response

% of Bills greater than or equal to 5 SKUs on PJP calls

Drives range selling of our brands and packs 5 SKUs per bill is being proposed as the target norm, as our current trending is 3-5 For an SKU to be qualified as billed, the following minimum quantity criterion needs

to be met: 6 Bottles of RGB, 4 Bottles of PET, 6 Cans, 6 Tetra

Maximum score can be 100 % We will also make available every week the list of outlets not billed 5 SKUs to

facilitate faster response

ModelSample Scoring

NOTE: Weight age can be changed as we progress along.

% Cooler Outlets Billed-Penalty Criterion

Cooler Penalty criterion needs to be fixed. Criterion can be as follows: Cooler penalty kicks in if 95% Cooler Outlet billing does not happen at least

once a month

Penalty of 10 points would be deducted from the total score For Ex in the previous slide % Cooler Outlets billed is less than 95 %.

Hence applying Cooler Penalty the GREEN score would be 79-10= 69GREEN TO DO List Process

A weekly TO DO list at Pre seller/Tel seller/Distributor level would be circulatedwith the following Information:

List of Cooler Outlets not billed on WTD/MTD basis

Parameter % Achievement Weightages

% PJP Compliance 90% 5%

% PJP Call Productivity 60% 10%

% Cooler Outlets billed 85% 50%

% Unique Outlets billed on GCC base 85% 10%

% of Bills with more than 5 SKUs on PJP calls 70% 25%Weighted GREEN Score 79% 100%


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List of Outlets not billed on WTD/MTD basis List of Outlets where the Average SKU per Bill is less than 5 on WTD/MTD

basis

A Monthly TO DO list with the above information would also be made available withthe GREEN score

GREEN Model-Benefits

Actionable information at Pre seller/Tel seller/Distributor level at Weekly frequencyto drive Process compliance led Volume growth

Standardized Model for review of frontline Sales productivity across the country. Can be leveraged as a Process for driving our future Sales strategies.

NEED FOR THE STUDY

To know about the competition present in the beverage industry, various strategies

followed by the companies and to suggest companies some new strategies to improve

their sales.

OBJECTIVES OF THE STUDY

To check the availability of coke in the outlets as per R.E.D norms. To find out ways of improving the coke availability and to find ways to increase more

sales of Coke.


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To understand and review the problems in current marketing strategies followed bycoke.

To suggest the new strategies on how to improve their sales.RESEARCH METHODOLOGY

This chapter describes the methodology of the study. This project is based on informationcollected from primary and secondary sources. After the detailed study, an attempt has been

made to present comprehensive analysis of Coca cola. In data collection two methods are

used, one is qualitative and one is quantitative method. In quantitative technique, analysis

tool to find the market share of Coca-Cola in areas covered under VITAL. In collecting

requisite data and information regarding the topic selected, I visited more than 350 shops and

collected the data.

Research Design

A research design gives the methods and procedures for conducting a particular study. The

function of research design is to provide for the collection of relevant information (evidence),

with minimum efforts, time and money.

DATA COLLETION

The information needed to further proceed in the project had been collected through primary

data and secondary data.

PRIMARY DATA

Primary data consists of information collected for the specific purpose at hand for the purpose

of collecting primary data, survey research was used and all the retail outlets sellers using

different brands and their competitors were contacted. Survey research is the approach best

suited gathering description. The primary data collection techniques used in the project is as

follows:

a) PERSONAL INTERVIEW METHOD

b) SURVEY METHOD

c) QUESTIONNAIRE METHOD

d) OBSERVATION METHOD

SECONDARY DATA

The secondary data consists of information that already exists somewhere, having been

collected for another purpose. Any researcher begins the research work by first going through

the secondary data. Secondary data includes the information available with the company. It

may be the findings of research previously done in the field. Secondary data can also becollected from magazines, newspapers, other surveys conducted by known research agencies

etc.

SAMPLING DESIGN

Design is the plan, structure & strategy of investigation conceived so as to attain answer to

question to survey and to control the variances. According to this projects/ surveys the

analytical, interpretive/objective design was chosen.

Universe of the Study

The universe of the study, I have selected all retail outlets that are in a radius of 20 km from

Ameenpur Depot Region (HCCBPL Depot, Hyderabad).

Sample Size


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A sample of 155 retailers was taken on the basis of convenience. The actual retailers were

contacted on the basis of random sampling.

Sampling Techniques

For the study we have taken a sample size of 155 respondents pose non probability sampling

technique. Further we also applied convenience sampling, judgment sampling, as a part of

non-probabilistic sampling techniques.

Research Period:

Research work is only carried for 45 days.

Research Instrument:

This work is carried out through self-administered questionnaires. The questions included

were opening ended, dichotomous and offered multiple choices.

Sampling Plan:

For a successful compilation and best result within a limited time the planning was must. In

this way the first step was to design an appropriate data form we can say it questionnaire that

covers all the mandatory areas of information that is to be analyzed. The data from which I

was used to collect data was designed by my immediate supervisor.Sampling unit - Owners of the outlets.

Sampling size - 155 outlets

Sampling procedure - Random sampling

Sampling method - Retailers survey.

Data Analysis:

The data is analyzed on the basis of suitable tables by using statistical techniques.

Representation of statistical data by diagram, graphs, charts, or pictures is more effective then

tabular representation being easily intelligible to layman. Indeed diagrams are most essential

whenever it is required to convey any statistical information to the generic public. The moreimportant types of diagram which is use in statistical work are:-

BAR DIAGRAM

Mode of diagrammatic representation of data is the bar diagram. In this method the bar of

equal width are taken for the different items of the series. The lengths of the bar represent

value of the variables concerned.

Limitations of the Study

1. The time period allotted for the study was only of 45 days, which may provide a deceptive

picture in comparison of the study based on long run.

2. The study was based on both primary and secondary data but the relevance of the

secondary data may not be justified.

3. Method of data collection was through personal interview and therefore personal bias

becomes a major limitation.

4. Due to their busy schedule some vendors wont give answers to all the questions in the

questionnaire.

5. The scope of study is restricted only to a part of Hyderabad


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6. As this is not a consumer oriented research it will not provide all the details to improve

consumer requirement.

DATA ANALYSIS & INTERPRETATION

1. NUMBER OF OUTLETS FOLLOWING BRAND ORDER


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INFERANCE:

1. The Nizampet area is the only one which follows the brand order and most of theshops are being interested to know and follow the brand order.

2. The Moosapet area is having the least number of shops where the brand order is beingfollowed.

3. The KPHB Colony is having the moderate number of shops where the brand order isbeing followed.

4. More work has to be done in the Moosapet area to increase the number of shopswhich follows the brand order.

5. The shop owners in the Moosapet area have to be educated about the R.E.D normsand ask them to follow.

2. NUMBER OF OUTLETS FOLLOWING PURITY

MOOSAPET NIZAMPET KPHB COLONY TOTALTOTAL NO OF

OUTLETS

Series1 8 30 21 59 155

0

20

40

60

80

100

120

140

160

180

OUTLETS FOLLOWING BRAND ORDER


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INFERANCE:

1. From the survey it is found that Moosapet is the least to follow purity and Nizampetfollows purity to some extent.

2. Nizampet area has only ten shops which follow the purity among the 43 shopspresent.

3. KPHB Colony has only eight shops which follow the purity among the 32 shopspresent.

4. There are only 19 outlets which follow the purity.

3. NUMBER OF OUTLETS WHERE COOLER IS IN PRIME POSITION


OUTLETS

Series1 1 10 8 19 155

0

20

40

60

80

100

120

140

160

180

OUTLETS FOLLOWING PURITY


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INFERANCE:

1. Most of the coolers are in prime position but Nizampet area follows the maximum ascomparing to Moosapet and KPHP colony.

2. There are 15 coolers in prime position in Moosapet area.3. There are 68 coolers in prime position in Nizampet area.4. There are 49 coolers in prime position in KBHP colony area.

4. TOTAL OUTLETS PRESENT BASED ON CHANNEL


OUTLETS

Series1 15 68 49 132 155

0

20

40

60

80

100

120

140

160

180

COOLERS IN PRIME POSITION


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INFERANCE:

1. The more number of outlets is grocery as compared to convenience and E&D1.2. In Moosapet area there are 11 grocery shops, one convenience shops, 5 E&D1 shops

and one E&D2 shops.

3. In Nizampet area there are 50 grocery shops, 6 convenience shops, 16 E&D1 shopsand 2 E&D2 shops.

4.

In KPHB Colony area there are 43 grocery shops, 1 convenience shops, 9 E&D1shops and no E&D2 shops.

5. In total there are 104 grocery shops, 8 convenience shops, 30 E&D1 shops, 3 E&D2shops.

5. DISTRIBUTION OF VISI-COOLER IN THE MARKET

GROCERY CONVENIENCE E&D 1 E&D 2

MOOSAPET 11 1 5 1

NIZAMPET 50 6 16 2

KPHB COLONY 43 1 9 0

TOTAL OUTLETS 104 8 30 3

0

20

40

60

80

100

120

TOTAL OUTLETS


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INFERANCE:

1. The 7vc and 9vc coolers are more in number and again Nizampet is the leader.2. In Moosapet area there are 2 4VC coolers, 4 7VC coolers, 9 9VC coolers, 3 20VC

coolers.

3. In Nizampet area there are 20 7VC coolers, 49 9VC coolers, 6 15VC coolers, 3 20VCcoolers.

4. In KPHB Colony there are 0 4VC coolers, 17 7VC coolers, 29 9VC coolers, 3 15VCcoolers, 4 20VC coolers.

5. In total there are 2 4VC coolers, 41 7VC coolers, 87 9VC coolers, 9 15VC coolers, 1020VC coolers.

6. NUMBER OF RETAILERS FAMILIAR WITH R.E.D

4VC 7VC 9VC 15VC 20VC 30VC

MOOSAPET 2 4 9 0 3 0

NIZAMPET 0 20 49 6 3 0

KPHB COLONY 0 17 29 3 4 0

TOTAL 2 41 87 9 10 0

0

10

20

30

40

50

60

70

80

90

100

COOLER SIZE


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INFERANCE:

1. From the three areas Nizampet and KPHP colony are familiar with RED andMoosapet has to know about it more.

2. In Moosapet area there are only 2 retailers familiar with R.E.D.3. In Nizampet area there are only 45 retailers familiar with R.E.D.4. In KPHB Colony area there are only 20 retailers familiar with R.E.D.5. In total there are only 67 retailers familiar with R.E.D.

7. LEADING BRAND OF COCA-COLA


OUTLETS

Series1 2 45 20 67 155

0

20

40

60

80

100

120

140

160

180

RETAILERS FAMILIAR WITH R.E.D


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INFERANCE:

1. Thums-up is the leading brand of coca-cola and then comes is the sprite.2. In Moosapet area out of 100% coca-cola occupied 12%, Thums-up occupied 30%,

Sprite occupied 27%, Limca occupied 9%, Fanta occupied 7% and Maaza occupied

15%.

3. In Nizampet area out of 100% coca-cola occupied 7%, Thums-up occupied 39%,Sprite occupied 31%, Limca occupied 6%, Fanta occupied 5% and Maaza occupied12%.

4. In Moosapet area out of 100% coca-cola occupied 8%, Thums-up occupied 41%,Sprite occupied 23%, Limca occupied 7%, Fanta occupied 4% and Maaza occupied

17%.

8. PREFERRED PACKS OF COCA-COLA BY RETAILERS

COCA-COLA THUMS-UP SPRITE LIMCA FANTA MAAZA

MOOSAPET 12% 30% 27% 9% 7% 15%

NIZAMPET 7% 39% 31% 6% 5% 12%

KPHB COLONY 8% 41% 23% 7% 4% 17%

TOTAL 27% 119% 81% 22% 16% 44%

0%

20%

40%

60%

80%

100%

120%

140%

LEADING BRAND OF COCA-COLA


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INFERANCE:

1. The maximum preferred pack in each and every area is 200ml. The demand for 200mlis more.

2. In Moosapet area out of 100% 200ml occupied 40%, 300ml occupied 5%, 600mloccupied 27%, Cans occupied 1%, PET 1.25lit occupied 21% and PET 2/2.25lit

occupied 10%.

3. In Nizampet area out of 100% 200ml occupied 34%, 300ml occupied 11%, 600mloccupied 20%, Cans occupied 11%, PET 1.25lit occupied 17% and PET 2/2.25litoccupied 7%.

4. In Moosapet area out of 100% 200ml occupied 43%, 300ml occupied 9%, 600mloccupied 21%, Cans occupied 7%, PET 1.25lit occupied 14% and PET 2/2.25lit

occupied 6%.

9. IS DELIVERY SPEED OF COCA-COLA PRODUCT INCREASED?

200ml 300ml 600ml CANS PET 1.25ltrs PET 2/2.25ltrs

MOOSAPET 40% 5% 23% 1% 21% 10%

NIZAMPET 34% 11% 20% 11% 17% 7%

KPHB COLONY 43% 9% 21% 7% 14% 6%

TOTAL 108% 25% 64% 43% 52% 23%

0%

20%

40%

60%

80%

100%

120%

PREFFERED PACKS


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INFERANCE:

1. For each and every area the delivery of products are different. In Nizampet and KPHPcolony the delivery is good whereas in Moosapet its average.

2. In Moosapet area out of 100% retailers told that the delivery of products are 43%good, 51% average, 6% poor.

3. In Nizampet area out of 100% retailers told that the delivery of products are 60%good, 33% average, 7% poor

4. In KPHB Colony area out of 100% retailers told that the delivery of products are 58%good, 37% average, 5% poor

10. WHAT IS THE PERFORMANCE OF MARKET DEVELOPER?

GOOD AVERAGE POOR

MOOSAPET 43% 51% 6%

NIZAMPET 60% 33% 7%

KPHB COLONY 58% 37% 5%

0%

10%

20%

30%

40%

50%

60%

70%

DEIVERY OF PRODUCTS


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INFERANCE:

1. The performance of market developer is good in Nizampet as compared to KPHP Colonyand Moosapet. Both are in fact almost close to each other.

2. In Moosapet area out of 100% retailers told that the performance of M.D are 73% good,23% average, 4% poor.

3. In Nizampet area out of 100% retailers told that the performance of M.D are 78% good,19% average, 3% poor.

4. In KPHB Colony area out of 100% retailers told that the performance of M.D are 76%good, 22% average, 2% poor.

MOOSAPET - 18

GOOD AVERAGE POOR

MOOSAPET 73% 23% 4%

NIZAMPET 78% 19% 3%

KPHB COLONY 76% 22% 2%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

PERFORMANCE OF MARKET DEVELOPER


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PARAMETER WEIGHTAGES

% PJP Compliance 5

% PJP Call Productivity 7.7

% Cooler Outlets Billed 50

% Unique Outlets Billed on GCC base 10

% of Bills with more than 5 SKUs on PJP

calls

19

Weighted GREEN Score 91.7

NIZAMPET - 74


% PJP Compliance 5

% PJP Call Productivity 9.2




calls

23


KPHB COLONY53


% PJP Compliance 5

% PJP Call Productivity 8




calls

24.5


FINDINGS

1. The most popular flavor is Thums-up in the whole market.


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2. Coca

Documents

Project Report Gowthami