Pap Cico

A Project Study Report On
“Advertisement Effectiveness”

Submitted in partial fulfillment for the Award of degree of Master of Business Administration

Submitted By: Purohit Chetan Kumar MBAPart 2nd year

Submitted To:Mrs. Suhasini Varma HOD MBA

2011-2013 Rajasthan Institute of Engineering & Technology, Bhakrota Jaipur

PREFACE
Market provides a key to gain actual success only to those brands which match best to the current environment i.e. ”imperative” which can be delivered what are the people needs and they are ready to buy at the right time without any delay. It is perfectly true but this also depends on availability of good quality products and excellent taste and services which further attract and add a golden opportunity for huge sales. This also depends on the good planning approach and provide ample opportunity plus sufficient amount of products for sales in the coming next financial year. This survey report introduces study of consumer’s preferences for PEPSI. After going through a detail analysis of market behavior and future prospect, it may also provide an opportunity to PEPSI to frame a good future plan to satisfy maximum needs of the customers and established its guiding role in the market of Kanpur in particular and throughout the country as a whole. The study report will also provide an opportunity to delineate its market potential business areas, products & services are to be offered by the company to the customers. This study report also provides the various factors affecting the services. Marketing Division of PEPSI has to keep in mind various factors specially while preparing a plan for marketing its product or services. Details description along with analysis of surveyed data is being presented in this report.

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Acknowledgement I express my sincere thanks to my project guide Dr. Suhasini Varma, HOD MBA., for guiding me right from the inception till the successful completion of the project. I sincerely acknowledge her for extending their valuable guidance, support for literature, critical reviews of project and the report and above all the moral support she had provided to me with all stages of this project. I would also like to thank the supporting staff ___________________________ Department, for their help and cooperation throughout our project.

Purohit Chetan Kumar

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Executive Summary
PepsiCo is the world’s premier consumer Products Company focused on convenience food and beverages. We seek to produce healthy financial reward to investors a we provide opportunities for growth and enrichment to our employee. PepsiCo is a world leader in convenient foods and beverages, with 2011 revenues of more than $44 billion and 203,000 employees. The group has built an expansive beverage and foods business. To support its operations, PepsiCo has 43 bottling plants in India, of which 15 are company owned and 28 are franchisee owned PepsiCo’s a business based on its sustainability vision of making tomorrow better than today. PepsiCo’s commitment to living by this vision every day is visible in its contribution to the country, consumers and farmers. The whole business of any FMCG ( Fast Moving Consumers Good ) company mainly depends on the retailers , so we can say that the retailers are the backbone of any FMCG organization .The whole project named as EDS (Each dealer survey) & Visi Report , in which the whole analysis based on current market position in Kanpur city. The project was undertaken under the guidelines of PepsiCo India Holding Pvt. Ltd. to comparative study between PepsiCo and coke in order to increase the sales of Pepsi and problems faced by distributor and retailers and recommend the company how to solve these problem. A detailed survey to the consumer was carried to find out their preferences for Soft Drinks. The details of the methodology are stated below. Area Jaipur City only, research design: Exploratory and descriptive. Sources of information are primary and secondary data.

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Contents
1. Introduction to the Industry 2. Introduction to the Organization 3. Research Methodology 3.1 Title of the Study 3.2 Duration of the Project 3.3 Objective of Study 3.4 Type of Research 3.5 Sample Size and method of selecting sample 3.6 Scope of Study 3.7 Limitation of Study 4. Facts and Findings 5. Analysis and Interpretation 6. SWOT 7. Conclusion 8. Recommendation and Suggestions 9. Appendix

10. Bibliography

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Introduction to the Industry Beverages Industry in India
Indian Beverages industry's size is Rs. 8 thousand crores and it is dominated by two players viz Pepsi & Coke only. This high profile industry has lot of potential for growth as per capita consumption in India is 9 bottles per annum (year) as compared to 20 bottles in Sri Lanka, 14 in Pakistan, while 12 bottles a person in Nepal. The RKJ group is India's leading supplier of retailer brand Carbonated and Non-Carbonated soft drinks, with beverage manufacturing facilities in India and Nepal. Its experience in the beverage industry dates back to the sixties when it had the first franchise at Mathura. The family manufactures and markets Carbonated and Non-Carbonated Soft Drinks and Minerals Water under PEPSI brand. The various flavors and sub- brands are PEPSI, Miranda Orange, Miranda Lemon, Mountain Dew, and 7UP, Slice Orange, Everest Soda and Aquafina. It has the license to supply beverages in the territories of Western U.P., part of M.P., half of the Haryana, whole of Rajasthan, Goa 3 districts of Maharashtra, and 13 districts of Karnataka and whole of Nepal. The group has in total 18 bottling plants in India & Nepal and is responsible for producing and marketing 44% of PEPSI requirement in India. The major ingredient in a soft drink is water. It constitutes close to 90% of the soft drink content. Added to this, the drink also contains sweeteners, Carbon dioxide, Citric Acid/Malic acid, Colors, Preservatives, Anti Oxidants and other emulsifying agents, etc. The major players in the soft drinks market in India are PepsiCo and Coca-Cola Co, like elsewhere in the world. Coca-Cola acquired a number of local brands like Limca, Gold Spot and Thumps Up when it entered Indian market for the second time. PepsiCo’s soft drink portfolio also consists of Miranda and 7Up along with Pepsi. The market share of each of the company is more or less the same, though there is a conflict in the estimates quoted by different sources.

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Pepsi Bottling Plant in India.
1. Goa, Salcete 2. Karnataka, Dharwad 3. Rajasthan, Bhiwadi 4. Rajasthan, Jodhpur 5. Rajasthan, Jaipur 6. Rajasthan, Alwar 7. Uttar Pradesh, Greater Noida 8. Uttar Pradesh, Kosi 9. Kathmandu, Nepal

Introduction to the Organization

Type Manufacturer : Country of Origin Founded Founder(s) Headquarters Key People Products

:

Food & Non-alcoholic beverage PepsiCo.

: : : : : :

United States New Bern N.C, U.S. (1890) Caleb Bradham, Donald M. Kendall and Herman W. Lay Purchase, New York, U.S. R & D headquarters in Valhalla Indra Nooyi (Chairperson and CEO) Pepsi, Diet Pepsi, Mountain Dew, AMP Energy, Aquafina,

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Sierra, IST, SoBe, Starbucks Frappuccino, Lipton Iced Tea, 7up, Miranda, Izze, Tropicana Products, Copella, Naked Juice, Gatorade, Propel Fitness Water, Quaker Oats Company, Lay's, Doritos, Cheetos, Kurkure, Fritos, Rold Gold, Ruffles, Tostitos, Slice. Revenue Operating Income Net Income Employees Divisions Web Site : : : : : : US $ 44.3 billion US $ 7.3 billion US $ 6.24 billion 203,000 (2012) PepsiCo Americas, PepsiCo International PepsiCo.com

Pepsi Cola Company now produces and markets nearly 200 refreshment beverages to retail, restaurants and food service customers in more than 190 countries and territories around the world. PepsiCo World Headquarters is located in Purchase, New York.

Pepsi Co. is the world leader in the food chain business. It consists of many companies amongst which the prominent ones are Pepsi Cola, Frito-lay, Pepsi food international, and Pizza-hut, KFC and Taco bell. The group is presently into three most profitable businesses namely, Beverages Snacks foods and Restaurants. The beverages segment primarily market it Pepsi diet, Pepsi Mountain Dew and other brands worldwide and 7UP outside the U.S. market. They are positioned in close competition with Coca Cola inc. of USA.

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The Snacks food divisions manufacture and distribute and markets others snacks worldwide. The restaurant segment primarily consists of the operations of the worldwide Pizza-Hut, Taco bell, PepsiCo’s restaurant distribution operation; supplies to Company owned and Franchise restaurants in the U.S.

When Coca Cola changed its formula in 1985, Pepsi Stepped up its competition with its long time archrival claiming victory in the Cola-wars. Coke and Pepsi expended their rivalry to tea in 1991 when Pepsi formed a venture with No.1 Lipton in response to Coke’s announced venture with Nestle (Nestea).

“PepsiCo is going blue”. This was the new color adopted by the company to strengthen its brand globally. Also the company is changed colors from Generation X to GENERATION NEXT. Although Pepsi holdings over the years have become diverse in such fields as the Snacks industry and Restaurants industry, this portfolio will discuss its core business and its highly successful business of Beverages. The soft drink industry customer base is probably the widest and deepest base in a world that is flooded with some many categories. According to Beverage Digest the customer base for soft drinks is a whopping 95% of regular users in the United States. This represents a large field of potential customers for Pepsi Cola.

Pepsi prefers to segment itself as the beverage choice of the “New Generation”, “Generation Next”, or just as the “Pepsi Generation”. These terms adopted in Pepsi’s advertising campaigns are referring to the markets that marketers refer to as Generation X. The Generation X consumer is profiled to be between the ages of 18 to 29. They have high expectations in life and are very mobile and active. They adopt a lifestyle of living for today and not worrying about long-term goals. Those Pepsi’s main emphasis on this segment 9

they also have a focus on the 12 to 18 year old market. Pepsi believes if they can get this market to adopt their product then they could establish a loyal customer for life.

Pepsi Cola throughout its 100 years of existence has developed much strength. One of the strengths that have developed Pepsi into such a large corporation is a strong franchise system. The strong franchise system was the backbone of success along with a great entrepreneur spirit. Pepsi’s franchise system and distributors is credited to bring Pepsi from a 7,968 gallons of soda sold in 1903 to nearly 5 billion gallons in the year of 1997.

Pepsi also has the luxury to spend 225 million dollars in advertising a year. This enormous advertising budget allows Pepsi to reinforce their products with reminder advertising and promotions. This large budget also allows Pepsi to introduce new products and very quickly make the consumer become aware of their new products.

Pepsi also has had the good fortune of making very wise investments. Some of the best investments have been in their acquiring several large fast food restaurants. They have also made wise investments in snack food companies like Frito Lay, which at present time is the largest snack company in the world. Probably high on the list of strengths is Pepsi’s beverage line up.

Pepsi has four soft drinks in the top ten beverages in the world. These brands are Pepsi, Mountain Dew, Diet Pepsi, and Caffeine Free Diet Pepsi . Some other strong brands are All Sport, Slice, Tropicana, Starbucks, Aquafina and a license agreement with Ocean Spray Juices.

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Company Profile in Indian Scenario
Since the entry of Pepsi co. to India in 1987, the soft drink Industry has undergone a radical change. When Pepsi entered parley was the leader with ‘Thumps UP’ being its flagship brand. Other product offerings by parley included Limca & Gold Spot. Another upcoming player in the market was the erstwhile bottle of Coca-Cola, Pure Drinks. Its offerings included Campa Cola, Camps Lemon and Campa Orange. With the re-entry of Coca-Cola in the Indian market, Pepsi had to go in for more aggressive marketing to sustain its market share. The chronology the initial phase of the “Coal Wars” in India was:July 1986 An application for soft drinks-cum-snack food joint venture by Pepsi, Voltas and Punjab Agro is submitted to the government after an earlier proposed alliance- 1985, between Pepsi and Duncan’s of the Goenkas fails to take off. Sept.1988 Final approval for the Pepsi Foods Limited (P.F.L) project granted by the Cabinet Committee on Economic Affairs of the Rajeev Gandhi Government. March 1990 Pepsi Cola and Seven up Launched in limited market in North India. May 1990 The government clears the Pepsi project again but with a change in brand name to Lehar Pepsi. Simultaneously it rejects the Coca-Cola application. Citra form the Parle stable hits the market. Dec 1991

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Pepsi extends its soft drinks reach on national scale. Products launched Delhi and Bombay. Jan 1992 Brito Foods application cleared by the FTPB. Pepsi and Parle start initial negotiations for strategic alliance but talks break off after a while. 1993 Pepsi launches Teem and Slice. Captures about 25.30% of the soft drinks market in about two years. July 1993 Volta’s pulls out of PFL joint venture. Pepsi decides to raise equity to 92% Reports of coke – Parle negotiations gain strength. 1994 Pepsi brought Dukes& Sons 1995 Pepsi launched Cans having capacity of 330 ml in various flavors. 1997 Pepsi brought Miranda Orange opposite to Fanta. 1998 Pepsi launched Lemon Miranda to give taught competition to Limca. 1999 Pepsi has launched its Diet Pepsi Can and 1.5 Liters pet battles for health conscious people.

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1997 Refusing to dilute its equity state Coca-Cola winds up operations in the country. Parle launches Thumps Up and Drinks launches Campa Cola. 2001 Pepsi launched Aquafina opposite to Kinley. 2003 Pepsi launched Mountain Dew 2005 Miranda lemon zinger, 7UP.Ice was launched by Pepsi. 2006 Bubbly Pepsi was launched. 2007 Pepsi Gold was launched 2009 Nimbooz by 7up was launched 2010 PepsiCo India recently launched a new flavor named “7UP Ice” in Indian market. It is hard that 7UP. The taste of 7UP Ice is mint. And Miranda Bat Berry. The taste of Miranda Bat Berry is like Glicodin.

2011

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In April 2011, Pepsi announced that customers will be able to buy a complete stranger a soda at a new "social" vending machine, and even record a video that the stranger would see when they pick up the gift. In May 2011, the week before Memorial Day, Pepsi launched a limited edition flavor called "Memorial Day Pepsi", with blueberry and cherry flavors added to the cola. 2012 In March 2012, Pepsi introduced Pepsi Next, a cola with half the calories of regular Pepsi.

History of PepsiCo

1893--Caleb

Bradham, a young pharmacist and industrialist from New Bern, North Carolina,

begins experimenting with many different soft drink concoctions; patrons and friends sample them at his drugstore soda fountain.

1898--It

was first introduced as "Brad's Drink" in New Bern, , North Carolina in 1898 by Caleb

Bradham, a combination of carbonated water, sugar, vanilla, rare oils and cola nuts, is renamed "Pepsi-Cola" on August 28, 1898. Pepsi-Cola receives its first logo.

1902--The

instant popularity of this new drink leads Bradham to devote all of his energy to

developing Pepsi-Cola into a full-fledged business. He applies for a trademark with the U.S. Patent

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Office, Washington D.C., and forms the first Pepsi-Cola Company. The first Pepsi-Cola newspaper advertisements appeared in the New Bern Weekly Journal.

1903--"Doc"

Bradham moves the bottling of Pepsi-Cola from his drugstore into a rented

warehouse; he sells 7,968 gallons of syrup in the first year of operation. Pepsi's theme line is "Exhilarating, Invigorating, and Aids Digestion."

1904--Bradham purchases a building in New Bern known as the "Bishop Factory" for $5,000 and
moves all bottling and syrup operations to this location. Pepsi is sold in six-ounce bottles. Sales increase to 19,848 gallons.

1905--Pepsi-Cola's
Carolina.

first bottling franchises are established in Charlotte and Durham, North

Pepsi receives its new logo, its first change since 1898. 1906--Pepsi gets another logo change, the third in eight years. The modified script logo is created with the slogan, "The Original Pure Food Drink." There are 15 U.S. Pepsi bottling plants. The Pepsi trademark is registered in Canada. Syrup sales rise to 38,605 gallons. The federal government passes the Pure Food and Drug Act, banning substances such as arsenic, lead, barium, and uranium, from food and beverages. This forced many soft drink manufacturers, including Coca-Cola, to change their formulas. Pepsi-Cola, being free of any such impurities, claimed they already met federal requirements. Pepsi receives its new logo, its second change since 1905.

1907--Pepsi-Cola

Company continues to expand; the company's bottling network grows to 40

franchises. Pepsi-Cola sells more than 100,000 gallons of syrup. Pepsi trademark is registered in Mexico. Syrup sales rise to 104,026 gallons.

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1908--Pepsi-Cola

becomes one of the first companies to modernize delivery from horse drawn

carts to motor vehicles. Two hundred fifty bottlers in 24 states are under contract to make and sell Pepsi-Cola.

1909--Automobile

race pioneer Barney Old field endorses Pepsi-Cola in newspaper ads as "A

bully drink...refreshing, invigorating, a fine bracer before a race."

1910--The first Pepsi-Cola bottlers' convention is held in New Bern, North
Carolina

1920--Pepsi theme line speaks to the consumer with "Drink Pepsi-Cola, it will satisfy you." 1923--Pepsi-Cola
Company is declared bankrupt and its assets are sold to a North Carolina

concern, Craven Holding Corporation, for $30,000. Roy C. Megargel, a Wall Street broker, buys the Pepsi trademark, business and good will from Craven Holding Corporation for $35,000, forming the Pepsi-Cola Corporation.

1928--After

five continuous losing years, Megargel reorganizes his company as the National

Pepsi-Cola Company, becoming the fourth parent company to own the Pepsi trademark.

1931--U.S.

District Court for Eastern District Virginia declares the National Pepsi-Cola Company

bankrupt, the second bankruptcy in Pepsi-Cola history. The Loft candy company acquires the National Pepsi-Cola Company. Charles G. Guth, president of Loft, assumes leadership of Pepsi and commands the reformulation of Pepsi-Cola syrup formula.

1933--By the end of the year, Guth's new Pepsi-Cola Company is insolvent. In a series of moves,
he acquires Megargel's interest in the company, giving himself 91% ownership of Pepsi.

1934--A

landmark year for Pepsi-Cola. The drink is a hit and to attract even more sales, the

company begins selling its 12-ounce drink for five cents (the same cost as six ounces of competitive colas). The 12-ounce bottle debuts in Baltimore, where it is an instant success. The cost savings

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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
national

moves the entire Pepsi-Cola operation to Long Island City, New York, and sets up boundaries for the Pepsi bottler franchise system.

territorial

1936--Pepsi 1938--Walter

grants 94 new U.S. franchises and year-end profits reach $2,100,000. S. Mack, Jr., V.P. of Phoenix Securities Corporation is elected President of the

Pepsi-Cola Company. Mack, who considers advertising the keystone of the soft drink business, turns Pepsi into a modern marketing company.

1939--The

"Pepsi & Pete" comic strip introduces the "Twice as much for a nickel" theme in

newspapers. Pepsi-Cola Company names Mack as CEO. The Board of Directors removes Guth from the Pepsi payroll after he plans to personally acquire a competing cola.

1940--Pepsi-Cola

Company makes advertising history with "Nickel, Nickel," the first advertising

jingle ever broadcast nationwide on radio. Pepsi receives its new logo, its third change since 1906.

1941--The

New

York

Stock

Exchange

trades

Pepsi's

stock

for

the

first

time.

In support of the war effort, Pepsi's bottle crown colors change to red, white, and blue.

1943--Pepsi's theme line becomes "Bigger Drink, Better Taste." 1948--Corporate headquarters moves from Long Island City, New York, to midtown Manhattan. 1950-- Alfred N. Steele becomes President and CEO of Pepsi-Cola. Mr. Steele's wife, Hollywood
movie star Joan Crawford, is instrumental in promoting the company's product line. Pepsi receives its new logo, which incorporates the "bottle cap" look. The new logo is the fifth in Pepsi history. 1953-- "The Light Refreshment" campaign capitalizes on a change in the product's formula that reduces caloric content.

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1955--Herbert Barnet is named President of Pepsi-Cola. 1959--Pepsi
debuts at the Moscow Fair. Soviet Premier Khrushchev and U.S. Vice President

Nixon share a Pepsi.

1960--Young adults become the target consumers and Pepsi's advertising keeps pace with "Now
it's Pepsi, for those who think young."

1962--Pepsi receives its new logo, the sixth in Pepsi history. The 'serrated' bottle cap logo debuts,
accompanying the brand's groundbreaking "Pepsi Generation" ad campaign.

1963--After climbing the Pepsi ladder from fountain syrup salesman, Donald M. Kendall is named
CEO of Pepsi-Cola Company. Pepsi-Cola continues to lead the soft drink industry in packaging innovations, when the 12-ounce bottle gives way to the 16-ounce size. Twelve-ounce Pepsi cans are first introduced to the military to transport soft drinks all over the world.

1964--Diet

Pepsi,

America's

first

national

diet

soft

drink,

debuts.

Pepsi-Cola acquires Mountain Dew from the Tip Corporation.

1965--Expansion outside the soft drink industry begins. Frito-Lay of Dallas, Texas, and Pepsi-Cola
merge, forming PepsiCo, Inc. Military 12-ounce cans are such a success that full-scale commercial distribution begins. Mountain Dew launches its first campaign, "Yahoo Mountain Dew...It'll tickle your innards."

1970--Pepsi leads the way into metrics by introducing the industry's first two-liter bottles. Pepsi is
also the first company to respond to consumer preference with light-weight, recyclable, plastic bottles. Vic Bonomo is named President of Pepsi-Cola.

The Pepsi World Headquarters moves from Manhattan to Purchase, NY.

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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.

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

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1984--Pepsi

advertising takes a dramatic turn, as Pepsi becomes "the choice of a New

Generation." Lemon Lime Slice, the first major soft drink with real fruit juice, is introduced, creating a new soft drink category, "juice added." In subsequent line of extensions, Mandarin Orange Slice goes on to become the number one orange soft drink in the U.S. Diet Pepsi is reformulated with NutraSweet (aspartame) brand sweetener.

1985--After

responding to years of decline, Coke loses to Pepsi in preference tests by

reformulating. However, the new formula is met with widespread Consumer rejection, forcing the reintroduction of the original formulation as "Coca-Cola Classic." The cola war takes "one giant sip for mankind," when a Pepsi "space can" is successfully tested aboard the space shuttle. By the end of 1985, the New Generation campaign earns more than 58 major advertising and film-related awards. Pepsi's campaign featuring Lionel Richie is the most remembered in the country, according to consumer preference polls.

1986--Chairman

Donald M. Kendall retires and is succeeded by D. Wayne Calloway. 7-Up

international is acquired in Canada. Pepsi-Cola acquires Mug Root Beer.

1987--Pepsi-Cola

President Roger Enrico is named President/CEO of PepsiCo Worldwide

Beverages. Pepsi-Cola World Headquarters moves from Purchase to Somers, New York. After a 27-year absence, Pepsi returns to Broadway with the lighting of spectacular new neon sign in Times Square.

1988--Craig

Weather

up

is

appointed

President/CEO

of

Pepsi-Cola

Company.

1989--Pepsi

lunges into the next decade by declaring Pepsi lovers "A Generation Ahead." Chris

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Sinclair is named President of Pepsi-Cola International. Pepsi-Cola introduces an exciting new flavor, Wild Cherry Pepsi.

1990--American Music Award and Grammy winner rap artist Young MC writes and performs songs
exclusively for national radio ads for Pepsi. Ray Charles joins the Pepsi family by endorsing Diet Pepsi. The slogan is "You Got the Right One Baby."

1991--Craig E. Weather up is named CEO of Pepsi-Cola North America, as Canada becomes part
of the company's North American operations. Pepsi introduces the first beverage bottles containing recycled polyethylene Terephthalate (or PET) into the marketplace. The development marks the first time recycled plastic is used in direct contact with food in packaging.

1992--Pepsi-Cola launches the "Gotta Have It" theme, which supplants the longstanding "Choice
of a New Generation." Pepsi-Cola and Lipton Tea Partnership is formed. Pepsi will distribute single serve Lipton Original and Lipton Brisk products. Crystal Pepsi: a refreshing, clear soda that is caffeine free has 100% natural flavors, no preservatives and is low in sodium, goes national. Mountain Dew introduces the popular theme line, "Get Vertical."

1993--Brand

Pepsi

introduces

its

slogan,

"Be

Young.

Have

Fun.

Drink

Pepsi".

Pepsi-Cola profits surpass $1 billion. Pepsi introduces an innovative 24-can multipack that satisfies growing consumer demand for convenient large-size soft drink packaging. "The Cube" is easier to carry than the traditional 24-pack and it fits in the refrigerator.

1994--New

advertising introducing Diet Pepsi's freshness dating initiative features Pepsi CEO

Craig Weather up explaining the relationship between freshness and superior taste to consumers. Pepsi Foods International and Pepsi-Cola International merge, creating the PepsiCo Foods and Beverages Company.

1995--In a new campaign, the company declares "Nothing else is a Pepsi" and takes top honors in
the year's national advertising championship.

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1996--In

February of this year, Pepsi makes history once again, by launching one of the most

ambitious entertainment sites on the World Wide Web. Pepsi World Eventually surpasses all expectations, and becomes one of the most landed and copied, sites in this new media, firmly establishing Pepsi's presence on the Internet.

1997--In

the early part of the year, Pepsi pushes into a new era with the unveiling of the

GeneratioNext campaign. GeneratioNext is about everything that is young and fresh; a celebration of the creative spirit. It is about the kind of attitude that challenges the norm with new ideas, at every step of the way. PepsiCo Announces that, effective October 6th, it will spin off its restaurant division to form Tricon Global Restaurants, Inc. Including Pizza Hut, Taco Bell, & KFC, it will be the largest restaurant company in the world in units and second-largest in sales.

1998--Pepsi
donate his

celebrates its 100th anniversary. PepsiCo Chairman and CEO Roger A. Enrico salary to provide scholarships for children of PepsiCo employees.

Pepsi introduces PepsiOne - the first one-calorie drink without that diet taste!

2000--Although

Pepsi is a great place to work, Steven Truitt takes his skills and hard work

elsewhere (for more money of course!), therefore putting an end to his Pepsi page! For more information about Pepsi, choose a search engine and search for 'Pepsi' or visit www.pepsi.com or www.pepsico.com.

2002-- The strategy was cited by Promo Magazine as one of 16 "Ageless Wonders" that "helped
redefine promotion marketing."

2003--

The Centre for Science and Environment (CSE), a non-governmental organization in

New Delhi, said aerated waters produced by soft drinks manufacturers in India, including multinational giants PepsiCo and The Coca-Cola Company, contained toxins, including lindane, DDT, marathon and chlorpyrifos — pesticides that can contribute to cancer, a breakdown of the immune system and cause birth defects. Tested products included Coke, Pepsi, 7 Up, Miranda, Fanta, Thumps Up, Limca, and Sprite. CSE found that the Indian-produced Pepsi's soft drink products had 36 times the level of pesticide residues permitted under European Union regulations;

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Coca Cola's 30 times. CSE said it had tested the same products in the US and found no such residues. However, this was the European standard for water, not for other drinks. No law bans the presence of pesticides in drinks in India.

2004--

The Coca-Cola Company and PepsiCo angrily denied allegations that their products

manufactured in India contained toxin levels far above the norms permitted in the developed world. But an Indian parliamentary committee, in 2004, backed up CSE's findings and a governmentappointed committee, is now trying to develop the world's first pesticides standards for soft drinks. Coke and PepsiCo opposed the move, arguing that lab tests aren't reliable enough to detect minute traces of pesticides in complex drinks.

2005-- The Coca-Cola Company and PepsiCo together hold 95% market share of soft-drink sales
in India. PepsiCo has also been accused by the Puthussery panchayat in the Palakkad district in Kerala, India, of practicing "water piracy" due to its role in exploitation of ground water resources resulting in scarcity of drinking water for the panchayat's residents, who have been pressuring the government to close down the PepsiCo unit in the village.

2006-- Indra Krishnamurthy Nooyi has been the chairman and chief executive officer of PepsiCo
since 2006. During her time, healthier snacks have been marketed and the company is striving for a net-zero impact on the environment. This focus on healthier foods and lifestyles is part of Nooyi's "Performance with Purpose" philosophy.

2007-- PepsiCo redesigned their cans for the fourteenth time, and for the first time, included more
than thirty different backgrounds on each can, introducing a new background every three weeks.

2008--

In October 2008, Pepsi announced that it would be redesigning its logo and re-branding

many of its products by early 2009.

2009--New Slogans are used in this year: "Yeh hai youngistaan meri jaan" (Hindi - meaning "This
is our young country my baby").

2010-- "Youngistan ka wow".
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2011–

"Change the game" (India, Bangladesh & Pakistan for the 2011 Cricket World Cup)

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Organization

Structure

&

Distribution

Channel

25

Chart showing organizational structure & Distribution Channel of PepsiCo India

Our Mission

.

"To be the world's premier consumer Products Company focused on convenience food and beverages. We seek to produce healthy financial rewards to investors as we provide opportunities for growth and enrichment to our employees, our business partners and the communities in which we operate. And in everything we do, we strive for honesty, fairness and integrity."

Our Vision
"To build India’s leading total beverage company, delighting consumers by best meeting their everyday beverage needs, and stakeholders, by delivering performance with purpose, through our talented people."

PepsiCo Sustainability Vision
"PepsiCo’s responsibility is to continually improve all aspects of the world in which we operate – environment, social, economic – creating a better tomorrow than today"

Introduction of Coca-Cola Background of the Company
History of Coca-Cola
In May, 1886, Coca Cola was invented by Doctor John Pemberton a

pharmacist from Atlanta, Georgia. John Pemberton concocted the Coca Cola formula in a three legged brass kettle in his backyard. The name was a suggestion given by John Pemberton's bookkeeper Frank Robinson. Being a bookkeeper, Frank Robinson also had excellent

penmanship. It was he who first scripted”Coca Cola" into the flowing letters which has become the

26

famous logo of today. The soft drink was first sold to the public at the soda fountain in Jacob's Pharmacy in Atlanta on May 8, 1886.

Until 1905, the soft drink, marketed as a tonic, contained extracts of cocaine as well as the caffeine-rich kola nut. By the late 1890s, Coca-Cola was one of America's most popular fountain drinks. With another Atlanta pharmacist, Asa Griggs Candler, at the helm, the Coca-Cola Company increased syrup sales by over 4000% between 1890 and 1900.

Advertising was an important factor in Pemberton and Candler's success and by the turn of the century, the drink was sold across the United States and Canada. Around the same time, the company began selling syrup to independent bottling companies licensed to sell the drink. Even today, the US soft drink industry is organized on this principle. Until the 1960s, both small town and big city dwellers enjoyed carbonated beverages at the local soda fountain or ice cream saloon. Often housed in the drug store, the soda fountain counter served as a meeting place for people of all ages. Often combined with lunch counters, the soda fountain declined in popularity as commercial ice cream, bottled soft drinks, and fast food restaurants came to the fore. On April 23, 1985, the trade secret "New Coke" formula was released. Today, products of the Coca Cola Company are consumed at the rate of more than one billion drinks per day.

The Coca-Cola Company started out as an insignificant one man business and over the last one hundred and ten years it has grown into one of the largest companies in the world. The first operator of the company was Dr. John Pemberton and the current operator is Roberto Goizueta. Without societies help, Coca-Cola could not have become over a 50 billion dollar business. Coca-Cola was invented by Dr. John Pemberton, an Atlanta pharmacist. He concocted the formula in a three legged brass kettle in his backyard on

27

May 8, 1886. He mixed a combination of lime, cinnamon, coca leaves, and the seeds of a Brazilian shrub to make the fabulous beverage (Things go better with Coke).

Coca-Cola debuted in Atlanta's largest pharmacy, Jacob's Pharmacy, as a five cent non- carbonated beverage. Later on, the carbonated water was added to the syrup to make the beverage that we know today as Coca-Cola. Coca-Cola was originally used as a nerve and brain tonic and a medical elixir. Coca-Cola was named by Frank Robinson, one of Pemberton's close friends; he also penned the famous Coca-Cola logo in unique script.

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Coca-Cola in India
After a 16 years absence, Coca-Cola returned to India in 1993. The Company's presence in India was cemented in November that year in a deal that gave drink Coca-Cola ownership of the nation's top soft-brands and bottling network. Coca-Cola India has made significant investments to build and continually improve its business in India, including new production facilities, wastewater treatment plants, and distribution systems and marketing equipment. During the past decade, the Coca-Cola system has invested more than US$ 1 billion in India.

Coca-Cola Products in India
Leading Indian brands Thumps Up, Limca, Maaza, Citra and Gold Spot join the Company's International family of brands including Coca-Cola, Diet Coke, Sprite and Fanta, plus the Schweppes products range.

29

30

"COLA FLAVOURS"
Cola is a most popular flavor in any group of age. This is the most saleable flavor in the world. Both PEPSICO & COCA COLA has its own cola flavor. PEPSICO has a cola flavor named PEPSI and cola flavor of COCA COLA are THUMPS UP & COKE. PEPSI COLA is a cash cow brand for the company in terms of sales revenue. PEPSI has two competitive brands in the cola flavor.

PepsiCo:

Coca-Cola:

31

“LIME & LEMON FLAVORS”
This segment of flavor is very likely in the children and aged person. PepsiCo has three brands in this segment with comparison to the brands of Coca-cola. The Pepsi’s brands are Mountain Dew, 7UP and Nimbooz whether the Coca-cola has its Sprit & Limca in this segment Mountain Dew is sweet lemon soft drink in India and in a few countries. It is mostly demands by the children.

7UP & Nimbooz lemon-lime soft drink. Sales of 7UP is third largest carbonated soft drink brand in U.S. most consumers prefer 7UP as their favourite brand than any other non-cola.

PepsiCo:

32

33

Coca-Cola:

“ORANGE FLAVORS”
This is another type of flavor in the soft drink industry. The taste is like orange. In this segment PEPSI has a brand named MIRINDA whether COCACOLA has its FANTA in orange. This flavor is mostly preferred by children and women

PepsiCo:
Miranda - Orange Dikha to Mooh Bola Miranda
34

Miranda is an international soft drink brand from Spain that was launched in India in 1991.

Coca-Cola:

35

“MANGO FLAVORS”
In this category’s of flavor is like a Mango. This flavor is now becoming more popular in India. In Mango flavor PEPSI has a well known name SLICE whether COCACOLA has a MAZAA in this segment.

PepsiCo:

36

Coca-Cola:

37

Background of the Study
Market study is an essential process to develop the companies’ database by collection of data, analyses of data, reporting of the data according to the specific situation for any marketing activity that the company is facing due to the increase in the competition & the development of various marketing competitors. Modern marketing calls not only for developing a good product, but pricing it attractively & making it accessible to target customers. Organizations also need to communicate with their present & potential customers about their present offerings. Needs to develops an effective & efficient strategy with the aim of creating awareness, developing knowledge and liking preference convictions among the organizations’ target audience with a view to convert them into prospective buyer. This project report is concern with the comparative analysis of the sales of PEPSI and COCA COLA in Kanpur. This project report endeavors to study of "COMPARATIVE ANALYSIS OF PEPSI AND COKE".

Objective of the Study
Basically the objective of the study was gaining the practical knowledge on the researcher’s part. It was also to the gain the practical exposure by applying management theories in the field of marketing & also the partial fulfillment of the MASTERS OF BUSINESS ADMINSTRATION (MBA) Programme.
O n the com panies part t he object ive was " COM PRATI V E ANALYSI S O F PEPSI AND CO KE ” which includes• To det er m ine t he sales of PEPSI br ands out of t ot al soft dr ink sales at Kanpur r egi on. • • To ensur e opt im um use of exist ing sales ef f ort s. Find out t hose point s wher e t he com pany should im pr ove it self .

38

• • •

To f or ecast f ut ur e r equir em ent s for mar ket ing. To link t he com par at ive analysis wit h or ganizat ional planning. To pr ovide a basis for the Sales Im pr ovem ent Pr ogr am m e.

I t is widely accept ed t hat t heor y br oadens ones t hinking & helps in idea gener at ion. But pr act ical appr oach t ends to t est t he f easibilit y of t hese ideas & how far theor et ical knowledge can be applied in a sit uat ion successf ully. The m ar ket r esear ch was conduct ed in com pliance of the given guidelines deliver ed t o us expr essly t o achieve t he given object ives, which wer e as under :

1. 2. 3. 4.

Profitability Improvement Sales To satisfy the customers

Research Methodology Research is a systematized effort to gain new knowledge.
Methodology is the most

important part for such studies. The method of study adopted by me is to increase the knowledge & to gather more information regarding this project. The major emphasis in such studies is on the discovery of the ideas & fruitful relevant information. As such the research design appropriate for such studies must be flexible enough to provide opportunity for considering different aspects of a problem under study. METHODS OF DATA COLLECTION: A) PRIMARY DATA: “ Primary data are those data that have been observed and recoded by the researchers for the first time to their knowledge”.

39

Survey method --

This method was adopted because it helped in securing detailed

information from a sample of respondents. The information received from the respondents is recorded on a form called the questionnaire. This is only method to measure attitude & motivation directly. Open framed discussion with managers.

B)

SECONDARY DATA: “Secondary data are statistics not gathered for the immediate

study at hand but for some other purposes”. I have also used the secondary data, which included the written document of the organization & other places.     HEAD OFFICE (Warehouse) (PepsiCo India Holding Pvt. Ltd. In Kanpur) INTERNET PAPERS & RECORDS MAGAZINES

Research Objectives & Related Sub Objectives
1 2 3 4 5 6 7 8 To examine the retail distribution of Pepsi in comparison of its competitors. To know the expectation of the retailers. To evaluate the market position of Pepsi. To know the other alternatives and its competitor’s brands position in market. To know the brand image of Pepsi among retailers and customer or consumers. To help in development & introduction of new product. To identify the organization features of Pepsi food limited. To study the effect of irregular supply on the sale of product.

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Information Requirements – In Detail & Source of Information
For the study of the market position and potential of Pepsi in city of Kanpur (UP), both primary as well as secondary data was required. Primary data was collected from Retailers. Information required was: 1 2 3 4 5 6 7 8 9 Name of Shop Address of Shop Type of Shop Filled Stock of Pepsi as well as its competitor in shop Unfilled Stock of Pepsi as well as its competitor in shop Stock of Pet bottles of Pepsi and its competitor coke Sale of Pepsi from the outlet Whether any Cooling equipment used or not Hoarding used or not

10 Any display material used or not. So I collected the primary data by conducting the surveys in the city of Kanpur (UP) through the EDS FORMAT, Visi Location, Visi Purity, Visi Charging > 70% and the secondary data was downloaded partially from the Internet and partially the course books.

Research Design Used
There are two types of research design that is basically used in research. These are: 1 2 Conclusive Research Exploratory Research I was required to collect the information about how much stock a particular and new retailer is keeping at the time of survey, type of cooling equipment used, display material used, etc. so the Exploratory Research was the type of research design that was required and being used by me to do the project. But some cases Conclusive Research also used.

41

For my research I had to collect the information and data directly from each and every type of retailer who is selling cold drinks. So the data I collected was the primary data. Hence the research instrument I used was the primary data collection. Therefore the research instrument used in my project was the EDS FORMAT & VISI FORMAT. The EDS FORMAT contains both open ended and closed ended questions. Retailers were asked both the closed ended and open-ended questions and their opinions form the basis of my findings and suggestions.

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Sampling Technique Used & Sample Size
1

Stage 1:
PepsiCo India Holdings Pvt. Ltd has been divided Kanpur city in to Different

areas. Out of those areas the Asst. Sales manager gave me 6 areas to do my work. In these different areas I have to cover shops in which the products of pepsico were selling by shop keepers.

2 Stage 2:
In the different areas given to me by asst. sales manager I have to get information about the reason which motivates shop keepers to sell the product of pepsico. The method used by me to choose shops from different areas was judgmental. I went in those shops in which I saw a poster or hording of pepsi. I also went in those shops in which shopkeepers were selling product of pepsico.

43

Field Work – Method Used For Data Collection
• •
PepsiCo India Holdings Pvt. Ltd had provided me EDS FORMAT & VISI FORMAT. I surveyed the market distributor's area wise and covered each and every shop by judgmental of shops.

• • •

In some cases I have to ask for information to roadside seller of Pepsi & Coke. For collecting the information I have to go to different part of the city. For getting information about the reason behind the selling pepsi & Coke or its products, I have to talk with shopkeepers.

Scope of Study Limitation of Study

Responsible managers & personals in the marketing department of PepsiCo India Holdings Pvt. Ltd. Provide necessary assistance to me in “Comparative Analysis of Pepsi & Coke”. They discussed different aspects & functions of marketing as practical PepsiCo India Ltd. Almost all the necessary information was provided to me in the support of this project report.
However there are some problems, which cannot escape from. The limitations faced, felt or expressed by me are as follows –

• • •

The time duration of two months was not enough to survey the whole market The respondents were not very comfortable while giving information about their stock. Non-cooperative approach and the rude behaviors of the respondents.

44

•

It cannot be used for a means of collecting information in areas where the literacy levels are low as the respondents may not be able to understand the purpose or the language of the EDS FORMAT & VISI FORMAT.

•

There are chances of biasness in some answers as most of people while in the market places are in a hurry and asking question in such ambience is not very fruitful or good idea.

• •

During the survey, the ambience of Kanpur was not well due to extremely hot climate. This report is based on the data & information which was given by the retailers and it has been assumed that they had given correct information.

I tried to overcome on these limitations.

Area Covered .
Mall Road (Direct Route):Mall Road are belongs to direct route. This areas given to me by asst. sales manager I have to get information about the reason.

Shubham Agency (Indirect Route):Canal Road, Ghantaghar, Hulaganj, Marey Co. Bridge, Mall Road, Sutarkhana.

Area Canal Road Ghantaghar Hulaganj Mall Road Mare Co. Brige Sutarkhana

CCX 7 5 10 2 4 4

PCI 19 6 22 11 4 14

Grand Total 26 11 32 13 8 18

45

Figure 1

Channel Type
In the channel type we find which type of shop is there like grocery shop, eating and drinking shop, convenience, leisure.

Channel Convenience Eating & Drinking Grocery Travel & Transports

PCI 27 18 35 1

CCX 5 6 15 1

Grand Total 32 24 50 2

46

Figure 2

Each Dealer Survey
NAME OF DISTRIBUORS: SUBHAM AGENCY

AREA: - Canal Road, Ghantaghar, Hulaganj, Mall Road, Marey Co. Bridge, Sutarkhana

Statu Estim s Name S.No of . Outlet PCI Mixe ( %) d) 1 Bablu Pan Ghasiari Chauraha mandi Canal Convenience Road 78 Mix Address Area Channel Share CCX / ated (PCI /

Cooling Equipment PCI

Asset No.

Size (Lit.) CCX OWN

PCI

47

Shop Mishra 2 Pan Shop Hari 3 PCO Harish 4 Telecom Neta Canal 5 Pan Shop Anoop 6 Jaiswal Rohit 60/37 7 Tea Road Stall Shiv Laxmi 8 Shanker House Gupta Baba Canal 9 Tea Stall Krishna Canal 10 Misthan Bhandar Dwivedi 11 Tea Stall Sonal Monal 12 Tea Stall Express Road Road Drinking Block No. 209 Canal Eating & 100 PCI 48182 570 89 Canal Road Canal Nr. School Marwadi Road Drinking Eating & 100 PCI 51104 400 20 Express Road Road Drinking Eating & 50 Mix 41627 340 Yes Yes Express Road Road Drinking Eating & 100 PCI 51549 380 Road Drinking Coffey Canal Eating & 100 PCI 25114 100 Road Canal Canal Convenience 100 PCI 51545 565 Road Road 16/21 Canal Canal Convenience 100 PCI Yes 16/5 Canal Road Road Convenience 29 Mix 48197 Yes 16/4 Canal Road Road Express Road Road Canal Convenience 20 Mix Yes Batch Shop No.21 Canal No. 2 Road Canall Road Shop No. 96 Canal Convenience 100 PCI 35647 165 Convenience 100 PCI Yes

48

Akshut Canal 13 Tea Stall Bablu 14 Egg Satish 15 Cold Drink Dauji Canal 16 Mishtha n Maya 25/17 17 Cold Road Drink Bajpai 18 General Store Amrees Block h 19 General Road Store Shri Canal 20 Mahalax mi Store Gupta 21 General Store Shanu Canal 22 General Store Ajay Block No.1 Shop 23 General No2 Canal Road Store 24 Soni General 30/12 Road Canal Canal Road Grocery 100 PCI 40556 340 Road Canal Grocery 100 PCI 42264 340 3/3 Canal Road Road Grocery 0 CCX Yes Block No. 1 Shop Canal No. Road 1 Canal Road Grocery 100 PCI 42264 380 97 Express Road Road Grocery 50 Mix Yes Shop No.5 Canal Road No. 15 Canal Grocery 100 PCI PCI Batch Shop No.21 Canal No. 2 Road Canall Road Grocery 100 PCI 47355 480 Road Drinking Canal Canal Eating & 100 PCI 25299 200 Canal Road Road Drinking Eating & 67 Mix Yes Block NO. 29 Canal Shop no.1 Canal Road Road Drinking Eating & 100 PCI 43733 280 Ghasiyari Mandi Road Drinking Canal Eating & 100 PCI 51550 570 13 Express Road Road Drinking Eating & 44 Mix 37178 340 Yes

49

Store Ambrish 60/31 25 General Road Store Jaiswal Express 26 General Ghasiyari Mandi Store Shukla 73/27 27 Pan Ghantaghar Shop Badkau Ghantagh 28 Pan Shop Govind Ghantagh 29 Pan Shop Mishra 30 PCO Arjun 31 Sweet Santosh Ghantagh 32 General Store Shivam Ghantagh 33 General Store Raju 72/2 34 General Building Store Surendr a 35 General Store 36 Priya Hotel 71/187 Teliyana Canal Road Ghantagh ar Leisure 57 Mix 37183 340 Yes Chauraha ar 6/46 Teliyana Ghantagh Grocery 100 PCI 42200 340 ar Kailash Ghantagh Grocery 0 CCX Yes 68/6 Teliyana ar Grocery 100 PCI Yes 71/44 Teliyana ar Grocery 100 PCI 19859 Canal Road ar Drinking Building 71/1 Teliyana ar Ghantagh Eating & 100 PCI 41529 280 72/2 Kailash Ghantagh Convenience 60 Mix 48223 570 Yes 72/4 Ghantaghar ar Convenience 100 PCI 09591 Ghantaghar ar Convenience 67 Mix 32627 340 Yes ar Ghantagh Convenience 67 Mix Yes Yes Road Road Canal Grocery 0 CCX Yes Road Canal Canal Grocery 100 PCI 12562

50

Marwah 37 Hotel Neha 38 PCO Deepak 39 (Guddu) Pan Sh. Sunil

72/2 Building

Kailash

Ghantagh Leisure ar Hulaganj Convenience 100 PCI Yes 0 CCX Yes

62/215 Harbansh Mohal

67/115 Bhusatoli

Hulaganj

Convenience

100

PCI

25115

100

64/233 Gadariya 40 Pan Mohal Shop Kuldeep Lucknow 41 Pan Crossing Shop Rajesh 42 Pan Shop Sunny 64/216 Gadariya 43 Cold Mohal Drink Ramesh 63/61 Harbansh 44 Kirana Mohal Store Sri Shyam 45 General Store Shivam 67/125 Hulaganj 46 General kanpur Store Utsav 14/16 47 General Market Hulaganj Store 48 Dinesh Kirana Bhusatoli Hulaganj Grocery 100 PCI KDA Hulaganj Grocery 30 Mix Yes Hulaganj Grocery 42 Mix Yes Mohal 62/197 Harbansh Hulaganj Grocery 100 PCI 48070 340 Hulaganj Grocery 100 PCI 51105 480 Hulaganj Drinking Eating & 38 Mix PCI 61/18 Hulaganj Hulaganj Convenience 50 Mix Yes Hulaganj Convenience 100 PCI Hulaganj Convenience 100 PCI

51

Store Raju 49 General Store Agrahari 50 General Store Sri Ganesh 51 Shanker G St. Ashu 52 General Store Sri Durga 53 General Store Utakars h 54 General Store S 55 K

Chauraha

61/183 Hulaganj

Hulaganj

Grocery

79

Mix

47032

340

61/183 Hulaganj

Hulaganj

Grocery

100

PCI

16497

200

61/121 Hulaganj

D Hulaganj Grocery 100 PCI 46473 565

66/214 Bhusatoli

Hulaganj

Grocery

100

PCI

25109

100

66/304 Bhusatoli

Hulaganj

Grocery

50

Mix

50996

480

Yes

67/49 Bhusatoli

Hulaganj

Grocery

50

Mix

48063

310

Yes

General Store Mahesh

68/6 Bhusatoli

Hulaganj

Grocery

100

PCI

Yes

56

General Store Geeta

69/107 Bhusatoli

Hulaganj

Grocery

71

Mix

Yes

57

General Store Vidhya

67/71 Bhusatoli

Hulaganj

Grocery

100

PCI

19957

58

Sahu General St.

64/218 Gadariya Hulaganj Mohal Grocery 50 Mix 42231 340 Yes

52

Ravi 64/240 Gadariya 59 General Mohal Store Binda 64/18 60 General Mohal Store Rakesh 61/153 61 General Mohal Hula ganj Store Ashok 61/107 Hulaganj 62 General Sitaram Mohal Store Santosh 61/13 63 General Mohal Hulaganj Store Khemu 64 General Store Shyam Ji 65 General Store Saurabh 64/62 66 General mohal Store Sunil 64/75A Gadariya 67 Provisio Mohal n Store Pappu 68 Vedio Sadhna 66/25 69 General Bhusatoli Store 70 Rahul 63/5 Mall Road Mall Road Convenience 100 PCI 38510 A Hulaganj Grocery 73 Mix 19955 Yes Mohal Hulaganj 61/13 Sitaram Hulaganj Grocery 0 CCX Yes Yes Hulaganj Grocery 0 CCX Yes Yes Gadariya Hulaganj Grocery 50 Mix Yes Mohal Chauraha 61/35 Harbansh Hulaganj Grocery 100 PCI Yes 61/212 Mohal Road Sitaram Canal Hulaganj Grocery 100 PCI Yes Sitaram Hulaganj Grocery 100 PCI Yes Hulaganj Grocery 100 PCI 18947 120 Sitaram Hulaganj Grocery 100 PCI Gadariya Hulaganj Grocery 100 PCI 16433 100 Hulaganj Grocery 100 PCI 41555 270 Yes

53

Pco Mahesh 71 Pan Shop Virendra 72 Pan Shop K K Pan 73 Shop Rajkum 74 ar Pan Mall Road Mall Road Convenience 100 PCI 35123 280 63/2 Mall Road Mall Road Convenience 100 PCI 09564 100 63/2 Mall Road Mall Road Convenience 100 PCI 34484 63/2 Mall Road Mall Road Convenience 100 PCI 25248 200

Shop Ram 75 Pan Khana Shop Anand Eating 76 Restaur ent Ankit Eating 77 Bhojnala y Vipin Kumar 78 Tea Stall Jaanvi Eating 79 Cold Drink Sandee Eating 80 p Cold 95 Mall Road Mall Road Drinking Drink Paras 81 Milk Bar 82 Om General 63/5 Mall Road Mall Road 127 Mall Road Mall Road Drinking Grocery 50 Mix Yes Yes Eating & 58 Mix 47712 Yes & 100 PCI 35958 426A Mall Road Mall Road Drinking & 50 Mix 35002 Yes Mandi 63/2 Ghasiari Mall Road Drinking Eating & 100 PCI 51112 63/2 Mall Road Mall Road Drinking & 100 PCI 44363 63/2 Mall Road Mall Road Drinking & 100 PCI 12823 200 Ji 25/31 Karanchi Mall Road Convenience 100 PCI Yes

54

Store Mahesh Marey Company 83 Pan Pull Shop Bhola Marey 84 Pan Shop Basantu Nr. 85 Pan Cinema Shop Shop Ravi Circular 86 Confecti Marey Company onary Pull Shop Warsi 87 Telecom Marey Company Pull Aqib Javed 88 Confecti onar Ajay 89 Tea Stall Tiwari 40 90 Cold Company Pull Drink Mullu 66/181 91 Pan Motimohal Shop 92 Sharma Electrica ls 65/1 Motimohal Sutarkhan a Convenience 100 PCI Yes a Sutarkhan Convenience 100 PCI 12988 100 Co. Bridge Drinking Marey Marey Eating & 50 Mix Marey Company Pull Shop No. 13 Marey Marey Company Co. Bridge Pull Drinking Eating & 42 Mix 38347 340 Co. Bridge Shop Circular No. 77 Road Marey Convenience 100 PCI 19000 Co. Bridge Circular No. 72 Road Marey Convenience 100 PCI 51103 400 Co. Bridge Road Marey Convenience 50 Mix 34458 340 Yes No. 14 Co. Bridge Sunder Marey Convenience 100 PCI Yes 100 63/5 King Market Co. Bridge Convenience 0 CCX 32718 200 Yes Co. Bridge Marey Convenience 63 Mix 35158 280

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Sanjay 65/229 93 Pan Motimohal Shop Shri Pan 94 Shop Ajmeri 70/47 95 Cold Mohal Drink Daya Shanker 96 Cold Drink Narayan 97 Sweet Babura 72/3 GhantaGhar 98 m Stall Shri Ram 99 General Store Prem Sutarkhan 100 Kirana Store Rahul 66/148 101 General Kachiyana Mohal Store Prateek 102 General Store R 103 K 69/134 General Danakhori Store 104 Pooja General Sutarkhana Sutarkhan Grocery 50 Mix a Sutarkhan Grocery 71 Mix PCI 66/172 Sutarkhan Kachiyana Mohal a Motimohal Grocery 100 PCI Yes a Sutarkhan Grocery 100 PCI Yes 65/47 Motimohal a Grocery 67 Mix 48181 560 65/49 Motimohal a Sutarkhan Grocery 67 Mix 41741 220 Yes Tea Sutarkhana Road a Drinking Sutarkhan Eating & 100 PCI 35006 220 Canal Road a Drinking Sutarkhana Sutarkhan Eating & 63 Mix 38817 280 Mohal a Drinking 70/48 Mathuri Sutarkhan Eating & 75 Mix 44179 280 Yes a Drinking Mathuri Sutarkhan Eating & 67 Mix Yes Sutarkhana a 70/71 Sutarkhan Convenience 60 Mix Yes a Sutarkhan Convenience 100 PCI Yes

56

Store Kaushik 70/42 105 General Sutarkhana Store Munna 70/50 106 General Sutarkhana Store Ajendra 71/155 107 General Sutarkhana Store Ramu 72/2 Sutarkhana 108 General Kailash Building Store

a Sutarkhan Grocery a 100 PCI Yes

Sutarkhan Grocery a 50 Mix Yes

Sutarkhan Grocery a 100 PCI Yes

Sutarkhan Grocery a 100 PCI 49529 540

Market Share of Cold Stocks PEPSI EDS REPORT COKE MIXED 58% 6% 35%
Figure 3

EDS REPORT

PEPSI COKE

71% 29%
Figure 4

57

Figure 3

Figure 4

58

Interpretation: - As these pie charts show the market share of pepsi is more than coke. The reasons may be many like better promotional schemes, good advertisement through different media, better services, etc.

59

60

Distribution of Visi (Freeze).

1. 2. 3.

Visi of Pepsi Visi of Coke Own Freeze

55% 27% 19%

61

VISI ANALYSIS REPORT
Create Visi 1st Visi S.No. Oulet Name Address Positio Purity n Mahesh 1 Shop Pan Marey CCX Company Pull Shop No. 13 Marey 2 Ajay Tea Stall Company Pull Shop No. 14 Circular Road CCX Ravi 3 Confectionary Marey Company Pull Shop No. 72 Circular Road PCI Warsi 4 Telecom Marey Company Pull 64/216 Sunny 5 Drink Cold Gadariya Mohal 89 Road Dwivedi 6 Stall Om 7 Store General Tea Marwadi School 63/5 Road 63/5 8 Rahul Pco Bhola 9 Shop Basantu 10 Shop Pan Pan Road 63/5 Market Nr. Sunder PCI Cinema Y Y PCI Y King CCX Y N N/A N Mall PCI Y Y PCI Y Mall CCX Y N N/A N Canal Nr. PCI Y Y PCI Y PCI Y Y N/A N Y Y PCI Y Y Y
N/A

Rack Chargin Chargin g > 70 % g 5 Case Y Y PCI Y Minimum -1 2 Stacking FMO FMO-

CCX

Y

Y

PCI

Y

Y

62

Mahesh 11 Shop Virendra 12 Shop

Pan

63/2 Road

Mall PCI Y Y PCI Y

Pan

63/2 Road 63/2

Mall PCI Mall PCI Y Y PCI Y Y Y PCI Y

13

K K Pan Shop Anand

Road 63/2 Road 63/2 Road 63/2 Ghasiari PCI Y Y PCI Y Mandi Mall PCI Y Y N/A Y Mall PCI Y Y N/A Y

14

Restaurent Ankit

15

Bhojnalay Vipin Kumar

16

Tea Stall Jaanvi Cold

426-A Road

Mall CCX Y N PCI Y

17

Drink Sandeep Cold

PCI 18 Drink 95 Mall Road 127 19 Paras Milk Bar Rajkumar Pan PCI 20 Shop Mall Road Ghasiari Bablu 21 Shop Shiv Shanker 22 Gupta Pan mandi Chauraha Laxmi Coffey PCI House Batch Bajpai 23 General Store No.21 PCI PCI Road Mall PCI

Y

Y

PCI

Y

Y

Y

N/A

Y

Y

Y

N/A

Y

Y

Y

N/A

Y

Y

N

N/A

Y

Shop No. 2 Canall Road Shop No. 96

Y

Y

N/A

Y

PCI 24 25 Hari PCO Baba Tea Stall Krishna Misthan 26 Bhandar 20 Road Express CCX Express Road Express Road PCI

Y Y

Y Y

N/A N/A

Y Y

Y

Y

N/A

Y

63

Akshut 27 Stall Neta 28 Shop

Tea

13 Road

Express PCI Y Y N/A Y

Pan

16/5 Road

Canal PCI Y N N/A N

Block No. 15 Amreesh 29 General Store Sonal 30 Monal Shop No.5 PCI Y Y N/A Y

Canal Road Block No. 209 PCI Y Y PCI Y Express Road Block No. 1

Tea Stall

Gupta General 31 Store

Shop No. 1 Canal Road 61/107 Hulaganj

PCI

Y

Y

N/A

Y

PCI Ashok 32 General Store Ashu General 33 Store Sitaram Mohal 66/214 PCI Bhusatoli Ghasiyari PCI 34 Bablu Egg Mandi 71/1 Teliyana PCI 35 Arjun Sweet Soni 36 Store General Canal Road 30/12 Road 60/37 37 Rohit Tea Stall Ambrish 38 General Store Road 60/31 Road Block NO. 29 Satish 39 Drink Govind 40 41 Shop Aqib Javed Pan Cold Shop no.-1 PCI Canal PCI Canal PCI Canal PCI

Y

Y

N/A

Y

Y

Y

N/A

N

Y

Y

N/A

Y

Y

Y

N/A

Y

Y

Y

N/A

Y

Y

Y

N/A

Y

Y

Y

N/A

Y

Y

Y

N/A

Y

Canal Road 72/4 CCX Ghantaghar Shop No. 77 Circular Road PCI Y N N/A N Y Y N/A Y

Confectionar

64

Marey Company Pull 63/61 Ramesh 42 Kirana Store Harbansh Mohal 62/197 Sri 43 Shyam Harbansh Mohal 61/183 PCI 44 Store Agrahari 45 General Store Sri 46 Ganesh Hulaganj 61/183 PCI Hulaganj 61/121 Hulaganj 66/181 PCI 47 Shop Utakarsh 48 General Store Sri 49 Durga Motimohal 67/49 CCX Bhusatoli 66/304 PCI General Store Geeta General 50 Store Bhusatoli 67/71 PCI Bhusatoli Block Ajay 51 Store Santosh 52 General Store Deepak (Guddu) 53 Sh. Pan 67/115 Bhusatoli 71/187 Teliyana 54 55 Priya Hotel Mishra PCO Canal Road 72/2 Kailash PCI Y Y N/A Y PCI Y Y N/A N PCI Y Y N/A Y General Shop No.-1 No-2 PCI Y Y N/A Y Y Y N/A Y Y Y N/A Y Y Y N/A Y Y Y N/A Y D PCI Shanker G St. Mullu Pan Y Y N/A Y Y Y N/A Y Y Y PCI Y PCI Y Y N/A Y PCI Y Y N/A Y

General Store Raju General

Canal Road 71/44 PCI Teliyana Y Y N/A Y

Building

65

Raju General 56 Store Badkau 57 Shop Shri 58 Ram Pan

72/2

Kailash CCX Y N CCX N

Building CCX Ghantaghar 65/49 PCI Y Y N/A N Motimohal 65/47 PCI Y Y N/A Y Motimohal 64/218 Y Y N/A Y

General Store Prem Kirana

59

Store

Vidhya 60

Sahu

Gadariya Mohal 64/240

PCI

Y

Y

N/A

N

General St.

Ravi 61 Store

General

Gadariya Mohal 64/18

CCX

Y

Y

N/A

Y

Binda General 62 Store R K General 63 Store Daya Shanker 64 Cold Drink

Gadariya Mohal 69/134

PCI

Y

Y

N/A

Y

PCI Danakhori 70/48 Mathuri PCI Mohal 72/2 Sutarkhana PCI Ramu General 65 Store Kailash Building 72/3 GhantaGhar PCI Baburam Tea 66 Stall Shukla 67 Shop Surendra 68 General Store Pan Sutarkhana Road 73/27 CCX Ghantaghar 6/46 Teliyana PCI Chauraha

Y

Y

N/A

Y

Y

Y

PCI

Y

Y

Y

N/A

Y

Y

Y

N/A

N

Y

Y

N/A

Y

Y

Y

N/A

Y

66

Sadhna 69 General Store Maya 70 Drink Narayan 71 Sweet Cold

66/25 Bhusatoli 25/17 Road Sutarkhana

-A CCX Canal PCI Y Y N/A Y Y Y N/A Y

PCI Canal Road Express Road Jaiswal 72 General Store Ghasiyari Mandi 72/2 73 Marwah Hotel Sunil Provision 74 Store Kailash CCX Building 64/75-A Gadariya Mohal 61/13 Sitaram Mohal 75 Pappu Vedio Hulaganj 14/16 Utsav General 76 Store Harish 77 Telecom Market Hulaganj 16/4 Road 16/21 78 Anoop Jaiswal Shri Mahalaxmi 79 Store Dauji CCX 80 Mishthan Canal Road 66/172 Kachiyana CCX Prateek 81 82 General Store Rajesh Shop Pan Mohal Motimohal 61/18 Hulaganj CCX 97 Road Express CCX Road Canal CCX Canal CCX KDA CCX CCX CCX CCX

Y

Y

N/A

Y

N

N

CCX

N

N

N

CCX

N

N

N

CCX

N

N

N

CCX

N

N

N

N/A

N

N

N

N/A

N

N

N

N/A

N

N

N

N/A

N

N

N

N/A

N

N

N

N/A

N

N

N

N/A

N

67

Munna 83 General Store

70/50 CCX Sutarkhana 70/71 CCX N N N/A N N N N/A N

84

Shri Pan Shop

Sutarkhana

VISI LOCATION Ist Location of Pepsi Visi: 68 % Ist Location of Coke Visi: 32 %

VISI PURITY

Pepsi Visi-Purity: 85.00% Coke Visi-Purity: 15.00% 68

69

VISI CHARGING >70%

Pepsi : Coke :

76 % 24 %

70

RACK CHARGING

Pepsi: Coke: Not Allotted

18% 6% 76%

71

SWOT ANALYSIS OF PEPSICO

An analysis that includes environmental analysis, competitive analysis and analysis of corporate strengths, weakness, threats and opportunities.

S.NO. STRENGTHS 1 Big Brand Name in India.

WEAKNESSES Demands of specific products are not fulfilled.

Company has goodwill among the Communication 2 public. Top management decides strategic planning 3 regarding the availability, affordability of its brands. 4 5 60 % market covered in India. 6 7 8 production. Top management is very effective it 9 take decisions on every aspect of business like social responsibility, Strong Distribution channel. Good Advertisement. Company has automatic plant for season. Good Schemes. Increasing Market Share. Leakage Problem. and its implementation

Gap

between

Distributor and Retailer.

Distributor does not work properly in

Stock shortage problem in season. Shortage of fridge or VISI in market. No maintenance of fridge or VISI.

Sales representatives of company are not performing according their

efficiency so sales effected.

sales promotion marketing, finance 72

distribution etc.

S.NO. OPPORTUNITIES

THREATS

NIMBOOZ 1 LIMCA.

is

a

good

option

for Competitor (Coca-Cola). The forthcoming market would be the market of consumers. must be So the

2

Expend the market in rural area. schemes oriented. Main competitor of Pepsi is Coke. Now a day’s coke is Improving consumers

3

Attractive Schemes.

planning,

strategies Company

&

its should

implementation.

also change the market strategies. Now Increase number of VISI and create 4 Pepsi Monopoly market. company should plan according customer’s preferences. 5 Increasing Market Share60 % market Change Demand. 73 consumers are quantity conscious so a day’s awareness rapidly of so

consumers

increasing

covered in India. Company should consider on non6 user of cold drink Company can capture more market 7 share when introduces 200ml. For children at reasonable price Company 8 that retailers pay more attention towards our products. must be decided to

established more visi in the market so

SWOT ANALYSIS OF COCA-COLA

S.NO. 1 2 3 4 5

STRENGTHS Big brand name in India and Abroad.

WEAKNESSES

Communication Outstanding Reputations.

Gap

between

Distributor and Retailer. Broader Product Line. Good Schemes. Increasing Market Share. season. 45 % market covered in India and 60 % 6 market in Abroad. 7 8 9 production. 74 Strong Distribution channel. Good Advertisement. Company has automatic plant for Stock shortage problem in season. Schemes are a Big Issue. Purification Problem. Distributor does not work properly in

S.NO. 1 2

OPPORTUNITIES LIMCA is a good option for Pepsi. Expend the Market in All area.

THREATS Competitor (PepsiCo). Nimbooz

3

Attractive Schemes.

Wholesaler.

Increase number of VISI and create 4 Pepsi Monopoly market. 5 Increasing number of Distributors. Change Demand. Consistent in Test.

Finding and Interpretation 1 In terms of availability Pepsi is the most captured brands in the market 2 Pepsi's Aquafina is the most captured brand in the market, while on the other hand most of the retailers are not interested in selling Aquafina because of less margin compare to other brands. 3 Most of the retailers are happy with the services of the PepsiCo, while some reported that the distributors are not very cooperative. 4 Most of the retailers having company's cooling equipment are not satisfied with after sale services. In peak season of May and June most of Pepsi Company's were not working properly. 5 Most of the retailers reported that they have not received any display material or hoarding since last one year or so. 6 Leakage and damage bottles are not return in distributor’s side. 7 In some cases few retailer shown me Insect or fungus in the sealed glass bottle and 75

reported against the cleanliness of glass bottles of PepsiCo. 8 The most demanded pack of cold drink is of 200ml of glass bottle as it is in easy reach of common or lower class customer. 9 Schemes are not provided timely.

CONCLUSION OF THE STUDY As the results shows that market share of Pepsi cold drinks is more than the cocacola, but it has some drawback like poor services in some areas, no maintenance of cooling equipment, cleanliness of glass bottles, recent allegations on the PepsiCo, etc. are the hurdle in path of growth of PepsiCo in India.

If we talk about its distribution network in Kanpur city, as survey results shows it is satisfactory but in some areas retailers reported that the distributor is not giving heed to their problems and uncooperative. And the delivery is not very regular in the peak season in some areas and retailer are facing stock outs.

Advertisement which is backbone of any business in today's world is very good in PepsiCo India. Pepsi is running various sales promotional schemes and promotional campaign for retailers, so that the company can meet the expectations of the retailer as compare to its competitor. Among the different pack of cold drinks most selling pack is 200 ml glass bottle as it is in reach of common man. Most of the retailer have suggested for the better services.

76

Kanpur city has the very good market for cold drinks and it can be captured by good promotional schemes and better services. The only competitor of PEPSI is COCA-COLA, & no local brands can beat PEPSI. Suggestions On the Basis of above study following suggestions can be given: 1 Perform a detail demand survey at regular interval to know about the unique needs and requirements of the customer. 2 Better schemes should be introduced in the market & schemes should be provided timely. 3 There should be regular visit of company's high official to the market for listening to the problems of the retailers. 4 The company should be always in a position to receive continuous feedback and suggestions from its customers / consumers as well as from. 5 The market and try to solve it without any delay to establish its own good credibility. 6 Display material should be provided in large quantity so that it motivate retailer also helpful in receiving customer attention and ultimately better sales. 7 More cooling equipment should be provided to retailers, so that retailer can stock Pepsi brands more and it also play role of display material. 8 There should be regular inspection of Pepsi's cooling equipments for malfunctioning and maintenance of the same for the longer period of time. 9 Company should contact and try for new businesses. Like Railways, Airport and in Airlines, Bus Depot, Hotels, restaurant, etc. 10 Rural people should be made aware of cold drink, they may be good prospects and some low price policies should be made for them. Recommendations 77

1 Pepsi, the choice of youth is not providing the first choice of young generation. Youth want something strong in cold drinks & thus prefers strong taste. Pepsi should come out with some extra strong taste to catch up maximum young generation and to become exactly Generation Next drink. 2 The distribution channel should be focused on general stores because most of the people purchase soft drinks from general stores. 3 The company should update the people about pesticides time to time because most of the people still afraid of pesticides. 4 Most of the elders in the family take soft drinks but not pepsi they considered more orange and less strong taste company should come up with new taste keeping elders in its mind to increase sale and market share. 5 People are Confused about the role of pepsi in health company should clear the soft drink role whether it is beneficial for health or not. 6 Pepsi co should improved its advertisement quality, it should be realistic not imaginary. 7 People get updated by T.V. pepsico should increase the updating by publicity as well as by Hoardings. 8 Consistency (Nimbooz, Coke Diet). 9 Number of Visi. 10 Services of Visi. 11 Demand effectiveness improper. 12 Retailer depends on supplier. 13 Create Monopoly market with the help of Visi. 14 Schemes attract to retailer.

78

SPECIMEN OF QUESTIONNAIRE

Name

of

Dealer:

_______________________________________________________________ Contact _______________________________________________________________ Address: _____________________________________________________________________ Landmark: ___________________________________________________________________ Contact __________________________________________________________________ No.: Person:



Kind of Shop:

 
 Which brand you purchase:

Eatery Grocery

 

Confectionary Others



PEPSI 79



Both



COCA-COLA



Which flavor you purchase more

 

COLA Lime & Lemon

 

Orange Mango



Which volume of Pack preferred by customers:

 
 Age group of your customers:

200ml 300ml

 

600ml 2Ltr.

 


Below 15 yrs 15-25 yrs

   

25-35 yrs 35 yrs & Above

Customer's preference depends upon:

 


Brand Advertisement

Availability Scheme

If customer's preference depends upon schemes, than which age group is mainly affected by it.



Below 15 yrs



25-35 yrs

80




15-25 yrs



35 yrs & Above

Average monthly consumption of PEPSI & COCA-COLA

 


PEPSI COCA-COLA

………………. ……………….

Do you make some extra efforts to sell/promote the PEPSI:

 


Yes No

If yes, then what type: …………………………………………………………………………. ………………………………………………………………………….



Asset No. (Freezer No.)(Only for Pepsi) …………………………….



Any suggestion to the company: …………………………………………………………………………. ………………………………………………………………………….

81

BIBLIOGRAPHY

Websites

http://www.pepsico.com/ http://www.pepsi.com/ http://www.google.com/ http://www.Cocacola.com http://www.cocacolaindia.com

Books Referred Marketing Management – Philip Kotler ResearchMethodology–Kothari

82