RETAILERS PERCEPTION TOWARDS COCA COLA PRODUCTS IN NELLORE MARKET BY M.

BALAKOTESWARARAO (Reg No: 35103043) A PROJECT REPORT Submitted to the SRM SCHOOL OF MANAGEMENT In partial fulfillment of the requirements for the award of the degree Of MASTER OF BUSINESS ADMINISTRATION

SRM ENGINEERING COLLEGE SRM INSTITUTE OF SCIENCE AND TECHNOLOGY (Deemed University) CHENNAI June-2005

BONAFIDE CERTIFICATE

Certified that this project report titled RETAILERS PERCEPTION TOWARDS COCA COLA PRODUCTS IN NELLORE MARKET is the bonafide work of Mr. M. BalakoteswaraRao who carried out the research under my supervision. Certified further that to the best of my knowledge the work reported here in does not from part of any other project report or dissertation on the basis of which a degree or award was conferred on an earlier occasion on this or any other candidate.

Signature of the Guide Prof. S.Sundarajan

Signature of HOD Dr. Jayshree suresh

ABSTRACT The soft drink industry was a seasonal business in the early days, operating primarily during the summer months. Sales were limited by few outlets for the new carbonated beverages, and by the consumers restricted mobility. Now gradually, demand grew for soft drinks to be consumed in the home bottling the product proved difficult at first, since pressure from the carbon dioxide forced corks right out of the bottles. Clearly if soft drinks were have to be way to keen them corked. Inventors worked for years to develop a solution, patenting some 1500 different corks, caps and lids for soft drink bottles. The soft drink industry has been under going much transformation with changing customer demand, government policy and innovation in packing as effective manner. Coca cola products are well accepted by the people. There is a stiff competition from Pepsi. In order to achieve steady growth in this highly competitive

market with Pepsi, the company should well informed about the major competitors in the market. So the study was under taken on retailers attitude towards performance and service provided by the company. The primary objective of the study is to know the satisfaction level of retailers towards coca cola products. In this study, the research found that 45 % of respondents said Sprite is the most fast moving drink and next Thumps up was 30 %.Limca was 15% and the last coca cola is 10 % in the sample area. In this study we also identified 40 % of the retailers said that all categories of people are visiting their outlets. The more effective effective media is televisions said by the 75 % of respondents. In the study statistically proved that there is no significant relation ship between advertisement and sales. The suggestions includes that frequency of advertising in television must be increased. Many of the retailers recommended the company has to provide some extra benefits to them. The company has to introduce some new flavors. ACKNOWLEDGMENT We owe everything in our life to others. A person single handedly cannot achieve anything in life. In that attempt to do our project, many people have graciously extended their guidance, advice, and criticism to improve our standard of work.

We express our heartfelt thanks to our project guide, Prof. S. Sundararajan Professor S.R.M. School of Management Chennai, for his kind co-operation, encouragement and valuable suggestions that helped me in completion of my project work.

I express my heartily gratitude to Mr. G.RamanaMurthy, Human Resources manager, for his immense help in getting me this project. I would also like to thank Mr. Srinivasrao, Area sales manager, for his kind co-operation and guidance.

We express our sincere thanks to our respected H.O.D, Dr.Jayshree Suresh MBA, Ph.D who took keen interest in our project M.BALAKOTESWARARAO CHAPTER 1.1 1.2 1.3 1.4 1.5 1.6 CHAPETR-2 2.1 2.2 2.3 2.4 .CHAPTER-3 3.1 3.2 3.3 CHAPTER- 4 4.1 4.2 FINDINGS SUGGESTIONS 55 56 ANALYSISAND INTREPRETATION STATISTICAL TOOLS GRAPHICAL METHOD 26 27 29 COMPANY PROFILE PRODUCT PROFILE METHODOLOGY HYPOTHESIS 13 19 21 23 INTRODUCTION INDUSTRY PROFILE STATEMENT OF THE PROBLEM OBJECTIVES SCOPE OF THE STUDY LIMITATIONS Contents Title Page No 1 5 9 10 11 12

CHAPTER-5 CHAPTER-6 CHAPTER-7 S.NO 3.1 3.2 3.3 3.4 3.5 3.6 3.7 3.8 3.9 3..10 3.11 3.12

CONCLUSION ANNEXURES BIBLIOGRAPHY LIST OF TABLES

57 58 60 PAGE NO. 29 31 33 35 37 39 41 43 45 47 49 51

TITLES DISTRIBUTION OF RETAILERS ON THE BASIS OF AGE NATURE OF BUSINESS EXPERIENCE IN SELLING SOFT DRINK MOST FAST MOVING DRINK IN YOUR SHOP MOST FAST MOVING BOTLE SIZE PRICE ASPECTS OF COCA COLA PRODUTS TYPE OF CUSTOMERS ARE VISTING PERCEPTION OF RETAILERS ABOUT SOFT DRINKS ANNUAL TURNOVER OF COCA COLA PRODUCTS IN STANDARD UNITS ( CASES) ADDVERTISEMENT ARE NECESSARY TO INCREASE COCA COLA PRODUCTS EFFECTIVE NESS OF VARIOUS MEDIA STORAGE MODE PRODUCTS OF COCA COLA

LIST OF CHARTS S.NO 3.1.1 3.2.2 3.3.3 3.4.4 3.5.5 3.6.6 3.7.7 3.8.8 3.9.9 3.10.10 3.11.11 3.12.12 TITLES DISTRIBUTION OF RETAILERS ON THE BASIS OF AGE NATURE OF BUSINESS EXPERIENCE IN SELLING SOFT DRINK MOST FAST MOVING DRINK IN YOUR SHOP MOST FAST MOVING BOTLE SIZE PRICE ASPECTS OF COCA COLA PRODUTS TYPE OF CUSTOMERS ARE VISTING PERCEPTION OF RETAILERS ABOUT SOFT DRINKS ANNUAL TURNOVER OF COCA COLA PRODUCTS IN STANDARD UNITS ( CASES) ADDVERTISEMENT ARE NECESSARY TO INCREASE COCA COLA PRODUCTS EFFECTIVE NESS OF VARIOUS MEDIA STORAGE MODE PRODUCTS OF COCA COLA PAGE NO. 30 32 34 36 38 40 42 44 46 48 50 52

1.1 Introduction: The History of America and soft Drinks Go Hand in Hand. A uniquely American industry, the manufacturing of soft drinks began in the 1830s. How ever, the evolution of soft drinks took place over a much longer Time Period. The forerunners of soft drinks began more than 2,000 years ago when Hippocrates, the Father of Medicine, firs suspected that mineral waters could be beneficial to our well-being. But Hippocrates did not envision drinking the envision water bubbling from the earths crust. Instead the Greek and Romans

used hem for bathing and relaxations. More than a thousand years passed before mineral waters made the transitions from therapeutic bath refreshing beverage. By the 1830s both artificial and natural mineral waters were considered healthy and refreshing products in America. But pharmacists, believing they could improve upon their curative properties experimented with a multitude of ingredients from birch bark to dandelions. And while no miracle cures developed, some very interesting flavors and tastes were discovered. Ginger ale, root Beer sarsaparilla, Lemon and strawberry were among the most popular of the early flavors. The Soft drink industry was a seasonal business in the early days, operating primarily during the summer months. Sales were limited by few outlets for the new carbonated beverages, and by the consumers restricted mobility. Gradually, demand grew for soft drinks to be consumed in the home. Bottling the product proved difficult at first, since pressure from the carbon dioxide forced corks right out of he bottles. Clearly, if soft drinks were have to be a way to keep hem corked. Inventors worked for years to develop a solution, patenting some 1,500 different corks, caps and lids for soft drink bottles. Then, in 1982 he crown cap was invented. Tiny design, the crown completely revolutionized the soft drink industry by preventing the escape of carbon dioxide from bottled beverages. In fact, it was he dominant soft drink closure for more than 70 years. Automatic vending machines began to appear in the 1920s, once again changing the business of soft drinks. Vending machines and fountain dispensers led the way to the expansion of soft drinks to industrial outlets. Americans could now consume the popular beverage at home or work. New technology helped soft drink bottlers meet growing consumer demand by significantly increasing the products availability. The mushrooming demand for product resulted in the growth of the soft drink industry, from the pharmacies into a national

industry. Inventors of soft drink spread their products across America by opening strategically placed bottling facilities through franchise agreements. Eventually it became clear that supplying a growing nations thirst for soft drink would require more than a few additional bottling plants. But until the 1890s the industry was primarily one of manual operations. Glass bottles were blown individually, while filling, sealing, mixing and packing were almost totally manual operations. Expansion could not occur without a more mechanized process. That changed between 1880 and 1910. New, automated machinery was developed, making the soft drink industry more efficient and productive. The number of plants bottling soft dinks increased from 1,337 to 4,916, as sales soared. The industrial age was in full swing, Americas population was exploding and soft dink demand was booming. Together, the soft drink industry and the nation entered the era of mass production and national marketing. New, modern machinery turned out uniform products and significantly increased the production of soft drinks. By the time the great depression hit, carbonated beverages already were established as part of the American way of life. Consumers were unwilling to give up soft drinks one of the small pleasures they could still afford to enjoy. Responding to consumers demand, the industry rolled out soft drinks in cans and introduced diet beverages to the market. Carriers were developed for convenience and ease in taking soft drinks from the store to the home. America and its soft drink industry suffered hard ships caused by World War II. Shortages f cork, sugar and steel significantly impacted the manufacturing process, but soft drinks continued to be available to the public. The soft drink industry participated in scrap metal collections drives and made significant efforts to conserve natural resources in order to support the war effort. Soft drinks were classified as essential to solider morale by the U.S. war department and both the soft drink and federal government made every effort to

provide troops with products. When unable to ship soft drink directly to the soldiers, the government sent machinery and materials so they could be made on the spot. Since that time, the country has experienced significant progress a man on the moon, colour TV, computers and compact disks players. For the soft drink industry, it has meant the development of new flavors, the sale of canned products in vending machines, and the invention of polyethylene Terephthalate (PET) bottles. Soft drink companies have kept pace with the nations endless thirst for refreshment. While many things have changed throughout the years, soft drinks continue to be Americas beverage of choice. Soft drinks are good part of America. 1.2 INDUSTRY PROFILE SOFT DRINKS: Cool drinks are other wise called soft drink. They are having the content type of non-alcoholic, carbonated, flavored or other wise sweetened beverages. Soft drinks are most packed in 200 ml, 300ml, and 500ml, 1lts, 1.5lts, 2lts, bottles. The soft drink industry has been under going much transformation with changing customer demand, government policy and innovation in packing as effective manner. Normally soft drinks are of four flavors Cola, Orange, and lime, Mango. In 1996-97 the marketing share of cola flavor keeps its same Position of 1995 without any considerable change. There is a good Possibility of consumption of soft drinks to come up with the new Area of attractive advertisement and day-to-day change in the life style. SEGMENTATION OF SOFT DRINK: We can segment the soft drink market according to the following: Demographic and Geographic

Demographic segmentation: When compared to rural area in the case of other consumer Product, the consumption of soft drinks is very high in urban area. It includes age, income, education, sex and other related aspects. Geographic segmentation: The consumption of soft drinks will be higher in the place of high Humidity and temperature, which includes loss of body fluid. Here the consumers use soft drinks to replenish the lost body fluid. User status: A. A particular class of consumers using the soft drinks as a substitute for water. B. The group of consumers of individuals also serves soft drinks during some social functions. This segment has emerged as the most rapidly growing market. Major indicators of soft drink market: Coke, Pepsi, Parle, Cadburys drinks are dictating the terms for bottled soft drinks. Coke when came to India in 1993 brought up the parle products. Now in the soft drink market, coke and Pepsi are the giants. In all India basis Pepsi is having 43% share of soft drink market against cokes 51%. Coke has an advantage of traditional brand image of parle drinks. Cadburys Schweppes is the 316.11 crores company is trying to capture the market. But it is struggling to survive in the market. There are many regional brands and companies, which are frequently launching many new brands, Bejoice, Torino, Mangold are few to name.

The Role Players: 1. COCA COLA: In 1993, coke was re launched in India brought up by the parle brands and is having an appreciable growth in the Indian market. 2. PEPSI: Pepsi entered the market in 1989 and has shown an upward range Curve Important and new change in Cola Market: Coke redesigned Thumps up logo sticking the blue box at the sole of all red Thumps-up Coca cola is in talks with their sole bottler in Karnataka Brindavan Beverages private limited for a joint venture. Brindavan Beverages is a part of Ladhani group of industries, which is one of the largest bottlers in the country. Currently coke is bottled in Chennai and transported to Bang lore with the assistance of Brindavan Beverages; coke is planning to bring 3 million cases of Thumpsup, Limca, and sprite per annum. Brand Recall for the soft Drinks: According to the study conducted by the Indian Market Research Bureau in soft drinks there is a tie for the top squad between coke and Pepsi, with coke lagging behind by only 1% point on the overall basis. Coke is Lagging Behind in Mumbai, Delhi, Banglore, whereas in the other states, coke is edging out pepsi. The Third sport went higher top mind to recall over pepsi and coke in Hyderabad and Ahmedabad.

1.3 STATEMENT OF THE PROBLEM

Coca cola products are well accepted by the people. There is stiff competition from Pepsi. In order to achieve steady growth in this highly competitive market with Pepsi, the company should well informed about the major competitors in the market. So, the study was under taken on retailers attitude towards performance and service provided by the company and sales of the coca cola products. 1.4 OBJECTIVES Primary objective: 1. To know the perception of retailers towards coca cola products. Secondary objective:

1. To find out the sales of coca cola products.

2. To find out the various promotional schemes provided by coke to their retailers.

3. To know the effectiveness of advertising.

1.5 SCOPE OF THE STUDY: This project totally attempts to study and understand the brand image of coca cola soft drink and opinions of retailers towards coca cola products

The retailers views about the price level, quality, advertisement effect and product expectance was collected. This would help the company to assess the brand image in the market. This study helps to know about the various factors that influence the retailers to buy the product of particular brand. 1.6 LIMITATIONS 1. The survey was limited only to Nellore town 2. The survey is carried out with in a short span of time for two months. The survey was conducted with 100 samples. 3. Due to non-availability of retailers because of business during peak hours, most of the respondents are reluctant to respond 4. Due to various factors the information provided by retailers has its own bias. 5. The accuracy of figures and data are subjected to the retailers statements and views. However attempts were made to get much as genuine information as it could possible. 2.1 COMPANY PROFILE: The coca cola company: The coca-cola company, which is the owner of the most recognized trademark in the world and the worlds largest manufacturer and distributor of soft drink syrups and concentrates. The mission of the company is to increase shareholder value over time. One of the foundations of this mission in managing the business with people who have a strong

commitment to the company values and culture, and providing an appropriately controlled environment, to meet the business goals and objectives. We as associates of this great company together have responsibility to ensure compliance with the frame work of polices and procedures and protect the companys assets and resources, while limiting business risks. Birth of Refreshing IDEA: John Styth Pemberton first introduced the refreshing taste of coca cola in Atlanta, Georgia. It was May of 1886 when the pharmacist concocted caramel-colored syrup in a three legged brass kettle in his backyard. He first distributed the new product by carrying coca-cola in a jug down the street to Jacobs Pharmacy. For fice cents, consumers could enjoy in a glass of Coca-Cola at the soda foundation. Whether by design or accident, carbonated water was teamed with the new syrup producing a drink that was proclaimed Delicious and refreshing Dr Pembertons partner and bookkeeper, frank M.Robinson, Suggested the name and penned coca cola in the unique flowing script that is still famous worldwide today. Mr. Robinson considered that The two Cwould look well in advertising. By 1886, Atlanta Entrepreneur as a G. Candler had acquired complete ownership of the coca cola company was sold to a group of investors for$ 25 million. Robert W. Woodruff became the president of the coca cola company in 1923, and his more than six decades of leadership took the business to unrivaled heights of commercial success, making Coca-Cola institution the world over. Coca Cola First Bottled: Coca Cola Began as a fountain Product. But Candy merchant Joseph A. Biedenharn of Mississippi was looking for a way to serve this refreshing beverage at picnics. He began

offering bottled Coca cola using syrup shipped from Atlanta, during an especially busy summer in 1894. In 1899, large scale bottling became possible when asa candler granted exclusive bottling right to joseph B.white head and Benjamin f. Thomas of Chattanooga, Tennessee. The contract marked the beginning of the coca Cola Companys unique soft drink operations. Back then, soda bottles were all very similar. And coca cola had many imitators, which consumers would be unable to identify until they took a sip. The answer was to create a distinct bottle for coca cola. As a result, t the genuine coca cola bottle with a contour shape now known around the world was developed in 1915 by the Root Glass Company. The Bottling System: Today our products reach consumers and customers around the world through a vast distribution network made up of local bottling companies. These bottlers are located around the world, and most are independent business. Using concentrates and beverages bases produced by the coca Cola Company, our bottling partners package and market products, then distribute them to more than 8 million customers and more than 2 million vending machines around the world. Trademarks: Our trademarks are our most valuable assets. The trademark coca - cola was registered with the us patents & Trademark office in 1893, followed by Coke in 1945. The unique contour bottle, familiar to consumers every where, was granted registration as a trademark by the us patents & trade mark office in 197, an honor awarded to only a few other packages. In 1982, the coca cola company introduced diet coke to us consumers, marking the first extension of the companys most precious trademark to another bearing the coca cola name, which now encompasses a powerful line of six cola products.

Today, the worlds favorite soft drink, coca cola is also the worlds best known and admired trademark, recognized by more than 90 % of the worlds population. Mission of the coca Cola Company: The mission of the coca cola company is to increase shareowner value over time. The company accomplishes the mission by working with its business partners to deliver satisfaction and value to customers and consumers through a worldwide system of superiors brands and services, thus increasing brand equity on global basis. Mission of coca cola India: Create consumers products, services and communications customer services and bottling system strategies, process and tools in order to create competitive advantage and deliver superior value to. Consumers as a superior beverage experience. Customers as an opportunity to grow profits through the use of finished drinks. Bottlers as an opportunity to grow profits and volume. Suppliers as an opportunity to make reasonable profits while creating real valueaddition in an environment of system wide teamwork, flexible business system and continuous improvements. Vision of Coca-Cola India: Provide exceptional strategic leadership in the coca cola India system, resulting in consumer and customer preference and loyally, through coca colas commitment to them and in a highly profitable coca- cola corporate branded beverages system. Guiding principles of coca-cola India:

1. We will conduct ourselves and our business activities with high standards of honesty, integrity and professionalism 2. We will recognize the positive contributions that we make as individuals and team members to produce our business 3. We will encourage a learning environment where people constantly grow, develop and contribute. 4. We will strive for excellence and seek continuous improvement in everything we do. 5. We will respect all share holders including employees, partners and suppliers and install them with passion, to deliver quality goods and services. Coca-cola: Business framework The mission is the focal point for the company. It needs these components working in conjunction to achieve the mission. People- are the main assets of the company that must be developed to meet the challenges of the business environment. Commitment people must be committed to achieving the business goals and feel secure in making business decisions. Policies / procedures provide the guides and structure to conducting business. Goals / objectives provide the targets, which are in line with the overall mission. Environment- we must provide proper environment in which our employees conduct the business with honesty and integrity in accordance with moral, ethical and legal standards

2.2 PRODUCT PROFILE Coca cola Coca cola is the most popular and biggest selling soft drinks in history, as well as the best known product in the world. Coca cola was registered as a trademark in 1887 and by 1895 coca cola was being sold in every state and territory in the United States. In 1889, the company began franchised bottling operations in the United States. Today you can find coca cola in virtually every part of the world and the coca cola company has more than 230 beverages to its portfolio Fanta The coca cola company acquired a favorite in Europe since the 1940s fanta in 1960. Fanta orange is the core flavor representing about 70% of the sales, but other citrus and fruit flavors has their own solid fan base. Consumers around the world particularly teens fondly associate fanta with the happiness and special times with friends and family. This positive imagery is driven by the brands fun playful personality which goes hand in hand with the bright color (particularly orange) bold fruit taste, and tingly carbonation. Fanta distribution was increased in the U.S in 2001 with the return of four flavor: orange, strawberry, pineapple and grape. Orange, the biggest seller is now available in most of the country.

Sprite: Introduced in 1960, sprite is the worlds leading lemon-flavored soft drink. Sprite is sold in more than 190 countries and ranks as the No.3 in the soft drink world wide, with a strong appeal to young people.

Thumps up Thumps up are a leading carbonated soft drink and most trusted brand in India. Originally introduced in 1977. Thumps up was acquired by the coca cola company in 1993. Thumps up are known for its strong, fizzy taste. This brand clearly seeks to separate the men from the boys. Limca: Its a home grown national treasure in India, where it was acquired by the coca cola company in 1993.The products invigorating taste and cloudily look havent changed but the brand has been revitalized with a new marketing campaign. Limca continues to build a loyal following among young adults who love the lighthearted way it complements the best moments of their lives. Maaza: Maaza was introduced in India in 1984 as a non-carbonated mango fruit drink. It was acquired by the coca cola company in 1993 and is Currently available in three flavours, mango, pineapple and orange plus added calcium. With the real fruit taste kids love. 2.3 RESEARCH METHODOLOGY RESEARCH DESIGN: Investigating the level of perception of retailers about coca cola soft drinks. Over all evaluation of the research design adopted was descriptive in the nature and under took a sample survey, as it is popularly known.

DATA COLLECTION METHOD:

The data collection was done by using: 1) Primary method of data collection 2) Secondary method of data collection Primary method includes meeting the retailers directly and interviewing them. This was done with the help of fully structured and protested questionnaire. Secondary method includes collecting data regarding the company. Industry that was done with the material provided by the organization. 2.4 Hypothesis: A hypothesis is a proposition, which the researcher wants to verify. It may be mentioned that while a hypothesis as useful. it is not always necessary many time. The research is interested in collecting and analyzing data indicating excepting that one which he may suggested incidentally during the course of the study. However in a problem oriented research.hypohesis are generally concerned with case of certain phenomenon or relationship between two or more variable under investigation. Hypothesis Testing: A number of steps are involved in testing hypothesis. 1. Formulate a hypothesis 2. Set up suitable significance level. 3. Compute 4. Make decisions

The conventional approach to hypothesis testing is to set up two hypothesis instead of one in such a way that of one hypothesis is true the other is false. Alternative if one is rejected on false. Then the other accepted are true. There are two hypothesis are 1. Null Hypothesis (Ho) 2. Alternative Hypothesis (H1) The null hypothesis, which is made the neutral on null attitude for the research. The rejection of the null hypothesis impairs that some other is to accepted called as alternative hypothesis. It may be noted that these may be tested at one time against assumptions are tested in hypothesis testing. Types of Research: Here the descriptive method is used, because it describes the expectations, opinions, views and level of perception among the retailers TYPES OF SURVEY: The survey is done by the method of personal interview through structured questionnaire which is covered by open ended and close ended questions. RESEARCH TOOLS: In this study, primary data has collected through questionnaire, from the respondents directly questionnaire consists of questions with multiple choice based on the absorption of the research about the probable questions and needs in the read of the respondents. The researcher has a set of different questions like close ended and open ended. VARI ABLE:

The concepts like weight, height, income, age are variable phenomena, a can take on quntatitaviely different values. Even in decimal points are called continuous variable. In this study we used both continuous and non-continuous variable. QUESTIONNAIRE DESIGN: A structured questionnaire was developed to interview retailers. While framing the questionnaire, care was taken to ensure that as for as possible, it clear and unambiguous and there was no room for misrepresentation. Sample design: Geographical limits: The study was restricted to Nellore city. Sample size: The size of the sample includes 100 The sample size was chosen in such a way that it depict the entire population including all groups such as occupational group and educational group. Etc., Sampling technique: The sample survey was based on probability sampling in which every member of the universe has known chance of being selected. The exact sampling suited was stratified random sampling, the sampling based on specific category. Here the category is coca cola products.

3.1 DATA ANALYSIS &INTERPRETATION DATA ANALYSIS: The collected data is through a questionnaire and was formulated into tables to find out the aggregates, percentages and averages for pictorial representation. Survey data: The information gathered in the questionnaire through personal interview from the Coca-Cola retailers is from Nellore. Statistical techniques Analysis & interpretation: Statistical tools/techniques are considered to be the superior techniques. Here for making an objective and accreted into meaning full information by means of averages and percentages and are represented through tables and pictorial depictions. 3.2 STATISTICAL TOOLS The following two types of statistical tools are used in data interpretation and analysis. PERCENTAGE METHOD: This is one of the techniques widely used to analysis the collected data. Calculating the percentage of corresponding number does it. In each category to the total of all the number. For instance, to find out the percentage of respondents opinion to particular questions calculated as follows.

Number of Respondents = -------------------------------- X 100 Total no .of Respondents

CHI-SQUARE TEST The spastically tool employed in this research for the verification of hypothesis is chisquare test. The test is used when the sample size is fairly large. The formula for chi square test. X2 = (O-E) 2 E Let O be observed frequency and E be the expected frequency. X is evidently a measure of the difference between observed and expected frequencies. The value that we get after the calculation is called calculated value. After wards we found tabulated value from the chisquare table with degree of freedom value at a level of significance of 5 % If the calculated value X 2 is greater than the tabulated value of x than we reject the null hypothesis and accept the alternative hypothesis. LEVEL OF SIGNIFICANCE; The confidence with an experiment rejects or returns a null hypothesis depends up on the significance level of adopted. If the level of significance is 5 % there is risk that the decision may go wrong in 5 out of 100 occasions. COCA COLA RETAILERS 3.1 TABLE SHOWING THE DISTRIBUTION OF RETAILERS ON THE BASIS OF AGE Age group 21-30 30-41 41 & above Total No. of respondents 15 50 35 100 percentage 15% 50% 35% 100%

Source: questionnaire/question no.1 Feb-April 2005 Inference:

primary

data

The above table shows the majority of the retailers below the age of 30 -41 years. 30 41 years contribute 50 % and 41 & above are 35 %, in between 21-30 are 15%.

3.1.1 CHART SHOWING THE DISTRIBUTION OF RETAILERS ON THE BASIS OF AGE

PERCENTAGE OF RETAILERS

60% 50% 40% 30% 20% 10% 0% 21-30 30-41 AGE GROUP 41&ABOVE

Base: Table 3.1

3.2. TABLE SHOWING THE NATURE OF BUSINESS

Type of outlet Cool drinks Glossary Canteen Hotel Total

No. of respondents 40 25 20 15 100 Source:

Percentage 40 % 25% 20% 15% 100% primary data /

questionnaire/question no.3 Feb-April 2005

Inference: The above table shows that majority of the retailers doing the cool drinks business with 40 % and the glossary are around 25 % and canteens are 20 % and the next hotels are around 15 %

3.2.2 CHART SHOWING THE NATURE OF BUSINESS

45% 40% 35% 30% 25% 20% 15% 10% 5% 0% COOL DRINKS GLOSSARY CANTEEN HOTEL NATURE OF BUSINESS

Base: Table 3.2

PERCENTAGE

3.3 TABLE SHOWING THE EXPERIENCE IN SELLING SOFT DRINKS

Experience < 5 Years 5- 10 10-15 Above 15 years Total

No. of respondents 15 40 30 15 100 Source:

Percentage 15% 40% 30% 15% 100 primary data /

questionnaire/question no.4 Feb-April 2005

Inference: In the above table Majority of the retailers who are doing soft drink business is experience is about 5 -10 years around 40 % and the next is 10-15 which comes 30 % and the retailers Less than 5 years and above 15 years are equal to 15 %.

3.3.3 CHART SHOWING THE EXPERIENCE IN SELLING SOFT DRINKS

45% 40% 35% 30% 25% 20% 15% 10% 5% 0% <5 YEARS 5-10 YEARS 10-15 YEARS ABOVE 15YEARS

PERCENTAGE

EXPERIENCE

Base: Table 3.3

3.4. TABLE SHOWING MOST FAST MOVING DRINK IN YOUR SHOP

Type of drinks Thumps up Sprite Coca-Cola Limca Total

No. of respondents 30 45 10 15 100 Source:

Percentage 30% 45% 10% 15% 100% primary data /

questionnaire/question no.7 Feb-April 2005

Inference: 45 % of respondents said sprite is most fast moving drink in their retail outlets

30 % said thumps up is the next fast moving drink. 15 % said the next one is Limca The last one is Coca cola is around 10%

3.4.4 CHART SHOWING THE MOST FAST MOVING DRINK

50% 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% THUMPS UP SPRITE COCA COLA LIMCA TYPE OF DRINKS

Base: Table 3.4

PERCENTAGE

3.5. TABLE SHOWING THE MOST FAST MOVING BOTTLE SIZE: Bottle size 200Ml 300ml 0.5lts 1lts Total questionnaire/question no.9 Feb-April 2005 No. of respondents 35 45 10 10 100 Source: Percentage 35% 45% 10% 10% 100% primary data /

Inference: Here 35 respondents are said that 200ml is fast moving and majority of the respondents are about 45 % because here the price difference between the 200ml and 300ml is only about 2 rs. And the 0.5 lts and 1 lts come equal around 10 %. Of respondents.

3.5.5 CHART SHOWING MOST FAST MOVING BOTTLE SIZE

50% 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% 200 ML 300 ML 0.5 LTS 1 LTS BOTTLE SIZE

Base: 3.5

3.6. TABLE SHOWING THE PRICE ASPECTS OF COCA COLA PRODUCTS Openion/ perception Very high High Reasonable Low Total NO. of respondents 0 0 85 15 100 Source: questionnaire/question no.10 Feb-April 2005 Percentage 0% 0% 85% 15% 100 primary data /

PERCENTAGE

Inference: From the above table it was found that 85 % of the respondents rated that coca cola products is having reasonable price and the remaining is about 15 % From this we conclude that it is manufactured at reasonable price and for all class of people.

3.6.6 CHART SHOWING PRICE ASPECTS OF COCA COLA PRODUCTS

90% 80% 70% 60% 50% 40% 30% 20% 10% 0% VERY HIGH HIGH REASONABLE LOW OPENION ON PRICE ASPECTS

Base: 3.6

PERCENTAGE

3.7. TABLE SHOWING WHICH TYPE OF CUSTOMERS VISTING Attributes Shoppers Childrens Students All categories Total No. of respondents 15 10 35 40 100 Source: questionnaire/question no.11Feb-April 2005 Percentage 15% 10% 35% 40% 100% primary data /

Inference: From the above data 40 % of the retailers are said that all categories of people are visiting their retail outlets and 35 % of the students are visiting and the next one comes to 15 % as shoppers and next 10 % are about childrens.

3.7.7 CHART SHOWING WHICH TYPE OF CUSTOMERS IS VISITING

45% 40% 35% 30% 25% 20% 15% 10% 5% 0%

P E RCE NTAGE

RS

NS

TS

PE

RE

EN

OP

IL D

UD

SH

CH

ST

CUSTOMERS

Base: 3.7

3.8. TABLE SHOWING WHAT THE PERCEPTION OF RETAILERS ABOUT SOFT DRINKS IS

Attributes Gives passion Luxury drink Controls thirst Total

No. of respondents 10 25 65 100 Source:

AL

LC
Percentage 10% 25% 65% 100% primary data / questionnaire/question no.12 Feb-April 2005

AT

EG

OR

IE S

Inference: Here in the above table majority of the retailers said that 65 % of them are feel that these soft drinks reduces the thirst in the body and the 25 % said it is a luxury drink and 10 % said that it gives passion.

3.8.8 CHART SHOWING THE PERCEPTION OF RETAILERS ABOUT SOFT DRINKS

GIVES PASSION LUXARY DRINK CONTROLS THIRST

Base: 3.8

3.9. TABLE SHOWING ANNUAL TURNOVER IN STANDARD UNITS (CASES) OF COCA COLA PRODUCTS

Units (cases) <100 100-300 300-500 500&above Total

No. of respondents 5 20 55 20 100 Source:

Percentage 5% 20% 55% 20% 100% primary data /

questionnaire/question no.5 Feb-April 2005

Inference: The data collected from the 100 coca cola retailers, when they were asked what is your estimated sales per day they said the retailers those who sale <4 cases is about 65% and 4- 6 is about 25 % and 6 and above is 10 %.

3.9.9. CHART SHOWING ANNUAL TURNOVER IN STANDARD UNITS (CASES) OF COCA COLA PRODUCTS

<100 100-300 300-500 500ABOVE

Base: 3.9 3.10. TABLE SHOWING ADDVERTISEMNTS ARE NECESSARY TO INCREASE THE SALES OF COCA COLA PRODUCTS Perception Very necessary Necessary May or May not No need Total No. of respondents 30 45 15 10 100 Source: questionnaire/question no.13 Feb-April 2005 percentage 30% 45% 15% 10% 100% primary data /

Inference:

Here in the above table out of 100 respondents 30% of retailers said that advertisements are very necessary to increase the sales and 45 % said advertisements Necessary ,15% said advertisement are may of may not and 10 % said there is no need of advertisement to increase the sales. We conclude that advertisements are necessary to increase the sales.

3.10.10 CHART SHOWING ADVERTISEMENTS ARE NECESSARY TO INCREASE THE SALES COCA COLA PRODUCTS

VERY NECESSARY NECESSARY MAY OR MAY NOT NO NEED

Base 3.10

3.11. TABLE SHOWING THE EFFECTIVENESS OF VARIOUS MEDIA Media Television Paper advs Displays Total No. of respondents 75 10 15 100 Source: questionnaire/question no.14 Feb-April 2005 Percentage 75% 10% 15% 100 primary data /

Inference: Here in the above table the retailers who are more effective is through televisions 75% of the respondents are said TVs are necessary to increase the sales of coco cola products. Through displays 15 % and through paper ads 10 %

3.11.11. CHART SHOWING THE EFFECTIVENESS OF VARIOUS MEDIA

TELEVISION PAPER ADDVS DISPLAYS

BASE: 3.11

3.12. TABLE SHOWING THE STORAGE MODE OF COCA COLA PRODUCTS Storage facility Fridge given by the company Fridge owned by you 25 Ice box 10 Total 100 Source: questionnaire/question no.15 Feb-April 2005 10% 100% primary data / 25% No. of respondents 65 Percentage 65%

Inference;

In the above table 65 % of the respondents said the soft drinks store by them is through fridge given by the company 25 % of the respondents said fridge owned by them and only 10 % said they store through ice box.

3.12.12 CHART SHOWING THE STORAGE MODE OF COCA COLA PRODUCTS

70% 60% 50% 40% 30% 20% 10% 0% FRIDGE GIVEN BY THE COMPANY FRIDGE OWNED BY YOU ICE BOX

Base-3.12

CHI- SQUARE TEST H0: There is no significant relationship between advertisement and annual sales. Ha: There is a significant relation ship between advertisement and sales CHISQUARE = (0-E)2 E Where 0 = Observed frequency E = Expected frequency Tabulation

Very necessary 30 100 CALCULATION OF 2 0 30 45 15 10 Total

Necessary 45 100

May/May not 15 100

No need 10 100

E=100 100 100 100 100 400

(0-E) 70 55 85 90

(0-E)2 4900 3025 7225 8100 23250

(0-E)2 E 49.00 30.25 72.25 81.00 232.50

2 =

____________

(0-E) 2 = 232.50

Degree of Freedom Level of significance Table value Calculated value

= (4-1) = 3 = 0.05 [5%] = 7.815 = 232.50

Calculated value > Table value [232.50 > 7.815] Calculated value is greater than tabulated value hence the hypothesis is rejected, hence there is a significance relation ship between sales and advertisement. Tabulated 2 (4-1) = 3 degree of freedom at 5 % level of significance is 7.819 Since calculated value > tabulated value Reject the null hypothesis 4.1 FINDINGS

85% Of the Retailers responded that the price is reasonable followed by 15 % of respondents feel the price is low. (Table Reference no. 3.6) 75% of the retailers affected by the televisions 10 % respondents by paper advertisements and 15 % of retailers respond through displays. (Table Reference no.3.11) Quality of coca cola products secured 1st rank most of the retailers satisfied with Sprite secures 1st rank and Thumps up secures 2nd rank. (Table Reference no.3.4) Around 65% of the respondents using company fridges 25 % of them are using fridges owned by them, 10% are using ice boxes (Table Reference no3.12) 45% of respondents said the most fast moving bottle size is 300 ml and 35% of respondents said 200ml is the next fast moving drink. (Reference table no3.5)

By the survey sales of coca cola products is higher than the Pepsi products. Taste stands in the 1 st rank and price stands 2 rank in coca cola products. 4.2 SUGGESTIONS 1. The company should concentrate on different types of advertising media as displays. 2. Quality is the most important factor for any product good quality will always over comes all other defects 3. While advertising the product more care should be taken and frame the advertisement in the most affordable manner. 4. Frequency of advertising in television must be increased. 5. Advertisement makes the customer to buy the product for the first time. But the quality makes to buy again and again. 6. Many of the retailers recommended the company has to provide some extra benefits to them. CONCLUSION

From the above research we conclude that the retailers are very satisfied with the price, quality of the coca cola products. Majority of the retailers said that frequency of advertisement has to be increased and introduce new flavor will promote the sales of coca cola products and improve the good will of the company.

Small Traders and retailers should be provided with racks and fridges to stock sufficient quntaty, and also to serve the cola with chill to the customer. This will encourage the retailers to buy more coke products rather than other soft drinks. Most of the outlets are selling the top two brands of soft drinks. The sales turnover is more irrespective of seasons. So, coke should concentrate on distribution channel to reach the end user at the right time. QUESTIONNAIRE

1. Name: Age: a) 21-30 [ ] b) 30-41 [

Address: ] c) 41 & above [ ]

2. Year of establishment ____________ 3. Nature of business: a) Glossary [ ] b) Cool drinks [ 4. Experience in selling soft drinks a) Less than 5 years [ d) Above 15 years [ ] ] b) 5 10 years [ ] c) 10 15 years [ ] ] c) Canteen [ ] d) Hotel [ ]

5. Annual turnover of coca cola products a) <100 cases [ ] b) 100-300 [ ] c) 300-500 [ ] d) Above 500 [ ]

6. Estimated sales per day _____________ 7. Most fast moving drink in your shop a) Coca cola [ e) Limca [ ] 8. Which brands do you sell? a) Company brands [ ] b) Local brands [ ] c) Both [ ] ] b) Thumps up [ ] c) Sprite [ ] d) Fanta [ ]

9. Which bottle size is fast moving? a) 200ml [ ] b) 300ml [ ] c) 1lts [ ] d) 2lts [ ]

10. What do you think about price aspects of coca cola products? a) Very high [ ] b) High [ ] c) Reasonable [ ] d) low [ ]

11. Which type of customers visiting? a) Shoppers [ ] b) Family members [ ] c) Students [ ] d) Business men [ ]

12. What is the perception of consumers about soft drinks? a) Gives passion [ ] b) luxury drink [ ] c) controls thirst [ ]

13. Advertisements are necessary to increase the sales of coca cola products? a) Very necessary [ Need [ ] 14. If yes through which media will be more effective? a) TVs [ ] b) paper advs [ ] c) Displays [ ] d) Hoarding [ ] ] b) Necessary [ ] c) May/ may not [ ] d) no

15. How do you store coca cola products? a) b) c) d) Fridge given by the company [ ] Open rack [ ] Fridge owned by you [ ] Ice box [ ]

16. What is your suggestion to improve sales? _____________________________________________________________

REFFERENCES Marketing Management Research methodology Statistics Website: www.hindustancocacolabeveragespvt.ltd. - Philip kotler - C.R kothari -P. Ravilochanan - Gupta