A Project Report On Sales Promotion of CocaCola

In partial fulfillment For the Award of the Degree of Master of usiness Administration Su!mitted "o Rani Durga#ati $ishwa#id%ala%a& 'a!alpur (M)P* Su!mitted % +ur#inder ,aur (-.//0-./1*

+%an +anga College Of "echnolog%&'a!alpur (M)P)*

EXECUTIVE SUMMARY

Coca-Cola, the product that has given the world its best-known taste was born in Atlanta, Georgia, on May 8, 1886. Coca-Cola Co pany is the world!s leading anu"acturer, arketer and distributor o" non-alcoholic beverage concentrates and syrups, used to produce nearly #$$ beverage brands. %t sells beverage concentrates and syrups to bottling and canning operators, distributors, "ountain retailers and "ountain wholesalers. Coca-Cola was "irst introduced by &ohn 'yth (e berton, a phar acist, in the year 1886 in Atlanta, Georgia when he concocted cara el-colored syrup in a three-legged brass kettle in his backyard. )e "irst *distributed+ the product by carrying it in a ,ug down the street to &acob!s (har acy and custo ers bought the drink "or "ive cents at the soda "ountain. Carbonated water was tea ed with the new syrup, whether by accident or otherwise, producing a drink that was proclai ed *delicious and re"reshing+, a the e that continues to echo today wherever Coca-Cola is en,oyed. Coca-Cola originated as a soda "ountain beverage in 1886 selling "or "ive cents a glass. -arly growth was i pressive, but it was only when a strong bottling syste developed that Coca-Cola beca e the world-"a ous brand it is today. Coca-Cola was the leading so"t drink brand in %ndia until 1.//, when it le"t rather than reveal its "or ula to the Govern ent and reduce its e0uity stake as re0uired under the 1oreign 2egulation Act 31-2A4 which governed the operations o" "oreign co panies in %ndia. %n the new liberali5ed and deregulated environ ent in 1..6, Coca-Cola ade its re-entry into %ndia through its 1$$7 owned subsidiary, o" the Coca-Cola Co pany. 9he 8diapur beverages li ited the %ndian bottling ar

ain ob,ective o" this study lies in understanding the organi5ation and studying and understanding the consu ers! perception and opinion about the pro otions o""ered by the Coca-Cola Co pany. A retailer sa pling involving :$ outlets was conducted in a span o" 1$ days across the re0uired "uture. 9he opinion in order to develop and a,or areas in order to give the products arketing push and to recogni5e the prospective areas and their arket the o""ers in a better way in the near ethodology used in studying and understanding the perceived views

o" consu ers towards the sales ; pro otions was <secondary data and research!.

9he "indings o" the activity have been drawn out in "or suggestions have been o""ered there "ro .

o" graphs and

CHAPTER 1: INTRODUCTION
Coca-Cola, the product that has given the world its best-known taste was born in Atlanta, Georgia, on May 8, 1886. Coca-Cola Co pany is the world!s leading anu"acturer, arketer and distributor o" non-alcoholic beverage concentrates and syrups, used to produce nearly #$$ beverage brands. %t sells beverage concentrates and syrups to bottling and canning operators, distributors, "ountain retailers and "ountain wholesalers. 9he Co pany!s beverage products co prises o" bottled and canned so"t drinks as well as concentrates, syrups and not-ready-to-drink powder products. %n addition to this, it also produces and >ow operating in arkets sports drinks, tea and co""ee. 9he Coca-Cola Co pany began building its global network in the 1.=$s. ore than =$$ countries and producing nearly #$$ has success"ully applied a si ple "or ula on o ent o" re"resh ent "or a s all a ount o" brands, the Coca-Cola syste a global scale? *(rovide a oney- a billion ti es a day.+

9he Coca-Cola Co pany and its network o" bottlers co prise the sophisticated and pervasive production and distribution syste world. More than anything, that syste long and hard to sell the products uni0ue worldwide syste Moscow, Coca-Cola, has pre ier so"t-drink enterprise. 1ro

ost

in the

is dedicated to people working

anu"actured by the Co pany. 9his @oston to @ei,ing, "ro Montreal to

ade 9he Coca-Cola Co pany the world!s

ore than any other consu er product, has brought ore than 11: years,

pleasure to thirsty consu ers around the globe. 1or

Coca-Cola has created a special illions o" people every day.

o ent o" pleasure "or hundreds o"

9he Co pany ai s at increasing shareowner value over ti e. %t acco plishes this by working with its business partners to deliver satis"action and value to consu ers through a worldwide syste basis. 9hey ai strongly co appropriately at o" superior brands and services, thus increasing brand e0uity on a global anaging their business well with people who are environ ent, to eet business goals and itted to the Co pany values and culture and providing an controlled

ob,ectives. 9he associates o" this Co pany ,ointly take responsibility to ensure co pliance with the "ra ework o" policies and protect the Co pany!s assets and resources whilst li iting business risks.

1.1: A BRIEF INSIGHT- THE FMCG INDUSTRY IN INDIA

1ast Moving Consu er Goods 31MCG4, also known as Consu er

(ackaged Goods 3C(G4 are products that have a 0uick turnover and relatively low cost. Consu ers generally put less thought into the purchase o" 1MCG than they do "or other products. 9he %ndian 1MCG industry witnessed signi"icant changes through the 1..$s. Many players had been "acing severe proble account players reva p o" and their increased "ro co petition growth arketing, "ro s its all and slow across various and s on regional product custo arket. er

categories. As a result, product,

ost o" the co

panies were "orced to

distribution

service strategies to strengthen their position in the

@y the turn o" the =$th century, the "ace o" the %ndian 1MCG industry had changed signi"icantly. Aith the liberali5ation and

growth o" the %ndian econo increasing Apart "ro eBposure to through di""erent o" nuclear "a

y, the %ndian custo do estic and

er witnessed an "oreign products ber

new

edia, such as television and the %nternet. ber o" working couples

this, social changes such as increase in the nu ilies and the growing nu

resulting in increased spending power also contributed

to the increase in the %ndian consu 9he reali5ation o" the custo need to "or ulate i eet changing re0uire custo pact, er-centric leading to

ersC personal consu

ption.

erCs growing awareness and the ents and pre"erences on account panies to had a the 1MCG rapid 9hese retail changes in space,

o" changing li"estyles re0uired the 1MCG producing co strategies. the rapid o" positive industry. growth

%ncreased

availability

urbani5ation, and 0uali"ied

anpower also boosted the growth o"

the organi5ed retailing sector. )DD led the on a way rural boost by in revolutioni5ing "or ats direct ent o" the the product, 1MCG arket, by new =$$6

distribution "ocusing received

and

service

industry creating in the

arkets, govern

distribution, led initiatives s

product, distribution and service "or

ats. 9he 1MCG sector also

budget such as the setting up o" eBcise "ree 5ones in various parts o" the country that witnessed "ir outsourcing to oving away "ro anu"acturing by investing in the 5ones. ade on 1MCG products is relatively in large nu bers and so the e

9hough the absolute pro"it s cu all, they generally sell

ulative pro"it on such products can be large. 8nlike so obiles, co ass layo""s every ti e the econo

industries, such as auto does not su""er "ro to dip. A person having his dinner.

puters, and airlines, 1MCG y starts

ay put o"" buying a car but he will not put o""

8nlike anner

other econo irrespective

sectors, o" global

1MCG share arket

"loat in a steady because they

dip,

generally satis"y rather "unda

ental, as opposed to luBurious y and is worth

needs. 9he 1MCG sector, which is growing at the rate o" .7 is the "ourth largest sector in the %ndian -cono 2s..6$$$ crores. 9he =$1$, the 1MCG sector ain contributor, will be worth aking up 6=7 o" the 2s.1#6$$$ crores. 9he y

sector, is the 'outh %ndian region. %t is predicted that in the year sector being one o" the biggest sectors o" the %ndian -cono

provides up to # March)

illion ,obs. (Source: HCCBPL, Monthly Circular,

The FMCG secto co!s"sts o# the #o$$o%"!& c'te&o "es:

Pe so!'$ C' e- Eral care, )air care, Aash 3'oaps4, Cos etics and a,or players beingG )industan Dever Di ited,

9oiletries, Feodorants and (er"u es, (aper products 39issues, Fiapers, 'anitary products4 and 'hoe careG the Godre, 'oaps, Colgate, Marico, Fabur and (rocter ; Ga ble.

Ho(seho$)

C' e-

1abric

wash

3Daundry

soaps

and

synthetic Air

detergents4, polishG the Col an.

)ousehold

cleaners

3FishH8tensilH1loorH9oilet

cleaners4,

"resheners, %nsecticides and Mos0uito repellants, Metal polish and 1urniture a,or players beingG )industan Dever Di ited, >ir a and 2icket

"oods,

B '!)e) '!) P'c*'&e) #oo)s '!) +e,e '&es - )ealth beverages, Chocolates, %ce-crea s, 9ea, Co""ee, (rocessed "ruits, (rocessed

'o"t drinks, 'taplesHCereals, @akery products 3@iscuits, @reads, Cakes4, 'nack vegetables, (rocessed eat, @randed "lour, @ottled water, @randed rice, @randed

sugar, &uicesG the

a,or players beingG )industan Dever Di ited, >estle, Coca-

Cola, Cadbury, (epsi and Fabur

and 8@.

S-" "ts '!) To+'ccoG the

a,or players beingG %9C, God"rey, (hilips

1..: BEVERAGE INDUSTRY IN INDIA: A BRIEF INSIGHT

%n %ndia, beverages "or to gain

an i portant part o" the lives o" people. %t is an industry,

in which the players constantly innovate, in order to co e up with better products ore consu ers and satis"y the eBisting consu ers.

@-I-2AG-'

Alcoholic

>on-Alcoholic

Carbonated

Noncarbonated

Cola

>on-Cola

>on-Cola

FIGURE 1: BEVERAGE INDUSTRY IN INDIA

9he beverage industry is vast and there various ways o" seg enting it, so as to cater the right product to the right person. 9he di""erent ways o" seg enting it are as "ollows?

Alcoholic, non-alcoholic and sports beverages

>atural and 'ynthetic beverages

%n-ho e consu ption and out o" ho e on pre ises consu ption.

citi5ens

Age wise seg entation i.e. beverages "or kids, "or adults and "or senior

'eg entation based on the a ount o" consu ption i.e. high levels o"

consu ption and low levels o" consu ption.

%" the behavioral patterns o" consu ers in %ndia are closely noticed, it could be observed that consu ers perceive beverages in two di""erent ways i.e. beverages are a luBury and that beverages have to be consu ed occasionally. 9hese two perceptions are the biggest challenges "aced by the beverage industry. %n order to leverage the beverage industry, it is i portant to address this issue so as to encourage regular consu ption as well as and to a""ordable. 1our strong strategic ele ents to increase consu ption o" the products o" the beverage industry in %ndia are? 9he 0uality and the consistency o" beverages needs to be enhanced ake the industry ore

so that consu ers are satis"ied and they en,oy consu ing beverages.

 category.

9he credibility and trust needs to be built so that there is a very strong Consu er education is a ust to bring out bene"its o" beverage

and sa"e "eeling that the consu ers have while consu ing the beverages. consu ption whether in ter s o" health, taste, relaBation, sti ulation, re"resh ent, well-being or prestige relevant to the Co unication should be relevant and trendy so that consu ers are arket has still to achieve greater penetration and also a wider arket, as a

able to "ind an appeal to go out, purchase and consu e. 9he beverage spread o" distribution. %t is i portant to look at the entire beverage o" the "ood and beverage industry in the econo y.

big opportunity, "or brand and sales growth in turn to add up to the overall growth

Compan% profile

The Coca-Cola Company was originally established as the J. S. Pemberton Medicine Company, a co-partnership between Dr. John Stith Pemberton and Ed ollan. Dr. John Stith Pemberton !or the !irst time prod"ced the syr"p !or Coca-Cola on May #, $##%. "he 2orld3s Most Powerful rand "he compan% was formed to sell three main products) $. Pemberton&s 'rench (ine o! Cola )later *nown as Coca-Cola+. ,. Pemberton&s -ndian ."een air Dye, /. Pemberton&s 0lobe 'lower Co"gh Syr"p.

The Coca-Cola Company is the world&s largest be1erage company, largest man"!act"rer, distrib"tor and mar*eter o! non-alcoholic be1erage concentrates and syr"ps in the world. The Coca-Cola !orm"la and brand was bo"ght in $##2 by 3sa Candler who incorporated The Coca-Cola Company in $#2,. 4esides its namesa*e Coca-Cola be1erage, Coca-Cola c"rrently o!!ers nearly 566 brands in o1er ,66 co"ntries or territories and ser1es $.7 billion ser1ings each day. -nterbrand8s 0lobal 4rand Scorecard !or ,66/ ran*ed CocaCola the 9$ 4rand in the (orld and estimated its brand 1al"e at :;6.57 billion

Coca0Cola Products and rand

"he Coca0Cola Compan% offers nearl% 14.. !rands in o#er -.. countries < < Diet Co*e )introd"ced in $2#,+, which "ses aspartame, a synthetic phenylalanine-based arti!icial sweetener in place o! s"gar Diet Co*e Ca!!eine-'ree

< < < < < < < < < < < < < < < < <

Cherry Co*e )$2#7+ Diet Cherry Co*e )$2#%+ Co*e with =emon ),66$+ Diet Co*e with =emon ),66$+ >anilla Co*e ),66,+ Diet >anilla Co*e ),66,+ Coca-Cola C, ),665+ Co*e with =ime ),665+ 3?"ari"s Mineral (ater ),665+ Diet Co*e with =ime ),665+ Diet Co*e Sweetened with Splenda ),667+ Coca-Cola @ero ),667+ Coca-Cola 4lac* Cherry >anilla ),66%+ Diet Coca-Cola 4lac* Cherry >anilla ),66%+ Coca-Cola 4lAB ),66%+ Diet Co*e Pl"s ),66;+ Coca-Cola Crange ),66;+

COCA0CO5A I6DIA

Coca-Cola was the leading so!t drin* brand in -ndia "ntil $2;; when it le!t rather than re1eals its !orm"la to the go1ernment and red"ces its e?"ity sta*e as re?"ired "nder the 'oreign EDchange Eeg"lation 3ct )'EE3+ which go1erned the operations o! !oreign companies in -ndia. Coca-Cola re-entered -ndia in $22/. The 1ision o! the company is to lead be1erage re1ol"tion in the world and pro1ide its cons"mer ?"ality be1erages at a!!ordable price. 3s on J"ne ,667, Company has ;# man"!act"ring locations across ,5 states o! the co"ntry.

Coca-Cola, the corporation no"rishing the global comm"nity with the world8s largest selling so!t drin* concentrates since $##%, ret"rned to -ndia in $22/ a!ter a $% year hiat"s, gi1ing a new th"mb "p to the -ndian so!t drin* mar*et. -n the same year, the Company too* o1er ownership o! the nation8s top so!t-drin* brand and bottling networ*. -t8s no wonder o"r brands ha1e ass"med an iconic stat"s in the minds o! the world8s cons"mers. E1er since, Coca-Cola -ndia has made signi!icant in1estments to b"ild and contin"ally consolidate its b"siness in the co"ntry, incl"ding new prod"ction !acilities, waste water treatment plants, distrib"tion systems, and mar*eting channels. Coca-Cola -ndia is among the co"ntry8s top international in1estors, ha1ing in1ested more than FS: $ billion in -ndia in the !irst decade, and !"rther pledged another FS:$66 million in ,66/ !or its operations. A Pure Commitment to "he Indian 7conom% The Company has sha*en "p the -ndian carbonated drin*s mar*et greatly, gi1ing cons"mers the pleas"re o! world-class drin*s to !ill "p their hydration, re!reshment, and n"trition needs. -t has also been instr"mental in gi1ing an eDponential growth to the co"ntry8s Gob listing.

Creating Enormo"s Job Cpport"nities with 1irt"ally all the goods and ser1ices re?"ired to prod"ce and mar*et Coca-Cola being made in -ndia, the b"siness system o! the Company directly employs approDimately %,666 people, and indirectly creates employment !or more than $,7,666 people in related ind"stries thro"gh its 1ast proc"rement, s"pply, and distrib"tion system. The -ndian operations comprises o! 76 bottling operations, ,7 owned by the Company, with another ,7 being owned by !ranchisees. That apart, a networ* o! ,$ contract pac*ers man"!act"res a range o! prod"cts !or the Company. Cn the distrib"tion !ront, $6-tonne tr"c*s H open bay three-wheelers that can na1igate the narrow alleyways o! -ndian cities H constantly *eep o"r brands a1ailable in e1ery noo* and corner o! the co"ntry8s remotest areas. These are only some o! the !acts that spea* abo"t o"r commitment to the growth o! the -ndian Economy. Products in India made !% Coca0Cola

S2O" Anal%sis

Strength 1. Aorld largest brands =. Darge scale operation 6. 2obust revenue growth in there seg ent

2ea8ness 1. =. >egative (ublicity Fecline in cash "ro operation activities

Opportunities $. Ac0uisition intense co petition =. 6. Growing bottle water arket

)as su""icient capital to eBpand

"hreats 1. =. 6. -ntense competition. Dependence on bottling partners. Sl"ggish growth o! carbonated be1erages.

Mission& $ision 9 $alues

Mission, 1ision and 1al"es o"tline who we are, what we see* to achie1e, and how we want to achie1e it. They pro1ide a clear direction !or o"r Company and help ens"re that we are all wor*ing toward the same goals.

Mission

To socially and economically empower comm"nities aro"nd o"r operations, by creating enabling en1ironment aro"nd o"r plants, !or the betterment o! comm"nities thro"gh s"stainable proGects

$ision

$. To Ee!resh the (orld...in body, mind, and spirit. ,. To Create >al"e and Ma*e a Di!!erence...e1erywhere we engage. /. PeopleI 4eing a great place to wor* where people are inspired to be the best they can be. 5. =eadershipI JThe co"rage to shape a better !"t"reK 7. PassionI JCommitted in heart and mindK %. -ntegrityI J4e realK

Manufacturing Plant Product Process

Manufacturing Process of coca0cola products ha#e different steps& which are cited !elow0

< < < < < < < < < <

-ngredient Deli1ery (ashing and Einsing MiDing and 4lending 'illing Capping =abeling Coding -nspection Pac*aging (areho"sing and deli1ery Product Decausticiser 0 Process Diagram

:daipur e#erage 5td 'a!alpur "%pes of Production

RGB :- Ret( !'+$e G$'ss Bott$es PET :- Po$/eth"$e/ Tet ' Ph'the$'te

Coca Cola Products Coca Cola Th"ms "p =imca Sprite Binley Soda 'anta

R+ Pac8 Si;e -.. ml & 1.. ml -.. ml & 1.. ml -.. ml & 1.. ml -.. ml & 1.. ml 1.. ml -.. ml & 1.. ml

P7" Pac8 Si;e <oo ml & /)-4 liter & - liter <oo ml & /)-4 liter & - liter <oo ml & /)-4 liter & - liter <oo ml & /)-4 liter & - liter <oo ml <oo ml & /)-4 liter & - liter

R+ Production in da% (-= hrs* >0 -.&... Case (/ Case ? -= !ottles* P7" Production in da% (-= hrs* >0 @&... Case (/ Case ? -= !ottles*

Coca0Cola Product Manufacturing Plant 5a%out

COMPA6A B:A5I"A PROMIS7

Bualit% Is Our Cighest usiness O!jecti#e

The Symbol o! ."ality C"stomer and Cons"mer Satis!action 3 Eesponsible CitiLen o! the (orld 0olden Peacoc* National ."ality 3ward ,665 Coca-Cola -ndia Di1ision President, Mr. SanGi1 0"pta recei1ed the 0olden Peacoc* National ."ality 3ward ,665 along with the Coca-Cola team at the $7th (orld congress on Total ."ality in M"mbai on Jan"ary $5, ,667.

The Coca-Cola Company eDists to bene!it and re!resh e1eryone it to"ches. 'or "s, ."ality is more than G"st something we taste or see or meas"re. -t shows in o"r e1ery action.

ORGANI0ATION STRUCTURE OF COCA-CO1A IN INDIA

FIGURE 6: ORGANIZATION STRUCTURE IN COCA-COLA, INIDA

FIGURE 7: ORGANIZATION STRUCTURE IN COCA-COLA, INDIA

2.3: ORGANI0ATION STRUCTURE OF THE SA1ES DEPARTMENT IN UB1:

FIGURE 8: ORGANIZATION STRUCTURE OF THE SALES DEPARTMENT

8(D has a wide and well

anaged network o" sales en appointed "or taking up

the responsibility o" distribution o" products to diverse parts o" the cities. 9he distribution channels are constructed in such a way that the de and o" custo ers is "ul"illed at the right place and the right ti e when it is needed by the .

A typical distribution chain at 8(D would be? P o)(ct"o! --- P$'!t 4' eho(se --- De-ot 4' eho(se --- D"st "+(t"o! 4' eho(se --- Ret'"$ Stoc* --- Ret'"$ She$# --- Co!s(5e

9he custo ers o" the Co pany are divided into di""erent categories and di""erent routes, and every sales an is assigned to one particular route, which is to be "ollowed by hi syste on a daily basis. A detailed and well organi5ed distribution contributes to the e""iciency o" the sales en. %t also leads to low costs,

higher sales and higher e""iciency thereby leading to higher pro"its to the "ir .

2.6.1: DISTRIBUTION ROUTES

9he various routes "or ulated by 8(D "or distribution o" products are as "ollows?

7e/

Acco(!ts:

9he

custo ers

in

this

category

collectively

contribute a large chunk o" the total sales o" the Co pany. %t basically consists o" organi5ations that buy large 0uantities o" a product in one single transaction. 9he Co pany provides goods to these custo ers on credit, pay ents being the a"ter a certain period o" ti e i.e. either a onth o" hal" a onth. E8'5-$es: Clubs, "ine dine restaurants, hotels, Corporate houses etc. ade by

F(t( e Co!s(5-t"o!: 9his route consists o" outlets o" Coca-Cola

products, wherein a considerable a ount o" stock is kept in order to use "or "uture consu ption. 9he stock does not eBhaust within a day or two, instead as and when re0uired stocks are stacked up by the so as to avoid shortage or non-

availability o" the product. E8'5-$es: Fepart ental stores, 'uper arkets etc.

I55e)"'te Co!s(5-t"o!: 9he outlets in this route are those which ight run a

re0uire stocks on a daily basis. 9he stocks o" products in these outlets are not stored "or "uture use instead, are eBhausted on the sa e day and little into the neBt day i.e. the products are consu ed at a "ast pace. E8'5-$es: ' all si5ed bars and restaurants, educational institutions etc.

Ge!e '$: 8nder this route, all the outlets that co e in a particular

area or an area along with its neighboring areas are catered to. 9he consu ption period is not taken into consideration in this particular route.

2.6..: DISTRIBUTION SYSTEM

D" ect )"st "+(t"o!: %n direct distribution, the bottling unit or the erchandising and local account anage ent at the store level.

bottler partner has direct control over the activities o" sales, delivery, and

I!)" ect )"st "+(t"o!: %n indirect distribution, an organi5ation which has control on one or ore o" the distribution anage ent4 erchandising and local account

is not part o" the Coca-Cola syste ele ents 3'ales, delivery,

Me ch'!)"s"!&:

Merchandising

eans co

unication with the

consu er at the point o" purchase to convey product bene"it, value and Juality. 'ales people and delivery personnel both have this responsibility. %n certain

locations special tea s who go into business locations to speci"ically our products.

erchandise

DEPARTMENTS INVO1VED IN THE DISTRIBUTION PROCESS

9he Fistribution process

ainly consists o" three depart ents?

D"st "+(t"o! De-' t5e!t: %t appoints distributors and establishes a

distribution network, processes approved sale orders and prepares invoices, arranges logistics and ship products, co-ordinates with distributors "or collections and onitors distribution stocks and their set-up.

F"!'!ce De-' t5e!t: %t checks credit li its and approves sales distributors, periodically reconciles outstanding balances "ro distributors and "ollows up

orders in co pliance with the credit policy "ollowed by the "ir , records collections "ro distributors, obtains balance con"ir ation "ro outstanding balances.

Sh"--"!& o 4' eho(s"!& De-' t5e!t: %t dispatches goods as per

approved by order, ensures that stocks are dispatched on a 1%1E basis, ensures physical control over load out area and updates warehouse stock records in a ti ely anner.

COMPETITORS TO UP1

9he co petitors to the products o" the co pany

ainly lie in the non-alcoholic

beverage industry consisting o" ,uices and so"t drinks.

9he key co petitors in the industry are as "ollows?

Pe-s"Co: 9he (epsiCo challenge, to keep up with archrival, the Cocaaker. 9he

Cola Co pany never ends "or the AorldCs K =, carbonated so"t-drink

co panyCs so"t drinks include (epsi, Mountain Few, and 'lice. Cola is not the co panyCs only beverageG (epsiCo sells 9ropicana orange ,uice brands, Gatorade sports drink, and A0ua"ina water. (epsiCo also sells Fole ,uices and Dipton readyto-drink tea. (epsiCo and Coca-Cola hold together, a arket share o" .:7 out o" which 6$.87 is held by Coca-Cola and the rest belongs to (epsi.

it

Nest$9: >estle does not give that tough a co petition to Coca-Cola as ainly deals with ilk products, @aby "oods and Chocolates. @ut the iced tea arket by >estle provides a

that is >estea which has been introduced into the

considerable a ount o" co petition to the products o" the Co pany. %ced tea is one o" the closest substitutes to the Colas as it is a thirst 0uencher and it is healthier when co pared to "i55 drinks. 9he "lavored awareness a ong people. ilk products also have beco e substitutes to the products o" the co pany due to growing health

D'+( : Fabur in %ndia, is one o" the

ost trusted brands as it has "ood products, Fabur has

been operating ever since ti es and people have laid all their trust in the Co pany and the products o" the Co pany. Apart "ro introduced into the arket 2eal &uice which is packaged "resh "ruit ,uice. 9hese

products give a strong co petition to Maa5a and the latest product Minute Maid (ulpy Erange.

SA1ES PROMOTION

INTRODUCTION TO SA1ES PROMOTION:

M-A>%>G?

'ales pro otion includes those sales activities, which supple ent personnel selling and advertising. %t is a direct induce ent that o""ers eBtra value or incentive "or the product. 9his incentive ay be directed towards the consu er or the trade. %n other words, pro otion sti ulates the custo er to ake pro pt decision to purchase the product. %t even in"luences the or prevents the "ro switching over to brands.

N't( e o# the S'$es P o5ot"o!:

Marketing - 'ales pro otion

'ales pro otion is the process o" persuading a potential custo er to buy the product. 'ales pro otion is designed to be used as a short-ter tactic to boost sales L it is not really designed to build long-ter custo er loyalty. 'o e sales pro otions are ai ed at consu ers. Ethers are targeted at inter ediaries 3such as agents and wholesalers4 or at the "ir !s sales "orce.

business

Ahen undertaking a sales pro otion, there are several "actors that a ust take into account?

Ahat does the pro otion cost L will the resulting sales boost ,usti"y the invest entM %s the sales pro otion consistent with the brand i ageM A pro otion that heavily discounts a product with a pre iu price ight do so e long-ter da age to a brand Aill the sales pro otion attract custo ers who will continue to buy the product once the pro otion ends, or will it si ply attract those custo ers who are always on the look-out "or a bargainM

The e ' e 5'!/ 5etho)s o# s'$es - o5ot"o!: "!c$()"!&:

Mo!e/ o## co(-o!s L custo ers receive coupons, or cut coupons out o" newspapers or a products packaging that enables the to buy the product neBt ti e at a reduced price

Co5-et"t"o!s L buying the product will allow the custo er to take part in a chance to win a pri5e D"sco(!t ,o(che s L a voucher 3like a oney o"" coupon4

F ee &"#ts L a "ree product when buy another product

Po"!t o# s'$e 5'te "'$s L e.g. posters, display stands L ways o" presenting the product in its best way or show the custo er that the product is there.

1o/'$t/ c' )s L e.g. >ectar and Air MilesG where custo ers earn points "or buying certain goods or shopping at certain retailers L that can later be eBchanged "or oney, goods or other o""ers Doyalty cards have recently beco e an i portant "or o" sales pro otion. 9hey encourage the custo er to return to the retailer by giving the discounts based on the spending "ro a previous visit. Doyalty cards can o""set the discounts they o""er by aking ore sales and persuading the custo er to co e back. 9hey also provide in"or ation about the shopping habits o"

custo ers L where do they shop, when and what do they buyM 9his is very valuable arketing research and can be used in the planning process "or new and eBisting products.

'ales pro otion is one o" the "our aspects o" pro otional iB 39he other three parts o" the pro otional iB are advertising, personal selling, and publicityHpublic relations.4 Media and non- edia arketing co unication are e ployed "or a pre-deter ined, li ited ti e to increase consu er de and, sti ulate arket de and or i prove product availability. -Ba ples?%nclude contests, coupons, "reebies, loss leaders, point o" purchase displays, pre iu s, pri5es, product sa ples, and rebates 'ales pro otions can be directed at the customer, or distribution channel e bers 3such as retailers4. pro otions. 'ales pro otions targeted at retailers and wholesale are called trade sales pro otions. Many consider so e sale pro otions, particularly ones with unusual ethods, gi icks. 'ales pro otion includes several co unications activities that atte pt to provide added value or incentives to consu ers, wholesalers, retailers, or other organi5ational custo ers to sti ulate i ediate sales. 9hese e""orts can atte pt to sti ulate product interest, trial, or purchase. -Ba ples o" devices used in sales pro otion include coupons, sa ples, pre iu s, point-o"-purchase 3(E(4 displays, contests, rebates, and sweepstakes. sales sta"",

'ales pro otions targeted at the consu er are called consu er sales

Co!s(5e s'$es - o5ot"o! tech!";(es

(rice deal? A te porary reduction in the price, such as happy hour Doyal 2eward (rogra ? Consu ers collect points, iles, or credits "or purchases and redee the "or rewards. 9wo "a ous eBa ples are (epsi 'tu"" and AAdvantage. Ce!ts-o## )e'$? E""ers a brand at a lower price. (rice reduction percentage arked on the package. ay be a

P "ce--'c* )e'$: 9he packaging o""ers a consu er a certain percentage the product "or the sa e price 3"or eBa ple, =: percent eBtra4. Co(-o!s: coupons have beco e a standard echanis

ore o"

"or sales pro otions.

1oss $e')e : the price o" a popular product is te porarily reduced in order to sti ulate other pro"itable sales F ee-st'!)"!& "!se t <FSI=: A coupon booklet is inserted into the local newspaper "or delivery. O!-she$# co(-o!"!&? Coupons are present at the shel" where the product is available. Chec*o(t )"s-e!se s: En checkout the custo er is given a coupon based on products purchased. O!-$"!e co(-o!"!&? Coupons are available online. Consu ers print the and take the to the store. out

Mo+"$e co(-o!"!&: Coupons are available on a obile phone. Consu ers show the o""er on a obile phone to a salesperson "or rede ption. O!$"!e "!te 'ct",e - o5ot"o! &'5e: Consu ers play an interactive ga e associated with the pro oted product. 'ee an eBa ple o" the %nteractive %nternet Ad "or to ato ketchup. 2ebates? Consu ers are o""ered ailed to the producer. oney back i" the receipt and barcode are

Co!tests>s%ee-st'*es>&'5es: 9he consu er is auto atically entered into the event by purchasing the product.

(oint-o"-sale displays?Aisle interrupter? A sign that ,uts into the aisle "ro the shel".

Fangler? A sign that sways when a consu er walks by it. Fu p bin? A bin "ull o" products du ped inside. Glori"ier? A s all stage that elevates a product above other products. Aobbler? A sign that ,iggles. Dipstick @oard? A board on which essages are written in crayon.

>ecker? A coupon placed on the CneckC o" a bottle.

N-' unit? Oyour eBtra salespersonO is a pull-out "act sheet. -lectrolu inescent? 'olar-powered, ani ated light in otion.

Pids eat "ree specials? E""ers a discount on the total dining bill by o""ering 1 "ree kids eal with each regular eal purchased.

T ')e s'$es - o5ot"o! tech!";(es

T ')e '$$o%'!ces: short ter on a product.

incentive o""ered to induce a retailer to stock up

De'$e $o')e : An incentive given to induce a retailer to purchase and display a product. T ')e co!test: A contest to reward retailers that sell the ost product.

Po"!t-o#--( ch'se )"s-$'/s? 8sed to create the urge o" Oi pulseO buying and selling your product on the spot. T '"!"!& - o& '5s: dealer e ployees are trained in selling the product. P(sh 5o!e/: also known as Ospli""sO. An eBtra co e ployees to push products. ission paid to retail

9rade discounts 3also called "unctional discounts4? 9hese are pay ents to distribution channel e bers "or per"or ing so e "unction.

?.. S'$es P o5ot"o! St 'te&"es:

9here are three types a combination o" the two.

o"

sales

pro otion

strategies? Push, Pull,

or

A -(sh st 'te&/ involves convincing trade inter ediary channel e bers to OpushO the product through the distribution channels to the ulti ate consu er via pro otions and personal selling e""orts. 9he co pany pro otes the product through a reseller who in turn pro otes it to yet another reseller or the "inal consu er. 9rade-pro otion ob,ectives are to persuade retailers or wholesalers to carry a brand, give a brand shel" space, pro ote a brand in advertising, andHor push a brand to "inal consu ers. 9ypical tactics e ployed in push strategy are? allowances, buy-back guarantees, "ree trials, contests, specialty advertising ite s, di scounts, displays, and pre iu s.

A -($$ st 'te&/ atte pts to get consu ers to OpullO the product "ro the anu"acturer through the arketing channel. 9he co pany "ocuses its arketing co unications e""orts on consu ers in the hope that it sti ulates interest and de and "or the product at the end-user level. 9his strategy is o"ten e ployed i" distributors are reluctant to carry a product because it gets as any consu ers as possible to go to retail outlets and re0uest the product, thus pulling it through the channel. Consu er-pro otion ob,ectives are to entice consu ers to try a new product, lure custo ers away "ro co petitors! products, get consu ers to Oload upO on a ature product, hold ; reward loyal custo ers, and build consu er relationships. 9ypical tactics e ployed in pull strategy are? sa ples, coupons, cash re"unds and rebates, pre iu s, advertising specialties, loyalty progra sHpatronage rewards, contests, sweepstakes, ga es, and point-o"purchase 3(E(4 displays.

Car dealers o"ten provide a good eBa ple o" ' co5+"!'t"o! st 'te&/. %" you pay attention to car dealersC advertising, you will o"ten hear the speak o" cashback o""ers and dealer incentives.

OB@ECTIVE OF THE STUDY

14 9he ain ob,ective o" this study lies in studying and understanding the present o""ers and sche es providing by the Coca-Cola.

=4 )ow

uch retailer satis"ying with present o""ers.

3) To access the competitive position of Coca-Cola. 4) to suggest measures to further improve the promotional activities of Cola cola and make it more competitive. 5) To see whether the intermediateries and final consumer are getting proper benefits from sales promotional activities or not.

S'$es P o5ot"o! Tech!";(es o# Co5-'!/

Good Advertise ent. -""ective %ncentive (olicy. Juality. Aide and deep distribution syste . Attractive (ackaging. Allotting 'GA!s 3 2e"irgerator, Chest Cooler, 9able, chairs etc4 to retailers. Fecorating retailers shop by display board, dealer!s board etc.

P 'ct"c'$ 's-ects <- o5ot"o!'$ sche5es= Di ca launches * laptop ki barish *. Cola Cola Cricket. Cola cola "ood 'che es. (ro otions through resturats and cine a hall holdings. ela.

R7S7ARCC M7"CODO5O+A

9his research involved a study, which was descriptive as well as eBplorative in nature it basically ai s at gathering data about how the coca-cola sche e playing in the ind o" shopkeepers ; consu er.

SAMPLING DESIGN:
The study is conducted in !"!#$%& C'T( spanning over a period of T)* weeks.

+or the purpose of collecting the re,uired information- two heterogeneous sets of population were identified and studied.

$ ,

The retail vendors under various categories of point of sale. The consumers at the vending points.

M E T H O D S OF D A T A C O 1 1 E C T I O N :

THERE ARE T4O TYPES OF DATA

1. (ri ary data =. 'econdary data

1= P "5' / )'t' co$$ect"o!: P "5' / )'t' c'! +e co$$ecte) +/ th ee 5etho)s.

a+ b+ c+

Ebservation -Bperi ent 'urveys

@ut here, only surveys ethod o" data collection is pre"erred which is very suitable to reach the researcher otto.

3. 4.

2esearch instru ent? rando

0uestions was used as the research

instru ent to collect the re0uired in"or ation. Area o" surveys? 9he survey was conducted in di""erent location o" &abalpur city.

S a m p l i n g p l a n > s a m p l i n g p l a n c o n s i s t s of

-.

'a

pling

unit?

The

et'"$e

o#

G oce /

sho-:

&e!e '$ sto e: '!) 5'$$s %'s se$ecte) # o5 )"##e e!t -$'ces o# @'+'$-( .

--.

S'5-$"!& s"Ae:

:$ outlet.

---.

S'5-$"!& - oce)( e:
"ollowed

'i ple rando

sa pling procedure was

->.

S'5-$"!& 5etho):

Fata were collected by retailer survey.

9he retailers are directly contacted and interviewed at their retail counter.

.= Seco!)' / )'t' co$$ect"o!:

collected through internets and newspapers.

As secondary data were

B.. ANA1YSIS OF DATA

FA9A A2- CEDD-C9-F 12EM F%11-2->9 DECA9%E> E1 ,abalpur D%P-?

1. .. 2. 3. ?.

&o '*h-( s')' 5')'!5'h'$ R(sse$ cho%* !'-"e to%!

A!) #e% 5o e -$'cesC

SURVEY ANA1YSIS THE SURVEY 4AS CONDUCTED IN DIFFERENT

1OCATION OF VI0AG. A TOTA1 SURVEY OF ?D OUT1ETS 4AS CONDUCTED.

1. I ,"s"te) '+o(t ?D o(t$ets.

.. O(t o# ?D sho-s co,e e) "! )"##e e!t ' e's: I #oc(se) o! co,e "!& )"##e e!t sho-s 'cco )"!& to $oc't"o!: so th't I c'! *!o% %he e coc'-co$' - o)(cts h',e the +est -e!et 't"o!. A5o!& the sho- co,e e): 1EF %e e o! the ch'( 'sth': 2?F %e e o! the 5'"! o'): .6F "! the 5' *et '!) .DF %e e !e' ' es")e!t"'$ ' e'.

2.

I 'ss"&!e) the ,' "o(s sho-s co,e e) "!to )"##e e!t c'te&o "es. The

,' "o(s c'te&o "es co,e e) %e e G oce /: Co!#ect"o!' /: B'*e /: @("ce Sho-s: Ice C e'5 -' $o s: Rest'( '!t: Foo) Po"!ts: P.C.O: D'" /: '!) P'! Sho-s.

F"!)"!&s Advertise ent ca paign o" coca cola now can see easily on villages like sign board hoarding on highway banners outlets etc. (ersonal selling assistance gives to the by the co pany ; ore (E(!' advertise ent aterials and re"rigerators "ro Coca Cola has also good result on sales. 'ales pro otion sche es like- Fiscount to onopoly retailers and sche es on product is good.

OBSERVATIONS AND SUGGESTIONS:

9aking the above analysis into consideration, the "ollowing points can be regarded "or "urther sales pro otion? (resent coca-cola o""ers are very uch li ited so need i prove ent

on sche es. %n so e areas service little bit down like hathital residential areas. More pro otional o""ers have to be introduced Market developers should be given so e a ount which can be used to %nstall 1ountain Machine at di""erent locations. %t will be help"ul in generating

provide credit "acility to so e retailers. i pulse purchase and also as awareness about the products o" the co pany a ong the consu ers Many custo ers pre"er to have co""ee or tea so Coca-Cola can launch its achines. As any retailers are having either >estea or ake direct contact with the consu ers, so arket and consu ers attitude Georgia co""ee vending

other this will be a success. 9he Co pany e ployees should that they ay aware with real situation o" the

towards the product. 1or this they can arrange awareness ca ps in di""erent locations. Gi"ts should be given to certain retailers who sell large 0uantities o" goods.

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BIBI1OGRAPHY

Re#e e!ce:

Boo*s Marketing 2esearch

A(tho s ?>aresh Malhotra

Marketing Manage ent ?(hilip Potler 2esearch Methodology ?C. 2. Pothari

DATA SOURCES

4e+s"tes : www.0uick ba.co www.indiaco .co www.yellowpages.co www.coca-colaindia.co www.wikipedia.org