(Rural penetration of Coca -cola)

Hindustan Coca-Cola Beverages Pvt Ltd. NAJIBABAD , BIJNOR, (U.P.)

COCA-COLA ENTERPRISE INC.

Type Founded Headquarters Chief Executing Officer Chief Financial Officer Industry Revenue Operating income Net Income Employees

Private 1886 Atlanta Georgia USA John Brock William W Douglas Beverages $19800 billion USD $1.495 billion USD $1.143 billion USD 73000 (approx)

Rural Market Scenario

Rural 75% population engaged in agriculture related activity According to industry estimates 70% of population engaged in agricultural activity. 700 million people (Aug. 2002) 1/3rd of countrys GNP 450 districts, 6,30,000 villages approx. Rural India is also characterized by growing affluence: agricultural output increasingly to early 215 millions tonnes in 2004 compared to 176 millions in 1991.

The Decision was not surprising

Flat sales in urban markets. Huge size of untapped rural market. Improvement in income and spending power of rural people. Better physical distribution channel. Aspirations for urban lifestyle. Increased awareness due to television reach.

CCIs Rural Mktg. Strategy

Three As Availability: Capacity expansion 25 prod. lines and doubled bottle capacity. Unique and different distribution strategy hub & spoke distribution. Coverage of 1,58,342 villages by Aug. 2003 (81,383 in 2001). 2,00,000 refrigerators to rural retailers. Affordability Introduction of 200ml bottle . Priced at Rs. 5, closed the gap between Coke and basic refreshments. Acceptability Mass media marketing. Launched TVCs targeted at rural consumers.

Rural market is more comfortable..

Huge market High growth in terms of sales Change in the life style Increase in the per capita income It can substitute other products

Rural penetration
By the specific survey, which was conducted by Coca-Cola organization want to know about the right picture of market of rural bijnor region? This work study provides extensive information about the position of companys brand in rural bijnor.

OBJECTIVES OF STUDY

To get the retailers wants in terms of product selling. To know effectiveness of the marketing strategy & sales promotions in market. Visicoolers survey in rural market of bijnor region. Ensuring the visibility of the product. Ensuring the availability of products in outlets. Analyzing the effect of scheme. Analyzing the effect of discounts. Evaluating the competitors strength & weakness in rural market. Retailers expectation from company.

TYPES OF OUTLETS

The company has divided their outlets on the basis of the following criteriaVolume Channel Income group

VOLUME

There are four types of outlets according to the volume of sales of the outletDiamond 800>C/s & above Gold 500-799C/s Silver 200-499C/s Bronze <200C/s

CHANNEL

GROCERY STORE EATING & DRINKING CHANNEL 1 EATING & DRINKING CHANNEL 2 CONVENIENCE CHANNEL

INCOME GROUP
According to the income group of the areaLow Medium High

MY ROLE IN PROJECT

Identify OUTLET which sale coke product. The shopkeepers demand & agreed FOR MONOPOLY(SALE EXL COKE PROD) Prime location(Out side or at the enterence) outlets which attract more foot fall (costumers) towards the store. Ready for all agreement those have Coca-Cola. Mostly coolers put Outside the Soap to attract more consumers.

PRODUCT PROFILE

DIFFERENT BRANDS OF COMPANY The Coca-Cola Company offers a wide range of products to the customers including beverages, fruit, juices and bottled mineral water.

In the Cola Section:

In the Lemon Section

In the Orange & Apple section:

In the mango section:

In the juice section :

In the Soda Water and Bottled Mineral Water section:

BRANDS TAGLINE

Thumsup Cocacola Sprite Limca Fanta Maaza

- Taste the thunder - Open happiness - Seedhi baat no bakwaas ,clear hai - Fresh ho jao - Go bite - Bina guthli wala aam

BRAND AMBASSDORS

Thumsup Cocacola Sprite Fanta Limca

-Akshay Kumar -Aamir Khan -Shahrukh Khan -Genelia Dsouza -Riya Sen

PACKAGING DETAILS
PACK
MAAZA COKE THUMSUP FANTA SPRITE LIMCA

SODA

300ML 200ML 250ML 2 LTR 600ML 1.2 LTR 1 LTR

NO NO YES NO YES YES

YES YES NO YES YES NO YES

YES YES NO YES YES NO

YES YES NO YES YES NO YES

YES YES NO YES YES NO

YES YES NO YES YES NO YES

YES NO NO NO YES NO

NUMBER OF BOTTLES IN A CASE

PACK
300ML 200ML 250ML

NO.OF BOTTLES IN A CASE

24 24 24

2 LITRES
600ML 1.2 LTR 1 LTR

9
24 12 6

ADVERTISING

BRAND AMBASSDORS & TV COMMERCIALS BY POSTERS PRINT ADVERTISING

PROMOTION BY THE COMPANY

Promotional strategy during IPL matches

Lucky Coupon Dinner with kings XI Punjab

CONT..

Sprite kholega toh bolega IPL Season 2

PROMOTION DURING OFF SEASON

Limca Launches Laptop Ki Barish Consumer Initiative

RESEARCH METHODOLOGY
The study includes two methods(a) PRIMARY (b)SECONDARY Primary includes the following waysObservation Experiment Survey Here I include the primary method of survey

Sampling plan

Sampling unit - Owners of the retail outlets. Sampling size- 250 outlets Sampling procedure-Random sampling Sampling method- Retailers survey

ANALYSIS

SIZE OF VISICOOLER
8% 2% 1% 7%

20c/s 9c/s 7c/s 4c/s

82%

2c/s

IS the regular supply of coca-cola

20%

Is good Some gap

80%

HOW MUCH HAS THE VISIBLE PRODUCT?

VISIBLE PRODUCT
250 200 150 100 50 0 BOARD FLANGE RACK TABLE TOP 36 30 145 105 90 214 220 160 YES NO

LEADING BRAND OF COCACOLA

Brand share 7% 6% 8%
THUMSUP COKE SPRITE

14% 2%

LIMCA

63%

FANTA MAAZA

CHANNEL OF COKE

5% 29% E&D CONVENIENCE GROCERY

66%

OUTLET BELONG TO WHICH CLASS

CLASS OUTLET

19
DIAMOND

92 83
GOLD SILVER BRONZE

56

Scheme by distributor

25% Yes No 75%

MARKET SHARE

MARKET SHARE

29%
COKE PEPSI

71%

Which scheme prefer

Promotional Scheme preference

100 50 0 1

Others Discount Daily scheme Good signage

FINDINGS

Price factor (price has increased in compression of 2006-07) Competition with local drink like- Fruit juice,lemon water, sharbat & lassi.tea Competition with local drink brands like- Jayanti,Lijjet, Premji in small areas. C/s problems. Irregular supply in small villages. Find impurity Coca-Cola visicoolers. I find so many OYC, VISI, D-FREEZE & other company freeze in different areas in differ region. Found so many outlets they want visi coolers from Coca-Cola. Also found dead & useless coolers. Some retailers complain about the service & repair of coolers.

FACTS

The most popular flavor is Thumsup in the whole market. Cocacola is the market leader and Pepsi is the market challenger. Thumsup has the highest sales from the Coca colas side and from the Pepsis side mountain Dew has the highest sales. Aquafina has more sales then Kinley in mineral water segment.

Cont..

Pepsi provides more schemes then Coca-Cola. Sprite has the fastest grownup brand in the clear lime segment in the recent years. In the off season when the sale is reduced retailers want more schemes. Minute maid has not getting good response from the market.

SUGESSTIONS

Delivery position should be maintained to get good return from the market. The company must try to make different brands of Coca-Cola available at every retail outlet whether it is large or small, otherwise the consumer may go for substitute. The company should take steps to replace damaged or unsellable Coca-Cola goods frequently from the retailers. The Company employees should make direct contact with the consumers,

Continue..

Distributors should be convinced to pass the incentives to the retailers so that they are motivated to promote this brand. Try to decrease the price of commodity in competition of Pepsi.

Thank

You