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SUMMER TRAINING REPORT

ON
“Marketing Strategy Of coca cola
For JAIPUR Rural Market
An Analysis & Prognosis”

Submitted to:
Centurion Institute of Professional Studies, Jaipur
In partial fulfillment for the requirement
(Two years full time programme)
Under the supervision of: -
Submitted by: -
Dr. Raghuveer Singh
Bhag chand Jat
(Director)
(PGDM-II Sem.)
ACADEMIC SESSION
2007-09 FMS

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PREFACE

The PGDM curriculum is designed in such a way that


student can grasp maximum knowledge and can get practical
exposure to the corporate world in minimum possible time.
Business schools of today realize the importance of practical
knowledge over the theoretical base.

The research report is necessary for the partial fulfillment


of PGDM curriculum and it provides an opportunity to the
researcher in understanding the industry with special emphasis
on the development of skills in analyzing and interpreting
practical problems through the application of management
theories and techniques. It is a new platform of learning through
practical experience, which incorporates survey and comparative
analysis. It gives the learner an opportunity to relate the theory
with the practice, to test the validity and applicability of his
classroom learning against real life business situations.
The researcher has conducted a research on the visibility of An
Analysis of marketing strategy of coca cola for rural market
jaipur region area.

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EXECUTIVE SUMMARY
Gone are the days when people were very unsure about the
future and hardly cared about it in terms of technological
developments. But the situation has changed now. In the new
millennium, people often feel a growing uneasiness about the
future. Certainly many countries today are suffering from
chronic high unemployment, a persistent deficit of economy and
gradual deterioration of purchasing power.
Nations are passing through a phase of rapid transformation.
Two forces are mostly responsible for these types of drastic
changes; they are explosive growth of trade and international
competition and the other force like technological change. This
new era has witnessed remarkable advancement in the
availability of information and a number of large companies
operations in such market where the principal of natural
selection lead to “survival of the fittest”.
Market provides a key to gain actual success only to those
companies 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 the availability of good
quality products and excellent 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 report introduces a brief study of marketing strategy and
sales promotion technique of of Coca-Cola for retailers. The
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study report will provide an opportunity to know retailers
psychographic needs, it may provide an opportunity to the Coca-
Cola to frame a good future plan to satisfy maximum needs,
taste preferences of the retailers and established its guiding role
in the market of Jaipur Rural region & in marketing plan
in particular area.
An Analysis report provide a detailed information about
prevailing market competition and thus prepare itself to meet the
market challenge by making adjustment in its new strategy and
promotions activities.

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TABLE of CONTENTS
TITLE PAGE…………………………..……i

PREFACE…………………………………ii

ACKNOWLEDGEMENTS………………iii-iv

EXECUTIVE SUMMARY…………v

CHAPTER 1. INTRODUCTTION
1
CHAPTER 2. OVERVIEW ABOUT COCA- COLA 3-6
 Mission of coca-cola………………………..……4
 Vision of coca-cola……………………………. 5
 Value of coca-cola………………………………6

CHAPTER 3. ABOUT COCA-COLA COMPANY 7-54


 Plants of Coca-Cola India..………………………7-9
 Mfg process of products…………………………10-18
 Brands of Coca-Cola India………………………19
 Product introduction………………………20-30
 Prestige of coca-cola………………………3137
 Stories of coca-cola…………………………38
 Collectors club of coca-cola………………39
 Enviourmental performance indicators…40-41
 Frequently asked coca-cola questions………42-48
 Myths & facts……………………………….49-50
 Life at coke…………………………… 51-53
 C.E.O Desk………………………… 54

CHAPTER 4. RESEARCH METHODOLOGY 55-60


 Objective of research work…………………56-58
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 Working methodology………………………59-60
CHAPTER 5. ANALYSIS 61-113
 Coca-cola marketing strategy…………………61-68
 Market segmentation model……………………69
 Classification of outlets………………………70-73
 Brand order system of coca-cola………………74
 Sales promotion strategy………………………75
 Sales promotion tools…………………………76
 Objective of sales promotion………………77-78
 Methods of sales promotion………………79-81
 Channel management system………………82-83
 Distribution system of product in market………84-85
 Market allocation of coca-cola…………………86-87
 Market execution standards……………………88-109
 Activation elements……………………………110-112
 Essentials elements of all channels……………113

CHAPTER 6. LIVE PROJECT WORK AT KHATUSHYAMJI 114-123


 Project work title & team…...………………………115
 Formation of work…………………………………116
 Outlets where install coolers……………………117-118
 Coolers installation process………………………119
 Benefits of cooler installation & activation elements 120-122
 Live experience…………………………………………123

CHAPTER 7. FINDINGS 124-125

CHAPTER 8. COCLUSION 126-127

CHAPTER 9. LIMITATION OF RESEARCH WORK 128-129

CHAPTER 10. RECOMMENDATION 130-132

CHAPTER 11. SIGNIFICANCE OF THE RESEARCH WORK 133-134

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BIBLIOGRAPHY
INTRODUCTION

This project is made on the project title “Marketing Strategy of


Coca-Cola for Rural Market of JAIPUR Region an analysis &
prognosis”.
The purpose of this project is to know about theConsumption
of soft drinks has increased tremendously in India. Every age of
group like it, now days it become a household necessary item.
In field of marketing many kind of surveys are conducted by
Coca-Cola team time to time.This is end & last feedback for any
kind oforganization.
By the specific survey, which was conducted by Coca-Cola
organization want to know about the right picture of market of
rural jaipur region? This work study provides extensive
information about the position of company’s brand in rural
jaipur.

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CHAPTER 2

OVERVIEW ABOUT COCA-COLA


Every person who drinks a coca-cola enjoy moment of
refreshment and shares an experience that millions of others
have savored. All of those individual experience combined have
created a worldwide phenomenon – a truly global brand. The
Coca-Cola company, nursing the global community with the
world largest selling soft drinks since 1886, returned to India in
1993 after a grape of 16 years giving a new thumbs up to Indian
soft drink market. In the same year ,the company took our
ownership of the nations top soft drink market brands & bottling
market. No wonder our brands assumed an iconic status in mind
of consumers. Coca-Cola serves in india some recalled brands
across the world including name such as Coca-Cola, diet coke,
Sprite, Fanta, Thums-up, Limca, Maaza & Kinely (packaged
drinking water).
The biz.system of coca-cola in India directly employs
apporxmatly 6,000 people, & indirectly creats employment for
many more related industries throw our wash procurement ,
supply and distribution system.
The vast Indian operations comprise 25 company owned bottling
operations & 24 franchise –owned bottling operations . the apart
a network of contract packers also mfg. a range of the product
for company. On the distribution front ,10 tone trucks, open-bay
three wheelers that can navigate the narrow alleyways of Indian
cities, ensure that our product available in each corner of the

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country.
The coca cola is reasponsible for the mfg. distrubtion & sales of
product across the country. A career in coca-cola is truly one
kind of experience. Come @ Coca-Cola and taste the life . It is
with enjoyment.

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MISSION OF COCA-COLA

To refresh the world in mind, body & sprit.


To make a difference in our product.
To inspire moments of optimism through our

brand and action.


 To create a value in brands & difference
everywhere we engage.
To do everything differs.
Our product in each hand.
Being a global leader in beverage.

Vision of coca-cola
Profit : M aximize the return of shareholder.

People : Establish a great place to work where people are


inspired to the Best they can do.

Portfolio : Bringing to the world a portfolio of beverage brands


that Anticipate and safely people’s desire & need.

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Partners : nurturing a winning network of partners & building a
mutual Loyalty.

Planet : Being a responsible global citizen that


makes a difference.
RESEARCH METHODOLOGY

TITLE OF THE STUDY: The title of the study is


“Marketing Strategy of Coca-Cola for Rural Market of JAIPUR
Region an analysis & prognosis”.

According to the title the research problem is“What are


marketing strategy & sales promotion techniques of Coca-Cola
for retailers in rural market”

Type of Research-
Exploratory Because I am this research I am exploring the
strategies of company

OBJECT OF THE WORK


Consumption of soft drinks has increased tremendously in India.
Every age of group like it, now days it become a household
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necessary item. In field of marketing many kind of surveys are
conducted by Coca-Cola team time to time. This is end & last
feedback for any kind of organization.

By the specific survey, which was conducted by Coca-Cola


organization want to know about the right picture of market of
rural jaipur region? This work study provides extensive
information about the position of company’s brand in rural
jaipur.

VARIABLES

Marketing variables
1.Display items
2. Visicoolers

Sales Promotion variables


1. Discount for retailers.
2. Scheme for retailers.

OBJECTIVE OF THE WORK STUDY


•To get the retailer’s wants in terms of product selling.
• To know effectiveness of the marketing strategy & sales
promotions in market.
• Visicoolers survey in rural market of jaipur region.
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• 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 competitor’s strength &
weakness in rural market.
• Retailer’s expectation from company.

WORKING METHODOLOGY
ROUTE VISIT:-

We visited the routs with the distributer’s vehicle where


the distributer supplies the products.
I observed the display norms for outlets in all route & each
type of outlet.

Every morning I went to one corresponding route &


observed all techniques of selling product to retailers by
Coca-Cola salesman & also try to know the mentality of the
consumers and retailers.
I visited flowing route with salesman.
1.J.K.COLD DRINKS CHOMU DISTRIBUTR
2. MADENLAL SATYANARAYAN RINGUS

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3. KHATUSHYAMJI
4. SHRIMADHOPUR
5. SAMOD
6. RENWAL
7. PHULERA
8. NEEM KA THANA
9. HARMADA
10. AJEETGRADH

With this work I take interview in that I asked to retailers


about visicoolers & display items.
I asked them about low sales, pesticides effect and other
thing.
1. Count the number of emty per outlet.
2. How much empty palace in a shop.
3. Find out new outlet which wants cooler
4. Find out which outlets owner want to buy and sell Coca-
Cola products.

EDS SURVEY:-
In this survey we checked warm and cold stock of
coke & Pepsi.
• We also checked amtey & annual sales of cold
drinks and water.
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We tried to solve retailers problem and we checked
sales promotion scheme is they getting.
• We also checked sign board, wall painting, rack,
stand rack, counter rack & poster.
• In last I take consumer & retailers feedback.

Analysis
RESEARCH FOR MARKETING
STRATEGY
COCA-COLA MARKETING STRATEGY

• Focus on availability of products in market.


• Focus on availability of products in outlets.
• Coke products visible for consumers.
• More focus in rural area.
• Regular market vigilance by market developer.
• Distribution of product according locality.
• Extra focus on monopoly outlets.
• Aggressive rural area advertisement.
• Social festival in rural areas.
• Target core brands.
• Satisfy market priorities.
• Focus on villages’.

Focus on availability of products in


Market

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Coca-Cola works on dikega to bikega philosophy.

This is the main formula of the marketing straregy


of
each company.
So availability of product in the market is clear.
For this reason market developer daily come in
market
to check their product availability.

Focus on availability of products in


outlets.
There is big difference between the availability of
products in market & outlets. Coca-Cola want that their
product displayed in each outlet in market so it is
important that the product first available in market after
than it put on outlets.
Best example (Khatushyamji market)

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Focus on visibility of coke product in
outlet
The aim of Coca-Cola is that its product should be visible
for the customers so company gives to retailers racks so
many display items.
Now days the company is giving visicoolers to retailers
for visible their chilled product in market for more sales.
More focus in rural area.

“The rural market is a significant part of our sales


promotional discount scheme which is enabling us
retailer’s link with our product”.
Herminder Singh chabada (STL)
Coca-Cola

According to company sources main focus now on rural


market.
In 2000 the Coca-Cola India spokes women Nantoo
Banerjee said that.

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“The real market in India is the rural market. If u can
crack it, there is tremendous potential.”
CCI begin focus on rural areas after 2000 in order to
increase volumes.
This decision is giving a huge size & potential market to
company. It is clear that CCI would have shifted its focus
to rural market.
“THANDA” GOSE RURAL

In early 2002 CCI launched a new advertising campaign for


attract more rural consumers. The aids with India leading
bollywood star Amir Khan With movie of lagan.
The tag line of aid is (Thanda Matlab Coca-Cola)

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Regular market vigilance by market
developer
To know the position of Coke’s product in the market coca-cola
appoint some executive those go in market & check availability,
visibility of product, take care companies assets, check
visicoolers and talk to shopkeeper & take feedback about their
product.

Distribution of product according


locality.
Coca-cola company distributes their schemes according
to area. Area or place where soft drinks sold in a large
manner, on those place company gives good schemes to
shopkeeper and retailer. Place like railway station bus
stand are consider in this category and place which
have low selling where company gives small schemes
to the shopkeeper.

Extra focus on monopoly outlets

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Outlets which only sales coca-cola product and gives
good sale to company, Are consider in this category company
gives extra schemes, discount and other gift to these shops and
tries to keep them happy and make long relationship.
Problem of these kind of outlets resolve as soon as
possible.

Aggressive advertisement
Coca-cola use the concept of aggressive advertises for
sales promotion. Company introduces different schemes
and advertises them with electronic and print media.
These advertisements build Brand image and establish
awareness.
Brand ambassador play an important role. Brand
ambassador encourage the today youth to trust their
instincts, influence them. Successful advertisement
campaigns like “taaza mango , maaza mango” and “
botal mein aam, maaza hain naam”.
Halp lot to make market image of maaza.
Coca-cola advertising cam gains Jo Chaho Ho Jaye. &
Life Ho To Asiwere very popular & had entered in
youth vocabulary.

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In 2002 company launched the campaign “Thanda Matlab Coca-
Cola”which is sky rocketed the brand to make.Coca-Cola
lunched so many advertising for rural market capture Amir
Khan’s aid “Oye soniyoThanda piyo Social festivals in rural
areas.

Coca-Cola Company time to time introduced rural


social festival.
In 2007 company launched JALASA programmed in
so many rural areas like RINGUS, RENWAL, CHOMU,
PHULERA, for take attention of the consumers.

Focus on villages’

Now coca-cola considers more on villages


after semi
urban areas.
Company making now days strategies for
villages
because they know India leave in Villages.

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MARKET SAGMATION MODEL OF

COCA-COLA
Markets can be segmented along 3 lines- Outlet
Volume, Locality Income, & Channel cluster.

segmentation

Channel Locality Outlet


Cluster Income Volume

Grocery
Low
Eating &
Drinking High

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Convince Medium
Classification of Outlets on the basis of volume

Outlet classification Ko Vpo Slab(phy C/s)


Diamond >800
Gold 500-799
Silver 200-499
Bronze <200

Types of outlets

Grocery:-

Outlets which primarily engaged in retailing of food and various


household items. It include neighborhood outlet stoking
provisions, edible & general household items of daily usages
E.G., commodities like flour, pulses, rice & branded household
items like toothpaste, mosquito oil, soap etc.

E & D:-

Outlets selling items to eat which are being cooked within outlet,
made at the outlet & possibility consume in outlet.

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They may have place of sitting. It includes QSR/Bakery/MITIE
Store/Restaurants/Bars/juice/soft drinks/ ice cream parlor/tea soaps
etc.

Convenience:-

Includes outlets which are small stores or soap generally


accessible locally. These are often located alongside busy roads.
It includes Chemists soap/STD booths/Pan Bidi soaps etc.

E & D includes flowing outlets:-


Take away -
On the go or consumption out of premise food &
drink purchase lead by convenience or impulse.

Fast food-
Self service with limited menu.
Pubs-
Outlets selling alcoholic beverages & snack items. May be open
till late at nights or 24 hrs.

Dhaba-
Situated on roadside & market places catering cost effective
Indian food.

Convenience includes:-

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Pan shop-
Semi- temporary kiosk located near the roadside selling
Cigarettes, beverages and otherconfectionary items.

Outlet at petrol pumps-


Convenience outlets selling top up items, may
be open till late at nights or 24 hrs

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BRAND ORDER SYSTEM OFCOCA-COLA

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SALES PROMOTION STRATEGIES OF
COCA-COLA

Introduction:-
Our world today is characterized by promotion.
Every day when we open the newspaper or saw view
on t.v channels we are bombarded with
advertisement.

Just look at the prized sponsored by several firms


at the end of well know television programmed like
Shaktimaan on Doordarshan, Airtel des ki aawasj
dus ka dum, Indian idol.
Channels it isn’t the prized on the television to
attract the costumers it may have discount
coupons, gifts & several similar incentives program
creatively. Designed by marketer that draws the
customer’s brain in the organization.

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Sales promotion is one of the most loosely used
terms in marketing but in beverages companies it
use separate. Sales promotion consist short term
invectives to encourage purchase & sales or
services.

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WHO USING SALES PROMOTION TOOLS

SALES PROMOTION tools are used by most organization


including manufactures, distributers, traders, non profit
instructions & retailers etc.
Today many customers packaged goods company’s sales
promotion accounts for 75% or more of all marketing
expenditure. Sales promotion 12% annually, compared with
advertizing increase of only 7.7%.

Sales promotion is basically in 3 Forms.

Consumer promotion:-Targeted final buyers.


Trade promotion: - Targeted retailers & wholesalers.
Sales force Promotion: - Targeted the numbers of sales force.

WHYCOCA-COLA USING SALES


PROMOTION
(Objective of sales promotion)

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Sales promotion is main tool for increasing sales so
flowing causes for adopting sales promotion.

1. To stimulate the demand by popularizing product


2. To face competition effectively.
3. To keep the memory of products in mind of consumers.
4. To supplement the personal selling & advertising.
5. To establish the large market segment.
6. To capture more market share from competitor.
7. To maintain the market.
8. To attract distributers towards our brands.
9. To attract more consumers by gave them free gifts on
products.
10.To include middle man wholesaler & retailers to
purchase goods in large quantity by offer them more
facilities on higher trade more cash discount, bonus etc.
11.To arrest seasonal decline in sales.
12.To assist sales man in increasing sales, achieving sales target
& salesman’s activities for problem sales.
13.To help of new products this introduced in market recently.
14.To introduce such sales promotion methods as to adopt
aggressive selling and their by increase sales.
15.To stimulate market research.

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METHODS OF SALES PROMOTION

Various typs of sales promotion methods are being used in


organization in Coca-Cola these following methods are using in
sales promotion technique.
1. Consumer sales promotion methods.
2. Traders, wholesalers, retailer’s sales promotion methods.
3.Sales force promotion methods.

1. Consumer sales promotion methods:-


Consumer sales promotion methods are those methods which
are directed at consumers to induce them to buy the company’s
product the are some consumer sales promotion devices.

• Free trails.
• Samples
• Premium
• Bonus stamps
• Cash refund offer

2.Trade sales promotion method:


Trade sales promotion is an incentive given to middle man to
buy goods in large quaint form the producer or manufacturer.
The main sales promotion methods are such as:
• Discount
• Display and advertising allowance

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• Buy-back allowances
• Store demonstration
• Free goods
• Free tours etc.

3.Sales promotion method:

Sales promotion method is those methods which intended to


motivate the sales force to increase sales. These methods support
a sales man to perform his job more effectively and sincerely.
• Bonus to sales force
• Sales force contests
• Sales meeting convention and conferences

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Promotion strategies

A promotion strategy is an important element of market strategy.


A key ingredient in marketing campaigns consists of a diverse
collection of incentive tools, mostly short term, designed to
stimulate quicker or greater purchase of particular products or
services by consumers or trade.

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CHANNEL MANAGEMENT

Part of marketing strategies of COCA-COLA

The partner type relationship with bottlers Franchise owned


bottling operation [FOBO], as well as Company owned bottling
operation [COBO] network of the channel management mostly
cover these type bottling.
It is this way in Coca-Cola India strengths in its marketing that
gives it an edge. Every number of its sales team is meticulously
taught the merchandising & display skills that can leverage the
reach of the company’s bottling network to achieve high
visibility of the product.

[FOBOs] & [COBOs]


Coca-Cola India work under two type of bottling
operation.
1.[FOBO], Franchise owned bottling operation.
2.[COBO] Company owned bottling operation.
COBO Company sells product own self.
Some of the COBOs of the company are at.

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Mumbai
Banglore
Ahemdabad
Chennai
Calcutta.
U.P.unit

FOBOs

The concrete is being on sold of products by franchise system


the mfg. & the franchiser sell products in market.Leaving
COBOs the FOBOs are rest in cities of India. Some of them are
Delhi, Punjab, Bihar, Nagpur, Goa. Bhuvenesher, Hyderabad
etc.
DISTRUBTION SYSTEM OF PRODUCTS IN MARKET

Distribution of products is main point of the marketing strategy


of the companies. How the product distribute in market as much
as possible.
Coca-Cola India distributes its product in market from its
warehouse in two types.
1. Direct route.
2. Indirect route.

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DIRECT ROUTE

Where company supply its products in market by company route


or its agent route by company owned delivery vans. In jaipur
city company have direct route.
INDIRECT ROUTE

Indirect routes are those in which Coca-Cola


products are supplied to its distributers appointed
in different areas. Than distributers distribute
products in market by their own tempo or vehicle.
Total number of indirect routs in Jaipur rural region
is more then 100.

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FLOW OF DISTRIBUTION SYSTEM

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DISTRIBUTION @ RAJASTHAN
Total market of Rajasthan divided into 8 divisions
namely.
Jaipur, jodhpur, Udaipur, alwar, kota, siker,
shriganganeger, ajmer

MARKET ALLOCATION Of Coca-cola


Coca-Cola has concentrate in 4 types of markets.
Emerging market
Like China & India, where there is low per capita income but are
a good potential for investment because of their large size of
population.

Leading Market
Where it is lead the market in maintenance, consolidation, &
selling.

Critical mass market


Where Coca-Cola has maintained & defend its position against
competition.

Low Share Market


Markets where Coca-Cola has low shares but where
presence is required.

TARGET CORE

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The Coca-Cola Company has teirweekly targets, Sales
executive, marketing executive, market developer, sales persons
& other get targets. After completing their targets the company
give them good intensive which attract them to work with their
full potential.

FOCUS ON FRANCHISING WITH


BUILDING A CORE OF COMPANY
OWNERS.

Company now planning a franchising with building a core for all


routes so that supply of products should be on the time and the
company demand “Availability of Product” can be meet.

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MARKET EXECUTION
(Activation)
STANDARDS
OF
COCA-COLA

Standards for different types of outlets

CHENNAL:- GROCERY
OUTLET CATEGORY:- DIAMOND
Availability standards of products

200ml/TP -
250ml/200ml mz Maaza
300ml Thumps up+[coke,limca,sprite,fanta(any3)
330ml Diet coke, Coca-cola(only for medium/high income)
500/600ml Thums up+[coke,limca,sprite,fanta(any3)] Maaza
1.0/1.2/1.5/2Ltr Thums up+[coke,limca,sprite,fanta(any3)]
Maaza, kinley

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COOLER STANDARDS
Locality income

20 c/s visi
Low
9 c/s visi

30 c/s visi
Medium/high
20 c/s visi

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ACTIVITION STANDARDS

Essential activation standards:-

• Display Rack (at least 1)


• 3 Tier Rack with Header(should pure
50%charged by coke products)
• Self Display (other than rack, mini.8
facing of any pet displayed & visible.
• Price communication & visi cooler @
prime position.

Optional activation standards.

• Counter Top

• Aerial Mobile Hanger.

• Crate Display.

• Road Standee/Flange/Signage.

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EXECUTION STANDARDS

CHANNEL: - GROCERY

OUTLET CATEGORY: - GOLD

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