Arvind Report

INTRODUCTION
Marketing plays a vital role in today’s business scenario, where all the
FMCG concerns are planning to have an edge over their competitors.
Marketing is a viewpoint, which looks at entire business process as a
highly integrated effort to discover, create and satisfy consumer needs.
The project work consists of finding new channels of promotion for Coke.
Survey was carried out to find out the test market and the strategy to be
used to enter and sustain the channel.
I found the whole project very interesting and educating, it helped me to
know my strengths and weaknesses regarding the concepts of research.
Moreover the project helped me to correlate my theoretical knowledge
with the practical on going business.
HISTORY OF SOFT DRINKS
Coke Vs Pepsi Page 1

The history of soft drinks began with the end of the last century. Its date
back to the civil war in USA in 1860. At that time people were suffering
from many diseases.
Problem at that time was how to cure all these diseases since no remedy
was present at that time. It was a big question for American people. So in
1885 Mr. Jihn Palmwartion , who lived in Antonica, made a drink and got
it registered with the name French wine cola in the beginning this drink
was made with mixture of cocaine and alcohol but later on it was
converted and changed into a soft drink
The drinking of either natural or artificial mineral water was considered a

healthy practice. American pharmacists, who were selling most of the
mineral waters, started to add medicine and other flavored herbs to this
drink. The early drug stores with their soda fountains became popular part
of American culture.
Drink bottle tops. The bottles were under a lot of pressure from the gas.
Inventors were trying to find the best way to prevent the carbon dioxide
from escaping. In 1892, the crown cork bottle seal was presented by
William Painter , a Baltimore machine shop operator. It was the first very
successful method of keeping the bubbles in the bottles.
In 1899 the first patent was issued for a glass blowing machine for
the automatic production of glass bottles. Earlier glass bottles had all been
hand blown.

Four years later, the new bottle blowing machine was in operation. It was
first operated by the inventor, Michale J. Owens, an employee of Libby
lass Company. Within a few years, glass bottle production increased from
1500 bottles a day to 57000 bottles a say.

HISTORY OF COCA COLA
Coca cola company, the beverage company and the world leader in the
soft drink sales produces and distributes several brands of soft drink in the
US as well as international market. The company also produces and
markets many fruit juices and other non soda beverages. The coca cola
company is based in Atlanta, Georges.
Coca cola traces its origin to 1886 when Jihn Pemberton, an Atlanta
pharmacist, who developed patent medicines, created a drink from
carbonated water, cane sugar syrup, caffeine and extracts of cola nuts and
coca leaves. Pemberton found the drink both medicinal and refreshing,
and he sought to market it. His book keeper, Frank m. Robinson,
suggested the name coca cola after the two extracts in the ingredients and
also wrote the product’s name in distinctive script. Coca cola has used
that same logo ever since. Pemberton and Robinson also coined the
drink’s first slogan, “delicious an refreshing”.
Pemberton, however, was ill and he would not live to see his product’s
success. In their first year selling coke, and its partners made only $50 by
selling it. Pemberton sold two third of his business in 188 to cover his
losses an deep the business afloat.
He died later that year and Candler, an Atlanta wholesale druggist,
purchased total interest in coca cola for $ 2300 in 1891. The next year
Candler and his brother, john Frank Robinson and two associates formed
coca cola co.

In 1893 Candler registered coca cola as a patented trade mark. He also
responded to growing concerns over the dangers of cocaine by reducing
the amount of coca in the drink to a trace. However, he kept some coca
extracts in coca cola so the name would accurately describe the drink.
Candler only had a patent on the name, and not on to drink syrup that was
the drink’s base, containing all the ingredients minus the carbonated
water. He figured that keeping the coca in his formula would legally allow
the company to distinguish its drin from limitations. Other companies also
produced soda drink made with cola nut extracts. In particular, the Pepsi
cola company and its cola of the same name would become coca cola’s
major competitor over the next few decades.
Candler also spent more than $11,000 on his first massive advertising
campaign in 1892. the coca-cola logo appeared across the country,
painted as mural on walls: displayed on posters and soda fountains where
the drink was served: and imprinted on widely marketed, common
household items, such as calendars and drinking glasses. In addition to
this, Candler was the first person ever to use coupons to gain costumers
for a product. He distributed flyers offering free soda fountain glasses of
coca cola to people visiting his drugstore.
In 1894 the coca cola company opened its first coke syrup production
plant outside of Atlanta, in Dallas, Texas. That same year a candy store
owner in Vicksburg, Mississippi, installed bottling machines and
produced the first bottled coke. It had previously been sold only at soda
fountains. By 1895 the drink was sold in all US states and territories.

In 1899 Lawyers Benjamin Thomas and Joseph Whitehead of
Chattanooga, Tennessee, bought the exclusive rights to distribute coke
syrup to bottlers throughout most of the country for only one dollar. At
that time Candler saw a little profit in bottling, and was more willing to
give up that part of the business. Their contract maintained that Candler
could withdraw bottling rights, however, if the quality of bottled coke was
not consistently high. Because of differences in availability of time and
money, Thomas and whitehead split their partnership soon after it started.
In 1890 Thomas took bottling rights for the northeast and the west coast.
Whitehead received financial backing from John Lupton, and the two
formed the Dixie coca cola bottling franchise system that still exists.
In 1915 the root glass company created a contour glass bottle for coke, its
design based on the curvature of a coca bean. This bottle design became a
coke trademark worldwide. The same year, Candler retired from the
company, passing it on to his children and moving into politics. He was
elected mayor of Atlanta. In1916.
In 1919 the Candler family sold coca cola to businessman Ernest

Woodruff of Columbus, Georgia, for $25 million. Woodruff’s son.,
Robert was elected company president in 1923. Robert Woodruff was a
skilled marketer, and he put more of the company’ resources into market
research than into manufacturing coke. Two new coke slogans were
developed under Woodruff. These slogans were, “the pause that
refreshes” in 1929 and the other, “it’s the real thing” in the year 1941.
During world war II (1939-1945), woodruff also boosted coke’s popular

image in the US by pledging that his company would provide coke to

every US soldier. The company did not limit itself, however, to only
doing business that would increase its success in America. In the period
leading up to the war, between 1930 and 1936, it had set up a division of
the company in Germany, and it continued that venture during the war. It
recreated its image as a German company and allowed the Germans to
produce all but two, secret, coca cola ingredients in their own factories.
In 1941 the German company’s president, Max Keith, developed Fanta
orange soda using orange flavoring and all the German made coke
ingredients. The coca cola company’s wartime efforts helped it expand its
global market, often with the economic support of he US government. By
the end of the war in 1945, it had established 64 overseas bottling plants.
That same year the company registered a patent on coca cola’s popular
nickname, Coke.
In 1955 Robert woodruff retired as the coca cola company’s president.

Candler and Woodruff are remembered as the two most important figures
in the company’s early growth, both for their contribution to the company
and their considerable fortunes donated to diversify by producing new
products, acquiring new business and ensuring new international markets.
In 1960 the coca cola company purchased the Minute Maid Corporation,
producer of fruit juices and began offering coke in cans. Between 1960
and 1963 it also launched four new soft drinks in the US: Fanta, an orange
soda; Sprite, a lemon lime soda; tab, a diet cola; and Fresca, a diet
grapefruit flavored soda. In 1964 the company acquired the Duncan Food
Corporation. In 1967 it created the coca cola foods division by merging its
Duncan and Minute maid operations. In the late 1960s, coca cola faced
difficulties in some of its foreign markets. When the company built a

bottling plant in Israel at the outset of the Arab-Israeli war, the
governments of all Arab league Nations banned the production and sale of
coke. A year later the company withdrew from its markets in India when
that country’s government requested that coca cola reduce its equity in
joint ventures to 40 percent the company refused to relinquish so much
control over those operations. In 1977 coca cola began packaging coke
and other drinks in two liter plastic bottles. The popularity of these large
bottles grew over time, and their sales earned the company introduced diet
coke, which soon became the best selling diet soft drink in the world.
In 1882 coca cola purchased the motion picture company Columbia
pictures Industries, which was also known as Tri-star Pictures, for almost
$700 million. Two years later the company sold off its Columbia holdings
and other media acquisitions to Sony Corporation for over $1 billion.
By the year 1987 Pepsi cola had gained on Coke’s previous domination of
the US market to the print that the two had almost equal sales. In an
attempt to regain market dominance, the company, attempted the first
ever revision of the original recipe. The American public largely rejected
new Coke and so the company quickly returned to producing the old
recipe under the name coca cola classic.
In 1986 the coca cola company consolidated all of its non franchised US
bottling operations as coca cola enterprises. The new company began
acquiring independent bottling companies, a venture that grew into the
world’s largest bottler of soft drinks by1988.
While coca cola enterprises distributes over half of all coca cola products
in the united states, small franchise business continue to bottle, can and
distributed the company’s drink world wide. In 1987 the coca cola

company was listed in the prestigious Dow Jones industrial Averages
Index of stock market performance. Its stock is traded on the New York
Stock Exchange. Coca cola and PepsiCo products occupied nine of the
top ten spots in the US soft drink market in the mid 1990s. Worldwide,
coca cola ranked first in soft drink sales, and the company earned almost
80 percent of its profits from international sales.
SODA WAR IN INDIA
The cola war in India increases everyday between coca cola and Pepsi.
These two soft drink giants are trying to overcome and white wash each

other from the soft drink market. For that these companies are promoting
their products in different ways. No other soft drink company can remain
in the market for the long time before these two companies.
The war started when coca cola broadcasted an ad film featuring Mr.
perfectionist Amir Khan. In the ad film Amir’s slogan was “Thanda
Matlab Coca Cola” which was most liked by the youth and they start
asking for Thanda instead of Coca cola. After that also Amir came in
different roles and slogans such as “yara Da Tushun”, “Sar utha ke
piyo”and “Pandav kitne the….. Paanch”. These all ad films became very
popular among youth. In respond to that Pepsi also made an ad film and
got it broadcasted. In that ad film two beach bums, played Fardin Khan
and Rahul khanna decides to take jobs in two shacks, one selling Pepsi
and the other selling coke.
The Pepsi seller is overcrowded with consumers while the coke seller
stands idle. An exchange with a young child who repeatedly buys Pepsi
for a friend reveals that the friend is the consumer less coke vendor who
uses Thanda in the sense of declining. When he calls out, “ cold business
means…….’ The young child shouts, “coca cola” Since that commercial
appeared, the gloves have been off, escalating the two brands’ usual
rivalry to incendiary heights as customers watch in amusement.
At stake is market share In one of the fastest growing soft drink markets
in the world, and potentially one of the largest. Coke executives are testy
about Pepsi’s tactics. One of the main strategy makers of coke says that
Pepsi copies our ads. And Pepsi cant fight with us in the market. And the
Both sides claim to be ahead. Coca cola says that they are two times as
big as Pepsi. while Pepsi says that they are the best soft drink making

company of India. The head to head conflict in previous ad campaign has
usually been a competition to land the hottest celebrities as endorsers.
Last year Pepsi had leading film star Shah Rukh Khan, while coke
featured Hrithik Roshan. When Indian women won both the miss universe
and the miss world pageants in the same year, coke and Pepsi each signed
one of the winners for TV commercials.
Both companies want to expand the consumption of soft drinks in India.

With the approach of May and June, the hottest months of the year here,
both companies are gearing up their marketing efforts, hoping to expand
their reliance on popular celebrities from India’s two abiding passions,
cricket and the movies.
So far, their penetration extends to only about 10 percent of the total

population, which is one billion or more. With about seven in ten Indians
living in rural area, the distribution becomes a major challenge.
In this highly competitive market, coke and Pepsi stand toe to toe. Coca
cola India has 45 bottling plants in the country, while PepsiCo has 44
plants. each of the companies has about seven to eight lakhs of retail
outlets all over the country.
Neither company is willing to discuss financial results in India. Coca cola

is hoping for double digit growth, in part by expanding sales in rural

areas. It plans to add some new outlets this year. and it is planning to
introduce a small bottle which will be sold for 5 rupees only. But for the
moment, both the companies are directing ads at the big growth segment
of their current market: the urban young who account for more than half
of the estimated 150 million soft drink consumers in India.
The ad war has certainly got young customers’ attention. After coca cola
India hired the director of the movie Lagan to make a commercial, Pepsi
signed up young movie maker Farhan Akhtar to make an ad film for them
Pepsi’ latest coup was to cast India’s top movie star Amitabh Bachchan.,
and the cricket legend Sachin Tendulakar in the same ad. Its also a big ad
comprising the two celebrities of India from different fields. Coca cola
has not yet said how It plans to top that combination but its certain to try.
One could hanging at the edge of the battlefield is litigation left over from
last year’s ad war.
And the war between these two giants does not seem to end here only. It
may continue for years. And only the time knows who will win in this
cold war.
ABOUT THE ORGANISATION

The organization named as “Agra Sales & Marketing Services Pvt. Ltd.”
Is a part of Ladhani group of companies, which accounts to be worth of
more than 250 crore Rupees. It has got five other sister concerns namely-
• Amrit Bottles Pvt. Ltd. Faizabad.
• Brindavan Beverages Bareilly.
• Brindavan Bottles Barabanki.
• Avadh Crown Industry, Barabanki.
• Laxmi Cold Alloys, faizabad.
The chairman of ladhani group of companies is Mr. S.N. Ladhani. And

it has four more directors-
• Mr. Mohan Ladhani
• Mr. Laxman Das Ladhani
• Mr. G.C. Ladhani
Agra franchise is reputed to be the first franchise of Coca Cola
Company. It was established in 1993, when Mr. Donald Short,
Chairman of coca cola came to India and offered the franchise to the
Ladhani groups but at this time chairman of coca cola was Mr. Alex
Von Bher, since from the beginning the company has been growing in
hilly way having a turnover of Rs. 25 crores in 1998.
The bottling plant of the company is situated in Aligarh. Its premises

are situated on a plot of 35,000 square feet. It has a storage capacity of
150,000 case. The company has modernized it’s plant having the latest
technology of coke. Its machinery includes a high tech paramix which
125 hired vehicles to facilitate is made exclusively for coca cola
incorporates. The production capacity of company is 600 bottles per

minute. In addition to this company has a fleet of 75 owned and
distribution.
The company has a sales and marketing division in Agra which is

responsible for all the sales and marketing of the products of the
company. It is named as Agra sales and marketing services Pvt. Ltd.
PRODUCT PROFILE OF THE COMPANY

There are nine brands of coca-cola named as following.
1. COKE
2. THUMPS UP
3. FANTA
4. MAZZA
5. LIMCA
6. KINLEY SODA
7. KINLEY WATER
8. SPRITE
9. AM PANA
All these brands differ in taste, flavor and colour. The especially of each
product of coca-cola can be discussed as follows.
• COKE:

Coke is considered to be a cola drink. It is generally preferred
by all sections of the consumer. This is a cash cow brand for the
company. And it generates huge amount of revenue to the company.
• THUMPS UP:

Thumps up is also considered to be a cola drink. It is
strong in comparison to coke. It is preferred by all sections of the
consumers but specially teenagers. It is a big source of cash and
publicity to the company.
• FANTA:

Fanta is an orange drink. It comes under the category of fruit
drinks. It is specially preferred by women and children.
• MAAZA:

Maaza also comes under the category of fruit drinks. It is in
the flavor of mango with real mango taste. There is no gas in maaza. It
is only juice. It is also preferred buy women and children.
• LIMCA:

Limca is considered to be lemony in taste, and comes under
the category of cloudy lemon because of its color which is similar to that
of clouds. It has to yield good sales revenue. It is generally preferred by
children and women.
• KINLEY SODA:

This is a soda drink. It has no colour and no flavor. It is
generally used with alcohol. It is very strong drink. It is used by adults
and mostly men.
• KINLEY WATER:

It is clean and fresh mineral water. It comes under the
category of mineral waters. It is used by all sections of the consumer.
• SPRITE:

Sprite is to be considered lemony in taste. It comes under the
category of clear lemon drinks but its taste is some different from that of
Limca. It is also liked by all section of consumer.
• AAM PANNA:

It is the new launched product of coca-cola. It comes under the
fruit drinks. It provides the taste of traditional Indian Aam Panna.
It is delicious health drink. It is also liked by all sections of the consumer.
It also saves from the sun stroke.
GLOSSARY OF SOFT DRINKS

COMPANY OWNED BOTTLING OPERATION
(COBO)

This is the bottler in which the company holds controlling ownership. The
bottler’s financial results are consolidated into company’s financial
statements.
BEVERAGE BASE
This is the material manufactured by the company-defines ingredients

sold to bottlers for use in preparation of syrup through the addition of
sweeteners and water.
CARBONATED SOFT DRINK
A soft drink which contains flavour, sweeteners, carbonation and water is

called the carbonated soft drink.
UNIT CASE
Physical case and foundation gallon which is converted to a standard unit

of measure, defined as 24 eight ounce serving is called unit case.
CONSUMER
The persons who consume the cold drinks are called consumers.
FOUNTAIN
Beverage system used by retail outlets to dispense products into cups or

glasses for immediate consumption is called fountain.

GALLON SALES
Unit of measurement to measure the syrups sold by the company to its

consumers.
PER-CAPITA CONSUMPTION
Average no. Of eight ounce servings consumed per person, per year in a
specific market is called per capita consumption. It can be derived by
multiplying unit case volume by 24, and dividing by the population in
respective market.
POLYETHYLENE TEREPHTHELATE
This is the plastic used to make soft drink bottles.
PHYSICAL CASE
Eight US fluid ounce of beverages.
SOFT DRINK
Soft drinks are distinguished from hard drinks or alcohol beverages, such
as distilled spirits, beer or wine. Soft drinks don’t contain alcohol.
consumers can choose from a wide variety of beverages including regular
carbonated soft drink, diet and caffeine free soft drinks, bottled water,
juices drinks, sport drinks and ready to drink.
SYRUP

Concentrate mixed with sweetener and water, sold to bottlers who add
carbonated water to produce finished soft drinks.
MARKET RESEARCH
Research is a process of gathering, recording and analysis of critical

relevant facts about any problem in any branch of human activity

Market research is only one branch of marketing information system. The
term market refers to actual and potential costumers and hence market
research is a systematic way, investigation or study of the who, what,
when, where and why about the actual and potential buyers. It deals with
research on consumers, retailers and dealers of a firm in the market. It is
primarily concerned with the investigation analysis and measurement of
market demand.
The following items of study and analysis are included in market

research.
• Size of the market.
• Geographical location of the costumers.
• demographic description of the costumers
• Market segmentation on the basis of gender, age and education.
• Analysis of market demand.
• Customer requirements and demand.
• Degree of competition and market trend.
USAGE OF MARKET RESEARCH

TO FIND OUT THE POTENTIAL MARKET:

It can be used for estimating the potential for sales. It covers reactions of
different classes of consumers in markets their importance for product of
enterprise.
TO MAKE SELLING POLICIES:
It covers the study of locating and studying costumers, channels of

distributions and their relative costs. Here we also study the strategy of
the competitors so we can make some new strategies to compete in the
market.
REGARDING PRODUCTS:
It covers reactions to the products new and existing, technical and

commercial development of the product to meet the specific requirement
of consumers, quality to be produced, design, size, colour, packaging,
product preference etc.
ADVERTISING:
Advertising and wide publicity are powerful instruments for increasing

sales. It helps in selecting the proper and most appropriate media of
promotion.
STEPS IN MARKET RESEARCH
1) PROBLEM DEFINITION:

Under problem definition there comes
A) Setting of objectives
B) Setting of hypothesis
2) RESEARCH DESIGN:
Research design includes

A) Defining the population or universe.
B) Assessing the relevant existing or secondary data.
C) Deciding the method of collecting primary data ( that is survey,

observation and experimentation)
D) Defining the sampling unit.
E) Deciding the sample size.
F) Deciding the sampling method ( Probability or non probability
sampling method) .
G) Deciding how the data could be analyzed.
H) Deciding in what style the report would be presented (scheme of
chapterisation) .
3) DATA COLLECTION OR FIELD WORK:

It includes collection of data using different instruments and adjusting
the problem of not at home, refused to co-operate, bias of interviewer
and bias of respondent etc.
4) DATA ANLYSIS AND INTERPRETATION:
This is the most important part of research. We should take special
care, while analyzing the collected data. Data analysis and
interpretation includes the following steps.
A) Edit the collected data
B) Code the collected data
C) Tabulate the data
D) Analyze the data using statistical tools
E) Interpret the data and draw conclusion
F) Suggest and recommend the improvements in the existing system.
5) REPORT PRESENTAION:
This is the final step in the research process. This step includes the
following steps.
A) Arrange the research results in accordance with an approved
reporting format
B) Get the report typed and bound
C) Present the copies of the report to the concerned authority
AREAS OF MARKETING RSEARCH

1)MARKET RESEARCH:
• Special features of the market
• Channel distribution
• Location of the market
• Influences: seasonal and other trends
2) CONSUMER RESEARCH:
• Methods of approaching prospects
• The habits, liking, disliking and prejudices of the costumers
• Location of consumers and prospects
• Approach and collection of other preliminary relevant

information
• Types of consumers
3) PRODUCT APPROACH:
• Special features and other characteristics of the products
• Analysis of a new product
• Testing of a new product
• Trademarks and brands
• Uses and other benefits of the product

• Analysis of competitive products
• Packing and packaging consideration
4) MEDIA RESEARCH:
• Different media available for advertising
• Quality of the prospects selective approach
• Depth of the impacts
• Media research circulation
• Role of expert agencies
METHODS OF DATA COLLECTION

The task of data collection begins after a research problem has been
defined and research design chalked out. While deciding about the
method of data collection to be used for the study, the researcher should
keep in the mind two types of data viz., primary and secondary. The
primary data are those which are collected afresh and for the first time,
and thus happen to be original in character. The secondary data on the
other hand, are those which have already been collected by someone else
and which have already passed through the statistical process. The method
of collecting primary and secondary data differ since primary data are to
be originally collected, while in the case of secondary data the nature
collection work is merely that of competition.
There are four methods which are used to collect the data.
• Questionnaire method
• Observation method
• Schedule method
• Interview method
All these methods of data collection have some merits and demerits. The
adaptation of the method of data collection depends on the nature of the
research work to be conducted. I used the questionnaire method to collect
the data. For that I prepared a printed questionnaire which was filled by
the interviewer.

COLLECTION OF DATA THROUGH
QUESTIONNAIRES
This method of data collection is quite popular, particularly in case of big

enquiries. It is being adopted by private individuals, research workers,
private and public organizations and even by governments. In this method
a questionnaire is sent to the person concerned with the request to answer
the questions. A questionnaire consists of a number of questions printed
or typed in a definite order on a form or set of forms
The method of collecting data by the questionnaire is most extensively

employed in various economic and business surveys. The merits claimed
on behalf of this method are as follows.
• There is low cost even when the universe is large and is widely
spread geographically.
• It is free from the bias of the interviewer; answers are
respondents’ own words.
• Respondents have adequate time to give well thought out
answers.
• Respondents, who are not easily approachable, can also be
reached conveniently.
• Large samples can be made use of and thus results can be made
more dependable and reliable.

SAMPLING DESIGN
A sample design is a definite plan for obtaining a sample from the given
population. It refers to the technique or the procedure the researcher
would adopt in selecting items for the sample. Sample design may as well
lay down the number of items to be included in the sample i.e., the size of
the sample. Sample design is determined before data are collected. There
are many sample designs from which a researcher can choose. Some
designs are relatively more precise and easier to apply than others.
Researcher must select a sample design which should be reliable and
appropriate for his research study.
This research design is simply the framework for a study that guides the
collection and analysis of data by the survey of 100 consumers and 50
retailers in the different areas of Agra. The sampling method used is
Judgment sampling method.
The sampling design is discussed below;
TYPE OF UNIVERSE:
The first step in developing any sample design is to clearly define the set
of objects, technically called the universe, to be studied. The universe can
be finite or infinite. In finite universe the number of items is certain, but
in the case of an infinite universe the number of items is infinite.
For this research study the universe is infinite. And this is all the
consumers and retailers of oft drink in Agra.

SAMPLING UNIT:
A decision has to be taken concerning the sampling unit before selecting

sample. Sampling unit may be a geographical one such as state, district,
village etc., or a construction unit such as house, flat etc., or it may be a
social unit such a family, club, school, etc., or it may be an individual.
The research will also have to decide one or more of such units that he has
to select for the study.
For this research study the sampling unit is the retailers of Agra city
selling soft drinks and consumer who is an individual of Agra city
consuming at least one brand of soft drink.
SIZE OF SAMPLE:
This refers to the number of items to be selected from the universe to

constitute a sample. This is major problem before a researcher. The size
of sample should neither be excessively large, nor too small. It should be
optimum. An optimum sample is one which fulfills the requirements of
efficiency, representativeness, reliability and flexibility. While deciding
the size of sample, researcher must determine the desired precision as also
an acceptable confidence level for the estimate. The size of population
variance needs to be considered as in case of larger variances a bigger
sample is needed. The size odd the population must be kept in view for
this also limits the sample size. The parameters of interest in a research
study must be kept in view, while deciding that size of the sample. Thus
the size of the sample should be selected with care.
For this research study the size of sample is 100 consumers and 50
retailers of soft drink from the different areas of Agra.

PROMOTION STRATEGIES
A promotion strategy is an important element of marketing strategy.

Suppose a marketing manager has developed his product as a part of his
marketing plan. He has priced his products and decided on the distribution
channel. Now he has to formulate a strategy for promoting his product so
that they are sold at high profit. For this the marketing manager has to
promote the sales.
The elements of promotion strategies are advertising, personal selling,
sales promotion and publicity.
ADVERTISING:
Advertising refers to those non personal activities, oral or visual, which

are aimed at informing and inducing the selected public to buy the
advertised products. Direct mailing, which is also a form of advertising, is
aimed at specific individual, whereas advertising as addressed to a group
of potential customers, for example for the advertising of coca cola, glow
signboards and banners are distributed to the shop keepers and
distributors.
PERSONAL SELLING:
Personal selling in contrast to advertising is addressed to individual

costumers. It is personalized method of getting across the sales message
to individual costumers and inducing them to buy the products.

SALES PROMOTION:
It includes all those demand simulation activities, which are not covered
under advertising and selling. It includes all those marketing activities
such as displays, shows and exhibitions, demonstrations etc.
PUBLICITY:
Publicity, like advertising, is an important method of sales promotion. It is

the publication of any new item in a news paper or magazine about a
company and its products on radio, television and stage.
SALES PROMOTION
Sales promotion is another way of promoting or increasing sales. It

includes all those activities, which are used for increasing sales. It is a
special type of promotional activity carried on in such a way so as to
attract consumer for buying. Sales promotion activities consist of
displays, shows, expositions, demonstrations and other special efforts
such as bonus, off season discount, contests, coupons etc. that are
intended to attract consumers and create more sales.
Sales promotion refers to those marketing activities connected with the
promotion of sales other than personal selling, advertising and publicity
that stimulate consumer purchasing and dealer’s effectiveness such as
display, shows and expositions, demonstrations and various non-recurrent
selling efforts not in the ordinary routine.

SALES PROMOTION
INTRODUCTION:
Our world today is characterized by promotion. Everyday when we open

the newspaper or view TV channels, we are bombarded with
advertisements. Just look at the prizes sponsored by several films at the
end of the well known programs. Apart from the prizes the costumers are
also attracted by the several incentive programs cleverly designed by the
marketers.
All these are means to promoter the product. Sales promotion collectively
comprises of the tools used to promote sales in a given territory anytime.
MEANING OF SALES PROMOTION
Sales promotion is one of the most loosely used terms in the marketing
vocabulary. Sales promotion consists of short term incentives to
encourage sales of products or services.
GROWING SIGNIFICANCE OF SALES PROMOTION
Sales promotion tools are used by most organizations including

manufacturers, distributors, retailers, trade associates and nonprofit
organizations. According to the 18 annual survey of promotional practices
1996. Today in many costumer goods company’s sales
promotion accounts for 75% or more of all marketing expenditure. Sales
promotion increases 12% annual compared with advertising‘s increase of
only 7.6%.

FORMS OF SALES PROMOTION
We can divide the sales promotional activities in three categories.
1. Consumer promotion: They are targeted towards final

buyers. Promoters keep in mind the consumers who are going to
consume the products.
2. Trade promotion: They are targeted towards the mediators

who supply the products or services to the final consumers such as
retailers and whole sellers.
3. Sales force promotion:

They are targeted towards the employees of the company such as
sales persons.
In general sales promotion should be consumer relationship building,
rather than creating only short term sales volume or temporary brand
switching.
METHODS OF SALES PROMOTION
Modern entrepreneurs are adopting various methods of sales promotion

now a day. But there are three methods of sales promotion which are most
widely used to promote the sales.

1. CONSUMER SALES PROMOTION METHOD:
Consumer sales promotion method is the method which is directed at

consumers to induce them to buy the company’s product. Under this
method consumers are given incentives by the company to buy the
company’ product. Prominent consumer sales promotion devices are
such as:
• Coupons
• Samples
• Premium
• Bonus stamp
• Money refund offer etc.
2. TRADE SALES PROMOTION:
Trade sales promotion is an incentive given to middle men

(wholesalers, retailers, stockiest etc.) to buy goods in large quantity from
the producer or the manufacturer. The main sales promotion schemes are
as follows:
• Discount to the middlemen
• Display and advertising allowances.
• Buy back allowance.
• Store demonstrations
• Free goods
• Free tours etc.
3. SALES FORCE PROMOTION METHOD:

Sales promotion method is the method which is intended to
motivate the sales force to increase sales. This method supports a sales

man to perform hid job more effectively and sincerely. The main method
of the sales force promotion contains;
• Bonus to sales forces
• Some monetary and non monetary incentives to sales force
• Sales force contests
• Sales meeting convention and conferences
IMPORTANCE OF SALES PROMOTION
Sales promotion is very important in business activities. It can be helpful

in many ways to the company. The importance of the sales promotion can
be understood as follows.
• It leads a rapid increase in sales.

• It makes advertising and publicity more effective.
• It increases the demand of the new product.
• It helps in cost reduction.
• It increases the goodwill of the product.
• It helps in facing keen competition.
• It provides experimental opportunities to invent new products.
• It leads to better and direct control.

• It helps in facing keen competition.
• It helps large scale production. Actually sales promotion is he result
of large scale production.

ADVERTISING
It is not enough just to manufacture a product. People must be informed

of its existence and should be given good reason to buy it. It is a
communication between the company and the consumer. It tells the
consumer about the product.
This is a job which is sought to be done by advertising. Without
advertising, people would not be aware of the attributes of the product nor
of its price. According to J.E. Littlefield, “advertising is mass
communication of information intended to persuade buyers so as to
maximize the profit.” The companies set up their own advertising
departments where marketing manager reports to the vice president,
marketing. The advertising department’s job is to develop the total
budget, help and develop advertising strategy and approach an advertising
agency for advertising and designing a campaign. The companies use
outside agency to help them design an advertising campaign and to select
the media and decide about the timings and booking space.
MEDIA PROFILE FOR ADVERTISING

ROLE OF MEDIA:
Media, whether print or electronic plays a vital role in the process of

advertising. Effective advertising is possible only if suitable media are
available. The appropriateness of media used, the target audience and
their reach are also important. The media decision assumes a considerable
importance when financial implications come to the fore.

MEDIA PLANNING:
Advertising becomes effective only when it reaches the desire audience.

The number of person seeing it, reading it and thus becoming aware of the
product or the services determines the value of the advertisement.
MEDIA SELECTION:
Each media has some specific functions to perform and its selection
depends upon the requirements of the job. The factors which determine
the selection of proper media has been discussed on the next page.
MEDIA OF ADVERTISING
Advertising media are the means to transmit the message of the advertiser
(coca-cola company) to the desired people. They are the vehicle or
channels by which an advertising copy is brought to the notice of the
prospective buyers. Following media of advertising are available to the
advertiser (coca cola Company)
1. Press advertising
• News Papers
• Magazines
ADVANTAGES:

• News value and immediacy
• Area and ethnic selectivity
• Wide market coverage
• Advertisement flexibility
• Allow long messages
• Moderate cost
• Publication with picture possible
2. Direct mail advertising

• Sales letter
• Circulars
• Pamphlets
• Price list
ADVANTAGES:
• Economy
• Flexibility
• Easy to answer
• Personal touch
• Possibility of covering a wide audience.
3. Outdoor advertising
• Posters
• Hoardings
• Walt writing
• Electronic display

ADVANTAGES:
• Advertising at specific places

• Attractive
• Long life
• Cheaper at cost
4. Audio visual advertising
• Radio
• Television
• Cinema or films
• Window display
• Trade fairs & exhibitions
ADVANTAGES:
• Attractiveness
• Wider coverage
• Flexibility of timing
• Full demo of the product
At the last page that all are advertising media used by Coca Cola
Company. Advertising media is a very important part of sales promotion.
Present time Coca Cola Company is going on full maturity stage so
advertising media is must for Coca Cola Company.

Educated and civilized people all over the world read newspapers
and magazines. News papers reach all places and are read by all types of
people. TV and films are the audiovisual used in advertising.
EFFECTIVENESS OF EACH MODE OF MEDIA
Mode Visual Color Processing Reach Frequency

impact & time
TV High High Low High High
Radio --------- ----------- Low High High
News paper Good OK High Very high Low
Magazines Ok Good High Low Low
Direct mail High High Very high Depends Depends
Outdoor High High High Low Low

COMPARATIVE STUDY OF COLA
Nowadays, most of the companies are coming into the soft drink market
but the main competition is between Coke and Pepsi. Both have same
flavors such as cola, orange, lemon, mineral water, soda, mango etc.
In the competitive market how the companies make the share when two
products are launched in same flavor, taste place and size. How they
attract the cola drinking consumers so that the sales may be increased.
Both companies launch some new promotional schemes from time to time
to promote their product. Besides this the companies have made their best
advertisements with the great actors, models, players which also attract
and motivate the consumers.
These companies also organize different evens to promote their products.

They organize cricket tournament etc.

COMPETITIVE BRANDS
FLAVOUR COKE PEPSI
Cola Coca cola, thumps Up Pepsi
Mango Mazza Slice
Orange Fanta, Pulpy Orange Mirinda
Lemon Limca, Sprite 7 Up
Soda Kinley Soda Everness-Soda
Mineral water Kinley Water Aquafina

OBJECTIVES
It is said that the objective of the research should be well defined. It

should be crystal clear so that there is no confusion regarding the
objective of the research. The objectives serve as the torch light. It lays
down a well defined path between start and the ends. A well defined
objective is also a prerequisite of all research studies.
The main objects of this research study are as follows.
• Analyzing the market share of coke and Pepsi in Agra.

• Analyzing the promotion strategies of both the companies.
• Analyzing the sales of different products of both the companies.
• To find out the consumer perception towards the advertising and
sales promotion.

PROBLEM FORMULATION
In problem formulation it is decided whether to conduct research or just

use the existing relevant information thus obviating the need of research.
Since the research’ objective is to find out the comparison between the
products of coca cola and Pepsi. For that a first hand information is
required and one can not bank on secondary data alone for this type of
information.
So for the research purpose the data collected should be primary and
latest. But the importance of the secondary data also can’t be denied.
Here the problem is to find out the comparison between Pepsi and coke in
Agra. The different schemes which both companies are launching to
promotes their products.

SWOT ANALYSIS
SWOT analysis is the overall evaluation of the company or ant

individual.
• Strength
• Weaknesses
• Opportunities
• Threats
SWOT analysis of the coca-cola company can be understood as follows:
STRENGTHS:
• Coca-cola Company is the most famous brand name of the world.
• Coca-cola has many stars endorsing its products.
• Thumbs up is much stronger in taste compared to Pepsi.
• Maintains high quality.
• A wide range of different tastes.
• Company has good money power.
• People trust coca-cola.
• Its new launched product AM PANA which gives desi taste to

Indians.

WEAKNESSES:
• Coca-cola needs a proper planned route of operation.
• It has very low budget for promotion and advertisement of its

products.
• Its name brand coke is not much popular among people.
• Proper quality control methods are not used.
• Retailers don’t support its low budget schemes.
• OPPORTUNITIES:
• It has a large rural market to spread its products.
• Good semi urban market.
• Can launch new traditional Indian products.
• Can launch many new schemes to defeat Pepsi from the market
(like a home delivery scheme was launched in Jaipur House
area.)
• THREATS:
• Baba Ramdeo is a big threat to all the soft drink companies.
• It has an intense competition with Pepsi.

• The research which is conducted by some institutes regarding
pesticides in soft drinks.
• Increase in the sales of other fruit juices or health drinks.
GRAPHICAL PRESENTATION OF THE

DATA
Interpretation: More than 95% consume of soft drinks.

Interpretation: More than one fourth of peoples like mango that is 35%.

B Y W H IC H M E D IA D O YO U K N O W AB O U T C O K E
O ther s ourc es
Hordings 3%
12%
TV
M agaz ines
Radio
10%
New s paper
TV M agaz ines
News paper 57% Hordings
14% O ther s ourc es
Radio
4%
Interpretation: More than half of the respondents know Coke through

TV followed by Newspaper.
WHICH PROMOTION POLICY OF WHICH

COMPANY,IS MORE EFFECTIVE

Interpretation: The promotion policy of product, coke is more effective
than Pepsi.

Interpretation: More than 60% peoples like coke due to its Taste.

C O N S U M E R P R E F R E N C E O F D IF F R E N T S
COCA COLA
2 lit re
8%
600 m l 300 m l
32% 600 m l
2 lit re
300 m l
60%
Interpretation: 60% people like 300 ml size for the dinking coke.

WHICH BROND OF COCA-COLA IS MOST SELLING
PRODUCT
Mazza C oca C ola

C oca C ola
12% 26% Thumps Up
fanta 10% S prite
Lim ca 8% Lim ca
S prite 14% Thumps fanta
Up 30%
Mazza
Interpretation: Thumps Up gives highest selling that is 30% of coke

products.

D O YOU GET R EQU IR ED B R AN D FR OM YOU R
SU PPLY VAN
Never
0%
Som etim es
25%
Always
75%
Always Som etim es Never

Interpretation: More than 70 % people like to get the product in their
supply van.

D O Y O U H A V E A N Y P R O B L E M W IT H Y O U R
D IS T R IB U T O R
y es
18%
y es
no
no
82%
Interpretation: 82% peoples has no any problem from their distributer

that is a large amount,and satisfying the customer .

T H E F R E Q U E N C Y O F C O N S U M P T IO N
O c c a s io n aly
25%
D aily
D aily R arely
56% O c c as io n a ly
R are ly
19%
Interpretation: More than 50% consumption of the product is from daily

uses.

D O Y O U R E G U L A R IL Y G E T A D V R T IS E M E
M A T E R IA L F O R T H E S H O P
no
30%
yes
no
y es
70%
Interpretation: More than 60% peoples get the regularly advertisement

from the shops.

D O YOU H AV E C OC A-C OLA R E F R IGE R AT OR IN
T H E S H OP
No
14%
y es
86%
y es No
Interpretation: More than 85% shopkeeper has the refrigerator from the
Coca cola .

MARKET OBSERVATIONS
Maximum consumer today, wants chilled soft drinks. It does not matter to
them whether it is Coke or Pepsi. The things matter to the consumer is
that the liquid should be chilled and testy.
It was noticed that both same flavor brands Coke and Pepsi are
established and reckoned. So many problems are there and much
confusion is into the costumers mind in choosing the brand. It is also from
the finding that 70% of cold drinks consumers are not able to identify the
taste of these clearly and correctly. That indicates some distinct taste of
flavor in some soft drinks should be introduced in place of present flavors
presented in the market.
One thing is to be noticed from the project and the survey and work that
the females nowadays are consuming cola drinks rather than the lemon or
mango drinks and men are found to like the mango and lemon drinks. So
there lies a need of effective and impressive advertisement of coca cola
and introduction of new flavors (such as Coke has launched its Minute
Maid Pulpy Orange)

FINDINGS AND INTERPRETATION
In the area of survey, the following findings come out of the collected
data.
• Coke still holds no. 1 brand in the market of soft drinks. Its
competitor Pepsi is far behind it.
• Thumps is the most selling product of the coca-cola.
• Distributors provide many schemes on coca-cola products
compared to that of Pepsi products.
• The market promotion of coke is less than Pepsi.
• There is a good demand of 2 liters bottle of thumps up in the
market.
• Consumers prefer to consume coke product than any other soft
drink
• The demand for all the soft drink products has decreased due to the
influence of BABA RAMDEO.
• People consider coke as a traditional taste giver company with the
launch of its new product AM PANA.

SUGGESTIONS
In accordance with the findings of the research I would like to give some
suggestions to the company to improve its position in the market and to
increase its market share.
• It should build a proper distribution channel to meet the demand of

the market.
• new schemes should be given to the retailers to promote its
products
• There should be direct communication with the consumer.
• New promotional schemes should be launched to tempt the
consumer.
• The youth should be targeted.
• It should go in management colleges o recruit the new and fresh
talent so that creative personnel can be with coke.
• The trainees should be provided with proper stipend so that they
can work with heart for the company to bring it valuable market
data, which is very useful for the company. And it also increases
the social value of the company.
• Proper budget should be allowed to promote the products of coca-
cola.
• It should maintain its quality because it wins the consumer trust.
• The company should provide glow sign boards and other
promotional stationeries to the retailers.
• It should reduce the prices of its products up to a certain level to
beat its competitors Pepsi.

• Rural area should also be given proper consideration.
• Pilgrims places should also be given due consideration.
• It should also start home delivery system in the full area.

LIMITATIONS OF THE STUDY
Nobody is perfect in the world. Everybody makes some mistakes. If

somebody doesn’t make mistakes, that means he or she doesn’t work
because when you do some work you are bound to make some mistakes.
And there is always room for the improvements. So this study may also
not be free from the mistakes. But I have tried my level best to make this
research project best. There may be some mistakes in this study. They
may be as follows
• The data has been collected from the retailers of particular area.
• The data was collected from the retailers by using questionnaire
and interview method.
• This study may be affected from the biasness of the interviewer.
• The results have not been tasted.
• Sometimes the respondents were full of confidence while giving
the answer while some times they gave answers without thinking
much over it.

BIBLIOGRAPHY
• Marketing Management By: PhilipKotler

• Research Methodology By: R.C.Kothari
• Marketing Research By: D.D. Sharma
• Advertisement management By: Rajiv Batra
• Times of India
• Economics Times
• Business World
Websites:
www.cocacola.com
www.google.com
www.pepsizone.com

QUESTIONNAIRE
Name: …………………………………
Age : …………………………………
Sex : …………………………………
Occupation: …………………………….
Address: ……………………………….
(Please tick mark before your preferred answer)
Q1. Do you consume soft drink?
1) Yes
2) No
Q2. Which flavor do you prefer?
1)Cola
2) Mango
3) Lemon
4) Orange
5) Soda
6) Any other

Q3. Which brand do u like the most? And give the reasons.
………………………………………………………….
…………………………………………………………
………………………………………………………….
…………………………………………………………..
Q4. How often do you have soft drinks in a week?
1) only once
2) some times
3) more often
4) not necessarily in a week
Q5. The advertisement of Which Company do you like the

most?
1) Coke
2) Pepsi
Q6. By which media do you come to know about Coke and

Pepsi?
1) News Papers
2) TV
3) Hoardings, Boards
4) Magazine
5) Special events

6) Radio
7) Any other media
Q7. Which promotion policy of which company do you
considered, is more effective?
1) Coke
2) Pepsi
Q8. What do you like about Coke?
…………………………………………………………………….
…………………………………………………………………….
Q9. What do you dislike about Coke?
…………………………………………………………………….
…………………………………………………………………….
Q10. For which reason drink Coke Products?
1) Taste
2) Advertisement
3) Easy availability
4) Thrust
5) Brand loyalty
Q11. Which package of coca-cola do you prefer?
1) 300 ml
2) 600 ml
3) 2 liters

(Only for the sellers of cold drinks)
Name of the retail outlet & address:
………………………………………………………………………
………………………………………………………………………
Q12. Which brand of coca-cola is most selling product?
1) Coca-Cola
2) Thumps Up
3) Sprite
4) Limca
5) Fanta
6) Mazza
Q13. Do you get required brands of Coke from your

supply van?
1) Always
2) Never
3) Sometimes
Q14. Do you have any problem with your distributor?
1) Yes
2) No

Q15. What is the frequency of coke supply van to your
shop?
1) Once in a day
2) Once in two days
3) Weekly
4) Once in ten days
Q16. Do you regularly get advertisement material of coke

for your shop?
1) Yes
2) No
Q17. Do you have coca-cola refrigerator in your shop?
1) Yes
2) No
We assure you that the above information will be kept confidential and
will be used for academic purpose of our MBA summer training project
report.

Arvind Report

Uploaded by

Document Information

Original Description:

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Arvind Report

Uploaded by

Copyright:

Available Formats

INTRODUCTION

HISTORY OF SOFT DRINKS

Coke Vs Pepsi Page 1

The drinking of either natural or artificial mineral water was considered a

Coke Vs Pepsi Page 2

Coke Vs Pepsi Page 3

Coke Vs Pepsi Page 4

Coke Vs Pepsi Page 5

In 1919 the Candler family sold coca cola to businessman Ernest

During world war II (1939-1945), woodruff also boosted coke’s popular

Coke Vs Pepsi Page 6

In 1955 Robert woodruff retired as the coca cola company’s president.

Coke Vs Pepsi Page 7

Coke Vs Pepsi Page 8

SODA WAR IN INDIA

Coke Vs Pepsi Page 9

Coke Vs Pepsi Page 10

Both companies want to expand the consumption of soft drinks in India.

So far, their penetration extends to only about 10 percent of the total

Neither company is willing to discuss financial results in India. Coca cola

Coke Vs Pepsi Page 11

ABOUT THE ORGANISATION

Coke Vs Pepsi Page 12

The chairman of ladhani group of companies is Mr. S.N. Ladhani. And

The bottling plant of the company is situated in Aligarh. Its premises

Coke Vs Pepsi Page 13

The company has a sales and marketing division in Agra which is

PRODUCT PROFILE OF THE COMPANY

Coke Vs Pepsi Page 14

Coke Vs Pepsi Page 15

Coke Vs Pepsi Page 16

Coke Vs Pepsi Page 17

Coke Vs Pepsi Page 18

Coke Vs Pepsi Page 19

Coke Vs Pepsi Page 20

Coke Vs Pepsi Page 21

Coke Vs Pepsi Page 22

Coke Vs Pepsi Page 23

GLOSSARY OF SOFT DRINKS

Coke Vs Pepsi Page 24

This is the material manufactured by the company-defines ingredients

CARBONATED SOFT DRINK

A soft drink which contains flavour, sweeteners, carbonation and water is

Physical case and foundation gallon which is converted to a standard unit

Beverage system used by retail outlets to dispense products into cups or

Coke Vs Pepsi Page 25

Unit of measurement to measure the syrups sold by the company to its

This is the plastic used to make soft drink bottles.

Eight US fluid ounce of beverages.

Coke Vs Pepsi Page 26

Research is a process of gathering, recording and analysis of critical

Coke Vs Pepsi Page 27

The following items of study and analysis are included in market

• Size of the market.

• Geographical location of the costumers.

• demographic description of the costumers

• Market segmentation on the basis of gender, age and education.

• Analysis of market demand.

• Customer requirements and demand.

• Degree of competition and market trend.

USAGE OF MARKET RESEARCH

Coke Vs Pepsi Page 28