Presented by: Amol Shelar 62 Aniket Singh 73 Vishwashish Jena 84 Mohid Cutterwala 95 Bhoomika Shah 106 Dhrumin Patel

Patel 117

 Consumers are considered as the king of the market.

Overview of the soft drink industry

It marks the beginning of the two Cola giants Pepsi and Coca Cola in India.

Pepsi and Coca Cola with a market share of more than 95% in the urban areas,

dominate the Indian Soft Drink Industry.

 To study about the consumer behaviour towards soft drink industry in India

To understand the various brands and the market strategy followed by them to attract

consumers and maximize its market share.

1)

Sources of the data Primary Source - A survey on a sample size of 300 people belonging to various Age Groups from Mumbai with the use of a Questionnaire Secondary source: This was collected from related books and websites.

2) Nature of Data

Data collected from consumers are opinion while that from related websites and books are facts.

Communication Approach
Tool:

Questionnaire Type: Structured Media: Personal for consumers.

4) Scale of Measurement

Consumers: Nominal scale and Record Rating scale.

 The soft drink industry began in the mid-1880s The first merchant to bottle Coca-Cola was Joseph A. Biedenharn of Vicksburg,

Mississippi, who installed a bottling machine in his candy store in 1894.

The 1960s and 1970s brought acquisitions and diversification for Coca-Cola and

Pepsi-Cola.
During the 1980s, the soft drink industry faced stiff competition from the makers of

bottled water.

 The Indian soft drink beverage market is dominated by Coca-Cola India and PepsiCo. Soft drink market size for FINANCIAL YEAR 2013 - 14 was around 270 million cases

(6480million bottles).
This extraordinary success of soft drinks can be attributed to the following

factors: Absence of contemporary competitive brand. Euphoric image built up in the Western countries proceeded the entry into Indian Market; and Indians are very found by nature of foreign goods, services etc. due to prolonged foreign

rules.

 The Pepsi-Cola story itself begins with a drugstore in New Bern, North Carolina, and a

pharmacist named Caleb Bradham

PepsiCo, Inc. is currently one of the most successful consumer products company in

the world with annual revenues exceeding $30 billion and has more than 480,000 employees.
PepsiCo expanded its business after merger with Frito-Lay in 1965 PepsiCo has 3 divisions
Beverages

Snack foods
Restaurants

 Coca-Cola, the product that has given the world its best-known taste was born in

Atlanta, Georgia, on May 8, 1886

John Syth Pemberton, a pharmacist, first introduced Coca-Cola

Coca- Cola was the leading soft drink brand in India until 1977

In 1993, Coca-Cola made its re-entry into India through its 100% owned subsidiary,

HCCBPL, the Indian bottling arm of the Coca-Cola Company.

 Both companies have followed the marketing concept by offering products that meet

consumer needs in order to gain market share.

They have always been creating and updating their marketing plans and products. Both companies have also relied on finding new markets, especially in foreign

countries.
Coke hired marketing executives with good track records. Coke also implemented cross training of managers. Pepsi has always taken more risks, acted rapidly, and was always developing new

advertising ideas.

 In 2003, the Centre for Science and Environment (CSE) said aerated waters produced

by soft drinks manufacturers in India contained toxins and pesticides that can contribute to cancer, a breakdown of the immune system and cause birth defects.
CSE found that the Indian-produced Pepsi's soft drink products had 36 times the level

of pesticide residues permitted under European Union regulations; Coca Cola's 30 times.
No such residues were found in the USA. The Coca-Cola Company and PepsiCo denied the allegations.

 In Kerala, sale and production of Pepsi-Cola, along with other soft drinks, was banned

by the state government in 2006, but this was reversed by the Kerala High Court merely a month later.
Five other Indian states had announced partial bans on the drinks in schools, colleges

and hospitals.
The public response to CSEs findings was very sharp as reflected by steep drop in

sales.
Despite of the initial knee-jerk reaction, the general public by and large has not been

paying much attention to the Pepsi pesticides issue.

 It is helpful to the marketer in understanding the needs of his different consumer

segment and developing appropriate marketing strategies for each.

It is useful for the marketer in developing and understanding of how consumers

respond to the various marketing stimuli.

Consumers decision to purchase a product is influenced by number of variables.

Social

Age

Cultural

Economic Circumstances

Roles And Status

Family

Lifestyle

Personality And SelfConcept

Reference groups

Personal

 STEP 1: Define The Research Objectives

STEP 2: Developing The Research Plan

STEP 3: Analysing The Information

STEP 4: Present the Research Findings

 Age Composition

Age Composition

72

66

72

90

10 - 17 yrs 18 - 25 yrs 26 - 34 yrs 34 yrs and above

120 100 80 54 3 6 21 57 42 24 0 6 12 6 Daily 12 12 12 6 15 12 9 36 27 18 12 9 0 Once Once Once in 10 in 2 - 3 in a days weeks Month 39 6 6 12 3 21 12 6 3 0 Even Less

60
40 20 0

24

21

15 9 9 3

Total 34 yrs & Above 26 - 33 yrs 18 - 25 yrs 10 - 17 yrs

4-6 2 - 3 Once Times Times in a a week a week week

70 60 50 40 30 20 10 0

12 12 12 15

3 9
21

12 27 27 3 6 3 9 21 6 12 18 6 6 0 3 0

27

9 6 12 3

34yrs & Above 26 - 33 yrs 18 - 25 yrs 10 - 17 yrs

180 160 140 120 100 80 60 40 20 0

48 54 39 30 Coke 24 18 51 36 Pepsi 34yrs & Above 26 - 33 yrs 18 - 25 yrs 10 - 17 yrs

Packaging Preferred

120 100 80 27 39 27 15 12 39 34yrs & Above 26 - 33 yrs 18 - 25 yrs 10 - 17 yrs

87 6 9

111 66 21

1.5ltr

2ltr

250ml

330ml

500ml

Tin

250ml 330ml 500ml 1.5ltr 2ltr Tin

60 40 20

15 12 15 6 0

6 24 3 18 9 0 3 6 3 0

21

60

54
50 40 30 24 20 10 0 10 - 17yrs 18 - 25yrs 26 - 33yrs 34yrs & Above 42 36 30 27 Yes No 42 45

4 4 3.5 3 33

4 3

4 3

4 3 3.2

3.3 Cola Mango Orange Soda Overall Average

3 2.5 2
1.5 1 0.5 0 10 - 17yrs 18 - 25yrs 26 - 33yrs 34yrs & Above 1

22

22

222

2.6 2.2 1.9

Overall Average

120 100 80 60 40 20 0 10 - 17yrs 18 - 25yrs 26 - 33yrs 34yrs & Above 34 23 21 39 30 24 30 18 21 21 30 100 92

108

Pepsi Coca Cola Thums Up

9
Total

200 180 160 140 120 100 80 60 40 20 0

177

123 Maaza Slice 54 33 33

36

45 27

45 27

10 - 17yrs

18 - 25yrs

26 - 33yrs

34yrs & Above

Total

160 140 120 100

144

156

80
60 40 20 0 10 - 17yrs 18 - 25yrs 26 - 33yrs 34yrs & Above Total

30 36

39

51

33 39

42

Fanta Mirinda

30

250 201

200
150 99 100 50 0 10 - 17yrs 18 - 25yrs 26 - 33yrs 34yrs & Above Total 30 36 27 63 24 48 18 54 7 Up Sprite

200 180 160 140 120 100 80 60 40 20 0

183

117 Lemonade Limca 33 39

45 21

39

51 24

48

10 - 17yrs

18 - 25yrs

26 - 33yrs

34yrs & Above

Total

140 120 100 80 60 40 20 0

21 24 15 42 30 15 3 9 6 9 6 0 36 3 6 3 6 34 & Above 26 - 33yrs 18 - 25yrs 10 - 17yrs

48
18

250 200 60 150 45 100 34 & Above 26 - 33yrs 18 - 25yrs 10 - 17yrs 0 3 Price 9 6 21 6 Quality 0 3 9 3 Availability 3 12 9 3 Brand Name 0 3 Other

51
50 54 0 Taste

250

240

246

200
150 100 Pepsi Coke

48
50 0 High

39 12 Fair Low

15

180 160 140 120 100 80 60 40 20 0

176

124 Yes No 25 31 41 32 40

65 48 18

10 - 17yrs

18 - 25yrs

26 - 33yrs

34 & Above

Total

180 160 140 120 100 80 60 40 20 0 10 - 17yrs 18 - 25yrs 26 - 33yrs 34 & Above 42 24 27

171

129

63
42 48

Yes No

30

24

Total

Source of Information
4% 21% 2% 8% 47% Family & Friends Newspaper Retailers Television Advertisement Hoardings Online

18%

 Consumers age goes on increasing the frequency of consumption goes on

decreasing and the analysis has proven it.

Most of the respondents consume soft drinks because they like its taste and feel soft

drinks are refreshing.

Consumers from the Age Group of 34 and Above do not consume more of soft drinks

because they have a perception that regular consumption is not good for health.
Soft drinks companies need to tap the older Age Group.