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Transcript of Coke.ppt
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Brief History Born in Atlanta, Georgia, on May 8, 1886 by Dr. John
Stith Pemberton, a local pharmacist
Registered as a trademark in 1887 and by 1895 Coca-
Cola was being sold in every state and territory in theUnited States
Today is the world's leading
manufacturer, marketer, and distributor ofnonalcoholic beverage concentrates and syrups
Regarded as the worlds most well known brand
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Coca Cola in Pakistan
Came to Pakistan in 1953 with their first plant at
Karachi and it all started with a franchised and
licensed distribution
In 1996 Coca Cola International acquired all the
Cokes manufacturing operations from the licensees
in Pakistan and formed CCBPL
Today Coco Cola has the 2nd largest share in the CSD
market after Pepsi.
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Ownership Structure
Started with a franchised and licensed distribution
Coca-Cola Beverages Pakistan Limited (CCBPL) was
incorporated in 1996
Joint venture between Coca-Cola International, Fraser
and Neeves Singapore and Packages
Coca-Cola Company and local partners have a 90 : 10
shareholding pattern
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Location of Office/Factory
CCBPL Lahore Plant
23 KM
RAIWIND ROAD,LAHORE
PAKISTAN
HEAD OFFICE:5-E-II GULBERG III,LAHORE
PAKISTAN
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Location of Plants
The CCBPL plants are in
Karachi
Hyderabad
Sialkot Gujranwala
Faisalabad
Rahimyar Khan
Multan
Lahore
Rawalpindi
Peshawar
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Introduction of the Brand
Brand Names & Logos
Coca Cola Sprite Fanta
Diet coke Sprite Zero Kinley
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Introduction of the Brand
Various Sizes
250ml
250 ml (Non Returnable) 300ml (Non Returnable)
500ml (Non Returnable)
1 liter
1.5 liter pet
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Goals and ObjectivesCorporate Objectives
To become the best and the biggest anchor bottler inthe world
To Inspire moments of optimism... through ourbrands and our actions.
To create value and make a difference... everywherewe engage
To continue to be an organization providing thequality products to the valuable customers.
To project an outstanding corporate image.
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Marketing Objectives
Sustainable Growth
Increase Sale Volume
Maintain or Increase Market Share
(Both Mind share and Heart share)
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Market Segments Strategy
Multi Segment Strategy
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Target Market
Customer Profile Demographic segmentation: Age
For coke and Sprite Every age group but targetgroup overwhelmingly contains age groupbetween
15-25 For Fanta age group of less than 15
For Diet Coke and Sprite Zero Age group of30 &above
Gender
Male, female
Occupation
Belonging from the every walk of life
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Customer Profile
Psychographic Segmentation
Social Class:
For Coke, Sprite and Fanta Sec A,B,C
For Diet Coke and Sprite zero Sec A and B
Personality and Behavior: Diet Coke and Sprite zero for more health
conscious people
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Core Competencies
Assurance of quality
Company operated factories so they canensurethe quality in every drop of their products.
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Competitive Advantage
Most well known brand all over the
world
Directly owned by
State of the art manufacturing plant
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Brand Life Cycle Analysis
Market Trends
Changing life styles
More diet consciousness
Brand Life Cycle Analysis
Coke, Sprite and Fanta are in Maturity stage
Diet Coke and Sprite zero are in growth stage
Kinley in Introductory stage
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Need Analysis Present specific need of the customer
Intrinsic
Association with specific class
Extrinsic
Quenching the thirst, refreshing ones self
Gaps in the market Availability Gap
Brand awareness gap
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Brand Management Strategy
Brand Architecture
CSDs Drinking Water
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Cont. Band Positioning
Festivities
Fun And Joy
Refreshing
Branding Objectives
To create awareness
To build brand preference and increasing market share
To increase awareness in semi urban and rural areas
Brand Essence
Joy and freshness
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Cont.. Brand Personality
A 17-18 year old student, very friendly,
optimistic, enthusiastic and full oflife
Brand Promise
The Coca-Cola Company exists to benefit and
refresh everyone it touches
Brand Association Analysis
Freshness Style
Food
Basant
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Cont.. Brand Endorsement
Coke used Abrar ul Haq for this purpose but
they are not using him anymore
Brand Problems
Availability
Awareness
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The Marketing Mix
Product Analysis
Brand name
Coca cola
Logo
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Coca
cola
250
ml
250 ml (Non
Returnable)
300ml (Non
Returnable)
500ml (Non
Returnable)
1liter 1.5 liter
Sprite 250ml
250 ml (Non
Returnable)
300ml (Non
Returnable)
500ml (Non
Returnable)
1liter 1.5 liter
Fanta 250ml
250 ml (Non
Returnable)
300ml (Non
Returnable)
500ml (Non
Returnable)
1 liter 1.5 liter
Dietcoke
250
ml
250 ml (Non
Returnable)
300ml (Non
Returnable)
500ml (Non
Returnable)
1 liter 1.5 liter
Sprite
zero
250
ml
250 ml (Non
Returnable)
300ml (Non
Returnable)
500ml (Non
Returnable)
1 liter 1.5liter
Packaging (Various sizes)
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Cont. Product quality statement:
Embodies the most up-to-date, stringent
manufacturing practices... because Coca-Cola is a
symbol of quality.
Focuses on customer and consumer satisfaction...
because Coca-Cola is customer and consumer
satisfaction.
Provides a framework for safety and
environmental stewardship... because Coca-Cola
is a responsible citizen of the world
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Pricing Analysis
Pricing Method:
In Pakistan the Coca Cola uses competitor
indexing method means it locate its priceswithrespect to their competitor prices.
Pricing Strategy: Keep the price at par with your competitors
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Sr.N
o
Units Retail
Price
Whole Sale
Price
Factory
price
1 250ml 10 9 8
2 250ml(non
returnable)
15 13 12
3 500ml(non
returnable)
20 19 18
4 1 liter 23 22 21
5 1.5 liter pet 40 36 35
6 Tin Pack 25 18 17
Factory and Retail price
Of various offerings
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Distribution Channels
In Pakistan, there are 11 territories where thefranchised units produce and sell Coca-Cola. Someof these territories are:
Lahore
Karachi
Rawalpindi
Peshawar
Hyderabad
Multan
Rahim Yar KhanOut of these 11 territories 8 territories have beenpurchased by Coca-Cola international now inPakistan. Now most of them have been operated bythe company itself.
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Cont
Distribution ChannelSome of the major distributors in Lahore are:
Star (Pvt.) Ltd. Shahdara
Urban (Pvt.) Ltd. Bhattia Chowk
Abbas Enterprises (Pvt.) Ltd. located at Gulberg
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PeshawarRawalpindiGujranwala
Lahore Faaisalabad
Multan Rahim Yar Khan
Karachi
On Map
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Promotional AnalysisThere are Four types of advertisement.
Informing This kind of advertising preambles or follows the immediate
launch of a new product or service. It is meant to spread theword, educate or inform the clientele about a new productand service and highlight its attributes.
Persuading
These kinds of ads are meant to induce brand preference andpersuade customers to buy it by highlighting their featuresaseasy availability ad high quality.
Reminding
Now Coca Cola is an established name considered as atrend setter. The primary focus of most of the Cokesads isto just refresh and remind the customers memory about the
product.
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Cont
Special Occasions They also promote their products on special
events in Pakistan like BASANT,EID and
Sports events like Cricket.
MEDIA
The company used almost every media inPakistan in electronic media PTV,ATV,Cable
Channels in print various news papers and
professional magazines, pamphlets
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Themes Of Ads
Trying to Associate Coke with
Happiness
Liveliness
Optimism
Positive Attitude
Enjoy your life fully
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Discounts and free
sampling
Quality Discounts
Coca Cola offers 5-10% discount to those
customers purchasing one crate, whichconsist
of almost 24 bottles.
Trade Discounts
Discount to wholesalers 12 15%
Retailers 8 10%
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Cont.
Push and Pull Strategy
The company uses mix of the push and pull
strategy because it gives the discounts to the
wholesalers , retailers and also promote their
products through advertisements.
Coca Cola also give price concessions to thecustomers like Ramadan offers.
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Market Positioning
Strategy
Promise and Support Claimed
Promise
Fun, joy and freshness
Support
Ensuring the quality in every drop of their product
Sponsoring festivles and cultural events, concerts
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Communication Strategy
Providing fridges and deep freezers
Posters and stickers on the shops
Excessive bill boarding
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Posters and Print ads
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Posters and Print ads
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Posters and Print ads
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Posters and Print ads
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Posters and Print ads
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Posters and Print ads
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Sponsorships
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Sponsorships
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Coke on the road side
Sl
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Slogans
Slogans
Drink Coca-Cola (1886)
Maza Zindage ka
Jio Coke zindage (most recent)
Thund program (for Sprite)
Coca cola rang day BasantFood is asking for Coca Cola
C t R l ti hi
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Customer Relationship
Management
Key account executives for exclusive
corporate clients
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Competitive Analysis
Direct Competition
Pepsi
Indirect Competition
Shandy
Mecca Cola Amrat Cola
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Substitutes
Juices
Mineral water
Shakes Hot beverages
Lassi
Milk
Sharbat
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Brand Strength The Coca-Cola Company is the largest
manufacturer, distributor and marketer of non
alcoholic beverage concentrates and syrups in the
world. More than 400 brands are now sold in more
than 200 countries. The companys brand is one of the most
recognized in the world (94% of the worlds
population recognizes the coca cola trademarkand
afterOK, it is the second most recognized wordin the world) and accordingly is the companys
major source of competitive advantage
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Effective presence inPakistan In Pakistan, Coca cola follows non-franchised
production and distribution business model.Though distribution is about to be outsourced to athird party, still, the non franchised production
brings in added advantages of uniformity ofoperations, uniform and better workingenvironment, shared and unified knowledge baseand better understanding of local demand
pressures and trends.
The last franchises of Pindi and Peshawar werebought out in March 2006, and since then thecompany is going through major restructuring, and
infrastructure and capacity building.
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Results of Operations CCBPL, founded in 1997, went on a shopping spree of its
local operations from the franchisees in 1999. The last ofthe franchises were bought out in 2006. Owing to the stiffcompetition from Pepsi, the first few years weretroublingtimes. But concerted efforts towards capacity building and
infrastructure development, the last two years haveshownpositive double digit growth rates in major urban markets(Lahore and Gujranwala).
The next three years corporate plan envisages acquisitionof market leadership (the total market share of Coke standsat 37% right now, 1% being occupied by local brands likeAmrat and Shandy and the rest is that of Pepsi).
Weaknesses
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Lack of Coherent BrandingStrategies Pepsi has cashed in on the Cricket formula
courtesy of the genius of Imran Mustafa, the thenCEO of Pepsi. Interflow, the ad agency of Pepsi,
has done a good deal of wonders for Pepsi. OME(Orient McKann Erickson), the long time adagency for Coke, seemed at a loss as to how tocounter the branding onslaught of Pepsi.
Cokes dissatisfaction with OME has led to therecent switchover from OME to a relatively lesserknown name, Ogilvey and Mathers.
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Weak Distribution Network A strong distribution network ensures ample
availability in tight demand cycles. Pepsi has for along time outsourced its distribution to PTN(Perfect Transport Network) and has ensured its
presence in every nook and cranny of the country.
Recognizing the efficacy of third partydistribution, Coke has also decided to outsourceitsdistribution. In Karachi, all the distribution is nowdone by PTN. The same will be implementedacross the country by the mid of 2008.
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OpportunitiesIntroduction of New Product Lines
Late it may be, but Coke now envisions to bring outproducts suited to the changing dietary needs of the urbanaudiences. Nutraceuticals, like fruit juices and mineralwater, are experiencing brisk double figure growth rates.
Coca cola introduced its premier mineral water brand,Kinley, in December 2006. the product is going throughsoft launch phase and its effective advertising anddistribution can win it its due share in the every increasingmineral water pie.
By July 2007, the company is expected to roll out its fruitjuices line. By mid 2008, the company is expected tointroduce its coffee and iced tea brands.
Brand is attractive to Global
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partners With its strong international portfolio and huge
customer base, Coca Cola has been able to attractother globally renowned companies to cross selland co brand. Coke today has exclusivedistribution with food chains like BurgerKing andMcdonalds. It now has joint ventures withNestle
and Starbucks. So, in the coming days, we may expect a similar
understanding taking place between CCBPL andother MNCs (for cross selling and co
brandingan acquisition for local food processingcompany-Shezan however couldnt be realizedbecause of shezans reluctance to sell only itsbeverages line).
Threats
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Stiff Competition Unlike the global trends, the fizzy drinks
growth rate in Pakistan is in double digits.
Fruit juices, energy drinks and dilutables
(like Tang and Limu Pani) have also found
appreciation and recognition in the urban
and semi-urban markets.
M k t C titi St t
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Market Competition Strategy
Coca- Cola is in an ologopolistic market
and where branding plays a great role. In
the ologopolistic market the firms dont
compete with price, but rather with
advertising and other non-price strategies
And coca cola has been successful in doing
so