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TABLE OF CONTENTS
DECLARATION
INTRODUCTION
ACKNOWLEDGEMENT
PREFACE
BACKGROUND OF THE STUDY OBJECTIVES OF THE STUDY METHODOLOGY USED
OVERVIEW OF THE PEPSICO
HISTORY OF PEPSICO
BEVERAGES INDUSTRY IN INDIA
RKJ GROUP WITH PEPSI
INTERPRETATION AND ANALYSIS
LIMITATIONS
CONCLUSION
RECOMMENDATIONS & SUGGESTIONS
BIBLIOGRAPHY
QUESTIONNAIRE
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INTRODUCTION
BACKGROUND OF THE STUDY
Market study is an essential process to develop the company collection of
data, analyzing, reporting of the data to specific situation to any marketing activities
that the company is facing with increase in the competition and the development of
various marketing activities.
Modern marketing calls for more than developing a good product, pricing it
attractively and making it accessible to target customers. Organization also need to
communicate their present and potential customers to communicate their
presenting organization, develops an effectively strategy with the aim of creating
awareness, developing knowledge, liking preference convictions among the
organization target audience with a view to convert them into prospective buyer.
This project report is concern with the Comparative Study Of Pepsi And
Coke in Agra City.
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OBJECTIVE
S
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OBJECTIVE OF THE STUDY
Basically the objective of the study was two fold, on the researchers part, it
was gain a practical exposure of the management theories in the field of marketing
with the combined aim of getting two year MASTER OF BUSINESS
ADMINISTRATION (MBA) degree.
On the companies part the objective was Study Of Pepsi And Coke in Agra
City. which includes-
To determine the sales of PEPSI brands in total soft drinks sales
at Agra region.
Find out the point in which company should improve itself rather
than coke.
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To forecast future requirements for marketing in Agra.
To provide a basis for the sales improvement program me.
To positioning the image of Pepsico in consumers mind.
It is widely accepted that theory broadens ones thinking and helps in idea
generation. But practical and practices indicates the feasibility of their idea and how
far theory can be applied in a situation successfully.
INTRODUCTION
India with a population of more the 110 crores is potentially
one of the largest consumer market in the world. With urbanization
and development of economy, tastes and interests of the people
changes according to the advance nation.
Marketing is about winning this new environment.
It is about understanding what consumers wants a
supplying its more efficiently and more conveniently.
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The consumer market may be ident if ied as the market for
product and services that are purchased by individuals as household
for their personal consumption. Soft drinks is a typical consumer
product purchased by individual primarily quench their thirst and
also for refreshment. Different types of soft drinks are available in
the market and more or less content of all soft drinks is same. The
market of soft drink is facing a cutthroat competit ion and many
companies are f loat ing in the market with their products with
different brand names. In such a situation different factors which
influence the people choice for soft drinks are taste , quali ty ,
images, easy availability and the product cost of advertisement. The
Govt. of India has considered the soft drinks industry as ``Non
essential As a result the excise duty levied by govt. on better soft
drinks is very high.
Thus in a country l ike India where more than 50% of the total
population exists below poverty line, the consumer cannot afford
such high price for soft drinks. As a result the trading activities of
the soft drinks industry is concentrated in and around big cities and
town where the purchasing power of populat ion is considered
comparatively high.
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Sof t dr inks Indus tr ies in India has an annual sal e of abou t
4000crores, with per capita consumption of soft drinks at a low of
seven bottle per annum (even Pakistan has a per capita consumption
of 14; in China and U.S.A. is more than 800 bottles) is due to price
factor.
So, marketing is both philosophy and technology. It is technology
because it suggests ways and means for effective production and
distribution of goods and services in the market to give maximumsatisfaction to the consumer.
The marketing manager is responsible for both determining and
suitability of goods and services in the market to give maximum
satisfaction to the consumer.
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The marketing manager is responsible for both determining and
suitability of goods and services presented by the company to the
market, and also determining about potential market and make
better relation with retailer.
In this regard the marketing management with have to apply to
marketing technology in the conceptual philosophy of a system. It is
the process of system analysis in the marketing management for
effective research and can be defined, Systematic objective and
exhaustive study of tasks relevant to any problem in the field of
marketing.
OBJECTIVE OF STUDY
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A project cum Training is an essential part of Post Graduate
Diploma in Management Curriculum. This study was conducted on
A COMPARATIVE STUDY OF PEPSI AND COKE IN GWALIOR
CITY.
On the following objectives survey was undertaken
are :
1. To Determine the factors which persuade the retailer
for sale of Pepsi.
2. To find out the companys position in the soft
drink market.
3. To find out the exclusive outlets of Pepsi and its
competitors.
4. To find out the promotional activities in Pepsi.
5. To find out the market share of Pepsi against its
competitor.
6. To identity the organizational features of Pepsi.
7. To find out the promotional activit ies of
competitors.
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IMPORTANCE & RELEVANCE OT THE STUDY
The s ix weeks Summer Tra in ing i s very important for a
student of M.B.A this type of study gives some practical
knowledge to M.B.A students and practical knowledge is more
useful than theoretical knowledge for any one.
There is no certain formula for any particular problem but the
aim of this study is to develop the abil i ty of decision making.
Right decision at r ight t ime i tself helps an organizat ion to run
smoothly.
The training in any organization gives us an idea of different
marketing activities and main emphasis is given on Promotional
activities aspect and also it is seen how business is taken tactfully
when any problem comes to an executive, the way of problem
solving, right decision making and knowledge of different types of
marketing activities gives much importance to this study. Though
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only in 42 days i t was notpossible to understand it so deeply but
an over all ideas would be developed.
Vision
Being the best in everything we touch and handle.
Mission
Continuously excel to achieve and maintain leadership position
in the chosen businesses; and delight all stakeholders by making
economic value addition in all corporate function
COMMITMENT
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RESEARCH
METHODOLOGY
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RESEARCH METHODOLOGY
Methodology for a study like this is the most important part. The method of
study adopted by me is totally is to increase and to gather the more information
regarding this project.
The major emphasis in such studies is on the discovery of the ideas and
fruitful relevant information. As such the research design appropriate for such
studies must be flexible enough to provide opportunity for considering different
aspects of a problem under study.
METHODS OF DATA COLLECTION
A. PRIMARY DATA:-
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Survey method
This method was adopted because it helped in
securing detail information from a sample of respondents. The information
received from the respondents is recorded on a form called the questionnaire.
This is only method to measure attitude and motivation directly.
B. SECONDARY DATA:-
I have also used the secondary data, which include the written document of
the organization and other place.
HEAD OFFICE ( VBL)
INTERNET
PAPER AND RECORDS.
The data collected from the above mentioned sources helped me in
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getting information about the brief history of PepsiCo.
SAMPLING PLAN:-
Target population : Retailers of the area of
Nehru park, Station road, Thatipura, Suraj kund, University road, Murar,
Laskar, Birla nagar, Tomb road, Sadar bazaar, Bus stand, suresh
nagar.
Sampling Size : 100
Sampling method : Simple Random Sampling
Area of survey : Gwalior region
AREA WHERE SURVEY IS CONDUCTED
Nehru park
Station road
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Thatipura
Suraj kund
University road
Murar
Laskar
Birla nagar
Tomb road
Sadar bazaar
Bus stand
Suresh nagar.
OVERVIEW OF PEPSICO
PepsiCo is world leader in convenient foods and beverages, with high
annually turnover. The company consists of the snacks business of Frito-lay
America and the beverages and the foods business of PepsiCo beverages and
foods, which includes PepsiCo beverages North America and Quaker Foods North
America.
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PepsiCo brands are available in nearly 200 countries and territories many of
PepsiCo brands names are over 100 years old, but the corporation is relatively
young. PepsiCo was founded in 1965 with the merger of PEPSI COLA and
FRITO LAY. Tropicana was acquired in 1998 and PepsiCo merged with the
QUAKER OATS, including Gatorade in 2001.
Some of the Pepsico beverages are Pepsi, Mirinda, Mountain dew, 7up,
Tropicana, Aquafina, Slice etc. and some of the Frito-lay products are Uncle chips,
Cheetos, Lays, Leher, Kurkure etc.
PEPSICOS success is the result of superior products, high standards of
performance, distinctive competitive strategies and high integrity of our people.
LISTING OF PEPSICO:-
PepsiCo (symbol PEP) share are traded principally in New York stock
exchange in United States. The company is also listed in Amsterdam, Chicago,
Swiss and Tokyo stock exchanges.
PepsiCo has consistently paid cash dividends since the corporation was
found.
AS A CORPORATE CITIZEN:-
PepsiCo believes that as corporate citizen, it has responsibility to contribute
to the quality of life in our communities. This philosophy is put into action through
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support of social agencies, projects and programs. The scope of this support is
extensive ranging from sponsorship of local programs and support of employees
volunteer activities, through the contribution of time, talents and funds to programs
of national impact. Each division is responsible for its own giving programs.
PEPSI HEADQUARTER:-
PepsiCo headquarter is located in PURCHASE, NEW YORK, approximately
45 minutes from New York City. Edward Durrell Stone, one of Americas foremost
architects, designed the seven building headquarter complex.
The building occupies 10 acres of a 144 acres complex that includes the
Donald M. Kendall sculpture gardens, a world acclaimed sculpture collection in a
garden settings.
The gardens were originally designed by the world famous garden planner
Russell Page and have been extended by Francois Goff net. The grounds are open
to the public and a visitor both opens in spring and summer.
HISTORY OF PEPSICO
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Born in the Carolinas in 1898, Pepsi-Cola has a long and rich history. The
drink is the invention ofCaleb Bradham (left), a pharmacist and drugstore owner
in New Bern, North Carolina.
The summer of 1898, as usual, was hot and
humid in New Bern, North Carolina. So a young
pharmacist named Caleb Bradham began
experimenting with combinations of spices, juices,
and syrups trying to create a refreshing new drink
to serve his customers. He succeeded beyond all
expectations because he invented the beverage
known around the world as Pepsi-Cola.
Caleb Bradham knew that to keep people returning to his pharmacy, he
would have to turn it into a gathering place. He did so by concocting his own
special beverage, a soft drink. His creation, a unique mixture of kola nut extract,
vanilla and rare-oils, became so popular his customers named it "Brad's Drink."
Caleb decided to rename it "Pepsi-Cola," and advertised his new soft drink. People
responded, and sales of Pepsi-Cola started to grow, convincing him that he should
form a company to market the new beverage.
In 1902, he launched the Pepsi-Cola Company in the back room of his
pharmacy, and applied to the U.S. Patent Office for a trademark. At first, he mixed
the syrup himself and sold it exclusively through soda fountains. But soon Caleb
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recognized that a greater opportunity existed to bottle Pepsi so that people could
drink it anywhere.
The business began to grow, and on June 16, 1903, "Pepsi-Cola" was
officially registered with the U.S. Patent Office. That year, Caleb sold 7,968 gallons
of syrup, using the theme line "Exhilarating, Invigorating, Aids Digestion." He also
began awarding franchises to bottle Pepsi to independent investors, whose number
grew from just two in 1905, in the cities of Charlotte and Durham, North Carolina, to
15 the following year, and 40 by 1907. By the end of 1910, there were Pepsi-Cola
franchises in 24 states.
Pepsi-Cola's first bottling line resulted from some less-than-sophisticated
engineering in the back room of Caleb's pharmacy. Building a strong franchise
system was one of Caleb's greatest achievements. Local Pepsi-Cola bottlers,
entrepreneurial in spirit and dedicated to the product's success, provided a sturdy
foundation. They were the cornerstone of the Pepsi-Cola enterprise. By 1907, the
new company was selling more than 100,000 gallons of syrup per year.
Growth was phenomenal, and in 1909 Caleb erected a headquarters so
spectacular that the town of New Bern pictured it on a postcard. Famous racing car
driver Barney Oldfield endorsed Pepsi in newspaper ads as "A bully
drink...refreshing, invigorating, a fine bracer before a race."
The previous year, Pepsi had been one of the first companies in the United
States to switch from horse-drawn transport to motor vehicles, and Caleb's
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business expertise captured widespread attention. He was even mentioned as a
possible candidate for Governor. A 1913 editorial in the Greensboro Patriot praised
him for his "keen and energetic business sense."
Pepsi-Cola enjoyed 17 unbroken years of success. Caleb now promoted
Pepsi sales with the slogan, "Drink Pepsi-Cola. It will satisfy you." Then came
World War I, and the cost of doing business increased drastically. Sugar prices see
sawed between record highs and disastrous lows, and so did the price of producing
Pepsi-Cola. Caleb was forced into a series of business gambles just to survive,
until finally, after three exhausting years, his luck ran out and he was bankrupted.
By 1921, only two plants remained open. It wasn't until a successful candy
manufacturer, Charles G. Guth, appeared on the scene that the future of Pepsi-
Cola was assured. Guth was president of Loft Incorporated, a large chain of candy
stores and soda fountains along the eastern seaboard. He saw Pepsi-Cola as an
opportunity to discontinue an unsatisfactory business relationship with the Coca-
Cola Company, and at the same time to add an attractive drawing card to Loft's
soda fountains. He was right. After five owners and 15 unprofitable years, Pepsi-
Cola was once again a thriving national brand.
One oddity of the time, for a number of years, all of Pepsi-Cola's sales were
actually administered from a Baltimore building apparently owned by Coca-Cola,
and named for its president. Within two years, Pepsi would earn $1 million for its
new owner. With the resurgence came new confidence, a rarity in those days
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because the nation was in the early stages of a severe economic decline that came
to be known as the Great Depression.
HISTORY OF PEPSI IN INDIA
As an MNC, On the globe, Pepsi Foods Ltd is one of the largest soft
drink companies in the world with its head quarters in New York.
Pepsi entered the Indian soft drink market in 1988
and began its production in May 1990 and soon it was
giving the local contenders the run for their money in
the soft drink market. It come out with dazzling
marketing innovation that rocket the cola market line
selling the product through function, Pepsi outlets.
Pepsis success in creating a brand almost from scratch
in India is the stuff that marketing case studies are
made of. Given the problems of doing business in
markets l ike ours, Pepsi entered the market as an
under-dog. Its first even advantage- it entered before
Coke returned-was considerable reduced by the
enormous export obligations stepped on the company.
Yet right from the beginning, Pepsi demonstrated a farmore focused approached .So while it entered the
market l ike any other MNC, it was quick to adapt, It
realized that consumers, particularly the youth, to
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whom it consciously reached out , would identify better
with a brand that they se as global, yet Indian, Pepsi
was built as a desi brand. Hence its deliberate attempt
to build ad campaigns using the popular Hinglish In the
process, slogans like, YEHI HAI RIGHT CHOICE BABY and
YEHDILMAANGEMORE AHA
became part of Indias popular consciousness. When
Pepsi lost the bidding batt le to sponsor a Cricket
tournament to Coke, the loss was turned into triumph
with the catch line, Nothing official about it. It cashed
in on the untapped consumer aspirat ion in smaller
towns, the hinterlands of metropolitan cities and now a
days the slogan which is on air is YEHPYAASHAIBADI
It showed a rare abil i ty not only to survive, but also grow
through Indias tortuous policy twists and turns, which threw many
other MNCs off balance. Its top management team did not suffer
from the frequent changes seen at rival, Coke Consequently, it was
able to Unl ike coke, which paid enormous prices to buy out
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established local brands, Pepsi brought i ts own stuff over, and
pushed those aggressively with dealers, retailers and consumers.
Right now, it can bark its outstanding success in building a brand
that has become synonymous with soft drinks across the length and
breadth of the country .
Board of Directors and Committees
PepsiCos business strategy and affairs are overseen by our Board of
Directors, which is comprised of two executive directors and ten independent
outside directors. Only independent outside directors make up our three standing
Board Committees,
1) Nomination and Corporate Governance,
2) Audit,
3) Compensation.
DIRECTORS
1. Shona L. Brown
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Senior Vice President, Business Operations of Google Inc
SHONA L. BROWN, 43, is Senior Vice President, Business Operations of Google
Inc., a position she has held since 2006. From 2003 to 2006 she served as Vice
President, Business Operations of Google Inc., where she led internal business
operations and people operations
2. Ian M. Cook
President and Chief Executive Officer Colgate-Palmolive
IAN M. COOK, 55, was named Chief Executive Officer and was elected to the
board of Colgate-Palmolive Company in 2007. Mr. Cook joined Colgate in the
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United Kingdom in 1976 and progressed through a series of senior management
roles around the world
3. Dina Dublon
Consultant
Former Executive Vice President and Chief Financial Officer, JP
Morgan Chase & Co
DINA DUBLON, 54, was elected a director of PepsiCo in 2005. She is a trustee of
Carnegie Mellon University, the Global Fund for Women, the Women's Commission
for Refugee Women & Children and Greenstone Media.
4. Victor J. Dzau, M.D.
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Chancellor for Health Affairs, Duke University
and President CEO, Duke University Health Systems
VICTOR J. DZAU, MD, 62, was elected a director of PepsiCo in 2005. Dr. Dzau is
chancellor for health affairs at Duke University and President and CEO of the Duke
University Health System since July 2004.
5. Ray L. Hunt
Chief Executive Officer, Hunt Oil Company
Chairman of the Board, President and Chief Executive Officer, Hunt
Consolidated, Inc.
6. Indra K. Nooyi
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Chairman of the Board and Chief Executive Officer PepsiCo
Indra Krishnamurthy Nooyi, 52, is Chairman and Chief Executive
Officer of PepsiCo. Mrs. Nooyi was named President and CEO on
October 1, 2006, and assumed the role of Chairman and CEO on
May 2, 2007. Mrs. Nooyi was elected to PepsiCo's Board and was
named President and Chief Financial Officer in May 2001, after
serving as Senior Vice President and Chief Financial Officer since
February 2000. Mrs. Nooyi also served as Senior Vice President,
Strategic Planning and Senior Vice President, Corporate Strategy
and Development from 1994 until 2000.
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ORGANISATIONAL SETUP
MANAGING DIRECTOR
C.E.O
UNIT MANAGER
ACCOUNT M.O.M M.E.M. H.O.S. H.R.M. PLANTMANAGER MANAGER
T.D.M.
A.S.M.
C.E.
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Management Trainee
FABULOUS FACTS ABOUT PEPSI
The price of PEPSI first exceeded 5 $ per serving in 1946 in Los Angeles.
In 1969, the code name, Project Arden, was used for the introduction of G new
graphic look for the PEPSI Company. The result consistent identity for
packaging, advertising everything incorporating the signature Dynamic
Ribbon.
PEPSI syrup was first shipped in used whiskey kegs and barrels but they
were repainted red to give them a distinctive mark.
The greater Mexico City bottler produces the greatest volume of any PEPSI
bottler on the globe.
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The consumption of PEPSI classic in the United States exceeds each of the
following: bottled water, juices, powdered drinks, wine and distilled spirits.
It took 58 years unit 1944 to sell the first billion gallons of PEPSI syrup.
Today that billion gallon mark falls every 7- months.
Cuba and panama were the first two countries to bottle PEPSI outside the
United States.
If the PEPSI Company constructed a sign like the ones McDonalds uses to
count their millions of customers, by 1983 it would have read over 1 trillion
served.
PEPSI trucks travel over 1000000 miles a day to supply consumers with soft
drinks.
200 billion servings of PEPSI would fill 213000 Olympic sized swimming
pools.
In 1894, the first syrup plant outside of Atlanta was opened in Dallas.
If all the PEPSI vending machines in the U.S. were stacked one on top of
another, the pile would be over 450 miles high.
In 1928, sales of bottled PEPSI surpassed fountain sales for the first time.
If all of the PEPSI sold in 1994 were in 8 ounce bottles laid end to end,
those bottles would reach to the moon and back 76 times.
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If the entire PEPSI Company product sold in 1994 were flowing over Niagara
Falls at its normal rate of 1.5 billion gallons per second, the falls would flow for 3
hours.
During 1886, sale averaged nine drinks per day (total not per person). Most
recently, sales of company products were more than 411 million drinks per day
(total not per person).
25 gallons of syrup were sold in 1886, compared to 1.6 billion gallons in 1985.
In 1886, Frank Robinson used his own pen and ink to scrip the PEPSI
trademark. Today, PEPSI is the most recognized trademark in the world,
spoken in 80 languages.
If one bottle could be made large enough to contain all the PEPSI ever
produced, it would be 6365 feet high and 1930 feet wide. A person of
proportionate size to the bottle would be a giant 10.9 miles tall and weigh over
two million pounds.
If all the PEPSI ever produced was in normal bottles placed end to end, they
would wrap the earth 4712 times.
PEPSI is the worlds most recognizable trademark recognized by 94% of the
worlds population.
There are about 7000 soft drinks from the PEPSI Company consumed every
second of every day.
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BEVERAGES INDUSTRY IN INDIA
Indian beverages industrys size is Rs. 8000 Cr and it is dominated by two
players viz PEPSI and COKE only. This high profile industry has lot of potential for
growth as per capita consumption in India is 9 bottles a year as compared to 20
bottles in Sri Lanka, 14 in Pakistan, while 12 bottles a person in Nepal.
The RKJ group is Indias leading supplier of retailer brand carbonated and
non carbonated soft drinks, with beverage manufacturing facilities in India and
Nepal. Its experience in the beverage industry dates back to the sixties when it had
the first franchise at Agra.
The family manufactures and markets carbonated and non carbonated soft
drinks and mineral water under PEPSI brand. The various flavors and sub brands
are PEPSI, MIRINDA ORANGE, MIRINDA LEMON, MOUNTAIN DEW, 7UP,
SLICE MANGO, SLICE ORANGE, EVERVESS SODA, and AQUAFINA. It has the
license to supply beverages in the territories of western U.P., part of M.P., half of
Haryana, whole of Rajasthan, Goa, 3 districts of Maharashtra, 13 districts of
Karnataka and whole of Nepal. The group has in total 18 bottling in India and Nepal
and is responsible and marketing 44% of PEPSI requirement in India.
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ENTRY OF PEPSICO IN INDIA
In 1977, a change in the government at the center lead to the exit of COCA
COLA which is preferred to quit rather to dilute its equity to 40% in compliance with
the Foreign Exchange Regulation Act (FERA).
The beginning of 80s saw a birth of another cola drinks THUMS-UP in
1978 PARLE lead the Indian markets ( share 33% ) with its GOLDSPOT and
LIMCA brands. In 1987 pure drinks share came down to 21% a result of growing
popularity of LIMCA and THUMPS UP. At the same time the threat to the Indian
soft drinks market was that of fruit drinks.
PepsiCo entered India in 1989 and has grown to become one of the countrys
leading food and beverage companies. One of the largest multinational investors in
the country, PepsiCo has established a business which aims to serve the long term
dynamic needs of consumers in India.
PepsiCo India and its partners have invested more than U.S.$1 billion since
the company was established in the country. PepsiCo provides direct and indirect
employment to 150,000 people including suppliers and distributors.
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PepsiCo nourishes consumers with a range of products from treats to
healthy eats, that deliver joy as well as nutrition and always, good taste. PepsiCo
Indias expansive portfolio includes iconic refreshment beverages Pepsi, 7 UP,
Mirinda and Mountain Dew, in addition to low calorie options such as Diet Pepsi,
hydrating and nutritional beverages such as Aquafina drinking water, isotonic
sports drinks - Gatorade, Tropicana100% fruit juices, and juice based drinks
Tropicana Nectars, Tropicana Twister and Slice. Local brands Lehar Evervess
Soda, Dukes Lemonade and Mangola add to the diverse range of brands.
PepsiCos foods company, Frito-Lay, is the leader in the branded salty
snack market and all Frito Lay products are free of trans-fat and MSG. It
manufactures Lays Potato Chips, Cheetos extruded snacks, Uncle Chipps and
traditional snacks under the Kurkure and Lehar brands. The companys high fibre
breakfast cereal, Quaker Oats, and low fat and roasted snack options enhance the
healthful choices available to consumers. Frito Lays core products, Lays, Kurkure,
Uncle Chipps and Cheetos are cooked in Rice Bran Oil to significantly reduce
saturated fats and all of its products contain voluntary nutritional labeling on their
packets.
The group has built an expansive beverage and foods business. To support
its operations, PepsiCo has 43 bottling plants in India, of which 15 are company
owned and 28 are franchisee owned. In addition to this, PepsiCos Frito Lay foods
division has 3 state-of-the-art plants. PepsiCos business is based on its
sustainability vision of making tomorrow better than today. PepsiCos commitment
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to living by this vision every day is visible in its contribution to the country,
consumers and farmers.
P R I C E : -
Price/Carat 250ml 300ml 500ml 1.5ltr. 2.0 ltr. 1Ltr.
Pepsi ---- Rs. 165 Rs.405 ---- Rs.369
7up ---- Rs. 165 Rs.405 ---- Rs.369
Mirinda(O) ---- Rs. 165 Rs.405 ---- Rs.369
Mirinda(L) ---- Rs. 165 Rs.405 ---- Rs.369
Slice Rs. 165 --- --- --- ---
Mountain Dew
Aquafina M.W.
----
-----
Rs. 165
------
Rs.405
-----
----
-----
Rs.369
------ Rs.12
/-
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MANUFACTURING PROCESS
OF VARUN BEVERAGES PVT LTD.
Varun Beverages Pvt. Ltd. A private owned company at Gwalior
Industrial Area (M.P), is a franchise of PEPSI Food India Ltd. The
factory bottling unit is capable of producing 849 bottles per minute.
The products are all PEPSI soft drinks, l ike Pepsi, 7up, Mirinda
(Orange and Lemon), Slice, Mountain Dew and Soda (Everest and
Team). The Factory came into operation in 14 th April 1998.
1. WATERTREATMENT :
Water treatment is very important in soft drinks plant as the nature
and quality of water varies from place to place. To set uniform and
standard water the process of treatment is carried on. The water
t aken out f rom bor ing wel l by the help of moto r pump and
chlorinated by chlorinates and then by the help of pipelines comes
to treatment tank called Coagulation Tank where to this water
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solution of different strength of added through dosing pump to
reduce alkalinity, hardness, kill the bacterias. The chemicals are
mixed by settle down as sludge and clear water passes to Retention
Tank. From This tank the wa ter passes through sand f il ter
containing fine sand and pebbles and carbon fil ter containing
granular carbon and finally through water polisher, micron filter,
UV Lamp to ensure clear and Sanitary Water for use.
Further water used in bottle washer and boiler needs softening. For
this purpose, the water from storage Tank, after passing through
two f ilt er be lts containing f ine sand and g ranular ca rbon
respectively comes to pass through a belt of Resin and bottle washer
to reduce scale formation inside the machines.
2. SYRUP MAKING :
For syrup making of particular brand, calculated quantity of
sugar, water activated carbon and high-flown super cell known as
fi l ter Aid are taken into a sugar space to enter s team and also
filtered by a motor with agitator, Sugar syrup called Raw-Syrup is
prepared by dissolving the sugar with continuous stirring and
heating by steam supplied by oil fired boiler. This hot syrup by the
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help of a pump is fi l tered through a fi l ter press attached with a
serious of quality filter paper to separate out carbon particles. Clear
hot syrup by the help of SS pipelines passes through water P.H.E.
circulated by glycol for further cooling. The chilled syrup comes to
a Mixing tank, which is quantity of Bricks Hydrometer, concentrate
is added and to the mixed thoroughly by a mechanical stirrer filter
to the rank. This mainly, the liquid part are kept in a cold store, the
tempera ture i f f in ished syrup room is a lso maintained Air-
conditioner. All the containers used for syrup making are cleaned
and sanitized by Soda-bi-Carbonate, strong chlorine solution and
not caustic soda solution.
3. BOTTLE WASHING :
Bottle Washing is an important part in soft drink plan. The
empty durable and returnable bottles used are r eturned from market
in plastic carats are fed to a bottle washing machine ( washer). The
machine has double end system with circular chain to carry the
bottles Caustic Soda, Tri sodium Phosphate, Sodium-Gluconate are
added to the caustic Tank fi lled in with water heated by steam
supplied by the boiler. The empty bottles enter to the Hot Caustic
Tank in one end and after being cleaned by caustic solution and
finally washed with water through spray jets f ilter are discharged in
other end. The washed bottles after proper inspection are SU 319 &
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SU 853 are sued for conveyor cleaning and smooth running of chain
carrying bot tles . SU 260 & SU 773 is used for bot tle c leaning
shining and mold removing.
4. FILLING :
Finished syrup and t reated water l ime are connected to a
dosing pump which mixes syrup and water with ratio of 1:5 and the
syrup mixed with water enter to Carbonate tank to mix with Carbon-
Dioxide gas . Which are preserved in cyl inders for use . The
cyl inders a re connected through CO manifold to tank to use
requisite quantity of gas. To control CO pressure and temperature of
l iquid, we used recording control (Yaylor) . The syrup passed
through a PHE, which is cal led i tself by circulation of chi lled
glycol supplied chilling compressor.
To run the machine for chil l ing F-22 gas used. The syrup being
chilled easily mixes with CO gas and enters to filter for bottling.
The lift cylinder functioned by pressure of air supplied by an air
compressor. The syrup known as Beverages in this stage is filled in
the cleaned bottles, which are durable in nature and returnable by,
buyer by filling machine (Filter ) by a counter pressure of carbon-
dioxide gas. After beverages is f il led in bot tles i f goes to the
crowner where with the help of a crown corks the bottles are sealed
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(crowned) to project the carbonation, flavor, outside contamination
and spoilage. The finished products are coded by a coding machine
and inspected properly by inspection light while passing through the
conveyor fitted with SS chains. The empty plastic carats passing
through a conveyor enters to carat washer machine and it is washed
and mover through the conveyor where f inished products are
accumulated.
5. TESTING OF PRODUCT :
F inal ly the f ini shed sy rup dur ing bot tling is t est ed in
laboratory to meet the parameters and also to get standard and
quali ty products. To maintain the standard and uniformity in
products the sugar contents and carbonation in the filled bottle are
checked in regular intervals by certified by bricks hydrometers,
refractor meters & pressure gas. The dead weight tester is needed
calculate pressure gas to know meter. Electronic Digital Balance is
used to weight chemical to conduct test in lab. A CO purity tester
checks the purity of CO.
The microbiology test of the products and water used in syrup
making and production are also done to ensure that the product is
free from any bacteriological contamination. To conduct the micro
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test , hot steril izer, incubator, autoclave, pads fi lter membranes
media are produced and used.
The diesel generator is operated in case of electricity failure
for smooth operation of plant. To drawn electricity for the State
Electricity Board the transformer used.
Furnace Oil/Diesel Oil is used in boiler for generation steam.
RAW MATERIAL INPUTS :
A sof t d rink bot tl ing plan t requi res the fol lowing raw
materials :-
1. Sugar
2. F lavor
3. Water
4. CO2 Gas
5 . Crown Cork
6. Glass Bottles
7. Plastic Carats
1. SUGAR :
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High purity crystal sugar is required to produce the sugar is
requi red to produce the sugar syrup for sof t d rink . The main
supplier of sugar for Varun Beverages Pvt. Ltd. Is M/s KCP Ltd.,
Chennai, The usual requirement of sugar is around 800 gm per carat
for all flavors.
2. FLAVOUR :
M/S Pepsi Food Ltd. Is supplying all essence of flavor for
Varun Beverages Pvt . Ltd. From their plant Chennai , Bhawna
Nagar (Panjab).
3. WATER :
The required water of Varun Beverages Pvt. Ltd. Is being met
from the high yielding deep boring well with pumps. Adding
softening plant & DM plant so as to meet the required quality of
water then treats the raw water taken out from these well. Water
quali ty is being str ic tly adhered through regular sampling &
analysis.
4. CO2 GAS :
CO2 Gas of the required purity is being carried on from
Hindustan Gas & India Ltd. And also from IOC Patna and Barauni,
as per requirement of flavour. The usual consumption of CO2 is 1kg
per 10 carats in case of Pepsi, 1 kg per 5 carats in case of Soda
Water and the rest flavour 1 kg per 114 carats.
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5. CROWN CORK :
Varun Beverages Pvt. Ltd. Takes crown cork from Manksic
Crown Ltd., Bhopal, Manksia Closures Ltd., Gaziabad respectively.
6. GLASS BOTTLE :
Varun Beverages Pvt. Ltd. Takes fl int & green glass bottle
from Hindustan National Glass Ltd., Tapovan (Hrishikesh).
7. PLASTIC CARATES :
Varun Beverages Pvt. L td. Takes pla sti c ca rat es from
Neelkamal Plastic Ltd., Nasik, Supreme Industries Ltd., Nasik.
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MARKETING STRATEGY
Marketing Strategy is the complete and unbeatable plan
designed specifically for attaining the marketing objective of the
firm. The market objective indicates what the firm indicate, what
the firm wants to achieves, the marketing strategy provides for
achieving them.
The Marketing strategy is not able idea. It is a well outlined
plan, and there are different ways to formulating i t . Basically
formulating of marketing strategy consists of two main steps.
Selecting a Target Market. Assembling the Marketing mix,
Actua lly, the targe t marketing and marketing mix together
constitute the marketing strategy of the firm.
When the Pepsi Food Company entered in the Indian soft
drink market, the market was a lready prevailed by coke and
previously it was Parle, Pepsi tried to established in India with a
unique marketing policy, Pepsi took into consideration of youth
segmen t ta rget market . Though the adver tisemen t of Peps i
highlighted the style of living of young generation with different
walk of life. Pepsi brought in its advertisement different stalwarts
personalit ies from fields l ike young cine stars, sport stars and
famous personalities from different fields. It has attracted the young
generation and of course increase the sale of Pepsi, Pepsi also
organized the national and international sports programmed to
attract the young generation.
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ASSEMBLING THE MARKET MIX :
The set of controllable tactical tools :-
A product, place service and promotion (4ps) that the firm
blend to produce the response it wants in the target market. These
are the following 4Ps.
1. P roducts : That could meet the identified needs of chosen
consuming groups.
2. P lace : It perform various functions like transportation,
warehousing, channel management etc . so the product could
convertingly reach the consumer.
3. Promotion : The firm carries out a no, of measures like
personal selling, advertising and sales promotion programmed with
view to communicate the consumer and promoter of the product.
4 . Service I t referee to the various serv ices to be provided to
the customer before and after sale period.
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I t is the mechanism to achieve the consumptions of marketing
process, striking the level of price that is accepted to the firm as
well as consumer.
4Ps policies of the Pepsi products :
1. Product : there are five lines of products of soft drink in Indian
that is almost matched with international quality product line.
Pepsi - 200ml, 300ml, 500ml, and 2000ml,
Miranda - 200ml, 300ml, 500ml, and 2000ml,
7up - 200ml, 300ml, 500ml, and 2000ml,
7up ice - 200ml, 500ml,
Mountain Dew - 200ml, 500ml, and 2000ml
Slice 250 ml.
2. Place : Pepsi has a s trong channel of distr ibut ion, and view
intermediaries command the distribution work
Bottler Distributor Retailer Consumer
By this simple distribution, Pepsi is doing well. The company is
trying to reach at every route urban and village areas. The companyhas succeeded to some extent in reaching its target.
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3. Promotion :In the specific sense sales promotion methods are
those sales activities that supplement both personal selling and
advertising and co-ordination them and help to make them effective
such as display, shows and exposition and demonstrations and other
recurrent selling efforts not in ordinary route.
Pepsi has taken verity of tools had techniques of sales promotion.
Like for example sales promotion let te rs , catalogs, point o f
purchase (POP), d isplay , cus tomer service programmed and
demonstration free sample.
Followings are some promotional activities of Pepsi :
Scheme : Pepsi under Varun Beverage has offered a lot of schemes
for sales promotion.
RETAILER SALES PROMOTION :
Free 2 Bottles free on per case purchase on 200ml.
Free 4 Bottles free on per case purchase on 300ml. Cola
Recently on 3 rd June a scheme was offered to retailers in which on
purchase of per case of 200ml, two bottles of 200 was provided
free.
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CONSUMER SALES PROMOTION :
YEH PYAAS HAIN BADI
THREORITICAL INPUT
Promotional Activities (for Retailers)
Promotional activities consist of various means of communicating
persuasively with the target audience. The important methods are:
(a) Advertisement : - where an ident if ied sponsors pays media
(such as TV) to transmit to target consumer.
(b) Personal selling :- Where sales representative employed by
the f irm engage in interpersonal communication with
individual consumers and prospective customers.
(c) (C) Sales promotion : - Where the Market ut il ize displays,
demonstrations, premiums, contests or similar devices.
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(d) Publicity and Public relation :- help to st imulate supportive
news items about the firm and its product that have greater
credibility with public than advertisement.
Of all the methods of promotional activities that consti tute the
promotion mix, sales promotion is the only one method that makes
use of incentives to complete the Push pull promotional strategy
of motivating the sales force, the distributor and the consumer
transacting a sale.
According to American Marketing Association sales promotion
refers Those activities other than personal selling, advertising and
public ity, tha t stimula te consumer purchasing and dea ler
effectiveness, such as display, Shows and Exhibition, demonstration
and various other non-recurrent sell ing efforts not in ordinary.
Sales promotion is also known by the name of Extra Purchasing
Value (E.P.V.).
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MEANING AND OBJECTIVE OF SALES
PROMOTION
Sales Promotion Meaning Objectives
1 Price off offers Offering product at lower than
the normal price.
To encourage immediate
sales, attract non users,
induce new product trial.
2 Quantity off offer Offering more quantity of the
same product at no extra cost or
a very nominal increase in the
price the larger quantity packs.
To encourage more longer
duration consumption,
highest or excess quantity
movement from the factory,
trade up consumer for
higher quantity pack size.
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3. Premium Offer of an article of
merchandise as an incentive in
order to sell product or service.
To encourage purchase,
stimulate loyalty, off season
sales promotion, induce trial
of new product, ensure
reach of premium to the
consumer.
4. Coupans When the consumer is entitled to
redeem specific standard
certificate for a product free or
in part payment. Coupons are
used by both the manufacturers
and the dealers for sales promotion. Coupons may be
distributed by e-mail, by media
advertisements, door-to-door.
Inside product package or by
dealers on purchase.
To encourage product trial,
build loyalty, trade up
regular users stimulate re-
purchase rate, solicit
enquiries.
5 Consumer contests
and lucky draws
When individuals are
invited to compete on the
basis of creat ive skil ls .
The lat ter is based on the
chance or luck factor.
To create brand awareness
and s t imulate interes t in
the brand acquaint
co nsu me rs w ith b ra nd
usage and benef its build
traffic at the store precipitate brand
purchase. Obtain
consumer feedback,
promote adver ti sement
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theme of the company.
6 Discounts Other than normal trade
and cash discounts.
To push more sales to
trade early cash recovery.
7 . P oi nt -o f Purchase
(POP)
Those special d isplays,
racks , banners , exhibits,that are placed in the
retai l s tore to support the
sale of a brand
To a tt ract t ra ff ic a t the
retail stores, remindcustomers, encourage
impulse buy ing, ensure
visibility to the
advertising campaign.
ADVERTISING & SALES PROMOTION IN
VARUN VEVERAGES PVT. LTD.
Advertising and sales promotion activit ies plays a vital role in
entire marketing efforts. Without these aspects a quality product
can not survive in the market. Advertising and sales promotion tools
are most essential for the modern global marketing. This chapter
has therefore been devoted to the studies of advertising and sales
promotional activities in M/s Varun Beverage Pvt. Ltd.
The two basic objective for carrying out such various promotional
activities by Varun Beverages Pvt. Ltd. Is to generate more sales
as will as to create and maintain an image of its product. L.B.P.L.
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carries out its promotional activities as controlled and integrated
programmes of communication and material design present its soft
drink to the perspective customers. It also helps in communicating
the need satisfying of soft drink to facilitate the sales eventually to
contribute towards the profit in long run.
The tool used by L. B. P. L. for fulfilling the various purposes of its
promotional activities are the following :-
a) Free Bottle scheme.
b) Rack Display.
c) Umbrella Display.
d) Free Cinema Hall Ticket with Lunch is good Restaurants.
e) Lucky Draw
f) Prizes.
g) Price cut offer.
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GROUP
ABOUT RKJ GROUP:-
It can be said with absolute certainty that the RKJ Group has carved out a
special niche for itself. Our services touch different aspects of commercial and
civilian domains like those of Bottling, Food chain and Education. Headed by Mr.
R.K. JAIPURIA, the group as on today can lay claim to expertise and leadership
in the fields of education, food and beverages.
The business of the company was started in 1991 with a tie up with PEPSI
Food Limited to manufactures and market PEPSI brand of beverages in
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geographically per-defined territories in which brand and technical support was
provided by the principals viz., PEPSI Foods Limited. The manufacturing facilities
were restricted at Agra Plant only.
VARUN BEVERAGES LTD is the flagship company of the group.
The group also became the first franchisee for Yum Restaurants
International [formerly PepsiCo Restaurants (INDIA) Private Limited] in India. It has
total 46 Pizza Hut Restaurants and 1 KFC Restaurant under its company and also
cream bell ice-cream company under the JAIPURIA group.
The Jaipuria Group is one of the largest bottlers and distributors of Pepsi in
India, and owns Pizza Hut franchises in Northern and Eastern India and Costa
Coffee franchises nationwide. The Group also has business interests in real estate,
hotels, schools, hydrogenated oil and breweries. Universal Dairy Products and
Devyani Food Industries are jointly owned by two Jaipuria brothers, Mr. R.K.
Jaipuria and Mr. C.K. Jaipuria, who are the projects sponsors.
We diversified into education by opening our first school in Gurgaon under
management of Delhi Public School Society. The school of the group are run a
Registered Trust namely Champa Devi Jaipuria Charitable Trust.
Companies are medium sized, professionally managed, unlisted and closely
held and closely held between Indian Promoters and foreign collaborators.
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The group added another feather to its cap when the prestigious PepsiCo.
International Bottler of the year award was presented to Mr. R.K. JAIPURIA for
the year 1998 at a glittering award ceremony at PepsiCo centennial year
celebrations at HAWAII, USA. The award was presented by Mr. Donald M. Kendall,
founder of PepsiCo Inc. in the presence of Mr. George Bush, the 41st President of
USA and Mr. Roger A. Enrico, Chairman of the Board and C.E.O., PepsiCo Inc.
and Mr. Craig Weatherup, President of PEPSI COLA Company.
RKJ GROUP WITH PEPSI
The Jaipuria Group, since 1975 has been a
renowned and reputed name in the field of soft drink
bottling. Since its foray into this field the group has
bottled almost all the major soft drinks brands that
existed in India like Coca Cola, Thumps Up, Limca and
Pepsi etc.
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Today the Jaipuria Group commands almost
60% of the Pepsi business in India. With an impressive turnover and plants
equipped with the latest technology the Jaipuria Group can boast of being the
biggest name in the country when it comes to soft drink manufacturing.
The Group has a major presence in most part of the country, with its 22 fully
operational plants running successfully across the country.
Pepsi Bottling Plants In India
1. GOA SALCETE
2. RAJASTHAN JODHPUR
3. RAJASTHAN JAIPUR
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4. RAJASTHAN ALWAR
5. RAJASTHAN BHIWADI
6. KARNATAKA DHARWAD
7. UTTER PRADESH GREATER NOIDA
8. UTTAR PRADESH KOSI
9. KATHMANDU - NEPAL
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OF
COLA FLAVORS
Cola is a most popular flavor in any group of age. This is the most
saleable flavor in the world. Both PepsiCo has its own cola flavor. PepsiCo has a
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cola flavor named PEPSI. Pepsi Cola is a cash cow brand for the company in terms
of sales revenue. Pepsi has two competitive brands in the cola flavor.
PEPSI:-
LIME AND LEMON FLAVORS
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This segment of flavors is very likely in the children and aged person.
PepsiCo has one brand. The PEPSIs brands are MOUNTAIN DEW, MIRINDA
LEMONand 7UP.
MIRINDA LEMON is considered to be lemon in taste, comes under the
category of cloudy lemon because of its color which is similar to that of clouds. It
has to yield good revenue.
MOUNTAIN DEW is sweet lemon soft drink in India and in a few countries.
It is mostly demands by the children.
7UP is lemon lime soft drinks. Sale of 7up is third largest carbonated soft
drink brand in the U.S. most consumers prefer 7up as their favorite brand than any
other non cola.
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ORANGE FLAVORS
This is another type of flavor in the soft drink industry. The taste is like
orange. In this segment PEPSI has a brand named MIRINDA whether
COCACOLA has its FANTA in orange. This flavor is mostly preferred by children
and women.
MANGO FLAVORS
In this categorys flavor is like a Mango. This flavor is now becoming more
popular in India. In Mango flavorPepsiCo has a will known name SLICE whether
COCACOLA has a MAZAA in this segment.
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NEW BRANDS LAUNCHED BY PEPSICO
NIMBOOZ: - PepsiCoin India recently launched a new flavor named NIMBOOZ
in INDIAN market. It has a real NIMBU PAANI taste.
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GRAPHICALANALYSIS
&INTERPRETATIO
N
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ANALYSIS AND INTERPRETATION:-
A survey with sample size 100 is conducted on randomly basis in different
part of Agra to take the help in comparative analysis of PepsiCo. and COCA COLA.
All the samples which are selected are the retailers / outlets of PepsiCo.
and COCA-COLA.
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REASERCH METHODLOGY
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IntroductionData CollectionMethodData sourceResearch InstrumentSampling Plan
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METHODOLGY
INTRODUCTION
Marketing Research is a process of collecting and analyzing
marketing and ultimately to arriver at a certain conclusion. Varun
Beverages Pvt. Ltd. Is a concern which is marketing the product
having different brands Thus a survey method of marketing research
is essential ly exploratory in mature Thus a survey method of
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marketing research is essentially exploratory in nature Thus I opted
for Questionnaire method for conduct ive survey about the
marketing of Pepsi though retailer in Patna.
Importance of marketing Research.
Marketing Research have i ts importance not only for consumer
market; it also effectively to the producer of goods and services The
use of marketing research in consumer market may be explained on
the basis of following services by it:-
1 It ascertains the position of a company in
specified Industry.
2 It indicates the present future t rend of industry
and points out how the companys affairs are to
be turned up.
3 It helps in development &introduction of new
product.
DATA COLLECTION METHOD
Since the study is exploratory in nature. A personal interviewwith each retailer was aid of questionnaire was selected as the
method of obtaining data the questionnaire to used in Patna to
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facilitate tabulation and analysis of data were designed for segment
retailers.
Field experience showed that listing the respondents to the
questionnaire failed to touch upon certain parameters and it was
found necessary to let the respondents have free had and let the
designed information fil ter lengthy discussion, through some
aspects of questionnaire adequately touch upon.
The quest ionnai re was prepared by researches and the
researcher also f il led himself interviewing the retai lers these
himself interviewing the retailers. For interviewing the retailers
these himself interviewing the retailers. For interview as far as
those languages were used which they can understand clearly; such
as Hindi & English. The researched used to stand in front of the
randomly chosen retail outlet. This is a comprehensive master plan
of the study undertaken, given a general statement of the method
used and procedure followed.
Since the study is both exploratory and descriptive in nature.
A personal interview with each retailer with each retailer with the
help of questionnaire was selected to obtain data. The questionnaire
to be used in Gwalior only.
Data source:- The various source of information
broadly divided in 2 categories.
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(a) Primary source:- Source from where f irst hand
information are gathered directly are called primary
source and information thus collected is called primary
data. In case of the above study the primary source
was RETAILER.
(b) Secondary source:- The data that are collected
for anther purposes are already existing somewhere is
called secondary data. With regard to my study the
secondary sources where records of the company.
Magazines and papers.
DATA COLLECTION METHOD .
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The following methods are widely used for collection
data.
(1) Survey method.
(2) Observation method.
In the above mentioned method. Survey and
observation method was mainly used for the
undertaken topic. Survey method was mostly used for
collection of data through personal interview with the
help of a framed questionnaire in case of retail outlets.
Such as general store. Grocery shop, sweet shop , pan
shop, restaurants and some others. As far as retailers
are concerned .Besides survey. Observation method
was also used to get data by watching the retailer.
RESEARCH INSTRUMENT:- In this regard an
instrument refers to means by which research is
conducted .
In this case of all the respondents questionnaire was used.
SAMPLING PLAN:
The samples were on judgment and convenience. A sample size of
105 respondents was taken. The sampling unit was retailers of Patna
for which this sample size was considered a fair representative of
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the above mentioned area. The sample consisted of retai lers
spread over the entire area of the distributor.
For analysis & interpretation of data the research used:-
Percentage = No of respondent
Total No of respondents
DATA ANALYSIS AND INTERPRETATION
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KEY ANALYSIS AND FINDINGS
SWOT ANALYSIS
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KEY ANALYSIS AND FINDINGS
I was given to study the various distribution and marketing aspects,
which are responsible for increasing market share of Pepsi in Patna
under a distributor M/s Sarswati Enterprises, Phulwari Sarif, Patna.
I Studied :-
1. Market share of Pepsi and Coca-cola Company.
2. Exclusive out lets of Pepsi and Coca-Cola Company.
3 . Vis i coolers i . e. refrigera tors of Pepsi and Coca-Cola in the
market.
4 . Signage i .e . hoarding , glow s ign boards & wal l pa in ting ( for
advertisements) of Pepsi and Coca-Cola in the market.
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MARKET FINDINGS AND ANALYSIS
1. ROUTE :- tomb road, station road, sadar bazaar.
Sample Size - 105
i) Market Share :
Monthly sale of Pepsi Products = 3610
Monthly sale of Coco-Cola products = 5035
Total sale = 8645
Therefore market share of Pepsi products = 41.76%
Market Share of Coco-Cola products = 58.24%
PEPSI 3907
COCO-COLA 7138
PEPSI
COCO-
COLA
PEPSI
COCO-COLA
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ii) EXCLUSIVEOUTLETS :
Sample size 105
No. of exclusive outlets of Pepsi = 6 (5.71%)
No of exclusive outlets of coca-Cola = 12 (11.43%)
Mixed ( Pepsi & Coca-Cola ) = 87 (82.86%)
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Ex-Pepsi 6
Ex-Coca Cola 12
Mixed 87
Ex-Pepsi
Ex-Coca Cola
Mixed
iii) VISICOOLERS :-
Sample size = 105
No. of outlets having only Pepsi Visi coolers = 21 (20%)
No of outlets having only Coca-Cola Visi coolers = 18 (17.14%)
No. of outlets having both Pepsi and Coco-Cola
Visi coolers = 9 (8.57%)
No of outlets having only own Visi coolers = 52 (49.52%)
No. of outlets having no Visi coolers = 5 (4.76%)
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Pepsi Visi 21
Coca Cola visi 18
Pepsi & Coca Visi 9
Own Visi 52
No visi 5
Pepsi Visi
Coca Cola visi
Pepsi & CocaVisi
Own Visi
No visi
iv) SIGNAGE :
Sample size = 105
No. of outlets having only Pepsi Signage = 20 (19.05%)
No of outlets having only Coca-cola signage = 14 (13.33%)
No of outlets having both Pepsi & Coca-Cola signage = 2 (1.90%)
No. of outlets having no signage = 69 (65.71%)
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Pepsi Signage 20
Coca Signage 14
Pepsi & Coca Signage 2
No Signage 69
Pepsi Signage
Coca Signage
Pepsi & CocaSignage
No Signage
MEDIUMTHATAFFECTS SALESMOST
Sample Size = 105
a) Television as a medium for affecting sales= 38 (36.19%)
b) Magazine / News paper as a medium for affecting sales = 10
(9.52%)
c) Display as a medium for affecting sales = 22
(20.95%)
d) Wall paintings & Hoardings as a medium for affecting sales = 35
(33.33%)
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Television 38
Magazine / News 10
Display 22
Wall Painting 35 Television
Magazine / News
Display
Wall Painting
Do the retailers think that aggressive advertising or scheme further
increase the sales volume of Pepsi ?
Sample size = 105
a) Yes = 81 ( 77.14% )
b) No. = 16 ( 15.23% )
c) None = 8 ( 7.61% )
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Y e s 8 1
N o 1 6
N o n e 8
Y e s
N o
Ye s
No
Non
Y es
No
No n e
Promotional activities that affect the sales mostly
Sample size = 105
a) Free bottle scheme as promotional activity = 62 (59.04%)
b) Prize as promotional activity = 21 (20 %)
c) Discount/crate as promotional activity = 17 (16.19%)
d) Other as promotional activity = 5 (4.76%)
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Free Bottle Scheme 62
Prize 21
Discount/Crate 17
Others 5
Free Bottle
Scheme
Prize
Discount/Crate
Others
PERCENTAGEOF PET AVAILABLE
Pet Pepsi 52.55 %
Pet Coca-Cola 47.45 %
Pet Pepsi 52.55
Pet Coke 47.45
Pet Pepsi
Pet Coke
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FINDINGOFTHESTUDY:
This is self-explanatory. It is based on market survey. I found that the total
result of soft drinks in Patna are as follows:-
1. Pepsi is second largest soft drink & Coke is first.
2. The total percentage of market share of Pepsi is 41.76% & Market share
of Coca Cola is 58.24%.
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3. The total percentage of exclusive outlet of Pepsi is 5.71% and exclusive
outlet of Coke is 11.43%
4. The total percentage of visi-coolers of Pepsi is 20% and Coke is 17.14% &
both Pepsi & Coke is 8.57% and 49.52% is own.
5. The total % if pet available of Pepsi is 52.55% & Coke is 47.45%.
6. The total % Signage of Pepsi is 19.05% & Coke is 13.33%, both Pepsi &
Coke 1.90%.& no signage is 65.71%.
7. The total % of medium that affects the Sales must Television 36.19%
Magazine /News Paper 9.52%, Display 20.95% & wall Painting,
Hoardings 33.33%.
8. The retailers think that aggressive advertisement or scheme further
increase the sales volume the Pepsi. Yes 77.14%, No 15.23%, &
None 7.61%.
9. The total % of promotional activities that affect the sales mostly.
Free Bottle scheme 59.04%, Prize 20%, Discount / Carate 16.19% &
other promotional activity 4.76%
SWOT ANALYSIS
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After doing 6 weeks fieldwork & thorough survey I
can make it out the Swot analysis for Varun Beverages
Pvt. Ltd. As well as for pepsi brand.
1. Though it has strong brand equity, brand image,
it can survive in the most competitive situation.
2. It has wi ll buil t market & market share,
currently holds over more than % market share.
3. Customer retention customer satisfaction after
sales service is satisfaction.
4. Product quality is maintained.
5. Distr ibution is effective.
6. Promotional act ivit ies are satisfactory.
7. In the Organization capable leaders (heads) &
dedicated employees are there.
8. Production house in well built.
Still the company has not fault by there are
many problems in dealers.
1. Lacking of communication with retailer.
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2. Always break down in Pepsi Van by which Pepsi
are distributed to retailers. It hampers in sale
day-by-day.
3. Timing of distribut ion is not logist ic .
4. Lack of eff ic iency, enthusiasion in salesman.
5. Distribution of cool ing equipment is not properly
distributed..
6. Due to specific taste, Pepsi is lagging behind its
nearest competitor brand Thums Up.
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1. How much percentage of retailer have PepsiCo Or COKE
VISICOOLER?
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2. CONDITION OF GETTING VISICOOLER BY
RETAILER
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3. A) IMPACT OF VISICOOLER ON SALE
PEPSI & COKE
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3.B) IMPACT OF VISICOOLER ON LOYALITY
PEPSI & COKE
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4. CHILLING QUALITY OF VISICOOLER
PEPSI & COKE
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5. VISICOOLER REPAIRING SERVICE IN TIME
BY PEPSI & COKE
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6. WHICH COMPANIES GIVE BETTER SERVICE
TO RETAILER
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7. HOW MUCH RETAILER THINK PLANOGRAM IS
SUCCESSFUL?
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8. HOW MUCH PERCENTAGE OF RETAILER
SATISFIED WITH THE SERVICE?
PepsiCo & COKE
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9. WHICH COMPANY REPERSENTATIVE VISIT THE
OUTLET DAILY?
PepsiCo
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Coke
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10. HOW MUCH RETAILER RETAIN PURE
VISICOOLER?
PepsiCo
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Coke
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PepsiCo VISICOOLERS
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&
1. The majority of retailers deal in all the brand ofPepsi & Coke.
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2. The study reveals that the market share of Pepsi in
Patna is 41.76% as compared to Coca Cola is
58.24% thus Pepsi having a Clear edge over Coca
Cola.
3. The study reveals the immediate steps are not
taken in the replacement of damaged or breakage
goods. The rival company Coca-Cola is very quick
in this area. And efficient also.
4. Number of route vehicles for delivery of goods is
less than the required one for proper coverage of
whole area of Patna. Thus just in time and efficient
delivery is affected.
5. The demand of Coke exceeds the demand of Pepsi.
6. The Varun Beverages Pvt. Ltd. Pays attention in
different marketing function also these are :
a) Anticipating & recognition of demand
b) Stimulation of demand.
c) Satisfaction of demand.
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7. Company at certain interval conduct market survey
to evaluate demand trend. Consumption pattern &
nature of growing competition in spite of the fact that
soft drinks has already high & almost stable demand.
So company undertakes different promotional schemes
to enjoy them.
I had confirmed my study to different specified
direction. As for Varun Beverages Pvt. Ltd., It can be
said that i t does not have any major draw back in
marketing activities still more efficient distribution by
dealers & more effective sales executives & sales
forces are required.
Though the over all grip maintenance is
satisfactory & company can retain market share & also
can upgrade it.
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SUGGESTIONS & RECOMMENDATION
The above study elicits the fact that sales department of
Varun Beverages Pvt. LTD. should introduced some
changes in its marketing activities to make it more rational
1 A healthy relationship should be developed by the
company
Executive with the retailers.
2. As most of the dealers have complaint that the salesman
does not tell them about schemes .For this before launching
any scheme company should advertise it by distributing
Pamphlets to the dealers mentioning the Period of the
scheme & time to time Proper check is required.
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3. No. of route vehicles for delivery of goods should be
increased in number for proper catering in the entire area
of Patna effectively & efficiently.
4. Company should make fridge available at maximum
outlets and repairing of its misleaders (refrigerators) and
glow signboard, which are out of order in an outlet up to the
level, thus it is parallel of even better than Competitors.
2. Proper supply of all brand of PEPSI.
3. The commitment of supplying gifts items or incentive or
incentive should be carried out on or before the
scheduled time.
4. The distribution should keep literate and experienced
sales man because they can convince to retailers easily
and sold out the product in the market.
5. The company should supply its banners sign board etc.as an advertisement media to the retailers of few area
which will as usual became sales promotion tool for
them.
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6. Distributor and retail out lets feed back should be taken
time to time so as to trace the actual existing problem
related to there and the market.
10.Company should develop policy. so that the soft drinks
are
made available at all the outlets during the peak
seasons.
11.Leakage and blasted bottles are per policy of the
company
are taken back but generally these bottles may of the
time
are not taken back as a result an inharmonious
relation
develop between the company and retailers this should
be
rectified it has adverse effect in the brand of the
company.
CONCLUSION OF THE STUDY
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I have studied and analyzed the PepsiCo on different aspects of the
markets, outlets, distribution and consumers. The survey was conducted in various
areas of city with great enthusiasm. This project report concludes that PepsiCo and
its other brands are easily available in various part of Agra because of that the local
distribution channel of the PepsiCo is much strong and 100% is tough job and the
most important thing, which I feel to improve, is the availability to retailers and
consumers.
The retailers and consumers both promote either PepsiCo or any other of its
brands (E.g. MOUNTAIN DEW) for could be with regard to order processing,
warehousing, inventory management and transportation; besides that shop
covering, time of enter and exit from the market by the salesmen, cooling
appliances VISICOOLERS, glow shine board, schemes, incentives, prizes, gifts,
discount, proper billing, returning of defective goods, proper supply should be
improved.
My job was to make marketing managers aware of all the problems so that a
proper course of action is required to be undertaken.
The job competitor of PepsiCo is no local brand can beat PepsiCo in term of
sale of its brand and the cooling appliances VISICOOLER.
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RECOMMENDATION AND SUGGESTIONS
After completing this report I find myself able to recommend VARUN
BEVERAGES Ltd. to boost up the sales of PepsiCo and its other brands.
1) PRODUCT AWARENESS PROGRAMES FOR CONSUMERS AND
RETAILETRS SHOULD INCREASE.
1. For Retailers the company should organize seminars, but there
must be compulsion for retailers to attend the seminars.
2. For consumers the company should organize some more
programmers may help increase the market share of PepsiCo.
2) SUPERVISION ON THE DISTRIBUTION ROOTS IS REQUIRED.
The main purpose behind this is that on time to time there is eye check
on salesmens efficiency and on top of that they are going to meet retailers
directly.
3) PROMOTE DELIVERY OF PRODUCT
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Promote delivery of the product to the customers is very much necessary
towards enhancing the reputation of company and which is defining helpful in
keeping the customers.
4) INCREASE THE MOTIVATION
The company should motivate its sales force to take the achievement higher
than the targeted by rewarding them properly.
5) PepsiCo should keep sales engineers in various areas to provide technical
support to the outlets related to the cooling system VISICOOLERS.
6) The schemes and the other information are properly communicated to the
retailers so that they are better equipped to handle the quarries of customers
properly.
7) Another problem is replacement.
Any VISICOOLER or BOTTLE has some defect then the salesman
should replace it immediately.
8) There should be the time to time and proper survey of the market.
9) On extra sales unto some predetermined margins the sales force should
paid extra commission and bonuses.
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LIMITATIONS OF THE STUDY
Responsible managers and personals in the marketing department of
VARUN BEVERAGES LTD. Provide necessary assistance to me in Marketing
strategy of PEPSI. They discussed different aspects and functions of marketing
as practical PepsiCo India ltd (VBL). Almost all the necessary information was
provided to me in the support of this project report.
However there are some problems, which cannot escape from.
The limitations faced, felt or expressed by me are as follows-
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Due to lack of time (i.e., two & half month) it is not possible to reach all
respondents.
The lack of availability of time on the respondents part.
Some respondents was biased.
I tried to overcome on these limitations.
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