MARKETING

“To enhance the RED

Standards
in the assigned
Territory”

Submitted to-
Submitted by-
Prof. Rakesh Gupta
Alok Kumar Singh
Faculty , Marketing FT-09-711
IILM GSM Greater Noida

1
 DECLARATION FORM

I hereby declare that the Project work entitled “TO ENHANCE THE RED

STANDARDS IN THE GIVEN TERRITORY” submitted by me for the

Summer Internship during the Post Graduate Diploma in Management

Program to Institute for Integrated Learning in Management,

Greater Noida is my own original work and has not been submitted earlier

either to IILM GSM or to any other Institution for the fulfillment of the

requirement for any course of study. I also declare that no chapter of this

manuscript in whole or in part is lifted and incorporated in this report from

any earlier / other work done by me or others.

Place :

Date : Signature of Student

Name of Student : Alok Kumar Singh

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Address : 113C,
Neha Apartments,
Sector Pie,
Greater Noida.

ACKNOWLEDGEMENT

I would like to thank my Mr. Tanay Sanyal , without whom an internship with, Hindustan Coca-
Cola Beverages Private Limited (HCCBPL) would not have been possible. I am grateful to him
for having taken time off his busy schedule and spoken to the concerned person to get me this
internship. I would like to convey my gratitude to Prof. Rakesh Gupta, Faculty Marketing, IILM
GSM , without whom my internship would not have been possible. I am grateful to him for
having taken time off his busy schedule and spoken to me regarding project and other learnings.
I express my gratitude to the Hindustan Coca-Cola Beverages Private Limited (HCCBPL) for
having given me an opportunity to work with them and make the best out of my internship. I
thank my trainer Mr. Sushil Patel, Capability development Executive, Hindustan coca-cola
beverages private limited, for having trained me and constantly guided and supported me
throughout the training period. My heartfelt gratitude also goes out to the my Sales team leader
Mr.Pramod Singh , Sales team leader and Market developers namely, Nilesh Singh, Nikhil Sir
,Jitendra Verma Sir at HCCBPL for having co-operated with me and guided me throughout two
months of my internship period. I also wish to pay my gratitude to all my friends with whom I
did my training in the company. I thank my institute, IILM Graduate school of business , Greater
Noida ,having given me this opportunity to put to practice, the theoretical knowledge that I
imparted from the program. I thank the Faculty mentor, Mr. Rakesh Gupta for having guided
and supported me through the course of the internship. I take this opportunity to thank my
parents and friends who have been with me and offered emotional strength and moral support. At
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last but by no means the least I would like to thanks the almighty for making all these things
possible.

EXECUTIVE SUMMARY
Coca-Cola, the product that has given the world its best-known taste was born in Atlanta,
Georgia, on May 8, 1886. Coca-Cola Company is the world’s leading manufacturer, marketer
and distributor of non-alcoholic beverage concentrates and syrups, used to produce nearly 400
beverage brands. It sells beverage concentrates and syrups to bottling and canning operators,
distributors, fountain retailers and fountain wholesalers. Coca-Cola was first introduced by John
Syth Pemberton, a pharmacist, in the year 1886 in Atlanta, Georgia when he concocted caramel-
colored syrup in a three-legged brass kettle in his backyard. He first “distributed” the product by
carrying it in a jug down the street to Jacob’s Pharmacy and customers bought the drink for five
cents at the soda fountain. Carbonated water was teamed with the new syrup, whether by
accident or otherwise, producing a drink that was proclaimed “delicious and refreshing”, a theme
that continues to echo today wherever Coca-Cola is enjoyed. Coca-Cola originated as a soda
fountain beverage in 1886 selling for five cents a glass. Early growth was impressive, but it was
only when a strong bottling system developed that Coca-Cola became the world-famous brand it
is today. Coca-Cola was the leading soft drink brand in India until 1977, when it left rather than
reveal its formula to the Government and reduce its equity stake as required under the Foreign
Regulation Act (FERA) which governed the operations of foreign companies in India. In the new
liberalized and deregulated environment 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. The
main objective of my training was to enhance the RED(Right Execution Daily) Standards of the
given territory. I had been fortunate enough to get this kind of direct and performance based
project objective for my summer training. I had worked hard with heart and soul to improve the
scenario in my territory. I was able to bring RED Scores of 47 and 36 which is not a good

4
performance and I owe a full responsibility of these results. As a matter of learning I have been
able to learn lots of intricacies in sales and distribution of beverage major Coca-Cola .I had been
able to open around 100 HE outlets. Moreover I have been successful in raising the 15 bottom
outlets into high RED scoring outlets. I have also given few suggestion for improvement in my
territory.

TABLE OF CONTENTS

CHAPTER INTRODUCTION……………………………………………………
7
1.1: A brief insight- The FMCG Industry in India……………………………………..8
1.2: A brief insight- The Beverage Industry in India……………………………….10
Figure 1: Beverage Industry in India………………………………….10

CHAPTER 2: THE COCA-COLA

COMPANY……………………………………12
2.1:
History………………………………………………………………………………………..12
2.2: History of Bottling………………………………………………………………………..14
2.3: Manifesto for Growth……………………………………………………………………17
2.3.1:
Values…………………………………………………………………………………………17
2.3.2:
Mission………………………………………………………………………………………..18
2.3.3: Vision for Sustainable Growth………………………………………………………..18

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Figure 2: Vision for Sustainable Growth…………………………………………19

CHAPTER 3: HINDUSTAN COCA-COLA BEVERAGES PRIVATE

LIMITED…………………………………………………………………..……20
3.1: About the Company…………………………………………………………………….20
Figure 3: Location of COBO, FOBO and Contract packers………..21
3.2: Manifesto for Growth……………………………………………………………………22
3.2.1: Values……………………………………………………………………………22
3.2.2: Vision for Sustainable Growth……………………………………………..22
3.2.3: Mission…………………………………………………………………………..23
3.2.4: Quality Policy…………………………………………………………………….23
3.3: Organization Structure of Coca-Cola India………………………………………24
Figure 4: Organization Structure of Coca-Cola India……………….24
Figure 5: Organization Structure of Coca-Cola India……………….25
3.4: Organization Structure of the Sales Department in HCCBPL……………..26
Figure 6: Organization Structure of the Sales Department…….26
3.5: Manufacturing Unit of HCCBPL………………………………………………………27
Figure 7: Chain followed from Manufacture to Distribution…….27
3.6: Manufacturing process at HCCBPL………………………………………………..28
Figure 8: Manufacturing process…………………………………………28
3.7: Business Plan model at HCCBPL…………………………………………………….29
Figure 9: Business Plan model at HCCBPL……………………………29
3.8: Distribution Network…………………………………………………………………….30
3.8.1: Distribution Routes…………………………………………………………….30
3.8.2: Distribution System……………………………………………………………31
3.8.3: Departments involved in the Distribution process………………….32
3.9: Competitors to HCCBPL………………………………………………………………33

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CHAPTER 4:
PRODUCTS…………………………………………………………34
5.1: Packaging details and pricing details…………………………………………..36

CHAPTER 5: PROJECT: To enhance the RED Standards in the given

territory………………………………………………………………………….37
5.1: objective and scope…………………………………………………………..37
5.2 : RED standards , PITA model and components &parameters……………….38
5.3: PROJECT TITLE……………………………………………………………44
5.4: previous results and analysis………………………………………………....45
5.5: problems……………………………………………………………………45
5.6: Action plan………………………………………………………………….46
5.7: Results after action plan…………………………………………………….47
5.8: Achievements……………………………………………………………….48

CHAPTER 6:CONCLUSION…………………………………………………50

CHAPTER 7: RECOMMENDATIONS………………………………………51

CHAPTER 8: LEARNINGS……………………………………………………52

APPENDIX………………………………………………………………………53

REFERENCES…………………….……………………………………………68

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CHAPTER 1: INTRODUCTION
_______________________________________________
Coca-Cola, the product that has given the world its best-known taste was born in Atlanta,
Georgia, on May 8, 1886. Coca-Cola Company is the world’s leading manufacturer, marketer
and distributor of non-alcoholic beverage concentrates and syrups, used to produce nearly 400
beverage brands. It sells beverage concentrates and syrups to bottling and canning operators,
distributors, fountain retailers and fountain wholesalers. The Company’s beverage products
comprises of bottled and canned soft drinks as well as concentrates, syrups and not-ready-to-
drink powder products. In addition to this, it also produces and markets sports drinks, tea and
coffee. The Coca-Cola Company began building its global network in the 1920s. Now operating
in more than 200 countries and producing nearly 400 brands, the Coca-Cola system has
successfully applied a simple formula on a global scale: “Provide a moment of refreshment for a
small amount of money- a billion times a day.”

The Coca-Cola Company and its network of bottlers comprise the most sophisticated and
pervasive production and distribution system in the world. More than anything, that system is
dedicated to people working long and hard to sell the products manufactured by the Company.
This unique worldwide system has made The Coca-Cola Company the world’s premier soft-
drink enterprise. From Boston to Beijing, from Montreal to Moscow, Coca-Cola, more than any
other consumer product, has brought pleasure to thirsty consumers around the globe. For more
than 115 years, Coca-Cola has created a special moment of pleasure for hundreds of millions of
people every day.

The Company aims at increasing shareowner value over time. It accomplishes this by working
with its business partners to deliver satisfaction and value to consumers through a worldwide

8
system of superior brands and services, thus increasing brand equity on a global basis. They aim
at managing their business well with people who are strongly committed to the Company values
and culture and providing an appropriately controlled environment, to meet business goals and
objectives. The associates of this Company jointly take responsibility to ensure compliance with
the framework of policies and protect the Company’s assets and resources whilst limiting
business risks.
1.1: A BRIEF INSIGHT- THE FMCG INDUSTRY IN INDIA

Fast Moving Consumer Goods (FMCG), also known as Consumer Packaged Goods (CPG) are
products that have a quick turnover and relatively low cost. Consumers generally put less
thought into the purchase of FMCG than they do for other products.

The Indian FMCG industry witnessed significant changes through the 1990s. Many players had
been facing severe problems on account of increased competition from small and regional
players and from slow growth across its various product categories. As a result, most of the
companies were forced to revamp their product, marketing, distribution and customer service
strategies to strengthen their position in the market.

By the turn of the 20th century, the face of the Indian FMCG industry had changed significantly.
With the liberalization and growth of the Indian economy, the Indian customer witnessed an
increasing exposure to new domestic and foreign products through different media, such as
television and the Internet. Apart from this, social changes such as increase in the number of
nuclear families and the growing number of working couples resulting in increased spending
power also contributed to the increase in the Indian consumers' personal consumption. The
realization of the customer's growing awareness and the need to meet changing requirements and
preferences on account of changing lifestyles required the FMCG producing companies to
formulate customer-centric strategies. These changes had a positive impact, leading to the rapid
growth in the FMCG industry. Increased availability of retail space, rapid urbanization, and
qualified manpower also boosted the growth of the organized retailing sector.

HLL led the way in revolutionizing the product, market, distribution and service formats of the
FMCG industry by focusing on rural markets, direct distribution, creating new product,

9
distribution and service formats. The FMCG sector also received a boost by government led
initiatives in the 2003 budget such as the setting up of excise free zones in various parts of the
country that witnessed firms moving away from outsourcing to manufacturing by investing in the
zones.

Though the absolute profit made on FMCG products is relatively small, they generally sell in
large numbers and so the cumulative profit on such products can be large. Unlike some
industries, such as automobiles, computers, and airlines, FMCG does not suffer from mass
layoffs every time the economy starts to dip. A person may put off buying a car but he will not
put off having his dinner.

Unlike other economy sectors, FMCG share float in a steady manner irrespective of global
market dip, because they generally satisfy rather fundamental, as opposed to luxurious needs.
The FMCG sector, which is growing at the rate of 9% is the fourth largest sector in the Indian
Economy and is worth Rs.93000 crores. The main contributor, making up 32% of the sector, is
the South Indian region. It is predicted that in the year 2010, the FMCG sector will be worth
Rs.143000 crores. The sector being one of the biggest sectors of the Indian Economy provides up
to 4 million jobs. (Source: HCCBPL, Monthly Circular, March)

The FMCG sector consists of the following categories:

• Personal Care- Oral care, Hair care, Wash (Soaps), Cosmetics and Toiletries,
Deodorants and Perfumes, Paper products (Tissues, Diapers, Sanitary products) and Shoe
care; the major players being; Hindustan Lever Limited, Godrej Soaps, Colgate, Marico,
Dabur and Procter & Gamble.

• Household Care- Fabric wash (Laundry soaps and synthetic detergents), Household
cleaners (Dish/Utensil/Floor/Toilet cleaners), Air fresheners, Insecticides and Mosquito
repellants, Metal polish and Furniture polish; the major players being; Hindustan Lever
Limited, Nirma and Ricket Colman.

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 • Branded and Packaged foods and beverages- Health beverages, Soft drinks,
Staples/Cereals, Bakery products (Biscuits, Breads, Cakes), Snack foods, Chocolates,
Ice-creams, Tea, Coffee, Processed fruits, Processed vegetables, Processed meat,
Branded flour, Bottled water, Branded rice, Branded sugar, Juices; the major players
being; Hindustan Lever Limited, Nestle, Coca-Cola, Cadbury, Pepsi and Dabur

• Spirits and Tobacco; the major players being; ITC, Godfrey, Philips and UB

1.2: BEVERAGE INDUSTRY IN INDIA: A BRIEF INSIGHT

In India, beverages form an important part of the lives of people. It is an industry, in which the
players constantly innovate, in order to come up with better products to gain more consumers
and satisfy the existing consumers.

BEVERAGES

Alcoholic Non-Alcoholic

Carbonated Non-Carbonated

Cola Non-Cola Non-Cola

FIGURE 1: BEVERAGE INDUSTRY IN INDIA

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The beverage industry is vast and there various ways of segmenting it, so as to cater the right
product to the right person. The different ways of segmenting it are as follows:

• Alcoholic, non-alcoholic and sports beverages

• Natural and Synthetic beverages

• In-home consumption and out of home on premises consumption.

• Age wise segmentation i.e. beverages for kids, for adults and for senior citizens

• Segmentation based on the amount of consumption i.e. high levels of consumption and
low levels of consumption.
If the behavioral patterns of consumers in India are closely noticed, it could be observed that
consumers perceive beverages in two different ways i.e. beverages are a luxury and that
beverages have to be consumed occasionally. These two perceptions are the biggest challenges
faced by the beverage industry. In order to leverage the beverage industry, it is important to
address this issue so as to encourage regular consumption as well as and to make the industry
more affordable.
Four strong strategic elements to increase consumption of the products of the beverage industry
in India are:

• The quality and the consistency of beverages needs to be enhanced so that consumers are
satisfied and they enjoy consuming beverages.

• The credibility and trust needs to be built so that there is a very strong and safe feeling
that the consumers have while consuming the beverages.
• Consumer education is a must to bring out benefits of beverage consumption whether in
terms of health, taste, relaxation, stimulation, refreshment, well-being or prestige relevant
to the category.

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 • Communication should be relevant and trendy so that consumers are able to find an
appeal to go out, purchase and consume.

The beverage market has still to achieve greater penetration and also a wider spread of
distribution. It is important to look at the entire beverage market, as a big opportunity, for brand
and sales growth in turn to add up to the overall growth of the food and beverage industry in the
economy.

CHAPTER 2: THE COCA-COLA COMPANY

_______________________________________________
2.1: HISTORY

Coca-Cola was first introduced by John Syth Pemberton, a pharmacist, in the year 1886 in
Atlanta, Georgia when he concocted caramel-colored syrup in a three-legged brass kettle in his
backyard. He first “distributed” the product by carrying it in a jug down the street to Jacob’s
Pharmacy and customers bought the drink for five cents at the soda fountain. Carbonated water
was teamed with the new syrup, whether by accident or otherwise, producing a drink that was
proclaimed “delicious and refreshing”, a theme that continues to echo today wherever Coca-Cola
is enjoyed.

Dr. Pemberton’s partner and book-keeper, Frank M. Robinson, suggested the name and penned
“Coca-Cola” in the unique flowing script that is famous worldwide even today. He suggested
that “the two Cs would look well in advertising.” The first newspaper ad for Coca-Cola soon
appeared in The Atlanta Journal, inviting thirsty citizens to try “the new and popular soda
fountain drink.” Hand-painted oil cloth signs reading “Coca-Cola” appeared on store awnings,
with the suggestions “Drink” added to inform passersby that the new beverage was for soda
fountain refreshment.

By the year 1886, sales of Coca-Cola averaged nine drinks per day. The first year, Dr. Pemberton
sold 25 gallons of syrup, shipped in bright red wooden kegs. Red has been a distinctive color

13
associated with the soft drink ever since. For his efforts, Dr. Pemberton grossed $50 and spent
$73.96 on advertising. Dr. Pemberton never realized the potential of the beverage he created. He
gradually sold portions of his business to various partners and, just prior to his death in 1888,
sold his remaining interest in Coca-Cola to Asa G. Candler, an entrepreneur from Atlanta. By the
year 1891, Mr. Candler proceeded to buy additional rights and acquire complete ownership and
control of the Coca-Cola business. Within four years, his merchandising flair had helped expand
consumption of Coca-Cola to every state and territory after which he liquidated his
pharmaceutical business and focused his full attention on the soft drink. With his brother, John S.
Candler, John Pemberton’s former partner Frank Robinson and two other associates, Mr. Candler
formed a Georgia corporation named the Coca-Cola Company. The trademark “Coca-Cola,”
used in the marketplace since 1886, was registered in the United States Patent Office on January
31, 1893.

The business continued to grow, and in 1894, the first syrup manufacturing plant outside Atlanta
was opened in Dallas, Texas. Others were opened in Chicago, Illinois, and Los Angeles,
California, the following year. In 1895, three years after The Coca-Cola Company’s
incorporation, Mr. Candler announced in his annual report to share owners that “Coca-Cola is
now drunk in every state and territory in the United States.”

As demand for Coca-Cola increased, the Company quickly outgrew its facilities. A new building
erected in 1898 was the first headquarters building devoted exclusively to the production of
syrup and the management of the business. In the year 1919, the Coca-Cola Company was sold
to a group of investors for $25 million. Robert W. Woodruff became the President of the
Company in the year 1923 and his more than sixty years of leadership took the business to
unsurpassed heights of commercial success, making Coca-Cola one of the most recognized and
valued brands around the world.

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2.2: HISTORY OF BOTTLING

Coca-Cola originated as a soda fountain beverage in 1886 selling for five cents a glass. Early
growth was impressive, but it was only when a strong bottling system developed that Coca-Cola
became the world-famous brand it is today.

YEAR WISE HISTORY OF BOTTLING:

Year 1894: A modest start for a bold idea

In a candy store in Vicksburg, Mississippi, brisk sales of the new fountain beverage called Coca-
Cola impressed the store's owner, Joseph A. Biedenharn. He began bottling Coca-Cola to sell,
using a common glass bottle called a Hutchinson. Biedenharn sent a case to Asa Griggs Candler,
who owned the Company. Candler thanked him but took no action. One of his nephews already
had urged that Coca-Cola be bottled, but Candler focused on fountain sales.

Year 1899: The first bottling agreement

Two young attorneys from Chattanooga, Tennessee believed they could build a business around
bottling Coca-Cola. In a meeting with Candler, Benjamin F. Thomas and Joseph B. Whitehead
obtained exclusive rights to bottle Coca-Cola across most of the United States for a sum of one
dollar. A third Chattanooga lawyer, John T. Lupton, soon joined their venture.

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Years 1900-1909: Rapid growth

The three pioneer bottlers divided the country into territories and sold bottling rights to local
entrepreneurs. Their efforts were boosted by major progress in bottling technology, which
improved efficiency and product quality. By 1909, nearly 400 Coca-Cola bottling plants were
operating, most of them family-owned businesses. Some were open only during hot-weather
months when demand was high.
Year 1916: Birth of the Contour Bottle

Bottlers worried that Coca-Cola's straight-sided bottle was easily confused with imitators. A
group representing the Company and bottlers asked glass manufacturers to offer ideas for a
distinctive bottle. A design from the Root Glass Company of Terre Haute, Indiana won
enthusiastic approval. The Contour Bottle became one of the few packages ever granted
trademark status by the U.S. Patent Office. Today, it is one of the most recognized icons in the
world.

In the 1920s: Bottling overtakes fountain sales

As the 1920s dawned; more than 1,000 Coca-Cola bottlers were operating in the U.S. Their ideas
and zeal fueled steady growth. Six-bottle cartons were a huge hit starting in 1923. A few years
later, open-top metal coolers became the forerunners of automated vending machines. By the end
of the 1920s, bottle sales of Coca-Cola exceeded fountain sales.

In the 1920s and 1930s: International expansion

Led by Robert W. Woodruff, chief executive officer and chairman of the Board, the Company
began a major push to establish bottling operations outside the U.S. Plants were opened in
France, Guatemala, Honduras, Mexico, Belgium, Italy and South Africa. By the time World War
II began, Coca-Cola was being bottled in 44 countries.
In the 1940s: Post-war growth

16
During the war, 64 bottling plants were set up around the world to supply the troops. This
followed an urgent request for bottling equipment and materials from General Eisenhower's base
in North Africa. Many of these war-time plants were later converted to civilian use, permanently
enlarging the bottling system and accelerating the growth of the Company's worldwide business.

In the 1950s: Packaging innovations

For the first time, consumers had choices of Coca-Cola package size and type-the traditional 6.5
ounce Contour Bottle, or larger servings including 10, 12 and 26 ounce versions. Cans were also
introduced, becoming generally available in 1960.

In the 1960s: Introduction of new brands

Sprite, Fanta, Fresca and TAB joined brand Coca-Cola in the 1960s. Mr. Pibb and Mello Yello
were added in the 1970s. The 1980s brought diet Coke and Cherry Coke, followed by PowerAde
and Fruitopia in the 1990s. Today scores of other brands are offered to meet consumer
preferences in local markets around the world.

In the 1970s and 1980s: Consolidation to serve customers

Advancement in technology led to global economy, retail customers of The Coca-Cola Company
merged and evolved into international mega chains. Such customers required a new approach. In
response, many small and medium-size bottlers consolidated to better serve giant international
customers. The Company encouraged and invested in a number of bottler consolidations to
assure that its largest bottling partners would have capacity to lead the system in working with
global retailers.

In the 1990s: New and growing markets

17
Political and economic changes opened vast markets that were closed or underdeveloped for
decades. After the fall of the Berlin Wall, the Company invested heavily to build plants in
Eastern Europe. As the century closed, more than $1.5 billion was committed to new bottling
facilities in Africa.

21st Century: Coca-Cola today

The Coca-Cola bottling system grew up with roots deeply planted in local communities. This
heritage serves the Company well today as consumers seek brands that honor local identity and
the distinctiveness of local markets. As was true a century ago, strong locally based relationships
between Coca-Cola bottlers, customers and communities are the foundation on which the entire
business grows.

2.3: MANIFESTO FOR GROWTH

2.3.1: VALUES:

Coca-Cola is guided by shared values that both the employees as individuals and the Company
will live by; the values being:

• LEADERSHIP: The courage to shape a better future

• PASSION: Committed in heart and mind

• INTEGRITY: Be real

18
 • ACCOUNTABILITY: If it is to be, it’s up to me

• COLLABORATION: Leverage collective genius

• INNOVATION: Seek, imagine, create, delight

• QUALITY: What we do, we do well

2.3.2: MISSION

• To Refresh the World... In body, mind, and spirit

• To Inspire Moments of Optimism... Through our brands and our actions

• To Create Value and Make a Difference... Everywhere we engage.

2.3.3: VISION FOR SUSTAINABLE GROWTH

• PROFIT: Maximizing return to shareowners while being mindful of our overall

responsibilities.

• PEOPLE: Being a great place to work where people are inspired to be the best they can
be.

• PORTFOLIO: Bringing to the world a portfolio of beverage brands that anticipate and
satisfy peoples’ Desires and needs.

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 • PARTNERS: Nurturing a winning network of partners and building mutual loyalty.

• PLANET: Being a responsible global citizen that makes a difference.

FIGURE 2: VISION FOR SUSTAINABLE GROWTH

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CHAPTER 3: HINDUSTAN COCA-COLA BEVERAGES
PRIVATE LIMITED (HCCBPL)
_______________________________________________

3.1: ABOUT THE COMPANY

Coca-Cola was the leading soft drink brand in India until 1977, when it left rather than reveal its
formula to the Government and reduce its equity stake as required under the Foreign Regulation
Act (FERA) which governed the operations of foreign companies in India. Coca-Cola re-entered
the Indian market on 26th October 1993 after a gap of 16 years, with its launch in Agra. An
agreement with the Parle Group gave the Company instant ownership of the top soft drink brands
of the nation. With access to 53 of Parle’s plants and a well set bottling network, an excellent
base for rapid introduction of the Company’s International brands was formed. The Coca-Cola
Company acquired soft drink brands like Thumps Up, Goldspot, Limca, Maaza, which were
floated by Parle, as these products had achieved a strong consumer base and formed a strong
brand image in Indian market during the re-entry of Coca-Cola in 1993.Thus these products
became a part of range of products of the Coca-Cola Company.

In the new liberalized and deregulated environment in 1993, Coca-Cola made its re-entry into
India through its 100% owned subsidiary, HCCBPL, the Indian bottling arm of the Coca-Cola

21
Company. However, this was based on numerous commitments and stipulations which the
Company agreed to implement in due course. One such major commitment was that, the
Hindustan Coca-Cola Holdings would divest 49% of its shareholding in favor of resident
shareholders by June 2002.

Coca-Cola is made up of 7000 local employees, 500 managers, over 60 manufacturing locations,
27 Company Owned Bottling Operations (COBO), 17 Franchisee Owned Bottling Operations
(FOBO) and a network of 29 Contract Packers that facilitate the manufacture process of a range
of products for the company. It also has a supporting distribution network consisting of 700,000
retail outlets and 8000 distributors. Almost all goods and services required to cater to the Indian
market are made locally, with help of technology and skills within the Company. The complexity
of the Indian market is reflected in the distribution fleet which includes different modes of
distribution, from 10-tonne trucks to open-bay three wheelers that can navigate through narrow
alleyways of Indian cities and trademarked tricycles and pushcarts.

“Think local, act local”, is the mantra that Coca-Cola follows, with punch lines like “Life ho to
aisi” for Urban India and “Thanda Matlab Coca-Cola” for Rural India. This resulted in a 37%
growth rate in rural India visa-vie 24% growth seen in urban India. Between 2001 and 2003, the
per capita consumption of cold drinks doubled due to the launch of the new packaging of 200 ml
returnable glass bottles which were made available at a price of Rs.5 per bottle. This new market
accounted for over 80% of India’s new Coca-Cola drinkers. At Coca-Cola, they have a long
standing belief that everyone who touches their business should benefit, thereby inducing them
to uphold these values, enabling the Company to achieve success, recognition and loyalty
worldwide.

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 COBO
FOBO
CONTRACT PACKAGING

FIGURE 3: LOCATIONS OF COBO, FOBO & CONTRACT PACKAGING IN INDIA

3.2: MANIFESTO FOR GROWTH

3.2.1: VALUES

The values that the employees in the Company are expected to keep up to and work by regularly
are as follows:

• LEADERSHIP: To take an initiative and lead, motivate and drive the team with energy
and zeal, to deliver outstanding results.

• INNOVATION: To continuously strive for progress and reach the next level of
excellence in everything we do.

• PASSION: To be deeply committed and display drive and energy in the quest to deliver
outstanding performance.

23
 • TEAMWORK: To unite for greater strength and work collectively as a group towards
the achievement of common goals.

• OWNERSHIP: To think and act like owners at all levels; to have decisions taken at the
lowest appropriate level.

• ACCOUNTABILITY: To be individually and transparently accountable to our

colleagues for delivering agreed targets and goals.

3.2.2: VISION FOR SUSTAINABLE GROWTH

To provide exceptional strategic leadership in the Coca-Cola India System-resulting in consumer

and customer preference and loyalty, through Coca-Cola’s commitment to them, and in a highly
profitable Coca-Cola Corporate branded beverages system.

3.2.3: MISSION

To create consumer products, services and communications, customer service and bottling
system strategies, processes and tools in order to create competitive advantage and deliver
superior value to;

• Consumers as a superior beverage experience

• Consumers as an opportunity to grow profits through the use of finished drinks

24
 • Bottlers as an opportunity to grow profits in volumes

• Bottlers as a trademark enhancement and positive economic value added

• Suppliers as an opportunity to make reasonable profits when creating real value-added in

an environment of system-wide team work, flexible business system and continuous
improvement

• Indian society in the form of a contribution to economic and social development.

3.2.4: QUALITY POLICY

“To ensure customer delight, we commit to quality in our thoughts, deeds and actions by
continually improving our processes…Every time.”

3.3: ORGANIZATION STRUCTURE OF COCA-COLA IN INDIA

25
FIGURE 4: ORGANIZATION STRUCTURE IN COCA-COLA, INIDA

26
FIGURE 5: ORGANIZATION STRUCTURE IN COCA-COLA, INDIA

3.4: ORGANIZATION STRUCTURE OF THE SALES DEPARTMENT IN

HCCBPL:

27
FIGURE 6: ORGANIZATION STRUCTURE OF THE SALES DEPARTMENT

3.5: MANUFACTURING UNIT OF HCCBPL

The manufacturing unit of HCCBPL, situated at Bidadi, is the third largest plant and one of the
bottling operations owned by the company. The Plant has one PET line which has the capacity of
yielding 209 bottles, per minute, two RGB (Returnable glass bottles) lines which yields 600
bottles per minute each and one Juice line which yield 155 bottles per minute. It caters to the
whole of South Karnataka through a network of more than 80 distributors. There are three depots
in Bangalore; North Depot, East Depot and Mega Depot.

28
 Manufacturing Plant,
Bidadi

Sales and
Distribution
Operations

Distributors Outlets

Outlets

FIGURE 7: CHAIN FOLLOWED FROM MANUFACTURE TO DISTRIBUTION

3.6: MANUFACTURING PROCESS AT HCCBPL

29
FIGURE 8: MANUFACTURING PROCESS

The manufacturing of the products of Coca-Cola involves the following steps:

• Water is received from the River Cauvery and it passes through the water treatment plant,
further passing through the sand filter and the activated carbon filter, so as to attain pure
cleansed water.

• In the syrup room, the concentrate received from another bottling plant situated at Pune,
is blended with the sugar syrup

• Once both the water and the final syrup are ready, they are both mixed together and sent
to the carbonator section where Carbon Dioxide is added to the mixture to form the final
product.

30
 • On the other hand, simultaneously, the returnable glass bottles are depalletized, inspected
and washed for the purpose of filling in the final product in it. This step does not take
place in the PET bottle line as the bottles once used are disposed.

• The product is finally filled in the bottles, crowned (in case of RGB)/ capped (in case of
PET bottles), labeled and cased in order to be sent into the warehouse for distribution.

3.7: BUSINESS PLAN MODEL AT HCCBPL

Coca-Cola India
division, Manufactures
Gurgaon Concentrate, Beverage
base and Syrup

Regional Bottlers Manufactures finished

COBO/FOBO Bottles/Cans/Fountain
Syrup

Customers

Consumers

FIGURE 9: BUSINESS PLAN MODEL

3.8: DISTRIBUTION NETWORK

31
HCCBPL has a wide and well managed network of salesmen appointed for taking up the
responsibility of distribution of products to diverse parts of the cities. The distribution channels
are constructed in such a way that the demand of customers is fulfilled at the right place and the
right time when it is needed by them.

A typical distribution chain at HCCBPL would be:

Production --- Plant Warehouse --- Depot Warehouse --- Distribution Warehouse --- Retail
Stock --- Retail Shelf --- Consumer

The customers of the Company are divided into different categories and different routes, and
every salesman is assigned to one particular route, which is to be followed by him on a daily
basis. A detailed and well organized distribution system contributes to the efficiency of the
salesmen. It also leads to low costs, higher sales and higher efficiency thereby leading to higher
profits to the firm.

3.8.1: DISTRIBUTION ROUTES

The various routes formulated by HCCBPL for distribution of products are as follows:

• Key Accounts: The customers in this category collectively contribute a large chunk of
the total sales of the Company. It basically consists of organizations that buy large
quantities of a product in one single transaction. The Company provides goods to these
customers on credit, payments being made by them after a certain period of time i.e.
either a month of half a month.
Examples: Clubs, fine dine restaurants, hotels, Corporate houses etc.

• Future Consumption: This route consists of outlets of Coca-Cola products, wherein a

considerable amount of stock is kept in order to use for future consumption. The stock
does not exhaust within a day or two, instead as and when required stocks are stacked

32
 up by them so as to avoid shortage or non-availability of the product.
Examples: Departmental stores, Super markets etc.

• Immediate Consumption: The outlets in this route are those which require stocks on a
daily basis. The stocks of products in these outlets are not stored for future use instead,
are exhausted on the same day and might run a little into the next day i.e. the products
are consumed at a fast pace.
Examples: Small sized bars and restaurants, educational institutions etc.

• General: Under this route, all the outlets that come in a particular area or an area along
with its neighboring areas are catered to. The consumption period is not taken into
consideration in this particular route.

3.8.2: DISTRIBUTION SYSTEM

• Direct distribution: In direct distribution, the bottling unit or the bottler partner has
direct control over the activities of sales, delivery, and merchandising and local account
management at the store level.

• Indirect distribution: In indirect distribution, an organization which is not part of the

Coca-Cola system has control on one or more of the distribution elements (Sales,
delivery, merchandising and local account management)

• Merchandising: Merchandising means communication with the consumer at the point of

purchase to convey product benefit, value and Quality. Sales people and delivery
personnel both have this responsibility. In certain locations special teams who go into
business locations to specifically merchandise our products.

3.8.3: DEPARTMENTS INVOLVED IN THE DISTRIBUTION PROCESS

33
The Distribution process mainly consists of three departments:

• Distribution Department: It appoints distributors and establishes a distribution network,

processes approved sale orders and prepares invoices, arranges logistics and ship
products, co-ordinates with distributors for collections and monitors distribution stocks
and their set-up.

• Finance Department: It checks credit limits and approves sales orders in compliance
with the credit policy followed by the firm, records collections from distributors,
periodically reconciles outstanding balances from distributors, obtains balance
confirmation from distributors and follows up outstanding balances.

• Shipping or Warehousing Department: It dispatches goods as per approved by order,

ensures that stocks are dispatched on a FIFO basis, ensures physical control over load out
area and updates warehouse stock records in a timely manner.

3.10: COMPETITORS TO HCCBPL

34
The competitors to the products of the company mainly lie in the non-alcoholic beverage
industry consisting of juices and soft drinks.
The key competitors in the industry are as follows:

• PepsiCo: The PepsiCo challenge, to keep up with archrival, the Coca-Cola Company
never ends for the World's # 2, carbonated soft-drink maker. The company's soft drinks
include Pepsi, Mountain Dew, and Slice. Cola is not the company's only beverage;
PepsiCo sells Tropicana orange juice brands, Gatorade sports drink, and Aquafina water.
PepsiCo also sells Dole juices and Lipton ready-to-drink tea. PepsiCo and Coca-Cola
hold together, a market share of 95% out of which 60.8% is held by Coca-Cola and the
rest belongs to Pepsi.

• Nestlé: Nestle does not give that tough a competition to Coca-Cola as it mainly deals
with milk products, Baby foods and Chocolates. But the iced tea that is Nestea which has
been introduced into the market by Nestle provides a considerable amount of competition
to the products of the Company. Iced tea is one of the closest substitutes to the Colas as it
is a thirst quencher and it is healthier when compared to fizz drinks. The flavored milk
products also have become substitutes to the products of the company due to growing
health awareness among people.

• Dabur: Dabur in India, is one of the most trusted brands as it has been operating ever
since times and people have laid all their trust in the Company and the products of the
Company. Apart from food products, Dabur has introduced into the market Real Juice
which is packaged fresh fruit juice. These products give a strong competition to Maaza
and the latest product Minute Maid Pulpy Orange.

35
CHAPTER 4: PRODUCTS
_______________________________________________

The Coca-Cola Company offers a wide range of products to the customers including beverages,
fruit juices and bottled mineral water. The Company is always looking to innovate and come up
with, either complete new products or new ways to bottle or pack the existing drinks. The Coca-
Cola Company has a wide range of products out of which the following products are marketed
by HCCBPL:

• In the Cola Section:

• In the Lemon section:

• In the Orange section:

36
 • In the Juice section:

• In Nimbu(lemon based drink) section:

• In the Soda Water and Bottled Mineral Water section:

37
4.1: PACKAGING AND PRICING DETAILS

• Coca-Cola, Thums Up, Fanta Limca and Sprite: 330 ml can,(Rs 450)200 ml(Rs168) and
300 ml(Rs264) returnable glass bottles; 500+100 ml free (Rs 516), 1.5 litre (Rs 360 ) and
2 litre PET bottles of Limca and Fanta while 2.2 litre PET bottle of Thumsup and Sprite.
(Rs 506)

• Diet Coke: 330 ml can(Rs 450) and 500 ml PET bottle(Rs 516)

• Maaza: 200 ml (Rs 192)and 250 ml Returnable Glass Bottle; 500+100 ml(Rs 624) and
1litre+200 ml free (Rs 576) PET bottles and the newly introduced 200 ml Tetra Pack ( Rs
282)

• Minute Maid Pulpy Orange: 400 ml (Rs 432) and 1 litre PET bottles(Rs 540)

• Minute Maid nimbu fresh :400ml(Rs 330)

• Kinley water: 1 litre bottle.(Rs 124)

• Kinley Soda Water: 300 ml returnable glass bottles, 500+100 ml free (Rs 266)

38
_______________________________________________

Chapter 5- Project -To enhance the RED(Right Execution Daily)

standards in the given territory.

5.1: Objectives-To enhance the RED(Right Execution Daily) standards of the given territory
by-
• Understanding the different components of RED (Right execution daily)score.
• To understand and improve the activation elements in each outlets of the territory.
• To understand and improve the availability elements in each outlets of the territory.
• To maintain the Visi-cooler standards and maintain the 100% purity and 100% charging
in Visi-cooler.
• To work upon difficult outlets and increase the RED score of that outlet.
• To increase the sales by working on horizontal expansion and vertical expansion.

Scope –
• To increase the RED(Right Execution Daily) score of the given territory.
• TO understand the limited authority of Market developer and try to improve the RED
score.
• TO help in increase in sales by fulfilling the needs of the retailers at the right time.

39
5:2 :RED: A RIGHT EXECUTION DAILY
CONCEPT OF RED: RED (Right Execution Daily) is defined as a tool to measure the
performance of the distributor in the outlet by setting up some standard or parameter of
execution.

This standard monitors, at the individual outlet level, how well company implement and
maintain merchandising standards. Furthermore, it helps in identify opportunities to make
immediate improvements that support growth for our customers and company. RED is just one
part of company’s efforts to enhance revenue growth opportunities by optimizing the
combination of brand, package and price for each consumption occasion.
Coca cola company believes that its success depends on their ability to connect with consumer
by providing them with a wide variety of choices to meet their desire, needs and lifestyles
choices, company success further depends on the ability of their people by execute effectively
every day
Why RED Standards is used?

• Coca-cola is a world leader in beverages and has a tradition of implementing unique

system of execution for its sales force at the point of sale.

• This will help company to directly connect with Consumer by providing them with a
wide variety of choices to meet their desire, needs and lifestyles choices.

• This standard helps at the individual outlet level, how well company implement and
maintain merchandising standards.

• RED is just one part of company’s efforts to enhance revenue growth opportunities by
optimizing the combination of brand, package and price for each consumption occasion.

40
 • This set ups the global standards for execution of certain parameters for each retailers and
sales force.

PITA( Population, Incidence, Transaction, Average profit) MODEL-

The Coca-Cola company has made a model to convert the effective execution into sales
revenue and subsequently into profit. This model is known as PITA MODEL

Which is explain in a equation as follows:

Gross Profit(Rs)=Population *Incidence*Transaction (Ltr)*Average profit (RS per

Ltr)

Where P= Population which means numbers shoppers or consumers in given universe .

• Coca cola attract the population by executing the following activities.
• Bringing the cooler at the entrance.
• Fixing the standee, sign at the entrance.
• Fixing the combo Board at the entrance.

I=Incidence which means % of population that buy our product.

How Coca-Cola induce for the incident?

• By putting cooler in prime position.
• By keeping the cooler pure & clean.
• By doing Rack Display.
• By fixing combo Board.
• By doing Table activation.
• Counter Top Display.

41
T=Transaction which means amount in volume bought per transaction.

How Coca-Cola increases the transaction?

By rack Display, By cooler top display, By large PET.

A = Average profit in value per transaction.

How Coca-Cola increases the average profit per transaction?

• By higher margins pack

• By mobile PET availability.

• By juice availability.

Inception of RED standards- RED is the survey method that company started in 2007. It adds
value to customers and consumers through “Excellence in Execution” at the point of sale.

For the survey of RED, Company has hired the A.C Nielson company. One of the best survey
company in India.. The survey gets done on monthly basis.

A monthly report on RED is send to Hindustan Coca- Cola Beverages Private Limited.

Components and Parameters of RED standards-

Markets can be segmented along 3 line-outlet volume, locality income and channel cluster.
Segmentation on the basis of channel cluster-
A) E & D Type 1
B) E & D Type 2
C) Grocery

42
D) Convenience.

A) E & D Type 1 : –
Outlets selling items to eat which are being consumed primarily standing in the outlet or being
taken away for future consumption. DOES NOT HAVE A PLACE TO SIT. It includes
Bakery/Sweet shops/Juice corner/Tea Shops.
B) E & D Type 2 :-
Outlets selling items to eat which are being cooked /made within the outlet with possibility of
consuming those products within the outlet. THE OUTLET SHOULD HAVE PLACE TO SIT.
It includes Sit down restaurants /Bars/ Dhabas/ cafes etc.
C) Convenience : –
Convenience outlets ate those outlets where people visit regularly for various purposes, generally
accessible locally like stationary shop, S.T.D – Booth, Pan Shop and general Store.
D) Grocery : –
Outlets primarily engaged in retailing of food & various household items. It includes Grocers
(outlets dealing mainly in grains, provisions, spices, edible oils, vanaspati oil etc.) and general
stores (outlets selling items of day-to-day requirements and stocking a variety of branded
products).
Based on Volume Pattern-
According to the volume sale in the outlets the company has adopted a unique policy of
categorizing the outlets in four different segments such as:
 DIAMOND
 GOLD
 SILVER
 BRONZE
DIAMOND
Those outlets, which give an annual sale of Coca - Cola products more than 800 case.
GOLD

43
Those outlets, which give an annual sale of Coca - Cola products between 500 to 799 Case..
SILVER
Those outlets, which give an annual sale of Coca - Cola products between 200 to 499 case.
BRONZE
Those outlets, Which give an annual sale of Coca':-Cola products less than 200 carats

Parameters of RED(Right execution daily) Standards-

There are 3 basic parameters of RED standards-

1. Visi-cooler standards – They are set to help execution standards for customer delight.
This standards are meant for Cooler specifications ,shelf order, brand order, purity and
charging.

2. Availability standards- They are set to cater different customers with different needs.
With different combinations of channel cluster, categories and locality income class this
availability standards changes to meet the demands of the retailers.

3. Activation standards- They are set to activate the customer response at the outlet. With
this help company tries to activate the customer for purchase of our product at the outlets

44
5.3: Project Objective- To enhance the RED(Right Execution Daily)
Standards in the given territory.
Territory- A sales territory is defined as a group of present and potential customers assigned
to any individual salesperson, a group of sales person , a branch, a dealer, a distributor, or a
marketing organization at a given point of time.
Geographically my territory spans across 25 sq Km, following the road route from Nariya to
D.L.W (east to west) and Amraa By-pass to Kakarmatta(south to north)

Total number of present and potential outlets according to the survey done in May-10 during
training period is almost 180.
Total number of RED outlet is around 132.

5.4:Previous Results and its analysis -

Previous results for my territory- The graph shows the results of RED score for
past three months of my territory.

45
5.5: Problems in the territory –
• My territory was continuously showing below 45 RED Score which was below
the Average RED scores of the other territories of the region.
• This territory was in list of poor performing Areas.
• The Scene on the field was more pathetic and discouraging than papers.
• There was very discouraging image of company in the market regarding the
services and grievances redress system.
• Vehicle was not reaching in the market and if reaching they were too late.
• Very few shops were activated and there numbers were meager.
• No motivational elements were given to retailers.
• Proper availability of products was huge problems.
• Unprofessional behaviors of Salesman and drivers were also a concern.
• Failure in timely delivery of services was a big problem.
• Retailers were completely allured by schemes and dicounts of Pepsi and contrary
to that they were not getting any thing from Coca-Cola.
• At some of the important positioned outlets, there was no Coca-Cola which led to
huge loss in sales and image.
• Purity of Visi-cooler was a dream in my territory.
• Some of the rogue retailers were misusing our visi-cooler.
• At some outlets, our delivery vehicle never visited in this calendar year.
• Disappointment in Retailers with our services was common scene.
• Insufficient resources given to us were also a hindrance such as my area was
twice the size of other two areas of my agency even though only vehicle was
employed there.
• We can’t reach an outlet not before 2 days because of large area thus execution
standards tends to degrade with time.

46
5.6: Action Plan to improve the scenario in the territory-
We sat with the Sales team leader and under the guidance of Mr. Sushil Patel,
Capability development Executive , we plan our action.
We decided to implement following mechanism to improve the scenario in the
territory-
• Strict adherence to the discipline work style amongst all to improve the
RED Score.
• Strictly following the PJP (permanent journey plan )and beat plan.
• Providing best services available by giving them full range of products,
according to availability in agency.
• Start giving regular schemes to allure the retailers and gain their
confidence.
• Regularly visiting each shop of PJP and talking to them regarding their
problems which raised there confidence in us.
• By taking each outlet as different case with different challenges we set
different tactics to deal with them and satisfy them .
• Certain outlets were uncomfortable with opening of their Visi-cooler at
peak hours or in hot afternoons since this will have a negative impact on
their sales. They were special treatment and I visited their shops after
20:00 hrs so that I have ample time to make Visi-cooler pure and as per
standards.
• Beat plan should be flexible to meet the daily changes.
• Second shift in product delivery was made a custom to address the needs
of maximum retailers as my area was large and we very having just one
vehicle.

47
5.7: Results after implementing the action plan-
Following graph shows the RED scores obtained in the month of May; these
results are on the basis of RED tracker filled by MD on the field.

Following graph shows the comparative view of RED Score as filled in RED tracker for the
month of June-

5.8: Achievements-
• We have been successful in maintaining the good service in my territory. This helps in
regaining the market to some extent.

48
 • We have been able to increase RED Scores in a significantly which was appreciated by
everyone and was a success for the area.
• Almost each shops has been activated and each outlet in PJP plan was executed as per
standards.
• The general attitude of retailers changed positively.
• Availability was made to every shop up to standard.
• The general attitude of Salesman and drivers too changed and they started turning up in
the market between 09.00Am to 09.30 Am.
• Our territory starts showing highest sales amongst other territories of agency , almost
three times to others.

Following graph shows the results of RED Score for the month of May and June by the survey of
third party and comparison with previous months-

• RED Score For the months of May and June has rise significantly.

49
Difference in RED Score filled in RED tracker and RED Score result of the survey by the third
party-
• Difference is mainly due to variation that comes in outlet‘s Visi-cooler due to gap in
execution day and Survey day. Execution standards tend to degrade with time and sales.
• RED Score filled in RED tracker is obtained from execution results of outlets that fall in
PJP plan of that day and survey is done of sample that constitutes the whole area.
• There are 20% of outlets (50% of bottom outlets)given in survey list don’t exist now thus
the main reason for reduction in RED score. Thus list needs to be updated now.
• Lack of support and guidance from my MD.
• Unavailability of whole Range of products and unprofessional behaviors of Salesman and
Driver.

50
Chapter 6 : Conclusions –
_______________________________________________

• Considering the fact that nothing is perfect in this world. Every individual is bound to
make mistake at some point or the other..
• I had made a positive change (from 45 to 67) in enhancing the RED Standards of the
assigned territory.
• I admit that there is much more chance of increase in RED Scores.
• There was very limited support and guidance from my MD.
• Sufficient powers were not there in my hands to negotiate and make my own marketing
strategies accordingly.

• Distributors provide low schemes as compared to company so; distributers should be

convinced to pass the incentives to the retailers so that they are motivated to promote this
brand.

• I had a very valuable learning experience in Sales and distribution of beverages major,
these experience are far valuable than book knowledge.

• I have been able to expand 50 HE outlets in my territory .

• I have been able to raise 15 outlets of bottom outlets to high RED Score outlets in last 3
weeks of June.

51
 • Rectification of RED outlets list should be done so that closed outlets don’t decrease the
RED Scores.

_ Chapter 7 : Recommendations-

• Alluring schemes must be made available to the retailers since these schemes helps in
motivating them.
• Company should take care of grievances redress so that retailers don’t have loss in sales
due to any fault in Visi-cooler.
• Adequate resources should be made available since the territory size is double as
comparison to others.
• Outlets which are showing consistently good results should be motivated by giving
regular discounts from the company.
• Special care should be given to outlets at important locations and they should be
motivated regularly and if they are not having our Visi-cooler they should be horizontally
expanded. For example-Heer sagar Sweets at Bhikaripur crossing, Patel juice corner at
Chitaipur crossing etc.
• Order booking system should be encouraged by giving retailers good schemes and
discounts if they are giving orders in advance and in bulk.
• Employees should be encouraged with good incentives on the basis of performance and
work ethics.
Special Recommendations-
• Company can pay the electricity bills of retailers at important locations and good
performance.

52
 • MDs should be transfer from one area to another on half yearly or annual basis so that
one individual’s relationship with retailers doesn’t hamper the sales and RED Scores.
• Special care should be taken in transferring the schemes and discounts to retailers.

Chapter 8: LEARNINGS

Every thing in this world is made to utilize properly but it should be reach at the proper person or
to the proper utilized areas. Otherwise the value added to those things became in vein.
As there is a proverb that,
“Far From Eye, Far From Mind”
Thus marketing role play a very important role in achieving the objectives of a company.
Undoubtedly, value utility is created by the manufacture of product or service but time and place
utilities are created by marketing role. According to Peter Drucker, “both the market and the
distribution channels are often more crucial than the product”. They are primary: the product is
secondary. In an economy like that of India, where marginal shortages can lead to disproportion
distortion in prices, a dependable and efficient distribution system is very much essential. The
distribution system creates a value added to almost all products.
From my study in the past two months what I learned is:
“A service on time is the best way to increase the sales in a particular area”
To convince the retailer we have to listen to their problems and solve them as early as possible.
For this we have to spend time at the outlet and note all the short comings. The hard and fast rule
can’t be followed when we are working in the field some time the strategies have to be changed
according to the situation. While negotiating a deal some times we have to provide some outlets

53
the extra benefits while others not. So the marketing concepts that we have learned during MBA
are all applied in field to increase the sales.

Chapter 9:Appendix-
2010 RED Norms
-AS GIVEN IN RED TRACKER

Norms Points given Categories

E&D type 1and E&D type Grocery

convenience 2
High and medium Low income class.
income class
D G S B D G S B

Presence of 5

Visi cooler standard cooler

Presence of 5
standards
cooler at prime
position
Points allotted are same every class and
100% purity 10
Brand order 5 category.
and shelf order
compliant
Total 25

54
RED norms as given in RED Tracker
Products Categories
E&D type 1and convenience
only
High and medium Low income class.
income class
D G S B D G S B
Sparkling soft 20 20 26 30 25 25 30 30
drink (SSD)
200ml
300 ml rgb
Xpress pack 5 5
Availability 350 ml
600 ml 14 14 14 15 15 15 15 15
standards
200/250 ml 5 5 5 5 5 5 5 5
juice
Juice mobile 5 5 5 5 5 5 5 5
Fridge pack 4 4 5 5 5
Juice large PET
Large PET
2ltr/2,25 ltr
Water mobile 2 2
500 ml
Water mobile
500 ml and 1
ltr
Chilled facing
of RGB

55
 Total 60 60 60 60 60 60 60 60

RED norms as given in RED Tracker

Products Categories

E&D type 2 only

High and medium Low income class.

income class
D G S B D G S B

Sparkling soft
drink (SSD)
200ml
300 ml rgb 30 30 30 34 34 34 34 34
Xpress pack
350 ml
600 ml
200/250 ml 9 9 9 9 9 9 9 9
juice
Availability Juice mobile
standards
Fridge pack
Juice large PET
Large PET
2ltr/2,25 ltr
Water mobile
500 ml
Water mobile 5 5 5
500 ml and 1
ltr
Chilled facing 6 6 6 6 6 6 6 6
of RGB
Total 50 50 50 50 50 50 50 50

RED norms as given in RED Tracker

56
 Products Categories

Grocery only

High and medium Low income class.

income class
D G S B D G S B

Sparkling soft 15 15 15 15 20 20 20 20
drink (SSD)
200ml
300 ml rgb
Xpress pack
350 ml
600 ml 12 12 12 12 12 12 12 12
200/250 ml 4 4 5 5 5 5 5 5
juice
Availability Juice mobile 3 3 5 5 5 5 5 5
standards
Fridge pack 10 10 10 10 10 10 15 15
Juice large PET 3 3
Large PET 10 10 10 10 5 5
2ltr/2,25 ltr
Water mobile
500 ml
Water mobile 5 5 5
500 ml and 1
ltr
Chilled facing 3 3 3 3 3 3 3 3
of RGB
Total 60 60 60 60 60 60 60 60

RED norms as given in RED Tracker

Norms Categories
Grocery only
High and medium Low income class.
income class

57
 D G S B D G S B
3 3 3 3 3 3 3 3
GSB/Flex board road
standee/flange
Price communication 5 5 5 5 5 5 5 5

Shelf/cut/case/cooler
top display
Combo shorts-standee
or on the wall
Menu card with KO
Activation
beverages menu.
standards
Menu board

Rack as per standard 1 1 1 1 1 1 1 1

Rack :pure and charged 6 6 6 6 6 6 6 6

Total 15 15 15 15 15 15 15 15

Gross total 100 100 100 100 100 100 100 100

RED norms as given in RED Tracker

Norms Categories
E &D type 2 only
High and medium Low income class.
income class
D G S B D G S B

58
 5 5 5 5 5 5 5 5
GSB/Flex board road
standee/flange
Price communication 5 5 5 5 5 5 5 5

Shelf/cut/case/cooler 5 5 5 5
top display
Combo shorts-standee 10 10 10 10
or on the wall
Activation Menu card with KO 5 5 5 5

standards beverages menu.

Menu board 10 10 10 10

Rack as per standard

Rack :pure and charged

Total 25 25 25 25 25 25 25 25

Gross total 100 100 100 100 100 100 100 100

RED norms as given in RED Tracker

Norms Categories
E &D type 2 only
High and medium Low income class.
income class
D G S B D G S B
5 5 5 5 5 5 5 5
GSB/Flex board road

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 standee/flange

Price communication 5 5 5 5 5 5 5 5

Shelf/cut/case/cooler 5 5 5 5
top display
Activation Combo shorts-standee 10 10 10 10
standards or on the wall
Menu card with KO 5 5 5 5
beverages menu.
Menu board 10 10 10 10

Rack as per standard

Rack :pure and charged

Total 25 25 25 25 25 25 25 25

Gross total 100 100 100 100 100 100 100 100

RED norms as given in RED Tracker

Norms Categories
E &D type 1 only
High and medium Low income class.
income class
D G S B D G S B
5 5 5 5 5 5 5 5
GSB/Flex board road
standee/flange

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 Price communication 5 5 5 5 5 5 5 5

Shelf/cut/case/cooler 5 5 5 5 5 5 5 5
top display
Activation
Combo shorts-standee
standards
or on the wall
Menu card with KO
beverages menu.
Menu board

Rack as per standard

Rack :pure and charged

Total 15 15 15 15 15 15 15 15

Gross total 100 100 100 100 100 100 100 100

Note- There is a provision of awarding 10 bonus points and 5 penalty points on the basis of
previous RED score.
Execution standards includes Availability and activation standards which according to
outlet channel and category and volume class.
For any kind of outlets the brand order will be COLOJ-K, which means Cola
+Lemon+Orange+Juice+Kinley
1. Channel Grocery
Category SKU High/medium class Low income class
RGB Cola +3+1 Cola +3+1
Mobile pack 600ml Cola+3 Cola +3
Diamond
Fridge pack 1.2 ltr Cola+3 Cola +3
Family pack 2/2.2ltr Cola +2 Cola +2

Note: Minimum 3 facings required for lead cola, lead flavor and Maaza. For all units Thumsup
will be the lead cola
Activation standards-

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 • GSB/Flex board with prominent drinking shot.
• Price communication.
• 3 tier rack with header, must be 50% charged and 100% pure.
2. Channel Grocery
Category SKU High/medium class Low income class
RGB Cola +3+1 Cola +3+1
Mobile pack 600ml Cola+2 Cola +2
Fridge pack 1.2 ltr Cola+2 Cola +2
Gold Family pack 2/2.2ltr Cola +2 Cola +2
Note: Minimum 3 facings required for lead cola, lead flavor and Maaza. For all units Thumsup
will be the lead cola
Activation standards-
• GSB/Flex board with prominent drinking shot.
• Price communication.
• 3 tier rack with header, must be 50% charged and 100% pure.
3. Channel Grocery
Category SKU High/medium class Low income class
RGB Cola +2+1 Cola +2+1
Mobile pack 600ml Cola+1+1 Cola +1+1
Fridge pack 1.2 ltr Cola+1 Cola +1
Silver Family pack 2/2.2ltr Cola +1
Note: Minimum 2 facings required for lead cola, lead flavor and Maaza. For all units Thumsup
will be the lead cola
Activation standards-
• Road standee/Flex board with prominent drinking shot.
• Price communication.
• 3 tier rack with header, must be 50% charged and 100% pure
4. Channel Grocery
Category SKU High/medium class Low income class
RGB Cola +2+1 Cola +2+1
Mobile pack 600ml Cola+1+1 Cola +1+1
Fridge pack 1.2 ltr Cola+1 Cola +1
Bronze Family pack 2/2.2ltr Cola +1
Note: Minimum 2 facings required for lead cola, lead flavor and Maaza. For all units Thumsup
will be the lead cola

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Activation standards-
• Road standee/Flex board with prominent drinking shot.
• Price communication.
• 1 tier rack with header, must be 50% charged and 100% pure

5. Channel E&D Type 1 & Convenience

Category SKU High/medium class Low income class
RGB 200ml Cola +3+1 Cola +3+1
Xpress pack Cola+2
Mobile pack 600ml Cola+3+Juice Cola +3+Juice
Diamond Fridge pack 1.2 ltr Cola+3 Cola +3
Water 500ml. Kinley and Bonaqua
Note: Minimum 3 facings required for lead cola, lead flavor and Maaza. For all units Thumsup
will be the lead cola
Activation standards-
• GSB/Flex board with prominent drinking shot.
• Price communication.
• Any one of the following-
I. Shelf/Cut display
II. Any rack must be 50% charged and 100% pure.
III. Pure Visi-cooler at prime position.
6. Channel E&D Type 1 & Convenience
Category SKU High/medium class Low income class
RGB 200ml Cola +3+1 Cola +3+1
Xpress pack Cola+2
Mobile pack 600ml Cola+2+ Juice Cola +2+Juice
Gold Fridge pack 1.2 ltr Cola+2 Cola +2
Water 500ml. kinley
Note: Minimum 3 facings required for lead cola, lead flavor and Maaza. For all units Thumsup
will be the lead cola.
Activation standards-
• GSB/Flex board with prominent drinking shot.

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 • Price communication.
Any one of the following-Shelf/Cut display
I. Any rack must be 50% charged and 100% pure.
II. Pure Visi-cooler at prime position.

7. Channel E&D Type 1 & Convenience

Category SKU High/medium class Low income class
RGB 200ml Cola +2+1 Cola +2+1
Xpress pack
Mobile pack 600ml Cola+1+ 1Juice Cola +1+1
Silver Fridge pack 1.2 ltr Cola+1
Water 500ml.
Note: Minimum 2 facings required for lead cola, lead flavor and Maaza. For all units Thumsup
will be the lead cola.
Activation standards-
• Road standee/Flex board with prominent drinking shot.
• Price communication.
• Any one of the following-
I. Shelf/Cut display
II. Any rack must be 50% charged and 100% pure.
III. Pure Visi-cooler at prime position.
8. Channel E&D Type 1 & Convenience
Category SKU High/medium class Low income class
RGB 200ml Cola +2+1 Cola +2+1
Xpress pack
Mobile pack 600ml Cola+1+ 1Juice Cola +1+1
Bronze Fridge pack 1.2 ltr
Water 500ml.
Note: Minimum 2 facings required for lead cola, lead flavor and Maaza. For all units Thumsup
will be the lead cola.
Activation standards-
• Road standee/Flex board with prominent drinking shot.
• Price communication.
• Any one of the following-

64
 I. Shelf/Cut display
II. Any rack must be 50% charged and 100% pure.
III. Pure Visi-cooler at prime position.

9. Channel E&D Type 2

Category SKU High/medium class Low income class
RGB 300ml/200ml Cola +4+1 Cola +4+1
Juice
Xpress pack
Diamond
Mobile pack 600ml
Fridge pack 1.2 ltr
Water 1l. Kinley and Bonaqua
Note: Minimum 3 facings required for lead cola, lead flavor and Maaza. For all units Thumsup
will be the lead cola
Activation standards-
• GSB/Flex board with prominent drinking shot.
• Price communication.
• Combo shots (standee on the wall)
• Branded menu cards with KO beverages menu
10. Channel E&D Type 2
Category SKU High/medium class Low income class
RGB 300ml/200ml Cola +3+1 Cola +3+1
Juice
Xpress pack
Mobile pack 600ml
Gold Fridge pack 1.2 ltr
Water 1l. Kinley and Bonaqua
Note: Minimum 3 facings required for lead cola, lead flavor and Maaza. For all units Thumsup
will be the lead cola

Activation standards-
• GSB/Flex board with prominent drinking shot.

65
 • Price communication.
• Combo shots (standee on the wall)
• Branded menu cards with KO beverages menu

11. Channel E&D Type 2

Category SKU High/medium class Low income class
RGB 300ml/200ml Cola +2+1 Cola +2+1
Juice
Xpress pack
Mobile pack 600ml
Silver Fridge pack 1.2 ltr
Water 1l. Kinley and Bonaqua
Note: Minimum 2 facings required for lead cola, lead flavor and Maaza. For all units Thumsup
will be the lead cola
Activation standards-
• GSB/Flex board with prominent drinking shot.
• Price communication
• Shelf cut display/cooler top display/any rack 100% pure.
• Branded menu board/Menu standee with KO beverages menu

12. Channel E&D Type 2

Category SKU High/medium class Low income class
RGB 300ml/200ml Cola +2+1 Cola +2+1
Juice
Xpress pack
Mobile pack 600ml
Bronze Fridge pack 1.2 ltr
Water 1l.

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Note: Minimum 2 facings required for lead cola, lead flavor and Maaza. For all units Thumsup
will be the lead cola

Activation standards-
• GSB/Flex board with prominent drinking shot.
• Price communication.
• Shelf cut display/cooler top display/any rack 100% pure.
• Branded menu board/Menu standee with KO beverages menu

CHAPTER 10: REFERENCES

INTERNET: www.cokeindia.com
www.coca-colaindia.com
www.oligopolywatch.com
www.superbrand.com
www.cocacola.com
Search engine – Google.

TEXT BOOK:
Marketing Management –P.Kotler and Keller

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Sales and distribution management- Tapan Panda and Sachdev
The Marketing white book .-Business world.- Annual issue of 2009-2010

Company documents-

RED Tracker for the month of May and June.

Sales Presenter
Quarterly Magazine of the Company-March to May.
GCC(Global customer care ) Form

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