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A STUDY ON

CUSTOMER SATISFACTION ON SOFT DRINKS


With reference to:

M/s PEARL BOTTLING UNIT, VISAKHAPATNAM


A project report has prepare and submitted to JNTU, KAKINADA In partial fulfillment for the award of degree of

MASTER OF BUSINESS ADMINISTRATION


Submitted by GANGADHAR. P.V (Regd.No. 10K11E0011) Under the guidance of Dr.K. HARI HARA RAJU MBA, Ph.D

Spreading Knowledge

PYDAH COLLEGE OF ENGINEERING AND TECHNOLOGY


(Affiliated to JNTU University and approved by AICTE) GAMBHEERAM, ANANDAPURAM MANDAL VISAKHAPATNAM (2010-2012)

DECLARATION
I do hereby declare that this project report entitled as A Study on Customer Satisfaction on Soft Drinks with reference to Pearl Bottling Unit has been prepared by me. In partial fulfillment to requirement to award of degree of Master of Business Administration. Further retread that this report has not resemblance in any form with other submitted report earlier it is purely results of my own.

GANGADHAR.P.V
Regd.No.10K11E0011

ACKNOWLEDGEMENT
I evoke my sincere thanks and heartfelt gratitude to Mr. Venkateswara Rao Sir for devoting his valuable time for me in spite of his busyness, he has make avail to me all the time during survey and compilation of this project report. I do express my reverence and regards to my project guide _____Dr.K. Hari Hara Raju MBA Ph.D___ for his continuous guidance and voluble inputs till completing of this report. I do express my thanks reverence and regards to Dr. Sarabandi sir, Director as he was iconic and key motivator all along two years of study. There are many people who has supported me directly and indirectly in completion this project report, however it is not practicable to mention every ones name, still I am grateful to ever one.

GANGADHAR.P.V.
Regd.No. 10K11E0011

GUIDE CERTIFICATE

This is to certify that Mr. GANGADHAR.P.V.

Student of Master of

Business Administration in Pydah College of Engineering and Technology, Visakhapatnam, during the academic year 2010-12, has prepared this project report entitled as A study on CUSTOMER SATISFACTION ON SOFT DRINKS under my guidance and supervision. Further I state that this project work is a bonafied work which carried out by him, to fulfilling the requirement for awarding the degree of MASTER OF BUSINESS ADMINISTRATION. Mandatory to the Curriculum as set by the University.

Date: ..

INDEX

Sl.No.

1.

CHAPTER 1

Particulars Introduction of Study Need for the Study Objectives of the Study Scope of the Study Methodology of the Study Limitations Industry Profile Company Profile Theoretical Frame Work Analysis and Data Interpretation Findings, Suggestions & Conclusion Bibliography Annexure

Page No.

2. 3. 4. 5.

CHAPTER 2 CHAPTER 3 CHAPTER 4 CHAPTER 5

6.

CHAPTER 6

7.

CHAPTER 7

CHAPTER 1
Introduction to study Need for the study Objective of study Methodology used in study Theoretical Frame Work

Limitations of Study

1.1 INTRODUCTION:
A market consist of all the potential customers sharing a particular need or want who might be willing and able to engage in exchange to satisfy that need or want. Marketing is a total system of trust and activities designed to plan, price, promote and distribute the want satisfying product, services and ideas to target market in order to achieve organizational objectives. Marketing Research is the function, which links the consumer, customer and public to the market through information. Information used to identify and define Marketing opportunities and problems; generate, define and evaluate marketing actions; monitor marketing performance and improve the understanding of marketing as a process. Marketing Research specifies the information required to address these issues; design the method for collecting information. communicate the bindings and their implications. Generally, Marketing Management is mostly interested in obtained the sales potential or each of the Geographic Market it serves to help determine the amount of sales effort that should be allocated to specific market. Market or sales potential must be started for a given period of time Market Potential and sales forecast are not the same thing although the tow are at same time used interchangeable.. Market Potential typically refers to total sales possibilities. Marketing was a far simpler subject. Consumer marketing largely operated on mass marketing principles, and business marketing primarily concerned itself with how to build the best sales force. The Managers implements the data collection process; analysis the results; and

retail landscape was populated with major department stores, regional supermarket food chains, and a very large number of mom-and-pop stores. Most marketing thinking focused on making the sale. In olden days, marketers faced a number of tough decisions. They has to determine product features and quality, establish accompanying services, set the price, determine the distribution channels, decide how much to spend on marketing, and decide how to divide their resources among advertising, sales force and other promotion tools. Todays marketers, of course, face the same tough decisions. But todays market place is enormously more complex. Domestic markets, at one time safe from foreign invaders, are now the happy hunting grounds of giant global corporations as well as global niches specialists. Major strides in technology have considerably shortened time and distance: New products are launched at an astonishing pace and are available worldwide in a short time. everywhere and hungry. In the midst of these changes, busy consumers are changing their ways. To save time, they are shopping with catalogs, the telephone, and the computer. Today consumers can search the internet to find the best price for a car. They can handle most of their banking needs over the phone or by computer. They can buy insurance and carry out financial transactions without working with an agent or broker. Consumers dont even need to visit the supermarket: Using Peapod, Streamline, or Net grocer, they can place orders over the internet and have the groceries delivered to their home. Nor do they need to buy a newspaper to get their news; in fact, they can get a customized version of the Wall Street Journal every morning. Communications media are proliferating. New distribution channels and formats keep appearing. Competitors are

The changes for business buyers are also profound.

Using the

internet, purchasing agents can search for the best vendors and values. General Electric has created the Trading Process Network (TPN) where GE, along with other subscribers to GEs service, can request quotes, negotiate terms, and place orders with global suppliers. customized features. This new world is also characterized by an amazingly rich information environment. Consumer will be able to access objective information on competing brands, including costs, prices, features, and quality, without relying on individual manufactures or retailers. In many cases, they will be able to specify the customized features they want. They will even be able to satisfy the prices they are willing to pay, and wait for the most eager sellers to respond. The result is a dramatic shift of economic power from sellers to buyers. Marketing is more than a company department. It is an orderly and insightful process for thinking about and planning for markets. The process is applicable to more than just goods and services. Anything can be marketed ideas, events, organizations, places, personalities. The process begins with researching the relevant marketplace to understand its dynamics and to identify opportunities to meet existing or latent needs. It involves segmenting the market and selecting those segments that the company can satisfy in a superior way. It involves formulating a broad strategy and refining it into a detailed marketing mix and action plan. It involves carrying out the plan, evaluating the results, and making further improvements. Purchasing agents can go on-line to www.dell.com and order specific computers with

1.2 NEED FOR THE STUDY


Soft drinks are the craze of both young and old in the entire country. These products are mainly thirst quenchers, have gained predominance mainly because of tropical climate conditions. The profit margin being quite large, there has been a sport in product line and also entry of competitors into this industry. These days the manufacturers are in the head on competition with each other so as to corner a major share. Hence the fittest of them is only to survive. The quality, quantity, price, product, and perfect understanding between the company and retailers go along in building of the good image for the products manufactured. As the competition increasing between Pepsi and Coke with very little differentiation in the product promotion strategies it is very important to know about the marketing practices of Pepsi and its competitors. The information about Product, Price, Place and Promotion is very helpful to increase the sales.

1.3 OBJECTIVES OF THE STUDY


To study and analyze the marketing of soft drinks of Pepsi with reference to Pearl Bottling Beverages Pvt. Ltd, Visakhapatnam. To examine customer response towards need for advertisements. To collect the responses of various age groups. To analyze the satisfaction levels of the customers with PEPSI. To understand the factors influencing consumers to buy soft drinks.

1.4 SCOPE OF THE STUDY


The project has been done covering the markets of 4 different age groups. Those are of

AGE BELOW 20 AGE BETWEEN 20-30 AGE BETWEEN 30-40 AGE ABOVE 40

1.5 METHODOLOGY OF THE STUDY


SAMPLING: The sampling unit consists of the various age groups of below 20, age between 20-30, age between 30-40, and age above 40 in Visakhapatnam. The sample consists of 200 and selected randomly was taken for the collection of primary data.

DATA COLLECTION A well designed questionnaire consisting of both open ended and closed ended questions were used. The project involved interaction with the ultimate customers at the outlets. The study has been taken during the months of

July-August 2011. The data so collected was code, tabulated, analyzed and interpreted.

1.6 LIMITATIONS OF THE STUDY

The results and findings of the study are confined only in Visakhapatnam. The research is limited to the sample only and hence the results cannot be generalized.

C H A P T E R II

INDUSTRY PROFILE
Genesis of Indian Soft Drink Market Organization Profile Pepsi Co. Incs. Pepsi Logos and Phrases Profile of Pepsi Foods Pvt. Ltd.,

2.1 GENESIS OF INDIAN SOFT DRINK MARKET


India having a hot climate has always been a place of variety of drinks to cool, off from the hot sunny days. Perhaps this aspect has served as a boom to soft drinks market that made a simple appearance to the middle of hostile people but soon gained as access that has carried over the past five decades which has also seen the ups and downs of this thirst quenching market. With the introduction of liberalization policies, many foreign

multinationals have started business ventures in India. The first attempt to enter India market in the soft drinks market was made by Coke Pure Drinks Pvt. Ltd. Delhi was the first franchise bottles of Coca-Cola. Export Corporation in 1950 with Swadeshi Movement started by Janata Party CCEC was asked to reduce its foreign capital holding 40% and delivers the know how to Indian company. This refused forced CCEC to leave the country in 1977. With the leaning of Coca-Cola the domestic soft drinks market got a lift and is raise to capture the Indian Market with Parle as the main leader, Gold Spot, Thumps-Up, Maaza and Kismat became a house hold name. Its market share grew to 60% in 1991 and it emerged as the market leader. The first challenge to the supremacy of Parle brands came from Pepsi Cola in May 1990. Pepsi that was in India from 1956-61 has left the country, as its products were not found acceptable to the Indian public. Pepsi Company in corporation, the 22 billion worth soft-drinks, snacks and past foods company has finally entered the Indian market. The Punjab Agro Industry Corporation with 36% equity and Tata Group Company Voltas with 24% equity was the promoters of Pepsi which itself has 40%equity. Later Voltas share was acquired by Pepsi leaning only 8% to Punjab Agro Industries. The Pepsi Company has been using Lehar as prefix to each of its brand names. Later it was allowed by the government to drop the prefix. Another challenge to Parle came from Coca-Cola. Thus the Indian soft drink market

was dominated by Pepsi, Parle and Coke in the ensuing days. merged with Parle in the year 1993.

Coca-Cola

SOFT DRINK BRANDS PRESENTLY AVAILABLE: BRAND Pepsi Coke COLA Pepsi CocaCola Clear Lemon 7up Sprite Orange Flavor Mirinda Orange Fanta Cloudy Lemon Mirinda Lemon Limca Maaza Mango Flavor Slice Diet Flavor Diet Pepsi Diet Coke Lehar Soda Kinley Soda Soda

Availability
These soft drinks are available in 200Ml, 300Ml, 500Ml, 1Ltr, 11/2 Ltr, and 2Ltr. And 330 Ml cans

2.2 ORGANISATION PROFILE PEPSI Co.Inc.


Pepsi Co.Inc. is among the most successful consumer products companies in the World, with 1998 revenues of over $22 billion and 1,51,000 employee. The company, Frito-lay company, the world largest manufacturer and distributor of snack, chips and Tropicana products. Inc., the worlds largest marketer and producer in branded juices. Pepsi company brand names are among the best known and most respected in the world. Some of the Pepsi Companys brand names are 100 years old, but the corporation is relatively young. Pepsi company, INC. was founded in the year 1965 through the merger of Pepsi-Cola and Firto lay. Tropicana was acquired in 1998. Pepsi Companys success is the result of superior products, high standards of performance, distinctive competitive strategies and high indignity of its works force. Pepsi Co. Inc., a World Head Quarter is located in New York, approximately 45 minutes from New York City.

2.3 HISTORY OF PEPSI-COLA COMPANY


Pepsi Companys beverages business was founded at the turn of the century by catles Braddham, M.C. druggist who first formulated Pepsi-Cola. Brand Pepsi and other Pepsi cola products including diet Pepsi, Pepsi one, Mountain Dew, Slice and Mug brands account for nearly one third of total soft drink sales in the united states, a consumer market totaling about $56 billion. Outside the United States, Pepsi cola companys soft drinks operations include the business of 7up international. Pepsi cola beverages are available in about 170 countries. Pepsi cola began selling its products internationally in the year 1934 with its operations in Canada. of all soft drinks sold internationally. Spain, Thailand and United Kingdom. Pepsi cola provides advertising, marketing, sales and promotional support to Pepsi-Cola bottlers and food service customers. This included some of the Worlds best and most recognized advertising. existing promotions keep Pepsi-Cola brands New advertising and The company The young. Operations grew rapidly beginning in the 1950s Today Pepsi-Cola products account for about a quarter Key Pepsi-Cola international markets include Argentina, Brazil, China, India, Mexico, Philippines, Saudi Arabia,

manufactures and sells soft drink concentrate to Pepsi-Cola bottlers. company also provides fountain beverages products.

HISTORICAL EVENTS 1900: 1898: Caleb Bradham, a New Bern, North Carolina pharmacist, renames Brads Drink, a carbonated soft drink hes created to serve his drugstores fountain customers. The new name, Pepsi-Cola, is first used on August 28.

1902 Branham applies to the U.S. Patent Office for a trademark for the PepsiCola name. 1903: In keeping with its origin as a pharmacists concoction, Bradhams advertising praises his drink as Exhilarating, invigorating, aids digestion. 1905: A new logo appears the first change from the original in 1898. PepsiColas first bottling franchises are established in Charlotte and Durham, North Carolina. 1906: Pepsi gets another logo change, the third in eight years. The modified script logo is created along with the slogan. The Original Pure Food Drink. There are 15 U.S. Pepsi bottling plants. The Pepsi trademark is registered fin Canada. Syrup sales rise to 38,605 gallons. 1907: The Pepsi trademark is registered in Mexico.

1909: Automobile racing pioneer Barney Old-field become Pepsis first celebrity endorser when he appears in newspaper ads describing Pepsi-Cola as A bully drink-refreshing, invigorating, and a fine bracer for a race. two decades. The theme delicious and healthful appears, and will be used intermittently over the next

1920: Pepsi appeals to consumers with Drink Pepsi Cola. It will satisfy you. The price of sugar on the New York Stock Exchange reaches 26 cents per pound. Bradham gambles on the price going higher and buys large stocks of sugar. By the end of the year, sugar demand slows on the open market and the price drops to a catastrophic low of two cents per pound. 1923: Pepsi-Cola Company is declared bankrupt and its assets are sold to a North Carlona concern, Craven Holding Corporation, for $30000. Roy C. Megargel, a Wall Street Broker, buys the Pepsi trademark, business and goodwill from Craven Holding Corporation for $35000, forming the Pepsi-Cola Corporation. 1934: Pepsi begins selling a 12-ounce bottle for five cents, the same price charged by its competitors for six ounces. 1939: A newspaper cartoon strip, Pepsi and Pete, introduces the theme Twice as much for a nicket to increase consumer awareness of Pepsis value advantage.

1940: Pepsi makes advertising history with the first advertising jingle ever broadcast nationwide. Pepsi-Cola hits the spot/twelve full ounces thats a lot/twice as much for a nickel, too Pepsi-Cola is the drink for you. Nickle will eventually became a hit record and will be translated in 55 languages. CEO Walter Mack adopts the standardized, embossed twelve-ounce bottle, which debuts with the Pepsi-Cola label blown and baked into the glass. A new logo, with more rounded script letters, is adopted. Mack sponsors a nationwide essay contest which ultimately leads to the hiring of Allen McKellar and Jeannette Maund, among the first African Americans hired in a professional capacity by a major U.S. corporation. 1941: In support of Americas war effort, Pepsi changes the color of its bottles crowns to red, white and blue. A Pepsi canteen in Times Square, New York, operates throughout the war, enabling more than a million families to record messages for armed services personnel overseas. 1943: The Twice as Much advertising strategy expands to include the theme Bigger drink, better taste. Pepsi-Cola moves into Latin America. 1947: International profits reach $6,769,000. Pepsi moves into the Philippines and Middle East. 1948: Corporate headquarters moves from Long Island City, New York, to midtown Manhattans.

1949: Why take less when Pepsis best? is added to Twice as Much advertising. Pepsis theme line appeals to Pepsi lovers during hard times with why take less when Pepsis best? Former U.S. Secretary of Commerce, the late Ron Brown, becomes the first African American to appear in a national consumer campaign when Pepsi initiates a campaign targeting the African-American market. 1950: Alfred N. Steele becomes President and Chief Executive Officer of PepsiCola. Mr. Steeles wife, Hollywood movie star Joan Crawford, is instrumental in promoting the companys product line. Pepsi-Colas advertising keeps pace with consumer tastes as Steele Pioneers the promotion Pepsi-Cola as an experience rather than a bargain. The Twice as much for a nickel slogan gives way as mores Bounce to the Ounce takes Pepsi into the energetic decade. 1953: Americans become more weight- conscious and a new strategy based on Pepsis lower caloric content is implementing with The Light Refreshment. 1954: The Light Refreshment evolves to incorporate Refreshing without Filling. 1958: Sometimes referred to as The Kitchen Cola as a consequence of its longtime positioning as a bargain brand, Pepsi now identifies itself with young,

fashionable consumers with Be Sociable, have a Pepsi theme. A distinctive Swirl bottle replaces Pepsis earlier straight-sided bottle. 1959: Soviet Premier Nikita Khrushchev and U.S. Vice President Richard Nixon meet in the soon to be famous Kitchen debate at an international trade fair. The meeting, over Pepsi, is photo-captioned in the U.S. as Khrushchev gets Sociable. 1961: Pepsi further refines its target audience, recognizing the increasing importance of the younger, post-war generation. Now its Pepsi, for those who think young defines youth as a state of minds a chronological age, maintaining the brands appeal to all market segment. Harvey C. Russel joins Pepsi-Cola, coming the first African American named a Vice President in a major U.S. Corporation. 1962: Pepsi receives fits new logo, the sixth in Pepsi history. The serrated bottle cap logo debuts, accompanying the brands grounding breaking Pepsi Generation ad campaign. 1963: In one of the most significant demographic events in commercial history, the post-war baby boom emerges as a social and market place phenomenon. Pepsi recognizes the change, and positions Pepsi as the brand belongings to the new generation-The Pepsi Generation. Generation makes advertising history. Come Alive! Youre in the Pepsi It is the first time a product is

identified, not so much by its attributes, as by its consumers lifestyles.

1964: A new product, Diet Pepsi, is introduced into Pepsi-Cola advertising/ 1965: Expansion outside the soft drink industry begins. Frito-Lay of Dallas, Texas and Pepsi-Cola merge, forming Pepsi Company Inc. Military 12-ounce cans are such a success that full-scale commercial distribution begins. Mountain Dew launches its first campaign, Yahoo Mountain Dew. tackle your innards. 1966: Diet Pepsis first independent campaign, Girl Watchers, focuses on the cosmetic benefits of the low-calorie cola. The Girl watchers musical theme becomes a top 40 hit. Advertising for another new product, Mountain Dew, a regional brand acquired in 1964, airs for the first time, built around the instantly recognizable tag line, Ya-Hoo, Mountain Dew! 1967: When research indicates that consumers place a premium on Pepsis superior taste when chilled, Taste that beats the others cold. Pepsi pours it on emphasizes Pepsis product superiority. in the initial Pepsi Generation campaign. 1969: Youve got a lot to live. Pepsis got a lot to give marks a shift in Pepsi Generation advertising strategy. Youth and lifestyle are still the campaigns driving forces, but with Live/Give, a new awareness and a reflection of The campaign, while productoriented, adheres closely to the energetic, youthful lifestyle imagery established It will

contemporary events and mood become integral parts of the advertisings texture.

1972: Preliminary trade agreement is signed between the U.S.S.R. and Pepsi Company Inc. 1973: join the Pepsi people, feeling free captures the mood of a nation involved in massive social and political change. It pictures us the way we are one people, but many personalities. Pepsi receives its new logo, the seventh in Pepsi history. The logo evolves into a boxed look with minor typeface changes occurring throughout the next decade. The third Mountain Dew Slogan, Put a Little Ya-Hoo in Your Life, debuts. 1974: First Pepsi plant opens in the U.S.S.R. Television ads introduce the new theme line, Hello, Sunshine, Hello and Mountain Dew. 1975: The Pepsi Challenge, landmark marketing, convinces millions of consumers that Pepsis taste is superior. Pepsi Light, with a distinctive lemon taste, introduce and alternative to traditional Diet Colas. The two-liter Plastisheield bottle is introduced.

1976: Have a Pepsi day is the Pepsi Generations upbeat reflection of an Improving national mood. commercial classic. Puppies, a 30 second snapsot of encounter between a very small boy and some even smaller puppies, becomes an instant

1979: With the end of the 70s comes the end of a national malaise. Patriotism has been restored by an exuberant celebration of the U.S. bicentennial, and Americans are looking to the future with renewed optimism. Catch that Pepsi sprit! catches the mood and the Pepsi Generation carries it forward into the 80s. 1982: With all the evidence showing that Pepsis taste is superior, the only question remaining is how to add that message to Pepsi Generation advertising. The answer? Pepsis got your taste for life! a triumphant celebration of great times and great taste. 1983: The soft drink market grows more competitive, but for Pepsi drinkers, the battle is won. The time is right and so is their soft drink. Its got to be Pepsi Now! 1984: A new generation has emerged in the United States, around the world and in Pepsi advertising, too. Pepsi, The Choice of a New Generation announces the change, and the most popular entertainer of the time, Michael

Jackson, stars in the first two commercials of the new campaign. The two spot quickly become the most eagerly awaited advertising of all time. Lemon lime Slice, the first major soft drink with real fruit juice, is introduced, created a new soft drink category, juice added. In a subsequent line of extensions, Mandarin Orange Slice goes on to become the number-one orange soft drink in the U.S. Diet Pepsi is reformulated with Nutra Sweet (aspartame) brand sweetener.

1985: Lionel Ritchie leads a star-studded parade into New Generation advertising followed by pop music icons Tina Turner and Gloria Estefan. Sports heroes Joe Montana and Dan Marino are part of it, as are film and television starts Teri Garr and Billy Crystal. Geraldine Ferraro, the first woman nominated to be vice president of U.S., starts in a Diet Pepsi spot. And the irrepressible Michael J. Fox brings a special talent style and spirit to a series of Pepsi and Pepsi Commercials, including a classic, Apartment 10g. By the end of the year, the New Generation campaign earns more than 58 major advertising and film-related awards Pepsis campaign featuring Ritchie is the most remembered in the country, according to consumer preference polls. 1986: 7up international is acquired in Canada. Dew It Country Cool becomes the new slogan for Mountain Dew. Pepsi broadens Mountain Dew popularity with the introduction of Diet Mountain

Dew.

Mountain Dew is the sixth-largest brand in the industry, supporting

double-digit growth annually for the past eight years. 1987: After an absence 27years, Pepsi returns to the Times of Square, New York, with a Spectacular 850-Sq.ft. electronic display billboard declaring Pepsi to be Americas Choice. 1988: Michael Jackson returns to New Generation advertising to star in a four-part episodic commercial name Chase. watched commercial in advertising history. 1990: Teen stars Fred Savage and Kirk Cameron join the New Generation campaign and football legend Joe Montana returns in a spot challenging other celebrities to taste-test their colas against Pepsi. the right One Baby, Uh-Huh. Craig E. Weather up is name CEO of Pepsi-Cola North America, as Canada becomes part of the companys North American Operations. Pepsi-Cola unveils its new logo, the eighth in 93 years. To foster the Music legend Ray Charles teams up with Uh-Huh Girls. The slogan for Diet Pepsi is modified to You got Chase airs during the Grammy Awards program and is immediately hailed by the media as the most-

earlier scripted logos sense of movement, Pepsi, now in italic capital typeface, is removed from a smaller blue and red Pepsi swirl and runs vertically up the package. The Pepsi School Challenge wins the U.S. Department of Labor LIFT Award for its efforts to improve education and academic achievement of students preparing for the workforce of tomorrow.

1991: you got the right one baby is modified to you got the right one baby, uh-huh! way. Supermodel Cindy Crawford stars in an award-winning commercial made to introduce Pepsis updated logo and package graphics. The Uh-Huh girls join Ray Charles as backup singers and a campaign soon to become the most popular advertising in America is on its

1992: Celebrities join consumers, declaring that they Gotta have it. The

interim campaign supplants Choice of a new generation as work proceeds on new Pepsi advertising for the 90s. Mountain Dew growth continues, supported by the antics of an outrageous new Dew Crew whose claim to fame is that, except for the unique great taste of Dew, theyve Been there, done that, tried that. Pepsi-Cola Company implements the Right Side Up Philosophy, where the customer and frontline employees are at the top of the organization. Publisher Earl Graves and basketball superstar Earvin Magic Johnson are appointed Pepsi-Cola franchisees for the Washington, D.C.market. Their new company quickly becomes one of the largest African American-run companies in the U.S. 1993: Be young, have fun, drink Pepsi advertising starring basketball superstar Shaquille ONeal is rated as best in U.S.

1994: New advertising introducing Diet Pepsis freshness dating initiative features Pepsi CEO Craig Weather up explaining the relationship between freshness and superior taste to consumers. 1995: In a new campaign, the company declares Nothing else is a Pepsi and takes top honors in the years national advertising championship. Starbucks and Pepsi team up with the North American Coffee Partnership and launch Maaza gran, a carbonated coffee drink. Pepsi enters the dairy beverage category with Smooth Moos Smoothies.

1996: In February of this year, Pepsi makes history once again by launching one of the most ambitious entertainment sites on the World Wide Web. Pepsi world eventually surpasses all expectations, and becomes one of the most launched and copied sites in this new medium, firmly establishing Pepsis presence on the Internet. 1997: In the early part of the year, Pepsi pushes into a new era with the unveiling of the Generation next campaign. Generation next is about everything that is young and fresh, a celebration of the creative spirit. It is about the kind of attitude that challenges the norm with new ideas, at every step of the way.

1998: Pepsi continues its popular Generation Next campaign with spots that include: Goose, Gnat and Stunt Driver(featuring racing superstar Jeff Gordon). In 1998 Pepsi launches its new look, called Globe which prominently features a stylized, three-dimensional Pepsi globe set against a blue ice backdrop. It affects a ll can, bottle and multi can packaging for Pepsi, Diet Pepsi, Caffeine Freen Pepsi and Caffeine Free Diet Pepsi. 1999: The Joy of Cola new advertising campaign for Brand Pepsi features the voice of actors Marlon Brando, Isaac Hayes and Queen of Soul Aretha Franklin. The spots also feature child actress Hallie Eisenberg as the Little Girl. Pepsi and Lucas film team up again a star Wars: Episode I The Phantom Menace hits movie theatres. Consumer excitement surrounding the long awaited return of the Star Wars series is heightened as special Pepsi bottles and cans offer 24 different Star Wars characters. The collection series includes a gold Yoda can. Pepsi recruits its first spokes alien Marfa lump to star in its commercials supporting the campaign. Marfa lump, which was created by BBDO and George Lucas Industrial Light and magic Company, has two great passions: Pepsi and Star Wars. The spots, titled Landing and Play Acting, illustrate the great lengths the young alien will to enjoy both of his passions. Pepsi-Cola North America Welcomes Gary Rodkin as President and CEO. In a dramatic restructuring of the business, Pepsi announces one of the largest IPOs in history. On march 31, 1999, The Pepsi Bottling Group, The new look replaces Inc.(PBG) becomes a publicly traded company and Pepsis largest bottler. PBG is headed by President and CEO Craig Weather up.

Pepsis current pedestal logo with a new brand identity that also more prominently features the Pepsi Globe against a blue background. Pepsi celebrated its centennial year with a birthday party that is attended by Pepsi-Cola bottlers from all over the world. Joining the festivities are Pepsi stars and friends including Ray Charles, Kool and the Gang and the Rolling Stones. President and Mrs. George Bush, Lady Thatcher and Walter Cronkite Also help to commemorate the occasion where Pepsis legacy is honored and a new look for the millennium is unveiled. The three dimensional globe against an ice blue back ground becomes the universal symbol for one Pepsi family poised for innovation and world leadership as it enters the new century. 2000: Fatih Hill, Sammy Soya and Ken Griffey Jr. three of the hottest names in entertainment signed new deals to endorse Pepsi-Cola products. a new Joy of Cola ad with Pepsi Girl Hallie Eisenberg. The ad debuted during the March 26 Academy Awards broadcast. Major League Baseball All Stars Sammy Sosa and Ken Griffey Jr. also stepped up to bat in new Pepsi Commercials. In addition to the ads, each slugger was being involved in Pepsis taking it to the Fields youth baseball and softball programs, as well as appeared on in store promotional materials for the brands. From Boston to San Francisco and everywhere in between, consumers cola choice is clear. In more than 30 markets currently conducting the Pepsi Challenge, the tastes of Pepsi and Pepsi one are preferred over Coke products in every market, especially in Philadelphia, Dayton, Tucson, San Antonio and Seattle. In a cross promotion designed to further engage youth in our products, consumers who take Pepsi Challenge receive starter Points for this summers Choose Your Music program. Participants can also have their Singing sensation Faith Hill, who has rocked the charts with her top 10 hits, stared in

photos taken and posted online at www.pepsi.com, driving traffic to and awareness of Pepsis Internet site. 2001: Pop superstar Britney Spears appears in her first Pepsi commercial during the 2001 Academy Awards. Joy of Pepsi. Pepsi Stuff.com lets consumers redeem points from specially marked packages of Pepsi products for more than a half-million cool prizes and proves to be Pepsis most popular online promotion ever. Colombian the U.S. singing sensation Shakira stars in a series of new The high-energy spot also runs online, where more than 2 million fans click their way to Britneys own version of The

commercials for Pepsi just as her debut English-Language album hits stores in at the same time, Pepsi agrees to sponsor the Latin Pop Stars worldwide concert tour. Pepsi unveils its Fun Wraps Factory, letting consumers personalize Pepsi cans with fun designs and unique messages. With a wide variety of sports, entertainment and holiday images to choose from, Pepsi drinkers begin creating their own can labels for just about any occasion. Pepsi puts a little twist on a great thing, introducing lemon-flavored Pepsi Twist and Diet Pepsi Twist. 1980s. The company teamed up with George Lucass reintroduction of Star-wars at the big screen during the summer of 1999. Twenty-four characters from the Star Wars series were introduced as artwork on the cans over the summer, creating an emphasis for a collectible set. This created huge market saturation for awareness of the movie as momentum built up. Its current as of 2004) The product launch marks the return to lemon flavored colas for Pepsi, which distributed Pepsi Light until the mid-

slogan is Ask for more Pepsi has also changed the labels on all Pepsis sold in Texas (where it is the third most popular soft drink, behind Dr.Pepper), renaming the drink Pepsi Si, in a move hoping to attract a larger Latino demographic (which largely drinks Coke), in aims that they might say yes to Pepsi. 2006: Indra Krishnamurthy Nooyi has been the chief executive of PepsiCo since 2006, and the company employed approximately 285,000 people worldwide as of 2010. The companys beverage distribution and bottling is conducted by PepsiCo as well as by licensed bottlers in certain regions. PepsiCo is a SIC 2080 (beverage) company

2009: As of 2009, 19 of PepsiCo's product lines generated retail sales of more than $1 billion each, and the companys products were distributed across more than 200 countries, resulting in annual net revenues of $43.3 billion. Based on net revenue, PepsiCo is the second largest food & beverage business in the world. Within North America, PepsiCo is ranked (by net revenue) as the largest food and beverage business. 2010: PepsiCo also has formed partnerships with several beverage brands it does not own, in order to distribute these or market them with its own brands.[1] As of 2010, its partnerships include: Starbucks (Frappuccino, DoubleShot and Iced Coffee), Unilevers Lipton brand (Lipton Brisk and Lipton Iced Tea), and Dole (licensed juices and drinks.

2.4 Pepsi Logos


The Pepsi logo has changed many times over the years. chronological history of the various logos. Heres

2.4.1 Pepsi Phrases


The Pepsi marketing phrase has also changed many times. The marketing folks at the company felt free to invent new phrases whenever they thought the public would be receptive to change.

1909-1939: 1939-1950: 1950-1953: 1953-1961: 1961-1963: 1963-1967: 1967-1969: 1969-1973: 1973-1975: 1975-1978: 1978-1981: 1981-1982: 1982-1983: 1984 1985 : :

Delicious And Healthful Twice As Much For A Nickel Too The Light Refreshment Be Sociable Now Its Pepsi For Those Who Think Young Come Aline! Youre In The Pepsi Generation Taste That Beats The Others Cold Youve Got A Lot To Live, Pepsis Got A Lot To Give Join The Pepsi People Feeling Free Have A Pepsi Day Catch That Pepsi Spirit Pepsis Got Your Taste For Life! Pepsi Now! Pepsi, The Choice Of A New Generation Taste the difference Generation Next Join the Pepsi generation: feel the taste

1986-1988:

1989-1991: 1992-1993: 1993-1995: 1995-1996: 1997 1998 1999 : : :

A Generation Ahead Gotta Have It Be Young, Have Fun, Drink Pepsi Nothing Else is a Pepsi Generation Next Same Great Taste The Joy of Cola The Joy of Pepsi Pepsi. Its the Cola Yeh Pyas Hai Badi (Hindi meaning This thirst is too much) An ice cold Pepsi. Its better than sex! Why You Doggin Me/Taste the one thats forever young More Happy/Taste the once thats forever young Yeh hai Youngistaan Meri Jaan! Hindi meaning This is the

2000-2002: 2003 :

2003-2005: 2005-2006: 2006-2007: 2007-2008: 2008 :

Young era my dear (India and Pakistan) 2009 : Refresh everything and (during many commercials) Every

Generation Refreshes The World

2.5 Scenario of Soft drinks industry in India: This year the season started off early with Pepsi and Coca-Cola introducing diet cans for the first time in India. By buying over local competition, the two American Cola giants have cleared up the arena and are backing all their power behind the Indian franchisees of their globe girdling brands. They are vying with each other to capture the market by increasing the capital base in the country. If Pepsi will be investing Rs.300 crores, coke will be pumping in eight times as much Rs.2400 crores. The total investment is a size and scale that the Rs.1800 crores soft drinks business has never been before. Both players see an enormous potential in this country, where swigging carbonated beverages is still considered a treat, virtually a luxury. The soft drink industry in India has annual sales exceeding Rs.12,000 crores and most of the bottling companies have been doing flourishing business. In the past five years all the bottling companies are grown and expanded their activities in the market and by placing more and more of their soft drink cases in the market and by improving refrigeration, supply of electric bottle coolers, etc., to the retailers. Rapid changes in beverages packaging, taste and concentration is changing the industry into a dynamic one liking for non-conventional foods and beverages there is good possibility that percapita, consumption will go up. Soft drinks somemainly in three flavors: Cola, Lemon and Orange. According to estimates, cola dominated the market with 40% market share. Lemon flavored drinks come secod with 30% market share and orange flavored drinks third with a 20% market share. Other flavors account the the rest of the market. Also, the Government of India considers soft drinks as nonessential commodity. Thus, heavy excise duty is levied on bottled soft drink. In a country like India where more than 70% of the poulation exists below the poverty line, the trading activities of soft drinks industry is

concentrated in and around big and cities where the purchasingpower of people is considered to be comparatively high. Consequently, by World standard, Indias per capital consumption of these servings is rock bottom, less even than our neighbours Pakistan and Bangladesh. Country India Pakistan Bangladesh Per capital 1990 3.7 13.0 7.0 Intake (Bottles) 1993 5.3 30.3 11.0

PER CAPITAL 1990


India Pakistan Bangladesh 16%

29%

55%

In take (Bottles) 1993


India Pakistan Bangladesh 11%

24%

65%

Source: Indian Express, June 18,1993

The low consumption of soft drinks in India may be attributed to the fact the prices of soft drinks are inflated due to high excise duties and taxes. A bottler must pay as much as 37% of price per case as excise duty, sales and turnover tax. A further 10% goes into expenditure on local advertising and distribution and transportation cost take care of another sales promotion .

10% raw material costs, concentrate sugar, citric acid, bottle costs, etc., eat off another 13%. Production costs in terms of fuel, power maintenance and labour accounts for another 14%. This leaves the bottlers a margin of a 14% and 4% of this would go into over-heads and interest charges, trimming down the margin to shrimphy 4%-5%. Since the retail price of a bottle of a 200ml. soft drink ranges between Rs.5 to 6, 300ml soft drink ranges between Rs.9 to 10. A bottling operation is variable only with large volumes. However the cola giants feel that per capita consumption can only go up and up. As incomes, so do lifestyles, a pattern they have seen in many of the 195 countries they sell their universal products in. The fizzy drinks industry longs in a 10% growth on an average with estimated sales of 140 million cases (one case 24 bottles on 300ml each). There are heady growth figures the industry was both surprise by and unprepared for. Bottles are disappearing from the shelves faster then they can be replaced. In peak season, they found themselves short of capacity. Even though they were working three shifts a day that is round the clock production. They had to turn around their trucks faster to satisfy the great Indian thirst. Industry sources put down the main reason for growth as high competitive activity. Certainly, until Coca-Cola entered the scene, the business was growing at a fairly pace of 5%. The increase in the number of cases reflects higher demand, but does not quite accurately measure the fact that so many more liters of the fizzy stuff is being sold, but bottles sizes too been appeared from 250ml to 300ml. with growth rate zooming into double digits,

bottlers have been propelled into expanding capacities.

With their big time

pans, the MNC s have changed the face of this business, long dominated by small time business men. The Cola makers with their ambitious targets and in order to reach them have to build capacity, infrastructure and also make their bottles more available and affordable. There are 3,00,000 retailers stocking soft drinks in India. Also soft drinks which retail anywhere between Rs.9/and Rs10/- is expensive when measured against purchasing power. According to our study, it takes an India 1.5 hours of work to be able buy a bottle, in other countries the norm being only 5minutes. As the soft drink manufacture concur their strategies, keeping an eye on each other, the clear winner of the soft drinks is so fat the consumer. Modern Manufactures: The Delhi based public sector under taking launched cola drink under brand name of 77(Double Seven) in 1977. It has launched Orange and Lemon flavours.

2.6 Pepsi Foods Pvt. Ltd.


Pepsi, which was in India from 1956-61, had left this country as its products were not acceptable to the Indian Public. But in 1990 it entered the Indian market in collaboration with Punjab Agro Industries Corporation (PAIC) and Voltas. Pepsi produces Cola, Mango, Orange, Clear Lemon and Cloudy Lemon flavours under the brand names of Lehar Pepsi. Slice, Mirinda, Lehar 7up and teem respectively. Recently, Pepsi Company has acquired the Dukes Company of Bombay.

Cadbury Schweppes: Schweppes has launched 3 brands in (1995) four months and in Delhi, their Orange Crush has picked up a 30% market share against Cokes Fanta, Pepsi and Mirinda. The other two brands at Canada Bry and Schweppes Tonic water Sunkist. This British beverage gains also has stake in Dr.Peppers.

C H A P T E R III

COMPANY PROFILE

Organization Structure & Management of K.M.B.C. Marketing Aspects of K.M.B.C. Sales Promotion Product Profile

Place or Distribution

3.1 profile of Krishna Mohan Beverages Corporation Limited:


Krishna Mohan Beverages Limited (K.M.B.C) was incorporated in 1982 at madhurawada in Visakhapatnam district of Andhra Pradesh for the purpose of manufacturing soft drinks. The company had started commercial production of Campa-Cola products. It produces Cola, Orange and Lemon flavors under the brand names of Thrill, Rush and Spirit. It also produced McDowell Soda Bagpiper Soda. It produces these drinks under franchise agreements, but the company could not exist in the market due to stiff competition from Parle products. In February, 1992 the company signed to manufacture and market Pepsi product under franchise agreements. Franchise is contract which gives to company the right to do the business under the name and image principles. According to this agreement, K.M.B.C. has been giants consent. To manufacture soft drinks using the concentrate supplied by Pepsi foods. To sell the soft drinks at prices fixed by Pepsi. To advertise and market within specified areas for Pepsi products.

From April 23rd, K.M.B.C. started distributing the stocks received from Cuttack Plant, Commercial production in K.M.B.C. from June 1992 onwards. Initially four brands viz. Pepsi, 7-up, Mirinda and E.V.Soda were bottled and distributed where as Slice was supplied by Cuttack plant. In May 1993, a cloudy lemon flavor called Teem was introduced which was not very well received by consumers because of the well established Limca. In April 1998, a new cloudy lemon flavor Mirinda Lemon was introduced after discontinuing Teem.

3.1.1 Plant Capacity


The company installed latest up to date automatic plant confirming to plant lay-out. The capacity of the plant is 24000 bottles per hour i.e., at the speed on the 400B.P.M implying 400 bottles per minute. In the months from March to June, the plant is used to its full capacity by running their shifts every day. Each shift consists of 8 hours. So, during the summer season the plant is run round the clock, i.e. 24 hours. This is because the demand reaches its peak in these summer months. The company has to produce enough bottles of soft drinks at a speed to keep in pace with the disappearance of soft drinks form the shelves of the retailers.

3.1.2 Production Schedule


The production schedule is fixed by taking into consideration the present or current market demand, the availability of empty bottles and also the inventory position of filled bottles of different flavors. The production schedule for each brand is fixed daily, filling the bottles of each brand and flavor. This has an advantage in that the branded products can be manufactured one at a time. The glass bottles used for filling the soft drinks are of the volumes of containing 300ml of soft drinks. There are also bottles of 500ml capacities to be filled soft drinks.

3.1.3. Quality Control


K.M.B.C. takes great care to maintain the quality control of the products in their factory. The bottles are visually examined for impurities continuously, as the bottles move out. Samples are checked every ten minutes of production time by the chemist for its quality and hygiene condition. The chemical

analysis is also made for flavors, gas content and sugar percentages. The appearance, smell and taste of the products are also checked. If any defects are noticed, the production is suspended and the connecting measures are taken so as to set right the bottling process irregularities, further samples from each batch are dispatched to the affiliated parent agency company in each week for quality checkup. Moreover, agency of the company also lifts sample form the market at random for quality checkup at any to make sure that the quality is maintained to the exact standard of the parent company. At the end of the production schedule, daily all the equipment, plant floor and wet patches are cleaned with bleaching power of some other solution, the standards of hygiene maintained inside the production shops are commendable.

3.1.4 Syrup Making


In this process the syrup of a particular is prepared by heating sugar with activated carbon power and filter aid (Hyflocessuper cell) in treatment tank for a specified time and up to a particular temperature. During the treatment most of the color, odour and some organic impurities are removed from sugar syrup. This treated syrup then passes through filter press, fitted with filter papers and heat exchangers and clear syrup is collected in the syrup making tank, the essence of particular product will be added for which a required amount of sugar is taken for treatment. Sugar syrup and essence are mixed in the tank with the help of mechanical stirrer and eventually the flavor syrup is ready to be used in the end use product.

3.1.5 Water Treatment


This is the second in the soft drink, which comprises up to 90% of the quality. Hence, the quality of water is of great significance to the soft drinks manufacturer. Hence, water is brought to treatment tank and then water treatment chemicals such as hydrated lime, bleaching power and ferrous sulphate are added to the tank and mixed thoroughly with the help of mechanical stirrer.

The reasons for water treatment are: It removes hardness and converts the water into soft water. It frees the water from micro organisms. Reduces the alkalinity to a required level. Removes suspended matter in water.

This treated water passes through the specially designed filtration plant containing chemical such as activated carbon (granular) and finally the manufacturer will get the water suitable for soft drink bottling. For maintaining equipments in hygiene conditions soda bicarbonate is used.

3.1.6 Bottling
In this process both the concentrate and the purified water are mixed together along with carbon-di-oxide gas and then bottled. In soft drinks field, only re-usable glass bottles sparking clean and they are sterilized before the beverage is filled. For this purpose, the company makes use of machine caustic soda and tri-sodium phosphate is used.

In the bottle washing system, in one end of washer the dirty bottles are fed and the bottles are washed automatically while passing through various designed chambers containing chemical solutions at different temperatures after sterilization are collected at the other end of the washer. They are then sending towards Filler on conveyor belts. Before the beverage reached the filling machine it is saturated with carbon-di-oxide gas in carbonated after being chilled. This carbon-di-oxide gas gives Fizz to the soft drinks and alongside prolongs ;the shelf life of the products. The bottles then are moves on the conveyor belts to the filling machines where the beverage is filled under pressure and bottles are sent to the crowner where sealing is done with the help of crowns. The crowns are used to retain the carbonation, flavors as well as to protect the products from spoilage and contamination.

3.1.7 Crating:
The bottles collected from conveyor belts are placed manually into plastic crakes. Each plastic case has capacity of 24 bottles. These crakes protect the bottles from breakage and for easy handling of bottles. These crakes are put on specially designed vans for easy handling of bottles. These crakes are put on specially designed vans for carrying bottles and are sent to various consumption points.

3.2 ORGANISATION STRUCTURE AND MANAGEMENT OF K.M.B.C LTD


The word Organization has two meanings. In the first instance, it signifies an institution or functional group and the second meaning refers to the process of organizing the way of work which is arranged and allocated among the members of the organizations, so that the goal of the organization can be achieved efficiently. The organization process involved the balancing of the companys needs on one hand changes on the other hand. Organization structure gives stability and reliability to the actions of its members. Organizations structures can be defined as the relationship existing among the various jobs and position within an organization. An organization structure specifies its divisions of works activities and shows how different functions or activities are linked.

The following table shows the description of the employees along with the designations and also the number of employees.

Number of S.NO 1 2 3 4 5 6 7 8 9 10 11 Designation Manager Supervisors Clerks Operators Lab Operators Electricians Filters Typist cum Telephone Operator Security Guards Office Boy Sweepers / Helpers 6 1 3 Employees 5 8 8 10 2 3 2 1

Organization Chart of K.M.B.C.:

Managing Director

Factor Manager

Executive Manager

Finance Manager

General Manager (Sales & Marketing)

Sales Manager

Sales Supervisor (Direct Market)

Sales Supervisor (Direct Market)

Driver cum Salesmen

Driver cum Salesmen

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3.3 Marketing aspects of Krishna Mohan Beverages construction ltd. 3.3.1 Product
The product being offered by K.M.B.C. is a soft drink in six flavours namely cola, lemon clear, lemon cloudy, Orange, Mango and Soda. Except for slice K.M.B.C. has bottling facilities for other brands.

3.3.2 Price
A 200ml bottle soft drink are priced at 6 rupees while 300ml bottle soft drink and 300ml of foutain pepsi are priced at Rs. 8.00 while a 500ml costs Rs.18/- and 1 litre at Rs.23/-, 1.5 litres at Rs.38/-, 2litres Rs.43/- where the consumer can take the bottle along with the drink.

3.3.3 Promotion
As sales promotion, the company has painted pan shops with the pepsi logo, put up glow sign boards and bill boards at important junctions, pop advertising material like stickers, danglers and gifts for consumers. It has also provided special refrigerators to exclusive pepsi retail outlets known as VISI Coolers.

3.3.4 Packaging
Soft drinks of different flavours are available in bottles of 200ml, 300ml, 500ml, 1 litres, and 2 litres. In addition it has installed nearly 80 dispensers throughout the city.

3.3.5 Percentage of Flavour Movement in Market


Cola Orange Cloudy Lemon Clear Lemon Mango 46.65% 19.45% 12.44% 12.22% 9.22%

Percentage of Flavor Movement in Market


Mango 9% Clear Lemon 12% cola 47% Cloudy Lemon 12%

Orange 20%

During the survey it was found that the knowledge about the schemes provdided by the company to the account is less. Some outlets dont know about the schemes itself.

The explosive growth of global trade and international competition lead to globalization which is the result of technological change. This decade has witnessed remarkable advances in the availability of information and the speed of communication. Both globalization and technological changes open up many new opportunities. Opportunities in Market place offer good marketing. Market success goes to those companies which matched to the current environment imperatives. Todays markets are changing at an incredible pace these changes are throwing companies into a state of confusion regarding strategy. To protect their profits, companies have primarily responded by cutting those costs, reengineering their process and downsizing their work forces. Yet even companies that succeeded in cutting their costs may fail to increase their revenue if they lack marketing vision and marketing knowhow. Marketing is said to be an orderly and insightful process for thinking about and planning for markets. The marketing process starts with researching the market place and involves supplementing the market, choosing the target market. The company must formulate a broad strategy and define a specific marketing and action plan to optimize its long-run performance.

Survival:
Maximum current profit Maximum current revenue Maximum sales growth Maximum market skimming or Product quality leadership.

3.3.6 Pricing Policy Six Step Procedure:


Selecting price objectives. (What it wants to accomplish with its product offer). Estimating demand curve Estimating how costs vary Examines competitors costs, price and offers. Selecting a pricing method. Select the final price (taking into a psychological pricing and other marketing elements into consideration). Companies usually do not set a single price but rather a pricing structure that reflects variations in geographical demand an costs, market segment requirements, purchase timing, order levels, delivery frequency, guarantees, service contracts and other factors. As a result of discounts, allowances and promotional support, a company rarely realizes the same profit from each unit of product that it sells.

3.4 Sales Promotion:


Sales promotion, a key ingredient in marketing campaigns, consist of a diverse collection of incentive tools, mostly short term, designed to stimulate quicker or greater purchase of particular products or services by consumers or the trade. Whereas advertising offers a reason to buy, sales promotion offers an intensive to buy sales promotion includes tools for consumer promotion (samples, coupons, cash refund, offers, prices, premiums, prizes, patronage rewards, free trails, warranties, tie-in-promotions, cross promotions, points of purchase displays, and demonstrations); Trade promotion (price off advertising and display allowances, and free goods) and punishes and sales force promotion (trade shows and conventions, contests for sales reps and specialty advertising). Sellers use incentive type promotions to attract new tiers, to reward loyal customers, and to increase the repurchase rates of occasional users. Sales promotions often attract brand switches, who are primarily looking for low price, good value or premiums.

3.4.1 Public Relation:


Not only must the company relate constructively to customers, suppliers, and dealers, but it must also relate to a large no. of interested publics. A public is any group that has an actual or potential interest in or impact on a company is ability to achieve its objects.

3.4.2 Direct Marketing:


Direct marketing is the use of consumer direct (CD) channels to reach and deliver goods and services to customers without using marketing middlemen. Direct marketing is one of the fastest growing avenues for serving customers. Direct marketers seek a measurable response, typically a customer order. This is sometimes called direct order marketing. Today many direct marketers use direct marketing to build a long-term relationship with the customer. Each promotional mode has its own unique characteristics and costs. One must also consider the type of product market in which they are selling, whether to use a push or a pull strategy how ready consumers are to make a purchase, the products stage in the product life cycle and the companys market rank. Measuring the promotional mixs effectiveness involves asking the target audience whether they recognize or recall the message and their previous and current attitudes towards the product and company.

3.4.3 Place:
This is known as channel mgt. channel is the route constructed from the producer to the consumer. Most producers do not sell their goods directly to the final users. Between producers and the final users stands a marketing channel a post of marketing intermediaries. The companys chosen channels intentional affect all the other marketing decisions. The companys channel decisions involve relatively long-term commitments to other firms. Marketing channels are sets of inter dependent organizations involved in the process of making a product or service available for use of consumption. Companies we intermediaries when the direct market is not feasible. The most

important functions performed by intermediaries are information, promotions negotiation, ordering, financing risk taking, physical possession, payment and title. The company has to decide whether to distribute its product exclusively, selectively or intensively and it must clearly spell out other terms and responsibilities of each channel member channel may be direct selling or use one, two or three level channels. Effective channel management calls for selecting and motivating them. The goal is to build a long term partnership that will profitable for all channel members.

3.5 Product Profile


The products manufactured by PEAL BOTTLING PVT LTD are very limited in the range as it is not independent to diversify its products when required. This is because it is a unit of Pepsi Food Pvt. Limited, which supplies the concentrates for different brands of soft drinks.

Pepsi
It is the leading and most selling brand of the company. It contains cola flavor and committing with coca cola and thumbs up.

Composition:
Sugar Cal/100ml Caf/(PPM) PH Lead 11% 44% 11% 2.4% 0.1%

Mirinda orange:
It is the second most selling brand of the company; it contains orange flavor and competing with Fanta its segment.

Composition:
Sugar Cal/100ml Caf/(PPM) PH Lead 14% 56% nil 2.8% 0.1%

Mirinda lemon
It is the third most selling brand of the company it contains cloudy lemon flavor and competing with Limca in its segment.

Composition:
Sugar Cal/100ml Caf/(PPM) PH Lead 12% 48% nil 2.5% nil

7up:
It is another brand of company which contain pure lemon flavor and compitating with Spirit in its segment.

Composition:
Sugar Cal/100ml CAF/(PPM) PH Lead 13% 52% nil 3.3% nil

Slice:
It is also a well selling brand of the company, which contain pure mango flavor. It is competing with maza in its segment; it does not contain any carbonates.

Soda everess:
It is pure soda produced by the same company competiting with cocacola kinely.

Price:
The prices offered to the consumers are as follows. Quantity (for all products) 200ml 250ml (for soda) 300ml 500ml 1 lt (Aquafina only) 1.5 lt 2lt (for Aquafina only) Price (Rs) 7/7/9/18/12/40/45/18/-

The price offered to the retailers is 18% to 20% less on MRP, depending on their contribution. The price offered to the distribution is 25% to 27% less on MRP, depending on their contribution.

3.6 Place or distribution:


Pearl Beverages Ltd. Covers the 5 districts of the territory through 172 distributors appointed at various locations for secondary distribution, pearl beverages reach the 10,000 outlets of Visakhapatnam city through its 4 dealers. Each dealer is assigned a specific area, which is further divided into routed. Each route is assigned to a driver cum sales man. Each dealer is given a target, which in turn is given to sales man depending upon the potential of his route. Visakhapatnam is divided into 4 zones and four distributors service these zones. 1. SAI ASWINI Enterprise. 2. COOL AND COOL Distributors. 3. GAURI Agencies. 4. SRI SAI KRINSHNA Agencies. The total outlets covered by the plant are put to around 32,000 in the five districts. Visakhapatnam city contributes to 10,000 outlets. In Rajahmundry there are 2000 outlets.

1.6.1 Advertising:
Advertising is any paid form of non personal presentation and promotion of ideas, goods or services by an identified sponsor. The advertsing departments job isto propose a budget, develop advertising strategy, approve as and campaigns and handle direct mail advertising, dealer displays and other forms of advertising. Advertising agencies need to redefine themselves as communication companies and assist clients in improving their overall communication effectiveness. In developing a program, marketing managers must always start by identifying the target market andbuyer motives. Ms Mission Money Message Media Measurement : What are the advertising objectives? : How much can be Spent? : What message should be spent? : What media should be used? : How should the results be evaluated? Then can make the five major decisions in developing an advertsing program, known as The Five

The main motive behind the purpose of advertisement of the bottles of PEPSI is to maintain the brand loyalty through recalling the memory of the users soft drinks as to attract the potential consumer who consumes a soft drink on the spur of the movement. All the bottles of India has to advertise the Product Pepsi, 7up, Mirinda, Orange, Mirinda Lemon, Slice, Pepsi lemon and team as per the norms and guidance of the Pepsi Co.Pvt. Ltd of India. On the national basis of Pepsi Co. Pvt. Ltd does the advertisement on extensive basis using a number of media,

the media extensively used are newspapers, short adds films, Radio, TV and now INTERNET also. The main slogan use by PEPSI Cola Product is Yeh Dil Mange More a haa. The main modelers in this advertisement are the best actor Sharukh Khan, Karina Kapoor and Adnam Sami. The PEPSI CO. also used Cinema Slides, Cutouts, Banners, Tangulars, Stickers, Wall Paintings, Glow Sign Boards. Visi coolers, Fridge, Fridge have been a major part of the company.

C H A P T E R IV

THEORETICAL FRAME WORK

Customer Satisfaction Objectives

4.1 Customer Satisfaction:

Today companies are facing their toughest competition. Even companies can outdo their competition if they can move from a product and sales philosophy to a marketing philosophy. So many companies are trying to win customers and outperforming competitors. The answer lies in doing a better job of meeting and satisfying customers not just product engineering. Too many companies think that it is the marketing or sales departments job to procure customers. If that department cannot, the company draws the conclusion that its marketing people are not very good. But in fact marketing is only one factor in attracting and keeping customers. The best marketing department in the world cannot sell products that are poorly made or fail to meet anyones needs. The marketing department can be effective only in companies whose various departments and employees have designed and implemented a competitively superior customer value delivery system.

4.1.1 Importance of Customer:


The essence of the marketing concept is that organizations must adopt customer oriented features and focuses their attention on building programs, offerings and strategies that satisfies customer needs and wants. Many organizations maintain their focus on operations or product or sales efforts and thereby dislocated by mistaking the means for the end. Successful marketing involves companywide transformations in attitudes beliefs and perceptions of the people in how they view the customer. Deep commitment to the customer is what distinguishes successful marketers from laggards.

The excellent companies really close to their customers achievement talk about it, excellent companies do it. The companies, which show extraordinary concern for the customers never, forget the customers attitude in the hallmark.

Hence Customers area: The most important people in any business. Not dependent on business, business is dependent on them. Doing us favour when they come in. we are not doing a favour by servicing them. A part of our business not outsiders. People come to us with their needs and wants. It is our job to fulfill them. Deserving of the most courteous and attractive treatment.

Customer Satisfaction Measurement Facts:

A 5-percent increase in loyalty can increase profits by 25%-85%. A very satisfied customer is nearly six times more likely to be loyal
and to repurchase and/or recommend your product than is a customer who is just satisfied.

Only 4 percent of dissatisfied customers will complain. The average customer with a problem eventually tells nine other
people.

Satisfied customers tell five other people about their good


treatment.

Whether the buyer is satisfied after purchase depends upon the offers performance in relation to the buyers expectations. Customer satisfaction can be defined as: Satisfaction is a persons feelings of pleasure or disappointment resulting from the comparing a products perceived performance in relation to his/her expectations. As the definition makes clear, satisfaction is a function of perceived performance and expectations. If the performance falls short of expectations, the customers are dissatisfied. If the performance matches the expectations, the customer is satisfied. If performance exceeds expectations the customer is highly satisfied or delighted. Although the customer centered firm seeks to create high customer satisfaction, its main goal is maximize customer satisfaction. First the company can increase customer satisfaction by lowering its price service the results may be lower profits. Second the company might be able to increase its profits by means of other than satisfaction. Third the company has many share holders, including employees, dealers, suppliers and stock holder. Spending more to increase customer satisfaction might divert funds from increasing the customer satisfaction of their partners.

4.1.2 Customer Satisfaction Process:


Brand loyalty and customer satisfaction on the other hand are almost synonymous and their impact on market share is statistically verifiable. The relationship between market share and profitability as well as profitability and shareholder value creation has been the subject of considerable research over the years and the linkages have been proven many times. It has been found that some customers are, by negative tendency, more likely to move while others are not. Therefore even for some level of satisfaction or dissatisfaction, some customers will remain with the brand they are loyal to while others will switch. Simply because they are more prone to taking risks and more easily susceptible to the blandishments of competitors and an inherently. HIGH
SATISFACTION WITH THE PRODUCT

1. SAFE CUSTOMER

2. HABITUAL SWITCHES

3. THE PARIENT ONES 4.HIGH RISE

LOW

This can be represented in four-way matrix as given below: 1. The safe customers are those who are satisfies and not likely to more. 2. The habitual switches are happy and still likely to switch. 3. The patient ones will stay on regardless but should not taken for granted. Their satisfaction can be improved profitably as they are inherently less likely to switch. 4. The marketer is most vulnerable with the lost category of people who are not satisfied and also likely to move. This is a customer segment, which sometimes results in diminishing returns to efforts

to satisfy them. However much you spend on them to keep back, by improving performance of the product, you may still end up losing them any way.

Todays customers are global and have high degree of need for cognition, recognition, approval and respect. So many companies believe that customer satisfaction can make the company more profitable to some extent as: It is a more process aimed at enhancing customer share. It builds goodwill in the market, which in turn generates additional traffic to the outlet. It is a real experience and a rich insight is to customers mind to hit the bulls eye with carefully designed marketing strategies. A highly effective technique is to keep of buying habits, intentions, self-images, spending patterns, customer and manufacturer in agency. Listening and caring for customer develops a sense of belonging in then and a soft corner for the company itself. Higher customer retention index, customer lifetime value, loyalty and satisfaction level increase transactions with the same customers again and again. A highly effective system of communication helps in developing positive attitude in customer minds about the company its offerings. Marketers believe that if they make service a surrogate for the product, track and solve the customers problems and do follow up of the service they provide, lifetime customers can be developed. It is effective tool to keep competitors away our customers sight.

4.1.3 Functions of Marketing:

Companies should establish a separate relationship market to prepare, implement and monitor their relationship-marketing program. Company should not rely totally on technical people but employ relationship managers who well equipped with marketing, communication and interpersonal skills. An integrated marketing system is a pre-requisite for building relationship with customers. Companied should continuously search for value building approaches through a system of quality management review process etc., because only by exceeding customer expectations, marketers can build a valueladen relationship with customers. As said before to satisfy a customer and to retain customer relationship marketing is important. (Maintain relationship in the field of marketing).

4.1.4 Relationship Marketing:


An Indian Perspective: Relationship marketing has defined a new parading for itself. needs and creating solutions for them. Modem marketing calls for more than developing a product, pricing it, promoting it, and making it accessible to target customers. customers to win their hearts. Relationship Marketing: The changes in business environment have to customer specialization, quicker decision making and possibility of collaborative with competition for lowering distribution costs. raised: What does the supplier do for the consumer today? What can he do in the future? How do they create value for customer? The new age marketing aimed at winning customer forever, where companies greet the customer, create products to omit their needs, work hard to develop life time customers thought the principles of customer delight, customer approval customer enthusiasm etc Marketers are acknowledge, appreciate and empower the customer in a number of ways like sending thank you cards, special occasion cards, complementary two-way communication club marketing and membership programs. Special discount cards developed customers database a large store house of customers personal profile, preferences, intensions, expected In this background various questions are being It demands building trust, a building force and a value added relationship with the Sales

people today are not just meeting customer needs, they are anticipating those

purchases, suggestions etc., customer education, customer invitation on special occasion in the company and so-on. Constant improvisation, shift from marketing myopia to marketing hyper mertropia, provision of additional services and utility inclusive of both the tangible and intangible attribute binds a customer with the brand related brands and the company itself.

4.1.4 Measuring and Managing Customer Satisfaction: As markets shrink, companies are scrambling to boost customer satisfaction and keep their current customers rather than devoting additional resources to chase potential new customers. The claim that it costs five to eight times as much to get new customers than to hold on to old ones is key to understanding the drive toward benchmarking and tracking customer satisfaction. The gulf between satisfied customers and completely satisfied customers can swallow a business. Measuring customer satisfaction is a relatively new concept to many companies that have been focused exclusively on income statements and balance sheets. Companies now recognize that the new global economy has changed things forever. Increased competition, crowded markets with little product differentiation and years of continual sales growth followed by two decades of flattened sales curves have indicated to todays sharp competitors that their focus must change. Competitors that are prospering in the new global economy recognize that measuring customer satisfaction is key. Only by doing so can they hold on to the customers they have and understand how to better attract new customers. The competitors who will be successful recognize that customer satisfaction is a critical strategic weapon that can bring increased market share and increased profits.

The problem companies face, however, is exactly how to do all of this and do it well. They need to understand how to quantify measure and track customer satisfaction. Without a clear and accurate sense of what needs to be measured and how to collect, analyze and use the data as a strategic weapon to drive the business, no firm can be effective in this new business climate. Plans constructed using customer satisfaction research results can be designed to target customers and processes that are most able to extend profits. Too many companies rely on outdated and unreliable measures of customer satisfaction. They watch sales volume. They listen to sales reps describing their customers states of mind. They track and count the frequency of complaints. And they watch aging accounts receivable reports, recognizing that unhappy customers pay as late as possible-if at all. While these approaches are not completely without value, they are no substitute for a valid, well-designed customer satisfaction surveying program. Its no surprise to find that market leaders differ from the rest of the industry in that theyre designed to hear the voice of the customer and achieve customer satisfaction. In these companies.

Marketing and sales employees are primarily responsible for designing (with customer input) customer satisfaction surveying programs, questionnaires and focus groups.

Top management and marketing divisions champion the programs. Corporate evaluations include not only their own customer satisfaction ratings but also those of their competitors. Satisfaction results are made available to all employees. Customers are informed about changes brought about as the direct result of listening to their needs. Internal and external quality measures are often tied together.

Customer satisfaction is incorporated into the strategic focus of the company via the mission statement. Stakeholder compensation is tired directly to the customer satisfaction surveying program. A concentrated effort is made to relate the customer satisfaction measurement results to internal process metrics. To be successful, companies need a customer satisfaction surveying system that meets the following criteria:

The system must be relatively easy to design and understand. It must be credible enough that employee performance and

compensation can be attached to the final results. It must generate actionable reports for management. Because the concept of customer satisfaction is new to many companies, its important to be clear on exactly whats meant by the term. Customer satisfaction is the state of mind that customers have about a company when their expectations have been met or exceeded over the lifetime of the product or service. The achievement of customer satisfaction leads to company loyalty and product repurchase. There are some important implications of this definition:

Customer analysis.

satisfaction

is

subjective,

non-quantitative

state;

measurement wont be exact and will require sampling and statistical

Customer satisfaction measurement must be undertaken with an understanding of the gap between customer expectations and attribute performance perceptions.

There should be some connection between customer satisfaction measurement and bottom-line results.

Satisfaction itself can refer to a number of different facts of the relationship with a customer. For example, it can refer to any or all of the following:

Satisfaction with the quality of a particular product or service. Satisfaction with an ongoing business relationship. Satisfaction with the price-performance ration of a product or service. Satisfaction because a product/service met or exceeded the customers expectations. Each industry could add to this list according to the nature of the

business and dither specific relationship with the customer. Customer satisfaction measurement variables will differ depending on what type of satisfaction is being researched. For example, manufacturers typically desire on-time delivery and adherence to specifications, so measures of satisfaction taken by suppliers should include this critical variable. Clearly defining and understanding customer satisfaction can help any company identify opportunities for product and services innovation and serve as the basis for performance appraisal and reward systems. It can also serve as the basis for a customer satisfaction surveying program that can ensure that quality improvement efforts are properly focused on issues that are most important to the customer.

4.2 Objectives of a customer satisfaction surveying program:


In addition to a clear statement defining customer satisfaction, any successful surveying program must have a clear set of objectives that, once met, will lead to improved performance. The most basic objectives that should be met by any surveying program include the following:

Understanding the expectations and requirements of all your customers. Determining how well your company and its competitors are satisfying these expectations and requirements. Developing service and/or product standards based on your findings. Examining trends over time in order to take action on a timely basis. Establishing priorities and standards to judge how well youve met these goals. Before an appropriate customer satisfaction surveying program can be designed, the following basic questions must be clearly answered:

How will the information we gather be used? How will this information allow us to take action inside the organization? How should we use this information to keep our customers and find new ones? Careful consideration must be given to what the organization hopes to

accomplish, how the results will be disseminated to various parts of the organization and how the information will be used. There is no point asking customers about a particular service or product if it wont or cant be changed regardless of the feedback. Conducting a customer satisfaction surveying program is a burden on the organization and its customers in terms of time and resources. There is no point in engaging in this work unless it has been thoughtfully designed so that

only relevant and important information is gathered. This information must allow the organization to take direct action. Nothing is more frustrating than having information that indicates a problem exists but fails to isolate the specific cause. Having the purchasing department of a manufacturing firm rate the sales and service it received on its last order on a scale of 1 (terrible) to 7 (magnificent) would yield little about how to improve sales and service to the manufacturer. The lesson is twofold. First, general questions are often not that helpful in customer satisfaction measurement, at least not without many other more specific questions attached. Second, the design of an excellent customer satisfaction surveying program is more difficult than it might first appear. It requires more than just writing a few questions, designing a questionnaire, calling or mailing some customers and then tallying the results. 4.2.1 Understanding differing customer attitudes: The most basic objective of a customer satisfaction surveying program is to generate valid and consistent customer feedback (i.e., to receive the voice of the customer, which can then be used to initiate strategies that will retain customers and thus protect the most valuable corporate asset loyal customers) As its determined what needs to be measured and how the data relate to loyalty and repurchase, it becomes important to examine the mind-set of customers the instant they are required to make a pre-purchase (or repurchase) decision or a recommendation decision. Surveying these decisions leads to measures of customer loyalty. In general, the customers pre-purchase mindset will fall into one of three categories rejection (will avoid purchasing if at all possible), acceptance (satisfied, but will shop for a better deal), and /or preference (delighted and may even purchase at a higher price).

This highly subjective system that customers themselves apply to their decisions is based primarily on input from two sources: The customers own experiences each time they experience a product or service, deciding whether what experience is great, neutral or terrible. These are known as moments of truth. The experiences of other customerseach time they hear something about a company, whether its great, neutral or terrible. This is known as word-of-mouth. There is obviously a strong connection between these two inputs. An

exceptional experience leads to strong word-of-mouth recommendations. Strong recommendations influence the experience of the customer, and many successful companies have capitalized on that link. How does a customer satisfaction surveying manager make the connection between the survey response and the customers attitude or mindset regarding loyalty? Research conducted by both corporate and academic researchers shows a relationship between survey measurements and the degree of preference or rejection that a customer might have accumulated. When the customer is asked a customer satisfaction question, the customers degree of loyalty mind-set (or attitude) will be an accumulation of all past experiences and exposures. Obviously, the goal of every company should be to develop customers with a preference attitude (i.e., we all want the coveted preferred vendor status such that the customer, when given choice, will choose our company), but it takes continuous customer experience management, which means customer satisfaction measurement, to get there and even more effort to stay there.

CHAPTERV

ANALYSIS & DATA INTERPRETATION

1.

Occupation of the Customer: Professional ( ) Business man ( ) Student ( ) House wife ( )

Service ( ) Any other ( )

S.No. 1 2 3 4 5 6

Occupation Professional Businessman Service Student Housewife Any other Total

No. of Responds 58 20 6 103 11 2 200 Samples

% of Responds 29 10 3 51 6 1 100

No. of Responds
1 Professional 4 Student 2 Businessman 5 Housewife 1% 6% 29% 3 Service 6 Any other

51%

10% 3%

Observation: From the above table we can understood that 29 per cent of customers are professionals, 10 per cent of businessman, 3 per cent of Service, 51 per cent of are students, 6 per cent are housewifes and 1 per cent are others.

2. Ages of the Respondents: Below 20 ( ) 20- 30 ( ) 30-40 ( ) Above 40 ( )

S.No. 1 2 3 4

Ages 0-20 20-30 30-40 Above 40 Total

No. of Responds 22 100 55 23 200 Samples

% of Responds 11 50 27 12 100

No. of Responds
1 0-20 2 20-30 3 30-40 4 Above 40

12%

11%

27% 50%

Observation: From the above table we can understood that 11 percent of customers are below the age of 20, 50 per cent of customers are the age between 20 and 30, 27 per cent of customers are the age between 30 and 40 and 12 percent customers are above the age of 40

3. Do you take soft drinks regularly or occasionally? Regularly ( ) S.No 1 2 Type of Responds Regularly Occasionally Total Occasionally ( ) No. of Responds 81 119 200 % of Responds 40 60 100

No. of Respondents
1 Regularly 2 Occasionally

40% 60%

Observation: From the above table, we can understand that the 40 per cent of respondents are using soft drinks regularly and 60 per cent of respondents are using occasionally.

4. Which brand of Soft drink you like the most? Pepsi ( ) 7up ( ) Mountain dew ( ) Diet Pepsi ( ) Mirinda Lemon ( ) Coca-Cola ( ) Limca ( ) Thumsup ( ) Coke ( ) Fanta ( ) Mirinda ( ) slice ( )

Sprite ( )

Maaza ( ) Diet

S.No. 1 2 3 4 5 6 7

Pepsi Brands Pepsi 7 Up Mountain Dew Mirinda Slice Diet Pepsi Mirinda Lemon

No. of Responds 75 41 21 17 26 6 14

Coke brands Coca-Cola Limca Thumsup Sprite Maaza Diet Coke Fanta

No. Responds 16 21 86 40 23 0 14

No. of Responds on Pepsi brands


1 Pepsi 3 Mountain Dew 5 Slice 7 Mirinda Lemon 3% 7% 13% 9% 11% 20% 37% 2 7 Up 4 Mirinda 6 Diet Pepsi

No. Responds on Coke brands


Coca-Cola Sprite Fanta 0% 7% 8% 12% 10% Limca Maaza Thumsup Diet Coke

20% 43%

Observation: For Pepsi the percentage of availability is high because of its unique commercial exposure and its advertisements.

5. What is the reason behind choosing that Pepsi brand? Tase ( ) S.No 1 2 3 4 Advertisement ( ) Easily available ( ) Reasons Taste Advertisement Easily Available Popularity Total No. of Responds 46 53 36 65 200 Popularity ( )

% of responds 23 26 18 33 100

No. of Responds
1 Taste 2 Advertisement 3 Easily Available 4 Popularity

33%

23%

26% 18%

6. How many times in a week you take soft drinks? Once ( ) Twice ( ) Thrice ( ) More than 3 times ( )

S.No. 1 2 3 4

No. of Times Once Twice Thrice More than 3 times Total

No. of Responds 26 105 51 18 200

% of Responds 13 52 26 9 100

No. of Responds
1 Once 2 Twice 3 Thrice 4 More than 3 times

9%

13%

26%

52%

7. Quantity of soft drink you often purchase? 200ml ( ) 300 ml ( ) 500 ml ( ) 1 ltr ( ) 2 ltr ( )

S.No. 1 2 3 4 5

Quantity of Soft drink 200ml 300ml 500ml 1 ltr 2 ltr Total

No. of Responds 116 72 4 3 5 200

% of Responds 58 36 2 1 3 100

No. of Responds
1 200ml 2 300ml 3 500ml 4 1 ltr 5 2 ltr 2% 1% 3%

36% 58%

Observation: From the survey, the most of customers are preferred for 200ml and 300ml drink bottles are 58 percent and 36 percent respectively.

8. Since how long are drinking that particular brand? 1-6 months ( ) 6-12Months ( ) More than 2 years ( ) 1-2 years ( )

S.No. 1 2 3 4

Time Period No. of Responds 1 6 Months 25 6 12 Months 35 1 2 years 81 More than 2 49 years Total 200

% of Responds 13 18 43 26 100

No. of Responds
1 1 6 Months 2 6 12 Months 3 1 2 years 4 More than 2 years

13% 26% 18%

43%

9. Advertisement of which Pepsi drink you remember the most? Pepsi ( ) 7 Up ( ) Mirinda ( ) Slice ( )

S.No. 1 2 3 4

Type of Drink Pepsi 7 Up Mirinda Slice Total

No. of Responds 61 62 30 46 200

% of Responds 31 31 15 23 100

No. of Responds
1 Pepsi 2 7 Up 3 Mirinda 4 Slice

23%

31%

15% 31%

10. If you desire brand of cold drink is not available at particular shop then? Take any other brand ( ) Visit next shop ( )

Suggest to have that brand ( ) Dont take other brand ( )

S.No. 1 2 3 4

Particulars

No. of Responds Take any other brand 73 Visit next shop 72 Suggest to have that 23 brand Dont take other brand 32 Total 200

% of Responds 36 36 12 16 100

No. of Responds
1 Take any other brand 3 Suggest to have that brand 2 Visit next shop 4 Dont take other brand

16% 36% 12%

36%

11. PEPSI COKE

According to you what is level of satisfaction with Pepsi and Coke? Good ( ) Good ( ) Satisfaction ( ) Satisfaction ( ) Bad ( ) Bad ( )

S.No. 1 2 3

Pepsi Good Satisfied Bad Total

No. of Responds 68 110 22 200

Coke Good Satisfied Bad Total

No. Responds 75 109 16 200

No. of Responds about Pepsi Brands


1 Good 2 Satisfied 3 Bad

No. Responds about Coke brands


Good Satisfied Bad

11%

34%

8% 37%

55%

55%

12.

Would you like to recommend Pepsi products to others? Probably ( ) Not sure ( ) Cant Say ( )

Definitely ( )

S.No. 1 2 3 4

Particulars Definitely Probably Not sure Cant Say Total

No. Responds 37 98 49 16 200

of % of Responds 18 49 25 8 100

No. of Responds to Recommend about Pepsi


1 Definitely 2 Probably 3 Not sure 4 Cant Say

8% 25%

18%

49%

13.

Trade schemes offered by which company is good to you? Both ( ) Neither ( )

Pepsi ( ) Coke ( )

S.No 1 2 3 4

Trade Schemes Pepsi Coke Both Neither Total

No. of Responds 136 19 41 4 200

% of Responds 68 9 21 2 100

Trade schemes offered by a company


1 Pepsi 2 Coke 2% 21% 9% 68% 3 Both 4 Neither

14. Yes

Do you feel Soda Hubs will effect in sales of soft drinks? ( ) No ( ) Cant Say ( )

S.No. 1 2 3

Particulars Yes No Cant Say Total

No. of Responds 159 29 12 200

% of Responds 79 15 6 100

How Soda Hubs are effecting the Sales of Soft Drinks


1 Yes 2 No 3 Cant Say

15%

6%

79%

15. Do you feel T.V. advertisements by drink companies help in more sale of soft drinks? Yes ( ) No ( ) Cant Say ( ) S.No. 1 2 3 Particulars Yes No Cant Say Total No. of Responds 155 34 11 200 % of Responds 77 17 6 100

Advertisements helps in improve the Sales


1 Yes 2 No 3 Cant Say

17%

6%

77%

16.

Which company offers you like most? Coke ( ) Both ( )

Pepsi ( )

S.No 1 2 3

Particulars Pepsi Coke Both Total

No. of Responds 158 7 35 200

% of Responds 79 3 18 100

Company offers you like Most


1 Pepsi 2 Coke 3 Both

3%

18%

79%

C H A P T E R VI
SUMMERY FINDINGS CONCLUSION AND SUGGESTIONS

SUMMARY OF FINDINGS AND SUGGESTIONS


Soft drinks industry is a well-known customers product industry and has its origin in 1772. Now a day anywhere and everywhere all over the world millions of bottles is consumed every day. Tasting soft drinks might be a fun drink manufacturing and marketing a soft drink in a highly competitive market entered their line with the global changes. Pepsi is one of the worlds leading MNC, which was founded in 1965. It is one of the leaders in the soft drink industry. Pepsi external the Indian market in the early 1990s after the Indian economy was liberalized. then it has been very successful in Indian market. difference is fast decreasing. Pvt. Ltd. Since Coke is the leader in

carbonated drinks market. In India it is Pepsi, which scores over coke but this Therefore the present study has some suggestions to make which may positively impact the sales of Pearl Bottling

6.2 FINDINGS:
1. Trade schemes offered by Pepsi are better than Coke. 2. Consumer promotion schemes are offered by Pepsi is better than Coke. 3. TV advertisements plays important role for increasing the sales. 4. The soft drink demand in market is growing day by day. 5. Most of the persons between age of 20-30 are preferred Mountain Dew in Pepsi brand. But this product is not available in all shops. 6. Trade schemes are to be explained to Retailers, so than they can explain to the Ultimate customers too 7. Customers are not satisfied with some of the Pepsi Brands.

SUGGESTIONS:

1. Trade schemes should be explained clearly and tell him the benefits he will get from the scheme. usage of facility. provided. 2. Should do the more advertisements to increase the sales. 3. Should reduce the cost on 200ml bottles and 300ml bottles. 4. Re-introduction of Rs. 5 again. 5. Communication gap to be most analyzed. Good communication should be maintained between retailer and distributor. Retailer meets and Clarity and awareness can increase better

Timely information about trade schemes should be

workshops can be organized for the purpose to gain information and feedback from the retailer. Retailers are the only players of the supply chain who are in direct contact with the end consumer.

6.4 CONCLUSION:
The project was a great experience to me in order to study the marketing aspects in the real world. It was an opportunity for me to have a trail what I had studied. The industry (beverage industry) was a place where there are few major players and many local and regional players. The company, which I represented, was Pepsi and it gave me lot of opportunity and scope for me to understand the soft drink industry and its market structure and its distribution channel. Lot of valuable information regarding the company and also the retailers has been collected from the survey, which helped me to clearly understand the real problems faced by the marketers to distribute and also make the retailers to sell the companys products in the market. The suggestions made to the company were really applicable for the benefit of the company in order to survive and grow in the existing scenario with large number of competitors craving for the same market. Thus, finally it can be said that the industry needs lot of channel management activities in this regard some suggestion have been made out of my limits study understanding during the survey. Company needs to take up, various promotional strategies for the customers. I wish the company reach to its objectives achieved.

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