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Group A

Students of Marketing Research


GIFT University
Gujranwala

June 04, 2007

Mr. Shoaib-Ul-Haq
Professor of Marketing Research
GIFT University
Gujranwala

Subject: Letter of transmittal

Respected Mr. Shoaib,

We submit here the report regarding the “Existing market problem of


PEPSI CO. Gujranwala”. We have conducted a research to find out the
possible solution of their problem. The submission date of this report is
Monday 4th June, 2007. We have completed our project successfully
and we are submitting it on due date.

Through this report, we were given the opportunity to conduct market


research for a Multinational firm. We feel that this knowledge will be
helpful in our latter studies and career.

We would like to thank you for giving us this great opportunity.

Sincerely,

Group A

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Acknowledgement

We would like to thank to Allah Almighty without HIS


blessings we cant write this report, the management and
employees of PEPSI CO. Gujranwala for their cooperation, our
respected teacher Mr. Shoaib-Ul-Haq for his guidance,
students and faculty of GIFT University, all those people who
help us in conducting this research, and last but not the least
our families who support us in every field of life.

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Table of contents

Serial no. Particulars Page no.

1. Table of Figures 6

2. Abstract 7

3. Executive Summary 8

4. Introduction 9

5. PEPSI CO Gujranwala 10

6. Research Objectives 11

7. Research Methodology 11

8. Questionnaire design 14
9. Findings 16
10. Conclusion 65
11. Recommendations 66
12. Research limitations 67
13. Appendix 68
14. Bibliography 73

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Table of figures

Serial no. Particulars Page no.

1. Flow chart of questionnaire 15


2. Graphs (Question wise analysis) 18

3. Graphs(Critical analysis) 33

4. Graph(Surprising findings) 62

5. Cycle of Pepsi 69

6. Hierarchy of PEPSI (Gujranwala) 70

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Abstract

The purpose of this project is to find out the current


market problem of any firm of Pakistan and then
conduct a complete research on that problem and
present the findings that will helpful in decision
making.

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Executive Summary

PepsiCo is a world leader in convenient foods and beverages. It has


offered a large number of brands globally. It has one of its plants in
Gujranwala, Pakistan. In its Gujranwala plant, there are five assembly
lines working at the same time for producing different sizes of bottles.
They work for 24 hours in 2 shifts and the firm is open for 7 days in a
week. They have latest machinery and competent labor. They spend 2
hours in maintenance of machines and 22 hours in production.

The research has been done on the current marketing problem of


Pepsi. Our objective is to discover the attitude of the people towards
existing Pepsi billboards, type of billboards which can attract the
people and how these billboards effect their purchasing decision.

In order to conduct the research survey method has been adopted. We choose
questionnaire as data collection device and probability sampling as a sampling
plan. As PepsiCo has mass marketed its product so the whole population of
Gujranwala has been targeted for research.

A small no. of people observe billboards and a very few can recall them. Overall
the Pepsi consumption is more in teenagers and youngster that makes them
most potential customers. The major reason of buying Pepsi is taste and
availability. A small no. but people do buy by watching billboards.

People are of the view that existing Pepsi billboards are more appealing among
all other soft drink brands’ billboards.

People hold the opinion that billboard ads should be different from TV ads to
make them more attractive. People of all ages are more likely to get attracted by
the billboards on which celebrities have been introduced. Billboards with dark
colors, medium to large size and somewhat irregular shapes can attract most
attention of the people.

Introduction

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PepsiCo is a world leader in convenient foods and beverages, with
2006 revenues of more than $35 billion and 168,000 employees.

The company consists of Frito-Lay North America, PepsiCo Beverages


North America, PepsiCo International and Quaker Foods North America.
PepsiCo brands are available in nearly 200 countries and territories
and generate sales at the retail level of about $92 billion.

Some of PepsiCo's brand names are more than 100-years-old, but the
corporation is relatively young. PepsiCo was founded in 1965 through
the merger of Pepsi-Cola and Frito-Lay. Tropicana was acquired in 1998
and PepsiCo merged with The Quaker Oats Company, including
Gatorade, in 2001.

PepsiCo offers product choices to meet a broad variety of needs and


preference -- from fun-for-you items to product choices that contribute
to healthier lifestyles.

PepsiCo’s mission is “To be the world's premier consumer Products


Company focused on convenient foods and beverages. We seek to
produce healthy financial rewards to investors as we provide
opportunities for growth and enrichment to our employees, our
business partners and the communities in which we operate. And in
everything we do, we strive for honesty, fairness and integrity.”

Sustainable advantage

Three major sustainable advantages give PepsiCo a competitive edge


in the global marketplace:

1. Big, muscular brands;


2. Proven ability to innovate and create differentiated
products; and
3. Powerful go-to-market systems.

Making it all work there are extraordinarily talented and dedicated


people.

PEPSI CO is offering different brands globally. It has its plants in almost


all countries.

Brands and companies

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PepsiCo has hundreds of brands around the globe. These are some of
the best known.

 Frito-lay brands
 Pepsi-cola brands
 Gatorade brands
 Tropicana brands
 Quaker brands

Pepsi-cola brands

From these brands, there are many brands under the head of Pepsi-
cola. Some of them are Pepsi-Cola; diet Pepsi, Pepsi Twist, mountain
dew, diet mountain dew, Team, Mirinda,7-up, Aqua Fina etc.

PEPSI CO. GUJRANWALA

PEPSI CO. is one of the leading multinational firms exist in Pakistan and
by visiting to its Gujranwala plant; we got to know that the attitude of
its management and labor is one of the reasons of this fact.

It has different departments working very sincerely for the success of


PEPSI. We observed that the management is very loyal to its firm and
always working for the betterment of the firm. In every department of
PEPSI, we saw a quote

“Managers must think and machines should work”

This shows their serious attitude towards their job. To watch the
hierarchy of PEPSI CO. Gujranwala, see exhibit 1.

We had a meeting with marketing executive of PEPSI CO. Gujranwala;


Mr. Ahmad Khan. He is very knowledgeable and cooperative person.
He told us their existing market problem in detail.

They are working on the design of billboards nowadays. According to


him, there are so many billboards in a single city that it becomes very
difficult for them to make an eye-catching billboard. So he wanted from
us to conduct a research on people’s attitude towards Pepsi’s existing
billboards and how can the design of Pepsi billboards be improved.

Mr. Ahmad tells us that they are themselves working on this point and
our findings are very beneficial for their own research.

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Research Objectives

After understanding the requirements of our client, we start our


research with following objectives:

Primary objectives:

• Find out the attractiveness of Pepsi’s existing billboards.


• Which type of billboards attracts the attention of people?

Secondary objectives:

• Find out the location where people mostly observe the billboards
• Do billboards play any role in the sales of Pepsi?
• Which age group is mostly attracted by billboards?

Research Methodology

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To meet our above objectives, the research designed used by us is
quantitative research because we need to get information from large
date. Moreover we want to find out small differences between the
opinions of people. In quantitative research we adopt survey research.
Our objective is to discover the type of billboards which attracts the
people and how these billboards effect their purchasing decision.

To conduct survey research, we choose questionnaire as data


collection device as it will provide large amount of data in less time.
Moreover, it is cost effective too.

As we are conducting research for PepsiCo so the population of our


interest is the whole population of Gujranwala. As Pepsi is using Mass
Customization technique so every person of Gujranwala is its target.

As the whole population of Gujranwala is our target so there are no


constraints like demographic, geographic, etc in our research. Our
sampling units contain all type of people like students, executives,
households, etc. Moreover there is no defined age group in our
research because Pepsi is drunk by kids as well as old aged people.

We choose probability sampling as our sampling plan because we want


to project our findings to the whole population. We collect our samples
through systematic probability sampling. So, we took 100 samples
from almost every area of Gujranwala. We choose 100 as our sample
size due to time constraints. Moreover, we think that this size is good
enough to represent our population’s opinion.

We generated our lists of sample units by collecting the information


about different areas of Gujranwala. Then we moved to different areas
of Gujranwala and use skip pattern to select our samples. We select
every third person who visit that places. We use this method because
our intention is to give equal chance to every person of Gujranwala to
be our sample. We face great difficulty in collecting information for our
research, because people are not interested in filling questionnaire due
to many reasons; lack of interests, lack of time, lack of confidence, etc.
But we tried our best to convince them to fill our questionnaire. So,
after much effort we are able to get 100 filled questionnaires.

Secondary Research

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Prior research has been done on the use and effectiveness of billboards. The
crux of the previous research is as under:

• Four primary reasons why businesses use billboard advertising: visibility,


media efficiency, local presence, and tangible response have been
revealed which are as follows:

Visibility
Companies use billboards because they provide high visibility to the target
audience; they are easily seen, make a strong impression, and are visible 24
hours a day.

Media Efficiency
From a media-planning standpoint, companies use billboards for their efficiency
in terms of reach, frequency, and cost per thousand exposures.

Local Presence
Aspects of billboard location that influence use include generating awareness in
close proximity to the business, maintaining brand presence, and providing a
“last hit” close to the place of business.

Tangible Response
Producing a tangible consumer response, such as increasing traffic or sales, also
influences a company’s decision to continue using billboards.

• The eight executional factors that are associated with successful billboard
advertising: name identification, location of the billboard, readability, clarity
of the message, use as a tool of integrated marketing communications
(IMC), powerful visuals, clever creative, and information provision have
been identified.

• Visibility and media efficiency are the most important influences on the
decision to continue using billboards. These attributes help billboards to
be noticed and read rather than screened out through the process of
selective perception.

• The ability to place attention-getting billboards close to the point of sale is


an especially important reason to use billboards. The need to expose the
message to the consumer when and where the consumer is ready to
make a purchase is extremely very important.

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• The moving billboard i.e. trucks/trailers reveals a lot about the company
image. A good company color scheme, logo or graphics can build image
recognition and speaks volumes about. Quality paint professionally
applied helps trucks look their best, and finishes can help fleets protect
their investment.

• Large format has the potential to reach a wide audience but while the use
of novel effects can create stand-out, it's crucial that the creative is
carefully thought out and well executed. Large format requires an
imaginative, but relevant, response to where it will appear.

Questionnaire Design

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We design a questionnaire by keeping in mind the convenience of our
sample and our objective.
We include both closed and open ended questions in our
questionnaire. In closed ended questions we include dichotomies,
multiple-choice and scale response questions to get the advantage of
all of them.
Then we tried our best to use as clear and easy wording as possible in
our questionnaire. Moreover, through our questions, we tried to
capture the interest of our respondents too.

The flow which we adopted in our questionnaire is on the next page:

(Screener) Watch ads Tabulate and


terminate
No

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Yes
Some general questions
which are easy to
(Warm-ups) answer

Yes/No

Allocate 100 score among


(Transitions) list of soft drink brands on
the basis of attractiveness of
their billboards
Yes/No

Can you recall any Do you feel that


billboard of Pepsi? billboards of Pepsi are
Yes attractive?

No
Yes/No
You buy Pepsi because
of its
a. Taste
b. Advertisement
c. Availability (If choose any of a, b, c
or d) d. Attachment
e. I don’t buy it

Have you ever bought


(If choose ‘e’) Pepsi by watching its
billboard?
5 questions about the design Yes/No
(Complicated) of billboards; then

2 open ended questions


about suggestions for
outdoor advertisement of
Pepsi Questions on the
demographics of
respondents; age,
(Classifying and demographic)
gender and Pepsi
consumption; terminate
the interview
After developing our questionnaire, we evaluated the questionnaire
ourselves. Then we approved it from our sir Shoaib-ul-Haq. After his

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approval we pretest our questionnaire by some of our senior students.
After that for the convenience of our respondents we developed the
questionnaire in both English and Urdu language. The copy of our
questionnaire in both English and Urdu is attached in appendix.

Sampling detail

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The distribution of the sample in attributes of the respondents like gender, age,
Pepsi consumption is given below:
Statistics

gender of Pepsi consumption in


age of respondent respondent a week
N Valid 91 91 91
Missing 0 0 0
Mode 2 2 1

The frequency details of gender are given below:

Gender of respondent

Cumulative
Frequency Percent Valid Percent Percent
Valid female 44 48.4 48.4 48.4
male 47 51.6 51.6 100.0
Total 91 100.0 100.0

The age frequency of respondents is given below:

Age of respondent

Valid Cumulative
Frequency Percent Percent Percent
Valid less than
11 12.1 12.1 12.1
16
16-30 66 72.5 72.5 84.6
more
14 15.4 15.4 100.0
than 30

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Total 91 100.0 100.0

The frequency distribution of Pepsi consumption is given below:

Pepsi consumption in a week

Frequenc Valid Cumulative


y Percent Percent Percent
Valid less than
50 54.9 54.9 54.9
10
10-20 24 26.4 26.4 81.3
more
7 7.7 7.7 89.0
than 20
none 10 11.0 11.0 100.0
Total 91 100.0 100.0

Data Reliability Test

Reliability Statistics

Cronbach's
Alpha N of Items
.644 2

The table is showing the result that is 0,644 which mean that our data is reliable.

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Findings

Question-wise Analysis

Question no.1

On which media do you mostly notice ads?

a). Newspapers
b). Television
c). Billboards
d). Magazines
e). Internet
f). Radio

2.20%
3.30%
8.79% adds most noticed on media
newspaper
telev ision
18.68% billboards
magazines
internet

Pies show counts

67.03%

Results

• The media on which most ads are noticed is the television that makes
percentage of 67.03%
• Only 18.68% people watch ads on billboards.

Question no.2

Have you recently observed any ad on billboard?

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a). Yes b). No

observed add
16.48% yes
no

Pies show counts

83.52%

Results

• The data shows that 83.52% respondents have recently observed an ad


on billboard
• It means that majority of people can recall observed ads on billboards.

Question no.3

At which location do you mostly observe billboards? (CHECK ONE)

a). Traffic Signals


b). Commercial areas
c). Road sides
d). any other please specify

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40

30

20
C
n
u
o
t

10

0
traffic signals commertial areas road sides other
location of billboards

Results

• The above graph shows the location at which mostly billboards are
observed is the road sides after that is the commercial area and then
traffic signals.
• This shows that billboards are most observable at busy locations.

Question no.4

How many billboards do you watch in a day?

a). less than 10


b). less than 15
c). less than 20
d). more than 20

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50

40

30
C
n
u
o
t

20

10

0
less than10 less than15 less than20 morethan20
billboardswatchinaday

Results

According to the replies of respondents 49 out of 91 watch less than 10 ads in a


day and 27 out of 91 watch less than 15 ads.

Question no.5

From these watched billboards, how many can you recall?

a). less than 5


b). 5-10
c). more than 10

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50

40

30
C
n
u
o
t

20

10

0
less than 5 5-10 more than 10
recalled billboards

Results

• Of these watched billboards most of the people can recall only less than 5
billboards.
• A very few no. of people can recall more than 10 ads.

Question no.6

Do ads on billboards play any role in your purchasing decisions?

a). Yes b). No

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billboards play role in purchase
y es
no

Pies show counts

48.35%
51.65%

Results

The above graph shows that 51.65% people say that billboards play a role in
there purchase decision.

Question no.7

Please allocate 100 scores among these soft drinks according to the
attractiveness of their billboards. (GIVE HIGHEST SCORE TO THE MOST
ATTRACTIVE & PLEASE RECHECK THE TOTAL)

COKE
PEPSI
SPRITE
7-UP
DEW
FANTA
100

Statistics

score score score scrore7 score Score


coke sprite Pepsi up dew fanta
N Valid 91 91 91 91 91 91
Missing 0 0 0 0 0 0
Mean 16.77 17.46 19.55 14.70 14.73 13.38
Median 15.00 15.00 20.00 10.00 10.00 10.00
Mode 10 10 10 10 10 10

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Results

• The above table shows that on average the billboards of Pepsi are most
attractive among people.
• Sprite and coke are close to Pepsi that have the mean 17.46 and 16.77
respectively,

Question no.8

Can you recall any billboard of Pepsi?

a). Yes b). No

recall billboad of pepsi


y es
no

Pies show counts

45.05%

54.95%

Results

The above graph shows that 54.95% people can recall the billboards of Pepsi
which makes the majority.

Question no.9

Do you feel that the billboards of Pepsi are attractive?

a). Yes b). No c). I don’t know

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12.00% attractivene ss of billboa rd of pepsi
y es
no
i dont know

Pies show counts

48.00%

40.00%

Results

• 48.00% people have the opinion that billboards of Pepsi are attractive.
• 40% people don’t find it attractive.

Question no.10

You buy Pepsi because of its (PLEASE CHECK ONE)

a). Taste
b). Advertisements
c). Attachment
d). Availability
e). I don’t buy it

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9.89% reason of buying pepsi
taste
ads
attachment
av ailability
38.46% i dont buy

27.47% Pies show counts

12.09% 12.09%

Results

• According to the responses the reason of buying is because of its taste


which makes 38.46% and 27.47% people buy because of availability.
• There are only 12.09% people who buy because of advertisement.
• So the result shows that although a low percentage but advertisement
does play a role in their reason for buying Pepsi.

Question no.11

Have you ever bought Pepsi by watching billboards?

a). Yes b). No

bought pepsi by watching billboard


yes
20.93%
no

Pies show counts

79.07%

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Results

The result shows that 79.07% people replied in no while 20.93% have bought
Pepsi by watching its billboard.

Question no.12

If the billboards of Pepsi is of bottle shape then

a). I definitely like it


b). I probably like it
c). I neither like nor dislike it
d). I probably dislike it
e). I definitely dislike it

50

40

30
C
n
u
o
t

20

10

0
i definitelty like it i probably like it i neither like not i probably i definitely
dislike it dislike it dislike it
bottle shape billboard

Results

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• Majority of respondents are of the opinion that if the billboard of Pepsi is of
bottle shape they will probably like it.
• The chances of likeness are high.

Question no.13

Do you think that the billboard ads should be different from TV ads?

a). Yes b). No

14.29%
different than tv adds
y es
no

Pies show counts

85.71%

Results

Above graph shows that 85.71% respondents hold the opinion that billboard ads
should be different from TV adds that makes a huge percentage.

Question no.14

Do you think that the billboards featuring celebrity attract the most?

a). Yes b). No c). I don’t know

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5.49% billboards featuring celebrity
y es
no
18.68% i dont know

Pies show counts

75.82%

Results

• The graph shows that 75.82% respondents think that billboards of Pepsi
are attractive while 18.68% people replied in negative.
• Only a few percentage doesn’t hold any opinion about it.

Question no.15

The most attractive billboards should have

Dark colors 1 2 3 4 5 light colors


Large size 1 2 3 4 5 Small Size
Regular shape 1 2 3 4 5 Irregular shape

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9.89% color of billboa rds
v ery dark
somewhat dark
7.69%
29.67% medium
some what light
v ery light

Pies show counts

21.98%

30.77%

Results

Most of the respondents have the common opinion that color of the billboards
should be dark to make them eye-catching.

40

30

20
C
n
u
o
t

10

0
very large large size medium size small size very small size
size of billboards

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Results

Most of the respondents are of the view that size of the billboards should be very
large to make them attractive.

30

25

20

15
C
n
u
o
t

10

0
regular shape some what moderate some what irregular shape
regular irregular
shape of billboards

Results

To make the billboards attractive people hold the opinion that they should be in
somewhat irregular shape.

Question no.16

A billboard with an embossed Pepsi bottle is

a). very Attractive


b). somewhat Attractive
c). somewhat unattractive
d). very unattractive
e). I don’t know

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50

40

30
C
n
u
o
t

20

10

0
very attractive somewhat somewhat very attractive i dont know
attractive unattractive
embossed bottle on billoard

Results

• If the billboard of Pepsi is in embossed bottle shape that will look


somewhat attractive to the majority of people
• It shows that there is a chance of likeness.

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Critical Analysis

Pepsi consumption in a week * gender of respondent Cross tabulation

Count
gender of respondent
female male Total
Pepsi less than 10 25 25 50
consumption in 10-20 13 11 24
a more than 20 1 6 7
Week none 5 5 10
Total 44 47 91

pepsi consumption
25
in a week
less than 10
10-20
more than 20
none
20

15
C
n
u
o
t

10

0
female male
gender of respondent

Results
• According to the data 54% people consume less then 10 bottles in a weak
and gender wise the consumption is almost same between males and
females.
• The consumption between 10-20 bottles is 26% and is more in females as
compared to males.

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• Moreover consumption more than 20 bottles is only 7% and it is more in
males.
• So it means that overall people mostly consume less than 10 bottles in a
weak.

Pepsi consumption in a week * age of respondent Cross tabulation

Count
age of respondent Total
less more than
than 16 16-30 30
Pepsi less than 10
consumption 5 33 12 50
in a week
10-20 2 21 1 24
more than
2 5 0 7
20
none 2 7 1 10
Total 11 66 14 91

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age of respondent
40
less than 16
16-30
more than 30

30

20
C
n
u
o
t

10

0
less than 10 10-20 more than 20 none
pepsi consumption in a week

Results
• Pepsi consumption less than 10 bottles in a week is 85% in age more than
30 years, 50% in age 16-30 and 45% in age less than 16 years.
• A Pepsi consumption 10-20 bottle in a week is 32% in age 16-30 years
and very low in other age groups.
• Overall Pepsi consumption is more in age 16-30 years that makes them
the most potential customers.
• This shows that for profit Pepsi should hit the most potential customers in
market Pepsi should make the billboards focus on teenagers and
youngster’s whose age ranging from 16 to 30 years.

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Reason of buying Pepsi *age of respondent *gender of respondent Cross
tabulation

Count
gender of
respondent age of respondent Total
less than more than
16 16-30 30
Female reason of taste
buying 1 14 3 18
Pepsi
ads 1 6 0 7
attachment 1 2 1 4
availability 1 6 3 10
I don’t buy 1 4 0 5
Total 5 32 7 44
Male reason of taste
buying 6 10 1 17
Pepsi
ads 0 4 0 4
attachment 0 4 3 7
availability 0 12 3 15
I don’t buy 0 4 0 4
Total 6 34 7 47

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reason of buying
20
pepsi
taste
ads
attachment
availability
i dont buy
15

10
C
n
u
o
t

0
female male
gender of respondent

reason of buying
25 pepsi
taste
ads
attachment
availability
20 i dont buy

15
C
n
u
o
t

10

0
less than 16 16-30 more than 30
age of respondent

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Results
• According to the data gender wise the reason of buying Pepsi is its taste
and secondly its availability.
• While reason of buying Pepsi because of its advertisement is more in
females them males i.e.16% and 8% respectively.
• Moreover, most of the people of age group less than 16 and 16-30 years
buy Pepsi because of its taste while people of age more than 30 years buy
it because of availability.
• Among these age groups most people of 16-30 years buy Pepsi because
of its advertisement.

Age of respondent * gender of respondent * bought Pepsi by watching


billboard Cross tabulation

Count
bought Pepsi
by watching gender of
billboard respondent Total
female male
Yes age of less than 16
2 1 3
respondent
16-30 6 9 15
more than
0 3 3
30
Total 8 13 21
No age of less than 16
3 5 8
respondent
16-30 26 25 51
more than
7 4 11
30
Total 36 34 70

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gender of
40 respondent
female
male

30

20
C
n
u
o
t

10

0
yes no
bought pepsi by watching billboard

age of respondent
60
less than 16
16-30
more than 30

50

40

30
C
n
u
o
t

20

10

0
yes no
bought pepsi by watching billboard

Page 41 of 68
GIFT BUSINESS SCHOOL
Results

• Data shows that 18% of the female and 27%of the male respondents have
bought Pepsi buy watching its billboards.
• 27% respondents of age less than16 years, 23% of 16-30 years and
21%of more than 30 years have bought Pepsi by watching its billboard.
• This shows that may be for once but people have bought Pepsi by
watching its billboard.

Age of respondent * gender of respondent * recall billboard of Pepsi Cross


tabulation
Count

recall billboard gender of


of Pepsi respondent Total
female male
Yes age of less than 16
responde 2 4 6
nt
16-30 17 20 37
more than 30 3 4 7
Total 22 28 50
No age of less than 16
responde 3 2 5
nt
16-30 15 14 29
more than 30 4 3 7
Total 22 19 41

Page 42 of 68
GIFT BUSINESS SCHOOL
attractiveness of
15
billboard of pepsi
yes
no
i dont know

12

9
C
n
u
o
t

0
female male
gender of respondent

gender of
30
respondent
female
male

25

20

15
C
n
u
o
t

10

0
yes no
recall billboad of pepsi

Page 43 of 68
GIFT BUSINESS SCHOOL
Results

• The above data shows that male respondents as compared to the females
can easily recall ads.
• Age wise, almost respondents of all ages can easily recall ads of Pepsi.

Age of respondent * gender of respondent * attractiveness of


billboard of Pepsi Cross tabulation

Count
attractiveness
of billboard of gender of
Pepsi respondent Total
female male
yes age of less than 16
0 3 3
respondent
16-30 9 10 19
more than
0 2 2
30
Total 9 15 24
no age of 16-30
8 8 16
respondent
more than
2 2 4
30
Total 10 10 20
I don’t age of less than 16
2 1 3
know respondent
16-30 0 2 2
more than
1 0 1
30
Total 3 3 6

Page 44 of 68
GIFT BUSINESS SCHOOL
gender of
15
respondent
female
male

12

9
C
n
u
o
t

0
yes no i dont know
attractiveness of billboard of pepsi

age of respondent
20
less than 16
16-30
more than 30

15

10
C
n
u
o
t

0
yes no i dont know
attractiveness of billboard of pepsi

Page 45 of 68
GIFT BUSINESS SCHOOL
Results

• The data shows that males find billboards of Pepsi more attractive than
females i.e. 53% and 40% respectively

• 50% respondents of age less than 16 years, 51% of age 16-30 years and
28% of age more than 30 years have opinion that Pepsi billboards are
attractive.

• As major respondents of age 16-30 years finds billboards of Pepsi more


attractive but females of this age group like it more than males.

• The shows that people don’t have strong likeness about the billboards of
Pepsi.

Age of respondent * gender of respondent * different than TV adds Cross


tabulation

Count

different than gender of


TV adds respondent Total
female male
yes age of less than
4 5 9
respondent 16
16-30 28 28 56
more than
7 6 13
30
Total 39 39 78
no age of less than
1 1 2
respondent 16
16-30 4 6 10
more than
0 1 1
30
Total 5 8 13

Page 46 of 68
GIFT BUSINESS SCHOOL
different than tv
60
adds
yes
no

50

40

30
C
n
u
o
t

20

10

0
less than 16 16-30 more than 30
age of respondent

different than tv
40
adds
yes
no

30

20
C
n
u
o
t

10

0
female male
gender of respondent

Page 47 of 68
GIFT BUSINESS SCHOOL
Results
• According to the above data majority of both male and females have the
opinion that billboard ads should be different from TV ads.

• Furthermore, respondents of all ages have common opinion that billboard


ads should be different.

Age of respondent * gender of respondent * billboards featuring celebrity


Cross tabulation

Count
billboards
featuring gender of
celebrity respondent Total
female male
yes age of less than 16
3 5 8
respondent
16-30 25 24 49
more than
7 5 12
30
Total 35 34 69
no age of less than 16
1 1 2
respondent
16-30 7 7 14
more than
0 1 1
30
Total 8 9 17
I don’t age of less than 16
1 0 1
know respondent
16-30 0 3 3
more than
0 1 1
30
Total 1 4 5

Page 48 of 68
GIFT BUSINESS SCHOOL
billboards featuring
50 celebrity
yes
no
i dont know

40

30
C
n
u
o
t

20

10

0
less than 16 16-30 more than 30
age of respondent

billboards featuring
40 celebrity
yes
no
i dont know

30

20
C
n
u
o
t

10

0
female male
gender of respondent

Page 49 of 68
GIFT BUSINESS SCHOOL
Results
• According to the above data 72% male and 79% females have opinion
that billboards featuring celebrity looks attractive.
• Furthermore, 74% respondents of age 16-30 years that makes our
potential market hold opinion that billboard featuring celebrity are different.
Moreover 85%of the respondents of age more than 30 have the positive
opinion.
• Overall majority of all ages are in the favor that billboards featuring
celebrity attracts the most.

Age of respondent * gender of respondent * bottle shape billboard Cross


tabulation

Count
bottle shape gender of
billboard respondent Total
female male
I definitely age of less than 16
1 1 2
like it respondent
16-30 7 7 14
more than 30 1 3 4
Total 9 11 20
I probably age of less than 16
1 3 4
like it respondent
16-30 12 19 31
more than 30 4 3 7
Total 17 25 42
I neither like age of less than 16
3 1 4
not dislike it respondent
16-30 11 3 14
more than 30 2 0 2
Total 16 4 20
I probably age of less than 16
0 1 1
dislike it respondent
16-30 2 2 4
more than 30 0 1 1
Total 2 4 6
I definitely age of 16-30
3 3
dislike it respondent
Total
3 3

Page 50 of 68
GIFT BUSINESS SCHOOL
bottle shape
25 billboard
i definitelty like it
i probably like it
i neither like not
dislike it
20 i probably dislike it
i definitely dislike it

15
C
n
u
o
t

10

0
female male
gender of respondent

bottle shape
billboard
i definitelty like it
i probably like it
30 i neither like not
dislike it
i probably dislike it
i definitely dislike it

20
C
n
u
o
t

10

0
less than 16 16-30 more than 30
age of respondent

Page 51 of 68
GIFT BUSINESS SCHOOL
Results

• The above data shows that majority of the respondents both gender and
age wise hold the opinion that they will probably like it.
• The strong opinion that respondents will definitely like it is small but the
dislikness is also very few.

Age of respondent * gender of respondent * embossed bottle on billboard


Cross tabulation

Count
embossed
bottle on gender of
billboard respondent Total
female male
very age of less than 16
2 3 5
attractive respondent
16-30 9 9 18
more than
1 2 3
30
Total 12 14 26
somewhat age of less than 16
2 1 3
attractive respondent
16-30 20 19 39
more than
5 3 8
30
Total 27 23 50
somewhat age of less than 16
1 1 2
unattractive respondent
16-30 2 4 6
more than
0 1 1
30
Total 3 6 9
very age of less than 16
1 1
attractive respondent
16-30 1 1
Total 2 2
I don’t know age of 16-30
1 1 2
respondent
more than
1 1 2
30
Total 2 2 4

Page 52 of 68
GIFT BUSINESS SCHOOL
embossed bottle on
30 billoard
very attractive
somewhat
attractive
25 somewhat
unattractive
very attractive
i dont know

20

15
C
n
u
o
t

10

0
female male
gender of respondent

embossed bottle on
40
billoard
very attractive
somewhat
attractive
somewhat
unattractive
very attractive
30
i dont know

20
C
n
u
o
t

10

0
less than 16 16-30 more than 30
age of respondent

Page 53 of 68
GIFT BUSINESS SCHOOL
Results

• Gender wise respondents find emboss bottle billboards somewhat


attractive.
• While age wise the data shows that 45% respondents less than 16 years
of age find it very attractive
• 57% of 16-30 years of age and 59%of more than 30 years of age find it
somewhat attractive.

Adds most noticed on media * gender of respondent Cross tabulation

Count
gender of
respondent Total
female male
adds newspaper
most
noticed 2 6 8
on
media
television 29 32 61
billboards 9 8 17
magazines 2 1 3
internet 2 0 2
Total 44 47 91

Page 54 of 68
GIFT BUSINESS SCHOOL
adds most noticed
40
on media
newspaper
television
billboards
magazines
internet
30

20
C
n
u
o
t

10

0
female male
gender of respondent

adds most noticed


50 on media
newspaper
television
billboards
magazines
40
internet

30
C
n
u
o
t

20

10

0
less than 16 16-30 more than 30
age of respondent

Page 55 of 68
GIFT BUSINESS SCHOOL
Adds most noticed on media * age of respondent Cross tabulation

Count
age of respondent Total
less more than
than 16 16-30 30
adds newspaper
most
noticed 3 5 0 8
on
media
television 6 46 9 61
billboards 1 12 4 17
magazines 0 2 1 3
internet 1 1 0 2
Total
11 66 14 91

Results

• Age wise 9% respondents less than 16 years, 18% of 16-30 years and
28% of more than 30 years watch billboards.
• Gender wise males and females watch billboards 17% and 20%
respectively.

Recalled billboards * billboards watch in a day Cross tabulation

Count
billboards watch in a day Total
less less than less than more than
than 10 15 20 20
recalled less than
32 9 2 5 48
billboards 5
5-10 13 11 1 4 29
more than
0 7 2 5 14
10
Total 45 27 5 14 91

Page 56 of 68
GIFT BUSINESS SCHOOL
Results
• The above data shows that 45 out of 91 respondents are exposed to less
than 10 billboards and 71% respondents can recall only less than 5
billboards.
• Moreover 27 out of 91 watches less than 15 billboards and 33% can recall
less than 5, 44% can recall 5-10 billboards and only 25% can recall more
than 10 billboards.
• It means that majority watches ads less than 10 and then can recall very
few ads.

Cross tabulation of age, gender and color of billboards

color of billboards
14
very dark
somewhat dark
medium
12 some what light
very light

10

8
C
n
u
o
t

0
female male
gender of respondent

Page 57 of 68
GIFT BUSINESS SCHOOL
color of billboards
20
very dark
somewhat dark
medium
some what light
very light

15

10
C
n
u
o
t

0
less than 16 16-30 more than 30
age of respondent

Results
• Both males and females are of the opinion that dark color billboards attract
the most.
• Age group less than 16 years is of the view that dark colors make
billboards more attractive while age group16-30 years and more than 30
years think that very dark color billboards attract the most.

Page 58 of 68
GIFT BUSINESS SCHOOL
Cross tabulation of age, gender and size of billboards

size of billboards
20
very large
large size
medium size
small size
very small size

15

10
C
n
u
o
t

0
female male
gender of respondent

Page 59 of 68
GIFT BUSINESS SCHOOL
size of billboards
25
very large
large size
medium size
small size
very small size
20

15
C
n
u
o
t

10

0
less than 16 16-30 more than 30
age of respondent

Results

Both gender and age wise respondents have mixed results and hold the opinion
that size of the attractive billboards should be medium to very large.

Page 60 of 68
GIFT BUSINESS SCHOOL
Cross tabulation of age, gender and shape of billboards
shape of billboards
25
regular shape
some what regular
moderate
some what
irregular
20 irregular shape

15
C
n
u
o
t

10

0
less than16 16-30 morethan30
age of respondent

shape of billboards
20
regular shape
some what regular
moderate
some what
irregular
irregular shape
15

10
C
n
u
o
t

0
female male
gender of respondent

Page 61 of 68
GIFT BUSINESS SCHOOL
Results
• Respondents of less than 16 years of age hold the opinion that attractive
billboards should have somewhat regular shape.

• Furthermore, age groups 16-30 years and more than 30 years think that
somewhat irregular shape can make billboards more attractive.

• Gender wise male think that some what irregular shape billboards attract
most while female have mixed opinion.

Comparison of means of different brands

Report
age of Score Score Score Score score score
respondent coke Pepsi sprite 7up dew fanta
less than Mean
16.36 20.45 16.55 11.55 15.91 10.09
16
N 11 11 11 11 11 11
Std. 10.26
13.685 10.162 7.090 10.445 7.355
Deviation 9
16-30 Mean 17.74 19.30 16.70 14.48 14.92 13.52
N 66 66 66 66 66 66
Std. 13.07
14.393 11.024 12.896 11.866 12.297
Deviation 8
more than Mean
12.50 20.00 21.79 18.21 12.86 15.36
30
N 14 14 14 14 14 14
Std.
4.703 12.403 11.199 9.325 8.926 7.712
Deviation
Total Mean 16.77 19.55 17.46 14.70 14.73 13.38
N 91 91 91 91 91 91
Std. 11.91
13.886 10.991 11.893 11.228 11.214
Deviation 6

Results
• The above table shows that the age less than 16 years has the greatest
mean then age more than 30 years and last is the age 16-30 years i.e.
20.45, 20.00 and 19.30 respectively.

Page 62 of 68
GIFT BUSINESS SCHOOL
• As coke and sprite has close averages to the Pepsi. Pepsi should take
serious measures to make a clear difference between Pepsi and other
brands billboards.

Report
gender of Score Score Score Score Score Score
respondent coke Pepsi sprite 7up dew fanta
female Mean 16.43 18.18 16.75 15.50 15.66 12.14
N 44 44 44 44 44 44
Std.
10.319 13.722 10.482 14.636 12.438 9.072
Deviation
male Mean 17.09 20.83 18.13 13.96 13.85 14.55
N 47 47 47 47 47 47
Std.
13.343 14.064 11.521 8.678 10.022 12.892
Deviation
Total Mean 16.77 19.55 17.46 14.70 14.73 13.38
N 91 91 91 91 91 91
Std.
11.916 13.886 10.991 11.893 11.228 11.214
Deviation

Results

The above table shows that the average likeness about the billboards of Pepsi is
more in males as compared to females.

Surprising findings
Page 63 of 68
GIFT BUSINESS SCHOOL
We asked the following question in the questionnaire

Do ads on billboards play any role in your purchasing decisions?

a). Yes b). No

billboards play role in purchase


y es
no

Pies show counts

48.35%
51.65%

Results

The above graph shows that 51.65% people say that billboards play a role in
there purchase decision.

This that the billboards play a crucial role in the purchase decision of people.

Conclusion

Page 64 of 68
GIFT BUSINESS SCHOOL
The purpose of this project was to find out the current marketing problem of any
firm and then conduct a research, present the findings that will be helpful in
decision making. We did our research on the marketing problem of PepsiCo that
how to make billboards more appealing. By keeping in view the purpose of this
research we defined some primary and secondary objectives. In order to conduct
the research we adopted the survey research method. We chose questionnaire
as a data collection device and probability sampling as a sampling plan.

After collecting the data we analyzed it and made some conclusions based on
findings. We have found that TV advertisement is most noticeable by the people.
A small no. of people observe billboards and a very few no. can remember not
more than 5 billboards.

In our analysis we had a very interesting finding that for majority of the people,
billboards play a vital role in their purchase decision.

Overall the Pepsi consumption is more in teenagers and youngster that makes
the most potential customers .Mostly people buy Pepsi because of its taste and
availability .But advertisement is also another reason of buying Pepsi and this
attitude is more common in youngsters. Although may be for once or more
people have bought Pepsi by watching its billboards that makes a very low
percentage but billboards does play a role in buying.

People have mixed results about the attractiveness of Pepsi billboards. This
shows that people don’t have strong likeness about the billboards of Pepsi and
the Pepsi need to do serious work on that to make there billboards more eye-
catching. Furthermore when Pepsi is compared with other soft drink brands
billboards it is concluded that people find existing Pepsi billboards more
appealing among all other soft drink brands’ billboards. The teenagers has the
greatest likeness about existing Pepsi billboards then age more than 30 years
and last is the youngsters. But the likeness of the people for coke and sprite
billboards lies very close to it.

Moreover, billboards ads should be different from TV ads to make them more
attractive. People of all ages are more likely to get attracted by the billboards on
which celebrities have been introduced.

Other than typical rectangular shape billboards, people are more likely to be
attracted by other shapes. People have been asked about some designs of Pepsi
billboards that are bottle shape billboard or billboard with an embossed Pepsi
bottle and we get the positive replies of the people. The strong opinion that
people will definitely like it is small but the dislikness is also very few.
Furthermore, billboards with dark colors, medium to large size and somewhat
irregular shapes can attract attention of people and remind them that Pepsi is
there.

Page 65 of 68
GIFT BUSINESS SCHOOL
Recommendations

By watching the results of our research we want to give the following


recommendations to the Marketing Executives of Pepsi:

• Try to display the billboards on road sides or in commercial areas


as most of the people observe billboards in busy areas like that.

• Try to use same irregular shape for billboards other than typical
rectangular shape billboards as people feel it more attractive.

• The size of billboard should be draw to make it eye catching.

• The billboards should be different from TV ads as such billboards


are more attractive.

• You should continue to use different celebrities in your billboards


as people can recall the billboards ads displaying celebrities
much easily then others.

• The color of billboards should be different in different seasons as


it has good effects on your customers like in summer use light
and fresh colors while in winter use some dark colors.

• Mostly the people of age less then thirty are more enthusiastic
by billboards so Pepsi should design its billboards by keeping this
fact in mind.

Research Limitations

Page 66 of 68
GIFT BUSINESS SCHOOL
Following are the limitations which we face in conducting the research:

• Time constraints is the major limitation of our research as the


target market of our research is whole population so we need
some more time to make our research more helpful and
meaningful to make the decisions.

• The number of samples is not representative of the whole


population so the results may deviate a little bit from reality.

• The respondents are not much serious in responding our


questions due to many reasons like lack of time, lack of interest
and lack of confidence etc.

• As there are only girls in our group so we conduct our research in


different shopping malls, restaurants, universities and beauty
salons etc. we can’t move door to door for knowing the opinion of
households.

• While filling the questionnaire, some respondents themselves


don’t know what type of billboards they are going to like so they
were confused while filling our questionnaires.

Appendix
Page 67 of 68
GIFT BUSINESS SCHOOL
We are students of BBA in GIFT University and we are
conducting a research to find out the ways of making
attractive billboards. For this regard, we need your prestigious
opinion.

1. Do you watch advertisements?

a). Yes b). No (IF NO. Thanks for your


cooperation)

2. On which media do you mostly notice these ads? (KINDLY CHECK


ONE)

a). Newspapers
b). Television
c). Billboards
d). Magazines
e). Internet
f). Radio

3. Have you recently observed any ad on billboard?

a). Yes b). No

4. At which location do you mostly observe billboards? (CHECK ONE)

a). Traffic Signals


b). Commercial areas
c). Road sides
d). any other please specify

5. How many billboards do you watch in a day?

a). less than 10


b). less than 15
c). less than 20
d). more than 20

6. From these watched billboards, how many can you recall?

a). less than 5


b). 5-10
c). more than 10

Page 68 of 68
GIFT BUSINESS SCHOOL
7. Do ads on billboards play any role in your purchasing decisions?

a). Yes b). No

8. Please allocate 100 scores among these soft drinks according to the
attractiveness of their billboards. (GIVE HIGHEST SCORE TO THE MOST
ATTRACTIVE & PLEASE RECHECK THE TOTAL)

COKE
PEPSI
SPRITE
7-UP
DEW
FANTA
100
9. Can you recall any billboard of Pepsi?

a). Yes b). No (IF NO, SKIP Q-10)

10. Do you feel that the billboards of Pepsi are attractive?

a). Yes b). No c). I don’t know

11. You buy Pepsi because of its (PLEASE CHECK ONE)


(IF YOU CHOOSE OPTION (e) SKIP Q-12)
a). Taste
b). Advertisements
c). Attachment
d). Availability
e). I don’t buy it

12. Have you ever bought Pepsi by watching billboards?

a). Yes b). No

13. If the billboards of Pepsi is of bottle shape then

a). I definitely like it


b). I probably like it
c). I neither like nor dislike it
d). I probably dislike it
e). I definitely dislike it

14. Do you think that the billboard ads should be different from TV
ads?

Page 69 of 68
GIFT BUSINESS SCHOOL
a). Yes b). No

THERE ARE ONLY A FEW MORE QUESTIONS TO GO...


15. Do you think that the billboards featuring celebrity attract the
most?

a). Yes b). No c). I don’t know

16. The most attractive billboards should have

Dark colors 1 2 3 4 5 light colors


Large size 1 2 3 4 5 Small Size
Regular shape 1 2 3 4 5 Irregular shape

17. A billboard with an embossed Pepsi bottle is

a). very Attractive


b). somewhat Attractive
c). somewhat unattractive
d). very unattractive
e). I don’t know

18. What Pepsi can do to make their billboards more appealing?

19. What else Pepsi can do for outdoor advertisement other than
playing billboards?

The following are some personal questions about you that will be
used for statistical purposes only. Your answers will be held in the
strictest confidence.

What is your age?


o Less than 16
o 16-30
o More than 30

What is your gender?


o Female
o Male

How many Pepsi bottles do you drink in a week?


o Less than 10

Page 70 of 68
GIFT BUSINESS SCHOOL
o 10-20
o More than 20
o None

Cycle of PEPSI

Exhibit 1

Page 71 of 68
GIFT BUSINESS SCHOOL
Hierarchy of PEPSI (Gujranwala)

Director

CEOs

Finance Mkt & HRM Research Productio Inventor Shippin MIS


n y
sales g

Employe Employe Employe Employe Employe Employe Employe Employe


es es es es es es es es

Bibliography

Page 72 of 68
GIFT BUSINESS SCHOOL
Journal of Advertising, vol. 35, no. 4 (Winter 2006), pp. 21–34.

Armstrong, J. Scott, Roderick J. Brodie, and Andrew G. Parsons (2001),


“Hypotheses in Marketing Science: Literature Review and Publication Audit,”
Marketing Letters, 12 (May), 171–187.

Bhargava, Mukesh, and Naveen Donthu (1999), “Sales Response to Outdoor


Advertising,” Journal of Advertising Research, 39 (July/August), 7–18

Effectiveness of Outdoor Advertising,” Journal of Advertising Research, 34


(March/April), 46–55

28: Marketing Week 12, 04.07, www.marketingweek.co.uk

www.fleetequipnnentmag.com FLEET EQUIPMENT October 2006 5 1

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