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SUMMER TRAINING PROJECT REPORT On Comparative Study on Mango Drink in regards to Maaza, Frooti and Slice

In partial fulfillment of the requirements for the award of the Degree of


Submitted To: Mis. Madhubala (Faculty Guide) Submitted by: AKBAR ALI Roll No. MBA 1168670015




I hereby declare that the dissertation Comparative Study on Mango Drink in regards to Maaza, Frooti and Slice submitted for the MBA Degree at Accurate Institute Of Advance Management Department of Business Management is my original work and the dissertation has not formed the basis for the award of any degree, associate ship, fellowship or any other similar titles.

Place: Date:

(Akbar Ali) Signature of the Student

This is to certify that the dissertation entitled Comparative Study on Mango Drink in regards to Maaza, Frooti and Slice is the bonafide research work carried out by Mr. Vishal A Mehta student of MBA, at

Department of Business Management during the year 2012 13, in partial fulfillment of the requirements for the award of the Masters in Business Management and that the dissertation has not formed the basis for the award previously of any degree, diploma, associate ship, fellowship or any other title.

(Faculty Guide. Mis. Madhubala)


It gives me great pleasure in submitting this final project report on Comparative Study on Mango Drink in regards to Maaza, Frooti and Slice.

I thank Faculty Guide. Mis. Madhubala for guiding me throughout this project work and also for motivating me in different ways. He has been a tremendous helping hand in completing this difficult task. I am grateful for having had an easy or any time access to such knowledgeable and guiding spirit.

I am also thankful to my family, friends, teachers and staff who have been of great help and support in completion of this report.

I feel there is ample scope of improvement upon the work of this nature and shall be thankful if any suggestion is offered for its improvement.


Chapter No
A B 1 List of Graphs List of Tables Executive Summary 1.1 Scope of the Study 1.2 Objective of the Study 1.3 Research Methodology 1.4 Literature Review 2 Introduction


Page No

1 5 5 6 7 23 23 25 29 32 41 43 46 53 53 58 62 66 66

2.1 Non Carbonated Soft Drink Industry in India 2.2 What is Beverage? Beverage Industry in India 2.3 2.4 Whats in Soft Drink? 3 About the Industry 3.1 Indian Beverage Market 3.2 Study of growth of Soft Drink Market 4 Company Profile 4.1 Coca-cola 4.2 Pepsico 4.3 Parle Agro 5 Players in Mango Drink Segment 5.1 Frooti

5.2 Maaza 5.3 Slice 6 SWOT Analysis 6.1 SWOT Analysis of Mango Drink in India 6.2 SWOT Analysis of Maaza 6.3 SWOT Analysis of Slice

69 71 74 75 76 77

6.4 SWOT Analysis of Frooti 78 Differential analysis of Mango Drink according to price 6.5 in the Market 79 7 8 9 10 11 12 Marketing Mix of Frooti, Maaza and Slice Data Analysis and Findings Recommendations and Suggestions Conclusion Bibliography Annexure 82 90 124 125 126 127


Graph no.
1 2 3

Title of Graph
Top Ten Mango Producing Countries Beverage Industry in India Data Analysis and Findings


Table no. 1 2 3 4 5 6

Title of Table Top Producers of Mangoes, 2008-09 Top Mango Producing Countries of the world 2011 Market Size and Composition of Packaged Foods Indian Beverage Market 2002-07 Sales Volume of non alcoholic drinks in India 2009 Mango Drink Analysis according to Price in Market



Alphonso is a mango cultivar that is considered by many to be one of the best in terms of sweetness, richness and flavor. It has considerable shelf life of a week after it is ripe making it exportable. It is also one of the most expensive kinds of mango and is grown mainly in Kokan region of western India. It is in season April through May and the fruit weigh between 150g and 300g each.

Non aerated Mango drinks like Frooti (Parle Agro Co.), Jumpin (Godrej Industries Ltd), Maaza (Coca Cola Co.), Dukes Mangola and Slice (PepsiCo Inc.) are very popular in India. Many other local brands are also available. Alphonso mangoes are mostly exported from Ratnagiri and sindhudurg districts of Maharashtra.

Here main three mango drinks giants Coca Cola, PepsiCo & Parle Agro marketed their mango drinks i.e. Maaza, Slice & Frooti respectively. India's mango obsession might be as old as the fruit but the business opportunities it is creating for food processing sector is something that has never happened before. While mango drink brands like Coca-Cola (Maaza), Pepsi (Slice), Dabur (Real Mango juice) and Parle Agro (Frooti) are promoting the category with new marketing and advertising campaigns.

New capacities, driven by the mango juice and drink segment, are being added even as the industry consolidates itself. The total domestic processing capacity for the king of fruits has gone up many times in the past two years and now is estimated at 15,000 tonnes per day during the season. The demand for processed Indian mango products is growing by about 25% in both the domestic and the export markets.

The organised beverage market in India is ruled by mango juices, nectars and drinks that have about 85% of the market share; about 38 million cases of mango-based drinks are consumed by Indians every year. Similarly Coca-Cola, whose product Maaza is said to have more than 35% market share for mango drinks in India. The demand for this mango all over India is abnormal. Anybody cant forecast the exact demand & growth of this mango drinks eying on market. India is the world's largest mango producer, accounting for more than 50 per cent of the world's output in 2012.

Top producers of mangoes, 2008-09 Country Production in millions of tons are:-

India China Thailand Indonesia Mexico

Production in millions of tons

13.6 4.2 2.5 2.2 1.9

Pakistan Brazil

1.8 1.2

Top producers of mangoes, 2008-09


"India produced 12,000,000 tonnes of mangoes as against the world's total production of 23,455,000 tonnes -- 51.1 per cent," S Dave, director of Agricultural and Processed Food Products Export Development Authority, said in London.

India China Mexico Thailand Philippines Pakistan Nigeria Indonesia Brazil Egypt

Share in Global production (in %)

51 9 6 5.2 4 3.8 3 2.6 2.5 1

Top Mango Producing Countries of the World Source: CIA World Fact book (2011)


Thus India is worlds Largest manufacturing Country and the companies like Coca-cola, PepsiCo and Parle Agro have a big benefit to manufacture there product which are based on mango. This companys newer get shortage of raw material and it is an added advantage to the companies. SCOPE OF STUDY

1. Detailed study of the non-carbonated soft drinks industry in India. 2. Analysis of Slice, Maaza and Frootis performance against each other. 3. Analyzing consumer perception based on various parameters such as purchase frequency, effect of sales promotion schemes, brand attributes and consumer loyalty, packaging, pricing and advertising.


1. To study the taste and preferences of the consumer among Slice, Maaza and Frooti. 2. To study the marketing mix of Slice, Maaza and Frooti. 3. To study the market share of Frooti in the non-Carbonated Soft Drink (NCSD) category. 4. To study the consumption pattern of the Slice, Maaza and Frooti.

A) 1) DATA COLLECTION Primary Source Consumers


Secondary Source Website Magazines and Newspapers



C) 1)

SAMPLING PLAN Sampling Unit: Who is to be surveyed? Urban Consumers


Sample Size: How many people to be surveyed? 100 Units (of all age groups)


Sampling Procedure: Convenience Sampling

Literature Review


PepsiCo India launches interactive promotion for Mango Slice

Friday, March 09, 2012 This story ran in PEPline, PepsiCos global employee newsletter, and is proudly brought by a PepsiCo employee or a friend or family member of a PepsiCo employee. (

In India, Slice has come up with a unique opportunity for its consumers - an unmatched experience providing "Pure Mango Pleasure," and a special surprise in each of its glass bottles. Through this unique interactive promotion "Katrina ka number, crown ke under" (Katrinas number, under the crown) consumers can win a date with Bollywoods leading actress and Slice brand Ambassador Katrina Kaif.

Every Slice cap features a mobile number which consumers can call and, if they're lucky, they win a date with Katrina. One winner will win a date every

day through


31. Other





merchandize and personalized digital wallpaper.

This Slice campaign is led by a TV commercial that shows Katrina inside a Slice bottle. Directed by Cannes Gold winning director Prakash Varma, the commercial was shot underwater in Thailand, and has artistically captured underwater visuals that give Katrina an ethereal look inside the bottle. Slice is all about the indulgence that is bottled in every single pack, and the concept of this unique initiative is to offer an unforgettable experience to our consumers via every bottle of Slice" said Homi Battiwalla, executive vice president, Colas, Hydration & Mango-based Drinks - PepsiCo India. "We have focused extensively on building engagement with our consumers via exciting experiences planned online and on-ground, including radio integrations, an interactive outdoor campaign with web interfaces and largerthan-life Katrina in a Slice bottle installations, among others."

Article no. 2

Coca-Cola System Investing $2 Billion in Long-Term, Sustainable Growth in India

(Investment includes new infrastructure, partnerships, brand building and sustainability programs)
GURGAON, India, Nov. 14, 2011

Coca-Cola India, the country's leading Beverage Company, today announced that the Coca-Cola system in India will invest US$2 billion over the next five years, beginning in 2012, to further capture the opportunity in the Indian nonalcoholic ready-to-drink (NARTD) beverage market. India is a strategic growth country for The Coca-Cola Company, ranking among its top 10 markets in volume globally and as the largest market in the Eurasia and Africa Group.

Ahmet C. Bozer, Coca-Cola's President, Eurasia and Africa Group, said, "India is one of our most important growth markets as we work toward our 2020 Vision of doubling system revenues and servings this decade. The

opportunity in the packaged beverage segment is immense, and our efforts in India are focused on being the beverage of choice all day, every day. If we continue to do the right things each day and at all times, it would not surprise me if India becomes one of the top five markets for the Company globally by the end of this decade."

NARTD beverages have enormous growth potential in India. The Coca-Cola Company and its bottling partners have robust plans to capture this opportunity with investments in innovation, consumer marketing and brand building, expansion of distribution and cold drink equipment placement as well as further development of manufacturing capacity to meet growing consumer demand.

The Coca-Cola system has already invested over US$2 billion in India since it re-entered the country in 1993, and currently it directly employs more than 25,000 people. The system is estimated to have created indirect employment for more than 150,000 people in related industries through its vast procurement, supply chain and distribution system. The investments announced today by Coca-Cola will further catalyze economic growth and create new opportunities for the local community.

Atul Singh, President & CEO, Coca-Cola India and South West Asia, said, "This investment is a part of our long-term commitment to invest in innovation, partnerships and a portfolio of brands that will enable us to grow our business in a sustainable and responsible way. In addition to our infrastructure and capabilities, the new investment will also focus on enhancing the consumer experience, building brand loyalty and contributing

to environmental sustainability and community development. Our India business has been growing at a robust rate over the last five years, and our goal is to continue this growth momentum. The country's demographics, economic and social parameters are all huge drivers of growth and we have to ensure that we capitalize on the opportunity."

The Coca-Cola Company has registered volume growth in India for the past 21 quarters, 15 of which have seen double-digit growth. Two of the Company's core sparkling brands -- Thums Up and Sprite -- are the country's top selling soft drink brands. Trademark Coca-Cola is one of our fastest growing sparkling brands and Maaza is India's largest selling juice drink. Coca-Cola was recently recognized as India's most trusted beverage brand in Brand Equity's 2011 "Most Trusted Brands Survey," and Coca-Cola India ranks among the top five most respected FMCG companies in India as ranked in Business World's 2011 "Most Respected Companies Survey." The Coca-Cola system has a long history of partnership with nongovernmental organizations in India for community development and sustainability initiatives. As a system, Coca-Cola has now achieved a net zero balance with regard to groundwater usage in India. It is well integrated with local Indian communities and is a valued contributor to economic and social growth. The Company and its bottling partners are strong supporters of education in India through programs like the 'Coca-Cola NDTV Support My School' campaign, which is aimed at creating more than 100 model schools in India. The Company also supports sports programs to encourage active, healthy

living such as the Coca-Cola Under-16 Cup cricket tournament, the CocaCola Mir Iqbal Hussain Trophy football tournament, Sprite Gully Cricket and Sprite NBA Jam. Worldwide, The Coca-Cola Company and its bottling partners are investing nearly $30 billion over the next five years to support anticipated growth across its system. These investments range from new manufacturing facilities to new distribution systems to new marketing investments in emerging economies. The Coca-Cola system currently employs more than 700,000 people worldwide, making it one of the world's top five private employers.

Article no. 3

Coca-Cola India, Jain Irrigation Partner with Farmers to Boost Mango Production (
September 27, 2011

Coca-Cola India and Jain Irrigation have launched a unique partnership to help India's mango famers double their yields and increase their incomes through the use of modern farming practices. Project Unnati will promote the use of Ultra-High Density Plantation (UHDP) practices, which help mango orchards reach their full potential in three to four years, compared with seven to nine years with traditional planting methods. These sustainable techniques also allow nearly 600 trees to be planted on a single acre, compared to the conventional method of 40 trees per acre. During the project's first phase, 200 demo farms between one and three acres will use UHDP techniques for mango cultivation while also utilizing the benefits of drip irrigation. This will improve farmers' annual income by increasing per-acre yields while simultaneously decreasing the amount of water used during mango production.

Coca-Cola India and Jain Irrigation each will invest USD$1 million in the initial phase of the project, which will focus on select farms in the Chittoor and Cudappa districts of Andhra Pradesh. This area is renowned for its production of the Totapuri Mango, a key ingredient in Maaza, India's topselling mango drink. UHDP practices represent viable and sustainable solutions to meet the growing demand for packaged mango-based beverages in the coming years. The initial demo farms will showcase and train farmers on UHDP practices under a capability-building program jointly managed by Coca-Cola University and Jain Irrigation. Coca-Cola University's curriculum of training programs in India includes "Parivartan," which has successfully trained more than 70,000 traditional retailers through classroom teaching and a customized, on-the-go training bus.

Article no. 4

Maaza: Mango mazaa, round the year

By Anushree Bhattacharyya, afaqs!, New Delhi, February 07, 2012

The campaign for the mango drink is based on the thought that things that people desire and love the most should be accessible to them, anytime and anywhere.

The new campaign for Coca-Cola's mango-based drink Maaza focusses on the idea that things that people desire and love the most should be accessible to them, anytime and anywhere.

Conceptualised by Leo Burnett, the television commercial, titled 'Har mausam aam', focusses on how fruit-sellers and vendors engaged in selling mangoes seek alternate employment opportunities (ranging from astrology to dentistry) during off season. With Maaza, consumers can now experience the taste of mango in all seasons. This also provides an employment opportunity to the vendors, who can sell Maaza throughout the year, along with real mangoes during summer. This proposition is further stressed with the tagline Maaza - 'Har mausam aam'.

According to Andriy Avramenko, vice-president, juice business, Coca-Cola India, Indians often passionately debate the experience of having a mango, and it is the experience that they crave more than the taste. "Over the years, we have relished different varieties of mangoes. The latest campaign for Maaza is designed to give all mango lovers the choice to enjoy the superlative taste experience of the delicious fruit all through the year, with a new variety -- Maaza, the 'Har mausam aam', he says.

"The thought is to strengthen brand Maaza's strong association with the mango in a very entertaining and engaging manner," adds Avramenko.

K V Sridhar, national creative director, Leo Burnett, explains, "Whether it is 'Bina guthali walla aam' (seedless mango) and 'Aam ki pyaas bujhaye', to 'Jaldi kya hai', Maaza has always been positioned as an alternative for people who love mangoes and are ready to do anything for it. The new tagline, 'Har mausam aam', combines all earlier thoughts and re-positions Maaza as the natural answer to the problem of being unable to consume mangoes once the summer season gets over."

In addition to a television campaign, Coca-Cola plans to roll out a range of initiatives including out of home (OOH), point of sale merchandise, and onground activations across key markets.

Striking the right chord

The television campaign draws mixed reviews from industry professionals. While most agree that 'Har mausam aam' is the right idea for the brand, they add that the idea could have been brought alive in a more interesting way.

Ryan Menezes, chief creative officer, Percept/H, says, "The ad has a promising start, but ends with a whimper -- with a standard product endorsement style that shows a kid on top of a mango tree mouthing the line. The TVC is, however, well produced and cast. 'Har mausam aam' is a strong platform, which could have probably been exploited better from the viewpoint of the consumer, rather than the mango sellers, though Maaza has been down that path before."

Meraj Hasan, vice-president, strategic planning, Everest Brand Solutions, calls the idea strategically correct on the insight about Indians missing the mango season, and round the year consumption cues.

"Moreover, the mango sellers' side of the story has been executed well, with a good cast, which further makes it entertaining. Over all, the idea of the commercial works and is also a welcome departure from the last 'wannabe commercial' Jaldi kya hai," he adds.

It's all fun and games with Frooti
By Biprorshee Das, afaqs!, Mumbai, April 06, 2011 Continuing with its theme of 'Why Grow Up', Frooti's latest 'Crazy Mango Fun' campaign takes to further engagement with an outdoor game show. The shades are drawn. The ice buckets are out. The aroma of luscious mangoes fills our senses. And, Frooti launches its new campaign as the country waits eagerly to savour the king of fruits. After Frooti 'Slurpbox' and the much popular 'Mango Surprise' campaign last summer, Frooti carries forward the theme of 'Why Grow Up' this year. This time around, it is a game show. The campaign - Crazy Mango Fun created by Creativeland Asia with the team at Parle Agro, is a conceptualised branded entertainment for viewers in the form of a mangothemed outdoor game show. For the game show, called Mango Slam Bam Bam Bam, a set with giant mangoes was created with three mango-based games. Eight rigged cameras on the set captured 150 contestants in the age group of 15-60 years trying their hands at the games over a period of three days.

Multiple 30-second television commercials featuring the participants in the games are being aired, currently. Ram Madhvani of Equinox Films has directed the films. "The last time, we interpreted a certain television format and created it around the mango. This time, we went a step ahead and took on reality game shows," says Sajan Raj Kurup, founder and creative chairperson, Creativeland Asia. "Madhvani and I often joked after the shoot that maybe we should retire and do game shows," Kurup quips. He says that it is challenging to reinvent the category every year and do different things. "All agencies handling similar products get almost the same brief. But, how much more can you keep saying the same thing? We broke Frooti down. It is a fun drink. So, we thought of creating an experience. People will remember people having fun with the mango," says Kurup. "Nobody has the time for verbal gymnastics. We are the market leaders and we want to head confidently and demonstrate the same. That is the genesis of 'Why Grow Up'," he adds. According to Madhvani, it is being ridiculous, but in a good way. He says that communication needs to get people talking about it. "We are not just looking at a stand-off film, but at interaction. The best work in advertising is one that goes beyond the usual and becomes a part of popular culture. With the Frooti campaign, the biggest challenge for me was

to create the atmosphere outside the camera that would capture the emotions, the overwhelming craziness inside it," he says. "My job was not just about placing the cameras, but to capture the reality the mood - to get people to react spontaneously and be themselves," Madhvani adds. Clearly aimed at higher engagement with the consumer, the integrated campaign involves multiple 30-second TVCs featuring the participants, an extensive social media campaign across various vehicles, direct marketing and on-ground activation such as replicating the games at malls and other strategic locations, sampling and radio. A microsite,, is also live where games are being developed, where one can superimpose other faces on the faces of the contestants in the ad and forward it. Frooti is also tying up with a youth channel to run the content as a branded game show and a bigger blast is expected during the IPL. Nadia Chauhan, joint managing director and chief marketing officer, Parle Agro, says, "We have the advantage of using innovation in our communications. The new TVC is radical in its approach, taking this innovative reality TVC format to a whole new level that will help us communicate the brand philosophy of 'Why Grow Up' and connect with consumers across age groups." The media duties for the brand are handled by OMD.

Crazy Enough
The campaign has evoked mixed responses from industry experts. While the strategy that facilitates large scale engagement has been welcomed and much appreciated, the films have met with slight criticism, as well. Brijesh Jacob, managing partner, White Canvas, is of the view that the films get a tad monotonous. "As a format, the previous campaign was far more entertaining. The films in this campaign, in the zone of fun games, get a bit repetitive after a few watches. If you have seen one film, you feel you have seen them all. The level to up the humour in some gets a little slapstick, too," says Jacob. However, he is all for the strategy, which he thinks works well for the brand to stay on top of the mind. "It is fantastic. There is only so much you can talk about with a product like this. It is a low involvement category, and it is very important for the brand to stay on the top of the consumer's mind. So, it is phenomenal for the brand to take that higher ground," Jacob says. Jitender Dabas, vice-president and head, planning, McCann Erickson, looks at the campaign at large, offering his comment on the same, as well as the category. According to him, Frooti occupying the territory of fun, has both its advantages, as well as risks.

"Mango as a fruit can be seen at two levels. It is associated with extreme taste cravings, as well as the fun that is associated with the fruit. Frooti seems to occupy the fun category. The creative device generates curiosity instead of craving. The format breaks clutter, creates buzz and has the potential to step off TV for a complete integrated campaign," says Dabas. "In this case, however, the advertising will be talked about much more than the product. Do I feel like reaching out for a mango drink after watching the ad? No! Will I be talking about the campaign? Yes! Right now, Frooti might not have to bother with the campaign having such clutter breaking potential, but Maaza and Slice are focussing on taste and craving. Hence, there is a risk of the brand losing the taste association," adds Dabas.





The non-carbonated SOFT DRINK (NCSD) sector can be classified as Fruit drinks, Nectar and Juices. The classification is based on the percentage of the fruit pulp content in the beverage.

Fruit drink has to have minimum fruit pulp content of 10%, while Nectar needs to have a minimum fruit pulp content of 25%. The total size of the branded noncarbonated beverages in the organized segment is estimated at Rs.500 crores. The Fruit drink segment is estimated at Rs.250-300 crores, while the Juice market (Branded & Packaged) is estimated at Rs 150 crores.

Nectar is a small category of around Rs 35-50 crores. In the fruit drink category, Parles Frooti, Godrejs Jumpin and Coca-Colas Maaza and Pepsis Slice are the major brands. In the Nectar segment, the key national players are - Dabur, Godrej Xs and Parles Appy.

The two key national level players in the juice segment are Tropicana and Real. Real is the market leader with 55-60% market share. Tropicana has an estimated share of 30-35%. Several local / regional brands also exist, besides a huge unorganized sector.

The Juice category is the fastest growing segment at present, estimated to be growing by 20-25% p.a. The fruit drinks category has also been witnessing growth of around 5% p.a. The main reason for this growth in the NCSD Category is the change of the consumer preference from the carbonated to the non-carbonated soft drink sector mainly due to increasing Health Awareness among consumers and the Pesticide issue relating to Coke and Pepsi.

In the Fruit Drink segment, Frooti is the clear market leader with around 85% market share but in the NCSD category as a whole, its 12 share has been declining because of the growth in Fruit Juice segment.

So, with the growth of the NCSD category, Frooti has to compete with all the segments in this category to take a larger share of this growth.

What is beverage?

A drink, or beverage, is a liquid specifically prepared for human consumption. In addition to basic needs, beverages form part of the culture of human society. Or any liquid suitable for drinking; Or a liquid to consume, usually excluding water; a drink. This may include tea, coffee, liquor, beer, milk, or soft drinks.

Types of beverage The various types of beverage are: Alcoholic beverages Non-Alcohol beverages Soft drinks Fruit juice Hot beverages Other

1. Alcoholic beverages

An alcoholic beverage is a drink containing ethanol, commonly known as alcohol, although in chemistry the definition of an alcohol includes many

other compounds. Alcoholic beverages, such as wine, beer, and liquor have been part of human culture and development for 8,000 years. 2. Non-alcohol beverages

Non-alcoholic beverages are drinks that would normally contain alcohol, such as beer and wine but are made with less than .5 percent alcohol by volume. The category includes drinks that have undergone an alcohol removal process such as non-alcoholic beers and de-alcohol zed wines.

Non-alcoholic variants: Low alcohol beer Non-alcoholic wine Sparkling cider

3. Soft drinks

The name "soft drink" specifies a lack of alcohol by way of contrast to the term "hard drink" and the term "drink", the latter of which is nominally neutral but often carries connotations of alcoholic content. Beverages like colas, sparkling water, iced tea, lemonade, squash, and fruit are among the most common types of soft drinks, while hot chocolate,

hot tea, coffee, milk, tap water, alcohol, and milkshakes do not fall into this classification. Many carbonated soft drinks are optionally available in versions sweetened with sugars or with non-caloric sweeteners.

4. Fruit juice

Juice is a liquid naturally contained in fruit or vegetable tissue. Juice is prepared by mechanically squeezing or macerating fresh fruits or vegetables without the application of heat or solvents. For example, orange juice is the liquid extract of the fruit of the orange tree. Juice may be prepared in the home from fresh fruits and vegetables using variety of hand or electric juicers. Many commercial juices are filtered to remove fiber or pulp, but high pulp fresh orange juice is a popular beverage. Juice may be marketed in concentrate form, sometimes frozen, requiring the user to add water to reconstitute the liquid back to its "original state"

5. Hot beverages

Hot beverages, including infusions. Some times drunk chilled. Coffee-based beverages Cappuccino Coffee Espresso Caf au lait Frappe Flavored coffees (mocha etc.) Latte

Hot chocolate

Hot cider Mulled cider Tea-based beverages Flavored teas (Chai etc.) Green tea Pearl milk tea Tea Herbal teas Yerba Mate Roasted grain beverages Sanka

6. Other

Some substances may either be called food or drink, and accordingly be eaten with a spoon or drunk, depending on solid ingredients in it and on how thick it is, and on preference: Soup Yogurt


India is home to one of the most ancient cultures in the world dating back over 5000 years. Beverages industry in India plays an important role in the Indian FMCG market. It is an industry, in which the players constantly innovate, in order to come up with better products to gain more market share and to satisfy the existing consumers.








The beverage industry is vast and there various ways of segmenting it, so as to cater the right product to the right person. The different ways of segmenting it are as follows: Alcoholic, non-alcoholic and sports beverages Natural and Synthetic beverages In-home consumption and out of home on premises consumption. Age wise segmentation i.e. beverages for kids, for adults and for senior citizens

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

Four strong strategic elements to increase consumption of the products of the beverage industry in India are: The quality and the consistency of beverages needs to be enhanced so that consumers are satisfied and they enjoy consuming beverages. The credibility and trust needs to be built so that there is a very strong and safe feeling that the consumers have while consuming the beverages. Consumer education is a must to bring out benefits of beverage consumption whether in terms of health, taste, relaxation, stimulation, refreshment, well-being or prestige relevant to the category. Communication should be relevant and trendy so that consumers are able to find an appeal to go out, purchase and consume.

The beverage market has still to achieve greater penetration and also a wider spread of distribution. It is important to look at the entire beverage market,

as a big opportunity, for brand and sales growth in turn to add up to the overall growth of the food and beverage industry in the economy.

Whats in Soft Drinks?

Soft drinks have been part of the American lifestyle for more than 100 years. Many of todays soft drinks are the same as the first ones enjoyed in the 1800s.

Soft drink production begins with the creation of flavored syrup using a closely-guarded company recipe. The syrup is mixed with purified water and

then carbonated by adding carbon dioxides gas under pressure. This carbonation creates the tingly fizz that gives soft drinks a refreshing taste. Now for a closer look at soft drink ingredients.

Like other foods, the ingredients that are used soft drinks are approved and closely regulated by the U.S. Food and Drug Administration (FDA). All of the ingredients used in soft drinks are found in a variety of other foods.

Soft drink production starts with a pure source of water. Regular soft drinks contain 90% water, while diet soft drinks contain up to 99% water. Drinking water often contains trace amounts of various elements that affect its taste. You have probably noticed that tap water tastes different in various regions of the country. Bottlers use sophisticated filtering and other treatment equipment to remove any residual impurities and to standardize the water used to make soft drinks.

Carbon Dioxide
A colorless and odorless gas, carbon dioxide is the essential characterizing in all carbonated beverages. It is given off when we breathe and is used by plants to produce oxygen.

When dissolved in water, carbon dioxide imparts a unique taste. For that reason natural sources of carbonated, or effervescent, mineral waters were

once highly prized. These rare mineral waters were also believed to have beneficial medicinal properties. Efforts to make and sell artificial effervescent mineral water were well underway in Europe and the U.S. by 1800. It was the innovative step of adding flavors to these popular soda waters that gave birth to the soft drink beverages we enjoy today. In the early days of soft drink manufacturing, carbon dioxide was made from sodium salts. This is why carbonated beverages were called sodas or soda water.

Today, bottlers buy pure carbon dioxide as a compressed gas in highpressure cylinders. Carbon dioxide gas is absorbed into the flavored soft drink in a carbonator machine just before the container is sealed. While under pressure and chill the soft drink may a sorbe up to four times the beverage volume of carbon dioxide. When you open a soft drink bottle or can, he pop you hear and the fizz you see is the rapid escape of carbon dioxide gas caused by the sudden release of pressure on the beverage.

One of the most important ingredients in soft drinks is flavoring. Most soft drink bottlers mix many individual flavors to create distinctive tastes.

Natural flavors in soft drinks come from spices, natural extracts and oils. Fruit-flavored soft drinks such as orange and lemon-lime often contain

natural fruit extracts. Other flavors such as root beer and ginger ale contain flavorings made from herbs and spices.

There are also some artificial or man-made flavorings used in soft drinks. Nature does not produce enough of some flavors to satisfy world demand. Also, some natural flavors are limited geographically and seasonally.

Many people dont realize how important color is to taste perception. Color affects our psychological impression of food. If you don believe it, try eating a familiar food in the dark. The colors used in foods and beverages come from both natural and synthetic sources.

Caffeine is a substance that occurs naturally in more than 60 plants including coffee beans, tealeaves, kola nuts and cacao beans. In some cases, small amounts of caffeine are added to soft drinks as part of the flavor profile. The amount of caffeine in a soft drink is only a fraction of that found in an equal amount of coffee or tea.

Caffeine has a classic bitter taste that enhances other flavors. It has been part of almost every cola-and pepper-type beverage since they were first formulated more than 100 years ago and has been enjoyed in coffee, tea and chocolate beverages for centuries.

Even though some people feel the effects of caffeine are harmful, scientific research has refuted these claims. The long history of caffeines use confirms that it is safe when consumed in moderation. For people who wish to restrict their caffeine, many caffeine-free soft drinks are available.

Similar to fruit juices and many other food products, most soft drinks are slightly acidic. Acidulates add a pleasant tartness to soft drinks and act as preservative. Some soft drinks contain a small amount of one or two common foods acidulates phosphoric acid and citric acid occasionally, other acidulates such as malic acid or tartaric acid are also used.

Soft drinks do not normally spoil because of their acidity and carbonation. However, storage conditions and storage time can sometimes impact taste and flavor. For this reason, some soft drinks contain small amounts of preservatives that are commonly used in many foods.

Potassium is another essential nutrient found many natural and man-made food ingredients. Like sodium, potassium exists naturally in drinking water

and, therefore, soft drinks. Small amounts of potassium are also found in some of the flavoring agents and other ingredients used in soft drinks.

Because the names soda pop, soda water was associated with early soft drinks, many people falsely believe that carbonated beverages contain significant amounts of sodium. This is not true.

Sodium, in the form of various salts, is present in many natural and manmade compounds. It is an essential mineral nutrient responsible for regulating and transferring body fluids, as well as other important body functions. Although an adequate daily intake of sodium is necessary for good healthy, excessive consumption has been tied to high blood pressure in some people.

Soft drinks are not significant sources of sodium in the diet. In fact, the local drinking water supply used in making soft drinks contributes most or all of the sodium. Small amounts of sodium in some soft drinks can also come from other ingredients. Soft drinks are classified by FDA as low or very low sodium foods. Even people who are advised to restrict their intake of sodium by their doctor can usually drink and enjoy soft drinks with their doctors approval. Sodium-free soft drinks are available.


Non-Diet Soft Drinks

Most regular (non-diet) soft drinks are sweetened with sucrose or high fructose corn syrup, (HFCS0). A mixture of these sweeteners may also be form sugarcane or sugar beets. HFCS is a newer and more convenient liquid sweetener, similar to sucrose but made from corn. It is now use in many prepared foods.

With either, the amount of sweetener in a soft drink ranges from 7 to 14%, about the same amount as a glass of pineapple or orange juice. Both sucrose and HFCS are easily digested carbohydrates, and carbohydrates are an important part of the diet. They provide calories, which are the source of energy for the body.

Sometimes thought to be more fattening than other foods sugar actually contains the same number of calories by weight as protein (4 calories/gram), and less than half the calories of fat (9 calories/gram). Sugars also contain far fewer calories than alcohol (7 calories/gram).

Diet Soft Drinks

The popular class of beverages known as diet soft drinks is made possible by the intensely sweet substances we refer to as diet or low calorie sweeteners. Aspartame, saccharin, sucralose and a casual fame K are

approved for use in soft drinks today and sweeteners remains an active area of food research. By choosing from a variety of different sweeteners, manufacturers can blend sweeteners to match beverage formulations and better appeal to all consumer tastes and preferences.

After many years of scientific testing, aspartame was first approved for use in some foods in 1981, and for soft drinks in 1983. it has been reviewed and approved, not only by the U.S. Food and Drug Administration (FDA), but also by the governments of more than 60 countries and the World Health Organization. Aspartame is a nutritive sweetener, meaning it is easily digested and provides calories. However, its sweetening power is so great that the tiny amount needed to sweeten a soft drink adds less than one caloric per 12ounce can.

Soft drink companies use slightly different amounts of aspartame in various flavor recipes. Most diet soft drinks are sweetened with aspartame alone, but some may contain a blend of aspartame and saccharin. If aspartame is the only sweetener used, about 15 milligrams per ounce of beverage is added. As other diet sweeteners become available, more sweetener blends are likely to be used.


Saccharin has many desirable properties that make it a valuable food ingredient. It is extremely sweet about 300 times sweeter than sugar and contributes no calories. It is stable in foods and is metabolically inert, which means that it goes through the body without changing. Finally, it is relatively inexpensive.

Because of some concerns raised in the late 1970s, labels formally were required on all products containing saccharin. It is now generally accepted by academic scientists, the federal governments National Toxicology Program and various international health organizations that there is no risk in consuming saccharin. The many years of saccharin use demonstrate not only its popularity with soft drink manufacturers, but also with consumers.

Acesulfame k
Acesulfame K, under the brand name of Sunnett, is an example of a new diet sweetener approved for soft drinks by the FDA in 1998. Acesulfame K is a calorie free, heat stable sweetener that is 200 times sweeter than sugar.

Sucralose was approved by the FDA in 1998 for use in a wide variety of food products including soft drinks. Sucralose is a low calorie, high-intensity sweetener that is about 600 times sweeter than sugar. It is sold under the brand name of Splenda Sucralose and sucrose (sugar) have been shown to have similar taste and flavor profiles.

A number of other fascinating low-calorie sweeteners are currently undergoing safety evaluations for future use. These include all-time, a compound similar to aspartame that is remarkably 2,000 times sweeter than sucrose and various naturally occurring plant derivatives, such as stevia and thaumatin.




The beverage market is worth $55 billion worldwide. The tides are turning for many beverage categories. While the carbonated soft drink and beer categories are merely treading water with flat sales, the energy drink category is surging ahead like never before.

Bottled water, ready-to-drink coffee, ready-to-drink tea and sports drinks follow close behind with substantial sales increase- drinks without added sugar, no beer, along with developments in juice drinks and dairy-based drinks, are helping to turn around sales in these categories. What follows is a category-by-category look at the state of the beverage industry, including the top brands, new products, innovations and future trendsetters.

In order to be successful in the marketplace, one has to think in terms of health innovation, flavor innovation, ingredient innovation and specific age groups. These are the factors that will shape the future of the beverage industry. Todays consumers are concerned with overall health and wellness. As a result, there is significant impact on food and beverage purchases. Many studies have shown that consumers are as concerned with good health as they are about maintaining a high quality of life.

Do you know what type of new beverage consumers are most likely to try? Do you know where they are most likely to pick those products up? Do you know why?

Beverage Industry wanted to know the answers to these questions and to delve deeper into the ever-increasing number of new product launches in the beverage market. The soft drink industry is training people to seek out new products, even the big guys are coming out with limited-edition flavors, and consumers are beginning to see that there is more flavor activity going on in

the category. Whether that really nets anybody any sales gains is another thing, but it is teaching consumers to seek out and try new products. Its also trying to create some excitement there.

In spite of several challenges and restrictions faced by this industry, it is a roll like never before. Customer preferences may have shifted, but they are still always on the look out for a can of coke or a new flavored drink to quench their thirst.


The size of the Indian food processing industry is around $ 65.6 billion, including $20.6 billion of value added products. Of this, the health beverage industry is valued at $230 million; bread and biscuits at $1.7 billion; chocolates at $73 million and ice creams at $188 million.

The size of the semi-processed/ready-to-eat food segment is over $1.1 billion. Large biscuits & confectionery units, Soya processing units and starch/glucose/sorbitol producing units have also come up, catering to domestic and international markets.

The three largest consumed categories of packaged foods are packed tea, biscuits and soft drinks. The Indian beverage industry faces over supply in segments like coffee and tea. However, more than half of this is available in unpacked or loose form. Indian hot beverage market is a tea dominant market. Consumers in different parts of the country have heterogeneous tastes. Dust tea is popular in southern India, while loose tea in preferred in

western India. The urban-rural split of the tea market was 51:49 in 2000. Coffee is consumed largely in the southern states.

The size of the total packaged coffee market is 19,600 tones or $87 million. The total soft drink (carbonated beverages and juices) market is estimated at 284 million crates a year or $1 billion. The market is highly seasonal in nature with consumption varying from 25 million crates per month during peak season to 15 million during off-season. The market is predominantly urban with 25 per cent contribution from rural areas. Coca cola and Pepsi dominate the Indian soft drinks market. Mineral water market in India is a 65 million crates ($50 million) industry. On an average, the monthly consumption is estimated at 4.9 million crates, which increases to 5.2 million during peak season.

Source: Euromonitor International 2009



Carbonated drinks are dominated by artificial flavors based on cola, orange and lime with Pepsi and coca-cola dominating the market. The entire part of the drink is based on its artificial flavors and sweetening agents as no natural juice is used.

Soft Drinks in India industry profile provide top-line qualitative and quantitative summary information including: market size (value, and forecast to 5). The profile also contains descriptions of the leading players including key financial metrics and analysis of competitive pressures within the market. Essential resource for top-line data and analysis covering the India soft drinks market includes market size data, textual and graphical analysis of market growth trends, leading companies and macroeconomic information.

The soft drinks market consists of retail sale of bottled water, carbonates, concentrates, functional drinks, juices, RTD tea and coffee, and smoothies. However, the total market volume for soft drinks market excludes the concentrates category. The market is valued according to retail selling price (RSP) and includes any applicable taxes. Any currency conversions used in

the creation of this report have been calculated using constant 2010 annual average exchange rates.

The Indian soft drinks market generated total revenues of $3.8 billion in 2010, representing a compound annual growth rate (CAGR) of 11% for the period spanning 2006-2010.

Carbonates sales proved the most lucrative for the Indian soft drinks market in 2010, generating total revenues of $1.9 billion, equivalent to 50.5% of the market's overall value.

The performance of the market is forecast to decelerate, with an anticipated CAGR of 9.1% for the five-year period 2010-2015, which is expected to lead the market to a value of $5.9 billion by the end of 2015.

Soft and Aerated Drinks

The 50-bn-rupee soft drink industry is growing now at 6 to 7% annually. In India, Coke and Pepsi have a combined market share of around 95% directly or through franchisees. Campa Cola has a 1% share, and the rest is divided among local players. Industry watchers say, fake products also account for a good share of the balance. There are about 110 soft drink producing units (60% being owned by Indian bottlers) in the country, employing about 125,000 people. There are two distinct segments of the market, cola and non-cola drinks. The cola segment claims a share of 62%, while the non-cola segment includes soda, clear lime, cloudy lime and drinks with orange and mango flavours.

The per capita consumption of soft drinks in India is around 5 to 6 bottles (same as Nepal's) compared to Pakistan's 17 bottles, Sri Lanka's 21, Thailand's 73, the Philippines 173 and Mexico 605. The industry contributes over Rs 12 bn to the exchequer and exports goods worth Rs 2 bn. It also supports growth of industries like glass, refrigeration, transportation, paper and sugar.

The Department of Food Processing Industries had stipulated that 'containsno-fruit-juice' labels be pasted on returnable glass bottles. About 85% of the soft drinks are currently sold in returnable bottles. There was a floating stock of about 1000 mn bottles valued at Rs 6 bn. If the industry were to abide by the new guidelines, it would have to invest in new bottles, resulting in a cost outgo of Rs 5 bn. Neither Coke nor Pepsi is in a position to invest such a large amount.

Around 400,000 tonnes of raw material would be required to replace the existing stock of bottles. Instead, the soft drink industry suggested that a seven-year moratorium be extended to the industry so that it can incorporate the change in a phased manner. There is no such mandatory requirement anywhere in the world to specifically label the glass surface of returnable bottles. The government has decided to extend the date for replacing the bottles to end-march 2006. In the meantime, the producers have shifted substantially to the use of PET bottles.

Soft and aerated drinks were considered products for the middle class and the affluent. That segregation is no more valid. Soft and aerated drinks are consumed by all except those who cannot afford to buy any drink. An

NCAER study says that 91% soft drink sales are made to the lower, middle and upper middle classes. The soft drink industry has been urging the government to categorise aerated waters (soft drinks) equitably with other consumer products of mass consumption and remove special excise duty.

The industry estimates that the beverage market should grow at twice the rate of GDP growth. The Indian market should have, therefore, grown by atleast 12%. However, it has been growing at a rate of about 6%. In contrast, the Chinese market grew by 16% a year, while the Russian market expanded at almost four times the rate of growth of the Indian market.

It may be recalled that Coca-Cola, the world's number one player, was present in India for a long time in collaboration with an Indian producer but was thrown out in the late 1970s. It reappeared in India following the economic liberalization era - but after its rival, world's number two, had already entered in a big way following a long and tough fight against the opposition from the domestic producers. When Coca-Cola re-entered, it installed a new milestone. It acquired the well flourishing India's top player, Parle. Since then it is basically a fight between the two American giants. Others are playing a peripheral role, as adjuncts to the two MNCs.

World's third biggest player, Cadbury Schweppes, had also made an entry but was gobbled up by Coca-Cola. When Coca-Cola acquired Parle brands, it was, in fact, buying the bottling facilities, the marketing network, and the established consumer preference during the market build-up. The brands were a drag on the global brand. Since Coca-Cola was not interested in brands (like Thumps Up), it did not promote them.

The result, at least, in the short run was a loss of the market to the competitor. Coca-Cola decided to market more effectively the Parle brands. It had in its armoury Coke, Thumps Up, Limca and Fanta. The latest to enter market was Parles erstwhile Rimzim, alongside Portello, a black currant flavoured drink, very popular in Srilanka.

Coca-Cola operates through 35 plants and 16 franchisees throughout the country, while PepsiCo has 20 plants, but it has 7 more franchisees at 23 to 16 of its rival. Coca-Cola claims a market share of 51%, while Pepsi has a share of 46%. The claims, however, remain disputed. The other smaller players like Pure Drinks Ltd claim the rest of the market.

The shares of the two lead players are consolidated figures, which include the respective bottlers. Coca-Cola had approached the government for a five year extension for divesting 49% equity in its bottling subsidiary, Hindustan Coca-Cola Holdings. It had set up the marketing subsidiary as part of its strategy to integrate all its bottling operations, both company-owned and franchisee bottlers, apparently keeping in line with its global policy. All together, it had bought initially over 38 franchisee bottlers.

Kandhari Beverages, coke bottlers for north have been eyeing to lift a stake in Coca-Cola India. Coca-Cola had filed an application to offload 49% stake of its bottling operations in favour of their Indian operators. Besides Kandhari, three other bottlers, one each from Uttar Pradesh, Gujarat and Jammu, were lined up to invest in Hindustan Coca-Cola Holding. Kandhari has already invested Rs 300 mn in 1999 and 2000 to upgrade its capacity.

The total investment by all the four was expected to be Rs 1000 mn. Both Coca-Cola and PepsiCo planned for the launch of lemon-flavored versions of their products. Both have been expanding their non-carbonated drink line-ups, as consumers seem to be shifting away from carbonated soft drinks. PepsiCo is deliberating whether to come out with Pepsi Twist, a cola mixed with lemon. But while both companies have juice sports drinks, bottled water and other such drinks in their line-ups, neither coke nor Pepsi has launched a new national variety of a cola-flavoured carbonated soft drink in years.

PepsiCo had achieved Rs 3 bn worth of exports, which include processed foods, basmati rice, guar gum and soft drinks concentrate. PepsiCo completed the second phase of its expansion and with this expansion, PepsiCo was to explore the possibility of expanding the export of concentrates to more countries in addition to the exports to Russia and other South Asian countries.

Pepsi India has entered into a marketing tie up with Hindustan Lever to promote sales of soft drinks through Pepsi-HLL network of vending machines and fountains. The major soft drink brand in the Pepsi stable are Pepsi, 7UP, Mirinda, Tropicana and Acquafina.

As a major strategic departure, both MNCs were expanding their brand range. Consequent to some diversifying moves, at present, the sales ratio of Coca-Cola between soft drinks and other beverages is 95.5. The company intended to change this to 80:20 in the next three years. Its juice brand, Maaza - acquired from Parle a few years ago - is being given a major


It has plans to go in for canned coffee, iced tea and

purified categories under expansion schemes. It has already launched its bottled water brand, Kinley, in the Indian market. Besides, it is intending to acquire domestic brands in the non-carbonated beverages segment.

The global deal between Coca-Cola and P&G to form a snacks and beverages joint venture company was reported to have slipped into rough weather. The P&G brand of potato wafer, Pringles, seemed to be faced with distribution problems in India. P&G had globally tied up with Coca-Cola to form a stand-alone juice and snacks company. The new firm is focused on developing and marketing new juices, juice based beverages and snacks on a global basis.

The Sharjah-based Allied Beverages was pushing its Ahlan brand in India, having entered the market in mid-2000. Its target was carbonated drinks market in PET bottles. Its plans were to launch a PET bottle in the popular 300 ml category. Ahlan expected to gain a 12% share of the total PET bottle market in northern India. Of the total market, PET bottle segment is approximately 12%. Presently, Allied Beverages has a manufacturing unit at Dharuhera in Haryana.

The product range includes carbonated drinks - cola, orange, lemon and soda in three pack sizes - 500 ml, 1500 ml and 2000 ml. Allied Beverages sells non-carbonated drinks in 200 ml food grade cups priced at Rs 7 in its portfolio, available in four different flavours. The company's future plans include pulp-based fruit drinks in flavours, which will be available in 200 ml non-returnable glass bottles.



Coca-Cola was created in 1886 by John S Pemberton, a pharmacist in Atlanta, Georgia, who sold the syrup mixed with fountain water as a potion for mental and physical disorders. The formula changed hands three more times before Asa D. Candler added carbonation and by 2003, Coca-Cola was the worlds largest manufacturer, marketer, and distributor of nonalcoholic beverage concentrates and syrups, with more than 500 widely recognized beverage brands in its portfolio.

With the bubbles making the difference, Coca-Cola was registered as a trademark in 1887 and by 1895, was being sold in every state and territory in the United States. In 1899, it franchised its bottling operations in the U.S., growing quickly to reach 370 franchisees by 1910. Headquartered in Atlanta with divisions and local operations in over 200 countries worldwide, CocaCola generated more than 70% of its income outside the United States by 2003.

INTERNATIONAL EXPANSION Cokes first international bottling plants opened in 1906 in Canada, Cuba, and Panama. By the end of the 1920s Coca-Cola was bottled in twentyseven countries throughout the world and available in fifty-one more. In spite of this reach, volume was low, quality inconsistent, and effective

advertising a challenge with language, culture, and government regulation all serving as barriers. Former CEO Robert Woodruffs insistence that CocaCola wouldnt suffer the stigma of being an intrusive American product, and instead would use local bottles, caps, machinery, trucks, and personnel contributed to Cokes challenges as well with a lack of standard processes and training degrading quality. Coca-Cola continued working for over 80 years on Woodruffs goal: to make Coke available wherever and whenever consumers wanted it, in arms reach of desire. The Second World War proved to be the stimulus Coca-Cola needed to build effective capabilities around the world and achieve dominant global market share. Woodruffs patriotic commitment that every man in uniform gets a bottle of Coca-Cola for five cents, wherever he is and at whatever cost to our company was more than just great public relations. As a result of Cokes status as a military supplier, Coca-Cola was exempt from sugar rationing and also received government subsidies to build bottling plants around the world.

TURN OF THE CENTURY GROWTH IMPERATIVE The 1990s brought a slowdown in sales growth for the Carbonated Soft Drink (CSD) industry in the United States, achieving only 0.2% growth by 2000 (just under 10 billion cases) in contrast to the 5-7% annual growth experienced during the 1980s. While per capita consumption throughout the world was a fraction of the United States, major beverage companies clearly had to look elsewhere for the growth their shareholders demanded.

The looming opportunity for twenty-first century was in the worlds developing markets with their rapidly growing middle class populations. THE WORLDS MOST POWERFUL BRAND Interbrands Global Brand Scorecard for 2003 ranked Coca-Cola the #1 Brand in the World and estimated its brand value at $70.45 billion. The rankings methodology determined a brands valuation on the basis of how much it was likely to earn in the future, distilling the percentage of revenues that could be credited to the brand, and assessing the brands strength to determine the risk of future earnings forecasts. Considerations included market leadership, stability, and global reach, incorporating its ability to cross both geographical and cultural borders.

From the beginning, Coke understood the importance of branding and the creation of a distinct personality. Its catchy, well-liked slogans (Its the real thing (1942, 1969), Things go better with Coke (1963), Coke is it (1982), Cant beat the Feeling (1987), and a 1992 return to Cant beat the real thing) linked that personality to the core values of each generation and established Coke as the authentic, relevant, and trusted refreshment of choice across the decades and around the globe.

PATENTS, COPYRIGHTS, TRADE SECRETS AND TRADEMARKS Company owns numerous patents, copyrights and trade secrets, as well as substantial know-how and technology, which we collectively refer to as technology. This technology generally relates to Companys products and

the processes for their production; the packages used for products; the design and operation of various processes and equipment used in business; and certain quality assurance software. Some of the technology is licensed to suppliers and other parties. Companys sparkling beverage and other beverage formulae are among the important trade secrets of Company.

Company own numerous trademarks that are very important to business. Depending upon the jurisdiction, trademarks are valid as long as they are in use and/or their registrations are properly maintained. Pursuant to companys bottlers agreements, company authorize bottlers to use applicable Company trademarks in connection with their manufacture, sale and distribution of Company products. In addition, we grant licenses to third parties from time to time to use certain of companys trademarks in conjunction with certain merchandise and food products.

EMPLOYEES Company refer to its employees as associates. As of December 31, 2009 and 2008, Company had approximately 92,800 and 92,400 associates, respectively, of which approximately 17,900 and 16,500, respectively, were employed by consolidated variable interest entities (VIEs). The increase in the total number of associates in 2009 was primarily due to an increase in the Latin America operating group driven by its finished product business, as well as an increase in the Bottling Investments operating group. These increases were partially offset by the impact of the Companys ongoing productivity initiatives. As of December 31, 2009 and 2008,

Company had approximately 11,700 and 13,000 associates, respectively, located in the United States, including Puerto Rico, of which approximately 190 and 90, respectively, were employed by consolidated VIEs.

Coca cola Company, through its divisions and subsidiaries, has entered into numerous collective bargaining agreements. Company currently expect that it will be able to renegotiate such agreements on satisfactory terms when they expire. The Company believes that its relations with its associates are generally satisfactory.

PepsiCo is a world leader in convenient foods and beverages, with revenues of about $27 billion and over 147,000 employees. The company consists of the snack business of Frito-Lay North America and the beverage and food businesses of PepsiCo Beverages and Foods, which includes PepsiCo Beverages North America (Pepsi-Cola North America and

Gatorade/Tropicana North America0 and Quaker Foods North America.

PepsiCo International includes the snack businesses of Frito-Lay International and beverage businesses of PepsiCo Beverages International. Pepsi Co brands are available in nearly 200 countries and territories. Many of PepsiCos brand names are over 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 Comp0any, including Gatorade, in 2001. PepsiCos success is the result of superior products, high standards of performance, distinctive competitive strategies and the high integrity of our people. Our mission is to be the worlds 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. PepsiCos beverage business was founded at the turn of the century by Caleb Bradham, a New Bern, North Carolina druggist, who first formulated Pepsi Cola. Today consumers spend about $33 billion on Pepsi-Cola beverages. Brand Pepsi and other Pepsi-Cola products including Diet Pepsi, PepsiOne, Mountain Dew, Slice, Sierra Mist and Mug Brands- account for nearly one-third of total soft drink sales in the United States, a consumer market totaling about #60 billion.

Peps-Cola also offers a variety of non-carbonated beverages, including Aquafina bottled water, Fruit works and all Sport. In 1992 Pepsi-Cola formed a partnership with Tomas J. Lipton Co. today Lipton is the biggest selling ready-to drink tea brand in the United States. Pepsi-Cola also markets Frappuccino ready-to drink coffee through a partnership with Starbucks.

In 2001 so be became a part of Pepsi-Cola. So be manufactures and markets an innovative line to beverages including fruit blends, energy drinks, dairybased drinks, exotic teas and other beverages with herbal ingredients. Outside the United States, Pepsi-Cola soft drink operations include the business of Seven-Up International. Pepsi-Cola beverages are available in about 160 countries and territories.

Pepsi-Cola began selling its products internationally in 1934 with its operations in Canada. Operations grew rapidly beginning in the 1950s. In addition to brands marketed in the United States, major products include

Mirinda and Pepsi-Cola North America includes the United States and Canada. Key international markets include Argentina, Brazil, China, India, Mexico, Philippines, Saudi Arabia, Spain, Thailand and the United Kingdom. Pepsi-Co Beverages International also produces, sells and distributes Gatorade sports drinks as well as Tropicana and other juices internationally.

Pepsi-Cola provides advertising, marketing, sales and promotional support to Pepsi-Cola bottlers and food service customers. This New advertising and exciting promotions keep Pepsi-Cola brands young. The company manufactures and sells soft drink concentrate to Pepsi-Cola bottlers. The company also provides fountain beverage products.


PepsiCo (symbol: PEP) shares are traded principally on the New York Stock Exchange in the United States. The company is also listed on the Amsterdam, Chicago, Swiss and Tokyo stock exchanges. PepsiCo has consistently paid cash dividends since the corporation was founded.


PepsiCo believes that as a corporate citizen, it has a responsibility to contribute to the quality of life in our communities. This philosophy is put into action through support of social agencies, projects and programmes. The scope of this support is extensive ranging form sponsorship of local programs and support of employee volunteer activities, to contributions of

time, talent and funds to programs of national impact. Each division is responsible for its own giving program. Corporate giving is focused on giving where PepsiCo employees volunteer.


PepsiCo World Headquarters is located in Purchase, New York, approximately 45 minutes from New York City. The seven building headquarters complex was designed by Edward Durrell Stone, one of Americas foremost architects. The building occupies 10 acres of a 144 acre complex that includes the Donate M. Kendall Sculpture Gardens, a world acclaimed sculpture collection in a garden setting.

The collection of works is focused on major twentieth century art, and features works by masters such as Auguste Rodin, Henri Laurens, Henry Moore, Alexander Calder, Alberto Giacometti, Arnaldo Pomodoro and Class Olden berg. The gardens were originally designed by the world famous garden planner, Russelll Page, and have been extended by Francois Goffinet. The grounds are open to the public, and a visitors booth is in operation during the spring and summer.

Parle Agro is an Indian private limited company. It owns the brands like Frooti, Appy, LMN, Hippo and Bailley. Parle Products was founded in 1929 in British India. It was owned by the Chauhan family of Vile Parle, Mumbai. The Parle brand became well known in India following the success of products such as the Parle-G biscuits and the Thums Up soft drink.

The original Parle company was split into three separate companies, owned by the different factions of the original Chauhan family: Parle Products, led by Vijay, Sharad and Anup Chauhan (owner of the brands Parle-G, Melody, Mango Bite, Poppins, Monaco and KrackJack) Parle Agro, led by Prakash Chauhan and his daughters Schauna, Alisha and Nadia (owner of the brands such as Frooti and Appy) Parle Bisleri, led by Ramesh Chauhan All three companies continue to use the family trademark name "Parle". Parle Agro commenced operations in 1984. It started with beverages, and later diversified into bottled water (1993), plastic packaging (1996) and confectionary (2007). Frooti, the first product rolled out of Parle Agro in 1985, became the largest selling mango drink in India. The original Parle group was amicably segregated into three non-competing businesses. But a dispute over the use of "Parle" brand arose, when Parle Agro diversified into the confectionary business, thus becoming a competitor to Parle Products. In February 2008, Parle Products sued Parle

Agro for using the brand Parle for competing confectionary products. Later, Parle Agro launched its confectionery products under a new design which did not include the Parle brand name. In 2009, the Bombay High Court ruled that Parle Agro can sell its confectionery brands under the brand name "Parle" or "Parle Confi" on condition that it clearly specifies that its products belong to a separate company, which has no relationship with Parle Products. BRANDS Parle Agro Pvt. Ltd operates under three major business verticals: Beverages fruit drinks, nectars, juice, sparkling drinks Water packaged drinking water Foods confectionery, snacks Parle Agro also diversified into production of PET preforms (semi-finished bottles) in 1996. Its customers include companies in the beverages, edible oil, confectionery and pharmaceutical segments. BEVERAGES Frooti

Launched in 1985, Frooti was India's only beverage sold in a Tetra Pak packaging at the time. It went on to became the largest selling Mango drink in the country.


Appy Classic was launched in 1986 as apple nectar and originally available in a white tetra pack with an apple and leaf graphic. As of 2011, it comes in black tetra packaging. It was the first apple nectar to be launched in India.

Appy Fizz Launched in 2005, Appy Fizz is Indias first sparkling apple drink available in a champagne shaped PET bottle.

Saint Juice Launched in 2008, Saint Juice is available in three variants Orange, Mixed fruit, Grape and Apple. At the time of its launch, its USP was "100% juice with no added color, sugar or preservatives".


LMN was launched in March 2009, as non-carbonated lemon drink (nimbu paani or lemonade).

Grappo Fizz

Launched in 2008, Grappo Fizz is a sparkling grape juice drink. Credited with creating the sparkling fruit drinks category in India, Grappo Fizz is along the lines of existing product Appy Fizz.

WATER Bailley, packaged drinking water FOOD Confectionary Mintrox mints (launched in 2008), hard mint candy available in 2 flavors. Buttercup candies (launched in 2008), hard boiled candy; it is targeted at kids and adults alike. Buttercup Softease, a toffee available in 4 flavors. Softease Mithai, a toffee available in 3 flavors. Snacks Hippo (launched in 2009), baked snack available in seven flavors.




Mango - Indias national and most premium fruit was a virtually untapped segment until the year 1985, which saw the launch of Frooti Mango in a trendy convenient tetra-pack. Frooti Mango is Parle Agros flagship brand and Indias leading fruit drink with an 85% market share. Now, Frooti also comes in PET bottle packing. Frooti is like an Indian ambassador and is a hot favourite not only in India but all across the world. Frooti is the first tetra pack fruit juice in India. Launched in 1984, Frooti still holds a dominant position in the Rs300 crore tetra pack fruit juice (TFJ) market. Frooti over these years have carved out a niche for itself in the market. Frooti instantly caught the fancy of Indian consumer with its tetra pack and some smart campaigns. Initially the drink was positioned as a kids drink. The product was perceived as a healthy fruit drink by the mothers. So within a short span of time, the brand was an alternative to the unhealthy colas. The tetra pack had other benefits also. Fruit juice is a perishable product and tetra pack have extended the shelf life of Frooti because tetra packs have 2 layers of paper and a plastic coating that ensured tamper proof and enhanced shelf life. Lured by the success of Frooti, there were a lot of new launches in the TFJ market. Players like Godrej with Jumpin; kissan etc tried their luck in this market but failed to dislodge Frooti. Frooti was positioned as a mango drink that is Fresh-n-juicy For over 7 years, the company promoted the product using that famous baseline. The product has tried to create excitement in the

market through a series of new variants and packing. But in late nineties the brand was facing stagnated sales. The company tried to excite the market with an orange and pineapple variant but both the variant bombed. They came with the experiment in packaging. The YO! Frooti variant came with a slim paper can aimed at the college going youth. Worried by the stagnating sales, Parle tried to reposition the brand to appeal to youth aged between 16-21 years. The positioning changed to be more fun based. The package also changed. The old green color of the bottle changed to brighter mango color with lot of graphics added to it. One of the most famous marketing campaigns India has witnessed took place during the repositioning. The campaign is the famous Digen Verma campaign. This campaign was considered as one of the most successful teaser campaigns in India. The campaign lasted for 15 days started in February 2001. The campaign was about a faceless person Digen Verma. There were posters and outdoors all across the markets that had messages like Who is Digen verma Digen Verma was here etc. This created lot of excitement in the market and Digen Verma became the most talked about faceless name at that time. The campaign was executed by Everest communication. But the campaign was not followed up and the hype was not translated to long term brand building. Frooti is basically a nectar based drink so it is not 100% fruit juice, it also has some preservatives added to increase the shelf life. Although Frooti did not face much competition in the category it created, competition came from a slightly different category, 100% fruit juices. Parle saw the emergence of

the 100% fruit drink market and launched Njoy brand but it did not clicked. Parle could have extended Frooti to this market also. The brand Real from Dabur is the main player in this category. Real effectively positioned itself as a premium healthy drink for adults. Frooti was not able to appeal to adults and was considered as a mango drink while Real is not restricted to any flavour. Frooti also changed its positioning statement from Fresh-N-juicy to Juice Up your life which has not clicked with the customers. Although Frooti enjoys a commanding (75%) market share, Frooti is facing stagnation. May be some serious steps should be taken to increase the usage of the product. The launch of PET bottle Frooti is a step in this direction. Recently Frooti also launched a Green mango variant just to create some hype in the market. Frooti may have to reposition itself again to appeal to cola drinkers.

Maaza is a Coca-Cola fruit drink brand marketed in India and Bangladesh, the most popular drink being the mango variety so much that over the years, the Maaza brand has become synonymous with Mango. Initially Coca-Cola had also launched Maaza in orange and pineapple variants, but these variants were subsequently dropped. Coca-Cola has recently re-launched these variants again in the Indian market.

Mango drinks currently account for 90% of the fruit juice market in India. Maaza currently dominates the fruit drink category and competes with Pepsi's Slice brand of mango drink and Frooti, manufactured by Parle Agro.

While Frooti was sold in small cartons, Maaza and Slice were initially sold in returnable bottles. However, all brands are also now available in small cartons and large PET bottles. Of late, the Indian market is witnessing the entry of a large number of small manufacturers producing only mango fruit drink.

Maaza has a distinct pulpy taste as compared to Frooti and tastes slightly sweeter than Slice. Maaza claims to contain mango pulp of the Alphonso which is known as King of Mangoes in India and Totapuri variety.


Maaza was launched in 1976 in India. The Union Beverages Factory, based in the United Arab Emirates, began selling Maaza as a franchisee in the Middle East and Africa in 1976. By 1995, it had acquired rights to the Maaza brand in these countries through Maaza International Co LLC Dubai. In India, Maaza was acquired by Coca-Cola India in 1993 from Parle-Bisleri along with other brands such as Limca, Citra, Thums Up and Gold Spot. As for North America, Maaza was acquired by House of Spices in 2005.

Slice is a line of fruit-flavored soft drinks manufactured by PepsiCo and introduced in 1984, with the lemon-lime flavor replacing Teem. Varieties of Slice have included apple, fruit punch, grape, passion fruit, peach glaze, Mandarin orange, pineapple, strawberry, Cherry Cola, "Red", Cherry-Lime, and Dr Slice. Until 1994, the drink contained 10% fruit juice. The original design of the can was a solid color related to the flavor of the drink. These were replaced in 1994 with black cans that featured colorful bursts (once again, related to the flavor of the drink), along with slicker graphics. In 1997, the cans became blue with color-coordinated swirls. The original orange flavor was reformulated around this time with the new slogan, "It's orange, only twisted." Orange Slice has since been changed back to its original flavor. In the summer of 2000, lemon-lime Slice was replaced in most markets by Sierra Mist, which became a national brand in 2003. The rest of the Slice line was replaced in most markets by Tropicana Twister Soda in the summer of 2005, although the Dr. Slice variety can still be found in some fountains. In early 2006, Pepsi resurrected the Slice name for a new line of diet soda called Slice ONE. Marketed exclusively at Wal-Mart stores, Slice ONE was available in orange, grape and berry flavors, all sweetened with Splenda. As of 2009, Slice (orange, diet orange, grape, strawberry and peach flavors) was available solely from Wal-Mart Stores. In India, Slice is a mango flavored soft drink under the PepsiCo brand and can be bought in any

general grocery store and other eateries, catering shops, promoted by a Bollywood actress, Katrina Kaif.

Brand History
Slice was launched in India in 1993 as a refreshing mango drink and quickly went on to become a leading player in the category. In 2008, Slice was re-launched with a 'winning' product formulation which made the consumers fall in love with its taste. With refreshed pack graphics and clutter breaking advertising, Slice has driven strong appeal within the category.

Brand Advantage
With the launch of Aamsutra campaign in 2008 along with a winning taste & most appealing pack graphics, Slice created disruptive excitement in the category and celebrated mango indulgence like no other. While other players have portrayed mango as a simple and innocent fruit, Slice celebrates the indulgence and sensuality of consuming a Mango. The creative idea Aamsutra communicates the art of experiencing pure mango pleasure through the taste of Slice. As a first ever by any brand in the Juice and Juice Drinks Category, Bollywoods reigning Diva, Katrina Kaif was signed on as the Brand Ambassador on Slice.

Slice took INDULGENCE to a new level in 2009 with the launch of the Slice Pure Pleasure Holidays, giving its consumers a chance to win luxuriant all-expense-paid holidays to their dream European destinations like Paris, Vienna, Greece and Venice.



SWOT analysis is a strategic planning method used to evaluate in

the Strengths, Weaknesses, Opportunities,

and Threats


a project or in a business venture. It involves specifying the objective of the business venture or project and identifying the internal and external factors that are favorable and unfavorable to achieve that objective. The technique is credited to Albert Humphrey, who led a convention at Stanford University in the 1960s and 1970s using data from Fortune 500 companies.

A SWOT analysis must first start with defining a desired end state or objective. A SWOT analysis may be incorporated into the strategic planning model. Strategic Planning has been the subject of much research.

Strengths: attributes of the person or company that is helpful to achieving the objective(s).

Weaknesses: attributes of the person or company that is harmful to achieving the objective(s).

Opportunities: external conditions that is helpful to achieving the objective(s).

Threats: external conditions objective(s).







Planning for an enterprise is entirely based upon Strength, Weakness, Opportunity, Threat (SWOT).The SWOT is an excellent technique for

strategic planning. Howard business school has been by planner all over the world first develops the technique. Such analysis helps to promote deep thinking and creative solution by highlighting the root cause of problems. SWOT analysis enable the company to choose define its wanted future.

SWOT Analysis of Mango Drinks in India

1. Market leader in NCSD category60% Market share. 2. As a fruit juice Mango drinks is mostly accepted throughout India. 3. Ready to serve fruit drinks. 4. Enriched by different vitamins. 5. Lower entry barrier.

1. Consumers are mostly children & women. 2. Presence of higher amount of carbohydrates & sugar. 3. It isnt perceived as health drinks.

1. Higher availability of resources. 2. Target customers are frequent buyers.

1. Availability of other fruit juices in reasonable prices. 2. Tight competitions with carbonated soft drinks. 3. High consumer preference for flavors other than mango and green mango.

SWOT Analysis of Maaza

1. Mostly accepted fruit drinks. 2. Available in different pack size. 3. Maaza has got a strong Brand Equity. 4. Efficient distribution network-

1. Chilled form taste better. 2. Maaza is not perceived as a health drink. As per survey majority of respondent didnt consider Maaza has a health drink. 3. Margin given to retailers and distributors is less as compared to its competitors. 4. Maaza has no brand ambassador.

readily available. 5. Maaza is a health drink - Contains Vitamin A, B, C.

1. Huge untapped unorganized sector in NCSD category. 2. Growing market share of NCSD category. 3. Ready to serve fruit drinks. 4. Available throughout the year. 5. Huge untapped market in other flavors - Orange, Pineapples, Grape. 6. Demographically, in the coming years around 55% of the population will consist of below 35 years in age, which should be major target market for Maaza.

1. So many competitors. 2. Competitors are having many pack sizes. 3. Presence of huge unorganized market. 4. High consumer preference for flavors other than mango and green mango. 5. Competition with Soft drinks giants Parle Agro and Pepsi.

SWOT Analysis of Slice

1. Different pack size. 2. Slice got good brand equity. 3. Most popular brand ambassador. 4. Running more Schemes.

1. Taste is not good like its competitors. 2. Not perceived as health drinks.

1. Growing market share in NCSD group. 2. Increasing health awareness among consumers, 88% of those preferred fruit drink to carbonated drink.

1. Main competitor is Maaza & Frooti, they have good market share. 2. Tight competition with carbonated soft drinks. 3. High consumer preference for flavors other than mango and green mango.

SWOT Analysis of Frooti

1. Innovative - First packaged Mango drink in Indian market, first to introduce Tetra pack, PET bottle packaging in NCSD category. 2. Frooti has got a very large quantity basket - available in various quantities like 65 ml, 200 ml, 250 ml, 500 ml and 1 Liter & 2liter. 3. Efficient distribution networkreadily available. 4. Frooti has got a strong Brand Equity.

1. Frooti is not perceived as a health drink. As per survey majority of respondent didnt consider Frooti has a health drink. 2. Frooti has limited variety of flavor only mango. 3. Margin given to retailers and distributors is less as compared to its competitors. 4. The main target audience of Frooti is kids. 5. No brand expansion - Brand equity of Frooti is not utilized properly.

1. 2. Huge untapped unorganized sector in NCSD category. Huge untapped market in other flavors - Orange, Pineapples, Grape. Growing market share of NCSD category. Demographically, in the coming years around 55% of the population will consist of below 35 years in age, which should be major target market for Frooti. Increasing health awareness among consumers, 88% of those preferred fruit drink to carbonated drink.

1. Decreasing share in NCSD category - Fruit juice segment consisting of Real and Tropicana is increasing at the rate of 2025% per annum as compared to sluggish growth in other segment. 2. Presence of huge unorganized market. 3. High consumer preference for flavors other than mango and green mango. 4. Competition with global giants Coke and Pepsi.

3. 4.


Differential analysis of Mango Drinks According to Price in Market

Prices of Maaza
Pet Size Price (Rs) 200 ml TTP 12 250 ml Mobile 17 250 ml RGB 600 ml Mobile 12 28 1200 ml Mobile 50

Prices of Slice
Pet Size Price (Rs) 200 ml TTP 10 200 ml RGB 10 500 ml Mobile 25 1200ml Mobile 55

Prices of Frooti
Pet Size 110 ml TTP 5 200 ml TTP 10 250 ml 500 ml + (100 ml Free) 27 1000 ml + (200 ml Free) 45 2000 ml

Price (Rs)



Different companies have different pack size to meet the demand of different levels of customers. Such as, Maaza having 200 ml TTP, 250 ml RGB (returnable glass bottle), 250 ml Mobile pack, 600 ml Mobile pack & 1200 ml Mobile pack. Slice is having 200 ml TTP, 200 ml RGB, 500 ml Mobile, and 1200 ml Mobile pack.

Companies are generally having so many pack sizes only for meeting different types of demand of different kind of customers. Now a days The companies are looking at larger pack formats and will focus on a well planned SKU (stock-keeping unit) strategy to addresses on-the-go as well as in-home consumption for drinks. As an example of Frooti a one-liter carton and two-liter PET pack to cater mainly to in-home consumers and families who prefer staggered consumption. A 600 ml PET bottle priced Rs 28 is another new launch of Maaza, targeted at on-the-go consumers. Prices of Frooti in various SKUs range from Rs 5 for a 100 ml pack to Rs 70 for the two-liter pack.

On the other hand, companies are also adapting different pricing strategy to attract the customers. While Maaza 1200 ml offers to the customers at a price of 50, same time its competitor Frooti adopt different policy to compete with its rival Maaza by offering 1000ml Frooti at a price of only 45, in which 200 ml is absolutely free. So, customers are getting 1200 ml mango drinks at an Rs 45 only. Frooti is also adapted another policy to attract little amount consuming customers by making 110 ml TTP at only Rs 5.

According to this kind of strategy, Maaza is far behind from its competitors. Because they dont have 100 ml TTP which is specially made for children, the lower volume customers. On the other hand, when customers are getting 1200ml Frooti in just Rs 45, so why they would pay more for Maaza.

In general retailers are selling each of these products above the MRP. MRP of 600 ml Maaza is Rs. 28, so retailers can easily sell it in Rs. 30. But in case of 1200 ml Maaza, the MRP is Rs. 50. If the retailers want to sell it above 50

then customers need to pay some more coins which are very difficult for customers. Same thing happen with TTP, whose MRP is 12, so retailers are asking for 15 or 20 for this TTP. So, retailers are much interested to sell Tropicana TTP whose price Rs 10. 600 ml Maaza is best selling product as well as best selling pet size only because is price.

Generally consumers are attracted by the pricing of the product and thus this influences customers to buy Frooti more than its competitors. One of the best moves by Frooti is that they are providing extra quantity at no price which also attracts consumer to buy that. However consumers have yet not been brand loyal in this Mango drink segment.


Marketing Mix of Frooti, Maaza and Slice.

Marketing Mix is the set of marketing tools that the firm uses to pursue its marketing objectives. It has a classification for these marketing tools. These marketing are classified and called as the Four Ps i.e. Product, Price, Place and Promotion.

The most basic marketing tool is product which includes product design, quality, features, branding, and packaging. A critical marketing tool is price i.e. the amount of money that customers pay for the product. It also includes discounts, allowances, credit terms and payment period.

Place is another key marketing mix tool. And it includes various activities the company undertakes to make the product accessible and available to the customer. Some factors that decide the place are transport facilities, channels of distribution, coverage area, etc.

Promotion is the fourth marketing mix tool which includes all the activities that the company undertakes to communicate and promote its product to target market. Promotion includes sales promotion, advertising, sales force, public relations, direct marketing, etc. These four Ps are the parameters that the marketing manager can control, subject to the internal and external constraints of the marketing environment. The goal is to make decisions that center the four Ps on the customers in the

target market in order to create perceived value and generate a positive response.

4Ps of Frooti

A product is anything that can be offered to a market to satisfy a want or need. Indias first real fruit drink in a Tetra Pak is available in - Frooti Mango, Green Mango. Frooti Mango is from premium Indian Mangoes. Frooti has also been introduced in PET bottle packing. Mango Frooti contains vitamin A which is essential for eye sight, growth and healthy skin. Frooti is a delicious and refreshing ready to serve fruit beverage. Frooti comes in Fruit drink segment of NCSD category (NON-CARBONATED SOFT DRINK).

Frooti is available in following quantities: -

65 ml (only Tetra pack packaging) 200 ml (only pet Bottle) 500 ml (only PET Bottle) 1000 ml (only PET Bottle) 1500 ml (pet bottle) Hence, we can see that Frooti has got a very large quantity basket .


In order to maintain its position as a market leader, Frooti is offering its product in different quantities and prices depending upon the consumer requirements, preferences and income -levels. Frootis new 65 ml packaging is priced at Rs 4.50 only; targeting the lower income-group and it has also been introduced in PET bottle packaging as it is more cost-effective as compared to Tetra-pack packaging to become more competitive in the market.


Frooti is the highest distributed brand in Fruit drink segment with an 85% market share in India. Frooti reaches more than 10 lakh retail outlets through more than 1500 distributors and wholesalers directly and indirectly. This is borne out by Parle Agro winning the Beverage Industry award for the Best Managed Supply Chain 2002 and the Highest Retail Availability in the year 2002. Frootis excellent distribution syste m has already been proved in the market survey and analysis where 90% of the respondents agreed that Frooti is readily available to them. Thus it proves that Frooti is available at all the retail shops.


The company has taken a different marketing route by launching a host of new retailing and packaging initi atives to pump up volumes. Five years ago, Parle Agro introduced a mysterious character called Digen Verma and created hype around this person through an aggressive outdoor campaign which was a big success. Parle Agro had introduced two characters called Froo and Ti on every 200 ml pack of Frooti as part of its retailing initiative. These two characters are being displ ayed on the packs of the drink. And through tongue twisters, puzzles and various interactive games, the characters are entertaining the children as well as increasing their knowledge about famous personalities and current affairs. These two characters are very different in nature. While Froo is an affable girl who is good at studies, Ti is a naughty boy who keeps running after Froo to get his home work done. With this move, the company expects to share various activities of its target audience --kids. Recently, Frooti was introduced in a new tetra pack packaging in 65 ml quantity which is priced at Rs 4.50 each.

The company has appointed Siddharth as the new brand ambassador of mango drink Frooti. This is the first time that Frooti has chosen a brand ambassador for its new campaign. An ad featuring Siddharth was shot recently and itll be aired soon in Hindi, Telugu, Tamil, Kannada, Malayalam, Marathi, Bangla, and English.

4Ps of Maaza

A product is anything that can be offered to a market to satisfy a want or need. Coca Cola introduced Maaza into a recognised beverage brand, offering Maaza in 10 different flavours (e.g. Mango, Tropical, Guava, Lychee, Passion Fruit/Maracuja, Pineapple, Banana, Papaya, Fruit Punch and Guanabana) in 9 different packaging formats (e.g. PET bottles, cartons, glass bottles and cans) suitable for all segments of the market. This gives customer various options to select from.


Maaza 1200 ml offers to the customers at a price of 50. A 600 ml PET bottle priced Rs 28 is another new launch of Maaza, targeted at on-the-go consumers. The company lacks only small tetra pack in its all category. However the brand loyal customers will prefer Maaza and nothing else. However pricing strategy is decent. The price of Maaza starts at 12 Rs and ends at 50 Rs.


Maaza is one of the product which is trying to make its product available every where in the market. However, Maaza has its presence in more than 33 countries (and expanding) worldwide. The Maaza drinks are distributed to

supermarkets, convenience stores, hotels, cafes and many other outlets. The company is trying to tap each and every customer by reaching them at every general store by giving them availability of the product.

PROMOTION: The company is promoting Maaza as Maaza the wholesome family fun. It provides the most authentic experience of rich, juicy mangoesanytime, anywhere! It has its slogan as Maaza lao aur Aam ki pyaas bujhao. The company changes its slogan time to time to make the entire customer aware about its product.

The company has made a new effort to promote its product Maaza with a new slogan that is Bin Mausam Aam, Har Mausam Aam. This is a new ad made by the company which attracts mango lovers to buy it when there is no season of Mango. This ad also suggests that Maaza Mango drink is available 12 months a year. However, the season of mango lasts for 3-4 months only. This ad promises that we will provide you Mango drink no matter the season of mango is there or not.

4Ps of Slice

Slice is known for its luscious Mango taste and unmatched experience of providing Pure Mango Pleasure to its customers. Slice is available in 200ml and 250ml returnable glass bottles (rgb) of Mango Slice. The product is also available in all other regular pack sizes i.e. 350ml, 500ml, 1.2 L & 1.8 L PET bottles and 200ml Tetra pack. Thus the impact of providing different packs is that every class is able to buy its products. Thus there is a different product size available in the market.


The product is in competition with other products like Frooti, Maaza and local products. Thus company doesnt have big variation in pricing as compared to there competitors. However the little difference in price also affects the sales of the product. Slice is cheaper than Maaza and costlier than Frooti. Thus it helps slice to still stay in the competition. Pricing for slice plays important role to stay in competition.


Slice is one of the product which has competition form both local and multinational company and thus to survive in the market company is focusing more on supply chain. The company has an objective wherein the

products which are available are sold more than other. The company believes in Jo Dikhta hai, wo Bikta hai.


The company had started promoting there product with new ad wherein the customers will get a chance to meet the Bollywood queen Katrina Kaif. Katrina Kaif is the brand ambassador of Slice Product. The promotion has started on Valentines Day, February 14th 2012 and will go on till March 31st 2012 across the country.

Consumers simply have to look under the crown of a Slice glass bottle and dial the number given there. One lucky winner everyday will get to win a date with Katrina Kaif! All consumers will get to hear some really surprising and humorous messages, from people who know Katrina! This promotion is valid only on 200ml and 250ml glass bottles of Mango Slice.



Data Analysis and Findings:1. Which Mango drink do you prefer? Frooti Maaza Slice

Slice 22%

Frooti 41%

Frooti Maaza Slice

Maaza 37%


From the survey it was found that amongst 100 respondents.

a) 41% of the respondents prefer Frooti Mango Drink. b) 37% of the respondents prefer Maaza Mango Drink. c) 22% of the respondents prefer Slice Mango Drink.


From the above survey, it has found that people Prefer Frooti in comparison of Maaza and Slice. However it is difficult to say that Frooti is a Market Leader as there is not a vast difference in consumers preference. There is a huge competition and there is no one who could be said as market leader. However from the survey it suggests that Frooti is preferred by 41% of respondents.

2. Frequency of consumption of your preferred drink in a week? Daily 2-5 times More than 5 times

More than 5 Times 11% Daily 22%

2-5 Times 67%


2-5 Times

More than 5 Times

From the survey it was found that amongst 100 respondents.

a) 67% of the respondents consume there preferred drink 2-5 Times in a week. b) 22% of the respondents consume there preferred drink Daily in a week. c) 11% of the respondents consume there preferred drink More than 5 Times a week.


From the survey, it has found that 67% of the Respondents consume there preferred drink 2-5 times in a week. So it is clear that Mango drink is not preferred more on daily basis. It would sell more in the non-season of Mango. In the season of Mango people can enjoy it directly so it is less preferred at that time period and thus it affects the daily consumption of Mango Drink.

3. On what occasions, do you often consume the Mango Drinks?

Feeling Thirsty Parties / Celebrations Without any reason (just like that) Any other

7% 24%
Feeling Thirsty Parties/Celebrations Without any reason (Just like that) Any Other

14% 55%


From the survey it was found that amongst 100 respondents.

a) 55% of the respondents consume Mango drink without any reason (just like that). b) 24% of the respondents consume Mango drink when they feel thirsty. c) 14% of the respondents consume Mango drink when they are in parties/Celebrations.

d) 7% of the respondents consume Mango Drink with other reasons.


From the survey, it has found that more than half of the respondents have mango drink without any reasons. However it has been observed that 7% of the respondents said any other reason. This reason could be no choice at retailers shop, others having mango drink and can opt for own choi ce, price of the product, Parents Choice or may be forced to drink due to non availability of other product.

4. What induces you to buy Mango Drink? Price with quantity Health Drink Status symbol Taste Variety




Status symbol

Reason for buying Mango Drink

Health Drink

Price with Quantity



From the survey it was found that amongst 100 respondents.

a) 67% of respondents buy Mango Drink because of the Taste. b) 16% of respondents buy Mango Drink because of the price and with good amount of quantity. c) 8% of respondents buy Mango Drink because they feel it is a Health Drink. d) 8% of respondents buy Mango Drink because of variety.

e) Only 1% of respondent buy Mango Drink because of status symbol.


From the survey, it has found that people buy Mango drink for the purpose of taste and this is because of absence of Mango in all the seasons. Thus to get the feel of Mango people buy Mango Drink. There are 16% of People who buy Mango Drink keeping price in mind with quantity. The price is one of the other factor which influences to buy Mango Drink.

There are some people who also prefer to buy mango drink just to make a change in their Taste as they feel it is a different variety. Health conscious people look it as Health Drink and thus it influences to buy Mango Drink . However Mango drink cannot be said as Status symbol. So there are very rare people who feel it as buying Mango drink is Status symbol and thus it influences them.

5. How do you view Mango Drink? As a health drink As a status symbol As an aid to put off thirst Any other

As a Health Drink

As a Status Drink

As an aid to put off thirst

Any other

Any other 12% As a Health Drink 38% As an aid to put off thirst 49% As a Status Drink 1%


From the survey it was found that amongst 100 respondents.

a) 49% of respondents view Mango Drink as an aid to put off thirst. b) 38% of respondents view Mango Drink as a health drink. c) 12% of respondents view Mango Drink as any other drink. d) Only 1% of respondent view Mango Drink as status symbol.


From the survey, it has found that mango drink is viewed as just an aid to put off the thirst by nearly 50% of the crowd. At the same time it is also viewed as a health drink by 38% of the crowd. This is because it contains Mango and mango has many benefits for the purpose of health.

The remaining crowd feels that it is just another drink to hang out with. May be it is seen as a children drink or a drink which a general public drinks and there is no adventure in it as compared to cola drinks.

6. Do advertisements affect your purchases? Yes No

No 53%

Yes 47%




From the survey it was found that amongst 100 respondents. a) 53% of respondents say that advertisement doesnt affect their purchases. b) 47% of respondents say that advertisement does affect their purchases.


From the survey, it has found that its nearly 50-50 situation in advertisement affecting purchases. Nearly 50% of People think that brand ambassador has made them buy Mango drink. However, now all the three companies are using it just to attract consumers. And the other 50% say it doesnt affect as ads are not effective and it doesnt influence them to buy the product.

This is a sign wherein companies have to make changes in their advertising strategy. And also think over it that should they spend more on advertisement or should focus on d istribution strategy.

7. What do you feel about the price of Mango drinks? Very high High Medium Low Reasonable

60 50 40 30 20 10 0 Very High High Medium

Price of Mango drink


20 5


0 Low Reasonable


From the survey it was found that amongst 100 respondents.

a) 53% of respondents feel that the price of Mango drink is Reasonable. b) 22% of respondents feel that the price of Mango drink is Medium. c) 20% of respondents feel that the price of Mango drink is high. d) 5% of respondents feel that the price of Mango drink is Very high.

e) None of the respondents feel that the price of Mango drink is low.


From the survey, it has found that mango drink has a reasonable price and more than 50% of the crowd feels that the price for mango drink is reasonable. And 22% of people find it as price is medium i.e. the cost of mango drink is not higher nor is it lower. Reasonable means specifically affordable to each class of people and medium means comparatively affordable.

However 20% of people feel that the cost is high if compared with the quantity which is provided. An d the remaining people find that it is very costly in comparison with the quantity. None of the crowd feels that it is low rated. This may be because of the quantity provided by the companies is lesser against the price. And any product provided at cheaper or lower rate would be said as costly as people have to pay for it.

8. Do you feel a price reduction will increase your purchasing power?

Yes No












reduction in price will increase purchasing power.


From the survey it was found that amongst 100 respondents.

a) 62% of respondents says that reduction in price will increase there purchasing power.

b) 47% of respondents says that reduction in price will not increase there purchasing power.


From the survey, it has found that 62% of people will have more purchasing power as the price is reduced. This is because of the quantity provided against the price charged. People would love to buy more of Mango drink if the price is reduced. This could increase sales. The other remaining 38% of people says that its not going to affect there purchasing power as they are happy with the product and they need the product anyhow no matter the price increases or decreases. Another reason is also that people buy a specific quantity and if price decreases they are going to save that money instead of buying more mango drink.

9. Which pack do you consume the most?

Tetra pack 250 ml 600 ml 1.2 lit

1.2 ltr Tetra Pack 14% 18%

Tetra Pack 250 ml

600ml 26% 250 ml 42%

600ml 1.2 ltr


From the survey it was found that amongst 100 respondents.

a) 42% of respondents consume 250 ml pack.

b) 26% of respondents consume 600 ml pack.

c) 18% of respondents consume Tetra pack.

d) 14% of respondents consume 1.2 ltr of pack. FINDINGS:

From the survey, it has found that 42% of people prefer to buy 250 ml pack. This is due to many reasons such as may be he wants it to consume with lunch or dinner or may be he is alone to consume it or it is the best pack which is consumed by all as it is easily available.

The other 26 % of respondents consume 600 ml pack may be due to they are in a group or a couple sharing the bottle. 18% of people consume Tetra pack. The simple reason could be to put off thirst. And the remaining 14% of people are those who buy 1.2 ltr of pack. The reason could be family enjoying it or parties and celebrations.

10. Rank the following according to your taste and preference?

Frooti Slice Maaza

100% 16 80% 60% 40% 20% 0% Frooti Slice Maaza 41 26 43 33 24 33 34 50

3 2 1


From the survey it was found that amongst 100 respondents.

a) 41% of respondents ranked Frooti as no.1 preference in terms of taste.

b) 33% of respondents ranked Maaza as no.1 preference in terms of taste.

c) 26% of respondents ranked Slice as no.1 preference in terms of taste.

d) 43% of respondents ranked Frooti as no.2 preference in terms of taste.

e) 33% of respondents ranked Maaza as no.2 preference in terms of taste.

f) 24% of respondents ranked Slice as no.2 preference in terms of taste.

g) 16% of respondents ranked Frooti as no.3 preference in terms of taste.

h) 34% of respondents ranked Maaza as no.3 preference in terms of taste.

i) 50% of respondents ranked Slice as no.3 preference in terms of taste. FINDINGS:

From the survey, it has found that Frooti is most preferred drink. It is then followed by Maaza and slice respectively. Frooti is mostly preferred due to its taste and thus it is at no. 1. However Maaza is not so far behind at no.2. There is a vast gap between Frooti and slice and to be ahead in competition, slice has to make necessary changes in the taste.

11. Give your ratings to following attributes of Maaza?








10 1





16 0



Brand Image


0 10 0



30 0%

0 18

1 50%

51 100%

Very Good

Very Bad





From the survey it was found that amongst 100 respondents.


a) 51% of respondents rated Maaza as having good quality product. b) 30% of respondents rated Maaza as having Very good quality product. c) 18% of respondents rated Maaza as having Average quality product. d) Only 1% of respondents rated Maaza as having Bad quality product. e) None of the respondents rated Maaza as having Very Bad quality product.

Brand Image

a) 65% of respondents rated Maaza as having a good Brand Image. b) 25% of respondents rated Maaza as having a very good Brand Image. c) 10% of respondents rated Maaza as having an Average Brand Image. d) None of the respondents rated Maaza as ha ving Bad or Very Bad Brand Image.


a) 44% of respondents rated that Maaza has Average availability in the market. b) 37% of respondents rated that Maaza has Good availability in the market. c) 16% of respondents rated that Maaza has Very Good

availability in the market. d) 3% of respondents rated that Maaza has Bad availability in the market. e) None of the respondents rated Maaza as having Very Bad availability in the market.


a) 42%








Packaging. b) 29% of respondents rated Maaza as having Good Packaging. c) 18% of respondents rated Maaza as having Bad Packaging. d) 10% of respondents rated Maaza as having Very Good Packaging. e) Only 1 % of respondents rated Maaza as having Very Bad Packaging.


From the survey, it has found that 51% of people say that quality is good and 30% of people say that quality is Very Good. It means overall quality of Maaza is good.

65% of people say the brand image is good and 25% of people say that brand image is Very good. It means the overall brand image of Maaza is good.

44% of people say that the availability of Maaza is average and 37% of people say that the availability is good. It seems the overall availability of the product is average. And this is the place where company has to look out for making changes in their distribution strategy.

42% of people say that packaging of Maaza is just average and 29% of people say that Maaza has good packaging. It means the packaging of the company is average and thus they nee d to work on it.

12. Give your ratings to following attributes of Slice?








10 0




19 0



Brand Image

16 0




18 0
0% 20%
Very Bad





Very Good



From the survey it was found that amongst 100 respondents.


a) 39% of respondents rated Slice as having good quality product. b) 39% of respondents rated Slice as having Average quality product. c) 18% of respondents rated Slice as having Very good quality product. d) 4% of respondents rated Slice as having Bad quality product. e) None of the respondents rated Slice as having Very Bad quality product.

Brand Image

a) 54% of respondents rated Slice as having a good Brand Image. b) 29% of respondents rated Slice as having an Average Brand Image. c) 16% of respondents rated Slice as having a very good Brand Image. d) Only 1% of respondents rated Slice as having a Bad Brand Image. e) None of the respondents rated Slice as having Very Bad Brand Image.


a) 40% of respondents rated that Slice has Good availability in the market. b) 37% of respondents rated that Slice has Average availability in the market. c) 19% of respondents rated that Slice has Very Good

availability in the market. d) 4% of respondents rated that Slice has Bad availability in the market. e) None of the respondents rated Slice as having Very Bad availability in the market.


a) 28% of respondents rated Slice as having Average Packaging. b) 58% of respondents rated Slice as having Good Packaging. c) 4% of respondents rated Slice as having Bad Packaging. d) 10% of respondents rated Packaging. e) None of the respondents rated Slice as having Very Bad Packaging. Slice as having Very Good


From the survey, it has found that 39% of people say that quality is good and 39% of people say that quality is Average. It means overall quality of Slice is Average.

54% of people say the brand image is good and 16% of people say that brand image is Very good. It means the overall brand image of Slice is good.

37% of people say that the availability of Slice is average and 40% of people say that the availability is good. It seems the overall availability of the product is average. And this is the place where company has to look out for making changes in their distribution strategy.

58% of people say that Slice has good packaging and 10% of people say that packaging of Slice is Very Good and . It means the packaging of the company is really good and thats what people like it as it gets easy to handle.

13. Give your ratings to following attributes of Frooti?











3 31

2 15






Brand Image

1 41

1 13









Very Good

Very Bad





From the survey it was found that amongst 100 respondents.


a) 43% of respondents rated Frooti as having good quality product. b) 41% of respondents rated Frooti as having Very good quality product. c) 13% of respondents rated Frooti as having Average quality product. d) 2% of respondents rated Frooti as having Bad quality product. e) Only 1% of the respondents rated Frooti as having Very Bad quality product.

Brand Image

a) 63% of respondents rated Frooti as having a good Brand Image. b) 23% of respondents rated Frooti as having a very good Brand Image. c) 12% of respondents rated Frooti as having an Average Brand Image. d) Only 1% of respondents rated Slice as having a Bad Brand Image. e) Only 1% of respondents rated Frooti as having Very Bad Brand Image.


a) 53% of respondents rated that Frooti has Good availability in the market. b) 31% of respondents rated that Frooti has Very Good

availability in the market. c) 15% of respondents rated that Frooti has Average availability in the market. d) 1% of respondents rated that Frooti has Bad availability in the market. e) None of the respondents rated Frooti as having Very Bad availability in the market.


a) 58% of respondents rated Frooti as having Good Packaging. b) 20% of respondents rated Frooti as having Very Good Packaging. c) 17% of respondents rated Frooti as having Average Packaging. d) 3% of respondents rated Frooti as having Very Bad Packaging. e) 2% of respondents rated Frooti as having Bad Packaging.


From the survey, it has found that 43% of people say that quality is good and 41% of people say that quality is Very good. It means overall quality of Frooti is Very good.

63% of people say the brand image is good and 23% of people say that brand image is Very good. It means the overall brand image of Frooti is Very good.

53% of people say that the availability of Frooti is good and 31% of people say that the availability is Very good. It seems the overall availability of the product is good.

58% of people say that Frooti has good packaging and 20% of people say that packaging of Frooti is Very Good and. It means the packaging of the company is really good and thats what people like it as it gets easy to handle.

However the stats show that Frooti is at no.1 followed by Maaza and Slice respectively at no.2 and no.3 position.

14. Would you visit another store, if you do not find your brand at your store?

Yes No

No 47%

Yes 53%

Yes No


From the survey it was found that amongst 100 respondents.

a) 53% of respondents says that they would visit another store to find there preferred Mango drink.

b) 47% of respondents says that they would not visit another store to find there preferred Mango drink.


From the survey, it has found that yet there are 47% of people who will stick to only one shop wher e whichever Mango drink is available they will buy it. And 53% of crowd says that they will definitely go and visit another store to find there preferred Mango drink. This 53% people are Brand conscious people. And thus it shows that company has been partl y successful to make people brand conscious.



Recommendation and Suggestions:

For Maaza: Need to start local advertisements. Need to change the pricing strategy. Appoint Brand ambassador as both other company has it already. Need to Work on Distribution Strategy (Availability). Improvement in the packaging of Maaza bottles. Introduction of small tetra pack of Maaza of Rs 3/-

For Slice: Need to improve Quality in terms of thickness. Need to Work on Distribution Strategy (Availability). Introduction of small tetra pack of slice of Rs 3/ Decrease in the price of slice Need to start local advertisements.

For Frooti: Need to focus more on advertisements strategy. Focus on Brand positioning. Need to improve Brand Loyalty. Need to expand brand, brand equity is not utilize properly. Must increase flavours.





1. Marketing Management : 12 t h Edition, by Philip Kotler and Kevin Lane Keller. 2. Marketing Research : 7 t h Edition, by David A. Aaker, V. Kumar and George S. Day. 3. 4. 5. 6. 7.



1. Which Mango drink do you prefer?

Frooti Maaza Slice

2. Frequency of consumption of your preferred drink in a week?

Daily 2-5 times More than 5 times

3. On what occasions, do you often consume the Mango Drinks?

Feeling Thirsty Parties / Celebrations Without any reason (just like that) Any other

4. What induces you to buy Mango Drink?

Price with quantity Health Drink Status symbol Taste


5. How do you view Mango Drink?

As a health drink As a status symbol As an aid to put off thirst Any other

6. Do advertisements affect your purchases?

Yes No

7. What do you feel about the price of Mango drinks?

Very high High Medium Low Reasonable

8. Do you feel a price reduction will increase your purchasing power?

Yes No

9. Which pack do you consume the most?

Tetra pack 250 ml 600 ml 1.2 lit

10. Rank the following according to your taste and preference?

Frooti Slice Maaza

11. Give your ratings to following attributes of Maaza?








12. Give your ratings to following attributes of Slice?








13. Give your ratings to following attributes of Frooti?








14. Would you visit another store, if you do not find your brand at your store?

Yes No