BEVERAGE INDUSTRY

Beverage is any type of liquid specially prepared for human consumption.

NON-ALCOHOLIC

CARBONATED

NONCARBONATED

NON ALCOHOLIC BEVERAGES contains no alcohol more than 5% by volume. A Carbonated Beverage is a beverage that contains the characteristic of carbonation. Carbonation creates bubbles and fizzing in a carbonated beverage due to the presence of the carbon dioxide gas.

INDUSTRY Founded in Headquarters

BEVERAGE 1886 Atlanta, Georgia, United States

Area Served
Key People Products

Worldwide
Muhtar Kent (Chairman and Ceo) Carbonated soft drinks, Water,Other nonalcoholic beverages.

Employees
Brands

92,800 (October 2009)

500 +

The Coca-Cola Company is a beverage company, manufacturer and distributor of nonalcoholic beverage concentrates and syrups. Coca-Cola currently offers more than 500 brands in over 200 countries with 1.6 billions servings each day.(as per year 2009) The company operates a franchised distribution system dating from 1889 where The Coca-Cola Company only produces syrup concentrate which is then sold to various bottlers throughout the world who hold an exclusive territory.

Coca-Cola works its Bottling Operations in two types. 1.)COBO(Company Owned Bottling Operations). 2.)FOBO(Franchisee Owned Bottling Operations) There are 13 FOBOs all over INDIA. FOBO contributes 35% of Coca-Colas business in India and 65% is from 19 COBOs across INDIA.

 KANDHARI GROUP was established in 1967 . The groups first venture was a bottling unit as a franchisee of PARLEs soft drink manufacturing Gold Spot under license from PARLE established at Amritsar . In 1993, the world renowned soft drink giant - CocaCola entered India and bought over PARLE brand of soft drink products, being one of the star bottlers of PARLE the Group switched to manufacturing, bottling & marketing of Coke brand of soft drink products. KANDHARI BEVERAGES is FOBO of COCA-COLA INDIA.

KANDHARI BEVERAGES Pvt. Ltd.

SWOT ANALYSIS OF COCA-COLA

* * * * *

STRENGTHS World leading brand Cash rich co. Total beverage solution company. Distribution channel. Huge consumer pull.

WEEKNESS * Vulnerable to negative publicity. *Health issues among customers.

SWOT

OPPORTUNITIES * Growing bottled water market. * Diversification for other business like Food and snacks. * Growing juice market.

THREATS * Change in government policies * Consumer shifting from sparkling to juice *Dependence on bottling partners * The new healthy and organic food trends. *High Competition e.g PEPSI

Perception Of Consumer/Retailer towards Kinley Water and Kinley Club Soda

OBJECTIVES OF THE STUDY

Studying and understanding consumers and retailers perception and opinion about the product.

To check the level of awareness and acceptance among the people. Factors leading to the Non-Acceptance of the product. Retailers needs and expectation from the company. Evaluating competitors strength and weakness in the market. Comparative analysis among Brand Packages.

RESEARCH METHODOLOGY
Area of Research: Chandigarh and in the chain of outlets all over the city including Taverns, Grocery, Convenience and E&D outlets. Two Questionnaires were devised one for Retailer and one for Consumer. Questionnaires Retailers Sample Size-100 Consumers Sample Size-100

ANALYSIS
RETAILERS
Graph1-Shows Percentage Preference of Retailers to sell which Brand of Bottled Water
Others 8%

Preference of the Retailers

Kinley 24% Equal 31% Bisleri Aquafina 24% Others Equal Kinley Aquafina

Bisleri 13%

FINDINGS-Through this we came to know that Equal has the highest market share and is the most preferred brand in BOTTLED WATER amongst the retailers of Chandigarh .Kinley is far behind Equal in terms of Market Share.

Graph 2- Shows reasons in terms of percentage for not selling Kinley Water
Reasons For Not selling Kinley
Poor dealer Relationship 6% Poor service and Supply 12%

Brand loyalty with other co.'s 15%

Brand loyalty with other co.'s

Lower margins

Less Number Of Schemes Less Number Of Schemes 24% Poor dealer Relationship Lower margins 43% Poor service and Supply

FINDINGS- Because of the lower margins being provided to the retailer by the coca-cola company they are not preferring Kinley ,and also due to very less number schemes being provided to them as compared to other companies.

Graph 3- Shows the percentage preference of retailers to sell which Brand of CARBONATED WATER (SODA)
Preference of the retailers
Others 16% Kinley Club Soda 15% Lehar 7% Kinley Club Soda Lehar Kingfisher Equal Others

Equal 34%

Kingfisher 28%

FINDINGS-From the above graph we come to know that Equal brand is the highly preferred brand by the retailers and has the highest market share after which Kingfisher and KINLEY CLUB SODA are preferred.

Graph4-Shows the reasons in terms of percentage for not Selling Kinley Club Soda Reasons for Not Selling
Poor dealer relationship 10% Brand Loyalty With other Co's 16%

Brand Loyalty With other Co's Less Number of Schemes 29% Lower Margins being provided 45%

Lower Margins being provided

Less Number of Schemes Poor dealer relationship

FINDINGS-From the above graph we see that because of the lower margins being provided to the retailer by the coca-cola company they are not preferring Kinley Club Soda ,and also due to very less number schemes being provided to them as compared to other companies.

 CUSTOMERS
Preference of consumer for BOTTLED WATER.
Preference of Brand
Equal 10% Others 8%

Kinley 30%
Kinley Bisleri

Aquafina 27% Bisleri 25%

Aquafina Equal Others

Kinley water is the most preferred brand among the consumers with its major competitors to be Aquafina and Bisleri

Reasons for not consuming KINLEY.

Reasons for Not buying KINLEY
Bad Taste 3% Poor Packaging 2%

Brand Loyalty With other Co's 5%

Price 34% Brand Loyalty With other Co's Bad Taste Poor Packaging Lack of Availability Advertisement Lack of Availability 46%

Price

Advertisement 10%

Due to lack of availability the consumers are not able to consume Kinley Water as Retailers are not preferring to keep Kinley in their outlets. And the other major Reason is its Price.

Preference of consumer for CARBONATED WATER (SODA)

Others 2%

Preferred Brand

Kingfisher 15%

Kinley 32%

Kinley Equal 21% Lehar Equal Kingfisher Others Lehar 30%

Kinley and Lehar are the most preferred brands by the consumers in Carbonated water

Reasons for not Buying

Brand Loyalty With othe Co. 5%

Price 17%

Less Fizzy 9%

Packaging 3%

Brand Loyalty With othe Co. Less Fizzy Advertisement 2% Packaging Availability Advertisement Price

Availability 64%

Consumers are not able to consume Kinley Club Soda because of the lack of availability in the market followed by the another reason that is price as compared to its competitors.

ACTUAL WORK DONE IN THE PROJECT

Route-Riding Visi-Cooler Penetration Generating sales of RGB 200ml EDSR (Every Day Survey Report) MIT (Merchandising Impact Team)

Presell Orders for all Brand Packages

Scope and Opportunities for opening New outlets.

FINDINGS

Equal has the highest market share in both Kinley Water and Soda due to the preference of retailers. Consumers are willing to buy Kinley but due to non-preference of retailers they are unable to buy. Another problem was the price in odd figures due to which the consumers werent preferring Kinley. There was some problem in area where INDIRECT DISTRIBUTION system is carried as according to retailers they arent being provided with the equal number of schemes as to other retailers by the distributors.

Dealer relationships are better with PEPSI as compared to Coca-Cola .

Consumers as well as Retailer are unaware about the 200ml RGB product in the market. Retailer are unhappy with PEPSIs Presell Order system.

IMPLICATIONS
Schemes through Text Messages to the retailers. Increase in the RED score from 74.4 to 80.9 . Visi Installations at various Pumps and Shops across the city of Chandigarh. Presell routes were converted into daily to route basis system. Provided Kinley Water as scheme bottles with 1 shell of 500 ml bottle . Availability of Juice and Cans through out the city was carried.

RECOMMENDATIONS
Better Method of communicating schemes to the retailer as through Text Messages. To stop the preselling routes which were being carried out in some sectors of Chandigarh. Increasing the margins for the retailer even by a mere amount could increase the sales on Kinley Products as consumers are preffering Kinley. The Price of the Kinley Water should be made into round-figures as of 10, 12 which will solve the problem of change money for consumers . To provide Kinley Water or Soda as scheme bottles with other more selling brands of Coca-Cola would increase the display of the brand at the outlets which in result could increase the sales for Kinley Products also. Proper Execution to be held in the Indirect Distribution System area on weekly basis.

Availability of all brands and packing at all outlets .

LIMITATIONS
Time and cost constraints were there.

A Samples size of 100 has been use due to other work also done regularly which was given to us by company.
The time period of study was only for three month so it was not possible to cover all the areas and go into the depth of the problem and make analysis. Non-Cooperation of the Retailers. Chances of some biasness could not be eliminated. Retailers filling the questionnaire Non-Seriously. Consumers filling the questionnaire Non-Seriously. Misunderstanding of the concept. Hurried filling of the questionnaire.