PROJECT REPORT ON BRAND POSITIONING STRATEGIES

OF PEPSI IN COMPARISION WITH COCACOLA Submitted To M.D. University Rohtak, For the Partial Fulfillment Of The Award of Degree Of MASTER OF BUSINESS ADMINISTRATION
BATCH: 2008-2010

Under the guidance of:

MR. Narender Tanwar

Submitted by:
DEEPAK SINGH MBA 4th Sem. Roll no.08/mba07

Lecturer. In MBA deptt.

Bhawani Shankar Anangpuria INSTITUTE OF TECHNOLOGY & MANAGEMENT

(Approved by AICTE, Govt. Of INDIA & Affiliated to M.D.U., Rohtak) Alampur, Faridabad -121004

ACKNOWLEDGEMENT
I was delighted to avail this opportunity to thank all those who have contributed in our efforts in the development of the project and making it a success, which would have been a difficult, task otherwise. I would like to express my gratitude to my guide Mr Narender tanwer, who guided me through out the project work and special thanks for the care and concern shown by him. I am highly thankful to Head of department of M.B.A. Faculty, which provide a chance to work with these brands. In last but not a least, I am thankful to shopkeeper,users which provide a time for questionnaires.

DatePlaceDeepak singh

PREFACE
The curriculum of MBA is so designed that it besides providing theoretical knowledge gives practical experience to the participants, with an opportunity to deal with real life situation through field visitor or as research project dissertation are enriched and well equipped to face the future challenge and counting excise which are enriched and inseparable and unavoidable in business. The objective of research project is to impart the student with the practical experience and an exposure of the corporate world. The student has to complete research project under the professor of his institute and do a project which he thinks would add to knowledge and he will learn about how We work on market research of any particular topics. I fortunately got an opportunity to do my research project on COMPARATIVE ANALYSIS OF BRAND POSITIONING STRATEGIES OF PEPSI AND COCA COLA. Working on this project was a rewarding time for me, where I came to know about the various programmatic aspects of managerial work and management.

Declaration

I Deepak Singh roll no 08/MBA07. M.B.A.4th Semester of institute of Bhawani Shankar

Anangpuria Institute of Technology & Management Faridabad hereby declare that the project entitled Comparative Analysis Of Brand Positioning Strategies of Pepsi And Coca Cola Is an original work and the same has not been submitted to any other institute for the award of any other degree. The interim report was presented to the supervisor on Mr. Narender Tanwar asst. professors feasible suggestions have been duly incorporated in consultation with the supervisor.

Deepak Singh

TABLE OF CONTENT

CHAPTER 1 Objectives CHAPTER 2 Company Profile History of Pepsico Beverages industry in India Entry of Pepsico in India History of Coco-Cola SWOT Analysis CHAPTER 3 Introduction of the Topic CHAPTER 4 Research Methodology

CHAPTER 5 Data Analysis& Findings

Flavours of Pepsico & Coca-Cola

CHAPTER 6 Findings CHAPTER 7 Limitation & Conclusion CHAPTER 8 Recommendations & suggestions CHAPTER 9 Bibliography CHAPTER - 10 Annexuer:
Questionnaire

CHAPTER - 1

OBJECTIVES OF THE STUDY

OBJECTIVE OF THE STUDY

To know the main branding strategies followed by the company to create a better mbrand image.

To Study customers attitude towards Pepsi & Coca-Cola. To determine the importance of brand positioning in present marketing scenario. To determine the factor influencing the choice of customer regarding stated cold drinks.. To know how brand positioning is done by Pepsi and Coca-Cola.

It is widely accepted that theory broadens ones thinking and help in idea generation. But practical approach tends to test the feasibility of these ideas and how far theortical knowledge can be applied in a situation successfully.

CHAPTER - 2

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COMPANY

PROFILE

11

HISTORY OF

PEPSICO

12

HISTORY OF PEPSICO
The wall street journal names indra nooyi one of 50 women to watch (in line to lead Margo posey, president of the DFW MBDC presented bob Gonzalez with presidents award fromeritorious service to the council over the years. Pepsico is mentioned among 26 companies that earned Governance metrics Internationals (GMI) highest governance rating. National minority Supplier Development Council (NMSDC) names pepsico one of the Corporations of the year. Minority Business News names pepsico Chairman and CEO Steve Reinemund Executive of the year. PEPSI Musica Website Wins Best Interactive Marketing Digital Community Award from the Latino Marketing Awards. The Maxican Center of Philanthrophy ( CEMEFI) honored Sabritas- pepsiCos Mexican salty-snack businesswith the Best Practice in

Corporate Social Responsibility Award for 2004 in the community affairs category. Latin Trade Reader Survey Names PepsiCo # 7 in the list of latin Americas Most-Respected companies. PepsiCo is chosen for the 2005 list of the NAFE Top 30 Companies for Executive women. Frinto-Lay launches Doritos Edge and Tosit Gatorade introduces Gatorade Endurance Hydrance Formula -- a specialized Sports drink to meet the ne Frito-Lay introduces Quaker Chewy Cookies & milk granola bars and Quaker Fruit & Oatmeal cereal bars.

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Frito- Lay Canada eliminates trans fats from chips and launches a line of All Natural and Organic products. PEPSI-Cola to launch PEPSI Edge ,the first full-flavored cola with 50% less sugar , carbohydrates and calories than regular cola. PepsiCo publishes first Corporate Citizenship report in its 2003 Annual Report. PEPSI-Cola launches sierra Mist nationall Quaker chewy introduces Quaker Chewy Wholesome Favourites and Quaker Chewy Trail mix. Gatorade unveils In-car Hydration system for NASCAR Drivers SoBe soponsors U.S. Open snowboarding championships. PEPSI announces plan to launch Mt. Dev Livewire, an orange drink this summer. PEPSI- Cola signs an exclusive four year sponsorship deal with Canadian Hockey association ,making PEPSI the official soft drink. PEPSI announces four-year sponsorship agreement with the UK Football association. Frito-lay announces new line of snaks made with organic

ingredients called Natural Snacks. PEPSI Stuff Campaign kicks-off in Canada. Frito-lay finds winner of Would you Name Your Baby Horton search celebrating the Re-birth of its Ruffles brand. The child will receive $50000 college tuition fund from Frito-Lay. PEPSI CO creats pepsico international , the business that will unite all international snack, beverage and food units in an effort to drive faster growth and improved profitability around the world.

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Mr. Green, a green tinted carbonated soft drink with caffeine and ginseng, is launched under sobes new age beverage line in April. The north American coffee partnership (NACP) , a joint venture between starbucks coffee company and pepsico , inc. introduces starbucks double shot. Quaker oatmeal this year celebrates the 125th anniversary of the nations number-one- choice for a nutritious , hot breakfast cereal. Gatorade turns 35. it was created in 1960s to help performances of Florida Gators football team and now is the leading sport drink. New line of Gatorade brand drinks, Xtremo, comes in the three new flavours mango, Tropical and Citric. Pepsico and Kenneth cooper, M.D. , M.P.H.,of cooper concepts inc. (CCI) , a division of the renowned cooper Aerobics Centre in Details ,TX enters into an agreement to promote nutrition , fitness and wellness. Dole Beverages enters chilled orange juice business as it launches five new flavours and packages. PEPSICO reorganizes to unite North American beverage operations, including

PEPSI-cola, Tropicana and Gatorade ,into one new division PEPSICO Beverages and foods North America. PepsiCo announces $5 billion share repurchase program.Starbuck unveils white vanilla and coconut crme Frappuccino. Tropicana has new ad campaign for Tropicana Pure Premium Healthy Kids TV spots designed to capture the essence of childrens needs. Galaxy Nutritional Foods launches Ulra Smoothies made with Tropicana juices. PepsiCo publishes

PEPSI-COLA launches sierra mist a caffeine-free,lemon/ lime soda. The north American coffee partnership launched caramel-flavored bottled frappuccino coffee drink the sixth flavor addition to its popular line of ready to drink coffee. Pepsico inc reaches agreement to acquires a 15

majority stake in south beach beverages company , whose highly innovative so be brand has made it one of industrys most successful companies. Pepsico completes the acquition of a majority stake in south beach beverage co. Pepsico sales are $20 billion and the company has 125,000employment at year- Tropicana introduces two new calcium fortified pure premium juices: Pure premium grove stand calcium and pure premium ruby red grapefruit calcium. PEPSI launches the joy of cola advertising campaign. 1march , the PEPSI bottling group the worlds largest pepsi bottler , begins trading on the new york stock exchange. It is listed under the symbol PBG . the $2.3 billion public offering is among the biggest initial public offering in stock market history. Steve reinemund named president of pepsico. Hallie eisenberg joy of cola commercials named #6 of fifty greatest tv commercials of all time, by TV guide. Lipton introduces iced tea green tea with honey and diet peach. PepsiCo and Suntory limited signed an agreement to create a joint venture linking bottling networks in north Carolina and New York. The new company, PEPSI bottling ventures will be the third largest bottler in the Pepsi system.

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BEVERAGES INDUSTRY IN INDIA

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BEVERAGES INDUSTRY IN INDIA:

Indian beverages industrys size is Rs. 8000 crores and it is dominated by two players viz PEPSI & COKE. This high profile industry has lot of potential for growth as per capita consumption in India is 9 bottles a year as compared to 20 bottles in Sri Lanka, 14 in Pakistan, while 12 bottles a person in Nepal. The RKG Group is Indias leading supplier of retailer brand carbonated & non carbonated soft drinks, with beverages manufacturing facilities in India & Nepal. Its experience in the beverage industry dates back to the sixties when it had the first franchise at Mathura. The family manufactures and markets carbonated & non carbonated soft drinks and mineral water under Pepsi Brand. The various flavor and sub brands are Pepsi, Mirinda orange, mirinda Lemon, Mountain Dew, & 7up, Slice orange, Everest soda and Aquafina. It has the lincence to supply beverages in the territories of western UP, part of MP, half of Haryana, whole of rajasthan, Goa three districts of Maharashtra, 13 districts of karnataka, and whole of Nepal. The group has in total 18 bottling plants in India & Nepal is responsible for producing and marketing 44% Pepsi requirement in India.

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ENTRY OF PEPSICO IN INDIA

.

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In 1988 , Fruit drinks market was valued at Rs. 40 crores & was growing at the rate of 2 % . In the year 1985, the government rejected a proposal with R.P.Goenka group. This involved the export of fruit juice concentrates from Punjab in return for the import of the cola concentrates. The deal offered was 3:1 Export import ratio in return for being allowed to market PEPSI in Indian. The Rs. 22 crore PEPSICO would have an equity holding of 39% , Punjab Agro Industries Ltd . (PAIC) 20% & VOLTAS 24%. Pepsis share which have been originally just under 40 % was whittled to about 35% & PAICs share was hiked to 40% , these were mainly which coke had left India in 1977 . Thus PEPSI not only accepted the conditions but also went much further. Finallt their was a victory for pepsi who after more than 4 years of acrimonious battle was launched in june 1990 selectively in rajasthan , Punjab , uttar Pradesh & south as a laher-pe In 1991 , saw a major launch of 7up & mirinda in india , which was warmly received by the Indian customers & consumers . 1993 was a new beginning for fountain pepsi (PMX). In 1984 PEPSI achieved the no.1 position in cola brand in India . In 1996 the Mirinda attained the No. 1 position in orange beverages categorys Mr. Ramesh Vengal was the first managing director who was their till a april 1992, Mr. Suman Sinha the current president took over from him after a long inning with Hindustan unilever ltd.(HUL).

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Varun Beverages ltd. Was the new start , which was born in 1999 among the jaipuria group. Mr. Ravi Kant Jaipuria launched this vest biggest plant among all other plant , which comes under jaipuria group . this is the rising sun of jaipuria group. Mr. Ravi Kant Jaipuria group. Mr. Ravi Kant Jaipuria who is the chairmain of this bottling plant has good result. Mr. Ravi Kant Jaipurira got best Pepsi bottler award in 1998 for the best bottler in the world. The best Pepsi award is the highest honorable award to any franchisee.The complete new plant Varun beverages Ltd. Has structured in plot no. 477-479, 107 K.M. stone Agra- Delhi NH-2 village dautana, The- Chatta disit. Mathura, Utter Pradesh. This is not only the bottling plant per bottles are also manufactured. The present filling capacity of this plant is 1000 bottle per minute with 2 lines. The two lines are glass bottles lines. The annual capacity of this plant is around 88 lacks create of bottle soft Drink. These beverage market under different brands named as Pepsi, Mirnda Lemon , Mirinda

Orange, 7UP, Leher Soda Etc

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manufacturing process Process flowchart

Water preparation softening & treatment Sugar Raw sugar Syrup Q.C.testing

Chemical & Additives

Pepsi concentrate

Finished sugar Syrup Preparation

Q.C.Testing

Beverages Predaration

Q.C.Testing

Co2

Carbonation of syrup

Bottle Washing

Inspection

Bottle Filling

Inspection

Q.C. Testing

Dispatch

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Organization Chart of marketing

UNIT HEAD
(DEEPAK BHALLA)

T.D.M.
(Dhamendra Jain)

A.D.C.

C.E.
(Sachin Dixit)

RA.M.

Retailer

Consumers

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VARUN BEVERAGE MANUFACTURING PLANT

MARKETING VARUN B0EVERAGE DIVISION

DISTRIBUTION

SUB DISTRIBUTION

RETAILERS

CONSUMERS

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ABOUT RKJ GROUP

It can be said with absolutely certainly that the RKJ Group has carved out a special niche for itself. Our services touches different aspects of commercial and civilian domains like those of bottling. Food Chain and Education . Headed by Mr. R.K. jaipuria, the group as on today can lay claim to expertise and leadership in the fields of education , food and beverages. It business of the company was started in 1991 with a tie-up with PEPSI Foods limited to manufacturer and market PEPSI brand of beverages in geographically pre-defined territories in which brand and technical support was provided by the principals viz., PEPSI FOODS Limited. The manufacturing facilities were restricted at Mathura Plant only.

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Varun Beverages Ltd. Is the flagship company of the group. The group also became the first franchisee for Yum Restaurants International [ formerly PepsiCo Restaurants (India) private Limited ] in India. It has exclusively franchise rights for Northern & Eastern India. It has total 46 Pizza Hut Restaurants & 1 KFC Resturant under its Company. We diversified into education by opening our first school in Gurgaon under management of Delhi Public Schools society. The schools of the group are run under a Registered Trust namely Champs Devi jaipuria Charitable Trust. Companies are mediumsized , professionally managed, unlisted and closely held between India Promoters and foreign collaborators. The group added another feather to its cap when the prestigious PepsiCo International Bottler of the year award was presented to Mr. R.K. Jaipuria for the year celebrations at Hawaii, USA. The award was presented by Mr. Donald M. Kendall, founder of PepsiCo Inc. in the presence of Mr. George Bush , the 41st President of USA, Mr. Roger A. Enrico, Chairman of the Board & C.E.O., PepsiCo Inc. and Mr. Craig Weatherup, president of PEPSI Cola Company. NEW DELHI OCT 20 : Ravi K. Jaipuria (RKJ) , ONE OF PEPSICO Indias largest franchisee bottler , says that despite a slump in pepsi sales , he is going ahead with capacityb expansion plans with an investments of RS. 100 crore over a period of next six months.

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The investments will see setting up of two new plants through varun beverages (a bottling company of RKJ and part of the RS. 1,200-CRORE Jaipuria Group) at bhilwdi & jaipur in Rajasthan ands also a foray into the manufacturers of crowns and plastics shells for glass bottles, RKG Chairman Ravi Jaipura Group collectively forms about 45% of Pepsis total franchisee business. According to Varun beverages president- finance Mr. R.P. Gandhi, the company is spending Rs. 60 crore to set up a new bottling plant at Bhilwadi, Rajasthan, with an installment capacity of 80 lakh cases. A 15 acre plot has already been acquired by te company and the plant commissioned last month is expected to come up y March 2004. Additionally, the company plans to raise capacities at its Kosi Plant I UP by 30 Lakh cases, pumping in an advertisement of Rs. 15 crore. As part its backward integration venture, Mr. Jaipuria is setting up a new plant for manufacture of crowns and plastic sell at Ajmer Road, Jaipur, with an investment of Rs. 250 crore.

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While admitting that Pepsis sales were hurt post-cola contamination controversy, Mr. Jaipuria, however, maintained that it was difficult to access wheather the slump was due to the controversy or a lean monsoon. Weather has played a spolit sport, too, and the season has been dull so we cant really say whether sales has been hit by the pesticides issue alone, he said, adding that otherwise 2003 has been an excellent year for soft drinks sales. With the new initiatives, the RKJ group which operates through two companies Varun Beverages & Devyani- Hopes to achieve a sales turn over of Rs. 600 crore by the end of 2004, and Rs. 720 crore by 2004. the company posted a sales turn over of Rs. 500 crore in 2002. The RKJ group led Mr. Jaipuria has 7 pepsi bottling plants spread around the country in Noida and Kosi(UP), Alwer & Jodhpur(Rajasthan), Goa, Dharwar(Karnataka) And Kathmandu(Nepal). The total capacities at these unities is about 220 lakh cases as per year or 5000 bottles per minutes. Decide the soft drink business, RKJ is also firmly entrenched in the foods & education Business. Part of the Rs. 12000 crore Jaipuria group which has interested in the diverse fields including pepsi , pizza hut (hes the sole franchisee of pizza Hut in the north india) and DPS schools .

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VISION
Being the best in everything we though and handle.

MISSION

Continuously excel to achieve and maintain leadership position in the chosen businesses, and delight all stakeholders by making economic value addition in all corporate functions.

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PEPSI BOTTLING PLANTS IN INDIA

1.Goa, Salcete 2.Karnataka, Dharwad 3.Rajasthan, Bhilwadi 4.Rajasthan, Jodhpur 5.Rajasthan, Alwar 6.Uttar Pradesh, Greater Noida 7.Uttar Pradesh, Kosi 8.Kathmandu, Nepal 9.Rajasthan, Jaipur

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MAJOR UNITS OF VBL

Kosi Kalan (U.P.)

Nepal

Bhiwadi (Raj.)

Kolkata

Jaipur (Raj.)

Jodpur (Raj.)

Noida

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BRAND AVAILABLE IN THE MARKET

Table-1 PEPSI Products

Table 1 Product Name / Package Pepsi Mirinda Mirinda (Orange) 7-UP Slice Mountain Dew Aquafina (Mineral Water) Lehar Soda 200ml. Yes (Lemon) Yes Yes Yes Yes Yes Yes Yes 300ml. Yes Yes Yes Yes Yes Yes Yes Yes 500ml. Yes Yes Yes Yes Yes Yes Yes Yes 1Ltr. No No No No No No No No 1.5Ltr. No No No No No No No No 2Ltr. Yes Yes Yes Yes Yes Yes Yes Yes

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HISTORY OF COCA-COLA

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HISTORY OF COCA-COLA

The Coca-cola company exists to benefit & refresh every one it touches. Founded in 1886, company is the worlds leading manufacturers, marketer, & distributor of non alcoholic beverages concentrates & syrups, used to produce nearly 400 beverages brands. Its corporate head Quarters are in Atlanta, with local operation in over 200 countries around the worlds most widely recognised brands. It is the single global competitor of Pepsico.

COCA-COLA INDIA:
After a 16 years absence, Coca-Cola returned to India in 1993. the companys presence in India was cemented in November that year in a deal that gave drink Coca-Cola ownership of the nations top soft brands and bottling network. Coca-cola India has made significant investments to build and continually improve its business in India, including new production facilities, waste water treatment plants, distribution system and marketing equipment. During the past decade, the Coca-cola system has invented mote than US$ 1 billion in India.

COCA-COLA PRODUCTS IN INDIA:

Leading Indian brands Thums Up, Limca, Maaza, Citra and Gold Spot join yhe companys international family of brands including Coca-cola, diet coke, Sprite and Fenta, plus the schweppens product range.

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BRAND AVAILABLE IN THE MARKET

Table-II COCA-COLA Products

Table 2 Product Name / Package Coca-Cola Thums-up Sprite Limca Mazza Kinley (Mineral Water) Kinley Soda Coke 200ml. Yes Yes Yes Yes Yes No No No 300ml. Yes Yes Yes Yes Yes No No No 500ml. Yes Yes Yes Yes Yes Yes Yes Yes 1Ltr. No No No No No Yes Yes Yes 1.5Ltr. No No No No No No No No 2Ltr. Yes Yes Yes Yes Yes No No No

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RIVALY OF PEPSICO WITH COCA-COLA:

Coke still outlets PEPSI in all most all areas of the worlds. Saudi Arabia and the Canadian provinces of prince Edward island. New found land and Labrador, Ontario & Quebec are some of few exceptions. By most accounts , coca cola was Indias leading soft drink until 1977 when it left India after a new government order the company to turn over its secret formula for coca cola and dilute its sake in its Indian unit as required by the foreign exchange regulation act (FERA) . in 1988 , pepsi gained entry to indid by creating o joint venture with the Punjab agro industrial corporation (PAIC) and voltas India limited. This joint venture marketed and sold Lehar pepsi until 1991 when the use of foreign brands was allowed; pepsi bought out its partners and ended the joint venture in 1994. in 1993 , coca cola returned in pursuance of Indias liberalization policy . [10] in 2005, coca cola and pepsi together held 95% market share of soft drink sales in India . coca cola Indias market share was 60.9%. [11] other claim that due to rumors of the use of cocaine, coke was banned for a long time in india & recently the ban was lifted, how ever, Pepsi has maintained a commanding market share. Pepsi had long be the drink of Canadian, Francophone & it continues to hold its dominance by replying on local Quevecois celebrities (Specially Claude Meunier , of La Petite Vie Fame) to sell its product. Pepsi eventually became an offensive nick name for Francophones viewed as a lower class by Anglophones in the middle of 20th centaury.

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The termed is now used as a historical reference to Franch-English linguistic animosity (During the partitionist debate surrounding in 1995 referendum, a pandit wrote, And a wall will be erected the along st-laurent street [the traditional devide between franch and english in montreal] because some people were throwing coke bottel one way and Pepsi Bottles the other way) According to consumers reports, in 1970, the rivalry continued to heat up the market. Research proved that the Pepsi is preferred over coke. The way that they prove this way by blind taste tests that were conducted in stores. These test were called challenge Booths. The sales of Pepsi started to climb, and Pepsi kicked of the challenge across the nation.

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SWOT ANALYSIS

38

SWOT ANALYSIS
An analysis that include environmental analysis competitive analysis & analysis of corporate strengths, weakness, threats & opportunities.

STRENGTHS:
1). Top management decides strategic planning and its implementation regarding the availability, affordability of its brands. 2). Top management is very effective it take decisions on every aspects of business like social responsibility , sales promotion , marketing , finance distribution etc. 3) company has goodwill among the public. 4) Effective distribution channels. 5) Effective advertisement Systems. 6) Company has automated plant for production.

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WEAKNESSES:
1) The organization structure is not properly designed. 2) Demand of specific product are not fulfilled. 3) Mismanagement is distribution of advertising materials. 4) Quality of some product is not good like mirinda & lemon. 5) Sales representatives of company are not performing according there efficiency so sales effected.

OPPORTUNITIES:
1) VBL must be fulfilled the demand of market with it Pepsi can increase its market share. 2) Company can capture more market share if it covers those areas where competitor has not reach. 3) Company should consider on non user of cold drink.

4) Company can capture more market share when introduce 200 ml for children at
reasonable price.

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THREATS:

1). Company should maintain present market share.

2). Policy regarding the scheme should be transparent because it creating dissatisfaction among the retail outlet holders. 3). Main competitor of Pepsi is Coke. Now a days coke is improving planning, strategies, & its implementation. Company should also change the market strategies. 4). The forth coming market would be the market of consumer so the scheme must be consumer oriented.

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CHAPTER - 3

42

INTRODUCATION

OF THE TOPIC

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COMPARTIVE ANALYSIS OF PEPSICO & COCACOLA ON BRAND POSITIONING STRATEGIES BRAND:

Brand the distinguishing proprietary name, symbol, or trademark that differentiates a particular product, or service, from other of a similar nature

BRAND POSITIONING STRATEGIES:

.

1) Quality Positioning
Perception of quality is probably one of the most important elements for a brand to have and can be combined with any of the other prompts below. Quality or the perception of quality lies in the mind of the buyer. Build a powerful perception of quality, and you will succeed in creating a powerful brand. The 22 Immutable Laws of Brandis say the best way to increase perception of quality is to narrow the companys focused. When you narrow a products focus, they explain, you become a specialist rather than a generalist, and a specialist is perceived to know more or be of higher quality than a generalist. Another way to build the perception of high quality is to simply attach a higher price tag to your brand. More people think that they know a higher quality product from another but in reality; things are not always as they seem.

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Believe it or not, high price is a benefit to some customers. It allows the affluent consumer to obtain psychological satisfaction from the public pirchase and consumption of a high end product. Of course the product or service does need to have some perk or difference to justify the higher price.

2. Value Positioning
Although at one time, items that were considered to be a good value meant that they were inexpensive that stigma has fallen by the wayside. Today, brands that are considered a value are rising in popularity amongst consumers.

3.) Feature Driven Positioning

More marketers rely on product/service features to differentiate their brands than any other method. The advantage is that the message is clear, and the positioning will be credible if you stick to the facts about the product. Unfortunately, feature orientated stances are often rendered useless if the competition comes out with a faster or more advanced model.

4.) Relational Positioning

One of the most effective ways to create interest in a brand is to send out a positioning prompt that resonates well with potential buyers. For instance, sketches equate sneakers with cool and that characteristic passes to all who wear them. These brands have achieved positioning based on who buyes what they sell, not solely by what they sell.

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5.) Aspiration Positioning

These are positioning prompts that offer prospects a place they might like to go, or a person they might like to be, or a stake of mind they might like to achieve.

6.) Problem/Solution Positioning

As the name implies, problem/solution prompts show the consumer how a sticky situation can be relieved quickly and easily with the brand or service. What problem/solution campaigns lack in imagination, they usually make up for in directness and credibility. 7.) Rivalry Based Positioning By definition positioning deals with how one brand is thought of compared to its obvious competitors. Therefore, the idea of a rivalry-based position might seem redundant but many campaigns take this approach.

8.) Warm and Fuzzy Positioning

Underneath our capitalist driven needs to consume, we or still docile and emotional animals. As such, many marketers play on our feelings. How people feel about a brand is often times need or desire based which means that emotional or psychological approaches can oftentimes be very effective as positioning prompts.

9.) Benefit driven Positioning

Other brands base their entire positioning on the fact that they give back to the consumer.

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CHAPTER - 4

47

RESEARCH

METHODOLY

48

RESEARCH METHODOLGY
Methodology is the most important part of such studies. The method of study adopted by me to increase the knowledge and together more information regarding this project.

The major emphasis in such studies is on the discovery of ideas and fruitful relevant information. As such the research design appropriate for such studies must be flexible enough to provide opportunities for considering different aspects of a problem under study.

METHODS OF DATA COLLECTION:

1. PRIMARY DATA:
Survey Method this method information from a sample of was adopted because it helped in securing detailed respondents. The information received from the

respondent is recorded on a form called the questionnaire. This is only method to major attitude and motivation directly. Open framed discussion with managers.

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2. SECONDARY DATA:
I have also used the secondary data, which included the written document of the sorganization and other places. HEAD OFFICE(VBL) INTERNETs PAPERS & RECORDS

The data collected from the above mentioned sources helped me in getting information about the brief history of PEPSI Co.

SAMPLING PLAN:

Target population of the universe

Retailers, Maholi Road, Bus stand, State Bank Chouraha, Dholi pyaoo, Court area, Aurangabad, Birla Mandir, Masani, Link Road & Kacchi Sadak, Mathura(UP)

Sampling Size Sampling Method Area of Survey

1000 Simple random Sampling Mathura Region

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CHAPTER - 5

51

ANALYSIS & INTERPRETATION

52

FLAVOURS OF PEPSI & COCA-COLA COMPARATIVELY

53

COLA FLAVOURS

Cola is a most popular flavor in any group of age. This is the most saleable flavor in the world. Both PEPSICO & COCA-COLA has its own cola flavor. PEPSICO has a cola flavor named PEPSI and cola flavor of COCA-COLA are THUMPS UP & COKE. PEPSI COLA is a cash cow brand for the company in terms of sales revenue. PEPSI has two comparative brands in the cola flavor.

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LIME & LEMON FLAVORS

This segment of flavor is very likely in the children and aged person . PEPSICO has three brands in this segment with comparison to the brand of COAC COLA . The PEPSIS brand are MOUNTAIN DEW, MIRINDA LEMON and 7UP whether the COCA COLA has its sprit & LIMCA un this segment . MIRINDA LEMON is considered to be lemon in taste , comes under

the category of cloudy lemon of its color which is similar to that of clouds. It has to yield good revenue. MOUNTAIN DEW is the sweet lemon soft drink in India and in a few countries. It is mostly demands by the children. 7UP s lemon lime soft drink. Sales of 7UP is third largest carbonated soft drink brand in U.S.

most consumers prefer 7up as a their favourite brand than any other non-cola.

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 ORANGE FLAVOURS

This is another type of flavour in the soft drink industry. The taste is like orange. In this segment PEPSI has a brand named MIRINDA whether COCACOLA has its FANTA in orange . this flavor is mostly preferred by children and women.

PEPSI:

COCA-COLA:

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MANGO FLAVOURS

In this categorys of flavour is like a Mango. This flavour is now becoming more popular in India. In Mango flavour PEPSI has a well known name SLICE whether COCACOLA has a MAZAA in this segment.

PEPSI:

COCA-COLA:

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NEW BRANDS LAUNCHED BY PEPSICO

7UP ICE :PEPSICO India recently launched a new flavour named 7UP ICE IN Indian market. It is hard that 7UP. The taste of 7UP ICE is mint.

MIRINDA BAT PEPSICO is recently launched MIRINDA BAT BERRY. The taste of MIRINDA BAT BERRY is like Glico din.

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NEW BRANDS LAUNCHED BY COCACOLA

SPRITE ICE

COCA-COLA India is recently launched SPRITE ICE in the competition of 7UP ICE of PEPSI. This is a newly kind of flavor ads by both of companies.

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AREA WHERE SURVEY IS CONDUCTED

1.Bus Stand 2.Maholi Road 3.State Bank Chauraha 4.Dholi PiauS 5.Court Area 6.Orangabad 7.Birla Mandir 8.Link Road 9.Kachhi Sadak 10. Masani

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ANALYSIS AND INTERPRETATION

A survey with sample size 100 is conducted on randomly basis in different parts of Mathura to take the help in comparative analysis of PEPSI & COCACOLA.

All the samples, which are selected, are the retailers/outlets of PEPSI and .COCACOLA. COMPARATIVE SALE IN 200 ML

COMPARATIVE SALE IN 300 ML

The sale of pepsi in 300 ML is Greater than The coco cola.

Pepsi Cocacola

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COMPARATIVE SALES IN 500ML

60 50 40 30 20 10 0 Pepsi Coco Cola Series 1 Series 1

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COMPARATIVE SALES IN 2L TR

70 60 50 40 30 20 10 0

PEPSI

The comparative sale of pepsi in 2 L TR is greater than the coco cola

COCACOLA

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COMPARATIVE SALES IN CAN

60 50 40 30 20 10 0 PEPSI COCO COLA

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EXTRA EFFORTS MADE BY RETAILERS TO SELL PEPSI

YES NO

According to the survey conducted I fond that the retailers do not make some extra efforts to sell PEPSI. The company should makes such promotion activities and motivate the retailers by any means so that they should make some extra efforts to increase the sales of Mountain Dew.

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CHAPTER - 6

66

FINDINGS

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FINDINGS OF CONSUMERS SURVEY

(SAMPLE SIZE 200)
Division of consumers according to : Age group Below 20 41% 30-40 Above 40 Gender Male Female Education Under Graduate Graduate Post Graduate Professional Profession:Student Service Business Any other 56% 22% 18% 4% 38% 34% 15% 13% 70% 30% 12% 7% 40%

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Frequency of consuming soft drink:-

Daily Weekly Occasionally On any occasion

31% 20% 46% 3%

Reason for consuming soft Drink:Refreshing Hygienic Thrust Fizzy 65% 6% 20% 9%

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CHAPTER - 7

70

LIMITATIONS & CONCLUSTION

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LIMITATION OF THE SYUDY

Responsible managers & personals in the marketing department of varun beverage Ltd. Provide necessary assistance to me in Comparative Analysis Of Pepsi & Coca Cola. They discussed different aspects & Function of marketing .as practical pepsico India Ltd (VBL). Almost all necessary information was provided to me in the support of this project report. How ever some problems , which can not escape from . the limitation faced , felt or expressed by me are as follows Due to lack of time (i.e. two months) it is not possible to reach all respondents. The lack of availability of time on the respondents part. Some respondents was biased. Unwillingness of the respondents. I tried to overcome on these limitations.

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CONCLUSION

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CONCLUSION OF THE STUDY

I have studied and analyzed the comparison of PEPSI & COCA COLA on different aspects of the market , outlets , distribution & consumers . The survey was conducted in various areas of Mathura city with great Enthusiasm. This project report concludes that PEPSI is much strong than the COCA COLA and 100% is tough job & the most important Thing , which I feel to improve , is the availability to retailers & consumers. The retailers & consumers both promotes either PEPSI or any other of its brands (e.g. Mountain Dew ) for could be with regard to order processing , ware housing , inventory Management & Transportation , besides that shop covering , time of enter & exit from the market by the sales man , cooling appliances, glow shine board , schemes , incentives , prizes , gifts , discounts , proper biling , returning of defective goods , proper supply should be improved. My objective was to make marketing managers aware of all the problems so that a proper course of action is required to be undertaken. The only competitor of PEPSI is COCA COLA & no local brands can beat PEPSI.

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CHAPTER - 8

75

RECOMMENDATION & SUGGESTION

76

RECOMMENDATIONS & SUGGESTIONS

After copleting this report I find my self able to recommend Varun Beverages Ltd. To boost up the sales of PEPSI & its other brands. 1) PRODUCT AWARENESS PROGRAMES FOR CONSUMERS & RETAILERS SHOULD INCREASED A) For Retailers:-The company should organize seminars , but there compulsion for Retailers to attend the seminars. B) For Consumers:- The company should organize some more programmes in different localities . Awareness programmes may help increases the market share of PEPSICO. must be

2)SUPERVISION ON THE DISTRIBUTION ROOTS IS REQUIRED The main purpose behind this is that there should be time to time eye check on salesmens efficiency & on top of that they are going to meet retailers directly.

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3) PROMPT DELIVERY OF PRODUCTS Prompt delivery of the product to the customers is very much necessary towards enchancing the reputation of company & which is defining helpful in keeping the customers.

4) PEPSICO should keep sales engineers in various areas to provide technical support to the
outlets related to the cooling system. 5) The schemes & the other information are properly communicated to retailers so they are better equipped to handle the quarries of customers properly. 6) Another problem is replacement i.e. any bottle has some defect than the salesman replace it immediately. 7) There should be the time to time & proper survey of the market. 8) on extra sales upto some predetermined margins the sales force should paid extra

commissions & bonuses. 9) The should motivate its sales force to take the achievement higher than the targeted by rewarding them properly.

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CHAPTER - 9

79

BIBLIOGRAPHY

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BIBLIOGRAPHY

BOOKS
Kotler , Philip, Marketing Management : 12th Edition 2006 Kothari , C. R. , Research Methodology , 2e New Age International publisher Gupta C. B. , Marketing Management , 8th e 2006 Sultan Chand & Sons

WEB SITES http://www.pepsico.com/ http://www.pepsi.com/

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CHAPTER-10

82

ANNEXTURES & QUESTIONNAIRE

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QUESTIONNAIRE
Name:.... Contact person:..

Kind of shop: o Eatery o Grocery o Confectionary o Others

Which brand you purchase: o Pepsi o Coca-cola o Both

What kinds of strategies used by two companies. o Rigid Strategies o Unsatisfactory Non-aggressive o Satisfactory o Good

Does Advertisement influence your decision for choosing a particular brand o Yes o No o Cant say o 35 years & above

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Customer preference depends upon: o Brands o Availability o Scheme o Advertisements

If customer preference depends upon scheme, then which age group is mainly effected by it: o Below 15 yrs o 15-25 yrs o 25-35 yrs o 35 yrs & above

Average monthly consumption of Pepsi & Coca-cola: o PEPSI o COCA-COLA

Would you go for another brand away from the Pepsi & Coca Cola offer better product and service? o Yes o No o Uncertain

Do you make some extra efforts to sell/promote the PEPSI: o Yes o No

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Would you go for another brand away from the Pepsi & Coca Cola offer better product and service? o Yes o No o Uncertain What category of customer does advertisement affect more? o Male o Female o Children What is the peak time of sale of cold drinks? o Summer o Winter o Rainy o Spring Who is your target customers for brand positioning? o Young o Old o Children On what basis they segment their population? o Geographically o Demographically o Psychologically

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 Which is most sale oriented brand positioningl stratigies? o Value positioning o Quality positioning o Relational positioning What method is used by two companies for their brand positioning? o Customer oriented o Competition oriented o Cost oriented. Does brand positioning affect customer state of mind? o Yes o No Does Advertisement effect the customer decsition of buying cold drinks? o Yes

o No

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Any suggestion to company .

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