Summer Internship Report

Comparative Analysis And Research Pepsi cola Vs Coca cola

Submitted to:
DIRECTOR ACADEMICS Dr. NISHITH RAI

Submitted by:
JAGRITI SHARMA M.B.E. 4TH SEM. BATCH (10-12)

ACKNOWLEDGEMENT
Well to say this is my project would be totally untrue. At best this was my dream. There are people in this world, some of them so wonderful that made this dream become a project. I would like to thank all of them, and in particular: Especially, MR.Arvind Rathore Franchise manager - who trained us about products and services of PEPSICO and taught us how to deal with customer, All the TDM, CE and Sachin,Umer, Deepti ( Coordinator) whose off time discussions with me always encouraged and motivated me for the project, he was the one who helped me in understanding the market in a better and easier way. MRS. Suman Suhag (internal faculty guide) and MRS. Sweta seth (Program director) teacher cum mentor, they helped me right from the beginning to the end of my project in every aspect, Mr Shelesh and MRS. Taruna, Placement cell After all without their support I would have never got a chance to do my project in my dream topic.

My friends and colleagues Wasim, Prashant, Sandeep, Laleet, Pawan,Vinod,Vikas and others that surround me, love me and make life fun to reduce stress and tiredness. And lastly, it is only when one writes and realizes the true power of MS word 2007, from grammar checks to replace-alls. It is

simple. And the power of Windows XP the OS where MS Office is . Thank you Mr. Bill Gates and Microsoft Corp!

DECLARATION
I Jagriti Sharma declare that this project report entitled comparative analysis of market share Pepsi cola verses coca cola is an original piece of work done and submitted by me towards partial fulfillment of my post graduate programme in MBE (Master Of Business Economics). This Report has not been copied from anywhere, up to the best of my belief and knowledge. It has not been submitted anywhere else for Award of any other Degree/Diploma.

DATE:

SIGNATURE:

PREFACE
Marketing plays vital role in todays business scenario in consumer product Company, when there is such a high competition in the market. The emphasis in the project is providing the study and an insight into Indian FMCG Business Scenario. The Summer Project is designed to provide participation of MBE program as on the job experience. This has given a chance to try and apply the academic knowledge and gain insight into corporate culture. This helps in developing decision-making abilities and emphasizes on active participation by the student. We gained valuable experience & knowledge during the survey. The Project consists of our findings after data analysis & then

conclusions were drawn and finally recommendations were put forward.

Marketing is too important to be left to the marketing department. David Packard of Hewlett Packed. The Indian market is getting to be consumer oriented. This is the reason behind the exceptional boom in advertising. Below the line marketing activities, fast distribution system and more sophisticated consumer research. The problem that all marketers are facing is getting the maximum done in the minimum possible time. And with brand loyalty becoming a thing of the past, given the choice available to the consumer pull. The consumer could be a purchaser of end products, or a financial investor, or even an industrial purchaser. Everywhere, there is a new thrust on marketing and advertising. The hyper activity in the market place is seeing a boom in support services, with a number of independent agencies mushrooming to provide them.

The entries of multinational products in to the country are seeing more emphasis on world- class quality.

The scene has moved beyond the threshold of global presence, inward and out ward. However, there are certain issues still dogging an unchecked move forward something bound to happen when the economy is just opening up. These need to be addressed. Nonetheless, India has taken the irreversible step forward in becoming a part of the global family. And in the process of growth, there are already and will be in future, quantum jumps in progress.

TABLE OF THE CONTENT

Certificate Acknowledgement Declaration Preface Table of the content Executive Summary Soft Drink Industry : An Overview 1. Introduction 1.1.History of PEPSICO and COCA-COLA 1.2.Product of PEPSICO and COCA-COLA 1.3. PEPSICO and COCA-COLA IN INDIA 2. 2. Objective of study

3. 3.Compare sales and distribution 3.1.Channel type 3.2.Distribution service

3.3.Distribution of visi 3.4.Product 3.5.Market share 3.6.Feedback and Remark

4. Methodology and Analysis of Data 4.1.Research Methodology 4.2.Data collection Primary and Secondary 4.3.Using of data

4.4.Statistical tools 4.5.SWOT analysis 4.6.Area wise analysis 4.7.Company analysis

5. Recommendation and suggestions

6. Limitations Bibliography Annexure QUISTIONAIRE

EXECUTIVE SUMMARY
PepsiCo is the world's premier consumer products company focused on convenience food and beverages. We seek to produce healthy financial reward to investors as we provide opportunities for growth and enrichment to our employee.

PepsiCo India and its partners have invested more than U.S. $1 billion since the company was established in the country. PepsiCo provides direct and indirect employment to 150,000 people including suppliers and distributors The group has built an expansive beverage and foods business. To support its operations, PepsiCo has 43 bottling plants in India, of which 15 are company owned and 28 are franchisee owned. PepsiCos business is based on its sustainability vision of making tomorrow better than today. PepsiCos commitment to living by this vision every day is visible in its contribution to the country, consumers and farmers. To deliver on this commitment, PepsiCo India will build on the incredibly strong foundation of achievement and scale up its initiatives while focusing on the following 4 critical areas that have a business link and where we believe that we can have the most impact.

Coca-Cola is carbonated soft drinks sold in stores, restaurants and vending machines internationally. The Coca-Cola Company claims that the beverage is sold in more than 200 countries. The company produces concentrate, which is then sold to licensed Coca-Cola bottlers throughout the world. The bottlers, who hold territorially exclusive contracts with the company, produce finished product in cans and bottles from the concentrate in combination with filtered water and sweeteners. The bottlers then sell, distribute and merchandise Coca-Cola to retail stores and vending machines

In the modern urban culture consumption of soft drinks particularly among younger generation has become very popular. Soft drinks in various flavors and tastes are widely patronized by urban population at various occasions like dinner parties, marriages, social get together; birthday calibration etc. children of all ages and groups are especially attracted by the mere mention of the word soft drinks. With the growing popularity of soft drinks, the technology of its production, preservation, transportation and or marketing in the recent years has witnessed phenomenal changes. The so-called competition for this product in the market is from different other brands. Mass media, particularly the emergence of television, has contribute to a large extent of the ever growing demand for soft drinks the attractive jingles and sport make the large audience remember this product at all times. It is expected that with the sort of mass advertising, reaching almost the entire country and offering various varieties annual demand for the product is expected to rise sharply in the times to come.

In any marketing situation, the behavioral / environmental variables relating to consumers, competition and environment are constantly influenced. The competitors in a given industry may be making many tactical exercises in market all the time. The may introduce or initiate an aggressive promotion campaign or announce a price reduction. The marketing man of the firm has to meet all these maneuver and care of competitive position of his firm and his brand in the market. The only route open to him for achieving this is the manipulation of his marketing tactics. In todays highly competitive market place, three players have dominated the industry; The New York based Pepsi Company Inc. The Atlanta based coca- cola and U.K. based Cadbury Schweppes.

SOFT DRINK INDUSTRY: AN OVERVIEW

It all began in 1886, when a tree legged brass kettle in Hohn Styth pembertons backyard in Atlanta was brewing the first P of marketing leged. Unaware the pharmacist has given birth to a caromel colored syrup, which is now the chief ingredient of the worlds favorite drink. The syrup combined with carbonated the soft drink market. It is estimated that this drink is served more than one thousand million times in a day. Pemberton & Robinson laid the first foundation of this beverage when an average nine drinks per day to begin with, upping volumes as sales grew. In 1894, this beverage got into bottle, courtesy a candy merchant from Mississippi. By the 1950s Colas was a daily consumption item, stored in house hold freezes. Soon were born other non- cola variants of this product like orange & Lemon. Now, the soft drink industry has been dominated by three major player (1) The New York based Pepsi co. Inc.(2) The Atlanta based coca cola co. (3) The united Kingdom based Cadbury Schweppes. Though out the glove these major players have been battling it. Out for a bigger chunk of the ever-growing cold drink market. Now this battle has begun in India too. India is now the part of cold drink war.

Gone are days of Ramesh Chauhan, Indias one time cola king and his bouts of pistol shooting. Expect now to hear the boon of cannons when the Coca Cola & Pepsi co. battle it out for, as the Jordon goes a bigger share of throat. By buying over local competition, the two American Cola giants have cleared up the arena and are packing all their power behind building the Indian franchisee of their globe girdling brands. The huge amount invested in fracture has never been seen before. Both players seen an enormous potential in his country where swigging a carbonated beverage is still considered a treat, virtually a luxury.

In colas, Pepsi is already market leader and in certain cities like Delhi, Pepsi outlets are on one side & all the other colas put together on the other. While coke executive scruff at Pepsis claims as well as targets, industry observers are of the view that Pepsi has definitely stolen a march over its competitor coke. Apart from numbers, Pepsi has made qualitative gains. The foremost is its image. This image turnaround is no small achievements, considering that since it was established in 1989, taking the hardship route prior to liberalization and weighed down by export commitments. Now, at present as there are three major players coke, Pepsi and Cadbury and there is stiff competition between first two, both Pepsi and coke have started, sponsoring local events and staging frequent consumer promotion campaigns. As the mega event of this century has started, and the marketers are using this event world cup football, cricket events and many more other events. The success of soft drink industry depends upon 4 major factors viz. Availability Visibility Cooling Range

AVAILABILITY
Availability means the presence of a particular brand at any outlet. If a product is now available at any outlet and the competitor brand is available, the consumer will go for that.

VISIBILITY

Visibility is the presence felt, if any outlet has a particular brand of soft drink say- Pepsi cola and this brand is not displayed in the outlet, then its availability is of no use. The soft drink must be shown off properly and attractively so as to catch the attention of the consumer immediately.

COOLING
As the soft drinks are consumed chilled so cooling them plays a vital role in boosting up the sales. The brand, which is available chilled, gets more sales then the one which is not, even if it is more preferred one.

RANGE
This is the last but not the least factor, which affects the sale of the products of a particular company. Range availability means the availability of all SKU (Stock Keeping Units).

INTRODUCTION

HISTORY OF PEPSICO

Pepsi is a soft drinks produced and manufactured by PepsiCo. It is sold in many places such as retail stores, restaurants, schools, cinemas and from vending machine. The drink was first made in the 1880s by pharmacist Calab Bradham in New Bern, North Carolina. The brand was trademarked on June 16, 1903. There have been many Pepsi variants produced over the years since 1898. It was first introduced in North Carolina in 1898 by Caleb Bradham who made it at his pharmacy which sold the drink which was known back then as "Brad's Drink", and was later named Pepsi Cola possibly due the digestive enzyme pepsin and kola nuts used in the recipe. Bradham sought to create a fountain drink that was delicious and would aid in digestion and boost energy.

In 1903, Bradham moved the bottling of Pepsi-Cola from his drugstore into a rented warehouse. That year, Bradham sold 7,968 gallons of syrup. The next year, Pepsi was sold in six-ounce bottles, and sales increased to 19,848 gallons. In 1926, Pepsi received its first logo redesign since the original design of 1905. In 1931, the Pepsi-Cola Company went bankrupt during the Great Depression - in large part due to financial losses incurred by speculating on wildly fluctuating sugar prices as a result of World War-I. Assets were sold and Roy C. Megargel bought the Pepsi trademark.[3] Eight years later, the company went bankrupt again. Pepsi's assets were then purchased by Charles Guth, the President of Loft Inc. Loft was a candy manufacturer with retail stores that contained soda fountains. He sought to replace Coca-Cola at his stores' fountains after Coke refused to give him a discount on syrup. Guth then had Loft's chemists reformulate the Pepsi-Cola syrup formula. During the Great Depression, Pepsi gained popularity following the introduction in 1936 of a 12-ounce bottle. Initially priced at 10 cents, sales were slow, but when the price was slashed to five cents, sales increased substantially. With a radio advertising campaign featuring the jingle "Pepsi cola hits the spot / Twelve full ounces, that's a lot / Twice as much for a nickel, too / Pepsi-Cola is the drink for you," arranged in such a way that the jingle never ends.

Pepsi's success under Guth came while the Loft Candy business was faltering. Since he had initially used Loft's finances and facilities to establish the new Pepsi success, the near-bankrupt Loft Company sued Guth for possession of the Pepsi-Cola company.

PEPSICO IN INDIA
PepsiCo entered India in 1989 and has grown to become one of the countrys leading food and beverage companies. One of the largest multinational investors in the country, PepsiCo has established a business which aims to serve the long term dynamic needs of consumers in India. PepsiCo India and its partners have invested more than U.S.$1 billion since the company was established in the country. PepsiCo provides direct and indirect employment to 150,000 people including suppliers and distributors. PepsiCo nourishes consumers with a range of products from treats to healthy eats that deliver joy as well as nutrition and always, good taste. PepsiCo Indias expansive portfolio includes iconic refreshment beverages Pepsi, 7 UP, Mirinda and Mountain Dew, in addition to low calorie options such as Diet Pepsi, hydrating and nutritional beverages such as Aquafina drinking water, isotonic sports drinks - Gatorade, Tropicana100% fruit juices, and juice based drinks Tropicana Nectars, Tropicana Twister and Slice. PepsiCos foods company, Frito-Lay, is the leader in the branded salty snack market and all Frito Lay products are free of trans-fat and MSG. It manufactures Lays Potato Chips; Cheetos extruded snacks, Uncle Chipps and traditional snacks under the Kurkure and Lehar brands. The companys high fibre breakfast cereal, Quaker Oats, and low fat and roasted snack options enhance the healthful choices available to consumers. Frito Lays core products, Lays, Kurkure, Uncle Chipps and Cheetos are cooked in Rice Bran Oil to significantly reduce saturated fats and all of its products contain voluntary nutritional labeling on their packets. The group has built an expansive beverage and foods business. To support its operations, PepsiCo has 43 bottling plants in India, of which 15 are

company owned and 28 are franchisee owned. In addition to this, PepsiCos Frito Lay foods division has 3 state-of-the-art plants. PepsiCos business is based on its sustainability vision of making tomorrow better than today. PepsiCos commitment to living by this vision every day is visible in its contribution to the country, consumers and farmers.

Findings on the basis of history:

The ad campaign has been indianised with lot money being spent on advertising. Brand has been kept alive by effective promotional schemes. Coca Cola in the initial years of its incorporation had spent a lot of money on advertising. Coke is the longest surviving sponsored of The Olympics. To reach at this position advertising and effective event marketing have played a major role for Coca Cola. "To be the world's premier consumer Products Company focused on convenience 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." PepsiCo is a world leader in convenience foods and beverages, with 2007 revenues of more than $39 billion and more than 185,000 employees across the world. Its world renowned brands are available in nearly 200 countries and territories. PepsiCo entered India in 1989 and has grown to become the countrys largest selling food and beverage companies. One of the largest multinational investors in the country, PepsiCo has established a

business which aims to serve the long term dynamic needs of consumers in India. PepsiCo India and its partners have invested more than U.S.$700 million since the company was established in the country in 1989. In India, PepsiCo provides direct employment to 4,000 people and indirect employment to 60,000 people including suppliers and distributors. PepsiCo Indias expansive portfolio includes iconic refreshment beverages Pepsi, 7 UP, Mirinda and Mountain Dew, in addition to low calorie options Diet Pepsi and 7Up Light; hydrating and nutritional beverages such as Aquafina drinking water, isotonic sports drinks Gatorade, and 100% natural fruit juices and juice based drinks Tropicana, Tropicana Twister and Slice. Our local brands Lehar Everess Soda, Dukes Lemonade and Mangola complete our diverse spectrum of brands.

Pepsi's Slice launches 'Aamsutra'

PepsiCos popular mango juice drinks brand - Slice - kicked off the 2009 season with its new 'Aamsutra' concept. According to Homi Battiwalla, business head juice and juice drinks, PepsiCo India, Slice had seen powerful consumer momentum post relaunch of 2008. "South Indiais the leading market for mango drinks in the country. Andhra Pradesh is the biggest mango market and also the fastest growing market for Slice and other mango drinks in the country.

Tamil Nadu is among the top three states and Slice is the marketleader in Tamil Nadu," he added.

Pepsi has now opted for a new brand ambassador, Katrina Kaif. "The creative thought behind the new communication was to further enhance the Slice experience into dimensions of pleasure, sensuality and indulgence. Last year's commercial was about enumerating the principles of 'Aamsutra' - the art of experiencing pure mango pleasure - with the new Slice. This year, the commercial portrays the next level to bring alive the mango indulgence," stated Hari Krishnan, vice president, JWT - the agency responsible for Slice's campaign. The company has now opted for a 360o multimedia campaigns involving digital, print, radio, impact outdoors and sampling in core markets.

PepsiCos snack food company, Frito-Lay, is the leader in the branded.

The group has built an expansive beverage, snack food and exports business and to support the operations are the groups 38 bottling plants in India, of which 15 are company owned and 22 are franchisee owned. In addition to this, PepsiCos Frito Lay snack division has 3 state of the art plants. PepsiCos business is based on its sustainability vision of making tomorrow better than today. Our commitment to living by this vision every day is visible in our contribution to our country, consumers, farmers and our people.

Performance with Purpose articulates PepsiCo India's belief that its businesses are intrinsically connected to the communities and world that surrounds it. Performance with Purpose means delivering superior financial performance at the same time as we improve the world.

 To deliver on this commitment, PepsiCo India will build on the incredibly strong foundation of achievement and scale up its initiatives while focusing on the following 4 critical areas that have a business link and where we believe that we can have the most impact.

Profile of PepsiCo

MISSION:
PEPSI is continuously striving for synergy between technology, system and human resource to provide product and services thet meets the quality, performance and price aspirants of customer. While doing so, it maintains the highest standards of ethics and societal responsibilities, innovates product and, processes and develop team that keep the momentum going to take the company to excellence in the new millennium. About PEPSI PepsiCo is the 18th largest American Company with its worldwide operations in 190 countries. The company is possibly the largest employer. PepsiCo has set up a fully integrated operation in India- manufacturing, research and development, marketing, distribution, covering fruit/vegetable processing, exports, snack foods, beverages and restaurants, including franchising of beverage territories for beverage business and restaurants it has set up a holding company to further accelerate growth in the future through new initiatives and

joint ventures. PepsiCo started its operations in India in 1989 with the formation of Pepsi Foods Limited. Starting from a Zero base, Pepsi, today, enjoys a leadership in Cola category. The companys beverage brands are Pepsi, 7Up, Mirinda Lemon, Mirinda Orange, Slice, Tropicana Product, Aquafina, Diet pepsi, pepsi can. Pepsi services all retailers at least thrice a week and in summer, very often, twice a day.

HISTORY OF COCA-COLA

The first Coca-Cola recipe was invented in a drugstore in Columbus, Geogia by John Pemnerton, originally as a coca wine called Pemnertons frensh Wine Cola in 1885. He may have been inspired by the formidable success of Vin Mariani, a European coca wine. In 1886, when Atlanta and Fulton Country passed prohibition legislation, Pemberton responded by developing Coca-Cola, essentially a non-alcoholic version of French Wine Cola. The first sales were at Jacob's Pharmacy in Atlanta, Georgia, on May 8, 1886. It was initially sold as a patent medicine for five cents a glass at soda fountains, which were popular in the United state at the time due to the belief that carbonated water was good for the health. Pemberton claimed Coca-Cola cured many diseases, including morphine addiction, dyspepsia, neurasthenia, headache, and importance. Pemberton ran the first advertisement for the beverage on May 29 of the same year in the Atlanta Journal. By 1888, three versions of Coca-Colasold by three separate businesses were on the market. As a Griggs Candler acquired a stake in Pemberton's company in 1887 and incorporated it as the Coca-Cola in 1888. The same year, while suffering from an ongoing addiction to morphine], Pemberton

sold the rights a second time to four more businessmen: J.C.Mayfield, A.O. Murphy, C.O. Mullahy and E.H. Blood worth. Meanwhile, Pemberton's

alcoholic [] son Charley Pemnerton began selling his own version of the products. John Pemberton declared that the name "Coca-Cola" belonged to Charley, but the other two manufacturers could continue to use the formula. So, in the summer of 1888, Candler sold his beverage under the names Yum Yum and Coke. After both failed to catch on, Candler set out to establish a legal claim to Coca-Cola in late 1888, in order to force his two competitors out of the business. Candler purchased exclusive right to the formula from John Pemberton, Margaret Dozier and Woolflk Walker. However, in 1914, Dozier came forward to claim her signature on the bill of sale had been forged, and subsequent analysis has indicated John Pemberton's signature was most likely a forgery as well. In 1892 Candler incorporated a second company, The Coca-Cola Company (the current corporation), and in 1910 Candler had the earliest records of the company burned, further obscuring its legal origins. By the time of its 50th anniversary, the drink had reached the status of a national icon for the USA. In 1935, it was certified Kosher by Rabbi Tobias Geffen, after the company made minor changes in the sourcing of some ingredients. Coca-Cola was sold in bottles for the first time on March 12, 1894. The first outdoor wall advertisement was painted in the same year as well in Cartesville, Georgia. Cans of Coke first appeared in 1955. The first bottling of Coca-Cola occurred in Vicksburg, Mississippi, at the Biedenharn Candy Company in 1891. Its proprietor was Joseph A. Biedenharn. The original bottles were Biedenharn bottles, very different from the much later hobbleskirt design that is now so familiar. Asa Candler was tentative about bottling the drink, but two entrepreneurs from Chattanooga, Tennessee, Benjamin F. Thomas and Joseph B. Whitehead, proposed the idea and were so persuasive that Candler signed a contract giving them control of the procedure for only one dollar. Candler never collected his dollar, but in 1899 Chattanooga became the site of the first Coca-Cola bottling company. The loosely termed contract proved to be problematic for the company for decades to come.

Legal matters were not helped by the decision of the bottlers to subcontract to other companies, effectively becoming parent bottlers.

Coke concentrate, or Coke syrup, was and is sold separately at pharmacies in small quantities, as an over-the-counter remedy for nausea or mildly upset stomach.

New Coke
On April 23, 1985, Coca-Cola, amid much publicity, attempted to change the formula of the drink with "New Coke". Follow-up taste tests revealed that most consumers preferred the taste of New Coke to both Coke and Pepsi, but Coca-Cola management was unprepared for the public's nostalgia for the old drink, leading to a backlash. The company gave in to protests and returned to the old formula under the name Coca-Cola Classic on July 10, 1985.

21st century On February 7, 2005, the Coca-Cola Company announced that in the second quarter of 2005 they planned to launch a Diet Coke product sweetened with the artificial sweetener sucralose ("Splenda"), the same sweetener currently used in Pepsi One. On March 21, 2005, it announced another diet product, "Coca-Cola Zero", sweetened partly with a blend of aspartame and acesulfame potassium. Recently Coca-Cola has begun to sell a new "healthy soda": Diet Coke with vitamins B6, B12, Magnesium, Niacin, and Zinc, marketed as "Diet Coke Plus." On July 5, 2005, it was revealed that Coca-Cola would resume operations in Iraq for the first time since the Arab League boycotted the company in 1968. In April 2007, in Canada, the name "Coca-Cola Classic" was changed back to "Coca-Cola." The word "Classic" was truncated because "New Coke" was no longer in production, eliminating the need to differentiate between the two. The formula remained unchanged.

In January 2009, Coca-Cola stopped printing the word "Classic" on the labels of 16-ounce bottles sold in parts of the southeastern United State. The change is part of a larger strategy to rejuvenate the product's image.

PRODUCTS PROFILE
Product Category: Carbonated Soft Drinks Brand Name: PEPSI-COLA AND COCA-COLA Type: Bottle and Cans Size: 200ml, 300ml, 500ml, 1ltr, 2ltr Information: Ingredients Information Nutrition Information Ingredients Information: carbonated water, high fructose corn syrup, caramel color, sugar, phosphoric acid, caffeine, citric acid, natural flavors

PRODUCT
PRODUCT OF PEPSCO
1. PEPSI 2. MIRINDA 3. MIRINDA LEMON 4. MOUNTAIN DEW 5. NIMBOOZ

PRODUCT OF COCA-COLA
1. 2. 3. 4. 5. COKE THUMS-UP SPRITE LIMCA FENTA

6. SLICE 7. 7 UP 8. AQUAFINA

6. 7.

MAZZA KINLEY

LUCKOW MARKET
PepsiCo is a soft drink produced and manufactured by PepsiCo. It is sold in many places such as retail stores, restaurants, schools, cinemas and from vending machines. PepsiCo is working with one head quarter and three territories. PepsiCo is working with more than one lake people those are joint directly and indirectly with the company. There are 56 distributors and 33 root agents always connect with the company and joint each and every corner of Lucknow with the company. Every year more than ten lake people take the test of PepsiCo

Hierarchy of Pepsi and Coke

General Manager (GM) Franchisee Manager (FM)

Territory Development Manager (TDM) Area Development Manager (ADM) Customer Executive (CE)

MARKET OF PEPSI
In lucknow there are more than one lake soft drink outlets. PepsiCo cover all the outlets through their distribution channel for supply.. In PepsiCo all the management work done by kanpur office and all the LUCKNOW is divide into three major area jai drinks private limited(JDPL) , Pearl drinks limited(PDL) and Trasent Yamuna (TY) for the distribution of PepsiCo.

PEPSICO IN LUCKNOW

JAI DRINKS PRIVATE LIMITED

PEARL DRINKS LIMITED

TRASENT YAMUNA

DISTRIBUTOR OF THE KANPUR

DIRECT SUPPLY OR ROOT AGENT

MARKET OF COCA-COLA
In Lucknow there are more than ten thousand soft drink outlets. Coca-Cola cover all the outlets through their distribution channel for supply.. In Coca-Cola all the management work done by barabanki office and all the lucknow & kanpur is divide into three major area Hindustan drinks private limited(HDPL) , City drinks limited(CDL) and Varun drinks private Ltd. (VDPL) for the distribution of Cola-Cola

COCA-COLA IN LUCKNOW

HINDUSTAN DRINKS PRIVATE LIMITED

CITY DRINKS LIMITED

VARUN DRINKS LIMITED

DISTRIBUTOR OF THE AREA

DIRECT SUPPLY OR ROOT AGENT

OBJECTIVE OF THE STUDY

OBJECTIVE OF THE STUDY

The main objective of the study of PepsiCo and Coca-Cola is to find the market share , identification gap between sales and distribution, satisfaction level of customer, services provided by the company , span of control through hierarchy level, distribution channel, how company covered the market, stock supply by the company, increasing market share, sustain and maintain quality, product and services. Statement of research objectives start when problems are identified. There are some problems being identified such as brand awareness, quality awareness, factors influence the choice of customer, brand advertisements and more.

PEPSICO
Type Manufacturer

COCACOLA

Cola PepsiCo.

Country of origin United States Introduced 1898 (as Brad's Drink) June 16, 1903 (as Pepsi-Cola) 1961 (as Pepsi) Related products Coca-Cola

RC-Cola
City-Cola

Webside

http://pepsi.com

Coca-Cola

Type

Cola

Manufactur The Coca-Cola Company er Country of United States origin Related products

PepsiCo RC-Cola
City-Cola http:cocacola.cpm

Webside

Comparison Between Sales and distribution

COMPARE SALES AND DISTRIBUTION

AREA COVERED
Tugalakabad EXT (JDPL)Ram Nagar (TY) Naveen Shahadra(TY) Najafgarh (PDL) 416 112 144 707

CHANNEL TYPE
In the channel type we find which type of shop is there like grocery shop, eatery shop, and convenience Grocery Eatery Convenience 450 86 785

Distribution Services
In the distribution services we find, the shop keeper how get the PepsiCo and coke. Like direct supply by the company, by the wholesaler, by the distributor, by the presale order. 1. Direct service-476 2. Distributor-214 3. Presale-786 4. Wholesaler-557

Distribution of visi (Freeze)

1. Visi of Pepsi 2. Visi of coke 3. Own freeze

DEMAND OF PRODUCT OF PEPSI

In the PepsiCo, There are eight product in the Brewage industry in Delhi. Like Pepsi, Mirinda, 7up, Mirinda Lemon, Mountain Dew, Nimbooz, Slice, Aquafina

DEMAND OF PRODUCT OF COCACOLA

In the Coca-Cola, There are seven product is going on in the market in the brewage industry. Like coke, Thumps-up, Sprite, Limca, Maaza, Fenta, kinley Water.

OVERALL MARKET SHARE OF PEPSI AND COKE

Overall market share of PepsiCo and Coca-Cola in Lucknow. PepsiCo 57% Coca-cola 43%

LEVEL OF SATISFACTION
I have survey of more than 1500 outlets in Delhi. I found that level of satisfaction of customer and need of customer. Which services they wants , which product they like, which schemes they preferred , those who are not interested in Pepsico and or coca cola, pepsi monopoly market and coke monopoly market, whose who are ready to sell the soft drinks but they do not get it, those who are satisfied customer etc.

PEPSI COKE

MARKET SHARE SATISFIED SERVICE PROBLEM SCHEME PROBLEM VISI PROBLEM SUPPLY PROBEM MONOPOLY MARKET DEMAND OF PRODUCT PRODUCT QUALITY WHOLESALER MARKET

57% 42% 35% 38% 58% 71% 55% 59% 45% 80%

43% 58% 65% 62% 42% 29% 45% 41% 55% 20%

Methodology And

Analysis

METHODOLOGY AND ANALYSIS OF DATA

REASEARCH METHODOLOGY
Research methodology is a way to systematically solve the research problems. It may be understood as a science of studying how research is done scientifically. We study the various steps that are generally adopted by a researcher in studying his research problem along with the logic behind them. It is necessary for the researcher to know not only need to know how to develop certain indices or tests, how to calculate the mean, the mode, the median, standard deviation and chi square, how to apply the particular research techniques, are relevant and which are not and what would they

mean and indicate and why? Researchers also need to understand the assumptions underlying various techniques and they need to know the criteria by which they can decide that certain techniques and procedures will be applicable to certain problems and others will not. What type of research design was used? Exploratory Research Design Why was this type of design used? Exploratory research is a type of research conducted because a problem has not been clearly defined. Exploratory research helps determine the best research design, data collection method and selection of subjects. Given its fundamental nature, exploratory research often concludes that a perceived problem does not actually exist. Exploratory research often relies on secondary research such as reviewing available literature and/or data, or qualitative approaches such as informal discussions with consumers, employees, management or competitors, and more formal approaches through in-depth interviews, focus groups, projective methods, case studies or pilot studies. The Internet allows for research methods that are more interactive in nature: E.g., RSS feeds efficiently supply researchers with up-to-date information; major search engine search results may be sent by email to researchers by services such as Google Alerts; comprehensive search results are tracked over lengthy periods of time by services such as Google Trends; and Web sites may be created to attract worldwide feedback on any subject. The results of exploratory research are not usually useful for decisionmaking by themselves, but they can provide significant insight into a given situation. Although the results of qualitative research can give some indication as to the "why", "how" and "when" something occurs, it cannot tell us "how often" or "how many."Exploratory research is not typically generalizable to the population at large. What data collection methods were used?

 Primary Data Secondary Data Survey Primary Data Collection Methods: In primary data collection, you collect the data yourself using methods such as interviews and questionnaires. The key point here is that the data you collect is unique to you and your research and, until you publish, no one else has access to it. There are many methods of collecting primary data and the main methods include: Questionnaires Interviews

Focus group interviews

Secondary Data Collection Methods: All methods of data collection can supply quantitative data (numbers, statistics or financial) or qualitative data (usually words or text). Quantitative data may often be presented in tabular or graphical form. Secondary data is

data that has already been collected by someone else for a different purpose to yours. Survey: Surveys are used to collect quantitative information about items in a population. Surveys of human populations and institutions are common in political polling and government, health, social science and marketing research. A survey may focus on opinions or factual information depending on its purpose, and many surveys involve administering questions to individuals. When the questions are administered by a researcher, the survey is called a structured interview or a researcher-administered survey. When the questions are administered by the respondent, the survey is referred to as a questionnaire or a self-administered survey. What Data Collection Devices were Used? 1. In primary data: Questionnaire (Mixed) Close ended Personal Interview

2. In Secondary Data: Search Engines Wikipedia & Encyclopedia Google WWW.pepsiindia.com WWW.cokeindia.com I am using primary data for data processing and analysis. I have surveyed in many areas of Delhi. Like Tugalakabad extension, Najafgarh, Shahadra for finding market share of PepsiCo and coca-cola, supply system, hierarchy level, span of control, maintain quality and quantity, market demand, feedback etc.

I am using some statistical tool and techniques for data processing and analyzing like mean, correlation, regression, time series, index number , sampling and sampling distribution, estimation, hypothesis testing and other testing etc, on collected primary data and market share of PepsiCo and CocaCola.

Market share of PEPSICO AND COCA-COLA YEAR 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 MARKET SHARE OF PCI 43% 47% 44% 42% 48% 51% 58% 55% 57% 58% MARKET SHARE OF CCI 57% 53% 46% 58% 52% 49% 42% 45% 43% 42%

Total market share of pepsico Total market share of Coca-Cola

503 497

Mean value of pci =sum of PepsiCo/ number of year =sum of PepsiCo= 503 =number of year 10 =503/10 =50.3 Mean value of cci = sum of coke/ number of year = num of coke=497 = number of yar=10 =497/10 =49.7

Correlation coefficient Year Production of Pepsico(in cr.) 100 102 104 107 105 112 103 99 96 95 Market share of pepsico 43% 47% 44% 42% 48% 51% 58% 55% 57% 58% Production of Coca-cola(in cr.) 115 112 113 111 112 112 119 126 123 121 Market share of Coca cola 57% 53% 46% 58% 52% 49% 42% 45% 43% 42%

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

SWOT ANALYSIS OF PEPSICO

STRENGHT WEAKNESS

 BIG BRAND NAME IN INDIA OUTSTANDING REPOTATION BRODER PRODUCT LINE SPAN OF CONTROL HIERARCHY GOOD SCHEMES INCREASING MARKET SHARE 60% MARKET COVERED IN INDIA STRONG DISTRIBUTION OF CHANNEL GOOD ADVERTISENT

SUPPLY IS WEAK IN TY AREA NO ONE IS RESPONSIBLE FOR SCHEMES COMMUNICATION GAP BETWEEN DISTRIBUTOR AND RETAILOR LEAKAGE PROBLEM DISTRIBUTOR DOES NOT WORK PROPERLY IN SEASON STOCK SHORTAGE PROBLEM IN SEASON SUPPLY OF NIMBOOZ IS ADVERTISEMENT BIG MARKET SHARE GAP B/W PEPSI AND COKE IN INTERNATIONAL MARKET

OPPORTUNITY
NIMBOOZ IS A GOOD OPTION FOR LIMCA OFFICIAL SPONCERSHIP FOR

THREAT
COMPETITOR (COCA-COLA, RC, CITY) LIMCA

COMMON WEALTH GAMES AND ICC WORLD CUP-2011, OLYMPIC GAMES-2011 EXPEND THE MARKET IN TY AREA ATTRACTIVE SCHEMES NUMBER OF RETAIL COMPANIES ARE COMING IN INDIA LIKE WOLL-MART INCREASE NUMBER OF DISTRIBUTORS INCREASE NUMBER OF VISI AND CREAT PEPSI MONOPOLY MARKET

WHOLESALER CONSISTENT IN TEST CHANGE DEMAND

SWOT ANALYSIS OF COCA-COLA

STRENGTH WEAKNESS

 BIG BRAND NAME IN INDIA AND ABROAD OUTSTANDING REPOTATION BRODER PRODUCT LINE SPAN OF CONTROL HIERARCHY GOOD SCHEMES INCREASING MARKET SHARE 45% MARKET COVERED IN INDIA AND 60% MARKET IN ABORAD STRONG DISTRIBUTION OF CHANNEL GOOD ADVERTISEment

SUPPLY IS WEAK IN HDL AREA SCHEMES IS A BIG ISSUE COMMUNICATION GAP BETWEEN DISTRIBUTOR AND RETAILOR PURIFICATION PROBLEM DISTRIBUTOR DOES NOT WORK PROPERLY IN SEASON STOCK SHORTAGE PROBLEM IN SEASON SUPPLY OF LIMCA IS ADVERTISEMENT BIG MARKET SHARE GAP B/W PEPSI AND COKE IN INTERNATIONAL MARKET

OPPORTUNITY
LIMCA IS A GOOD OPTION FOR PEPSI OFFICIAL SPONCERSHIP FOR

THREAT
COMPETITOR (PEPSICO, RC, CITY) NIMBOOZ

COMMON WEALTH GAMES AND ICC WORLD CUP-2011, OLYMPIC GAMES-2011 EXPEND THE MARKET IN ALL AREA ATTRACTIVE SCHEMES NUMBER OF RETAIL COMPANIES ARE COMING IN INDIA LIKE WOLL-MART INCREASE NUMBER OF DISTRIBUTORS INCREASE NUMBER OF VISI AND CREAT COKE MONOPOLY MARKET

WHOLESALER CONSISTENT IN TEST CHANGE DEMAND

AREA WISE ANALYSIS

ANALYSIS OF HAZRATGUNJ
GOOD MARKET SHARE OF PEPSI

 OVERALL MARKET SHARE OF PEPSI IS 63% ALL THE MARKET CAPTURED BY WHOLESALER WHOLESALSER CHANGE LOW PRICES AS COMPARE TO DISTRIBUTOR THATS WHY DEMAND IS HIGH OF PEPSI DISTRIBUTOR AND CE PROBLEM IN PEPSI AND COKE 13 VISI OF PEPSI AND 7 VISI OF COKE IN 300 OUTLETS NO SUPPLY BY DISTRIBUTOR PEPSI AND COKE DUPLICACY OF PEPSI LARGE MARKET AND DEMAND IS HIGH SUPPLY IS THE MAJOR PROBLEM SCHEME ISSUE REPOTATION IS NOT GOOD ROOT AGENT IS NOT WOKING PROPERLY IT MAY BE A GOOD OPPORTUNITY FOR BOTH PEPSI AS WELL AS COKE 83% SHOPKEEPERS IS NOT SATISFIED WITH SERVICE OF BOTH PRODUCT 65% SHOPKEEPERS IS FACING SCHEMES PROBLEM DEMAND IS HIGH OF PEPSI , MIRINDA AND LIMCA. EXPIRY STORE IS AVAILABLE IN THIS MARKET OF PEPSI DIFFERENT TEST IN SAME PRODUCT CONSISTENCY PROBLEM DEMAND IS HIGH OF NIMBOOZ BUT THERE IS NO SUPPLY

ANALYSIS OF INDRA NAGAR

 GOOD MARKET IN MY SERVEY FOR PEPSI OVERALL MARKET SHARE 68% OF PEPSI AND 32% OF COKE 80% RETAILOR IS SATISFIED FROM PEPSI 12% RETAILOR IS SATISFIED FROM COKE 11% PEPSI MONOLOPY AND 2% COKE MONOPOLY MARKET ALL THE MARKET IS COVERED BY DISTRIBUTOR IN PEPSI AND COKE DEMAND IS HIGH FOR THE PEPSI, MIRINDA AND LIMCA 21% AVAILABILITY IF VISI OF PEPSI AND 9% AVAILABILITY OF VISI OF COKE IN THE MARKET GOOD RELATIOAN BETWEEN CE DISTRIBUTOR AND RETAILOR IN PEPSI BUT NOT IN COKE REQUIRED ADVERTISEMENT SCHEMES ISSUE SERVICE IS MAJOR PROBLEM WITH COKE DISTRIBUTOR AND CE IS NOT WORKING PROPERLY IN COKE GOOD REPOTATAON OF PEPSI IN THIS MARKET SUPPLY IS TOO GOOD IN PEPSI DEMAND FOR NIMBOOZ AND LIMCA IS HIGH BUT SUPPLY IS NOT THERE PROPERLY IT IS A VERY LARGE MARKET ,THERE ARE MORE THAN 1000 SHOPS,

ANALYSIS OF GOMTI NAGAR

 GOOD MARKET CONDITION, DEMAND IS ALWAYS THERE BUT SUPPLY IS NOT ACCORDING TO DEMAND IN BOTH PEPSI AND COKE. BED CONDITION IN THE MARKET FOR PEPSI AND GOOD CONDITION FOR COKE OVERALL MARKET SHARE 72% FOR COKE AND 28% PEPSI 50% COKE MONOPOLY MARKET AND 8% PEPSI MONOPOLY MAJOR COMMUNICATION GAP DISTRIBUTOR AND RETAILOR 87% RETAILOR FACED THE PROBLEM WITH SUPPLY IN PEPSI AND 34% IN COKE 8% AVAILABILITY OF VISI IN PEPSI AND 21% IN COKE SCHEMES PROBLEM SUPPLY AND STOCK PROBLEM IN PEPSI 85% MARKET IS COVERD BY THE WHOLESALER IN PEPSI AND COKE AND 52% MARKET IS COVERED BY THE DISTRIBUTOR IN COKE LECKAGE PROBLEM IN PEPSI MARKET IS NOT VISITED BY THE CE AND DISTRIBUTOR IN PEPSI GOOD REPOTATION IN THE MARKET FOR COKE 45% SHOPKEEPER IS SATISFIED WITH COKE AND 12% SATISFIED WITH PEPSI

SUGGESTIONS AND RECOMMENDATION

SUGGESTION AND RECOMMENDATIONS

CONCLUSION
After surveying the 150 respondents If we compare the data Pepsi has an edge over coke. Pepsi has less market share due to its sweeter taste than other beverages brand and most of the people are in favor of strong taste. General stores sell more soft drink rather than other stores. 300 ml is a more consumable size by the consumer compare to other sizes. People really are more health conscious still they believe soft drinks contains pesticides. Elders in family prefer less strong drinks like mazza, slice and fruity. Soft drinks become trends among friends. The advertisement of pepsi is good which influence the purchasing behavior of consumers. T.V. has more impact to get update people about the pepsi and brands.

Consumers
For the purpose of the study, questionnaires were prepared for the Consumers. Care was taken to interview all types of consumers, i.e. a. Different age groups b. Males and females c. People from different localities, etc. In all about 100 consumers were interviewed. The conclusions that one can draw from these answers provided by the consumers showed that marketing activities do form a major part of the decision. One thing that was common amongst all the consumers who were once a day or once a week. The number one factors the influences a customer while buying a soft-drink was taste. This was true for all the consumers who were interviewed. The rest of the conclusions as deducted from the questionnaires are as follows :

Conclusion (consumers)
The younger generation preferred soft drinks to the older generation. a. Children upto 15 years of age liked to have soft drinks upto 2-3 times a day. b. Young adults liked to have soft drinks upto 1-2 times a day. c. Adults liked to have soft drinks about once or twice a week.

Children preferred Coca-Cola Fanta, Mirinda orange. Young adults liked Pepsi, Mountain Dew. The older generation preferred CocaCola, Limca & Mirinda Lemon. The reason given for choice of favorite soft drink was taste and easy availability. Only if the consumer liked the taste of drink, he would have it again.95% of the consumers felt that marketing strategies of the company did affect the sales of their soft-drink.

Marketing strategy affect or not

100% 80% 60% 40% 20% 0% y es no

Marketing strategies made the consumer try a drink for the first time. The second time it was the consumers choice himself and not strategy could affect that. Youngsters were more acceptable to change. They tried different drinks, Cola and non-Cola. Adults stick to one and they prefer drinks that do not affect their health, like Limca.

Major number of people found television advertising to be the most effective. Young and the old, all liked to watch the advertisements on television.

Sponsoring events, outdoor advertising and sales promotion schemes were second choice of the consumers. Under television advertising, Pepsi came in as the number 1 favorite of the people the advertisement of Shah-Rukh Khan and the dog was the favorite of the consumers. Their new advertisement of Mirinda Lemon is also lifted by the people. The advertisement that came in second was, the Coca-Cola advertisement of the people Cricket and the song Must-Kalander going on at the back. These, advertisement remained most in the minds of the people Most of the consumers felt that Pepsi was the market leader in the soft-drink industry, in Delhi as well as in India. Whereas while Pepsi is the leader in Delhi, in India Coca-Cola is number one. 99% of the consumers interviewed felt that the marketing strategies of the Coca-Cola and Pepsi have helped them in attaining the huge market share that they possess.Women and children prefer cans as compared to men. These are the major conclusion that can be drawn about a consumers behaviour. Companies must take the initiative of finding out the habits of the consumers and then changing them, in their favour.

RECOMMENDATIONS
PEPSI, the choice of youth is not providing the first choice of young generation. Youth want something strong in cold drinks & thus prefers strong taste. Pepsi should come out with some extra strong taste to catch up maximum young generation & to become exactly Generation Next drink.

The distribution Channel should be focused on General Stores because most of the people purchase soft drinks from general stores. The company should update the people about pesticides time to time because most of the people still afraid of pesticides. Most of the elders in the family take soft drinks but not pepsi they considered more orange and less strong taste company should come up with new taste keeping elders in its mind to increase sale and market share. People are confused about the role of Pepsi in health company should clear the soft drink role whether it is beneficial for health or not. Pepsi co should improved its advertisement quality, it should be realistic not imaginary. People get updated by T.V. Pepsi co should increase the updating by publicity as well as by Hoardings Consistency (Pepsi blue, nimbooz, coke diet) Increase number of distributors Interchange staff in the market Emotional advertisement Number of visi Services of visi Demand effectiveness improper Retailer depend on supplier Create monopoly market with the help of visi Schemes attract to retailer (my can) Participation in Olympic Games, common Wealth games, ICC world cup

LIMITATIONS
Findings are based on the views expressed by the consumers. So it may suffer from biased prejudices. Weather conditions were not favorable. Some of the respondents were not co-operative & many seem to be having no interest. The study has not been intended on a very large scale, have the possibility of errors, which cannot be ruled out. Time limitations. Area was specified. I had lack of knowledge about the product of the local market. The sample size was very short for this kind of marketing survey Money Limitation was over there.

BIBLIOGRAPHY
WEBSITES:
www.pepsi.com www.pepsicoindia,com www.cocacola.com www.cocacolaindia.com www.wikipedia.com www.encyclopedia.com

BOOKS:
Research Methodology- C.R.Kothari Marketing Research- B. S. Bedi Principles of Marketing- P. Kotler & Armstrong

Annexure

PEPSI FOOD PVT. LTD. SURVEY REPORT

NAME : .. OUTLET POSITION = . TEL NO. :PIN NO. :. CHANNEL TYPE: GROCERY , CONVENIENCE , EATERY PCI SERVICE DIRECT CCX SERVICE DIRECT VISI PCI- 200 VISI CCX- 200 , PRESALE , PRESALE , 320 , 320 , DISTRIBUTOR , DISTRIBUTOR , WHOLESELLE , WHOLESELLE

, 220 , 300 , 220 , 300

, OTHER , OTHER , 407 , 407 , CANTOR , CANTOR

PCI SERVICE VEHICLE = RIKSHA CCX SERVICE VEHICLE = RIKSHA

, TEMPO , TEMPO

PCI WEEKLY SERVICE= .. CCX WEEKLY SERVICE= .. DEALER BOARD PCI = YES DEALER BOARD CCX = YES DISCOUNT PCI DISCOUNT CCX
PRODUCT PE PSI COLD ST. WARM ST MIR INDA

, NO , NO

=.. =..
7 UP M. DEW MIRIND NIM LEMON BOOZ SLICE SODA AQUA FINA

PRO DUCT COLD WARM

COKE

THUMPS SPRITE UP

LIMCA

FANTA

MAZA

KIN. SIDA

KIN. WTR

AVG MONTHLY VOL OF PCI = .. AVG MONTHLY VOL OF CCX = .. MARKET SHARE OF PCI =. MARKET SHARE OF CCX =. REMARK= SATISFIED , CLOSED PAR. , NOT FOUND ISSUE SERVICE ISSUE , READY TO BUY , SCHEME

REMARK 2:-

QUISTIONAIRE
The questionnaire had been designed in such a way to find out: The The The The The The effectiveness of distribution channel current market status of this brand drawbacks in the product drawbacks in the distribution channel most demanded brand most demanded flavor

1. Name of the outlet ________________________ 2. Contact Person 3. Address ________________________ ________________________

4. Telephone Number 5. Type of Organization a. Convenience b. Grocery c. E & D

Q1. Which brand of cold drinks do you sale more? Ans. Pepsi Coke

Q2. Which flavor cold drinks do you sale more? Ans.

Q3. What is your monthly sale? Ans.

Q4. Which brand of cold drinks do you prefer to sell more? Ans. Pepsi Coke

Q5. Why do you prefer to sell this particular brand more? Ans. a) Easily available b) More demand c) Quality factor

Q6. Generally which brand of cold drinks customer/ consumers demands? Ans.

Q7. When you talk about drinks which brand comes to your mind? Ans.

Q8. Whether the customers are already aware about this brand? Ans. Yes No

Q9. Which are the brands available in your shop? Ans.

Q10. Number of buyers who buy this brand per day? Ans. a) 0-5 b) 5-10

c) 10-15 d) Above 15

Q11. Are you satisfied with the current margin on this brand? Ans. Yes No

Q12. Whether you are getting any complaints from customers, specify? Ans.

Q13. To which brand and reason. Ans. Brand Reason

Q14. Recommendation for company to more sales: Ans.