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DECLARATION

I, Joyal Jose hereby declare that the organization study titled “Customer perception and
acceptance on newly launching Kinley flavours”- With reference to Thrissur” for the year
2017-18 is a bona-fide record of the project done by me as a part of the summer internship
during the period from 1st April 2019 to 31st May 2019 at National Traders Pvt Ltd,
Thrissur.

The study has been prepared in partial fulfilment of the requirement for the award of the Post
Graduate Diploma in Management during the academic year 2018-2020 under the guidance
of Dr. Padmanabhan, Faculty Member, Rajagiri College of Social Sciences (Autonomous),
Cochin.

I also declare that this report has not been submitted in full or part thereof, to any university
or institutions for the award of any degree or diploma.

Place: Kochi Joyal Jose


Date:
ACKNOWLEDGEMENT

It gives me immense pleasure to acknowledge and thank all those who have given consistent
guidance, advice and encouragement in my endeavour.

I wish to express my gratitude to Mr. Neeraj CM (HR), for granting me the permission to do
the project in their organization and Mr. Sathish Nair (STL) who in spite of his busy schedule
was always ready to give his suggestions and provided valuable information and resources
which were of great help while preparing the project.

I am thankful to all MGR’s (Market Growth Representatives) who I worked with in HCCB,
Thrissur for their support and cooperation.

I would also like to thank all those persons who have spent their valuable time to provide the
required information to me and gave me support for the preparation of this report.

I gratefully acknowledge my sincere gratitude to Dr. Joseph I Injodey, Executive director of


Rajagiri Business School for providing me the opportunity for undertaking my project works.

I would like to thank Dr. Binoy Joseph, Principal of Rajagiri Business School to provide the
necessary support to complete the project report and encourage me to further carry out the
research.
I gratefully acknowledge my sincere gratitude to Dr. Padmanabhan for his kind guidance and
helpful suggestions in every stage of the preparation of this report

I would like to thank my family members and friends who have been a constant source of
inspiration and support during the entire period.

Above all, I express my gratefulness to Lord Almighty for seeing me through the successful
completion of project

Joyal Jose

S.no: Topic Page No:


1. Executive Summary

2. SECTION I – ORGANIZATIONAL STUDY

Chapter 1: Industry Profile

Chapter 2: Company Profile

Chapter 3: SWOT Analysis

Chapter 4: Products and services of the company

Chapter 5: Functional Departments

3. SECTION II – PROBLEM CENTRIC STUDY

Chapter 1: Problem Formulation

Chapter 2: Research Process

Chapter 3: Presentation and Analysis

Chapter 4: Findings & Suggestions

Chapter 5: Conclusion

4. SECTION III – ROUTINE WORK

5. Bibliography

6. Annexure
EXECUTIVE SUMMARY

This project report is basically to understand the theoretical and functional aspects of an
organization. The project study was undertaken at National Traders Pvt. Ltd at Thrissur, one
of the distributors of Hindustan Coca-Cola Beverages private limited (HCCB), which is a sub
company of The Coca-Cola Company, one among the major multinational companies. This
study was aimed at an overall exposure to the working of the organization there by
identifying the specific problems faced by it and suggesting recommendations or solutions.

The first part of this report deals with profile study of the organization covering specific
topics like Industry profile, incorporation and history of the organization, organization
structure of Coca-Cola company. The second part of the report deals with routine work in the
organization.

This project is regarding the sale of Coca-Cola products in wholesale and retail market. The
Coca-Cola Company is a beverage company, manufacturer, distributor, and marketer of non-
alcoholic beverage concentrates and syrups. The company is best known for its flagship
product Coca-Cola. The main objective of this internship was (HE) Horizontal Expansion.
Horizontal expansion, (HE) involves the process of finding new retail or wholesale outlets in
respective routes to expand the market. The outlets are added by collecting address proofs of
the shops and ID proof of the shop owner. Along with this order punching, cooler purity,
arrangement and delivery were observed.

Duration of the project was two months. During this period, the researcher went on to meet
the retailers and wholesalers in their respective place of business to communicate and to
convince them to increase the business of the company. Also, at the time of induction
program conducted by HCCB, researcher learnt more about the brands and products of the
company and more about Horizontal Expansion. During the internship program the
researcher came to know more about the system of Coca-Cola Company, customer opinion
about the products and pros and cons of the brand in Kerala. The purpose of the study is to
understand the potential customers for Coca-Cola Company in Kerala. The study is totally
confined to improve the sales of Coca-Cola Company in the market.
SECTION 1

PROFILE STUDY OF THE


ORGANIZATION
CHAPTER 1
1.1 INDUTRY PROFILE:

Soda fountains vs. bottled sodas: A soft drink (also called soda, pop, coke, soda pop,
fizzy drink, tonic, seltzer, mineral, sparkling water, lolly water or carbonated beverage) is a
beverage that typically contains water (often, but not always carbonated water), usually a
sweetener and usually a flavouring agent. The sweetener may be sugar, high-fructose corn
syrup, fruit juice, sugar substitutes (in the case of diet drinks) or some combination of these.
Soft drinks may also contain caffeine, colourings, preservatives and other ingredients.

Soft drinks are called "soft" in contrast to "hard drinks" (alcoholic beverages). Small amounts
of alcohol may be present in a soft drink, but the alcohol content must be less than 0.5% of
the total volume if the drink is to be considered non-alcoholic. Fruit juice, tea, and other such
non-alcoholic beverages are technically soft drinks by this definition but are not generally
referred to as such.

Soft drinks may be served chilled or at room temperature, and some, such as Dr. Pepper, can
be served warm. The first marketed soft drinks in the Western world appeared in the 17th
century. They were made of water and lemon juice sweetened with honey. In 1676, the
Compagnie des Lemonadiers of Paris was granted a monopoly for the sale of lemonade soft
drinks. Vendors carried tanks of lemonade on their backs and dispensed cups of the soft drink
to thirsty Parisians.

1.1A Carbonated drinks: In the late 18th century, scientists made important progress in
replicating naturally carbonated mineral waters. In 1767, Englishman Joseph Priestley first
discovered a method of infusing water with carbon dioxide to make carbonated water when
he suspended a bowl of distilled water above a beer vat at a local brewery in Leeds, England.
His invention of carbonated water (also known as soda water) is the major and defining
component of most soft drinks. Priestley found that water treated in this manner had a
pleasant taste, and he offered it to friends as a refreshing drink.

In 1772, Priestley published a paper entitled Impregnating Water with Fixed Air in which he
describes dripping oil of vitriol (or sulfuric acid as it is now called) 18 onto chalk to produce
carbon dioxide gas and encouraging the gas to dissolve into an agitated bowl of water.

Another Englishman, John Mervin Nooth, improved Priestley's design and sold his apparatus
for commercial use in pharmacies. Swedish chemist Torbern Bergman invented a generating
apparatus that made carbonated water from chalk by the use of sulfuric acid. Bergman's
apparatus allowed imitation mineral water to be produced in large amounts.

Swedish chemist Jon Jacob Berzelius started to add flavours (spices, juices, and wine) to
carbonated water in the late century America, the drinking of either natural or artificial
mineral water was considered a healthy practice. The American pharmacists selling mineral
waters began to add herbs and chemicals to unflavoured mineral water. They used birch bark
(see birch beer), dandelion, sarsaparilla, fruit extracts, and other substances.

Flavourings were also added to improve the taste. Pharmacies with soda fountains became a
popular part of American culture. Many Americans frequented the soda fountain on a daily
basis. Due to problems in the U.S. glass industry, bottled drinks were a small portion of the
market in the 19th century. (However, they were known in England. In The Tenant of Wild
fell Hall, published in 1848, the caddish Huntingdon, recovering from months of debauchery,
wakes at noon and gulps a bottle of soda water.) In America, most soft drinks were dispensed
and consumed at a soda fountain, usually in a drugstore or ice cream parlour. In the early
20th century, sales of bottled soda increased exponentially. In the second half of the 20th
century, canned soft drinks became an important share of the market.

Soft drink bottling industry: Over 1,500 U.S. patents were filed for a cork, cap, or lid
for the carbonated drink bottle tops during the early days of the bottling industry. Carbonated
drink bottles are under great pressure from the gas. Inventors were trying to find the best way
to prevent the carbon dioxide or bubbles from escaping. In 1892, the "Crown Cork Bottle
Seal” was patented by William Painter, a Baltimore, Maryland machine shop operator. It was
the first very successful method of keeping the bubbles in the bottle.

Automatic production of glass bottles: In 1899, the first patent was issued for a
glass-blowing machine for the automatic production of glass bottles. Earlier glass bottles had
all been hand-blown. Four years later, the new bottle-blowing machine was in operation. It
was first operated by the inventor, Michael Owens, an employee of Libby Glass Company.
Within a few years, glass bottle production increased from 1,400 bottles a day to about
58,000 bottles a day.

Soft drink production: Soft drinks are made by mixing dry ingredients and/or fresh
ingredients (for example, lemons, oranges, etc.) with water. Production of soft drinks can be
done at factories or at home.
Soft drinks can be made at home by mixing either a syrup or dry ingredients with carbonated
water. Carbonated water is made using a soda siphon or a home carbonation system or by
dropping dry ice into water. Syrups are commercially sold by companies such as Soda-Club;
dry ingredients are often sold in pouches, in the style of the popular U.S. drink mix Kool-Aid.

Ingredient quality: Of most importance is that the ingredient meets the agreed
specification on all major parameters. This is not only the functional parameter (in other
words, the level of the major constituent), but the level of impurities, the microbiological
status, and physical parameters such as colour, particle size, etc.
Soft drinks Industry in India: Soft Drinks in India industry profile provide top-line
qualitative and quantitative summary information including market size. The profile also
contains descriptions of the leading players including key financial metrics and analysis of
competitive pressures within the market. Essential resource for top-line data and analysis
covering the India soft drinks market.

The soft drinks market consists of retail sale of bottled water, carbonates, concentrates,
functional drinks, juices, RTD tea and coffee, and smoothies. However, the total market
volume for soft drinks market excludes the concentrates category. The market is valued
according to retail selling price (RSP) and includes any applicable taxes. Any currency
conversions used in the creation of this report have been calculated using constant 2012
annual average exchange rates. The Indian soft drinks market generated total revenues of
$3.8 billion in 2012, representing a compound annual growth rate (CAGR) of 11% for the
period spanning 2009-2012.

1.1B Beverage Industry: The beverage industry is a shifting landscape as volume


leading categories such as soft drinks continue to lose volume versus prior year while
functioning and health and wellness-oriented categories enjoy strong volume growth.
Functional beverages continue to be the hottest segment in beverage.

Market research firm Zenith International estimates global per capita consumption of
functional beverages will increase 25% from 2010 to 2013, roughly from 5.5 liters per person
to 6.9 liters. Industry giants Coca Cola (www.coke.com) and Pepsi (www.pepsico.com)
continue to diversify their portfolios, as evidenced with Coke’s acquisitions involving
Glaceau’s vitamin water (www.glaceau.com), Fuze (www.drinkfuze.com) and its recent
investment in Zico coconut water.

The beverage industry refers to the industry that produces drinks. Beverage production can
vary greatly depending on which beverage is being made. The website
ManufacturingDrinks.com explains that, "bottling facilities differ in the types of bottling lines
they operate and the types of products they can run". Other bits of required information
include the knowledge of if said beverage is canned or bottled, hot-fill or cold-fill, and
natural or conventional. Innovations in the beverage industry, catalyzed by requests for non-
alcoholic beverages, include beverage plants, beverage processing, and beverage packing.

Beverage Production: Beverage production can be a complicated process if you are new
to the industry. Bottling facilities differ in the types of bottling lines they operate and the
types of products they can run: cans vs bottles, hot-fills vs cold-fill, natural vs conventional
etc. It is critical to understand the requirements of your beverage brand before you begin the
production process. Demand for non-alcoholic beverages has been the catalyst for
innovations in drink production in recent years, including beverage plants, beverage
processing and beverage packing.

No two beverage plants are alike. The beverage processes each beverage production facility
specializes in can vary greatly as can the beverage packing equipment available. There are
many 25 types of beverage processing equipment, some of the capabilities you may need to
consider given the requirements of your brand include:

Cold Fill
Hot Fill
Carbonation
Aseptic or tetra pack
Tunnel Pasteurization

Other key considerations are the contract manufacturing fees charged by the beverage
production company to run your product and the geographic location of the facility. If you
wish to distribute your brand in the Northeast but the only facility that can run your product is
located in Southern California, then you need to account for the freight expense of raw
materials as well as finishes product.

Beverage Industry in India: The food processing industry in India has a total turnover
of around USD 65 billion which includes value added products of around USD 20.6 billion.
The beverage industry in India constitutes of around USD 230 million among the USD 65
billion food processing industry. The major sectors in beverage industry in India are tea and
coffee which are not only sold heavily in the domestic market but are also exported to a range
of leading overseas markets. Half of the tea and coffee products are available in unpacked or
loose form. Among the hot beverages manufactured in India, tea is the most dominant
beverage that is ruling both the domestic and international market even today.
The taste factor in tea varies according to the taste of individuals in different countries and
the beverage companies in India manufacture the products in accordance with the taste of the
individuals. For example, the inhabitants in the southern parts of India prefer dust tea whereas
the inhabitants in the western part of India prefer loose tea. The Southern India also prefers
coffee a lot. The production capacity of the total packaged coffee market is 19,600 tones
which is 26 approximately a USD 87 million market.

The soft drink market such as carbonated beverages and juices constitutes around USD 1
billion producing 284 million crates per year. In the peak season, the consumption capacity
reaches 25 million creates per month and during off season the same goes down to 15 million
crates in a month. Pepsi and Coca cola are the two leading brands in the Indian market. The
mineral water market in India is a USD 50 million industry and produces 65 million crates.
Around 4.9 million crates are usually consumed each month, but it rises to 5.2 million crates
in the peak season.

CHAPTER 2 - Company Profile:

2.1 The Coca Cola Company, USA

Coca-Cola, the item that has given the world its best-realized taste was conceived in Atlanta,
Georgia, on May 8, 1886. Coca- Cola Company is the world's driving Producer, advertiser
and merchant of non-mixed refreshment concentrates and syrups, used to deliver about 400
drink brands. It offers drink concentrates and syrups to packaging and canning administrators,
merchants, wellspring retailers and wellspring wholesalers.
The Organization's refreshment items involve packaged and canned soda pops just as
concentrates, syrups and not-prepared to-drink powder items. Notwithstanding this, it
additionally creates and showcases sports beverages, tea and espresso. The Coca-Cola
Company started fabricating its worldwide system during the 1920s. Presently working in
excess of 200 nations and creating about 400 brands, the Coca-Cola framework has
effectively connected a basic equation on a worldwide scale: "Give a snapshot of refreshment
to a little sum of cash a billion times each day."
The Coca-Cola Company and its system of bottlers include the most refined and unavoidable
creation and dispersion framework in the world. More than anything, that framework is
committed to individuals working long and difficult to sell the items fabricated by the
Company. This extraordinary overall framework has made The Coca-Cola Company the
World's head delicate
- drink venture From Boston to Beijing, from Montreal to Moscow, Coca-Cola, more than
some other customer item, has brought delight to parched shoppers around the world. For
over 115 years, Coca-Cola has made an exceptional snapshot of joy for a huge number of
individuals consistently.
The Company goes for expanding share proprietor esteem after some time. It achieves this
by working with its colleagues to convey fulfilment and incentive to customers through an
overall arrangement of brands and administrations, hence expanding brand value on a
worldwide premise.
They have nine goes for dealing with their business well with individuals who are
emphatically dedicated to the organization esteems and culture and giving a suitably
controlled condition, to meet business objectives and targets. The partners of this Company
together assume liability to guarantee consistence with the system of arrangements and secure
the organization's benefits and assets while restricting business dangers.
COCA COLA ENTERPRISES INC.

TYPE: PUBLIC (NYSE: CCE)


FOUNDED: 1926
HEAD QUARTERS: ATLANTA, GEORGIA, U.S.A
CHIEF EXECUTIVE OFFICER: MUTHER KENT
CHIEF FINANCIAL OFFICER: GRAY P. FAYARD
INDUSTRY: BEVERAGES
REVENUE: $46.854 BN USD (2013)
OPERATING INCOME: $10.228 BN USD
NET INCOME: $8.584 BILLION USD
EMPLOYEES: 1,30,600(2013)

2.2 HISTORY OF COCA COLA

1886-1892
It was 1886, like many people who change history, John Pemberton, an
Atlanta pharmacist, was inspired by simple curiosity. One afternoon, he stirred up a fr
agrant, caramel-coloured liquid and, when it was done, he carried it a few doors down
to Jacobs' Pharmacy. There, the mixture was combined with carbonated water and
sampled by customers who all agreed this new drink was something special.
Pemberton's bookkeeper, Frank Robinson, named the mixture Coca-Cola®, and
wrote it out in his distinct script. To this day, Coca-Cola is written the same way. In
the first year, Pemberton sold just 9 glasses of Coca-Cola a day. A century later, The
Coca-Cola Company has produced more than 10 billion gallons of syrup.
Unfortunately for Pemberton, he died in 1888 without realizing the success of
the beverage he had created.

Over the course of three years, 1888-1891, Atlanta businessman Asa Griggs Candler secured
rights to the business for a total of about $2,300. Candler would become the Company's first
president, and the first to bring real vision to the business and the brand.

1893-1904
Asa G. Candler, a natural born salesman, transformed Coca-Cola from an invention into
a business. He knew there were thirsty people out there, and Candler found brilliant andinnov
ative ways to introduce them to this exciting new refreshment. He gave away coupons for
complimentary first tastes of Coca-Cola, and outfitted
distributing pharmacists with clocks, urns, calendars and apothecary scales bearing the Coca-
Cola brand.

People saw CocaCola everywhere, and the aggressive promotion worked. By1895, Candler
had built syrup plants in Chicago, Dallas and Los Angeles. Inevitably, the soda's popularity
led to a demand for it to be enjoyed in new ways. In1894, a Mississippi businessman named
Joseph Biedenharn became the first to put Coca-Cola in bottles. He sent 12 of them to
Candler, who responded without enthusiasm.

Despite being a brilliant and innovative businessman, he didn't realize then that the future of
Coca-Cola would be with portable, bottled beverages customers could take anywhere. He still
didn't realize it five years later, when, in 1899, two Chattanooga lawyers, Benjamin F. Thomas
and Joseph B. Whitehead, secured exclusive rights from Candler to bottle and sell the beverage
for the sum of only one dollar.

1905-1918
Imitation may be the sincerest form of flattery, but The Coca-Cola Company was none too
pleased about the proliferation of copycat beverages taking advantage of its success. This was
a great product, and a great brand. Both needed to be protected. Advertising focused on the
authenticity of Coca-Cola, urging consumers to "Demand the genuine" and "Accept no
substitute. "The Company also decided to create a distinctive bottle shape to assure people
they were actually getting a real Coca-Cola.

The Root Glass Company of Terre Haute, Indiana, won a contest to design a bottle that could
be recognized in the dark. In 1916, they began manufacturing the famous contour bottle. The
contour bottle, which remains the signature shape of Coca-Cola today, was chosen for its
attractive appearance, original design and the fact that, even in the dark, you could identify
the genuine article.

As the country roared into the new century, The Coca-Cola Company grew rapidly, moving
into Canada, Panama, Cuba, Puerto Rico, France, and other countries and U.S. territories. In
1900, there were two bottlers of Coca-Cola; by 1920, there would be about1,000.

1919-1940
Perhaps no person had more impact on The Coca-Cola Company than Robert Woodruff. In
1923, four years after his father Ernest purchased the Company from Asa Candler, Woodruff
became the Company president. While Candler had introduced the U.S. to Coca-Cola,
Woodruff would spend more than 60 years as Company leader introducing the beverage to
the world beyond.
Woodruff was a marketing genius who saw opportunities for expansion everywhere. Heled
the expansion of Coca-Cola overseas and in 1928 introduced Coca-Cola to the Olympic
Games for the first time when Coca-Cola travelled with the U.S. team to the1928 Amsterdam
Olympics. Woodruff pushed development and distribution of the
six- pack, the open top cooler, and many other innovations that made it easier for people todri
nk Coca-Cola at home or away. This new thinking made Coca-Cola not just a huge success,
but a big part of people's lives.
1941-1959
In 1941, America entered World War II. Thousands of men and women were sent overseas.
The country, and Coca-Cola, rallied behind them. Woodruff ordered that "everyman in
uniform gets a bottle of Coca-Cola for 5 cents, wherever he is, and whatever it costs the
Company." In 1943, General Dwight D. Eisenhower sent an urgent cablegram to Coca-Cola,
requesting shipment of materials for 10 bottling plants. During the war,
many people enjoyed their first taste of the beverage, and when peace finally came, thefounda
tions were laid for Coca-Cola to do business overseas.
Woodruff’s vision that Coca
-Cola be placed within "arm's reach of desire," was coming true from the mid-1940s until
1960, the number of countries with bottling operations nearly doubled. Post-war America was
alive with optimism and prosperity. Coca-Cola was part of a fun, carefree American lifestyle,
and the imagery of its advertising happy couples at the drive-in, carefree moms driving big
yellow convertibles reflected the spirit of the times.
1960-1981
After 70 years of success with one brand, Coca-Cola, the Company decided to expand with
new flavours Fanta, originally developed in the 1940s and introduced in the 1950s; Sprite
followed in 1961, with TAB in 1963 and Fresco in 1966. In 1960, The Coca-Cola Company
acquired The Minute Maid Company, adding an entirely new line of business juices to the
Company. The Company's presence worldwide was growing rapidly, and year after year,
Coca-Cola found a home in more and more places: Cambodia, Montserrat, Paraguay, Macau,
Turkey and more.
Advertising for Coca-Cola, always an important and exciting part of its business, really came
into its own in the 1970s, and reflected a brand connected with fun, friends and good times.
The international appeal of Coca-Cola was embodied by a 1971 commercial, where a group
of young people from all over the world gathered on a hilltop in Italy tossing "I'd Like to Buy
the World a Coke. "In 1978, The Coca-Cola Company was selected as the only Company
allowed selling packaged cold drinks in the People's Republic of China.
1982-1989
The 1980s -- the era of legwarmers, headbands and the fitness craze, and a time of much
change and innovation at The Coca-Cola Company. In 1981, Roberto C.
Goizueta became chairman of The Board of Directors and CEO of The Coca-
Cola Company.Goizueta, who fled Castro's Cuba in 1961, completely overhauled the
Company with a strategy he called "intelligent risk taking. "Among his bold moves was
organizing the numerous U.S. bottling operations into a new public company, Coca-Cola
Enterprises Inc. He also led the introduction of diet Coke, the very first extension of the
Coca-Cola trademark; within two years, it had become the top low-calorie drink in the world,
second in success only to Coca-Cola.

One of Goizueta's other initiatives, in 1985, was the release of a new taste for Coca-Cola, the
first change in formulation in 99 years. In taste tests, people loved the new formula,
commonly called “new Coke.” In the real world, they had a deep emotional attachment to
the original, and they begged and pleaded to get it back. Critics called it the biggest
marketing blunder ever. But the Company listened, and the original formula was returned.

to the market as Coca-Cola classic®, and the product began to increase its lead over the
competition a lead that continues to this day.
1990-1999
The 1990s were a time of continued growth for The Coca-Cola Company. The Company's
long association with sports was strengthened during this decade, with ongoing support of the
Olympic Games, FIFA World Cup football (soccer), Rugby World Cup and the National
Basketball Association. Coca-Cola classic became the Official Soft Drink of NASCAR
racing, connecting the brand with one of the world's fastest growing and most popular
spectator sports.
And 1993 saw the introduction of the popular "Always Coca-Cola" advertising campaign,
and the world met the lovable Coca-Cola Polar Bear for the first time. New markets opened
up as Coca-Cola products were sold in East Germany in 1990 and returned to India in 1993.
New beverages joined the Company's line-up, including Power sports drink, children’s fruit
drink and bottled water.
The Company's family of brands further expanded through acquisitions, including Limca,
Maaza and Thums Up in India, Barq's root beer in the U.S., Inca Kola in Peru, and Cadbury
Schweppes' beverage brands in more than 120 countries around the world. By 1997, the
company already sold 1 billion servings of its products every day yet knew that opportunity
for growth was still around every corner. In 1886, Coca-Cola brought refreshment to patrons
of a small Atlanta pharmacy. Now well into its second century, the Company's goal is to
provide magic every time someone drinks one of its more than 400 brands.

Coca-Cola has fans from Boston to Budapest to Bahrain, drinking brands such as Ambasa,
Vegitabeta and Frescolita. In the remotest comers of the globe, you can still find Coca-Cola.
Coca-Cola is committed to local markets, paying attention to what people from different
cultures and backgrounds like to drink, and where and how they want to drink it. With its
bottling partners, the Company reaches out to the local communities it serves, believing that
Coca-Cola exists to benefit and refresh everyone it touches.

From the early beginnings when just nine drinks a day were served, Coca-Cola has grown to
the world’s most ubiquitous brand, with more than 1.4 billion beverage servings sold each
day. When people choose to reach for one of The Coca-Cola Company brands, the Company
wants that choice to be exciting and satisfying, every single time.
History of Bottling:

1899 … The first bottling agreement


Two young attorneys from Chattanooga, Tennessee believed they could build business
around bottling Coca-Cola. In a meeting with Candler, Benjamin F. Thomas and Joseph B.
Whitehead obtained exclusive rights to bottle Coca-Cola across most of the United 21 States
(specifically excluding Vicksburg) -- for the sum of one dollar. A third Chattanooga lawyer,
John T. Lupton, soon joined their venture.

1916 … Birth of the contour bottle


Bottlers worried that the straight-sided bottle for Coca-Cola was easily confused with
imitators. A group representing the Company and bottlers asked glass manufacturers to offer
ideas for a distinctive bottle. A design from the Root Glass Company of Terre Haute, Indiana
won enthusiastic approval in 1915 and was introduced in 1916. The contour bottle became
one of the few packages ever granted trademark status by the U.S. Patent Office. Today, it's
one of the most recognized icons in the world - even in the dark!

2.3 About Hindustan Coca Cola Beverages Pvt Ltd


HCCBPL is large beverage bottling company, responsible for the manufacture, package, sale
and distribution of beverage under the trademark the Coca-Cola Company, USA, in India.
HCCBPL has an extensive distribution system spanning more than a million outlets operating
with world class execution standards. The focus of the system is to develop strong customer
value while delivering preferred choice of refreshment at an arm's length of desire to the
consumer.
HCCBPL's Product Portfolio has an extensive range to choose from: Sparkling Beverages –
Coca-Cola, Diet Coke, Thums Up, Sprite, Fanta, Limca, Kinley Soda, Schweppes Tonic
Water. Still Beverages – Maaza, Minute Maid Pulpy Orange, MinuteMaid, Nimbu Fresh,
Minute Maid100% Juices (Apple, Grapes, Orange, and Mixed Fruit), Minute Maid range of
fruit flavoured drinks.
Over the years, Hindustan Coca-Cola Beverages Pvt. Ltd. has focused on building world
class operations based on principles of safety, profitability and solid governance to claim
sustained growth. As part of our journey of moving towards being a World Class Company,
we have strengthened our organization in terms of Supply Chain, Infrastructure, Market
Execution, People, Processes, Compliance, Governance and Routeto-Market.
This approach has enabled us to build our portfolio through launching new packs and brands,
coupled with a competitive pricing strategy based on a balance of value pricing and
eliminating waste.

2.4 HINDUSTAN COCA-COLA BEVERAGES PRIVATE LIMITED


In the new liberalized and deregulated environment in 1993, Coca-Cola made its re-entry
into India through its 100% owned subsidiary, HCCBPL, the Indian bottling arm of the Coca-
Cola Company.

Hindustan Coca-Cola Beverages, India or HCCB was incorporated in the year 1997.
The company has 13 authorised bottling partners all over the country.
 Headquartered at Haryana.
 CEO – Christiano Ruggiero

Current Operations in India:


18 factories spread across India, the company manufactures 55 different products
in India including Thumps Up (Indian Cola) acquired when it re-entered in the
Indian market.

The 3 processes include:


 Manufacturing
 Packaging
 Distribution

Financial details:
Net revenue of the company declined 9% due to refranchising of company owned bottling
operations. Where as organic revenues grew by 6%. 4 % sales growth reported in 2018 FY.
Unit case volume grew by 2% led by trademark Coca cola. Value of market share for non-
alcoholic ready to drink beverages increased. The company has a market capital of $191.19 bn
now and it aims to 2.5 bn by 2020.

2.5 HCCB Pvt ltd, UNIT IN BIDADI, BANGALORE


Bidadi unit was formally inaugurated on 12 February 2000 by Chief Minister Mr. S. M.
Krishna. The Bidadi Unit is spread over an area of 15 acres. The company follows the
policies of The Coca-Cola Company, Atlanta and also by the Indian headquarters, Gurgaon.
The Bidadi unit is spread over an area of 15 acres. This is the State-of-the-art bottling facility
with four lines one of which is a pet line. 28 Manufacturing Capability There are 2 Bottling
lines in Bidadi plant. Out of 2 PET line, one has a capacity of 40000 bottles per day
(carbonated soft drinks), one water line which has a capacity of 40000 bottles per day. The
brands produced here include Coca-Cola, Sprite, Fanta, Kinley Mineral Water.

Hindustan Coca-Cola Beverages Private Limited has 3 COBO (Company Owned Bottling
Operations) region and 27 COBO units. Hindustan Coca-Cola Beverages Private Limited
handles manufacturing of finished products, selling and delivery to customer in Kerala and
Andra Pradesh since, there is no bottling.
HCCBPL’s vision is to create a World Class Selling Organization and a Culture of Operating
Excellence to continually improve consumer experience, customer satisfaction, employee
capability and company profitability.

2.6 Mission:
“to refresh the world”, “to inspire moments of optimism and happiness”, and “to create
value and make a difference”.

Vision 6 p’s:
 People: Be a great place to work where people are inspired to be the best, they can
be
Portfolio: Bring to the world a portfolio of quality beverage brands that anticipate and
satisfy people's desires and needs.

 Partners: Nurture a winning network of customers and suppliers, together we


create mutual, enduring value. d.
Planet: Be a responsible citizen that makes a difference by helping build and support
sustainable communities.

 Profit: Maximize long-term return to shareowners while being mindful of our


overall responsibilities.
 Productivity: Be a highly effective, lean and fast-moving organization

CHAPTER 3
2.7 SWOT -Analysis:

Strengths of HCCB:
1. Brand Equity: Coca cola with its vast global presence and unique brand identity is
definitely one of the costliest brands with the highest brand equity.
2. Company valuation – Coca cola is valued around 79.2 billion dollars. Vast global
presence – Coca cola is present in 200 countries across the world. Chances are, any
country that you go to, you will find coca cola present in that market.
3. Largest market share – There are only 2 Big competitors in the beverage segment
– Pepsi and Coca cola. Amongst all beverages, Coke, Thumps up, Sprite, Diet
coke, Fanta, Limca and Mazza are the growth drivers for Coca Cola.
4. Fantastic marketing strategies – Coca cola unlike Pepsi always tries to win peoples
heart. Where Pepsi’s target is continuously changing, and is targeted towards
youngsters, Coca cola targets people of all ages.
5. Customer Loyalty –The products mentioned above like Coca cola and Fanta have a
huge fan following. People will prefer these soft drinks over others. Because of the
good taste of Coca cola, finding substitutes becomes difficult for the customer.
6. Distribution network – Coca cola has the largest distribution network because of
the demand in the market for its products.
Weakness:
Competition with Pepsi – The competition in these two brands is immense and we don’t
think Pepsi will give up so easily.
Product Diversification is low – Where Pepsi has made a smart move and diversified into
the snacks segment with products like Lays and Kurkure, Coca cola is missing from that
segment.
Absence in health beverages – Carbonated beverages are one of the major reasons for fat
intake and Coca cola is the largest manufacturer of Carbonated beverages.
Water management –. Several groups have raised lawsuits in the name of Coca cola
because of their vast consumption of water even in water scarce regions (e.g. Plachimada
plant, Palakkad issue)
Opportunities:
1. Developing nations (India) – Developing countries are still being introduced to the
delight of carbonated drinks and soft drinks.
2. Packaged drinking water –Although Kinley’s expansion is slow as of now, Kinley
has a huge potential of expansion. Thus Coca cola as a company should focus on the
expansion of Kinley as a brand and take it up to Bisleri ‘s level of trust.
3. Supply chain improvement - Coca cola’s complete business is based on
transportation and distribution. Therefore, Coca cola should keep strict watch on its
Supply chain and keep improving to bring the cost down.
4. Market the lesser selling products – In the product portfolio of Coca cola, there are
several products which have not found acceptance in the market. Coca Cola needs to
concentrate on the marketing of these products as well.
Threats:
5. Raw material sourcing – Water is the only threat to Coca cola. The weakness of
Coca cola was the suspected use of pesticides or vast consumption of water. However,
over use of water can lead to conditions like drought and it becomes a threat to the
ecosystem.
6. Indirect competitors – Coffee chains like Starbucks, Cafe coffee day, Costa coffee
now delivers heathy substitutes for coke. They might not be a big competition for
Coke, but they do give indirect competition in beverage market.
CHAPTER 4

4.1 PRODUCTS OF HCCB, Kerala:


The company main office is situated in the biggest city Kochi, Kerala with a market share of
14% whereas rest are dominated by PepsiCo and other Local brands. It shut down
manufacturing in its Plachimada plant in Kerala due to many concerns put forward by the
farmers and villagers.
Thus, the product is delivered from Bidadi, Karnataka and is stored in its warehouse in Kochi
from where it is collected and delivered to the market by the distributors themselves.

4.2 Product line of HCCB, Kerala:


 Coca cola (Regular, Zero)
 Sprite
 Fanta
 Limca
 Thumps up
 Minute Maid flvrs
 Minute maid smoothie
 Mazza flvrs
 Monster
 Kinley Water/Soda
 Smart water
 Schweppes tonic water

4.3 COCA COLA (REGULAR, ZERO)

Coca-Cola, or Coke, is a carbonated soft drink manufactured by The Coca-Cola


Company. Originally intended as a patent medicine, it was invented in the late 19th
century by John Stith Pemberton and was bought out by businessman As a Griggs
Candler, whose marketing tactics led Coca-Cola to its dominance of the world soft-
drink market throughout the 20th century. The drink's name refers to two of its
original ingredients: coca leaves, and kola nuts (a source of caffeine). The current
formula of Coca-Cola remains a trade secret, although a variety of reported recipes
and experimental recreations have been published.
The Coca-Cola Company produces concentrate which is then sold to licensed Coca-
Cola bottlers throughout the world. The bottlers, who hold exclusive territory
contracts with the company, produce the finished product in cans and bottles from the
concentrate, in combination with filtered water and sweeteners. A typical 12-US-
fluidounce (350 ml) can contains 38 grams (1.3 oz) of sugar (usually in the form of
high fructose corn syrup). The bottlers then sell, distribute, and merchandise Coca-
Cola to retail stores, restaurants, and vending machines throughout the world. The
Coca-Cola Company also sells concentrate for soda fountains of major restaurants and
foodservice distributors.
The Coca-Cola Company has on occasion introduced other cola drinks under the
Coke name. The most common of these is Diet Coke, along with others including
Caffeine-Free Coca-Cola, Diet Coke Caffeine-Free, Coca-Cola Zero Sugar, Coca-
Cola Cherry, Coca-Cola Vanilla, and special versions with lemon, lime, and coffee.
Based on Inter brand's "best global brand" study of 2015, Coca-Cola was the world's
third most valuable brand, after Apple and Google. In 2013, Coke products were sold
in over 200 countries worldwide, with consumers drinking more than 1.8 billion
company beverage servings each day. Coca-Cola ranked No. 87 in the 2018 Fortune
500 list of the largest United States corporations by total revenue

4.3A Sprite:
Sprite is a colour less, caffeine-free, lemon and lime-flavored soft drink created by The Coca
Cola Company. It was first developed in West Germany in 1959 as Fanta Klare Zitrone
(“Clear Lemon Fanta”) and was introduced in the United States under the current brand name
Sprite in 1961 as a competitor to 7 Up.

4.3B FANTA:
It is an orange flavoured carbonated drink which is basically caffeine free and comes in regular
form. There are more than 100 flavours worldwide. Fanta originated as a Coca-Cola substitute
during the American trade embargo of Nazi Germany which affected the availability of Coca-
Cola ingredients in 1940.

4.3C Thumps up:


Thumps Up was created in 1977, after the American company Coca-Cola withdrew from
India, due to regulations requiring it to disclose its formula and sell 60% of its equity to an
Indian company under a government plan for foreign-owned companies to share stakes with
domestic partners. The Chauhan brothers owned part of the Parle Company and already had
two other brands of soda, Limca and Gold Spot, which were popular in India at the time.
Thumps Up quickly became the most popular and achieved a near monopoly among cola
products in India

during the 1980s, such as Campa Cola, Double Seven, Dukes and United Breweries Group's
McDowell's Crush. Ramesh had developed the formula from scratch, experimenting with
ingredients such as cinnamon, cardamom, and nutmeg. The company also wanted the drink to
be fizzy, even when it was not ice-cold, so it could be sold by vendors. After much testing
and experimentation, the Chauhan brothers and their research team created a cola that was
fizzier and spicier than Coca Cola. They originally planned to name the drink “Thumbs Up,”
but removed the “b” to make the name unique.

4.3D Limca:

Limca is a lemon- and lime-flavored carbonated soft drink made primarily in India and certain
parts of the U.S. It contains 60 calories per 150ml can. The formula does not include fruit,
relying instead on artificial flavours.
In 1992, when the Indian government allowed Coca-Cola to return for operations, at the same
time as it admitted Pepsi for the first time, Coca-Cola bought local soft-drink (soda) brands,
from Parle Bisleri owner Ramesh Chauhan including Limca, Thumps Up (a cola-like drink),
Maaza (a mango-juice based drink), Citra (a clear lemon-lime drink), and Gold Spot (Orange
flavour).
Prior to 1988, the original formula of Limca contained brominated vegetable oil (BVO). After
worldwide reports of ill effects of BVO, its use in soft drinks was banned in India. As a result
of this ban, the formula for Limca was changed, and BVO was removed from the concentrate
for Limca.

4.3E MINUTE MAID:

Minute Maid is a product line of beverages, usually associated with lemonade or orange
juice, but which now extends to soft drinks of many kinds, including Hi-C. Minute Maid is
sold under the Cappy brand in Central Europe and under the brand "Моя Семья" (Moya
Semia, "My Family") in Russia and the Commonwealth of Independent States. Minute Maid
was the first company to market orange juice concentrate, allowing it to be distributed
throughout the United States and served year-round. The Minute Maid Company is owned by
The Coca-Cola Company, the world's largest marketer of fruit juices and drinks. The firm
opened its headquarters in Sugar Land Town Square in Sugar Land, Texas, United States, on
February 16, 2009; previously it was headquartered in the 2000 St. James Place building in
Houston. Products of minute maid in Kerala includes:
 Minute Maid Pulpy Orange Drink - Orange Juice drink made from concentrate.
 Minute Maid Nimbu Drink - Lemon juice drink
 Minute Maid Apple - Apple juice
 Minute Maid Mixed Fruit - A mixed fruit juice
 Minute Maid Mango - Mango Juice Drink
 Minute maid Mosambi - pulpy mosambi juice
 Minute Maid 100% - Grape, Apple, Orange

4.3F SMOOTHIE:

Variant of minute which contains mango and banana as the main ingredients with goodness
of milk.

4.3G Mazza:
The product is available in 2 different form apple and mango and it uses the natural pure
pulpy mangoes and apples as the ingredient without added flavours.

4.3H SCHWEPPES TONIC WATER:


A swiss made tonic water which contains artificial ingredients and quinine as one of the main
ingredients. It is distributed by coca cola since 1999.

4.3I MONSTER ENERGY DRINK


Monster Energy is an energy drink introduced by Hansen Natural Company in April
2002.Coca-cola in partnership with monster energy introduced the product to Kerala. The
caffeine content of most Monster Energy drinks is approximately 10 mg/oz (33.81
mg/100ml), or 160 mg for a 16 oz. can. The packaging usually contains a warning label
advising consumers against drinking more than 48 oz per day (16 oz per day in Australia).
The drinks are not recommended for pregnant women or people sensitive to caffeine. The
ingredients include carbonated water, sucrose, glucose, citric acid, natural flavours, taurine,
sodium citrate, colour added, panax ginseng root extract, L-carnitine, L-tartrate, caffeine,
sorbic acid, benzoic acid, niacin amide, sodium chloride, Glycine max glucuronolactone,
inositol, guarana seed extract, pyridoxine hydrochloride, sucralose, riboflavin, malt dextrin,
and cyanocobalamin.

4.3J Kinley:
Kinley is a brand of still or carbonated water which is launched in India in 2000, made
through intense purification process and contains added minerals.

4.3K SMART WATER:


It is premium mineral water brand with added minerals and its premium packing is popular
that it’s relatively light and strong. It is odourless and colourless.

4.4 PACKS AVAILABLE:

Brand Pack
Coca-Cola 200ml RGB, 300ml Can, 200ml Can, 250ml PET ASSP,
750ml PET, 1.25Ltr PET, 2.25Ltr PET

Sprite 200ml RGB, 300ml Can, 200ml Can, 250ml PET ASSP,
750ml PET, 1.25Ltr PET, 2.25Ltr PET

Fanta 200ml RGB, 300ml Can, 200ml Can, 250ml PET ASSP,
750ml PET, 1.25Ltr PET, 2.25Ltr PET
Thumps-UP 200ml RGB, 300ml Can, 200ml Can, 250ml PET ASSP,
750ml PET, 1.25Ltr PET, 2.25Ltr PET

Limca 200ml RGB, 300ml Can, 200ml Can, 250ml PET ASSP,
750ml PET, 1.25Ltr PET, 2.25Ltr PET

Maaza 150ml Tetra, 200ml RGB, 250ml PET, 750ml PET,


1.5Ltr PET

Minute Maid 150ml TPK, 250ml PET, 400ml PET, 1Ltr PET, 1Ltr
TPK
Kinley Water 750ml PET, 1Ltr PET, 2Ltr PET

Kinley Soda 250ml PET ASSP, 750ml PET, 1.25Ltr PET, 2.25Ltr PET

Maaza Gold 1Ltr TPK

Monster energy 250 ml Can

Smart water 1 Ltr

4.5 COMPETITORS IN THE INDUSTRY:


Major competitors of Coca-Cola are:
1. Pepsi – The biggest and closest competitor of Coca Cola; its arch rival PepsiCo was
formed after the merger of Pepsi and Frito lay in 1965. The brand has seen growth in
organic revenue in 2017. It has 20 billion-dollar brands in its product portfolio. US it
its largest market where it is engaged in intense competition with Coca Cola. Its Net
revenue in 2017 was 63.5 Billion Dollars and Gross Profit 28.8 Billion dollars. The
two brands compete across several categories including sod beverages, health and
energy drinks as well as bottled water and juices. In fact Pepsi is the toughest
competitor of Coca Cola and their rivalry has come to be termed as Cola wars.

2. Red Bull – Red Bull despite its limited product portfolio is a major competitor for the
energy drink products of Coca Cola. It is a famous brand that sells across 171 countries
and is now focusing on core markets of Western Europe and USA for farther growth.
In 2017, the brand sold more than 6.3 Billion cans and its turnover reached 6.282
Billion Euros. Red Bull saw its sales booming in 2017 in five major markets including
Turkey, India, Netherlands, Northern Europe and United Kingdom. This has led to
better financial figures including operating profit and revenues for Red Bull in 2017.
Red Bull is the toughest competitor for the energy drinks by Coca Cola.

3. Dr Pepper Snapple – Pepper Snapple has a portfolio of more than 50 refreshing


brands. These brands include carbonated soft drinks, juices, teas, mixers, waters and
other beverages. The brand is a major competitor for Coca Cola in the US market. Its
2017 revenue was 6.4 billion dollars of which 90% was earned from the US market.
Dr Pepper Snapple has made a series of strategic acquisitions over the last three
decades to grow its business and customer base.

4. Nestle – While Nestle is not a direct competitor of Coca Cola, still it competes with
the brand across some specific product categories like bottled water. Its Nestle Pure
life and Poland Spring are two bottled water brands that are quite popular and major
competitors for Coca Cola’s Dasani.

5. Parle – Parle is an Indian brand and competes with Coca Cola across some specific
product categories that include bottled water and juices. Parle’s Frooty, Appy and
Bailey are major competitors of Coca Cola’s minute maid and other juice products as
well as juice drinks and bottled waters in the Indian market.
CHAPTER 5
ORGANISATIONAL STRUCTURE:
ORGANISATIONAL HIRARCHY OF HCCB, INDIA:

CEO

VICE REGIONAL VICE REGIONAL VICE CHIEF FINANCE HUMAN


PRESIDENT PRESIDENT PRESIDENT OFFICER RESOURCE
SUPPLY CHAIN (NORTH) (SOUTH) DIRECTOR

AGM
AREA SALES
MANAGER

GENERAL SALES FINANCE


MANAGER
MANAGER

PLANT
HR MANAGER
MANAGER
AREA
CHANNEL AREA SALES CAPABILITY
MANAGER MANAGER MANAGER

MARKETING

KEY ACCOUNTS

SALES TEAM
LEADER

MARKET
GROWTH
REP.
5.2 FUNCTIONAL DIVISION:

The function begins with the demand, transportation, distribution to the procurement of
product, storage, manufacturing and supply.
Before a bottling starts in the plant, the research and assessment is done. Checking the
availability of resources like land, water, labour and other factors.

5.3 PRODUCTION:
In this division the products are produced in the Bidadi unit.
The process meets certain criteria in order to utilize the resources in a best possible way,
using the most advanced and automated tools.
The plant itself is self-sustainable and uses clean energy.
One of the most prominent initiatives by HCCB, light weighting in order to reduce the
polyethylene Terephthalate (PET) used in the bottling. ErgoBloc: The whole process from the
cleaning of the preform, shaping into the bottle, and finally the filling of the beverage
happens in ErgoBloc.
The process includes,
First of all, raw water is collected from the Bidadi lake in Raw Water Plant. Collected water
is then purified through 7 layer of sedimentation process.
Purified water is then passed through carbonated filter to make soft water. Water filtered
through carbonated filter is moved to syrup room where it is mixed with concentration and
sugar. Then this solution is passed to bottling floor for being filled up in pet bottles.
Pet bottles are made by blowing the Performa received from certified suppliers.
Performa blowing is done with nitrogen gas to make it hard bound. As the Performa takes
the shape of the pet bottle it will be filled up with solution. Then, bottle is labelled with
appropriate labels. The products after production, the sample is tested by the microbiologists
in the plant to ensure the safety and quality of the product. Quality assurance is being
implemented through the use of video sensors for overall production process. Any flaws
found during this process will lead to rejection of bottles automatically.
Finally, the pet bottles are moved through automatic palletizer to wrap with thin plastic so
that it is ready for shipment.

5.4 MARKETING DEPARTMENT:

Marketing Mix:
Marketing Mix is the set of marketing tools that the firm uses to pursue its marketing
objectives. These marketing are classified and called as the Seven P’s i.e. Product,
Positioning, Packaging, Price, Promotion, Place & Distribution and Physical Distribution
Issues.
It also includes discounts, allowances, credit terms and payment period.

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

Product:
The core product is what the consumer is actually buying and the benefits it gives. Coca Cola
customers are buying a wide range of soft drinks. Consumers will buy the coke product
because of the high standards and high quality of the Coca Cola products. The augmented
product is the extra consumer benefits and services provided to customers. Since soft drinks
are a consumable good, the augmented level is very limited.

Positioning:
Coca Cola plan to further create positions that will give their products the greatest advantage
in their target markets. Coca Cola has been positioned based on the process of positioning by
direct comparison and have positioned their products to benefit their target market. Most
people create an image of a product by comparing it to another product, thus evident through
the famous battles between Coca-Cola and Pepsi products.

Price:
The price of Coca Cola’s products is one of the most important factors in a customer’s
decision to buy.
In Kerala, Price is the issue faced unlike other states where they has a production plant.
Since, the stock comes from Bidadi the transportation cost is high. The union charge to
unload is the other factor that increases the price when it is delivered to the client wholesaler.

Pricing Strategies and Tactics:


There are 5 strategies available to business: Market skimming pricing, Penetration pricing,
Loss leaders, Price Points and Discounts.
Coca Cola uses Penetration Pricing as a way of grabbing a foothold in the market. Once
customer loyalty is established Coca Cola is then able to slowly raise the price of its product.

Pricing Methods:
Pricing methods include: Cost based Pricing, Market based pricing and Competition based
Pricing. Over the years Coca cola has lost ground here in its pricing but, is regaining its
strength annually as it choosen the Competition-based pricing method which allowed it to
compete more effectively in the soft drink market. Coke controls 14% of the total carbonated
soft drink in Kerala market, which is yet to go where as Pepsi hold 30% and rest of the share
is flooded with the competitor products.

Promotion:
The promotion mix is the combination of personal selling, advertising, sales promotion that it
uses in its marketing plan. In Kerala, it is done through sponsoring sports events like ISL,
product promotions in college events, festivals etc.

5.5 STRATEGIES ADOPTED IN COCA COLA, KERALA:


PUSH STRATEGY:
They use its sales force and promotion money to carry, promote and sell the product to end
users i.e. consumers. For example- it gives free pet bottles, trade schemes, scratch cards to
distributors, agency owners and retailers.
PULL STRATEGY:
It gives the retailer/wholesaler free products along with the cases to satisfy customer. If the
shopkeeper orders 10 cases of Kinley 1 case of Mazza tetra is given, advertising in shops by
pasting labels and stickers is also done. by this way HCCBPL inducing customer to order it
from shopkeeper.

Media:
Advertising through common media such as television, radio, transport, newspapers and
magazines. Coca Cola has used this as the main form of promotion for extensive range of
products. Although advertising is usually very expensive.

Distribution:
Coca Cola ‘s product on the market uses the method of intensive distribution as the product is
available at every possible outlet. From supermarkets to convenient stores. The transaction of
money differs from distributors. Some could give cases on credit where other couldn’t. which
is one of the facts that retailers are unwilling.

5.6 HUMAN RESOURCE DEPARTMENT:


Major functions of HR Department are:

 Recruitment:
The Factory Manager and HR manager will recruit the particular person. The
manpower is recruited through Consultancy, Employee Exchange, Work Interview
etc.
Selection:
The selection is done by the marketing department head and HR head in the form of
direct interview and written is done if it is technical.
Interview:
The interview is designed to reveal more about you and your experiences. We’ll ask
for examples of how you behaved in different situations, maybe at school, university,
a club, at home or in previous jobs. This is not designed to 'catch you out' and our
interviewers will never try and trick you into an answer. Be honest, be yourself and it
should be an enjoyable experience. Also, don’t forget that this is your chance to find
out more about us and ask questions. Remember, interviews are a two-way process so
use it to understand the nature of the role and to make sure it really is what you’re
looking for.
Group exercises:
We’re very much a team at CCE so these will show us how effectively you work with
people. They’re a good opportunity for us to see how you communicate, influence and
involve other people in the workplace.

Psychometric tests:
Psychometric tests are timed exercises that examine your abilities and potential. On
occasions, we may also use a personality assessment tool that is designed to find out
more specific things about you. If you’re asked to complete a psychometric test, we’ll
send you information and advice in advance on how to prepare.
 Training and development:
Adequate training is done by the sales trainer who works under area capability
managers and gives necessary guidelines about how well the market is, based on
locations it differs. The satisfaction of the employees makes the company successful.
The reason is that if the employees of the company are satisfied then they will work
hard for the development of the company but if they are not satisfied with the
company’s policies and they are not given their rights then they will leave the
company which can turn into a big loss. So, employees’ relationship is very important
for every company.

Every company has its own policy. We have also got our own policy by which we
give importance to our employees if any employee faces some kind of problem
related to his life or work then he can directly go to the manager and he can share all
of his problems. This thing should be adopted by every company because this makes
the employee satisfied with the company.

We believe that an open-door policy is the best policy for employees’ relations
because due to this, our employees feel very independent and they know that if they
get any problem, they can contact directly to the manager of their department. So, we
strongly believe that such policy makes our employees satisfy with us.

Planning and Forecasting


The process of deciding what positions the firm will have to fill, and how to fill them. Coca
cola HR department involves in company strategic planning and they also make sufficient
planning for hiring new employees in the future. We forecast for the expected employees
needs in the organization.
We forecast of employees on the change technology and increasing in productivity. After
planning we send this report to the head office for approval. If we get approval from the head
office then we start recruitment process

Performance management system:


The company has 2 parameters red score and green score. The company GSM, ASM, STL,
MGR needs to achieve this. The red score is based on the purity level of coolers placed in the
shops such as how well the items are placed and its impurities (other brands). Green score
depends on the sales made by the employees.
The red and green score of GSM is based on how much his team of ASM’S scored. There
are 2 ASM’s who controls the north and south part of Kerala. Under ASM’s there are 50
STL’s working all over Kerala and score of STL, with whom I worked with is based on the
MGR’s performance. There would be 5 MGR’s under the STL.

5.7 Finance Department:


The finance manager has to report to the AGM and regional finance manager. The finance
department has the power to take any financial decisions like allocation of budgets, approval
of budgets etc.
 Preparation of the financing reports (distributors AR-closing stock)
 Claims handling and distributors Reconciliation.
 Getting the report from the S&D on the sale proceeds.
 The scope of financial analysis however depends on its purpose from an investor point
of view, predicting the future is what financial statement analysis is useful both as a
way to anticipate future conditions.

5.8 Shipping department:


This department is responsible for the safe transportation of the products and ensures 100 %
trade against the order within 24 hrs. If it comes to Kerala the transportation is done road ways
and hence, compromising the time. The lead time is more because the products are actually
stored at warehouses in Kochi and the distributors has to collect it all the way from north and
south part of Kerala.
 The department ensures to maintain breakage 1.1 % of total production.
 It is responsible for the labour for loading and unloading of shipping process.
SECTION II

PROBLEM CENTRIC STUDY


CHAPTER 1
PROBLEM FORMULATION
1.1 Title of the study:
The title of the study is “To market test Kinley aerated drinks and obtain the customer
feedback”

1.2 THE PROBLEM AND ITS BACKGROUND:


In Kerala, the market share of Coca Is low (14 % compared with other states of India. The
growth of all-time competitor ‘Pepsi’ and several other regional brands are one of the reasons
behind it. Thus, the company is testing the carbonated drink in the selected region. The
Kinley aerated drink is launched as a low-cost product. Therefore, we are doing a market test
on a new variant of Kinley to know the feedback of the customers about the product.

1.3 ELABORATION OF THE PROBLEM:


One of the challenges faced by the company in the state is the competitive market with lot of
regional brands. The company doesn’t have a bottom segment or low-cost product in its
portfolio. The regional brands like Njuze, Sprint, Sip on etc are easily available in the market
and customer always choose the product with best quality with a convenient price. where the
products are cheap and available in small to medium sized packs.

1.4 RELEVANCE OF THE STUDY:


Testing the product in the particular region is been done to obtain the customer feed back about
the product. The product is launched in the bottom segment and has low price comparing with
other products of the company’s product mix. So, through this study the company should know
whether the customers are satisfied with the Kinley aerated drink. The survey has been focused
on taking account various aspects such as flavour, price, quality, quantity etc of the product.

CHAPTER-2

RESEARCH PROCESS
2.1 OBJECTIVE
 To market test the Kinley aerated drink and obtain customer feedback.
 To improve the customer base of the brand.

2.2 SCOPE OF THE STUDY:


 The study focuses on launching a aerated drink with flavours under the brand
name Kinley.
 The study helps the company to check whether such low segment product has
enough market potential.
 This survey was done through collecting data from the customers who have
tried the product and shops at which the product was tested

2.3 Research Methodology:


The study is explorative in nature, the feedback is obtained from the customers who have
used the test product to see whether they are satisfied or not. The product is being actually
compared with the existing products of the portfolio. I shall be using bar graphs and pie
charts to present my analysis.

2.4 Research Design


• Geographical Location: The area chosen for the purpose of data collection is Thrissur
District.
• Sample Size: The sample size selected is 100 respondents.
• Data Collection Method: survey questionnaire method was used to collect data for the
purpose of the study.
• Target Group: shopkeepers, local people

2.5 TOOLS FOR DATA COLLECTION:

 primary and secondary data has been used for the problem.
 Primary Data: collected through questionnaire.
 Secondary Data: the data was obtained during my interaction with the
company officials and official website of the company

2.5A Methods for Data Collection


The study is conducted using primary data. The data has been collected directly through the
survey.

2.5B Area of survey:


Mostly people based in Thrissur, Kerala and its nearby locality.

2.6 SAMPLING:
Sampling procedure: Simple random sampling was done.
The sample was taken from the area which was assigned to me for work with a sample size of
100 respondents

.
CHAPTER 3
Interpretation and Data Analysis
3.1 DATA ANALYSIS:

1) Rating of the product ‘Kinley’:


35
32
31
30

25
NO. of people

20

15 13

10 8
7
5
5
3
1
0 0
0
1 2 3 4 5 6 7 8 9 10
Rating

INTERPRETATION:
From the above graph, it shows 63% of people have rated the product between 7-8 out of
scale 10 and 20 % of the population gave a excellent rating for Kinley. this shows the brand
value or product is a good choice among the people in the mineral water segment.

2) Customer reaction on ‘Kinley’:


very interesting 24

not interesting 4

not at all interesting 1

neutral 17

interesting 54

0 10 20 30 40 50 60

INTERPRETATION:
From the above graph, almost 54 people has shown significant interest in the product and 24
people showed a very good interest to the brand Kinley. The people’s reaction or the
expectation that they have towards the brand is higher. This helps the new product with the
good sales and promotion.

3) Innovative content in the product


Total

31
innovative
41
neutral
not innovative
very innovative
10

17

INTERPRETATION:
71% of the people think the product has innovative content. whereas, 10 % population
think the product doesn’t make any difference comparing with other products. For rest
of the 17% chosen it as neutral. The product actually targets 2 aspects low price and
good taste.

4) Preferred Flavour

35

30 29
27

25 24

20
20

15

10

0
Cola jeera lemon Orange

INTERPRETATION:
According to the result of the survey, it showed that 29 % of people like regular coke flavour,
and (24%) like orange flavoured drink. The ethnic jeera flavour has been chosen by 20 %
people. And 27 % people chose lemon flavour. From the above data we can understand that
coke, lemon and orange is preferred by the people and doesn’t show much variation.

5) Promotion strategies to be adopted:


35
30
30
25
25
22

20 18

15

10
5
5

0
Advertisement More Falvours price Quality Quantity

INTERPRETATION:
The results in the survey presented in the graph showed that respondents are expecting
changes corresponding to quality, price and flavours. 30 % of the people wants the
manufacture to bring the expected quality in the product. 25 % of them needs more diverse
flavour for the product. 18% rely on the quantity of the product. 22% people needs a flexible
price. 5 % thinks of giving a better promotion through advertisements.

6) Age Group chosen for survey:

Age group
70
62
60
Rating given by personal

50

40

30
24
20

10
10
4
0
10-20 21-30 41-50 51-50
Age group
INTERPRETATION:
In the survey 62% of people in the population are youngsters and 23 % are children and
adolescences and rest 14 % are above 40 years of age.

7) Quantity preferred

Quantity Prefered
35
31
30

25 24
23
Rating given by personal

20

15
15

10
7

0
200 ml 300 ml 750 ml 1 ltr 2.25 ltr
Quantity Prefered

INTERPRETATION:
According to the data, we can see that 200ml cans or PET bottles are preferred by 31
% of the people and 750 ml was selected by 24 %, 300 ml by 23% and rest of the 22
% chose family packs such as 1 ltr and 2.25 ltr.

8) Customer Satisfaction:
18

No
Yes

82

From the data we can understand the customers are satisfied with the brand and its
product where 82 % which is majority recommends this to others, whereas rest of the
18% doesn’t recommend the product.

9) Brand value of Hindustan coca cola beverages pvt. Ltd:

60

49
50
Noumber of personals rated

39
40

30

20

9
10
3
0
0
1 2 3 4 5
Rating
INTERPRETATION:
In above data, 49% of customer gives 5 as their rating, 39 % gives 4 out of 5 which is
pretty good value for the brand and rest of the 12% rated the brand less than 3 out of 5.

10) Suggestions if any:


From the above open-ended question people put forward some suggestions which
Includes,
 Using renewable resources when comes to production and packaging.
 Proper pricing for the product should be made
 Ensuring the quality when it comes to manufacturing
 To add healthy ingredients
 To bring more regional flavours.
Chapter 4
Findings and Suggestions
4.1 FINDINGS:

 The 200ml,750ml and 300ml bottles has high demand when it comes to the quantity.

 People expects more flavours in the product category Kinley. Cola, Orange and
Lemon flavours tops the list and jeera which comes as a ethnic flavour is also shows a
pretty good rating.

 The people are more conscious about the pricing of the product and wanted it to be
cheap.

 High quality when it comes to production and taste is essential for the product. Good
taste often makes the customer buy the product and give a try. The customer are also
very conscious about the health.

 Launching bottom segments helps the company to compete directly with the regional
brands and by introducing new product to its portfolio can show a difference in its
company market share.

4.2 Challenges faced when it comes to launching the product:


 Price of the product in Kerala remains slightly higher compared with other states
because of the transportation cost, holding cost and state tax. But still the price is
lower up to certain limit compared with the other products of the company.

 Finding appropriate flavour that suits the taste of people in Kerala is difficult and is
something that still the company tries to figure out. The local brands have done it in a
better way.

 Using PET Bottles and cans rises the cost of packaging of the product since it is used
in most of the 200 ml, 300 ml and 750 ml bottles.

 The bottling is not possible in Kerala and the product should come from Bidadi plant
in Karnataka.

4.3 Recommendations:
 If the product comes with small quantity packs (tetra packs) helps the customer to
consume it all at once without losing its freshness.

 Proper pricing for the product and should ensure the pricing to be done in
denominations of 10,20,30 and 40. This will be helpful for both retailer and the
customers.

 Trying ethnic flavours like jeera, nimbu will drastically bring changes to the product.
Since, jeera and lime soda have a good demand among the local people.
Chapter 5
CONCLUSION
5.1 CONCLUSION:
it was been a privilege and honour to work with biggest beverage company in the world. A
lot of experiences have been acquired in these two months of internship. The internship
helped in understanding well about the market and also the problem centric study helped to
get to know more about the company’s products and the competition the company faces from
different brands. It helped me to understand how to deal and convince the customers and
what exactly the sales are.
Here I have done a small survey to check the product’s potential in the market and there are
lot of other ways to know the mind of the people. The product should be designed as your
target market wants it to be. Here in Kerala, Kinley has a pretty good customer base and it
stands at the third after Bisleri and Aquafina. The product was tested as a bottom segment
product in the market. Such low segment products if succeeded in the market, is good enough
to compete with regional brands of the state. There are people who always end up choosing
regional brands because they are cheap in price and actually doesn’t bother what the brand is.
Therefore, for the good sale of the product it should have good quality, taste with affordable
price.
SECTION III
ROUTINE WORK:
5.1 Objective:
To add or register 10 new retail/wholesale outlets a day in HCCB, which indeed helps to
increase the market share of the company.
Following are my on-job experience for one month’s working at HCCBPL, Kochi.

5.2 LEARNINGS:
The assigned location for me was in Thrissur district of Kerala which is my hometown. The
first two weeks for me was to study the current market, price at which we are giving the
products and the way MGR’s deal with the people.
On 2nd April, I started with my HE (horizontal Expansion) in the week where I had a brief
meeting with my STL(Sales Team Leader) and his 5 MGR’s(Market Growth Developer). The
STL was allotting each MGR’s a task or like a milestone to achieve, which is picking up
order (at least of 150 cases a day) from retail shops. I was allowed to go with an MGR into
the location. Each MGR’s has a specific beat to be covered and for a week I went through 6
different routes (till Saturday). The first day I achieved 5 HE’s from the town.
In second week, Organisational study was initiated, and I asked my STL about the company,
distributors, how and from where the stock comes. since, the bottling plant was shut down in
Plachimada, Palakkad a decade ago. From there, I get to know that stock comes mainly from
Bidadi plant, Bangalore to Kochi warehouse. The stock is further collected from the
warehouses by the distributors themselves.
In 3rd week, the task was to cover certain areas off the city and wasn’t part of the HE. The
work was to report about certain shops which was left over in the beat. I was able to find out
few shops in Kutenellur, a rural village near Thrissur where the order has not taken for
months and I reported this to the STL.
From past few weeks experience I was able to know that the 750 ml and 20 ml bottles are
more in demand compared with the family packs of 1-2.5 ltr. The newly burger shops and
cafés were the places with good potential for the business,
Such places were better for the promotion of the unknown premium brands since, more
people are expected to wait to have a haircut. This seeks attention from the people and make
them to give a try. The coolers should be delivered in the saloons since, people need the
product chilled. This also ensures the 100% purity in cooler compared with other shops.
I noted down the schemes or discounts given by the company to the retailers. Our major
competitor Pepsi was ruling with a market share of 21% in the locality whereas, we occupy
14% and ¾ th was pooled with other local products. We had a mid-review with the GSM
(General Sales Manager) of HCCB, Kerala, Sales HR (Kochi Div.) in the company to
measure our performance based on our achievements.

Rest of the time I worked with STL directly for creating HE’S and setting up coolers in
newly opened hotels and supermarkets, which is one of the best ways to get more sales
volume and asked them about demand of our products on others etc. lot of loyal customers
who are keeping the coke for decades in their shops.
5.3 ACHIEVEMENTS:
 I added up 72 shops which includes 68 retails and 4 wholesales shops in Thrissur
town and its surroundings. 1 wholesale shop is considered equal to 15 retail outlets.
 Found out 1 abandoned or unused coolers when I went for an audit with the STL
which worth lakhs for the company. And retained it back for maintenance.
 Tried to achieve maximum purity in the cooler by keeping the products in the racks,
ensuring the proper product display.
5.4 LIMITATIONS:

 In order to create the HE, proper documents should be collected incl. ID’s, license etc.
of the retailer for verification and Often ends up with rejection of HE either due to ID/
Contact No. mismatch or customer fails to pick the call for verification.
 Most retailers are unwilling to give the personal ID and license thinking of tax issues,
where almost 70% are without GST registration.
 Often fails to maintain the cooler impurity which in turn interrupts the smooth
working of the cooler.
 Slow processing of HE sent long back, status remaining the same.
5.5 AREAS OF IMPROVEMENTS:

 Proper procurement of products by the distributor should be done in order to avoid the
stock out situations of certain products based on the demand. The sprite 750 ml bottle
is the best in demand among large supermarkets to small convenient stores.
 On time or fast maintenance of the cooler in the shop helps to chill the products in the
shops since, the cool drink has to be chilled and served to the customers.
 Processing time of HE should be made faster so, that the customers could get the
monthly schemes and discounts.
Currently, non-registered shops are forbidden from schemes and discounts but,
allowed to make orders.
 Should do something to meet shortage of cooler at peak seasons (summer).
 Should promote premium products like smart water, tonic water, monster drink to the
market focusing the potential premium outlets in the city.

5.6 LINKING THE STUDY WITH ORGANISATION GOALS:


The work that I have done might have influenced a lot with the vision of the company
such as profit. Adding up new outlets for coke is part of the market expansion, as
Kerala is one of the toughest markets for HCCB comparing it with other states which
is dominated by coke. The HE hunt is done by the company regularly in monthly
basis by the employees with a target of 800 HE/ month.
This also helps the company to check on the regular growth of the market and could
track the retailers. This also helps to increase he sales volume and leads to profit.
The market growth of HCCB has been increased from 7% to 14% in the past years
since, the staffs were fully involved in their work and manages to perform well than
expected.
The effort to maintain the 100% cooler purity in the shops have made a difference in
the appearance and proper visibility of the product. We successfully achieved this
before the ‘Pooram Festival ‘in the region where lot of sales could occur those days.

5.7 Work Timings:


The official working hours was till 9 am to 6 pm from Monday to Saturday. It varied
depending on the duty assigned. Calls should me made 3 times a day and daily report
has to be submitted to the HR every day. The final consolidated reports should be sent
to the HR head every week.
REFERENCES:

 https://www.coca-colaindia.com/
 www.wikipedia.com
 www.cocacola.com
 www.coca-colacompany.com
 www.dietcoke.com
 www.monsterenergy.com
 www.zico.com
Annexure:

Questionnaire

1. A study on HCCB Kerala, to market test Kinley aerated drink and obtain customer
feedback.

1. How would you rate the product Kinley out of 10?


 1/2/3/4/5/6/7/8/9/10
2.What is your first reaction on “Kinley Flavours” (Aerated Drinks)?
 Very interesting
 Interesting
 neutral
 Not interesting
 Not at all interesting

2. How innovative is the product?


 Very innovative
 Innovative
 Neutral
 Not innovative
 Very innovative
4.which flavour do you like the most?
 Cola
 Lemon
 Jeera
 Orange
5.What all change the manufacture should bring to promote the product?
 Advertisement
 More flavours
 Price
 Quality
 Quantity
6.what is your age group?

 10-20
 21-30
 41-50
 51-50
7.The quantity that you would prefer for the product?
 200ml
 300ml
 750ml
 1ltr
 2.25ltr
8. Do you prefer this product to your family and friends?
 Yes
 no
9. Express the overall value out of 5 for our brand Hindustan Coca Cola Beverages
pvt. Ltd?
 1
 2
 3
 4
 5
10.do you like to give any suggestions?

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