Professional Documents
Culture Documents
ON
“ROLE OF ADVERTISEMENT AND SALES PROMOTION”
IN
Submitted in partial fulfillment of the requirement for the degree of Bachelor of
Business Administration
to
Pravesh Kumar
Roll No. -17-BBA-113
Under the Supervision of
I hereby certify that the work which is being presented in this project report “Lexicon
Based Opinion Mining System using Hadoop” submitted to “YMCA University of
science and Technology, Faridabad”, is an authentic record of my own carried out in
the company “COCO COLA COMPANY”. The work contained in this thesis has not
been submitted to any other University or Institute.
Examination Evaluation
Internal Examiner
Signature:-
Nam:-
Designation:-
Date:-
External Examiner
Signature:-
Name:-
Designation:-
Date:-
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ACKNOWLEDGEMENT
I would like to thank the staff of the Library and Computer Center of the institute, for
their almost cooperation.
The pearls of learning obtained during the course of the project would surely go a long
way in shaping my career
Pravesh Kumar
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PREFACE
In todays cutthroat competition each and every company wants more and more share of
the market pie and it is very necessary for companies to know where they are lacking,
what are the possible areas of improvement, and by what way they can keep customers
and dealers happy it is found out generally by asking customers and dealers what they are
lacking in and what possible improvements can be made in companys present strategy to
improve their convenience.
Because it is often easier for consumers and dealers to focus on what they feel they lack
rather than on what they want, researchers usually get more information if they ask
consumers and dealers about their gripes or complaints. So researchers are focusing more
on their dissatisfactions with the current companys strategy (that is, consumers problems)
rather than asking about what are their needs and wants.
Similarly in the TV industry existing companies are doing what they can do for
improving convenience of dealers and customers the possibility of improvement lies in
knowing what the competitors are doing and what else can be done for improving
customers and dealers satisfaction to stay in compelete.
PRAVESH KUMAR
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TABLE OF CONTENT
CHAPTER TOPIC
2 COMPANY PROFILE
3 REVIEW OF LITERATURE
RESEARCH METHODOLOGY
1. OBJECTIVES OF THE STUDY
2. SCOPE OF THE STUDY
3. RESEARCH DESIGN
4
1. SAMPLE DESIGN
7 BIBLIOGRAPHY
8 ANNEXURE
CHAPTER-1
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INTRODUCTION TO
THE TOPIC
It is sub- divided into three categories : patronage, public, relations and public
service institutional advertising.
The main purpose of such advertising is to inform and stimulate the market about
the advertisers products of services and to sell these.
TYPES OF ADVERTISING:-
Broadly speaking, advertising may be classified into two categories viz., product and
institutional advertising.
a) Product Advertising:-
The main purpose of such advertising is to inform and stimulate the market about the
advertisers products of services and to sell these. Thus type of advertising usually
promote specific, trended products in such a manner as to make the brands seam more
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desirable. It is used by business government organization and private non-business
organizations to promote the uses features, images and benefits of their services and
products. Product advertising is sub-divided into direct action and indirect action
advertising, Direct action product advertising wages the buyer to take action at once, ice
he seeks a quick response to the advertisement which may be to order the product by
mail, or mailing a coupon, or he may promptly purchase in a retail store in response to
prince reduction during clearance sale.
Product advertising is sub-divided into direct & indirect action advertising & product
advertising aims at informing persons about what a products is what it does, how it is
used and where it can be purchased. On the other hand selective advertising is made to
meet the selective demand for a particular brand or type is product.
b) Institutional Advertising :
It is designed to create a proper attitude towards the sellers to build company image or
goodwill rather than to sell specific product or service. Its purpose is to create a frame of
mind and to implant feeling favourable to the advertisers company. Its assignment is to
make friends for the institution or organization.
It is sub-divided into three categories : patronage, public, relations and public service
institutional advertising.
In patronage institutional advertising the manufacturer tells his prospects and customer
about himself his policies and lives personnel. The appeals to the patronage motivation of
buyers. If successful, he convince buyers that his operation entitles him to the money
spent by them.
Public relations institutional advertising is used to create a favourable image of the firm
among employees, stock-holders or the general public.
c) Other Types :
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The other types are as follows :
Consumer advertising
Comparative advertising
Reminder advertising
Reinforcement advertising
OBJECTIVES OF ADVERTISING
The long term objectives of advertising are broad and general, and concern the
contribution advertising should make to the achievement of overall company
objectives. Most companies regard advertisingly main objective as hat of proving
support to personal selling and other forms of promotion. But advertising is a
highly versatile communications tools and may therefore by used for achieving
various short and long term objectives. Among these objectives are the
following :
To build brand preference 9by making it more difficult for middleman to sell
substitutes).
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To provide rationalization (i.e. Socially acceptable excuses).
To improve the moral of dealers and/or sales people (by showing that the
company is doing its share of promotion).
To acquaint buyers and prospects with the new uses of the product (to extend the
PLC).
ADVANTAGES OF ADVERTISING:-
4. Psychological enjoyment of the taste. It is because the taste is good and make us
relax.
6. Rub the bumper with a crumpled up piece of Reynolds wrap aluminium foil
dipped in coca cola.
DISADVANTAGES OF ADVERTISEMENT:-
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6. Dental caries and erosion.
SALES PROMOTION
While advertising explains the logics behind buying, sales promotion offers can
incentives to do so. Sales promotion operates at three levels.
At the level of consumer it is called consumer promotion e.g. free gifts, samples
and price offs.
At the level of dealers and distributors, it is allied trade promoting e.g. free goods
display contests, deaer sales contest, push money etc.
At the level of sale person it is called sales force promotion e.g. salesmens
contest, benches, sales rallies.
Today sales promotion are rising rapidly with more and more bands flooding the
market, the pressure to occupy display space at retail outlet is more and retailers
thus demand more sales promotion efforts from their suppliers.
Sales promotion consists of any consumer or trade programs that add tangible
value brand of that consumer or trade program in order to simulate sales and
create more awareness of such program.
The activities in giving a product to a buyer for exchange of price paid on that
product.
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Soft drinks are items of impulse purchase. It is that moment before the customer
asks for a particular soft drinks that is most important for the company, and to
convert that moment in therefavour companies follow a push strategy.
This push strategy has to be created by the retailer and as incentive companies
provide various schemes and promotions to the retailers and distribution to
increase their sales.
This is a fixed schemes for agencies which runs throughout the year schemes is
with purchase of every is case of soft drink- certain amount of incentive in form
of free bottles of soft drinks and there schemes like scratch cards on purchase of 2
or 3 cases are offered.
Retailers are offered trade schemes like certain number of bottles of liquid free
per case, display schemes, target schemes and other benefits like installation of
refrigeration facilities, filling of their walls, giving them umbrellas and sunshades.
The bottlers then sell, distribute and merchandise Coca cola -Cola in cans and bottles to
retail stores and vending machines. Such bottlers include Coca cola -Cola Enterprises,
which is the single largest Coca cola -Cola bottler in North America, Australia, Asia and
Europe. The Coca cola -Cola Company also sells concentrate for fountain sales to major
restaurants and food service distributors.
The Coca cola -Cola Company has, on occasion, introduced other cola drinks under the
Coke brand name. The most common of these is Diet Coke, which has become a major
diet cola. However, others exist, including Diet Coke Caffeine-Free, Cherry Coke, Coca
cola -Cola Zero, Vanilla Coke and special editions with lemon and with lime.
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F COCA COMARKETING OLA:-
Marketing is the process of planning and executing the conception, pricing, promotion,
and distribution of goods, services, and ideas to create exchanges with target groups that
satisfy customer and organizational objectives.Marketing is the economic process by
means of which goods and services are exchanged and their values determines in terms of
money prices. It is that phase if business activity through which human wants are
satisfied by the exchange of goods and services. It is a skill of selecting and fulfilling
consumer desires and in such a way that a dose of money put in, brings back maximum
returns.
CHAPTER -2
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COMPANY PROFILE
systems, and cause birth defects. No law bans the presence of pesticides in drinks in
India. In 2003 and again in 2006, the Centre for Science and Environment (CSE), a non-
governmental organization in New Delhi, found that soda drinks produced by
manufacturers in India, including
Both Coca colaCo and The Coca cola -Cola Company maintain that their drinks both
Coca cola and Coca cola -Cola, had dangerously high levels of pesticides in their drinks.
are safe for consumption and have published newspaper advertisements that say pesticide
levels in their products are less than those in other foods such as tea, fruit and dairy
products. In the Indian state of Kerala, sale and production of Coca cola-Cola, along with
other soft drinks, has been banned.
ban was lifted, with Coca cola arriving on the market shortly afterwards. One study led
by the Center for Science and the Environment (CSE), an independent laboratory in New
Delhi, found that the soft drinks contained residues of dangerous pesticides, with one
dose 36 times greater than the European standard for Coca cola and 30 times greater for
Coca cola -Cola]. However, this was the European standard for water, not for other
drinks.
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The presence of these products could provoke cancers; negatively affect the nervous and
immune
Five other Indian states have announced partial bans on the drinks in schools, colleges
and hospitals. On September 22, 2006, the High Court in Kerala overturned the Kerala
ban ruling that only the federal government can ban food products.
http://en.wikipedia.org/wiki/Wikipedia:Protection_policy
Coca cola -Cola is a cola (a type of carbonated soft drink) sold in stores, restaurants and
vending machines in more than 200 countries. It is produced by The Coca cola -Cola
Company (NYSE: KO) and is often referred to simply as Coke. Originally intended as a
patent medicine when it was invented in the late 19th century by John Pemberton, Coca
cola -Cola was bought out by businessman Asa Griggs Candler, whose marketing tactics
led Coke to its dominance of the world soft drink market throughout the 20th century.
The company actually produces concentrate for Coca cola -Cola, which is then sold to
various licensed Coca cola -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 -Cola in cans and bottles to
retail stores and vending machines. Such bottlers include Coca cola -Cola Enterprises,
which is the single largest Coca cola -Cola bottler in North America, Australia, Asia and
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Europe. The Coca cola -Cola Company also sells concentrate for fountain sales to major
restaurants and food service distributors.
The Coca cola -Cola Company has, on occasion, introduced other cola drinks under the
Coke brand name. The most common of these is Diet Coke, which has become a major
diet cola. However, others exist, including Diet Coke Caffeine-Free, Cherry Coke, Coca
cola -Cola Zero, Vanilla Coke and special editions with lemon and with lime.
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BRANDS OF THE SOFT DRINKS
Thumbs Up
Fanta
Limca
Coke
Diet-Coke
Sprite
Maaza
Kinely
Minute Maid
Non-Diet Colas
Coca cola
Mirinda Orange
Mirinda Lemon
7Up
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Coca cola Max
Diet Colas
Pepsi Kona
Coca cola has gone in for concentration segmentation since the beginning. Coca cola
has targeted the youth segment instead of trying to be something to all segments. Coca
cola has since the beginning strove to achieve its international position as a drink for
new generation, and has succeeded in positioning itself for the younger generation.
Coca cola also has a very well managed distribution system and coupled with aggressive
marketing and advertising policy has achieved the number one position in Indian Soft
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Drink market. India is one very few country where Coca cola has been able to beat its
rival Coke for number one spot.
The 3As, namely, availability, affordability and acceptability has its focus on the
customers and consumers. It is basically a strategy to reach increasing number of
consumers.
Availability:
The main challenge of Coca cola is to place its products “with an arms reach of desire”.
Thats plans to do with improved or innovative new packaging, dispensing system,
distribution systems and marketing programs.
Affordability:
Coca cola Address this aspect by making the products available at a price affordable to
the consumers. This is done by continually focusing on making the production and
distribution system more efficient and cost effective.
Acceptability:
Hence the efforts required to increase consumption marginally in the three months is
more than what is required to make it selling the other nine.
With clear advertising both the cola giants are trying to build up as atmosphere whenever
a consumer wants refreshment, he or she drinks. This helps the companies in achieving
another important breakthrough i.e. increasing per capita consumption on the whole.
SEGMENTATION:-
The soft drink market can be segmented on the basis of place of consumption or
on the basis of type of products.
At home the rest 20% of the market compromises of the soft drink purchase for
consumption at home.
The market can also be segmented on the basis of types of products into cola
products and non cola products.
Cola products account for nearly 61-62% of the total soft drinks market. The
brands that fall in this category are Coca cola, coco-cola, thumsup and diet coke,
diet Coca cola etc.
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Non-cola segment which constitutes 36% can be divided into 4 categories based
on the types of flavors available namely:-
Orange
Cloudy Lime
Clear Lime
Mango
Vanilla
Apple etc.
CONSUMER HABITS:-
Though the markets marred by brad loyalty the purchase decision its self is a low
involvement decision.
The market is slowly moving from non alcoholic carbonated drinks to fruit based
drinks and also to plain bottled water due to lower price and ready availability.
Therefore people traveling and not having access to hygienic water reach out for
soft drink.
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To create this kind of brand awareness advertising and sale s promotion bee very
important for the soft drinks manufacturers.
Various sales promotions schemes are offered to the retailers and customer.
The soft drink market was witness a growth rate of 5-6% in the early 1990s and was
growing at a even slower rate around 2-3% in the late 1980s. The growth rate in late
1990s increase to staggering 22% but since last 2-3 years it has again evened out of
around 7-8%.
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CHAPTER — 3
REVIEW OF
LITERATURE
REVIEW OF LITERATURE
This project takes a look in various kinds of advertising and sales promotion schemes,
which are followed in the soft drink industry. The two major global player i.e. Coca cola
and Coca cola -Cola dominate the soft drinks industry in India. India is one of few
battlegrounds in the world where there is neck-to-neck competition between the two.
Both the companies claim to be number one coasting the data reduced by two different
marketing research companies. While cock follows org data and says it has 57% shares,
Coca cola follows IMRB data and says it has 49% market shares in India. In this
cutthroat competition, the major have to do something special to survive. This something
special is done in various forms of advertising and sales promotion schemes provide by
the two companies.
The project has tired to look at advertising and sales promotion schemes from the two
different angles one of consumers and the other of retailers. To gather both their
responses two sets of questionnaires were prepared. The analysis of the data collected
reveled that from consumers prospective television advertising plays a very important
role in driving the sales of any soft drink brands where as the promotional schemes, like
price off, gifts etc. were other most important factor in the making final purchase decision
in the case of the consumers.
Retailer perception in this regard was that consumers are loyal towards a segment of soft
drink like cola, orange, lemon etc. retailers also said that advertising was the most
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important factor for the sale of drinks followed by promotional schemes and brand
loyalty to wards any particular brand care last on their list.
So it is the observation and conclusion of this projects that advertising and sales
promotions are key factors for driving the sales of any particular soft drink brand.
1. ADVERTISING
Advertising are most commonly associated with the mass media of newspapers,
magazines, cinema, television, and radio, although they frequently flourish in the other
forms such as billboards, poster, and direct mail as well and finally advertisements are
overwhelmingly used with persuasive intend. That is the advertisers are striving to alter
our behavior and or levels of awareness, knowledge and attitude, and so on in a manner
that would be beneficial to them.
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BASIC FEATURES OF ADVERTISING
On the basis of various definitions it has certain basic features such as:
It is a matter of record.
WHOS INVOLVED
Advertising is a key part of marketing, but far from being (as is often assumed) the sum
of it. Advertising is the use of media to inform consumers about something and or to
persuade them to do something in effect; it brings product and consumers together, and
then modulates the relationship between them.
WHAT IS ADVERTISING
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It is a mass communication of information intended to persuade buyer to buy product wit
a view of maximizing a companys profits. The elements are:-
It is a non-personal communication.
It is a commercial communication.
It is speedy communication.
FUNCTIONS OF ADVERTISING
For many firms advertising is the dominant element of the promotional mix — particulars
for those manufacturers who produce convenience goods such as detergent, non —
prescription drugs, cosmetics, soft drinks and grocery products. Advertising is also used
extensively by maters of automobiles, home appliances, etc, to introduce new product
and new product features its uses its attributes, pt availability etc.
Advertising can also help to convince potential buyers that a firms product or
service is superior to competitors product in make in quality, in price etc. it can create
brand image and reduce the likelihood of brand switching even when competitors lower
their prices or offer some attractive incentives.
When a product is new and incorporates technological advance not strong and.
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It performance the following functions:
Promotion of sales
Education of people.
Coca cola and Coke have signed on various celebrities to endorse their brands. These
celebrities are the icons in the minds of common people who act as brand ambassadors
for particular products and when people watch their icons do some thing they tend to
follow.
For e.g. a cricketing fan when watches Sachin Tendulkar having Coca cola is more
likely to drink Coca cola than any other soft drink.
Coca cola -Cola in their stable have various celebrates from entertainment world like
HritikRoshan who endorses specially for Coca cola -Cola.AishwaryaRai and Amir Khan
are common name in cokes stable, which acts as their brand ambassadors for various
brands.
The great Cola wars are often fought on television. Television as a medium reaches to
most of our urban population, which are the major consumers of soft drinks. Both the
cola majors openly attack each others products in the order to prove that they are better.
When ever there is a new ad on TV by any company there is a counter ad by the rival
brand. And it is not just the companies which care involved the general people also
eagerly await what the other are is going to do now. There have been many examples of
this in the past the most recent one is the counter of Cokes Amir Khan, Stare
ThandaMatalabCoca cola .
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Cola ad against the Coca cola. In this ad Coke is trying to emphasize that Coca cola cola
is the synonymous of soft drink, which is usually called Thanda in India.
2. SALES PROMOTION
Soft drinks are items of impulse purchase. It is that moment before the customer asks for
a particular soft drinks that is most important for the company, and to convert that
moment in therefavour companies follow a push strategy. This push strategy has to be
created by the retailer and as incentive companies provide various schemes and
promotions to the retailers and distribution to increase their sales.
Trade Promotion: This is a fixed schemes for agencies which runs throughout the
year schemes is with purchase of every is case of soft drink- certain amount of
incentive in form of free bottles of soft drinks and there schemes like scratch
cards on purchase of 2 or 3 cases are offered.
Retailers are offered trade schemes like certain number of bottles of liquid free
per case, display schemes, target sche
mes and other benefits like installation of refrigeration facilities, filling of their
walls, giving them umbrellas and sunshades.
Both of soft drink majors have focused on making their products wherever people
tend to gather like railway stations, bus stops, shops near large offices and cinema
halls —places where affordability is not an issue.
Both of the companies have started taking up the shop decorating programs with
its numerous P.O.P. displays. This really adds a moral boost and helps creating
exclusive outlets.
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These are regular incentive due to which the retailer and the distributors are
benefited. Companies offer premiums and gifts to their retailers and distributors.
Advertising: Through wall painting, glow- sign boards, tin boards, visicoolers,
stickers and banners etc.
Incentive and Schemes: Company provides much type of incentives such as pens,
stickers, chewing gums etc.
So the company provides this type of incentive, discounts, gifts, and advertising
instruments to increase the sale of the respective companies brand.
The importance of the trade push is realized in the soft drink business, as the
brand loyalty levels are very low in the business. Also the product category is
such that it is impulsive to buy and chilled availability is a pre-requisite for its
consumption.
Retailers are offered trade schemes like certain number of bottles of liquid free
per case, display schemes, target schemes and other benefits like installation of
refrigeration facilities, putting up of glow signs, painting of their walls/existing
refrigeration facilities, filling of their walls, giving them umbrellas and sunshades
etc……
BENEFITS
The functions of advertisement, and that purpose its ethics, may be discussion below :
It leads o cheaper prices. "No advertiser could live in the highly competitive arena of
modern business if his methods of selling were more costly than those of his rivals."
It acquaints the public with the features of the goods and advantages which buyers will
enjoy.
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It increases demand for commodities and this results in increased production.
Advertising :
It ensures the consumers better quality of goods. A good name is the breath of the
life to an advertiser.
By paying the way for large scale production and increased industrialization,
advertising contributes its quota to the profit of the companies the prosperity of
the shareholder the uplifts of the wage earners and the solution of he
unemployment problem.
Advertising as a tool to marketing not only reaches those who buy , but also those
whose opinions or authority is counted for example a manufacturer of marble tiles and
building boards advertises not only to people who intend to build houses but also to
architect and engineers. While the manufacturers of pharmaceuticals products advertise
to doctors as well as to the general public. At time it is necessary for a manufacturer or a
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concern to advertise things which it does not sell but which when sold stimulates the
sales of its own product. There are concerns like electric heaters, iron etc. because the use
of these increases the demand for their products.
Advertising should be used only when it promises to bring good result more
economically and efficiently as compared to other means of selling. There are goods for
which much time and efforts are required in creating a demand by sending salesman to
prospective buyers than by simply advertising them. In the early days of the cash register
in America it was sold by specially trained salesman who called on the prospective users
and had the difficult task of convincing them that they could no longer carry on with the
old methods, and that they urgently needed a cash register. In our country certain
publishers have found it less costly to sell their books by sending salesman from house to
house among prospective buyers than to advertise them. In these two examples the cost
of creating demand would be too high if attempted by advertising alone under such
circumstances advertising is used to make the salesman acceptable to the people they call
upon to increase the confidence of the public in the house. Naturals when there are good
profits competitors will be attracted and they should be kicked out as and when sufficient
capital is available by advertising on a large scale. Immediate result may not justify the
increased expenditure but it will no doubt secure future sales.
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The series of advertisements used in the COMPAIGN must be integrated with the sales
promotional efforts and with the activities of the sales force.
Compaigns vary in length some may run only for a few days, other for weeks, yet other
for a season or the entire year. Usually a range of 3 to 6 months includes many
compaigns. Many factors influences compaign length such as competitors advertising
media, policies, and seasonal falls curves of the product involved the size of the
advertising funds, compaignobjectives and the nature of the advertisers marketing
programmed.
OBJECTIVES OF COMPAIGN
The advertising compaign, especially those connected with the consumers aims at
achieving these objectives:
The institutional advertising compaigns on the other hand, have these objectives.
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To enable company salesman to see top executive consistently when making sales
calls.
Which have services to sell. The word compaign is used because advertising
agencies approach their task with a sum blanca of military fanfare in which one
Frequently hears words like target audience logistics, zero in and tactics and
strategy etc.
This enquiry often leads to a change in a familiar product. For instance bathing
soap may come in several new colours or cigarette in a new packet or talcum
powder in another size.
Such interviews are often quite essential to find out the appeal of advertising
message for a product that would be most effective with consumers.
David Ogilvy describes a consumers survey to find out the most meaningful
benefit in which women are interested when they buy a face cream. The largest
preference as given to "Cleans deep into pores" followed in order of importance
by prevent dryness, "is a complete beauty treatment, recommended by skin
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doctors" makes skin look younger' contains estrogenic hormones, pasteurized for
purity, prevent skin form aging, smooth our wrinkles ogilvy concludes,
Form this voting come one of Helena Rutinsteins most successful face creams.
We christened it deep cleanser, thus, building the winning form into name of the
product.
After getting the data the account executive puts together the essential elements of
his clients brief, interprets the research findings and draws up what he calls the
"advertising strategy".
1 Identifying & analyzing the advertising target :Under this step it is todecided as
to whom is the firm trying to reach with the message. The advertising target is the
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group of people towards which advertisements are aimed at four this purpose
complete information about the market target i.e. the location andgeographical
location of the people, the distribution of age, income, sex, educational level, and
consumers attitudes regarding purchase and use both of the advertising product and
competing products is needed with better knowledge of market target, effective
advertising COMPAIGN can be developed on the other hand, if the advertising target
is not properly identified and analyzed the COMPAIGN is does likely to be effective.
It secures action by the reader through associating ideas, repetition of the same name
in different contexts, immediate action appeal.
Media Form
1. Press Advertising or Print
i) Newspapers City, Small town, Sundays, Daily,
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weekly, Fortnightly, quarterlies,
financial and annuals, English,
vernacular or regional languages.
ii) Magazines General or special, illustrated or
otherwise, English, Hindi,
Regional language.
iii) Trade & Technical Journals, Industrial year Circulated all over the country and
books, commercial, directories, telephone, among the industrialist and
Directories, references books & annuals. business magnates.
2. Direct Mail Circulars, catalogues,
leaflets,brochures,booklets,folders,
colanders, blotters, diaries & other
printed
material.
3. Outdoor or Traffic Poster and bills on walls, railways
stations platforms outside public
buildings.
4. Creating the Advertising platform :An advertising platform consists of the basic
issues or selling points that an advertiser wishes to include in the advertising
COMPAIGN. A single advertisement in an advertising COMPAIGN may contain
one or more issues in the platform. A motorcycle producers advertising platform
should contain issues which are of importance to consumers filling and such issues
also be those which the competitive product do not posses.
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6. Selecting the Media : Media selection is an important since it costs time space
and money various factors influence this selection, the most fundamental being the
nature of the target market segment, the type of the product and the cost involved.
The distinctive characteristics of various media are also important. Therefore
management should focus its attention on media compatibility with advertising
objectives.
CHAPTER-4
RESEARCH METHODOLOGY
RESEARCH METHODOLOGY
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When we talk of research methodology, we not only talk of the research
methods but also the comparison of the logic behind the methods, we used in
this context of our research study and explain why we are using a particular
method or technique and why using the others.
“The present study is based upon the case study method of research to
investigate procedures at micro level”.
The long term objectives of advertising are broad and general, and concern the
contribution advertising should make to the achievement of overall company objectives.
Most companies regard advertisingly main objective as hat of proving support to personal
selling and other forms of promotion. But advertising is a highly versatile
communications tools and may therefore by used for achieving various short and long
term objectives. Among these objectives are the following :
To build brand preference 9by making it more difficult for middleman to sell
substitutes).
To improve the moral of dealers and/or sales people (by showing that the
company is doing its share of promotion).
The scope of this study is kept within the control of individual researcher.
For many firms advertising and sales promotions is the dominant element of the
promotional mix — particulars for those manufacturers who produce convenience goods
such as detergent, non — prescription drugs, cosmetics, soft drinks(carbonated soft
drinks) and grocery products. Advertising is also used extensively by maters of
automobiles, home appliances, etc, to introduce new product and new product features its
uses its attributes and availability etc.
Advertising and sales promotions can also help to convince potential buyers that a firms
product or service is superior to competitors product in make in quality, in price etc. it
can create brand image and reduce the likelihood of brand switching even when
competitors lower their prices or offer some attractive incentives.
Promotion of sales
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Introduction of new product awareness.
Knowledge of people.
3.Research Design:
The method adopted for research is “Experience Survey” i.e. survey of people
who have practical experience of soft drinks in Faridabad, NCR in such a research design
the decision regarding what, where, whom, how much, by what means are concerned. It
is the blue print for the research undertaken.
In this research the rating scale technique is used. Rating scale involves qualitative
description of a limited no of aspects of thing or of traits of a person. In rating scale we
judge properties of objects without reference with other similar object.
Natural
Sampling Plan:
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Sample size: Research is done on 200 respondents of Faridabad and NCR.
Sampling Plan
Survey
Data Compilation
Reporting of Data
SOURCES OF DATA
Observation method
Questionnaire method
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Sources of data collection:
4. Limitations of Study:
CHAPTER -5
ANALYSIS OF CONSUMER:-
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Thumsup Fanta
Others
8% 8%
10%
Pepsi Mirinda
35% 14%
Coke
25%
INTERPRETATION:
When asked about particular brands consumers responded the two colas namely Coca
cola and coke as their favorites. Out of which Coca cola was leading with 35% while
coke e second at 25%, followed by Thumsup, Mirinda, Fanta and others. It was also
observed that cola segment was preferred by more then 70% of the total consumers
interviewed.
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Price Advertising
21% & Schemes
29%
Easy Preference
Availability 19%
31%
INTERPRETATION:
When asked to the consumers responded availability of a particular brand of soft drink of
the most important in their purchase decision. Through advertising and sales promotion
schemes were also very important while making their final purchase decision as it is an
impulse purchase, consumers often related their purchase with the recall of an ad which
their viewed on television. Apart from easy availability and promotional schemes price
was another major driving factor in the purchase of a soft drink for consumers (Pet
bottles prices vary).
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3.When you talk of soft drink advertising which all brands come to your mind
(please specify in order of recall)?
Coke
29%
INTERPRETATION:
When the above question was asked to the consumers they could easily recall Coca cola
and Coke ads almost equally. Though Coca cola still had a very minor edge. This
question also shows Coca colas aggressive nature in advertising, which is its trade mark
the world over. Coca cola has always been known as an aggressive advertiser and this is
also true in Indian market. Thumsup was a distant third because of its continuous attacks
on Coca cola.
4.Do you think the advertising done by the companies affects the sales of their
respective soft drinks?
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No
29%
Yes
71%
INTERPRETATION:
As its is clear from the above graph that advertising as a major impact on the sales of soft
drinks most of the consumers almost 79% thought advertising has direct effect on the
sales of the soft drinks. When consumers were asked about the effect of ads on sales most
of them responded in favor. They said that ads were the most important factor in driving
the sales of any brand. Especially with the younger generation, it often drives them
towards a particular brand of soft drink due to its advertisement.
5.Which from of advertising and sales promotion strategies do you think is most
effective for soft drink industry?
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45 41
40
35
29
30
25
20
15 13
8 9
10
5
0
Sales Television Outdoor
Promotion Advertising Advertising
Schemes
INTERPRETATION:
Consumers think that television advertising has a major impact on the sales of soft drinks.
As television reaches maximum urban homes, which are the major market of the soft
drinks, they have a direct impact on the consumers behavior. Apart from that newspaper
advertising is also important. Apart from these advertising media, sales promotion
schemes from the next important strategy.
6.According to you which companys advertising are more creative and appealing?
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57
60
43
50
40
30
20
10
0
PepsiCo Coca Cola
INTERPRETATION:
HTA, the advertising agency for Coca cola, has come up with many innovative ads in the
past, creating a good impression in the mind of consumers. Most of the consumers
interviewed responded that they like Coca cola ads more than that of Coke. Recently
Coke has also come up with few ads, which are specifically by the consumers.
ANALYSIS OF RETAILERS
1.Type of business
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Sweet
Others
Shops
Eatery 6%
27%
22%
Provisons
Stores
45%
INTERPRETATION:
To conduct the research a number of Retail Outlets were visited these retail outlet
included provisions stores, eateries, sweets shops, tea stalls, Dhabas etc. Out of these it
was found that provision stores of the local market where the major sellers of the soft
drinks and consumers usually preferred to buy soft drinks from their local grossery store.
2.Which segment of soft drink consumer generally asked for? (Rank them on scale
1, 2, 3)1 is max. 3 is min.
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60
51
50
40
30 27
20
14
10
4 4
0
Cola Orange Cloudy Clear Others
Lemon Lemon
INTERPRETATION:
As it is a apparent from the above graph when asked about which segment the consumers
generally asked for the retailers respondent that Cola by it self was the largest selling soft
drink amounting to 61% of total soft drink sales. Orange e a distant second at 17%
followed by cloudy lemon, which constituted another 14%.
3.Why do think that a consumer ask for a particular brand of soft drink?
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Advertising Price
& 21%
Promotion
39%
Availbility
Brand 23%
Prefrence
17%
INTERPRETATION:
The consumer preferences are very fragile and not firm. Consumers preference usually
changes with the various schemes and the advertising. Which has major impact on their
purchase decision? Price is another critical factor on which the consumer purchase
decision is based. It is often found that the consumers change their preference in
accordance with various price discounts offered to them. Availability is another major
aspect, which decides the actual purchase. A consumer may change his or her preference
based in the fact that which brand is available chilled at that moment.
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40 38
35
30
25
25
21
20
16
15
10
5
0
Availability Price Brand Scheme
Name
INTERPRETATION:
Though advertising and sales promotion act as a major tool to attract customers for the
purchase of the particular soft drink, but it is actually the availability that is by far the most
important factors, which drive the sale. Apart from availability the price factor is again
sited as an important factor in the actual sale of the soft drinks. Apart from these various
schemes and sales promotion activities under taken by the company also acts as sources of
sale. The brand preference and loyalty is by far the least important factor driving the sale.
5.What are the attributes that influence you to decide which brand of soft drink to
keep? (Rank them on scale of 1-4).
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50
45 43
40
35
30 27
25
20 18
15 12
10
5
0
Company Consumer Promotional Brand
Support Pull Schemes Name
INTERPRETATION:
The attributes that influence a retailer to keep a particular brand of soft drink are pro
motional schemes brand name consumer pill and company support. Out of these factors
promotional scheme again is the major factor that influences any retailer to keep the stock
of particular brands. Apart from this consumer pull and brand name acts are the major
influencers for the retailers to keep stork of a particular soft drinks. One more factor
which affects the retailers to keep stock of particular soft drinks is the company support
which is provided in from of visicoolers, banners, sign boards etc. through the kind of
company support provided by the majors is almost the same.
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6.Does the promotional scheme of the company have any effect on the sales of soft
drinks brands?
No
29%
Yes
71%
INTERPRETATION:
As sighted in the above analysis, sale of any soft drink is very much affected by the
promotional schemes provided by the company to the retailers. These schemes act as the
push towards the sales for any soft drink brands.
CHAPTER -6
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CONCLUSION
&
SUGGESTIONS
CONCLUSION
The following conclusion can be drawn from the project that I have completed:
The other major player in the industry is Cadbury-Schweppes and some local
player in individual countries.
Incidentally a lions share of the total sales of the product of most of the
companies is through fountain a sale which sums to be the most popular outlet in
the western countries.
Through in India fountain sales from a very insignificant part of the sales revenue.
During the initial stag both soft drink majors used a network of independent
bottlers to bottle and market their products.
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Local delivery operations given the limited transportation and communication
system of the time and the lack of sophisticated financial and management
controls.
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SUGGESTIONS
Through the markets is marred by brand loyalty the purchase decision itself is a
low involvement decision.
The market is slowly moving from non-alcoholic carbonated drinks to fruit based
drinks and also to plain bottled water due to lower price and ready availability.
Availability in the chilled from affects the purchase decision. This has made both
companies to push its sales and to increase its retail distribution by offering Visi
Coolers to retailers.
While there is no restriction on consumption of soft drinks by any age group, the
main consumers of this market are people in the age group of 30 and below.
Product differentiation is very low, as all the products taste the same. But brand
loyalty is high in the case of kids and people in the age group of 20-30 years.
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CHAPTER-7
BIBLIOGRAPHY
BIBLIOGRAPHY
BOOKS:-
Magazines
A&M Magazine
Business India
Business world
Fortune Magazines
Newspaper
Times of India
Economic Times
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Websites
www.Coca cola.com
www.Coca colaco.com3
www.google.com
CHAPTER-8
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ANNEXURE
ANNEXURE
Name:
Sex:
Age:
Location:
b) Coca cola
c) Mirinda
d) Fanta
e) Thumsup
f) Others……..
b) Preference
c) Price
d) Easy Availability
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Q-3) When you talk of soft drink advertising which all brands come to
------------------------------------------------------------------------------------
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a) Yes
b) No
Q-5) Which from of advertising and sales promotion strategies do you think is most
effective for soft drink industry?
a) Television Advertising
b) Newspaper Advertising
c) Outdoor Advertising
Q-6) According to you which companys advertising are more creative and appealing?
a) Coca colaCo
c)Limca
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d)Mirinda
a) Provision store
b) Hotel
c) Sweet Shop
d) Dabha
e) Tea Stall
f) Any Other….
a) Cola
b) Orange
c) Clear lemon
d) Cloudy Lemon
e) Others……………
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Q-9)Why do think that a consumer ask for a particular brand of soft drink?
b) Brand Preference
c) Easy Availability
d) Price
a) Availability
b) Price
c) Brand Name
d) Promotion Schemes
Q-11)What are the attributes that influence you to decide which brand of soft drink to
keep? (Rank them on scale of 1-4).
a) Company Support
b) Consumer Pull
c) Brand Name
d) Promotion Schemes
Q-12)Does the promotional scheme of the company have any effect on the sales of soft
drinks brands?
a) Yes
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b) No
************
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