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³A brief Study on effectiveness of Channel of Distribution Of Pepsi Products in Patna´
Lumbini Beverages Pvt. Ltd.
In Partial Fulfillment of the Requirements For the award of
POST G R A D U A T E DIPLOMA IN MAN AGEMENT
Pro. P.K.Agarwal Director
Shushil Kumar P.G.D.M 3rd. Sem. Roll no.MO 9043
IIMT PROFESSIONAL COLLEGE MEERUT (U.P)
I, Mr. Shushil Kumar declaring that all the information given in this project report is true and correct as far as I know. I am also declaring that all the work in this project is done by me and not copied from anywhere.
Shushil Kumar IIMT Professional College Meerut (UP)
At the very outset of engaging my self in to the Project Report. I would like to express my sincere gratitude to all those who extended their not only to convey their best wishes but also to give me support on this hi-undertone path. This Project Report on my eight weeks practical training in ³Lumbini Beverages Pvt. Ltd.´ Hajipur (Pepsi) in area of Patna is a part of my course curriculum of my PGDM. This project could not have been completed without timely suggestion advice and cooperation of a lot of persons. I am extremely thankful and pay my gratitude to Mr. Raju Tayagi (Head ± Training and Placement),Dr. P.K.Agarwal (Director)
Mrs. Niraj Chauhan(Project
Guide) IIMT Professional College, Meerut for his valuable guidance and support on completion of this project in its presently . I am greatly obliged to Mr. N. K. Prasad (HR Manager, Lumbini Beverages Pvt. Ltd. Hajipur) who accommodated me for training in this esteemed organization. I am highly indebted to Mr. Manish Sahay (Marketing Developing Officer, Bihar) who provided me an opportunity to work and also guided me at every stage on my project. His proper direction and consult inspiration proved to be an asset for this project. I am also equally thankful to Mr. Anish Kumar (Sales Co-coordinator, Bihar) who taught me every minute aspect of marketing. A special appreciative ³Thank you´ in accorded to all staff of ³Lumbini Beverages Pvt. Ltd.´, Hajipur , Patna for their positive support. I also acknowledge with a deep sense of reverence, my gratitude towards my parents and member of my family, who has always supported me morally as well as economically. At last but not least gratitude goes to all of my friends who directly or indirectly helped me to complete this project report.
The Retail Mapping of Patna is an integral step for the assessment. The distribution system not only comprises the movement of the products but also incorporates the merchandising of the product. on the globe Pepsi food is one of the largest soft drink companies in the world with its headquarters in New York. the retailers. The machine has double end system with circular chain to carry the bottles. whole sellers and producers with in the structure. It may be considered as a series of function which must be performed in order to make producers efficiency. Mango & Apple segments etc.. In any soft drink. Caustic so d a T r i-Sodium Phosphate. Lemon. Sodium Glausonate is adding to the caustic by the supplied. Emphasis of our study was to focus on the customer of company i. Orange. The empty durable and returnable bottle used are returned from market in plastic carats are fed to a bottle washing machine (washer). which is very broad in its purview. It was invented by Pharmacist Culab D. development and betterment of this system. It can be divided into two sections i.e.EXECUTIVE SUMMARY The distribution network of PEPSI is well known for its efficiency but company constantly strives for the betterment of their distribution network system. iii . The title of my project is ³A Brief Study of Effectiveness of Channel of distribution of Pepsi product in Patna´ Beverage industry is one of the fast growing industries in India. The carbonated drinks can be further classified into Cola. The channel of distribution is a structure which organized and presents a choice among alternative channels of distribution of the different marketing situations faced by retailers.e. carbonated and non-carbonated. Baradham in 1898 to cure the disease ³Dyspepsia´ Bottle washing is an important part in soft drink plant.
Meerut h a s with a modern system of practical training of repute and following management technique to the student as integral part of PGDM. Hajipur.PREFACE There is a famous saying ³The theory without practical is lame and practical without theory is blind. Consumers satisfy themselves according to their needs and desires. The successful brand presents itself in such a way that buyers buy iv. so they choose that commodity from where they extract maximum satisfaction. To the emphasis on practical aspect of management education the faculty of IIMT Professional College. Our institution has come forward with the opportunity to bridge the gap by imparting modern scientific management principle underlying the concept of the future prospective managers. Summer training is an integral part of the PGDM and student of Management have to undergo training session in a business organization for 8 weeks to gain some practical knowledge in their specialization and to gain some working experience. The title of my project is ³A Brief Study of Effectiveness of Channel of distribution of Pepsi product in Patna´ Certainly this analysis explores my abilities and strength to its fullest extant for the achievement of organization as well as my personal goal.´ This modern era is era of consumers. Ltd. . Marketing is an important part of any business and advertisement is the most important part of marketing. century the market was observed a drastic change. in according with the above obligation under going project in ³Lumbini Beverages Pvt. It has been identified that in the beginning of 21st them in special values which match their needs.
. ««««.i Acknowledgement««««««««««««««««««««««««...11 y y y Objective of the Study Importance and relevance of the Study Scope of the Study Introduction of the Soft Drinks in India««««««««««««..59-60 Data analysis and interpretation«««««««««««««««.. Declaration««««««««««««««««««««««««««««.79 Conclusion «««««««««««««««««««««««««80-81 Bibliography«««««««««««««««««««««««««82 Annexure««««««««««««««««««««««««««.«ii Executive summary«««««««««««««««««««««««««iii Preface««««««««««««««««««««««««««««««iv Introduction to the Study«««««««««««««««««««5 .CONTENTS Title y y y y page no.33-55 SWOT Analysis«««««««««««««««««««««««56-58 Research Methodology used in the study«««««««««««.75-76 Suggestions & Recommendation«««««««««««««««77-78 Limitations«««««««««««««««««««««««««.. Ltd. Ltd. Hajipur A Theoretical frame work of Channel of distribution««««««...83-84 .28-32 Channel of distribution of Lumbini Beverages Pvt..12-22 y y y y History of Soft Drinks in India History of Pepsi Production Process Product Manufactured and Main Consumer Organizational Structure«««««««««««««««««««.23-27 y History and Organizational Structure of Lumbini Beverages Pvt.61-74 Findings««««««««««««««««««««««««««.
INTRODUCTION TO THE STUDY Objective Of The Study Importance And Relevance Of The Study Scope Of The Study 5 .
Despite love for ones own motherhood and traditional concept of Indian people it was assumed that it is very hard to make and create taste and preference about soft drinks but despite of having so many confusion. which is resulting in fast food life. America or Ahamedabad. no one was able to assume such a wide acceptance and it was PepsiCo. During these years beverages begin an exclusively franchise operating beverages now has five company owned bottling operation (COBO) the business expects to grow three times faster than the industry growth rate 1995 and its vision is to become INDIA¶S BEST CONSUMER PRODUCT COMPANY in all aspect. Pepsi is a world leader in restaurant & soft drink whether it is in London or in Ludhiyana.´ The first managing director was Mr. The restaurant business has also come Kentucky Fried Chicken (KFC) has opened its first outlet at Bangalore Pizza but it also expected to open restaurants shortly city wise. P. 6 .M. Ramesh Vanagal but present is Mr. When it set up operation for beverages snack foods and export business. but also taken place of traditional sharbat of lemon and sugar. And needless to say ³Generation next has become the slogan of the day. then it was expected the liberalization of Indian economy. Who could be able to penetrate in Indian soil and it was the Pepsi that has got not only a place in Indian hospitality. Paris or Patna. When Pepsi has appealed on our collective consciousness of few years ago to be more exact in April 1989. The establishment of Multinational Company Pepsi was supposing to prediction in present Indian business scenario. Whole of the operations of Pepsi in India has made a rapid change in Indian life style.INTRODUCTION TO THE STUDY When Mr. Sinha in India. Berlin or Bombay. Rajeev Gandhi came into the power as Prime Minister of India. This was the expectation of his modern concept regarding every walk of life. The division plans to introduction wide range of snakes in to Indian market in the next three years. Pepsi is a leader in the snacks food business. The s na c k s business has seen some major success and going for leadership too. Manchester or Madras.
Pepsi decided to take in Company Owned Bottling Operation (COBO). 7 . Within a year 1994 Pepsi has bought over 5 bottlers including dukes in Mumbai. Pepsi is setting up a new plant at Jaipur.Pepsi company has pumped in Rs. In April 1993 Voltas and Punjab Argo¶s stakes were bought over converting Pepsi foods from a three way joint venture to be a fully owned subsidiary week bottlers who did not have the financial capacities were given massive support in the form in interest free loans to upgrade their operating capacity . For this another subsidiary PepsiCo. The foremost is its image from being perennially seen as a loosing company it¶s now got the image of being a winner. India holding was set up as an investment vehicle. which was running in Maharastra which has been bought over from Voltas high speed imported lines with a speed of 600 bottles per minute was installed in Delhi. They will increase capital expenditure. Pepsi has a strong franchisee in the Jaipuria¶s of Pearl drinks. But the strategy which has proved to be winner was the position. The investment phase will continue and could add unto Rs. 300 crores ($95 million) more. The figure is not cast in stone if volume exceeds according to expectation. Apart from these things there is an expression which can not verify easily that is Pepsi has made qualitative gains. 700 crores over the next three years. 300 crores ($ 95 million) as fresh capital and has recently received permission from the foreign investment board in Rs. This major turn around is not small achievement considering that since it was established in 1989 taking the hard ship route prior to liberalization and weighed down by export commitments? Pepsi has won more battles than it has lost. capitalized 95 million dollar.
To know about awareness of the PepsiCo products of Lumbini Beverages Pvt Ltd. money etc. in fact all the learning that goes on for the two year term become so much the part of our thinking that we developed a well all rounded personality. 8 .OBJECTIVE OF THE STUDY Management is a course which teaches the student to get the work done properly from different available sources viz. We necessary become motivated and competitive. To know about the factors affect the sale of the Pepsi product of Lumbini Beverages Ltd . To know the Rank of the beverages product (Cold drinks) according to the customer taste. To know about the PepsiCo brand product available in the outlet. So there can be a satisfaction from the organization side and the workers side who play a significant role in achieving success. iv. iii. Student tends to develop analytical and problem solving skill. it gives emphasis to project work and students learn how to plan in practical terms rather in terms of theory only. The following are the objectives and purpose of the studyi. material. So far the fulfillment or the management course. machine. ii. man.
but also people have started keeping it in their house. This is Indian market where there was no competition and high voltage advertising was on each one was trying their best to become number one company with µA¶ class product in the field of Soft Drink business. Now after a long gap government of India had given permission 9 . established 53 years ago before all empowering Coca Cola faced competitions and its euphoric image built up in the western countries helped it get ready clientele and clamor. Now day¶s soft drinks are quenching thirst looks more often. Indian market was open for various new forward publishing different brands in the markets. Modern Bakeries entered the market with Double Cola Seven. Mohan Makings with Merry & Plkup and McDowell with Thrill. Ltd. This was the drink which is liked by all ladies. But slowly and slowly with its beautiful taste these become very popular and now they are available not only in the market and street corners. When Coca Cola bid a Farwell in 1977.IMPORTANCE AND RELEVANCE OF THE STUDY Cold drinks were started with the idea of quenching the thirst of the persons traveling. is regarded as the first Indian Company introducing Limca a leman drink complementary to it this has also introduced Cola Pepone which was withdrawn in the face of tough competition from Coca Cola. on highways and long distance trains.e. It was also felt that reliable good water was not available everywhere. gents and children. Thums Up with a mighty saying ³Happy days are here again´ as if happy days went away with Coca Cola. Pure drinks of Delhi also w i t h o u t lasing much introduced pure drinks were producing and marketing Coca Cola earlier Campa Cola with Campa orange and Campa lemon. at those places where water was not available i. Parle people introduced their Cola. The credit of popularizing the soft drink goes to Coca Cola. they are taken due to habits. Rush and Sprint. Parle Export Pvt. So people would really on their packed bottle and with this idea its makers made these drinks available mostly. Gold Sport is considered as the first branded soft drinks.
10 . which joined with Parle to do business in India. Today. But now due to some factors competition among them has become stiffen.to Coca Cola. They are trying their best to regain prestige which it had before. it has occupied 62% shares of Soft Drinks market in India. It started business on the Indian soil just a few years ago. The much rival of Parle is Pepsi an American concern. Now Pepsi is going all out to prove that they are the be s t . So in this way the important activities have increased.
SCOPE OF THE STUDY The main scope of this study is to ascertain the effectiveness of channel of distribution and various methods to increase the sales volume of the concern. One of t h e important aspects of this study is also to increase the market segment for the product. 11 . The methods include regular information to the buyers creating a brand position in the market and taking measures to make the brand remain in i t s position.
INTRODUCTION TO THE SOFT DRINK IN INDIA y y y y History of the Soft Drink In India History of Pepsi Production Process Product Manufacturing and Main Consumers 12 .
Mango & Apple segments etc. The carbonated drinks can be further classified into Cola. advertising etc. PepsiCo gained entry to India in 1988 by creating a joint venture with the Punjab government-owned Punjab Agro Industrial Corporation (PAIC) and Voltas India Limited. 13 . It can be divided into two sections i. PepsiCo is a world leader in convenient foods and beverages. a full fledge co. Orange.. Indra K Nooyi is chairman and CEO of Pepsi. KFC. in 1903.S. Marketing is also to convert social needs into profitable opportunities. Lemon. So this topic provides all the essentials to theoretical knowledge with practical knowledge and to inculcate the efficiency. Calab bradham A North Carolina pharmacist concocted Pepsi-cola in the year 1890 as a cure Dyespsia (indignation). distribution.e. business strategy worked & in 1905 he built in 1909 he had a New York auditing agency. pizza hut. It is also a requirement for the company to improve its service and product quality to achieve the ultimate goal. to fulfill the demands of all segments of consumers. carbonated and non-carbonated. taco bell & California pizzas is a world leader in restaurant business also. Beverage industry is one of the fast growing industries in India. PepsiCo Food & Beverages International.A. PepsiCo¶s major Business includes Pepsi foods. Marketing includes all the activities like promotion.Profile of Pepsi International Pepsi is situated at Somers New York in U. earn s more then half of its global revenues from snack foods & fast foods.
When Coca Cola bid farewell in 1977. It faced no competition and its euphoric imaged built up in the western countries helped it to get ready clientele and glamour. rich and poor wants for a sip and saying ³Yeh Dil Mange More. Pure drinks of Delhi also without losing much time introduced pure drinks were producing and marketing Coca Cola earlier Campa Cola along with Campa orange and Campa lemon. Parle Export Pvt. This dark coloured drink WillyMilly has today become nothing but spot of an international anthem with young and old. Moharn meakings with Merry Pikup and McDowell with Thrill. Parle people introduced their Cola Thumps Up with a mighty bang saying ³Happy days are here again´ as if happy days went away with Coca Cola. before this. red and white becoming you to some ³Sugared water´. 14 .. However. a lemon drink complimentary to there well established Gold Spot in 1970 which got moderate success. Each one was trying their best to become the number one company with µA¶ class product in the field of soft drink business in India. Rush and Sprint in Indian market where there was no competition previously. Indian market was open for various cold drinks several companies came forward publishing the different brands in the market. Ltd. A cut throat competition and heavy advertising was on. he had also introduced Cola Pepino which was withdrawn in face of tough competition from Coca Cola.HISTORY OF THE SOFT DRINK IN INDIA Christopher Columbus as a traveler of world found a lot of new things which was not in the eye of the world community which is now in our history but now if any one does travel to whole part of world to get one thing in some form that is Pepsi. Modern Bakeries entered in the market with the Double Seven. Travel to any corner of the globe you are sure to spot a label splashed in blazing blue. Is regarded as the first Indian company introducing Limca.´ Gold Spot is considered as the first branded soft drink established 53 years ago before all empowering Coca Cola entered the country to dominate the scene.
Pepsi is going all out to prove that they are the best. Coca Cola has joined hands with Parle to the business on the Indian soil. It started business the occupied nearly 50% share of soft drinks market in India. of India has given permission to the Coca Cola to start their business in India. Now.Now after a long gape the govt. They are trying best to regain its prestige which it has before. 15 . The much rival of Parle is Pepsi an American concern.
Pepsi stands 51st position among the fortune 500 companies of the world. Pepsi made it first international move in Russia in 1959. Pepsi and Coca Cola are engaged in ferocious cola war that has taken the whole world by storm. It is from this word that its name was related to Pepsi.25 lakhs globally. During the Khrushchev era. 16 . but soon Pepsi able to dominate the Cola market. within 32 years Pepsi emerged as the biggest competitor for Coca Cola. Pepsi entered the Indian soft drink in Kanpur in 1988 and began its production in May 1990 and soon it was giving the local contenders run for their money in soft drink market.HISTORY OF PEPSI PepsiCo is a USA based company having its head quarters at New York with the net worth of $30-40 million. It comes out with dazzling marketing innovation that rocked the cola market. Its advertisement budget for 1995-1996 was valued at Rs. like selling t h e p r o d u ct t hr o ug h fu nc t io n Pepsi o ut le t s. which at that time mostly dominated by Coca Cola. Its total profit in the year 1996-97 was worth Rs. Baradham in 1898 to cure the disease ³Dyspepsia´. There are 28 bottling plant of Pepsi in India. on the globe Pepsi food is one of the largest soft drink companies in the world with its headquarters in New York. 500 crores in India to develop the local market. Till today it has invested Rs. 458 crores approx. 24 crores which is likely to be increased manifold in coming years. In any soft drink. and there after it never looked back. Its a d ve r t i s e m e nt a g e n c y w a s ³Hindustan Thomson Association´ (HTA). Pepsi is available in 155 countries. Some ar e dir ect ly co nt ro lled by Pepsi and rest is under var ious franchisees. Pepsi has distributed exclusive franchises in India to bottle its total product. The total number of employees engaged in the business is 45. Soon it entered the American market as soft drink. It was invented by Pharmacist Culab D. The average sales of the company are approx 90 million bottles per month. Pepsi food is one of the largest and best foreign investments in India. Its total capital is approx $3000 crores and total sales annually is worth $37 crores.
Ltd. Hajipur which will distribute Pepsi product in whole Bihar. Charan Khelani. Hajipur is Mr. The director of this organization Mr. Ravi Khelani and Mr. Lumbini Beverages Pvt. Ltd. Ltd. Ananda Marketing as a marketing division of 1997. In this accordance Pepsi cola international decided to open another bottling plant at Hajipur named Lumbini Beverages Pvt. Hajipur started functioning in April Managing Director of Lumbini Beverages Pvt. Manoj Khelani 17 .In April 1997 the Pepsi cola international decided that Steel City Beverage will cover south Bihar (now Muzaffarpur) only.
Further water used in bottle washer and boiler need softening .this soft water is essential to use in and bottle washer to reduce scale formation inside the machines. Water Treatment 2. Filling 5. To set uniform and standard water the process of treatment is carried on. hydrated lime are added through dosing pump to reduce alkalinity.for this purpose . hardness. and UV lamp to ensure clear and sanitary water for use. Testing of Product (1) Water Treatment: . From this tank. The water taken out from bore well by the help of motor pump and pipe line are collected in storage tank where is pre chlorinated by chlorinators and by the help of pipe lines comes to treatment tank called coagulation tank where to this water solutions of different strength of bleaching powder.after passing through two filter beds contain fine sand and granular carbon respectively comes to pass through bad resin were it is softened .the water from storage tank . ferrous sulphate. Bottle Washing 4.The chemical are mixed by mechanical stripper and then the suspend mattress settle down as sludge and clear water passes to retention tank.PRODUCTION PROCESS The process of manufacture of Aerated water (soft drink) like Pepsi brand product is divided into mainly five parts such as 1. Syrup Making 3. micron filter.Water treatment is very essential in soft drinks plants as the nature and quality of water varies from place to place. 18 . kill the bacteria . the water passes through sand filter containing fine sand and pebbles and carbon filter containing granular carbon and finely through water polisher.
Caustic so d a T r i-Sodium Phosphate. 19 . Clear hot syrup by the help of SS pipe lines passes through water P. concentrate added and mix thoroughly by a mechanical Stirrer fitted to the tank. The washed bottle proper inspections are SU 319 and SU 853 used for conveyor cleaned and smooth running of chain carrying bottles. Sodium Glausonate is adding to the caustic by the supplied. shining. The empty bottles enter to the hot Caustic tank in one end and after being cleaned by hot Caustic solution and finally washed with water through spray jets fitted are discharged in other end.H. circulated by glycol for further cooling.E. Sugar syrup called raw-syrup is prepared by dissolving the sugar with continuous stirring and heating by steam supplied by fired boiler. The chilled syrup comes to a mixing tank to use calculating of sugar quantity by Brix Hydrometer. for cooling and the then another P. strong chlorine solution and hot caustic soda solution. The machine has double end system with circular chain to carry the bottles.For syrup making of particular brand.E. The concentrate mainly. This syrup is now finished syrup ready for use.(2) Syrup Making:. (3) Bottle Washing: Bottle washing is an important part in soft drink plant. All the containers used for syrup making are cleaned and sanitized by Soda-Bi-Crab.H. calculate quantity of sugar water activated carbon and high flow super cell known as filter aid taken in to sugar to enter steam and also filled by a motor with agitator. and mold removing. SU 260 and SU 773 is used for bottle cleaning. The Caustic tank filled in with water heated by steam supplied by the boiler. the temperature of finished syrup is also maintained by air-conditioner. This hot syrup by the help of pump is filtered through a filter press attached with a series of quality filter paper to separate out carbon particles. The empty durable and returnable bottle used are returned from market in plastic carats are fed to a bottle washing machine (washer). the liquid part are kept in a cold store.
Finally the finished syrup during bottle is tested in laboratory to meet the parameters and also to get a standard and quality products to maintain the standard and information and uniformity in products the sugar contents and carbonation in the bottle are checked in regular intervals by Brix.Finished syrup and treated water lime are commixed to a dosing pump which mixes syrup and water with ratio of 1:5 and the syrup mixed with water enters to carbonator tank to mix CO2 gas. 20 . The syrup passed through a P. we used recording control (Taylor).E. which is preserved in cylinder for use. The purity of CO2 is checked by CO2 purity tester.(4) Filling: . The finished products are coded by a coding machine and inspected properly by inspection light while passing through the conveyor where finished product are accumulated enters to carat washer machine and it is washed moves through the conveyor where finished product are accumulated. The dead weight tested is used to calculate pressure gauge to know the correct pressure. TA & Ph are tested by digital Ph meter. which is called itself by circulation of chilled glycol supplied chilling F-22 gas used. Electronic digital balanced is used to weight chemical to conduct test in lab. To control CO2 manifold to tank to use requisite pressure and temperature of liquid. The cylinders are connected through CO2 quantity of gas. The syrup being chilled easily mixed with CO2 gas and enters to filter for bottling.hydrometers. outside contamination and spoilage. The filter is connected with filling valves and lift cylinders.H. flavor. (5) Testing of product:. The syrup is known as beverage in this stage is filled in the cleaned bottles which are durable in nature and returnable by buyer filling machine (filter) by a counter pressure of carbon dioxide gas. Refrectometer and pressure gauge. The lift cylinder functions by pressure of air supplied by an air composer. After beverage filled in bottle it goes to the crowner where with the help of crown crocks the bottles are sealed (crowned) to project the carbonation.
The chlorine comparators. To co nduct t he micr o t est hot sterilizer incubator. Washed bottles are then send to the filler where premix (Composed of syrup. treated water bulk CO2) is filled in it. To drawn electricity for the State Electricity Board the transformer is used. The whole concentrated is chilled with glycol before filling and then crowning is done. The steps involved in the Production Process are:First the fork lift supplies the empty bottles which are collected from the distributions. The Diesel generator is operated in case of electricity failure for smooth operation of the plant.e. PREPARATION OF SYRUP Treated water + Sugar = Flavor 21 . media are produced and used. autoclave. Uncasing is done by separating empty bottles from the cases/carats. The microbiology test of the product and water used in syrup making and production are also done to ensure that the product is free from any bacteriological contamination. The filled bottles are passed through inkjet coder for printing price and date. Empty bottles are then fed into the bottle washer where stream with some chemical is used for washing. pads filter membranes. Then depalletising is done i. Lastly the filled bottles are arranged in the crates (casing) and then palletizing is done for storing it in the warehouse. Then again the filled bottles are send for final light inspection and from there they are collected on a table. separating cases filled or empty bottles from the wooden planks.
200ml 300 ml 300 ml 1. Ltd. 200ml 300 ml.5 lt. 200ml 300 ml. It is a unit of Pepsi food Pvt. 200ml 300 ml. which supplies concentrates for drinks. 200ml 300 ml. 330 ml 1 lt. Ltd. Besides the direct consumer it is also used for the some purpose of providing it to the mass by hoteliers. Thus it can be said that it is a product of mass consumption. 2 lt. These products are the choice of the new generation. Colour Brunt sugar Sun-set Tetrazine Tetrazine Colorless Colorless Sunset Tetrazine Brunt sugar Brunt sugar Brunt sugar Colorless Flavour Cola Orange Lime Mango Lemon Lemon Mango Lemon Cola Cola Cola White CONSUMERS The main consumers of these products naturally are youth. 200ml 300 ml. are very limited ranges as it is not independent to diversity its products. 22 .PRODUCT MANUFACTURED The product manufactured by ³Lumbini Beverages Pvt. restaurant owners and various other soft drink peddlers. They are:- Products Pepsi Mirinda Mirinda Mirinda 7 Up Mountain Dew Slice Lehar soda Pet Pet Can Aquafina (Mineral Water) Quantity 300 ml.
ORGANIZATIONAL STRUCTURE 23 .
had to walk over to Indian Concentrate Companies. Steel City beverages Pvt. Steel City Beverages Pvt Ltd. Coca Cola was not much popular among people of Bihar state as pure soft drink. The other two Calcutta and Guwahati. Ltd. Ltd. Ltd. They were modem food industries supplied concentrate of double seven and non ice cream soda. Ltd. ³Rushabh Marketing Pvt. But from 01-04-1997 ³Pepsi Foods Ltd. Ltd. is situated at Adityapur Kandra Road in Jamshedpur.HAJIPUR History of Lumbini Beverages Pvt. Steel City beverages Pvt. Steel City beverages is one of the Pepsi foods Bottling plants in the country and one of the three in Eastern India. Before the establishment of Steel City beverages Pvt. The machineries of its main plant were imported in 1968 and production started in March 1969. was established by Late Mr. Because at that time the bottles of Coca Cola was supplied by the outsiders who were unable to make Coca Cola popular in Bihar.LTD. 24 . But in 1977 due to the sudden change I the policies of the Government the import license for the concentrate of Coca Cola was stopped. Ltd were introduced. Ltd.HISTORY AND ORGANIZATIONAL STRUCTURE OF LUMBINI BEVERAGES PVT. Ltd.´ is the marketing division of Steel City beverages. Ltd. With this effort Coca Cola become popular among the people of Bihar. Dharam Chand Kamani in the month of June 1967. Ltd. So Steel City beverages Pvt. in the place of Double seven and triangular and in the very next year two soft drink ³RUSH´ an orange flavored and ³SPRINT´ as lemon flavored of Mc-Dowell & Co. So after considering the needs and desires of people Mr.´ It is only for North Bihar. India´ determines to open another bottling plant which is situated at Hajipur namely ³Lumbini Beverages Pvt. is a mother unit and its whole marketing activities are done through Rushabh Marketing Pvt. Dharma Chand Kamani brought in Bihar. In 1983 the company introduced a cola drink ³THRILL´ of Mc-Dowell & Co.
Ravi Khilani. Because he is the Chief Executive of the company cited earlier. Every department has to report directly to the managing director and is responsible to his only for working in spite of this all departments is under the control of the director Mr. Ltd. The director Mr. and North Bihar in particular. But the overall policies regarding management decisions and all executives function or performance look after by the day to day decision and general administration as well as management. Ravi Khilani looks after all functional departments that sales production. In a simple term in various parts or component are interrelated or interconnected and this way it is the established pattern or relationship among various function of the organization in the established manner. account. At present. Mr. But at this time. has made tremendous move towards the introduction and development of soft drinks industries on the whole. Ltd. An ideal organizational structure facilities management and the operation of the enterprise and it help the organization in achieving its goal. personnel and purchase. Ravi Khilani. It has made production of perfect hygiene and standard Soft Drink as main objective. Ravi Khilani who is well advised by the MD. Lumbini Beverages Pvt. The MD has given the power of attorney and authority to director Mr. the managing director of Lumbini Beverages Pvt. is doing marketing with its own name. Ltd. Thus it can be seen that Lumbini Beverages Pvt. was the marketing division of Lumbini Beverages Pvt. The overall organizational structure can be shown as: 25 . Ltd. Charan Khilani. is Mr. The managing director holds the top position.Before some months ³Ananda Marketing Pvt. Ltd. Though the manager all the functional departments has specially designated as head of personnel department.
C. M. .R. LTD. SENIOR TECHNICIAN M. CLERK ASSIS.M.D. HOS T. H.R.E. A. MANAGER A/C ASSISTANT SHIFT ENGINEER SHIPPING COORDINATOR H.M.M.EXECUTIVE C.D. M.R.E.D. BOARD OF DIRECTOR MANAGING DIRECTOR CEO FINANCE MANAGER PLANT MANAGER P.C. EXECUTIVE A/C CLERK ASSISTANT WORKER / OPERATOR H.M.OVER ALL ORGANIZATIONAL STRUCTURE OF LUMBINI BEVERAGES PVT.C. TECHNICIAN M.E.A. Q.D. 26 .
city sales executives and rural sales executives and sales executive of shipping department as follows:- DIRECTOR MANAGING DIRECTOR HEAD OF SALES STATISTICIAN CITY SALES EXECUTIVES SALES EXECUTIVES SALES SUPERVISOR 27 . publicity and advertisement.e. The marketing manager is assisted by sales executives. But the main function of the marketing is to exercise the control over the channel of distribution. marketing study and shipping.The marketing manager is in charge of all marketing activities i. sales promotion.
FRAME WORK OF CHANNEL OF DISTRIBUTION 28 .
the creation of demand is made through the process of advertising and sales promotion activities. These are called as middlemen. Such decisions are of long term nature and exercise their impact on the cost structure of the firm also. Now a day any of the producers possibly do not sell their goods directly to the final users. The manufacturer and its distributive outlets share common objective to sell the manufactured products at a profit. No doubt its objective differs with the marketing circumstance. Even though many variation of specific objective fits into some categories. They are known as merchant middle men and other are brokers. representative sales agent who seeks or search for customers and negotiate on the behalf of the producer but do not take of goods. These are as follows:y y y To built distribution network loyalty To stimulate distribution To develop managerial efficiency in distribution organization 29 . There are a lot of intermediaries between producers and consumer. This function involves a number of sub-functions to be performed by a producer or manufacturer. These two functions are most important first.A THEORETICAL FRAME WORK OF CHANNEL OF DISTRIBUTION ³Marketing channels are sets of interdependent organization involved in the process of making a product or service available for use or consumption. The decision relating to the channel of distribution is a very important decision from the firm point of view because the selected channels affect considerable other marketing decision. bearing a variety o f na me performing various k i n d s o f f u n c t i o n . By channel distribution mean the intermediaries or the process through which the goods products are transferred from the producer to the ultimate users. Some i nt e r m e d i a r i e s l i k e wholesalers and retailers buy and resale taking the bill.´ The main objective of the marketing process is to distribute the products to the actual users. On the other hand the distribution through the channels of distribution.
It may be considered as a series of function which must be performed in order to make producers efficiency. Disperses the assortment to consumer industrial buyers. Subdivides these into lot desired by the customers gathers various items together in the assortment wanted and 3. The important of middlemen in channel of distributional can be over emphasized. The role of middlemen that of specialist in concentration equalization and dispersion besides he side in the creation of the time from and procession utilities. To bearing maximum profits of all institutions concerned a channel of distribution should be treated as a unit of total system of action. whole sellers and producers with in the structure.The channel of distribution is a structure which organized and presents a choice among alternative channels of distribution of the different marketing situations faced by retailers. Collects concentrate the output of various producers. 2. 30 . It is that who1. The activities of the manufacturer need to be coordinated with these middlemen used in the distribution of given product.
6. He/She must understand the various conflicts which continually exist between and within the channel. He/She must select the specific firms which will handle his product and then manage the day to day working relationship with them. 2.DECISION MAKING FOR CHANNEL DISTRIBUTION The marketing executive must undertake to following steps in order to establish the channel of distribution for a company. Channel 4.. The number of middlemen) to be used each level and each market. Types of Marketing Channels 1..«Consumer Manufacturer«««««Retailer«««««««««««Consumer Manufacturer««.Consumer 31 .Retailer««««Consumer Manufacture««.e. He/She must understand the retail and wholesales market and type of middlemen available in both. 3. He/She must determine the methods and the procedure in firms (i. Indirect marketing channel: Channels containing one or more intermediaries CustomerMarketingChannels Channel 1. 5.e. He She must take decision regarding be intensity of the distribution (i.. 4. Direct marketing channel: A marketing channel that has no intermediaries level 2.Wholesaler««Jobber««Retailer««. Channel 3. Manufacturer««««««««««««««««««. use of the transportation and warehouse facilities and services in firms making programme) in the physical distribution of the product. 1.Wholesaler««««. Channel 2. He/She must select the general channel to be used keeping in mind the goals of the company marketing programme and the job to be done by distribution system.
The channel captain can be the producer. many companies sold to single market through a single channel. 1. There are four types of marketing channels. Conventional Distribution Channel A Channel consist one or more independent wholesaler and retailers. 32 . 2. A distribution channel system as producers. Each is a separate business seeking to maximize its own profits even if this goal reduces profit for the system as a whole. Horizontal Marketing Channel A distribution channel system in which two or more unrelated companies put together resources or programmes to exploit an emerging marketing opportunity. Multi Channel Marketing In the past. Multi channel marketing occurs when a single firm uses two or more marketing channels to reach one or more customer segments. 3. No.CHANNEL DYNAMICS Distribution channel do not stand still. New wholesaling and retailing institution emerge and new channel system evolves. the wholesaler or the retailer. One channel member. Vertical Marketing Channel This i s most recent marketing channel. 4. the channel captain owns the others or franchises them or has so much power that they all cooperate. wholesaler and retailers act as unified systems. Of channel members has complete or substantial control over the other members.
LTD.CHANNEL OF DISTRIBUTION OF LUMBINI BEVERAGES PVT. 33 .
each distributor in the initial stage has to deposit some security money. The selection is also done on the basis of the financial position and reputation of distributor in the market. There are about 50 distributors and innumerable number of retail outlets operating with the company in its entire market areas which contains total Bihar.Hajipur. Retailers or owners of any outlet can not take the delivery from company. the sales department of the company pays major attention on controlling the channels of distribution.Ltd. As for example in appointing a distributor first engaged in soft drink business second priority is given to those people who are in cigarette selling business. In all the important places of entire territory this company has its distributors. Depending upon the market. The nature of the channel is as follows:Company Distributors Dealers Different Outlet Owners Consumers At first the soft drinks supplied to the distributors directly. These distributors selected on the basis of assurance given by them regarding the minimum sales which they have to maintain annually. They have to take the products from their respective or nearest distributor. Single type of markets channel is maintained by the company right from its pioneering stage.Channel of Distribution of Lumbini Beverages Pvt. 34 . in Patna To make its products available at the right places at the right time in the market.
the charges if the empty bottles with specified retailers purchasing price. The charges if the empty bottles with specified retailers purchasing price. Any o ne l ik e P a nw a l a . They have to give assurance to the concerning distributor for better sale and at the time of taking delivery they have to deposit the security i. 35 . After getting the proper authority from sales department paying the requisite amount either cash or demand draft.e. Cigarettewala or any other shopkeeper can have the stall for the sale of soft drinks and they are called retailers or outlet owners.The retailers are selected by the distributor fixed criteria for the selection or appointment or retailers from the side of the distributor . The distributor at first has to seek the permission of sales department for the number of cases of soft drinks required by them.
WAREHOUSING Every company has to store its finished goods until they sold. In the industrial sector service of optimization where boils down to any exercise of optimization where limited available resources are to be distributed equitably. The stores functions can be organized in the following manner:a) To receive raw material components equipments etc. storage loss. correct preservation method. The problem arises from the material that are in stock the form of capital cost. documentation etc. pilferage obsolescence. The company supply finished products frequently to different distributors as per the demand. Every distributor keeps a minimum stock of different products of the product line so that the uninterrupted supply could not affect. Warehousing is not a simply storing activity but a package of services that enables the smooth running of the industry. b) To meet the demand of use department by issuing the order c) Accounting the transaction properly. handling. The stores must be in constant touch with the use department in order to provide uninterrupted services to the manufacture and its decision since working capital is locked up in the warehousing stores in equal to money. d) Minimizing obsolescence surplus and scrap by right identification and using 36 . A strong facility is necessary because production and consumption cycles rarely match. insurance. Services level that can be maintained and hence the concept stores in money should be understood by every body in the organization.
transporting financial risk bearing dissemination of marketing provision of management services and consulting.´ itself some are followed according to the standing instruction of ³Pepsi Foods Pvt. These functions are not limited to selling and promoting. So far as the process of branding and packaging is concerned the ³Lumbini Beverages Pvt. buying and assortment building bulk barking.´ Along with the authorized bottle in India adopt the same pattern.INVENTORY DECISION (1) Branding and Packaging Out of the total market activities some are directly performed and controlled by ³Lumbini Beverages Pvt. Ltd. recognizing that existing to add value to the channel. Manufactures use wholesalers because wholesalers can perform function better and more cost effectively than the manufacture can. The most successful wholesalers are those who adopt their services to meet and target customer¶s needs. information and 37 . Ltd. Ltd. warehousing. product assortment and services promotion and place. Like retailers wholesaler must decide on target market. (2) Wholesaling Wholesaling includes all the activities involved in selling goods or services to those who buy for resale or business use.
Then why would any business chosen to become part of channel system. So the marketing channels can be viewed as a set of interdependent organization with high potential for conflict. A retailer or retail store is any enterprise which sales volume comes primarily form retailing.(3) Retailing Retailing includes all the activities involved in selling goods or services directly to find consumer for their personal non-business use. 38 . All marketer retailers must prepare marketing plans that include decision on target market.
Ltd. Channel 4. Channel 2.Consumer Manufacturer«««Wholesaler««««. By Lorry or Truck Distributor Dealers of customer 39 .DISTRIBUTION OF PEPSI Here there are four systems of distribution channels.Consumer Channel of distribution of Lumbini Beverages Pvt..Retailer««««Consumer Manufacture««. Channel 1.Wholesaler««Jobber««Retailer««. Channel 3. Manufacturer«««««««««««««««««««Consumer Manufacturer«««««Retailer««««««««««..
the marketing strategy provides for achieving them. When the Pepsi food company entered in the Indian soft drink market. Selecting a target market. and there are different ways to formulating it. Pepsi tried to establish in India with a unique marketing policy. The marketing strategy is not just idea. 40 . the target marketing and marketing mix together constitute the marketing strategy of the firm. the market was already prevailed by coke and previously it was Parle. Assembling the marketing mix. The market objective indicates what the firm indicates. Pepsi took into consideration of youth segment target market. It has attracted the young generation and of course increase the sale of Pepsi. Actually. sport stars and famous personalities from different fields. It is a well outlined plan. Though the advertisement of Pepsi highlighted the style of living of young generation with different walk of life. Pepsi brought in its advertisement different stalwart¶s personalities from fields like young cine stars. what the firm wants to achieves. Pepsi also organized many national and international sports events to attract the young generation.MARKETING STRATEGY Marketing Strategy is the complete and unbeatable plan designed specifically for attaining the marketing objective of the firm. Basically formulating of marketing strategy consists of two main steps.
y y y Products:.P. so the product could easily reach the consumer. y Promotion:. advertising and sales promotion programmed with view to communicate to the consumer and promoter of the product.That could meet the identified needs of chosen consuming groups.MARKETING MIX OF ³L. price and promotion (4p¶s) that the firm blends to produce the response it wants in the target market. 41 . channel management etc. place. It is the mechanism to achieve the consumptions of marketing process.The firm carries out a no.B.Product price are fixed by company according to competitors product price.It performs various functions like transportation.´ A product. of measures like personal selling. striking the level of price that is accepted to the firm as well as consumer. Place:. Price:. warehousing.L. These are the following 4Ps.
PepsiCo Cold Drinks 42 .
laid back attitude and refreshing take on life. 7UP¶s ambition as a brand has been to capture and own the lemon refreshment territory within the clear lime category. Fido became an instant hit with his trendy look. 7UP was launched in India in 1990 and its international mascot Fido Dido was used for advertising in 1992 to position the brand as a cool drink for youngsters. the refreshing clear drink with natural lemon and lime flavour was created in 1929. Brand Advantage For the past 2 years. After establishing itself as ³The Lemon Drink ". Further. 7UP continued to build further on the theme of mood upliftment with its new tagline "Mood ko do Lemon ka Lift´ 7UP¶s brand communication is premised on the product¶s natural lemon flavor .7UP . 7UP gained market leader status in the lemon lime category by being one of the first to be nationally distributed as well as being marketed as a healthier alternative to other soft drinks. guaranteed to provide uplifting lemon refreshment that raises one¶s spirits. During the brand¶s early years in India. 43 .Mood Ko Do Lemon Ka Lift Brand History 7UP. Lemon has proven to be a clear and relevant differentiator for the brand. in Jan 2009. it has allowed the brand to ladder up to an emotional payoff of uplifting refreshment.
Mountain Dew -Darr Ke Aage Jeet Hai
The main formula of Mountain Dew was invented in Virginia, named and first marketed in Johnson City, Tennessee and Knoxville, Tennessee in 1948. In India, Mountain Dew set the soft drink category ablaze in 2003 with their iconic launch campaign ³Cheetah Bhi Peeta Hai´.
It is a soft drink that exhilarated like no other because of its daring, high-energy, active, extreme citrus taste. Challenge, a can do attitude, adventure and exhilaration is deeply entrenched in its brand DNA and the brand has always celebrated the bold and adventurous spirit of the youth. This exhilaration and excitement of Mountain Dew has always been reflected in the highadrenaline advertising of the brand that connected it to outdoor adventure.
Pepsi - Yeh Hai Youngistan Meri Jaan
Pepsi is a hundred year old brand loved by over 200 million people worldwide. The largest single selling soft drink brand in India is the ubiquitous'socialiser'at every occasion.
Youngistaan loves it. 200 million people worldwide love it. But what has made Pepsi the single largest selling soft drink brand in India is actually a formula concocted a century ago in a far away continent. 1886, United States of America. Caleb Bradman, the man with a plan, got on to formulate a blockbuster digestive drink and decided to call it Brad¶s drink. It was this doctor¶s potion that was to become Pepsi Cola in 1898, and eventually, Pepsi in 1903. Pepsi has always played on the front foot and since its inception has come out with revolutionary concepts like Diet, 2L bottles, recyclable plastic cola bottles and the enviable My Can.
Pepsi has become a friend to the youth and has led many youth cultures. Youngsters over the generations have grown up with Pepsi and share an emotional connect with it, unlike any other cola brand. Be it parties, hangouts, or just another day at home, a day is never complete without the fizz of Pepsi! Pepsi, Cricket and Bollywood have been joined at the hip since the beginning. Shah Rukh Khan, Sachin Tendulkar, Saif Ali Khan, Amitabh Bachchan, Kareena Kapoor, Priyanka Chopra, Virender Sehwag, M. S. Dhoni, John Abraham, Ranbir Kapoor and Deepika Padukone are a few celebrities who will go any length for a chilled Pepsi. The Pepsi My Can is undoubtedly the most popular cola pack of all times. It is not just a pack but a style statement for today¶s youth.
Mirinda ± Weekend Aaye Tho Pagalpanti Chaye
Mirinda is an international soft drink brand from Spain that was launched in India in 1991. Mirinda has always been about a great irresistible orange taste, which is now synonymous with the brand. These were communicated through our great of ³Mirinda Men´ in 1996 or with the campaign of ³Taste pe Atka, Mirindaaaa´ in the year 2000 or ³Taste Aisa Chaye Character Fisla Jaye´ in 2003. Mirinda then evolved to ladder up the great taste to great fun with another spate of memorable campaigns of ³Fun Ka Naya Mantra, Mirindaaaaa´ starring Asin & Zayed Khan in 2007 & ³Pagalpanti bhi Zaroori Hai´ campaign with Asin in 2008. In 2009, Mirinda became synonymous with ³Orange´ as the core of the brand with the campaign of ³Orange Dikha toh Mooh Bola Mirindaaaaa´.
Now when we think Mirinda, we think orange. But this soft drink brand has launched many other fruit flavours from time to time; Mirinda Lemon was launched in 1998 with memorable campaign ³Zor Ka Jhatka Dheere se Lage´ starring with Amitabh Bachchan & Govinda. Mirinda has also launched many other flavors like Apple & Batberry, as innovative flavor offerings for the evolving consumer. 46
With refreshed pack graphics and clutter breaking advertising. In 2008. Slice was relaunched with a 'winning' product formulation which made the consumers fall in love with its taste. spontaneous and playful. Slice created disruptive excitement in the category and celebrated mango indulgence like no other. Brand Advantage With the launch of ³Aamsutra´ campaign in 2008 along with a winning taste & most appealing pack graphics.In 2008.46 While other players have portrayed mango as a simple and innocent fruit. to deliver a brand philosophy that resonates with the audience.Pure Mango Pleasure Brand History Slice was launched in India in 1993 as a refreshing mango drink and quickly went on to become a leading player in the category. Slice has driven strong appeal within the category. Mirinda's bold and vibrant color. Now. And what¶s more. Slice celebrates the indulgence and sensuality of consuming a Mango. With an endeavor to give our consumers a great tasting product to delight them continuously.first in 1996. we have reformulated & improved its taste . great orangey taste and sparkling bubbles encourages one to be more carefree. 47 . Mirinda is now made without any artificial flavor in it!!! Slice . The creative idea ³Aamsutra´ communicates the art of experiencing pure mango pleasure through the taste of Slice. then in 2002. the brand decided to up the ante on the brand from a being led by physical attributetaste.
In India. Aquafina has become one of India's leading brands of bottled water in a relatively short span. Aquafina¶s journey began with the Bombay launch in 1999 and it was rolled out nationally by the year 2000. Aquafina soon became the best selling brand in the country. On the strength of its brand appeal and distribution.The Purest part of you Brand History Aquafina was first launched in USA in the year 1994 and with its unique purification system and great taste. 48 . Brand Advantage Aquafina goes through a 5 step state-of-the-art purification process to give consumers pure water and perfect taste every time.Aquafina .
Aquafina ensures its availability across more than half a million outlets. 2 ltr bottles and in bulk water jars of 25lts. 49 . 500ml. and youthful brand imagery in an otherwise undifferentiated category. To cater to varied consumer needs and occasions.Aquafina has been built through refreshing and edgy advertising. Bottled across India in 19 plants. 1 ltr. it is available in various pack sizes like 300ml. premium. The µWhat a Body¶ campaign has enabled the brand to drive modern.
Ltd. This chapter has therefore been devoted to the studies of advertising and sales promotional activities in Lumbini Beverage Pvt.´ Advertising and sales promotion activities play a vital role in entire marketing efforts.P. The tools used by L.ADVERTISING & SALES PROMOTION IN ³L.P. Ltd. Scratch card.L.B.L.L. The two basic objectives for carrying out such various promotional activities by Lumbini Beverages Pvt. carries out its promotional activities as controlled and integrated programmes of communication and material design present its soft drink to the perspective customers.B. Displaying equipments. is ³To generate more sales as well as to create and maintain an image of its product´ L. 50 .B. Without these aspects a quality product can not survive in the market. lucky draw & prizes.P. for fulfilling the various purposes of its promotional activities are the following:y y y y y y y Food µN¶ Fizz Space Club Payaas bujhao profit badhao Agreement GRB (Glass return bottle). It also helps in communicating the need satisfying of soft drink to facilitate the sales eventually to contribute towards the profit in long run. Advertising and sales promotion tools are most essential for the modern global marketing.
Of all the methods of promotional activities that constitute the promotion mix. demonstrations.help to stimulate supportive news items about the firm and its product that have greater credibility with public than advertisement.V.P. The important methods are: Advertisement:.Where the market utilizes displays. shows and exhibition. demonstration and various other nonrecurrent selling efforts not in ordinary. According to ³American Marketing Association´ sales promotion refers ³Those activities other than personal selling. ³Sales promotion´ is also known by the name of ³Extra Purchasing Value´ (E.Where an identified sponsors pays media (such as TV) to transmit to target consumer. Publicity and Public relation:. 51 . such as display. premiums.Where sales representative employed by the firm engage in interpersonal communication with individual consumers and prospective customers.). advertising and publicity. Sales promotion:. the distributor and the consumer transacting a sale. sales promotion is the only one method that makes use of incentives to complete the ³Push-Pull promotional strategy´ of motivating the sales force.PROMOTIONAL ACTIVITIES (FOR RETAILERS) Promotional activities consist of various means of communicating persuasively with the target audience. that stimulate consumer purchasing and dealer effectiveness. contests or similar devices. Personal selling:.
3. Comparative Products Major CSD Brands Flavor PCI Cola Clear Lime Cloudy Lime Orange Pepsi 7Up. Sprit is substitute for 7UP and Mountain Dew. In the market. Mountain Dew Mirinda-Lime Mirinda CCI Coca-Cola. So. Fanta is substitute for Mirinda & Limca is substitute for Mirinda Lime. I have shown product target in the market. Thums Up Sprite Limca Fanta In above table. When a company doesn¶t fulfill the demand of market then other companies substitute that product with their own product. 1. Both companies try to substitute eachothers product in the market. offen it seen that consumer demands a product according to his desire. 4.Product Performance of Pepsi y y y y Targeting product comparison Product availability Pricing of products Pepsi Performance in comparison SL No. companies always want to come out with substitute product for enlarging their market share. but due to lack of supply he switch over to substitute product. Thums Up and Coca-Cola is substitute for Pepsi. Here. 2. 52 .
4. Dew Pepsi Can 7UP Can Mirinda Can M.Products Availability of Pepsi SL Product 200m 250m 300m 330m 500m 600m 1000m 1200m 2000m No s l l l l l l l l l . Pepsi Pepsi diet Pepsi Gold Mirinda Mirinda Lime M. 14. 8. 11. 5. 12. 7. 6. 9. Dew Can Diet Can Slice Aquafina Tropicana ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ ¥ - 17. 1. 13. 16. 15. 10. 3. Everest Lehar - - ¥ - - ¥ - - - 53 . 2. Sorbet 7UP M.
Pepsi Products Price list for Customers SL No. 4. 9. 7. 6. 15. 10. 12. Dew Can Pepsi diet Can Slice Aquafina Tropicana Everest Lehar 200ml 250ml 300ml 330ml 500ml 600ml 1000ml 1200ml 2000ml 8 8 8 8 8 12-18 10 12 12 12 5 25 25 25 25 25 20 22 20 25 20 25 20 20 12 12 60-82 45 50 50 50 50 - 54 . 17. 1. 5. 3. 14. 2. 11. 8. 16. Product Pepsi Pepsi diet Pepsi Gold Mirinda Mirinda Lime Mirinda Sorbet 7UP Mountain Dew Pepsi Can 7UP Can Mirinda Can M. 13.
cold drink parlor. the major reasons for selling Pepsi products are: (1) (2) (3) (4) (5) (6) (7) Brand Image Customer Demand Profit Margin Advertisement Good Quality Sales Promotion for Retailers Sales Promotion for Consumers 18% 20% 05% 30% 10% 07% 10% 55 . M i x Shop : : The shop selling only one company¶s Products The shop selling many companies Products The retailers can build a great deal of goodwill for the firm. Monopoly Retail Shop II. The marketing strength depends on the strengths of retail dealers. Booth and general stores etc. Research has conduct survey on different types of outlet like bakeries. According to his survey.STUDY ON RETAILERS Retail Shop type I.
SWOT ANALYSIS 56 .
y LBPL uses state of the art and fully automatic machines and technology for the production and bottling of soft drinks. Pepsi still has the opportunity to enlarge its market share because the cola in the market is quite monotonic. So we can try to provide some other taste of cola such as adding some lemon juice. burst bottles etc. Promotional activities in the rural market are not upto the mark as compared to the urban market.SWOT ANALYSIS STRENGTHS: y Lumbini Beverage Pvt. 57 . Ltd. Most of the end user is young people. is Franchise Owned Bottling Operation (FOBO) of world¶s most famous soft drinks Pepsi Co. only due to high sugar content and less thrilling taste. There are still some people who do not like the taste of the cola. OPPORTUNITIES: y Although in the cola market there are many competitors. We can change the flavor in order to meet different taste of different people. It has wide range of product varieties & takes back the leakage. y Not availability of all the products on demand. WEAKNESSES: y y No cost cutting program for the products. y y It has very strong network and built market and currently holds all the parts of the state. y Brand Pepsi in cola flavor is one of the popular lagging behind its nearest competitor.
y One of the products of their competitor in Clear lime & Cloudy Lime flavor as a very good market share due to its taste. Some local cold drink such as Sudha dairy and Amul dairy cola have taken their feet in the market.THREATS: y As to the threats. Although Pepsi-Cola have won several times during this competition. all of us know that Pepsi-Cola and Coca-Cola have had the competition for about 80 years. There is another threat nowadays. 58 . y Coca-Cola is now spending more and more to boost up the sale & market share. the market share of Pepsi-cola is a little bit smaller than Coca-Cola.
Research Methodology 59 .
60 . I tried my best to select the sample representative of the whole group. I have collected data from the Distributor and Retailers of Patna. retailers. DataSources Primary data collection involved distributors. and reporting of data and finding relevant to a specific marketing situation facing the company. I maintained different chart for different routes during my dealer survey. collection. Research Approaches Research Instrument SamplingPlan Research Design Sampling Unit Sampling size Sampling Areas Sampling Techniques Contact Method : : : : : : : : Survey Interview Exploratory Retailers 100 Patna Simple Random sampling Personal Interview In interview schedule I used multiple choice question and ranking system questions.´ Within the time limit. During my training. analysis.RESEARCH METHODOLOGY USED IN THE STUDY ³Marketing Research is the systematic designing.
Data analysis and interpretation 61 .
How you came to know about Pepsi Brand Products? Mode Radio TV Newspaper Friends Others Total No. of Respondent 32 46 12 6 4 100 Percentage 32% 46% 12% 6% 4% 100% Awareness Radio TV News Paper 6% 4% 32% Friends Other 12% 46% It has been found that 32% percent retailer know about the Pepsi product through the Radio. 46 % retailer know about the Pepsi product through the TV .6% of the retailer know about the product through the friends and 4% retailer know about the product through the other things . 1 . 62 .Q. 12% of the retailer know about the product through the Newspaper .
40 % Distributor / Retailer are monthly sales (Rs) 10000 to 15000 and 32% Distributor / Retailer are monthly sales (Rs) above 15000. 16% Distributor / Retailer are monthly sales (Rs) 5000 to 10000 .2. Monthly sales (in Rs.Q.000 12% 32% 16% 40% It has been found that 12% Distributor/Retailer are monthly sales (Rs)Less than 5000.000 10.) Monthly Sales (In Rs) Les than 5000 5000 to 10000 10000 to15000 Above 15000 Total Respondent 12 16 40 32 100 Percentage 12% 16% 40% 32% 100% Monthly Sales Less than 5000 5000 to 10. 63 .000 to 15.000 Above 15.
24% 7¶Up are available in the outlet.18% Mountain Dew are available in the outlet. 12% and 8% Mirinda and Mirinda(L) soft drinks are available in the outlet. 64 . 16% Slice are available in the outlet because it is a Mango flavors soft drinks. 3.Q.Which brands of soft drinks are available in the outlet? Soft Drinks Pepsi cola Mirinda Mirinda (l) 7¶UP Slice Mountain Dew Available in the Outlet 22% 12% 8% 24% 16% 18% Total 100% Soft drinks are available in the outlet 18% 22% Pepsi Cola Mirinda Mirinda (L) 16% 12% 7 Up Slice 8% 24% Mountain Dew It has been found that 22% Pepsi Cola soft drinks are available in the outlet because the taste of the soft drinks is very sweet so mostly customer prefer Pepsi Cola.
65 . When a customer comes to your shop which brand of soft drinks He/she demands? (Rank them). 4. 38% customer demands Coca Cola because the product sweet is minimum amount and mostly like sugar Patient and 16% customer demand other Brand (Rank them).Q. Brand of soft Drinks Pepsi Coca cola Other Total Respondents 46 38 16 100 Percentage 46% 38% 16% 100% Brand of soft drinks customer demands(Rank them) 16% 46% Pepsi Coca Cola Others 38% It has been found that 46% customer demand Pepsi because the product of the Pepsi brand is very sweet and Mango flavor product Slice mostly children like.
50 carets 50 to 100 carets 100 to 150 carets 150 to 200 carets 42% It has been found that 42% Retailers told that 100 -150 number of carets sold in per month because they Retailers belongs to very crud area so customer also be use the soft drinks.Number of carets sold per month of soft drinks.Q. 66 .100 carets sold in per month and 4% retailers told that 0-50 number of carets sold in per month because they retailers also belongs to ruler area. 5. 32% retailers told that maximum 150-200 carets sold in per month. 22% retailers told that 50. Number of Carets Sold in per month 0-50 Carets 50-100 Carets 100-150 Carets 150-200 Carets Respondent 4 22 42 32 Percentage 4% 22% 42% 32% Total 100 100% Number of carets sold in per month 4% 32% 22% 0 .
Q . 42 % delivery of Pepsi products are good .What is the position delivery of Pepsi products? Position Delivery of Pepsi product Very Good Good Bad Worst Total No. of Respondent 30 42 18 10 100 Percentage 30% 42% 18% 10% 100% Position delivery of Pepsi products 10% 30% 18% Very Good Good Bad Worst 42% It has been found that 30 % delivery of Pepsi products are very good .6. 67 . 18% delivery of Pepsi product are bad and 10 % delivery of Pepsi product are worst .
What is the frequency of the visit of Pepsi executive? Frequency of the Visit of Pepsi Executive No. 34 % distributor visit of Pepsi executive ³Alternate Day´. 22% distributor visit of Pepsi executive ³Weekly´ and 14% distributor visit of Pepsi executive ³Fortnightly´. 68 . 7. of Respondent Daily Alternate Day Weekly Fortnightly Total 30 34 22 14 100 Percentage 30% 34% 22% 14% 100% Frequency of the visit of Pepsi executive 14% 30% 22% Daily Alternate Day Weekly Fortnightly 34% It has been found that 30 % distributor visit of Pepsi executive ³Daily´.Q.
Q.8.Which types of outlets are selling more?
Types of outlets General Store Restaurant Betel Shop Sweet Shop Other Total
No. of Respondent 24 14 10 36 16 100
Percentage 24% 14% 10% 36% 16% 100%
Types of outlets
General Store Restaurant Betel Shop Sweet Shop Other
14% 36% 10%
Out of 100 respondents I found 36 % sale of Pepsi on sweet shops that are maximum because every sweet shop use the Visi ±cooler for the own product protection and a lot of customer want to more cool soft drinks. 24% sale of Pepsi on the general store, 14% on the restaurants because a lot of customer prefer take drink in restaurant because that place is very peace, 10 % on the Betel shop and 16 % sales on the others shops respectively. Example-Medical Store, Cyber Café.
Q .9.Which factors affect the sale most?
Factors affect the sale
Advertisement Scheme Presence Taste Price Others Total
No. of Respondent
16 12 16 30 14 12
16% 12% 16% 30% 14% 12%
Factors affect the sale
Advertisement Scheme 12% Presence Taste Price 16%
It has been found that there are various factors affect the sale of the Pepsi product, 30% respondent say that Taste is most factors of the product sale because the Taste of the Pepsi product is very highly sweet, 16 % of the respondent says that Advertisement and Presence is also a factor of the Pepsi product, 14 % respondent say that price is also factor of the sales the product and 12% respondent say that scheme and others factor also affect the sale of the product.
Q. 10.Which Company Visi-Cooler do you have?
Company Visi -cooler
Pepsi Coca Cola Both Own
No. Of Respondent
38 24 22 16
38% 24% 22% 16%
16% 38% 22% Pepsi Coca Cola Both Own 24%
It has been found that 38 % retailers told Pepsi company Visi-Cooler use for the Soft drinks because visi-cooler also provided by the Pepsi company.24 % retailers told Coca Cola Company Visi-cooler use for the soft drinks , 22% told that both Visi-cooler use because the shop of the retailers is very big area ,16% retailers told me own Visi-cooler use for soft drink.
Flavors Pack &Wholesale Price Yes No Total No.Q. 11. 72 . 40% retailers said that ³No´ Know about the all flavors pack & wholesale price.Do you know about all flavors pack (size) and respective wholesale price Pepsi soft drinks. of Respondent 60 40 100 Percentage 60% 40% 100% Know about all flavors pack & Wholesale price 40% Yes No 60% It has been found that 60% retailers said ³Yes´ know about the all flavors pack & wholesale price of Pepsi soft drinks because retailers also sold the product in the market daily on the price list .
26% retailers said that company not be provide the sign board . those retailers use own display rack /sign board for the basically need. Have you been provided with sign board/display rack by Coke Company? Provide Sign board / Display Rack By Company Yes No Total No.Q . of Respondent 74 26 100 Percentage 74% 26% 100% Provid with sign board/display rack by Coke Company 26% Yes No 74% It has been found that 74 % retailers said that company also provide the Sign board / Display rack by coke company because sign board also use for the protect the product in a shop. 12. 73 .
74 .Q.13. of Respondent 54 46 100 Percentage 54% 46% 100% Advertising help in increase the sales volume of Cola .Do you think that aggressive advertising further help you to increase the sales volume of Cola? Important of Advertising Increase the sales Yes No Total No. 46% 54% Yes No It has been found that mostly 54 % distributor say ³Yes´ advertising help in increase the sales volume of cola because advertisement is the base of the product introduce first time in the market and 46 % distributor say ³No´ advertising help in increase the sales volume of cola.
y It has been found that 12% Distributor/Retailer are monthly sales (Rs)Less than 5000. Example-Medical Store. 34 % distributor visit of Pepsi executive ³Alternate Day´.It has been found that 32% percent retailer know about the Pepsi product through the TV. 46 % retailer know about the Pepsi product through the Radio . 10000 to 15000 and 32% Distributor / Retailer are 75 .FINDINGS OF THE STUDY y Out of the 100 respondent . y It has been found that there are various factors affect the sale of the Pepsi product. Cyber Café. 16% Slice are available in the outlet because it is a Mango flavors soft drinks.6% of the retailer know about the product through the friends and 4% retailer know about the product through the other things . 16 % of the respondent says that Advertisement and Presence is also a factor of the Pepsi product. y It has been found that 22% Pepsi Cola soft drinks are available in the outlet . y Out of 100 respondents I found 36 % sale of Pepsi on sweet shops that are maximum. y It has been found that 30 % distributor visit of Pepsi executive ³Daily´. 24% sale of Pepsi on the general store. 22% distributor visit of Pepsi executive ³Weekly´ and 14% distributor visit of Pepsi executive ³Fortnightly´. 14% on the restaurants . 12% of the retailer know about the product through the Newspaper . 30% respondent say that taste is most factors of the product sale because the Taste of the Pepsi product is very highly sweet. 14 % respondent say that price is also factor of the sales the product and 12% respondent say that scheme and others factor also affect the sale of the product. 12% and 8% Mirinda and Mirinda(L) soft drinks are available in the outlet. 40 % Distributor / Retailer are monthly sales (Rs) monthly sales (Rs) above 15000. 10 % on the Betel shop and 16 % sales on the others shops respectively.18% Mountain Dew are available in the outlet. 24% 7¶Up are available in the outlet. 16% Distributor / Retailer are monthly sales (Rs) 5000 to 10000 .
24 % retailers told Coca Cola Company Visi-cooler use for the soft drinks . It has been found that 60% retailers said ³Yes´ know about the all flavors pack & wholesale price of Pepsi soft drinks because retailers also sold the product in the market daily on the price list . 40% retailers said that ³No´ Know about the all flavors pack & wholesale price. those retailers use own display rack /sign board for the basically need. It has been found that mostly 54 % distributor say ³Yes´ advertising help in increase the sales volume of cola because advertisement is the base of the product introduce first time in the market and 46 % distributor say ³No´ advertising help in increase the sales volume of cola. y y y 76 . 22% told that both Visi-cooler . It has been found that 74 % retailers said that company also provide the Sign board / Display rack by coke company because sign board also use for the protect the product in a shop.26% retailers said that company not be provide the sign board .16% retailers told me own Visi-cooler use for soft drink.y It has been found that 38 % retailers told Pepsi company Visi-Cooler use for the Soft drinks .
Suggestions & Recommendations .
should introduce some change in its marketing function and advertising to market more rational. retailers/customers can write their problems. Claim of scheme should be passed after the deeply stud y of above three points i. 3. 4. A clear notification should be given to teach distributor and each route agent to give cash memo (with printed number) and maintain route card for every transaction. while is provided by the company. Signature of scheme receiving on the cash memo should be taken and it should be also maintained in route card.Suggestions & Recommendations Lumbini Beverages Pvt. in the peak seasons After the checking of Pepsi¶s Fridge (3or 4 times in every month ) if It is found that retailer does not keep other companies products in the Pepsi¶s Pepsi fridge the claim of scheme should be passed . The following factors to be worthy of consideration:1. Thus we can improve/increase its sell and employee¶s activities. Proper care should be given the company¶s employees at the time of scheme close. A complain Register should be provided by the company to every distributor in every route so that. 2. Some retailers keep other companies products in the Pepsi¶s fridge. There is no electricity problem in the whole area of Patna. difference between opening stock and closing. 5. Ltd. For chilled soft drink. To check additional scheme be given in every month.e. The complain register should be checked by consumer executive and depot in charge at time to time. ice box which is compulsory and dredge both should be provided by the company. signature of scheme receiving on the cash memo and sells maintained in the route card. 77 .
should think of introducing such packs Beaver its various brands of beverages . Facilities requirements should be fulfilled in all the rural and urban area properly after deeply study for various aspects or retailers by the help of company employee and depot incharge. So it is required to short the route and extra vehicles/tricycles provide in this route. The numbers of outlets are too much. 13. 9. should think of introducing such packs of its various brands of beverages. Tree Top etc. Facilities provided by the company should be increased. Now a day with the introduction of tetra packs such as fruity. An appropriate name should be given to these tricycles and properly advertisement thus giving them some sort of identity. Ltd. Ltd. as the sales from these tricycles may be very low because of seasonal factors Beverages Pvt. 78 . 7. 12. In winters.6. It is vital take for ³Lumbini Beverages Pvt. 8. 10. So Lumbini Beverages Pvt. that maintain the performance of Pepsi in future therefore performance of soft drink was very good in this year in comparison of coke. Ltd. 11. Lumbini beverages Pvt. Ltd. should be provided it¶s the rural area also. The vendors can also be provided with uniform by the company in order to give them visibility.
LIMITATIONS As I was asked to carry on my vocational training I found the following limitations during my training period. (iii) All the observation and recommendation will be made on the feed back Obtained from survey. (i) (ii) Shortage of time factor was one of the biggest constraints. So I could not collect all information regarding my topic. Most stress was given on the primary data as it was difficult to collect secondary data from the organization and distribution since it is difficult to ascertain the authenticity of their statements. 79 .
they should contribute me and communicate to the retailers. (4) The major problem faced by the distributor is the shortage of supply particularly pets.e. complaints regularly. 80 . Ltd. which sell less. Cola. (5) Distributor functions just as order takes. From the data analysis and survey conducted by me. (3) One of the major drawbacks of Pepsi products is that all the flavors do not reach at each and every retail outlets but competitors products do reach that is why competitor enters in to Pepsi exclusive outlets . some retailers.Conclusion In the earlier chapters of this report on various aspects of soft drinks industry with particular reference to establishment of µ¶Lumbini Beverages Pvt. etc have been studied Present chapter is an attempt to summaries the whole report and present a view suggestion. (8) There is irregular in the supply of Visi-cooler. (9) Some of the Visi-cooler provided by Pepsi is not functioning properly. Sign board/Display rack and Glass strength provided by Pepsi are more than Coke but still there are number of retailers. are provided visi. (7) Although the Visi-cooler. Ltd. which sell more are not provided Visi-cooler which some retailers.¶¶ Its organizational structure and channel of Distribution Lumbini Beverage Pvt. who are either not having these or others have provided them . Mango in the market and its market share is comparatively more than Coke. (6) It should be checked that whether our products is reaching to the outlets timely and regularly or not. I arrived at the following conclusions:(1) Pepsi has the entire flavor i. are entertained after a long time.cooler. Orange. (2) The majority of the retailers deal in all brands of Pepsi and Coca-Cola. Leman.
(10) Most of the retailers are in need of board but not provided by the Pepsi Company. 81 . (12) The big retailers of Pepsi do not maintain the purity in the Visi-cooler and dictate their own terms and conditions. (11) Most of the retailer¶s especially small retailers have complained that the sales man doesn¶t inform about any sales promotional scheme.
SEARCH ENGINE www. Kotler. MAGAZINES 3. New age International Publishers. Kothari. Philip.pepsico.R. Pearson Education. New Delhi..com WEBSITE www.com 82 . 2008.google. C. Second Revised Edition. December. November. November. ³Research Methodology. December Edition. 2. Business world. ³Marketing Management´. Competition Success Review.Bibliography BOOKS 1.12th edition. 4.
.....50 carets (c) 100 to 150 carets (a) Very Good (c) Bad (a) Daily (d) Fortnightly 83 (b) 50 to 100 carets (d) 150 to 200 carets (b) Good (d) Worst (b) Alternate Day (c) Weekly (b) Coca Cola (6) What is the position delivery of Pepsi products? (7) What is the frequency of the visit of Pepsi executive? .... Contact No: -««««««««««««««««««««««....000 (3) Which brands of soft drinks are available in the outlet? (a) Pepsi Cola (c) Mirinda (L) (e) Slice (b) Mirinda (d) 7¶Up (f) Mountain Dew (4) When a customer comes to your shop which brand of soft drinks He/she demands? (Rank them). (1) How you came to know about Pepsi Brand Products? (a) TV (d) Friends (b) Radio (e) other (c) Newspaper (2) Monthly sales (in Rs.000 (d) Above 15... Address: ..«««««««««««««««««««««««««««««..««««««««««««««««««««««««««««.QUESTIONNAIRE Name: . (a) Pepsi (c) Others (5) Number of carets sold per month of soft drinks........000 (b) Between 5000 to 10.000 to 15. (a) 0 ..... ««««««««««««««««««««««««««..) (a) Less than 5000 (c) 10.
. (a) Yes (a) Yes Volume of Pepsi? (a) Yes (14) ( b) No (b) No (b) No (12) Have you been provide with sign board/display rack by Coke Company? (13) Do you think that aggressive advertising further help you to increase the sales (b) Scheme (d) Taste (f) Others (b) Coca Cola (d) Own (b) Restaurant (d) Sweet Shop (10) Which company Visi-Cooler do you have? (11) Do you know about all flavors pack (size) and respective wholesale price Pepsi Any Suggestion on the Pepsi brand««««««««««.. ««««««««««««««««««««««««««««««««« ««««««««««««««««««««««««««««««««« ««««««««««««««««««««««««««««««««« 84 .....(8) Which types of outlets are selling more? (a) General Store (c) Betel Shop (e) Other (9) Which factors affect the sale most? (a) Advertisement (c) Presence (e) Price (a) Pepsi (c) Both soft drinks.........
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