Title: - Execution mapping in Red-outlet of Coca-cola

Coca-Cola India division, Gurgaon

Manufactures Concentrate, Beverage base and Syrup

Regional Bottlers Manufactures finished Bottles/Cans/Fountain Syrup

COBO/FOBO

Customers

Consumers

A typical distribution chain at HCCBPL would be:

Production --- Plant Warehouse --- Depot Warehouse --- Distribution Warehouse --- Retail
Stock --- Retail Shelf --- Consumer
The customers of the Company are divided into different categories and different routes, and
every salesman is assigned to one particular route, which is to be followed by him on a daily
basis. A detailed and well organized distribution system contributes to the efficiency of the
salesmen. It also leads to low costs, higher sales and higher efficiency thereby leading to higher
profits to the firm.

DISTRIBUTION ROUTES
The various routes formulated by HCCBPL for distribution of products are as follows:
  Key Accounts: The customers in this category collectively contribute a large chunk of
the total sales of the Company. It basically consists of organizations that buy large
quantities of a product in one single transaction. The Company provides goods to these
customers on credit, payments being made by them after a certain period of time i.e.
either a month of half a month.
Examples: Clubs, fine dine restaurants, hotels, Corporate houses etc.

 Future Consumption: This route consists of outlets of Coca-Cola products, wherein a

considerable amount of stock is kept in order to use for future consumption. The stock
does not exhaust within a day or two, instead as and when required stocks are stacked
up by them so as to avoid shortage or non-availability of the product.
Examples: Departmental stores, Super markets etc.

 Immediate Consumption: The outlets in this route are those which require stocks on a
daily basis. The stocks of products in these outlets are not stored for future use instead,
are exhausted on the same day and might run a little into the next day i.e. the products
are consumed at a fast pace.
Examples: Small sized bars and restaurants, educational institutions etc.

 General: Under this route, all the outlets that come in a particular area or an area along
with its neighboring areas are catered to. The consumption period is not taken into
consideration in this particular route.

DISTRIBUTION SYSTEM
  Direct distribution: In direct distribution, the bottling unit or the bottler partner has
direct control over the activities of sales, delivery, and merchandising and local account
management at the store level.

 Indirect distribution: In indirect distribution, an organization which is not part of the

Coca-Cola system has control on one or more of the distribution elements (Sales,
delivery, merchandising and local account management)

 Merchandising: Merchandising means communication with the consumer at the point of

purchase to convey product benefit, value and Quality. Sales people and delivery
personnel both have this responsibility. In certain locations special teams who go into
business locations to specifically merchandise our products.

DEPARTMENTS INVOLVED IN THE DISTRIBUTION PROCESS

The Distribution process mainly consists of three departments:

 Distribution Department: It appoints distributors and establishes a distribution network,

processes approved sale orders and prepares invoices, arranges logistics and ship
products, co-ordinates with distributors for collections and monitors distribution stocks
and their set-up.

 Finance Department: It checks credit limits and approves sales orders in compliance
with the credit policy followed by the firm, records collections from distributors,
periodically reconciles outstanding balances from distributors, obtains balance
confirmation from distributors and follows up outstanding balances.
Shipping or Warehousing Department: It dispatches goods as per approved by order, ensures
that stocks are dispatched on a FIFO basis, ensures physical control over load out area and
updates warehouse stock records in a timely manner.

MISSION, VISION AND VALUE :-

O
ur mission, vision and values outline who we are, what we seek to achieve, and how we want to
achieve it. They provide a clear direction for our Company and help ensure that we are all
working toward the same goals.

 OUR MISSION

Our mission declares our purpose as a company. It serves as the standard against which we
weigh our actions and decisions. It is the foundation of our Manifesto.

To refresh the world in body, mind and spirit.

To inspire moments of optimism through our brands and our actions.

To create value and make a difference everywhere we engage.

 OUR VISION

Our vision guides every aspect of our business by describing what we need to accomplish in
order to continue achieving sustainable growth.

People: Being a great place to work where people are inspired to be the best they can be.
Portfolio: Bringing to the world a portfolio of quality beverage brands that anticipate and satisfy
people's desires and needs.
Partners: Nurturing a winning network of customers and suppliers, together we create mutual,
enduring value.
Planet: Being a responsible citizen that makes a difference by helping build and support
sustainable communities.
Profit: Maximizing long-term return to shareowners while being mindful of our overall
responsibilities.

Coca-Cola is guided by shared values that both the employees as individuals and the Company
will live by; the values being:

 LEADERSHIP: The courage to shape a better future

 PASSION: Committed in heart and mind

 INTEGRITY: Be real

 ACCOUNTABILITY: If it is to be, it’s up to me

 COLLABORATION: Leverage collective genius

 INNOVATION: Seek, imagine, create, delight

 QUALITY: What we do, we do well

FIGURE 2: VISION FOR SUSTAINABLE GROWTH
 Chapter 2
 Competitors to HCCBPL
 Customer

 Organization Chart
 COMPETITORS TO HCCBPL

The competitors to the products of the company mainly lie in the non-alcoholic beverage
industry consisting of juices and soft drinks.

The key competitors in the industry are as follows:

:
 PepsiCo: The PepsiCo challenge, to keep up with archrival, the Coca-Cola Company
never ends for the World's # 2, carbonated soft-drink maker. The company's soft drinks
include Pepsi, Mountain Dew, and Slice. Cola is not the company's only beverage;
PepsiCo sells Tropicana orange juice brands, Gatorade sports drink, and Aquafina water.

 PepsiCo also sells Dole juices and Lipton ready-to-drink tea. PepsiCo and Coca-Cola hold
together, a market share of 95% out of which 60.8% is held by Coca-Cola and the rest
belongs to Pepsi.
 Nestlé: Nestle does not give that tough a competition to Coca-Cola as it mainly deals with
milk products, Baby foods and Chocolates. But the iced tea that is Nestea which has been
introduced into the market by Nestle provides a considerable amount of competition to the
products of the Company. Iced tea is one of the closest substitutes to the Colas as it is a
thirst quencher and it is healthier when compared to fizz drinks. The flavored milk
products also have become substitutes to the products of the company due to growing
health awareness among people.

 Dabur: Dabur in India, is one of the most trusted brands as it has been operating ever
since times and people have laid all their trust in the Company and the products of the
Company. Apart from food products, Dabur has introduced into the market Real Juice
which is packaged fresh fruit juice. These products give a strong competition to Maaza
and the latest product Minute Maid Pulpy Orange.
ORGANIZATION STRUCTURE OF THE SALES DEPARTMENT

Chapter 3
 Segmentation Model
 What is red account?
 Review of literature
SEGMANTATION MODEL

Chapter 3

 Production process
 Product range
 Pack profile
 Product
Outlet Structure of the Coca Cola in India
The outlets can be classified as per three criteria :

 Consumption Pattern
 Volume Pattern
 Shoppers Profile

SEGEMENT
A) E & D
B) Convenience
C) Grocery

A) E&D:–
Those outlets where people visit to ear of drink are known and eating and drinking
outlets. Such as Restaurants and Hotels, D habas.

B) Convenience : –
Convenience outlets ate those outlets where people visit regularly for various purposes
like stationary shop, S.T.D – Booth, Betal Shop and general Store.
C) Grocery : –
Those outlets where people visit to purchase food grains and any of such things for future
consumption and called as Grocery shops.
Based on Volume Pattern

According to the volume sale in the outlets the company has adopted a unique policy of
categorizing the outlets in four different segments such as:
 DIAMOND
 GOLD
 SILVER
 BRONZE
DIAMOND

Those outlets, which give an annual sale of Coca - Cola products more than 800 carats.

GOLD
Those outlets, which give an annual sale of Coca - Cola products less than 200 carats

SILVER
Those outlets, which give an annual sale of Coca - Cola products between 200 to 499 carats.

BRONZE
Those outlets, Which give an annual sale of Coca':-Cola products less than 200 carats

RED: A RIGHT EXECUTION DAILY

1.CONCEPT OF RED:
Hindustan coca cola Beverages pvt.Ltd. India division Under Eurasia Operating Group has
been working on RED i.e.Right Execution
Daily Since FEB 2006.
Coca cola company believes that its success depands on their ability to connect with
consumer by providing them with a wide variety
of choices to meet their desire,needs and lifestyles choices,company
success futher depands on the ability of their people by execute effectively every day.

2.MEET COCA COLA CUSTOMER:

World wide the coca cola company is no.1 in sales of sparkling
Beverages & juices Drink, as well as no. 2 in sales of soft Drink & no
3 in sales of Bottled Water. It’s our customers that are largely responsible for this unrelenting
success.
Who are the customers?
Coca cola customers are grocery stores, restaurants, streets, vendors, mass merchandisers,
conveniences stores drug stores, movie theaters, & amusement parks-among others.

What do they do!

Coca cola customer sells its products to consumers & shoppers, who enjoy the
products at a rate of 1.5 billions servings a day.

Why is their role important?

Coca cola customers make it possible for consumer & shoppers in local communities around
the world to purchase & its broad purchase & enjoy its broad poatfolio of quality beverages.

1. Market segmentation under RED.

Coca cola company’s market can be segmented in RED along 3 lines- channel cluster, outlet
volume and locality income.

Number of shoppers or consumer in the given universe.

Coca cola attract the population by executing the following activities.
 Bringing the cooler at the entrance.
 Fixing the standee, sign at the entrance.
 Fixing the combo Board at the entrance.

How coca induce for the incident?

 BY putting cooler in prime position.
 By keeping the cooler pure & clean.
 By doing Rack Display.
 By fixing combo Board.
 By doing Table activation.
  Counter Top Display.

Outlet Activation According to RED (Right Execution daily)

RED (Right Execution Daily):

It means to maintain the visional according to a fix set of coke product which is known as
COLOJ-K, it means the set will follow a particular brand order. Thums-Up will take first place
after t.4.at sprite or Limca , Fanta, Maaza and water or soda will take this RED also take care of
the S.G.A ( Sells Generating Assets)
Activation - Activation means doing things in and around the coke outlet that triggers
Consumption / Purchase of Coca-Cola Products.
The important parts of activation are:
 Placement of visicooler at Itot spot location Availability of the products.
 Right location of display racers
 Impactful Communication of price message
The visicooler standards of all the channels

Low Medium High

Diamond 20c/s 20c/s 20c/s
Gold 7c/s 9c/s 9c/s
Silver 4c/s 4c/s 7c/s
Bronze Ice Box Ice Box Ice Box

To measure the impact of Right Execution Daily (RED) a survey is done by A.C. Nielsen (a
consultant) every month. A.C. Nielsen conducts a survey by visiting all the RED activated
outlets and benchmarks it on the prescribed Merchandising standards of RED. A monthly report
is send to Hindustan Coca- Cola Beverages Private Limited. The report is called as

To create the Red Report A.C. Nielsen asks a set of question from the retailers which are as
follows:
Related to Visicooler:

 Is Cooler in the Hot Spot Location?

 Does it have all the products of Coca-Cola available?
 Is the display of the Coca-Cola display of the products in a standard such as sprite,
Thums up, Maaza, Fanta and Limca",)
 Is coler working properly?
 Is the cooler pure?

Related to Price Communication:

 Is there proper price display of the products?

Related to product availability:

 All the brands should be present in the every distribution channel but main concern is that
300 ml should be present in the every channel and 600 m1 and 1.5 litters per bottles
should be present in the Eating and. drinking, convenience and Grocery shop.

REVIEW OF LITERATURE
A literature review discusses published information in a particular subject area, and sometimes
information in a particular subject area within a certain time period.
A literature review can be just a simple summary of the sources, but it usually has an
organizational pattern and combines both summary and synthesis. A summary is a recap or the
important information of the source, but a synthesis is a re-organization, or a reshuffling, of that
information. It might give a new interpretation of old material or combine new with old
interpretations. Or it might trace the intellectual progression of the field, including major debates.
And depending on the situation, the literature review may evaluate the sources and advise the
reader on the most pertinent or relevant.
Purpose of review of Literature is to provide a backdrop of the present study. It is the context to
wfi1ch our present study can be referred to determine its relevance
 Chapter 4
 Objective of study
 Scope of study
OBJECTIVE OF THE STUDY

1) To know the reason behind low RED (Right Execution Daily) score.
2) To know the availability of activation element in RED outlet.
3) To know the problem in the distribution of activation element.
4) To identify suitable activation element according to the outlet's location.
5) To know the impact of activation element on sell when keep it outside.
6) To know the impact of activation element on customer.
7) To help M.D. (Market Developer) in outlet activation.

SCOPE OF THE STUDY

1. The main scope of study is to understand the impact of S.G.A (Sells

Generating Assets) on sell.
2. To increase RED score of the outlet.
3. To fill the gape of activation element in different RED outlet.
4. To make a platform for market developer to work on difficult RED outlet.'
5. To analyze the work of the market developer.
 Chapter-5
 Research Methodology
 Limitation
 Observation

 Problem
 RESEARCH METHODOLGY

The methodology used to analyze the project is mainly based on survey method and this survey
was conducted through Questionnaires and it also include direct contact with grocery retailer,
convenience store, eating and drinking and consumer.
For survey sample size was taken from different location of Patna and it was coveted with the
help of market developer and key account manger of the Hindustan Coca-Cola Beverage Private
Limited.
The sample collected from two hundred fifty outlet of ;leach Grocery, Convenience and Eating
& Drinking. So total size of the sample ~as five hundred. The number of interviewed was four
hundred.

Research design:
A research design is purely and simply the work or plan for a study that guides the
collection and analysis of the data. I have chosen descriptive research design for study

Sampling:
Sampling studies are becoming more and more popular in all types of mass study. The
result of sampling has attained a sufficiently high standard accuracy.

Sample Design: Non random sampling

Size of sample: 250

SOURCES OF DATA COLLECTION

The data are collected from primary and secondary sources.

 PRIMARY SOURCES
  Gather information through Questionnaire.
 Direct interview with Grocery outlet, Convenience store, Eating and drinking and
consumer.

 SECONDARY SOURCES
1. Internet Sites - www.google.com,
www.Coca-Cola.com,
www.wikipedia.com,
www.coca-colaindia.com
2. Activation booklet of the coca-cola.
3. RED tracker of the market developer.
4. Magazines - Business World Management and Technology
LIMITATIONS

Although all efforts have been taken to make the results of survey as accurate as possible but the
survey suffers from the following limitations:
1) The time period of study was only for two month so it was not possible to cover all
the areas and go into the depth of the problem and make analysis.
2) The area of survey was Patna district and it was concentrated on urban area only.
3) The psychological condition varies from place to place because in many places outlet
owner was not supportive.
4) The training was carried on in the peak season so market developer was not so
supportive.
5) Some respondents left some of the questions unanswered either due to inability to put
a strain on mind or they did not know the answer.

OBSERVATION
1) To collect order each and every outlet.
2) To cheque visi-cooler with 100% purity.
3) To see a soft drink in Brand Order.
4) To see every outlet is this soft drink present in display rack.
5) To see every outlet visi- cooler will present in prime location.
6) To visit every outlet in regular basis.
7) To go every outlet and listen any problems in visi- cooler and soft drink to be noted in
complaine diary.
8) To see each and every outlet worked in better condition.
9) To see as a Market developer (M.D) every outlet full fill in terms and conditions with
visi-Cooler.
10) To see as a Market developer (M.D.) if any outlet will not selling your product than
you asked why you are not selling in my product. Then you give advise to outlet.
PROBLEM

1. Lack of pure visicooler .Purity level is worse condition because lean season.
2. Activation Problem.
3. During lean season there is lack of special offer to promote selling.
4. Availability standard in outlet is not according to terms and conditions of the company.
5.There is number of unsatisfied red outlet with admission .
6.M.M.P.O is vanished from outlet.
7. Pepsico product is main competitor in market.
8. In most outlet kinley water and soda is least preferred brand.
Chapter 6
 Data analysis
 Finding
 Suggestion
 DATA ANALYSIS AND FINDING

Questionnaire

Outlet Type : E & D Grocery Convenience

Outlet Owner : ……………………................ Location : …………………………..
MD Name. : …………………………………. Contact NO…………………………

ACTIVATION
1. Number of outlets needs activation elements?

Activated= 190 Not activated=60

ACTIVATION
YES No

24%

76%
 BRAND ORDER

2. Number of outlet following brand order?

Brand order-168 No Brand order-82

 PURITY

3. Number of outlets having purity?

Pure- 172 Unpure-78

 PRIME POSITION
4. Number of outlet located at prime position?

Prime position-167 No prime position-83

 .

TRADE CHANNEL

5. Distribution of trade channel

Convenience- 206 Grocery- 16 E&D- 28

 VISI COOLER

6. Distribution of Visi cooler in the market

2vc- 4, 4vc- 28, 7vc- 100, 9vc- 101, 11vc- 11, 20vc- 2, 30vc- 0
 VISI COOLER
2vc 4vc 7vc 9vc 11vc 20vc 30vc

1% 2%
0%
4% 11%

41%

41%

VPO CLASS

7. Volume wise distribution

Diamond-57, Gold- 56, Silver- 135, Bronze- 2

 GOD REQURIED

8. Number of outlet need glass order demand

God required- 231 No required- 24

 FINDINGS
o 76% outlet from the sample of 250 outlets which have sufficient activation
elements but remaining 24% outlets are not fully activated.
o In our study it is revealed that 67% from the selected outlet follow the Brand
Order COLOJ-K, but remaining 37%are not following the brand order.
o 69% of visited outlet, visi cooler are pure i.e. in visi cooler only the product of
Coca cola are placed and 31% of outlets don’t keep visi cooler pure.
o 67% of visi cooler are at prime position where consumer can see our product and
choose as per there need.
o 83% outlets are convenience store, 11% are under the E&D and remain under 6%
are glossary shop.
o 41% of outlets are having 7vc, 41% of the total outlets having 9vc, 4% outlets
have 11vc, and few outlets have 2vc and 20vc.
o 54% market cover under the silver categories where as remaining 23%, 22%, 1%
are under diamond, gold, bronze respectively.
o 91% outlets don’t have a sufficient number GOD that they can create stock pile
according to the visi coolers provided to them and 9% are those outlets which
have sufficient number of GOD.
 SUGGESTION

 We must visit all RED outlets where the activation elements are missing and it must be
activated immediately.
 We must visit all those outlets and arrange the product according to COLOJ-K where are
products are not placed in the visi cooler according to COLOJ-K.
 All the MD needs to visit all the red outlets regularly to keep the visi cooler pure.
 Prime position of visi cooler enhances the visibility of the product which help consumer to
choose the product and some times it influences the customers to switch over from similar
product.
 We should try the increase sell of outlets so that maximum outlets convert into upgrade class.
 We need to put effort to increase the required number of GOD as per the visi cooler size that
they can keep 3day stock to meet the demand.
 Chapter 7
 Conclusion
 Recommendation
 Conclusion

 Coca-Cola is the leading soft drink brand in Patina region & most selling brand in the
region is Thumps Up, Sprite and Maaza.

 According to most of the outlet owners the product which is seen is sold i.e. "Jo Dikhta
Hai Woh Bikta Hai".

 Prime position of Visi-cooler outside the outlet plays an important role in the selection of
the soft drink by customer.

 Few activation elements like Table Top, Glow Shine Board, Hanger; Road Stand plays a
major role in increasing sell of the soft drink.

 Supply of product as well as stock keeping unit is not up to the mark

 Recommendation
We can sum the recommendations in brief as follows :
 Aggressive Marketing
 Regular visit to distributors
 Sales promotion and advertising to be made more frequent for brand building .
 Communications should be improved. Fulfill the Demand of product by company . In the
field’s sales situation. Sales persons work independently and away from the office .
 Good communication requires interaction between those preparing and those receiving
reports. A good sales reporting system provides both for communication from the field to
office and form office to the field.
Sales reports provide data for evaluating performance.
 Company should make plans for better performance to the sales man.
 Company should be implement the customers suggestions and complaints about products,
service policies, price changes, advertising companies etc.
 Company should gather information of competitor’s activities. Transportation confers
time utility and place utility to the product. It determines the company’s customer
service; it has also crucial bearing on the other elements of physical distribution and
marketing.
 Chapter 8
 Executive summary
 Bibliography
 Annexure
 EXECUTIVE SUMMARY

Over the last few years hundreds of companies have greatly improved their performance &the
graph of growth through superior sales promotion services. Today many companies are building
on these foundations and are tuning their products in Soft drink segment into a formidable
competitive weapon. Sales Promotion services have become a subject of huge interest in recent
years.
Sales Promotion Services is growing because:
 In the face of ever increasing competition in organizations feel it is important to build
reliable & sustainable processes with focus on strong relationships with customers.
 Significant revenue & profit gains can be made from successful Sales Promotion
Activities that improve efficiency & help serve customers better & faster.

The different distribution channels are as follows:"

1. Eating & Drinking 2. Convenience 3. Grocery
 Activation is the key part of coca-cola marketing strategy
 Company believes that soft drink sell is not a planned sell it's a impulse buying, and
activation create impulse for buying
 For improvement of Coca-cola market, a proper research work has done.

Sales Promotion Strategies are offering new & better ways of addressing industries
objectives.

Coca-Cola has developed a unique sales promotion strategy that offer a unique way to increase
the sales of the soft drink.
 BIBILOGRAPHY

Reference:

Books Authors
Marketing Research :Naresh Malhotra
Marketing Management :Philip Kotler
Research Methodology :C. R. Kothari

Websites :
www.quickmba.com
www.indiacom.com
www.yellowpages.com
www.coca-colaindia.com
 ANNEXURE
Questionnaire

Outlet Type : E&D Grocery Convenience

Outlet Name : ……………………................ Location : …………………………..
MD Name………………………………

1. Visi cooler size?

a. 4vc d. 11vc
b. 7vc e. 20vc

c. 9vc f. 30vc

2. VPO class?

a. Bronze c. Silver
b. Gold d. Diamond

3. Location of SGA?
i. Prime
a. Yes
b. No

4. Brand order
a. Yes
b. No
 Purity?

a. Yes
b. No

5. Activation element available?

a. Yes
b. No

6. Number of god?

………………………………………

7. Per day selling?

………………………………………………………….

8. Do you agree that RED helps in “Developing a better market by developing an outlet”?

a. Yes
b. No

9. our Comment on RED

…………………………………………………………………………………………………………………………
……………………………………………………………………………………
………………………………………………………………………………………………………
………………………………………………………………………………………………………
48