Assignment on


Mr. Ishaq Shaikh
(Course In charge Principal of Marketing)

Prepared by




We would like to express our whole hearted thanks to Almighty Allah by whose grace & blessings we have the knowledge, insight and opportunity to complete this report. We are great to our teacher Mr. Ishaq Shaikh for giving us a chance to make this report. We have learned a lot through our experience of visiting Continental Beverages Ltd. and gathering information for our report. Not only this, we have become more familiar with the concepts of marketing and how these concepts, which we learned in the marketing course, are being applied in the practical world. We are also very thankful to Mr. Fasyyal Iqbal Khan (Executive Director of Continental Beverages Ltd.) for his time and guidance without which our report would not have been completed. We would also like to thank all the people who guided us in making this report. We are sure that this experience and activity will prove beneficial for us in the future.




We were given the task of revitalizing a product which has not been successful to occupy its desired place in the market. We selected RC Cola to revitalize. Actually, it is not a failure product. It was failed to occupy a desired place in the market just because of the company’s financial problems. Our aim is to help Continental Beverages by giving our opinion about their marketing strategies. We have disused the segmentation, targeting and Marketing Mix for RC Cola and also gave suggestion along with it. We want to introduce RC Cola with a new packaging and image in the market. We try our best to give some promotional ideas and hope that prove to be beneficial for the company.



(Parent company of all franchises of RC Cola in Pakistan)

Since its launch in 1905, RC Cola has been a soft drink that embodies individuality and entrepreneurial spirit. RC's crisp, clean taste distinguishes it from other colas, and has become a favorite of cola drinkers throughout America. RC originated in Columbus, Ga., when a young pharmacist named Claud A. Hatcher decided to supply his family's grocery store with drinks that he produced and bottled. Hatcher called his first line of beverages "Royal Crown," and the first cola product "Chero-Cola." Other early products included Royal Crown Ginger Ale, Royal Crown Strawberry and Royal Crown Root Beer. Sales grew steadily and in 1912 Hatcher's basement bottling activities grew into the Chero-Cola Co. Sixteen years later, he renamed the company Nehi Corporation, after the successful line of fruity beverages he had developed. After Hatcher's death in 1933, Vice President H.R. Mott took control of the company and quickly streamlined operations to make the company debt-free within the year. Part of Mott's plan was the reformulation of the classic Chero-Cola into a more refreshing beverage. Chemist Rufas Kamm was given the responsibility of coming up with the new flavor, which took six months to perfect. The new cola was released to the public with the name of Hatcher's original line of beverages: Royal Crown. Royal Crown Cola was an instant sensation. RC Cola, as it is now called, was such a success that the company was eventually renamed Royal Crown Cola Co. By 1940, RC products were available in 47 of the 48 states. As RC continued to grow, it stayed true to its independent personality by producing innovation after innovation. In 1954, the company became the first to nationally distribute soft drinks in cans. Four years later, the company introduced the 16-ounce bottle. In terms of beverages, RC produced the first low-calorie diet cola (Diet Rite), the first caffeine-free diet cola (RC 100) and the first diet cherry cola (Diet Cherry RC). Other RC innovations include the all-aluminum beverage can and Royal Crown Draft cola, a premium cola made with pure sugar cane.


What's in a name? RC Cola received its name from the people who matter the most: its consumers.REPORT ON RC COLA In 1998. the first maximum-power cola containing a synergistic blend of Indian ginseng. consumers affectionately abbreviated the name to "RC. When the reformulated product was released in 1934. Drink RC. the manufacturer named it "Royal Crown Cola. a dynamic logo." As the soft drink became increasingly successful. taurine and caffeine." RC also introduced RC Edge. RC was relaunched with new packaging." IQRA UNIVERSITY . and a new tagline: "Be Free.

His family has been in this business of beverages for last 40 years. Now his younger brother also supported him in running Continental beverages. Faisal Iqbal’s younger brother came back after completing his studies from abroad. 5. the company faced some financial problems and unable to promote RC Cola. They used to supply their products to the customers in single served returnable bottles and used to collect their bottles after usage (or when they are empty). 1. they introduced RC Cola in Karachi. They suffered this unethical problem just because of Pepsi. They also faced the problem of SSRB (Single Served Returnable Bottles). Pepper ♦ Silute Orange In 1985. 2. One of his brothers is running two franchises of Pepsi. and their political activities affected the business of beverage industry.REPORT ON RC COLA HISTORY OF CONTINENTAL BEVERAGES LTD Royal Crown Cola Company has five franchises in Pakistan. one in Karachi and one in Quetta.) The Karachi franchise of RC Cola is working by the name of CONTINENTAL BEVERAGES LTD. But what happened is that Pepsi unethically started collecting IQRA UNIVERSITY . At that time they were producing two products: ♦ Dr. At that time some political parties in Karachi were very strong. The period between 1986-1996 was very difficult for the company to run the business. But after 1986. but he transferred his business to his sons due to old age. The company was not financially strong enough to face these problems. Initially Mr. Continental Beverages Ltd. Fayysal Iqbal Khan is the Executive Director of Karachi franchise. was formed in 1981. Karachi Kotri (Hyderabad) Multan Lahore and Islamabad (Kotri franchise is temporarily closed these days. At that time it was a very famous drink and holds a good share in cola market. 3. They sold some of their assets in order to pay their loans to bank and run their business. 4. Iqbal’s father used to do the business.

they had to buy new bottles from Baluchistan Glass Bottles manufacturers. it did not announce officially that they stopped their production because they want to relaunch their product. and had to pay a large amount. Continental beverages stopped their production for 2 ½ years. Due to the shortage of the empty bottles. They are already financially unstable and this unethical action also affected their production capacity. When the company stopped their production in the period between 2002-2004. IQRA UNIVERSITY .REPORT ON RC COLA their empty bottles from the market and stocking them in their godowns or warehouses. Due to this some people were misunderstanding that the drink was available in the market but cater to very lower class. Finally. In this period some people in the interior areas of Sindh started hand re-filling of RC Cola and were selling these fake bottles in the lower market. because the empty bottles were easily available. they re-launched RC Cola on 15th Feb’05 and also introduced some new products along with RC Cola. between 2002-2004.

as a result of which they left the market for 2 ½ years. but RC Cola were reluctant to do so as a result of which retailers were start keeping competitors product. If we analyze all the reason for failure. we concluded that their product was not have any problem but reason for failure was financially unstable and presence of tiger competitors like Coke and Pepsi. ♦ As a part of publicity other companies like Coke and Pepsi were giving vesicular to the retailer for storing product.REPORT ON RC COLA REASONS FOR FAILURE ♦ Main reason for failure of RC Cola was their distribution network. Initially in 1981 company started with their own distribution network and capturing the market very well but after 1986 company was unable to carry out its own distribution network as they were financially unstable so decline in the sales started which lead to failure in unavailability of product at outlets. IQRA UNIVERSITY .

But still people remember and know that there existed one Cola drink by the name of RC Cola. WEAKNESS Just because of the financial problems and unavailability of loans from banks. A single manager looks after more than one department like. It is strength for the company. It is very easy to over head or look after the plant.At that time RC Cola hold a very handsome share in the market and people used to drink it.REPORT ON RC COLA SWOT ANALYSIS The analysis of the internal and external environment is integral for determining the company’s strategic standpoint and potential for success regarding the product.34 acres). As in the case of Pepsi. the company was unable to increase their market share and advertise or promote their products as compare to their competitors in the past. Because of these problems the Company was closed for 2 ½ years. it has 14 franchises and Coca-Cola has 13 franchises all over Pakistan. production. ♦ The current financial instability is a weakness for the company. ♦ After 1986 the company was unable to serve their customers because of the distribution network as well as they were also unable to get hold of other customers because of lack of advertisement. ♦ Their prices are relatively lower than their competitors. It reduces the levels of managers in the hierarchy. STRENGTH Continental beverages served the Karachi market since 1985. Because of the financial problems in the past RC Cola was failed to hold a strong market share. sales etc. If any international beverage company has more than 10 franchises in Pakistan IQRA UNIVERSITY . ♦ The Karachi franchise is a small plant (area is 0.

That is why Pepsi and Coca-Cola are lucky because they contribute just 25% for advertisement and the remaining 75% are contributed by their parent companies. This is the best time for any beverage company to launch a soft drink because the period between April-July is the most suitable period because the sales of soft drinks are at peek in Karachi. OPPORTUNITY As you know that RC Cola re-launched on Feb 15th ’05. That is why continental beverages re-launched RC Cola in this period to attract more customers by offering their soft drinks at a lower price as compare to their competitors. ♦ The summer season is an opportunity for RC Cola to attract more customers.REPORT ON RC COLA than the Parent company of that franchise give funds and provide financial assistance for advertisements and promotions. IQRA UNIVERSITY . ♦ RC Cola has only 5 franchises in Pakistan. That is why their parent company (ROYAL CROWN COLA COMPANY) does not contribute in their promotional activities. They hold a very strong market share. there are already very strong competitors like Pepsi and CocaCola are present. THREAT In the beverages industry. It is very difficult for RC Cola or any other beverage company to stand and hold a smart market share in this industry. ♦ The strong market leaders are a threat for RC Cola.

Airports.e. Soft drinks are available in bottles. ♦ Non. and large Pet bottles. beside the fact that numbers of companies are very few but competition among them is very sturdy. Soft drinks are divided into carbonated and non-carbonated drinks. Pepsi and Coca-Cola. cans. (7UP. Colleges etc 75% of total industry sales is achieved from this segment. Bubble Up. ♦ The Cola and non.Cola: This is further divided into: ♦ Orange: This segment has an approximately a 7% market share of the total market. Cinemas. Railway Stations. (Slice) IQRA UNIVERSITY . Teem) ♦ Mango: This comprises approximately 3% of the market share. i. (Fanta. soft drink industry in Pakistan is also facing very tough competition.REPORT ON RC COLA CURRENT MARKETING SITUATION Introduction to the Soft Drink Market Like other countries. Sprite. Schools. another reason for failure of new entrants is unavailability of SSRB (Single serve returnable bottle) which is the backbone of industry. The Soft drink market can also be segmented in accordance with the point of purchase as: ♦ On Premise: The consumption of soft drink takes place on premise.Cola segments are as follows: ♦ Cola: This accounts for approximately 70% of the total soft drink market in Pakistan. The soft drink market has recently witnessed expansion with the entry of several new players but they were unable to survive in this heavy competitive environment. One of the main reasons for this heavy competition is presence to two tiger competitor i. ♦ At Home: The remaining soft drink consumption is at home which include 25% of total industry sales. Miranda etc) ♦ Clear Lime: This comprises approximately 20% of the soft drink market.e. Restaurants.

REPORT ON RC COLA BCG MATRIX RC Cola was introduced in the market in 1985. IQRA UNIVERSITY . This fact shows that it was a question mark at that time. when there was a high growth in the market it became a dog and gone away from the market. In order to became a star and gain a good market share it required a lot of investment. At that time there was a very high growth in the market because two market leaders Pepsi and Coke were present. But because of the financial instability and lack of investment at that stage. Initially RC Cola hold a small share in the market.

CUSTOMER PREFERENCES In customer preferences. If it would not be happen it will be very difficult for RC Cola to sustain in the market. What content would you prefer in your drink? CO NTENTS 31% 38% Fuz z in es s Conc entration Sw eetnes s 31% According to the data collected by our survey. it requires a lot of cash infusion. we will analyze some of the questions of our survey research. Because RC has the potential to become a star if it became financially stable.REPORT ON RC COLA RC Cola re-launched on Feb'05 the situation in the market is same as in the past and again RC Coal re-introduced as a question mark. it was found that 38% people prefer fuzziness. ♦ The analysis shows that majority of the people prefer fuzziness in their drinks. Because this analysis will help us to understand the customer preferences. Still it will be a very big achievement for RC Cola if it will become a star in the presence of two market leaders. IQRA UNIVERSITY . It is very very difficult for any soft drink. ♦ The percent age of the sweetness and concentration is same. to become a cow in this competitive environment. SUGGESTIONS In order to gain 10-15% share in the cola market in coming years. 31% concentration and 31% people prefer sweetness in their drinks.

8 8-. and 7% of them prefer between Rs.6-8.-12 73% According to this graph. And the answers we received for this question were as follow: PRICE 7% 20% 6-. 20% of them prefer price between Rs. which of the bottle do you want in 250ml? (Options are glass bottle. and plastic bottles. 73% of the people prefer price between Rs. ♦ This analysis shows that either cans or plastic bottles should replace the glass bottles. IQRA UNIVERSITY . 33% of the people prefer plastic bottles.10-12. Next question is what price range would you prefer? (For 250ml). disposable bottles.REPORT ON RC COLA Our next question.10 10.8-10.) BOT T L ES Glas s bottles Can 34% 20% Dis pos ible bottles Plas tic bottles 33% 13% According to this graph 34% of them prefer cans. 20% of them prefer disposable bottles and 13% prefer glass bottles. can.

Because when we asked different people about the improvement that they want in RC Cola. If Continental Beverages increase the level of fuzziness in RC Cola.8/ 250ml bottle. If the company controls this change in the prices from retailer to customer. But some retailers sell it on the price of Rs. IQRA UNIVERSITY . SUGGESTIONS According to the results of customer preferences: ♦ People want fuzziness in their drinks.9 or 10 to the customers. the customers want to drink it. If they introduce RC Cola in cans then it will be attractive offer for the customers. ♦ As far as the price is concerned the company gives RC Cola to the distributors and retailers at a price of Rs. then the customer will definitely prefer a quality drink at a lower price as compare to their competitors. most of the people give suggestion that they must increase fuzziness in RC Cola if they want to satisfy the customers.REPORT ON RC COLA ♦ This analysis shows that approximately 73% people are satisfied with the existing price range of the 250ml cola drinks in the market. ♦ The company is working to introduce its products in 250ml or 330ml pet bottles in the coming years.

in order to find out their satisfaction for RC Cola before re-launch.REPORT ON RC COLA CUSTOMER SATISFACTION We had a question in our questionnaire related to customer satisfaction. 1 *0% 0% (dissatisfied) 40% (somewhat satisfied) 80% (satisfied) 100% (fully satisfied) *40% *80% *100% IQRA UNIVERSITY . The question was: Tell me how much you liked the RC cola by pointing to the face that best shows how much you liked it.

The Karachi franchise is working by the name of “Continental beverages”. Continental Beverages divided Pakistan into provinces and then into cities. the company’s franchises operate in four cities rather than in five because the kotri franchise is temporarily closed. Because the duration of summers in IQRA UNIVERSITY . SEGMENTATION AND TARGETING GEOGRAPHIC SEGMENTATION ♦ Geographically. Geographically. TARGETING Continental beverages is actually a franchise of ROYAL CROWN COLA COMPANY. ♦ Climate is also very important geographical factor because in summers the sales of soft drinks are at peak than in other seasons. In past it cater only the Karachi market. If the manufacturers of RC Cola provide them what they want then customers are automatically satisfied from RC Cola. The duration of the summers in Punjab is longer than in Sindh. They will start their distribution in Sukkar and Baluchistan areas in between September-October this year. But now it has become the authorized bottlers under franchise for province Sindh and Baluchistan. 40% of them were dissatisfied. Which is the parent company and it is in USA. 40% of them were somewhat satisfied. the market is divided into cities. So in this way the Punjab’s cities are very attractive market than the Sindh. 13% of them were satisfied and 7% of them were fully satisfied. The satisfaction of the customers is based on their preferences. Two franchises are in Sindh and three in Punjab. In summer season the sales of the soft drinks increases as compare to other seasons. As you know ROYAL CROWN COLA COMPANY has five franchises all over the Pakistan. But currently.REPORT ON RC COLA S A T IS F A C T IO N 0% (dis s atif ied) 7% 40% 40% (s omew hat s atis f ied) 80% (s atis f ied) 100% (f ully s atis f ied) 13% 40% According to this graph.

That’s way the three franchises are in Punjab.REPORT ON RC COLA Punjab is longer and hotter than in Karachi and Hyderabad. “Continental beverages” is catering the age group of 13-26 years. But some of the products of Continental beverages are especially for women and children like: ♦ PAKISTA (a green drink like Pakola) ♦ ROYAL LEMONADE and ♦ ROYAL ORANGE IQRA UNIVERSITY . because there is no franchise of RC Cola in Baluchistan. DEMOGRAPHIC Demographically the market is segmented on the basis of: ♦ ♦ ♦ ♦ Age Gender Family size Income TARGET Currently. ANALYSIS AND SUGGESTION As we know that the Continental Beverages has became the franchise bottlers for province of Baluchistan and will also start their distribution in Sukkur. like: ♦ Hyderabad Nawab Shah ♦ Larkana etc. It is a great achievement for company. It’s main focus on school and college going children and young adults. This is the best market to cater and create awareness about RC Cola.   Where the people are still using unbranded soft drinks and fake soft drinks of Pepsi and Coke. And we think that it is the only franchise of RC Cola in Pakistan that has became the franchise bottlers for two provinces. The climatic conditions of these cities are also very attractive for the beverages industry. This helps them to increase the market share of RC Cola and generate cash. they should try their best to capture as many as cities of Sindh as possible. ♦ As they are catering the Karachi city and will also cater the Sukkar city of Sindh in the coming year.

5000-8000) and they also cater their products to lower income people in the interior areas of Sindh in order to grab larger market share. Continental Beverages consider only one factor. which is social class. Pakista which is very famous among women. Like in case of Pepsi and Coca-Cola they use mass marketing for Pepsi and Coke and cater to all age groups.5lit pet bottles. After 9/11 some new soft drinks enter in the cola market like: ♦ Amrit cola ♦ Mecca cola ♦ Zam zam cola In which two are local brands and one is Irani brand. (in this way they increase their market share) PSYCHOGRAPHIC In psychographic segmentation. That’s way they introduce 1. captures low-income people in rural areas. introduces new 1.5liter bottles for all of their brands because of the customer preference. Dew and Fanta they use segmented marketing and cater to a particular age group. Now the Continental Beverages Ltd. They boycott franchise soft drinks and forces people to use Islamic and local products. ♦ Continental Beverages tries to cater RC Cola to all the age groups means to use mass marketing. TARGET IQRA UNIVERSITY . According to them their products are for average income people (income between Rs. That’s why the Continental Beverages Ltd.REPORT ON RC COLA Specially. In Pakistan most of the people prefer economy size bottles because the average family size is 5-6 people and these pet bottles are suitable for the families. But the franchise bottlers always give importance to the norms. ANALYSIS AND SUGGESTION Continental Beverages targeted the age group between 13-26. They must increase their targeted age group. These are economy size bottles for families. Because Pepsi and Coke are firmly establish in the urban areas and they do not cater the lower lowers. because soft drinks are the products that is used by all the age groups from 6-60+ in Pakistan. After the 9/11 uptil now they did not face any problem related to religion. beliefs. and attitudes of the target market. while in the case of Marinda.

They also introduced UTC (under the crown) scheme between April till March this year. But they face some problems in catering to these social classes. In the case of 7UP a cartoonic personality is associated with it. They will also launch pure clear drinking water by the name of “KENNY”. Continental Beverages must promote a brand personality for RC Cola because most of the soft drinks in the market have the brand personality that influences the consumer toward the drink. where the sweating rate is much higher than in Pakistan. This shows that the brand personality also influence the buyer toward the drink. According to their view it will be a premium clear drinking water but not mineral water. They decided to create awareness among people about the Drinking water and also try to grab the attention of educated people. it shows an adventurous.” That is why they make changes in their strategies and decided that they continue to cater the middle and lower class and also try to cater the upper class. daring and enthusiastic personality. The company will recently introduce DIET RC COLA in order to attract health conscious people.REPORT ON RC COLA Their target social classes are middle class and lower class. That’s why most of the youngsters want to drink it. It is very difficult to stick to the same social classes and caters them. in which they gave prizes to children. In past they were catering to these classes. BEHAVIOURAL SEGMENTATION Considering variables: ♦ ♦ ♦ ♦ Occasions Benefits User status Attitude toward product IQRA UNIVERSITY . But if these minerals are given to the people in Pakistan. It is a stylish personality that tries to do something new and having a tag line “STYLE ZARA HAT KAY”. 19th and 23rd of this march. In the view of Executive Director of Continental beverages. “In Pakistan the rich has became richer and poor has became poorer and the middle class is almost ended or converted into lower class in Pakistan. In order to attract upper class they gave free samples to people at Park towers (Clifton) on 18th. it causes stomach problems. ANALYSIS AND SUGGESTION It is a good step that they decided to cater the upper class also because in this why they increase the market share of RC Cola in the cola market. Like in the case of Dew. Because in mineral water sodium is present in a reasonable high quantity which is dangerous for the people in Pakistan because in Pakistan the people are not facing the problem of sweating like in Saudia and Kuwait. That is why their body requires minerals.

In order to increase the sales in winter season they influence people by their tagline: Be Free. Continental beverages introduce 1. By this tagline they want to promote RC Cola as a cool and refreshing drink. In summers the people used it on almost regular basis. After relaunching.5lit pet bottle because people want economy size bottle. Currently. In summers (April-July) it sales increases but in winter it sales decreases. In this way they attract customers towards the quality maintenance of their product. or use it when they go out (on premises). they want to hold the position of RC Cola in the mind of the customers as a cool and refreshing drink by using this tagline: Be free. They considered that the consumption of soft drinks does not remain the same through out the year. drink RC Means that you can drink RC any time to refresh yourself. IQRA UNIVERSITY . In this way they want some thing new in the drink like change in flavor. That can be use at anytime. they have the same future strategies but they want to increase the market share that’s why they decided to cater the upper class in order to convert the non-users into regular users. Secondly. Different people want different mixes of benefits from the products they buy.REPORT ON RC COLA TARGET In behavioral segmentation Continental Beverages grouped the people on the basis of their responses and usage of the product. They were also catering the interior areas of Sindh. Continental Beverages tries to gain a positive attitude toward RC Cola by giving a good quality product at a lower price as compare to their competitors and make sure that their product in available at almost all places in Karachi. MARKET POSITIONING Continental beverages Ltd. In past their target markets were the middle and lower classes. the company tries to regain its ex-users. That is why the company will introduce RC Cola with Cherry flavor and Diet RC Cola in the coming year on the basis of consumer demand. is working to occupy a very distinctive position in the mind of customers by giving them superior quality products. The emphasis on the ‘careful delivery of their products’. They ensure that RC Cola reaches to customers in the same condition in which it was made. Drink RC. But in winter they use it occasionally.

Currently. Here we will be discussing the 4 Ps of RC Cola. but they are not promoting it in a good way.) Now we discuss the variables of product for RC Cola. IQRA UNIVERSITY .REPORT ON RC COLA ANALYSIS AND SUGGESTION Currently. PRODUCT Products are the goods of the company that they offer to their target market. By using the tagline: Be free. drink RC Cola Their positioning strategies are good. MARKETING MIX Marketing mix consist of every thing that the firm can do to influence the demand for its products. Continental Beverages want to position RC Cola as a: ♦ Cool and refreshing drink and ♦ Best quality soft drinks. Continental Beverages have four products: ♦ ♦ ♦ ♦ RC Cola Royal Orange Royal Lemonade Pakista They will recently introduce: ♦ ♦ ♦ ♦ Upper 10 (soft drink) Kenny (drinking water) New varieties in RC Cola They will also introduce one American and one British drink in future (but they didn’t disclose the names of the drinks. They try to promote RC Cola in such a why that it occupy a very distinctive and clear position in the mind of consumer that RC Cola is a quality drink at a reasonable price.

Fayysal Iqbal. The design of the 250ml-glass bottle of RC Cola is same as it was in past. and re-launched in 2005. FOR 250ML BOTTLE If they introduce 250ml bottle of RC Cola in a new and attractive design then it shows some difference and also influences the buyer to purchase. a buyer of soft drink easily recognizes Coke just because of the bottle design. In this way the design of the Coke shows a difference from Pepsi and RC Cola and if there is no logo present on the bottle. They will introduce new design 250 or 330ml pet bottles for RC Cola and for their other brands in future. a “mystery man” comes from America any time during the whole year and collects the samples of their product from the market places and takes back these samples to America for testing. ♦ RC Diet ♦ RC with cherry flavor in the coming year. If there is any flaw in the quality of product. DESIGN AND PACKAGING RC Cola is available in glass bottles (250ml) and also in economy size pet bottles (1.REPORT ON RC COLA VARIETY RC Cola was introduce in 1985. PRODUCT ANALYSIS AND SUGGESTION As far as RC Cola’s bottle design is concerned we have some suggestions. He claims that no other company in Pakistan has this privilege. There is a little difference in the design of 250ml bottle of Pepsi and RC Cola. According to Mr. They also said that some special supervisors come from the parent company that stay with them for the whole week and monitor their production process and take the report back to America. IQRA UNIVERSITY . QUALITY The company has the basic purpose to give quality products to the consumers.5lit pet bottles is almost similar as the 1. They are also working to introduce. but the design of 250ml Coke is different from them.5lit). strict action is taken against them. in this period they did not introduce any new flavor and variety of RC Cola. they ensure their customers that their quality is always consistent. The design of the 1.5lit pet bottles of Pepsi. According to this strategy.

IQRA UNIVERSITY .5LIT PET BOTTLES The existing pet bottle design is little bit same as Pepsi’s pet bottle. Again the design of 1.5lit pet bottle of Coke is different from Pepsi and RC Cola.REPORT ON RC COLA EXISTING BOTTLE DESIGN SUGGESTED BOTTLE DESIGN FOR 1.


REPORT ON RC COLA Introduce RC Cherry in the same design FOR 250 ML OR 330 ML PET BOTTLES Also introduce RC Cola in cans and disposable bottles IQRA UNIVERSITY .

8 to Rs. In this way they get an additional profit. The company set a price for 250ml bottle is Rs. It means that the cost of each 250ml bottle is Rs.192.8.5lit pet bottle contains 6 bottles.10 to the final consumer.5lit pet bottle LIST PRICES A crate of 250ml-bottle of RC Cola contains 2dozen (24) 250ml regular bottles.5lit pet bottle at a cost of Rs.40.8. Each bottle cost Rs. the cost of the carat is Rs.REPORT ON RC COLA PRICE RC Cola is available in two packaging: ♦ 250ml glass bottle ♦ 1.40. DISCOUNTS TO DISTRIBUTORS AND RETAILERS DISTRIBUTORS The Continental Beverages gives 6 bottles of 250ml free to distributor on each crate and gives 1.32 on each crate.38 instead of Rs. IQRA UNIVERSITY . RETAILERS The distributor gives 4 bottles free of 250ml to the retailer on each crate. but some retailers sell it on the price of Rs. The crate of 1. means that the cost of the crate is Rs. It means that the retailer gets a discount of Rs.240.

5Lit pet bottles the distributor makes a profit of Rs. 16 (Rs. They must take serious steps to control the change in prices of 250ml bottle of RC Cola. These discounts motivate the distributors and retailers to sell RC Cola. Currently.12 (Rs. PLACE Continental Beverages uses 25 direct routes (means their own vans) and 35 indirect routes (different distributors work for them) to distribute their products in the market. 2005 (Sunday).32 (Rs. the distributor makes a profit of Rs. the discount of the retailers based on the distributor because sometimes they give discounts to retailer or sometimes not. ANALYSIS AND SUGGESTION Continental Beverages gives 6 bottles free to distributor and distributors give 4 bottles free to the retailer.REPORT ON RC COLA In the case on 1.1 on each bottle of 250ml (1x24=Rs. they are working to expand their distribution network.5lit pet bottles.5Lit pet bottles and the retailer’s discount is based on distributor. ♦ Distributor’s profit=8% ♦ Retailer’s profit=16% IN THE CASE OF PEPSI AND COCA-COLA ♦ Distributor’s profit=6% ♦ Retailer’s profit=12. This franchise has two warehouses one in the site area (behind the manufacturing plant) and another in the Clifton area.5% (Rs.8x2) on each crate of 250ml and retailer makes a profit of Rs. That’s why on April 10.24/crate)) In the case of 1.8x4) on each crate of 250ml.2x6) on each Crate of 1. they gave an ad in Newspaper JUNG by the heading of “Distributors Are Required” IQRA UNIVERSITY . Ultimately.


they say that when the customer know about the product through advertising and he doesn’t find it on stores. PROMOTION Currently. This is because in their view. Example if the customers go to the nearer retailer’s shop and asked about the product which he/she saw in the TV or hear on Radio but if his/her desired product is not available in the market then it definitely dissatisfied your customer. PROMOTIONAL SUGGESTIONS IQRA UNIVERSITY . But if you first advertise your product on a large scale but your distribution is not good enough. That is why they are currently not advertising their product.REPORT ON RC COLA They are working to improve and expand their distribution network in more than 40 areas of Karachi by hiring more distributors. Continental Beverages give more importance to the availability of the product than to advertise it. After the availability of the product in the market then you advertise your product. Fayysal Iqbal: If your distribution is strong/good and your product is easily available in the market. According to the view of Mr. But they are doing some promotional activities like on March 18th. They are working to organize a function at PAF Museum on 1st May 2005 to promote RC Cola. in this way you satisfied your customer in a good way. he doesn’t get good impression of the company. 19th and 23rd they gave free samples of soft drinks to people on Park Towers and distributed free gifts among children. means that your product is not easily available in the nearer stores or in the market. ANALYSIS AND SUGGESTION They are working to expand their distribution network after that they advertise RC cola.

It provides maximum coverage as most of the youngsters watch television regularly. ♦ ♦ ♦ ♦ ♦ ♦ ♦ Television Cinema Magazine Newspaper Radio Outdoor advertisement Promotional activities TELEVISION Television has the consistency high viewership among the target market. Ten sports has emerged as a channel that comes cricket related events of Pakistan and thus viewers ship mostly consistency teenagers and young adults. This will promote RC cola among the lower and middle class. The company’s target market comprises of youngsters between the age group of 13-26. MAGAZINES IQRA UNIVERSITY . because these channels provide a lot of entertainment program for them. ♦ ♦ ♦ ♦ ♦ PTV and PTV World Geo ARY Digital Indus Ten sports Among them Indus Music and Ary Digital must be selected because youngsters mostly view these channels. Also. Following are the media through which the company will reach the target market. Selection of the media vehicle will depend largely on the target market. Capri and other popular cinemas in Saddar. they should put large bulletin boards in the Saddar area to attract consumers towards the drink. CINEMA The company should put banners in cinemas like Nishat . PTV World and PTV Network have wide coverage and are the channels that are viewed by the masses.REPORT ON RC COLA We have some ideas related to the advertisement and promotion.

000. when English programs are aired.REPORT ON RC COLA ♦ Sunday Magazine (Jung group) ♦ Akhbar-e-Jahan ♦ Young World Akbar-e-Jahan and Sunday magazine both are the most widely read magazines in Karachi. It will cater age 13-18. IQRA UNIVERSITY . when English songs are on air because this is the time when their target audience especially young teenager’s tune into the channel. RADIO Radio advertisement can be used to enhance the message and communication. This is also a convenient time for the target audience. FM 101: In this they can advertise during 11:00 pm to 12:00 am. Young World is an English magazine for kids and teens. NEWSPAPER ♦ Dawn ♦ Jung ♦ The News Jung is the most widely read newspaper in Pakistan with a publication of over 750. Dawn and the news also cater those people prefer reading in English. FM 100 (Transmission schedule) 5:00 am 7:00 am 10:00 am 12:00 pm 3:00 pm 6:00 pm 10:00 pm 12:00 am 7:00 am 10:00 am 12:00 pm 3:00 pm 6:00 pm 10:00 pm 12:00 am 5:00 am Holy Quran Wake Up show Morning drive time show Lunch time special Competition time Drive show Rock time (English music) Ghazal time FM 100: In this they can advertise. during 10:00 pm to 11:00 pm.

As the target market is mainly young people and older school going kids. Billboards will be selected where the major portion of the target market frequency view it.REPORT ON RC COLA OUT DOOR ADVERTISINGS Billboards. Musical concert. Following areas will be chosen for billboard activities: ♦ ♦ ♦ ♦ ♦ ♦ Schon Circle (Clifton) Allah Walla round about (PECHS) Park Towers round about (Clifton) Hasan Square round about (Gulshan) Crecent Academy round about (Gulshan) Korangi crossing round about Advertisement through pole sign will be done in the following areas: ♦ ♦ ♦ ♦ ♦ ♦ ♦ Sea view Delton road Zam zama road National stadium road Nipa round about Baharabad area Liquat-a-Bad BRIDGE ADVERTISEMENT IN POPULAR HANGOUT RC Cola can also be advertising at popular hangouts of the youth of Karachi. IQRA UNIVERSITY . Advertisements in popular hangout and sponsor ship of the music videos are used as out door advertising tools. BILLBOARDS Billboards are used to support above-the-line activities. METRO BUS Metro bus passes by a large number of people every day. A lot of students and jobholders use the service of these buses frequently. Thus both frequency and reach is quite high.

IQRA UNIVERSITY . In present JAL BAND is very famous among youngsters. Other up coming bands such as EP. And in particular. Dolman mall. Only those concerts are arranged which will give an opportunity to have maximum coverage of target audience.REPORT ON RC COLA Area 51 3. Keeping this thing in mind RC Cola must have an association with one of the musical band of Pakistan. Bahadurabad etc. AAROH etc. time and Murad medicos will help in reaching the target market that resides in the areas of Gulshan-e-Iqbal. Free samples of RC Cola. MUSICAL CONCERT Musical concerts held on and off through out the year. music is an important part of people’s lives. PECHS. above SPONSORSHIP OF A MUSICAL VIDEO In today’s world.0 Zubaida's) (a popular bowling area situated in sea view adjecent to carlton Hotel) (a virtual reality gaming zone situated in the area of Do Talwar. PROMOTIONAL ACTIVITIES Promotion will be done at outside popular grocery stores. and handbills will be given out. MIZRAB. Promotion might be done outside: ♦ ♦ ♦ ♦ ♦ ♦ ♦ Agha’s supermarket Imtiaz supermarket Naheed store Time medico Murad medico Dolman mall And other local outlets Agha’s supermarket has been selected to cater the target market of Clifton and defense area. the young generation’s world revolves around music.

They should try to keep a control of price when product moves from retailers to customer. ♦ They should change the packaging of RC cola. we have tried our best to suggest as many as creative ideas. They should introduce schemes on different occasion. IQRA UNIVERSITY .REPORT ON RC COLA In these promotional ideas. Through these ideas all the classes are easily attracted toward RC Cola. following things can be recommended: ♦ ♦ ♦ ♦ ♦ Continental Beverages should try to do mass marketing. RECOMMENDATION: After completing the report. They should try to cater all the major cities of Sindh They should try to introduce a brand personality of RC cola. Some ideas are to attract the upper class and some ideas are only to attract the middle and lower classes.

Please describe the reason(s) for your satisfaction or dissatisfaction? IQRA UNIVERSITY . How often do you drink a soft drink? o Once in a day o Twice a day o 3-5 times a day o more than 5 times a day 3. Which of the following soft drink have you used? o Pepsi o Coca Cola o Double Cola o Amrit Cola o Mecca Cola 2.REPORT ON RC COLA QUESTIONAIRE Please mark the circles and give rates (where written) that best reflect your response to each question. Overall. 1. how satisfied are you with your soft drink? (circle the %age) 100% 90 80 70 60 50 40 30 20 10 0% COMPLETELY SATISFIED NOT AT ALL SATISFIED 4.

Where do you drink soft drink? o At home o At office o Anywhere b. 5.REPORT ON RC COLA ____________________________________________________________________ ____________________________________________________________________ ___________________________. When do you prefer to take soft drinks? o At lunch time o With dinner o Party/occasionally/ with friends o Anytime 7. Does price matter in your consumption? o Very likely o Very unlikely o Somewhat likely IQRA UNIVERSITY . 8. Which factors influence you while buying a soft drink? (rate according to your choice)  Packaging  Price  Easy availability  Taste  Advertisement 6. Which of the bottle do you want in 250 ml? o Glass bottle o Can o Disposable bottle o Plastic bottle.

12. How did you first hear about RC Cola? o TV o Print media o Not sure o Never heard of it.) o 6-8 o 8-10 o 10-12 9. back o More than 5 yr. What contents would you prefer in your soft drink? (give rates)  Fuzziness  Concentration  Sweetness 10.REPORT ON RC COLA o Somewhat unlikely b. Are you familiar with RC cola? o Never heard of it o I am aware but never used it o Used it sometimes o Used it on regular basis 11. back o 3 yr. When did you use RC Cola last time? o 2 yr. How often did you buy it? o Once in a day IQRA UNIVERSITY . back o Don’t exactly remember 13. What price range would your prefer? (For 250 ml.

Age group: *12-16yr. *others__________. IQRA UNIVERSITY . 1 0% 40% 80% 100% 15. *25-30yr. *16-20yr.REPORT ON RC COLA o Twice in a day o Once in a week o 2-5 times in a week o Once in a month o Don’t exactly remember 14. What are some aspects of RC Cola that can be improved? _________________________________________________________________ _________________________________________________________________ ___________________________. Tell me how much you liked the RC cola by pointing to the face that best shows how much you liked it. *20-25yr.




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