PROJECT REPORT ONA brief study on effectiveness of advertisement on PepsiCo cold drink with special reference to LUMBINI BEVERAGES Pvt. Ltd. (PepsiCo) at HAJIPUR, PATNA

Submitted for the partial fulfillment of the requirement for the award of the degree ofBACHLOR OF BUSINESS ADMINISTRATION (B.B.A)Conducted by:

Lalit Narayan Mishra Institute of Economic Development and Social Change, Bailey road, Patna-1

UNDER THE GUIDANCE OF: SUBMITTED BY: MR. S.D SINGH PRIYANK RAJ(GROUP COORDINATOR) ROLL NO: 12320L.N.M.I PATNA-1 B.B.A (2012-15)

PREFACE

There is a famous saying The theory without practical is lame and practical without theory is blind.This modern era is the era of consumers. Consumer satisfies themselves according to their need and desires, so they choose that commodity from where they extract maximum satisfaction.It has been identified that in the beginning of 21st century the market has observed a drastic change. The successful brand presents itself in such a way that buyer buys them in special values which match their needs.Marketing is an important part of any business and advertising is the important part of marketing.Summer training is an integral part of BBA and being student of management has to go undergo training session in a business organization for 6 weeks to gain some practical knowledge and to gain some work experience. This helps in developing decision making abilities and emphasizes on active participation by the students.I undertook my project in LUMBINI BEVERAGES PVT.LTD, HAJIPUR. The title of my project is EFFECTIVENESS OF ADVERTISEMENT ON PEPSICO COLD DRINK. Certainly this analysis explores my abilities and strength to its fullest extent for the achievement of organization as well as my personal goals.(Priyank)

ACKNOWLEDGEMENTAt the very outset of engaging myself into 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 six week practical training in lumbini beverages Pvt. Ltd Hajipur (PepsiCo) in the area of Patna is a part of my course curriculum of my BBA.This project couldnt have been completed without timely suggestion advice and co operation of lot of person.I am extremely thankful and pay my gratitude to Mr. S.D SINGH (GROUP COORDINATOR) L.N. MISHRA INSTITUTE IF ECONOMIC DEVELOPMENT AND SOCIAL CHANGE for his valuable guidance and support on completion of this project in its presently.I am greatly obliged to Mr. Bhupendra Singh (Sr. Manager-HR & Admin, lumbini beverages Pvt. Ltd Hajipur) who accommodated me for training in this esteemed organization.I am highly indebted to Mr. Rajesh Prasad (TDM PATNA ZONE) 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. R.K Sinha (CE) who taught me every minute aspect of marketing.A special appreciative Thank you to all the staff for their positive support.I also acknowledge my deep sense of reverence, my gratitude towards my parents and member of my family, who has always supported me morally as well as economicallyLast but not the least, gratitude goes to all of my friends who directly or indirectly helped me to complete this project.Thanking youPriyank raj (12320)

DECLARATIONI Priyank Raj student of Lalit Narayan Mishra Institute of Economic Development and social change, Roll no: 12320, Course: BBA Session: 2012-2015 is persuading project from lumbini beverages Pvt. Ltd Hajipur (PepsiCo) in the area of Patna and declaring that all the information given in this project report entitled effectiveness of advertisement on pepsico cold drink 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.

Signature:Date

CONTENT Preface Acknowledgement Declaration

Chapter no.ParticularsPage no.

1. Introduction to studyI. Objectives of studyII. scope of studyIII. Research methodologyIV. Limitation of study78910-1112

2. Profile of organizationI. Introduction of Lumbini Beverages Pvt. Ltd.II. Organizational structure of Lumbini Beverages Pvt. Ltd.III. About PepsiCoIV. PepsiCo mission and visionV. PepsiCo India regionVI. Industry profileVII. Company profileVIII. Product profileIX. Organizational structure of PepsiCo13

14-15

1617-1818-1920212223

24

3. Theoretical perspective I. Introduction to advertisement effectivenessII. Definition of advertisingIII. Basic feature of advertisingIV. Importance of advertisingV. Active participants in advertisingVI. How advertisement research workVII. Measuring advertising effectiveness

2526

2728-2930-3132-3435-3637-40

4. Advertising strategy of PepsiCoI. Advertising media at lumbini beveragesII. Advertisement techniques used by PepsiCoIII. Advertisement by PepsiCoIV. Advertising campaign by PepsiCo4142-43

44-4546-4748-50

5. I. Data analysis and interpretation51-62

6. I. Conclusion and suggestion63-65

7. I. BibliographyII. Questionnaire66-6768-73

CHAPTER: 1INTRODUCTION TO STUDY Objectives of study Scope of study Research methodology Limitation of study

Objectives of study:management is a course which teaches a student to get the work done properly from different available sources viz. man, machine, money, material etc so that there can be satisfaction from the organization side and the worker side who play a significant role in achieving success.So far, the fulfillment of management courses it gives emphasizes to project work and student tends to develop analytical and problem solving skill. We necessarily become motivated and competitive. In fact all the learning that goes on for the three year term becomes so much the part of our thinking that we developed a well rounded personality.

1. To know the effectiveness of advertising towards PepsiCos cold drink.

2. To find out the reasons for liking the advertisement of the PepsiCos cold drink.

3. To find out most popular slogan of PepsiCos cold drinks.

4. The awareness level of PepsiCos cold drink.

5. Which media carry the advertisement successfully?2.

Scope of study:Scope of this study covers a wide range of theoretical application and administration aspects, under which the advertisement techniques used by the company for the sale of its products.

a. The study will try to find out the advantage level of product.

b. The study can help to find out whether the advertisement has reached the target audience.

c. The advertiser can identify the gap of improvement themselves.

d. The study can find out whether the advertisement was educating the customer in right way or not.

Research methodology:Research is the procedure of logical and systematic application of the fundamentals of science to the general and overall question of a study and scientific technique which provide precise tools specific procedures and technical rather than philosophical means for getting and ordering the data prior to their logical analysis and manipulation.

Different type of research design is available depending upon the nature of research project availability of able manpower and circumstances.

1. Research design: The research design is the blueprint for the fulfillment of objectives and answering question. It is the master plan specifying the method and procedures for collecting and analyzing needed information. Descriptive research is used in this study as the main aim is to describe characteristic of the phenomenon or a situation.

2. Data collection method:The sources of data include two types of data:a. Primary source:Primary data has been collected directly from sample respondent through questionnaire and with the help of interview.b. Secondary source:Secondary data has been collected from standard textbooks, newspaper, magazines and internet.

3. Research instrument:Research instrument used for primary data collection is Questionnaire.

4. Sample design:Sample design is definite plan determined before any data is actually obtained for a sample from a given population. The researcher must decide the way of selecting a sample. Samples can either be probability sample and non probability samples.a. Sampling technique:Convenience

b. Sample size:100 respondents of different age group.

c. Area of study:Patna ( Danapur, Boring road and Kankarbagh)

d. Statistical tool applied:Percentage analysis

Limitation of study:a. The project relied mainly on primary data.

b. Consumer gives very unclear picture.

c. We have limited time.

d. The study is based on limited sample.

e. It was my first attempt to undertake such study, thus the inexperience is also on obstacle to accomplish the project in a proper way.

f. It was also difficult to get proper information from the people because they were indulging in some other activities.

g. All the observation and recommendation will be made on the feedback obtained from survey.

CHAPTER: 2PROFILE OF ORGANIZATION Introduction of lumbini beverages Organizational structure of lumbini beverages About PepsiCo PepsiCo mission and vision PepsiCo India region Industry profile Company profile Product profile Organizational structure of PepsiCo

Introduction to lumbini beverages Pvt. Ltd.Lumbini beverages Pvt. Ltd is set up at Hajipur industrial area in Vaishali district of North Bihar. Lumbini beverages Pvt. Ltd. is the production unit and its whole marketing activities are done through lumbini beverages Pvt. Ltd. Its office is situated at Hajipur. Lumbini beverages is one of the many franchises Pepsi bottling plant in the country and also one of the four in Eastern India. The other three are at Cuttack, Guwahati and Jamshedpur.Lumbini beverages Pvt. Ltd. was incorporated in the year 1995 under company act 1956 but the actual production stated in 1998. It was setup because steel city beverages Pvt. Ltd. Jamshedpur was unable to fulfill the market demand of North Bihar during peak month i.e. May-June. Since the plant was not constructed on time so during 1997-98 delivery to north Bihar was also made from Dranchu beverages, Bhutan.A. Location:-The plant is located in the industrial area of Hajipur, north Bihar. The plot is situated at a distance of twenty-five kilometer from the city of Patna. The site well connected by road to other areas of north Bihar. The total area of land is around 1000 acres. This land has been procured from north Bihar industrial area development authority.

B. Product and production capacity:-Lumbini Beverages bottles Pepsi, Mirinda (both lemon and orange flavors), 7up, slice and soda having capacity or 600 bottles per minute (BPM) and having annual installed capacity of 48 million bottles (2 Million crates).

C. Plants and equipments:-The main plant consists of filler, mojonnier, bottle, washer, caser, Uncase, conveying system, Refrigeration system, water treatment plant and other auxiliaries. The major line has

beenimported fromUSA. However the auxiliaries including utility are beingavailable indigenously.Local contractors under thesupervision offreeing technicians havedone the creation and commissioning of imported plant. However indigenous equipment is created and commissioned through local contractors or suppliers.

D. Marketing and selling arrangements:-Pepsi is awell-known brand for softdrink and marketing the product is donethrough effectivedistribution networkunderthe guidanceofPepsiroodsLtd.And aparallel concern named Lumbini Beverage Pvt. Ltd. is arranging the marketing & selling business.

E. Power:-Since a plant cannot run without power, so the required 500 KV is being supplied from nearly electrical substation.

F. Board of directors:-The following persons constitute the present Board of Directors of the concern.1. Mr. Charan Kumar Khilani (Managing Director)2. Mr. Sanjay Kumar Khilani3. Mr. Manoj KumarKhilani4. Mr. Ravi KumarKhilani5. Mr.S.M.Suranal

Organizational structure of lumbini beverages Pvt. Ltd. Hajipur

BOARD OF DIRECTORS

MANAGING DIRECTOR

CEO

FINANCE PLANT P.A.M H.R.MANAGER MANAGER MANAGER

HOS

T.D.M. M.E.M. M.D.M. Q.C.

A.D.C SENIOR M.D.C. TECHNICIAN EXECUTIVE

C.E. TECHNICIAN M.E.About PepsiCo: PepsiCo Inc.is an Americanmultinationalfood and beverage corporation headquartered inPurchase, New York, United States, with interests in the manufacturing, marketing and distribution of grain-based snack foods, beverages, and other products. PepsiCo was formed in 1965 with the merger of thePepsi-ColaCompany andFrito-Lay, Inc. PepsiCo has since expanded from its namesake product Pepsi to a broader range of food and beverage brands, the largest of which includes an acquisition ofTropicanain 1998 and a merger withQuaker Oatsin 2001, which added theGatoradebrand to its portfolio.As of January 26, 2012, 22 of PepsiCo's brands generated retail sales of more than $1billion apiece,and the company's products were distributed across more than 200 countries, resulting in annualnet revenuesof $43.3billion. Based on net revenue, PepsiCo is the second largest food and beverage business in the world. Within North America, PepsiCo is the largest food and beverage business by net revenue.Indra Krishnamurthy Nooyihas been the chief executive of PepsiCo since 2006, and the company employed approximately 274,000 people worldwide as of 2013. The company's beverage distribution and bottling is conducted by PepsiCo as well as by licensed bottlers in certain regions.

At the heart of PepsiCo is performance with purpose- our goal to deliver top tier financial performance while creating sustainable growth and shareholder value. In practice performance with purpose means:

providing a wide range of foods and beverages from treats to healthy eats;

Finding innovative ways to minimize our impact on the environment and reduce our operating costs; Providing a safe and inclusive workplace for our employees globally; and Respecting, supporting and investing in the local communities where we operate.

PepsiCos mission and vision:Our mission and vision:PepsiCo,believe being a reasonable corporate citizen is not only the right thing to do, but the right thing to do for our business.

Our mission:Mission is to be the worlds premier consumer product company focused on convenient food and beverages. We seek to produce financial reward to investors even as we provide opportunities for growth and enrichment to our employees, our business partners and the community in which we operate. And in everything we do, we strive for honesty, fairness and integrity.

Our vision:PepsiCos responsibility is to continually improve all aspects of world in which we operate- environmental social economic-creating a better tomorrow than today.

Performance with purpose:PepsiCo is committed to achieving business and financial success while leaving a positive imprint on society- delivering what we call performance with purpose.

Their approach to superior financial programs is straight forward- drive share holder value. By addressing social and environmental issues, we also deliver on our purpose agenda, which consist of human, environmental and talent sustainability.

PepsiCo India region: leadership through performance with purposePepsiCo entered India in 1989 and in short period has grown into one of the largest MNC food and beverages business in country. PepsiCos growth in India has been guided by performance with purposes its goal to deliver top tier financial performance while creating sustainable growth and shareholder value. In practice performance with purpose means:

providing a wide range of foods and beverages from treats to healthy eats; Finding innovative ways to minimize our impact on the environment and reduce our operating costs; Providing a safe and inclusive workplace for our employees globally; and Respecting, supporting and investing in the local communities where we operate.a. Largest investor in India with strong brand

b. A growing portfolio of enjoyable and wholesome snack and beverages

c. Model partnership with over 24,000 farmers

d. Global leader in water conservation

e. Care for environment

f. Exemplary employment practice

Industry profile:Beverage industry is one of the fast growing industries in India. It can be divided into two sections i.e. a. Carbonated b. Non-Carbonated

The carbonated drinks that can be furtherclassified into:a. Colab. Lemon c. Oranged. Mango, ande. Apple segments.

Marketing includes all the activities like promotion, distribution, advertising etc to fill all the segments of consumer.

Marketing is also to convertprofitable opportunities. So this topic provides all the essentials to theoretical knowledge with practical knowledge and to inculcate the efficiency. It is also requirement for the company to improve their service and productquality for achieving their ultimate goal.

As far as the soft drink market is concerned, it is facing the cut throat competitionbecause of the availability of a large number of indirect as well as direct competitors. Single company offers the soft drink to the market in different taste and flavors. In this industry entire range of flavors are produced by othercompetitors also. More often it becomes impossible to differentiate between the same flavors of two different brands, when served in plane container, range also. All these factors togethermake the situation complicated. Besides both corresponding brands have the similarprice.

Company profile:

a) TypePublic

b) IndustryBeverages, chips

c) FoundedNew Bern, north California U.S. (1898)

d) FounderDonald Kendall, Herman lay

e) HeadquartersPurchase, New York, U.S.

f) Area servedWorld wide

g) Key peopleIndra nooyi (CEO & Chairman)

h) RevenueUS$ 66.414 billion (2013)

i) Operating incomeUS$ 9.705 billion (2013)

j) Net incomeUS$6.74 billion (2013)

k) Total assetsUS$77.478 billion (2013)

l) Total equityUS$24.389 billion (2013)

m) Number of employees274,000 (2013)

n) WebsitePepsiCo.com

Product profile of PepsiCoPepsiCo Indias expansive portfolio includes iconic refreshment beveragesPepsi,7UP, Mountain Dew, Mirinda,SliceNimbooz.In addition to low-calorie options such as Diet Pepsi, hydrating and nutritional beverages such asAquafinadrinking water, isotonic sports drinkGatoradeand fruit juices such asTropicanaandTropicana 100%.

SKU of PepsiCo at lumbini beverages:

200ml250ml300ml350ml500ml600ml1l2lTetra200mlTetra1l

Pepsi

7 up

Mountain dew

Mirinda

Lehar soda

Slice

Nimbooz

Aquafina

tropicana

Organizational structure of PepsiCo

CHAPTER: 3 THEORETICAL PERSPECTIVE

Introduction to advertising effectiveness Definitions of Advertising Basic feature of advertisement Importance of advertising Active participants in advertising Advertising campaign

INTRODUCTION TO ADVERTISING EFFECTIVENESS

The objectives of all business are to make profits and a merchandising concern can do that by increasing its sales and remunerative prices. This is possible if the product is widely polished to be audience the final consumer, channel members and industrial users and through convincing arguments it is persuaded to buy it.Publicity makes a thing or an idea known to people. It is a general tool indicating efforts at mass appeal. As personal stimulation of demand for a product, service or business unit by planting commercially significant news about it in a published medium or obtaining favorable presentation of it upon video television or stage that is not paid for by the sponsor.

On the other hand, advertising denotes a specific attempt to popularize a specific product or service at certain cost. It is method of publicity, it always intentional openly sponsored by the sponsor and involves certain cost and hence is paid for. It is common form of non-personal communication about an organization or its product ideas, services etc that is transmitted to the target audience through a mass medium. In common parlance the term publicity and advertising are used synonymously.

In short advertising is any paid form of non-personal paid of presentation of ideas, goods or services by an identified sponsor.In developing an advertising program, one must always start by identifying the market needs and buyer motives and must make five major decisions commonly referred as 5M [mission, money, message, media and measurement] of advertising.

Definitions of Advertising

The word advertising comes from the Latin word "advertere meaning to turn the minds of towards". Some of the definitions given by various authors are:

a) According to Webster Advertising is to give public notice or to announce publicity. b) According to GardnerAdvertising is the means of mass selling that has grown up parallel with and has been made necessary to mass production

c) According to William J. Stanton"Advertising consists of all the activities involved in presenting to an audience a non-personal, sponsor-identified, paid-for message about a product or organization."

d) According to American Marketing Association"Advertising is any paid form of non-personal presentation and promotion of ideas, goods and services by an identified sponsor".

Advertising is used for communicating business information to the present and prospective customers. It usually provides information about the advertising firm, its product qualities, place of availability of its products, etc.Advertisement is indispensable for both the sellers and the buyers. However, it is more important for the sellers. In the modern age of large scale production, producers cannot think of pushing sale of their products without advertising them. Advertisement supplements personal selling to a great extent. Advertising has acquired great importance in the modern world where tough competition in the market and fast changes in technology, we find fashion and taste in the customers.

Basic feature of advertisement On the basis of various definitions it has certain basic feature such as:a) Communication : Advertising is means of mass communication reaching the masses. It is a non-personal communication because it is addressed to masses.

b) Information : Advertising informs the buyers about the benefits they would get when they purchase a particular product. However, the information given should be complete and true.

c) Persuasion : The advertiser expects to create a favorable attitude which will lead to favorable actions. Any advertising process attempts at converting the prospects into customers. It is thus an indirect salesmanship and essentially a persuasion technique.

d) Profit Maximization :True advertising does not attempt at maximizing profits by increasing the cost but by promoting the sales. This way it wont lead to increase the price of the product. Thus, it has a higher sales approach rather than the higher-cost approach.

e) Non-Personal Presentation :Salesmanship is personal selling whereas advertising is non-personal in character. Advertising is not meant for anyone individual but for all. There is absence of personal appeal in advertising.

f) Identified Sponsor :A sponsor may be an individual or a firm who pays for the advertisement. The name of reputed company may increase sale or products. The product gets good market because of its identity with the reputed corporate body.

g) Consumer Choice :Advertising facilitates consumer choice. It enables consumers to purchase goods as per their budget requirement and choice. Right choice makes consumer happy and satisfied.

h) Art, Science and Profession : Advertising is an art because it represents a field of creativity. Advertising is a science because it has a body of organized knowledge. Advertising is profession is now treated as a profession with its professional bodies and code of conduct for members.

i) Element of Marking Mix :Advertising is an important element of promotion mix. Advertising has proved to be of great utility to sell goods and services. Large manufactures spend cores of rupees on advertising.

j) Element of Creativity :A good advertising campaign involves lot of creativity and imagination. When the message of the advertiser matches the expectations of consumers, such creativity makes way for successful campaign.

Importance of advertisingAdvertising has become an essential marketing activity in the modern era of large scale production and serve competition in the market. It performs the following functions:a) Promotion of Sales :It promotes the sale of goods and services by informing and persuading the people to buy them. A good advertising campaign helps in winning new customers both in the national as wet as in the international markets.

b) Introduction of New Product :It helps the introduction of new products in the market. A business enterprise can introduce itself and its product to the public through advertising. A new enterprise can't make an impact on the prospective customers without the help of advertising. Advertising enables quick publicity in the market.

c) Creation of Good Public Image :It builds up the reputation of the advertiser. Advertising enables a business firm to communicate its achievements in an effort to satisfy the customers' needs. This increases the goodwill and reputation of the firm which is necessary to fight against competition in the market.

d) Mass Production :Advertising facilitates large-scale production. Advertising encourage production of goods in large-scale because the business firm knows that it will be able to sell on large-scale with the help of advertising. Mass production reduces the cost of production per unit by the economical use of various factors of production.

e) Research :Advertising stimulates research and development activities. Advertising has become a competitive marketing activity. Every firm tries to differentiate its product from the substitutes available in the market through advertising. This compels every business firm to do more and more research to find new products and their new uses. If a firm does not engage in research and development activities, it will be out of the market in the near future.

f) Education of People :Advertising educate the people about new products and their uses. Advertising message about the utility of a product enables the people to widen their knowledge. It is advertising which has helped people in adopting new ways of life and giving-up old habits. It has contributed a lot towards the betterment of the standard of living of the society.

g) Support to Press:Advertising provides an important source of revenue to the publishers and magazines. It enables to increase the circulation of their publication by selling them at lower rates. People are also benefited because they get publications at cheaper rates. Advertising is also a source of revenue for TV network. For instance, Doordarshan and Zee TV insert ads before, in between and after various programs and earn millions of rupees through ads. Such income could be used for increasing the quality of programs and extending coverage.

Active participants in advertisingFollowing are the group of people who are actively involved in advertising.a) Advertiser :Seller who manufacture and market consumer products are the prominent group of advertisers. Hindustan Unilever, proctor and gamble, Siemens and Larson and turbo are the examples of advertisers.Also the retailers are the second prominent segment among advertisers. They stock the products and sell them to the ultimate consumers. Government and social organization are also the active participant in this category.

b) Target audience:It refers to the recipient of the advertising message. Every message is either directed to a mass audience and class audience. Advertising desires to cover its target audience for promoting sale. Advertising message intends to cover the potential user and non user who may purchase the product in future. The messages are also directed to the user of the competitor's product so that they switch over the advertiser's products.

c) Advertising Agencies:An advertiser has two options viz. i. To design, develop and produce and advertising message and get it placed in desired media directly through his own sales or advertising department, or ii. To entrust the entire job of advertising to a team of highly professionalized specialized, independent, advertising agency.An advertising agency is composed of creative people, who conceive design, develop and produce, advertising message with creative ideas and place it in the desired advertising media, for and on behalf of its client (the advertiser). The advertising agencies usually charge a commission of 15% on the media bills from the media owners. In addition, they charge out-of pocket expenses to their clients, i.e. the advertisers. They employ copywriters, artists, photographers, typographers, layout designers, editors and such other creative people.

d) Advertising Production People (Artists) :The production of impressive and persuasive advertisements is possible only with the active help and creative spirit of the artists like copywriters, artists, photographers, typographers, layout designers, editors and such other creative people. Such people are usually employed by the ad agencies or, their services may be hired by the ad agencies on job basis.

e) Target Audience (Readers, Listeners, Viewers and Present and Future Buyers):Advertising messages are given about products services and ideas to readers, listeners, viewers and actual and potential buyers, who are known as the audience. The target audience may be classified into the following three categories, viz.,i. Existing or, current consumers, who are reminded and influenced to continue their patronage and to increase the volume of their buying,ii. Consumers, who buy and use, a competitors brand; hence they are persuaded to buy the advertised brand, instead of the competitors brand; andiii. Those consumers, who do not use any such product; and even then, are persuaded to buy the advertised product.

f) Mass Media :Advertising messages are communicated to the target audience through different mass media, such as,i. Print Media: They consist of newspapers, magazines, journals, handbills, etc.ii. Electronic Media: They consist of radio, television motion pictures, video, multi-media and the internet.iii. Outdoor Media: They consist of posters, hoarding, and handbills, stickers air balloons, neon sign bill boards, local cinema houses, and transit media.

iv. Direct Mail: It consist of broachers, leaflets, pamphlets, letters and return cards addressed to consumers.The advertising agencies guide their clients (advertisers) in selection of the most appropriate advertising media, which is known as media planning. Each medium has its own merits and demerits.

g) Government Authorities :The business of advertising is regulated by the government department. The government adopts law and regulation which have a direct or an indirect bearing on the advertising.Apart from this ASCI (Advertising standards council of India) and ABC (Audit Bureau of circulation) are also some of authorities regulating advertising.

h) Advertising Production Firms:Advertising production firms are the support agencies which help in the production of advertisement. This includes copywriter, artist, photographers, typographers, producer and editors. These are the people who transform ideas into a finished forms Thus the success and failure of the advertisement depend on these people.

How advertisement research works

Advertising is the integral part of every day's life. It is a pervasive method of marketing in society. Though the methods by which marketers advertise have changed over the decades, the role and purpose of advertising has changed over the period of time.

Hence there are three steps in process of showing how the advertisement research works:

The key measure of accountability for advertisers is really all about how the potential customer reacts to the advertising.

Clearly they only tell part of story. The other part of the story is the success with which an ad delivers against its objectives. Advertising basically aims at persuading customer to purchase an advertised product and services.An advertisement can have a range of immediate objective- from pre disposing a consumer to buy through to stimulating immediate purchase.

Measuring advertising effectiveness

When a child writes the examination papers, he has to see the result come what it may be, so that he comes to know where he is wrong and where he should pay more attendance. This will help him work better in future.This is exactly the case of the advertisement. The work is not complete if the effectiveness of advertise is not measured. This is the only way to know how the advertisement is performing, is it reaching the targets and is the goal achieved. It is not at all possible to measure advertisement effectiveness accurately as there are many factors like making a brand image, increasing the sales, keeping people informed about the product, introducing new product, etc, which affect the effectiveness of an advertisement.We all know that there are some companies who advertise at very low level but still their products are a hit and some companies indulge in very heavy advertisements but they dont get desirable results. But then, there are some traditional and modern tools to measure most of the effectiveness of an advertisement through which the advertiser can or may get more and more information about how their ads and product are performing in the market.According to Philip Kotler and Armstrong, the Gurus of Marketing, there are two most popular areas which need to be measured for knowing the effectiveness of advertisement and they are:

Communication EffectCommunication Effect Research consists of three types of researches:

a) Direct Rating Method -here, customers are directly asked to rate the advertisement and then these rating are calculated.

b) Portfolio Tests -here, the customers see the ads and listen carefully to the ads and all the contents of the ads and then they are asked to recall the ad and the contents. Then the calculations are done with help of this data.

c) Laboratory tests -here, the apparatus to measure the heart rates, blood pressure, perspiration, etc are used on the customer after he watches the ad, to know the physiological reactions of the body.

Sales Effect

Sales effect Research totally depends on the sales of the company. The sales keep varying from time to time. There are some factors affecting sales like product availability, the price of the product, contents of the product, and sometimes the competitors. So this method is a little difficult than the communication one. The company doing sales effect research generally bothers about the sales of the product, they try to know whether or not the money they are spending on the ads is enough or excess.

As earlier said, it is not possible to measure each and everything and the chances are at the lower end if the company has many ads running through various mediums at the same time. So suggestion is that the advertiser or the company should use appropriate and different methods which are most suitable for the media under use.

The company can hold surveys and product recognition tests Questionnaire or feedback flyers can be distributed and customers could be asked to fill it up. Toll free number can be highlighted on the ads so that customers can call up. The response rates can be increased by telling customers what to do. For e.g. some ads have lines in flashy color like Hurry Up or No one can eat just one or be the first etc.These are the traditional ways. Now days, internet is the modern tool for measuring the effectiveness of an advertisement. There are some types such as: Integrated direct marketing -This is an internet based tool where they have a response corner designed on the websites. Whenever the customers visit the sites, they fill up their contact details and give feedbacks. Thus the company supplies more information and sends newsletters and also gets the idea for further action. But then its not that only online advertiser have this facility but then advertisers who dont work online can use coupons, discount vouchers, etc. to do this. Analysis tool -there is an analysis tool available on internet by using which the advertiser will know how many customers are visiting the site, who are shopping online, how many pages are viewed, etc. which in turn will help advertiser to measure the effectiveness.Internet is the most easy, cheaper and cost effective way to measure the effectiveness because here no money is wasted as the ad is only viewed when the customer want to view it where as in normal print method or using TV, the ad sometimes goes unwatched or unattended and viewed for the sake of viewing.

A successful advertising effectiveness measurement should be:Validated: based on tested surveys that proves the credential of the measure adopted.Credible: incorporating accepted currency and standard

Simple: to implement and able to generate outcomes that are readily understood and easy to applyRobust: able to provide benchmark to calibrate and access individual ad against norms that will be established.Adaptable: so that it can be utilized across a range of titles and flexible enough to provide additional measures if necessary.Replicable: for consistent result over time and essential for trending analysis and comparison

CHAPTER: 4ADVERTISING STRATEGY OF PEPSICO Advertising media at lumbini beverages Advertisement techniques used by PepsiCo Advertisement by PepsiCo Advertising campaign by PepsiCo

Advertising media at lumbini beverages Pvt. Ltd

1. Aerial signage Glow signage Board.2. Poster3. Banner4. Striker5. Dangler

Beside the advertisement being carried out by the Pepsi Food Pvt. Ltd. The Lumbini Beverages uses many message, copy etc, when required by them but one single factor which is very important is that the main head line or slogan must remain the same as used by each Pepsi Food (soft drink) company on national level.

The main slogan being used by Pepsi food (soft drink) all over India for its cola product has been. The choice of a new generation. But past years, it was dropped and introduced new slogan, Yahi Hai Right Choice Baby and then Yeh Dil Mange More.

These characters have been used to advertisement from 1991 to 2006.a. 1991 Remo Femandis and Juhi Chawala 1992 Kapil Dev with Growl Buddhistb. 1993 Amir Khanc. 1994 Md. Azharudin, Sachin Tendulkar and Kamblid. 1999 Sachin Tendulkar & Sharukh Khane. 2000 Ajay Jedeja, Kajol for 200 ml.f. 2001 Amitabh Bachchan & Sachin Tendulkarg. 2002 Fardeen Khan, Rahul Khanna h. 2003 Ganguli, Dravid, Harbhagan, Zahir, Kaif, Sharukh khan.i. 2003 Kareenna Kapoor for Pepsi 200 ml.j. 2005 Sahrukh Khan for Pepsi 200 ml.k. 2006 Sahrukh khan, kareena kapoor, Priyanka Chopra

The other advertisement for its product slice is Jab Gale se Jayada pet Ho Pyasa

Pepsi is Oye Babli Hai Babli and Mirinda Lemon is Jor Ka Jhatkha Dhire Se Lage.

The media channel extensively used by Lumbini Beverages Pvt. Ltd. Are magazines and news papers of national repute? There are many promotional tools used also as Hoarding play cards spectacular and important tool of sales promotion soft Drink is bought on impulses on the space of the moment. Thus the sales are fast when it is brought to people attention.All the displays are done as guided and instructed by the Lumbani Beverages Pvt. Ltd. With given instructions to its distributions who in turn give guidance to the owners of the retail outlets. A good way of putting soft drink of display is:

a. Grouping filled bottles together (with the trade mark facing out) on racks where ever possible.b. Stocking full cases on top of the other space permitting, where people can easily see them.

Advertisement techniques used by PepsiCoAds are no longer informative tools, but, as Poises aptly points out, there has been a shift in attention away from the physical aspects and functional benefits of products to their symbolic associations, expressiveness. Marketing has ventured into the emotional, the behavioral, and the cognitive. Today, the primary objective of the ad is to create an image. The fierce competition between cola giants PepsiCo and The Coca Cola Company (henceforth, Coca Cola) - and the advertisement strategies adopted by them in India to establish their respective brand images offers an interesting insight into Image Advertising. Brand IdentityThe first step in understanding Image Advertising is to understand the image being created, i.e. Brand Image. Brand Image is consumers perception of the brand in question. This perception might actually be different from what the brand actually embodies the Brand Identity. Advertising bridges the gap between Brand Image and Brand Image.There are a number of tools available to explore the identity of a brand. One such tool is Kapferers Prism (Exhibit 1). As shown in the exhibit above, there are many facets to a brand. Kapferer identifies six key characteristics that together define the brand:

Physique the physical attributes of the brand Personality the personification of the brand Relationship the relationship between the consumer and the brand Culture the core values of the brand Reflection the way consumers want to be perceived when using the brand Self-Image the image that consumers have of themselves when associated with the brandA combination of these characteristics can be used to identify what the brand ultimately stands for.

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Chapter: 5DATA ANALYSIS AND INTERPRETATION

1. RESPONDENT'S CLASSIFICATION ACCORDING TO AGEAGE(IN YEARS)NO. OF RESPONDENTSPERCENTAGE

11-202244%

21-402550%

41-6036%

TOTAL50100%

2. RESPONDENT'S CLASSIFICATION ACCORDING TO SEXSEXRESPONDENTPERCENTAGE

MALE3060%

FEMALE2040%

TOTAL50100%

3. RESPONDENT'S CLASSIFICATION ACCORDING TO EDUCATIONAL QUALIFICATIONQUALIFICATIONRESPONDENTPERCENTAGE

STUDENT4080%

EMPLOYED1020%

TOTAL50100%

4. DRINKING OF COLD DRINKDO YOU TAKE COLD DRINKSRESPONDENTPERCENTAGE

YES50100%

NO--

TOTAL50100%

5. WHICH BRAND OF COLDDRINK YOU LIKE MOSTBRAND OF COLD DRINKREPONDENTPERCENTAGE

PEPSI510%

COCA COLA3060%

BOTH1530%

NONE--

TOTAL50100%

6. WHY YOU LIKE PEPSICO BEVERAGESRESPONDENTPERCENTAGE

BRAND3060%

PRICE612%

TASTE24%

EASILY AVAILAIBLE1020%

FLAVOURS24%

TOTAL5050%

7. RATE PEPSICO COLD DRINKRESPONDENTPERCENTAGE

PEPSI--

7 UP510%

MOUNTAIN DEW4590%

MIRINDA--

SLICE--

TOTAL50100%

8. HOW OFTEN DO YOU DRINK SOFT DRINKRESPONDENTPERCENTAGE

EVERY DAY12%

2-4 TIMES A WEEK24%

ONCE IN A MONTH1530%

ONLY FOR CERTAIN OCCASION3264%

NEVER--

TOTAL50100%

9. WHICH QUANTITY OF COLDDRINK YOU PURCHASE MOSTRESPONDENTPERCENTAGE

200ml2550%

400ml816%

600ml1224%

1.25l24%

2.25l36%

TOTAL50100%

10. DO YOU WATCH ADVERTISEMENTRESPONDENTPERCENTAGE

YES50100%

NO--

TOTAL50100%

11. WHY DO YOU LIKE ADVERTIDEMENTRESPONDENTPERCENTAGE

THEME3060%

FILM STARS816%

GOOD MUSIC1224%

TOTAL50100%

12. WHICH MEDIA IS MORE EFFECTIVE FOR ADVERTISEMENT?RESPONDENTPERCENTAGE

TELEVISION4284%

INTERNET24%

POSTERS612%

TOTAL50100%

13. DO YOU THINK ADVERTISEMENT AFFECTS THE CONSUMPTION OF COLD DRINKSRESPONDENTPERCENTAGE

YES4080%

NO510%

CANT SAY510%

TOTAL50100%

14. DO YOU THINK ADVERTISEMENT IS NECESSARY FOR COLD DRINKRESPONDENTPERCENTAGE

VERY NECESSARY50100%

NOT NECESSARY--

CANT SAY--

TOTAL50100%

15. DO YOU THINK ADVERTISEMENT HAS FORCED YOU TO CONSUME PRODUCT MORERESPONDENTPERCENTAGE

YES3570%

NO1530%

TOTAL50100%

16. SLOGANS OF PEPSI WHICH YOU HAVE HEARDRESPONDENTPERCENTAGE

MY PEPSI MY WAY12%

CHANGE THE GAME48%

OH YES ABHI510%

LIVE IT ABHI4080%

TOTAL50100%

17. DO YOU KNOW 2015s SLOGAN OF PEPSIRESPONDENTPERCENTAGE

YES4896%

NO24%

TOTAL50100%

18. IF PEPSICO COLD DRINK IS NOT AVAILAIBLE AT PARTICULAR SHOP THENRESPONDENTPERCENTAGE

TAKE ANY OTHER BRAND4080%

VISIT NEXT SHOP612%

SUGGEST HAVING THAT BRAND48%

DONT TAKE ANY--

TOTAL50100%

19. WHAT COMES TO MIND WHEN THINKING ABOUT PEPSIRESPONDENTPERCENTAGE

RANBEER KAPOOR2040%

IPL2040%

DAR KE AGEY JEET HAI1020%

TOTAL50100%

CHAPTER: 6 CONCLUSION AND SUGGESTION

FINDINGSAfter going through the entire project and the collected data, I found that:

84% of the respondents said that TV is the most effective media of advertisement. 60% of the respondents said that they like the advertisement of cold drinks because of its theme whereas, 16% said that they like celebrities in advertisement. Some 80% of the respondents said that LIVE IT ABHI more is the most popular slogan whereas 10% of the respondents said that OH YES ABHI is the popular slogan. Majority of respondents are of the view that advertisement is very necessary for cold drink. Each and every respondent sees the advertisement of the cold drink they like most. Majority of the respondents like mountain dew. 60% like the brand of Coca Cola and 10% like the brand Pepsi whereas 30% like both the brand. SUGGESTIONSI reached some suggestions:

Advertisement should not be too expensive, because the advertisement leads and increase the price of the product. Media should be selected according to the choice of customers. In rural areas media should be according to the choice of the people. To give more attention in making the advertisement to make it effective for the sale of cold drink.

Price should be decreased so as to attract the consumers to use product more. To give attention on the weak media of advertisement so that the consumers comes to know about the product. It should be attractive one so that people are attracted toward the advertisement.

CONCLUSION Last but not the least I came to conclusion that majority of the respondents said that TV is the most effective media for advertisement of cold drinks and the themes, music and the slogans in the advertisement effect the consumers consumption.

CHAPTER:7BIBLIOGRAPHY AND QUESTIONNAIRE

Bibliography

BOOKS:A. Philip Kotler - Marketing managementB. Philip Kotler and Armstrong- Principles of marketingC. R.C. Kothari - Research methodologyD. Station J William - Introduction to marketing

MAGAZINES:A. Business TodayB. Business India NEWSPAPER:A. Times of India WEBSITESA. www.pepsizone.comB. www.wikipedia.comC. https://www.facebook.com/pages/Pepsico-Lumbini-Beverages-Pvt-LtdD. http://www.pepsicoindia.co.in/E. http://www.pepsicoindia.co.in/company.htmlF. http://www.pepsicoindia.co.in/media.html

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