umar project final on coco cola on red

8/8/2019 Umar Project Final on Coco Cola on Red

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HINDUSTAN COCA-COLA BEVERAGESPRIVATE LIMITED

PROJECT REPORT ON

Execution Mapping in RED (Right Execution Daily)

Outlets in

A report submitted towards the partial fulfillment of the requirements of the

two years full-time MMS (Marketing)

Submitted by:

Umar shamshad

MMS (Marketing)

Session :( 2009-2011)

OIM

1



ACKNOWLEDGEMENT

I wish to express our gratitude to Hindustan Coca-Cola

Beverages Private Limited, management for giving us an opportunity to be a

part of their esteem organization and enhance my knowledge by granting

permission to do our summer training project under their guidance.

I am grateful to Mr. Subir Chatterji (Marketing Manager),

Mr. Supratho Acharya (Area Sales Manager), Raman Singh & Rajesh Ranjan

(Sales Executive) my guide, for his invaluable guidance and cooperation

during the course of the project. He provided me with his assistance and

support whenever needed that has been instrumental in completion of this

project.

The learning during the project was immense & invaluable.

My work basically included the study of various ways for developing

marketing strategies for the company. The present report is an amalgamation

of my thoughts and my efforts to study the various ways of developing the

marketing strategies for the company. Further a detailed study has been done

in order to suggest the company the feasible strategies that would enhance its

market share.

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UMAR SHAMSHAD

SUMMER TRAINEE

PREFACE

I n s u m m e r t h e c o n s u m p t i on o f s o f t d r i n k s i s m o r e d u e t o h o t w e a t h e r

i n t hi s t im e c hi ll ed w ea th er i s n e ed ed e v er yw he re a n d e ve ry bo d y

i r r e s p e c t i v e o f a g e d i f f e r e n c e . I n t h e m a r k e t p e o p l e s n o t o n l y n e e d

w a t e r , b u t t h e y w a n t s o m e t a s t e t o o . H e r e c o m e s t h e n e e d o f s o f t

d r i n k s : i t h a s b e c o m e a n e s s e n t i a l p a r t o f m a r k e t a s p e o p l e l i k e i t i n

add i t i on t o t he bo t t l e s , now day s packages o f s o f t d r i nks i . e . T i n cans ,

P e t p a c k s o f i . e . L i t t e r s c a n i s t e r s a n d d i s p e n s e r s a r e i n t r o d u c e d t o

enhance t he i mpac t i n s a l e s .

The MMS cur r i cu l um i s des i gned i n s uch a way t ha t s t uden t can g r as p

m a x i m u m k n o w l e d g e a n d c a n g e t p r a c t i c a l e x p o s u r e t o t h e c o r p o r a t e

wor l d i n mi n i mum pos s i b l e t i me . Bus i nes s s choo l s o f t oday r ea l i ze t he

i mpor t ance o f p r ac t i ca l knowl edge ove r t he t heor e t i ca l bas e .

T he re se ar ch re po rt i s n ec ess ar y fo r t he fu lf i llm en t o f M MS

cur r i cu lu m and i t p r ov i des a n oppo rt un i t y to t he s tude nt in

u n d e r st a n d in g t h e i n d u s t r y w i t h s p e c i a l e m p h a si s o n t h e d e v e l o p m e n t

o f s k i l l s i n a n a l yz i n g a n d i n t e rp r e t in g p r a c ti c a l p r o b l e m s t h r o u g h t h e

app l i ca t i on o f management t heor i e s and t echn i ques . I t i s a p l a t f o r m o f

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l e a r ni n g t h r o u gh p r a c t ic a l e x p e r ie n c e , w h i c h i n c o r p o r a te s s u r ve y a n d

compar a t i ve ana l y s i s . I t g i ves t he l ea r ne r an oppor t un i t y t o r e l a t e t he

t h e o r y w i t h t h e p r a c t i c e , t o t e s t t h e v a l i d i t y a n d a p p l i c a b i l i t y o f h i s

c l a s s r oom l ea r n i ng aga i ns t r ea l l i f e bus i nes s s i t ua t i ons .

DECLARATION

I will take pleasure in declaring that the project work that is undertaken by meis an original and authentic work done by me. This project is being submitted I

partial fulfillment for award of degree of MMS in from ORIANTEL

INSTITUTE OF MANAGEMENT

The content of this report is based on the information

collected by me during my tenure at Coca-cola at KALAMBOLI for two

months.

4



UMAR SHAMSHAD

MMS (2009-11)

C E R T I F I C A T E

I, Ms. Madhusnata Saha, hereby certify that Umar shamshad ,

student of ORIENTAL INSTITUTE OF MANAGEMENT VASHI has

completed the project on “Execution mapping in Red-outlet of Coca-

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cola” in the academic year 2010-11 as a part of summer project. The

information submitted is true and original to best of my knowledge.

Project guide Director

(Ms. Madhusnata Saha) (Dr. MenonShreedharan)

INDEX

Tot TOPIC Page No.

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Executive Summary 8

Chapter 1 9

Objective of study 10

Scope of study 10

Chapter 2 11

Company profile

Introduction of the company 14History & Development 15

Company setup of Coca-cola India 15

Product & Branding 16

Business plan model 25

Mission, Vision & Value 28

Chapter 3 31

Competitors to HCCBPL 32

Customer 35

Organization Chart 36

Chapter 4 40

Segmentation Model 41

What is red account? 44

Chapter-5 48

Research Methodology 49

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Observation 51

Problem 52

Chapter 6 53

Data analysis 54

Finding 62

Suggestion 63

Limitation 63

Chapter 7 64

Conclusion 65

Recommendation 66

Chapter 8 67

Reference 68

Annexure

EXECUTIVE SUMMARY

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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.

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Chapter 1

• Objective of study

• Scope of study

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OBJECTIVE OF THE STUDY

The objective of study is as follow.

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 gap 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.

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Chapter 2

Company profile

• Introduction of the company

• History & Development

• Company setup of Coca-cola India

• Product & Branding

• Business plan model

• Mission, Vision & Value

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Coca-Cola, the product that has

given the world its best-known taste was born in Atlanta, Georg ia, on May 8, 1886. Coca-

Cola Company is the world’s leading manufacturer, marketer and distributor of non-

alcoholic beverage concentrates and syrups, used to produce nearly 400 beverage brands. It

sells beverage concentrates and syrups to bottling and canning operators, distributors,

fountain retailers and fountain wholesalers. The Company’s beverage products comprises of

bottled and canned soft drinks as well as concentrates, syrups and not-ready-to-drink

powder products. In addition to this, it also produces and markets sports drinks, tea and

coffee. The Coca-Cola Company began building its global network in the 1920s. Now

operating in more than 200 countries and producing nearly 400 brands, the Coca-Cola

system has successfully applied a simple formula on a global scale: “Provide a moment of

refreshment for a small amount of money- a billion times a day.”

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The Coca-Cola Company and its network of bottlers comprise the most sophisticated and

pervasive production and distribution system in the world. More than anything, that system

is dedicated to people working long and hard to sell the products manufactured by the

Company. This unique worldwide system has made The Coca-Cola Company the world’s

premier soft-drink enterprise. From Boston to Beijing, from Montreal to Moscow, Coca-

Cola, more than any other consumer product, has brought pleasure to thirsty consumers

around the globe. For more than 115 years, Coca-Cola has created a special moment of

pleasure for hundreds of millions of people every day.

The Company aims at increasing shareowner value over time. It accomplishes this by

working with its business partners to deliver satisfaction and value to consumers through a

worldwide system of superior brands and services, thus increasing brand equity on a global

basis. They aim at managing their business well with people who are strongly committed to

the Company values and culture and providing an appropriately controlled environment, to

meet business goals and objectives. The associates of this Company jointly take

responsibility to ensure compliance with the framework of policies and protect the

Company’s assets and resources whilst limiting business risks.

The biz.system of coca-cola in India directly employs approximately 6,000 people, &

indirectly creates employment for many more related industries throw our wash

procurement, supply and distribution system.

The vast Indian operations comprise 25 companies owned bottling operations & 24

franchises –owned bottling operations. The apart a network of contract packers also mfg. a

range of the product for company. On the distribution front, 10 tone trucks, open-bay threewheelers that can navigate the narrow alleyways of Indian cities, ensure that our product

available in each corner of the country.

The coca cola is responsible for the mfg. distribution & sales of product across the country.

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HISTORY OF SOFT DRINK IN INDIA

The first brand of soft drink Gold spot established 53 years ago. Before all empowering

Coca-Cola entered the country to dominate the soft drink market, the history of soft drink in

India is quite drinking old. Down the ages, people consume soft drink to give them a

refreshing feeling. Gold spot is considered as the first brand of soft drink in India, it was

introduced in 1965.

Coca- cola at the same time entered the Indian mark t .and dominated the whole market. It

faced no though competition from the domestic market. Due to certain circumstances the

Coca cola Company discontinued its operations in India. In 1993 Coca Cola was launched

in Agra (India) again with a slogan of "OLD WAVE HAVE COME AGAIN" Joining the

hand with Parle export Pvt. Ltd., The Company was trying its best to regain prestige which

it had before. At present only Coca Cola and Pepsi Food are giving tough competition to

each other.

Coca Cola was the first foreign drink came in India in the year 1965. Coca cola had a very

good beginning in the Indian market and it hardly faced any competition in India. The

marketing people did not even require advertising Coca Cola. This extra ordinary success of

soft drink could be attributed to following factors.

Later in 1970, it introduced Limca a lemony soft drink. Before limca they had tentatively

introduced by Cola-Pepsi which they had to withdraw soon in the face battering

confrontation with Coca-Cola. The Indian drink had a significant opportunity in 1977 when

Coca Cola decided to wind up its operation rather than bowing to the government of India

insistence of dilution of equity.

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HISTORICAL BACKGROUND OF COCA COLA

Coca Cola is a very popular cola (a carbonated soft drink) sold in stores and restaurants in

more than 200 countries. lt is produced by the Coca-cola Company which is also often

referred to as simply Coca cola or coke. Coke is one of the world's most recognizable and

widely sold commercial brands; its major rival is Pepsi. Originally intended as a patent

medicine when it was invented in the 19th century, Coca-cola was bought out by

businessman Asa Griggs Candler, whose marketing tactics led Coke to its dominance of the

world soft drink market throughout the 20th century.

The Coca -cola Company owns and markets other soft drinks that do not carry the Coca

-cola branding, such as Sprite, Fanta, and others. Coca cola was invented. In Atlanta,

Georgia, by John S. Pemberton, originally as a coca wine caned Pemberton's French, Wine

coca in 1885. He was ' inspired by the formidable success of European Angelo Mariani's

coca wine Mariani. '

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PRODUCT HIGHLIGHT

The world's favorite drink. The world's most valuable brand. The most recognizable word

across the world after OK. Coca-Cola has a truly remarkable heritage. From a humble

beginning in 1886, it is now the flagship brand of the largest manufacturer, marketer and

distributor of non-alcoholic beverages in the world.

In India, Coca-Cola was the leading soft-drink till 1977 when govt. policies necessitated its

departure. Coca-Cola made its return to the country in 1993 and made significant

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investments to ensure that the beverage is available to more' and more people, even in the

remote and inaccessible parts of the nation.

Coca-Cola returned to India in 1993 and over the past ten

years has captured the imagination of the nation, building strong associations with cricket,

the thriving cinema industry, music etc. Coca-Cola has been very strongly associated with

cricket, sponsoring the World Cup in 1996 and various other tournaments, including the

Coca-Cola Cup in Sharjah in the late nineties. Coca-Cola's advertising campaigns Jo Chaho

Ho Jaye and Life ho to Aisi were very popular and had entered the youth's vocabulary. In

2002, Coca Cola launched the campaign "Thanda Matlab Coca-Cola" which sky-rocketed

the brand to make it India's favourite soft-drink brand. In 2003, Coke was available for justRs. 5 across the country and this pricing initiative together with improved distribution

ensured that all brands in the portfolio grew leaps and bounds. Coca-Cola had signed on

various celebrities including movie stars such as Karishma Kapoor, cricketers such as

Srinath, Sourav Ganguly, southern celebrities like Vijay in the past and today. Its brand

ambassadors are Aamir Khan and Hrithik Roshan.

Glass PET Can

200ml, 300ml 600ml, 1.2L, 2L, 2.25L, 6 330ml

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Thums Up is a leading carbonated soft drink and most trusted brand in India. Originally

introduced in 1977, Thums Up was acquired by The Coca-Cola Company in 1993.

Thums Up is known for its strong, fizzy taste and its confident, mature and uniquely

masculine attitude. This brand clearly seeks to separate the men from the boys.

Glass PET Can

200ml, 300ml, 600ml, 1.2L, 2L, 2.25L, 330ml

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“Lime ‘n’ Lemoni” Limca, Derived from “nimbu” + “jaisa”.. Hence “lime sa”.

Limca has been lived up to its promise refreshment and has been the original thirst choice

of millions of consumers for over 3-decades.

Born in 1971 has remained unchallenged as the

No.1 Sparkling Drink in the cloudy lemon segement.

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Internationally Fanta - The orange drink of The Coca-Cola Company is seen as one of the

favorite drinks since 1940's. Fanta entered the Indian market in the year 1993.

Over the Years Fanta has occupied a strong market place and is identified as "The Fun

Catalyst".

Perceived as a fun youth brand, Fanta stands for its vibrant color; tempting taste and

tingling bubbles taste that not just up lifts feelings but also helps free spirit thus

encouraging one to indulge in the moment. This positive imagery is associated with happy,

cheerful and special times with friends.

Glass PET Can

200ml, 300ml 600ml, 1.2L, 2L, 2.25L 330ml

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Worldwide sprite is ranked as the No. 4 soft drink & is sold in more than 190 countries.

In India, Sprite was launched in year 1999 & today it grown to be one of the fastest growing

soft drinks, leading the clear lime category.

Today Sprite is perceived as youth icon, why? With a strong appeal to the youth, Sprite has

stood for a straight forward and honest attitude. Its clear crisp refreshing taste encourages

the today’s youth to trust their instincts, influence them to be true to whom they are and to

obey their thirst.

Glass Pet Can

200ml, 300ml 600ml, 1.2L, 2L, 2.25L 330ml

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Maaza was launched in 1976. Here was a drink that offered the same real taste of fruit

juices and was available throughout the year.

In 1993, Maaza was acquired by Coca-Cola India. Maaza currently dominates the fruit

category.

Over the year, brand Maaza has become synonymous with Mango. This has been the result

of such successful campaigns like ‘Taaza Mango, Maaza Mango” and “Botal Mein Aam,

Maaza hai Naam” consumers regard Maaza as wholesome, natural, fun drink which delivers

the real experience of fruit.

The current advertising of Maaza position it as an enabler of fun friendship moments

between moms and kids as moms trust the brand asn the kids lovew its taste. The campaign

builds on the existing equity of the brand and delivers a relevant emotional benefit to the

moms rightly captured in the tagline “Yaari Dosti Taaza Maaza”.

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Glass Tetra Mobile Pet

200ml, 300ml 200ml 600ml 1.25ml

Minute maid Pulpy orange

The brand launched in its internationally successful minute maid pulpy Orange “ avatar is a

naturally refreshing juice drink which offers an Unmatched taste experience to consumers

due to the presence of real ‘orange pulp” This innovative consumer proposition is best

explained by The brand tagline “Refreshing orange, surprisingly pulpy”. Minute maid

Pulpy orange has been made available in two PET pack-sizes on the go1.25 liter bottle,

priced at Rs.25 and 70 respectively.

MOBILE Pet

250ml,400ml 1.l

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Water a thirst quencher that refreshes, a life giving force that washes all the toxins away. A

ritual purifier that cleanses, purifies, transforms. Water, the most basic need of life, the very

sustenance of life, a celebration of life itself.

The importance of water can never be understated Particularly in a nation such as India

where water governs the lives of the millions, be it as part of everyday rituals or as the

monsoon which gives life to the sub-continent.

Kinley water understands the importance and value of this life giving force. Kinley water

thus promises water that is as pure as it is meant to be. Water you can trust to be truly safeand pure.

Kinley water comes with the assurance of Safety from the Coca-Cola Company. That is

why we introduced Kinley with reverse- osmosis along with the latest technology to ensure

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the purity of our product. That’s why we go through rigorous testing procedures at each and

every location where Kinley is produced.

Because we believe that right to pure, Safe drinking water is fundamental. A universal need,

that cannot be left to chance.

BUSINESS PLAN MODEL

DISTRIBUTION NETWORK

HCCBPL has a wide and well managed network of salesmen appointed for taking up theresponsibility of distribution of products to diverse parts of the cities. The distribution

channels are constructed in such a way that the demand of customers is fulfilled at the right

place and the right time when it is needed by them.

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Coca-Cola India

division,

Gurgaon

Regional Bottlers

COBO/FOBO

Customers

Manufactures

Concentrate, Beverage

base and Syrup

Manufactures finished

Bottles/Cans/Fountain

Syrup

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.

1. 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.

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2. 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.

3. 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

4. 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.

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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 :-

Our 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.

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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

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• 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

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FIGURE 2: VISION FOR SUSTAINABLE GROWTH

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Chapter 3

• Competitors to HCCBPL

• Customer

• Organization Chart

34



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:

:

35



• 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.

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• 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.

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CUSTOMER

As coca cola has a wide range of products. Its customer also varies according to taste and

preference. Coca cola is also available in can of 330ml which targets the upper income class

and their sale is also confined in those particular places.

Coca cola is available in cola, lemon, orange and juice flavor, accordingly customers have

choice for. Among the products of coca cola Thumps-up has lead the way with 45% of

market share Fanta stands third after Mirinda.

Coca Cola Company has wide range of customers that falls under the distribution channels

of marketing. Customers may be CNF, distributor, retailers to final customers, which are

households.

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Organizational Chart of Hindustan Coca Cola Beverages Pvt. Ltd.

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ORGANIGATION STRUCTURE

ORGANIZATION STRUCTURE IN COCA-COLA, INIDA

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41



ORGANIZATION STRUCTURE IN COCA-COLA, INDIA

ORGANIZATION STRUCTURE OF THE SALES DEPARTMENT IN

HCCBPL:

42



ORGANIZATION STRUCTURE OF THE SALES DEPARTMENT

Chapter 4

• Segmentation Model

• What is red account?

43



SEGME NTATION MODEL

Chapter 3

• Production process

• Product range

• Pack profile

• Product

44



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) Eating & Drinking :

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.

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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

46



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 depends on their ability to connect

with consumer by providing them with a wide variety

of choices to meet their desire, needs and lifestyles choices, companySuccess further depends on the ability of their people by execute effectively every day.

2. MEET COCA COLA CUSTOMER :

Worldwide 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.

47



What do they do?

Coca cola customer sells its products to consumers & shoppers, who enjoy the

products at a rate of 1.5 billion 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.

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• Counter Top Display.

Outlet Activation According to RED (Right Executiondaily)

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

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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.

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:

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• 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 liters per

bottles should be present in the Eating and drinking, convenience and Grocery shop.

51



Chapter-5

• Research Methodology

• Observation

• Problem

52



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 kalamboli and it was coveted with the help of

market developer and key account manager of the Hindustan Coca-Cola Beverage Private

Limited.

The sample collected from two hundred fifty outlet of; leach Grocery, Convenience and

Eating & Drinking.

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

Type of instrument:

Questionnaire comprising of both open-ended as well as closed-ended

questions were included to understand the behavioral patterns.

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.

Type of Sampling : Non random sampling

Size of sample: 250 outlets

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SOURCES OF DATA COLLECTION

The data are collected from primary and secondary sources.

PRIMARY SOURCES

1. Gather information through Questionnaire.

2. Direct interview with Grocery outlet, Convenience store, Eating and drinking and

consumer.

SECONDARY SOURCES

1. Internet Sites

2. Activation booklet of the coca-cola.

3. RED tracker of the market developer.

4. Magazines - Business World Management and Technology

54



OBSERVATION FOR DISTRIBUTER

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 visicooler will present in prime location.

6) To visit every outlet in regular basis.

7) To go every outlet and listen any problems in visicooler 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.

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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.

56



Chapter 6

• Data analysis

• Finding

• Suggestion

• Limitation

57



DATA ANALYSIS AND FINDING

ACTIVATION

1. Number of outlets needs activation elements?

Activated= 190 Not activated=60

76%

24%

ACTIVATION

YES No

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BRAND ORDER

2. Number of outlet following brand order?

Brand order-168 No Brand order-82

59



PURITY

3. Number of outlets having purity?

Pure- 172 Unpure-78

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PRIME POSITION

4. Number of outlet located at prime position?

Prime position-167 No prime position-83

61



.

62



TRADE CHANNEL

5. Distribution of trade channel

Convenience- 206 Grocery- 16 E&D- 28

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VISI COOLER

6. Distribution of Visi cooler in the market

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

2%

11%

41%

41%

4%

1%0%

VISI COOLER

2vc 4vc 7vc 9vc 11vc 20vc 30vc

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VPO CLASS

7. Volume wise distribution

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

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66



GLASS ORDER DEMAND REQURIED

8. Number of outlet need glass order demand (GOD)?

God required- 231 No required- 24

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FINDINGS

• 76% outlet from the sample of 250 outlets which have sufficient activation elements

but remaining 24% outlets are not fully activated.

• 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.

•

69% of visited outlet, visi cooler are pure i.e. in visi cooler only the product of Cocacola are placed and 31% of outlets don’t keep visi cooler pure.

• 67% of visi cooler are at prime position where consumer can see our product and

choose as per there need.

• 83% outlets are convenience store, 11% are under the E&D and remain under 6%

are glossary shop.

• 41% of outlets are having 7vc, 41% of the total outlets having 9vc, 4% outlets have

11vc, and few outlets have 2vc and 20vc.

• 54% market cover under the silver categories where as remaining 23%, 22%, 1% are

under diamond, gold, bronze respectively.

• 91% outlets don’t have a sufficient number glass order demand that they can create

stock pile according to the visi coolers provided to them and 9% are those outlets

which have sufficient number of glass order demand.

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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 proper vigilance needs to be taken by the senior officer or the department

head of the company at regular intervals all the red outlets 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.

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.

69



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 .

70



Chapter 7

• Conclusion

• Recommendation

71



Conclusion

Coca-Cola is the leading soft drink brand in many 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

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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.

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Chapter 8

• Reference

• Annexure

74



Reference

Books:

Kotler Philip, Marketing Management, 13th edition, pg 88-91,

Websites :

www.quickmba.com

www.indiacom.com

www.yellowpages.com

www.coca-colaindia.com

75

http://www.quickmba.com/

http://www.indiacom.com/

http://www.yellowpages.com/

http://www.coca-colaindia.com/

http://www.quickmba.com/

http://www.indiacom.com/

http://www.yellowpages.com/

http://www.coca-colaindia.com/



ANNEXURE

Questionnaire

Outlet Type : E & D Grocery Convenience

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

MD Name………………………………

1. Visi cooler size?

a. 4vc

b. 7vc

d. 11vc

e. 20vc

c. 9vc f. 30vc

2. VPO class?

a. Bronze

b. Gold

c. Silver

d. Diamond

76



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

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6. Number of glass order daily?

……………………………

…………

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

…………………………………………………………………………………………

…………………………………………………………………………………………

…………………………

…………………………………………………………………………………………

……………

…………………………………………………………………………………………

……………

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79

umar project final on coco cola on red

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