PROJECT TITLE:TO ANALYSE THE AVAILABLITY AT RED OUTLETS AS PER RED NORMS

1. PUNJAB TECHNICAL UNIVERSITY JALANDHAR
A&M INSTITUTE OF MANAGEMENT AND TECHNOLOGY
PATHANKOT
DEPARTMENT OF MANAGEMENT STUDIES
TRAINING CODE: 902
STUDENT NAME: ESHITA AGGARWAL
R.NO:
TRAINING PLACE: Chandigarh
NAME: KANDHARI BEVERAGES PVT LTD. (Coca-Cola)
ADDRESS: 177/F, Industrial Area, Phase-I, Chandigarh
TRAINING DATE: STARTING 04/05/12 COMPLETION 2/07/12
PHONE NO.
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2. APPROVAL OF AMIMT COLLEGE
-------------------------------------------------------------
DR. POOJA OHRI
(DIRECTOR)
AMIMT ,PTK
This is to certify that we have read this report and that in our opinion it is fully
adequate in cope and quality, as a training report.
----------------------------------------- --------------------------------------------
Head of the Department Coordinator of Training
Members of Examining Committee:
Name Signature
1. ------------------------------------------ ------------------------------------
2. ------------------------------------------ ------------------------------------
3. ------------------------------------------ ------------------------------------
4. ------------------------------------------ ------------------------------------
Place:----------------------------------------
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3. ACKNOWLEDGEMENT
We think if any of us honestly reflects on who we are, how we got here,
what we think we might do well, and so forth, we discover a debt to
others that spans written history. The work of some unknown person makes
our lives easier every day. We believe it's appropriate t o a c k n o w l e d g e a l l o f
these unknown persons; but it is also necessary to
a c k n o w l e d g e those people we know have directly shaped our lives and our work
First of all we would like to thank our teacher Mr.Rishi Dogra For their guidance
throughout the semester.
Then we would like to thank our Mr.Bikramjeet Khanna for providing us the
information that was required for completion of this project.
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4. CERTIFICATE OF ORIGINALITY
I Eshita Aggarwal Roll No 1172012 of batch 2011-2013, am a full time bonafide
student of first year of Master of Business Administration (MBA) Programme of A&M
Institute of Management & Technology, Pathankot.
I hereby certify that I have undergone summer training at COCA-COLA (Kandhari
Beverages) from 4th May 2012 to 2nd July 2012 and the project report title” TO
ANALYSE THE AVAILABLITY AT RED OUTLETS AS PER RED NORMS” submitted
in partial fulfillment of the requirements of the MBA programme is an original work of
mine under the guidance of the industry mentor Mr.Bikramjeet Khanna and faculty
mentor Mr.Rishi Dogra, and is not based on or reproduced from any existing work of
any other person.
Further, the project report is not based on or reproduced from any earlier work
undertaken at any other time or for any other purpose, and has not been submitted
anywhere else at any time.
(Student’s Signature) (Faculty Signature)
Student Name: Faculty Name:
Eshita Aggarwal Rishi Dogra
Date: Date:
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6. CONTENTS
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7. TABLE OF CONTENTS
1. Introduction
2. Aim & establishment of the company
3. Establishment of the company
4. Position in India
5. Types of services/products given/products produced
6. Mission statement and aim of the company
7. Research methodology
8. Findings
9. Conclusion
10. Recommendations
11. Bibliography
12. Appendices
13. Questionnaire
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8. INTRODUCTIO
N
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9. INTRODUCTION
A beverage is a drink specifically prepared for human consumption. Beverages
almost always largely consist of water. Drinks often consumed include: Water (both
flat or carbonated),Juice based drinks, Soft drinks, Sports and Energy drinks,
Alcoholic beverages like beer or spirits ,Coffee, tea ,Dairy products like milk.
Commonly, drinks are filled into containers, like glass or plastic bottles, steel or
aluminum cans as well as cardboard supported packages, like the "TetraPack" or
others. Filling of beverages can be done cold, hot, ambient and cold-aseptic filling to
mention the latest trend of beverage marketing and technology.
The beverage is mainly categorized into two major categories based upon the
alcoholic and nonalcoholic nature of the drink. Non-Alcoholic beverages are further
o two types based upon carbon content. These beverages contain Fruit juices,
Coffee, Tea, Soda, Colas. The Alcoholic beverages are based upon the fruit content
and grain. It may be Wine, Brandy, Whisky or Beer.
Beverage
Non-Alcoholic Beverages Alcoholic Beverages
Non-carbonated Carbonated Fruit Based Grain
Fruit Juices, Colas, Wine, Beer,
Coffee, Soda, Brandy Whisky
Tea, Tonic Water
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Packaged
Water

10. Indian Beverage Industry
India has a population of more than 1.150 Billions which is just behind China.
According to the estimates, by 2030 India population will be around 1.450 Billion
and will surpass China to become the World largest in terms of population.
Beverage Industry which is directly related to the population is expected to maintain
a robust growth rate. The price stability throughout the year has contributed to the
increase in domestic liquor sales.
The Indian beverage market offers hot options. According to Dabur, the fruit
beverages industry in India now stands at Rs 1100 crores (approx. Euro 180 million)
and the market has grown at the rate of 30% where Dabur India, through the new
launch Real Burst, is looking at establishing a market share of 4-5% in next 2-3
years.
Part of the industry of fast moving consumer goods is also the beverage industry.
The total beverage industry in India is being estimated to grow at 17% this year,
according to experts. "Food and beverages segment has not suffered despite the
slowdown in the economy. FMCG in our stores has done very well. In fact, we
registered 10-15% growth in this segment last year," said a spokesperson at
Spencer's Retail Ltd.
Beverage majors like Coca Cola India, for example, again reported growing sales.
Coca-Cola in India reported a solid first quarter 2009 results not only despite a
challenging economic environment, but also with unit case volume increasing by
31%. And eight quarters out of the 11 quarters had a double-digit growth.
To foreign observers of the market, these figures might sound unbelievable, as
Western markets are saturated and have not seen such figures for long time. But in
India, various positive factors drive the beverage markets. One is the rising number
of people in the middle class with extra money to spend on new beverages like
wine, new brands of imported whiskey, or the fancy energy drinks, some of which
are really good to enable people to work
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11. longer, to listen longer during conferences, and even to party longer and have fun.
Leader in this segment is Red Bull, but some other good and very effective drinks,
one even very healthy are already or soon entering the market.
Another factor is the sheer size of the number of people in India. Even the rural
households, as long as the monsoon is good, get purchasing power and can
participate in consumer markets. Where ever the purchasing power is still not big
enough, companies offer smaller packs for Rs. 10 or Rs. 5, especially to be seen in
the snack market. Hot summers in India also help a bit to sell beverages.
The large untapped market potential for store-bought non-alcoholic beverages, in
particular carbonated beverages, juice based drinks and energy or sports drinks
among urban/suburban consumers in India.Approximately 120 billion litres of
beverages are consumed by Indians every year, but only 5% represent store-bought
packaged beverages. The majority of Indian consumers (75%) still consume non-
alcoholic store-bought beverages ‘less than once a day’, highlighting a large
untapped market opportunity, particularly in the carbonated drinks and juice or juice-
based categories (estimated to be worth $1.5 Billion and $.25 billion respectively). In
order to increase consumption and penetration of such beverages manufacturers
will have to address the two primary reasons why some Indians abstain entirely, that
is, health concerns and undesirable taste.
The study investigates consumption frequency and habits, the importance of various
product attributes, and brand preferences across age, household income, city in
India and beverage category. This study has implications for manufacturers,
distributors, retailers and investors hoping to capitalize on the growth of these
beverage categories in India and distinguish themselves in the increasingly crowded
marketplace.
India is a booming market for the beverage industry as well. It already accounts for
about ten per cent of global beverage consumption today. This means that the
country has the third-largest beverage consumption after the USA and China. But
that is not the end of the road. Market analyses indicate that beverage sales in India
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12. will be increasing by more than 60 per cent between 2008 and 2012. Since India is
(still) a country of tea and coffee drinkers, packaged cold drinks have enormous
potential. Packaged water, beer, spirits and carbonated drinks are recording what
rates are in some cases high double-digit growth. All in all, annual per capita
consumption of packaged beverages is supposed to triple from 2.6 litres in 2000 to
8.7 litres in 2012.
Demand for milk and milk-based beverages are also rising. India is the world’s
biggest producer and consumer of milk, since milk plays a major role in the Indian
diet. The consumption of milk and milk-based beverages has increased by an
annual average of 2.7 per cent in the last four years and most of them (65 per cent)
are sold “loose” / unpackaged.
The proportion of the market accounted for by packaged milk and dairy products are
increasing, however. In the past four years, for example, demand for milk filled in
pouches has grown by 4.5 per cent annually, while the figure for milk in cartons is
about 25 per cent. The rising consumption is making it necessary for appropriate
investments to be made by the beverage industry.
The sector is highly fragmented and 95 per cent of these producers have small or
very small operations. Of this, the health beverage industry is valued at $230 million.
The Indian beverage industry faces over supply in segments like coffee and tea.
However, more than half of this is available in unpacked or loose form. Indian hot
beverage market is a tea dominant market. Consumers in different parts of the
country have heterogeneous tastes. Dust tea is popular in southern India, while
loose tea in preferred in western India. The urban-rural split of the tea market was
51:49 in 2000. Coffee is consumed largely in the southern states. The size of the
total packaged coffee market is 19,600 tonnes or $87 million.
The total soft drink (carbonated beverages and juices) market is estimated at 284
million crates a year or $1 billion. The market is highly seasonal in nature with
consumption varying from 25 million crates per month during peak season to 15
million during offseason. The market is predominantly urban with 25 per cent
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13. contribution from rural areas. Coca cola and Pepsi dominate the Indian soft drinks
market. Mineral water market in India is a 65 million crates ($50 million) industry. On
an average, the monthly consumption is estimated at 4.9 million crates, which
increases to 5.2 million during peak season.
Key Features of Indian Beverage
Industry
 Indian Beverage Market CAGR[2007-2010]:21%
 India ranked 3rd in largest beverage consumption after the USA and China
 Total Indian Beverage Consumption every year:120 billion liters
 Fruit Beverages Market size: Rs 1100 crores (approx. Euro 180 million)
 Fruit Beverage market growth rate: 30%
 Majority of Indian consumers:75% consume Non-alcoholic beverages and 25%
Alcoholic Beverages
 Carbonated Drinks Market size: $1.5 Billion
 Juice or juice-based Drinks Market size: $.25 billion
 Health beverage industry is valued at $230 million
 Indian Beer Market Growth Rate: 7 - 8 %
 Milk-based beverages consumption has increased by an annual average of 2.7
per cent in the last four years
 Total packaged coffee market size: 19,600 tonnes or $87 million.
 The Indian soft drink market is worth Rs. 21,600 million a year with a growth of
around 7%.
 The total soft drink (carbonated beverages and juices) market is estimated at
284 million crates a year or $1 billion.
 Peak season soft drink consumption : 25 million
 Off-season soft drink consumption: 15 million
 The market is predominantly urban with 25 per cent contribution from rural
areas.
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14.  Coca cola and Pepsi dominate the Indian soft drinks market.
 Indian Mineral water market size : 50 million industry.
Factors Driving Indian Beverage
Market
India is a growing and developing country which is having a very high economic
growth with the drastic increase into the population size. Due to the developing
economic condition, there is increase in the competition among the manufacturers,
retailers, dealers to promote their products at competitive prices.
The increase in the India population has given a high demand of beverage market
products. The Indian beverage market is segmented into the two major segments –
Alcoholic and Non-Alcoholic Beverages.
Again these categories of beverages are sub-divided into the carbonated and fruit
based drinks.
Tea and Coffee also contributed majorly into the Beverage Industry.Indian Beverage
market distribution and marketing channel is highly networked and has a very
approach to the customers. Due to the globalization and technological
developments there is highly innovative products are coming into the Indian
Beverage markets which are appreciated by the Indian population.
In India, here are various forms of beverage market get to be seem in the form of
retailers, Restaurants, Coffee shops, Sport events, Hotels etc.
There are certain factors which are driving developments into the Indian
Beverage sector:
• Economic growth
• Population growth
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15. • Competition for Raw materials
• Power of retailers
• Globalization / Regionalization
• Research & Development
• Technological Developments
• Food safety and regulation
• Consumer Demands and trends
Indian Beverage Market and
Distribution Network.
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16. Issues Related to Indian Beverage
Market.
 Social Issues
For the alcohol industry the social concerns are numerous, ranging from associated
disease as well as health and safety impacts from high levels of alcohol
consumption, to under-age drinking, and in developing country contexts the portion
of spending on alcohol versus basic needs.
Domestic violence and an exacerbation of poverty have made alcohol abuse the
single most important problem for women in India.
The report points out that as prosperity levels increase across Asia, we can expect
to see increasing levels of alcohol consumption. This presents both an opportunity
for listed companies in Asia, but given the potential negative social impacts, it also
presents significant challenges.
Soft drink companies are advised to anticipate government regulations, particularly
in relation to their marketing approaches to children. Companies need to be
innovative in creating healthier soft drink products as in the case of PepsiCo and
Coca Cola focusing on a low sugar, natural sweetener for their products and
Vietnamese and Chinese brands tapping into the demand for alternatives to
carbonated soft drinks.Companies should assess their supply chain risks and put in
place codes of conduct, monitoring and capacity building initiatives to prevent these.
As consumers become more aware of supply chain issues, good supply chain
management can create a competitive advantage.
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17. Companies that rely on agricultural supply chains, particularly large numbers of
small holding farmers, should look to developing partnerships with government,
local NGOs and international agencies to better manage social risks.
Governance Issues
A typical challenge in the Indian beverage sector’s fight against corruption is the
complex interrelationship between politics and the private sector. Strong
governance is clearly vital for companies to ensure the integrity of their
organizations, relationships with consumers and government authorities to avoid
corrupt business practices.
Companies should look to providing more transparency and accountability in terms
of the selection of board members, remuneration, links between remuneration and
performance, diversity of the board and decision making processes.
Alcohol companies should ensure a high level of transparency in terms of the
financial support provided for industry groups that in turn lobby national
governments for changes in alcohol policies
Companies should put in place initiatives and get involved in collective action to
raise corporate integrity, especially in relation to corruption and bribery.
 Environmental Issues
Companies need to first assess to what extent they and their suppliers depend on
water and the associated risks. This should be done in consultation with key
stakeholders.
Companies need to realize that global commitments to improve water efficiency can
only be implemented locally, requiring versatility and local management support.
Companies should disclose water performance and the initiatives that they are
putting in place.
Companies need to assess their contribution to climate change, put in place
measures to reduce emissions and waste and report on progress.
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18. SWOT Analysis of Indian Beverage
Industry
 STRENGTH
• Renewal and investment
• Innovation and Technological development
• Experience in searching for new markets, niches and partners
• Availability of key raw materials, cheaper labor costs and presence across
the entire value chain gives India a competitive advantage.
 WEAKNESS
• Old technologies and poor work organization
• Insufficient pace of creation and implementation of innovations
• Insufficiently effective activities of small and medium-sized businesses
• Change in household consumption patterns
OPPORTUNITIES
• Presence of a favorable market
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19. • Market globalization
• Foreign direct investment promoting knowledge and developing export
channels
• Transfer of production to the countries with smaller labor costs
• Well established distribution network
THREATS
• Increasing competition among exporters and decreasing dependency on one
market
• Intense competition between the organized and unorganized segments and
low operational cost.
• Water scarcity in India
• Implementation of Goods and Service tax by 2011
Leading Players
There are so many large companies present in India who are leading players in the
Indian Beverages Industry. The companies are having large annual turnovers with
wide range of product portfolios which include all kinds of beverage drinks from
soda to energy drinks. These companies are having a large variety of products like
soda, water, Colas, Fruit based drinks, Lemon based drinks, Milk beverages, and
Fruit based wine, beer, Whisky, Coffee, and Tea etc. with so many health and
energy drinks portfolio.
These companies have a strong distribution and marketing channel which supply
the beverages products to customers through retailers, Coffee shops, Restaurant,
Hypermarket and Supermarkets. The segment is highly distributed all over the
country through a long chain of retailers and suppliers who are providing very
efficient service to the company.
The leading Indian Beverage sector players are as follows:
1. Coca-Cola Company
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20. 2. PepsiCo
3. UB Group
4. Dabur India Ltd
5. TATA Global Beverages Ltd [TATA Tea]
6. Nestlé India
7. Café Coffee Day
8. Red Bull India Pvt Ltd
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21. Coca Cola Company
Coca-Cola is the world's leading beverage company. The company is the
world's leading manufacturer, marketer, and distributor of nonalcoholic
beverage concentrates and syrups, used to produce nearly 400 beverage brands.
The company makes and distributes sodas, waters, fruit juice, teas and coffees and
energy drinks. Through the world's largest beverage distribution system,
consumers in more than 200 countries drink the company's beverages at a rate
exceeding 1.5 billion servings each day. Major brands include Coke, Diet Coke,
Sprite, Bacardi, A&W, Minute Maid, Dasani, Nestea, PowerAde and Hi C.
Kandhari Beverages Pvt. Ltd.
Coca-Cola was the leading soft drink brand in India until 1977, when it left
rather than reveal its formula to the Government and reduce its equity stake
as required under the Foreign Regulation Act (FERA) which governed the
operations of foreign companies in India. Coca-Cola re-entered the Indian market
on 26th October 1993 after a gap of 16 years, with its launch in Agra.
An agreement with the Parle Group gave the Company instant ownership of the top
soft drink brands of the nation.
With access to 53 of Parle‟s plants and a well set bottling network, an excellent
base for rapid introduction of the Company’s International brands was formed. The
Coca-Cola Company acquired soft drink brands like Thumps Up, Goldspot, Limca,
Maaza, which were floated by Parle, as these products had achieved a strong
consumer base and formed a strong brand image in Indian market during the re-
entry of Coca-Cola in 1993.Thus these products became a part of range of
products of the Coca-Cola Company. KANDHARI GROUP was established in
1967 by Late Mr. Teja Singh Kandhari, is presently a progressive business house in
India. The group’s first venture was a bottling unit as a franchisee of PARLE‟s soft
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22. drink manufacturing “ Gold Spot ” under license from PARLE established at Amritsar
in the north Indian state of Punjab. Kandhari Beverages Ltd is among Coca-Cola
India's top 4 franchisee bottlers. Over a period of time, the Group ventured deep into
Aerated Water business and expanded its scope of operations to other Indian states
including Punjab, Haryana, Chandigarh and Himachal Pradesh.
In 1993, the world renowned soft drink giant - Coca-Cola entered India and bought
over PARLE brand of soft drink products, being one of the star bottlers of PARLE
the Group switched to manufacturing, bottling & marketing of Coke brand of soft
drink products
Distribution Network.
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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23. Distribution Chain
Coca Cola India Co. LTD has a wide and well managed distribution network.
A typical distribution chain at KO 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 organized distribution system
contributes to the efficiency of the salesmen. It also leads to low costs; higher sales
and higher efficiency thereby lead to higher profits to the firm.
The departments that are involved in the distribution system are shipping and
warehousing department, finance department and distribution department.
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24. AIM AND
MISSION OF
THE COMPANY
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25. Mission of Coca-Cola Company
From their heritage to their mission to the people who bring their products to thirsty
consumers, The Coca-Cola Company is a part of lives everywhere.
Their Mission is
“To Maximize Share-Owner Value over Time.”
In order to achieve this mission, they must create value for all the constituents they
serve, including their consumers, their customers, their bottlers and their
communities. The Coca-Cola Company creates value by executing a
comprehensive business strategy guided by six key beliefs:
Ø Consumer demand drives everything they do.
Ø Brand Coca-Cola is the core of their business.
Ø They will serve consumers a broad selection of the nonalcoholic ready-to-drink
beverages they want to drink throughout the day.
Ø They will be the best marketers in the world.
Coca Cola worldwide and in India.
The Coca-Cola Company is the world’s largest beverage company. Along with
Coca-Cola, recognized as the world’s most-valuable brand, the Company markets
four of the world’s top five soft drink brands, including Diet Coke, Fanta and Sprite
and a wide range of other beverages, including water, juices and juice drinks, tea,
coffee and sports drinks. Through one of the world’s largest beverage distribution
system, consumers in more than 200 countries enjoy The Coca-Cola Company’s
beverages at a rate exceeding 1.6 billion servings each day.
Coca-Cola in India is the country’s leading beverage Company with an unmatched
portfolio of beverages. The Company manufactures and markets leading beverage
brands like Coca-Cola, Thums Up, Fanta, Fanta Apple, Limca, Sprite, Maaza,
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26. Minute Maid, Burn, Kinley and Georgia range of tea coffee, Nestea and Fanta Fun
Taste.
One of the early investors in India, the Coca-Cola system provides direct and
indirect employment to more than 1, 50,000 people.
The Coca-Cola System in India has more than 1 million retailers and our business
has a multiplier effect on employment and earning opportunities. Coca-Cola in India
is the largest domestic buyer of sugar and one of the top buyers of mango pulp. The
Coca-Cola System in India business also positively impacts industries like Glass,
Plastics, Resin Manufacturers, Sugar, Automobiles, White Goods Manufacturers,
Banking etc.
The Coca-Cola Company has always placed high value on good citizenship. At the
heart of business is a mission statement called the Coca-Cola Promise - “The Coca-
Cola Company exists to benefit and refresh everyone that it touches.”
This basic proposition entails that the Company’s business should refresh the
markets, protect, preserve and enhance the environment and strengthen the
community. Coca-Cola India provides extensive support for community programs
across the country, with a focus on education, health and water conservation. The
Company has installed more than 500 rain water harvesting structures in the
country. The Company has also undertaken the rejuvenation and reconstruction of
several traditional water bodies including check dams.
We are also working towards providing clean drinking water to school children in
Chennai and areas in West Bengal in partnership with Rotary International and UN
Habitat respectively. The Company is committed to work with communities across
India in its effort to contribute to mutual growth and development.
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27. 27

28. POSITION
IN
INDIA
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29. Coca Cola Systems worldwide and in
India
At the core of our business in India, as in the rest of the world is our production and
distribution network, which we call the “Coca-Cola system”. Globally, the Coca-Cola
system includes our Company and more than 300 bottling partners. The Coca-Cola
Company manufactures and sells concentrate and beverage bases. Our authorized
bottlers combine our concentrate or beverage bases as the case may be with
sweetener (depending on the product), water or carbonated water to produce
finished beverages. These finished beverages are packaged in authorized
containers bearing our trademarks -- such as cans, refillable glass bottles, non-
refillable PET bottles
and tetra packs -- and are then sold to wholesalers or retailers. In India, additionally,
the Company also sells certain powdered beverage mixes such as Vitingo and
Fanta Fun Taste.
Our beverages reach our ultimate consumers through our customers: the grocers,
small retailers, hypermarkets, restaurants, convenience stores and millions of other
businesses that are the final points of distribution in the Coca-Cola system. What
truly defines the Coca-Cola system, and indeed what makes it unique among
businesses, is our ability to create value for our customers and consumers.
In India, the Coca-Cola system comprises of a wholly owned subsidiary of The
Coca-Cola Company namely Coca-Cola India Pvt Ltd which manufactures and sells
concentrate and beverage bases and powdered beverage mixes, a Company-
owned bottling entity, namely, Hindustan Coca-Cola Beverages Pvt Ltd; thirteen
authorized bottling partners of The Coca-Cola Company, who are authorized to
prepare, package, sell and distribute beverages under certain specified trademarks
of The Coca-Cola Company; and an extensive distribution system comprising of our
customers, distributors and retailers. Coca-Cola India Private Limited sells
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30. concentrate and beverage bases to authorized bottlers who are authorized to use
these to produce our portfolio of beverages.
These authorized bottlers independently develop local markets and distribute
beverages to grocers, small retailers, supermarkets, restaurants and numerous
other businesses. In turn, these customers make our beverages available to
consumers across India.
Company Overview
Established in 1886, Coca-Cola is the world’s most ubiquitous brand. The company
and its subsidiaries are present in over 200 countries employing over 49,000
individuals and generating revenues to the tune of US$ 21 billion. The Coca-Cola
Company markets four of the world’s top-five soft drink brands; its beverage
products encompass nearly 400 brands, including non-carbonated beverages such
as waters, juices, sports drinks, teas and coffees.
The company’s net income registered a CAGR of 7.2 per cent over a 10-year
period. Till date, Coca-Cola has invested over US$ 1 billion in India and employs
over 5,000 people. The Coca- Cola system in India comprises 25 wholly owned
Bottling operations and another 35 franchisee-owned bottling operations. A network
of 27 contract-packers also manufactures a range of products for the company.
 Business in India
Coca-Cola is a leading player in the Indian beverage market with a 60 per cent
share in the carbonated soft drinks segment, 36 per cent share in fruit drinks
segment and 33 per cent share in the packaged water segment.
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31. Outsourcing distribution and manufacturing
Coca-Cola India minimized its capital needs by meeting new manufacturing capacity
needs through external co-packers, outsourcing its distribution and meeting its in-
market-refrigeration and cooling needs by giving incentives to retailers to self-fund
the same through its “Own Your Fridge Scheme.”
Today, the company has an extensive rural and urban distribution network. Coca-
Cola adopts a hub and spoke format distribution network ensuring that large loads
travel longer distances and short loads travel short distances. The company has
increased its village penetration from 9 per cent in 2000 to 28 per cent in 2004 and
covers approximately 175,000 villages today. Rural India now accounts for 30 per
cent of Coca-Cola’s sales volumes.
 Factors for success
31

32. Coca-Cola has succeeded in spite of an extremely price-sensitive consumer with
entrenched beverage consumption habits – tea, nimbu-paani (lemonade) and a
ragmented and geographically dispersed retail market, and a high tax environment.
 Diverse product portfolio
In keeping with its goal of emerging as the single largest entity in the beverage
market, Coca-Cola has a presence in multiple segments.
• Carbonated soft drinks (Coke, Diet Coke, Fanta, Thums Up, Sprite and
Limca)
• Fruit juice based drinks (Maaza)
• Powdered soft drinks (Sunfill)
• Coffee and tea (Georgia)
• Bottled water (Kinley) and Bottled soda (Kinley Soda)
The company leverages this comprehensive portfolio, which includes a mix of its
global brands as well as the locally acquired brands like Thums Up, Limca and
Maaza
• It sells these beverages in multiple volumes of 200 ml, 300ml, 500ml, 1.5 l
bottles, tetra packs as well as through vendors (fountain machines)
• Explores new markets with the introduction of new drinks (Georgia, coffee and
tea segment) and flavors (Vanilla Coke)
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33. TYPES OF
PRODUCT
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34. TYPES OF PRODUCTS(BRANDS)
1. COCA COLA
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.
2. THUMS UP
It is a leading sparkling soft drink and most trusted brand in India.
Originally introduced in 1977, Thums up was acquired by the Coca Cola
Company in 1993.This brand known for its strong, fizzy taste and its confident,
mature and uniquely masculine attitude.
3. SPRITE
Sprite is global leader in the lemon line category, is the largest parkling
beverage brand in India. Launched in 1999, Sprite with its cut thru
perspective has managed to be a true teen
34

35. FANTA
Fanta has entered in Indian market in the year 1993.Fanta stands for its
vibrant color, tempting taste and tingling bubbles
LIMCA
Born in 1971,Limca has remained unchallenged as the No. 1 sparkling Drink
in the cloudy lemon segment. The main point in the brand is the “Freshness”.
PULPY ORANGE
The company developed a process that eliminated 80 % of the water in orange
juice forming a frozen concentrate that when reconstituted created orange
juice.
Available in 400 ml,1 L and 1.25 L and also in PET pack size.
MAAZA
Mango. It is a fruit associated with good times like no other. It’s called the
king o fruits.
KINLEY
Kinley water understands the importance and value of the life giving fore.Kinley
water comes with the assurance of safety from the Coca-Cola Company.
Coca-Cola introduced Kinley with reverse osmosis along with latest
technology.
Available in 500ml,100ml in PET.
35

36. GEORGIA GOLD
Introduced in 2004,the Georgia gold of tea and coffee beverage is perfect
solution for the office and restaurant needs!It is available at quick service
restaurant, Cinemas, Airports and in Coporates across all major matros in
India.
Hot Bevarges : Espresso, Americano, Cappucino, Caffe Latte, Machaccino , Hot
chocolate, Cardamom Tea
Cold Bevarages: Iced Teas,Cold Coffee
.
36

37. RED
(RIGHT EXECUTION DAILY)
RED (Right Execution Daily) is a measurable tool to measure sales team and
distributors performance in the outlets with respect to all parameters of sales
– Cooler
– Brand Pack Availability
– Channel Activation
• RED works on three categories :
1) Type Of Outlet (Channel)
a) Grocery – Home Consumption
Packs: PET and Mobile
b) Convenience – medium / Small outlets on main roads, bus stand etc.
Packs: RGB and Mobile
c) Eating & Drinking – Restaurants, sweet shops, bakery etc.
Packs: 300 ml & Mobile
2) There are various volume of outlet:
PLATINUM: VOLUME MORE THAN 1200
DIAMOND: 800 -1200CS
GOLD: 500-799CS
SILVER: 200-499CS
BRONZE: LESS THAN 200 CS
37

38. THERE ARE 3 CONSUMER PROFILES:
HIGH Income area
MIDDLE Income area
LOW Income area
THESE ARE RED MEASURES TP PICTURE OF SUCCESS:
1. Visi-cooler presence & condition.
2. Visi-cooler position, display & Brand Order Compliance
3. Availability Standards
4. Activation Elements
5. Price communication
On RED scoring sheet there are 3 parts:
VISI-Cooler – it has to be as per standard, it should be placed in the prime
position, it is checked and other related things are considered
Availability – here the availability of sparkling and stills are checked and these
are to be according to the SKU’S (STOCK KEEPING UNIT)
Activation – It includes availability of flex board ,flange,3 tier racks ,shelf
display , cooler top , cut-case
• OBJECTIVES OF RED:
It lays down the standards for brand norms, in – outlet activation elements
It lays down specific norms for enhanced in – outlet brand execution
It tracks the brands and brand pack penetration
It allows for development of short, mid and long term strategies, tactic plans
Due to audit characteristic of RED, each brand can be measured against specific
execution goals.
38

39. BENEFITS OF RED:
● RED helps to find out the promotion activities of the company and help to
make relevant changes according to their rivalry company.
● This study ensures the availability of the product in the market.
● The study also helps in the evaluation of the market developer .RED helps to
maintain the outlets in a well designed way to attract consumers.
IMPORTANT TERMS RELATED TO CHANNELS
GROCERY: Store stocking a variety of regular use household items. The channel
provides an opportunity for penetration as it propels home consumption.
It includes all the kiriana stores, departmental stores, supermarkets, provision stores
etc.
E&D : Eating and drinking ranges from high end restaurants to small dhabas .these
outlets offer multiple opportunities to enhance sales as people usually order
something to drink along with food.
There are 2 types of E&D : E&D1 AND E&D2
CONVIENENCE :These offer pan bidi and the stock includes cigarettes ,mint,
confectionary and CSD .it also covers STD and ISD phone booths as well
.customers generally drop by All day long hours for a break .this is extremely useful
in driving impulse purchase.
39

40. RESEARCH
METHODOLOG
Y
40

41. RESEARCH METHODOLOGY
Research design used is quantitative research design to collect and analyze data.
Quantitative Research provides the researcher a clearer picture of what to expect in
his research.
Quantitative Research makes use of tools such as questionnaires, surveys and
other equipment to collect numerical or measurable data. Quantitative Research is
objective in approach in the sense that it only seeks precise measurements and
analysis of target concepts to answer his inquiry. Quantitative research focuses on
numbers or quantities. Quantitative studies have results that are based on numeric
analysis and statistics. Certain characteristics of quantitative research are:
 Objective
 Research questions: How many? Strength of association?
 Measurable
 Report statistical analysis
 Basic element of analysis is numbers
 Generalizations leading to prediction, explanation, and understanding
 Highly controlled setting: experimental setting (outcome oriented)
 Sample size - n
DATA COLLECTION FROM SECONDARY SOURCE
Data for secondary research was collected from company brochures, magazines,
journals, internal sources, internet articles and journals.
The data collection mainly focused on
 History of COCA- COLA.
 Brief details about the various products in carbonated and non- carbonated
segment.
 The Marketing strategy adopted by COCA – COLA
41

42. DATA COLLECTION FROM PRIMARY SOURCES
To know the Brand-Pack Wise Availability fo Coca-Cola Products at RED Outlets. It
has to be found out that which all Flavours of Sparkling and Juices are available on
Each Outlet as per RED Norms requirement and Similarly which all Packs are
available. This Data will help in analysing the status of Execution in Chandigarh
City.
Questionnaire is the primary method used for data collection.
The Questionnaire was designed by focusing on RED Norms. It has been ensured
that all Brand-Pack wise Availability Parameters should be covered.
SAMPLING TECHNIQUES
Sample means a subgroup of elements of a population selected for participation in
the study. And number of elements to be included in the study is known as sample
size.
A sample of the entire population is taken to analyse the Brand-Pack Availability of
Coca-Cola Products at RED Outlets.
Sampling involves obtaining insight and knowledge of the needs and wants of the
customer by taking a subset of the population. Preferably, the subset should be
heterogeneous to know the exact demand of the customer.
Sampling Method: Stratified Random Sampling Method
Sample Size: 100
Sample Unit: All Retailers who are Considered as Red Outlets, i.e Outlets with Visi-
Cooler.
42

43. 43

44. ANALYSIS
AND
DISCUSSIONS
44

45. ANALYSIS AND DISCUSSIONS
GRAPH 1:200ML AVAILABILITY PACKWISE:
DESCRIPTION: The availability is low because the retailers are not ready to keep
200ml bottles because of two reasons, One they think that the Margins is low as
compare to 300ml RGB, secondly it’s the Price Factor as 200ml is to be sell at 8Rs,
so 2 Rs change is a big problem.
45

46. GRAPH 2:300ML AVAILABILITY PACKWISE:
DESCRIPTION:300ml is the only RGB pack which is selling these days, It is been
seen that it was available in all Brands in almost 30-40% Outlets in Chd.
46

47. GRAPH 3:300ML(CAN) AVAILABILITY PACKWISE:
DESCRIPTION: Cans are outsourced due to which the availability of cans is low
and Secondly cans are first distributed to key outlets like DT mall, Subway etc.
47

48. GRAPH 4:500ML AVAILABILITY PACKWISE:
DESCRIPTION:500ml Pack is considered as the most convenient and most
consumable pack. Now a day’s consumers and retailer both see this pack as easy
to carry and one shot drinking pack.
48

49. GRAPH 5:600ML AVAILABILITY PACKWISE:
DESCRIPTION:The demand of Kinley soda is very low as there are many other
competitors in the market like Lehar soda which are available in very low prices.
49

50. GRAPH 6:1.25LTR AVAILABILITY PACKWISE:
DESCRIPTION:1.25ltr is available in almost all Brands, but it was available in only
30-40% outlets. One reason for the same could be that 2ltr is taking its place for
home consumption.
50

51. GRAPH 7: 2LTR AVAILABILITY PACKWISE:
DESCRPTION:Now a days 2ltr pack is more considered as home consumption
pack and it has started taking place of 1.25ltr. Because of quantity factor consumer
also focus on this pack for home consumption.
51

52. GRAPH 8:400ML AVAILABILITY PACKWISE:
DESCRIPTION:400ml is a new product in the market which is very well accepted for
mmpo and Mmnf because this pack size doesn’t have competition in market where
as for maaza the pack size is not acceptable because of the look.
52

53. GRAPH 9:COKE AVAILABILITY BRANDWISE
DESCRIPTION:Coke is a Brand Product of the company .It covers a very good
market and all packs are available across the market except in 200ml.
53

54. GRAPH 10:LIMCA AVAILABILITY BRANDWISE
DESCRIPTION:Limca is a Hot Selling Product of the company. It is also a most
preferred product in summers. So the availability is seen & only the concern area is
200ml RGB.
54

55. GRAPH 11:FANTA AVAILABILITY BRANDWISE
DESCRIPTION:Apart from 500ml, Fanta is getting tough competition from mirinda
because of which the visibility is low.
55

56. GRAPH 12:SPRITE AVAILABILITY BRANDWISE
DESCRIPTION:Sprite acceptability is a lemon flavor which is going high day by day,
the only concern area is the regular supply of the same.
56

57. GRAPH 13:THUMS UP AVAILABILITY BRANDWISE
DESCRIPTION:Thums up has its own customers since its strongest product
available in the market So availability in all pack sizes is visible.
57

58. GRAPH 14:SODA AVAILABILITY BRANDWISE
DESCRIPTION:The demand of Kinley soda is very low as there are many other
competitors in the market like Lehar soda which are available in very low prices.
GRAPH 15:MAAZA AVAILABILITY BRANDWISE
58

59. DESCRIPTON:It is one of the favorable mango juice .its availability is easily seen all
across in all packs.Though the most acceptable pack is 600ml.
59

60. FINDINGS
60

61. FINDINGS
• The all over availability of 200ml is very low.
• The highest demand is in 500ml Pet in all flavors.
• Coke covers the best market among all the flavors as it is the brand product of
the company.
• Kinley soda has many local and other competitors due to which it has low
demand.
• Juices has many other competitors like Tropicana and real with many flavors
which lower down the demand as well as the availability.
61

62. CONCLUSIONS
62

63. CONCLUSIONS
• COKE is most popular amongst its users mainly because of its TASTE,
BRAND NAME, INNOVATIVENESS Thus it should focus on good taste so
that it can capture the major part of the market. In today’s scenario, customer
is the king because he has got various choices around him. If you are not
capable of providing him the desired result he will definitely switch over to the
other provider. Therefore to survive in this cutthroat competition, you need to
be the best. Customer is no more loyal in today’s scenario, so you need to be
always on your toes. We feel that there is cutthroat competition between
COKE & PEPSI so to be on top of mind of the customers they need to do
something outstanding every time.
• The best thing that consumers like about the Coca cola brand is their
promotions and availability. Suggestions are given by the consumers to
improve the quality of the product and to reduce price of its different
packaging.
• Because of increasing health awareness, some consumers do not like
drinking sparkling drinks and prefer juice drinks.
• Coca Cola is more famous for its sparkling drinks. In the previous few years
it has come up with juice drinks, energy drinks, tea and coffee. Some of
these products are popular among consumers whereas the rest still have to
be accepted by the consumers.
63

64. RECOMMENDATIO
NS
64

65. RECOMMENDATIONS
This is one of the most important and most difficult part of the study. I arrived at
certain recommendations for COCA-COLA co India after the analysis of the data.
Some of the important recommendations are as follows.
• Many complains of retailer does not listen by the company. So it should be
taken into consideration.
• Company does not provide all stock. So it should be delivered on time as well
as much required by the retailer.
• Some Retailers wants large size of visi coolers. So this should be also taken
into consideration.
• Customer grievances are also not properly listened by merchandiser which
effects hold of the customer with the company.
• We need to come up with more pack sizes because RGB is losing its market.
• As already mentioned Visi-coolers are a major reason of dissatisfaction
among the retailers. The periodical maintenance check of Visi-coolers should
be done.
• We need to come with more flavors because Real Juices and Tropicana
Juices are leading the market with 12-15 flavors.
65

66. • We need to focus on margins because retailers go their where they get high
margins on product.
• We must visit all RED outlets where the activation elements are missing and it
must be activated immediately.
• The company should make hindrance free arrangement for its customers to
make any feedback or suggestions.
• The visibility of any product plays an important role in making the customer,
aware about it and is vital for the growth and development of any product.
• A strong watch should be kept on distributors also, because in some cases
they are found to be cheating the retailers and affecting the goodwill of the
BRAND.
66

67. BIBLIOGRAPH
Y
67

68. Bibliography
Books
Marketing management-“Philip-Kotler”
Research methodlogy - C.R.Kothari
Site
www.coca-cola.com
www.ask.com
www.wikipedia.org
www.google.com
68

69. APPENDICES
69

70. Appendices
1. Tetra trans-european trunked radio access
2. RGB Returnable glass bottle
3. PET Polyethylene Terephthalate
70

71. QUESTIONNAIRE
TO ANALYSE THE AVAILABILITY AT RED OUTLETS AS PER RED
NORMS:
OUTLET NAME : CHANNEL :
ADDRESS : CATEGORY :
RGB CAN PET
BRAND 200ml 300ml 330ml 300ml 500ml 600ml 1.25ltr 2 ltr
COKE
LIMCA
SPRITE
THUMPS UP
FANTA
KINLEY SODA
TETRA RGB PET
BRAND 200ml 250ml 200ml 1.2ltr 400ml 600ml
MAAZA
MMPO
MMNF
BRAND
71 500ml 1ltr
KINLEY WATER

72. Is 2 facings chilled brand coke available? Yes/No
72