1. CORPORATE INTERNSHIP PROGRAM
SUBMITTED IN PARTIAL FULFILMENT OF PGDM PROGRAM 2012-14,FIIB,N.D.
Name: Shreesti Ghosh, Roll No.8
Location: Gurgaon
Project Title: Market Penetration of Georgia
Name of the Organization: Coca-Cola India Pvt. Ltd.
Faculty Mentor
Abhijit Roy
Senior Professor
FIIB, New Delhi
11/18/13
Company Mentor
1. Arijit Mitra
National Sales ManagerCommercial Beverages
Coca-Cola India Pvt. Ltd.
2. Manjula Dhiman
National Marketing Manager
Coca-Cola India Pvt. Ltd.
1

2. THE COCA-COLA COMPANY
•
•
Coca-Cola was developed in 1886 by Dr. John S. Pemberton.
Coca-Cola operates in over 215 countries across the globe.
•
Coca-Cola sells more than 1 billion drinks a day and employs 1,50,000 people directly and
indirectly all over the world.
•
Sell over 22 billion unit cases in a year – that is over 100 billion litres.
•
Net Operating Revenue of Over 24 Billion US$.
•
Today over 77% of their business comes from their international Operations.
TEA & COFFEE INDUSTRY IN INDIA
India & China account for over 58% of worlds tea
production & consumption.
India is the largest consumer of tea in the world by
volume.
Market size of Tea & Coffee in India is roughly
20000 crores & growing at 5% annually.
There are roughly 5000 branded coffee shops or
baristas across India and growing at over 35%
annually, with almost all major international players
making a presence.
Alcohol, 7.3%
Milk, 5.7%
Coffee, 5.5%
Lassi, 3.8%
CSD,
3.0%
Fresh
Juice, 2.8%
Packaged
Water, 2.6%
Fresh Lime
Water, 2.4%
Tea, 57.4%
Packaged
Milk, 2.0%
Others, 5.7% Bulk
Water,
1.8%
World’s coffee and tea market is expected to reach almost $70 billion by 2015
11/18/13
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3. OBJECTIVES
Business development and increasing the sales of Georgia by adding
new accounts to Georgia’s business.
•Expanding the business portfolio from B2B to B2C.
•Brand awareness of Georgia and gaining channel insights in the EnD segment.
•Receptiveness of Georgia at various organizations.
•Analyzing the Georgia business and understanding the industry.
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4. 11/18/13
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5. PROJECT METHODOLOGY
Data Collection:
•
Primary Data-Personal interviews, questionnaires
•
Secondary Data-Internet, company documents/previous reports
Description of Work:
•
Market Visits
•
Communication of business proposal(email, telephone)
•
Fix up meetings
•
Strike the deal
•
Supply of stock
Data Analysis:
•
Competitive analysis(tools-SWOT and strategy canvas)
•
Analysis of beverage at organizations(convenience sampling)
•
Statistical tools: MS excel
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Findings:
•
Reasons for unsuccessful business
•
Recommendation and the deciding parameters for the same
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6. STOR
Y
•
•
Launched in 2002
GEORGIA Gold Coffee & Tea are served in McDonalds India and Subway.
2012: Introduced Seaga & Crathco M/C’s
HOT
B2C Coffee
Premix Tea
Premix Cocoa
HOT
Premix Coffee
Premix Tea
Premix Soup
COLD
Premix ILT
Premix IPT
Premix Coffee
COLD
Premix ILT
Premix IPT
Premix Coffee
Rs. 1.70L
Best in Class
Rs. 0.35L
Rs. 1.00L
Rs. 0.35L
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7. Increased Focus From Organized Players
Vending ~ Rs.3000 Cr, 2 YR CAGR 40%
HUL
28% share
50,000 M/Cs
Rs. 500 CR
NESTLE
35% share
65,000 M/C’s
Rs.700CR
HOT T&C
PREMIX VENDING
HOT & COLD T&C
PREMIX VENDING
CAFÉ COFFE DAY
12% share
20,000 M/C’s
Rs. 200 CR
HOT B2C VENDING
F&H AMAZON
5% share
15,000 M/C’s
HOT PREMIX &
B2C
Currently, Georgia Is 0.2% of Tea & Coffee Industry and 2% of OOH Vending.
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8. CHANNEL OF SALES
B2B
B2B
B2C
B2C
CORPORATES
CORPORATES
HEALTHCARE
HEALTHCARE
MANUFACTURING
MANUFACTURING
CATERERS
CATERERS
RETAIL SHOPS
RETAIL SHOPS
QSRS
QSRS
TUCK SHOPS
TUCK SHOPS






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COST COST COST
HYGIENE & QUALITY
SERVICES
BRAND
RANGE OF PRODUCTS
ENGAGEMENT
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9. E n D RECRUITMENT PROJECT
Channel
Car Showrooms
Bike Showrooms
Hospitals & Clinics
Schools
Colleges
Tution Centres
Stand Alone Cinema
Jewellery Showrooms
High Footfall Apparel Showrooms
Government Offices
Offices
Hotel Cafeterias
Eating Joints/Bakeries/Kiosks
Gyms
Salons
Spas
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Captive Strength
50-100
50-100
100+
50
100+
50
50+
50+
50+
50+
50+
20+
20+
20+
20+
Expected Cuppage
100-200
100-200
200+
100
200
100-200
50 +
100
100
100
100
100
25-30
30
30
30
Targetted
Rental
500-1000
500-1000
500-1000
500-1000
500-1000
500-1000
500-1000
500-1000
500-1000
500-1000
500-1000
500-1000
1000+
1000+
1000+
1000+
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10. BUSINESS PROPOSAL FOR GEORGIA
COLD COFFEE AND ICE TEA
1) To prepare cold beverage from premix instead of Vending Machine
2) To Install Vending machine.
To Use Premix only
Advantage of using Premix Only
•No chances of breakdown of machine
•Very less/ no electricity consumption to make beverage
•Remove the problem of space to keep machine
•It will take 2-3 minutes to prepare the beverage
•No spillage of beverage
•Consistent taste of the beverage
•Consistent temperature of the beverage
Requirement
1)
One scoop to measure premix while preparing the beverage. (Company provides the same)
2)
Arrange Coffee Shaker/Sipper to make the beverage else you can also arrange a hand blender which
will blend the water with premix to make beverage.
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11. COSTING AND OTHER DETAILS OF BEVERAGE
Beverage
Drink Volume
Grammage
Used
No. Of
Glasses/Kg
Price/Kg
Price/Cup
Ice Tea
200 ml
25
40
225
5.63
Cold Coffee
200 ml
34
29
370
12.58
The premix model reduces operational efficiency as well.
To Install Georgia Vending Machine
• Provide used (not brand new) cold vending machine which will meet the expectation aesthetically &
operationally with an exciting array of beverages.
• Provide cold vending machines on monthly rent of Rs 1000/mc/month.
• Request for a person from the other end to do daily sanitization and maintaining hygiene for better
operational efficiency.
• Sign a machine bailment agreement to enable the company to start the equipment installation process.
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12. OFFER FOR COLD BEVERAGES: PER CUP PRICING
DATA COLLECTION
Format of Daily Report
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13. OUTLETS COVERED
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14. OUTLETS WHERE SAMPLING MEETING WAS FIXED
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15. SUCCESSFUL OUTLETS
Indirect way of entering the
market/restaurant which use
Pepsi products.
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New
s
ount
Acc
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16. SAMPLING AT CORPORATE OFFICES
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17. Beverage Analysis
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18. SWOT ANALYSIS OF GEORGIA
Strength
Weakness
Employee engagement by the Coca-Cola India family.
Vending equipment and spares directly managed by
Coca-Cola India Pvt. Ltd.
Centralized CRM
Widest range of product portfolio
Use of dairy whitener which improves hygiene and
removes hidden costs associated with wastage and
electricity consumption.
Cost of vending machine higher than other
competitors.
Passive Georgia India website and online engagement
platform absent.
Absence of brand tagline (low brand awareness).
Non-availability of product in in-house and retail.
Absence of café/kiosks.
Opportunity
Threat
Tea and coffee continue to top the beverage industry.
Expanding the business from B2B to B2C (in-home
and retail) with special focus on premix.
Increasing working class and urbanization leading to
more preference of premix.
Increase in usage occasions both in-home and OOH.
Highly cluttered market.
Price competition.
Increasing media spends by competitors like Nescafe,
CCD, Lipton etc. reducing Georgia’s share of voice.
Regular expansion of product portfolios by the top
players.
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19. STRATEGY CANVAS OF GEORGIA V/S
OTHER COMPETITORS
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20. FINDINGS
REASONS FOR UNSUCCESSFUL OUTLETS
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•
•
•
•
Existing partnership with some other brands like Pepsico.
Many food joints have the perception that preparing the beverage is a hassle and it’s
better to sell packaged ready-to-drink beverage.
Premix is provided to outlets where minimum cuppage does not matter and vending
machines are provided to those outlets whose minimum cuppage is 50 because the
vending machine is provided at a rental of Rs.1000/month.
Not much demand for ice tea in Indian eating outlets like Rajdhani, The Chowk etc.
Adequate amount of pre-existing stock like Monin syrup for ice tea.
Reasons for unsuccessful B2B deal
• Cost
• Profit
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21. SIGNIFICANT OPPORTUNITY TO EXPAND BUSINESS
Currently, Georgia Is 0.2% Of Tea & Coffee Industry And 2% Of OOH Vending
Association with
movies
GEORGIA
Café
citizen
cards
Brand
Tagline
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22. IMPACT OF THE RECOMMENDATIONS
ON THE ORGANIZATION
•
•
•
Pilot launch of Georgia RTD cold coffee and ice tea by end of August
2013.
Digital marketing( social media presence, active brand website).
Helped the organization gain insights in the EnD segment.
LIMITATIONS
•The market covered was confined to Gurgaon only.
•Chances of some biasness could not be eliminated.
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23. ACADEMIC LEARNING
INTERNSHIP
Selling and Negotiation Techniques
Business Communication-I,II(email, report)
Strategy canvas
SWOT analysis
Sampling techniques
PERSONAL LEARNING
Realistic view of the peoples’ behavior and attitude in the organization.
Organization culture
Ease of work-no pressure
Easy to sustain but difficult to get in
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