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NIMBOOZ
A Project Report
Submitted to the
APEEJAY INSTITUTE OF TECHNOLOGY SCHOOL OF
MANAGEMENT
in Partial Fulfillment for the award of
POST GRADUATE DIPLOMA OF MANAGEMENT
By
YASHIKA GUPTA
Declaration
Certificate
This is to certify that Yashika gupta, a student of PGDM 1st year batch of
Apeejay Institute of Technology , School of Management ,Greater Noida has
done the project work on
customer attitude towards pepsico products Nimbooz under my supervision
and guidance . I understand this project report is being submitted to Apeejay
Institute of technology-School of Management Greater Noida for award of
degree of PGDM. To the best of my knowledge, this report has not been
submitted to any other University for award of any other degree.
During this period, I have found the performance of his work satisfactory.
Acknowledgement
I would like to express my greatest gratitude to the people who have
helped & supported me throughout my project. I am grateful to my teacher
DR. A.K UPADHYAY & Other Faculty for their continuous support for
the project, from initial advice & contacts in the early stages of conceptual
inception & through ongoing advice & encouragement to this day.
A special thank of mine goes to my colleague who helped me in
completing the project & They exchanged their interesting ideas, thoughts &
made this project easy and accurate.
I wish to thank my parents for their undivided support and interest who
inspired me and encouraged me to go my own way, without whom I would be
unable to complete my project. At last but not the least I want to thank my
friends who appreciated me for my work and motivated me and finally to God
who made all the things possible...
YASHIKA GUPTA
PGDM (1st YEAR)
Content
INTRODUCTION
COMPANY PROFILE
PREFACE
OBJECTIVES
LIMITATIONS
METHODOLOGY
SWOT ANALYSIS
MARKETING STRETEGIES
QUESTIONIER
CONCLUSION
Introduction
Pepsi Co is the world leader in the food chain business. It mainly consists of the
companies, amongst which the prominent ones are Pepsi Cola, Pepsi food
international, Pizza-hut, KFC etc. which is engaged in the most profitable
businesses of Beverages, Snacks, Foods and Restaurants. At present, the Pepsi
Cola Company is producing and marketing many refreshment beverages to
retail customers in more than one hundred countries around the world.
Pepsi Cola ever since of its existence has strengthened its operations in many
countries and have witnessed the growth and diversification in its all functional
areas. One of the strengths that has contributed for the development of
PepsiCo is its strong franchise system. The strong franchise system was the
backbone of success along with a great entrepreneur spirit. Pepsi spent a large
amount on its promotion and advertising campaign every year. This enormous
advertisement and promotion budget allows PepsiCo to reinforce its products,
to introduce new products and make the consumer aware of their new products
very quickly. In the beverages segment, the dominating brands of PepsiCo are
Pepsi, Mountain Dew, Diet Pepsi, and Caffeine Free Diet Pepsi.
PepsiCo products are distributed to many outlets, viz. convenience stores,
restaurants, movie theatres and almost and all conceivable spots. Hence,
PepsiCo is one of the most well-known brands in the world today, available in
over 160 countries. The company has an extremely positive outlook for India.
Apart from North America, the two largest economies of the world, India and
China are the growing markets for its business. With the introduction of the
liberalization policies since 1991, PepsiCo starts its operations in India viz.
manufacturing, research and development, marketing, distribution and
franchising for its products.
At present Pepsi has about forty bottling plants in India, few of them are owned
by the company and remaining are owned by Indian franchisees. The PepsiCola marketing phrases have changed many times over the years since its
inception from the beginning of nineteenth century. The latest phrase of
PepsiCo is "Yehhaiyoungistanmerijan and My Pepsi My Way". The PepsiCo
have made an addition to its portfolio of Pepsi beverages by launching
"Nimbooz" on February 2009 in India. This latest brand of PepsiCo has been
launched in India in order to meet the consumer taste and expectations like
natural and delicious lemony refreshment similar to homemade nimbupani with
hygienic taste.
Preface
The socio-economic environment of the consumer, determine the brand name
and loyalty of the company. The brands which creates the value for the
customer through their attractive and innovative strategies are always capable of
sustaining and improving their strong brand name and value with the
consumers. Consumer's choice, taste and preferences are based upon his
satisfaction level on the amount of money, he spend on the purchase of the
product. Hence, the companies are always striving to offer something unique
and special, which their competitors can not match easily. In order to implement
these type of marketing strategies, the companies needs to examine deeply the
changing needs, preferences, tastes and desires of the consumers. In the fast
growing economies of the world like India, the socioeconomic status of the
consumers are rapidly improving. This considerable change in lifestyle of the
average consumers of India have led to diversify and expand the scope of
business for the fast food and soft drinks. Hence, the consumers are the best
judges, who assess the quality and quantity of the final product or brand being
offered to them by different market players. Therefore, it compels us to know,
to what extent the marketing strategies of PepsiCo, who is known as a major
player in the field of soft drinks business, have influenced the attitude of the
consumer. In this backdrop, the present study was carried out to assess the
consumer behaviour towards the latest PepsiCo product 'Nimbooz' in Greater
Noida of the State of Uttar Pradesh.
Objectives
The study was carried out keeping in view the following main objectives
* To study the consumer satisfaction level towards the PepsiCo product
'Nimbooz'.
* To analyse the attitude of customer towards the present marketing
strategies followed by the company in order to promote the product
'Nimbooz' in the market.
LIMITATIONS
Time Constraint
Since our project had to submit in five to six weeks, so obviously it was a bit tedious.
Insufficient Data
Since the data available in the bank was confidential, so the information to be used in the
project was insufficient.
Methodology
A soft drink consumer enjoys lot of choices as there are different brands with
different tastes and features available in the market. The present study was
carried out in order to understand the consumer attitude towards PepsiCo
product 'Nimbooz' in greater Noidaof the State of Uttar Pradesh . The study
was based on primary and secondary data. In order to get the primary data, the
census method of sampling was not possible, hence, we selected the sample of
20respondents on random basis. The consumption pattern of the soft drinks
varies among different age groups of people, therefore a due care was taken to
ensure that the sample selected was truly representatives of the whole
population to be studied and the special care was also taken to cover the
respondents of all age groups in the sample for study. The required information
was obtained through a well-designed questionnaire. The information thus
collected was analysed with the help of various statistical tools and techniques
like percentages and averages.
SWOT ANAYSIS
NIMBOOZ
Strengths:
SWOT is an acronym for the internal Strengths and Weaknesses of a firm and the
environmental Opportunities and Threats facing that firm. A good fit maximizes a firms
strengths and opportunities and minimizes its weaknesses and threats. Accurately applied,
this simple assumption has powerful implications for the design of a successful strategy. The
marketing mix is driven by the results of swot analysis.
Strengths:
Company has a very established name and good reputation
As the target customers of pepsi is young generation, so pepsi has mostly brand loyal
customers.
Most of the customers are satisfied with the price of pepsi.
Pepsi spends a lot of budget on its advertising.
Pepsi has a very vast distribution channel and it is easily available everywhere.
Pepsi offers many discount schemes for customers time to time.
Pepsi Cola is sponsoring sports, musical concerts etc.
Stylish packaging like in my can.
Since Pepsi is has youth Icons of India as its Brand Ambassadors (e.g. Sachin
Tandulkar,Ranbir Kapoor, MS Dhoni etc.) which is also a strong point for the company.
Pepsi has had alliances with most of the popular actors, it has been the Official Sponsor of
Indian cricket team for a long time now. Pepsi's 'Change The Game' ad campaign in the 2011
Cricket World Cup was a mega success and boosted the Sales a lot.Weakness
Pepsi targets only young customers in their promotion.
Pepsi tin pack is not available in far off rural areas.
As people are becoming more aware that carbonate drinks have a bad impact on health,
therefore sale of carbonate drinks may decrease.
Not all PepsiCo products bear the company name like Mirinda, 7up.Opportunities
Company may start entering rural areas also.
Increased interests of people in musical groups, cultural shows and sports has provided an
opportunity for pepsi to increase its sales through them.
growth in healthier beverages, growth in RTD tea and Asian beverages.
Threats
The main competitor of company is Coca Cola. Coke has started its advertisements more
effectively and it is a very strong threat for pepsi. Coke also had some successful ad
campaigns in the likes of 'Thanda matlab Coca Cola' and Coke - 'Open Happiness' compared
to Pepsi`s OH YES ABHI.
Due to obesity and health awareness, carbonate consumption is slightly decreasing and Coca
Cola has more number of healthier brands of minute maid as compared to PepsiCo`s
Nimbooz.
Pepsi is blamed for pesticide residues in their products in one of their promising emerging
market e.g. in India.
Demographic Factors:
Age: Pepsi should target that customer group that consumes it the most and make
promotional strategies according to their behavior. So their main target is young generation.
Education: A company has to make promotional strategies according to the customer level. If
the percentage of education is higher in a country; then through advertisements people can
me made well aware of their product and can convey their messages easily. Promotion and
education has a direct relationship.
Population Distribution: It means how much people live in urban and rural areas. Pepsi is
focusing more on urban areas as people there are more inclined towards carbonated drinks
like Pepsi as compared to rural areas where people prefer drinking lassi and desi drinks.
Economic Factors:
10
Income and Income per capita: If the income or per capita income of people increases, it will
have a positive effect on the sale of pepsi.
Inflation: If the country faces inflationary trend in market, the price of pepsi will ultimately
increase, which will lower its demand.
Fiscal policy: If the heavy tax is levied on pepsi, its price will increase which will have
negative effect on consumption.
Monetary policy is made to restrict or increase the flow of money in market.If the policies are
made to restrict the flow of money in market, the inflation can be controlled, which
ultimately increase the consumption of pepsi.
Natural/Physical Factors:
Region: India is divided into different geographical regions. Marketing and sale of pepsi is
different in different geographical regions. In hot areas its demand is more like in Rajasthan,
Punjab.
City size: The cities which are densely populated, the consumption of pepsi is more.
Climate: Pepsi is more suitable for humid or hot weathered conditions. It is the source of
refreshment when the person is thirsty due to hot weather.
Infrastructure: Roads are the basic need for transportation of pepsi from one place to another.
Pepsi cannot open factories in any city as it has to transport to other cities where pepsi is
demanded.
Electricity is the basic necessity for production of any product. Constant load shedding slows
down the process of production, which can lower market share.
Technological Factors:
Research and Development: Through research and development, quality of product can be
improved or better techniques or machinery can be developed which can increase the
production. Hence the company experience growth in business.
Political and Legal Factors:
Political stability: If there is political stability in the country the policies and strategies made
by Pepsi can be consistent to be implemented. Foreign Countries are also keen to invest in
those countries which are politically stable where they have no fear of decline in their market
share or shutdown due to sudden change of government.
Mixed Economy: In mixed economy, government and private sector both play their role in
developing the economy of the country. Investment by the foreign country like pepsi is more
likely to flourish in mixed economy.
Laws Formulation: The government has given copy rights to Pepsi in India so that another
company cannot sell their products by the name of pepsi.
Social responsibility: Pepsi`s social responsibility is to provide its customer with clean and
hygienic product. So to do this, they have increased the use of disposable bottles.
11
Suppliers
He is the person who provides the raw materials to the producers and the sellers. Supplier
form an important link in the company`s overall customer value delivery system. They
provide the resources needed by the company to produce its goods and services. PepsiCo
International provides raw material to Pepsi franchise in India. Rising supply cost may force
price increase that can harm the company`s sale volume.
Competitors
12
He is the person who is selling the same type of product in the market. The marketing
concept states that to be successful a company must provide greater customer value and
satisfaction than its competitor do.
When we are talking of soft-drinks, how cannot Pepsi and Coke be reminded of; Pepsi and
Coca Cola are two international soft-drink giants which control most of the softdrinks beverage business in the world. Pepsi has a tough competition with coca cola and it
faces a little competition with local producers like Rc Cola, Alfa, Campa Cola (popular
Indian soda introduced in 1977), Red Bull(energy drink) etc. The local producers hardly
affect the sale of pepsi in the market.
Pepsi and Coke command over 95% of the soft-drink market in India.
Coke was the leading Indian soft-drink brand in 1977 when a government regulation to share
the Coke's secret formula forced Coca Cola to exit India. Coke re-entered India in 1993 after
the policies were relaxed a bit. Coke acquired local Indian brands like Thums Up, Limca,
Maaza, Citra and Gold Spot and made a strong come back into the Indian Markets.
PepsiCo entered India in 1989 with a joint venture with Parle Agro and Voltas India Ltd. In
1995, Coke had 52 % of the Indian soft-drink market share and Pepsi had around 42% market
share.
Coke Marketing usually focuses on:
Coca Cola - Redefining Itself, Rejuvenation, Refreshment, Health and Nutrition,
Replenishment
Pepsi advertising focuses on:
Slandering Coke, Youth, Market Segmen
Pepsi's Distribution:
1)Exclusive contracts with franchise bottlers and independent distributors and retailers like
Walmart.
Coke's distribution:
1)Independent bottlers with exclusive contracts.
2)Coca- cola enterprises.
Coca-cola relies heavily on value: quality is more than something we see or
taste.(http://www.coca-cola.com).
Pepsi, on the other hand, relies on its success resulting from superior products and high
standards of performance (http://www.pepsico.com).
Moreover, PepsiCo has a number of products in the Food segment like potato chips, Quaker
oatmeal etc. as opposed to Coke which deals mainly in the Beverages, this provides PepsiCo
more range and thus a deeper penetration into the Markets.
13
FACTORS FORCHANNELDESIGN
Assortment of Goods: Pepsi has a wide assortment of goods. In beverages some very famous
are Pepsi Mirinda, 7up, Slice etc Aquafina, Lehar Soda also.
Ubiquitous: Restaurant, Pan shops, Kirana Stores, Confectionaries, Pepsi on wheels, all these
are some examples of the fact that the product Pepsi is ubiquitous. Distributers maintain the
image of the product and sale in the market. If items are not properly placed by the
distributer, it will disperse the market.
14
Marketing stretegies
15
QUESTIONNAIRE
NAME
:-
AGE
a) 18-25
d) 46-55
Marital status
a) Married
b) 26-35
e)56-above
c) 36-45
b) unmarried
Monthly income
a) 0-10k
b)10k-25k
d) 35k-50k
e) 50k-above
c)25k-35k
16
c) brand
c) moderately
10) What changes do you suggest for the nimbooz to make it more
popular?(1 for the least preferred and 5 for the most preferred)
a) Advertising
1
4
2
5
b) Packaging
1
4
2
5
C) Pricing
1
4
2
5
D) Promotional scheme
1
3
4
5
10) How will you rate the attribute that affect your decision to buy the
product nimbooz?
17
a) Taste
1
4
2
5
B) pricing
1
4
2
5
c) Non-carbonated
1
4
2
5
11) how far you are satisfied with the product nimbooz:?
a) Highly satisfied
satisfied
d) Dissatisfied
b) satisfied
c) moderately
e) undecided
12) Do you think the packaging range of nimbooz should be wider i.e
available in 1 ltr packaging?
a) Yes
b) no
13) doyoy find any deference in the price of Nimboozan the other
brands?
A)yes , nimbooz is cheaper
b) no, all are same
c) there are other cheaper than Nimbooz
18
ANALYSIS
6, 30%
YES
14, 70%
19
NO
2) Which soft drink do you prefer the most? Please rank them
according to your preference.
a) Nimbooz 30%
b) Mountain dew 17%
c) Coca cola 15%
d) Sprite 25%
e) Others 13%
Sales
OTHER
15%
NIMBOOZ
30%
NIMBOOZ
MOUNTAIN DEW
COCA COLA
SPRITE
SPRITE
25%
OTHER
MOUNTAIN DEW
15%
COCA COLA
15%
20
FACTORS
IT LIKE BY YOUR
FREAND
10%
HEALTH
10%
TASTE
45%
TASTE
EASY AVAILABLE
PRICE
25%
21
EASY
AVAILABLE
10%
PRICE
HEALTH
IT LIKE BY YOUR FREAND
PRICE
YES
30%
YES
NO
NO
70%
22
NEW VARIANT
YES
40%
YES
NO
NO
60%
23
IMPROVEMENT
YES
45%
NO
55%
24
YES
NO
7) What is the optimal amount of cold drink quantity that which you
prefer?
a)
b)
c)
d)
e)
200ml 45%
300ml 12%
500ml 22%
1 ltr 13%
2 ltr 8%
amount
2 ltr
10%
1 ltr
10%
2ooml
2ooml
45%
500ml
1 ltr
500ml
20%
2 ltr
300ml
15%
25
300ml
Highly satisfied
Satisfied
Moderately
Dissatisfied
Undecided
35%
20%
20%
17%
8%
satisfaction
undecided
10%
Dissatisfied
15%
a) Highly satisfied
a) Highly satisfied
35%
moderately satisfied
Dissatisfied
moderately satisfied
20%
undecided
satisfied
20%
26
satisfied
Advertising
Packaging
Promotion
Pricing
100%
90%
80%
70%
5
60%
4
50%
40%
30%
20%
10%
0%
advertisement
27
packeging
promotion
pricing
10) How will you rate the attribute that affect your decision to buy the
product nimbooz?
a)
b)
c)
d)
Taste
Pricing
Non-carbonated
Refreshing & energizing
8
7
6
1
2
4
3
4
5
2
1
0
taste
28
pricing
non-carbonated
11) How far you are satisfied with the product nimbooz:?
a)
b)
c)
d)
e)
Highly satisfied
Satisfied
Moderately
Dissatisfied
Undecided
20%
35%
25%
12%
8%
stisfaction
5%
15%
20%
highly stisfied
satisfied
moderetly
distisfied
undecided
25%
35%
29
12) Do you think the packaging range of nimbooz should be wider i.e
available in 1 ltr packaging?
a) Yes
b) No
40%
60%
packeging
40%
yes
no
60%
13) do you find any deference in the price of Nimbooz and the other
brands?
a) Yes , nimbooz is cheaper
b) No, all are same
c) Other are cheaper than nimbooz
45%
40%
15%
15%
yes, nimbooz is cheaper
45%
40%
30
CONCLUSION
31
suggested that the volume of advertising is not adequate and there is a need to
improve advertising campaign for the product 'Nimbooz' so as to make it more
popular. The packaging of the Nimbooz in the existing pattern was found
satisfactory by the majority of respondents. In case of promotional schemes the
maximum number of the respondents was found in favour of the need to initiate
more innovative tools and methods in order to increase the popularity of the
product 'Nimbooz'. Hence, the majority of the respondents suggested that the
existing promotional schemes are not adequate; therefore, there is an urgent
need to change the promotional tools for the product 'Nimbooz', which can be
unique and suitable in the existing extent of competition in the cold drinks
market.
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33
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