INDEX

No. Particulars Page No.

PREFACE
ACKNOLEGEMENT
PART – I
1. History 4
2. India’s History 5
3. General Information 6
4. Industry Overview 7
5. Indian Contact 8
6. Board of the Directors 9
7. Driving success 10
8 Mission, Vision & Value 11
9. International Operation 12
10. Organization Structure 13
PART – II
10. Marketing Introduction 15
11. Marketing Mix 17
PART – III
12. Product 19
13. Product Levels 24
14. Product Line, Stretching & Filling 26
15. Picture Gallery 28
16. Product Life Cycle 30
17. Production Department 31
18. Water Treatments 32

PART – IV
19. Price 34

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20. Pricing Strategies 37
21. Characteristics of Price 38
PART – V
22. Promotion 40
23. Place 43

PART – VI
24. EVALUATION OF MARKETING MIX 46
25. Case Study 51
26. Segmentation Targeting Positioning 54
27. Conclusion 58
28. Bibliography 59

2
HISTORY OF COMPANY

3
The world of Coca-Cola Atlanta and trace the history of the world’s most
popular soft drink. You will journey more than 100 years into the past and
explore the future of the magical story of Coca-Cola.

DR.JOHN STYTH PEMBERTON first introduced the refreshing taste of

Coca-Cola in Atlanta, Georgia. It was of 1886 when the pharmacist concocted
Caramel colored Syrup in a three legged brass kettle in his backyard. He first
“distributed” the new product by carrying Coca-Cola in a jug down the street to
Jacob’s Pharmacy. For five percents consumer can enjoy a glass of Coca-Cola at
the Soda foundation. Weather by design or accident, carbonated water was
teamed with the new syrup producing a drink that was proclaimed “delicious
and refreshing”. Dr. Pemberton’s partner and bookkeeper Frank M Robinson
suggested the name and planned “Coca-Cola” in a unique flowing script that is
famous worldwide today. Mr. Robinson thought the two companies would look
well in advertising. In 1886 sales of Coca-Cola averaged nine drinks per day.

That first Dr. Pemberton sold 25 gallons of syrup, shipped in bright red
wooden kegs. Red has been a distinctive color associated with the No. 1 soft
drinks brand ever since effort his efforts. Dr. Robinson grossed 50 dollars and
spends 73.96 dollars in advertising. By 1891, Atlanta entrepreneur as a G
Candler had acquired complete ownership of the Coca-cola business. Within
four years, his merchandising flair helped expand consumption for 25 million
dollars. Robert W Woodruff became president of Coca-Cola Company in 1923
and his more than six decades of leadership took the business to unraveled
height of commercial success making Coca-Cola an institution the world over.
So this is the brief historical background of Coca-Cola Company.

India’s History

4
Coca-Cola India has made significant investments to build and continually
improve its business in India, including new production facilities, waste water
treatment plants, distribution systems and marketing equipment. During the
past decade, The Coca-Cola System has invested more than US $1 billion in
India, making Coca-Cola one of the country’s top international investors and in
2003, Coca-Cola India pledged to invest a further $100 million in its
operations.

The Coca-Cola System in India includes 24 Company-owned bottling

operations and another 25 franchisee-owned bottling operations that directly
employ 5,500 local people and create jobs for another 150,000.

Virtually all the goods and services required to produce and market Coca-Cola
products locally – including Kinley water brand launched in 2000, Shock, an
energy drink launched in 2001, and Sun fill, our first powdered concentrate,
also launched in 2001 – are made in India, ensuring that the benefits of such
enterprises remain in the local communities in which they operate.

GENERAL INFORMATION

1. Name of Unit : “The World of Coca-Cola”

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2. Address of Unit : Hindustan Coca-Cola Beverages
Private Limited, Village: Goblej,
District: Kheda, GUJARAT

3. Company Type : Private Limited Company

4. Type of Industry : Beverage Industry

5. Establishment Year : March 1998

6. E-mail : mfernandes@apac.ko.com

7. Telephone Nos. : 02694-84386/87/77585

8. Website : www.coca-cola.com

9. Corporate Head Quarter : Atlanta

10. Registered Office : Goblej

11. Total Brands : 300

12. Capacity : 55000 cases/day

13. Subsidiaries : Coca-cola amatil ltd.

Coca-cola bottling of Los Angeles
Coca-cola enterprise Inc.

14. Chairman : Douglas N. Daft

INDUSTRY OVERVIEW

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Coca-Cola is named as a refreshing soft drink which gives now freshness to
work coca-cola has made necessary changes according to the demand of
people.

The excitement begins the moment you walk through the door pass under our
landmark neon “Spectacular” Coca-Cola sign and find your self standing in a
three –story atrium hung with flags representing over 200 nation and
territories where Coca-Cola is available. From there move at your own pace
through fascinating galleries showcasing the rich heritage and global reach of
Coca-Cola.

With exhibits that appeal to both young and old, the attraction boots
approximately 1200 Coca-Cola artifacts in addition to interactive exhibits and
video presentation, you will be taken on virtual journey from invention of
Coca-Cola by Dr. John Pemerton in 1886 to its present popularity through out
the World, where on coverage of 13000 of the Coca-Cola Company’s beverages
are consumed every second everyday.

Experience the nostalgia of the 1930 Replica Barns Soda foundation, where an
old-fashioned “Soda Jest” demonstrates how an early Coca-Cola was prepared,
while you listen to songs about Coca-Cola playing from the authentic 1930
jukebox.

INDIAN CONTACT

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Coca-Cola the world favorite soft drinks returned to India in October 1993 with
its launch in Agra. The leading producer and marketer of soft drinks in India,
Coca-Cola India’s extensive bottling network of more than 50 bottling units.
They offer different types of brand to the Indian Territory viz., Coca-Cola,
Fanta, Thums-up, Maaza, Sprite, Crush, Kinley Water, Kinley Soda, Diet Coke
and Canada Dry, to the Indian Consumer through a network of 300000 retail
outlets spread across the country.

In India Coca Cola soft drinks remains a distant 3rd, with an estimate market
share of 16.5% Pepsi-Cola’s 23.5% market share and acquiesces let position.
Thumps up it at no.2 on Feb 28, the Company planned to sell 49% of it’s Indian
bottler, Hindustan Coca-Cola Beverages for 40 million.

The Coca-Cola Indian System is the largest Soft Drink producer in the Country
with a work force of over 15000 people. Now Coca-Cola has become a very
popular in Indian Territory. Coca-Cola has total 50 plants in India in which
Coca-Cola owns 37 plants and 13 plants are given to Franchisee.

The Coca-Cola Company provides education of the primary level to

underprivileged person as well as computers and training for teachers over
1800 students per year have benefits from the Coca-Cola Company.

E.Neville Isdell Chairman,

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Board of Directors, & Chief Executive Officer
The Coca-Cola Company

Herbert A. Allen
President and Chief Executive Officer
Allen & Company Incorporated

Ronald W. Allen
Advisory Director, and former Chairman of the Board, President,
and Chief Executive Officer, Delta Air Lines, Inc.

Cathleen P. Black
President
Hearst Magazines

Barry Diller
Chairman of the Board and
Chief Executive Officer Inter Active Corp (IAC)

Donald R. Keough
Chairman of the Board,
Allen & Company Incorporated

Donald F. McHenry
Distinguished Professor in the Practice of Diplomacy and
International Affairs at the School of Foreign Service,
Georgetown University

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We're reinventing our Company to reach our true potential. Our mission is to
create a growth strategy that allows us to bring good to the world -- by
refreshing people every day and inspiring them with optimism through our
brands and our actions.

Our Vision
We asked 150 of our top leaders to remains the Coca-Cola Company. The
results have led us to a holistic vision that we are working to accomplish over
the next 10 years.

The Coca-Cola Company receives the Corporate Citizenship Award from the
Committee for Economic Development.

Chairman discusses sustainable growth and water stewardship at The Nature

Conservancy.

Our Diversity

"The Coca-Cola Company operates in more than 200 countries, and on a global
basis, we have the most inclusive workforce in the world. Our greatest
opportunity is to maximize this asset."
- Neville Isdell
Mission, Vision & Values

Mission

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 Everything we do is inspired by our enduring mission:

• 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.

Vision

To achieve sustainable growth, we have established a vision with clear goals.

• Profit: Maximizing return to shareowners while being mindful of our

overall responsibilities.
• 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 beverage brands that
anticipate and satisfy peoples’ desires and needs.
• Partners: Nurturing a winning network of partners and building
mutual loyalty.
• Planet: Being a responsible global citizen that makes a difference.

Values

We are guided by shared values that we will live by as a company

and as individuals.

• Leadership: "The courage to shape a better future"

• Passion: "Committed in heart and mind"
• 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"

International Operations

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Coke internationalized itself during World War II. At the request of the
U.S.government, the company promised to make Coke available at 5 cents a
bottle (the normal U.S. price at that time) to any American soldier anywhere in
the world. With government assistance, Coke set up plants wherever American
soldiers were stationed. With that head start, Coke established a dominant
presence in international markets. (The fact that for many years Pepsi focused
very little on international markets also helped.) As of 1999, Coke’s and Pepsi’s
market shares in selected countries were as follows:

Coke Pepsi
U.S. 44% 31%
Canada 39% 35%
Mexico 70% 19%
Germany 56% 8%
South Africa 97% 0%
China 34% 16%
India 56% 44%

ORGANISATION STRUCTURE

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 Boards of Directors

Managing Directors

Chief Executive Officer

General Manager.

Marketing Production Finance

Manager Manager Manager

Workers workers Clerk

As above shown chart was the organization structure of coca-cola. Industry

private basically follow line structure of organization. The director of the
company chairman, employee, Workers and other members follow the above
organization chart, the flow of organizational and more understandable. This
simple flew organization avoids complexity and helps to make the work more
efficient.

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Today smart marketers of all kinds are talking advantage of new opportunities
for connecting with their Customer, their marketing partners and the world
around them. The old marketing thinking saw marketing as little more than
selling or advertising. It viewed marketing as customer care. Fortunately, this

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old marketing thinking is now giving way to never ways to thinking. Today’s
smart marketing companies improving their customer knowledge and finding
innovative ways to capture and keep these customers.

Marketing management is very important and essential part of the

management in every unit or firm. In common words marketing are the
process of selling something at a shape or market place.

A market-focused, or customer-focused, organization first determines what its

potential customer’s desire, and then builds the product or service. Marketing
theory and practice is justified in the belief that customers use a product or
service because they have a need, or because it provides a perceived benefit.

WHAT IS MARKETING?

Marketing is a societal process that is needed to discern consumers' wants;

focusing on a product/service to those wants, and to mold the consumers
toward the products/services. Marketing is fundamental to any businesses
growth. The marketing teams (Marketers) have the task to create the consumer
awareness of the products/services through marketing techniques; unless it
pays due attention to its products/services and consumers' demographics and
desires, a business will not usually prosper long-term.

Marketing tends to be seen as a creative industry, which includes advertising,

distribution and selling. It is also concerned with anticipating the customers'
future needs and wants, often through market research.
Essentially, marketing is the process of creating or reorganizing an
organization to be successful in selling a product or service that people not only
desire, but are willing to buy.

For a marketing plan to be successful, the mix of the four "Ps" must reflect the
wants and desires of the consumers in the target market. Trying to convince a
market segment to buy something they don't want is extremely expensive and
seldom successful.

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Marketers depend on marketing research, both formal and informal, to
determine what consumers want and what they are willing to pay for it.
Marketers hope that this process will give them a sustainable competitive
advantage. Marketing management is the practical application of this process.
The offer is also an important addition to the 4P's theory.

The Marketing Mix

The set of controllable, tactical marketing tools product, price, place and
promotion that the firm blends to produce response, it wants in the target
market. The major marketing management decisions can be classified in one of
the following four categories:

• Product

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 • Price
• Place (distribution)
• Promotion

These variables are known as the marketing mix or the 4 P's of marketing.
They are the variables that marketing managers can control in order to best
satisfy customers in the target market. The marketing mix is portrayed in the
following diagram:

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Introduction
Product means the goods and services combination. The company offers to the
target market. In other words we can say product means anything that can be
offered to market for attention, acquisition, use or consumption that might
satisfy a want or need.

For a Coca-Cola company we can say soft drink is as product. The Coca-Cola is
a world’s biggest soft drink maker who offers number of products to the people.
They offer non-alcoholic soft drinks, tea & coffee. Product is a major part for

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the company like wise for Coca-Cola there are so many products by which they
grow up speedily or by which company can increase their sale with the increase
in production of different products. For product development Coca-Cola try to
innovate new things in product improvement program. Now days for Indian
territory Coca-Cola is try to maintain their level of sales because they faces
problem of pesticides. So they get low sale. Coca-Cola is a company who makes
a prestige in all over the world by their product. Now Coca-Cola considering a
world’s largest soft drink maker as compared to other company like Pepsi, etc.
now Coca-Cola introduced tea and coffee for the people who love tea or coffee
in different flavors. So product is a thing which offers to market for different
objectives.

Coca-Cola has main two types of product soft drink and mineral water. Under
soft drinks category there are different products like: Thums-Up, Fanta, Sprite,
Limca, Diet Coke, and Maaza, etc. and in mineral water category there is Kinley
water. Kinley water is available in different packages like 1 liter, 2 liter, 5 liter,
10 liter in water, etc. Coca-Cola tries to introduce that product according to
Indian flavors like Maaza, Fanta, Limca, etc. Maaza is available in mango
flavors. Same way Limca is a taste of lime. Now Coca-cola introduced a new
category of product of tea and coffee in India. The company has introduced his
coffee with the brand name GEORGIA, which is available in McDonald’s and in
other shopping malls.
The product, an organization offers to its market is not simple a bar of soap, a
rental car or a charitable cause. As with so many others marketing element
there is more to the product than meets the eye. A product may be a thing, in
the nuts and bolts sense, but it dose not have to be something tangibles. It can
be regard offered to these filling to pay for it. In that we can say that the wide
range of tangible and intangible benefits that a buyer might gain from a
product after purchasing it.

A product is anything offered for attention, acquisition, use, or consumption

that might satisfy a want or need. Products can be physical objects, services,
persons, places, organizations, and ideas.

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 Product Consist

Variety Quality
Design Features
Brand Name Packaging
Sizes Services
Returns Warranties

Product Variety

Variety is a sub part of product. It means what type of different products offers
by the company to the consumers. Coca-Cola has total 300 varieties for the
world. They offer different types of drink according to atmosphere and nature
of people of particular country. For Indian territory Coca-Cola offers different
types of product according to aged groups and gender. The main drinks which
offered to Indian people by the Coca-Cola such as:
 Coca-Cola
 Fanta
 Limca
 Diet Coke
 Sprite

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  Maaza
 Rim Zim
 Kinley Water and Soda, etc…

Which we can put in other part of marketing mix. The company also
introduced a tea and coffee for Indian people. So there are number of products
which are offered to market by the Coca-Cola.

Quality

Quality is one of the marketer’s major positioning tools. Product quality has
two dimensions – levels and consistency in developing a product. The marketer
must first choose a quality level that will support the products position in the
target market. Here product quality means performance quality. The ability of
a product to perform its function it includes the product’s overall durability,
reliability, precision, case of operation, repair and other valued attributes.

Design

Design is also play an important role in today’s competitive age. Design gives a
new look to the product and the Coca-Cola Company was accept this policy.
The design of Coca-Cola bottles is attractive. Coca-Cola offers different type of
bottles, tins and there are in different shapes. The company tries to make an
attractive bottling style, because the outlook always attracts the consumer. So
the design of Coca-Cola is an important part for the marketing strategy.

Features

Many products can be differentiated in form, the size, the shape, in physical
structure of a product. Consider the many possible terms taken by products
such as aspirin. Coca-Cola Company also its own features, which shows as the
first.

Brand Name

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A brand is a name, term, sign, symbol, or design, or a combination of these,
intended to identify the goods or services of one seller or group of sellers, and
to differentiate them from those of competitors. In other words, a brand
identifies the maker or seller of a product. Brand Name helps consumer
identifies products that might benefit them.

Sizes

Size is also making an important role for every product. Some products small
size and some products are middle size like TV, Radio etc. and some are very
large size like refrigerator. In the Coca-Cola there is a different variety and
their different sizes in the market.

Services

Service is any activity or benefit that one party can offer to another
That is essentially intangible and does not result in the ownership of anything.
First the company manufactures a product then they give to the whole seller
and whole seller gives to distributors and finally the customer get soft drink. So
the services of the Coca-Cola are very best of the world.

Warranties

A product warranty community a written guarantee of a products integrity and

outlines the manufacturers responsibilities of repairing or replacing defective
parts. It may substantially reduce the risks the buyer receives to be associated
with the purchase in general the warranty communicates. A message that
suggest product quality and a reduction of purchase risk.

Returns

In today’s competitive & high priced age every customers wants to something
returns purchases any products. In coco-cola also except some different types
of schemes & now they give 500 ml bottle they give one PERK free & another
they give 1.5 ml bottle they give free off 5 Rs. So that types of advertisement.

22
They want increase their products give the different schemes. In the types they
also give something returns to their customers.

Packaging

Most psychical products have to be packaged and labeled. Some package such,
as Coke bottle and the leggy container are world famous. Many marketers have
asked packaging a fifth along with price, product, place and promotion. Most
marketers however, treat packaging and labeling as an element of product
strategy.

Bottle washer Inspection Forkifls [Start] pre-

infeed

Empty Bottle Inspection Trucks

Filler crowner’s Full product Inspection Packaging

Product Levels

In planning its market offering, the marketer needs to address five product
levels. Each level adds more customer value, and the five constitute a customer
value hierarchy.

Core Product/Benefits

The service or benefit the customer is really buying “rest and sleep”. The
purchaser of a drill is buying “holes”. Marketers must see themselves as
benefits providers.

Augmented Product

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 At the fourth level, the marketers prepare an augmented product that exceeds
customer expectation. In developed countries, brand positioning and
competition take place at this level. However, in India, there is a visible move
by some companies to augment their products and services by providing
superior customer experience.

Actual Product

The actual product is the tangible product or intangible service that serves as
the medium for receiving core product benefits:
Quality: refers to product performance.
Features: include combinations of product attributes.
Styling: refers to the design, aesthetic, or ergonomic
aspects.
Brand Name: it helps consumers position and identify the product.
Packaging: protects and promotes.

 Potential Product
At the fifth level stands the potential product, which encompasses all the
possible augmentation and transaction the product or offering might undergo
in the future. Here is where company search for new ways to satisfy customers
and distinguish their offer.

 Basic Product
At the second level, the marketer as to turn the core benefits into a basic
product. Thus a hotel room includes a bed, bathroom, towel, desk, dresser, and
closet.

 Expected Product
A set of attributes and condition buyers normally expect when they purchase
this product. A customer of Coca-cola is need a cleaning bottles as well as drink
also.

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 Product

Carbonated Non-carbonated Concentrated Beverages hot Water

Coke diet Ready to drink Pulpy orange Georaza coffee Kinley

Sprite Maaza
Fanta

PRODUCT LINE STRETCHING

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The major product line decision involves Product Length the no. of items in the
product line.
Product line length is influenced by company objectives and resources. Length
of product can be increased by stretching its line and by filling its line. Product
line strategy occurs when a company lengthens its product line beyond its
current range.
1. Strategy upward
2. Strategy downward or
3. In both directions.
Company at the lower and of the market may want to stretch their lines
upward. Many companies initially locate at the upper end of the market and
lower stretch their lines downward to plug a market whole that otherwise
worried attract a new competitor or to respond to a competitor’s attract on this
upper end. Companies in the middle range of the market may decide to stretch
their lines in both directions.

PRODUCT LINE FILLING

Adding more items within the present range of the line.

Reason of filling: There may be served reasons for product line filling

 To reach to the extra profits

 To satisfy dealers
 Using excess capacity etc.

PRODUCT LINE LENGTH

Coca-cola’s length tends to be more specific and systematic. It covers all typs of
customer i.e. different people demanding different flavors. Coca-cola stretched

26
its line by adding shock in the field that is in product line. Its current range was
confined to seven products till year 2000. The company stretched downward
by providing thirst quenching soft drink ‘SUNFIL’ with 8 vital vitamins and
other nutrients, when it observed PEPSI Co. entering and attacking on it’s
upper end.

When coca-cola introduced “SHOCK” against it Pepsi Co. introduced its

Mountain Dew (CHEETA BHE PEETA HAI) So due to this attack on the upper
end coca-cola stretched its line downwards.

Similarly, it stretched its line, upward and introduced premium, mineral water
with antioxidants, when it saw PEPSI Co. attacking on its lower and by
producing substitute flavored soft drink like MIRINDA orange and lemon
MIRINDA against it’s MAZZA and LIMCA.

Product’s Gallery

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28
 Product Life cycle

A product has a finite life. We would be hard-pressed to identify any product

older than five years that exists today in its original form. Although many
simple products appear to change little, if at all, closer scrutiny would show
that at least one aspect of the product has changed over time.

It is a generally accepted statement that 90% of the products we use today. It

did not exist in their current form many years ago. Similarly, 90% of the
products we will be using five years from now do not currently exist. Whether
this statement is entirely accurate or not, we can all identify products that have
changed from their original form and/or content. And, with today's rapid
changes in technology, almost every product will undergo some sort of
modification during its lifetime.

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This idea is demonstrated by the Product Life Cycle (PLC) concept, which
shows the path a typical new product takes from its inception to its
discontinuation. The PLC can be applied to specific industries (e.g.
transportation), product classes (e.g. automobiles), product forms (e.g. station
wagons), or a particular brand (e.g. the Ford Taurus).

Of course, manufacturers want to establish the appearance of offering a long-

standing, consumer-tested product; as this evokes trust and promotes routine
purchase behavior. Perhaps the best way to achieve this is through the use of
brands. So, even though the product may have changed, the brand tends to
remain constant.

Production Department

Manufacture Process

Raw Water Storage

Soft Water Storage

Dematerialize Storage

Laboratory Test

Syrup Preparation

Syrup Storage

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 Bottling Washing

Bottling Inspection

Syrup Filling

Water Filling

Bottle Sealing

Final Inspection

Final Arrangement of Bottle

Water Treatment

[1] The first step in the manufacturing of soft drinks is the disinfections of
water using the globally approved procedure of chlorination. This treatment
ensures the destruction of micro-organisms including pathogens and oxidation
of heavy metal ions and organic impurities.

[2] The second step is the filtration at the molecular level, which is achieved
either by coagulation/flocculation or reverse osmosis. Contaminants
commonly removed by this process include:

Dirt, clay and any other suspended matter in the water.

Microbial matter (including bacteria, yeast, moulds, virus, protozoa).
Heavy metals and compounds which may cause an off-taste.

31
When coagulation/flocculation is used, colloidal materials and suspended
particles are removed by settling plus enhanced filtration through multi-media.
If needed, alkalinity reduction may also be achieved by lime softening or ion
exchange filters.

[3] The third step to stop potential contaminants is water purification using
granular activated carbon filters. The granular activated carbon, with its large
and porous surface area, ensures effective removal of trace levels of organic
compounds (including pesticides and herbicides), color, off-taste and odour-
causing compounds using the principle of absorption.

[4] The last step is polishing filtration, which is passing water through high
efficiency 5-micron filters to ensure every drop of treated water is free from any
activated carbon fines and is safe for use in beverages.

32
 PRICE

Introduction
The price is the amount a customer pays for a product. It is determined by a
number of factors including market share, competition, material costs, product
identity and the customer's perceived value of the product. The business may
increase or decrease the price of product if other stores have the same product.

Pricing decisions should take into account profit margins and the probable
pricing response of competitors. Pricing includes not only the list price, but
also discounts, financing, and other options such as leasing.

Price
List Price
Discounts
Allowances
Payment Period
33
List Price

In setting price many marketing start with the basic price quote called a list
price. Price adjustment can be made when the season changes, when a buyer
makes a large quantity purchase or for another reason many markets adjust
price with discount or rebates for examples the list price when merchandise is
out of season or moving slowly.

Discounts

In many industries , it is common for list price to be adjustment are discount,

reduction from the list price common discount schemes are notice that each
discounting technique provides an incentive to potential buyers but also yield
some advantage.

There are different types of discounts like cash discount, quantity discount,
anticipation discounted. In the modern life everyone wants to get something
more in the life. Like in sale 1 shirt per 1 (unit) 1 shirt free. So every are go there

34
and buy it in the same way in the winter season, they give 45 kg per 1 perk free
so we can say that give discount in there verity products.

Discount means some gift or cut price provided to the customer or retail while
purchasing the product. The Coca-cola company provided discounts i.e. gifts
to the customers while purchasing the product During summer season, when
the demand of coca-cola increases company offered gifts.

Sr. 200
Particular 300MTI 5000MTI 1.5 LITER
No MTI

01 Coca-Cola 5 Rs 10 Rs 15 Rs 30 Rs

02 ‘ThumsUp 5 Rs 10 Rs 10 Rs 38 Rs

03 Fanta 5 Rs 10 Rs — 15 Rs 33 Rs

04 Limca 5 Rs 10 Rs 15 Rs 38 Rs

05 Maaza 6 Rs 10 Rs ‘ 15 Rs 38 Rs

Allowances

The relationship with only public is not only for the any industry or firm but
the relation between employ and boss is also good for company are good their
is never create any internships problem in the company.

Payment period

Payments of the money are not taxed. Some their retailer are paid half amount
when they give the order & half after the selling the newspaper and some
retailers give their whole amount after selling the newspaper.

35
 Pricing Strategies for New Products

Companies bringing out an innovative product, that may (or may not) be
protected by a patent, face the challenge of setting prices for the first time.
They can choose between two strategies:

 Market skimming pricing

 Market penetration pricing

Market Skimming Pricing:

Skimming" refers to setting initially high prices, and slowly lowering them over
time to maximize profits at every price-sensitive layer in the market. As initial
sales slow down, and/or as competitors threaten to introduce similar products,
the price is lowered just enough to make it worthwhile for the next segment to
buy.

Several industries use this pricing strategy very effectively. Examples include:
fashion (designer originals and beginning- of-season sales vs. copycat designs

36
and end-of-season sales); publishing (hard cover vs. paperback books); and
sports equipment (new golf club innovations are slowly reduced in price each
season as new models are introduced).

Market Penetration Pricing:

"Penetration" involves setting a low initial price to enter the market quickly
and deeply -- to attract a large number of buyers and win a large market share.

 The resulting high sales volume often means lower costs, as the
company moves quickly down the production experience curve, allowing a
further reduction in price.
 Several conditions favor setting a low price:
 The market must be highly price sensitive so that a low price
produces more market growth;
 Production and distribution costs must fall as sales volume
increases.

CHARACTERISTICS OF PRICE

 Price is the only element in the marketing mix that

produces revenue; all other elements represent costs.

 All profit organizations, and many non-profit

organizations, must set prices on their goods or services.

 In the narrowest sense, price is the amount of money

charged for a product. More broadly, price is the sum of all the values that
consumers exchange for the benefits of having or using the product.

 Price is also one of the most flexible elements of the

marketing mix. Unlike product features and channel commitments, price
can be changed quickly, particularly in the short term through allowances
and discounts.

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  At the same time, pricing and price competition is the
number one problem facing many marketing executives. Yet, many
companies do not handle pricing well.

Pricing that is too cost oriented.

Prices that do not take the entire marketing mix into account.

 Prices that are not varied enough for different products,

different market segments & different purchase occasions.

Historically, price has been the major factor affecting buyer choice. This is still
true in poorer nations, among poorer groups, and with commodity products.
However, non-price factors have become more important in buyer-choice
behavior in recent years.

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 Promotion

In the context of the marketing mix, promotion represents the various aspects
of marketing communication, that is, the communication of information about
the product with the goal of generating a positive customer response.
Marketing communication decisions include:

• Promotional strategy (push, pull, etc.)

• Advertising
• Personal selling & sales force
• Sales promotions
• Public relations & publicity
• Marketing communications budget

The ‘Promotion’ is what many of us commonly mistake as the complete

meaning of Marketing. This refers to the methods used by marketers to make
customers, aware of their product or service. With increased competition,
awareness is not enough for a product to sell. In the present market place, a

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marketer has to inform, influence, instigate and sometimes even inveigle a
potential customer into making a purchase. The most commonly used methods
of promotion are advertising, using sales force, sales promotions and
increasingly telemarketing.

Sales promotion is any initiative undertaken by an organization to promote an

increase in sales, usage or trial of a product or service Often they are original
and creative, and hence a comprehensive list of all available techniques is
virtually impossible (since original sales promotions are launched daily).

Sales Promotion

Sales promotion consists of a diverse collection of incentive tools, mostly, short

tem designed to stimulate quicker of greater purchase of particular or service
by consumers or a trade. Coco-cola in bottles now they give in so the people
attract the soft drinks and buy it so the company sales are increase.

Advertising and personal selling often work closely with another promotion
tools, Sales promotion consists of short terms incentive to encourages the
purchase or sale of a product credit services, where as advertising and personal
selling offer reason to buy a product or 3er vice. In order to increase the sales
of the coca-cola. It has come out with following sales promotion activity at
present. The sales promotion invites and rewired quick response Advertising
says “Buy our product” but sales promotion says “By it. now”. It effects is for a
short term only and dose not builds a long-term brand preferences. Sales
promotion is a short-term objective, which is used to increase the sales.

Sales promotion made by the coca-cola company is the discount given on the
purchase of its beverages. Company offered this type of sales promotion during
park season.i.e. from March to May. During these period prices of large
quantities coca-cola are decreased sometrnes gifts for free trips are mentioned.
These gifts are mentioned inside the crown of the bottles. Extra amount of
beverages are provided at same Now in off-season coca-cola has reduced price
of 1.5 to Rs.30 from Rs.35

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Advertising

Advertising includes any information or persuasive message carried by a non-

personal medium and paid for by a sponsor above product is in the same way
identified in the message.

Traditional mass media television and magazines are most commonly used. it
saves as a substitute for a sales person talking to an individual prospect.

Sales forces

US firms spends over $140 billion annually on personal selling more then they
spend on any other promotional method. Sales forces are found non-profit as
well as for profit organization collage requites are the university’s sales force
firm. No one devotes he importance’s of the sales forces in marketing meet.
However, companies are sensitive to the high cost and rising cost.
Public Relation

No only must the company relate constructively to customers, suppliers and

dealers but it must also relate to a large number of interested public. A public
confucilicute or impede company’s ability to achieve its objectives.

In the company they must have to good relationship with the public. If they
don’t do this types of relation than no one take this product and company will
go in less. So company should put good relationship with the public.

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 Place

Introduction

Place (or placement) decisions are those associated with channels of

distribution that serve as the means for getting the product to the target
customers. The distribution system performs transactional, logistical, and
facilitating functions.

Distribution decisions include market coverage, channel member selection,

logistics, and levels of service. Place is about getting the products to the
customer. Some examples of distribution decisions include distribution
channels, market coverage (inclusive, selective, or exclusive distribution),
specific channel members, inventory management, warehousing, distribution
centers, order processing and transportation.

Meaning

Place includes all company activities involved in making the product available
to target consumers. It includes: channels of distribution, the extent of market

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coverage, managing discrepancies of quantity and assortment, retail locations,
and the management of inventory, transportation, and logistics.

Ultimately, Place is involved in making the product convenient for the target
customers to purchase.

Coverage

Distribution channels can be defined by the number of levels involved. Each

layer of marketing intermediaries, or "middlemen," that performs some work
in bringing the product and its ownership closer to the final buyer is a channel
level.
Because the producer and the final consumer both perform some work, they
are part of every channel. We use the number of middlemen to indicate the
length of a channel, as depicted below:

Channel 1 called a direct marketing channel, has no middlemen. It consists

of a company selling directly to customers. For example, Lands' End sells
direct through mail order, by telephone, and via the Internet.

Channel 2 called indirect marketing channels. It contains one intermediary

level which, in consumer markets, is typically a retailer. For example, the
makers of televisions, cameras, tires, furniture, and many other products sell
their goods directly to large retailers such as Wal-Mart and Sears, which then
sell the goods to final consumers.

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44
 EVALUATION OF MARKETING MIX

Marketing is the role used by the business to plan, price, promote and
distribute products/services to individuals. The Coca-Cola Company's
marketing includes:
(I) Situational Analysis
(ii) Target Market
(iii) Objectives/Goals
(iv) Marketing Strategies

(I) Situational Analysis

The Coca-Cola Company has been operating for over a century and is highly
successful. It is currently in the renewal level of the post-maturity stage in the
business life cycle.

SWOT Analysis:

Strengths (S) Weaknesses (W)

Coca-cola has been operating successfully for over a century. Is known world-
wide and operates in more than 200 countries. Coca-Cola has a large share of
the cola segment - holding approximately 85 per cent. The Coca-Cola

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Company is the most recognized trademark in the world. The contract the
Coca-Cola Company has with its bottlers is under constant negotiations.

Opportunities (O) Threats (T)

Have significant growth opportunities. Has sufficient capital to expand. Has

the potential to innovate and differentiate the company's products to sustain a
competitive advantage. May merge with other global businesses to eliminate
competitors. Capable of expanding into other markets other than the soft drink
market. Has many major global competitors with its main one being Pepsi.
Coca-Cola can be substituted by other soft drink products made by its
competitors. These competitors may develop marketing strategies to eliminate
the Coca-Cola Company. There may be an economic downturn in the business
cycle.

(ii) Target Market

The company's beverages are generally for all consumers. However, there are
some brands, which target specific consumers.
For example, Coca-Cola's diet soft drinks are targeted at consumers who are
older in age, between the years of 25 and 39. PowerAde sports water target
those who are fit, healthy and do sport. Winnie the Pooh sipper cap Juice Drink
target children between the ages 5-12.
This type of market approach refers to market segmentation.
The Coca-Cola Company when advertising has a primary target market of those
who are 13-24, and a secondary market of 10-39.

(iii) Objectives/Goals

Coca-Cola main objectives are to supply everyone their favorites drink and to
satisfy the consumer needs and wants. Coca-Cola second main objectives are to
provide profit to the shareholders and increase the market share.

(IV) Marketing Strategies

Product

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The Coca-Cola Company's products include beverage concentrates and syrups,
with the main product being finished beverages.
The business has over 300 brands of beverages around the world with the main
ones being Coke, Fanta, Lift, Sprite, Fruitopia 100% Fruit Juice, and
PowerAde.
The Coca-Cola Company packages its beverages into plastic bottles of sizes 2
liters, 1.25 liters, 600mL and 300mL. These are also available in aluminum
cans of 375mL.

Marketing strategies for product

The Coca-Cola Company uses marketing strategies to differentiate its product

from its competitors to gain a competitive advantage.
Extension/product differentiation In 2002, the Coca-Cola Company extended
the products of Coke and developed the new products Coke with lemon and
Vanilla Coke. This extension is Responded to consumer demands as well as
Generated sales and profit.

In 2002, the company innovated and came up with a new packaging idea, the
Fridge Pack. The Fridge Pack consists of cans packed 2-by-6. This innovation
has: Increased consumer awareness and preference, Increased rate of
consumption and profitability.

Price

The prices of Coca-Cola's products vary according to the brand and the size.
The Coca-Cola Company's products are sold in retail stores, convenient stores,
petrol stations etc. The pricing methods/strategies are set by those the
company sells to. Petrol stations and convenient stores usually sell Coca-Cola
products at a fixed price.

However, retail outlet uses pricing methods and pricing strategies when selling
Coca-Cola products. Competition-based pricing Coca-Cola products are usually
priced below, above or equal to its competitors' prices. Discount price Coca-

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Cola products are often marked down during sale periods and special
occasions. This will Generate sales as well as Increase profits.

Pricing strategies

Meet-the-competition pricing the Coca-Cola products pricing are set around

the same level as its competitors.
Psychological pricing Most of the Coca-Cola products use this method of
pricing. For example, for a pack of 375mL x 18 cans of Coca-Cola soft drinks it
is priced at $9.98 instead of $10.00.This pricing strategy makes consumers
perceive the products to be cheaper.
Promotional strategies

The business uses a range of promotional activities. Advertising the Coca-Cola

Company uses advertising as its main source of increasing consumer
awareness. It mainly uses the television. There are many television
advertisements on Coca-Cola products. This source allows the company's
products to reach a large audience. One of the older one is ` If you drink it, you
get better of life' The company also uses the radio as another source of
advertisement. This is a cheaper source of approach compared to the
television.

Recently, the company benefited from its involvement in the world's celebrated
games such as the Olympics and the FIFA World Cup. Where millions were
watching these games, the business had substantial advertising and
promotions of the company's brands.
Personal selling Every year, The Coca-Cola Company has a highly trained sales
team, which acts as a representative of the company to the retailers. This
strategy helps to maintain service and product loyalty. It has been
demonstrated by the business to be highly effective.

Place

The Coca-Cola Company sells its products to bottling and canning operations,
distributors, fountain wholesalers and some fountain retailers. These

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distributors them to retail outlets, milk bar and corner stores, restaurants,
petrol stations and newsagents.

Place strategies

Indirect distribution The Coca-Cola Company uses intermediaries in its

distribution. That is, the company does not sell its products directly to its
consumers. Intensive distribution The Coca-Cola Company uses the intensive
distribution strategy. The business's products are sold in almost every outlet
including:

• Retail outlets
• Small shops
• Restaurants
• Petrol stations
• Newsagents
• Schools
• Sports and entertainment venues

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 The allegations regarding the operations of Coca-Cola bottlers in India are
varied. They include the following claims:
 Sludge generated from water treatment activities in some Coca-
Cola bottling plants contains hazardous metals that damage the
environment,
 Coca-Cola bottling plants contain harmful levels of pesticides, and
 Coca-Cola bottling plants misuse or monopolize local water resources.

1. Sludge Waste Product

According to a July 25, 2003, BBC News story, “Dangerous levels of the known
carcinogen cadmium have been found in the sludge produced from the [Coca-
Cola] plant in the southern state of Kerala.” The BBC Reporter sent sludge
samples to the University of Exeter in the United Kingdom for investigation.
The results revealed that the material contained a number of toxic metals,
including cadmium and lead. In response to the BBC report, a Coca-Cola
representative denied that the waste created a health risk. The representative
stated, “We have scientific evidence to prove it is absolutely safe and we have
never had any complaints.”

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According to Coca-Cola’s website, “the Kerala State Pollution Control Board, in
a detailed study, concluded that the concentration of cadmium and other heavy
metals in the bio-solids are below prescribed limits and, therefore, are not
considered hazardous.” However, an article in the Wall Street Journal noted
that two other government studies of the Kerala waste material found that the
material contained high enough levels of cadmium to deem it hazardous.

On August 20, 2005, the Kerala State Pollution Control Board directed a Coca-
Cola bottler to stop production at its plant in Plachimada. The order stated that
the board detected cadmium in the sludge, and that groundwater in the vicinity
was contaminated.

2. Pesticides in Coca-Cola Products

In 2003, the Center for Science and Environment (CSE), a group operating in
India for more than twenty years, released the results of a study that found
high levels of pesticides in both Pepsi and Coca-Cola products in India. The
Indian government, however, responded that the CSE report was exaggerated,
and that the drinks were safe. In response, the BBC interviewed an “expert on
food security” who stated that the CSE’s study was more credible than the
government’s.

Coca-Cola’s website cited an August 2003 study by India’s Ministry of Health

and Family Welfare that “confirmed that our products in India are safe.” Coke
also stated that its products “are tested regularly to ensure they meet rigorous
standards. These tests include testing for pesticides and insecticides.” In July
2005, the High Court in Rajasthan, India, issued a ruling requiring Coca-Cola
and Pepsi to disclose the contents of soft drinks, including the permissible
levels of pesticides and chemicals, on bottle labels.

Coca-Cola and Pepsi have appealed the ruling to the Supreme Court of India.
In August 2006, the Kerala state government banned the manufacture and sale
of Coca- Cola products in the state. The ban was subsequently overturned by
the High Court of Kerala. Also in August 2006, Coca-Cola announced the
results of testing performed by Central Science Laboratories (CSL) in the

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United Kingdom. CSL found no safety problem with pesticide residue in
products produced by Coca-Cola in India.

3. Misusing Water Resources

On April 7, 2005, the High Court in Kerala, India, ruled that Hindustan Coca-
Cola Beverages Private Ltd. could use 500,000 liters of groundwater per day at
its plant in the town of Plachimada. The court held that the Perumatty Grama
Panchayat (a local government body) was not justified in rejecting the
company’s application to renew its license, and directed the Panchayat to
consider the company’s application. The court also directed the Panchayat to
grant the license if certain other conditions were satisfied. The court observed
that wells in the area often went dry. It noted that an expert committee
appointed by the court identified an ongoing drought as a contributing factor.
The court noted that water levels in the area continued to fall even after the
bottling plant stopped pumping water in March 2004. The court noted that the
company had notified the pollution control board that any possibility of water
contamination had been stopped. Finally, the court found no evidence to
support the claim that the company’s products contained poisonous
substances.

On May 16, 2005, Coca-Cola moved the court to direct the Panchayat to
comply with the court’s order. On June 1, the court directed the Panchayat to
renew the company’s license, subject to the restrictions in its earlier order. The
state government and the local Panchayat have appealed the decision to the
Supreme Court of India. The case is currently pending.

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In April 2006, Coca-Cola announced that it was in active dialogue with The
Energy Resource Institute (TERI) to develop a transparent and impartial third-
party assessment of water resource management practices at Coca-Cola
facilities in India. TERI is a non-governmental organization based in India that
focuses on the development of solutions to global problems in the field of
energy, the environment, and sustainable development. Coca-Cola opponents
have questioned the impartiality of TERI, pointing out that Coca-Cola India
provides sponsorship for various TERI projects.

Segmentation Targeting Positioning

Segmentation

Segmentation can be define as dividing or classify the consumer according to

their need It can be according to the geographic reason, demographic profile,
physiology or personal factor

Types of Segmentation

Geographic Segmentation can be defined as classification of the Consumer

according to the country, state, and city like geographic Units.

Demographic Segmentation

Demographic Segmentation can be defined as classification of the consumer in

to the different group such as age & life cycle life stages, gender, income,
generations, occupation, religion, etc.

Behavioral Segmentation

It can be define as classification of consumer on the basis of their knowledge,

attitude, and behavior and response to word specific product.

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Segmentation strategy of Coca- Cola

Coca Cola company have all the three type of segmentation Geographic,
demographic & Behavioral Segmentation.

SOFT DRINK SEGMENTATION

There can not be one way to segment a market. A marketer has to try for diff
segmentation variables and to decide or to find the best way for viewing the
market structure. The soft drink can be segmented on the basis of place of
consumption or the basis of type of product. The segmentation on the basis of
place of consumption divides the market into two points:-

 On premix 80% of the consumption of soft drink is on premise i.e.

Restaurant, Railways stations in cinema etc.

 20% of the consumption is made of house hold purposes.

The market can also be segmented on the basis of type of product into cola
products and non cola products. Cola products account for nearly 61-62% of
the total soft drink market. The brands that fall in this category are Pepsi,
coca-cola, Thumps up, Diet coke, Diet Pepsi etc. Non cola segment which 36%
can be divided into 4 categories based on the types of flavors available
Orange, Cloudy Lime, Clear Lime, Mango.

Orange
Its flavors based soft drink made up of 17% of the market. The segment is
largely dominated by national brands like Fanta of coca-cola and mirinda

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orange of Pepsi Co. which collectively from 15% of the market rest of the
market is under smaller brands like crush(earlier of Cadbury chippers and now
of coca-cola) Gold spot etc.

Clear Lime
These segment of the market witnessed good growth initially with all the
players launching their brands in the segment. But now the growth in the
segment has slowed down.

Mango
This segment constitutes of 2% of total soft drink market and it competes with
other brands such Mango Frooti. Coca-cola competitor Pepsi Co. produces
Slice.

Positioning

“Positioning is the act of designing companies offering & image to occupier the
distinctive place in the mind of target segment.

Coca-cola’s Positioning Strategy

Coca cola’s is world’s No.1 soft drink because It has a good brand image in the
mind of customer by doing advertisement, & by giving qualitative product &
also by doing social welfare activity live as 24 hours ambulance facility to the
public, By giving water facility to it’s nearest villages, Etc.

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 Targeting

Types of Targeting

Single Segment Concentration:-

Single segment concentration means company is targeting only one segment.

Selective Specialization:-
Selective specialization means company is targeting all three market and each
market they have targeted one segment.

Product Specialization:-
Product specialization means company is targeting only one mallet &
producing all the product for that market.

Market Specialization:-
Market specialization means company is targeting one market and producing
all the product for that market

Full Market Segment:-

Full Market Segment means company is targeting all three market Upper,
middle & lower & producing all the product accordingly market wise.

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Targeting Strategy of Coca-cola
Thums Up & Coke:- This product for those people who want strong flavored
product. Diet coke for health Conscious people & for diabetic &heart problem
people. Orange base product is basically for children & female. Limca:- It is
the lemon base beverages targeted as a refreshing product. Sprite:- Sprite is
targeted for young class people. Maaza: - Maaza is naturally flavored product
who is very conscious about the original fruit drink. Pulpy orange:- It is a fruit
concentrate It is a product for household purpose

From this marketing Report of coca-cola I have concluded that coca-cola is

perfect in its beverages and other works. Since beginning of coca-cola it is a
leading beverage company in the world. And so it is operation in were than 200
countries with 300 brands of soft drinks. Coca-cola company’s beverages has
captured almost 900/0 of the :market it is having Pepsi as its strong
competitor in the beverage market.I3ut coca- cola is ahead of Pepsi working of
coca-cola is good and it career for its employees. It has provided different kinds
of facilities for its employees.

Since beginning of the coca-cola plant it has related a friendly relationship with
its employees and customers. Plant of coca-cola is with zero discharge, which
prevents from polluting the environment. Goblej plant of coca- cola is having
three ponds for breeding fish from the waste water, which is gathered after
trading the water. And remaining water recycled and used for watering the
plants.

Coca-cola’s efficiency we can see from its operating in the communist countries
like Russia and china where most of its competitors have difficulty in finding
market slier, but coca-cola is well spread in this countries. Coca-cola is having
about 55 plants in India and 37 plants of coke.

I have tried my best to prepare marketing report on coca-cola and hope I have
fulfilled my duty on the care.

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 BIBLIOGRAPHY

[1] Through Industrial Visit

[2] Website: - www.coca-cola.com

[3] Website: - www.coca-colaindia.com

[4] Website: - www.coca-colamarketing.com

[5] Principal of marketing - Kotler & Armstrong

[6] The information given by Coca-Cola Company.

[7] Marketing report of Senior Students.

[8] The information given by the Professors.

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