A SUMMER TRAINING REPORT ON STUDY ON THE COLD DRINK MARKET IN VARANASI REGION WITH SPECIAL REFERENCE TO PEPSI

INVERTIS INSTITUTE OF ENGINEERING & MANAGEMENT, BAREILLY 2010-2011

Submitted in partial fulfillment of the requirement for MBA Degree Program of Uttar Pradesh Technical University, Lucknow

Institute Guide:

Submitted by:-

Mr. Rajeev Bhandari Lecturer IIMS (BAREILLY)

Yashwant Kumar Tiwari Roll.No.1032070036 IIEM-Secc

PREFACE

The successful completion of this project was a unique experience for me because by visiting many place and interacting various person, I achieved a better knowledge about sales. The experience which I gained by doing this project was essential at this

turning point of my career this project is being submitted which content detailed analysis of the research under taken by me.

The research provides an opportunity to the student to devote his/her skills knowledge and competencies required during the technical session.

The research is on the topic STUDY ON THE COLD DRINK MARKET IN VARANASI
REGION WITH SPECIAL REFERENCE TO PEPSI

Acknowledgement
It was a great opportunity for me to work with Sify technology Ltd., pioneers in the field of broad band Industry. I am extremely grateful to all those who have shared their expertise and knowledge with me and without whom the completion of this project would have been virtually impossible. Firstly, I would like to thank our Company Guide Mr. ARVIND KUMAR RAI who has been a constant source of inspiration for us during the completion of this project. He gave us invaluable inputs during our endeavor to complete this project. I am indebted to all staff of Sify Ltd for their valuable support and cooperation during the entire tenure of this project. Not to forget, all those who have kept our spirits surging and helped delivering our best. I thank our faculty guide Mr. Rajeev Bhandari who helped us out at every critical

situation that we faced in our project and gave me his valuable advice to solve the problems.

SUMMER TRAINING COMPLETION CERTIFICATE TO WHOMSOEVER IT MAY CONCERN

This is to certify that Mr. Yashwant Kumar Tiwari has successfully completed his summer training of eight weeks from20th JULY 11 to 4st AUGUST 11 under my guidance. He has submitted a copy of his project report entitled STUDY ON THE COLD DRINK MARKET IN
VARANASI REGION WITH SPECIAL REFERENCE TO PEPSI and has given a

presentation on the report.

Name of Executive supervising summer trainer:-

Signature:-

CONTENT
S.no Page No.

Details of Document

1. 2. 4. 5. 6. 7. 8. 9. 10. 11. 12. 12.

Introduction of PEPSI Company Profiles Objective Need of the study Research Methodology Data analysis and Interpretation Finding Limitations Suggestions Conclusion Bibliography Annexure

8-15 16-55

60-62 63-65 66-76 77-86 87-88 89-90 91-92 93-94 95 96-97

INTRODUCTION

INTRODUCTION

In this chapter various accepts of study are going to be discussed. To which area of management that study belongs to and various concepts that are related the area of study. The present outcomes under marketing and deals in the specific with the distribution network and its management. PEPSI was in India from 1956-61 and left the country, as its products were not acceptable by the Indian customers. But recently in 1990 it re-entered the Indian market, where by PEPSI FOODS LIMITED was entered into a joint venture with PEPSI INTERNATIONAL, TATA and VOLTAS. PEPSI Bottlers and Producers of soft drinks buy concentrate and sell at fixed price and add a margin rationally for its products.

Company overview

INTRODUCTION

In this chapter, an over of all the major accepts related to the study is discussed. The total industry profiles the soft drinks industry globally and in our country. The profile of the company with respect to its operation number of franchises, market share of the company and many other factors would be discussed here.

2.2 INDUSTRY PROFILE

Non alcoholic soft drink beverage market can be divided into fruit drink and soft drink. Soft drinks can be further divided into carbonated and non carbonated drinks. Colas, lemon and oranges are carbonated drinks while mango drinks come under non-carbonated drinks. Cola, lemon and oranges are carbonated drinks while mango dinks comes under noncarbonated category. The soft drinks market till early 1990s was in hands of domestic players like Coke, Thumps Up, Limca etc. but with the opening up of economy and coming of MNC players Pepsi and Cock the market has totally under their control. Worldwide, Cock is the leader in carbonated drinks market. In India it is Pepsi, which scores over cock but this difference is fast decreasing. Pepsi entered Indian market in 1991. Cock re-entered (after they were thrown out in 1977, by then central government) in 1993. Pepsi has been targeting the youth and the sales have been doing well by sticking to this youth segment. Cock on the other hand struggled initially in establishing itself in the

market. In a span of 7 years of its operations in the country it changed its CEO four times they seem to have started understanding the pulse of Indian consumers. Soft drinks are available in glass bottles, aluminum cans and PET bottles for home consumption. Fountains also dispense thin in disposable containers. SEGMENTATION: The soft drink market can be segmented on the basis of place of consumption and on the basis of type of products. The segmentation on the basis of place of consumption divides the market into three parts: 1. on-permise-80% of the consumption of soft drinks is on premise i.e. restaurants, railway stations, cinemas etc, 2. At-home the rest 20% of the market compromise of the soft drink purchased for consumption at home. The market can also be segmented on the basis of types of products into Cola products and non-cola products. 1. cola products account nearly 62% of the total soft drinks market. The brands that fall in this category are Pepsi, cola, Thumps Up, Diet Pepsi etc. 2. non-cola segment, which constitutes 36%, cam be divide into 4 categories based on the type of flavour available, namely Orange Cloudy lime Clear lime Mango

I.

Orange flavour based soft drinks constitutes around 17% of the market. The segment is largely dominated by national brands like Fanta of Coca-cola Co. and Mirinda Orange of Pepsi Co. rest of the market is in hands of smaller brands like Crush (earlier Cadbury Schweppes and now of Coca Cola), Gold Spot etc.

II.

Cloudy Lime flavour constitutes 14% of the market and is largely dominated by Limca of Coca Cola and Miranda Lemon of Pepsi Co.

III.Clear Lime this 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. The brands available in this segment are 7 Up , Mountain dew of Pepsi, Sprite of Coca-Cola and Canada Dry( earlier of Cadbury Schweppes and now of Coca Cola). The segment constitutes 3% of the total soft drinks market. IV.Mango flavour segment constitutes 2% of the total soft drinks market and it directly competes with mango based fruit drinks like Fruity. The leading brands in this segment are: Maaza of Coca Cola and Slice of Pepsi.

There is very thin line of difference between the clear and cloudy lime. The most obvious feature is that clear lime has to be bottled in green bottles as sunlight harms the drink and changes the taste. There are some small local brands at city or regional levels. Most of these are either merging with two big players (Coca Cola and Pepsi) or they command a very small less than 3% of the total market in their respective areas.

Soft Drink Production Area: The market preference is highly regional based, while Cola drinks have main market in metro cities and northern states of U.P, Punjab, Haryana, etc... Orange flavoured drinks are popular in southern states. Sodas too are sold largely in southern states besides the Bars. Western markets have preference towards mango-flavoured drinks. Growth Promotional Activities in Soft Drink Industry: The government has adopted liberalized for the soft drinks trade to give the industry a boost and promote the Indian brand internationally. Although the import and manufacture of international brands like Pepsi and Cock is enhanced in India the local brands being stabilized by advertisements, good quality and low cost.

Buying Behavior in Soft Drink Industry: Soft drinks come under the category of products on impulse. This attitude of impulse buying is slowly changing to occasion-led buying and also to some extent consumption through home refrigeration particularly in urban areas. The market is slowly moving from non alcoholic carbonated drinks to fruit based drinks and also to plain bottled water due to lower price and ready availability. Consumers purchase soft drinks primarily quench thirst therefore people traveling and not having access to hygienic water reach out for soft drink. This accounts for a large part of the sales. Brand awareness plays a crucial rule in purchase decisions.

 Availability in the chilled from also plays a crucial role in purchase decisions. This has made both the companies to push its sales and to increase its retail distribution by offering Visi cooler to retailers. Why there is no aversion to consumption of soft drinks buys any age group, the main consumer of this market are people in the age group of 30 and below. Product differentiation is very low, as all the products taste the same. But brand loyalty is high in the case of kids and people in the age group of 20-30 years. According to NCAER survey, lower, lower-middle, upper-middle class people do 91% of the total consumption of soft drinks in the country.

Growth promotional activities in soft drink industry:

The government has adopted liberalization for the soft drink trade to give industry a boost and promote the Indian Brand internationally. Although the import and manufacture of international brands like Pepsi and Coke is enhanced in India .The local brands are being stabilized by advertisements, good quality and low cost.

Buying Behavior of soft drink industry:

Soft drinks come under the category of products on impulse. This attitude of impulse buying is slowly changing to occasion-led buying and also to some extent consumption through home refrigeration particularly in urban areas.

The market is slowly moving from alcoholic carbonated drinks to fruit based drinks and also plain bottled water due to lower price and ready availability.

Consumers purchase soft drinks particularly to quench thirst and therefore on travel not having access to hygienic water reaches out for soft drinks.

Brand awareness plays a vital role in purchase decisions. Availability in the chilled form also plays a crucial role in purchase decisions. This has made both the companies to push its sales and to increase its retail distribution by offering Visi coolers to retailers

Why is there no aversion to consumption of soft drinks to any age group, the main consumers of this market are people in the age group of 30 and below.

Product differentiation is very low, as all the products taste the same. But brand loyalty is high in the case of kids and people in the age group of 20-30 years

According to NCAER survey, lower, lower-middle ands upper-middle class people do 91% of the total consumption of soft drinks in the country.

Major Players in Soft drinks Industries

The two global majors Pepsi and Coca Cola dominate the soft drink market in India. Coca Coal, which would up its operations during the introduction of the FERA regime, reentered India 16 years later in 1993. Coca Cola acquired a major chunk of soft drink market by buying out local brands Thumps up, Limca, Maaza and Gold spot from Pearl beverages, Coca Cola has also acquired Cadbury Schweppes soft drink brands Crush, Canada Dry and

Sport Cola in early 1999 and now recently in Oct.2008 .It acquires distribution rights of these brands from IFB Agro Ltd . Pepsi stated a couple of years before Coca Cola manufactures came up with their own market share figures and claimed to have increased their share. Shares Reports On Retailers In Soft Dink Industry:

A Survey was conducted to study the retailers view of the present market, future trend and the consumer behavior patterns. The findings of the survey are as follows. Retailers started that the consumers are loyal to the particular segment of the soft drink i.e. Coca Cola, Orange or Lemon. But as for the loyalty for the brands in each segment is concerned, it is not very significant. 43% of the retailers surveyed told that in the soft drink industry advertising is the key component, it drives sales. While 32% stated promotional schemes and 20%brand loyalty as the reason. As consumers are not very brand loyal where the purchase of the soft drink purchase is concerned, the retailer purchase becomes a critical issue. They usually sell the product in which they get maximum benefit. For this, the companies try to offer them higher margins.

While distributors get the margin of Rs 8-9 per crate (1 crate is equal to 24 bottles) at 3-4% of MRP, retailers are given margin of 10-12 % of MRP. The retailers are not happy with this, as the cost of refrigeration very high for soft drinks to overcome this problem the companies are offering Visi coolers schemes to their main retailers

ORGANIZATION PROFILE PEPSI COMPANY MISSION STATEMENT:

Pepsi Companys over all missions is to increase the value of their share holders investment. they believe that their commercial success depends up on offering quality and value to their consumers and providing products that are safe, whole some and economically efficient and environmentally sound. Providing a fair return to their investors, while adhering to the highest standards of integrity.

HISTORY OF PEPSI AND COCA COLA COMPANY:

Pepsi Co Inc. was founded by Donald M. Kendall, President and chief executive officer of Pepsi Cola and Herman W. Lay, Chairman& Chief executive of FRITO-LAY through the merger of two companies in the year 1965.

MAJOR PRODUCTS OF THE NEW COMPANIES ARE:

Pepsi-Cola company Pepsi-Cola(formulate in 1898) Diet Pepsi(1964) Mountain Dew (introduced by T.P corporation 1984) Frito-Lay Inc brand chips Lays brand potato chips

Cheetos brand chew flavoured snacks Ruffles brand potato chips & Rold Gold brand pretzels Pepsi Company Inc. is among the most successful consumer products company in the world with: 1998 revenues of over $22 billion &1, 51,000 employees. Pepsi companys brand names are among the best known & most respected in the world .Some of the Pepsi Companys brand names are 100 years old. FRITO-LAY Company is the worlds largest manufacturer and distributor of snack chip and Tropicana products Inc. is the worlds largest marketer and producer of branded juices. Pepsi Companys success is the result of Superior Products. High Stands of Performances Distinctive Competitive strategies. High integrity of its work force

PEPSI-COLA COMPANY:

Calets Bradham, New Beru and Mc.Druggist who first formulated Pepsi coal founded Pepsi Companys beverage business at the turn of the century. Brand Pepsi and other Pepsi-cola products including Diet Pepsi one, Mountain Dew, Slice and mug brands account for nearly 1/3 rd of the total soft drink in United States.

Outside U.S Pepsi Cola Companys soft operations include the business of 7up international. Pepsi-cola beverages are available in about 170 countries. Key Pepsi-cola international market includes Argentina, Brazil, china, India, Mexico, Philippines, Saudi Arabia, Spain, Thailand, and the United Kingdom. Pepsi-cola provides advertising, marketing sales and promotion support to the Pepsicola bottles. New advertising and existing promotions keep Pepsi-cola young. The company manufacture and sales of the soft drinks are concentrated to the Pepsi-cola bottles. In 1996, Pepsi entered Japan and Eastern Europe. In 1967, PepsiCo. Stock splits two-for one.

In 1986, North America van lines (NAVL), a premier transportation company Pepsi co, and renamed a strong contribution to the Pepsi unit it has divided in 1984.

In 1969 in bold modern Pepsi cola packing which was using red, white and blue were introduced. FRITO-LAY introduced fungus brand onion flavoured snacks. In 1970 Pepsi introduces the industrys first two litter bottles. Pepsi is the first company to respond to consumer preference with light weight, recyclable, plastic bottles. In 1971 Andral E. Pearson was appointed as president of PepsiCo, a position he held until his retirement in 1984.in 1972 don Kendall announced agreement making Pepsi cola the first foreign product sold in U.S.S.R. Pepsi co is given exclusive rights to import Stolichnaya Russian vodka in the U.S. In 1973 and 1974 Pepsi-cola became the first American consumer product to produce made and sold in former Soviet Union.

In 1975 Pepsi Lite, with destructive lemon taste, is introduced as an alternative to traditional diet colas. In 1976 PepsiCo adopts code of worldwide business conduct. Pepsi-cola became the single largest selling soft drink brands sold in U.S super markets. In 1977 PepsiCo shares spilt up three for one. In 1987 and 1979 the opening of PepsiCo research and technological center in Vallah N.Y PepsiCo reached 85 billion marks in sales. Pepsi was formed to focus on the overseas development of restaurants. In 1981 PepsiCo fitness center was completed, making PepsiCo, one of the most advanced companies in the area of employees health and fitness. In 1982 Pepsi free and diet Pepsi free, the first major brands caffeine free colas were introduced.

Inauguration of the first Pepsi cola operations in china: In 1983 The Bottler Hall of Fame was established to recognize the achievement and dedication of international bottlers. In 1984 diet Pepsi is reformulated with 100% neutral sweet, slice and diet slice. The first major soft drinks sirucsare added in Mexico. The cola were takes one giant spilt for mankind when a Pepsi space can is successfully tested a brand the span shuttle. 1986 Pepsi company board of directors visit the peoples public of china to make the opening the Pepsi second plant in china. In 1989, Pepsi Company introduce share power stock option program for all employees becoming the first large corporation tool award stock options through virtually all full time employees. In the 1900, Pepsi company was recognized as one of the most admired corporation by the fortune magazines top 10 for the two successive years. Pepsi signs the largest commercial trade agreement in history with the Soviet Union expecting sales in the

USSR to double by the end of the century. Pepsi re-entered the Indian market in collaboration with Punjab Agro industries Corporation (PAIC). In 1991 Pepsi company named one of the fortune magazines top most admired corporations, for the third year in also. Pepsi co. purchased an equity position in the carts of Coloreds Inc. the leading manufacturer and marketer of mobile merchandising equipment. It was sold in 1955. 1993 Pepsi Cola began the distribution of Liptons line of ready to drinks teas nationwide. in 1996 Pepsi started its website WWW.Pepsi.com

SOCIAL RESPONSIBILITY OF PEPSICOLA COMPANY:

As a consumer products company, Pepsi Company does not have the major environmental problems of heavy industry. Their biggest environment challenge is packaging generated by their products. Packaging is important to public and a critical component of the distribution system is to deliver products to consumers and commercial establishment. To meet both consumer demand and safe guard the environment, they recycle, re-use and reduce packaging wherever possible. Each business is also committed to responsible use of resources required in manufacturing their products.

LOGOS OF THE COMPANY

ABOUT PEPSI INDIA COMPANY

Franchise (pearl Bottling Pvt.Ltd.,)

Often new flavours are to be added to the product line of cool drinks to prevent a competitor. To establish a relation with retailers it is desirable to sell more than one flavor of cool drinks. To decrease the security seasonal products are added to the resources available so as to lessen its risks. Pepsi has given the franchise of Visakhapatnam region to Pearl Beverages which belongs to Pearl Group with Head quarters at Delhi and Mr. C.K. Jaipuria as the chairman and the Managing Director of the group. Pepsi Foods Ltd., declared Krishna Mohan Beverages and Constructions as franchise, in 1992.Last year it was changed to Pearl Beverages was taken by the Pearl Group. Campa-cola Soft Drinks has originally owned the premises since 1980 at Madhurawada. After the insolvency of campa-cola, KMBC purchased the premises in1990 in the auction by APSFC. Initially, it used to produce Mc.Dowells soda and Bagpiper soda. It produced these drinks under franchise agreements but company could not exist in the market due to stiff competition from pearl products.

Description and Launch of products

Brand name Pepsi

Flavour Cola

Date April-1992

Mirinda 7 Up Mirinda Lime Soda

Orange Clear Lemon Cloudy Lemon Soda

April-1992 April-1992 April-1992 April-1992

Pepsi

Pepsi Dite

7 Up

Mirinda(o)

Mirinda(L)

Slice

Evervess soda

Coca-cola Cock Dite

Sprite

Fanta

Limca

Maaza

Kinleys

Pepsi market share: Pepsi : 47%

Coca-cola : 53%

Pepsi foods (Pvt.) Ltd. Pepsi cola was in India from 1956 to 1961. it left this country, as its products were not found acceptable to the Indian market. Pepsi foods Ltd. Joint venture between Pepsi Co. international of US(which is holding 40% of the equity)and Tata concerns Voltas and the Punjab Ago industries Corporation (each of which have as round 25% of the equity),has 25%of its output reserved for beverages with a 50% export commitment fo9r fruit and

vegetable products. According to Pepsi officials the project guarantees that for every American dollar the company takes out of India, it will bring five back.

They started concentrated factory in Punjab. This company named as Pepsi Foods Ltd. Pepsi Co. internationals direct investments in India so far amounts to Rs.165 corer. Two thirds of this however has gone into food processing. Pepsi foods are exporting fruits and vegetables to UK etc. The Pepsis foods processing unit directly supervised 1,200 hectors under tomato cultivation covering 183 villages and 319 farmers. The companys technical inputs enabled the farmer to achieve a yield of 35 to 50 tones a hector against the average of was after discontinuing teems. KMBC Pvt. Ltd. Has was the bottle for five districts Vizag, Vizianagaram, Srikakulam, and East Godavari & West Godavari. It receives the stock from Cuttack.

PRODUCT PROFILE

The Pepsi Co. is known for the development and introduction of world-class brands & products. Their portfolio is organized into three core business, which consists of snacks, Beverages and Restaurants. Pepsi products are constantly changing themselves to develop new products. They encourage consumer to explore their wide range of brands.

Main objectives: The objectives of the company set out in memorandum of association and franchise agreements are as follows: To manufacturing soft drinks by concentrating supplied by Pepsi Foods. To market and advertise within specified areas for Pepsi products. To sell soft drinks at fixed prices.

financial structure:

To start and operate business, any company has to invest its capital in fixed assets and floating assets and also in meeting the daily requirements of the company. However, depending on the nature of business and product being offered by the company, the ratio of investment of capital in fixed and floating assets differ. Working Capital:

It means capital required for daily management of the company eg. Wages, salaries, canteen expenses and transportation expenses etc Plant layout: the machine and equipment have been imported from Germany, which are arranged in the plant according to the sequence of operation. All the operations are carried on a continuous movement. The reasons for choosing the product layout are:

1. There is continuous supply of material. 2. The brands are all standardized products. 3. The demand for the product brands is reasonable stable. 4. The volume of production is adequate for the reasonable utilization of equipment. Since the company follows continuous operation movement, the cost of material handling goes low. The total floor space required by the machine is less than other types of plant layouts.

Plant Capacity:

The company installed latest up to date automatic plant conforming to plant layout. The installed production capacity is 400 bottles per minutes i.e. 24,000 bottles per day. The plant also is having 100 bottles per 1-leter line. During off-season the plant runs one shift. The company has to produce enough bottles of soft drinks at a speed to keep in space with the disappearance of soft drinks form shelves of the retailer.

Production Schedule: The production schedule is fixed by taking into consideration. The present or current market demand. The availability of empty bottles. The inventory position filled bottles of different flavors.

The production schedule for each brand is fixed daily, filling the bottles of each branded flavors. This has an advantage in manufacturing the branded product is one at a time.

Quality control Pearl Beverages Pvt. Ltd. takes great care to maintain the quality control of the products in their factory. The Bottles are visually examined for impurities continuously, as the bottles move out. Samples are checked every ten minutes of production time by the chemist for its quality and hygiene condition. The chemical analysis is also made for flavors, gas content and sugar percentages. The appearance, smell and taste of the products are also checked. If any defects are noticed, the production is suspended and the correcting measures are taken so as to set right the bottling process irregularities. Further, samples from each batch are dispatched to the affiliated parent agency company in each week for quality checkup. Moreover, agency of the company also lifts sample form the market at the random for quality checkup at any time to make sure that the quality is maintained to the exact standard of the parent company.

At the end of the production schedule, daily all the equipment floor and wet patches are cleaned with bleaching powder or some other solution. The standards of hygiene maintained inside the production shops are commendable.

Organization Structure and management:

The word organization has two common meanings. The meaning signifies an institution or function as group and the second meaning refers to the process of organizing the way of work which is arranged and allocated among members often organization so that the goal of the organization can be achieved efficiently. The organizing involves balancing the companies. Needs both for stability on one hand and change on the other hand, an organization structure means adopting a change or it can be a source of resistance to change. There are mainly five elements of organization structure. Specialization of activities. Standardization of activities. Coordination of activities. Centralization and decentralization of deviation making. Size of the work unit.

The M.D, Mr. Ruchirans Jaipuria is athe head of the organization and administration. The company is managed by able director, and is assisted by a team of well-qualified & experience senior management personnel.

LIST OF THE EMPLOYEES IN PEARL BOTTELIGN COMPANY The following table shows the description of employees along with designation & no. of employees:

S.No 1 2 3 4 5 6 7 8 9 10 11 12 13 14

Description GENERAL MANAGER (FINANCE) COMMERCIAL MANAGER MARKETING DEVELOPMENT MANAGER VICE PRESIDENT TERRITORY DEVELOPMENT MANAGER ACCOUNTS DEVELOPMENT MANAGER TRAINING MANAGER ADMINISTRATIVE MANAGER MARKET EQUIPMENT MANAGER PRODUCTION MANAGER ASST. PERSONAL MANAGER STORE EXECUTIVES CUSTOMER CENTRAL EXECUTIVE TERRITORY C0-ORDINATOR

No. of employees 1 1 1 1 4 1 1 1 1 1 1 3 25 1

15 16 17 18 19 20 21 22 23 24 25 26 27 28

ROUTE AGENT SALES TRAINEE CHEMIST ACCOUNTANTS SUPERVISOR CLERKS OPERATORS ELECTRICIANS FITTERS COMPUTER CUM TELEPHONE OPERATORS SECURITY OFFICER SECURITY GUARDS OFFICE BOYS SWEEPERS & HELPERS

50 1 3 5 8 8 10 10 3 12 1 6 13 3

OBJECTIVE

OBJECTIVE OF THE STUDY

In view of intensifying competition in soft drink market, it is imperative that a brand keeps a constant, which on them market and response properly and promptly to the dynamics of the market. It is in view of this fact has the present study has been taken up for PEPSI.

To measure the satisfaction level of consumer in the market To analyze the market demand of pepsi in varanasi To gather knowledge regarding scheme adopted by various soft drink To know the problems of retailers regarding the trade schemes and consumer offers. To identify the retailers opinion towards Pepsi products. To know the problems of retailers and to offer the suggestion for improving in sales.

NEED OF THE STUDY

NEED OF THE STUDY

In modern days, market plays a vital role in rapidly changing industrial scenario. The marketing decline is under going reappraisal in the light of vast goals, technological, economic and social changes being faced by the today companies. The order to known the changes in the field of marketing it are necessary to conduct market survey.

Study is conducted considering the following accepts: Firstly, visage is a representative of soft drink market which is highly promoting with a lot of potential which is at to be tapped.

Secondly the behavior of the retailer is very much influenced by the additional benefits he is getting for selling the products having.

Thirdly to understand the market condition of the soft drinks in the present scenario and the competition level in the market.

Considered the key role of the retailer in present day market as an attempt was made to study the impact of companys schemes of offering coolers to the retailers.

SCOPE OF THE STUDY

There is lot of scope for the further study in the project. Further study can be done in the following ways. We can make a study on Pepsi and Cock companies efficiency in their promotion activities. The same study can be conducted in other areas under bottling unit to generalize the finding for entire area under it. There is chance to know whether the Pepsi and Cock are doing the right thing regarding the sales promotion, product quality, discounts and advertising. A study on impact of visit coolers sales of Pepsi also be taken up.

RESEARCH METHODOLOGY
INTRODUCTION

Research Methodology refers to search of knowledge .one can also define research methodology as a scientific and systematic search for required information on a specific topic. The word research methodology comes from the word advance learner s as a careful investigation or inquiry especially through for example some author have to gain new knowledge.

dictionary meaning of research

research for new facts in my branch of knowledge define research methodology

as systematized effort

Methodology of the project starts with

In the first phase we are trained and they teach us different things about market. After that they conduct a mock viva, in this they ask about the real life problem faced by the customers. They provide leads and after that we make calls. Then after that we have to provide details of product and convince them. Then we have to visit them and get the formed filled from them. Maintaining dairy of clients and contacting them at regular basis. Get the knowledge of technical as well as fundamental methods. Observe the patterns of the scripts.

Exploratory Research:

Exploratory research is a type of research conducted because a problem has not been clearly defined. Exploratory research helps determine the best research design, data collection method and selection of subjects. Given its fundamental nature, exploratory research often concludes that a perceived problem does not actually exist. Exploratory research often relies on secondary research such as reviewing available literature and/or data, or qualitative approaches such as informal discussions with consumers, employees, management or competitors, and more formal approaches through in-depth interviews, focus groups, projective methods, case studies or pilot studies. The results of exploratory research are not usually useful for decision making by them, but they can provide significant insight into a given situation. Although indication as to the results of

qualitative research can give some

the "why", "how" and "when"

something occurs, it cannot tell us "how often" or "how many." Exploratory research is not typically generalizable to the population at large. Research is exploratory when you use no earlier model as a basis of your study. The most usual reason for using this approach is that you have no other choice. Normally you would like to take an earlier theory as a support, but there perhaps is none, or all available models come from wrong contexts. Exploratory research means that hardly anything is known about the matter at the outset of the project. You then have to begin with a rather vague impression of what you should study, and it is also impossible to make a detailed work plan in advance.

Analysis

in exploratory

research

is essentially abstraction and generalization.

Abstraction means that you translate the empirical observations, measurements etc. into concepts; generalization means arranging the material so that it disengages from single persons, occurrences etc. and focuses on those structures (invariances) that are common to all or most of the cases. It will seldom be possible to divide exploratory study into such clear phases as is common in the case that the object has been studied earlier. According to Alasuutari (1993 p.22), in qualitative analysis of empirical findings, you can distinguish two phases but these two overlap:

Simplification of observations Interpretation of results (or "solving the enigma") In the simplification phase, the material is inspected from the theoretical point of view of the study project, and only the points relevant from this angle are noted. Details differing from one individual to another at random are omitted or pushed aside so that the general lines of the data can be discerned more easily. Simplification continues by finding the relationships between separate observations or cases. Some tools for this work are comparison and classification. The goal is to find the general rule or model that is valid in all or most of the observations. This model can be, for example, development or evolution, causality, or a conscious action to attain an outcome which is typical in normative research. -- In any case the analysis starts from separate cases and aspires to create one or a few general models.

"Solving the enigma" does not always mean answering exactly those questions that were asked at the outset of the project. Sometimes the most interesting questions are found at the end of the research, when the researcher has become an expert on the subject. It is often said that "data teach the researcher". The purpose of descriptive exploratory research is to extract a structure from the source material which in the best case can be formed as a rule that governs all the observations and is not known earlier (per the definition of exploratory study). Finding the unknown structure may need some creative innovation, because even the most sophisticated

computerized analysis methods cannot automatically uncover which type of structure is concealed in data. Usually you first have to formulate a tentative pattern for the assumed structure in the observations and then you can ask the computer to estimate how well the data corresponds to the model, cf. Tools for Analysis.

METHODS OF DATA COLLECTION

In the project work Primary data secondary data (both) sources of data has been used .1. Primary data collection: In dealing with real life problem it is often found that data at hand are inadequate, and hence, it becomes necessary to collect data that is appropriate. There are several ways of collecting the appropriate data which differ considerably in context of money costs, time and other resources at the disposal of the researcher.

Primary data can be collected either through experiment or through survey.The data collection for this study was done in the following manner: Through personal interviews:-A rigid procedure was followed and we were seeking

answers to many pre-conceived questions through personal interviews. Through questionnaire: - Information to find out the investment potential and goal was found out through questionnaires. Through Tele-Calling:-Information was also taken through telephone calls.

2. Secondary sources of data: In the secondary sources of data is used. (Internet, magazine, books, journals)In research, secondary data is data collected and possibly processed by people other than the researcher in question. Common sources of secondary data for social science include censuses, large surveys, and organizational records. In sociology primary data is data you have collected yourself and secondary data is data you have gathered from primary sources to create new research. In terms of historical research, these two terms have different meanings. A primary source is a book or set of archival records. A secondary source is a summary of a book or set of records. Secondary data analysis: There are two different types of sources that need to be established in order to conduct a good analysis. The first type is a primary source which is the initial material that is collected during the research process. Primary data is the data that the researcher is

collecting themselves using methods such as surveys, direct observations, interviews, as well as logs (objective data sources). Primary data is a reliable way to collect data because the researcher will know where it came from and how it was collected and analyzed

since they did it themselves. Secondary sources on the other hand are sources that are based upon the data that was collected from the primary source. Secondary sources take the role of analyzing, explaining, and combining the

information from the primary source with additional information. Secondary data analysis is commonly known as second-hand analysis. It is simply the analysis of preexisting data in a different way or to answer a different question than originally intended. Secondary data analysis utilizes the data that was collected by someone else in order to further a study that you are interested in completing. Common sources of secondary data are social science surveys and data from government agencies, including the Bureau of the Census, the Bureau of Labor Statistics and various other agencies. The data collected is most often

collected via survey research methods. Data from experimental studies may also be used. Sources of secondary data: Sources of secondary data may be classified into qualitative and quantitative. Examples of qualitative sources are biographies, memoirs, newspapers, etc. Quantitative sources include published statistics (e.g., census, survey), data archives, market research, etc. Today, with the aid of our internet capabilities, thousands of large scale datasets are at the click of a mouse for secondary data analyst. Globally, there are many sources available. These sources can arrive from the data arranged by governmental and private organizations, to data collected by any social researcher. Secondary data analysis is a growing research tool in our modern day society.

Social scientists have the opportunity to explore massive amounts of secondary data.

Collecting, reviewing, and analyzing secondary data:The Design and Purpose of Research Secondary data analysis consists of collecting data that was compiled through research by another person and using that data to get a better understanding of a concept. A good way to begin your research using secondary data that you are collecting to further support your concept is to clearly define the goals of your research and the design that you

anticipate using. An important thing to remember when defining your plan is to ensure that you have established what kind of data you plan on using for your research and the exact goal. Establishing what type of research design using secondary data for research it helps is an important component. In terms of the final

to create an outline of what

product will look like consisting of all the types of data to be used along with a list of sources that were used to compile the research. In order to use secondary data three steps must be completed: 1. Locate the data 2. Evaluate the data 3. Verify the data Locating the data can be easily done with the advancements of searching sources online. However, people need to be aware of the details when searching online since pages can be out of date or poorly put together. Therefore, use caution and pay attention to whether it is a reliable data source

online and check when the last update was. To evaluate the data a researcher must carefully examine the secondary data they are considering to ensure that it meets their needs and purpose of study. The person must look at the population and what the sample strategy and

type were. It is also important to look at when the data was collected, how

it was

collected, how it was coded and edited, along with the operational definitions of measures that were used. Finally, the data must be verified to ensure good quality

material to be used in new research.

Determining the Types of Data and Information Needed to Conduct Analysis Data and information collection for secondary data analysis will depend entirely upon the subject that is central to the focal point of the study. The purpose of conducting

secondary data analysis is to further develop an improved understanding of the subject matter at hand. Some important types of data and information that should be collected and summarized include demographic information, information gathered by government agencies (i.e. the Census), and social science surveys. There is also the possibility of reanalyzing data that was collected in experimental studies or data collected with qualitative measures that can be applied in secondary data analysis. The most

important component is to ensure that the information and data being collected needs to relate to the subject of study. Determine the Quality of Sources of Data In secondary data analysis, most individuals who do not have much experience in research training or technical expertise can be trained accordingly. However, this advantage is not without difficulty as the individual must be able to judge the quality of the data or

information that has been gathered. These key tips will assist you in assessing the quality of the data: Determine the original purpose of the data collection, attempt to discover the credentials of the source(s) or author(s) of the information, consider if the document is a primary or secondary source, verify that the source well-referenced, and finally find out the: date of the publication; the intended audience, and coverage of the report or document.

RESEARCH DESIGN

For the proper analysis of data simple quantitative technique such as percentage were used. It help in marketing more accurate generalization From the data available .The data which was collected from a sample of population was assumed to be representing entire population was interested .Demographic factor like age, income and

educational background was used for the classification purpose .

On The Job Training

On the job training is an important component of our training. It is an attempt to bridge the gap between the academic institution and the corporate world. During OJT, which would be a simulation of real work environment, requires you to undergo the rigor of professional environment, both in form and in substance. In the process, it provides an opportunity for us to satisfy our inquisitiveness about corporate, provides exposure to technical skills, and

helps us to acquire social skills by being in constant interaction with the professionals of other organizations.

During OJT we are required to undertake assignment\jobs along with the day-to-day function of the company, both at the assistance and execution level. This will help to gain a deeper understanding of the work, culture, deadlines, and pressure etc. of an origination. STRATEGY

 Tele-calling Personal appointments Making arrangements for the requirements

The main part of the report i.e. Analysis part is covered in this chapter. I did survey in 300 outlets in 3 various areas. After conducting the survey I interpreted the total collected information using a structured questionnaire. The required information is derived from that interpretation and analysis. This analysis part contains tables and pie charts. We can come to a conclusion from the final information from this chapter. Because of that reason this chapter is very important in the entire study of the project. Without this interpretation we can conclude the total survey and also can not understand the position of any company and the opinion of the customers regarding the company.

3.2 DETAILS OF THE AREA SURVEY CONDUCTED Details of the survey conducted: The total data collected in three areas in Srikakulam district of total of 300 retail outlets. They are given below: CLUSTER Cluster-1 SAMPLE SIZE 130 AREA Srikakulam

Cluster-2 Cluster-3

90 80

Amadalavalasa Narasannapeta

I started my survey first at Srikakulam on 4/02/09 and my study completed on 18/02/09 with Amadalavalasa. I personally went to every outlet and asked the total details of which are in the questionnaire and filled those things. Some of the retailers denied giving the details and I waited there with patience and collected all the data. In my survey I learned a lot and collected the useful information and also got good experience in the market field and came to know many things which are not in our books through this survey. I almost covered all the retail outlets which are situated in these areas and collected the correct information.

DATA ANALYSIS & INTERPRETATION

1) What are the product in which you deal ?

Option Pepsi Coca Cola Both 20% 16.66% 63.34%

Percentage 6 5 19

No . of respondent

Percentage
70% 60% 50% 40% 30% 20% 10% 0% Pepsi Coca Cola Both Percentage

Interpretation:
The study shows that Retailer deal in 20% with Pepsi ,16.66% with Coco Cola & 63.34% in both of products.

2) What is the consumers 1st choice?

Option Pepsi Coca Cola Sprite Mountain dew 36.66% 33.34% 20% 10%

Percentage 11 10 6 3

No . of respondent

Percentage
Mountain dew

Sprite Percentage Coca Cola

Pepsi 0.00% 10.00% 20.00% 30.00% 40.00%

Interpretation:
The study shows that According to Retailer the consumer choose 36.66% Pepsi, 33.34% Coco Cola, 20% Sprite & 10% of Mountain Dew.

3) How much you are satisfied with Pepsi/its brand?

Option Extremely Satisfied Satisfied Dissatisfied

Percentage 33.34% 53.34% 13.33% 10 16 4

No . of respondent

Percentage

Extremely Satisfied Satisfied Dissatisfied

Interpretation:
The study shows that 33.34% of Retailer extremely satisfied,53.34% are satisfied & 13.33% of Retailer are not satisfied with Pepsi.

4) What is the demand of Pepsi in market of Varanasi ?

Option High Moderate Low 66.66% 13.33% 20%

Percentage 20 4 6

No . of respondent

Percentage
70.00% 60.00% 50.00% 40.00% 30.00% 20.00% 10.00% 0.00% High Moderate Low Percentage

Interpretation:
The study shows that According to Retailer the demand of Pepsi is 66.66% high ,13.33% moderate & 20% low in Varanasi Region.

5) Are you satisfied with the trade scheme of Pepsi ?

Option Yes No 70% 30%

Percentage 21 9

No . of respondent

Percentage

Yes No

Interpretation:
The study shows that 70% of Retailer says Yes & 30% says No in the case of satisfaction with scheme & offer provide by the company.

6) Do you face any problem with Pepsi soft drink?

Option Yes No Sometimes 16.66% 26.66% 56.66%

Percentage 5 8 17

No . of respondent

Percentage

Yes No Sometimes

Interpretation:
The study shows that 16.66% of Retailer face problem, 26.66% have no problem & 56.66% Retailer sometime face problem with Pepsi soft drinks.

7) Sale of which product line of Pepsi Co is high?

Option Pepsi 7up Mirinda Slice 40% 16.66% 13.33% 30%

Percentage 12 5 4 9

No . of respondent

Percentage
45% 40% 35% 30% 25% 20% 15% 10% 5% 0% Pepsi 7up Mirinda Slice Percentage

Interpretation:
The study shows that Most of the Retailer sale 40% of Pepsi, 16.66% of 7up, 13.33% of Mirinda & 30% of slice.

8) What are the factors that influence you in selling Pepsi ?

Option Price Profit On time delivery Scheme & Offers 20% 30% 13.33% 36.67%

Percentage 6 9 4 11

No . of respondent

Percentage
Scheme & Offers On time delivery Percentage Profit Price 0% 10% 20% 30% 40%

Interpretation:
The study shows that 20% of Retailer are influenced by price,30% by profit, 13.33% by on time delivery & rest with Scheme & offers.

9) According to you which size of Pepsi preferred by consumers?

Option Cane Family Pack 1 liter 200 ml 16.66% 33.33% 23.33% 26.66%

Percentage 5 10 7 8

No . of respondent

Percentage

Cane Family Pack 1 liter 200 ml

Interpretation:
The study shows that according to Retailer 16.66% of consumer prefered cane , 33.33% preferred family pack 23.33% preferred 1 liter & 26.66% preferred 200 ml .

10) Would you like to give suggestion to Pepsi for improvement ?

Ans.---------------------------------------------------------------------------------------------------------------------------------------------------

FINDINGS
The finding of the study are: 1) Large number of retailer deal in both the product i.e pepsi & coca cola.

LIMITATIONS

LIMITATIONS OF THE STUDY

The present study is subject to the following limitations:

The sample size is not universal , some part of other cities remained uncovered Unavailability of some information due of lack of awareness of retailers Time and expenses were major constraints The study of the soft drink industry which is known to be seasonally fluctuating on e percent study does not take into account seasonal fluctuations. The results may not suit for all the seasons Personal basis may be existing as the dealer of varied nature elicits the information

SUGGESTIONS

CONCLUSION

BIBLIOGRAPHY

ANNEXURE

QUESTIONNAIRE

RETAILER IDENTIFICATION

Name of the retailer

--------------------------------------

Address of the retailer

--------------------------------------

Year of establishing the retailer

---------------------------

1) What are the product in which you deal ?