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“Finding the lacuna in the operation &functioning of visi& Distribution of PepsiCo among the corporate in
JAIPUR”
Submitted by
Siddharth Jain
In partial fulfillment for the award of the diploma
of
PGDMPost Graduate Diploma in Business Management
(2009-2011)
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ACKNOWLEDGMENT
I am grateful to “Mr. HIMMAT SINGH SHEKHAWAT” whose
encouragement, guidance and support from the initial to the final level
enabled me to develop an understanding of the subject.
I am grateful to “Ms. RICHA MITRA” whose guidance enabled me to
complete the project as per, requirements.
Lastly, I offer my regards and blessing to all of those who supported me
in any respect during the completion of the project.
SIDDHARTH JAIN
(2009-11)
25/07/10
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BONAFIDE CERTIFICATE
Certified that this project report “Finding the lacuna in the operation
&functioning of visi by collecting feedback from retailer in JAIPUR”
Is the bonafide work of “SIDDHARTH JAIN” of PGDM Batch 2009-
2011 who carried out the project work under my supervision.
SIGNATURE
Mr. HIMMAT SINGH SHEKHAWAT
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PREFACE
Marketing plays pivotal role in today’s business scenario in consumer
product Company, when there is such a high competition in the market.
The emphasis in the project is providing the study and an insight into
Indian FMCG Business Scenario. The Summer Project is designed to
provide participation of PGDM program as on the job experience. This
has given a chance to try and apply the academic knowledge and gain
insight into corporate culture. This helps in developing decision-making
abilities and emphasizes on active participation by the student.
We undertook our Project in Varun Beverages, a leading Bottler and
Marketing partner of the Pepsi Foods. During the training, we had
worked on the project “Finding the lacuna in the operation &functioning
of visi & Distribution of PepsiCo among the corporate in Jaipur”
We gained valuable experience & knowledge during the survey. The
Project consists of our findings after data analysis & then SWOT analysis
& conclusions were drawn and finally recommendations were put
forward.
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TABLE OF CONTENTS
1. ABSTRACT
2. INTRODUCTION
3. COMPANY PROFILE
4. OBJECTIVE & SCOPE OF THE STUDY
5. KEY ELEMENTS OF TRADE
5. RESARCH METHODOLOGY
6. DATA ANALYSIS & INTERPRETATION
7. FINDINGS & LIMITATION OF THE STUDY
8. SUGGESTION & RECOMMENDATION OF STUDY
9. CONCLUSION
10. SWOT ANALYSIS
11. BIBLIOGRAPHY
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ABSTRACT
Soft drinks are playing the vital role in the market and the
companies are also getting the good profits on these products. The soft
drinks industry has originated in 1772. Now these drinks spread all over
the world and the millions of bottles is consumed every day. Now this
business is a global one and the companies are facing high competition in
this business and they are changing their strategies according to the
situations.
Varun Beverages Pvt. Ltd. Takes a great care to maintain quality
control of 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
hygienic condition. The chemical analysis is also flavors, gas contain and
sugar percentage. The appearance, smell and taste of the production are
suspended and the correcting measures are taken also as to send right the
bottling process.
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Reason for selecting this title is to collect
information about current status of the visi cooler that is given by the
company to the retailer for selling of every brand soft drink. The main
objective of the research was to know the company’s position in the soft
drink market by doing visi purity & charging of every visi.
The location for the project was in Sanganer & Sitapura .The
duration of the project was from 20th April TO 5th June 2010
INTRODUCTION
Modern age is full of competition. Today only way of success is your continuous efforts towards the growing market needs and in satisfyingthem. It is the marketer job to know what the market speaks i.e. the ever changing needs of the customer through market research & adopt themfruitfully. It is must for all the companies to make policies according tothe customers and the govt. Today to succeed for any organization has to
target its customer needs, to create a culture in the organization i.e.Market conscious & responsive to customer needs .Soft drinks industryhas become big business in India in recent years.
The soft drink business underwent major change with the entry of PEPSIand re-entry of COCA-COLA in India in the late 80s when Parley with
brands like Thumsup, Limca & Gold spot was a clear leader. Coca-Colatook up the product line of parley in 1993-94; today both brands are theIndians favorite soft drinks.
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COMPANY PROFILE-JAIPURIA GROUP: IN
INDIA
With a Legacy of decades in the industrial arena, the Jaipuria Group of
Companies now stands at the one thousand five hundred Crore marks.
The group boasts of its several world-class business arenas like those of
Textiles, Bottling, education, and information technology, Food Chain
and Retailing, apart from numerous other business segments
JAIPURIA GROUP is an Rs.1500 Crore, family controlled, reputed business house with over a century of operations in diversified fields.
The group as on today can boast of expertise and leadership in the fields
of food and beverages, textiles and real estate development with varied
interest in a wide range of products and services.
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The Jaipuria Group under the leadership of the three
brothers SK Jaipuria, RK Jaipuria and CK Jaipuria has today become one
of the leading business houses of the country.
The following are the major areas of operations of the Jaipuria Group:
Food and Beverages
Textiles
Information Technology
Real Estate
Education
It can be said with absolute certainty that the RKJ Group has carved out a
special niche for itself. Our services touch different aspects of
commercial and civilian domains like those of Bottling, Food Chain and
Education. Headed by Mr. R. K. Jaipuria, the group as on today can lay
claim to expertise and leadership in the fields of education, food and
beverages.
The business of the company was started in 1991 with a tie-up with Pepsi
Foods Limited to manufacture and market Pepsi brand of beverages in
geographically pre-defined territories in which brand and technical
support was provided by the Principals viz., Pepsi Foods Limited. The
manufacturing facilities were restricted at Agra Plant only.
Varun Beverages Ltd. is the flagship company of the group.
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The group also became the first franchisee for Yum
Restaurants International [formerly PepsiCo Restaurants (India) Private
Limited] in India. It has exclusive franchise rights for Northern & Eastern
India. It has total 27 Pizza Hut Restaurants under its company.
We diversified into education by opening our first school in Gurgaon
under management of Delhi Public School Society. The schools of the
group are run under a Registered Trust namely Champa Devi Jaipuria
Charitable Trust.
Companies are medium sized, professionally managed, unlisted and
closely held between Indian Promoters and foreign collaborators.
The group added another feather to its cap when the prestigious PepsiCo
“International Bottler of the Year” award was presented to Mr. R. K.
Jaipuria for the year 1998 at a glittering award ceremony at PepsiCo’s
centennial year celebrations at Hawaii, USA. The award was presented
by Mr. Donald M. Kendall, founder of PepsiCo Inc. in the presence of
Mr. George Bush, the 41st President of USA, Mr. Roger A. Enrico,
Chairman of the Board & C.E.O., PepsiCo Inc. and Mr. Craig Weather
up, President of Pepsi Cola Company.
Vision of the Company:
Being the best in everything we touch and handle.
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Mission of the Company:
Continuously excel to achieve and maintain leadership position in the
chosen businesses; and delight all stakeholders by making economic
value additions in all corporate functions.
MAIN CREDENTIALS
1. VARUN BEVERAGES LIMITED received" GOLD STANDARDAWARD" for the production and quality control for the year 1996-97.
2. Jaipuria group was adjudged “Best Bottler “out of more than 2000
bottles all over the world for the year 1996-97.
BUSINESS SEGMENTS
The RKJ Group is divided into three-business segments- Beverage, Food
and Education. It has a leading market position in each of its three
business segments. Our balanced portfolio produced a solid business
performance. Products and services, which look to the future, ensure that
we will be well placed in growth markets.
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BEVERAGE INDUSTRY
Indian Beverages industry’s size is Rs. 8000 Crores and it is dominated
by two player’s viz. Pepsi & Coke only. This high profile industry has lot
of potential for growth as per capita consumption in India is 8 bottles a
year as compared to 20 bottles in Sri Lanka, 14 in Pakistan, while 12
bottles a person in Nepal.
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The RKJ group is India's leading supplier of retailer
brand Carbonated and Non-Carbonated soft drinks, with beverage
manufacturing facilities in India and Nepal. Its experience in the
beverage industry dates back to the sixties when it had the first franchise
at Agra.
The group manufactures and markets carbonated and Non-Carbonated
Soft Drinks and Mineral Water under Pepsi brand. The various flavors
and sub-brands are Pepsi, Mirinda Orange, Mirinda Lemon,
Mountain Dew, and 7UP, Slice Mango, Evervess Soda and Aquafina.
It has the license to supply beverages in the territories of Western U.P.,
part of M.P., half of Haryana, whole of Rajasthan, Goa, 3 districts of
Maharashtra, 9 districts of Karnataka and whole of Nepal. The group has
in total 18 bottling plants in India & Nepal and is responsible for
producing and marketing 44% of Pepsi requirement in India.
In order to later to this increasing demand, new bottling plants are being
set up at Alwar, kosi, Jodhpur, Kathmandu and Goa to produce400-600
bottles per minute, which would mainly cater to northern markets of
India. And in future, they will also be used to manufacture fruits mince-
based soft drinks like slice and mangola.
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.
Advertisement and Add Concept:-
Advertisements are cost effective means to communicate
messages and ideas to build brand preferences and awareness
and it is one of the most important tools which a company uses to
direct persuasive communication to directive buyers in public or to
educated people to avoid hard drink and so on.
The basic objective of advertising is sales promotion sales
promotion expenditure have been increasing as a percent of
budget expenditure annually and the growth is likely to continue in
future. Our celebrities signed by the PepsiCo are as follows:
For PepsiCo.
Cricketers:-
• Sachin Tendulkar
• Rahul Dravid
• Mohd. Kaif.
• Yuvraj singh
•
Harbhajan Singh.
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• Sourav Ganguly.
• Zaheer Khan
• Ajit Agarkar
Cine Stars
• Kareena Kapoor
• Shahrukh khan
•
Kajol
• Adnan Sami
• Fardeen Khan
• Amitabh Bachhan
• Govinda
• Rani Mukherjee.
Tennis Stars:-
• Leander Paes
• Mahesh Bhupati
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ORGANIZATION STRUCTURE
VARUN BEVERAGES LTD.
CHAIRMAN
(Mr. RAVI JAIPURIA)
MARKET UNIT MANAGER
UNIT MANAGER
GENERAL MGR. TERRITORY DEV.
MANAGER
(Market. Deptt.)
PRODUCTION MGR. AREA DEV. Co-
ORDINATOR
QUALITY CONTROL
MANAGER
MARKETING EXECUTIVE CUSTOMER
EXECUTIVE
SHIPPING MGR.
SALESMAN
TRANSPORT
.
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Distribution Network in Jaipur
PEPSI FOODS LTD (Parent Co.)
Jaipur
VARUN BEVERAGE LTD (Bottling Plant)
Jaipur
Distributors Distributors C&F
Distributors
Fat Dealer (2) Fat Dealers (4) Fat Dealers (2)
Retailers Retailers Retailers Retailers
CONSUMERS
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PRODUCT & PACK PROFILE
PRODUCT: -
Carbonated Soft Drinks (CSD) or Soft Drinks as they are popularlyknown are one of the largest FMCG market in the whole world with thetotal annual sales around $40 billion. This product is generally availablein four kinds of packing.
• Glass Bottles
• Pet Bottles
• Cans
• Fountain rim
FLAVORS: -
• Cola
• Orange
• Clear Lemon
• Cloudy Lemon
• Berry
• Ginger
• Mango Slice
Out of these products the 70% of the sales of the company come from theCola brand, which is the market leader in the most part of the country of these kinds of packaging in which the product is available make them80% of the sales come from these bottles. The businesses of returnable
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bottles are very cumbersome and make the market verycomplex and demanding.
PepsiCo in India
PepsiCo is a world leader in convenience foods and beverages,with 2007 revenues of more than $39 billion and more than185,000 employees across the world. Its world renowned brandsare available in nearly 200 countries and territories. PepsiCogained entry to India in 1989 by creating a joint venture with thePunjab government-owned Punjab Agro Industrial Corporation(PAIC) and Voltas India Limited. This joint venture marketedand sold Lehar Pepsi until 1991, when the use of foreign brandswas allowed; PepsiCo bought out its partners and ended the
joint venture in 1994. Firstly Pepsi was banned from import inIndia, in 1970, for having refused to release the list of itsingredients and in 1993, the ban was lifted, with Pepsi arrivingon the market shortly afterwards.
PepsiCo has grown to become the country’s largest selling foodand beverage companies. One of the largest multinationalinvestors in the country, PepsiCo has established a businesswhich aims to serve the long term dynamic needs of consumersin India.
PepsiCo India and its partners have invested more than U.S.$700 million since the company was established in the countryin 1989. In India, PepsiCo provides direct employment to 4,000
people and indirect employment to 60,000 people includingsuppliers and distributors.
The group has built an expansive beverage, snack food andexports business and to support the operations are the group’s43 bottling plants in India, of which 15 are company owned and28 are franchisee owned. In addition to this, PepsiCo’s Frito Laysnack division has 3 state of the art plants. PepsiCo’s business is
based on its sustainability vision of making tomorrow better
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than today. Our commitment to living by thisvision every day is visible in our contribution to our country,consumers, farmers and our people.
PepsiCo India’s expansive portfolio
Refreshment beverages
Sports drinks 100%
Natural fruit juices and juice based drinks
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FACILITIES PROVIDED BY THE COMPANY TO
THE RETAILER
1. VISI COOLER
• 65 Liter
• 110 Liter
• 120 Liter
• 165 Liter
• 200 Liter
• 210 Liter
• 220 Liter
• 300 Liter
• 320 Liter
• 330 Liter
• 500 Liter
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According to outlet nature, volume & investment of theoutlet.
2. SCHEMES OF VOLUME PURCHASE
• Cash discount
• Card discount (sampling)
3. DISPLAY MATERIAL
• Stickers
• Banners
• G.S. Boards
• D.P.S. Boards
• Racks
• Counters
PepsiCo SKU’s
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In this project the main task is visi purity & charging
&Distribution of PepsiCo:
Visi purity and charging means in the visi cooler no other brand of soft drink or items are allowed to display with PepsiCo
products like water, chocolates, juice, milk etc. if visi cooler displayingother items of another brand of soft drink then it mean visi cooler is not
pure .so it mandatory for the retailer to put only PepsiCo product in thevisi cooler and visi should be charge at least 80% because it’s enougheffective for the display of every brand of PepsiCo.
If visi is not pure and charge so it gives very bad
impression on the consumer’s perception about PepsiCo product line.
ADVANTAGES OF VISI PURITY &CHARGING
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1. Easily Brand execution &display.
2. Every product of PepsiCo is easily display.
3. Customers have easy access to choose his favorite soft drink fromthe variety of product.
4. It is also very helpful for retailer to set the product according to thesequence of Plano gram.
5. Customer can see a whole range of product of PepsiCo.
OBJECTIVE & SCOPE
OBJECTIVE OF STUDY:
This study offers an opportunity to the studentof management to develop the required skill and in sight for makingthe best use of experiment and judgment to practical life .To gain aninsight into why individual act in certain consumption related way &learning what & external influence compel them to act as they do.
So the main objective is to study of visi purity, charging &Distribution of PepsiCo by Every Dealer Survey (EDS) in JAIPUR.
To provide relevant research data which enablePepsiCo management for their policy framing &strategy formulation
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To increase the sell of PepsiCo product with the help of visi purity & charging.
To improve the purity & charging of visi-cooler.
To find out the problems retailer are facing.
To know about the stock position of Pepsi brand& its competitors at different outlets.
To know the distribution channel of Pepsi.
IMPORTANCE & RELEVANCE OF THE STUDY:
This 6 weeks training in an organization is for PGDM
course is not the answer of all problem, which arise in practical field
.There is no certain formula for any particular problem but the aim of this study is to develop the ability of decision-making .Right decision atright time itself helps an organization to run smoothly.
The training in any organization gives us an idea of different marketing activities and main emphasis is given on“promotional activities” aspect and also it is seen how business is takentactfully when any problem comes to an executive, the way of problemsolving, right decision making and knowledge of different types of
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marketing activities gives much importance to thisstudy .Through only in 45 days it was not possible tounderstand it so deeply but overall ideas would be developed.
VISI-COOLER PLAN-0-GRAM
INTRODUCTION TO PLANOGRAM:
PepsiCo Visi plan-o-gram has its own importance. It
focuses on the all brand of Pepsi .It is also known as brand execution .Itis also very useful to identify and choose the brand for the customer .Inthis plan-o-gram the brands are kept in an order in visi coolingequipments.
There are different types of visi cooling equipment and for each type of visi different type of plan-o-gram is used.
The sequence of brands according to plan-o-gram:
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P Pepsi
7 7up
O Orange(mirinda)D Dew
S Slice
LIMITATIONS OF PLANOGRAM
Most of the Retailers are unaware about the benefits of
plan-o-gram (POG) so they are not taking much interest in this activity.All of the retailers having very keen interest in Visi-charging but manyof them don’t care about Visi-purity because they are putting other localBrands of eatables for more profit.
SUGGESTIONS
It must be responsibility of Pre sales representative
(PSR) & other officials of PepsiCo to motivate the shopkeeper about the benefits of Visi-purity & charging .Plano gram (POG) is also included inthat conversation.
KEY ELEMENTS OF THE TRADE
1. JO DIKHTA HAI WHO BIKTA HAI: - This is a company slogan,
it is to increase the visibility of the product, the company stresses
more on increasing the number of outlets than on the volumes of
sales. That is the reason of the company providing visibility courses to
the shopkeepers.
2. A BOTTLE THAT IS CHILLED IS SOLD: - In the industry it is
considered that a bottle is chilled or putting in cooling compartment is
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sold. That is the reason the policy providing triage’s
come up because according to the contract the shopkeeper has to keep
only & only Pepsi’s products in the visicooler.
3. A BOTTLE LOSS TO COKE IS A GAIN TO PEPSI: - The
competition is so strong between the two companies i.e. fighting is on
for each bottle that is to be sold in the market. Competitive bidding
goes on for each & every prestigious outlet in their region.
Monopolizing entries & fat foods joint s is their first priority.
4. EMPTY kA HI KHEL HAI: - As discussed earlier the distribution
points keeps on putting up distribution schemes for retailers i.e. like
two bottles of solution free with the purchase of every one carat of
solution. Now these schemes have timed well keeping minding the
environmental conditions & schemes provided by the other company.
These schemes are of twenty-four hours duration. If a scheme is
launched & there is no empty in the market for refill, the whole effort
goes in vain that is the reason is said ki sub empty ka khel hai.
RESARCH METHODOLOGY
Exploratory:
To find the per day stock and per day sale at different outletsexploratory research method are adopted. A survey form was
prepared and the retailers were asked to answer them during thecourse of their interview.
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Schedule Method:
Dealer’s responses were conducted with the help of a prepared
schedule. Samples are taken at different area of JAIPUR.
Field Observation:
During training period we did extensive survey of the distribution
outlets and consumer to observe the marketing operation
performed by the organization.
THE SURVEY:A soft drink is a non-alcoholic beverage. It is artificially flavored
and contains no fruit or pulp. India with population of more than
100 crores is potentially one of the largest consumer markets in the
world after China. The consumer market can be defined as the
market for products and services that are purchased by individuals
as households goods for their personal consumption. Soft drink is a
typical consumer product purchased by individuals to quench thirst
and secondly for refreshment.
In today’s fast moving industry and highly competitive market,
only those products are likely to be purchased which are capable of
hitting the impulse of the consumers. The products appeal should
be penetrated and get embedded into the perceptual space of the
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consumer’s mind. The concerned product should
induce to the consumers.
Pepsi believes that” Jo Dikhta Hai Woh Bikta Hai” i.e.
any product which is visible is bound to be sold. That is method to
increase the visibility of the products: -Visicooler placement, Glow
signboard, Paintings Crate Stacking, Umbrella, Banners, Danglers,
Sun Packs, Display Scheme, Special Schemes, and rack. Pepsi
space club is organized every year for promotion of Pepsi soft
drinks. Pepsi space club programmed is based on a simple and
successful formula:
“Jo Dikhata Hai, Who Bikhata Hai”.
A great display will result in great sales and that is a100%
guaranteed way to add to profits.
The programmed design is simple:
1. Fulfill programmed criteria.
2. Achieve volume target and display.
3. Win fantastic prizes.
. DISTRIBUTION STRATEGIES
A Company can choose any of the following distribution types: -
• Exclusive Distribution
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• Selective Distribution
• Intensive Distribution
“PEPSI” HAS ADOPTED THE INTENSIVE DISTRIBUTIONSTRATEGY.
INTENSIVE DISTRIBUTION:
A Strategy of intensive distribution is characterized by placing the goods
or services in as many outlets as possible. When the consumer requires a
great deal of location convenience, it is important to offer greater
intensity of Distribution. This strategy is generally used for convenience
items such as Tobacco, gasoline, and soap, snack foods & bubblegum.
Manufactures are constantly tempted to move from exclusive or selective
distribution to more intensive distribution to increase their coverage and
sales and you could find Pepsi in nursing homes, confectionery shops,
departmental stores; you name it & Pepsi is available there.
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IMPORTANCE OF MARKETING
RESEARCH
Marketing research have its importance not only for consumer market .it
also effectively to the producer of goods and services .The use of
marketing research in consumer market may be explained on the basis of
following services by it:-
It ascertains the position of a company in specified
industry. It indicates the present future trend of industry and
points out how the company’s affairs are to be
turned up.
It helps in development & introduction of new
product.
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DATA ANALYSIS & INTERPRETATION
1)What method do you usually use to place your orders?
Ready sale Pre sale booking Phone
booking
As this graph shows that 100% retailers is using pre saleorder booking.
2) How frequently you order
Daily After one day once inweek
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Above graph shows56% were from daily category29% were from alternate day visit category
15% were from once in week.This is done to find out behavior of different retailersabout pre sale.
3)Type of shop
Eatery Grocery Convenience
39% of total shops are grocery (small and big generalstore)28% convenience store (Pan Shops, cold drink vendor andother vendor)33% Eateries (conventional dhabas, restaurants and fastfood joints).
4)Availability of variety of product and (SKU) of Pepsi
MuchWorse
Worse Same Better Much Better
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22% said Availability of variety of product and sku ismuch better 53 % said it better than previous system25 % said of variety of product and sku is still same
5)Accuracy of order fill
100% 100- 80% 50-80% below 50%
40% people said accuracy of order delivery is 100%38 % said it is between 100-80%15 % people said that it is between 50-80%7 % said accuracy is below 50%
6)Delivery van’s Ability to fill orders completely.
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15 % retailer said Delivery van’s Ability to fill orderscompletely is much better 54 % said it better than before31 % said it is same as before
7) Deliverymen’s professionalism (service and behavior).
8% people said that Deliverymen’s professionalism ismuch better
MuchWorse
Worse Same Better Much Better
MuchWorse
Worse Same BetterMuch Better
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37% said it better 42 % said it is same as before13% said it is worse as compare to earlier
Please rate the performance of Company PSR (booking
agent)
8)How frequently he comes to take orders.
Daily After 1-2 days once in a week
Out of 56 daily visit shops43 said PSR visits daily8 said he visits at alternate days5 said visit once in week
10) At which time he usually comes to take order
a. Between 10-12am 12-2pm after 2pm
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35 % retailer said PSR comes to take order between10-12AM53 % he comes between 12-2PM12 % PSR comes after 2 PM
11) Are you satisfied with PSR’s order taking timing? Atwhat time you want him to come and take order.
Yes No Time ___________ ___
36% retailers said that they are satisfied with order takingtiming
64% retailers said that timing should be changed
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Most of them recommended after 2 or 3 pm
12) His ability to solve your problems and Response to
complaints
Poor Below avg Average Good Excellent
6% retailer said PSR’s ability best
47% said he is good42 % said he has average ability5 % said he is below average
13) PSR’s way of telling about schemes and other
information
Poor Belowavg
Average Good Best
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48 % said his way is average30 % said his way is good17% said his way is best5% said his way is below average.
14) Do PSR give you complete information of new products,
daily schemes and other promotional offers?
Daily Sometimes occasionallyother _________
93% said PSR said he tells about schemes daily5 % said sometimes2 % said occasionally
15) Is the size of visi sufficient according to your sale?
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YES NO
16) IS your visi set according to POG?
YES NO
So There are near about 100 outlets are exist in both area
including Sanganer & Sitapura .I had visited mostly all the outlets whichare performing well or not well up to the mark of PepsiCo’s guidelines .
ANALYSE OF VISI
Outlet status before my visit
Date Area OutletCovered
No. of Visi pure
No. of avg.Visi charging
22/04/10 Sanganer 10 5 623/04/10 Sanganer 12 6 10
24/04/10 Sanganer 10 5 6
26/04/10 Sanganer 10 6 7
27/04/10 Sitapura 8 4 5
28/04/10 Sitapura 10 4 5
29/04/10 Sanganer 12 6 8
30/04/10 Sanganer 10 5 6
01/05/10 Sitapura 10 6 6
02/05/10 Sanganer 8 4 6
Outlet status after my visit
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Date Area Outlet
Covered
No. of Visi
Pure No. of Visi
Charging
20/04/10 Sanganer 10 8 7
23/04/10 Sanganer 12 7 824/04/10 Sanganer 10 7 6
26/04/10 Sanganer 10 8 6
27/04/10 Sitapura 8 6 8
28/04/10 Sitapura 10 9 10
29/04/10 Sanganer 12 11 10
30/04/10 Sanganer 10 7 8
01/05/10 Sitapura 10 7 7
02/05/10 Sanganer 8 6 8
FINDINGS OF THE STUDY
1. I have also find out the main reason of visi impurity is water
pouch, which is more profitable to retailer in comparison toPepsiCo’s product.
2. By asking some question from consumer at the time of visi-
purity about newly launched Nimbooz .Most of therespondents including retailers had said that if this flavor would contain a little quality of gas then it would be moreattracting brand.
3. It is found that some outlets perform well in criteria 1 that is display
the pet bottles in rack, they display properly in one area then some fails to
do perform in another. The reason behind this is that they do not receive any
kinds of rack or freeze from company for display the Pepsi products. Some
retailers were saying that they have not so much space in their outlets to
show the product and some other have space racks but they put other
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materials on it as they not aware about this scheme.
Therefore the company needs to focus to rest 40 % who does not perform
well in space club programmed.
4. In various outlets the retailers were good response towards
distribution of Pepsi. But some of them complain about the distribution.
Some say distribution of Pepsi is not properly distributed in time.
5. And the free offers or gift were not distributed properly to the
retailer in which they face problem when customer demandedfree gifts.
6. When they need pet bottles (7-up, Miranda) the distributor has not provided at that time.
7. Most of the consumer doesn’t like the taste of PEPSI due to its
Sweetness and low fizz.
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LIMITATIONS
• The retailer knows us as people from Pepsi there by the responsescould have been biased.
• Getting Appointment from the concern person was very difficult.
• The time allowed for the project was very short (8 weeks). It wasimpossible to study deeply in that short period.
• People’s mindset about the survey was also an obstacle in acquiring
complete information and positive interaction
• The study has not been intended on a very large scale, have the possibility of errors, which cannot be ruled out.
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• Time limitations.
• Area was specified.
• It is extremely difficult to persuade retailer to respond toquestionnaire.
SUGGESTION OF THE STUDY
1. PepsiCo should start the manufacturing of its own packaged
water pouch under the brand of Aquafina so that there will be no problem of visi-impurity .From this step PepsiCo’s product lineas well as its revenue would be increased.
2. Company should motivate their competent and honest salesman
so that they could provide schemes to the retailers & make themhappy.
3. Supply van from warehouse should be departure on time so that
there would be no delay in delivery of product .From this stepretailer will be happier.
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4. It is often seen that some salesman’s don’t
intimate schemes to the retailer & few of the retailer complaintabout it .So there should be frequent visits of Customer executiveto their respective areas to keep the shop-keepers benefited with
various schemes.
5. PepsiCo should try to give some credit facility to the distributors
& retailers so that they can bring brands more than their creditworthiness & try to sell maximum no. of SKU from their outlet.
6. Proper feedback system should be developed by its officials
&ensure a randomly visit of outlet by them .It will help to build a
strong & healthy relationship between company & retailer.
RECOMMENDATIONS
First of all company will provide all its dealers and retailers to all sort of
promotion equipment such as glow sign board, banner, rack, freeze, etc. in
time so that they increase their sales which is benefited both retailer as well
as company.
• The distribution channels need to be improving so that retailer/dealer
will get soft drinks at time when they need.
• Salesman should have good interaction with the dealers, which result
Company in increase in sales. Company executives should visit the counter
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on weekly basis. Executives should take the feedback
from the dealers about the service of the sales man and the distributors.
• Regular visit of technician is required to solve the problems of Freeze in
the market at the right time.
• More improvement is required in the distribution network in the outskirt
and in the remote areas, because in the peak seasons like summer the small
dealers are taking goods twice or thrice and in between if the distributors
could not supply them, the competitors will get the opportunities to supply
the goods.
• Pepsi is a sweet and low fizz soft drink that everybody knows and so lots
of people do not like so to catch the customers Pepsi should come out with
more fizz.
• Few outlets are unaware about scheme so proper communication is
necessary between distributor and dealers/retailers.
• There should be more focus on 100% avaibility so that Pepsi
don’t lose sales & market share.
• All mixed outlets which stock multiple products should be
transferred to exclusive Pepsi outlets.
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• More & more research should be made to find new
segment & more profitable market for the product.
• Dealers are the good intermediaries so the company should give more
packages to the dealer, by which they can looks towards the high sales of
this particular brand.
CONCLUSION
Pepsi & its Product Co. are the Profitable MNC’s in not only India but also
in the whole world. Its main competitor is Coca-Cola. Pepsi has built a
reputation around the world as a major player in the soft drink market as
well as the leader in the snack food industry. Currently they are facing stiff
competition from Coca-Cola, but with their various marketing ventures as
well as the selling of their restaurant franchises, Pepsi is poised to give Coke
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a definite battle in the future as to which cola consumers
want.
Promotional activities play a greater and important role in the entire
marketing effort being carried out by Via Pepsi & its Product Co. are the
Profitable MNC’s in not only India but also in the whole world. Its main
competitor is Coca-Cola. Pepsi has built a reputation around the world as a
major player in the soft drink market as well as the leader in the snack food
industry. Currently they are facing stiff competition from Coca-Cola, but
with their various marketing ventures as well as the selling of their
restaurant franchises, Pepsi is poised to give Coke a definite battle in the
future as to which cola consumers want.
Promotional activities play a greater and important role in the entire
marketing effort being carried out by Varun Beverage (pvt.) Ltd., “to
generate more sales as well as to create and maintain an image of its
product”.
Pepsi believes that “ Jho Dikhta Hai Woh Bikta Hai” i.e. any product
which is visible is bound to be sold this method of sales promotion being
used by the Pepsi, through its distributors is to conduct dealer’s sales contest
during the peak seasons i.e. during April to July. In it the dealers are given
prize in the form of cases of soft drinks and gifts. In the contest at first his or
her respective distributors according to their categorize each dealer. And
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then each distributor fixes a target of minimum sale for
each category to which every dealer according to his or her category has to
achieve during the contest period.
The dealers achieving highest sales over and above the target set is giving
the awards as under, the order of prizes announced are first prize, 2nd prize,
3rd prize in terms of number of free cases of soft drinks and gifts.
SWOT ANALYSIS
STRENGTH:
• Pepsi is a well-established co., so it has a good reputation in themarket.
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• Advertising of Pepsi is much more aggressive thanCoke.
• Backed by huge promotion at national & international level.
• Lot of SGA’s provided in the market.
.WEAKNESS:
• Non-fulfillment of commitments on time, made to shopkeepers.
• Incompetent salesman who do not give the schemes in the marketregularly.
• Unavailability of various demanded flavors like Mountain Dew &Mirinda Lemon.
• Not proper control over distribution network.
OPPURTUNITY:
• May tie up or liaison with major showrooms, computer centers &restaurant.
• Huge publicity of Lemon Miranda /Slice has created a lot of demand.
• Company has brand equity in the eyes of customers, so its new products can easily penetrates in the market.
• Untapped Market
THREAT:
• Threat of competitors new brand entry in the market in near future.
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• Restrictions made by Govt. agencies that soft drinksare harmful & non-nutritive.
• Natural juice are now available whose price are less or same as soft
drinks.
BIBLIOGRAPHY
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WEBSITES:
• www.pepsi.com
• www.pepsico.com
• www.jaipuriagroup.com
• www.rkjworld.com
BOOKS:
• Marketing Management- Radha Swami/ Nam kumari
• Research Methodology-C.R.Kothari
• Principles of Marketing-P. Kotler & Armstrong
NEWS PAPERS:
• The Times Of India
• The Economics Times
• Hindustan Times
• Business Today (July edition)
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