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Project report on rural marketing of CocaCola

products in Kurnool district

CONTENTS
​​

CHAPTER 1
➢ INTRODUCTION

CHAPTER 2
➢ ​INDUSTRY PROFILE
➢ COMPANY PROFILE
➢ PRODUCT PROFILE

CHAPTER 3
➢ OBJECTIVES
➢ RESEARCH METHODOLOGY
➢ LIMITATIONS

CHAPTER 4
➢ DATA ANALYSIS AND INTERPRETATION

CHAPTER 5
➢ SUGGESTIONS
➢ CONCLUSIONS

CHAPTER 6
➢ QUESTIONNAIRE
➢ BIBILOGRAPHY

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Project report on rural marketing of CocaCola
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​ ​CHAPTER-1
​ INTRODUCTION

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Project report on rural marketing of CocaCola
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INTRODUCTION:

Let ​reason​ go before every enterprise and ​counsel​ before every


action.Research is a human activity based on intellectual investigation
and is aimed at discovering, interpreting, and revising human
knowledge on different aspects of the world.

MARKETING RESEARCH:

Marketing research is the function that links the consumer, customer


and public to the marketer through information used to identify and
define marketing opportunities and problems; generate, refine, and
evaluate marketing actions; monitor marketing performance; and
improve understanding of marketing as a process. Marketing research
specifies the information required to address these issues, designs the
methods for collecting information, manages and implements the data
collection process, analyzes and communicates the findings and their
implications.

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INTRODUCTION TO COCA-COLA:

Coca-Cola, the product that has given the world its best-known taste
was born in Atlanta, Georgia, on May 8, 1886. Coca-Cola Company
is the world’s leading manufacturer, marketer and distributor of
non-alcoholic beverage concentrates and syrups, used to produce
nearly 400 beverage brands. It sells beverage concentrates and syrups
to bottling and canning operators, distributors, fountain retailers and
fountain wholesalers. The Company’s beverage products comprises of
bottled and canned soft drinks as well as concentrates, syrups and
not-ready-to-drink powder products. In addition to this, it also
produces and markets sports drinks, tea and coffee. The Coca- Cola
Company began building its global network in the 1920s. Now
operating in more than 200 countries and producing nearly 400
brands, the Coca-Cola system has successfully applied a simple
formula on a global scale: “Provide a moment of refreshment for a
small amount of money- a billion times a day.”

The Coca-Cola Company and its network of bottlers comprise the


most sophisticated and pervasive production and distribution system
in the world. More than anything, that system is dedicated to people
working long and hard to sell the products manufactured by the
Company. This unique worldwide system has made The Coca-Cola

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Company the world’s premier soft-drink enterprise. From high


economic vountries to low economic countries, Coca-Cola, more than
any other consumer product, has brought pleasure to thirsty
consumers around the globe. For more than 115 years, Coca-Cola has
created a special moment of pleasure for hundreds of millions of
people every day.
The Company aims at increasing shareowner value over time. It
accomplishes this by working with its business partners to deliver
satisfaction and value to consumers through a worldwide system of
superior brands and services, thus increasing brand equity on a global
basis. They aim at managing their business well with people who are
strongly committed to the Company values and culture and providing
an appropriately controlled environment, to meet business goals and
objectives. The associates of this Company jointly take responsibility
to ensure compliance with the framework of policies and protect the
Company’s assets and resources whilst limiting business risks.

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​CHAPTER-2
★ INDUSTRY PROFILE
★ COMPANY PROFILE
★ PRODUCT PROFILE

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INDUSTRY PROFILE:

​A BRIEF INSIGHT - THE FMCG INDUSTRY IN INDIA:


Fast Moving Consumer Goods (FMCG), also known as
Consumer Packaged Goods (CPG) are products that have a quick
turnover and relatively low cost. Consumers generally put less
thought into the purchase of FMCG than they do for other products.
The Indian FMCG industry witnessed significant changes
through the 1990s. Many players had been facing severe problems on
account of increased competition from small and regional players and
from slow growth across its various product categories. As a result,
most of the companies were forced to revamp their product,
marketing, distribution and customer service strategies to strengthen
their position in the market.

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By the turn of the 20th century, the face of the Indian FMCG industry
had changed significantly. With the liberalization and growth of the
Indian economy, the Indian customer witnessed an increasing
exposure to new domestic and foreign products through different
media, such as television and the Internet. Apart from this, social
changes such as increase in the number of nuclear families and the
growing number of working couples resulting in increased spending
power also contributed to the increase in the Indian consumers'
personal consumption. The realization of the customer's growing
awareness and the need to meet changing requirements and
preferences on account of changing lifestyles required the FMCG
producing companies to formulate customer-centric strategies. These
changes had a positive impact, leading to the rapid growth in the
FMCG industry. Increased availability of retail space, rapid
urbanization, and qualified manpower also boosted the growth of the
organized retailing sector.

HLL led the way in revolutionizing the product, market,


distribution and service formats of the FMCG industry by focusing on
rural markets, direct distribution, creating new product, distribution
and service formats. The FMCG sector also received a boost by
government led initiatives in the 2003 budget such as the setting up of

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Project report on rural marketing of CocaCola
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excise free zones in various parts of the country that witnessed firms
moving away from outsourcing to manufacturing by investing in the
zones.
Though the absolute profit made on FMCG products is relatively
small, they generally sell in large numbers and so the cumulative
profit on such products can be large. Unlike some industries, such as
automobiles, computers, and airlines, FMCG does not suffer from
mass layoffs every time the economy starts to dip. A person may put
off buying a car but he will not put off having his dinner.

Unlike other economy sectors, FMCG share float in a steady


manner irrespective of global market dip, because they generally
satisfy rather fundamental, as opposed to luxurious needs. The FMCG
sector, which is growing at the rate of 9% is the fourth largest sector
in the Indian Economy and is worth Rs.93000 cr. The main
contributor, making up 32% of the sector, is the South Indian region.
It is predicted that in the year 2010, the FMCG sector will be worth
Rs.143000 cr. The sector being one of the biggest sectors of the
Indian Economy provides up to 4 million jobs. ​(Source: HCCBPL,
Monthly Circular)

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Project report on rural marketing of CocaCola
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A BRIEF INSIGHT - BEVERAGE INDUSTRY IN INDIA:


In India, beverages form an important part of the lives of people. It is
an industry, in which the players constantly innovate, in order to come
up with better products to gain more consumers and satisfy the
existing consumers.

Fig 2.0 BEVERAGES IN INDIA

The beverage industry is vast and there various ways of segmenting it,
so as to cater the right product to the right person. The different ways
of segmenting it are as follows:

❖ Alcoholic, non-alcoholic and sports beverages.


❖ Natural and Synthetic beverages.

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Project report on rural marketing of CocaCola
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❖ In-home consumption and out of home on premises


consumption.
❖ Age wise segmentation i.e. beverages for kids, for adults and
for senior citizens.
❖ Segmentation based on the amount of consumption i.e. high
levels of consumption and low levels of consumption.

If the behavioural patterns of consumers in India are closely noticed,


it could be observed that consumers perceive beverages in two
different ways i.e. beverages are a luxury and that beverages have to
be consumed occasionally. These two perceptions are the biggest
challenges faced by the beverage industry. In order to leverage the
beverage industry, it is important to address this issue so as to
encourage regular consumption as well as and to make the industry
more affordable.

Four strong strategic elements to increase consumption of the


products of the beverage industry in India are:
❖ The quality and the consistency of beverages needs to be
enhanced so that consumers are satisfied and they enjoy
consuming beverages.

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❖ The credibility and trust needs to be built so that there is a very


strong and safe feeling that the consumers have while
consuming the beverages.
❖ Consumer education is a must to bring out benefits of beverage
consumption whether in terms of health, taste, relaxation,
stimulation, refreshment, well-being or prestige relevant to the
category.
❖ Communication should be relevant and trendy so that
consumers are able to find an appeal to go out, purchase and
consume

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COMPANY PROFILE:

MISSION:

Our Roadmap starts with our mission, which is enduring. It declares


our purpose as a company and serves as the standard against which
we weigh our actions and decisions.

❖ To refresh the world...


❖ To inspire moments of optimism and happiness...
❖ To create value and make a difference.

VISION:
Our vision serves as the framework for our Roadmap and guides
every aspect of our business by describing what we need to
accomplish in order to continue achieving sustainable, quality growth.
❖ People:​ Be a great place to work where people are inspired to be
the best they can be.
❖ Portfolio:​ Bring to the world a portfolio of quality beverage

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brands that anticipate and satisfy people's desires and needs.


❖ Partners:​ Nurture a winning network of customers and
suppliers, together we create mutual, enduring value.
❖ Planet: ​Be a responsible citizen that makes a difference by
helping build and support sustainable communities.
❖ Profit: ​Maximize long-term return to shareowners while being
mindful of our overall responsibilities.
❖ Productivity: ​Be a highly effective, lean and fast-moving
organization.
WINNING CULTURE:
Our Winning Culture defines the attitudes and behaviours that will be
required of us to make our 2020 Vision a reality.

LIVE OUR VALUES :


Our values serve as a compass for our actions and describe how we
behave in the world.
❖ ​Leadership:​ The courage to shape a better future.
❖ Collaboration: ​Leverage collective genius.
❖ Integrity:​ Be real.
❖ Accountability:​ If it is to be, it's up to me.
❖ Passion:​ Committed in heart and mind.
❖ Diversity: ​As inclusive as our brands.

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❖ Quality:​ What we do, we do well.


FOCUS ON THE MARKET:
❖ Focus on needs of our consumers, customers and franchise
partners.
❖ Get out into the market and listen, observe and learn.
❖ Possess a world view.
❖ Focus on execution in the marketplace every day.
❖ Be insatiably curious.
WORK SMART:
❖ Act with urgency.
❖ Remain responsive to change.
❖ Have the courage to change course when needed.
❖ Remain constructively discontent.
❖ Work efficiently.
ACT LIKE OWNERS:
❖ Be accountable for our actions and inactions.
❖ Steward system assets and focus on building value.
❖ Reward our people for taking risks and finding better ways to
solve problems.
❖ Learn from our outcomes -- what worked and what didn’t.
❖ BE THE BRAND:
Inspire creativity, passion, optimism and fun.

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HISTORY OF COCA-COLA:

The ​prototype​ Coca-Cola recipe was formulated at the Eagle Drug


and Chemical Company, a drugstore in ​Columbus​, ​Georgia​ by ​John
Pemberton​, originally as a ​coca wine​ called ​Pemberton's French Wine
Coca​. He may have been inspired by the formidable success of ​Vin
Mariani​, a European cocawine.

In 1886, when ​Atlanta​ and ​Fulton County​ passed ​prohibition


legislation, Pemberton responded by developing Coca-Cola,
essentially a non-alcoholic version of French Wine Coca. The first
sales were at Jacob's Pharmacy in ​Atlanta​, ​Georgia​, on May 8, 1886.
It was initially sold as a patent medicine for five ​cents​ a glass at ​soda
fountains​, which were popular in the United States at the time due to
the belief that ​carbonated water​ was good for the health.​[9]​ Pemberton
claimed Coca-Cola cured many diseases, including ​morphine
addiction, ​dyspepsia​, ​neurasthenia​, ​headache​, and ​impotence​.
Pemberton ran the first advertisement for the beverage on May 29 of
the same year in the ​Atlanta Journal​.

By 1888, three versions of Coca-Cola — sold by three separate


businesses — were on the market. ​Asa Griggs Candler​ acquired a
stake in Pemberton's company in 1887 and incorporated it as the ​Coca
Cola Company​ in 1888. The same year, while suffering from an

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ongoing addiction to ​morphine​, Pemberton sold the rights a second


time to four more businessmen: ​J.C. Mayfield​, A.O. Murphey, C.O.
Mullahy and E.H. Bloodworth. Meanwhile, Pemberton's alcoholic son
Charley Pemberton​ began selling his own version of the product.

John Pemberton declared that the name "Coca-Cola" belonged to


Charley, but the other two manufacturers could continue to use the
formula. So, in the summer of 1888, Candler sold his beverage under
the names Yum Yum and Koke. After both failed to catch on, Candler
set out to establish a legal claim to Coca-Cola in late 1888, in order to
force his two competitors out of the business. Candler purchased
exclusive rights​ to the formula from John Pemberton, Margaret
Dozier and Woolfolk Walker. However, in 1914, Dozier came
forward to claim her signature on the bill of sale had been forged, and
subsequent analysis has indicated John Pemberton's signature was
most likely a forgery as well.

In 1892 Candler incorporated a second company, ​The Coca-Cola


Company​ (the current corporation), and in 1910 Candler had the
earliest records of the company burned, further obscuring its legal
origins. By the time of its 50th anniversary, the drink had reached the
status of a national icon in the USA. In 1935, it was certified ​kosher

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by Rabbi ​Tobias Geffen​, after the company made minor changes in


the sourcing of some ingredients.

Coca-Cola was sold in ​bottles​ for the first time on March 12, 1894.
The first outdoor wall advertisement was painted in the same year as
well in ​Cartersville, Georgia​. ​Cans​ of Coke first appeared in 1955.
The first bottling of Coca-Cola occurred in ​Vicksburg​, ​Mississippi​, at
the Biedenharn Candy Company in 1891. Its proprietor was Joseph A.
Biedenharn. The original bottles were Biedenharn bottles, very
different from the much later hobble-skirt design that is now so
familiar. Asa Candler was tentative about bottling the drink, but two
entrepreneurs from ​Chattanooga, Tennessee​, Benjamin F. Thomas and
Joseph B. Whitehead, proposed the idea and were so persuasive that
Candler signed a contract giving them control of the procedure for
only one dollar. Candler never collected his dollar, but in 1899
Chattanooga became the site of the first Coca-Cola bottling company.
The loosely termed contract proved to be problematic for the
company for decades to come. Legal matters were not helped by the
decision of the bottlers to subcontract to other companies, effectively
becoming parent bottlers. Coke concentrate, or Coke syrup, was and
is sold separately at pharmacies in small quantities, as an
over-the-counter remedy for nausea or mildly upset stomach.

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On April 23, 1985, Coca-Cola, amid much publicity, attempted to


change the ​formula​ of the drink with "New Coke". Follow-up taste
tests revealed that most consumers preferred the taste of New Coke to
both Coke and Pepsi, but Coca-Cola management was unprepared for
the public's ​nostalgia​ for the old drink, leading to a ​backlash​. The
company gave in to protests and returned to a variation of the ​old
formula​, under the name Coca-Cola Classic on July 10, 1985.

On February 7, 2005, the Coca-Cola Company announced that in the


second quarter of 2005 they planned to launch a ​Diet Coke​ product
sweetened with the ​artificial sweetener​ ​sucralose​, the same sweetener
currently used in ​Pepsi One​. On March 21, 2005, it announced
another diet product, ​Coca-Cola Zero​, sweetened partly with a blend
of ​aspartame​ and ​acesulfame potassium​. In 2007, Coca-Cola began to
sell a new "healthy soda": Diet Coke with vitamins B​6​, B​12​,
magnesium, niacin, and zinc, marketed as "Diet Coke Plus”. On July
5, 2005, it was revealed that Coca-Cola would resume operations in
Iraq​ for the first time since the ​Arab League​ boycotted the company in
1968.

In April 2007, in Canada, the name "Coca-Cola Classic" was changed


back to "Coca-Cola." The word "Classic" was truncated because

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"New Coke" was no longer in production, eliminating the need to


differentiate between the two. The formula remained unchanged.

In January 2009, Coca-Cola stopped printing the word "Classic" on


the labels of 16-ounce bottles sold in parts of the ​southeastern United
States​. The change is part of a larger strategy to rejuvenate the
product's image. In November 2009, due to a dispute over wholesale
prices of Coca-Cola products, ​Costco​ stopped restocking its shelves
with Coke and Diet Coke.

​TRENDS AND FORCES:

★ New Aversion​ to Soda Threatens Main Business:

74% of the Coca Cola Company's products are classified as


carbonated soft drinks, making it particularly sensitive to changes in
demand for CSD. Consumer demand for CSD has been negatively
affected by concerns about ​health and wellness​. This is true across
most of KO's markets. There has been an increase in the number of
regulations regarding CSD in the United States in response to the
heightened desire for ​healthy food consumption​.

In 2006, many state public school systems banned the sale of soft
drinks on their campuses. The Centre for Science and Public Interest
proposed that a warning label be placed on all beverages containing

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more than 13g of sugar per 12-oz serving. This proposal would affect
all non-diet, full calorie drinks produced by KO. These factors have
driven a shift in consumption away from CSD to healthier
alternatives, such as tea, juices, and water.

Within the CSD segment consumers have been moving away from
sugared drinks, opting instead for diet beverages, which do not
generally contain any sugar or calories.

Though KO has been somewhat slow to respond to this shift in


consumer preferences, it has recently begun to increase its
development of both diet CSD and non-CSD beverages. KO is faced
with the task of balancing the risk of new innovations with the low
growth rates of established brands, a predicament for manufactures
throughout the beverage industry.

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​Coca-Cola India was the leading soft drink brand in India till 1977
when it was forced to close down its operation by a socialist
government in the drive for self sufficiency. After 16 years of
absence, coca cola returned to India and witnessed a different culture
and economic platform. During their absence, Parle brothers
introduced a new type of cola called THUMS UP. Along with, they
also formulated a lemon flavoured drink, LIMCA, and mango
flavoured, MAAZA. In 1993, coca cola bought the whole Parle
Brother operation, in a hope to beat the main competitor (Pepsi). They
presumed that with the tried and tested products of Parle they will be
able to regain their throne in the Indian soft drink market. Pepsi
having a 6 year head start helped revive the demand for global cola
but it was not easy for the soft drink giant (coca cola) to return to
India. Pepsi put more focus on the youth of the country in their
advertisements but coca cola tried influencing Indians with the
‘American’ way of life, which turned out to be a mistake.

Coca-Cola invested heavily in India for the first five years,


which got them credit of being one of the biggest investor in the
country; however, their sales figures were not so impressive. Hence,
they had to re-think their market strategies. Coca-Cola learned from
Hindustan Lever that reducing their will result in more turnover,

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hence leading to profit. They launched an extensive market research


in India. They ascertained that in India 3 As must be applied;
Affordability, Availability and Acceptability. Coca-Cola learnt that
they were competing with local drinks such as “Nimbu Pani”, “Narial
Pani”, “Lassi” etc. and reached to a conclusion that competitive
pricing was unavoidable. Since then they introduced a 200 ml glass
bottle for Rs.5.

Further, they had different advertising campaigns for different regions


of the country. In the southern part, their strategy was to make
Bollywood or Tamil stars to endorse their products. In various regions
they tried portraying coca cola products with different regional food
products. One of the most famous ad campaigns in India was ‘Thanda
Matlab Coca-Cola’; they featured the same quote with different
regional entities.

Presently, Coca-Cola is the biggest brand in soft drinks and is way


ahead in market share i.e. 60% in Carbonated Soft drinks Segment,
36% in Fruit drinks Segment, 33% in Packaged water Segment,
compared to its arch rival, Pepsi. Diversifying their product range and
having a competitive pricing policy, they have regained their throne.
With virtually all the goods and services required to produce and
market Coca-Cola being made in India, the business system of the

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Company directly employs approximately 6,000 people, and


indirectly creates employment for more than 125,000 people in related
industries through its vast procurement, supply, and distribution
System.

The Indian operations comprises of 50 bottling operations, 25 owned


by the Company, with another 25 being owned by franchisees. That
apart, a network of 21 contract packers manufactures a range of
products for the Company.

On the distribution front, 10-tonne trucks – open bay three-wheelers


that can navigate the narrow alleyways of Indian cities – constantly
keep our brands available in every nook and corner of the Country’s
remotest areas.

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PRODUCTS PROFILE OF COCACOLA IN INDIA:

​COCA-COLA:-

In India Coca-Cola was leading soft drink till 1977 when Government
policies necessitated its departure. Coca-Cola made its return to the
country in 1993 and made significant investments to ensure that the
beverage is available to more and more people, even in remote and
inaccessible parts of the nation.

Over the past fourteen years has enthralled consumers in India by


connecting with passions of India – Cricket, movies, music & food.
Coca-Cola’s advertising campaigns ​“Jo Chaho Ho Jaye”​ & “​ Life
Ho Toh Aise”​ were very popular & had entered youths vocabulary. In
2002.Coca-Cola launched its iconic campaign ​“Thanda Matlab
Coca-Cola”​ which sky rocketed the brand to make it India’s favourite
soft drink brand. ​Table - 1.0

GLASS PET CAN


FOUNTAIN

200ml, 300ml, 500ml, 1.5L, 330 ml VARIOUS


500ml, 1000ml 2L, 2.25L, SIZES
500ml, 100ml

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LIMCA:-

Limca was introduced in 1971 in India. Limca has remained


unchallenged as the No.1 sparkling drink in the cloudy lemon
segment. The success formula is the sharp fizz and lemoni bite
combined with the single minded proposition of the brand as the
provider of “Freshness”.

Limca can cast a tangy refreshing spell on anyone, anywhere. Derived


from “Nimbu” + “Jaise” hence Lime Sa, Limca has lived up to its
promises of refreshment and has been the original thirst choice of
millions of customers for over 3 decades.

GLASS PET CAN


FOUNTAIN

200ml, 300ml, 500ml, 1.5L, 330 ml VARIOUS


500ml, 1000ml 2L, 2.25L, SIZES
500ml, 100ml

Table - 1.1

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​THUMS UP:-

Thums up is a leading sparkling soft drink and most trusted brand in


India. Originally introduced in 1977, Thums up was acquires by The
Coca-Cola Company in 1993. Thums up is known for its strong, fizzy
taste and it confident, mature and uniquely masculine attitude. This
brand clearly seeks to separate the men from the boys.

GLASS PET CAN


FOUNTAIN

200ml, 300ml, 500ml, 1.5L, 330 ml VARIOUS


500ml, 1000ml 2L, 2.25L, SIZES
500ml, 100ml

​Table - 1.2

​SPRITE:-

Sprite a global leader in the lemon lime category is the second largest
sparkling beverage brand in India. Launched in 1999, Sprite with its
cut-thru perspective has managed to be a true teen icon.

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RGB PET CAN


FOUNTAIN

200ml, 500ml, 600ml, 330 ml VARIOUS


300ml 1250ml, SIZES
1500ml,
2000ml,
2250ml

Table – 1.3

​FANTA:-

Fanta entered the Indian market in the year 1993. Over the years
Fanta has occupied a strong market place and is identifies as “The Fun
Catalyst”. Perceived as a fun youth brand, Fanta stands for its vibrant
colour, tempting taste and tingling bubbles that not just uplifts
feelings but also helps free spirit thus encouraging one to indulge in
the moment. This positive imagery is associated with happy, cheerful
and special times with friends.

GLASS PET CAN


FOUNTAIN

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200ml, 500ml, 1.5L, 330 ml VARIOUS


300ml 2L, 2.25L, SIZES
500ml, 100ml

​Table – 1.4

​MINUTE MAID PULPY ORANGE:-

The history of the Minute Maid brand goes as far back as 1945 when
the Florida Food Corporation developed orange juice powder. The
company developed a process that eliminated 80% of the water in the
orange juice, forming a frozen concentrate that when reconstitute
created orange juice. They branded it Minute Maid a name connoting
the convenience and the ease of preparation. Minute Maid thus moved
from a powdered concentrate to the first ever orange juice from
concentrate.

The launch of Minute Maid in India (started with the south of the
country) is aimed to further extend the leadership of Coca-Cola in
India in the juice drink category.

Available in 3 PET pack sizes i.e. 400ml, 1 litre, 1.25 lit

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​MAAZA:-

Maaza was introduced in late 1970’s. Maaza has today come to


symbolise the very spirit of mangoes. Universally loved for its taste,
colour, thickness and wholesome properties, Maaza is the mango
lover’s first choice.

RGB PET POCKET MAAZA

200ml, 250ml 250ml, 600ml, 1.2L 200ml

​Table – 1.5

​KINLEY:-

The importance of water can never be understated, Particularly in a


nation such as India where water governs the lives of the millions, be
it as a part of everyday ritual or as the monsoon which gives life to the
sub continent. Kinley water comes with the assurance of safety from
the Coca-Cola Company.

Available in PET 500ml and 1000ml.

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​MARKETING MIX OF COCA-COLA INDIA

❖ PRODUCT:-

Coca-Cola India has a wide range of products in its product line i.e.
Coca-Cola, Fanta, Sprite, Thums Up, Maaza, Minute Maid and
Georgia Gold. Bottled water was another area where Coca-Cola
identified major opportunities. In 2002, Packaged drinking water in
India was a Rs 1,000 cr industry and growing by 40% every year.
PDW was a low margin – high volume business, but it was an
attractive proposition for bottlers as it increased plant utilization rates.
In this market Coke’s Kinley was pitched against Ramesh Chauhan’s
Bisleri and Pepsi’s Aquafina. The product not only faced intense
competition but also was difficult to differentiate. Coke positioned
Kinley as natural water with the tag line ​“Bhoond Bhoond Mein
Vishwas” ​(Trust in each drop of water).

In early 1999, the parent company acquired Cadbury Schweppes. As a


result 12 more bottlers were brought into CCI’s fold. This acquisition
added Crush, Canada Dry and Sport Cola to CCI’s product line. This
meant CCI had three orange, clear lime and cola drinks each in its
portfolio.

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products in Kurnool district

❖ PRICE:-

Coke learnt with experience that price was a strategic weapon in an


emerging market like India. An increase in value added tax in 1996
had taken the price of the 300ml bottle beyond the reach of many
Indian customers. In 2000, CCI conducted a yearlong experiment in
coastal Andhra Pradesh by introducing a 200ml bottle at Rs 7. The
volumes went up by 30% demonstrating the importance of consumer
affordability. So the 200ml pack priced at Rs 5 was rolled out
countrywide in January 2003. The advertising Campaign highlighted
the affordability and Indian image.

To make it affordable, Coke introduced Kinley in 200ml pouches for


Re. 1 in selected places in Ahmadabad and 200ml water cups in
Maharashtra, priced at Rs 3 per cup in testing marketing exercise
conducted in mid – 2002. In 2002 Kinley with 35% market share had
become the leader in the retail PDW segment and was contributing
20% of CCI’s revenues.

❖ PLACE:-

Coke pushed down responsibilities from corporate headquarters to the


local business units. The aim was to effectively align CCI's corporate
resources, support systems and culture to leverage the local

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capabilities. CCI's operations had been divided into North, Central


and Southern regions. Each region had a president at the top, with
divisions comprising marketing, finance, human resources and
bottling operations. The heads of the divisions reported to the CEO.
Bottling operations were divided into four companies directed by the
bottling head from headquarters. Under the new plan, CCI shifted to a
six region profit center set up where product customization and
packaging, marketing and brand building were taken up locally. A
Regional General Manager (RGM) headed each region with the
regional functional heads reporting to him. All the RGMs reported to
VP (Operations, who in turn reported to CEO. The four bottling
operations, with 37 bottling plants, were merged into Hindustan
Coca-Cola Beverages (HCCB). Each of the six regions had on an
average six bottling plants. Each plant was headed by an Area General
Manager (AGM) and held profit center responsibility for a business
territory. He reported to the RGM as well as the head of bottling at the
head quarters.

❖ PROMOTION:-

In the initial years, CCI focused on establishing the Coca-Cola brand


quickly. The marketing campaign positioned Coca-Cola as an
international brand and did not emphasize local association. Coke, as

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Project report on rural marketing of CocaCola
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a deliberate strategy, decided not to spend heavily on promoting


Thums Up. Indeed the marketing spend on Thums Up between 1993
and 1996 was almost negligible. The overall marketing effort was also
not focused as CCI changed the head of marketing three times during
the period. Thumps Up remained neglected. Inadequate marketing
support for other Parle brands also led to their declining market
shares.

The bottlers taken over by Coke also had problems adjusting to a new
work culture. They argued that CCI's lack of interest in promoting
Thumps Up was resulting in falling sales and asked CCI to take
corrective action.

Coke is primarily targeted at young individuals over the age of


twenty-five. This can be seen by Coca-Colas advertising campaigns,
which are aimed towards the young, by featuring well known
personalities popular to this age group. During 90'ies Coke's
promotion efforts did not seem to be effective. They were focused on
mega events like the 1996 Cricket World Cup held in India. CCI's
World Cup Cricket campaign was overshadowed by Pepsi's "Nothing
official about it" campaign. Major analysts were surprised that
Thumps Up was totally out of the picture during such a mega event.

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Project report on rural marketing of CocaCola
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In 1998 localization of marketing efforts, CCI signed up celebrities


like Aamir Khan, Aishwarya Rai, and Sunil Gavaskar to promote
Coke. Coke also began efforts to rejuvenate the Parle brands, Limca
and Thumps Up. In 1998, India was declared the fastest growing
market within the Coca-Cola system. But things were far from
normal. Attempts at building growth through discounts and PET take
home segment were not very successful because of lack of
coordination between the launches and marketing back-up.

To maintain good relationships with bottlers and avoid defections to


the other camp, dealers had been pampered by offering expensive
overseas trips. In 2000, Coke wrote off investments in India,
amounting to $400 Mn. The revised value of CCI's assets after the
charge was $300 mn.CCI spent $3.5 mn to beef up advertising and
distribution for Thumps Up. By 2002, it had become India's No.2 cola
drink after Pepsi. Maaza, the mango drink, was repositioned as a juice
brand and saw a growth of almost 30% in 2001. Since India was a
large country of different tastes and cultures, CCI customized its
marketing strategy for different regions. It promoted the Coke brand
in Delhi, Thumps Up in Mumbai and Andhra Pradesh, and Fanta in
Tamil Nadu. Coke had plans to launch Rimzim, a spicy soda drink in
North Maharashtra.

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Project report on rural marketing of CocaCola
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CHAPTER-3

★ OBJECTIVES
★ RESEARCH METHODOLOGY
★ LIMITATIONS

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Project report on rural marketing of CocaCola
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OBJECTIVES OF THE STUDY:

The main objective of the project is to analyze and study in efficient


way,the current position of Coca- Cola Company products sales in
rural areas of Kurnool district.

❖ To perform PESTLE and SWOT analysis of Coca-cola globally


as well as locally. This would help us identify areas of potential
growth in rural areas.
❖ The study was aimed to perform Market Analysis of Coca-Cola
Company products sales&distribution in rural areas of Kurnool
district.
❖ Find out different factors effecting the growth of Coca-Cola
products in rural areas of Kurnool district.
❖ Another objective of the study was to perform Competitive
analysis between Coca-Cola products and its competitive
products in rural areas of Kurnool district.
❖ To understand the reasons behind the purchase of Coca-Cola
products in rural areas of Kurnool district.
❖ To know which flavours of CocaCola products are more popular
in rural areas of Kurnool district.
❖ To obtain solutions to questions, related to the improvement of
marketing techniques of the CocaCola products in rural areas.

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Project report on rural marketing of CocaCola
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SCOPE OF THE STUDY:-

This study basically tries to discover the current position of


Coca-cola in the market. It also tries to discover the preferences of
the customers when posed with a choice between Coca-Cola and
Pepsi. It is primarily directed to the general public but was done
only in rural areas in Kurnool
district(Gargeyapuram,Laxmipuram,Thandrapadu,Venkaipali)

RESEARCH DESIGN:
A research design is the specification of methods and procedures for
acquiring the needed information​. It is overall operational pattern or
framework of the project that stipulates what information is to be
collected from which source by what procedure.

There are three types of objectives in a marketing research project:-

● Exploratory Research.
● Descriptive Research.
● Casual Research.
1. Exploratory Research:-​The objective of exploratory research
is to gather preliminary information that will help define
problems and suggest hypothesis.

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2. Descriptive Research:-​The objective of descriptive research is


to describe things, such as the market potential for a product or
the demographics and attitudes of consumers who buy the
product.
3. Casual Research:-​The objective of casual research is to test
hypothesis about casual and effect relationships.

Based on the above definitions it can be established that this


study is a Descriptive Research as the attitudes of the customers
who buy the products have been stated. Through this study we are
trying to analyze the various factors that may be responsible for the
preference of Coca-Cola products.

​SOURCES OF DATA

The data has been collected from both primary as well as secondary
sources.

SECONDARY DATA:-

It is defined as the data collected earlier for a purpose other than one
currently being pursued.

As a researcher I have scanned lot of sources to get an access to


secondary data which have formed a reference base to compare the

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Project report on rural marketing of CocaCola
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research findings. Secondary data in this study has provided an insight


and forms an outline for the core objectives established.

The various sources of secondary data used for this study are:-

❖ News papers.
❖ Magazines.
❖ Text books.
❖ Marketing reports of the company.
❖ Internet.

PRIMARY DATA:-

The primary data has been collected simultaneously along with


secondary data for meeting the established objectives to provide
the solution for the problem identified in this study.

The methods that have been used to collect the primary data are:-

❖ Questionnaire.
❖ Personal Interview

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Project report on rural marketing of CocaCola
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RESEARCH MEASURING TOOLS & TECHNIQUES

The primary tool for the data collection used in this study is the
respondent’s response to the questionnaire given to them. The various
research measuring tools used are:-

❖ Questionnaire.
❖ Tables.
❖ Percentages.
❖ Pie-charts.
❖ Bar-charts.
❖ Column charts

​SAMPLING DESIGN

An integral component of a research design is the sampling plan.


Especially it addresses three questions: Whom to survey (sample
Unit), how many to survey (Sample Size) and how to select them
(sampling Procedure). Making the census study of the entire universe
will be impossible on the account of limitations of time and money.
Hence sampling becomes inevitable. A sample is only his portion of
population. Properly done, sampling produces representative data of
the entire population.

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Project report on rural marketing of CocaCola
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SAMPLE SIZE:

Through questionnaire - 150 respondents

Through interview - 27 respondents

SAMPLING TOOL:-

Questionnaire was used as a main tool for the collection of data,


mainly because it gives the chance for timely feedback from
respondents. Moreover respondents feel free to disclose all necessary
detail while filling up a questionnaire. Respondents seeking any
clarification can easily be sorted out through tool.

​Sampling Tools ​Respondents ​Number


Questionnaire. Customers 150
Personal interview Customers 27
Total 177
​FIELD WORK:-​The study was conducted in rural areas of Kurnool
district(Gargeyapuram,Venkaiahpalem)

❖ The questionnaires were given to the respondents to fill in order


to get their feedback.
❖ Questions were read out to the respondents and the answers
were noted.

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Project report on rural marketing of CocaCola
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LIMITATIONS OF THE STUDY:-

The main purpose of this study is get idea about the preference of the
customers towards various Coca-Cola products in rural areas of
Kurnool district. But there are certain factors which affects this study
they are as follow:

❖ Since the sampling procedure was judgmental, the sample


selected may not be true representative of the population.
❖ Economic and market conditions are very unpredictable (Present
and future).
❖ The project duration is limited to 2 weeks so it limits the area of
study.

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Project report on rural marketing of CocaCola
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​CHAPTER-4
★ DATA ANALYSIS AND
INTERPRETATION

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Fig 2.4

Fig 2.5

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Project report on rural marketing of CocaCola
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AGE GROUP & GENDER:

From Fig 2.4, we can comprehend that 90% of total respondents


belong to the age group of 20-30 . This is because most of the
consumers that prefer or consume Coca-Cola products belong to this
age group. About 6% belong to age group below 20 and 3% belong to
age group of 30-40.Form Fig 2.5, we come to know that the gender
ratio of the total respondents is almost 2:1 (male: female).

Fig 2.6

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Project report on rural marketing of CocaCola
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Fig 2.7

SOFT DRINK CONSUMPTION & EXPENDITURE:

From Fig 2.6, we interpret that about 48% of the total respondents
consume soft drinks rarely. About 31% respondents consume soft
drinks occasionally and 18% consumes soft drinks Monthly and 4%
consumes soft drinks weekly.

From Fig 2.7, we interpret that about 81% of the respondents spend
only Rs.50-100a week on Coca-Cola products, which is very low as
compared to the urban areas. This creates a potential growth market
techniques for CocaCola products in rural areas of Kurnool district.
About 10% spends from Rs.100-150 a week ,6%spend RS.150-200&
3% spend above 200

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Project report on rural marketing of CocaCola
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Fig 2.8

PURCHASING PORTAL PREFERENCE:

.From the above data, we have ascertained that preferred portal for
purchase of Coca-Cola products is the retail shops i.e. 52%. This is
probably because not all in rural areas have supermarkets and other
purchasing channels present nearby, whereas, we can find retail shops
in every corner.36% prefer to purchase from small shops. 10% prefer
to purchase from wholesalers,2% prefer to purchase from other ways.

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Project report on rural marketing of CocaCola
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Fig 2.9

REASON FOR CONSUMPTION:

From this graph, we infer that there is no specific occasion why


people purchase Coca-Cola products. Although some of the
advertising campaigns target special occasion or festivals. From Fig
2.9 it is concluded that 59% respondents purchase Coca-Cola without
any specific reason. About 23% purchase for the purpose of parties,

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Project report on rural marketing of CocaCola
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15% purchase while summer season and only about 4% purchase


during festivals and for picnic purposes.

Fig 2.10

SOFT DRINK PREFERENCE:

From the above graph we interpret that about 70% of the respondents,
prefer consuming Coca-Cola product over Pepsi and other drinks.
This clearly states why Coca-Cola is market leader with almost 60%

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Project report on rural marketing of CocaCola
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of market share. 23% prefer Pepsi Products and only 75 prefer other
drinks.

Fig 2.11

Fig 2.12

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Project report on rural marketing of CocaCola
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OPINION ABOUT COCA-COLA PRODUCTS

​& PRODUCTS EXPECTED BY CONSUMERS:

From Fig 2.11, we infer that though the respondents are more
than satisfied by the Coca-Cola product range they would still like the
company to introduce new drinks. From Fig 2.12, we conclude that
about 40% would like to see a new fruit drink being added to the
product basket, 26% want energy drinks, 20% alcoholic drinks and
only 14% want another fizzy drink. Majority of the people wanting to
see a fruit drink is mainly because people are more health conscious
now and want to manage their calorie intake.

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Project report on rural marketing of CocaCola
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Fig 2.13

QUANTITY PREFERENCE:

From Fig 2.13, we infer that about 47% of respondents prefer to


purchase PET bottle of Coca-Cola Products. About 27% prefer to
purchase glass bottles, 19% prefer Can of 300ml and only 8% prefer 1
& 2 litre bottles of Coca-Cola.

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Project report on rural marketing of CocaCola
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Fig 2.14

Fig 2.15

BRANDING & PRICING:

From Fig 2.14, it is concluded that respondents find Coca-Cola


products better than that of Pepsi products. About 62% respondents

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Project report on rural marketing of CocaCola
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said that they find Coca-cola products better than Pepsi and only 38%
supported Pepsi products.

From Fig 2.15, we infer that about 62% of the respondent considers
the pricing of Coca-Cola much more reliable than that of Pepsi. About
38% respondents think that Pepsi have better pricing than that of
Coca-Cola.

​Fig 2.16

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Project report on rural marketing of CocaCola
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Fig 2.17

QUALITY & TASTE:

From Fig 2.16 & 2.17, it’s clear that Coca-Cola products have better
taste and quality than that of Pepsi. About 73% respondents consider
that Coca-Cola products have very good quality and taste. 27%
respondents consider Pepsi products have better taste and quality.

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Project report on rural marketing of CocaCola
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Fig 2.19

AVAILABILITY & SATISFACTION:

From Fig 2.18, it’s clear that there is slight difference between the
availability of products of Coca-Cola and Pepsi. About 51%
respondents think that Coca-Cola products are much easily available
in the market.49% consider that availability of Pepsi products is more
in the market.

About 70% of respondents are satisfied with the Coca-Cola products


while as 30% respondents are satisfied with the Pepsi products as
shown in Fig 2.19.

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Project report on rural marketing of CocaCola
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CHAPTER-5
★ SUGGESTIONS
★ CONCLUSIONS

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Project report on rural marketing of CocaCola
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​SUGGESTIONS:
The suggestions made in this section are based on the market study
conducted in rural areas of Kurnool
district(Gargeyapuram,Venkaipali). The suggestions are arranged in
order of priority, highest first.

❖ Perform a detail demand survey at regular interval to know


about the unique needs and requirements of the customer.
❖ The company should make hindrance free arrangement for its
customers/retailers to make any feedback or suggestions as and
when they feel.
❖ The company should focus to bring some more flavors suitable
and lovable by all age people and to bring all possible new
one's.
❖ Coca-Cola’s distribution channel is mostly through retail.
Whereas the competitors also concentrates on other relative
channels . Coca-Cola should try to increase their distribution in
these areas.
❖ The company must keep a watch on its primary competitors in
market in order to be able to compete with them in rural areas.

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Project report on rural marketing of CocaCola
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❖ The company should use new attractive system of word of


mouth advertisement to keep alive the general awareness in the
whole market as a whole.
❖ The company should be always in a position to receive
continuous feedback and suggestions from its customers/
consumers as well as from the market and try to solve it
without any delay to establish its own good credibility.
❖ A strong watch should be kept on distributors so that the
goodwill of the BRAND doesn’t get affected.

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Project report on rural marketing of CocaCola
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CONCLUSION:

Though there were ce​r​tain limitations in the study that was


conducted. The sample allowed for some conclusions to be drawn on
the basis of analysis that was done on the data collected.The data has
clearly indicated that Coca-Cola products are more popular than the
products of Pepsi mainly because of its​ TASTE​, ​BRAND NAME​,
INNOVATIVENESS​ and ​AVAILABILITY​, thus it should focus
on good taste so that it can capture the major part of the market. The
study also indicated that the consumers are satisfied with the
Coca-Cola products and purchase them without any specific
occasions.

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Project report on rural marketing of CocaCola
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CHAPTER-6

★ QUESTIONNAIRE
★ BIBILOGRAPHY

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Project report on rural marketing of CocaCola
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​ANNEXURE:

​QUESTIONNAIRE:

❖ NAME:
..........................................................
❖ GENDER:
a)Male b) Female

❖ Do you drink Soft drinks?


a)Yes b)No

❖ How often do you have soft drinks per week?


a)Once a week
b)Twice a week
c)Thrice a week
d)Everyday
e)Rarely

❖ What drink comes to your mind when you think of soft drinks?
a)Coca-Cola
b)Pepsi
c)Other products of Coca-Cola
d)Other products of Pepsi
e)Other drinks

❖ What quantity do you usually prefer to buy?


a)200-250 ml Glass bottle
b)300 ml Can
c)500 ml Pet bottle

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Project report on rural marketing of CocaCola
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d)1 litre
e)2 litre

❖ What do you feel about Coca-Cola product range?


a)Excellent
b)Good
c)Satisfactory
d)Below Satisfactory
e)Bad

❖ What occasions do you prefer to buy Coca-Cola products?


a)Festival
b)Picnics
c)Occasions
d)Just like that
e)Summer

❖ What is your most preferred channel for purchasing Coca-Cola


products?
a)Kiranams
b)Retails
c)Wholesalers
d)Small shops
e)Other ways

❖ How much do you spend on Coca-Cola products per week?


a)Rs. 50-100
b)Rs.100-150
c)Rs.150-200
d)Above Rs.200

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Project report on rural marketing of CocaCola
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❖ Put (X) mark in which ever you feel is appropriate?


Parameters / Coca-Cola Pepsi Products
Product Products
Branding
Quality
Price
Taste
Availability
Satisfaction

❖ What kind of products do you want Coca-Cola to introduce in


the future?
a)Fizzy Drinks
b)Fruit Drinks
c)Energy Drinks
d)Alcoholic Drinks

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Project report on rural marketing of CocaCola
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BIBLIOGRAPHY:

BOOKS:

Marketing Management – Kotler Philip.

Research Methodology – Kothari.

WEBSITES:

www.thecoca-colacompany.com

www.news.bbc.co.uk

www.india-server.com

www.magindia.com

www.coca-colaindia.com

www.wikiinvest.com

www.open2.net

OTHERS

Annual report of Coca-Cola 2015.

Annual report of Coca-Cola 2016.

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Project report on rural marketing of CocaCola
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...........​Thank you......

Page 67

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