A STUDY ON

CUSTOMER PERCEPTION ON BEVERAGES

With reference to
PEARL BOTTLING PVT LTD, VISAKHAPATNAM.
A Project submitted in partial fulfillment for the award of the degree of

MASTER OF BUSINESS ADMINISTRATION

Submitted By

R PAPI NAIDU
(Regd.No.111250402071)
Under the guidance of

Mr.V.S.K.VARMA

Assistant Professor

DEPARTMENT OF MANAGEMENT STUDIES

MAHARAJAH’S POSTGRADUATE COLLEGE

(Accredited with “A” by NAAC)(Affiliated to Andhra University)

PHOOL BAUGH COLONY, VIZIANAGARAM

2011-2013
 DECLARATION

I hereby declare that the project work entitled “A STUDY ON

CUSTOMER PERCEPTION ON BEVERAGES with reference to
PEARL BOTTLING PVT LTD, VISAKHAPATNAM” submitted by me
to the department of Management studies, MAHARAJAH’S POST
GRADUATE COLLEGE, PHOOL BAUGH, VIZIANAGARAM in partial
fulfillment for award of degree of Master of Business Administration is
entirely based on my own study and findings and suggestions were not
submitted to any other institution or university.

Date:

Place: Vizianagaram R PAPI NAIDU

 CERTIFICATE

This is to certify that the project submitted by Mr. R.PAPI NAIDU a student of
MASTER OF BUSINESS ADMINISTRATION Regd.No: 111250402071,M.R.P.G
COLLEGE on CUSTOMER PERCEPTION ON BEVERAGES with reference to
PEARL BOTTLING PVT LTD, VISAKHAPATNAM.” is a record of original project
work done by him as a part of his academic curriculum for the award of Master of
Business Administration degree Under my supervision and guidance.

Mr.B.S.N.RAJU Mr.V.S.K.VARMA

(Head of the Department) (Project Guide)

 CERTIFICATE

This is to certify that the project submitted by Mr. P.V.V.KUMAR A student of

MASTER OF BUSINESS ADMINISTRATION (Final), Regd.No: 110250402110,
MAHARAJAH’S POST GRADUATE COLLEGE, titled “Study on CUSTOMER
PERCEPTION ON BEVERAGES with reference to PEARL BOTTLING
PVT.LTD, VISAKHAPATNAM.”, is a record of original project work done by him as
a part of his academic curriculum for the award of Master of Business Administration
degree under my supervision and guidance.

K. Venkateswarlu
(Area sales manager of H.C.C.B)
(Project Guide)
 ACKNOWLEDGEMENTS

I would like to thank Mr. K. Venkateswarlu, Area Sales Manager,

PEARL BOTTLING PVT LTD, VISAKHAPATNAM for his valuable guidance in
completing this project.

I sincerely convey my thanks to B.S.N. RAJU Department of

Management Studies, and Prof.K.Hanumantharao, Director, M.R.P.G.College for their
co-operation throughout my project work.

I sincerely express our deep sense of gratitude to our honorable Faculty

Member of Department of Management Studies, S Mr.V.S.K.VARMA for taking special
interest in my project work and giving valuable suggestions through out of my project.

Last but not the least I would like to acknowledge and sincerely thank
my colleagues and others who have helped me in the completion of this project work.

Date:

Place: Vizianagaram R PAPI NAIDU

 CONTENTS

Page No

CHAPTER-I INTRODUCTION

• About the Soft drink Industry

• Need and significance of the study
• Objectives of the study
• Methodology of the study
• Frame work of the study
• Limitations
CHAPTER-II PROFILE OF PEARL BOTTLING PVT LTD

• Origin and growth

• About the product line
• Organizational structure
• Awards and Achievements
CHAPTER-III CONCEPTUAL STUDY OF CUSTOMER PERCEPTION

• Nature of Customer perception

• Types of Customer perception
• Advantages of Customer perception
CHAPTER-IV PRACTICAL STUDY ON CUSTOMER PERCEPTION

• Effectiveness of Customer perception

• Analysis and Interpretation
CHAPTER-V SUMMARY AND SUGGESTIONS

• Findings
• Summary & Suggestions
• Bibliography
• Introduction
♦ About the Soft drink Industry
♦ Need and significance of the study
♦ Objectives of the study
♦ Methodology of the study
♦ Frame work of the study
♦ Limitations
 INTRODUCTION

The latest figures of industrial growth have a continuous strong

growth in durable consumer products, as well as of consumer non-durable.
There has been a slowing down in production of automobiles but that is after
record increase in the last year. As far as Indian Vs foreign companies are
concerned there appears to a continuous decline of Indian owned brands in
national consumer markets. Foreign brands are growing in dominance as
foreign owners adapt to Indian consumer preferences, market realities, and
change management styles accordingly. The lack of strong pre-emptive
action by Indian consumer product companies, that was obvious throughout
the 1990s continued in the last two years. It almost looks as if many of them
are tired of trying to compete and prefer to sell out, pocket the gains and
move on to something else.

SOFT DRINK SECTOR OVERVIEW

The term “soft drink” refers to all types of non-alcoholic,

carbonated, sweetened, flavored beverages etc. they are all artificially
sweetened. The soft drink industry has undergone many changes with
changing consumer needs, wants and also changing Government policies.
This formed the basis for different innovations in packaging such as bottles,
cans, tetra packs and pet bottles in a variety of flavors.
RETROSPECTION OF INDIAN SOFT DRINK INDUSTRY

The soft drinks market till early 1990 were in the hands of
domestic players like Campa, ThumsUp, Limca etc, but with the opening of
the economy and liberalization of economic policies, many foreign
multinationals started ventures in India by buying over competitors, the two
American Cola giants have cleared up the arena and are backing all their
power behind the Indian Franchise of their globe girdling brands.

Pepsi which scores over Coke but this difference is

gradually decreasing (courtesy huge and spending by both the players).
Pepsi entered Indian market in 1991 and Coke re-entered (after they were
thrown out in 1977, by the central Government) in 1993. Pepsi has been
targeting its products towards the youth and it has struck the right chord with
the market and the sales have been doing well by sticking to this youth
bandwagon. Dole on the other hand, struggled initially in the market.

In the span 7 years of its operations in the country it has

changed its CEO four times but finally they seem to have started
understanding the pulse of the Indian consumers. The soft drink market in
India is growing at the rate of 10% every year. With growing Urbanization
and the younger generation, which had liking for non-conventional foods
and beverages there is a good possibility that the per capita consumption will
go up.
This sector can be understood in more detail by the following points.
 Background

 Segmentation

 Consumer habits and practices

 Market players and market share

 Major players and market share

 Distribution Network

 Manufacturing process

 Retailer’s perception.

CONSUMERS HABITS AND PRACTICES

The following are the various consumer habits and practices

 Soft drinks come under the category of products purchase in impulse.

Though the market is carried by brand loyalty the purchased decision
itself is a low involvement decision. This attitude of impulse buying is
slowly changing to occasion-led buying and also to some extent to
consumption through home refrigeration particularly in urban areas.
 The market is slowly moving from non alcoholic carbonated drinks to
fruit based drinks and also to plain bottled water due to lower price
and ready availability.

 Consumers purchase soft drinks to quench thirst. Therefore people

traveling and not having access to hygienic water reach out for soft
drinks. This accounts for a large part of sales.
 Brand awareness plays a very crucial role in purchase decisions.
Consumers prefer convenient and economy products.
 Availability in the chilled form effects the purchase decision. This had
made both the companies to push its sales and to increase its retail
distribution by offering Visi Coolers to retailers.
 While there is no version to consumption of soft drinks by any age
group, the main consumers of this market are people in the age group
of 30 and below.
 Product differentiation is very low, as all the products taste the same.
But brand loyalty is high in the case of kids and people in the age
group of 20 -30 years.
 Consumers are sensitive to the outlay where the purchase of beverages
is concerned. Hence the market is price sensitive.
 Due to the high cost of soft drinks, consumers prefer beverages like
tea, coffee or other drinks like sherbet and squashes.
NEED FOR THE STUDY

As the other forms in the industry is trying to improve their

market share by developing new techniques and strategies. It is not possible
for the firm to withhold the market share for a long time without dealing
with the factors prevailing in the market, which affect the market condition
in the industry.
It is the time to take the steps to improve the market share of
the Pepsi products it is necessary to conduct the market research.

The following are some important aspects of the market research.

1. The study helps the organization to improve the performance of flavors
with its competitive organization.
2. It helps the organization for rendering better service to their retailers.
3. It also helps on identifying various flavors market share in their respective
competitors.
4. It helps to improving customer satisfaction towards Pepsi products.
OBJECTIVES OF THE STUDY

In view of intensifying competition in the soft drink market, it is

imperative that the brand keeps a constant watch on the market and responds
properly and promptly to the dynamics of the market. It is in view of this
fact that the present study has been taken up for “Pepsi.”

1. To find out the market share of Pepsi and its brands vs. Coca-Cola and its
brands in the areas of Visakhapatnam.
2. To analyze the market and to ascertain the performance of different
brands of the company.
3. To evaluate the market potential of Pepsi products.
4. To offer suggestions for improving the competitiveness of the company.

SCOPE OF THE STUDY:

The scope of the study is confined only to the Market research

and survey conducted. All efforts are made to present an authentic view
regarding taste and preferences of customers. This report provides required
information to the varied problems encountered in the industry.
 The data collected are mainly from the survey, market research
conducted and all relevant information is taken from the organization.

METHODOLOGY OF THE STUDY:

The data which is required for the project has been collected through from
two sources. They are:

1. Primary sources.
2. Secondary sources.

1) Primary sources:
Primary data was collected with the help of a questionnaire targeting
the retailers. The questionnaire consists of seven questions, which gives us
the necessary data.

2) Secondary sources:
Some secondary data required for the study is obtained from the Pepsi
Company records, the journals, magazines and web sites. It means the data
is already available been collected and analyzed and other information is
from Newspapers and Magazines.
LIMITATIONS OF THE STUDY

1. The study of the soft drinks industry, which is known to be a seasonally

fluctuating one then present study doesn’t take into account seasonal
fluctuation the results may not suit for all the seasons.
2. Time and expenses were major constraints.
3. Unavailability of recent information due to lack of awareness of the
retailers.
4. The study broadly covers retailers only. It doesn’t include consumer’s
perception.
5. The study is limited to these three areas only.
FRAME WORK OF THE STUDY

The study is organized into five chapters:

Chapter-1: Deals with introduction to soft drink industry, “Competitive
Analysis” and brief profile of Pearl Bottling PVT Ltd. This chapter also
deals with the need, objectives, methodology, limitations and framework of
the study.
Chapter-2: Gives the complete profile of Pearl Bottling PVT Ltd.

Chapter-3: Deals with theoretical aspects of “Competitive Analysis”.

Chapter-4: Deals with analysis and interpretation of Competitive Analysis

of Pepsi and Coca-Cola.

Chapter-5: Deals with the findings, summary and suggestions.

Organizational profile of PEARL BOTTLING PVT LTD

♦ Origin and growth

♦ Vision ,Mission and Values

♦ Products and brands of Pepsi

♦ Organizational structure
♦ Awards and Achievements
 INDUSTRY PROFILE

PEARL BOTTLING PRIVATE LTD

Pepsi cola was in India from 1956 to 1961. It left the
country, as its products were not found acceptable to the domestic market.
But recently in 1990 it re- entered into the Indian market where by Pepsi
foods Limited entered into a joint venture with Pepsi Company International
V.S (which is holding 40% of the equity ) and TATA concern Voltas and the
SIC 9each of which have around 25% of its output reserved for Beverages.
Four years since its launch it has established 20 production facilities and
three owned factories hacked by 1500 independent sales distributors serving
over a lakh of retailers, Pepsi food sales are estimated at between 80crores to
150crores in 1996-97. PBPL was appointed as franchise by Pepsi Foods ltd
in 1992.
The premises where in it conducts as its activities was
originally constructed by Camp-Cola unit became insolvent. As a result
Andhra Pradesh State Financial Corporation auctions the premises; in 1990
it was purchased by PBPL. It started production in 1991. Initially, it
produced Mc. Dowell company’s brands are Thrill, Rush, Sprint,
McDowell’s soda & Bagpiper soda. Commercial production started in
Visakhapatnam from June, 1992 onwards In the beginning four drinks were
bottled and distributed namely Pepsi Cola, 7-Up, Miranda and E.V. Soda
and since 1993 Team is being bottled As slice continues to be supplied from
Guntur plant.

TYPE OF CAPITAL AMOUNT IN LAKHS

Funds employed 60

Working capital 15

Institution finance 40

Out of this, Pepsi food limited provides them with some benefited like
providing to concentrate as well as by providing thee advertising materials
etc., to the company.

PLANT LAYOUT
The layout of the bottling plant of Pepsi installed by the company
confirms to the product line layout the machines and the equipment are
arranged according to the sequence of operations. The machine and workers
are specialized on the performance of specific operations such as preparation
of syrup, clearing the bottles, filling the bottles, arranging and bearing the
bottles. All the operations approaches entail continuous movement. The
product layout has been chosen for the following reason.
1. The volume of production is adequate, reasonable equipment
utilization.
2. The demand for the product brands is reasonably stable.
3. The brands are also of standardized products.
4. The supply of material is continuous.
Because of the above reasons the product layout offers certain advantages.
The production cycle is speeded up since national approaches a continuous
movement where by the machine is less than for other types of layout.

FACTORY CAPACITY
The installed capacity of PBPL is 800 bottles per minute or 34
crates per minute. The plant is also having 100 bottles per minute for 1 liter
line.
During the 9 months season the plant has double shifts. Each shift
consists of 8hrs, so, during the summer season the plant is run round the
clock. This is because the demand reaches its peak these summer months.

PRODUCTION SCHEDULE
The production schedule for each brand is fixed daily by filling the
bottles of each particular brand. This has an advantage in then branded
products being manufactured one at a time. The glass bottles are used for
filling up of a particular soft drink belonging of Pepsi, Liquids are sold in
the remote areas the transportation and also in some villages.
MANUFACTURING PROCESS OF A SOFT DRINK
For manufacturing a soft drink the following raw materials are
required.
1. Water 2. Sugar
3. Activate carbon powder 4. Hyflousuper cell
5. Filter paper 6. Essence
7. Bleaching powder 8. Hydrated
9. Ferrous Sulphate 10. Activated carbon (granular)
11. Soda- bi- carbonates 12. Carbon dioxide gas
13. Caustic soda 14. Tri sodium phosphate
15. Plastic crates

The Process of Manufacturing Soft Drinks:

The process of manufacturing soft drinks is mainly divided into three parts.

They are Water, Bottling treatment & Crating. In syrup making

process the syrup of a particular product is prepared by heating sugar with
activated bon powder and filter (Hyflousuper cell) in the treatment tank for a
specified time up to a particular temperature. During treatment most of the
color, odor and some organic impurities are from the sugar syrup. This
treated syrup passed through the filter press filter with filter papers and heat
exchanged and thee clear syrup is collected in the syrup moving tank where
the essence and particular product will be added for which a required
amount of syrup is ready for use in finished products.

The second process is water treatment. As an added Ingredient

water can compromise up to 90% of a soft drink. The quality of water is
thus of a particular importance it the soft drinks manufactures. In this
process water will be brought to the treatment tank and then wetter treatment
chemicals such as hydrated lime, bleaching powder and ferrous soleplate are
added to the tank and are moved thoroughly by the help of a mechanical
stirrer.
The treated water is then passed through then specifically
designed filtration plant containing chemicals such as activated carbon
(granular) and finally the manufacturer will and the get the standard water
i.e. Suitable water i.e. suitable for soft drinks bottling. For marinating
equipment in sanitized conditions they are also no soda bicarbonate.
There the third process is called bottling in which both water and
syrup are mixed together along with carbon dioxide Jar and bottles are
commonly used of filling up so dinks. To ensure the good keeping and
costhetic quality if sift drink it is necessary that bottles are sparkling clean
and sterilized before beverage filling. For cleaning bottles, a machine called
bottle washer is used along with washing elements such as caustic soda and
try sodium phosphate. In the bottle washing atomically which passes
through different designed chamber containing chemical solutions at
different temperature and concentration. Finally clean and sterile bottles are
collected at the opposite end of the bottle washer and are directed towards
the filling machine called filter through conveyor lines. Before it reaches to
the filling machine it is saturated with carbon dioxide gas in carbonator.
 Carbon dioxide gas provides the characteristics sparkle to soft drink
and also prolongs the shelf life of the products. Next the bottles are
moved to the machines where the bottles are filled with the beverage
under pressure.
 And the bottles are moved towards crowner where the sealing is done
with the help of crowns. The crowns are used in order to retain the
carbonation flavors as well as to protect the products from outside
contaminations and spoilage. The bottles are moved towards the
inspection point where the filled bottles are checked for marinating
the required standard.
 Finally, the filled bottles are collected in plastic crates from the
conveyor. The marketable lot is only comprised of a crate. These
crates are mainly useful to protect the bottles and keep them in good
condition and eliminate breakage and are also collected back in the
same crates. Then the finished products are all transferred to the
shipping department for shipment.
 COMPANY PROFILE

PEPSI CO. MISSION STATEMENT

Pepsi Company’s, overall mission is to increase the value of their
shareholder’s investment. They believe that their commercial success
depends upon offering quality and value to their consumers and providing
products that are sage, wholesome and economically efficient and
environmentally sound. Provide a fair return to their investors while
adhering to the highest standards of integrity.

ORIGIN OF THE COMPANY:

Soft drinks can trace their history back to the mineral water found
in natural springs. Bathing in natural springs has long been considered a
healthy thing to do; and mineral water was said to have curative powers.
Scientists soon discovered that gas carbonium or carbon dioxide was behind
the bubbles in natural mineral water.
 The first marketed soft drinks (non-carbonated) appeared in the
17th century. They were made from water and lemon juice sweetened with
honey. In 1676, the Compagnie de-Limonadiers of Paris was granted a
monopoly for the sale of lemonade soft drinks. Vendors would carry tanks
of lemonade on their backs and dispensed cups of the soft drink to thirsty
Parisians.

THE SOFT DRINK BOTTLING INDUSTRY

Over 1,500 U.S. patents were filed for a cork, cap, or lid for the
carbonated drink bottle tops during the early days of the bottling industry.
Carbonated drink bottles are under a lot of pressure from the gas. Inventors
were trying to find the best way to prevent the carbon dioxide or bubbles
from escaping. In 1892, the "Crown Cork Bottle Seal" was patented by
William Painter, a Baltimore machine shop operator. It was the first very
successful method of keeping the bubbles in the bottle.
Read in over 100 countries with correspondents in all
continents, Soft drinks International is the leading English language
magazine published in Europe devoted exclusively to the manufacture,
distribution and marketing of all soft drinks, fruit juices and bottled waters.
Soft drinks International has an unrivalled pedigree: Since its
launch in February 1888 as THE British & Colonial Mineral Water Trade
Journal, the publication has appeared every month without fail, even through
the darkest days of two world wars. In the 21 st century soft drinks have
evolved into one of the most innovative of fast moving consumer goods.
Readers are kept up to date on all new product development from functional
drinks, enhanced waters, daily soft drinks, through to new energy and sports
beverages.
In keeping with its ‘International’ title, the journal has a team
of seven overseas Correspondents based in North and South America,
Europe, Asia and Australia. Their news reportage accompanied by in depth
features and analysis distinguishes Soft Drinks international from other
beverage journals.

THE BEGINNING OF SOFT DRINKS

BY MARY BELLIES
Soft drinks have been used since 1798. Mr. Mary Bellies has
introduced these soft drinks. The people also enjoyed soft drinks very much
and now also soft drinks industries have very huge market in the present
international market

VARIOUS LOGO’S OF PEPSI

MAJOR PRODUCTS OF THE COMPANY
1. Pepsi – Cola Company
2. Pepsi – cola (formulated in 1898)
3. Diet Pepsi (1964)
4. Mountain Dew (introduced by T.P Corporation 1984)
5. Frito – lay Fritos brand chips
6. Lays brand potato chips
7. Cheetos brand chew flavored snacks
8. Ruffles brand potato chips & Rold-Gold brand pretzels.
Pepsi Company’s success is the result of:
1. Superior products.
2. High standards of performance.
3. Distinctive competitive strategies.
4. High integrity of its work force.

PEPSI COLA COMPANY

ENTRY OF PEPSI COLA INTO INDIAN MARKET

PEPSI COLA was in India from 1956 to 1961 and left the country, as
its products were not acceptable by the Indian consumer. But recently in
1990, it re entered into the Indian market where by PEPSI FOODS
LIMITED was entered into a joint venture with PEPSI INTERNATIONAL,
TATA and VOLTAS.
PEPSI Bottlers and Producers of soft drinks buy concentrate and sell
at fixed price and add a margin rationally for its products.
The importance of marketing in any Business organization cannot be
over emphasized. Whether it is small or big organization the long term
survival of the organization depends upon the sales & channel effectiveness.

LAUNCH OF PEPSI PRODUCTS

BRAND NAME FLAVOUR DATE

PEPSI COLA APRIL 1992

MIRINDA ORANGE APRIL 1992

7UP CLEAR LEMON APRIL 1992

MIRINDA LEMON CLOUDY LEMON APRIL 1992

SODA SODA APRIL 1992

MOUNTNAIN DEW MOUNTAIN DEW DECEMBER 2002

AQUAFINA WATER

Now the company is producing 9 products as they are as follows:

1. PEPSI
2. MIRINDA
3. 7 UP
4. TEEM
5. SLICE
6. SLICE SODA
7. LEHAR
8. AQUAFINA
9. MOUNTAIN DEW
Some of these soft drinks are manufactured under different size i.e. 250ml,
300ml, 500ml, 1.5liter and 2liter.

MARKETING DEPARTMENT
At the time release of the marketing strategy it is the ever-
dynamic intelligent and shrewd director, a very well experienced and well
groomed personality with over 15 years of experience in bottling units. He is
a very good Strategist and his decisions are decisions are always the best
assets to the marketing department. He is responsible for directing products
aggressively into the market. The sales manager ably stresses the wheels of
Pepsi soft drinks in the entire territory.

Before the onset of summer two capable hands are given as

assistants to the sales managers, and in addition to that eight other sales
executives are recruited to hammer out the volatile market. Visakhapatnam
is assisted by four sales supervisors. The area managers of Vizianagaram
and Srikakulam are assisted by only the two sales supervisors each. The
management of the unit is putting extra emphasis on Visakhapatnam district.
One reason for this is that Visakhapatnam is nowadays is maintaining the
fastest growth rate in the entire Asian continents. Hence the management is
determined to catch up with the potential marketing of this powerful steel
city.
Any organization must decide how many products it would offer.
This is a recurring problem as the market changes. Changes in people’s
taste, patience, competition, growth and new technology come into
existence. The problem of this question comes when there are additional
product lines. In case of soft drinks the retail outlets may desire to buy a
variety of soft drinks preferable from the same company source i.e., the
bottling company as the retail outlet need only a small quantity of cold
drink. If the retail outlet need only a small quantity of one brand of cold
drink it becomes necessary to offer several flavor so that the sales may seem
that sufficient on each call to justify the expenses of making the call. Often
new flavors are added to the product line of cold drink to prevent a
competitor. By establishing a relation with retailers it is also desirable to sell
more than one flavor of cold drink to decrease the security of seasonal or
cyclical fluctuations.

SALES MANAGEMENT OF PEPSI

The ultimate test of the growth of the company is sales. The
oxford dictionary says sales as the exchange of commodities of money
companies which have to run in the long run have to formulate strategies,
which increase sale year by year. “The marketing concept holds that
the key to achieve its organization goals its consists of company
being more effective then competitor in creating, delivering, and
communicating customer value its chosen target market”.

Companies which would ignore this fact will face serious concern in the
future. Keeping both consumer taste and market environment companies has
to formulate strategies to increase sales.
 The company spends 20% of gross revenues on sales promotion and
on advertising in `1992-93 the sales turnover of the company was 3.25
lakh crates.
 The company is promoting (sales promotion) expenditure on local
sales promotion activities like Shop painting, Wall painting, Glow
signboards etc.
ORGANIZATIONAL STRUCTURE AND MANAGEMENT

The word organization has two common meanings. The meaning

signifies an institution or function as group and the second meaning refers to
the process of organizing the way of work which is arranged and allocated
among members often organization so that the goal of the organization can
be achieved efficiently. The organizing involves balancing the companies.

Needs both for stability on one hand and change on the other hand, an
organization structure means adopting a change or it can be a source of
resistance to change. Organization structure can be defined as “the
arrangement and relationship of the component parts and position of a
compass”. An organization structure specifies its division of work activities
that are linked.

There are mainly 5 Elements of the Organization Structure

1. Specialization of activities.
2. Standardization of activities.
3. Coordination of activities.
4. Centralization and Decentralization of decision- making.
5. Size of the work unit.
 The managing director is the head of the organization and
administration. The company is managed on day to day basis by Mr.
Haranath Reddy, Managing director

ORGANISATION STRUCTURE
MANAGING DIRECTOR

Finance Accounts Manager Administration of

Recruitment

Director of Executives

Accountant

Sales & Marketing Dept Production Department

Sales Manager

Factory Manager Accounts Production Manager Factory Manager Accounts

Shipping

Area Sales Manager (2) Production Engineer

 Fountain Pepsi Bottles soft drink Quality

Control Manager

Fountain Accountant Sales Executives 102 Distributions

Chemists

Production

SOCIAL RESPONSIBILITIES OF PEPSI CO

As a consumer products company, Pepsi co. does not have the

major environmental problem of heavy industry. Their biggest
environmental challenge is packing generated by their products.

Packaging is important to public health and a critical component

of the distribution system that delivers products to consumers and
commercial establishment. To meet both consumer demand and safeguard
the environment they recycle, reuse and reduce packaging wherever
possible. Each business is also committed to responsible use of resources
required in manufacturing their products.

MAKING OF PEPSI

Actually there’s no secret how to make Pepsi. But there is a

system and that system plus a lot of hard work is what enables Pepsi-cola
and the independent Pepsi-cola bottlers all around the world to bring us that
high quality. Consistently, refreshing Pepsi taste each time we open one of
their products. The system starts with the finest ingredients available…
1. Kola nuts
2. Vanilla beans
3. Flavor oils
4. Sweeteners

The main ingredients found in products include carbonated

water, carbohydrates, sugar, Na, potassium caffeine, aspartame, acesulfame
and purest water they can distill. Then they add the technology and all the
care they can muster to blend these ingredients.

GROWTH OF THE COMPANY

Coca-Cola originated as a soda fountain beverage in 1886 selling

for five cents a glass. Early growth was impressive, but it was only when a
strong bottling system developed that Coca-Cola became the world-famous
brand it is today.
1894…A modest start for a bold idea
In a candy store in Vicksburg, Mississippi, brisk sales of the new fountain
beverage called Coca-Cola impressed the store's owner, Joseph A.
Biedenharn. He began bottling Coca-Cola to sell, using a common glass
bottle called a Hutchinson.
Biedenharn sent a case to As a Griggs Candler, who owned the Company.
Candler thanked him but took no action. One of his nephews already had
urged that Coca-Cola be bottled, but Candler focused on fountain sales.
1899 … The first bottling agreement
Two young attorneys from Chattanooga, Tennessee believed they could
build a business around bottling Coca-Cola. In a meeting with Candler,
Benjamin F. Thomas and Joseph B. Whitehead obtained exclusive rights to
bottle Coca-Cola across most of the United States (specifically excluding
Vicksburg) -- for the sum of one dollar. A third Chattanooga lawyer, John T.
Lupton, soon joined their venture.

1900-1909 … Rapid growth

The three pioneer bottlers divided the country into
territories and sold bottling rights to local entrepreneurs.
Their efforts were boosted by major progress in bottling
technology, which improved efficiency and product quality. By 1909, nearly
400 Coca-Cola bottling plants were operating, most of them family-owned
businesses. Some were open only during hot-weather months when demand
was high.
21st Century …

The Coca-Cola bottling system grew up with roots deeply planted in local
communities. This heritage serves the Company well today as people seek
brands that honor local identity and the distinctiveness of local markets. As
was true a century ago, strong locally based relationships between Coca-
Cola bottlers, customers and communities are the foundation on which the
entire business grows.
MAJOR PRODUCTS OF THE COMPANY

Coca-Cola has been one of the most successful product launches in

our history. In 2007, it sold nearly 450 million cases globally. Put into
perspective, that's roughly the same size as our total business in the
Philippines, one of our top 15 markets. As of September 2008, Coca-Cola
Zero is available in more than 100 countries.
Coca-Cola: Coca-Cola is the most popular and biggest-selling soft drink in
history, as well as the best-known product in the world. Created in Atlanta,
Georgia, by Dr. John S. Pemberton, Coca-Cola was first offered as a
fountain beverage by mixing Coca-Cola syrup with carbonated water. Coca-
Cola was introduced in 1886, patented in 1887, registered as a trademark in
1893 and by 1895 it was being sold in every state and territory in the United
States. In 1899, The Coca-Cola Company began franchised bottling
operations in the United States. Coca-Cola might owe its origins to the
United States, but its popularity has made it truly universal. Today, you can
find Coca-Cola in virtually every part of the world.
Available in the following flavors: Cola, Cola Green Tea, Cola Lemon,
Cola Lemon Lime, Cola Lime, Cola Orange and Cola Raspberry.

MISSION
To build India's leading Beverage
Company

PepsiCo India has a Vision and Mission

which is a driving force and compels to
perform better and continuously improve in
all aspects. The mission is to be the world's
premier consumer Products Company focused on convenient foods and
beverages. We seek to produce financial rewards to investors as we provide
opportunities for growth and enrichment to our employees, our business
partners and the communities in which we operate. And in everything we do,
we strive for honesty, fairness and integrity.

OUR VISION
"PepsiCo's responsibility is to continually improve all
aspects of the world in which we operate -
environment, social, economic - creating a better
tomorrow than today "Our vision is put into action
through programs and a focus on environmental
stewardship, activities to benefit society, and a commitment to build
shareholder value by making PepsiCo a truly sustainable company.

MILESTONES OF PEPSI

2009Milestones:

 PepsiCo Russia celebrates 50th Anniversary

 Gatorade introduces limited-edition Jordan series bottles
 PepsiCo pairs with CBS to launch first-ever video player packaged in
a print ad
 PepsiCo products make 'Best Foods for Women' list in Women's
Health magazine
 EPA awards PepsiCo's Chicago office with Energy Star certification
 Pepsi kicks off its 2009 partnership with the NFL
 Smart food adds Peanut Butter Apple flavor to its lineup
 Mountain Dew introduces 'Ultra Violet,' Dew's first diet line extension
 PepsiCo sponsors National Urban League Conference
 PepsiCo reaches merger agreements with Pepsi Bottling Group and
PepsiAmericas
 PepsiCo agrees to acquire Amacoco, Brazil's largest coconut water
company
 PepsiCo launches its first lightly carbonated fruit-based beverage in
Brazil, Frutzzz
 Aunt Jemima brand celebrates 120 years
 PepsiCo is awarded several 2009 beverage innovation honors during
Drinktec trade show
 Sabritas and PepsiCo Mexico Beverages receive three Effie 'Top
Marketing Campaign' awards
 True North expands offerings with three new nut/fruit combinations—
Apple Cinnamon, Citrus Burst and Almond Cranberry
 IZZE Sparkling Juice launches at Panda Express restaurants across the
country
 PepsiCo Brazil signs pledge to change marketing campaigns to
children
 PepsiCo says it will form new bottling unit; Eric Foss, 27-year
industry veteran, will be CEO
 PepsiCo joins Healthy Weight Commitment Foundation to help
reduce obesity in the US
 PepsiCo wins U.S. EPA Smart Way Environmental Excellence award
for its leadership in conserving energy
 Sabritas and Gamesa-Quaker unveiled the first every hybrid trucks in
Mexico
 PepsiCo U.K. and Ireland were named as one of the 'Top 50 Places
Where Women Want To Work' by The Times, an influential UK
newspaper and online publication
 PepsiCo is recognized at two events for its dedication to Talent
Sustainability and dedication to Asian American employees—2009
Best Companies for Asian Pacific Americans from Asian
Entrepreneur, Top 10 Companies for Asian Americans from AMBA
 PepsiCo again named to Dow Jones Sustainability World Index and
Dow Jones Sustainability North America Index
 Propel supports Breast Cancer Awareness with its “hope. Now
propelled” website, special packaging and pink caps
 Consumer Reports magazine names Quaker Chewy 90 Calorie
Granola Bar among best during a taste test on lower-fat snack options
 United Nations Association of New York honors Frito-Lay for its
environmental efforts
 PepsiCo ranks among top companies on Corporate Social
Responsibility Index by the Boston College Center for Corporate
Citizenship
 PepsiCo signs as partner of new Meadowlands Stadium, the future
home of the New York Jets and New York Giants
 Pepsi Brazil wins the top spot for 'The Most Admired in Brazil' by
Brazilian business magazine Carta Capital
 PepsiCo named 'Corporation of the Year' by Southern Florida
Minority Supplier Development Council for its diligence,
commitment and legacy of diversity
 The European Union approved the proposed mergers of PepsiCo,
Pepsi Bottling Group and PepsiAmericas
 PepsiCo Hope delivers more than 50,000 free, healthier snacks and
breakfasts to Dallas children
 Frito-Lay receives the United Nations Association of New York's
2009 Annual Humanitarian Award in recognition of Frito-Lay's
accomplishments in environmental corporate social responsibility
 PepsiCo Russia signs the Russian Advertisers Association's pledge to
eliminate advertising to children under 12
 Pepsi wins 'Football Promoter of the Year' award in Nigeria for its
involvement with the development of grassroots football
 PepsiCo and Calbee Foods Company announce strategic alliance to
make and sell a wide range of food products in Japan
 Gamesa-Quaker's Stila brand named 'Brand of the Year' in Mexico at
the 6th Anahuac/AI Ries Marketing Awards
 IZZE brand launches new flavor of sparkling juice—IZZE Sparkling
Lime
 PepsiCo open first overseas green plant in China as part of its $1
billion investment in the country
 The Environmental Protection Agency (EPA) names PepsiCo as one
of its 2008 Water Efficiency Leaders, for its efforts of water
efficiency and environmental sustainability
 PepsiCo's Valhalla, NY R&D site receives LEED certification for its
environmental sustainability efforts
 PepsiCo International introduces first non-alcoholic, flavored malt
drink, Bario, into Saudi market
 Pepsi Jordan wins the King Abdullah Excellence Award, Jordan's
most prestigious award on a country level
 PepsiCo receives 'Corporation of Year' award from United Cerebral
Palsy in recognition of its Enable program, which champions
inclusion for people with different abilities in the workplace
 PepsiCo's World Headquarters in Purchase, NY, was named as the
winner of the 2009 Landmark Award by the American Society of
Landscape Architects and the National trust for Historic Preservation
 Frito-Lay North America announces new partnership with Terra
Cycle, a company that will repurpose Frito-Lay snack packaging into
merchandise
 PepsiCo named to Ethisphere's 'Most Ethical Companies' for 2009
 Quaker is honored with 2008-2009 Brand Laureate Heritage Award
for the 'Best Brands-Consumers' by the Asia Pacific Brand Foundation
in Malaysia
 PepsiCo Chicago is recognized by Business Week magazine as one of
the top 'green' headquarters locations in the U.S.
 PepsiCo is listed in the top 20 'Ideal Employer MBA Ranking' in
Fortune magazine
 PepsiCo China beverage group named 'Supplier of the Year' by Wal-
Mart China
 FLNA and Oberto Sausage Co. hagree to end partnership for
distribution and sales of Oh Boy! Oberto brand meat snack products
in the U.S. and Canada
 Tropicana becomes the first North American brand to be
independently certified by the Carton Trust, an organization
established to address climate change
 Sierra Mist launches new flavor—Sierra Mist Ruby Splash
 Pepsi becomes official beverage of Norwegian Cruise Lines
 PepsiCo acquires Karinto snack business in Peru
 Frito-Lay Sun Chips announces plans to begin using the first fully
compostable snack chip bag made from plant-based materials to
significantly improve the environmental impact
 PepsiCo's Mexico divisions, Gamesa-Quaker, Sabritas and Gatorade,
receive the distinctive Corporate Social Responsibility award from
Cemefi, the Mexican Center for Philanthropy, for their Talent
Sustainability efforts

 Wal-Mart Mexico names PepsiCo Beverages Mexico as the 'Supplier

of the Year'
 Aquafina, Diet Pepsi, Pepsi and Mountain Dew top the 2009 Brand
Keys Customer Loyalty Engagement Index
 Lipton launches new Sparkling Green Tea—the first-ever sparkling
beverage from the Lipton trademark
 Consumer Reports names Quaker products among its top choices at
supermarkets in their 'Great Every Day Products' article
 The U.S. Environmental Protection Agency awards PepsiCo a 2009
Energy Start Sustained Excellence Award for its energy efficiency
program
 PepsiCo announces intention to acquire its two largest anchor bottlers,
The Pepsi Bottling Group and PepsiAmericas
 PepsiCo's Tor Trix brand receives the 'Hall of Fame of Guatemalan
Brands' award from the American Marketing Association
 PepsiCo introduces three new products—Pepsi Natural, Pepsi
Throwback and Mountain Dew Throwback, all sweetened with
natural sugar
 PepsiCo Ireland is recognized as one of the '50 Best Workplaces' by
The Great Places to Work Institute
 PepsiCo Chicago Sustainability Center achieves LEED Platinum
certification from the U.S. Green Building Council, making it the fist
in the Consumer Products sector to receive the prestigious Platinum
distinction
 Frito-Lay launches $2 line for consumers seeking value
 PepsiCo India launches Nimbooz by 7Up, a beverage inspired by
India's favorite lemonade drink
 Tropicana introduces Trop50, the first orange juice with the all-natural
sweetness of Stevia
 PepsiCo is recognized for its Diversity and Inclusion program by three
leading business publications—Diversity MBA, Diversity Inc., and
DiversityBusiness.com
 PepsiCo introduces first climate-friendly vending machines to the
U.S.
 Gatorade's G2 launch topped Information Resource Inc.'s list of most
successful product launches of 2008
 Aquafina launches the Eco-Fina Bottle, the lightest weight bottle in
the market
 Frito-Lay introduces new Smart food popcorn clusters
 Doritos Super Bowl XLIII ad ranked number one by USA Today's Ad
Meter
 AMP Energy unveils three new line extensions—AMP Energy
Lightning, AMP Energy with Black Tea and AMP Energy with Green
Tea
 PepsiCo scores major league, multiyear sponsorship with both New
York Mets and New York Yankees
 Latina Style magazine recognizes PepsiCo among the leading
companies for Latinas at the Style 50 Awards and Diversity Leaders
Conference
 Spitz Brand has been named one of Canada's '50 Best Managed
Companies' by the National Post
 PepsiCo Greater China opens newest bottling plant, Chengdu Pepsi
Beverage Co. Ltd. in West China
 PepsiCo named 'Corporation of the Year' by Southern Florida
Minority Supplier Development Council for its diligence,
commitment and legacy of diversity
 Gatorade India establishes new training center for most-talented
cricket players
 Frito-Lay North America adds more than 1,000 fuel-efficient vehicles
to its fleet
 PepsiCo announces a multi-year distribution agreement with Rock star
Energy Drink
 Tostitos brand crowns six University of Texas fans as the champions
of the Tostitos 'Race for the Bowl' competition and awards them
$200,000 for their school's scholarship fund
 IZZE Sparkling Juice becomes available at Sam's Club
 Frito Lay Turkey launches its second better-for-you snack, Cheetos
Rings
 Eleven PepsiCo China bottling plants are honored as '2008 Enterprise
of Excellence in Water Saving' facilities at the 2008 Chinese
Beverages Industry Association annual meeting
 • CONCEPTUAL STUDY ON CUSTOMER PERCEPTION
• Defining Customer value and perception
• Nature of customer perception
• Objectives of customer perception
• Attracting and retaining customers

Why Survey your Customers?

The following are all compelling reasons to survey your customers:

• Customer Loyalty: Understand the magic – what they like about you
and what they dislike. Knowing what keeps them coming back over
and over again is the secret to your success. Loyalty is the magic
when they start talking about you and referring you to others.

• Customer satisfaction: Satisfied customers are those who do not

have outstanding negative issues concerning you on their mind. This
 doesn’t mean everything has always been perfect. Sometimes things
may not have gone all right. In all such situations you gave your
customers a chance to talk to you. Sympathetic listening to customers
is essential. Online surveys provide a way where customers get a
chance to get their side of the story out without being interrupted. A
second essential is follow-through. Proper tools of analysis will help
you segment your customers into different categories based on what
you need to do in return.

• Effective Communication: By inviting customers to talk to you and

through careful design of your survey you can effectively inform your
customers about things they may not know or remind them of
important changes or innovations in your organization? This is clever
because customers will read your survey more carefully than most
other communication you send them.

• Spotting Trends: Beyond understanding the drivers behind loyalty

and satisfaction of your customers, you can benefit from the wisdom
of the masses by asking them for their ideas and spotting patterns in
their feedback. Spotting such trends ahead of competition could offer
you a significant advantage.

Customer Satisfaction and Customer Loyalty are sometimes not

clearly distinguished by practitioners of customer surveys. While customer
satisfaction refers to the customer’s view of a process or product you
provide them, loyalty captures how a customer feels about the relationship.
Not all satisfied customers are loyal customers. Loyal customers may
sometimes be dissatisfied but they draw from their history they have with
you to overcome the adverse impact of an occasional dissatisfactory
experience.

As you design your customer survey, it helps to know what you are
measuring. A focused questionnaire will provide higher value. Both
satisfaction and loyalty should be investigated but knowing that they are
different will help you focus and separate these studies.

Mode refers to how you reach your customers to invite them to your surveys
and how they return the completed survey to you.

To send invitations, your options include:

1. In-person meeting
2. Telephone

3. Hand-delivered written invitation

4. Direct mail

5. Link/attachment/note in email

Irrespective of the method of invitation, customers may register their

responses using any of the following modes:

1. Face-to-face interview
2. Telephone

3. Hand-delivered written responses

4. Written responses delivered via direct mail

 5. Faxed written responses

6. Written responses sent via email/email attachment

Obviously, the most efficient means of doing this may be to deploy surveys
online and invite your customers via email. However, you may not have
email addresses for everyone. It is tempting to post a link on your website
and invite every visitor to your website to participate in the survey. The
obvious problem with this approach is loss of control over who completes
they survey. Such loss of control leads to GiGo (Garbage In Garbage Out) –
a fancy way of saying you can’t trust the results of your survey since the raw
data is questionable.

Even if you don’t have an email address for every customer, it is the rare
customer who may not have internet access – particularly in the US, Canada
and Western Europe. So even if invitations to participate in the survey have
to be sent via direct mail, it would be vastly more efficient to invite them to
a website to complete the survey instead of sending back paper surveys that
need to be scanned before data can be analyzed.

Some common mistakes include:

1. Poor timing: Know your customer’s business cycle. People will not
respond to your surveys when they are going through “crunch” time.
Similarly, it may matter whether your survey was deployed on a
weekday or weekend since the email reading patterns of business
customers and consumers are different on those days. You should
time your email invitation to reach them at a time when they are most
likely to have free time.
2. Failure to speak their language: Customers should not be burdened
with jargon they are not intimately familiar with. Questions should be
precise and in simple language. Consider deploying the survey in
languages besides English whenever there is a chance that other
languages may be primary to a significant fraction of your customers.

3. Surveys that are too long. If your survey runs longer than 10
minutes, you should

a. Expect a poor response rate

b. Advise your customers in advance (instead of them discovering

it as they keep going through your survey hoping it would end
soon).

c. Have very good reasons why you couldn’t break that survey
into two different surveys to be deployed separately.

4. No follow through: Every survey builds expectations. If you don’t

intend to do anything about issues most of your customers are likely
to raise about your organization, consider not conducting the survey.

5. Invites that never reach your customers: Increasingly, spam filters

catch survey invites sent via email. Customers can’t respond to
surveys they never received, no matter what the incentive for
participation. Ask your online survey provider if they have the ability
to avoid the pitfalls of spoofed email which is most likely to end up in
spam filters.
 6. No Institutional Memory: Before you deploy your net customer
survey, spend some time understanding what issues were explored in
prior customer surveys. It may benefit the organization to have a
“common section” in the survey that helps you track customer’s
perception of your organization in some areas over time and also
incorporating some new questions on issues of the day.

HOW TO DO CUSTOMER SURVEY:

The word customer isn’t necessarily someone in a different

organization who pays you for your goods or services. A broader definition
has evolved whereby anyone whom you provide a service, solution or
product and whose perception of you impacts your future success is a
customer. To a company, all its employees are also its customers. To a
company’s IT department, every computer user is a customer. And then, of
course, there is the traditional customer, people who pay you money for a
product or service.

The purpose of Customer Surveys is to help you discover how to

make yourself more valuable to the people you serve. Successful
organizations offer their customer the opportunity to provide feedback at and
around every point of interaction. Such customer feedback is the basis of an
improvement cycle in place at the most successful organizations.

Customer surveys are best when they are targeted. Targeted surveys
explore a well-defined issue. Such focus helps investigate the issue fully
while still keeping the survey short and interesting to survey participants.
Equally importantly, the organization’s leadership must be committed to
taking action based on the findings. Without such focus, surveys can become
too broad, lengthy and the multitude of issues may dilute any actionable
insight.

Customer surveys can be event-based (around an interaction with

customer, e.g. one week after a purchase) or calendar-driven (once every
year). Good surveys will enhance customer loyalty and poorly designed
surveys can deepen the negative perception customers may have (in addition
to not offering any valuable insight). Incentives for participating in survey
can boost response rates but the most valuable reward to your customers
may be to address the issues they identify in the survey.

If multiple departments in your organization survey your

customers, you should worry about survey fatigue and incorporate a Touch
Rules Manager. Survey fatigue refers to the situation when one person feels
over-surveyed by your organization and as a result stops responding to
survey requests. Touch Rules Manager is a technology solution that
automatically ensures you’re not surveying any one person too frequently
and are able to tap into a diverse set of customers for feedback.

How to avoid Over-Surveying your Customers

Over-surveying dilutes the value of your surveys. Each “touch” –

every time a customer is contacted with a request to submit their feedback –
should be carefully thought through in light of current and future business
needs. The objective of each survey should be clearly articulated and used to
set proper customer expectations. Setting proper expectations on what you
will do with survey findings and then following through communicates a
positive message about your organization.

There are several things you can do to ensure your organization does not
over-survey its customers:

1. Think Organization-wide: It is important to start by identifying all

the customer surveys conducted by your organization. You may save
time and money by replacing fragmented and disparate survey
initiatives with coordinated studies that ensure all stakeholders get the
information in they need in a timely fashion. Such an exercise should
eliminate duplication of effort and streamline your surveys. Equally
importantly, your customers will appreciate getting fewer surveys at
times that are more convenient to them while still being able to share
all essential feedback with you. To facilitate such organization-wide
thinking, Zarca Interactive provides a Survey Calendar feature which
helps organizations plan and track their survey initiatives.

2. Diversify Survey Invitees and Respondents: This is to help you

uniformly distribute the number of surveys you send out. Make sure
no single customer gets more than a number of surveys in a defined
period of time. Also, reward survey respondents by not sending them
another survey within a defined period. Zarca Interactive helps you do
such “touch rules management” automatically. The computer keeps
track of all invitations and responses and you simply instruct it to
determine invitee list based on who has received how many
invitations as well as who has responded to recent surveys.
Survey Training and Support:
Training on Use of Zarca’s Solution
Training sessions using Web conference are offered daily and led by a Zarca
Solution Expert. Comprehensive training on use of our solution is provided
by breaking these into modules on Survey Design, Survey Deployment,
Reporting and Analysis and Account Administration. We understand that
you may need refresher trainings and so do not restrict the number of times
customers may attend training.

Strategic Account Management

During the course of your survey projects you can call upon the expertise of
your assigned Strategic Account Manager (SAM). Your SAM will be
equally as committed to your success with your survey project. She will
offer you assistance in any of the following areas upon request:

• Overall corporate survey strategy

• Strategy/approach with respect to a new project

• Review of your existing questionnaire for any obvious and significant

departure from Best Practices

• Assistance with design of a new questionnaire

• Best season, time, day of launching a study

• Consideration of alternate modes of survey deployment Training

Support
Support is provided by our team of US-based Solution Specialists via phone
or email during normal business hours. Solution Specialists are well-versed
in the operation of our platform and they can assist you should you
experience difficulties or need refresher on how you may accomplish a
specific task. If your questions need the input of a Strategic Account
Manager, you will be directed to one by your Solution Specialist.

Survey Educational Seminars

Effective surveying is both an art and a science. Add to that the dynamics of
the Internet where acceptable behavior and practices quickly become taboos
(and the reverse is also certainly true), and you can quickly see why our
customers asked us for a Monthly Educational Seminar. This 30-45 minute
educational seminar is prepared by a professional with experience and
expertise in online surveys. Course curriculum is developed in consultation
with clients and presents the latest trends and recommendations on how to
be more effective with surveys. Educational seminars are provided as a free
service to all customers.

Advantages and Disadvantages of the Survey Method

Strengths:

• Surveys are relatively inexpensive (especially self-administered

surveys).
 • Surveys are useful in describing the characteristics of a large
population. No other method of observation can provide this general
capability.

• They can be administered from remote locations using mail, email or

telephone.

• Consequently, very large samples are feasible, making the results

statistically significant even when analyzing multiple variables.

• Many questions can be asked about a given topic giving considerable

flexibility to the analysis.

• There is flexibilty at the creation phase in deciding how the questions

will be administered: as face-to-face interviews, by telephone, as
group administered written or oral survey, or by electonic means.

• Standardized questions make measurement more precise by enforcing

uniform definitions upon the participants.

• Standardization ensures that similar data can be collected from groups

then interpreted comparatively (between-group study).

• Usually, high reliability is easy to obtain--by presenting all subjects

with a standardized stimulus, observer subjectivity is greatly
eliminated.

Weaknesses:
 • A methodology relying on standardization forces the researcher to
develop questions general enough to be minimally appropriate for all
respondents, possibly missing what is most appropriate to many
respondents.
• Surveys are inflexible in that they require the initial study design (the
tool and administration of the tool) to remain unchanged throughout
the data collection.

• The researcher must ensure that a large number of the selected sample
will reply.

• It may be hard for participants to recall information or to tell the truth

about a controversial question.

• As opposed to direct observation, survey research (excluding some

interview approaches) can seldom deal with "context."

Strategic Objectives of Customer Surveys:

There are basic functions that all customer surveys should accomplish in
order for a company to fully optimize their service.

Evaluate Performance: Like a job evaluation, the customer survey should

provide a clear indication of how a company performed in regards to
customer satisfaction, employee training, knowledge, and service. This may
include such questions as if the customer plans to return to the establishment
and why or why not. The customer may have had a wonderful experience
but doesn't plan on returning simply because they may live in another part of
the country or world and their discussion not to return having nothing to do
with the type of service they received.

Diagnosis: The role the customer survey is to understand what it is that

does or does not work well for your customers. Customer surveys are not
intended as a means of punishment for your employees. Surveys should
provide a diagnostic map from which you can adjust business processes
and/or product designs and should be a resource used purely for
understanding and providing you with customer feedback.

Many companies have 1-800 lines where customers can call and voice
their opinions on products, and services. By providing customers this
service, the organization can catch problems and quickly resolve them, with
the main goal being to quickly solve any and all problems before they
escalate. In addition, the 1-800 numbers are also used to report positive
behaviors and action from employees. One major retailer reported that one
year after initiating their 1-800 number, 98% of all calls were to report what
the company was doing right instead of what they were doing wrong. Again,
surveys should diagnosis what is working as well as what isn't working.

Capturing Customer Data: Another purpose of customer surveys is to

capture accurate customer information. With so many people being transient,
organizations need a way of compiling and maintaining up-to-date names,
addresses, email listings, and phone numbers of their customers. This
information makes it possible to limit the number of mailing that are sent out
to current customers as well as insuring that valuable customers receive
rewards points and promotional information.
 This information does not have to be limited to only contact
information. It can also include contact preferences, lifestyle, as well as
birthdays and anniversaries. However, with privacy becoming a volatile
issue, what information you collect on your customers, you must never sell
this information or provide it to another party without first receiving written
consent from your customers. When customers realize that their information
is secure with your company, they will be more receptive in providing you
with information.

Marketing Strategies: Another function of customer surveys is to say

'thank you? For your purchase or using our product or service. The main
purpose of this is to communicate the corporation's appreciation for the
customer in selecting your business, product, or service. Many times this
simple act will lead to repeat purchases from the customer. This is basically
a retention strategy.

Putting it all together: It is not necessary for a customer survey to have

each of these functions in place at the same time. For example, it may be
necessary to gather diagnostic information on a quarterly basis or once you
have implemented a new product or service to understand how it is being
received by your customers. Whereas you may want to continually run, a
performance appraisal survey and reward employees and branches that
receive exception marks. On the other hand, if collecting customer
information is not a priority, then your corporation may want to dismiss this
type of survey.
 Going back to the hotel, which I stayed at, by the clerk's actions I can
only assume that the corporation used their surveys as a way of discovering
problems, then correcting these problems by disciplining their employees
instead of using it as a means for rewarding branches and employees for
excellent service. This negative action will eventually breed distrust and
discontent among their employees. Discontent employees will only mean
discontent customers. Happy, enthusiastic employees translate into happy
customers.

FREMONT DINNER TRAIN HISTORY:

Fremont Dinner Train, a for-profit corporation, was founded by a group of

eight investors in August of 1988. Negotiations were consummated with the
Eastern Nebraska Chapter of the National Railway Historical Society to
operate on their tracks running from Fremont to Hooper, Nebraska
(representing fifteen miles of track). The agreement reached then carried
forward, calls for the Historical Society doing business as the Fremont and
Elkhorn Valley Rail Road to provide an engine and crew to pull our dining
cars.

Actual operations began on October 22, 1988 with our car Elkhorn River,
while our second car Maple Creek was renovated. Virtually all of the
remodeling was accomplished by local trades people and it joined the train
by December 15, 1988.

Over the course of the next two years, main-line sound and a closed
circuit television/VCR/video system were installed. Additional refinements
have continued to be made to these two cars both in decor and various
systems. A new power car (N&W #410) was purchased in 1990 to provide a
more adequate power source and allow potential future growth.

By mid-February 1997, a third dining car, Rose Creek, (another Canadian

National and Via Coach) entered our service with an additional 56 seats and
a second galley.

Within a month former Milwaukee Road car, #193 Fox River was added
primarily as a storage car. Currently in reserve, it was resurrected from a
fire-gutted shell. Fox River was a former first-class parlor car.

Fontanelle Springs, (Ex CN/Via) joined the fleet officially in December of

1999. It is essentially a dual service car technically a lounge and diner.
With a seating potential of 36 seats the train officially has a capacity of 192
seats if the lounge (bar) area, which is now the main service center of the
train.

Added in late June 2000, our newest power car, Clear Creek, formerly a
Milwaukee Road Baggage-Dorm car replaced Fox River. A portion of the
car is used for our new generator; the other part is used primarily for
storage. Eventually, the small rooms in Clear Creek may be used for private
dining rooms.

Over the years, a number of entertainment formats have been added

including: Murder Mysteries, Melodramas, USO dinner shows, Wine-tasting
dinners, theme occasions, holiday runs, period movies, and even an
occasional dance floor.
• Practical study on Customer perception

♦ Analysis and Interpretation

1. Which drinks are available in shop.

Pepsi : 67

Coke : 60

Both : 73

80

60

40 Series1
20

0
pepsi coke both

INTERPRETATION:

From the survey, it is revealed that Pepsi(67%) is successful

in making its product available in almost every corner of the cities where
as coke(60)% is lagging behind a little to coke and both are available at
73%.
2. TOP BRANDS PURCHASED BY CONSUMER IN SHOP
PEPSI BRANDS COKE BRANDS

7UP 59 SPRITE 21

SLICE 44 MAAZA 8

PEPSI 11 FANTA 3

PEPSI BRANDS

60

50

40

30 Series1

20

10

0
7UP SLICE PEPSI

INTERPRETATION:

Among all the products of Pepsi, the products 7up

(59%), has hugest sales and slice (44%) has second highest sales and
Pepsi(11%) of sales.
 COKE BRANDS

25

20

15
Series1
10

0
SPRITE MAAZA FANTA

INTERPRETATION:

Among all the products of coke, the products sprite

(21%), has hugest sales and maaza (8%) has second highest sales and
fanta (3%) of sales.
3. Your sales in bottles per day.

Pepsi : 52
Coke : 48

52

51

50

49 Series1

48

47

46
Pepsi Coke

INTERPRETATION:

Among the survey, it is observed that Pepsi sales (52) per

day, while coke sales(48) per day.
 4. DO YOU REQUIRE SERVICE BY DRINK COMPANY AS
FOLLOWS.

DAILY : 174

ALTERNATEDAYS : 23

WEEKLY TWO TIMES :3

180
160
140
120
100
80 Series1
60
40
20
0
Daily Alternate Weekly
days two times

INTERPRETATION:

It is revealed that from the survey that the company’s

frequency of promotional activities is timely and beneficial.
5. ARE YOU SATISFIED WITH PEPSI SERVICE

GOOD : 131

SATISFATION : 45

BAD :0

140

120

100

80
Series1
60

40

20

0
Good Satisfaction Bad

INTERPRETATION:

Most of the retailers said that the service provide the Pepsi
company is good (131%) and satisfaction at (10%), bad at(0%).
6. ARE YOU SATISFIED WITH COKE SERVICE?

GOOD :115

SATISFIED :26

BAD :0

120

100

80

60
Series1
40

20

0
GOOD BAD
SATISFIED

INTERPRETATION:

Most of the retailers said that the services provided the

coke company is good (115%), satisfied (26%) and bed (0%).
7. TRADE SCHEME OFFERED BY WHICH COMPANY ARE GOOD TO
YOU.

PEPSI : 108

COKE : 86

120

100

80

60 Series1

40

20

0
PEPSI COKE

INTERPRETATION:

It is found that most of the retailers knew about the trade

schemes by the company. The again proves that the company is maintaining
effective communication.
8. CONSUMER PROMOTIONS OFFERED BY WHICH COMPANY ARE
BEST.

PEPSI : 95

COKE : 57

100
90
80
70
60
50 Series1
40
30
20
10
0
PEPSI COKE

INTERPRETATION:

It is revealed from the survey that the company’s

frequency of promotional activities is good and bad.
9. DO YOU FEEL TV ADVARTISEMENTS BY DRINK COMPANIES
HELP IN MORE SALE OF DRINKS?

YES : 108

NO : 92

110

105

100

95 Series1

90

85

80
YES NO

INTERPRETATION:

It is found that the product is sales in the market; most

people said that TV advertisement is important.
10. HOW IS SALE OF DRINKS THIS YEAR Vs LAST YEAR IN YOUR
SHOP.

Good : 197

Less :2

Same :1

200
180
160
140
120
100 Series1
80
60
40
20
0
Good Less Same

INTERPRETATION:

It is revealed from the survey, the drinks sales is good

comparing to this year Vs last year.
11. WHAT IS PERCENTAGE OF JUICE BASED SOFT DRINKS SALES
IN YOUR SHOP.

a) 30% : 60

b) 20% : 116

c) 10% : 24

12000%

10000%

8000%

6000% Series2
Series1
4000%

2000%

0%
1 2 3

INTERPRETATION:

It is revealed from the survey, the more sales 20% of juiced

based soft drinks sales.
12. WHAT IS THE PERCENTAGE, CONTRIBUTION OF SOFT DRINKS
BUSINESS IN YOUR TOTAL SHOP BUSINESS?

ABOVE 50% :2

ABOVE 30% : 106

ABOVE 10% : 92

120

100

80

60
Series1
40

20

0
ABOVE ABOVE ABOVE
50% 30% 10%

INTERPRETATION:

It is revealed from the survey, in the total outlets soft drinks

sales is high compared to total shop business.
13. SOFT DRINKS ARE CONSUMED BY MOSTLY.

MALE :0

FEMALE :0

BY ALL PEOPLE : 199

YOUTH :1

200
180
160
140
120
100
80 Series1

60
40
20
0
MALE FEMALE BY ALL YOUTH
PEOPLE

INTERPRETATION:

It is revealed from the survey, in the total outlets more

consumed by all people.
14. HOW DO YOU (RETALIER) BUY SOFT DRINKS (PEPSI AND
COKE)

CASH : 200

CARD :0

200
180
160
140
120
100 Series1
80
60
40
20
0
CASH CARD

INTERPRETATION:

It is revealed from the survey, the total outlets buy soft

drinks with cash.
15. WHAT IS THE PERCENTAGE OF PET BOTTLES TO YOUR
TOTLE SOFT DRINKS SALES?

ABOVE 5% : 13

ABOVE 3% :21

ABOVE 1% : 87

90
80
70
60
50
40 Series1
30
20
10
0
ABOVE 5% ABOVE ABOVE
3% 1%

INTERPRETATION:

It is revealed from the survey, the pet bottles sales above1%

compared to total soft drinks sales.
16. Preference of Visi Coolers in the Market.

Pepsi : 40

Coke : 30

DOC : 30

40

35

30

25

20 Series1
15

10

0
Pepsi Coke DOC

INTERPRETATION:

It is revealed from the survey, the total outlets 40 Pepsi Visi

collars in the market.
17. Type of Outlet in the Market.

Convenience : 35

Grocery : 12

Bar :3

35

30

25

20
Series1
15

10

0
Convenience Grocery Bar

INTERPRETATION:

Out of the total outlets that were surveyed majority of

them where convenience (35%) stores followed by grocery (12%) and very
few bar(3%).
• Summary and Suggestions

♦ Findings
♦ Summary & Suggestions
♦ Bibliography
 SUMMARY

Hot summer is so the time when the battle of bottles reaches the peak
every year the world soft drink industry is headed by two giants, coca-cola
leads market share Pepsi with about 30% and few second their brand capture
a combined 20% of the market share. The Indian soft drink industry is
unique it itself. Its diversities are they cultural, regional and climate or in the
faster pose a stiff challenge to any soft drink manufacturer.

The success of the manufacturer depends on the ability to spread his

products for the wide and market to accessible to consumers indistinct
places. The increase in competitions mudding it very difficult to find
dealers, to stock the products with so many new products available, there is
battle for shelf space. In order to get the large slice of the market share, the
manufactures are to control franchise freedom. It is the bottler along with the
retailer which is actually implementing the decision of the company. The
success depends on how well the bottles do in that territory allotted him.

The main objective of the study is to evaluate the marketing

performance of PBPL ltd. with that of its competitors and also to know the
range of availability of Pepsi soft drinks to the consumers. The study has
been done in the form of retail store survey by which the information was
collected with well structured questionnaire and Perform by interviewing the
retailers and examining the outlet. A sample of 106 outlets was taken for the
study in Visakhapatnam.
 The major raw materials required for manufacturing the various
brands of soft drinks are flavor essence or concentrate, sugar, water etc,
concentrate will be supplied by Pepsi foods ltd. Sugar is purchased from
wholesale sugar market. The water requirement is met by own bore wells
and other raw materials are brought from local market.

In the soft drink industry in which the success of any company largely
depends upon the capability of marketing its products. Every company in the
industry manufacturers the flavors and there is no much difference in the
taste of the product. The difference will be generally in positioning of the
product and creating an image in the minds of the consumer. For this
company has to concentrate on all marketing mix elements i.e. product,
price, promotion and distribution.

In the soft drink industry in India there is so much of competition

amongst the major competitors. The price of bottle of all major companies is
almost same. The price of the soft drink is influenced many factors and costs
which are involved. However, the final price for the ultimate consumer will
be set by the main company i.e. manufacturer of the concentrate.

The PBPL is doing well in promoting the sales of its products. PBPL at the
local sponsors mini exhibitions, fetes, cultural activities, tussahs, food
festivals and school/college celebrations etc. PBPL is also introducing some
of the schemes like giving gifts to best selling retailer ad also doing trade
related sponsorships.
 The company is using different levels of channels for the different
territories according to their convenience and to serve the people in a
different way. The company has its own sales force to distribution to retail
outlets in Vizag city market. But for district market company will send the
stock to the wholesaler who will further distribute to the allotted retail
outlets.

The company will set target to the sales force for each and every
month for each and every zone. The target will be set by taking into
consideration the season of the particular month and they sales of that
in the previous . With the above brief summary , it is evident that the
company is rapidly growing to become the market leader in the present
economic situation and this is mainly due to the superiority in the
advertising and quality of its soft drinks and its great appeal on the
younger generator.
 FINDINGS

 Availability of Pepsi outlets are very less compared to Coke not even
50% of total coke outlets.

 Negligence towards retailers is high in some areas. Some retailers are

rejecting to sell Pepsi only because of irresponsible behavior in the
management.

 Pepsi is competing well with Coke by executing some strategies like

providing some schemes, offers, coupons and attracting consumers.

 Outlet in which it is locating and the area which is it is belong to

influencing the sales of the product.

 Promoting and advertising of the product is effective and expensive in

Pepsi. Coke is already leading market now so they don’t much
concentrate on this.

 Usage of Pepsi Visi Coolers is up to the mark compared to the status

of the outlets which it owns.

 In some areas in Srungavarapukota the Pepsi service is very poor

when compared to Coke service.

 Most of the consumers prefer soft drinks because of better taste and to
quench out their thrust. But now-a-days due to the changing food
habits consumers have started adding soft drinks.
  Preference of Coke drinks by the retailers and consumers is very high
in number compared to Pepsi by considering some factors like Taste,
Quality, Trust, Goodwill of the company etc.

SUGGESTIONS

 Care should be taken to ensure that coke drinks are not present in Pepsi
coolers.

 Retailer should be aware of all the promotional activities of Pepsi.

 Continuous market research should be conducted by Pepsi in order to

update the information.

 Brand and organization image should be created by providing proper

service to the retailer throughout the period of time.

 In house, computerization may be useful to improve the performance of

the company and gain competitive edge.

 More emphasis on retail outlets which were not covered in the city,
would improve marketing performance.

 More concentration towards customer and retailers complaints would

lead to more customer satisfaction.

 More awareness programs to make the customers feel that there are no
toxicants that are harmful to the health of humans.

 Company has to increase the quality and service to the retailers.

 QUESTIONNAIRE

1. Pepsi Company drinks available in shop.

a. Pepsi b. Mirinda orange c. mirinda lemon d. 7up

e. Tropicana twister f. Mountain dew g. slice h. evervess sc

i. diet Pepsi j. Aquafina water k. nimbooz l. total ticks

2. Coke Company drinks available in shop.

a. Thumps up b. fanta c. coca cola d sprite

e. kinley water f. Kinley soda g. maaza h. limca

i. diet coke j. minuate maide k. Nimbooz fresh l. total ticks

3. Top brands purchased by consumer in your shop.

1st.__________ 2nd.____________

3rd___________ 4th._____________

4. Your sales in bottles per day_____ bottles.

a. Pepsi bottles sold_________

b. Coke bottles sold_________

5. Do you require service by Drinks Company as follows

a. daily
b. alternate day

c. weekly 2times

6. Are you satisfied with Pepsi service?

a. Good
b. Satisfactory

c. Bad

7. Are you satisfied coke service?

a. Good
b. Satisfactory

c. bad

8. Trade schemes offered by which companies are good to you?

a. Pepsi
b. Coke

9. Consumer promotions offered by which companies are best, what is

Pepsi present consumer promotion?

a. Pepsi
b. coke

10. Do you feel TV advertisements by drink company’s help in more sale

of drinks?
a. Yes

b. No

11. How is sale of drinks this year Vs last year in your shop?

a. Good

b. Less

c. Same

12. What is percentage of juice based soft drinks sales in your shop?

a. 30%

b. 20%

c. 10%

13.Condition of Pepsi Visi cooler?

a. Full of Pepsi drinks

b. Full of Pepsi + coke drinks

c. Pepsi drinks + other packs

14.Why do you keep other products in Pepsi cooler?

a. Electricity bill

b. No own cooler
15.What is the percentage contribution of soft drinks business in your
total shop business?

_________________________

16.What are the other company soft drinks available in your shop?

a. Parle

b. Nirula

c. Maid.delmanto

d. Rc cola

17. Soft drinks are consumed by mostly?

a. Male

b. Female

c. By all people

d. Youth

18.How do you (Retailer) buy soft drinks?

Pepsi 1) cash 2) card

Coke 1) cash 2) card

 19.What is the percentage of PET bottles to your total soft drinks sales?

_______

\
 BIBILOGRAPHY
REFERANCE
PHILIP KOTLER
MARKETING MANAGEMENT

S.A.CHUNAWALLA
MANAGEMENTOFADVERTISING

NEWS PAPERS

THE HINDU

INDIAN EXPRESS

WEBSITES

www.pepsi.com