Sales Data

Analysis
As a business analyst, you’ll likely work with sales data because it plays a crucial role in the
commercial success of your company. Whether that means understanding current sales or
forecasting future sales, this is a key skill that employers look for. Sales records usually
contain information on a company’s customers, customers’ sales orders, payment history,
product categories, etc. This data allows you to analyze your customers’ demographics,
which products they buy, when they buy, how much revenue they generate, how well they
respond to promotions, and more.

Janet Iligan Loresto

BSBA-MM 1

Juliet E. Bondad

Professor
Rationale

The Beverage Industry is a developed segment and incorporates organizations that

advertisenon-alcoholic and alcoholic things. It comprises two significant categories and eight
sub-gatherings. The non-alcoholic category includes soda pop syrup fabricate, soda pop and
water bottling and canning, organic product juices packaging, canning and boxing, the coffee
business, and the tea business. Alcoholic beverage categories incorporate fine spirits, wine,
andfermenting. Generally, a large number of these refreshments, such as wine and tea have
beenaround for a considerable number of years. The business has grown distinctly in the
course of the recent hundreds of years.

Background of the project

1.1 Sales Data Analysis

As a business analyst, you’ll likely work with sales data because it plays a crucial role in the
commercial success of your company. Whether that means understanding current sales or
forecasting future sales, this is a key skill that employers look for. Sales records usually
contain information on a company’s customers, customers’ sales orders, payment history,
product categories, etc. This data allows you to analyze your customers’ demographics,
which products they buy, when they buy, how much revenue they generate, how well they
respond to promotions, and more.

How to Build Your Project:

You can take an available dataset from the internet of a particular business or company
(local or international). Then, analyze sales data from various aspects. The main objective
here is to extract key performance indicators (KPIs) that will enable you to make data-driven
decisions and improve your company’s business. Below are some questions you can try to
answer in a project on sales data analysis.

1. What is the total number of sales?

2. What is the average sales per month?

3. What is the monthly revenue?

4. What are the key demographics of the customers?

5. Which market (country) generated the most sales on average?

6. What were the profits by segment?

7. When were the best- and worst-selling periods?

8. Which products sell best?

9. Which products should the company order more or less of?

10. How should the company adjust its marketing strategies to VIP customers and less-
engaged ones?

Description of the business/company

Coca Cola is the world’s largest beverage company, with over 500 soft drink brands
sold in more than 200 countries. Every day, the world drinks more than 1.9 billion servings of
their beverages including Coke, Diet Coke, Fanta, Sprite, Dasani, Powerade, Schweppes,
Minute Maid and more. Given the size of its operations, Coca Cola generates a substantial
amount of data across its value chain – including sourcing, production, distribution, sales and
customer feedback. Over the years, the company has embraced Big Data to drive its
business strategic decisions.

The Coca-Cola Company, established in Georgia in 1892 and consolidated in 1919, is

theworld's most prominent beverage organization. It claims licenses and markets over 500
non-alcoholic refreshment brands, fundamentally shining refreshments yet, besides an
assortment of still refreshments, for example, waters, upgraded waters, juices, and juice
drinks, prepared to-drink teas and espressos, vitality and sports drinks. Moreover, the
business possesses andadvertises four of the world's leading five non-alcoholic shimmering
drink brands: Coca-Cola,Diet Coke, Fanta, and Sprite. Completed drink items bearing the
organization's brand names,sold in the U.S. since 1886, are currently sold in more than 200
nations.Coca-Cola makes its marked beverage items accessible to purchasers worldwide
utilizing asystem of organization claimed or - controlled packaging and dissemination
activities just asfree packaging accomplices, merchants, wholesalers, and retailers — the
world's most giantdrink circulation framework. Refreshments bearing brand names claimed
by or authorized toK.O. represent 1.9 billion of the roughly 57 billion servings of all drinks
devoured worldwideconsistently.

According to a Forbes article, Coca Cola was one of the first globally recognized
brands, outside of the tech sector, to embrace Big Data. In 2012, its chief big data officer,
Esat Sezer, said “Social media, mobile applications, cloud computing and e-commerce are
combining to give companies like Coca-Cola an unprecedented toolset to change the way
they approach IT. Behind all this, big data gives you the intelligence to cap it all off.” More
recently, Greg Chambers, global director of digital innovation, has said “AI is the foundation
for everything we do. We create intelligent experiences. AI is the kernel that powers that
experience." It is quite clear that data analytics and AI have been woven into the fabric of
Coca Cola In a world that is increasingly dynamic, with changing customer behavior, Coca
Cola is betting on Big Data to remain relevant.

In the United States, Coca-Cola was ranked as the top carbonated soft drink (CSD) company
with a volume share of almost 45 percent. PepsiCo, Coca-Cola’s largest competitor,
controlled about a quarter of the American market. PepsiCo is a leading multinational food
and beverage company, which also produces a large number of well-known household
brands, such as Lays, Mountain Dew, and Lipton Iced Tea.

Presentation of data
Annual/quarterly revenue

CocaCola annual/quarterly revenue history and growth rate from 2010 to 2022. Revenue can
be defined as the amount of money a company receives from its customers in exchange for
the sales of goods or services. Revenue is the top line item on an income statement from
which all costs and expenses are subtracted to arrive at net income.

CocaCola revenue for the quarter ending December 31, 2022 was $10.125B, a 6.98%
increase year-over-year.

CocaCola revenue for the twelve months ending December 31, 2022 was $43.004B, a
11.25% increase year-over-year.

CocaCola annual revenue for 2022 was $43.004B, a 11.25% increase from 2021.

CocaCola annual revenue for 2021 was $38.655B, a 17.09% increase from 2020.

CocaCola annual revenue for 2020 was $33.014B, a 11.41% decline from 2019
Analysis and interpretation of data

Revenues: Net revenues grew 10% to $11.1 billion, and organic revenues (non-GAAP) grew
16%. Organic revenue (non-GAAP) performance was strong across operating segments and
included 12% growth in price/mix and 4% growth in concentrate sales.

Margin: Operating margin, which included items impacting comparability, was 27.9% versus
28.9% in the prior year, while comparable operating margin (non-GAAP) was 29.5% versus
30.0% in the prior year. Comparable operating margin (non-GAAP) compressed as strong
topline growth was more than offset by the impact of the BODYARMOR acquisition, higher
operating costs, an increase in marketing investments versus the prior year, and currency
headwinds.

Earnings per share: EPS grew 14% to $0.65, and comparable EPS (non-GAAP) grew 7% to
$0.69. Comparable EPS (non-GAAP) performance included the impact of an 11-point
currency headwind.

Market share: The company gained value share in total nonalcoholic ready-to-drink (NARTD)
beverages.

Cash flow: Cash flow from operations was $8.1 billion year-to-date, a decline of $1.2 billion
versus the prior year, as strong business performance was more than offset by the impact of
cycling the timing of working capital benefits in the prior year and higher 2021 annual
incentives in the current year. Free cash flow (non-GAAP) was $7.3 billion, a decline of $1.2
billion versus the prior year.

Europe, Middle East & Africa

Unit case volume declined 1%, as strong growth in Spain, Germany and France was more
than offset by a decline due to the suspension of business in Russia.

Price/mix grew 19%, driven by pricing actions across operating units along with favorable
channel and package mix due to cycling the impact of the pandemic in the prior year, in
addition to inflationary pricing in Turkey. Concentrate sales were 2 points ahead of unit case
volume, largely due to the timing of concentrate shipments.

Operating income grew 2%, which included items impacting comparability and an 18-point
currency headwind. Comparable currency neutral operating income (non-GAAP) grew 19%,
primarily driven by strong organic revenue (non-GAAP) growth across all operating units,
partially offset by higher operating costs and an increase in marketing investments versus
the prior year.

The company gained value share in total NARTD beverages with share gains across all
categories.

Latin America

Unit case volume grew 5%, with strong growth across nearly all categories. Growth was led
by Mexico, Brazil and Argentina.
Price/mix grew 12%, driven by pricing actions in the marketplace and favorable channel and
package mix, in addition to inflationary pricing in Argentina. Concentrate sales were 1 point
ahead of unit case volume due to the timing of concentrate shipments. Year-to-date
concentrate sales were 1 point behind unit case volume, primarily driven by the impact of
one less day in the first quarter of this year.

Operating income was even, which included a 7-point currency headwind. Comparable
currency neutral operating income (non-GAAP) grew 7%, primarily driven by strong organic
revenue (non-GAAP) growth, partially offset by higher operating costs and an increase in
marketing investments versus the prior year.

The company lost value share in total NARTD beverages, as share gains in juice and juice
drinks as well as tea were more than offset by pressure in sparkling soft drinks and other
categories.

North America

Unit case volume grew 1%, driven by continued recovery in away-from-home channels.
Sparkling soft drinks and dairy beverages led growth during the quarter.

Price/mix grew 15%, primarily driven by pricing actions in the marketplace and continued
recovery in the fountain business. Concentrate sales were 2 points behind unit case volume,
primarily due to the timing of concentrate shipments.

Operating income grew 25%, which included items impacting comparability. Comparable
currency neutral operating income (non-GAAP) grew 20%, driven by strong organic revenue
(non-GAAP) growth, partially offset by higher operating costs and an increase in marketing
investments versus the prior year.

The company gained value share in total NARTD beverages, driven by strong performance in
away-from-home channels.

Asia Pacific

Unit case volume grew 9%, driven by strong growth in India and China. Growth was led by
sparkling soft drinks and hydration.

Price/mix grew 4%, primarily driven by pricing actions in the marketplace and favorable
channel and package mix, partially offset by negative geographic mix within the segment.

Operating income declined 1%, which included items impacting comparability and a 9-point
currency headwind. Comparable currency neutral operating income (non-GAAP) grew 19%,
primarily driven by organic revenue (non-GAAP) growth across all operating units, partially
offset by higher operating costs and an increase in marketing investments versus the prior
year.

The company gained value share in total NARTD beverages led by share gains in Australia,
Japan and South Korea.
Global ventures

Net revenues declined 10%, and organic revenues (non-GAAP) grew 5%. Net revenues
included a 15-point currency headwind. Revenue performance benefited from cycling the
impact of pandemic-related Costa retail store closures in the United Kingdom in the prior
year.

Operating income and comparable currency neutral operating income (non-GAAP) both
declined, as solid organic revenue (non-GAAP) growth was more than offset by higher
operating costs.

Bottling Investment

Unit case volume grew 16%, driven by strength in India and Vietnam.

Price/mix grew 3%, driven by pricing actions across most markets.

Operating income declined 43%, which included items impacting comparability and a 5-point
headwind from currency. Comparable currency neutral operating income (non-GAAP)
declined 16%, as strong organic revenue (non-GAAP) growth was more than offset by higher
operating costs.

Outlook

The 2022 and 2023 outlook information provided below includes forward-looking non-GAAP
financial measures, which management uses in measuring performance. The company is not
able to reconcile full-year 2022 projected organic revenues (non-GAAP) to full-year 2022
projected reported net revenues, full-year 2022 projected comparable net revenues (non-
GAAP) to full-year 2022 projected reported net revenues, full-year 2022 projected
comparable cost of goods sold (non-GAAP) to full-year 2022 projected reported cost of
goods sold, full-year 2022 projected underlying effective tax rate (non-GAAP) to full-year
2022 projected reported effective tax rate, full-year 2022 projected comparable EPS (non-
GAAP) to full-year 2022 projected reported EPS, full-year 2022 projected comparable
currency neutral EPS (non-GAAP) to full-year 2022 projected reported EPS, full-year 2023
projected comparable net revenues (non-GAAP) to full-year 2023 projected reported net
revenues, full-year 2023 projected underlying effective tax rate (non-GAAP) to full-year 2023
projected reported effective tax rate, or full-year 2023 projected comparable EPS (non-
GAAP) to full-year 2023 projected reported EPS without unreasonable efforts because it is
not possible to predict with a reasonable degree of certainty the exact timing and amount of
acquisitions, divestitures and/or structural changes throughout 2022; the actual impact of
changes in commodity costs throughout 2022; the exact timing and amount of items
impacting comparability throughout 2022 and 2023; and the actual impact of fluctuations in
foreign currency exchange rates throughout 2022 and 2023. The unavailable information
could have a significant impact on the company’s full-year 2022 and full-year 2023 reported
financial results.

Full year 2020

On March 8, 2022, the company announced the suspension of its business in Russia as a
result of the conflict in Ukraine. The approximate direct impacts of this are estimated to be
as follows:

1% impact to unit case volume – No Change

1% impact to net revenues and operating income – Updated

$0.03 impact to comparable EPS (non-GAAP) – No Change

These estimated impacts are reflected in the outlook commentary below.

The company expects to deliver organic revenue (non-GAAP) growth of 14% to 15%. –
Updated

For comparable net revenues (non-GAAP), the company expects a 7% currency headwind
based on the current rates and including the impact of hedged positions, in addition to a 2%
tailwind from acquisitions and divestitures. – Updated

The company expects commodity price inflation to be a high single-digit percentage

headwind on comparable cost of goods sold (non-GAAP) based on the current rates and
including the impact of hedged positions. – No Change

The company’s underlying effective tax rate (non-GAAP) is estimated to be 19.0%. This does
not include the impact of ongoing tax litigation with the U.S. Internal Revenue Service, if the
company were not to prevail. – Updated

Given the above considerations, the company expects to deliver comparable currency
neutral EPS (non-GAAP) growth of 15% to 16% and comparable EPS (non-GAAP) growth of
6% to 7%, versus $2.32 in 2021. – Updated

Comparable EPS (non-GAAP) percentage growth is expected to include a 9% currency

headwind based on the current rates and including the impact of hedged positions, in
addition to a 1% headwind from acquisitions and divestitures. – No Change

The company expects to generate free cash flow (non-GAAP) of approximately $10.5 billion
through cash flow from operations of approximately $12.0 billion, less capital expenditures
of approximately $1.5 billion. This does not include any potential payments related to
ongoing tax litigation with the U.S. Internal Revenue Service. – No Change

Fourth Quarter 2022 Considerations – New

Comparable net revenues (non-GAAP) are expected to include an 8% currency headwind

based on the current rates and including the impact of hedged positions, in addition to a 1%
tailwind from acquisitions. Comparable EPS (non-GAAP) percentage growth is expected to
include a 9% currency headwind based on the current rates and including the impact of
hedged positions.

Full Year 2023 Considerations – New

The company is providing the following considerations for 2023:

The company is encouraged by the underlying topline momentum, and will leverage its
capabilities to sustain topline growth amidst the ongoing inflationary backdrop. The
company expects global inflation to continue to impact its expenses across the board, and
also expects commodity prices to remain volatile. The company has benefited from its
hedges in 2022 and expects elevated inflation on a per case basis in 2023. The company’s
underlying effective tax rate (non-GAAP) is estimated to be 19.5%. This does not include the
impact of ongoing tax litigation with the U.S. Internal Revenue Service, if the company were
not to prevail. The company’s initial currency outlook for full-year 2023 is as follows:

Comparable net revenues (non-GAAP) are expected to include an approximate 5% to 6%

currency headwind based on the current rates and including the impact of hedged positions.
Comparable EPS (non-GAAP) is expected to include an approximate 7% to 8% currency
headwind based on the current rates and including the impact of hedged positions. The
company will provide full-year 2023 guidance when it reports fourth quarter earnings.

Key demographics of the customers

Coca-Cola's targeting strategy is broader, not only because of its global presence in the
market but also with the several products that they provide. There is also the need to satisfy
various customers, ranging from average to health-conscious ones. The primary target of
Coca-Cola is younger customers within the age bracket of 10-25 and a secondary market
composed of people aged 25-40.

The company targets the market that desires an intense flavor with their regular cola drinks
in terms of taste. Meanwhile, diet cola drinks and their variants target those customers that
are health conscious. Coca-Cola campany has also expanded its product to non-cola
beverages to target those not fond of drinking its regular cola drinks. A Coca-Cola product
such as Sprite is specifically designed to target teens and college students, while others
target the young working group.

Table

The Coca-Cola market segmentation, targeting, and positioning variables are

comprehensively described above. You can refer to this table below for a simplified list of
how the company categorized these variables and principles.
Mind Map

Now that you have categorized each principle's components in Coca-Cola's marketing
strategy, presenting it through a diagram like a mind map can be ideal. A mind map allows
viewers to understand better the connections of the elements of your marketing approach.
See the example below.
Generated the most sales on average

Coca-Cola worldwide

In 2021, Coca-Cola generated net operating revenues of over 38 billion U.S. dollars. While
the company’s global net operating earnings spiked between 2010 and 2011, numbers have
been decreasing steadily since 2012. Between 2012 and 2018, the net operating revenue
decreased by roughly a third.

Biggest brands worldwide

With a brand value of almost 75 billion U.S. dollars, Coca-Cola was by far the most valuable
soft drink in the world in 2021, beating out competitors, such as Red Bull and Pepsi. Globally,
Coca-Cola was the sixth most valuable brand, after brands such as Google and Amazon.
Apple stood in first place with a value of over 400 billion U.S. dollars.

Best selling period

The connection between Coca cola and Christmas didn't begin until 1931, several decades
after the brand was launched. Interestingly, many people believe that the coca cola is
responsible for creating Santa Claus — the iconic figure of the holiday season. Also By the
late 1890s, Coca-Cola was one of America's most popular fountain drinks, largely due to
Candler's aggressive marketing of the product. With Candler now at the helm, the Coca-Cola
Company increased syrup sales by over 4,000 percent between 1890 and 1900.

Worst selling period

Coca-Cola revenue falls about 29% as lockdowns crimp soda sales. Coca-Cola reported a
28.5% drop in quarterly revenue on Tuesday as sales of its trademark sodas were battered
by the closure of restaurants, theaters, and sporting venues due to the COVID-19 pandemic.
The Atlanta-based company reported net revenue of $7.15 billion for the second quarter
ended June 26. Net income attributable to the beverage maker’s shareholders fell to $1.78
billion, or 41 cents per share, from $2.61 billion or 61 cents per share, a year earlier.
(Reporting by Nivedita Balu in Bengaluru; Editing by Sriraj Kalluvila)
Conclusion and Recommendation

In 2015, for example, they were able to determine that Coca Cola products were mentioned
online once every two seconds. Having access to this information helps them understand
who their customers are, where they live, and what prompts them to discuss the brand.
They could also use AI image technology to identify when photos of their products were
uploaded to social media, and then serve people ads based on the images they uploaded.
According to company representatives, such targeted ads are four times more likely to be
clicked on than other methods of targeted advertising. These techniques might lead to
original advertising created by AI technologies, such as “automated narratives” according to
a Coca Cola marketing executive

Coca Cola is increasingly betting on data analytics and AI to drive its strategic business
decisions. From its innovative free style fountain machine to find new ways to engage with
customers in a meaningful way, Coca Cola appears to be well-equipped to remain relevant in
the future.

Marketing strategies

The Coca-Cola Company’s operational structure includes four geographic operating

segments: Europe, Middle East & Africa; Latin America; North America; and Asia Pacific. The
company reporting structure also includes the non-geographic segments of Global Ventures
and Bottling Investments Group (BIG).

At The Coca-Cola Company, they are in pursuit of becoming an even more consumer-centric
total beverage company. Beverages are a growing and vibrant industry with long-term
growth opportunities well into the future. They have established a platform for sustained
performance in order to capitalize on that opportunity centered around disciplined portfolio
growth, an aligned and engaged bottling system and winning with our stakeholders. All
underpinned by digitizing our enterprise, fostering a growth and inclusive culture, and
growing sustainably.

Mission, vision, and values are significant for running organizations productively
andadequately. A mission serves as the goal for which a business exists. An image has a
drawn-out worth. It illuminates what a company tries to do in the long haul and how it will
accomplishits crucial. All organizations try to arrive at someplace in the future. Their vision
turns into theirdirecting star managing their activities and choices consistently towards their
last target. A feworganizations always modify their missions and vision.

Mission

The roadmap starts with the company's mission, which is enduring. It declares the purpose
as acompany, and serves as the standard against which weigh actions and decisions

•To refresh the world.•

To inspire moments of optimism and happiness.

•To create value and make a difference.

Vision

The company serves as the system for our guide and aides each part of our business
byportraying what they have to achieve to keep accomplishing reasonable, quality
development.

•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 brands that anticipate
andsatisfy people's desires and needs.

•Partners: Nurture a winning network of customers and suppliers; together we

createmutual, enduring value.

•Planet: Be a responsible citizen that makes a difference by helping build and

supportsustainable communities

.•Profit: Maximize long-term return to shareowners while being mindful of our

overallresponsibilities.

•Productivity: Be a highly effective, lean, and fast-moving organization.

Values

The 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

•Quality: What we do, we do well.

List of reference

Background study: http://www.opensecrets.org/industries/background.php?ind=N01>

Food & Beverage: Background | Opensecrets. [online]Opensecrets.org. Available at:

<http://www.opensecrets.org/industries/background.php?ind=N01> [Accessed 15 August
2020].

UKEssays.com. 2020. Coca Cola Situational Analysis. [online] Available

at:https://www.ukessays.com/essays/marketing/background-and-situational-analysis-of-
coca-cola-marketing-essay.php

https://www.forbes.com/sites/bernardmarr/2017/09/18/the-amazing-ways-coca-cola-uses-
artificial-intelligence-ai-and-big-data-to-drive-success/#57347fe578d2

https://www.forbes.com/sites/bernardmarr/2017/09/18/the-amazing-ways-coca-cola-uses-
artificial-intelligence-ai-and-big-data-to-drive-success/#57347fe578d2

https://investors.coca-colacompany.com/news-events/press-releases/detail/1071/coca-
cola-reports-third-quarter-2022-results-and-raises

Annually/Quarterly revenue:
https://www.macrotrends.net/stocks/charts/KO/cocacola/revenue

Key Demographics customers: https://www.edrawmind.com/article/coca-cola-

segmentation-targeting-and-positioning.html

Most sales on average: https://www.statista.com/statistics/271136/coca-colas-revenue-

distribution-worldwide-by-operating-segment/

Worst selling period: https://www.reuters.com/article/coca-cola-results-idUSL3N2ES2M4

Best selling period: https://www.thoughtco.com/history-of-coca-cola-1991477#:~:text=By

%20the%20late%201890s%2C%20Coca,percent%20between%201890%20and%201900.

Strategy: coca cola 2018 https://www.drinks-insight-network.com/news/coca-cola-sales-

2018/