Post on 07-Apr-2018
transcript
8/6/2019 PEPSI Report File
1/70
Varun baverages ltd. (Pepsico) Rajiv Kumar1
Asummer training report
inmarketing
Under the guidence of Presented ByMr. Vishnu Gupta Rajiv kumar{C.E. in Pepsico ltd. Kosi mathura} Ratm (Mathura)
Rajiv Academy for Technology & Management
NH# 2, Delhi Matura Bypass road,Chhatikara
Mathura -281001(U.P.)
8/6/2019 PEPSI Report File
2/70
Varun baverages ltd. (Pepsico) Rajiv Kumar2
C O N T E N T S
Sl. No. Topic
1) Preface2) CERTIFICATE
3) DECLARATION
4) ACKNOWLEDGEMENT
5) CHAPTER I
o Introduction
o Scope of projecto Objective of project
6) CHAPTER IIIo Research Methodology
7) CHAPTER IVo Marketing survey & Data Analysiso Testing of Hypothesis
8) CHAPTER IVo Recommendationso Suggestion
9)CONCLUSION
11) BIBLIOGRAPHY
10) QUESTIONAIRE
8/6/2019 PEPSI Report File
3/70
Varun baverages ltd. (Pepsico) Rajiv Kumar3
Preface
Project is the way to represent your skills in particular fields.
In other worlds project is the way to do something extra in a
different way about that particular you have gained most of
the knowledge. The knowledge about particular never be
complete, these are just like the stages of the knowledge about
the particular.
The topic as given by Pepsico ltd. Kosi Mathura
For Market training .But along with this we are submitting our
experiments also, hence this the best time to present our hard
in front of our respectable teachers. A teacher feels morehappiness and proud if he finds some thing different then he
had given to his students we think is the way to be thankful to
our teachers.
8/6/2019 PEPSI Report File
4/70
Varun baverages ltd. (Pepsico) Rajiv Kumar4
Declaration
I Rajiv Gupta declare that this project report entitledDealer Survey and Relationship Management withretailers In Mathura and is and of foriginal piece of work done and submitted by metowards partial fulfillment of my Master of BusinessAdministration(MBA) , under the guidance of VishnuGupta(C.E) Pepsico India Ltd.
Date: Place: Signature:
8/6/2019 PEPSI Report File
5/70
Varun baverages ltd. (Pepsico) Rajiv Kumar5
Acknowledgement
I take this opportunity to express my deep sense ofgratitude to my superiors Vishnu Gupta(C.E) fortheir guidance and other staff of the organization
for extending their valuable support and help inthe preparation of this project report. I am alsothankful to my family, friends and Avani ColdDrinks (Agency PepsiCo)in Mathura for extendingtheir co-operation in completion of this projectreport.
Date:
Place: Signature
8/6/2019 PEPSI Report File
6/70
Varun baverages lt
. (
i ) Rajiv Kumar6
INT TION
Th FMCG sector represents consumer goods required for dail or
frequent use. The main segments of this sector are personal care (oral
care, hair care, soaps, cosmetics, toiletries), household care (fabric wash
and household cleaners), branded and packaged food, beverages (health
beverages, soft drinks, staples, cereals, dairy products, chocolates,bakery products) and tobacco.
The Indian FMCG sector is an important contributor to the country's
GD
. It is the fourthlargest sector in the economy and is responsible for
5% of the total factory employment in India. The industry also creates
employment for 3 m people in downstream activities, much of whichis
disbursed in small towns and rural India. This industry has witnessed
strong growth in the past decade. This has been due to liberali ation,
urbani ation, increase in the disposable incomes and altered lifestyle.
Furthermore, the boom has also been fuelled by the reduction in excise
duties, de-reservation from the small-scale sector and the concerted
8/6/2019 PEPSI Report File
7/70
Varun baverages ltd. (Pepsico) Rajiv Kumar7
efforts of personal care companies to attract the burgeoning affluent
segment in the middle-class through product and packaging
innovations.
Unlike the perception that the FMCG sector is a producer of luxury
items targeted at the elite, in reality, the sector meets the every day
needs of the masses. The lower-middle income group accounts for over
60% of the sector's sales. Rural markets account for 56% of the total
domestic FMCG demand.
Many of the global FMCG majors have been present in the country for
many decades. But in the last ten years, many of the smaller rung Indian
FMCG companies have gained in scale. As a result, the unorganized and
regional players have witnessed erosion in market share.
History of FMCG in India
In India, companies like ITC, HLL, Colgate, Cadbury and Nestle
have been a dominant force in the FMCG sector well supported by
relatively less competition and high entry barriers (import duty was
high). These companies were, therefore, able to charge a premium for
their products. In this context, the margins were also on the higher side.
With the gradual opening up of the economy over the last decade,
FMCG companies have been forced to fight for a market share. In the
process, margins have been compromised, more so in the last six years
(FMCG sector witnessed decline in demand).
8/6/2019 PEPSI Report File
8/70
Varun baverages ltd. (Pepsico) Rajiv Kumar8
Current Scenario
The growth potential for FMCG companies looks promising over
the long-term horizon, as the per-capita consumption of almost all
products in the country is amongst the lowest in the world. As per the
Consumer Survey by KSA-Technopak, of the total consumption
expenditure, almost 40% and 8% was accounted by groceries and
personal care products respectively. Rapid urbanization, increased
literacy and rising per capita income are the key growth drivers for the
sector. Around 45% of the population in India is below 20 years of age
and the proportion of the young population is expected to increase in
the next five years. Aspiration levels in this age group have been fuelled
by greater media exposure, unleashing a latent demand with more
money and a new mindset. In this backdrop, industry estimates suggest
that the industry could triple in value by 2015 (by some estimates, the
industry could double in size by 2010).
In our view, testing times for the FMCG sector are over and driving
rural penetration will be the key going forward. Due to infrastructure
constraints (this influences the cost-effectiveness of the supply chain),
companies were unable to grow faster. Although companies like HLL
and ITC have dedicated initiatives targeted at the rural market, these are
still at a relatively nascent stage.
The bottlenecks of the conventional distribution system are likely to be
removed once organized retailing gains in scale. Currently, organized
retailing accounts for just 3% of total retail sales and is likely to touch
10% over the next 3-5 years. In our view, organized retailing results in
discounted prices, forced-buying by offering many choices and also
8/6/2019 PEPSI Report File
9/70
Varun baverages ltd. (Pepsico) Rajiv Kumar9
opens up new avenues for growth for the FMCG sector. Given the
aggressive expansion plans of players like Pantaloon, Trent, Shoppers
Stop and Shoprite, we are confident that the FMCG sector has a brightfuture.
Budget Measures to Promote
FMCG Sector
2% education cess corporation tax, excise duties and custom duties
Concessional rate of 5% custom duty on tea and coffee plantationmachinery
Budget Impact
The education cess will add marginally to the tax burden of all FMCGcompanies
The dividend distribution tax on debt funds is likely to adverselyeffect the other income components of companies like Britannia,Nestle and HLL
The measure to abolish excise duty on dairy machinery is a positivefor companies like Nestle
Concessional rate for tea and coffee plantation machinery is a positivefor Tata Tea, HLL, Tata Coffee and other such companies
Duty reduction in food grade hexane will have a marginally positiveimpact on companies like Marico and HLL
Area specific excise exemptions for North East, J&K, HimachalPradesh will continue to encourage FMCG companies to relocate tothese areas.
Budget over the
years
Budget 2001-02 Budget 2002-03 Budget 2003-04
8/6/2019 PEPSI Report File
10/70
Varun baverages ltd. (Pepsico) Rajiv Kumar10
y From 35-55% to75% for crude
edible oily From 45-65% to
85% for refinededible oil
y From 35% to70% for copra,coconut, tea andcoffee
y From 25% to
55% for crudepalm oily Development
allowance of teaindustry raisedto 40% from20%
y All foodpreparationsbased on fruitsand vegetables(pickles, sauces,ketchup, juices,
jams etc.) madecompletelyexempt fromexcise duty
y Excise oncosmetics and
toiletries halvedto 16%
y Increased focuson agricultural
reforms with anaim to integratethe countrywidefood market
y Deregulation ofthe milkprocessingcapacity
y Excise duty
structure largelyuntouched.Only for tea, theduty wasreduced from Rs2 per Kg to Re 1
y Customs dutyon tea andcoffee doubledto 100%
y Duty onimported pulsesupped to 80%
y Import duty onwine and liquorslashed from210% to 180%
y Excise onbiscuits reduced
to 8% from 16%.Excise on softdrinks andsugar boiledconfectioneryalso reduced
y All states toswitch to VATin FY04(deadline nowhas beenextended tillend FY05)
y Loans toagriculture andto small-scalesector will nowbe available atmaximu 2%
above primelending rate(PLR)
y Developmentplans for roads,ports, railwaysand airports
y Customs dutyon alcoholic
beveragesreduced
India offers a large and growing market of 1 billion people of which 300
million are middle class consumers. India offers a vibrant market of
youth and vigor with 54% of population below the age of 25 years. These
8/6/2019 PEPSI Report File
11/70
Varun baverages ltd. (Pepsico) Rajiv Kumar11
young people work harder, earn more, spend more and demand more
from the market, making India a dynamic and aspirational society.
Domestic demand is expected to double over the ten-year period from1998 to 2007. The number of households with "high income" is expected
to increase by 60% in the next four years to 44 million households.
India is rated as the fifth most attractive emerging retail market. It
has been ranked second in a Global Retail Development Index of 30
developing countries drawn up by A T Kearney. A.T. Kearney has
estimated India's total retail market at $202.6 billion, is expected to grow
at a compounded 30 per cent over the next five years. The share of
modern retail is likely to grow from its current 2 per cent to 15-20
percent over the next decade, analysts feel.
The Indian FMCG sector is the fourth largest sector in the
economy with a total market size in excess of US$ 13.1 billion. The
FMCG market is set to treble from US$ 11.6 billion in 2003 to US$ 33.4
billion in 2015. Penetration level as well as per capita consumption in
most product categories like jams, toothpaste, skin care, hair wash etc in
India is low indicating the untapped market potential. Burgeoning
Indian population, particularly the middle class and the rural segments,
presents an opportunity to makers of branded products to convert
consumers to branded products.
India is one of the worlds largest producers for a number of
FMCG products but its FMCG exports are languishing at around Rs
8/6/2019 PEPSI Report File
12/70
8/6/2019 PEPSI Report File
13/70
Varun baverages lt
. (
i ) Rajiv Kumar13
Type Public (NY
PEP)
Founded 1965
Headquarters New York, USA
Key people Indra Nooyi,
Chairwoman, President & CEO
Industry Food and beverage
Products:
Pepsi
Tropicana Products
Gatorade
Lay's
Doritos
Frappuccino (for Starbucks)
MountainDew
Operating income $6.44 billion USD (2006)
Net income $5.64 billion USD (2006)
profit margin 16.06%
Employees 153,000(2005)
G
!
OUP OF COMPANIES
Frito-Lay North America
PepsiCo Beverages North America,
PepsiCo International
Quaker Foods North America
8/6/2019 PEPSI Report File
14/70
Varun baverages lt"
. (#
$ % & i' ( ) Rajiv Kumar14
Mission
The main objective of the company is to provide best quality products to
its consumer. Another objective is to provide healthy rewards to its
investor, good reward to its employee and other investor and partners
who financially help the company
8/6/2019 PEPSI Report File
15/70
Varun baverages ltd. (Pepsico) Rajiv Kumar15
Vision
The vision of the company is to improve in all aspects in which they
operate. By improving in social and economical environment, they want
to make tomorrow better than today.
8/6/2019 PEPSI Report File
16/70
Varun baverages ltd. (Pepsico) Rajiv Kumar16
A Brief Pepsi History
In 1893, Caleb Bradham,a young pharmacist from New
Bern, North Carolina, begins experimenting with many
different soft drink concoctions. Like many pharmacists
at the turn of the century he had a soda fountain in his
drugstore, where he served his customers refreshing
drinks, that he created himself. His most popularbeverage was something he called "Brad's drink" made of
carbonated water, sugar, vanilla, rare oils, pepsin and cola nuts.
One of Caleb's formulations, known as "Brad's drink", created in the
summer of 1893, was later renamed Pepsi Cola after the pepsin and cola
nuts used in the recipe. In 1898, Caleb Bradham wisely bought the trade
name "Pep Cola" for $100 from a competitor from Newark, New Jersey
that had gone broke. The new name was trademarked on June 16th,
1903. Bradham's neighbor, an artist designed the first Pepsi logo and
ninety-seven shares of stock for Bradham's
new company were issued.
1898 - One of Caleb's formulations, known
as "Brad's Drink," a combination of
carbonated water, sugar, vanilla, rare oils
and cola nuts, is renamed "Pepsi-Cola" on
8/6/2019 PEPSI Report File
17/70
Varun baverages ltd. (Pepsico) Rajiv Kumar17
August 28, 1898. Pepsi-Cola receives its first logo.
1905 - Pepsi-Cola's first bottling franchises are established in Charlotteand Durham, North Carolina. Pepsi receives its new logo, its first
change since 1898.
1906 - Pepsi gets another logo change, the third in eight years. The
modified script logo is created with the slogan, "The Original Pure Food
Drink."
1908 - Pepsi-Cola becomes one of the first companies to
modernize delivery from horse drawn carts to motor
vehicles. Two hundred fifty bottlers in 24 states are under contract to
make and sell Pepsi-Cola.
1910 - The first Pepsi-Cola bottlers' convention
is held in New Bern, North Carolina.
1920 - Pepsi theme line speaks to the consumer
with "Drink Pepsi-Cola, it will satisfy you."
1928 - After five continuous losing years, Megargel reorganizes his
company as the National Pepsi-Cola Company, becoming the fourth
parent company to own the Pepsi trademark.
1934 - A landmark year for Pepsi-Cola. The drink is a hit and to attract
8/6/2019 PEPSI Report File
18/70
Varun baverages ltd. (Pepsico) Rajiv Kumar18
even more sales, the company begins selling its 12-ounce drink for five
cents (the same cost as six ounces of competitive colas). The 12-ounce
bottle debuts in Baltimore, where it is an instant success. The costsavings proves irresistible to Depression-worn Americans and sales
skyrocket nationally.
Caleb Bradham, the founder of Pepsi-Cola and "Brad's Drink," dies at 66
(May 27th,
1867-February 19th, 1934).
1935 - Guth moves the entire Pepsi-Cola operation to Long Island City,
New York, and sets up national territorial boundaries for the Pepsi
bottler franchise system.
1936 - Pepsi grants 94 new U.S. franchises and year-end profits reach
$2,100,000.
In 1940, the Pepsi Cola company made history when the first advertising
jingle was broadcast nationally on the radio. The jingle was "Nickel
Nickel" an advertisement for Pepsi Cola that referred to the price of
Pepsi and the quantity for that
price "Nickel Nickel" became a
hit record and was recorded into
fifty-five languages.
1941 - The New York Stock
8/6/2019 PEPSI Report File
19/70
Varun baverages lt)
. (0
1 2 3 i4 5 ) Rajiv Kumar19
Exchange trades Pepsi's stock for the first time. In support of the war
effort, Pepsi's bottle crown colors change to red, white, and blue.
1942 - One on many company sponsored efforts to allow soldiers to
communicate with friends or family. This record was made in New York
City but oftenbooths would be set up with mobile recording equipment
that was bought to where the soldiers were. Shell material on solid core.
78 rpm.
1943 - Pepsi's theme line becomes "Bigger Drink, Better Taste."
1948 - Corporate headquarters moves from Long Island City, New York,
to midtown Manhattan.
1950 - Alfred N. Steele becomes President and CEO of Pepsi-Cola. Mr.
Steele's wife, Hollywood movie star Joan Crawford, is instrumental in
promoting the company's product line.
Pepsi receives its new logo, whichincorporates the "bottle cap"
look. The new logo is the fifthin Pepsihistory.
1953 - "The Light6
efreshment" campaign capitali7 es on a change in the
product's formula that reduces caloric content.
1955 - Herbert Barnet is named President of Pepsi-Cola.
8/6/2019 PEPSI Report File
20/70
Varun baverages lt8
. (9
@ A B iC D ) Rajiv Kumar20
1959 - Pepsi debuts at the Moscow Fair. Soviet Premier Khrushchev and
U.S. Vice President Nixon share a Pepsi.
1960 - Young adults become the target consumers and Pepsi's
advertising keeps pace with "Now it's Pepsi, for those who think young."
1962 - Pepsi receives its new logo, the sixth in Pepsi history. The
'serrated' bottle cap logo debuts, accompanying the brand's
groundbreaking "Pepsi Generation" ad campaign.
1963 - After climbing the Pepsi ladder from fountain syrup salesman,
Donald M. Kendall is named CEO of Pepsi-Cola Company. Pepsi-Cola
continues to lead the soft drink industry in packaging innovations, when
the 12-ounce bottle gives way to the 16-ounce siE e. Twelve-ounce Pepsi
cans are first introduced to the military to transport soft drinks all over
the world.
1964 - Diet Pepsi, introduced as America's first national
diet soft drink. Pepsi-Cola acquires Mountain Dew
from the Tip Corporation.
8/6/2019 PEPSI Report File
21/70
Varun baverages ltd. (Pepsico) Rajiv Kumar21
1965 - Expansion outside the soft drink industry begins. Frito-Lay of
Dallas, Texas, and Pepsi-Cola merge, forming PepsiCo, Inc.
Military 12-ounce cans are such a success that full-scale commercial
distribution begins.
Mountain Dew launches its first campaign,
"Yahoo Mountain Dew...It'll tickle your innards."
1970 - Pepsi leads the way into metrics by
introducing the industry's first two-liter bottles.
Pepsi is also the first company to respond to
consumer preference with light-weight,
recyclable, plastic bottles. Vic Bonomo is named
President of Pepsi-Cola. The Pepsi World Headquarters moves from
Manhattan to Purchase, NY.
1974 - First Pepsi plant opens in the U.S.S.R. Television ads introduce
the new theme line, "Hello, Sunshine, Hello Mountain Dew."
1976 - Pepsi becomes the single largest soft drink brand sold in
American supermarkets. The campaign is "Have a Pepsi Day!" and a
8/6/2019 PEPSI Report File
22/70
Varun baverages ltd. (Pepsico) Rajiv Kumar22
classic commercial, "Puppies," becomes one of America's best-loved ads.
As people get back to basics, Pepsi is there as one of the simple things in
life.
1977 - At 37, marketing genius John Sculley is named President of Pepsi-
Cola.
1978 - The company experiments with new flavors. Twelve-pack cans
are introduced.
1980 - Pepsi becomes number one in sales in the take home market.
1981 - PepsiCo and China reach agreement to manufacture soft drinks,
with production beginning next year.
1982 - Pepsi Free, a caffeine-free cola, is introduced nationwide. Pepsi
Challenge activity has penetrated 75% of the U.S. market.
1984 - Pepsi advertising takes a dramatic turn as Pepsi becomes "the
choice of a New Generation." Lemon Lime Slice, the first major soft
drink with real fruit juice, is introduced, creating a new soft drink
category, "juice added." In subsequent line of extensions, Mandarin
Orange Slice goes on to become the number one orange soft drink in the
U.S. Diet Pepsi is reformulated with NutraSweet (aspertame) brand
sweetener.
8/6/2019 PEPSI Report File
23/70
Varun baverages ltd. (Pepsico) Rajiv Kumar23
1985 - After responding to years of decline, Coke loses to Pepsi in
preference tests by reformulating. However, the new formula is met
with widespread consumer rejection, forcing there-introduction of theoriginal formulation as "Coca-Cola Classic." The cola war takes "one
giant sip for mankind," when a Pepsi "space can" is successfully tested
aboard the space shuttle. By the end of 1985, the New Generation
campaign earns more than 58 major advertising and film-related
awards. Pepsi's campaign featuring Lional Richie is the most
remembered in the country, according to consumer preference polls..
1987 - Pepsi-Cola President Roger Enrico is named President/CEO of
PepsiCo Worldwide Beverages. Pepsi-Cola World Headquarters moves
from Purchase to Somers, New York. After a 27 year absence, Pepsi
returns to Broadway with the lighting of a spectacular new neon sign in
Times Square.
1988 - Craig Weatherup is appointed President/CEO of Pepsi-Cola
Company.
1989 - Pepsi lunges into the next decade by declaring Pepsi lovers "A
Generation Ahead." Chris Sinclair is named President of Pepsi-Cola
International. Pepsi-Cola introduces an exciting new flavor, Wild
Cherry Pepsi.
1990 - American Music Award and Grammy winner rap artist Young
MC writes and performs songs exclusively for national radio ads for
8/6/2019 PEPSI Report File
24/70
Varun baverages ltd. (Pepsico) Rajiv Kumar24
Pepsi. Ray Charles joins the Pepsi family by endorsing Diet Pepsi. The
slogan is "You Got The Right One Baby."
1991 - Craig E. Weatherup is named CEO of Pepsi-Cola North America,
as Canada becomes part of the company's North American operations.
Pepsi introduces the first beverage bottles containing recycled
polyethylene terephthalate (or PET) into the marketplace. The
development marks the first time recycled plastic is used in direct
contact with food in packaging.
1992--Pepsi-Cola launches the "Gotta Have It" theme which supplants
the longstanding "Choice of a New Generation."
1993 - Brand Pepsi introduces its slogan, "Be Young. Have Fun. Drink
Pepsi." Pepsi-Cola profits surpass $1 billion. Pepsi introduces an
innovative 24-can multipack that satisfies growing consumer demand
for convenient large-size soft drink packaging. "The Cube" is easier to
carry than the traditional 24-pack and it fits in the refrigerator.
1994 - New advertising introducing Diet Pepsi's freshness dating
initiative features Pepsi CEO Craig Weatherup explaining the
relationship between freshness and superior taste to consumers. Pepsi
Foods International and Pepsi-Cola International merge, creating the
PepsiCo Foods and Beverages Company.
1995 - In a new campaign, the company declares "Nothing else is a
8/6/2019 PEPSI Report File
25/70
Varun baverages ltd. (Pepsico) Rajiv Kumar25
Pepsi" and takes top honors in the year's national advertising
championship.
1996 - In February of this year, Pepsi makes history once again, by
launching one of the most ambitious entertainment sites on the World
Wide Web. Pepsi World eventually surpasses all expectations, and
becomes one of the most landed, and copied, sites in this new media,
firmly establishing Pepsi's presence on the Internet.
1997 - In the early part of the year, Pepsi pushes into a new era with the
unveiling of the GeneratioNext campaign. GeneratioNext is about
everything that is young and fresh; a celebration of the creative spirit. It
is about the kind of attitude that challenges the norm with new ideas, at
every step of the way.
PepsiCo. announces that, effective October 6th, it will spin off its
restaurant division to form Tricon Global Restaurants, Inc. Including
Pizza Hut, Taco Bell, & KFC, it will be the largest restaurant company in
the world in units and second-largest in sales.
1998 - Pepsi celebrates its 100th anniversary. PepsiCo.
Chairman and CEORoger A. Enrico donates his salary to
provide scholarships for children of PepsiCo employees.
Pepsi introduces PepsiOne - the first one calorie drink without that diet
taste!
8/6/2019 PEPSI Report File
26/70
Varun baverages ltd. (Pepsico) Rajiv Kumar26
2000 - Although Pepsi is a great place to work, Steven Truitt (aka
'struitt') takes his skills and hard work elsewhere (for more money of
course!), therefore putting an end to his Pepsi page! For moreinformation about Pepsi, choose a search engine and search for 'Pepsi' or
visit www.pepsi.com or www.pepsico.com.
2005 - Pepsi invited to introduce new brand cola
PEPSICO IN INDIA
PepsiCo gained entry to India in 1988 by creating a joint venture with
the Punjab government-owned Punjab Agro Industrial Corporation
(PAIC) and Voltas India Limited. This joint venture marketed and sold
Lehar Pepsi until 1991, when the use of foreign brands was allowed;
PepsiCo bought out its partners and ended the joint venture in 1994.
Others claim that firstly Pepsi was banned from import in India, in 1970,
for having refused to release the list of its ingredients and in 1993, the
ban was lifted, with Pepsi arriving on the market shortly afterwards.
These controversies are a reminder of "India's sometimes acrimonious
relationship with huge multinational companies." Indeed, some argue
that PepsiCo and The Coca-Cola Company have "been major targets in
part because they are well-known foreign companies that draw plenty of
attention."
In 2003, the Centre for Science and Environment (CSE), a non-
governmental organization in New Delhi, said aerated waters produced
8/6/2019 PEPSI Report File
27/70
Varun baverages ltd. (Pepsico) Rajiv Kumar27
by soft drinks manufacturers in India, including multinational giants
PepsiCo and The Coca-Cola Company, contained toxins, including
lindane, DDT, malathion and chlorpyrifos pesticides that cancontribute to cancer, a breakdown of the immune system and cause birth
defects. Tested products included Coke, Pepsi, 7 Up, Mirinda, Fanta,
Thums Up, Limca, and Sprite. CSE found that the Indian-produced
Pepsi's soft drink products had 36 times the level of pesticide residues
permitted under European Union regulations; Coca Cola's 30 times. CSE
said it had tested the same products in the US and found no such
residues. However, this was the European standard for water, not for
other drinks. No law bans the presence of pesticides in drinks in India.
The Coca-Cola Company and PepsiCo angrily denied allegations that
their products manufactured in India contained toxin levels far above
the norms permitted in the developed world. But an Indian
parliamentary committee, in 2004, backed up CSE's findings and a
government-appointed committee, is now trying to develop the world's
first pesticides standards for soft drinks. Coke and PepsiCo opposed the
move, arguing that lab tests aren't reliable enough to detect minute
traces of pesticides in complex drinks. On December 7, 2004, India's
Supreme Court ruled that both PepsiCo and competitor.
The Coca-Cola Company must label all cans and bottles of the
respective soft drinks with a consumer warning after tests showed
unacceptable levels of residual pesticides.[citation needed]
Both companies continue to maintain that their products meet all
international safety standards without yet implementing the Supreme
8/6/2019 PEPSI Report File
28/70
Varun baverages ltd. (Pepsico) Rajiv Kumar28
Court ruling.[citation needed] As of 2005, The Coca-Cola Company and
PepsiCo together hold 95% market share of soft-drink sales in India.
PepsiCo has also been alleged[attribution needed] to practice "waterpiracy" due to its role in exploitation of ground water resources resulting
in scarcity of drinking water for the natives of Puthussery panchayat in
the Palakkad district in Kerala, India. Local residents have been
pressuring the government to close down the PepsiCo unit in the village.
In 2006, the CSE again found that soda drinks, including both Pepsi and
Coca-Cola, had high levels of pesticides in their drinks. Both PepsiCo
and The Coca-Cola Company maintain that their drinks are safe for
consumption and have published newspaper advertisements that say
pesticide levels in their products are less than those in other foods such
as tea, fruit and dairy products. In the Indian state of Kerala, sale and
production of Pepsi-Cola, along with other soft drinks, has been banned.
Five other Indian states have announced partial bans on the drinks in
schools, colleges and hospitals.
3.1 Highlights of PepsiCo in India:
World leader - Convenient Foods and Beverages
Revenues of more than $35 billion
More than 1,68,000 employees
Available in nearly 200 countries and territories
Groups 37 bottling plants in India
16 are company owned and 21 are franchisee owned
8/6/2019 PEPSI Report File
29/70
Varun baverages ltd. (Pepsico) Rajiv Kumar29
Tropicana was acquired in 1998 and PepsiCo merged with The
Quaker Oats Company in 2001
Generates direct employment for more than 4000 people in Indiaand indirect employment for 60,000 people
y Set up 8 greenfield sites in backward regions of different states.
PepsiCo intends to expand its operations and is planning an
investment of approximately US$ 150 million in the next two-three
years.
Annual exports from India are worth over U.S$60 million
PepsiCo Founded in 1965 through the merger of Pepsi-Cola and
Frito-Lay
PepsiCo entered India in 1989
8/6/2019 PEPSI Report File
30/70
Varun baverages ltd. (Pepsico) Rajiv Kumar30
THE MARKETING MIX-4 PS WITH SPECIALREFERENCE TO PEPSI:
Product:
A business needs to consider the products that itproduces and the stage of the product life cycle that a product is at.Marketing strategies will vary according to the type of product and itsstage in the life cycle.
In case of Pepsi, in the rural markets, the 300ml bottleand now days the new small or commonly known as the chota pepsiis very much popular. The Pepsi Co. is even thinking of introducingtheir new Pepsi-Aha, but presently they are concentrating more on thenormal pepsi as the rural market is a niche market. Pepsi is evensuccessful in introducing the big 1-1.5 liter PET bottles in the ruralmarkets. These big bottles are very popular during big festivals andmarriages.
8/6/2019 PEPSI Report File
31/70
Varun baverages ltd. (Pepsico) Rajiv Kumar31
Price:
Most businesses use a "cost plus" method for settingthe prices of their products. This involves determining unit productioncosts and then adding in a profit margin. However, many other factorsare involved. Consider "perceived price" (what you think consumers willbe prepared to pay), demand elasticity (is it elastic or inelastic?),
competitors' pricing (can you afford to undercut their prices?), pricingob jectives (what do you want to achieve increased market share?increased profits? market leadership? etc.)
Example 2 Perfume
How much does it cost to make?
Can businesses afford a "price war"?
Why is Coca Cola so successful?
As far as the pricing goes, the 300 ml Pepsi bottle ispriced at Rs. 10. But the company soon realized that this pricing workedin the urban markets but not in the rural markets as in the rural markets,Pepsi is not a necessity but a luxury. They found out that people in therural markets bought cold drinks only if there was some occasion. Aprice point of Rs 10 for a 300 ml bottle has proved a major deterrent: it
has kept away new consumers in the urban and semi-urban pockets, andit has blanked out the far larger rural markets where annual per capitaconsumption is less than a bottle. So the Rs. 10 bottle was not thatsuccessful. But their sales increased after introducing the chota Pepsi.This 200ml Pepsi was reasonably priced between Rs.5- Rs.7. This was amajor weapon for the expansion of the rural market. Pepsi expects thesmall-size offering to account for 30 per cent of volumes this year
8/6/2019 PEPSI Report File
32/70
Varun baverages ltd. (Pepsico) Rajiv Kumar32
compared with 18 per cent last year. But there are other areas of concern principally that the 200 ml offering should not cannibalize 300 mlsales. In that case, there will be no market growth. That is why pricing
could be crucial. Pepsi, for instance, has reckoned that giving consumers33 per cent (100 ml) less cola at 50 per cent of the price (Rs 5) is not asustainable option and can, at best, be used as an introductory offer. Theconclusion is based on hard facts. Last year, the beverage giants test -marketed 200 ml bottles at a price of Rs 5. Instead of growth, Pepsidiscovered that 300 ml drinkers merely shifted to the 200 ml variant, themarket remained stagnant and everyone lost money. The conclusion wasclear: cutting prices does not necessarily expand the market.
8/6/2019 PEPSI Report File
33/70
Varun baverages ltd. (Pepsico) Rajiv Kumar33
Place
This generally refers to the physical locations of product sales as well as
the methods of distribution. However, it is also considered to be the"place" or "position" in the market of the product; refer to informationbelow. Businesses need to make many decisions related to "place":access, parking, competition, physical location etc.
Its the most important P in the cola wars Place. Andnothing evokes more passion in Pepsi and Coke than distribution. Majorinnovation is underway on the distribution front at Pepsi, pre-selling
being the biggest of all. Its been successfully test marketed in Bangalore,Baroda and Coimbatore and may soon roll out nationally.
In case of the distribution network, there is noinvolvement of wholesalers in the distribution of products. It is morelike an agent network. The companies have divided the country intovarious regions and established a franchisee in each region. Thefranchisees have their own bottling plants and manage all the day-to-day operations. However, of late, the soft drinks companies have startedsetting up company owned bottling units have been acquiring some ofits franchise bottles.
In the current system, the strike rate in the Delhimarket is about 40 per cent, which can be improved to 80 per cent in thepeak season, claims a franchise director. The result for Pepsi could besignificant
savings. Colas service just 7.5-8 lakh accounts compared to the otherFMCG players who service three times the number. Innovation in ourdistribution system will take us closer to the 21 lakh figure, says Vats, afranchise director.
8/6/2019 PEPSI Report File
34/70
Varun baverages ltd. (Pepsico) Rajiv Kumar34
Pepsi believes in direct distribution whereas Cokedoesnt. It mainly concentrates on dealers and most importantly cuttingcosts. There are plenty of innovations possible in distribution that can
cut costs, says a Pepsi official.For Pepsi, the rural market is a chosen thrust this year. It
has targeted to reach 20 to 28 per cent of the rural population in the firstyear of this operation. In the first stage, the corporation is planning amassive roll out in villages with populations of 5000. To do thiseffectively, Pepsi is focusing on establishing a cold chain.
The company has developed special freezers that allowits products to stay chilled despite power cuts of three to four hours. It
will also use traditional iceboxes to sell its product in rural India. For therural markets, Pepsi is looking at the wholesale route since the logisticsof direct distribution are too huge to handle in the interiors.
8/6/2019 PEPSI Report File
35/70
Varun baverages ltd. (Pepsico) Rajiv Kumar35
Promotion
This refers to the promotion of the product to thetarget market. This is achieved through a combination of: advertising:use of electronic and print media. The "reach" (how many people willsee the advert), frequency (how many times will I advertise theproduct?) and impact of the advertising must also be evaluated.
Personal selling: what happens in the "shop", contact between salespeople and consumers or customers.
Sales promotion: use of gimmicks and incentives e.g. competitions.Sponsorship and promotional licensing: including specific products soldunder license that promotes the business (e.g. football jumpers).Publicity or public relations: "adversarial" in local papers or specialpromotional materials.
Due to the cola wars promotion, and advertising hasalways been an integral part for both the cola cos: Pepsi and Coke. Butfor the first time perhaps in the history of cola wars, the strategies of thetwo giant cos are diverging in India. Whether its business or productstrategies or the critical distribution game plan, the archrivals are takingroads that do not meet. Mr. Bakshi of Pepsi Co. is bringing a change intheir distribution and marketing strategies. Now days where Coke isconcentrating more on the 200ml bottle, Mr. Bakshi of Pepsi says The200ml bottle gets zero demand in the rural market. He is concentratingon the 1.0 liter bottles of Pepsi. The Pepsi Co. had used an excellentmarketing strategy here. During the Lagaan mania they were
distributing free tickets in the rural markets along with their 1.5-literPETbottles. Pepsi made this 1.5-liter PETbottle very famous for theirspecial festive occasions and marriage.
Well the popularity of the product has also increaseddue to their advertisements or basically famous cricket and bollywoodpersonalities endorsing this product. For instance the Sachin Aala re
8/6/2019 PEPSI Report File
36/70
Varun baverages ltd. (Pepsico) Rajiv Kumar36
Aala advertisement where even he is wearing a mask along with thoserural kids. Or you can even take the new Sachin and Amitabh Bachchanadvertisement where both of them say Yeh Dil Maange More!!!!!!!
Sachin has done many advertisements for Pepsi in the span of 10 years.Pepsis rural market advertisement- Pepsi has unveiled
a major campaign in Andhra Pradesh, roping in top Telugu film star,Pawan Kalyan, even as the star's elder brother, Chiranjeevi, is intopushing Coca-Cola's Thums Up. Pawan Kalyan, however, ruled out anyrivalry between him and his brother. Though he will sing Yeh DilMaange more, his brother will say Yeh Dil Maange no more. We haveour lives and we have our own choices, he said on the possible in-house cola feud
Pepsi also kicked off a rural campaign, spread overtwo months. Decorated Pepsi vans will roll out into market of the State.Every consumer drinking a Pepsi from these vans will get to play agame and win prizes. These include Pawan Kalyan memorabilia, T-shirts, autographed posters and calendars.
Explaining the reason for choosing Pawan Kalyan to endorse Pepsi, Mr.Rohit Ohri, Director HTA, Pepsi's ad agency, said Pepsi and PawanKalyan were going to be an ideal combination. Both are so youthful,
energetic and fun-loving, he said. Mr. Vijay Shanker Subramaniam,Vice-President (Marketing), Pepsi Foods Ltd, said the company wasstarting an aggressive campaign in Andhra Pradesh. Apart from thevan operations, which were flagged off by Pawan Kalyan, othercampaigns have been lined up throughout the year.
Later, Pawan Kalyan presented a cheque for Rs 5 lakh to Mr. MehmoodAli, a mechanic with the Andhra Pradesh State Road TransportCorporation for winning Pepsi's Mera number ayega campaign.
Lastly, we all know that though Coke ranks 1st with 57 % of themarket share (which includes Thums up too), Pepsi ranks 2nd with43% of the market share. The Pepsi Co. has fought a bitter struggleupwards starting from a zero market share. When Pepsi entered themarket in 1989, they faced the daunting task of pacifying Indianswadeshi activists alone. Their trucks were smashed and offices
8/6/2019 PEPSI Report File
37/70
Varun baverages ltd. (Pepsico) Rajiv Kumar37
ransacked so as to dissuade them from entering the Indian market.Whereas when Coke entered (or re-entered) the Indian market in 1993,the situation had been smoothed out by Pepsi already, and the
atmosphere was extremely conducive to foreign multinationals comingto India. Therefore, though Coke ranks 1st, it got this position only afterintroducing the Parle products who already had a 70% market share atthat point of time. Presently Pepsi Co. is also concentrating on its otherproducts like slice, mirinda and aquafina. Their next aim is to popularizetheir other products like sodas, then the new Pepsi Aha- the apple drinkand beat coke to become the new market leader.
8/6/2019 PEPSI Report File
38/70
Varun baverages ltd. (Pepsico) Rajiv Kumar38
Highlights of Indian FMCG sector:
The Indian FMCG sector - the fourth largest sector in the economy
market size > $13.1 bn
Strong MNC presence
Well established distribution network
Intense competition between the organized and unorganized
segments
200 million people expected to shift to processed and packaged
food by 2010
Low operational cost.
India needs around $28 billion of investment in the food-
processing industry.
FOOD AND BEVERAGES
Size of the Indian food processing industry- $ 65.6 billion,
including $20.6 billion of value added products.
The health beverage industry -$230 million
Bread and biscuits at $1.7 billion
Chocolates at $73 million
Ice creams at $188 million.The size of the semi-processed/ready-to-eat food segment - over
$1.1 billion.
Three largest consumed categories of packaged foods are packed
tea, biscuits and soft drinks.
8/6/2019 PEPSI Report File
39/70
Varun baverages ltd. (Pepsico) Rajiv Kumar39
Total soft drink market is estimated at 284 million crates a year or
$1 billion.
8/6/2019 PEPSI Report File
40/70
Varun baverages ltF
. (G
H I P iQ R ) Rajiv Kumar40
4. ORGANIZATIONAL STRUCTURE
Customer Executives
Assistant Sales and DevelopmentManager
Territory DevelopmentManager
Unit Manager
Marketing DevelopmentManager
Sales Trainees
Marketing DevelopmentCoordinator
8/6/2019 PEPSI Report File
41/70
Varun baverages ltS
. (T
U V W iX Y ) Rajiv Kumar41
5. PEPSICOS DISTRIBUTION SYSTEM
Consumer
Indenting
Primary
Sale
SecondarySaleMarket /Retailers
Distributor
PepsiCos Plant
8/6/2019 PEPSI Report File
42/70
Varun baverages ltd. (Pepsico) Rajiv Kumar42
6. PEPSICOS PRODUCTS
Following are main products of Pepsi co(india) pvt limited.
Pepsi
Mirinda Orange
Mirinda Lemon
7 Up
Mountain Dew
Slice
Mirinda Sorbet (Limited Edition)
Pepsi Gold (Limited Edition)
Pepsi Diet
Lehar Soda
Aquafina
Tropicana
Gatorade
Lehar Namkeen
Lays
Kurkure
Uncle Chips
Cheetos
8/6/2019 PEPSI Report File
43/70
Varun baverages lt
. (a
b c d ie f ) Rajiv Kumar43
7. RETAIL CHANNEL
Convenience channelincludes different kiosks are
whichis convenient to general public.
Grocery channelincludes different grocery shops .
Eatery channelincludes different hotels, restaurants
etc.
ConvenienceChannel
Grocery
Channel
EateryChannel
8/6/2019 PEPSI Report File
44/70
Varun baverages ltd. (Pepsico) Rajiv Kumar44
Sales Management
Recruitment Procedure
There are three main line for recruitment of the Sales trainee of the
company
Campus Interview
Consultant
Employee of the Company
Campus Interviews: The company recruits students from various
institutes of professional courses like MBA. The selection procedure
includes GD & personal interviews followed by HR interviews.
Consultants: The company has tie-ups with professional consultants
which provide a high prospector base for recruitment. The low level &
the middle level employees are recruited through this procedure.
Employees of the company: Mostly the top level employees are selected
from inside the company since the company can get loyal persons
having the experience of the companys work culture.
Training
There are mainly two types of method for giving training to their
employee
On the Job training and
Classroom training through lectures.
8/6/2019 PEPSI Report File
45/70
Varun baverages ltd. (Pepsico) Rajiv Kumar45
Evaluation
There is a evaluation form in which different ob jectives of the company
are written. At the end of the year, immediate officer just tally whether a
particular ob jectives of which predetermine ob jectives are achieved or
not.
Sales Quota
In company, sales quota is decided on the basis of the sales of the last
year. After considering sales of the company, they analyze the growth of
the market. On the basis of the sales and growth of the market, company
decides sales quota for the next year. On the basis of the sales quota,
target of each area is decided.
Sales territory:
Sales territory is decided on the basis of the no. of the distributor in the
particular territory. Normally distributor has to cover 40 outlets per day
per Route driver. In particular territory, routes are decided by the
company. Like Route A Route B Route C. Route Driver (RD) of the
company visits particular route twice in a week. Route Driver distributesproducts as per requirements of the outlets.
LOAD INS:
8/6/2019 PEPSI Report File
46/70
Varun baverages ltd. (Pepsico) Rajiv Kumar46
RA to return to the Warehouse after completing the days runs as
per the Route Planner.
Requisition forms shall be updated with quantity of unsold stockand empties brought back to Warehouse and shall be submitted to
checker.
Checker shall independently verify the stock brought in by the RA
and record the physically verified Stock in the checkers report.
The Load in slip needs to be signed by the RA, Checker and the
settlement clerk.
Settlement clerk / Warehouse manager to reconcile physical stock
vis- a-vis stock as per Requisition Form.
Checker shall update the Gate Pass section of DSS with details of
actual load ins and empties and submit to the ASDOS clerk.
INVENTORY CONTROL MANAGEMENT /
ACCOUNTING OF EXPIRED STOCKS
Warehouse Manager to ensure that expired stock is stored
separately.
Stock supervisor to co-ordinate with Warehouse manager and
submit report of expired stock to TDM & SAM.
8/6/2019 PEPSI Report File
47/70
Varun baverages ltd. (Pepsico) Rajiv Kumar47
Details of all expired products needs to be sent to MU control
Group as per Authority Matrix
MU control group to forward the same to BU for approvals.
Post approval from BU, expired stocks will be drained at
warehouses in presence of PI employee.
Sales accounting Manager shall be the FPR for issuing instructions
to warehouses for draining of stocks.
MARKET AUDIT
Market audit is carried out through deployment of external resources/
internal resources.
Market Audit must be done for the following claims:
Card Discounts
Scheme Discounts
Spoke Commission
Market Auditors to show the report to the CE and the TDM for their
comments on the market audit done and obtain their signature on the
report.
At the end of every month, the market auditors must provide the report
of each and every distributor audited against the plan given at the
beginning of the month to the UFM/SAM
8/6/2019 PEPSI Report File
48/70
Varun baverages ltd. (Pepsico) Rajiv Kumar48
DEALER SURVEYAND RELATIONSHIP
MANAGEMENT WITH RETAILERS &
CHECKADVERTISMENTINMARKET
8/6/2019 PEPSI Report File
49/70
Varun baverages ltd. (Pepsico) Rajiv Kumar49
SCOPE OF PROJECT
1. Detailed study of the ADVERTISMENTofsoft drinks industry in India
2. Analysis of Pepsis performance against the other prevailingnoncarbonatedSoft drinks brands in the country.
3. Evaluate the performance of Agency performance and compare withthe market size in the area.
4. Find out the problems in the area related to retailers.
5. To increase sales in market.
8/6/2019 PEPSI Report File
50/70
Varun baverages ltd. (Pepsico) Rajiv Kumar50
OBJECTIVES OF THE PROJECT
1- Survey of each dealer and retailer in the area allotted.
2-Create good relationship with Retailers.
3. Sell the products to the retailers who are not willing to buy Pepsi
product.
4. To improve advertisement in market.
8/6/2019 PEPSI Report File
51/70
Varun baverages ltd. (Pepsico) Rajiv Kumar51
Research Methodology
SAMPLING
Basic sampling Term
SAMPLE AND SAMPLE SURVEYo A part of a population, or a subset from a set of units, which is
provided by some process or other, usually by deliberate selection
with the ob ject of investigating the properties of the parent
population or set.
o Sample survey refers to the survey which is carried out using a
sampling method, i.e. in which a portion only, and not the whole
population, is surveyed.
POPULATION
o In statistical usage the term population is applied to any finite or
infinite collection of individuals.
o It has displaced the older term universe, which is derived from the
universe of discourse of logic.
8/6/2019 PEPSI Report File
52/70
Varun baverages ltd. (Pepsico) Rajiv Kumar52
o It is practically synonymous with aggregate and does not
necessarily refer to a collection of living organisms.
SAMPLING UNIT
o One of the units into which an aggregate is divided or regarded as
divided for the purposes of sampling, each unit being regarded as
individual and indivisible when the selection is made.
o The definition of unit may be made on some natural basis, or on
some arbitrary basis.
o In the case of multi-stage sampling the units are different at
different stages of sampling.
SAMPLING FRAME
o A list, map or other specification of the units, which constitute the
available information relating to the population designated for a
particular sampling scheme.
o The nature of the frame exerts a considerable influence over the
structure of a sample survey.
o In multi-stage sampling it is sometimes possible to construct the
frame at higher stages during the progress of the sample survey
itself.
8/6/2019 PEPSI Report File
53/70
Varun baverages ltd. (Pepsico) Rajiv Kumar53
SAMPLING DESIGN
o A sample design is a definite plan for obtaining a sample from the
sampling frame.
o It refers to the technique or the procedure the researcher would
adopt in selecting some sampling units from which inferencesabout the population is drawn.
STATISTIC AND PARAMETER
o A statistic is a characteristic of a sample.
o A parameter is a characteristic of a population.
o To obtain the estimate of a parameter from a statistic constitutes
the prime objective of sampling analysis.
8/6/2019 PEPSI Report File
54/70
Varun baverages ltd. (Pepsico) Rajiv Kumar54
METHODOLOGY:
DATA COLLECTION
1) Primary Sourceg Retailersg Whole sellers
2) Secondary Source
g
Internet. News paper. T.V.
8/6/2019 PEPSI Report File
55/70
Varun baverages ltd. (Pepsico) Rajiv Kumar55
RESEARCH INSTRUMENTS
Questionnaires
. FAQs (Frequently asked questions)
SAMPLING PLAN
1) Sampling Unit: Who is to be surveyed?
Urban Retailers,Rural Retailer
2) Sample Size: How many people to be surveyed?
All retailers in the area (of all age groups)
3) Sampling Procedure:
We have taken sample from following areas:
1) holi gate
2) Dampier Nagar
3) Vikas Market
4) New Bus stand
5) M.H. MATHURA
6) Tank churaha
8/6/2019 PEPSI Report File
56/70
Varun baverages ltd. (Pepsico) Rajiv Kumar56
7) Tentigaon
8) Surir
9) etc. near by Mathura
8/6/2019 PEPSI Report File
57/70
Varun baverages ltd. (Pepsico) Rajiv Kumar57
Pepsi
coca-cola
Total Number of Shops In The Area - 156
Refrigerator- 43 units
(According to sample size)
Retailers preference (On the basis of the stocks they
have in the shop)
Pepsi 65%
Coca-cola 35%
35%
65%
8/6/2019 PEPSI Report File
58/70
Varun baverages ltd. (Pepsico) Rajiv Kumar58
sign board pepsi
sign board coca-
cola
Visi Pepsi
Visi Coca-Cola
Sign Board on Shop
82 shops has signboards of any company
Pepsi 71% (75 Shops)
Coca-cola 29% (39 shops)
19%
81%
Refrigerator in Shop-
43 shops has refrigerator
Pepsi-73% (58shops)
Coca-cola-27% (22 Shops)
27%
73%
8/6/2019 PEPSI Report File
59/70
Varun baverages ltd. (Pepsico) Rajiv Kumar59
Cold Stock
Pepsi
Cold Stock
Coca-Cola
warm Stock
Pepsi
warm Stock
Coca-Cola
Warm Stock-
Pepsi-61%(6006units)
Coca-Cola- 39%(3993units)
41%
59%
Cold Stock-
Pepsi-55% (3708 units)
Coca-Cola-45% ( 3034 units)
45%
55%
8/6/2019 PEPSI Report File
60/70
Varun baverages ltd. (Pepsico) Rajiv Kumar60
Some advertisement Compare with Coca-cola
8/6/2019 PEPSI Report File
61/70
Varun baverages ltd. (Pepsico) Rajiv Kumar61
8/6/2019 PEPSI Report File
62/70
Varun baverages ltd. (Pepsico) Rajiv Kumar62
8/6/2019 PEPSI Report File
63/70
Varun baverages ltd. (Pepsico) Rajiv Kumar63
In the given pictures the pepsi is better than coke is clear
represented by advertisement compare b/w both.
8/6/2019 PEPSI Report File
64/70
Varun baverages ltd. (Pepsico) Rajiv Kumar64
Through FAQs
1-The market position of the Pepsi is very strong in area
allotted to me near about 75%softdrinks sold belongs to
Pepsi.
2-Dew is the most selling brand in the area and at second
position is mineral water.
3-Retailers are not getting the benefits provided by the
company because agency is more interested in selling to the
whole sellers in bulk.
4-when there is any scheme launched by the company
agency sells all the stock to the whole sellers for some
benefit.
5-Whole sellers are selling at low price than Agency because
of the stock they bought in schemes.
6-The work force is not well compensated their salary is very
little.
7-Acceseries are provided to the big shops only and the
should be on the main road.
8/6/2019 PEPSI Report File
65/70
Varun baverages lth
. (i
p q r is t ) Rajiv Kumar65
1.Schemes should be provided to the customers not to the
whole sellers.
2.Accessories should be provided on the basis of sale.
3.Check the selling of whole sellers at lower price than
agency.
4.Agency should be more honest in providing benefits to
retailers.
5.Salary of sales force should be increased so they may
not do fraud with retailers to earn more.
6.Company should in advertisement in market to
increase sale inlocal areas.
7. efrigerator should provide to retailer because some
retailer have only own refrigerator .
8.Monthly inspection should be done to find out
problems of customers.
8/6/2019 PEPSI Report File
66/70
Varun baverages ltd. (Pepsico) Rajiv Kumar66
1-An inspection officer should be recruited whoperform surprise inspection of the market and findout the problems.
2-Salary of the sales personals should be increasedso they may not indulge in fraud to retailers.
3-The vehicles of the agency should be inspected sothe delivery should be maintained.
4-The supply from the factory to the agency should
be good especially the brands like DEW.
5. board ,banner etc should provide to retailer alsotime to time check it.
8/6/2019 PEPSI Report File
67/70
Varun baverages ltd. (Pepsico) Rajiv Kumar67
My Project gives me the true knowledge of customer relationship concepts &
also helped to understand the working environment of the Pepsico.
The major thing, which I found in my whole project, is as follow:
The market share of Pepsico is more than Coke
The distribution channel of both company is very bad.
Advertising policy of Pepsi is better than Coca Cola.
Retailers are highly dissatisfied with salesmen behavior.
Company relation with retailers is credit based.
There are very less effort for promoting sales.
There are no direct communication between retailers and company.
Retailers are not aware about company scheme and product
development.
Scheme is not distributed honestly among retailers.
8/6/2019 PEPSI Report File
68/70
Varun baverages ltd. (Pepsico) Rajiv Kumar68
www.google.com
www.Pepsicoindia.com
www.Pepsico.com
Philip Ko l r,Marketing Management, Twelfth Edition.
Paul E. Green, Donald S. Tull and Gerald Albaum-
Research For Marketing Decision,
G.C. Berry , Marketing Research
8/6/2019 PEPSI Report File
69/70
Varun baverages ltd. (Pepsico) Rajiv Kumar69
S.No Shop name Address Contact No. Advertisement condition
Fridge warm stock cold stock
Pepsi coke pepsi coke Pepsi coke
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
2627
28
29
30
8/6/2019 PEPSI Report File
70/70