Page 1

Page 2


Marketing Project Submitted by:

Shrinivas Gotety 69
Divya Kudva 75
Nibha Chandrashekar 83
Aparna Pai 110
Rafiya Mukadam 111
Sandeep Nair 114



Page 3

Table of Contents





























Sr.No. Topics Page No.
1. About the Company

5-6
2. Product

7-15
3. Place

16-17
4. Pricing and Packaging

18
5. Promotion

19-20
6. SWOT Analysis

21-22
7. Product Life Cycle 23-24
8. Segmentation 24-25

9. Targeting 26

10. Positioning 27-28
11. Competitor Analysis 29-31
12. Financial Report 32
13. Future: Mission and Vision 33-34
14. Bibliography 35
Page 4

ACKNOWLEDGEMENT



We wish to express our deep gratitude towards all the persons who contributed for this
project and helped develop ideas and approach in report writing.
We are grateful to Professor VIKRAM PAREKH, Faculty of subject Marketing Management,
MMS-I, SIESCOMS, Nerul for his guidance throughout our project work.
We would like to thank Prof. Dr. SNV SIVA KUMAR, the director of SIES College of
management studies, Nerul, Navi Mumbai for his kind permission to carry on our project
work and his cooperation.
Last but not the least we would like to thanks all our college friends for their
encouragement and support.



















Page 5

ABOUT THE COMPANY





In India, the Coca-Cola system comprises of a wholly owned subsidiary of The Coca-Cola
Company namely Coca-Cola India Pvt Ltd which manufactures and sells concentrate and
beverage bases and powdered beverage mixes, a Company-owned bottling entity, namely,
Hindustan Coca-Cola Beverages Pvt Ltd; thirteen authorized bottling partners of The Coca-
Cola Company, who are authorized to prepare, package, sell and distribute beverages under
certain specified trademarks of The Coca-Cola Company; and an extensive distribution
system comprising of our customers, distributors and retailers. Coca-Cola India Private
Limited sells concentrate and beverage bases to authorized bottlers who are authorized to
use these to produce our portfolio of beverages. These authorized bottlers independently
develop local markets and distribute beverages to grocers, small retailers, supermarkets,
restaurants and numerous other businesses. In turn, these customers make our beverages
available to consumers across India.
It includes over 7,000 Indian distributors and more than 1.3 million retailers. Today, our
brands are the leading brands in most beverage segments. The Coca-Cola Companys brands
in India include Coca-Cola, Fanta Orange, Fanta Apple, Limca, Sprite, Thums Up, Burn,
Kinley, Maaza, Maaza Milky Delite, Minute Maid Pulpy Orange, Minute Maid Nimbu Fresh
and Nestea Iced tea, the Georgia Gold range of teas and coffees and Vitingo (a beverage
fortified with micro-nutrients).
The Coca-Cola Company has invested nearly USD 1.1 billion in its operations in India since its
re-entry back into India in 1992. The Coca-Cola system in India directly employs over 25,000
people including those on contract. The system has created indirect employment for more
than 1,50,000 people in related industries through its vast procurement, supply and
distribution system. We strive to ensure that our work environment is safe and inclusive and
that there are plentiful opportunities for our people in India and across the world.
The beverage industry is a major driver of economic growth. A National Council of Applied
Economic Research (NCAER) study on the carbonated soft-drink industry indicates that this
industry has an output multiplier effect of 2.1. This means that if one unit of output of
beverage is increased, the direct and indirect effect on the economy will be twice of that. In
terms of employment, the NCAER study notes that an extra production of 1000 cases
generates an extra employment of 410 man days.
As a Company, our products are an integral part of the micro economy particularly in small
towns and villages, contributing to creation of jobs and growth in GDP. Coca-Cola in India is
amongst the largest domestic buyers of certain agricultural products.

As an industry which has strong backward and forward linkages, our operations catalysis
growth in demand for products like glass, plastic, refrigeration, transportation, and
Industrial and agricultural products. Our operations also lead to incremental growth for
Page 6

enterprises engaged in post production activities like merchandising, marketing and sales. In
addition, we share best practices and technological advancements with our suppliers,
vendors and allied industries which often lead to improvement in the overall standards of
quality across industries.
The Coca-Cola Company has always placed high value on good citizenship. Our basic
proposition entails that our Companys business should refresh the market; enrich the
workplace; protect and preserve the environment; and strengthen the community. We
leverage our unique strengths to actively support and respond to local needs -- be it the
need for education, health, water or nutrition. We have used our distribution network for
disaster relief, our marketing prowess to raise awareness on issues such as PET recycling,
and our presence in communities to improve access to education and potable water. The
Coca-Cola India Foundation is now taking forward in the community at large, projects and
programs of social relevance to carry forward the message of inclusive growth and
development.
At the core of our business in India, as in the rest of the world is our production and
distribution network, which we call the Coca-Cola system. Globally, the Coca-Cola system
includes our Company and more than 300 bottling partners. The Coca-Cola Company
manufactures and sells concentrate and beverage bases. Our authorized bottlers combine
our concentrate or beverage bases as the case may be with sweetener (depending on the
product), water or carbonated water to produce finished beverages. These finished
beverages are packaged in authorized containers bearing our trademarks -- such as cans,
refillable glass bottles, non-refillable PET bottles and tetra packs -- and are then sold to
wholesalers or retailers. In India, additionally, the Company also sells certain powdered
beverage mixes such as Vitingo and Fanta Fun Taste.
Our beverages reach our ultimate consumers through our customers: the grocers, small
retailers, hypermarkets, restaurants, convenience stores and millions of other businesses
that are the final points of distribution in the Coca-Cola system. What truly defines the Coca-
Cola system, and indeed what makes it unique among businesses, is our ability to create
value for our customers and consumers.
In India, the Coca-Cola system comprises of a wholly owned subsidiary of The Coca-Cola
Company namely Coca-Cola India Pvt Ltd which manufactures and sells concentrate and
beverage bases and powdered beverage mixes, a Company-owned bottling entity, namely,
Hindustan Coca-Cola Beverages Pvt Ltd; thirteen authorized bottling partners of The Coca-
Cola Company, who are authorized to prepare, package, sell and distribute beverages under
certain specified trademarks of The Coca-Cola Company; and an extensive distribution
system comprising of our customers, distributors and retailers. Coca-Cola India Private
Limited sells concentrate and beverage bases to authorized bottlers who are authorized to
use these to produce our portfolio of beverages. These authorized bottlers independently
develop local markets and distribute beverages to grocers, small retailers, supermarkets,
restaurants and numerous other businesses. In turn, these customers make our beverages
available to consumers across India.




Page 7

Product


Coca cola
Thumps up
Spirit
Limca
Fanta
Maaza
Minute maid pulpy orange
Minute maid nimbu fresh
Kinley water
Kinley soda

COCA COLA
Description: Coca-cola has a truly remarkable heritage. From a humble beginning in 1886,
it's now the flagship brand of the largest manufacturer, marketer and distributor of non
alcoholic beverages in the world.
NUTRITIONAL FACTS
Typical values per 100ml
Energy 44kcal
Sugar 11g
Carbohydrate 11g
Protein 0g
Fat 0g

Page 8

Packaging
RGB 200ml,300ml,330ml
PET 350ml,400ml,500ml,

600ml,1250ml,1500ml,
2000ml,2250ml

Fountain glass various size
Cans 300ml,330ml

Diet coke
Description: Diet Coke is for those who want plenty of taste but no calories. Diet coke is also
known as Coke light in some countries
NUTRITIONAL FACTS
Typical values per 100ml
Energy 0.2kcal
Sugar 0g
Carbohydrate 0g
Protein 0g
Fat 0g

Packaging
Pet 300ml,500ml
Can 300ml,330ml

Thumps Up
Description: Thumps Up is known for its strong, fizzy taste and its confident, mature and
uniquely masculine attitude. This brand clearly seeks to separate the men from the boys.
NUTRITIONAL FACTS
Typical values per 100ml
Energy 40kcal
Sugar 10g
Carbohydrate 10g
Protein 0g
Fat 0g
Page 9

Packaging
Cans 300ml,330ml
RGB 200ml,300ml
PET 350ml,400ml,
600ml,1250ml,
2000ml2250ml
Fountain glass various sizes

Sprite
Description: Sprite is the brand that gained most share in sparkling beverages in year
2010.Present in over 130 countries worldwide. In India sprite is the second largest brand of
soft drinks.
NUTRITIONAL FACTS
Typical values per 100ml
Energy 48kcal
Sugar 12g
Carbohydrate 12g
Protein 0g
Fat 0g

Packaging
Cans 300ml,330ml
RGB 200ml,300ml,330ml
PET 350ml,400ml,
500ml,600ml,1250ml,
1500ml,2000ml2250ml
Fountain glass various sizes

Page 10

Fanta

Description: Fanta the 'orange' drink
Over the years Fanta has occupied a strong market place and is identified as the "The Fun
Catalyst".

NUTRITIONAL VALUE:
Typical values per 100ml
Energy 52kcal
Sugar 13g
Carbohydrate 13g
Protein 0g
Fat 0g

Packaging
Cans 300ml,330ml
RGB 200ml,300ml,330ml
PET 350ml,400ml,
500ml,600ml,1250ml,
1500ml,2000ml2250ml
Fountain glass various sizes

Limca
Description: Limca's freshness is like no other- 'lime n lemoni'
Lime 'n' lemoni Limca can cast a tangy refreshing spell on anyone, anywhere. Derived from
'Nimbu' + 'jaisa' hence Lime Sa, Limca has lived up to its promise of refreshment and has
been the original thirst choice of millions of consumers for over 3 decade.

NUTRITIONAL FACTS
Typical values per 100ml
Energy 44kcal
Sugar 11g
Carbohydrate 11g
Protein 0g
Fat 0g

Page 11

Packaging
Cans 300ml,330ml
RGB 200ml,300ml,330ml
PET 350ml,400ml,
500ml,600ml,1250ml,
1500ml,2000ml2250ml
Fountain glass various sizes


Maaza
Description: Maaza the wholesome family fun
Mango. Imagine this delicious fruit, bottled. This is what Maaza is all about. Maaza- the
most loved beverage brand in India. It provides the most authentic experience of rich, juicy
mangoesanytime, anywhere!

NUTRITIONAL FACTS
Typical values per 100ml
Energy 54kcal
Sugar 13.5g
Carbohydrate 13g
Protein 0g
Fat 0g

Packaging
RGB 200ml,250ml
PET 250ml,400ml,600ml,1.21L
Pocket Pack 200ml

Page 12

Minute maid pulpy orange
Description: Refreshingly Orange Surprisingly Pulpy!
Minute Maid one of the world's largest juice and juice drink brands.

NUTRITIONAL FACTS
Typical values per 100ml
Energy 42kcal
Sugar 10.5g
Carbohydrate 9g
Protein 0g
Fat 0g

Packaging
PET 400ml, 1L,1.2L




Page 13

Minute maid nimbu fresh
Description: Just Like Home-made Lemonade
A lemon drink with no added preservative or colour, Minute Maid Nimbu Fresh offers a
refreshing drinking experience as close to homemade Nimbu Paani as possible in a packaged
format. Nostalgia in a bottle, Minute Maid Nimbu Fresh offers 'Ghar Ki Yaadon Ka Ras'
(memories of home-made lemonade) in every sip.

NUTRITIONAL FACTS
Typical values per 100ml
Energy 48kcal
Sugar 12g
Carbohydrate 11.7g
Protein 0g
Fat 0g

Packaging
RGB 200ml
PET 400ml,1L
Tetra pack 200ml

Page 14


Kinley water
Description: Water you can trust and be truly safe and pure.
Kinley water understands the importance and value of this life giving force. Kinley water
thus promises water that is as pure as it is meant to be.

NUTRITIONAL FACTS
Typical values per 100ml
Energy 0kcal
Sugar 0g
Carbohydrate 0g
Protein 0g
Fat 0g
Sodium 0.3mg
Magnesium 0.1mg

Packaging
PET 500ml,1000ml,2l,20l,25l

Page 15


Kinley soda
Description: India's no.1 National Soda brand.
With its unique taste and formula Kinley Soda packs quite a punch

NUTRITIONAL FACTS
Typical values per 100ml
Energy 44kcal
Sugar 11g
Carbohydrate 11g
Protein 0g
Fat 0g
Sodium 0.3mg
Magnesium 0.1mg
Packaging
RGB 200ml,300ml
PET 350ml,500ml,1.25l,1.5l,2l





Page 16

Place

The Place in the marketing mix refers to distribution of the product-the ways of getting the
product to the market. The distribution of products starts with the producer and ends with
the consumer. One key element of the Place aspect is the respective distribution channels
that Coca Cola has selected to transport and sell its product. Selecting the most appropriate
distribution channel is important, as the choice will determine sales levels and costs. The
choice for a distribution channel for any business depends on numerous factors, these
include:

>How far away the customers are;

>The type of product being transported;

>The lead times required; and;

>The costs associated with transport;

There are four types of distribution strategies that Coca Cola could have chosen from, these
are: intensive, selective, exclusive and direct distribution.
The Coca-Cola Company uses intermediaries (wholesalers and retailers) in its distribution.
That is, the company does not sell its products directly to its consumers. It is apparent from
the popularity of Coca Colas product in the market that the business uses the method of
intensive distribution as the product is available at every possible outlet. From supermarkets
to retail outlets, smallshops, restaurants, petrolstations, schools, sports and entertainment
venues & from vending machines. Coca Cola has made its products available in all markets
be it Rural or Urban.
It has a wide and wel l managed network of salesmen appointed for taking up the
responsibility of distribution of products to diverse parts of the ci t i es . The di s t r i but i on
channel s ar e cons t r uct ed i n s uch a way t hat t he demand of customers is
fulfilled at the right place and the right time when it is needed by them.
A typical distribution chain at Coca Cola would be:

Production---Plant Warehouse---Depot Warehouse---Distribution Warehouse---Retail Stock ---Retail
Shelf ---Consumer


Page 17

The customers of the Company are divided into different categories and different routes,
and every salesman is assigned to one particular route, wh i c h i s t o b e f o l l o we d
b y h i m o n a d a i l y b a s i s . A d e t a i l e d a n d we l l organized distribution
system contributes to the efficiency of the salesmen. It also leads to low costs, higher sales
and higher efficiency thereby leading to higher profits to the firm.

DISTRIBUTION ROUTES

The various routes formulated for distribution of products are as follows:

Key Account s :
The customers in this category collectively contribute a large chunk of the total sales of the
Company. It basically consists of organizations that buy large quantities of a
product in one single transaction. The Company provides goods to these customers on
credit, payments being made by them after a certain period of time i.e. either a
month of half a month.
Examples:
Clubs, fine dine restaurants, hotels, Corporate houses etc.
Future Consumption:
This route consists of outlets of Coca-Cola products, wherein a considerable amount of stock
is kept in order to use for future consumption. The stock does not exhaust within a day or
two, instead as and when required stocks are stacked up by them so as to avoid shortage or
non-availability of the product.
Examples:
Departmental stores, Super markets etc.

Immediate Consumption:
The outlets in this route are those whi ch r equi r e s t ocks on a dai l y bas i s . The
s t ocks of pr oduct s i n these outlets are not stored for future use instead, are
exhausted on the same day and might run a little into the next day i.e. the products are
consumed at a fast pace.
Examples:
Smal l s i z ed bar s and r es t aur ant s , educat i onal institutions etc.
General:
Under this route, all the outlets that come in a particular area or an area along with its
neighbouring areas are catered to. The consumption period is not taken into consideration
in this particular route.

Page 18

Price and Packaging

Coca Cola products come in the following packages:
SSRB (Standard size returnable bottle)
LRB (Large size returnable bottle)
NRD (Non-returnable/ Disposable bottle)
PET (Plastic Bottle 500 ml)
PET (Plastic Bottle 1.5/ 2 litre)
CANS (tin pack 330 ml)

As a restatement of a brand's positioning strategy, a brand's core benefit proposition
suggests what pricing strategy it should use. If it's offering more "benefit," then a price
skimming strategy (relative to its closest competitor) makes sense; if it's offering more
"value," then a price penetration strategy would be most appropriate.
In a vast country like India, distribution and storage has been an issue. Prior to 1993, it
wasn't just distribution and refrigeration issues that caused Coca-Cola to stumble in India.
The company also erred in adopting the low price-point strategy that many other foreign
consumer-goods companies were using at the time to sell their products in rural India. What
the people actually wanted were good quality products at a reasonable price. About seven
years ago, Coca-Cola set out to woo rural consumers by halving the price of a 200-milliliter
(seven-ounce) bottle to Rs. 5 (11 cents) which was a "psychological price point. A price war
erupted as rival PepsiCo matched the Rs. 5 price. Both firms have since dropped the
strategy, however, and let prices for their 200-ml sodas rise up to around Rs. 8. However,
soft drinks that come in a glass bottle have to be returned to bottling plants, and no
mechanism can provide such drinks at a cheap cost due to freight charges. They then looked
at alternative packaging and how to organize distribution. Like many consumer packaged
goods companies, Coke has been offering its products in smaller packages as a way to
flatten prices. Rival PepsiCo, which also sells food and snacks, has said it faces cost inflation
of 8 to 9.5 per cent this year but that it would not pass all of that on to consumers.
In its latest quarter, Cokes revenues rose 40 per cent to $10.5bn, with its relatively low
prices keeping volumes strong.

Page 19

Promotion


Advertisement Strategy

Coke realised that the communication media used in cities and urban areas would
not work in villages because of low penetration of conventional media.
Coca Cola India also launched television commercials (TVCs) targeted at rural
consumers. In orders to reach more rural consumers, Coca Cola India increased its
ad-spend on Doordarshan.
The company ensured that all its rural marketing initiatives were well-supported by
TVCs.
When Coca Cola launched Chota Coke in 2002 price at Rs. 5, it bought out a
commercial featuring Bollywood actor Aamir Khan to communicate the messages of
the price cut and the launch of 200 ml bottles to the rural consumers.
The commercial was shot in a rural setting.
In the summer of 2003, Coca Cola India came up with a new commercial featuring
Aamir Khan, to further strengthen the Coca Cola brand image among rural
consumers.
The commercial aimed at making coke a generic name for Thanda. Of the reason
for picking up the word Thanda, Prasoon Joshi, national creative director McCann
Erickson, the creator of the commercial had a view that Thanda is a very North India-
centric phenomenon and any restaurant in the north and the attendants would
promptly ask, thanda ya garam?
Between March and September 2003, Coca Cola India launched three commercials
with the Thanda Matlab Coca-Cola tag line.
All the three commercials aimed to make rural and semi-urban consumers connect
with Coca-Cola.
The first ad featured Aamir Khan as a tapori (street smart); in the ad he makes the
association between Coca-Cola and the word Thanda.
The second commercial in the series featured Aamir Khan as a Hyderabadi shop-
keeper; here again he equates the word Thanda with Coca-Cola.
The third commercial featured Aamir Khan as a Punjabi Farmer who offers Coca
Cola to ladies asking for Thanda.
Thanda usually means lassi or nimbu pani, garam is essentially tea. Because the
character, in itself, represented a culture, they wanted to equate Coke with
Thanda, since Thanda too is part of the popular dialect of the north.
Thus making Thanda generis for Coca-Cola, with the long-playing possibilities of the
Thanda idea becoming evident, thanda became the central idea. Once we decided
to work on that idea, in the creative mind just opened up.
Page 20

Open Happiness is a global marketing campaign for The Coca-Cola Company that was
rolled out worldwide in the first half of 2009, following the company's "Coke Side of
Life" advertising campaign.
Brrrr campaign by actor Imran khan talked of the happy energy and happy
refreshment, the expression of having an icy cold Coca-Cola. But it apparently did
not connect well with the viewers.
The commercial called 'Khushiyaan Baatne Se Hi Badhti Hain' or 'Do diye aur jalao'
and it happens to be the latest campaign from Coke's ad vending machine to hit our
telly screens.

Celebrating the joy of sharing and spreading happiness, Coca-Cola has launched its
new integrated communication initiative - "Khushiyan Baatne Se Hi Badhti Hain", this
Diwali. The campaign builds on the values of inclusivity, spreading and extending
happiness that India as a society revels in and something that brand Coca-Cola has
always been a proponent of. The theme of the Diwali campaign is that 'Happiness
just becomes bigger when you extend it to others, making the sphere of happiness
larger and it lights up everything around you.' To further amplify the campaign,
Coca-Cola has tied up with Ra.One trough an interesting consumer promotion where
consumers are invited to call and respond to the question - Who will you light 2
diyas for, this Diwali? through an Interactive Voice Response System (IVRS). 25
Lucky respondents chosen through a computer generated luck draw will win a
chance to meet, the leading star of Ra.One, Shah Rukh Khan.

The Coca-Cola Television Campaign for Diwali 2011 portrays how a group of friends
set out to brighten up spaces that are most dear to them with diyas, thereby
spreading happiness. The movement to spread the happiness is contributed by each
of the friends lighting diyas in memory of special moment in a particular place like
their classroom, the girl's hostel watchman, canteen table etc. The soulful
background score further adds to the positivity and celebratory spirit.

Coca cola has a huge fan following all over the world. It uses various social
networking sites to advertise. On facebook, a famous social networking site, one can
see the logo of coca cola on their home page at times. They have also created a
facebook page for coca cola which is liked by more than 35,953,224 people all
over the world till date.

There are also pages called I hate coke which also in a way help in negative
marketing.

Page 21

SWOT Analysis

SWOT stands for Strengths Weakness Opportunities Threats. SWOT analysis is a technique
much used in much general management as well as marketing scenarios. SWOT consists of
examining the current activities of the organization- its Strengths and Weakness- and then
using this and external research data to set out the Opportunities and Threats that exist.

Strengths:
Coca-Cola has been a complex part of world culture for a very long time. The product's
image is loaded with over-romanticizing, and this is an image many people have taken
deeply to heart.
The Coca-Cola image is displayed on T-shirts, hats, and collectible memorabilia. This
extremely recognizable branding is one of Coca-Cola's greatest strengths. "Enjoyed more
than 685 million times a day around the world Coca-Cola stands as a simple, yet powerful
symbol of quality and enjoyment" (Allen, 1995).
Additionally, Coca-Cola's bottling system is one of their greatest strengths. It allows them to
conduct business on a global scale while at the same time maintain a local approach. The
bottling companies are locally owned and operated by independent business people who
are authorized to sell products of the Coca-Cola Company. Because Coke does not have
outright ownership of its bottling network, its main source of revenue is the sale of
concentrate to its bottlers.

Weaknesses:
Weaknesses for any business need to be both minimized and monitored in order to
effectively achieve productivity and efficiency in their businesss activities, Coke is no
exception. Although domestic business as well as many international markets are thriving
(volumes in Latin America were up 12%), Coca-Cola has recently reported some "declines in
unit case volumes in Indonesia and Thailand due to reduced consumer purchasing power."
According to an article in Fortune magazine, "In Japan, unit case sales fell 3% in the second
quarter [of 1998]...scary because while Japan generates around 5% of worldwide volume, it
contributes three times as much to profits.

Page 22

Latin America, Southeast Asia, and Japan account for about 35% of Coke's volume and none
of these markets are performing to expectation.
Coca-Cola on the other side has effects on the teeth which is an issue for health care. It also
has got sugar by which continuous drinking of Coca-Cola may cause health problems. Being
26 addicted to Coca-Cola also is a health problem, because drinking of Coca-Cola daily has
an effect on your body after few years.

Opportunities:
Brand recognition is the significant factor affecting Coke's competitive position. Coca-Cola's
brand name is known well throughout 94% of the world today. The primary concern over
the past few years has been to get this name brand to be even better known. Packaging
changes have also affected sales and industry positioning, but in general, the public has
tended not to be affected by new products. Coca-Cola's bottling system also allows the
company to take advantage of infinite growth opportunities around the world. This strategy
gives Coke the opportunity to service a large geographic, diverse area.

Threats:
Currently, the threat of new viable competitors in the carbonated soft drink industry is not
very substantial. The threat of substitutes, however, is a very real threat. The soft drink
industry is very strong, but consumers are not necessarily married to it. Possible substitutes
that continuously put pressure on both Pepsi and Coke include tea, coffee, juices, milk, and
hot chocolate. Even though Coca-Cola and Pepsi control nearly 40% of the entire beverage
market, the changing health-consciousness of the market could have a serious affect. Of
course, both Coke and Pepsi have already diversified into these markets, allowing them to
have further significant market shares and offset any losses incurred due to fluctuations in
the market.
Consumer buying power also represents a key threat in the industry. The rivalry between
Pepsi and Coke has produce a very slow moving industry in which management must
continuously respond to the changing attitudes and demands of their consumers or face
losing market share to the competition. Furthermore, consumers can easily switch to other
beverages with little cost or consequence.



Page 23

Product Life cycle

When referring to each and every product or service ever placed before the consumer i.e. in
the long term all the existing products and services are dead. For e.g.:- Replacement of Ford
Cortina (a highly successful car) by Ford Sierra, the replacement of sierra by the Ford
Mondeo and the replacement of the old Mondeo by the new Mondeo in 2001. So every
product is born, grows, matures and dies. So in the commercial market place products and
services are created, launched and withdrawn in a process known as Product Life Cycle.
To be able to market its product properly, a business must be aware of the product life cycle
of its product. The standard product life cycle tends to have five phases:
Development
Introduction
Growth
Maturity
Decline

FIGURE: Product Life Cycle



Page 24

Coca-Cola is currently in the maturity stage, which is evidenced primarily by the fact that
they have a large, loyal group of stable customers.
Furthermore, cost management, product differentiation and marketing have become more
important as growth slows and market share becomes the key determinant of profitability.
In foreign markets the product life cycle is in more of a growth trend Coke's advantage in
this area is mainly due to its establishment strong branding and it is now able to use this
area of stable profitability to subsidize the domestic Cola Wars.

Segmentation

There are three broad ways which Coca Cola segments its market:
Coca cola product has been covering the entire demographic and economic variations in its
segmentation marketing schemes. Although segmentation has been done according to
different categories, they appear relevant only in the advertisements where each
advertisement is targeted at a specific segment.
With segmentation, the company aims at reduction in expenses, improvements in cash flow,
productivity, improved manufacturing quality and service delivery.

The segments it has hence chosen are:

-> Differentiated marketing: This is the major modus operandi of Coca cola while
segmenting the general population. Where they concentrated on not just one, but two or
more segments at once. Diet coke satisfies the weight consciousness, regular coke, sprite,
fanta the average human, coffee, iced tea etc. Each group of beverages satisfy a particular
group of people but majority the average human. The Meri maa ke haath ka khana ads
where they combined the family segment with the youth segment.

-> Mass marketing: Where they ignore all the segments and go after the whole market with
one offer. By reaching the largest audience possible exposure to the product is maximized.
Television and print advertisements are used for the most part by Coca-cola for mass
marketing.
Page 25


-> Concentrated marketing: Concentrated marketing, where a product is marketed for a
very well defined and specific segment of the consumer population is also practiced by the
company. Specific parts of the demography are targeted such as the teenage youth, the
family and young couples.









































Page 26

Targeting

Think local, act local , is the mantra that Coca-Cola follows, wi th punchlines like
Life ho to aisi for Urban India and ThandaMatlab Coca-Cola forRural India. This
resulted in a 37% growth rate in rural India visa-vie 24%g r o wt h s e e n i n
u r b a n I n d i a . B e t we e n 2 0 0 1 a n d 2 0 0 3 , t h e p e r c a p i t a consumption of
cold drinks doubled due to the launch of the new packagingof 200 ml returnabl e glass
bottles which were made available at a pri ce of Rs . 5 per bot t l e. Thi s new
mar ket account ed f or over 80% of I ndi a s newCoca- Col a dr i nker s . At
Coca- Col a, t hey have a l ong s t andi ng bel i ef t hat everyone who touches their
business should benefit, thereby inducing themt o u p h o l d t h e s e v a l u e s ,
e n a b l i n g t h e C o mp a n y t o a c h i e v e s u c c e s s , recognition and loyalty
worldwide.
Target market

Coca-cola: Targets all age groups
Diet coke: weight consciousness

Maaza: kids , juice loving people

Sprite: young people

Thums-up: confident, mature and people with
masculine attitude

Fanta: family










Page 27

Positioning

Once a business has decided which segments of the market it will compete in, developed a
clear picture of its target market and defined its product, the positioning strategy can be
developed. Positioning is the process of creating, the image the product holds in the mind of
consumers, relative to competing products. Coca Cola and Pepsi both make soft drinks,
although Pepsi may try to compete they will still be seen as down market from Coca Cola.
Positioning helps customers understand what is unique about the products when compared
with the competition. Coca Cola plan to further create positions that will give their products
the greatest advantage in their target markets. Coca Cola has been positioned based on the
process of positioning by direct comparison and have positioned their products to benefit
their target market. Most people create an image of a product by comparing it to another
product, thus evident through the famous battles between Coca-Cola and Pepsi products.

Brand Localization Strategy: The Two Indias
India A: Life ho to aisi

India A, the designation Coca-Cola gave to the market segment including metropolitan
areas and large towns, represented 4% of the countrys population.33 This segment sought
social bonding as a need and responded to inspirational messages, celebrating the benefits
of their increasing social and economic freedoms. Life ho to aisi, (life as it should be) was
the successful and relevant tagline found in Coca-Colas advertising to this audience.


India B: Thanda Matlab Coca-Cola

Coca-Cola India believed that the first brand to offer communication targeted to the smaller
towns would own the rural market and went after that objective with a comprehensive
strategy. India B included small towns and rural areas, comprising the other 96% of the
nations population. This segments primary need was out-of-home thirst-quenching and the
soft drink category was undifferentiated in the minds of rural consumers. Additionally, with
an average Coke costing Rs. 10 and an average days wages around Rs. 100, Coke was
perceived as a luxury that few could afford. In an effort to make the price point of Coke
within reach of this high-potential market, Coca-Cola launched the Accessibility Campaign,
introducing a new 200ml bottle, smaller than the traditional 300ml bottle found in urban
markets, and concurrently cutting the price in Rs. 5. This pricing strategy closed the gap
between Coke and basic refreshments like lemonade and tea, making soft drinks truly
accessible for the first time. At the same time, Coke invested in distribution infrastructure to
Page 28

effectively serve a disbursed population and doubled the number of retail outlets in rural
areas from 80,000 in 2001 to 160,000 in 2003, increasing market penetration from 13 to
25%. Cokes advertising and promotion strategy pulled the marketing plan together using
local language and idiomatic expressions. Thanda, meaning cool/cold is also generic for
cold beverages and gave Thanda Matlab Coca-Cola delicious multiple meanings. Literally
translated to Coke means refreshment, the phrase directly addressed both the primary
need of this segment for cold refreshment while at the same time positioning Coke as a
Thanda or generic cold beverage just like tea, lassi, or lemonade. As a result of the Thanda
campaign, Coca-Cola won Advertiser of the Year and Campaign of the Year in 2003

Branding

It is often hard to say exactly why we buy one companys product over another. Companies
such as Nike and Adidas spend large amounts of money trying to win consumers away from
their competitors who make products that are very similar. The popularity of the brand is
often the deciding factor. Over the time Coca Cola has spent millions of dollars developing
and promoting their brand name, resulting in worldwide recognition. 'Coca-Cola' is the most
recognized trademark, recognized by 94% of the world's population and is the most widely
recognized word after "OK". Coca Colas red and white colours and special writing are all
examples of world- wide trademarks.
There are a number of branding strategies: Generic brand strategy, Individual brand
strategy, Family brand strategy, Manufacturers brand strategy, Private brand strategy and
Hybrid brand strategy. Coca Cola utilizes the Individual brand strategy as Coca Colas major
products are given their own brand names e.g. Fanta, Sprite, Coca Cola etc although they
may be presented as different lines they operate under the name of Coca Cola.




Page 29

Competitors

Coca cola faces stiff competitors from Pepsi Co and Parle Agro in juices, bottled water as
well as sparkling beverages categories. Some other players include Kraft Foods, Dabur India
and Rasna International.


Sparkling Beverages:




Coca-cola
53%
PepsiCo
43%
Parle Agro
and others
5%
Chart Title
Page 30

Water:


Pepsi Co.:
The major competition faced by Coca Cola International is Pepsi Co. PepsiCo is a world
leader in convenient foods and beverages, with revenues of about $27 billion and over
143,000 employees. PepsiCo brands are available in nearly 200 countries and territories.
PepsiCos product mix as of 2009 (based on worldwide net revenue) consists of 63 percent
foods, and 37 percent beverages. PepsiCo entered India in 1989 and in a short period of 20
years has grown into the largest and one of the fastest growing food & beverage business in
the country. PepsiCo Indias growth has been guided by PepsiCos global vision of
Performance with Purpose.
Products:
7up
Mirinda
Pepsi
Mountain Dew
Aquafina
Tropicana
Slice



Parle Bisleri
40%
Coca-cola
(Kinley)
25%
PepsiCo
( Aquafina )
10%
Others
25%
bottled water
Page 31

Parle Agro:

Parle Agro is an Rs 950 crore FMCG company with brands like Bailley and Frooti, is aiming
at a turnover of more than Rs 3,500 crore by 2012. Parle Agro commenced operations in
1984. It started with beverages, and later diversified into bottled water (1993), plastic
packaging (1996) and confectionary (2007). Frooti, the first product rolled out of Parle Agro
in 1985, became the largest selling mango drink in India. They are one of the biggest
companies in this sector with an annual turnover of Rs.10 billion that is expected to touch
Rs.30 billion.

Products:

Frooti
Appy Fizz
Bisleri
Bailley









Page 32

Financial statement of coca cola


Period Ending 31-Dec-10 31-Dec-09 31-Dec-08
Total Revenue 35,119,000 30,990,000 31,944,000
Cost of Revenue 12,693,000 11,088,000 11,374,000
Gross Profit 22,426,000 19,902,000 20,570,000
Operating Expenses

Research Development - - -
Selling General and Administrative 13,977,000 11,671,000 11,774,000
Non Recurring - - 350,000
Others - - -
Total Operating Expenses - - -
Operating Income or Loss 8,449,000 8,231,000 8,446,000
Income from Continuing Operations

Total Other Income/Expenses Net 5,502,000 289,000 305,000
Earnings Before Interest And Taxes 14,976,000 9,301,000 7,877,000
Interest Expense 733,000 355,000 438,000
Income Before Tax 14,243,000 8,946,000 7,439,000
Income Tax Expense 2,384,000 2,040,000 1,632,000
Minority Interest -50,000 -82,000 -
Net Income From Continuing Ops 12,834,000 7,605,000 5,807,000
Non-recurring Events

Discontinued Operations - - -
Extraordinary Items - - -
Effect Of Accounting Changes - - -
Other Items - - -
Net Income 11,809,000 6,824,000 5,807,000
Preferred Stock And Other Adjustments - - -
Net Income Applicable To Common Shares 11,809,000 6,824,000 5,807,000





Page 33

Future: Mission and Vision


The world is changing all around us. To continue to thrive as a business over the next ten
years and beyond, we must look ahead, understand the trends and forces that will shape
our business in the future and move swiftly to prepare for what's to come. We must get
ready for tomorrow today. That's what our 2020 Vision is all about. It creates a long-term
destination for our business and provides us with a "Road map" for winning together with
our bottling partners.

Our Mission

Our Road map starts with our mission, which is enduring. It declares our purpose as a
Company and serves as the standard against which we weigh our actions and decisions.

To refresh the world...
To inspire moments of optimism and happiness...
To create value and make a difference

Our Vision

Our vision serves as the framework for our Road map and guides every aspect of our
business by describing what we need to accomplish in order to continue achieving
sustainable, quality growth.
People: Be a great place to work where people are inspired to be the best they can
be
Portfolio: Bring to the world a portfolio of quality beverage brands that anticipate
and satisfy peoples desires and needs
Partners: Nurture a winning network of customers and suppliers, together we create
mutual, enduring value
Planet: Be a responsible citizen that makes a difference by helping build and support
sustainable communities
Profit: Maximize long-term return to share owners while being mindful of our overall
responsibilities
Productivity: Be a highly effective, lean and fast-moving organization
Our Winning Culture
Our Winning Culture defines the attitudes and behaviours that will be required of us
to make our 2020 Vision a reality.

Page 34


Live Our Values

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

Focus on the Market:

Focus on needs of our consumers, customers and franchise partners
Get out into the market and listen, observe and learn
Possess a world view
Focus on execution in the marketplace every day
Be insatiably curious

Work Smart :
Act with urgency
Remain responsive to change
Have the courage to change course when needed
Remain constructively discontent
Work efficiently

Act Like Owners :
Be accountable for our actions and in actions
Steward system assets and focus on building value
Reward our people for taking risks and finding better ways to solve problems
Learn from our outcomes -- what worked and what didnt
Be the Brand :
Inspire creativity, passion, optimism and fun


Page 35


Bibliography



www.coca-colaindia.com

www.wikipedia.com

economictimes.indiatimes.com

www.business-standard.com

www.google.com