CHAPTER 1

INNOVATIVE MARKETING STRATEGIES ADOPTED BY

COCA COLA

1.1 INTRODUCTION
This project is focused on studying the innovative marketing strategies adopted CocaCola.
The Coca-Cola Company by is the global soft drink industry leader, with world
headquarter in Atlanta, Georgia. The company and its subsidiaries employ nearly 30,000
people around the World Syrups, concentrates and beverages base for Coca-Cola, the
company flagship brand & over 160 other company soft drink brands are manufactured and
sold by Coca-Cola company and its subsidiaries in nearly 200 countries the world. In fact
approximately 70% of company profit come from outside the United States.
Coca- Cola company the global soft drink industry leader controlled Indian soft drink
industry till 1977. In 19393, the Coca-Cola company came back to India. But the scenario of
Indian soft drink industry had been changed from 1977 to 1993. The competition in the soft
drink industry become very tough. The major competitor at that time were pepsi and parle.
Parles best know brand includes ThumsUp, Limca, Citra and others had a market share of
20%.
Now Coca-Cola had to make some strategies to survive in this tough competition. For
this Coca-Cola decided to take over parle, so that the company can take the advantage of
parles network. This decision was proved very beneficial for Coke as it had ready access to
over 2,00,000 retailer outlets and 60 bottlers of parles network.
Coca-Cola company know their is so much potential in the Indian soft drink industry
and the can increase their sales by marketing strategies. So, they are spending a huge amount
of money on advertising and other sales promotional activities of their brands.

1.2 OBJECTIVE OF THE STUDY

1. To study the Innovative marketing strategies adopted by Coca-Cola.
2. To study the advertising effectiveness Coca-Cola on consumer.
3. To study the awareness of consumer regarding Coca-Cola.

1.3 HYPOTHESIS

HO :- There is negative relationship between innovation marketing strategies and sale

performance of Coca-Cola company.
H1 :- There is positive relationship between innovation marketing strategies and sale
performance of Coca-Cola company.
HO :- There is negative effect on price of Coca-Cola product after innovative
marketing strategies.
H1 :- There is positive effect on price of Coca-Cola product after innovative
marketing strategies.

1.4 NEED OF THE STUDY

This study will help the researcher gain a through insight into how marketing
innovation strategies work in the beverage industry. It will useful beverage industry, as a
framework for effective for study on innovative marketing strategies. This study help to
impact on marketing practitioners, managers of fast moving consumer goods, academia and
the general public. This study are expected to help inform decision making in the area of
market innovation as competitive strategy.

1.5 RESEARCH METHODOLOGY

To do a research always we use two source of data collection. Primary and Secondary
source.

Primary Data:
It is the source which collect the primary data through Questionnaire and Primary
source is used by the face-to face survey with the consumer of the company.

Secondary Data:
Secondary source is the internet, magazines and reference books of the research.

1.6 LIMITATION OF THE STUDY

This study was limited to only marketing innovation as competitive strategy on sale
performance in the carbonate drink market using Coca-Cola Company as the test case . The
major limitation of the study was that we could not have access full data. Sale were therefore

calculated in crates/cartons/cases instead of cash. Another limitation was that some of

distribution where illiterate and did not want to participate. Against, the company could not
provide data and information to cover a ten years period as the researcher would have to
wished to have. This was because the company was undergoing restructuring and
organization in the early 2000 data before the period could not be traced.

1.7 REVIEW OF LITERATURE

Philip Kotler: Philip Kotlern (born May 27,1931 in Chicago, Illinois) is an American
marketing author, consultant and professor; currently the S. C. Johnson Distinguished
Professor of International Marketing at the Kellogg School of Management at North-Western
University.
Lonnie Bell: Lonnie Bell is a published author of childrens books. Some of the published
credit of Lonnie Bell include The History of the New England Patriots, The History of the
San Francisco 49Ers, The History of the Coca-Cola.
Mari Samith: Mari Samith is one of the worlds leading social media thought leaders with
deep expertise in Facebook marketing.
Peter Fisk: Peter is a bestselling author, keynote speaker and expert business advisor. His
new book Gamechangers: Creating Innovative Strategies for Business and Brands: is just
published.

1.8 REFERENCES
1. Kotler, Philip & Zaltman, Gerald (July 1971). Social Marketing : An Approach to Planned
Social Change. Publisher: American Marketing Association.
2. Kotler, Philip (1967). Marketing Management: Analysis, Planning and Control. Publisher:
Prentice Hall. Page no. 72.
3. Bell, L.,( 2003). The story of Coca-Cola: Built for success. Publisher: Smart Apple Media.
Page no. 2-4.
3. The Annual Coca-Cola Report (Available at:http://www.cocacolacompany.com/investors/2014-annual-report-on-form-10-k
(Accessed on 9th October,2015)
4. Khatri, Shruti & Verma, Maridu(2006). Coca-Colas Advertising Strategies: Changing
with Times. Publisher: IBS case development center.

CHAPTER 2
PROFILE OF THE RESPONDED
2.1 GENDER
Form Fig 2.1, we come to know that the gender ratio of the total respondents is almost 11:4
(male: female). Out of 30 respondents there are 22 male and 8 female, that means 73% of
total respondents are male and 27% of respondents are female.

TABLE 2.1 GENDER

Particular
Male
Female
Total

Frequency
22
8
30

80

Percentage(%)
73
27
100

73

70
60
50
40

Frequency

Percentage(%)
27

30
22
20
8

10
0
Male

Female

Fig 2.1 Gender

2.2 AGE GROUP

From table 2.2 , we can comprehend that 70% of total respondents belong to the age group of
16-30. This is because most of the consumers that prefer or consume Coca-Cola products
belong to this age group. About 8% belong to age group between 21-45 and 1% belong to age
group of 46-59.There are no respondents in age group 60 or above.

TABLE 2.2 AGE BAR

Particular
16-30
31-45
46-59
60 0r more
Total

Frequency
21
8
1
0
30

Percentage(%)
70
27
3
0
100

Fig. 2.2 Age Bar

25
21
20

15

No.of people

10

5
1
0
16-30

31-45

46-59

Age Group

60 or0more

2.3 OCCUPTION
From the fig. 2.3 we can comprehend that 30% that is 9 respondents out of 30
respondents belong to student and 76% of total respondents belong to working. This is
because most of the consumers that prefer or consume Coca-Cola products belong to this
categories. Only 8% belong to unemployed people.

TABLE 2.3 OCCUPTION

Particular
Student
Working
Unemployed
Total

Frequency
9
20
1
30

Percentage(%)
30
67
3
100

Fig. 2.3 Occuption

Unem[ployed; 3%
Student; 30%

Student
Working
Unem[ployed

Working; 67%

2.4 PREFER / ENJOY PRODUCT

In beverage industry success depend on the test, packaging, product size, price, easily
available consumption, after sale service etc. From the analysis, it was found that majority of
57% (17 people) respondents said they enjoyed drinking Coca-Cola as against 13% (4 people

who said they preferred other drinks. 30% (9 people) who said they preferred both drink
Coca-Coca as well as other product because test are more or less same .

TABLE 2.4 PREFER / ENJOY PRODUCT

Particular
Yes
No
Its not bad
Total

Frequency
17
4
9
30

Percentage(%)
57
13
30
100

2.5 INNOVATIVE MARKETING STRATEGIES COMPARE FROM COMPETITOR

Coca-Cola India has a wide range of products in its product line i.e. Coca-Cola, Fanta,
Sprite, Thums Up, Maaza, Minute Maid and Georgia Gold. Bottled water was another area
where Coca-Cola identified major opportunities. From Fig 2.5, we infer that though the
respondents are more often by the Coca-Cola product innovative still like the company to
introduce new drinks. In that fig we conclude that about 33% would said they are often, 20%
respondents are very often company innovative strategies, 30% respondents said natural
change marketing strategies and only 17% respondents are not satisfy company innovative
marketing strategies. Majority of the people are often because people are more health
conscious now and want to manage their calorie intake.

TABLE 2.5 INNOVATIVE COMPARE FROM COMPETITOR

Particular
Very often
Often
Natural
Not often
Total

Frequency
6
10
9
5
30

Percentage(%)
20
33
30
17
100

Fig. 2.5 Innovative compare from competitor

33

35

30

30
20

25
20

17
Frequency

15
10

10
6

Percentage
9

Percentage
Very often

Often

Natural

Frequency
Not often

2.6 PERFORMANCE OF SALE

Performance of sale is very effective after the innovative in marketing strategies. Sale
is depend upon introduce new product, promotion, price, packing(size of bottle) distributions
system, test etc. From table 2.6, out of 30 respondents 13(43%) respondents said performance
of sale are change and 14(47%) respondents have no ideas about the performance of sale.
Only 3(10%) people thought no change in sale.

TABLE 2.6 PERFORMANE OF SALE

Particular
Yes
No
No ideas
Total

Frequency
13
3
14
30

Percentage(%)
43
10
47
100

2.7 RATE GIVEN BY CUSTOMER ON INNOVATIVE

As seen in the below figure, we infer that thought the respondents are more than
effective by innovative in marketing strategies the Coca-Cola product range they would still
like the company to introduce new drinks. From Fig 2.7, we conclude that about 43% should
give effective rating, 30% of total people give very effective rate as compare 3% say is very
ineffective, only 24% people give ineffective rating.

TABLE 2.7 RATE ON INNOVATIVE FROM CUSTOMER

Particular
Very effective
Effective
Very ineffective
Ineffective
Total

Frequency
9
13
1
7
30

Percentage(%)
30
43
3
24
100

Fig. 2.7 Rate on innovative from customer

Ineffective; 24%

Very effective
30%

Very effective
Effective
Very ineffective

Very ineffective; 3%

Ineffective

Effective; 43%

2.8 RECOMMENDATION
Recommendation and suggestion from customer is effective of company. Customer
recommendation and suggestion also implied at the time of innovative in marketing strategies

of companies. We have seen that majority of people thought is continuously innovative in

product, price, place, promotion and distribution. In table below we conclude that out of 30
respondents 27(90%) is through continues innovative/ changes in marketing strategies.
3(10%) respondent thought there is no need to change or innovative in marketing strategic.

TABLE 2.8 CUSTOMER RECOMMENDING ON INNOVATIVE MARKETING

STRATEGIES
Particular
Yes
No
Total

Frequency
27
3
30

Percentage(%)
90
10
100

2.9 PRICE AFTER INNOVATIVE

As seen in the below figure, a majority of 15 people out of the 30 respondents thought
that the Coca-Cola Cans are slightly overpriced after innovative in marketing strategies with
a 15 people also rating it as expensive. Only 5 people thought that the Coca-Cola are cheap.
TABLE 2.9 PRICE OF PRODUCT AFTER INNOVATIVE MARKETING
STRATEGIES
Particular
Cheap
Slightly over priced
Expensive
Total

Frequency
5
15
11
30

Percentage(%)
16
47
37
100

Price of product after innovative marketing strategies

15

16
14

11

12

Price of product after

innovative marketing
strategies

10
8
6

4
2
0
Cheap

Slightly over priced Expensive

2.10 HOW OFTEN DO YOU BUY THE PRODUCT?

As it can be seen in the figure 2.10, it was concluded that majority of the respondents
bought the product slow frequently. This shows the equal brand loyalty of the customers
towards Coca-Cola and other companies.

Fig. 2.10 How often buy product

Few time a week

Fewtine a month

No. of people
Once/few time a year

14

Naver

10

12

14

16

2.11 PURCHASING PORTAL PERFERANCE

From the below data, we have ascertained that preferred portal for purchase of CocaCola products is the cold drink shop i.e. 33%. This is probably because not all communities
in India have Supermarkets and other purchasing channels present nearby, whereas, we can
find Cold drink shop in every corner. 24% prefer to purchase from Supermarkets and Vendor
machines. 23% prefer to purchase from Pubs, Restaurants and Multiplexes.20% prefer to
purchase from General Store.

TABLE 2.11 PURCHASING PORTAL PERFERANCE

Particular
Super market
General stores
Restaurants (McDonalds,
KFC etc.)
Cold drink shop
Total

Frequency
7
6
7

Percentage(%)
24
20
23

10
30

33
100

Fig. 2.11 Channel of purchasing produc

Cold drink shop; 33%

Super market; 23%

General stores; 20%

Restaurants (McDonald's,KFC etc.); 23%

Super market
General stores
Restaurants
(McDonald's,KFC etc.)
Cold drink shop

2.12 WHERE RECOGNISE ADVERTISMENT

Every company use mode or channel of promotion of product. Increase in market
share have require promotion through media. From table 2.12 we have seen out of 30
respondents most of 22 people see advertisement of Coca-Cola product through TV, very less
6 people see advertisement on internet and only 2 respondents see advertisement on poster.
That means Coca-Cola company most use TV mode or channel for promotion of product.

TABLE 2.12 MEDIA CHANNELS RECOGNISE PRODUCT ADVERTISMENT

Particular
TV
Radio
Internet
Poster
Total

Frequency
22
0
6
2
30

2.13 ENJOY ADVERTISMENT ON TV

Percentage(%)
73
0
20
7
100

As it can be seen in the table 2.13, it was conducted that 33% of respondents has like
Coca-Cola advertisement on TV, rest 20% respondents say that is good but nothing special
and 27% respondents have said its ok, not bad. Only 20% of respondents dont enjoy
advertisement on TV.

TABLE 2.13 CUSTOMER ENJOY ADVERTISMENT ON TV

Particular
I really like them
They good but nothing
special
Nod bad
I dont enjoy them

Frequency
10
6

Percentage(%)
33
20

8
6
30

27
20
100

2.14 COCA-COLA LOGO RECOGNISE

It is understood from the fact that the Logo of the Company still has its image in the
minds of the people with all the respondents saying they would recognize the Coca-Cola
Logo.

CHAPTER 3
CONCLUSION AND SUGGESTIONS

3.1 INTRODUCTION
In the report we have seen the graph of often buy product price of product after
innovative. In the graph of often buy product we have seen that the buy for Coca-Cola
product is less frequency. It means that with the increase of sales to target. Company have
efficiency of the organization

3.1 SUGGESTIONS
The suggestions made in this section are based on the market study conducted as part
of Coca-Cola India. Coca-Cola have to improve on certain points:

 Cost efficiency
To get the achievement of cost efficiency company have to keep certain points in our mind
they are resale of scraps, inventory management, work distribution.
Improving technology
There is no doubt that the innovative, marketing strategy of company is not good, because
many respondents are not satisfy on innovative of company product. But from time to time
the regular improvement of the technology. It improves the quality of the product as well as
save the time.

Other points
1. Perform a detail demand survey at regular interval to know about the unique needs
and requirements of the customer.
2. The company should make hindrance free arrangement for its customers/retailers to
make any feedback or suggestions as and when they feel.
3. The company should focus to bring some more flavours like health drinks and other
low-calorie offerings. Coca-Cola India can also introduce some fruit based drinks, as
it has already entered the energy drink arena with Burn.
4. The company must keep a watch on its primary competitors in market in order to be
able to compete with them.
5. The company should use new attractive system of word of mouth advertisement to
keep alive the general awareness in the whole market as a whole.
6. The company should be always in a position to receive continuous feedback and
suggestions from its customers/ consumers as well as from the market and try to
solve it without any delay to establish its own good credibility.
7. A strong watch should be kept on distributors so that the goodwill of the BRAND
doesnt get affected.
3.3 CONCLUSION
It was observed that Coca-Cola has been perceived quite positively as it has been projected.
People are aware of the Brand & Awareness of Coca-Cola is quite high in the market. When a

product is launched, avid Coke drinkers choose this soda over any other competitor simply
because it's a Coca-Cola product and they trust it.
The data has clearly indicated that Coca-Cola products are more popular than the
products of Pepsi mainly because of its TASTE, BRAND NAME, INNOVATIVENESS
and AVAILABILITY, thus it should focus on good taste so that it can capture the major
part of the market. The study also indicated that the consumers are satisfied with the CocaCola products and purchase them without any specific occasions.
In todays scenario, customer is the king because he has got various choices around
him. If company are not capable of providing him the desired result he will definitely switch
over to the other provider. Therefore to survive in this cutthroat competition, company need
to be the best. Customer is no more loyal in todays scenario, so they need to be always on
your toes.
Coca-Cola products would appear, on the shelf, to have the most expensive range of
soft drinks common to supermarkets, at almost double the cost of no name brands.
This can be for several reasons apart from just to cover the extra costs of
promotions, for which no name brands do without. When people buy Coca-Cola
they are not just buying the beverage but also the image that goes with it, therefore
to have the price higher reiterates the fact that the product is of a better quality than
the rest and that the consumer is not cheap.

BIBLOGRAPHY

Book & Magazines:

1. Kotler, Philip & Zaltman, Gerald (July 1971). Social Marketing : An Approach to
Planned Social Change. Publisher: American Marketing Association.
2. Kotler, Philip (1967). Marketing Management: Analysis, Planning and Control.
Publisher: Prentice Hall. Page no. 72.
3. Bell, L.,( 2003). The story of Coca-Cola: Built for success. Publisher: Smart Apple
Media. Page no. 2-4.
3. The Annual Coca-Cola Report (Available at:http://www.cocacolacompany.com/investors/2014-annual-report-on-form-10-k
(Accessed on 9th October,2015)

Articles:
1.

Shruti Khatri, & Maridu Verma 2006. Coca-Colas Advertising Strategies:

Changing with Times. Publisher: IBS case development center.

2.

Fareeda, Sayed Abdul Samad 2010, Coca-Cola in India: Innovative Distribution

Strategies with RED Approach.

Websites:

www.coca-colacompany.com

. www.coca-colaindia.com
. www.ibscdc.org