A STUDY ON BRAND PREFERENCE OF SOFT DRINKS AMONG YOUTH

DISSERTATION

Submitted in partial fulfillment of the requirement

For the award of the Degree of

BACHELOR OF BUSINESS ADMINISTRATION

UNIVERSITY OF CALICUT

BY

ARUNKRISHNAN.O.R

6TH SEMESTER B.B.A

Reg. No.: GTAMBBA032

UNDER THE GUIDANCE OF

SMT.LEENA.K.P

ASSOCIATE PROFE

SSOR

(UG DEPARTMENT OF COMMERCE AND MANAGEMENT)

UG DEPARTMENT OF COMMERCE AND MANAGEMENT STUDIES

SRI.C.ACHUTHAMENON GOVERNMENT COLLEGE

THRISSUR-14

2014-2015
CERTIFICATE

This is to certify that the project report titled A STUDY ON BRAND PREFERENCE OF SOFT DRINKS
AMONG YOUTH is a bonafide record of the project carried by ARUNKRISHNAN.O.R under the
supervision and guidance in partial fulfillment of the requirement for the award of the Degree of
Bachelor of Business Administration of the University of Calicut.

Countersigned
DECLARATION

I ARUNKRISHNAN.O.R, do hereby declare that this project report A

STUDY ON BRAND PREFERENCE OF SOFT DRINKS AMONG YOUTH is a bonafide record of the work
done by me during the course of project and that the report has not previously formed the basis for the
award of any degree, diploma, fellowship, associate ship or other similar title of recognition of any
university or institution.

I further declare that this project report is submitted on partial fulfillment of

the requirement for the award of the degree of BBA from University of Calicut.

Place:

Date:

ARUNKRISHNAN.O.R
ACKNOWLEDGEMENT

I owe my sincere gratitude to T.R.NARAYANANKUTTY, Principal and

Prof.U.S.MOHANAN, Head of the Department of Commerce and Management Studies,
Sri.C.Achuthamenon Govt. College, Kuttanellur, for providing all the facilities in the college.

I render my heartfelt thanks to Smt,LEENA.K.P Assistant Professor Dept. of

Commerce and Management Studies, Sri.C.Achuthamenon Govt. College, Kuttanellur for his valuable
guidance and supervision throughout the preparation of this project report. I am also thankful to all my
professors and lecturers for their dear support.

I would like to extend my gratitude towards my friends and family members

especially my father and mother for their unique support and creative suggestions.

ARUNKRISHNAN.O.R
List of contents
CHAPTER 1

1.1 INTRODUCTION

In our modern world living pattern and life style of the people have changed a lot. Soft drinks were
common preference among all the individuals with the changing life style and income levels, people
are shifting their consumption patterns. Market research is based on consumers buying preference
towards soft drinks. Soft drink is an important product item in modern society both urban and rural
and becoming more popular in the consumer world. At present soft drink market is one of the most
competitive markets in the world. In which crores of rupees on advertisement and other promotion
activities are being spent. In India the soft drink industry is flourishing well with a wide range of brand
comprising both popular international, national and regional branded soft drinks. In present
investigation, the impact of globalization on brand preference of soft drinks and the factor
determining the brand preference is studied.

The study on brand preference becomes necessary. The purchase decision largely depends upon
Taste, Quality, Quantity, Price, Availability and the like. Due to globalization, there are many soft
drink brands available in the market such as Coca- cola, Pepsi-cola, Sprite, Fanta etc..

In current scenario, where the competition is tough, consumer choose preferred brand according to
their pleasure. The company can achieve and complete in the market, only when they satisfy the
needs of the customer by taking in to account their reason for brand preference.

This study examines key attitude of buying and branding perception that are considered as important
cues, which lead youth to select particular brand of soft drink. The primary data has been collected
through questionnaire.
1.2 Objectives of the study :

To identify the brand preference of soft drinks among youth.

To know the factors influencing their purchase decision.

1.3 Statement of the problem :

The study was conducted to know the brand preference and factors influencing young consumers of
packaged soft drink. Soft drink is an important product item in the modern society. It is mainly
concentrated on the consumption among youth. It is found that a great important for the study. The
study examines key attitude of buying and brand perception with preference that are considered as
important cues, which lead youth to select particular brand of soft drink. In modern world due to the
development of science and technology many new brands of soft drink products flood the market
every year. When the new brands enter in to the market, some consumers switch over to it. So the
study was conducted to know the brand preference and consumption among youth in soft drinks.

1.4 Scope of the study :

The study was conducted among young consumers. The study is intended to assess level of soft drink
consumption. It help us to understand the various factors influencing the young consumers of
packaged soft drinks. It also provides various information to us regarding the attitude of youth
towards soft drinks.
1.5 RESEARCH METHODOLOGY

According to Robert Ross, Research is essentially an investigation, a recording and an analysis of

evidence for the purpose of gaining knowledge. Research can be generally defined as systematic
methods of finding solution to problems. Research is an art of scientific information. It involves
gathering data, use of statistical techniques, interpretation and drawing conclusion about the
research data. Methodology is a method of solving problems systematically. It is based on both
primary data and secondary data collected, mainly from Journals, books, internet and previous
studies.

RESEARCH DESIGN

The success of any business research depends upon a sound research design. Research design is used
as a guide in collecting and analysis of data. Research design is the arrangement of condition for
collection and analysis of data in a manner that aims to combine to the research purpose with
economy in procedure. It constitutes the blue print for the collection, measurement and analysis of
data.

SOURCE OF DATA

1. Primary data.

Primary data are those data, which are collected for the first time. Primary data was collected by
conducting survey through a questionnaire which seeks answer to a set of preconceived question in a
structured way. The questionnaire consists of 21 questions.

2. Secondary data.

The secondary data are those data which have already been collected. It means data that was already
available. Secondary data was collected from sources like Journals, internet and previous studies.

Sampling Design

Sampling may be defined as the selection of some part of an aggregate or totality on the basis of
which a judgement or inference about the aggregate or totalities is made

A sample design is a definite plan for obtaining a sample from the sampling frame. It refers to the
technique or procedure the search would adopt in selecting sampling units from which inference
about the population drawn

The sampling technique used in the study is convenience sampling. This method includes purposive
and deliberated selection of a particular unit of the universe for consulting a sample which represents
the universe. Sample size is 50 for this study.
Analysis tools applied:

1.Questionnaire

2. Percentage Analysis

Analytical Tools

1.Graphs

2. Tables

3. Diagrams

1.6 LIMITATIONS OF STUDY

1. Very limited time available for this study

2. Research is done through a sample survey, which is always prone to errors of bias and prejudice

3. Many of the questionnaires had irrelevant and incorrect answers filled in by the respondents
leading to errors in the study

4. Sample size is comparatively small for a study of vast relevance

5. Limited experience in research.

CHAPTER 2

LITERATURE REVIEW

REVIEW OF LITERATURE
However a number of studies have been conducted in the form of surveys and research work done on.
Consumption pattern and brand preference towards soft drink product. An attempt has been made to
understand and acknowledge the work of various researchers in the field of brand preference and
consumption pattern of soft drinks.

In their studies soft drink industry in India is one of the most competitive with many
international and domestic players operating in the market. Initially domestic player like pare group
dominated the Indian soft drink market. However with the re-entry of MNC players like pepsin 1991
and coca-cola in 1993, the market took a decisive shift in favour of these MNCs and over the years
coca-cola and pepsi have become the prominent players in the market.

Studies of soft drink market Indian soft drinks market grew 7.7% in 2008 to reach a value
of$3.4 billion. In 2013,the Indian soft drinks market is forecast to have a value of $4.6 billion. An
increase of 36.9% since 2008. All the major players in cola market put their best strategies to capture
more and more out of this lucrative progress. In the modern arena of information, it takes something
or someone special to please the consumer. A celebrity is often considered to be the vital basis for the
brand association of a product and this fact becomes stronger when it comes to soft drinks industry in
India. India is one country, which has always idolized the stars of the celluloid world. Therefore in the
words of Mccracken, a celebrity endorser is someone who besides enjoying popularity and public
recognition, uses this recognition to promote a consumer good or service by appearing in the
advertisements for the same. It is not essential (rather it is seldom the case) that a celebrity in a
particular field promotes the products only in that particular domine. It is the credibility of the
endorser which helps in the repurchase or first time purchase of the product. It may be said that the
celebrity transfers some of his/her traits to the product or service (or atlest it is so perceived by the
customer). Even the studies conducted by Agrwal, Kamakura & Mathur and Mathur & Ranjan,
emphasized the effectiveness of using a celebrity endorsers. In India there is an exponential potential
for a celebrity endorsement to be perceived as genuinely relevant, thereby motivating consumers to
go in for the product. No wonder Indias and market which has an estimated worth of more than
$3000 million consists of around 30% of spending on ads featuring celebrities.

With amplification in number of mass media option and competition for consumers attention, cola
giants are increasingly using celebrity endorsement strategies to break through the clutter and
enhance the equity for their brand. Although celebrity endorsement has emerged as a popular
advertising practice, not much research has been done to evaluate the effectiveness of it in India.
some of the facts which support the trend of celebrity endorsement in general and across soft drinks
market in India are:

Celebrity endorsement advertisement on TV up 49% in 2007

Pepsi ropes in Chiranjeevi Jr to take on thums up in AP

Marketers overtly acknowledge the power of celebrities in influencing consumer-purchasing

decisions. It is an ubiquitiously accepted fact that celebrity endorsement can bestow special attributes
upon a product that it may have lacked otherwise. Although celebrity advertising celebrity advertising
for soft drinks brands is popular in India. Little is known about its effectiveness in India. Thus the
primary motive behind this research project is to measure this effectiveness using some of the
existing scale and methodologies and try and establish the relationships which exist between the
attitude of the youths towards celebrity endorsement and their brand loyalty towards a low
involvement product soft drink brand while paying special attention on the personality traits of the
celebrity endorsing the soft drink brand. This should give us an insight into the consumer behaviour in
response to celebrity endorsement in case of carbonated soft drinks.
CHAPTER 3

THEORETICAL FRAMEWORK

Every Research study is based on the theory. This theory is known as the theoretical framework of the
study. That means the theoretical framework gives authentic support for successful completion of
research work. One of the most competitive market in the world at present is the soft drink market in
which cores of rupees on advertisement and other promotion activities are being spent. It is one of the
many sectors, registering steady growth over a hundred years throughout the world. In India the soft
drink industry is flourishing well with a wide range of brands comprising both popular-international,
national and regional branded soft drinks. In present investigation, the impact of globalization on brand
preference of soft drinks and the factor determining the brand preference are studied.

What is soft drink?

A non-alcoholic, flavour, carbonated beverage,usually commercially prepared and sold in bottles or

cans. Nonalcoholic beverage,usually carbonated, consisting of water (soda water), flavoring, and a sweet
syrup or artificial sweetener. Today there are hundreds of varieties of flavored soft drinks. Coca-cola and
pepsico are the worlds largest corporation founded their business on soft drink manufacturing

Soft drinks can trace their history back to the mineral water found in natural spring.bathing in natural
springs has long been considered a healthy thing to do; and mineral water was said to have curative
power. Scientists soon discovered that gas arbonium or carbon dioxide was behind the bubbles in
natural mineral water.

The marketed soft drinks (non-carbonated) appeared in the 17th century. They were made from water
and lemon juice sweetened with honey. In 1679, the compagine delimonadiers Paris were granted a
monopoly for the sale of lemonade soft drinks.

Raw materials used in soft drinks

There are different type of raw materials used in different soft drinks.most of the raw materials are :

Water: the simple sweetened soft drink contains about 90% of water,while in diet drinks. It contains
95% of water.

Flavor: flavor is of great importance in soft drink. Even water from different places has different taste.
The flavor for taste added can be natural or artificial,acidic,caffeine.

Acids: acids like citric acid & phosphoric acid are added to give refreshing tartness or bite & help in
preserving the guality of a drink.

Natural flavors: these are the flavors, which are extracted from fruits,vegetables,nuts,barks,leaves etc.
in soft drink containing natural flavors& fruit juice.
 Artificial flavor: these are the flavors manufactured from natural extracts. This is used to give greater
choice, in taste to consumers.

Caffeine: caffeine has special kind of taste makes the taste of soft drink a royal one.caffeine was
added to soft drink from its introduction to a commercial market but now caffeine free soft drinks are
also available. Its quality is Y4 than compared with same amount of coffee.

Carbon dioxide: carbon dioxide is a colorless & smell less gas, which is added to cold drink to get
bubble & it also help in keeping drink strong &fresh

Color: along with taste of soft drinks is also of very important, the company tries to maintain both
taste & colur of the soft drink every where in the world.

Sugar:sugar syrup is added to the drink at around 75 degree C to the pure drinking water ,this is to
make soft drink taste sweet. Even artificial sweetness is also use

Distributions of soft drinks

The soft drinks can be distributed on the basis of two concepts.

I. Distribution according to taste

2. Distribution according to taste

Distribution according to taste:the soft drinks can be distributed in cola&nonc ola taste. Non cola taste
consist of drink of orange, lime,mango etc. & clear lime.

Orange taste market is occupied by brands like fanta, mirinda orange&crush. Mango taste market
occupied by brands like slice, maaza and frooti. Cloudly lime taste is occupied by 7 up, sprite. This is
basically produced in green bottle as sunlight spoils the taste of the drinks.its color is transparent like
water.

Distribution according to the consumption: 80% of soft drinks are drinks are consumed on the spot,
where it is sold at place like cinemas,railway stations etc. other 20% of the market of soft drinks is
consumed at home or other place
TYPES OF SOFT DRINKS

FANTA

Fanta originated as a result of difficulties importing coca cola syrup into nazi germane during world War
II due to trade embargo. To circumvent this, max Keith, the head of coca cola Deutschland(coca cola
gmbh) during the second world war, decided to create a new project for the German market, using only
ingredients available in Germany at the time including whey and pomance leftovers of leftovers as
Keith later recalled. The name was a result of a brief brain storming section, which started with Keith s
exhorting his team to use their imagination (fantasie in German) to which one of his sales man, Joe
Knipp, immediately retorted fanta

The plant was effectively cut off from coca cola head quarters during the war. After the war, the coca
cola Corporation regained control of the plant, formula and trade mark to the new fanta product as well
as the plant profit during the war.

Fanta was discontinued when the parent company was reunited with the German branch. Following the
launch of several drinks by the Pepsi corporation in the 1950s, coca cola competed by relaunching fanta
in 1955. The drink was heavily marketed in Europe, Asia, Africa and South America.

SPRITE

Sprite is a colourless, lemon and lime flavoured, caffeine-free soft drink, created by the coca-cola
company. It was developed in West Germany in 1959 as FANTA KLARE ZITRONE (clear lemon fanta)
and introduced in the United States as sprite in 1961. This was cokes response to the popularity of 7 up.
It comes in a primary silver, green, and blue can or a green transparent bottle with a primarily green and
blue label.

COCA-COLA

Coca-cola is a carbonated soft drink sold in stores, restaurant, and vending machines throughout the
world. It is produced by the coca-cola referred to simply as coke (a registered trademark of the coca-cola
company in the united states since march27, 1944). Originally indented as a patent medicine when it
was invented in the late 19th century by John Pemberton, coca-cola was brought out by businessman
Asa Griggs Candler, whose marketing tactics led coke to its dominance of the world throughout the
20th century.

The company produces concentrate, which is then sold to licensed coca-cola bottlers throughout the
world. The bottlers , who hold territorially exclusive contracts with the company, produce finished
products in cans and bottles from the concentrate in combination with filtered water and sweeteners.
The bottlers then sell and merchandise coca-cola to retail stores and vending machines. The coca-cola
company also sells concentrate for soda fountains to major restaurants and food service distributors.

The coca-cola company has, on occasion, introduced other coca drinks under the coke brand name. The
most common of these is diet coke, with others including caffeine free coca-cola, diet coke caffeine-
free,coca-cola cherry, coca-cola zero, coca-cola vanilla, and special versions with lemon, lime, or coffee.
Inn 2013, coke products could be found in over 200 countries worldwide, with consumers downing more
than 1.8 billion company beverage servings each day.

PEPSI

Pepsi is a carbonated soft drink that is produced and manufactured by pepsico. Created and developed
in 1893 and introduced as brads drink, it was renamed as poepsi cola on aug 28, 1898 then to pepsi in
1961, and in select areas of north America, pepsi-cola made with real sugar as of 2014.

The drink pepsi was first introduced as Brads Drink in New Bern,North Carolina, United States, in 1893
by Caleb Bradham, who made it at his drugstore where the drink was sold. It was renamed pepsi cola
in 1898,named after the digestive enzyme pepsin and kola nuts used in the recipe. The original recipe
also included sugar and vanilla.Bradham sought to create a fountain drink that was appealing and
would aid in digestion and boost energy .

In 1903,Bradham moved the bottling of pepsi-cola from his drugs stores to a rented warehouses that
year, bradham sold 7968 gallons of syrup. The next year, pepsi was sold in six-ounce bottles, and sales
increased to 19848 gallons. In 1909, auto mobile race pioneer Barney oldfield wasthe first celebrity to
endorse pepsi cola,describing it as A bully drink... refreshing, invigorating, fibracer before a race. The
advertising theme delishes and healthful was then used over to the next two decades. In 1926, pepsi
received its first logo redesign since the original design of 1905. In 1929, the logo was changed again.

In 1931, at the depth of the great depression, the pepsi-cola company entered brankruptcy in large part
due to financial losses incurred by speculating on the widely fluctuating sugsr prices as a result of World
War I. Assets were sold and roy c. Megargel bought the pepsi trademark.Megargel was unsuccessful,
and soon pespis assets were purchased by Charles Guth, the president of Loft, inc. Loft was a candy
manufacturer with retail stores that contained soda fountains. He sought to replace coco-cola at his
stores fountains after coke refused to give him a discount on syrup. Guth then had lofts chemists
reformulate the pepsi-cola syrup formula.

On three separate occasions between 1922 and 1933, the coco-cola company was offered the
opportunity to purchase the pepsi-cola company, and it declined on each occasion.

NATURE OF SOFT DRINK MARKET

Oligopoly

Indian soft-drink industry in an oligopoly market.coca-cola, Pepsi,parle agro etc

are the only producers.an oligopoly is a market dominated by a few large suppliers the degree of market
concentration is very high (i.e.a large % of the
market is taken up by the leading firms).firms within an oligopoly produce
branded product (advertising and marketing is an important feature of
competition within such markets) and there are also barriers to entry.

Another important characteristic of an oligopoly is interdependence between

firms. this means that each firm must take into accounts the likely reactions of
other firms in the market when making pricing and investment decisions. This
creates un certainty in such markets which economists seek to model through the use of game
theory.Economics in much is much like a game in which the
ayers anticipate one anothers moves.

By Promotional activities The ongoing interdependence between business can lead to implicit and
explicit collusion between the major firms in the market. Collusion occurs when business agree to act as
if they were in a monopoly position.

Key features of oligopoly market

A few firms selling similar product

Each firm produces branded products

Likely to be significant entry barriers into the market in the long run which allows firms to make
supernormal profits.

Interdependence between competing firms. Business have to take into account likely reactions of
rivals to any change in price and output.

Theories about oligopoly market

There are four major theories about oligopoly pricing:

1. Oligopoly firms collaborate to charge the monopoly price and get monopoly profits

2. Oligopoly firms compete on price so that price and profits will be the same as a competitive industry

3. Oligopoly price and profit will be between the monopoly and competitive ends of the scale

4. Oligopoly price and profits are indeterminate because of the difficulties in modeling interdependent
price and output decisions
The several factors that make it very difficult for the competition to enter the soft drink

Market include

Barriers to entry:

Cost of Establishment: Due to high capital intensive reguirement to establish new bottling plants,
investors cannot entry into the market.This financial barrier can be a major barrier for new entrants

Advertising expenses

Brand image and loyalty

Retailers shelf space and retail distribution channel

Threats of substititute

Switching cost: switching cost of the substitute product is very low.so customers Can easily switch to
substitute products

Perceived price value: prerceived price value in this industry is very low because all products
comparatively same and most of the times differentiated
Major market players

The Disadvantages of Soft Drinks

Dehydration

Sixty percent of our boady weight is comprised of water,report mayo clinic.com. we lose water when
you sweat, urinate and breathe. For the body to continue functioning properly,we must replace the lost
water with ingested fluids.sodas are often consumed in the place of water or other hydrating fluids.
Many sodas contain caeffine,which acts as a diuretic, increasing urination and leaving the body with less
available fluid to carry out important function.addftionally, some diet sodas contain significant amounts
of sodium,which may draw water from the cells and promote dehydration

High sugar content.

Many soft drinks contain significant quantities of sugar.one 12-ounce serving of cola,for example,
includes 39 grams,or 3.3 tablespoon, of sugar. Consuming such large quantities of sugar elvates your
blood glucose level and may increase your risk for cardiovascular disease. Additionally, may sodas
contain high fructose corn syrup or HFCS as their primary sugar ingredient. HFCS may stress the
pancreas and lead to fluctuating blood sugar levels. Consuming sugary sodas day after day can
contribute to the onset of non-insulin dependent diabetes,or type 2 diabetes.

Weight Gain

Weight gain result when you consume more calories than your body burns. A 12-ounce serving of cola
contains 140 calories, often called empty calories Because they provide no nutritional value.drinking
one can of cola a day for four Weeksis equivalent to ingesting 3,920 extra calories,or a gain of 1.1
pounds if the calories are not burned. A 160-pound person must walk for 27 minutes at 3.5 miles per
hour to burn off the calories in one can of cola, according to the calorie-expenditure analysis provided
by the MayoClinic.com. If these calories are not burned, you may gain more than 12 pounds in one year.
Additionally, sweet-flavored sodas may disrupt appetite signals and promote cravings for other sugary
foods.

Calcium Depletion

Calcium is an essential mineral for strong bones and teeth. Consuming high amounts of phosphoric acid,
a common ingredient in sodas, can deplete the calcium from your bones and decrease calcium
absorption. Among women, this may lead to poor bone development or osteoporosis, a condition
characterized by brittle and weak bones.
CHAPTER 3

DATA ANALYSIS & INTERPRETATION

Table-1

CLASSIFICATION ON THE BASIS OF GENDER

SL.NO GENDER PERCENTAGE

1 Male 46 %

2 Female 54 %

INTERPRETATION: The above table shows that 46 % of respondents are male and 54 % are females.
TABLE-2

CLASSIFICATION ON THE BASIS OF AGE

SL.NO AGE OF RESPONDENTS PERCENTAGE

1 15-20 64 %

2 21-25 10 %

3 26-30 14 %

4 30-35 12%

INTERPRETATION: Majority of the respondents are in the age between15 to 20, and minority of
respondents are in the age of 21 to 25.
TABLE-4

PRESENT CONSUMER OF SOFT DRINKS

SL.NO RESPONSE PERCENTAGE

1 YES 100 %

2 NO 0%

INTERPRETATION: The above table shows that 100 % of respondents are using soft drinks.
TABLE-5

SHOWING THE CONSUMER BRAND PREFERENCE OF SOFT DRINKS

SL.NO BRANDS OF SOFT DRINKS PERCENTAGE

1 Coco-cola 14 %

2 Pepsi-cola 12 %

3 Sprite 38 %

4 Fanta 10 %

5 Others 26 %
INTERPRETATION: The table shows that 38 % of customers are using Sprite, 14 % are using Coco-cola, 12
% prefer Pepsi-cola and 26 % prefer other brand.

TABLE-6

SHOWING THE SOURCE INFORMATION REGARDING SOFT DRINKS

SL.NO SOURCE OF INFORMATION PERCENTAGE

1 Media advertisement 52 %

2 Internet 10 %

3 Friends 16 %

4 News papers and magazines 10 %

5 others 12 %
INTERPRETATION: 52% of respondents get awareness through media advertisement and 10 % get
awareness through internet, 16 % friends, 10 percentages get from news paper and magazines. 12 % get
other sources like relatives, family, etc. .

TABLE-7

SHOWING THE CONSUMERS USING THE ABOVE STATED BRAND

SL.NO NUMBER OF YEARS PERCENTAGE

1 Last 5 months 14 %

2 1 year 12 %

3 1-2 years 24%

4 More than 2 50 %
 INTE
RPRE
TATI
ON: 5
0%
custo
mers
using
the
state
d
bran
d
more
than
two
years
, 24
% suing the stated between the periods of 1 to 2 years. 14 % of customers are using the particular brand
for last five months.

TABLE-8

SHOWING CONSUMER INFLUENCE TOWARDS ADVERTISEMENT

SL.NO INFLUENCE OF ADVERTISEMENT PERCENTAGE

1 Yes 70 %
 2 No 30%

INTERPRETATION: 70 % are influenced by advertisement and 30 % are not-influenced by advertisement.

TABLE-9

SHOWING THE CONSUMERS OPINION OF THE BRANDS

SL.NO BRAND PERCENTAGE

 1 Excellent 18 %

2 Good 62 %

3 No opinion 20 %

4 Bad 0%

5 Poor 0%

INTERPRETATION: 18% of customers say that their brands are excellent. The other 62 % are says that
their brands are good. The remaining 20 % of respondents do not have any opinion about their brand.
Nobody says that the brands that they preferred are bad or poor.

TABLE-10
SHOWING THE MOST COMMON PLACE FOR PURCHASE

SL.NO COMMON PLACE WEIGHTED AVERAGE

1 Convenience 4.56

2 Grocery 3.58

3 Stores 4.94

4 Wholesale warehouse 2.98

5 Restaurants 3.62

6 others 1.40

INTERPRETATION: The above table shows that majority of respondents of purchase soft drinks from
convenience stores and stores and its weighted average ( 4.56). Others purchase soft drinks from
restaurants grocery etc. Minority of respondents purchase soft drinks from wholesale warehouse and
other sources.
TABLE-11

SHOWING THE PURPOSE OF USING SOFT DRINKS AMONG CONSUMERS

SL.NO PURPOSE PERCENTAGE

1 Taste 14 %

2 Caffeine 6%

3 Refreshment 68%

4 Brand loyalty 6%

5 Others 6%

INTERPRETATION: 68% of respondents are using soft drinks for refreshments. 14% are for taste.
Remaining customers give importance to caffeine, brand loyalty and other reasons.
TABLE-12

SHOWING CONSUMERS BEHAVIOUR TOWARDS CHANGING THE BRAND

SL.NO OPINION PERCENTAGE

1 Yes 36%

2 No 64%

INTERPRETATION: 64% of respondents are not preferred to change the brand frequently. The 34% of
respondents are preferred to change the brand.
TABLE-13

SHOWING THE PRICE OF CONSUMERS FAVOURITE BRAND IS REDUCED, WILL YOU BUY MORE OF IT

SL.NO OPINION PERCENTAGE

1 Yes 28%

2 No 72%

INTERPRETATION: 28% of respondents buy more soft drinks, when the price is reduced. 76%
respondents do not buy more soft drinks, when the price is reduced.
 TABLE-14

SHOWING CONSUMER BRAND IS NOT AVAILABLE FOR PURCHASE WHAT WILL THEY DO

SL.NO OPINION PERCENTAGE

1 Post pone purchase 14%

2 Switch once to other brand 32%

3 Go to other shop 42%

4 Search for your preferred brand 12%

INTERPRETATION: 14% of respondents post pone their purchase when soft drinks not available for
purchase. At this situation 32% respondents switch over to other brand. 42 % respondents go to other
shops. Remaining 12 % respondents search for their preferred brand.
TABLE-15

SHOWING OTHER PRODUCT OF THE SOFT DRINK APPEAR IN THE MARKET WILL CONSUMER PREFER TO
SHOP BUYING THIS BRAND AND NEW BRAND

SL NO OPINION PERCENTAGE

1 Not at all 14%

2 I may consider 48%

3 Yes 4%

4 Cant say 34%

INTERPRETATION: 14% respondents not at all purchase other products of soft drinks which appeared in
the market. 48% of respondents will consider the other product of soft drinks. 34% respondents cant
say anything about this situation. Remaining 4% will buy the other product of soft drink.

TABLE-16

SHOWING THE MOST FACTORS WHICH AFFECT THE BUYING DECISION

SL.NO FACTORS WEIGHTED AVERAGE

1 Quality and taste 6.56

2 Packaging 4.46

3 Celebrities 3.82

4 Price 4.44

5 Recommendations from friends 4.46

and relatives

6 Medias 2.92

7 Others 1.34

INTERPRETATION: Most of the people give importance to quality and taste with a weighted average of
6.56. Whereas second preference is give to packaging (W.A-4.46), price (4.44), recommendations from
friends and relatives (4.46) and the least preference is given to medias (2.92).
TABLE-17

SHOWING THE COMSUMER PAY THE QUANDITY DO PREFER BUYING A PRODUCT

SL.NO QUANDITY PERCENTAGE

1 100ml-250ml 16%

2 250ml-500ml 42%

3 1 liter 32%

4 More than 1liter 10%

INTERPRETATION: The table showing the consumers preference quantity for purchasing soft drinks.
Majority of the respondents belongs 250ml-500ml. 32% choose the option 1 litre. 16% prefer 100ml-
250ml and only 10% prefer more than 1 litre.
TABLE-18

SHOWING THE SATISFACTION LEVEL OF CONSUMERS

SL.NO ITEMS WEIGHTED AVERAGE

1 Price 3.70

2 Quality 3.82

3 Flavour and taste 3.86

4 Packaging 3.76

5 Brand 3.84

6 Advertisement frequency 3.56

7 Availability 3.72

8 Colour 3.22
INTERPRETATION: The above table shows that respondents are satisfied with price, quality, flavour and
taste, packaging, brand, advertisement frequency, colour and availability of soft drinks as their weighted
average (<3.5).

TABLE-19

STUDY THE CONSUMER VEIW OF SOFT DRINKS

SL.NO VIEW PERCENTAGE

1 As a health drink 10%

2 As an aid to put off thirst 68%

3 As a status symbol 12%

4 Other 10%
INTERPRETATION: The above table shows the views of consumer about soft drinks. 68% choose the
option as an aid to put off thirst. 12% of respondents view is as status symbol. 10% view is as a health
drink.

CHAPTER 4

FINDINGS, SUGGESTIONS AND CONCLUSION

FINDINGS

The majority of respondents are prefer sprite and secondly preferred others

Majority of the reason for preferring a selected brand is refreshment

Majority of respondent dont like to change brand frequently.

Most of the respondents view soft drink as an aid to put off thirst

Majority of the consumer do not buy more soft drinks at the time of reducing the price

Media advertisement is the most influencing medium while purchase of soft drinks

Age between 15 to 20 prefer to buy more

In this survey major respondents are female

Majority of the consumers opinion of the brand is good

Majority of the consumers are satisfied with flavour and taste

Most of the consumers affected by quality and taste for buying decision
SUGGESTIONS

Comsumption of soft drinks are not good for health. There are so many health problems related with
consumption of soft drinks. The major findings from this study, youth is the major consumers of soft
drink product.

Youth should:

Reduce their consumption of regular sports drink, soda or pop and other sugar sweetened
beverages.

Increase their consumption of water and low fat or fat milk

Reduce youths access to sugar- sweetened beverages to decease consumption.

Encourage adolescents to drink water and low fat- free milk, or limited amounts of 100% fruit juices,
as an option.

CONCLUSION
As stated in the objectives, this study is aimed at studying the b rand pretence and factors influencing
young consumers of packaged soft drinks. The major part of the soft drink consumers are in 15-20 age
groups. The most preferred brand is Sprite and second position to others. The consumption of soft
drinks products increase comparing with previous times. The changing living pattern and life style of the
peoples are changed a lot so soft drinks where common preference among all the individuals with the
change in life style and income level, peoples are shifting their consumption patterns. The competition
between the brands lead to a high influence in buying behaviour of the consumers because their
marketing strategy. The quality and taste are influencing in consumer purchasing decisions. One of the
major influencing medium of purchasing soft drink product is media advertisements. Major part of the
consumer view about soft drink is as an aid to put off thirst. Another part of the consumer believe soft
drink as a status symbol.

The nature oif soft drink markets are oligopoly .i.e. oligopoly is a market dominated by a few large
suppliers the degree of market concentration is very high (i.e a large % of the market is taken up by the
leading firms) . Firms with in an oligopoly produce branded products (advertising and marketing is a
important feature of competition with in such markets) and there are also barriers to entry.

Soft drink consumption is no good for health there are so many disease incur through soft drink
consumption but our changes in life styles soft drinks consumption is an important product item in
modern society both urban and rural and becoming more popular in the consumer world. At present
soft drink market is one of the most competitive markets in the world.
BIBLIOGRAPHY

BOOKS

Business research methods - Dr. K . venugopalan

Marketing management Philip kotler

Marketing management - A. vinod

APPENDIX

A STUDY ON BRAND PREFERENCE OF SOFT DRINKS AMONG YOUTH

1. Name:

2. Gender: Male Female

3. Age: 15 -20 21 25 26
30 30 35

4. Do you drink soft drinks? Yes No

5. If yes which brand of soft drink do you prefer?

Coca cola Pepsi-cola Sprite Fanta Others

6. What is the source of information regarding soft drink?

Media advertisement Internet Friends Newspaper &

magazines Others

7. How long you have been using the above stated brand?

Last 5 months 1year 1 to 2 year more than 2

8. Do you think advertising influence you to drink soft drinks?

Yes No

9. What is your opinion of the brand?

Excellent Good No opinion Bad Poor(

10. Where is the most common place that you purchase soft drinks? (put ranks)

Convenience stores Grocery Stores Wholesale

ware house Restaurants Others (specify):

11. Why do you drink soft drinks?

 Taste Caffeine Refreshment Brand loyalty Others

12. Do you like to change the brand frequently? Yes No

13. If the price of your favourite brand is reduced, will you buy more of it?

Yes No

14. If your preferred brand is not available for purchase what will you do?

Post pone purchase Switch over to other brand Go to other

shop Search for your preferred brand

15. If another product of the soft drink appears in the market will you prefer to stop buying this
brand & buy new brand?

Not at all I may consider Yes Cant say

16. Which factor mostly affect your buying decision? (put ranks)

Quality & taste Packaging Celebrities Price Recommendation from

Friends & relatives Medias Others(specify)

17. How much quantity do you usually prefer to buy?

100ml-250m l 250ml-500ml 1 litre more than 1 litre

18. Rate the level of influence of following factors on your purchase decision (tick the desired column)

items Very high High Average Low Very low

Price

Quality

Flavour &taste

Packaging

Brand

Advertisement
frequently
Availability

Colour

19. Rate how much are you satisfied with the following factors in your preferred soft drinks?

Highly satisfied Satisfied No opinion Dissatisfied Highly

dissatisfied

20. How do you view soft drinks?

As a health drink As an aid to put off thirst As a status

symbol Any other (specify)

21. Do you have any suggestions and recommendation for the usage of soft drink