Professional Documents
Culture Documents
CONTENTS
SUBJECT PAGE NUMBER
CHAPTER-1:
A. Introduction
B. Objective
C. Scope
D. Research Methodology
- Primary Data
- Secondary Data
- Sampling Method
- Data Analysis
E. Limitation
F. CHAPTER PLANNING
CHAPETER-2:
A. Introduction to Industry
B. Company Profile
CHAPTER-3:
A. Literature Review
B. Theoretical Framework
CHAPTER 4:
A. Data Analysis
CHAPTER 5: Finding `
Suggestion
Conclusion
Bibliography
Appendix - Questionnaires
CHAPTER-1
INTRODUCTION
Marketing:
“The process of ascertaining consumer needs, converting them into a product or service
& then moving the product or service to the final consumer or user to satisfy such needs
& wants of specific customer segment or segments with emphasis on profitability,
ensuring the optimum use of resources available to the organization.”
“Marketing is so basic that it can’t be considered a separate function. It is the whole
business seems from the point of view of its final results that is from the customer’s point
of view Business success is not determined by the producer but by the customer.”
According to me marketing means, push the product to the market & pull the
customer towards the business. We can say that the main aim of the marketer is to convert
the want of the customer to the need of the customer. “Thus marketing job is to convert
societal needs into profitable opportunities. Hence, Marketing occupies an important
position in the organization of a business unit. It is one of the important line activities of
business operation. It consists of the ownership of goods. Goods are not complete
products until they are in the hands of the customer. It is the process by which products
are made available to the ultimate consumers from their point of origin. It consists of all
those activities, which are meant to ensure the flow of goods & services from the
producer to the consumer. Therefore, marketing thinking must start with a crystallization
of needs of consumer segment of which the efforts will ultimately be aimed. In terms of
needs, the product or service must be developed or improved so that ultimately the
product satisfies such needs of the consumer segment involved.
Today marketer, have to take tough decisions because today’s market place is
venomously more complex. Domestic markets, at one time safe from foreign invaders are
now the happy hunting grounds of giant global corporation as well as global niche
specialists. Major strides in technology have considerably shortened time & distance.
New products are launched & astonishing pace are available worldwide in a short
time. Communicating ones media are proliferating new distribution channels & formats
keep appearing. Competitors are everywhere & hungry.
Sale Promotion:
Sales promotion is one of the 5 aspects of promotional mix. (The other four parts of the
promotional mix are advertising, personal selling, direct marketing and publicity/public
relations.) Media and non-media marketing communication are employed for a
predetermined, limited time to increase consumer demand, stimulate market demand or
improve product availability. Examples:
sell RGB [Regular glass bottle], PET [plastic bottle], CAN, Acquafina mineral water,
Leher soda.
OBJECTIVE OF STUDY
To know the sales promotion tools used by PepsiCo Company.
To know about the sales promotion impacts on sale of the product of PepsiCo
Company in CTC.
SCOPE OF STUDY
Scope of study on PepsiCo India Ltd, the area of the study is CTC. In the duration
of study and project period, I observed that the market response of PepsiCo Product is in
good position, but sales volume is not at par. The Sales promotion policy of our company
is affected due to competitor’s Marketing strategy.
Hence we can say that, a well planed & future oriented sales promotion will give a
good sales volume.
Research Methodology
The methodology used in conducting the research work on PEPSICO INDIA LTD major
emphasis on its Sale Promotion which involved the following steps:
1. Shortfall of the sales volume after giving huge promotional activity towards
outlets.
2. To get various information about PepsiCo Outlets.
A. Primary data:
Collection of primary data was conducted by visiting various retail
outlets for the preparation of the thesis report.
Personal Interview
Questionnaire.
B. Secondary data:
The sources from which secondary data was collected:
Press releases of the company.
Book, Magazines and Newspaper.
Newsletters and in-house journals.
Websites such as:
www.pepsicoindia.com,
www.google.com,
www.youngistaan.com
www.wikipedia.com,
3. Contact Method:
At first I directly met the retail stores & introduced myself as a MBA
student & then collected the data required for my project work such as Name of outlet,
Address, Contact person, Contact number, Type of shop, Monopoly or Mix counter,
Visicooler is given by the company or own freeze, Stock in Visi, Quantity of each brand
& at last Problems & Demands.
Respondent:
General Store
Betel Shop
Hotel
Restaurant
Fast food centre
Pay phone shop
Juice centre
Ice cream parlors
Grocery shop
Other shops
5. Collection of information:
This is the most vital part of the work undertaken. After collection and
analysis of data, it was recorded in form as prescribed. The major part of the report
is the findings also include charts and diagram etc, and the report also mentions
the limitations of the project undertaken. The conclusions have been drawn out of
the findings and various recommendations have been given in the end of the
report.
Limitation of the study
The major limitation of the study was that the depth study in the subject could not
be done because of limited time.
The other limitations are:
The company doesn’t declare all the data & the internal data are kept confidential.
Though every sincere & possible effort has been made to collect the data, some
retailers were uncooperative in providing the actual data.
The project is done in CTC may not represent the figure of the whole India.
Since the data collected was representative based the accuracy is questionable.
Some questions created confusion among the respondents.
The respondents were not interested to fill up the questionnaire due to lack of
interest.
The sample has taken only 20 respondents. They may not represent the whole
population.
Lack of secondary data Collection of the recent brochures, in house journals, etc
of the company was relevant to a little extent. But most of the necessary
information is not available in the company.
CHAPTER PLANNING
Industry: Beverages Industry and Company Profile which Includes: brief history of
PepsiCo India, Company Profile, Mission, Milestone, Awards, PepsiCo logo & Product,
Performance with Performs, SWOT analysis PepsiCo India.
The third chapter provides a comprehensive coverage of literature review & the
theoretical approach for the project.
The fourth chapter provides a comprehensive coverage the total database of the
survey & analysis of data through graphical representation of data.
The fifth chapter deals with the findings and conclusion part which is very much
important after analysis is made.
In each of the five chapters as described above, every chapter has been scheduled
in a manner so as to enable the reader to appreciate the contents easily. The report is
supported by figures and data where ever necessary a view to assist the reader in
developing clear cut understanding of the topic.
I hope this report will be extremely useful for those it is meant. Constructive
healthy suggestions for improvements of the report will be great fully appreciated.
REFERANCE
1. Saxena, Ranjan, ‘Marketing Management’, TATA McGRAW HILL, New Delhi, Third
Edition.
2. Kotler, Philip, Kevin Lane Keller, Abraham Koshy, Mithileshwar Jha,‘Marketing
Management’, PEARSON Prentice Hall, New Delhi, Twelfth Edition.
3. Ramaswamy, V. S., S Namakumari, ‘Marketing Management’,
MACMILLAN INDIA LTD., Third Edition.
4. Schatzman, Bovee Thill, ‘Business Communication Today’, PEARSON Prentice Hall,
New Delhi, Seventh Edition.
5. Bryman, Alan, Emma Bell, ‘business research method’, OXFORD, second Edition.
CHAPTER: 2
Introduction to Industry:
Beverages Industry
Soft drinks market in India
Company Profile:
A brief history of PepsiCo India
Company Profile
Mission &Vision
Milestone
Tripty Drinks Pvt. Ltd
Performance with Purpose
PepsiCo logo & Products Brands
SWOT analysis of PepsiCo India.
Introduction to Industry:
BEVERAGES INDUSTRY
Soft drink was started with the idea of quenching the thirst of the persons
traveling. It was also felt that reliable good water was not available everywhere. So
people would rely on their packed bottle and with the idea it made these drink available
mostly at these place where water was not available is on highways and long distance
train.
Slowly and slowly with its beautiful tests these become very poplar and they are
not only available in the markets and street corner but also people have started keeping it
in their houses.
Parle export Pvt. limited is regard as the first Indian company introducing Limca a
Lemon drink Complimentary to their well entrenched gold spot in 1970. The credit of
popularizing the soft drink goes to coca cola this was the drink, which was linked, by all
ladies, gents and children.
Now a day, the soft drink for quenching Thirst but it looks more often they are
taken of habits.
Gold spot is considered as the first branded soft drink established.
The major ingredient in a soft drink is water. It constitutes close to 90% of the soft
drink content. Added to this, the drink also contains sweeteners, Carbon dioxide, Citric
Acid/Malic acid, Colors, Preservatives, Anti Oxidants and other emulsifying agents, etc.
BRIEF HISTORY
COMPANY PROFILE
PepsiCo entered India in 1989 and has grown to become one of the
country’s leading food and beverage companies. One of the largest multinational
investors in the country, PepsiCo has established a business which aims to serve the long
term dynamic needs of consumers in India. PepsiCo India and its partners have invested
more than U.S.$700 million since the company was established in the country. PepsiCo
provides direct employment to 4,000 people and indirect employment to 60,000 people
including suppliers and distributors.
PepsiCo nourishes consumers with a range of products from treats to
healthy eats that deliver joy as well as nutrition and always, good taste. PepsiCo India’s
expansive portfolio includes iconic refreshment beverages Pepsi, 7 UP, Mirinda and
Mountain Dew, in addition to low calorie options such as Diet Pepsi, hydrating and
nutritional beverages such as Aquafina drinking water, isotonic sports drinks - Gatorade,
Tropicana100% fruit juices, and juice based drinks – Tropicana Nectars, Tropicana
Twister and Slice. Local brands – Lehar Evervess Soda, Dukes Lemonade and Mangola
add to the diverse range of brands.
PepsiCo’s foods company, Frito-Lay, is the leader in the branded salty
snack market and all Frito Lay products are free of trans-fat and MSG. It manufactures
Lay’s Potato Chips, Cheetos extruded snacks, Uncle Chipps and traditional snacks
under the Kurkure and Lehar brands. The company’s high fibre breakfast cereal, Quaker
Oats, and low fat and roasted snack options enhance the healthful choices available to
consumers. Frito Lay’s core products, Lay’s, Kurkure, Uncle Chipps and Cheetos are
cooked in Rice Bran Oil to significantly reduce saturated fats and all of its products
contain voluntary nutritional labeling on their packets.
The group has built an expansive beverage and foods business. To support its
operations, PepsiCo has 43 bottling plants in India, of which 15 are company owned and
28 are franchisee owned. In addition to this, PepsiCo’s Frito Lay foods division has 3
state-of-the-art plants. PepsiCo’s business is based on its sustainability vision of making
tomorrow better than today. PepsiCo’s commitment to living by this vision every day is
visible in its contribution to the country, consumers and farmers.
Manufacturer PepsiCo.
Country of origin United States
Introduced 16 June 1903
Indra Krishnamurthy Nooyi (born October 28, 1955 in Chennai, Tamil Nadu,
India) is the chairwoman and chief executive officer of PepsiCo, the world's fourth-
largest food and Beverage Company. On August 14, 2006, Nooyi was named the
successor to Steve Reinemund as chief executive officer of the company. She was
effectively appointed as CEO by PepsiCo's board of directors on October 1, 2006.
According to the polls Forbes magazine conducted, Nooyi ranks fifth on the 2007 list of
The World's 100 Most Powerful Women.
Mission of PepsiCo
Vision of PepsiCo
MILESTONES
2008 Milestones
PepsiCo Honored With 2008 Energy Star Partner of the Year Award
2007 Milestones
PepsiCo signs Maria Sharapova for International endorsement of Gatorade
and Tropicana
2006 Milestones
PepsiCo India re-launches Mirinda
PepsiCo, the National Hockey League (NHL) and the National Hockey
League Players' Association (NHLPA ) sign an exclusive multi-year beverage
and snack deal
PepsiCo, National Hockey League and National Hockey League Players
Association sign multi-year deal, giving PepsiCo exclusive rights in the
beverage, sports beverage, bottled water and snack categories. With this deal,
Gatorade becomes the official sports drink of NHL
In the State of Orissa PepsiCo products is brought to you by Tripty Drinks, Jagatpur
best professionally managed company promoted by the Jaipuria Group. The promoter’s
vast experience for the last thirty five years in manufacturing national & world renowned
brands has helped to deliver to consumer’s consistent quality comparable to the best of
International Standards.
Pepsi is the ideal choice for both the classes as well as the masses for individual
consuming low quantities as well as high establishment. The seemingly vast gap in
catering to a vast & varied consumer base has been bridged by introducing “Contain no
fruit in a hygienic convenient bottle packages.” The company firmly believes in
modernization & up-gradation of facilities in order to offer its customers the very best.
At Tripty Drinks the implicit belief is in achieving leadership status through quality
assurance & every effort is focused in this direction. The latest state-of-the-art plant
delivers the finest quality juice, adhering to the most stringent norms. Strict supervision is
enforced by diligent people at every step of the production process. The juice products
manufactured are hygienically handled & very effort is made to retain its freshness.
Consistency in taste is achieved to the expert in-house QC Professionals By blending in
superior quality with the fine arena of business the company looks forward to
establishing leadership in near future.
Marketing System
Product:
“Pepsi” carbonated water, sugar, added flavor package & drinking water. Introduction
of Natural color drink is on the cards.
Positioning:
Besides retailing, the company focuses on institutional sales, special event to make
the product available for additional mileage.
Price:
The company maintains a steady price due to tight competition. It encourages more
retail margin as compared to the competitors. However, company does not believe in
compromising the quality of the product.
Promotion:
Schemes & incentives are also given keeping on eye on the competitive activity from
time to time. Company has also introduced a consumer awareness scheme to create better
brand awareness of the product.
Publicity:
A company as promotional measure for value sale gives publicity. Adequate point of
purchase materials, adequate display materials & participation in important local festival
are also a part of promotional measure of the company.
Channel of Distribution:
Distributors are appointed all over Orissa for marketing the product. Customer
executives appointed by the company support them.
Marketing Strategy:
Besides stamping the urban market, the company’s focus is on penetration in the
periphery rural area.
The process of manufacturing of aerated water (Soft Drinks) & fruit Juice under
PepsiCo Brand is divided into mainly five parts such as:
Water Treatment
Syrup Making
Bottle Washing
Filling
Crowning & Coding
Testing of the product
Water Treatment:
Water Treatment is very essential in soft drinks plant as the nature & quality of water
varies from place to place. To set uniform & standard water the process of treatment is
carried on. The water taken from bore well by the help of water pump & pipe lines are
collected in a storage tank where is pre-chlorinated by chlorinate & then by the help of
pipelines comes to a treatment tank called coagulator tank where this water solution of
different strength of bleaching powder, ferrous sulphate, hydrate line are added through
dosing pump to reduce alkalinity, hardness & kill the bacteria. A mechanical stirrer mixes
the chemical & then the suspended water settles down as sludge & clean water passes
through retention tank. From this tank, the water passes through sand filter containing
fine sand & pebbles & carbon filter contains granular carbon & finally through water
polisher, micron filter, UV lamp to ensure clear & sanitary water for use. Further water
used in the bottle washer & boiler needs softening. For this purpose the water from
storage tank, after passing through two filter beds containing fine sand & granular carbon
happens.
Through a bed of resin where it is softened, this soft water is essential for use in bottle
washer to reduce scale formation inside the machine.
Syrup Making:
For syrup making of a particular brand, collect quantity of sugar, water activated
carbon (Powder) & Hyflow super cell known as filter aid are taken into a sugar
dissolving tank which is specially designed making a vacuum space to enter steam & also
fitted by a motor with agitator. Sugar syrup called raw syrup is prepared by developing
the sugar with continuous stirring & heating by steam supplied by oil-fired boiler. This
hot syrup with the help of a pump is filtered through a filter press attach with a series of
quality filter paper to separate out carbonated particles.
Bottle Washing:
Bottle Washing is an important part in soft drink plant. The emptied durable &
returnable bottles are used & returned from market in plastic crates are fed to bottle
washing machine. The machine double end system with circular chin to carry the bottles
caustic soda, tri-sodium phosphate & sodium-gluconate are added to the caustic tank
filled in with water heated by steam supplied by the boiler. The empty bottles enter to the
hot caustic tank in one end & after being cleaned by the hot caustic solution & finally
washed with water through spray-jets fitted are discharged in other end. Then washed
bottles pass on conveyor chain against laminated board for further inspection in the
direction filling machine.
Filling:
Finished syrup &treated water line are connected to a dosing pump which mixes
syrup & water with the ratio of 1:5 & syrup mixed with water entered to carbonated tank
to mix with carbon dioxide gas are preserved in cylinder for use. The cylinders are
connected through CO2 manifold tank to use requisite quantity of gas. The syrup passes
through PHE, which is cooled itself by circulation of chilled, glycol supplied chilling
compressor. To run the machine F-22 gas is used. The syrup being chilled easily mixes
with CO2 gas & enters to the filter for bottling. The filter is fitted with filling valves & lift
Cylinders.
After beverage is filled in bottles it immediately goes to the crowner where with the
help of crown crock the bottles are sealed to protect the carbonating, flavor, outside
contamination & spoilage till the contained beverage is consumed.
Then sealed bottles passed on the conveyor chain are coded by a coding machine on
their way to out end. The sealed bottles are inspected properly against inspection light
while passing through the conveyor fitted with SS chain. The empty plastic crates passing
through a conveyor enter to crate washer machine & it is washed & moves through the
conveyor where finished products are accumulated. Then the products are kept in plastic
crates, which are durable in nature & returnable by buyer, put on palates & sent to
shipping for shipment.
Test of Products:
Finally the finished syrup during bottling is tested in laboratory to meet the
permanent & also to get standard & quality products.
PepsiCo logos
PEPSI SEASON’S
BEST
SABRITAS RUFFLES
FRAPPUCCINO 7UP
MIRINDA LAY’S
AQUAFINA TOSTITOS
PepsiCo Brands
1. Its brand.
2. Huge market coverage, company existence not only in urban area but also in the rural
area
3. Large number of product line to satisfy consumer.
4. Verity of scheme for the retailer throughout the year. So, that retailer will earn huge
profit and also get satisfaction after selling PepsiCo product.
5. Company also gives time to time schemes for the consumer. So that, final consumer
interest for repurchase &enjoy the benefit.
6. PepsiCo India’s Agri-Partnerships with farmers help farmers across the country earn
more.
7. Good CSR Image.
CHAPTER:-3
A. Literature Review
B. Theoretical Framework
Literature Review
Sales:
Sales are the activities involved in selling products or services in return for money
or other compensation. It is an act of completion of a commercial activity. The "deal is
closed", means the customer has consented to the proposed product or service by making
full or partial payment (as in case of installments) to the seller.
Sales techniques
Promotion
It involves disseminating information about a product, product line, brand, or
company. It is one of the four key aspects of the marketing mix. (The other three
elements are product management, pricing, and distribution.) Promotion is generally sub-
divided into two parts:
External Factors:
There is wide spread use of branding promotional activities are essential as they ar
more practical than advertising.
Competitor have become promotional-minded there is cut-throat competition and
the market is flooded with numerous products hence promotional activities are
essential.
During the period of inflation & recession the consumer are more deal oriented
and the promotional technique facilitate sales.
The present stage of trade demands more deals from manufacturers.
7. Free-standing insert (FSI): A coupon booklet is inserted into the local newspaper for
delivery.
8. On-shelf couponing: Coupons are present at the shelf where the product is available.
9. Checkout dispensers: On checkout the customer is given a
coupon based on products purchased.
10. On-line couponing: Coupons are available on line. Consumers
print them out and take them to
11. Mobile couponing: Coupons are available on a mobile phone.
Consumers show the offer on a mobile phone to a salesperson for redemption.
12. Online interactive promotion game: Consumers play an interactive game associated
with the promoted product. See an example of the Interactive Internet Ad .
13. Rebates: Consumers are offered money back if the receipt and
barcode are mailed to the producer.
14. Contests/sweepstakes/games: The consumer is automatically entered into the event
by purchasing the product.
15. Point-of-sale displays: Products or posters are kept near the billing counter to remind
about the product.
1) Develop in-store merchandising support, as strong support at the retail store level is
the key to closing the loop between the customer and the sale.
2) Control inventory by increasing or depleting inventory levels, thus
helping to eliminate seasonal peaks and valleys.
3) Expand or improve distribution by opening up new sales areas (trade promotions are
also sometimes used to distribute a new size of the product).
4) Generate excitement about the product among those responsible for selling it. Some of
the most common forms of trade promotions profiled below include point-of-purchase
displays, trade shows, sales meetings, sales contests, push money, deal loaders, and
promotional allowances.
THEORITICAL FRAMEWORK
Above literature review give the information about the sale, promotion, and sale-
promotion relationship, type of sale promotion, merit & demerit of sale promotion. From
the type of sale promotion I considered only the “Trade sales promotion” because my
scope of study restricted to the trade only. There is the various sale promotion techniques
is there such as [1] Trade allowances: short term incentive offered to induce a retailer to
stock up on a product. [2] Dealer loader: An incentive given to induce a retailer to
purchase and display a product. [3] Trade contest: A contest to reward retailers that sell
the most products. [4]Pointof- purchase displays: Extra sales tools given to retailers to
boost sales. [5] Training programs: dealer employees are trained in selling the product.
[6] Push money: also known as "spiffs". An extra commission paid to tail employees to
push products. [7] Trade discounts (also called functional discounts): These are payments
to distribution channel members for performing some function. But, every trade
promotional activity is not effective due to the following reason:
CHAPTER: 4
Data Analysis
1. Nature of Outlets
The survey revealed that about 90% of the total outlets are non seasonal,
that means they sale PepsiCo product throughout the year. And rest 10%
outlets are seasonal.
2.Type of outlets:
From the above figure it is clear that out of 20 outlets, 9 Outlets are
exclusively Pepsi (PSI) counters, another 5 outlets are of mixed type & the rest 6
outlets are exclusively Coca-Cola (CCX) counters.
3.FOCUS BRAND
From the above study I knew that most of the outlets focus on glass bottles (RGB).
5.TYPES OF SCHEMES
The above figure shows that the regular promotional scheme is very much popular
because the retailers want permanent income throughout the year. They also like
various promotional schemes such as UTC and Scratch card .Incentive based
scheme is not much popular because in this scheme some target is given to the
owners of the outlets.
UTC, Refilling & Scratch card Scheme is most popular & known scheme received
by maximum outlets .Gift and Discount /Rebate schemes are not received by
maximum outlets because they have some conditions to be fulfilled for getting it.
After the survey, I came to know that the retailers appreciate mostly two types of
promotional schemes i.e. UTC & Refilling because; here the owners get Benefits
of the scheme from sales person on the spot of purchase.
From the above survey it is clear that sales promotion activity such
as high margin, more schemes & heavy advt. has a large impact on sales
growth.
Most of the outlets are satisfied but some of the outlets report insufficient
supply of products and delay in redressal of customer grievances such as repair of
Visi Cooler etc.
CHAPTER - 5
Finding
Suggestion
Conclusion
Findings
1. The most basic objective of any sales promotions is to provide
extra value that encourages purchase.
2. Short term sales increase is required to reduce inventory.
Promotions like price-off or bonus pack gives large & immediate
benefit.
3. Sales promotion schemes like price-off or free gift induce
customers to buy a new brand.
4. Trade promotions are designed to gain distribution and shelf
space.
5. Sales promotions give the consumer an incentive to buy.
6. Sales promotion can be measured objectively to judge their
success.
7. PepsiCo gives various promotional tools (VisiCooler, Racks,
Signboards, POP displays) and profitable schemes to the retailers
that increase their sales volume.
8. Promotional expenditures ultimately increase sales volume.
9. Pepsi provides its products at a special price to various shopping
malls such as Big Bazaar, Pantaloons, Vishal Mega mart, In and
out, Sasta Bazaar. Reliance Fresh etc with an aim to promote the
Brands.
Suggestion
Conclusion
SALES PROMOTION is a promise made to the consumers & retailer by
the company. Sales promotion, not only has Functional and Mental dimensions but
also Social and Spiritual dimensions. The challenge in front of Indian organizations
today is to first understand and then satisfy the needs of the customers. The needs
of the customers today are experiences and not just the products. The Indian
leading to satisfaction and association with all the dimensions of the brand. These
experiences can be delivered by involving the customer in the supply chain which
Brands will depend on how efficiently and quickly the organization can adapt to
BIBLIOGRAPHY
BOOKS:
1. Business world.
3. Economics Times.
Websites:
www.pepsicoindia.com,
www.wikipedia.com,
www.google.co.in,
www.youngistaan.com
www.scribd.com
Questionnaire
Signature