EFFECTIVENESS OF DISTRIBUTION CHANNEL OF MINUTE MAID WITH RESPECT TO CONSUMER SATISFACTION

Guided by: Dr. Sharif Memon Prof. Prashant Pareek Presented by: Kandarp Thakkar (117350592155) Mohammed Bharmal (117350592042)

INTRODUCTION
This study focuses on the effectiveness of FMCG distribution channel with respect to consumer satisfaction in Ahmedabad market. The subsidiary company of Coca Cola named Minute Maid was selected to study the effectiveness of their distribution channel in Ahmedabad city of Gujarat. We are attempting to cover XXX consumers and XX intermediaries of Ahmedabad. Two different questionnaire are designed- one for the channel members and the other for Ahmedabad consumers

RESEARCH METHODOLOGY
Objective of the study :

To study the distribution channel of Minute Maid. To understand how the distribution channel serves the customers. To know how the distribution channel helps the customers to meet their demand. To know the quality of the product and prevalence of duplicate in the market. To know the market availability of the product in the market.

RESEARCH DESIGN

Type of research: Descriptive Population: Sellers and Consumers of Minute Maid's product in Ahmadabad. Sample Unit: Distributors Stockiest, Retailers, Consumers of Minute Maid's Product.

Sample Size: Distributers/Stockiest XX, Consumers XXX. Method of Sampling: Non Probability Sampling with Convenience Sampling.

Research Instrument: Interview and Questionnaire. Product range: Juice drinks, Lemonade, Fortified juices, and other Juice varieties of Minute Maid.

SOURCES OF DATA
(i) Primary data collection : Questionnaires & Interview (ii) Secondary data collection : Company brochures Magazines and Journals Internet

LIMITATIONS OF THE STUDY:

Time duration Correct Information Misleading information. Trust the dealers and their perception, actual situation may vary.

DIRECT DISTRIBUTION
FMCG Company

Exclusive Distributers

Retailers

INDIRECT DISTRIBUTION
FMCG Company

Distributers

Wholesalers Cash and Carry

Retailers

MAJOR SEGMENTS OF FMCG INDUSTRY

Household Care 10%
Lighting 2%

Tobacco 15%

Personal Care 20%

Food and Bevarages 53%

TYPES OF DISTRIBUTION CHANNELS:

Grocery Outlets: Discounter Hypermarket General stores Supermarket Convenience Outlets: C- Store Kiosk Gas station Street vendor

HoReCa classification: Bar Recreational Restaurant Disco

STORY OF MINUTE MAID

Minute Maid was the first company to market orange juice concentrate, allowing it to be distributed throughout the United States and served year-round. The Minute Maid company is owned by The Coca Cola Company, and is the world's largest marketer of fruit juices and drinks. There are now more than 100 different flavors and varieties of Minute Maid

1945 Marching Orders 1946 Orange Freeze 1949 Behind the Name 1960 Joining Forces 1973 - Just Chill 1980 - Family Additions 1987 Better for Your Bones 2007 Fruit Juice Boosted 2011 Minute Maid Pure Squeezed Launches

PRODUCTS OF MINUTE MAID IN INDIA

Minute Maid Pulpy Orange Drink - Orange Juice drink made from concentrate. Minute Maid Nimbu Fresh Drink - Lemonade Minute Maid 100% Juice - Apple, Grape, and Orange. Minute Maid Mango Minute Maid Mixed Fruit Juice Drink Minute Maid Apple Juice Drink Bingo tangles

DATA ANALYSIS

How do you rate the Margin of the company?

a) Good
b) Average c) Poor Rating Profit Margin
16%

48% Good Average 36% Poor

Do the company executives convey schemes on time?

a) Yes b) No Conveying Schemes
70
60 50 40 38 30 20 10 Series1 62

0
Yes No

Which type of channel are you associated with?

a) Grocery store
b) Supermarket and hypermarket c) Convenience stores d) Department stores

e) Street markets
f) Cinema stores g) Pan shop h) Restaurants

i) Sales at home
j) Internet k) Mail or phone order

18 16 14 12 10 8 Series1 6 4 2 0

How often do you consume Minute Maids Product (Fruit Juices)?

Once a week

2-3 times a week

4-5 times a week More than 5 times a week Cunsumption of Minute Maid Fruit Juices
45
40 35 30 25 20 15 10 5 0 Once in a week 2-3 times a week 4-5 times a week more then 5 times in a weeek 6 22 Series1 40 32

Which is your most preferred channel for purchasing Minute Maids fruit juices?
Grocery store

Supermarket and hypermarket

Convenience stores Department stores Other specify Preferred Channel for purchasing Juices
40 35 30 30 25 38

20
15 10 14 Series1

10
5 0 Grocery Store Supermarket and hypermarket Convenience Stores Department Stores

Others

How satisfied you are on the following characteristics of product

Cahracteristics of the Product

Price Quality Packaging Advertising Taste

54

42 40 38 38 34 32 28 24 22 28 26 40

12 10 8 6 4 0 Highly Satisfied Satisfied Neither Satisfied nor Dissatisfied Dissatisfied 4 2 0 0 0 Highly Dissatisfied 8

Give your input on the overall satisfaction, price and quality, quality service, overall trust of the distribution channel of Minute Maid

Overall Satisfaction
Price Availability Service Scheme Discount

52 48 44 48

36 32 26 24 22 20 18 16 14 10 8 4 2 0 Highly Satisfied Satisfied Neither satisfied nor dissatisfied Dissatisfied 0 Highily Dissatisfied 8 14 14 12 12 16

FINDINGS

From the survey it is found that around 30 percentage of the respondent are satisfied with promotional schemes. Around78 percentage of stockiest, dealers, retailers are believe that the companys distribution channel is quite strong in terms of supply chain management. The credit policy of the company is still in need for modification. Around 16 percentage of the respondents are happy with the margin. Majority of the respondents have no complains with the supply norms of the company. The frequency of the consumption of the Minute Maids products among the consumers is very less compared to other cold drinks.

CONCLUSION

On the basis of the view-points of the Intermediaries: It can be concluded that the distribution channel and the supply chain management of the company is successfully providing their credentials by timely delivery, damage policy for the intermediaries, favorable supply norms, and timely response from the company executives and/or representatives. The company also needs to work on the pricing norms and the profit margin given to these intermediaries. The promotional schemes and others measures to gain the attraction of the intermediaries and the customers too should be given importance. On the basis of the view-points of the Consumers: From the view-point of the customers the company should work more on the promotions and the awareness of the Minute Maids Product amongst the customers.

RECOMMENDATION
The company should work on the profit margin given to the seller, the credit policy other than promotional schemes. The company should work more on the advertising of the product. The company and the stakeholders such as channel members, distributors, retailers, etc. should take care on the discounts given on the companys products and should come out with different schemes and promotions to attract the customers to buy their products.

THANK YOU