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Marketing Management

Presentation

Group 12
Mansi
Ravi
Siby
Tushar
History
• The first Coca-Cola recipe was invented in a
drugstore in Atlanta, Georgia by John Pemberton
• Pemberton developed Coca-Cola, as essentially a
non-alcoholic version of French Wine Cola
• The first sales were at Jacob's Pharmacy in
Atlanta, Georgia, on May 8, 1886 & initially sold
as a patent medicine for five cents
• 1887-Asa Candler, another pharmacist bought the
coca-cola formula from Dr Pemberton $2300
• 1890-1900, Sales increased by over 4000%
• 1894- Joseph A. Biedenharn began bottling coca-
cola to sell
Coca-Cola
• From a humble beginning in 1886, it is now flagship brand
of largest manufacturer, marketer & distributer of non-
alcoholic beverages in world
• The Coca ‑ Cola Company operates in more than 200
countries and markets nearly 500 brands and more than
3,000 beverage products
• In India, Coca Cola was the leading soft drink till 1977
when govt. policies necessitated its departure
• Has invested more than US$ 1 billion in India over the
past decade
• In 2003, Coca-Cola India pledged to invest a further US$
100 million in its operations.
Coca-Cola
• Coke’s acquisition of local popular India brands including
Thums Up, Limca, Maaza, Citra etc.: a strategic step &
success
• It has also been instrumental in giving an exponential
growth to the country’s job listings
• The Indian operations comprises of 50 bottling operations,
25 owned by the Company, with another 25 being owned
by franchisees
• Connecting with the passions of Indians like Cricket,
Food, movies, music etc
Soft Drinks Industry In India
• Its Rs 3500cr industry in India
• Comprised of consumers throughout the country,
& are of all ages
• From 1976-1989 the industry only comprised of
Indian brands such as Parle, Compa-Cola & Dukes
• Due to govt. policies of liberalization in 1993,
Coca-Cola came back to India after it left in 1976
• Coca-Cola and Pepsi are the main competitors in
India in the soft drinks industry
COMPETITORS TO HCCBPL
COMPETITORS TO HCCBPL
PepsiCo: The PepsiCo challenge, to keep up
with archrival, the Coca-Cola Company never
ends for the World's # 2, carbonated soft-drink
maker. The company's soft drinks include Pepsi,
Mountain Dew, and Slice. Cola is not the
company's only beverage; PepsiCo sells
Tropicana orange juice brands, Gatorade sports
drink, and Aquafina water

PepsiCo and Coca-Cola hold together, a market share of 95%


out of which 60.8% is held by Coca-Cola and the rest belongs to
Pepsi
Product portfolio
India
Product
• Coca-Cola is a carbonated soft drink sold
in stores, restaurants, and vending machines
internationally & nationally
• Colour - Caramel E-150d
Few Important Facts
• There are 27 different varieties of coke made by
Coca-Cola
• Coca-Cola is recognized by 94% of the world’s
population
• Approximately 10,450 Coca-Cola brand drinks are
consumed around the world each second of every day
• Coke comes in a variety of sizes worldwide so you
can use it for a crowd or as a personal snack drink
• Coca-Cola contained cocaine until 1913
Target Segmentation

Consumption Market Clustering


Outlet Clustering
Occasion based on Income lvl.
• Eating & Drinking • Diamond • High
• Grocery • Gold • Medium
• Convenience • Silver • Low
• Bronze
Marketing Mix
• Product: Coke & Diet Coke
• Product Variants:
Sizes

Glass 200ml, 300ml, 500ml, 1000ml

Pet 500ml, 1.5lts, 2lts, 2.25lts

Can 330ml

Fountain Various
Product Mix Width
• Product Line:

Beverages

Tea & Soft Energy


Coffee Juices Water Drinks Drink
Product Mix
• Product Depth:
Soft Drinks

Coca
Cola Coke

Fanta Diet
Coke
Limca

Sprite

Thums-
up
Marketing Mix
• Pricing Decisions: Is similar to the
competitor (in this case Pepsico.)

Size Coke(in Rs.) Pepsi (in Rs.)


Regular (Bottled) 12 12
Canned 330 ml 25 25
2 ltr. Bottle 45 45
Pet Bottle 500 ml 22 22
SWOT Analysis
Strength Weakness
Worlds leading brand Negative Publicity
Large scale of operations Bio Solids
Seasonal sales
Opportunities Threat
Acquisition Intense Competition Intense Competition
Growing bottled water market Dependence on bottling partner
Sluggish Growth of Carbonated beverages
Promotion
Things to be Considered
• What are the target audience's media habits?
• Think about the characteristics of your
product, and the strengths and weaknesses of
the media.
• Cost
Promotion Strategies
• Things Go Better with Facebook - Coca-Cola’s
Fan Club
• Eye Catching Position
• Sale Promotion
• Distribution Channels
• Different advertisement for different market.
Coca Cola in Rural Market
How Coca Cola
Conquered Rural India
• According to industry estimates, rural India accounts for 74 per cent
of India's population and 58 per cent of India's disposable income
• Atlanta-based Coca Cola Company is one of the first global majors to
have spotted the potential spin-offs from the country's rural markets
• It has perfected a unique supply chain to cater to India's vast rural
hinterland.
• Coca Cola India's rural penetration increased from 13 per cent in 2001
to 25 per cent in mid-2003
• Breaking into this market required innovative thinking and a new
strategy
cont….
• To reach out to rural India, Coke started out by drawing up
a hit list of high potential villages from various districts
• Large distributors (Hubs) were supplied from the
company's depot in large towns and cities
• Hubs appointed smaller distributors in adjoining areas
• The smaller distributors undertook fixed journey plans on
a weekly basis and supplied against cash
Results
• Coke now claims that 80 per cent of its new
drinkers come from rural India
• Coke's urban market grew 24 per cent while
the rural market grew 37 per cent
• Coke's success in India's vast, rural market
is a lesson on how to grow an untapped
market
CCI’s Rural Mktg. Strategy
Three As
• Availability:
1. Capacity expansion – 25 prod. lines and doubled bottle
capacity.
2. Unique and different distribution strategy – hub & spoke
distribution.
3. Coverage of 1,58,342 villages by Aug. 2003 (81,383 in
2001).
4. 2,00,000 refrigerators to rural retailers.
•Affordability:
1. Introduction of 200ml bottle (chota coke).
2. Priced at Rs. 5, closed the gap between Coke and basic
refreshments.
• Acceptability:
1. Mass media marketing.
2. Launched TVCs targeted at rural consumers.
•2002, CCI launched a new advertisement
campaign:
1. Featuring Bollywood star Aamir Khan.
2. Tagline – ‘Thanda matlab Coca-Cola’
3. Targeted at rural, semi urban customers.

•Idea was to position Coca-Cola as a generic


brand for cold drinks.

•CCI began focusing on the rural market in the


early 2000s in order to increase volumes.
Rural market is more
comfortable..
• Huge market
• High growth in terms of sales
• Change in the life style
• Increase in the per capita income
• It can substitute other products
PACKAGING
• Approximately 85 percent of their global
beverage volume is delivered in recyclable
bottles and cans.
• Safety and quality of ingredients and
products is of utmost importance to the
Company.
• Inform consumers with fact-based
ingredient and nutrition information of the
products.
CRM

•Facebook - Coca-Cola’s Fan Club


•Coca-Cola Freestyle
•Direct Store Delivery, full-service vending
and equipment service
•Various festival offers- like khushiya
replay offer (launched during Diwali this
year)
CSR
• Coca-Cola India Won Golden Peacock Global Award for
Corporate Social Responsibility
• The Company has installed 320 Rain Water Harvesting
(RWH) structures in 17 states and has restored several
traditional water bodies
• Launched the “Elixir of life” project
• Donated $10 million to tsunami relief efforts in Asia
• The Company has undertaken these Citizenship initiatives
in partnership with government, NGOs, educational
institutions and local communities
GREEN MARKETING
•  Coca-Cola unveiled an ad campaign urging
recycling.
• Coca-Cola is also taking green steps on
their packaging, with the release of the
“PlantBottle,” which is comprised of 30%
renewable materials from feed-stock resin.
Thank you

Question?

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