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    SUMMER TRAINING PRESENTATION

    ON:

    HORIZONTAL EXPANSION OF COCA COLA IN LUCKNOW

    BY-

    MD SOHRAB KHANSYED MOHD FAISAL

    SUPERVISOR:

    CHITRESH TIWARI

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    CONTENTS

    COMPANY PROFILE

    INTRODUCTION OF COCA-COLA COMPANY

    INTRODUCTION TO THE PROJECT

    BENEFITS OF HORIZONTAL EXPANSION

    OBJECTIVES OF STUDY

    RESEARCH METHODOLOGY

    DATA ANALYSIS

    FINDINGS

    CONCLUSION

    RECOMMENDATIONS

    LIMITATION

    SUGGESTIONS

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    COMPANY PROFILE:

    NAME: COCA COLA PVT LTD

    FOUNDED :1886

    HEAD QUARTER:ATLANTA GEORGIA,USA

    INDUSTRY:BEVERAGES

    CEO & PRESIDENT : MUHTAR KENT

    Founder(s) :Asa Griggs Candler

    Employees146,200 (Dec 2011)

    REVENUE:$2.31 BILLION

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    Introduction of Coca-Cola Company

    Dr. John Smith Pemberton for the first time produced the syrupfor Coca-Cola on May 8, 1886.

    The name was suggested by john Timbertop's bookkeeper frank

    Robinson.

    The world's largest beverage company.

    While much of the world has changed since 1886.

    Consumers in all over the world reach for the products of The

    coca- cola company more than a billion time every single day .

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    Introduction to the Project

    Horizontal Expansion:

    Expansion of business capacity through the

    absorption of facilities or buildings as well as through

    the acquisition of new equipment to handle an

    increased volume in sales in which the business isalready engaged.

    It is a strategy used by a business or corporation that

    seeks to sell a type of product in numerous markets.

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    Reason for Expansion

    The ultimate objective of coke is to acquire more

    customers and serve them properly. While doing

    Horizontal Expansion take care to the competitors

    strategy. The main competitor is PEPSI, who has optedVertical Expansion to generate more sell however Coke

    do not believe on Vertical Expansion because Vertical

    Expansion has limited preview so COKE is great believer

    in Horizontal Expansion and this strategy helped to the

    company to maintain its leadership in the soft drink

    industry.

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    Benefits of Horizontal Expansion

    Provides Incremental Volume & Revenue for Business.

    By horizontal expansion there will be more outlets of our

    product in the market which will sell our product in more

    quantity. This will generate incremental revenue for thebusiness.

    Increase market visibility selling at more outlets give

    more market visibility of the product which gives higher

    product recognition and brand value to the products. Increase in market power over supplier and down stream

    market channels.

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    Products

    Coca-cola

    Thums Up

    SpriteLimca

    Fanta

    MaazaKinley etc.

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    Objectives of study

    To understand the concept of Horizontal Expansion.

    To evaluate the existing resources.

    To analyze the development of the business and expansion of

    market coverage.

    To know the benefit of Horizontal Expansion for the companyat retailers end.

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    FRANCHIES OVERVIEW

    Brindavan

    bottlers

    Lucknow Sitapur BarabankiBarabanki

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    Research Methodology:

    Research Type: Descriptive research

    Method of research: Survey

    Types of data: Mainly primary data & some secondary.

    Sources of data: Questionnaire, discussion,

    Bulletin

    Sample size: 110 outlets

    Place : Lucknow

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    DATA ANALYSIS

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    1. Number of outlets needs activation elements?

    Activated= 35 Not activated=75

    32%

    68%

    Activated Non Activated

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    2. Number of outlets having only coca cola product?

    26%

    56%

    18%

    Coke Both no coke

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    3. Number of outlet located at prime position?

    Prime position-25 No prime position-85

    23%

    77%

    Prime position No Prime position

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    4. Distribution of trade channel

    Convenience- 69 Grocery- 21 E&D- 20

    63%

    19%

    18%

    Convenience Grocery E&D

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    5.Sales wise status of outlet distribution.

    Diamond

    Gold Silverbronze

    8.18% 15.45%30%

    45%

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    6. Number of outlet need GLASS ORDER DEMAND.

    GOD required- 83 No required- 27

    75.45%

    24.54%

    GOD required

    No required

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    FINDINGS

    Problem in supply.

    32% of outlet were ready to keep coke product while remaining

    68% outlets were not ready with the given profit margin.

    25% of visited outlet, visi cooler are having only coke product

    and 75% of outlets were having both the product.

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    23% of VISICOOLER are at prime position where consumer

    can see our product and choose as per there need.

    63% outlets are convenience store, 18% are under the E&D and

    remain under 19% are glossary shop.

    30% market cover under the silver categories where as remaining

    8%, 16%, 45% are under diamond, gold, bronze respectively.

    Cont

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    Conclusion:

    Coca-Cola is the growing soft drink brand inLUCKNOW region & most selling brand in the region isTHUMPS UP, SPRITE AND MAAZA.

    Prime position of VISICOOLER outside the outlet playsan important role in the selection of the soft drink bycustomer.

    Few activation elements like Table Top, Glow ShineBoard, Hanger; Road Stand plays a major role in

    increasing sell of the soft drink. Supply of product as well as stock keeping unit is not up

    to the mark.

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    Recommendation

    Efficiency in supply chain should be increased by eliminatingunnecessary intermediaries.

    Should adopt aggressive marketing strategy.

    Regular visit to distributors.

    Sales promotion and advertising to be made more frequent forbrand building.

    Communications should be improved.

    Fulfill the Demand of product by company. In the field of sales

    situation. Company should make plans for better performance to the

    sales man.

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    Contd

    Company should be implementing the customer's suggestions

    and complaints about products, service policies, price changes,

    advertising companies etc.

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    Suggestions

    Marketing Executive needs to visit all the outlets regularly to

    keep the VISICOOLER core.

    Sales Executive should try to increase sell of product so that

    maximum outlets could the benefit of up gradation.

    Sales Executive need to put effort to increase the required

    number of GOD as per the VISICOOLER size that they can

    keep 3day stock to meet the demand.

    Delivery must on time.

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    Limitations

    1) The time period of study was only for two month so it was

    not possible to cover all the areas.

    2) The area of survey was Lucknow district and it focuses

    only urban area up on which whole perception can not be

    made.

    3) The training was carried on in the peak season so market

    developer was not so supportive.

    4) Some respondents left some of the questions unanswered

    which created problem in drawing right conclusion.

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    QUESTIONNAIRE

    Q.1 which brand do you sell more?

    A. Coca Cola C) Pepsi

    B. other

    Q. 2 Do customers prefer to buy such brand

    beverage, which is very much advertised?

    a) Yes b) Somewhat

    c) Cant say d) No

    COCA-

    COLA

    55%PEPSI

    35%

    OTHER

    10%

    60%15%

    20%

    5% YES

    SOMEWHAT

    CAN'T SAY

    NO

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    Q.3 While buying beverage, what does customers give more

    preference to?

    a) Quality b) Price

    c) Brand d) Others

    Q.4 what is most attractive to you in our hoardings?

    a) Size b) Design

    c) Colors d) Visibility

    QUALITY

    25%

    PRICE

    5%

    BRAND

    65%

    OTHER

    5%

    SIZE

    25%

    COLORS

    15%

    DESIGN

    42%

    VISIBILITY

    18%

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    Q.3 which companys official visit more frequently?

    a)Coke b) Pepsi

    c) Both d) none

    Q.4 Which company provide better delivery?

    a)Coke b) Pepsi

    c) Both d) none

    coke

    35%

    pepsi

    30%

    both

    27%

    none

    8%

    coke41%

    pepsi

    53%

    both

    3%

    none

    3%