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    PROJECT REPORT

    ONA STUDY OF

    FACTOR INFLUENCING CHOICE OF SOFT DRINKS

    IN JAIPUR CITY

    YEAR: 2012

    UDAI INSTITUTEOF MANAGEMENT STUDIES

    SUBMITTED BY GUIDED BY

    ANKIT PUNDIR VISHVASH GUPTA

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    CONTENTS

    1) Preface..

    2) Acknowledgement....

    3) Executive Summary..

    4) Introduction..

    5) Company Profile.

    6) Research Methodology...

    7) Data Analysis & Interpretation..

    8) Conclusion & Recommendations

    9) Appendix.

    10) Bibliography

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    Preface

    The beverages sector in India is one of the largest in terms of production,

    consumption, export & growth prospects. These are two major sectors in the

    beverages industry, i.e. Alcoholic Sector & Non Alcoholic Sector.

    The purpose of this project is to find out the factors that affect the choice of

    consumers when they purchase soft drinks (Non Alcoholic Beverages), the

    brands preferred by the consumers for different flavors & about the

    consumption pattern for different soft drinks.

    Chapter one includes the introduction of the beverage industry framework of

    India beverage industry & explains in detail about the non alcoholic beverage

    sector.

    Chapter two contains objectives of the research study & the research

    methodology used for the project.

    Chapter three also includes the analysis & interpretation of the research study.

    Chapter four has various finding, conclusion & suggestions.

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    Acknowledgement

    Firstly, I thanks the all mighty by the grace of whom. This report was undertaken

    and duly completed in time.

    I take the opportunity to express my profound sense of gratitude and sincere

    ineptness to Mr.Vishvash Gupta, under sympathetic, pains taking, and kind

    guidance of whom, I was able to complete this repot.

    I am grateful to Director of our institute Dr. Neeran Gautam who enabled me to

    complete this report through their king guidance all the time.

    I am very thank full to all the faculty member of the institute who helped me a lot

    in it interpretation of date regarding my report without which this work would

    never be completed.

    I am also thankful to my parents who helped me morally and financially in

    completion of this report.

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    Executive summary

    Soft Drinks Bounces Back

    After a somewhat subdued performance in 2006 due to a recurrence of

    the pesticides controversy, soft drinks sales bounced back strongly to record

    double-digit volume growth in 2007. With carbonates growth back on a positive

    upward curve alongside burgeoning sales of fruit/vegetable juice and bottles

    water, soft drinks showed impressive growth in 2007. Off-trade volumes grew

    slightly faster than on-trade volumes, driven by higher consumption of packaged

    and branded soft drinks at home and on the go. The emergence of

    supermarkets/hypermarkets, heavy consumer promotions and various new

    product launches played a key role in driving off-trade volume growth.

    Bottled Water and Fruit/vegetable Juice Continue to be Star Performers

    Soft drinks sales in 2007 were propelled by bottled water and

    fruit/vegetable juice with their healthier positioning helping to drive sales of soft

    drinks. While carbonates posted single-digit growth in 2007, rebounding from

    the pesticides controversy of 2006, it was bottled water and fruit/vegetable juice

    that stormed ahead with high double-digit growth rates. Poor municipal

    infrastructure for tap water has pushed sales of bulk packaged water to

    households. Fruit/vegetable juice is growing as a result of increased consumerexpenditure on naturally healthy (NH) beverages. While functional drinks and

    RTD tea also posted impressive growth in 2007, they were growing from a very

    small base and are yet to achieve a critical mass in terms of establishing a loyal

    consumer base.

    Coca-Cola India and PepsiCo India slip in shares

    With consumers showing a growing preference for healthier soft drinks

    such as bottled water and fruit/vegetable juice rather than carbonates in 2007,the two carbonates giants suffered a marginal decline in share. Although both

    players embarked on a change in strategy to focus more on non-carbonated

    soft drinks in their portfolios, they were unable to maintain share and lost out

    slightly too home-grown players Parle Bisleri and Dabur India. Coca-Cola India

    launched Minute Maid and pushed the sales of its juices while PepsiCo India

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    heavily promoted Tropicana, Aquafina and Gatorade during 2007. In addition,

    Coca-Cola India and PepsiCo India embarked on re-branding themselves as

    total beverage players and not just carbonates players.

    Booming Modern Retail Brings Many Opportunities for Soft Drinks Players

    With the retail scene in India undergoing a rapid metamorphosis with the

    establishment of supermarkets/ hypermarkets and convenience stores, soft

    drinks sales have benefited positively. People in urban areas are increasingly

    flocking to supermarkets to pick up specialty items that are not available in the

    kirana stores that are found all over India. Modern retail outlets have provided

    soft drinks players with many opportunities to push their brands. Consumer

    promotions for fruit/vegetable juice and emerging sectors such as RTD tea and

    functional drinks are driving product sampling. Attractive point-of-sale (PoS)

    displays and gift packs of concentrates are also drawing consumer attention in

    supermarkets/hypermarkets.

    Healthy Drinks to Drive Forecast Growth

    Soft drinks is expected to post a strong performance on the back ofincreasing affluence amongst consumers and evolving lifestyles which lead to

    consumers devoting less time to preparing fresh food and drink at home.

    Competition from the unorganized sector will diminish gradually as consumers

    show greater aversion to buying unpackaged and unbranded soft drinks from

    street vendors due to health and hygiene concerns. Rising health

    consciousness is also expected to drive sales of naturally healthy (NH) soft

    drinks such as 100% juice and mineral water. In addition, soft drinks such as

    sports drinks and juice-based carbonates are also expected to fare well over the

    forecast period as consumers perceive them to be healthy.

    Beverage Industry

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    EMERGING BEVERAGE TRENDS:- The beverage industry is a shiftinglandscape as volume leading categories such as soft drinks and beer continueto experience share erosion while functional and health & wellness orientedcategories enjoy double-digit volume growth:

    Soft Drinks -3.9% Domestic Beer -1.2% Energy Drinks +53% Bottled Water +25% RTD Tea +23% Sports Drinks +19%

    Industry giants Coca Cola (http://www.coke.com/) and Pepsi

    (http://www.pepsico.com/) continue to diversify their portfolios, as evidenced

    with Cokes recent acquisitions involving Glaceaus vitaminwater

    (http://www.glaceau.com/) and Fuze (http://www.drinkfuze.com/), as well as

    Pepsis purchase of Izze Natural Soda (http://www.izze.com/).

    Functional beverages continue to be the hottest segment in beverage, driven by

    energy drinks (+53% growth in 2006). Red Bull (http://www.redbull.com/)

    continues to lead the category, but challengers Monster

    (http://www.monsterenergy.com/) and Rockstar (http://www.rockstar69.com/)

    are realizing share leadership in select markets.

    Bottled water is experiencing resurgence, +25% versus year ago, and is second

    only to energy drinks in volume growth. Segment growth is driven largely by the

    introduction of enhanced/fortified/flavored waters, led by Glaceaus vitaminwater

    but featuring a slew of new entrants including: Metromint

    (http://www.metromint.com/), Hint (http://www.drinkhint.com/), Propel Fitness

    Water (http://www.propelwater.com/), SoBe Lifewater

    (http://www.sobelifewater.com/), Aquafina Alive (www.aquafina.com), among

    many others.RTD tea is riding the antioxidant wave to 23% volume growth

    versus prior year, driven by consumers growing awareness of the health

    benefits associated with antioxidants. Arizona (http://www.arizonabev.com/)

    leads the category, followed by Lipton (http://www.lipton.com/) and Snapple

    (http://www.snapple.com/) brands. Organic RTD tea brands are a growingmarket niche led by Honest Tea (http://www.honesttea.com/) and Republic of

    Tea (http://www.republicoftea.com/).

    7

    http://www.coke.com/http://www.pepsico.com/http://www.glaceau.com/http://www.drinkfuze.com/http://www.izze.com/http://www.redbull.com/http://www.monsterenergy.com/http://www.rockstar69.com/http://www.metromint.com/http://www.drinkhint.com/http://www.propelwater.com/http://www.sobelifewater.com/http://www.arizonabev.com/http://www.lipton.com/http://www.snapple.com/http://www.honesttea.com/http://www.republicoftea.com/http://www.coke.com/http://www.pepsico.com/http://www.glaceau.com/http://www.drinkfuze.com/http://www.izze.com/http://www.redbull.com/http://www.monsterenergy.com/http://www.rockstar69.com/http://www.metromint.com/http://www.drinkhint.com/http://www.propelwater.com/http://www.sobelifewater.com/http://www.arizonabev.com/http://www.lipton.com/http://www.snapple.com/http://www.honesttea.com/http://www.republicoftea.com/
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    The Indian Beverage Market

    8

    PROJECT BACKGROUND-

    Beverage Market

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    Indias one billion people, growing middle class, and low per capita

    consumption of soft drinks made it a highly contested prize in the global CSD

    market in the early twenty-first century. Ten percent of the countrys population

    lived in urban areas or large cities and drank ten bottles of soda per year while

    the vast remainder lived in rural an eras, villages, and small towns where

    annual per capita consumption were less than four bottles. Coke and Pepsi

    dominated the market and together had a consolidated market share above

    95%. While soft drinks were once considered products only for the affluent, by

    2003 91% of sales were made to the lower, middle and upper middle classes.

    Soft drink sales in India grew 76% between 1998 and 2002, from 5,670 million

    bottles to over 10,000 million and were expected to grow at least 10% per year

    through 2012.2 8 In spite of this growth, annual per capita consumption was

    only 6 bottles versus 17 in Pakistan, 73 in Thailand, 173 in the Philippines and

    800 in the United States.

    With its large population and low consumption, the rural market

    represented a significant opportunity for penetration and a critical battleground

    for market dominance. In 2001, Coca-Cola recognized that to compete with

    traditional refreshments including lemon water, green coconut water, fruit juices,

    tea, and lassi, competitive pricing was essential. In response, Coke launched a

    smaller bottle priced at almost 50% of the traditional package.

    INDIAN HISTORY

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    India is home to one of the most ancient cultures in the world dating

    back over 5000 years. At the beginning of the twenty-first century, twenty-six

    different languages were spoken across India, 30% of the population knew

    English, and greater than 40% were illiterate. At this time, the nation was in

    the midst of great transition and the dichotomy between the old India and the

    new was stark. Remnants of the caste system existed alongside the worlds top

    engineering schools and growing metropolises as the historically agricultural

    economy shifted into the services sector. In the process, India had created the

    worlds largest middle class, second only to China.

    A British colony since 1769 when the East India Company gained

    control of all European trade in the nation, India gained its independence in

    1947 under Mahatma Ghandi and his principles of non-violence and self-

    reliance. In the decades that followed, self-reliance was taken to the extreme

    as many Indians believed that economic independence was necessary to be

    truly independent. As a result, the economy was increasingly regulated and

    many sectors were restricted to the public sector. This movement reached its

    peak in 1977 when the Janta party government came to power and Coca-Cola

    was thrown out of the country. In 1991, the first generation of economic

    reforms was introduced and liberalization began.

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    COMPANY PROFILE

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    COMPANY PROFILE

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    In 1902 the Pepsi Cola Company was launched in the back room of

    pharmacy and was applied in patent office for a trademark. The business

    begins to grow on June 16, 1903 Pepsi Cola was officially registered with the

    US patent office. That year Cola sold 7,968 gallons of syrup using them in

    exhilarating aids digestion. It also awarded for franchised to bottle Pepsi to

    independent investors, where number grew from just two in 1905 in cities of

    charlotte and Durham, to 15 the following year, and 40 by 1907.

    Gold Spot is considered as the first branded soft drink in India. It was

    introduced by Parle in early forties. Coca-Cola was the first foreign soft drink to

    be introduced in Indian markets. The Coca-Cola Company entered India in the

    early fifties, when four bottling plants were setup at Bombay, Calcutta, Delhi and

    Kanpur. Coca-Cola enjoyed a good beginning and dominated the market. Parle

    exports private Ltd. the major domestic player later in 1970 introduced Limca, a

    lemon soft drink. Before Limca introduction, they had attentively introduced

    Cola Pepino which was soon with from the market.

    In July 1977 Coca Cola left India following a public dispute over share

    holding structure and import permits. As per FERA regulations the company

    was required to indicate or clear operation. Coca-Cola left a big gap, which was

    filled by several companies who came forward pushing different brands in

    market.Parle products introduced their cola Thums Up; pure drinks introduced

    Campa Cola along with orange and lemon. Modern Bakeries introduced

    Double Seven Thrill Rush and Aprint. At the same time various regional

    soft brands played an independent role in their respective territories like Dukeand Mangola etc.

    After Coke was asked to leave India Pepsi began to lay plans to enter

    this huge market. Pepsi worked with an Indian business group in seeking govt.

    approval for its entry over the objections of both domestic soft drink companies

    and anti-multinational legislators, Pepsi saw the solution to lie in making an offer

    that Indian Govt. would find hard to refuse. Pepsi offered to help India export

    some of its agricultural products in a volume that would cover more than the

    cost of importing soft drink concentrate. Pepsi also promised to focusconsiderable selling efforts on rural areas to help their economic development.

    Pepsi further offered to transfer food processing packaging and water treatment

    to India in the way Pepsi started its operations in April 1989 for beverages,

    snack food and export business. In 1990 first Pepsi, Cola was produced in

    India.

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    PepsiCo entered India in 1989 and in the span of a little more than a

    decade, has grown to become the country's largest selling soft drinks company.

    The Company has invested heavily in India making it one of the largest

    multinational investors. The group has built an expansive beverage, snack food

    and exports business and to support the operations are the group's 39 bottling

    plants in India, of which 17 are company owned and 22 are franchisee owned.

    PepsiCo stays committed to providing its consumers with top quality

    beverages. Its diverse portfolio of brands include the flagship cola brand -

    Pepsi; Diet Pepsi; 7Up; Mirinda; Mountain Dew; Slice fruit drink; Tropicana

    brand 100% fruit juices in various flavors; Aquafina packaged drinking water;

    Gatorade plus local brands Lehar Evervess Soda, Dukes Lemonade and

    Mangola.

    PepsiCo is also a dominant player in the snack food segment in India.

    PepsiCo's snack food company Frito-Lay is the leader in the branded potato

    chip market. It manufactures Lay's Potato Chips; Cheetos extruded snacks,Uncle Chips; traditional namkeen snacks under the Kurkure and Lehar brands;

    and Quaker Oats.

    PepsiCo is one of the largest MNC exporters in India and its export

    business consist of three categories - agri business, commodities and Pepsi

    system sales. PepsiCo has made significant investments with the Punjab

    Agriculture University to develop a comprehensive agro-technology

    Programmed that has helped thousands of farmers across India improve the

    yield of their farms and the quality of their agricultural products. PepsiCo hasleveraged its knowledge in contract farming to develop seaweed cultivation in

    Tamil Nadu and has partnered with the Government of Punjab to help farmers

    of the state through the utilization of developed technology for citrus farming.

    As part of its sustainable development initiatives, PepsiCo India has

    been a committed leader in the promotion of rain water harvesting, water

    conservation recycling and the reduction of effluent discharge. PepsiCo has

    also established zero waste centers and PET recycling supply chains and

    assisted victims of natural disasters. PepsiCo stays dedicated in its endeavor to

    develop community outreach programs by supporting rural water supply

    schemes, administering medical camps in villages, providing computers to rural

    schools and creating opportunities for women in rural areas through vocational

    training as an alternate means of livelihood.

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    PepsiCo India has worked closely with the Defense forces in

    rehabilitation of Defense Personnel through projects like Mission Vijay-2. Under

    this project Pepsi in association with Castrol helped soldiers set booths in rural

    area to sell Pepsi and Castrol products there by helping them to not only earn a

    decent living but to also add some color to their lives. Through this project

    PepsiCo India also tries to give these soldiers distribution rights for its soft

    drinks.

    It gives PepsiCo India great pleasure in associating with Defense India and

    Samvedna for an event to bring cheers and smiles for our Jawaans of BSF

    (Border Security Force) at Wagah.

    In the next year, 1991 production on Mirinda and 7 Up started. The

    production of Slice, Teem and Fountain Pepsi started in 1993 Coca-Cola came

    back again in October 1993 and launched in Agra. It joined hands with Parle

    Export Pvt. Ltd. to enter India and gradually took over the same company. The

    nineties also saw a new foreign entrant called Cadbury Schmeppes, which

    rolled out Canada Dry and Crush in Metropolitan cities.

    Pepsi entered the cloudy lemon category by launching its Mirinda Lemon

    in 1998. In may 1999, a notification, presenting the presentation of food

    Adulteration (Fourth Amendment) rules 1999, allowed the use of the blended

    artificial sweeteners, as part time and a successful fame potassium in the

    formulation of soft drinks, which in what made the entry of diet Pepsi and diet

    coke. Coca-Cola also rolled out its popular clear lemon drink sprit in India at

    same year, 1999.

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    COMPANYS GLOBAL STRATEGY

    Set a winner growth goals if you act like number two, you will always be

    number two.

    Hiring people who love change and thrive on risk taking.

    Upset the rules of the market place. .

    Always anticipate the response you may provoke.

    Execution of a plan often derive success more then more marketing

    Encourage Executives to think laterally.

    Conjure Up those creative tactics to knack fizz out of its competition.

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    BRAND PROFILE

    PepsiCo Company provides five brands of Soft drinks. In all brands of

    Pepsi one is Soda, Second Mineral water and other are running successfully inthe market. At present time Pepsi provides two new soft drinks. Dew Mountain

    and Blue Pepsi and above marketed with reasonably good success. They are

    completely defined below-

    1. Pepsi

    2. Blue Pepsi

    3. Pepsi Diet

    4. Miranda (Lemon + Mango)

    5. Slice

    6. 7up

    7. Aquafina

    8. Dew Mountain

    Now here we will discuss about the market shares of each brands of soft

    drinks. There market share are as follows-

    Soft Drinks Market Share

    Pepsi 57%

    Mirinda (Orange) 16%Mirinda (Lemon) 2%

    Slice 1.5%

    Teem Soda Not Available

    7UP 1.5%

    Aquafina 3%

    Blue Pepsi 2%

    Dew Mountain 8%

    Pepsi Diet 6%

    Quantity Details of all brands of Soft drinks are given as below

    SOFT DRINKS Quantity

    Pepsi 200ml, 300ml, 600ml, 1lt, 2lt.

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    Mirinda Orange

    Mirinda Lemon

    Slice

    7up

    Teem Soda

    Pepsi Diet

    Aquafina

    Dew mountain

    Blue Pepsi

    200ml, 300ml, 600ml, 1lt, 2lt

    200ml, 300ml, 600ml, 1lt, 2lt

    250ml, 500ml

    200ml, 300ml, 2lt

    300ml, 600ml

    330ml, 500ml

    1lt

    200ml

    500ml

    The PepsiCo company had provided its 300ml bottle soft drinks(B.S.D.)

    in the month of June 95, 200ml launched in the year of 1999 and I lit, 1.5 lit

    bottle launched in the year 1996 while 500ml and 2 it launched in 2000, Mineral

    water, Aquafina had been launched in the year 2001.

    Dew mountain, Blue Pepsi 200ml, 500, ml, has been launched in the year 2003.

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    Pepsi's Products

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    RESEARCH METHODOLOGY

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    RESEARCH METHODOLOGY

    Scope of the study:

    The research pertains to the study of consumer choice for soft drinks at Jaipurmarket. This study is attempt to analyze the present top brands preferred by

    customer for soft drink in Jaipur market, examine the product factors that

    influence the purchasing decisions of buyers and to know the relation between

    gender & preference for soft drinks & flavors.

    Objectives of the study

    As every research has some objective/s to achieve or problem/s to solve.

    Because every research is conducted in order to achieve some objectives.

    Objectives of this research stud y are-

    1. To study the brand preference for different kind of soft drinks.

    2. To determine the factors that influences the consumer choice of a

    particular soft drink.

    3. To study the consumption pattern & behavioral aspects of consumes

    such as frequency of consumption, quantity of consumption, place of

    consumption etc.

    4. To study the sales promotion tool/techniques sources of media that

    attracts consumers most.

    Hypothesis:-

    Null Hypothesis: Promotions does not affect the sales.

    Null Hypothesis: Factors does not affect sales of soft drinks people drink just to

    quench the thirst.

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    RESEARCH METHODOLOGY

    Data collection

    The type of data collected for the research was primary as well as secondary.

    Primary data was collected through:

    Direct contact with the customers.

    Questionnaires filled by the customers.

    Secondary data was collected through:

    Various journals

    Internet survey reports

    Field work and Sample

    While developing and utilizing a sample for the research purpose, the following

    steps were used:

    Defining the universe

    Developing the sample frame

    Selecting a sampling frame

    Determining the sample size

    Selecting the research instrument

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    Universe

    The universe or population is the specific group of people is the specific group

    of people from conditions, activities, etc. which form the pivotal point of the

    project.

    For developing and using sample, it becomes the primary duty of researcher to

    define the population from which he intends to draw the sample.

    The universe of my project is about 130 consumers of Jaipur city, which formed

    the pivotal point of my project.

    Sampling frame

    A sampling frame may be defined as the listing of the general components of

    the individual unit that comprise the defined population.

    In case of my project, sampling frame is various consumers frame is various

    consumers including lower middle class, middle class and rich class.

    Sampling procedure

    After defining the sampling frame, other important point to be discussed is

    which sampling procedure to be adopted.

    A simple random sampling technique will be used to understand customers

    outlook towards the soft drinks.

    Sample size

    130 consumers of Jaipur city an attempt will be made to make the sample

    representative of the whole population under study.

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    Research instrument:

    Questionnaires were used to find out Factors influencing consumer choice of

    soft drinks in Jaipur city with the help of the questionnaire, filled by 130

    consumers, the result was analyzed.

    The process was followed to prepare a questionnaire:

    1. Specify the information needed.

    2. Determined the types of questions to be asked.

    3. Deciding the number and sequence of questionnaire.

    4. Preparing preliminary draft of questionnaire.

    5. Revised and protested the questionnaire.

    Limitations

    Although the research was conducted in a way to ensure accurate results but

    certain errors might have occurred due to some unavoidable reasons. Some of

    the limitations of the project are:-

    Data collection

    1. Non-response by some of the respondents.

    2. Since the population is not homogeneous, some biasness might havecreped in.

    3. The sample of convenience, thus it is not the true representative of thecomplete.

    MEASUREMENT ERROR

    There was certain degree of misinterpretation by the respondents about the

    points raised in the interview.

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    ANALYSIS

    &

    INTERPRETAYION

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    Data Analysis and Interpretation

    1. Gender wise profile :

    Graph 1.1

    Gend er wise Profi

    Male

    54%

    Femal

    46%Male

    Femal

    Interpretation:

    As the above graph shows that there were equal male and female respondents,

    males were little higher than females by only 4%.

    2. Age wise Profile:

    10-20years

    In %21-30years

    In %31-40years

    In %More

    than 40years

    In % Total

    Male 12 17% 28 40% 21 30% 9 13% 70

    Female 14 23% 20 33% 16 27% 10 17% 60Total 26 20% 48 37% 37 28% 19 15% 130

    Graph 2.1

    No. of Respondents In%

    Males 70 54%

    Females 60 46%

    Total 130 100%

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    Age Wise Profile of Males Responde

    17%

    40%

    30%

    13%

    10-20 years 21-30 years 31-40 years More then 40 year

    Interpretation:

    As the above graph clearly depicts that most of males respondents [40%]were youth as fall into the category of 21-30 years.

    Graph 2.2

    Age Wise Profile of Females Respondents

    23%

    33%

    27%

    17%

    10-20 years 21-30 years 31-40 years More then 40 years

    Interpretation:

    As the above graph clearly depicts that most of females respondents

    [33%] were also youth as they fall into the category of 21-30 years.

    3. Occupation wise Profile:

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    Service In % Business In % Professionals In %Other [Students

    housewivesetc.]

    In %

    Male 28 40% 14 20% 9 13.% 19 27%

    Female 10 17% 0 0% 8 13.% 42 70%

    Total 38 28.% 14 10% 17 13.% 61 47%

    Graph 3.1

    Occupation Wise Profile of Males

    40%

    20%

    13%

    27%

    Serv ice Bus iness Professionals Students

    Interpretation: As the above graph clearly shows that there were most of males

    respondents [40%] were service category

    Graph 3.2

    Occupation Wise Profile of Females

    17%

    27%

    13%

    43%

    Serv ice Students Professionals Housewife

    Interpretation:

    As the above graph clearly shows that there were most of females

    respondents [43%] were housewives category

    4. Income group wise profile:

    Less than In % 10,000- In % 15,000- In % More than In % Total

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    Rs. 10,000 15,000 20,000 20,000

    Male 37 53% 9 13% 9 13% 15 21% 70

    Female 42 70% 4 7% 8 13% 6 10% 60

    Total 79 61% 13 10% 17 13% 21 16% 130

    Graph 4.1

    Income Wise Profile of Males

    53%

    13%

    13%

    21%

    Less then Rs. 10,000 10,000-15,000

    15,000-20,000 More then Rs. 20,000

    Interpretation:

    As the above graph clearly shows that there were most of males

    respondents [53%] were income group of Rs. Less than Rs. 10,000.

    Graph 4.2

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    Income Wise Profile of Females

    70%

    7%

    13%

    10%

    Less then Rs. 10,000 10,000-15,00015,000-20,000 More then Rs. 20,000

    Interpretation:

    As the above graph clearly shows that there were most of femalesrespondents [70%] were income group of Rs. Less than Rs. 10,000.

    5. Ranking of different flavors of soft drinks according to

    choice of consumers:

    Graph 5.1

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    Interpretation:

    The above graph shows that Mango Flavor is preferred most by the male

    customers than next is Cola & Lemon is least preferred by them.

    The above graph shows that Orange Flavor is preferred most by the

    female customers than next is Mango & Cola is least preferred by them.

    6. Brand recall of different soft drink brands:

    Brand

    RecallCola Pepsi Thums up Fanta Slice Mirinda Limca Fruity Maza

    Top of

    the mind

    recall

    70% 60% 60% 65% 60% 40% 45% 55% 60%

    Unaided

    recall30% 40% 40% 35% 40% 60% 55% 45% 40%

    Graph 6.1

    31

    Ranking of Soft Drinks Flavors of Respondents

    2

    3

    1

    4

    4

    1

    2

    3

    0 1 2 3 4

    Cola

    Orange

    Mango

    Lemon

    Males Females

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    Brand Recall of different soft drink brands

    70

    60 6065

    60

    4045

    55

    60

    30

    40 4035

    40

    60

    5545

    40

    Coke

    Pepsi

    Thum

    sup

    Fanta

    Slice

    Miri

    nda

    Limca

    Fruity

    Maz

    a

    Persen

    Top of the mind recall

    Unaided recall

    Interpretation:

    As the above graph shows that comparatively coke is at the top of the

    mind recall by most of customers [70%] and next is Pepsi. In Unaided brand

    recall Maza and Fruity.

    7.Ranking of factors that influence the consumer choice of soft

    drink:

    Factors Male Female

    Taste 1 1

    Price 2 5

    Health 3 3

    Weather 4 2

    Social Gathering 5 4

    Packaging 6 6

    Ads & offers 7 8

    Status 8 7

    Graph 7.1

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    Factors that influence the consumer

    1

    2

    3

    4

    5

    6

    7

    8

    1

    5

    3

    2

    4

    6

    8

    7

    0 1 2 3 4 5 6 7 8

    Taste

    Price

    Health

    Weather

    Social Gathering

    Packaging

    Ads & offers

    Status

    Rank

    Male Female

    Interpretation:

    Taste ranked as first factor affecting consumer choice by both male &

    female consumers. Price is ranked second by male consumers whereas health

    factor is ranked by female consumers which affect their choice of soft drinks.

    8. Consumption per week by consumers:

    Lessthan 5times

    In%6-10times

    In%More

    than 10times

    In% Undecided In% Total

    Male 47 67% 12 17% 2 3% 9 13% 70

    Female 44 74% 8 13% 0 0% 8 13% 60

    total 91 70% 20 15% 2 2% 17 13% 130

    Graph 8.1

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    Average consumption per week by Males

    67%

    17%

    3%13%

    Less than 5 times 6-10 times More than 10 times Undecided

    Graph 8.2

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    Average consumption per week by Females

    74%

    13%

    0%13%

    Less than 5 times 6-10 times More than 10 times Undecided

    Interpretation:

    From the above graph we can say that most of the consumers [70%] are

    not having any regular schedule of consuming soft drinks. Both males [13%] &females [13%] consumer said that it is undecided and only 1.54% consumer

    said that they drink more than 10 times in week so it is not definite.

    9. Quantity of consumption at once:

    200ml. In% 300ml. In% 500ml. In%

    More than

    500ml. In% TotalMale 23 33% 28 40% 19 27% 0 0% 70

    Female 24 40% 24 40% 12 20% 0 0% 60

    Total 47 37% 52 40% 31 23% 0 0% 130

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    Graph 9.1

    Quantity of consumption at once by Males

    33%

    40%

    27%0%

    200 ml. 300 ml. 500 ml. More than 500 ml.

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    Graph 9.2

    Quantity of consumption at once by Females

    40%

    40%

    20%0%

    200 ml. 300 ml. 500 ml. More than 500 ml.

    Interpretation:

    From the graphs we can say that [Both males & females] majority of the

    consumers [40%] prefer to drink these soft drinks in the quantity of 300 ml. at

    once & than next is 200 ml. with [37%] but there is big difference in consumer

    response for the rests of the options.

    10. Drinking Pattern:

    With group In% Alone In% Total

    Male 58 82.86% 12 17.14% 70Female 54 90% 6 10% 60

    Total 112 87.69% 18 12.31% 130

    Graph 10.1

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    82.85%

    17.14%

    0.00% 20.00% 40.00% 60.00% 80.00% 100.00%

    With group

    Alone

    Drinking Pattern of Males

    Graph 10.2

    90%

    10%

    0% 20% 40% 60% 80% 100%

    With group

    Alone

    Drinrking Pattern of Females

    Graph 10.3

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    87.69%

    12.30%

    0.00% 20.00% 40.00% 60.00% 80.00% 100.00%

    With group

    Alone

    Drinking Pattern of all Respondents

    Interpretation:

    From the above it is clearly visible that mostly customers [87.69%]

    enjoy drinking these soft drinks when they are with group.

    11. Area of consumption:

    Home In %Outside

    locationIn %

    Cinema

    HallsIn %

    Social

    Gathering

    In

    %

    B/C

    partiesIn %

    Male 14 20% 30 43% 12 17% 5 7% 9 13%

    Female 20 33% 18 30% 18 30% 4 7% 0 0%

    Total 34 26% 48 37% 30 23% 9 7% 9 7%

    Graph 11.1

    Area of consumption for Males

    20%

    43%

    17%

    7%

    13%

    At home/office At outside locations

    At cinema halls At social gatheringAt corporate/business parties

    Graph 11.2

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    Area of Consumption for Females

    33%

    30%

    30%

    7% 0%

    At home/office At outside locationsAt cinema halls At social gatheringAt corporate/business parties

    Graph 11.3

    Area of Consumption

    26%

    37%

    23%

    7%7%

    At home/office At outside locations

    At cinema halls At social gathering

    At corporate/business parties

    Interpretation:

    As the about graphs show that mostly [37%] customers prefer drinking at

    outside location & at home/office and cinema halls. This means customer drinkthese drink whenever they go for outing locations.

    12. Consumer choice when multiple choices are given without price.

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    Soups In %Hot

    drinksIn %

    SoftDrinks

    In %Fruit

    juicesIn % Total

    Male 14 20% 9 13% 28 40% 19 27% 70

    Female 16 27% 10 17% 20 33% 14 23% 60

    Total 30 23% 19 15% 48 37% 33 25% 130

    Graph 12.1

    Consumer choice when multiple choices are given

    without price for Males

    20%

    13%

    40%

    27%

    Soups Hot Drinks Sof t Drinks Fruit Juices

    Graph 12.2

    Consumer choice when multiple choices are given

    without price for Females

    27%

    17%33%

    23%

    Soups Hot Drinks Sof t Drinks Fruit Juices

    Graph 12.3

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    Consumer choice when multiple choice are given

    without price

    23%

    15%

    37%

    25%

    Soups Hot Drinks Sof t Drinks Fruit Juices

    Interpretation:

    From the above graph it is seen that when multiple choice are givento customers without any charge for that i.e. when price factor is excluded, thenmore than 37% customers prefer to drink soft drinks and next is Fruit juices,soups, tea/coffee respectively.

    13. Sources of Information:

    NewsPaper

    In %T.V.ads

    In % Hoarding In %By

    retailersIn % Total

    Male 12 17% 42 60% 12 17% 4 7% 70Female 6 10% 42 70% 10 17% 2 3% 60

    Total 18 14% 84 64% 22 17% 6 5% 130

    Graph 13.1

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    Source of inform ation for M ales

    17%

    60%

    17%6%

    Newspapers T.V . ads . Hoardings By retailers

    Graph 13.2

    Source of information for Females

    10%

    70%

    17%3%

    Newspapers T.V. ads. Hoardings By retailers

    Graph 13.3

    Source of information

    14%

    64%

    17%5%

    New spapers T.V . ads . Hoardings By retailers

    Interpretation:

    From the above graph it is clearly visible that main source of informationto customers regarding soft drinks is T.V. ads according to 64% customers.

    14.Influence of Brand Ambassador Consumer choice of Soft drinks.

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    Yes In % No In % Total

    Male 49 70% 21 30% 70

    Female 24 40% 36 60% 60

    Total 73 57 130

    Graph14.1

    70%

    30%

    40%

    60%

    0%

    20%

    40%

    60%

    80%

    100%

    Males Females

    Influence of Brand Ambassador consumer choice of

    Soft drinks

    No

    Yes

    Interpretation:

    From the above graph clearly depicts that here is a big difference amongthe response of male & female customer, as in the opinion of most of the male

    customers [70%] Brand ambassador influences their choice whereas in theopinion of female majority [60%] said that there is no impact of any BrandAmbassador upon their choice.

    15. Preferred Celebrities as Brand Ambassador according toConsumers:

    BollywoodCelebrities

    In %Sports

    CelebritiesIn % Both In %

    Othercelebrities

    In%

    Total

    Male 30 43% 12 17% 23 33% 5 7% 70

    Female 16 27% 28 46% 12 20% 4 7% 60Total 46 35% 40 31% 35 27% 9 7% 130

    Graph15.1

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    Preferred Celebrities as Brand Ambassador

    according to Males

    43%

    17%

    33%

    7%

    Bollywood Sports Both Other

    Graph 15.2

    Preferred Celebrities as Brand Ambassador

    according to Females

    27%

    46%

    20%

    7%

    Bollywood Sports Both Other

    Graph15.3

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    Preferred Celebrities as Brand Ambassador

    35%

    31%

    27%

    7%

    Bollyw ood Sports Both Other

    Interpretation:

    As the graph depicts that highest 35% people said that bollywoodcelebrities should be the brand ambassador of soft drinks and than 27% werewith both but here is big difference among the choice of male & femalecustomers.

    16. Most preferred sales promotion tools/techniques:

    Buy 2 get1 free

    Scratch/Magic

    cards

    Pricediscounts

    ExtraQuantity

    offer

    Somethingfree

    Total

    Male 12 7 30 14 7 70

    Female 14 8 22 10 6 60

    Total 26 15 52 24 13 130

    Graph 16.1

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    Most preferred sales promotion tools/techniques by

    Males

    17%

    10%

    43%

    20%

    10%

    Buy 2 get 1 f ree Scratch/Magic card Price Discount

    Extra quantity offer Something free

    Graph 16.2

    Most preferred sales promotion tools/techniques byFemales

    23%

    13%

    37%

    17%

    10%

    Buy 2 get 1 f ree Scratch/Magic card Price Discount

    Extra quantity offer Something free

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    Graph 16.3

    Interpretation:

    As per the analysis of above graphs that of the customers [40%] preferprice discounts then there is buy 2 get 1 free offer.

    17. Brand Loyalty among Consumers of Soft drinks:

    Brand loyal In % Not Brandloyal In % Total

    Male 28 40% 42 60% 70

    Female 18 30% 42 70% 60

    Total 46 35% 84 65% 130

    Graph 17.1

    48

    Mos t prefe rre d s ales prom otion tools/techniq

    20%

    12%

    40%

    18%

    10%

    Buy 2 get 1 f ree Scratch/Magic card Pr ice Discount

    Extra quantity off er Something free

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    40%

    60%

    30%

    70%

    0%

    20%

    40%

    60%

    80%

    100%

    Males Females

    Brand Loyalty among Consumers of Soft drinks

    No

    Yes

    Interpretation:

    As the above graphs show there are 35% customers who brand loyal butmales are having much loyalty in comparison to females customers.

    H1=we found that our null hypothesis rejected as majority of people are buying just

    because of promotions and offers.

    H1=we found that our second null hypothesis also rejected we found that people drinkdue to several factors like their choices or their favorite star is having the same not to

    quench thirst.

    Fact Findings

    1. No. of Respondents:

    There were total 130 respondents out of which 70 were males &

    60 were females.

    2. Age group:

    20% respondents fall into the age group of 10-20 years.

    37% respondents fall into the age group of 21-30 years.

    28% respondents fall into the age group of 31-40 years.

    15% respondents fall into the age group of more than 40years.

    3. Occupation of respondents:

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    28% of the respondents were Service.

    10% of the respondents were Business

    13% of the respondents were Professionals

    47% of the respondents were Students & housewives etc.

    4. Income group of respondents:

    61% of the respondents fall into the income group of less than

    Rs.10, 000.

    10% of the respondents fall into the income group of 10,000-

    15,000.

    13% of the respondents fall into the income group of 15,000-

    20,000.

    16% of the respondents fall into the income group of more than

    Rs.20, 000.

    5. Ranking of factors that influence the consumer choice of soft drink:

    Taste ranked as first factor affecting consumer choice by both

    male & female consumers.

    Price is ranked second by male consumers whereas health factor

    is ranked by female consumers which affect their choice of soft

    drinks.

    6. Ranking of different flavors of soft drinks according to choice of

    consumers: Mango Flavor is preferred most by the male customers than next

    is Cola & Lemon is least preferred by them.

    Orange Flavor is preferred most by the female customers than

    next is Mango & Cola is least preferred by them.

    7. Brand recall of different soft drink brands:

    Comparatively coke is at the top of the mind recall by most of

    customers [70%] and next is Pepsi. In Unaided brand recall

    Maaza and Fruity.

    8. Consumption per week by consumers:

    70% of the consumers said that their consumption per week of

    soft drink is less than 5 times.

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    15% of the consumers said that their consumption per week of

    soft drink is 6-10 times.

    2% of the consumers said that their consumption per week of soft

    drink is more than 10 times.

    13% of the consumers said that their consumption per week of

    soft drink is Undecided.

    9. Quantity of consumption at once:

    37% of the consumers like to drink 200 ml. of soft drinks at once.

    40% of the consumers like to drink 300 ml. of soft drinks at once.

    23% of the consumers like to drink 500 ml. of soft drinks at once.

    Zero of the consumers like to drink more than 500 ml. of soft

    drinks at once.

    10.Drinking Pattern:

    87.69% of the consumers enjoy drinking soft drinks in group.

    12.31% of the consumers enjoy drinking soft drinks alone.

    11.Area of consumption:

    26% mostly consume these drinks at home/offices.

    37% mostly consume these drinks at outside location.

    23% mostly consume these drinks at cinema halls.

    7% mostly consume these drinks at social gatherings.

    7% mostly consume these drinks at business/corporate parties.

    12.Consumer choice when multiple choices are given without price.

    23% customers prefer to drink soups when price factor is

    excluded.

    15% customers prefer to drink hot drinks when price factor is

    excluded.

    37% customers prefer to drink soft drinks when price factor is

    excluded.

    25% customers prefer to drink Fruit juices when price factor isexcluded.

    13.Source of information:

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    14% of the consumers said that they get information regarding

    different brands of soft drinks through News paper Ads.

    64% of the consumers said that they get information regarding

    different brands of soft drinks through T.V. Ads.

    17% of the consumers said that they get information regarding

    different brands of soft drinks through hoardings.

    5% of the consumers said that they get information regarding

    different brands of soft drinks through by retailers.

    14.Influence of Brand Ambassador Consumer choice of Soft drinks.

    70% of males consumers said that there choice is influenced by

    brand ambassadors.

    Whereas 60% of the females consumers said that there choice is

    not influenced by any brand ambassadors.

    15.Most preferred sales promotion tools/techniques:

    20% of the consumers like Buy 2 get 1 free.

    12% of the consumers like Scratch/ Magic cards.

    40% of the consumer like Price discounts.

    18% of the consumer like Extra Quantity offer.

    10% of the consumers like something free.

    16.Brand Loyalty among Consumers of Soft drinks:

    40% male consumers were brand loyal and: Only 30% female consumers were brand loyal for soft drink.

    Conclusion

    Through this research study we conclude that

    There many flavors but Mango flavor is liked most by the

    consumer. Cola & mango are also popular among male & femaleconsumer respectively.

    Generally people are not having any regular timing or drinking soft

    drink but we can assume that on an average every customer drink

    these drinks less than 5 times in a week.

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    Generally people prefer to drink 300 ml. quantity of soft drink at

    once.

    Most of consumer s drinks such soft drinks in group.

    Generally people drink these drinks at outside locations whenever

    they go for outing & cinema halls.

    If price factor is not taken into consideration & multiple choices are

    given to consumer then they prefer soft drink most.

    The most popular source of information regarding soft drink

    brands is T.V.

    Brand ambassador has the influence on choice of most of the

    male consumer. But there is comparatively less influence on

    female consumer.

    According to most of the male consumers bollywood celebrities

    should be the brand ambassador where as according to the most

    of female consumers sports celebrities should be the brandambassador for endorsing soft drinks.

    The three most preferred sales promotion techniques are price

    discount, but to get one free & something free with product

    respectively.

    Half of the male consumers are brand loyal whereas female

    consumers are comparatively less who the brand loyal is.

    The most influencing factor is price. According male consumers

    price is also having more influence but according to females

    health factor is much more influencing than price as they may bevery health conscious.

    Suggestions

    Promotion of mango flavor :

    Companies should focus more on the promotion of mango flavors of soft

    drinks because comparatively to cola drinks mango flavored drinks are

    very less advertised & promoted by soft drink brands where as according

    to our result cola flavor is more preferred by most of the consumers.

    Maintaining taste & keep launching innovative flavors :

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    Companies should maintain the taste of its flavored drinks should keep

    improving the taste & quality of its drinks, companies may also launched

    some innovative mixed flavors of drinks where two flavors in one drink

    can be provide like orange-pineapple etc. it will give a different taste of

    customers.

    Reduction in price :

    Price is also major factor of consumers choice of soft drinks. So

    companies should try to decrease its price by decreasing its extravagant

    expenditure in advertisement to trap the market of those customers

    whose choice is very much affected with the price of soft drinks.

    Diet drinks :

    Health is also a major factor influencing consumer choices of many

    consumers. So fruit juice are giving tough competition to soft drinks.

    Companies should advertised its product in a manner in which its

    reflects that consuming their drinks will not harm any body. As coke &

    Pepsi have already lunched its drinks for the segment which is very

    much health conscious i.e. Diet Coke & Diet Pepsi respectively which are

    fat free. But companies should launch diet drinks in other flavors also.

    Especially in mango flavor as it is preferred by most of the consumers.

    Companies should try to win the trust of consumers that these drinks are

    not having pesticides contents more than limits by sponsoring some

    rational appeal based advertisement.

    Quantity discounts :

    Companies should try to increased the sales of its drinks for the purpose

    of increasing its offering in parties. As in parties consumers mostly prefer

    soft drinks even after having multiple choices, companies should provide

    quantity discount as in parties more quantity is purchased at once.

    Humorous, creative & sensible ads :

    As companies are already promoting their brands through T.V. ads butcompanies should take very much care of the target segment & should

    ensure that no ad should hurt the person directly or indirectly. Now a

    days ads with humorous appeals are like by viewers very much so there

    should be humorous creative ads on T.V.

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    Selection of brand ambassador :

    Companies should get the endorsement from both Bollywood & Sports

    celebrities as most as the people like those ads where both of these

    celebrities endorse the product together.

    Sales promotion :

    For sales promotion companies should give the price discount as it is

    preferred by most of the customers. In of seasons companies already

    provide but if in the summer companies should price discount then it can

    be boost up there sales both in Rupees & volume. Companies should

    bye to get one free schemes also some complementary product also

    may be given with big bottle i.e. like two ltr. Bottle of soft drinks

    companies may give wafers & snakes etc.

    Brand loyalty :

    As there were not more customers who are brand loyal & easily switch

    on to other brands. So companies should strengthen its distribution

    network & ensure the proper supply & arability of there drinks to prevent

    people switching on to other brands, companies should also organized

    activities and should do programs, seminars for social & moral causes to

    build its brand image & brand loyalty amongst the customers.

    SWOT ANALYSIS OF ORGANISATION

    Strengths:

    Those are large Organization

    Capturing a Broad Market

    It is Multinational Company

    Proper Utilization of Man Power

    Product are highly demanded in Market

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    Weaknesses:

    Service is not up to the mark

    Unable to penetrate a large no. Of rural areas

    Unable to break up the monopoly of competition Reducing the brand loyalty of the consumer

    Opportunities:

    Large number of consumer

    Large Market segment

    By removing weaknesses company could be ultimate leader

    Threats:

    Existence of Local Soft Drink

    Boycott of soft drinks due to Swedishi Movement

    Different offers and Schemes provided by the other soft drink companies

    Annexure

    Questionnaire for the study of factors affecting consumer choice of soft-drinks

    Gender: [ ] Male [ ] Female

    Age group: [ ] 10-20 years [ ] 21-30 years[ ] 31-40 years [ ] More than 40 years

    Occupation: [ ] Service [ ] Business

    [ ] Professional [ ] Student[ ] Housewife [ ] Others________

    Income group (p.m.) [ ] Less than Rs.10,000 [ ] 10,000-15,000

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    [ ] 15,000-20,000 [ ] More than Rs. 20,000

    1. Please rank the following flavors of soft drinks that you like most.

    Cola_______ Orange________

    Mango_____ Lemon________

    2. Please name the brands of soft drinks, which you remember.

    _________________________________________________

    3. Please name the following that influence your decision when you purchase a soft

    drink? (On 1-8 scale, where 1 is highest & 8 is lowest rank)Taste________ After effects/Health_________

    Price________ Occasion/Social Gathering_______

    Packaging______ Advertisement & offers_________

    Weather/Heat_____ Status__________

    4. How many times you drink these beverages in a week?

    [ ] Less than 5 times [ ] 6-10 times[ ] more than 10 times [ ] Undecided

    5. How much quantity of these do beverages do you consume at once?[ ] 200 ml. [ ] 300 ml

    [ ] 500 ml. [ ] More than 500 ml..

    6. You enjoy drinking these drinks?

    [ ] With group [ ] Alone

    7. Mostly where do you consume such drinks?[ ] At home/office [ ] At outside locations

    [ ] At cinema halls [ ] At social gathering

    [ ] At corporate/business parties [ ] others_____

    8. In a party, if following drinks are offered to you then whom drink you would like

    to take?

    [ ] Soups [ ] Hot drinks/coffee/Tea[ ] Cold/Soft drinks [ ] Fruit juices

    9. How do you get information regarding the different brand & flavors of thesebeverages available in the market?

    [ ] Newspapers ads. [ ] T.V. ads.

    [ ] Hoardings & Banners [ ] By retailers

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    [ ] Other________

    10. Dose any brand ambassador of these drinks influence your choice?

    [ ] Yes [ ] No

    11. According to you, who should be the brand ambassador for soft drink?[ ] Bollywood celebrities [ ] Sports celebrities

    [ ] Both [ ] Other celebrities_______

    12. Which of the following sales promotion tools/techniques do you like most for soft

    drink?

    [ ] Buy two get 1 free [ ] Scratch/Magic card[ ] Price discount [ ] Extra quantity offer

    [ ] Something free [ ] Others__________

    13. Do you easily switch on to other brand when you do not get your favorite &desired brand/s for these drinks?

    [ ] Yes [ ] No

    Thanks very much for your kind support & cooperation.

    With Best Regards

    Ankit Pundir

    58BIBLIOGRAPHY

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    Bibliography

    Websites:

    I. www.google.co.in

    II. www.pepsico.com

    III. www.cocacola.com

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    http://www.google.co.in/http://www.pepsico.com/http://www.cocacola.com/http://www.google.co.in/http://www.pepsico.com/http://www.cocacola.com/
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    Books:

    I. C.R. Kothari