Fashion Brand Managemennt

Submitted by:

Karuna Sharma

Khushal yadav

Aditi patwari

Pawan keswani

MFM II

Comparative brand analysis of Pepsi and Coca-Cola

Indian beverage market

The size of the non-alcoholic beverages market in India is likely to reach

the Rs.11,000 crore-mark by 2015, as predicted by the industry body

Assocham. Growing at a CAGR of about 20%, the non-alcoholic beverages

sector is currently worth about Rs. 6,000 crore. Domestic consumption of

non-alcoholic beverage currently stands at about 17,500 crore litres and is

likely to cross the 35,000 crore litres mark by 2015. Emerging wellness

trends, higher expenditure for healthy lifestyle by India’s rising middle

class and overall strong domestic economy are certain key factors driving

the non-alcoholic beverage market in India.

The non-alcoholic beverages industry includes carbonated beverages,

sparkling beverages, still beverages like distilled water, fruit juices, fruit-

based drinks, energy and sports drinks, sodas, hot beverages like tea and

coffee and other drinks that have no alcohol content. Coca-Cola, Pepsico,

Parle Agro Pvt Ltd, Dabur and Godrej are among the leading players in the

domestic non-alcoholic beverage circuit.

Carbonated or aerated drinks account for about 30% of the total non-

alcoholic beverages market in the country. The size of the segment is

currently estimated at about Rs. 1,800 crore, while the value of the fruit

drink segment is estimated at about Rs. 1,200 crore and the energy drinks

market is worth about Rs. 600 crore.

Coca-Cola and PepsiCo, the two giants, together control about 90% of the

carbonated beverage market in India. Both the companies are expanding

their CSD portfolio by way of flavours and variants.

PepsiCo, has witnessed a big shift from a portfolio dominated by

carbonated beverages to a more balanced one. Their ratio of CSD portfolio

to the non-carbonated one now stands at 2:1, a big change from 9:1 a few

years back. Coca-Cola is also identifying new flavours. Its core cola brands

continue to contribute more to revenues; Thums Up is the top-selling soft

drink in India. Each brand has contributed around 10 per cent or more to

the mix.

The Coca cola Company

T h e p r o d u c t t h a t h a s g i v e n t h e w o r l d i t s b e s t - k n o w n

t a s t e w a s b o r n i n A t l a n t a , Georgia, on May 8, 1886. Dr. John Stith

Pemberton, a local pharmacist, produced the syrup for Coca Cola, and

carried a jug of the new product down the street to Jacobs’

Pharmacy, where it was sampled, pronounced “excellent” and

placed on sale for five cents a glass as a soda fountain drink.

Carbonated water was teamed with the new syrup to produce a

drink that was at once “Delicious and refreshing”.

Coca-Cola India

Coca-Cola the corporation nourishing the global community with the

world’s largest selling soft drink concentrates since 1886, was the

leading soft drink brand in India until 1977, when it left rather than

reveal its formula to the government and reduce its quality stake

as required under the Foreign Exchange Regulation Act (FERA)

which governed the operations of foreign companies in India. Coca

Cola then returned to India on 26 th October, 1993 after a 16 year

hiatus, with its launch in Agra, giving a new Thumbs up to the

Indian soft drink market. In the same year, the Company took over

ownership of the nation’s top soft-drink brand and bottling

network. Ever since, Coca-Cola has made significant investments to

build and continually consolidate its business in the country,

including new production facilities, waste water treatment plants,

distribution systems, and marketing channels. Coca-Cola India is

among the country’s top international investors, having invested more

than US$ 1 billion in Indian t h e f i r s t d e c a d e , a n d f u r t h e r

p l e d g e d a n o t h e r U S $ 1 0 0 b i l l i o n i n 2 0 0 3 f o r i t s

operations. The Company has shaken up the Indian carbonated

drinks market greatly, g i v i n g c o n s u m e r s t h e p l e a s u r e o f

w o r l d - c l a s s d r i n k s t o f i l l u p t h e i r h y d r a t i o n , refreshment,

and nutrition needs.

The company stands for its mission vision and values

The company’s vision is all about creating a long-term destination for their

business and providing with a "Road map" for winning together with their

bottling partners. Their Road map starts with their mission, which is

enduring. It declares their purpose as a Company and serves as the

standard against which they weigh their actions and decisions:

To refresh the world.

To inspire moments of optimism and happiness.

To create value and make a difference.

Their vision serves as the framework for it and guides every aspect of our

business by describing what we need to accomplish in order to continue

achieving sustainable, quality growth. It is based on the following

elements:

People: Be a great place to work where people are inspired to be

the best they can be

Portfolio: Bring to the world a portfolio of quality beverage brands

that anticipate and satisfy people’s desires and needs

Partners: Nurture a winning network of customers and suppliers,

together we create mutual, enduring value

Planet: Be a responsible citizen that makes a difference by helping

build and support sustainable communities

Profit: Maximize long-term return to share owners while being

mindful of our overall responsibilities

Productivity: Be a highly effective, lean and fast-moving

organization

The company’s values serve as a compass for their actions and describe

how they behave in the world.

Leadership: The courage to shape a better future

Collaboration: Leverage collective genius

Integrity: Be real

Accountability: If it is to be, it’s up to me

Passion: Committed in heart and mind

Diversity: As inclusive as our brands

Quality: What we do, we do well

Brand portfolio

Brand Portfolio of Coca-Cola India has a hybrid brand architecture. Some

brands benefit due to association with coco cola while others are the

driver brands.

The Coca Cola Company offers a wide range of products to the

customers including beverages, fruit juices, and bottled mineral

water. The company is always looking towards innovation and

constantly strives to satisfy its consumers through offering a wide

range of new and improved products. The Coca Cola Company has a wide

range of products out of which the following products are available in

India:

BRANDTARGET

CUSTOMER

PORTFOLIO

ROLE

PRODUCT

MARKET

CONTEXT ROLE

Coca cola

Young

generationLinchpin brand Driver

Diet coke

Weight

conscious peopleSub brand

Thums up

Confident,

mature and risk

taking people

with masculine

attitude

Silver bullet Driver

Sprite

Youngsters,

teens and young

adults

Energiser brand Driver

Fanta

Girls, youngsters Driver

Limca

Driver

Juice lovers Driver

Minute maid

pulpy orange

Minute maid

lemon

Driver

Maaza

Kids, juice lovers Sub brand

Maaza milky

Kids, teenagers

Burn

Sports people,

active people,

masculine

Iced tea lovers Co brand

Nestea

Georgia gold

Coffee lovers, Co brand

Schweppes

Health conscious

customers

Kinley water

Cash cow brand Driver

Kinley soda

Market Segmentation Model

Market can be segmented along 3 lines-

TYPES OF OUTLETS:

Grocery: Out let which pr imar i ly engage in reta i l ing of food and

var ious household i tems. I t include general household items of daily

usages e.g. commodities like flour, rice and branded household items like

toothpaste, mosquito coil, soap etc.

E&D: Outlet selling items to eat which are being cooked within

outlet. They may have placeof sitting. It includes QSR / Bakery /

Mitie store/Restaurant/Bars / Juice / Soft drinks /Ice cream Parlour /

Tea Shop etc.

Convenience: Includes outlets which are small stores or shop

generally accessible locally. These areoften located along side

busy roads. It includes chemist shop, STD booth, Pan

Shopsetc.

Marketing Mix

outlet volume locality income

channel cluster

Brand graphics

Logo: The red and white logo has become synonymous with the

brand image that quenches thirst and spreads happiness.

The bottle: The coca cola products are available in various

different sizes:

o SSRB (standard size returnable bottle)

o LRB (litter returnable bottle)

o NRB (no return bottle) or disposable bottle

o PET 1.5 (1.5 litter plastic bottle)

o CANS (tin pack 330 ml)

Packing: the Coca cola products are available in different packing:

o 24 regular bottle shell

o 6 bottle pack for 1.5 pets

o 12 bottles in a pack for disposable bottle

o 24 cans in one pack.

Promotional Strategies

A promotional strategy is an important element of market strategy.

A key ingredientin marketing campaigns consist of a diverse collection

PRODUCT- consists of various brand packs and flavor .Its product strategy promote all brand available in brand pack

PLACE- the distribution channel includes the distribution of agent to distributor to retailer to customer

PRICE- priced products in the similar bracket as of the major competitors

PROMOTION- Top line promotion includes T.V ads, banner,celebrity.Bottom line promotion includes promotional schemes,publicity material

T h e 4 P ' s

Brand Identity prism of Coca Cola

PersonalityCreative, dynamic, sporty , strong

Physique Soft drink giant, curvy bottle

Culture Relationship

of incentive tools, mostly shortterm, designed to st imulate quicker

or greater purchase of part icular products or services by

consumer or trade

Getting shelves: They gets or purchase shelves in big

departmental stores and display their products in their i n the

s ty le wh i ch makes the i r p roduc t l ook more c lea r and

more a t t rac t i ve fo r the consumers.

Eye Catching Position: Sa lesman o f the coca co la

company pos i t i ons the i r f reeze rs and the i r p roduc ts

i n eye - catching positions. Normally they keep the freezers near

the entrance of the stores.

Sale Promotion: Company also does sponsorships with different

college and school’s cafes and sponsors their sports events and

other extra curriculum activities for getting market share.

UTC Scheme: UTC mean under the crown scheme, coca cola often

do this type of scheme and they offer very handy prizes in it.

Like once they offer bicycles, caps, tv sets, cash prizes etc.

This scheme is very much popular among children.

Distribution Channels: Coca Cola Company makes two types of

selling: Direct selling and Indirect selling.

Direct Selling: In direct selling they supply their products in

shops by using their own transports. They have almost 450

vehicles to supply their bottles. In this type of selling company have

more profit margin.

Brand identity prism

Brand Identity prism of Pepsi

PersonalityYoung, innovative, fun

PhysiqueSoft drink giant, circular logo

Culture Young, vibrant, dynamic

Relationship Emotionally attached, next generation drink

ReflectionYouthful, reliable

Self imageCool, smart, upbeat