Gopal project copy

Final Dissertation Project Report-2013
Sales & Distribution of PepsiCo
Undertaken At:
SMV BEVERWGE,Pvt.Ltd.
JAGATPUR, CUTTACK
Submitted for partial fulfillment of award of
B.B.A
BY
Jayagopal pandit
Rollno-66301ct10012
INTERNAL GUIDE
Chandana Bharati
INSTITUTE OF PROFESSIONAL STUDIES AND
RESEARCH
CDA,SECTOR-6
1

ACKNOWLEDGEMENT
I would like to express my gratitude to all those who gave me the
opportunity to complete this project. I would like to thank my
Institute authorities & my internal guide Chandana Bharati for
providing me the opportunity to work with one of the most
prestigious organization. I want to thank the Head of Training
Department Mr. Sanjay Gupta for giving me permission to
commence this dissertation project in the first instance, to do the
necessary research work & to use departmental data & resources.
I am deeply indebted to my Internal Guide Chndana Bharati
whose constant help, stimulating suggestions & encouragement
helped me in giving the final shape to this project .I would like to
give my special thanks to my parents whose constant support
enabled me to complete this project work.
2

DECLARATION
I Jayagopal Pandit hereby declare that the Topic entitled- Sales &
distribution of PepsiCo is submitted in partial fulfillment of the
requirements for the degree of Bachelor in Business Administration,
IPSAR, Cuttack. Dissertation project is an original piece of work done by
me under the guidance of Chandana Bharati, Faculty, IPSAR; and has
not been submitted or published anywhere before. All educational
material collected in this study has been declared in the reference and
all the information given in the project is according to the best of my
knowledge and belief.
Place:
Date: Jayagopal pandit
IPSAR – 2010-
2013
Institute of Professional Studies and Research
CDA, SECTOR-6, CUTTACK
3

PREFACE
Marketing is merely a civilized form of warfare in which better are on with
& gain words, disciplined thinking, and power of original ideas, forward
vision & quick action couple with keeping in mind the customer desire.
Having merely an understanding of customer is not enough
today. The most difficult part of the whole nation is to retain those
customers as brand loyal. In sharing sixties, companies could ignore their
competitors because most markets were growing.
The product is the most important tool in the marketing mix.
Without a product, there is no question of marketing. The whole
marketing programme is based on the product.
The buyer purchases a product only because it serves the
customer by satisfying his needs & desire & therefore, he pays for it. Thus,
a product is a bundle of potential utility, because customer is more
interested in the benefits he gets from the product rather than the product
characteristics in a physical sense.
Distribution channel & retail activity is a term in which every
company & competitors are trying to eat each other’s share away.
It is my great advantage that SMV Beverege Pvt.Ltd has given
me this opportunity to understand the sales & Distribution activity of the
company.
I am highly obliged to receive this existing opportunity to work
experience from such immensely cooperative, dynamic a challenging
organization. I hope that you will appreciate with my work.
4

EXECUTIVE SUMMARY
PROJECT TITLE : SALES&DISTRIBUTION OF
PEPSI
NAME OF THE
COMPANY
: PEPSICO
PLACE OF WORK : JAGATPUR,CUTTACK,ORISSA
ORGANISATION
GUIDE
: Mr. SANJAY KU. GUPTA
INTERNAL GUIDE : CHANDANA BHARATI
MAJOR OBJECTIVE : TO KNOW THE OPPURTUNITY
AND THREAT IN THE FIELD OF
MARKETING
:
5

CONTENTS
6
SL NO PARTICULARS PAGE NO
1 Introduction
2 Objective of the study
3 Scope of study
4 Limitation of the study
5 Research Methodology
6 Company Profile
7 History of PepsiCo
8 About Soft Drinks Industry
9 All PepsiCo Brands
10 Mission, Vision of PepsiCo
11 SMV Beverege Pvt.Ltd
12 Product Line of PepsiCo
13 Brand of PepsiCo
14 About the Topic
15 SWOT Analysis
16 Life Project in Cuttack.
17 Data Analysis
18 Suggestion
19 Conclusion
20 Bibliography

INTRODUCTION OF MARKETING:-
“The process of ascertaining consumer needs, converting them
into a product or service & then moving the product or service to
the final consumer or user to satisfy such needs & wants of specific
customer segment or segments with emphasis on profitability,
ensuring the optimum use of resources available to the
organization.
According to kotler “Marketing is a social
&managerial function which includes individual&organization as a
group obtains what they need, desire and what their organization
could create through creating, offering and exchanging of products
of value to others”.
According to Stanton “marketing is a total system of
interacting business activities design to plan, price and to promote
the distribute want satisfying products &services to present&
potential consumers”.
According to me “marketing means, push the
product to the market & pull the customer towards the business.
we can say that the main aim of the marketer is to convert the want
of the customer to the need of the customer. “Thus marketing job
is to convert societal needs into profitable opportunities. Hence,
marketing occupies an important position in the organization of a
business unit. Today marketer, to courage face the same tough
decisions but today’s market place is more complex. Domestic
markets, at one time safe from foreign invaders are now happy
7

hunting grounds of Giant Corporation as well as niche specialists.
Major strides in technology have considerably shortened time&
distance. New products are launched &astonished pace and are
available worldwide in a short time. Communicating ones media
are proliferating new distribution channels and formats keep
appearing. Competitors are everywhere-and hungry.
8

OBJECTIVE OF THE STUDY
TITLE:
SALES AND DISTRUBUTION OF PEPSICO:
Geographical scope of the study is the Cuttack city. The data I
have collected from 179 different outlets in different areas of the
city. The main objective of the study is mainly concerned with
Pepsi Company in finding out the position of the PEPSI
Company in Cuttack market in the present scenario.
 PRIMARY OBJECTIVE:
Find out the position of PEPSI Company in Pepsi market and the
distribution of the company.
 SECONDARY OBJECTIVE:
Find out the marketing channel of Pepsi Company and the
mode of distribution.
To acquire the knowledge about how the different soft drinks
are divided in the market of Orissa.
To know the stock position of Pepsi & its competitors.
To know about the stock position of Pepsi &its competitors
at different outlets.
To ascertain the performance of the Pepsi brand.
To know the market share of Pepsi product.
9

To analyze the strength &weakness of Pepsi
SCOPE OF STUDY:-
Through this study company can know about its growth.
This study will also help to the company to know about
their new concepts position in the market.
This study will also help to the company to its promotional
activities.
Through this study company will know about the
availability of its products in the market.
LIMITATION OF THE STUDY:-
The major limitation of the study was that in depth study in the
subject couldn’t be done due to time consideration.
The other limitations are:
The company doesn’t declare all the data and internal data
are kept confidential.
Though every sincere and possible effort has been made to
collect the data, some retailers, mostly betel shops were
uncooperative in providing the data.
10

Even though some of the retailers were scolded me when I
was talking about Pepsi.
The study was small in size to gather accurate information
about the project.
The project is done in Cuttack city may not represent the
whole India.
Since the data collected was representative based, the
accuracy was questionable.
RESEARCH
METHODOLOGY
11

RESEARCH METHODOLOGY:-
Research in common parlance refers to a search for knowledge. Research
may be defined a scientific and systematic search for pertinent
information on a specific topic. In face research is an art of scientific
investigation. Research is an academic activity and as such the term
should be used in a technical sense. According to Clifford Woody
research comprises defining and redefining problems, formulating
hypothesis or suggested solution; collecting, organizing and
evaluating data; making deductions and reaching conclusion; and at
last carefully testing the conclusions to determine whether they fit the
formulating hypothesis. Research is, thus, an original contribution to
the existing stock of knowledge making for its advancement.
The data can be collected in two ways:
i. Primary Data:
The data which is collected by the researcher personally from the
first-hand experience is known as Primary Data. Primary data
were collected through the open end & a close
ii. Secondary Data:
The data which is published or collected in the past or collected by other
parties is known as Secondary Data. Secondary data were collected
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from the website of pepsi.com and some management
organizations.
 Research plan:
To find out the stock of different flavor I divided Cuttack city
some geographical areas and each part I visit 5 times to find out a
particular sale of carets,pets,my can etc.
 Research instrument:
Here the common research instrument is the
questionnaire through which primary data is collected
from different retail counters.
 Contact method:
At first I directly met the retail counters and introduced
myself as B.B.A student and then collected the data required for
my project work such as name of outlet, address, type of shop,
working hours, monopoly counter of Pepsi or coca cola or
general, problems demands of each counter and at last quantity of
each brand.
 Respondent:
General store.
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Betel shop.
Restaurant.
Fast food centre.
Juice centre.
Ice cream parlors.
Grocery shop.
Other shops.
15

COMPANY PROFILE
Pepsi is one of the world's most famous brands much like coca
cola its rival Pepsi Cola was originally called Brad's Drink after
its creator, Caleb Bradham, a pharmacist from North Carolina.
Pepsi was a carbonated soft drink he created to serve his
drugstore's customers. The new name, Pepsi-Cola, was first used
on August 28. The Pepsi logo is a simple globe with the Pepsi
colors in the background and the word Pepsi in the foreground.
Pepsi has changed its logo and its slogans a number of times since
its introduction in 1898. The Pepsi slogans through the years are
listed below
 1909-1939: Delicious and Healthful.
 1939-1950: Twice As Much For A Nickel Too.
 1950-1963: The Light Refreshment.
 1953-1961: Be Sociable.
 1961-1963: Now It's Pepsi For Those Who Think Young.
 1963-1967: Come Alive! You're In The Pepsi Generation.
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 1967-1969: Taste That Beats The Others Cold.
 1969-1973: You've Got A Lot To Live, Pepsi's Got A Lot To
Give.
 1973-1975: Join The Pepsi People Feelin' Free.
 1975-1978: Have A Pepsi Day.
 1978-1981: Catch That Pepsi Spirit.
 1981-1982: Pepsi's Got Your Taste For Life!
 1983-1983: Pepsi Now!
 1984-now: Pepsi, the Choice of a New Generation.
19

HISTORY OF PEPSICO
PEPSICO HEADQUARTER:
PepsiCo world headquarters is located in purchase, New
York. Edward Durrell, one of America’s foremost architects,
designed the seven building complex. PepsiCo is a world in
convenient foods and beverages, with revenue of about$27 billion
and over 1, 43,000 employees. The building occupies 10 acres out
of a 144 acre complex that includes the Donald M.kendall
sculpture gardens, a gardens were originally designed by world
famous garden planner, Russell page, and have been extended by
François goffinet .the ground are open to the public, and a visitors
booth is in operation during the spring &summer.
HISTORY:
The Pepsi cola company began in 1898, but it only became
known as PepsiCo when it merged with Frito lay in 1965. PepsiCo
purchased Tropicana in 1998, and Quaker oats in 2001.the brand
was trademarked on june16, 1903, though pharmacist celeb
Braham first made the drink on august 28, 1898.pepsi was
originally intended to cure stomach pains.
In 1903, Braham moved the bottling of Pepsi cola from his
drug store into a rented warehouse. This year Braham sold 7968
gallons of syrup. The next year Pepsi was sold six ounce bottles
20

and sales increased to 19848 gallons. In 1905 Pepsi received its
first logo redesigned from the original design of 1898.in 1923
Pepsi went bankrupt due to higher sugar prices as a result of
World War 1,assets were sold and Roy c Megeral bought the
Pepsi trademark. Eight years later, the company went bankrupt
again, resulting in a reformulation of the peps cola syrup formula.
During the great depression, Pepsi gained popularity
fallowing the introduction in 1929 of a 10-ounce bottle initially
priced at 10 cents, sales were slow, but when the price was slashed
to 5 cents, sales increased substantially. During the year 1936-1938
the profit was doubled.
Founded: New York
Head quarter: Purchase, USA
Area survey: World Wide
Key people: Indrakrshinamurty Nooyi
(CEO)
Industry: Food &Non Alcoholic
Beverages
Revenue: USD43.251 Billion
Total Employee: 1, 85,000
Total Assets: USD 35.994 Billion
Total Equity: USD12.106
21

Net Income: USD 5.142 Billion
CORPORATE CITIZENSHIP
PepsiCo believes that as a corporate citizen, it has a responsibility
to contribute to the quality of life in our communities. This
philosophy is put into action through support of social agencies,
projects and programs. The scope of this support is extensive-
ranging from sponsorship of local programs and support of
employee volunteer activities, to contributions of time, talent and
funds to programs of national impact. Each division is responsible
for its own giving program. Corporate giving is focused on giving
where PepsiCo employees volunteer.
FRITO- LAY
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PepsiCo’s snacks food operations had their start in 1932 when two
separate events took place. In San Antonio, Texas, Elmer doling
bought the recipe for an unknown food product- a com chip-and
started an early an entirely new industry. The product was Fritos
brand com chips, and his firm became the Frito Company.
That same year in Nashville, Tennessee, Herman w.fay
started his own business distributing potato chips. Mr. Lay later
bought the company that supplied him with the product and
changed its name to H.W. lay company. The Frito Company and
H.W.lay Company merged in 1961 to become Frito-lay Inc.
Major Frito-lay products include ruffles, la/s and dortis
brands snack chips. Other major brands include cheetos cheese
flavored snacks, Tostitos tortilla chips, santitas tortilla chips, Rold
gold pretzels and sun chips multigrain snacks. Frito-lay also sells a
variety of snacks dips and cookies, nuts and crackers.
PEPSICOLA
Caleb Bradham, a New Bern, north druggist, who first
formulated Pepsi-cola, founded PepsiCo’s beverage business
about at the turn of the century. Today consumers spend $33
23

billion on Pepsi cola beverges.Brand Pepsi and other peps cola
products including Diet Pepsi, Pepsi one, mountain dew , slice
sierra mista and mug brands – account for nearly one- third of
total soft drinks sales in the united states, a consumer marker
totaling about $60 billion.
Pepsi-cola also offers a variety of non carbonated beverages
including Aquafina bottled water, fruit works and all sport.
Pepsi-cola began selling its products internationally in 1934
with aerations in Canada. Operations grew rapidly beginning in the
addition to brands marketed in the United States like Miranda and
Pepsi max.
GATORADE &TROPICANA
The company entered the concentrate orange juice Tropicana
which was founded in 1947 by Anthony Rossi as a Florida fruit
packaging business in 1949, registering Tropicana as a trademark.
The Tropicana brand is available in 63 countries. Principal
brands in North America are Tropicana pure premium,
Tropicana seasons best, Dole juice and Tropicana twister.
Internationally, principal brands include Tropicana pure premium
and Dole juices along with fruit vita, looza and Copella. Tropicana
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pure premium is the third largest brand of all food products sold
in grocery stores in the United States.
Gatorade sports drinks were acquired by the Quaker oats
company in 1983 and became a part of PepsiCo with the merger
in 2001.Gatorade is the first isotonic sports drink, created in 1965
by researchers at the university of Florida for the school’s football
team, “The Gators”, Gatorade is now the world’s leading sport
drink.
25

QUAKER FOODS
The Quaker Oats company was formed in 1901 when several
American pioneers in oat milling came together to incorporate. In
Ravenna, Ohio, Henry d. Seymour and William heston had
established the Quaker mill company and registered the now
famous trademark. Seymour wanted his product to be a symbol of
honesty, integrity and strength. The figure of a man in Quaker
clothes became the first registered trademark for breakfast cereal
and remains the hallmark for Quaker oats today.
In Cedar Rapids, lowa, john Stuart and his son Robert, and
their partner George Douglas, operated the largest cereal mill of
the time. Ferdinand Schumacher, known as the oatmeal king, had
founded German mills American Oatmeal Company in 1856.
The first major acquisition of the company was aunt jemina
Mills Company in 1926, which is today leading manufacturer of
pancake mixes and syrup.
In 1986, the Quaker oats company acquired the golden grain
company, producers of rice-a-roni.Pepsico merged with the
Quaker oats company in 2001.
MISSION OF PEPSI
26

“Our mission is to be the world’s premier consumer Products
Company focused on convenient foods and beverages. We seek
to produce financial rewards to investors as we provide
opportunities for growth and enrichment to our employees, our
business partners and the communities in which we operate. And
in everything we do, we strive for honesty, fairness and integrity.”
VISION OF PEPSI
“PepsiCo’s responsibility is to continually improve all aspects of
the world in which we operate-environment, social, economic-
creating a better tomorrow than today.”Our vision is put into
action through programs and a focus on environmental
stewardship, activities to benefit society, and a commitment to
build shareholder value by making PepsiCo a truly sustainable
company.
PERFORMANCES WITH PURPOSE
At PepsiCo, we are committed to achieving business and
financial success while leaving a positive imprint on society –
delivering what we call performance with purpose.
Our approach to superior financial performances is
straightforward- drive shareholder value. By addressing the
environmental issues, we also deliver on our purpose agenda,
which consists of human, environmental and talent sustainability.
27

ABOUT SMV DRINKS
M/s SMV drinks (p) limited is a well known manufacturing organization in
the state of Orissa for manufacturing and sales of soft drinks since last 32
years. This unit was incorporated itself as a manufacturing unit in the year
1968 and started its production in1969. Since its inception the unit is
engaged in manufacturing soft drinks of different brands.Intially they grew
by manufacturing “coca” brands of the product. There after they took the
franchise of “Mc Dowell” and since 1991 they have been manufacturing
“Pepsi” brand products.
It is the only bottling unit of “Pepsi” brand of product. In the
state of Orissa Pepsi is brought to you by the renowned smv drinks pvt ltd,
jagatpur (Cuttack) best professionally managed company promoted by the
jaipuria group .the promoters for the last thirty five years in
manufacturing national and world renowned brands such as Pepsi ,7up ,
slice, mirinda, mountain dew ,etc.has helped deliver to the customer
consistent quality comparable to the best of international standards.
Today’s fast paced life style and ever changing Drinks style
demand superior quality, ready to use in convenient packaging. The Pepsi
drinks meet these demands.
PEPSI is the ideal choice for the both classes as well the masses
for the individual consuming low quantities as well as high establishment.
The seemingly vast gap in catering to a vast and varied consumer base has
been bridged by introducing “contain no fruit in a hygienic convenient
bottle packages.”
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LOCATION AND AREA COVRRAGES BY SMV
DRINKS
M/s SMVDrinks pvt ltd is located at jagatpur industrial area, 7 km away
from Cuttack city, the old capital of the state of Orissa and heart of
business activities in the state. The factory is situated on the bank of the
river “Mahanadi”, the largest river in the state and in the side of National
highway -5. The factory is also close to railway station and correctly located
for transport of raw materials and finished products. The factory acquires
7.6 acres of land out of which 2.5 acres are built up for factory s plant and
machinery and administrative offices.
SILENT FEATURE OF THE COMPANY:-
1. Date of incorporation :12.05.1967
2. Commencement of production :16.07.1968
3. Registered office : jagatpur,cuttack-754021
4. Production capacity : 38 lakhs crates per annum
5. Go down stock capacity :1,20,000 crates
6. Total land area : 7.6 acres
7. Built up area : 2.5 acres
8. Market covered : Orissa state
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DEPARTMENT OF SMVDRINKS
The bottling plant jagatpur, Cuttack is a franchisee operated
bottling operation plant and is owned by the jaipuria group.
Previously the goenka owned it .but it was brought over by the
jaipuria and many infrastructures have been added since, not to
mention the state of art plans with major automation.
SMV drinks do the bottling and the marketing division is
Tripty drinks pvt ltd. At the top of the organization hierarchy is
Mr. P.S Kumar (CEO), between known as BUM and business
unit in the state.
The four departments of Tripty Drinks are:-
1. FINANCE
2. TECHNICAL
3. HUMAN RESOURCES
4. MARKETING AND SALES
MR. SANJAY KUMAR GUPTA is the head of the
sales with 15 year experience backing him up. Under him the
other supporting bodies are:
Marketing Development Manager(MDM)
Territory Development Manager(TDM)
Account Development co-ordinates(ADC)
Customer Executives(CE)
34

THE PROCESS OF MANUFACTURING
The process of manufacturing of Aerated water (soft drinks) and fruits
juice under Pepsi brand is divided into mainly five parts such as:
 Water treatment
 Syrup making
 Bottle washing
 Filling
 Crowning and coding
 Testing of the product
MARKETING SYSTEM
Product:
“Pepsi” carbonated water, sugar & added flavor package drinking
water. Introduction of natural color drink is on the cards.
Positioning:
Besides retailing, the company focuses on institutional sales,
special event to make the product available for additional
mileages.
Price:
35

The company maintains a steady price due to tight competition. It
encourages more retail margin as compared to the competitors.
However, company does not believe in compromising the quality
of the product.
Promotion:
Schemes and incentives are also given keeping on eye on the
competitive activity from time to time. Company has also
introduced a consumer’s awareness scheme to create better brand
awareness of the product.
Publicity:
A company as promotional measure for value sale gives publicity.
Adequate point of purchase materials, adequate display materials
and participation of important local festival are also part of the
promotional measure of the company.
Channel of distribution:
Distributors are appointed all over Orissa for marketing the
product. Customer executives appointed by the company support
them.
Marketing strategy:
Besides stamping the urban market, the company focus is on
penetration in the periphery rural area.
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BRAND OF PEPSICO
RGB PET
PRODUCT
200
ml
250
ml
300
ml
500
ml
600
ml
1
lit
1.2
Lit
1.5
lit
2
lit
TETRA MY
CAN
PEPSI y y y y y Y
7UP y y y y y Y
SLICE y y Y y
MIRINDA(O) y y y y y Y
MIRINDA(L) y y
M.DEW y y y y y Y
AQUAFINA y y
EVERNESS y y
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DISTRIBUTION CHANNEL OF PEPSI
A distribution channel is a set of interdependent involved in the
process of making a product or service available for use or
consumption or industrial user.
We know that consumer of any age or sex engaged in any
activity needs a proper distribution to make available everywhere.
If there is a proper feeding of the dealers, the company is
in the better position to supply and satisfy that impulses demand
of the customers. As the number of dealer increases, the dealer
index goes down and the sales increases. Then also product will
be available in more places and more accessible areas, as a result
the consumption of product will increase. Therefore, the per
capita consumption that is the average number of bottles
consumed by a person over a year will increase .this of course
means an increase in total sales.
A distribution system must have adequate number of
vehicles and to supply the product at each and every outlet first. In
Pepsi the coordination between channels is very good.
In Pepsi the company tripty drinks pvt ltd sale its
product directly in cash. There is no credit system .and the
distributor sales the product through personal vehicle to the outlet.
So the main objective of the distribution channel is to cover up
the wise area at proper time and in adequate quantity clearing up
of all transactions having no bad debts and reducing the channel
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conflict by proper task clarity with targeted sales figure, job and
necessary supervision of the work by the executives.
FOCUS ON MARKETING STRATEGIES OF
PEPSI
The marketing strategy used by Pepsi involves the fallowing.
Focus on availability of product in market
Focus on availability of products in outlet.
Pepsi products visible to customers
Regular market vigilance by market developer
Distribution of according to locality
Focus on monopoly outlets.
 Aggressive outlets.
Target core brands.
Satisfy market priorities.
Focus on availability of product in market:
Pepsi works on “DIKHEGA TO BIKEGA” philosophy.
This is the main formula for marketing strategy to each company.
So availability of product in market is clear. For this reason, the
market developer daily comes to the market to check the product
availability.
43

Focus on availability of product in outlet:
There is a difference between availability of product in market
as well as in outlet. So Pepsi wants its product to be available in
each outlet in the market.
Focus on visibility of Pepsi products in outlet:
The aim of Pepsi is that its product should visible to the customers
so it gives VISI-COOLERS &rack to outlets. Availability of visi-
coolers &rack ensure that more &more products are visible to the
customers.
Regular market vigilance by market developer:
To know the position of Pepsi products in the market, Pepsi
appoints some executives those go to the market &check
availability of products, take care of company assets, check visi-
coolers, talk to outlet owners about any problem &take feedback
about the product.
Distribution of product according to locality:
Pepsi distributes its product according to locality. Say for example
it distributes more RGB in an area where there are more bars
&restaurants.
Focus on monopoly counters:
Outlets which sales only Pepsi products are known as
MONOPOLY outlets. These monopoly outlets give more sales to
44

the company .so company gives extra schemes, discounts gifts to
those outlets.
SCHEME IN PEPSI SOFT DRINKS
REFILLING SCHEME: for the retailer purchase of 1 case of
RGB (Returnable Glass Bottle) two or three bottle free.
SCRATCH CARD: For the retailer winning prize by scratching
lucky coupon.
UTC: (under the crown) for both the retailer as well the customer
will get the amount coded under the crown.
QPS: (quantity per sale) this scheme is only for the retailer to
motivate for high selling volume. In this scheme the will get free
bottles according to the cases of PET, RGB CAN and AQUAFINA.
KEY ACCOUNT: In this scheme the company ties up with mall,
restaurant, big retail shop and hotel on the basis of annual sales
volume. The company may tie up to Rs.10 or Rs.25 per case selling.
CARD ACCOUNT: Under the scheme the company ties up with betel
shop, small shopkeeper, retail outlet at Rs.3 or Rs. 4 or Rs.5 per case of
selling.
DISPLAY SCHEME: Under this scheme company give gift to the
retailer who displays the Pepsi products in the visi very well.
45

SWOT ANALYSIS
SWOT analysis is a simple framework for generating strategic
alternatives from a situation analysis. It is applicable to either the
corporate level or the business unit level &frequently appears in
marketing plans.swot stands for strength, weakness, opportunities
and threat.
STRENGTH:
• Brand image of the company
• Market share of the company
• The staff of the companies are very corporative
• Operational capacity of the company
• Variety of scheme for retailers throughout the
year
WEAKNESS:
• Taste of Pepsi is not so good in compare to
Thumps-up.
• High demand low supply
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• Low market share in peak season
• Poor feedback from the retailer
OPPORTUNITY:
• Giving more offer to the retailer
• Retailer will get the maximum profit
• Profit margin will be good by adopting update
&aggressive marketing strategy
THREATES:
• Competitor may come with new strategy
• External problem may affect company image
• Breaking of Pepsi monopoly outlets
• Market demand very seasonal
LIVE PROJECT IN CUTTACK MARKET
During my project period, I worked in the Cuttack market with
the fallowing team:
1) Mr. Sanjay Kumar Gupta(head of sales)
2) Mr. Ashwini Dash (Territory development manager)
3) Mr. P. Swain (Account Development Co-ordinate)
47

4) Mr. Ashish Rath(Customer Executive)
5) Lullu Behera(Sales Person)
6) Muna Moharana (Sales Person)
7) Chotu (Sales person)
PROCESS IN WHICH I WORKED:
 First, I travelled with the Ashish sir (customer
executive) to know the area covered by the
distributer for two days.
 After knowing the area properly, I tried to touch
each and every PEPSI outlet everyday so that Pepsi
monopoly counters get adequate stock every day.
 During the period, I made sure that schemes are
given properly to the retailers which included
educating retailers to the benefits of the scheme &in
the process increase the sales.
 I did plannogram for visi-coolers and ensured that
at least 5 plannograms are done per day.
48

 Then I worked on to make Pepsi product available
in and every outlet of my area .it was during this
period when I cracked coke outlets.
 I also visited coke counter to bring order by using
the scheme offered that time.
 I also developed new counters for Pepsi during my
period of work.
 During this period, I also maintained DSR &EDSR
REPORT.
 During the period, I motivated some of the coke
counter to keep Pepsi products& finally they agreed
to keep it.
 I really thankful to Ashish sir for giving his support
to me throughout project period in respect of both
on the job &off the job case.
CUTTACK DISTRIBUTORS PROFILE
There are 12 distributors operating in Cuttack.The details about
the distributor under which I worked.
Name: Sree Ram Associates.
Address: Badhei Sahi, Buxi Bazaar, Cuttack.
Staff employed: 7
Manager: 1, Sales Person: 2, Drivers: 2, Officials: 1, Labors: 1
49

Vehicles: 2(1 Ace &1 Mahindra auto)
AREA COVERED
Mangalabag ,Rani Hat, Medical Road, Ring Road, Kathagola
Sahi, Friends Colony, Nuapatana, Nayak Sahi, Bania Sahi etc.
SCHEMES GIVEN DURING THE PERIOD
PERIOD SCHEMES GIVEN
13/08/2012 1BTL 600ML FREE ON 3CS 2BTL
200ML free on 1PET others.
20/08/2012 1BTL 600ML FREE ON 3CS
2BTL 200ML free on 1PET others.
50

27/08/2012 1BTL 600ML FREE ON 3CS
03/09/2012 1BTL 600ML FREE ON 3CS
DATA ANALYSIS
In order to know the market share of the Pepsi, survey work was
conducted in the month of AUGUST, 2012. The functioning of
320 outlets in Cuttack city was examined and the result after
interception is revealed later in the study. I have personally visited
to the 168 outlets in Cuttack city and collected the data through
questionnaire and direct interviewing with the retailers. My data
was regarding the selling of the two main brand in Orissa that is
Pepsi-cola limited and Coca-cola limited.
51

After assimilating, recording, classifying, analyzing,
interpreting and finding, final conclusion has been drawn. It is
concluded that.
 The demand of Pepsi is less than compared to the
thumps-up.
 The demand of slice is more than mazza.
 But in case of sprite, it is more demanded than 7up.
So in order to increase the growth of market share and sales, taste
and preferences of the consumers are to be highlighted and to be
taken in to prior concentration. Hence in order to know the most
preferred flavor according the stake a survey is organized.
For a successful survey work certain points are to be taken
into consideration. It is of immense of importance that nobody
spares valuable time for the survey purpose. For, this time factor is
to be kept in mind and accordingly the questionnaire prepared.
Since the research was conducted in Cuttack city being the busiest
city, I had to plan the survey in such a way so that less time was
required by a respondent to complete or fill up the questionnaire.
The analysis divided into to two subparts:
o Analysis of data collected through
questionnaire.
o Analysis based on different shop in different
areas.
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A total of 179 outlets were surveyed with the
fallowing questionnaire:
o Status of outlet
o Type of outlet
o Annual volume of the outlet
o Visi availability of outlet
o Total filled RGB in the outlet
o Total pet available at the outlet
o Total water cases available at the outlet
o Best distributor services provided
o Best scheme given
o Best company people visit
o Availability of GLOW signboard
o Promotional scheme that is appreciated by retailer
o Remarks
o Service frequency
Number of cases available in the Cuttack market
53

Cuttack market
Coca-Cola PepsiCo
Product Total % Product Total %
Coke 180 4.73 Pepsi-Cola 530 14.48
Thums Up 750 27.59 7Up 1250 34.15
Fanta 420 11.03 Mirinda 525 14.34
Sprite 1355 43.49 Slice 970 26.50
Limca 140 3.67 M.Dew 385 10.51
Mazza 360 9.46
Total 3205 Total 3660
Coca-Cola & PepsiCo products availability in the market
180
750
420
1355
140 360
0
200
400
600
800
1000
1200
1400
1600
Coke
Coke 530
1250
525
970
385
0
200
400
600
800
1000
1200
1400
PepsiCo
PepsiCo
Position of both PepsiCo & Coca-Cola products in the
Cuttack market
54

Market Position Products
1 Sprite
2 7up
3 Thums up
4 Slice
5 Pepsi-Cola
6 Mirinda
7 Fanta
8 Mountain Dew
9 Maaza
10 Coke
11 Limca
Market Share of Pepsi Vs Coca-Cola available in Cuttack
Brand Total Bottle found %
PepsiCo 3660 57.00
Coke 3205 43.00
6865 100
57%
43%
Market Share
PepsiCo Coke
55

FINDINGS:
 Getting customer is not a difficult task but to retain these
customers is a difficult task.
 The behavior of sales people highly matter for increase the
sales
 The sales person were cheated the retailers as they were not
given the offers in a proper manner to the retailers.
 Most of the outlets have been demanding the visi of Pepsi
but they have not got it yet.
 Most of retailers complained that the products were not
provided adequately during the peak or season period.
 Short term sales increases required to reduce inventory
promotion that give large immediately benefits such as
money off or bonus pack.
 Sales promotion offers like price –off or free gift induce
customers to buy more and more products.
 Most of the retailers were unhappy with the service frequency
of Pepsi.
 Sales promotion can be measured objectively to judge their
success.
 The survey revealed that about 90% of the total outlets are
non –seasonal outlets, which means they sales the products
56

throughout the year. On the other side about 10% of total out
lets are sales our product on the season only.
 This survey also revealed that most number of exclusive
counter of Pepsi than that of coca –cola exclusive counter.
 The out lets are mostly focusing on glass bottle (i.e.RGB)
after that they focus on plastic bottle (i.e.PET, CAN, mineral
water soda etc).
 The retailer appreciates mostly two type of promotional
scheme (i.e.UTC or refilling) because these two schemes,
outlets owner gets on the spot of purchase from the sales
person.
 Some of the coke counters are interested to keep the product
of Pepsi. But there is no effort made by the Pepsi Company.
 The study also suggested that most of the outlet owner
demanded for large visi –cooler of Pepsi to keep huge
amount of product.
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SUGGESTION
 Proper knowledge should be given to the salesman about the
promotional scheme so that they can better understand the
importance of promotional activities.
 There should be proper regulation on time management for
the distributors, so that distributor will open the agency on
time.
 The distribution should be a within proper interval, so that
there is no shortage of products in the market.
 There should be a regular meeting between distributor &
company about the implementation of sales promotion.
 The company should give priority the demand of the
retailers.
 The company should provide the necessity of visi -cooler to
the aspired outlet owners.
 Company should make an open interaction for the
distribution so that they feel that they are the part of the
58

organization &they will never hesitate to give scheme to the
outlets.
 There should be proper assessment classes for the distributor
so that proper work should be maintained & up to dated.
 There should be proper dress codes for the salesman and the
driver/.
 There should be time schedule for the meeting between top
level management &C.E.
 Fast repairing of visi cooler will gain the faith &goodwill of
the retailer.
 Company should provide racks to keep pet bottles for
display.
 Company should give the facility to provide visi cooler
outside the store so that the display will easily do &it is
helpful for those stores where the space is a constraint.
 Retailer’s feedback should be taken about the customer
behavior about various brands.
 Efforts should be made to bring more and more monopoly
Pepsi counter.
 The company should have to take a sincere effort for the
supply of products in peak or season period.
59

CONCLUSION
The aim of my project to learn about sales and distribution
strategy of Pepsi Company. Because I have a deep interest to
know the various sales and distribution of FMCG sector. My
observation was the demand of Pepsi was slightly less than that of
thumps-up. It also revealed that the shares of sprite have an
60

advantage over maaza but slice is very low in the peak season that
should be taken into consideration.
It was found that the have better scheme in Cuttack
city as well as all over the world.pepsi has a wide variety of
product line in comparison to coca cola ltd.M.S Dhoni the
ambassador of PepsiCo has targeted the young generation.
The survey revealed the some of the points:
 It was found that 40% outlets are coke exclusive, 20% outlets
are Pepsi exclusive and the rest 40% are mix counters.
 It was found that 49% of the outlets were having visi of coke,
30% of the outlets were having pepsin visi and the rest 21%
were having own visicoolers.
 The mineral water availability of both Pepsi and coke stand at
10%, 12% respectively.
 It was found that most of the outlets were keeping RGB of
Pepsi as well as RGB of coke.
 The availability of Pepsi pets were more than that of coke
pets during the survey period.
 In respect of scheme, the Pepsi has an edge over coke.
61

BIBILOGRAPHY
 PHILIPS KOTLER Principle of marketing
 GARY ARMSTRONG principle of marketing
 VSP RAO strategic management
63

 V HARI KRISHNA strategic management
 V S RAMASWAMY marketing management
 S. NAMAKUMARI planning &implementation
 S DAM RAJENDER The real pepsi,the real
Story (journals and magazines)
 C.R KOTHARI Research methodology
WEBSITE ADDRESS:
www.pepsiworld.com
www .pepsico.com
www.pepsiindia.com
www.pepsifoods.com s
www.pepsilogo.com
www.google.com
QUESTIONNAIRE
64

OBJECTIVE: To find out the market share of Pepsi.
(Please attempt the entire question by marking circle)
1. Name of the outlet:……………………………………………………………..
2. Address :……………………… ……………………………………..
………………………………………………………………………………………….
3. Name of the retailer:…………………………………………………………….
4. Contact number :………………………………………………………………
5. Which company product you are selling more?
(a) Pepsi (b)coke
6. How much filled RGB stock of Pepsi you have? (Specify)
……………………………………………………………………………………………
7. How much filled RGB stock of coke you have?(specify)
…………………………………………………………………………………………….
8. How much filled pet stock of Pepsi you have?(specify)
…………………………………………………………………………………………….
9. How much filled pet stock of coke you have?(specify)
…………………………………………………………………………………………….
10. Which company rack you have?
(a) Pepsi (b) coke
65

11. Which company giving you better service?
(a) Pepsi (b) coke
12. Which company giving you better scheme?
(a) Pepsi (b) coke
13. Which brand of water do you sale more?
(a) Pepsi (b) coke
14. What is your annual sale volume of Pepsi?(specify)
……………………………………………………………………………………….
15. What is your annual sale volume of coke?(specify)
………………………………………………………………………………………..
------------------------------------
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