CocaCola

Master of Business Administration (MBA)

MANAGEMENT IN PRACTICE (MIP)

"Analysis of retailer and consumer behavior towards Minute Maid Nimbu Fresh

A new product launched by Coca Cola”

Submitted By

MRIGAM TALUKDAR

Fourth trimester (MBA)

Academic Advisor

Mr. Chandan Dutta

Asst. Prof. DBIM

DON BOSCO INSTITUTE OF MANAGEMENTGuwahati

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DECLARATION

I, Mr. Mrigam Talukdar hereby declare that the Project entitled as "Analysis of retailer and consumer behavior towards Minute Maid Nimbu Fresh - A new product launched by Coca Cola” - prepared and submitted by me is an original work to the best of my knowledge, and has not been borrowed and copied from any existing source. Moreover, this report has never been

submitted or used for any academic purposes earlier.

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ACKNOWLEDGEMENT

No project can be completed through an individual effort. It always takes the contribution of a lot of people. I express my gratitude towards all those people who helped me directly or indirectly in the collection, compilation, analysis of the data and finally writing of the report.

First and foremost I would like to express my sincere appreciation and gratitude to Mr.Anil Kumar Jha- Sales Team Leader HCCBPL, Guwahati, for providing me valuable information and support in spite of his busy schedule.

I would also like to give special thanks to Mr.Hemanta Bhagawati- Market Developer and Mr.Madhurjya Goswami- Market Developer, HCCBPL, Guwahati, for supporting me from the very beginning of my project. Without their help and suggestion this project would have been very difficult for me to complete.

Finally, I acknowledge my indebtness to my institutional guide Mr. Chandan Dutta, Asst. Professor, DBIM, Guwahati who in the role of a project guide offered me his valuable guidance and suggestions in carrying out the project work.

Date: Thanking You,

Mrigam Talukdar

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EXECUTIVE SUMMARY

Title of the Project: "Analysis of retailer and consumer behavior towards Minute Maid Nimbu Fresh - A new product launched by Coca Cola”

Name of the organization: Hindustan Coca-Cola Beverages Pvt.Ltd

Name of the institute: Don Bosco Institute of Management

Institutional Guide: Mr. Chandan Dutta

Objective:

1. To study about the effectiveness of the promotion of the new product launched by HCCBPL- Minute Maid Nimbu Fresh, in three localities of Guwahati city segmented on the basis of Consumer Income Level.

2. To study the consumer satisfaction level towards the new product launched by Coca-Cola- Minute Maid Nimbu Fresh.

Methodology: The study was essentially of qualitative nature on the opinion survey.

Data Approach: Primary and Secondary

Research Approach: Questionnaire and Personal Interview.

Sampling Plan: The sampling technique used is stratified sampling, in which the population is subdivided into strata or subpopulations. This was done because the study was done on three areas segmented by consumer income level. The sample size was for this survey was 150- 75 retailers and 75 customers.

Findings: Findings are presented in the later part of this report on the basis of both retailer’s and consumer’s responses.

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CONTENTS

CHAPTER 1 : Organizational Profile…………….Page | 1

CHAPTER 2 : Mission and Vision…………….Page | 2

CHAPTER 3 : Business Model of Coca Cola Company…………….Page | 4

CHAPTER 4 : HCCBPL – Operations and Distribution…………….Page | 5-6

CHAPTER 5 : Outlet Segmentation Structure of Coca Cola in India……..Page | 7-8

CHAPTER 6 : Competitors to HCCBPL……..Page | 9

CHAPTER 7 : HCCBPL in North East……..Page | 10-11

CHAPTER 8 : Organization Structure of Coca Cola in Guwahati……..Page | 12-13

CHAPTER 9 : List of Different Products available in Guwahati……..Page | 14

CHAPTER 10 : Table of Price and Profit involved in the products……..Page | 15

CHAPTER 11 : About the Product – Minute Maid Nimbu Fresh……..Page | 16

CHAPTER 12 : Promotional Strategies of Minute Maid Nimbu Fresh in Guwahati ……..Page | 17

CHAPTER 13 : Objectives of the study……..Page | 18

CHAPTER 14 : Problem Statement……..Page | 19

CHAPTER 15 : Research Methodology……..Page | 20-21

CHAPTER 16 : Analysis and Interpretation – Retailer’s responses and Consumer’s responses……..Page | 22-33

CHAPTER 17 : Findings – On the basis of: Retailer’s responses and Customer’s responses……..Page | 34-35

CHAPTER 18 : Learning……..Page | 36

CHAPTER 19 : Annexure – Questionnaire for retailers and Questionnaire for consumers……..Page | 37-39

CHAPTER 20 : Books and References……..Page | 40

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CHAPTER 1: ORGANISATIONAL PROFILE

THE COCA-COLA COMPANY:

The Coca- Cola Company, the largest soft drink company in the world, was founded in 1892 and is today engaged primarily in the manufacturing and sale of syrup and concentrate for Coca-Cola. Coca-Cola, the product, was born in Atlanta, Georgia, on May 8, 1886 when John S Pemberton, a local pharmacist concocted the caramel-colored syrup in a three-legged brass kettle in his backyard. Pemberton’s bookkeeper, Frank Robinson, chose the name for the drink and penned it in the flowing script that became the Coca- Cola trademark. Mr. Robinson suggested the name Coca-Cola because both the name Coca and Cola named of the ingredient.

The company is the world’s leading manufacturer, marketer and distributor of non-alcoholic beverage concentrates and syrups and produces nearly 400 beverage brands. It sells beverage concentrates and syrups to bottling and canning operators, distributors, fountain retailers and fountain wholesalers. The Company’s beverage products comprises of bottled and canned soft drinks as well as concentrates, syrups and not-ready-to-drink powder products. In addition to this, it also produces and markets sports drinks, tea and coffee. The Coca-Cola Company began building its global network in the 1920s and now operates in more than 200 countries. The Coca-Cola Company and its network of bottlers comprise the most sophisticated and pervasive production and distribution system in the world. More than anything, that system is dedicated to people working long and hard to sell the products manufactured by the Company. This unique worldwide system has made The Coca-Cola Company the world’s premier soft-drink enterprise.i

Some of its major International Brands are: Coca-Cola Sprite Diet Coke Minute Maid Kinley Powerade Schweppes

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CHAPTER 2:

BOARD OF DIRECTORS:

Muhter Kent. (CEO & President) Herbert A. Allen Ronald W. Allen Charlie E. Dean Cathleen Black Barry Diller Donald Keogh Donald McHenry Sam Nunn James Robinson Peter Ueberroth James B. Williams

MISSION: To Refresh the World... In body, mind, and spirit.

To Inspire Moments of Optimism... Through our brands and our actions.

To Create Value and Make a Difference... Everywhere we engage.

VISION:

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 shareowners while being mindful of our overall

responsibilities. Productivity: Be a highly effective, lean and fast-moving organization.ii

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VISION FOR SUSTAINABLE GROWTH

People

Portfolio

Partners

Planet

Profit

Productivity

Sustainable Growth

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CHAPTER 3: BUSINESS MODEL OF COCA COLA COMPANY:

Manufactures concentrate

Beverages Base & syrup

Manufactures finished Bottle/ Can

Fountain Syrup

Sales & Distribution

Sub-dealers

The Coca Cola

Retailers

Distributor

Bottlers

Consumers

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CHAPTER 4: HINDUSTAN COCA-COLA BEVERAGES PRIVATE LIMITED (HCCBPL):

Coca-Cola was the leading soft drink brand in India until 1977, when it left rather than revealing its formula to the Government and reduced its equity stake as required under the Foreign Regulation Act (FERA) which governed the operations of foreign companies in India. Coca-Cola re-entered the Indian market on 26th October 1993 after a gap of 16 years, with its launch in Agra. In the new liberalized and deregulated environment in 1993, the Government of India granted approval to Coca Cola South Asia Holding Inc. USA (CCSAH) to set up two wholly owned subsidiaries named Hindustan Coca Cola Holding Private Ltd and Bharat Coca Cola Holding Pvt. Ltd. Hindustan Coca Cola Holding Pvt. Ltd set up two downstream subsidiaries for bottling operations named Hindustan Coca Cola Bottling North West Pvt. Ltd. (with investment of 435 crores) and Hindustan Coca Cola Bottling South West Pvt. Ltd (with an investment of 250 crores). Bharat Coca Cola Holding Pvt. Ltd set up Bharat Coca Cola Bottling North west with an investment of Rs 250 crores and Bharat Coca cola Bottling South East Pvt. Ltd with an investment of Rs 345 crores. This four subsidiaries merged into a single company called Hindustan Coca Cola Beverages Pvt. Ltd. (HCCBPL).

An agreement with the Parle Group gave the Company instant ownership of the top soft drink brands of the nation. With access to 53 of Parle’s plants and a well set bottling network, an excellent base for rapid introduction of the Company’s International brands was formed. The Coca-Cola Company acquired soft drink brands like Thumps Up, Goldspot, Limca, Maaza, which were floated by Parle, as these products had achieved a strong consumer base and formed a strong brand image in Indian market during the re-entry of Coca-Cola in 1993.Thus these products became a part of range of products of the Coca-Cola Company.

OPERATIONS:

At present Coca-Cola is one of the top investors in India. During this last decade company has invested more than US $1 billion in India. Recently it has invested US $100 million in its operations .The Company has 27 company owned bottling plants (COBO- Company Owned Bottling Operations) and all the plants have earned ISO14001 Environment Management System Certificate. It also appoints franchisees for bottling operations (FOBO- Franchisee Owned Bottling Operations). Apart from this the company has a network of 29 Contract Packers that facilitate the manufacture process of a number of products for the company.

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DISTRIBUTION:

HCCBPL has a supporting distribution network consisting of more than 700,000 retail outlets and 8000 distributors. Almost all goods and services required to cater to the Indian market are made locally, with help of technology and skills within the Company. The complexity of the Indian market is reflected in the distribution fleet which includes different modes of distribution, from 10-tonne trucks to open-bay three wheelers that can navigate through narrow alleyways of Indian cities and trademarked tricycles and pushcarts.

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CHAPTER 5: OUTLET SEGMENTATION STRUCTURE OF COCA-COLA IN INDIA:The outlets can be classified as per three criteria:

Channel Volume Per Outlet(VPO) Consumer Income Level

BASED ON CHANNEL:

A) E & D(Eating and Drinking)B) ConvenienceC) Grocery

A) E&D : Those outlets where people visit to eat or drink are known and eating and drinking outlets viz. restaurants and hotels, dhabas. E&D outlets are further classified as E&D Type 1 and E&D Type 2 outlets that are those having a sitting capacity of less than 20 or more than 20 respectively.

B) CONVENIENCE : Convenience outlets are those outlets where people visit regularly for various purposes like stationary shop, S.T.D – Booth, Betel Shop and General Store.

C) GROCERY : A grocery is a shop from where we buy items like rice, atta, dal etc.

BASED ON VOLUME PER OUTLET:

According to the volume of sale in the outlets the company has adopted a unique policy of categorizing the outlets in four different segments such as:

DIAMOND GOLD SILVER BRONZE

1. DIAMOND: Those outlets which have an annual sale of more than 800 crates of Coca-Cola

products.

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2. GOLD: Those outlets which have an annual sale between 500 to 799 crates of Coca-Cola

products.3. SILVER: Those outlets which have an annual sale between 200 to 499 crates of Coca-Cola

products.4. BRONZE: Those outlets which have an annual sale of less than 200 crates of Coca-Cola products.

BASED ON CONSUMER INCOME LEVEL:

1. High Income Locality.2. Medium Income Locality.3. Low Income Locality.

SEGMENTATION MODEL

CHAPTER 6: COMPETITORS TO HCCBPL

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The competitors to the products of the company mainly lie in the non-alcoholic beverage industry consisting of juices and soft drinks. The key competitors in the industry are as follows:

PepsiCo: The PepsiCo’s challenge to keep up with its archrival, the Coca-Cola Company, never ends for the World's # 2 carbonated soft-drink maker. The company's soft drinks include Pepsi, Mountain Dew, and Slice. Cola is not the company's only beverage; PepsiCo sells Tropicana orange juice brands, Gatorade sports drink, and Aquafina water. PepsiCo also sells Dole juices and Lipton ready-to-drink tea. PepsiCo and Coca-Cola hold together, a market share of 95% out of which 60.8% is held by Coca-Cola and the rest belongs to Pepsi. Nestlé: Nestle does not give that tough a competition to Coca-Cola as it mainly deals with milk products, Baby foods and Chocolates. But the iced tea that is Nestea which has been introduced into the market by Nestle provides a considerable amount of competition to the products of the Company. Iced tea is one of the closest substitutes to the Colas as it is a thirst quencher and it is healthier when compared to fizz drinks. The flavored milk products also have become substitutes to the products of the company due to growing health awareness among people.

Dabur: Dabur in India, is one of the most trusted brands as it has been operating ever since times and people have laid all their trust in the Company and the products of the Company. Apart from food products, Dabur has introduced into the market Real Juice which is packaged fresh fruit juice. These products give a strong competition to Maaza and the latest products Minute Maid Pulpy Orange and Minute Maid Nimbu Fresh.

CHAPTER 7: HINDUSTAN COCA COLA BEVERAGES PRIVATE LIMITED (HCCBPL) IN NORTH EAST INDIA AND GUWAHATI

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HCCBPL operates in the North East Division with a single city sales office in Guwahati at the following address:

Hindustan Coca Cola Beverages Pvt. Ltd3- Dihang Arcade,G.S. Road, near Rajiv Bhawan,Guwahati, Assam

There are two manufacturing plants (COBOs) in the North East Division. They are-1. Bornihat- manufactures 600 ml and 1.5 ml pet 2. Jorhat- manufactures 300 ml returnable glass bottle (RGB) The manufacturing plants transport the bottles to the various distributors and the depot in Beltola. There are 106 distributors across North East. Guwahati has 5 distributors namely; Swastik, Ramdeo Enterprise, Darshana, Maa Kamakhya and Purnima. Swastik was the leading distributor among all the distributors with a yearly turnover of 8 crores in 2008.

Coca Cola is the leading soft drink brand in North East and Guwahati with a market share of 75%. The company has a capital turnover of 100-150 crores/year with a sales turnover of 22 lakh cases/year in North East including Guwahati.

North east provides a diverse market which is widely spread starting from Guwahati in the plains to the hills of Arunachal Pradesh. The company faces a lot of problems in transporting the products to the different regions owing to the difficult terrain and extreme weather conditions at times such as floods, landslides, insurgent areas etc.

The names of the distributors in Guwahati city with their area of distribution are mentioned as follows:

1) Swastik:

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Area covered: Barnihat, Jorabat, Nelly, Jagiroad, Sonapur, Khanapara, Beltola, Ganeshguri, Punjabari, Satgaon, Narangi, Noonmati,Chandmari, Guwahati Club, Silpukhuri, Zoo Road, Commerce College, Bhangagarh, Uzan Bazar.

2) Ramdeo Associates:

Area covered: Paltan Bazar, B.Baruah Road, Ulubari, Manipuri Basti, G.S. Road, G.M.C. Road, South Sarania, Chatribari, Sarab-Bhati, Rehabari, Athgaon, Cycle Factory, Bishnupur, Kalapahar, Udalbakra, Kotabari, Lokhra, Adagodown, Fatashil Ambari, Dhirenpara, Rajgarh and Birubari.

3) Purnima Enterprise:

Area covered: Fancy Bazar, A T Road, Bharalumukh, Santipur.

4) Maa Kamakhya:

Area covered: Maligaon, North Guwahati, G U market, NH 37, Amingaon, Kamakhya Mandir,Gosala,Pandu ,Adabari Kamakhya Gate.

5) Darshana Enterprise:

Area covered: Panbazar, Latasil, Lakhtokia.

CHAPTER 8: ORGANISATION STRUCTURE OF COCA- COLA IN GUWAHATI:

GM

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GSM HRM FM SGA

AHRM

ACM RTMM ASM AFM AFM SGAE

(Fixed Capital) (Working Capital)

HRE

CE RTME STL Mechanic

MD FE

Abbreviations

GM – General Manager.

GSM- General Sales Manager.

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HRM – Human Resource Manager

FM – Finance Manager.

SGA – Sale Generating Assets.

SGAE – Sale Generating Assets Executive.

MM – Marketing Manager.

RTMM – Road To Market Manager.

ASM – Area Sales Manager.

AHRM – Assistant Human Resource Manager.

HRE – Human Resource Executive.

AFM – Assistant Finance Manager.

FE – Finance Executive.

ME – Marketing Executive.

RTME- Road to Market Executive.

STL – Sales Team Leader.

MD – Market Developer.

CHAPTER 9: LIST OF DIFFERENT PRODUCTS AVAILABLE IN GUWAHATI

Brand Name Represented as Available in

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Coca-Cola KO RGB (300ml), 500 ml, 1.5 Lt, Can

Thums Up Tu RGB (300ml), 500 ml, 1.5 Lt, Can

Sprite SP RGB (300ml), 500 ml, 1.5 Lt, Can

Limca LM RGB (300ml), 500 ml

Fanta FX RGB (300ml), 500 ml, 1.5 Lt, Can

Maaza Maaza TP (200 ml), 600 ml, 1.2 Lt

Kinley Soda Kn RGB (300ml), 500 mlMinute Maid PULPY ORANGE

MMPO 400 ml

Minute Maid NIMBU FRESH

MMNF 400 ml, 1 Lt

CHAPTER 10: TABLE OF PRICE AND PROFIT

Product Distributor Price Retailer Price Distributor Margin

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(in Rs) (in Rs) (in Rs)

300 ml RGB 224/- 238/- 14/-

Coca-Cola 600ml 496/- 510/- 14/-

1.5 Ltr(Cola) 544/- 558/- 14/-

Maaza 200 ml 303/- 315/- 12/-

Maaza 1.2 Ltr 528/- 540/- 12/-

Nimbu Fresh 316/- 330/- 14/-

Pulpy Orange 412/- 432/- 20/-

Can 330 ml 418/- 432/- 14/-

Diet Coke Can 538/- 552/- 14/-

Kinley Water 136/- 148/- 12/-

Kinley soda 276/- 288/- 12/-

CHAPTER 11: ABOUT THE PRODUCT

MINUTE MAID NIMBU FRESH

The MINUTE MAID Brand:

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Minute Maid is a 62-year-old brand and entered the Coca-Cola fold in 1960.The history of the ‘Minute Maid’ brand goes as far back as 1945 when the Florida Foods Corporation developed an orange juice powder. The company developed a process that eliminated 80% of the water content in orange juice to form a frozen concentrates which, when reconstituted created orange juice. The product was thereby branded ‘Minute Maid’, a name signifying the convenience and the ease of preparation i.e. the drink could be prepared in just about a minute. Minute Maid thus moved from a powdered concentrate to the first ever orange juice from concentrate. Over the years, through innovation and unmatched consumer experience provided in over 60 countries, Minute Maid brand has clearly become one of the world's largest juice and juice drink brands. There are over a 100 products in the Minute Maid banner that include fruit drinks in various flavors. The first product under the Minute Maid Brand to be launched in India was Minute Maid Pulpy Orange in 2007.iii

MINUTE MAID NIMBU FRESH:

Minute Maid Nimbu Fresh, a lemon juice based drink, is the latest addition to the Coca-Cola’s stable. It has been especially developed for the Indian consumers without any added color or preservatives. ‘Minute Maid Nimbu Fresh' is made from great quality fresh lemon juice concentrate, providing consumers with a great refreshing experience - just like natural, home-made ‘nimbu pani'. Innovative consumer proposition of Minute Maid Nimbu Fresh is best explained by the brand's tagline – ‘Bilkul Ghar Jaisa' (just like home)

It is made available in two pack sizes- 400 ml PET and 1 liter PET all affordably priced at Rs 15 and Rs 40 respectively.

CHAPTER 12: Promotional Strategies of Minute Maid Nimbu Fresh in Guwahati

1. Distribution of free samples to retailers and customers.

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2. Television advertisement.3. Trade letters for the retailers.4. Hoardings in the main market areas.

Along with these the following items were distributed in the outlets for displaying of the product:

a. Base Lemon Unit (BLU)b. Foam Bunting.c. Thermo Foam posters.d. Shell shaped display unit.e. Backing Sheaths.f. Hanging rack.g. Cooler door stickers.h. Posters.

CHAPTER 13: OBJECTIVES OF THE STUDY

PRINCIPAL OBJECTIVES:

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3. To study about the effectiveness of the promotion of the new product launched by HCCBPL- Minute Maid Nimbu Fresh, in three localities of Guwahati city segmented on the basis of Consumer Income Level.

4. To study the consumer satisfaction level towards the new product launched by Coca-Cola- Minute Maid Nimbu Fresh.

SUB OBJECTIVES:

1. To find out whether the product is adequately available in the market.2. To find out what is the demand of the product in the market.3. To determine what is the response of the product vis-à-vis its competitor.4. To ascertain response towards the pricing of the product.5. To determine the perception of the consumers about quality and taste of the product.

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CHAPTER 14: PROBLEM STATEMENT

Minute Maid Nimbu Fresh is the latest addition in HCCBPL’s impressive product line. Although the product was launched in India, in the state of Tamil Nadu, in January this year it was launched in Assam on 22nd April 2010. As such the company has adopted many strategies for the promotion of the product in the city. The effectiveness of these promotional activities and also the satisfaction level of the consumers towards the product among the various consumer classes in very crucial. Also whether the product has received the same kind of response among the different classes of consumers is a very important issue. So this study was undertaken in the three areas, segmented according to consumer income level, to find out about effectiveness of the promotional strategies and level of consumer satisfaction

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CHAPTER 15: RESEARCH METHODOLOGY

Research Design:

A research design calls for developing the most efficient plan of gathering the needed information. A research design is the specification of methods and procedures for acquiring the information needed. It is overall operational pattern or framework of the project that stipulates what information is to be collected from which source and by what procedure. For the present research – it is a descriptive one as it describes certain market characteristics or functions.

Sampling Design:

The sampling technique used is stratified sampling, in which the population is subdivided into strata or subpopulations. This was done because the study was done on three areas segmented by consumer income level. The sample size was for this survey was 150- 75 retailers and 75 customers. This was done in the following manner:

Consumer Income Class

Surveyed Localities Respondents

Retailers Customers

High Paltan Bazar, Nepali Mandir, B.Barooah Road.

25 25

Medium G.S Road, Bhangagarh, Rajgarh.

25 25

Low Fatashil Ambari, Kalapahar, Sarabhati.

25 25

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Methods of data collection:

The present study is based on both primary and secondary data.

(i) Primary Data:

Primary data has been collected by conducting a survey among the customers i.e. the retailers and consumers in the three income group areas under the distributor Ramdeo Enterprise, in Guwahati city through using a questionnaire.

(ii) Secondary Data:

Secondary data have been collected from journals, leaflets, booklets and unpublished records of the organization.

Tools of Data Analysis:

The data has been analyzed by using appropriate statistical techniques such as percentage, bar charts and column charts.

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CHAPTER 16: ANALYSIS & INTERPRETATION-

RETAILERS’ RESPONSES

1. AVAILABILITY OF MINUTE MAID NIMBU FRESH:

INCOME HIGH INCOME MEDIUM INCOME LOW

POOR 0.0400000000000001 0.24 0

FAIR 0.36 0.2 0.16

GOOD 0.52 0.48 0.760000000000005

VERY GOOD 0.0800000000000002 0.0800000000000002 0.0800000000000002

5%

15%

25%

35%

45%

55%

65%

75%

AVAILABILITY OF MMNF

Ava

ilabi

lity

Explanation: In the High income locality 52% of the outlets rated availability as Good and 36% as Fair while these ratings were 48% and 20% in case of Medium income locality and 76% and 16 % in case of Low income locality. The Poor rating is the highest in the Medium income level at 24%, while the Very good rating is consistent at 8% in all the three cases.

Inference: Availability is best in the Low income locality followed by High income locality. In the Medium income locality it is the lowest.

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2. DEMAND OF MINUTE MAID NIMBU FRESH:


HIGH 0.16 0.24 0.12

MEDIUM 0.44 0.4 0.36

LOW 0.4 0.36 0.52

5%

15%

25%

35%

45%

55%

Dem

and

Explanation: In the High income locality 16% of the outlets rated the demand of MMNF as High and 44% as Medium. In case of Medium income locality these percentages were 24% and 40% respectively and 12% and 36% respectively in case of Low income locality. The Low demand rating was most in the Low income locality at 52% while in High income and Medium income localities it was 40% and 36% respectively.

Inference: Demand is highest in the Medium income locality followed by High income locality. It is lowest in the Low income locality.

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3. RESPONSE OF MINUTE MAID NIMBU FRESH VIS-À-VIS ITS COMPETITOR LMN:


SATISFAC-TORY

0.12 0.36 0.2

NOT SATIS-FACTORY

0.28 0.28 0.4

CANNOT SAY

0.600000000000001

0.36 0.4

5%

15%

25%

35%

45%

55%Re

spon

se

Explanation: In the High income locality 12% respondents rated the response to MMNF as Satisfactory, 28% as Not satisfactory and 60% were neutral. In the Medium income locality 36% rated MMNF as having a better response than LMN and 28% rated the response to LMN as better, the remaining 36% were not sure. In the Low income locality 20% outlets rated the response to MMNF better and 40% rated LMN’s response better. The remaining 40% were not sure.

Inference: The response to MMNF vis-à-vis LMN is the best is Medium income locality and the most adverse in the Low income locality.

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4. PRICE OF MINUTE MAID NIMBU FRESH IS:


NOT SAT-ISFACTORY

0.16 0.12 0.2

SATISFAC-TORY

0.720000000000001

0.8 0.720000000000001

HIGHLY SATISFAC-TORY

0.12 0.08 0.08

5%

15%

25%

35%

45%

55%

65%

75%Sa

tisf

acti

on le

vel

Explanation: In the High income locality 72% outlets rated the pricing of MMNF as Satisfactory and 12% rated it as highly satisfactory, while the remaining 16% only rated it as unsatisfactory. In the Medium income locality 80% of the retailers rated the price as satisfactory and 8% as highly satisfactory, while only 12% rated it as unsatisfactory. In the Low income locality 72% rated the price as satisfactory and 8% rated it as highly satisfactory and 20% rated it as unsatisfactory.

Inference: The satisfaction level of the retailers towards the price of MMNF is the greatest in the Medium income locality and the smallest in the Low income locality.

5. BEST MEANS TO PROMOTE MINUTE MAID NIMBU FRESH:

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HIGH

MEDIUM

LOW

INCO

ME

5% 15% 25% 35% 45% 55% 65% 75%INCOME HIGH INCOME MEDIUM INCOME LOW

HOARDINGS/POSTERS

0.12 0.08 0.08

TV ADS 0.320000000000002 0.4 0.2

DISPLAYED IN OUTLET

0.56 0.52 0.720000000000001

Explanation: In the High Consumer Income locality 56% of the respondents said displaying the product in the outlet was the best means for promotion of the product. They were followed by TV ads at 32%. In the Medium Consumer Income locality 52% rated display as the most ideal medium followed by TV ads at 40% and hoardings and posters at 8%. In the Low Consumer Income locality 72% picked display as their choice as the best promotional tools followed by TV ads at 20% and hoardings at 8%.

Inference: Displaying of the product in the outlet is rated high across all the three localities followed by TV ads.

6. HAS THE PROMOTIONAL ACTIVITIES INCREASED SALES:

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INCOME HIGH INCOME MEDIUM

INCOME LOW

YES 0.52 0.48 0.24

NO 0.2 0.28 0.36

CANNOT SAY

0.28 0.24 0.4

5%

15%

25%

35%

45%

55%

YES

NO

CANNOT SAY

INCREASE OF SALES DUE TO PRO-MOTION

Explanation: In the High Consumer Income locality 52% of the respondents agreed that the sales of MMNF have increased due to the promotional activities, while 20% responded in negative and 28% remained undecided. In the Medium Consumer Income locality 48% said that the promotional activities were successful in increasing the sales while 28% were of the opposite view and 24% were not sure. In the Low Consumer Income locality 24% said that sales have increased but 36% did not agree to this view and 40% were neutral.

Inference: The satisfaction level of the retailers towards the effectiveness of the promotional activities was the highest in the Medium Consumer Income locality followed by High Consumer Income locality and was lowest in the Low Consumer Income locality.

7. OTHER COMMENTS REGARDING MMNF:

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TASTE 0.36 0.320000000000002 0.44

DISTRIBUTION 0.08 0.28 0.16

MORE PROMOTION 0.16 0.04 0.24

3%

8%

13%

18%

23%

28%

33%

38%

43%Re

spon

se

Explanation: The retailers were asked if they had any further comments about MMNF. Amongst various issues taste, distribution, and the need for more promotion constituted nearly 70% of the responses. In the High Consumer Income Locality 36% said the taste of the product was not satisfactory where as 8% of the respondents said that more distribution and promotion are needed. In the Medium Consumer Income locality these percentages were 32% for taste, 28% for distribution and 4% for promotion while in the Low Consumer Income locality it was 44% for taste, 16% for distribution and 24% for more promotion.

Inference: Most of the retailers irrespective of locality feel the taste of the product was not satisfactory. This was followed by need for more distribution and more promotion.

ANALYSIS AND INTERPRETATION-

P a g e | 29

CONSUMERS’ RESPONSES

1. CONSUMER CAME TO KNOW ABOUT MINUTE MAID NIMBU FRESH FROM:

HIGH

MEDIUM

LOW

INCO

ME


HOARDINGS/POSTERS

0.12 0.08 0.08

TV ADS 0.600000000000001 0.52 0.720000000000001

DISPLAYED IN OUTLET

0.28 0.4 0.2

Explanation: In the High Consumer Income locality 60% of the respondents said that they came to know about the product from TV ads followed by 28% respondents who said that they became aware of the product when it was displayed in an outlet and the remaining 12% said they came to know about the product from hoarding and posters. These percentages were 52%, 40% and 8% respectively in case of Medium Consumer Income locality and for Low Consumer Income locality they were 72%,28% and 8% respectively.

Inference: TV ads are selected by the consumers as best means of promotion across all the income class localities followed by display in outlets and hoardings and posters.

2. SATISFACTION LEVEL OF THE CONSUMERS REGARDING THE PRICE OF THE PRODUCT:

P a g e | 30


HIGHLY SATISFIED 0.12 0.12 0.04

SATISFIED 0.68 0.720000000000001 0.600000000000001

DISSATISFIED 0.2 0.16 0.36

5%

15%

25%

35%

45%

55%

65%

75%Sa

tisfa

ction

Leve

l

Explanation: In the High Consumer Income locality 68% of the respondents rated the price of MMNF as satisfactory, followed by 12% rating as highly satisfactory. The remaining 20% were dissatisfied with the price. In the Medium Consumer Income locality 72% were satisfied with the price, 12% highly satisfied and 16% dissatisfied. In the Low Consumer Income locality 60% were satisfied with the price, 4% highly satisfied and 36% dissatisfied.

Inference: Satisfaction level of the consumers regarding the price of MMNF is highest in the Medium Income Locality followed by High Consumer income locality. Satisfaction level regarding price is much less in the Low Income locality as compared to the other two income class localities.

3. RESPONSE TO PACKAGING OF MINUTE MAID NIMBU FRESH:

P a g e | 31

HIGH

MEDIUM

LOW

INCO

ME


EXCELLENT 0.28 0.28 0.2

GOOD 0.720000000000001 0.68 0.68

POOR 0 0.04 0.12

Explanation: In the High Income locality 72% respondents rated the quality of packaging of the product as good while 28% rated it as excellent. In the Medium Income locality 68% rated the packaging as good while 28% rated it excellent and 4% poor. In the Low Income locality 68% rated the packaging as good where as 20% rated it as excellent and 12% as poor.

Inference: The response to the packaging was most favorable in the High Consumer Income locality, followed by Medium Consume Income locality. It was least favorable in the Low Consumer Income locality.

4. CONSUMERS’ SATISFACTION LEVEL REGARDING THE TASTE OF THE MINUTE MAID NIMBU FRESH:

P a g e | 32


HIGHLY SATIS-FIED

0.08 0.12 0.04

SATISFIED 0.4 0.44 0.320000000000002

DISSATISFIED 0.52 0.44 0.640000000000005

5%

15%

25%

35%

45%

55%

65%Sa

tisf

acti

on L

evel

Explanation: In the High Income locality 40% of the respondents said that they were satisfied with the taste of the product, while 8% said that they were highly satisfied with the taste. But majority 52% respondents were dissatisfied with the taste. In the Medium Consumer Income locality 44% response was recorded for both satisfied and dissatisfied while 12% respondents were highly satisfied with the taste. In the Low Consumer Income locality 32% were satisfied and 4% were highly satisfied with the taste while 64% were dissatisfied with the taste.

Inference: The satisfaction level of consumers towards the taste of MMNF is highest in the Medium Consumer Income locality while it is lowest in the Low Income locality.

5. COMPARISION OF MINUTE MAID NUMBU FRESH WITH LMN:

P a g e | 33

HIGH

MEDIUM

LOWIN

COM

E


BETTER 0.36 0.4 0.320000000000002

WORSE 0.24 0.2 0.28

CANNOT SAY 0.4 0.4 0.4

Explanation: In the High Income locality 36% rated MMNF better than LMN where as 36% rated it as worse. The remaining 40% were neutral. In the Medium Income locality these percentages were 40% as better, 20% worse and 40% neutral while in the Low Consumer Income locality the ratings were 32% better, 28% worse and again 40% neutral.

Inference: In the Medium Consumer Income locality most consumers prefer MMNF over LMN. This is followed by High Consumer Income locality.

CHAPTER 17: FINDINGS

P a g e | 34

ON THE BASIS OF RETAILERS RESPONSES

1. On the whole availability of the product is good except for Medium Income localities where it was a little less than the other areas. Also when retailers were asked about other issues for the product 28% of the respondents from Medium Income area said supply is inadequate.

2. Demand of the product is good on the whole with Medium Income area being the highest. Demand is a little less in the Low Income localities.

3. Response of the product vis-à-vis its competitor LMN is quite satisfactory in High and Medium Income areas. In the Low Income localities LMN has a better edge over MMNF as compared to other income class areas.

4. The price of Minute Maid Nimbu Fresh is quite satisfactory according to retailers across all the consumer income class areas.

5. Retailers across all the consumer income class areas rated displaying of the product in the outlet as the best means to promote MMNF.

6. According to majority of the retailers of High Income and Medium Income area the various promotional activities have increased sales, but the retailers of the Low Consumer Income locality are of the opposite view. If we take a look at the complete picture the sales have increased from 525 cases or Rs. 173250 in April to 675 cases or Rs. 222750 in May i.e. an increase of 22.2%. So we may conclude that the promotional activities were successful.

ON THE BASIS OF CONSUMER’S RESPONSES

P a g e | 35

1. According to the responses of consumers across all the consumer income class localities TV ads is the best way to promote MMNF.

2. Satisfaction level of the consumers towards the price of MMNF was satisfactory though in the Low Income area it was a little less in the Low Income area. But on the whole consumers’ response was that MMNF is a “value for money” proposition.

3. Packaging of the product is quite good according to the consumers of all the income classes.

4. The taste of MMNF has been rated as dissatisfactory by a large portion of the consumers across all the areas - 52% in the High Income area, 44% in the Medium Income area, and 64% in the Low Income area. When probed further these consumers unanimously said that the taste is “artificial” and not like natural lemon juice.

5. Most of the consumers in all the three areas have chosen MMNF over its competitor LMN as the more preferred drink.

CHAPTER 18: LEARNING

P a g e | 36

1. Availability of the product needs to be increased particularly in the Medium Income Locality surveyed for this study. The demand of the product is highest in this area and many retailers have said that supply is inadequate; this fact should be taken into account. The availability can be increased by:

Increasing the load ability of the product which is 5% presently. Instructing the delivery vehicles to visit this area more regularly.

2. Retailers have rated display as the best way to promote the product. So proper display of MMNF should be maintained.

3. According to the consumers TV ads are the best way to promote MMNF, so more emphasis should be put on the TV ad campaign.

4. Some consumers have indicated that they want the product at a lesser price. So the company can introduce tetra-pack for Minute Maid Nimbu Fresh. That way it can also compete with the tetra-pack of Parle Agro’s LMN.

5. The issue regarding the “artificial taste”, as many consumers have labeled it needs to be looked into by the company. This is completely contrary to the positioning of the product with its tag line being “BILKUL GHAR JAISA” i.e. just like home.

CHAPTER 19: ANNEXURE

P a g e | 37

QUESTIONNAIRE FOR RETAILERS

Date-

Dear Sir/ Madam

I am a student of Don Bosco Institute Of Management, Guwahati, conducting a market research on “Effectiveness of the Promotional Strategies for Minute Maid Nimbu Fresh and Its Customer Satisfaction” under Hindustan Coca-Cola Beverages Private Limited, in Guwahati City. Kindly extend your cooperation in filling this questionnaire and enable to conduct the research successfully.

Name of the outlet –

Location –

Channel-

Convenience Grocery E&D Type 1 E&D Type 2

1. Availability of Minute Maid Nimbu Fresh in peak season i.e. in summer season --

Poor fair good very good

2. What is the demand of Minute Maid Nimbu Fresh in the market?

High Medium Low

3. The response to MMNF vis-à-vis its competitor- LMN is –

Satisfactory Not Satisfactory Cannot say.

4. Price of Minute Maid Nimbu Fresh according to consumer view point is -----

Not satisfactory Satisfactory Highly satisfactory

5. According to you which one is the best media to promote Minute Maid Nimbu Fresh ---?

Hoardings/posters TV ads Displaying in the outlet

P a g e | 38

6. Do you think that the promotional strategies adopted for Minute Maid Nimbu Fresh by Coca Cola are effective and have led to increase in the sales of MMNF?

Yes No Not sure

7. Comments on Minute Maid Nimbu Fresh -----

--------------------------------------------------------------------------------------------------------

--------------------------------------------------------------------------------------------------------

--------------------------------------------------------------------------------------------------------

THANK YOU

QUESTIONNAIRE FOR CONSUMERS

Date-

Dear Sir/ Madam

I am a student of Don Bosco Institute Of Management, Guwahati, conducting a market research on “Effectiveness of the Promotional Strategies for Minute Maid Nimbu Fresh and Its Customer Satisfaction” under Hindustan Coca-Cola Beverages Private Limited, in Guwahati City. Kindly extend your cooperation in filling this questionnaire and enable to conduct the research successfully.

Location –

1. How did you come to know about our product Minute Maid Nimbu Fresh?

Newspaper Television ads Radio Postering/ banner

2. How satisfied are you with the price of Minute Maid Nimbu Fresh?

Satisfied Very satisfied Dissatisfied

P a g e | 39

3. The packaging quality of Minute Maid Nimbu Fresh -----

Poor Good Excellent

4. How satisfied are you with the taste of Minute Maid Nimbu Fresh?

Satisfied Very satisfied Dissatisfied

5. How would you compare our product, Minute Maid Nimbu Fresh, with its competitor Parle Agro’s

LMN?

Better Worse Cannot compare

6. Comments on Minute Maid Nimbu Fresh-----

--------------------------------------------------------------------------------------------------------

THANK YOU

CHAPTER 20: BOOKS AND REFERENCES

P a g e | 40

BOOKS:

1. Kotler, Philip; Keller, Kevin Lane; Koshy, Abraham and Jha Mithileshwar – Marketing Management (Thirteenth Edition, 2009), Published by Dorling Kindersley(India) Pvt. Ltd.

2. Malhotra, Naresh K. and Dash, Satyabhusan – Marketing Research (Fifth Edition, 2009), Published by Dorling Kindersley (India) Pvt. Ltd.

OTHER SOURCES:

Internal sources of HCCBPL.

REFERENCES:

i Source: Coca Cola Indiaii Source: http://www.thecoca-colacompany.com/ourcompany/mission_vision_values.htmliii Source: http://www.coca-colaindia.com/brands/brands_porange.aspx

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