Sales and Distribution of Coca cola

Sales and Distribution of Coca cola

1. GROUP MEMBERS Vinit Vashishth Shahbaaz Ahmed Aditya Khurana Asmita Sinha Piyush Sharma

2. Company Overview Coke re-entered India in 1993 The CEO of the company is Muhtar Kent, with its global headquarter in Atlanta, Geogia . Coke India comprises of: Coca-Cola India Hindustan Coca-Cola Beverages Franchisee bottling operations Coke globally serves 500 brands in 200 countries @ 1.7 billion servings per day Operates a franchised distribution system (1889) Market Cap: $167.25 Billion (Global) Revenues: $46.542 Billion (Global) Employees = 25K direct & 150K indirect (India)

3. Brief History Up till 1977, Coca-cola was the leading soft drink brand in India. But due to norms set by the Foreign Exchange Regulation Act (FERA), Coca-Cola left India and did not return till 1993 after a 16 year absence from the Indian beverage market. FERA needed Coca-Cola to reveal its secret concentrate formula as well as reduce its equity stake which was not acceptable.  Pure drinks, Delhi launched Campa -Cola, to take advantage of Coke’s exit and by the end of 70’s, was the only Cola drink in the Indian market. In 1980, Parle, another major Indian player launched ThumsUp . For over a decade, Parle led the Indian soft-drinks market, with its market share reaching a peak of 70% in 1990 . 

4. Entry Strategy Coca-Cola got the permission to enter the country with a 100 per cent unit in India. On September 22, 1993, the company bought out the Parle brands. As an entry strategy, CCI took over Parle Foods. Over a period of time, CCI also bought certain bottling units that earlier belonged to Parle or individual distributors. With the entry of Coke, CCI decided not to promote the cola brand they took over As a result, Coke’s market share (Coke + Thumps Up) fell to nearly 55%. After 3 years of incurring losses, CCI finally took a decision to re-launch Thumps Up. This strategy paid off and today almost 59% of the market is governed by CCI. In 1993, Thumps Up, Gold Spotand , Limca enjoyed around 75% share of the CSD market.

5. Mission The Coca Cola Company creates value by executing comprehensive business strategy guided by six key beliefs: Consumer demand drives everything we do. Brand Coca Cola is the core of our business We will serve consumers a broad selection of the nonalcoholic ready-to–drink beverages they want to drink through out the day. We will be the best marketers in the world. We will think and act locally. We will lead as a model corporate citizen.

6. Values LEADERSHIP : The courage to shape a better future PASSION : Committed in heart and mind INTEGRITY : Be real ACCOUNTABILITY : If it is to be, it’s up to me COLLABORATION: Leverage collective genius INNOVATION : Seek, imagine, create, delight QUALITY : What we do, we do well

7. Vision PROFIT: Maximizing return to shareowners while being mindful of overall responsibilities. PEOPLE: Being a great place to work where people are inspired to be the best they can be. PORTFOLIO: Bringing to the world a portfolio of beverage brands that anticipate and satisfy peoples’ Desires and needs. PARTNERS: Nurturing a winning network of partners and building mutual loyalty. PLANET: Being a responsible global citizen that makes a difference.

8. Product Specifications

9. Sales Promotion Activities Coca-Cola Cricket Coca-Cola Food Mela Coca-Cola GO-RED Coca-Cola & Mc Donald’s- “ We go together ” joint promotion to reinstate amongst consumers a real sense of the affinity that, both shares globally.

10. Segmentation & Targeting Segmentation - AGE GENDER RURAL VS. URBAN MARKET Targeting- Diet coke : weight consciousness Maaza : kids , juice loving people Sprite : young people Thums -up : confident, mature and uniquely masculine attitude people Fanta : girls, ladies

11. Competitors

12. Organizational Structure Chair Person G.M. Marketing Manager Accounting Dept. Shipping Deptt. Factory Manager Marketing Manager Production Manager Quality Control Mechanical Engineer Shipping Manager Shipping Shipping Officer Personnel Manager Sales Manager (Base) Sales Manager O/S Sales Officer Sales Officer Sales Supervisor Sales Supervisor Sales Man Sales Man Distribution Officer

13. Rewards

14. Distribution Area wise distribution & promotion schemes Focus on high traffic locations Railway stations , Bus Stands

15. Manufacturing Plant Company Owned Depot Primary Retailers Customers Secondary Tertiary Home Delivery Agent COBO FIFO 3 Day Inventory Direct On Order & Ready Stock

16. Manufacturing Plant Distributors Secondary Retailers Customers Secondary Tertiary Indirect Distributors cover: 500-600 outlets FOBO

17. Logistics Average Order Size Order Placement Transit time Order Frequency Inventory maintained Technology Mode of Transportation Expenses Warehousing Stock keeping responsibility Functions & Problems of Distributors

18. SWOT Analysis Strengths Weakness Opportunities Threats World’s largest brand Negative publicity Acquisition intense competition Intense competition Large scale of operations Sluggish performance in north america Growing bottled water market Dependence on bottling partners Robust revenue growth Decline in cash from operation activities Has sufficient capital to expand Sluggish growth of carbonated beverages

19. Learnings & Recommendations Learnings- The real time order processing system through use of technology helps reduce the lead time 24hrs working i.e. the loading cases in the night saves valuable time Recommendations- Pre-sellers shouldn’ t be looked at as an extra cost. On the contrary, since their inception sales have risen Order devices at Diamond outlets can facilitate quicker order placement

20. T hank you