Study The Personal Selling Process/Sales Used For A Product in A Company
Study The Personal Selling Process/Sales Used For A Product in A Company
Study The Personal Selling Process/Sales Used For A Product in A Company
PRODUCT IN A COMPANY
Professional Skill Development Activity Project Submitted
In Partial Fulfillment of the Requirements for the Course
(MKTG302)
At
Submitted by: Shambhavi Sharma (C-63) Submitted to: Rajeev Pathak sir
Amity School of Business
Coca Cola has a large product portfolio of 500 sparkling and still
brands. It provides nearly 3,900 beverage choices. Its leading product
Coca Cola is one of the world’s most recognized and valuable brands.
There are 21 billion-dollar brands in its portfolio, of which 19 are
available in low or no-calorie choices.
Here are some of the most known brands in Coca Cola’s portfolio:
Coca-Cola – Most popular and highest selling soft drink in
history and also one of the most recognizable brands in the
world.
Sprite: A popular lemon-lime flavoured soft drink introduced in
1961.
Fanta: The second oldest brand from Coca Cola, introduced in
1940, comes in orange flavour.
Diet Coke: Known as Coca Cola light in many markets. A sugar
and calorie-free soft drink. Introduced in 1982.
Coca Cola Zero: Launched in 2005, this zero sugar brand
acquired the status of a million-dollar brand in 2007.
Coca Cola life: A low-calorie drink with cane sugar and Stevia
leaf extract.
Minute Maid: A juice brand acquired by Coca Cola in 1960.
Ceil: Purified non-carbonated bottled water introduced in 1996.
PowerAde: Drink for energy and hydration made with
carbohydrates, electrolytes, and fluids.
PowerAde zero: Sports and fitness drink with electrolytes
minus the calories.
Simply orange: Premium 100% orange juice available in six
varieties.
Fresca: Caffeine-free soft drink with a unique citrus taste.
Glaceau Vitaminwater: Nutrient enhanced water beverage
available in 26 countries.
Del Valle: A premium line of juices and nectars sold mainly in
Latin America and Central America.
Due to the intense competition in the soda industry, the top brands
spend much on advertising to drive higher sales and revenue. Coca
Cola’s marketing expenditure in 2016 was $4 billion. In 2018,
the marketing expenditure grew to $4.1 billion. It utilizes both
traditional and modern channels to promote its brand and products.
Coca Cola launched its Taste the Feeling campaign in 2016 which
unites all of its brands. This one brand approach taken by Coca Cola
marks a significant shift from its previous marketing strategy. Apart
from TV ads and outdoor ad campaigns, the company serves its ads
across the internet and on social media. Its social media accounts
are used to connect with its fans and followers and for customer
engagement. There are more than 1,250 promotional videos of Coca
Cola on its official YouTube channel. As competition has kept
intensifying in the soda industry, companies are focusing more than
ever on their social image and reputation. Coca Cola is also investing
a lot in CSR and sustainability and developing a sustainable supply
chain and manufacturing network. Investing in socially beneficial
projects has proved beneficial for the company and has strengthened
its image in the market
Coca Cola’s physical operations are spread out globally. The physical
infrastructure of the company includes its concentrate
manufacturing operations, as well as headquarters, and other
regional offices in the various corners of the globe. Moreover, we
come across a lot of physical evidence related to Coca Cola’s
business on a daily basis. Apart from Coca Cola bottles and
promotional material, there is a lot of merchandise inside various
retail stores which also counts as physical evidence. The Coca Cola
logo is visible on the packages as well as on advertisements and
promotional material. Globally, there is hardly a region where you
will not be able to find some evidence of Coca Cola’s business
whether it is a large outdoor ad or a small bottle of one of the Coca
Cola beverages
This section looks at how Coca Cola views it customers and the way it
designs the consumer strategy. STP (segmentation, targeting and
positioning) analysis is used to study customers
Geographic segmentation
Coca Cola has segmented the worldwide market on the basisof
geographies. There are various divisions created for major regions of
the world andheads of each division report to the parent company.
Lot of autonomy is given to eachdivision to run the operations.-
Place of consumption
: Coca Cola segments the market on the basis of the place
of consumption of the beverage. Most of the consumption takes
place on premise such as cinemas, railway station, restaurants etc.,
while rest of it takes place in homes. -
Product type
: Coca Cola segments the market on the basis of the type of
products bought by customers. The market is divided into Cola produ
cts and non cola products. Cola products currently provide majority
of the revenues, but the proportion of non-cola products
is increasing. -
Demographics
: Coca Cola segments the market on the basis of demographics. Thes
egmentation is on the basis of age as well as income.
Their targeting is not based gender but the results show that both
genders like this product and use it. • GENDER: Coca-Cola segments
INDIAN market with a percentage ratio of 58% females and 42%
males. • Life style; busy life style (face shortage of time) and mobile
generation. • Family; dependent on their family. • Occupation;
students and family oriented people. • NATURE: Fun loving and
entertainment loving. • SOCIO ECONOMIC STATUS: Upper lower and
lower class MARKET SEGMENTATION OF COCA-COLA • Coca-Cola
serves its products using mass market technique.
Positioning
Coca Cola position its products as refreshing and thirst
quenching. The products are said to bring joy, as apparent from
Coca Cola’s latest tagline – Little
drops of joy. The products are associated with having a good time
with friends and family and enjoying everyday life. The products are
also marketed as consistent and of high quality
Competition
The largest competitor for Coca Cola is Pepsi Co. They compete in
almost all the markets worldwide. Coca Cola has higher sales
worldwide, though Pepsi Co dominates the US market. There are
other players in various beverages category, but none of them as
large as Coca Cola or Pepsi Co. The new competition in the industry is
to increase the product portfolio and introduce new variants of
carbonated drinks and non-carbonated drinks. Most of the strengths
and weaknesses of PepsiCo are similar to those of Coca Cola. PepsiCo
enjoys good brand value as well as economies of scale. At the same
time, it also has come under criticism for health and environmental
issues. While Coca Cola operates almost exclusively
in beverages segment, Pepsico derive a big share of total revenues fr
om non-beverages categorysuch as chips and oats. This can
potentially provide opportunities to PepsiCo to take advantages of
synergy among various products. While Coca Cola is enjoyed by
people from various age groups, PepsiCo mainly targets young
people.
Threats
Changing trends:
In carbonated drinks, PepsiCo is the only real competitor of Coca-
Cola. But the trend is to move towards healthier drinks and there is a
big threat of substitution facing Coca Cola. Possible substitutes
include coffee, tea, milk, juices and energy drinks. The company has
already taken steps to address this issue by launching products in the
category of healthy drinks. -
Dependence on third party bottling partners:
The Coca Cola system of bottling partners, which is a strength for the
company, is potentially a threat as well. The company does not have
the ownership in most of the bottling operations and makes money
by selling syrup to these bottling companies. The interest of The Coca
Cola Company can be different from the bottling companies as each
of them try to maximize their profits. The major dependence on
independent third party vendors is a major risk to the company. This
threat is being addressed by vertical integration as well as entering
into long term partnerships with the bottling companies. -
Competition:
PepsiCo competes fiercely with Coca Cola in most cannot let down
its guard.
REFERENCES
1. http://www.coca-colacompany.com/our-company/the-coca-cola-
system
2. http://www.coca-colacompany.com/careers/who-we-are-
infographic
3. http://www.coca-colacompany.com/stories/taste-the-feeling-launch