Final Pepsi Report

8/10/2019 Final Pepsi Report

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STUDY TO ASSESS THE DISTRIBUTION CHANNEL

EFFECTIVENESS OF PEPSI IN HYDERABAD RETAIL

STORES

A Project Report Submitted in partial fulfillment for

The Award Of

POST GRADUATE DIPLOMA IN MANAGEMENT

(Batch 2013-15 )

UNDER THE GUIDANCE OF SUBMITTED BY

Prof. C.S PATTNAIK B.SANTOSH

VISHWA VISHWANI SCHOOL OF BUSINESS, HYDERABAD


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Contents

Introduction to the Study

Objective of the study

Scope of the study

Purpose of the study

Need for the study

Limitation of the study

Literature review

Summary about the company Bibliography

History of the company

PepsiCo in India

Marketing strategy of Pepsi

Slogans of Pepsi

Marketing overview of PepsiCo India

Value creation and delivery sequence

Generic value chain

Sales and distribution network of PepsiCo India

Five forces effecting the environment

Data analysis from retailers &distributors perspective

SWOT analysis

Observation

Findings

Recommendation

Conclusion


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C ERTIFICATE

TO WHOM IT MAY CONCERN

I hereby certify that BASAVA.SANTOSH VENKATA KUMAR, REGD No.

9046 Of Vishwa Vishwani School of Business, has undergone the Project

from____________ to ________________at our organization to fulfill the

requirements for the award of degree of PGDM. He worked on_____________

project during this period under the supervision of__________________. During

his/her tenure with us we found him/her sincere and hard working. We wish

him/her a great success in the future.

Dated: Project In-charge atcompany:

(Name of In-charge)


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ACKNOWLEDGMENTS

With the completion of this thesis, I am grateful to many people who have helped

me with their effort: knowledge, time, financial support, energy, encouragement

and prayer.

I would like to express my special thanks to Asst. Prof. C.S. PATTNAIK, my

advisor, for his valuable advice, kind patience and wonderful guidance. His

insightful knowledge and precious experience lead me to the completion of this

study.

I would like to expresses my gratitude to other faculty members of Marketing

department, Vishwa Vishwani School Of Business for providing academic inputs,

guidance & encouragement throughout this period.

Finally, I thank so much to my parents and my elder sister for their financial

assistance, love, encouragement, and prayer to complete this thesis paper and

PGDM degree.

NAME OF THE CANDIDATE

SANTOSH BASAVA


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CH APTE R 1.

I NTRODUCTI ON TO THE STUDY

Objective Of The Study

Scope Of The Study

Benefits Of The Study

Purpose Of The Study

Limitation Of The Study


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INTRODUCTION TO THE STUDY

The project was carried due to the criteria of the University for the Completion ofPost-Graduation Diploma of Management.

The main objective of this in-plant training was to get an exposure to the working

environment in an organization. This was an opportunity for me to relate concepts

learned by me to the practical application in the organization.

This in-plant training help me in interacting with many retailers and know their viewswhich helped me to improve my practical knowledge.

Pepsi company has pumped in Rs. 300 crores ($ 95 million) as fresh capital and has

recently received permission from the foreign investment board in Rs.300 crores ($95

million) more. The investment phase will continue and could add unto Rs.700 crores over

the next three years. The figure is not cast in stone if volume exceeds according to

expectation. They will increase capital expenditure.

Apart from these things there is an expression which cannot verify easily that is Pepsi has

made qualitative gains. The foremost is its image from being perennially seen as a losing

company its now got the image of being a winner. This major turnaround is not small

achievement considering that since it was established in 1989 taking the hard ship route

prior to liberalization and weighed down by export commitments. Pepsi has won more

battles than it has lost.

In April 1993 Voltas and Punjab Argos stakes were bought over converting Pepsi foods

from a three way joint venture to be a fully owned subsidiary week bottlers who did not

have the financial capacities were given massive support in the form in interest free loans

to upgrade their operating capacity . But the strategy which has proved to be winner was


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the position, Pepsi decided to take in Company Owned Bottling Operation (COBO). For

this another subsidiary PepsiCo. India holding was set up as an investment vehicle,

capitalized 95 million dollar. Within a year 1994 Pepsi has bought over 5 bottlers

including dukes in Mumbai, which was running in Maharashtra which has been bought

over from Voltas high speed imported lines with a speed of 600 bottles per minute was

installed in Delhi. Pepsi has a strong franchisee in the Jaipurias of Pearl drinks. Pepsi is

setting up a new plant at Jaipur.


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OBJECTIVE OF THE STUDY

The following are the objectives and purpose of the study-

1) To know the performance level of the existing distribution channel.

2) To study the Problems related to the existing channel.

3) To know factors influencing the effectiveness of channels of distribution.

4) To suggest measures of improvement in the performance.

SCOPE OF THE STUDY

The main scope of this study is to ascertain the effectiveness of channel of

distribution and various methods to increase the sales volume of the concern.

The study is confined to the retailers in Ameerpet, Hyderabad.

PURPOSE OF THE STUDY

To know if the existing distribution channel is capable of meeting the increased

demand for the Pepsi Products in Ameerpet, Hyderabad.

NEED FOR THE STUDY

The study will confront me the following:

Companys Effectiveness of distribution channel

Satisfaction level of the customers and retailers.

Customer Interest Level on Pepsi Products


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LIMITATION OF THE STUDY

The following are the limitations for the study.

i) Shortage of time factor was one of the biggest constraints.

ii) Due to the time constraint the study is restricted only to the retailers of

Hyderabad.

iii) The coverage of the objective of the study is limited to the extent of the

information.

iv) All the observation and recommendation will be made on the feedback obtainedfrom survey.


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LITERATURE REVIEW

PepsiCo is one of the oldest, largest and most successful beverage and snack food companies in

the world. PepsiCo was founded by Caleb Bradham in 1902 in USA. Today PepsiCo and its

affiliates operate in more than 140 countries in the world and generate revenues in excess of $ 40

Billion. In its pursuit of never ending growth and expansion, PepsiCo entered India in 1989 in a

joint venture with Punjab Government. However, PepsiCo India very soon started its beverage

operations in collaboration with the R K Jaipuria group.

Soon after entering the beverage segment PepsiCo Established its dominance in the market

owing to its expertise in sales, marketing, operations and local collaboration. PepsiCo maintained

its market dominance for many more years to come. However, this advantage slipped and

PepsiCo had to concede the market leadership to Coca Cola India. Several actors were

responsible for this development. But, the most important are;

Distribution channel is having an important role in positioning of the product because we know

that distribution channel is tool by which we can make reach our product to the final consumers

Discontinuation of slums in the distribution network by PepsiCo. This move by PepsiCo

adversely affected its position of a market leader because while PepsiCo discontinued the use of

Slums in its distribution network, Coke continued it and within one year, it was able to snatch

considerable market share from PepsiCo.

Acquisition of well-established and favored brands like Thumps Up and Limca by Coca Cola

India. These two brands still constitute a bulk of sales for Coca Cola India.

To explore the reasons behind these developments this study will analyze the marketing

initiatives and policies of PepsiCo India in detail with particular focus on its partner relationship

management.


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The above-mentioned objectives can be achieved by carrying a proper and planned research

involving different types and methods. The data collected for laid the foundations for the study

and gave a platform for the analysis and findings which lead to the fulfillment of the objectives.

The data collected for research is primary and secondary. Primary data is collected by

observation, interviews and questionnaires. The data collection and analysis paves way for the

recommendation ad conclusion of the study that reveals some important findings regarding the

strategy and corporate structure and strategy of PepsiCo India.


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SUMMARY ABOUT THE COMPANY

Type : Public (NYSE: PEP)Founded : Chicago, Illinois, U.S. (1965)Headquarters : Purchase, New York, U.S.Area served : WorldwideKey people : Indra Krishnamurthy Nooyi (Chairwoman), (President) & (CEO) Industry : Food Non-alcoholic beverageProducts : Pepsi

Diet PepsiMountain Dew

Sierra MistStarbucksFrappuccinoLiptIcedTea7upIzzeTropicana ProductsCopella

Naked JuiceGatoradePropelFitnessWaterQuaker Oats

Lay'sDoritosCheetosFritosRoldGoldRufflesTostitosSlice

NimboozRevenue : USD 43.251 Billion (2008 )

Operating income : USD 6.935 Billion (2008 )

Net income : USD 5.142 Billion (2008 )Total assets : USD 35.994 Billion (2008 ) Total equity : USD 12.106 Billion (2008 ) Employees : 185,000 (2008 ) Divisions : PepsiCo Americas (PepsiCo Americas Food, PepsiCo Americas

Beverages), PepsiCo InternationalWebsite : PepsiCo.com
http://en.wikipedia.org/wiki/File:Pepsico_logo.svg


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HISTORY OF THE COMPANY

It was first introduced in North Carolina in 1898 by Caleb Braham who made a pharmacy

which sold the drink which was known back then as "Brad's Drink", and was later named

Pepsi Cola possibly due the digestive enzyme pepsin and kola nuts used in the recipe. Braham

sought to create a fountain drink that was delicious and would aid in digestion and boost energy.

In 1903, Braham moved the bottling of Pepsi-Cola from his drugstore into a rented warehouse.

That year, Bradham sold 7,968 gallons of syrup. The next year, Pepsi was sold in six-ounce

bottles, and sales increased to 19,848 gallons. In 1926, Pepsi received its first logo redesign

since the original design of 1905. In 1929, the logo was changed again. In 1929, automobile race

pioneer Barney Oldfield endorsed Pepsi-Cola in newspaper ads as "A bully drink...refreshing,

invigorating, a fine bracer before a race".

In 1931, the Pepsi-Cola Company went bankrupt during the Great Depression- in large part

due to financial losses incurred by speculating on wildly fluctuating sugar prices as a result of

World War I. Assets were sold and Roy C. Megargel bought the Pepsi trademark. Eight years

later, the company went bankrupt again. Pepsi's assets were then purchased by Charles Guth; the

President of Loft Inc. Loft was a candy manufacturer with retail stores that contained sodafountains. He sought to replace Coca-Cola at his stores' fountains after Coke refused to give him

a discount on syrup. Guth then had Loft's chemists reformulate the Pepsi-Cola syrup formula.

During the Great Depression, Pepsi gained popularity following the introduction in 1936 of a 12-

ounce bottle. Initially priced at 10 cents, sales were slow, but when the price was slashed to five

cents, sales increased substantially. With a radio advertising campaign featuring the jingle "Pepsi

cola hits the spot Twelve full ounces, that's a lot / Twice as much for a nickel, too Pepsi-Cola is

the drink for you," arranged in such a way that the jingle never ends. Pepsi encouraged price-

watching consumers to switch, obliquely referring to the Coca-Cola standard of six ounces per

bottle for the price of five cents (a nickel), instead of the 12 ounces Pepsi sold at the same price.

Coming at a time of economic crisis, the campaign succeeded in boosting Pepsi's status.


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1940s advertisement specifically targeting African Americans.

Pepsi's success under Guth came while the Loft Candy business was faltering. Since he had

initially used Loft's finances and facilities to establish the new Pepsi success, the near-bankrupt

Loft Company sued Guth for possession of the Pepsi-Cola company. A long legal battle, Guth v.

Loft , then ensued, with the case reaching the Delaware Supreme Court and ultimately ending in a

loss for Guth.


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PEPSICO IN INDIA

PepsiCo gained entry to India in 1988 by creating a joint venture with the Punjab government-

owned Punjab Agro Industrial Corporation (PAIC ) and Voltas India Limited. This joint

venture marketed and sold Lehar Pepsi until 1991, when the use of foreign brands was allowed;

PepsiCo bought out its partners and ended the joint venture in 1994. Others claim that firstly

Pepsi was banned from import in India, in 1970, for having refused to release the list of its

ingredients and in 1993, the ban was lifted, with Pepsi arriving on the market shortly afterwards.

These controversies are a reminder of "India's sometimes acrimonious relationship with huge

multinational companies." Indeed, some argue that PepsiCo and The Coca-Cola Company have"been major targets in part because they are well-known foreign companies that draw plenty of

attention."

In 2003, the Centre for Science and Environment (CSE) , a non-governmental organization in

New Delhi, said aerated waters produced by soft drinks manufacturers in India, including

multinational giants PepsiCo and The Coca-Cola Company, contained toxins, including lindane,

DDT, malathion and chlorpyrifos pesticides that can contribute to cancer, a breakdown of the

immune system and cause birth defects. Tested products included Coke, Pepsi, 7 Up, Mirinda,Fanta, Thums Up, Limca, and Sprite. CSE found that the Indian-produced Pepsi's soft drink

products had 36 times the level of pesticide residues permitted under European Union

regulations; Coca Cola's 30 times. CSE said it had tested the same products in the US and found

no such residues. However, this was the European standard for water, not for other drinks. No

law bans the presence of pesticides in drinks in India.

The Coca-Cola Company and PepsiCo angrily denied allegations that their products

manufactured in India contained toxin levels far above the norms permitted in the developed

world. But an Indian parliamentary committee, in 2004, backed up CSE's findings and a

government-appointed committee, is now trying to develop the world's first pesticides standards

for soft drinks. Coke and PepsiCo opposed the move, arguing that lab tests aren't reliable enough

to detect minute traces of pesticides in complex drinks. On December 7, 2004, India's Supreme


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Court ruled that both PepsiCo and competitor The Coca-Cola Company must label all cans and

bottles of the respective soft drinks with a consumer warning after tests showed unacceptable

levels of residual pesticides.

Both companies continue to maintain that their products meet all international safety standards

without yet implementing the Supreme Court ruling. As of 2005, The Coca-Cola Company and

PepsiCo together hold 95% market share of soft-drink sales in India. PepsiCo has also been

accused by the Puthussery panchayat in the Palakkad district in Kerala, India, of practicing

"water piracy" due to its role in exploitation of ground water resources resulting in scarcity of

drinking water for the panchayat's residents, who have been pressuring the government to close

down the PepsiCo unit in the village.

In 2006, the CSE again found that soda drinks, including both Pepsi and Coca-Cola, had high

levels of pesticides in their drinks. Both PepsiCo and The Coca-Cola Company maintain that

their drinks are safe for consumption and have published newspaper advertisements that say

pesticide levels in their products are less than those in other foods such as tea, fruit and dairy

products. In the Indian state of Kerala, sale and production of Pepsi-Cola, along with other soft

drinks, was banned by the state government in 2006, but this was reversed by the Kerala High

Court merely a month later. Five other Indian states have announced partial bans on the drinks in

schools, colleges and hospitals.


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MARKETING STRATEGY OF PEPSI

In 1975, Pepsi introduced the Pepsi Challenge marketing campaign where PepsiCo set up a blind

tasting between Pepsi-Cola and rival Coca-Cola. During these blind taste tests the majority of

participants picked Pepsi as the better tasting of the two soft drinks. PepsiCo took great

advantage of the campaign with television commercials reporting the test results to the public.

In 1976 Pepsi, RKO Bottlers in Toledo, Ohio hired the first female Pepsi salesperson, Denise

Muck, to coincide with the United States bicentennial celebration.

Pepsi logo (1973-87). In 1987, the font was modified slightly to a more rounded version

which was used until 1991.

In 1996, PepsiCo launched the highly successful Pepsi Stuff marketing strategy. By 2002, thestrategy was cited by Promo Magazine as one of 16 "Ageless Wonders" that "helped redefine

promotion marketing."

In 2007, PepsiCo redesigned their cans for the fourteenth time, and for the first time, included

more than thirty different backgrounds on each can, introducing a new background every three

weeks. One of their background designs includes a string of repetitive numbers 73774. This is a

numerical expression from a telephone keypad of the word "Pepsi."


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Pepsis logo (2003 -09. Currently using with Pepsi Wild Cherry and Pepsi ONE)

In late 2008, Pepsi overhauled their entire brand, simultaneously introducing a new logo and a

minimalist label design. The redesign was comparable to Coca-Cola's earlier simplification oftheir can and bottle designs. Due to the timing of the new logo release, some have criticized the

logo change, as the new logo looked strikingly similar to the logo used for Barack Obama's

successful presidential campaign, implicating a bias towards the President. Also in 4th quarter of

2008 Pepsi teamed up with Google/Youtube to produce the first daily entertainment show on

Youtube. This daily show deals with pop culture, internet viral videos, and celebrity gossip.

Poptub is refreshed daily from Pepsi.

Since 2007, Pepsi, Lay's, and Gatorade have had a "Bring Home the Cup," contest for

Canada's biggest hockey fans. Hockey fans were asked to submit content (videos, pictures or

essays) for a chance at winning a party in their hometown with The Stanley Cup and Mark

Messier.

In 2009, "Bring Home the Cup," changed to "Team Up and Bring Home the Cup." The new

installment of the campaign asks for team involvement and an advocate to submit content on

behalf of their team for the chance to have the Stanley Cup delivered to the team's hometown by

Mark Messier.

Pepsi has official sponsorship deals with three of the four major North American professional

sports leagues: the National Football League, National Hockey League and Major League

Baseball. Pepsi also sponsors Major League Soccer.

Pepsi also has sponsorship deals in international cricket teams. The Pakistan cricket team are just

one of the teams that the brand sponsors. The team wears the Pepsi logo on the front of their test

and ODI test match clothing.


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SLOGANS OF PEPSI

1939-1950: "Twice as Much for a Nickel"

1950: "More Bounce to the Ounce" 1950-1957: "Any Weather is Pepsi Weather"

1957-1958: "Say Pepsi, Please"

1958-1961 : "Be Sociable, Have a Pepsi"

1961-1963: "Now It's Pepsi for Those Who Think Young"

1963-1967: "Come Alive, You're in the Pepsi Generation".

1967-1969: "( Taste that beats the others cold) Pepsi Pours It On".

1969-1975: " You've Got a Lot to Live, and Pepsi's Got a Lot to Give"

1975-1977: "Have a Pepsi Day"

1977-1980: " Join the Pepsi People (Feeling Free)"

1980-1981: "Catch That Pepsi Spirit" David Lucas composer

1981-1983: "Pepsi's got your taste for life"

1983-1984: "Pepsi Now! Take the Challenge!"

1984-1991: "Pepsi. The Choice of a New Generation" (commercial with Michael

Jackson, featuring Pepsi version of Billie Jean)

1986-1987: "We've Got The Taste" (commercial with Tina Turner) 1987-1990: "Pepsi's Cool" (commercial with Michael Jackson, featuring Pepsi version

of Bad)

1990-1991: "You got the right one Baby UH HUH" ( sung by Ray Charles for Diet

Pepsi )

1991-1992: "Gotta Have It" /"Chill Out"

1992-1993: "Be Young, Have Fun, Drink Pepsi"

1993-1994: "Right Now Van song for the Crystal Pepsi advertisement.

1994-1995: "Double Dutch Bus" Pepsi song sung by Brad Bentz.

1995: "Nothing Else is a Pepsi"

1995-1996: " Drink Pepsi. Get Stuff." Pepsi Stuff campaign

1996-1997: "Pepsi: Theres nothing official about it" (During the Wills World Cup

(cricket) held in India/Pakistan/Sri Lanka)


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1997-1998: "Generation Next" - with the Spice Girls.

1998-1999: "It's the cola" (100th anniversary commercial)

1999-2000: "For Those Who Think Young" /"The Joy of Pepsi-Cola" (commercial with

Britney Spears/commercial with Mary J. Blige)

2000-2003: " Aazadi dil ki " (Hindi - meaning "Freedom of the Heart")(India)

2003: "It's the Cola" /"Dare for More" (Pepsi Commercial)

2003-2005: " Yeh Pyas Hai Badi " (Hindi meaning "This thirst is too much")(India)

2005-2006: "An ice cold Pepsi. It's better than sex!" (Larry Sypolt)

2006-2007: "Why You Doggin' Me" /"Taste the one that's forever young" Commercial

featuring Mary J. Blige

2007-2008: "More Happy" /"Taste the once that's forever young" (Michael Alexander)

2008: "Yeh hai Youngistaan Meri Jaan!" (Hindi)(Urdu - meaning "This is the Youngera my dear" (India and Pakistan)

2008: "Pepsi Stuff" Super Bowl Commercial (Justin Timberlake)

2008: "epsi is #1" v commercial (Luke Rosin)

2008: "Pepsify karo gai!" Commercial (Urdu (Hindi - meaning "Wanna Pepsify!")

(Pakistan) (Featuring. Adnan Sami and Annie)

2008-2009: "Something for Everyone."

2009-present: "Refresh Everything" and (during many commercials) "Every

Generation Refreshes The World"


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MARKETING OVERVIEW OF PEPSICO INDIA

Marketing Environment:

Marketing environment is the overall environment in which a Company operates. This consists

of the Task Environment and the Broad Environment.

Task Environment

Task Environment includes the immediate players involved in producing, distributing and

promoting the offering. The main players are the company, suppliers, distributors, dealers and

the target customers. Suppliers include the material and service suppliers such as marketing

research agencies, advertising agencies, banking and insurance companies, transportationcompanies, and telecommunications companies. The dealers and distributors include agents,

brokers, manufacturer representatives and others who facilitate finding and selling to customers.

The suppliers for PepsiCo India include the bottle suppliers for the soft drinks. These include the

Pet bottles and the Glass bottles. One of the most vital products required in the operation is

Refrigerator. PepsiCo does not manufacture the refrigerators, instead they are supplied by

different vendors who get time bound contracts from the company.

The distributors and dealers are part of the sales and distribution network. This will be explained

later under the section of Place, in the 4 Ps segment.

The target customer for PepsiCo is primarily the youth. But, because of increasing competition

from Coke PepsiCo has expanded its target customer base which now includes people who are

prospects for beverages beyond the CSD category. PepsiCo has started targeting this segment by

offering products in the Non- CSD category, these include fruit based non-carbonated drinks,

juice based drinks, energy drinks, sports drinks, snack food (from the snack food division i.e.

Frito Lay).


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Broad Environment:

This contains forces that can have a major impact on the players in the task environment. This

includes six components: demographic environment, economic environment, physical

environment, technological environment, political legal environment, and socio cultural

environment. Companies need to pay close attention to the trends and developments in these

environments and make timely adjustments to their marketing strategies in order survive and

succeed in the market. This will be explained in detail in the strategic marketing segment.

Value Delivery Process:

The value delivery process consists of the value creation and delivery sequence. This is done in

three phases. The first phase, choosing the value, represents the homework done by the

marketing department before the product exists. Marketing is required to segment the market,

select the appropriate the target market, and develop the offerings value propositi on. This is

known as Segmentation, Targeting and Positioning and is the essence of strategic marketing.

Once the business unit has chosen the value, the second phase is providing the value. Marketers

need to determine specific product features, prices and distribution.

The task in the third phase is communicating the value by utilizing the sales force, sales promotion, advertising, and other communication tools to announce and promote the product.

Each of these value phases has different cost implications.


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VALUE CREATION AND DELIVERY SEQUENCE

CustomerSegmentation

MarketSelection /

Focus

ValuePositioning

Choose the Value (Strategic Marketing)

Provide the Value (Tactical Marketing)

ProductDevelop

ment

ServiceDevelop

ment

PricingSourcing/

Making

Distribution /

Servicing

Communicate the Value (Tactical Marketing)

Sales Force SalesPromotion Advertising


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GENERIC VALUE CHAIN:

The generic value chain is a tool to identify ways to create value for the customer. This model

proposes that every firm is a synthesis of activities performed to design, produce market, deliver

and support its product. In order to be more precise only the primary activities in the value chain

of PepsiCo India are analyzed.

Primary Activities:

Inbound Logistics This involves bringing and procuring raw materials for the business. For

the carbonated drinks industry only two raw materials are required, they are water and the

concentrated salt that is used to produce the final product. For this purpose water is extracted

from the ground and the concentrated salt is provided by PepsiCo India to all the plants in the

country.

Operations Operations primarily includes all the bottling plants. Currently there are 32

bottling planting in India that operate for PepsiCo. Of the 32 plants, 15 are owned by PepsiCo

and the rest 17 are (FOBO), owned by R K Jaipuria Group.

InboundLogistics

Operations OutboundLogistics

Marketingand Sales

Service

Procurement

Technology Development

Human Resource Management

Firm Infrastructure

Margin

Support Activities

Primary Activities


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Outbound Logistics The Outbound logistics of Pepsi can be divided into three stages. First

the finished product from the bottling plants is sent to the depot or the territorial office, from

where it is sent to the C & F centers and the Distributor Points according to their demand. From

the C & F centers and Distributor Points the product is sent out for sale in the market to the

retailers.

Marketing and Sales The sales and distribution network of Pepsi is very strong and

comprises of different layers and a dedicated sales force. This is one of the important factors for

the success of Pepsi. To keep the company abreast with competition and to provide support to its

channel partners and to increase the sales, PepsiCo puts lot of effort in its marketing activities.

This includes maintaining excellent relations with its channel partners, making huge investments

in Advertising, signing of Megastars as its brand ambassadors, sponsoring various events,

launching promotional for any launch or re launch of a product.

Service In this industry after sales service is generally not required. The only exception being

leak or burst bottles. In that case, the shopkeeper gets replacement for plastic bottles from the

salesmen instantly, while the replacement for glass bottles is provided between 25 th and 30 th of

every month. They are required to collect all the damaged glass bottles and give to the respective

salesperson who gives them the replacement within the next few days after getting it approved

from the CE or ADC.

Marke ting Mix / 4 Ps:

Marketing Mix has been defined as the set of marketing tools that a firm uses to pursue its

marketing objectives. These tools are classified into four broad groups, namely, Product, Price,

Place and Promotion.

Marketing mix decisions should be made to influence trade channels as well as final consumers.

A firm can alter any of the four Ps accordingly, including changes in the product and

distribution channel as well.


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The four Ps represent the sellers view of the marketing tools available for influencing buyers.

Whereas, from a buyers point of view, each marketing tool is designed to deliver a customer

specific benefits according to his or her requirements.

Figure 4ps:

Product

Prod. VarietyQualityDesignFeaturesBrand NamePackagingSizesServicesWarrantiesReturns

Marketing Mix

Target Market

Marketing Variables: The Four P Components of the Marketing Mix

Place

ChannelsCoverageAssortmentsLocationsInventoryTransport

Price

List PriceDiscountsAllowancesPayment periodCredit Payments

Promotion

Sales PromotionAdvertisingSales ForcePubic RelationsDirect Marketing

Product

Prod. VarietyQualityDesignFeaturesBrand NamePackagingSizesServices

WarrantiesReturns


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Product: Pepsi offers different variety of products ranging from carbonated to Non-Carbonated

Soft Drinks. These include

Pepsi Cola,Mirinda ( Lemon and Orange ),7 Up,Dew,Slice ,Tropicana,Aquafina (Mineral

Water)

These Products come in different size 200 ml, 300 ml, 600 ml, 1200 ml, 2 lt. there are nearly

42 SKUs which are monitored and regulated on daily basis.

Product Quality:

This is one of the most important aspects that any Co. needs to address. Specially in the case of

Pepsi this is even more important because of the controversies and claims regarding the CSEreport on Pesticides in Pepsi. Therefore pepsi has to maintain stringent quality norms and

standards and norms. Pepsi does that by following one quality standard worldwide and according

to the official website of pepsi, the Co. maintains that :

At every level of Pepsi -Cola Company, we take great care to ensure that the highest standards

are met in everything we do. In our products, packaging, marketing and advertising, we strive for

excellence because our consumers expect and deserve nothing less. We promise to work toward

continuous improvement in all areas of our organization.

At every step of our manufacturing and bottling process, strict quality controls are followed to

ensure that Pepsi-Cola products meet the same high standards of quality that consumers have

come to expect and value from us. We also follow strict quality control procedures during the

manufacturing and filling of our packages. Each bottle and can undergoes a thorough inspection

and testing process. Containers are then rinsed and quickly filled through a high-speed, state-of-

the-art process that helps prevent any foreign material from entering the product. Additional

quality control measures help to ensure the integrity of Pepsi-Cola products throughout the

distribution process, from warehouse to store shelf.


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Brand Name:

This is the most important thing any Co. in this Business needs to do if it wants to remain and

succeed in the Business. Pepsi has successfully done that for so many years. Pepsi has targeted

the youth and has invested heavily in advertising and building a brand image (by launching

several campaigns and roping in mega stars such as Shahrukh, Sachin, Ganguly, Dravid etc.) that

attracts to the youth and this is one of the main reason for the success of Pepsi.

Packaging and Size : The products are available in packaging and sizes. This is done to

facilitate the use according to the requirements of the Customer. Different packaging also affects

the usage pattern of the product in various markets. e. g. sale of 2 lt. bottles is high in areas in

which middle and high income group customers stay. But the sale of 200 and 300 ml bottles ishigh in areas where people in the lower income group bracket stay. The sale of 600 ml bottles is

high in areas where students etc. stay. Different packaging is also provided for different products

like Tetra Packs, Pet Bottles and Glass Bottles (in 200 and 300 ml).

Services, Warranties, Returns : There are no warranties and services (post sales)

provided for these products but there is provision of returns in case there is any problem with the

product, e.g. leak or burst bottle, half-filled bottle etc. The pet or plastic bottles are returned the

same day and a replacement is provided for the same but in the case of glass bottles the retailer

has to collect all the burst bottles and return it to the salesman around 25 th of every month to get

a replacement.

Price:

List Price: The Price of each product is fixed and there is no discrepancy. Salesmen are not

authorized to make any change, alteration or give discounts unless authorized by the Company.

Discounts: Discounts are provided to Wholesalers and Slums but there is no discount for

retailers. The discounts are negotiated directly with the Company and the C&F or the Distributor

point is not involved in the price negotiation.


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Allowances: Allowances are given to salesmen on achieving their daily targets. This target is

given to every Salesman every day before he goes on his designated route. The Depot In charge

(Sr. C E / C E) gives the target to every salesman in consultation with the TDM.

Payment period and Credit terms: No credit is provided. The payment procedure is not

flexible as the retailers are required to make on the spot payments. At times, they defer the

payment and in that case, the Salesman either shows a shortage or pays the rest of the amount by

himself. The wholesalers are also required to make in advance but at times they also defer the

payment and make the payment at a later date.

Place:

Channels: Channels are independent organizations involved in the process of making a product

or service available for use or consumption. There are different intermediaries in channels that

facilitate the availability of goods to the consumer.

Coverage: Two things come under market coverage. These are Market Reach and Market

Penetration.

Market Reach can be termed as accessibility and Market Penetration can be termed as

Frequency.

Promotion:

Sales Promotion: This is the most frequently used form of promotion which is used to increase

the sale of the selected product. These promotions are used from time to time depending upon

the sale of the products. If the sale of any particular product declines or shows a declining trendthen a suitable Sales Promotion Campaign is launched to increase the sale of that product.

Advertising: Advertising is done by PepsiCo. COBO (Company owned Bottling Operations)

and FOBO (Franchisee owned Bottling Operations) have no say in the advertising campaigns


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and their planning. The advertising account of Pepsi is handled by JWT (J Walter Thomson) in

association with the Corporate office of PepsiCo India.

Sales Force: There is a dedicated sales force at every C&F and Distributor point. Every

Salesman is assigned a specific route that he has to cover every day. The Salesman has to take

care of all the Shops on the designated route and address and inform (to the Sr. CE / CE) about

any issue any retailer has on the route. The Salesmen are also assigned the task of providing all

the information to the retailers regarding the daily schemes and the details of all the promotion

schemes launched from time to time. These include informing the retailer about the promotional

scheme, registration for the scheme, terms and conditions of the scheme etc. The Salesman is

also assigned the task of registering maximum possible outlets on his assigned route.

Public Relations: This is one important aspects related to the success of PepsiCo in India.

Pepsi believes in maintaining good and healthy relations with all its Channel partners and every

other person in the value chain. This has helped Pepsi in maintaining an extremely competitive

position in the market in spite of the continuous onslaught from Coca Cola.


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SALES AND DISTRIBUTION NETWORK OF PEPSICO INDIA.

COMPANY

COBO FOBO

WAREHOUSE

C & F DISTRIBUTOR

WHOLESALER SLUMS RETAILER

RETAILER CUSTOMER

CUSTOMER

SALESMEN SALESMEN


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Initially the focus of the Company remains on reaching all the markets and then the Company

shifts its focus on increasing the frequency of sales in the respective markets so that the sales and

profitability of the Company can be increased.

Company (PepsiCo): PepsiCo India provides the salt to all the bottling plants in the Country that

carry out the bottling operations.

COBO : These are Company owned bottling operations operating directly under the Company.

Out of 32 bottling plants, PepsiCo owns 15.

FOBO : These are Franchise owned bottling operations. R K Jaipuria group does all thefranchisee-bottling operations for PepsiCo India; currently R K J Group has 17 bottling plants for

Pepsi.

Warehouses : These are Company or franchisee owned warehouses spread over various

locations that cover the respective territories and come under the purview of their respective

Area or Territory Offices. Stocks are sent from the bottling plants to these warehouses, from

where they are sent to the C & F centers and Distributor Points.

C & F Centers: These are the biggest centers in the distribution network and receive proper

assistance from the Company (either COBO or FOBO). The C & F center is owned by a private

player and not by the Company. The vehicles (Delivery Vans) are owned by the Company, and

the Salesmen at the C & F points are on the Company Payroll.

Distributors : These are small, compared to C & F centers. Everything at the Distributor point

owned and managed by the distributor, even the salespersons are on the Distributors payroll.

Wholesalers : These are smaller than C & F centers and Distributor points and get the stock

directly from the Company or Franchisee. They get their stock directly from the Company and

thus get special rates and extra discounts from the Company.


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Slums : They are generally smaller than the Wholesalers are. However, they get special

discounts from the C & F centers and Distributor points.

All the different players in the distribution channel namely C & F centers, Distributor points,

Wholesalers and Slums have different designated markets and are not supposed to operate in the

market designated to any other player.

Retailer : Retailers are the most important chain in the distribution channel of Pepsi as they are

the only point of contact with the customers. Retailers get their stock from all the other channel

members in the distribution channel.


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FIVE FORCES EFFECTING THE ENVIROMENT

Bargaining Power ofSuppliers

1. Supplier Concentration2. Importance of Volume

to Supplier3. Differenciation of

Inputs4. Impact of Inputs on

Costof Differentiation

5. Switching Cost of

Firmsin the Industry6. Presence of Substitute

Inputs7. Threat of Forward

Integration

Bargaining Power ofBuyers

1. BargainingLeverage.

2. Buyer Volume.3. Buyer Information.4. Brand Identity.5. Price Sensitivity.6. Treat of Backward

Integration.7. Product

differentiation.8. Buyer ConcentrationVs Industry.

9. Substitutes Available.10. Buyers Incentive.

ExistingRivalryAmongFirms

Threat ofSubstitutes

1. Switching Costs.2. Buyer inclination to

Substitute.

3. Price performancetrade off ofSubstitutes.

Threat of NewEntrants

1. Cost Advantage.2. Proprietary

Products3. Access to Inputs.4. Government Policy.5. Economies of Scale.6. Capital

Requirement7. Brand Identity.8. Switching Cost.9. Distrbution Access.

Degree of Rivalry1. Exit Barriers2. Industry

Concentration

3. Fixed costs / Valueadded.

4. Industry Growth.5. Overcapacity.


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Threat of new entrants:

Pepsis product differentiation caused by their marketing strategy has limited the threat of new

entrants. Also the heavy startup costs of manufacturing and packaging plants would be a

deterrent. But, the biggest deterrent is brand image and reputation; a new company would be

very hard pressed to take market share away from established players like Pepsi, Coke etc. More

importantly, the access to distribution channels is currently one of the biggest barriers to entry,

and this barrier remains because both Coke and Pepsi maintain very strong relation with their

channel partners.

Bargaining power of buyers:

The level of bargaining power differs among groups of buyers. The bottlers, retailers and

distributors have significantly greater bargaining power than the end consumer does. Large

retailer such as Reliance, Big Bazaar, Subhiksha are able to extract profits from the Company

through incentives such as volume-based purchases, promotions and displays. This is particularly

true for pet bottles. But, this can also be harmful for the retailers and they losing customers if

they refuse to stock a particular brand.

The bargaining power of the consumer is low. They are a fragmented group and no one

individuals purchase accounts for a significant portion of manufacturers profit. Although the presence of substitutes does serve to increase buyer power for consumers, but a high degree of

brand loyalty mitigates this loyalty. In short, we can say that the end consumer has medium

bargaining power.

Bargaining power of suppliers:

There are very few suppliers for the entire soft drink industry. The end product is comprised of

few ingredients, which are largely commodities. In addition, it is safe to assume that Pepsiaccounts for a large percentage of the suppliers total revenues. Thus, it is important for the

suppliers to contain whatever bargaining power they have. The overall bargaining power of the

suppliers is considered low.


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Threat of Substitutes:

There are many substitutes to sweetened carbonated beverages. Specially in India there are

several substitutes that pose a threat to PepsiCo. They are bottled water, juices, energy drinks,

tea, coffee, energy drinks and CSD from its main competitor Coca Cola India. The challenge lies

in increasing brand loyalty within these substitute markets, because the substitute products are,

for the most part, contained with each manufacturers product portfol io. In India the local

beverages like tea and nimbu paani pose a threat to some extent to the established players.

Therefore the threat of substitutes is very high specially because of negligible switching costs.

Existing Rivalry among firms:

There is intense rivalry between Coke and Pepsi. This rivalry leads to a downward pressure on

prices and significant investment in advertising in an attempt to build and maintain brand loyalty.

In a maturing market such as domestic carbonated drinks, the only way to gain market share is to

steal from ones rival. Thus, Coke and Pepsi fight heatedly over prices, suppliers, spokespeople,

retail space and ore importantly, the taste buds of consumers.

To do a complete analysis of the overall environment is not possible due to the huge sample size

of the population therefore before presenting my findings I would like to remind the reader the

limitations or constraints under which the survey was done.


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DATA ANALYSIS FROM RETAILERS &DISTRIBUTORS PERSPECTIVE:

Frequencies

If we see the chart then we find that out of 100% respondent 64% are agree that PepsiCo have

good distribution channel and only 18.67% are strongly agree, the data shows that company

should focus on their distribution channel and try to convert customer in strongly agree

respondent by providing them better services and schemes.

18.67%

64.0%

7.0%

3.67%6.67%

Strongly agree

Agree

Can't Say

Strongly Disagree

Dis Agree

PepsiCo having good distrbution channel


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If we see the chart then we find that out of 100% respondent 41.33% respondent are strongly

agree that distribution channel have an important role in positioning of the product and 38.33%

are agree and rest are disagree, it shows that our objective is fulfilled by this research and we can

say that if we have to promote our product then we should have strong distribution channel.

41.33%

38.33%

18.0%

1.0%

Strongly agree

Agree

Can't Say

Strongly Disagree

Dis Agree

Distribution channel is importent in positioning of product

33%

yes No

ded by the company


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and 54.33 % are agree, it shows that company should thing that how can they maintain better

relationship with every retailers and distributors.

35.33%

48.67%

5.33%

10.67%

ExcellentGood

Bad

Worst

Perception of retailers/distributors towards the pepsiCoDistribution channel


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If we see the chart then we find that out of 100 % respondent only 35.33% are saying that

PepsiCo have excellent distribution channel and 10.67% are saying that PepsiCo have worst

distribution and 48.67 % are saying that PepsiCo have good distribution channel, here area of

concern that how company can make happy those respondent who are thinking that PepsiCo

have worst/bad Distribution channel and how can company develop good distribution channel

and change the perception of retailers and distributors.

If we see the chart then we find that out of 100% respondent, 51.33% respondent are saying that

if they will get better services and scheme then they will switch over to another brand like coke

and only 48.67% are saying that they will not switchover, it show that company should focus

51.33%48.67%

yesNo

"If better scheme is given then replace with coke"


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that how can be provided better schemes and services to the retailers and distributors in result

they will not switchover to another brand.

Time taken by the company to make reach the product at retailers shop * PepsiCo havinggood distribution channel

If we see the table then we find that 18.67 % respondent are strongly agree that PepsiCo good

distribution channel because they are getting product within one day and 35.33% respondent are

agree to say that PepsiCo have good distribution channel if they are getting product within 3

One Day 3 Day One Week One Month

Time taken by the company to make reachthe product at retailers shop

0

20

40

60

80

100

120

C o

u n

t

18.67%

27.33%

35.33%

1.33%0.67%

6.0%

0.33%0.67% 1.0%

5.0%

1.0%

PepsiCo havinggood distrbution

channel

Strongly agree

Agree

Can't SayStrongly Disagree

Dis Agree

Bar Chart


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days,it shows that companys distribution is depends on time that how quick company is

providing product at door of the retailers/distributors

Brand preferred by the respondent * demanded brand Available in the Market

If we see the graph then we find that coke brand is more easily available than Pepsi it means

there is some fault in distribution channel and company should find that and make available their

brand at every retailers shop

PepsiCo Coke Others

Brand prefered by the respondent

0

5

10

15

20

25

30

C o u n

t

23.0% 22.0%

10.0%

29.0%

13.0%

3.0%

Demanded brand Available in the

Market

yesNo

Bar Chart


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DATA ANALYSIS FROM CONSUMERS PERSPECTIVE:

Frequencies:

If we see the chart then we find that out of 100%respondent, only 55% respondent are agree to

say whatever brand they demanded they are easily get that but 45% respondent are saying that

they are not getting the demanded brand, it is major concern that why these respondent are not

able to get their demanded brand.

55.0%

45.0%

yesNo

Demanded brand Available in the Market


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SWOT ANALYSIS

In order to get clear understanding of the position of Diet Pepsi in the various markets we did a

SWOT analysis from the data obtained from the survey and the various retailer interviews

STRENGTHS:

PACKAGING AND PRICING Pepsi has the advantage of having provided the same kind of

health based carbonated drink the Slim Diet Pepsi Can which in comparison to the Diet coke is a

much more attractive offering because it is slim sleek equally healthy and way cheaper.

DISTRIBUTION As already mentioned Pepsi India has one strongest and most efficient sales

and distribution networks not only in India but also throughout the globe. Also in the particular

market where the survey was done the sales people have developed a network which is powerful

enough to make or break sales for Pepsi in any given quarter

P R One of the most important factors of success of PepsiCo in India is the relationship the

company and its constituents have with the channel partners. The Company officials and even

the employees of FOBO have very good rapport and relations with the Channel partners. Also

the recently introduced retailer benefit schemes such as the gold card membership and other free

gifts and offerings not only motivate the retailers but also helped us create visibility for the Slim

Diet Can range in a profound.

NON-CARBONATED This is one those strengths of Pepsi that often goes unnoticed but plays

a very important role in success of Pepsi in India and even around the globe. The non-carbonated

segment is dominated by Pepsi, Tropicana is the market leader in fruit juices. In the mineral

water segment, Aquafina clearly outsells Kinley without ay fuss.

Bottling Pepsi has the advantage of being in partnership with the largest bottler in India, the R

K Jaipuria Group. RKJ Group controls almost 65% of the bottling operations of PepsiCo in


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India. At times this is also seen as a weakness of Pepsi in India attributing to the fact that the

Jaipuria group is so strong that in certain circumstances it can even defy the parent Company.

WEAKNESS :

SECOND MOVER DISADVANTAGE - Diet Pepsi Cola does have the first mover advantage

which Diet Coke has and this may prove to be a major shortcoming also in the Agra Market no

Extensive efforts have been made to popularize it.

BRAND On a comparative scale Diet Coke proves to have a better brand image in customers

mind than. This compels to incur extra expenditure in Advertising, Promotions and Sponsorship.

MCDONALDS This is one of the most important reason why Diet Coke outsells Pepsi

worldwide and specially in the United States. Similarly, in India Diet Pepsi may suffers in sales

because of institutional sales. Now Pepsi is trying very to bridge this gap in the near future.

EXPENDITURE Right from the very beginning Pepsi has hired the biggest and the most

expensive stars in the country as its brand ambassadors and has spend heavily on advertising

which has affected its balance sheet.

Vizicoolers At presently this is one the biggest problems faced by Pepsi. Pepsi is not able to

get refrigerators in India so they have to import it other namely Sri Lanka, Mauritius etc.

Because of this, retailers are facing lot of problems in vigicoolers. They are not able to get new

refrigerators, replacements for old ones, even the repair work takes lot of time because at times

even the spares are not available on time.


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OPPORTUNITIES :

Lowest Per Capita Consumption Even after almost decades of presence in the market, there

are growth opportunities for Diet Pepsi in India as here the per capita consumption of carbonated

beverages is one of the lowest in the world.

Health Based: apart from its Juice Based drinks portfolio Pepsi can Use the Slim Diet can to the

maximum by promoting it as a health drink at Cheaper prices.

THREATS :

NGOs NGOs like CSE can seriously hamper the sales and prospects of companies operating

in this industry. This happened during the pesticide controversy involving both coke and Pepsi.

HEALTH Growing health awareness among people and some of ill effects of carbonated

beverages have pursued many people to switch over to non-carbonated beverages that can

seriously hamper the long-term prospects of the entire Industry and not Pepsi.

ENVIRONMENT Environmental concerns are often raised because of the massive amount ofwater extracted by the bottling plants resulting in the drop in groundwater level which affects the

local population adversely.

In India PepsiCo adopted the strategy of growth through intensification. In the intensification

strategy, it used market penetration by developing one of the strongest sales and distribution

network in the world and utilizing it to the fullest.


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OBSERVATION

Collection of order from each and every outlet is not taking place.

.

I have observed that all outlets are displaying all the brands in display rack.

I have seen that in every outlet visi- cooler is present in prime location.

Distributors visiting outlets in regular basis.

Distributors are taking feedback and writing their complains in a complaint diary periodically

.

I have observed almost all outlets are working in a better condition.

Market Developer (M.D) is taking care of providing Visi coolers to retailers who are

eligible according to the terms and conditions.

Market Developer (M.D) is checking out the sales of the retailors and he advices

some tips to those retailors whose sales are not up to the mark.

Customers prefer the taste of Thumbs Up more than the PepsiCo s product.


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FINDINGS

Nearly 90% of retailors are feel that PepsiCo is having good distribution strategy.

Majority of retailors agree that role of distribution channel in positioning is high.

Majority of retailors are satisfied with the lead time.

PepsiCo is providing visi coolers to its retailors

PepsiCo is having good relationship with its retailors.

Retailors have a very good perception towards distribution channel of PepsiCo.

Nearly 45% of retailors are going to shift to Coke if chance is given to replace..

There is a communication gap between the retailers and the company.

Distributers are not satisfied with the benefits like margins, product availability and credit

facility..

Retailers are not happy with the MDC (Marketing Development Coordinator) of PepsiCo.

Visi cooler have an important role in enhancing the distribution channel and policy.

Time concern is very important in good distribution channel, it means providing product

at retailers door within a time.

Company should provide better facility of logistics because without logistics no company

can maintain good distribution strategies.


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RECOMMENDATION

This is one of the most important and most difficult part of the study. I arrived at certain

recommendations for PepsiCo India after the analysis of the data. Some of the important

recommendations are as follows

There should be correct feedback from the retailers on the performance of salesmen. This

will help to improve their efficiency and accountability. Moreover, this will also help in

reducing the confusion that the retailers have at times because the salesman does not

explain the schemes properly.

Visi coolers are a major reason of dissatisfaction among some retailers. The periodical

maintenance check of Visi coolers is done at three months. This should be done at an

interval of 45 days or 60 days instead of the current practice of 90 days.

Company should adopt aggressive marketing strategy that it could reach each and every

place.

Company should have better logistics facility for making reach the product at retailersdoor at a right time.

Marketing Development Coordinators/ Marketing Executives/ Sales Executives of the

company must focus more for making better relationship with retailers.

Company should provide visi cooler to every retailer. Because who is having visi cooler

of which company they are promoting the same brand to the consumer.

Company should more focus on youth of the country because youths more prefer the softdrinks.

Company should focus on the consumers taste and preferences and launch new product

according to the consumer taste and need.


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CONCLUSION

After analyzing all the aspects of the data available and giving some important recommendations

a suitable conclusion which should be derived for this study. However, before starting the

conclusion part, the objective of the research must be kept in mind so that we can arrive at a

befitting conclusion for the research problem.

The primary objective of this research was to know distribution channel Effectiveness of

PepsiCo and to know the importance of Distribution channel strategy in Positioning of the

product .

The data collected provided a sound base for understanding the overall organizational set up of

PepsiCo in India. By analyzing the data and the literature review, following conclusion was

inferred:

The Sales and Distribution Network of Pepsi is very strong.

PepsiCo India had the first mover advantage when it entered the market and it capitalized

on that advantage to grab the market.

Franchisee based operations combined with the Companys operations add strength to the

overall presence of the Company in the market.

Franchisee takes care of its operations and PepsiCo does not interfere in its operations.

The Franchisees are required to report to the Company at specific time intervals.

The Advertising Campaigns are conceived, implemented by the PepsiCo and Franchisee

has no say in that.

It is very important to develop good relationship with the retailers by providing them

better services and schemes. Maintaining the good relationship with the distributors are very important for the

company because they are the main part of the distribution channel.


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BIBLIOGRAPHY

PEPSICO INTERNATIONAL OFFICIAL WEBSITE,

PEPSICO INDIA WEBSITE.

PEPSICO INTERNATIONAL INTERNAL REPORT.

www.google.com .

www.pepsicoindia.com .

www.wikipedia.com .

MAGAZINES - BUSINESS WORLD MANAGEMENT & ECONOMIC TIMES.
http://www.google.com/http://www.google.com/http://www.pepsicoindia.com/http://www.pepsicoindia.com/http://www.wikipedia.com/http://www.wikipedia.com/http://www.wikipedia.com/http://www.pepsicoindia.com/http://www.google.com/


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QUESTIONNAIRE:

Name of Retailer/Distributors _______________________

Address __________________________________

Phone no ___________________________________

1. PepsiCo have good distributions channel?

a. Strongly agree b. Agree c. Cant say d. strongly disagree e. Disagree

2. Distribution channel has an important role in positioning of the product?


3. How much time, Company takes to make reach the product at retailer shop?

a. One day b. 3 day c. One week d. One month.

4. You are having logistics facility of company or own?

a. own b. Company

5. Are you being provided the visi coolers by the company?

a. yes b. no

6. PepsiCo has good relationship with the distributors/retailers?


7. Perception of retailers/distributors towards the PepsiCos Dis tribution Channel?

a. Excellent b. good c. bad d. worst

8. Are you happy with services provided by the distributors/PepsiCo?


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a. yes b. no

9. Is there any govt. interference?

a. yes b. no

10. Are you satisfied with distribution policy of the PepsiCo? If chance given to youreplace with coke

a. Yes b. no

11. Ever missed your order? If yes then what may be main reason ?

a. Wrong order b. sudden change in weather c. change in schemes

12. How frequently Executive comes to take orders?

a. Daily b. After 1-2 days c. once in a week

13.Accuracy of order fills?

a.100% b. 100- 80% c.50-80% d. below 50%

Documents

Final Pepsi Report