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Marketing Presentation on Coca Cola
1. Marketing Plan
Presented By:
Aditya Kale
Aniruddha Patil
Gourav Kapoor
Narendra Kashikar
Siddhartha Kamat
2. Contents:
i. Brief Introduction of Marketing Plan
i. Objectives of Marketing Plan
ii. Brief Introduction of the Company
iii. Executive Summary
iv. Current Market Situation
v. Objectives of the Company
vi. SWOT Analysis
vii. Marketing Strategies
viii. Marketing Segmentation
ix. Budgets
x. Issues and Initiatives in India
xi. References
xii. Advertisement Clips
3. Introduction of Marketing Plan
•A part of business plan
•Most marketing plans cover one year
•General to specific : Vision to mission & then
down to the individual action plans
•The most important output of marketing process.
4. Objectives of Marketing Plan
•To set realistic & unambiguous goals.
•To develop an action plan for achieving these
goals.
•To align the marketing activities with corporate
mission.
•To respond to rapidly changing market conditions.
•To quantify the outcome of each activity.
5. Introduction of the Company
•Founded in 1892 after the formula was invented by
Pharmacist John S. Pemberton
•Headquartered at Atlanta, Georgia-USA
•Currently offers more than 500 brands in over 200 countries
•Provides 1.7 billion servings a day
•Of this Coca Cola(Coke) accounts for nearly 78%
•Sales distributed as follows: 42%(USA), 38%(Mexico, India,
Brazil, Japan and China), 20%(Rest of the World)
•Financial Details : Revenue US$ 35.119 billion
Operating income US$ 8.449 billion
Net income US$ 11.809 billion
Total assets US$ 72.921 billion
Total equity US$ 31.317 billion
•Employees: 1,39,600
6. Executive Summary
•Doubling the revenues by 2020
•Making a positive difference in the communities
•Project the company as a responsible corporate citizen
a) Sustainable water use & packaging
b) Climate protection
•Lift the corporate brand image
•Connect with global middle class by creating new products
and packaging formats for all lifestyles and occasions.
7. Fun Fact 1:3.1% of all beverages consumed
around the world are Coca-Cola products
Of the 55 billion servings of all kinds of beverages drunk each
day (other than water), 1.7 billion are Coca-Cola
8. Objectives of the Company
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 for 2020 Sustainable Growth:
•PROFIT: Maximizing return to shareowners while being
mindful of our 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
9.
10. Current Market Situation in India
•The carbonated drinks market is close to Rs 6,000 crore
($1.36 billion) with growth at 10-12 per cent
•The fruit juices and fruit-based drinks market is close to Rs
5,000 crore ($1.13 billion), growing at 35-40 per cent annually.
•Within the hot beverages category, India is the largest
producer of tea and accounts for 28 per cent of the global
production at 956 million kilograms annually.
•The total turnover of the tea industry is over Rs 8,000 crore ($
1.8 billion), growing at a rate of 1.2 per cent annually.
•India is the world’s 5th largest producer of coffee, accounting
for 4 per cent of the world’s production.
•In India, Coca Cola and Pepsi hold a market share of 95% of
which coca cola has 60.8% the rest belongs to Pepsi.
Main Indian Competitors:
Pepsi Co.-Pepsi, Slice, Dew, Mirinda, Tropicana Juice, Lipton
Tea
Nestlé-Nestea and other Milk Related Products.
Dabur-Real Fruit juice
11. Products To Offer in Current Market Situation
Aerated Drinks
Coca Cola
Diet Coke
Sprite
Thums up
Maaza
Limca
Kinley Soda
Juices Minute Maid
Iced Tea Nestea
Water Kinley Water
Tonic Water Schwepps
Energy Drink Burn
Canned Coffee Georgia
12. Fun Fact 2:Coke makes so many different
beverages that if you drank one per day, it would
take you over 9 years to try them all.
Coca-Cola has a product portfolio of more than 3,500
beverages (and 500 brands), spanning from sodas to energy
drinks to soya-based drinks
13. Fun Fact 3:Coca-Cola's $35.1 billion in
revenue makes it the 84th largest economy in the
world, just ahead of Costa Rica
14. Fun Fact 4:The Coca-Cola brand is worth an
estimated $74 billion: more than Budweiser,
Pepsi, Starbucks and Red Bull combined
15. Fun Fact 5: If every drop of Coke ever produced
were put in 8-ounce bottles and laid end-to-end,
they would reach the moon and back over 2,000
times
16. Fun Fact 6:If you stacked up Coke's 2.8 million
vending machines, they would take up 150.2
million cubic feet of space -- the size of 4 Empire
State Buildings
17. SWOT Analysis of Company
Strengths:
•Strong Brand Name
•Corporate Identity
•Global Distribution
•Advertisement
•Innovation
•Local Approach
•Strong R&D
•Backward Integration
•“Thanda Matlab Coca Cola”
•Brand Loyalty
•Financial Stability
18. Fun Fact 8:Around the world, the average
person consumes a Coke product every four days
19. SWOT Analysis of Company
Weaknesses:
•Not No 1 In India
•Market Share
•Under Utilization Of Capacity
•Sales In India
•Pesticide Controversy
20. SWOT Analysis of Company
Opportunities:
•Developing A Global Brand
•Coca Cola’s Bottling System
•Sufficient Capital
•Has A Potential
•Expansion Into New Market
•Possible Growing Demand
•Merge
21. SWOT Analysis of Company
Threats:
•Competition Pepsi
•Substituted
•Not Necessarily Married
•Pesticide Matter
•Change Of Taste
22. Marketing Strategy
Marketing Mix:
Product: •Product Line
•Quality
•Brand Name
•Logo
•Packaging
23. Fun Fact 7:The red and white Coca-Cola logo is
recognized by 94% of the world's population
27. Implementation-Brand Localization
Strategy
India A(4%):“Life Ho To Aisi”
•This segment sought social bonding as a need and responded
to inspirational messages, celebrating the benefits of their
increasing social and economic freedoms.
•
India B(96%):“Thanda Matlab Coca-Cola”
•Use of Idiomatic expressions and Local language
•Accessibility Campaign
•Distribution Infrastructure: Retail Outlets Doubled in 2 yrs.
(From 80,000 to 160,000)
•Doubled the Market Penetration in rural areas (13%
to 26%)
•Campaign of the Year(2003), Advertiser of the Year(2003)
28. Fun Fact 9:Coca-Cola spends more money on
advertising than Microsoft and Apple combined
Coca-Cola advertising budget (2010): $2.9 billion
Microsoft advertising budget (2010): $1.6 billion
Apple advertising budget (2010): $691 million
29. Implementation through Advertising:
Brand Ambassadors:
Coca Cola: Imran Khan(Endorsement Fee:3.35 cr)
Aamir Khan(Endorsement Fee:10 cr)
Virendar Sehwag
Thums up-Akshay Kumar(Endorsement Fee: 5 cr)
Fanta-Genelia D’souza (Fee: 1.13 cr)
Sprite-Shahrukh Khan
Sponsorships:
First Commercial Sponsor of Olympic Games in 1928
Fifa World Cup(Since 1978)
Major League Baseball, NBA, NHL.
1996 Cricket World Cup
IPL: Delhi Daredevils
English Football League(Coca Cola Championship, League 1, 2)
30. Implementation through Advertising:
Mass Media:
Hollywood Movies : Borat, Click, Failure to Launch, Glory
Road, Gridiron Gang, Hostel, Mission: Impossible III, Silent Hill,
The Covenant, The Departed
Bollywood Movies: Kaho Naa Pyar Hai, Rang De Basanti,
Taal, Shree 420, Kuch Naa Kaho, Bobby.
Campaigns & Collaborations:
• Domino’s
• Coke Studio with MTV
• Diwali Campaign: “Come Home on Deepawali”
• “Brrrrrr” Campaign
31. Budgets
Coca Cola has an global annual advertising budget of
$1.6 billion a year.
2011-12 Q1 Highlights(Coca Cola India):
Total Sales:$356.9 million
Operating Income:$19.2million
Net Profits:$6.4million
Earning per Share:$1.69
Current Trading Price:$63.70
Return on Equity:30.9%
Return on Assets:15.1%
Return on Invested Capital:25.1%
Gross Profit Margin:68.4%
32. Issues and Initiatives in India
•Groundwater Depletion
– The Issue: Several droughts in a number of villages in
Kerala and Uttar Pradesh where the plants operated
were linked as a possible cause due to the large usage
of water for production.
– The Initiatives:
• Reduce
• Recycle
• Replenish
– The Results:
• Water usage ratio reduced by more than 25% from
2004-2009
• Waste water treated to a level to support aquatic life
• Rainwater harvesting potential equal to 93% of ground
water used.
33. Issues and Initiatives in India
•The Pesticide Controversy:
– The Issue: in 2006, CSE established that Coke had 25 times the
pesticide residue than found in 2003 which posed health risks, which
also resulted in a 11% drop in sales.
– The Initiative via Advertisements.