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Distribution System of Pepsi: "Selling Is About Sweating It Out in The Market"

The document discusses PepsiCo's distribution structure in Goa, India. It outlines that PepsiCo is the local manufacturer that sells to distributors, who then sell to retailers. Retailers sell to local shoppers and consumers. The distribution structure includes glass bottles, PET bottles, and cans. It also discusses PepsiCo's product mix, pricing, transportation methods, distributor selection criteria, and competitive analysis. The document aims to study PepsiCo retailers' display effectiveness, most popular brand, and satisfaction levels through a survey of 25 retailers in South Goa. It finds that most sales occur in eateries and convenience stores, retailers sell 1-2 crates daily, and retailers are mostly satisfied with Pep

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Shresth Bhatia
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130 views17 pages

Distribution System of Pepsi: "Selling Is About Sweating It Out in The Market"

The document discusses PepsiCo's distribution structure in Goa, India. It outlines that PepsiCo is the local manufacturer that sells to distributors, who then sell to retailers. Retailers sell to local shoppers and consumers. The distribution structure includes glass bottles, PET bottles, and cans. It also discusses PepsiCo's product mix, pricing, transportation methods, distributor selection criteria, and competitive analysis. The document aims to study PepsiCo retailers' display effectiveness, most popular brand, and satisfaction levels through a survey of 25 retailers in South Goa. It finds that most sales occur in eateries and convenience stores, retailers sell 1-2 crates daily, and retailers are mostly satisfied with Pep

Uploaded by

Shresth Bhatia
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
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Distribution System of Pepsi

“Selling is about Sweating it out in the Market”

2018007 Ankit Awate


2018040 Rohan Thakur
2018099 Priyanka Bist
2018143 Diksha Haladkar
2018176 Sanya Gulati
2018206 Chaitanya Phanse
Distribution Structure of PepsiCo (Goa only)
Local
manufacturer -
Pepsi

Distributor

Spokesperson Drop Point

Retailers Local Shopper Retailers

Retailer
Distribution Structure of PepsiCo (Goa only)

Local Primary Secondary


Tertiary
manufacturer Distributor Retailer E-Commerce/ Consumer
(SAP) SAMNA App
- Pepsi Nielsen
Product Mix
MRPs
SKUs OF
 Glass Bottle – Rs 15 and Rs 18 PEPSICO
 PET Bottle – Rs 20, Rs 40 and Rs 85
 Cans – Rs 30
Glass Bottles PET Bottles Cans

 Glass bottles
• 2 SKUs – 200 ml and 300 ml
• Retailers receive a return of Rs. 14 on 200 bottles
• 70% share is soda and 30% is CSDs Products
• 60% aggregate share in the Goan market • Pepsi
 PET bottles • 7 Up
• 2 SKU’s – 2 L, 750 ml and 250 ml • Mountain Dew
• Margin ranging from Rs. 25 to Rs. 30 on a dozen • Diet Pepsi
for the retailers • Mirinda
 Cans - very little share in the market • Starbucks (Ready to Drink Beverages)
Transportation
Criteria of Selection of Distributors
1. Financial position of Distributor
2. Reputation/Relationship of distributor in market
3. Past track record
4. Infrastructure Requirement
5. Investment capability
6. Distributor’s own involvement in Market
7. Retailers’ testimonials
8. Same goals and values
9. Management capability of distributor
Competitive Analysis
Objectives & Scope
Objective of Study
• Know the company's position in the soft drink market
• To study survey of PepsiCo retailers on display effectiveness
• To find out the most popular brand of PepsiCo
• To find out the satisfaction level of retailers

Scope of the study


• The Study focusses on retailers display pattern the way they merchandise Pepsi, to sell it to the customers
• The overall impact of PepsiCo policy towards retailers
• Its attempt to assess the popularity of execution of Pepsi between consumers and retailers

Sampling Method
• Sampling unit: Individual Retailer
• Sample Size: 25 Retailers
• Sampling Plan: Questionnaire and personal interview
• Coverage: South Goa
• Duration: 2 Months
Data Analysis - Types of Outlet
Types of Outlet Total no. of Percentage
respondents
Convenience 8 37
Grocery 5 19
Eatery 12 44
Total 25 100
The shortage of Pepsi in season
Shortage in season Total no. of Percentage
respondents
0 Times 17 72
1 Times 3 10
2 Times 4 14
More than 2 times 1 4
Total 25 100
Which types of schemes provided attract you ?
Scheme type Total no. of respondents Percentage
Free bottles on crate 12 53
Monopoly Discount 2 6
Brand display scheme 3 8
Target based benefit 8 33
Total 25 100
Daily Sales
No. of crate sold per day Total no. of respondents Percentage
1 to 2 14 58
2 to 4 8 31
4 to 6 2 8
More than 6 1 3
Total 25 100
Satisfaction of product level
Satisfaction of Total no. of Percentage
product level respondents

Fully Satisfied 16 65
Partial Satisfied 8 33
Not at all 1 2
Total 25 100
The Type Of Visi Cooler
Visi Cooler you have Total no. of respondents Percentage

Pepsi 7 30

Coke 7 30

Both 11 40
Findings
 Most of its products sells through eatery and convenience shop
 Many of the retailers in Goa city are having Visi Cooler provided by PepsiCo
 The performance level of Visi Cooler is excellent
 Majority of the retailers sell about 1-2 crates per day
 25% retailer display 2 to 4 crates in their outlet & 30% retailers doesn’t display any crate
 PepsiCo try to solve any problem within 1 to 2 days
 Retailer do not face shortage of any of the product
 Products delivered quickly
 Free bottles on crates and brand display schemes are most sought scheme
 Behavior of PepsiCo executives are co-operative and friendly
 Satisfied with the execution of pre sales representative (PSR)
 The sales are high during April to June
 PepsiCo should take crucial step so that the Visi Cooler is not filled with local brand or competitors
Limitation of the Study

 A sample size 25 respondents was too small for it


 Small scale study - possibility of errors, which cannot be ruled out
 Small time span - few months
 Area of collection was specified
 It was extremely difficult to persuade retailer to respond to the questions
Thank You

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