Marketing Objectives

The marketing objectives include:

1) To enable a company to control its marketing plan.

2) To help to motivate individuals and teams to reach a common goal.

3) To provide an agreed, consistent focus for all functions of an organization. 1.

The other objectives include:

1. Market Share Objectives:

To gain 61% of the market for soft drinks industry by 2012.

2. Profitability Objectives:

To achieve a 20% return on capital employed.

3. Promotional Objectives

To increase awareness of the product on the market.

4. Objectives for Survival

To survive the current market war between competitors.

5. Objectives for Growth

To increase the size of the worldwide Coca Cola enterprise by 10% .

Marketing strategies and marketing mix

Marketing mix:

Marketing mix includes:

Product

The Coca-Cola Company's products include beverage concentrates and syrups.

The business has over 300 brands of beverages around the world with the main ones being Coke, Fanta, Sprite, Fruitopia 100% Fruit Juice, and PowerAde.

The Coca-Cola Company packages its beverages into plastic bottles of sizes 2.25 liters, 1.50 liters, 500ML and 300ML. These are also available in aluminum cans of 375ML.

Coca-Cola is the most well-known trademark, recognized by 94 per cent of the world's population. The business is very successful and holds a very good reputation.

Marketing strategies for product

The Coca-Cola Company uses marketing strategies to differentiate its product from its competitors to gain a competitive advantage. These are listed in the table below.

Extension/product differentiation In 2002,

The Coca-Cola Company extended the products of Coke and developed the new products Coke with lemon and Vanilla Coke. This extension:·Responded to consumer demands, generated sales and profit.

Innovation In 2001,

Coca-Cola had innovated and developed the introduction of purchasing the company's products from vending machines via SMS messaging. In 2002, the company innovated and came up with a new packaging idea, the Fridge Pack. The Fridge Pack consists of cans packed 2-by-6. This innovation has:·Increased consumer awareness and preference. Increased rate of consumption and profitability.

Price The prices of Coca-Cola's products vary according to the size. The prices of the main products are shown below.

Product Size Prices

Coke, Fanta,

Sprite Coke,

Soft drinks PowerAde

2.25L bottle Rs.110

1.50L bottle Rs.90

500mL bottle Rs.45

300mL bottle Rs.35

Pricing Strategies:

1. Competition-based pricing:

Coca-Cola products are usually priced below, above or equal to its competitors' prices. For example,

2. Discount-based pricing:

Coca-Cola products prices are often marked down during sale periods and special occasions. This will generate sales Increase profits

3. Meet-the-competition pricing:

The Coca-Cola products pricing are set around the same level as its competitors.

4. Psychological pricing:

The Coca-Cola products pricing are set below the level as its competitors Most of the Coca-Cola products use this method of pricing. This pricing strategy makes consumers perceive the products to be cheaper.

Place and Distribution:

The place P of the marketing mix refers to distribution of the product- the ways of getting the product to the market. The distribution of products starts with the producer and ends with the consumer.

One key element of the “Place/Distribution” aspect is the respective distribution channels that Coca Cola has elected to transport and sells its product.

Selecting the most appropriate distribution channel is important, as the choice will determine sales levels and costs. The choice for a distribution channel for Coca Cola depends on numerous factors, these include:

• How far away the customers are;

• The type of product being transported;

• The lead times required; and;

• The costs associated with transport;

Distribution Strategies

There are four types of distribution strategies that Coca Cola could have chosen from, these are:

1. Intensive,

2. Selective,

3. Exclusive and

4. Direct distribution.

Promotion:

In today’s competitive environment, having the right product at the right place in the right place at the right time may still not be enough to be successful. Effective communication with the target market is essential for the success of the product and business. Promotion is the p of the marketing mix designed to inform the market place.

The promotional mix is the combination of personal selling, advertising, sales promotion and public relations that it uses in its marketing plan. Above the line promotions refers to mainstream media: Advertising through common media such as television, radio, transport, and billboards and in newspapers and magazines. Coca Cola has used this as the main form of promotion for extensive range of products. Although advertising is usually very expensive, it is the most effective way of reminding and exposing potential customers to Coca Cola Products.

BCG Growth Matrix AnalysisBCG matrix relies on 2 dimensions, market growth and market share. Placing appropriate products in the BCG matrix, results in 4 categories, in the business portfolio of an industry. The four categories include the

Stars Cash Cows Dogs Question Marks

. QUESTION MARKS: Most businesses start of as question marks. They will absorb great amounts of cash if the market share remains unchanged Question marks have potential to become star and eventually cash cow but can also become a

dog. Investments should be high for question marks. The question marked products of Coca-Cola are

Fanta, sprite

STARS:HIGH GROWTH, HIGH MARKET SHARE

Stars are leaders in business. They require heavy investment to maintain its large market share.

It leads to a large amount of cash consumption and cash generation. Attempts should be made to hold the market share otherwise the star will become a cash cow. The star products of Coca-Cola are

Thumbs up, Maaza, Kinley CASH COWS:LOW GROWTH, HIGH MARKET SHARE

They are foundation of the company and often the stars of yesterday. They generate more cash than required. They extract the profits by investing as little cash as possible. They are located in an industry that is mature, not growing or declining. The products which are Cash cows are

Limca, Coca Cola

 DOGS:LOW GROWTH, LOW MARKET SHARE

Dogs are the cash traps. Dogs do not have potential to bring in much cash. Business is situated at a declining stage. The products which are at Dogs are

Diet Coke, Minute maid

Conclusion Star Strategy:Invest profits for future growth and for earning more of market share and profits Cash Cow Strategy:Use profits to finance new products and growth elsewhere.

Question Mark Strategy:Either invest heavily in order to push the products to star status, or divest in order to avoid it becoming a Dog.

Dog Strategy:Either invest to earn market share or consider disinvesting.

Target Market

The company's beverages are generally for all consumers. However, there are some brands, which target specific consumers.

For example, Coca-Cola's diet soft drinks are targeted at consumers who are older in age, between the years of 25 and 39. PowerAde sports water target those who are fit, healthy and do sport. Winnie the Pooh sipper cap Juice Drink target children between the ages 5-12.

This type of market approach refers to market segmentation

Market Share:Being the biggest company in the soft drink industry, Coca Cola enjoys the largest market Share. This company controls about 59% of the world market.

Market Survey:Marketing survey includes following responses from respondents:

1. Gender Of The Consumer?

51%49% male

female

2. AGE GROUP OF THE CONSUMER?

34%

28%

22%

13%3%

BELOW 15

16-25

26-35

36-45

46 & ABOVE

3. OCCUPATION OF THE CONSUMER?

13%

9%

26%

49%

3%

PROFESSIONAL

BUSINESSMAN

SERVICE MAN

STUDENTS

ANY OTHER

4. NUMBER OF PEOPLE PURCHASE COLD DRINKS ?

REASON TO PURCHASE COALA DRINKS?

25%

20%

20%

15%

11%

8% 1%

TASTE

BRAND NAME

PACKAGING

PRICE

BRANDAMBASSADOR

EASYAVIALABILITY

ANY OTHER

PEOPLE HAVE SEEN THE ADVERTISEMENT OF COLD DRINKS

98%

2%

yesno

97%

3%

yes

ADVERTISEMENT PEOPLE REMEMBER THE MOST?

23%

23%

11%6%

4%

10%

23%COKE

PEPSI

7 UP

SPRITE

FANTA

MAZZA

THUMSUP

REASON TO REMEMBER THE ADVERTISEMENT?

24%

25%

11%

25%

15%

CREATIVITY

BRANDAMBASSADOR

IDEA OFDELIVERING THEMESSAGE

FREQUENCY OFADD

LOGICALREASON

98%

2%

yesno

QUESTIONNAIRE

1.NAME: …………………GENDER: MALE FEMALE

OCCUPATION: Professional Businessman Service Student Other

2. AGE: 15-20 21-35 36-45 46-55 55 AND ABOVE 3. DO you drink coca cola? Yes No

4. About Cola drink what do you like the most?(PLEASE RATE THEM from 1-6) Brand Name Taste Easy Availability Packaging Price Brand Ambassador Any Other (Please Specify)

6. Have you seen any advertisement of ANY Cola drinks? Yes No

7. Advertisement of which Cola drinks do you remembers the most?

Coke Pepsi 7up Sprite Fanta Mazza Thumsup

8. What attracted you in the advertisement?( PLEASE RATE THEM from 1-3)Creativity Brand Ambassador Idea Frequency Of Add Logical Reason

9. Have you decided to purchase any connection after watching the advertisement? Yes No