Submitted To - Academic Partner - Myanmar Entrepreneur SMEs Institute (MESI) Association of Business Executive (ABE UK) Diploma Program Management (EDBAM) Executive Diploma in Business Administration and Subject Name Sales and Marketing Management - Given Date: - 24.10.2020 Submission Deadline - 7.11.2020 Submitted Date 6.11.2020 - Submitted By - Mr. Htet Aung Khine Batch Name - EDBAM ,Batch-3 (Myanmar Group) Number of Pages - 11Pages Prepared By - Font (Times New Roman),Size(12),line Space 1.5 1 TABLE OF CONTENTS INTRODUCTION 3 Target Market of Coca Cola 3 Marketing Mix Strategies (8ps) 4 Product 4 Place 5 Price 5 Promotions 6 People 6 Processes 7 Physical Evidence 7 Planet 7 Sales Promotion and Personal Selling 8 Personal Selling and Sales Management 8 7Steps in the selling process 9 Conclusion 10 References 11 2 INTRODUCTION Sales and Marketing are two business functions within an organization – they both impact lead generation and revenue. The term “Sales” refers to all activities that lead to the selling of goods and services. And “Marketing” is the process of getting people interested in the goals and services being sold. Coca Cola is one of the two leading brands in the soda industry and the largest brand of nonalcoholic beverages of Coca Cola spans more than 200 industries. The company has a large product portfolio of sparkling and skill beverages. The soda industry has felt the pinch of economic slowdown and post-recession currency fluctuations have affected the profits of leading soda brands. The popularity of soda drinks has also reduced due to the growing popularity of soda drinks has also reduced due to the growing popularity of health drinks and other health trends. Apart from the large market share, Coca Cola is known for its strong brand image and high customer loyalty ear in marketing and promotion for growing brand recognition and customer engagement. In recent years, it has focused on optimizing its product mix to carter to the changing taste of consumer worldwide. Target Market of Coca Cola The target market of Coca Cola lies mainly in the 15-35 age group. While Coca Cola products are popular among middle-aged customers also, the core customer segment of the brand is the teenagers and youth mainly. It enjoys strong popularity among both male and female consumers. Due to being affordable, the Coca Cola products are not targeted at a specific class of consumers. However it is mainly the modern, young, and fun-loving youth that from the target market of Coca Cola. The soft drink brand has selected to position itself as a brand that stands for youth, freedom, and happiness. Coca Cola targets both individual customers and families. Its ads target the youth as well as families. Celebrations and parties are mostly a central attraction in the ads of Coca Cola. 3 Marketing Mix Strategies (8ps) The product marketing mix comprises the 4ps of product price, place & promotion. The Services marketing mix comprises the 4ps of physical evidance, process ,people & planet. Product: 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 nocalorie 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 flavored soft drink introduced in 1961. Fanta: The second oldest brand from Coca Cola, introduced in 1940, comes in orange flavor. 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 milliondollar 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. Ciel: 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. 4 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. Place: Coca Cola has an extensive beverage distribution system. Its products are sold in more than 200 countries across 6 operating regions including Europe, Latin America, North America, Pacific, Eurasia & Africa. Coca Cola sells an average of 1.9 billion servings each day. Traditionally, the company has relied on its bottling partners for the packaging and distribution of its products. As Coca Cola notes, “While many view our Company as simply “Coca-Cola,” our system operates through multiple local channels. Our Company manufactures and sells concentrates, beverage bases and syrups to bottling operations, owns the brands and is responsible for consumer brand marketing initiatives. Our bottling partners manufacture, package, merchandise and distribute the final branded beverages to our customers and vending partners, who then sell our products to consumers” (Coca-Cola company). Its bottling partners work closely with customers including grocery stores, restaurants, street vendors, convenience stores, movie theatres, and amusement parks, among many others. Together they execute localized strategies of Coca Cola company. These customers sell coca-cola products to the final customers. Price: Pepsi is the arch-rival of Coca Cola and the closest competitor in the beverages segment. Both brands price their products competitively. Prices are not too high to go beyond the average customers’ reach and nor too low to give an impression of low quality. Coca Cola’s pricing strategy is aimed at driving brand loyalty. Moreover, due to the decreasing demand for soda products, price competition between Coca Cola and Pepsi has gotten even intense. The prices lower as the size of 5 the package grows bigger. Bulk buyers of the product may have to pay significantly lower prices than ones buying single Coca Cola products. Promotion: 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. People Coca Cola is also a large employer that focuses on strategic human resources management to help its employees find career growth and job satisfaction. In 2019, the total number of employees working in the Coca Cola system grew to 86,200 of which 10,100 were working in the United States. employees are a source of competitive advantage in the 21st century. Therefore, companies like Coca Cola have implemented human resource management strategies that enable employee empowerment and maximize job satisfaction. The company has also established a system of rewards and recognition that work to drive employee retention higher. Processes: 6 The Coca Cola system includes the Coca Cola company and its around 225 bottling partners. The international business operations of the company are supported by these bottling partners as well as a large distribution network. The Coca Cola company sells concentrates and syrups that it produces in its concentrate operations to its bottling partners. This is the main source from which the company generates net operating revenues. The bottling partners of Coca Cola produce the final product that is sold to the customers worldwide. They combine the concentrates with still and/or sparkling water, and/or sweeteners, depending on the product, to prepare, package, sell and distribute finished beverages. The finished product operations of Coca Cola mainly include the company owned or company controlled bottling, sales, and distribution operations. Physical Evidence 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. Planet: Be a responsible citizen that makes a difference by helping build and support sustainable communities. Sales promotion and Personal selling 7 Coca Cola spends a lot of money advertising and even though the brand name is very popular Coca Cola still uses consumer sales promotion in order to attract new customers and also to provide their existing customers with an incentive to purchase more of their product. Coca cola sponsors many events and uses those stages to promote sales, when coca cola sponsors a sporting event for example, it usually raffles tickets in some of their bottles and cans, this is great promotion because it applies to many different social classes, from less fortunate people whom may not be able to afford tickets to events and buy coke in order to try and win, these raffles are fun and provide friendly competition amongst peers. I remember when I was younger, growing up in Israel, coke promoted itself by giving discount prices to a specific water park to whomever arrives with a certain amount of caps, and we would all buy coke instead of anything else available because we all wanted what the premium offered us. In the present coke provides a similar promotion to six flags amusement parks during the summer in the United States. Personal Selling and Sales Management Apple Pay vending Relationship selling (consultative selling)is a sale practice that involves building maintaining and enhancing interactions with costumers in order to develop long-term satisfaction through mutually. The fact that Coca-Cola is a well known brands all over the world led us to the understanding that this company is doing a good job in building and kipping relationship with the costumers. According to the Coca-Cola Journey 100.000 Coke Vending Machine in North America will accept Apple pay by the end of this year. This is a great news for all Coca cola consumers and also a big step for the Company. Now the company will closer be able to collect more information about its costumers then before. This is an example of how company use interaction to exchange information. Customers will benefit buy having a better, save and fast process and the company will be able to Capture Customer Data . 7Steps in the selling process: 8 1-Generating Leads (prospecting) This steep is related with identification of those firms and people most likely to buy the sellers offering. The Coca-Cola company has been able to generate leads by advertising (the company will have new slogans and new advertisement all the time and everywhere. 2-Qualifying Leads This steep involves determining whether the prospect has three things such as: a recognized need, buying power, receptivity and accessibility. Coca -Cola Company recognizes the need by collecting information thru technology and web side pages. 3-Aproching the customer and the probing needs. This is a sort of home work that a sale person must do before he /she contacts a prospect. Coca cola has official websites where the Company inform customers about the product and different events. 4- Developing and proposing Solutions After a company or a sale person has gathered the appropriate information about what the client wants, the next step is determine whether the company's product will satisfy the needs. 5-Handling Objection 6-Closing the sale Negation the process during which both the salespersons and the prospect offer special concessions in unattempt to arrive at sales agreement. 7-Following-up It is the final steep of the selling process where the company ensure everything goes well. Conclusion 9 The Coca Cola Company is currently one of the biggest and most recognized soft beverage brands in the world. With over 3000 products in more than 200 countries, the Coca-Cola Company has surely become part of people’s lives. The Coca-Cola Company owes its success to the people who do their best to achieve the task at hand. Thus, the Cola-Cola Company takes cares of its employees in return by creating a good working environment and working along with unions and government agencies to make sure its employees are safe. The Coca-Cola Company understands that in today’s business world technology is very essential to run such a big company like Coca-Cola. Therefore, the Coca-Cola Company uses different types of technology such as creating databases and data warehouse about their customers and suppliers, doing business with consumers and other businesses through the internet. The Coca-Cola Company even offers merchandise over the internet through its very own shopping website www.cocacolastore.com.The Coca-Cola Company also uses search engines such as Google and yahoo to advertise its products and make sure its brand reaches more people every day. Coca-Cola has spent over $2 million just on advertising and marketing. This makes Coca-Cola well known in many countries In addition, keeping up with today's new trends, the Coca-Cola Company also advertise its products on myspace, facebook and twitter. The Coca-Cola Company knows that no business can run without a plan. Because the Coca-Cola Company has been able to the set the entry barrier in the beverage business very high, new companies are discourage to compete with Coca-Cola. In addition, the Coca-Cola Company has agreements with many of its supplier (mostly bottling company) to exclusively provide by their services to Coca-Cola. Thus, it is almost impossible for new comers to keep up with CocaCola and similar competitors with recognized names in the business such as Pepsi. The Coca-Cola success isn't something that has been achieved over night. Many years has passed since John Pemberton created the secret formula for Coca-Cola in 1886. Who would have thought that after over a hundred years, his creation would have this much impact in the world and turn Coca-Cola into a worldwide recognized company. References 10 The lecture of Sayar Zin Phyo Paing The lecture of Sayarma Nwet Muyar Win http://www.coca-colacompany.com/our-company/the-coca-cola-system http://www.coca-colacompany.com/careers/who-we-are-infographic http://www.coca-colacompany.com/stories/taste-the-feeling-launch http://www.businessrevieweurope.eu/marketing/856/Top-20-companies-with-the-biggestadvertising-budg http://ediola100marketing.blogspot.com 11
