Marketing Essentials of Coca Cola (pdf)

Marketing
Essentials

Table of Contents
INTRODUCTION...........................................................................................................................1
Activity 1.........................................................................................................................................1
Covered in Booklet. ...............................................................................................................1
Activity 2.........................................................................................................................................1
Comparison of how different organisations apply the marketing mix...................................1
Produce and evaluate a basic marketing plan for an organisation..........................................8
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
In every organisation marketing plays an essential role in establishing relations among
clients as well as the firm offering in marketplace. It is considered as a set of activities that are
undertaken through organisation for promoting their product and services. Generally, it includes
the advertisement, selling as well as delivering goods to customers or another business. Also, it is
the process of enterprise that develop relations and satisfy consumers. In order to attain the
success it is very crucial for the manager of marketing to apply appropriate market approach.
Market is a place which offers a platform to purchaser as well as seller. For this report the
chosen company is Coca Cola which is an American corporation, producer, retailer and marketer
of non alcoholic beverage concentrates as well as syrups. Its headquarters is in Georgia, Atlanta,
US. The purpose of this report is to understand the key roles and responsibilities of marketing
functions and its relations with organisation. Marketing mix of two companies are compared as
well as their application into the process of planning for achieving its objectives. Along with this
a market plan is prepared and evaluated for the selected are also mentioned in this report.
Activity 1
Covered in Booklet
Activity 2
Comparison of how different organisations apply the marketing mix
Marketing mix is considered as a placing the appropriate products at correct time. This
basically concentrates on consumers satisfaction as they has various desired from the product of
the firm. This aids in marketing planning and also assists in facilitating data regarding the target
marketplace (Baack, Harris and Baack, 2013). Therefore, company can launch their goods
according to the expectations of the clients. Success as well as growth both depends upon how
the organisation treat their customers and how it satisfy them. Mainly marketing mix have four
components that are products, price, place, promotion. This is utilise by the organisation to
promote their goods so that it can acquire more market share as well as earn high profitability.
Mostly whole firm apply this tools for developing effectual marketing plan. Coca Cola utilise it
to enhance reach into international market. Components of marketing mix facilitates the
1

perception regarding the price, people, goods, positioning and so on. This assists them in making
strategies. The 7P's of marketing mix are explained below:
Illustration 1: Marketing Mix
Source: Marketing mix, 2018
Marketing Mix of Pepsi and coca cola:
Basis of difference Coca cola Pepsi
Product Coca cola is an world famous
and leader in soda beverage
and leads in almost 200
countries. It has an
impressively biggest product
portfolio in which almost 500
well known brands name
consist in it and it also
provides almost 3900
beverages and their choices. In
its product portfolio they have
Pepsi is second largest soft
drink player in the whole
world and implement various
strategies and tactics to
compete in competitive
environment. It also large
chain of products in which soft
and energy drinks, cereal,
snacks and sports food with
bottled water and other
merchandise consist in their
2

almost 21 billion dollar for
them out of them 19 are in
category of low calorie choices
and preferences. In its product
portfolio consist of coca cola
that is one of most popular and
highest selling product in
whole world and sprite, fan-ta,
diet coke and Minute maid
with dell valle are their main
brand name in name of their
company.
product portfolio (Baines, P.,
Fill, C. and Page, K., 2013). Its
most products added in product
mix by acquisitions. It uses
generic and intensive growth
strategy helps in enlarge brand
portfolio. It is one of most
recognizable and one of
valuable brand name in whole
world. There large product
chain helps in enlarge business
objectives and attain desirable
goals and objectives.
Price Coca cola and Pepsi are fierce
rivals and major competitors in
beverage segment. They have
competitive pricing and prices
of coca cola are not too much
high and in beyond for average
consumers and not too low that
give impression that they offer
low quality of beverages. Its
pricing strategy is based on
building brand loyalty among
their consumer base. They
produce in bulk their products
and services that helps in
reduce their prices in
comparison to purchasing a
single product (Campbell,
Martin and Fabos, 2018).
In pricing strategy of Pepsi that
its prices are varied and
company has large product line
and brands. It use market
oriented and hybrid value
pricing strategy and most of its
products should sell in market
by using market oriented
pricing that helps in remain
prices to remain always
competitive in market. In
hybrid pricing they keep gap in
discounted pricing and regular
pricing so that can enhance
their sales easily. In addition to
decrease demand of their
products such as soda that
increase their competition level
3

There pricing strategy helps
them to bring harmonious
results in organisation to
enlarge business goals and
objectives.
more fierce in coca cola and
Pepsi.
Place Coca cola possess an
extensive and large
distribution system and sold
their products and services
more than in 200 countries
world wide in 6 operating
regions in which includes
Europe, America and pacific
Eurasia and Africa are their
major markets in which it
leads and sell on an average
1.9 billion servings of coca
cola at day basis. In olden days
it rely on bottling packaging
system and distribution. It now
focus on their multiple channel
of distribution and deals in
many more products in which
consist of concentrates,
beverages and syrups and
owns great brand name by
putting marketing initiatives
(Clow and James, 2013). Their
bottling partners make efforts
in manufacturing, packaging
and distribute to offer final
In case of Pepsi its presence is
at global marketplace to
distribute their products and
services. It uses two types of
distribution network by
retailers and by online
merchandisers. There almost
products are available at retail
stores such as super market,
grocery stores and convenience
stores so that they can reach at
large no. of consumers and
enlarge market opportunities.
They also apply localised
strategies. All these
distributors helps to Pepsi to
sell their products to their
ultimate consumers. All these
factors helps them to attain
large market share with goals
and objectives.
4

products and services to their
consumer base. Their bottling
partners or companions closely
related with their consumers in
which includes various grocery
stores, vendors and
convenience stores and movie
theatres and parks that help in
enhance their sales.
Promotion Due to fierce competition in
market place they use various
strategies to reach at large
consumer base to earn high
revenue and it spends lot of
amount on advertising and for
promotions. Its uses both
traditional and modern mode
of promotions for their
products and services. It
launches its taste and feeling
campaign in olden days that
helps in unite their popular
brands. Its brand approach that
is adopt by them that shift
from previous marketing
strategy and tactics.
In promotional strategies
includes advertising, sales
promotion, direct marketing
and public relations are major
factors that contributes in their
build strong relationship with
their consumer base(Blythe,
2012). Advertising is one of
important attribute that helps to
reach at large no. of
consumers. It avails TV ads
and various campaigns and
social media that is biggest
source to communicate in well
manner with their potential
consumer base. It uses social
media to connect with their
consumers and followers to
engage with them.
People In older days organisations
concerned only about
In people consist of no. of
people or employees that
5

consumers and themselves but
in modern world they are
associated with employees,
shareholders, press or media,
partners and general public are
major people that are very
important to achieve
organisational goals and
objectives (Dibb and Simkin,
2013 ).
associate with them it is an
multinational company so they
have large work force and
consumers, competitors and
shareholders and press plays
important role to accomplish
organisational goals and
objectives.
Process In process consist of where
and how consumers will
purchase their products and
services and added values that
helps in develop a strong
relationship and interactive
experience to their consumer
base. With help of e commerce
and other advents helps in
growth in ease of business
(Finch, Nadeau and O’Reilly,
2013). It is most successful
organisation because it directly
interact and transact with their
consumers by using various
methods and tools. To build
strong relationship with
consumers in process consist
of adopting new marketing
mix in which promote and
deliver high value products
It uses two important source to
manufacture and then deliver
to ultimate consumer base by
retail chain to reach at large
consumer base and choose
various distributors that can
reach at large consumer base.
6

and services that helps in attain
goals and objectives.
Physical evidence In physical evidence consist of
factors that influence to
consumers before purchasing
their products and services. In
that factor includes physical
environment, packaging,
supporting and collateral that
helps in present in well manner
in front of consumers. It helps
in understand perspective of
consumers and build scape
accordingly.
It is best in its scape of
products and services that
attract large no. of consumer
base and its products are
identified by their look and
logo is self sufficient to make
its own image in market
(FISK, 2013).
From the above discussion it has been summarised that coca cola is one of famous brand
name in market and use various strategies and tactics in all sphere of their business. In that
scenario they use distribution network and competitive pricing strategy in comparison to Pepsi
which is an fierce competitor in same field and use various tactics to connect with people to
attain goals and objectives. The 7p's of marketing mix that are utilising by coca cola as well as
Pepsi have shows that both of them are selling their products at reasonable prices. This reflects
respective company understand that consumers mostly attract towards those firm who facilitates
the products or services at affordable price and also with standard quality. Therefore, it can
obtain consumer loyalty as well as the effective performance that assists company to attain
sustainable success and growth so that they can survive for the longer duration into competitive
marketplace (Hair Jr and et.al, 2015). Also respective firm give training to licensees in order to
maintain similar standards and quality. Marketing mix aids to improve effectual marketing plan
so that company can able to satisfy their clients by facilitating products according to their
demands and requirements. This also assists to develop effective strategies in order to enhance
their reach at international market so that respective company can gain more than average
profitability. In case organisation is capable to create a strategic marketing plan then chances of
7

obtaining success have been maximised. This aids to identify the new opportunities into
marketplace, if any new products can be introduce as per the demands so that it can become
successful.
Produce and evaluate a basic marketing plan for an organisation
Marketing plan is considered as a document or blue print of the business organisation that
shows the strategy of marketing for the new products. This usually concentrates on certain time
duration as well as covers the marketing details regrading actions, costs, budgets and so on. It
also provides clarification regarding consumers and clients. This assists in drafting the message
related to marketing which will produce outcomes for the organisation. A marketing plan
involves the explanation about recent conditions of the business enterprise (Joshi, 2012). It
permits firm to know their target clients. This aids the organisation to introduce new product as
well as improve the existing one so that this can be effectually acquire more market share. As the
firm Coca-Cola is planning to launch new products that fruit juice it is for the age of 5 and more.
The marketing plan involves strategy for specific product.
Executive summary:
The company Coca Cola want to make a new products in order to capture more market
share. It want to introduce Coca Cola fruit juice as a new product as well as target people who
are the age of 5 and more.
Vision and Mission:
“Vision and mission is to capture market share and facilitate fruit juice to their
customers”.
Objectives:
“To launch fruit juice for increasing mare than 15% market share in 2 years”.
Marketing mix for fruit juice:
This is crucial for the organisation to utilise marketing mix so that their marketing plan
can be implemented effectively as well as Coca Cola can introduce their new product easily. All
the elements of marketing mix are explained below:
Product: It can be explained as any tangible and intangible things which satisfies the
requirements of the customers (Kongstvedt, 2013). This is the thing that Coca Cola planning to
launch for entering into new segment by introducing that is fruit juice.
8

Price: Price is considered as n essential components for the firm and clients. Usually
customers are more serious about price therefore, it is always reasonable. Price of the fruit juice
will be starts from £20 and more than that as per the quantity and flavours.
Place: This that elements where business organisation launch its new products. Coca
Cola is launching their new products firstly in the region of the United kingdom.
Promotion: It is manner by which firm can develop product awareness among their
clients. Thus, Coca Cola will utilise various promotional tools that is television, social media
and so on. All these aids them to enhance their reach.
People: This is the one who purchase the products of the organisations. They are also
considered as a consumers when they buy any kinds of goods. Coca Cola will facilitates their
products to all people.
Process: This is the way through the the company execute their products (Malhotra,
2015). Therefore, the process utilise by Coca Cola for it new goods are initially some samples
are going to be introduce into stores, shopping malls, and so on if response as well as feedback
are favourable then more products are manufacture.
Physical evidence:This is known as the essential elements as various clients generally
have faith on that which they can touch that is physical products. Coca Cola is a famous brands
their new products that is fruit juice are facilitated into all stores, malls, cafeteria and many more.
SWOT Analysis:
Strengths Weaknesses Opportunities Threats
It provides their
products at affordable
price with standard
quality.
Does not has more
uniqueness in
comparison to their
competitors.
It can launch more
flavours into their
drinks products .
They have the rivals
such as Pepsi.
It has operating their
business in all over the
world.
High cost of
transportation.
It can provides a way
to health conscious
individuals.
Variations of economy
into the nation.
Marketing Evaluation:
9

This is considered as a technique that is utilise through firm after marketing plan as well
as assists to examine the new products success or failure (Pike, 2015). It aids Coca-Cola to create
correct action plan in order to develop their quality and delivery service.
Marketing budget:
This assist firm to examine the cost in creating the plan of marketing as well as also their
methods so that Coca Cola can understand the expenditure that can be occurred in overall
process regarding introducing new products. Marketing budget will be approx £ 15, 000.
Particulars Amount(£)
Promotions 4500
R&D 7500
Online marketing 3000
Total 15000
Marketing tactics:
This is considered as a marketing toll that Coca Cola can apply for informing customers
regrading their new product. As there are many tactics that can be utilise by them are shopping
malls, social media etc.
STP ANALYSIS:
This is refers as the segmentation, targeting and positioning. This develop efficiency and
value of the marketing (Rossi, Allenby and McCulloch, 2012). Organisation segment their
market in order to identify the potential clients then target those customers for specific marketing
communication which are made to positioning the offers as well as brands so that they stand out
from competitors. The STP analysis of Coca Cola are as follows:
Segmentation: in this stage, Coca Cola considered the large market and distribute it into
segments. Herein, base of the segments are determined and profile of each segments are
developed. This also, ensure that selected are appropriate. The respective firm select large market
as well as divide it into smaller units.
Basis Coca Cola(Fruit Juice)
Gender Both male and female
10

Age Above 5 years
Market Into the large region of UK
Targeting: Coca Cola determine to whom they are going to target. Therefore, this
ascertain each segment to find out the value that into whole market segment. It apply the
differentiated approach and also target lower, middle and upper class individuals.
Positioning: At last, positioning is developed for whole target segments. Herein, goods
are positioned competitively in segment. Coca Cola build a USP for their brand in that segment.
They are positioned themselves as an international brand. Therefore, they position its new
product that is fruit juice with the help of advertisement through celebrities.
Return on Investment:
This can assists business organisation either it will be in gainful position or not as well as
the amount of money they are gaining after introducing of new products. This can also assist
Coca cola company to know their profitability.
Expansion:
Expansion assists organisation to enhance their market reach so that the firm can able to
gain more profitability as well as attain the success into competitive market and can grow
effectively.
Customer response:
This is most essential things that is to know the response regarding new products of the
business organisation (Shaw, 2016). If this will be positive than they can sustain easily onto
market place as well as in case this will be negative than it may create difficulties for the firm.
As they can not capable to meet the customer desirables.
Strategic Actions:
The strategy of Coca Cola company is to facilitate stand quality of products or services
which is the fruit juice in UK market. Therefore, this will develop good opportunities for
business enterprises so that it can beat the competition into market.
Measure for monitoring and evaluating progress:
For measuring as well as monitoring the marketing plan Coca Cola can considered few
measures in order to accomplish the objectives. The above plan can be evaluated by management
information system , monitoring requirements and preferences of the consumers. Also, action
11

plan will assists the manager of Coca Cola to evaluate as well as measure in effectual way so
that their objectives can be achieved at specified periods. Moreover, it will also aids firm to
accomplish sustainability for long duration.
CONCLUSION
As per the above report it has been concluded that marketing plays a crucial role for the
organization to sell its commodity and services to the user as well as it also concentrate to satisfy
the persons wants. Some role and responsibilities of marketing functions in market research,
packaging, distribution and so on. The interrelationship of marketing with other functional areas
that are HR, finance etc. marketing mix of two companies are compared and the marketing plan
are prepared in order to launch new products into for attaining the objectives of the company.
12

REFERENCES
Books and Journals
Baack, D. W., Harris, E. G. and Baack, D., 2013. International marketing (Vol. 3). Sage.
Baines, P., Fill, C. and Page, K., 2013. Essentials of marketing. Oxford University Press.
Blythe, J., 2012. CIM Coursebook Marketing Essentials. Routledge.
Campbell, R., Martin, C. and Fabos, B., 2018. Media essentials: A brief introduction.
Bedford/St. Martin's.
Clow, K. E. and James, K. E., 2013. Essentials of marketing research: Putting research into
practice. Sage.
Dibb, S. and Simkin, L., 2013. Marketing essentials. Cengage Learning.
Finch, D., Nadeau, J. and O’Reilly, N., 2013. The future of marketing education: A practitioner’s
perspective. Journal of Marketing Education. 35(1). pp.54-67.
FISK, R. P., 2013. lMPRESSION MANAGEMENT 26 IN SERVICES MARKETING: A
DRAMATURGICAL PERSPECTIVE. Impression management in the organization.
p.427.
Hair Jr, J. F.,and et.al ., 2015. Essentials of business research methods. Routledge.
Joshi, M., 2012. Essentials of marketing. Bookboon.
Kongstvedt, P. R., 2013. Essentials of managed health care. Jones & Bartlett Publishers.
Malhotra, N. K., 2015. Essentials of marketing research: A hands-on orientation. Essex:
Pearson.
Pike, S., 2015. Destination marketing: essentials. Routledge.
Rossi, P. E., Allenby, G. M. and McCulloch, R., 2012. Bayesian statistics and marketing. John
Wiley & Sons.
Shaw, S., 2016. Airline marketing and management. Routledge.
Online
Marketing mix. 2018. [Online]. Available through
<https://www.tutor2u.net/business/reference/the-extended-marketing-mix-7ps>
13