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STORY FROM ENTRY IN INDIA TILL DATE:

PEPSICO

Submitted To:
Prof. BD Nathani

Submitted By:
Group 6
Aanchal Kalra
Aayushi Thakur
Abhilasha Singh
Abhinav Tandon
Upendra Vikram Singh
Executive Summary
PepsiCo India Holding Pvt. Ltd. is one of the companies of consumer staples sector and fast-
moving consumer goods industry. It works as a platform that distributes the products like package
bottles, snack foods, fruit products, mineral water, potato products, grain products, milk malted
foods, beverages and aerated water manufactured by its subsidiaries company. Basically, it is a
subsidiary company of PepsiCo Inc. which entered in Indian market in the year 1988.

PepsiCo, Inc. is a multinational food, snack and beverage company of America headquartered in
Purchase, New York, United States founded by Caleb Bradham on August 28, 1898. It is serving
its products in about 200 countries and territories worldwide. Some of the famous brands of the
company are Pepsi, Mountain Dew, Lay’s Potato chips, Tropicana beverages, 7 Up, Doritos,
Kurkure, Mirinda, Quaker Oats, Cheetos, Aquafina bottled water, etc. Within these brands,
company launches new products time by time and does different kinds of promotional activities
targeting young customer to promote them.

PepsiCo, Inc. wants to be the world’s premium consumer products company focused on convenient
foods and beverages. They seek to produce financial rewards to investors as they provide
opportunities for growth and enrichment to their employees, their business partners and the
communities in which they operate.

Many brands of snacks and food divisions are getting a tough competition from its competitors
whereas there are some brands like Lays chips is still market leader. Also, product like Kurkure
Namkeen is at its struggling stage where company is applying its efforts to increase the sale.
Company follows a certain supply channel to distribute its products to the end users. On every new
product, company offers profit margins more than the normal slab in order to attract the retailers.

Every work gives a certain learning and our learning from interacting with the distributors could
be divided into two parts, i.e. Soft Skills and Hard Skills. To be successful in market, some
requisite needs to be known and followed which are-

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 Each and every time customers cannot be convinced easily.
 Try to sell even to customers who are not ready to purchase it first time.
 Never take rejection as a negative feedback.
 Keep your ego aside while with the customer.
 Accept failure as a challenge.
 Never give up easily.
 Always keep your eyes and ears open in market for observing things deeply.
 Never miss the opportunity.
 Should have presence of mind to handle the situation.
 Make a convincing decision that can attract the customer attention.
 Remain unbeatable by giving a pleasant feeling to the customer.

Pepsico also works on an android based software for booking and taking the orders, called
SAMNA.

Company has a good brand image and also has a better positioning in their target consumer’s mind.
So, by this strength company can give a good competition to its competitors in those products
where it has occupied less market share only by driving sales, changing some of its policy of
replacement and packaging.

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TABLE OF CONTENTS

Contents
FMCG INDUSTRY .................................................................................................................................... 4
Introduction ................................................................................................................................................... 4
Characteristics of FMCG Industry ................................................................................................................ 7
FMCG Industry in India................................................................................................................................ 9
Major challenges for FMCG sector in rural market .................................................................................... 10
PepsiCo India Holding Private Limited .................................................................................................. 12
ABOUT THE COMPANY ......................................................................................................................... 12
Brand and Products ..................................................................................................................................... 13
Major Competitors ...................................................................................................................................... 16
ORGANIZATIONAL SALES STRUCTURE ........................................................................................... 23
DISTRIBUTOR-RETAILER/WHOLESALER MODEL .......................................................................... 25
SUGGESTIONS ........................................................................................................................................ 32
REFERENCES .......................................................................................................................................... 33

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FMCG INDUSTRY

Introduction

Food is one of the necessities of every living to survive. We, the human, are one of them who
require food for survival. From ancient time to till date, the journey of revolution in food, world
has been seen. The journey begins from the existence of human when they used to eat the raw
meats till now when the people have developed enormous number of dishes to eat. Food habit
varies from culture to culture and person to person. Since a large number of populations believe to
have food during breakfast, lunch and dinner time which is cooked at home. But it often happens
in every one’s life when we feel hungry and have no option of routine food to eat. At that point of
time, we prefer to take substitute items to get over our hungriness. This gives opportunity to many
businesses to manufacture these substitute goods and sell them into market to fill the gap of hunger
and earn profit out of it.

FMCG stands for Fast Moving Consumer Goods. It means goods having short life span within
which they are consumed so they are sold quickly at reasonable price. This sector is the 4th largest
sector in the Indian economy with household and personal care accounting for 50 per cent of
FMCG sales in India. Growing awareness, easier access and changing lifestyles have been the key
growth drivers for the sector. The business model of FMCG depends on scalability, i.e. the profit
margin for proposed products are low but the sales volume is very high, so the sector generates
high revenues by selling high volumes. Basically, this industry has low inventory turnover period
because of short shelf life and rapid consumption. Some of the examples are non-durable goods
such as processed foods, soft drinks, toiletries and durable goods such as kitchen appliances are
replaced over a period of time. The industry includes perishable goods such as milk, vegetables,
dairy products, fruits and baked foods which have a very short duration sometimes not more than
two days. So, these products are highly in demand and their stocks are kept very limited as per the
consumption.

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Business Model: - High volumes sold at low profit margin results in high turnover

This industry involves a major contribution of different stakeholders at different stages that
requires a proper coordination among them. So, extensive distribution strategies are taken into
consideration which is expensive. Also, higher involvement results in generating employment and
increasing the purchasing capacity or power of common people. So, by employment point of view,
this FMCG sector is playing a most important role.

Stakeholders and Beneficiaries of FMCG sector

 Farmers and Producers: - They are responsible for producing raw material and supplies
to different manufacturers for manufacturing finished goods. They invest money for
growing crops and grains and make profit by selling it to the market which is a main source
of income for them.
 Manufacturers: - They set up a manufacturing unit where labor is employed and are also
responsible for turning raw materials into finished goods. The process requires expenses
such as rent of land, salary of employees, maintenance charge, cost of purchasing of
machine, cost of inventory management.

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 Distributors: - Every business requires a certain channel for reaching from manufacturers
to the market. So, distributors work as a bridge between them. They purchase goods at high
volume from manufacturers and distribute it in the market as per the requirement. They
had to hire a warehouse where stocks could be kept which needs money and these expenses
are redeemed by the earning which they do by selling products. Company determines a
fixed profit margin to its distributors.
 Wholesalers/Retailers: - Any business is not considered as a successful business until
it has demand in the market. Demand should be repetitive for running long term business
otherwise it would flop. So, wholesalers/retailers act as main and important partner who
are responsible for selling the products to customers or consumers.
 Transporters: - Act as a bridge at any and every movement of product. Their roles start
from delivering raw material from farmers/producers to delivering finished goods to
wholesalers/retailers after which the goods are consumed or reaches to end customers.
 Customers: - The ultimate user of any product who are responsible to drive the whole
system.

Transporters responsible for movement of


goods

Retail outlets
Purchase from from where Customers–
Producer of Turn raw The
company, Stock
Raw material customer
material in to warehouse ultimate
and supply to purchases the purchaser of
into and supplies to
the finished goods products
retailers/
manufacturer goods wholesalers

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Characteristics of FMCG Industry

There are two perspectives by which the characteristics of FMCG industry can be defined, they
are-

(i) From marketer’s perspective


(ii) From consumer’s perspective

 From Marketer’s Perspective: -


 Revenue depends on sales of high volume because of low contribution of margins.
 Inventory turnover period is less which results in high stock turnover in minimum
time. So, it requires a strong and structured distribution network for availing the
right products at right place on right time.
 From consumer’s perspective: -
 Consumers apply little or no effort to choose the item. So, involvement is low.
 Many items are of daily use, so the purchasing process is very frequent.
 Products have short shelf life, so the consumption rate is very high.
 Reasonable for consumers due to low price.

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FMCG category and products

S. No. Category Products


1. Food and Beverages Soft drinks, Staples/cereals,
bakery products, snack foods,
Chocolates, Ice-creams, Tea,
Coffee, Processed foods,
Fruits, Vegetables, Bottled
water, Branded flour, rice,
sugar, juices and other
groceries
2. Household Care Fabric wash (Laundry soaps
and synthetic detergents),
Household cleaners
(dish/utensils cleaner), Floor
cleaners, Toilet cleaners, Air
fresheners, Insecticide and
Mosquito repellents, Metal
polish and Furniture polish.
3. Personal Care Ora care, Hair care, Skin care,
Personal Wash, Cosmetics
and toiletries, Deodorants,
Perfume, Feminine hygiene,
Paper products

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FMCG Industry in India

India is a country with a population of 1.3 billion which has occupied a large area on the globe.
This is a developing country where there is a huge opportunity for any FMCG industry to grow.
The reasons of growth could be as follows: -

 Presence of plenty of land


 Availability of human resource – skilled and unskilled both
 Change in lifestyle
 Increase in literacy rate
 Increase in per capita income
 Growth in GDP
 Growing awareness
 Easier access
 Growth of retail market will also lead FMCG sector to boost its revenues

FMCG is the fourth largest sector in Indian economy in which there are three main segments: Food
and Beverage, Healthcare and the third is Household and Personal Care. Food and Beverage
segments accounts for 19% of total share of sector, Healthcare captures 31% and Household and
Personal Care captures 50%.

Market Share of FMCG Industry

19

50

31

Food & Beverages Healthcare Household & Personal Care

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The industry has grown from US $31.6 billion (FY 2011-12) to US $52.75 billion (FY 2017-18)
which means there is the growth of 66.93% as compared to six years. The sector is further expected
to grow with CAGR of 27.86% to reach US $103.7 by 2020. Also, sector generates the revenues
of $49 billion in the FY 2016-17. Indian market comprises of urban and rural market in which
urban market generates revenue share of 55% and rural market accounts for generating 45% of
total revenue share.

FMCG Revenue Share

45%
55%

Urban Rural

Major challenges for FMCG sector in rural market

1. Connectivity: - Connectivity is a major requirement for proceeding inventory from one


place to another place. But, roadway infrastructure in rural India is not healthy. There are
many villages which has kachha road till date. This is a kind of hurdle for transporting
materials from company to rural market. Also, it is a big hurdle for supplying raw material
from village to market.
2. Warehouse: - Infrastructure in villages is not much developed. So, there is a major
problem of keeping the stocks due to lack of proper warehouse.
3. Low Literacy rate: - Rural people are less literate as compared to the urban one. So,
communicating through writings and print proved to be an ineffective tool.

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4. Low per capita income: - Rural people does not have much income that they can spend
much on purchasing of products. They have limited source of income based on farming
and doing unorganized odd jobs.
5. Seasonality: - In rural market, seasonality in sales are seen often. It happens because rural
people depend on farming which has a season of harvesting. During harvesting, the labor
class get work in field. This time their purchasing capacity gets increased and that’s why
there is increase in sales.

Major players in Indian FMCG sector

There are many players that are floating in India that’s why there is a high competition among
competitors. Some of the major players are:

Revenue (in crores)


HUL Patanjali ITC
30782.7
Nestle India Godrej Britania

10561 10336.9 9159.3 9134.3 8844.4 7691


2388.7

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PepsiCo India Holding Private Limited

ABOUT THE COMPANY

PepsiCo India Holding Pvt. Ltd. is one of the leading foods and beverage company that
manufactures and distributes its products in more than 200 countries. It works as a platform that
distributes the products like package bottles, snack foods, fruit products, mineral water, potato
products, grain products, milk malted foods, beverages and aerated water manufactured by its
subsidiaries company. Headquartered in Purchase, New York, company employs around 274,000
people worldwide. The company owns several brands and 22 of them including Pepsi and Lays
generate more than $1 billion each in revenues. In 2018, PepsiCo has generated revenue $65.3
billion.

Frito-Lay began in the early 1930s as two separate companies, The Frito Company and H. W. Lay
& Company, which merged in 1961 to form Frito-Lay, Inc. In 1965, Frito-Lay merged with Pepsi-
Cola Company to form PepsiCo, Inc. At that time, Pepsi-Cola company was manufacturing Pepsi-
Cola, Diet Pepsi and Mountain Dew. Frito-Lay’s manufactures, markets and sells potato chips and
other snack foods. The primary snack food brands produced under the Frito-Lay include Doritos
and Tortilla chips, Cheetos cheese-flavored snacks. PepsiCo grew bigger with the 1998 acquisition
of Tropicana and the 2001 merger with Quaker Oats. The combination of these companies made
PepsiCo a strong diversifies consumer staple firm. Lays was launched in India in 1995 and since
has become the largest snack food brand.

 Corporate office : - Gurgaon, Haryana, India


 Parent Company : - PepsiCo, Inc.
 CEO (India) : - Mr. Ahmed Sheikh
 CFO (India) : - Mr. Kimsuka Narsimhan

Basically, it is a subsidiary company of PepsiCo, Inc. which entered in Indian market


in the year 1989.
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PepsiCo, Inc.
PepsiCo, Inc. is an American incorporated consumer staples and fast-moving consumer goods
manufacturing company that produces food, snacks and beverage products. Also, it is the world’s
second largest soft drink brand and the world’s largest potato chips manufacturer.
 Type :- Public
 Founder :- Caleb Bradham

 Founded (in Year) :- August 28, 1898


 CEO :- Ramon Laguarta
 Area Served :- 200 countries and territories worldwide
(Including India)
 Headquarter :- Purchase, New York, USA

Mission Statement

“As one of the largest foods and beverage companies in the world, our mission is to provide
consumers around the world with delicious, affordable, convenient and complementary foods
and beverages from wholesale breakfast to healthy and fun daytime snacks and beverages to
evening treats. We are committed to investing in our people, our company and the communities
where we operate to help position the company for long-term, sustainable growth.”

Vision Statement

“At PepsiCo, we’re committed to achieving business and financial success while leaving a
positive imprint on society- delivering what we call performance with purpose”

Brand and Products

From brands such as Uncle Chips, Pepsi, Mirinda, Mountain Dew, 7UP, Quaker and Tropicana,
to India’s favorite crisp, Lays and Kurkure, these brands are what makes us uniquely PepsiCo. It
has different products with various choices.

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I. Foods and Snacks

II. Beverage

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Major Competitors

ITC LIMITED
ITC stands for Indian Tobacco Company. It is an Indian
originated company headquartered at Kolkata having
diversified business in different segments including Fast
moving consumer goods. ITC is giving competition in
food and snacks division to PepsiCo India by the products
like Bingo Mad angles, Tedhe-Medhe.

HALDIRAM
Haldiram is an Indian originated company headquartered
at New Delhi. It serves its products in sweet and snack
division. It holds the power of market leader in Namkeen
sector. Company has manufacturing plants in the different
corner of India including New Delhi, Nagpur and Kolkata.
It is giving competition with its variants of chips to
PepsiCo.

COCA-COLA
Coca-Cola is an American originated company which
served its non-alcoholic beverage products worldwide. It
is headquartered at Atlanta, Georgia, United States.

It has maintained its leadership position in beverage


sector. Coca-Cola, Mazza are some of the famous
products of this company.

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MARKETING MIX

PRODUCT PLACE
PepsiCo has a wide variety of products PepsiCo has a global presence in more than
including snacks and beverages. Some of 200 countries and territories. It captures
the famous brands for different products urban as well as rural market through
are: different distribution model. For urban, point
of sale distribution is done through
 Lays: Brand of Potato Chips
distributor whereas for rural, Hub-spoke
 Quaker Oats: Brand of breakfast
model is followed. It’s products are
cereals
merchandised in the retail stores, which helps
 Mountain Dew: Brand of
in gaining maximum visibility and appeal.
carbonated drink
Lays have a strong distribution network.
 Aquafina: Brand of mineral water

4 P’s

PRICE PROMOTION
Due to high level of competition in the PepsiCo spends heavily on marketing and
market, pricing strategy is intense. It uses advertising of different brands. Company
a promotional pricing plan at regular uses following platforms for promotion: -
periods to increase its short-term sales
 Television
volume. The company offers several
 Social Media
incentives like discounts and price packs.
 Print Media
This helps in maximum sales in minimum
 In-store promotion
time and garners extra profits.
 Driving sales by giving Page | 17
incentives
to sales force
MICRO AND MACRO ENVIRONMENT

Micro-Environment

 Competitors

PepsiCo India has many competitors in all product-line divisions. Coca-Cola is PepsiCo’s
main competitor in beverage division. Coca-Cola has the biggest part of the market share
holding a 41.9% compared to 29.9% hold by Pepsi. PepsiCo need to consider identifying
a Unique Selling Point to get an advantage over Coca-Cola. Haldiram is the market leader
in Namkeen.

 Customers

Since products are available at every place and affordable for each class (from lower to
higher), so the customer base is very large. Also, customers are loyal for products like
potato chips where the company is at the top and loyalty is attached with its all brand. But
the switching cost of customers is very low.

 Marketing Intermediaries

Company follows extensive marketing network to reach its product at every possible place
from where it can generate revenue. Taking urban and rural market into consideration,
company follows two different models for distribution which are “Hub-Spoke Model” and
“Distributor-retailer/wholesaler model. Company hires salesperson for visiting outlets
(point of sale) and getting orders of all products.

 Suppliers

PepsiCo India has pioneered and established a model of partnership with farmers and now
works with over 24,000 happy farmers across nine states. More than 45 percent of these
are small and marginal farmers with a land holding of one acre or less. PepsiCo provides
360-degree support to the farmer through assured buy back of their production at pre agreed

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prices, quality seeds, extension services, disease control packages, bank loans, weather
insurance and the latest technological practices. The association with PepsiCo India has
not only raised the incomes of small and marginal farmers, but also their social standing.

 Public

PepsiCo’s public is very diverse. Its potential customers range between the age of 8-70+.
They also have other sectors within the public that are interested in them, for example:
banks. Banks will be willing to lend money to PepsiCo since they are a profitable business
and banks will probably get their loans repaid with interest. Media also affect the company,
by how they advertise the product and what reputation they create.

Macro-Environment

 Political and Legal

 Political stability in major economies

 Improved inter-governmental cooperation

 Taxation – tax rates and incentives

 Government initiatives against carbonated drinks


 Economical

 Rapid growth of developing economies

 Labor costs and productivity in the economy

 Economic stability of major markets

 Inflation rate

 Unemployment rate
 Socio-cultural

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 Higher health consciousness

 Increasing busy lifestyles

 More discriminating attitudes about product quality


 Technological

 Improving knowledge management systems

 Increasing automation in business

 Technology’s impact on product offering

 Moderate R&D investments in the food and beverage industry


 Environmental

 High focus on business sustainability

 Climate change

 Recycling

 Attitudes toward “green” or ecological products


 Legal

 Health and product safety regulation

 Copyright, parent/intellectual property law

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PRODUCT MIX
PepsiCo

Food and Snacks Beverage

Lays Pepsi

Kurkure Mountain
Dew

Uncle Chipps 7 Up

Tropicana
Doritos

Nimbooz
Cheetos

Mirinda

Quaker Lipton
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PRODUCT MANUFACTURING UNIT

Company has its own manufacturing unit in India where products made up of different type of
grains are manufactured after purchasing raw material from suppliers and farmers.

 Company manufacturing unit

 PepsiCo India Holding Private Limited


Kolkata (West Bengal), India

Reasons of outsourcing:

There are many reasons for a company like PepsiCo to outsource its product, they are:

 Large market size has high demand

 Reduces the costing upon land, labor, machine and maintenance

 Reduces competition from local manufacturer

 No labor risk and unions

 Reduces expenses upon different operations

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ORGANIZATIONAL SALES STRUCTURE

The company has a tall functional structure. Employees have a better knowledge of their role
within organization. Reporting is done to the one level senior that shows company is very formal.

PepsiCo Sales Manager

South/Central/North
Zonal Manager

Regional Manager
(Retail/Food)

Area Sales Manager


(Food/Beverage)

Area Sales Incharge


`
(Food/Beverage)

Sales Representative
(Food/Beverage)
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DISTRIBUTION PARTNERS OF THE COMPANY

The details of two distribution partners of company are as below: - For “Distributor-
Retailer/Wholesaler model”

URBAN MARKET

Distributor 1 (Perfect Distributor 2 (Shri


Traders) Krishna Agency)

Sales Person 1 Sales Person 2 Sales Person 1 Sales Person 2

Responsible to Responsible to Responsible to Responsible to


visit 143 outlets visit 168 outlets visit 177 outlets visit 187
in a week out of in a week out of in a week out of outlets in a
which 11 outlets which 4 outlets which 4 outlets week out of
are wholesales are wholesales are wholesales which 5
and rest are and rest are and rest are outlets are
JOB ANALYSI
retails. retails. retails. wholesales.

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DISTRIBUTOR-RETAILER/WHOLESALER MODEL

In this model, Producer sells its product to distributors and through distributors further delivered
to the retailers and wholesalers. This model is basically applied in urban market.

Producer

Distributor

Registered Retailers Wholesalers

Customers Unregistered Retailers

Notes: -
 The company has hired a certain number of Sales Representatives at each distribution point
who themselves visit market at daily basis on allotted route and book the order from the retailers
and wholesalers.

 Registered Retailers: - Those retailers whose details like shop name, personal details, Aadhar
number, GST number is provided to the company database. They are eligible for getting all kinds
of offers, schemes and discounts. Also, sales representative is bounded to visit these outlets on
routine basis. There orders are booked through company handle by using a mobile application
online.

 Unregistered Retailers: - These are small budget shops footpath shops who has no direct
contact with distributor. They purchase goods from wholesalers. No offers, discounts and
schemes allotted to them through company. Also, company has no record of these outlets.

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HUB-SPOKE MODEL
Company follows this model to reach to the large masses in rural areas.

Producer

Hub

Spoke

Retailers

Customers

Note: -
 Hub: - Hub is the super-stockist who directly purchases products in bulk from the
company. They are the direct responsible channel for company. They only sell products
in cartoons not in partial quantity. Company has hired sales representative who visit
different spokes and their markets on routine basis or bitwise and book orders.
 Spoke: - Spoke gets the delivery from hub. They are also known as sub-distributors.
They are registered customers in company database so eligible for getting all kinds of
facilities like – offers, discounts, schemes etc.
 Till now, company is following traditional method for booking orders. It means the
order is booked through copy-pen mode.

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Eligibility criteria for being Distributor of PepsiCo: -
Person who is willing to get the distributorship of company has to stand on certain parameters
which are as following;

First of all, he should be interested


Must have good market record (Track record)
Must have good financial position
Having source of income
No debts
Good transactional record
Must have good infrastructure for keeping stocks in godowns
If the person has some previous experience of distributorship will be
given more preference as compare to the new entrants.

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Market audits and distributor:
Some of the important points need to be accepted by distributor while signing the agreement paper
for becoming distributor in which market audit is one of the main components;

 Market Audits: These audits will ensure stales picked up from the marketplace. Below
points explain the process of Market Audits.

i. Scope of Market Audit:

a. 10 outlets per Route per month and 3 Spokes per month;


b. SAMNA bills in the Market.
c. Audit Scope gets doubled if stales outlets are more than 20%
of the total outlets viz; 20 Outlets per PSR.
d. Random selection of outlets by Auditors
ii. Definition of Stales: Expiry + 1 Month & combined stale value per outlet > Rs.50
iii. Audit cycle- 15th of the month to 14 of the next month.
iv. Auditor shall submit the detailed report along with MIS Summary by 16th of
every month.

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PLANOGRAMS

A planogram (POG) is a diagram of fixtures (e.g., shelves) and products that illustrates
how and where retail products should be placed in a store. PepsiCo subsidiary, Frito-Lays,
strictly follow the concept of planogram. Outlets had been allocated racks that had to be
set according to the planogram in which the new products introduced by the company
should be displayed in the second shelf. This strategy is used by the company to maximize
the profitability of the retailer as well as of the company. Planograms were “one-size-fits-
all” that applied to every store in a chain of a similar size. All the stores with 20-ft aisles
used one POG, all stores with 100-ft aisles used another. Planograms created are based on
the demographics of that cluster and the size of the aisle. The creation of these POGs is
labor intensive as PSR had to arrange the racks in whichever outlet they went for an order.

PSRs advises the retailers on the best way to price, display and promote all products in a
category including those of competitors. POGs creates more work for retailers. One of the
reasons PSRs get a better ROI from technologies that allow them to leverage downstream
data is that they have better lines of communication with their retail partners. With the new
products introduction and promotions, PSRs were given proper guidelines and information
about how the retailers replenishment settings should be changed.

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RACK EXECUTION
Right Outlet
 Kirana, Grocery, Convenience
 Minimum sales of racked products (Rs. 20+ SKUs) consecutively for last 3 months
 Must sell minimum 3 categories from KK Collet, PC, KK Namkeens, KK Puffed

S.No Rack Type Capacity VPO Grid (n


Rs.)
1. Aerial 480 400-800
2. Chotu 720 800-1500
3. Slim 1440 1500-2500
4. Sleek AR 1800 2500-3500
5. Mod Medium 2400 2500-4500
6. AR Medium 3000 3500-6500
7. Mod Large 4200 4500-6500
8. AR Large 5040 6500-8000

Right Execution
 1st order from outlet basis rack capacity
 Delivery of rack and products together. DA to change rack.
 PSR to follow planograming and placement guidelines
 Post 1st purchase bill to offtakes.

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Distributor wise Sales Representative Routes Name

Distributor Sales Day Route Name No. of Total


Name Representative Outlets Outlets
PSR1 Monday Dehradun Road 17
PSR1 Wednesday Berry Bagh 36
PSR1 Thursday Numaish Camp 29 157
SHRI KRISHNA AGENCY

PSR1 Friday Hospital Chowk 18


PSR1 Saturday Vijay Chowk 26
PSR1 Sunday Ghanta Ghar 31
PSR2 Monday Chilkana Road 29
PSR2 Wednesday Subhash Nagar 31
PSR2 Thursday Behat Road 28
166
PSR2 Friday Raghavpuram 17
PSR2 Saturday Purani Mandi I 29
PSR2 Sunday Purani Mandi II 32
PSR1 Monday Court Road 38
PSR1 Wednesday Punjabi Bagh 21
PSR1 Thursday Star Paper Mill 34
Road 178
PERFECT TRADERS

PSR1 Friday Hakikat Nagar 36


PSR1 Saturday Chandan Nagar 35
PSR1 Sunday Wholesale 14
PSR2 Monday Khalasi Line 29
PSR2 Wednesday Avas Vikas 38
PSR2 Thursday Sugar Mill 16
156
PSR2 Friday Hasanpur Chungi 21
PSR2 Saturday ITI Road 21
PSR2 Sunday Ojhpura 31

NOTE:- PSR stands for Pre-Sales Route

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SUGGESTIONS

Company is doing well in selling its core brand products. Despite that there are several issues that
had to be taken into consideration and get it solved in order to create a better brand image than
today, to gain the trust of retailers and to build a better relationship with them. Since, purchasing
power of customers and a smaller number of high budget shop in Saharanpur is an external factor
which is beyond the control of company. So, it is better to focus on internal factor which is under
company’s control. Taking these factors into considerations, there are some suggestions for
following products:

 Lays Maxx and Doritos of Rs. 10 packaging packs are small in quantity due to which
it did not attract customer attention, so retailers also find it as a matter of risk in
purchasing it even though their profit margin is high. In order to draw customer
attention, there should be change in packaging size.
 Brand awareness of Lays Maxx and Doritos is less in the market. I had suggested them
to organize events in schools, parks and malls as our targeted customers are children
and teenagers and they very often consume the snacks.
 No proper policy on Lays Maxx and Doritos is one of the major reasons of being far
behind of competitors. No reimbursement is entertained in case of damage is a big
factor of lack in trust of retailers. So, in order to solve this concern of retailers, company
could bring a strong policy on it. This will help in winning the trust of retailers toward
brand.
 Provide hangers in Rs. 5 and Rs. 10 cases in order to increase the visibility and decrease
in damage that takes place because of getting products overlapped by other products.
 Run some campaigns online for increasing the engagements of general public in order
to attract their attention. This is also a helpful technique to spread awareness of products
among consumers.
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REFERENCES

 https://www.ibef.org/industry/fmcg.aspx
 http://www.pepsicoindia.co.in/company/about-pepsico.html
 https://www.cheshnotes.com/pepsi-marketing-mix/
 https://123team.wordpress.com/2013/10/12/micro-and-macro-analysis/
 https://www.ukessays.com/essays/marketing/company-overview-and-market-
analysis-for-pepsico-marketing-essay.php

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