Case-study Of Coca Cola
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CASE-STUDY
HOW COCA-COLA CONQUERED RURAL INDIA
PREVIEW :
Atlanta based coca-cola company is the first global majors to have spotted the potential spin-offs from the countries rural markets.
It has perfected a unique supply chain to cater to India's vast rural hinder land.
MARKET STRATEGY:
Coke estimates at 3.7 bottles per person per year compare to 10 bottles per person per year for all India. Coke started out by drawing up a hit list high potential villages from various districts. To ensure proper supply large distributors (hubs) were appointed at the district level.
Instead of cash, transactions were made through D.D. twice in a week. Small distributors (Spokes) appointed under Hubs in adjoining areas. These Spokes under took fixed journey plans once in a week & supply against cash.
Rickshaws (i.e. Cycle operated vans) were hired for distribution in villages on daily basis. A concept of smaller drop sizes was adopted for the small retailers. Introduction of small 200ml bottle priced at Rs5/-.
For better communication coke decided to concentrate on 47,000 haats (weekly markets) & 25,000 melas (fairs) held annually in various parts of the country.
Results:-
Facts:
80% of its new drinkers come from rural India. By 2003 ,the rural market accounted for nearly 30% of coke’s volumes which again increased to 36%. Between 2002 & mid 2003,the rural market grew 37% against 27% urban market.
Thank You
HOW COCA-COLA CONQUERED RURAL INDIA
PREVIEW :
Atlanta based coca-cola company is the first global majors to have spotted the potential spin-offs from the countries rural markets.
It has perfected a unique supply chain to cater to India's vast rural hinder land.
MARKET STRATEGY:
Coke estimates at 3.7 bottles per person per year compare to 10 bottles per person per year for all India. Coke started out by drawing up a hit list high potential villages from various districts. To ensure proper supply large distributors (hubs) were appointed at the district level.
Instead of cash, transactions were made through D.D. twice in a week. Small distributors (Spokes) appointed under Hubs in adjoining areas. These Spokes under took fixed journey plans once in a week & supply against cash.
Rickshaws (i.e. Cycle operated vans) were hired for distribution in villages on daily basis. A concept of smaller drop sizes was adopted for the small retailers. Introduction of small 200ml bottle priced at Rs5/-.
For better communication coke decided to concentrate on 47,000 haats (weekly markets) & 25,000 melas (fairs) held annually in various parts of the country.
Results:-
Facts:
80% of its new drinkers come from rural India. By 2003 ,the rural market accounted for nearly 30% of coke’s volumes which again increased to 36%. Between 2002 & mid 2003,the rural market grew 37% against 27% urban market.
Thank You
