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SSOR
(UG DEPARTMENT OF COMMERCE AND MANAGEMENT)
CERTIFICATE
This is to certify that the project report titled “A STUDY ON BRAND
PREFERENCE OF SOFT DRINKS AMONG YOUTH” is a bonafide record of
the project carried by ARUNKRISHNAN.O.R under the supervision and guidance
in partial fulfillment of the requirement for the award of the Degree of Bachelor of
Business Administration of the University of Calicut.
Countersigned
DECLARATION
I ARUNKRISHNAN.O.R, do hereby declare
that this project report “A STUDY ON BRAND PREFERENCE OF SOFT
DRINKS AMONG YOUTH” is a bonafide record of the work done by me during
the course of project and that the report has not previously formed the basis for the
award of any degree, diploma, fellowship, associate ship or other similar title of
recognition of any university or institution.
I further declare that this project report is submitted
on partial fulfillment of the requirement for the award of the degree of BBA from
University of Calicut.
Place:
Date:
ARUNKRISHNAN.O.R
ACKNOWLEDGEMENT
I owe my sincere gratitude to T.R.NARAYANANKUTTY,
Principal and Prof.U.S.MOHANAN, Head of the Department of Commerce and
Management Studies, Sri.C.Achuthamenon Govt. College, Kuttanellur, for
providing all the facilities in the college.
I render my heartfelt thanks to Smt,LEENA.K.P Assistant
Professor Dept. of Commerce and Management Studies, Sri.C.Achuthamenon
Govt. College, Kuttanellur for his valuable guidance and supervision throughout
the preparation of this project report. I am also thankful to all my professors and
lecturers for their dear support.
I would like to extend my gratitude towards my friends and
family members especially my father and mother for their unique support and
creative suggestions.
ARUNKRISHNAN.O.R
List of contents
CHAPTER – 1
INTRODUCTION
Tools of Analysis
1.Questionnaire
2. Percentage Analysis
Analytical Tools
1.Graphs
2. Tables
3. Diagrams
CAPTER 2
LITERATURE REVIEW
REVIEW OF LITERATURE
However a number of studies have been conducted in the form of
surveys and research work done on. Consumption pattern and brand
preference towards soft drink product. An attempt has been made to
understand and acknowledge the work of various researchers in the
field of brand preference and consumption pattern of soft drinks.
CHAPTER 3
THEORETICAL FRAMEWORK
Every Research study is based on the theory. This theory is known as the
theoretical framework of the study. That means the theoretical framework gives
authentic support for successful completion of research work. One of the most
competitive market in the world at present is the soft drink market in which cores
of rupees on advertisement and other promotion activities are being spent. It is one
of the many sectors, registering steady growth over a hundred years throughout the
world. In India the soft drink industry is flourishing well with a wide range of
brands comprising both popular-international, national and regional branded soft
drinks. In present investigation, the impact of globalization on brand preference of
soft drinks and the factor determining the brand preference are studied.
What is soft drink?
A non-alcoholic, flavour, carbonated beverage,usually commercially prepared and
sold in bottles or cans. Nonalcoholic beverage,usually carbonated, consisting of
water (soda water), flavoring, and a sweet syrup or artificial sweetener. Today
there are hundreds of varieties of flavored soft drinks. Coca-cola and pepsico are
the world’s largest corporation founded their business on soft drink manufacturing
Soft drinks can trace their history back to the mineral water found in natural
spring.bathing in natural springs has long been considered a healthy thing to do;
and mineral water was said to have curative power. Scientists soon discovered that
gas arbonium or carbon dioxide was behind the bubbles in natural mineral water.
The marketed soft drinks (non-carbonated) appeared in the 17th century. They
were made from water and lemon juice sweetened with honey. In 1679, the
compagine delimonadiers Paris were granted a monopoly for the sale of lemonade
soft drinks.
Raw materials used in soft drinks
There are different type of raw materials used in different soft drinks.most of the
raw materials are :
Water: the simple sweetened soft drink contains about 90% of water,while in diet
drinks. It contains 95% of water.
Flavor: flavor is of great importance in soft drink. Even water from different places
has different taste. The flavor for taste added can be natural or
artificial,acidic,caffeine.
Acids: acids like citric acid & phosphoric acid are added to give refreshing tartness
or bite & help in preserving the guality of a drink.
Natural flavors: these are the flavors, which are extracted from
fruits,vegetables,nuts,barks,leaves etc. in soft drink containing natural flavors&
fruit juice.
Artificial flavor: these are the flavors manufactured from natural extracts. This is
used to give greater choice, in taste to consumers.
Caffeine: caffeine has special kind of taste makes the taste of soft drink a royal
one.caffeine was added to soft drink from its introduction to a commercial market
but now caffeine free soft drinks are also available. Its quality is Y4 than compared
with same amount of coffee.
Carbon dioxide: carbon dioxide is a colorless & smell less gas, which is added to
cold drink to get bubble & it also help in keeping drink strong &fresh
Color: along with taste of soft drinks is also of very important, the company tries to
maintain both taste & colur of the soft drink every where in the world.
Sugar:sugar syrup is added to the drink at around 75 degree C to the pure drinking
water ,this is to make soft drink taste sweet. Even artificial sweetness is also use
PEPSI
Pepsi is a carbonated soft drink that is produced and manufactured by pepsico.
Created and developed in 1893 and introduced as brad’s drink, it was renamed as
poepsi cola on aug 28, 1898 then to pepsi in 1961, and in select areas of north
America, “pepsi-cola made with real sugar” as of 2014.
The drink pepsi was first introduced as “Brad’s Drink” in New Bern,North
Carolina, United States, in 1893 by Caleb Bradham, who made it at his drugstore
where the drink was sold. It was renamed pepsi –cola in 1898,named after the
digestive enzyme pepsin and kola nuts used in the recipe. The original recipe also
included sugar and vanilla.Bradham sought to create a fountain drink that was
appealing and would aid in digestion and boost energy .
In 1903,Bradham moved the bottling of pepsi-cola from his drugs stores to a rented
warehouses that year, bradham sold 7968 gallons of syrup. The next year, pepsi
was sold in six-ounce bottles, and sales increased to 19848 gallons. In 1909, auto
mobile race pioneer Barney oldfield wasthe first celebrity to endorse pepsi
cola,describing it as “A bully drink... refreshing, invigorating, fibracer before a
race”. The advertising theme “delishes and healthful” was then used over to the
next two decades. In 1926, pepsi received its first logo redesign since the original
design of 1905. In 1929, the logo was changed again.
In 1931, at the depth of the great depression, the pepsi-cola company entered
brankruptcy in large part due to financial losses incurred by speculating on the
widely fluctuating sugsr prices as a result of World War I. Assets were sold and
roy c. Megargel bought the pepsi trademark.Megargel was unsuccessful, and soon
pespi’s assets were purchased by Charles Guth, the president of Loft, inc. Loft was
a candy manufacturer with retail stores that contained soda fountains. He sought to
replace coco-cola at his stores fountains after coke refused to give him a discount
on syrup. Guth then had lofts chemists reformulate the pepsi-cola syrup formula.
On three separate occasions between 1922 and 1933, the coco-cola company was
offered the opportunity to purchase the pepsi-cola company, and it declined on
each occasion.
Oligopoly
The several factors that make it very difficult for the competition to enter the
soft drink
Market include
Barriers to entry:
Cost of Establishment: Due to high capital intensive reguirement to establish new
bottling plants, investors cannot entry into the market.This financial barrier can be
a major barrier for new entrants
Advertising expenses
Brand image and loyalty
Retailers shelf space and retail distribution channel
Threats of substititute
Switching cost: switching cost of the substitute product is very low.so customers
Can easily switch to substitute products
Perceived price value: prerceived price value in this industry is very low because
all products comparatively same and most of the times differentiated
Major market players
Weight Gain
Weight gain result when you consume more calories than your body burns. A 12-
ounce serving of cola contains 140 calories, often called “empty calories” Because
they provide no nutritional value.drinking one can of cola a day for four Weeksis
equivalent to ingesting 3,920 extra calories,or a gain of 1.1 pounds if the calories
are not burned. A 160-pound person must walk for 27 minutes at 3.5 miles per
hour to burn off the calories in one can of cola, according to the calorie-
expenditure analysis provided by the MayoClinic.com. If these calories are not
burned, you may gain more than 12 pounds in one year. Additionally, sweet-
flavored sodas may disrupt appetite signals and promote cravings for other sugary
foods.
Calcium Depletion
Calcium is an essential mineral for strong bones and teeth. Consuming high
amounts of phosphoric acid, a common ingredient in sodas, can deplete the
calcium from your bones and decrease calcium absorption. Among women, this
may lead to poor bone development or osteoporosis, a condition characterized by
brittle and weak bones.
CHAPTER 3
DATA ANALYSIS & INTERPRETATION
Table-2
CLASSIFICATIO ON THE BASIS OF GENDER
TABLE-4
PRESENT CONSUMER OF SOFT DRINKS
SL.NO RESPONSE PERCENTAGE
1 YES 100 %
2 NO 0%
INTERPRETATION: The above table shows that 100 % of respondents are using
soft drinks.
TABLE-5
SHOWING THE CONSUMER BRAND PREFERENCE OF SOFT DRINKS
SL.NO BRANDS OF SOFT DRINKS PERCENTAGE
1 Coco-cola 14 %
2 Pepsi-cola 12 %
3 Sprite 38 %
4 Fanta 10 %
5 Others 26 %
INTERPRETATION: The table shows that 38 % of customers are using Sprite,
14 % are using Coco-cola, 12 % prefer Pepsi-cola and 26 % prefer other brand.
TABLE-6
SHOWING THE SOURCE INFORMATION REGARDING SOFT DRINKS
SL.NO SOURCE OF INFORMATION PERCENTAGE
1 Media advertisement 52 %
2 Internet 10 %
3 Friends 16 %
4 News papers and magazines 10 %
5 others 12 %
INTERPRETATION: 52% of respondents get awareness through media
advertisement and 10 % get awareness through internet, 16 % friends, 10
percentages get from news paper and magazines. 12 % get other sources like
relatives, family, etc. .
TABLE-7
SHOWING THE CONSUMERS USING THE ABOVE STATED BRAND
SL.NO NUMBER OF YEARS PERCENTAGE
1 Last 5 months 14 %
2 1 year 12 %
3 1-2 years 24%
4 More than 2 50 %
INT
ER
PR
ET
ATI
ON:
50
%
cust
ome
rs
usin
g
the
state
d
bran
d more than two years, 24 % suing the stated between the periods of 1 to 2 years.
14 % of customers are using the particular brand for last five months.
TABLE-8
SHOWING CONSUMER INFLUENCE TOWARDS ADVERTISEMENT
TABLE-9
SHOWING THE CONSUMERS’ OPINION OF THE BRANDS
SL.NO BRAND PERCENTAGE
1 Excellent 18 %
2 Good 62 %
3 No opinion 20 %
4 Bad 0%
5 Poor 0%
INTERPRETATION: 18% of customers say that their brands are excellent. The
other 62 % are says that their brands are good. The remaining 20 % of respondents
do not have any opinion about their brand. Nobody says that the brands that they
preferred are bad or poor.
TABLE-10
SHOWING THE MOST COMMON PLACE FOR PURCHASE
SL.NO COMMON PLACE WEIGHTED
AVERAGE
1 Convenience 4.56
2 Grocery 3.58
3 Stores 4.94
4 Wholesale warehouse 2.98
5 Restaurants 3.62
6 others 1.40
INTERPRETATION: The above table shows that majority of respondents of
purchase soft drinks from convenience stores and stores and its weighted average (
4.56). Others purchase soft drinks from restaurants grocery etc. Minority of
respondents purchase soft drinks from wholesale warehouse and other sources.
TABLE-11
SHOWING THE PURPOSE OF USING SOFT DRINKS AMONG
CONSUMERS
SL.NO PURPOSE PERCENTAGE
1 Taste 14 %
2 Caffeine 6%
3 Refreshment 68%
4 Brand loyalty 6%
5 Others 6%
INTERPRETATION: 68% of respondents are using soft drinks for refreshments.
14% are for taste. Remaining customers give importance to caffeine, brand loyalty
and other reasons.
TABLE-12
SHOWING CONSUMERS BEHAVIOUR TOWARDS CHANGING THE
BRAND
SL.NO OPINION PERCENTAGE
1 Yes 36%
2 No 64%
INTERPRETATION: 64% of respondents are not preferred to change the brand
frequently. The 34% of respondents are preferred to change the brand.
TABLE-13
SHOWING THE PRICE OF CONSUMERS FAVOURITE BRAND IS
REDUCED, WILL YOU BUY MORE OF IT
TABLE-14
SHOWING CONSUMER BRAND IS NOT AVAILABLE FOR PURCHASE
WHAT WILL THEY DO
TABLE-15
SHOWING OTHER PRODUCT OF THE SOFT DRINK APPEAR IN THE
MARKET WILL CONSUMER PREFER TO SHOP BUYING THIS BRAND
AND NEW BRAND
SL NO OPINION PERCENTAGE
1 Not at all 14%
2 I may consider 48%
3 Yes 4%
4 Can’t say 34%
INTERPRETATION: 14% respondents not at all purchase other products of soft
drinks which appeared in the market. 48% of respondents will consider the other
product of soft drinks. 34% respondents can’t say anything about this situation.
Remaining 4% will buy the other product of soft drink.
TABLE-16
SHOWING THE MOST FACTORS WHICH AFFECT THE BUYING
DECISION
SL.NO FACTORS WEIGHTED
AVERAGE
1 Quality and taste 6.56
2 Packaging 4.46
3 Celebrities 3.82
4 Price 4.44
5 Recommendations from 4.46
friends and relatives
6 Medias 2.92
7 Others 1.34
INTERPRETATION: Most of the people give importance to quality and taste
with a weighted average of 6.56. Whereas second preference is give to packaging
(W.A-4.46), price (4.44), recommendations from friends and relatives (4.46) and
the least preference is given to medias (2.92).
TABLE-17
SHOWING THE COMSUMER PAY THE QUANDITY DO PREFER BUYING
A PRODUCT
SL.NO QUANDITY PERCENTAGE
1 100ml-250ml 16%
2 250ml-500ml 42%
3 1 liter 32%
4 More than 1liter 10%
INTERPRETATION: The table showing the consumers preference quantity for
purchasing soft drinks. Majority of the respondents belongs 250ml-500ml. 32%
choose the option 1 litre. 16% prefer 100ml-250ml and only 10% prefer more than
1 litre.
TABLE-18
SHOWING THE SATISFACTION LEVEL OF CONSUMERS
SL.NO ITEMS WEIGHTED
AVERAGE
1 Price 3.70
2 Quality 3.82
3 Flavour and taste 3.86
4 Packaging 3.76
5 Brand 3.84
6 Advertisement frequency 3.56
7 Availability 3.72
8 Colour 3.22
INTERPRETATION: The above table shows that respondents are satisfied with
price, quality, flavour and taste, packaging, brand, advertisement frequency, colour
and availability of soft drinks as their weighted average (<3.5).
TABLE-19
STUDY THE CONSUMER VEIW OF SOFT DRINKS
SL.NO VIEW PERCENTAGE
1 As a health drink 10%
2 As an aid to put off thirst 68%
3 As a status symbol 12%
4 Other 10%
INTERPRETATION: The above table shows the views of consumer about soft
drinks. 68% choose the option as an aid to put off thirst. 12% of respondents view
is as status symbol. 10% view is as a health drink.
CHAPTER 4
FINDINGS, SUGGESTIONS AND CONCLUSION
FINDINGS
The majority of respondents are prefer sprite and secondly preferred
others
Majority of the reason for preferring a selected brand is refreshment
Majority of respondent don’t like to change brand frequently.
Most of the respondents view soft drink as an aid to put off thirst
Majority of the consumer do not buy more soft drinks at the time of
reducing the price
Media advertisement is the most influencing medium while purchase of soft
drinks
Age between 15 to 20 prefer to buy more
In this survey major respondents are female
Majority of the consumers opinion of the brand is good
Majority of the consumers are satisfied with flavour and taste
Most of the consumers affected by quality and taste for buying decision
SUGGESTIONS
Comsumption of soft drinks are not good for health. There are so many
health problems related with consumption of soft drinks. The major findings
from this study, youth is the major consumers of soft drink product.
Youth should:
Reduce their consumption of regular sports drink, soda or pop and other
sugar – sweetened beverages.
Increase their consumption of water and low fat or fat milk
Reduce youth’s access to sugar- sweetened beverages to decease
consumption.
Encourage adolescents to drink water and low fat- free milk, or limited
amounts of 100% fruit juices, as an option.
CONCLUSION
As stated in the objectives, this study is aimed at studying the b rand
pretence and factors influencing young consumers of packaged soft drinks.
The major part of the soft drink consumers are in 15-20 age groups. The
most preferred brand is Sprite and second position to others. The
consumption of soft drinks products increase comparing with previous
times. The changing living pattern and life style of the peoples are changed
a lot so soft drinks where common preference among all the individuals
with the change in life style and income level, peoples are shifting their
consumption patterns. The competition between the brands lead to a high
influence in buying behaviour of the consumers because their marketing
strategy. The quality and taste are influencing in consumer purchasing
decisions. One of the major influencing medium of purchasing soft drink
product is media advertisements. Major part of the consumer view about
soft drink is as an aid to put off thirst. Another part of the consumer believe
soft drink as a status symbol.
The nature oif soft drink markets are oligopoly .i.e. oligopoly is a market
dominated by a few large suppliers the degree of market concentration is
very high (i.e a large % of the market is taken up by the leading firms) .
Firms with in an oligopoly produce branded products (advertising and
marketing is a important feature of competition with in such markets) and
there are also barriers to entry.
Soft drink consumption is no good for health there are so many disease
incur through soft drink consumption but our changes in life styles soft
drinks consumption is an important product item in modern society both
urban and rural and becoming more popular in the consumer world. At
present soft drink market is one of the most competitive markets in the
world.
BIBLIOGRAPHY
BOOKS
Business research methods - Dr. K . venugopalan
Marketing management – Philip kotler
Marketing management - A. vinod
APPENDIX
A STUDY ON BRAND PREFERENCE OF
SOFT DRINKS AMONG YOUTH
1. Name:
2. Gender: Male Female
3. Age: 15 -20 21 – 25
26 – 30 30 – 35
4. Do you drink soft drinks? Yes No
5. If yes which brand of soft drink do you prefer?
Coca –cola Pepsi-cola Sprite
Fanta Others
6. What is the source of information regarding soft drink?
Media advertisement Internet Friends
Newspaper & magazines Others
7. How long you have been using the above stated brand?
Last 5 months 1year 1 to 2 year more than
2
8. Do you think advertising influence you to drink soft drinks?
Yes No
9. What is your opinion of the brand?
Excellent Good No opinion Bad
Poor(
10. Where is the most common place that you purchase soft drinks? (put ranks)
Convenience stores Grocery Stores
Wholesale ware house Restaurants Others (specify):
11. Why do you drink soft drinks?
Taste Caffeine Refreshment Brand
loyalty Others
12. Do you like to change the brand frequently? Yes No
13. If the price of your favourite brand is reduced, will you buy more of it?
Yes No
14. If your preferred brand is not available for purchase what will you do?
Post pone purchase Switch over to other brand Go to
other shop Search for your preferred brand
15. If another product of the soft drink appears in the market will you prefer to stop
buying this brand & buy new brand?
Not at all I may consider Yes Can’t say
16. Which factor mostly affect your buying decision? (put ranks)
Quality & taste Packaging Celebrities Price
Recommendation from
Friends & relatives Medias Others(specify)
17. How much quantity do you usually prefer to buy?
100ml-250m l 250ml-500ml 1 litre more than
1 litre
18. Rate the level of influence of following factors on your purchase decision (tick the
desired column)
19. Rate how much are you satisfied with the following factors in your preferred soft
drinks?
Highly satisfied Satisfied No opinion
Dissatisfied Highly dissatisfied
20. How do you view soft drinks?
As a health drink As an aid to put off thirst As a
status symbol Any other (specify)
21. Do you have any suggestions and recommendation for the usage of soft drink
5 comments:
1.
Sunjay KapoorMarch 7, 2017 at 10:49 PM
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