• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

Industry Overview, Beverages - Non Alcoholic Carbonated Drinks.

Extracts from this document...

Introduction

Industry Overview Beverages - Non Alcoholic Carbonated Drinks According to AC Nielsen, beverages dominate the list of fastest growing food and beverages categories in the global market place. While water (still and carbonated) was the leading food and beverages product, carbonated beverages experienced 6% of growth rate (2000-2001). Soft drinks consumption worldwide is growing by around 5% a year, according Global Soft drinks 2002. Averagely, the market grew by 5% - 6% per year. The zenith's 2002 global soft drinks report indicates that carbonates are the biggest soft drinks sector with 45% of global volume. Besides that, the report also shows that North America is the largest soft drinks market with a 27% volume share in 2001 and the fastest growing countries were Asia, East Europe and the Middle East. Zenith Research Director, Gary Roethenbaugh commented that the highly populous and rapidly emerging markets, such as China and India, consumption in Asia is projected to overtake that of North America in 2006. The overall sustainable growth of soft drinks in the beverages market provides marketer and manufacturer of non alcoholic carbonated soft drinks tremendous opportunity as well as challenges to realize the full potential of the market. To capitalize on the opportunities of the growing market, successful marketers concentrate effort to learn more about their consumers. ...read more.

Middle

Based on the 4 segments, the fashionable brand conscious consumer and peer pressure consumers clearly sets the example of group influenced purchased decision. The fashionable brand conscious consumers are generally in their twenties, who are universities students or make up the working class, drive fast cars (or would like to), they socialize with friends, go to parties and dance clubs. They are carefree and are freestyle. When they buy Coca-cola, they buy image, they buy fashionable drink that exudes coolness. On the other hand, the peer pressure consumers tend to be the late majority teenagers who purchase Coca-cola because their friends do it or they do not want to appear daggy purchasing a Sarsi or Sprite. They are less likely to request for Sprite or Sarsi instead of a Coca-Cola when purchasing a value meal at McDonalds for fear of dagginess. (www.coke.com) In a group, several individuals may interact to influence the purchase decision. The typical roles of an individual are initiator, influencer, decider, buyer and user. In the case of carbonated beverages, because it is a low involvement product, most of the time its target consumers could play all the roles at the same time. Motivation Most often, we human mislead ourselves when we attempt to explain our behaviour in our desire to act as retinal human beings. ...read more.

Conclusion

The speed of these changes has created increased pressure on manufacturers and marketers. The challenge for the carbonated drinks marketer is to understand its affect on demand for their products. Everyday, consumers around the world make decision on whether to buy or not to buy a product or brand or opt for that of a competitor. Some are decides when and where to shop. A marketer's advertising, direct marketing, merchandising, packaging and point of sale materials affects all these decisions, as are shoppers' own motivations and feelings about the shopping occasion and experience. Thus, the promotional mix needs to be changed to attract consumers and maintain their loyalty towards their product. Understanding human needs is critical for effective targeting marketing. However, these needs are not always detectable. The underlying motivations that most of the time marketers are not fully aware of helps maximise the potential of the brand if identified. Conclusion Understanding the changing needs of consumers and effective strategic marketing is critical to stay ahead. It is also important to understand brand relationship by exploring core needs of consumers and how consumers relate to the personality of a brand. For both manufacturers and retailers of carbonated beverages, success and failure is often a result of effective utilisation of market information to meet consumer needs and hence drive sales and profit. ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our University Degree Marketing section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related University Degree Marketing essays

  1. KFC andthe Global Fast Food Industry (703).

    Food menu should include healthier alternatives to cater for the more mature consumer. The fast food industry highest percentage of consumer age group are teenagers of whom is the group that have less spending power and are easily influenced by the pop culture.

  2. Visual Merchandising Report

    Product pricing is a good example of how many considerations can go into merchandising. Prices can be set in various ways to serve different objectives, with the ultimate goal usually being to maximize profitability. Charity shops tend to use variable pricing as they recognise the donated items they receive will

  1. Marketing Strategy for coca-cola.

    What are the changes - how have the customers reacted? The recent figures for the Coca-Cola Company show that it faced a loss of $324millioin. You can read this below. ATLANTA, January 23, 2002 -- Coca-Cola Enterprises today reported a net loss for full-year 2001 of $324 million, or 75 cents per common share.

  2. Chapter Notes on Marketing Management by Philip Kotler 10th Edition

    becomes easy to use, data integration increases and as the Internet grows. Basis for segmenting business markets Segmentation variables for business markets: Demographic Industry: which industries to serve Company size: what size companies to serve Location: what geographical areas to serve Operating variables Technology: what customer technologies should we focus on?

  1. Formulating Marketing Strategy In the Food and Hospitality Industry.

    Levitt [10] suggests that product led definitions of a business such as 'hotel and catering' are not helpful and may distract the strategic policy makers in the formulation of effective long term action plans. He maintains that the definition of the business should be in terms of its customer satisfying

  2. Analysis of Coca Cola. Coca-Colas vision serves as the framework for their Roadmap ...

    Although some employees are unionized, the company's high ($110,000) pre-tax earnings per employee indicate a relatively low sensitivity to changing labor costs. To date, collective bargaining has not led to a significant pension liability. Barriers to Entry Coca-Cola in combination with its bottling partners has an extraordinary global distribution network that through economies of scale creates a formidable barrier to competition.

  1. Buyer Behaviour.

    As individuals we might wish to create a picture of ourselves that is acceptable to our reference group. This is communicated to the outside world by our individual behaviour. Marketers are interested in this behaviour as it relates to our purchase and consumption of goods.

  2. Title: Analyse and investigate consumer responses towards Internet shopping and the

    In this era the internet is a place where constant interactions take place within the customer and organisations (Pita and Flower, et al 2005). Thus, more and more organisation uses different online kit, such as chat, forum, email and intranet to communicate with their customer and establish a relationship.

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work