Marketing Research into the Consumption of Fruit and Soft Drinks in India.

University Degree Business and Administrative studies

A COMPARATIVE STUDY ON CONSUMPTION PATTERNS OF SOFT DRINKS AND FRUIT JUICES

EXECUTIVE SUMMARY

Soft Drinks were common preference among all the individuals before juices were being introduced,

With the changing lifestyle and income levels, people are shifting their consumption patterns and have therefore become more health conscious thus leading to increase in demand of juices.

Market Research is based on some underlying parameters like:

Changing consumption pattern
Health factor
Status consciousness
Varying lifestyle

The basic subject matter of the research, comparative analysis of Soft Drinks and Juices is focused to study the mind/taste of different age group of people.

The study starts with determining the major players in the soft drinks and the juices market, their overall consumption pattern among the people and ends up with the conclusion as per the state of mind of the average rational human being.

TABLE OF CONTENTS

Certificate from the Institute

Acknowledgement

Executive Summary
Chapter-1 Introduction Page No

1.1 Beverage 8

1.2 Overview of the Industry 11

1.3 Recent issues 14

1.4 Study of growth of Soft Drink market 20

1.5 Major players in Soft Drinks segment:

Coca-cola 21

Fanta 22

Limca 23

Sprite 24

Thums up 25

Maaza 26

Pepsi 27

1.6 Study of growth of Fruit Drink market 28

1.7 Major players in Fruit Drink segment:

Dabur Real 29

Godrej 30

Pepsi Tropicana 31

Leh berry From Ladakh Foods 32

Parle’s Frooti &Appy 33

Chapter-2 Research Methodology

Methodology 35
Purpose of the study 35
Objectives of the study 36
Scope of the study 37
Research Design 37
Sampling Technique used 38
Selection of Sample Size 38
Sources of Data collection 38
Statistical Tools Used 39

Chapter-3 Data Analysis and Findings 40

Chapter-4 Conclusion and Suggestions 53
Annexure 57

Questionnaire

Bibliography 61

INTRODUCTION

BEVERAGE

What is beverage?

A drink, or beverage, is a specifically prepared for consumption. In addition to basic needs, beverages form part of the of human society.

or

any liquid suitable for drinking; "may I take your beverage order?"

or

A liquid to consume, usually excluding water; a drink. This may include tea, coffee, liquor, beer, milk, or soft drinks

Types of beverage

The various types of beverage are:

Alcoholic beverages
Non-Alcohol beverages
Soft drinks
Fruit juice
Hot beverages
Other

1. Alcoholic beverages

An alcoholic beverage is a drink containing , commonly known as alcohol, although in chemistry the definition of an includes many other compounds. Alcoholic beverages, such as , , and liquor have been part of human culture and development for 8,000 years.

2. Non-alcohol beverages

Non-alcoholic beverages are drinks that would normally contain alcohol, such as and but are made with less than .5 percent alcohol by volume. The category includes drinks that have undergone an alcohol removal process such as non-alcoholic beers and de-alcohol zed wines.

Non-alcoholic variants:

Non-alcoholic

3. Soft drinks

The name "soft drink" specifies a lack of alcohol by way of contrast to the term "hard drink" and the term "drink", the latter of which is nominally neutral but often carries connotations of alcoholic content. Beverages like , , , , , and fruit are among the most common types of soft drinks, while , hot , , , , , and do not fall into this classification. Many carbonated soft drinks are optionally available in versions sweetened with or with .

4. Fruit juice

Juice is a naturally contained in or tissue. Juice is prepared by mechanically squeezing or fresh fruits or vegetables without the application of heat or solvents. For example, is the liquid extract of the of the tree. Juice may be prepared in the home from fresh fruits and vegetables using variety of hand or electric . Many commercial juices are filtered to remove fiber or pulp, but high pulp fresh orange juice is a popular beverage. Juice may be marketed in form, sometimes frozen, requiring the user to add to reconstitute the liquid back to its "original state"

5.Hot beverages

Hot beverages, including . Sometimes drunk chilled.

-based beverages

Flavored ( etc.)

Mulled

Tea-based beverages

Flavored ( etc.)

6.Other

Some substances may either be called food or drink, and accordingly be eaten with a or drunk, depending on solid ingredients in it and on how thick it is, and on preference:

Soup

Yogurt

OVERVIEW OF THE INDUSTRY

The beverage market is worth $55 billion worldwide.

The tides are turning for many beverage categories. While the carbonated soft drink and beer categories are merely treading water with flat sales, the energy drink category is surging ahead like never before. Bottled water, ready-to-drink coffee, ready-to-drink tea and sports drinks follow close behind with substantial sales increase- drinks without added sugar, no beer, along with developments in juice drinks and dairy-based drinks, are helping to turn around sales in these categories. What follows is a category-by-category look at the state of the beverage industry, including the top brands, new products, innovations and future trendsetters.

In order to be successful in the marketplace, one has to think in terms of health innovation, flavor innovation, ingredient innovation and specific age groups. These are the factors that will shape the future of the beverage industry.

“Today’s consumers are concerned with overall health and wellness. As a result, there is significant impact on food and beverage purchases. Many studies have shown that consumers are as concerned with good health as they are about maintaining a high quality of life.”

Do you know what type of new beverage consumers are most likely to try? Do you know where they are most likely to pick those products up? Do you know why?

Beverage Industry wanted to know the answers to these questions and to delve deeper into the ever-increasing number of new product launches in the beverage market. “The soft drink industry is training people to seek out new products, even the big guys are coming out with limited-edition flavors, and consumers are beginning to see that there is more flavor activity going on in the category. Whether that really nets anybody any sales gains is another thing, but it is teaching consumers to seek out and try new products. It’s also trying to create some excitement there.”

In spite of several challenges and restrictions faced by this industry, it is a ‘roll’ like never before. Customer preferences may have shifted, but they are still always on the look out for a can of ‘coke’ or a new ‘flavored’ drink to quench their thirst.

INDIAN BEVERAGE MARKET

The size of the Indian food processing industry is around $ 65.6 billion, including $20.6 billion of value added products. Of this, the health beverage industry is valued at $230 million; bread and biscuits at $1.7 billion; chocolates at $73 million and ice

creams at $188 million.

The size of the semi-processed/ready-to-eat food segment is over $1.1 billion. Large biscuits & confectionery units, Soya processing units and starch/glucose/sorbitol producing units have also come up, catering to domestic and international markets.

The three largest consumed categories of packaged foods are packed tea, biscuits and soft drinks. The ...