Marketing Research Coca-Cola Essay Example

definitions that explain advertising as providing information about goods and services to generate demand or influence behavior to boost sales. It is seen as an informative mechanism involving any paid form of nonparallel presentation and promotion of ideas, goods, or services by an identified sponsor (14, p 981). Advertising provides valuable information for manufacturers to effectively sell their products and services while helping consumers make favorable purchases (15, p 381). Advertising has multiple applications such as establishing a long-term image for the business entity, introducing new products or suggesting alternative uses for them, correcting false impressions and alleviating buyer concerns, as well as informing the market about price changes. The text highlights that advertising takes on various forms, such as propaganda, information, persuasiveness, posters,
catalogues,
discounts,
coupons,
and allowances.
It is a public means of communication for legal
and standard goodsAdvertising is a means of repeating messages and enabling buyers to compare different sellers' messages. It effectively represents the firm by using font, sound, and color skillfully. However, it lacks personal interaction like engaging in dialogue with salespeople; instead, it only enables one-way communication without conversation with the audience. Advertising can serve long-term brand image building (e.g., Coca-Cola) or immediate sales stimulation. Its purpose is to inform geographically dispersed buyers about products and services while increasing brand recognition and trust. Additionally, advertising stimulates demand and supports retail and wholesale circulation. There are various forms of advertising: informative ads introduce new product categories; persuasive ads are used during heightened competition; emotional ads reassure current buyers; reminder ads maintain consumer awareness.

In terms of reaching target markets, print media such as magazines and newspapers is the most common method. Ads in print media are

effective because they stand out from the general black and white layout of the publication. By catching the reader's attention with their visibility, these ads prompt them to take a closer look. This ensures that the reader understands what the ad is about and who is selling the product. The success of an ad is measured by its impact on a company's profits; therefore, increased profits serve as the ultimate test of ad success.In order to achieve their goals, advertisers create appealing ads that persuade readers to buy their products. The development process of advertising at commercial enterprises involves a complex set of actions to create positive images and attract new clients through advertisements and publicity efforts. This HTML-formatted text illustrates the close relationship between advertising activity and a company's trade and business policy. Advertising activity encompasses both strategy and tactics, as it includes a series of actions aimed at achieving specific objectives. Strategy refers to the overall approach for reaching these objectives, while tactics are the specific means used.

The advertising process in a commercial enterprise consists of various stages: setting objectives, selecting target audience, making budget decisions, determining message content, making media choices, and evaluating the campaign. Each stage plays a crucial role in successful advertising. In the initial stage, it is essential for the enterprise to clearly define the purpose of their campaign - whether it aims to create a positive image, enhance firm prestige, strengthen market position or increase sales. The distinction between product advertising and corporate advertising lies in the message they convey.Understanding the desired outcome and expectations of the firm after an advertising campaign is crucial. It is essential to

understand the target audience in order to develop successful advertising activity and strategy. Identifying the correct target audience is vital for promotion strategies such as advertising, personal selling, sales stimulation or propaganda to succeed. Once objectives and target audience are determined, the company sets an advertising budget for each product with the goal of influencing product demand and achieving sales goals through necessary funding allocation. When setting the advertising budget, it is important to consider factors such as product life cycle stage, market share, competition and clutter, advertising frequency, and product differentiation.

The fourth stage of the decision-making process involves planning a message strategy that effectively communicates a general message to consumers. This strategy serves as a starting point for creating appealing advertisements by identifying customer benefits that can be utilized. These statements then serve as clear outlines of benefits and positioning points that emphasize what the advertiser wants to convey. By transforming these statements into persuasive advertisements, consumers are encouraged to make purchases or form beliefs.

To bring this message strategy to life in a memorable way, advertisers must develop a creative concept or "big idea".The effectiveness of the message relies on both its content and delivery. Creative individuals are crucial in turning the "big idea" into an ad that captures the attention and interest of the target market. Before Christmas arrives, media decisions such as reach, frequency, impact, selecting media types and vehicles should be carefully considered. It is important to evaluate campaign performance throughout its entirety in order to make necessary modifications and achieve objectives. The success of an advertising campaign can be measured by assessing both communication effect and sales effect. Copy testing

is used to measure the communication effect which evaluates how effectively an advertisement conveys its message. Copy testing can be done before or after printing or broadcasting the ad. In Chapter 2, we will explore JP "Coca-Cola Almost Bottlers" ALP's process of registering their advertising activity with the National Agency for Foreign Investments at the Ministry of Economics of Astrakhan Republic on October 6, 1994 (Eng 41 - 1907/10). The Ministry of Justice of the Republic of Astrakhan re-registered it on April 4, 1996 (Certificate Eng 121 - 1900 - JOINT-STOCK COMPANY). "Coca-Cola Almost Bottlers" (CAB) was established in October 1994 as a joint venture consisting of Corporation "Fees Group" from Turkey, The Company "Tones" from Astrakhan that manufactured soft drinks, and Coca-Cola Export Corporation from America.On January 17, 2001, Joint-Stock Company "Coca-Cola Almost Bottlers" became a Khaki-Turkish-American-Holland Joint Venture with Limited Liability Partnership. The joint venture's main activities include manufacturing and packaging soft drinks, as well as selling popular soft drinks from "The Coca-Cola Company". It procures and imports all necessary components for its operations, such as drink concentrates and equipment. The first products were produced on December 20th, 1995.

The company has a hierarchical organizational structure where personnel politics play an active role in management's forecasts and means of influence. The personnel service is responsible for developing anti-recessionary programs, monitoring situations, and correcting performance. Each level of management ensures understanding and compliance with organizational requirements.

The company utilizes a territorial sales force structure in which each salesperson is assigned to a specific geographic territory. Their responsibility is to sell the full line of products to customers within that territory. This structure offers advantages such as

clearly defining the salesperson's role and increasing their motivation to build local business relationships. It also helps reduce travel expenses.

JP "Coca-Cola Almost Bottlers" ALP employs a distribution and sales system that analyzes changes in demand and competitor offerings.The company's management is currently facing a crucial decision regarding product sales, specifically in relation to distribution channels. There are two main channels being used: Direct Delivery and Hardcore. Direct Delivery includes markets, small shops, supermarkets, and bazaars. On the other hand, Hardcore refers to the hotel, restaurant, cafe, and disco industry globally.

Figure 1 provided in the text shows that 77% of sales come from direct delivery channel. This text highlights the importance of pricing in product sales with an average price of 70 tenses for a 1 LTR capacity. However, only 23% of sales come from the Hardcore channel where the average price for the same capacity ranges between 150-200 tinge. The difference in pricing presents challenges for further developing this distribution channel.

The regional sales manager is responsible for ensuring product availability in regional cities while taking these factors into consideration. The text discusses the role and responsibilities of sales supervisors at "Coca-Cola Almost Bottlers" in Astrakhan whose main responsibility is to ensure proper distribution within their territories.

The company's marketing efforts primarily focus on developing a business strategy to increase revenue and promote enterprise growth. It also emphasizes public relations through mass media and personal contact with representatives from public organizations to maintain a positive image and prevent income losses."Preserving its market position is a priority for 'Coca-Cola Almost Bottlers' in the face of competition from similar enterprises in Astrakhan. The company employs various marketing strategies, such

as discounts through contracts, mass media advertising, sales stimulation methods, and high-quality packaging that meets global standards. The marketing department conducts research on commodity markets, analyzes competitor strategies, and evaluates the impact of promotional actions on sales performance within specific time periods.

According to the 2004 marketing research findings, CAB products held around 19.6% of the total soft drink market share in Astrakhan. However, there has been a slight decline compared to the period between 1999 and 2004. For example, in 2003 there was a decrease of 1.2% in CAB's market share compared to 2002. Conversely, well-established brands (a-brands) experienced growth trends in the market.

The text discusses multiple soft drink manufacturers including 'Liberal Bottlers,' 'Seems us,' and 'Crystal.' It highlights that all beverages except those produced by 'Coca-Cola Almost Bottlers' and 'PR Bottlers' are categorized as B-brands which accounted for approximately 72.9% market share in 2004."CAB is the leading company in the soft drink manufacturing industry, surpassing its main competitor "PR Bottlers" with a market share of 12.9%. Annually, at the beginning of each year, a budget is determined for advertising and marketing activities which include expenses such as TV spots, promotional materials, special events, promotion-activation charges, and marketing researches. Appendix 1 shows that television advertising represents significant expenditures with $795,000 spent in 2003 and $531,000 spent in 2004. Television advertising is an effective way to influence consumer behavior and create a positive brand image but can be costly depending on channel ratings. The ROTOR - Astrakhan channel charges a minimum of $1500 per minute while local channels like KIT, NET, and 31 channel range from $300 to $500 per minute. Radio advertising also offers cost-effective

mass advertising options. CAB's radio advertising costs were $20,000 in 2003 and $10,000 in 2004. Some of the radio channels that broadcast CAB products are "Europe Plus", "Russian Radio Asia", and "31 radio". Although radio ads lack visuals compared to TV ads, a well-crafted audio advertisement with engaging voiceover, interesting text, and pleasant background music can still be effective. Furthermore,given its constant presence throughout the day across various settings adds to its effectivenessEven in the absence of visual cues, individuals can recall the name and location of companies upon repeated exposure to their advertisements, typically after hearing them for the fourth or fifth instance.