Consultancy Report about ( coca cola ) Essay Example | Topics and Well Written Essays - 3000 words

Consultancy Report about ( coca cola ) - Essay Example In this report, the marketing elements (i.e., marketing mix) of this Company as of the year 2009 and earlier shall be explored and specific strengths and weaknesses noted in order to arrive at a recommendation for possible changes in the marketing thrust of the firm. For the purpose of this study and to better incorporate the customer focus of contemporary market research, the expanded version of the marketing mix – the seven P’s framework – will be employed to establish the merits of the marketing strategy of Coca Cola. The seven P’s are namely Product, Place, Price, Promotion, with the inclusion of People, Process and Physical (tangible) evidence. Part 1- The macro and competitive environments The marketing strategy and performance of the company is best seen in the light of the macroeconomic setting prevailing at the present time. Figures presented are until 2009 performance inasmuch as 2010 full year data have not yet been released. Source: The 2010 UK Soft Drinks Report, The British Soft Drinks Association The data gathered for the soft drink industry in the UK presented in the table above shows the soft drinks consumption figures for the years 2003 to 2009. The data shows that there has been in general only a slight increase in the total volume of consumption, as well as the volume consumed per person. The value of product consumed, however, rose consistently, indicating that a rise in prices (value per litre) of soft drinks products from one year to the next has had little effect on the consumption patterns of individuals as well as the collective market. This is favourable for the industry, showing the price elasticity to be relatively inelastic and ensuring that a steady demand may be expected well into the future. The next graph below, from the same U.K. soft drinks report, shows the graph of the annual percentage change in the consumption of different types of soft drinks. Covered under the category of soft drinks are bott le water, carbonated (so called â€Å"sizzling†) drinks, dilutables, fruit juice and juice drinks (not shown are tea, coffee, and a few other â€Å"soft† beverage products). The downward convergence of the different soft drinks products are indicative of a general slowdown in the growth of the market in the U.K., pointing to the possibility that the industry is arriving at the maturity stage when the growth will continue, but at a lower rate. With market maturity will come shakeout of the industry, where weaker competitors are likely to retire. Source: The 2010 UK Soft Drinks Report, The British Soft Drinks Association The following two pages contain the tables for the PESTLE and SWOT analysis of the company. The strategic positioning of the company indicates a strong market presence, but with concerns that may impact on its market performance efficiency. PESTLE ANALYSIS The next two tables were the results of studies by the 2010 UK Soft Drinks Report by the BSDA. Carb onated drinks (so-called â€Å"sparkling† soft drinks) commands the largest market share at 42%. The type of soft drink with the second largest share comprises only slightly more than half of carbonated drinks. This makes Coca Cola’s leading brand particularly well positioned to dominate the soft drinks market. There is also significant demand for drink variants that have low calorie content or those that have no sugar, which dominates