Final Report Coca Cola

Coca Cola
Unavailability of Coca Cola in the Rural Areas of Pakistan
Aroosa Sajid
Muhammad Hamza Hassan
Muhammad Saad
Zara Ayaz
MBA II
Section C
Group Number: 9 (C 2)
30th November 2020
Market Research
Lahore School of Economics Research Course
Table of Contents
Acknowledgments.............................................................................................................................................. 4
Executive Summary........................................................................................................................................... 5
Introduction....................................................................................................................................................... 7
Company Background................................................................................................................................................7
Significance of the study............................................................................................................................................8
Problem Definition............................................................................................................................................ 8
Management Decision Problem.................................................................................................................................8
Marketing Research Problem....................................................................................................................................9
Research Hypothesis..................................................................................................................................................9
Theoretical Framework..............................................................................................................................................9
Literature Review............................................................................................................................................ 10
Brand Image.............................................................................................................................................................10
Quality......................................................................................................................................................................11
Price.........................................................................................................................................................................11
Competitor’s Reach..................................................................................................................................................12
Design......................................................................................................................................................................12
Consumer Preferences.............................................................................................................................................13
Research Methods and Procedures.................................................................................................................. 13

A. Summary of the type of research you are conducting....................................................................................13
B. Secondary Research.......................................................................................................................................13
Background.........................................................................................................................................................13
Company Analysis..............................................................................................................................................15
Target Market......................................................................................................................................................15
Industry Analysis.................................................................................................................................................16
Rural Perspective.................................................................................................................................................16
Distribution Channels..........................................................................................................................................16
Industry Analysis.................................................................................................................................................17
Primary Research.............................................................................................................................................. 17
Survey Development.................................................................................................................................................17
Focus Group Objectives...........................................................................................................................................18
Focus Group Moderator’s Guide............................................................................................................................18
Engagement questions.........................................................................................................................................18
Exploration questions..........................................................................................................................................18
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Exit questions......................................................................................................................................................19
Interviewer’s Guide..................................................................................................................................................19
Interview Questions.............................................................................................................................................19
Interview Analysis....................................................................................................................................................20
Data Analysis, Discussion & Findings.............................................................................................................. 21

Demographics..........................................................................................................................................................21
Brand Image.............................................................................................................................................................21
Quality......................................................................................................................................................................22
Price.........................................................................................................................................................................22
Competitors reach....................................................................................................................................................23
Customer Preference................................................................................................................................................23
Design......................................................................................................................................................................24
Regression Analysis......................................................................................................................................... 25
Limitations....................................................................................................................................................... 27
Conclusion....................................................................................................................................................... 27
Recommendations............................................................................................................................................ 28
References........................................................................................................................................................ 30
Appendix......................................................................................................................................................... 34
Consent Forms..........................................................................................................................................................34
Declaration Forms...................................................................................................................................................54
Focus Group Transcribed Document............................................................................................................... 61
Questionnaire circulation copy........................................................................................................................ 74

Marketing research problem....................................................................................................................................75
Graphical Model......................................................................................................................................................75
Appendix 1................................................................................................................................................................76
Questionnaire - With Variable Details...................................................................................................................76
Circulation Copy.....................................................................................................................................................78
Graphs............................................................................................................................................................. 80
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Acknowledgments
In performing our research, we had to take the help and guideline of some respected people, who
deserve our greatest gratitude. We would also like to show respect to the all the peers for sharing
their pearls of wisdom with us during the course of this research, and also thank all the reviewers
for their insights. This research paper is also made possible through the help from everyone,
including: family, and teachers. Many people, especially our team members themselves, have
made valuable comment suggestions on this proposal which gave us an inspiration to improve
our assignment. Please allow us to dedicate our acknowledgment of gratitude toward the
interviewees and the respondents for their time and effort, without which this research would be
incomplete. Finally, we are also immensely grateful to Dr. Saad Shahid for his comments on an
earlier version of the manuscript, although any errors are our own and should not tarnish his
reputations. We would like to thank him for the support and encouragement he gave us for this
topic. This gives us the experience on how to cooperate and engage ourselves in upcoming future
projects.
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Executive Summary
This research was primarily conducted to evaluate the reasons due to which there in
unavailability in rural areas of Pakistan. This research not just focuses on identifying the issues
but it also helped us get better insights about the company and its sales force. The research was
conducted using 120 responses of people belonging to rural area of Pakistan. Research was
conducted through Primary data (Interviews, focus groups and questionnaires) and secondary
data (Company’s website, research articles and newspapers). After recognizing the problem, we
then used all the data collected through research, did their analysis and made conclusion for the
company. With the help of this research paper, we have come to a conclusion that Coca-Cola’s
distribution is truly unreachable in rural areas of Pakistan which has a negative impact in the
minds of consumers. Coca-Cola’s competitors act as king as they have strong reach to its target
market in rural areas. Pakistan being the price sensitive market, especially the rural areas, makes
the buyers extremely sensitive even to the slight changes in prices of bottles which leads to
decrease in demand of Coca-Cola and increase demand in substitutes products. There is a direct
relationship between consumer satisfaction and price of product. It is seen that Coca-Cola have
been ignoring its demand in rural areas.
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Introduction
Coca-Cola Company is known to be the world’s largest beverage selling company and a
leading marketer of soft drinks. Even today, it is consumed globally per day at the rate at the rate
of more than 600 million times. According to Amin & Hossain (2014), Coca-Cola is not just
focusing on past glories, but looking into future challenges as well by seeking new markets and
increasing its market share in those areas where it already has a strong presence. Coca-Cola is
known to be present on all seven continents which it is recognized by almost 94% of worlds’
population.
The values of the Coca-Cola Company specifically associated with the leadership, collaboration,
quality, diversity, passion, accountability, and integrity as well. In discussing leadership
attributes of Coca-Cola Company, is the development of courage to shape with better shape
(Michael, 2013). Management structure is established under a centralized decision-making
process, every employee follows leadership path in nurturing the organizational process. Coca-
Cola is recognized for mass targeting rather than segmentation since they spend more on
observing its competitor’s performance and negative public relations than spending on market
research. With every new strategy they tend to incorporate a counter strategy towards their
competitors while they show the positivity of the brand (Singaram, Mehta & Arora, 2019).
Company Background
Coca-Cola is recognized as the manufacturer, retailer, and marketer of beverage drinks
that are non-alcoholic serving more than 200 countries and offering more than 500 brands. Coca-
Cola Enterprises, established in 1986, is a young company by the standards of the Coca-Cola
system. Yet each of its franchises has a strong heritage in the traditions of Coca-Cola that’s the
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foundation for this Company. Its headquarters are situated in Atlanta, Georgia, United States. It
is a global brand serving customers through years. In the year 2015, the net income of Coca-Cola
was $7.351 Billion dollars. Coca-Cola has more than 123,200 employees (Coca-
colacompany.com, 2015). Bottling system of Coca-Cola continued to be independent and local
until the early 1980 periods when franchises of bottling started to combine.
By 1991, Coca-Cola and the Johnston Coca-Cola Bottling Group, Inc. created a larger, stronger
Company, again helping accelerate bottler consolidation. As part of the merger, the senior
management team of Johnston assumed responsibility for managing the Company, and began a
dramatic, successful restructuring (Amin & Hossain, 2014).
Significance of the study
This research is significant because unavailability of Coca-Cola in rural areas of Pakistan
have resulted in negative customer preferences. This has also resulted in negative brand image
for the company. The purpose of this research is to identify the effects of brand image, quality,
design, price and competitor’s reach on customer preferences. The variables would be looked at
and their sense related to the research must be enlightened.
Management Decision Problem
Should we increase distribution resources (manpower and bottles) to Rural areas of Pakistan
given the decrease in manpower due to COVID-19?
Marketing Research Problem
To determine the consumer preferences towards Coca-Cola in the Rural areas of Pakistan.
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Research Hypothesis
H1: Brand Image has a significant positive impact on Customer Preferences.
H2: Quality has a significant positive impact on Customer Preferences.
H3: Design has a significant positive impact on Customer Preferences.
H4: Price has a significant positive impact on Customer Preferences.
H5: Competitor’s Reach has a significant positive impact on Customer Preferences.
Theoretical Framework
Brand Image Quality Design Price Competitor’s

Reach
Customer
Preferences
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Literature Review
Brand Image
Brand image is the perception of the product or service in the mind of the consumer.
Keller (2016) explains that brand image is determined by the way consumers think about the
product in addition to the perceived value they attain from the good or service. It is the sum of all
the associations a potential or existing customer has regarding the product or service. Companies
employ well-known celebrities to create a reliable image and to achieve a positive advertising
effect and reinforce brand reputation (Lee et. al, 2016). Yet, this might not be enough in all
cases. Tsai and Kuo (2015) believe that there should be a positive brand image that increases
consumers’ utility and that they can instantly identify the product. Oliver (2010) regards brand
image as the exterior imprint of the brand. Lee & Chan (2019) found that the brand image in the
buyer’s mind will be an important factor in the buying process. “Enterprises can enhance brand
value through brand image development” (Bailey & Ball, 2006). According to Chen et. al,
(2014),a positive brand image positively impacts customers’ purchase decision. Tuet. al (2012)
found that a positive brand image creates impalpable utility for consumers and helps the brand
create its goodwill in the community. Brand image is very important for any brand because it
aids in creating a unique offering and differentiation in highly competitive homogeneous markets
(Aaker, 1995). Zhang (2015) notes that brand image is the view and sentiment of consumers
towards brands. “Brand image is related to the brand association of consumers themselves”
(Chan 2017). Grohs and Reisinger (2014) argued that brand image is the perception of the brand
in the minds of the consumers based on the knowledge and information they have about the
product or service. Wang et al. (2017) found that brand image helps the consumer recognize the
product.
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Quality
Quality is the degree of excellence of anything. It is subjective in nature and it may vary
from person to person. Richardson et. al, (1992) found that quality is one of the variables which
impacts consumer perception about a product or service. Batra & Sinha (2000) believe that the
tangible and physical features of a product can be checked by the quality standards visible in the
product. “Product quality refers to the extent to which a product meets or exceeds the consumer’s
expectations” (Garvin, 1987). Wheatley et. al (1982) found that high price is associated with
high quality whereas low price is associated with low quality. Narasimhan and Wilcox (1998)
believe that the perceived quality varies from brand to brand in the same category. Pence (1993)
identified that quality improvements help to maintain long term relationships with consumers.
Khan & Fasih (2014) found that quality has a positive relation with loyalty. In their research,
Hussain & Routray (2012) found that the advertisement agencies are using quality as a major
selling point in their communications. This further explains the importance of quality and
continuous quality improvements.
Price
Price is the amount paid in exchange for a good or service. Chakraborty (2011) found that
consumers prefer non private label colas primarily because they don’t have any negative
associations related to the price or quality of the product. Prakash and Pathak (2014) observed
that price plays a massive role in the purchase decision of the people residing in the rural areas.
This is an important finding which shows there is more scope for researching our chosen topic.
Aaker (1991) found that once loyalty is achieved, consumers will constantly rebuy even if there
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is an increase in the price. This shows that companies can increase revenues and in turn profits if
they can achieve loyalty first.
Competitor’s Reach
Competitors are brands which are similar to the company’s brand. In this case, the direct
competitor for Coca Cola is Pepsi among others. In the beverage industry, there is fierce
competition between Coca Cola and Pepsi around the world. Andersson et al., (2006) found that
companies differentiate from their competitors through aggressive and innovative advertising
campaigns. One of the biggest uses of branding is to create differentiation (Keller, 1993). In a
competitive environment, brand positioning has a significant impact on sales and customer
preferences. Brand positioning in the mind of the consumer helps him or her make the distinction
between competitive brands (Czinkota et al., 2001).
Design
Design generally refers to the layout of the product, brand or service. In this case, the
design of Coca Cola includes the physical appearance of the bottle and the labeling, capping and
other features. Roberts (2004) found that the optical features of the product such as design solicit
emotional experiences. “Brands have turned their attention towards aesthetic design to
differentiate themselves” (Postrel, 2003). The design and physical outlook of a product has
become hugely important these days due to the fact that firms no longer compete on price or
quality. The only differentiating factor now is the design. Hartley (2006) describes the Coca Cola
glass bottle as the true reflection of the brand’s identity.
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Consumer Preferences
Consumer preferences provide insights into how a particular customer utilizes his or her
income to get the maximum level of satisfaction and utility. Rihn et al., (2014) found that
branding has a major impact on consumer preferences. Consumer preferences involve tradeoffs
because the purchasing power is limited and hence choices must be made (Tonsor, 2011).
Rombach et al., (2018) noted that product attributes have a major impact on consumer
preferences and this factor must be considered in future studies. Research on food (including
drinks) showed “fair trade and ethical consumption to be important consumer concerns (Carrigan
et al., 2004).
Research Methods and Procedures
A. Summary of the type of research you are conducting
We are going to be using an exploratory research approach since this problem has not been
studied or researched before. Furthermore, we are going to use an online survey and the
sampling will be purposive. We will identify the relevant target audience beforehand and then
float the questionnaire only to those people. Also, we’ll conduct a Zoom interview with our
contact in the company to get a better understanding of the issue at hand.
B. Secondary Research
Background
Coca Cola, a market leader in the beverage industry of Pakistan, was facing distribution
issues in the rural areas of the country due to the redundancies made by the company amidst
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COVID-19. As a result, consumers were switching to other brands available to them in the area
i.e Pepsi, RC Cola.
Coca-Cola cut thousands of jobs and reduces the number of business units as it faces declining
beverage sales in the coronavirus pandemic. Coke said the job cuts will come in the form of
voluntary and involuntary reductions.
According to Pakistan Shafaqnama, globally, Coca-Cola in July overall reported a 28% slump in
sales in the most challenging quarter of the year due to corona virus-triggered closures of
restaurants, theatres and sports venues. Therefore, Coca-Cola Company on 28th August 2020
joined a list of big US companies laying off thousands of workers in response to the corona virus
crisis, offering voluntary deals across its businesses and promising to halve its number of
operating units. According to Express Tribune, Coca-Cola was offering voluntary redundancy to
4,000 workers in the United States, Canada and Puerto Rico and would offer similar deals in
other markets including India, Pakistan and other South Asian countries. These 4000 employees
would incur expenses of about $350 million to $550 million.
The company is battling a hit to sales from closures of bars, restaurants and cinemas
where it normally sells heavily. Coca-Cola sales have been decreased much due to disturbance in
the bottles distribution to the many countries. Due to complete lockdown in many countries,
supply chain has been much affected which would result in the decrease of the sales of Coca-
Cola.The plan to cut jobs come at a time when the number of Americans filing new claims for
unemployment benefits hovered around 1 million in mid August, with the government
confirming that the economy suffered its sharpest contraction in at least 73 years in the second
quarter.Also, Coca-Cola plans to reduce its number of operating units from their current total of
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17 businesses in four geographies to nine operating units in those regions. Due to decrease in
sales in Corona pandemic, Coke is focusing on its most popular segments that include its main
Coca-Cola line and products like sports drinks, coffees and teas.Meanwhile, it has outlined plans
to kill more ‘zombie brands’ or those that are not growing. For instance, the company
discontinued its Odwalla smoothie brand in July. According to Chromile, In Coca-Cola's second
quarter, which ended on June 26, the company saw sales drop 28 per cent to 7.2 billion dollars.
Company Analysis
Coca-Cola is a carbonated soft drink sold in stores, restaurants, and vending machines
throughout the world. It is produced by The Coca-Cola Company of Atlanta, Georgia, and is
often referred to simply as Coke (a registered trademark of The Coca-Cola Company in the
United States since March 27, 1944). Originally intended as a patent medicine when it was
invented in the late 19th century by John Pemberton, Coca-Cola was bought out by businessman
Asa Griggs Candler, whose marketing tactics led Coke to its dominance of the world soft-drink
market throughout the 20th century.
Target Market
Coca-Cola commercials mainly focused on young generations, for the reason that they
want to represent Coca-Cola with the youth & energy further they think about the matured
people they take then as a co-target market.Major segments are mainly those who take Coca-
Cola daily & those areas where the demand is higher than the other areas. A lot of people who
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take Coca-Cola daily &those who take weekly & those who take rarely are always there as well.
So, the Pakistan Coca Cola company’s basic segments are those who have this drink often.
Industry Analysis
All over world there are two soft drink giants, Coke and Pepsi. The competition between
two companies has always been neck to neck. Both these companies keep on try to take lead in
terms of pricing, packaging, promoting and placing.
In Pakistan recently a few other beverages are also introduced such as Gourmet-Cola, Shandy
Cola and Amrat-Cola but currently these soft drinks are not a threat for coke due to their very
low market share and secondly due to brand loyalty of customers for coke.
Rural Perspective
Though we cannot say that soft drinks are not popular among the rural citizens of
Pakistan, the availability of traditional substitutes like lassie (a traditional drink from Punjab)
and rao (sugar cane juice) offers a tough competition to Coca-Cola. These traditional drinks are
not only cheaper they are also thought to be more thirst quenching in the summer heat of the
plains than the carbonated water. Restricted availability of the rural areas due to poor
infrastructure and communication is another reason why this vast market is mostly uncovered.
Because of this reason the growing trends of urbanization is another opportunity for all soft drink
manufacturers. Urban population now constitutes 45% of the total population of the country. The
migrating families not only have a comparatively higher income but are also eager to adapt to the
new city life. This is where coca cola can jump in and expand its operations.
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Distribution Channels
Selecting the most appropriate distribution channel is important, as the choice will
determine sales levels and costs. It is apparent from the popularity of the Coca Cola in the
market of Pakistan that the company is using the intensive distribution as the products are
available at every possible outlet of urban areas.
In Pakistan, there are 14000 employees working in Coca-Cola. In which 8000 employees
are on permanent basis and 6000 employees are on contract basis. These 6000 employees
contract finished in June and company did not renew their contracts. Company is also facing low
fill problem of plants. Like a plant line fills 10 bottles in a row, in which 2 bottles are not filled
completely, and due to lack of employees, these unfilled bottles are kept in inventory and these
problems are pending from June.
Industry Analysis
All over world there are two soft drink giants, Coke and Pepsi. The competition between
two companies has always been neck to neck. Both these companies keep on try to take lead in
terms of pricing, packaging, promoting and placing.
In Pakistan recently a few other beverages are also introduced such as Gourmet-Cola, Shandy
Cola and Amrat-Cola but currently these soft drinks are not a threat for coke due to their very
low market share and secondly due to brand loyalty of customers for coke.
Primary Research
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Survey Development
In the Survey Development Process, questionnaire has been distributed between the
consumers to assess their opinions, beliefs, preferences and attitudes towards Coca-Cola in the
Rural areas of Pakistan. Questions are composed on different variables used in graphical model.
Focus Group Objectives
 To get to know the consumers’ perception about Coca Cola.
 To get first-hand information about the problems that the participants faced whilst
purchasing Coca Cola in Rural Areas of Pakistan.
 To know why would participants prefer competitor’s products over Coca-Cola.
Focus Group Moderator’s Guide
Engagement questions
1. Which soft drink(s) do you prefer while purchasing in the Rural areas and why?
2. Do you think there is an unavailability of Coca-Cola in Rural areas? Why?
Exploration questions
3. Which thoughts and associations come to your mind when Coca-Cola is not available in
store? Why?
4. If the price of Coca Cola is higher than usual, would you still buy it or shift to a substitute
product? Why?
5. Which Coca-Cola variant do you consume most and why? (Coca-Cola Classic, Diet
Coke, Coke Zero)
6. Which Coca-Cola size do you prefer and why?
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7. Do you think the quality of Coca-Cola drink is different in Rural areas compared to
Urban areas and why?
8. Do you check the expiry date of Coca-Cola when purchasing in Rural areas and why?
9. Does packaging have an impact on your final purchase decision?
Exit questions
10. Would you like to tell us anything else about Coca-Cola in Rural areas?
Focus Group Analysis
Focus Group 1
One insight that we got from this Focus Group was that the Coca-Cola is not mostly available in
rural areas. Also, Pepsi is more preferred in rural areas than Coca-Cola. They have said that
mostly Pepsi is easily available in rural areas because Pepsi give high margins to local shops.
Another insight we got was that customers are not price sensitive. They would buy Coca-Cola if
the price is also high due to its high quality and taste. Another major insight we got was that
Classic Coca-Cola is mostly consumed in the size of Tin can. They have said that Classic Coca-
Cola is more tasteful and fizziness maintains for a longer time in tin can. Another insight we got
was that the Coca-Cola bottles are fake in some local shops of rural areas and the bottle
appearance is also not good. Coca-Cola bottles are also found expired in some rural areas shops.
Another insight was that change in designs, logo and sizes of bottles would not affect the
purchase decision but it may create positive or negative perceptions in their minds about the
brand. Lastly, two common recommendations that we got were that distribution of Coca-Cola
needs to be better and Coca-Cola should introduce incentives for local shops in rural areas to
increase their presence.
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Focus Group Analysis Group 2
When asked about what soft drinks the respondents preferred while in rural areas majority of the
respondents showed preference towards Coca Cola however because of its unavailability in rural
areas the second most common soft drinks were Fanta and Mirinda. Pepsi was a first preference
for only two because of its sweeter taste and availability. Although not a soft drink Shezan was
also popular among participants.
When asked about their views on the unavailability of Coca Cola in rural areas almost all the
participant expressed that Pepsi was more widely available than Coca Cola specifically around
Okara, Toba Tek Singh, Nishatabad, JalalpurBhatiyan, Salim, Chiniot, Layya, Chak-Ala.
Majority of the respondents associated unavailability of Coca Cola with higher demand
elsewhere in the region and thought that Pepsi’s distribution was stronger. Some respondents got
frustrated on the unavailability of Coca Cola in their region others said they would easily switch
to the next best substitute which was Pepsi. As far as Price sensitivity is concerned respondents
showed less sensitivity to price towards Coke with an exception of two participants that said they
would buy the cheaper product. Furthermore these participants preferred Coca Cola Classic over
any other variant of Coke. Participants were divided in views about the size of Coca Cola bottle
they consumed half of the participants purchased 500ml bottles and other half said the preferred
1.5 liter bottles because its mostly used in large gatherings. Respondents also felt that the quality
of soft drinks was different in the rural areas as there were many who said that coke tasted
different or there were counterfeits such as Pepsi was named Bepsi and some respondents even
thought that the quality difference was due to poor refrigeration.
Packaging did not seem to have a major impact on the final purchase decision most of the
participants did not check the expiry dates on the product however participants were attracted to
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a new packaging such as that on Independence Day but it didn’t have a major impact on the final
purchase.
To conclude participants added that Coca Cola should follow Pepsi’s distribution strategy
remove counterfeit products and increase the sugar content especially in rural areas.
Analysis of both focus groups:
Consumers do show high preference towards Coca-Cola but due to its unavailability in rural
areas its demand has dropped which resulted in negative brand image. Soft drinks of substitute
products such as Pepsi are highly consumed due to their availability. Coca-Cola’s competitors
have strong distribution strategy and they are serving all rural areas where Coca-Cola is
unavailable to increase their demand and market share. Unavailability of Coca-Cola in regions
make brand loyal consumers frustrated while others easily shift to substitutes. As far as Price
sensitivity is concerned consumers showed less sensitivity to price towards Coke if it is easily
available. Consumers believe that Coca-Cola available in smaller shops are usually expired,
contain dust, and does not taste the same as in cities. Packaging has minimal impact on the
purchase decision of consumers. It is high time for Coca-Cola Company to follow the strategy of
their competitors, make research and reach their rural area target audience too.
Interviewer’s Guide
Interview is useful to get the company’s response on the distribution and man power
problem in the Rural areas of Pakistan.
Interview Questions
1. How Corona pandemic affect the supply chain of Coca-Cola in Pakistan?
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2. Is there any shortage of employees facing by Coca-Cola? If yes, how company is
managing it?
3. Which thoughts and associations come to your mind about the availability of Coca-Cola
in the Rural areas of Pakistan?
4. Have the company experienced decrease in sales in Rural areas? If yes, what is the reason
behind that?
Interview Analysis
Mr. Muhammad Umer from Coca-Cola regional office provided us with all the relevant
information which aided us in this study for which we are grateful.
In Coca-Cola, there are about 14,000 employees currently working out of which 8000 employees
are working as permanent employees and 6000 employees are on contract base. Contract for the
6000 employees ended by the end of June and company did not further renew their contracts.
According to interviewee, Coca-Cola Company is facing problems in their HR department due to
decrease in 6000 contract-based employees. This sudden decrease in the manpower/workforce in
the company is ultimately affecting Coca-Cola’s marketing strategies and distribution to rural
areas of Pakistan. Company is failing to reach the small rural towns due to poor supply chain
strategy and lack of employee involvement.
He further added, company is also facing low fill problem of plants. A plant line fills 10 bottles
each time in a row, in which 2 bottles remain incomplete and later these unfilled bottles are then
kept in the inventory. Due to low man power in company, these two problems are pending since
June and the company has come up with no new strategy. This is why Coca-Cola is unable to
distribute to rural areas currently so they are catering only big cities demand for now.
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Coca-Cola does not have bottling facility in backward or rural areas due to which we can’t reach
our rural consumers. Mr Umer also added that Coca-Cola needs a completely new strategy to
reach its rural market, assuring the quality been provided with the help of sub-distributors.
People in rural are not brand loyal like in cities, they consume whatever black drink is available
to them. Coca-Cola does not have any check and balance to these small areas due to which
shopkeepers do scam, they sell expiry products are higher price than usual.
Data Analysis, Discussion & Findings
Demographics
An online survey was conducted through circulation of questionnaire consisting
components which would aid in answering our market research problem. The said questionnaire
was distributed to 150 people out of whom 121 responded.
The first three questions were asked to acquire information on respondents’ demographics i.e.,
age, gender and income. About 79.5% of the respondents aged between 21-29 these were people
who frequently visited rural areas or had families there and came to cities for educational
purposes. 57.4% of these respondents were male and 42.6% female. The income distribution was
fairly distributed with 25.4% of respondent’s incomes ranging between 0 to 50000.
Brand Image
Assessing the variable of brand image of Coca Cola in rural areas 39.3% of the
respondents agreed that Coca Cola makes them feel good. Majority of the participants 40.2%
agreed that they approved of Coca Cola’s performance in their area with about 5.7% giving poor
ratings to coke’s performance in their area. 32% of the respondents strongly agreed that they
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frequently thought about the brand even if it was not available in their area. 30.3% of the
respondents agreed that Coca Cola brand communicates with them well this shows us that there
is awareness even when availability is not there. 35.2% of the respondents feel that they are
committed to the brand for instance when they visit rural areas if Coca Cola is not available they
will not shift to other substitutes or counterfeits however a large proportion 23.8% disagreed to
being committed to the brand. 37.7% felt that the brand was responsible to them and 32% agreed
that Coca Cola makes a strong impression on their visual or other senses and 29.5% strongly
agreed to this. Coca Cola has a strong brand image despite its unavailability in most rural areas.
Quality
In terms of quality the answers of the questionnaire showed that yes different soft drinks
brands do vary in terms of quality with majority of the people saying it varies strongly 17.2%,
14.8% saying it varies and 18.9% saying it somewhat varies. 28.7% of the participants answered
that the quality does not vary between different brands these can be the consumers who would
easily switch to substitutes in case of unavailability of Coca Cola in rural areas. When asked if
all brands are same in quality the weight shifted to disagreement with 27% of the respondents
disagreeing to quality being same. However 25.4% agreed that the quality for all soft drinks was
the same. Participants mostly strongly disagreed to the question that there was no big difference
in quality of Coca Cola and other soft drink brands.
Price
With respect to price the data showed that the consumers were price sensitive and the
prices of Coca Cola did vary in their region as compared to other regions.32% of the respondents
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residing in rural areas said that there was a difference in price between their store brand products
and other brand national products. 25.4% of the participants strongly agreed that they check the
prices of a few brands before buying and 35.2% agreed that they checked prices of soft drinks.
We can conclude that soft drinks are price elastic since 22.1% respondents strongly disagreed
that they looked for a cheaper brand and 25.4% strongly agreed that they look for the cheaper
brand available. Lastly 41% of the respondents responded that they choose brands based on their
prices. Hence it can be safely concluded that consumers in the rural areas are price sensitive.
Furthermore a correlation between price and quantity can be drawn since 40.2% of the
respondents said that good quality products are higher in price.
Competitors reach
While assessing the factor of competitors reach our research found that 45,1% of the
respondents are influenced b celebrity endorsements of the competitors, 30.3% strongly agreed
that and the same percentage agreed that advertisements had an influence on their choice of cola
product. Moreover 37.7% of the respondents regarded the company’s reputation as a major
factor when preferring one drink over the other. Lastly 52.5% of the people in our sample
thought that competitor’s sports and music events had a major impact on their soft drink
preference.
Customer Preference
The dependent variable of this research was consumer preference .30.3% did not prefer
one soft drink over the other based on what was written on the packaging. 36.9% agreed that
they do not try other brands before they choose the best one. The third question of preference
24
shows that consumers rely on what is written on the packing and don’t need to try a new brand
other than Coca Cola to know how good it is. 19.7% strongly agreed to this statement. To answer
the question that if they read all the information on the pack majority 26.2% somewhat agreed
which means what is written on the Coca Cola bottle does not have a significant impact on
consumer preference for Coca Cola. About 35.2% of the respondents drank soft drinks because
they gave them a lift during the day this can also be due to the fact that the majority of the
respondents were in their 20s. 23% of the respondents strongly disagreed when asked about their
liking for diet soft drinks however 32.8% agreed that they like diet soft drinks this is because it
does not really matter as long as coca cola is available they will have any variant that looks like
Coke. The data shows that 29.5% of the consumer preference had nothing to do with advertising
the soft drink.
Design
Questions related to the design of the product were asked in which respondents were
asked if the Coca Cola brand makes a strong impression on their visual sense and other senses
32% of the respondents agreed to this. Then the respondents were asked if they were addicted to
soft drinks to which 35.2% disagreed strongly and 18% agreed strongly from which we can use
that the brand was easy to use and easy to spot.
27% liked to drink a colored soft drink and 13.1% strongly agreed to like a colored soft drink.
Around 42.6% of the participants strongly agreed to liking the brand and purchasing it owing to
the fact that despite the unavailability of Coca Cola in most rural regions consumers are still
willing to buy it and the packaging, and taste has an impact on their preference.
25
Regression Analysis
26
R2 value of the model has a value of 0.617; this value is depicting the effect that the independent
variables have on the dependent variable. The significance value of the model is equal to 0.000
which is lower than the set benchmark of 0.05 which shows that significant results have been
obtained
Consumer preference = 0.667(Constant)-0.094 (brand image) +0.352 (Quality) + 0.020(Price)
+ 0.137(Competitor’s reach) + 0.415 (design)
The constant value of 0.667 is the slope of the regression line. All the independent variables that
were tested have a positive relationship with the dependent variable.
Brand image and Consumer Preference:
The relationship between Brand Image and Customer Preference has a negative beta value of
0.094 which means that 1 unit decrease in Brand Image will lead to 0.094 unit changes in
Customer Preference. Also, the significance value is 0.183 which is higher than the set
benchmark which means that relationship is significant.
Quality and Customer Preference:
The relationship between Quality and Customer Preference has a positive beta value of 0.352
which means that 1 unit increase in Quality will lead to 0.352 unit increase in Customer
Preference. Also, the significance value is 0.000 which is lower than the set benchmark of 0.05
which means that relationship is highly significant.
Price and Customer Preference:
The relationship between Price and Customer Preference has a positive beta value of 0.020
which means that 1 unit increase in Brand Attitude will lead to 0.020 unit increase in Customer
27
Preference. Also, the significance value is 0.766 which is higher than the set benchmark of 0.05
which means that relationship is insignificant.
Competitor’s Reach and Customer Preference:
The relationship betweenCompetitor’s Reach and Customer Preference has a positive beta value
of 0.137 which means that 1 unit increase in Competitor’s Reach will lead to 0.137 unit increase
in Customer Preference. Also, the significance value is 0.087 which means that the relationship
is significant.
Design and Customer Preference:
The relationship between Design and Customer Preference has a positive beta value of 0.415
which means that 1 unit increase in Design will lead to 0.415 unit increase in Customer
Preference. Also, the significance value is 0.000 which is lower than the set benchmark of 0.05
which means that relationship highly significant.
Limitations
With the doors opening to make new researches, there are definitely some limitations that
lead to more researches in that field. The limitations of this research paper would be lack of
contact with participants due to the current pandemic 2020. It was difficult to conduct research
online on Zoom since a lot of people were unaware of this application and people were also
uncomfortable to reveal their identity online. Lastly, we had to get consent forms signed from the
interviewees which were time consuming.
28
Conclusion
With the help of this research paper, we have come to a conclusion that Coca-Cola’s
distribution is truly unreachable in rural areas of Pakistan which has a negative impact in the
minds of consumers. People are brand loyal to Coca-Cola but its unavailability has led to an
increase in the purchase of substitute products. Coca-Cola’s competitors act as king as they have
strong reach to its target market in rural areas. Pakistan being the price sensitive market,
especially the rural areas, makes the buyers extremely sensitive even to the slight changes in
prices of bottles which lead to decrease in demand of Coca-Cola and increase demand in
substitute products. There is a direct relationship between consumer satisfaction and price of
product. Coca-Cola is not providing any promotional offers or discounts which is making the
company lose its loyal customers because all other substitute products given them the same
amount of satisfaction. According to the research, some rural areas that have Coca-Cola
available is locally produced which doesn’t carry original taste and is stored for a long period of
time ignoring the summer season. Coca-Cola is seen ignoring the existing demand of its
consumers in the rural areas of Pakistan.
Recommendations
With the completion of our project, we have made some recommendations for Coca-Cola as
following:
1. Coca-Cola should try to emphasis more on researching and reaching the rural areas of
Pakistan to facilitate its customer needs
2. Provide incentives to local shop keepers who emphasize on selling only Coca-Cola.
3. Focus on the competitor strategies.

29
4. Assure quality and take action towards shop keepers who are charging higher prices than
usual which make consumer shift to a substitute product.
5. Set up an additional bottling factory in backward areas to reduce logistics cost and
overcome unavailability.
6. Coca-Cole should alter its marketing strategies and move to narrow minded mass
marketing for rural areas.
7. Move from competitive pricing to giving more discounts to customers
30
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Appendix
Consent Forms
Consent Form
This focus group is being conducted as part of a student research project for Lahore School of
Economics. Purpose of this research is to determine the consumer preference and unavailability
Coca-Cola in the rural areas of Pakistan. Data collected through this focus group shall only be
used for student project all identities of participants shall remain hidden or anonymous. By
signing this consent form, participants agree to allow an audio/video recording and pictures to be
made of the focus group discussion.
Thank you for your cooperation and participation.
Participant Name: Abdullah Atif
35
Participant Signature: Date: 26-11-20
Consent Form
Participant Name: Ahmed Sheikh
36
Consent Form
Participant Name: Huzaifa Abbas
37
Consent Form
Participant Name: FahadAteeq
38
Consent Form
Participant Name: Noor Fatima
39
Consent Form
Participant Name: SaadAmjad
40
Consent Form
Participant Name: Abdullah Akmal
41
Consent Form
Participant Name: AnumSajid
42
Consent Form
Participant Name: Muhammad Areeb
43
Consent Form
Participant Name: Ahmed Muzaffar

44
Consent Form
45
Participant Name: M. Ahsan Sultan
Consent Form
46
Participant Name: Wajeeh A Khan
Consent Form
47
Participant Name: Fatima NaeemRathore
Consent Form
48
Participant Name: RanaTaha
Consent Form
49
Participant Name: TashfeenShehryar
Consent Form
50
Participant Name: ZaidUsman
Consent Form
51
Participant Name: Ahsan Bilal
Consent Form
52
Participant Name: AsmaKhawaja
Consent Form
53
Participant Name: RaoHaiderAzeem
Consent Form
54
Participant Name: Ali Sadiq
Declaration Forms
Declaration Form
The focus group was conducted with the purpose of asking respondents a series of structured
questions regarding unavailability of Coca-Cola in rural areas of Pakistan.
I, hereby state that all the data collected during the focus group by my team and I would solely
be used for one purpose, to complete our Marketing Research project at the Lahore School of
Economics.
AroosaSajid
Name of Group Member
55
Date: 26th November 2020
Signature of Group Member
Declaration Form
Economics.
AroosaSajid
56
Declaration Form
Economics.
M. Hamza Hassan
57
Declaration Form
Economics.
M. Hamza Hassan
58
Declaration Form
Economics.
Zara Ayaz
59
Declaration Form
Economics.
Zara Ayaz
60
Declaration Form
Economics.
Muhammad Saad Ijaz
61
Declaration Form
Economics.
Muhammad Saad Ijaz
62
Focus Group Transcribed Document
Transcript
Focus group 1
Participants Names
P1 Ahmad Sh.
P2 Huzaifa A
P3 Fahad A
P4 Noor F
P5 Areeb
P6 Saad
P7 Abdullah
P8 Anum
P9 Atif
P10 Muzaffar
63
Moderator: Asalamoalikum, everyone. This is a focus group for our Marketing research course
and we will be asking you questions regarding soft drinks, specifically Coca Cola. We are
required by our instructor to seek permission, please raise your hands electronically if you don’t
allow us to record your audio and video responses. We will only be using them for academic
purposes. Your responses will remain confidential. Each participant has been assigned a number
in the chat box. Kindly answer the following questions accordingly. Thanks.
Q1: Which soft drink(s) do you prefer while purchasing in the Rural areas and why?
P1: Coca Cola, Pepsi. Coca-Cola due of its unique taste.
P2: Coca Cola, Pepsi. I like Coca Cola’s taste.
P3: Only Pepsi & Dew are available in my village in Okara.
P4: Coca Cola but Pepsi is more widely available in Chiniot.
P5: 7up because Coca Cola is not available there.
P6: I prefer Coca Cola but as far as I know only Amrit cola is available in Jaranwala.
P7: Pepsi. I want my drink to be more sugary.
P8: Diet coke, Sprite. I like to have as less sugar as possible.
P9: Coca Cola. I recently went to Lodhran and only Pepsi was available there so had to buy
Pepsi.
P10: Pepsi. Largely because Coca Cola isn’t available in my village.
Q2: Do you think there is an unavailability of Coca-Cola in Rural areas? Why?
P1: Yes. I could not find even one fridge in Malakwal. Logistical constraints maybe
64
P2: Yes. I think it’s due to the requirements of the company (CCI).
P3: Yes. Its because competitors give high margins to local shops.
P4: Yes. Its because competitors give high margins to local shops. Agreed with P3.
P5: Yes. I guess Coca Cola mostly targets urban community.
P6: Yes. Its because of sugar content and people in villages mainly prefer Pepsi.
P6: No. I don’t think so there is an issue.
P7: Easily available everywhere.
P8: Yes. Elite class is the main target.
P9: Easily available everywhere.
P10: No. its very easily available everywhere.
Q3: Which thoughts and associations come to your mind when Coca-Cola is not available
in store? Why?
P1: I get negative associations about the shop. I’ll go somewhere else to buy Coca Cola.
P2: I am very brand loyal to Coca Cola. I’d think it’s all sold out and that they haven’t restocked
it yet.
P3: No negativeassociations.
P4: I don’t mind. I’m not brand loyal.
P5: I’d think that Coca Cola sold out and that the distribution not strong.
P6: I will buy what is easily available.
P7: Honestly it doesn’t really matter to me.
P8: I’ll have a negative image about the brand.
P9: Doesn’t really matter to me to be honest.
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P10: I have moderate level of brand associations with coke.
Q4: If the price of Coca Cola is higher than usual, would you still buy it or shift to a
substitute product? Why?
P1: I would still prefer coke. Depends on my size of purchase.
P2: I would still buy coke solely based on taste.
P3: Agreed with p1. If it is a bulk purchase only then I will buy the alternative.
P4: I wouldn’t go for another brand.
P5: It depends on the situation. As a traveler, there is no choice but to buy at a premium price.
P6: It depends on the situation. Personally I will buy it.
P7: For a single purchase it does not matter. A Difference of Rs.5-10 does not really matter.
P8: I will still stick to diet coke.
P9: I’ll still prefer coca cola.
P10: I am not price sensitive. Bulk buying is a different story. Rs.10 change is not an issue.
Q5: Which Coca-Cola variant do you consume most and why? (Coca-Cola Classic, Diet
Coke, Coke Zero)
P1: Classic. Other variants have a bad taste.
P2: Classic. I don’t like diet coke’s taste.
P3: Classic. It’s Mostly available.
P4: Diet coke. No reason.

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P5: Classic. It satisfies my needs.
P6: Diet coke. However, I doPrefer classic first.
P7: Classic. Personal choice.
P8: Coke zero. Because of its Taste.
P9: Classic. The taste is irreplaceable.
P10: Coke zero. It has less sugar andmore caffeine.
Q6: Which Coca-Cola size do you prefer and why?
P1: Glass bottle. It’s the most chilled usually.
P2: Tin can. It preserves fizziness.
P3: Glass bottle (200 ml.). The 500 ml cannot be finished at once.
P4: Tin can. Larger sizes are just a little too much for my liking.
P5: Tin Can for personal use. 1.5 Liter bottle for family.
P6: 500 ml bottle as it fulfills my needs.
P7: Tin can. However, in the Rural Areas only glass bottle is available.
P8: Tin Can. Fizziness maintains for a longer time.
P9: 500 ml bottle helps me satisfy my needs.
P10: 500 ml bottle because ofquantity and bottle cap.
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Q7: Do you think the quality of Coca-Cola drink is different in Rural areas compared to
P1: Yes, the quality is different. It justDoesn’t look fresh. I don’t look at the expiry until taste
looks off.
P2: Bottle feels old in rural areas. It looks fake even before looking at the expiry.
P3: No change in taste. Distribution is standard everywhere. I never look at the expiry.
P4: Rural Areas have poor taste. Probably because of the refilled bottles.
P5: Yes. The environment of the rural areas impacts the condition of the bottles. There is poor
storage, cooling and temperature control in the rural areas.
P6: Yes. Bottle appearance shows its fake.
P7: Yes. Packing tells if its fake or real. First sip helps you decide.
P8: Yes. The taste gives an idea.
P9: I found it to be the same across the country.
P10: Yes. Frankly I have never checked the expiry.
Q8: Does packaging have an impact on your final purchase decision?
P1: It impacts my decision. If the logo is not updated, it means the product is fake or old.
P2: It doesn’t impact my purchase decision. Labeling and packaging doesn’t really matter.
P3: Yes, Packaging impacts greatly.
P4: I think they should do something interactive. Just like the Find your name campaign.
P5: Agreed with P4. Innovative packaging impacts purchase decision.

68
P6: The negative is that if Independence day campaign has green packaging then people in the
Rural areas don’t resonate and as a result they switch.
P7: Some packaging creates wrong perception.
P8: Packaging impacts the purchase decision.
P9: It does not impact my purchase decision.
P10: Packaging does have an impact on my purchasing decision.
Q9: Would you like to tell us anything else about Coca-Cola in Rural areas? (Open choice)
P1: I just want it to be chilled at all times. Also, the Distribution needs to be better.
P3: People prefer Pepsi because of its realness. Coca Cola should ensure these counterfeits are
crushed.
P6: The competition is increasing.
P9: I think there should be some incentives for the local ‘Khokha’ owners so that they keep more
of Coca Cola.
Transcript
Focus group 2
P1: Ahsan Sultan
P2: Wajeeh
P3: Taha
P4: Tashfeen
P5: Zaid
P6: Ahsan Bilal
P7: Fatima
69
P8: Asma
P9: Rao
P10: Ali
Moderator:Asalamoalikum, everyone. This is a focus group for our Marketing research course
and we will be asking you questions regarding soft drinks, specifically Coca Cola. We are
required by our instructor to seek permission, please raise your hands electronically if you do not
allow us to record your audio and video responses. We will only be using them for academic
purposes. Your responses will remain confidential. Each participant has been assigned a number
in the chat box. Kindly answer the following questions accordingly.
Q1: Which soft drink(s) do you prefer while purchasing in the Rural areas and why?
P1: Shezan. It is widely available. In Soft drinks, it isFanta.
P2: Pepsi. I consider myself an occasional drinker
P3: Miranda and 7up. Both are easily available
P4:I prefer Coca Cola and Sprite because of availability in my area that isJalalpur.
P5: Coca Cola. However,Fanta is easily available here in Shahkot.
P6: Pepsi is easily available so Pepsi.
P7: I prefer coca Cola but mirinda and Fanta easily available in the Rural Areas.
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P8: Coca Cola. I like the taste.
P9: Sprite. Other brands are not available.
P10: Coca Colais my preferred choice.
Q2: Do you think there is an unavailability of Coca-Cola in Rural areas? Why?
Moderator specifically asked the respondents to specify the rural area they belong to or
frequently visit.
P1: Okara. Yes. Pepsi is more widely available.
P2: Toba teksingh. Yes. Pepsi has better distribution.
P3: Nishatabad. Yes. Pepsi and mirinda mostly available.
P4; Jalalpur, Hafizabad. Yes. Small city maybe this is why it’s not widely available.
P5: Salim. Yes. onlypepsi is available.
P6: Salim. Coke isn’t widely available.
P7: Chiniot. Mostly mirinda and pepsi is available. Hardly saw Coca Cola.
P8: Layya. Pepsi most widely available.Coca Cola has weak distribution.
P9: Chak-Ala. Pepsi is more easily available.
P10: Easily available. Both soft drinks and juices are mostly available in adjoining areas.
Q3: Which thoughts and associations come to your mind when Coca-Cola is not available
in store? Why?
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P1: Villagers like more sugar so they prefer Pepsi and hence it is more widely available.
P2: I think of substitute. I think there is a problem with Coca Cola’s distribution in the area.
P3: I instantly think of Pepsi. It is because of the fact that shops don’t keep high stock of coca
cola.
P4: I don’t really think about it. I’ll go for Pepsi.
P5: There is a problem with the distribution. Negative is that I have to go for substitute Pepsi.
P6: We go for Pepsi since its always available.
P6: I get angry because coke is not available and I am very brand loyal.
P8: As a loyal consumer you get angry.
P9: I go for water instead.
P10: Pepsi incentivizes. I feel Pepsi is more strong.
Q4: If the price of Coca Cola is higher than usual, would you still buy it or shift to a
substitute product? Why?
P1: It doesn’t make a difference to me.
P2: it will make a huge impact. Specifically for the locals in the Rural Areas.
P3: Rs. 5-6Won’t make a difference. I won’t switch.
P4: Price change won’t make a difference.
P5: It depends on the difference in price. Personally I will not switch.
P6: I will still buy coca cola.
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P7: Agreed with P3. Price won’t make a difference.
P8: It actually depends on the difference in price.
P9: I am very Price sensitive. I will buy the cheaper product.
P10: It doesn’t make a big difference.
Q5: Which Coca-Cola variant do you consume most and why? (Coca-Cola Classic, Diet
Coke, Coke Zero)
P1: Classic. It satisfies my needs.
P2: Coke zero. I like the taste.
P3: Classic. It is their best variant.
P4: No preference.
P5; Classic. Other variants aren’t always available
P6: Classic. Because of taste.
P10: Classic.Because of taste.
Q6: Which Coca-Cola size do you prefer and why?
P1: Mainly 500 ml as it is enough for me.
P2: Tin pack. The fizziness is preserved.
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P3: half litre. We hardly find it. So when we do, we try and consume it in large quantity.
P4: Tin. No reason.
P5: Personally 500 ml. Large gathering 2.25 Liter because of the number of people I am buying
for.
P6: 500 ml because it is the ideal size for me.
P7: 1.5 litre as I consume it in parts and I keep it for later use.
P8: 500 ml because it satisfies my craving.
P9: 2.25 litre because I usually buy it for a gathering.
P10: For family 1.5 Litre. Largely due to the number of people who have to consume the bottle.
Q7: Do you think the quality of Coca-Cola drink is different in Rural areas compared to
P1: Yes. There are counterfeit coca cola bottles. No problem with actual brand.
P2: Yes.Small quantities have better quality but in rural areas we usually get large sizes only.
P3: Agreed with P1. Alot of counterfeit brands are available in the rural areas. Their quality is
very different.
P4: No problem with the quality. Its standardized everywhere.
P5: Yes. There is a huge difference in quality. Poor temperature control maybe.
P6: Yes. There is a massive difference in quality. Old stock is sold so maybe the quality
diminishes overtime.
P7: No I don’t really think there is a difference.
P8: I have experienced different quality while travelling across different rural areas.
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P9: No, I think the product is the same across the country.
P10: Pepsi is mostly available. Its quality is okay. I cannot say about Coca Cola though.
Q8: Does packaging have an impact on your final purchase decision?
(Moderator asked the respondents if they check the expiry of the bottle/tin before
purchasing specially in the Rural Areas)
P1: No it doesn’t impact my purchase. I don’t check the expiry.
P2: It impacts quality and my purchase decision. Coke zero usually has same quality.
P3: It doesn’t impact my purchase. Not aware of their campaigns on bottles. I have never
checked the expiry.
P4: Yes. I check the expiry dates.
P5: Yes. I never checked expiry. You can tell if its expired by the taste.
P6: No. I do not check the expiry.
P7: It doesn’t impact my purchase. I don’t know about the expiry date.
P8: It definitely impacts my purchase. I will check all the expiry and packaging especially in the
rural areas.
P9: Green packaging attracts me and it impacts my decision.
P10: It does not impact my purchase decision. We don’t look at expiry date.
Q9: Would you like to tell us anything else about Coca-Cola in Rural areas?
75
P9: Coca Cola should add more sugar especially in the rural areas. All other brands have sugary
products.
P1: Many counterfeits are available. It should focus more branding activities especiallyin small
markets.
P2: Focus on distribution and availability in the whole country and not just the urban areas.
P3: Follow pepsi’s strategy and provide fridge and incentives. Try to cut deals with vendors.
Questionnaire circulation copy
Marketing research problem
To determine the consumer preferences towards Coca-Cola in the Rural areas of Pakistan.
Graphical Model
Brand Image Quality Design Price Competitor’s

Reach
Customer
Preferences
76
Appendix 1
Questionnaire - With Variable Details

This collection of data is for educational purposes. It is for Marketing Research course at Lahore
School of Economics MBA program. We assure you the confidentiality of your responses. We
look forward for your cooperation.
You need to think of Coca Cola in order to fill in this questionnaire.
Indicate on the scale below to what extent you agree with the following statements
(Mark one box)
1. Strongly Disagree 2. Disagree 3. Neutral 4. Agree 5. Strongly Agree
Brand Image 1 2 3 4 5
This brand makes me feel good.
I approve of this brand’s performance.
I frequently think of this brand.
This brand communicates well with me.
I’m very committed to this brand.
The brand is responsible to me.
This brand makes a strong impression on my visual sense or other senses.
Quality 1 2 3 4 5
The products sold in this area are of good quality.
I feel all brands do not vary in terms of quality.
All brands are same in quality.
No big difference in quality among different brands.
Price 1 2 3 4 5
Very little difference in price between this store brand products and other brand National
brands.
I check the prices of few brands when buying.
I look for the cheaper brand available.
I choose brands based on their prices/cost.
Good quality products are higher in price.
Competitor’s Reach 1 2 3 4 5
Views on celebrity endorsements.
Advertisements' influence on choiceof cola product.
Views on reputation.
Opinions about Competitors’ Sports- and MusicEvents.
Coca Cola:
(Mark one box)
Customer Preferences 1 2 3 4 5
Soft drinks give me a lift during the day.
I like diet soft drinks.
77
Advertising has nothing to do with my choice of soft drinks.

Soft drinks are bad for a person’s health.
On an average day, I consume more soft drinks than water.
I’m addicted to soft drinks.
I like to drink a colored soft drink.
I like the brand and would like to purchase it.
Design 1 2 3 4 5
I choose brands based on the written description on the cover.
I don't try for different brands to choose the best one.
I don't need to try a brand to know how good it is, the information on the packing tells me
everything.
I read all information on the pack before buying.
78
Circulation Copy
This collection of data is for educational purposes. It is for Marketing Research course at Lahore
School of Economics MBA program. We assure you the confidentiality of your responses. We
look forward for your cooperation.
You need to think of Coca Cola in order to fill in this questionnaire.
Indicate on the scale below to what extent you agree with the following statements
(Mark one box)
This brand makes me feel good. 1 2 3 4 5
I approve of this brand’s performance.
I frequently think of this brand.
This brand communicates well with me.
I’m very committed to this brand.
The brand is responsible to me.
This brand makes a strong impression on my visual sense or other senses.
The products sold in this area are of good quality.
I feel all brands do not vary in terms of quality.
All brands are same in quality.
No big difference in quality among different brands.
Very little difference in price between this store brand products and other brand National
brands.
I check the prices of few brands when buying.
I look for the cheaper brand available.
I choose brands based on their prices/cost.
Good quality products are higher in price.
Views on celebrity endorsements.
Advertisements' influence on choiceof cola product.
Views on reputation.
Opinions about Competitors’ Sports- and MusicEvents.
Coca Cola:
(Mark one box)
I choose brands based on the written description on the cover. 1 2 3 4 5
I don't try for different brands to choose the best one.
I don't need to try a brand to know how good it is, the information on the packing tells me
everything.
I read all information on the pack before buying.
Soft drinks give me a lift during the day.
I like diet soft drinks.
Advertising has nothing to do with my choice of soft drinks.
Soft drinks are bad for a person’s health.
79
On an average day, I consume more soft drinks than water.

I’m addicted to soft drinks.
I like to drink a colored soft drink. 1 2 3 4 5
I like the brand and would like to purchase it.
80
Age
(Mark one option)
 Under 21
 21-29
 30-40
 40+
Gender
(Mark one option)
 Male
 Female
Income
(Mark one option)
 Rs 0-50k
 Rs 50-100k
 Rs 100k-150k
 Rs 150k-200k
 Rs 200k+
Graphs
Demographics
81
82
Brand Image
83
84
Quality
85
86
Price
87
88
Competitors reach
89
90
Customer Preference
91
92
Design
93
94
95

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Coca Cola

Unavailability of Coca Cola in the Rural Areas of Pakistan

Muhammad Hamza Hassan

30th November 2020

Research Methods and Procedures.................................................................................................................. 13

Data Analysis, Discussion & Findings.............................................................................................................. 21

Focus Group Transcribed Document............................................................................................................... 61

Questionnaire circulation copy........................................................................................................................ 74

been ignoring its demand in rural areas.

quality, diversity, passion, accountability, and integrity as well. In discussing leadership

(Michael, 2013). Management structure is established under a centralized decision-making

Coca-Cola is recognized as the manufacturer, retailer, and marketer of beverage drinks

colacompany.com, 2015). Bottling system of Coca-Cola continued to be independent and local

dramatic, successful restructuring (Amin & Hossain, 2014).

Significance of the study

This research is significant because unavailability of Coca-Cola in rural areas of Pakistan

and their sense related to the research must be enlightened.

Management Decision Problem

given the decrease in manpower due to COVID-19?

Marketing Research Problem

H1: Brand Image has a significant positive impact on Customer Preferences.

H2: Quality has a significant positive impact on Customer Preferences.

H3: Design has a significant positive impact on Customer Preferences.

H4: Price has a significant positive impact on Customer Preferences.

H5: Competitor’s Reach has a significant positive impact on Customer Preferences.

Brand Image Quality Design Price Competitor’s

continuous quality improvements.

they can achieve loyalty first.

between competitive brands (Czinkota et al., 2001).

glass bottle as the true reflection of the brand’s identity.

Research Methods and Procedures

A. Summary of the type of research you are conducting

contact in the company to get a better understanding of the issue at hand.

i.e Pepsi, RC Cola.

voluntary and involuntary reductions.

would incur expenses of about $350 million to $550 million.

market throughout the 20th century.

terms of pricing, packaging, promoting and placing.

available at every possible outlet of urban areas.

problems are pending from June.

terms of pricing, packaging, promoting and placing.

Focus Group Objectives

 To get to know the consumers’ perception about Coca Cola.

purchasing Coca Cola in Rural Areas of Pakistan.

 To know why would participants prefer competitor’s products over Coca-Cola.

Focus Group Moderator’s Guide

2. Do you think there is an unavailability of Coca-Cola in Rural areas? Why?

Coke, Coke Zero)

6. Which Coca-Cola size do you prefer and why?

Urban areas and why?

9. Does packaging have an impact on your final purchase decision?

Focus Group Analysis

increase their presence.

Focus Group Analysis Group 2

also popular among participants.

thought that the quality difference was due to poor refrigeration.

Analysis of both focus groups:

problem in the Rural areas of Pakistan.