MARKET RESEARCH PROPOSAL ON PEPSI $-$ CAF$$ CHINO Research Proposal: PROBLEM DEFINITION:PROBLEM DEFINITION Pepsi, the most popular soft drink in the country, launched its new variant Pepsi Caf$$ Chino. However, this variant is not getting positive feedback. The paradox facing these beverage companies is that in spite of global and Indian consumers showing preferences for new and adventurous flavors the cola giants have not been able to get their concoction right till now. Also with Caf$$ Chino, Pepsi tried to win back GenNext audience, which has increasingly gravitated towards the Baristas and Caf$$ Coffee Days in the neighborhood. Seemingly the issue is not only launching a new flavor which finds a mass acceptance but also creating third places $($like coffee shops and tea bars$)$ which will help to put these companies on a roadmap from being a mere brand in the clutter to being an experiential brand. Another issue which the beverage companies have to look into is that whether they can move beyond trying new flavors in the carbonated segments towards experimenting in other segments like cold tea $($Lipton Ice Tea$)$ or cold coffee $($ Nescafes Caf$$ Frappe$)$ or juices $($Pepsis Tropicana$).$ RESEARCH OBJECTIVES: To identify the upcoming trends in the tastes and preferences of Indian consumers in the beverages market and determine consumer purchase intentions for the new flavors proposed by the research. To ascertain the feasibility of Pepsi as an experiential brand. SECONDARY OBJECTIVES: To identify the favorite flavors across various age groups in beverages, amongst Indian Consumers In carbonated drinks In Non$-$carbonated drinks To determine the significance of various factors influencing their choice of flavors like Aroma After Taste Health Consciousness $($Sugar$/$Fat Content$)$ Intensity$/$Strength of the Flavor To gather consumer insights about the taste aspect of beverages Use of more familiar, classic flavors and ingredients Use of less familiar, exotic flavors and ingredients Significant integration of sweet and savory flavors SECONDARY OBJECTIVES: To find out the willingness of the consumer to try out new flavors in both carbonated and non carbonated drink To identify the new flavors, which can be easily converted into salient products To find out the consumer insights on new beverage categories that Pepsi can venture into like teas, coffees, variants of juices, alcoholic beverages. To determine through qualitative research, the best way to establish Pepsi as an experiential brand and how to entice the youth, who have shifted to coffee bars, back to Pepsi. The various options which can be looked at are: Vending machines at strategic locations in all major cities $($e$.$g$.$ Liptons tea vending machines$)$ Exclusive Pepsi outlets or beverage bars with the entire range of its beverages $($e$.$g$.$ Caf$$ Coffee day$)$ Co$-$branding with major brands like Pizza Hut to sell the new and more adventurous variants of Pepsi targeting the urban youth. SECONDARY OBJECTIVES RESEARCH DESIGN: Our exploratory research will be in following steps: Focus group discussions will be carried out to evaluate the various options related to Pepsi as an experiential brand. Exploratory research in the form of secondary data analysis of mature and developed markets will be performed. Pilot surveys will be done further through questionnaires to get the most likely salient flavors and other preferences as mentioned in research objectives. Descriptive Research The previous exploratory research will be followed up with descriptive research in next phase with larger and more representative samples in the form of caf$$ shops, restaurants and mall intercept surveys DATA COLLECTION & SAMPLING: Sampling Unit Both male and female across $3$ age groups i$.$e$.8-16$ years, $16-25$ years, $25-35$ years. Sample Size For each focus group discussions $8$ people will comprise each group. There will be $10$ focus group discussions in Mumbai, New Delhi, Chennai, Kolkata, Bangalore, Hyderabad, Pune $,$ Chandigarh, Lucknow and Jaipur $.$ For pilot survey a sample size of $50$ each in $4$ metros will be used and then for descriptive research we will survey a representative sample size of $3000$ across all major cities. Sampling Procedure We will use C onvenience and Judgment Sampling. CONTACT METHODS Personal interviews through questionnaires and Focus group discussions will be done. DATA COLLECTION & SAMPLING DATA ANALYSIS:Percentage analysis what percentage of customers would want to try a new flavour variant $?$ Central tendency$-$The average no$.$ of customers who would go for a non$-$carbonated version of Pepsi Caf$$ Chino $.$ Regression analysis$-$ we will analyse the relationship between no$.$ of customers who would want to go for carbonated drink & no$.$ of customers who would want to go for non $-$ carbonated drink DATA ANALYSIS VISUALIATION OF RESULT:Identifying three new salient flavors for carbonated soft drinks segment. Identifying three new salient flavors for existing non carbonated drinks segment of Pepsi. Identifying two new beverage segments which Pepsi can venture into and also what will be the best flavors for those segments. To identify the applicability of various consumer insights related to factors affecting choice of flavors. To identify the best marketable option among new global trends like feel good flavors, ethnic flavors, exotic flavors etc. Identifying the best option among three identified above to turn Pepsi into an experiential brand. Determining whether these options are city specific so that Pepsi can actually use different options in different cities. Determining various elements of exclusive Pepsi outlets like ambience, location, furniture, setting, colors etc. if that is the best option. VISUALIATION OF RESULT

Questions:$1.$ What are the primary and secondary research objectives outlined in this proposal, and how do they relate to the problem definition? Are these objectives clear and well$-$defined?

$2.$ The proposal mentions the need to explore options beyond new flavors in the carbonated segment. What potential benefits and risks could be associated with diversifying into segments like cold tea, cold coffee, or juices? $3.$ How do factors like aroma, aftertaste, health consciousness, and flavor intensity influence consumer preferences for beverages? Are there other factors not mentioned in the proposal that could be important?

$4.$ The proposal suggests several potential strategies for establishing Pepsi as an experiential brand, such as vending machines, exclusive outlets, and co$-$branding. Which of these strategies do you believe could be most effective, and why?

$5.$ What are the advantages and disadvantages of using convenience and judgment sampling in the sampling procedure? Are there other sampling methods that could be considered?

$6.$ The proposal mentions the importance of identifying "salient flavors." What criteria should be used to determine which flavors are likely to be successful in the market?

$7.$ In the context of launching new beverage segments like teas, coffees, or variants of juices, what challenges might Pepsi face in terms of branding and positioning in the market? $8.$ What ethical considerations should be taken into account when conducting this market research, especially in terms of data collection, participant consent, and the use of personal interviews and focus group discussions?

$9.$ What role does culture and regional diversity play in shaping consumer preferences for flavors and beverages? How might these factors impact Pepsi's market strategy in different parts of India?

$10.$ How might the research findings influence Pepsi's long$-$term strategic planning, including decisions related to product development, marketing budget allocation, and distribution channels?