Demand For Soft Drinks Research Articles

Retailers Impression on Coca-Cola Beverages in Madurai District: An Empirical Study

Marketing is winning the customers mind and being able to serve the needs of the customer. It is about understanding what consumers want and providing it more conveniently. Marketing deals with identifying and meeting human needs and social needs. One of the smallest definitions of marketing is "meeting needs profitably." The consumer market may be defined as the market for product and services that are purchased by individuals as a household for their consumption. Soft drinks are a typical consumer product, acquired by an individual, primarily to quench their thirst and also for refreshment. Different kinds of soft drinks are available in the market, and more or less the ingredients of all soft drinks are almost the same. There is an excellent competition at the demand of soft drinks, and many companies are hard hitting in the market with their product with several brand names.
 The Indian soft drinks market is large and unable to control as India has all types of natural seasons, and different locations have different cultures. The northern parts of the country are quite cold during the winter season and the south, on the contrary, has high levels of humidity which is when the consumer requires some chilled drinks that can satisfy his or her thirsts and provide energy to sustain.
 The demand for soft drinks has been increasing rapidly due to changing climatic conditions, liking for fast food, and changing the culture. It includes all types of non-alcoholic, carbonated, and flavored beverages. These artificially sweetened drinks are available in different flavors, sizes, and packages.
 In olden days, the production took place on a smaller scale where the producer himself took the responsibility of disposing the goods to the consumers. Later, due to the increase in business and with further expansions, the majority of producers did not sell their products directly to consumers. It was the task of a retailer to create a link between the producer and the end user.
 In this competitive world, the producer has to decide through which way the goods are to be marketed to the customers. The company also encouraged the concept of network marketing with several middlemen into the sales force to arrange and, distribute the products to the consumer. To create business and expand the horizon of the company's products, the retailers were chosen, and several motivational training and promotional programs were introduced to support the sales of the organization. Furthermore, it also gave adequate market coverage and satisfied the buyer’s requirement.

Heterogeneous Behavior, Obesity, and Storability in the Demand for Soft Drinks

We apply a dynamic estimation procedure to investigate the effect of obesity on the demand for soda. The dynamic model accounts for consumers’ storing behavior, and allows us to study soda consumers’ price sensitivity (how responsive consumers are to the overall price) and sale sensitivity (the fraction of consumers that store soda during temporary price reductions). By matching store‐level purchase data to county‐level data on obesity incidence, we find higher sale sensitivity in populations with higher obesity rates. Conversely, we find that storers are less price sensitive than non‐storers, and that their price sensitivity decreases with the obesity rate. Our results suggest that policies aimed at increasing soda prices might be less effective than previously thought, especially in areas where consumers can counteract that price increase by stockpiling during sale periods; according to our results, this dampening effect would be more pronounced precisely in those areas with higher obesity rates.