How to Apply for Coca Cola Dealership in 2023 – Investment, Profit & Requirements for Coca Cola Franchise

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Introduction

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“The Coca-Cola Company” is still a household name when it comes to cold drinks. It is an America-based multinational beverage corporation. Coca-Cola was founded way back in 1892 and is known for its variety of drinks. Over the years, this multinational company has done a fascinating job for the public. Coca-Cola franchises and Coca-Cola dealerships are now its roots for success.

Overview of Coca-Cola Company Business in India

1ManufacturerThe Coca-Cola Company
2Country of originUnited States
3Region of originAtlanta, Georgia, US
4IntroducedMay 8, 1886; 136 years ago
5Countries Active200+
6Dealers in India7000+
7Investment Range10-25 Lakh
8ProductsMinute Maid
Coca Cola
LimcaThumps UpSpriteMaazaFantaKinley (packaged water bottle brand)
9Websitecoca-cola.com
10Brand AmbassadorShahrukh Khan
Coca Cola Company Franchise Overview

The Coca-Cola Company is currently operating in more than 200 countries. It made its presence in India back in 1950. Unfortunately, due to some reasons, this company stopped its business in 1973. Again in 1993 this company came back to India for business and is running quite successfully now.

Today, all over India they have 50+ plants, 25,000+ employees, 7000+ distributors, and many more.

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Become a Coca Cola Dealer

Today, the profit earned by this company is just jaw-dropping. Yes, over the years, the company did face huge losses, became a victim of many controversies, and many more. Still, this multinational beverage company has turned its plate and come back strongly.

Further, in this article, we will tell you the complete details of how you can become a business partner with this company.

Other Brands and Subsidiary of Coca Cola

The Coca-Cola Company is an industry that includes many brands under its name. Coca-Cola Company has launched some astonishing brands in the market. These small brands came to market and the reaction from consumers was crazy and insane.

Now, some of Coca-Cola’s subsidiaries are the following:-

  • Minute Maid
  • Limca
  • Thumps Up
  • Sprite
  • Maaza
  • Fanta
  • Kinley (packaged water bottle brand)

Now, these are some of the brilliant products sold by The Coca-Cola Company. Other than these, Coca-Cola has more than 500 brands running across the world. In India, the company has been selling various types of fruit drinks and other beverages.

How to start a business with Coca-Cola?

Starting or becoming a partner with such a profitable business would be breathtaking. One must not miss such huge opportunities if one gets a chance. To become a part of this highly reputed company you can become a distributorship.

Now, distributorship is of two types they are Urban-based distributorship and Rural-based distributorship.

Now, Coca-Cola appoints only one distributor in one district. If the city size is quite big then two distributors are provided. You can take its distributorship at a smaller level to deliver products where they are unreachable. Now, to both types of distributors, the parent company offers a large number of products to sell to retailers or customers.

The process of Coca-Cola distribution is Plant>> Warehouse>> Distributors>> Retailers>> Customers. Opening up a Coca-Cola distributorship will always be profitable if you offer locations in high-traffic areas, schools, colleges, railway stations, and bus stands. Now, to quick-start, a Coca-Cola distributorship one must have all the requirements fulfilled.

Requirements to start a Coca Cola Dealership

  • Area required for urban distributorship- minimum of 2000 square feet along with godown you must have an office and a parking area
  • Area required for rural distributorship- minimum of 1000-1500 square feet is required
  • Franchise Cost- 25-30 lakh
  • Vehicles- Vehicles required highly depend on the location of your godown. If you have covered many retailers then you surely need bigger and more vehicles to supply products. One driver and a helper are required for every vehicle.
  • Manpower- 1 salesperson, driver and helper (as per the number of vehicles), Accountant, Loader, and Unloader

Total Investment Required for Coca-Cola Franchise cum Distributorship

The total investment for any franchise depends on the area, godown size, market captured, and customer base. Now, the customer base for Coca-Cola is already huge so you do not need to take any effort. On the other hand, if you have a proper-sized godown already established then the total investment could be less for those who do not have one.

Before opening one such distributorship one must research the market thoroughly. They must know all the retailers in that location so that it becomes easier to conduct business with them. Without knowing your market will lead you to ineffective use of resources and manpower on the same.

Minimum Investment Required for Coca Cola Distributorship

Now, the minimum investment required to open a Coca-Cola franchise in an urban location is Rs 25-30 lakhs. All this investment amount is included in the working capital. So, you do not need to invest separately for working capital.

Other than your land rent, labor cost, and electricity bill, most expenses are gone in working capital. As per company rules and regulations, a distributor must order products within 7-10 days even if their existing products have not been fully sold.

Now, for rural Coca-Cola distributors, one must have at least Rs 15 lakhs in their hands. Including all expenses, Rs 15 lakhs could be the maximum investment that you might need.

How to apply for Coca-Cola Dealership?

When you opt for a such reputable business model then there are many fraudsters. Do not open any third-party websites and fill up the form they ask for. Many people have paid to apply for Coca-Cola dealerships to fraudsters.

Please do not commit such mistakes only visit official websites for franchise forms and contact details. The Coca-Cola Company always ensures that all its distributors go through an effortless application process.

Here is a detailed step-by-step guide to how you can apply for Coca Cola Dealership in India:-

  • Visit this official Coca-Cola website https://www.coca-colaindia.com/contact-us
  • Then once you have opened it, scroll down below you will see a “Contact Us Form”
  • Click on that and then proceed further
  • A new page will come up where you need to fill up some details like first name, last name, address, location, pin code, phone, email ID, date of birth, and a few more
  • After you have filled out the form just above the page there will be a toll-free number where you can call them directly and they will take your details
  • All the details taken by Coca-Cola will send it to your area manager or officer
  • Now, the area manager or the officer will further contact you for more details. Do not forget to mention that you want to supply products to all unknown or unreachable locations.

Profit Margin of Coca-Cola Franchise

Profit margin is another parameter that highly depends on the location of your godown. The more populated the area the higher profit you will earn. Additionally, you need to invest more in these populated areas to gain a much profit margin. Also, the more your product is sold the more you earn profit from a such reputable company.

The average profit margin for both Urban and Rural distributorship is between 10-15%. Additionally, the company offers a 4-8% commission to distributorships. This commission is quite less as compared to other reputable companies. The most profit from the sales is earned by the retailers.

Is Coca-Cola Dealership Profitable?

We all know Coca-Cola is one of the fastest-growing multinational beverage companies in the world. Now, if you are planning to open up their franchise you would surely earn a great profit margin. Yes, as compared to retailers, the profit margin for distributors is quite less. Still, the benefits offered to distributors are just jaw-dropping.

During the summer season, the demand for almost all Coca-Cola products goes up. The profit margin might be less but, the sale will be sky high. So, the more sale you make the more profit you earn, and yes, opening up a Coca-Cola franchise is a profitable business.

Daily Work Culture of Coca-Cola Franchise/ Dealership/ Distributorship

Before opening up such a reputable franchise one must know the working culture. You must know how your godown will work daily. Now, after you get its distributorship license, the parent company directly gives you its stock.

Other than that, whatever area you have been provided by the parent company you need to cover all the shops, retailers, hotels, and restaurants. You need to ensure every shop gets your product.

You must have a proper vehicle to deliver all the products. Additionally, the vehicle count must be as per the area given to you by the parent company. Do not forget to keep a helper along with the driver. Other than that, you need to keep a salesman as well.

He will visit all the units that your distributor has covered. The salesman will get all the orders from all units and must provide them to you at the end of the day. According to that, you need to take out your delivery vehicle along with the products that need to be delivered.

Coca-Cola Franchise Review: Problems and Advantages

Every franchise has its advantages and disadvantages. Now, some of the disadvantages are the following:-

  • No credit was given by the parent company.
  • Distributors get less profit margin
  • Must order products within 7-10 days even if the old stock is not completely sold

Advantages of Coca-Cola Franchise

  • Training and Development programs are conducted
  • Marketing strategies are offered by the parent company itself
  • No need to spend on Research and Development
  • Coca-Cola helps to build IT infrastructure for all the needs that are required

Coca Cola Company Social Media Profiles

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