Pepsico a global brand

PEPSICOA GLOBAL BRAND

BySuryadev MaityReg No : - 12397104

• PepsiCo entered India in 1989• top five markets in terms of growth of the soft drinks market

PEPSICO IN INDIA

• Industry : Food and Beverage• Established : 1898 by Caleb Bradham• Marketed : 200+ country• Brand : 22• Revenue :US$66.4 billion (2013)• Net income :US$6.7 billion (2013)• Employees :300,000 (2013)• Key people :Indra Nooyi (Chairperson & CEO)

Acquisitions and divestments

• Between the late-1970s and the mid-1990s, PepsiCo expanded via acquisition of businesses outside of its core focus of packaged food and beverage brands.

• PepsiCo also previously owned several other brands that it later sold so it could focus on its primary snack food and beverage lines. Brands formerly owned by PepsiCo include: Pizza Hut, Taco Bell,

KFC, Hot 'n Now, East Side Mario's, D'Angelo Sandwich Shops, Chevys Fresh Mex, California Pizza Kitchen, Stolichnaya (via licensed agreement), Wilson Sporting Goods and North American Van Lines.

• purchased the orange juice company Tropicana Products in 1998• merged with Quaker Oats Company in 2001, adding with it the

Gatorade sports drink line.• 2009, acquire the two largest bottlers of its products in North

America: Pepsi Bottling Group and PepsiAmericas.

• The Coca-Cola Company has historically been considered PepsiCo's primary competitor in the beverage market.

Competition

• snack food market - Kraft Foods

• soda market - RC ColaCola , Turka , Kola RealInca Kola , Zam Zam Cola , Mecca-Cola , Virgin Cola , Parsi Cola , Qibla Cola , Evoca Cola , Corsica Cola , Breizh Cola , Afri Cola

Products and brands

• PepsiCo's product mix as of 2012 (based on worldwide net revenue) consists of 63 percent foods, and 37 percent beverages. On a worldwide basis, the company's current products lines include several hundred brands that in 2009 were estimated to have generated approximately $108 billion in cumulative annual retail sales.

• The primary identifier of a food and beverage industry main brand is annual sales over $1 billion. As of 2013, 22 PepsiCo brands met that mark: Pepsi, Mountain Dew, Lay's, Gatorade, Tropicana, 7 Up, Doritos, Lipton Teas, Quaker Foods, Cheetos, Mirinda, Ruffles, Aquafina, Pepsi Max, Tostitos, Sierra Mist, Fritos, and Walkers.

Areas of business

The structure of PepsiCo's global operations has shifted multiple times in its history as a result of international expansion, and as of 2010 it is separated into four main divisions:

• PepsiCo Americas Foods,• PepsiCo Americas Beverages,• PepsiCo Europe,• PepsiCo Asia,• Middle East and Africa

As of 2009, 71 percent of the company's net revenues came from North and South America, 16 percent from Europe and 13 percent from Asia, the Middle East and Africa. Approximately 300,000 people are employed by PepsiCo worldwide as of 2013.

PepsiCo Asia, Middle East & Africa

• This operating division of PepsiCo covers Asia, the Middle East and Africa. In addition to the production and sales of several worldwide Pepsi-Cola, Quaker Foods and Frito-Lay beverage and food product lines (including Pepsi and Doritos), this segment of PepsiCo's business markets regional brands such as Mirinda, Kurkure and Red Rock Deli, among others.

• While PepsiCo owns its own manufacturing and distribution facilities in certain parts of these regions, more of this production is conducted via alternate means such as licensing (which it does with Aquafina), contract manufacturing, joint ventures and affiliate operations. PepsiCo's businesses in these regions, as of 2009, contributed 13 percent to the company's net revenueworldwide. In August 2012, PepsiCo signed an agreement with a local Myanmar distributor to sell its softdrinks after a 15-year break to re-enter the country.

Advertising

Brand Image of Pepsi

Pepsi is a brand that every youngster relates to.

But this definitely doesn’t mean that other age groups are not it’s user’s.

Thus Pepsi’s brand image is it’s hip, cool, lively and refreshing attitude.

Advertising Strategy of Pepsi Pepsi’s target audience are mostly teens and young adults and their

advertising reflects this in every possible way.

The company changes its advertising strategy and image to reflect the target's interests.

Pepsi makes sure that the advertisements reflect to the target audience’s interests and nostalgia.

The advertising strategy includes cool, hip promos to attract more of the target audience.

The advertising is mostly creative and has different elements like music and sports other than bollywood.

Pepsi.com also plays an important role in advertising and attracts target audience by giving access to options like downloads, gaming, music mixing applications etc..

Generation Y- Market Influence

Huge market – 80 million people

Spending power – 600 million annually

Many Geb Yers do household grocery shopping

90% parents say kids influence what they buy

Many work and have their own money to spend

They have proven to be brand loyal

How to reach Generation Y

Creates promotion tailored to their needs and interests.

Gen Yers like entertainment and music

They like to laugh, but not at another's expense

To attract the teen market radio and television should be used

They are internet savvy What does Generation Y like? Free stuffs and discounts Contests/drawings Music Club cards Team sporting events They are into clothes and the latest

styles Teen friendly retail stores and

internet site

Michael Jackson Michael received the biggest

sponsorship from the company in 1993.

In 1993 Pepsi had a “Search for Michael Jackson” campaign.

Used musical and sex appeal.

Advertising campaigns

Jeff Gordon Made a commercial with Hallie

Eisenberg Sells many Pepsi collectable

merchandise. Drove the Pepsi car in races

Hallie Eisenberg First appeared in a Pepsi commercial in

1998 at age 5 Introduced the “Joy of Cola” campaign. Starred in commercials with Faith Hill,

KISS, and Ken Griffey Jr. Her commercials used humor.

Spice Girls

Promotional single “Move over” available only through Pepsi.

Used musical and sex appeal.

As international stars they affected many countries

“OH YES

ABHI!”

THANK YOU