Presented by: Rajani Kant Chaudhary Enr-15010 (BM) Section-A

TOPIC: MARKETING

STRATEGY OF PEPSICO IN COMPETITIVE ENVIRONMENT

LUMBINI

BEVERAGES PVT.

LTD.

Company Profile


The drink was first made in the 1890s by pharmacist Caleb Bradham in New Bern, North Carolina. The word Pepsi comes from the Greek word "Pepsi" ( ), which is a medical term, describing the food dissolving process within one's stomach. It is also a medical term that describes a problem with one's stomach to dissolve foods proper

Cont

PepsiCo brands are available in nearly 200 countries and territories. Many of PepsiCo's brand names are over 100years-old, but the corporation is relatively young. PepsiCo was founded in 1965 through the merger of Pepsi-Cola and FritoLay. Tropicana was acquired in 1998 and PepsiCo merged with The Quaker Oats Company, including Gatorade, in 2001 PepsiCo World Headquarters is located in Purchase, New York, approximately 45 minutes from New York City. Revenues in 2007 is more than $39 billion.

Cont

37 bottling plants in India, of which 16 are company owned and 21 are franchisee owned. It has more than 185,000 employees across the world.

OUR MISSION our mission is to be the world's premier consumer products company focused on convenient foods and beverages. we seek to produce financial rewards to investors beverages. as we provide opportunities for growth and enrichment to our employees, our business partners and the communities in which we operate. and in everything we operate. do, we strive for honesty, fairness and integrity. integrity.

OUR VISION PepsiCo's responsibility is to continually improve all aspects of the world in which we operate - environment, social, economic - creating a better tomorrow than today." today. our vision is put into action through programs and a focus on environmental stewardship, activities to benefit society, and a commitment to build shareholder value by making PepsiCo a truly sustainable company. company.

Indian Prospective
In India Pepsi came in 1989, before the Coke came. India Beverage industry is the fourth largest beverage industry in the world. India is promising market for the Pepsi. PepsiCo India and its partners have invested more than U.S.$1 billion since the company was established in country

Indian Soft Drink Market

15%

Carbonated Non Carbonated

85%

Product of Company

CORE BRANDS: PEPSI DIET PEPSI MIRINDA SLICE MOUNTAIN DEW 7UP 7UP NIMBOOZ AQUAFINA SODA TROPICANA JUICE

PEPSI - Yeh Hai Youngistan Meri Jaan

Pepsi is a hundred year old brand loved by over 200 million people worldwide.

7 UP

7UP, the refreshing clear drink with natural lemon and lime flavor was created in 1929. 7UP was launched in India in 1990 and its international mascot Fido Dido was used for advertising in 1992 to position the brand as a cool drink for youngsters.

MOUNTAIN DEW

The main formula of Mountain Dew was invented in Virginia, named and first marketed in Johnson City, Tennessee and Knoxville, Tennessee in 1948. In India, Mountain Dew set the soft drink category ablaze in 2003 with their iconic launch campaign Cheetah Bhi Peeta Hai.

NIMBOOZ - Ekdum Asli Indian

Nimbooz was launched in India this year on the 28th of February 2009. Latest addition to portfolio of Pepsi Beverages.

SLICE - Pure Mango Pleasure

Slice was launched in India in 1993 as a refreshing mango drink and quickly went on to become a leading player in the category. In 2008, Slice was relaunched with a 'winning' product formulation which made the consumers fall in love with its taste.

MIRINDA - Orange Dikha To Mooh Bola Mirinda

Mirinda is an international soft drink brand from Spain that was launched in India in 1991.

Distribution Channel
FACTORY BONDED WAREHOUSE

CLEARING & FORWARDING AGENTS(C & FA)

DEALERS

RETAILERS END CONSUMERS

Competition

Cont..

Coke vs. Pepsi Fighting for Foreign Markets The soft-drink battleground has now turned toward new overseas markets. While once the United States, Australia, Japan, and Western Europe were the dominant soft-drink markets, the growth has slowed down dramatically, but they are still important markets for Coca-Cola and Pepsi. However, Eastern Europe, Mexico, China, Saudi Arabia, and India have become the new "hot spots." Both companies want to have the unique pricing strategy likewise the 5 Rs. Bottle. Both companies make a different packaging system to attract the customer. Pepsi and Coke try to recall its brand by advertisment.

Marketing Strategy of PepsiCo

SELECTING A TARGET

MARKET ASSEMBLING THE MARKETING MIX

Some of Pepsis successful Campaigns

Yeh Dil maange more

Bubbly Campaign

Youngistan Campaign
Yeh hai Youngistaan Meri Jaan

Youngistan T.V advertisement

Achievement of Pepsi

PepsiCo sales pass the $2 billion mark. Pepsi-Cola becomes the first American consumer product to be produced, marketed and sold in the former Soviet Union. 1973 Pepsi is the first company to respond to consumer preference with lightweight, recyclable, plastic bottles. Bold, modern Pepsi-Cola packaging using red, white and blue is introduced. "You've got a lot to live, Pepsi's got a lot to give," becomes the advertising theme.966 Doritos brand tortilla chips are introduced. They are destined to become the most popular snack chip in the U.S.

Cont..

PepsiCo passes $10 billion in sales. PepsiCo is listed on the Tokyo stock exchange PepsiCo is now the largest company in the beverage industry. The company has revenues of more than $7.5 billion, more than 137,000 employees. Pepsi-Cola products are available in nearly 150 countries and territories around the world. Snack food operations are in 10 international markets PepsiCo signs the largest commercial trade agreement in history with the Soviet Union. PepsiCo profits exceed $1 billion for the first time. PepsiCo acquires Walkers Crisps and Smith Crisps, two of the United Kingdom's leading snack food companies.

SWOT Analysis
Strength:

Lumbini Beverages Pvt..Ltd. is Franchisee Owned Bottling Organization (FOBO) of worlds famous cold drink company Pepsi. LBPL uses state art and fully automatic machines and technology for the production and bottling of the soft drink. It has a very strong network and built market and currently holds all the parts of the state.

Weakness:

Not availability of all the products on demand. Lacking of communication with retailers. Timing of distribution is not very good. The cooling system is not distributed properly.

Cont
Opportunity:
Food division should expand internationally. Noncarbonated drinks are the fastest-growing part of the industry. There are increasing trend towards healthy foods. Focus on most important customer trend Convenience

Threats:
There is another threat nowadays, some local cold drinks such as sudha dairy and anuj dairy cola have takes their feet in the market. Coca-Cola is now spending more & more to boost up the market share & sale.

My learning and experience

My Responsibility
a) To observe critically on eatery outlets in Patna . b) To examine what attract and distract the owner of retail outlets for Pepsi. c) To provide exclusive offer to them keeping strategies of competitors in mind. d) To increase sales and examine product availability of PepsiCos products.

Findings

The market share of coke is higher than the other products and among the products, Thums-up & sptite largest selling product. Sale is based on the display, so soft-drinks market introduced racks. It is the part of advertising and other part of the advertising is glow-signboards. Chilling equipment are main part of sales promotion.

Some of the retailers of Pepsi are not happy with the service rendered by our delivery van.

My LEARNINGS

and organizing Customer Focus Negotiations Personality Development

Planning

Suggestions
It is often seen that some salesman do not intimate schemes to the retailer & few of the retailers complained about it. So there should be frequent visits of Customer Executives to their respective areas to keep the shopkeepers benefited with various schemes. Credit facility for retailers should be provided. Proper feedback system should be developed by ensuring regular visits & check randomly at the various outlets. The numbers of outlets are too much. So it is required to short the route and extra vehicles/tricycles provide in the route.