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Table of Contents
1. Executive summary
2. Introduction to the company
3. Industry Analysis of the Beverage Market
4. PepsiCo SWAT Analysis
5. Environmental scan of today’s carbonated beverage marketplace
5. Target Markets
6. Marketing Mix a) Product b) Price c) Place d) Promotion
7. Main Strategies
8. Monitoring and Control
9. Observation and Recommendations
10. Conclusion
11. References
1. EXECUTIVE SUMMARY
I’m an undergraduate student majoring in economy prepared the marketing plan for the purpose of learning and experience.
A strategic plan for PepsiCo North America is hereby proposed as follows for the geographical region of the national
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PepsiCo International markets and sells the North American product brands abroad, and in additional markets and sells the Mirinda, Walkers, Sabritas, Gamesa, etc. and several others in multiple countries (over 200). Each of these subsets of brands are developments of unique products tailored to each geographical culture it is marketed to.
The focused Corporation of the subject strategic proposal is PepsiCo Beverages North America. This company was originally founded in 1898 by a North Carolina druggist. PepsiCo Beverages North America (herein referred to as the ‘Company’) sells several brands of consumer beverages in the United States and Canada. The various beverage products span through carbonated soft drinks, juices, readymade teas, isotonic sports drinks, bottled water, and enhanced waters. Several established brands include Diet Pepsi, Mountain Dew, Gatorade, Tropicana products, Aquafina Water, Sierra Mist, Mug, Propel, Sobe, and Dole. Refer to the Competitor Analysis section for in depth product information and listings.
Outside of manufacturing and selling bottled products, the Company manufactures and sells concentrates for some of the above mentioned brand name beverage products to licensed bottlers. The Company has also established strategic partnerships with Lipton and Starbucks to create, market, and sell ready to drink Lipton tea
Perreault, W. D., Jr., Cannon, J. P., & McCarthy, E. J. (2011). Basic marketing: A marketing strategy planning approach (19th ed.). New York, NY: McGraw-Hill Irwin.
The net profit was $6,320 million in FY2010, an increase of 6.3% over 2009 ($5,946). As stated in the mission statement, they seek to produce financial rewards. With the numbers previously mentioned, we can see they have succeeded. This significant financial performance gives them the resources they need to provide opportunities for growth and enrichment to their employees, their business partners and the communities in which they operate and to invest in the four key areas (performance, human sustainability, environmental sustainability and talent sustainability) so they can reach their goals. (Yahoo Finance, 2011) 4. Conduct a competitive and marketing analysis of the organization to determine strengths and opportunities. PepsiCo is the largest snack and non-alcoholic drink producer in the United States, with 39% and 25% of the respective market shares. PepsiCo operates in over 200 countries, with its largest markets in North America and the United Kingdom. PepsiCo has three direct competitors, the Coca-Cola Company, Dr. Pepper Snapple Group, and Kraft Foods. Unlike its major competitor, Coca-Cola, the majority of PepsiCo 's revenues do not come from carbonated soft drinks. In fact, beverages account for less than 50% of total revenue. Additionally, over 60% of PepsiCo 's beverage sales come from its key noncarbonated brands like Gatorade and Tropicana. PepsiCo 's revenues
The purpose of this research is to conduct a research analysis of PepsiCo Canada. Given its official website and the Ryerson Library resources available, it will help further understand the company better. I did my research by looking through all the websites that were available for this assignment. One by one, I mark the ones that have the most sufficient information that allowed me to pick my top two Ryerson Library Resources. PepsiCo Canada is one of the most recognized and respected brands all across the country. Their company employs approximately 10,000 Canadian workers that is organized into two businesses; one being the Beverages and one being the Foods. (PepsiCo Canada, 2011). Their business strategy is to have performance with purpose.
PepsiCo is a global food and beverage leader with net revenues of more than $65 billion and a product portfolio that includes twenty-two brands that generate more than $1 billion each in annual retail sales. PepsiCo’s main businesses - Quaker, Tropicana, Gatorade, Frito-Lay and Pepsi-Cola - make hundreds of foods and beverages that are consumed throughout the world. It currently holds 36 percent of the total snack-food market share in the U.S. and 25 percent of the market share of the refreshment beverage industry. The products are classified under three main categories are “Good for You”, “Better for You” and “Fun for You”. “Good for You” category includes brands like Aquafina, Trop 50, Quaker Oats, Naked Juice, etc. “Good For You”
Does PepsiCo’s portfolio exhibit good strategic fit? What value-chain match-ups do you see? What opportunities for skills transfer, cost sharing, or brand sharing do you see?
PepsiCo’s top four issues that they are hoping to influence are the food industry, agriculture, taxes and heath issues. I believe that they are interested in the food industry because they are a leading brand in the food and beverage industry, so it would only make sense that they put a lot of money towards this. Since they are a leader in the food industry they also care about the agricultural issues. They need corn, wheat, beans and other crops to make their products. They would want to have an influence on the rules and regulations that would be applied to their products. PepsiCo also cares about taxes. This one would be affecting the corporate tax that the company would have. These taxes could be quite high since they are such a large company. Lastly they tried to influence health issues, this is probably
Situation Analysis: Soft drinks are a multibillion dollar global commodity in the 21st century Coke alone produces over 400 brands in 250 countries, serving an average of 1.5 billion servings of some type of beverage per day (Warner, 2005). However, in the last decade or so, soft drink sales
This research paper pinpoints the financial analysis of Pepsi Co, Inc., namely its profitability; liquidity; solvency and operating outcome with respect to its competitors, Coca-Cola Inc., and Dr. Pepper Snapple Group. The upshot of Pepsi’s financial breakdown will assist the soda drink maker to improve its production approach and keep its flagship brand aggressive and competitive.
Another procedure of PepsiCo is 'Beneficial for You ' that implies the organization gives nutritious items, for example, low-fat dairy, vegetables, entire grains, sugar, and soaked fat with dietary necessities, nuts and natural products.
Nancy Dai, (2004) Cola Wars in China: Future is Here. The University of Western Ontario
PepsiCo Inc (NYSE:PEP) is the second largest food and beverage (F&B) company globally, with revenues of US$58bn in 2010 trailing only Nestle of Switzerland. About half of PEP’s revenues are generated from its beverage business, with the balance primarily from snack foods. In this report, we review PEP’s history, global footprint, key strategies and business drivers then evaluate its two core divisions’ competitive positions separately using Porter’s five forces analysis (Porter 1997). Given the split nature of PEP’s core businesses, we believe it is more appropriate to contrast the beverage division with The Coca-Cola Company (KO) and the food division with the
Today PepsiCo embraces itself with outstanding 300,000 employees worldwide. It is currently the world leader in convenient beverages, foods and snacks. It has four main branches widely referred to as the Pepsi family. These are: PepsiCo America’s beverages, PepsiCo Europe, PepsiCo America’s food and PepsiCo Asia, Middle East and Africa. Its outstanding leadership in the market has led to PepsiCo introducing more than a 100 brands under its trademark in the market and making its presence in nearly every part of the world. PepsiCo Headquarters are located in Purchase, New York (PepsiCo, 2012).
The history of PepsiCo dates back to 1898 when the popular name was first branded. It was introduced by a man that goes by the name of Caleb Bradham. Bradham believed that the drink was more than a thirst quencher, it could help the body. He thought it would assist the body with digestion do to a specific additive in the recipe (Brand 1). The history of Pepsi is very interesting. It opened it’s first PepsiCo company paten in 1902. In its first year of business it sells nearly 8,000 gallons of the syrup out of the first know warehouse. An interesting fact about PepsiCo is that during WWI they did not produces enough syrup to satisfy all their demands. This was greatly do to the ration of sugar during the war (Brand 1). The hurt Pepsi production immensely.
PepsiCo (n.d.) is a global food and beverage leader with a diverse product portfolio that includes 22 brands that each generates over $1 billion in revenue (“Global Brands”, n.d.). While PepsiCo is second only to Coca-Cola in the production of CSD beverages, PepsiCo is the number one producer of snack foods in the world (Hoovers, Inc., n.d). Pepsico “has outgrown Coca-Cola in terms of revenue over the last five years” (Cardenal, 2013, n.p.) because PepsiCo is able to leverage sales of its complementary snack foods with CSD (De Kluyver & Pearce, 2011).
PepsiCo is the second most popular beverage company in the world, according to PepsiCo (2008). This company has an outstanding marketing brand name. PepsiCo sponsors numerous sporting events and has a wide variety of consumers. This product is in competition with the first popular beverage company Coke-Cola. This company evaluates every year on a strategic plan by using SWOTT analysis to manage their products to learn the internal and external factors of the marketing business.