pepsico inc
TRANSCRIPT
An
Assignment
On
‘Brand Profile of PepsiCo Inc. ’
Course Title: Global Marketing & Brand Management
Subject Code: 2313
Prepared for: Fatema Akter Lecturer Marketing Business Studies Group National University
Date of Submission: August 11, 2015
NatioNal UNiVERSitY
Submitted by: Nuruzzaman PIN : 140021 MAS in Business Administration
TABLE OF CONTENT
PepsiCo 1
Key Informations 1
Vision 2
Mission 2
Origins 2
Acquisitions 3
Products and Brands 4
Trademarks 4
Products 5
Areas of Business 10
References 10
PREFACE
Thanks to our honorable teacher Fatema Akter to give me this opportunity to work on the assignment titled ‘Brand Profile of PepsiCo Inc.’. While working on the assignment I have gathered much valuable knowledge which will be surely helpful for my further future. By preparing this assignment now I know much more about the PepsiCo Inc. I hope this will be helpful for me to research further.
PepsiCo Inc. is an American multinational food and beverage corporation headquartered in
Purchase, New York, United States, with interests in the manufacturing, marketing and
distribution of grain-based snack foods, beverages, and other products. PepsiCo was formed
in 1965 with the merger of the Pepsi-Cola Company and Frito-Lay, Inc. PepsiCo has since
expanded from its namesake product Pepsi to a broader range of food and beverage brands,
the largest of which includes an acquisition of Tropicana in 1998 and a merger with Quaker
Oats in 2001, which added the Gatorade brand to its portfolio.
As of January 26, 2012, 22 of PepsiCo's brands generated retail sales of more than $1 billion
apiece, and the company's products were distributed across more than 200 countries, resulting
in annual net revenues of $43.3 billion. Based on net revenue, PepsiCo is the second largest
food and beverage business in the world. Within North America, PepsiCo is the largest food
and beverage business by net revenue.
Key Informations
Type Public
Traded as
NYSE: PEP S&P 500 Component
Industry Beverages, Chips Founded New Bern, North Carolina, U.S. (1898)
Founder Donald Kendall Herman Lay
Headquarters Purchase, New York, U.S. Area served Worldwide
Key people Indra Nooyi (Chairman and CEO)
Revenue US$ 66.415 billion (2013) US$ 65.492 billion (2012)
Operating income
US$ 9.705 billion (2013) US$ 9.112 billion (2012)
Net income
US$ 6.74 billion (2013) US$ 6.178 billion (2012)
Total assets
US$ 77.478 billion (2013) US$ 74.638 billion (2012)
Total equity
US$ 24.389 billion (2013) US$ 22.399 billion (2012)
Number of employees 274,000 (2013)
Subsidiaries List of subsidiaries
Website PepsiCo.com
Vision “At PepsiCo, we're committed to achieving business and financial success while leaving a
positive imprint on society – delivering what we call Performance with Purpose.”
Mission “As one of the largest food and beverage companies in the world, our mission is to provide
consumers around the world with delicious, affordable, convenient and complementary foods
and beverages from wholesome breakfasts to healthy and fun daytime snacks and beverages
to evening treats. We are committed to investing in our people, our company and the
communities where we operate to help position the company for long-term, sustainable
growth.”
Origins The recipe for the soft drink Pepsi was first developed in the 1880s by Caleb Bradham, a
pharmacist and industrialist from New Bern, North Carolina. He coined the name "Pepsi-
Cola" in 1898. As the cola developed in popularity, he created the Pepsi-Cola Company in
1902 and registered a patent for his recipe in 1903. The Pepsi-Cola Company was first
incorporated in the state of Delaware in 1919. The company went bankrupt in 1931 and on
June 8 of that year, the trademark and syrup recipe were purchased by Charles Guth who
owned a syrup manufacturing business in Baltimore, Maryland. Guth was also the president
of Loft, Incorporated, a leading candy manufacturer, and he used the company's labs and
chemists to reformulate the syrup. He further contracted to stock the soda in Loft's large chain
of candy shops and restaurants, which were known for their soda fountains, used Loft
resources to promote Pepsi, and moved the soda company to a location close by Loft's own
facilities in New York City. In 1935, the shareholders of Loft sued Guth for his 91% stake of
Pepsi-Cola Company in the landmark case Guth v. Loft Inc. Loft won the suit and on May 29,
1941 formally absorbed Pepsi into Loft, which was then re-branded as Pepsi-Cola Company
that same year. Loft restaurants and candy stores were spun off at this time. In the early
1960s, Pepsi-Cola's product lines expanded with the creation of Diet Pepsi and purchase of
Mountain Dew.
In 1965, the Pepsi-Cola Company merged with Frito-Lay, Inc. to become PepsiCo, Inc.. At
the time of its foundation, PepsiCo was incorporated in the state of Delaware and
headquartered in Manhattan, New York. The company's headquarters were relocated to their
present location of Purchase, New York in 1970 and in 1986 PepsiCo was reincorporated in
the state of North Carolina.
Between 1990 and 1995, PepsiCo funded The MacNeil/Lehrer NewsHour on public
television.
Acquisitions 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; however it exited these non-
core business lines largely in 1997, selling some, and spinning off others into a new company
named Tricon Global Restaurants, which later became known as Yum! Brand, Inc. PepsiCo
also previously owned several other brands that it later sold so it could focus on its primary
snack food and beverage lines, according to investment analysts reporting on the divestments
in 1997. 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.
The divestments concluding in 1997 were followed by multiple large-scale acquisitions, as
PepsiCo began to extend its operations beyond soft drinks and snack foods into other lines of
foods and beverages. PepsiCo purchased the orange juice company Tropicana Products in
1998, and merged with Quaker Oats Company in 2001, adding with it the Gatorade sports
drink line and other Quaker Oats brands such as Chewy Granola Bars and Aunt Jemima,
among others.
In August 2009, PepsiCo made a $7 billion offer to acquire the two largest bottlers of its
products in North America: Pepsi Bottling Group and PepsiAmericas. In 2010 this
acquisition was completed, resulting in the formation of a new wholly owned subsidiary of
PepsiCo, Pepsi Beverages Company. In February 2011, the company made its largest
international acquisition by purchasing a two-thirds (majority) stake in Wimm-Bill-Dann
Foods, a Russian food company that produces milk, yogurt, fruit juices, and dairy products.
When it acquired the remaining 23% stake of Wimm-Bill-Dann Foods in October 2011,
PepsiCo became the largest food and beverage company in Russia.
In July 2012, PepsiCo announced a joint venture with the Theo Muller Group which was
named Muller Quaker Dairy. This marked PepsiCo's first entry into the dairy space in the US.
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 2009, 21 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.
Trademarks Frito-Lay
Gatorade
Quaker Oats
Tropicana
Elma Chips (Brazil)
Smiths Crisps Australia
Walkers Crisps United Kingdom
Naked Juice
Lipton
Products Breakfast Bars
o Quaker Chewy Granola Bars
o Quaker Chewy Granola Cocoa Bars
o Quaker Dipps Granola Bars
o Quaker Fruit & Oatmeal Bars
o Quaker Life Bar
o Quaker Oatmeal to Go Bars
Energy Drinks
o AMP Energy
o No Fear Energy Drinks
o Rockstar Energy
o SoBe
Cereal
o Cap'n Crunch Cereal
o King Vitaman Cereal
o Kretschmer Toasted Wheat Germ
o Quaker Life Cereal
o Mother's Ready-to-Eat & Hot Cereals
o Quaker Essentials
o Quaker Grits
o Quaker Instant Oatmeal
o Quaker Natural Granola Cereal
o Quaker Old Fashioned Oats
o Quaker Oh!s Cereal
o Quaker Puffed Rice
o Quaker Shredded Wheat Cereal
o Quaker Oatmeal Squares Cereal
o Quisp Cereal
Other
o AMP Energy Gum
o Aunt Jemima Mixes & Syrups
o Quaker Baking Mixes
o Sabra Hummus
Rice Snacks
o Quaker Large Rice Cakes
o Quaker Mini Delights
o Quaker Quakes
o Quaker Tortillaz
Side Dishes
o Near East Side Dishes
o Pasta Roni Side Dishes
o Rice-A-Roni Side Dishes
Snacks
o Baked! Cheetos Snacks
o Baked! Doritos Tortilla Chips
o Baked! Lay's Potato Crisps
o Baked! Ruffles Potato Chips
o Baked! Tostitos Tortilla Chips
o Baken-ets Pork Skins and Cracklins
o Cheetos Cheese Flavored Snacks
o Chester's Flavored Fries
o Chester's Popcorn
o Cracker Jack Candy Coated Popcorn
o Doritos Tortilla Chips
o El Isleno Plaintain Chips
o Frito-Lay, Fritos, Lay's, and Tostitos Dips & Salsas
o Frito-Lay Nuts & Seeds
o Fritos Corn Chips
o Funyuns Onion Flavored Rings
o Gamesa Cookies and Wafers
o Grandma's Cookies
o Hickory Sticks
o Hostess Potato Chips
o Lay's Kettle Cooked Potato Chips
o Lay's Kurkure
o Lay's Potato Chips
o Lay's Stax Potato Crisps
o Lay's Wavy Potato Chips
o Maui Style Potato Chips
o Miss Vicky's Potato Chips
o Munchies Snack Crackers
o Munchies Snack Mix
o Munchos Potato Crisps
o Natural Cheetos
o Natural Lay's
o Natural Ruffles
o Natural Tostitos
o Nut Harvest Nuts
o Rold Gold Pretzels
o Ruffles Potato Chips
o Sabritones Puffed Wheat Snacks
o Santitas Tortille Chips
o Smartfood Popcorn
o Smartfood Popcorn Clusters
o Spitz Seeds
o Stacy's Pita
o Bagel Chips
o SunChips Multigrain Snacks
o Tasali Snack Foods - in Saudi Arabia
o Tostito's Artisan Recipes Tortilla Chips
o Tostito's Tortilla Chips
Soft Drinks (original Pepsi brands)
o Diet Mountain Dew
o Mountain Dew
o Mountain Dew Throwback
o Sierra Mist Natural
o Diet Sierra Mist
o 7up
o Pepsi
o Pepsi Atom
o Diet Pepsi
o Pepsi Max
o Pepsi Twist
o Pepsi Blue
o Pepsi Pink
o Pepsi Gold
o Pepsi Green
o Pepsi Black
o Pepsi White
o Pepsi Salty Watermelon
o Pepsi Azuki
o Pepsi Ice Cucumber
o Pepsi Shiso
o Pepsi Mont Blanc
o Pepsi Edge
o Pepsi One
o Pepsi Next
o Pepsi Wild Cherry
o Diet Wild Cherry Pepsi
o Caffeine Free Pepsi
o Diet Caffeine Free Pepsi
o Diet Pepsi Lime
o Caffeine Free Mountain Dew
o Caffeine Free Diet Mountain Dew
o Mountain Dew Livewire
o Mountain Dew Code Red
o Diet Mountain Dew Code Red
o Lipton Brisk Lemon
o Lipton Brisk Sweet Tea
o Mountain Dew Voltage
o Mountain Dew White Out
o Diet Lipton Brisk WL
o Lipton Brisk Fruit Punch
o Lipton Brisk Lemonade
o Pepsi Throwback
o Sierra Mist Cranberry
o Diet Sierra Mist Cranberry
o Mug
o Diet Mug
o Mirinda
o Atom
Sports Nutrition
o Gatorade G Series Prime 01
o Gatorade Thirst Quencher - G Series Perform 02
o Gatorade G Series Recover 03
o Gatorade G2
o Gatorade Natural
o Gatorade G2 Natural
o Gatorade G Series FIT Prime 01 Pre-Workout Fuel
o Gatorade G Series FIT Perform 02 Workout Hydration
o Gatorade G Series FIT Recover 03 Post-Workout Recovery
o Gatorade G Series PRO 01 Nutrition Shake
o Gatorade G Series PRO 01 Nutrition Bar
o Gatorade G Series PRO 01 Carbohydrate Energy Formula
o Gatorade G Series PRO 02 Endurance Formula
o Gatorade G Series PRO 02 Perform Gatorlytes
o Gatorade G Series PRO 03 Protein Recovery Shake
o Gatorade G Series PRO Prime +
o Gatorade G Series PRO Recover +
Bottled Water
o Aquafina
o Aquafina FlavorSplash
o Propel Zero
o SoBe Lifewater
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, and 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 285,000 people are employed by PepsiCo worldwide as of 2010.
As a leading food and beverage company that operates in every corner of the globe, PepsiCo
is deeply committed to improving the communities where it operate -- and the lives of the
people who call them home.
References 1. http://www.pepsico.com/
2. http://www.linkedin.com/company/pepsico
3. http://marketrealist.com/2014/12/pepsico-company-overview/
4. www.forbes.com/companies/pepsico/
5. www.reuters.com/finance/stocks/companyProfile?symbol=PEP
6. www.referenceforbusiness.com/history2/40/PepsiCo-Inc.html